Document:

Insurance Policy - Chubb Group of Insurance Companies

 Exhibit 10.35 
  

			
	Client#: 1127	  	RICHELE

  

							
	ACORDTM
            CERTIFICATE OF LIABILITY INSURANCE	  	 DATE (MM/DD/YYYY)
 05/20/05

		
	 PRODUCER
  
 Management Liability
 Mesirow Insurance Services
 321 N. Clark Street
 Chicago, IL 60610
	  	THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE
COVERAGE AFFORDED BY THE POLICIES BELOW.
				
	 	  	 	  	 INSURERS AFFORDING COVERAGE
  
	  	 NAIC #
  

	 INSURED
	  	 	  	INSURER A: Federal Insurance Co.	  	 
	 	  	 Richardson Electronics, Ltd.
 40W267
Keslinger Road
 P.O. Box 393
 La Fox, IL
60147
	  	 INSURER B:
 INSURER C
 INSURER D:
 INSURER E:
	  	 

  
 COVERAGES 
  
 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED
NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED
HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 
  

																	
	 INSR
 LTR

	 	 ADD’L
 INSR

	 	 TYPE OF INSURANCE

	 	POLICY
NUMBER

	 	 POLICY
EFFECTIVE
 DATE
 (MM/DD/YY)

	 	 POLICY
EXPIRATION
 DATE
 (MM/DD/YY)

	 	 LIMITS

	 	 	 	 	GENERAL LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$            
									
	 	 	 	 	 	 	COMMERCIAL GENERAL LIABILITY	 	 	 	 	 	 	 	 DAMAGE TO RENTED
 PREMISES (Ea
occurrence)
	 	$
									
	 	 	 	 	 	 	 ̈ CLAIMS MADE  ̈ OCCUR	 	 	 	 	 	 	 	MED EXP (Any one person)	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	PERSONAL & ADV INJURY	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	GENERAL AGGREGATE	 	$
	 	 	 	 	GEN’L AGGREGATE LIMIT APPLIES PER:	 	 	 	 	 	 	 	PRODUCTS - COMP/OP AGG	 	$
	 	 	 	 	 ̈ POLICY  ̈ PROJECT  ̈ LOC	 	 	 	 	 	 	 	 	 	 
								
	 	 	 	 	AUTOMOBILE LIABILITY	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	 COMBINED SINGLE LIMIT
 (Ea accident)
	 	$
	 	 	 	 	 	 	ALL OWNED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	SCHEDULED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per person)
	 	$
	 	 	 	 	 	 	HIRED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	NON-OWNED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per accident)
	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 PROPERTY DAMAGE
 (Per accident)
	 	$
								
	 	 	 	 	GARAGE LIABILITY	 	 	 	 	 	 	 	AUTO ONLY - EA ACCIDENT	 	$
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	EA ACC	 	$
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 OTHER THAN
 AUTO
ONLY:                                       
                 AGG
	 	$
								
	 	 	 	 	EXCESS/UMBRELLA LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$
	 	 	 	 	 	 	 ̈ OCCUR         ̈ CLAIMS	 	 	 	 	 	 	 	AGGREGATE	 	$
	 	 	 	 	 	 	DEDUCTIBLE	 	 	 	 	 	 	 	 	 	$
	 	 	 	 	 	 	RETENTION         $	 	 	 	 	 	 	 	 	 	$
							
	 	 	 WORKERS COMPENSATION AND
 EMPLOYERS’ LIABILITY
 ANY PROPRIETOR/PARTNER/EXECUTIVE
 OFFICER/MEMBER EXCLUDED?
 If yes, describe under
 SPECIAL PROVISIONS below
	 	 	 	 	 	 	 	  
  
 WC STATUTORY LIMITS        OTHER
  
  
 E.L. EACH ACCIDENT
 E.L. DISEASE - EA
EMPLOYEE
  
  
 E.L. DISEASE - POLICY LIMIT
	 	 $
 $
  
  
 $

							
	A	 	 OTHER Directors &
 Officers
Liab.
	 	81256460	 	6/30/04	 	06/30/05	 	$15,000,000	 	 
		
	DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS	 	 
	 Retentions: Unindemnified Claims: $0
 Indemnified Claims: $500,000
 Securities Claims: $500,000
	 	 	 	 

  

			
	CERTIFICATE HOLDER	  	CANCELLATION
	Evidence of Insurance	  	SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED
TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES.
		
	 	  	AUTHORIZED REPRESENTATIVE

 IMPORTANT 
  

If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder
in lieu of such endorsement(s). 
  
 If SUBROGATION IS WAIVED, subject to the terms
and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). 
  
 DISCLAIMER 
  
 The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and
the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. 

			
	Client#: 1127	  	RICHELE

  

							
	ACORDTM
            CERTIFICATE OF LIABILITY INSURANCE	  	 DATE (MM/DD/YYYY)
 05/20/05

		
	 PRODUCER
  
 Management Liability
 Mesirow Insurance Services
 321 N. Clark Street
 Chicago, IL 60610
	  	THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE
COVERAGE AFFORDED BY THE POLICIES BELOW.
				
	 	  	 	  	 INSURERS AFFORDING COVERAGE
  
	  	 NAIC #
  

	 INSURED
	  	 	  	INSURER A: St. Paul Companies – Chicago	  	 
	 	  	 Richardson Electronics, Ltd.
 40W267
Keslinger Road
 P.O. Box 393
 La Fox, IL
60147
	  	 INSURER B:
 INSURER C
 INSURER D:
 INSURER E:
	  	 

  
 COVERAGES 
  
 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED
NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED
HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 
  

																	
	 INSR
 LTR

	 	 ADD’L
 INSR

	 	 TYPE OF INSURANCE

	 	POLICY
NUMBER

	 	 POLICY
EFFECTIVE
 DATE
 (MM/DD/YY)

	 	 POLICY
EXPIRATION
 DATE
 (MM/DD/YY)

	 	 LIMITS

	 	 	 	 	GENERAL LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$            
									
	 	 	 	 	 	 	COMMERCIAL GENERAL LIABILITY	 	 	 	 	 	 	 	 DAMAGE TO RENTED
 PREMISES (Ea
occurrence)
	 	$
									
	 	 	 	 	 	 	 ̈ CLAIMS MADE  ̈ OCCUR	 	 	 	 	 	 	 	MED EXP (Any one person)	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	PERSONAL & ADV INJURY	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	GENERAL AGGREGATE	 	$
	 	 	 	 	GEN’L AGGREGATE LIMIT APPLIES PER:	 	 	 	 	 	 	 	PRODUCTS - COMP/OP AGG	 	$
	 	 	 	 	 ̈ POLICY  ̈ PROJECT  ̈ LOC	 	 	 	 	 	 	 	 	 	 
								
	 	 	 	 	AUTOMOBILE LIABILITY	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	 COMBINED SINGLE LIMIT
 (Ea accident)
	 	$
	 	 	 	 	 	 	ALL OWNED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	SCHEDULED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per person)
	 	$
	 	 	 	 	 	 	HIRED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	NON-OWNED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per accident)
	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 PROPERTY DAMAGE
 (Per accident)
	 	$
								
	 	 	 	 	GARAGE LIABILITY	 	 	 	 	 	 	 	AUTO ONLY - EA ACCIDENT	 	$
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	EA ACC	 	$
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 OTHER THAN
 AUTO
ONLY:                                       
             AGG
	 	$
								
	 	 	 	 	EXCESS/UMBRELLA LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$
	 	 	 	 	 	 	 ̈ OCCUR         ̈ CLAIMS	 	 	 	 	 	 	 	AGGREGATE	 	$
	 	 	 	 	 	 	DEDUCTIBLE	 	 	 	 	 	 	 	 	 	$
	 	 	 	 	 	 	RETENTION         $	 	 	 	 	 	 	 	 	 	$
							
	 	 	 WORKERS COMPENSATION AND
 EMPLOYERS’ LIABILITY
 ANY PROPRIETOR/PARTNER/EXECUTIVE
 OFFICER/MEMBER EXCLUDED?
 If yes, describe under
 SPECIAL PROVISIONS below
	 	 	 	 	 	 	 	  
 WC STATUTORY LIMITS    
OTHER
 E.L. EACH ACCIDENT
 E.L. DISEASE - EA EMPLOYEE

 
  
 E.L.
DISEASE - POLICY LIMIT
	 	 $
 $
  
  
 $

							
	A	 	 OTHER Excess
 Directors &
Officers Liab.
	 	512CM0138	 	6/30/04	 	06/30/05	 	 $10,000,000
 Excess of
$15,000,000
	 	 
		
	DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS	 	 

  

			
	CERTIFICATE HOLDER	  	CANCELLATION
	Evidence of Insurance	  	SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED
TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES.
		
	 	  	AUTHORIZED REPRESENTATIVE

 IMPORTANT 
  

If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder
in lieu of such endorsement(s). 
  
 If SUBROGATION IS WAIVED, subject to the terms
and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). 
  
 DISCLAIMER 
  
 The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and
the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. 

			
	Client#: 1127	  	RICHELE

  

							
	ACORDTM
            CERTIFICATE OF LIABILITY INSURANCE	  	 DATE (MM/DD/YYYY)
 05/20/05

		
	 PRODUCER
  
 Management Liability
 Mesirow Insurance Services
 321 N. Clark Street
 Chicago, IL 60610
	  	THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE
COVERAGE AFFORDED BY THE POLICIES BELOW.
				
	 	  	 	  	 INSURERS AFFORDING COVERAGE
  
	  	 NAIC #
  

	 INSURED
	  	 	  	INSURER A: National Union Fire Ins Co of PA	  	 
	 	  	 Richardson Electronics, Ltd.
 40W267
Keslinger Road
 P.O. Box 393
 La Fox, IL
60147
	  	 INSURER B:
 INSURER C
 INSURER D:
 INSURER E:
	  	 

  
 COVERAGES 
  
 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED
ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN
IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 
  

																	
	 INSR
 LTR

	 	 ADD’L
 INSR

	 	 TYPE OF INSURANCE

	 	POLICY
NUMBER

	 	 POLICY
EFFECTIVE
 DATE
 (MM/DD/YY)

	 	 POLICY
EXPIRATION
 DATE
 (MM/DD/YY)

	 	 LIMITS

	 	 	 	 	GENERAL LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$            
									
	 	 	 	 	 	 	COMMERCIAL GENERAL LIABILITY	 	 	 	 	 	 	 	 DAMAGE TO RENTED
 PREMISES (Ea
occurrence)
	 	$
									
	 	 	 	 	 	 	 ̈ CLAIMS MADE  ̈ OCCUR	 	 	 	 	 	 	 	MED EXP (Any one person)	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	PERSONAL & ADV INJURY	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	GENERAL AGGREGATE	 	$
	 	 	 	 	GEN’L AGGREGATE LIMIT APPLIES PER:	 	 	 	 	 	 	 	PRODUCTS - COMP/OP AGG	 	$
	 	 	 	 	 ̈ POLICY  ̈ PROJECT  ̈ LOC	 	 	 	 	 	 	 	 	 	 
								
	 	 	 	 	AUTOMOBILE LIABILITY	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	 COMBINED SINGLE LIMIT
 (Ea accident)
	 	$
	 	 	 	 	 	 	ALL OWNED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	SCHEDULED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per person)
	 	$
	 	 	 	 	 	 	HIRED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	NON-OWNED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per accident)
	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 PROPERTY DAMAGE
 (Per accident)
	 	$
								
	 	 	 	 	GARAGE LIABILITY	 	 	 	 	 	 	 	AUTO ONLY - EA ACCIDENT	 	$
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	EA ACC	 	$
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 OTHER THAN
 AUTO
ONLY:                                       
                 AGG
	 	$
								
	 	 	 	 	EXCESS/UMBRELLA LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$
	 	 	 	 	 	 	 ̈ OCCUR         ̈ CLAIMS	 	 	 	 	 	 	 	AGGREGATE	 	$
	 	 	 	 	 	 	DEDUCTIBLE	 	 	 	 	 	 	 	 	 	$
	 	 	 	 	 	 	RETENTION         $	 	 	 	 	 	 	 	 	 	$
							
	 	 	 WORKERS COMPENSATION AND
 EMPLOYERS’ LIABILITY
 ANY PROPRIETOR/PARTNER/EXECUTIVE
 OFFICER/MEMBER EXCLUDED?
 If yes, describe under
 SPECIAL PROVISIONS below
	 	 	 	 	 	 	 	  
 WC STATUTORY LIMITS     OTHER

E.L. EACH ACCIDENT
 E.L. DISEASE - EA EMPLOYEE
  
  
 E.L. DISEASE -
POLICY LIMIT
	 	 $
 $
  
  
 $

							
	A	 	 OTHER Excess
 Directors &
Officers Liab.
	 	3612797	 	6/30/04	 	06/30/05	 	 $5,000,000
 Excess
$25,000,000
	 	 
		
	DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS	 	 

  

			
	CERTIFICATE HOLDER	  	CANCELLATION
	Evidence of Insurance	  	SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED
TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES.
		
	 	  	AUTHORIZED REPRESENTATIVE

 IMPORTANT 
  

If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder
in lieu of such endorsement(s). 
  
 If SUBROGATION IS WAIVED, subject to the terms
and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). 
  
 DISCLAIMER 
  
 The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and
the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. 

