Document:

Exchange and Registration Rights Agreement

 Exhibit 4.3 
 EXECUTION COPY 
 Pentair Finance, S.A. 

U.S. $350,000,000 1.350% Senior Notes due 2015 
 U.S. $250,000,000 2.650% Senior Notes due 2019 
  

 

Exchange and Registration Rights Agreement 

November 26, 2012 
 J.P. Morgan Securities LLC 
 Merrill Lynch, Pierce, Fenner & Smith 

    Incorporated 
 U.S. Bancorp Investments, Inc. 
   As representatives of the several
Purchasers 
   named in Schedule I hereto, 
 c/o J.P. Morgan Securities LLC 
 383 Madison Avenue 

New York, New York 10179 
 and 

c/o Merrill Lynch, Pierce, Fenner & Smith 
                Incorporated 
 One Bryant Park 
 New York, New York 10036 
 and 
 c/o U.S. Bancorp Investments, Inc. 

214 N. Tryon Street, 26th Floor 

Charlotte, North Carolina 28202 

Pentair Finance S.A., a Luxembourg public limited liability company (société anonyme) (the
“Company”) having its registered office at 26, Boulevard Royal C-2449 Luxembourg and registered with the Luxembourg trade and companies register under number B 166305, proposes to issue and sell to the Purchasers (as defined herein)
upon the terms set forth in the Purchase Agreement (as defined herein) $350,000,000 principal amount of its 1.350% Senior Notes due 2015 and $250,000,000 principal amount of its 1.650% Senior Notes due 2019 (collectively the
“Securities”), which are guaranteed as to the payment of principal, premium, if any, and interest by Pentair Ltd., a corporation limited by shares (Aktiengesellschaft) organized under the laws of Switzerland (the
“Guarantor”). As an inducement to the Purchasers to enter into the Purchase Agreement and in satisfaction of a condition to the obligations of the Purchasers thereunder, the Company and the Guarantor agree with the Purchasers for
the benefit of holders (as defined herein) from time to time of the Registrable Securities (as defined herein) as follows: 
 1.
Certain Definitions. For purposes of this Exchange and Registration Rights Agreement (this “Agreement”), the following terms shall have the following respective meanings: 

“Base Interest” shall mean the interest that would otherwise accrue on the Securities under the terms thereof and the
Indenture, without giving effect to the provisions of this Agreement. 

 The term “broker-dealer” shall mean any broker or dealer registered with
the Commission under the Exchange Act. 
 “Business Day” shall have the meaning set forth in
Rule 13e-4(a)(3) promulgated by the Commission under the Exchange Act, as the same may be amended or succeeded from time to time. 
 “Closing Date” shall mean the date on which the Securities are initially issued. 
 “Commission” shall mean the United States Securities and Exchange Commission, or any other federal agency at the time administering the Exchange Act or the Securities Act, whichever is
the relevant statute for the particular purpose. 
 “EDGAR System” means the EDGAR filing system of the
Commission and the rules and regulations pertaining thereto promulgated by the Commission in Regulation S-T under the Securities Act and the Exchange Act, in each case as the same may be amended or succeeded from time to time (and without regard to
format). 
 “Effective Time,” in the case of (i) an Exchange Registration, shall mean the time and date as
of which the Commission declares the Exchange Registration Statement effective or as of which the Exchange Registration Statement otherwise becomes effective and, (ii) a Shelf Registration, shall mean the time and date as of which the
Commission declares the Shelf Registration Statement effective or as of which the Shelf Registration Statement otherwise becomes effective. 
 “Electing Holder” shall mean any holder of Registrable Securities that has returned a completed and signed Notice and Questionnaire to the Company in accordance with Section 3(d)(ii)
or Section 3(d)(iii) and the instructions set forth in the Notice and Questionnaire. 
 “Exchange Act”
shall mean the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated by the Commission thereunder, as the same may be amended or succeeded from time to time. 

“Exchange Offer” shall have the meaning assigned thereto in Section 2(a). 

“Exchange Registration” shall have the meaning assigned thereto in Section 3(c). 

“Exchange Registration Statement” shall have the meaning assigned thereto in Section 2(a). 

  
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 “Exchange Securities” shall have the meaning assigned thereto in
Section 2(a). 
 The term “holder” shall mean each of the Purchasers and other persons who acquire
Securities from time to time (including any successors or assigns), in each case for so long as any such person owns any Securities. 
 “Indenture” shall mean the Indenture, dated as of September 24, 2012, among the Company, the Guarantor and Wells Fargo Bank, National Association, as trustee, as the same may be
amended and supplemented from time to time. 
 “Notice and Questionnaire” means a Notice of Registration
Statement and Selling Securityholder Questionnaire substantially in the form of Exhibit A hereto, with such changes thereto as the Company may reasonably determine. 
 The term “person” shall mean a corporation, limited liability company, association, partnership, organization, business, individual, government or political subdivision thereof or
governmental agency. 
 “Purchase Agreement” shall mean the Purchase Agreement, dated as of November 19,
2012 among the Purchasers, the Company and the Guarantor relating to the Securities. 
 “Purchasers” shall mean
the Purchasers named in Schedule I to the Purchase Agreement. 
 “Registrable Securities” shall mean the
Securities; provided, however, that a Security shall cease to be a Registrable Security upon the earliest to occur of the following: (i) in the circumstances contemplated by Section 2(a), the Security has been exchanged for an
Exchange Security in an Exchange Offer as contemplated in Section 2(a) (provided that any Exchange Security that, pursuant to the last two sentences of Section 2(a), is included in a prospectus for use in connection with resales by
broker-dealers shall be deemed to be a Registrable Security with respect to Sections 5, 6 and 9 until resale of such Registrable Security has been effected within the Resale Period); (ii) in the circumstances contemplated by Section 2(b),
a Shelf Registration Statement registering such Security under the Securities Act has been declared or becomes effective and such Security has been sold or otherwise transferred by the holder thereof pursuant to and in a manner contemplated by such
effective Shelf Registration Statement; (iii) subject to Section 8(b), such Security is actually sold by the holder thereof pursuant to Rule 144 under circumstances in which any legend borne by such Security relating to restrictions
on transferability thereof, under the Securities Act or otherwise, is removed by the Company or pursuant to the Indenture; or (iv) such Security shall cease to be outstanding. 

“Registration Default” shall have the meaning assigned thereto in Section 2(c). 

“Registration Default Period” shall have the meaning assigned thereto in Section 2(c). 

  
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 “Registration Expenses” shall have the meaning assigned thereto in
Section 4. 
 “Resale Period” shall have the meaning assigned thereto in Section 2(a). 

“Restricted Holder” shall mean (i) a holder that is an affiliate of the Company or the Guarantor within the meaning
of Rule 405, (ii) a holder who acquires Exchange Securities outside the ordinary course of such holder’s business, (iii) a holder who has arrangements or understandings with any person to participate in the Exchange Offer for the
purpose of distributing Exchange Securities and (iv) a holder that is a broker-dealer, but only with respect to Exchange Securities received by such broker-dealer pursuant to an Exchange Offer in exchange for Registrable Securities acquired by
the broker-dealer directly from the Company. 
 “Rule 144”, “Rule 405”,
“Rule 415”, “Rule 424”, “Rule 430B” and “Rule 433” shall mean, in each case, such rule promulgated by the Commission under the Securities Act (or any successor provision), as the
same may be amended or succeeded from time to time. 
 “Securities” shall mean the $350,000,000 principal
amount of 1.350% Senior Notes due 2015 and $250,000,000 principal amount of 2.650% Senior Notes due 2019 of the Company to be issued and sold to the Purchasers, and securities issued in exchange therefor or in lieu thereof pursuant to the Indenture.
Each Security is entitled to the benefit of the guarantee provided for in the Indenture (the “Guarantee”), on the terms and to the extent set forth therein, and, unless the context otherwise requires, any reference herein to a
“Security,” an “Exchange Security” or a “Registrable Security” shall include a reference to the related Guarantee. 
 “Securities Act” shall mean the Securities Act of 1933, as amended, and the rules and regulations promulgated by the Commission thereunder, as the same may be amended or succeeded from
time to time. 
 “September Notes Exchange Registration Statement” shall mean registration statement providing
registration for the exchange offer of the Company’s 1.875% Notes due 2017 and 3.150% Notes due 2022 pursuant to the Exchange and Registration Rights Agreement, dated September 24, 2012, among the Company, the Guarantor and J.P. Morgan
Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated and U.S. Bancorp Investments, Inc., as representatives of the several Purchasers named in Schedule I thereto. 

“September Notes Shelf Registration Statement” shall mean any registration statement providing for the registration of
Company’s 1.875% Notes due 2017 and 3.150% Notes due 2022 under the Securities Act, other than a September Notes Exchange Registration Statement. 
 “Shelf Registration” shall have the meaning assigned thereto in Section 2(b). 
 “Shelf Registration Statement” shall have the meaning assigned thereto in Section 2(b). 

  
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 “Special Interest” shall have the meaning assigned thereto in
Section 2(c). 
 “Suspension Period” shall have the meaning assigned thereto in Section 2(b).

 “Trust Indenture Act” shall mean the Trust Indenture Act of 1939, as amended, and the rules and regulations
promulgated by the Commission thereunder, as the same may be amended or succeeded from time to time. 

“Trustee” shall mean Wells Fargo Bank, National Association, as trustee under the Indenture, together with any
successors thereto in such capacity. 
 Unless the context otherwise requires, any reference herein to a “Section” or
“clause” refers to a Section or clause, as the case may be, of this Agreement, and the words “herein,” “hereof” and “hereunder” and other words of similar import refer to this Agreement as a whole and not to
any particular Section or other subdivision. 
  

	 	2.	Registration Under the Securities Act. 

 (a) Except as set forth in Section 2(b) below, the Company and the Guarantor agree to use their commercially reasonable efforts to file under the Securities Act, by the earlier of (1) 180 days
after the Closing Date and (2) the date on which a September Notes Exchange Registration Statement is filed with the Commission, a registration statement relating to an offer to exchange (such registration statement, the “Exchange
Registration Statement”, and such offer, the “Exchange Offer”) any and all of the Securities for a like aggregate principal amount of debt securities issued by the Company and (subject to the terms of the Indenture)
guaranteed by the Guarantor, which debt securities and guarantee are substantially identical to the Securities and the related Guarantee, respectively (and are entitled to the benefits of the Indenture), except that they have been registered
pursuant to an effective registration statement under the Securities Act, and do not contain provisions for Special Interest contemplated in Section 2(c) below (such new debt securities hereinafter called “Exchange
Securities”). The Company and the Guarantor agree to use all commercially reasonable efforts to cause the Exchange Registration Statement to become effective under the Securities Act by the earlier of (1) 365 days after the Closing
Date and (2) the date on which the September Notes Exchange Registration Statement is declared effective by the Commission. The Exchange Offer will be registered under the Securities Act on the appropriate form and will comply with all
applicable tender offer rules and regulations under the Exchange Act. Unless the Exchange Offer would not be permitted by applicable law or Commission policy, the Company and the Guarantor further agree to use all commercially reasonable efforts to
(i) commence the Exchange Offer promptly (but no later than 10 Business Days) following the Effective Time of such Exchange Registration Statement, (ii) hold the Exchange Offer open for at least 20 Business Days in accordance with
Regulation 14E promulgated by the Commission under the Exchange Act and (iii) exchange Exchange Securities for all Registrable Securities that have been properly tendered and not withdrawn promptly following the expiration of the Exchange
Offer. The Exchange Offer will be deemed to have been “completed” only (i) if the debt securities and any related guarantee received by holders other than Restricted 

  
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Holders in the Exchange Offer for Registrable Securities are, upon receipt, transferable by each such holder without restriction under the Securities Act and the Exchange Act and without material
restrictions under the blue sky or securities laws of a substantial majority of the States of the United States of America and (ii) upon the Company having exchanged, pursuant to the Exchange Offer, Exchange Securities for all Registrable
Securities that have been properly tendered and not withdrawn before the expiration of the Exchange Offer, which shall be on a date that is at least 20 and not more than 30 Business Days following the commencement of the Exchange Offer. The Company
and the Guarantor agree (x) to include in the Exchange Registration Statement a prospectus for use in any resales by any holder of Exchange Securities that is a broker-dealer and (y) to keep such Exchange Registration Statement effective
for a period (the “Resale Period”) beginning when Exchange Securities are first issued in the Exchange Offer and ending upon the earlier of the expiration of the 180th day after the Exchange Offer has been completed or such time as such broker-dealers no longer own any Registrable
Securities. With respect to such Exchange Registration Statement, such holders shall have the benefit of the rights of indemnification and contribution set forth in Subsections 6(a), (c), (d) and (e). 

(b) If (i) on or prior to the time the Exchange Offer is completed existing law or Commission interpretations
are changed such that the debt securities or the related guarantee received by holders other than Restricted Holders in the Exchange Offer for Registrable Securities are not or would not be, upon receipt, transferable by each such holder without
restriction under the Securities Act, (ii) the Effective Time of the Exchange Registration Statement is not by the earlier of (1) 365 days after the Closing Date and (2) the date on which the September Notes Exchange Registration
Statement is declared effective by the Commission, and the Exchange Offer has not been completed within 30 Business Days of the Effective Time of the Exchange Registration Statement or (iii) any holder of Registrable Securities notifies the
Company prior to the 20th Business Day following the
completion of the Exchange Offer that: (A) it is prohibited by law or Commission policy from participating in the Exchange Offer, (B) it may not resell the Exchange Securities to the public without delivering a prospectus and the
prospectus supplement contained in the Exchange Registration Statement is not appropriate or available for such resales or (C) it is a broker-dealer and owns Securities acquired directly from the Company or an affiliate of the Company, then the
Company and the Guarantor shall, in lieu of (or, in the case of clause (iii), in addition to) conducting the Exchange Offer contemplated by Section 2(a), use its commercially reasonable efforts to file under the Securities Act no later than 30
days after the time such obligation to file arises (but only on or after the earlier of (1) 90 days after the Closing Date and (2) the date on which any September Notes Shelf Registration Statement is filed with the Commission), a
“shelf” registration statement providing for the registration of, and the sale on a continuous or delayed basis by the holders of, all of the Registrable Securities, pursuant to Rule 415 or any similar rule that may be adopted by the
Commission (such filing, the “Shelf Registration” and such registration statement, the “Shelf Registration Statement”). The Company and the Guarantor agree to use all commercially reasonable efforts to cause the
Shelf Registration Statement to become or be declared effective no later than 90 days after such Shelf Registration Statement filing obligation arises (but only on or after the earlier of (1) 180 days after the Closing Date

  
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and (2) the date on which the September Notes Shelf Registration Statement becomes effective); provided, that if at any time the Company and the Guarantor are or become
“well-known seasoned issuers” (as defined in Rule 405) and are eligible to file an “automatic shelf registration statement” (as defined in Rule 405), then the Company and the Guarantor shall file the Shelf Registration
Statement in the form of an automatic shelf registration statement as provided in Rule 405. The Company and the Guarantor agree to use all commercially reasonable efforts to keep such Shelf Registration Statement continuously effective until
the earlier of such time as there are no longer any Registrable Securities outstanding or 365 days following the Effective Time. No holder shall be entitled to be named as a selling securityholder in the Shelf Registration Statement or to use the
prospectus forming a part thereof for resales of Registrable Securities unless such holder is an Electing Holder. The Company and the Guarantor agree, after the Effective Time of the Shelf Registration Statement and promptly upon the request of any
holder of Registrable Securities that is not then an Electing Holder, to use all commercially reasonable efforts to enable such holder to use the prospectus forming a part thereof for resales of Registrable Securities, including, without limitation,
any action necessary to identify such holder as a selling securityholder in the Shelf Registration Statement (whether by post-effective amendment thereto or by filing a prospectus pursuant to Rules 430B and 424(b) under the Securities Act
identifying such holder); provided, however, that nothing in this sentence shall (A) relieve any such holder of the obligation to return a properly completed and signed Notice and Questionnaire to the Company in accordance with
Section 3(d)(iii) hereof or (B) require the Company and Guarantor to file more than one post-effective amendment to the Shelf Registration Statement in any 30-day period. The Company and the Guarantor further agree to supplement or make
amendments to the Shelf Registration Statement, as and when required by the rules, regulations or instructions applicable to the registration form used by the Company and the Guarantor for such Shelf Registration Statement or by the Securities Act
or rules and regulations thereunder for shelf registration, and the Company agrees to furnish, or cause to be furnished, to each Electing Holder copies of any such supplement or amendment prior to its being used or promptly following its filing with
the Commission. The Company’s and the Guarantor’s obligation to file a Shelf Registration Statement under clause (i) of this Section 2(b), to cause such Shelf Registration Statement to become and remain effective and to comply
with its other undertakings in this Section 2(b) in connection with such Shelf Registration Statement shall terminate upon the completion of the Exchange Offer pursuant to Section 2(a). 

Notwithstanding the foregoing, the Company and the Guarantor may suspend the availability of any Shelf Registration Statement or, following the
consummation of the Exchange Offer, the Exchange Registration Statement (x) if such action is required by applicable law or is taken by the Company or Guarantor in good faith and for valid business reasons (not including avoidance of the
Company’s and Guarantor’s obligations hereunder), including the acquisition or divestiture of assets, or (y) with respect to a Shelf Registration Statement required to be filed solely due to the condition set forth in
Section 2(b)(ii) hereof, if such action occurs following the consummation of the Exchange Offer. Any period during which the Shelf Registration Statement or Exchange Registration Statement is unavailable in connection with resales of
Registrable Securities or Exchange Securities, respectively, except as permitted by clause (y) of this paragraph, is referred to herein as a “Suspension Period”. 

  
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 (c) In the event that (i) the Company and the Guarantor have not filed the Exchange
Registration Statement or the Shelf Registration Statement on or before the date on which such registration statement is required to be filed pursuant to Section 2(a) or Section 2(b), respectively, or (ii) such Exchange Registration
Statement or Shelf Registration Statement has not become effective or been declared effective by the Commission on or before the date on which such registration statement is required to become or be declared effective pursuant to Section 2(a)
or Section 2(b), respectively, or (iii) the Exchange Offer has not been completed within 30 Business Days after the Effective Time of the Exchange Registration Statement relating to the Exchange Offer (if the Exchange Offer is then
required to be made) or (iv) any Exchange Registration Statement or Shelf Registration Statement required by Section 2(a) or Section 2(b) is filed and declared or becomes effective but shall thereafter either be withdrawn by the
Company and the Guarantor or shall become subject to an effective stop order issued pursuant to Section 8(d) of the Securities Act suspending the effectiveness of such registration statement (except as specifically permitted herein including
with respect to any Shelf Registration Statement during any applicable Suspension Period in accordance with the second paragraph of Section 2(b)) without being succeeded immediately by an additional registration statement filed and declared or
otherwise becoming effective or (v) one or more Suspension Periods remain in effect for an aggregate of more than 60 days in any consecutive twelve-month period (each such event referred to in clauses (i) through (v), a
“Registration Default” and each period during which a Registration Default has occurred and is continuing, a “Registration Default Period”), then, as liquidated damages for such Registration Default, subject to the
provisions of Section 9(b), special interest (“Special Interest”), in addition to the Base Interest, shall accrue on all Registrable Securities during the Registration Default Period (but only with respect to one Registration
Default at any particular time) until such time as all Registration Defaults have been cured at a per annum rate of 0.25% for the first 90 days of any Registration Default Period (aggregating, for such purpose, the length of such Registration
Default Periods with all subsequent Registration Default Periods), and at a per annum rate of 0.50% thereafter until such time as no Registration Default exists, regardless of the number of Registration Defaults that shall have occurred and be
continuing. 
 (d) The Company and the Guarantor shall take all actions reasonably necessary or advisable to be taken by them to
ensure that the transactions contemplated herein are effected as so contemplated, including all actions necessary or desirable to register the Guarantee under the registration statement contemplated in Section 2(a) or 2(b) hereof, as
applicable. 
 (e) Any reference herein to a registration statement or prospectus as of any time shall be deemed to include any
document incorporated, or deemed to be incorporated, therein by reference as of such time; and any reference herein to any post-effective amendment to a registration statement or to any prospectus supplement as of any time shall be deemed to include
any document incorporated, or deemed to be incorporated, therein by reference as of such time. 

  
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	 	3.	Registration Procedures. 

If the Company and the Guarantor file a registration statement pursuant to Section 2(a) or Section 2(b), the following
provisions shall apply: 
 (a) At or before the Effective Time of the Exchange Registration or any Shelf Registration, whichever
may occur first, the Company and the Guarantor shall qualify the Indenture under the Trust Indenture Act. 
 (b) In the event
that such qualification would require the appointment of a new trustee under the Indenture, Company and the Guarantor shall appoint a new trustee thereunder pursuant to the applicable provisions of the Indenture. 

(c) In connection with the Company’s and the Guarantor’s obligations with respect to the registration of Exchange Securities as
contemplated by Section 2(a) (the “Exchange Registration”), if applicable, the Company and the Guarantor shall: 
 (i) prepare and file with the Commission, by the earlier of (1) 180 days after the Closing Date and (2) the date on which a September Notes Exchange Registration Statement is filed with the
Commission, an Exchange Registration Statement on any form which may be utilized by the Company and the Guarantor and which shall permit the Exchange Offer and resales of Exchange Securities by broker-dealers during the Resale Period to be effected
as contemplated by Section 2(a), and use all commercially reasonable efforts to cause such Exchange Registration Statement to become effective by the earlier of (1) 365 days after the Closing Date and (2) the date on which the
September Notes Exchange Registration Statement is declared effective by the Commission; 
 (ii) as soon as
practicable prepare and file with the Commission such amendments and supplements to such Exchange Registration Statement and the prospectus included therein as may be necessary to effect and maintain the effectiveness of such Exchange Registration
Statement for the periods and purposes contemplated in Section 2(a) and as may be required by the applicable rules and regulations of the Commission and the instructions applicable to the form of such Exchange Registration Statement, and
promptly provide each broker-dealer holding Exchange Securities with such number of copies of the prospectus included therein (as then amended or supplemented), in conformity in all material respects with the requirements of the Securities Act and
the Trust Indenture Act, as such broker-dealer reasonably may request prior to the expiration of the Resale Period, for use in connection with resales of Exchange Securities; 

(iii) promptly notify each broker-dealer that has requested or received copies of the prospectus included in such Exchange
Registration Statement, and confirm such advice in writing, (A) when such Exchange 

  
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Registration Statement or the prospectus included therein or any prospectus amendment or supplement or post-effective amendment has been filed, and, with respect to such Exchange Registration
Statement or any post-effective amendment, when the same has become effective, (B) of any comments by the Commission and by the blue sky or securities commissioner or regulator of any state with respect thereto or any request by the Commission
for amendments or supplements to such Exchange Registration Statement or prospectus or for additional information, (C) of the issuance by the Commission of any stop order suspending the effectiveness of such Exchange Registration Statement or
the initiation or threatening of any proceedings for that purpose, (D) if at any time the representations and warranties of the Company contemplated by Section 5 cease to be true and correct in all material respects, (E) of the
receipt by the Company and the Guarantor of any notification with respect to the suspension of the qualification of the Exchange Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose,
(F) the occurrence of any event that causes the Company or the Guarantor to become an “ineligible issuer” as defined in Rule 405, or (G) if at any time during the Resale Period when a prospectus is required to be delivered
under the Securities Act, that such Exchange Registration Statement, prospectus, prospectus amendment or supplement or post-effective amendment does not conform in all material respects to the applicable requirements of the Securities Act and the
Trust Indenture Act or contains an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing;

 (iv) in the event that the Company and the Guarantor would be required, pursuant to Section 3(c)(iii)(G),
to notify any broker-dealers holding Exchange Securities (except during any Suspension Period not constituting a Registration Default), use their commercially reasonable efforts to promptly prepare and furnish, or cause to be furnished, to each such
holder a reasonable number of copies of a prospectus supplemented or amended so that, as thereafter delivered to purchasers of such Exchange Securities during the Resale Period, such prospectus shall conform in all material respects to the
applicable requirements of the Securities Act and the Trust Indenture Act and shall not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not
misleading in light of the circumstances then existing; 
 (v) use all commercially reasonable efforts to obtain
the withdrawal of any order suspending the effectiveness of such Exchange Registration Statement or any post-effective amendment thereto at the earliest practicable date; 

(vi) use all commercially reasonable efforts to (A) register or qualify the Exchange Securities under the securities
laws or blue sky laws of such jurisdictions as are contemplated by Section 2(a) no later than the commencement of the Exchange Offer, to the extent required by such laws, 

  
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(B) keep such registrations or qualifications in effect and comply with such laws so as to permit the continuance of offers, sales and dealings therein in such jurisdictions until the
expiration of the Resale Period, (C) take any and all other actions as may be reasonably necessary or advisable to enable each broker-dealer holding Exchange Securities to consummate the disposition thereof in such jurisdictions and
(D) obtain the consent or approval of each governmental agency or authority, whether federal, state or local, which may be required to effect the Exchange Registration, the Exchange Offer and the offering and sale of Exchange Securities by
broker-dealers during the Resale Period; provided, however, that neither the Company nor the Guarantor shall be required for any such purpose to (1) qualify as a foreign corporation or other entity or as a dealer in securities in any
jurisdiction wherein it would not otherwise be required to qualify but for the requirements of this Section 3(c)(vi) or (2) consent to general service of process in any such jurisdiction or become subject to taxation in any such
jurisdiction; 
 (vii) obtain a CUSIP number for each series of Exchange Securities, not later than the
applicable Effective Time; and 
 (viii) comply in all material respects with all applicable rules and
regulations of the Commission, and make generally available to its securityholders no later than eighteen months after the Effective Time of such Exchange Registration Statement, “earning statements” of the Company and its subsidiaries and
of the Guarantor and its subsidiaries complying with Section 11(a) of the Securities Act (including, at the option of the Company, Rule 158 thereunder). 
 (d) In connection with the Company’s and the Guarantor’s obligations with respect to the Shelf Registration, if applicable, the Company and the Guarantor shall: 

(i) use its commercially reasonable efforts to prepare and file with the Commission, within the time periods specified in
Section 2(b), a Shelf Registration Statement on any form which may be utilized by the Company and the Guarantor and which shall register all of the Registrable Securities for resale by the holders thereof in accordance with such method or
methods of disposition as may be specified by the holders of Registrable Securities as, from time to time, may be Electing Holders and use all commercially reasonable efforts to cause such Shelf Registration Statement to become effective within the
time periods specified in Section 2(b); 
 (ii) mail the Notice and Questionnaire to the holders of
Registrable Securities (A) not less than 30 days prior to the anticipated Effective Time of the Shelf Registration Statement or (B) in the case of an “automatic shelf registration statement” (as defined in Rule 405), mail
the Notice and Questionnaire to the holders of Registrable Securities not later than the Effective Time of such Shelf Registration Statement, and in any such case no holder shall be entitled to be named as a selling securityholder in the Shelf
Registration 

  
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Statement, and no holder shall be entitled to use the prospectus forming a part thereof for resales of Registrable Securities at any time, unless and until such holder has returned a completed
and signed Notice and Questionnaire to the Company by the deadline for response set forth therein; 
 (iii) after
the Effective Time of the Shelf Registration Statement, upon the request of any holder of Registrable Securities that is not then an Electing Holder, promptly send a Notice and Questionnaire to such holder; provided that the Company and the
Guarantor shall not be required to (A) take any action to name such holder as a selling securityholder in the Shelf Registration Statement or to enable such holder to use the prospectus forming a part thereof for resales of Registrable
Securities until such holder has returned a completed and signed Notice and Questionnaire to the Company and (B) nothing in this clause (iii) shall require the Company or the Guarantor to file a post-effective amendment to the Shelf
Registration Statement more than once in any 30-day period; 
 (iv) as soon as practicable prepare and file with
the Commission such amendments and supplements to such Shelf Registration Statement and the prospectus included therein as may be necessary to effect and maintain the effectiveness of such Shelf Registration Statement for the period specified in
Section 2(b) and as may be required by the applicable rules and regulations of the Commission and the instructions applicable to the form of such Shelf Registration Statement, and furnish, or cause to be furnished, to the Electing Holders
copies of any such supplement or amendment simultaneously with or prior to its being used or filed with the Commission to the extent such documents are not publicly available on the Commission’s EDGAR System; 

(v) comply in all material respects with the provisions of the Securities Act with respect to the disposition of all of
the Registrable Securities covered by such Shelf Registration Statement in accordance with the intended methods of disposition by the Electing Holders provided for in such Shelf Registration Statement; 

(vi) provide (A) the Electing Holders, (B) the underwriters (which term, for purposes of this Exchange and
Registration Rights Agreement, shall include a person deemed to be an underwriter within the meaning of Section 2(a)(11) of the Securities Act), if any, thereof, (C) any sales or placement agent therefor, (D) counsel for any such
underwriter or agent and (E) and not more than one counsel for all the Electing Holders the opportunity to participate in the preparation of such Shelf Registration Statement, each prospectus included therein or filed with the Commission and
each amendment or supplement thereto; 
 (vii) for a reasonable period prior to the filing of such Shelf
Registration Statement, and throughout the period specified in Section 2(b), make available at reasonable times at the Company’s principal place of business 

  
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or such other reasonable place for inspection by the persons referred to in Section 3(d)(vi) who shall certify to the Company that they have a current intention to sell the Registrable
Securities pursuant to the Shelf Registration such financial and other information and books and records of the Company and the Guarantor, and use their commercially reasonable efforts to cause the officers, employees, counsel and independent
certified public accountants of the Company and the Guarantor to respond to such inquiries, as shall be reasonably necessary (and, in the case of counsel, not violate an attorney-client privilege, in such counsel’s reasonable belief), in the
judgment of the respective counsel referred to in Section 3(d)(vi), to conduct a reasonable investigation within the meaning of Section 11 of the Securities Act; provided, however, that the foregoing inspection and information
gathering on behalf of the Electing Holders shall be conducted by one counsel designated by the holders of at least a majority in aggregate principal amount of the Registrable Securities held by the Electing Holders at the time outstanding, and
provided further that each such party shall be required (pursuant to an agreement in form and substance reasonably satisfactory to the Company) to maintain in confidence and not to disclose to any other person any information or records
reasonably designated by the Company as being confidential, until such time as (A) such information becomes a matter of public record (whether by virtue of its inclusion in such Shelf Registration Statement or otherwise except as a result of a
breach of this or any other obligation of confidentiality to the Company or the Guarantor known to such party), or (B) such person shall be required so to disclose such information pursuant to a subpoena or order of any court or other
governmental agency or body having jurisdiction over the matter (subject to the requirements of such order, and only after such person shall have given the Company prompt prior written notice of such requirement), or (C) such information is
required to be set forth in such Shelf Registration Statement or the prospectus included therein or in an amendment to such Shelf Registration Statement or an amendment or supplement to such prospectus in order that such Shelf Registration
Statement, prospectus, amendment or supplement, as the case may be, complies with applicable requirements of the federal securities laws and the rules and regulations of the Commission and does not contain an untrue statement of a material fact or
omit to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing; 

(viii) promptly notify each of the Electing Holders and confirm such advice in writing, (A) when such Shelf
Registration Statement or the prospectus included therein or any prospectus amendment or supplement or post-effective amendment has been filed, and, with respect to such Shelf Registration Statement or any post-effective amendment, when the same has
become effective, (B) of any comments by the Commission and by the blue sky or securities commissioner or regulator of any state with respect thereto or any request by the Commission for amendments or supplements to such Shelf Registration
Statement or prospectus or for additional information, (C) of the issuance by the Commission of any stop order suspending the effectiveness of 

  
 13 

 
such Shelf Registration Statement or the initiation or threatening of any proceedings for that purpose, (D) if at any time the representations and warranties of the Company and the Guarantor
set forth in Section 5 cease to be true and correct in all material respects, (E) of the receipt by the Company or the Guarantor of any notification with respect to the suspension of the qualification of the Registrable Securities for sale
in any jurisdiction or the initiation or threatening of any proceeding for such purpose, (F) the occurrence of any event that causes the Company or the Guarantor to become an “ineligible issuer” as defined in Rule 405, or
(G) if at any time when a prospectus is required to be delivered under the Securities Act, that such Shelf Registration Statement, prospectus, prospectus amendment or supplement or post-effective amendment does not conform in all material
respects to the applicable requirements of the Securities Act and the Trust Indenture Act or contains an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements
therein not misleading in light of the circumstances then existing; 
 (ix) use all commercially reasonable
efforts to obtain the withdrawal of any order suspending the effectiveness of such Shelf Registration Statement or any post-effective amendment thereto at the earliest practicable date; 

(x) if requested by any Electing Holder, promptly incorporate in a prospectus supplement or post-effective amendment such
information as is required by the applicable rules and regulations of the Commission and as such Electing Holder specifies should be included therein relating to the terms of the sale of such Registrable Securities, including information with
respect to the principal amount of Registrable Securities being sold by such Electing Holder, the name and description of such Electing Holder, the offering price of such Registrable Securities and any discount, commission or other compensation
payable in respect thereof and with respect to any other terms of the offering of the Registrable Securities to be sold by such Electing Holder; and make all required filings of such prospectus supplement or post-effective amendment promptly after
notification of the matters to be incorporated in such prospectus supplement or post-effective amendment; 
 (xi)
furnish, or cause to be furnished, to each Electing Holder and the counsel referred to in Section 3(d)(vi) a copy of such Shelf Registration Statement, each such amendment and supplement thereto (in each case including all exhibits thereto (in
the case of an Electing Holder of Registrable Securities, upon request in writing) and documents incorporated by reference therein) and such number of copies of such Shelf Registration Statement (excluding exhibits thereto and documents incorporated
by reference therein unless specifically so requested by such Electing Holder) and of the prospectus included in such Shelf Registration Statement (including each preliminary prospectus and any summary prospectus), in conformity in all material
respects with the applicable requirements of the Securities Act and the Trust Indenture Act 

  
 14 

 
to the extent such documents are not available through the Commission’s EDGAR System, and such other documents as such Electing Holder may reasonably request in writing in order to
facilitate the offering and disposition of the Registrable Securities owned by such Electing Holder and to permit such Electing Holder to satisfy the prospectus delivery requirements of the Securities Act; and subject to Section 3(e), the
Company and the Guarantor hereby consent to the use of such prospectus (including such preliminary and summary prospectus) and any amendment or supplement thereto by each such Electing Holder (subject to any applicable Suspension Period imposed
pursuant to Section 2(b) hereof), in each case in the form most recently provided to such person by the Company, in connection with the offering and sale of the Registrable Securities covered by the prospectus (including such preliminary and
summary prospectus) or any supplement or amendment thereto; 
 (xii) use all commercially reasonable efforts to
(A) register or qualify the Registrable Securities to be included in such Shelf Registration Statement under such securities laws or blue sky laws of such jurisdictions as any Electing Holder shall reasonably request in writing, (B) keep
such registrations or qualifications in effect and comply with such laws so as to permit the continuance of offers, sales and dealings therein in such jurisdictions during the period the Shelf Registration Statement is required to remain effective
under Section 2(b) and for so long as may be necessary to enable any such Electing Holder to complete its distribution of Registrable Securities pursuant to such Shelf Registration Statement, (C) take any and all other actions as may be
reasonably necessary or advisable to enable each such Electing Holder to consummate the disposition in such jurisdictions of such Registrable Securities and (D) obtain the consent or approval of each governmental agency or authority, whether
federal, state or local, which may be required to effect the Shelf Registration or the offering or sale in connection therewith or to enable the selling holder or holders to offer, or to consummate the disposition of, their Registrable Securities;
provided, however, that neither the Company nor the Guarantor shall be required for any such purpose to (1) qualify as a foreign corporation or other entity or as a dealer in securities in any jurisdiction wherein it would not otherwise
be required to qualify but for the requirements of this Section 3(d)(xii) or (2) consent to general service of process in any such jurisdiction or become subject to taxation in any such jurisdiction; 

(xiii) unless any Registrable Securities shall be in book-entry only form, cooperate with the Electing Holders to
facilitate the timely preparation and delivery of certificates representing Registrable Securities to be sold, which certificates, if so required by any securities exchange upon which any Registrable Securities are listed, shall be printed, penned,
lithographed, engraved or otherwise produced by any combination of such methods, on steel engraved borders, and which certificates shall not bear any restrictive legends; 

(xiv) obtain a CUSIP number for each series of Registrable Securities, not later than the applicable Effective Time;

  
 15 

 (xv) whether or not any portion of the offering contemplated by the Shelf
Registration is an underwritten offering or is made through a placement or sales agent or any other entity, but subject to Section 7 hereof with respect to any underwritten offering, (A) make such representations and warranties to any
Electing Holder, placement agent or underwriter in form, substance and scope as are customarily made to such persons in connection with an offering of debt securities pursuant to any appropriate agreement or to a registration statement filed on the
form applicable to the Shelf Registration; (B) obtain an opinion or opinions of counsel to the Company and the Guarantor, addressed to any Electing Holder, placement agent or underwriter that shall confirm, in customary form and covering such
matters, of the type customarily covered by such an opinion to such person, as such person may reasonably request, dated the effective date of such Shelf Registration Statement (or if such Shelf Registration Statement contemplates an underwritten
offering of a part or all of the Registrable Securities, dated the date of the closing under the underwriting agreement relating thereto) (it being agreed that the matters to be covered by such opinion shall include the due authorization, execution
and delivery of the relevant agreement of the type referred to in the last sentence of Section 7 hereof; the due authorization, execution, authentication and issuance, and the validity and enforceability, of the Securities and the Guarantees;
and the absence of governmental approvals required to be obtained in connection with the Shelf Registration, the offering and sale of the Registrable Securities, this Exchange and Registration Rights Agreement or any agreement of the type referred
to in the last sentence of Section 7 hereof, except such approvals as may be required under state securities or blue sky laws; (C) obtain a letter from counsel to the Company and the Guarantor, addressed to any Electing Holder, placement
agent or underwriter, to the effect that such Shelf Registration Statement appears on its face to comply as to form with the rules and regulations of the Commission relating to registration statements on such form, and, as of the date of the letter,
the absence from such Shelf Registration Statement and the prospectus included therein, as then amended or supplemented (in each case other than the financial statements and other financial information contained therein) of an untrue statement of a
material fact or the omission to state therein a material fact necessary to make the statements therein not misleading (in the case of any such prospectus, in the light of the circumstances existing at the time)); (D) obtain a “cold
comfort” letter or letters from the independent certified public accountants of the Company and the Guarantor addressed to any Electing Holder, placement agent or underwriter, dated (i) the effective date of such Shelf Registration
Statement and (ii) the effective date of any prospectus supplement to the prospectus included in such Shelf Registration Statement or post-effective amendment to such Shelf Registration Statement which includes unaudited or audited financial
statements as of a date or for a period subsequent to that of the latest such statements included in such prospectus (and, if such Shelf Registration Statement contemplates an underwritten offering pursuant to any prospectus supplement to the
prospectus included in such Shelf Registration Statement or post-effective amendment to such Shelf Registration Statement 

  
 16 

 
which includes unaudited or audited financial statements as of a date or for a period subsequent to that of the latest such statements included in such prospectus, dated the date of the closing
under the underwriting agreement relating thereto), such letter or letters to be in customary form and covering such matters of the type customarily covered by letters of such type; (E) deliver such documents and certificates, including
officers’ certificates, as may be reasonably requested in writing by any Electing Holder, placement agent or underwriter, provided that such Electing Holder, placement agent or underwriter shall confirm to the Company and Guarantor that
Section 11 of the Securities Act provides that, in the event an action were to be brought against any such Electing Holder, placement agent or underwriter under Section 11 of the Securities Act with respect to sales of Registrable
Securities, such person would have available to it, among other things, a due diligence defense under Section 11 of the Securities Act, to evidence the accuracy of the representations and warranties made pursuant to clause (A) above or
those contained in Section 5(a) hereof and the compliance with or satisfaction of any agreements or conditions contained in the underwriting agreement or other agreement entered into by the Company or the Guarantor; and (F) undertake such
obligations relating to expense reimbursement, indemnification and contribution as are provided in Section 6 hereof; 
 (xvi) notify in writing each holder of Registrable Securities of any proposal by the Company to amend or waive any provision of this Agreement pursuant to Section 9(h) and of any amendment or waiver
effected pursuant thereto, each of which notices shall contain the text of the amendment or waiver proposed or effected, as the case may be; and 
 (xvii) comply in all material respects with all applicable rules and regulations of the Commission, and make generally available to their respective securityholders no later than eighteen months after the
Effective Time of such Shelf Registration Statement an “earning statement” of each of the Company and its subsidiaries and of the Guarantor and its subsidiaries complying with Section 11(a) of the Securities Act (including, at the
option of the Company and the Guarantor, Rule 158 thereunder). 
 (e) In the event that the Company and the Guarantor would
be required, pursuant to Section 3(d)(viii)(G), to notify the Electing Holders, the Company and the Guarantor shall use their commercially reasonable efforts to promptly prepare and furnish, or cause to be furnished, to each of the Electing
Holders a reasonable number of copies of a prospectus supplemented or amended so that, as thereafter delivered to purchasers of Registrable Securities, such prospectus shall conform in all material respects to the applicable requirements of the
Securities Act and the Trust Indenture Act and shall not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the
circumstances then existing. Each Electing Holder agrees that upon receipt of any notice from the Company and the Guarantor pursuant to Section 3(d)(viii)(G), such Electing Holder shall forthwith discontinue the disposition of

  
 17 

 
Registrable Securities pursuant to the Shelf Registration Statement applicable to such Registrable Securities until such Electing Holder shall have received copies of such amended or supplemented
prospectus, and if so directed by the Company and the Guarantor, such Electing Holder shall deliver to the Company (at the Company’s expense) all copies, other than permanent file copies, of the prospectus covering such Registrable Securities
in such Electing Holder’s possession at the time of receipt of such notice. 
 (f) In the event of a Shelf Registration, in
addition to the information required to be provided by each Electing Holder in its Notice and Questionnaire, the Company may require such Electing Holder to furnish to the Company such additional information regarding such Electing Holder and such
Electing Holder’s intended method of distribution of Registrable Securities as may be required in order to comply with the Securities Act. Each such Electing Holder agrees to notify the Company as promptly as practicable of any inaccuracy or
change in information previously furnished by such Electing Holder to the Company or of the occurrence of any event in either case as a result of which any prospectus relating to such Shelf Registration contains or would contain an untrue statement
of a material fact regarding such Electing Holder or such Electing Holder’s intended method of disposition of such Registrable Securities or omits to state any material fact regarding such Electing Holder or such Electing Holder’s intended
method of disposition of such Registrable Securities required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing, and promptly to furnish to the Company any additional
information required to correct and update any previously furnished information or required so that such prospectus shall not contain, with respect to such Electing Holder or the disposition of such Registrable Securities, an untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing. 

