Document:

Document

Exhibit 10.6

Execution Version

Fifth Amendment to Note Purchase Agreement

This Fifth Amendment dated as of December 9, 2021 (this “Fifth Amendment”) to the Note Purchase Agreement (as defined below) is among Pebblebrook Hotel, L.P., a Delaware limited partnership (the “Company”), Pebblebrook, Hotel Trust, a Maryland real estate investment trust (the “Parent REIT”) and each of the institutions set forth on the signature pages to this Fifth Amendment (collectively, the “Noteholders”).
Recitals
A.The Company and each of the Noteholders have heretofore entered into the Note Purchase Agreement dated as of November 12, 2015, as amended by that certain First Amendment dated as of October 13, 2017, that certain Second Amendment dated as of June 29, 2020, that certain Third Amendment dated as of December 10, 2020 and that certain Fourth Amendment dated as of February 18, 2021 (as amended, the “Note Purchase Agreement”).  The Company has heretofore issued (i) $60,000,000 aggregate principal amount of its 4.70% Senior Notes, Series A, due December 1, 2023 (the “Series A Notes”) and (ii) $40,000,000 aggregate principal amount of its 4.93% Senior Notes, Series B, due December 1, 2025 (the “Series B Notes” and, together with the Series A Notes, the “Notes”) pursuant to the Note Purchase Agreement.
B.The Company, the Parent REIT and the Noteholders now desire to amend the Note Purchase Agreement in the respects, but only in the respects, hereinafter set forth including certain amendments which have only been approved by the holders of Notes as set forth in Exhibit A hereto, which as a group hold more than 50% in principal amount of the Notes outstanding (the “Required Holders”).
C.Capitalized terms used herein shall have the respective meanings ascribed thereto in the Note Purchase Agreement, as amended by this Fifth Amendment, unless herein defined or the context shall otherwise require.
D.All requirements of law have been fully complied with and all other acts and things necessary to make this Fifth Amendment a valid, legal and binding instrument according to its terms for the purposes herein expressed have been done or performed.
Statement of Agreement
Now, Therefore, the Company, the Parent REIT and the Noteholders, in consideration of good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, do hereby agree as follows:

Article I 
Amendments to Note Purchase Agreement
Section 1.1.Effective upon the Fifth Amendment Effective Date (as hereinafter defined), the Parent REIT, the Company and the Required Holders agree that the Note Purchase Agreement is hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the double−underlined text (indicated textually in the same manner as the following example: double−underlined text) as set forth in the composite conformed copy of the Note Purchase Agreement in Section 9.12, Section 10.6, Section 10.10 and the amendments, additions and deletions of definitions in Schedule A, in each case as shown in the attached hereto as Exhibit B. For the avoidance of doubt, only the Required Holders have consented to the amendments set forth in this Section 1.1.
Section 1.2.Effective upon the Fifth Amendment Effective Date (as hereinafter defined), the Parent REIT, the Company and all Noteholders agree that the Note Purchase Agreement is hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the double−underlined text (indicated textually in the same manner as the following example: double−underlined text) as set forth in the composite conformed copy of the Note Purchase Agreement in Section 8.5, Section 8.9, the deletion of Section 8.11 and the deletion of a certain corresponding definition in Schedule A, in each case as shown in the attached hereto as Exhibit B. 
Article II
Conditions to Effectiveness
Section 2.1.This Fifth Amendment shall not become effective until, and shall become effective (the “Fifth Amendment Effective Date”) when, each and every one of the following conditions shall have been satissfied:
(a)executed counterparts of this Fifth Amendment, duly executed by the Company, the Parent REIT and the Noteholders, shall have been delivered to the Noteholders;
(b)the Noteholders shall have received a duly executed and delivered copy of the amendments to each Material Credit Facility dated prior to or as of the date hereof, in form and substance reasonably satisfactory to the Noteholders;
(c)the Noteholders shall have received evidence that a copy of this Amendment (including Exhibits A and B) has been provided to counsel for the Administrative Agents under each Material Credit Facility;
(d)the Noteholders shall have received a copy of the resolutions of the Board of Directors of the Company authorizing the execution, delivery and performance by the Company of this Fifth Amendment, certified by its Secretary or an Assistant Secretary; 

(e)the Noteholders shall have received the favorable opinion of counsel to the Company as to the matters set forth in Sections 3.1(a), 3.1(b) and 3.1(c) hereof, which opinion shall be in form and substance satisfactory to the Noteholders; and
(f)the representations and warranties of the Company set forth in Section 3.1 hereof are true and correct on and with respect to the date hereof; and
(g)the Company shall have paid the fees and expenses of Chapman and Cutler LLP, counsel to the Noteholders, in connection with the negotiation, preparation, approval, execution and delivery of this Fifth Amendment.  
Article III 
Representations and Warranties of the Company
Section 3.1.To induce the Noteholders to execute and deliver this Fifth Amendment, the Company and the Parent REIT represents and warrants (which representations and warranties shall survive the execution and delivery of this Fifth Amendment), to the Noteholders that:
(a)this Fifth Amendment has been duly authorized, executed and delivered by the Company and the Parent REIT and this Fifth Amendment constitutes the legal, valid and binding obligation, contract and agreement of the Company and the Parent REIT enforceable against each in accordance with its terms, except as enforcement may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principles relating to or limiting creditors’ rights generally;
(b)the Note Purchase Agreement and the Notes, as amended by this Fifth Amendment, constitute the legal, valid and binding obligations, contract and agreement of the Company and the Parent REIT enforceable against each in accordance with their terms, except as enforcement may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principles relating to or limiting creditors’ rights generally;
(c)the execution, delivery and performance by the Company and the Parent REIT of this Fifth Amendment (i) has been duly authorized by all requisite corporate action and, if required, shareholder action, (ii) does not require the consent or approval of any governmental or regulatory body or agency, and (iii) will not (A) violate (1) any provision of law, statute, rule or regulation or its certificate of incorporation or bylaws, (2) any order of any court or any rule, regulation or order of any other agency or government binding upon it, or (3) any provision of any indenture, agreement or other instrument to which it is a party or by which its properties or assets are or may be bound, including, without limitation, any Material Credit Facility, or (B) result in a breach or constitute (alone or with due notice or lapse of time or both) a default under any indenture, agreement or other instrument referred to in clause (iii)(A)(3) of this Section 3.1(c); 

(d)as of the date hereof and after giving effect to this Fifth Amendment, no Default or Event of Default has occurred which is continuing; and
(e)neither the Parent REIT, the Company nor any of its Subsidiaries has paid or agreed to pay any fees or other consideration to the lenders under any Material Credit Facility or any agent acting on their behalf, except for customary and usual commitment and arrangement fees and agent fees paid in connection with entering into any Material Credit Facility, and reasonable out of pocket expenses, including attorneys’ fees, incurred in connection therewith.
Article IV 
Miscellaneous
Section 4.1.This Fifth Amendment shall be construed in connection with and as part of the Note Purchase Agreement, and except as modified and expressly amended by this Fifth Amendment, all terms, conditions and covenants contained in the Note Purchase Agreement and the Notes are hereby ratified and shall be and remain in full force and effect.
Section 4.2.The Parent REIT, on behalf of each Subsidiary Guarantor (a) acknowledges and consents to all of the terms and conditions of this Fifth Amendment, (b) affirms all of its obligations under the Subsidiary Guaranty, (c) agrees that this Fifth Amendment and all documents delivered in connection herewith do not operate to reduce or discharge its obligations under the Note Purchase Agreement or the Subsidiary Guaranty, and (d) agrees that this Fifth Amendment and all documents delivered in connection herewith do not operate as a waiver of any Default or Event of Default that may exist prior to the effectiveness of this Fifth Amendment.
Section 4.3.Any and all notices, requests, certificates and other instruments executed and delivered after the execution and delivery of this Fifth Amendment may refer to the Note Purchase Agreement without making specific reference to this Fifth Amendment but nevertheless all such references shall include this Fifth Amendment unless the context otherwise requires.
Section 4.4.The descriptive headings of the various Sections or parts of this Fifth Amendment are for convenience only and shall not affect the meaning or construction of any of the provisions hereof.
Section 4.5.This Fifth Amendment shall be governed by and construed in accordance with New York law.
[Remainder of page intentionally left blank]

The execution hereof by you shall constitute a contract between us for the uses and purposes hereinabove set forth, and this Fourth Amendment may be executed in any number of counterparts, each executed counterpart constituting an original, but all together only one agreement.

Very truly yours,

PEBBLEBROOK HOTEL, L.P.,
a Delaware limited partnership

By:    PEBBLEBROOK HOTEL TRUST, a Maryland Real Estate Investment Trust, its general partner

By: /s/ Raymond D. Martz    
Name:  Raymond D. Martz
Title:  Executive Vice President and Chief
Financial Officer

PEBBLEBROOK HOTEL TRUST,
a Maryland Real Estate Investment Trust

By: /s/ Raymond D. Martz     
Name:    Raymond D. Martz
Title:    Executive Vice President and Chief Financial Officer
SIGNATURE PAGE TO
FIFTH AMENDMENT TO 2015 NOTE PURCHASE AGREEMENT 

As of the date first written above.

MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY
By: Barings LLC, as Investment Advisor

By:    /s/ James Moore       
Name:  James Moore 
Title:  Managing Director

YF LIFE INSURANCE INTERNATIONAL LIMITED
By: Barings LLC, as Investment Advisor

By:    /s/ James Moore       
Name:  James Moore 
Title:  Managing Director

SIGNATURE PAGE TO
FIFTH AMENDMENT TO 2015 NOTE PURCHASE AGREEMENT 

GREAT WEST LIFE & ANNUITY INSURANCE COMPANY

By:/s/ Robyn Richards    
Name:  Robyn Richards
Title:  Assistant Vice President, Investments
SIGNATURE PAGE TO
FIFTH AMENDMENT TO 2015 NOTE PURCHASE AGREEMENT

ALLIANCE LIFE INSURANCE COMPANY OF NORTH AMERICA

By: Allianz Global Investors U.S. LLC, as the authorized signatory and investment manager

By:    /s/ Lawrence Halliday    
Name:  Lawrence Halliday
Title:  Managing Director

SIGNATURE PAGE TO
FIFTH AMENDMENT TO 2015 NOTE PURCHASE AGREEMENT

THE GUARDIAN LIFE INSURANCE 
COMPANY OF AMERICA

By:    /s/ Timothy Powell    
Name:  Timothy Powell
Title:  Managing Director

SIGNATURE PAGE TO
FIFTH AMENDMENT TO 2015 NOTE PURCHASE AGREEMENT

Exhibit A
Required Holders:
MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY
YF LIFE INSURANCE INTERNATIONAL LIMITED
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
THE GUARDIAN LIFE INSURANCE COMPANY OF AMERICA

Exhibit B

Composite Conformed Copy of Note Purchase Agreement

Reflecting Fifth Amendment to the Note Purchase Agreement

[see attached]

Pebblebrook Hotel, L.P.
$60,000,000 4.70% Senior Notes, Series A, due December 1, 2023

$40,000,000 4.93% Senior Notes, Series B, due December 1, 2025

______________
Note Purchase and Guarantee Agreement
______________
Dated November 12, 2015
			
	

Table of Contents
																		
	SECTION	HEADING	PAGE
						
	SECTION 1.	AUTHORIZATION OF NOTES.		1
						
	SECTION 2.	SALE AND PURCHASE OF NOTES.		1
		Section 2.1.		Purchase and Sale of Notes.		1
		Section 2.2.		Affiliate Guaranties.		2
						
	SECTION 3.	CLOSING.		2
						
	SECTION 4.	CONDITIONS TO CLOSING.		2
		Section 4.1.		Representations and Warranties.		2
		Section 4.2.		Performance; No Default.		2
		Section 4.3.		Compliance Certificates.		3
		Section 4.4.		Opinions of Counsel.		3
		Section 4.5.		Purchase Permitted By Applicable Law, Etc.		4
		Section 4.6.		Sale of Other Notes.		4
		Section 4.7.		Payment of Special Counsel Fees.		4
		Section 4.8.		Private Placement Number.		4
		Section 4.9.		Changes in Corporate Structure.		4
		Section 4.10.		Affiliate Guaranties.		4
		Section 4.11.		Funding Instructions.		4
		Section 4.12.		Proceedings and Documents.		5
						
	SECTION 5.	REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND THE PARENT REIT.		5
		Section 5.1.		Organization; Power and Authority.		5
		Section 5.2.		Authorization, Etc.		5
		Section 5.3.		Disclosure.		5
		Section 5.4.		Organization and Ownership of Shares of Subsidiaries; Affiliates.		6
		Section 5.5.		Financial Statements; Material Liabilities.		6
		Section 5.6.		Compliance with Laws, Other Instruments, Etc.		7
		Section 5.7.		Governmental Authorizations, Etc.		7
		Section 5.8.		Litigation; Observance of Agreements, Statutes and Orders.		7
		Section 5.9.		Taxes.		7
		Section 5.10.		Title to Property; Leases.		8
		Section 5.11.		Licenses, Permits, Etc.		8
		Section 5.12.		Compliance with ERISA.		8
		Section 5.13.		Private Offering.		9
		Section 5.14.		Use of Proceeds; Margin Regulations.		9
		Section 5.15.		Existing Indebtedness; Future Liens.		10

																		
		Section 5.16.		Foreign Assets Control Regulations, Etc.		10
		Section 5.17.		Status under Certain Statutes.		12
		Section 5.18.		Notes and Affiliate Guaranties Rank Pari Passu.		12
		Section 5.19.		Environmental Matters.		12
		Section 5.20.		REIT Status.		13
						
	SECTION 6.	REPRESENTATIONS OF THE PURCHASERS.		13
		Section 6.1.		Purchase for Investment.		13
		Section 6.2.		Source of Funds.		13
						
	SECTION 7.	INFORMATION AS TO COMPANY.		15
		Section 7.1.		Financial and Business Information.		15
		Section 7.2.		Officer’s Certificate.		17
		Section 7.3.		Visitation.		18
		Section 7.4.		Electronic Delivery.		18
						
	SECTION 8.	PAYMENT AND PREPAYMENT OF THE NOTES.		19
		Section 8.1.		Maturity.		19
		Section 8.2.		Optional Prepayments with Make‐Whole Amount.		19
		Section 8.3.		Allocation of Partial Prepayments.		20
		Section 8.4.		Maturity; Surrender, Etc.		20
		Section 8.5.		Purchase of Notes.		20
		Section 8.6.		Make‐Whole Amount.		21
		Section 8.7.		Prepayment of Notes upon Change in Control.		22
		Section 8.8.		Payments Due on Non‐Business Days.		23
		Section 8.9.		Prepayment of Notes upon Waiver Period Event.		23
		Section 8.10.		Additional Prepayment Offer upon Waiver Period Event.		24
		Section 8.11.		Waiver Period Optional Prepayment.		25
						
	SECTION 9.	AFFIRMATIVE COVENANTS.	26	25
		Section 9.1.		Compliance with Laws.	26	25
		Section 9.2.		Insurance.		26
		Section 9.3.		Maintenance of Properties.		26
		Section 9.4.		Payment of Taxes and Claims.		26
		Section 9.5.		Legal Existence, Etc.	27	26
		Section 9.6.		Notes to Rank Pari Passu.		27
		Section 9.7.		Books and Records.		27
		Section 9.8.		Subsidiary Guarantors.		27
		Section 9.9.		Most Favored Lender Status.		28
		Section 9.10.		Collateral.		29
		Section 9.11.		Note Rating.		31
						
	SECTION 10.	NEGATIVE COVENANTS.	32	31
		Section 10.1.		Transactions with Affiliates.	32	31
						
						
						
						

																		
		Section 10.2.		Merger, Consolidation, Etc.		32
		Section 10.3.		Line of Business.		33
		Section 10.4.		Terrorism Sanctions Regulations.		33
		Section 10.5.		Liens.		33
		Section 10.6.		Financial Covenants.		35
		Section 10.7.		Dispositions.	40	39
		Section 10.8.		Restricted Payments.	41	40
		Section 10.9.		Investments.	42	41
		Section 10.10.		Enhanced Negative Covenants.	44	43
						
	SECTION 11.	EVENTS OF DEFAULT.	45	44
						
	SECTION 12.	REMEDIES ON DEFAULT, ETC.	48	47
		Section 12.1.		Acceleration.	48	47
		Section 12.2.		Other Remedies.	48	47
		Section 12.3.		Rescission.	48	47
		Section 12.4.		No Waivers or Election of Remedies, Expenses, Etc.	49	48
						
	SECTION 13.	PARENT GUARANTY, ETC.	49	48
		Section 13.1.		Parent Guaranty.	49	48
		Section 13.2.		Obligations Unconditional.	50	49
		Section 13.3.		Marshalling and Accounts.	53	52
		Section 13.4.		General Limitation on Guarantee Obligations.	53	52
						
	SECTION 14.	REGISTRATION; EXCHANGE; SUBSTITUTION OF NOTES.	53	52
		Section 14.1.		Registration of Notes.	53	52
		Section 14.2.		Transfer and Exchange of Notes.	54	53
		Section 14.3.		Replacement of Notes.	54	53
						
	SECTION 15.	PAYMENTS ON NOTES.	54	53
		Section 15.1.		Place of Payment.	54	53
		Section 15.2.		Home Office Payment.	55	54
						
	SECTION 16.	EXPENSES, ETC.	55	54
		Section 16.1.		Transaction Expenses.	55	54
		Section 16.2.		Survival.	56	55
						
	SECTION 17.	SURVIVAL OF REPRESENTATIONS AND WARRANTIES; ENTIRE AGREEMENT.	56	55
						
	SECTION 18.	AMENDMENT AND WAIVER.	56	55
		Section 18.1.		Requirements.	56	55
						
						
						
						

																		
		Section 18.2.		Solicitation of Holders of Notes.	56	55
		Section 18.3.		Binding Effect, Etc.	57	56
		Section 18.4.		Notes Held by Company, Etc.	57	56
						
	SECTION 19.	NOTICES.	58	57
						
	SECTION 20.	REPRODUCTION OF DOCUMENTS.	58	57
						
	SECTION 21.	CONFIDENTIAL INFORMATION.	58	57
						
	SECTION 22.	SUBSTITUTION OF PURCHASER.	60	59
						
	SECTION 23.	MISCELLANEOUS.	60	59
		Section 23.1.		Successors and Assigns.	60	59
		Section 23.2.		Accounting Terms.	60	59
		Section 23.3.		Severability.	61	60
		Section 23.4.		Construction, Etc.	61	60
		Section 23.5.		Counterparts.	61	60
		Section 23.6.		Governing Law.	62	61
		Section 23.7.		Jurisdiction and Process; Waiver of Jury Trial.	62	61
		Section 23.8.		Subordination.	62	61
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						
						

																		
	Schedule A	—	Defined Terms		
						
	Schedule 1(a)	—	Form of 4.70% Senior Note, Series A, due December 1, 2023		
						
	Schedule 1(b)	—	Form of 4.93% Senior Note, Series B, due December 1, 2025		
						
	Schedule 2.2	—	Form of Subsidiary Guaranty		
						
	Schedule 4.4(a)	—	Form of Opinion of Special Counsel for the Company and the Guarantors		
						
	Schedule 4.4(b)	—	Form of Opinion of Special Counsel for the Purchasers		
						
	Schedule 5.3	—	Disclosure Materials		
						
	Schedule 5.4	—	Subsidiaries of the Company and Ownership of Subsidiary Stock		
						
	Schedule 5.5	—	Financial Statements		
						
	Schedule 5.15	—	Existing Indebtedness		
						
	Schedule B	—	Information Relating to Purchasers		
						
						
	Exhibit A	—	Liquidity Compliance Certificate		
						
	Exhibit B	—	Pledge Agreement		

Pebblebrook Hotel, L.P.
7315 Wisconsin Ave., 1110 W
Bethesda, MD  20814

$60,000,000 4.70% Senior Notes, Series A, due December 1, 2023
$40,000,000 4.93% Senior Notes, Series B, due December 1, 2025
November 12, 2015
To Each of the Purchasers Listed in
Schedule B Hereto:

Ladies and Gentlemen:
Pebblebrook Hotel, L.P., a Delaware limited partnership (together with any successor thereto that becomes a party hereto pursuant to Section 10.2, the “Company”) and Pebblebrook, Hotel Trust, a Maryland real estate investment trust (together with its successors and assigns, the “Parent REIT”), agree with each of the Purchasers as follows:
SECTION 1.    AUTHORIZATION OF NOTES.
The Company will authorize the issue and sale of (i) $60,000,000 aggregate principal amount of its 4.70% Senior Notes, Series A, due December 1, 2023 (the “Series A Notes”) and (ii) $40,000,000 aggregate principal amount of its 4.93% Senior Notes, Series B, due December 1, 2025 (the “Series B Notes” and, together with the Series A Notes, as amended, restated or otherwise modified from time to time pursuant to Section 17 and including any such notes issued in substitution therefor pursuant to Section 13, the “Notes”).  The Series A Notes shall be substantially in the form set out in Schedule 1(a) and the Series B Notes shall be substantially in the form set out in Schedule 1(b).  Certain capitalized and other terms used in this Agreement are defined in Schedule A.  References to a “Schedule” are references to a Schedule attached to this Agreement unless otherwise specified.  References to a “Section” are references to a Section of this Agreement unless otherwise specified.
SECTION 2.    SALE AND PURCHASE OF NOTES.

Section 2.1.    Purchase and Sale of Notes.  Subject to the terms and conditions of this Agreement, the Company will issue and sell to each Purchaser and each Purchaser will purchase from the Company, at the Closing provided for in Section 3, the relevant Notes in the respective principal amount(s) and in the Series specified opposite such Purchaser’s name in Schedule B at the purchase price of 100% of the principal amount thereof.  The Purchasers’ obligations hereunder are several and not joint obligations and no Purchaser shall have any liability to any Person for the performance or non-performance of any obligation by any other Purchaser hereunder.
Section 2.2.    Affiliate Guaranties.  The payment by the Company of all amounts due with respect to the Notes and the performance by the Company of its obligations under this Agreement will be absolutely and unconditionally guaranteed by the Parent REIT pursuant to the Parent Guaranty as set forth in Section 13 and by the Subsidiary Guarantors pursuant to the Subsidiary Guaranty substantially in the form of Schedule 2.2 attached hereto and made a part hereof (the “Subsidiary Guaranty”).
SECTION 3.    CLOSING.
The execution of the Note Purchase Agreement shall occur at the office of Chapman and Cutler LLP, 111 West Monroe Street, Chicago, Illinois 60603 on November 12, 2015 (the “Execution Date”).  The sale and purchase of the Notes to be purchased by each Purchaser shall occur at the offices of at the offices of Chapman and Cutler LLP, 111 West Monroe Street, Chicago, Illinois 60603 at 10:00 A.M. Chicago time, at a closing (the “Closing”) on December 1, 2015.  At the Closing the Company will deliver to each Purchaser the Notes to be purchased by such Purchaser in the form of a single Note of each Series to be purchased by such Purchaser (or such greater number of Notes in denominations of at least $100,000 as such Purchaser may request) dated the date of the Closing and registered in such Purchaser’s name (or in the name of its nominee), against delivery by such Purchaser to the Company or its order of immediately available funds in the amount of the purchase price therefor by wire transfer of immediately available funds for the account of the Company to account number Pebblebrook Hotel L.P. at U.S. Bank, N.A., Antioch, TN, ABA 064000059, Account #151203840377.  If at the Closing the Company shall fail to tender such Notes to any Purchaser as provided above in this Section 3, or any of the conditions specified in Section 4 shall not have been fulfilled to such Purchaser’s satisfaction, such Purchaser shall, at its election, be relieved of all further obligations under this Agreement, without thereby waiving any rights such Purchaser may have by reason of any of the conditions specified in Section 4 not having been fulfilled to such Purchaser’s satisfaction or such failure by the Company to tender such Notes.
SECTION 4.    CONDITIONS TO CLOSING.
Each Purchaser’s obligation to purchase and pay for the Notes to be sold to such Purchaser at the Closing is subject to the fulfillment to such Purchaser’s satisfaction, prior to or at the Closing, of the following conditions:
Section 4.1.    Representations and Warranties.  (a) The representations and warranties of the Company in this Agreement shall be correct when made and at the time of such Closing. 

(b)    The representations and warranties of the Guarantors in this Agreement and the Affiliate Guaranties, as applicable, shall be correct when made and at the time of such Closing.
Section 4.2.    Performance; No Default.  (a) The Company shall have performed and complied with all agreements and conditions contained in this Agreement required to be performed or complied with by it prior to or at the Closing and from the Execution Date to the Closing assuming that Sections 9 and 10 of this Agreement are applicable.  From the Execution Date until the Closing, before and after giving effect to the issue and sale of the Notes (and the application of the proceeds thereof as contemplated by Section 5.14), no Default, Event of Default or Change in Control shall have occurred and be continuing.  None of the Company Parties shall have entered into any transaction since the date of the Information Memorandum that would have been prohibited by Section 10 had such Section applied since such date.
(b)    Each Guarantor shall have performed and complied with all agreements and conditions contained in this Agreement and the applicable Affiliate Guaranty required to be performed and complied with by it prior to or at the Closing, and immediately after giving effect to the issue and sale of Notes at the Closing (and the application of the proceeds thereof as contemplated by Section 5.14), no Default or Event of Default shall have occurred and be continuing.  None of the Company Parties shall have entered into any transaction since the date of the Memorandum that would have been prohibited by Section 10 had such Section applied since such date.
Section 4.3.    Compliance Certificates.
(a)    Officer’s Certificate.  The Company shall have delivered to such Purchaser an Officer’s Certificate, dated the date of the Closing, certifying that the conditions specified in Sections 4.1(a), 4.2(a) and 4.9 have been fulfilled.
(b)    Guarantor Officer’s Certificate.  Each Guarantor shall have delivered to such Purchaser an Officer’s Certificate, dated the date of the Closing, certifying that the conditions specified in Section 4.1(b), 4.2(b) and 4.9 have been fulfilled.
(c)    Secretary’s Certificate.  The Company shall have delivered to such Purchaser a certificate of its Secretary or Assistant Secretary, dated the date of the Closing, certifying as to (i) the resolutions attached thereto and other entity organizational proceedings relating to the authorization, execution and delivery of the Notes and this Agreement and (ii) the Company’s Organization Documents as then in effect.
(d)    Guarantor Secretary’s Certificate.  Each Guarantor shall have delivered to such Purchaser a certificate of its Secretary or Assistant Secretary, dated the date of the Closing, certifying as to the resolutions attached thereto and other entity organizational proceedings relating to the authorization, execution and delivery of this Agreement (in the case of the Parent REIT) and the applicable Affiliate Guaranty.
(e)    Certificates.  The certificates provided under this Section 4.3 may be combined and delivered as one or more certificates.

Section 4.4.    Opinions of Counsel.  Such Purchaser shall have received opinions in form and substance satisfactory to such Purchaser, dated the date of the Closing (a) from Honigman Miller Schwartz and Cohn LLP, counsel for the Company and the Guarantors, covering the matters set forth in Schedule 4.4(a) and covering such other matters incident to the transactions contemplated hereby as such Purchaser or its counsel may reasonably request (and the Company hereby instructs its counsel to deliver such opinion to the Purchasers) and (b) from Chapman and Cutler LLP, the Purchasers’ special counsel in connection with such transactions, substantially in the form set forth in Schedule 4.4(b) and covering such other matters incident to such transactions as such Purchaser may reasonably request.
Section 4.5.    Purchase Permitted By Applicable Law, Etc.  On the date of the Closing, such Purchaser’s purchase of Notes shall (a) be permitted by the laws and regulations of each jurisdiction to which such Purchaser is subject, without recourse to provisions (such as section 1405(a)(8) of the New York Insurance Law) permitting limited investments by insurance companies without restriction as to the character of the particular investment, (b) not violate any applicable law or regulation (including, without limitation, Regulation T, U or X of the Board of Governors of the Federal Reserve System) and (c) not subject such Purchaser to any tax, penalty or liability under or pursuant to any applicable law or regulation, which law or regulation was not in effect on the Execution Date.  If requested by such Purchaser, such Purchaser shall have received an Officer’s Certificate certifying as to such matters of fact as such Purchaser may reasonably specify to enable such Purchaser to determine whether such purchase is so permitted.
Section 4.6.    Sale of Other Notes.  Contemporaneously with the Closing, the Company shall sell to each other Purchaser and each other Purchaser shall purchase the Notes to be purchased by it at the Closing as specified in Schedule B.
Section 4.7.    Payment of Special Counsel Fees.  Without limiting Section 15.1, the Company shall have paid on or before the Execution Date and the Closing the fees, charges and disbursements of the Purchasers’ special counsel referred to in Section 4.4 to the extent reflected in a statement of such counsel rendered to the Company at least one Business Day prior to  the Execution Date and the Closing.
Section 4.8.    Private Placement Number.  A Private Placement Number issued by Standard & Poor’s CUSIP Service Bureau (in cooperation with the SVO) shall have been obtained for the Notes of each Series.
Section 4.9.    Changes in Corporate Structure.  The Company Parties shall not have changed their respective jurisdiction of incorporation or organization, as applicable, or been a party to any merger or consolidation or succeeded to all or any substantial part of the liabilities of any other entity, at any time following the date of the most recent financial statements referred to in Schedule 5.5.  
Section 4.10.    Affiliate Guaranties.  The Affiliate Guaranties shall have been executed and delivered by each Guarantor and shall be in full force and effect.  

Section 4.11.    Funding Instructions.  At least three (3) Business Days prior to the date of the Closing, each Purchaser shall have received written instructions signed by a Responsible Officer on letterhead of the Company confirming the information specified in Section 3 including (i) the name and address of the transferee bank, (ii) such transferee bank’s ABA number and (iii) the account name and number into which the purchase price for the Notes is to be deposited.
Section 4.12.    Proceedings and Documents.  All corporate and other proceedings in connection with the transactions contemplated by this Agreement and all documents and instruments incident to such transactions shall be satisfactory to such Purchaser and its special counsel, and such Purchaser and its special counsel shall have received all such counterpart originals or certified or other copies of such documents as such Purchaser or such special counsel may reasonably request.
SECTION 5.    REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND THE PARENT REIT.
The Company and the Parent REIT represent and warrant to each Purchaser as of the Execution Date and as of the Closing that: 
Section 5.1.    Organization; Power and Authority.  The Company and the Parent REIT are each an entity duly organized, validly existing and in good standing under the laws of its jurisdiction of organization, and duly qualified as a foreign entity and in good standing in each jurisdiction in which such qualification is required by law, other than those jurisdictions as to which the failure to be so qualified or in good standing could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  Each of the Company and the Parent REIT has the entity organizational power and authority to own or hold under lease the properties it purports to own or hold under lease, to transact the business it transacts and proposes to transact, to execute and deliver this Agreement, the Parent Guaranty and the Notes, as applicable and to perform the provisions hereof and thereof.  
Section 5.2.    Authorization, Etc.  This Agreement, the Affiliate Guaranties and the Notes have been duly authorized by all necessary entity organizational action on the part of the Company Parties party thereto, and this Agreement and each Affiliate Guaranty constitutes, and upon execution and delivery thereof each Note will constitute, a legal, valid and binding obligation of each Company Party party thereto, enforceable against such Company Party party thereto in accordance with its terms, except as such enforceability may be limited by (i) applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law).

Section 5.3.    Disclosure.  The Company, through its agent, U.S. Bancorp Investments, Inc. and Wells Fargo Securities LLC, has delivered to each Purchaser a copy of an Information Memorandum, dated August 2015 (the “Information Memorandum”), relating to the transactions contemplated hereby.  The Information Memorandum fairly describes, in all material respects, the general nature of the business and principal properties of the Company and its Subsidiaries.  This Agreement, the Information Memorandum, the financial statements listed in Schedule 5.5 and the documents, certificates or other writings delivered to the Purchasers by or on behalf of the Company and the Parent REIT prior to September 9, 2015 in connection with the transactions contemplated hereby and identified in Schedule 5.3 (this Agreement, the Memorandum and such documents, certificates or other writings and such financial statements delivered to each Purchaser being referred to, collectively, as the “Disclosure Documents”), taken as a whole, do not contain any untrue statement of a material fact or omit to state any material fact necessary to make the statements therein not misleading in light of the circumstances under which they were made.  No representation is made as to any projections included in the Disclosure Documents other than that such projections are based on information that the Company and the Parent REIT believed to be accurate as of the date of preparation and were calculated in a manner the Company and the Parent REIT believe to be reasonable.  Except as disclosed in the Disclosure Documents, since December 31, 2014, there has been no change in the financial condition, operations, business, properties or prospects of the Company Parties, taken as a whole, except changes that could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  There is no fact known to the Company or the Parent REIT that could reasonably be expected to have a Material Adverse Effect that has not been set forth herein or in the Disclosure Documents.
Section 5.4.    Organization and Ownership of Shares of Subsidiaries; Affiliates.   (a)  Schedule 5.4 contains (except as noted therein) complete and correct lists of (i) the Company Parties as of the date of the Closing showing, as to each Subsidiary, the name thereof, the jurisdiction of its organization, and the percentage of shares of each class of its capital stock or similar equity interests outstanding owned by each Company Party, (ii) the Parent REIT’s and the Company’s Affiliates, other than Subsidiaries, and (iii) the Parent REIT’s and the Company’s directors and senior officers.
(b)    All of the outstanding shares of capital stock or similar equity interests of each Subsidiary shown in Schedule 5.4 as being owned by the Company Parties have been validly issued, are fully paid and non-assessable and are owned by such Company Party or another Subsidiary free and clear of any Lien that is prohibited by this Agreement.

(c)    Each Subsidiary is a corporation or other legal entity duly organized, validly existing and, where applicable, in good standing under the laws of its jurisdiction of organization, and is duly qualified as a foreign corporation or other legal entity and, where applicable, is in good standing in each jurisdiction in which such qualification is required by law, other than those jurisdictions as to which the failure to be so qualified or in good standing could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  Each such Subsidiary has the corporate or other power and authority to own or hold under lease the properties it purports to own or hold under lease and to transact the business it transacts and proposes to transact.
(d)    No Subsidiary is subject to any legal, regulatory, contractual or other restriction (other than the agreements listed on Schedule 5.4 and customary limitations imposed by corporate law or similar statutes) restricting the ability of such Subsidiary to pay dividends out of profits or make any other similar distributions of profits to the Parent REIT or the Company or any of their respective Subsidiaries that owns outstanding shares of capital stock or similar equity interests of such Subsidiary.
Section 5.5.    Financial Statements; Material Liabilities.  The Parent REIT and the Company have delivered to each Purchaser copies of the financial statements of the Parent REIT and its Subsidiaries listed on Schedule 5.5.  All of such financial statements (including in each case the related schedules and notes) fairly present in all material respects the consolidated financial position of the Company Parties as of the respective dates specified in such Schedule and the consolidated results of their operations and cash flows for the respective periods so specified and have been prepared in accordance with GAAP consistently applied throughout the periods involved except as set forth in the notes thereto (subject, in the case of any interim financial statements, to normal year-end adjustments).  The Company Parties do not have any Material liabilities that are not disclosed in the Disclosure Documents.
Section 5.6.    Compliance with Laws, Other Instruments, Etc.  The execution, delivery and performance by the Company Parties of this Agreement, the Affiliate Guaranties and the Notes to which they are a party, will not (i) contravene, result in any breach of, or constitute a default under, or result in the creation of any Lien in respect of any property of any Company Party under, any indenture, mortgage, deed of trust, loan, purchase or credit agreement, lease, corporate charter or by-laws, shareholders agreement or any other agreement or instrument to which any Company Party is bound or by which any Company Party or any of their respective properties may be bound or affected, (ii) conflict with or result in a breach of any of the terms, conditions or provisions of any order, judgment, decree or ruling of any court, arbitrator or Governmental Authority applicable to any Company Party or any Subsidiary or (iii) violate any provision of any statute or other rule or regulation of any Governmental Authority applicable to any Company Party. 
Section 5.7.    Governmental Authorizations, Etc.  No consent, approval or authorization of, or registration, filing or declaration with, any Governmental Authority is required in connection with the execution, delivery or performance by the Company Parties of this Agreement, the Affiliate Guaranties or the Notes, as applicable.

Section 5.8.    Litigation; Observance of Agreements, Statutes and Orders.  (a) There are no actions, suits, investigations or proceedings pending or, to the best knowledge of the Parent REIT or the Company, threatened against or affecting any Company Party or any property of the Company Parties in any court or before any arbitrator of any kind or before or by any Governmental Authority that could, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.
(b)    No Company Party is (i) in default under any agreement or instrument to which it is a party or by which it is bound, (ii) in violation of any order, judgment, decree or ruling of any court, arbitrator or Governmental Authority or (iii) in violation of any applicable law, ordinance, rule or regulation of any Governmental Authority (including, without limitation, Environmental Laws, the USA PATRIOT Act or any of the other laws and regulations that are referred to in Section 5.16), which default or violation could, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.
Section 5.9.    Taxes.  Each Company Party has filed all tax returns that are required to have been filed in any jurisdiction, and have paid all taxes shown to be due and payable on such returns and all other taxes and assessments levied upon them or their properties, assets, income or franchises, to the extent such taxes and assessments have become due and payable and before they have become delinquent, except for any taxes and assessments (i) the amount of which, individually or in the aggregate, is not Material or (ii) the amount, applicability or validity of which is currently being contested in good faith by appropriate proceedings and with respect to which a Company Party has established adequate reserves in accordance with GAAP.  Neither the Parent REIT nor the Company knows of any basis for any other tax or assessment that could, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  The charges, accruals and reserves on the books of the Company Parties in respect of U.S. federal, state or other taxes for all fiscal periods are adequate.  The U.S. federal income tax liabilities of the Company Parties have been finally determined (whether by reason of completed audits or the statute of limitations having run) for all fiscal years up to and including the fiscal year ended 2011.
Section 5.10.    Title to Property; Leases.  The Company Parties have good and sufficient title to their respective properties that individually or in the aggregate are Material, including all such properties reflected in the most recent audited balance sheet referred to in Section 5.5 or purported to have been acquired by the Company Parties after such date (except as sold or otherwise disposed of in the ordinary course of business), in each case free and clear of Liens prohibited by this Agreement.  All leases that individually or in the aggregate are Material are valid and subsisting and are in full force and effect except where the failure to be in full force and effect could not reasonably be expected to have a Material Adverse Effect. 
Section 5.11.    Licenses, Permits, Etc.  (a) The Company Parties own or possess all licenses, permits, franchises, authorizations, patents, copyrights, proprietary software, service marks, trademarks and trade names, or rights thereto, that individually or in the aggregate are Material, without known conflict with the rights of others.

(b)    To the best knowledge of the Parent REIT and the Company, no product or service of any Company Party infringes in any material respect any license, permit, franchise, authorization, patent, copyright, proprietary software, service mark, trademark, trade name or other right owned by any other Person.
(c)    To the best knowledge of the Parent REIT and the Company, there is no Material violation by any Person of any right of any Company Party with respect to any patent, copyright, proprietary software, service mark, trademark, trade name or other right owned or used by any Company Party.
Section 5.12.    Compliance with ERISA.  (a)  Each Company Party and each ERISA Affiliate have operated and administered each Plan in compliance with all applicable laws except for such instances of noncompliance as have not resulted in and could not, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.  No Company Party nor any ERISA Affiliate has incurred any liability pursuant to Title I or IV of ERISA or the penalty or excise tax provisions of the Code relating to employee benefit plans (as defined in section 3 of ERISA), and no event, transaction or condition has occurred or exists that could, individually or in the aggregate, reasonably be expected to result in the incurrence of any such liability by any Company Party or any ERISA Affiliate, or in the imposition of any Lien on any of the rights, properties or assets of any Company Party or any ERISA Affiliate, in either case pursuant to Title I or IV of ERISA or to section 430(k) of the Code or to any such penalty or excise tax provisions under the Code or federal law or section 4068 of ERISA or by the granting of a security interest in connection with the amendment of a Plan, other than such liabilities or Liens as would not be individually or in the aggregate Material.
(b)    Neither the Company, the Parent REIT nor their respective ERISA Affiliates maintain or contribute to any Plan that is subject to Title IV of ERISA.
(c)    Each Company Party and their ERISA Affiliates have not incurred withdrawal liabilities (and are not subject to contingent withdrawal liabilities) under section 4201 or 4204 of ERISA in respect of Multiemployer Plans that individually or in the aggregate are Material.
(d)    The expected postretirement benefit obligation (determined as of the last day of the Parent REIT’s most recently ended fiscal year in accordance with Financial Accounting Standards Board Accounting Standards Codification Topic 715-60, without regard to liabilities attributable to continuation coverage mandated by section 4980B of the Code) of the Company Parties is not Material.
(e)    The execution and delivery of this Agreement and the issuance and sale of the Notes hereunder will not involve any transaction that is subject to the prohibitions of section 406 of ERISA or in connection with which a tax could be imposed pursuant to section 4975(c)(1)(A)-(D) of the Code.  The representation by the Parent REIT and the Company to each Purchaser in the first sentence of this Section 5.12(e) is made in reliance upon and subject to the accuracy of such Purchaser’s representation in Section 6.2 as to the sources of the funds to be used to pay the purchase price of the Notes to be purchased by such Purchaser.

Section 5.13.    Private Offering.  Neither the Parent REIT, the Company nor anyone acting on its or their behalf has offered the Notes, Affiliate Guaranties or any similar Securities for sale to, or solicited any offer to buy the Notes or any similar Securities from, or otherwise approached or negotiated in respect thereof with, any Person other than the Purchasers and not more than twelve (12) other Institutional Investors, each of which has been offered the Notes and the Affiliate Guaranties at a private sale for investment.  Neither the Parent REIT, the Company nor anyone acting on its or their behalf has taken, or will take, any action that would subject the issuance or sale of the Notes to the registration requirements of section 5 of the Securities Act or to the registration requirements of any Securities or blue sky laws of any applicable jurisdiction.
Section 5.14.    Use of Proceeds; Margin Regulations.  The Company will apply the proceeds of the sale of the Notes hereunder to reduce outstanding indebtedness under the Bank of America Credit Facility and for general corporate purposes.  No part of the proceeds from the sale of the Notes hereunder will be used, directly or indirectly, for the purpose of buying or carrying any margin stock within the meaning of Regulation U of the Board of Governors of the Federal Reserve System (12 CFR 221), or for the purpose of buying or carrying or trading in any Securities under such circumstances as to involve the Company in a violation of Regulation X of said Board (12 CFR 224) or to involve any broker or dealer in a violation of Regulation T of said Board (12 CFR 220).  Margin stock does not constitute more than 5% of the value of the consolidated assets of the Company Parties and the Parent REIT does not have any present intention that margin stock will constitute more than 5% of the value of such assets.  As used in this Section, the terms “margin stock” and “purpose of buying or carrying” shall have the meanings assigned to them in said Regulation U.
Section 5.15.    Existing Indebtedness; Future Liens.  (a)    Except as described therein, Schedule 5.15 sets forth a complete and correct list of all outstanding Indebtedness of the Company Parties as of September 30, 2015 (including descriptions of the obligors and obligees, principal amounts outstanding, any collateral therefor and any Guaranties thereof), since which date there has been no Material change in the amounts, interest rates, sinking funds, installment payments or maturities of such Indebtedness.  No Company Party is in default and no waiver of default is currently in effect, in the payment of any principal or interest on any Indebtedness of the Company Party and no event or condition exists with respect to any Indebtedness of the Company Parties that would permit (or that with notice or the lapse of time, or both, would permit) one or more Persons to cause such Indebtedness to become due and payable before its stated maturity or before its regularly scheduled dates of payment.
(b)    Except as disclosed in Schedule 5.15, none of the Company Parties has agreed or consented to cause or permit any of its property, whether now owned or hereafter acquired, to be subject to a Lien that secures Indebtedness or to cause or permit in the future (upon the happening of a contingency or otherwise) any of its property, whether now owned or hereafter acquired, to be subject to a Lien that secures Indebtedness.

(c)    None of the Company Parties is a party to, or otherwise subject to any provision contained in, any instrument evidencing Indebtedness of the Company Party, any agreement relating thereto or any other agreement (including, but not limited to, its charter or other Organization Document) which limits the amount of, or otherwise imposes restrictions on the incurring of, Indebtedness of the Company, except as disclosed in Schedule 5.15.
Section 5.16.    Foreign Assets Control Regulations, Etc.  (a) Neither any Company Party nor any Controlled Entity is (i) a Person whose name appears on the list of Specially Designated Nationals and Blocked Persons published by the Office of Foreign Assets Control, United States Department of the Treasury (“OFAC”) (an “OFAC Listed Person”) (ii) an agent, department, or instrumentality of, or is otherwise beneficially owned by, controlled by or acting on behalf of, directly or indirectly, (x) any OFAC Listed Person or (y) any Person, entity, organization, foreign country or regime that is subject to any OFAC Sanctions Program, or (iii) otherwise blocked, subject to sanctions under or engaged in any activity in violation of other United States economic sanctions, including but not limited to, the Trading with the Enemy Act, the International Emergency Economic Powers Act, the Comprehensive Iran Sanctions, Accountability and Divestment Act (“CISADA”) or any similar law or regulation with respect to Iran or any other country, the Sudan Accountability and Divestment Act, any OFAC Sanctions Program, or any economic sanctions regulations administered and enforced by the United States or any enabling legislation or executive order relating to any of the foregoing (collectively, “U.S. Economic Sanctions”) (each OFAC Listed Person and each other Person, entity, organization and government of a country described in clause (i), clause (ii) or clause (iii), a “Blocked Person”).  Neither a Company Party nor any Controlled Entity has been notified that its name appears or may in the future appear on a state list of Persons that engage in investment or other commercial activities in Iran or any other country that is subject to U.S. Economic Sanctions.
(b)    No part of the proceeds from the sale of the Notes hereunder constitutes or will constitute funds obtained on behalf of any Blocked Person or will otherwise be used by a Company Party or any Controlled Entity, directly or indirectly, (i) in connection with any investment in, or any transactions or dealings with, any Blocked Person, or (ii) otherwise in violation of U.S. Economic Sanctions.

(c)    Neither any Company Party nor any Controlled Entity (i) has been found in violation of, charged with, or convicted of, money laundering, drug trafficking, terrorist-related activities or other money laundering predicate crimes under the Currency and Foreign Transactions Reporting Act of 1970 (otherwise known as the Bank Secrecy Act), the USA PATRIOT Act or any other United States law or regulation governing such activities (collectively, “Anti-Money Laundering Laws”) or any U.S. Economic Sanctions violations, (ii) to the Parent REIT’s and the Company’s actual knowledge after making due inquiry, is under investigation by any Governmental Authority for possible violation of Anti-Money Laundering Laws or any U.S. Economic Sanctions violations, (iii) has been assessed civil penalties under any Anti-Money Laundering Laws or any U.S. Economic Sanctions, or (iv) has had any of its funds seized or forfeited in an action under any Anti-Money Laundering Laws.  The Company Parties have established procedures and controls which they reasonably believe are adequate (and otherwise comply with applicable law) to ensure that each Company Party and each Controlled Entity is and will continue to be in compliance with all applicable current and future Anti-Money Laundering Laws and U.S. Economic Sanctions.
(d)    (1) Neither any Company Party nor any Controlled Entity (i) has been charged with, or convicted of bribery or any other anti-corruption related activity under any applicable law or regulation in a U.S. or any non-U.S. country or jurisdiction, including but not limited to, the U.S. Foreign Corrupt Practices Act and the U.K. Bribery Act 2010 (collectively, “Anti-Corruption Laws”), (ii) to the Parent REIT and the Company’s actual knowledge after making due inquiry, is under investigation by any U.S. or non-U.S. Governmental Authority for possible violation of Anti-Corruption Laws, (iii) has been assessed civil or criminal penalties under any Anti-Corruption Laws or (iv) has been or is the target of sanctions imposed by the United Nations or the European Union; 
(2)    To the Parent REIT and the Company’s actual knowledge, no Company Party nor any Controlled Entity has, within the last five years, directly or indirectly offered, promised, given, paid or authorized the offer, promise, giving or payment of anything of value to a Governmental Official or a commercial counterparty for the purposes of: (i) influencing any act, decision or failure to act by such Governmental Official in his or her official capacity or such commercial counterparty, (ii) inducing a Governmental Official to do or omit to do any act in violation of the Governmental Official’s lawful duty, or (iii) inducing a Governmental Official or a commercial counterparty to use his or her influence with a government or instrumentality to affect any act or decision of such government or entity; in each case in order to obtain, retain or direct business or to otherwise secure an improper advantage in violation of any applicable law or regulation or which would cause any holder to be in violation of any law or regulation applicable to such holder; and

(3)    No part of the proceeds from the sale of the Notes hereunder will be used, directly or indirectly, for any improper payments, including bribes, to any Governmental Official or commercial counterparty in order to obtain, retain or direct business or obtain any improper advantage.  Each Company Party has established procedures and controls which it reasonably believes are adequate (and otherwise comply with applicable law) to ensure that each Company Party and each Controlled Entity is and will continue to be in compliance with all applicable current and future Anti-Corruption Laws.
Section 5.17.    Status under Certain Statutes.  No Company Party is subject to regulation under the Investment Company Act of 1940, as amended, the Public Utility Holding Company Act of 2005, as amended, the ICC Termination Act of 1995, as amended, or the Federal Power Act, as amended.
Section 5.18.    Notes and Affiliate Guaranties Rank Pari Passu.  The obligations of the Company under this Agreement and the Notes and the obligations of each Guarantor under their respective Affiliate Guaranties rank at least pari passu in right of payment with all other unsecured Senior Indebtedness of the Company or such Guarantor, as the case may be, including, without limitation, all unsecured Senior Indebtedness of the Company or such Guarantor, as the case may be, described in Schedule 5.15 hereto.
Section 5.19.    Environmental Matters.  (a) No Company Party has knowledge of any claim or has received any notice of any claim and no proceeding has been instituted asserting any claim against the Company Party or any of its respective real properties or other assets now or formerly owned, leased or operated by any of them, alleging any damage to the environment or violation of any Environmental Laws, except, in each case, such as could not reasonably be expected to result in a Material Adverse Effect. 
(b)    No Company Party has knowledge of any facts which would give rise to any claim, public or private, of violation of Environmental Laws or damage to the environment emanating from, occurring on or in any way related to real properties now or formerly owned, leased or operated by any of them or to other assets or their use, except, in each case, such as could not, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.
(c)    No Company Party has stored any Hazardous Materials on real properties now or formerly owned, leased or operated by any of them in a manner which is contrary to any Environmental Law that could, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.
(d)    No Company Party has disposed of any Hazardous Materials in a manner which is contrary to any Environmental Law that could, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.

(e)    All buildings on all real properties now owned, leased or operated by a Company Party are in compliance with applicable Environmental Laws, except where failure to comply could not, individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.
Section 5.20.    REIT Status.  The Parent REIT is qualified as a REIT and the Company is qualified as a REIT, a partnership or a disregarded entity (in each case, for federal income tax purposes), a TRS or a QRS, and each of their Subsidiaries that is a corporation is either a TRS or a QRS.  As of the Closing, the Subsidiaries of the Parent REIT and the Company that are taxable REIT subsidiaries, as such term is used in the Code, are identified on Schedule 5.4.
SECTION 6.    REPRESENTATIONS OF THE PURCHASERS.
Section 6.1.    Purchase for Investment.  Each Purchaser severally represents that it is purchasing the Notes for its own account or for one or more separate accounts maintained by such Purchaser or for the account of one or more pension or trust funds and not with a view to the distribution thereof, provided that the disposition of such Purchaser’s or their property shall at all times be within such Purchaser’s or their control.  Each Purchaser understands that the Notes have not been registered under the Securities Act 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 that the Company is not required to register the Notes.
Section 6.2.    Source of Funds.  Each Purchaser severally represents that at least one of the following statements is an accurate representation as to each source of funds (a “Source”) to be used by such Purchaser to pay the purchase price of the Notes to be purchased by such Purchaser hereunder:
(a)    the Source is an “insurance company general account” (as the term is defined in the United States Department of Labor’s Prohibited Transaction Exemption (“PTE”) 95-60) in respect of which the reserves and liabilities (as defined by the annual statement for life insurance companies approved by the NAIC (the “NAIC Annual Statement”)) for the general account contract(s) held by or on behalf of any employee benefit plan together with the amount of the reserves and liabilities for the general account contract(s) held by or on behalf of any other employee benefit plans maintained by the same employer (or affiliate thereof as defined in PTE 95-60) or by the same employee organization in the general account do not exceed 10% of the total reserves and liabilities of the general account (exclusive of separate account liabilities) plus surplus as set forth in the NAIC Annual Statement filed with such Purchaser’s state of domicile; or
(b)    the Source is a separate account that is maintained solely in connection with such Purchaser’s fixed contractual obligations under which the amounts payable, or credited, to any employee benefit plan (or its related trust) that has any interest in such separate account (or to any participant or beneficiary of such plan (including any annuitant)) are not affected in any manner by the investment performance of the separate account; or

(c)    the Source is either (i) an insurance company pooled separate account, within the meaning of PTE 90-1 or (ii) a bank collective investment fund, within the meaning of the PTE 91-38 and, except as disclosed by such Purchaser to the Company in writing pursuant to this clause (c), no employee benefit plan or group of plans maintained by the same employer or employee organization beneficially owns more than 10% of all assets allocated to such pooled separate account or collective investment fund; or
(d)    the Source constitutes assets of an “investment fund” (within the meaning of Part VI of PTE 84-14 (the “QPAM Exemption”)) managed by a “qualified professional asset manager” or “QPAM” (within the meaning of Part VI of the QPAM Exemption), no employee benefit plan’s assets that are managed by the QPAM in such investment fund, when combined with the assets of all other employee benefit plans established or maintained by the same employer or by an affiliate (within the meaning of Part VI(c)(1) of the QPAM Exemption) of such employer or by the same employee organization and managed by such QPAM, represent more than 20% of the total client assets managed by such QPAM, the conditions of Part I(c) and (g) of the QPAM Exemption are satisfied, neither the QPAM nor a person controlling or controlled by the QPAM maintains an ownership interest in the Company that would cause the QPAM and the Company to be “related” within the meaning of Part VI(h) of the QPAM Exemption and (i) the identity of such QPAM and (ii) the names of any employee benefit plans whose assets in the investment fund, when combined with the assets of all other employee benefit plans established or maintained by the same employer or by an affiliate (within the meaning of Part VI(c)(1) of the QPAM Exemption) of such employer or by the same employee organization, represent 10% or more of the assets of such investment fund, have been disclosed to the Company in writing pursuant to this clause (d); or
(e)    the Source constitutes assets of a “plan(s)” (within the meaning of Part IV(h) of PTE 96-23 (the “INHAM Exemption”)) managed by an “in-house asset manager” or “INHAM” (within the meaning of Part IV(a) of the INHAM Exemption), the conditions of Part I(a), (g) and (h) of the INHAM Exemption are satisfied, neither the INHAM nor a person controlling or controlled by the INHAM (applying the definition of “control” in Part IV(d)(3) of the INHAM Exemption) owns a 10% or more interest in the Company and (i) the identity of such INHAM and (ii) the name(s) of the employee benefit plan(s) whose assets constitute the Source have been disclosed to the Company in writing pursuant to this clause (e); or
(f)    the Source is a governmental plan; or
(g)    the Source is one or more employee benefit plans, or a separate account or trust fund comprised of one or more employee benefit plans, each of which has been identified to the Company in writing pursuant to this clause (g); or
(h)    the Source does not include assets of any employee benefit plan, other than a plan exempt from the coverage of ERISA.
As used in this Section 6.2, the terms “employee benefit plan,” “governmental plan,” and “separate account” shall have the respective meanings assigned to such terms in section 3 of ERISA.

SECTION 7.    INFORMATION AS TO COMPANY.
Section 7.1.    Financial and Business Information.  The Company shall deliver to each Purchaser and each holder of a Note that is an Institutional Investor: 
(a)    Quarterly Statements — within forty-five (45) days (or such shorter period as is the earlier of (x) fifteen (15) days greater than the period applicable to the filing of the Parent REIT’s Quarterly Report on Form 10-Q (the “Form 10-Q”) with the SEC regardless of whether the Parent REIT is subject to the filing requirements thereof and (y) the date by which such financial statements are required to be delivered under any Material Credit Facility or the date on which such corresponding financial statements are delivered under any Material Credit Facility if such delivery occurs earlier than such required delivery date) after the end of each quarterly fiscal period in each fiscal year of the Parent REIT (other than the last quarterly fiscal period of each such fiscal year), duplicate copies of,
(i)    a consolidated balance sheet of the Company Parties as at the end of such quarter, and
(ii)    consolidated statements of income, changes in shareholders’ equity and cash flows of the Company Parties, for such quarter and (in the case of the second and third quarters) for the portion of the fiscal year ending with such quarter,
setting forth in each case in comparative form the figures for the corresponding periods in the previous fiscal year, all in reasonable detail, prepared in accordance with GAAP applicable to quarterly financial statements generally, and certified by a Senior Financial Officer as fairly presenting, in all material respects, the financial position of the companies being reported on and their results of operations and cash flows, subject to changes resulting from year-end adjustments, provided that delivery within the time period specified above of copies of the Parent REIT’s Form 10-Q prepared in compliance with the requirements therefor and filed with the SEC shall be deemed to satisfy the requirements of this Section 7.1(a);
(b)    Annual Statements — within ninety (90) days (or such shorter period as is the earlier of (x) fifteen (15) days greater than the period applicable to the filing of the Parent REIT’s Annual Report on Form 10-K (the “Form 10-K”) with the SEC regardless of whether the Parent REIT is subject to the filing requirements thereof and (y) the date by which such financial statements are required to be delivered under any Material Credit Facility or the date on which such corresponding financial statements are delivered under any Material Credit Facility if such delivery occurs earlier than such required delivery date) after the end of each fiscal year of the Parent REIT, duplicate copies of
(i)    a consolidated balance sheet of the Company Parties as at the end of such year, and
(ii)    consolidated statements of income, changes in shareholders’ equity and cash flows of the Company Parties for such year,

setting forth in each case in comparative form the figures for the previous fiscal year, all in reasonable detail, prepared in accordance with GAAP, and accompanied by an opinion thereon (without a “going concern” or similar qualification or exception and without any qualification or exception as to the scope of the audit on which such opinion is based) of independent public accountants of recognized national standing, which opinion shall state that such financial statements present fairly, in all material respects, the financial position of the companies being reported upon and their results of operations and cash flows and have been prepared in conformity with GAAP, and that the examination of such accountants in connection with such financial statements has been made in accordance with generally accepted auditing standards, and that such audit provides a reasonable basis for such opinion in the circumstances, provided that the delivery within the time period specified above of the Parent REIT’s Form 10-K for such fiscal year (together with the Parent REIT’s annual report to shareholders, if any, prepared pursuant to Rule 14a-3 under the Securities Exchange Act of 1934) prepared in accordance with the requirements therefor and filed with the SEC, shall be deemed to satisfy the requirements of this Section 7.1(b);
(c)    SEC and Other Reports — promptly upon their becoming available, one copy of (i) each financial statement, report, notice or proxy statement sent by any Company Party to its principal lending banks as a whole (excluding information sent to such banks in the ordinary course of administration of a bank facility, such as information relating to pricing and borrowing availability) or to its public Securities holders generally, and (ii) each regular or periodic report, each registration statement (without exhibits except as expressly requested by such Purchaser or holder), and each prospectus and all amendments thereto filed by any Company Party with the SEC and of all press releases and other statements made available generally by any Company Party to the public concerning developments that are Material; 
(d)    Notice of Default or Event of Default — promptly, and in any event within five days after a Responsible Officer becoming aware of the existence of any Default or Event of Default or that any Person has given any notice or taken any action with respect to a claimed default hereunder or that any Person has given any notice or taken any action with respect to a claimed default of the type referred to in Section 11(f), a written notice specifying the nature and period of existence thereof and what action the Company is taking or proposes to take with respect thereto;
(e)    ERISA Matters — promptly, and in any event within five days after a Responsible Officer becoming aware of any of the following, a written notice setting forth the nature thereof and the action, if any, that the Company or an ERISA Affiliate proposes to take with respect thereto:
(i)    with respect to any Plan, any reportable event, as defined in section 4043(c) of ERISA and the regulations thereunder, for which notice thereof has not been waived pursuant to such regulations as in effect on the Execution Date; or

(ii)    the taking by the PBGC of steps to institute, or the threatening by the PBGC of the institution of, proceedings under section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan, or the receipt by the Parent REIT, the Company or any ERISA Affiliate of a notice from a Multiemployer Plan that such action has been taken by the PBGC with respect to such Multiemployer Plan; or
(iii)    any event, transaction or condition that could result in the incurrence of any liability by the Parent REIT, the Company or any ERISA Affiliate pursuant to Title I or IV of ERISA or the penalty or excise tax provisions of the Code relating to employee benefit plans, or in the imposition of any Lien on any of the rights, properties or assets of the Company or any ERISA Affiliate pursuant to Title I or IV of ERISA or such penalty or excise tax provisions, if such liability or Lien, taken together with any other such liabilities or Liens then existing, could reasonably be expected to have a Material Adverse Effect; 
(f)    Notices from Governmental Authority — promptly, and in any event within 30 days of receipt thereof, copies of any notice to any Company Party from any federal or state Governmental Authority relating to any order, ruling, statute or other law or regulation that could reasonably be expected to have a Material Adverse Effect;
(g)    Resignation or Replacement of Auditors — within ten days following the date on which the Parent REIT’s or the Company’s auditors resign or the Parent REIT or the Company elects to change auditors, as the case may be, notification thereof, together with such supporting information as the Required Holders may request; and
(h)    Requested Information — with reasonable promptness, such other data and information relating to the business, operations, affairs, financial condition, assets or properties of the Company Parties (including, but without limitation, actual copies of the Parent REIT’s Form 10-Q and Form 10-K) or relating to the ability of the Company to perform its obligations hereunder and under the Notes as from time to time may be reasonably requested by any such Purchaser or holder of a Note.
(i)    Waiver Period Reporting — not later than seven (7) Business Days after the last Business Day of each month during the Waiver Period, a Liquidity Compliance Certificate signed by the chief executive officer, chief financial officer, treasurer or controller of the Parent REIT (which delivery may, unless any Purchaser or holder of a Note that is an Institutional Investor requests executed originals, be by electronic communication including fax or email and shall be deemed to be an original authentic counterpart thereof for all purposes), together with documentation reasonably satisfactory to any Purchaser or holder of a Note that is an Institutional Investor to verify the calculations set forth in such certificate.
Section 7.2.    Officer’s Certificate.  Each set of financial statements delivered to a Purchaser or a holder of a Note pursuant to Section 7.1(a) or Section 7.1(b) shall be accompanied by a certificate of a Senior Financial Officer:

(a)    Covenant Compliance — setting forth the information from such financial statements that is required in order to establish whether the Parent REIT and the Company were in compliance with the requirements of Section 10.6 during the quarterly or annual period covered by the statements then being furnished (including with respect to each such provision that involves mathematical calculations, the information from such financial statements that is required to perform such calculations), and detailed calculations of the maximum or minimum amount, ratio or percentage, as the case may be, permissible under the terms of such Section, and the calculation of the amount, ratio or percentage then in existence.  In the event that any Company Party has made an election to measure any financial liability using fair value (which election is being disregarded for purposes of determining compliance with this Agreement pursuant to Section 23.2(a)) as to the period covered by any such financial statement, such Senior Financial Officer’s certificate as to such period shall include a reconciliation from GAAP with respect to such election; and
(b)    Event of Default — certifying that such Senior Financial Officer has reviewed the relevant terms hereof and has made, or caused to be made, under his or her supervision, a review of the transactions and conditions of the Company Parties from the beginning of the quarterly or annual period covered by the statements then being furnished to the date of the certificate and that such review shall not have disclosed the existence during such period of any condition or event that constitutes a Default or an Event of Default or, if any such condition or event existed or exists (including, without limitation, any such event or condition resulting from the failure of any Company Party to comply with any Environmental Law), specifying the nature and period of existence thereof and what action the Company shall have taken or proposes to take with respect thereto.
Section 7.3.    Visitation.  The Parent REIT and the Company shall permit the representatives of each Purchaser and each holder of a Note that is an Institutional Investor:
(a)    No Default — if no Default or Event of Default then exists, at the expense of such Purchaser or holder and upon reasonable prior notice to the Parent REIT and the Company, to visit the principal executive office of the Parent REIT and the Company, to discuss the affairs, finances and accounts of the Company Parties with the Parent REIT’s and the Company’s officers, and (with the consent of the Parent REIT, which consent will not be unreasonably withheld and presence of the Parent REIT if requested by the Parent REIT) its independent public accountants, and (with the consent of the Parent REIT, which consent will not be unreasonably withheld) to visit the other offices and properties of the Company Parties, all at such reasonable times and as often as may be reasonably requested in writing; and

(b)    Default — if a Default or Event of Default then exists, at the expense of the Parent REIT and the Company to visit and inspect any of the offices or properties of the Company Parties, to examine all their respective books of account, records, reports and other papers, to make copies and extracts therefrom, and to discuss their respective affairs, finances and accounts with their respective officers and independent public accountants (and by this provision each of the Parent REIT and the Company authorizes said accountants to discuss the affairs, finances and accounts of the Company Parties), all at such times and as often as may be requested.
Section 7.4.    Electronic Delivery.  Financial statements, opinions of independent certified public accountants, other information and Officer’s Certificates that are required to be delivered by the Parent REIT or the Company pursuant to Sections 7.1(a), (b) or (c) and Section 7.2 shall be deemed to have been delivered if the Parent REIT or the Company, as the case may be, satisfies any of the following requirements with respect thereto:
(i)    such financial statements satisfying the requirements of Section 7.1(a) or (b) and related Officer’s Certificate satisfying the requirements of Section 7.2 are delivered to each Purchaser or holder of a Note by e-mail; 
(ii)    the Parent REIT or the Company, as the case may be, shall have timely filed such Form 10-Q or Form 10-K, satisfying the requirements of Section 7.1(a) or Section 7.1(b), as the case may be, with the SEC on EDGAR and shall have made such form and the related Officer’s Certificate satisfying the requirements of Section 7.2 available on its home page on the internet, which is located at http://pebblebrookhotels.com as of the Execution Date; 
(iii)    such financial statements satisfying the requirements of Section 7.1(a) or Section 7.1(b) and related Officer’s Certificate(s) satisfying the requirements of Section 7.2 are timely posted by or on behalf of the Parent REIT or the Company, as the case may be, on IntraLinks or on any other similar website to which each Purchaser or holder of Notes has free access; or 
(iv)    the Parent REIT or the Company, as the case may be, shall have filed any of the items referred to in Section 7.1(c) with the SEC on EDGAR and shall have made such items available on its home page on the internet or on IntraLinks or on any other similar website to which each Purchaser or holder of Notes has free access;
or the Company, as the case may be, provided however, that in the case of any of clauses (ii), (iii) or (iv), the Parent REIT shall have given each Purchaser and each holder of a Note prior written notice, which may be by e-mail or in accordance with Section 19, of such posting or filing in connection with each delivery, provided further, that upon request of any Purchaser or holder to receive paper copies of such forms, financial statements and Officer’s Certificates or to receive them by e-mail, the Parent REIT or the Company, as the case may be, will promptly e-mail them or deliver such paper copies, as the case may be, to such Purchaser or holder.  
SECTION 8.    PAYMENT AND PREPAYMENT OF THE NOTES.