			
	Client#: 1127	  	RICHELE

  

							
	ACORDTM
            CERTIFICATE OF LIABILITY INSURANCE	  	 DATE (MM/DD/YYYY)
 05/20/05

		
	 PRODUCER
  
 Management Liability
 Mesirow Insurance Services
 321 N. Clark Street
 Chicago, IL 60610
	  	THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE
COVERAGE AFFORDED BY THE POLICIES BELOW.
				
	 	  	 	  	 INSURERS AFFORDING COVERAGE
  
	  	 NAIC #
  

	 INSURED
	  	 	  	INSURER A: National Union Fire Ins Co. of PA	  	 
	 	  	 Richardson Electronics, Ltd.
 40W267
Keslinger Road
 P.O. Box 393
 La Fox, IL
60147
	  	 INSURER B:
 INSURER C
 INSURER D:
 INSURER E:
	  	 

  
 COVERAGES 
  
 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED
ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN
IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 
  

																	
	 INSR
 LTR

	 	 ADD’L
 INSR

	 	 TYPE OF INSURANCE

	 	POLICY
NUMBER

	 	 POLICY
EFFECTIVE
 DATE
 (MM/DD/YY)

	 	 POLICY
EXPIRATION
 DATE
 (MM/DD/YY)

	 	 LIMITS

	 	 	 	 	GENERAL LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$            
									
	 	 	 	 	 	 	COMMERCIAL GENERAL LIABILITY	 	 	 	 	 	 	 	 DAMAGE TO RENTED
 PREMISES (Ea
occurrence)
	 	$
									
	 	 	 	 	 	 	 ̈ CLAIMS MADE  ̈ OCCUR	 	 	 	 	 	 	 	MED EXP (Any one person)	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	PERSONAL & ADV INJURY	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	GENERAL AGGREGATE	 	$
	 	 	 	 	GEN’L AGGREGATE LIMIT APPLIES PER:	 	 	 	 	 	 	 	PRODUCTS - COMP/OP AGG	 	$
	 	 	 	 	 ̈ POLICY  ̈ PROJECT  ̈ LOC	 	 	 	 	 	 	 	 	 	 
								
	 	 	 	 	AUTOMOBILE LIABILITY	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	 COMBINED SINGLE LIMIT
 (Ea accident)
	 	$
	 	 	 	 	 	 	ALL OWNED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	SCHEDULED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per person)
	 	$
	 	 	 	 	 	 	HIRED AUTOS	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	NON-OWNED AUTOS	 	 	 	 	 	 	 	 BODILY INJURY
 (Per accident)
	 	$
									
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 PROPERTY DAMAGE
 (Per accident)
	 	$
								
	 	 	 	 	GARAGE LIABILITY	 	 	 	 	 	 	 	AUTO ONLY - EA ACCIDENT	 	$
	 	 	 	 	 	 	ANY AUTO	 	 	 	 	 	 	 	EA ACC    	 	$
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 OTHER THAN
 AUTO
ONLY:                                       
               AGG
	 	$
								
	 	 	 	 	EXCESS/UMBRELLA LIABILITY	 	 	 	 	 	 	 	EACH OCCURRENCE	 	$
	 	 	 	 	 	 	 ̈OCCUR         ̈ CLAIMS	 	 	 	 	 	 	 	AGGREGATE	 	$
	 	 	 	 	 	 	DEDUCTIBLE	 	 	 	 	 	 	 	 	 	$
	 	 	 	 	 	 	RETENTION         $	 	 	 	 	 	 	 	 	 	$
							
	 	 	 WORKERS COMPENSATION AND
 EMPLOYERS’ LIABILITY
 ANY PROPRIETOR/PARTNER/EXECUTIVE
 OFFICER/MEMBER EXCLUDED?
 If yes, describe under
 SPECIAL PROVISIONS below
	 	 	 	 	 	 	 	  
 WC STATUTORY LIMITS     OTHER

E.L. EACH ACCIDENT
 E.L. DISEASE - EA EMPLOYEE
  
  
 E.L. DISEASE -
POLICY LIMIT
	 	 $
 $
  
  
 $

							
	A	 	 OTHER Excess
 Directors &
Officers Liab.*
	 	3612791	 	6/30/04	 	06/30/05	 	 $5,000,000
 Excess
$30,000,000
	 	 
		
	DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS	 	 

	*	Coverage for unindemnified claims only 

			
		
	CERTIFICATE HOLDER	  	CANCELLATION
	Evidence of Insurance	  	SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED
TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES.
		
	 	  	AUTHORIZED REPRESENTATIVE

 IMPORTANT 
  

If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder
in lieu of such endorsement(s). 
  
 If SUBROGATION IS WAIVED, subject to the terms
and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). 
  
 DISCLAIMER 
  
 The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and
the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. 

			
	 Chubb Group of Insurance Companies
	  	Executive Protection PortfolioSM
	 15 Mountain View Road
	  	Executive Liability and Entity Securities
	 Warren, New Jersey 07059
	  	Liability Coverage Section

  

			
	DECLARATIONS	  	FEDERAL INSURANCE COMPANY
	 	  	A stock insurance company, incorporated under
	 	  	the laws of Indiana, herein called the Company

  
 THIS COVERAGE SECTION PROVIDES
CLAIMS MADE COVERAGE, WHICH APPLIES ONLY TO “CLAIMS” FIRST MADE DURING THE “POLICY PERIOD”, OR ANY EXTENDED REPORTING PERIOD. THE LIMIT OF LIABILITY TO PAY “LOSS” WILL BE REDUCED, AND MAY BE EXHAUSTED, BY “DEFENSE
COSTS”, AND “DEFENSE COSTS” WILL BE APPLIED AGAINST THE RETENTION. READ THE ENTIRE POLICY CAREFULLY. 
  

	Item	1. Parent Organization: 

  

	
	 RICHARDSON ELECTRONICS, LTD.

	 40W267 KESLINGER ROAD, P.O.BOX 393

	 LAFOX, IL 60147

  

	Item	2. Limits of Liability: 

  

						
	 (A)
	  	 Each Claim:
	  	$	15,000,000.00
	 (B)
	  	 Each Policy Period:
	  	$	15,000,000.00
	 (C)
	  	 Sublimit for all Securityholder Derivative Demands under Insuring Clause 4:
	  	$	250,000.00

  
 Item 3. Coinsurance Percentage:

  

						
	 (A)
	  	Securities Claims:	  	0.00	%
	 (B)
	  	Claims other than Securities Claims:	  	0.00	%

  
 Item 4. Retention: 
  

						
	(A)	  	Insuring Clauses 1 and 4:	  	 	None
	(B)	  	Insuring Clause 2 (Claims other than Securities Claims):	  	$	500,000.00
	(C)	  	Insuring Clauses 2 and 3 (Securities Claims only):	  	$	500,000.00

  
 Item 5. Organization:

  
 Richardson Electronics, LTD and its Subsidiaries 

			
	 Chubb Group of Insurance Companies
	  	Executive Protection PortfolioSM
	 15 Mountain View Road
	  	Executive Liability and Entity Securities
	 Warren, New Jersey 07059
	  	Liability Coverage Section

  
 Item 6. Extended Reporting Period:

  

					
	(A)	  	Additional Period:	  	one year
	(B)	  	Additional Premium:	  	150% of Annualized Premium for the Expiring Policy Period

  

					
	Item 7. Pending or Prior Date:             10/12/1983

 In consideration of payment of the premium and subject to the Declarations, the General Terms and Conditions, and the
limitations, conditions, provisions and other terms of this coverage section, the Company and the Insureds agree as follows: 
  
 Insuring Clauses 
  
 Executive Liability Coverage Insuring Clause 1 
  

	 	1.	The Company shall pay, on behalf of each of the Insured Persons, Loss for which the Insured Person is not indemnified by the Organization and which the
Insured Person becomes legally obligated to pay on account of any Claim first made against the Insured Person, individually or otherwise, during the Policy Period or, if exercised, during the Extended Reporting Period,
for a Wrongful Act committed, attempted, or allegedly committed or attempted by such Insured Person before or during the Policy Period, but only if such Claim is reported to the Company in writing in the manner and within
the time provided in Subsection 15 of this coverage section. 

  
 Executive Indemnification Coverage Insuring Clause 2 
  

	 	2.	The Company shall pay, on behalf of the Organization, Loss for which the Organization grants indemnification to an Insured Person, as permitted or required by
law, and which the Insured Person becomes legally obligated to pay on account of any Claim first made against the Insured Person, individually or otherwise, during the Policy Period or, if exercised, during the Extended
Reporting Period, for a Wrongful Act committed, attempted, or allegedly committed or attempted by such Insured Person before or during the Policy Period, but only if such Claim is reported to the Company in writing in the
manner and within the time provided in Subsection 15 of this coverage section. 

  
 Entity Securities Coverage Insuring Clause 3 
  

	 	3.	The Company shall pay, on behalf of the Organization, Loss which the Organization becomes legally obligated to pay on account of any Securities Claim first made
against the Organization during the Policy Period or, if exercised, during the Extended Reporting Period, for a Wrongful Act committed, attempted, or allegedly committed or attempted by the Organization or the Insured
Persons before or during the Policy Period, but only if such Securities Claim is reported to the Company in writing in the manner and within the time provided in Subsection 15 of this coverage section. 

  
 Securityholder Derivative Demand Coverage Insuring Clause 4 
  

	 	4.	The Company shall pay, on behalf of the Organization, Investigative Costs resulting from a Securityholder Derivative Demand first received by the Organization
during the Policy Period or, if exercised, during the Extended Reporting Period, for a Wrongful Act committed, attempted, or allegedly committed or attempted before or during the Policy Period, but only if such Securityholder
Derivative Demand is reported to the Company in writing in the manner and within the time provided in Subsection 15 of this coverage section. 

 Definitions 
  

	 	5.	When used in this coverage section: 

  
 Application means all signed applications, including attachments and other materials submitted therewith or incorporated therein, submitted by the
Insureds to the Company for this coverage section or for any coverage section or policy of which this coverage section is a direct or indirect renewal or replacement. 
  
 Application shall also include, for each Organization, all of the following documents whether or not submitted
with or attached to any such signed application: (i) the Annual Report (including financial statements) last issued to shareholders before this policy’s inception date; (ii) the report last filed with the Securities and Exchange Commission on
Form 10-K before this policy’s inception date; (iii) the report last filed with the Securities and Exchange Commission on Form 10-Q before this policy’s inception date; (iv) the proxy statement and (if different) definitive proxy statement
last filed with the Securities and Exchange Commission before this policy’s inception date; (v) all reports filed with the Securities and Exchange Commission on Form 8-K during the twelve months preceding this policy’s inception date; and
(vi) all reports filed with the Securities and Exchange Commission on Schedule 13D, with respect to any equity securities of such Organization, during the twelve months preceding this policy’s inception date. All such applications,
attachments, materials and other documents are deemed attached to, incorporated into and made a part of this coverage section. 
  
 Claim means: 
  

	 	(1)	when used in reference to the coverage provided by Insuring Clause 1 or 2: 

  

	 	(a)	a written demand for monetary damages or non-monetary relief; 

  

	 	(b)	a civil proceeding commenced by the service of a complaint or similar pleading; or 

  

	 	(c)	a formal civil administrative or civil regulatory proceeding commenced by the filing of a notice of charges or similar document or by the entry of a formal order of investigation or
similar document, 

  
 against an Insured
Person for a Wrongful Act, including any appeal therefrom; 
  

	 	(2)	when used in reference to the coverage provided by Insuring Clause 3: 

  

	 	(a)	a written demand for monetary damages or non-monetary relief; 

  

	 	(b)	a civil proceeding commenced by the service of a complaint or similar pleading; or 

  

	 	(c)	a formal civil administrative or civil regulatory proceeding commenced by the filing of a notice of charges or similar document or by the entry of a formal order of investigation or
similar document, but only while such proceeding is also pending against an Insured Person, 

  
 against an Organization for a Wrongful Act, including any appeal therefrom; or 
  

	 	(3)	when used in reference to the coverage provided by insuring Clause 4, a Securityholder Derivative Demand. 

  
 Except as may otherwise be provided in Subsection 12, Subsection 13(g), or
Subsection 15(b) of this coverage section, a Claim will be deemed to have first been made when such Claim is commenced as set forth in this definition (or, in the case of a written demand, including but not limited to any
Securityholder Derivative Demand, when such demand is first received by an Insured). 

 Defense Costs means that part of Loss consisting of reasonable costs, charges, fees
(including but not limited to attorneys’ fees and experts’ fees) and expenses (other than regular or overtime wages, salaries, fees or benefits of the directors, officers or employees of the Organization) incurred in defending any
Claim and the premium for appeal, attachment or similar bonds. 
  
 Domestic Partner means any natural person qualifying as a domestic partner under the provisions of any applicable federal, state or local law or under the provisions of any formal program established by the Organization.

  
 Financial Impairment means the status of an
Organization resulting from: 
  

	 	(a)	the appointment by any state or federal official, agency or court of any receiver, conservator, liquidator, trustee, rehabilitator or similar official to take control of, supervise,
manage or liquidate such Organization; or 

  

	 	(b)	such Organization becoming a debtor in possession under the United States bankruptcy law or the equivalent of a debtor in possession under the law of any other country.

  
 Insured means the Organization
and any Insured Person. 
  
 Insured Capacity
means the position or capacity of an Insured Person that causes him or her to meet the definition of Insured Person set forth in this coverage section. Insured Capacity does not include any position or capacity held by an
Insured Person in any organization other than the Organization, even if the Organization directed or requested the Insured Person to serve in such position or capacity in such other organization. 
  