(g) Until the earlier to occur of the expiration of one year after the Closing Date or the time that the Securities are freely resaleable
pursuant to Rule 144, the Company and the Guarantor will not, and will not permit any of their respective “affiliates” (as defined in Rule 144) to, resell any of the Securities that have been reacquired by any of them except pursuant
to an effective registration statement, or a valid exemption from the registration requirements, under the Securities Act. 

(h) As a condition to its participation in the Exchange Offer, each holder of Registrable Securities shall furnish, upon the request of
the Company, a written representation to the Company (which may be contained in the letter of transmittal or “agent’s message” transmitted via The Depository Trust Company’s Automated Tender Offer Procedures, in either case
contemplated by the Exchange Registration Statement) to the effect that (A) it is not an “affiliate” of the Company and the Guarantor, as defined in Rule 405 of the Securities Act, or if it is such an “affiliate”, it
will comply with the registration and prospectus delivery requirements of the Securities Act to the extent applicable, (B) it is not engaged in and does not intend to engage in, and has no arrangement or understanding with any person to
participate in, a distribution of the Exchange Securities to be issued in the Exchange Offer, (C) it is acquiring the 

  
 18 

 
Exchange Securities in its ordinary course of business, (D) if it is a broker-dealer that holds Securities that were acquired for its own account as a result of market-making activities or
other trading activities (other than Securities acquired directly from the Company or the Guarantor or any of their affiliates), it will deliver a prospectus meeting the requirements of the Securities Act in connection with any resales of the
Exchange Securities received by it in the Exchange Offer, (E) if it is a broker-dealer, that it did not purchase the Securities to be exchanged in the Exchange Offer from the Company or the Guarantor or any of their affiliates, and (F) it
is not acting on behalf of any person who could not truthfully and completely make the representations contained in the foregoing subclauses (A) through (E). 
  

	 	4.	Registration Expenses. 

The Company and the Guarantor agree to bear and to pay or cause to be paid promptly all expenses incident to the Company’s and the
Guarantor’s performance of or compliance with this Agreement, including (a) all Commission and any FINRA registration, filing and review fees and expenses including reasonable and documented fees and disbursements of one counsel for the
Electing Holders in connection with such registration, filing and review (such counsel’s fees and disbursements not to exceed $100,000), (b) all fees and expenses in connection with the qualification of the Registrable Securities, the
Securities and the Exchange Securities, as applicable, for offering and sale under the State securities and blue sky laws referred to in Section 3(d)(xii) and determination of their eligibility for investment under the laws of such
jurisdictions as the Electing Holders may designate, including any reasonable and documented fees and disbursements of one counsel for the Electing Holders in connection with such qualification and determination (such counsel’s fees and
disbursements not to exceed $25,000), (c) all expenses relating to the preparation, printing, production, distribution and reproduction of each registration statement required to be filed hereunder, each prospectus included therein or prepared
for distribution pursuant hereto, each amendment or supplement to the foregoing, the expenses of preparing the Securities or Exchange Securities, as applicable, for delivery and the expenses of printing or producing any selling agreements and blue
sky or legal investment memoranda and all other documents in connection with the offering, sale or delivery of Securities or Exchange Securities, as applicable, to be disposed of (including certificates representing the Securities or Exchange
Securities, as applicable), (d) messenger, telephone and delivery expenses relating to the offering, sale or delivery of Securities or Exchange Securities, as applicable, and the preparation of documents referred in clause (c) above,
(e) reasonable and documented fees and expenses of the Trustee under the Indenture, any agent of the Trustee and any counsel for the Trustee and of any collateral agent or custodian, (f) internal expenses (including all salaries and
expenses of the Company’s and the Guarantor’s officers and employees performing legal or accounting duties), (g) reasonable fees, disbursements and expenses of counsel and independent certified public accountants of the Company and
the Guarantor, (h) reasonable and documented fees, disbursements and expenses of one counsel for the Electing Holders retained in connection with a Shelf Registration, as selected by the Electing Holders of at least a majority in aggregate
principal amount of the Registrable Securities held by Electing Holders (which counsel shall be reasonably 

  
 19 

 
satisfactory to the Company) (such counsel’s fees and disbursements not to exceed $50,000), (i) any fees charged by securities rating services for rating the Registrable Securities, the
Securities or the Exchange Securities, as applicable, and (j) fees, expenses and disbursements of any other persons, including special experts, retained by the Company and the Guarantor in connection with such registration (collectively, the
“Registration Expenses”). To the extent that any Registration Expenses are incurred, assumed or paid by any holder of Registrable Securities, Securities or Exchange Securities, as applicable, the Company and the Guarantor shall
reimburse such person for the full amount of the Registration Expenses so incurred, assumed or paid promptly after receipt of a request therefor, which shall be accompanied by written evidence of the expenses so incurred. Notwithstanding the
foregoing, the holders of the Registrable Securities being registered shall pay all agency fees and commissions and underwriting discounts and commissions, if any, and transfer taxes, if any, attributable to the sale of such Registrable Securities,
Securities and Exchange Securities, as applicable, and the fees and disbursements of any counsel or other advisors or experts retained by such holders (severally or jointly), other than the counsel and experts specifically referred to above.

  

	 	5.	Representations and Warranties. 

 The Company and the Guarantor, jointly and severally, represent and warrant to, and agree with, each Purchaser and each of the holders from time to time of Registrable Securities that: 

(a) Each registration statement covering Registrable Securities, Securities or Exchange Securities, as applicable, and each prospectus
(including any preliminary or summary prospectus) contained therein or furnished pursuant to Section 3(c) or Section 3(d) and any further amendments or supplements to any such registration statement or prospectus, when it becomes effective
or is filed with the Commission, as the case may be, will conform in all material respects to the requirements of the Securities Act and the Trust Indenture Act and will not contain an untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein not misleading; and at all times subsequent to the Effective Time when a prospectus would be required to be delivered under the Securities Act, other than from
(i) such time as a notice has been given to holders of Registrable Securities pursuant to Section 3(c)(iii)(G) or Section 3(d)(viii)(G) until (ii) such time as the Company and the Guarantor furnish an amended or supplemented
prospectus pursuant to Section 3(c)(iv) or Section 3(e) each such registration statement, and each prospectus (including any summary prospectus) contained therein or furnished pursuant to Section 3(c) or Section 3(d), as then
amended or supplemented, will conform in all material respects to the requirements of the Securities Act and the Trust Indenture Act and will not contain an untrue statement of a material fact or omit to state a material fact required to be stated
therein or necessary to make the statements therein not misleading in the light of the circumstances then existing; provided, however, that this representation and warranty shall not apply to any statements or omissions made in reliance upon
and in conformity with information furnished in writing to the Company by a holder of Registrable Securities expressly for use therein. 

  
 20 

 (b) Any documents incorporated by reference in any prospectus referred to in
Section 5(a), when they become or became effective or are or were filed with the Commission, as the case may be, will conform or conformed in all material respects to the requirements of the Securities Act or the Exchange Act, as applicable,
and none of such documents will contain or contained an untrue statement of a material fact or will omit or omitted to state a material fact required to be stated therein or necessary to make the statements therein not misleading; provided,
however, that this representation and warranty shall not apply to any statements or omissions made in reliance upon and in conformity with information furnished in writing to the Company by a holder of Registrable Securities expressly for use
therein. 
 (c) The compliance by the Company and the Guarantor with all of the provisions of this Agreement and the
consummation of the transactions herein contemplated will not (i) conflict with or result in a breach or violation of any of the terms or provisions of, or constitute a default under, any indenture, mortgage, deed of trust, loan agreement or
other agreement or instrument to which the Company and the Guarantor or any of their respective subsidiaries is a party or by which the Company or the Guarantor or any such subsidiary is bound or to which any of the property or assets of the Company
or the Guarantor or any such subsidiary is subject, (ii) result in any violation of the provisions of the certificate of incorporation, as amended, or the by-laws or other governing documents, as applicable, of the Company or the Guarantor or
(iii) result in any violation of any statute or any order, rule or regulation of any court or governmental agency or body having jurisdiction over the Company, the Guarantor or any of their respective subsidiaries or any of their respective
properties except in the case of (i) and (iii) above, for any default, breach, violation or conflict which would not reasonably be expected to have a material adverse effect on the general affairs, management, consolidated financial
condition, consolidated shareholders’ equity or consolidated results of operations of the Guarantor and its subsidiaries, taken as a whole, or which would not reasonably be expected to interfere with the ability of the Company and the Guarantor
to fulfill their obligations hereunder or the ability of holders to participate in the Exchange Offer and to use the prospectus contained in the Exchange Registration Statement and Shelf Registration Statement to resell Exchange Securities and
Registrable Securities, respectively, as provided for herein; and no consent, approval, authorization, order, registration or qualification of or with any such court or governmental agency or body is required for the consummation by the Company and
the Guarantor of the transactions contemplated by this Agreement, except (x) the registration under the Securities Act of the Registrable Securities, the Securities and the Exchange Securities, as applicable, and qualification of the Indenture
under the Trust Indenture Act, (y) such consents, approvals, authorizations, registrations or qualifications as may be required under state securities or blue sky laws in connection with the offering and distribution of the Registrable
Securities, the Securities and the Exchange Securities, as applicable, and (z) such consents, approvals, authorizations, registrations or qualifications that have been obtained and are in full force and effect as of the date hereof. 

(d) This Agreement has been duly authorized, executed and delivered by the Company and by the Guarantor. 

  
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	 	6.	Indemnification and Contribution. 

 (a) Indemnification by the Company and the Guarantor. The Company and the Guarantor, jointly and severally, will indemnify and hold harmless each of the holders of Registrable Securities included
in an Exchange Registration Statement and each of the Electing Holders as holders of Registrable Securities included in a Shelf Registration Statement against any losses, claims, damages or liabilities, joint or several, to which such holder or such
Electing Holder may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a
material fact contained in any Exchange Registration Statement or any Shelf Registration Statement, as the case may be, under which such Registrable Securities, Securities or Exchange Securities were registered under the Securities Act, or any
preliminary, final or summary prospectus (including, without limitation, any “issuer free writing prospectus” as defined in Rule 433) contained therein or furnished by the Company to any such holder or any such Electing Holder, or any
amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse each
such holder and each such Electing Holder for any and all legal or other expenses reasonably incurred by them in connection with investigating or defending any such action or claim as such expenses are incurred; provided, however, that
neither the Company nor the Guarantor shall be liable to any such person in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue statement or alleged untrue statement or omission or
alleged omission made in such registration statement, or preliminary, final or summary prospectus (including, without limitation, any “issuer free writing prospectus” as defined in Rule 433), or amendment or supplement thereto, in
reliance upon and in conformity with written information furnished to the Company by such person expressly for use therein. 

(b) Indemnification by the Electing Holders. The Company and the Guarantor may require, as a condition to including any
Registrable Securities in any Shelf Registration Statement filed pursuant to Section 2(b), that the Company and the Guarantor shall have received an undertaking reasonably satisfactory to them from each Electing Holder of Registrable Securities
included in such Shelf Registration Statement, severally and not jointly, to (i) indemnify and hold harmless the Company, the Guarantor and all other Electing Holders of Registrable Securities included in such Shelf Registration Statement
against any losses, claims, damages or liabilities to which the Company, the Guarantor or such other Electing Holders may become subject, under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in
respect thereof) arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in such registration statement, or any preliminary, final or summary prospectus (including, without limitation, any
“issuer free writing prospectus” as defined in Rule 433) contained therein or furnished by the Company and the Guarantor to any Electing Holder, or any amendment or supplement thereto, or arise out of or are based upon the omission or
alleged omission to state therein a material fact required to be stated therein or necessary to make the 

  
 22 

 
statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance
upon and in conformity with written information furnished to the Company by such Electing Holder expressly for use therein, and (ii) reimburse the Company and the Guarantor for any legal or other expenses reasonably incurred by the Company and
the Guarantor in connection with investigating or defending any such action or claim as such expenses are incurred; provided, however, that no such Electing Holder shall be required to undertake liability to any person under this
Section 6(b) for any amounts in excess of the dollar amount of the proceeds to be received by such Electing Holder from the sale of such Electing Holder’s Registrable Securities pursuant to such registration. 

(c) Notices of Claims, Etc. Promptly after receipt by an indemnified party under subsection (a) or (b) above of written
notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against an indemnifying party pursuant to the indemnification provisions of or contemplated by this Section 6, notify such
indemnifying party in writing of the commencement of such action; but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to any indemnified party otherwise than under the indemnification
provisions of or contemplated by Section 6(a) or Section 6(b). In case any such action shall be brought against any indemnified party and it shall notify an indemnifying party of the commencement thereof, such indemnifying party shall be
entitled to participate therein and, to the extent that it shall wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof, with counsel reasonably satisfactory to such indemnified party (who shall not, except
with the consent of the indemnified party, be counsel to the indemnifying party), and, after notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof, such indemnifying party shall not be liable
to such indemnified party for any legal expenses of other counsel or any other expenses, in each case subsequently incurred by such indemnified party, in connection with the defense thereof other than reasonable costs of investigation. To the extent
that an indemnifying party does not assume the defense of any such action, it is understood and agreed that the indemnifying party shall not, in connection with any proceeding or related proceeding in the same jurisdiction, be liable for the fees
and expenses of more than one separate firm (in addition to any local counsel) for all indemnified parties, and that all such fees and expenses shall be reimbursed as they are incurred; provided that the fees and expenses of such separate
firm or any local counsel shall be reasonable. No indemnifying party shall, without the prior written consent of the indemnified party, effect the settlement or compromise of, or consent to the entry of any judgment with respect to, any pending
or threatened action or claim in respect of which indemnification or contribution may be sought hereunder (whether or not the indemnified party is an actual or potential party to such action or claim) unless such settlement, compromise or judgment
(i) includes an unconditional release of the indemnified party from all liability arising out of such action or claim and (ii) does not include a statement as to, or an admission of, fault, culpability or a failure to act by or on behalf
of any indemnified party. 

  
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 (d) Contribution. If for any reason the indemnification provisions contemplated by
Section 6(a) or Section 6(b) are unavailable to or insufficient to hold harmless an indemnified party in respect of any losses, claims, damages or liabilities (or actions in respect thereof) referred to therein, then each indemnifying
party shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages or liabilities (or actions in respect thereof) in such proportion as is appropriate to reflect the relative fault of the
indemnifying party and the indemnified party in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities (or actions in respect thereof), as well as any other relevant equitable considerations. The
relative fault of such indemnifying party and indemnified party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact
relates to information supplied by such indemnifying party or by such indemnified party, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. The parties hereto
agree that it would not be just and equitable if contributions pursuant to this Section 6(d) were determined by pro rata allocation (even if the holders were treated as one entity for such purpose) or by any other method of allocation which
does not take account of the equitable considerations referred to in this Section 6(d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages, or liabilities (or actions in respect thereof) referred to
above shall be deemed to include any legal or other fees or expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section 6(d), no
Electing Holder shall be required to contribute any amount in excess of the amount by which the dollar amount of the proceeds received by such holder from the sale of any Registrable Securities (after deducting any fees, discounts and commissions
applicable thereto) exceeds the amount of any damages which such holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within
the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. The holders’ obligations in this Section 6(d) to contribute shall be
several in proportion to the principal amount of Registrable Securities registered by them and not joint. 
 (e) The obligations
of the Company and the Guarantor under this Section 6 shall be in addition to any liability which the Company or the Guarantor may otherwise have and shall extend, upon the same terms and conditions, to each officer, director and partner of
each holder, each Electing Holder, and each person, if any, who controls any of the foregoing within the meaning of the Securities Act; and the obligations of the holders and the Electing Holders contemplated by this Section 6 shall be in
addition to any liability which the respective holder or Electing Holder may otherwise have and shall extend, upon the same terms and conditions, to each officer and director of the Company or the Guarantor (including any person who, with his
consent, is named in any registration statement as about to become a director of the Company or the Guarantor) and to each person, if any, who controls the Company within the meaning of the Securities Act, as well as to each officer and director of
the other holders and to each person, if any, who controls such other holders within the meaning of the Securities Act. 

  
 24 

	 	7.	Underwritten Offerings. 

Each holder of Registrable Securities hereby agrees with the Company and the Guarantor and each other such holder that no holder of
Registrable Securities may participate in any underwritten offering hereunder unless (a) the Company and the Guarantor give their prior written consent to such underwritten offering, (b) the managing underwriter or underwriters thereof
shall be designated Electing Holders holding at least a majority in aggregate principal amount of the Registrable Securities to be included in such offering, provided that such designated managing underwriter or underwriters is or are
reasonably acceptable to the Company and the Guarantor, (c) each holder of Registrable Securities participating in such underwritten offering agrees to sell such holder’s Registrable Securities on the basis provided in any underwriting
arrangements approved by the persons entitled selecting the managing underwriter or underwriters hereunder and (d) each holder of Registrable Securities participating in such underwritten offering completes and executes all questionnaires,
powers of attorney, indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements. The Company and the Guarantor hereby agree with each holder of Registrable Securities that, to the
extent they consent to an underwritten offering hereunder, they will negotiate in good faith and execute all indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements, including
using all commercially reasonable efforts to procure customary legal opinions and auditor “comfort” letters. 
  

	 	8.	Rule 144. 

 (a)
Facilitation of Sales Pursuant to Rule 144. The Company and the Guarantor covenant to the holders of Registrable Securities that to the extent they shall be required to do so under the Exchange Act, the Company and the Guarantor shall timely
file the reports required to be filed by them under the Exchange Act or the Securities Act (including the reports under Sections 13 and 15(d) of the Exchange Act referred to in subparagraph (c)(1) of Rule 144), and shall take such further
action as any holder of Registrable Securities may reasonably request, all to the extent required from time to time to enable such holder to sell Registrable Securities without registration under the Securities Act within the limitations of the
exemption provided by Rule 144. Upon the request of any holder of Registrable Securities in connection with that holder’s sale pursuant to Rule 144, the Company and the Guarantor shall deliver to such holder written statements as to
whether they have complied with such requirements. 
 (b) Availability of Rule 144 Not Excuse for Obligations Under
Section 2. The fact that holders of Registrable Securities may become eligible to sell such Registrable Securities pursuant to Rule 144 shall not (1) cause such Securities to cease to be Registrable Securities or (2) excuse the
Company’s and the Guarantor’s obligations set forth in Section 2 of this Agreement, including without limitation the obligations in respect of an Exchange Offer, Shelf Registration and Special Interest. 

  
 25 

	 	9.	Miscellaneous. 

 (a) No
Inconsistent Agreements. The Company and the Guarantor represent, warrant, covenant and agree that they have not granted, and shall not grant, registration rights with respect to Registrable Securities, Exchange Securities or Securities, as
applicable, or any other securities which would be inconsistent with the terms contained in this Agreement. 
 (b) Specific
Performance. The parties hereto acknowledge that there would be no adequate remedy at law if the Company and the Guarantor fail to perform any of their respective obligations hereunder and that the Purchasers and the holders from time to time of
the Registrable Securities may be irreparably harmed by any such failure, and accordingly agree that the Purchasers and such holders, in addition to any other remedy to which they may be entitled at law or in equity, shall be entitled to compel
specific performance of the obligations of the Company and the Guarantor under this Agreement in accordance with the terms and conditions of this Agreement, in any court of the United States or any State thereof having jurisdiction. Time shall be of
the essence in this Agreement. 
 (c) Notices. All notices, requests, claims, demands, waivers and other communications
hereunder shall be in writing and shall be deemed to have been duly given when delivered by hand, if delivered personally, by facsimile or by courier, or three days after being deposited in the mail (registered or certified mail, postage prepaid,
return receipt requested) as follows: (i) if to the Company, to it at Pentair Finance S.A., c/o Pentair, Inc., 5500 Wayzata Boulevard, Suite 800, Golden Valley MN 55416, (ii) if to the Guarantor, to it at Pentair Ltd., c/o Pentair, Inc.,
5500 Wayzata Boulevard, Suite 800, Golden Valley MN 55416; Telecopy No: 763-656-5410; Attention: Secretary and (iii) if to a holder, to the address of such holder set forth in the security register or other records of the Company, or to such
other address as the Company or any such holder may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt. 

(d) Parties in Interest. All the terms and provisions of this Agreement shall be binding upon, shall inure to the benefit of and
shall be enforceable by the parties hereto, the holders from time to time of the Registrable Securities and the respective successors and assigns of the foregoing. In the event that any transferee of any holder of Registrable Securities shall
acquire Registrable Securities, in any manner, whether by gift, bequest, purchase, operation of law or otherwise, such transferee shall, without any further writing or action of any kind, be deemed a beneficiary hereof for all purposes and such
Registrable Securities shall be held subject to all of the terms of this Agreement, and by taking and holding such Registrable Securities such transferee shall be entitled to receive the benefits of, and be conclusively deemed to have agreed to be
bound by all of the applicable terms and provisions of this Agreement. If the Company shall so request, any such successor, assign or transferee shall agree in writing to acquire and hold the Registrable Securities subject to all of the applicable
terms hereof. 

  
 26 

 (e) Survival. The respective indemnities, agreements, representations, warranties
and each other provision set forth in this Agreement or made pursuant hereto shall remain in full force and effect regardless of any investigation (or statement as to the results thereof) made by or on behalf of any holder of Registrable Securities,
any director, officer or partner of such holder, or any controlling person of any of the foregoing, and shall survive delivery of and payment for the Registrable Securities pursuant to the Purchase Agreement, the transfer and registration of
Registrable Securities by such holder and the consummation of an Exchange Offer. 
 (f) Governing Law. This
Agreement shall be governed by and construed in accordance with the laws of the State of New York. 
 (g) Headings.
The descriptive headings of the several Sections and paragraphs of this Agreement are inserted for convenience only, do not constitute a part of this Agreement and shall not affect in any way the meaning or interpretation of this Agreement.

 (h) Entire Agreement; Amendments. This Agreement and the other writings referred to herein (including the Indenture
and the form of Securities) or delivered pursuant hereto which form a part hereof contain the entire understanding of the parties with respect to its subject matter. This Agreement supersedes all prior agreements and understandings between the
parties with respect to its subject matter. This Agreement may be amended and the observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively) only by a written
instrument duly executed by the Company and the Guarantor and the holders of at least a majority in aggregate principal amount of the Registrable Securities at the time outstanding. Each holder of any Registrable Securities at the time or thereafter
outstanding shall be bound by any amendment or waiver effected pursuant to this Section 9(h), whether or not any notice, writing or marking indicating such amendment or waiver appears on such Registrable Securities or is delivered to such
holder. 
 (i) Inspection. For so long as this Agreement shall be in effect, this Agreement and a complete list of the
names and addresses of all the record holders of Registrable Securities shall be made available for inspection and copying on any Business Day by any holder of Registrable Securities for proper purposes only (which shall include any purpose related
to the rights of the holders of Registrable Securities under the Securities, the Indenture and this Agreement) at the offices of the Company at the address thereof set forth in Section 9(c) and at the office of the Trustee under the Indenture.

 (j) Counterparts. This Agreement may be executed by the parties in counterparts, each of which shall be deemed to be
an original, but all such respective counterparts shall together constitute one and the same instrument. 
 (k)
Severability. If any provision of this Agreement, or the application thereof in any circumstance, is held to be invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of such provision in
every other respect and of the remaining provisions contained in this Agreement shall not be affected or impaired thereby. 

  
 27 

 If the foregoing is in accordance with your understanding, please sign and return to us
four counterparts hereof, and upon the acceptance hereof by you, on behalf of each of the Purchasers, this letter and such acceptance hereof shall constitute a binding agreement between each of the Purchasers, the Company and the Guarantor. It is
understood that your acceptance of this letter on behalf of each of the Purchasers is pursuant to the authority set forth in a form of Agreement among Purchasers, the form of which shall be submitted to the Company for examination upon request, but
without warranty on your part as to the authority of the signers thereof. 
  

					
	Very truly yours,
	
	Pentair Finance S.A.
		
	By:	 	 /s/ Michael G. Meyer

		 	Name:	 	Michael G. Meyer
		 	Title:	 	Director
	
	Pentair Ltd.
		
	By:	 	 /s/ Michael G. Meyer

		 	Name:	 	Michael G. Meyer
		 	Title:	 	Vice President, Treasurer
		
	By:	 	 /s/ Mark C. Borin

		 	Name:	 	Mark C. Borin
		 	Title:	 	 Corporate Controller and
 Chief
Accounting Officer

 Accepted as of the date hereof: 
 Accepted as of the date hereof: 
  

			
	J.P. Morgan Securities LLC
		
	By:	 	 /s/ Marla Sramek

		 	Marla Sramek
		 	Executive Director
	
	Merrill Lynch, Pierce, Fenner & Smith
	                      Incorporated
		
	By:	 	 /s/ James Probert

		 	James Probert
		 	Managing Director
	
	U.S. Bancorp Investments, Inc.
		
	By:	 	 /s/ Phillip Bennet

		 	Phillip Bennet
		 	Managing Director

 Exhibit A 
 PENTAIR FINANCE S.A. 
 Société Anonyme 

26, Boulevard Royal 
 C-2449 Luxembourg 
 T.C.S number B 166305 

INSTRUCTION TO DTC PARTICIPANTS 
 (Date of Mailing) 
 URGENT - IMMEDIATE ATTENTION REQUESTED

 DEADLINE FOR RESPONSE: [DATE]* 
 The Depository Trust Company (“DTC”) has identified you as a DTC Participant through which beneficial interests in Pentair Finance S.A. (the “Company”) 1.350% Senior
Notes due 2015 and 2.650% Senior Notes due 2019 (collectively the “Securities”) are held. 
 The Company is in the process of
registering the Securities under the Securities Act of 1933 for resale by the beneficial owners thereof. In order to have their Securities included in the registration statement, beneficial owners must complete and return the enclosed Notice of
Registration Statement and Selling Securityholder Questionnaire. 
 It is important that beneficial owners of the Securities receive a copy
of the enclosed materials as soon as possible as their rights to have the Securities included in the registration statement depend upon their returning the Notice and Questionnaire by [Deadline For Response]. Please forward a copy of the
enclosed documents to each beneficial owner that holds interests in the Securities through you. If you require more copies of the enclosed materials or have any questions pertaining to this matter, please contact Pentair Finance S.A., c/o Pentair,
Inc., 5500 Wayzata Boulevard, Suite 800, Golden Valley MN 55416. 
  

	*	Not less than 28 calendar days from date of mailing. 

  
 A-1

 PENTAIR FINANCE S.A. 

Société Anonyme 
 26, Boulevard Royal 
 C-2449 Luxembourg 

T.C.S number B 166305 
 NOTICE OF REGISTRATION STATEMENT 
 AND 

SELLING SECURITYHOLDER QUESTIONNAIRE 
 (DATE) 
 Reference is hereby made to the Exchange and Registration Rights Agreement (the
“Exchange and Registration Rights Agreement”) between Pentair Finance S.A. (the “Company”), Pentair Ltd. (the “Guarantor”) and the Purchasers named therein. Pursuant to the Exchange and Registration
Rights Agreement, the Company has filed or will file with the United States Securities and Exchange Commission (the “Commission”) a registration statement on Form S-3 (the “Shelf Registration Statement”) for
the registration and resale under Rule 415 of the Securities Act of 1933, as amended (the “Securities Act”), of the Company’s 1.350% Senior Notes due 2015 and 2.650% Senior Notes due 2019 (the
“Securities”). A copy of the Exchange and Registration Rights Agreement has been filed as an exhibit to the Shelf Registration Statement and can be obtained from the Commission’s website at www.sec.gov. All capitalized
terms not otherwise defined herein shall have the meanings ascribed thereto in the Exchange and Registration Rights Agreement. 
 Each
beneficial owner of Registrable Securities (as defined below) is entitled to have the Registrable Securities beneficially owned by it included in the Shelf Registration Statement. In order to have Registrable Securities included in the Shelf
Registration Statement, this Notice of Registration Statement and Selling Securityholder Questionnaire (“Notice and Questionnaire”) must be completed, executed and delivered to the Company’s counsel at the address set forth
herein for receipt ON OR BEFORE [Deadline for Response]. Beneficial owners of Registrable Securities who do not properly complete, execute and return this Notice and Questionnaire by such date (i) will not be named as selling
securityholders in the Shelf Registration Statement and (ii) may not use the Prospectus forming a part thereof for resales of Registrable Securities. 
 Certain legal consequences arise from being named as a selling securityholder in the Shelf Registration Statement and related Prospectus. Accordingly, holders and beneficial owners of Registrable
Securities are advised to consult their own securities law counsel regarding the consequences of being named or not being named as a selling securityholder in the Shelf Registration Statement and related Prospectus. 

  
 A-2

 The term “Registrable Securities” is defined in the Exchange and Registration Rights
Agreement. 

  
 A-3

 ELECTION 
 The undersigned holder (the “Selling Securityholder”) of Registrable Securities hereby elects to include in the Shelf Registration Statement the Registrable Securities beneficially owned
by it and listed below in Item (3). The undersigned, by signing and returning this Notice and Questionnaire, agrees to be bound with respect to such Registrable Securities by the terms and conditions of this Notice and Questionnaire and the
Exchange and Registration Rights Agreement, including, without limitation, Section 6 of the Exchange and Registration Rights Agreement, as if the undersigned Selling Securityholder were an original party thereto. 

Pursuant to the Exchange and Registration Rights Agreement, the undersigned has agreed to indemnify and hold harmless the Company and the Guarantor,
their officers who sign any Shelf Registration Statement, and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act, against certain loses arising out of an untrue statement, or the alleged untrue
statement, of a material fact in the Shelf Registration Statement or the related prospectus or the omission, or alleged omission, to state a material fact required to be stated in such Shelf Registration Statement or the related prospectus, but only
to the extent such untrue statement or omission, or alleged untrue statement or omission, was made in reliance on and in conformity with the information provided in this Notice and Questionnaire. 

Upon any sale of Registrable Securities pursuant to the Shelf Registration Statement, the Selling Securityholder will be required to deliver to the
Company and Trustee the Notice of Transfer set forth in Appendix A to the Prospectus and as Exhibit B to the Exchange and Registration Rights Agreement. 
 The Selling Securityholder hereby provides the following information to the Company and the Guarantor and represents and warrants that such information is accurate and complete: 

  
 A-4

 QUESTIONNAIRE 

 

											
	(1)	  	(a)	 	Full legal name of Selling Securityholder:
			
		  		 	  

			
		  	(b)	 	Full legal name of registered Holder (if not the same as in (a) above) of Registrable Securities listed in Item (3) below:
			
		  		 	  

			
		  	(c)	 	Full legal name of DTC Participant (if applicable and if not the same as (b) above) through which Registrable Securities listed in Item (3) below are
held:
			
		  		 	  

		
	(2)	  	Address for notices to Selling Securityholder:
				
		  		 	  
	  	
				
		  		 	  
	  	
				
		  		 	  
	  	
					
		  		 	Telephone:	 	  
	  	
					
		  		 	Fax:	 	  
	  	
					
		  		 	Contact Person:	 	  
	  	
					
		  		 	E-mail for Contact Person:	 	  
	  	
		
	(3)	  	Beneficial Ownership of Securities:
			
		  		 	Except as set forth below in this Item (3), the undersigned does not beneficially own any
Securities.

											
				
		  	(a)	 	Principal amount of Registrable Securities beneficially owned:	 	  

											
		  		 	CUSIP No(s). of such Registrable Securities:	 	  

			
		  	(b)	 	Principal amount of Securities other than Registrable Securities beneficially
owned:                                        
                            
		  		 	  

											
		  		 	CUSIP No(s). of such other Securities:	 	  

			
		  	(c)	 	 Principal amount of Registrable Securities that the undersigned wishes to be included in the Shelf Registration Statement:
                                         
                                       

CUSIP No(s). of such Registrable Securities to be included in the Shelf Registration
Statement:                                       
                                         
                                         
                                         
 

		
	(4)	  	Beneficial Ownership of Other Securities of the Company and the Guarantor:
			
		  		 	Except as set forth below in this Item (4), the undersigned Selling Securityholder is not the beneficial or registered owner of any other securities of the
Company or the Guarantor, other than the Securities listed above in Item (3).

  
 A-5

													
		 		 	State any exceptions here:	 	
			
		 		 	  

			
		 		 	  

			
		 		 	  

		
	(5)	 	Individuals who exercise dispositive powers with respect to the Securities:
			
		 		 	If the Selling Securityholder is not an entity that is required to file reports with the Commission pursuant to Section 13 or 15(d) of the Securities Exchange
Act of 1934 (a “Reporting Company”), then the Selling Securityholder must disclose the name of the natural person(s) who exercise sole or shared dispositive powers with respect to the Securities. Selling Securityholders should disclose the
beneficial holders, not nominee holders or other such others of record. In addition, the Commission has provided guidance that Rule 13d-3 of the Securities Exchange Act of 1934 should be used by analogy when determining the person or persons
sharing voting and/or dispositive powers with respect to the Securities.
				
		 	 (a)
	 	Is the holder a Reporting Company?	 	
							
		 		 	Yes	 	  
	 	No	 	  
	 	
						
		 		 	If “No”, please answer Item (5)(b).	 		 		 	
			
		 	 (b)
	 	List below the individual or individuals who exercise dispositive powers with respect to the Securities:
			
		 		 	  

			
		 		 	  

			
		 		 	  

			
		 		 	Please note that the names of the persons listed in (b) above will be included in the Shelf Registration Statement and related
Prospectus.
		
	(6)	 	Relationships with the Company and the Guarantor:
			
		 		 	Except as set forth below, neither the Selling Securityholder nor any of its affiliates, officers, directors or principal equity holders (5% or more) has held any
position or office or has had any other material relationship with the Company or the Guarantor (or their respective predecessors or affiliates) during the past three years.

  
 A-6

													
			
		 		 	State any exceptions here:
			
		 		 	  

			
		 		 	  

					
	 (7)
	 	Plan of Distribution:	 		 		 	
			
		 		 	Except as set forth below, the undersigned Selling Securityholder intends to distribute the Registrable Securities listed above in Item (3) only as follows
(if at all): Such Registrable Securities may be sold from time to time directly by the undersigned Selling Securityholder. Such Registrable Securities may be sold in one or more transactions at fixed prices, at prevailing market prices at the time
of sale, at varying prices determined at the time of sale, or at negotiated prices. Such sales may be effected in transactions (which may involve crosses or block transactions) (i) on any national securities exchange or quotation service on
which the Registered Securities may be listed or quoted at the time of sale, (ii) in the over-the-counter market, (iii) in transactions otherwise than on such exchanges or services or in the over-the-counter market, or (iv) through
the writing of options. In connection with sales of the Registrable Securities or otherwise, the Selling Securityholder may enter into hedging transactions with broker-dealers, which may in turn engage in short sales of the Registrable Securities in
the course of hedging the positions they assume. The Selling Securityholder may also sell Registrable Securities short and deliver Registrable Securities to close out such short positions, or loan or pledge Registrable Securities to broker-dealers
that in turn may sell such securities.
			
		 		 	State any exceptions here:
			
		 		 	  

			
		 		 	  

			
		 		 	  

			
		 		 	Note: In no event may such method(s) of distribution take the form of an underwritten offering of Registrable Securities without the prior written agreement of the
Company.
					
	 (8)
	 	Broker-Dealers:	 		 		 	
			
		 		 	The Commission requires that all Selling Securityholders that are registered broker-dealers or affiliates of registered broker-dealers be so identified in the
Shelf Registration Statement. In addition, the Commission requires that all Selling Securityholders that are registered broker-dealers be named as underwriters in the Shelf Registration Statement and related Prospectus, even if they did not receive
the Registrable Securities as compensation for underwriting activities.

  
 A-7

													
			
		 	 (a)
	 	State whether the undersigned Selling Securityholder is a registered broker-dealer:
							
		 		 	Yes	 	  
	 	No	 	  
	 	
			
		 	 (b)
	 	If the answer to (a) is “Yes”, you must answer (i) and (ii) below, and (iii) below if applicable. Your answers to (i) and
(ii) below, and (iii) below if applicable, will be included in the Shelf Registration Statement and related Prospectus.
				
		 		 	(i)	 	Were the Securities acquired as compensation for underwriting activities?
							
		 		 	Yes	 	  
	 	No	 	  
	 	
			
		 		 	If you answered “Yes”, please provide a brief description of the transaction(s) in which the Securities were acquired as
compensation:
			
		 		 	  

			
		 		 	  

			
		 		 	  

				
		 		 	(ii)	 	Were the Securities acquired for investment purposes?
							
		 		 	Yes	 	  
	 	No	 	  
	 	
				
		 		 	(iii)	 	If you answered “No” to both (i) and (ii), please explain the Selling Securityholder’s reason for acquiring the Securities:
			
		 		 	  

			
		 		 	  

			
		 		 	  

			
		 	 (c)
	 	State whether the undersigned Selling Securityholder is an affiliate of a registered broker-dealer and, if so, list the name(s) of the broker-dealer
affiliate(s):
							
		 		 	Yes	 	  
	 	No	 	  
	 	
			
		 		 	  

			
		 		 	  

			
		 		 	  

  
 A-8

															
		 	 (d)
	  	If you answered “Yes” to question (c) above:	  	
				
		 		  	(i)	 	Did the undersigned Selling Securityholder purchase Registrable Securities in the ordinary course of business?
								
		 		  	Yes	 	  
	 		 	No	  	  
	  	
			
		 		  	If the answer is “No” to question (d)(i), provide a brief explanation of the circumstances in which the Selling Securityholder acquired the Registrable
Securities:
			
		 		  	  

			
		 		  	  

			
		 		  	  

				
		 		  	(ii)	 	At the time of the purchase of the Registrable Securities, did the undersigned Selling Securityholder have any agreements, understandings or arrangements, directly or
indirectly, with any person to dispose of or distribute the Registrable Securities?
								
		 		  	Yes	 	  
	 		 	No	  	  
	  	
			
		 		  	If the answer is “Yes” to question (d)(ii), provide a brief explanation of such agreements, understandings or arrangements:
			
		 		  	  

			
		 		  	  

			
		 		  	  

			
		 		  	If the answer is “No” to Item (8)(d)(i) or “Yes” to Item (8)(d)(ii), you will be named as an underwriter in the Shelf Registration Statement
and the related Prospectus.
			