Section 8.1.    Maturity.  As provided therein, the entire unpaid principal balance of each Note shall be due and payable on the Maturity Date thereof.
Section 8.2.    Optional Prepayments with Make-Whole Amount.  (a) The Company may, at its option, upon notice as provided below, prepay at any time all, or from time to time any part of, the Notes of any Series, in an amount not less than 10% of the aggregate principal amount of the Notes of any Series to be prepaid then outstanding in the case of a partial prepayment, at 100% of the principal amount so prepaid, and the Make-Whole Amount determined for the prepayment date with respect to such principal amount.  The Company will give each holder of Notes written notice of each optional prepayment under this Section 8.2 not less than ten days and not more than 60 days prior to the date fixed for such prepayment unless the Company and the Required Holders agree to another time period pursuant to Section 18.  Each such notice shall specify such date (which shall be a Business Day), the aggregate principal amount of the Notes of each Series to be prepaid on such date, the principal amount of each Note of each Series held by such holder to be prepaid (determined in accordance with Section 8.3), and the interest to be paid on the prepayment date with respect to such principal amount being prepaid, and shall be accompanied by a certificate of a Senior Financial Officer as to the estimated Make-Whole Amount due with respect to each Series of Notes to be prepaid in connection with such prepayment (calculated as if the date of such notice were the date of the prepayment), setting forth the details of such computation.  Two Business Days prior to such prepayment, the Company shall deliver to each holder of Notes a certificate of a Senior Financial Officer specifying the calculation of such Make-Whole Amount as of the specified prepayment date.
(b)    Notwithstanding anything contained in this Section 8.2 to the contrary, if and so long as any Default or Event of Default shall have occurred and be continuing, any partial prepayment of the Notes pursuant to the provisions of Section 8.2(a) shall be allocated among all of the Notes of all Series at the time outstanding in proportion, as nearly as practicable, to the respective unpaid principal amounts thereof.
Section 8.3.    Allocation of Partial Prepayments.  In the case of each partial prepayment of the Notes of any Series pursuant to Section 8.2, the principal amount of the Notes of each Series to be prepaid shall be allocated among all of the Notes of such Series at the time outstanding in proportion, as nearly as practicable, to the respective unpaid principal amounts thereof not theretofore called for prepayment.
Section 8.4.    Maturity; Surrender, Etc.  In the case of each optional prepayment of Notes pursuant to this Section 8, the principal amount of each Note to be prepaid shall mature and become due and payable on the date fixed for such prepayment, together with interest on such principal amount accrued to such date and the applicable Make-Whole Amount, if any.  From and after such date, unless the Company shall fail to pay such principal amount when so due and payable, together with the interest and Make-Whole Amount, if any, as aforesaid, interest on such principal amount shall cease to accrue.  Any Note paid or prepaid in full shall be surrendered to the Company and cancelled and shall not be reissued, and no Note shall be issued in lieu of any prepaid principal amount of any Note.

Section 8.5.    Purchase of Notes.  The Company will not and will not permit any Affiliate to purchase, redeem, prepay or otherwise acquire, directly or indirectly, any of the outstanding Notes except (a) upon the payment or prepayment of the Notes in accordance with the terms of this Agreement and the Notes or (b) pursuant to an offer to purchase or prepay made by the Company or an Affiliate pro rata to the holders of all Notes at the time outstanding upon the same terms and conditions (except to the extent necessary to reflect differences in interest rates and maturities of the Notes of different series).  Any such offer shall provide each holder with sufficient information to enable it to make an informed decision with respect to such offer, and shall remain open for at least 15 Business Days.  If the holders of more than 33% of the principal amount of the Notes then outstanding accept such offer, the Company shall promptly notify the remaining holders of such fact and the expiration date for the acceptance by holders of Notes of such offer shall be extended by the number of days necessary to give each such remaining holder at least 5 Business Days from its receipt of such notice to accept such offer.  The Company will promptly cancel all Notes acquired by it or any Affiliate pursuant to any payment, prepayment or purchase of Notes pursuant to any provision of this Agreement and no Notes may be issued in substitution or exchange for any such Notes.
Section 8.6.    Make-Whole Amount.  “Make-Whole Amount” means, with respect to any Note of any Series, an amount equal to the excess, if any, of the Discounted Value of the Remaining Scheduled Payments with respect to the Called Principal of such Note over the amount of such Called Principal, provided that the Make-Whole Amount may in no event be less than zero.  For the purposes of determining the Make-Whole Amount, the following terms have the following meanings:
“Called Principal” means, with respect to any Note of any Series, the principal of such Note that is to be prepaid pursuant to Section 8.2 or has become or is declared to be immediately due and payable pursuant to Section 12.1, as the context requires.
“Discounted Value” means, with respect to the Called Principal of any Note of any Series, the amount obtained by discounting all Remaining Scheduled Payments with respect to such Called Principal from their respective scheduled due dates to the Settlement Date with respect to such Called Principal, in accordance with accepted financial practice and at a discount factor (applied on the same periodic basis as that on which interest on the Notes of such Series is payable) equal to the Reinvestment Yield with respect to such Called Principal.

“Reinvestment Yield” means, with respect to the Called Principal of any Note of any Series, .50% (50 basis points) over the yield to maturity implied by the yields reported as of 10:00 a.m. (New York City time) on the second Business Day preceding the Settlement Date with respect to such Called Principal, on the display designated as “Page PX1” (or such other display as may replace Page PX1) on Bloomberg Financial Markets for the most recently issued actively traded on-the-run U.S. Treasury securities (“Reported”) having a maturity equal to the Remaining Average Life of such Called Principal as of such Settlement Date.  If there are no such U.S. Treasury securities Reported having a maturity equal to such Remaining Average Life, then such implied yield to maturity will be determined by (a) converting U.S. Treasury bill quotations to bond equivalent yields in accordance with accepted financial practice and (b) interpolating linearly between the yields Reported for the applicable most recently issued actively traded on-the-run U.S. Treasury securities with the maturities (1) closest to and greater than such Remaining Average Life and (2) closest to and less than such Remaining Average Life.  The Reinvestment Yield shall be rounded to the number of decimal places as appears in the interest rate of the applicable Note.  
If such yields are not Reported or the yields Reported as of such time are not ascertainable (including by way of interpolation), then “Reinvestment Yield” means, with respect to the Called Principal of any Note, .50% over the yield to maturity implied by the U.S. Treasury constant maturity yields reported, for the latest day for which such yields have been so reported as of the second Business Day preceding the Settlement Date with respect to such Called Principal, in Federal Reserve Statistical Release H.15 (or any comparable successor publication) for the U.S. Treasury constant maturity having a term equal to the Remaining Average Life of such Called Principal as of such Settlement Date.  If there is no such U.S. Treasury constant maturity having a term equal to such Remaining Average Life, such implied yield to maturity will be determined by interpolating linearly between (1) the U.S. Treasury constant maturity so reported with the term closest to and greater than such Remaining Average Life and (2) the U.S. Treasury constant maturity so reported with the term closest to and less than such Remaining Average Life.  The Reinvestment Yield shall be rounded to the number of decimal places as appears in the interest rate of the applicable Note.
“Remaining Average Life” means, with respect to any Called Principal, the number of years obtained by dividing (i) such Called Principal into (ii) the sum of the products obtained by multiplying (a) the principal component of each Remaining Scheduled Payment with respect to such Called Principal by (b) the number of years, computed on the basis of a 360-day year composed of twelve 30-day months and calculated to two decimal places, that will elapse between the Settlement Date with respect to such Called Principal and the scheduled due date of such Remaining Scheduled Payment.

“Remaining Scheduled Payments” means, with respect to the Called Principal of any Note of any Series, all payments of such Called Principal and interest thereon that would be due after the Settlement Date with respect to such Called Principal if no payment of such Called Principal were made prior to its scheduled due date, provided that if such Settlement Date is not a date on which interest payments are due to be made under the Notes of such Series, then the amount of the next succeeding scheduled interest payment will be reduced by the amount of interest accrued to such Settlement Date and required to be paid on such Settlement Date pursuant to Section 8.2 or Section 12.1.
“Settlement Date” means, with respect to the Called Principal of any Note of any Series, the date on which such Called Principal is to be prepaid pursuant to Section 8.2 or has become or is declared to be immediately due and payable pursuant to Section 12.1, as the context requires.
Section 8.7.    Prepayment of Notes upon Change in Control.  (a)  Notice of Change in Control.  The Company will, within five Business Days after any Responsible Officer has knowledge of the occurrence of any Change in Control, give written notice of such Change in Control to each holder of Notes.  Such notice shall contain and constitute an offer to prepay Notes as described in subparagraph (b) of this Section 8.7 and shall be accompanied by the certificate described in subparagraph (e) of this Section 8.7.
(b)    Offer to Prepay Notes.  The offer to prepay Notes contemplated by subparagraph (a) of this Section 8.7 shall be an offer to prepay, in accordance with and subject to this Section 8.7, all, but not less than all, the Notes held by each holder (in this case only, “holder” in respect of any Note registered in the name of a nominee for a disclosed beneficial owner shall mean such beneficial owner) on a date specified in such offer (the “Proposed Prepayment Date”) which shall be a Business Day.  Such date shall be not less than 30 days and not more than 120 days after the Change in Control.
(c)    Acceptance/Rejection.  A holder of Notes may accept the offer to prepay made pursuant to this Section 8.7 by causing a notice of such acceptance to be delivered to the Company not later than 15 days after receipt by such holder of the most recent offer of prepayment.  A failure by a holder of Notes to respond to an offer to prepay made pursuant to this Section 8.7 shall be deemed to constitute a rejection of such offer by such holder.
(d)    Prepayment.  Prepayment of the Notes to be prepaid pursuant to this Section 8.7 shall be at 100% of the principal amount of such Notes, together with interest on such Notes accrued to the date of prepayment, but without Make-Whole Amount or other premium.  The prepayment shall be made on the Proposed Prepayment Date.

(e)    Officer’s Certificate.  Each offer to prepay the Notes pursuant to this Section 8.7 shall be accompanied by a certificate, executed by a Senior Financial Officer of the Company and dated the date of such offer, specifying: (i) the Proposed Prepayment Date; (ii) that such offer is made pursuant to this Section 8.7; (iii) the principal amount of each Note offered to be prepaid; (iv) the interest that would be due on each Note offered to be prepaid, accrued to the Proposed Prepayment Date; (v) that the conditions of this Section 8.7 have been fulfilled; and (vi) in reasonable detail, the nature and date or proposed date of the Change in Control.
(f)    Deferral Pending Change in Control.  The obligation of the Company to prepay Notes pursuant to the offers required by Section 8.7(b) and accepted in accordance with Section 8.7(c) is subject to the occurrence of the Change in Control in respect of which such offers and acceptances shall have been made.  In the event that such Change in Control does not occur on the Proposed Prepayment Date in respect thereof, the prepayment shall be deferred until and shall be made on the date on which such Change in Control occurs.  The Company shall keep each holder of Notes reasonably and timely informed of (i) any such deferral of the date of prepayment, (ii) the date on which such Change in Control and the prepayment are expected to occur, and (iii) any determination by the Company that efforts to effect such Change in Control have ceased or been abandoned (in which case the offers and acceptances made pursuant to this Section 8.7(c) in respect of such Change in Control shall be deemed rescinded).
Section 8.8.    Payments Due on Non-Business Days.  Anything in this Agreement or the Notes to the contrary notwithstanding, (x) subject to clause (y), any payment of interest on any Note that is due on a date that is not a Business Day shall be made on the next succeeding Business Day without including the additional days elapsed in the computation of the interest payable on such next succeeding Business Day; and (y) any payment of principal of or Make-Whole Amount on any Note (including principal due on the Maturity Date of such Note) that is due on a date that is not a Business Day shall be made on the next succeeding Business Day and shall include the additional days elapsed in the computation of interest payable on such next succeeding Business Day.
Section 8.9.    Prepayment of Notes upon Waiver Period Event.  

(a)  Notice.  During the Waiver Period, if any Consolidated Party makes any Disposition (other than those permitted by Section 10.7(b)(i), (ii), (iii) and (iv)), issues any Equity Interests, or incurs any Indebtedness or if any Excess Un-Reinvested Proceeds no longer qualify as Excluded Net Proceeds pursuant to the definition thereof (each a “Waiver Period Event”), the Company shall offer to prepay the Notes in accordance with Section 8.9(b) below; provided that (i) the designation of Net Cash Proceeds as Excluded Net Proceeds (for so long as such Excluded Net Proceeds are not Excess Un-Reinvested Proceeds) and (ii) the issuance of the 2020 Permitted Convertible Notes shall not constitute a Waiver Period Event.  The Company shall give not less than three (3) Business Days prior written notice of the Waiver Period Event. If there are Net Cash Proceeds that are expected to be received by the holders of the Notes pursuant to Section 2.10 of the Intercreditor Agreement in connection with such Waiver Period Event, such notice shall contain and constitute an offer to prepay Notes as described in subparagraph (b) of this Section 8.9 and shall be accompanied by the certificate described in subparagraph (e) of this Section 8.9.
(b)    Offer to Prepay Notes.  The offer to prepay Notes contemplated by subparagraph (a) of this Section 8.9 shall be an offer to prepay, in accordance with and subject to this Section 8.9, the pro rata amount of such Notes held by each holder in relation to the Net Cash Proceeds that are expected to be received by the holders of the Notes pursuant to Section 2.10 of the Intercreditor Agreement in connection with such Waiver Period Event.  The Company shall propose a date for such prepayment, if accepted, which shall be a Business Day not less than 10 days and not more than 30 days after the notice pursuant to Section 8.9(a) is sent. 
(c)    Acceptance/Rejection.  A holder of Notes may accept the offer to prepay made pursuant to this Section 8.9 by causing a notice of such acceptance to be delivered to the Company not later than 5 days after receipt by such holder of the most recent offer of prepayment.  A failure by a holder of Notes to respond to an offer to prepay made pursuant to this Section 8.9 shall be deemed to constitute a rejection of such offer by such holder.
(d)    Prepayment.  Prepayment of the Notes to be prepaid pursuant to this Section 8.9 shall be at 100% of the principal amount which was offered pursuant to this Section 8.9, together with interest on such Notes accrued to the date of prepayment, but without Make-Whole Amount or other premium.
(e)    Officer’s Certificate.  Each offer to prepay the Notes pursuant to this Section 8.9 shall be accompanied by a certificate, executed by a Senior Financial Officer of the Company and dated the date of such offer, specifying: (i) the date proposed for prepayment; (ii) that such offer is made pursuant to this Section 8.9; (iii) a good faith estimate of the principal amount of each Note offered to be prepaid; and (iv) the interest that would be due on each Note offered to be prepaid, accrued to the date proposed for prepayment.

Section 8.10.    Additional Prepayment Offer upon Waiver Period Event.Notice.  During the Waiver Period, after the occurrence of any Waiver Period Event and the disposition of Net Cash Proceeds pursuant to Section 2.10(a)(i) or 2.10(a)(ii) of the Intercreditor Agreement, the Company shall offer to prepay the Notes in accordance with Section 8.10(b) below. The Company shall give not less than three (3) Business Days prior written notice of such offer to prepay.  Such notice shall contain and constitute an offer to prepay Notes as described in subparagraph (b) of this Section 8.10 and shall be accompanied by the certificate described in subparagraph (e) of this Section 8.10.  
(b)    Offer to Prepay Notes.  The offer to prepay Notes contemplated by subparagraph (a) of this Section 8.10 shall be an offer to prepay each Note, which shall be the pro rata amount of such Note held by each holder in relation to the Additional Amount.  The “Additional Amount” shall be a dollar amount equal to 4% of the amount of the Net Cash Proceeds that are distributed pursuant to Section 2.10(a)(i) or 2.10(a)(ii) of the Intercreditor Agreement in connection with such Waiver Period Event.  Notwithstanding the foregoing, if the holders of Notes are entitled to a prepayment offer pursuant to Section 8.9 hereof and Section 2.10 of the Intercreditor Agreement in connection with such Waiver Period Event, such Additional Amount shall be reduced by the amount offered under such provisions. The Company shall propose a date for such prepayment, if accepted, which shall be a Business Day not less than 10 days and not more than 30 days after the notice pursuant to Section 8.10(a) is sent.
(c)    Acceptance/Rejection.  A holder of Notes may accept the offer to prepay made pursuant to this Section 8.10 by causing a notice of such acceptance to be delivered to the Company not later than 5 days after receipt by such holder of the most recent offer of prepayment.  A failure by a holder of Notes to respond to an offer to prepay made pursuant to this Section 8.10 shall be deemed to constitute a rejection of such offer by such holder.  If a holder of Notes rejects such offer to prepay pursuant to this Section 8.10, the Company shall have no further obligation to the holder of Notes with respect to such Waiver Period Event and the Company may retain the Additional Amount, which Additional Amount is not subject to Section 2.10 of the Intercreditor Agreement. 
(d)    Prepayment.  Prepayment of the Notes to be prepaid pursuant to this Section 8.10 shall be at 100% of the principal amount which was offered pursuant to this Section 8.10, together with interest on such Notes accrued to the date of prepayment, but without Make-Whole Amount or other premium.
(e)    Officer’s Certificate.  Each offer to prepay the Notes pursuant to this Section 8.10 shall be accompanied by a certificate, executed by a Senior Financial Officer of the Company and dated the date of such offer, specifying: (i) the date proposed for prepayment; (ii) that such offer is made pursuant to this Section 8.10; (iii) a good faith estimate of the principal amount of each Note offered to be prepaid; and (iv) the interest that would be due on each Note offered to be prepaid, accrued to the date proposed for prepayment.

Section 8.11.    Waiver Period Optional Prepayment.  The Company may, at its option at any time on or prior to June 30, 2021 and from time to time during such period, upon notice as provided below, prepay at any time all, or from time to time any part of, the Notes of all Series, in an amount not less than 10% of the aggregate principal amount of the Notes then outstanding in the case of a partial prepayment, at 100% of the principal amount to be prepaid plus a premium equal to 2.00% of such principal to be prepaid (such premium, a “Waiver Period Prepayment Premium”).  The Company will give each holder of Notes written notice of each optional prepayment under this Section 8.11 not less than 10 days and not more than 60 days prior to the date fixed for such prepayment unless the Company and the Required Holders agree to another time period pursuant to Section 18.  Each such notice shall specify such date (which shall be a Business Day), the aggregate principal amount of the Notes to be prepaid on such date, the principal amount of each Note of each Series held by such holder to be prepaid (determined in accordance with Section 8.3), the Waiver Period Prepayment Premium and the interest accrued to the prepayment date with respect to such principal amount being prepaid, and shall be accompanied by a certificate of a Senior Financial Officer as to the estimated Waiver Period Prepayment Premium due with respect to the Notes to be prepaid in connection with such prepayment, setting forth the details of such computation.
SECTION 9.    AFFIRMATIVE COVENANTS.
From the Execution Date until the Closing and thereafter, so long as any of the Notes are outstanding, the Company and the Parent REIT covenant that:
Section 9.1.    Compliance with Laws.  Without limiting Section 10.4, the Company and the Parent REIT will, and will cause each other Company Party to, comply with all laws, ordinances or governmental rules or regulations to which each of them is subject, including, without limitation, ERISA, Environmental Laws, the USA PATRIOT Act and the other laws and regulations that are referred to in Section 5.16, and will obtain and maintain in effect all licenses, certificates, permits, franchises and other governmental authorizations necessary to the ownership of their respective properties or to the conduct of their respective businesses, in each case to the extent necessary to ensure that non-compliance with such laws, ordinances or governmental rules or regulations or failures to obtain or maintain in effect such licenses, certificates, permits, franchises and other governmental authorizations could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.
Section 9.2.    Insurance.  The Company and the Parent REIT will, and will cause each other Company Party to, maintain, with financially sound and reputable insurers, insurance with respect to their respective properties and businesses against such casualties and contingencies, of such types, on such terms and in such amounts (including deductibles, co-insurance and self-insurance, if adequate reserves are maintained with respect thereto) as is customary in the case of entities of established reputations engaged in the same or a similar business and similarly situated and as otherwise required under the Primary Credit Facilities.  

Section 9.3.    Maintenance of Properties.  The Company and the Parent REIT will, and will cause each other Company Party to, maintain and keep, or cause to be maintained and kept, their respective properties in good repair, working order and condition (other than ordinary wear and tear), so that the business carried on in connection therewith may be properly conducted at all times, provided that this Section shall not prevent any of the Company Parties from discontinuing the operation and the maintenance of any of its properties if such discontinuance is desirable in the conduct of its business and the Company and the Parent REIT have concluded that such discontinuance could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.
Section 9.4.    Payment of Taxes and Claims.  The Company and the Parent REIT will, and will cause each other Company Party to, file all tax returns required to be filed in any jurisdiction and to pay and discharge all taxes shown to be due and payable on such returns and all other taxes, assessments, governmental charges, or levies imposed on them or any of their properties, assets, income or franchises, to the extent the same have become due and payable and before they have become delinquent and all claims for which sums have become due and payable that have or might become a Lien on properties or assets of the Company and the Parent REIT or any other Company Party, provided that none of the Company Parties need pay any such tax, assessment, charge, levy or claim if (i) the amount, applicability or validity thereof is contested by such Company Party on a timely basis in good faith and in appropriate proceedings, and the Company Parties have established adequate reserves therefor in accordance with GAAP on the books of the Company Parties or (ii) the nonpayment of all such taxes, assessments, charges, levies and claims could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
Section 9.5.    Legal Existence, Etc.  Subject to Section 10.2, the Company and the Parent REIT will at all times preserve and keep their respective legal existence in full force and effect.  Subject to Sections 10.2 and 10.7, the Company and the Parent REIT will at all times preserve and keep in full force and effect the legal existence of each other Company Party and all rights and franchises of the Company Parties unless, in the good faith judgment of the Company and the Parent REIT, the termination of or failure to preserve and keep in full force and effect such legal existence, right or franchise could not, individually or in the aggregate, have a Material Adverse Effect. 
Section 9.6.    Notes to Rank Pari Passu. The Notes and all other obligations under this Agreement of the Company and the obligations of each Guarantor under their respective Affiliate Guaranties are and at all times shall rank at least pari passu in right of payment with all other present and future unsecured Senior Indebtedness of the Company or such Guarantor, as the case may be, which is not expressed to be subordinate or junior in rank to any other unsecured Senior Indebtedness of the Company or such Guarantor, as the case may be. 

Section 9.7.    Books and Records.  The Company and the Parent REIT will, and will cause each of its Subsidiaries to, maintain proper books of record and account in conformity with GAAP and all applicable requirements of any Governmental Authority having legal or regulatory jurisdiction over the Company the Parent REIT, or such other Company Party, as the case may be.  The Company and the Parent REIT will, and will cause the Company Parties to, keep books, records and accounts which, in reasonable detail, accurately reflect all transactions and dispositions of assets.  The Company Parties have devised a system of internal accounting controls sufficient to provide reasonable assurances that their respective books, records, and accounts accurately reflect all transactions and dispositions of assets and the Company Parties will continue to maintain such system.
Section 9.8.    Subsidiary Guarantors.  The Parent REIT and the Company will cause each of its Subsidiaries that guarantees or otherwise becomes liable at any time, whether as a borrower or an additional or co-borrower or otherwise, for or in respect of any Indebtedness under any Primary Credit Facility to concurrently therewith:
(a)    enter into a joinder to the Subsidiary Guaranty in the form and substance appended to the Subsidiary Guaranty as Exhibit A thereto executed at the Closing, a guarantor Joinder Agreement (as defined in the Intercreditor Agreement) (if applicable), and a Grantor Joinder Agreement (as defined in the Intercreditor Agreement) (if applicable); and 
(b)    deliver the following to each Purchaser and holder of a Note:
(i)    an executed counterpart of such joinder to the Subsidiary Guaranty;
(ii)    a certificate signed by an authorized responsible officer of such Subsidiary containing representations and warranties on behalf of such Subsidiary to the same effect, mutatis mutandis, as those contained in Sections 5.1, 5.2, 5.6, 5.7, 5.16 and 5.18 of this Agreement (but with respect to such Subsidiary and such Subsidiary Guaranty rather than the Company) in the form of Exhibit B to the Subsidiary Guaranty;
(iii)    all documents as may be reasonably requested by the Required Holders to evidence the due organization, continuing existence and good standing of such Subsidiary and the due authorization by all requisite action on the part of such Subsidiary of the execution and delivery of such Subsidiary Guaranty and the performance by such Subsidiary of its obligations thereunder; and 
(iv)    an opinion of counsel with respect to such Subsidiary and such joinder in substantially the form of opinion delivered at the Closing with respect to the Subsidiary Guaranty and Subsidiary Guarantors that existed as of the Closing.

(c)    Release of Guarantors.  A Subsidiary Guarantor shall be automatically released from the Subsidiary Guaranty, so long as: (i) after giving effect to such release, such Consolidated Subsidiary does not have any liability as a guarantor, borrower, co-borrower or otherwise with respect to any Indebtedness under any Primary Credit Facility, (ii) no Default or Event of Default exists immediately after giving effect to such release and (iii) if any fee or other form of consideration is given to any holder of Indebtedness under any Primary Credit Facility directly related to releasing such Subsidiary Guarantor, the holders of the Notes shall receive an equivalent fee payable pro rata in accordance with each holder’s outstanding principal amount of Notes.  Each of the Parent REIT and the Company shall deliver to the holders of the Notes an Officer’s Certificate certifying that the conditions set forth in immediately preceding clauses (i), (ii) and (iii) will be true and correct upon the release of such Subsidiary Guarantor.  Upon the receipt by the holders of the Notes of the Officer’s Certificate referenced above, the release shall be effective automatically without any further action by any party and each holder of Notes shall thereafter execute and deliver, at the sole cost and expense of the Parent REIT and the Company, such documents and instruments as the Parent REIT and the Company may reasonably request to evidence such release, provided, that, the execution and delivery of such documents and instruments shall not be necessary to give effect to such release. 
Section 9.9.    Most Favored Lender Status.  (a)  If at any time after the Execution Date, a Primary Credit Facility contains a Financial Covenant by the Company that is more favorable to the lenders under such Primary Credit Facility than the covenants, definitions and/or defaults contained in this Agreement (any such provision (including any necessary definition), a “More Favorable Covenant”), then the Company shall provide a Most Favored Lender Notice (as defined herein below) in respect of such More Favorable Covenant.  Unless waived in writing by the Required Holders, within 15 days after each holder’s receipt of such notice, such More Favorable Covenant shall be deemed automatically incorporated by reference into Section 10 of this Agreement, mutatis mutandis, as if set forth in full herein, effective as of the date when such More Favorable Covenant shall have become effective under such Primary Credit Facility.

(b)    Any More Favorable Covenant incorporated into this Agreement (herein referred to as an “Incorporated Covenant”) pursuant to this Section 9.9 (i) shall be deemed automatically amended herein to reflect any subsequent amendments made to such More Favorable Covenant under the applicable Primary Credit Facility; provided that, if the amendment of such More Favorable Covenant would make such covenant less restrictive on the Company, such Incorporated Covenant shall only be deemed automatically amended at such time, if it should occur, when such Default or Event of Default no longer exists and (ii) shall be deemed automatically deleted from this Agreement at such time as such More Favorable Covenant is deleted or otherwise removed from the applicable Primary Credit Facility or such applicable Primary Credit Facility ceases to be a Primary Credit Facility or shall be terminated; provided that, if a Default or an Event of Default then exists, such Incorporated Covenant shall only be deemed automatically deleted from this Agreement at such time, if it should occur, when such Default or Event of Default no longer exists; provided further, however, that if any fee or other consideration shall be given to the lenders under such Primary Credit Facility for such amendment or deletion, the equivalent of such fee or other consideration shall be given, pro rata,  to the holders of the Notes.
(c)    “Most Favored Lender Notice” means, in respect of any More Favorable Covenant, a written notice to each of the holders of the Notes delivered promptly, and in any event within ten Business Days after the inclusion of such More Favorable Covenant in any Primary Credit Facility (including by way of amendment or other modification of any existing provision thereof) from a Responsible Officer referring to the provisions of this Section 9.9 and setting forth a reasonably detailed description of such More Favorable Covenant (including any defined terms used therein) and related explanatory calculations, as applicable.
(d)    Notwithstanding the foregoing, no covenant, definition or default expressly set forth in this Agreement as of the Execution Date (or incorporated into this Agreement by an amendment or modification to this Agreement other than pursuant to this Section 9.9) shall be deemed to be amended or deleted in any manner that is less favorable to the holders of Notes by virtue of the provisions of this Section 9.9.
Section 9.10.    Collateral.  During any Collateral Period, on or prior to the times specified below (or such later date as the Required Holders shall reasonably determine), the Company will cause, subject to clause (f) below, all of the issued and outstanding Equity Interests of each Guarantor (other than the Parent REIT) (collectively, the “Collateral”), to be, subject to the terms of the Intercreditor Agreement, subject to a perfected Lien in favor of the Collateral Agent to secure the Obligations in accordance with the terms and conditions of the Collateral Documents:
(i)    within thirty (30) days of the Collateral Trigger Date; and
(ii)    contemporaneously with the occurrence of any date any Subsidiary shall be required to become a Guarantor pursuant to Section 9.8 hereof.

(b)    During a Collateral Period, and without limiting the foregoing, the Company will, and will cause each Company Party that owns any Collateral to, execute and deliver, or cause to be executed and delivered, to the Collateral Agent such documents, agreements and instruments, and will take or cause to be taken such further actions (including the filing and recording of financing statements), which may be required by applicable Law and which the Collateral Agent may, from time to time during a Collateral Period, reasonably request to carry out the terms and conditions of this Agreement and the other Note Documents and to ensure perfection and priority of the Liens created or intended to be created by the Collateral Documents, all at the reasonable expense of the Company; provided, however, that no Pledged Subsidiary shall be permitted to certificate its Equity Interests or make an election under Article 8 of the UCC unless such certificates are promptly delivered to the Collateral Agent, together with an endorsement in blank.  Without limiting the foregoing, the Company shall cause each Company Party that owns any Collateral to execute and deliver to the Collateral Agent a Grantor Joinder Agreement (as defined in the Intercreditor Agreement).
(c)    During a Collateral Period, without limiting the release provisions set forth in clause (d) below, the Company may request in writing that the Collateral Agent release, and upon receipt of such request the Collateral Agent shall promptly, and in any event use commercially reasonable efforts to within five (5) Business Days, release, the Equity Interests in any Pledged Subsidiary from the Pledge Agreement with respect to any Unencumbered Borrowing Base Property that is being removed pursuant to Section 9.8(c) if such Subsidiary becomes a Non-Guarantor Subsidiary in connection with such removal or will become a Non-Guarantor Subsidiary within ten (10) Business Days of such removal, so long as no Default or Event of Default exists or would result therefrom. The Collateral Agent agrees to furnish to the Company, promptly, and in any event use commercially reasonable efforts to within five (5) Business Days, after the Company’s request and at the Company’s reasonable expense, any release, termination, or other agreement or document evidencing the foregoing release as may be reasonably requested by the Company.
(d)    The Company may deliver to the Collateral Agent, on or prior to the date that is five (5) Business Days (or such shorter period of time as agreed to by the Collateral Agent) before the date on which the Collateral Release is to be effected, written notice that it is requesting the Collateral Release, which notice shall identify the Collateral to be released and the proposed effective date for the Collateral Release, together with a certificate signed by a Responsible Officer of the Company (such certificate, a “Collateral Release Certificate”), certifying that:
(i)    the Consolidated Leverage Ratio is either (A) less than or equal to 6.75 to 1.00 as of the last day of any two (2) consecutive fiscal quarters, or (B) less than or equal to 6.25 to 1.00 as of the last day of any fiscal quarter, in each case as reflected on the most recently delivered Compliance Certificate delivered pursuant to Section 7.2(a); and

(ii)    at the time of the delivery of notice requesting such release, on the proposed effective date of the Collateral Release and immediately before and immediately after giving effect to the Collateral Release, (A) no Default or Event of Default has occurred and is continuing or would result therefrom and (B) the representations and warranties contained in Section 5 and the other Note Documents are true and correct in all material respects on and as of the effective date of the Collateral Release, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they are true and correct in all material respects as of such earlier date, and except that for purposes of this Section 9.10, the representations and warranties contained in subsections (a) and (b) of Section 5.5 shall be deemed to refer to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of Section 7.1.
(e)    On or after any Collateral Release Date, the Collateral Agent shall, subject to the satisfaction of the requirements of clause (d) above, promptly, and in any event use commercially reasonable efforts to within five (5) Business Days, release all of the Liens granted to the Collateral Agent pursuant to the requirements of this Section 9.10 and the Collateral Documents (the “Collateral Release”).  Upon the release of any Collateral pursuant to this Section 9.10, the Collateral Agent shall (to the extent applicable) promptly, and in any event use commercially reasonable efforts to within five (5) Business Days, deliver to the Company, upon the Company’s request and at the Company’s reasonable expense, such documentation as may be reasonably satisfactory to the Collateral Agent and otherwise necessary or advisable to evidence the release of such Collateral from the Note Documents.
(f)    Notwithstanding the foregoing, if (i) a Collateral Trigger Date occurs in connection with a First Limited Collateral Trigger Event only, the Collateral required to be delivered hereunder shall be limited to a pledge of the issued and outstanding Equity Interests of the Guarantors owning Unencumbered Borrowing Base Properties that have an aggregate Unencumbered Asset Value (calculated as of December 31, 2019) that equals fifty percent (50%) of the amount of the aggregate amount of the Pari Passu Obligations (including the amount of any unfunded commitments thereunder) as of the date of the First Limited Collateral Trigger Event and (ii) a Collateral Trigger Date occurs in connection with a Second Limited Collateral Trigger Event only, the Collateral required to be delivered hereunder shall be limited to a pledge of the issued and outstanding Equity Interests of the Guarantors owning Unencumbered Borrowing Base Properties that have an aggregate Unencumbered Asset Value (calculated as of December 31, 2019) that equals the amount of the aggregate amount of the Pari Passu Obligations (including the amount of any unfunded commitments thereunder) as of the date of the Second Limited Collateral Trigger Event.
Section 9.11.    Note Rating.  The Company will any time upon request from the Required Holders, obtain a private letter rating with respect to the Notes from one Rating Agency requested by the Required Holders.

Section 9.12. Waiver Period Interest. For the period of time commencing on the Fourth Amendment Effective Date through and including the last day of the Waiver PeriodFee Termination Date, the per annum interest rate of the Notes shall be increased by 45 basis points (.45%) (the “Waiver Period Increased Interest”). For the avoidance of doubt, (i) the payment or accrual of the Waiver Period Increased Interest on the Notes does not waive any Default or Event of Default otherwise applicable under this Agreement and (ii) such additional interest shall not be included in the calculation of any Make-Whole Amount.
Although it will not be a Default or an Event of Default if the Company fails to comply with any provision of Section 9 on or after the Execution Date and prior to the Closing, if such failure occurs then any of the Purchasers may elect not to purchase the Notes on the date of the Closing that is specified in Section 3.
SECTION 10.    NEGATIVE COVENANTS.
From the Execution Date until the Closing and thereafter, so long as any of the Notes are outstanding, the Company and the Parent REIT covenant that:
Section 10.1.    Transactions with Affiliates.  The Company and the Parent REIT will not and will not permit any other Company Party to enter into directly or indirectly any transaction or group of related transactions (including without limitation the purchase, lease, sale or exchange of properties of any kind or the rendering of any service) with any Affiliate (other than another Company Party Subsidiary), except in the ordinary course and pursuant to the reasonable requirements of the Company’s or such Subsidiary’s business and upon fair and reasonable terms no less favorable to the Company or such Subsidiary than would be obtainable in a comparable arm’s-length transaction with a Person not an Affiliate.
Section 10.2.    Merger, Consolidation, Etc.  The Company and the Parent REIT will not, nor will they permit any other Company Party to, consolidate with or merge with any other Person or convey, transfer or lease all or substantially all of its assets in a single transaction or series of transactions to any Person (including, in each case, pursuant to a Division) unless:

(a)    the successor formed by such consolidation or the survivor of such merger or the Person that acquires by conveyance, transfer or lease all or substantially all of the assets of the Company or any such Guarantor as an entirety, as the case may be, shall be a solvent corporation or limited liability company organized and existing under the laws of the United States or any state thereof (including the District of Columbia), and, if the Company or such Guarantor is not such corporation or limited liability company, as the case may be, (i) such corporation or limited liability company shall have executed and delivered to each holder of any Notes its assumption of the due and punctual performance and observance of each covenant and condition of this Agreement and the Notes, in the case of a transaction involving the Company, or the related Affiliate Guaranty in the case of a transaction involving any Guarantor and (ii) such corporation or limited liability company shall have caused to be delivered to each holder of any Notes an opinion of nationally recognized independent counsel, or other independent counsel reasonably satisfactory to the Required Holders, to the effect that all agreements or instruments effecting such assumption are enforceable in accordance with their terms and comply with the terms hereof; 
(b)    each Guarantor under any Affiliate Guaranty that is outstanding at the time such transaction or each transaction in such a series of transactions occurs reaffirms its obligations under such Affiliate Guaranty in writing at such time pursuant to documentation that is reasonably acceptable to the Required Holders; and
(c)    immediately before and immediately after giving effect to such transaction or each transaction in any such series of transactions, no Default or Event of Default shall have occurred and be continuing.
Provided that (i) any Non-Guarantor Subsidiary may consolidate with or merge with any other Person or transfer or lease all or substantially all of its assets in a single transaction or series of transactions to any other Person; provided such merger or Disposition shall be permitted only if (A) there exists no violation of the financial covenants hereunder on a Pro Forma Basis after such transaction and (B) no Default or Event of Default would result therefrom and (ii) any Non-Guarantor Subsidiary may merge with a Note Party; provided that (A) the Note Party shall be the continuing or surviving Person and (B) no Default or Event of Default would result therefrom.
No such conveyance, transfer or lease of substantially all of the assets of the Company shall have the effect of releasing the Company or any Guarantor or any successor corporation or limited liability company that shall theretofore have become such in the manner prescribed in this Section 10.2 from its liability under this Agreement, the Affiliate Guaranties or the Notes, respectively except that the foregoing shall not limit the automatic release of a Subsidiary Guarantor as provided in Section 9.8(c) of this Agreement.
Section 10.3.    Line of Business.  The Company and the Parent REIT will not and will not permit any other Company Party to engage in any business if, as a result, the general nature of the business in which the Company Parties, taken as a whole, would then be engaged would be substantially changed from the general nature of the business in which the Company Parties, taken as a whole, are engaged on the Execution Date as described in the Memorandum.

Section 10.4.    Terrorism Sanctions Regulations.  The Company and the Parent REIT will not and will not permit any Controlled Entity (a) to become (including by virtue of being owned or controlled by a Blocked Person), own or control a Blocked Person or any Person that is the target of sanctions imposed by the United Nations or by the European Union, or (b) directly or indirectly to have any investment in or engage in any dealing or transaction (including, without limitation, any investment, dealing or transaction involving the proceeds of the Notes) with any Person if such investment, dealing or transaction (i) would cause any holder to be in violation of any law or regulation applicable to such holder, or (ii) is prohibited by or subject to sanctions under any U.S. Economic Sanctions, or (c) to engage, nor shall any Affiliate of either engage, in any activity that could subject such Person or any holder to sanctions under CISADA or any similar law or regulation with respect to Iran or any other country that is subject to U.S. Economic Sanctions.
Section 10.5.    Liens.  The Company and the Parent REIT will not and will not permit any Company Party to directly or indirectly create, incur, assume or permit to exist (upon the happening of a contingency or otherwise) any Lien on or with respect to any property or asset of any Company Party, whether now owned or held or hereafter acquired, or any income or profits therefrom, or assign or otherwise convey any right to receive income or profits, except (the items described in clauses (a) through (h) below to be referred to as “Permitted Liens”): 
(a)    Liens, if any, that secure the Obligations;
(b)    Liens that secure Indebtedness of the Company Parties on a pari passu basis with the Lien described in Section 10.5(a) subject to the terms of the Intercreditor Agreement; 
(c)    Liens existing on the Execution Date and listed in Schedule 5.15 and any renewals or extensions thereof, provided that (i) the property covered thereby is not changed, (ii) the amount secured or benefited thereby is not increased except by an amount equal to a reasonable premium or other reasonable amount paid and fees and expenses reasonably incurred in connection with such refinancing and by an amount equal to any existing commitments unutilized thereunder, and (iii) the direct or any contingent obligor with respect thereto is not changed;
(d)    Liens for taxes not yet due or which are being contested in good faith by appropriate proceedings diligently conducted, if adequate reserves with respect thereto are maintained on the books of the applicable Person in accordance with GAAP;
(e)    carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s or other like Liens arising in the ordinary course of business which are not overdue for a period of more than thirty (30) days or which are being contested in good faith and by appropriate proceedings diligently conducted, if adequate reserves with respect thereto are maintained on the books of the applicable Person;

(f)    pledges or deposits in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other social security legislation, other than any Lien imposed by ERISA;
(g)    deposits to secure the performance of bids, trade contracts and leases (other than Indebtedness), statutory obligations, surety and appeal bonds, performance bonds and other obligations of a like nature incurred in the ordinary course of business;
(h)    easements, rights-of-way, restrictions and other similar encumbrances affecting any Real Property owned by the Company or any Guarantor which, in the aggregate, are not substantial in amount, and which do not in any case materially detract from the value of the property subject thereto or materially interfere with the ordinary conduct of the business of the applicable Person and which, with respect to Unencumbered Borrowing Base Properties, have been reviewed and approved in accordance with the requirements of the Bank of America Credit Facility; 
(i)    Liens securing judgments for the payment of money not constituting an Event of Default under Section 11(i);
(j)    (i) the interests of any ground lessor under an Eligible Ground Lease and the interests of any TRS under a lease of any Unencumbered Borrowing Base Property and (ii) Liens in connection with Permitted Intercompany Mortgages; 
(k)    Liens on any assets (other than any Unencumbered Borrowing Base Property and related assets) securing Indebtedness of any Note Party or Non-Guarantor Subsidiary incurred or assumed after the Execution Date; provided, such Lien to secure such Indebtedness can only be incurred if: (i) no Default shall exist immediately before or immediately after the incurrence or assumption such Indebtedness and (ii) there exists no violation of the financial covenants hereunder on a Pro Forma Basis after the incurrence or assumption of such Indebtedness, including Liens on such Real Property existing at the time such Real Property is acquired by the Company or applicable Guarantor or any Non-Guarantor Subsidiary;
(l)    Liens on the Equity Interests of any Non-Guarantor Subsidiary; provided, no such Liens shall be permitted with respect to the Equity Interests of Pebblebrook Hotel Lessee, any entity which is the lessee with respect to an Unencumbered Borrowing Base Property or the direct or indirect parent thereof;
(m)    other Liens on assets (other than Unencumbered Borrowing Base Properties) securing claims or other obligations of the Note Parties and their Subsidiaries (other than Indebtedness) in amounts not exceeding $5,000,000 in the aggregate; and
(n)    any interest of title of a lessor under, and Liens arising from or evidenced by protective UCC financing statements (or equivalent filings, registrations or agreements in foreign jurisdictions) relating to, operating leases permitted hereunder.  

Notwithstanding anything contained in this Section 10.5, the Company and the Parent REIT shall not, and shall not permit any of their Subsidiaries to, secure pursuant to this Section 10.5 any Indebtedness outstanding under or pursuant to any Primary Credit Facility unless and until the Notes (and any guaranty delivered in connection therewith) shall concurrently be secured equally and ratably with such Indebtedness pursuant to documentation reasonably acceptable to the Required Holders in substance and in form, including, without limitation, an intercreditor agreement and opinions of counsel to the Company and/or any such Subsidiary, as the case may be, from counsel that is reasonably acceptable to the Required Holders.
Section 10.6.    Financial Covenants.
(a)     Consolidated Leverage Ratio.  
(i)    The Parent REIT and the Company will not permit the Consolidated Leverage Ratio to, as of the last day of any fiscal quarter commencing with the Initial Compliance Date: (I) as of the Initial Compliance Date, exceed 8.50 to 1.00; (II) as of the last day of the first and second fiscal quarters ending after the Initial Compliance Date, exceed 8.00 to 1.00; (III) as of the last day of the third fiscal quarter ending after the Initial Compliance Date, exceed 7.50 to 1.00; and (IV) as of the last day of any fiscal quarter thereafter, exceed 6.75 to 1.00; provided that, notwithstanding the foregoing,
(A)    if as of the last day of any fiscal quarter, commencing on the earlier of June 30, 2022 or the last day of the fiscal quarter following the expiration of the Waiver PeriodFee Termination Date, the Consolidated Leverage Ratio exceeds 6.50 to 1.00 but does not exceed 6.75 to 1.00 as of the last day of any fiscal quarter (the “Leverage Surge Date”), (1) the Company shall provide written notice to each holder of a Note in an officer’s certificate timely delivered pursuant to Section 7.2; and (2) the Notes shall be subject to the Increased Interest Rate pursuant to Section 10.6(a)(ii) (such period, the “Leverage Surge Period”); and further, 
(B)    if, as of the last day of any fiscal quarter, commencing on the earlier of June 30, 2022 or the last day of the fiscal quarter following the expiration of the Waiver PeriodFee Termination Date, the Consolidated Leverage Ratio exceeds 6.75 to 1.00 (the “Additional Surge Date”), the Notes shall be subject to the Increased Interest Rate pursuant to Section 10.6(a)(ii) (such period, the “Additional Surge Period”) and provided the availability of such Additional Surge Period shall end on the fiscal quarter in which the Company is required to be in compliance with Section 10.6(a)(i)(IV);

(ii)    During a Leverage Surge Period or an Additional Surge Period, as applicable, the per annum interest rate (in addition to any Default Rate, if any) otherwise applicable to each series of the Notes as specified in the first paragraph thereof shall be increased as follows (for each series of Notes, the “Increased Interest Rate”):
(A)    If the Consolidated Leverage Ratio exceeds 6.50 to 1.00 but is not greater than 6.75 to 1.00, then the per annum interest rate shall be increased by 45 basis points (.45%);
(B)    For the first fiscal quarter in which the Consolidated Leverage Ratio exceeds 6.75 to 1.00, then the per annum interest rate shall be increased by 45 basis points (.45%);
(C)    For the second fiscal quarter in which the Consolidated Leverage Ratio exceeds 6.75 to 1.00, then the per annum interest rate shall be increased by 50 basis points (.50%);
(D)    For the third fiscal quarter in which the Consolidated Leverage Ratio exceeds 6.75 to 1.00, then the per annum interest rate shall be increased by 75 basis points (.75%); and
(E)    For the fourth and fifth fiscal quarter in which the Consolidated Leverage Ratio exceeds 6.75 to 1.00, then the per annum interest rate shall be increased by 100 basis points (1.00%);
provided that the additional basis points in Section 10.6(a)(ii)(A) through (E) are not cumulative; and further provided that changes to the applicable rate of interest shall be effective as of the first day of the first calendar month after the Additional Surge Date or Leverage Surge Date, as applicable, until (A) the first day of the first calendar month after the last day of the fiscal quarter for which an officer’s certificate has been timely delivered pursuant to Section 7.2 containing a written statement to each holder of a Note terminating the Additional Surge Period or Leverage Surge Period, as applicable, and evidencing that the Consolidated Leverage Ratio, as of the last day of such fiscal quarter, is equal to or less than 6.75 to 1.00 (in the case of an Additional Surge Period) or 6.50 to 1.00 (in the case of a Leverage Surge Period) or (B) in the case of an Additional Surge Period, the last day of the fiscal quarter in which such Additional Surge Date is allowed, if earlier. For the avoidance of doubt, (i) the payment or accrual of an Increased Interest Rate of the Notes does not waive any Default or Event of Default otherwise applicable under Section 10.6(a) and (ii) such additional interest shall not be included in the calculation of any Make-Whole Amount. 

(b)    Consolidated Recourse Secured Indebtedness Limitation.  The Parent REIT and the Company will not permit Consolidated Recourse Secured Indebtedness to, at any time on or after the Initial Compliance Date, exceed an amount equal to five percent (5%) of Consolidated Total Asset Value; provided that, notwithstanding the foregoing, once during the term of this Agreement, so long as no Default or Event of Default has occurred and is continuing, for up to four (4) consecutive quarters, Consolidated Recourse Secured Indebtedness may exceed five percent (5%) but not exceed ten percent (10%) of Consolidated Total Asset Value.
(c)    Consolidated Secured Debt Limitation.  The Parent REIT and the Company will not permit Consolidated Secured Debt to, at any time on or after the Initial Compliance Date, to exceed an amount equal to forty-five percent (45%) of Consolidated Total Asset Value.
(d)    Consolidated Fixed Charge Coverage Ratio.  The Parent REIT and the Company will not permit the Consolidated Fixed Charge Coverage Ratio, as of the last day of any fiscal quarter commencing with the Initial Compliance Date, to be less than (i) as of the Initial Compliance Date, 1.051.25 to 1.00, (ii) as of the last day of the first fiscal quarter ending after the Initial Compliance Date, 1.25 to 1.00, and (iii) as of the last day of any fiscal quarter thereafter, 1.50 to 1.00.
(e)    Unsecured Leverage Ratio.  The Parent REIT and the Company will not permit the Unsecured Indebtedness (less Adjusted Unrestricted Cash as of such date) to, as of the last day of any fiscal quarter commencing with the Initial Compliance Date: (i) as of the Initial Compliance Date, exceed sixty-seven and one-half of one percent (67.5%); (ii) as of the last day of the first and second fiscal quarters ending after the Initial Compliance Date, exceed sixty five percent (65%); and (iii) as of the last day of any fiscal quarter thereafter, exceed sixty percent (60%) of Unencumbered Asset Value; provided that, notwithstanding the foregoing, so long as no Default has occurred and is continuing, as of the last day of the fiscal quarter in which any Material Acquisition occurs and the last day of the two (2) consecutive quarters thereafter, such ratio may exceed sixty percent (60%) but not exceed sixty five percent (65%) (such period being an “Unsecured Leverage Increase Period”); provided further that (i) the Company may not elect more than three (3) Unsecured Leverage Increase Periods during the term of this Agreement and (ii) any such Unsecured Leverage Increase Periods shall be non-consecutive.
(f)    Consolidated Unsecured Interest Coverage Ratio.  The Parent REIT and the Company will not permit the Consolidated Unsecured Interest Coverage Ratio, as of the last day of any fiscal quarter commencing with the Initial Compliance Date, to be less than (i) as of the Initial Compliance Date, 1.251.50 to 1.00, (ii) as of the last day of the first fiscal quarter ending after the Initial Compliance Date, 1.50 to 1.00, (iii) as of the last day of the second fiscal quarter ending after the Initial Compliance Date, 1.75 to 1.00, and (iviii) as of the last day of any fiscal quarter thereafter, 2.00 to 1.00.

(g)    Consolidated Tangible Net Worth.  The Parent REIT and the Company will not permit Consolidated Tangible Net Worth, as of the last day of any fiscal quarter commencing with the Initial Compliance Date, to be less than the sum of (i) $1,400,772,000 plus (ii) seventy-five percent (75%) of the Net Proceeds of all Equity Issuances by the Company Parties after June 30, 2017.
(h)    Restricted Payments.  Permit, for any fiscal year of the Company Parties, the amount of Restricted Payments (excluding Restricted Payments payable solely in the common stock or other common Equity Interests of the Parent REIT or the Company) made by the Company Parties to the holders of their Equity Interests (excluding any such holders of Equity Interests which are the Company or any Guarantor) during such period to exceed the FFO Distribution Allowance for such period; provided that, to the extent no Event of Default then exists or will result from such Restricted Payments (or if a Default or Event of Default then exists or will result from such Restricted Payments, then so long as no acceleration of the Notes shall have occurred), the Company, the Guarantors, and each other Subsidiary (including Pebblebrook Hotel Lessee) shall be permitted to make Restricted Payments to the Company and the Company shall be permitted to make Restricted Payments to Parent REIT, in each case to permit the Parent REIT to make Restricted Payments to the holders of the Equity Interests in the Parent REIT to the extent necessary to maintain Parent REIT’s status as a REIT and as necessary to pay any special or extraordinary tax liabilities then due (after taking into account any losses, offsets and credits, as applicable) on capital gains attributable to Parent REIT.  In addition, so long as no acceleration of the Notes shall have occurred, each TRS may make Restricted Payments to its parent entity to the extent necessary to pay any Taxes then due in respect of the income of such TRS.  Notwithstanding the foregoing, during the Waiver Period and at any time thereafter until the Consolidated Leverage Ratio is less than 6.75 to 1.00 as of the last day of any fiscal quarter, as reflected on the most recently delivered Compliance Certificate delivered pursuant to Section 7.2(a), the Parent REIT shall not purchase, redeem, retire, or defease any of its Equity Interests except as expressly permitted in Section 10.10(e). 
(i)    Minimum Liquidity.  At any time during the Waiver Period, permit Liquidity to be less than $200,000,000.
(j)    Waiver Period Financial Covenants; Adjustments.  
(i)    During the period of time commencing on the Second Amendment Effective Date up to, but excluding, the Initial Compliance Date the Parent REIT and the Company shall continue to deliver to the Purchaser and any holder of the Notes that is an Institutional Investor duly completed Compliance Certificates, for informational purposes only, as and when required under Section 7.2(a) certifying as to the Company’s calculations of the financial tests set forth in this Section 10.6.
(ii)    Immediately following the expiration of the Waiver Period, the financial covenants set forth in this Section 10.6 (including the related defined terms) (other than the covenants set forth in clauses (d), (f) (g) and (i) thereof) shall be modified as follows:

(A)    in the event the Company elects to terminate the Waiver Period on the date occurring under clause (b) of the definition of “Waiver Period”, the testing period for the covenants set forth in this Section 10.6 shall be measured as follows: (w) for the most-recent fiscal quarter ending on or immediately prior to the expiration of the Waiver Period, the trailing quarter, annualized; (x) for the two (2) most-recent fiscal quarters ending on or immediately prior to the expiration of the Waiver Period, the trailing two (2) quarters, annualized; (y) for the three fiscal quarters ending on or immediately prior to the expiration of the Waiver Period, the trailing three (3) quarters, annualized; and (z) thereafter, the trailing four (4) quarters. 
(B)    in the event the Waiver Period ends on the date occurring under clause (a) of the definition of “Waiver Period”, the testing period for the covenants set forth in this Section 10.6 shall be measured as follows: (w) for the fiscal quarter ending June 30, 2022, the trailing quarter, annualized; (x) for the fiscal quarter ending September 30, 2022, the trailing two (2) quarters, annualized; (y) for the fiscal quarter ending December 31, 2022, the trailing three (3) quarters, annualized and (z) thereafter, the trailing four (4) quarters.
(iii)    From and after the Initial Compliance Date, the financial covenants set forth in Sections 10.6(d) and 10.6(f) shall be modified as follows:
(A)    in the event the Company elects to terminate the Waiver Period on the date occurring under clause (b) of the definition of “Waiver Period”, the testing period for the covenants set forth in Sections 10.6(d) and 10.6(f) shall be measured as follows: (w) for the most-recent fiscal quarter ending on or immediately prior to the expiration of the Waiver Period, the trailing quarter, annualized; (x) for the two (2) most-recent fiscal quarters ending on or immediately prior to the expiration of the Waiver Period, the trailing two (2) quarters, annualized; (y) for the three fiscal quarters ending on or immediately prior to the expiration of the Waiver Period, the trailing three (3) quarters, annualized; and (z) thereafter, the trailing four (4) quarters. 
(B)    in the event the Waiver Period ends on the date occurring under clause (a) of the definition of “Waiver Period”, the testing period for the covenants set forth in this Section 10.6 shall be measured as follows: (w) for the fiscal quarter ending March 31, 2022, the trailing quarter, annualized; (x) for the fiscal quarter ending June 30, 2022, the trailing two (2) quarters, annualized; (y) for the fiscal quarter ending September 30, 2022, the trailing three (3) quarters, annualized and (z) thereafter, the trailing four (4) quarters.
Section 10.7.    Dispositions.  The Parent REIT and the Company will not make any Disposition of any assets or property, except:  

(a)    Dispositions in the ordinary course of business (other than those Dispositions permitted under clause (b) of this Section 10.7), so long as (i) no Default or Event of Default shall exist immediately before or immediately after such Disposition, and (ii) the Company Parties will be in compliance, on a Pro Forma Basis following such Disposition, with the covenants set forth in Section 10.6 of this Agreement as demonstrated by a compliance certificate with supporting calculations delivered to the Required Holders on or prior to the date of such Disposition showing the effect of such Disposition; 
(b)    Any of the following:
(i)    Dispositions of obsolete, surplus or worn out property or other property not necessary for operations, whether now owned or hereafter acquired, in the ordinary course of business and for no less than fair market value;
(ii)    Dispositions of equipment or real property to the extent that (A) such property is exchanged for credit against the purchase price of similar replacement property or (B) the proceeds of such Disposition are reasonably promptly applied to the purchase price of such replacement property, in each case in the ordinary course of business and for no less than fair market value;
(iii)    Dispositions of inventory and Investments of the type described in Sections 10.9(b) and (c) in the ordinary course of business;
(iv)    leases of Real Property (other than any Unencumbered Borrowing Base Property) and personal property assets related thereto to any TRS; and
(v)    in order to resolve disputes that occur in the ordinary course of business, the Company and any Subsidiary of the Company may discount or otherwise compromise, for less than the face value thereof, notes or accounts receivable;
(c)    Dispositions of property by the Company or any Guarantor to the Company or to another Note Party; 
(d)    Dispositions pursuant to Section 10.2, and
(e)    Any other Disposition approved in writing by the Required Holders.