 Insured Person means any natural person who was, now is or shall
become: 
  

	 	(a)	a duly elected or appointed director, officer, Manager, or the in-house general counsel of any Organization chartered in the United States of America;

  

	 	(b)	a holder of a position equivalent to any position described in (a) above in an Organization that is chartered in any jurisdiction other than the United States of America; or

  

	 	(c)	solely with respect to Securities Claims, any other employee of an Organization, provided that such other employees shall not, solely by reason of their status as
employees, be Insured Persons for purposes of Exclusion 6(c). 

  
 Investigative Costs means reasonable costs, charges, fees (including but not limited to attorneys’ fees and experts’ fees) and expenses (other than regular or overtime wages, salaries, fees, or
benefits of the directors, officers or employees of the Organization) incurred by the Organization (including its Board of Directors or any committee of its Board of Directors) in investigating or evaluating on behalf of the
Organization whether it is in the best interest of the Organization to prosecute the claims alleged in a Securityholder Derivative Demand. 
  

Loss means: 
  

	 	(a)	the amount that any Insured Person (for purposes of Insuring Clauses 1 and 2) or the Organization (for purposes of Insuring Clause 3) becomes legally obligated to pay
on account of any covered Claim, including but not limited to 

 damages (including punitive or exemplary damages, if and to the extent that such punitive or exemplary
damages are insurable under the law of the jurisdiction most favorable to the insurability of such damages provided such jurisdiction has a substantial relationship to the relevant Insureds, to the Company, or to the Claim giving rise
to the damages), judgments, settlements, pre-judgment and post-judgment interest and Defense Costs; or 
  

	 	(b)	for purposes of insuring Clause 4, covered Investigative Costs. 

  
 Loss does not include: 
  

	 	(a)	any amount not indemnified by the Organization for which an Insured Person is absolved from payment by reason of any covenant, agreement or court order;

  

	 	(b)	any costs incurred by the Organization to comply with any order for injunctive or other non-monetary relief, or to comply with an agreement to provide such relief;

  

	 	(c)	any amount incurred by an Insured in the defense or investigation of any action, proceeding or demand that is not then a Claim even if (i) such amount also benefits
the defense of a covered Claim, or (ii) such action, proceeding or demand subsequently gives rise to a Claim; 

  

	 	(d)	taxes, fines or penalties, or the multiple portion of any multiplied damage award, except as provided above with respect to punitive or exemplary damages; 

 

	 	(e)	any amount not insurable under the law pursuant to which this coverage section is construed, except as provided above with respect to punitive or exemplary damages;

  

	 	(f)	any amount allocated to non-covered loss pursuant to Subsection 17 of this coverage section; or 

  

	 	(g)	any amount that represents or is substantially equivalent to an increase in the consideration paid (or proposed to be paid) by an Organization in connection with its purchase
of any securities or assets. 

  
 Manager
means any natural person who was, now is or shall become a manager, member of the Board of Managers or equivalent executive of an Organization that is a limited liability company. 
  
 Organization means, collectively, those organizations designated in
Item 5 of the Declarations for this coverage section, including any such organization in its capacity as a debtor in possession under the United States bankruptcy law or in an equivalent status under the law of any other country. 
  
 Pollutants means (a) any substance located anywhere in the world
exhibiting any hazardous characteristics as defined by, or identified on a list of hazardous substances issued by, the United States Environmental Protection Agency or any state, county, municipality or locality counterpart thereof, including,
without limitation, solids, liquids, gaseous or thermal irritants, contaminants or smoke, vapor, soot, fumes, acids, alkalis, chemicals or waste materials, or (b) any other air emission, odor, waste water, oil or oil products, infectious or medical
waste, asbestos or asbestos products or any noise. 

 Related Claims means all Claims for Wrongful Acts based upon, arising from, or in
consequence of the same or related facts, circumstances, situations, transactions or events or the same or related series of facts, circumstances, situations, transactions or events. 
  
 Securities Claim means that portion of a Claim which: 
  

	 	(a)	is brought by a securityholder of an Organization 

  

	 	(i)	in his or her capacity as a securityholder of such Organization, with respect to his or her interest in securities of such Organization, and against such
Organization or any of its Insured Persons; or 

  

	 	(ii)	derivatively, on behalf of such Organization, against an Insured Person of such Organization; or 

  

	 	(b)	alleges that an Organization or any of its Insured Persons 

  

	 	(i)	violated a federal, state, local or foreign securities law or a rule or regulation promulgated under any such securities law: or 

  

	 	(ii)	committed a Wrongful Act that constitutes or arises from a purchase, sale, or offer to purchase or sell securities of such Organization, 

  
 provided that Securities Claim does not include any Claim by
or on behalf of a former, current, future or prospective employee of the Organization that is based upon, arising from, or in consequence of any offer, grant or issuance, or any plan or agreement relating to the offer, grant or issuance, by
the Organization to such employee in his or her capacity as such of stock, stock warrants, stock options or other securities of the Organization, or any payment or instrument the amount or value of which is derived from the value of
securities of the Organization; and provided, further, that Securities Claim does not include any Securityholder Derivative Demand. 
  
 Securityholder Derivative Demand means: 
  

	 	(a)	any written demand. by a securityholder of an Organization, upon the Board of Directors or Board of Managers of such Organization to bring a civil proceeding in
a court of law against an Insured Person for a Wrongful Act; or 

  

	 	(b)	any lawsuit by a securityholder of an Organization, brought derivatively on behalf of such Organization against an Insured Person for a Wrongful Act
without first making a demand as described in (a) above, 

  
 provided such demand or lawsuit is brought and maintained without any active assistance or participation of, or solicitation by, any Insured Person. 
  
 Subsidiary, either in the singular or plural, means any organization
while more than fifty percent (50%) of the outstanding securities or voting rights representing the present right to vote for election of or to appoint directors or Managers of such organization are owned or controlled, directly or
indirectly, in any combination, by one or more Organizations. 
  
 Wrongful Act means: 
  

	 	(a)	any error, misstatement, misleading statement, act, omission, neglect, or breach of duty committed, attempted, or allegedly committed or attempted by an 

 Insured Person in his or her Insured Capacity, or for purposes of coverage under Insuring
Clause 3, by the Organization, or 
  

	 	(b)	any other matter claimed against an Insured Person solely by reason of his or her serving in an Insured Capacity. 

  
 Exclusions 
  
 Applicable To All Insuring Clauses 
  

	 	6.	The Company shall not be liable for Loss on account of any Claim: 

  

	 	(a)	based upon, arising from, or in consequence of any fact, circumstance, situation, transaction, event or Wrongful Act that, before the inception date set forth in Item 2 of
the Declarations of the General Terms and Conditions, was the subject of any notice given under any policy or coverage section of which this coverage section is a direct or indirect renewal or replacement; 

  

	 	(b)	based upon, arising from, or in consequence of any demand, suit or other proceeding pending against, or order, decree or judgment entered for or against any Insured, on or
prior to the Pending or Prior Date set forth in Item 7 of the Declarations for this coverage section, or the same or substantially the same fact, circumstance or situation underlying or alleged therein; 

  

	 	(c)	brought or maintained by or on behalf of any Insured in any capacity; provided that this Exclusion 6(c) shall not apply to: 

  

	 	(i)	a Claim brought or maintained derivatively on behalf of the Organization by one or more securityholders of the Organization, provided such Claim is
brought and maintained without any active assistance or participation of, or solicitation by, any Insured Person; 

  

	 	(ii)	an employment Claim brought or maintained by or on behalf of an Insured Person; 

  

	 	(iii)	a Claim brought or maintained by an Insured Person for contribution or indemnity, if such Claim directly results from another Claim covered under this
coverage section; or 

  

	 	(iv)	a Claim brought by an Insured Person who has not served in an Insured Capacity for at least four (4) years prior to the date such Claim is first made and
who brings and maintains such Claim without any active assistance or participation of, or solicitation by, the Organization or any other Insured Person who is serving or has served in an Insured Capacity within such four
(4) year period; 

  

	 	(d)	based upon, arising from, or in consequence of: 

  

	 	(i)	any actual, alleged, or threatened exposure to, or generation, storage, transportation, discharge, emission, release, dispersal, escape, treatment, removal or disposal of any
Pollutants; or 

	 	(ii)	any regulation, order, direction or request to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize any Pollutants, or any action taken in
contemplation or anticipation of any such regulation, order, direction or request, 

  
 including but not limited to any Claim for financial loss to the Organization, its securityholders or its creditors based upon, arising
from, or in consequence of any matter described in clause (i) or clause (ii) of this Exclusion 6(d); 
  

	 	(e)	for bodily injury, mental anguish, emotional distress, sickness, disease or death of any person or damage to or destruction of any tangible property including loss of use thereof
whether or not it is damaged or destroyed; provided that this Exclusion 6(e) shall not apply to mental anguish or emotional distress for which a claimant seeks compensation in an employment Claim; 

  

	 	(f)	for an actual or alleged violation of the responsibilities, obligations or duties imposed on fiduciaries by the Employee Retirement Income Security Act of 1974, or any amendments
thereto, or any rules or regulations promulgated thereunder, or any similar provisions of any federal, state, or local statutory law or common law anywhere in the world; 

  

	 	(g)	for Wrongful Acts of an Insured Person in his or her capacity as a director, officer, manager, trustee, regent, governor or employee of any entity other than the
Organization, even if the Insured Person’s service in such capacity is with the knowledge or
consent or at the request of the Organization; or 

  

	 	(h)	made against a Subsidiary or an Insured Person of such Subsidiary for any Wrongful Act committed, attempted, or allegedly committed or attempted during
any time when such entity was not a Subsidiary. 

  
 Applicable To Insuring Clauses 1 and 2 Only 
  

	 	7.	The Company shall not be liable under Insuring Clause 1 or 2 for Loss on account of any Claim made against any Insured Person: 

 

	 	(a)	for an accounting of profits made from the purchase or sale by such Insured Person of securities of the Organization within the meaning of Section 16(b) of the
Securities Exchange Act of 1934, any amendments thereto, or any similar provision of any federal, state, or local statutory law or common law anywhere in the world; or 

  

	 	(b)	based upon, arising from, or in consequence of: 

  

	 	(i)	the committing in fact of any deliberately fraudulent act or omission or any willful violation of any statute or regulation by such Insured Person; or

  

	 	(ii)	such Insured Person having gained in fact any profit, remuneration or advantage to which such Insured Person was not legally entitled, 

  
 as evidenced by (A) any written statement or written document by any
Insured or (B) any judgment or ruling in any judicial, administrative or alternative dispute resolution proceeding. 

 Applicable To Insuring Clause 3 Only 
  

	 	8.	The Company shall not be liable under Insuring Clause 3 for Loss on account of any Securities Claim made against any Organization: 

  

	 	(a)	based upon, arising from, or in consequence of: 

  

	 	(i)	the committing in fact of any deliberately fraudulent act or omission or any willful violation of any statute or regulation by an Organization or by any past, present or
future chief financial officer, in-house general counsel, president, chief executive officer or chairperson of an Organization; or 

  

	 	(ii)	such Organization having gained in fact any profit, remuneration or advantage to which such Organization was not legally entitled, 

  
 as evidenced by (A) any written statement or written document by any
Insured or (B) any judgment or ruling in any judicial, administrative or alternative dispute resolution proceeding; or 
  

	 	(b)	for any actual or alleged liability of an Organization under any contract or agreement that relates to the purchase, sale, or offer to purchase or sell any securities;
provided that this Exclusion 8(b) shall not apply to liability that would have attached to such Organization in the absence of such contract or agreement. 

  
 Severability of Exclusions 
  

					
	9.	 	(a)	  	 No fact pertaining to or knowledge possessed by any Insured Person shall be imputed to any other Insured Person for the purpose of applying the
exclusions in Subsection 7 of this coverage section.

  

	 	(b)	Only facts pertaining to and knowledge possessed by any past, present, or future chief financial officer, in-house general counsel, president, chief executive officer or chairperson
of an Organization shall be imputed to such Organization for the purpose of applying the exclusions in Subsection 8 of this coverage section. 

  
 Spouses, Estates and Legal Representatives 
  

	 	10.	Subject otherwise to the General Terms and Conditions and the limitations, conditions, provisions and other terms of this coverage section, coverage shall extend to Claims
for the Wrongful Acts of an Insured Person made against: 

  

	 	(a)	the estate, heirs, legal representatives or assigns of such Insured Person if such Insured Person is deceased or the legal representatives or assigns of such
Insured Person if such Insured Person is incompetent, insolvent or bankrupt; or 

  

	 	(b)	the lawful spouse or Domestic Partner of such Insured Person solely by reason of such spouse or Domestic Partner’s status as a spouse or Domestic
Partner, or such spouse or Domestic Partner’s ownership interest in property which the claimant seeks as recovery for an alleged Wrongful Act of such Insured Person. 

  
 All terms and conditions of this coverage section, including without
limitation the Retention, applicable to Loss incurred by the Insured Persons, shall also apply to loss incurred by the estates, heirs, legal representatives, assigns, spouses and Domestic Partners of such Insured Persons.
The coverage provided by this Subsection 10 shall not apply with respect to any loss arising from an act or omission by an Insured Person’s estate, heirs, legal representatives, assigns, spouse or Domestic Partner. 