	(9)	 	Hedging and short sales:	  	
			
		 	(a)	  	State whether the undersigned Selling Securityholder has or will enter into “hedging transactions” with respect to the Registrable
Securities:
								
		 		  	Yes	 	  
	 		 	No	  	  
	  	
			
		 		  	If “Yes”, provide below a complete description of the hedging transactions into which the undersigned Selling Securityholder has entered or will enter and
the purpose of such hedging transactions, including the extent to which such hedging transactions remain in place:
			
		 		  	  

			
		 		  	  

			
		 		  	  

  
 A-9

													
		 	(b)	  	Set forth below is Interpretation A.65 of the Commission’s July 1997 Manual of Publicly Available Interpretations regarding short selling:
			
		 		  	“An issuer filed a Form S-3 registration statement for a secondary offering of common stock which is not yet effective. One of the selling shareholders wanted to
do a short sale of common stock “against the box” and cover the short sale with registered shares after the effective date. The issuer was advised that the short sale could not be made before the registration statement becomes effective,
because the shares underlying the short sale are deemed to be sold at the time such sale is made. There would, therefore, be a violation of Section 5 if the shares were effectively sold prior to the effective date.”
			
		 		  	By returning this Notice and Questionnaire, the undersigned Selling Securityholder will be deemed to be aware of the foregoing interpretation.

*        *        *      
  *        * 
 By signing below, the Selling Securityholder acknowledges that it understands
its obligation to comply, and agrees that it will comply, with the provisions of the Securities Exchange Act of 1934, particularly Regulation M (or any successor rule or regulation). 
 The Selling Securityholder hereby acknowledges its obligations under the Exchange and Registration Rights Agreement to indemnify and hold harmless the Company and the Guarantor and certain other persons
as set forth in the Exchange and Registration Rights Agreement. 
 In the event that the Selling Securityholder transfers all or any portion of
the Registrable Securities listed in Item (3) above after the date on which such information is provided to the Company, the Selling Securityholder agrees to notify the transferee(s) at the time of the transfer of its rights and obligations
under this Notice and Questionnaire and the Exchange and Registration Rights Agreement. 
 By signing below, the Selling Securityholder consents
to the disclosure of the information contained herein in its answers to Items (1) through (9) above and the inclusion of such information in the Shelf Registration Statement and related Prospectus. The Selling Securityholder understands
that such information will be relied upon by the Company and the Guarantor in connection with the preparation of the Shelf Registration Statement and related Prospectus. 
 In accordance with the Selling Securityholder’s obligation under Section 3(d) of the Exchange and Registration Rights Agreement to provide such information as may be required by law for
inclusion in the Shelf Registration Statement, the Selling Securityholder agrees to promptly notify the Company of any inaccuracies or changes in the information provided herein which may occur subsequent to the date hereof at any

  
 A-10

 
time while the Shelf Registration Statement remains in effect and to provide such additional information that the Company may reasonably request regarding such Selling Securityholder and the
intended method of distribution of Registrable Securities in order to comply with the Securities Act. Except as otherwise provided in the Exchange and Registration Rights Agreement, all notices hereunder and pursuant to the Exchange and Registration
Rights Agreement shall be made in writing, by hand-delivery, first-class mail, or air courier guaranteeing overnight delivery as follows: 
  

							
	(i)	 	To the Company:	  	  
	  	
		 		  	  
	  	
		 		  	  
	  	
		 		  	  
	  	
		 		  	  
	  	
				
	(ii)	 	With a copy to:	  	  
	  	
		 		  	  
	  	
		 		  	  
	  	
		 		  	  
	  	
		 		  	  
	  	

 Once this Notice and Questionnaire is executed by the Selling Securityholder and received by the Company’s counsel,
the terms of this Notice and Questionnaire, and the representations and warranties contained herein, shall be binding on, shall inure to the benefit of and shall be enforceable by the respective successors, heirs, personal representatives, and
assigns of the Company, the Guarantor and the Selling Securityholder (with respect to the Registrable Securities beneficially owned by such Selling Securityholder and listed in Item (3) above. This Notice and Questionnaire shall be governed in
all respects by the laws of the State of New York. 

  
 A-11

 IN WITNESS WHEREOF, the undersigned, by authority duly given, has caused this Notice and Questionnaire to be
executed and delivered either in person or by its duly authorized agent. 
 Dated:
                     
  

					
		 	  

		 	Selling Securityholder
		 	(Print/type full legal name of beneficial owner of Registrable Securities)
			
		 	By:	 	  

		 	Name:	 	
		 	Title:	 	

 PLEASE RETURN THE COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE FOR RECEIPT ON OR BEFORE [DEADLINE FOR RESPONSE]
TO THE COMPANY’S COUNSEL AT: 
  

									
	  
	 		 		 	
				
	  
	 		 		 	
				
	  
	 		 		 	
				
	  
	 		 		 	
				
	  
	 		 		 	

  
 A-12

 Exhibit B 
 NOTICE OF TRANSFER PURSUANT TO REGISTRATION STATEMENT 
 Wells Fargo Bank, National Association

 Pentair Finance S.A. 

c/o Wells Fargo Bank, National Association 
 [Address of Trustee] 
 Attention: Trust Officer 

 

			
	Re:	  	Pentair Finance S.A. (the “Company”)
		  	1.350% Senior Notes due 2015
		  	2.650% Senior Notes due 2019

 Dear Sirs: 

Please be advised that
                             has transferred $
             aggregate principal amount of the above-referenced Securities pursuant to an effective Registration Statement on Form [        ]
(File No. 333        ) filed by the Company. 
 We hereby certify that the prospectus delivery
requirements, if any, of the Securities Act of 1933, as amended, have been satisfied and that the above-named beneficial owner of the Securities is named as a “Selling Holder” in the Prospectus dated [date] or in supplements
thereto, and that the aggregate principal amount of the Securities transferred are the Securities listed in such Prospectus opposite such owner’s name. 
 Dated: 
  

			
	Very truly yours,
		
		 	  

		 	(Name)
		
	By:	 	  

		 	(Authorized Signature)

  
 B-1EX-10.1

 Exhibit 10.1 
 EXECUTION VERSION 
 AMENDED AND RESTATED FUNDS AT LLOYD’S 

LETTER OF CREDIT AGREEMENT 
 AMONG 
 THE NAVIGATORS GROUP, INC., 

as Borrower, 

THE LENDERS NAMED HEREIN, 
 and 
 ING BANK N.V., LONDON BRANCH, 

as Administrative Agent and Letter of Credit Agent 
 DATED AS OF 
 November 21, 2012 

ING BANK, N.V., LONDON BRANCH, 
 as Lead Arranger 

 TABLE OF CONTENTS 

 

					
	 	  	Page	 
	 ARTICLE I DEFINITIONS
	  	 	1	  
		
	 ARTICLE II THE LETTER OF CREDIT FACILITY
	  	 	19	  
		
	 2.1 Issuance of Letters of Credit
	  	 	19	  
		
	 2.2 Conversion Principles
	  	 	21	  
		
	 2.3 Reductions in Aggregate Commitment
	  	 	21	  
		
	 2.4 Reimbursement Obligations
	  	 	21	  
		
	 2.5 Procedure for Issuance
	  	 	23	  
		
	 2.6 Nature of the Agent and Lenders’ Obligations
	  	 	24	  
		
	 2.7 Notification of Issuance Requests
	  	 	25	  
		
	 2.8 Fees
	  	 	25	  
		
	 2.9 Collateralization Events
	  	 	26	  
		
	 2.10 Collateral Account
	  	 	28	  
		
	 ARTICLE III YIELD PROTECTION; TAXES
	  	 	29	  
		
	 3.1 Yield Protection
	  	 	29	  
		
	 3.2 Changes in Capital Adequacy Regulations
	  	 	29	  
		
	 3.3 Taxes
	  	 	30	  
		
	 3.4 Lender Statements; Survival of Indemnity
	  	 	33	  
		
	 ARTICLE IV CONDITIONS PRECEDENT
	  	 	33	  
		
	 4.1 The Lenders Obligation to Issue
	  	 	33	  
		
	 4.2 Each Letter of Credit
	  	 	35	  
		
	 ARTICLE V REPRESENTATIONS AND WARRANTIES
	  	 	36	  
		
	 5.1 Existence and Standing
	  	 	36	  
		
	 5.2 Authorization and Validity
	  	 	36	  
		
	 5.3 No Conflict; Government Consent
	  	 	36	  
		
	 5.4 Financial Statements
	  	 	37	  
		
	 5.5 Statutory Financial Statements
	  	 	37	  
		
	 5.6 Material Adverse Change
	  	 	37	  
		
	 5.7 Taxes
	  	 	37	  
		
	 5.8 Litigation and Contingent Obligations
	  	 	38	  
		
	 5.9 Subsidiaries
	  	 	38	  

  
 - i -

 TABLE OF CONTENTS 

(continued) 
  

					
	 	  	Page	 
	 5.10 ERISA
	  	 	38	  
		
	 5.11 Defaults
	  	 	38	  
		
	 5.12 Accuracy of Information
	  	 	38	  
		
	 5.13 Regulation U
	  	 	38	  
		
	 5.14 Material Agreements
	  	 	39	  
		
	 5.15 Compliance With Laws
	  	 	39	  
		
	 5.16 Ownership of Properties
	  	 	39	  
		
	 5.17 Plan Assets; Prohibited Transactions
	  	 	39	  
		
	 5.18 Environmental Matters
	  	 	39	  
		
	 5.19 Investment Company Act
	  	 	39	  
		
	 5.20 Solvency
	  	 	40	  
		
	 5.21 Insurance Licenses
	  	 	40	  
		
	 5.22 Partnerships
	  	 	40	  
		
	 5.23 Lines of Business
	  	 	40	  
		
	 5.24 Reinsurance Practices
	  	 	40	  
		
	 5.25 Security
	  	 	40	  
		
	 5.26 Disclosure
	  	 	41	  
		
	 ARTICLE VI COVENANTS
	  	 	41	  
		
	 6.1 Financial Reporting
	  	 	41	  
		
	 6.2 Purpose
	  	 	45	  
		
	 6.3 Notice of Default
	  	 	45	  
		
	 6.4 Conduct of Business
	  	 	46	  
		
	 6.5 Taxes
	  	 	46	  
		
	 6.6 Insurance
	  	 	46	  
		
	 6.7 Compliance with Laws
	  	 	46	  
		
	 6.8 Maintenance of Properties
	  	 	46	  
		
	 6.9 Inspection; Maintenance of Books and Records
	  	 	46	  
		
	 6.10 Dividends and Stock Repurchases
	  	 	47	  
		
	 6.11 Indebtedness
	  	 	47	  
		
	 6.12 Merger
	  	 	47	  

  
 - ii -

 TABLE OF CONTENTS 

(continued) 
  

					
	 	  	Page	 
	 6.13 Sale of Assets
	  	 	48	  
		
	 6.14 Investments and Acquisitions
	  	 	48	  
		
	 6.15 Contingent Obligations
	  	 	49	  
		
	 6.16 Liens
	  	 	49	  
		
	 6.17 Affiliates
	  	 	50	  
		
	 6.18 Amendments to Agreements
	  	 	50	  
		
	 6.19 Change in Fiscal Year
	  	 	50	  
		
	 6.20 Inconsistent Agreements
	  	 	50	  
		
	 6.21 Reinsurance
	  	 	51	  
		
	 6.22 Stock of Subsidiaries
	  	 	51	  
		
	 6.23 Financial Covenants
	  	 	51	  
		
	 6.24 Additional Pledge
	  	 	52	  
		
	 6.25 Primary FAL
	  	 	52	  
		
	 ARTICLE VII DEFAULTS
	  	 	52	  
		
	 ARTICLE VIII ACCELERATION, WAIVERS, AMENDMENTS AND REMEDIES
	  	 	55	  
		
	 8.1 Acceleration
	  	 	55	  
		
	 8.2 Amendments
	  	 	55	  
		
	 8.3 Preservation of Rights
	  	 	56	  
		
	 8.4 Application of Funds
	  	 	57	  
		
	 ARTICLE IX GENERAL PROVISIONS
	  	 	57	  
		
	 9.1 Survival of Representations
	  	 	57	  
		
	 9.2 Governmental Regulation
	  	 	58	  
		
	 9.3 Headings
	  	 	58	  
		
	 9.4 Entire Agreement
	  	 	58	  
		
	 9.5 Numbers of Documents
	  	 	58	  
		
	 9.6 Several Obligations; Benefits of this Agreement
	  	 	58	  
		
	 9.7 Expenses; Indemnification
	  	 	58	  
		
	 9.8 Accounting
	  	 	59	  
		
	 9.9 Severability of Provisions
	  	 	59	  
		
	 9.10 Nonliability of Lenders
	  	 	59	  

  
 - iii -

 TABLE OF CONTENTS 

(continued) 
  

  

					
	 	  	Page	 
	 9.11 Confidentiality
	  	 	59	  
		
	 9.12 Nonreliance
	  	 	60	  
		
	 9.13 Disclosure
	  	 	60	  
		
	 9.14 USA Patriot Act Notification
	  	 	60	  
		
	 ARTICLE X THE AGENT
	  	 	60	  
		
	 10.1 Appointment; Nature of Relationship
	  	 	60	  
		
	 10.2 Powers
	  	 	61	  
		
	 10.3 General Immunity
	  	 	61	  
		
	 10.4 No Responsibility for Recitals, etc
	  	 	61	  
		
	 10.5 Action on Instructions of Lenders
	  	 	61	  
		
	 10.6 Employment of Administrative Agent and Counsel
	  	 	62	  
		
	 10.7 Reliance on Documents; Counsel
	  	 	62	  
		
	 10.8 Administrative Agent’s Reimbursement and Indemnification
	  	 	62	  
		
	 10.9 Notice of Default
	  	 	62	  
		
	 10.10 Rights as a Lender
	  	 	63	  
		
	 10.11 Lender Credit Decision
	  	 	63	  
		
	 10.12 Successor Administrative Agent
	  	 	63	  
		
	 10.13 Administrative Agents’ Fees
	  	 	64	  
		
	 10.14 Delegation to Affiliates
	  	 	64	  
		
	 10.15 Security Trustee
	  	 	64	  
		
	 ARTICLE XI SETOFF; RATABLE PAYMENTS
	  	 	64	  
		
	 11.1 Setoff
	  	 	64	  
		
	 11.2 Ratable Payments
	  	 	64	  
		
	 ARTICLE XII BENEFIT OF AGREEMENT; ASSIGNMENTS; PARTICIPATIONS
	  	 	65	  
		
	 12.1 Successors and Assigns
	  	 	65	  
		
	 12.2 Participations
	  	 	65	  
		
	 12.3 Assignments
	  	 	66	  
		
	 12.4 Dissemination of Information
	  	 	67	  
		
	 12.5 Tax Treatment
	  	 	67	  
		
	 ARTICLE XIII NOTICES
	  	 	67	  

  
 - iv -

 TABLE OF CONTENTS 

(continued) 
  

					
	 	  	Page	 
	 13.1 Notices
	  	 	67	  
		
	 13.2 Change of Address
	  	 	68	  
		
	 ARTICLE XIV COUNTERPARTS
	  	 	68	  
		
	 ARTICLE XV CHOICE OF LAW; CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL
	  	 	68	  
		
	 15.1 CHOICE OF LAW
	  	 	68	  
		
	 15.2 CONSENT TO JURISDICTION
	  	 	68	  
		
	 15.3 WAIVER OF JURY TRIAL
	  	 	69	  
		
	 15.4 REAFFIRMATION OF SECURITY DOCUMENTS
	  	 	69	  
		
	 SCHEDULES
	  			
		
	 Schedule 1 Commitments
	  			
	 Schedule 1.1 Eligible Collateral
	  			
	 Schedule 1.2 Existing Letters of Credit
	  			
	 Schedule 5.9 Subsidiaries
	  			
	 Schedule 5.22 Partnerships
	  			
	 Schedule 5.23 Existing Lines of Business
	  			
	 Schedule 6.16 Liens
	  			
	 Schedule 6.21 Reinsurance Guidelines
	  			
		
	 EXHIBITS
	  			
		
	 Exhibit A Compliance Certificate
	  			
	 Exhibit B Assignment Agreement
	  			
	 Exhibit C Letter of Credit Application
	  			
	 Exhibit D Borrowing Base Certificate
	  			
	 Exhibit E Security Agreement
	  			
	 Exhibit F Fixed Charge
	  			
	 Exhibit G Letter of Credit
	  			
	 Exhibit H Lloyd’s Comfort Letter
	  			
	 Exhibit I-1 Deposit Account Control Agreement
	  			
	 Exhibit I-2 Securities Account Control Agreement
	  			

  
 - v -

 AMENDED AND RESTATED FUNDS AT LLOYD’S 

LETTER OF CREDIT AGREEMENT 
 This Amended and Restated Funds at Lloyd’s Letter of Credit Agreement, dated as of November 21, 2012, is among THE NAVIGATORS GROUP, INC., a Delaware corporation, the Lenders and ING BANK, N.V.,
London Branch, individually and as Administrative Agent, Letter of Credit Agent and Lead Arranger. 
 R E C
I T A L S: 
 A. The Borrower, the Lenders, and ING Bank, N.V., London Branch, as
administrative agent, letter of credit agent and lead arranger, entered into that certain Funds at Lloyd’s Letter of Credit Agreement, dated as of March 28, 2011 (as amended, the “Existing Credit Agreement). 

B. The parties wish to amend and restate the Existing Credit Agreement in its entirety for the purpose of issuing Letters of Credit to
provide Funds at Lloyd’s to support underwriting capacity provided by the Corporate Members to the Supported Syndicate for the 2013 and 2014 underwriting years of account (and prior open years). 

C. The parties hereto intend that this Agreement and any Facility Documents executed in connection herewith not effect a novation of the
obligations of the Borrower under the Existing Credit Agreement but merely a restatement, and where applicable, an amendment to the terms governing said obligations. 
 D. The parties further agree that the letters of credit listed on Schedule 1.2 which are outstanding immediately prior to the Amendment Effective Date pursuant to the Existing Credit Agreement (the
“Existing Letters of Credit”) will continue to be outstanding Letters of Credit under this Agreement until such time as Letters of Credit are issued under this Agreement in substitution therefor. 

NOW, THEREFORE, in consideration of the mutual covenants and undertakings herein contained and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the Borrower, the Lenders and the Administrative Agent hereby agree as follows: 
 ARTICLE I 
 DEFINITIONS 

As used in this Agreement: 
 “Account Bank” means (i) with respect to funds in the United Kingdom, ING Bank, N.V., London Branch and (b) with respect to funds in the United States, any “bank” within the
meaning of Section 9-102(a)(8) of the UCC at which any deposit account constituting a Collateral Account is held, which shall be reasonably acceptable to the Administrative Agent. 

 “Acquisition” means any transaction, or any series of related transactions,
consummated on or after the date of this Agreement, by which the Borrower or any of its Subsidiaries (a) acquires any on-going business or all or substantially all of the assets of any firm, corporation or limited liability company, or division
thereof, whether through purchase of assets, merger, amalgamation or otherwise or (b) directly or indirectly acquires (in one transaction or as the most recent transaction in a series of transactions) at least a majority (in number of votes) of
the securities of a corporation which have ordinary voting power for the election of directors (other than securities having such power only by reason of the happening of a contingency) or a majority (by percentage or voting power) of the
outstanding ownership interests of a partnership or limited liability company. 
 “Adjusted Fair Market Value” means
with respect to any Cash Collateral Investment held in a Collateral Account an amount equal to the product of the Fair Market Value of such Cash Collateral Investment and the applicable percentage with respect to such Cash Collateral Investment as
set forth on Schedule 1.1. 
 “Adjusted Primary FAL” means, as of any date, (i) Primary FAL minus
(ii) the NFS Deficiency as of the most recent date such amount has been reported by Lloyd’s. 
 “Administrative
Agent” means ING Bank, N.V. London Branch, in its capacity as Administrative Agent pursuant to Article X and not in its individual capacity as a Lender or as Letter of Credit Agent and any successor Administrative Agent appointed
pursuant to Article X. 
 “Affiliate” of any Person means any other Person directly or indirectly controlling,
controlled by or under common control with such Person. A Person shall be deemed to control another Person if the controlling Person owns 10% or more of any class of voting securities (or other ownership interests) of the controlled Person or
possesses, directly or indirectly, the power to direct or cause the direction of the management or policies of the controlled Person, whether through ownership of stock, by contract or otherwise. 

“Aggregate Commitment” means the aggregate commitment of all of the Lenders, as reduced or increased from time to time pursuant
to the terms hereof. The Aggregate Commitment as of the date hereof is $165,000,000. 
 “Agreement” means this Amended
and Restated Funds at Lloyd’s Letter of Credit Agreement. 
 “Agreement Accounting Principles” means generally
accepted accounting principles as in effect from time to time, applied in a manner consistent with those used in preparing the financial statements referred to in Section 5.4; provided, however, that (a) for purposes
of all computations required to be made with respect to compliance by the Borrower with Section 6.23, such term shall mean generally accepted accounting principles as in effect on the Amendment Effective Date, applied in a manner
consistent with those used in preparing the financial statements referred to in Section 5.4 and (b) for purposes of the financial statements required under Sections 6.1(f) and (g), such term shall mean the generally
accepted accounting principles as in effect from time to time in the United Kingdom. 

  
 2 

 “A.M. Best Rating” means, as to any insurance company, its financial strength
rating assigned by The A.M. Best Company, Inc. 
 “Amendment Effective Date” means November 21, 2012. 

“Annual Statement” means the annual statutory financial statement of any Insurance Subsidiary required to be filed with the
insurance commissioner (or similar authority) of its jurisdiction of incorporation, which statement shall be in the form required by such Insurance Subsidiary’s jurisdiction of incorporation or, if no specific form is so required, in the form
of financial statements permitted by such insurance commissioner (or such similar authority) to be used for filing annual statutory financial statements and shall contain the type of information permitted by such insurance commissioner (or such
similar authority) to be disclosed therein, together with all exhibits or schedules filed therewith. 
 “Applicable Letter
of Credit Fee Rate” means, at any time, the per annum rate at which Letter of Credit Fees are accruing on the Letters of Credit at such time as set forth below: 
  

													
	 Applicable Letter of Credit Fee Rate
	  	A+ Financial
Strength Rating of
Navigators	 	 	A Financial Strength
Rating of Navigators	 	 	A- or below
Financial 
Strength
Rating of Navigators
or no Financial
Strength Rating	 
	 Adjusted Primary FAL < 75% of the aggregate stated amount of outstanding Letters of Credit
	  	 	1.15	% 	 	 	1.35	% 	 	 	1.60	% 
	 Adjusted Primary FAL 3 75% but < 100% of the aggregate stated amount of
outstanding Letters of Credit
	  	 	1.05	% 	 	 	1.25	% 	 	 	1.50	% 
	 Adjusted Primary FAL 3 100% of the aggregate stated amount of
outstanding Letters of Credit
	  	 	0.95	% 	 	 	1.15	% 	 	 	1.40	% 

  
 3 

 The Adjusted Primary FAL on any date shall be based on the most recently delivered Compliance Certificate
delivered pursuant to Section 6.1(i); provided, however that if a Compliance Certificate has not been delivered when required pursuant to Section 6.1(i), the Adjusted Primary FAL shall be deemed to be less than 75% until such
Compliance Certificate has been delivered. The Financial Strength Rating on any day shall be based on Navigator’s then-current A.M. Best Rating and S&P Rating; provided that if the A.M. Best Rating and the S&P Rating are not the same,
the better Rating shall apply except that if the Ratings differ by more than one level than the level above the lower Rating shall apply. The Rating in effect on any date for the purposes of this Schedule is that in effect at the close of business
on such date. If at any time Navigators has only an A.M. Best Rating or a S&P Rating, the Letter of Credit Fee Rate shall be determined based on the current A.M. Best Rating or S&P Rating, as the case may be. The Applicable Letter of Credit
Fee Rate as of the Amendment Effective Date is 1.35%. 
 Notwithstanding the foregoing, (i) in the event the Borrower has posted Collateral
(other than Collateral which has been posted pursuant to Section 2.9), the Applicable Letter of Credit Fee Rate shall be (x) with respect to an amount of the outstanding Letters of Credit supported by Eligible Collateral, 0.50%, and
(y) with respect to the remaining amount of outstanding Letters of Credit, the rate then in effect pursuant to the table above, (ii) in the event the Borrower has posted Collateral pursuant to Sections 2.9(c), (d),
(e) or (f), the Applicable Letter of Credit Fee Rate shall be (x) with respect to an amount of the outstanding Letters of Credit supported by Eligible Collateral, 0.70%, and (y) with respect to the remaining amount of
outstanding Letters of Credit, the rate then in effect pursuant to the table above, and (iii) in the event that an Event of Default has occurred and is continuing, the Applicable Letter of Credit Fee shall be the Default Rate. 

“Applicable Percentage” means with respect to any Lender at any time, the percentage (carried out to the ninth decimal
place) of the Aggregate Commitments represented by such Lender’s Commitment at such time. If the Commitment of each Lender to issue Letters of Credit have been terminated pursuant to Section 8.1 or if the Aggregate Commitments have
expired, then the Applicable Percentage of each Lender shall be determined based on the percentage such Lender’s Letter of Credit Obligations are of all Letter of Credit Obligations. The initial Applicable Percentage of each Lender is set forth
opposite the name of such Lender on Schedule 1 or in the Notice of Assignment pursuant to which such Lender becomes a party hereto, as applicable. The Applicable Percentage “of” a particular amount may also refer to the value
obtained by multiplying the Applicable Percentage times such amount. 
 “Applicable Unused Fee Rate” means
0.375%. 
 “Approved Reinsurer” means a reinsurer which satisfies the criteria set forth in the Reinsurance Guidelines
for entering into reinsurance or retrocession agreements with the Borrower and its Insurance Subsidiaries 

“Arranger” means ING Bank N.V., London Branch and its successors. 

“Article” means an article of this Agreement unless another document is specifically referenced. 

“Authorized Officer” means any of the president, chief financial officer or treasurer of the Borrower, acting singly.

  
 4 

 “Bankruptcy Code” means Title 11, United States Code, sections 1 et
seq., as the same may be amended from time to time and any successor thereto or replacement therefor which may be hereafter enacted. 
 “ Basel III” means (a) the agreements on capital requirements, a leverage ratio and liquidity standards contained in “Basel III: A global regulatory framework for more resilient banks
and banking systems”, “Basel III: International framework for liquidity risk measurement, standards and monitoring” and “Guidance for national authorities operating the countercyclical capital buffer” published by the Basel
Committee on Banking Supervision in December 2010, each as amended, supplemented or restated; (b) the rules for global systemically important banks contained in “Global systemically important banks: assessment methodology and the
additional loss absorbency requirement – Rules text” published by the Basel Committee on Banking Supervision in November 2011, as amended, supplemented or restated; and (c) any further guidance or standards published by the Basel
Committee on Banking Supervision relating to “Basel III”. 
 “Borrower” means The Navigators Group, Inc., a
Delaware corporation and its successors and assigns. 
 “Borrowing Base” means on any date of determination, an amount
equal to the sum of the Adjusted Fair Market Value of all Eligible Collateral. 
 “Borrowing Base Certificate” means a
certificate substantially in the form of Exhibit D with such changes therein as the Administrative Agent may reasonably request from time to time. 
 “Business Day” means a day (other than a Saturday or Sunday) on which banks generally are open in New York and London for the conduct of substantially all of their commercial lending activities.

 “Capitalized Lease” of a Person means any lease of Property by such Person as lessee which would be capitalized on
a balance sheet of such Person prepared in accordance with Agreement Accounting Principles. 
 “Capitalized Lease
Obligations” of a Person means the amount of the obligations of such Person under Capitalized Leases which would be shown as a liability on a balance sheet of such Person prepared in accordance with Agreement Accounting Principles. 

“Cash Equivalent Investments” means (a) short-term obligations of, or fully guaranteed by, the United States of America,
(b) commercial paper rated A-1 or better by S&P or P1 or better by Moody’s, (c) demand deposit accounts maintained in the ordinary course of business and (d) certificates of deposit issued by and time deposits with commercial
banks (whether domestic or foreign) having capital and surplus in excess of $500,000,000. 
 “Change” is defined in
Section 3.2. 

  
 5 

 “Change in Control” means (a) the acquisition by any Person, or two or more
Persons acting in concert of beneficial ownership (within the meaning of Rule 13d-3 of the Securities and Exchange Commission under the Securities Exchange Act of 1934) of (i) 20% or more of the outstanding shares of voting stock of the
Borrower or (ii) if less, a percentage of such stock, greater than the percentage owned by members of the Terence Deeks Family, or (b) the members of the Terence Deeks Family shall cease to own, in the aggregate, free and clear of all
Liens and other encumbrances, at least 10% of the outstanding shares of voting stock of the Borrower on a fully diluted basis. 

“Closing Date” means March 28, 2011. 
 “Code” means the Internal Revenue Code of 1986, as amended or otherwise modified from time to time, and the Treasury Regulations promulgated thereunder. 

“Collateral” means any property or asset in which the Borrower has granted a security interest to the Administrative Agent or
the Security Trustee for the benefit of the Secured Parties. 
 “Collateral Account” means each of (a) the UK
Collateral Account, (b) account number 6255582 titled “ Navigators Group – Securities” and account number 6255590 titled “ Navigators Group – Cash”, in each case held at Brown Brothers &
Harriman & Co. and (c) any other “demand deposit account” or “securities account” (as such terms are defined in the UCC) maintained by the Administrative Agent or any Financial Intermediary which is subject to a
Control Agreement into which Eligible Collateral is deposited from time to time pursuant to the terms of this Agreement. Each Collateral Account and the related Eligible Collateral shall be subject to documentation satisfactory to the Administrative
Agent and the taking of all steps required to give the Administrative Agent a perfected security interest in such Collateral Account and the Eligible Collateral therein. Once opened a Collateral Account can only be closed with the consent of the
Administrative Agent. 
 “Collateralization Event” means the occurrence of any of (a) an Event of Default or
(b) any of the events set forth in Sections 2.9(c) through (f). 
 “Collateral Excess” is defined
in Section 2.10. 
 “Collateral Shortfall” is defined in Section 2.10. 

“Collateral Value” means, on any date, an amount equal to the sum of the Adjusted Fair Market Value of all Eligible Collateral
in all Collateral Accounts. 
 “Commitment” means, for each Lender, the amount set forth on Schedule 1 or
as set forth in any Notice of Assignment relating to any assignment that has become effective pursuant to Section 12.3(b), as such amount may be modified from time to time pursuant to the terms hereof. 

“Compliance Certificate” means a certificate substantially in the form of Exhibit A with such changes therein as may be
satisfactory to the Administrative Agent. 
 “Condemnation” is defined in Section 7.8. 

  
 6 

 “Consolidated” or “consolidated”, when used in connection with any
calculation, means a calculation to be determined on a consolidated basis for the Borrower and its Consolidated Subsidiaries in accordance with Agreement Accounting Principles. 

“Consolidated Net Income” means, for any period, the net income (or loss) of the Borrower and its Consolidated Subsidiaries
calculated on a consolidated basis for such period, all as determined in accordance with Agreement Accounting Principles. 

“Consolidated Net Worth” means, for any period, the sum of the consolidated stockholders’ equity of the Borrower and its
Consolidated Subsidiaries calculated on a consolidated basis for such period, all as determined in accordance with Agreement Accounting Principles (excluding the effect of any unrealized gain or loss reported under Statement of Financial Accounting
Standards No. 115). 
 “Consolidated Person” means, for the taxable year of reference, each Person which is a
member of the affiliated group of the Borrower if Consolidated returns are or shall be filed for such affiliated group for federal income tax purposes or any combined or unitary group of which the Borrower is a member for state income tax purposes.

 “Consolidated Subsidiaries” means all Subsidiaries of the Borrower which should be included in the Borrower’s
consolidated financial statements, all as determined in accordance with Agreement Accounting Principles. 
 “Consolidated
Tangible Net Worth means Consolidated Net Worth minus Consolidated Total Intangible Assets. 
 “Consolidated Total
Assets” means, at any time, the total assets of the Borrower and its Consolidated Subsidiaries calculated on a consolidated basis as of such time, all as determined in accordance with Agreement Accounting Principles. 

“Consolidated Total Intangible Assets” means, at any time, the total intangible assets of the Borrower and its Consolidated
Subsidiaries calculated on a consolidated basis as of such time including, but not limited to, goodwill, patents, trademarks, tradenames, copyrights and franchises and excluding deferred policy acquisition costs. 

“Contingent Obligation” of a Person means any agreement, undertaking or arrangement by which such Person assumes, guarantees,
endorses, contingently agrees to purchase or provide funds for the payment of, or otherwise becomes or is contingently liable upon, the obligation or liability of any other Person, or agrees to maintain the net worth or working capital or other
financial condition of any other Person, or otherwise assures any creditor of such other Person against loss, including, without limitation, any comfort letter, operating agreement, take-or-pay contract or the obligations of any such Person as
general partner of a partnership with respect to the liabilities of the partnership. The term “Contingent Obligation” shall not include (a) the obligations of any Insurance Subsidiary arising under any insurance policy or reinsurance
agreement entered into in the ordinary course of business or (b) operating leases. 

  
 7 

 “Control Agreement” means (a) the Deposit Account Control Agreement dated as
of March 28, 2011 among the Administrative Agent, the Borrower and Brown Brothers Harriman & Co. attached hereto as Exhibit H-1, (b) the Securities Account Control Agreement dated as of March 28, 2011 among the
Administrative Agent, the Borrower and Brown Brothers Harriman & Co. attached hereto as Exhibit H-2, and (c) any other agreement (in form and substance acceptable to the Administrative Agent) among the Borrower, the applicable
Financial Institution and the Administrative Agent with respect to any “deposit account” or “securities account” (as such terms are defined in the UCC) of the Borrower pursuant to which the Administrative Agent has
“control” (as such term is defined in the UCC). 
 “Controlled Group” means all members of a controlled
group of corporations or other business entities and all trades or businesses (whether or not incorporated) under common control which, together with the Borrower or any of its Subsidiaries, are treated as a single employer under Section 414 of
the Code. 
 “Conversion Differential” is defined in Section 2.9(b). 

“Conversion Rate” means the spot rate of exchange between Dollars and Pounds as determined by the Administrative Agent on the
Reuters WRLD Page as of the time of determination on such date. In the event that such rate does not appear on any Reuters WRLD Page, the exchange rate shall be determined by reference to such other publicly available service for displaying exchange
rates as may be agreed upon by the Administrative Agent and the Borrower, or, in the absence of such an agreement, such exchange rate shall instead be the arithmetic average of the spot rates of exchange of the Administrative Agent in London at or
about such time between Dollars and Pounds for delivery two Business Days later; provided that if at the time of any such determination, for any reason, no such spot rate is being quoted, the Administrative Agent may use any reasonable method
it deems appropriate to determine such rate and such determination shall be presumed correct absent manifest error 

“Corporate Members” means MUL and NCUL. 
 “Default” means an event described in Article VII. 

“Defaulting Lender” means any Lender that (i) has not funded such Lender’s Applicable Percentage of the amount of any
draw under a Letter of Credit within three (3) Business Days after the date due therefor in accordance with Section 2.4(b), (ii) has notified the Borrower or the Administrative Agent that it does not intend to comply with its
obligations under Section 2.4(b) or (iii) is the subject of a bankruptcy, insolvency or similar receivership proceeding. 
 “Default Rate” means as of any day (a) with respect to fees payable under Section 2.8, an amount equal to the Applicable Letter of Credit Rate or the Applicable Unused Fee Rate,
as the case may be, plus 2% and (b) with respect to Reimbursement Obligations and all other Obligations, an amount equal to the Eurodollar Rate plus 2%. 
 “Department” is defined in Section 5.5. 

“Dollars” and the sign “$” mean lawful money of the United States of America. 

“Drawing Request” is defined in Section 2.4(a). 

  
 8 

 “Eligible Collateral” means (a) obligations of, or fully guaranteed by, the
United States of America and UK Gilts, (b) commercial paper rated A-1 or better by S&P or P1 or better by Moody’s, (c) cash and (d) certificates of deposit issued by and time deposits with commercial banks organized in a
country which is a member of the Organization of Economic Co-operation and Development which (i) are rated of AA- or better from S&P or Aa3 or better from Moody’s and (ii) have a maturity of not more than two years; provided that
all Eligible Collateral must be denominated in Dollars or Pounds. 
 “Environmental Laws” means any and all federal,
state, local and foreign statutes, laws, judicial decisions, regulations, ordinances, rules, judgments, orders, decrees, plans, injunctions, permits, concessions, grants, franchises, licenses, agreements and other governmental restrictions relating
to (a) the protection of the environment, (b) the effect of the environment on human health, (c) emissions, discharges or releases of pollutants, contaminants, hazardous substances or wastes into surface water, ground water or land or
(d) the manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of pollutants, contaminants, hazardous substances or wastes or the clean-up or other remediation thereof. 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to time and any rule or regulation
issued thereunder. 
 “Eurodollar Rate” means the applicable British Bankers’ Association LIBOR rate for deposits
in U.S. dollars having a maturity of a one month period, as reported by any generally recognized financial information service as of 11:00 A.M. (London time) two Business Days prior to the first day of such applicable period; provided that if
no such British Bankers’ Association LIBOR rate is available to the Administrative Agent, the Eurodollar Rate shall instead be the rate determined by the Administrative Agent to be the rate at which ING Bank N.V., London Branch or one of its
Affiliate banks offers to place deposits in U.S. dollars with first class banks in the London interbank market, in the approximate amount of the related Letter of Credit and having a maturity of one month. 

“Excluded Taxes” means, in the case of each Lender or applicable Lending Installation, the Administrative Agent or any other
recipient of any payment to be made by or on account of any obligation of the Borrower hereunder, (a) income, franchise or similar taxes imposed on (or measured by) its overall net income by (i) the United States of America, or
(ii) the jurisdiction (or any political subdivision thereof) under the laws of which such Lender or the Administrative Agent or other recipient is incorporated or organized, or (iii) the jurisdiction (or any political subdivision thereof)
in which the Administrative Agent’s or such Lender’s or such other recipient’s principal executive office or, in the case of any Lender, in which such Lender’s applicable Lending Installation, is located, or, in the case of a
jurisdiction (or any political subdivision thereof) that imposes taxes on the basis of management or control or other concept or principle of residence, the jurisdiction (or any political subdivision thereof) in which such Lender or the
Administrative Agent or other recipient is so resident, (b) taxes imposed by reason of any present or former connection between such recipient and the jurisdiction (or any political subdivision thereof) imposing such taxes, other than solely as
a result of the execution and delivery of this Agreement or the performance of any action provided for hereunder, (c) any branch profits taxes imposed by the United States of America, (d) any backup withholding tax imposed by the United
States of America or any similar taxes imposed by any other jurisdiction (other than backup withholding tax imposed on the Administrative Agent in such capacity), (e) in the case of a Non-U.S. Lender, any U.S. Federal withholding taxes
(i) resulting from any law in effect on the date such Non-U.S. Lender becomes a party to this Agreement (or designates a new Lending Installation), except to the extent that such Non-U.S. Lender was entitled, at the time of designation of a new
Lending Installation, to receive additional amounts from the Borrower with respect to such withholding tax pursuant to Section 3.3(a), or (ii) attributable to such Non-U.S. Lender’s failure to comply with
Section 3.3(d) (including as a result of any inaccurate or incomplete documentation), and (f) any taxes imposed on any “withholdable payment” payable to a Non-U.S. Lender as a result of its failure to comply with the
applicable requirements of FATCA. 

  
 9 

 “Exhibit” refers to an exhibit to this Agreement, unless another document is
specifically referenced. 
 “Existing Credit Agreement” has the meaning assigned thereto in the recitals. 

“Existing Letters of Credit” has the meaning assigned thereto in the recitals. 

“Existing Lines of Business” is defined in Section 5.23. 