Notwithstanding the foregoing provisions of this Section 10.7, neither the Company nor any Guarantor shall sell or make any other Disposition of assets or property that will have the effect of causing the Company or any Guarantor to become liable under any tax protection or tax sharing agreement if the amount of such liability would exceed an amount equal to one percent (1%) of the total assets of the Company or any Guarantor without the prior written consent of the Required Holders.
Section 10.8.    Restricted Payments.   The Parent REIT and the Company will not declare or make, directly or indirectly, any Restricted Payment, or incur any obligation (contingent or otherwise) to do so, except:
(a)    so long as no Default or Event of Default shall exist at the time of such Restricted Payment or would result therefrom, each Subsidiary may make Restricted Payments to the Company, the Guarantors and any other Person that owns an Equity Interest in such Subsidiary, ratably according to their respective holdings of the type of Equity Interest in respect of which such Restricted Payment is being made;
(b)    so long as no Event of Default shall exist at the time of such Restricted Payment or would result therefrom, the Company and each Subsidiary may declare and make dividend payments or other distributions payable solely in the common stock or other common Equity Interests of such Person;
(c)    so long as no Event of Default shall exist at the time of such Restricted Payment or would result therefrom, the Company and each Subsidiary may purchase, redeem or otherwise acquire Equity Interests issued by it with the proceeds received from the substantially concurrent issue of new shares of its common stock or other common Equity Interests; and
(d)    so long as no acceleration shall have occurred, each TRS may make Restricted Payments to its TRS parent entity to the extent necessary to pay any tax liabilities then due (after taking into account any losses, offsets and credits, as applicable); provided that any such Restricted Payments by a TRS shall only be made after it has paid all of its operating expenses currently due or anticipated within the current month and next following month.
Notwithstanding the foregoing, the Company and the Guarantors shall be permitted to make Restricted Payments of the type and to the extent permitted pursuant to Section 10.6(h) of this Agreement.
Section 10.9.    Investments.  The Parent REIT and the Company will not make any Investments, except:

(a)    Investments by the Company Parties (other than by the Parent REIT) in (i) Unencumbered Borrowing Base Properties, and (ii) other real properties that are fully-developed, open and operating income-producing “luxury,” “upper upscale” or “upscale” full or select service hotels, with all material approvals from each Governmental Authority required in connection with the lawful operation of such hotels, and which real properties shall, upon the making of such Investments, be wholly owned by such Company Party;
(b)    Investments held by the Company or such Guarantor or other Subsidiary in the form of cash or Cash Equivalents;
(c)    Investments existing as of the Closing and set forth in Schedule 5.15
(d)    Advances to officers, directors and employees of the Company, the Guarantors and other Subsidiaries in aggregate amounts not to exceed (i) $500,000 at any time outstanding for employee relocation purposes, and (ii) $100,000 at any time outstanding for travel, entertainment, and analogous ordinary business purposes;
(e)    Investments of (i) the Company in any Guarantor (including (A) Investments by the Company in any private REIT, so long as the Company owns one hundred percent (100%) of the “common” Equity Interests in such private REIT and (B) Investments by the Company in a Guarantor in the form of an intercompany loan), (ii) any Guarantor in the Company or in another Guarantor (including Investments by a Guarantor in the Company or in another Guarantor in the form of an intercompany loan), and (iii) the Company, any Guarantor or any Non-Guarantor Subsidiary in Non-Guarantor Subsidiaries (including Investments by the Company, any Guarantor or any Non-Guarantor Subsidiary in a Non-Guarantor Subsidiary in the form of an intercompany loan) that own, directly or indirectly, and operate Real Properties that are fully-developed, open and operating income-producing “luxury,” “upper upscale” or “upscale” full or select service hotels, with all material approvals from each Governmental Authority required in connection with the lawful operation of such hotels; provided, notwithstanding the foregoing or any other provision herein or in any other Note Document to the contrary, the Parent REIT shall not own any Equity Interests in any Person other than the Company;
(f)    Investments consisting of extensions of credit in the nature of accounts receivable or notes receivable arising from the grant of trade credit in the ordinary course of business, and Investments received in satisfaction or partial satisfaction thereof from financially troubled account debtors to the extent reasonably necessary in order to prevent or limit loss;
(g)    Guarantees of Indebtedness which are permitted under the Primary Credit Facilities and so long as the Company is in compliance with Section 9.8; 
(h)    Other Investments of the Company and its Subsidiaries in:

(i)    Real properties consisting of undeveloped or speculative land (valued at cost for purposes of this clause (h)) with an aggregate value not greater than five percent (5%) of Consolidated Total Asset Value and which real properties shall, upon the making of such Investments, be wholly owned by the Company or such Subsidiary;
(ii)    Incoming-producing real properties (other than hotels or similar hospitality properties) (valued at cost for purposes of this clause (h)) with an aggregate value not greater than ten percent (10%) of Consolidated Total Asset Value and which real properties shall, upon the making of such Investments, be wholly owned by the Company or such Subsidiary;
(iii)    Development/Redevelopment Properties (valued at cost for purposes of this clause (h); provided that all costs and expenses associated with all existing development activities with respect to such Development/Redevelopment Properties (budget to completion) shall be included in determining the aggregate Investment of the Company or such Subsidiary with respect to such activities) with an aggregate value not greater than fifteen percent (15%) of Consolidated Total Asset Value and which Development/Redevelopment Properties shall, upon the making of such Investments, be wholly owned by the Company or such Subsidiary and;
(iv)    Unconsolidated Affiliates (valued at cost for purposes of this clause (h)) with an aggregate value not greater than twenty percent (20%) of Consolidated Total Asset Value;
(v)    mortgage or real estate-related loan assets (valued at cost for purposes of this clause (h)) with an aggregate value not greater than fifteen percent (15%) of Consolidated Total Asset Value; and
(vi)    Equity Interests (including preferred Equity Interests) in any Person (other than any Affiliate of the Company) (valued at cost for purposes of this clause (h)) with an aggregate value not greater than fifteen percent (15%) of Consolidated Total Asset Value; provided, however, that the collective aggregate value of the Investments owned pursuant to items (i) through (vi) of this clause (h) above shall not at any time exceed thirty-five percent (35%) of Consolidated Total Asset Value.
Although it will not be a Default or an Event of Default if the Company fails to comply with any provision of Section 10 on or after the Execution Date and prior to the Closing, if such failure occurs then any of the Purchasers may elect not to purchase the Notes on the date of the Closing that is specified in Section 3.
Section 10.10.      Enhanced Negative Covenants.  Notwithstanding anything to the contrary contained in this Agreement, during the Waiver Period the Note  Parties shall not, nor shall they permit any other Company Party (except where expressly limited to the Company or the Note Parties, as applicable), directly or indirectly, to: 

(a)    make any Investments other than (i) Investments in one or more new Unencumbered Borrowing Base Properties (or in Equity Interests in Subsidiaries that own or will own new Unencumbered Borrowing Base Properties) solely with the proceeds of Excluded Net Proceeds or (ii) any other Investments otherwise permitted pursuant to Section 10.9 not to exceed $100,000,000 in the aggregate;
(b)    make or become legally obligated to make any expenditure in respect of the purchase or other acquisition of any fixed or capital asset other than (i) in connection with emergency repairs, life safety repairs or ordinary course maintenance repairs (ii) capital expenditures to complete ongoing renovations in an amount not to exceed $155,000,000 in the aggregate during the period commencing with the Fourth Amendment Effective Date through the remainder of the Waiver Period;
(c)    create, incur, assume or suffer to exist any Indebtedness not existing and permitted as of the Second Amendment Effective Date other than (i) to the extent the proceeds of such Indebtedness are used to fully or partially refinance or replace Indebtedness existing and permitted as of the Second Amendment Effective Date; provided, however, that in no event shall the final stated maturity date of any Indebtedness permitted under this clause (c)(i) be earlier than the existing maturity date of the Indebtedness being refinanced or replaced; provided further, that any amounts in excess of the amounts used to fully or partially refinance or replace Indebtedness are otherwise permitted to be incurred pursuant to this Section 10.10(c), (ii) Secured Non-Recourse Debt not to exceed $250,000,000400,000,000 in the aggregate and pursuant to which the Company has made the mandatory offer to purchase pursuant to Section 8.9; provided, however, that in no event shall the final stated maturity date of any Indebtedness permitted under this clause (c)(ii) be earlier than one (1) year after the Maturity Date of the Notes, or (iii) Indebtedness that is recourse to one or more Company Parties and pursuant to which the Company has made the mandatory offer to purchase pursuant to Section 8.9; provided, however, that in no event shall the final stated maturity date of any Indebtedness permitted under this clause (c)(iii) (other than (A) increases of any Indebtedness under any Material Credit Facility pursuant to the terms thereof and (B) Indebtedness under a 364-day facility not to exceed $100,000,000) be earlier than one (1) year after the Maturity Date of the Notes;
(d)    make any Disposition other than Dispositions (i) permitted by Section 10.7(b)(i), (ii), (iii) and (iv), or (ii) to a Person that is not a Note Party or Related Party of any Consolidated Party, (A) for fair market value in an arms’ length transaction, (B) in which the price for such asset shall be paid to a Consolidated Party solely in cash, and (C) pursuant to which the Company has made the mandatory offer to purchase, if any, required pursuant to Section 8.9; 

(e)    declare or make any Restricted Payments other than (i) Restricted Payments to the holders of the common Equity Interests in the Parent REIT of not more than $0.01 per share, (ii) Restricted Payments to the holders of the Equity Interests in the Parent REIT to the extent necessary to maintain the Parent REIT’s status as a REIT, (iii) so long as no Default or Event of Default has occurred and is continuing or would result therefrom, Restricted Payments with respect to any preferred Equity Interests, (iv) Restricted Payments by Subsidiaries of the Company to Company and by Company to the Parent REIT the proceeds of which are used by the Parent REIT to make Restricted Payments permitted by clauses (i) through (iii) preceding and (v) the purchase or redemption by the Parent REIT of its preferred Equity Interests solely with Net Cash Proceeds from Permitted Preferred Issuances; 
(f)    voluntarily prepay (i) the principal amount of any Permitted Convertible Notes other than pursuant to a conversion thereof into Equity Interests of the Parent REIT; or (ii) any Indebtedness incurred after the Fourth Amendment Effective Date;
(g)    create, incur, assume or suffer to exist any Lien upon any property, assets or revenues of any Consolidated Party, whether now owned or hereafter acquired, not existing and permitted as of the Second Amendment Effective Date other than (i) Liens securing the Pari Passu Obligations on a pari passu basis subject to the terms of the Intercreditor Agreement, (ii) Liens permitted by Sections 10.5(d), (e), (f), (g), (h), (i), (j) and (n), (iii) Liens securing Indebtedness permitted under Section 10.10(c)(i); provided that (A) the amount secured or benefited thereby is not increased except as contemplated by Section 7.03(b) of the Bank of America Credit Facility, (B) the direct or any contingent obligor with respect thereto is not changed, (C) any renewal or extension of the obligations secured or benefited thereby is permitted by Section 7.03(b) of the Bank of America Credit Facility, and (D) to the extent such existing Indebtedness being refinanced or replaced is Secured Debt, incurred to refinance or replace Secured Debt secured by the same property or assets, and (iv) Liens securing Indebtedness permitted under Section 10.10(c)(ii); or
(h)    enter into any Contractual Obligation (other than this Agreement) that limits the ability of the Company to make any prepayment offers hereunder, including for avoidance of doubt, Section 8.108.2, Section 8.5 or Section 8.118.10.
SECTION 11.    EVENTS OF DEFAULT.
An “Event of Default” shall exist if any of the following conditions or events shall occur and be continuing:
(a)    the Company defaults in the payment of any principal or Make-Whole Amount, if any, on any Note when the same becomes due and payable, whether at maturity or at a date fixed for prepayment or by declaration or otherwise; or
(b)    the Company defaults in the payment of any interest on any Note for more than five Business Days after the same becomes due and payable; or

(c)    the Company or the Parent REIT defaults in the performance of or compliance with any term contained in Section 7.1(d) or Section 10; or
(d)    the Company or any Subsidiary Guarantor defaults in the performance of or compliance with any term contained herein (other than those referred to in Sections 11(a), (b) and (c)) or in any Subsidiary Guaranty and such default is not remedied within 30 days after the earlier of (i) a Responsible Officer obtaining actual knowledge of such default and (ii) the Company receiving written notice of such default from any holder of a Note (any such written notice to be identified as a “notice of default” and to refer specifically to this Section 11(d)); provided that if the auditor’s opinion accompanying any audited financial statements is subject to any “going concern” or like qualification or exception, then the Parent REIT shall have a period of 45 days from the delivery date of such statements for the auditor to reissue its opinion without any “going concern” or like qualification or exception; or
(e)    (i) any representation or warranty made in writing by or on behalf of the Company or by any officer of the Company in this Agreement or any writing furnished in connection with the transactions contemplated hereby proves to have been false or incorrect in any material respect on the date as of which made, or (ii) any representation or warranty made in writing by or on behalf of any Subsidiary Guarantor or by any officer of such Subsidiary Guarantor in any Subsidiary Guaranty or any writing furnished in connection with such Subsidiary Guaranty proves to have been false or incorrect in any material respect on the date as of which made; or
(f)    (i) the Company or any Subsidiary is in default (as principal or as guarantor or other surety) in the payment of any principal of or premium or make-whole amount or interest on any Indebtedness that is outstanding in an aggregate principal amount of at least $25,000,000 beyond any period of grace provided with respect thereto, or (ii) the Company or any Subsidiary is in default in the performance of or compliance with any term of any evidence of any Indebtedness in an aggregate outstanding principal amount of at least $25,000,000 or of any mortgage, indenture or other agreement relating thereto or any other condition exists, and as a consequence of such default or condition such Indebtedness has become, or has been declared (or one or more Persons are entitled to declare such Indebtedness to be), due and payable before its stated maturity or before its regularly scheduled dates of payment, or (iii) as a consequence of the occurrence or continuation of any event or condition (other than the passage of time or the right of the holder of Indebtedness to convert such Indebtedness into equity interests), (x) the Company or any Subsidiary has become obligated to purchase or repay Indebtedness before its regular maturity or before its regularly scheduled dates of payment in an aggregate outstanding principal amount of at least $25,000,000, or (y) one or more Persons have the right to require the Company or any Subsidiary so to purchase or repay such Indebtedness; or

(g)    the Company or any Subsidiary (i) is generally not paying, or admits in writing its inability to pay, its debts as they become due, (ii) files, or consents by answer or otherwise to the filing against it of, a petition for relief or reorganization or arrangement or any other petition in bankruptcy, for liquidation or to take advantage of any bankruptcy, insolvency, reorganization, moratorium or other similar law of any jurisdiction, (iii) makes an assignment for the benefit of its creditors, (iv) consents to the appointment of a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property, (v) is adjudicated as insolvent or to be liquidated, or (vi) takes corporate action for the purpose of any of the foregoing; or
(h)    a court or other Governmental Authority of competent jurisdiction enters an order appointing, without consent by the Company or any of its Subsidiaries, a custodian, receiver, trustee or other officer with similar powers with respect to it or with respect to any substantial part of its property, or constituting an order for relief or approving a petition for relief or reorganization or any other petition in bankruptcy or for liquidation or to take advantage of any bankruptcy or insolvency law of any jurisdiction, or ordering the dissolution, winding-up or liquidation of the Company or any of its Subsidiaries, or any such petition shall be filed against the Company or any of its Subsidiaries and such petition shall not be dismissed within 60 days; or
(i)    one or more final judgments or orders for the payment of money aggregating in excess of $25,000,000, including, without limitation, any such final order enforcing a binding arbitration decision, are rendered against one or more of the Company and its Subsidiaries and which judgments are not, within 60 days after entry thereof, bonded, discharged or stayed pending appeal, or are not discharged within 60 days after the expiration of such stay; or

(j)    if (i) any Plan shall fail to satisfy the minimum funding standards of ERISA or the Code for any plan year or part thereof or a waiver of such standards or extension of any amortization period is sought or granted under section 412 of the Code, (ii) a notice of intent to terminate any Plan shall have been or is reasonably expected to be filed with the PBGC or the PBGC shall have instituted proceedings under ERISA section 4042 to terminate or appoint a trustee to administer any Plan or the PBGC shall have notified the Company or any ERISA Affiliate that a Plan may become a subject of any such proceedings, (iii) the aggregate “amount of unfunded benefit liabilities” (within the meaning of section 4001(a)(18) of ERISA) under all Plans, determined in accordance with Title IV of ERISA, shall exceed an amount that could reasonably be expected to have a Material Adverse Effect, (iv) the Company or any ERISA Affiliate shall have incurred or is reasonably expected to incur any liability pursuant to Title I or IV of ERISA or the penalty or excise tax provisions of the Code relating to employee benefit plans, (v) the Company or any ERISA Affiliate withdraws from any Multiemployer Plan, or (vi) the Company or any Subsidiary establishes or amends any employee welfare benefit plan that provides post-employment welfare benefits in a manner that would increase the liability of the Company or any Subsidiary thereunder; and any such event or events described in clauses (i) through (vi) above, either individually or together with any other such event or events, could reasonably be expected to have a Material Adverse Effect.  As used in this Section 11(j), the terms “employee benefit plan” and “employee welfare benefit plan” shall have the respective meanings assigned to such terms in section 3 of ERISA; or
(k)    any Affiliate Guaranty shall cease to be in full force and effect, any Subsidiary Guarantor or any Person acting on behalf of any Guarantor shall contest in any manner the validity, binding nature or enforceability of any Affiliate Guaranty, or the obligations of any Guarantor under any Affiliate Guaranty are not or cease to be legal, valid, binding and enforceable in accordance with the terms of such Affiliate Guaranty; or
(l)    any Collateral Document shall for any reason fail to create a valid and perfected security interest in any portion of the Collateral purported to be covered thereby, with the priority required by the applicable Collateral Document, except as (i) permitted by the terms of any Note Document or (ii) as a result of the release of such security interest in accordance with the terms of any Note Document, it being understood and agreed that the failure of the Collateral Agent to maintain possession of any Collateral actually delivered to it or file any UCC (or equivalent) continuation statement shall not result in an Event of Default under this clause (l).
SECTION 12.    REMEDIES ON DEFAULT, ETC.
Section 12.1.    Acceleration.  (a) If an Event of Default with respect to the Parent REIT or the Company described in Section 11(g) or (h) (other than an Event of Default described in clause (i) of Section 11(g) or described in clause (vi) of Section 11(g) by virtue of the fact that such clause encompasses clause (i) of Section 11(g)) has occurred, all the Notes then outstanding shall automatically become immediately due and payable.

(b)    If any other Event of Default has occurred and is continuing, the Required Holders may at any time at its or their option, by notice or notices to the Company, declare all the Notes then outstanding to be immediately due and payable.
(c)    If any Event of Default described in Section 11(a) or (b) has occurred and is continuing, any holder or holders of Notes at the time outstanding affected by such Event of Default may at any time, at its or their option, by notice or notices to the Company, declare all the Notes held by it or them to be immediately due and payable.
Upon any Notes becoming due and payable under this Section 12.1, whether automatically or by declaration, such Notes will forthwith mature and the entire unpaid principal amount of such Notes, plus (x) all accrued and unpaid interest thereon (including, but not limited to, interest accrued thereon at the Default Rate) and (y) the Make-Whole Amount determined in respect of such principal amount (to the full extent permitted by applicable law), shall all be immediately due and payable, in each and every case without presentment, demand, protest or further notice, all of which are hereby waived.  The Parent REIT and the Company acknowledge, and the parties hereto agree, that each holder of a Note has the right to maintain its investment in the Notes free from repayment by the Company (except as herein specifically provided for) and that the provision for payment of a Make-Whole Amount by the Company in the event that the Notes are prepaid or are accelerated as a result of an Event of Default, is intended to provide compensation for the deprivation of such right under such circumstances.
Section 12.2.    Other Remedies.  If any Default or Event of Default has occurred and is continuing, and irrespective of whether any Notes have become or have been declared immediately due and payable under Section 12.1, the holder of any Note at the time outstanding may proceed to protect and enforce the rights of such holder by an action at law, suit in equity or other appropriate proceeding, whether for the specific performance of any agreement contained herein or in any Note or in any Affiliate Guaranty, or for an injunction against a violation of any of the terms hereof or thereof, or in aid of the exercise of any power granted hereby or thereby or by law or otherwise.

Section 12.3.    Rescission.  At any time after any Notes have been declared due and payable pursuant to Section 12.1(b) or (c), the Required Holders in principal amount of the Notes then outstanding, by written notice to the Company, may rescind and annul any such declaration and its consequences if (a) the Parent REIT and the Company have paid all overdue interest on the Notes, all principal of and Make-Whole Amount, if any, on any Notes that are due and payable and are unpaid other than by reason of such declaration, and all interest on such overdue principal and Make-Whole Amount, if any, and (to the extent permitted by applicable law) any overdue interest in respect of the Notes, at the applicable Default Rate, (b) neither the Parent REIT, the Company nor any other Person shall have paid any amounts which have become due solely by reason of such declaration, (c) all Events of Default and Defaults, other than non-payment of amounts that have become due solely by reason of such declaration, have been cured or have been waived pursuant to Section 17, and (d) no judgment or decree has been entered for the payment of any monies due pursuant hereto or to the Notes.  No rescission and annulment under this Section 12.3 will extend to or affect any subsequent Event of Default or Default or impair any right consequent thereon.
Section 12.4.    No Waivers or Election of Remedies, Expenses, Etc.  No course of dealing and no delay on the part of any holder of any Note in exercising any right, power or remedy shall operate as a waiver thereof or otherwise prejudice such holder’s rights, powers or remedies.  No right, power or remedy conferred by this Agreement, any Affiliate Guaranty or any Note upon any holder thereof shall be exclusive of any other right, power or remedy referred to herein or therein or now or hereafter available at law, in equity, by statute or otherwise.  Without limiting the obligations of the Parent REIT and the Company under Section 15, the Company will pay to the holder of each Note on demand such further amount as shall be sufficient to cover all costs and expenses of such holder incurred in any enforcement or collection under this Section 12, including, without limitation, reasonable attorneys’ fees, expenses and disbursements.
SECTION 13.    PARENT GUARANTY, ETC.

Section 13.1.    Parent Guaranty.  The Parent REIT hereby irrevocably, absolutely and unconditionally guarantees as primary obligors and not as surety to each holder of any Note or Notes at any time outstanding the prompt payment in full, in Dollars, when due (whether at stated maturity, by acceleration, by mandatory or optional prepayment or otherwise) of the principal of and Make-Whole Amount (if any) and interest on the Notes (including interest on any overdue principal and Make-Whole Amount (if any) and interest at the Default Rate (if any) and interest accruing at the then applicable rate provided in the Notes after the filing of any petition in bankruptcy, or the commencement of any insolvency reorganization or like proceeding, relating to the Company, whether or not a claim for post-filing or post-petition interest is allowed in such proceeding) and all other amounts from time to time owing by the Company under this Agreement and the other Note Documents to any holder (including costs, expenses and taxes) (such payments being herein collectively called the “Guaranteed Obligations”).  The Parent REIT hereby further agrees that if the Company shall default in the payment of any of the Guaranteed Obligations (after giving effect to all applicable grace and cure periods), the Parent REIT will (x) promptly pay the same, without any demand or notice whatsoever, and that in the case of any extension of time of payment or renewal of any of the Guaranteed Obligations, the same will be promptly paid in full when due (whether at extended maturity, by acceleration, by mandatory prepayment or otherwise) in accordance with the terms of such extension or renewal and (y) pay to the holder of any Note such amounts, to the extent lawful, as shall be sufficient to pay the costs and expenses of collection or of otherwise enforcing any of such holder’s rights under this Agreement, including reasonable counsel fees.  All obligations of the Parent REIT under this Section 13 shall be referred to as the “Parent Guaranty” and shall survive the transfer of any Note.  Any obligations of the Parent REIT under this Section 13 with respect to which the underlying obligation of the Company is expressly stated to survive payment of any Note shall also survive payment of such Note.
Section 13.2.    Obligations Unconditional.  (a) The obligations of the Parent REIT under Section 13.1 constitute a present and continuing guaranty of payment and not collectibility and are absolute, unconditional and irrevocable, irrespective of the value, genuineness, validity, regularity or enforceability of the obligations of the Company under this Agreement, the other Note Documents or any other agreement or instrument referred to herein or therein, or any substitution, release or exchange of any other guarantee of or security for any of the Guaranteed Obligations, and, to the fullest extent permitted by applicable law, irrespective of any other circumstance whatsoever which might otherwise constitute a legal or equitable discharge or defense of a surety or guarantor, other than the payment in full in Dollars of the Guaranteed Obligations. Without limiting the generality of the foregoing, it is agreed that the occurrence of any one or more of the following shall not alter or impair the liability of the Parent REIT hereunder which shall remain absolute and unconditional as described above:
(i)    any amendment, modification, compromise, release or extension of any provision of this Agreement, the other Note Documents or any assignment or transfer thereof, including the renewal or extension of the time of payment of any of the Notes or the granting of time in respect of such payment thereof, or of any furnishing or acceptance of security or any additional guarantee or any release of any security or guarantee so furnished or accepted for any of the Notes;

(ii)    any waiver, consent, extension, granting of time, forbearance, indulgence or other action or inaction under or in respect of this Agreement or the other Note Documents, or any exercise or non-exercise of any right, remedy or power in respect hereof or thereof;
(iii)    any bankruptcy, receivership, insolvency, reorganization, arrangement, readjustment, composition, liquidation or similar proceedings with respect to the Company or any other Person or the properties or creditors of any of them;
(iv)    the occurrence of any Default or Event of Default under, or any invalidity or any unenforceability of, or any misrepresentation, irregularity or other defect in, this Agreement, the other Note Documents or any other agreement or the failure to give notice to the Company or the Parent REIT of the occurrence of any Default or Event of Default under the terms and provisions of this Agreement; 
(v)    any transfer of any assets to or from the Company, including any transfer or purported transfer to the Company from any Person, any invalidity, illegality of, or inability to enforce, any such transfer or purported transfer, any consolidation or merger of the Issuer with or into any Person, any change in the ownership of any Equity Interests of the Company, or any change whatsoever in the objects, capital structure, constitution or business of the Company;
(vi)    any default, failure or delay, willful or otherwise, on the part of the Company or any other Person to perform or comply with, or the impossibility or illegality of performance by the Company or any other Person of, any term of this Agreement, the other Note Documents or any other agreement;
(vii)    any suit or other action brought by, or any judgment in favor of, any beneficiaries or creditors of, the Company or any other Person for any reason whatsoever, including any suit or action in any way attacking or involving any issue, matter or thing in respect of this Agreement, the other Note Documents or any other agreement;
(viii)    any lack or limitation of status or of power, incapacity or disability of the Company or any trustee or agent thereof; or
(ix)    the power or authority or the lack of power or authority of any Company Party to issue the Notes or to execute and deliver this Agreement or the other Note Documents, as the case may be, and irrespective of the validity of the Notes, this Agreement or the other Note Documents or of any defense whatsoever that any Company Party may or might have to the payment of the Notes (principal, interest and Make-Whole Amount, if any), or to the performance or observance of any of the provisions or conditions of this Agreement or the other Note Documents, or the existence or continuance of any Company Party as a legal entity;

(x)    any failure to present the Notes for payment or to demand payment thereof, or to give the Company or the Parent REIT notice of dishonor for non-payment of the Notes, when and as the same may become due and payable, or notice of any failure on the part of the Company to do any act or thing or to perform or to keep any covenant or agreement by it to be done, kept or performed under the terms of the Notes or this Agreement;
(xi)    any other thing, event, happening, matter, circumstance or condition whatsoever (other than the irrevocable payment in full in Dollars of the Guaranteed Obligations), not in any way limited to the foregoing.
provided that the specific enumeration of the above-mentioned acts, failures or omissions shall not be deemed to exclude any other acts, failures or omissions, though not specifically mentioned above, it being the purpose and intent of this paragraph that the obligations of the Parent REIT hereunder shall be absolute and unconditional and shall not be discharged, impaired or varied except by the payment to the holders thereof of the principal of, Make-Whole Amount, if any, and interest on the Notes, and of all other sums due and owing to the holders of the Notes pursuant to this Agreement and the Notes, and then only to the extent of such payments in Dollars.  Without limiting any of the other terms or provisions hereof, it is understood and agreed that in order to hold the Parent REIT liable hereunder, there shall be no obligation on the part of any holder of any Note to resort, in any manner or form, for payment, to the Company or to any other Person or to the properties or estates of any of the foregoing.  All rights of the holder of any Note pursuant thereto or to this Agreement may be transferred or assigned at any time or from time to time and shall be considered to be transferred or assigned upon the transfer of such Note, whether with or without the consent of or notice to the Parent REIT or the Company.  Without limiting the foregoing, it is understood that repeated and successive demands may be made and recoveries may be had hereunder as and when, from time to time, the Company shall default under the terms of the Notes or this Agreement and that notwithstanding recovery hereunder for or in respect of any given default or defaults by the Company under the Notes or this Agreement the obligations of the Parent REIT under this Section 13 shall remain in full force and effect and shall apply to each and every subsequent default.
(b)    The Parent REIT hereby unconditionally waives diligence, presentment, demand of payment, protest and all notices whatsoever and any requirement that any holder of a Note exhaust any right, power or remedy against the Company under this Agreement, the other Note Documents or any other agreement or instrument referred to herein or therein, or against any other Person under any other guarantee of, or security for, any of the Guaranteed Obligations.

(c)    In the event that the Parent REIT shall at any time pay any amount on account of the Guaranteed Obligations or take any other action in performance of its obligations hereunder, the Parent REIT shall not exercise any subrogation or other rights hereunder or under the Notes and the Parent REIT hereby waives all rights it may have to exercise any such subrogation or other rights, and all other remedies that it may have against the Company, in respect of any payment made hereunder unless and until the Guaranteed Obligations shall have been paid in full in Dollars.  If any amount shall be paid to the Parent REIT on account of any such subrogation rights or other remedy, notwithstanding the waiver thereof, such amount shall be received in trust for the benefit of the holders of the Notes and shall forthwith be paid to such holders to be credited and applied upon the Guaranteed Obligations, whether matured or unmatured, in accordance with the terms hereof.  The Parent REIT agrees that its obligations under this Section 13 shall be automatically reinstated if and to the extent that for any reason any payment (including payment in full) by or on behalf of the Company is rescinded or must be otherwise restored by any holder of a Note, whether as a result of any proceedings in bankruptcy or reorganization or otherwise, all as though such amount had not been paid.
(d)    If an event permitting the acceleration of the maturity of the principal amount of the Notes shall at any time have occurred and be continuing and such acceleration (and the effect thereof on the Guaranteed Obligations) shall at such time be prevented by reason of the pendency against the Company or any other Person of a case or proceeding under a bankruptcy or insolvency law, the Parent REIT agrees that, for purposes of the guarantee in this Section 13 and the Parent REIT’s obligations under this Agreement, the maturity of the principal amount of the Notes, as applicable, shall be deemed to have been accelerated (with a corresponding effect on the Guaranteed Obligations) with the same effect as if the holders of the Notes had accelerated the same in accordance with the terms of this Agreement, and the Parent REIT shall forthwith pay such principal amount, any interest thereon, any Make-Whole Amount and any other amounts guaranteed hereunder without further notice or demand.
(e)    The guarantee in this Section 13 is a continuing guarantee and shall apply to the Guaranteed Obligations whenever arising.  Each default in the payment or performance of any of the Guaranteed Obligations shall give rise to a separate claim and cause of action hereunder, and separate claims or suits may be made and brought, as the case may be, hereunder as each such default occurs.
Section 13.3.    Marshalling and Accounts.  (a)  None of the holders of the Notes shall be under any obligation (i) to marshal any assets in favor of the Parent REIT or in payment of any or all of the liabilities of the Company under or in respect of the Notes and this Agreement or the obligation of the Parent REIT hereunder or (ii) to pursue any other remedy that the Parent REIT may or may not be able to pursue itself and that may lessen the Parent REIT’s burden or any right to which the Parent REIT hereby expressly waives.
(b)    Until all amounts which may be or become payable by the Company under or in connection with the Notes have been irrevocably paid in full in Dollars while an Event of Default is continuing, any moneys received from the Parent REIT under this Agreement may be held in an interest-bearing bank account.

(c)    This guarantee is in addition to and is not in any way prejudiced by any other guarantee (including, without limitation, any Subsidiary Guaranty) now or subsequently held by a holder of a Note.
Section 13.4.    General Limitation on Guarantee Obligations.  
In any action or proceeding involving any state or provincial corporate law, or any foreign, state, provincial or federal bankruptcy, insolvency, reorganization or other law affecting the rights of creditors generally, if the obligations of the Parent REIT under Section 13.1 would otherwise be held or determined to be void, invalid or unenforceable, or subordinated to the claims of any other creditors, on account of the amount of its liability under Section 13.1, then, notwithstanding any other provision hereof to the contrary, the amount of such liability shall, without any further action by the Parent REIT, any holder or any other Person, be automatically limited and reduced to the highest amount that is valid and enforceable and not subordinated to the claims of other creditors as determined in such action or proceeding.
SECTION 14.    REGISTRATION; EXCHANGE; SUBSTITUTION OF NOTES.
Section 14.1.    Registration of Notes.  The Company shall keep at its principal executive office a register for the registration and registration of transfers of Notes.  The name and address of each holder of one or more Notes, each transfer thereof and the name and address of each transferee of one or more Notes shall be registered in such register.  If any holder of one or more Notes is a nominee, then (a) the name and address of the beneficial owner of such Note or Notes shall also be registered in such register as an owner and holder thereof and (b) at any such beneficial owner’s option, either such beneficial owner or its nominee may execute any amendment, waiver or consent pursuant to this Agreement.  Prior to due presentment for registration of transfer, the Person(s) in whose name any Note(s) shall be registered shall be deemed and treated as the owner and holder thereof for all purposes hereof, and the Company shall not be affected by any notice or knowledge to the contrary.  The Company shall give to any holder of a Note that is an Institutional Investor promptly upon request therefor, a complete and correct copy of the names and addresses of all registered holders of Notes.

Section 14.2.    Transfer and Exchange of Notes.  Upon surrender of any Note to the Company at the address and to the attention of the designated officer (all as specified in Section 19(iii)), for registration of transfer or exchange (and in the case of a surrender for registration of transfer accompanied by a written instrument of transfer duly executed by the registered holder of such Note or such holder’s attorney duly authorized in writing and accompanied by the relevant name, address and other information for notices of each transferee of such Note or part thereof), within ten Business Days thereafter, the Company shall execute and deliver, at the Company’s expense (except as provided below), one or more new Notes (as requested by the holder thereof) of the same Series in exchange therefor, in an aggregate principal amount equal to the unpaid principal amount of the surrendered Note.  Each such new Note shall be payable to such Person as such holder may request and shall be substantially in the form of Schedule 1(a) or 1(b), as applicable.  Each such new Note shall be dated and bear interest from the date to which interest shall have been paid on the surrendered Note or dated the date of the surrendered Note if no interest shall have been paid thereon.  The Company may require payment of a sum sufficient to cover any stamp tax or governmental charge imposed in respect of any such transfer of Notes.  Notes shall not be transferred in denominations of less than $100,000, provided that if necessary to enable the registration of transfer by a holder of its entire holding of Notes, one Note may be in a denomination of less than $100,000.  Any transferee, by its acceptance of a Note registered in its name (or the name of its nominee), shall be deemed to have made the representation set forth in Section 6.2.
Section 14.3.    Replacement of Notes.  Upon receipt by the Company at the address and to the attention of the designated officer (all as specified in Section 19(iii)) of evidence reasonably satisfactory to it of the ownership of and the loss, theft, destruction or mutilation of any Note (which evidence shall be, in the case of an Institutional Investor, notice from such Institutional Investor of such ownership and such loss, theft, destruction or mutilation), and
(a)    in the case of loss, theft or destruction, of indemnity reasonably satisfactory to it (provided that if the holder of such Note is, or is a nominee for, an original Purchaser or another holder of a Note with a minimum net worth of at least $30,000,000 or a Qualified Institutional Buyer, such Person’s own unsecured agreement of indemnity shall be deemed to be satisfactory), or
(b)    in the case of mutilation, upon surrender and cancellation thereof,
within ten Business Days thereafter, the Company at its own expense shall execute and deliver, in lieu thereof, a new Note of the same Series, dated and bearing interest from the date to which interest shall have been paid on such lost, stolen, destroyed or mutilated Note or dated the date of such lost, stolen, destroyed or mutilated Note if no interest shall have been paid thereon.
SECTION 15.    PAYMENTS ON NOTES.

Section 15.1.    Place of Payment.  Subject to Section 15.2, payments of principal, Make-Whole Amount, if any, and interest becoming due and payable on the Notes shall be made in New York, New York at the principal office of U.S. Bank, N.A. in such jurisdiction.  The Company may at any time, by notice to each holder of a Note, change the place of payment of the Notes so long as such place of payment shall be either the principal office of the Company in such jurisdiction or the principal office of a bank or trust company in such jurisdiction.
Section 15.2.    Home Office Payment.  So long as any Purchaser or its nominee shall be the holder of any Note, and notwithstanding anything contained in Section 15.1 or in such Note to the contrary, the Company will pay all sums becoming due on such Note for principal, Make-Whole Amount, if any, interest and all other amounts becoming due hereunder by the method and at the address specified for such purpose below such Purchaser’s name in Schedule B, or by such other method or at such other address as such Purchaser shall have from time to time specified to the Company in writing for such purpose, without the presentation or surrender of such Note or the making of any notation thereon, except that upon written request of the Company made concurrently with or reasonably promptly after payment or prepayment in full of any Note, such Purchaser shall surrender such Note for cancellation, reasonably promptly after any such request, to the Company at its principal executive office or at the place of payment most recently designated by the Company pursuant to Section 15.1.  Prior to any sale or other disposition of any Note held by a Purchaser or its nominee, such Purchaser will, at its election, either endorse thereon the amount of principal paid thereon and the last date to which interest has been paid thereon or surrender such Note to the Company in exchange for a new Note or Notes pursuant to Section 14.2.  The Company will afford the benefits of this Section 15.2 to any Institutional Investor that is the direct or indirect transferee of any Note purchased by a Purchaser under this Agreement and that has made the same agreement relating to such Note as the Purchasers have made in this Section 15.2.
SECTION 16.    EXPENSES, ETC.

Section 16.1.    Transaction Expenses.  Whether or not the transactions contemplated hereby are consummated, the Company will pay all costs and expenses (including reasonable attorneys’ fees of a special counsel and, if reasonably required by the Required Holders, local or other counsel) incurred by the Purchasers and each other holder of a Note in connection with such transactions and in connection with any amendments, waivers or consents under or in respect of this Agreement, any Subsidiary Guaranty or the Notes (whether or not such amendment, waiver or consent becomes effective) within 15 Business Days after the Company’s receipt of an invoice therefor, including, without limitation: (a) the costs and expenses incurred in enforcing or defending (or determining whether or how to enforce or defend) any rights under this Agreement, any Subsidiary Guaranty or the Notes or in responding to any subpoena or other legal process or informal investigative demand issued in connection with this Agreement, any Subsidiary Guaranty or the Notes, or by reason of being a holder of any Note, (b) the costs and expenses, including financial advisors’ fees, incurred in connection with the insolvency or bankruptcy of the Company or any Subsidiary or in connection with any work-out or restructuring of the transactions contemplated hereby and by the Notes and any Subsidiary Guaranty and (c) the costs and expenses incurred in connection with the initial filing of this Agreement and all related documents and financial information with the SVO provided, that such costs and expenses under this clause (c) shall not exceed $3,500 for each Series.  The Company will pay, and will save each Purchaser and each other holder of a Note harmless from, (i) all claims in respect of any fees, costs or expenses, if any, of brokers and finders (other than those, if any, retained by a Purchaser or other holder in connection with its purchase of the Notes) and (ii) any and all wire transfer fees that any bank deducts from any payment under such Note to such holder or otherwise charges to a holder of a Note with respect to a payment under such Note.
Section 16.2.    Survival.  The obligations of the Company under this Section 16 will survive the payment or transfer of any Note, the enforcement, amendment or waiver of any provision of this Agreement, any Subsidiary Guaranty or the Notes, and the termination of this Agreement.
SECTION 17.    SURVIVAL OF REPRESENTATIONS AND WARRANTIES; ENTIRE AGREEMENT.
All representations and warranties contained herein shall survive the execution and delivery of this Agreement and the Notes, the purchase or transfer by any Purchaser of any Note or portion thereof or interest therein and the payment of any Note, and may be relied upon by any subsequent holder of a Note, regardless of any investigation made at any time by or on behalf of such Purchaser or any other holder of a Note.  All statements contained in any certificate or other instrument delivered by or on behalf of the Company pursuant to this Agreement shall be deemed representations and warranties of the Company under this Agreement.  Subject to the preceding sentence, this Agreement, the Notes and any Subsidiary Guaranties embody the entire agreement and understanding between each Purchaser and the Company and supersede all prior agreements and understandings relating to the subject matter hereof.
SECTION 18.    AMENDMENT AND WAIVER.

Section 18.1.    Requirements.  This Agreement and the Notes may be amended, and the observance of any term hereof or of the Notes may be waived (either retroactively or prospectively), only with the written consent of the Company and the Required Holders, except that:
(a)    no amendment or waiver of any of Sections 1, 2, 3, 4, 5, 6 or 22 hereof, or any defined term (as it is used therein), will be effective as to any Purchaser unless consented to by such Purchaser in writing; and
(b)    no amendment or waiver may, without the written consent of each Purchaser and the holder of each Note at the time outstanding, (i) subject to Section 12 relating to acceleration or rescission, change the amount or time of any prepayment or payment of principal of, or reduce the rate or change the time of payment or method of computation of (x) interest on the Notes or (y) the Make-Whole Amount, (ii) change the percentage of the principal amount of the Notes the holders of which are required to consent to any amendment or waiver, or the principal amount of the Notes that the Purchasers are to purchase pursuant to Section 2 upon the satisfaction of the conditions to Closing that appear in Section 4, or (iii) amend any of Sections 8 (except as set forth in the second sentence of Section 8.2) 11(a), 11(b), 12, 18 or 21.
Section 18.2.    Solicitation of Holders of Notes.  (a)  Solicitation.  The Company will provide each Purchaser and holder of a Note with sufficient information, sufficiently far in advance of the date a decision is required, to enable such Purchaser and such holder to make an informed and considered decision with respect to any proposed amendment, waiver or consent in respect of any of the provisions hereof or of the Notes or any Subsidiary Guaranty.  The Company will deliver executed or true and correct copies of each amendment, waiver or consent effected pursuant to this Section 18 or any Subsidiary Guaranty to each Purchaser and holder of a Note promptly following the date on which it is executed and delivered by, or receives the consent or approval of, the requisite Purchasers or holders of Notes.
(b)    Payment.  The Company will not directly or indirectly pay or cause to be paid any remuneration, whether by way of supplemental or additional interest, fee or otherwise, or grant any security or provide other credit support, to any Purchaser or holder of a Note as consideration for or as an inducement to the entering into by such Purchaser or holder of any waiver or amendment of any of the terms and provisions hereof or of any Subsidiary Guaranty or any Note unless such remuneration is concurrently paid, or security is concurrently granted or other credit support concurrently provided, on the same terms, ratably to each Purchaser and each holder of a Note even if such Purchaser or holder did not consent to such waiver or amendment.

(c)    Consent in Contemplation of Transfer.  Any consent given pursuant to this Section 18 or any Subsidiary Guaranty by a holder of a Note that has transferred or has agreed to transfer its Note to the Company, any Subsidiary or any Affiliate of the Company in connection with such consent shall be void and of no force or effect except solely as to such holder, and any amendments effected or waivers granted or to be effected or granted that would not have been or would not be so effected or granted but for such consent (and the consents of all other holders of Notes that were acquired under the same or similar conditions) shall be void and of no force or effect except solely as to such holder.
Section 18.3.    Binding Effect, Etc.  Any amendment or waiver consented to as provided in this Section 18 or any Subsidiary Guaranty applies equally to all Purchasers and holders of Notes and is binding upon them and upon each future holder of any Note and upon the Company without regard to whether such Note has been marked to indicate such amendment or waiver.  No such amendment or waiver will extend to or affect any obligation, covenant, agreement, Default or Event of Default not expressly amended or waived or impair any right consequent thereon.  No course of dealing between the Company and any Purchaser or holder of a Note and no delay in exercising any rights hereunder or under any Note or Subsidiary Guaranty shall operate as a waiver of any rights of any Purchaser or holder of such Note.
Section 18.4.    Notes Held by Company, Etc.  Solely for the purpose of determining whether the holders of the requisite percentage of the aggregate principal amount of Notes then outstanding approved or consented to any amendment, waiver or consent to be given under this Agreement, any Subsidiary Guaranty or the Notes, or have directed the taking of any action provided herein or in any Subsidiary Guaranty or the Notes to be taken upon the direction of the holders of a specified percentage of the aggregate principal amount of Notes then outstanding, Notes directly or indirectly owned by the Company or any of its Affiliates shall be deemed not to be outstanding.
SECTION 19.    NOTICES.
Except to the extent otherwise provided in Section 7.4, all notices and communications provided for hereunder shall be in writing and sent (a) by telecopy if the sender on the same day sends a confirming copy of such notice by an internationally recognized overnight delivery service (charges prepaid), or (b) by registered or certified mail with return receipt requested (postage prepaid), or (c) by an internationally recognized overnight delivery service (with charges prepaid).  Any such notice must be sent:
(i)    if to any Purchaser or its nominee, to such Purchaser or nominee at the address specified for such communications in Schedule B, or at such other address as such Purchaser or nominee shall have specified to the Company in writing,
(ii)    if to any other holder of any Note, to such holder at such address as such other holder shall have specified to the Company in writing, or

(iii)    if to the Parent REIT or the Company, to the Company at its address set forth at the beginning hereof to the attention of Finance Department, or at such other address as the Company shall have specified to the holder of each Note in writing.
Notices under this Section 19 will be deemed given only when actually received. 
SECTION 20.    REPRODUCTION OF DOCUMENTS.
This Agreement and all documents relating thereto, including, without limitation, (a) consents, waivers and modifications that may hereafter be executed, (b) documents received by any Purchaser at the Closing (except the Notes themselves), and (c) financial statements, certificates and other information previously or hereafter furnished to any Purchaser, may be reproduced by such Purchaser by any photographic, photostatic, electronic, digital, or other similar process and such Purchaser may destroy any original document so reproduced.  The Company agrees and stipulates that, to the extent permitted by applicable law, any such reproduction shall be admissible in evidence as the original itself in any judicial or administrative proceeding (whether or not the original is in existence and whether or not such reproduction was made by such Purchaser in the regular course of business) and any enlargement, facsimile or further reproduction of such reproduction shall likewise be admissible in evidence.  This Section 20 shall not prohibit the Company or any other holder of Notes from contesting any such reproduction to the same extent that it could contest the original, or from introducing evidence to demonstrate the inaccuracy of any such reproduction.
SECTION 21.    CONFIDENTIAL INFORMATION.

For the purposes of this Section 21, “Confidential Information” means information delivered to any Purchaser by or on behalf of the Parent REIT, the Company or any Subsidiary in connection with the transactions contemplated by or otherwise pursuant to this Agreement that is proprietary in nature and that was clearly marked or labeled or otherwise adequately identified when received by such Purchaser as being confidential information of the Parent REIT, the Company or such Subsidiary, provided that such term does not include information that (a) was publicly known or otherwise known to such Purchaser prior to the time of such disclosure, (b) subsequently becomes publicly known through no act or omission by such Purchaser or any Person acting on such Purchaser’s behalf, (c) otherwise becomes known to such Purchaser other than through disclosure by the Company or any Subsidiary or (d) constitutes financial statements delivered to such Purchaser under Section 7.1 that are otherwise publicly available.  Each Purchaser will maintain the confidentiality of such Confidential Information in accordance with procedures adopted by such Purchaser in good faith to protect confidential information of third parties delivered to such Purchaser, provided that such Purchaser may deliver or disclose Confidential Information to (i) its directors, officers, employees, agents, attorneys, trustees and affiliates (to the extent such disclosure reasonably relates to the administration of the investment represented by its Notes), (ii) its auditors, financial advisors and other professional advisors who agree to hold confidential the Confidential Information substantially in accordance with this Section 21, (iii) any other holder of any Note, (iv) any Institutional Investor to which it sells or offers to sell such Note or any part thereof or any participation therein (if such Person has agreed in writing prior to its receipt of such Confidential Information to be bound by this Section 21), (v) any Person from which it offers to purchase any Security of the Company (if such Person has agreed in writing prior to its receipt of such Confidential Information to be bound by this Section 21, (vi) any federal or state regulatory authority having jurisdiction over such Purchaser, (vii) the NAIC or the SVO or, in each case, any similar organization, or any nationally recognized rating agency that requires access to information about such Purchaser’s investment portfolio, or (viii) any other Person to which such delivery or disclosure may be necessary or appropriate (w) to effect compliance with any law, rule, regulation or order applicable to such Purchaser, (x) in response to any subpoena or other legal process, (y) in connection with any litigation to which such Purchaser is a party or (z) if an Event of Default has occurred and is continuing, to the extent such Purchaser may reasonably determine such delivery and disclosure to be necessary or appropriate in the enforcement or for the protection of the rights and remedies under such Purchaser’s Notes, this Agreement or any Subsidiary Guaranty.  Each holder of a Note, by its acceptance of a Note, will be deemed to have agreed to be bound by and to be entitled to the benefits of this Section 21 as though it were a party to this Agreement.  On reasonable request by the Company in connection with the delivery to any holder of a Note of information required to be delivered to such holder under this Agreement or requested by such holder (other than a holder that is a party to this Agreement or its nominee), such holder will enter into an agreement with the Company embodying this Section 21.

In the event that as a condition to receiving access to information relating to the Parent REIT, the Company or its Subsidiaries in connection with the transactions contemplated by or otherwise pursuant to this Agreement, any Purchaser or holder of a Note is required to agree to a confidentiality undertaking (whether through IntraLinks, another secure website, a secure virtual workspace or otherwise) which is different from this Section 21, this Section 21 shall not be amended thereby and, as between such Purchaser or such holder and the Parent REIT and the Company, this Section 21 shall supersede any such other confidentiality undertaking.
SECTION 22.    SUBSTITUTION OF PURCHASER.
Each Purchaser shall have the right to substitute any one of its Affiliates or another Purchaser or any one of such other Purchaser’s Affiliates (a “Substitute Purchaser”) as the purchaser of the Notes that it has agreed to purchase hereunder, by written notice to the Company, which notice shall be signed by both such Purchaser and such Substitute Purchaser, shall contain such Substitute Purchaser’s agreement to be bound by this Agreement and shall contain a confirmation by such Substitute Purchaser of the accuracy with respect to it of the representations set forth in Section 6.  Upon receipt of such notice, any reference to such Purchaser in this Agreement (other than in this Section 22), shall be deemed to refer to such Substitute Purchaser in lieu of such original Purchaser.  In the event that such Substitute Purchaser is so substituted as a Purchaser hereunder and such Substitute Purchaser thereafter transfers to such original Purchaser all of the Notes then held by such Substitute Purchaser, upon receipt by the Company of notice of such transfer, any reference to such Substitute Purchaser as a “Purchaser” in this Agreement (other than in this Section 22), shall no longer be deemed to refer to such Substitute Purchaser, but shall refer to such original Purchaser, and such original Purchaser shall again have all the rights of an original holder of the Notes under this Agreement.
SECTION 23.    MISCELLANEOUS.
Section 23.1.    Successors and Assigns.  All covenants and other agreements contained in this Agreement by or on behalf of any of the parties hereto bind and inure to the benefit of their respective successors and assigns (including, without limitation, any subsequent holder of a Note) whether so expressed or not.  
Section 23.2.    Accounting Terms.  
(a)    All accounting terms used herein which are not expressly defined in this Agreement have the meanings respectively given to them in accordance with GAAP.  Except as otherwise specifically provided herein, (i) all computations made pursuant to this Agreement shall be made in accordance with GAAP, and (ii) all financial statements shall be prepared in accordance with GAAP.  For purposes of determining compliance with this Agreement (including, without limitation, Section 9, Section 10 and the definition of “Indebtedness”), any election by the Company to measure any financial liability using fair value (as permitted by Financial Accounting Standards Board Accounting Standards Codification Topic No. 825-10-25 – Fair Value Option, International Accounting Standard 39 – Financial Instruments: Recognition and Measurement or any similar accounting standard) shall be disregarded and such determination shall be made as if such election had not been made.

(b)    Changes in GAAP.  If at any time any change in GAAP would affect the computation of any financial ratio or requirement set forth in any Note Document, and either the Company or the Required Holders shall so request, the holders of Notes and the Company shall negotiate in good faith to amend such ratio or requirement to preserve the original intent thereof in light of such change in GAAP (subject to the approval of the Required Holders); provided that, until so amended, (i) such ratio or requirement shall continue to be computed in accordance with GAAP prior to such change therein and (ii) the Company shall provide to the holders of Notes financial statements and other documents required under this Agreement or as reasonably requested hereunder setting forth a reconciliation between calculations of such ratio or requirement made before and after giving effect to such change in GAAP. 
(c)    Financial Covenant Calculation Conventions.  Notwithstanding the above, the parties hereto acknowledge and agree that, for purposes of all calculations made under the financial covenants set forth in Section 10.6 (including without limitation for purposes of the definitions of “Pro Forma Basis” set forth in Schedule A, (i) after consummation of any Disposition or removal of an Unencumbered Borrowing Base Property (A) income statement items (whether income or expense) and capital expenditures attributable to the property disposed of or removed shall, to the extent not otherwise excluded in such income statement items for the Company Parties in accordance with GAAP or in accordance with any defined terms set forth in Schedule A, be excluded as of the first day of the applicable period and (B) Indebtedness which is retired shall be excluded and deemed to have been retired as of the first day of the applicable period and (ii) after consummation of any acquisition (A) income statement items (whether positive or negative) and capital expenditures attributable to the Person or property acquired shall, to the extent not otherwise included in such income statement items for the Company Parties in accordance with GAAP or in accordance with any defined terms set forth in Schedule A be included to the extent relating to any period applicable in such calculations, (B) to the extent not retired in connection with such acquisition, Indebtedness of the Person or property acquired shall be deemed to have been incurred as of the first day of the applicable period, (iii) in connection with any incurrence of Indebtedness, any Indebtedness which is retired in connection with such incurrence shall be excluded and deemed to have been retired as of the first day of the applicable period and (iv) pro forma adjustments may be included to the extent that such adjustments would give effect to items that are (1) directly attributable to the relevant transaction, (2) expected to have a continuing impact on the Company Parties and (3) factually supportable (in the opinion of the Required Holders).
Section 23.3.    Severability.  Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall (to the full extent permitted by law) not invalidate or render unenforceable such provision in any other jurisdiction.

Section 23.4.    Construction, Etc.  Each covenant contained herein shall be construed (absent express provision to the contrary) as being independent of each other covenant contained herein, so that compliance with any one covenant shall not (absent such an express contrary provision) be deemed to excuse compliance with any other covenant.  Where any provision herein refers to action to be taken by any Person, or which such Person is prohibited from taking, such provision shall be applicable whether such action is taken directly or indirectly by such Person.
Section 23.5.    Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be an original but all of which together shall constitute one instrument.  Each counterpart may consist of a number of copies hereof, each signed by less than all, but together signed by all, of the parties hereto.
Section 23.6.    Governing Law.  This Agreement shall be construed and enforced in accordance with, and the rights of the parties shall be governed by, the law of the State of New York excluding choice-of-law principles of the law of such State that would permit the application of the laws of a jurisdiction other than such State.
Section 23.7.    Jurisdiction and Process; Waiver of Jury Trial.  (a) The Company irrevocably submits to the non-exclusive jurisdiction of any New York State or federal court sitting in the Borough of Manhattan, The City of New York, over any suit, action or proceeding arising out of or relating to this Agreement or the Notes.  To the fullest extent permitted by applicable law, the Company irrevocably waives and agrees not to assert, by way of motion, as a defense or otherwise, any claim that it is not subject to the jurisdiction of any such court, any objection that it may now or hereafter have to the laying of the venue of any such suit, action or proceeding brought in any such court and any claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum.
(b)    The Company consents to process being served by or on behalf of any holder of Notes in any suit, action or proceeding of the nature referred to in Section 23.7(a) by mailing a copy thereof by registered or certified mail (or any substantially similar form of mail), postage prepaid, return receipt requested, to it at its address specified in Section 19 or at such other address of which such holder shall then have been notified pursuant to said Section.  The Company agrees that such service upon receipt (i) shall be deemed in every respect effective service of process upon it in any such suit, action or proceeding and (ii) shall, to the fullest extent permitted by applicable law, be taken and held to be valid personal service upon and personal delivery to it.  Notices hereunder shall be conclusively presumed received as evidenced by a delivery receipt furnished by the United States Postal Service or any reputable commercial delivery service.
(c)    Nothing in this Section 23.7 shall affect the right of any holder of a Note to serve process in any manner permitted by law, or limit any right that the holders of any of the Notes may have to bring proceedings against the Company in the courts of any appropriate jurisdiction or to enforce in any lawful manner a judgment obtained in one jurisdiction in any other jurisdiction.

(d)    The parties hereto hereby waive trial by jury in any action brought on or with respect to this Agreement, the Notes or any other document executed in connection herewith or therewith.
Section 23.8.    Subordination.   If the Company or any other Note Party is now or hereafter becomes indebted to one or more Guarantors including with respect to any Permitted Intercompany Mortgage (such indebtedness and all interest thereon and other obligations with respect thereto being referred to as “Affiliated Debt”), then such Affiliated Debt shall be subordinate in all respects to the full payment and performance of the Obligations, and no Guarantor shall be entitled to enforce or receive payment with respect to any Affiliated Debt until such time as the Obligations have been irrevocably paid in full and the commitments relating thereto have expired or been terminated; provided that, so long as no Event of Default has occurred and is continuing, a Guarantor may receive payments with respect to any Affiliated Debt including the payment in full of same.  Each Guarantor agrees that any Liens, mortgages, deeds of trust, security interests, judgment liens, charges or other encumbrances upon the Company’s or any other Note Party’s assets securing the payment of the Affiliated Debt shall be and remain subordinate and inferior to any Liens, security interests, judgment liens, charges or other encumbrances upon the Company’s or any other Note Party’s assets securing the payment and performance of the Obligations. If an Event of Default exists, then, without the prior written consent of the holders of the Notes, no Guarantor shall exercise or enforce any creditor’s rights of any nature against the Company or any other Note Party to collect the Affiliated Debt (other than demand payment therefor) or enforce any such Liens, security interests, judgment liens, charges or other encumbrances.  In the event of the receivership, bankruptcy, reorganization, arrangement, debtor’s relief or other insolvency proceedings involving the Company or any applicable Note Party as a debtor, the holders of the Notes have the right and authority, either in their own name or as attorney-in-fact for any applicable Guarantor, to file such proof of debt, claim, petition or other documents and to take such other steps as are necessary to prove its rights hereunder and receive directly from the receiver, trustee or other court custodian, payments, distributions or other dividends which would otherwise be payable upon the Affiliated Debt.  Each Guarantor hereby assigns such payments, distributions and dividends to the holders of the Notes, and irrevocably appoints the each holder of the Notes as its true and lawful attorney-in-fact (which appointment is coupled with an interest) with authority to make and file in the name of such Guarantor any proof of debt, amendment of proof of debt, claim, petition or other document in such proceedings and to receive payment of any sums becoming distributable on account of the Affiliated Debt, and to execute such other documents and to give acquittances therefor and to do and perform all such other acts and things for and on behalf of such Guarantor as may be reasonably necessary in the opinion of the holders of the Notes in order to have the Affiliated Debt allowed in any such proceeding and to receive payments, distributions or dividends of or on account of the Affiliated Debt.