 Coordination With Employment Practices Liability Coverage Section 
  

	 	11.	Any Loss otherwise covered by both (i) this coverage section and (ii) any employment practices liability coverage section or policy issued by the Company or by any affiliate
of the Company (an “Employment Practices Liability Coverage”) first shall be covered as provided in, and shall be subject to the limit of liability, retention and coinsurance percentage applicable to such Employment Practices Liability
Coverage. Any remaining Loss otherwise covered by this coverage section which is not paid under such Employment Practices Liability Coverage shall be covered as provided in, and shall be subject to the Limit of Liability, Retention and
Coinsurance Percentage applicable to this coverage section; provided the Retention applicable to such Loss under this coverage section shall be reduced by the amount of Loss otherwise covered by this coverage section which is paid by
the Insureds as the retention under such Employment Practices Liability Coverage. 

  
 Extended Reporting Period 
  

	 	12.	If the Company or the Parent Organization terminates or does not renew this coverage section, other than termination by the Company for nonpayment of premium, the Parent
Organization and the Insured Persons shall have the right, upon payment of the additional premium set forth in Item 6(B) of the Declarations for this coverage section, to an extension of the coverage granted by this coverage section for
Claims that are (i) first made during the period set forth in Item 6(A) of the Declarations for this coverage section (the “Extended Reporting Period”) following the effective date of termination or nonrenewal, and (ii) reported to
the Company in writing within the time provided in Subsection 15(a) of this coverage section, but only to the extent such Claims are for Wrongful Acts committed, attempted, or allegedly committed or attempted before the earlier of the
effective date of termination or nonrenewal or the date of the first merger, consolidation or acquisition event described in Subsection 21 below. The offer of renewal terms and conditions or premiums different from those in effect prior to renewal
shall not constitute refusal to renew. The right to purchase an extension of coverage as described in this Subsection shall lapse unless written notice of election to purchase the extension, together with payment of the additional premium due, is
received by the Company within thirty (30) days after the effective date of termination or nonrenewal. Any Claim made during the Extended Reporting Period shall be deemed to have been made during the immediately preceding Policy
Period. The entire additional premium for the Extended Reporting Period shall be deemed fully earned at the inception of such Extended Reporting Period. 

  
 Limit of Liability, Retention and Coinsurance 
  

					
	13.	 	(a)	  	 The Company’s maximum liability for all Loss on account of each Claim, whether covered under one or more Insuring Clauses, shall be the Limit of
Liability set forth in Item 2(A) of the Declarations for this coverage section. The Company’s maximum aggregate liability for all Loss on account of all Claims first made during the Policy Period, whether covered under one
or more Insuring Clauses, shall be the Limit of Liability for each Policy Period set forth in Item 2(B) of the Declarations for this coverage section.

  

	 	 (b)	The Company’s maximum aggregate liability under Insuring Clause 4 for all Investigative Costs on account of all Securityholder Derivative Demands shall be the
Sublimit set forth in Item 2(C) of the Declarations for this coverage section. Such Sublimit is part of, and not in addition to, the Limits of Liability set forth in Items 2(A) and 2(B) of the Declarations. 

	 	(c)	Defense Costs are part of, and not in addition to, the Limits of Liability set forth in Item 2 of the Declarations for this coverage section, and the payment by the Company
of Defense Costs shall reduce and may exhaust such applicable Limits of Liability. 

  

	 	(d)	The Company’s liability under Insuring Clause 2 or 3 shall apply only to that part of covered Loss (as determined by any applicable provision in Subsection 17 of this
coverage section) on account of each Claim which is excess of the applicable Retention set forth in Item 4 of the Declarations for this coverage section. Such Retention shall be depleted only by Loss otherwise covered under this
coverage section and shall be borne by the Insureds uninsured and at their own risk. Except as otherwise provided in Subsection 14, no Retention shall apply to any Loss under Insuring Clause 1 or 4. 

  

	 	(e)	If different parts of a single Claim are subject to different Retentions, the applicable Retentions will be applied separately to each part of such Claim, but the sum
of such Retentions shall not exceed the largest applicable Retention. 

  

	 	(f)	To the extent that Loss resulting from a Securities Claim is covered under Insuring Clause 2 or 3 (as determined by Subsection 17(a) of this coverage section) and is
in excess of the applicable Retention, the Insureds shall bear uninsured and at their own risk that percentage of such Loss specified as the Coinsurance Percentage in Item 3(A) of the Declarations for this coverage section, and the
Company’s liability shall apply only to the remaining percentage of such Loss. To the extent that Loss resulting from a Claim other than a Securities Claim is covered under Insuring Clause 2 or 3 (as determined by
Subsection 17(b) of this coverage section) and is in excess of the applicable Retention, the Insureds shall bear uninsured and at their own risk that percentage of such Loss specified as the Coinsurance Percentage in Item 3(B) of the
Declarations for this coverage section, and the Company’s liability shall apply only to the remaining percentage of such Loss. 

  

	 	(g)	All Related Claims shall be treated as a single Claim first made on the date the earliest of such Related Claims was first made, or on the date the earliest of
such Related Claims is treated as having been made in accordance with Subsection 15(b) below, regardless of whether such date is before or during the Policy Period. 

  

	 	(h)	The limit of liability available during the Extended Reporting Period (if exercised) shall be part of, and not in addition to, the Company’s maximum aggregate limit of
liability for all Loss on account of all Claims first made during the immediately preceding Policy Period. 

  
 Presumptive Indemnification 
  

	 	14.	If the Organization fails or refuses, other than for reason of Financial Impairment, to indemnify an Insured Person for Loss, or to advance Defense
Costs on behalf of an Insured Person, to the fullest extent permitted by statutory or common law, then, notwithstanding any other conditions, provisions or terms of this coverage section to the contrary, any payment by the Company
of such Defense Costs or other Loss shall be subject to: 

  

	 	(i)	the applicable Insuring Clause 2 Retention set forth in Item 4 of the Declarations for this coverage section; and 

							
	 	  	 	  	(ii)	  	the applicable Coinsurance Percentage set forth in Item 3 of the Declarations for this coverage section.

  
 Reporting and Notice

  

							
	15.	  	(a)	  	The Insureds shall, as a condition precedent to exercising any right to coverage under this coverage section, give to the Company written notice of any Claim as soon as
practicable, but in no event later than the earliest of the following dates:
				
	 	  	 	  	(i)	  	sixty (60) days after the date on which any Organization’s chief financial officer, in-house general counsel, risk manager, president, chief executive officer or chairperson first
becomes aware that the Claim has been made;
				
	 	  	 	  	(ii)	  	if this coverage section expires (or is otherwise terminated) without being renewed and if no Extended Reporting Period is purchased, sixty (60) days after the effective date of such expiration
or termination; or
				
	 	  	 	  	(iii)	  	the expiration date of the Extended Reporting Period, if purchased;
			
	 	  	 	  	provided that if the Company sends written notice to the Parent Organization, at any time before the date set forth in (i) above with respect to any Claim, stating that
this coverage section is being terminated for nonpayment of premium, the Insureds shall give to the Company written notice of such Claim prior to the effective date of such termination.
			
	 	  	(b)	  	If during the Policy Period an Insured:
				
	 	  	 	  	(i)	  	becomes aware of circumstances which could give rise to a Claim and gives written notice of such circumstances to the Company;
				
	 	  	 	  	(ii)	  	receives a written request to toll or waive a statute of limitations applicable to Wrongful Acts committed, attempted, or allegedly committed or attempted before or during the Policy
Period and gives written notice of such request and of such alleged Wrongful Acts to the Company; or
				
	 	  	 	  	(iii)	  	gives written notice to the Company of a Securityholder Derivative Demand,
			
	 	  	 	  	then any Claim subsequently arising from the circumstances referred to in (i) above, from the Wrongful Acts referred to in (ii) above, or from the Securityholder
Derivative Demand referred to in (iii) above, shall be deemed to have been first made during the Policy Period in which the written notice described in (i), (ii) or (iii) above was first given by an Insured to the Company, provided
any such subsequent Claim is reported to the Company as set forth in Subsection 15(a) above. With respect to any such subsequent Claim, no coverage under this coverage section shall apply to loss incurred prior to the date such
subsequent Claim is actually made.
			
	 	  	(c)	  	The Insureds shall, as a condition precedent to exercising any right to coverage under this coverage section, give to the Company such information, assistance, and cooperation
as the Company may reasonably require, and shall include in any notice under Subsection 15(a) or (b) a description of the Claim, circumstances, or Securityholder Derivative Demand, the nature of any alleged Wrongful Acts, the
nature of the alleged or potential damage, the names of all actual or potential claimants, the names of all actual or potential defendants, and the manner in which such Insured first became aware of the Claim, circumstances, or
Securityholder Derivative Demand.

 Defense and Settlement 
  

							
	16.	  	(a)	  	It shall be the duty of the Insureds and not the duty of the Company to defend Claims made against the Insureds.
			
	 	  	(b)	  	The Insureds agree not to settle or offer to settle any Claim, incur any Defense Costs or otherwise assume any contractual obligation or admit any liability with
respect to any Claim without the Company’s prior written consent. The Company shall not be liable for any element of Loss incurred, for any obligation assumed, or for any admission made, by any Insured without the
Company’s prior written consent. Provided the Insureds comply with Subsections 16(c) and (d) below, the Company shall not unreasonably withhold any such consent.
			
	 	  	(c)	  	With respect to any Claim that appears reasonably likely to be covered in whole or in part under this coverage section, the Company shall have the right and shall be given the
opportunity to effectively associate with the Insureds, and shall be consulted in advance by the Insureds, regarding the investigation, defense and settlement of such Claim, including but not limited to selecting appropriate
defense counsel and negotiating any settlement.
			
	 	  	(d)	  	The Insureds agree to provide the Company with all information, assistance and cooperation which the Company may reasonably require and agree that in the event of a Claim
the Insureds will do nothing that could prejudice the Company’s position or its potential or actual rights of recovery.
			
	 	  	(e)	  	Any advancement of Defense Costs shall be repaid to the Company by the Insureds, severally according to their respective interests, if and to the extent it is
determined that such Defense Costs are not insured under this coverage section.

  
 Allocation 

 

							
			
	17.	  	(a)	 	If in any Securities Claim the Insureds incur both Loss that is covered under this coverage section and loss that is not covered under this coverage section, the
Insureds and the Company shall allocate such amount between covered Loss and non-covered loss as follows:
				
	 	  	 	 	(i)	  	The portion, if any, of such amount that is in part covered and in part not covered under Insuring Clause 2 shall be allocated in its entirety to covered Loss, subject, however, to the
applicable Retention and Coinsurance Percentage set forth in Items 4(C) and 3(A) of the Declarations for this coverage section, respectively; and
				
	 	  	 	 	(ii)	  	The portion, if any, of such amount that is in part covered and in part not covered under Insuring Clause 1 or 3 shall be allocated between covered Loss and non-covered loss based on the
relative legal and financial exposures of the Insureds to covered and non-covered matters and, in the event of a settlement in such Securities Claim, based also on the relative benefits to the Insureds from settlement of the
covered matters and from settlement of the non-covered matters; provided that the amount so allocated to covered Loss under Insuring Clause 3 shall be subject to the Retention and Coinsurance Percentage set forth in Items 4(C) and 3(A) of the
Declarations for this coverage section, respectively.

 The Company shall not be liable under this coverage section for the portion of such amount allocated to
non-covered loss. The allocation described in (i) above shall be final and binding on the Company and the Insureds under Insuring Clause 2, but shall not apply to any allocation under Insuring Clauses 1 and 3. 
  

	 	(b)	If in any Claim other than a Securities Claim the Insured Persons incur both Loss that is covered under this coverage section and loss that is not
covered under this coverage section, either because such Claim includes both covered and non-covered matters or because such Claim is made against both Insured Persons and others (including the Organization), the
Insureds and the Company shall allocate such amount between covered Loss and non-covered loss based on the relative legal and financial exposures of the parties to covered and non-covered matters and, in the event of a settlement in
such Claim, based also on the relative benefits to the parties from such settlement. The Company shall not be liable under this coverage section for the portion of such amount allocated to non-covered loss. 

  

	 	(c)	If the Insureds and the Company agree on an allocation of Defense Costs, the Company shall advance on a current basis Defense Costs allocated to the covered
Loss. If the Insureds and the Company cannot agree on an allocation: 

  

	 	(i)	no presumption as to allocation shall exist in any arbitration, suit or other proceeding; 

  

	 	(ii)	the Company shall advance on a current basis Defense Costs which the Company believes to be covered under this coverage section until a different allocation is negotiated,
arbitrated or judicially determined; and 

  

	 	(iii)	the Company, if requested by the Insureds, shall submit the dispute to binding arbitration. The rules of the American Arbitration Association shall apply except with respect
to the selection of the arbitration panel, which shall consist of one arbitrator selected by the Insureds, one arbitrator selected by the Company, and a third independent arbitrator selected by the first two arbitrators.

  

	 	(d)	Any negotiated, arbitrated or judicially determined allocation of Defense Costs on account of a Claim shall be applied retroactively to all Defense Costs on
account of. such Claim, notwithstanding any prior advancement to the contrary. Any allocation or advancement of Defense Costs on account of a Claim shall not apply to or create any presumption with respect to the allocation of
other Loss on account of such Claim. 

  
 Other
Insurance 
  

	18.	If any Loss under this coverage section is insured under any other valid insurance policy(ies), then this coverage section shall cover such Loss, subject to its
limitations, conditions, provisions and other terms, only to the extent that the amount of such Loss is in excess of the applicable retention (or deductible) and limit of liability under such other insurance, whether such other insurance is
stated to be primary, contributory, excess, contingent or otherwise, unless such other insurance is written only as specific excess insurance over the Limits of Liability provided in this coverage section. Any payment by Insureds of a
retention or deductible under such other insurance shall reduce, by the amount of such payment which would otherwise have been covered under this coverage section, the applicable Retention under this coverage section. 