“Expiry Notice” means written notice from the Letter of Credit Agent to the beneficiary of any Letter of Credit stating that
such Letter of Credit shall expire four (4) years from the date of such notice. 
 “Facility Documents” means
this Agreement, the Security Documents, the Control Agreements, the Letter of Credit Applications and the other documents and agreements contemplated hereby and executed by the Borrower in favor of the Administrative Agent or any Lender as each such
Facility Document may be amended, modified or restated and in effect from time to time. 
 “Fair Market Value”
means (a) with respect to any Eligible Collateral described in clauses (a) or (b) of the definition thereof, the closing price for such security on Bloomberg, Inc. or, if Bloomberg, Inc. is not available, another
quotation service reasonably acceptable to the Administrative Agent, and (b) with respect to any Eligible Collateral described in clauses (c) or (d) of the definition thereof, the amounts thereof. Fair Market Value of
non-Dollar denominated Eligible Collateral shall be determined in accordance with Section 2.2(d).  

“FATCA” means: 
 (a) Sections 1471 to 1474 of the Code (or any amended or successor version that is substantively comparable and not materially more onerous to comply with) and any associated regulations or other official
guidance or interpretations thereof; 
 (b) any treaty, law, regulation or other official guidance enacted in any other
jurisdiction, or relating to an intergovernmental agreement between the US and any other jurisdiction, which (in either case) facilitates the implementation of paragraph (a) above; or 

  
 10 

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

“FATCA Deduction” means a deduction or withholding from a payment under a Facility Document required by FATCA. 

“FATCA Exempt Party” means a Party that is entitled to receive payments free from any FATCA Deduction. 

“Fee Letter” is defined in Section 9.4. 
 “Financial Institution” means the Securities Intermediary or Account Bank, as applicable, with respect to any Collateral Account. 

“Fiscal Quarter” means one of the four three-month accounting periods comprising a Fiscal Year. 

“Fiscal Year” means the twelve-month accounting period commencing on January 1 and ending December 31 of each year.

 “Fixed Charge” means (a) the Deed of Charge dated March 28, 2011 among the Borrower, the Administrative
Agent, the Security Trustee and the other parties thereto attached hereto as Exhibit F and (b) any other debenture, deed or charge or other document which the Administrative Agent and the Borrower may enter into with respect to
Collateral located in the United Kingdom. 
 “Governmental Authority” means any government (foreign or domestic) or
any state or other political subdivision thereof or any governmental body, agency, authority, department or commission (including without limitation any taxing authority or political subdivision) or any instrumentality or officer thereof (including
without limitation any court or tribunal and any board of insurance, insurance department or insurance commissioner) exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any
corporation, partnership or other entity directly or indirectly owned or controlled by or subject to the control of any of the foregoing. 
 “Honor Date” is defined in Section 2.4(a). 

“Indebtedness” of a Person means such Person’s (a) obligations for borrowed money, (b) obligations representing
the deferred purchase price of Property or services (other than accounts payable arising in the ordinary course of such Person’s business payable on terms customary in the trade), (c) obligations, whether or not assumed, secured by Liens
or payable out of the proceeds or production from Property now or hereafter owned or acquired by such Person, (d) obligations which are evidenced by notes, acceptances, or other instruments, (e) obligations of such Person to purchase
securities or other Property arising out of or in connection with the sale of the same or substantially similar securities or Property, (f) Capitalized Lease Obligations, (g) Contingent Obligations, (h) actual and contingent
reimbursement obligations in respect of letters of credit, (i) any other obligation for borrowed money or other financial accommodation which in accordance with Agreement Accounting Principles would be shown as a liability on the consolidated
balance sheet of such Person, (j) any liability under any financing lease or so-called “synthetic lease” transaction entered into by such Person and (k) any obligation arising with respect to any other transaction which is the
functional equivalent of or takes the place of borrowing but which does not constitute a liability on the consolidated balance sheet of such Person. 

  
 11 

 “Insurance Subsidiary” means each of Navigators, NSIC and any other United States
domestic Subsidiary acquired or formed after the Amendment Effective Date which is an insurer or is authorized to act as an insurer. For the avoidance of doubt, Navigators Management Company, Inc. is not a Insurance Subsidiary. 

“Investment” of a Person means (a) any loan, advance (other than commission, travel and similar advances to officers and
employees made in the ordinary course of business), extension of credit (other than accounts receivable arising in the ordinary course of business on terms customary in the trade) or contribution of capital by such Person, (b) stocks, bonds,
mutual funds, partnership interests, membership interests, notes, debentures or other securities owned by such Person, (c) any deposit accounts and certificate of deposit owned by such Person and (d) structured notes, derivative financial
instruments and other similar instruments or contracts owned by such Person. 
 “Issuance Request” is defined in
Section 2.5. 
 “Issue Date” means a date on which a Letter of Credit is issued hereunder. 

“Lender Affiliates” means, with respect to any Lender or the Administrative Agent, such Person’s Lending Installation, its
Subsidiaries, its holding company and Subsidiaries of its holding company. 
 “Lenders” means the lending institutions
listed on the signature pages of this Agreement and their respective successors and assigns. 
 “Lending Installation”
means, with respect to a Lender or the Administrative Agent, the office, branch, subsidiary or affiliate of such Lender or the Administrative Agent listed on the signature pages hereof or on a Schedule or otherwise selected by such Lender or
the Administrative Agent. 
 “Letter of Credit” means (a) the Existing Letters of Credit and (b) any letter
of credit issued pursuant to Article II. Each Letter of Credit shall be substantially in the form of Exhibit G. 
 “Letter of Credit Agent” means ING Bank N.V. located at 60 London Wall, London EC2M 5TQ, as Letter of Credit Agent for the Lenders, together with any replacement Letter of Credit Agent arising
under Article X. 
 “Letter of Credit Advance Date” is defined in Section 2.4(a). 

  
 12 

 “Letter of Credit Application” means “a letter of credit application
substantially in the form of Exhibit C or such other form as the Letter of Credit Agent may from time to time employ in the ordinary course of business. 
 “Letter of Credit Availability Termination Date” means July 31, 2014 or any earlier date on which the Aggregate Commitment is reduced to zero or otherwise terminated pursuant to the terms
hereof. 
 “Letter of Credit Fee” means the letter of credit fees payable pursuant to Section 2.8(b).

 “Letter of Credit Obligations” means, at the time of determination thereof, the sum of (a) the Reimbursement
Obligations then outstanding and (b) the aggregate then undrawn face amount of the then outstanding Letters of Credit. 

“Leverage Ratio” means, at any time, the ratio of (a) the consolidated Indebtedness of the Borrower and its Consolidated
Subsidiaries (with respect to letters of credit obligations, only unreimbursed drawings shall be included) at such time to (b) the sum of (i) the consolidated Indebtedness of the Borrower and its Consolidated Subsidiaries (with respect to
letters of credit obligations, only unreimbursed drawings shall be included) plus (ii) Consolidated Net Worth at such time. 
 “License” means any license, certificate of authority, permit or other authorization which is required to be obtained from any Governmental Authority in connection with the operation, ownership
or transaction of insurance business. 
 “Lien” means any security interest, lien (statutory or other), mortgage,
pledge, hypothecation, assignment, deposit arrangement, encumbrance or preference, priority or other security agreement or preferential arrangement of any kind or nature whatsoever (including, without limitation, the interest of a vendor or lessor
under any conditional sale, Capitalized Lease or other title retention agreement). 
 “Lloyd’s” means The Society
and Council of Lloyd’s. 
 “Lloyd’s Approved Bank” means any bank approved by Lloyd’s to provide Funds
at Lloyd’s letters of credit. 
 “Lloyd’s Comfort Letter” means a document substantially in the form of
Exhibit H. 
 “Lloyd’s Substitution Letter” means that certain letter from Lloyd’s, dated on or about
the Amendment Effective Date, regarding the substitution of the Existing Letters of Credit with Letters of Credit to be issued under this Agreement. 
 “Loss Reserves” means, with respect to any Insurance Subsidiary at any time, the sum of (a) all losses, including incurred losses of such Insurance Subsidiary at such time shown on
page 3, line 1 of the Annual Statement of such Insurance Subsidiary plus (b) all loss adjustment expenses of such Insurance Subsidiary at such time shown on page 3, line 3 of the Annual Statement of such Insurance
Subsidiary, as determined in accordance with SAP. 

  
 13 

 “Managing Agent” means Navigators Underwriting Agency Limited, a company organized
under the laws of England and Wales. 
 “Margin Stock” has the meaning assigned to that term under Regulation U.

 “Material Adverse Effect” means a material adverse effect on (a) the business, Property, condition (financial
or otherwise) or results of operations of any of (i) the Borrower or (ii) the Subsidiaries taken as a whole, (b) the ability of the Borrower to perform its obligations under the Facility Documents, or (c) the validity or
enforceability of any of the Facility Documents or the rights or remedies of the Administrative Agent or the Lenders thereunder. The current examination by the Internal Revenue Service with respect to the Borrower’s Plans will not constitute a
Material Adverse Effect; provided, however, a Material Adverse Effect may result from any payments made or Plan changes required as a result of such audit. 
 “Moody’s” means Moody’s Investors Service, Inc. or any successor thereto. 
 “MUL” means Millennium Underwriting Limited, which entity is a corporate name with limited liability at Lloyd’s of London and a Wholly-Owned Subsidiary of the Borrower. 

“Multiemployer Plan” means a Plan of the type described in Section 4001(a)(3) of ERISA to which the Borrower or any member
of the Controlled Group is obligated to make contributions, or during the preceding five plan years, has made or been obligated to make contributions. 
 “NAIC” means the National Association of Insurance Commissioners or any successor thereto, or in lieu thereof, any other association, agency or other organization performing advisory,
coordination or other like functions among insurance departments, insurance commissioners and similar Governmental Authorities of the various states of the United States toward the promotion of uniformity in the practices of such Governmental
Authorities. 
 “Navigators” means Navigators Insurance Company, a New York corporation. 

“NCUL” means Navigators Corporate Underwriters Limited, which entity is a corporate name with limited liability at Lloyd’s
of London and a Wholly-Owned Subsidiary of the Borrower. 
 “NFS Deficiency” is defined in Section 2.9(e).

 “Non-U.S. Lender” is defined in Section 3.3(d). 

“Notice of Assignment” is defined in Section 12.3(b). 

“NSIC” means Navigators Specialty Insurance Company, a New York corporation. 

“Obligations” means the Letter of Credit Obligations and all other liabilities (if any), whether actual or contingent, of the
Borrower with respect to Letters of Credit, all accrued and unpaid fees and all expenses, reimbursements, indemnities and other obligations of the Borrower to the Lenders or to any Lender, the Administrative Agent, the Letter of Credit Agent or any
indemnified party hereunder arising under any of the Facility Documents. 

  
 14 

 “Other Taxes” is defined in Section 3.3(b). 

“Participants” is defined in Section 12.2(a). 

“Payment Date” means the first day of each April, July, October and January. 

“PBGC” means the Pension Benefit Guaranty Corporation or any successor thereto. 

“Person” means any natural person, corporation, firm, joint venture, partnership, association, enterprise, limited liability
company, trust or other entity or organization, or any government or political subdivision or any agency, department or instrumentality thereof. 
 “Plan” means an employee pension benefit plan (including a Multiemployer Plan) which is covered by Title IV of ERISA or subject to the minimum funding standards under Section 412 of the
Code as to which the Borrower or any member of the Controlled Group may have any liability. 
 “Pounds” and the sign
“£” mean lawful money of the United Kingdom. 
 “Primary FAL” means funds at Lloyd’s in the form
of (i) cash and/or investment assets held directly at Lloyd’s and/or (ii) collateralised letters of credit (other than Letters of Credit issued under this Agreement), which will be immediately available to cover losses in the
Supported Syndicate and which will be utilised ahead of the Letters of Credit issued hereunder in the event that the Lloyd’s is required to draw on the funds at Lloyd’s of the Supported Syndicate. 

“Property” of a Person means any and all property, whether real, personal, tangible, intangible, or mixed, of such Person, or
other assets owned, leased or operated by such Person. 
 “Purchasers” is defined in Section 12.3(a).

 “RDS” means realistic disaster scenarios as such term is used by Lloyd’s and in respect of which, pursuant to
Lloyd’s rules, the Managing Agent is obligated to prepare and submit to Lloyd’s a report. 
 “Regulation D”
means Regulation D of the Board of Governors of the Federal Reserve System as from time to time in effect and shall include any successor thereto or other regulation or official interpretation of said Board of Governors relating to reserve
requirements applicable to member banks of the Federal Reserve System. 
 “Regulation T” means Regulation T of the
Board of Governors of the Federal Reserve System as from time to time in effect and shall include any successor thereto or other regulation or official interpretation of such Board of Governors relating to the extension of credit by securities
brokers and dealers for the purpose of purchasing or carrying margin stocks applicable to such Persons. 

  
 15 

 “Regulation U” means Regulation U of the Board of Governors of the Federal Reserve
System as from time to time in effect and shall include any successor thereto or other regulation or official interpretation of said Board of Governors relating to the extension of credit by banks for the purpose of purchasing or carrying margin
stocks applicable to member banks of the Federal Reserve System. 
 “Regulation X” means Regulation X of the Board of
Governors of the Federal Reserve Systems from time to time in effect and shall include any successor thereto or other regulation or official interpretation of said Board of Governors relating to the extension of credit by the specified lenders for
the purpose of purchasing or carrying margin stocks applicable to such Persons. 
 “Reimbursement Obligations” means,
at any time, the aggregate (without duplication) of the Obligations of the Borrower to the Lenders and/or the Administrative Agent in respect of all unreimbursed payments or disbursements made by the Lenders and/or the Administrative Agent under or
in respect of draws made under the Letters of Credit. 
 “Reinsurance Guidelines” is defined in
Section 6.21(c). 
 “Release” is defined in the Comprehensive Environmental Response, Compensation and
Liability Act, as amended, 42 U.S.C. 39601 et seq. 
 “Reportable Event” means a reportable event as
defined in Section 4043 of ERISA and the regulations issued under such section, with respect to a Plan, excluding, however, such events as to which the PBGC has by regulation waived the requirement of Section 4043(a) of ERISA that it be
notified within 30 days of the occurrence of such event; provided, however, that a failure to meet the minimum funding standard of Section 412 of the Code and of Section 302 of ERISA shall be a Reportable Event regardless of
the issuance of any such waiver of the notice requirement in accordance with either Section 4043(a) of ERISA or Section 412(d) of the Code. 
 “Required Amount” means the aggregate amount required to be deposited and held in Collateral Accounts pursuant to Sections 2.9 and 8.1 hereof. 

“Required Lenders” means Lenders in the aggregate having at least 66 2/3% of the Aggregate Commitment or, if the Aggregate Commitment has been terminated, the aggregate amount of the outstanding Letter of Credit Obligations; provided, however, the Commitment or
outstanding Letter of Credit Obligations of any Defaulting Lender shall be deemed to be zero. 
 “S&P”
means Standard and Poor’s Ratings Services, a division of The McGraw Hill Companies, Inc. or any successor thereto. 

“S&P Rating” means, as to any insurance company, its financial strength rating assigned by S&P. 

“SAP” means, with respect to any Insurance Subsidiary, the statutory accounting practices prescribed or permitted by the
insurance commissioner (or other similar authority) in the jurisdiction of such Person for the preparation of annual statements and other financial reports by insurance companies of the same type as such Person in effect from time to time, applied
in a manner consistent with those used in preparing the Statutory Financial Statements referred to in Section 5.5. 

  
 16 

 “Schedule” refers to a specific schedule to this Agreement, unless another
document is specifically referenced. 
 “SEC Reports” means the reports filed by the Borrower with the Securities and
Exchange Commission on Form 8-K, Form 10-Q or Form 10-K. 
 “Section” means a numbered section of this Agreement,
unless another document is specifically referenced. 
 “Secured Parties” means the Administrative Agent, the Letter of
Credit Agent, the Security Trustee under each Fixed Charge and the Lenders. 
 “Security Agreement” means (a) the
security agreement dated as of March 28, 2011 between the Borrower and the Administrative Agent attached hereto as Exhibit E and (b) any other security agreement or other document which may be entered into by the Administrative
Agent and the Borrower with respect to the Collateral located in the United States. 
 “Security Documents” means each
Security Agreement, each Control Agreement and each Fixed Charge. 
 “Security Trustee” means ING Bank N.V., London
Branch, as security trustee for the Secured Parties and appointed under the Fixed Charges together with any successor appointed pursuant to the terms thereof. 
 “Securities Intermediary” means any “securities intermediary” within the meaning of Section 8.102(a)(14) of the UCC at which any securities account constituting a Collateral
Account is held, which shall be (a) located in the United States and (b) reasonably acceptable to the Administrative Agent. 
 “Significant Insurance Subsidiary” means a Significant Subsidiary which is a Insurance Subsidiary. For the avoidance of doubt, Navigators Management Company, Inc. shall not be a Significant
Insurance Subsidiary. 
 “Significant Subsidiary” means, at any time, a direct United States domestic Subsidiary of
the Borrower the assets of which are greater than or equal to five percent (5%) of the Consolidated Total Assets of the Borrower and its Consolidated Subsidiaries. 
 “Single Employer Plan” means a Plan maintained by the Borrower or any member of the Controlled Group for employees of the Borrower or any member of the Controlled Group. 

“Statutory Financial Statements” is defined in Section 5.5. 

“Statutory Surplus” means, with respect to any Insurance Subsidiary at any time, the statutory capital and surplus of such
Insurance Subsidiary at such time, as determined in accordance with SAP (“Liabilities, Surplus and Other Funds” statement, page 3, line 35 of the Annual Statement). 

  
 17 

 “Subsidiary” of a Person means (a) any corporation more than 50% of the
outstanding securities having ordinary voting power of which shall at the time be owned or controlled, directly or indirectly, by such Person or by one or more of its Subsidiaries or by such Person and one or more of its Subsidiaries or (b) any
partnership, association, joint venture, limited liability company or similar business organization more than 50% of the ownership interests having ordinary voting power of which shall at the time be so owned or controlled. Unless otherwise
expressly provided, all references herein to a “Subsidiary” shall mean a Subsidiary of the Borrower. 

“Substantial Portion” means, with respect to the Property of the Borrower and its Consolidated Subsidiaries, Property which
(a) represents more than 10% of the Consolidated Total Assets of the Borrower and its Consolidated Subsidiaries, as would be shown in the consolidated financial statements of the Borrower and its Consolidated Subsidiaries as at the end of the
quarter next preceding the date on which such determination is made or (b) is responsible for more than 10% of the consolidated premiums or of the Consolidated Net Income of the Borrower and its Consolidated Subsidiaries for the 12-month period
ending as of the end of the quarter next preceding the date of determination. 
 “Supported Syndicate” means
Lloyd’s Syndicate 1221 underwriting insurance business at Lloyd’s through the Managing Agent. 
 “Taxes”
means any and all present or future taxes, duties, levies, imposts, deductions, charges or withholdings and any and all liabilities with respect to the foregoing, but excluding Excluded Taxes. 

“Terence Deeks Family” means, collectively, Terence N. Deeks; his spouse; any natural person who is a lineal descendant of
Terence N. Deeks; the spouse, children, or grandchildren of any such natural person; any trust of which any of the foregoing is or are the sole beneficiary or beneficiaries; or the estate, executor, administrator, or legal guardian of any of the
foregoing. 
 “Termination Event” means, with respect to a Plan which is subject to Title IV of ERISA, (a) a
Reportable Event, (b) the withdrawal of the Borrower or any other member of the Controlled Group from such Plan during a plan year in which the Borrower or any other member of the Controlled Group was a “substantial employer” as
defined in Section 4001(a)(2) of ERISA or was deemed such under Section 4068(f) of ERISA, (c) the termination of such Plan, the filing of a notice of intent to terminate such Plan or the treatment of an amendment of such Plan as a
termination under Section 4041 of ERISA, (d) the institution by the PBGC of proceedings to terminate such Plan or (e) any event or condition which might constitute grounds under Section 4042 of ERISA for the termination of, or
appointment of a trustee to administer, such Plan. 
 “Transferee” is defined in Section 12.4. 

“UCC” means the Uniform Commercial Code as in effect in the State of New York or the State of Delaware, as applicable, from
time to time. 

  
 18 

 “UK Collateral Account” means account no. 262537 and each other account held at
ING Bank N.V., London Branch, and subject to a Fixed Charge. 
 “Unfunded Liabilities” means the amount (if any) by
which the present value of all vested and unvested accrued benefits under all Single Employer Plans exceeds the fair market value of all such Plan assets allocable to such benefits, all determined as of the then most recent valuation date for such
Plans using PBGC actuarial assumptions for single employer plan terminations. 
 “Unmatured Default” means an event
which but for the lapse of time or the giving of notice, or both, would constitute a Default. 
 “Unreimbursed Amount”
is defined in Section 2.4(a). 
 “Unused Fees” means the fees payable pursuant to
Section 2.8(a). 
 “Wholly-Owned Subsidiary” of a Person means (a) any Subsidiary all (or, in the
case of Navigators N.V., all but one) of the outstanding voting securities of which shall at the time be owned or controlled, directly or indirectly, by such Person or one or more Wholly-Owned Subsidiaries of such Person, or by such Person and one
or more Wholly-Owned Subsidiaries of such Person, or (b) any partnership, limited liability company, association, joint venture or similar business organization 100% of the ownership interests having ordinary voting power of which shall at the
time be so owned or controlled. 
 The foregoing definitions shall be equally applicable to both the singular and plural forms
of the defined terms. 
 ARTICLE II 
 THE LETTER OF CREDIT FACILITY 
 2.1 Issuance of Letters of
Credit. (a) From and after the date hereof to but excluding the Letter of Credit Availability Termination Date, each Lender severally agrees, upon the terms and conditions set forth in this Agreement, to issue at the request and for the
account of the Borrower, such Lender’s Applicable Percentage of, one or more Letters of Credit for the account of the Borrower to support the obligations of the Corporate Members with respect to the Supported Syndicate and to increase the
stated amount of any Letters of Credit issued hereunder; provided, however, that no Lender shall be under any obligation to issue or increase, and the Letter of Credit Agent shall not issue or increase, any Letter of Credit if:
(i) the expiry date of such Letter of Credit would be after December 31, 2017, (ii) any order, judgment or decree of any Governmental Authority or other regulatory body with jurisdiction over any Lender shall purport by its terms to
enjoin or restrain any Lender from issuing or increasing such Letter of Credit, or any law or governmental rule, regulation, policy, guideline or directive (whether or not having the force of law) from any Governmental Authority or other regulatory
body with jurisdiction over any Lender prohibit, or request that any Lender refrain from, the issuance of Letters of Credit in particular or shall impose upon any Lender with respect to any Letter of Credit any restriction or reserve or capital
requirement (for which such Lender is not otherwise compensated) or any unreimbursed loss, cost or expense which was not applicable, in effect and known to such Lender as of the date of this Agreement and which such Lender in good faith deems
material to it, (iii) one or more of the conditions to such issuance or increase contained in Section 4.2 is not then satisfied; (iv) after giving effect to such issuance or increase, any Lender’s aggregate outstanding
amount of the Letter of Credit Obligations would exceed such Lender’s Commitment; (v) after giving effect to such issuance or increase, the aggregate outstanding amount of the Letter of Credit Obligations would exceed the Aggregate
Commitment; or (v) there is a Defaulting Lender. Letters of Credit shall be denominated, at the Borrower’s option, in either Dollars or Pounds. 

  
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 (b) In no event shall: (i) the aggregate amount of the Letter of Credit
Obligations at any time exceed the Aggregate Commitment or (ii) the expiration date of any Letter of Credit or the date for payment of any draft presented thereunder and accepted by the Lender, be later than the earlier of
(A) December 31, 2017 or (B) four (4) years after the date of the related Expiry Notice. The Letter of Credit Agent shall not issue a Letter of Credit except with Lloyd’s as the beneficiary thereof. The Letter of Credit
Agent shall not (x) permit the renewal or extension of any Letter of Credit at any time (A) during the continuation of a Default or Unmatured Default or (B) after December 31, 2013 or (y) permit the increase of any Letter of
Credit at any time (A) during the continuation of a Default or Unmatured Default or (B) after the Letter of Credit Availability Termination Date. 
 (c) The Letter of Credit Agent (i) shall issue an Expiry Notice no later than December 31, 2013 for outstanding Letters of Credit and (ii) may, and upon the request of the Required Lenders
shall, issue an Expiry Notice when a Default has occurred and is continuing; provided, however, that upon the occurrence of an Unmatured Default pursuant to Sections 7.6 and 7.7, the Letter of Credit Agent shall
immediately issue an Expiry Notice. 
 (d) At the request of the Borrower, Letters of Credit may be issued with
any Corporate Member as a co-applicant, so long as the Borrower is also a co-applicant under the applicable Letter of Credit Application. The fact that such Corporate Member is an applicant shall not affect the obligations of the Borrower with
respect to such Letters of Credit hereunder or under any Facility Document in any way. Any Letter of Credit Application for a Letter of Credit with respect to which such Corporate Member is a co-applicant shall include language substantially similar
to that set forth in Exhibit C or otherwise acceptable to the Letter of Credit Agent. 
 (e) Each
Lender’s obligation to pay its Applicable Percentage of all draws under the Letters of Credit, absent gross negligence or willful misconduct by Letter of Credit Agent in honoring any such draw, shall be absolute, unconditional and irrevocable
and in each case shall be made without counterclaim or set-off by such Lender. 

  
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 2.2 Conversion Principles. Determination of the Dollar amount of any Letter of
Credit, Obligation or Cash Collateral Investment denominated in a currency other than Dollars shall be made as follows: 
 (a) For purposes of usage and availability under Section 2.1, when a Letter of Credit is issued in Pounds or amended to increase the stated amount thereof, such Pounds will be converted to
Dollars by the Administrative Agent upon such issuance or increase, upon the proposed issuance of any other Letter of Credit and at the end of each calendar quarter and at any time thereafter as requested by the Administrative Agent or any Lender at
the Conversion Rate as of such date of determination. 
 (b) For purposes of determining interest and fees on
Letter of Credit Obligations and other Obligations, any such Obligations which are denominated in Pounds will be converted to Dollars and such determination shall be made by the Administrative Agent based upon the Conversion Rate as of such date of
determination. 
 (c) For purposes of determining the Collateral Value as of any date, Fair Market Value on any
date, Eligible Collateral and Letter of Credit Obligations denominated in Pounds will be converted to Dollars at the Conversion Rate as of the date of determination (and in the event of a disagreement as to such Fair Market Value between the
Borrower and the Administrative Agent, the determination of the Administrative Agent shall control). 
 2.3 Reductions in
Aggregate Commitment. (a) The Borrower may permanently reduce the Aggregate Commitment in whole, or in part ratably among the Lenders in integral multiples of $5,000,000, upon at least five (5) Business Days’ written notice to the
Administrative Agent, which notice shall specify the amount of such reduction; provided, however, that the amount of the Aggregate Commitment may not be reduced below the aggregate amount of the outstanding Letter of Credit
Obligations. 
 2.4 Reimbursement Obligations. (a) Upon receipt from the beneficiary of any Letter of Credit or any
notice of a drawing under such Letter of Credit (a “Drawing Request”), the Letter of Credit Agent shall notify the Administrative Agent and the Borrower of the receipt of such Drawing Request and of the date the Letter of Credit
Agent will honor such request (each such date, an “Honor Date”). Not later than 10:00 a.m. (London time) on such Honor Date or the following Business Day in the event that the Borrower shall not have received at least twenty-four
hours notice of such Honor Date, the Borrower shall provide the Letter of Credit Agent the amount of the Drawing Request in the currency in which the applicable Letter of Credit was issued. Any notice given by the Letter of Credit Agent or the
Administrative Agent pursuant to this Section 2.4(a) may be given by telephone if immediately confirmed in writing; provided that the lack of such an immediate confirmation shall not affect the conclusiveness or binding effect of such
notice. 
 (b) (i) With respect to any Drawing Request, if funds are not received by the Letter of Credit Agent
from the Borrower prior to 11:00 a.m. (London time) on the Honor Date or the following Business Day in the event that the Borrower shall not have received at least twenty-four hours notice of such Honor Date in the amount and currency of such
Drawing Request, the Administrative Agent shall promptly notify each Lender of such Drawing Request, the amount of the unreimbursed drawing (the “Unreimbursed Amount”) and such Lender’s Applicable Percentage of such
Unreimbursed Amount. Each Lender shall make funds available in the applicable currency to the Letter of Credit Agent in an amount equal to its Applicable Percentage of the Unreimbursed Amount not later than 1:00 p.m. (London time) on the Business
Day specified in such notice by the Administrative Agent (the “Letter of Credit Advance Date”). To the extent that funds are received by the Letter of Credit Agent from the Lenders prior to 2:00 p.m. (London time) on the Letter of
Credit Advance Date, the Letter of Credit Agent shall promptly make such funds available to the beneficiary of such Letter of Credit on such date. To the extent that the Letter of Credit Agent has not delivered funds to any beneficiary of a Letter
of Credit on behalf of a Lender on the Letter of Credit Advance Date, if funds are received by the Letter of Credit Agent from such Lender: (i) after 2:00 p.m. (London time) on the Letter of Credit Advance Date, the Letter of Credit Agent shall
make such funds available to such beneficiary on the next Business Day; (ii) prior to 2:00 p.m. (London time) on any Business Day after the Letter of Credit Advance Date, the Letter of Credit Agent shall make those funds available to such
beneficiary on such Business Day; and (iii) after 2:00 p.m. (London time) on any Business Day after the Letter of Credit Advance Date, the Letter of Credit Agent shall make those funds available to such beneficiary on the next Business Day
following such Business Day. 

  
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 (ii) Notwithstanding any provisions to the contrary in any Letter of Credit
Application, the Borrower agrees to pay the Letter of Credit Agent for the benefit of the Lenders no later than the time specified in this Agreement. 
 (iii) With respect to any Unreimbursed Amount, the Borrower shall have a Reimbursement Obligation in the amount of the Unreimbursed Amount from the Lenders to the extent that they have provided funds with
respect to such Letter of Credit pursuant to Section 2.4(b)(i). Reimbursement Obligations shall be due and payable on demand (together with interest) and shall bear interest at the Default Rate. Any payment by the Borrower in respect of
such Reimbursement Obligation shall be made to the Administrative Agent and upon receipt applied by the Administrative Agent in accordance with Section 2.4(c). 

(c) At any time after the Letter of Credit Agent has made a payment under any Letter of Credit and has received from any
Lender such Lender’s Letter of Credit Advance in respect of such payment in accordance with Section 2.4(b), if the Letter of Credit Agent or Administrative Agent receives any payment in respect of the related Reimbursement
Obligation or interest thereon (whether directly from the Borrower or otherwise, including proceeds of Collateral applied thereto by the Administrative Agent), the Administrative Agent will distribute to such Lender its Applicable Percentage thereof
in the same funds as those received by the Letter of Credit Agent or the Administrative Agent, as the case may be. 
 (d) If any payment received by the Letter of Credit Agent or the Administrative Agent pursuant to Section 2.4(b) (including any payment under Article XI) and such payment or the
proceeds of such setoff or any part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required (including pursuant to any settlement entered into by the Letter of Credit Agent, the Administrative Agent or
such Lender in its discretion) to be repaid to a trustee, receiver or any other party, in connection with any insolvency proceeding or otherwise, then (x) to the extent of such recovery, the obligation or part thereof originally intended to be
satisfied shall be revived and continued in full force and effect as if such payment had not been made or such setoff had not occurred, and (y) each Lender shall pay to the Letter of Credit Agent or the Administrative Agent, as applicable, its
Applicable Percentage thereof on demand of the Letter of Credit Agent or the Administrative Agent, as applicable, plus interest thereon from the date of such demand to the date such amount is returned by such Lender, at a rate per annum equal to the
Eurodollar Rate from time to time in effect. The obligations of the Lenders under this clause shall survive the payment in full of the Obligations and the termination of this Agreement. 

  
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 2.5 Procedure for Issuance. (a) Prior to the issuance of each new Letter of
Credit and as a condition of such issuance, the Borrower shall deliver to the Letter of Credit Agent a Letter of Credit Application signed by the Borrower, together with such other documents or items as may be required pursuant to the terms thereof,
and the proposed form and content of such Letter of Credit shall be reasonably satisfactory to the Letter of Credit Agent. Each Letter of Credit shall be issued no earlier than two (2) Business Days after delivery of the foregoing documents,
which delivery may be by the Borrower to the Letter of Credit Agent by telecopy, telex or other electronic means followed by delivery of executed originals within five (5) days thereafter. The documents so delivered shall be in compliance with
the requirements set forth in Section 2.1(b), and shall specify therein (a) the stated amount of the Letter of Credit requested, (b) the effective date of issuance of such requested Letter of Credit, which shall be a Business
Day, (c) whether the Letter of Credit is to be denominated in Dollars or Pounds and (d) the aggregate amount of Letter of Credit Obligations which are outstanding and which will be outstanding after giving effect to the requested Letter of
Credit issuance. The delivery of the foregoing documents and information shall constitute an “Issuance Request” for purposes of this Agreement. Subject to the terms and conditions of Section 2.1 and provided that the
applicable conditions set forth in Section 4.2 hereof have been satisfied, the Letter of Credit Agent (on behalf of the Lenders) shall, on the requested date, issue a Letter of Credit on behalf of the Borrower in accordance with the
Letter of Credit Agent’s usual and customary business practices. In addition, any amendment of an existing Letter of Credit shall be deemed to be an issuance of a new Letter of Credit and shall be subject to the requirements set forth above.
The Administrative Agent shall give the Lenders prompt written notice of the issuance of any Letter of Credit. 

(b) The Letter of Credit Agent is hereby authorized to execute and deliver each Letter of Credit and each amendment to a
Letter of Credit on behalf of each Lender. The Letter of Credit Agent shall use the Applicable Percentage of each Lender under each Letter of Credit as its “Commitment”. The Letter of Credit Agent shall not amend any Letter of Credit to
change the “Commitment” of a Lender or add or delete a Lender liable thereunder unless such amendment is done in connection with an assignment in accordance with Section 12.3. Each Lender hereby irrevocably constitutes and
appoints the Letter of Credit Agent its true and lawful attorney-in-fact for and on behalf of such Lender with full power of substitution and revocation in its own name or in the name of the Letter of Credit Agent to issue, execute and deliver, as
the case may be, each Letter of Credit and each amendment to a Letter of Credit and to carry out the purposes of this Agreement with respect to Letters of Credit. Upon request, each Lender shall execute such powers of attorney or other documents as
any beneficiary of any Letter of Credit may reasonably request to evidence the authority of the Letter of Credit Agent to execute and deliver such Letter of Credit and any amendment or other modification thereto on behalf of the Lenders. 

  
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 (c) The Letter of Credit Agent shall act on behalf of the Lenders with
respect to any Letters of Credit and the documents associated therewith, and the Letter of Credit Agent shall have all of the benefits and immunities (A) provided to the Administrative Agent in Article X with respect to any acts taken or
omissions suffered by the Letter of Credit Agent in connection with Letters of Credit issued by it or proposed to be issued by it and Letter of Credit Applications pertaining to such Letters of Credit as fully as if the term “Administrative
Agent” as used in Article X includes the Letter of Credit Agent as with respect to such acts or omissions, and (B) as additionally provided herein with respect to the Letter of Credit Agent. 

2.6 Nature of the Agent and Lenders’ Obligations. (a) Each Lender and the Borrower agree that, in paying any drawing
under a Letter of Credit, the Letter of Credit Agent shall not have any responsibility to obtain any document (other than any sight draft, certificates and documents expressly required by the Letter of Credit) or to ascertain or inquire as to the
validity or accuracy of any such document or the authority of the Person executing or delivering any such document. Neither the Letter of Credit Agent nor any of its respective Affiliates shall be liable to for (i) any action taken or omitted
in connection herewith at the request or with the approval of the Lenders or the Required Lenders, as applicable; (ii) any action taken or omitted in the absence of gross negligence or willful misconduct; or (iii) the due execution,
effectiveness, validity or enforceability of any document or instrument related to any Letter of Credit or Letter of Credit Application. 
 (b) As between the Borrower and the Lenders and the Letter of Credit Agent, the Borrower assumes all risks of the acts and omissions of, or misuse of the Letters of Credit by, the respective beneficiaries
of the Letters of Credit; provided, however, that the Borrower may have a claim against the Letter of Credit Agent and the Letter of Credit Agent may be liable to the Borrower, to the extent, but only to the extent, of any direct (as
opposed to consequential or exemplary) damages suffered by the Borrower which the Borrower proves were caused by the willful misconduct or gross negligence in determining whether documents presented under a Letter of Credit comply with the terms of
such Letter of Credit. In furtherance and not in limitation of the foregoing, neither the Letter of Credit Agent nor the Lenders shall be responsible for: (i) the form, validity, sufficiency, accuracy, genuineness or legal effect of any
document submitted by any party in connection with the application for an issuance of a Letter of Credit, even if it should in fact prove to be in any or all respects invalid, insufficient, inaccurate, fraudulent or forged, (ii) the validity or
sufficiency of any instrument transferring or assigning or purporting to transfer or assign a Letter of Credit or the rights or benefits thereunder or proceeds thereof, in whole or in part, which may prove to be invalid or ineffective for any
reason, (iii) the failure of the beneficiary of a Letter of Credit to comply fully with conditions required to be satisfied by any Person other than the Letter of Credit Agent in order to draw upon such Letter of Credit, (iv) errors,
omissions, interruptions or delays in transmission or delivery of any messages, by mail, cable, telegraph, telex or otherwise, (v) errors in the interpretation of technical terms, (vi) the misapplication by the beneficiary of a Letter of
Credit of the proceeds of any drawing under such Letter of Credit or (vii) any consequences arising from causes beyond control of the Letter of Credit Agent or the Lenders. 

  
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 (c) In furtherance and extension and not in limitation of the specific
provisions hereinabove set forth, any action taken or omitted by the Letter of Credit Agent under or in connection with the Letters of Credit or any related certificates, if taken or omitted in good faith, shall not put the Letter of Credit Agent or
any Lender under any resulting liability to the Borrower or relieve the Borrower of any of its obligations hereunder to the Lenders or any such Person. 
 (d) The Borrower agrees to pay to the Letter of Credit Agent for the benefit of the Lenders the amount of all Reimbursement Obligations owing in respect of any Letter of Credit immediately when due, under
all circumstances, including, without limitation, any of the following circumstances: (w) any lack of validity or enforceability of this Agreement or any of the other Facility Documents, (x) the existence of any claim, set-off, defense or
other right which the Borrower or any account party may have at any time against a beneficiary named in a Letter of Credit, any transferee of any Letter of Credit (or any Person for whom any such transferee may be acting), any Lender or any other
Person, whether in connection with this Agreement, any Letter of Credit, the transactions contemplated herein or any unrelated transactions (including any underlying transaction between the Borrower or any account party and the beneficiary named in
any Letter of Credit), (y) the validity, sufficiency or genuineness of any document which the Letter of Credit Agent has determined in good faith complies on its face with the terms of the applicable Letter of Credit, even if such document
should later prove to have been forged, fraudulent, invalid or insufficient in any respect or any statement therein shall have been untrue or inaccurate in any respect or (z) the surrender or impairment of any security for the performance or
observance of any of the terms hereof. 
 2.7 Notification of Issuance Requests. Promptly after receipt thereof, the
Letter of Credit Agent will notify each Lender of the contents of each Issuance Request received by it hereunder. 
 2.8
Fees. 
 (a) Unused Fee. The Borrower agrees to pay to the Administrative Agent for the account of
each Lender with respect to its Commitment an Unused Fee at a rate per annum equal to the Applicable Unused Fee Rate on the daily unused portion of such Lender’s Commitment from the Closing Date to and including the Letter of Credit
Availability Termination Date, calculated with respect to actual days elapsed on the basis of a 360-day year and payable in Dollars on each Payment Date hereafter and on the Letter of Credit Availability Termination Date or, if later, upon receipt
of a bill from the Administrative Agent. During the continuance of a Default, the Required Lenders may, at their option, by notice to the Borrower, declare that the Applicable Unused Fee Rate shall accrue at the Default Rate; provided, that
during the continuance of a Default under Section 7.6 or 7.7, the Applicable Unused Fee Rate shall accrue at the Default Rate without any election or action on the part of the Administrative Agent or any Lender. 