*    *    *    *    *

If you are in agreement with the foregoing, please sign the form of agreement on a counterpart of this Agreement and return it to the Company, whereupon this Agreement shall become a binding agreement between you and the Company.
Very truly yours,

Pebblebrook Hotel, L.P.
a Delaware limited partnership

By:    Pebblebrook Hotel Trust, a Maryland
real estate investment trust, its general partner

By /s/ Raymond D. Martz
Name:    Raymond D. Martz
Title:    Executive Vice President
Chief Financial Officer

Pebblebrook Hotel Trust
a Maryland real estate investment trust,

By /s/ Raymond D. Martz
Name:    Raymond D. Martz
Title:    Executive Vice President
Chief Financial Officer

This Agreement is hereby
accepted and agreed to as 
of the date hereof.
[Add Purchaser Signature Blocks]

Defined Terms
As used herein, the following terms have the respective meanings set forth below or set forth in the Section hereof following such term: 
"Additional Surge Date” is defined in Section 10.6(a)(i)(B).
“Additional Surge Period” is defined in Section 10.6(a)(i)(B).
“Adjusted NOI” means, as of any date of calculation, the sum of Net Operating Incomes for all Real Properties for the most recently-ended Calculation Period (and, if specifically required, including adjustments for subsequent events or conditions on a Pro Forma Basis).
“Adjusted Unrestricted Cash” means, on any date, an amount, not less than zero ($0), equal to the Company Party’s Unrestricted Cash less (a) with respect to the calculation of the Consolidated Leverage Ratio, $10,000,000, and (b) with respect to the calculation of the Unsecured Leverage Ratio, $100,000,000.
“Affiliate” means, at any time, and with respect to any Person, any other Person that at such time directly or indirectly through one or more intermediaries Controls, or is Controlled by, or is under common Control with, the Person specified.  Unless the context otherwise clearly requires, any reference to an “Affiliate” is a reference to an Affiliate of the Company. 
“Affiliate Guaranties” means the Parent Guaranty and the Subsidiary Guaranty, and “Affiliate Guaranty” means any one of the Affiliate Guaranties.
“Affiliated Debt” has the meaning specified in Section 23.8.
 “Agreement” means this Agreement, including all Schedules attached to this Agreement, as it may be amended, restated, supplemented or otherwise modified from time to time.
“Anti-Corruption Laws” is defined in Section 5.16(d)(1).
“Anti-Money Laundering Laws” is defined in Section 5.16(c).
“Attributable Indebtedness” means, on any date, (a) in respect of any capital lease of any Person, the capitalized amount thereof that would appear on a balance sheet of such Person prepared as of such date in accordance with GAAP, and (b) in respect of any Synthetic Lease Obligation, the capitalized amount of the remaining lease payments under the relevant lease that would appear on a balance sheet of such Person prepared as of such date in accordance with GAAP if such lease were accounted for as a capital lease.
“Bank of America Credit Facility” means the agreement referenced in clause (c) of the definition of Material Credit Facility; provided that if the Bank of America Credit Facility shall no longer be in existence, then the discretion given under this Agreement to the Bank of America Credit Facility shall instead be at the discretion of the Required Holders.
Schedule A
(to Note Purchase Agreement)

“Bank of America Term Facility” means the facility evidenced by that certain Credit Agreement, dated as of October 31, 2018, among the Company, the Parent REIT, certain lenders party thereto, and Bank of America, as administrative agent (as the same may be amended, restated, modified or supplemented from time to time).
“Blocked Person” is defined in Section 5.16(a).
“Business Day” means (a) for the purposes of Section 8.6 only, any day other than a Saturday, a Sunday or a day on which commercial banks in New York City are required or authorized to be closed, and (b) for the purposes of any other provision of this Agreement, any day other than a Saturday, a Sunday or a day on which commercial banks in New York, New York are required or authorized to be closed.
“Calculation Period” means, as of any date of determination commencing with the delivery of the Required Financial Information for the fiscal quarter ending June 30, 2017, the most recent four (4) fiscal quarter period for which the Company has provided the Required Financial Information; provided that, for calculations made on a Pro Forma Basis, the amounts calculated for the applicable Calculation Period shall be adjusted as set forth in Section 23.2(c) but shall otherwise relate to the applicable Calculation Period (as defined above).
“Capitalization Rate” shall have the meaning ascribed to such term in the Primary Credit Facilities from time to time, and, if for any reason no Primary Credit Facility then exists or such term is no longer used therein, the Capitalization Rate most recently in effect.  Notwithstanding the foregoing, in no event shall the “Capitalization Rate” at any time be less than (a) 6.75% in the case of Real Properties in the central business districts of New York, New York; San Diego, California; San Francisco, California; Washington, D.C.; and Boston, Massachusetts; (b) 6.75% in the case of Los Angeles, California urban Real Properties (including Real Properties located in Santa Monica, California) and LaPlaya Beach Resort & Club; and (c) 7.50% in the case of all other Real Properties.
“Capital One Facility” means the facility evidenced by that certain Credit Agreement, dated as of the date hereof, among the Company, the Parent REIT, certain lenders party thereto, and Capital One, National Association, as administrative agent (as the same may be amended, restated, modified or supplemented from time to time).
“Cash Equivalents” means any of the following types of Investments, to the extent owned by any Company Party:
(a)    readily marketable obligations issued or directly and fully guaranteed or insured by the United States or any agency or instrumentality thereof having maturities of not more than 360 days from the date of acquisition thereof; provided that the full faith and credit of the United States is pledged in support thereof;

(b)    time deposits with, or insured certificates of deposit or bankers’ acceptances of, any commercial bank that (i)(A) is a lender under the Bank of America Term Facility or (B) is organized under the laws of the United States, any state thereof or the District of Columbia or is the principal banking subsidiary of a bank holding company organized under the laws of the United States, any state thereof or the District of Columbia, and is a member of the Federal Reserve System, (ii) issues (or the parent of which issues) commercial paper rated as described in clause (c) of this definition and (iii) has combined capital and surplus of at least $1,000,000,000, in each case with maturities of not more than 180 days from the date of acquisition thereof;
(c)    commercial paper issued by any Person organized under the laws of any state of the United States and rated at least “Prime-1” (or then equivalent grade) by Moody’s or at least “A-1” (or then equivalent grade) by S&P, in each case with maturities of not more than 180 days from the date of acquisition thereof; and
(d)    Investments, classified in accordance with GAAP as current assets of any Company Party, in money market investment programs registered under the Investment Company Act of 1940, which are administered by financial institutions that have the highest rating obtainable from either Moody’s or S&P, and the portfolios of which are limited solely to Investments of the character, quality and maturity described in clauses (a), (b) and (c) of this definition.
“Change in Control” means an event or series of events by which:
(a)    any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, but excluding any employee benefit plan of such person or its subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or administrator of any such plan) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1934, except that a person or group shall be deemed to have “beneficial ownership” of all securities that such person or group has the right to acquire, whether such right is exercisable immediately or only after the passage of time (such right, an “option right”)), directly or indirectly, of twenty-five percent (25%) or more of the equity securities of the Company or Parent REIT entitled to vote for members of the board of directors or equivalent governing body of the Company or Parent REIT on a fully-diluted basis (and taking into account all such securities that such person or group has the right to acquire pursuant to any option right);

(b)    during any period of twenty-four (24) consecutive months, a majority of the members of the board of directors or other equivalent governing body of the Company or Parent REIT cease to be composed of individuals (i) who were members of that board or equivalent governing body on the first day of such period, (ii) whose election or nomination to that board or equivalent governing body was approved by individuals referred to in clause (i) above constituting at the time of such election or nomination at least a majority of that board or equivalent governing body or (iii) whose election or nomination to that board or other equivalent governing body was approved by individuals referred to in clauses (i) and (ii) above constituting at the time of such election or nomination at least a majority of that board or equivalent governing body; or
(c)    the passage of thirty (30) days from the date upon which any Person or two (2) or more Persons acting in concert shall have acquired by contract or otherwise, or shall have entered into a contract or arrangement that, upon consummation thereof, will result in its or their acquisition of the power to exercise, directly or indirectly, a controlling influence over the management or policies of the Company or Parent REIT, or control over the equity securities of the Company or Parent REIT entitled to vote for members of the board of directors or equivalent governing body of the Company or Parent REIT on a fully-diluted basis (and taking into account all such securities that such Person or group has the right to acquire pursuant to any option right) representing twenty-five percent (25%) or more of the combined voting power of such securities.
“CISADA” means the Comprehensive Iran Sanctions, Accountability and Divestment Act.
“Closing” is defined in Section 3.
“Code” means the Internal Revenue Code of 1986, as amended from time to time, and the rules and regulations promulgated thereunder from time to time.
“Collateral” is defined in Section 9.10.
“Collateral Agent” means Truist Bank, a North Carolina banking corporation.
“Collateral Agency Agreement” means that certain Collateral Agency Agreement dated as of the Second Amendment Effective Date among the Collateral Agent and the holders of Notes. 
“Collateral Documents” means, collectively, the Collateral Agency Agreement, the Pledge Agreement, the Intercreditor Agreement and all other agreements, instruments and documents executed in connection with this Agreement that are intended to create, perfect or evidence Liens to secure the Obligations, including all other security agreements, pledge agreements, deeds of trust, pledges, powers of attorney, consents, assignments, notices, financing statements and all other written matter whether heretofore, now, or hereafter executed by the Company or any of its Subsidiaries and delivered to the Collateral Agent to create, perfect or evidence Liens to secure the Obligations.

“Collateral Period” means any period after the Second Amendment Effective Date commencing on the occurrence of a Collateral Trigger Date and ending on the Collateral Release Date.
“Collateral Release” is defined in Section 9.10. 
“Collateral Release Certificate” is defined in Section 9.10.
“Collateral Release Date” means any date after the expiration of the Waiver Period on which (a) no Default or Event of Default is continuing, (b) the Company delivers a Collateral Release Certificate as required by Section 9.10, and (c) the Consolidated Leverage Ratio is either (i) less than or equal to 6.75 to 1.00 as of the last day of any two (2) consecutive fiscal quarters, or (ii) less than or equal to 6.25 to 1.00 as of the last day of any fiscal quarter, in each case as reflected on the most recently delivered Compliance Certificate delivered pursuant to Section 7.2(a).
“Collateral Trigger Date” means any date during the Waiver Period, on which (a) the Liquidity of the Consolidated Parties does not exceed $400,000,000 after the Fourth Amendment Effective Date (the “First Limited Collateral Trigger Event”), (b) the Liquidity of the Consolidated Parties does not exceed $300,000,000 after the Second Amendment Effective Date (the “Second Limited Collateral Trigger Event”), (c) the Liquidity of the Consolidated Parties does not exceed $250,000,000 after the Second Amendment Effective Date, or (d) the Total Revolving Credit Outstandings exceed $400,000,000 at any time on or after the fourth (4th) Business Day following the Second Amendment Effective Date.
“Company” means Pebblebrook Hotel, L.P., a Delaware limited partnership or any successor that becomes such in the manner prescribed in Section 10.2.
“Company Parties” means, without duplication, the Parent REIT and its consolidated Subsidiaries (including the Company), and “Company Party” means any one of the Company Parties.
“Confidential Information” is defined in Section 21.
“Consolidated Adjusted EBITDA” means, for any period, EBITDA less an annual replacement reserve equal to four percent (4.0%) of gross property revenues (excluding revenues with respect to third party space or retail leases).
“Consolidated Fixed Charge Coverage Ratio” means, as of any date of determination, the ratio of (a) Consolidated Adjusted EBITDA for the Calculation Period ending on such date to (b) Consolidated Fixed Charges for such period.

“Consolidated Fixed Charges” means, for any period, the sum of (a) Consolidated Interest Charges for such period, plus (b) current scheduled principal payments on Consolidated Funded Indebtedness for such period (including, for purposes hereof, current scheduled reductions in commitments, but excluding any payment of principal under the Material Credit Facilities or under this Agreement and any “balloon” payment or final payment at maturity that is significantly larger than the scheduled payments that preceded it), plus (c) dividends and distributions paid in cash on preferred stock by the Company Parties on a consolidated basis and all Unconsolidated Affiliates, if any, for such period, in each case, determined in accordance with GAAP; provided that, to the extent the calculations under clauses (a), (b) and (c) above include amounts allocable to Unconsolidated Affiliates, such calculations shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests (or, if greater, amounts that are attributable to Consolidated Funded Indebtedness that is recourse to a Company Party).
“Consolidated Funded Indebtedness” means, as of any date of determination, without duplication, the sum of (a) the outstanding principal amount of all obligations of the Company Parties on a consolidated basis, whether current or long-term, for borrowed money (including all obligations hereunder and under the Notes and, without duplication, Affiliate Guaranties) and all obligations of the Company Parties on a consolidated basis evidenced by bonds, debentures, notes, loan agreements or other similar instruments, (b) all purchase money Indebtedness of the Company Parties on a consolidated basis, (c) all obligations of the Company Parties on a consolidated basis arising under letters of credit (including standby and commercial), bankers’ acceptances, bank guaranties, surety bonds and similar instruments, (d) all obligations of the Company Parties on a consolidated basis in respect of forward purchase agreements or the deferred purchase price of any property or services (other than trade accounts payable in the ordinary course of business), (e) Attributable Indebtedness of the Company Parties on a consolidated basis in respect of capital leases and Synthetic Lease Obligations, (f) without duplication, all Guarantees of the Company Parties on a consolidated basis with respect to outstanding Indebtedness of the types specified in clauses (a) through (e) above of Persons other than the Parent REIT or any Subsidiary, (g) without duplication, all Indebtedness of the Company Parties on a consolidated basis of the types referred to in clauses (a) through (f) above of any partnership or joint venture in which the Parent REIT or a Subsidiary is a general partner or joint venturer, and (h) without duplication, the aggregate amount of Unconsolidated Affiliate Funded Indebtedness for all Unconsolidated Affiliates.  Notwithstanding the foregoing, Consolidated Funded Indebtedness shall exclude Excluded Capital Leases.

“Consolidated Interest Charges” means, for any period, the sum of (a) all interest, premium payments, debt discount, fees, charges and related expenses of the Company Parties on a consolidated basis and all Unconsolidated Affiliates, in connection with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in each case to the extent treated as interest in accordance with GAAP, and (b) the portion of rent expense of the Company Parties on a consolidated basis and all Unconsolidated Affiliates with respect to such period under capital leases (other than Excluded Capital Leases) that is treated as interest in accordance with GAAP; provided that, to the extent the calculations under clauses (a) and (b) above include amounts allocable to Unconsolidated Affiliates, such calculations shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests (or, if greater, amounts that are attributable to Consolidated Funded Indebtedness that is recourse to a Company Party).
“Consolidated Leverage Ratio” means, as of any date of determination, the ratio of (a) Consolidated Funded Indebtedness less Adjusted Unrestricted Cash as of such date to (b) EBITDA for the Calculation Period most recently ended.
“Consolidated Net Income” means, for any period, the sum of (a) the net income of the Company Parties on a consolidated basis (excluding extraordinary gains, extraordinary losses and gains and losses from the sale of assets) for such period, calculated in accordance with GAAP, plus (b) without duplication, an amount equal to the aggregate of net income (excluding extraordinary gains and extraordinary losses) for such period, calculated in accordance with GAAP, of each Unconsolidated Affiliate multiplied by the respective Unconsolidated Affiliate Interest in each such entity.
“Consolidated Recourse Secured Indebtedness” means, as of any date of determination, for the Company Parties on a consolidated basis and all Unconsolidated Affiliates, all Secured Debt that is recourse to any Company Party or any Unconsolidated Affiliate (except to the extent such recourse is limited to customary non-recourse carve-outs); provided that, to the extent the calculation of Secured Debt includes amounts allocable to Unconsolidated Affiliates, such calculation shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests (or, if greater, amounts that are attributable to Secured Debt that is recourse to a Company Party).
“Consolidated Secured Debt” means, as of any date of determination, for the Company Parties on a consolidated basis and all Unconsolidated Affiliates, all Secured Debt; provided that, to the extent the calculation of Secured Debt includes amounts allocable to Unconsolidated Affiliates, such calculation shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests (or, if greater, amounts that are attributable to Secured Debt that is recourse to a Company Party).

“Consolidated Tangible Net Worth” means, as of any date of determination, for the Company Parties on a consolidated basis and all Unconsolidated Affiliates, Shareholders’ Equity on that date, minus the amount of Intangible Assets, plus the amount of accumulated depreciation; provided that there shall be excluded from the calculation of “Consolidated Tangible Net Worth” any effects resulting from the application of FASB ASC No. 715: Compensation – Retirement Benefits; provided, further, that, to the extent the calculation of the foregoing amounts includes amounts allocable to Unconsolidated Affiliates, such calculation shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests.
“Consolidated Total Asset Value” means, without duplication, as of any date of determination, for the Company Parties on a consolidated basis, the sum of: (a) the Operating Property Value of all Real Properties (other than Development/Redevelopment Properties); (b) the amount of all Unrestricted Cash; (c) the book value of all Development/Redevelopment Properties, mortgage or real estate-related loan assets and undeveloped or speculative land; (d) the contract purchase price for all assets under contract for purchase (to the extent included in Indebtedness); and (e) the Company’s applicable Unconsolidated Affiliate Interests of the preceding items for its Unconsolidated Affiliates.
“Consolidated Unsecured Interest Coverage Ratio” means, as of any date of determination, the ratio of (a) Net Operating Income from the Unencumbered Borrowing Base Properties for the Calculation Period ending on such date to (b) Unsecured Interest Charges for such period; provided that, there shall be excluded from the calculation of Consolidated Unsecured Interest Coverage Ratio: (a) any excess above forty percent (40%) of aggregate Net Operating Income from the Unencumbered Borrowing Base Properties from any one Major MSA and (b) any excess above thirty-three percent (33%) of aggregate Net Operating Income from the Unencumbered Borrowing Base Properties from any one Other MSA.
“Contractual Obligation” means, as to any Person, any provision of any security issued by such Person or of any agreement, instrument or other undertaking to which such Person is a party or by which it or any of its property is bound.
“Control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of a Person, whether through the ability to exercise voting power, by contract or otherwise.  “Controlling” and “Controlled” have meanings correlative thereto.
“Controlled Entity” means (i) any of the Subsidiaries of the Company and any of their or the Company’s respective Controlled Affiliates and (ii) if the Company has a parent company, such parent company and its Controlled Affiliates.  
 “Debtor Relief Laws” means the Bankruptcy Code of the United States, and all other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief laws of the United States or other applicable jurisdictions from time to time in effect and affecting the rights of creditors generally.

“Default” means an event or condition the occurrence or existence of which would, with the lapse of time or the giving of notice or both, become an Event of Default.
“Default Rate” means that rate of interest that is the greater of (i) 2.00% per annum above the rate of interest currently applicable to the Notes or (ii) 2.00% over the rate of interest publicly announced by U.S. Bank, N.A. in New York, New York as its “base” or “prime” rate.
“Development/Redevelopment Property” means Real Property with respect to which development activities are being undertaken by the applicable owner thereof.  A Real Property shall cease to be a Development/Redevelopment Property on the last day of the sixth (6th) full fiscal quarter after opening or reopening (or such earlier date as elected by the Company by written notice to the holders of the Notes).
“Disclosure Documents” is defined in Section 5.3.
“Disposition” or “Dispose” means the sale, transfer, license, lease (excluding the lease of any Unencumbered Borrowing Base Property and personal property assets related thereto to any TRS pursuant to a form of Lease approved in the manner required under the Bank of America Credit Facility) or other disposition of any property by any Person (including any sale leaseback transaction), including any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable or any rights and claims associated therewith.  For the avoidance of doubt, leases of personal or Real Property (other than sale and leaseback transactions) entered into in the ordinary course of business shall not be deemed to be Dispositions.
“Dividing Person” is defined in the definition of “Division.”
“Division” means the division of the assets, liabilities and/or obligations of a Person (the “Dividing Person”) among two or more Persons (whether pursuant to a “plan of division” or similar arrangement), which may or may not include the Dividing Person and pursuant to which the Dividing Person may or may not survive.
“Dollar” and “$” mean lawful money of the United States.

“EBITDA” means, for any period, the sum of (a) an amount equal to Consolidated Net Income for such period plus (b) the following to the extent deducted in calculating such Consolidated Net Income: (i) Consolidated Interest Charges for such period, (ii) the provision for Federal, state, local and foreign income taxes payable by the Company Parties and Unconsolidated Affiliates for such period, (iii) depreciation and amortization expense of the Company Parties and Unconsolidated Affiliates, (iv) other non-recurring expenses of the Company Parties and Unconsolidated Affiliates reducing such Consolidated Net Income which do not represent a cash item in such period or any future period, (v) without duplication of any of the foregoing, amounts deducted from net income as a result of fees or expenses incurred in connection with acquisitions permitted under this Agreement, that can no longer be capitalized due to FAS 141R Changes and charges relating to the under-accrual of earn outs due to the FAS 141R Changes, (vi) all non-cash items with respect to straight-lining of rents materially decreasing Consolidated Net Income for such period, and (vii) all other non-cash items decreasing Consolidated Net Income (including non-cash expenses or losses with respect to Excluded Capital Leases), minus (c) the following to the extent included in calculating such Consolidated Net Income: (i) Federal, state, local and foreign income tax credits of the Company Parties and Unconsolidated Affiliates for such period, (ii) all non-cash items with respect to straight-lining of rents materially increasing Consolidated Net Income for such period, and (iii) all other non-cash items increasing Consolidated Net Income for such period (including non-cash revenues or gains with respect to Excluded Capital Leases); provided that, to the extent the calculations under clauses (a), (b) and (c) above include amounts allocable to Unconsolidated Affiliates, such calculations shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests. “EDGAR” means the SEC’s Electronic Data Gathering, Analysis and Retrieval System or any successor SEC electronic filing system for such purposes
“Eligible Ground Lease” means a ground or similar building lease with respect to an Unencumbered Borrowing Base Property executed by the Company or a Subsidiary of the Company, as lessee, (a) that has a remaining lease term (including extension or renewal rights) of at least thirty-five (35) years, calculated as of the date such property becomes an Unencumbered Borrowing Base Property, (b) that is in full force and effect, (c) that may be transferred and/or assigned without the consent of the lessor (or as to which (i) such lease may be transferred and/or assigned with the consent of the lessor and (ii) such consent shall not be unreasonably withheld or delayed or is subject to certain customary and reasonable requirements), and (d) pursuant to which (i) no default or terminating event exists thereunder, and (ii) no event has occurred which but for the passage of time, or notice, or both would constitute a default or terminating event thereunder.
“Environmental Laws” means any and all federal, state, local, and foreign statutes, laws, regulations, ordinances, rules, judgments, orders, decrees, permits, concessions, grants, franchises, licenses, agreements or governmental restrictions relating to pollution and the protection of the environment or the release of any materials into the environment, including but not limited to those related to Hazardous Materials.

“Equity Interests” means, with respect to any Person, all of the shares of capital stock of (or other ownership or profit interests in) such Person, all of the warrants, options or other rights for the purchase or acquisition from such Person of shares of capital stock of (or other ownership or profit interests in) such Person, all of the securities convertible into or exchangeable for shares of capital stock of (or other ownership or profit interests in) such Person or warrants, rights or options for the purchase or acquisition from such Person of such shares (or such other interests), and all of the other ownership or profit interests in such Person (including partnership, member or trust interests therein), whether voting or nonvoting, and whether or not such shares, warrants, options, rights or other interests are outstanding on any date of determination; provided that neither Permitted Convertible Notes (prior to conversion thereof) nor Permitted Convertible Notes Swap Contracts shall constitute Equity Interests of the Parent REIT..
“Equity Issuance” means the issuance or sale by any Person of any of its Equity Interests or any capital contribution to such Person by any holder of its Equity Interests.
“ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to time, and the rules and regulations promulgated thereunder from time to time in effect. 
“ERISA Affiliate” means any trade or business (whether or not incorporated) that is treated as a single employer together with the Company under section 414 of the Code. 
“Event of Default” is defined in Section 11.
“Excess Un-Reinvested Proceeds” has the meaning specified in the definition of Excluded Net Proceeds.
“Excluded Capital Lease” means any long-term ground lease or building lease that is treated as a capital lease in accordance with GAAP.
“Excluded Net Proceeds” means (a) Net Cash Proceeds from the issuance of any common Equity Interests of the Parent REIT after the Second Amendment Effective Date in an aggregate amount of up to $500,000,000 to be used to acquire one or more Unencumbered Borrowing Base Properties, (b) Net Cash Proceeds of Dispositions after the Second Amendment Effective Date in the aggregate amount of up to $500,000,0001,000,000,000 that the Company has designated in writing as being held for reinvestment in one or more new Unencumbered Borrowing Base Properties; provided that, if any such Net Cash Proceeds in excess of $200,000,000400,000,000 are not reinvested in one or more new Unencumbered Borrowing Base Properties on or before MarchJune 3130, 2022 (the “Excess Un‐Reinvested Proceeds”), then such Excess Un-Reinvested Proceeds shall no longer be qualified as Excluded Net Proceeds and shall be used to make an offer to prepay the Notes in accordance with Section 8.9, and (c) Net Cash Proceeds from Permitted Preferred Issuances which are contemporaneously (or not later than thirty (30) days after the issuance thereof) being used to redeem existing preferred Equity Interests of the Parent REIT.

“Excluded Swap Obligations” means, with respect to any Guarantor, any Swap Obligation if, and to the extent that, all or a portion of the Guarantee of such Guarantor of, or the grant by such Guarantor of a security interest to secure, such Swap Obligation (or any Guarantee thereof) is or becomes illegal under the Commodity Exchange Act or any rule, regulation or order of the Commodity Futures Trading Commission (or the application or official interpretation of any thereof) by virtue of such Guarantor’s failure for any reason to constitute an “eligible contract participant” as defined in the Commodity Exchange Act (determined after giving effect to any “keepwell, support or other agreement” for the benefit of such Guarantor and any and all Guaranties of such Guarantor’s Swap Obligations by other Note Parties) at the time the Guaranty of such Guarantor, or a grant by such Guarantor of a security interest, becomes effective with respect to such Swap Obligation.  If a Swap Obligation arises under a master agreement governing more than one swap, then such exclusion shall apply only to the portion of such Swap Obligation that is attributable to swaps for which such Guaranty or security interest is or becomes excluded in accordance with the first sentence of this definition.
“Execution Date” is defined in Section 3.
“FAS 141R Changes” means those changes made to a buyer’s accounting practices by the Financial Accounting Standards Board’s Statement of Financial Accounting Standard No. 141R, Business Combinations, which is effective for annual reporting periods that begin in calendar year 2009.

“Fee Termination Date” shall mean the last day of the fiscal quarter in which the Parent REIT and the Company can demonstrate compliance with the below covenant levels for such fiscal quarter:
(a)Consolidated Leverage Ratio shall not exceed 6.75 to 1.00;
(b)Consolidated Fixed Charge Coverage Ratio shall not be less than 1.50 to 1.00;
(c)Unsecured Indebtedness (less Adjusted Unrestricted Cash as of such date) shall not exceed sixty percent (60%) of Unencumbered Asset Value; and
(d)Consolidated Unsecured Interest Coverage Ratio shall not be less than 2.00 to 1.00.
“FFO Distribution Allowance” means, for any fiscal year of the Company Parties, an amount equal to ninety-five percent (95%) of Funds From Operations for such fiscal year.

“Financial Covenant” mean any covenant that relates to one or more numerical measures of the financial condition or results of operations (consolidated or otherwise) of the Company Parties (however expressed and whether stated as a ratio, as a fixed threshold, as an event of default, or otherwise, including, without limitation, financial covenants of the type included in Section 7.11 of the Primary Credit Facilities) (or any thereof shall be amended, restated or otherwise modified) and such financial covenant would be more beneficial, directly or indirectly, to the holders of the Notes than the financial covenants in Sections 10.6 of this Agreement as of the Execution Date. 
“First Limited Collateral Trigger Event” has the meaning specified in the definition of Collateral Trigger Date.
“Form 10-K” is defined in Section 7.1(b).
“Form 10-Q” is defined in Section 7.1(a).
“Fourth Amendment Effective Date” means February 18, 2021.
“Funds From Operations” means, with respect to the immediately prior fiscal quarter period, Consolidated Net Income, plus depreciation and amortization and after adjustments for unconsolidated partnerships and joint ventures as hereafter provided; provided that, to the extent such calculations include amounts allocable to Unconsolidated Affiliates, such calculations shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests.  Without limiting the foregoing, notwithstanding contrary treatment under GAAP, for purposes hereof, (a) “Funds From Operations” shall include, and be adjusted to take into account, (i) the Parent REIT’s interests in unconsolidated partnerships and joint ventures, on the same basis as consolidated partnerships and subsidiaries, as provided in the “white paper” issued in April 2002 by the National Association of Real Estate Investment Trusts, as may be amended from time to time, and (ii) amounts deducted from net income as a result of pre-funded fees or expenses incurred in connection with acquisitions permitted under the Note Documents that can no longer be capitalized due to FAS 141R Changes and charges relating to the under-accrual of earn outs due to the FAS 141R Changes, and (b) net income (or loss) of the Company Parties on a consolidated basis shall not include gains (or, if applicable, losses) resulting from or in connection with (i) restructuring of indebtedness, (ii) sales of property, (iii) sales or redemptions of preferred stock, (iv) non-cash asset impairment charges or (v) other non-cash items including items with respect to Excluded Capital Leases. 
“GAAP” means generally accepted accounting principles as in effect from time to time in the United States of America.
“Glass Houses” means Glass Houses, a Maryland real estate investment trust. 
 “Governmental Authority” means
(a)    the government of

(i)    the United States of America or any state or other political subdivision thereof, or
(ii)    any other jurisdiction in which any Company Party conducts all or any part of its business, or which asserts jurisdiction over any properties of any Company Party, or
(b)    any entity exercising executive, legislative, judicial, regulatory or administrative functions of, or pertaining to, any such government.
“Governmental Official” means any governmental official or employee, employee of any government-owned or government-controlled entity, political party, any official of a political party, candidate for political office, official of any public international organization or anyone else acting in an official capacity.
“Guarantors” means, collectively, (a) the Parent REIT and (b) each of the Subsidiary Guarantors.
“Guaranty” means, with respect to any Person, any obligation (except the endorsement in the ordinary course of business of negotiable instruments for deposit or collection) of such Person guaranteeing or in effect guaranteeing any indebtedness, dividend or other obligation of any other Person in any manner, whether directly or indirectly, including (without limitation) obligations incurred through an agreement, contingent or otherwise, by such Person:
(a)    to purchase such indebtedness or obligation or any property constituting security therefor;
(b)    to advance or supply funds (i) for the purchase or payment of such indebtedness or obligation, or (ii) to maintain any working capital or other balance sheet condition or any income statement condition of any other Person or otherwise to advance or make available funds for the purchase or payment of such indebtedness or obligation;
(c)    to lease properties or to purchase properties or services primarily for the purpose of assuring the owner of such indebtedness or obligation of the ability of any other Person to make payment of the indebtedness or obligation; or
(d)    otherwise to assure the owner of such indebtedness or obligation against loss in respect thereof.
In any computation of the indebtedness or other liabilities of the obligor under any Guaranty, the indebtedness or other obligations that are the subject of such Guaranty shall be assumed to be direct obligations of such obligor.

“Hazardous Materials” means all explosive or radioactive substances or wastes and all hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or asbestos-containing materials, polychlorinated biphenyls, radon gas, infectious or medical wastes and all other substances or wastes of any nature regulated pursuant to any Environmental Laws.
“holder” means, with respect to any Note, the Person in whose name such Note is registered in the register maintained by the Company pursuant to Section 14.1, provided, however, that if such Person is a nominee, then for the purposes of Sections 7, 12, 18.2 and 19 and any related definitions in this Schedule A, “holder” shall mean the beneficial owner of such Note whose name and address appears in such register.
“Immaterial Subsidiary” means any Subsidiary whose assets constitute less than one percent (1%) of Consolidated Total Asset Value; provided that if at any time the aggregate Consolidated Total Asset Value of the “Immaterial Subsidiaries” exceeds ten percent (10%) of all Consolidated Total Asset Value, then the Company shall designate certain “Immaterial Subsidiaries” as Guarantors such that the aggregate Consolidated Total Asset Value of the “Immaterial Subsidiaries” which are not Guarantors does not exceed ten percent (10%) of all Consolidated Total Asset Value.
“Incorporated Covenant” is defined in Section 9.9(b).
“Increased Interest Rate” is defined in Section 10.6(a)(ii).
“Indebtedness” means, as to any Person at a particular time, without duplication, all of the following, whether or not included as indebtedness or liabilities in accordance with GAAP:
(a)    all obligations of such Person for borrowed money and all obligations of such Person evidenced by bonds, debentures, notes, loan agreements or other similar instruments;
(b)    all direct or contingent obligations of such Person arising under letters of credit (including standby and commercial), bankers’ acceptances, bank guaranties, surety bonds and similar instruments;
(c)    net obligations of such Person under any Swap Contract;
(d)    all obligations of such Person to pay the deferred purchase price of property or services (other than trade accounts payable incurred in the ordinary course of business and, in each case, not overdue by more than ninety (90) days after such trade account payable was created, except to the extent that any such trade payables are being disputed in good faith);

(e)    indebtedness (excluding prepaid interest thereon) secured by a Lien on property owned or being purchased by such Person (including indebtedness arising under conditional sales or other title retention agreements), whether or not such indebtedness shall have been assumed by such Person or is limited in recourse;
(f)    capital leases (other than Excluded Capital Leases) and Synthetic Lease Obligations;
(g)    all obligations of such Person to purchase, redeem, retire, defease or otherwise make any payment in respect of any Equity Interest in such Person or any other Person, valued, in the case of a redeemable preferred interest, at the greater of its voluntary or involuntary liquidation preference plus accrued and unpaid dividends; and
(h)    all Guarantees of such Person in respect of any of the foregoing.
For all purposes hereof, the Indebtedness of any Person shall include, without duplication, the Indebtedness of any partnership or joint venture in which such Person is a general partner or a joint venturer.  The amount of any net obligation under any Swap Contract on any date shall be deemed to be the Swap Termination Value thereof as of such date.  The amount of any capital lease (other than an Excluded Capital Lease) or Synthetic Lease Obligation as of any date shall be deemed to be the amount of Attributable Indebtedness in respect thereof as of such date. For avoidance of doubt, the Indebtedness of the Parent REIT shall include Permitted Convertible Notes (prior to conversion thereof)..
“Information Memorandum” is defined in Section 5.3.
“INHAM Exemption” is defined in Section 6.2(e).
“Initial Compliance Date” means (a) if the Waiver Period ends on the date occurring under clause (a) of the definition of Waiver Period, (i) March 31, 2022 with respect to the financial covenants set forth in Sections 10.6(d), 10.6(f) and 10.6(j)(iii) and (ii) June 30, 2022 with respect to the financial covenants set forth in Section 10.6 (other than the covenants set forth in clauses (d), (e) and (j)(iii) thereof)June 30, 2022 or (b) if the Waiver Period ends on the date occurring under clause (b) of the definition of Waiver Period, the last day of the applicable fiscal quarter set forth in the Compliance Certificate delivered pursuant to such clause (b).
“Institutional Investor” means (a) any Purchaser of a Note, (b) any holder of a Note holding (together with one or more of its affiliates) more than 5% of the aggregate principal amount of the Notes then outstanding, (c) any bank, trust company, savings and loan association or other financial institution, any pension plan, any investment company, any insurance company, any broker or dealer, or any other similar financial institution or entity, regardless of legal form, and (d) any Related Fund of any holder of any Note.

“Intangible Assets” means assets that are considered to be intangible assets under GAAP, including customer lists, goodwill, computer software, copyrights, trade names, trademarks, patents, franchises, licenses, unamortized deferred charges, unamortized debt discount and capitalized research and development costs.
“Intercreditor Agreement” means that certain Intercreditor Agreement, dated as of the Second Amendment Effective Date, by and among the Company, the Parent REIT, certain grantors and guarantors party thereto, Bank of America, N.A., U.S. Bank National Association, Capital One, National Association, the Collateral Agent, and each additional pari passu collateral agent from time to time party thereto.
“Intermediate REIT” means (a) Glass Houses and (b) any Subsidiary of the Company that is formed as a real estate investment trust under its jurisdiction of formation, which Subsidiary does not own any assets (other than any Equity Interests in any Subsidiary that owns any Real Property assets); provided that such Subsidiary (i) shall not incur or guarantee any other Indebtedness and (ii) may receive Restricted Payments paid in cash from its Subsidiaries so long as such Restricted Payments are immediately distributed upon receipt to the Company.
“Investment” means, as to any Person, any direct or indirect acquisition or investment by such Person, whether by means of (a) the purchase or other acquisition of capital stock or other securities of another Person, (b) a loan, advance or capital contribution to, Guarantee or assumption of debt of, or purchase or other acquisition of any other debt or equity participation or interest in, another Person, including any partnership or joint venture interest in such other Person and any arrangement pursuant to which the investor guarantees Indebtedness of such other Person, or (c) the purchase or other acquisition (in one transaction or a series of transactions) of assets of another Person that constitute a business unit.  For purposes of covenant compliance, the amount of any Investment shall be the amount actually invested, without adjustment for subsequent increases or decreases in the value of such Investment.
“Leverage Surge Date” is defined in Section 10.6(a)(i)(A).
“Leverage Surge Period” is defined in Section 10.6(a)(i)(A).
“Lien” means any mortgage, pledge, hypothecation, assignment, deposit arrangement, encumbrance, lien (statutory or other), charge, or preference, priority or other security interest or preferential arrangement in the nature of a security interest of any kind or nature whatsoever (including any conditional sale or other title retention agreement, any easement, right of way or other encumbrance on title to real property, and any financing lease having substantially the same economic effect as any of the foregoing).
“Liquidity” means, as of any date of determination, the sum of (a) cash and Cash Equivalents not subject to any Liens, Negative Pledges or other restrictions plus (b) undrawn availability under the Bank of America Credit Facility or under any other credit facilities of the Consolidated Parties (to the extent available to be drawn at the date of determination in accordance with the Bank of America Credit Facility or the other applicable credit facility).

“Liquidity Compliance Certificate” means a certificate substantially in the form of Exhibit A or in such other form as may be agreed by the Company and the Required Holders.
“Major MSA” means the metropolitan statistical area of any of the following:  (a) New York City, New York; (b) Chicago, Illinois; (c) Washington, DC; (d) Los Angeles, California (excluding Santa Monica, California); (e) Boston, Massachusetts; (f) San Diego, California; and (g) San Francisco, California.
“Material Acquisition” means the acquisition by any Company Party, in a single transaction  or in a series of related transactions, of one or more Real Properties or Persons owning Real Properties in  which the total investment with respect to such acquisition is equal to or greater than ten percent (10%)  of Consolidated Total Asset Value at such time.
“Make-Whole Amount” is defined in Section 8.6.
“Material” means material in relation to the business, operations, affairs, financial condition, assets, properties, or prospects of the Company Parties taken as a whole.
“Material Adverse Effect” means a material adverse effect on (a) the operations, business, properties, liabilities (actual or contingent) or condition (financial or otherwise) of the Company Parties taken as a whole, (b) the ability of the Parent REIT and the Company to perform its obligations under this Agreement and the Notes, respectively (c) the ability of any Guarantor to perform its obligations under its Affiliate Guaranty, or (d) the validity or enforceability of this Agreement, the Notes or any Affiliate Guaranty.
“Material Credit Facility” means, as to the Company Parties:
(a)    the Bank of America Credit Facility;
(b)    the Bank of America Term Facility;
(c)    the US Bank Facility; 
(d)    The US Bank Lessee Line of Credit;
(e)    the Capital One Facility; and
(f)    any other agreement(s) creating or evidencing indebtedness for borrowed money entered into on or after the date of the execution and delivery of this Agreement by the Company or any Subsidiary, or in respect of which the Company or any Subsidiary is an obligor or otherwise provides a guarantee or other credit support (“Credit Facility”), in a principal amount outstanding or available for borrowing equal to or greater than $25,000,000 (or the equivalent of such amount in the relevant currency of payment, determined as of the date of the closing of such facility based on the exchange rate of such other currency) but excluding Secured Non-Recourse Debt; and if no Credit Facility or Credit Facilities equal or exceed such amounts, then the largest Credit Facility shall be deemed to be a Material Credit Facility. 

“Material Lease” shall mean as to any Unencumbered Borrowing Base Property (a) any Lease of such Unencumbered Borrowing Base Property (and any personal property assets related thereto) between the applicable Company Party that owns such Unencumbered Borrowing Base Property and any TRS, (b) any Lease which, individually or when aggregated with all other Leases at such Unencumbered Borrowing Base Property with the same tenant or any of its Affiliates, accounts for ten percent (10%) or more of such Unencumbered Borrowing Base Property’s revenue, or (c) any Lease which contains any option, offer, right of first refusal or other similar entitlement to acquire all or any portion of the Property.
“Maturity Date” is defined in the first paragraph of each Note.
“More Favorable Covenant” is defined in Section 9.9(a).
“Most Favored Lender Notice” is defined in Section 9.9.
“Multiemployer Plan” means any Plan that is a “multiemployer plan” (as such term is defined in section 4001(a)(3) of ERISA).
“NAIC” means the National Association of Insurance Commissioners or any successor thereto.
“Negative Pledge” means a provision of any agreement (other than this Agreement or any other Note Document or any document relating to a Material Credit Facility) that prohibits the creation of any Lien on any assets of a Person; provided, however, that neither (a) an agreement that establishes a maximum ratio of unsecured debt to unencumbered assets, or of secured debt to total assets, or that otherwise conditions a Person’s ability to encumber its assets upon the maintenance of one or more specified ratios that limit such Person’s ability to encumber its assets but that do not generally prohibit the encumbrance of its assets, or the encumbrance of specific assets nor (b) any requirement for the grant in favor of the holders of any Unsecured Indebtedness of an equal and ratable Lien in connection with a pledge of any property or asset to secure the Obligations, shall constitute a “Negative Pledge” for purposes of this Agreement.
“Net Cash Proceeds” means:

(a)    with respect to any Disposition by any Company Party, the excess, if any, of (i) the sum of cash and Cash Equivalents received in connection with such transaction (including any cash or Cash Equivalents received by way of deferred payment pursuant to, or by monetization of, a note receivable or otherwise, but only as and when so received) over (ii) the sum of (A) the principal amount of any Indebtedness that is secured by the applicable asset and that is required to be repaid in connection with such transaction, including any accrued interest, repayment fees or charges due in connection with such repayment (other than Indebtedness under the Notes), (B) the reasonable and customary out-of-pocket expenses incurred by such Company Party in connection with such transaction and (C) income taxes reasonably estimated to be actually payable within two (2) years of the date of the relevant transaction as a result of any gain recognized in connection therewith; provided that, if the amount of any estimated taxes pursuant to subclause (C) exceeds the amount of taxes actually required to be paid in cash in respect of such Disposition, the aggregate amount of such excess shall constitute Net Cash Proceeds;
(b)    with respect to the sale or issuance of any Equity Interest by any Company Party, the excess of (i) the sum of the cash and Cash Equivalents received in connection with such transaction over (ii) the underwriting discounts and commissions, and other reasonable and customary out-of-pocket expenses, incurred by such Company Party in connection therewith; and
(c) with respect to the incurrence or issuance of any Indebtedness by any Company Party, the excess of (i) the sum of the cash and Cash Equivalents received in connection with such transaction over (ii) the sum of (A) the principal amount of any Indebtedness that is refinanced, replaced and/or repaid with the proceeds of such Indebtedness, including any accrued interest, repayment fees or charges due in connection with such refinancing, replacement and/or repayment (other than Indebtedness under the Notes) and (B) the reasonable and customary out-of-pocket expenses incurred by such Company Party in connection therewith.
“Net Operating Income” means, with respect to any Real Property and for the most recently ended Calculation Period, an amount equal to (a) the aggregate gross revenues from the operations of such Real Property during the applicable Calculation Period, minus (b) the sum of (i) all expenses and other proper charges incurred in connection with the operation of such Real Property during such period pro-rated as appropriate (including real estate taxes, but excluding any management fees, debt service charges, income taxes, depreciation, amortization and other non-cash expenses), and (ii)  actual management fees paid during such period and (iii) an annual replacement reserve equal to four percent (4.0%) of the aggregate revenues from the operations of such Real Property (excluding revenues with respect to third party space or retail leases).

“Net Proceeds” means, with respect to any Equity Issuance by any Company Party, the amount of cash received by such Company Party in connection with any such transaction after deducting therefrom the aggregate, without duplication, of the following amounts to the extent properly attributable to such transaction and such amounts are usual, customary, and reasonable: (a) brokerage commissions; (b) attorneys’ fees; (c) finder’s fees; (d) financial advisory fees; (e) accounting fees; (f) underwriting fees; (g) investment banking fees; and (h) other commissions, costs, fees, expenses and disbursements related to such Equity Issuance, in each case to the extent paid or payable by such Company Party.
“New Property” means each Real Property acquired by the Company Parties on a consolidated basis and all Unconsolidated Affiliates (as the case may be) from the date of acquisition for a period of six (6) full fiscal quarters after the acquisition thereof; provided, however, that, upon the Seasoned Date for any New Property (or any earlier date selected by Company), such New Property shall be converted to a Seasoned Property and shall cease to be a New Property.
“Non-Guarantor Subsidiary” means any Subsidiary (whether direct or indirect) of the Company, other than any Subsidiary which owns an Unencumbered Borrowing Base Property, which (a) is a TRS; (b) is an Intermediate REIT; (c) is (i) formed for or converted to the specific purpose of holding title to Real Property assets which are collateral for Indebtedness owing or to be owed by such Subsidiary, provided that such Indebtedness must be incurred or assumed within ninety (90) days (or such longer period as permitted under the Bank of America Credit Facility) of such formation or conversion or such Subsidiary shall cease to qualify as a Non-Guarantor Subsidiary, and (ii) expressly prohibited in writing from guaranteeing Indebtedness of any other person or entity pursuant to (A) a provision in any document, instrument or agreement evidencing such Indebtedness of such Subsidiary or (B) a provision of such Subsidiary’s Organization Documents, in each case, which provision was included in such Organization Document or such other document, instrument or agreement at the request of the applicable third party creditor and as an express condition to the extension or assumption of such Indebtedness; provided that a Subsidiary meeting the requirements set forth in this clause (c) shall only remain a “Non-Guarantor Subsidiary” for so long as (1) each of the foregoing requirements set forth in this clause (c) are satisfied, (2) such Subsidiary does not guarantee any other Indebtedness and (3) the Indebtedness with respect to which the restrictions noted in clause (c) (ii) are imposed remains outstanding provided further that in no event shall any party to a Permitted Intercompany Mortgage encumbering an Unencumbered Borrowing Base Property be a Non-Guarantor Subsidiary; (d)(i) becomes a Subsidiary following the date of Closing, (ii) is not a Wholly Owned Subsidiary of the Company, and (iii) with respect to which the Company and its Affiliates, as applicable, do not have sufficient voting power to cause such Subsidiary to become a Guarantor hereunder; or (e) is an Immaterial Subsidiary.
“Note Document” means the Note Purchase Agreement, the Notes, the Affiliate Guaranties, the Intercreditor Agreement, each Collateral Document and any other agreement entered into in connection with any of the above.

“Note Parties” means, collectively, the Company and Guarantors, and “Note Party” means any one of the Note Parties. 
“Notes” is defined in Section 1.
“Obligations” means all advances to, and debts, liabilities, obligations, covenants and duties of, any Note Party arising under any Note Document or otherwise with respect to any Note, whether direct or indirect (including those acquired by assumption), absolute or contingent, due or to become due, now existing or hereafter arising and including interest and fees that accrue after the commencement by or against any Note Party or any Affiliate thereof of any proceeding under any Debtor Relief Laws naming such Person as the debtor in such proceeding, regardless of whether such interest and fees are allowed claims in such proceeding; provided that the “Obligations” with respect to a Guarantor shall exclude any Excluded Swap Obligations of such Guarantor.
“OFAC” is defined in Section 5.16(a).
“OFAC Listed Person” is defined in Section 5.16(a).
“OFAC Sanctions Program” means any economic or trade sanction that OFAC is responsible for administering and enforcing.  A list of OFAC Sanctions Programs may be found at http://www.treasury.gov/resource-center/sanctions/Programs/Pages/Programs.aspx.
“Officer’s Certificate” means a certificate of a Senior Financial Officer or of any other officer of the Company whose responsibilities extend to the subject matter of such certificate.
“Operating Property Value” means, at any date of determination, (a) for each Seasoned Property, (i) the Adjusted NOI for such Real Property divided by (ii) the applicable Capitalization Rate, and (b) for each New Property, the GAAP book value for such New Property (until the Seasoned Date or such earlier date as elected by the Company by written notice to the holders of the Notes).
“Organization Documents” means, (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws (or equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction); (b) with respect to any limited liability company, the certificate or articles of formation or organization and operating agreement; and (c) with respect to any partnership, joint venture, trust or other form of business entity, the partnership, joint venture, trust or other applicable agreement of formation or organization and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation or organization with the applicable Governmental Authority in the jurisdiction of its formation or organization and, if applicable, any certificate or articles of formation or organization of such entity.
“Other MSA” means any metropolitan statistical area other than a Major MSA. For the avoidance of doubt, Santa Monica, California shall constitute an Other MSA.

“Parent Guaranty” means the guaranty by the Parent REIT set forth in Section 13 of this Agreement as amended, restated or modified from time to time. 
“Parent REIT” means Pebblebrook Hotel Trust, a Maryland real estate investment trust and any successor entity.
“Pari Passu Obligations” is defined in the Intercreditor Agreement.
“PBGC” means the Pension Benefit Guaranty Corporation referred to and defined in ERISA or any successor thereto.
“Pebblebrook Hotel Lessee” means Pebblebrook Hotel Lessee, Inc., a Delaware corporation, and its permitted successors.
“Permitted Convertible Notes” means senior convertible debt securities of the Parent REIT (a) that are unsecured, (b) that do not have the benefit of any Guarantee of any Subsidiary, (c) that are otherwise permitted under this Agreement, including Section 10.10, (d) the Net Cash Proceeds of which are applied during the Waiver Period, if applicable, in accordance with this Agreement and the Intercreditor Agreement, (e) that are not subject to any sinking fund or any prepayment, redemption or repurchase requirements, whether scheduled, triggered by specified events or at the option of the holders thereof (it being understood that none of the following will be deemed to constitute such a sinking fund or prepayment, redemption or repurchase requirement: (i) a customary “change in control” or “fundamental change” put, (ii) a right to convert such securities into common shares of the Parent REIT, cash or a combination thereof (in each case, at election of the Parent REIT) or (iii) an acceleration upon an event of default), and (f) that have the benefit of covenants and events of default customary for comparable convertible securities (as determined by the Parent REIT in good faith).
“Permitted Convertible Notes Swap Contract” means a Swap Contract entered into by the Parent REIT in connection with, and prior to or concurrently with, the issuance of any Permitted Convertible Notes pursuant to which the Parent REIT acquires a call or a capped call option requiring the counterparty thereto to deliver to the Parent REIT common shares of the Parent REIT, the cash value of such shares or a combination of such shares and cash from time to time upon exercise of such option; provided that the terms, conditions and covenants of each such Swap Contract shall be such as are typical and customary for Swap Contracts of such type (as determined by the Parent REIT in good faith).
“Permitted Intercompany Mortgage” means a loan by a Note Party to another Note Party secured by a Lien in Real Property so long as such loan is subordinated to the Obligations pursuant to Section 23.8 or otherwise on terms acceptable to the holders of the Notes.  
 “Permitted Liens” is defined in Section 10.5.

“Permitted Preferred Issuances” means the issuance after the Second Amendment Effective Date by the Parent REIT of preferred Equity Interests that (a) are not subject to mandatory redemption or are otherwise not treated as Indebtedness pursuant to GAAP and (b) to the extent used to purchase or redeem existing preferred Equity Interests, have a yield to maturity yield (including any voluntary or involuntary liquidation preference and any accrued and unpaid dividends) not greater than any preferred Equity Interest purchased or redeemed with the proceeds thereof.
“Person” means an individual, partnership, corporation, limited liability company, association, trust, unincorporated organization, business entity or Governmental Authority.
“Plan” means any “employee benefit plan” (as such term is defined in Section 3(3) of ERISA) established by the Company or, with respect to any such plan that is subject to Section 412 of the Code or Title IV of ERISA, any ERISA Affiliate
“Pledge Agreement” means any pledge or security agreement entered into, after the Second Amendment Effective Date between the Company, certain Subsidiaries of the Company party thereto, and the Collateral Agent, for the benefit of the holders of the Notes, substantially in the form of Exhibit B.
“Preferred Stock” means any class of capital stock of a Person that is preferred over any other class of capital stock (or similar equity interests) of such Person as to the payment of dividends or the payment of any amount upon liquidation or dissolution of such Person.
“Primary Credit Facilities” means the agreements referenced in clauses (a), (b) and (c) of the definition of Material Credit Facility, and “Primary Credit Facility” means any one of the Agreements.
“property” or “properties” means, unless otherwise specifically limited, real or personal property of any kind, tangible or intangible, choate or inchoate.
“Proposed Prepayment Date” is defined in Section 8.7(b).
“Pro Forma Basis” means, for purposes of calculating (utilizing the principles set forth in Section 23.2) compliance with each of the financial covenants set forth in Section 10.6 in respect of a proposed transaction, that such transaction shall be deemed to have occurred as of the first day of the four (4) fiscal-quarter period ending as of the most recent fiscal quarter end preceding the date of such transaction with respect to which the holders of Notes has received the Required Financial Information.  As used herein, “transaction” shall mean (a) any borrowing, (b) any incurrence or assumption of Indebtedness, (c) any removal of an Unencumbered Borrowing Base Property from qualification as such pursuant to Section 10.7(a) or Section 10.7(b) or any other Disposition as referred to in Section 10.7, or (d) any acquisition of any Person (whether by merger or otherwise) or other property.  In connection with any calculation relating to the financial covenants set forth in Section 10.6 upon giving effect to a transaction on a Pro Forma Basis:

(i)    for purposes of any such calculation in respect of any Disposition as referred to in Section 10.7(a), (A) income statement items (whether positive or negative) attributable to the Person or property disposed of shall be excluded, (B) any Indebtedness which is retired in connection with such transaction shall be excluded and deemed to have been retired as of the first day of the applicable period, and (C) pro forma adjustments shall be included to the extent that such adjustments would give effect to events that are (1) directly attributable to such transaction, (2) expected to have a continuing impact on the Company Parties and (3) factually supportable (in the reasonable judgment of the Required Holders); and
(ii)    for purposes of any such calculation in respect of any acquisition of any Person (whether by merger or otherwise) or other property, (A) income statement items (whether positive or negative) and capital expenditures attributable to the Person or property acquired shall be deemed to be included as of the first day of the applicable period, and (B) pro forma adjustments (with the calculated amounts annualized to the extent the period from the date of such acquisition through the most-recently ended fiscal quarter is not at least twelve (12) months or four (4) fiscal quarters, in the case of any applicable period that is based on twelve months or four (4) fiscal quarters) shall be included to the extent that such adjustments would give effect to events that are (1) directly attributable to such transaction, (2) expected to have a continuing impact on the Company Parties and (3) factually supportable (in the reasonable judgment of the Required Holders).
“PTE” is defined in Section 6.2(a).
“Purchaser” or “Purchasers” means each of the purchasers that has executed and delivered this Agreement to the Company and such Purchaser’s successors and assigns (so long as any such assignment complies with Section 14.2), provided, however, that any Purchaser of a Note that ceases to be the registered holder or a beneficial owner (through a nominee) of such Note as the result of a transfer thereof pursuant to Section 14.2 shall cease to be included within the meaning of “Purchaser” of such Note for the purposes of this Agreement upon such transfer.
“QPAM Exemption” is defined in Section 6.2(d).
“Qualified Institutional Buyer” means any Person who is a “qualified institutional buyer” within the meaning of such term as set forth in Rule 144A(a)(1) under the Securities Act.
“Rating Agency” means any nationally recognized statistical rating organization recognized by the NAIC. 
“Real Properties” means, at any time, a collective reference to each of the facilities and real properties owned or leased by the Company or any other Subsidiary or in which any such Person has an interest at such time; and “Real Property” means any one of such Real Properties.

“Related Fund” means, with respect to any holder of any Note, any fund or entity that (i) invests in Securities or bank loans, and (ii) is advised or managed by such holder, the same investment advisor as such holder or by an affiliate of such holder or such investment advisor.
“Required Financial Information” means, with respect to each fiscal period or quarter of the Company, (a) the financial statements required to be delivered pursuant to Section 7.1 for such fiscal period or quarter of the Parent REIT, and (b) the compliance certificate required by Section 7.2 to be delivered with the financial statements described in clause (a) above.
“Required Holders” means at any time (a) prior to the Closing, the Purchasers, (b) on or after the Closing the holders of more than 50% in principal amount of the Notes (without regard to Series) at the time outstanding (exclusive of Notes then owned by the Company or any of its Affiliates).
“Responsible Officer” means any Senior Financial Officer and any other officer of the Company with responsibility for the administration of the relevant portion of this Agreement.
“Restricted Payment” means any dividend or other distribution (whether in cash, securities or other property) with respect to any capital stock or other Equity Interest of the Parent REIT or any Subsidiary or any Unconsolidated Affiliate, or any payment (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or termination of any such capital stock or other Equity Interest, or on account of any return of capital to the Parent REIT’s shareholders, partners or members (or the equivalent Person thereof); provided that, to the extent the calculation of the amount of any dividend or other distribution for purposes of this definition of “Restricted Payment” includes amounts allocable to Unconsolidated Affiliates, such calculation shall be without duplication and shall only include such amounts to the extent attributable to any Unconsolidated Affiliate Interests; provided, further, that payments for, in respect of or in connection with Permitted Convertible Notes Swap Contracts shall not constitute Restricted Payments.
“Seasoned Date” means the first day on which an acquired Real Property has been owned for six (6) full fiscal quarters following the date of acquisition of such Real Property. 
“Seasoned Property” means (a) each Real Property (other than a New Property) owned by the Company Parties on a consolidated basis and all Unconsolidated Affiliates (as the case may be) and (b) upon the occurrence of the Seasoned Date of any New Property, such Real Property.
“SEC” means the Securities and Exchange Commission of the United States or any successor thereto.
“Second Amendment Effective Date” means the date of effectiveness of the Second Amendment to this Agreement among the Company and the holders of Notes. 

“Second Limited Collateral Trigger Event” has the meaning specified in the definition of Collateral Trigger Date.
“Secured Debt” means, for any given calculation date, without duplication, the total aggregate principal amount of any Indebtedness of the Company Parties on a consolidated basis that is secured in any manner by any lien (other than Permitted Liens of the type described in Sections 10.5(a), (b), (c), (d), (e), (g), (h) and (j); provided that (a) Indebtedness in respect of obligations under any capitalized lease shall not be deemed to be “Secured Debt” and (b) Secured Debt shall exclude Excluded Capital Leases and any Indebtedness in respect of the Pari Passu Obligations which is secured by Common Collateral pursuant to and as defined in the Intercreditor Agreement as a result of a Collateral Trigger Event. 
“Securities” or “Security” shall have the meaning specified in section 2(1) of the Securities Act. 
“Securities Act” means the Securities Act of 1933, as amended from time to time, and the rules and regulations promulgated thereunder from time to time in effect.
“Senior Financial Officer” means the chief financial officer, principal accounting officer, treasurer or comptroller of the Company.
“Senior Indebtedness” means all Indebtedness of the Company or any Guarantor, as applicable, which is not expressed to be subordinate or junior in rank to any other Indebtedness of the Company or such Guarantor, as applicable.
“Series” means any one of the Series of Notes issued hereunder.
“Series A Notes” is defined in Section 1.
“Series B Notes” is defined in Section 1.
“Source” is defined in Section 6.2.
“State Sanctions List” means a list that is adopted by any state Governmental Authority within the United States of America pertaining to Persons that engage in investment or other commercial activities in Iran or any other country that is a target of economic sanctions imposed under U.S. Economic Sanctions. 
“Subsidiary” means a corporation, partnership, joint venture, limited liability company or other business entity of which a majority of the shares of securities or other interests having ordinary voting power for the election of directors or other governing body (other than securities or interests having such power only by reason of the happening of a contingency) are at the time beneficially owned, or the management of which is otherwise controlled, directly, or indirectly through one or more intermediaries, or both, by such Person.  Unless otherwise specified, all references herein to a “Subsidiary” or to “Subsidiaries” shall refer to a Subsidiary or Subsidiaries of the Parent REIT.

“Subsidiary Guarantor” means each Subsidiary that has executed and delivered a Subsidiary Guaranty.
“Subsidiary Guaranty” is defined in Section 2.2.
“Substitute Purchaser” is defined in Section 22.
“SVO” means the Securities Valuation Office of the NAIC or any successor to such Office.
“Swap Contract” means (a) any and all interest rate swap transactions, basis swap transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward foreign exchange transactions, cap transactions, floor transactions, currency options, spot contracts or any other similar transactions or any of the foregoing (including, without limitation, any options to enter into any of the foregoing), and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc. or any International Foreign Exchange Master Agreement.
“Swap Termination Value” means, in respect of any one or more Swap Contracts, after taking into account the effect of any legally enforceable netting agreement relating to such Swap Contracts, (a) for any date on or after the date such Swap Contracts have been closed out and termination value(s) determined in accordance therewith, such termination value(s), and (b) for any date prior to the date referenced in clause (a), the amounts(s) determined as the mark-to-market values(s) for such Swap Contracts, as determined based upon one or more mid-market or other readily available quotations provided by any recognized dealer in such Swap Contracts.
“Synthetic Lease Obligation” means the monetary obligation of a Person under (a) a so-called synthetic, off-balance sheet or tax retention lease, or (b) an agreement for the use or possession of property creating obligations that do not appear on the balance sheet of such Person but which, upon the insolvency or bankruptcy of such Person, would be characterized as the indebtedness of such Person (without regard to accounting treatment).
“Taxes” means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees or other charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto.
“TRS” means each of (a) Pebblebrook Hotel Lessee and (b) each other taxable REIT subsidiary that is a Wholly Owned Subsidiary of Pebblebrook Hotel Lessee.
“2020 Permitted Convertible Notes” shall mean the Permitted Convertible Notes which were issued by the Parent REIT on December 10, 2020, as approved by the holders of Notes on December 10, 2020. 