 Payment of Loss 
  

	 	19.	In the event payment of Loss is due under this coverage section but the amount of such Loss in the aggregate exceeds the remaining available Limit of Liability for
this coverage section, the Company shall: 

  

	 	(a)	first pay such Loss for which coverage is provided under Insuring Clause 1 of this coverage section; then 

  

	 	(b)	to the extent of any remaining amount of the Limit of Liability available after payment under (a) above, pay such Loss for which coverage is provided under any other Insuring
Clause of this coverage section. 

  
 Except as
otherwise provided in this Subsection 19, the Company may pay covered Loss as it becomes due under this coverage section without regard to the potential for other future payment obligations under this coverage section. 
  
 Changes in Exposure 
  
 Acquisition/Creation of Another Organization 
  

	 	20.	If before or during the Policy Period any Organization: 

  

	 	(a)	acquires securities or voting rights in another organization or creates another organization, which as a result of such acquisition or creation becomes a Subsidiary; or

  

	 	(b)	acquires another organization by merger into or consolidation with an Organization such that the Organization is the surviving entity, 

  
 such other organization and its Insured Persons shall be Insureds
under this coverage section, but only with respect to Wrongful Acts committed, attempted, or allegedly committed or attempted after such acquisition or creation unless the Company agrees, after presentation of a complete application and
all other appropriate information, to provide coverage by endorsement for Wrongful Acts committed, attempted, or allegedly committed or attempted by such Insureds before such acquisition or creation. 
  
 If the total assets of any such acquired organization or new Subsidiary
exceed ten percent (10%) of the total assets of the Parent Organization (as reflected in the most recent audited consolidated financial statements of such organization and the Parent Organization, respectively, as of the date of
such acquisition or creation), the Parent Organization shall give written notice of such acquisition or creation to the Company as soon as practicable, but in no event later than sixty (60) days after the date of such acquisition or creation,
together with such other information as the Company may require and shall pay any reasonable additional premium required by the Company. If the Parent Organization fails to give such notice within the time specified in the preceding sentence,
or fails to pay the additional premium required by the Company, coverage for such acquired or created organization and its Insured Persons shall terminate with respect to Claims first made more than sixty (60) days after such
acquisition or creation. Coverage for any acquired or created organization described in this paragraph, and for the Insured Persons of such organization, shall be subject to such additional or different terms, conditions and limitations of
coverage as the Company in its sole discretion may require. 

 Acquisition by Another Organization 
  

	 	21.	If: 

  

	 	(a)	the Parent Organization merges into or consolidates with another organization and the Parent Organization is not the surviving entity; or 

  

	 	(b)	another organization or person or group of organizations and/or persons acting in concert acquires securities or voting rights which result in ownership or voting control by the
other organization(s) or person(s) of more than fifty percent (50%) of the outstanding securities or voting rights representing the present right to vote for the election of or to appoint directors or Managers of the Parent
Organization, 

  
 coverage under this coverage
section shall continue until termination of this coverage section, but only with respect to Claims for Wrongful Acts committed, attempted, or allegedly committed or attempted by Insureds before such merger, consolidation or
acquisition. Upon the occurrence of any event described in (a) or (b) of this Subsection 21, the entire premium for this coverage section shall be deemed fully earned. The Parent Organization shall give written notice of such merger,
consolidation or acquisition to the Company as soon as practicable, but in no event later than sixty (60) days after the date of such merger, consolidation or acquisition, together with such other information as the Company may require. Upon receipt
of such notice and information and at the request of the Parent Organization, the Company shall provide to the Parent Organization a quotation for an extension of coverage (for such period as may be negotiated between the Company and
the Parent Organization) with respect to Claims for Wrongful Acts committed, attempted, or allegedly committed or attempted by Insureds before such merger, consolidation or acquisition. Any coverage extension pursuant to
such quotation shall be subject to such additional or different terms, conditions and limitations of coverage, and payment of such additional premium, as the Company in its sole discretion may require. 
  
 Cessation of Subsidiary 
  

	 	22.	In the event an organization ceases to be a Subsidiary before or during the Policy Period, coverage with respect to such Subsidiary and its Insured Persons
shall continue until termination of this coverage section, but only with respect to Claims for Wrongful Acts committed, attempted, or allegedly committed or attempted while such organization was a Subsidiary.

  
 Related Entity Public Offering 
  

	 	23.	If any Organization files or causes to be filed, with the United States Securities and Exchange Commission or an equivalent agency or government department in any country
other than the United States of America, any registration statement in contemplation of a public offering of equity securities by any entity other than the Parent Organization (irrespective of whether such public offering is an initial public
offering or a secondary or other offering subsequent to an initial public offering), then the Company shall not be liable for Loss on account of any Claim based upon, arising from, or in consequence of such registration statement or
the sale, offer to sell, distribution or issuance of any securities pursuant to such registration statement, unless (i) the Company receives written notice at least thirty (30) days prior to the effective date of such registration statement
providing full details of the contemplated offering, and (ii) the Company, in its sole discretion, agrees by written endorsement to this coverage section to provide coverage for such Claims upon such terms and conditions, subject to such
limitations and other provisions, and for such additional premium as the Company may require. If the Company in its sole discretion agrees to provide coverage for such Claims, the additional premium specified by the Company shall be payable
to the Company in full not later than the date on which such registration statement becomes effective. 

 Representations and Severability 
  

	 	24.	In issuing this coverage section the Company has relied upon the statements, representations and information in the Application. All of the Insureds acknowledge and
agree that all such statements, representations and information (i) are true and accurate, (ii) were made or provided in order to induce the Company to issue this coverage section, and (iii) are material to the Company’s acceptance of the risk
to which this coverage section applies. 

  
 In the
event that any of the statements, representations or information in the Application are not true and accurate, this coverage section shall be void with respect to (i) any Insured who knew as of the effective date of the Application
the facts that were not truthfully and accurately disclosed (whether or not the Insured knew of such untruthful disclosure in the Application) or to whom knowledge of such facts is imputed, and (ii) the Organization under
Insuring Clause 2 to the extent it indemnifies an Insured Person who had such actual or imputed knowledge. For purposes of the preceding sentence: 
  

	 	(a)	the knowledge of any Insured Person who is a past, present or future chief financial officer, in-house general counsel, chief executive officer, president or chairperson of
an Organization shall be imputed to such Organization and its Subsidiaries; 

  

	 	(b)	the knowledge of the person(s) who signed the Application for this coverage section shall be imputed to all of the Insureds and 

  

	 	(c)	except as provided in (a) above, the knowledge of an Insured Person who did not sign the Application shall not be imputed to any other Insured.

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	Effective date ofthis endorsement: June 30, 2004	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 1
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 ILLINOIS AMENDATORY ENDORSEMENT 
 TO THE EXECUTIVE LIABILITY AND ENTITY SECURITIES LIABILITY COVERAGE SECTION 
  
 In consideration of the premium charged, it is agreed that: 
  

	1.	The definition of “Defense Costs” in Subsection 5. Definitions of the Executive Liability and Entity Securities Liability Coverage Section is amended to add the following
at the end of such definition: 

  
 “Defense
Costs do not include remuneration, salaries, wages, fees, expenses, overhead, or benefit expenses or other fees or charges of the Company” 
  

	2.	The definition of “Loss” in Subsection 5. Definitions of the Executive Liability and Entity Securities Liability Coverage Section is amended so that the third
parenthetical phrase in the first paragraph (a) thereof reads as follows: 

  

	`	“(including punitive or exemplary damages to the extent that such damages are insurable under applicable law; provided, however, that under Illinois law punitive damages are
insurable only if such damages are based on vicarious liability for another’s acts or omissions)” 

  

	3.	The definition of “Loss” in Subsection 5. Definitions of the Executive Liability and Entity Securities Liability Coverage Section is amended further by deleting the
reference to punitive and exemplary damages in paragraph (e) thereof. 

  

	4.	The definition of “Loss” in Subsection 5. Definitions of the Executive Liability and Entity Securities Liability Coverage Section is further amended by deleting the
reference to pre-judgment interest. 

  

	5.	Subsection 12. Extended Reporting Period of the Executive Liability and Entity Securities Liability Coverage Section is amended by deleting the first sentence thereof and replacing
it with the following: 

  
 “If the Company or
the Parent Organization terminate or do not renew this coverage section, the Parent Organization and the Insured Persons shall have the right, upon payment of the additional premium set forth in Item 6(B) of the Declarations for this coverage
section, to an extension of the coverage granted by this coverage section for Claims that are (i) first made during the period set forth in Item 6(A) of the Declarations for this coverage section (the “Extended Reporting Period”) following
the effective date of termination or non-renewal, and (ii) reported to the Company in writing within the time provided in Subsection 15(a) of this coverage section, but only to the extent such Claims are for Wrongful Acts committed, attempted, or
allegedly committed or attempted before the earlier of the effective date of 

 termination or non-renewal or the date of the first merger, consolidation or acquisition event described
in Subsection 21 below. Such Extended Reporting Period shall be for a period of one (1) year or such other time period as agreed upon by the Company and the Parent Organization and the Insured Persons.” 
  

	6.	Subsection 12. Extended Reporting Period of the Executive Liability and Entity Securities Liability Coverage Section is further amended by adding the following at the end of such
Subsection: 

  
 “Where premium, deductibles or
coinsurance is due for coverage under this policy, any payment received by the Company as payment for the Extended Reporting Period shall first be applied to such premium, deductible or coinsurance owing for this policy. An Extended Reporting Period
will not take effect until the premium, deductible and coinsurance due for this policy is paid in full and the premium for the Extended Reporting Period coverage is paid promptly when due.” 
  

	7.	Subsection 18. Other Insurance of the Executive Liability and Entity Securities Liability Coverage Section is amended to read as follows: 

  
 “If any Loss under this coverage section is insured under any other
valid insurance policy(ies) subject to the same terms, conditions and provisions as the insurance provided by this coverage section, prior or current, then this coverage section shall cover its share of such Loss, subject to its limitations,
conditions, provisions and other terms, in an amount equal to the proportion that the then-available Limit of Liability provided in this coverage section bears to the aggregate of all limits of liability of all insurance covering such Loss, whether
such other policy(ies) is stated to be primary, contributory, excess, contingent or otherwise, unless such other policy(ies) is written only as specific excess insurance over the Limits of Liability provided in this coverage section. If any Loss
under this coverage section is insured under any valid insurance policy(ies) other than as described above, then this coverage section shall cover such Loss, subject to its limitations, conditions, provisions and other terms, only to the extent that
the amount of such Loss is in excess of the amount of such other insurance, whether such other insurance is stated to be primary, contributory, excess, contingent or otherwise, unless such other insurance is written only as specific excess insurance
over the Limits of Liability provided in this coverage section. Any payment by Insureds of a retention or deductible under such other insurance shall reduce, by the amount of such payment which would otherwise have been covered under this coverage
section, the applicable Retention under this coverage section.” 
  
 The
policy is amended to the extent necessary to effect the purposes of this Amendatory Endorsement. 
  
 The regulatory requirements set forth in this Amendatory Endorsement shall supersede and take precedence over any provisions of the policy or any endorsement to the policy, whenever added, that are inconsistent with
or contrary to the provisions of this Amendatory Endorsement, unless such policy or endorsement provisions comply with the applicable insurance laws of the state of Illinois. 
  
 All other terms, conditions and limitations of this policy shall remain unchanged. 
  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  
 Coverage Section: Executive Protection Portfolio General Terms and Conditions Section (Federal & Vigilant) 
  

			
	Effective date ofthis endorsement: June 30, 2004	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 2
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND CHANGES IN EXPOSURE ENDORSEMENT 
  
 In consideration of the premium charged, it is agreed that the second full paragraph of
Subsection 20 of this coverage section, Changes in Exposure: Acquisition/Creation of Another Organization, is amended to read in its entirety as follows: 
  
 If the total assets of any such acquired organization or new Subsidiary exceed Twenty-five percent (25%) of the total assets of the Parent Organization (as
reflected in the most recent audited consolidated financial statements of such organization and the Parent Organization, respectively, as of the date of such acquisition or creation), the Parent Organization shall give written notice
of such acquisition or creation to the Company as soon as practicable, but in no event later than sixty (60) days after the date of such acquisition or creation, together with such other information as the Company may require and shall pay any
reasonable additional premium required by the Company. If the Parent Organization fails to give such notice within the time specified in the preceding sentence, or fails to pay the additional premium required by the Company, coverage for such
acquired or created organization and its Insured Persons shall terminate with respect to Claims first made more than sixty (60) days after such acquisition or creation. Coverage for any acquired or created organization described in
this paragraph, and for the Insured Persons of such organization, shall be subject to such additional or different terms, conditions and limitations of coverage as the Company in its sole discretion may require. 
  
 The title and any headings in this endorsement are solely for convenience and form no part of
the terms and conditions of coverage. 
  