  
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 (b) Letter of Credit Fee. The Borrower agrees to pay to the
Administrative Agent for the pro-rata account of the Lenders in Dollars a Letter of Credit Fee with respect to each Letter of Credit from and including the date of issuance thereof until the date such Letter of Credit is fully drawn, canceled or
expired, in an amount equal to the Applicable Letter of Credit Fee Rate on the aggregate amount from time to time available to be drawn on such Letter of Credit, calculated with respect to actual days elapsed on the basis of a 360-day year and
payable quarterly in arrears on each Payment Date in each year and upon the expiration, cancellation or utilization in full of such Letter of Credit. During the continuance of a Default, the Required Lenders may, at their option, by notice to the
Borrower, declare that the Applicable Letter of Credit Fee Rate shall accrue at the Default Rate; provided, that during the continuance of a Default under Section 7.6 or 7.7, the Applicable Letter of Credit Fee Rate shall
accrue at the Default Rate without any election or action on the part of the Administrative Agent or any Lender. 

(c) Defaulting Lender. If at any time a Lender is a Defaulting Lender, then, to the extent permitted by
applicable law (and notwithstanding any other provision of this Agreement), (i) any payment of Reimbursement Obligations with respect to Letters of Credit (including through sharing of payments pursuant to Section 10.2, but
excluding any payment pursuant to Section 2.3(b)) shall, if the Borrower so directs at the time of making such payment, be applied first to amounts owed to Lenders other than such Defaulting Lender, as if the amount owed to such
Defaulting Lender hereunder in respect of Reimbursement Obligations were zero, and then to amounts owed to such Defaulting Lender; (ii) such Defaulting Lender’s Applicable Percentage of the Letter of Credit Obligations shall be excluded
for purposes of calculating Unused Fees pursuant to Section 2.8(a) in respect of each day on which such Lender is a Defaulting Lender, and such Defaulting Lender shall not be entitled to receive any Unused Fees for any such day and
(iii) such Defaulting Lender’s Applicable Percentage shall be deemed to be zero for purposes of calculating Letter of Credit Fees pursuant to Section 2.8(b) in respect of each day on which such Lender is a Defaulting Lender,
and such Defaulting Lender shall not be entitled to receive any Letter of Credit Fees for any such day. Any payment made pursuant to this Section shall be taken into account for purposes of calculating the Unused Fee and Letter of Credit Fee. The
provisions of this Section 2.8(c) do not limit, but are in addition to, any other claim or right that the Borrower, the Administrative Agent, the Letter of Credit Agent or any other Lender may have against a Defaulting Lender.

 2.9 Collateralization Events. 
 (a) The Borrower agrees that, if at any time as a result of reductions in the Aggregate Commitment pursuant to Section 2.3 or otherwise the aggregate balance of the Letter of Credit
Obligations exceeds the Aggregate Commitment, the Borrower shall promptly, but in any event within five (5) Business Days, collateralize the Letter of Credit Obligations by depositing into a Collateral Account Eligible Collateral with a
Collateral Value equal to the product of one hundred and two percent (102%) of the amount as may be necessary to eliminate such excess. 

  
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 (b) Notwithstanding any other provisions of this Agreement, if at any time,
after giving effect to the conversion of Pounds into Dollars as set forth in Section 2.2, the aggregate face amount of all outstanding Letters of Credit is greater than the Aggregate Commitment (the “Conversion
Differential”), then the Borrower shall promptly, but in any event within five (5) Business Days, collateralize the Letter of Credit Obligations by depositing into a Collateral Account Eligible Collateral with a Collateral Value equal
to the product of one hundred and two percent (102%) of the Conversion Differential. 
 (c) If the A.M. Best
Rating or the S&P Rating of Navigators falls below “A-” the Borrower shall promptly, but in any event within five (5) Business Days, collateralize the Letter of Credit Obligations by depositing into a Collateral Account Eligible
Collateral with a Collateral Value equal to the product of one hundred and two percent (102%) of the Letter of Credit Obligations. 
 (d) If the forecast underwriting losses based on mid-points stated in the Franchise Performance Management Quarterly Monitoring Returns for the Supported Syndicate exceed 20% of capacity for any year
supported by a Letter of Credit, the Borrower shall promptly, but in any event within five (5) Business Days, collateralize the Letter of Credit Obligations by depositing into a Collateral Account Eligible Collateral with a Collateral Value
equal to one hundred and two percent (102%) of the Letter of Credit Obligations with respect to all outstanding Letters of Credit. 
 (e) In the event that any net unfunded solvency deficit on any open years of account for the Supported Syndicate (as reported in the solvency statements prepared by Lloyd’s) (a “NFS
Deficiency”) is not funded directly at Lloyd’s by depositing cash or similar assets into the Supported Syndicate’s personal reserves, promptly, but in any event within 10 Business Days after the Borrower has knowledge of such
deficiency, the Borrower shall collateralize the Letter of Credit Obligations by depositing, into a Collateral Account, Eligible Collateral with a Collateral Value equal to the one hundred and two percent (102%) of the NFS Deficiency after
giving effect to any amount funded directly at Lloyd’s as set forth above. 
 (f) In the event that an
Expiry Notice is given with respect to any Letter of Credit, the Borrower shall, within 5 Business Days after December 31 of the last year of account supported by the such Letter of Credit pursuant to Section 6.2, collateralize the
Letter of Credit Obligation by depositing into a Collateral Account Eligible Collateral with a Collateral Value equal to one hundred and two percent (102%) of the such Letter of Credit. 

(g) Upon the occurrence of an Event of Default, the Borrower shall promptly deposit in a Collateral Account Eligible
Collateral with a Collateral Value equal to the product of one hundred and two percent (102%) of the aggregate undrawn face amount of all outstanding Letters of Credit and all fees and other amounts due or which may become due with respect
thereto. 

  
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 2.10 Collateral Account. 

(a) The Borrower shall at all times maintain Eligible Collateral in Collateral Accounts with a Collateral Value of not
less than the Required Amount. If at any time the Required Amount shall exceed (the amount of such excess, the “Collateral Shortfall”) the Collateral Value for three (3) consecutive Business Days, the Administrative Agent shall
provide the Borrower notice, by telephone or in writing, of such Collateral Shortfall and it shall be a Default unless within three (3) Business Days of the Borrower’s receipt of such notice, no Collateral Shortfall exists as a result of
(i) a change in the Collateral Value due to market fluctuations and/or (ii) a deposit by the Borrower of additional Eligible Collateral in a Collateral Account. 

(b) Eligible Collateral held in a Collateral Account (other than the UK Collateral Account) shall be invested (i) so
long as no Default has occurred, at the direction of the Borrower, provided that all such Eligible Collateral must be reasonably acceptable to the Administrative Agent and otherwise permitted by this Agreement, and (ii) following the
occurrence and continuation of a Default, at the direction of the Administrative Agent. All income from such Eligible Collateral shall be retained in a Collateral Account and added to the Collateral. 

(c) So long as no Default has occurred and is continuing, if at any time the Obligations become due and payable hereunder,
the Borrower may request that funds in a Collateral Account be applied to the amount which is due and payable, including with respect to any Reimbursement Obligations and the Administrative Agent shall apply such funds (in the case of the UK
Collateral Account) or consent to such release (in the case of any other Collateral Account) provided, in each case, after giving effect to such application the Borrower is in compliance with Section 2.10(a); provided,
however, the Administrative Agent shall have the right, upon five (5) days’ prior notice to the Borrower, to apply all or any part of the Eligible Collateral held in a Collateral Account for the amount which is due and payable
unless the Borrower shall object in writing and otherwise pay the amount due and payable within such five (5) day period. Upon the occurrence and continuation of a Default, the Administrative Agent may apply (without prior notice to the
Borrower) all or any part of the Eligible Collateral held in a Collateral Account pursuant to and in accordance with Section 8.4. 
 (d) So long as no Default or Unmatured Default under Section 7.2 has occurred, at any time the Collateral Value exceeds (the amount of such excess, the “Collateral Excess”)
the Required Amount, the Borrower can request to the release of such Collateral Excess and the Administrative Agent shall release such funds from the UK Collateral or consent to such release with respect to any other Collateral Account;
provided, however, upon the occurrence and continuation of a Default, the Administrative Agent shall have no obligation to release or consent to any such release and shall have sole control over any such Collateral Excess, including
the application of such amount pursuant to and in accordance with Section 8.4. 

  
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 ARTICLE III 
 YIELD PROTECTION; TAXES 
 3.1 Yield Protection. Without
prejudice to the generality of Section 3.2, if, on or after the Closing Date, any Change affecting such Lender or any of its Lender Affiliates 
 (a) subjects any Lender or any of its Lender Affiliates to any Taxes, or changes the basis of taxation of payments (other than with respect to Excluded Taxes) to any Lender in respect of its interest in
the Letters of Credit, 
 (b) imposes or increases or deems applicable any reserve, assessment, insurance charge,
special deposit or similar requirement against assets of, deposits with or for the account of, or credit extended by, any Lender or r any of its Lender Affiliates, or 

(c) imposes any other condition the result of which is to increase the cost to any Lender or any of its Lender Affiliates
of making, funding or issuing Letters of Credit or reduces any amount receivable by any Lender or any applicable Lender Affiliate in connection with any Letter of Credit, or requires any Lender or any applicable Lender Affiliate to make any payment
calculated by reference to the amount of Letters of Credit issued or participated in or interest received by it, by an amount deemed material by such Lender, 
 and the result of any of the foregoing is to increase the cost to such Lender or applicable Lender Affiliate of making or maintaining its Commitment or its interest in the Letters of Credit or to reduce
the return received by such Lender or applicable Lender Affiliate in connection with such Commitment or interest in Letters of Credit, then, within fifteen (15) days of demand by such Lender, the Borrower shall pay such Lender such additional
amount or amounts as will compensate such Lender for such increased cost or reduction in amount received. 
 3.2 Changes in
Capital Adequacy Regulations. If any Lender determines that any Change affecting such Lender or any of its Lender Affiliates, if any, regarding capital or liquidity requirements, has or would have the effect of reducing the rate of return on
such Lender’s capital or on the capital of any of its Lender Affiliates, if any, as a consequence of this Agreement, the Commitment of such Lender or the Letters of Credit issued by such Lender, to a level below that which such Lender or any of
its Lender Affiliates could have achieved but for such Change (taking into consideration such Lender’s policies and the policies of its Lender Affiliates with respect to capital adequacy and liquidity), then within fifteen (15) days of
demand by such Lender, the Borrower will pay to such Lender the amount necessary to compensate such Lender or such Lender Affiliate for any such reduction suffered. “Change” means the occurrence, after the date of this Agreement, of
any of the following: (a) the adoption or taking effect of any law, rule, regulation or treaty, (b) any change in any law, rule, regulation or treaty or in the administration, interpretation, implementation or application thereof by any
Governmental Authority or (c) the making or issuance of any request, rule, guideline or directive (whether or not having the force of law) by any Governmental Authority; provided that notwithstanding anything herein to the contrary, and
for the avoidance of doubt, (x) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, guidelines or directives thereunder or issued in connection therewith and (y) all requests, rules, guidelines or
directives promulgated by the Basel Committee on Banking Supervision Bank for International Settlements (or any successor or similar authority) or any foreign or United States regulatory authorities, in each case pursuant to Basel III, shall in each
case be deemed to be a “Change”, regardless of the date enacted, adopted or issued. 

  
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 3.3 Taxes. 

(a) All payments by the Borrower to or for the account of any Lender, the Administrative Agent or the Security Trustee
hereunder or under any Letter of Credit Application shall be made free and clear of and without deduction for any and all Taxes. If the Borrower shall be required by law to deduct any Taxes from or in respect of any sum payable hereunder to any
Lender, the Administrative Agent or the Security Trustee, (i) the sum payable shall be increased as necessary so that after making all required deductions (including deductions applicable to additional sums payable under this
Section 3.3) such Lender, the Administrative Agent or the Security Trustee (as the case may be) receives an amount equal to the sum it would have received had no such deductions been made, (ii) the Borrower shall make such
deductions, (iii) the Borrower shall pay the full amount deducted to the relevant authority in accordance with applicable law and (iv) the Borrower shall furnish to the Administrative Agent the original copy of a receipt evidencing payment
thereof within thirty (30) days after such payment is made. 
 (b) In addition, the Borrower hereby agrees
to pay any present or future stamp or documentary taxes and any other excise or property taxes, charges or similar levies which arise from any payment made hereunder or under any other Facility Document or from the execution or delivery of, or
otherwise with respect to, this Agreement or any other Facility Document (“Other Taxes”). 
 (c)
Without duplication of amounts paid by the Borrower under Section 3.3(a) or (b), the Borrower hereby agrees to indemnify the Administrative Agent and each Lender for the full amount of Taxes or Other Taxes (including, without
limitation, any Taxes or Other Taxes imposed on amounts payable under this Section 3.3) paid by the Administrative Agent or such Lender and any liability (including penalties, interest and expenses) arising therefrom or with respect
thereto; provided, however, that the Borrower shall not be required to indemnify the Administrative Agent or such Lender, as the case may be, for any penalties, interest or expenses arising therefrom or imposed with respect thereto to the extent
that such penalties, interest, or expenses are attributable to the failure of the Administrative Agent or such Lender, as the case may be, to pay over any amounts paid to the Administrative Agent or such Lender by the Borrower (for Taxes or Other
Taxes) to the relevant Governmental Authority within twenty (20) days after receipt of such payment from the Borrower. Payments due under this indemnification shall be made within thirty (30) days of the date the Administrative Agent or
such Lender makes demand therefor pursuant to Section 3.4. 

  
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 (d) Each Lender that is not incorporated under the laws of the United States
of America or a state thereof (each a “Non-U.S. Lender”) agrees that it will, not less than ten (10) Business Days after the date of this Agreement, deliver to each of the Borrower and the Administrative Agent such properly
completed and executed documentation prescribed by applicable law or reasonably requested by the Borrower, certifying that such Lender is entitled to receive payments under this Agreement without deduction or withholding of any United States federal
income taxes. In addition, each Lender that is not a Non-U.S. Lender will, not less than ten (10) Business Days after the date of this Agreement, deliver to each of the Borrower and the Administrative Agent such other documentation prescribed
by law or reasonably requested by the Borrower or the Administrative Agent as will enable the Borrower or the Administrative Agent to determine whether or not such Lender is subject to backup withholding and information reporting requirements. Each
Lender further undertakes to deliver to each of the Borrower and the Administrative Agent (x) renewals or additional copies of such form (or any successor form) on or before the date that such form expires or becomes obsolete and (y) after
the occurrence of any event requiring a change in the most recent forms so delivered by it, such additional forms or amendments thereto as may be reasonably requested by the Borrower or the Administrative Agent. All forms or amendments described in
the preceding sentence shall certify that such Lender is entitled to receive payments under this Agreement without deduction or withholding of any United States federal income taxes, unless an event (including without limitation any change in
treaty, law or regulation) has occurred prior to the date on which any such delivery would otherwise be required which renders all such forms inapplicable or which would prevent such Lender from duly completing and delivering any such form or
amendment with respect to it and such Lender advises the Borrower and the Administrative Agent that it is not capable of receiving payments without any deduction or withholding of United States federal income tax. 

(e) Each “Non-U.S. Lender” shall deliver to each of the Borrower and the Administrative Agent on the Amendment
Effective Date any documentation, accurately completed and in a manner reasonably satisfactory to the requesting party, that may be required in order to allow the requesting party to make a payment under this Agreement or any other Facility Document
without any deduction or withholding for or on account of any tax otherwise required to be withheld or assessed under FATCA as of the Amendment Effective Date. Thereafter: 

(i) Subject to paragraph (iii) below, each Party shall, within ten Business Days of a reasonable request by another
Party confirm to that other Party whether it is or is not a FATCA Exempt Party and supply to that other Party such forms, documentation and other information relating to its status under FATCA (including its applicable passthru percentage or other
information required under the Treasury Regulations or other official guidance including intergovernmental agreements) as that other Party reasonably requests for the purposes of that other Party’s compliance with FATCA; provided that no Party
shall be obliged to do anything which would or might in its reasonable opinion constitute a breach of any law or regulation, any policy of such Party, any fiduciary duty or any duty of confidentiality. 

(ii) If a Party confirms to another Party pursuant to Section 3.3(e)(i) above that it is a FATCA Exempt Party
and it subsequently becomes aware that it is not, or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly. 

  
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 (iii) If a Party fails to confirm its status or to supply forms,
documentation or other information requested in accordance with paragraph (a) above (including, for the avoidance of doubt, where a Party determines that providing the other Party with any of the information requested under
Section 3.3(e)(i) will or may in its reasonable opinion constitute a breach of any law or regulation, any policy of such Party, any fiduciary duty or any duty of confidentiality), then (x) if that Party failed to confirm whether it is
(and/or remains) a FATCA Exempt Party then such Party shall be treated for the purposes of the Facility Documents as if it is not a FATCA Exempt Party and (y) if that Party failed to confirm its applicable passthru percentage then such Party
shall be treated for the purposes of the Facility Documents (and payments made thereunder) as if its applicable passthru percentage is 100%, until (in each case) such time as the Party in question provides the requested confirmation, forms,
documentation or other information. 
 (f) For any period during which a Non-U.S. Lender has failed to provide
the Borrower with an appropriate form pursuant to paragraph (d) above (unless such failure is due to a change in treaty, law or regulation, or any change in the interpretation or administration thereof by any Governmental Authority,
occurring subsequent to the date on which a form originally was required to be provided), such Non-U.S. Lender shall not be entitled to indemnification under this Section 3.3 with respect to Taxes imposed by the United States;
provided that, should a Non-U.S. Lender which is otherwise exempt from or subject to a reduced rate of withholding tax become subject to Taxes because of its failure to deliver a form required under paragraph (d) above, the
Borrower shall take such steps as such Non-U.S. Lender shall reasonably request to assist such Non-U.S. Lender to recover such Taxes. 
 (g) If the U.S. Internal Revenue Service or any other Governmental Authority of the United States or any other country or any political subdivision thereof asserts a claim that the Administrative Agent
did not properly withhold tax from amounts paid to or for the account of any Lender (because the appropriate form was not delivered or properly completed, because such Lender failed to notify the Administrative Agent of a change in circumstances
which rendered its exemption from withholding ineffective, or for any other reason), such Lender shall indemnify the Administrative Agent fully for all amounts paid, directly or indirectly, by the Administrative Agent as tax, withholding therefor,
or otherwise, including penalties and interest, and including taxes imposed by any jurisdiction on amounts payable to the Administrative Agent under this subsection, together with all costs and expenses related thereto (including attorneys fees and
time charges of attorneys for the Administrative Agent, which attorneys may be employees of the Administrative Agent). The obligations of the Lenders under this Section 3.3(g) shall survive the payment of the Obligations and termination
of this Agreement. 

  
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 (h) If the Administrative Agent or any Lender receives a refund of any Taxes
or Other Taxes as to which it has been indemnified by the Borrower, it shall pay to the Borrower an amount equal to such refund (but only to the extent of indemnity payments made, or additional amounts paid, by the Borrower under this
Section 3.3 with respect to Taxes or Other Taxes giving rise to such refund), net of all reasonable out-of-pocket expenses incurred by the Administrative Agent or the Lender, as the case may be, and without interest (other than any
interest paid by the relevant Governmental Authority with respect to such refund), provided that the Borrower, upon the request of the Administrative Agent or the Lender agrees to repay the amount paid over to the Borrower (plus any penalties,
interest or other charges imposed by the relevant Governmental Authority) to the Administrative Agent or the Lender in the event the Administrative Agent or the Lender is required to repay such refund to such Governmental Authority. 

3.4 Lender Statements; Survival of Indemnity. To the extent reasonably possible, each Lender shall designate an alternate Lending
Installation to reduce any liability of the Borrower to such Lender under Sections 3.1, 3.2 and 3.3 so long as such designation is not, in the judgment of such Lender, disadvantageous to such Lender. Each Lender shall deliver a
written statement of such Lender to the Borrower (with a copy to the Administrative Agent) as to the amount due, if any, under Section 3.1, 3.2 or 3.3. Such written statement shall set forth in reasonable detail the
calculations upon which such Lender determined such amount and shall be final, conclusive and binding on the Borrower in the absence of manifest error. The obligations of the Borrower under Section 3.1, 3.2 and 3.3 shall
survive payment of the Obligations and termination of this Agreement. 
 ARTICLE IV 

CONDITIONS PRECEDENT 
 4.1 The Lenders Obligation to Issue. The obligation of the Letter of Credit Agent and each Lender to issue the initial Letter of Credit hereunder is subject to satisfaction of the following
conditions precedent: 
 (a) The Administrative Agent’s receipt of the following, each of which shall be
originals or facsimiles or sent by electronic mail (followed promptly by originals) unless otherwise specified, each properly executed by an Authorized Officer of the Borrower, each dated the Amendment Effective Date (or, in the case of certificates
of governmental officials, a recent date before the Amendment Effective Date) and each in form and substance satisfactory to the Administrative Agent and its counsel: 

(i) Charter Documents; Good Standing Certificates. Copies of the articles or certificate of incorporation of the
Borrower, together with all amendments, and a certificate of good standing, each certified by the appropriate governmental officer in its jurisdiction of incorporation. 

(ii) By-Laws and Resolutions. Copies, certified by the Secretary or Assistant Secretary of the Borrower, of its
by-laws and of its Board of Directors’ resolutions and of resolutions or actions of any other body authorizing the execution of the Facility Documents to which the Borrower is a party. 

  
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 (iii) Secretary’s Certificate. An incumbency certificate,
executed by the Secretary or Assistant Secretary of the Borrower, which shall identify by name and title and bear the signature of the officers of the Borrower authorized to sign the Facility Documents, upon which certificate the Administrative
Agent and the Lenders shall be entitled to rely until informed of any change in writing by the Borrower. 
 (iv)
Officer’s Certificate. A certificate, signed by an Authorized Officer of the Borrower, stating that: (A) on the Amendment Effective Date no Default or Unmatured Default has occurred and is continuing, (B) each of the
representations and warranties set forth in Article V of this Agreement is true and correct on and as of the Amendment Effective Date (provided, that solely for purposes of this Section 4.1(a)(iv)(B), the representation and warranty in
Section 5.6 shall be deemed to contain a reference to “prospects” of the Borrower) and (C) the A.M. Best Rating and the S&P Rating for Navigators. 

(v) Legal Opinion. A written opinion of (A) Drinker Briddle & Reath LLP, New York counsel to the
Borrower regarding US matters, in each case addressed to the Administrative Agent and the Lenders and in form and substance acceptable to the Administrative Agent and its counsel. 

(vi) Facility Documents. Executed originals of this Agreement. 

(vii) Financial Statements. The financial statements described in Section 6.1(a)(ii) and the statutory
statements described in Section 6.1(c)(ii), in each case for the fiscal quarter ending September 30, 2012. 
 (viii) RDS. A summary of the RDS calculations (including the information necessary to calculate the covenants in Sections 6.23(e) and (f)) for the Supported Syndicate prepared in accordance
with the definitions and reporting requirements of Lloyd’s as in effect on the Closing Date for the applicable account years to be covered by the Letters of Credit to be issued hereunder. 

(ix) Lloyd’s Substitution Letter. The Lloyd’s Substitution Letter duly executed. 

(x) Primary FAL. The Lloyd’s Comfort Letter duly executed and a letter from the Corporate Members of the
Supported Syndicate setting forth the Primary FAL for the Supported Syndicate, in each case for the 2012 Year of Account. 
 (xi) Compliance Certificate. A Compliance Certificate duly completed and executed based on the September 30, 2012 financial statements and the 2012 Year of Account. 

(xii) Other. Such other documents as the Administrative Agent, any Lender or their counsel may have reasonably
requested. 

  
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 (b) The A.M. Best Rating and the S&P Rating for Navigators shall be not
less than “A-”. 
 (c) Any fees required to be paid on or before the Amendment Effective Date shall
have been paid. 
 (d) Unless waived by the Administrative Agent, the Borrower shall have paid all fees, charges
and disbursements of counsel to the Administrative Agent (directly to such counsel if requested by the Administrative Agent) to the extent invoiced prior to or on the Amendment Effective Date, plus such additional amounts of such fees, charges and
disbursements as shall constitute its reasonable estimate of such fees, charges and disbursements incurred or to be incurred by it through the closing proceedings (provided that such estimate shall not thereafter preclude a final settling of
accounts between Borrower and the Administrative Agent). 
 Without limiting the generality of Section 10.4, for purposes of
determining compliance with the conditions specified in this Section 4.1, each Lender that has signed this Agreement shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter
required thereunder to be consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the proposed Amendment Effective Date specifying its objection
thereto. 
 4.2 Each Letter of Credit. The Letter of Credit Agent, on behalf of the Lenders, shall not be obligated to
issue or increase the stated amount of any Letter of Credit, unless on the applicable Issue Date: 
 (a) There
exists no Default or Unmatured Default and none would result from such issuance of such Letter of Credit. 
 (b)
The representations and warranties contained in Article V are true and correct as of such Issue Date except to the extent any such representation or warranty is stated to relate solely to an earlier date, in which case such representation or
warranty shall have been true and correct on and as of such earlier date. 
 (c) An Issuance Request, as
applicable, shall have been properly submitted. 
 (d) All legal matters incident to the issuance of such Letter
of Credit shall be satisfactory to the Lenders and their counsel. 
 (e) If a Collateralization Event has
occurred, the Required Amount shall have been deposited as required under Section 2.9 and the Administrative Agent shall have received a Borrowing Base Certificate calculated as of the most recent Business Day in accordance with the
requirements hereof and demonstrating compliance with Section 2.10 after giving effect to the issuance of the requested Letter of Credit. 
 (f) Each Issuance Request with respect to each such Letter of Credit shall constitute a representation and warranty by the Borrower that the conditions contained in Section 4.2(a) and
(b) have been satisfied. Any Lender may require a duly completed Compliance Certificate as a condition to issuing a Letter of Credit. 

  
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 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES 
 The Borrower represents and
warrants to the Lenders that: 
 5.1 Existence and Standing . Each of the Borrower and its Subsidiaries is duly and
properly formed, validly existing and in good standing under the laws of its jurisdiction of incorporation or organization and, except as could not reasonably be expected to have a Material Adverse Effect, has all requisite authority to conduct its
business in each jurisdiction in which its business is conducted. 
 5.2 Authorization and Validity. The Borrower has the
corporate power and authority and legal right to execute and deliver the Facility Documents and to perform its obligations thereunder. The execution and delivery by the Borrower of the Facility Documents and the performance of its obligations
thereunder have been duly authorized by proper corporate proceedings, and the Facility Documents to which the Borrower is a party constitute legal, valid and binding obligations of the Borrower enforceable against the Borrower in accordance with
their terms, except as enforceability may be limited by bankruptcy, insolvency or similar laws affecting the enforcement of creditors’ rights generally. 
 5.3 No Conflict; Government Consent. Neither the execution and delivery by the Borrower of the Facility Documents, nor the consummation of the transactions therein contemplated, nor compliance with
the provisions thereof will violate (a) any law, rule, regulation, order, writ, judgment, injunction, decree or award binding on the Borrower or any of its Subsidiaries or (b) the Borrower’s or any Subsidiary’s articles or
certificate of incorporation, partnership agreement, certificate of partnership, articles or certificate of organization, by-laws, or operating or other management agreement, as the case may be, or (c) the provisions of any indenture,
instrument or agreement to which the Borrower or any of its Subsidiaries is a party or is subject, or by which it, or its Property, is bound, or conflict with or constitute a default thereunder, or result in, or require, the creation or imposition
of any Lien in, of or on the Property of the Borrower or a Subsidiary pursuant to the terms of any such indenture, instrument or agreement. No order, consent, adjudication, approval, license, authorization, or validation of, or filing, recording or
registration with, or exemption by, or other action in respect of any governmental or public body or authority, or any subdivision thereof, which has not been obtained by the Borrower or any of its Subsidiaries, is required to be obtained by the
Borrower or any of its Subsidiaries in connection with the execution and delivery of the Facility Documents, the extensions of credit under this Agreement, the payment and performance by the Borrower of the Obligations or the legality, validity,
binding effect or enforceability of any of the Facility Documents, except that approval of the New York Insurance Department and/or one or more other state insurance departments would be required in order for the Lenders to acquire control of
Navigators and NSIC. Neither the Borrower nor any Subsidiary is in default under or in violation of any foreign, federal, state or local law, rule, regulation, order, writ, judgment, injunction, decree or award binding upon or applicable to the
Borrower or such Subsidiary, in each case the consequences of which default or violation could reasonably be expected to have a Material Adverse Effect. 

  
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 5.4 Financial Statements. (a) (i) The consolidated balance sheets of the
Borrower and the Consolidated Subsidiaries as of December 31, 2011, the related consolidated statements of income, consolidated statements of stockholders’ equity, and consolidated statements of cash flows of the Borrower and such
Consolidated Subsidiaries for the Fiscal Year then ended, and the accompanying footnotes, together, with the opinion thereon, of KPMG LLP, independent certified public accountants, copies of which have been furnished to the Lenders, fairly present
the financial condition of the Borrower and the Consolidated Subsidiaries as at such dates and the results of the operations of the Borrower and Consolidated Subsidiaries for the periods covered by such statements, all in accordance with Agreement
Accounting Principles consistently applied and (ii) the unaudited consolidated balance sheets of the Borrower and the Consolidated Subsidiaries as of September 30, 2012, the related consolidated statements of income, consolidated
statements of stockholders’ equity, and consolidated statements of cash flows of the Borrower and such Consolidated Subsidiaries for the fiscal quarter then ended, fairly present the financial condition of the Borrower and the Consolidated
Subsidiaries as at such dates and the results of the operations of the Borrower and Consolidated Subsidiaries for the periods covered by such statements, all in accordance with Agreement Accounting Principles consistently applied (subject to
year-end adjustments and the absence of footnotes). 
 (b) There are no liabilities of the Borrower or any of the
Consolidated Subsidiaries, fixed or contingent, which are material but are not reflected in the most recent financial statements referred to above or in the notes thereto, other than liabilities arising in the ordinary course of business since
December 31, 2011. 
 5.5 Statutory Financial Statements. The Annual Statement of each of the Insurance Subsidiaries
(including, without limitation, the provisions made therein for investments and the valuation thereof, reserves, policy and contract claims and statutory liabilities) as filed with the appropriate Governmental Authority of its state of domicile (the
“Department”) as of and for the 2011 Fiscal Year and the quarterly SAP statements for the fiscal quarter ended September 30, 2012 delivered to each Lender prior to the execution and delivery of this Agreement (collectively, the
“Statutory Financial Statements”), have been prepared in accordance with SAP applied on a consistent basis (except as noted therein). Each such Statutory Financial Statement was in material compliance with applicable law when filed.

 5.6 Material Adverse Change. Other than as disclosed in any SEC Report filed prior to November 19, 2012, since
December 31, 2011 there has been no change in the business, Property, condition (financial or otherwise), prospects or results of operations of the Borrower and its Subsidiaries which could reasonably be expected to have a Material Adverse
Effect. 
 5.7 Taxes. The Borrower and its Subsidiaries have filed all United States federal tax returns and all other
tax returns which are required to be filed and have paid all taxes due pursuant to said returns or pursuant to any assessment received by the Borrower or any of its Subsidiaries, except such taxes, if any, as are being contested in good faith and as
to which adequate reserves have been provided in accordance with Agreement Accounting Principles and as to which no Lien exists. No tax liens have been filed and no claims are being asserted with respect to any such taxes. The charges, accruals and
reserves on the books of the Borrower and its Subsidiaries in respect of any taxes or other governmental charges are adequate. 

  
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 5.8 Litigation and Contingent Obligations. There is no litigation, arbitration,
governmental investigation, proceeding or inquiry pending or, to the knowledge of any of their officers, threatened against or affecting the Borrower or any of its Subsidiaries which could reasonably be expected to have a Material Adverse Effect or
which seeks to prevent, enjoin or delay the issuance of any Letter of Credit. Other than any liability incident to any litigation, arbitration or proceeding which could not reasonably be expected to have a Material Adverse Effect, the Borrower has
no material contingent obligations not provided for or disclosed in the SEC Reports or in the financial statements referred to in Section 5.4. 
 5.9 Subsidiaries. Schedule 5.9 contains an accurate list of all Subsidiaries of the Borrower as of the date of this Agreement, setting forth their respective jurisdictions of
organization and the percentage of their respective capital stock or other ownership interests owned by the Borrower or other Subsidiaries and indicating which Subsidiaries are Significant Subsidiaries and which Subsidiaries are Insurance
Subsidiaries. All of the issued and outstanding shares of capital stock or other ownership interests of such Subsidiaries have been (to the extent such concepts are relevant with respect to such ownership interests) duly authorized and issued and
are fully paid and non-assessable. 
 5.10 ERISA. The Unfunded Liabilities of all Single Employer Plans is $0 except that
funding of any money purchase pension plan may be delayed each Fiscal Year until the end of the first Fiscal Quarter of the following year. Neither the Borrower nor any other member of the Controlled Group has incurred, or is reasonably expected to
incur, any withdrawal liability to any Multiemployer Plan. Each Plan complies in all material respects with all applicable requirements of law and regulations, no Reportable Event has occurred with respect to any Plan, neither the Borrower nor any
other member of the Controlled Group has withdrawn from any Plan or initiated steps to do so, and no steps have been taken to reorganize or terminate any Plan. There are no pending or, to the best knowledge of the Borrower, threatened claims,
actions or lawsuits, or action by any Government Authority, with respect to any Plan that could reasonably be expected to have a Material Adverse Effect. 
 5.11 Defaults. No Default or Unmatured Default has occurred and is continuing. 
 5.12 Accuracy of Information. No information, exhibit or report furnished by the Borrower or any of its Subsidiaries to the Administrative Agent or to any Lender in connection with the negotiation
of, or compliance with, the Facility Documents contained any material misstatement of fact or omitted to state a material fact or any fact necessary to make the statements contained therein not misleading. 

5.13 Regulation U. Margin Stock (as defined in Regulation U) constitutes less than 25% of the value of those assets of the
Borrower and its Subsidiaries which are subject to any limitation on sale, pledge, or other restriction hereunder. Neither the issuance of any Letters of Credit hereunder nor the use of the proceeds thereof, will violate or be inconsistent with the
provisions of Regulation T, Regulation U or Regulation X. 

  
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 5.14 Material Agreements. Neither the Borrower nor any Subsidiary is a party to any
agreement or instrument or subject to any charter or other corporate restriction which could reasonably be expected to have a Material Adverse Effect. Neither the Borrower nor any Subsidiary is in default in the performance, observance or
fulfillment of any of the obligations, covenants or conditions contained in (a) any agreement to which it is a party which default could reasonably be expected to have a Material Adverse Effect or (b) any agreement or instrument evidencing
or governing Indebtedness. 
 5.15 Compliance With Laws. The Borrower and its Subsidiaries have complied with all
applicable statutes, rules, regulations, orders and restrictions of any domestic or foreign government or any instrumentality or agency thereof having jurisdiction over the conduct of their respective businesses or the ownership of their respective
Property, except where the failure to comply could not reasonably be expected to have a Material Adverse Effect. 
 5.16
Ownership of Properties. The Borrower and each of its Subsidiaries has good title, free of all Liens other than those permitted by Section 6.16, to all of the Property and assets reflected in the Borrower’s most recent
consolidated financial statements filed with the Securities and Exchange Commission as owned by the Borrower and its Subsidiaries. 
 5.17 Plan Assets; Prohibited Transactions. The Borrower is not an entity deemed to hold “plan assets” within the meaning of 29 C.F.R. § 2510.3-101 of an employee benefit plan (as
defined in Section 3(3) of ERISA) which is subject to Title I of ERISA or any plan (within the meaning of Section 4975 of the Code), and neither the execution of this Agreement nor the issuance of Letters of Credit hereunder gives rise to
a prohibited transaction within the meaning of Section 406 of ERISA or Section 4975 of the Code. 
 5.18
Environmental Matters. In the ordinary course of its business, the officers of the Borrower consider the effect of Environmental Laws on the business of the Borrower and its Subsidiaries, in the course of which they identify and evaluate
potential risks and liabilities accruing to the Borrower due to Environmental Laws. On the basis of this consideration, the Borrower has concluded that Environmental Laws cannot reasonably be expected to have a Material Adverse Effect. Neither the
Borrower nor any Subsidiary has received any notice to the effect that its operations are not in material compliance with any of the requirements of applicable Environmental Laws or are the subject of any federal or state investigation evaluating
whether any remedial action is needed to respond to a release of any toxic or hazardous waste or substance into the environment, which non-compliance or remedial action could reasonably be expected to have a Material Adverse Effect. 

5.19 Investment Company Act. Neither the Borrower nor any Subsidiary is an “investment company” or a company
“controlled” by an “investment company”, within the meaning of the Investment Company Act of 1940, as amended. 

  
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 5.20 Solvency. Immediately after the consummation of the transactions to occur on the
date hereof and immediately following each issuance of a Letter of Credit (including the Existing Letters of Credit) hereunder on the date hereof and after giving effect to the application of the proceeds of such Letters of Credit, (a) the fair
value of the assets of the Borrower and its Subsidiaries on a consolidated basis, at a fair valuation, will exceed the debts and liabilities, subordinated, contingent or otherwise, of the Borrower and its Subsidiaries on a consolidated basis,
(b) the present fair saleable value of the Property of the Borrower and its Subsidiaries on a consolidated basis will be greater than the amount that will be required to pay the probable liability of the Borrower and its Subsidiaries on a
consolidated basis on their debts and other liabilities, subordinated, contingent or otherwise, as such debts and other liabilities become absolute and matured, (c) the Borrower and its Subsidiaries on a consolidated basis will be able to pay
their debts and liabilities, subordinated, contingent or otherwise, as such debts and liabilities become absolute and matured and (d) the Borrower and its Subsidiaries on a consolidated basis will not have unreasonably small capital with which
to conduct the businesses in which they are engaged as such businesses are now conducted and are proposed to be conducted after the date hereof. 
 5.21 Insurance Licenses. To the extent required by applicable law, each Insurance Subsidiary holds a License and is authorized to transact insurance business in (i) the line or lines of
insurance and (ii) the state, states or jurisdictions it is engaged in, except to the extent that the failure to have such a License or authority could not reasonably be expected to have a Material Adverse Effect. No such License, the loss of
which could reasonably be expected to have a Material Adverse Effect, is the subject of a proceeding for suspension, limitation or revocation. To the Borrower’s knowledge, there is not a sustainable basis for such suspension, limitation or
revocation, and no such suspension, limitation or revocation has been threatened by any Governmental Authority. The Insurance Subsidiaries do not transact any business, directly or indirectly, requiring any license, permit, governmental approval,
consent or other authorization other than those currently obtained, except to the extent of which could not reasonably be expected to have a Material Adverse Effect. 
 5.22 Partnerships. Except as disclosed in Schedule 5.22, neither the Borrower nor any of its Subsidiaries is a partner of any partnership. 

5.23 Lines of Business. Schedule 5.23 sets forth a complete statement of each material line of business conducted as
of the date hereof by the Borrower and each of its Subsidiaries (the “Existing Lines of Business”). 
 5.24
Reinsurance Practices. The business of each Insurance Subsidiary is being conducted in all material respects in accordance with the Reinsurance Guidelines. 
 5.25 Security. Each Security Document is effective to create and give the Administrative Agent, for the benefit of the Secured Parties, as security for the repayment of the obligations secured
thereby, a legal, valid, perfected and enforceable first priority Lien upon and security interest in the Collateral in which a security interest is granted thereby except for the Permitted Liens (as defined in the Security Agreement) and except that
approval of the New York Insurance Department and/or one or more other state insurance departments would be required in order for the Lenders to acquire control of Navigators or NSIC. 

  
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 5.26 Disclosure. None of the (a) information, exhibits or reports furnished or
to be furnished by the Borrower or any Subsidiary to the Administrative Agent or to any Lender in connection with the negotiation of the Facility Documents or (b) representations or warranties of the Borrower or any Subsidiary contained in this
Agreement, the other Facility Documents or any other document, certificate or written statement furnished to the Administrative Agent or the Lenders by or on behalf of the Borrower or any Subsidiary for use in connection with the transactions
contemplated by this Agreement or the Facility Documents contained, contains or will contain any untrue statement of a material fact or omitted, omits or will omit to state a material fact necessary in order to make the statements contained herein
or therein not misleading in light of the circumstances in which the same were made. There is no fact known to the Borrower (other than matters of a general economic nature) that has had or could reasonably be expected to have a Material Adverse
Effect and that has not been disclosed herein or in such other documents, certificates and statements furnished to the Lenders for use in connection with the transactions contemplated by this Agreement. 