“USA PATRIOT Act” means United States Public Law 107-56, Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of 2001, as amended from time to time, and the rules and regulations promulgated thereunder from time to time in effect.
“UCC” means the Uniform Commercial Code as in effect in any applicable jurisdiction.
“Unconsolidated Affiliate” means any corporation, partnership, association, joint venture or other entity in each case which is not a Company Party and in which a Company Party owns, directly or indirectly, any Equity Interest.
“Unconsolidated Affiliate Funded Indebtedness” means, as of any date of determination for any Unconsolidated Affiliate, the product of (a) the sum of (i) the outstanding principal amount of all obligations of such Unconsolidated Affiliate, whether current or long-term, for borrowed money and all obligations of such Unconsolidated Affiliate evidenced by bonds, debentures, notes, loan agreements or other similar instruments, (ii) all purchase money Indebtedness of such Unconsolidated Affiliate, (iii) all obligations of such Unconsolidated Affiliate arising under letters of credit (including standby and commercial), bankers’ acceptances, bank guaranties, surety bonds and similar instruments, (iv) all obligations of such Unconsolidated Affiliate in respect of forward purchase agreements or the deferred purchase price of any property or services (other than trade accounts payable in the ordinary course of business), (v) Attributable Indebtedness of such Unconsolidated Affiliate in respect of capital leases and Synthetic Lease Obligations, (vi) without duplication, all Guarantees of such Unconsolidated Affiliate with respect to outstanding Indebtedness of the types specified in clauses (i) through (v) above of Persons other than such Unconsolidated Affiliate, and (vii) all Indebtedness of such Unconsolidated Affiliate of the types referred to in clauses (i) through (vi) above of any partnership or joint venture (other than a joint venture that is itself a corporation or limited liability company) in which such Unconsolidated Affiliate is a general partner or joint venturer, multiplied by (b) the respective Unconsolidated Affiliate Interest of each Company Party in such Unconsolidated Affiliate.
“Unconsolidated Affiliate Interest” means the percentage of the Equity Interests owned by a Company Party in an Unconsolidated Affiliate accounted for pursuant to the equity method of accounting under GAAP.
“Unencumbered Asset Value” means, without duplication, as of any date of determination, the Operating Property Value of all Unencumbered Borrowing Base Properties for the Note Parties on a consolidated basis (other than Development/Redevelopment Properties).
“Unencumbered Borrowing Base Properties” means, as of any date, a collective reference to each Real Property listed in the most recent compliance certificate delivered by the Company hereunder that meets the following criteria: 
(i)    such Real Property is, or is expected to be, a “luxury”, “upper upscale”, or “upscale” full or select service hotel located in the United States;

(ii)    such Real Property is wholly-owned, directly or indirectly, by the Company or a Subsidiary Guarantor in fee simple or ground leased pursuant to an Eligible Ground Lease (and such Real Property, whether owned in fee simple by the Company or a Subsidiary Guarantor of the Company or ground leased pursuant to an Eligible Ground Lease, is leased to the applicable TRS);
(iii)    if such Real Property is owned or ground leased pursuant to an Eligible Ground Lease by a Subsidiary of the Company, then (A) such Subsidiary is a Guarantor (unless such Subsidiary has been released as, or is not required to be, a Guarantor pursuant to the terms of Section 9.8(c) provided that if any such Subsidiary is released, the Real Property shall no longer be considered Unencumbered Borrowing Base Property, (B) the Company directly or indirectly owns at least ninety percent (90%) of the issued and outstanding Equity Interests of such Subsidiary, and (C) such Subsidiary is controlled exclusively by the Company and/or one or more Wholly Owned Subsidiaries of the Company (including control over operating activities of such Subsidiary and the ability of such Subsidiary to dispose of, grant Liens in, or otherwise encumber assets, incur, repay and prepay Indebtedness, provide Guarantees and make Restricted Payments, in each case without any requirement for the consent of any other Person);
(iv)    such Real Property is free of any Liens (other than Permitted Liens of the type described in Sections 10.5(a), (b), (d), (e), (g), (h) and (j)) or Negative Pledges;
(v)    such Real Property is free of all material title defects;
(vi)    if such Real Property is subject to an Eligible Ground Lease, then there is no default by the lessee under the Eligible Ground Lease and such Eligible Ground Lease is in full force and effect; 
(vii)    such Real Property is free of all material structural defects; 
(viii)    such Real Property complies in all material respects with all applicable Environmental Laws and is not subject to any material Environmental Liabilities; 
(ix)    neither all nor any material portion of such Real Property is subject to any proceeding for the condemnation, seizure or appropriation thereof, nor the subject of negotiations for sale in lieu thereof; 
(x)    such Real Property has not otherwise been removed as an “Unencumbered Borrowing Base Property” pursuant to the provisions of this Agreement; and 
(xi)    the Company has executed and delivered to the holders of Notes all documents and taken all actions reasonably required by the Required Holders to confirm the rights created or intended to be created under the Note Documents and the holders of Notes have received all other evidence and information that it may reasonably require;

provided that, if any Real Property does not meet all of the foregoing criteria, then, upon the request of the Company, such Real Property may be included as an “Unencumbered Borrowing Base Property” with the written consent of the Required Holders.
“Unencumbered Borrowing Base Value” means the Consolidated Total Asset Value of the Unencumbered Borrowing Base Properties. 
“Unencumbered Leverage Ratio” means, as of any date, then current Unencumbered Asset Value divided by then current Unsecured Indebtedness.
“Unrestricted Cash” means as of any date of determination, all cash of the Company on such date that (a) does not appear (or would not be required to appear) as “restricted” on a balance sheet of the Company, (b) is not subject to a Lien in favor of any Person other than Liens granted to the holders of Notes and statutory Liens in favor of any depositary bank where such cash is maintained, (c) does not consist of or constitute “deposits” or sums legally held by the Company in trust for another Person, (d) is not subject to any contractual restriction or obligation regarding the payment thereof for a particular purpose (including insurance proceeds that are required to be used in connection with the repair, restoration or replacement of any property of the Company), and (e) is otherwise generally available for use by the Company.
“Unsecured Indebtedness” means, with respect to any Person, all Consolidated Funded Indebtedness which is not Secured Debt.
“Unsecured Interest Charges” means, as of any date of determination, Consolidated Interest Charges on the Unsecured Indebtedness for the most recently ended Calculation Period.
“Unsecured Leverage Increase Period” is defined in Section 10.6(h).
“US Bank Facility” means the facility evidenced by that certain Amended and Restated Credit Agreement, dated as of the date hereof, among the Company, the Parent REIT, certain lenders party thereto, and U.S. Bank National Association, as administrative agent (as the same may be amended, restated, modified or supplemented from time to time).
“US Bank Lessee Line of Credit” means the facility evidenced by that certain Fourth Amended and Restated Revolving Credit Note, dated as of the First Amendment Effective Date, among Pebblebrook Hotel Lessee, as maker, and U.S. Bank National Association, as payee (as the same may be amended, restated, modified or supplemented from time to time).
“U.S. Economic Sanctions” is defined in Section 5.16(a).

“Waiver Period” means the period commencing on the Second Amendment Effective Date and ending on the earlier to occur of (a) the date the Company is required to deliver a duly completed Compliance Certificate for the fiscal quarter ending June 30, 2022 pursuant to Section 7.2(a) (or, if earlier, the date on which the Company delivers such Compliance Certificate pursuant to Section 7.2(a) evidencing, to the Required Holders’ reasonable satisfaction, the Company’s compliance with the financial covenants contained in Section 10.6 as of June 30, 2022) and (b) the date the Company delivers a Compliance Certificate in accordance with Section 7.2(a) with respect to any fiscal quarter ending after the Second Amendment Effective Date but prior to June 30, 2022 evidencing, to the Required Holders’ reasonable satisfaction, the Company’s compliance with the financial covenants contained in Section 10.6 as of the last day of such fiscal quarter as if such covenants had applied for such quarter, together with a written notice to the Purchaser and each holder of the Notes irrevocably electing to terminate the Waiver Period concurrently with such delivery.
“Waiver Period Event” is defined in Section 8.9. 
“Waiver Period Increased Interest” is defined in Section 9.12.
“Waiver Period Prepayment Premium” is defined in Section 8.11.
“Wholly-Owned Subsidiary” means, at any time, any Subsidiary all of the equity interests (except directors’ qualifying shares) with voting power owned by any one or more of the Company and the Company’s other Wholly-Owned Subsidiaries at such time.Exhibit 4.1

 

EXECUTION VERSION

 

 

 

LUCID GROUP, INC.

 

and

 

U.S.
Bank National Association

 

as Trustee

 

 

 

INDENTURE

 

Dated as of December 14, 2021

 

 

 

1.25% Convertible Senior Notes due 2026

 

 

 

    1 

     

    

 

TABLE OF CONTENTS

 

	 	 	Page
	Article 1 Definitions; Rules of Construction	1
	 	Section 1.01. Definitions	1
	 	Section 1.02. Other Definitions	13
	 	Section 1.03. Rules of Construction	13
	Article 2 The Notes	14
	 	Section 2.01. Form, Dating and Denominations	14
	 	Section 2.02. Execution, Authentication and Delivery	15
	 	Section 2.03. Initial Notes and Additional Notes	15
	 	Section 2.04. Method of Payment	16
	 	Section 2.05. Accrual of Interest; Defaulted Amounts; When Payment Date is Not a Business Day	16
	 	Section 2.06. Registrar, Paying Agent and Conversion Agent	17
	 	Section 2.07. Paying Agent and Conversion Agent to Hold Property in Trust	18
	 	Section 2.08. Holder Lists	18
	 	Section 2.09. Legends	19
	 	Section 2.10. Transfers and Exchanges; Certain Transfer Restrictions	20
	 	Section 2.11. Exchange and Cancellation of Notes to Be Converted, Redeemed or Repurchased	25
	 	Section 2.12. Replacement Notes	26
	 	Section 2.13. Registered Holders; Certain Rights with Respect to Global Notes	26
	 	Section 2.14. Cancellation	26
	 	Section 2.15. Notes Held by the Company or its Affiliates	26
	 	Section 2.16. Temporary Notes	27
	 	Section 2.17. Outstanding Notes	27
	 	Section 2.18. Repurchases by the Company	28
	 	Section 2.19. CUSIP and ISIN Numbers	28
	Article 3 Covenants	28
	 	Section 3.01. Payment on Notes	28
	 	Section 3.02. Exchange Act Reports	28
	 	Section 3.03. Rule 144A Information	29
	 	Section 3.04. Additional Interest	29
	 	Section 3.05. Compliance and Default Certificates	30
	 	Section 3.06. Stay, Extension and Usury Laws	30
	 	Section 3.07. Restriction on Acquisition of Notes by the Company and its Affiliates	31
	Article 4 Repurchase and Redemption	31
	 	Section 4.01. No Sinking Fund	31
	 	Section 4.02. Right of Holders to Require the Company to Repurchase Notes upon a Fundamental Change	31
	 	Section 4.03. Right of the Company to Redeem the Notes	36

 

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	Article 5 Conversion	39
	 	Section 5.01. Right to Convert	39
	 	Section 5.02. Conversion Procedures	43
	 	Section 5.03. Settlement upon Conversion	45
	 	Section 5.04. Reserve and Status of Common Stock Issued upon Conversion	48
	 	Section 5.05. Adjustments to the Conversion Rate	49
	 	Section 5.06. Voluntary Adjustments	59
	 	Section 5.07. Adjustments to the Conversion Rate in Connection with a Make-Whole Fundamental Change	59
	 	Section 5.08. Exchange in Lieu of Conversion	61
	 	Section 5.09. Effect of Common Stock Change Event	62
	Article 6 Successors	64
	 	Section 6.01. When the Company May Merge, Etc.	64
	 	Section 6.02. Successor Entity Substituted	64
	 	Section 6.03. Exclusion for Asset Transfers with Wholly Owned Subsidiaries	64
	Article 7 Defaults and Remedies	65
	 	Section 7.01. Events of Default	65
	 	Section 7.02. Acceleration	67
	 	Section 7.03. Sole Remedy for a Failure to Report	67
	 	Section 7.04. Other Remedies	68
	 	Section 7.05. Waiver of Past Defaults	68
	 	Section 7.06. Control by Majority	69
	 	Section 7.07. Limitation on Suits	69
	 	Section 7.08. Absolute Right of Holders to Institute Suit for the Enforcement of the Right to Receive Payment and Conversion Consideration	70
	 	Section 7.09. Collection Suit by Trustee	70
	 	Section 7.10. Trustee May File Proofs of Claim	70
	 	Section 7.11. Priorities	71
	 	Section 7.12. Undertaking for Costs	71
	Article 8 Amendments, Supplements and Waivers	71
	 	Section 8.01. Without the Consent of Holders	71
	 	Section 8.02. With the Consent of Holders	73
	 	Section 8.03. Notice of Amendments, Supplements and Waivers	73
	 	Section 8.04. Revocation, Effect and Solicitation of Consents; Special Record Dates; Etc.	74
	 	Section 8.05. Notations and Exchanges	74
	 	Section 8.06. Trustee to Execute Supplemental Indentures	74
	Article 9 Satisfaction and Discharge	75
	 	Section 9.01. Termination of Company’s Obligations	75
	 	Section 9.02. Repayment to Company	75
	 	Section 9.03. Reinstatement	75

 

    - ii -

     

    

 

	Article 10 Trustee	76
	 	Section 10.01. Duties of the Trustee	76
	 	Section 10.02. Rights of the Trustee	77
	 	Section 10.03. Individual Rights of the Trustee	78
	 	Section 10.04. Trustee’s Disclaimer	78
	 	Section 10.05. Notice of Defaults	79
	 	Section 10.06. Compensation and Indemnity	79
	 	Section 10.07. Replacement of the Trustee	80
	 	Section 10.08. Successor Trustee by Merger, Etc.	80
	 	Section 10.09. Eligibility; Disqualification	81
	Article 11 Miscellaneous	81
	 	Section 11.01. Notices	81
	 	Section 11.02. Delivery of Officer’s Certificate and Opinion of Counsel as to Conditions Precedent	82
	 	Section 11.03. Statements Required in Officer’s Certificate and Opinion of Counsel	82
	 	Section 11.04. Rules by the Trustee, the Registrar, the Paying Agent and the Conversion Agent	83
	 	Section 11.05. No Personal Liability of Directors, Officers, Employees and Stockholders	83
	 	Section 11.06. Governing Law; Waiver of Jury Trial	83
	 	Section 11.07. Submission to Jurisdiction	83
	 	Section 11.08. No Adverse Interpretation of Other Agreements	83
	 	Section 11.09. Successors	83
	 	Section 11.10. Force Majeure	84
	 	Section 11.11. U.S.A. PATRIOT Act	84
	 	Section 11.12. Calculations	84
	 	Section 11.13. Severability	84
	 	Section 11.14. Counterparts	85
	 	Section 11.15. Table of Contents, Headings, Etc.	85
	 	Section 11.16. Withholding Taxes	85
	Exhibits	 
	Exhibit A: Form of Note	A-1
	Exhibit B-1: Form of Restricted Note Legend	B1-1
	Exhibit B-2: Form of Global Note Legend	B2-1
	Exhibit B-3: Form of Non-Affiliate Legend	B3-1

 

    - iii -

     

    

 

INDENTURE, dated as
of December 14, 2021, between Lucid Group, Inc., a Delaware corporation, as issuer (the “Company”), and U.S. Bank
National Association, as trustee (the “Trustee”).

 

Each party to this Indenture
(as defined below) agrees as follows for the benefit of the other party and for the equal and ratable benefit of the Holders (as defined
below) of the Company’s 1.25% Convertible Senior Notes due 2026 (the “Notes”).

 

Article
1         
Definitions; Rules of Construction

 

Section 1.01. Definitions.

 

“Additional Interest”
means any interest that accrues on any Note pursuant to ‎Section
3.04.

 

“Affiliate”
has the meaning set forth in Rule 144 as in effect on the Issue Date.

 

“Authorized Denomination”
means, with respect to a Note, a principal amount thereof equal to $1,000 or any integral multiple of $1,000 in excess thereof.

 

“Bankruptcy Law”
means Title 11, United States Code, or any similar U.S. federal or state or non-U.S. law for the relief of debtors.

 

“Bid Solicitation
Agent” means the Person who is required to obtain bids for the Trading Price in accordance with ‎Section
5.01(C)(i)(2) and the definition of “Trading Price.” The initial Bid Solicitation Agent on the Issue Date will be the
Company; provided, however, that the Company may appoint any other Person (including any of the Company’s Subsidiaries)
to be the Bid Solicitation Agent at any time after the Issue Date without prior notice to the Holders.

 

“Board of Directors”
means the board of directors of the Company or a committee of such board duly authorized to act on behalf of such board.

 

“Business Day”
means any day other than a Saturday, a Sunday or any day on which the Federal Reserve Bank of New York is authorized or required by law
or executive order to close or be closed.

 

“Capital Stock”
of any Person means any and all shares of, interests in, rights to purchase, warrants or options for, participations in, or other equivalents
of, in each case however designated, the equity of such Person, but excluding any debt securities convertible into such equity.

 

“Close of Business”
means 5:00 p.m., New York City time.

 

“Common Stock”
means the Class A common stock, $0.0001 par value per share, of the Company, subject to ‎Section
5.09.

 

“Company”
means the Person named as such in the first paragraph of this Indenture and, subject to ‎Article
6, its successors and assigns.

 

    - 1 -

     

    

 

“Company Order”
means a written request or order signed on behalf of the Company by one (1) of its Officers and delivered to the Trustee.

 

“Conversion Date”
means, with respect to a Note, the first Business Day on which the requirements set forth in ‎Section
5.02(A) to convert such Note are satisfied, subject to ‎Section
5.03(C).

 

“Conversion Price”
means, as of any time, an amount equal to (A) one thousand dollars ($1,000) divided by (B) the Conversion Rate in effect at such
time.

 

“Conversion Rate”
initially means 18.2548 shares of Common Stock per $1,000 principal amount of Notes; provided, however, that the Conversion
Rate is subject to adjustment pursuant to ‎Article 5; provided,
further, that whenever this Indenture refers to the Conversion Rate as of a particular date without setting forth a particular
time on such date, such reference will be deemed to be to the Conversion Rate immediately after the Close of Business on such date.

 

“Conversion Share”
means any share of Common Stock issued or issuable upon conversion of any Note.

 

“Daily Cash Amount”
means, with respect to any VWAP Trading Day, the lesser of (A) the applicable Daily Maximum Cash Amount; and (B) the Daily Conversion
Value for such VWAP Trading Day.

 

“Daily Conversion
Value” means, with respect to any VWAP Trading Day, one-thirtieth (1/30th) of the product of (A) the Conversion Rate on such
VWAP Trading Day; and (B) the Daily VWAP per share of Common Stock on such VWAP Trading Day.

 

“Daily Maximum Cash
Amount” means, with respect to the conversion of any Note, the quotient obtained by dividing (A) the Specified Dollar Amount
applicable to such conversion by (B) thirty (30).

 

“Daily Share Amount”
means, with respect to any VWAP Trading Day, the quotient obtained by dividing (A) the excess, if any, of the Daily Conversion Value for
such VWAP Trading Day over the applicable Daily Maximum Cash Amount by (B) the Daily VWAP for such VWAP Trading Day. For the avoidance
of doubt, the Daily Share Amount will be zero for such VWAP Trading Day if such Daily Conversion Value does not exceed such Daily Maximum
Cash Amount.

 

“Daily
VWAP” means, for any VWAP Trading Day, the per share volume-weighted average price of the Common Stock as displayed under
the heading “Bloomberg VWAP” on Bloomberg page “LCID <EQUITY> AQR” (or, if such page is not available,
its equivalent successor page) in respect of the period from the scheduled open of trading until the scheduled close of trading of
the primary trading session on such VWAP Trading Day (or, if such volume-weighted average price is unavailable, the market value of
one share of Common Stock on such VWAP Trading Day, determined, using a volume-weighted average price method, by a nationally
recognized independent investment banking firm selected by the Company, which may be any of the Initial Purchasers). The Daily VWAP
will be determined without regard to after-hours trading or any other trading outside of the regular trading session.

 

    - 2 -

     

    

 

“Default”
means any event that is (or, after notice, passage of time or both, would be) an Event of Default.

 

“Default Settlement
Method” means Physical Settlement; provided, however, that (A) the Company may, from time to time, change the
Default Settlement Method by (x) sending notice of the new Default Settlement Method to the Holders, the Trustee and the Conversion
Agent and (y) by disclosing the new Default Settlement Method on its website or in a Current Report on Form 8-K (or any successor
form) that is filed with, or furnished to, the SEC; and (B) the Default Settlement Method will be subject to ‎Section
5.03(A)(ii).

 

“Depositary”
means The Depository Trust Company or its successor.

 

“Depositary Participant”
means any member of, or participant in, the Depositary.

 

“Depositary Procedures”
means, with respect to any conversion, transfer, exchange or transaction involving a Global Note or any beneficial interest therein, the
rules and procedures of the Depositary applicable to such conversion, transfer, exchange or transaction.

 

“Ex-Dividend Date”
means, with respect to an issuance, dividend or distribution on the Common Stock, the first date on which shares of Common Stock trade
on the applicable exchange or in the applicable market, regular way, without the right to receive such issuance, dividend or distribution
(including pursuant to due bills or similar arrangements required by the relevant stock exchange). For the avoidance of doubt, any alternative
trading convention on the applicable exchange or market in respect of the Common Stock under a separate ticker symbol or CUSIP number
will not be considered “regular way” for this purpose.

 

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

 

“Exempted Fundamental
Change” means any Fundamental Change with respect to which, in accordance with ‎Section
4.02(I), the Company does not offer to repurchase any Notes.

 

“Family Member”
means with respect to any natural person, the spouse, domestic partner, parents, grandparents, lineal descendants, siblings and lineal
descendants of siblings of such natural person. For purposes of this definition, lineal descendants include adopted persons, but only
if such adopted persons were adopted while a minor.

 

“Freely Tradable”
means, with respect to any security of the Company, that such security would be eligible to be offered, sold or otherwise transferred
pursuant to Rule 144 or otherwise if held by a Person that is not an Affiliate of the Company, and that has not been an Affiliate of the
Company during the immediately preceding three (3) months, without any requirements as to volume, manner of sale, availability of current
public information or notice under the Securities Act (except that any such requirement as to the availability of current public information
will be disregarded if the same is satisfied at that time).

 

    - 3 -

     

    

 

“Fundamental Change”
means any of the following events:

 

(A)       a
 “person” or “group” (within the meaning of Section 13(d)(3) of the Exchange Act), other than the (w) Company,
(x) its Wholly Owned Subsidiaries, (y) their respective employee benefit plans or (z) any Permitted Party, files any report
with the SEC indicating that such person or group has become the direct or indirect “beneficial owner” (as defined below)
of shares of the Common Stock representing more than fifty percent (50%) of the voting power of all of the Company’s then-outstanding
Common Stock;

 

(B)       the
consummation of (i) any sale, lease or other transfer, in one transaction or a series of transactions, of all or substantially all of
the assets of the Company and its Subsidiaries, taken as a whole, to any Person, other than solely to one or more of the Company’s
Wholly Owned Subsidiaries; or (ii) any transaction or series of related transactions in connection with which (whether by means of merger,
consolidation, share exchange, combination, reclassification, recapitalization, acquisition, liquidation or otherwise) all of the Common
Stock is exchanged for, converted into, acquired for, or constitutes solely the right to receive, other securities, cash or other property;
provided, however, that any merger, consolidation, share exchange or combination of the Company pursuant to which the Persons
that directly or indirectly “beneficially owned” (as defined below) all classes of the Company’s common equity immediately
before such transaction directly or indirectly “beneficially own,” immediately after such transaction, more than fifty percent
(50%) of all classes of common equity of the surviving, continuing or acquiring company or other transferee, as applicable, or the parent
thereof, in substantially the same proportions vis-à-vis each other as immediately before such transaction will be deemed not to
be a Fundamental Change pursuant to this clause (B);

 

(C)       the
Company’s stockholders approve any plan or proposal for the liquidation or dissolution of the Company; or

 

(D)       the
Common Stock ceases to be listed on any of The New York Stock Exchange, The Nasdaq Global Select Market, The Nasdaq Capital Market or
The Nasdaq Global Market (or any of their respective successors);

 

provided, however, that a transaction
or event described in clause (A) or (B) above will not constitute a Fundamental Change if at least ninety percent (90%)
of the consideration received or to be received by the holders of Common Stock (excluding cash payments for fractional shares or pursuant
to dissenters rights), in connection with such transaction or event, consists of shares of common stock listed on any of The New York
Stock Exchange, The Nasdaq Capital Market, The Nasdaq Global Market or The Nasdaq Global Select Market (or any of their respective successors),
or that will be so listed when issued or exchanged in connection with such transaction or event, and such transaction or event constitutes
a Common Stock Change Event whose Reference Property consists of such consideration.

 

If any transaction in which
the Common Stock is replaced by the securities of another entity occurs, following completion of any related Make-Whole Fundamental Change
Conversion Period (or, in the case of a transaction that would have been a Fundamental Change or a Make-Whole Fundamental Change but for
the proviso to the immediately preceding paragraph, following the effective date of such transaction), references to the Company for purposes
of this definition shall instead be references to such other entity.

 

    - 4 -

     

    

 

For the purposes of this definition,
(x) any transaction or event described in both clause (A) and in clause (B)(i) or (ii) above (without regard to the
proviso in clause (B)) will be deemed to occur solely pursuant to clause (B) above (subject to such proviso); and (y) whether
a Person is a “beneficial owner,” whether shares are “beneficially owned,” and percentage beneficial
ownership, will be determined in accordance with Rule 13d-3 under the Exchange Act.

 

“Fundamental Change
Repurchase Date” means the date fixed for the repurchase of any Notes by the Company pursuant to a Repurchase Upon Fundamental
Change.

 

“Fundamental Change
Repurchase Notice” means a notice (including a notice substantially in the form of the “Fundamental Change Repurchase
Notice” set forth in Exhibit A) containing the information, or otherwise complying with the requirements, set forth in ‎Section
4.02(F)(i) and ‎Section 4.02(F)(ii).

 

“Fundamental Change
Repurchase Price” means the cash price payable by the Company to repurchase any Note upon its Repurchase Upon Fundamental Change,
calculated pursuant to ‎Section 4.02(D).

 

“Global Note”
means a Note that is represented by a certificate substantially in the form set forth in Exhibit A, registered in the name of the
Depositary or its nominee, duly executed by the Company and authenticated by the Trustee, and deposited with the Trustee, as custodian
for the Depositary.

 

“Global Note Legend”
means a legend substantially in the form set forth in Exhibit B-2.

 

“Holder”
means a person in whose name a Note is registered on the Registrar’s books.

 

“Indenture”
means this Indenture, as amended or supplemented from time to time.

 

“Initial Purchasers”
means the Initial Purchasers set forth in Schedule A to the Purchase Agreement.

 

“Interest Payment
Date” means, with respect to a Note, each June 15 and December 15 of each year, commencing on June 15, 2022 (or commencing on
such other date specified in the certificate representing such Note). For the avoidance of doubt, the Maturity Date is an Interest Payment
Date.

 

“Issue Date”
means December 14, 2021.

 

“Last Original
Issue Date” means (A) with respect to any Notes issued pursuant to the Purchase Agreement (including any Notes issued
pursuant to the exercise of the Shoe Option by the Initial Purchasers), and any Notes issued in exchange therefor or in substitution
thereof, the later of (i) the Issue Date and (ii) the last date any Notes are originally issued pursuant to the exercise of the Shoe
Option; and (B) with respect to any Notes issued pursuant to ‎Section
2.03(B), and any Notes issued in exchange therefor or in substitution thereof, either (i) the later of (x) the date such Notes
are originally issued and (y) the last date any Notes are originally issued as part of the same offering pursuant to the exercise of
an option granted to the initial purchaser(s) of such Notes to purchase additional Notes; or (ii) such other date as is specified in
an Officer’s Certificate delivered to the Trustee before the original issuance of such Notes.

 

    - 5 -

     

    

 

“Last Reported Sale
Price” of the Common Stock for any Trading Day means the closing sale price per share (or, if no closing sale price is reported,
the average of the last bid price and the last ask price per share or, if more than one in either case, the average of the average last
bid prices and the average last ask prices per share) of Common Stock on such Trading Day as reported in composite transactions for the
principal U.S. national or regional securities exchange on which the Common Stock is then listed. If the Common Stock is not listed on
a U.S. national or regional securities exchange on such Trading Day, then the Last Reported Sale Price will be the last quoted bid price
per share of Common Stock on such Trading Day in the over-the-counter market as reported by OTC Markets Group Inc. or a similar organization.
If the Common Stock is not so quoted on such Trading Day, then the Last Reported Sale Price will be the average of the mid-point of the
last bid price and the last ask price per share of Common Stock on such Trading Day from a nationally recognized independent investment
banking firm selected by the Company, which may be any of the Initial Purchasers. Neither the Trustee nor the Conversion Agent will have
any duty to determine the Last Reported Sale Price.

 

The “Liquidity Conditions”
with respect to the Redemption of any Notes will be satisfied if each of the following has been satisfied as of the Redemption Notice
Date for such Redemption and is reasonably expected to continue to be satisfied through at least the thirtieth (30th) calendar day after
the Redemption Date for such Redemption: (A) the Company has satisfied the reporting conditions (including, for the avoidance of doubt,
the requirement for current Form 10 information) set forth in Rule 144(c) and (i)(2) under the Securities Act; and (B) the shares of Common
Stock, if any, issued or issuable upon conversion of the Notes are Freely Tradable; provided, however, that the Liquidity
Conditions will also be deemed to be satisfied with respect to such Redemption if, in accordance with ‎Section
5.03(A)(i)(3), the Company has elected to settle all conversions of Notes with a Conversion Date that occurs during the related Redemption
Conversion Period by Cash Settlement.

 

“Make-Whole Fundamental
Change” means (A) a Fundamental Change (determined after giving effect to the proviso immediately after clause (D) of
the definition thereof, but without regard to the proviso to clause (B)(ii) of such definition); or (B) the sending of a Redemption
Notice pursuant to ‎Section 4.03(G); provided, however,
that, subject to ‎Section 4.03(J), the sending of a Redemption
Notice will constitute a Make-Whole Fundamental Change only with respect to the Notes called (or deemed called pursuant to ‎Section
4.03(J)) for Redemption pursuant to such Redemption Notice and not with respect to any other Notes.

 

“Make-Whole Fundamental
Change Conversion Period” has the following meaning:

 

(A)       in
the case of a Make-Whole Fundamental Change pursuant to clause (A) of the definition thereof, the period from, and including, the Make-Whole
Fundamental Change Effective Date of such Make-Whole Fundamental Change to, and including, the thirty fifth (35th) Trading Day after
such Make-Whole Fundamental Change Effective Date (or, if such Make-Whole Fundamental Change also constitutes a Fundamental Change (other
than an Exempted Fundamental Change), to, but excluding, the related Fundamental Change Repurchase Date); and

 

(B)       in
the case of a Make-Whole Fundamental Change pursuant to clause (B) of the definition thereof, the related Redemption Conversion Period;

 

    - 6 -

     

    

 

provided, however, that if the Conversion
Date for the conversion of a Note that is called (or deemed, pursuant to ‎Section
4.03(J), to be called) for Redemption occurs during the Make-Whole Fundamental Change Conversion Period for both a Make-Whole Fundamental
Change occurring pursuant to clause (A) of the definition of “Make-Whole Fundamental Change” and a Make-Whole Fundamental
Change resulting from such Redemption pursuant to clause (B) of such definition, then, notwithstanding anything to the contrary
in ‎Section 5.07, solely for purposes of such conversion,
(x) such Conversion Date will be deemed to occur solely during the Make-Whole Fundamental Change Conversion Period for the Make-Whole
Fundamental Change with the earlier Make-Whole Fundamental Change Effective Date; and (y) the Make-Whole Fundamental Change with the later
Make-Whole Fundamental Change Effective Date will be deemed not to have occurred.

 

“Make-Whole Fundamental
Change Effective Date” means (A) with respect to a Make-Whole Fundamental Change pursuant to clause (A) of the definition
thereof, the date on which such Make-Whole Fundamental Change occurs or becomes effective; and (B) with respect to a Make-Whole Fundamental
Change pursuant to clause (B) of the definition thereof, the applicable Redemption Notice Date.

 

“Market Disruption
Event” means, with respect to any date, the occurrence or existence, during the one-half hour period ending at the scheduled
close of trading on such date on the principal U.S. national or regional securities exchange or other market on which the Common Stock
is listed for trading or trades, of any material suspension or limitation imposed on trading (by reason of movements in price exceeding
limits permitted by the relevant exchange or otherwise) in the Common Stock or in any options contracts or futures contracts relating
to the Common Stock.

 

“Maturity Date”
means December 15, 2026.

 

“Non-Affiliate Legend”
means a legend substantially in the form set forth in Exhibit B-3.

 

“Note Agent”
means any Registrar, Paying Agent or Conversion Agent.

 

“Notes”
means the 1.25% Convertible Senior Notes due 2026 issued by the Company pursuant to this Indenture.

 

“Observation
Period” means, with respect to any Note to be converted, (A) subject to clause (B) below, if the Conversion Date
for such Note occurs before September 15, 2026, the thirty (30) consecutive VWAP Trading Days beginning on, and including, the
second (2nd) VWAP Trading Day immediately after such Conversion Date; (B) if such Conversion Date occurs during a Redemption
Conversion Period, the thirty (30) consecutive VWAP Trading Days beginning on, and including, the thirty-first (31st) Scheduled
Trading Day immediately before the related Redemption Date; and (C) subject to clause (B) above, if such Conversion Date
occurs on or after September 15, 2026, the thirty (30) consecutive VWAP Trading Days beginning on, and including, the thirty-first
(31st) Scheduled Trading Day immediately before the Maturity Date.

 

    - 7 -

     

    

 

“Officer”
means the Chairman of the Board of Directors, the Chief Executive Officer, the President, the Chief Operating Officer, the Chief Financial
Officer, the Treasurer, any Assistant Treasurer, the Controller, the Secretary or any Vice-President of the Company.

 

“Officer’s
Certificate” means a certificate that is signed on behalf of the Company by one (1) of its Officers and that meets the requirements
of ‎Section 11.03.

 

“Open of Business”
means 9:00 a.m., New York City time.

 

“Opinion of Counsel”
means an opinion, from legal counsel (including an employee of, or counsel to, the Company or any of its Subsidiaries) reasonably acceptable
to the Trustee, that meets the requirements of ‎Section 11.03,
subject to customary qualifications and exclusions.

 

“Permitted Party”
means Ayar Third Investment Company, the Public Investment Fund or any of their respective Affiliates. If any such Permitted Party is
a natural person, “Permitted Party” shall include: (i) a “Permitted Trust” (as defined in this ‎Section
1.01) of such person that is solely for the benefit of (1) such person; (2) one or more Family Members of such person; or (3) any
other Permitted Party that is an Affiliate of such person; or (ii) any general partnership, limited partnership, limited liability company,
corporation or other entity exclusively owned by (1) such person; (2) one or more Family Members of such person; or (3) any other Permitted
Party that is an Affiliate of such person.

 

“Permitted Trust”
of a person means a bona fide trust where each trustee is (i) such person; (ii) a Family Member of such person; or (iii) a professional
in the business of providing trustee services, including private professional fiduciaries, trust companies and bank trust departments,
acting in such capacity.

 

“Person”
or “person” means any individual, corporation, partnership, limited liability company, joint venture, association,
joint-stock company, trust, unincorporated organization or government or other agency or political subdivision thereof. Any division or
series of a limited liability company, limited partnership or trust will constitute a separate “person” under this Indenture.

 

“Physical Note”
means a Note (other than a Global Note) that is represented by a certificate substantially in the form set forth in Exhibit A,
registered in the name of the Holder of such Note and duly executed by the Company and authenticated by the Trustee.

 

“Purchase Agreement”
means that certain Purchase Agreement, dated December 9, 2021, between the Company and BofA Securities, Inc. and Citigroup Global
Markets Inc., as representatives of the several Initial Purchasers.

 

“Redemption”
means the repurchase of any Note by the Company pursuant to ‎Section
4.03.

 

    - 8 -

     

    

 

“Redemption Conversion
Period” means, with respect to any Redemption, the period from, and including, the related Redemption Notice Date until the
Close of Business on the second (2nd) Scheduled Trading Day immediately before the related Redemption Date (or, if the Company fails to
pay the Redemption Price due on such Redemption Date in full, until such time as the Company pays such Redemption Price in full).

 

“Redemption Date”
means the date fixed, pursuant to ‎Section 4.03(E), for the
settlement of the repurchase of any Notes by the Company pursuant to a Redemption.

 

“Redemption Notice
Date” means, with respect to a Redemption, the date on which the Company sends the Redemption Notice for such Redemption pursuant
to ‎Section 4.03(G).

 

“Redemption Price”
means the cash price payable by the Company to redeem any Note upon its Redemption, calculated pursuant to ‎Section
4.03(F).

 

“Regular Record Date”
has the following meaning with respect to an Interest Payment Date: (A) if such Interest Payment Date occurs on June 15, the immediately
preceding June 1; and (B) if such Interest Payment Date occurs on December 15, the immediately preceding December 1.

 

“Repurchase Upon
Fundamental Change” means the repurchase of any Note by the Company pursuant to ‎Section
4.02.

 

“Responsible Officer”
means (A) any officer within the corporate trust department of the Trustee (or any successor group of the Trustee) or any other officer
of the Trustee customarily performing functions similar to those performed by any of such officers; and (B) with respect to a particular
corporate trust matter relating to this Indenture, any other officer to whom such matter is referred because of his or her knowledge of,
and familiarity with, the particular subject and, in each case, who will have direct responsibility for the administration of this Indenture.

 

“Restricted Note
Legend” means a legend substantially in the form set forth in Exhibit B-1.

 

“Restricted Stock
Legend” means, with respect to any Conversion Share, a legend substantially to the effect that the offer and sale of such Conversion
Share have not been registered under the Securities Act and that such Conversion Share cannot be sold or otherwise transferred except
pursuant to a transaction that is registered under the Securities Act or that is exempt from, or not subject to, the registration requirements
of the Securities Act.

 

“Rule 144”
means Rule 144 under the Securities Act (or any successor rule thereto), as the same may be amended from time to time.

 

“Rule 144A”
means Rule 144A under the Securities Act (or any successor rule thereto), as the same may be amended from time to time.

 

“Scheduled
Trading Day” means any day that is scheduled to be a Trading Day on the principal U.S. national or regional securities
exchange on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional
securities exchange, on the principal other market on which the Common Stock is then traded. If the Common Stock is not so listed or
traded, then “Scheduled Trading Day” means a Business Day.

 

    - 9 -

     

    

 

“SEC” means
the U.S. Securities and Exchange Commission.

 

“Securities Act”
means the U.S. Securities Act of 1933, as amended.

 

“Security”
means any Note or Conversion Share.

 

“Settlement Method”
means Cash Settlement, Physical Settlement or Combination Settlement.

 

“Shoe Option”
means the Initial Purchasers’ option to purchase up to two hundred sixty-two million five hundred thousand dollars ($262,500,000)
aggregate principal amount of additional Notes as provided for in the Purchase Agreement.

 

“Significant Subsidiary”
means, with respect to any Person, any Subsidiary of such Person that constitutes a “significant subsidiary” (as defined in
Rule 1-02(w) of Regulation S-X under the Exchange Act) of such Person; provided, however, that, in the case of a Subsidiary
that meets the criteria of clause (1)(iii) of the definition thereof, but not clause (1)(i) or (1)(ii) thereof, such Subsidiary will not
be deemed to be a Significant Subsidiary of such Person unless the Subsidiary’s income or loss from continuing operations before
income taxes (after intercompany eliminations) for the most recently completed fiscal year prior to the date of such determination exceeds
ten million dollars ($10,000,000) (with such amount calculated pursuant to such rule). For purposes of this definition, Rule 1-02(w) of
Regulation S-X refers to such rule as in effect on the Issue Date.

 

“Special Interest”
means any interest that accrues on any Note pursuant to ‎Section
7.03.

 

“Specified Dollar
Amount” means, with respect to the conversion of a Note to which Combination Settlement applies, the maximum cash amount per
$1,000 principal amount of such Note deliverable upon such conversion (excluding cash in lieu of any fractional share of Common Stock).

 

“Stock Price”
has the following meaning for any Make-Whole Fundamental Change: (A) if the holders of Common Stock receive only cash in consideration
for their shares of Common Stock in such Make-Whole Fundamental Change and such Make-Whole Fundamental Change is pursuant to clause
(B) of the definition of “Fundamental Change,” then the Stock Price is the amount of cash paid per share of Common Stock
in such Make-Whole Fundamental Change; and (B) in all other cases, the Stock Price is the average of the Last Reported Sale Prices per
share of Common Stock for the five (5) consecutive Trading Days ending on, and including, the Trading Day immediately before the Make-Whole
Fundamental Change Effective Date of such Make-Whole Fundamental Change.

 

    - 10 -

     

    

 

“Subsidiary”
means, with respect to any Person, (A) any corporation, association or other business entity (other than a partnership or limited
liability company) of which more than fifty percent (50%) of the total voting power of the Capital Stock entitled (without regard to
the occurrence of any contingency, but after giving effect to any voting agreement or stockholders’ agreement that effectively
transfers voting power) to vote in the election of directors, managers or trustees, as applicable, of such corporation, association
or other business entity is owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of
such Person; and (B) any partnership or limited liability company where (i) more than fifty percent (50%) of the capital accounts,
distribution rights, equity and voting interests, or of the general and limited partnership interests, as applicable, of such
partnership or limited liability company are owned or controlled, directly or indirectly, by such Person or one or more of the other
Subsidiaries of such Person, whether in the form of membership, general, special or limited partnership or limited liability company
interests or otherwise; and (ii) such Person or any one or more of the other Subsidiaries of such Person is a controlling general
partner of, or otherwise controls, such partnership or limited liability company.

 

“Trading Day”
means any day on which (A) trading in the Common Stock generally occurs on the principal U.S. national or regional securities exchange
on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional securities exchange,
on the principal other market on which the Common Stock is then traded; and (B) there is no Market Disruption Event. If the Common Stock
is not so listed or traded, then “Trading Day” means a Business Day.

 

“Trading Price”
of the Notes on any Trading Day means the average of the secondary market bid quotations, expressed as a cash amount per $1,000 principal
amount of Notes, obtained by the Bid Solicitation Agent for two million dollars ($2,000,000) (or such lesser amount as may then be outstanding)
in principal amount of Notes at approximately 3:30 p.m., New York City time, on such Trading Day from three (3) nationally recognized
independent securities dealers selected by the Company, which may include any of the Initial Purchasers; provided, however,
that, if three (3) such bids cannot reasonably be obtained by the Bid Solicitation Agent but two (2) such bids are obtained, then the
average of the two (2) bids will be used, and if only one (1) such bid can reasonably be obtained by the Bid Solicitation Agent, then
that one (1) bid will be used. If, on any Trading Day, (A) the Bid Solicitation Agent cannot reasonably obtain at least one (1) bid for
two million dollars ($2,000,000) (or such lesser amount as may then be outstanding) in principal amount of Notes from a nationally recognized
independent securities dealer; (B) the Company is not acting as the Bid Solicitation Agent and the Company fails to instruct the Bid Solicitation
Agent to obtain bids when required; or (C) the Bid Solicitation Agent fails to solicit bids when required, then, in each case, the Trading
Price per $1,000 principal amount of Notes on such Trading Day will be deemed to be less than ninety eight percent (98%) of the product
of the Last Reported Sale Price per share of Common Stock on such Trading Day and the Conversion Rate on such Trading Day.

 

    - 11 -

     

    

 

 

“Transfer-Restricted
Security” means any Security that constitutes a “restricted security” (as defined in Rule 144); provided,
however, that such Security will cease to be a Transfer-Restricted Security upon the earliest to occur of the following events:

 

(A)       such
Security is sold or otherwise transferred to a Person (other than the Company or an Affiliate of the Company or a Person that was an Affiliate
of the Company in the three months immediately preceding) pursuant to a registration statement that was effective under the Securities
Act at the time of such sale or transfer;

 

(B)       such
Security is sold or otherwise transferred to a Person (other than the Company or an Affiliate of the Company or a Person that was an Affiliate
of the Company in the three months immediately preceding) pursuant to an available exemption (including Rule 144) from the registration
and prospectus-delivery requirements of, or in a transaction not subject to, the Securities Act and, immediately after such sale or transfer,
such Security ceases to constitute a “restricted security” (as defined in Rule 144); and

 

(C)       such
Security is eligible for resale, by a Person that is not an Affiliate of the Company and that has not been an Affiliate of the Company
during the immediately preceding three (3) months, pursuant to Rule 144 without any limitations thereunder as to volume, manner of sale,
availability of current public information or notice.

 

The Trustee is under no obligation
to determine whether any Security is a Transfer-Restricted Security and may conclusively rely on an Officer’s Certificate with respect
thereto.

 

“Trust Indenture
Act” means the U.S. Trust Indenture Act of 1939, as amended.

 

“Trustee”
means the Person named as such in the first paragraph of this Indenture until a successor replaces it in accordance with the provisions
of this Indenture and, thereafter, means such successor.

 

“VWAP Market Disruption
Event” means, with respect to any date, (A) the failure by the principal U.S. national or regional securities exchange on which
the Common Stock is then listed, or, if the Common Stock is not then listed on a U.S. national or regional securities exchange, the principal
other market on which the Common Stock is then traded, to open for trading during its regular trading session on such date; or (B) the
occurrence or existence, for more than one half hour period in the aggregate, of any suspension or limitation imposed on trading (by reason
of movements in price exceeding limits permitted by the relevant exchange or otherwise) in the Common Stock or in any options contracts
or futures contracts relating to the Common Stock, and such suspension or limitation occurs or exists at any time before 1:00 p.m., New
York City time, on such date.

 

“VWAP Trading Day”
means a day on which (A) there is no VWAP Market Disruption Event; and (B) trading in the Common Stock generally occurs on the principal
U.S. national or regional securities exchange on which the Common Stock is then listed or, if the Common Stock is not then listed on a
U.S. national or regional securities exchange, on the principal other market on which the Common Stock is then traded. If the Common Stock
is not so listed or traded, then “VWAP Trading Day” means a Business Day.

 

“Wholly Owned Subsidiary”
of a Person means any Subsidiary of such Person all of the outstanding Capital Stock or other ownership interests of which (other than
directors’ qualifying shares) are owned by such Person or one or more Wholly Owned Subsidiaries of such Person.

 

    - 12 -

     

    

 

Section 1.02. Other
Definitions.

 

	
    Term
	 	
    Defined in

 Section

	“Additional Shares”	 	‎5.07(A)
	“Business Combination Event”	 	‎6.01(A)
	“Cash Settlement”	 	‎5.03(A)
	“Combination Settlement”	 	‎5.03(A)
	“Common Stock Change Event”	 	‎5.09(A)
	“Conversion Agent”	 	‎2.06(A)
	“Conversion Consideration”	 	‎5.03(B)
	“Default Interest”	 	‎2.05(B)
	“Defaulted Amount”	 	‎2.05(B)
	“Event of Default”	 	‎7.01(A)
	“Expiration Date”	 	‎5.05(A)(v)
	“Expiration Time”	 	‎5.05(A)(v)
	“Fundamental Change Notice”	 	‎4.02(E)
	“Fundamental Change Repurchase Right”	 	‎4.02(A)
	“Initial Notes”	 	‎2.03(A)
	“Measurement Period”	 	‎5.01(C)(i)(2)
	“Partial Redemption Limitation” 	 	‎4.03(C)
	“Paying Agent”	 	‎2.06(A)
	“Physical Settlement”	 	‎5.03(A)
	“Redemption Notice”	 	‎4.03(G)
	“Reference Property”	 	‎5.09(A)
	“Reference Property Unit”	 	‎5.09(A)
	“Register”	 	‎2.06(B)
	“Registrar”	 	‎2.06(A)
	“Reporting Event of Default”	 	‎7.03(A)
	“Specified Courts”	 	‎11.07
	“Spin-Off”	 	‎5.05(A)(iii)(2)
	“Spin-Off Valuation Period”	 	‎5.05(A)(iii)(2)
	“Stated Interest”	 	‎2.05(A)
	“Successor Entity”	 	‎6.01(A)
	“Successor Person”	 	‎5.09(A)
	“Tender/Exchange Offer Valuation Period”	 	‎5.05(A)(v)
	“Trading Price Condition”	 	‎5.01(C)(i)(2)

 

Section 1.03. Rules
of Construction.

 

For purposes of this Indenture:

 

(A)            
“or” is not exclusive;

 

(B)             
“including” means “including without limitation”;

 

(C)             
“will” expresses a command;

 

(D)            
the “average” of a set of numerical values refers to the arithmetic average of such numerical values;

 

    - 13 -

     

    

 

(E)             
 a merger involving, or a transfer of assets by, a limited liability company, limited partnership or trust will be deemed to include
any division of or by, or an allocation of assets to a series of, such limited liability company, limited partnership or trust, or any
unwinding of any such division or allocation;

 

(F)             
words in the singular include the plural and in the plural include the singular, unless the context requires otherwise;

 

(G)            
“herein,” “hereof” and other words of similar import refer to this Indenture as a whole and not to any
particular Article, Section or other subdivision of this Indenture, unless the context requires otherwise;

 

(H)            
references to currency mean the lawful currency of the United States of America, unless the context requires otherwise;

 

(I)               
the exhibits, schedules and other attachments to this Indenture are deemed to form part of this Indenture; and

 

(J)               
the term “interest,” when used with respect to a Note, includes any Additional Interest and Special Interest,
unless the context requires otherwise.

 

Article
2          
The Notes

 

Section 2.01. Form,
Dating and Denominations.

 

The Notes and the Trustee’s
certificate of authentication will be substantially in the form set forth in Exhibit A. The Notes will bear the legends required
by ‎Section 2.09 and may bear notations, legends or endorsements
required by law, stock exchange rule or usage or the Depositary. Each Note will be dated as of the date of its authentication.

 

Except to the extent otherwise
provided in a Company Order delivered to the Trustee in connection with the issuance and authentication thereof, the Notes will be issued
initially in the form of one or more Global Notes. Global Notes may be exchanged for Physical Notes, and Physical Notes may be exchanged
for Global Notes, only as provided in ‎Section 2.10.

 

The Notes will be issuable
only in registered form without interest coupons and only in Authorized Denominations.

 

Each certificate representing
a Note will bear a unique registration number that is not affixed to any other certificate representing another outstanding Note.

 

The terms contained in the
Notes constitute part of this Indenture, and, to the extent applicable, the Company and the Trustee, by their execution and delivery of
this Indenture, agree to such terms and to be bound thereby; provided, however, that, to the extent that any provision of
any Note conflicts with the provisions of this Indenture, the provisions of this Indenture will control for purposes of this Indenture
and such Note.

 

    - 14 -

     

    

 

Section
2.02. Execution, Authentication and Delivery.

 

(A)            
Due Execution by the Company. At least one (1) duly authorized Officer will sign the Notes on behalf of the Company by manual,
facsimile or other electronic signature. A Note’s validity will not be affected by the failure of any Officer whose signature is
on any Note to hold, at the time such Note is authenticated, the same or any other office at the Company.

 

(B)             
Authentication by the Trustee and Delivery.

 

(i)                
No Note will be valid until it is authenticated by the Trustee. A Note will be deemed to be duly authenticated only when an authorized
signatory of the Trustee (or a duly appointed authenticating agent) manually signs the certificate of authentication of such Note.

 

(ii)             
The Trustee will cause an authorized signatory of the Trustee (or a duly appointed authenticating agent) to manually sign the certificate
of authentication of a Note only if (1) the Company delivers such Note to the Trustee; (2) such Note is executed by the Company in accordance
with ‎Section 2.02(A); and (3) the Company delivers a Company Order to the Trustee that
(a) requests the Trustee to authenticate such Note; and (b) sets forth the name of the Holder of such Note and the date as of which such
Note is to be authenticated. If such Company Order also requests the Trustee to deliver such Note to any Holder or to the Depositary,
then the Trustee will promptly deliver such Note in accordance with such Company Order.

 

(iii)           
The Trustee may appoint an authenticating agent acceptable to the Company to authenticate Notes. A duly appointed authenticating
agent may authenticate Notes whenever the Trustee may do so under this Indenture, and a Note authenticated as provided in this Indenture
by such an agent will be deemed, for purposes of this Indenture, to be authenticated by the Trustee. Each duly appointed authenticating
agent will have the same rights to deal with the Company as the Trustee would have if it were performing the duties that the authenticating
agent was validly appointed to undertake.

 

Section
2.03. Initial Notes and Additional Notes.

 

(A)            
Initial Notes. On the Issue Date, there will be originally issued one billion seven hundred fifty million dollars ($1,750,000,000)
aggregate principal amount of Notes, subject to the provisions of this Indenture (including ‎Section
2.02). If the Initial Purchasers exercise the Shoe Option, then there will be originally issued up to an additional two hundred sixty-two
million five hundred thousand dollars ($262,500,000) principal amount of Notes pursuant to such exercise, subject to the provisions of
this Indenture (including ‎Section 2.02). Notes issued pursuant to this ‎Section
2.03(A), and any Notes issued in exchange therefor or in substitution thereof, are referred to in this Indenture as the “Initial
Notes.”

 

(B)              Additional
Notes. Without the consent of any Holder, the Company may, subject to the provisions of this Indenture (including ‎Section
2.02), originally issue additional Notes with the same terms as the Initial Notes (except, to the extent applicable, with
respect to the date as of which interest begins to accrue on such additional Notes, the first Interest Payment Date of such
additional Notes, the Last Original Issue Date of such additional Notes and transfer restrictions applicable to such additional
Notes), which additional Notes will, subject to the foregoing, be considered to be part of the same series of, and rank equally and
ratably with all other, Notes issued under this Indenture; provided, however, that if any such additional Notes are
not fungible with other Notes issued under this Indenture for U.S. federal income tax or U.S. federal securities law purposes, then
such additional Notes will be identified by one or more separate CUSIP numbers or by no CUSIP number.

 

    - 15 -

     

    

 

Section
2.04. Method of Payment.

 

(A)            
Global Notes. The Company will pay, or cause the Paying Agent to pay, the principal (whether due upon maturity on the Maturity
Date, Redemption on a Redemption Date or repurchase on a Fundamental Change Repurchase Date or otherwise) of, interest on, and any cash
Conversion Consideration for, any Global Note to the Depositary by wire transfer of immediately available funds no later than the time
the same is due as provided in this Indenture.

 

(B)             
Physical Notes. The Company will pay, or cause the Paying Agent to pay, the principal (whether due upon maturity on the
Maturity Date, Redemption on a Redemption Date or repurchase on a Fundamental Change Repurchase Date or otherwise) of, interest on, and
any cash Conversion Consideration for, any Physical Note no later than the time the same is due as provided in this Indenture as follows:
(i) if the principal amount of such Physical Note is at least five million dollars ($5,000,000) (or such lower amount as the Company may
choose in its sole and absolute discretion) and the Holder of such Physical Note entitled to such payment has delivered to the Paying
Agent or the Trustee, no later than the time set forth in the immediately following sentence, a written request that the Company make
such payment by wire transfer to an account of such Holder within the United States specified in such request, by wire transfer of immediately
available funds to such account; and (ii) in all other cases, by check mailed to the address of the Holder of such Physical Note entitled
to such payment as set forth in the Register. To be timely, such written request must be so delivered no later than the Close of Business
on the following date: (x) with respect to the payment of any interest due on an Interest Payment Date, the immediately preceding Regular
Record Date; (y) with respect to any cash Conversion Consideration, the relevant Conversion Date; and (z) with respect to any other payment,
the date that is fifteen (15) calendar days immediately before the date such payment is due.

 

Section
2.05. Accrual of Interest; Defaulted Amounts; When Payment Date is Not a Business Day.

 

(A)             Accrual
of Interest. Each Note will accrue interest at a rate per annum equal to 1.25% (the “Stated Interest”), plus
any Additional Interest and Special Interest that may accrue pursuant to Sections ‎3.04 and ‎7.03,
respectively. Stated Interest on each Note will (i) accrue from, and including, the most recent date to which Stated Interest has
been paid or duly provided for (or, if no Stated Interest has theretofore been paid or duly provided for, the date set forth in the
certificate representing such Note as the date from, and including, which Stated Interest will begin to accrue in such circumstance)
to, but excluding, the date of payment of such Stated Interest; and (ii) be, subject to Sections ‎4.02(D), ‎‎4.03(F) and ‎5.02(D)
(but without duplication of any payment of interest), payable semi-annually in arrears on each Interest Payment Date, beginning on
the first Interest Payment Date set forth in the certificate representing such Note, to the Holder of such Note as of the Close of
Business on the immediately preceding Regular Record Date. Stated Interest, and, if applicable, Additional Interest and Special
Interest, on the Notes will be computed on the basis of a 360-day year comprised of twelve 30-day months.

 

    - 16 -

     

    

 

(B)             
Defaulted Amounts. If the Company fails to pay any amount (a “Defaulted Amount”) payable on a Note on
or before the due date therefor as provided in this Indenture, then, regardless of whether such failure constitutes an Event of Default,
(i) such Defaulted Amount will forthwith cease to be payable to the Holder of such Note otherwise entitled to such payment; (ii) to the
extent lawful, interest (“Default Interest”) will accrue on such Defaulted Amount at a rate per annum equal to the
rate per annum at which Stated Interest accrues, from, and including, such due date to, but excluding, the date of payment of such Defaulted
Amount and Default Interest; (iii) such Defaulted Amount and Default Interest will be paid on a payment date selected by the Company to
the Holder of such Note as of the Close of Business on a special record date selected by the Company, provided that such special
record date must be no more than fifteen (15), nor less than ten (10), calendar days before such payment date; and (iv) at least fifteen
(15) calendar days before such special record date, the Company will send notice to the Trustee and the Holders that states such special
record date, such payment date and the amount of such Defaulted Amount and Default Interest to be paid on such payment date.

 

(C)             
Delay of Payment when Payment Date is Not a Business Day. If the due date for a payment on a Note as provided in this Indenture
is not a Business Day, then, notwithstanding anything to the contrary in this Indenture or the Notes, such payment may be made on the
immediately following Business Day and no interest will accrue on such payment as a result of the related delay. Solely for purposes of
the immediately preceding sentence, a day on which the applicable place of payment is authorized or required by law or executive order
to close or be closed will be deemed not to be a “Business Day.”

 

Section
2.06. Registrar, Paying Agent and Conversion Agent.

 

(A)            
Generally. The Company will maintain (i) an office or agency in the continental United States where Notes may be presented
for registration of transfer or for exchange (the “Registrar”); (ii) an office or agency in the continental United
States where Notes may be presented for payment (the “Paying Agent”); and (iii) an office or agency in the continental
United States where Notes may be presented for conversion (the “Conversion Agent”). If the Company fails to maintain
a Registrar, Paying Agent or Conversion Agent, then the Trustee will act as such and will be entitled to receive compensation therefor
in accordance with this Indenture and any other agreement between the Trustee and the Company. For the avoidance of doubt, the Company
or any of its Subsidiaries may act as Registrar, Paying Agent or Conversion Agent without prior notice to Holders. Any notice to be given
to the Paying Agent or the Conversion Agent under this Indenture shall be deemed delivered to such agent if the Trustee is acting as such
agent and such notice has been provided to the Trustee.

 

(B)             
Duties of the Registrar. The Registrar will keep a record (the “Register”) of the names and addresses
of the Holders, the Notes held by each Holder and the transfer, exchange, repurchase, Redemption and conversion of Notes. Absent manifest
error, the entries in the Register will be conclusive and the Company and the Trustee may treat each Person whose name is recorded as
a Holder in the Register as a Holder for all purposes. The Register will be in written form or in any form capable of being converted
into written form reasonably promptly.

 

    - 17 -

     

    

 

(C)             
 Co-Agents; Company’s Right to Appoint Successor Registrars, Paying Agents and Conversion Agents. The Company may
appoint one or more co-Registrars, co-Paying Agents and co-Conversion Agents, each of whom will be deemed to be a Registrar, Paying Agent
or Conversion Agent, as applicable, under this Indenture. Subject to ‎Section 2.06(A),
the Company may change any Registrar, Paying Agent or Conversion Agent (including appointing itself or any of its Subsidiaries to act
in such capacity) without notice to any Holder. The Company will notify the Trustee (and, upon request, any Holder) of the name and address
of each Note Agent, if any, not a party to this Indenture and will enter into an appropriate agency agreement with each such Note Agent,
which agreement will implement the provisions of this Indenture that relate to such Note Agent.

 

(D)            
Initial Appointments. The Company appoints the Trustee as (and the Trustee’s office in the continental United States
as the location of) the initial Paying Agent, the initial Registrar and the initial Conversion Agent.

 

Section
2.07. Paying Agent and Conversion Agent to Hold Property in Trust.

 

The Company will require each
Paying Agent or Conversion Agent that is not the Trustee to agree in writing that such Note Agent will (A) hold in trust for the benefit
of Holders or the Trustee all money and other property held by such Note Agent for payment or delivery due on the Notes; and (B) notify
the Trustee of any default by the Company in making any such payment or delivery. The Company, at any time, may, and the Trustee, while
any Default continues, may, require a Paying Agent or Conversion Agent to pay or deliver, as applicable, all money and other property
held by it to the Trustee, after which payment or delivery, as applicable, such Note Agent (if not the Company or any of its Subsidiaries)
will have no further liability for such money or property. If the Company or any of its Subsidiaries acts as Paying Agent or Conversion
Agent, then (A) it will segregate and hold in a separate trust fund for the benefit of the Holders or the Trustee all money and other
property held by it as Paying Agent or Conversion Agent; and (B) references in this Indenture or the Notes to the Paying Agent or Conversion
Agent holding cash or other property, or to the delivery of cash or other property to the Paying Agent or Conversion Agent, in each case
for payment or delivery to any Holders or the Trustee or with respect to the Notes, will be deemed to refer to cash or other property
so segregated and held separately, or to the segregation and separate holding of such cash or other property, respectively. Upon the occurrence
of any event pursuant to clause ‎(viii) or ‎(ix)
of ‎Section 7.01(A) with respect to the Company (or with
respect to any Subsidiary of the Company acting as Paying Agent or Conversion Agent), the Trustee will serve as the Paying Agent or Conversion
Agent, as applicable, for the Notes.

 

Section
2.08. Holder Lists.

 

If the Trustee is not the
Registrar, the Company will furnish to the Trustee, no later than seven (7) Business Days before each Interest Payment Date, and at such
other times as the Trustee may request, a list, in such form and as of such date or time as the Trustee may reasonably require, of the
names and addresses of the Holders.

 

    - 18 -

     

    

 

Section
2.09. Legends.

 

(A)            
Global Note Legend. Each Global Note will bear the Global Note Legend (or any similar legend, not inconsistent with this
Indenture, required by the Depositary for such Global Note).

 

(B)             
Non-Affiliate Legend. Each Note will bear the Non-Affiliate Legend.

 

(C)             
Restricted Note Legend. Subject to the other provisions of this Indenture,

 

(i)                
each Note that is a Transfer-Restricted Security will bear the Restricted Note Legend; and

 

(ii)             
if a Note is issued in exchange for, in substitution of, or to effect a partial conversion of, another Note (such other Note being
referred to as the “old Note” for purposes of this ‎Section 2.09(C)(ii)),
including pursuant to Section ‎2.10(B), ‎2.10(C),
‎2.11 or ‎2.12, then such Note will
bear the Restricted Note Legend if such old Note bore the Restricted Note Legend at the time of such exchange or substitution, or on the
related Conversion Date with respect to such conversion, as applicable; provided, however, that such Note need not bear
the Restricted Note Legend if such Note does not constitute a Transfer-Restricted Security immediately after such exchange or substitution,
or as of such Conversion Date, as applicable.