 All other terms, conditions and
limitations of this policy shall remain unchanged. 
  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  
 Coverage Section: Executive Protection Portfolio General Terms and Conditions Section (Federal & Vigilant) 
  

			
	Effective date ofthis endorsement: June 30, 2004	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 3
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 OUTSIDE NOT-FOR-PROFIT DIRECTORSHIP LIABILITY ENDORSEMENT

  
 In consideration of the premium charged, it is agreed that: 
  

	(1)	Solely for purposes of the coverage provided under Insuring Clause 1 and Insuring Clause 2 of this coverage section, the definition of “Insured Capacity” in
Subsection 3. Definitions is amended to read in its entirety as follows: 

  
 “Insured Capacity means: 
  

	 	(a)	a position as a duly elected or appointed director. officer or Manager, or as the in-house general counsel, of any Organization chartered in the United States of
America; 

  

	 	(b)	a position equivalent to one of the positions described in (a) above in an Organization that is chartered in a jurisdiction other than the United States of America;

  

	 	(c)	an Outside Non-Profit Directorship held by a duly elected or appointed director, officer or Manager of an Organization or other employee of an
Organization; or 

  

	 	(d)	solely with respect to Securities Claims, a position as an employee of an Organization. 

  
 Except as specifically provided in part (c) of this definition, Insured
Capacity does not include any position or capacity held by an Insured Person in any organization other than the Organization, even if the Organization directed or requested the Insured Person to serve in such position
or capacity in such other organization.” 
  
 For purposes of any coverage
that may be provided under Insuring Clause 3 or Insuring Clause 4 of this coverage section, the definition of “Insured Capacity” in Subsection 3. Definitions shall remain unchanged. 
  

	(2)	“Non-Profit Outside Entity” means a non-profit corporation, community chest, fund or foundation that (i) is not an Organization and (ii) is exempt from
federal income tax pursuant to Section 501(c)(3) of the Internal Revenue Code of 1986, as amended. 

  

	(3)	“Outside Non-Profit Directorship” means a position held by an Insured Person, with the knowledge and consent of the Organization or at the request of
the Organization, as a director, officer, trustee, governor or equivalent executive of a Non-Profit Outside Entity. 

	(4)	The Company shall not be liable for Loss on account of any Claim against an Insured Person for Wrongful Acts of such Insured Person in an
Outside Non-Profit Directorship, if such Claim is brought or maintained by or on behalf of (i) a Non-Profit Outside Entity or (ii) any director, officer, trustee, governor or equivalent executive of a Non-Profit Outside
Entity in any capacity; this exclusion shall not, however, apply to: 

  

	 	(a)	a Claim brought or maintained derivatively on behalf of a Non-Profit Outside Entity by one or more securityholders of the Non-Profit Outside Entity who are not
directors, officers, trustees, governors or equivalent executives of the Non-Profit Outside Entity, provided that such Claim is brought and maintained without any active assistance or participation of, or solicitation by, any director,
officer, trustee, governor or equivalent executive of the Non-Profit Outside Entity, or 

  

	 	(b)	an employment Claim brought or maintained by or on behalf of a director, officer, trustee, governor or equivalent executive of a Non-Profit Outside Entity who is not
an Insured Person. 

  

	(5)	Exclusion 6(d) of this coverage section is amended to read in its entirety as follows:

  

	 	“(d)	based upon, arising from, or in consequence of: 

  

	 	(i)	any actual, alleged or threatened exposure to, or generation, storage, transportation, discharge, emission, release, dispersal, escape, treatment, removal or disposal of any
Pollutants; or 

  

	 	(ii)	any regulation, order, direction or request to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize any Pollutants, or any action taken in
contemplation or anticipation of any such regulation, order, direction or request, 

  
 including but not limited to any Claim for financial loss to the Organization, any securityholder or creditor of the Organization,
any Non-Profit Outside Entity, or any securityholder, creditor or member of a Non-Profit Outside Entity based upon, arising from, or in consequence of any matter described in clause (i) or clause (ii) of this Exclusion 6(d).”

  

	(6)	Exclusion 6(g) of this coverage section is amended to read in its entirety as follows: 

  

	 	“(g)	for Wrongful Acts of an Insured Person in his or her capacity as a director,
officer, manager, trustee, regent, governor or employee of any entity other than the Organization. This Exclusion 6(g) shall not apply to Claims for Wrongful Acts of an Insured Person in an Outside Non-Profit
Directorship but shall apply to any Claim, or portion thereof, that is for Wrongful Acts committed, attempted, or allegedly committed or attempted by such Insured Person before beginning to serve in the Outside Non-Profit
Directorship or after ceasing to serve in the Outside Non-Profit Directorship.” 

  

	(7)	Exclusion 7(a) of this coverage section is amended to read in its entirety as follows: 

  

	 	“(a)	for an accounting of profits made from the purchase or sale by such Insured Person of securities of the Organization or-securities of a Non-Profit Outside
Entity, within the meaning of Section 16(b) of the Securities Exchange Act of 1934, any amendments thereto, or any similar provision of any federal, state, or local statutory law or common law anywhere in the world.”

  

	(8)	Subsection 18. Other Insurance of this coverage section, as amended by Endorsement Number 1 to this coverage section, is further amended by adding the following:

  
 With respect to Loss resulting from a
Claim against an Insured Person for his or her Wrongful Acts in an Outside Non-Profit Directorship. coverage for any such Loss under this coverage section shall also be specifically excess of any indemnification
(other than indemnification by the 

 Organization) that is available to such Insured Person by reason of his or her service in
such Outside Non-Profit Directorship, including indemnification available from or provided by the Non-Profit Outside Entity. The Insureds agree that they will use their best efforts promptly to enforce any right of an Insured
Person to obtain indemnification from a Non-Profit Outside Entity or any other organization.” 
  

	(9)	Nothing in this endorsement is intended, nor shall anything herein be construed, to increase
any of the Company’s Limits of Liability shown in Item 2 of the Declarations for this coverage section. 

  

	(10)	If the Company or any of its subsidiaries or affiliated companies makes payment under another policy, or under another coverage section of this policy, on account of a Claim
that (i) is also covered under this coverage section and that (ii) is made against an Insured Person for his or her Wrongful Acts in an Outside Non-Profit Directorship, then this coverage section’s Limit of Liability
with respect to that Claim (as set forth in Item 2(A) of the Declarations for this coverage section) shall be reduced by the amount of the payment so made under such other policy or other coverage section. 

  
 The title and any headings in this endorsement are solely for convenience and form no part of
the terms and conditions of coverage. 
  
 All other terms, conditions and
limitations of this policy shall remain unchanged. 
  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 4
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND EXCLUSION 6(D) ENDORSEMENT 
  
 In consideration of the premium charged, it is agreed that: 
  

	(1)	Solely to the extent specified in sections (2) and (3) of this endorsement, paragraph (d) of Subsection 6. Exclusions Applicable to All Insuring Clauses of this coverage section
shall be deemed amended to read in its entirety as follows: 

  

	 	(d)	based upon, arising from, or in consequence of: 

  

	 	(i)	any actual, alleged, or threatened exposure to, or generation, storage, transportation, discharge, emission, release, dispersal, escape, treatment, removal or disposal of any
Pollutants; or 

  

	 	(ii)	any regulation, order, direction or request to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize any Pollutants, or any action taken in
contemplation or anticipation of any such regulation, order, direction or request, 

  
 including but not limited to any Claim for financial loss to the Organization, its securityholders or its creditors based upon, arising
from, or in consequence of any matter described in clause (i) or clause (ii) of this Exclusion 6(d). This Exclusion 6(d) shall not, however, apply to a lawsuit brought and maintained derivatively on behalf of the Organization by one or more
of its securityholders against one or more of its Insured Persons, provided that such lawsuit is brought and maintained without any active assistance or participation of, or solicitation by, any Insured Person. 
  

	(2)	Section (1) of this endorsement shall apply, and Exclusion 6(d) of this coverage section shall be deemed amended as provided in section (1) of this endorsement, only with respect to
Loss for which an Insured Person is not indemnified by the Organization either (i) because applicable statutory or common law prohibits such indemnification or (ii) because the Organization is in a state of Financial
Impairment. Section (1) of this endorsement shall not apply, and Exclusion 6(d) of this coverage section shall not be deemed amended as provided in section (1) of this endorsement, with respect to any Loss that the Organization
indemnifies or that the Organization does not indemnify for any reason other than Financial Impairment or an applicable legal prohibition. 

  

	(3)	Section 1 of this endorsement shall apply and Exclusion 6(d) of this coverage section shall be deemed amended as provided in section (1) of this endorsement, only with respect to
Claims first made in fact 

 during the Policy Period. Section (1) of this endorsement shall not apply, and Exclusion 6(d) of
this coverage section shall not be deemed amended as provided in section (1) of this endorsement, with respect to any other Claim including, but not limited to, any Claim first made in fact after the Policy Period but considered
pursuant to Subsection 15(b) of this coverage section to have been made during the Policy Period because it arises from circumstances or a tolling or waiver request or a derivative demand noticed to the Company during the Policy
Period. 
  
 The title and any headings in this endorsement are solely for
convenience and form no part of the terms and conditions of coverage. 
  
 All
other terms, conditions and limitations of this policy shall remain unchanged. 
  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 5
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND EXCLUSION 6(C) ENDORSEMENT 
  
 In consideration of the premium charged, it is agreed that paragraph (c) of Subsection 6.
Exclusions Applicable to All Insuring Clauses of this coverage section is amended by adding the following new subparagraph (v): 
  

	 	(v)	a Claim brought against Insured Persons of the Parent Organization by a bankruptcy trustee, receiver, liquidator, conservator, rehabilitator or similar official
who has been appointed to take control of, supervise, manage or liquidate the Parent Organization. 

  
 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of coverage. 
  
 All other terms, conditions and limitations of this policy shall remain unchanged.

  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  
 Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal &
Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	 	Company: Federal Insurance Company
		
	 	 	Endorsement No. 6
		
	 	 	To be attached to and
	 	 	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND DEFINITION OF INSURED PERSON ENDORSEMENT 

 
 In consideration of the premium charged, it is agreed that the term Insured Person
as defined in Subsection 5. Definitions of this coverage section is amended to include any natural person who was, now is or shall become a/an/the 
  
 -Any Employee of the Insured Organization with the title Manager 
  
 -Trustees and Governors of corporate Insured Organizations 
  
 -General Counsel 
  
 -Risk Manager 
  
 -Board of Managers of any
Insured Organization incorporated in the United States of America of an Organization. 
  
 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of coverage. 
  
 All other terms, conditions and limitations of this policy shall remain unchanged. 
  
  

	
	

	Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	  	Company: Federal Insurance Company
		
	 	  	Endorsement No. 7
		
	 	  	To be attached to and
	 	  	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND “CLAIM” DEFINITION ENDORSEMENT 

 
 In consideration of the premium charged, it is agreed that sections (1) and (2) of the
definition of “Claim” in Subsection 5 of this coverage section are amended to read in their entirety as follows: 
  

	 	“(1)	when used in reference to the coverage provided by Insuring Clause 1 or 2: 

  

	 	(a)	a written demand for monetary damages or non-monetary relief; 

  

	 	(b)	a civil proceeding commenced by the service of a complaint or similar pleading; 

  

	 	(c)	a formal civil administrative or civil regulatory proceeding commenced by the filing of a notice of charges or similar document or by the entry of a formal order of investigation or
similar document; or 

  

	 	(d)	a criminal proceeding commenced by the return of an indictment, 

  
 against an Insured Person for a Wrongful Act, including any appeal therefrom; 
  

	 	(2)	when used in reference to the coverage provided by Insuring Clause 3: 

  

	 	(a)	a written demand for monetary damages or non-monetary relief; 

  

	 	(b)	a civil proceeding commenced by the service of a complaint or similar pleading; 

  

	 	(c)	a formal civil administrative or civil regulatory proceeding commenced by the filing of a notice of charges or similar document or by the entry of a formal order of investigation or
similar document, but only while such proceeding is also pending against an Insured Person; or 

  

	 	(d)	a criminal proceeding commenced by the return of an indictment, 

  
 against an Organization for a Wrongful Act, including any appeal therefrom; or” 

 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of
coverage. 
  
 All other terms, conditions and limitations of this policy shall
remain unchanged. 
  

	
	  

	Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	  	Company: Federal Insurance Company
		
	 	  	Endorsement No. 8
		
	 	  	To be attached to and
	 	  	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 AMEND REPRESENTATIONS AND SEVERABILITY ENDORSEMENT

  
 In consideration of the premium charged, it is agreed that the second
paragraph of Subsection 24. Representations and Severability of this coverage section is deleted and replaced with the following: 
  
 For purposes of determining whether coverage is available under Insuring Clause 1 or 2 of this coverage section, the Application will be construed
as a separate application for coverage by each of the Insured Persons, and no knowledge possessed by an Insured Person will be imputed to any other Insured Person. 
  
 For purposes of determining whether coverage is available under Insuring Clause 3 or 4 of this coverage section: 

 

	 	(a)	the statements and representations in the Application will be deemed to have been made by all Organizations; 

  

	 	(b)	the knowledge of the person(s) who signed the Application will be imputed to all Organizations; and 

  

	 	(c)	the knowledge of any Insured Person who is a past, present or future chief financial officer, in-house general counsel, chief executive officer, president or chairperson of
an Organization will be imputed to such Organization and its Subsidiaries. 

  
 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of coverage. 
  
 All other terms, conditions and limitations of-this policy shall remain unchanged. 
  

	
	  

	Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	  	Company: Federal Insurance Company
		
	 	  	Endorsement No. 9
		
	 	  	To be attached to and
	 	  	form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 MODIFY EXCLUSION 7(B), EXCLUSION 8(A) AND SECURITIES CLAIM ALLOCATION
ENDORSEMENT 
  
 In consideration of the premium charged, it is agreed that:

  

	(1)	Paragraph (b) of Subsection 7. Exclusions Applicable to Insuring Clauses 1 and 2 Only of this coverage section is deleted and replaced with the following: 

 

	 	“(b)	based upon, arising from, or in consequence of such Insured Person having gained in fact any profit, remuneration or other advantage to which such Insured Person was
not legally entitled; or 

  

	 	(c)	based upon, arising from, or in consequence of any deliberately fraudulent act or omission or any willful violation of any statute or regulation by such Insured Person, if a
judgment or other final adjudication establishes such a deliberately fraudulent act or omission or willful violation.” 