ARTICLE VI 

COVENANTS 
 Until the date that no Letters of Credit are outstanding and all Letter of Credit Obligations have been indefeasibly paid in full, unless the Lenders shall otherwise consent in writing: 

6.1 Financial Reporting. The Borrower will maintain, for itself and each Subsidiary, a system of accounting established and
administered in accordance with generally accepted accounting principles, consistently applied, and will furnish to the Lenders: 
 (a) As soon as practicable and in any event within seventy (70) days after the close of each of its Fiscal Years, an unqualified audit report certified by independent certified public accountants
acceptable to the Required Lenders, prepared in accordance with Agreement Accounting Principles on a consolidated and consolidating basis and setting forth in comparative form figures for the preceding Fiscal Year for itself and its Consolidated
Subsidiaries and on a stand alone basis for the Borrower, including balance sheets as of the end of such period and related statements of income, stockholders’ equity and cash flows accompanied by any management letter prepared by said
accountants; provided that no annual report other than the report on Form 10-K needs to be delivered. 
 (b) As
soon as practicable and in any event within fifty (50) days after the close of the first three Fiscal Quarters of each of its Fiscal Years, for itself and its Subsidiaries, consolidated and consolidating unaudited balance sheets as at the close
of each such period and consolidated and consolidating statement of income, stockholders’ equity and cash flows for the period from the beginning of such Fiscal Year to the end of such quarter setting forth in each case in comparative form
figures for the corresponding period in the prior Fiscal Year, all prepared in accordance with Agreement Accounting Principles and in reasonable detail, and all signed by its chief financial officer. 

  
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 (c) As soon as available and in any event (i) within seventy
(70) days after the close of each Fiscal Year of each Insurance Subsidiary, the Annual Statement of such Insurance Subsidiary for such Fiscal Year as filed with the insurance commissioner (or similar authority) in such Insurance
Subsidiary’s state of domicile, together with the signature thereof of the chief financial officer of the Borrower stating that such Annual Statement presents the financial condition and results of operations of such Insurance Subsidiary in
accordance with SAP, (ii) on or prior to each June 1 after the close of each Fiscal Year of each Insurance Subsidiary, the opinion of a firm of certified public accountants reasonably satisfactory to the Required Lenders, who shall have
examined such Annual Statement and whose opinion shall not be qualified as to the scope of audit or as to the status of such Insurance Subsidiary as a going concern, and (iii) within one hundred twenty (120) days after the close of each
Fiscal Year of each Insurance Subsidiary, a written review of and opinion of an accounting or actuarial firm or internal actuary, as delivered to the Department, reasonably satisfactory to the Required Lenders on the methodology and assumptions used
to calculate the Loss Reserves of such Insurance Subsidiary at the end of such Fiscal Year (as shown on the Annual Statement of such Insurance Subsidiary prepared in accordance with SAP). 

(d) As soon as available and in any event on or prior to each May 1 after the close of each Fiscal Year of the
Insurance Subsidiaries, the Consolidated Annual Statement of the Insurance Subsidiaries for such Fiscal Year, prepared in accordance with SAP and filed with the New York Insurance Department. 

(e) As soon as available and in any event within fifty (50) days after the close of each of the first three Fiscal
Quarters in each Fiscal Year of each Insurance Subsidiary, quarterly financial statements of such Insurance Subsidiary (prepared in accordance with SAP) for such Fiscal Quarter and as filed with the insurance commissioner (or similar authority) in
such Insurance Subsidiary’s state of domicile, together with the signature thereon of the chief financial officer of the Borrower stating that such financial statements present the financial condition and results of operations of such Insurance
Subsidiary in accordance with SAP. 
 (f) As soon as practicable and in any event within ninety (90) days
after the close of each Fiscal Year of the Supported Syndicate, an unqualified audit report certified by independent certified public accountants acceptable to the Required Lenders, prepared in accordance with Agreement Accounting Principles setting
forth in comparative form figures for the preceding Fiscal Year for the Supported Syndicate, including balance sheets as of the end of such period and related statements of income and stockholders’ equity accompanied by any management letter
prepared by said accountants. 
 (g) As soon as practicable and in any event within one hundred and eighty
(180) days after the close of each Fiscal Year of each Corporate Members, an unqualified audit report certified by independent certified public accountants acceptable to the Required Lenders, prepared in accordance with Agreement Accounting
Principles setting forth in comparative form figures for the preceding Fiscal Year for such Corporate Member, including balance sheets as of the end of such period and related statements of income and stockholders’ equity accompanied by any
management letter prepared by said accountants. 

  
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 (h) As soon as available, but in any event within one hundred twenty
(120) days after the beginning of each Fiscal Year, a copy of the plan and forecast of the Borrower and its Subsidiaries for such Fiscal Year in the form customarily prepared by the Borrower. 

(i) Together with the financial statements required by clauses (a) and (b) above, a Compliance
Certificate signed by its chief financial officer showing the calculations necessary to determine compliance with this Agreement and stating that no Default or Unmatured Default exists, or if any Default or Unmatured Default exists, stating the
nature and status thereof and updating Schedule 5.9. 
 (j) As soon as possible and in any event within
ten (10) days after the Borrower knows that any Termination Event has occurred with respect to any Plan, a statement, signed by the chief financial officer of the Borrower, describing said Termination Event and the action which the Borrower
proposes to take with respect thereto. 
 (k) As soon as possible and in any event within ten (10) days
after receipt by the Borrower, a copy of (i) any notice or claim to the effect that the Borrower or any of its Subsidiaries is or may be liable to any Person as a result of the release by the Borrower, any of its Subsidiaries or any other
Person of any toxic or hazardous waste or substance into the environment, and (ii) any notice alleging any violation of any federal, state or local environmental, health or safety law or regulation by the Borrower or any of its Subsidiaries.

 (l) As soon as possible and in any event within ten (10) days after the Borrower learns thereof, notice
of the assertion or commencement of any claims, action, suit or proceeding against or affecting the Borrower or any Subsidiary which may reasonably be expected to have a Material Adverse Effect. 

(m) Promptly upon the furnishing thereof to the shareholders of the Borrower, copies of all financial statements, reports
and proxy statements so furnished; provided that no annual report other than the report on Form 10-K needs to be delivered. 
 (n) Promptly upon the filing thereof, copies of all registration statements and annual, quarterly, monthly or other regular reports which the Borrower or any of its Subsidiaries files with the Securities
and Exchange Commission. 
 (o) Promptly and in any event within ten (10) days after learning thereof,
notification of (i) any tax assessment, demand, notice of proposed deficiency or notice of deficiency received by the Borrower or any Consolidated Person or (ii) the filing of any tax Lien or commencement of any judicial proceeding by or
against any such Consolidated Person, if any such assessment, demand, notice, Lien or judicial proceeding relates to tax liabilities in excess of $2,500,000. 
 (p) Promptly, and in any event within five (5) days after (i) learning thereof, notification of any changes after the date hereof in the Borrower’s S&P Rating or Borrower’s
Moody’s Rating or in the A.M. Best Rating in respect of any Insurance Subsidiary and (ii) receipt thereof, copies of any ratings analysis by A.M. Best & Co. relating to any Insurance Subsidiary. 

  
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 (q) Copies of any actuarial certificates prepared with respect to any
Insurance Subsidiary, promptly after the receipt thereof, and not later than ninety (90) days after each Fiscal Year, an actuarial opinion with respect to each Insurance Subsidiary in form and substance reasonably satisfactory to the
Administrative Agent and the Required Lenders from an accounting or actuarial firm or internal actuary, as delivered to the Department, reasonably satisfactory to the Administrative Agent and the Required Lenders. 

(r) Promptly upon the filing thereof, copies of all filings and annual, quarterly, monthly or other regular reports which
the Borrower or any of its Subsidiaries files with the NAIC or any insurance commission or department or analogous Governmental Authority (including, without limitation, any filing made by the Borrower or any Subsidiary pursuant to any insurance
holding company act or related rules or regulations), but excluding routine or non-material filings with the NAIC, any insurance commissioner or department or analogous Governmental Authority. 

(s) In addition to the requirements of clause (c)(iii) above, as promptly as reasonably practicable following the
request of the Required Lenders, a report prepared by an accounting or actuarial firm or internal actuary, as delivered to the Department, reviewing the adequacy of Loss Reserves of each Insurance Subsidiary, which firm shall be provided access to
or copies of all reserve analyses and valuations relating to the insurance business of each Insurance Subsidiary in the possession of or available to the Borrower or its Subsidiaries; provided, that, in the event that the written review
required to be provided to the Lenders in respect of any Fiscal Year pursuant to clause (c)(iv) above is provided by an independent actuarial consulting firm reasonably satisfactory to the Administrative Agent, or a written review of an
independent actuarial consulting firm reasonably satisfactory to the Administrative Agent satisfying the requirements set forth in clause (c)(iv) is otherwise delivered to the Lenders at any time other than pursuant to such clause, then the
Required Lenders may not request a report pursuant to this clause (q) until one year after the delivery date of such report unless, at the time of such request, a Default is in existence. 

(t) If a Collateralization Event has occurred, (i) as soon as available, but in any event within 10 days after the
end of each calendar month of each fiscal year (x) a report listing the Eligible Collateral and (y) a Borrowing Base Certificate executed by a Authorized Officer. For purposes of such report and of completing the Borrowing Base Certificate
required under this Section 6.1(r), Eligible Collateral shall be valued based on the Fair Market Value as at the last Business Day of the calendar month for which such report or Borrowing Base Certificate is being delivered and
(ii) promptly, at the request of the Administrative Agent, a Borrowing Base Certificate for any given Business Day executed by a Authorized Officer. 
 (u) As soon as possible and in any event within five (5) days of delivery to Lloyds, the Franchise Performance Management Quarterly Monitoring Reports for the Supported Syndicate. 

  
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 (v) As soon as possible and in any event within five (5) days of
receipt from Lloyds, copies of the annual solvency statements prepared by Lloyd’s for the Supported Syndicate. 
 (w) As soon as possible and in any event within five (5) days of delivery to Lloyds, the Syndicate Business Forecast of the Supported Syndicate which for the avoidance of doubt shall included full
RDS details and a syndicate reinsurance summary. 
 (x) As soon as possible and in any event within thirty
(30) days of receipt from Lloyds, a summary of any material change in Lloyd’s RDS definitions or reporting requirements as well as the impact that such changes may have on the calculations provided pursuant to
Section 4.1(a)(viii) and compliance with the covenant set forth in Section 6.23(e). 

(y) As soon as possible and in any event within five (5) days of deliver of the same to Lloyd’s or any other
insurance regulator or Governmental Authority, all other ad hoc or exceptional financial reports provided by the Supported Syndicate or the Borrower. 
 6.2 Purpose. Letters of Credit will be issued to provide Funds at Lloyd’s to support underwriting capacity provided by the Corporate Members to the Supported Syndicate for the 2013 and 2014
underwriting years of account (and prior open years). 
 6.3 Notice of Default. The Borrower will, promptly after
becoming aware of the occurrence of any of the following, give notice in writing to the Lenders of the occurrence of (a) any Default or Unmatured Default, (b) the existence of an NSF Deficiency, (c) of any other event or development,
financial or otherwise which could reasonably be expected to have a Material Adverse Effect, (d) the receipt of any notice from any Governmental Authority or Lloyd’s of the expiration without renewal, revocation or suspension of, or the
institution of any proceedings to revoke or suspend, any License now or hereafter held by any Insurance Subsidiary which is required to conduct insurance business in compliance with all applicable laws and regulations and the expiration, revocation
or suspension of which could reasonably be expected to have a Material Adverse Effect, (e) the receipt of any notice from any Governmental Authority or Lloyd’s of the institution of any disciplinary proceedings against or in respect of any
Insurance Subsidiary, or the issuance of any order, the taking of any action or any request for an extraordinary audit for cause by any Governmental Authority which, if adversely determined, could reasonably be expected to have a Material Adverse
Effect, (f) any material judicial or administrative order limiting or controlling the business of any Subsidiary (and not the industry in which such Subsidiary is engaged generally) which has been issued or adopted or (g) the commencement
of any litigation which could reasonably be expected to result in a Material Adverse Effect. 

  
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 6.4 Conduct of Business. The Borrower will, and will cause each Subsidiary to,
(a) carry on and conduct its business only in the Existing Lines of Business or in other lines of the insurance business or in activities reasonably incidental to the insurance business, (b) do all things necessary to remain duly
incorporated or organized, validly existing and (to the extent such concept applies to such entity) in good standing in its jurisdiction of incorporation and its jurisdiction of incorporation or organization, as the case may be, and maintain all
requisite authority to conduct its business in each other jurisdiction in which such qualification is required and (c) do all things necessary to renew, extend and continue in effect all Licenses material to its business which may at any time
and from time to time be necessary for any Insurance Subsidiary to operate its business in compliance with all applicable laws and regulations. No Insurance Subsidiary shall change its state of domicile or incorporation without the prior written
consent of the Required Lenders. The Borrower will not become an entity deemed to hold “plan assets” within the meaning of 29 C.F.R. § 2510.3-101 of an employee benefit plan (as defined in Section 3(3) of ERISA) which is subject
to Title I of ERISA or any plan (within the meaning of Section 4975 of the Code). 
 6.5 Taxes. The Borrower will,
and will cause each Subsidiary to, timely file United States federal and applicable foreign, state and local tax returns required by applicable law complete and correct in all material respects and pay when due all material taxes, assessments and
governmental charges and levies upon it or its income, profits or Property, except those which are being contested in good faith by appropriate proceedings and with respect to which adequate reserves have been set aside in accordance with Agreement
Accounting Principles and SAP, as applicable. 
 6.6 Insurance. The Borrower will, and will cause each Subsidiary to,
maintain with financially sound and reputable insurance companies insurance on all their Property in such amounts and covering such risks as is consistent with sound business practice, and the Borrower will furnish to the Administrative Agent and
any Lender upon request full information as to the insurance carried. 
 6.7 Compliance with Laws. The Borrower will, and
will cause each Subsidiary to, comply with all laws, rules, regulations, orders, writs, judgments, injunctions, decrees or awards to which it may be subject, including, without limitation, all Environmental Laws, the noncompliance with which could
reasonably be expected to have a Material Adverse Effect. 
 6.8 Maintenance of Properties. The Borrower will, and will
cause each Subsidiary to, do all things necessary to maintain, preserve, protect and keep its Property in good repair, working order and condition, and make all necessary and proper repairs, renewals and replacements so that its business carried on
in connection therewith may be properly conducted at all times in all material respects. 
 6.9 Inspection; Maintenance of
Books and Records. The Borrower will, and will cause each Subsidiary to, permit the Administrative Agent and the Lenders, by their respective representatives and agents, to inspect any of the Property, books and financial records of the Borrower
and each Subsidiary, to examine and make copies of the books of accounts and other financial records of the Borrower and each Subsidiary, and to discuss the affairs, finances and accounts of the Borrower and each Subsidiary with, and to be advised
as to the same by, their respective officers at such reasonable times and intervals, during normal business hours and upon reasonable prior notice to the Borrower, as the Administrative Agent or any Lender may designate. The Borrower will keep or
cause to be kept, and cause each Subsidiary to keep or cause to be kept, appropriate records and books of account in which complete entries are to be made reflecting its and their business and financial transactions, such entries to be made in
accordance with Agreement Accounting Principles and SAP, as applicable, consistently applied. 

  
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 6.10 Dividends and Stock Repurchases. The Borrower will not, nor will it permit any
Subsidiary to, declare or pay any dividends or make any distributions on its capital stock (other than dividends payable in its own capital stock) or redeem, repurchase or otherwise acquire or retire any of its capital stock or any options or other
rights in respect thereof at any time outstanding, except that (a) any Subsidiary may declare and pay dividends or make distributions to the Borrower or to a Wholly-Owned Subsidiary of the Borrower and (b) the Borrower may repurchase
capital stock and may pay dividends provided after giving effect thereto (i) Borrower would be in pro forma compliance with the terms of this Agreement and (ii) no Default shall have occurred. 

6.11 Indebtedness. The Borrower will not, nor will it permit any Subsidiary to, create, incur or suffer to exist any Indebtedness,
except: 
 (a) the Obligations; 

(b) up to $125,000,000 Indebtedness of the Borrower issued pursuant to a senior indenture between the Borrower and
JPMorgan Chase Bank, N.A., as trustee, dated April 17, 2006; 
 (c) guaranties permitted under
Section 6.15; 
 (d) capital leases in amounts not in excess of $2,500,000 at any time outstanding;

 (e) other Indebtedness, in addition to the Indebtedness listed above, in an aggregate amount not at any time
exceeding $50,000,000; provided that such other Indebtedness shall (a) have a maturity date after the Letter of Credit Availability Termination Date and (b) be pari passu or subordinated to the Obligations; 

(f) other Indebtedness, in addition to the Indebtedness listed above, in an aggregate amount not at any time exceeding
$10,000,000; and 
 (g) up to $10,000,000 of Indebtedness of Navigators Insurance Company issued pursuant to that
certain Facility Letter dated February 22, 2012 with respect to an uncommitted bail bond facility extended by ING Bank N.V., London Branch. 
 6.12 Merger. The Borrower will not, nor will it permit any Subsidiary to, merge or consolidate with or into any Person, except that (a) a Subsidiary may merge into the Borrower or any
Wholly-Owned Subsidiary and (b) the Borrower may merge with or consolidate with any Person, provided that (i) the Borrower is the surviving entity, (ii) no Default or Unmatured Default has occurred or will occur as a result of
such merger or consolidation and (iii) the Administrative Agent has received a certificate from the Borrower showing that the Borrower would be in pro forma compliance with the terms of this Agreement after giving effect to such merger or
consolidation. 

  
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 6.13 Sale of Assets. The Borrower will not, nor will it permit any Subsidiary to,
lease, sell, transfer or otherwise dispose of its Property, to any other Person except: 
 (a) sales of inventory
in the ordinary course of business; and 
 (b) leases, sales, transfers or other dispositions of its Property
that, together with all other Property of the Borrower and its Subsidiaries previously leased, sold or disposed of (other than inventory or Investments (other than Investments in Subsidiaries) sold in the ordinary course of business) as permitted by
this Section 6.13 since the Amendment Effective Date, do not constitute a Substantial Portion of the Property of the Borrower and its Subsidiaries. 
 6.14 Investments and Acquisitions. The Borrower will not, nor will it permit any Subsidiary to, make or suffer to exist any Investment (including, without limitation, loans and advances to, and
other Investments in, Subsidiaries), or commitments therefor, or to create any Subsidiary or to become or remain a partner in any partnership or joint venture, or to make any Acquisitions, except: 

(a) Cash Equivalent Investments; 
 (b) Investments in debt securities rated A- or better by S&P, A3 or better by Moody’s or NAIC-1 or better by the NAIC; 

(c) existing Investments in Subsidiaries and other Investments in existence on the Amendment Effective Date; 

(d) Investments in debt securities rated less than A- by S&P, A3 by Moody’s or NAIC-1 by the NAIC but BBB- or
better by S&P, Baa3 or better by Moody’s or NAIC-2 or better by the NAIC; provided, that all such Investments under this clause (d) do not exceed, in the aggregate at any one time outstanding, ten percent (10%) of the
combined Investments of the Borrower and its Subsidiaries; provided, further, that if any such Investment ceases to meet such ratings requirements, then such Investment shall be permitted hereby for a period of one hundred and eighty
(180) days after the date on which such ratings requirement is no longer satisfied; 
 (e) Investments in
debt securities not satisfying any of the standards, including the percentage limitations, set forth in clauses (b) or (d) above in an aggregate amount not exceeding 5% of Consolidated Net Worth of the Borrower and its
Consolidated Subsidiaries; 
 (f) Investments by the Borrower (not including Investments in Subsidiaries) in
equity securities in an aggregate amount not to exceed 20% of the Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries; provided that no single Investment in equity securities shall be in an amount in excess of 5% of the
Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries; 

  
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 (g) other Investments after the Amendment Effective Date in an aggregate
amount not to exceed 5% of Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries; 
 (h)
Acquisitions in an aggregate amount not to exceed 5% of Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries in any Fiscal Year; and 
 (i) Investments by Navigators in Wholly-Owned Subsidiaries of Navigators (including new Wholly-Owned Subsidiaries of Navigators); 
 provided that the Borrower will not, and will not permit any Subsidiary to, make any Investments not in conformity with its then applicable investment guidelines. 

6.15 Contingent Obligations. The Borrower will not, nor will it permit any Subsidiary to, make or suffer to exist any Contingent
Obligation (including, without limitation, any Contingent Obligation with respect to the obligations of a Subsidiary), except (a) by endorsement of instruments for deposit or collection in the ordinary course of business, (b) Contingent
Obligations in respect of Letters of Credit, (c) obligations with respect to letters of credit not issued pursuant to this Agreement with MUL or NCUL as applicant so long as none of the Borrower or its Subsidiaries is a co-applicant with
respect thereto or otherwise guaranties such obligations, and (d) Contingent Obligations with respect to letters of credit issued in the ordinary course of certain Wholly-Owned Subsidiaries with respect to marine insurance policies issued
thereby; provided, however, that the Borrower or any of its Wholly-Owned Subsidiaries may guarantee (i) the obligations of any Person that is its or its Subsidiary’s employee so long as the aggregate amount of all such
guaranteed obligations, taken together with the aggregate amount of any and all loans to such Persons by the Borrower in accordance with Section 6.14 outstanding at any time do not in the aggregate exceed $500,000 and (ii) the
obligations of any Wholly-Owned Subsidiary under office space leases for space used by such Wholly-Owned Subsidiary. 
 6.16
Liens. The Borrower will not, nor will it permit any Subsidiary to, create, incur, or suffer to exist any Lien in, of or on the Property of the Borrower or any of its Subsidiaries, except: 

(a) Liens for taxes, assessments or governmental charges or levies on its Property if the same shall not at the time be
delinquent or thereafter can be paid without penalty, or are being contested in good faith and by appropriate proceedings and for which adequate reserves in accordance with Agreement Accounting Principles shall have been set aside on its books;

 (b) Liens imposed by law, such as carriers’, warehousemen’s and mechanics’ Liens and other
similar Liens arising in the ordinary course of business which secure the payment of obligations not more than sixty (60) days past due or which are being contested in good faith by appropriate proceedings and for which adequate reserves shall
have been set aside on its books; 

  
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 (c) Liens arising out of pledges or deposits under worker’s
compensation laws, unemployment insurance, old age pensions, or other social security or retirement benefits, or similar legislation; 
 (d) Utility easements, building restrictions and such other encumbrances or charges against real property as are of a nature generally existing with respect to properties of a similar character and which
do not in any material way affect the marketability of the same or interfere with the use thereof in the business of the Borrower or its Subsidiaries; 
 (e) Liens existing on the Amendment Effective Date and described in Schedule 6.16 hereto; 
 (f) Liens in favor of the Administrative Agent, for the benefit of the Secured Parties, granted pursuant to the Security Documents; 

(g) Deposits of cash or securities with or on behalf of state insurance departments reflected in the Insurance
Subsidiaries’ Statutory Financial Statements; 
 (h) Deposits of cash or securities by the Borrower with
Lloyd’s; 
 (i) Liens on assets subject to capital leases permitted under Section 6.11(d); and

 (j) Liens, in addition to the Liens listed above, securing Indebtedness in an aggregate amount at any time not
exceeding $10,000,000. 
 6.17 Affiliates. The Borrower will not, and will not permit any Subsidiary to, enter into any
transaction (including, without limitation, the purchase or sale of any Property or service) with, or make any payment or transfer to (other than dividends and stock repurchases permitted under Section 6.10), any Affiliate except in the
ordinary course of business and pursuant to the reasonable requirements of the Borrower’s or such Subsidiary’s business and upon fair and reasonable terms no less favorable to the Borrower or such Subsidiary than the Borrower or such
Subsidiary would obtain in a comparable arms-length transaction. 
 6.18 Amendments to Agreements. The Borrower will not,
and will not permit any Subsidiary to, amend, waive, modify or terminate any of its constituent documents in any manner that could be expected to have a negative effect in any material respect on the Secured Parties. 

6.19 Change in Fiscal Year. The Borrower shall not, nor shall it permit any Subsidiary to, change its Fiscal Year to end on any
date other than December 31 of each year. 
 6.20 Inconsistent Agreements. The Borrower shall not, nor shall it
permit any Subsidiary to, enter into any indenture, agreement, instrument or other arrangement which, (a) directly or indirectly prohibits or restrains, or has the effect of prohibiting or restraining, or imposes materially adverse conditions
upon, the incurrence of the Obligations, the granting of Liens to secure the Obligations, the amending of the Facility Documents or the ability of any Subsidiary to (i) pay dividends or make other distributions on its capital stock,
(ii) make loans or advances to the Borrower or (iii) repay loans or advances from the Borrower or (b) contains any provision which would be violated or breached by the issuance of Letters of Credit or by the performance by the
Borrower or any Subsidiary of any of its Obligations under any Facility Document. 

  
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 6.21 Reinsurance. (a) The Borrower shall cause each Insurance Subsidiary to
maintain reinsurance protection with respect to each individual insurance policy written by such Insurance Subsidiary which reinsurance protection, in the event of a loss, limits the net loss of such Insurance Subsidiary under such insurance policy
to 2.5% or less of the Statutory Surplus of such Insurance Subsidiary. For purposes of this Section 6.21(a), the term “net loss” shall mean the loss and loss adjustment expenses incurred by the Insurance Subsidiary under an
insurance policy net of any amounts recoverable or recovered from reinsurers with respect to such loss and loss adjustment expenses without regard to any reinstatement premiums paid or payable to such reinsurer. 

(b) The Borrower shall not cause or permit an Insurance Subsidiary to enter into or maintain, as a cedent, reinsurance
agreements or retrocession agreements with any Person other than an Approved Reinsurer; provided, however, that the foregoing shall not require an Insurance Subsidiary to terminate a reinsurance agreement or retrocession agreement if
such Person ceases to be an Approved Reinsurer due to a downgrade by The A.M. Best Company, Inc. or S&P and such reinsurance or retrocession agreement cannot be replaced on commercially reasonable terms. 

(c) The Borrower shall not cause or permit an Insurance Subsidiary to enter into or maintain, as a cedent, reinsurance
agreements or retrocession agreements with any Person which do not comply with the guidelines for reinsurance by Insurance Subsidiaries set forth on Schedule 6.21 hereto, as amended with the consent of the Lenders (the
“Reinsurance Guidelines”); provided, however, that the foregoing shall not require an Insurance Subsidiary to terminate a reinsurance agreement or retrocession agreement if such Person ceases to be an Approved
Reinsurer due to a downgrade by The A.M. Best Company, Inc. or S&P and such reinsurance or retrocession agreement cannot be replaced on commercially reasonable terms. 
 6.22 Stock of Subsidiaries. The Borrower shall not sell or otherwise dispose of (including the granting of any security interest in) any shares of capital stock of any Subsidiary other than
pursuant to the Security Agreement, or permit any Subsidiary to issue additional shares of its capital stock, except the minimum number of directors’ qualifying shares required by applicable law. 

6.23 Financial Covenants. 
 (a) Minimum Consolidated Tangible Net Worth. The Borrower will at all times maintain Consolidated Tangible Net Worth of not less than $625,344,000. 

  
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 (b) Minimum Statutory Surplus. The Borrower will at all times cause
Navigators Insurance Subsidiaries to maintain an aggregate Statutory Surplus of not less than $529,729,600. 

(c) Leverage Ratio. The Borrower will not permit the Leverage Ratio to exceed 0.30 to 1.0 at any time. 

(d) Minimum Risk-Based Capital. The Borrower will at all times cause each Significant Insurance Subsidiary to
maintain a ratio of (a) Total Adjusted Capital (as defined in the Risk-Based Capital Act or in the rules and procedures prescribed from time to time by the NAIC with respect thereto) to (b) the Company Action Level RBC (as defined in the
Risk-Based Capital Act or in the rules and procedures prescribed from time to time by the NAIC with respect thereto) of at least 150%. 
 (e) Adjusted Primary FAL. Adjusted Primary FAL shall not be less than 40% of the Letter of Credit Obligations at any time. 

(f) RDS. The net loss on the Supported Syndicate from any Lloyd’s prescribed RDS shall not at any time exceed
20% of the total Supported Syndicate capacity for any Year of Account.` 
 6.24 Additional Pledge. Effective upon any
Person becoming a Significant Subsidiary, the parent thereof shall pledge the stock or other equity interests thereof to the Administrative Agent for the benefit of the Secured Parties pursuant to documentation reasonably acceptable to the
Administrative Agent provided that no pledge of the stock of NSIC shall be required so long as NSIC is not a direct Subsidiary of the Borrower. 
 6.25 Primary FAL. Subject to the duties of Lloyd’s as trustee of all such Funds at Lloyd’s and to any conditions and requirements prescribed under the Membership Byelaw which are
applicable, the Borrower will cause the Corporate Members and the Managing Agent to use their best efforts to cause the Primary FAL of the Supported Syndicate to be applied to its obligations and only after such Primary FAL has been exhausted, to
draw under the Letters of Credit. 
 ARTICLE VII 
 DEFAULTS 
 The occurrence of any one or more of the following events
shall constitute a Default: 
 7.1 Any representation or warranty made or deemed made by or on behalf of the Borrower or any of
its Subsidiaries to the Lenders or the Administrative Agent under or in connection with this Agreement, any other Facility Document, any Letter of Credit or any certificate or information delivered in connection with this Agreement or any other
Facility Document shall be false in any material respect on the date as of which made or deemed made. 

  
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 7.2 Nonpayment of (a) any principal of any Reimbursement Obligation when due, or
(b) any interest, Unused Fee, Letter of Credit Fee or other fee or obligations under any of the Facility Documents within five (5) days after written notice from the Administrative Agent or any Lender. 

7.3 The breach by the Borrower of any of the terms or provisions of Sections 2.8, 6.2, 6.3,
Sections 6.10 through 6.13, Sections 6.15 through 6.20 or Sections 6.22 through 6.23. 
 7.4 The breach by the Borrower (other than a breach which constitutes a Default under Sections 7.1, 7.2 or 7.3) of any of the terms or provisions of this Agreement which is not
remedied within thirty (30) days (or in the case of Section 6.14, ten (10) days) after the Borrower has knowledge thereof or written notice from the Administrative Agent or any Lender. 

7.5 Failure of the Borrower or any of its Subsidiaries to pay any Indebtedness aggregating in excess of $2,500,000 when due; or the
default by the Borrower or any of its Subsidiaries in the performance of any term, provision or condition contained in any agreement under which any such Indebtedness was created or is governed, or the occurrence of any other event or existence of
any other condition, the effect of any of which is to cause, or to permit the holder or holders of such Indebtedness to cause, such Indebtedness to become due prior to its stated maturity; or any such Indebtedness of the Borrower or any of its
Subsidiaries shall be declared to be due and payable or required to be prepaid (other than by a regularly scheduled payment) prior to the stated maturity thereof. 
 7.6 The Borrower or any of its Subsidiaries shall (a) have an order for relief entered with respect to it under the Federal bankruptcy laws as now or hereafter in effect, (b) make an assignment
for the benefit of creditors, (c) apply for, seek, consent to, or acquiesce in, the appointment of a receiver, custodian, trustee, examiner, liquidator or similar official for it or any Substantial Portion of its Property, (d) institute
any proceeding seeking an order for relief under the Federal bankruptcy laws as now or hereafter in effect or seeking to adjudicate it a bankrupt or insolvent, or seeking dissolution, winding up, liquidation, reorganization, arrangement, adjustment
or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors or fail to file an answer or other pleading denying the material allegations of any such proceeding filed against it,
(e) take any corporate action to authorize or effect any of the foregoing actions set forth in this Section 7.6, (f) fail to contest in good faith any appointment or proceeding described in Section 7.7 or
(g) become unable to pay, not pay, or admit in writing its inability to pay, its debts generally as they become due. 
 7.7
Without the application, approval or consent of the Borrower or any of its Subsidiaries, a receiver, trustee, examiner, liquidator or similar official shall be appointed for the Borrower or any of its Subsidiaries or any Substantial Portion of its
Property, or a proceeding described in Section 7.6(d) shall be instituted against the Borrower or any of its Subsidiaries and such appointment continues undischarged or such proceeding continues undismissed or unstayed for a period of
thirty (30) consecutive days. 
 7.8 Any court, government or governmental agency shall condemn, seize or otherwise
appropriate, or take custody or control of (each a “Condemnation”), all or any portion of the Property of the Borrower and its Subsidiaries which, when taken together with all other Property of the Borrower and its Subsidiaries so
condemned, seized, appropriated, or taken custody or control of, during the twelve-month period ending with the month in which any such Condemnation occurs, constitutes a Substantial Portion. 

  
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 7.9 The Borrower or any of its Subsidiaries shall fail within thirty (30) days to pay,
bond or otherwise discharge one or more (a) final, nonappealable judgments or orders for the payment of money in excess of $2,500,000 (or the equivalent thereof in currencies other than U.S. Dollars) in the aggregate, or (b) final,
nonappealable nonmonetary judgments or orders which, individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect, which judgment(s), in any such case, is/are not stayed on appeal or otherwise being appropriately
contested in good faith. 
 7.10 Any Reportable Event shall occur in connection with any Plan. 

7.11 The Borrower or any other member of the Controlled Group shall have been notified by the sponsor of a Multiemployer Plan that it has
incurred withdrawal liability to such Multiemployer Plan in an amount which, when aggregated with all other amounts required to be paid to Multiemployer Plans by the Borrower or any other member of the Controlled Group as withdrawal liability
(determined as of the date of such notification), exceeds $2,500,000. 
 7.12 The Borrower or any other member of the Controlled
Group shall have been notified by the sponsor of a Multiemployer Plan that such Multiemployer Plan is in reorganization or is being terminated, within the meaning of Title IV of ERISA, if as a result of such reorganization or termination the
aggregate annual contributions of the Borrower and the other members of the Controlled Group (taken as a whole) to all Multiemployer Plans which are then in reorganization or being terminated have been or will be increased over the amounts
contributed to such Multiemployer Plans for the respective plan years of each such Multiemployer Plan immediately preceding the plan year in which the reorganization or termination occurs by an amount exceeding $2,500,000. 

7.13 The Borrower or any of its Subsidiaries shall (a) be the subject to any proceeding or investigation pertaining to the release
by the Borrower, any of its Subsidiaries or any other Person of any toxic or hazardous waste or substance into the environment, or (b) violate any Environmental Law, which, in the case of an event described in clause (a) or (b), could
reasonably be expected to have a Material Adverse Effect. 
 7.14 Any Change in Control shall occur. 

7.15 The occurrence of any “default”, as defined in any Facility Document (other than this Agreement) or the breach of any of
the terms or provisions of any Facility Document (other than this Agreement), which default or breach continues beyond any period of grace therein provided. 
 7.16 There shall occur a change in the business, Property, condition (financial or otherwise) or results of operations of the Borrower and its Subsidiaries which has a Material Adverse Effect. 

7.17 The Borrower or any of its Subsidiaries incurs or becomes subject to action or threatened action of any Governmental Authority,
including, without limitation, a fine, penalty, cease and desist order or revocation, suspension or limitation of a License, the effect of which could reasonably be expected to have a Material Adverse Effect. 

  
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 7.18 Any Security Document shall for any reason fail to create a valid and perfected, first
priority security interest in any Collateral purported to be covered thereby, except as permitted by the terms of such Security Document, or any Facility Document, once executed, shall fail to remain in full force or effect or any action shall be
taken to discontinue or to assert the invalidity or unenforceability of any Facility Document. 
 7.19 Lloyd’s shall draw
under a Letter of Credit except as permitted by the terms of the Lloyd’s Comfort Letter or Lloyd’s shall advise that it will not abide by the terms of the Lloyd’s Comfort Letter. 

ARTICLE VIII 
 ACCELERATION, WAIVERS, AMENDMENTS AND REMEDIES 
 8.1
Acceleration. If any Default described in Section 7.6 or 7.7 occurs with respect to the Borrower, the obligations of the Letter of Credit Agent and the Lenders to issue or increase Letters of Credit hereunder shall
automatically terminate and the Obligations shall immediately become due and payable without any election or action on the part of the Letter of Credit Agent, the Administrative Agent or any Lender. If any other Default occurs, the Required Lenders
(or the Administrative Agent with the consent of the Required Lenders) may terminate or suspend the obligations of the Letter of Credit Agent and the Lenders to issue or increase Letters of Credit hereunder, or declare the Obligations to be due and
payable, or both, whereupon the Obligations shall become immediately due and payable, without presentment, demand, protest or notice of any kind, all of which the Borrower hereby expressly waives. In addition to the foregoing, following the
occurrence and during the continuance of a Default, so long as any Letter of Credit has not been fully drawn and has not been canceled or expired by its terms, upon demand by the Administrative Agent (which demand shall be made upon the request of
the Required Lenders), the Borrower shall deposit Collateral as required by Section 2.9(g). 
 If, within thirty (30) days
after acceleration of the maturity of the Obligations or termination of the obligations of the Letter of Credit Agent and the Lenders to issue and increase Letters of Credit hereunder as a result of any Default (other than any Default as described
in Section 7.6 or 7.7 with respect to the Borrower) and before any judgment or decree for the payment of the Obligations due shall have been obtained or entered, the Required Lenders (in their sole discretion) may direct the
Administrative Agent to rescind and annul such acceleration and/or termination. 
 8.2 Amendments. Subject to the
provisions of this Article VIII, the Required Lenders (or the Administrative Agent with the consent of the Required Lenders) and the Borrower may enter into agreements supplemental hereto for the purpose of adding or modifying any
provisions to the Facility Documents or changing in any manner the rights of the Lenders or the Borrower hereunder or waiving any Default hereunder; provided, however, that no such supplemental agreement shall, without the consent of
each Lender: 
 (a) Extend the final maturity of any Obligations or forgive all or any portion of the
Reimbursement Obligations, or reduce the rate or extend the time of payment of interest or fees (including without limitation Letter of Credit Fees) hereunder; 

  
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 (b) Reduce or modify the percentage specified in the definition of Required
Lenders; 
 (c) Reduce the amount of or extend the date for payment of Reimbursement Obligations under
Section 2.4, or increase the amount of the Commitment of any Lender hereunder; 
 (d) Extend the
Letter of Credit Availability Termination Date; permit any Letter of Credit to have an expiry date beyond four years after the Expiry Notice is issued; 
 (e) Permit any amendment of Section 8.4; 
 (f) Release
any guarantor of any Obligations or, except as provided in the Security Agreement, release any of the Collateral for the Obligations or decrease the amount of Collateral required under Sections 2.9 or 8.1; 

(g) Permit any assignment by the Borrower of its Obligations or its rights hereunder; or 

(h) Permit any amendment of the Reinsurance Guidelines; 
 provided, further, that no such supplemental agreement shall, without the consent of each Lender, amend this Section 8.2. No amendment of any provision of this Agreement relating
to the Administrative Agent or the Letter of Credit Agent shall be effective without the written consent of the Administrative Agent or the Letter of Credit Agent, as applicable. The Administrative Agent may waive payment of the fee required under
Section 12.3(b) without obtaining the consent of any other party to this Agreement. Notwithstanding anything to the contrary herein, no Defaulting Lender shall have any right to approve or disapprove any amendment, waiver or consent
hereunder, except that the Commitment of such Lender may not be increased or extended without the consent of such Lender. 
 8.3
Preservation of Rights. No delay or omission of the Lenders, the Letter of Credit Agent or the Administrative Agent to exercise any right under the Facility Documents shall impair such right or be construed to be a waiver of any Default or an
acquiescence therein, and the issuance of a Letter of Credit notwithstanding the existence of a Default or the inability of the Borrower to satisfy the conditions precedent to such Letter of Credit shall not constitute any waiver or acquiescence.
Any single or partial exercise of any such right shall not preclude other or further exercise thereof or the exercise of any other right, and no waiver, amendment or other variation of the terms, conditions or provisions of the Facility Documents
whatsoever shall be valid unless in writing signed by the Lenders required pursuant to Section 8.2, and then only to the extent in such writing specifically set forth. All remedies contained in the Facility Documents or by law afforded
shall be cumulative and all shall be available to the Administrative Agent and the Lenders until the Obligations have been paid in full. 