 

(D)            
Other Legends. A Note may bear any other legend or text, not inconsistent with this Indenture, as may be required by applicable
law or by any securities exchange or automated quotation system on which such Note is traded or quoted.

 

(E)             
Acknowledgment and Agreement by the Holders. A Holder’s acceptance of any Note bearing any legend required by this
‎Section 2.09 will constitute such Holder’s acknowledgment of, and agreement to
comply with, the restrictions set forth in such legend.

 

(F)             
Restricted Stock Legend.

 

(i)                
Each Conversion Share will bear the Restricted Stock Legend if the Note upon the conversion of which such Conversion Share was
issued was (or would have been had it not been converted) a Transfer-Restricted Security at the time such Conversion Share was issued;
provided, however, that such Conversion Share need not bear the Restricted Stock Legend if the Company determines, in its
reasonable discretion, that such Conversion Share need not bear the Restricted Stock Legend.

 

(ii)             
Notwithstanding anything to the contrary in this ‎Section 2.09(F), a Conversion
Share need not bear a Restricted Stock Legend if such Conversion Share is issued in an uncertificated form that does not permit affixing
legends thereto, provided the Company takes measures (including the assignment thereto of a “restricted” CUSIP number)
that it reasonably deems appropriate to enforce the transfer restrictions referred to in the Restricted Stock Legend.

 

    - 19 -

     

    

 

Section
2.10. Transfers and Exchanges; Certain Transfer Restrictions.

 

(A)            
Provisions Applicable to All Transfers and Exchanges.

 

(i)                
Generally. Subject to this ‎Section 2.10, Physical Notes and beneficial
interests in Global Notes may be transferred or exchanged from time to time and the Registrar will record each such transfer or exchange
in the Register.

 

(ii)             
Transferred and Exchanged Notes Remain Valid Obligations of the Company. Each Note issued upon transfer or exchange of any
other Note (such other Note being referred to as the “old Note” for purposes of this ‎Section
2.10(A)(ii)) or portion thereof in accordance with this Indenture will be the valid obligation of the Company, evidencing the same
indebtedness, and entitled to the same benefits under this Indenture, as such old Note or portion thereof, as applicable.

 

(iii)           
No Services Charge; Transfer Taxes. The Company, the Trustee and the Note Agents will not impose any service charge on any
Holder for any transfer, exchange or conversion of Notes, but the Company, the Trustee, the Registrar and the Conversion Agent may require
payment of a sum sufficient to cover any transfer tax or similar governmental charge that may be imposed in connection with any transfer,
exchange or conversion of Notes, other than exchanges pursuant to Section ‎2.11,
‎2.16 or ‎8.05 not involving any transfer.

 

(iv)            
Transfers and Exchanges Must Be in Authorized Denominations. Notwithstanding anything to the contrary in this Indenture
or the Notes, a Note may not be transferred or exchanged in part unless the portion to be so transferred or exchanged is in an Authorized
Denomination.

 

(v)              
Trustee’s Disclaimer. The Trustee will have no obligation or duty to monitor, determine or inquire as to compliance
with any transfer restrictions imposed under this Indenture or applicable law with respect to any Security, other than to require the
delivery of such certificates or other documentation or evidence as expressly required by this Indenture and to examine the same to determine
substantial compliance as to form with the requirements of this Indenture.

 

(vi)            
Legends. Each Note issued upon transfer of, or in exchange for, another Note will bear each legend, if any, required by
‎Section 2.09.

 

(vii)         
Settlement of Transfers and Exchanges. Upon satisfaction of the requirements of this Indenture to effect a transfer or exchange
of any Note, the Company will cause such transfer or exchange to be effected as soon as reasonably practicable but in no event later than
the second (2nd) Business Day after the date of such satisfaction.

 

(viii)        Interpretation.
For the avoidance of doubt, and subject to the terms of this Indenture, as used in this ‎Section
2.10, an “exchange” of a Global Note or a Physical Note includes (x) an exchange effected for the sole purpose of
removing any Restricted Note Legend affixed to such Global Note or Physical Note; and (y) if such Global Note or Physical Note is
identified by a “restricted” CUSIP number, an exchange effected for the sole purpose of causing such Global Note or
Physical Note to be identified by an “unrestricted” CUSIP number.

 

(ix)            
Neither the Trustee nor any Note Agent will have any responsibility for any action taken or not taken by the Depositary.

 

    - 20 -

     

    

 

(B)             
Transfers and Exchanges of Global Notes.

 

(i)                
Certain Restrictions. Subject to the immediately following sentence, no Global Note may be transferred or exchanged in whole
except (x) by the Depositary to a nominee of the Depositary; (y) by a nominee of the Depositary to the Depositary or to another nominee
of the Depositary; or (z) by the Depositary or any such nominee to a successor Depositary or a nominee of such successor Depositary. No
Global Note (or any portion thereof) may be transferred to, or exchanged for, a Physical Note; provided, however, that a
Global Note will be exchanged, pursuant to customary procedures, for one or more Physical Notes if:

 

(1)              
(x) the Depositary notifies the Company or the Trustee that the Depositary is unwilling or unable to continue as depositary for
such Global Note or (y) the Depositary ceases to be a “clearing agency” registered under Section 17A of the Exchange Act and,
in each case, the Company fails to appoint a successor Depositary within ninety (90) days of such notice or cessation;

 

(2)              
an Event of Default has occurred and is continuing and the Company, the Trustee or the Registrar has received a written request
from the Depositary, or from a holder of a beneficial interest in such Global Note, to exchange such Global Note or beneficial interest,
as applicable, for one or more Physical Notes; or

 

(3)              
the Company, in its sole discretion, permits the exchange of any beneficial interest in such Global Note for one or more Physical
Notes at the request of the owner of such beneficial interest.

 

(ii)             
Effecting Transfers and Exchanges. Upon satisfaction of the requirements of this Indenture to effect a transfer or exchange
of any Global Note (or any portion thereof):

 

(1)              
the Trustee will reflect any resulting decrease of the principal amount of such Global Note by notation on the “Schedule
of Exchanges of Interests in the Global Note” forming part of such Global Note (and, if such notation results in such Global Note
having a principal amount of zero, the Company may (but is not required to) instruct the Trustee to cancel such Global Note pursuant to
‎Section 2.14);

 

(2)              
if required to effect such transfer or exchange, then the Trustee will reflect any resulting increase of the principal amount of
any other Global Note by notation on the “Schedule of Exchanges of Interests in the Global Note” forming part of such other
Global Note;

 

    - 21 -

     

    

 

(3)              
 if required to effect such transfer or exchange, then the Company will issue, execute and deliver, and the Trustee will authenticate,
in each case in accordance with ‎Section 2.02, a new Global Note bearing
each legend, if any, required by ‎Section 2.09; and

 

(4)              
if such Global Note (or such portion thereof), or any beneficial interest therein, is to be exchanged for one or more Physical
Notes, then the Company will issue, execute and deliver, and the Trustee will authenticate, in each case in accordance with ‎Section
2.02, one or more Physical Notes that (x) are in Authorized Denominations and have an aggregate principal amount equal to the principal
amount of such Global Note to be so exchanged; (y) are registered in such name(s) as the Depositary specifies (or as otherwise determined
pursuant to customary procedures); and (z) bear each legend, if any, required by ‎Section
2.09.

 

(iii)           
Compliance with Depositary Procedures. Each transfer or exchange of a beneficial interest in any Global Note will be made
in accordance with the Depositary Procedures.

 

(C)             
Transfers and Exchanges of Physical Notes.

 

(i)                
Requirements for Transfers and Exchanges. Subject to this ‎Section 2.10,
a Holder of a Physical Note may (x) transfer such Physical Note (or any portion thereof in an Authorized Denomination) to one or more
other Person(s); (y) exchange such Physical Note (or any portion thereof in an Authorized Denomination) for one or more other Physical
Notes in Authorized Denominations having an aggregate principal amount equal to the aggregate principal amount of the Physical Note (or
portion thereof) to be so exchanged; and (z) if then permitted by the Depositary Procedures, transfer such Physical Note (or any portion
thereof in an Authorized Denomination) in exchange for a beneficial interest in one or more Global Notes; provided, however,
that, to effect any such transfer or exchange, such Holder must:

 

(1)            surrender
such Physical Note to be transferred or exchanged to the office of the Registrar, together with any endorsements or transfer instruments
reasonably required by the Company, the Trustee or the Registrar; and

 

(2)              
deliver such certificates, documentation or evidence as may be required pursuant to ‎Section
2.10(D).

 

(ii)             
Effecting Transfers and Exchanges. Upon the satisfaction of the requirements of this Indenture to effect a transfer or exchange
of any Physical Note (such Physical Note being referred to as the “old Physical Note” for purposes of this ‎Section
2.10(C)(ii)) of a Holder (or any portion of such old Physical Note in an Authorized Denomination):

 

(1)              
such old Physical Note will be promptly cancelled pursuant to ‎Section
2.14;

 

(2)              
 if such old Physical Note is to be so transferred or exchanged only in part, then the Company will issue, execute and deliver,
and the Trustee will authenticate, in each case in accordance with ‎Section
2.02, one or more Physical Notes that (x) are in Authorized Denominations and have an aggregate principal amount equal to the principal
amount of such old Physical Note not to be so transferred or exchanged; (y) are registered in the name of such Holder; and (z) bear each
legend, if any, required by ‎Section 2.09;

 

    - 22 -

     

    

 

(3)              
in the case of a transfer:

 

(a)              
to the Depositary or a nominee thereof that will hold its interest in such old Physical Note (or such portion thereof) to be so
transferred in the form of one or more Global Notes, the Trustee will reflect an increase of the principal amount of one or more existing
Global Notes by notation on the “Schedule of Exchanges of Interests in the Global Note” forming part of such Global Note(s),
which increase(s) are in Authorized Denominations and aggregate to the principal amount to be so transferred, and which Global Note(s)
bear each legend, if any, required by ‎Section 2.09; provided, however,
that if such transfer cannot be so effected by notation on one or more existing Global Notes (whether because no Global Notes bearing
each legend, if any, required by ‎Section 2.09 then exist, because any such increase
will result in any Global Note having an aggregate principal amount exceeding the maximum aggregate principal amount permitted by the
Depositary or otherwise), then the Company will issue, execute and deliver, and the Trustee will authenticate, in each case in accordance
with ‎Section 2.02, one or more Global Notes that (x) are in Authorized Denominations
and have an aggregate principal amount equal to the principal amount to be so transferred; and (y) bear each legend, if any, required
by ‎Section 2.09; and

 

(b)              
to a transferee that will hold its interest in such old Physical Note (or such portion thereof) to be so transferred in the form
of one or more Physical Notes, the Company will issue, execute and deliver, and the Trustee will authenticate, in each case in accordance
with ‎Section 2.02, one or more Physical Notes that (x) are in Authorized Denominations
and have an aggregate principal amount equal to the principal amount to be so transferred; (y) are registered in the name of such transferee;
and (z) bear each legend, if any, required by ‎Section 2.09; and

 

(4)              
in the case of an exchange, the Company will issue, execute and deliver, and the Trustee will authenticate, in each case in accordance
with ‎Section 2.02, one or more Physical Notes that (x) are in Authorized
Denominations and have an aggregate principal amount equal to the principal amount to be so exchanged; (y) are registered in the name
of the Person to whom such old Physical Note was registered; and (z) bear each legend, if any, required by ‎Section
2.09.

 

    - 23 -

     

    

 

(D)            
 Requirement to Deliver Documentation and Other Evidence. If a Holder of any Note that is identified by a “restricted”
CUSIP number or that bears a Restricted Note Legend or is a Transfer-Restricted Security requests to:

 

(i)                
cause such Note to be identified by an “unrestricted” CUSIP number;

 

(ii)             
remove such Restricted Note Legend; or

 

(iii)           
register the transfer of such Note to the name of another Person,

 

then the Company, the Trustee and the Registrar
may refuse to effect such identification, removal or transfer, as applicable, unless there is delivered to the Company, the Trustee and
the Registrar such certificates or other documentation or evidence as the Company, the Trustee and the Registrar may reasonably require
in order for the Company to determine that such identification, removal or transfer, as applicable, complies with the Securities Act and
other applicable securities laws; provided, however, that, without limiting ‎Section
2.10(E), no such certificates, documentation or evidence (other than a written request in the form contemplated by ‎Section
2.10(E)) need be so delivered on or and after the date that is six (6) months after the Last Original Issue Date of such Note if the
requirements of Rule 144(c) and (i) are then satisfied with respect to the Company (and neither the Trustee nor the Registrar will have
any responsibility or liability for determining whether such requirements have been satisfied).

 

(E)             
Certain De-Legending Procedures. If a Holder of any Note or share of Common Stock issued upon conversion of any Note, or
an owner of a beneficial interest in any Global Note, or in a global certificate representing any share of Common Stock issued upon conversion
of any Note, transfers such Note or share in compliance with Rule 144 and delivers to the Company a written request in customary form
(including a certification that it is not, and has not been at any time during the preceding three (3) months, an Affiliate of the Company)
to reissue such Note or share without a Restricted Note Legend or Restricted Stock Legend, as applicable, then the Company will cause
the same to occur (and, if applicable, cause such Note or share to thereafter be represented by an “unrestricted” CUSIP or
ISIN number in the facilities of the related depositary), and will use its commercially reasonable efforts to cause the same to occur
within two (2) Trading Days of such request.

 

(F)             
Transfers of Notes Subject to Redemption, Repurchase or Conversion. Notwithstanding anything to the contrary in this Indenture
or the Notes, the Company, the Trustee and the Registrar will not be required to register the transfer of or exchange any Note that (i)
has been surrendered for conversion, except to the extent that any portion of such Note is not subject to conversion; (ii) is subject
to a Fundamental Change Repurchase Notice validly delivered, and not withdrawn, pursuant to Section ‎4.02(F),
except to the extent that any portion of such Note is not subject to such notice or the Company fails to pay the applicable Fundamental
Change Repurchase Price when due; or (iii) has been selected for Redemption pursuant to a Redemption Notice, except to the extent that
any portion of such Note is not subject to Redemption or the Company fails to pay the applicable Redemption Price when due.

 

    - 24 -

     

    

 

Section
2.11. Exchange and Cancellation of Notes to Be Converted, Redeemed or Repurchased.

 

(A)            
Partial Conversions, Redemptions and Repurchases of Physical Notes. If only a portion of a Physical Note of a Holder is
to be converted pursuant to ‎Article 5 or repurchased pursuant to a Repurchase Upon
Fundamental Change or Redemption, then, as soon as reasonably practicable after such Physical Note is surrendered for such conversion,
Redemption or repurchase, the Company will cause such Physical Note to be exchanged, pursuant and subject to ‎Section
2.10(C), for (i) one or more Physical Notes that are in Authorized Denominations and have an aggregate principal amount equal to the
principal amount of such Physical Note that is not to be so converted, redeemed or repurchased, as applicable, and deliver such Physical
Note(s) to such Holder; and (ii) a Physical Note having a principal amount equal to the principal amount to be so converted, redeemed
or repurchased, as applicable, which Physical Note will be converted, redeemed or repurchased, as applicable, pursuant to the terms of
this Indenture; provided, however, that the Physical Note referred to in this clause (ii) need not be issued at any
time after which such principal amount subject to such conversion, Redemption or repurchase, as applicable, is deemed to cease to be outstanding
pursuant to ‎Section 2.17.

 

(B)             
Cancellation of Converted, Redeemed and Repurchased Notes.

 

(i)                
Physical Notes. If a Physical Note (or any portion thereof that has not theretofore been exchanged pursuant to ‎Section
2.11) of a Holder is to be converted pursuant to ‎Article 5 or repurchased pursuant
to a Repurchase Upon Fundamental Change or Redemption, then, promptly after the later of the time such Physical Note (or such portion)
is deemed to cease to be outstanding pursuant to ‎Section 2.17 and the time such Physical
Note is surrendered for such conversion or repurchase, as applicable, (1) such Physical Note will be cancelled pursuant to ‎Section
2.14; and (2) in the case of a partial conversion, Redemption or repurchase, the Company will issue, execute and deliver to such Holder,
and the Trustee will authenticate, in each case in accordance with ‎Section 2.02, one
or more Physical Notes that (x) are in Authorized Denominations and have an aggregate principal amount equal to the principal amount of
such Physical Note that is not to be so converted, redeemed or repurchased; (y) are registered in the name of such Holder; and (z) bear
each legend, if any, required by ‎Section 2.09.

 

(ii)             
Global Notes. If a Global Note (or any portion thereof) is to be converted pursuant to ‎Article
5 or repurchased pursuant to a Repurchase Upon Fundamental Change or subject to Redemption, then, promptly after the time such Note
(or such portion) is deemed to cease to be outstanding pursuant to ‎Section 2.17, the
Trustee will reflect a decrease of the principal amount of such Global Note in an amount equal to the principal amount of such Global
Note to be so converted, redeemed or repurchased, as applicable, by notation on the “Schedule of Exchanges of Interests in the Global
Note” forming part of such Global Note (and, if the principal amount of such Global Note is zero following such notation, cancel
such Global Note pursuant to ‎Section 2.14).

 

    - 25 -

     

    

 

Section
2.12. Replacement Notes.

 

If a Holder of any Note claims
that such Note has been mutilated, lost, destroyed or wrongfully taken, then the Company will issue, execute and deliver, and the Trustee
will authenticate, in each case in accordance with ‎Section 2.02,
a replacement Note upon surrender to the Trustee of such mutilated Note, or upon delivery to the Trustee of evidence of such loss, destruction
or wrongful taking reasonably satisfactory to the Trustee and the Company. In the case of a lost, destroyed or wrongfully taken Note,
the Company and the Trustee may require the Holder thereof to provide such security or indemnity that is satisfactory to the Company and
the Trustee, as applicable, to protect the Company and the Trustee and that is reasonably satisfactory to the Trustee to protect from
any loss that any of them may suffer if such Note is replaced.

 

Every replacement Note issued
pursuant to this ‎Section 2.12 will be an
additional obligation of the Company and will be entitled to all of the benefits of this Indenture equally and ratably with all other
Notes issued under this Indenture, whether or not the lost, destroyed or wrongfully taken Note will at any time be enforceable by anyone.

 

Section
2.13. Registered Holders; Certain Rights with Respect to Global Notes.

 

Only the Holder of a Note
will have rights under this Indenture as the owner of such Note. Without limiting the generality of the foregoing, Depositary Participants
will have no rights as such under this Indenture with respect to any Global Note held on their behalf by the Depositary or its nominee,
or by the Trustee as its custodian, and the Company, the Trustee and the Note Agents, and their respective agents, may treat the Depositary
as the absolute owner of such Global Note for all purposes whatsoever; provided, however, that (A) the Holder of any Global
Note may grant proxies and otherwise authorize any Person, including Depositary Participants and Persons that hold interests in Notes
through Depositary Participants, to take any action that such Holder is entitled to take with respect to such Global Note under this Indenture
or the Notes; and (B) the Company and the Trustee, and their respective agents, may give effect to any written certification, proxy or
other authorization furnished by the Depositary.

 

Section
2.14. Cancellation.

 

Without limiting the generality
of ‎Section 3.07, the Company may at any time deliver Notes
to the Trustee for cancellation. The Registrar, the Paying Agent and the Conversion Agent will forward to the Trustee each Note duly surrendered
to them for transfer, exchange, payment or conversion. The Trustee will promptly cancel all Notes so surrendered to it in accordance with
its customary procedures. Without limiting the generality of ‎Section
2.03(B), the Company may not originally issue new Notes to replace Notes that it has paid or that have been cancelled upon transfer,
exchange, payment or conversion.

 

Section
2.15. Notes Held by the Company or its Affiliates.

 

Without limiting the
generality of Sections ‎2.17 and ‎3.07,
in determining whether the Holders of the required aggregate principal amount of Notes have concurred in any direction, waiver or
consent or other action under this Indenture, Notes owned by the Company or any of its Affiliates will be deemed not to be
outstanding; provided, however, that, for purposes of determining whether the Trustee is protected in relying on any
such direction, waiver or consent or other action under this Indenture, only Notes that a Responsible Officer of the Trustee knows
are so owned will be so disregarded.

 

    - 26 -

     

    

 

Section
2.16. Temporary Notes.

 

Until definitive Notes are
ready for delivery, the Company may issue, execute and deliver, and the Trustee will authenticate, in each case in accordance with ‎Section
2.02, temporary Notes. Temporary Notes will be substantially in the form of definitive Notes but may have variations that the Company
considers appropriate for temporary Notes. The Company will promptly prepare, issue, execute and deliver, and the Trustee will authenticate,
in each case in accordance with ‎Section 2.02, definitive
Notes in exchange for temporary Notes. Until so exchanged, each temporary Note will in all respects be entitled to the same benefits under
this Indenture as definitive Notes.

 

Section
2.17. Outstanding Notes.

 

(A)            
Generally. The Notes that are outstanding at any time will be deemed to be those Notes that, at such time, have been duly
executed and authenticated, excluding those Notes (or portions thereof) that have theretofore been (i) cancelled by the Trustee or delivered
to the Trustee for cancellation in accordance with ‎Section 2.14; (ii) assigned a principal
amount of zero by notation on the “Schedule of Exchanges of Interests in the Global Note” forming part of any a Global Note
representing such Note; (iii) paid in full (including upon conversion) in accordance with this Indenture; (iv) deemed to cease to be outstanding
to the extent provided in, and subject to, clause ‎(B), ‎(C)
or ‎(D) of this ‎Section 2.17; or
(v) deemed not to be outstanding pursuant to ‎Section 2.15.

 

(B)             
Replaced Notes. If a Note is replaced pursuant to ‎Section 2.12, then
such Note will cease to be outstanding at the time of its replacement, unless the Trustee and the Company receive proof reasonably satisfactory
to them that such Note is held by a “bona fide purchaser” under applicable law.

 

(C)             
Maturing Notes and Notes Called for Redemption or Subject to Repurchase. If, on a Redemption Date, a Fundamental Change
Repurchase Date or the Maturity Date, the Paying Agent holds money sufficient to pay the aggregate Redemption Price, Fundamental Change
Repurchase Price or principal amount, respectively, together, in each case, with the aggregate interest, in each case due on such date,
then (unless there occurs a Default in the payment of any such amount) (i) the Notes (or portions thereof) to be redeemed or repurchased,
or that mature, on such date will be deemed, as of such date, to cease to be outstanding, except to the extent provided in Sections
‎4.02(D), ‎‎4.03(F) or ‎5.02(D);
and (ii) the rights of the Holders of such Notes (or such portions thereof), as such, will terminate with respect to such Notes (or such
portions thereof), other than the right to receive the Redemption Price, Fundamental Change Repurchase Price or principal amount, as applicable,
of, and accrued and unpaid interest on, such Notes (or such portions thereof), in each case as provided in this Indenture.

 

(D)             Notes
to Be Converted. At the Close of Business on the Conversion Date for any Note (or any portion thereof) to be converted, such
Note (or such portion) will (unless there occurs a Default in the delivery of the Conversion Consideration or interest due, pursuant
to ‎Section 5.03(B) or ‎Section
5.02(D), upon such conversion) be deemed to cease to be outstanding, except to the extent provided in ‎Section
5.02(D) or ‎Section 5.08.

 

    - 27 -

     

    

 

(E)             
Cessation of Accrual of Interest. Except as provided in Sections ‎4.02(D),
‎4.03(F) or ‎5.02(D), interest will
cease to accrue on each Note from, and including, the date that such Note is deemed, pursuant to this ‎Section
2.17, to cease to be outstanding, unless there occurs a default in the payment or delivery of any cash or other property due on such
Note.

 

Section
2.18. Repurchases by the Company.

 

Without limiting the generality
of Sections ‎2.14 and ‎3.07,
the Company may, from time to time, repurchase Notes in open market purchases or in negotiated transactions without delivering prior notice
to Holders.

 

Section
2.19. CUSIP and ISIN Numbers.

 

Subject to the provisions
of this Indenture, the Company may use one or more CUSIP or ISIN numbers to identify any of the Notes, and, if so, the Company and the
Trustee will use such CUSIP or ISIN number(s) in notices to Holders; provided, however, that (i) the Trustee makes no representation
as to the correctness or accuracy of any such CUSIP or ISIN number; and (ii) the effectiveness of any such notice will not be affected
by any defect in, or omission of, any such CUSIP or ISIN number. The Company will promptly notify the Trustee of any change in the CUSIP
or ISIN number(s) identifying any Notes.

 

Article
3             
Covenants

 

Section
3.01. Payment on Notes.

 

(A)            
Generally. The Company will pay or cause to be paid all the principal of, the Fundamental Change Repurchase Price and Redemption
Price for, interest on, and other amounts due with respect to, the Notes on the dates and in the manner set forth in this Indenture.

 

(B)             
Deposit of Funds. Before 11:00 A.M., New York City time, on each Redemption Date, Fundamental Change Repurchase Date or
Interest Payment Date, and on the Maturity Date or any other date on which any cash amount is due on the Notes, the Company will deposit,
or will cause there to be deposited, with the Paying Agent cash, in funds immediately available on such date, sufficient to pay the cash
amount due on the applicable Notes on such date. The Paying Agent will return to the Company, as soon as practicable, any money not required
for such purpose.

 

Section
3.02. Exchange Act Reports.

 

(A)             Generally.
The Company will send to the Trustee copies of all reports that the Company is required to file with the SEC pursuant to Section
13(a) or 15(d) of the Exchange Act (other than current reports on Form 8-K (or any successor form)) within fifteen (15) calendar
days after the date that the Company is required to file the same (after giving effect to all applicable grace periods under the
Exchange Act); provided, however, that the Company need not send to the Trustee any material for which the Company has
received, or is seeking in good faith and has not been denied, confidential treatment by the SEC. Any report that the Company files
with the SEC through the EDGAR system (or any successor thereto) will be deemed to be sent to the Trustee at the time such report is
so filed via the EDGAR system (or such successor). Upon the request of any Holder, the Company will provide to such Holder a copy of
any report that the Company has sent the Trustee pursuant to this ‎Section
3.02(A), other than a report that is deemed to be sent to the Trustee pursuant to the preceding sentence.

 

    - 28 -

     

    

 

(B)             
Trustee’s Disclaimer. The Trustee will not be responsible for determining whether the Company has filed any material
via the EDGAR system (or such successor) or for the timeliness of its content. The sending or filing of reports, information and documents
pursuant to ‎Section 3.02(A) is for informational purposes only and the information
and the Trustee’s receipt of the foregoing will not be deemed to constitute actual or constructive notice to the Trustee of any
information contained, or determinable from information contained, therein, including the Company’s compliance with any of its covenants
under this Indenture (as to which the Trustee is entitled to rely exclusively on an Officer’s Certificate). The Trustee will have
no obligation whatsoever to monitor or confirm, on a continuing basis or otherwise, the Company’s compliance with its covenants
under this Indenture or with respect to any reports or other documents filed with the SEC via the EDGAR system (or any successor thereto)
or any other website, or to participate in any conference calls.

 

Section
3.03. Rule 144A Information.

 

If the Company is not subject
to Section 13 or 15(d) of the Exchange Act at any time when any Notes or shares of Common Stock issuable upon conversion of the Notes
are outstanding and constitute “restricted securities” (as defined in Rule 144), then the Company (or its successor) will
promptly provide, to the Trustee and, upon written request, to any Holder, beneficial owner or prospective purchaser of such Notes or
shares, the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act to facilitate the resale of such
Notes or shares pursuant to Rule 144A. The Company (or its successor) will take such further action as any Holder or beneficial owner
of such Notes or shares may reasonably request to enable such Holder or beneficial owner to sell such Notes or shares pursuant to Rule
144A.

 

Section
3.04. Additional Interest.

 

(A)            
Accrual of Additional Interest. If, on any day occurring on or after the date that is the later of (x) six (6) months
after the Last Original Issue Date of any Note and (y) July 26, 2022,

 

(i)                
the Company has not satisfied the reporting conditions (including, for the avoidance of doubt, the requirement for current Form
10 information) set forth in Rule 144(c) and (i)(2) under the Securities Act; or

 

(ii)             
such Note is not otherwise Freely Tradable,

 

then Additional Interest will accrue on such Note
for such day.

 

    - 29 -

     

    

 

(B)             
 Amount and Payment of Additional Interest. Any Additional Interest that accrues on a Note pursuant to ‎Section
3.04(A) will be payable on the same dates and in the same manner as the Stated Interest on such Note and will accrue at a rate per
annum equal to one half of one percent (0.50%) of the principal amount thereof; provided, however, that in no event will
Additional Interest, together with any Special Interest, accrue on any day on a Note at a combined rate per annum that exceeds one percent
(1.00%). For the avoidance of doubt, any Additional Interest that accrues on a Note will be in addition to the Stated Interest that accrues
on such Note and, subject to the proviso of the immediately preceding sentence, in addition to any Special Interest that accrues on such
Note.

 

(C)             
Notice of Accrual of Additional Interest; Trustee’s Disclaimer. The Company will send written notice to the Holder
of each Note, and to the Trustee, of the commencement and termination of any period in which Additional Interest accrues on such Note.
In addition, if Additional Interest accrues on any Note, then, no later than five (5) Business Days before each date on which such Additional
Interest is to be paid, the Company will deliver an Officer’s Certificate to the Trustee and the Paying Agent stating (i) that the
Company is obligated to pay Additional Interest on such Note on such date of payment; and (ii) the amount of such Additional Interest
that is payable on such date of payment. The Trustee will have no duty to determine whether any Additional Interest is payable or the
amount thereof.

 

(D)            
Exclusive Remedy. The accrual of Additional Interest will be the exclusive remedy available to Holders for the failure of
their Notes to become Freely Tradable.

 

Section
3.05. Compliance and Default Certificates.

 

(A)            
Annual Compliance Certificate. Within ninety (90) days after December 31, 2021 and each fiscal year of the Company ending
thereafter, the Company will deliver an Officer’s Certificate to the Trustee stating (i) that the signatory thereto has supervised
a review of the activities of the Company and its Subsidiaries during such fiscal year with a view towards determining whether any Default
or Event of Default has occurred; and (ii) whether, to such signatory’s knowledge, a Default or Event of Default has occurred or
is continuing (and, if so, describing all such Defaults or Events of Default and what action the Company is taking or proposes to take
with respect thereto).

 

(B)             
Default Certificate. If a Default or Event of Default occurs, then the Company will promptly deliver an Officer’s
Certificate to the Trustee describing the same and what action the Company is taking or proposes to take with respect thereto.

 

Section
3.06. Stay, Extension and Usury Laws.

 

To the extent that it may
lawfully do so, the Company (A) agrees that it will not at any time insist upon, plead, or in any manner whatsoever claim or take the
benefit or advantage of, any stay, extension or usury law (wherever or whenever enacted or in force) that may affect the covenants or
the performance of this Indenture; and (B) expressly waives all benefits or advantages of any such law and agrees that it will not, by
resort to any such law, hinder, delay or impede the execution of any power granted to the Trustee by this Indenture, but will suffer and
permit the execution of every such power as though no such law has been enacted.

 

    - 30 -

     

    

 

Section
3.07. Restriction on Acquisition of Notes by the Company and its Affiliates.

 

The Company will promptly
deliver to the Trustee for cancellation all Notes that the Company or any of its Subsidiaries has purchased or otherwise acquired. The
Company will use commercially reasonable efforts to prevent any of its controlled Affiliates from acquiring any Note (or any beneficial
interest therein).

 

Article
4             
Repurchase and Redemption

 

Section
4.01. No Sinking Fund.

 

No sinking fund is required
to be provided for the Notes.

 

Section
4.02. Right of Holders to Require the Company to Repurchase Notes upon a Fundamental Change.

 

(A)            
Right of Holders to Require the Company to Repurchase Notes Upon a Fundamental Change. Subject to the other terms of this
‎Section 4.02, if a Fundamental Change occurs, then each Holder will have the right
(the “Fundamental Change Repurchase Right”) to require the Company to repurchase such Holder’s Notes (or any
portion thereof in an Authorized Denomination) on the Fundamental Change Repurchase Date for such Fundamental Change for a cash purchase
price equal to the Fundamental Change Repurchase Price.

 

(B)             
Repurchase Prohibited in Certain Circumstances. If the principal amount of the Notes has been accelerated and such acceleration
has not been rescinded on or before the Fundamental Change Repurchase Date for a Repurchase Upon Fundamental Change (including as a result
of the payment of the related Fundamental Change Repurchase Price, and any related interest pursuant to the proviso to the first sentence
of ‎Section 4.02(D), on such Fundamental Change Repurchase Date), then (i) the Company
may not repurchase any Notes pursuant to this ‎Section 4.02; and (ii) the Company will
cause any Notes theretofore surrendered for such Repurchase Upon Fundamental Change to be returned to the Holders thereof (or, if applicable
with respect to Global Notes, cancel any instructions for book-entry transfer to the Company, the Trustee or the Paying Agent of the applicable
beneficial interest in such Notes in accordance with the Depositary Procedures).

 

(C)             
Fundamental Change Repurchase Date. The Fundamental Change Repurchase Date for any Fundamental Change will be a Business
Day of the Company’s choosing that is no more than thirty five (35), nor less than twenty (20), Business Days after the date the
Company sends the related Fundamental Change Notice pursuant to ‎Section 4.02(E).

 

    - 31 -

     

    

 

(D)             Fundamental
Change Repurchase Price. The Fundamental Change Repurchase Price for any Note to be repurchased upon a Repurchase Upon
Fundamental Change following a Fundamental Change is an amount in cash equal to the principal amount of such Note plus accrued and
unpaid interest on such Note to, but excluding, the Fundamental Change Repurchase Date for such Fundamental Change; provided, however,
that if such Fundamental Change Repurchase Date is after a Regular Record Date and on or before the next Interest Payment Date, then
(i) the Holder of such Note at the Close of Business on such Regular Record Date will be entitled, notwithstanding such Repurchase
Upon Fundamental Change, to receive, on or, at the Company’s election, before such Interest Payment Date, the unpaid interest
that would have accrued on such Note to, but excluding, such Interest Payment Date (assuming, solely for these purposes, that such
Note remained outstanding through such Interest Payment Date, if such Fundamental Change Repurchase Date is before such Interest
Payment Date); and (ii) the Fundamental Change Repurchase Price will not include accrued and unpaid interest on such Note to, but
excluding, such Fundamental Change Repurchase Date. For the avoidance of doubt, if an Interest Payment Date is not a Business Day
within the meaning of ‎Section 2.05(C) and such Fundamental Change Repurchase Date
occurs on the Business Day immediately after such Interest Payment Date, then (x) accrued and unpaid interest on Notes to, but
excluding, such Interest Payment Date will be paid, in accordance with ‎Section
2.05(C), on the next Business Day to Holders as of the Close of Business on the immediately preceding Regular Record Date; and
(y) the Fundamental Change Repurchase Price will include interest on Notes to be repurchased from, and including, such Interest
Payment Date to, but excluding, such Fundamental Change Repurchase Date.

 

(E)             
Fundamental Change Notice. On or before the twentieth (20th) calendar day after the effective date of a Fundamental Change,
the Company will send to each Holder in writing, with a copy to the Trustee, the Paying Agent and the Conversion Agent a notice of such
Fundamental Change (a “Fundamental Change Notice”).

 

Such Fundamental
Change Notice must state:

 

(i)                
briefly, the events causing such Fundamental Change;

 

(ii)             
the effective date of such Fundamental Change;

 

(iii)           
the procedures that a Holder must follow to require the Company to repurchase its Notes pursuant to this ‎Section
4.02, including the deadline for exercising the Fundamental Change Repurchase Right and the procedures for submitting and withdrawing
a Fundamental Change Repurchase Notice;

 

(iv)            
the Fundamental Change Repurchase Date for such Fundamental Change;

 

(v)              
the Fundamental Change Repurchase Price per $1,000 principal amount of Notes for such Fundamental Change (and, if such Fundamental
Change Repurchase Date is after a Regular Record Date and on or before the next Interest Payment Date, the amount, manner and timing of
the interest payment payable pursuant to the proviso to ‎Section 4.02(D));

 

(vi)            
the name and address of the Paying Agent and the Conversion Agent;

 

(vii)         
the Conversion Rate in effect on the date of such Fundamental Change Notice and a description and quantification of any adjustments
to the Conversion Rate that may result from such Fundamental Change (including pursuant to ‎Section
5.07);

 

    - 32 -

     

    

 

(viii)       
 that Notes for which a Fundamental Change Repurchase Notice has been duly tendered and not duly withdrawn must be delivered to
the Paying Agent for the Holder thereof to be entitled to receive the Fundamental Change Repurchase Price;

 

(ix)            
that Notes (or any portion thereof) that are subject to a Fundamental Change Repurchase Notice that has been duly tendered may
be converted only if such Fundamental Change Repurchase Notice is withdrawn in accordance with this Indenture; and

 

(x)              
the CUSIP and ISIN numbers, if any, of the Notes.

 

Neither the failure to deliver
a Fundamental Change Notice nor any defect in a Fundamental Change Notice will limit the Fundamental Change Repurchase Right of any Holder
or otherwise affect the validity of any proceedings relating to any Repurchase Upon Fundamental Change.

 

(F)             
Procedures to Exercise the Fundamental Change Repurchase Right.

 

(i)                
Delivery of Fundamental Change Repurchase Notice and Notes to Be Repurchased. To exercise its Fundamental Change Repurchase
Right for a Note following a Fundamental Change, the Holder thereof must deliver to the Paying Agent:

 

(1)              
before the Close of Business on the Business Day immediately before the related Fundamental Change Repurchase Date (or such later
time as may be required by law), a duly completed, written Fundamental Change Repurchase Notice with respect to such Note; and

 

(2)              
such Note, duly endorsed for transfer (if such Note is a Physical Note) or by book-entry transfer (if such Note is a Global Note).

 

The Paying Agent will promptly deliver
to the Company a copy of each Fundamental Change Repurchase Notice that it receives.

 

(ii)             
Contents of Fundamental Change Repurchase Notices. Each Fundamental Change Repurchase Notice with respect to a Note must
state:

 

(1)              
if such Note is a Physical Note, the certificate number of such Note;

 

(2)              
the principal amount of such Note to be repurchased, which must be an Authorized Denomination; and

 

(3)              
that such Holder is exercising its Fundamental Change Repurchase Right with respect to such principal amount of such Note;

 

provided, however,
that if such Note is a Global Note, then such Fundamental Change Repurchase Notice must comply with the Depositary Procedures (and
any such Fundamental Change Repurchase Notice delivered in compliance with the Depositary Procedures will be deemed to satisfy the
requirements of this ‎Section 4.02(F)).

 

    - 33 -

     

    

 

(iii)           
Withdrawal of Fundamental Change Repurchase Notice. A Holder that has delivered a Fundamental Change Repurchase Notice with
respect to a Note may withdraw such Fundamental Change Repurchase Notice by delivering a written notice of withdrawal to the Paying Agent
at any time before the Close of Business on the Business Day immediately before the related Fundamental Change Repurchase Date. Such withdrawal
notice must state:

 

(1)              
if such Note is a Physical Note, the certificate number of such Note;

 

(2)              
the principal amount of such Note to be withdrawn, which must be an Authorized Denomination; and

 

(3)              
the principal amount of such Note, if any, that remains subject to such Fundamental Change Repurchase Notice, which must be an
Authorized Denomination;

 

provided, however, that
if such Note is a Global Note, then such withdrawal notice must comply with the Depositary Procedures (and any such withdrawal notice
delivered in compliance with the Depositary Procedures will be deemed to satisfy the requirements of this ‎Section 4.02(F)).

 

Upon receipt of any such withdrawal
notice with respect to a Note (or any portion thereof), the Paying Agent will (x) promptly deliver a copy of such withdrawal notice to
the Company; and (y) if such Note is surrendered to the Paying Agent, cause such Note (or such portion thereof in accordance with ‎Section
2.11, treating such Note as having been then surrendered for partial repurchase in the amount set forth in such withdrawal notice
as remaining subject to repurchase) to be returned to the Holder thereof (or, if applicable with respect to any Global Note, cancel any
instructions for book-entry transfer to the Company, the Trustee or the Paying Agent of the applicable beneficial interest in such Note
in accordance with the Depositary Procedures).

 

(G)             Payment
of the Fundamental Change Repurchase Price. Without limiting the Company’s obligation to deposit the Fundamental Change
Repurchase Price within the time proscribed by ‎Section 3.01(B), the Company will
cause the Fundamental Change Repurchase Price for a Note (or portion thereof) to be repurchased pursuant to a Repurchase Upon
Fundamental Change to be paid to the Holder thereof on or before the later of (i) the applicable Fundamental Change Repurchase Date;
and (ii) the date (x) such Note is delivered to the Paying Agent (in the case of a Physical Note) or (y) the Depositary Procedures
relating to the repurchase, and the delivery to the Paying Agent, of such Holder’s beneficial interest in such Note to be
repurchased are complied with (in the case of a Global Note). For the avoidance of doubt, interest payable pursuant to the proviso
to ‎Section 4.02(D) on any Note to be repurchased pursuant to a Repurchase Upon
Fundamental Change must be paid pursuant to such proviso regardless of whether such Note is delivered or such Depositary Procedures
are complied with pursuant to the first sentence of this ‎Section 4.02(G).

 

    - 34 -

     

    

 

(H)            
Third Party May Conduct Repurchase Offer In Lieu of the Company. Notwithstanding anything to the contrary in this ‎Section
4.02, the Company will be deemed to satisfy its obligations under this ‎Section 4.02
if one or more third parties conduct any Repurchase Upon Fundamental Change and related offer to repurchase Notes otherwise required by
this ‎Section 4.02 in the same manner, at the same time
and otherwise in compliance with the requirements for an offer made by the Company as provided in this ‎Section
4.02 that would have satisfied the requirements of this ‎Section 4.02 if conducted
directly by the Company.

 

(I)               
No Requirement to Conduct an Offer to Repurchase Notes if the Fundamental Change Results in the Notes Becoming Convertible into
an Amount of Cash Exceeding the Fundamental Change Repurchase Price. Notwithstanding anything to the contrary in this ‎Section
4.02, the Company will not be required to send a Fundamental Change Notice pursuant to ‎Section
4.02(E), or offer to repurchase or repurchase any Notes pursuant to this ‎Section 4.02,
in connection with a Common Stock Change Event that constitutes a Fundamental Change pursuant to clause (B)(ii) of the definition
thereof (regardless of whether such Common Stock Change Event also constitutes a Fundamental Change pursuant to any other clause of such
definition), if (i) the Reference Property of such Common Stock Change Event consists entirely of cash in U.S. dollars; (ii) immediately
after such Fundamental Change, the Notes become convertible, pursuant to ‎Section 5.09(A)
and, if applicable, ‎Section 5.07, into consideration that consists solely of U.S. dollars in an amount per $1,000 aggregate
principal amount of Notes that equals or exceeds the Fundamental Change Repurchase Price per $1,000 aggregate principal amount of Notes
(calculated assuming that the same includes the maximum amount of accrued interest payable as part of the related Fundamental Change Repurchase
Price); and (iii) the Company timely sends the notice relating to such Fundamental Change required pursuant to ‎Section
5.01(C)(i)‎(3)‎(b), and includes,
in such notice, a statement that the Company is relying on this ‎Section 4.02(I).
For the avoidance of doubt, the maximum amount of accrued interest referred to in clause (ii) above will be determined (x) by assuming
that the Fundamental Change Repurchase Date occurs on the latest possible date permitted for the applicable Fundamental Change pursuant
to ‎Section 4.02(E) and ‎Section 4.02(C);
and (y) without regard to the proviso in ‎Section 4.02(D).

 

(J)               
Compliance with Applicable Securities Laws. To the extent applicable, the Company will comply, in all material respects,
with all U.S. federal and state securities laws in connection with a Repurchase Upon Fundamental Change (including complying with Rules
13e-4 and 14e-1 under the Exchange Act and filing any required Schedule TO, to the extent applicable) so as to permit effecting such Repurchase
Upon Fundamental Change in the manner set forth in this Indenture; provided, however, that, to the extent that the Company’s
obligations pursuant to this ‎Section 4.02 conflict with any law or regulation that
is applicable to the Company and enacted after the Issue Date, the Company’s compliance with such law or regulation will not be
considered to be a Default of such obligations; rather, the Company will be deemed to be in compliance with such obligations if the Company
complies with its obligation to effect Repurchases Upon a Fundamental Change in accordance with this ‎Section
4.02, modified as necessary by the Company in good faith to permit compliance with such law or regulation.

 

    - 35 -

     

    

 

(K)            
 Repurchase in Part. Subject to the terms of this ‎Section 4.02, Notes
may be repurchased pursuant to a Repurchase Upon Fundamental Change in part, but only in Authorized Denominations. Provisions of this
‎Section 4.02 applying to the repurchase of a Note in whole will equally apply to the
repurchase of a permitted portion of a Note.

 

Section
4.03. Right of the Company to Redeem the Notes.

 

(A)            
No Right to Redeem Before December 20, 2024. The Company may not redeem the Notes at its option at any time before
December 20, 2024.

 

(B)             
Right to Redeem the Notes on or After December 20, 2024. Subject to the terms of this ‎Section
4.03, the Company has the right, at its election, to redeem all, or any portion (subject to the Partial Redemption Limitation set
forth in ‎Section 4.03(C)) in an Authorized Denomination, of the Notes, at any time,
and from time to time, on a Redemption Date on or after December 20, 2024 and on or before the thirty-first (31st) Scheduled Trading
Day immediately before the Maturity Date, for a cash purchase price equal to the Redemption Price, but only if (1) the Last Reported Sale
Price per share of Common Stock exceeds one hundred and thirty percent (130%) of the Conversion Price on (i) each of at least twenty (20)
Trading Days (whether or not consecutive) during the thirty (30) consecutive Trading Days ending on, and including, the Trading Day immediately
before the Redemption Notice Date for such Redemption; and (ii) the Trading Day immediately before such Redemption Notice Date; and (2)
the Liquidity Conditions have been satisfied. For the avoidance of doubt, the calling of any Notes for Redemption will constitute a Make-Whole
Fundamental Change with respect to that Note pursuant to clause (B) of the definition thereof.

 

(C)             
Partial Redemption Limitation. If the Company elects to redeem fewer than all of the outstanding Notes, at least
one hundred fifty million dollars ($150,000,000) aggregate principal amount of Notes must be outstanding and not subject to Redemption
as of the Redemption Notice Date for such Redemption (such requirement, the “Partial Redemption Limitation”).

 

(D)            
Redemption Prohibited in Certain Circumstances. If the principal amount of the Notes has been accelerated and such acceleration
has not been rescinded on or before the Redemption Date (including a rescission as a result of the payment of the related Redemption Price,
and any related interest pursuant to the proviso to ‎Section 4.03(F), on such Redemption
Date), then (i) the Company may not call for Redemption or otherwise redeem any Notes pursuant to this ‎Section
4.03; and (ii) the Company will cause any Notes theretofore surrendered for such Redemption to be returned to the Holders thereof
(or, if applicable with respect to Global Notes, cancel any instructions for book-entry transfer to the Company, the Trustee or the Paying
Agent of the applicable beneficial interests in such Notes in accordance with the Depositary Procedures).

 

(E)             
Redemption Date. The Redemption Date for any Redemption will be a Business Day of the Company’s choosing that is
no more than fifty five (55), nor less than thirty five (35), Scheduled Trading Days after the Redemption Notice Date for such Redemption
(it being understood, for the avoidance of doubt, that such Redemption Notice Date will be at least four (4) Scheduled Trading Days before
the first VWAP Trading Day of the Observation Period relating to such Redemption date pursuant to clause (B) of the definition
of Observation Period); provided, however, that if, in accordance with ‎Section
5.03(A)(i)(3), the Company has elected to settle all conversions for Notes called for Redemption with a Conversion Date that occurs
during the related Redemption Conversion Period by Physical Settlement, then the Company may instead elect to choose a Redemption Date
that is a Business Day no more than sixty (60), nor less than thirty (30), calendar days after such Redemption Notice Date.

 

    - 36 -

     

    

 

(F)             
Redemption Price. The Redemption Price for any Note called for Redemption is an amount in cash equal to the principal amount
of such Note plus accrued and unpaid interest on such Note to, but excluding, the Redemption Date for such Redemption; provided,
however, that if such Redemption Date is after a Regular Record Date and on or before the next Interest Payment Date, then (i)
the Holder of such Note at the Close of Business on such Regular Record Date will be entitled, notwithstanding such Redemption, to receive,
on or, at the Company’s election, before such Interest Payment Date, the unpaid interest that would have accrued on such Note to,
but excluding, such Interest Payment Date (assuming, solely for these purposes, that such Note remained outstanding through such Interest
Payment Date, if such Redemption Date is before such Interest Payment Date); and (ii) the Redemption Price will not include accrued and
unpaid interest on such Note to, but excluding, such Redemption Date. For the avoidance of doubt, if an Interest Payment Date is not a
Business Day within the meaning of ‎Section 2.05(C) and such Redemption Date occurs
on the Business Day immediately after such Interest Payment Date, then (x) accrued and unpaid interest on Notes to, but excluding, such
Interest Payment Date will be paid, in accordance with ‎Section 2.05(C), on the next
Business Day to Holders as of the Close of Business on the immediately preceding Regular Record Date; and (y) the Redemption Price will
include interest on Notes to be redeemed from, and including, such Interest Payment Date.

 

(G)            
Redemption Notice. To call any Notes for Redemption, the Company must send to each Holder of such Notes, the Trustee, the
Conversion Agent and the Paying Agent a written notice of such Redemption (a “Redemption Notice”).

 

Such Redemption Notice must
state:

 

(i)                
that such Notes have been called for Redemption, briefly describing the Company’s Redemption right under this Indenture;

 

(ii)             
the Redemption Date for such Redemption;

 

(iii)           
the Redemption Price per $1,000 principal amount of Notes for such Redemption (and, if the Redemption Date is after a Regular Record
Date and on or before the next Interest Payment Date, the amount, manner and timing of the interest payment payable pursuant to the proviso
to ‎‎‎Section 4.03(F));

 

(iv)            
the name and address of the Paying Agent and the Conversion Agent;

 

(v)               that
Notes called for Redemption may be converted at any time before the Close of Business on the second (2nd) Scheduled Trading Day
immediately before the Redemption Date (or, if the Company fails to pay the Redemption Price due on such Redemption Date in full, at
any time until such time as the Company pays such Redemption Price in full);

 

    - 37 -

     

    

 

(vi)            
the Conversion Rate in effect on the Redemption Notice Date for such Redemption and a description and quantification of any adjustments
to the Conversion Rate that may result from such Redemption (including pursuant to ‎Section
5.07);

 

(vii)         
the Settlement Method that will apply to all conversions of Notes with a Conversion Date that occurs during the related Redemption
Conversion Period; and

 

(viii)       
the CUSIP and ISIN numbers, if any, of the Notes.

 

On or before the Redemption
Notice Date, the Company will send a copy of such Redemption Notice to the Trustee and the Paying Agent. At the Company’s written
request, the Trustee will give the Redemption Notice in the Company’s name and at its expense, provided that the Company delivers
to the Trustee, at least five Business Days in the case of Physical Notes and five calendar days in the case of Global Notes prior to
the Redemption Notice Date (unless the Trustee agrees to a shorter period), an Officer’s Certificate requesting that the Trustee
give such notice and setting forth the information to be stated in such notice as provided in this ‎Section
4.03(G).

 

(H)            
Selection, Conversion and Transfer of Notes to Be Redeemed in Part. If less than all Notes then outstanding are called for
Redemption, then:

 

(i)                
the Notes to be redeemed will be selected by the Company as follows: (1) in the case of Global Notes, in accordance with the Depositary
Procedures; and (2) in the case of Physical Notes, pro rata, by lot or by such other method the Company considers fair and appropriate;
and

 

(ii)             
if only a portion of a Note is subject to Redemption and such Note is converted in part, then the converted portion of such Note
will be deemed to be from the portion of such Note that was subject to Redemption.

 

(I)               
Payment of the Redemption Price. Without limiting the Company’s obligation to deposit the Redemption Price by the
time proscribed by ‎Section 3.01(B), the Company will cause the Redemption Price for
a Note (or portion thereof) subject to Redemption to be paid to the Holder thereof on or before the applicable Redemption Date. For the
avoidance of doubt, interest payable pursuant to the proviso to ‎Section 4.03(F) on
any Note (or portion thereof) subject to Redemption must be paid pursuant to such proviso.

 

(J)                Special
Provisions for Partial Calls. If the Company elects to redeem less than all of the outstanding Notes pursuant to this ‎Section
4.03, and the Holder of any Note, or any owner of a beneficial interest in any Global Note, is reasonably not able to determine,
before the Close of Business on the thirty-second (32nd) Scheduled Trading Day (or, if, in accordance with ‎Section
5.03(A)(i)(3), the Company has elected to settle all conversions of Notes with a Conversion Date that occurs during the related
Redemption Conversion Period, the tenth (10th) calendar day) immediately before the Redemption Date for such Redemption, whether
such Note or beneficial interest, as applicable, is to be redeemed pursuant to such Redemption, then such Holder or owner, as
applicable, will be entitled to convert such Note or beneficial interest, as applicable, at any time during the related Redemption
Conversion Period, and each such conversion will be deemed to be of a Note called for Redemption for purposes of this ‎Section
4.03 and Sections ‎5.01(C)(i)(4) and ‎5.07.
The Trustee will have no obligation to make any determination in connection with the foregoing.

 

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Article
5             
Conversion

 

Section
5.01. Right to Convert.

 

(A)            
Generally. Subject to the provisions of this ‎Article 5, each Holder may,
at its option, convert such Holder’s Notes into Conversion Consideration.

 

(B)             
Conversions in Part. Subject to the terms of this Indenture, Notes may be converted in part, but only in Authorized Denominations.
Provisions of this ‎Article 5 applying to the conversion of a Note in whole will equally
apply to conversions of a permitted portion of a Note.

 

(C)             
When Notes May Be Converted.

 

(i)                
Generally. Subject to ‎Section 5.01(C)(ii), a Note may be converted only
in the following circumstances:

 

(1)              
Conversion upon Satisfaction of Sale Price Condition. Before the Close of Business on the Business Day immediately before
September 15, 2026, a Holder may convert its Notes during any calendar quarter (and only during such calendar quarter) commencing
after the calendar quarter ending on March 31, 2022, if the Last Reported Sale Price per share of Common Stock exceeds one hundred and
thirty percent (130%) of the Conversion Price for each of at least twenty (20) Trading Days (whether or not consecutive) during the thirty
(30) consecutive Trading Days ending on, and including, the last Trading Day of the immediately preceding calendar quarter.

 

(2)              
Conversion upon Satisfaction of Note Trading Price Condition. Before the Close of Business on the Business Day immediately
before September 15, 2026, a Holder may convert its Notes during the five (5) consecutive Business Days immediately after any ten
(10) consecutive Trading Day period (such ten (10) consecutive Trading Day period, the “Measurement Period”) if the
Trading Price per $1,000 principal amount of Notes, as determined following a request by a Holder in accordance with the procedures set
forth below, for each Trading Day of the Measurement Period was less than ninety eight percent (98%) of the product of the Last Reported
Sale Price per share of Common Stock on such Trading Day and the Conversion Rate on such Trading Day. The condition set forth in the preceding
sentence is referred to in this Indenture as the “Trading Price Condition.”

 

    - 39 -

     

    

 

The Trading Price will be determined by
the Bid Solicitation Agent pursuant to this ‎Section 5.01(C)(i)(2) and the definition of “Trading Price.” The
Bid Solicitation Agent (if not the Company) will have no obligation to determine the Trading Price of the Notes unless the Company has
requested such determination in writing, and the Company will have no obligation to make such request (or seek bids itself) unless a Holder
provides the Company with reasonable evidence that the Trading Price per $1,000 principal amount of Notes would be less than ninety eight
percent (98%) of the product of the Last Reported Sale Price per share of Common Stock and the Conversion Rate. If a Holder provides such
evidence, then the Company will (if acting as Bid Solicitation Agent), or will instruct the Bid Solicitation Agent to, determine the Trading
Price of the Notes beginning on the next Trading Day and on each successive Trading Day until the Trading Price per $1,000 principal amount
of Notes is greater than or equal to ninety eight percent (98%) of the product of the Last Reported Sale Price per share of Common Stock
on such Trading Day and the Conversion Rate on such Trading Day. If the Trading Price Condition has been met as set forth above, then
the Company will (x) notify the Holders, the Trustee and the Conversion Agent of the same and (y) select the institutions to
provide bids to the Bid Solicitation Agent and will instruct such institutions to provide bids to the Bid Solicitation Agent in accordance
with the definition of “Trading Price.” If, on any Trading Day after the Trading Price Condition has been met as set forth
above, the Trading Price per $1,000 principal amount of Notes is greater than or equal to ninety eight percent (98%) of the product of
the Last Reported Sale Price per share of Common Stock on such Trading Day and the Conversion Rate on such Trading Day, then the Company
will notify the Holders, the Trustee and the Conversion Agent of the same.

 

(3)              
Conversion upon Specified Corporate Events.

 

(a)              
Certain Distributions. If, before the Close of Business on the Business Day immediately before September 15, 2026,
the Company elects to:

 

(I)                distribute,
to all or substantially all holders of Common Stock, any rights, options or warrants (other than rights issued pursuant to a
stockholder rights plan, so long as such rights have not separated from the Common Stock and are not exercisable until the
occurrence of a triggering event, except that such rights will be deemed to be distributed under this clause ‎(I)
upon their separation from the Common Stock or upon the occurrence of such triggering event) entitling them, for a period of not
more than sixty (60) calendar days after the date such distribution is announced, to subscribe for or purchase shares of Common
Stock at a price per share that is less than the average of the Last Reported Sale Prices per share of Common Stock for the ten (10)
consecutive Trading Days ending on, and including, the Trading Day immediately before the date such distribution is announced
(determined in the manner set forth in the third paragraph of ‎Section 5.05(A)(ii)); or

 

    - 40 -

     

    

 

(II)             
distribute, to all or substantially all holders of Common Stock, assets or securities of the Company or rights to purchase the
Company’s securities, which distribution per share of Common Stock has a value, as reasonably determined by the Company in good
faith, exceeding ten percent (10%) of the Last Reported Sale Price per share of Common Stock on the Trading Day immediately before the
date such distribution is announced,

 

then, in either case, (x) the Company
will send notice of such distribution, and of the related right to convert Notes, to Holders, the Trustee and the Conversion Agent at
least thirty five (35) Scheduled Trading Days before the Ex-Dividend Date for such distribution (or, if later in the case of any such
separation of rights issued pursuant to a stockholder rights plan or the occurrence of any such triggering event under a stockholder rights
plan, no later than the Business Day after the Company becomes aware that such separation or triggering event has occurred or will occur);
and (y) once the Company has sent such notice, Holders may convert their Notes at any time until the earlier of the Close of Business
on the Business Day immediately before such Ex-Dividend Date and the Company’s announcement that such distribution will not take
place; provided, however, that the Notes will not become convertible pursuant to clause (y) above (but the Company will
be required to send notice of such distribution pursuant to clause (x) above) on account of such distribution if each Holder participates,
at the same time and on the same terms as holders of Common Stock, and solely by virtue of being a Holder, in such distribution without
having to convert such Holder’s Notes and as if such Holder held a number of shares of Common Stock equal to the product of (i)
the Conversion Rate in effect on the record date for such distribution; and (ii) the aggregate principal amount (expressed in thousands)
of Notes held by such Holder on such date; provided, further, that if the Company is then otherwise permitted to settle
conversions of Notes by Physical Settlement (and, for the avoidance of doubt, the Company has not elected another Settlement Method to
apply, including pursuant to ‎Section 5.03(A)(i)(1)), then the Company may instead elect
to provide such notice at least ten (10) Scheduled Trading Days before such Ex-Dividend Date, in which case (x) the Company must settle
all conversions of Notes with a Conversion Date occurring on or after the date the Company provides such notice and on or before the Business
Day immediately before the Ex-Dividend Date for such distribution (or any earlier announcement by the Company that such distribution will
not take place) by Physical Settlement; and (y) such notice must state that all such conversions will be settled by Physical Settlement.

 

    - 41 -

     

    

 

 

(b)              
 Certain Corporate Events. If a Fundamental Change, Make-Whole Fundamental Change (other than a Make-Whole Fundamental Change
pursuant to clause (B) of the definition thereof) or Common Stock Change Event occurs (other than a merger or other business combination
transaction that is effected solely to change the Company’s jurisdiction of incorporation and that does not constitute a Fundamental
Change or a Make-Whole Fundamental Change), then, in each case, Holders may convert their Notes at any time from, and including, the effective
date of such transaction or event to, and including, the thirty fifth (35th) Trading Day after such effective date (or, if such transaction
or event also constitutes a Fundamental Change (other than an Exempted Fundamental Change), to, but excluding, the related Fundamental
Change Repurchase Date); provided, however, that if the Company does not provide the notice referred to in the immediately
following sentence by the Business Day after such effective date, then the last day on which the Notes are convertible pursuant to this
sentence will be extended by the number of Business Days from, and including, the Business Day after such effective date to, but excluding,
the date the Company provides such notice. No later than the Business Day after such effective date, the Company will send written notice
to the Holders, the Trustee and the Conversion Agent of such transaction or event, such effective date and the related right to convert
Notes.

 

(4)              
Conversion upon Redemption. If the Company calls any Note for Redemption before the Close of Business on the Business
Day immediately before September 15, 2026, then the Holder of such Note may convert such Note at any time during the related Redemption
Conversion Period.

 

(5)              
Conversions During Free Convertibility Period. On or after September 15, 2026, a Holder may convert its Notes at any
time until the Close of Business on the second (2nd) Scheduled Trading Day immediately before the Maturity Date regardless of the conditions
set forth in sub-paragraphs ‎(1), ‎(2),
‎(3) or ‎(4)
of this ‎Section 5.01(C)(i).