  

	(2)	Subsection 8, Exclusions Applicable to Insuring Clause 3 Only of this coverage section is amended in the following respects 

  

	 	(a)	Paragraph (a) of Subsection 8 is deleted and replaced with the following: 

  

	 	“(a)	based upon, arising from, or in consequence of such Organization having gained in fact any profit, remuneration or other advantage to which such Organization was not
legally entitled; or 

  

	 	(b)	based upon, arising from, or in consequence of any deliberately fraudulent act or omission or any willful violation of any statute or regulation by any Organization or by any
past, present or future chief financial officer, in-house general counsel, president, chief executive officer or chairperson of any Organization, if a judgment or other final adjudication establishes such a deliberately fraudulent act or
omission or willful violation; or”; and 

  

	 	(b)	Paragraph (b) of Subsection 8 is redesignated as paragraph (c). 

  

	(3)	Paragraph (a) of Subsection 17. Allocation of this coverage section is amended to read in its entirety as follows: 

  

	 	(a)	If in any Securities Claim the Insureds incur both Loss that is covered under this coverage section and loss that is not covered under this coverage section,
either because such Securities Claim includes both covered and non-covered matters or because such Securities Claim is made 

 against both Insureds and others, the Insureds and the Company shall allocate such amount
between covered Loss and non-covered loss based on the relative legal and financial exposures of the parties to covered and non-covered matters and, in the event of a settlement in such Securities Claim, based also on the relative
benefits to the parties from such settlement. The Company shall not be liable under this coverage section for the portion of such amount allocated to non-covered loss. 
  
 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of coverage.

  
 All other terms, conditions and limitations of this policy shall remain
unchanged. 
  

	
	  

	 Authorized Representative

 ENDORSEMENT 
  

Coverage Section: Executive Protection Portfolio Executive Liability and Entity Securities Liability Coverage Section (Federal & Vigilant) 
  

			
	 Effective date of
 this endorsement: June 30,
2004
	  	Company: Federal Insurance Company
		
	 	  	Endorsement No. 10
		
	 	  	To be attached to and
	 	  	Form a part of Policy No. 8125-6460

  
 Issued to: RICHARDSON ELECTRONICS,
LTD. 
  
 DOUBLE EXCESS FOR PROFIT OUTSIDE DIRECTORSHIP LIABILITY
COVERAGE ENDORSEMENT 
  
 In consideration of the premium charged, it is agreed
that: 
  

	(1)	Solely for purposes of the coverage provided under Insuring Clause 1 and Insuring Clause 2 of this coverage section, the definition of “Insured Capacity” in
Subsection 5. Definitions is amended to read in its entirety as follows: 

  
 “Insured Capacity means: 
  

	 	(a)	a position as a duly elected or appointed director, officer or Manager, or as the in-house general counsel, of any Organization chartered in the United States of
America; 

  

	 	(b)	a position equivalent to one of the positions described in (a) above in an Organization that is chartered in a jurisdiction other than the United States of America;

  

	 	(c)	an Outside Directorship held by a duly elected or appointed director, officer or Manager of an Organization or other employee of an Organization; or

  

	 	(d)	solely with respect to Securities Claims, a position as an employee of an Organization. 

  
 Except as specifically provided in part (c) of this definition, Insured Capacity does not include any position or
capacity held by an Insured Person in any organization other than the Organization, even if the Organization directed or requested the Insured Person to serve in such position or capacity in such other organization.”

  
 For purposes of any coverage that may be provided under
Insuring Clause 3 or insuring Clause 4 of this coverage section, the definition of “Insured Capacity” in Subsection 5. Definitions shall remain unchanged. 
  

	(2)	With respect to any Claim against an Insured Person for Wrongful Acts of such Insured Person in an Outside Directorship: 

 

	 	(a)	The final sentence of paragraph (d) of Subsection 13. Limit of Liability, Retention and Coinsurance of this coverage section is deleted; and 

  

	 	(b)	Item 4 of the Declarations for this coverage section is amended to read in its entirety as follows: 

 Item 4. Retention: 
  

						
	(A)	  	Insuring Clause 1:	  	$	0
			
	(B)	  	Insuring Clause 2 (Claims other than Securities Claims):	  	$	500,000
			
	(C)	  	Insuring Clause 2 (Securities Claims only):	  	$	500,000

  

	(3)	“For Profit Outside Entity” means any for-profit entity or organization that (i) is not an Organization and (ii) is not exempt from federal income tax
pursuant to Section 501(c)(3) of the Internal Revenue Code of 1986, as amended. 

  

	(4)	“Outside Directorship” means a position held by an Insured Person, with the knowledge and consent of the Organization or at the request of the
Organization, as a director, officer, trustee, governor or equivalent executive of an Outside Entity. 

  

	(5)	“Outside Entity” means any For Profit Outside Entity. 

  

	(6)	The Company shall not be liable for Loss on account of any Claim against an Insured Person for Wrongful Acts of such Insured Person in an
Outside Directorship, if such Claim is brought or maintained by or on behalf of (i) an Outside Entity or (ii) any director, officer, trustee, governor or equivalent executive of an Outside Entity in any capacity; this
exclusion shall not, however, apply to: 

  

	 	(a)	a Claim brought or maintained derivatively on behalf of an Outside Entity by one or more securityholders of the Outside Entity who are not directors, officers,
trustees, governors or equivalent executives of the Outside Entity, provided that such Claim is brought and maintained without any active assistance or participation of, or solicitation by, any director, officer, trustee, governor or
equivalent executive of the Outside Entity; or 

  

	 	(b)	an employment Claim brought or maintained by or on behalf of a director, officer, trustee, governor or equivalent executive of an Outside Entity who is not an
Insured Person. 

  

	(7)	Exclusion 6(d) of this coverage section is amended to read in its entirety as follows: 

  

	 	“(d)	based upon, arising from, or in consequence of: 

  

	 	(i)	any actual, alleged or threatened exposure to. or generation, storage, transportation, discharge, emission, release, dispersal, escape, treatment, removal or disposal of any
Pollutants; or 

  

	 	(ii)	any regulation, order, direction or request to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize any Pollutants, or any action taken in
contemplation or anticipation of any such regulation, order, direction or request, 

  
 including but not limited to any Claim for financial loss to the Organization, any securityholder or creditor of the Organization,
any Outside Entity, or any securityholder, creditor or member of an Outside Entity based upon, arising from, or in consequence of any matter described in clause (i) or clause (ii) of this-Exclusion 6(d).” 
  

	(8)	Exclusion 6(g) of this coverage section is amended to read in its entirety as follows: 

  

	 	“(g)	for Wrongful Acts of an Insured Person in his or her capacity as a director, officer, manager, trustee, regent, governor or employee of any entity other than the
Organization. This Exclusion 6(g) shall not apply to Claims for Wrongful Acts of an Insured Person in an Outside Directorship but shall apply to any Claim, or portion thereof, that is for
Wrongful Acts 

 committed, attempted, or allegedly committed or attempted by such Insured Person before beginning
to serve in an Outside Directorship or after ceasing to serve in an Outside Directorship.” 
  

	(9)	Exclusion 7(a) of this coverage section is amended to read in its entirety as follows: 

  

	 	“(a)	for an accounting of profits made from the purchase or sale by such Insured Person of securities of the Organization or securities of an Outside Entity, within
the meaning of Section 16(b) of the Securities Exchange Act of 1934, any amendments thereto, or any similar provision of any federal, state, or local statutory law or common law anywhere in the world.” 

  

	(10)	Subsection 18. Other Insurance of this coverage section is amended to read in its entirety as follows: 

  

	 	“18.	Other Insurance and Indemnity 

  

	 	(a)	If any Loss under this coverage section is insured under any other valid insurance policy(ies), then this coverage section shall cover such Loss, subject to its
limitations, conditions, provisions and other terms, only to the extent that the amount of such Loss is in excess of the applicable retention (or deductible) and limit of liability under such other insurance, whether such other insurance is
stated to be primary, contributory, excess, contingent or otherwise, unless such other insurance is written only as specific excess insurance over the Limits of Liability provided in this coverage section. Without in any way limiting the foregoing,
it is expressly understood and acknowledged that with respect to Loss resulting from a Claim against an Insured Person for his or her Wrongful Acts in an Outside Directorship, coverage for any such Loss
under this coverage section shall be specifically excess of the applicable retention (or deductible) and limit of liability of any other insurance (whether maintained by the Outside Entity or otherwise) that is available to such
Insured Person by reason of his or her service in such Outside Directorship. Any payment by Insureds of a retention or deductible under any other insurance described in this paragraph shall reduce, by the amount of such payment
which would otherwise have been covered under this coverage section, the applicable Retention under this coverage section. 

  

	 	(b)	With respect to Loss resulting from a Claim against an Insured Person for his or her Wrongful Acts in an Outside Directorship, coverage for any
such Loss under this coverage section shall also be specifically excess of any indemnification (other than indemnification by the Organization) that is available to such insured Person by reason of his or her service in such
Outside Directorship, including indemnification available from or provided by the Outside Entity. The Insureds agree that they will use their best efforts promptly to enforce any right of an Insured Person to obtain
indemnification from an Outside Entity or any other organization.” 

  

	(11)	Nothing in this endorsement is intended, nor shall anything herein be construed, to increase any of the Company’s Limits of-Liability shown in Item 2 of the Declarations for
this coverage section. 

  

	(12)	If the Company or any of its subsidiaries or affiliated companies makes payment under another policy, or under another coverage section of this policy, on account of a Claim
that (i) is also covered under this coverage section and that (ii) is made against an Insured Person for his or her Wrongful Acts in an Outside Directorship, then this coverage section’s Limit of Liability with respect
to that Claim (as set forth in Item 2(A) of the Declarations for this coverage section) shall be reduced by the amount of the payment so made under such other policy or other coverage section. 

 The title and any headings in this endorsement are solely for convenience and form no part of the terms and conditions of
coverage. 
  
 All other terms, conditions and limitations of this policy shall
remain unchanged. 
  

	
	  

	Authorized RepresentativeInsurance Policy - National Union Fire Insurance Co. of Pittsburg

 Exhibit 10.36 
  

								
	 A I G            AMERICAN INTERNATIONAL
COMPANIES®
	  	                                        
                     POLICY NUMBER
                                        
                     361-27-97
                                        
                     REPLACEMENT OF
                                        
                     POLICY NUMBER
                                        
                     282-47-42

				
	  ̈
	  	AIU Insurance Company	  	 ̈	 	  	Illinois National Insurance Company
	  ̈
	  	American International South Insurance Company	  	x	 	  	National Union Fire Insurance Co. of Pittsburgh, Pa.®
	  ̈
	  	Birmingham Fire Insurance Company of Pennsylvania	  	 ̈	 	  	National Union Fire Insurance Company of Louisiana
	  ̈
	  	Granite State Insurance Company	  	 ̈	 	  	New Hampshire Insurance Company

  
 (each of the above
being a capital stock company) 
  
 EXCESS INSURANCE POLICY

  
 NOTICE: EXCEPT TO SUCH EXTENT AS MAY OTHERWISE BE PROVIDED HEREIN, THE
COVERAGE OF THIS POLICY IS LIMITED GENERALLY TO LIABILITY FOR ONLY THOSE CLAIMS THAT ARE FIRST MADE AGAINST THE INSUREDS DURING THE POLICY PERIOD AND REPORTED IN WRITING TO THE INSURER PURSUANT TO THE TERMS OF THIS POLICY. PLEASE READ THE POLICY
CAREFULLY AND DISCUSS THE COVERAGE THEREUNDER WITH YOUR INSURANCE AGENT OR BROKER. 
  
 NOTICE: THE LIMIT OF LIABILITY AVAILABLE TO PAY JUDGMENTS OR SETTLEMENTS SHALL BE REDUCED BY AMOUNTS INCURRED FOR LEGAL DEFENSE. AMOUNTS INCURRED FOR LEGAL DEFENSE SHALL BE APPLIED AGAINST THE RETENTION AMOUNT. 
  
 DECLARATIONS 
  

					
	ITEM 1.	  	NAMED INSURED:	 	RICHARDSON ELECTRONICS LTD INC
			
	 	  	MAILING ADDRESS:	 	40 W 267 KESLINGER RD
	 	  	 	 	LAFOX, IL 60147
		
	 	  	STATE OF INCORPORATION/FORMATION OF THE NAMED INSURED:
Delaware

  

					
	ITEM 2.	  	(a)	  	FOLLOWED POLICY shall be the following:
	 	  	 	  	INSURER: Federal Insurance Company
	 	  	 	  	POLICY NO.: 8125-6460
			
	 	  	(b)	  	FOLLOWED POLICY SECTION
	 	  	 	  	This policy shall follow the terms and conditions of the following coverage sections of the Followed Policy only:

  

			
	Coverage Section	 	Form Number
	General Terms & Conditions Section	 	14-02-7302DFED (Ed. 11/2002)
	Executive Liability and Entity	 	14-02-7303DFED (Ed. 11/2002)
	Securities Liability Coverage	 	 
	Section	 	 

  
 7248763 
  

 Page 1 of 2 

					
	ITEM 3.	  	POLICY PERIOD: From: June 30, 2004 To: June 30, 2005
		
	 	  	(12:01 A.M. standard time at the address stated in Item 1.)
			