  
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 8.4 Application of Funds. After the occurrence of a Default, any amounts received on
account of the Obligations (including proceeds of Collateral) shall be applied by the Administrative Agent in the following order: 
 First, to payment of that portion of the Obligations constituting fees, indemnities, expenses and other amounts (including fees, charges and disbursements of counsel to the Administrative Agent and
amounts payable under Article III) payable to the Administrative Agent and the Letter of Credit Agent in its capacity as such; 
 Second, to payment of that portion of the Obligations constituting fees, indemnities and other amounts (other than Reimbursement Obligations, interest and Letter of Credit Fees) payable to the
Lenders (including fees, charges and disbursements of counsel to the respective Lenders (including, without duplication, fees and time charges for attorneys who may be employees of any Lender) and amounts payable under Article III), ratably
among them in proportion to the respective amounts described in this clause Second payable to them; 
 Third, to
payment of that portion of the Obligations constituting accrued and unpaid Letter of Credit Fees and interest on the Reimbursement Obligations and other Obligations, ratably among the Lenders in proportion to the respective amounts described in this
clause Third payable to them; 
 Fourth, to payment of that portion of the Obligations constituting unpaid
Reimbursement Obligations, ratably among the Lenders in proportion to the respective amounts described in this clause Fourth held by them; 
 Fifth, to the Administrative Agent for the account of the Lenders to be held as Collateral for that portion of the Letter of Credit Obligations comprised of the aggregate undrawn amount of Letters
of Credit; and 
 Last, the balance, if any, after all of the Obligations have been indefeasibly paid in full and the
Aggregate Commitment has been terminated, to the Borrower or as otherwise required by Law. 
 Amounts held as Collateral for the
aggregate undrawn amount of Letters of Credit pursuant to clause Fifth above shall be applied to satisfy drawings under such Letters of Credit as they occur. If any Collateral remains after all Letters of Credit have either been fully drawn
or expired, such remaining amount shall be applied to the other Obligations, if any, in the order set forth above. 
 ARTICLE
IX 
 GENERAL PROVISIONS 
 9.1 Survival of Representations. All representations and warranties of the Borrower contained in this Agreement or in any Facility Document shall survive the issuance of the Letters of Credit
herein contemplated. 

  
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 9.2 Governmental Regulation. Anything contained in this Agreement to the contrary
notwithstanding, no Lender shall be obligated to extend credit to the Borrower in violation of any limitation or prohibition provided by any applicable statute or regulation. 
 9.3 Headings. Section headings in the Facility Documents are for convenience of reference only, and shall not govern the interpretation of any of the provisions of the Facility Documents.

 9.4 Entire Agreement. The Facility Documents embody the entire agreement and understanding among the Borrower, the
Administrative Agent, and the Lenders and supersede all prior agreements and understandings among the Borrower, the Administrative Agent, and the Lenders relating to the subject matter thereof other than the fee letter dated November 21, 2012
in favor of ING Bank N.V., London Branch (the “Fee Letter”). 
 9.5 Numbers of Documents. All statements,
notices, closing documents, and requests hereunder shall be furnished to the Administrative Agent with sufficient counterparts so that the Administrative Agent may furnish one to each of the Lenders. 

9.6 Several Obligations; Benefits of this Agreement. The respective obligations of the Lenders hereunder are several and not joint
and no Lender shall be the partner or Administrative Agent of any other (except to the extent to which the Administrative Agent is authorized to act as such). The failure of any Lender to perform any of its obligations hereunder shall not relieve
any other Lender from any of its obligations hereunder. This Agreement shall not be construed so as to confer any right or benefit upon any Person other than the parties to this Agreement and their respective successors and assigns, provided,
however, that the parties hereto expressly agree that the Arranger shall enjoy the benefits of the provisions of Sections 9.7, 9.11 and 10.12 to the extent specifically set forth therein and shall have the right to
enforce such provisions on its own behalf and in its own name to the same extent as if it were a party to this Agreement. 
 9.7
Expenses; Indemnification. (a) The Borrower shall reimburse the Administrative Agent, the Security Trustee and the Arranger for any costs, internal charges and out-of-pocket expenses (including reasonable attorneys’ fees and time
charges of attorneys for the Administrative Agent) paid or incurred by the Administrative Agent, the Security Trustee or the Arranger in connection with the preparation, negotiation, execution, delivery, syndication, review, amendment, modification,
and administration of the Facility Documents. The Borrower also agrees to reimburse the Administrative Agent, the Security Trustee, the Arranger and the Lenders for any costs, internal charges and out-of-pocket expenses (including reasonable
attorneys’ fees and time charges of attorneys for the Administrative Agent, the Arranger and the Lenders), paid or incurred by the Administrative Agent, the Security Trustee, the Arranger or any Lender in connection with the investigation,
collection and enforcement of the Facility Documents. 

  
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 (b) The Borrower hereby further agrees to indemnify the Administrative
Agent, the Security Trustee, the Arranger, each Lender, each Affiliate of a Lender, and the directors, officers, partners and employees of any of the foregoing against all losses, claims, damages, penalties, judgments, liabilities and expenses
(including, without limitation, all expenses of litigation or preparation therefor whether or not the Administrative Agent, the Security Trustee, the Arranger or any Lender is a party thereto) which any of them may pay or incur arising out of or
relating to this Agreement, the other Facility Documents, the transactions contemplated hereby or the direct or indirect application or proposed application of the proceeds of any Letter of Credit hereunder except to the extent that they have
resulted from the gross negligence or willful misconduct of the party seeking indemnification. The obligations of the Borrower under this Section 9.7 shall survive the termination of this Agreement. 

9.8 Accounting. Except as provided to the contrary herein, all accounting terms used herein shall be interpreted and all
accounting determinations hereunder shall be made in accordance with Agreement Accounting Principles. In the event the pages, columns, lines or sections of the Annual Statement referenced herein are changed or renumbered, all such references shall
be deemed references to such page, column, line or section as so renumbered or changed. 
 9.9 Severability of
Provisions. Any provision in any Facility Document that is held to be inoperative, unenforceable, or invalid in any jurisdiction shall, as to that jurisdiction, be inoperative, unenforceable, or invalid without affecting the remaining provisions
in that jurisdiction or the operation, enforceability, or validity of that provision in any other jurisdiction, and to this end the provisions of all Facility Documents are declared to be severable. 

9.10 Nonliability of Lenders. The relationship between the Borrower on the one hand and the Lenders and the Administrative Agent
on the other hand shall be solely that of borrower and lender. Neither the Administrative Agent, the Arranger nor any Lender shall have any fiduciary responsibilities to the Borrower. Neither the Administrative Agent, the Arranger nor any Lender
undertakes any responsibility to the Borrower to review or inform the Borrower of any matter in connection with any phase of the Borrower’s business or operations. The Borrower agrees that neither the Administrative Agent, the Arranger nor any
Lender shall have liability to the Borrower (whether sounding in tort, contract or otherwise) for losses suffered by the Borrower in connection with, arising out of, or in any way related to, the transactions contemplated and the relationship
established by the Facility Documents, or any act, omission or event occurring in connection therewith, unless it is determined in a final non-appealable judgment by a court of competent jurisdiction that such losses resulted from the gross
negligence or willful misconduct of the party from which recovery is sought. Neither the Administrative Agent, the Arranger nor any Lender shall have any liability with respect to, and the Borrower hereby waives, releases and agrees not to sue for,
any special, indirect, punitive or consequential damages suffered by the Borrower in connection with, arising out of, or in any way related to the Facility Documents or the transactions contemplated thereby. 

9.11 Confidentiality. Each Lender agrees to hold any confidential information which it may receive from the Borrower pursuant to
this Agreement in confidence, except for disclosure (a) to its Affiliates and to other Lenders and their respective Affiliates, (b) to legal counsel, accountants, and other professional advisors to such Lender or to a Transferee,
(c) to regulatory officials, (d) to any Person as requested pursuant to or as required by law, regulation, or legal process, (e) to any Person in connection with any legal proceeding to which such Lender is a party, (f) to such
Lender’s direct or indirect contractual counterparties in swap agreements or to legal counsel, accountants and other professional advisors to such counterparties and (g) permitted by Section 12.4; provided, that any
recipient of such disclosure shall be advised by such Lender of the confidentiality requirements herein set forth. 

  
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 9.12 Nonreliance. Each Lender hereby represents that it is not relying on or looking
to any margin stock (as defined in Regulation U of the Board of Governors of the Federal Reserve System) for the repayment of the Obligations provided for herein. 
 9.13 Disclosure. The Borrower and each Lender hereby (a) acknowledge and agree that ING Bank N.V., London Branch and/or its Affiliates from time to time may hold other investments in, make
other loans to or have other relationships with the Borrower, and (b) waive any liability of ING Bank N.V., London Branch or such Affiliate to the Borrower or any Lender, respectively, arising out of or resulting from such investments, loans or
relationships other than liabilities arising out of the gross negligence or willful misconduct of ING Bank N.V., London Branch or its Affiliates. 
 9.14 USA Patriot Act Notification. Each Lender hereby notifies the Borrower that pursuant to the requirements of the USA Act (Title III of Pub. L. 107-56 (signed into law on October 26, 2001))
(the “Act”), it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and other information that will allow such Lender to identify the Borrower
in accordance with the Act. The Borrower agrees to cooperate with each Lender and provide true, accurate and complete information to such Lender in response to any such request. 

ARTICLE X 

THE AGENT 
 10.1 Appointment; Nature of Relationship. ING Bank N.V., London Branch is hereby appointed by each of the Lenders as Administrative Agent (herein referred to as the “Administrative
Agent”) hereunder and under each other Facility Document, and each of the Lenders irrevocably authorizes the Administrative Agent to act as the Administrative Agent of such Lender with the rights and duties expressly set forth herein and in
the other Facility Documents. The Administrative Agent agrees to act as such Administrative Agent upon the express conditions contained in this Article X. Notwithstanding the use of the defined term “Administrative Agent,” it is
expressly understood and agreed that the Administrative Agent shall not have any fiduciary responsibilities to any Lender by reason of this Agreement or any other Facility Document and that the Administrative Agent is merely acting as the
Administrative Agent of the Lenders with only those duties as are expressly set forth in this Agreement and the other Facility Documents. In its capacity as the Lenders’ Administrative Agent, the Administrative Agent (a) does not hereby
assume any fiduciary duties to any of the Lenders, (b) is a “representative” of the Lenders within the meaning of Section 9-105 of the Uniform Commercial Code and (c) is acting as an independent contractor, the rights and
duties of which are limited to those expressly set forth in this Agreement and the other Facility Documents. Each of the Lenders hereby agrees to assert no claim against the Administrative Agent on any agency theory or any other theory of liability
for breach of fiduciary duty, all of which claims each Lender hereby waives. 

  
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 10.2 Powers. The Administrative Agent shall have and may exercise such powers under
the Facility Documents as are specifically delegated to the Administrative Agent by the terms of each thereof, together with such powers as are reasonably incidental thereto. The Administrative Agent shall have no implied duties to the Lenders, or
any obligation to the Lenders to take any action thereunder except any action specifically provided by the Facility Documents to be taken by the Administrative Agent. 
 10.3 General Immunity. Neither the Administrative Agent nor any of its directors, officers, agents or employees shall be liable to the Borrower, the Lenders or any Lender for any action taken or
omitted to be taken by it or them hereunder or under any other Facility Document or in connection herewith or therewith except to the extent such action or inaction is determined in a final non-appealable judgment by a court of competent
jurisdiction to have arisen from the gross negligence or willful misconduct of such Person. 
 10.4 No Responsibility for
Recitals, etc. Neither the Administrative Agent nor any of its directors, officers, agents or employees shall be responsible for or have any duty to ascertain, inquire into, or verify: (a) any statement, warranty or representation made in
connection with any Facility Document or any borrowing hereunder, (b) the performance or observance of any of the covenants or agreements of any obligor under any Facility Document, including, without limitation, any agreement by an obligor to
furnish information directly to each Lender, (c) the satisfaction of any condition specified in Article IV, except receipt of items required to be delivered solely to the Administrative Agent, (d) the existence or possible existence
of any Default or Unmatured Default, (e) the validity, enforceability, effectiveness, sufficiency or genuineness of any Facility Document or any other instrument or writing furnished in connection therewith, (f) the value, sufficiency,
creation, perfection or priority of any Lien in any Collateral or (g) the financial condition of the Borrower or any guarantor of any of the Obligations or of any of the Borrower’s or any such guarantor’s respective Subsidiaries. The
Administrative Agent shall have no duty to disclose to the Lenders information that is not required to be furnished by the Borrower to the Administrative Agent at such time, but is voluntarily furnished by the Borrower to the Administrative Agent
(either in its capacity as Administrative Agent or in its individual capacity). 
 10.5 Action on Instructions of
Lenders. The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, hereunder and under any other Facility Document in accordance with written instructions signed by the Required Lenders, and such
instructions and any action taken or failure to act pursuant thereto shall be binding on all of the Lenders. The Lenders hereby acknowledge that the Administrative Agent shall be under no duty to take any discretionary action permitted to be taken
by it pursuant to the provisions of this Agreement or any other Facility Document unless it shall be requested in writing to do so by the Required Lenders. The Administrative Agent shall be fully justified in failing or refusing to take any action
hereunder and under any other Facility Document unless it shall first be indemnified to its satisfaction by the Lenders pro-rata against any and all liability, cost and expense that it may incur by reason of taking or continuing to take any such
action. 

  
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 10.6 Employment of Administrative Agent and Counsel. The Administrative Agent may
execute any of its duties as Administrative Agent hereunder and under any other Facility Document by or through employees, agents, and attorneys-in-fact and shall not be answerable to the Lenders, except as to money or securities received by it or
its authorized agents, for the default or misconduct of any such agents or attorneys-in-fact selected by it with reasonable care. The Administrative Agent shall be entitled to advice of counsel concerning the contractual arrangement between the
Administrative Agent and the Lenders and all matters pertaining to the Administrative Agent’s duties hereunder and under any other Facility Document. 
 10.7 Reliance on Documents; Counsel. The Administrative Agent shall be entitled to rely upon any notice, consent, certificate, affidavit, letter, telegram, statement, paper or document believed by
it to be genuine and correct and to have been signed or sent by the proper person or persons, and, in respect to legal matters, upon the opinion of counsel selected by the Administrative Agent, which counsel may be employees of the Administrative
Agent. 
 10.8 Administrative Agent’s Reimbursement and Indemnification. The Lenders agree to reimburse and
indemnify the Administrative Agent ratably in proportion to their Commitment (or, if the Aggregate Commitment has been terminated, in proportion to its Commitment immediately prior to such termination) (a) for any amounts not reimbursed by the
Borrower for which the Administrative Agent is entitled to reimbursement by the Borrower under the Facility Documents, (b) for any other expenses incurred by the Administrative Agent on behalf of the Lenders, in connection with the preparation,
execution, delivery, administration and enforcement of the Facility Documents (including, without limitation, for any expenses incurred by the Administrative Agent in connection with any dispute between the Administrative Agent and any Lender or
between two or more of the Lenders) and (c) for any liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind and nature whatsoever which may be imposed on, incurred by or
asserted against the Administrative Agent in any way relating to or arising out of the Facility Documents or any other document delivered in connection therewith or the transactions contemplated thereby (including, without limitation, for any such
amounts incurred by or asserted against the Administrative Agent in connection with any dispute between the Administrative Agent and any Lender or between two or more of the Lenders), or the enforcement of any of the terms of the Facility Documents
or of any such other documents; provided that (i) no Lender shall be liable for any of the foregoing to the extent any of the foregoing is found in a final non-appealable judgment by a court of competent jurisdiction to have resulted from the
gross negligence or willful misconduct of the Administrative Agent and (ii) any indemnification required pursuant to Section 3.5(g) shall, notwithstanding the provisions of this Section 10.8, be paid by the relevant
Lender in accordance with the provisions thereof. The obligations of the Lenders under this Section 10.8 shall survive payment of the Obligations and termination of this Agreement. 

10.9 Notice of Default. The Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of any Default
or Unmatured Default hereunder unless the Administrative Agent has received written notice from a Lender or the Borrower referring to this Agreement describing such Default or Unmatured Default and stating that such notice is a “notice of
default”. In the event that the Administrative Agent receives such a notice, the Administrative Agent shall give prompt notice thereof to the Lenders. 

  
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 10.10 Rights as a Lender. In the event the Administrative Agent is a Lender, the
Administrative Agent shall have the same rights and powers hereunder and under any other Facility Document with respect to its Commitment, and any Letters of Credit in which it has an interest as any Lender and may exercise the same as though it
were not the Administrative Agent, and the term “Lender” or “Lenders” shall, at any time when the Administrative Agent is a Lender, unless the context otherwise indicates, include the Administrative Agent in its individual
capacity. The Administrative Agent and its Affiliates may accept deposits from, lend money to, and generally engage in any kind of trust, debt, equity or other transaction, in addition to those contemplated by this Agreement or any other Facility
Document, with the Borrower or any of its Subsidiaries in which the Borrower or such Subsidiary is not restricted hereby from engaging with any other Person. The Administrative Agent, in its individual capacity, is not obligated to remain a Lender.

 10.11 Lender Credit Decision. Each Lender acknowledges that it has, independently and without reliance upon the
Administrative Agent, the Arranger or any other Lender and based on the financial statements prepared by the Borrower and such other documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this
Agreement and the other Facility Documents. Each Lender also acknowledges that it will, independently and without reliance upon the Administrative Agent, the Arranger or any other Lender and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement and the other Facility Documents. 
 10.12 Successor Administrative Agent. The Administrative Agent may resign at any time by giving written notice thereof to the Lenders and the Borrower, such resignation to be effective upon the
appointment of a successor Administrative Agent or, if no successor Administrative Agent has been appointed, forty-five days after the retiring Administrative Agent gives notice of its intention to resign. The Administrative Agent may be removed at
any time with or without cause by written notice received by the Administrative Agent from the Required Lenders, such removal to be effective on the date specified by the Required Lenders. Upon any such resignation or removal, the Required Lenders
shall have the right to appoint, on behalf of the Borrower and the Lenders, a successor Administrative Agent. If no successor Administrative Agent shall have been so appointed by the Required Lenders within thirty days after the resigning
Administrative Agent’s giving notice of its intention to resign, then the resigning Administrative Agent may appoint, on behalf of the Borrower and the Lenders, a successor Administrative Agent. Notwithstanding the previous sentence, the
Administrative Agent may at any time without the consent of the Borrower or any Lender, appoint any of its Affiliates which is a commercial bank as a successor Administrative Agent hereunder. If the Administrative Agent has resigned or been removed
and no successor Administrative Agent has been appointed, the Lenders may perform all the duties of the Administrative Agent hereunder and the Borrower shall make all payments in respect of the Obligations to the applicable Lender and for all other
purposes shall deal directly with the Lenders. No successor Administrative Agent shall be deemed to be appointed hereunder until such successor Administrative Agent has accepted the appointment. Any such successor Administrative Agent shall be a
commercial bank having capital and retained earnings of at least $100,000,000. Upon the acceptance of any appointment as Administrative Agent hereunder by a successor Administrative Agent, such successor Administrative Agent shall thereupon succeed
to and become vested with all the rights, powers, privileges and duties of the resigning or removed Administrative Agent. Upon the effectiveness of the resignation or removal of the Administrative Agent, the resigning or removed Administrative Agent
shall be discharged from its duties and obligations hereunder and under the Facility Documents. After the effectiveness of the resignation or removal of an Administrative Agent, the provisions of this Article X shall continue in effect for
the benefit of such Administrative Agent in respect of any actions taken or omitted to be taken by it while it was acting as the Administrative Agent hereunder and under the other Facility Documents. The resignation or removal of the Administrative
Agent shall also constitute a resignation or removal of the Letter of Credit Agent unless the Letter of Credit Agent agrees otherwise. 

  
 63 

 10.13 Administrative Agents’ Fees. The Borrower agrees to pay to the
Administrative Agent, for its own account, the fees agreed to by the Borrower and the Administrative Agent pursuant to the Fee Letter. 
 10.14 Delegation to Affiliates. The Borrower and the Lenders agree that the Administrative Agent may delegate any of its duties under this Agreement to any of its Affiliates. Any such Affiliate
(and such Affiliate’s directors, officers, agents and employees) which performs duties in connection with this Agreement shall be entitled to the same benefits of the indemnification, waiver and other protective provisions to which the
Administrative Agent is entitled under Articles IX and X. 
 10.15 Security Trustee. The Security Trustee
shall act on behalf of the Lenders with respect to any Fixed Charge and the documents associated therewith, and Security Trustee shall have all of the benefits and immunities (A) provided to the Administrative Agent in this Article X
with respect to any acts taken or omissions suffered by the Security Trustee in connection with it capacity as Security Trustee as fully as if the term “Administrative Agent” as used in this Article X includes the Security Trustee
as with respect to such acts or omissions, and (B) as additionally provided herein with respect to Security Trustee. The Lenders agree to execute such documents as the Security Trustee may reasonably request to give effect to any assignment
pursuant to Section 12.3 or to enable any Assignee to have the benefits of the lien granted under the Fixed Charge. 

ARTICLE XI 

SETOFF; RATABLE PAYMENTS 
 11.1 Setoff. In addition to, and without limitation of, any rights of the Lenders under applicable law, if the Borrower becomes insolvent, however evidenced, or any Default occurs, any and all
deposits (including all account balances, whether provisional or final and whether or not collected or available) and any other Indebtedness at any time held or owing by any Lender to or for the credit or account of the Borrower may be offset and
applied toward the payment of the Obligations owing to such Lender, whether or not the Obligations, or any part hereof, shall then be due. 
 11.2 Ratable Payments. If any Lender, whether by setoff or otherwise, has payment made to it upon its Reimbursement Obligations (other than payments received pursuant to Section 3.1,
3.2 or 3.3) in a greater proportion than that received by any other Lender, such Lender agrees, promptly upon demand, to purchase a participation interests in Letters of Credit, as the case may be, held by the other Lenders so that
after such purchase each Lender will hold its ratable proportion of such participation interests in Letters of Credit. If any Lender, whether in connection with setoff or amounts which might be subject to setoff or otherwise, receives collateral or
other protection for its Obligations or such amounts which may be subject to setoff, such Lender agrees, promptly upon demand, to take such action necessary such that all Lenders share in the benefits of such collateral ratably in proportion to
their Commitments. In case any such payment is disturbed by legal process, or otherwise, appropriate further adjustments shall be made. 

  
 64 

 ARTICLE XII 
 BENEFIT OF AGREEMENT; ASSIGNMENTS; PARTICIPATIONS 
 12.1
Successors and Assigns. The terms and provisions of the Facility Documents shall be binding upon and inure to the benefit of the Administrative Agent, the Borrower and the Lenders and their respective successors and assigns, except that
(a) the Borrower shall not have the right to assign its rights or obligations under the Facility Documents and (b) any assignment by any Lender must be made in compliance with Section 12.3. Notwithstanding clause
(b) of the foregoing sentence, any Lender may at any time, without the consent of the Borrower or the Administrative Agent, assign all or any portion of its rights under this Agreement to a Federal Reserve Bank or other central bank;
provided, however, that no such assignment to a Federal Reserve Bank shall release the transferor Lender from its obligations hereunder. The Administrative Agent may treat the Person which issued any Letter of Credit as the Person who
has the Commitment hereunder for all purposes hereof unless and until such Person complies with Section 12.3 in the case of an assignment thereof or, in the case of any other transfer, a written notice of the transfer is filed with the
Administrative Agent. Any assignee or transferee of the rights to any Letter of Credit agrees by acceptance of such transfer or assignment to be bound by all the terms and provisions of the Facility Documents. Any request, authority or consent of
any Person, who at the time of making such request or giving such authority or consent is the owner of the rights to any Letter of Credit, shall be conclusive and binding on any subsequent holder, transferee or assignee of the rights to such Letter
of Credit, as the case may be. 
 12.2 Participations. 

(a) Permitted Participants; Effect. Any Lender may, in the ordinary course of its business and in accordance with
applicable law, at any time sell to one or more banks or other entities (“Participants”) participating interests in any Commitment of such Lender, any interest of such Lender in any Letters of Credit or any other interest of such
Lender under the Facility Documents. In the event of any such sale by a Lender of participating interests to a Participant, such Lender’s obligations under the Facility Documents shall remain unchanged, such Lender shall remain solely
responsible to the other parties hereto for the performance of such obligations, such Lender shall remain the owner of its interest in any Letters of Credit issued to it in evidence thereof for all purposes under the Facility Documents, all amounts
payable by the Borrower under this Agreement shall be determined as if such Lender had not sold such participating interests, and the Borrower and the Administrative Agent shall continue to deal solely and directly with such Lender in connection
with such Lender’s rights and obligations under the Facility Documents. 

  
 65 

 (b) Voting Rights. Each Lender shall retain the sole right to
approve, without the consent of any Participant, any amendment, modification or waiver of any provision of the Facility Documents, except to the extent such amendment, modification or waiver would require the unanimous consent of the Lenders as
described in Section 8.2. 
 (c) Benefit of Setoff. The Borrower agrees that each Participant
shall be deemed to have the right of setoff provided in Section 11.1 in respect of its participating interest in amounts owing under the Facility Documents to the same extent as if the amount of its participating interest were owing
directly to it as a Lender under the Facility Documents, provided that each Lender shall retain the right of setoff provided in Section 11.1 with respect to the amount of participating interests sold to each Participant. The
Lenders agree to share with each Participant, and each Participant, by exercising the right of setoff provided in Section 11.1, agrees to share with each Lender, any amount received pursuant to the exercise of its right of setoff, such
amounts to be shared in accordance with Section 11.2 as if each Participant were a Lender. 
 12.3 Assignments.

 (a) Permitted Assignments. Any Lender may, in the ordinary course of its business and in accordance
with applicable law, at any time assign to one or more banks or other entities (“Purchasers”) all or any part of its rights and obligations under the Facility Documents provided such Purchasers are Lloyd’s Approved Banks. Such
assignment shall be substantially in the form of Exhibit B or in such other form as may be agreed to by the parties thereto. The consent of the Borrower and the Administrative Agent shall be required prior to an assignment becoming
effective with respect to a Purchaser which is not a Lender or an Affiliate thereof; provided, however, that if a Default has occurred and is continuing, the consent of the Borrower shall not be required; provided,
further, that the Borrower shall be deemed to have consented to any such assignment unless it shall object thereto by written notice to the Administrative Agent within five (5) Business Days after having received notice thereto. Such
consent shall not be unreasonably withheld or delayed. Each such assignment shall (unless it is to a Lender or an Affiliate thereof or the Administrative Agent otherwise consents) be in an amount not less than the lesser of (a) $5,000,000 or
(b) the remaining amount of the assigning Lender’s Commitment (calculated as at the date of such assignment). 
 (b) Effect; Effective Date. A Lender shall notify the Administrative Agent in the event it wishes to transfer any of its Commitment. Upon receipt of such notice, the Administrative Agent shall
verify that the beneficiaries of the outstanding Letters of Credit will accept an amendment to or replacement of the outstanding Letters of Credit to reflect such assignment and the change in the “Commitments” as reflected in such
outstanding Letters of Credit (a “Transfer Amendment”). The Administrative Agent shall advise the Lender whether such Transfer Amendment is acceptable (the “Advisement Date”) and the Lender shall advise the
Administrative Agent of the proposed assignment date (which date shall be not less than ten (10) Business Days after the Advisement Date). Upon (i) delivery to the Administrative Agent and the Borrower of a notice of assignment,
substantially in the form attached as Exhibit I to Exhibit B (a “Notice of Assignment”), together with any consents required by Section 12.3(b), (ii) payment of a $3,500 fee to the Administrative
Agent by the assigning Lender or the Purchaser for processing such assignment, the Administrative Agent shall prepare the necessary Transfer Amendments and coordinate with the beneficiaries a date to effectuate such Transfer Amendment. Upon
acceptance of the Transfer Amendment by the beneficiaries, such assignment shall become effective. The Notice of Assignment shall contain a representation by the Purchaser to the effect that none of the consideration used to make the purchase of the
participation interests in the Letters of Credit under the applicable assignment agreement are “plan assets” as defined under ERISA and that the rights and interests of the Purchaser in and under the Facility Documents will not be
“plan assets” under ERISA. On and after the effective date of such assignment, such Purchaser shall for all purposes be a Lender party to this Agreement and any other Facility Document executed by or on behalf of the Lenders and shall have
all the rights and obligations of a Lender under the Facility Documents, to the same extent as if it were an original party hereto, and no further consent or action by the Borrower, the Lenders or the Administrative Agent shall be required to
release the transferor Lender with respect to the percentage of the Aggregate Commitment and the participation interests in Letters of Credit assigned to such Purchaser. 

  
 66 

 12.4 Dissemination of Information. The Borrower authorizes each Lender to disclose to
any Participant or Purchaser or any other Person acquiring an interest in the Facility Documents by operation of law (each a “Transferee”) and any prospective Transferee any and all information in such Lender’s possession
concerning the creditworthiness of the Borrower and its Subsidiaries; provided that each Transferee and prospective Transferee agrees to be bound by Section 9.11 of this Agreement. 

12.5 Tax Treatment. If any interest in any Facility Document is transferred to any Transferee which is organized under the laws of
any jurisdiction other than the United States or any State thereof, the transferor Lender shall cause such Transferee, concurrently with the effectiveness of such transfer, to comply with the provisions of Section 3.3(d). 

ARTICLE XIII 
 NOTICES 
 13.1 Notices. All notices, requests and other
communications to any party hereunder shall be in writing (including electronic transmission, facsimile transmission or similar writing) and shall be given to such party: (a) in the case of the Borrower or the Administrative Agent, at its
address or facsimile number set forth on the signature pages hereof, (b) in the case of any Lender, at its address or facsimile number set forth below its signature hereto or (c) in the case of any party, at such other address or facsimile
number as such party may hereafter specify for the purpose by notice to the Administrative Agent and the Borrower in accordance with the provisions of this Section 13.1. Each such notice, request or other communication shall be effective
(i) if given by facsimile transmission, when transmitted to the facsimile number specified in this Section and confirmation of receipt is received, (ii) if given by mail, seventy-two (72) hours after such communication is
deposited in the mails with first class postage prepaid, addressed as aforesaid, or (iii) if given by any other means, when delivered (or, in the case of electronic transmission, received) at the address specified in this Section;
provided that notices to the Administrative Agent under Article II shall not be effective until received. 

  
 67 

 13.2 Change of Address. The Borrower, the Administrative Agent and any Lender may
each change the address for service of notice upon it by a notice in writing to the other parties hereto. 
 ARTICLE XIV

 COUNTERPARTS 
 This Agreement may be executed in any number of counterparts, all of which taken together shall constitute one agreement, and any of the parties hereto may execute this Agreement by signing any such
counterpart. This Agreement shall be effective when it has been executed by the Borrower, the Administrative Agent and the Lenders and each party has notified the Administrative Agent by facsimile transmission or telephone that it has taken such
action. 
 ARTICLE XV 
 CHOICE OF LAW; CONSENT TO JURISDICTION; WAIVER OF JURY TRIAL 
 15.1
CHOICE OF LAW. THE FACILITY DOCUMENTS (OTHER THAN THOSE CONTAINING A CONTRARY EXPRESS CHOICE OF LAW PROVISION) SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARDS TO THE CONFLICT OF LAW
PROVISIONS THEREOF OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW, BUT GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO NATIONAL BANKS. 
 15.2 CONSENT TO JURISDICTION. THE BORROWER HEREBY IRREVOCABLY SUBMITS TO THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR STATE COURT SITTING IN NEW YORK, NEW YORK IN ANY ACTION OR
PROCEEDING ARISING OUT OF OR RELATING TO ANY FACILITY DOCUMENTS AND THE BORROWER HEREBY IRREVOCABLY AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTION IT
MAY NOW OR HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN SUCH A COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM. NOTHING HEREIN SHALL LIMIT THE RIGHT OF THE ADMINISTRATIVE AGENT, THE LETTER OF CREDIT AGENT OR ANY
LENDER TO BRING PROCEEDINGS AGAINST THE BORROWER IN THE COURTS OF ANY OTHER JURISDICTION. ANY JUDICIAL PROCEEDING BY THE BORROWER AGAINST THE ADMINISTRATIVE AGENT, THE LETTER OF CREDIT AGENT OR ANY LENDER OR ANY AFFILIATE OF THE ADMINISTRATIVE
AGENT, THE LETTER OF CREDIT AGENT OR ANY LENDER INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER IN ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH ANY FACILITY DOCUMENT SHALL BE BROUGHT ONLY IN A COURT IN NEW YORK, NEW YORK. 

  
 68 

 15.3 WAIVER OF JURY TRIAL. THE BORROWER, THE ADMINISTRATIVE AGENT, THE LETTER OF
CREDIT AGENT AND EACH LENDER HEREBY WAIVE TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER (WHETHER SOUNDING IN TORT, CONTRACT OR OTHERWISE) IN ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH ANY FACILITY
DOCUMENT OR THE RELATIONSHIP ESTABLISHED THEREUNDER. 
 15.4 REAFFIRMATION OF SECURITY DOCUMENTS. The Borrower hereby
reaffirms each of the Security Documents executed and delivered in connection with the Existing Credit Agreement and attached hereto as Exhibits E, F, I-1 and I-2. All references to the Credit Agreement in the Security
Documents or in any other document, instrument, agreement or writing shall be deemed to refer to this Agreement. 
 [signature
pages follow] 

  
 69 

 IN WITNESS WHEREOF, the Borrower, the Lenders, the Letter of Credit Agent and the
Administrative Agent have executed this Agreement as of the date first above written. 
  

			
	THE NAVIGATORS GROUP, INC.
		
	By:	 	/s/ Ciro M. DeFalco
	Name: Ciro M. DeFalco
	Title: Senior Vice President and Chief Financial Officer
	
	 Address:  Reckson Executive Park

	                   6
International Drive

	
                  Rye Brook, New York
10573

	
	 Attn:         Ciro M. DeFalco

	
	Telephone: (914) 933-6043
	Fax: (914) 934-2355
	Email: cdefalco@navg.com 

 Signature Page to Amended and Restated Funds 

at Lloyd’s Letter of Credit Agreement 

 
			
	 ING BANK N.V., LONDON BRANCH, individually, as Administrative Agent and

Letter of Credit Agent

		
	By:	 	/s/ N.J. Marchant
	Name: N.J. Marchant
	Title: Director
		
	By:	 	/s/ M.E.R. Sharman
	Name: M.E.R. Sharman
	Title: Managing Director
	
	 Address:  ING Bank N.V., London Branch

                  60
London Wall

                  
London EC2M 5TQ

                  
United Kingdom

	
	 Attention: Nick Marchant

	
	 Telephone: +44 (0)20 7767 5920
 Fax: +44 (0)20 7767 7507
 Email: nick.marchant@uk.ing.com

 Signature Page to Amended and Restated Funds 

at Lloyd’s Letter of Credit Agreement 

 
			
	JPMORGAN CHASE BANK, N.A.,
		
	By:	 	/s/ Hector Varona
	Name: Hector Varona
	Title: Vice President
	
	 Address:  270 Park Ave, 43rd Floor

                  Suite
NY1-K840

                  New
York, NY 10017

	
	 Attention: Hector Varona

	
	 Telephone: (212) 622-6936
 Fax: (646) 534-0696
 Email: hector.varona@jpmorgan.com

 Signature Page to Amended and Restated Funds 

at Lloyd’s Letter of Credit Agreement 

 
			
	BARCLAYS BANK PLC
		
	By:	 	/s/ Karla Maloof
	Name: Karla Maloof
	Title: Director
	
	 Address: 745 Seventh Avenue
 New York, New York 10019

	
	 Attention:    Karla Maloof

	 Telephone:  (212) 526-9435

Fax:               (646) 
758-2729

	Email: karla.maloof@barclays.com

 Signature Page to Amended and Restated Funds 

at Lloyd’s Letter of Credit Agreement 

 SCHEDULE 1 
 COMMITMENTS 
  

					
	 Lender
	  	Letter of Credit Facility	 
	 ING Bank N.V., London Branch
	  	$	75,000,000	  
		
	 JPMorgan Chase Bank N.A.
	  	$	50,000,000	  
		
	 Barclays Bank PLC
	  	$	40,000,000	  
		
	 TOTAL:
	  	$	165,000,000	  

  
 Schedule 1

 SCHEDULE 1.1 
 ELIGIBLE COLLATERAL AND APPLICABLE ADVANCE RATES 
  

									
	 Collateral Description
	  	Advance Rate	 
	 	  	Matching
Currency
(with respect
to outstanding
Letters of 
Credit)	 	 	Non-Matching
Currency
(with respect

to outstanding
Letters of Credit)	 
	Cash held with ING:	  	 	100	% 	 	 	90	% 
	Cash held with a Financial Institution (subject to a Control Agreement):	  	 	95	% 	 	 	85	% 
	US Dollar and/or Pound Time Deposits, CDs and Money Market Deposits:	  	 	95	% 	 	 	85	% 
			
	Time deposits, certificates of deposit and money market deposits of any OECD incorporated bank with a rating of at least (i) AA- from S&P and (ii) Aa3 from Moody’s and
maturing within two years from the date of determination.	  				 			
	US and/or UK Government Securities:	  				 			
			
	Securities issued or directly and fully guaranteed or insured by the United States Government or any agency or instrumentality thereof (provided that the full faith and credit of
the United States is pledged in support thereof) or UK Gilts, with maturities of:	  				 			
			
	less than five years from the date of determination	  	 	90	% 	 	 	80	% 
			
	more than five years from the date of determination	  	 	85	% 	 	 	75	% 
	Commercial paper rated A-1 by S&P or P1 or better by Moody’s	  	 	85	% 	 	 	75	% 

  
 Schedule 1.1

 SCHEDULE 1.2 
 EXISTING LETTERS OF CREDIT 
  

									
	 Applicant
	  	Reference No.	 	  	Amount	 
	 Navigators Corporate Underwriting Ltd
	  	 	DTGBLG404602	  	  	 	GBP 1,500,000	  
	 Navigators Corporate Underwriting Ltd
	  	 	DTGBLG404603	  	  	 	GBP 5,689,000	  
	 Navigators Corporate Underwriting Ltd
	  	 	DTGBLG404604	  	  	 	GBP 17,500,000	  
	 Navigators Corporate Underwriting Ltd
	  	 	DTGBLG404605	  	  	 	GBP 32,383,000	  
	 Navigators Corporate Underwriting Ltd
	  	 	DTGBLG404673	  	  	 	GBP 14,000,000	  
	 Millenium Underwriting Ltd
	  	 	DTGBLG404606	  	  	 	GBP 12,624,000	  
	 Millenium Underwriting Ltd
	  	 	DTGBLG404607	  	  	 	GBP 12,804,000	  
	 Total
	  				  	 	GBP 96,500,000	  

  
 Schedule 1.2

 SCHEDULE 5.9 
 SUBSIDIARIES 
  

									
	 Subsidiary
	 	 State of

Incorporation
	 	 % ownership by the Borrower

or a Subsidiary as otherwise indicated
	 	Insurance
Company	 	Significant
Subsidiary
	 Navigators Insurance Company
	 	New York	 	100%	 	Yes	 	Yes
					
	 Navigators Specialty Insurance Company
	 	New York	 	100% Navigators Insurance Co.	 	Yes	 	
					
	 Navigators Management Company, Inc.
	 	New York	 	100%	 		 	
					
	 Navigators Corporate Underwriters Ltd.
	 	U.K.	 	100% Navigators Holdings (UK) Ltd.	 		 	
					
	 Navigators Management (UK) Ltd.
	 	U.K.	 	100% Navigators Holdings (UK) Ltd.	 		 	
					
	 Navigators Holdings (UK) Ltd.
	 	U.K.	 	100%	 		 	
					
	 Navigators Underwriting Agency Ltd.
	 	U.K.	 	100% Navigators Holdings (UK) Ltd.	 		 	
					
	 Millennium Underwriting Ltd.
	 	U.K.	 	100% Navigators Underwriting Agency Ltd.	 		 	
					
	 Navigators Underwriting Ltd.
	 	U.K.	 	100% Navigators Underwriting Agency Ltd.	 		 	
					
	 Navigators NV
	 	Belgium	 	100% Navigators Underwriting Agency Ltd.	 		 	
					
	 NUAL AB
	 	Sweden	 	100% Navigators Underwriting Agency Ltd.	 		 	
					
	 Navigators A/S
	 	Denmark	 	100% Navigators Holdings (UK) Ltd.	 		 	