 

For the avoidance of doubt, the Notes
may become convertible pursuant to any one or more of the preceding sub-paragraphs of this ‎Section 5.01(C)(i) and the Notes
ceasing to be convertible pursuant to a particular sub-paragraph of this ‎Section 5.01(C)(i) will not preclude the Notes
from being convertible pursuant to any other sub-paragraph of this ‎Section 5.01(C)(i).

 

(ii)             
Limitations and Closed Periods. Notwithstanding anything to the contrary in this Indenture or the Notes:

 

(1)              
Notes may be surrendered for conversion during a period where the Notes are convertible pursuant to ‎Section
5.01(C) only after the Open of Business and before the Close of Business on a Business Day;

 

(2)              
 in no event may any Note be converted after the Close of Business on the second (2nd) Scheduled Trading Day immediately before
the Maturity Date;

 

    - 42 -

     

    

 

(3)              
if the Company calls any Note for Redemption pursuant to ‎Section 4.03,
then the Holder of such Note may not convert such Note after the Close of Business on the second (2nd) Scheduled Trading Day immediately
before the applicable Redemption Date, except to the extent the Company fails to pay the Redemption Price for such Note in accordance
with this Indenture; and

 

(4)              
if a Fundamental Change Repurchase Notice is validly delivered pursuant to Section ‎4.02(F)
with respect to any Note, then such Note may not be converted, except to the extent (a) such Note is not subject to such notice; (b) such
notice is withdrawn in accordance with Section ‎4.02(F); or (c) the Company fails
to pay the Fundamental Change Repurchase Price for such Note in accordance with this Indenture (or a third party fails to make such payment
in lieu of the Company in accordance with ‎Section 4.02(H)).

 

Section
5.02. Conversion Procedures.

 

(A)            
Generally.

 

(i)                
Global Notes. To convert a beneficial interest in a Global Note that is convertible pursuant to ‎Section
5.01(C), the owner of such beneficial interest must (1) comply with the Depositary Procedures for converting such beneficial interest
(at which time such conversion will become irrevocable); and (2) pay any amounts due pursuant to ‎Section
5.02(D) or ‎Section 5.02(E).

 

(ii)             
Physical Notes. To convert all or a portion of a Physical Note that is convertible pursuant to ‎Section
5.01(C), the Holder of such Note must (1) complete, manually sign and deliver to the Conversion Agent the conversion notice attached
to such Physical Note or a facsimile of such conversion notice; (2) deliver such Physical Note to the Conversion Agent (at which time
such conversion will become irrevocable); (3) furnish any endorsements and transfer documents that the Company or the Conversion Agent
may require; and (4) pay any amounts due pursuant to ‎Section 5.02(D) or ‎Section
5.02(E).

 

(B)             
Effect of Converting a Note. At the Close of Business on the Conversion Date for a Note (or any portion thereof) to be converted,
such Note (or such portion) will (unless there occurs a Default in the delivery of the Conversion Consideration or interest due, pursuant
to Section ‎5.03(B) or ‎5.02(D),
upon such conversion) be deemed to cease to be outstanding (and, for the avoidance of doubt, no Person will be deemed to be a Holder of
such Note (or such portion thereof) as of the Close of Business on such Conversion Date), except to the extent provided in ‎Section
5.02(D).

 

(C)              Holder
of Record of Conversion Shares. The Person in whose name any share of Common Stock is issuable upon conversion of any Note will
be deemed to become the holder of record of such share as of the Close of Business on (i) the Conversion Date for such conversion,
in the case of Physical Settlement; or (ii) the last VWAP Trading Day of the Observation Period for such conversion, in the case of
Combination Settlement.

 

    - 43 -

     

    

 

(D)            
Interest Payable upon Conversion in Certain Circumstances. If the Conversion Date of a Note is after a Regular Record Date
and before the next Interest Payment Date, then (i) the Holder of such Note at the Close of Business on such Regular Record Date will
be entitled, notwithstanding such conversion (and, for the avoidance of doubt, notwithstanding anything set forth in the proviso to this
sentence), to receive, on or, at the Company’s election, before such Interest Payment Date, the unpaid interest that would have
accrued on such Note to, but excluding, such Interest Payment Date (assuming, solely for these purposes, that such Note remained outstanding
through such Interest Payment Date); and (ii) the Holder surrendering such Note for conversion must deliver to the Conversion Agent, at
the time of such surrender, an amount of cash equal to the amount of such interest referred to in clause (i) above; provided,
however, that the Holder surrendering such Note for conversion need not deliver such cash (w) if such Note is called (or deemed,
pursuant to ‎Section 4.03(J), to be called) for Redemption and such Conversion Date
occurs during the related Redemption Conversion Period; (x) if such Conversion Date occurs after the Regular Record Date immediately before
the Maturity Date; (y) if the Company has specified a Fundamental Change Repurchase Date that is after such Regular Record Date and on
or before the Business Day immediately after such Interest Payment Date; or (z) to the extent of any overdue interest or interest that
has accrued on any overdue interest. For the avoidance of doubt, as a result of, and without limiting the generality of, the foregoing,
if a Note is converted with a Conversion Date that is after the Regular Record Date immediately before the Maturity Date, then the Company
will pay, as provided above, the interest that would have accrued on such Note to, but excluding, the Maturity Date. For the avoidance
of doubt, if the Conversion Date of a Note to be converted is on an Interest Payment Date, then the Holder of such Note at the Close of
Business on the Regular Record Date immediately before such Interest Payment Date will be entitled to receive, on such Interest Payment
Date, the unpaid interest that has accrued on such Note to, but excluding, such Interest Payment Date, and such Note, when surrendered
for conversion, need not be accompanied by any cash amount pursuant to the first sentence of this ‎Section
5.02(D).

 

(E)             
Taxes and Duties. If a Holder converts a Note, the Company will pay any documentary, stamp or similar issue or transfer
tax or duty due on the issue or delivery of any shares of Common Stock upon such conversion; provided, however, that if
any tax or duty is due because such Holder requested such shares to be registered in a name other than such Holder’s name, then
such Holder will pay such tax or duty and, until having received a sum sufficient to pay such tax or duty, the Conversion Agent may refuse
to deliver any such shares to be issued in a name other than that of such Holder.

 

(F)             
Conversion Agent to Notify Company of Conversions. If any Note is submitted for conversion to the Conversion Agent or the
Conversion Agent receives any notice of conversion with respect to a Note, then the Conversion Agent will promptly (and, in any event,
no later than the date the Conversion Agent receives such Note or notice if received prior to the Close of Business on such date) notify
the Company and the Trustee of such occurrence, together with any other information reasonably requested by the Company, and will cooperate
with the Company to determine the Conversion Date for such Note.

 

    - 44 -

     

    

 

Section
5.03. Settlement upon Conversion.

 

(A)            
Settlement Method. Upon the conversion of any Note, the Company will settle such conversion by paying or delivering, as
applicable and as provided in this ‎Article 5, either (x) shares of Common Stock, together,
if applicable, with cash in lieu of fractional shares as provided in ‎Section 5.03(B)(i)(1)
(a “Physical Settlement”); (y) solely cash as provided in ‎Section 5.03(B)(i)(2)
(a “Cash Settlement”); or (z) a combination of cash and shares of Common Stock, together, if applicable, with cash
in lieu of fractional shares as provided in ‎Section 5.03(B)(i)(3) (a “Combination
Settlement”).

 

(i)                
The Company’s Right to Elect Settlement Method. The Company will have the right to elect the Settlement Method applicable
to any conversion of a Note; provided, however, that:

 

(1)              
subject to clause ‎(3) below, all conversions of Notes with a Conversion
Date that occurs on or after September 15, 2026 will be settled using the same Settlement Method, and the Company will send written
notice of such Settlement Method to Holders, the Trustee and the Conversion Agent no later than the Open of Business on September 15,
2026;

 

(2)              
subject to clause ‎(3) below, if the Company elects a Settlement Method
with respect to the conversion of any Note whose Conversion Date occurs before September 15, 2026, then the Company will send notice
of such Settlement Method to the Holder of such Note, the Trustee and the Conversion Agent (if other than the Trustee) no later than the
Close of Business on the Business Day immediately after such Conversion Date;

 

(3)              
if any Notes are called for Redemption, then (a) the Company will specify, in the related Redemption Notice sent pursuant to ‎Section
4.03(G), the Settlement Method that will apply to all conversions of Notes with a Conversion Date that occurs during the related Redemption
Conversion Period; and (b) if such Redemption Date occurs on or after September 15, 2026, then such Settlement Method must be the
same Settlement Method that, pursuant to clause ‎(1) above, applies to all conversions
of Notes with a Conversion Date that occurs on or after September 15, 2026;

 

(4)              
the Company will use the same Settlement Method for all conversions of Notes with the same Conversion Date (and, for the avoidance
of doubt, the Company will not be obligated to use the same Settlement Method with respect to conversions of Notes with different Conversion
Dates, except as provided in clause ‎(1) or ‎(3)
above);

 

(5)              
if the Company does not timely elect a Settlement Method with respect to the conversion of a Note, then the Company will be deemed
to have elected the Default Settlement Method (and, for the avoidance of doubt, the failure to timely make such election will not constitute
a Default or Event of Default); and

 

(6)              
 if the Company timely elects Combination Settlement with respect to the conversion of a Note but does not timely notify the Holder
of such Note of the applicable Specified Dollar Amount, then the Specified Dollar Amount for such conversion will be deemed to be $1,000
per $1,000 principal amount of Notes (and, for the avoidance of doubt, the failure to timely send such notification will not constitute
a Default or Event of Default); and

 

    - 45 -

     

    

 

(7)              
the Settlement Method will be subject to Sections ‎4.03(E), ‎5.09(A)‎(2)
, ‎5.01(C)(i)(3)‎(a)
and ‎Section 5.07(D).

 

(ii)             
The Company’s Right to Irrevocably Fix the Settlement Method. The Company will have the right, exercisable at its
election by (x) sending notice of such exercise to the Holders (with a copy to the Trustee and the Conversion Agent) and (y) disclosing
such exercise on the Company’s website or in a Current Report on Form 8-K (or any successor form) filed with, or furnished to, the
SEC, to irrevocably (1) fix the Settlement Method that will apply to all conversions of Notes with a Conversion Date that occurs on or
after the date such notice is sent to Holders; or (2) irrevocably eliminate any one or more (but not all) Settlement Methods (including
eliminating Combination Settlement with a particular Specified Dollar Amount or range of Specified Dollar Amounts) with respect to all
conversions of Notes with a Conversion Date that occurs on or after the date such notice is sent to Holders; provided that the
Settlement Method so elected pursuant to clause (1) above, or the Settlement Method(s) remaining after any elimination pursuant
to clause (2) above, as applicable, must be a Settlement Method or Settlement Method(s), as applicable, that the Company is then
permitted to elect (for the avoidance of doubt, including pursuant to, and subject to, the other provisions of this ‎Section
5.03(A)). Such notice, if sent, must set forth the Settlement Method so elected, or the Settlement Method(s) so eliminated, as applicable,
and expressly state that the election is irrevocable and applicable to all conversions of Notes with a Conversion Date that occurs on
or after the date such notice is sent to Holders. Upon any such irrevocable election pursuant to clause (1) above, the Default
Settlement Method will automatically be deemed to be set to the Settlement Method so elected; and upon any such irrevocable election pursuant
to clause (2) above, the Company will, if needed, simultaneously change the Default Settlement Method to a Settlement Method that
is consistent with such irrevocable election. Notwithstanding anything to the contrary in the preceding sentences of this paragraph, no
such change in the Default Settlement Method or irrevocable election will affect any Settlement Method theretofore elected (or deemed
to be elected) with respect to any Note pursuant to this Indenture (including pursuant to this ‎Section
5.03(A)). For the avoidance of doubt, such an irrevocable election, if made, will be effective without the need to amend this Indenture
or the Notes, including pursuant to ‎Section 8.01(G) (it being understood, however,
that the Company may nonetheless choose to execute such an amendment at its option).

 

(B)             
Conversion Consideration.

 

(i)                
Generally. Subject to Sections ‎5.03(B)(ii), ‎5.03(B)(iii)
and 5.09(A)‎(2), the type and amount of consideration (the “Conversion Consideration”)
due in respect of each $1,000 principal amount of a Note to be converted will be as follows:

 

(1)              
 if Physical Settlement applies to such conversion, a number of shares of Common Stock equal to the Conversion Rate in effect on
the Conversion Date for such conversion;

 

    - 46 -

     

    

 

(2)              
if Cash Settlement applies to such conversion, cash in an amount equal to the sum of the Daily Conversion Values for each VWAP
Trading Day in the Observation Period for such conversion; or

 

(3)              
if Combination Settlement applies to such conversion, consideration consisting of (a) a number of shares of Common Stock equal
to the sum of the Daily Share Amounts for each VWAP Trading Day in the Observation Period for such conversion; and (b) an amount of cash
equal to the sum of the Daily Cash Amounts for each VWAP Trading Day in such Observation Period.

 

(ii)             
Cash in Lieu of Fractional Shares. If Physical Settlement or Combination Settlement applies to the conversion of any Note
and the number of shares of Common Stock deliverable pursuant to ‎Section 5.03(B)(i)
upon such conversion is not a whole number, then such number will be rounded down to the nearest whole number and the Company will deliver,
in addition to the other consideration due upon such conversion, cash in lieu of the related fractional share in an amount equal to the
product of (1) such fraction and (2) (x) the Daily VWAP on the applicable Conversion Date for such conversion (or, if such Conversion
Date is not a VWAP Trading Day, the immediately preceding VWAP Trading Day), in the case of Physical Settlement; or (y) the Daily VWAP
on the last VWAP Trading Day of the Observation Period for such conversion, in the case of Combination Settlement.

 

(iii)           
Conversion of Multiple Notes by a Single Holder. If a Holder converts more than one (1) Note on a single Conversion Date,
then the Conversion Consideration due in respect of such conversion will (in the case of any Global Note, to the extent permitted by,
and practicable under, the Depositary Procedures) be computed based on the total principal amount of Notes converted on such Conversion
Date by such Holder.

 

(iv)            
Notice of Calculation of Conversion Consideration. If Cash Settlement or Combination Settlement applies to the conversion
of any Note, then the Company will determine the Conversion Consideration due thereupon promptly following the last VWAP Trading Day of
the applicable Observation Period and will promptly thereafter send notice to the Trustee and the Conversion Agent of the same and the
calculation thereof in reasonable detail. Neither the Trustee, the Conversion Agent nor the Paying Agent will have any duty to make any
such determination.

 

(C)              Delivery
of the Conversion Consideration. Except as set forth in Sections ‎5.05(D), ‎5.07(D)
and ‎5.09, the Company will pay or deliver, as applicable, the Conversion
Consideration due upon the conversion of any Note to the Holder as follows: (i) if Cash Settlement or Combination Settlement applies
to such conversion, on or before the second (2nd) Business Day immediately after the last VWAP Trading Day of the Observation Period
for such conversion; and (ii) if Physical Settlement applies to such conversion, on or before the second (2nd) Business Day
immediately after the Conversion Date for such conversion; provided, however, that if Physical Settlement applies to
the conversion of any Note with a Conversion Date that is after the Regular Record Date immediately before the Maturity Date, then,
solely for purposes of such conversion, (x) the Company will pay or deliver, as applicable, the Conversion Consideration due upon
such conversion no later than the Maturity Date (or, if the Maturity Date is not a Business Day, the next Business Day); and (y) the
Conversion Date will instead be deemed to be the second (2nd) Business Day immediately before the Maturity Date.

 

    - 47 -

     

    

 

(D)            
Deemed Payment of Principal and Interest; Settlement of Accrued Interest Notwithstanding Conversion. If a Holder converts
a Note, then the Company will not adjust the Conversion Rate to account for any accrued and unpaid interest on such Note, and, except
as provided in ‎Section 5.02(D), the Company’s delivery of the Conversion Consideration
due in respect of such conversion will be deemed to fully satisfy and discharge the Company’s obligation to pay the principal of,
and accrued and unpaid interest, if any, on, such Note to, but excluding the Conversion Date. As a result, except as provided in ‎Section
5.02(D), any accrued and unpaid interest on a converted Note will be deemed to be paid in full rather than cancelled, extinguished
or forfeited. In addition, subject to ‎Section 5.02(D), if the Conversion Consideration
for a Note consists of both cash and shares of Common Stock, then accrued and unpaid interest that is deemed to be paid therewith will
be deemed to be paid first out of such cash.

 

Section
5.04. Reserve and Status of Common Stock Issued upon Conversion.

 

(A)            
Stock Reserve. At all times when any Notes are outstanding, the Company will reserve, out of its authorized, unreserved
and not outstanding shares of Common Stock, a number of shares of Common Stock sufficient to permit the conversion of all then-outstanding
Notes, assuming (x) Physical Settlement will apply to such conversion; and (y) the Conversion Rate is increased by the maximum amount
pursuant to which the Conversion Rate may be increased pursuant to ‎Section 5.07. To the extent the Company delivers shares
of Common Stock held in its treasury in settlement of the conversion of any Notes, each reference in this Indenture or the Notes to the
issuance of shares of Common Stock in connection therewith will be deemed to include such delivery, mutatis mutandis.

 

(B)             
Status of Conversion Shares; Listing. Each Conversion Share, if any, delivered upon conversion of any Note will be a newly
issued or treasury share (except that any Conversion Share delivered by a designated financial institution pursuant to ‎Section
5.08 need not be a newly issued or treasury share) and will be duly and validly issued, fully paid, non-assessable, free from preemptive
rights and free of any lien or adverse claim (except to the extent of any lien or adverse claim created by the action or inaction of the
Holder of such Note or the Person to whom such Conversion Share will be delivered). If the Common Stock is then listed on any securities
exchange, or quoted on any inter-dealer quotation system, then the Company will use commercially reasonable efforts to cause each Conversion
Share, when delivered upon conversion of any Note, to be admitted for listing on such exchange or quotation on such system.

 

    - 48 -

     

    

 

Section
5.05. Adjustments to the Conversion Rate.

 

(A)            
Events Requiring an Adjustment to the Conversion Rate. The Conversion Rate will be adjusted from time to time as follows:

 

(i)                
Stock Dividends, Splits and Combinations. If the Company issues solely shares of Common Stock as a dividend or distribution
on all or substantially all shares of the Common Stock, or if the Company effects a stock split or a stock combination of the Common Stock
(in each case excluding an issuance solely pursuant to a Common Stock Change Event, as to which ‎Section
5.09 will apply), then the Conversion Rate will be adjusted based on the following formula:

 

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such dividend or distribution,
or immediately before the Open of Business on the effective date of such stock split or stock combination, as applicable;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date or effective date, as applicable;
	 	 	 	 
	 	OS0	=	the number of shares of Common Stock outstanding immediately before the Open of Business on such Ex-Dividend Date or effective date,
as applicable, without giving effect to such dividend, distribution, stock split or stock combination; and
	 	 	 	 
	 	OS1	=	the number of shares of Common Stock outstanding immediately after giving effect to such dividend, distribution, stock split or
stock combination.

 

If any dividend or distribution of the
type described in this ‎Section 5.05(A)(i) is declared, but not so paid, then the Conversion Rate will be readjusted, effective
as of the date the Board of Directors determines not to pay such dividend or distribution, to the Conversion Rate that would then be in
effect had such dividend or distribution not been declared.

 

(ii)             
Rights, Options and Warrants. If the Company distributes, to all or substantially all holders of Common Stock, rights,
options or warrants (other than rights issued or otherwise distributed pursuant to a stockholder rights plan, as to which Sections
‎5.05(A)(iii)(1) and ‎5.05(F)
will apply) entitling such holders, for a period of not more than sixty (60) calendar days after the date such distribution is announced,
to subscribe for or purchase shares of Common Stock at a price per share that is less than the average of the Last Reported Sale Prices
per share of Common Stock for the ten (10) consecutive Trading Days ending on, and including, the Trading Day immediately before the
date such distribution is announced, then the Conversion Rate will be increased based on the following formula:

 

 

    - 49 -

     

    

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such distribution;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date;
	 	 	 	 
		OS	=	the number of shares of Common Stock outstanding immediately before the Open of Business on such
Ex-Dividend Date;
	 	 	 	 
		X	=	the total number of shares of Common Stock issuable pursuant to such rights, options or warrants;
and
	 	 	 	 
		Y	=	a number of shares of Common Stock obtained by dividing (x) the aggregate price payable to exercise
such rights, options or warrants by (y) the average of the Last Reported Sale Prices per share of Common Stock for the ten (10) consecutive
Trading Days ending on, and including, the Trading Day immediately before the date such distribution is announced.

 

To the extent that shares of Common
Stock are not delivered after the expiration of such rights, options or warrants (including as a result of such rights, options or warrants
not being exercised), the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the increase to the
Conversion Rate for such distribution been made on the basis of delivery of only the number of shares of Common Stock actually delivered
upon exercise of such rights, options or warrants. To the extent such rights, options or warrants are not so distributed, the Conversion
Rate will be readjusted to the Conversion Rate that would then be in effect had the Ex-Dividend Date for the distribution of such rights,
options or warrants not occurred.

 

For purposes of this ‎Section
5.05(A)(ii) and ‎Section 5.01‎(C)‎(i)‎(3)‎(a)‎(I), in determining whether any rights, options
or warrants entitle holders of Common Stock to subscribe for or purchase shares of Common Stock at a price per share that is less than
the average of the Last Reported Sale Prices per share of Common Stock for the ten (10) consecutive Trading Days ending on, and including,
the Trading Day immediately before the date the distribution of such rights, options or warrants is announced, and in determining the
aggregate price payable to exercise such rights, options or warrants, there will be taken into account any consideration the Company receives
for such rights, options or warrants and any amount payable on exercise thereof, with the value of such consideration, if not cash, to
be determined by the Company in good faith.

 

    - 50 -

     

    

 

(iii)           
 Spin-Offs and Other Distributed Property.

 

(1)              
Distributions Other than Spin-Offs. If the Company distributes shares of its Capital Stock, evidences of its indebtedness
or other assets or property of the Company, or rights, options or warrants to acquire Capital Stock of the Company or other securities,
to all or substantially all holders of the Common Stock, excluding:

 

(u)       dividends,
distributions, rights, options or warrants for which an adjustment to the Conversion Rate is required (or would be required without regard
to ‎Section 5.05(C)) pursuant to Section ‎5.05(A)(i) or ‎5.05(A)(ii);

 

(v)       dividends
or distributions paid exclusively in cash for which an adjustment to the Conversion Rate is required (or would be required without regard
to ‎Section 5.05(C)) pursuant to ‎Section 5.05(A)(iv);

 

(w)       rights
issued or otherwise distributed pursuant to a stockholder rights plan, except to the extent provided in ‎Section 5.05(F);

 

(x)       Spin-Offs
for which an adjustment to the Conversion Rate is required (or would be required without regard to ‎Section 5.05(C)) pursuant
to ‎Section 5.05(A)(iii)(2);

 

(y)       a
distribution solely pursuant to a tender offer or exchange offer for shares of Common Stock, as to which ‎Section 5.05(A)(v)
will apply; and

 

(z)       a
distribution solely pursuant to a Common Stock Change Event, as to which ‎Section 5.09 will apply,

 

then the Conversion Rate will be increased
based on the following formula:

 

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such distribution;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date;
	 	 	 	 
		SP	=	the average of the Last Reported Sale Prices per share of Common Stock for the ten (10) consecutive
Trading Days ending on, and including, the Trading Day immediately before such Ex-Dividend Date; and
	 	 	 	 
		FMV	=	the fair market value (as determined by the Company in good faith), as of such Ex-Dividend Date,
of the shares of Capital Stock, evidences of indebtedness, assets, property, rights, options or warrants distributed per share of Common
Stock pursuant to such distribution;

 

    - 51 -

     

    

 

provided, however, that
if FMV is equal to or greater than SP, then, in lieu of the foregoing adjustment to the Conversion Rate, each Holder will
receive, for each $1,000 principal amount of Notes held by such Holder on the record date for such distribution, at the same time and
on the same terms as holders of Common Stock, without having to convert its Notes, the amount and kind of shares of Capital Stock, evidences
of indebtedness, assets, property, rights, options or warrants that such Holder would have received if such Holder had owned, on such
record date, a number of shares of Common Stock equal to the Conversion Rate in effect on such record date.

 

To the extent such distribution is not
so paid or made, the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the adjustment been made
on the basis of only the distribution, if any, actually made or paid.

 

(2)              
Spin-Offs. If the Company distributes or dividends shares of Capital Stock of any class or series, or similar equity interests,
of or relating to an Affiliate, a Subsidiary or other business unit of the Company to all or substantially all holders of the Common Stock
(other than solely pursuant to (x) a Common Stock Change Event, as to which ‎Section
5.09 will apply; or (y) a tender offer or exchange offer for shares of Common Stock, as to which ‎Section
5.05(A)(v) will apply), and such Capital Stock or equity interests are listed or quoted (or will be listed or quoted upon the consummation
of the transaction) on a U.S. national securities exchange (a “Spin-Off”), then the Conversion Rate will be increased
based on the following formula:

 

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Close of Business on the last Trading Day of the Spin-Off Valuation Period
for such Spin-Off;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Close of Business on the last Trading Day of the Spin-Off Valuation Period;
	 	 	 	 
		FMV	=	the product of (x) the average of the Last Reported Sale Prices per share or unit of the Capital
Stock or equity interests distributed in such Spin-Off over the ten (10) consecutive
Trading Day period (the “Spin-Off Valuation Period”) beginning on, and including, the Ex-Dividend Date for such Spin-Off
(such average to be determined as if references to Common Stock in the definitions of Last Reported Sale Price, Trading Day and Market
Disruption Event were instead references to such Capital Stock or equity interests); and (y) the number of shares or units of such Capital
Stock or equity interests distributed per share of Common Stock in such Spin-Off; and
	 	 	 	 
		SP	=	the average of the Last Reported Sale Prices per share of Common Stock for each Trading Day in the
Spin-Off Valuation Period.

 

    - 52 -

     

    

 

Notwithstanding anything to the contrary
in this ‎Section 5.05(A)(iii)(2), (i) if any VWAP Trading Day of the Observation Period for a Note whose conversion will
be settled pursuant to Cash Settlement or Combination Settlement occurs during the Spin-Off Valuation Period for such Spin-Off, then,
solely for purposes of determining the Conversion Rate for such VWAP Trading Day for such conversion, such Spin-Off Valuation Period will
be deemed to consist of the Trading Days occurring in the period from, and including, the Ex-Dividend Date for such Spin-Off to, and including,
such VWAP Trading Day; and (ii) if the Conversion Date for a Note whose conversion will be settled pursuant to Physical Settlement occurs
during the Spin-Off Valuation Period for such Spin-Off, then, solely for purposes of determining the Conversion Consideration for such
conversion, such Spin-Off Valuation Period will be deemed to consist of the Trading Days occurring in the period from, and including,
the Ex-Dividend Date for such Spin-Off to, and including, such Conversion Date.

 

To the extent any dividend or distribution
of the type set forth in this ‎Section 5.05(A)(iii)(2) is declared but not made or paid, the Conversion Rate will be readjusted
to the Conversion Rate that would then be in effect had the adjustment been made on the basis of only the dividend or distribution, if
any, actually made or paid.

 

(iv)            
Cash Dividends or Distributions. If any cash dividend or distribution is made to all or substantially all holders of Common
Stock, then the Conversion Rate will be increased based on the following formula:

 

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such dividend or distribution;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date;
	 	 	 	 
		SP	=	the Last Reported Sale Price per share of Common Stock on the Trading Day immediately before such
Ex-Dividend Date; and
	 	 	 	 
		D	=	the cash amount distributed per share of Common Stock in such dividend or distribution;

 

provided, however, that
if D is equal to or greater than SP, then, in lieu of the foregoing adjustment to the Conversion Rate, each Holder will
receive, for each $1,000 principal amount of Notes held by such Holder on the record date for such dividend or distribution, at the same
time and on the same terms as holders of Common Stock, without having to convert its Notes, the amount of cash that such Holder would
have received if such Holder had owned, on such record date, a number of shares of Common Stock equal to the Conversion Rate in effect
on such record date.

 

    - 53 -

     

    

 

To the extent such dividend or distribution
is declared but not made or paid, the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the adjustment
been made on the basis of only the dividend or distribution, if any, actually made or paid.

 

(v)              
Tender Offers or Exchange Offers. If the Company or any of its Subsidiaries makes a payment in respect of a tender offer
or exchange offer for shares of Common Stock (other than solely pursuant to an odd-lot tender offer pursuant to Rule 13e-4(h)(5) under
the Exchange Act (or any successor rule)), and the value (determined as of the Expiration Time by the Company in good faith) of the cash
and other consideration paid per share of Common Stock in such tender or exchange offer exceeds the Last Reported Sale Price per share
of Common Stock on the Trading Day immediately after the last date (the “Expiration Date”) on which tenders or exchanges
may be made pursuant to such tender or exchange offer (as it may be amended), then the Conversion Rate will be increased based on the
following formula:

 

 

where:

 

	 	CR0	=	the Conversion Rate in effect immediately before the Close of Business on the last Trading Day of the Tender/Exchange Offer Valuation
Period for such tender or exchange offer;
	 	 	 	 
	 	CR1	=	the Conversion Rate in effect immediately after the Close of Business on the last Trading Day of the Tender/Exchange Offer Valuation
Period;
	 	 	 	 
		AC	=	the aggregate value, as of the time such tender or exchange offer expires (the
                                                                   “Expiration Time”), of all cash and other consideration paid for shares of Common Stock purchased or exchanged in
                                                                   such tender or exchange offer (such aggregate value
to be determined, other than with respect to cash, by the Company in good faith);
	 	 	 	 
	 	OS0	=	the number of shares of Common Stock outstanding immediately before the Expiration Time (including all shares of Common Stock accepted
for purchase or exchange in such tender or exchange offer);
	 	 	 	 
	 	OS1	=	the number of shares of Common Stock outstanding immediately after the Expiration Time (excluding all shares of Common Stock accepted
for purchase or exchange in such tender or exchange offer); and
	 	 	 	 
		SP	=	the average of the Last Reported Sale Prices per share of Common Stock over the ten (10) consecutive
Trading Day period (the “Tender/Exchange Offer Valuation Period”) beginning on, and including, the Trading Day immediately
after the Expiration Date;

 

    - 54 -

     

    

 

provided, however, that
the Conversion Rate will in no event be adjusted down pursuant to this ‎Section 5.05(A)(v), except to the extent provided
in the immediately following paragraph. Notwithstanding anything to the contrary in this ‎Section 5.05(A)(v), (i) if any
VWAP Trading Day of the Observation Period for a Note whose conversion will be settled pursuant to Cash Settlement or Combination Settlement
occurs during the Tender/Exchange Offer Valuation Period for such tender or exchange offer, then, solely for purposes of determining the
Conversion Rate for such VWAP Trading Day for such conversion, such Tender/Exchange Offer Valuation Period will be deemed to consist of
the Trading Days occurring in the period from, and including, the Trading Day immediately after the Expiration Date for such tender or
exchange offer to, and including, such VWAP Trading Day; and (ii) if the Conversion Date for a Note whose conversion will be settled pursuant
to Physical Settlement occurs during the Tender/Exchange Offer Valuation Period for such tender or exchange offer, then, solely for purposes
of determining the Conversion Consideration for such conversion, such Tender/Exchange Offer Valuation Period will be deemed to consist
of the Trading Days occurring in the period from, and including, the Trading Day immediately after the Expiration Date to, and including,
such Conversion Date.

 

To the extent such tender or exchange
offer is announced but not consummated (including as a result of the Company being precluded from consummating such tender or exchange
offer under applicable law), or any purchases or exchanges of shares of Common Stock in such tender or exchange offer are rescinded, the
Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the adjustment been made on the basis of only
the purchases or exchanges of shares of Common Stock, if any, actually made, and not rescinded, in such tender or exchange offer.

 

(B)             
No Adjustments in Certain Cases.

 

(i)                 Where
Holders Participate in the Transaction or Event Without Conversion. Notwithstanding anything to the contrary in ‎Section
5.05(A), the Company will not be obligated to adjust the Conversion Rate on account of a transaction or other event otherwise
requiring an adjustment pursuant to ‎Section 5.05(A) (other than a stock split or
combination of the type set forth in ‎Section 5.05(A)(i) or a tender or exchange
offer of the type set forth in ‎Section 5.05(A)(v)) if each Holder participates,
at the same time and on the same terms as holders of Common Stock, and solely by virtue of being a Holder of Notes, in such
transaction or event without having to convert such Holder’s Notes and as if such Holder held a number of shares of Common
Stock equal to the product of (i) the Conversion Rate in effect on the related record date; and (ii) the aggregate principal amount
(expressed in thousands) of Notes held by such Holder on such date.

 

    - 55 -

     

    

 

(ii)             
Certain Events. The Company will not be required to adjust the Conversion Rate except as provided in ‎Section
5.05 or ‎Section 5.07. Without limiting the foregoing, the Company will not be obligated
to adjust the Conversion Rate on account of:

 

(1)              
except as otherwise provided in ‎Section 5.05, the sale of shares
of Common Stock for a purchase price that is less than the market price per share of Common Stock or less than the Conversion Price;

 

(2)              
the issuance of any shares of Common Stock pursuant to any present or future plan providing for the reinvestment of dividends or
interest payable on the Company’s securities and the investment of additional optional amounts in shares of Common Stock under any
such plan;

 

(3)              
the issuance of any shares of Common Stock or options or rights to purchase shares of Common Stock pursuant to any present or future
employee, director or consultant benefit plan or program of, or assumed by, the Company or any of its Subsidiaries;

 

(4)              
the issuance of any shares of Common Stock pursuant to any option, warrant, right or convertible or exchangeable security of the
Company outstanding as of the Issue Date;

 

(5)              
solely a change in the par value of the Common Stock; or

 

(6)              
accrued and unpaid interest on the Notes.

 

(C)             
Adjustment Deferral. If an adjustment to the Conversion Rate otherwise required by this ‎Article
5 would result in a change of less than one percent (1%) to the Conversion Rate, then, notwithstanding anything to the contrary in
this ‎Article 5, the Company may, at its election, defer such adjustment, except that
all such deferred adjustments must be given effect immediately upon the earliest of the following: (i) when all such deferred adjustments
would result in an aggregate change of at least one percent (1%) to the Conversion Rate; (ii) the Conversion Date of, or any VWAP Trading
Day of an Observation Period for, any Note; (iii) the effective date of a Fundamental Change or a Make-Whole Fundamental Change Effective
Date; (iv) any Redemption Notice Date; and (v) September 15, 2026.

 

    - 56 -

     

    

 

 

(D)         Adjustments Not Yet Effective. Notwithstanding anything to the contrary in this Indenture or the Notes, if:

 

(i)                
a Note is to be converted pursuant to Physical Settlement or Combination Settlement;

 

(ii)             
the record date, effective date or Expiration Time for any event that requires an adjustment to the Conversion Rate pursuant to
‎Section 5.05(A) has occurred on or before the Conversion Date for such conversion (in
the case of Physical Settlement) or on or before any VWAP Trading Day in the Observation Period for such conversion (in the case of Combination
Settlement), but an adjustment to the Conversion Rate for such event has not yet become effective as of such Conversion Date or VWAP Trading
Day, as applicable;

 

(iii)           
the Conversion Consideration due upon such conversion (in the case of Physical Settlement) includes any whole shares of Common
Stock or due in respect of such VWAP Trading Day (in the case of Combination Settlement) includes any whole or fractional shares of Common
Stock; and

 

(iv)            
such shares are not entitled to participate in such event (because they were not held on the related record date or otherwise),

 

then, solely for purposes of such conversion,
the Company will, without duplication, give effect to such adjustment on such Conversion Date (in the case of Physical Settlement) or
such VWAP Trading Day (in the case of Combination Settlement). In such case, if the date on which the Company is otherwise required to
deliver the consideration due upon such conversion is before the first date on which the amount of such adjustment can be determined,
then the Company will delay the settlement of such conversion until the second (2nd) Business Day after such determination date.

 

(E)          Conversion
Rate Adjustments where Converting Holders Participate in the Relevant Transaction or Event. Notwithstanding anything to the contrary
in this Indenture or the Notes, if:

 

(i)                
a Conversion Rate adjustment for any dividend or distribution becomes effective on any Ex-Dividend Date pursuant to ‎Section
5.05(A);

 

(ii)             
a Note is to be converted pursuant to Physical Settlement or Combination Settlement;

 

(iii)           
the Conversion Date for such conversion (in the case of Physical Settlement) or any VWAP Trading Day in the Observation Period
for such conversion (in the case of Combination Settlement) occurs on or after such Ex-Dividend Date and on or before the related record
date;

 

(iv)             the
Conversion Consideration due upon such conversion (in the case of Physical Settlement) includes any whole shares of Common Stock or
due in respect of such VWAP Trading Day (in the case of Combination Settlement) includes any whole or fractional shares of Common
Stock, in each case based on a Conversion Rate that is adjusted for such dividend or distribution; and

 

    - 57 -

     

    

 

(v)              
such shares would be entitled to participate in such dividend or distribution (including pursuant to ‎Section
5.02(C)),

 

then (x) in the case of Physical Settlement, such
Conversion Rate adjustment will not be given effect for such conversion and the shares of Common Stock issuable upon such conversion based
on such unadjusted Conversion Rate will not be entitled to participate in such dividend or distribution, but there will be added, to the
consideration otherwise due upon such conversion, the same kind and amount of consideration that would have been delivered in such dividend
or distribution with respect to such shares of Common Stock had such shares been entitled to participate in such dividend or distribution;
and (y) in the case of Combination Settlement, the Conversion Rate adjustment relating to such Ex-Dividend Date will be made for such
conversion in respect of such VWAP Trading Day, but the shares of Common Stock issuable with respect to such VWAP Trading Day based on
such adjusted Conversion Rate will not be entitled to participate in such dividend or distribution.

 

(F)          Stockholder
Rights Plans. If any shares of Common Stock are to be issued upon conversion of any Note and, at the time of such conversion, the
Company has in effect any stockholder rights plan, then the Holder of such Note will be entitled to receive, in addition to, and concurrently
with the delivery of, the Conversion Consideration otherwise payable under this Indenture upon such conversion, the rights set forth
in such stockholder rights plan, unless such rights have separated from the Common Stock at such time, in which case, and only in such
case, the Conversion Rate will be adjusted pursuant to ‎Section
5.05(A)(iii)(1) on account of such separation as if, at the time of such separation, the Company had made a distribution of the type
referred to in such Section to all holders of the Common Stock, subject to readjustment in accordance with such Section if such rights
expire, terminate or are redeemed.

 

(G)         Limitation
on Effecting Transactions Resulting in Certain Adjustments. The Company will not engage in or be a party to any transaction or event
that would require the Conversion Rate to be adjusted pursuant to ‎Section 5.05(A)
or ‎Section 5.07 to an amount that would result in the Conversion Price per share of
Common Stock being less than the par value per share of Common Stock.

 

(H)         Equitable
Adjustments to Prices. Whenever any provision of this Indenture requires the Company to calculate the Last Reported Sale Prices,
the Daily VWAPs, the Daily Conversion Values, the Daily Cash Amounts or the Daily Share Amounts over a period of multiple days (including
over an Observation Period and the period, if any, for determining the Stock Price for purposes of a Make-Whole Fundamental Change),
the Company will, acting in good faith and in a commercially reasonable manner, make appropriate adjustments, if any, to each to account
for any adjustment to the Conversion Rate that becomes effective, or any event requiring an adjustment to the Conversion Rate where the
Ex-Dividend Date, effective date, or Expiration Date of the event occurs, at any time during such period.

 

(I)          Calculation
of Number of Outstanding Shares of Common Stock. For purposes of ‎Section
5.05(A), the number of shares of Common Stock outstanding at any time will (i) include shares issuable in respect of scrip
certificates issued in lieu of fractions of shares of Common Stock; and (ii) exclude shares of Common Stock held in the
Company’s treasury (unless the Company pays any dividend or makes any distribution on shares of Common Stock held in its
treasury).

 

    - 58 -

     

    

 

(J)               
Calculations. All calculations with respect to the Conversion Rate and adjustments thereto will be made to the nearest 1/10,000th
of a share of Common Stock (with 5/100,000ths rounded upward).

 

(K)            
Notice of Conversion Rate Adjustments. Upon the effectiveness of any adjustment to the Conversion Rate pursuant to ‎Section
5.05(A), the Company will promptly send notice to the Holders, the Trustee and the Conversion Agent containing (i) a brief description
of the transaction or other event on account of which such adjustment was made; (ii) the Conversion Rate in effect immediately after such
adjustment; and (iii) the effective time of such adjustment.

 

Section
5.06. Voluntary Adjustments.

 

(A)            
Generally. To the extent permitted by law and applicable stock exchange rules, the Company, from time to time, may (but
is not required to) increase the Conversion Rate by any amount if (i) the Board of Directors determines that such increase is either (x)
in the best interest of the Company; or (y) advisable to avoid or diminish any income tax imposed on holders of Common Stock or rights
to purchase Common Stock as a result of any dividend or distribution of shares (or rights to acquire shares) of Common Stock or any similar
event; and (ii) such increase is irrevocably in effect for a period of at least twenty (20) Business Days.

 

(B)             
Notice of Voluntary Increases. If the Board of Directors determines to increase the Conversion Rate pursuant to ‎Section
5.06(A), then, no later than the first Business Day of the related twenty (20) Business Day period referred to in ‎Section
5.06(A), the Company will send notice to each Holder, the Trustee and the Conversion Agent of such increase, the amount thereof and
the period during which such increase will be in effect.

 

Section
5.07. Adjustments To The Conversion Rate In Connection With A Make-Whole Fundamental
Change.

 

(A)            
Generally. If a Make-Whole Fundamental Change occurs and the Conversion Date for the conversion of a Note occurs during
the related Make-Whole Fundamental Change Conversion Period, then, subject to this ‎Section
5.07, the Conversion Rate applicable to such conversion will be increased by a number of shares (the “Additional Shares”)
set forth in the table below corresponding (after interpolation as provided in, and subject to, the provisions below) to the Make-Whole
Fundamental Change Effective Date and the Stock Price of such Make-Whole Fundamental Change:

 

    - 59 -

     

    

 

	 	 	Stock Price	 
	Make-Whole 

Fundamental 

Change 

Effective

 Date	 	$36.52	 	 	$40.00	 	 	$45.00	 	 	$50.00	 	 	$54.78	 	 	$60.00	 	 	$65.00	 	 	$71.21	 	 	$80.00	 	 	$90.00	 	 	$100.00	 	 	$125.00	 	 	$150.00	 	 	$200.00	 
	December 14, 2021	 	 	9.1274	 	 	 	7.6365	 	 	 	5.9951	 	 	 	4.7710	 	 	 	3.8746	 	 	 	3.1157	 	 	 	2.5472	 	 	 	1.9992	 	 	 	1.4343	 	 	 	0.9920	 	 	 	0.6879	 	 	 	0.2652	 	 	 	0.0837	 	 	 	0.0000	 
	December 15, 2022	 	 	9.1274	 	 	 	7.4268	 	 	 	5.7460	 	 	 	4.5044	 	 	 	3.6042	 	 	 	2.8508	 	 	 	2.2935	 	 	 	1.7638	 	 	 	1.2283	 	 	 	0.8194	 	 	 	0.5463	 	 	 	0.1845	 	 	 	0.0437	 	 	 	0.0000	 
	December 15, 2023	 	 	9.1274	 	 	 	7.2788	 	 	 	5.5211	 	 	 	4.2380	 	 	 	3.3207	 	 	 	2.5650	 	 	 	2.0158	 	 	 	1.5047	 	 	 	1.0026	 	 	 	0.6339	 	 	 	0.3978	 	 	 	0.1079	 	 	 	0.0133	 	 	 	0.0000	 
	December 15, 2024	 	 	9.1274	 	 	 	7.1018	 	 	 	5.2216	 	 	 	3.8716	 	 	 	2.9277	 	 	 	2.1705	 	 	 	1.6372	 	 	 	1.1590	 	 	 	0.7134	 	 	 	0.4084	 	 	 	0.2283	 	 	 	0.0366	 	 	 	0.0000	 	 	 	0.0000	 
	December 15, 2025	 	 	9.1274	 	 	 	6.8048	 	 	 	4.7018	 	 	 	3.2324	 	 	 	2.2506	 	 	 	1.5117	 	 	 	1.0308	 	 	 	0.6392	 	 	 	0.3218	 	 	 	0.1411	 	 	 	0.0545	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 
	December 15, 2026	 	 	9.1274	 	 	 	6.7452	 	 	 	3.9674	 	 	 	1.7452	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 

 

If such Make-Whole Fundamental
Change Effective Date or Stock Price is not set forth in the table above, then:

 

(i)                
if such Stock Price is between two Stock Prices in the table above or the Make-Whole Fundamental Change Effective Date is between
two dates in the table above, then the number of Additional Shares will be determined by straight-line interpolation between the numbers
of Additional Shares set forth for the higher and lower Stock Prices in the table above or the earlier and later dates in the table above,
based on a 365- or 366-day year, as applicable; and

 

(ii)             
if the Stock Price is greater than $200.00 (subject to adjustment in the same manner as the Stock Prices set forth in the column
headings of the table above are adjusted pursuant to ‎Section 5.07(B)), or less than
$36.52 (subject to adjustment in the same manner), per share, then no Additional Shares will be added to the Conversion Rate.

 

Notwithstanding anything to
the contrary in this Indenture or the Notes, in no event will the Conversion Rate be increased to an amount that exceeds 27.3822 shares
of Common Stock per $1,000 principal amount of Notes, which amount is subject to adjustment in the same manner as, and at the same time
and for the same events for which, the Conversion Rate is required to be adjusted pursuant to ‎Section
5.05(A).

 

For the avoidance of doubt,
but subject to ‎Section 4.03(J), (x) the sending of a Redemption
Notice will constitute a Make-Whole Fundamental Change only with respect to the Notes called (or deemed called) for Redemption pursuant
to such Redemption Notice, and not with respect to any other Notes; and (y) the Conversion Rate applicable to the Notes not so called
for Redemption will not be subject to increase pursuant to this ‎Section
5.07 on account of such Redemption Notice, except to the limited extent described in ‎Section
4.03(J).

 

(B)              Adjustment
of Stock Prices and Number of Additional Shares. The Stock Prices in the first row (i.e., the column headers) of the
table set forth in ‎Section 5.07(A) will be adjusted in the same manner as, and at
the same time and for the same events for which, the Conversion Price is adjusted as a result of the operation of ‎Section
5.05(A). The numbers of Additional Shares in the table set forth in ‎Section
5.07(A) will be adjusted in the same manner as, and at the same time and for the same events for which, the Conversion Rate is
adjusted pursuant to ‎Section 5.05(A).

 

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(C)             
Notice of the Occurrence of a Make-Whole Fundamental Change. The Company will notify the Holders, the Trustee and the Conversion
Agent of each Make-Whole Fundamental Change occurring pursuant to clause (A) of the definition thereof in accordance with ‎Section
5.01(C)(i)(3)(b).

 

(D)            
Settlement of Cash Make-Whole Fundamental Changes. For the avoidance of doubt, if holders of Common Stock receive solely
cash in connection with a Common Stock Change Event that also constitutes a Make-Whole Fundamental Change, then, pursuant to ‎Section
5.09, conversions of Notes will thereafter be settled no later than the second (2nd) Business Day after the relevant Conversion Date.

 

Section
5.08. Exchange in Lieu of Conversion.

 

Notwithstanding anything to
the contrary in this ‎Article 5, and subject to the terms
of this ‎Section 5.08, if a Note is submitted for conversion,
the Company may elect to arrange to have such Note exchanged in lieu of conversion by a financial institution designated by the Company.
To make such election, the Company must send written notice of such election to the Holder of such Note, the Trustee and the Conversion
Agent before the Close of Business on the Business Day immediately following the Conversion Date for such Note. If the Company has made
such election, then:

 

(A)            
no later than the Business Day immediately following such Conversion Date, the Company must deliver (or cause the Conversion Agent
to deliver) such Note, together with delivery instructions for the Conversion Consideration due upon such conversion (including wire instructions,
if applicable), to a financial institution designated by the Company that has agreed to deliver such Conversion Consideration (or such
other amount agreed to by the Holder and the financial institution) in the manner and at the time the Company would have had to deliver
the same pursuant to this ‎Article 5;

 

(B)             
if such Note is a Global Note, then (i) such designated institution will send written confirmation to the Conversion Agent promptly
after wiring the cash Conversion Consideration, if any, and delivering any other Conversion Consideration (or such other consideration
agreed to by the Holder and the financial institution), due upon such conversion to the Holder of such Note; and (ii) the Conversion Agent
will as soon as reasonably practicable thereafter contact such Holder’s custodian with the Depositary to confirm receipt of the
same; and

 

(C)             
such Note will not cease to be outstanding by reason of such exchange in lieu of conversion;

 

provided, however, that if
such financial institution does not accept such Note or fails to timely deliver the Conversion Consideration (or such other amount
agreed to by the Holder and the financial institution) as set forth in ‎Section
5.08(A), then the Company will be responsible for delivering the Conversion Consideration in the manner and at the time provided
in this ‎Article 5 as if the Company had not elected to
make an exchange in lieu of conversion. The Conversion Agent will be entitled to conclusively rely upon the Company’s
instruction in connection with effecting such exchange election and will have no liability in respect of such exchange election.

 

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Section 5.09. Effect
of Common Stock Change Event.

 

(A)        Generally.
If there occurs any:

 

(i)              recapitalization,
reclassification or change of the Common Stock (other than (x) changes solely resulting from a subdivision or combination of the Common
Stock, (y) a change only in par value or from par value to no par value or no par value to par value or (z) stock splits and stock combinations
that do not involve the issuance of any other series or class of securities);

 

(ii)            consolidation,
merger, combination or binding or statutory share exchange involving the Company;

 

(iii)          sale,
lease or other transfer of all or substantially all of the assets of the Company and its Subsidiaries, taken as a whole, to any Person;
or

 

(iv)          other
similar event,

 

and, as a result of which, the Common Stock is
converted into, or is exchanged for, or represents solely the right to receive, other securities, cash or other property, or any combination
of the foregoing (such an event, a “Common Stock Change Event,” and such other securities, cash or property, the “Reference
Property,” and the amount and kind of Reference Property that a holder of one (1) share of Common Stock would be entitled to
receive on account of such Common Stock Change Event (without giving effect to any arrangement not to issue or deliver a fractional portion
of any security or other property), a “Reference Property Unit”), then, notwithstanding anything to the contrary in
this Indenture or the Notes,

 

(1)              
from and after the effective time of such Common Stock Change Event, (I) the Conversion Consideration due upon conversion of any
Note, and the conditions to any such conversion, will be determined in the same manner as if each reference to any number of shares of
Common Stock in this ‎Article 5 (or in any related definitions) were instead
a reference to the same number of Reference Property Units; (II) for purposes of ‎Section
4.03, each reference to any number of shares of Common Stock in such Section (or in any related definitions) will instead be deemed
to be a reference to the same number of Reference Property Units; and (III) for purposes of the definitions of “Fundamental Change”
and “Make-Whole Fundamental Change,” references to “Common Stock” and the Company’s “common equity”
will be deemed to mean the common equity, if any, forming part of such Reference Property;

 

(2)               if
such Reference Property Unit consists entirely of cash, then (I) each conversion of any Note with a Conversion Date that occurs on
or after the effective date of such Common Stock Change Event will be settled entirely in cash in an amount, per $1,000 principal
amount of such Note being converted, equal to the product of (x) the Conversion Rate in effect on such Conversion Date (including,
for the avoidance of doubt, any increase to such Conversion Rate pursuant to ‎Section
5.07, if applicable); and (y) the amount of cash constituting such Reference Property Unit; and (II) the Company will settle
each such conversion no later than the second (2nd) Business Day after the relevant Conversion Date; and

 

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(3)              
for these purposes, (I) the Daily VWAP of any Reference Property Unit or portion thereof that consists of a class of common equity
securities will be determined by reference to the definition of “Daily VWAP,” substituting, if applicable, the Bloomberg page
for such class of securities in such definition; and (II) the Daily VWAP of any Reference Property Unit or portion thereof that does not
consist of a class of common equity securities, and the Last Reported Sale Price of any Reference Property Unit or portion thereof that
does not consist of a class of securities, will be the fair value of such Reference Property Unit or portion thereof, as applicable, determined
in good faith by the Company (or, in the case of cash denominated in U.S. dollars, the face amount thereof).

 

If the Reference Property
consists of more than a single type of consideration to be determined based in part upon any form of stockholder election, then the composition
of the Reference Property Unit will be deemed to be the weighted average of the types and amounts of consideration actually received,
per share of Common Stock, by the holders of Common Stock. The Company will notify Holders, the Trustee and the Conversion Agent (if other
than the Trustee) in writing of such weighted average as soon as practicable after such determination is made.

 

At or before the effective
time of such Common Stock Change Event, the Company and the resulting, surviving or transferee Person (if not the Company) of such Common
Stock Change Event (the “Successor Person”) will execute and deliver to the Trustee a supplemental indenture pursuant
to ‎Section 8.01(F), which supplemental indenture will (x)
provide for subsequent conversions of Notes in the manner set forth in this ‎Section
5.09; (y) provide for subsequent adjustments to the Conversion Rate pursuant to ‎Section
5.05(A) in a manner consistent with this ‎Section 5.09;
and (z) contain such other provisions, if any, that the Company reasonably determines are appropriate to preserve the economic interests
of the Holders and to give effect to the provisions of this ‎Section
5.09(A). If the Reference Property includes shares of stock or other securities or assets (other than cash) of a Person other than
the Successor Person, then such other Person will also execute such supplemental indenture and such supplemental indenture will contain
such additional provisions, if any, that the Company reasonably determines are appropriate to preserve the economic interests of the Holders.

 

(B)          Notice
of Common Stock Change Events. The Company will provide notice of each Common Stock Change Event to Holders, the Trustee and the
Conversion Agent no later than the Business Day after the effective date of such Common Stock Change Event.

 

(C)        
Compliance Covenant. The Company will not become a party to any Common Stock Change Event unless its terms are consistent
with this ‎Section 5.09.

 

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Article
6          
Successors

 

Section 6.01. When
the Company May Merge, Etc.

 

(A)        Generally.
The Company will not consolidate with or merge with or into, or (directly, or indirectly through one or more of its Subsidiaries) sell,
lease or otherwise transfer, in one transaction or a series of transactions, all or substantially all of the assets of the Company and
its Subsidiaries, taken as a whole, to another Person (a “Business Combination Event”), unless:

 

(i)                
the resulting, surviving or transferee Person either (x) is the Company or (y) if not the Company, is a corporation (or, if such
Business Combination Event is an Exempted Fundamental Change, is a corporation, limited liability company, limited partnership or other
similar entity) (the “Successor Entity”) duly organized and existing under the laws of the United States of America,
any State thereof or the District of Columbia that expressly assumes (by executing and delivering to the Trustee, at or before the effective
time of such Business Combination Event, a supplemental indenture pursuant to ‎Section 8.01(E))
all of the Company’s obligations under this Indenture and the Notes; and

 

(ii)             
immediately after giving effect to such Business Combination Event, no Default or Event of Default will have occurred and be continuing.

 

(B)         Delivery
of Officer’s Certificate and Opinion of Counsel to the Trustee. Before the effective time of any Business Combination Event,
the Company will deliver to the Trustee an Officer’s Certificate and Opinion of Counsel, each stating that (i) such Business Combination
Event (and, if applicable, the related supplemental indenture) comply with ‎Section 6.01(A);
and (ii) all conditions precedent to such Business Combination Event provided in this Indenture have been satisfied.

 

Section 6.02. Successor
Entity Substituted.

 

At the effective time of any
Business Combination Event that complies with ‎Section 6.01,
the Successor Entity (if not the Company) will succeed to, and may exercise every right and power of, the Company under this Indenture
and the Notes with the same effect as if such Successor Entity had been named as the Company in this Indenture and the Notes, and, except
in the case of a lease, the predecessor Company will be discharged from its obligations under this Indenture and the Notes.

 

Section 6.03. Exclusion
for Asset Transfers with Wholly Owned Subsidiaries.

 

Notwithstanding anything to
the contrary in this ‎Article 6, this ‎Article
6 will not apply to any transfer of assets between or among the Company and any one or more of its Wholly Owned Subsidiaries not effected
by merger or consolidation.

 

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Article
7          Defaults and Remedies

 

Section 7.01. Events
of Default.

 

(A)        Definition
of Events of Default. “Event of Default” means the occurrence of any of the following:

 

(i)                
a default in the payment when due (whether at maturity, upon Redemption, Repurchase Upon Fundamental Change or otherwise) of the
principal of, or the Redemption Price or Fundamental Change Repurchase Price for, any Note;

 

(ii)             
a default for thirty (30) consecutive days in the payment when due of interest on any Note;

 

(iii)           
the Company’s failure to deliver, when required by this Indenture, (x) a Fundamental Change Notice, or (y) a notice pursuant
to ‎Section 5.01(C)(i)(3), or (z) a notice of a Make-Whole Fundamental Change (other
than a Make-Whole Fundamental Change pursuant to clause (B) of the definition thereof) pursuant to the provisions referred to in
‎Section 5.07(C), and, in the case of clause (x) only, such failure is not cured
within five (5) days after its occurrence;

 

(iv)            
a default in the Company’s obligation to convert a Note in accordance with ‎Article
5 upon the exercise of the conversion right with respect thereto, if such default is not cured within three (3) days after its occurrence;

 

(v)              
a default in the Company’s obligations under ‎Article 6;

 

(vi)            
a default in any of the Company’s obligations or agreements under this Indenture or the Notes (other than a default set forth
in clause ‎(i), ‎(ii), ‎(iii),
‎(iv) or ‎(v) of this ‎Section
7.01(A)) where such default is not cured or waived within sixty (60) days after written notice to the Company by the Trustee, or to
the Company and the Trustee by Holders of at least twenty five percent (25%) of the aggregate principal amount of Notes then outstanding,
which notice must specify such default, demand that it be remedied and state that such notice is a “Notice of Default”;

 

(vii)         
a default by the Company or any of its Subsidiaries with respect to any one or more mortgages, agreements or other instruments
under which there is outstanding, or by which there is secured or evidenced, any indebtedness for money borrowed of at least one hundred
million dollars ($100,000,000) (or its foreign currency equivalent) in the aggregate of the Company or any of its Subsidiaries, whether
such indebtedness exists as of the Issue Date or is thereafter created, where such default:

 

(1)              
constitutes a failure to pay the principal of such indebtedness when due and payable at its stated maturity, upon required repurchase,
upon declaration of acceleration or otherwise, in each case after the expiration of any applicable grace period; or

 

(2)              
 results in such indebtedness becoming or being declared due and payable before its stated maturity,

 

in each case where such default is not
cured or waived within thirty (30) days after notice to the Company by the Trustee or to the Company and the Trustee by Holders of at
least twenty five percent (25%) of the aggregate principal amount of Notes then outstanding;

 

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(viii)       
the Company or any of its Significant Subsidiaries, pursuant to or within the meaning of any Bankruptcy Law, either:

 

(1)              
commences a voluntary case or proceeding;

 

(2)              
consents to the entry of an order for relief against it in an involuntary case or proceeding;

 

(3)              
consents to the appointment of a custodian of it or for any substantial part of its property;

 

(4)              
makes a general assignment for the benefit of its creditors;

 

(5)              
takes any comparable action under any foreign Bankruptcy Law; or

 

(6)              
generally is not paying its debts as they become due; or

 

(ix)           a
court of competent jurisdiction enters an order or decree under any Bankruptcy Law that either:

 

(1)              
is for relief against the Company or any of its Significant Subsidiaries in an involuntary case or proceeding;

 

(2)              
appoints a custodian of the Company or any of its Significant Subsidiaries, or for any substantial part of the property of the
Company or any of its Significant Subsidiaries;

 

(3)              
orders the winding up or liquidation of the Company or any of its Significant Subsidiaries; or

 

(4)              
grants any similar relief under any foreign Bankruptcy Law,

 

and, in each case under this ‎Section
7.01(A)(ix), such order or decree remains unstayed and in effect for at least sixty (60) days.

 

(B)         Cause
Irrelevant. Each of the events set forth in ‎Section 7.01(A) will constitute an
Event of Default regardless of the cause thereof or whether voluntary or involuntary or effected by operation of law or pursuant to any
judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body.

 

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Section 7.02. Acceleration.

 

(A)            
Automatic Acceleration in Certain Circumstances. If an Event of Default set forth in ‎Section
7.01(A)(viii) or ‎7.01(A)(ix) occurs with respect to the Company (and not solely
with respect to a Significant Subsidiary of the Company), then the principal amount of, and all accrued and unpaid interest on, all of
the Notes then outstanding will immediately become due and payable without any further action or notice by any Person.

 

(B)             
Optional Acceleration. Subject to ‎Section 7.03, if an Event of Default
(other than an Event of Default set forth in ‎Section 7.01(A)(viii) or ‎7.01(A)(ix)
with respect to the Company and not solely with respect to a Significant Subsidiary of the Company) occurs and is continuing, then the
Trustee, by notice to the Company, or Holders of at least twenty five percent (25%) of the aggregate principal amount of Notes then outstanding,
by notice to the Company and the Trustee, may declare the principal amount of, and all accrued and unpaid interest on, all of the Notes
then outstanding to become due and payable immediately.

 

(C)             
Rescission of Acceleration. Notwithstanding anything to the contrary in this Indenture or the Notes, the Holders of a majority
in aggregate principal amount of the Notes then outstanding, by notice to the Company and the Trustee, may, on behalf of all Holders,
rescind any acceleration of the Notes and its consequences if (i) such rescission would not conflict with any judgment or decree of a
court of competent jurisdiction; and (ii) all existing Events of Default (except the non-payment of principal of, or interest on, the
Notes that has become due solely because of such acceleration) have been cured or waived. No such rescission will affect any subsequent
Default or impair any right consequent thereto.

 

Section 7.03. Sole
Remedy for a Failure to Report.

 

(A)            
Generally. Notwithstanding anything to the contrary in this Indenture or the Notes, the Company may elect that the sole
remedy for any Event of Default (a “Reporting Event of Default”) pursuant to ‎Section
7.01(A)(vi) arising from the Company’s failure to comply with ‎Section 3.02
will, for each of the first two hundred seventy (270) calendar days on which a Reporting Event of Default has occurred and is continuing,
consist exclusively of the accrual of Special Interest on the Notes. If the Company has made such an election, then (i) the Notes will
be subject to acceleration pursuant to ‎Section 7.02 on account of the relevant Reporting
Event of Default from, and including, the two hundred seventy-first (271st) calendar day on which a Reporting Event of Default has occurred
and is continuing or if the Company fails to pay any accrued and unpaid Special Interest when due; and (ii) Special Interest will cease
to accrue on any Notes from, and including, such two hundred seventy-first (271st) calendar day (it being understood that interest on
any defaulted Special Interest will nonetheless accrue pursuant to ‎Section 2.05(B)).

 

(B)              Amount
and Payment of Special Interest. Any Special Interest that accrues on a Note pursuant to ‎Section
7.03(A) will be payable on the same dates and in the same manner as the Stated Interest on such Note and will accrue at a rate
per annum equal to one quarter of one percent (0.25%) of the principal amount thereof for the first ninety (90) days on which
Special Interest accrues and, thereafter, at a rate per annum equal to one half of one percent (0.50%) of the principal amount
thereof; provided, however, that in no event will Special Interest, together with any Additional Interest, accrue on
any day on a Note at a combined rate per annum that exceeds one percent (1.00%). For the avoidance of doubt, any Special Interest
that accrues on a Note will be in addition to the Stated Interest that accrues on such Note and, subject to the proviso of the
immediately preceding sentence, in addition to any Additional Interest that accrues on such Note.

 

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(C)             
Notice of Election. To make the election set forth in ‎Section 7.03(A),
the Company must send to the Holders, the Trustee and the Paying Agent, before the date on which each Reporting Event of Default first
occurs, a written notice that (i) briefly describes the report(s) that the Company failed to file with the SEC; (ii) states that the Company
is electing that the sole remedy for such Reporting Event of Default consist of the accrual of Special Interest; and (iii) briefly describes
the periods during which and rate at which Special Interest will accrue and the circumstances under which the Notes will be subject to
acceleration on account of such Reporting Event of Default.

 

(D)            
Notice to Trustee and Paying Agent; Trustee’s Disclaimer. If Special Interest accrues on any Note, then, no later
than five (5) Business Days before each date on which such Special Interest is to be paid, the Company will deliver an Officer’s
Certificate to the Trustee and the Paying Agent stating (i) that the Company is obligated to pay Special Interest on such Note on such
date of payment; and (ii) the amount of such Special Interest that is payable on such date of payment. The Trustee will have no duty to
determine whether any Special Interest is payable or the amount thereof.

 

(E)             
No Effect on Other Events of Default. No election pursuant to this ‎Section
7.03 with respect to a Reporting Event of Default will affect the rights of any Holder with respect to any other Event of Default,
including with respect to any other Reporting Event of Default.

 

Section 7.04. Other
Remedies.

 

(A)            
Trustee May Pursue All Remedies. If an Event of Default occurs and is continuing, then the Trustee may pursue any available
remedy to collect the payment of any amounts due with respect to the Notes or to enforce the performance of any provision of this Indenture
or the Notes.

 

(B)             
Procedural Matters. The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not produce
any of them in such proceeding. A delay or omission by the Trustee or any Holder in exercising any right or remedy following an Event
of Default will not impair the right or remedy or constitute a waiver of, or acquiescence in, such Event of Default. All remedies will
be cumulative to the extent permitted by law.

 

Section 7.05. Waiver
of Past Defaults.

 

An Event of Default
pursuant to clause ‎(i), ‎(ii), ‎(iv)
or ‎(vi) of ‎Section
7.01(A) (that, in the case of clause ‎(vi) only,
results from a Default under any covenant that cannot be amended without the consent of each affected Holder), and a Default that
could lead to such an Event of Default, can be waived only with the consent of each affected Holder. Each other Default or Event of
Default may be waived, on behalf of all Holders, by the Holders of a majority in aggregate principal amount of the Notes then
outstanding. If an Event of Default is so waived, then it will cease to exist. If a Default is so waived, then it will be deemed to
be cured and any Event of Default arising therefrom will be deemed not to occur. However, no such waiver will extend to any
subsequent or other Default or Event of Default or impair any right arising therefrom.

 

    - 68 -

     

    

 

Section 7.06. Control
by Majority.

 

Subject to the last sentence
of this paragraph, Holders of a majority in aggregate principal amount of the Notes then outstanding may direct the time, method and place
of conducting any proceeding for exercising any remedy available to the Trustee or exercising any trust or power conferred on it. However,
the Trustee may refuse to follow any direction that conflicts with law, this Indenture or the Notes, or that the Trustee determines may
be unduly prejudicial to the rights of other Holders (it being understood that the Trustee does not have an affirmative duty to determine
whether any direction is prejudicial to any Holder) or may involve the Trustee in liability. Prior to taking any action under this Indenture,
the Trustee is entitled to security and indemnity satisfactory to the Trustee against any loss, liability or expense to the Trustee that
may result from the Trustee’s following such direction.

 

Section 7.07. Limitation
on Suits.

 

No Holder may pursue any remedy
with respect to this Indenture or the Notes (except to enforce (x) its rights to receive the principal of, or the Redemption Price or
Fundamental Change Repurchase Price for, or interest on, any Notes; or (y) the Company’s obligations to convert any Notes pursuant
to ‎Article 5), unless:

 

(A)            
such Holder has previously delivered to the Trustee notice that an Event of Default is continuing;

 

(B)             
Holders of at least twenty five percent (25%) in aggregate principal amount of the Notes then outstanding deliver a written request
to the Trustee to pursue such remedy;

 

(C)             
such Holder or Holders offer and, if requested, provide to the Trustee security and indemnity satisfactory to the Trustee against
any loss, liability or expense to the Trustee that may result from the Trustee’s following such request;

 

(D)            
the Trustee does not comply with such request within sixty (60) calendar days after its receipt of such request and such offer
of security or indemnity; and

 

(E)             
during such sixty (60) calendar day period, Holders of a majority in aggregate principal amount of the Notes then outstanding do
not deliver to the Trustee a direction that is inconsistent with such request.

 

A Holder of a Note may not
use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over another Holder. The Trustee will
have no duty to determine whether any Holder’s use of this Indenture complies with the preceding sentence.

 

    - 69 -

     

    

 

Section 7.08. Absolute
Right of Holders to Institute Suit for the Enforcement of the Right to Receive Payment and Conversion Consideration.

 

Notwithstanding anything to
the contrary in this Indenture or the Notes (but without limiting ‎Section
8.01), the right of each Holder of a Note to bring suit for the enforcement of any payment or delivery, as applicable, of the principal
of, or the Redemption Price or Fundamental Change Repurchase Price for, or any interest on, or the Conversion Consideration due pursuant
to ‎Article 5 upon conversion of, such Note on or after the
respective due dates therefor provided in this Indenture and the Notes, will not be impaired or affected without the consent of such Holder.

 

Section 7.09. Collection
Suit by Trustee.

 

The Trustee will have the
right, upon the occurrence and continuance of an Event of Default pursuant to clause ‎(i),
‎(ii) or ‎(iv)
of ‎Section 7.01(A), to recover judgment in its own
name and as trustee of an express trust against the Company for the total unpaid or undelivered principal of, or Redemption Price or Fundamental
Change Repurchase Price for, or interest on, or Conversion Consideration due pursuant to ‎Article
5 upon conversion of, the Notes, as applicable, and, to the extent lawful, any Default Interest on any Defaulted Amounts, and such
further amounts sufficient to cover the costs and expenses of collection, including compensation provided for in ‎Section
10.06.

 

Section 7.10. Trustee
May File Proofs of Claim.

 

The Trustee has the right
to (A) file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the claims of the Trustee
and the Holders allowed in any judicial proceedings relative to the Company (or any other obligor upon the Notes) or its creditors or
property and (B) collect, receive and distribute any money or other property payable or deliverable on any such claims. Each Holder authorizes
any custodian in such proceeding to make such payments to the Trustee, and, if the Trustee consents to the making of such payments directly
to the Holders, to pay to the Trustee any amount due to the Trustee for the reasonable compensation, expenses, disbursements and advances
of the Trustee, and its agents and counsel, and any other amounts payable to the Trustee pursuant to ‎Section
10.06. To the extent that the payment of any such compensation, expenses, disbursements, advances and other amounts out of the estate
in such proceeding, is denied for any reason, payment of the same will be secured by a lien on, and will be paid out of, any and all distributions,
dividends, money, securities and other properties that the Holders may be entitled to receive in such proceeding (whether in liquidation
or under any plan of reorganization or arrangement or otherwise). Nothing in this Indenture will be deemed to authorize the Trustee to
authorize, consent to, accept or adopt on behalf of any Holder any plan of reorganization, arrangement, adjustment or composition affecting
the Notes or the rights of any Holder, or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding.

 

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Section 7.11. Priorities.

 

The Trustee will pay or deliver
in the following order any money or other property that it collects pursuant to this ‎Article
7:

 

First:            to the Trustee, the other Note Agents and each of their respective agents and attorneys for amounts due under ‎Section
10.06, including payment of all fees, compensation, expenses and liabilities incurred, and all advances made, by the Trustee and the
Note Agents and the costs and expenses of collection;

 

Second:      to
Holders for unpaid amounts or other property due on the Notes, including the principal of, or the Redemption Price or Fundamental Change
Repurchase Price for, or any interest on, or any Conversion Consideration due upon conversion of, the Notes, ratably, and without preference
or priority of any kind, according to such amounts or other property due and payable on all of the Notes; and

 

Third:         to the Company or such other Person as a court of competent jurisdiction directs.

 

The Trustee may fix a record
date and payment date for any payment or delivery to the Holders pursuant to this ‎Section
7.11, in which case the Trustee will instruct the Company to, and the Company will, deliver, at least fifteen (15) calendar days before
such record date, to each Holder and the Trustee a notice stating such record date, such payment date and the amount of such payment or
nature of such delivery, as applicable.

 

Section 7.12. Undertaking
for Costs.

 

In any suit for the enforcement
of any right or remedy under this Indenture or the Notes or in any suit against the Trustee for any action taken or omitted by it as Trustee,
a court, in its discretion, may (A) require the filing by any litigant party in such suit of an undertaking to pay the costs of such suit;
and (B) assess reasonable costs (including reasonable attorneys’ fees) against any litigant party in such suit, having due regard
to the merits and good faith of the claims or defenses made by such litigant party; provided, however, that this ‎Section
7.12 does not apply to any suit by the Trustee, any suit by a Holder pursuant to ‎Section
7.08 or any suit by one or more Holders of more than ten percent (10%) in aggregate principal amount of the Notes then outstanding.

 

Article
8            
Amendments, Supplements and Waivers

 

Section 8.01. Without
the Consent of Holders.

 

Notwithstanding anything to
the contrary in ‎Section 8.02, the Company and the Trustee
may amend or supplement this Indenture or the Notes without the consent of any Holder to:

 

(A)            
cure any ambiguity or correct any omission, defect or inconsistency in this Indenture or the Notes;

 

(B)             
add guarantees with respect to the Company’s obligations under this Indenture or the Notes;

 

(C)             
secure the Notes;

 

    - 71 -

     

    

 

 

(D)            
 add to the Company’s covenants or Events of Default for the benefit of the Holders or surrender any right or power conferred
on the Company under this Indenture;

 

(E)             
provide for the assumption of the Company’s obligations under this Indenture and the Notes pursuant to, and in compliance
with, ‎Article 6;

 

(F)             
enter into supplemental indentures pursuant to, and in accordance with, ‎Section
5.09 in connection with a Common Stock Change Event;

 

(G)            
irrevocably elect or eliminate any Settlement Method or Specified Dollar Amount; provided, however, that no such
election or elimination will affect any Settlement Method theretofore elected (or deemed to be elected) with respect to any Note pursuant
to ‎Section 5.03(A);

 

(H)            
evidence or provide for the acceptance of the appointment, under this Indenture, of a successor Trustee;

 

(I)               
conform the provisions of this Indenture and the Notes to the “Description of Notes” section of the Company’s
preliminary offering memorandum, dated December 8, 2021, as supplemented by the related pricing term sheet, dated December 9,
2021;

 

(J)               
provide for or confirm the issuance of additional Notes pursuant to ‎Section 2.03(B);

 

(K)            
comply with any requirement of the SEC in connection with any qualification of this Indenture or any supplemental indenture under
the Trust Indenture Act, as then in effect; or

 

(L)             
make any other change to this Indenture or the Notes that does not, individually or in the aggregate with all other such changes,
adversely affect the rights of the Holders, as such, in any material respect.

 

At the written request of
any Holder of a Note or owner of a beneficial interest in a Global Note, the Company will provide a copy of the “Description of
Notes” section and pricing term sheet referred to in ‎Section
8.01(I).

 

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Section
8.02. With the Consent of Holders.

 

(A)            
Generally. Subject to Sections ‎8.01, ‎7.05
and ‎7.08 and the immediately following sentence, the Company and the Trustee may, with
the consent of the Holders of a majority in aggregate principal amount of the Notes then outstanding, amend or supplement this Indenture
or the Notes or waive compliance with any provision of this Indenture or the Notes. Notwithstanding anything to the contrary in the foregoing
sentence, but subject to Section ‎8.01, without the consent of each affected
Holder, no amendment or supplement to this Indenture or the Notes, or waiver of any provision of this Indenture or the Notes, may:

 

(i)                
reduce the principal, or extend the stated maturity, of any Note;

 

(ii)             
 reduce the Redemption Price or Fundamental Change Repurchase Price for any Note or change the times at which, or the circumstances
under which, the Notes may or will be redeemed or repurchased by the Company;

 

(iii)           
reduce the rate, or extend the time for the payment, of interest on any Note;

 

(iv)            
make any change that adversely affects the conversion rights of any Note;

 

(v)              
impair the rights of any Holder set forth in ‎Section 7.08 (as such section is
in effect on the Issue Date);

 

(vi)            
change the ranking of the Notes;

 

(vii)         
make any Note payable in money, or at a place of payment, other than that stated in this Indenture or the Note;

 

(viii)       
reduce the amount of Notes whose Holders must consent to any amendment, supplement, waiver or other modification; or

 

(ix)            
make any direct or indirect change to any amendment, supplement, waiver or modification provision of this Indenture or the Notes
that requires the consent of each affected Holder.

 

For the avoidance of doubt,
pursuant to clauses ‎(i), ‎(ii),
‎(iii) and ‎(iv)
of this ‎Section 8.02(A), no amendment or supplement
to this Indenture or the Notes, or waiver of any provision of this Indenture or the Notes, may change the amount or type of consideration
due on any Note (whether on an Interest Payment Date, Redemption Date, Fundamental Change Repurchase Date or the Maturity Date or upon
conversion, or otherwise), or the date(s) or time(s) such consideration is payable or deliverable, as applicable, without the consent
of each affected Holder.

 

(B)             
Holders Need Not Approve the Particular Form of any Amendment. A consent of any Holder pursuant to this ‎Section
8.02 need approve only the substance, and not necessarily the particular form, of the proposed amendment, supplement or waiver.

 

Section
8.03. Notice of Amendments, Supplements and Waivers.

 

As soon as reasonably practicable
after any amendment, supplement or waiver pursuant to Section ‎8.01
or ‎8.02 becomes effective, the Company will send to the
Holders and the Trustee notice that (A) describes the substance of such amendment, supplement or waiver in reasonable detail and (B) states
the effective date thereof; provided, however, that the Company will not be required to provide such notice to the Holders
if such amendment, supplement or waiver is included in a periodic report filed by the Company with the SEC within four (4) Business Days
of its effectiveness. The failure to send, or the existence of any defect in, such notice will not impair or affect the validity of such
amendment, supplement or waiver.

 

    - 73 - 

     

    

 

Section
8.04. Revocation, Effect and Solicitation of Consents; Special Record Dates; Etc.

 

(A)            
Revocation and Effect of Consents. The consent of a Holder of a Note to an amendment, supplement or waiver will bind (and
constitute the consent of) each subsequent Holder of any Note to the extent the same evidences any portion of the same indebtedness as
the consenting Holder’s Note, subject to the right of any Holder of a Note to revoke (if not prohibited pursuant to ‎Section
8.04(B)) any such consent with respect to such Note by delivering notice of revocation to the Trustee before the time such amendment,
supplement or waiver becomes effective.

 

(B)             
Special Record Dates. The Company may, but is not required to, fix a record date for the purpose of determining the Holders
entitled to consent or take any other action in connection with any amendment, supplement or waiver pursuant to this ‎Article
8. If a record date is fixed, then, notwithstanding anything to the contrary in ‎Section
8.04(A), only Persons who are Holders as of such record date (or their duly designated proxies) will be entitled to give such consent,
to revoke any consent previously given or to take any such action, regardless of whether such Persons continue to be Holders after such
record date; provided, however, that no such consent will be valid or effective for more than one hundred and twenty (120)
calendar days after such record date.

 

(C)             
Solicitation of Consents. For the avoidance of doubt, each reference in this Indenture or the Notes to the consent of a
Holder will be deemed to include any such consent obtained in connection with a repurchase of, or tender or exchange offer for, any Notes.

 

(D)            
Effectiveness and Binding Effect. Each amendment, supplement or waiver pursuant to this ‎Article
8 will become effective in accordance with its terms and, when it becomes effective with respect to any Note (or any portion thereof),
will thereafter bind every Holder of such Note (or such portion).

 

Section
8.05. Notations and Exchanges.

 

If any amendment, supplement
or waiver changes the terms of a Note, then the Trustee or the Company may, in its discretion, require the Holder of such Note to deliver
such Note to the Trustee so that the Trustee may place an appropriate notation prepared by the Company on such Note and return such Note
to such Holder. Alternatively, at its discretion, the Company may, in exchange for such Note, issue, execute and deliver, and the Trustee
will authenticate, in each case in accordance with ‎Section 2.02,
a new Note that reflects the changed terms. The failure to make any appropriate notation or issue a new Note pursuant to this ‎Section
8.05 will not impair or affect the validity of such amendment, supplement or waiver.

 

Section
8.06. Trustee to Execute Supplemental Indentures.

 

The Trustee will execute
and deliver any amendment or supplemental indenture authorized pursuant to this ‎Article
8; provided, however, that the Trustee need not (but may, in its sole and absolute discretion) execute or deliver
any such amendment or supplemental indenture that adversely affects the Trustee’s rights, duties, liabilities or immunities.
In executing any amendment or supplemental indenture, the Trustee will be entitled to receive, and (subject to Sections ‎10.01 and ‎10.02)
will be fully protected in relying on, an Officer’s Certificate and an Opinion of Counsel stating that (A) the execution and
delivery of such amendment or supplemental indenture is authorized or permitted by this Indenture; and (B) in the case of the
Opinion of Counsel, such amendment or supplemental indenture is valid, binding and enforceable against the Company in accordance
with its terms.

 

    - 74 - 

     

    

 

Article
9                  
Satisfaction and Discharge

 

Section
9.01. Termination of Company’s Obligations.

 

This Indenture will be discharged,
and will cease to be of further effect as to all Notes issued under this Indenture, when:

 

(A)            
all Notes then outstanding (other than Notes replaced pursuant to ‎Section 2.12)
have (i) been delivered to the Trustee for cancellation; or (ii) become due and payable (whether on a Redemption Date, a Fundamental Change
Repurchase Date, the Maturity Date, upon conversion or otherwise) for an amount of cash or Conversion Consideration, as applicable, that
has been fixed;

 

(B)             
the Company has caused there to be irrevocably deposited with the Trustee, or with the Paying Agent (or, with respect to Conversion
Consideration, the Conversion Agent), in each case for the benefit of the Holders, or has otherwise caused there to be delivered to the
Holders, cash (or, with respect to Notes to be converted, Conversion Consideration) sufficient to satisfy all amounts or other property
due on all Notes then outstanding (other than Notes replaced pursuant to ‎Section 2.12);

 

(C)             
the Company has paid all other amounts payable by it under this Indenture; and

 

(D)            
the Company has delivered to the Trustee an Officer’s Certificate and an Opinion of Counsel, each stating that the conditions
precedent to the discharge of this Indenture have been satisfied;

 

provided, however, that ‎Section
2.10(E), ‎Article 10 and ‎Section
11.01 will survive such discharge and, until no Notes remain outstanding, ‎Section
2.14 and the obligations of the Trustee, the Paying Agent and the Conversion Agent with respect to money or other property deposited
with them will survive such discharge.

 

At the Company’s request,
the Trustee will acknowledge the satisfaction and discharge of this Indenture.

 

Section
9.02. Repayment to Company.

 

Subject to applicable
unclaimed property law, the Trustee, the Paying Agent and the Conversion Agent will promptly notify the Company if there exists
(and, at the Company’s request, promptly deliver to the Company) any cash, Conversion Consideration or other property held by
any of them for payment or delivery on the Notes that remain unclaimed two (2) years after the date on which such payment or
delivery was due. After such delivery to the Company, the Trustee, the Paying Agent and the Conversion Agent will have no further
liability to any Holder with respect to such cash, Conversion Consideration or other property, and Holders entitled to the payment
or delivery of such cash, Conversion Consideration or other property must look to the Company for payment as a general creditor of
the Company.

 

Section
9.03. Reinstatement.

 

If the Trustee, the Paying
Agent or the Conversion Agent is unable to apply any cash or other property deposited with it pursuant to ‎Section
9.01 because of any legal proceeding or any order or judgment of any court or other governmental authority that enjoins, restrains
or otherwise prohibits such application, then the discharge of this Indenture pursuant to ‎Section
9.01 will be rescinded; provided, however, that if the Company thereafter pays or delivers any cash or other property
due on the Notes to the Holders thereof, then the Company will be subrogated to the rights of such Holders to receive such cash or other
property from the cash or other property, if any, held by the Trustee, the Paying Agent or the Conversion Agent, as applicable.

 

    - 75 - 

     

    

 

Article
10              
Trustee

 

Section
10.01. Duties of the Trustee.

 

(A)            
If an Event of Default has occurred and is continuing of which a Responsible Officer of the Trustee has written notice or actual
knowledge, the Trustee will exercise such of the rights and powers vested in it by this Indenture, and use the same degree of care and
skill in its exercise, as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs;
provided that the Trustee will be under no obligation to exercise any of the rights or powers under this Indenture at the request
or direction of any of the Holder unless such Holders have offered, and if requested, provided, to the Trustee indemnity or security satisfactory
to Trustee against any loss, liability or expense that might be incurred by it in compliance with such request or direction.

 

(B)             
Except during the continuance of an Event of Default:

 

(i)                
the duties of the Trustee will be determined solely by the express provisions of this Indenture, and the Trustee need perform only
those duties that are specifically set forth in this Indenture and no others, and no implied covenants or obligations will be read into
this Indenture against the Trustee; and

 

(ii)             
in the absence of bad faith or willful misconduct on its part, the Trustee may conclusively rely, as to the truth of the statements
and the correctness of the opinions expressed therein, upon Officer’s Certificates or Opinions of Counsel that are provided to the
Trustee and conform to the requirements of this Indenture. However, the Trustee will examine the certificates and opinions to determine
whether or not they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of mathematical calculations
or other facts stated therein).

 

(C)             
 The Trustee may not be relieved from liabilities for its negligence or willful misconduct as determined by a final non-appealable
order of a court of competent jurisdiction, except that:

 

(i)                
this paragraph will not limit the effect of ‎Section 10.01(B);

 

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

 

(iii)           
the Trustee will not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction
received by it pursuant to ‎Section 7.06; and

 

(iv)            
no provision of this Indenture will require the Trustee to expend or risk its own funds or incur any liability in the performance
of any of its duties under this Indenture, or in the exercise of any of its rights or powers, if it has reasonable grounds to believe
that repayment of such funds or adequate indemnity against such liability is not reasonably assured to it.

 

(D)            
Each provision of this Indenture that in any way relates to the Trustee is subject to paragraphs ‎(A),
‎(B) and ‎(C) of this ‎Section
10.01, regardless of whether such provision so expressly provides.

 

(E)             
No provision of this Indenture will require the Trustee to expend or risk its own funds or incur any liability in the performance
of any of its duties or in the exercise of any of its rights or powers.

 

    - 76 - 

     

    

 

(F)             
The Trustee will not be liable for interest on any money received by it, except as the Trustee may agree in writing with the Company.
Money held in trust by the Trustee need not be segregated from other funds, except to the extent required by law.

 

(G)            
Whether or not therein provided, every provision of this Indenture relating to the conduct or affecting the liability of, or affording
protection to, the Trustee will be subject to the provisions of this ‎Section 10.01.

 

(H)            
The Trustee will not be liable in respect of any payment (as to the correctness of amount, entitlement to receive or any other
matters relating to payment) or notice effected by the Company or any Paying Agent (except in its capacity as Paying Agent pursuant to
the terms of this Indenture) or any records maintained by any co-Note Registrar with respect to the Notes.

 

(I)               
Under no circumstances will the Trustee be liable in its individual capacity for the obligations evidenced by the Notes.

 

Section
10.02. Rights of the Trustee.

 

(A)            
The Trustee may conclusively rely on any document that it believes to be genuine and signed or presented by the proper Person,
and the Trustee need not investigate any fact or matter stated in such document.

 

(B)             
Before the Trustee acts or refrains from acting, it may require, and may conclusively rely on, an Officer’s Certificate,
an Opinion of Counsel or both. The Trustee will not be liable for any action it takes or omits to take in good faith in reliance on such
Officer’s Certificate or Opinion of Counsel. The Trustee may consult with counsel; and the written advice of such counsel, or any
Opinion of Counsel, will constitute full and complete authorization of the Trustee to take or omit to take any action in good faith in
reliance thereon without liability.

 

(C)             
The Trustee may act through its attorneys and agents and will not be responsible for the misconduct or negligence of any such agent
appointed with due care.

 

(D)            
The Trustee will not be liable for any action it takes or omits to take in good faith and that it believes to be authorized or
within the rights or powers vested in it by this Indenture.

 

(E)             
Unless otherwise specifically provided in this Indenture, any demand, request, direction or notice from the Company will be sufficient
if signed by an Officer.

 

(F)             
The Trustee need not exercise any rights or powers vested in it by this Indenture at the request or direction of any Holder unless
such Holder has offered, and if requested, provided the Trustee security or indemnity satisfactory to the Trustee against any loss, liability
or expense that it may incur in complying with such request or direction.

 

(G)            
The Trustee will not be responsible or liable for any punitive, special, indirect, incidental or consequential loss or damage (including
lost profits), even if the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action.

 

    - 77 - 

     

    

 

(H)            
The Trustee will not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent, order, bond, debenture, note, other evidence of indebtedness or other
paper or document, but the Trustee, in its discretion, may make such further inquiry or investigation into such facts or matters as it
may see fit, and the Trustee will incur no liability or additional liability of any kind by reason of such inquiry or investigation.

 

(I)               
The Trustee will not be deemed to have notice of any Default or Event of Default unless written notice of any event that is a Default
or Event of Default is received by a Responsible Officer of the Trustee at the corporate trust office of the Trustee, and such notice
references the Notes and this Indenture and states that it is a “Notice of Default.”

 

(J)               
If any party fails to deliver a notice relating to an event the fact of which, pursuant to this Indenture, requires notice to be
sent to the Trustee, the Trustee may conclusively rely on its failure to receive such notice as reason to act as if no such event occurred.

 

(K)            
 The rights, privileges, protections, immunities and benefits given to the Trustee, including its right to be indemnified, are
extended to, and will be enforceable by, the Trustee in each of its capacities under this Indenture.

 

(L)             
The Trustee may request that the Company deliver a certificate setting forth the names of individuals or titles of officers authorized
at such time to take specified actions pursuant to this Indenture.

 

(M)           
The permissive rights of the Trustee enumerated herein will not be construed as duties.

 

(N)            
The Trustee will not be required to give any bond or surety in respect of the execution of the trusts and powers under this Indenture.

 

(O)            
Neither the Trustee nor any Note Agent will have any responsibility or liability for any actions taken or not taken by the Depositary.

 

(P)             
Unless a Responsible Officer of the Trustee has received notice from the Company that Additional Interest is owing on the Notes
or that the Company has elected to pay Special Interest on the Notes, the Trustee may assume no Additional Interest or Special Interest,
as applicable, is payable.

 

Section
10.03. Individual Rights of the Trustee.

 

The Trustee, in its individual
or any other capacity, may become the owner or pledgee of any Note and may otherwise deal with the Company or any of its Affiliates with
the same rights that it would have if it were not Trustee; provided, however, that if the Trustee acquires a “conflicting
interest” (within the meaning of Section 310(b) of the Trust Indenture Act), then it must eliminate such conflict within ninety
(90) days or resign as Trustee. Each Note Agent will have the same rights and duties as the trustee under this ‎Section
10.03.

 

Section
10.04. Trustee’s Disclaimer.

 

The Trustee will not be (A)
responsible for, and makes no representation as to, the validity or adequacy of this Indenture or the Notes; (B) accountable for the Company’s
use of the proceeds from the Notes or any money paid to the Company or upon the Company’s direction under any provision of this
Indenture; (C) responsible for the use or application of any money received by any Paying Agent other than the Trustee; and (D) responsible
for any statement or recital in this Indenture, the Notes or any other document relating to the sale of the Notes or this Indenture, other
than the Trustee’s certificate of authentication.

 

    - 78 - 

     

    

 

Section
10.05. Notice of Defaults.

 

If a Default or Event of
Default occurs and is continuing of which a Responsible Officer of the Trustee has received written notice, then the Trustee will
send Holders a notice of such Default or Event of Default within ninety (90) days after it occurs or, if it is not known to the
Trustee at such time, promptly (and in any event within twenty (20) Business Days) after it becomes known to a Responsible Officer; provided, however,
that, except in the case of a Default or Event of Default in the payment of the principal of, or interest on, any Note, or a default
in the payment or delivery of the Conversion Consideration, the Trustee may withhold such notice if and for so long as it in good
faith determines that withholding such notice is in the interests of the Holders.

 

Section
10.06. Compensation and Indemnity.

 

(A)            
The Company will, from time to time, pay the Trustee and the Note Agents reasonable compensation for its acceptance of this Indenture
and services under this Indenture as the Company shall from time to time agree in writing. The Trustee’s compensation will not be
limited by any law on compensation of a trustee of an express trust. In addition to the compensation for the Trustee’s services,
the Company will reimburse the Trustee promptly upon request for all reasonable disbursements, advances and expenses incurred or made
by it under this Indenture, including the reasonable compensation, disbursements and expenses of the Trustee’s agents and counsel.

 

(B)             
The Company will indemnify the Trustee (in each of its capacities) against any and all losses, liabilities or expenses incurred
by it arising out of or in connection with the acceptance or administration of its duties under this Indenture, including the costs and
expenses of enforcing this Indenture against the Company (including this ‎Section 10.06)
and defending itself against any claim (whether asserted by the Company, any Holder or any other Person) or liability in connection with
the exercise or performance of any of its powers or duties under this Indenture, except to the extent any such loss, liability or expense
may be attributable to its negligence or willful misconduct, as determined by a final, non-appealable order of a court of competent jurisdiction.
The Trustee will promptly notify the Company of any claim for which it may seek indemnity, but the Trustee’s failure to so notify
the Company will not relieve the Company of its obligations under this ‎Section 10.06(B),
except to the extent the Company is materially prejudiced by such failure. The Company will defend such claim, and the Trustee will cooperate
in such defense. If the Trustee is advised by counsel that it may have defenses available to it that are in conflict with the defenses
available to the Company, or that there is an actual or potential conflict of interest, then the Trustee may retain separate counsel,
and the Company will pay the reasonable fees and expenses of such counsel (including the reasonable fees and expenses of counsel to the
Trustee incurred in evaluating whether such a conflict exists). The Company need not pay for any settlement of any such claim made without
its consent, which consent will not be unreasonably withheld.

 

(C)             
The obligations of the Company under this ‎Section 10.06 will survive the resignation
or removal of the Trustee and the discharge of this Indenture.

 

(D)            
To secure the Company’s payment obligations in this ‎Section 10.06, the
Trustee will have a lien prior to the Notes on all money or property held or collected by the Trustee, except that held in trust to pay
principal of, or interest on, particular Notes, which lien will survive the discharge of this Indenture.

 

(E)              If
the Trustee incurs expenses or renders services after an Event of Default pursuant to clause ‎(viii) or ‎(ix)
of ‎Section 7.01(A) occurs, then such expenses and the compensation for such
services (including the fees and expenses of its agents and counsel) are intended to constitute expenses of administration under any
Bankruptcy Law.

 

    - 79 - 

     

    

 

Section
10.07. Replacement of the Trustee.

 

(A)            
Notwithstanding anything to the contrary in this ‎Section 10.07, a resignation
or removal of the Trustee, and the appointment of a successor Trustee, will become effective only upon such successor Trustee’s
acceptance of appointment as provided in this ‎Section 10.07.

 

(B)             
The Trustee may resign at any time and be discharged from the trust created by this Indenture by so notifying the Company. The
Holders of a majority in aggregate principal amount of the Notes then outstanding may remove the Trustee by so notifying the Trustee and
the Company in writing. The Company may remove the Trustee if:

 

(i)                
the Trustee fails to comply with ‎Section 10.09;

 

(ii)             
the Trustee is adjudged to be bankrupt or insolvent or an order for relief is entered with respect to the Trustee under any Bankruptcy
Law;

 

(iii)           
a custodian or public officer takes charge of the Trustee or its property; or

 

(iv)            
the Trustee becomes incapable of acting.

 

(C)             
If the Trustee resigns or is removed, or if a vacancy exists in the office of the Trustee for any reason, then (i) the Company
will promptly appoint a successor Trustee; and (ii) at any time within one (1) year after the successor Trustee takes office, the Holders
of a majority in aggregate principal amount of the Notes then outstanding may appoint a successor Trustee to replace such successor Trustee
appointed by the Company.

 

(D)            
If a successor Trustee does not take office within sixty (60) days after the retiring Trustee resigns or is removed, then the retiring
Trustee, the Company or the Holders of at least ten percent (10%) in aggregate principal amount of the Notes then outstanding may petition
any court of competent jurisdiction for the appointment of a successor Trustee.

 

(E)             
If the Trustee, after written request by a Holder of at least six (6) months (or, such lesser period since the Issue Date), fails
to comply with ‎Section 10.09, then such Holder may petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor Trustee.

 

(F)             
A successor Trustee will deliver a written acceptance of its appointment to the retiring Trustee and to the Company, upon which
notice the resignation or removal of the retiring Trustee will become effective and the successor Trustee will have all the rights, powers
and duties of the Trustee under this Indenture. The successor Trustee will send notice of its succession to Holders. The retiring Trustee
will, upon payment of all amounts due to it under this Indenture, promptly transfer all property held by it as Trustee to the successor
Trustee, which property will, for the avoidance of doubt, be subject to the lien provided for in ‎Section
10.06(D).

 

Section
10.08. Successor Trustee by Merger, Etc.

 

Any organization or entity
into which the Trustee may be merged or converted or with which it may be consolidated, or any organization or entity resulting from any
merger, conversion or consolidation to which the Trustee shall be a party, or any organization or entity succeeding to all or substantially
all of the corporate trust business of the Trustee, shall be the successor of the Trustee hereunder; provided such organization
or entity shall be otherwise qualified and eligible under this Article 10, without the execution or filing of any paper or any further
act on the part of any of the parties hereto.

 

    - 80 - 

     

    

 

Section
10.09. Eligibility; Disqualification.

 

There will at all times be
a Trustee under this Indenture that is a corporation organized and doing business under the laws of the United States of America or of
any state thereof, that is authorized under such laws to exercise corporate trustee power, that is subject to supervision or examination
by federal or state authorities and that has a combined capital and surplus of at least $100.0 million as set forth in its most recent
published annual report of condition.

 

Article
11              
Miscellaneous

 

Section
11.01. Notices.

 

Any notice or communication
by the Company or the Trustee to the other will be deemed to have been duly given if in writing and delivered in person or by first class
mail (registered or certified, return receipt requested), facsimile transmission, electronic transmission or other similar means of unsecured
electronic communication or overnight air courier guaranteeing next day delivery, or to the other’s address, which initially is
as follows:

 

If to the Company:

 

Lucid Group, Inc.

7373 Gateway Blvd

Newark, CA 94560

Attention: General Counsel

 

with a copy (which will not constitute
notice) to:

 

Davis Polk & Wardwell LLP

1600 El Camino Real

Menlo Park, CA 94025

Attention: Emily Roberts

 

 

If to the Trustee:

 

U.S. Bank National Association

633 W. Fifth Street, 24th Floor

Los Angeles, CA 90071

Facsimile: (213) 615-6197

Attention: B. Scarbrough (Lucid Group)

 

The Company or the Trustee,
by notice to the other, may designate additional or different addresses (including facsimile numbers and electronic addresses) for subsequent
notices or communications.

 

All notices and communications
(other than those sent to Holders) will be deemed to have been duly given: (A) at the time delivered by hand, if personally delivered;
(B) five (5) Business Days after being deposited in the mail, postage prepaid, if mailed; (C) when receipt acknowledged, if transmitted
by facsimile, electronic transmission or other similar means of unsecured electronic communication; and (D) the next Business Day after
timely delivery to the courier, if sent by overnight air courier guaranteeing next day delivery.

 

    - 81 - 

     

    

 

All notices or communications
required to be made to a Holder pursuant to this Indenture must be made in writing and will be deemed to be duly sent or given in writing
if mailed by first class mail, certified or registered, return receipt requested, or by overnight air courier guaranteeing next day delivery,
to its address shown on the Register; provided, however, that a notice or communication to a Holder of a Global Note may,
but need not, instead be sent pursuant to the Depositary Procedures (in which case, such notice will be deemed to be duly sent or given
in writing). The failure to send a notice or communication to a Holder, or any defect in such notice or communication, will not affect
its sufficiency with respect to any other Holder.

 

If the Trustee is then acting
as the Depositary’s custodian for the Notes, then, at the reasonable request of the Company to the Trustee, the Trustee will cause
any notice prepared by the Company to be sent to any Holder(s) pursuant to the Depositary Procedures, provided such request is
evidenced in a Company Order delivered, together with the text of such notice, to the Trustee at least two (2) Business Days before the
date such notice is to be so sent. For the avoidance of doubt, such Company Order need not be accompanied by an Officer’s Certificate
or Opinion of Counsel. The Trustee will not have any liability relating to the contents of any notice that it sends to any Holder pursuant
to any such Company Order.

 

If a notice or communication
is mailed or sent in the manner provided above within the time prescribed, it will be deemed to have been duly given, whether or not the
addressee receives it.

 

Notwithstanding anything to
the contrary in this Indenture or the Notes, (A) whenever any provision of this Indenture requires a party to send notice to another party,
no such notice need be sent if the sending party and the recipient are the same Person acting in different capacities; and (B) whenever
any provision of this Indenture requires a party to send notice to more than one receiving party, and each receiving party is the same
Person acting in different capacities, then only one such notice need be sent to such Person.

 

Section
11.02. Delivery of Officer’s Certificate and Opinion of Counsel as to Conditions Precedent.

 

Upon any request or application
by the Company to the Trustee to take any action under this Indenture (other than the initial authentication of Notes under this Indenture),
the Company will furnish to the Trustee:

 

(A)            
an Officer’s Certificate in form reasonably satisfactory to the Trustee that complies with ‎Section
11.03 and states that, in the opinion of the signatory thereto, all conditions precedent and covenants, if any, provided for in this
Indenture relating to such action have been satisfied; and

 

(B)             
an Opinion of Counsel in form reasonably satisfactory to the Trustee that complies with ‎Section
11.03 and states that, in the opinion of such counsel, all such conditions precedent and covenants, if any, have been satisfied.

 

Section 11.03. Statements
Required in Officer’s Certificate and Opinion of Counsel.

 

Each Officer’s Certificate
(other than an Officer’s Certificate pursuant to ‎Section
3.05) or Opinion of Counsel with respect to compliance with a covenant or condition provided for in this Indenture will include:

 

(A)            
a statement that the signatory thereto has read such covenant or condition;

 

(B)             
a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained
therein are based;

 

(C)             
a statement that, in the opinion of such signatory, he, she or it has made such examination or investigation as is necessary to
enable him, her or it to express an informed opinion as to whether or not such covenant or condition has been satisfied; and

 

(D)            
a statement as to whether, in the opinion of such signatory, such covenant or condition has been satisfied.

 

    - 82 - 

     

    

 

Section 11.04. Rules
by the Trustee, the Registrar, the Paying Agent and the Conversion Agent.

 

The Trustee may make reasonable
rules for action by or at a meeting of Holders. Each of the Registrar, the Paying Agent and the Conversion Agent may make reasonable rules
and set reasonable requirements for its functions.

 

Section 11.05. No
Personal Liability of Directors, Officers, Employees and Stockholders.

 

No past, present or
future director, officer, employee, incorporator or stockholder of the Company, as such, will have any liability for any obligations
of the Company under this Indenture or the Notes or for any claim based on, in respect of, or by reason of, such obligations or
their creation. By accepting any Note, each Holder waives and releases all such liability. Such waiver and release are part of the
consideration for the issuance of the Notes.

 

Section 11.06. Governing
Law; Waiver of Jury Trial.

 

THIS INDENTURE AND THE NOTES,
AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS INDENTURE OR THE NOTES, WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK. EACH OF THE COMPANY AND THE TRUSTEE IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE
LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES OR THE TRANSACTIONS
CONTEMPLATED BY THIS INDENTURE OR THE NOTES.

 

Section 11.07. Submission
to Jurisdiction.

 

Any legal suit, action or
proceeding arising out of or based upon this Indenture or the transactions contemplated by this Indenture may be instituted in the federal
courts of the United States of America located in The City of New York or the courts of the State of New York, in each case located in
The City of New York (collectively, the “Specified Courts”), and each party irrevocably submits to the non-exclusive
jurisdiction of such courts in any such suit, action or proceeding. Service of any process, summons, notice or document by mail (to the
extent allowed under any applicable statute or rule of court) to such party’s address set forth in ‎Section
11.01 will be effective service of process for any such suit, action or proceeding brought in any such court. Each of the Company,
the Trustee and each Holder (by its acceptance of any Note) irrevocably and unconditionally waives any objection to the laying of venue
of any suit, action or other proceeding in the Specified Courts and irrevocably and unconditionally waives and agrees not to plead or
claim any such suit, action or other proceeding has been brought in an inconvenient forum.

 

Section 11.08. No
Adverse Interpretation of Other Agreements.

 

Neither this Indenture nor
the Notes may be used to interpret any other indenture, note, loan or debt agreement of the Company or its Subsidiaries or of any other
Person, and no such indenture, note, loan or debt agreement may be used to interpret this Indenture or the Notes.

 

Section 11.09. Successors.

 

All agreements of the Company
in this Indenture and the Notes will bind its successors. All agreements of the Trustee in this Indenture will bind its successors.

 

    - 83 - 

     

    

 

Section 11.10. Force
Majeure.

 

The Trustee and each
Note Agent will not incur any liability for not performing any act or fulfilling any duty, obligation or responsibility under this
Indenture or the Notes by reason of any occurrence beyond its control (including any act or provision of any present or future law
or regulation or governmental authority, pandemic, act of God or war, civil unrest, local or national disturbance or disaster, act
of terrorism or unavailability of the Federal Reserve Bank wire or facsimile or other wire or communication facility).

 

Section 11.11. U.S.A.
PATRIOT Act.

 

The Company acknowledges that,
in accordance with Section 326 of the U.S.A. PATRIOT Act, the Trustee, like all financial institutions, in order to help fight the funding
of terrorism and money laundering, is required to obtain, verify and record information that identifies each person or legal entity that
establishes a relationship or opens an account with the Trustee. The Company agrees to provide the Trustee with such information as it
may request to enable the Trustee to comply with the U.S.A. PATRIOT Act.

 

Section 11.12. Calculations.

 

Except as otherwise provided
in this Indenture, the Company will be responsible for making all calculations called for under this Indenture or the Notes, including
determinations of the Last Reported Sale Price, the Daily Conversion Value, the Daily Cash Amount, the Daily Share Amount, the Trading
Price of the Notes, the Daily VWAPs, accrued interest on the Notes, the Conversion Rate (including any adjustments to the Conversion Rate)
and the Redemption Price.

 

The Company will make all
calculations in good faith, and, absent manifest error, its calculations will be final and binding on all Holders. The Company will provide
a schedule of its calculations to the Trustee and the Conversion Agent, and each of the Trustee and the Conversion Agent may rely conclusively
on the accuracy of the Company’s calculations without independent verification. The Trustee will promptly forward a copy of each
such schedule to a Holder upon its written request therefor.

 

For the avoidance of doubt,
neither the Trustee nor the Conversion Agent will have any responsibility to make or confirm any calculations under this Indenture, nor
will the Trustee or the Conversion Agent be charged with knowledge of or have any duties to monitor the Stock Price or any Observation
Period. The Trustee and the Conversion Agent may rely conclusively on the calculations and information provided to them by the Company
as to the Daily VWAP, the Daily Conversion Values, the Trading Price and the Last Reported Sale Price.

 

Section 11.13. Severability.

 

If any provision of this Indenture
or the Notes is invalid, illegal or unenforceable, then the validity, legality and enforceability of the remaining provisions of this
Indenture or the Notes will not in any way be affected or impaired thereby.

 

    - 84 - 

     

    

 

 

Section
11.14. Counterparts.

 

The parties may sign any
number of copies of this Indenture. Each signed copy will be an original, and all of them together represent the same agreement.
Delivery of an executed counterpart of this Indenture by facsimile, electronically in portable document format or in any other
format will be effective as delivery of a manually or electronically executed counterpart. All notices, approvals, consents,
requests and any communications hereunder must be in writing (provided that any communication sent to Trustee hereunder that is
required to be signed must be in the form of a document that is signed manually or by way of a digital signature provided by
DocuSign (or such other digital signature provider as specified in writing to Trustee by the authorized representative), in
English). The Company agrees to assume all risks arising out of the use of using digital signatures and electronic methods to submit
communications to Trustee, including without limitation the risk of Trustee acting on unauthorized instructions, and the risk of
interception and misuse by third parties.

 

Section
11.15. Table of Contents, Headings, Etc.

 

The table of contents and
the headings of the Articles and Sections of this Indenture have been inserted for convenience of reference only, are not to be considered
a part of this Indenture and will in no way modify or restrict any of the terms or provisions of this Indenture.

 

Section
11.16. Withholding Taxes.

 

Each Holder of a Note agrees,
and each beneficial owner of an interest in a Global Note, by its acquisition of such interest, is deemed to agree, that if the Company
or other applicable withholding agent pays withholding taxes or backup withholding on behalf of such Holder or beneficial owner as a result
of an adjustment or the non-occurrence of an adjustment to the Conversion Rate, then the Company or such withholding agent, as applicable,
may, at its option, withhold from or set off such payments against payments of cash or the delivery of other Conversion Consideration
on such Note, any payments on the Common Stock or sales proceeds received by, or other funds or assets of, such Holder or the beneficial
owner of such Note.

 

[The Remainder of This Page Intentionally
Left Blank; Signature Page Follows]

 

    - 85 -

     

    

 

IN WITNESS WHEREOF,
the parties to this Indenture have caused this Indenture to be duly executed as of the date first written above.

 

	 	Lucid Group, Inc.

 

		By:	/s/ Sherry House

		Name:	Sherry House
		Title:	Chief Financial Officer

 

	 	U.S. Bank National Association, as Trustee

 

		By:	/s/ Bradley E. Scarbrough

		Name:	Bradley E. Scarbrough
		Title:	Vice President

 

[Signature Page to Indenture]

 

     

     

    

 

EXHIBIT A

 

FORM OF NOTE

 

[Insert Global Note Legend, if applicable]

 

[Insert Restricted Note Legend, if applicable]

 

[Insert Non-Affiliate Legend]

 

Lucid Group, Inc.

 

1.25% Convertible Senior Note due 2026

 

 

	CUSIP No.:	[___]	Certificate No. [___]
	ISIN No.:	[___]	

 

Lucid Group, Inc., a Delaware
corporation, for value received, promises to pay to [Cede & Co.], or its registered assigns, the principal sum of [___] dollars ($[___])
[(as revised by the attached Schedule of Exchanges of Interests in the Global Note)]*
on December 15, 2026 and to pay interest thereon, as provided in the Indenture referred to below, until the principal and all accrued
and unpaid interest are paid or duly provided for.

 

	Interest Payment Dates:	June 15 and December 15 of each year, commencing on [date].
	 	 
	Regular Record Dates:	June 1 and December 1.

 

Additional provisions of this
Note are set forth on the other side of this Note.

 

[The Remainder of This Page Intentionally
Left Blank; Signature Page Follows]

 

 

		*	Insert bracketed language for Global Notes only.

 

    A-1

     

    

 

IN WITNESS WHEREOF,
Lucid Group, Inc. has caused this instrument to be duly executed as of the date set forth below.

 

	 	Lucid Group, Inc.

 

	Date:	 	 	By:	

		Name:	
		Title:	

 

    A-2

     

    

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

U.S. Bank National Association, as Trustee, certifies
that this is one of the Notes referred to in the within-mentioned Indenture.

 

	Date:	 	 	By:	
	 	 	 	 	Authorized Signatory

 

    A-3

     

    

 

Lucid Group, Inc.

 

1.25% Convertible Senior Note due 2026

 

This Note is one of a duly
authorized issue of notes of Lucid Group, Inc., a Delaware corporation (the “Company”), designated as its 1.25% Convertible
Senior Notes due 2026 (the “Notes”), all issued or to be issued pursuant to an indenture, dated as of December 14,
2021 (as the same may be amended from time to time, the “Indenture”), between the Company and U.S. Bank National Association,
as trustee. Capitalized terms used in this Note without definition have the respective meanings ascribed to them in the Indenture.

 

The Indenture sets forth the
rights and obligations of the Company, the Trustee and the Holders and the terms of the Notes. Notwithstanding anything to the contrary
in this Note, to the extent that any provision of this Note conflicts with the provisions of the Indenture, the provisions of the Indenture
will control.

 

1.                 
Interest. This Note will accrue interest at a rate and in the manner set forth in ‎Section 2.05 of the Indenture.
Stated Interest on this Note will begin to accrue from, and including, [date].

 

2.                 
Maturity. This Note will mature on December 15, 2026, unless earlier repurchased, redeemed or converted.

 

3.                 
Method of Payment. Cash amounts due on this Note will be paid in the manner set forth in ‎Section 2.04 of the Indenture.

 

4.                 
Persons Deemed Owners. The Holder of this Note will be treated as the owner of this Note for all purposes.

 

5.                 
Denominations; Transfers and Exchanges. All Notes will be in registered form, without coupons, in principal amounts equal
to any Authorized Denominations. Subject to the terms of the Indenture, the Holder of this Note may transfer or exchange this Note by
presenting it to the Registrar and delivering any required documentation or other materials.

 

6.                 
Right of Holders to Require the Company to Repurchase Notes upon a Fundamental Change. If a Fundamental Change occurs, then
each Holder will have the right to require the Company to repurchase such Holder’s Notes (or any portion thereof in an Authorized
Denomination) for cash in the manner, and subject to the terms, set forth in ‎Section 4.02 of the Indenture.

 

7.                 
Right of the Company to Redeem the Notes. The Company will have the right to redeem the Notes for cash in the manner, and
subject to the terms, set forth in ‎Section 4.03 of the Indenture.

 

8.                 
Conversion. The Holder of this Note may convert this Note into Conversion Consideration in the manner, and subject to the
terms, set forth in ‎Article 5 of the Indenture.

 

    A-4

     

    

 

9.                 
 When the Company May Merge, Etc. ‎Article 6 of the Indenture places limited restrictions on the Company’s ability
to be a party to a Business Combination Event.

 

10.             
Defaults and Remedies. If an Event of Default occurs, then the principal amount of, and all accrued and unpaid interest
on, all of the Notes then outstanding may (and, in certain circumstances, will automatically) become due and payable in the manner, and
subject to the terms, set forth in ‎Article 7 of the Indenture.

 

11.             
Amendments, Supplements and Waivers. The Company and the Trustee may amend or supplement the Indenture or the Notes or waive
compliance with any provision of the Indenture or the Notes in the manner, and subject to the terms, set forth in ‎Section 7.05
and ‎Article 8 of the Indenture.

 

12.             
No Personal Liability of Directors, Officers, Employees and Stockholders. No past, present or future director, officer,
employee, incorporator or stockholder of the Company, as such, will have any liability for any obligations of the Company under the Indenture
or the Notes or for any claim based on, in respect of, or by reason of, such obligations or their creation. By accepting any Note, each
Holder waives and releases all such liability. Such waiver and release are part of the consideration for the issuance of the Notes.

 

13.             
Authentication. No Note will be valid until it is authenticated by the Trustee. A Note will be deemed to be duly authenticated
only when an authorized signatory of the Trustee (or a duly appointed authenticating agent) manually signs the certificate of authentication
of such Note.

 

14.             
Abbreviations. Customary abbreviations may be used in the name of a Holder or its assignee, such as TEN COM (tenants in
common), TEN ENT (tenants by the entireties), JT TEN (joint tenants with right of survivorship and not as tenants in common), CUST (custodian),
and U/G/M/A (Uniform Gift to Minors Act).

 

15.             
Governing Law. THIS NOTE, AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS NOTE, WILL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

 

* * *

 

To request a copy of the Indenture,
which the Company will provide to any Holder at no charge, please send a written request to the following address:

 

Lucid Group, Inc.

7373 Gateway Blvd

Newark, CA 94560

Attention: General Counsel

 

    A-5

     

    

 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE
GLOBAL NOTE*

 

INITIAL PRINCIPAL AMOUNT OF THIS GLOBAL NOTE: $[___]

 

The following exchanges, transfers or cancellations
of this Global Note have been made:

 

	
    Date
	 	
    Amount of
    Increase (Decrease) in Principal Amount of this Global Note
	 	
    Principal
    Amount of this Global Note After Such Increase (Decrease)
	 	
    Signature
    of Authorized Signatory of Trustee

	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

 

 

		*	Insert for Global Notes only.

 

    A-6

     

    

 

CONVERSION NOTICE

 

Lucid Group, Inc.

 

1.25% Convertible Senior Notes due 2026

 

Subject to the terms of the Indenture, by executing
and delivering this Conversion Notice, the undersigned Holder of the Note identified below directs the Company to convert (check one):

 

		 ̈	the entire principal amount of

 

		 ̈	$                     *
aggregate principal amount of the Note identified
by CUSIP No.                     
and Certificate No.                     .

 

The undersigned acknowledges that if the Conversion
Date of a Note to be converted is after a Regular Record Date and before the next Interest Payment Date, then such Note, when surrendered
for conversion, must, in certain circumstances, be accompanied with an amount of cash equal to the interest that would have accrued on
such Note to, but excluding, such Interest Payment Date.

 

	Date:	 	 	 
	 	 	 	(Legal Name of Holder)

 

		By:	

		Name:	
		Title:	

 

	 	Signature Guaranteed:
	 	 
	 	Participant in a Recognized Signature

Guarantee Medallion Program

 

		By:	
	 	 	Authorized Signatory

 

 

		*	Must be an Authorized Denomination.

 

    A-7

     

    

 

FUNDAMENTAL CHANGE REPURCHASE NOTICE

 

Lucid Group, Inc.

 

1.25% Convertible Senior Notes due 2026

 

Subject to the terms of the Indenture, by executing
and delivering this Fundamental Change Repurchase Notice, the undersigned Holder of the Note identified below is exercising its Fundamental
Change Repurchase Right with respect to (check one):

 

		 ̈	the entire principal amount of

 

		 ̈	$                     *
aggregate principal amount of the Note identified
by CUSIP No.                     
and Certificate No.                     .

 

The undersigned acknowledges that this Note, duly
endorsed for transfer, must be delivered to the Paying Agent before the Fundamental Change Repurchase Price will be paid.

 

	Date:	 	 	 
	 	 	 	(Legal Name of Holder)

  

		By:	

		Name:	
		Title:	

 

	 	Signature Guaranteed:
	 	 
	 	Participant in a Recognized Signature 

Guarantee Medallion Program

 

		By:	
	 	 	Authorized Signatory
	 	 	 

 

		*	Must be an Authorized Denomination.

 

    A-8

     

    

 

ASSIGNMENT FORM

 

Lucid Group, Inc.

 

1.25% Convertible Senior Notes due 2026

 

Subject to the terms of the Indenture, the undersigned
Holder of the within Note assigns . . to:

 

	Name:		 

 

	Address:		 

 

	Social security
or tax identification number:		 

 

the within Note and all rights thereunder irrevocably
appoints:

 

as agent to transfer the within Note on the books
of the Company. The agent may substitute another to act for him/her.

 

	Date:	 	 	 
	 	 	 	(Legal Name of Holder)

  

		By:	

		Name:	
		Title:	

 

	 	Signature Guaranteed:
	 	 
	 	Participant in a Recognized Signature 

Guarantee Medallion Program

 

		By:	
	 	 	Authorized Signatory

 

    A-9

     

    

 

TRANSFEROR ACKNOWLEDGMENT

 

If the within Note bears a Restricted Note Legend,
the undersigned further certifies that (check one):

 

	1.	 ̈	Such
Transfer is being made to the Company or a Subsidiary of the Company.

 

	2.	 ̈ 	Such
Transfer is being made pursuant to, and in accordance with, a registration statement that is effective under the Securities Act at the
time of the Transfer.

 

	3.	 ̈ 	Such
Transfer is being made pursuant to, and in accordance with, Rule 144A under the Securities Act, and, accordingly, the undersigned further
certifies that the within Note is being transferred to a Person that the undersigned reasonably believes is purchasing the within Note
for its own account, or for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person
and each such account is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act in a
transaction meeting the requirements of Rule 144A. If this item is checked, then the transferee must complete and execute the acknowledgment
contained on the next page.

 

	4.	 ̈	Such
Transfer is being made pursuant to, and in accordance with, any other available exemption from the registration requirements of the Securities
Act (including, if available, the exemption provided by Rule 144 under the Securities Act).

 

	Dated:	 	 

 

 

	(Legal Name of Holder)	 

 

	By:	 	 
	 	Name:	 
	 	Title:	 

 

Signature Guaranteed:

 

 

	(Participant in a Recognized Signature	
	Guarantee Medallion Program)	

 

	By:	 	 
	 	Authorized Signatory	 

 

    A-10

     

    

 

TRANSFEREE ACKNOWLEDGMENT

 

The undersigned represents that it is purchasing
the within Note for its own account, or for one or more accounts with respect to which the undersigned exercises sole investment discretion,
and that and the undersigned and each such account is a “qualified institutional buyer” within the meaning of Rule 144A under
the Securities Act. The undersigned acknowledges that the transferor is relying, in transferring the within Note on the exemption from
the registration and prospectus-delivery requirements of the Securities Act of 1933, as amended, provided by Rule 144A and that the undersigned
has received such information regarding the Company as the undersigned has requested pursuant to Rule 144A.

 

	Dated:	 	 

 

 

	(Name of Transferee)	 

 

	By:	 	 
	 	Name:	 
	 	Title:	 

 

    A-11

     

    

 

EXHIBIT B-1

 

FORM OF RESTRICTED NOTE LEGEND

 

THE OFFER AND SALE OF THIS NOTE AND THE SHARES
OF COMMON STOCK, IF ANY, ISSUABLE UPON CONVERSION OF THIS NOTE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
 “SECURITIES ACT”), AND THIS NOTE MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE
FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER:

 

		(1)	REPRESENTS THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL BUYER”
(WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH
ACCOUNT; AND

 

		(2)	AGREES FOR THE BENEFIT OF THE COMPANY THAT IT WILL NOT OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS
NOTE OR ANY BENEFICIAL INTEREST HEREIN, EXCEPT ONLY:

 

		(A)	TO THE COMPANY OR ANY SUBSIDIARY THEREOF;

 

		(B)	PURSUANT TO A REGISTRATION STATEMENT THAT IS EFFECTIVE UNDER THE SECURITIES ACT;

 

		(C)	TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT;

 

		(D)	PURSUANT TO RULE 144 UNDER THE SECURITIES ACT; OR

 

		(E)	PURSUANT TO ANY OTHER EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS
OF THE SECURITIES ACT.

 

BEFORE THE REGISTRATION OF ANY SALE OR TRANSFER
IN ACCORDANCE WITH (2)(C), (D) OR (E) ABOVE, THE COMPANY, THE TRUSTEE AND THE REGISTRAR RESERVE THE RIGHT TO REQUIRE THE DELIVERY OF SUCH
CERTIFICATES OR OTHER DOCUMENTATION OR EVIDENCE AS THEY MAY REASONABLY REQUIRE IN ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED
SALE OR TRANSFER IS BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS.

 

    B1-1

     

    

 

EXHIBIT B-2

 

FORM OF GLOBAL NOTE LEGEND

 

THIS IS A GLOBAL NOTE WITHIN THE MEANING OF THE
INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITARY OR A NOMINEE OF THE DEPOSITARY, WHICH MAY BE TREATED
BY THE COMPANY, THE TRUSTEE AND ANY AGENT THEREOF AS THE OWNER AND HOLDER OF THIS NOTE FOR ALL PURPOSES.

 

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (“DTC”) TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE
OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT HEREON IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE
OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF,
CEDE & CO., HAS AN INTEREST HEREIN.

 

TRANSFERS OF THIS GLOBAL NOTE WILL BE LIMITED
TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF DTC, OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE, AND TRANSFERS
OF PORTIONS OF THIS GLOBAL NOTE WILL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN ARTICLE ‎2
OF THE INDENTURE HEREINAFTER REFERRED TO.

 

    B2-1

     

    

 

EXHIBIT B-3

 

FORM OF NON-AFFILIATE LEGEND

 

NO AFFILIATE (AS DEFINED IN RULE 144 UNDER THE
SECURITIES ACT OF 1933, AS AMENDED) OF THE COMPANY, OR ANY PERSON OR ENTITY THAT WAS AN AFFILIATE (AS DEFINED UNDER RULE 144 UNDER THE
SECURITIES ACT OF 1933, AS AMENDED) OF THE COMPANY WITHIN THE THREE MONTHS IMMEDIATELY PRECEDING MAY PURCHASE OR OTHERWISE ACQUIRE THIS
NOTE OR ANY BENEFICIAL INTEREST HEREIN.

 

    B3-1

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