  
 Schedule 5.9

 SCHEDULE 5.22 
 PARTNERSHIPS 
 None 

  
 Schedule 5.22

 SCHEDULE 5.23 
 LINES OF BUSINESS 
 The Borrower and its Subsidiaries are active in
the following lines of business: 
 Accident 
 Health 
 Reinsurance 

Property 

Commercial Multi Peril 
 Ocean Marine 
 Inland Marine 

Other Liability 

Commercial Auto Liability 
 Auto Physical Damage 
 Aircraft 

Surety 
 Multiple
Peril Crop 

 SCHEDULE 6.16 
 LIENS 
 UCC-1 in favor of Dell Financial Services L.P. filed in the Division of
Corporations of the Delaware Secretary of State on 9/18/01 (and continued on 8/25/06) under File No. 1118020 covering leased equipment. 

 SCHEDULE 6.21 
 REINSURANCE GUIDELINES 
  

	•	 	 Minimum A.M. Best rating of “A-” and 

  

	•	 	 Policyholders’ surplus of (i) US $250 million or (ii) US $200 and part of a group with combined statutory surplus of $350 million

  

	•	 	 Or, if not rated by A.M. Best, an equivalent rating from a major rating agency along with the following: 

 

	 	•	 	 Shareholder’s funds must be in excess of US $250 million 

 For purpose of this Credit Agreement, the following applies, net of any collateral from the reinsurers: 
  

	1.	Reinsurers constituting the lessor of $10,000,000 or 25% of the credit risk on any reinsurance program can be outside of the above guidelines. 

 

	2.	Any reinsurer, falling within the Reinsurance Guidelines, rated A- or below cannot exceed an aggregate exposure across all programs of 66 2/3% of the Consolidated
Surplus of the Insurance Subsidiaries. 

 EXHIBIT A 
 COMPLIANCE CERTIFICATE 
  

	To:	The Lenders parties to the 

Letter of Credit Agreement Described Below 
 This Compliance Certificate is furnished pursuant to that certain Amended and Restated Funds a Lloyd’s Letter of Credit Agreement, dated as of November 21, 2012 (as amended, modified, renewed or
extended from time to time, the “Agreement”), among The Navigators Group, Inc. (the “Borrower”), the lenders party thereto, and ING Bank N.V., London Branch, as Administrative Agent and Letter of Credit Agent.
Unless otherwise defined herein, capitalized terms used in this Compliance Certificate have the meanings ascribed thereto in the Agreement. 

THE UNDERSIGNED HEREBY CERTIFIES THAT: 
 1. I am
the duly elected             of the Borrower; 
 2. I have reviewed the terms of the
Agreement and I have made, or have caused to be made under my supervision, a detailed review of the transactions and conditions of the Borrower and its Subsidiaries during the accounting period covered by the attached financial statements;

 3. The examinations described in paragraph 2 did not disclose, and I have no knowledge of, the existence of any condition or event
which constitutes a Default or Unmatured Default during or at the time of the accounting period covered by the attached financial statements or as of the date of this Certificate, except as set forth below; and 

4. Schedule I attached hereto sets forth financial data and computations evidencing the Borrower’s compliance with certain covenants of the
Agreement, all of which data and computations are true, complete and correct. 
 Described below are the exceptions, if any, to paragraph
3 by listing, in detail, the nature of the condition or event, the period during which it has existed and the action which the Borrower has taken, is taking, or proposes to take with respect to each such condition or event: 

 

					
		  	  
	  	
			
		  	  
	  	
			
		  	  
	  	

 The foregoing certifications, together with the computations set forth in Schedule I hereto and the
financial statements delivered with this Certificate in support hereof, are made and delivered this             day of
            ,             . 
  

	
	  
	Name:
	Title:

  
 A-2

 SCHEDULE I TO COMPLIANCE CERTIFICATE 

Compliance as of             ,
         with 
 Provisions of Sections 6.14 and 6.23 of 

the Agreement 
  

											
	 Section 6.14 – Investments and Acquisitions
	 			
			
	 1.
	 	Clause (d)	 			
				
		 	(a)	 	Required:	 			
					
		 		 	(i)	 	Combined Investments of the Borrower and its Subsidiaries on the date of determination:	 	 	$__________	  
					
		 		 	(ii)	 	10% of (a)(i):	 	 	$__________	  
				
		 	(b)	 	Actual:	 			
				
		 		 	Investments in debt securities rated less than A- by S&P, A3 by Moody’s or NAIC-1 by the NAIC but rated BBB- or better by S&P, Baa3 or better by
Moody’s or NAIC-2 or better by the NAIC on the date of determination (or downgraded from such ratings within the last 180 days):	 	 	$__________	  
			
	 2.
	 	Clause (e)	 			
				
		 	(a)	 	Required:	 	 	$__________	  
					
		 		 	(i)	 	Consolidated Net Worth of Borrower and its Consolidated Subsidiaries on the date of determination:	 	 	$__________	  
					
		 		 	(ii)	 	5% of (a)(i)	 	 	$__________	  
				
		 	(b)	 	Actual:	 	 	$__________	  
				
		 		 	Aggregate Investment in Investments not satisfying standards set forth in clause (b) or (d):	 			
			
	 3.
	 	Clause (f)	 			
				
		 	(a)	 	Aggregate Investments in equity securities:	 			
					
		 		 	(i)	 	Required:	 			

  
 A-3

													
						
		 		 		 	(A)	 	Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries on the date of determination:	 	 	$__________	  
						
		 		 		 	(B)	 	20% of (a)(i)(A):	 	 	$__________	  
					
		 		 	(ii)	 	Actual:	 			
					
		 		 		 	Aggregate Investments by the Borrower in equity securities on the date of determination:	 	 	$__________	  
				
		 	(b)	 	Individual Investments:	 			
				
		 		 	(i)	 	Required:	  
						
		 		 		 	(A)	 	Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries on the date of determination:	 	 	$__________	  
						
		 		 		 	(B)	 	5% of (b)(i)(A):	 	 	$__________	  
					
		 		 	(ii)	 	Actual:	 			
					
		 		 		 	Largest single equity securities investment by the Borrower and its Subsidiaries on the date of determination:	 	 	$__________	  
			
	 4.
	 	Clause (g)	 			
				
		 	(a)	 	Required:	 			
					
		 		 	(i)	 	Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries on the date of determination:	 	 	$__________	  
					
		 		 	(ii)	 	5% of (a)(i):	 			
				
		 	(b)	 	Actual:	 			
				
		 		 	Other Investments on date of determination:	 	 	$__________	  

  
 A-4

											
			
	5.	 	Clause (h)	 			
				
		 	(a)	 	Required:	 			
					
		 		 	(i)	 	Consolidated Net Worth of the Borrower and its Consolidated Subsidiaries on the date of determination:	 	 	$__________	  
					
		 		 	(ii)	 	5% of (a)(i):	 			
				
		 	(b)	 	Actual:	 			
				
		 		 	Amount of Acquisitions from beginning of Fiscal Year through date of determination:	 	 	$__________	  

  
 A-5

									
	Section 6.23(a) – Minimum Consolidated Tangible Net Worth	 			
		
	Period:     Fiscal Quarter ended            ,
        	 			
			
	1.	 	Required: $[    ]	 	$	__________	  
			
	2.	 	Actual:	 			
			
		 	Consolidated Tangible Net Worth (excluding the effect of unrealized gain or loss under SFAS 115):	 	$	__________	  
		
	Section 6.23(b) – Minimum Statutory Surplus of Navigators	 			
		
	Period:     Fiscal Quarter ended             ,
            	 			
			
	1.	 	Required: $[    ]	 	$	__________	  
			
	2.	 	Actual:	 			
			
		 	Statutory Surplus of Navigators:	 	$	__________	  
		
	Section 6.23(c) – Leverage Ratio	 			
			
	1.	 	Required:	 	 	0.30:1.0	  
			
	2.	 	Actual:	 			
				
		 	(a)	 	Consolidated Indebtedness of the Borrower and its Consolidated Subsidiaries (excluding Indebtedness with respect to undrawn letters of credit) on date of determination:	 	$	__________	  
				
		 	(b)	 	Consolidated Net Worth on date of determination:	 	$	__________	  
				
		 	(c)	 	(a) plus (b):	 	$	__________	  
				
		 	(d)	 	Ratio of (a) to (c):	 	 	 :1.0	  

  
 A-6

											
	Section 6.23(d) – Minimum Risk-Based Capital1	  
			
	1.	 	Required:	  	 	150%	  
			
	2.	 	 Actual:
	  			
					
		 	(a)	 		 	 TotalAdjusted Capital on date of determination:
	  	 	$                    	  
					
		 	(b)	 		 	 CompanyAction Level RBC on date of determination:
	  	 	$                    	  
					
		 	(c)	 		 	 Ratioof (a) to (b) (expressed as a percentage):
	  	 	                %	  
		
	Section 6.23(e) – Adjusted Primary FAL for Year of Account 201[    ]	  			
			
	 1.      
	 	Required to be provided by Corporate Members:	  	 
  
  
  
  
	Stated
 Amount of

Outstanding
 Letters of

Credit
	  
   

  
   

  

			
	 2.      
	 	 Actual:
	  			
				
		 	 (a)    
	 	 Amountof Primary FAL provided by Corporate Members on the date of determination:
	  			
				
		 		 	 (1)    Undistributed profits for closed years
	  	 	$                    	  
				
		 		 	 (2)    Open year surplus/deficiency
	  	 	$                    	  
				
		 		 	 (3)    Cash/assets at Lloyd’s
	  	 	$                    	  
				
		 		 	 (4)    Sum of (a)(1) plus (a)(2) plus (a)(3)
	  	 	$                    	  
				
		 	(c)	 	 NDS  Deficiency as of ([insert most recent determination date]):
	  	 	$                    	  
				
		 	(d)	 	 AdjustedPrimary FAL ((a)(4) minus (d))
	  			
				
		 	(e)	 	 OutstandingLetters of Credit
	  	 	$                    	  
				
		 	(f)	 	 Ratioof (d) to (e) (expressed as a percentage):
	  	 	                %	  

  
  

	1 	 To be completed for each Significant Domestic Insurance Subsidiary. 

  
 A-7

							
	Section 6.23(f) – RDS for Year of Account 201[    ]	  			
		
	 Required: Maximum Net Loss from prescribed RDS permitted:
	  	 	20%	  
		
	Actual (Highest RDS scenario expressed as a percentage of the total Supported Syndicate capacity for such Year of Account):	  			
			
	 (a)    
	  	Total Lloyd’s prescribed Net Losses from RDS :	  	 	$                    	  
			
	 (b)
	  	 ActualLoses:
	  	 	$                    	  
			
	 (c)
	  	 Ratioof (a) to (b) (expressed as a percentage):
	  	 	                %	  

  
 A-8

 EXHIBIT B 
 ASSIGNMENT AGREEMENT 
 This Assignment Agreement (this “Assignment
Agreement”) between             (the “Assignor”) and             (the “Assignee”) is
dated as of             . The parties hereto agree as follows: 
 1.
PRELIMINARY STATEMENT. The Assignor is a party to a Credit Agreement (which, as it may be amended, modified, renewed or extended from time to time is herein called the “Credit Agreement”) described in Item 1 of
Schedule 1 attached hereto (“Schedule 1”). Capitalized terms used herein and not otherwise defined herein shall have the meanings attributed to them in the Credit Agreement. 

2. ASSIGNMENT AND ASSUMPTION. The Assignor hereby sells and assigns to the Assignee, and the Assignee hereby purchases and assumes
from the Assignor, an interest in and to the Assignor’s rights and obligations under the Credit Agreement such that after giving effect to such assignment the Assignee shall have purchased pursuant to this Assignment Agreement the percentage
interest specified in Item 3 of Schedule 1 of all outstanding rights and obligations under the Credit Agreement relating to the loans listed in Item 3 of Schedule 1 and the other Facility Documents. 

3. EFFECTIVE DATE. The effective date of this Assignment Agreement (the “Effective Date”) shall be the later of
the date specified in Item 5 of Schedule 1 or the date the Administrative Agent advises that the beneficiaries of Letters of Credit have accepted the amendments or replacements of the Letters of Credit to reflect such assignment and a
Notice of Assignment substantially in the form of Exhibit I attached hereto has been delivered to the Administrative Agent. Such Notice of Assignment must include any consents required to be delivered to the Administrative Agent by
Section 12.3(a) of the Credit Agreement. In no event will the Effective Date occur if the payments required to be made by the Assignee to the Assignor on the Effective Date under Sections 4 and 5 hereof are not made on the
proposed Effective Date or if any other condition precedent agreed to by the Assignor and the Assignee has not been satisfied. The Assignor will notify the Assignee of the proposed Effective Date not later than the Business Day prior to the proposed
Effective Date. As of the Effective Date, (i) the Assignee shall have the rights and obligations of a Lender under the Facility Documents with respect to the rights and obligations assigned to the Assignee hereunder and (ii) the Assignor
shall relinquish its rights and be released from its corresponding obligations under the Facility Documents with respect to the rights and obligations assigned to the Assignee hereunder. 

4. PAYMENT OBLIGATIONS. On and after the Effective Date, the Assignee shall be entitled to receive from the Administrative Agent
all payments of principal, interest and fees with respect to the interest assigned hereby. The Assignee shall advance funds directly to the Administrative Agent with respect to all reimbursement payments made on or after the Effective Date with
respect to the interest assigned hereby. In the event that either party hereto receives any payment to which the other party hereto is entitled under this Assignment Agreement, then the party receiving such amount shall promptly remit it to the
other party hereto. 

 5. FEES PAYABLE BY THE ASSIGNEE. The Assignee agrees to pay the $3,500 processing fee
required to be paid to the Administrative Agent in connection with this Assignment Agreement. 
 6. REPRESENTATIONS OF THE
ASSIGNOR; LIMITATIONS ON THE ASSIGNOR’S LIABILITY. The Assignor represents and warrants that it is the legal and beneficial owner of the interest being assigned by it hereunder and that such interest is free and clear of any adverse claim
created by the Assignor. It is understood and agreed that the assignment and assumption hereunder are made without recourse to the Assignor and that the Assignor makes no other representation or warranty of any kind to the Assignee. Neither the
Assignor nor any of its officers, directors, employees, agents or attorneys shall be responsible for (i) the due execution, legality, validity, enforceability, genuineness, sufficiency or collectability of any Facility Document, including
without limitation, documents granting the Assignor and the other Lenders a security interest in assets of the Borrower or any guarantor, (ii) any representation, warranty or statement made in any Facility Document or in connection with any of
the Facility Documents, (iii) the financial condition or creditworthiness of the Borrower or any guarantor, (iv) the performance of or compliance with any of the terms or provisions of any of the Facility Documents, (v) inspecting any
of the Property, books or records of the Borrower, (vi) the validity, enforceability, perfection, priority, condition, value or sufficiency of any collateral securing or purporting to secure the Reimbursement Obligations or (vii) any
mistake, error of judgment, or action taken or omitted to be taken in connection with the Letters of Credit or the Facility Documents. 
 7. REPRESENTATIONS OF THE ASSIGNEE. The Assignee (i) confirms that it has received a copy of the Credit Agreement, together with copies of the financial statements requested by the Assignee
and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment Agreement, (ii) agrees that it will, independently and with reliance upon the Administrative Agent,
the Assignor or any other Lender and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Facility Documents, (iii) appoints and
authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such powers under the Facility Documents as are delegated to the Administrative Agent by the terms thereof, together with such powers as are reasonably
incidental thereto, (iv) agrees that it will perform in accordance with their terms all of the obligations which by the terms of the Facility Documents are required to be performed by it as a Lender, (v) agrees that its payment
instructions and notice instructions are as set forth in the attachment to Schedule 1, (vi) confirms that none of the funds, monies, assets or other consideration being used to make the purchase and assumption hereunder are “plan
assets” as defined under ERISA and that its rights, benefits and interests in and under the Facility Documents will not be “plan assets” under ERISA, [and (vii) attaches the forms prescribed by the Internal Revenue Service of the
United States certifying that the Assignee is entitled to receive payments under the Facility Documents without deduction or withholding of any United States federal income taxes]. 

8. INDEMNITY. The Assignee agrees to indemnify and hold the Assignor harmless against any and all losses, costs and expenses
(including, without limitation, reasonable attorneys’ fees) and liabilities incurred by the Assignor in connection with or arising in any manner from the Assignee’s non-performance of the obligations assumed under this Assignment
Agreement. 

  
 B-2

 9. SUBSEQUENT ASSIGNMENTS. After the Effective Date, the Assignee shall have the
right pursuant to Section 12.3(a) of the Credit Agreement to assign the rights which are assigned to the Assignee hereunder to any entity or person, provided that (i) any such subsequent assignment does not violate any of the terms
and conditions of the Facility Documents or any law, rule, regulation, order, writ, judgment, injunction or decree and that any consent required under the terms of the Facility Documents has been obtained and (ii) unless the prior written
consent of the Assignor is obtained, the Assignee is not hereby released from its obligations to the Assignor hereunder, if any remain unsatisfied, including, without limitation, its obligations under Sections 4, 5 and 8 hereof.

 10. REDUCTIONS OF AGGREGATE COMMITMENT. If any reduction in the Letter of Credit Commitment occurs between the date of
this Assignment Agreement and the Effective Date, the percentage interest specified in Item 3 of Schedule 1 shall remain the same, but the dollar amount purchased shall be recalculated based on the reduced Letter of Credit Commitment, as
the case may be. 
 11. ENTIRE AGREEMENT. This Assignment Agreement and the attached Notice of Assignment embody the
entire agreement and understanding between the parties hereto and supersede all prior agreements and understandings between the parties hereto relating to the subject matter hereof. 

12. GOVERNING LAW. This Assignment Agreement shall be governed by the internal law, and not the law of conflicts, of the State of
New York, without regards to the conflict of law provisions thereof other than Sections 5-1401 and 5-1402 of the New York General Obligations Laws, but giving effect to Federal laws applicable to national banks. 

13. NOTICES. Notices shall be given under this Assignment Agreement in the manner set forth in the Credit Agreement. For the
purpose hereof, the addresses of the parties hereto (until notice of a change is delivered) shall be the address set forth in the attachment to Schedule 1. 
 [signature page follows] 

  
 B-3

 IN WITNESS WHEREOF, the parties hereto have executed this Assignment Agreement by their duly
authorized officers as of the date first above written. 
  

					
	[NAME OF ASSIGNOR]
		
	By:	 	 
		
	Title:	 	 
			
	Address:	 		 	 
			
		 		 	 
			
		 		 	 

  

					
	[NAME OF ASSIGNEE]
		
	By:	 	 
		
	Title:	 	 
			
	Address:	 		 	 
			
		 		 	 
			
		 		 	 

  
 B-4

 SCHEDULE 1 
 TO ASSIGNMENT AGREEMENT 
  

	1.	Description and Date of Credit Agreement: 

  

	    	That certain Amended and Restated Funds a Lloyd’s Letter of Credit Agreement, dated as of November 21, 2012, among the Navigators Group, Inc., the financial
institutions named therein, and ING Bank N.V., London Branch, as Administrative Agent and Letter of Credit Agent. 

									
		
	 2.      Date of Assignment Agreement:
                                         
                           
	  			
		
	 3.      Amounts (As of Date of Item 2 above):
	  			
	 	  	Letter of Credit
Facility	 
		
	 (a)    Aggregate and Letter of Credit Commitment (total outstanding Letter of Credit
Obligations)* under Credit Agreement
	  	 	$                    	  
		
	 (b)    Assignee’s Percentage of Facility purchased under the Assignment Agreement (taken to
five decimal places);
	  	 	            %	  
		
	 (c)    Amount of Assigned Share in Facility purchased under the Assignment
Agreement:
	  	 	$                    	  
		
	4.	  	 Totalof Letter of Credit Participation Amount (outstanding Letter of Credit Obligations)* purchased
hereunder:
	   

		
	5.	  	 ProposedEffective Date:
	   

  

	*	If the Letter of Credit Commitment has been terminated, insert total outstanding Letter of Credit Obligations in place of Letter of Credit Commitment or Letter of
Credit Participation Amount, as the case may be. 

  
 B-5

									
	Accepted and Agreed:	 		 	
	[NAME OF ASSIGNOR]	 		 	[NAME OF ASSIGNEE]
					
	By:	 	 	 		 	By:	 	 
					
	Title:	 	 	 		 	Title:	 	 

  
 B-6

 ATTACHMENT TO SCHEDULE 1 to ASSIGNMENT AGREEMENT 

ADMINISTRATIVE INFORMATION SHEET 
 Attach Assignor’s Administrative Information Sheet, which must 
 include notice
addresses for the Assignor and the Assignee 
 (Sample form shown below) 

ASSIGNOR INFORMATION 
 Contact: 
  

									
	Name:	 	 	 		 	Telephone No.:	 	 
					
	Fax No.:	 	 	 		 		 	

 Payment Information: 
  

			
	Name & ABA # of Destination Bank:	  	 
		
		  	 
		
	Account Name & Number for Wire Transfer:	  	 
		
		  	 
		
	Other Instructions:	  	 
	
	 
		
	Address for Notices for Assignee:	  	 
		
		  	 
		
		  	 

 ASSIGNEE INFORMATION 

 

									
	Credit Contact:	 		 	
	Name:	 	 	 		 	Telephone No.:	 	 
					
	Fax No.:	 	 	 		 		 	

  
 B-7

									
	Key Operations Contacts:	 		 	
					
	Booking Installation:	 	 	 		 	Booking Installation:	 	 
	Name:	 	 	 		 	Name:	 	 
	Telephone No.:	 	 	 		 	Telephone No.:	 	 
	Fax No.:	 	 	 		 	Fax No.:	 	 

 Payment Information: 
  

			
	Name & ABA # of Destination Bank:	  	 
		
		  	 
		
	Account Name & Number for Wire Transfer:	  	 
		
		  	 
		
	Other Instructions:	  	 
	
	 
		
	Address for Notices for Assignor:	  	 
		
		  	 
		
		  	 

  
 B-8

 EXHIBIT I 
 TO ASSIGNMENT AGREEMENT 
 NOTICE 

OF ASSIGNMENT 
                     ,            
 
  

	To:	The Navigators Group, Inc. 

 ING
Bank N.V., London Branch, as Administrative Agent and Letter of Credit Agent 
  

	From:	[NAME OF ASSIGNOR] (the “Assignor”) 

 [NAME OF ASSIGNEE] (the “Assignee”) 
 1. We refer to that certain
Credit Agreement (the “Credit Agreement”) described in Item 1 of Schedule 1 attached hereto (“Schedule 1”). Capitalized terms used herein and not otherwise defined herein shall have the meanings
attributed to them in the Credit Agreement. 
 2. This Notice of Assignment (the “Notice of Assignment”) is
given and delivered to [the Borrower and] the Administrative Agent pursuant to Section 12.3(b) of the Credit Agreement. 

3. The Assignor and the Assignee have entered into an Assignment Agreement, dated as of
            ,             (the “Assignment Agreement”), pursuant to which, among other things, the Assignor has
sold, assigned, delegated and transferred to the Assignee, and the Assignee has purchased, accepted and assumed from the Assignor the percentage interest specified in Item 3 of Schedule 1 of all outstandings, rights and obligations under
the Credit Agreement relating to the facilities listed in Item 3 of Schedule 1. The Effective Date of the Assignment Agreement shall be the later of the date specified in Item 5 of Schedule 1 or two Business Days (or such
shorter period as agreed to by the Administrative Agent) after this Notice of Assignment and any consents and fees required by Sections 12.3(a) and 12.3(b) of the Credit Agreement have been delivered to the Administrative Agent; provided that
the Effective Date shall not occur if any condition precedent agreed to by the Assignor and the Assignee has not been satisfied. 
 4. The Assignor and the Assignee hereby give to the Borrower and the Administrative Agent notice of the assignment and delegation referred to herein. The Assignor will confer with the Administrative Agent
before the date specified in Item 5 of Schedule 1 to determine if the Assignment Agreement will become effective on such date pursuant to Section 3 hereof, and will confer with the Administrative Agent to determine the
Effective Date pursuant to Section 3 hereof if it occurs thereafter. The Assignor shall notify the Administrative Agent if the Assignment Agreement does not become effective on any proposed Effective Date as a result of the failure to
satisfy the conditions precedent agreed to by the Assignor and the Assignee. At the request of the Administrative Agent, the Assignor will give the Administrative Agent written confirmation of the satisfaction of the conditions precedent.

  
 B-9

 5. The Assignor or the Assignee shall pay to the Administrative Agent on or before the
Effective Date the processing fee of $3,500 required by Section 12.3(b) of the Credit Agreement. 
 6. The Assignee advises
the Administrative Agent that notice and payment instructions are set forth in the attachment to Schedule 1. 
 7. The
Assignee hereby represents and warrants that none of the funds, monies, assets or other consideration being used to make the purchase pursuant to the Assignment Agreement are “plan assets” as defined under ERISA and that its rights,
benefits, and interests in and under the Facility Documents will not be “plan assets” under ERISA. 
 8. The Assignee
authorizes each of the Administrative Agent and the Letter of Credit Agent to act as its agent under the Facility Documents in accordance with the terms thereof. The Assignee acknowledges that the Administrative Agent has no duty to supply
information with respect to the Borrower or the Facility Documents to the Assignee until the Assignee becomes a party to the Credit Agreement. 
 9. Pursuant to Clause 16 (Security Trustee provisions) of the deed of charge dated on or about 28 March 2011 and made between (amongst others) (1) the Borrower as chargor and ING Bank,
N.V. in its capacity as security trustee (the “Deed of Charge”), the Assignee confirms its agreement to (a) irrevocably appoint the Security Trustee (as that term is defined in the Credit Agreement) as trustee under the Security
Documents (as that term is defined in the Deed of Charge) in its capacity as a Secured Party (as that term is defined in the Deed of Charge) and (b) to be bound by the terms of the Deed of Charge as if it had been a Secured Party from the date
of the Deed of Charge. By countersigning this Assignment Agreement, the Security Trustee hereby accepts the appointment by the Assignee as its trustee under the Deed of Charge and this paragraph shall be governed by, and construed in accordance
with, English law and shall take effect and be binding on all parties notwithstanding that neither the Assignee nor the Security Trustee have, as a matter of English law, executed this Assignment Agreement as a deed. 

 

							
	[NAME OF ASSIGNOR]	 		 		 	[NAME OF ASSIGNEE]
				
	By:                             
                                         
                                     	 		 		 	By:                             
                                         
                                     
				
	Title:                            
                                         
                                   	 		 		 	Title:                            
                                         
                                   

  
 B-10

			
	 ACKNOWLEDGED AND CONSENTED TO
 BY ING Bank N.V., London Branch, as
 Administrative Agent, Letter of Credit

Agent and Security Trustee
	  	ACKNOWLEDGED AND CONSENTED TO BY THE
NAVIGATORS GROUP, INC.
		
	By:                             
                                         
                                         
         	  	By:                            
                                         
                                         
      
		
	Title:                            
                                         
                                         
       	  	Title:                            
                                         
                                         
  

 [Attach photocopy of Schedule 1 to Assignment Agreement] 

  
 B-11

 EXHIBIT C 

 

			
	FORM OF APPLICATION	  	

 From: 
 To: ING
Bank N.V., London Branch 
 Dated: 

Dear Sirs, 
  

	 	1.	This request to [issue a Letter of Credit][amend the stated amount of Letter of Credit No. []] is made under, and is subject to the terms and conditions of, that
certain Amended and Restated Funds at Lloyd’s Letter of Credit Agreement, dated as of November 21, 2012, as amended, among The Navigators Group, Inc., a Delaware corporation, certain financial institutions and ING Bank N.V., London Branch,
as Administrative Agent and Letter of Credit Agent (the “Credit Agreement”). In the event of a conflict between the terms and conditions of this letter of credit application and those of the Credit Agreement, the terms and
conditions of the Credit Agreement shall govern. 

  

	 	2.	This notice is irrevocable. 

  

	 	3.	We hereby give you notice that, pursuant to the Credit Agreement and upon the terms and subject to the conditions contained therein, we wish ING Bank N.V., London
Branch to [issue/ amend] on our behalf a Letter of Credit as follows: 

  

					
	 Applicant:
	  	 	[	•] 
	 Beneficiary
	  	 	[	•] 
	
Beneficiary address                    

	  	 	[	•] 
	 [New] LOC Amount:
	  	 	[	•] 
	 Utilization Date:
	  	 	[	•] 
	 Commencement Date:
	  	 	[	•] 
	 Currency
	  	 	[	•] 
	 Expiry Date:
	  	 	[	•] 

  

	 	4.	We confirm that the conditions of Section 4.2(a) and (b) of the Credit Agreement are fully complied with. 

Yours faithfully 
  

 
  
 Authorized Signatory 
 for and on behalf of 

The Navigators Group, Inc. 

  
 C-1

 EXHIBIT D 
 FORM OF BORROWING BASE CERTIFICATE 
  

	To:	ING, N.V. London Branch, 

 as
Administrative Agent 
 60 London Wall 
 London EC2M 5TQ 
 United Kingdom 

Re: The Navigators Group, Inc. 
 Ladies and
Gentlemen: 
 Please refer to that certain Amended and Restated Funds a Lloyd’s Letter of Credit Agreement, dated as of
November 21, 2012 (as amended, modified, renewed or extended from time to time, the “Agreement”), among The Navigators Group, Inc. (the “Borrower”), the lenders party thereto, and ING Bank N.V., London Branch,
as Administrative Agent and Letter of Credit Agent. This Certificate, together with supporting calculations attached hereto set forth in reasonable detail, is delivered to you pursuant to the terms of the Credit Agreement. Capitalized terms used but
not otherwise defined herein shall have the same meanings herein as in the Credit Agreement. 
 We hereby certify and warrant to
the Administrative Agent, Letter of Credit Agent and the Lenders that at the close of business on             ,             (the
“Borrowing Base Calculation Date”), the Borrowing Base for the undersigned was $            and the outstanding Letters of Credit Obligations was
$                         
 We hereby further certify and warrant to the Administrative Agent, the Letter of Credit Agent and the Lenders that the information and computations contained herein are true and correct in all material
respects as of the Borrowing Base Calculation Date. 
 IN WITNESS WHEREOF, the Borrower has caused this Certificate to be
executed and delivered by an authorized office this             day of             ,
            . 
 THE NAVIGATORS GROUP, INC.

 By: 
 Title: 

 SCHEDULE I TO BORROWING BASE CERTIFICATE 

DATED AS OF:
                     
 [FORM TO BE AGREED UPON BY ADMINISTRATIVE AGENT AND NAVIGATORS] 

  
 D-2

 EXHIBIT E 
 SECURITY AGREEMENT 
 [OMITTED] 

 EXHIBIT F 
 FIXED CHARGE 
 [OMITTED] 

 EXHIBIT G 
 FORM OF LETTER OF CREDIT 
 To: 
 The Society and Council of Lloyd’s, 
 c/o The Manager, Market Services, 

Fidentia House 
 Walter Burke Way 

Chatham, 
 Kent ME4
4RN                                         
                                         
           Date: 
 Dear Sirs, 
 Irrevocable Standby Letter of Credit No. xxxxxxxxxxxx 
 Re: xxxxxxxxxxxxx (the
‘Applicant’) 
 This Clean Irrevocable Standby Letter of Credit (the ‘Credit’) is issued by the banks whose
names are set out in Schedule 1 hereto (the ‘Issuing Lenders’, and each an ‘Issuing Lender’) in favour of the Society of Lloyd’s (‘Lloyd’s’) on the following terms: 

 

	1.	Subject to the terms hereof, the Issuing Lenders shall make payments within two business days of demand on ING Bank N.V., London Branch (the ‘Agent’)
in accordance with paragraph 4 below. 

  

	2.	Upon a demand being made by Lloyd’s pursuant to paragraph 4 below each Issuing Lender shall pay that proportion of the amount demanded which is equal to the
proportion which its Commitment set out in Schedule 1 hereto bears to the aggregate Commitments of all the Issuing Lenders set out in Schedule 1 hereto provided that the obligations of the Issuing Lenders under this Credit shall be several and no
Issuing Lender shall be required to pay an amount exceeding its Commitment set out in Schedule 1 hereto and the Issuing Lenders shall not be obliged to make payments hereunder in aggregate exceeding a maximum amount of xxxxx (figures and
words). Any payment by an Issuing Lender hereunder shall be made in US Dollars to Lloyd’s account specified in the demand made by Lloyd’s pursuant to paragraph 4 below. 

 

	3.	This Credit is effective from xxxxxxxxxxx (the ‘Commencement Date’) and will expire on the Final Expiration Date. This Credit shall remain in force
until we give you not less than four years notice in writing terminating the same on the fourth anniversary of the Commencement Date or on any date subsequent thereto as specified in such notice (the ‘Final Expiration Date’), our
notice to be sent by registered mail for the attention of the Manager, Market Services, at the above address. 

	4.	Subject to paragraph 3 above, the Issuing Lenders shall pay to Lloyd’s under this Credit upon presentation of a demand by Lloyd’s on the Agent, ING Bank N.V.,
60 London Wall, London, EC2M 5TQ, marked ‘For the attention of Documentary Credits/Agency Department’ substantially in the form set out in Schedule 2 hereto the amount specified therein (which amount shall not, when aggregated with all the
other amounts paid by the Issuing Lenders to Lloyd’s under this Credit, exceed the maximum amount referred to in paragraph 2 above). 

  

	5.	The Agent has signed this Credit as agent for disclosed principals and accordingly shall be under no obligation to Lloyd’s hereunder other than in its capacity as
an Issuing Bank. 

  

	6.	All charges are for the Applicants account. 

  

	7.	Subject to any contrary indication herein, this Credit is subject to the International Standby Practices- ISP98 (1998 Publication International Chamber of Commerce
Publication No. 590). 

  

	8.	This Credit shall be governed by and interpreted in accordance with English Law and the Issuing Lenders hereby irrevocably submit to the jurisdiction of the High Court
of Justice in England. 

  

	9.	Each of the Issuing Lenders engages with Lloyd’s that demands made under and in compliance with the terms and conditions of this Credit shall be duly honoured on
presentation. 

 Yours faithfully 
 ING Bank N.V., London Branch, as Agent: 
 for and on behalf of 

ING Bank N.V., London Branch 
 xxxxxxxxxxxxxxxx

 For and on behalf of 
 ING
Bank N.V., London Branch 

Name:                        
                 Name: 
 Title: Authorised
signatory        Title: Authorised signatory  
  

  
 G-2

 Attaching to and forming an integral part of Irrevocable Standby Letter of Credit No. xxxxxxxxxx dated
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx. 
 Schedule 1 

Issuing Lenders Commitments 
 Name and address of Issuing Lender
                                        
Commitment (USD) 
 Total Value
                                         
                                         
      USD 

  
 G-3

 Attaching to and forming an integral part of Irrevocable Standby Letter of Credit No. xxxxxxxxxxx dated
xxxxxxxxxxxx. 
 Schedule 2 
 Form of Demand 
 [on Lloyd’s letterhead] 

Dear Sir/Madam, 
 The Society of
Lloyd’s 
 Trustee of 

Letter of credit No. xxxxxxxxxxxx dated xxxxxxxxxxxxx 
 With reference to the above, we enclose for your attention a Bill of Exchange, together with the respective Letter of Credit. Payment should be made by way of CHAPS. The account details are as follows:

  

			
	National Westminster Bank Plc	  	Sort Code 60.00.01
	City of London Office	  	Account 13637444
	P.O. Box 12258	  	
	1 Princes Street	  	
	London EC2R 8AP	  	

 Please quote Member Code: 
 Yours faithfully 
 For Manager 
 Market Services 
 By: 
 Name: 
 Title: 

  
 G-4

 Attaching to and forming an integral part of Irrevocable Standby Letter of Credit No. xxxxxxxxxxx dated
xxxxxxxxxxxxxxxxxxxxxxx. 
 Schedule 2 

       Page 2 
 Your ref: 
 Our ref:
            MEM/     /     /     /C911f 
 Extn: 
 BILL OF EXCHANGE 
 The Society of Lloyd’s 
 Trustee of 

Letter of Credit No xxxxxxxxxxxxxx dated xxxxxxxxxxxxxxxxx. 
 Please pay in accordance with the terms of the Letter of Credit to our order the amount of USD....... 
 For and on behalf of 
 Authorised Signatory 

Market Services 
 To: ING Bank N.V., 

London Branch, 

as the Agent 

  
 G-5

 EXHIBIT H 
 FORM OF LLOYD’S COMFORT LETTER 
 Your reference 

Our reference MS/Mem Ser/NM/053617S&053575B 
                     , 2012 
 ADDRESSED TO ACCOUNT PARTY 
 AND ADMINISTRATIVE AGENT 

RE: Navigators Group Inc. and ING Bank N.V., London Branch 
 I understand that Navigators Corporate Underwriters Ltd and Millennium Underwriting Ltd (the “Corporate Members”) is about to procure the provision to Lloyd’s of acceptable assets to form
its Funds at Lloyd’s. The acceptable assets are listed in the First Schedule to this letter. You have asked whether, in the event of monies having to be applied out of the Corporate Members’ Funds at Lloyd’s, the Funds at Lloyd’s
of the Corporate Members’ may be drawn down in pre-determined order and proportions as set out in the Second Schedule to this letter. 
 As
you are aware, the Funds at Lloyd’s are held by Lloyd’s in its capacity as trustee under the terms of the Deposit Trust Deed (substantially in the form DTD (CM) Gen 10) and the Security and Trust Deed (substantially in the form STD (CM)
Gen 10) and interavailable (I/A) deed held been the members (STD (I/A-CM) (GEN) (10)) entered into by the corporate members’. Any decision to draw down on any Funds at Lloyd’s involves an exercise of discretion in the light of the
circumstances prevailing at the relevant time, and thus no binding undertaking can be given now. 
 However, I can confirm that at the time of
considering the drawdown of the Corporate Members’ Funds at Lloyd’s, Lloyd’s would take into account the request order of drawdown set out in this letter and the Second Schedule to it. 

For the avoidance of doubt, Lloyd’s shall not be responsible to you or any other person for any losses incurred by you or such other person as a
consequence of acting in reliance upon this letter. 
 For and on behalf of 
 The Society and Council of Lloyd’s 
 Authorized Signatory 

Telephone     01634 3492940 

Fax                01634 392366 

Email            neil.marsh@lloyds.com 

 The First Schedule 

Funds at Lloyd’s 
 (with respect to Name of Account Party) 
 [To be updated] 

 

			
	FAL provider	  	Amount
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) –DTGBLG404602
	  	GBP 1,500,000.00
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) –DTGBLG404603
	  	GBP 5,689,000.00
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) – DTGBLG404604
	  	GBP 17,500,000.00
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) – DTGBLG404605
	  	GBP 32,383,000.00
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) – DTGBLG404606
	  	GBP 12,624,000.00
		
	 Syndicated letter of credit (agent bank: ING Bank N.V., London Branch) – DTGBLG404607
	  	GBP 12,804,000.00
		
	 Total Syndicated letter of credit
	  	GBP 82,500,000.00
		
	 Funds held in Syndicate 1221 (Undistributed closed years profits and open years surplus/deficiency)
	  	GBP 41,106,618.00
		
	 Cash (Millennium Underwriting Ltd “MUL”– Personal Reserve Fund)
	  	GBP 699,372.87
		
	 Cash (Navigators Corporate Underwriters Ltd “NCUL” – Personal Reserve Fund)
	  	GBP 483,727.92
		
	 Cash (NCUL – General Deposit)
	  	GBP 38,780.78

  
 H-2

 The Second Schedule 

Order of drawdown of Funds at Lloyd’s 
 (with respect Name of Account Party) 
 [To be updated] 

 

	(a)	first, the GBP38,780.78 value in cash (NCUL General deposit) as at December 31, 2010 until exhausted; 

 

	(b)	second, the GBP483,727.92 value in cash (NCUL Personal Reserve Fund) as at December 31, 2010 until exhausted; 

 

	(c)	third, the GBP699,372.87 value in cash (MUL Personal Reserve Fund) as at December 31, 2010 until exhausted; 

 

	(d)	fourth, the GBP41,106,618 value in cash and securities (Funds held in Syndicate 1221) as at December 31, 2010 until exhausted; 

 

	(e)	fifth, the syndicated letter of credit (agent bank: ING Bank N.V., London Branch) in the maximum aggregate amount of GBP82,500,000.00 

  
 H-3

 EXHIBIT I-1 
 DEPOSIT ACCOUNT CONTROL AGREEMENT 
 [OMITTED] 

  
 I-1.1

 EXHIBIT I-2 
 SECURITIES ACCOUNT CONTROL AGREEMENT 
 [OMITTED] 

  
 I-1.1

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