	ITEM 4:	  	(a)	  	LIMIT OF LIABILITY: $5,000,000 aggregate for all coverages and all Insured(s) afforded coverage under this policy combined and excess of Total Underlying Limits in Item 4(b) (including
Defense Costs),
			
	 	  	(b)	  	TOTAL UNDERLYING LIMITS:
	 	  	 	  	$25,000,000
		
	ITEM 5.	  	SCHEDULE OF PRIMARY AND UNDERLYING EXCESS POLICIES:

  

							
	 Insurer

	 	 Policy Number

	 	 Limits

	 	 Policy Period

	 Primary Policy:
 Federal Insurance Company
	 	8125-6460	 	$15,000,000	 	06/3012004-06130/2005
				
	 Underlying Excess Policy:
 St. Paul Mercury Insurance Co.
	 	512CM1175	 	 $10,000,000
 Excess of
 $15,000,000
	 	06/30/2004-06/30/2005

  

			
	ITEM 6.	  	PREMIUM: $58,631
		
	 	  	 Premium for Certified Acts of Terrorism Coverage under Terrorism Risk Insurance Act 2002: $581 included in policy premium.

		
	 	  	 Any coverage provided for losses caused by an act of terrorism as defined by TRIA (TRIA Losses) may be partially reimbursed by the United States under a
formula established by TRIA as follows: 90% of TRIA Losses in excess of the insurer deductible mandated by TRIA, the deductible to be based on a percentage of the insurer’s direct earned premiums for the year preceding the act of
terrorism.

		
	 	  	 A copy of the TRIA disclosure sent with the original quote is attached hereto.

		
	ITEM 7.	  	NAME AND ADDRESS OF INSURER (“Insurer”)
		
	 	  	National Union Fire Insurance Company of Pittsburgh, Pa.
	 	  	175 Water Street
	 	  	New York, NY 10038

  
 7248763 
  

 Page 2 of 2 

 POLICYHOLDER DISCLOSURE STATEMENT 
 UNDER 
 TERRORISM RISK INSURANCE ACT OF 2002 
  
 You are hereby notified that under the federal Terrorism Risk Insurance Act
of 2002 (the “Act”) effective November 26, 2002, you now have a right to purchase insurance coverage for losses arising out of an Act of Terrorism, which is defined in the Act as an act certified by the Secretary of the Treasury (i) to be
an act of terrorism, (ii) to be a violent act or an act that is dangerous to (A) human life; (8) property or (C) infrastructure, (iii) to have resulted in damage within the United States, or outside of the United States in case of an air carrier or
vessel or the premises of a U.S. mission and (iv) to have been committed by an individual or individuals acting on behalf of any foreign person or foreign interest, as part of an effort to coerce the civilian population of the United States or to
influence the policy or affect the conduct of the United States Government by coercion. You should read the Act for a complete description of its coverage. The Secretary’s decision to certify or not to certify an event as an Act of Terrorism
and thus covered by this law is final and not subject to review. There is a $100 billion dollar annual cap on all losses resulting from Acts of Terrorism above which no coverage will be provided under this policy and under the Act unless Congress
makes some other determination. 
  
 For your information, coverage
provided by this policy for losses caused by an Act of Terrorism may be partially reimbursed by the United States under a formula established by the Act. Under this formula the United States pays 90% of terrorism losses covered by this law exceeding
a statutorily established deductible that must be met by the insurer, and which deductible is based on a percentage of the insurers direct earned premiums for the year preceding the Act of Terrorism. 
  
 COPY OF DISCLOSURE SENT WITH ORIGINAL QUOTE 
  
 Insured Name: RICHARDSON ELECTRONICS LTD INC 
  
 Policy Number: 361-27-97 
  
 Policy Period Effective Date From: June 30, 2004 To:
June 30, 2005 

 IN WITNESS WHEREOF, the Insurer has caused this policy to be signed on the Declarations page by its President, a
Secretary and a duly authorized representative of the insurer. 
  

			
	  

	  	

	SECRETARY	  	PRESIDENT
	
	  

	AUTHORIZED REPRESENTATIVE
		
	  

	  	

	COUNTERSIGNATURE DATE	  	COUNTERSIGNED AT

  
 ARC EXCESS & SURPLUS LLC

 1122 FRANKLIN AVENUE 
 GARDEN CITY,
NY 11530 
  
 7248763 

 A I G AMERICAN INTERNATIONAL COMPANIES® 
  
 EXCESS INSURANCE POLICY 
  
 In consideration of the payment of the premium, and in reliance upon the statements made to
the Insurer by application forming a part hereof and its attachments and the material incorporated therein, the Insurer, agrees as follows: 
  

	I.	INSURING AGREEMENTS 

  
 This policy shall provide the Insureds and the Company with coverage in accordance with the same terms, conditions, exclusions and limitations of the
Followed Policy as listed in Item 2 of the Declarations as they were in existence on the inception date of this policy as described in Item 3 of the Declarations (except as regards the premium, limits of liability and the policy period) subject to:

  

	 	(a)	the warranties, terms, conditions, exclusions and limitations of this policy, including any endorsement attached hereto, and 

  

	 	(b)	the provision that, notwithstanding any other provision of this policy, in no event shall this policy provide coverage broader than that provided by the Followed Policy, unless such
broader coverage is specifically agreed to by the Insurer and identified as broader coverage in a written endorsement attached hereto. 

  

	II.	DEFINITIONS 

  
 Unless otherwise indicated below, the Definitions of the Followed Policy shall have the same meaning in this policy. 
  

	 	(a)	“Claim”, “Discovery Clause”, “Insured(s)”, “Loss”, “Subsidiary” and “Wrongful Act” shall have the same meaning in this
policy as is attributed to it in the Followed Policy. 

  

	 	(b)	“Company” shall mean the Named Insured and any Subsidiary thereof. 

  

	 	(c)	“Followed Policy” shall mean the policy listed in Item 2 of the Declarations. 

  

	 	(d)	“Insurer” shall mean the entity listed in Item 7 of the Declarations. 

  

	 	(e)	“Policy Period” shall mean the period of time from the inception date shown in Item 3 of the Declarations to the earlier of the expiration date shown in Item 3 of the
Declarations or the effective date of cancellation of this policy. 

  

	 	(f)	“Total Underlying Limits” shall mean the amount set forth in item 4(b) of the Declarations, which is the aggregate sum of the limit of liability of all Underlying
Policies. 

  

	 	(g)	“Underlying Insurers” means the insurer(s) of each respective Underlying Policy. 

  

	 	(h)	“Underlying Policy(ies)” means any policy set forth in Item 5 of the Declarations. 

  

	III.	LIMIT OF LIABILITY 

  
 The Limit of Liability stated in Item 4(a) of the Declarations is the limit of the insurer’s liability for all Loss in excess of the Total Underlying
Limit, arising out of all Claims first made against the Insureds during the Policy Period and the Discovery Period (if applicable) and reported in writing to 
  

 Page 1 of 5 

 the Insurer pursuant to the terms of this policy; however, the Limit of Liability for the Discovery
Period shall be part of, and not in addition to, the Limit of Liability for the Policy Period. Further, any Claim that is made subsequent to the Policy Period or Discovery Period (if applicable), which, pursuant to Clause V(b), is considered made
during the Policy Period or Discovery Period, shall also be subject to the one aggregate Limit of Liability stated in Item 4(a). of the Declarations. 
  
 It is expressly agreed that liability for any covered Loss with respect to Claims first made against the Insureds during the Policy Period and the
Discovery Period (if applicable) and reported in writing to the Insurer pursuant to the terms of this policy shall attach to the Insurer only after the Underlying Insurers and/or the Insureds or the Company shall have paid the full amount of the
Total Underlying Limits, and the Company or the Insureds shall have paid the full amount of the applicable Retention amount under any Underlying Policy. In the event, and only in the event, of exhaustion of the Total Underlying Limits by reason of
the Underlying Insurers and/or the Insured or the Company paying Loss covered thereunder, this policy shall: (i) in the event of reduction, pay excess of the reduced Total Underlying Limits, and (ii) in the event of exhaustion, continue in force as
primary insurance. 
  
 This policy shall “drop down”
(continue in force as primary insurance) only in the event of exhaustion of the Total Underlying Limits as described above and shall not drop down for any other reason, including, but not limited to, uncollectability (in whole or in part) of any
limit of liability of any Underlying Policy, existence of a sub-limit of liability in any Underlying Policy, or any Underlying Policy containing terms and conditions different from the Followed Policy. 
  

	IV.	UNDERLYING LIMITS 

  
 It is a condition of this policy that each Underlying Policy shall be maintained in full effect with solvent insurers during the Policy Period, except for
any reduction or exhaustion of each Underlying Policy’s respective part of the Total Underlying Limits contained therein by reason of Loss(es) paid, for which the Underlying Insurer has agreed to pay or for which the Underlying Insurer been
held liable to pay under their respective Underlying Policy (as provided for in Clause III above). Failure to comply with the foregoing shall not invalidate this policy, but in the event of such failure, the Insurer shall be liable only to the
extent that it would have been liable had the Insureds and the Company complied with such condition. 
  
 Unless the Insurer otherwise agrees in writing, this policy shall immediately and automatically terminate if the Company fails to notify the Insurer as
set forth in Clause V(c) of this policy that any Underlying Policy has ceased to be in full effect. If such notification is made, then this policy shall continue in effect, but the Company, the insured(s) or an insurer providing replacement coverage
(if such replacement coverage is obtained) shall be liable for the amount of the underlying limit of such ceased Underlying Policy, and the Insurer shall be liable only to the extent that it would have been liable had the Underlying Policy not
ceased. Unless the Insurer otherwise agrees in writing, this policy shall automatically terminate 30 days following the date any Underlying insurer becomes subject to a receivership, liquidation, dissolution, rehabilitation or any similar proceeding
or is taken over by any regulatory authority, unless the Named Insured obtains replacement coverage for such Underlying Policy within such 30 day period. The risk of uncollectability of (in whole or in part) of any limit of liability of any
Underlying Policy, whether because of financial impairment or insolvency of an Underlying Insurer, or for any other reason, is expressly retained by the Insureds and the Company and is not in any way or under any circumstances insured or assumed by
the insurer. 
  
 If, during the Policy Period or any Discovery
Period (if applicable), the terms, conditions, exclusions or limitations of the Followed Policy are changed in any mariner, the Company or the Insureds shall, as a condition precedent to their rights under this policy, give to the Insurer, as soon
as practicable, written notice of the full particulars thereof. This policy shall become subject to any such changes upon the effective date of the changes in the Followed Policy, but only upon the condition that the Insurer agrees to follow such
changes by written endorsement attached hereto, and the Named Insured agrees to any additional premium or amendment of the provisions of this policy required by the Insurer, relating to such changes. Further, such new coverage Is conditioned upon the Named Insured
paying, when due, any additional premium required by the Insurer relating to such changes. 
  

 Page 2 of 5 

	V.	NOTICES AND CLAIM REPORTING PROVISIONS 

  

	 	(a)	The Company or the Insureds shall, as a condition precedent to the obligations of the Insurer under this policy, give written notice to the Insurer at the address indicated in Item
7 of the Declarations page in the same manner and to the extent permitted by the terms and conditions of the Followed Policy, of any Claim made against the Insureds. 

  

	 	(b)	If during the Policy Period or during the Discovery Period (if applicable), (i) written notice of a Claim has been given to the Insurer pursuant to Clause V(a) above, or ( ii) to
the extent permitted by the terms and conditions of the Followed Policy, written notice of circumstances that might reasonably be expected to give rise to a Claim has been given to the Insurer, then any Claim that is subsequently made against the
Insureds and reported to the Insurer alleging, arising out of, based upon or attributable to the facts alleged in the Claim or circumstances of which such notice has been given, or alleging any Wrongful Act which is the same as or related to any
Wrongful Act alleged in the Claim or circumstances of which such notice has been given, shall be considered made at the time such Claim or circumstances has been given to the Insurer. 

  

	 	(c)	The Company or the Insureds shall, as a condition precedent to the obligations of the Insurer under this policy, give written notice to the Insurer of the following events as soon
as practicable, but in no event later than 30 days after an Insured or the Company becoming aware of the following: 

  

	 	(i)	The cancellation or nonrenewal of any Underlying Policy or any Underlying Policy otherwise ceasing to be in effect or any part of the Total Underlying Limits being uncollectible (in
part or in whole); or 

  

	 	(ii)	Any Underlying Insurer becoming subject to a receivership, liquidation, dissolution, rehabilitation or any similar proceeding, or being taken over by any regulatory authority.

  

	 	(iii)	The Named Insured consolidating with or merging into, or selling all or substantially all of its assets to, any other person or entity or group of persons or entities acting in
concert; or 

  

	 	(iv)	Any person or entity or group of persons or entities acting in concert acquiring an amount of the outstanding securities representing more than 50% of the voting power for the
election of Directors of the Named Insured, or acquiring the voting rights of such an amount of such securities. 

  

	VI.	CLAIM PARTICIPATION 

  
 The insurer shall have the right, in its sole discretion, but not the obligation, to associate effectively with the Company and the Insureds in the
defense and settlement of any Claim that appears to the Insurer to be reasonably likely to involve the Insurer, including, but not limited to effectively associating in the negotiation of a settlement. The Insureds shall defend and contest any such
Claim. The Company and the Insureds shall give the insurer full cooperation and such information as it may reasonably require. The failure of the Insurer to exercise any right under this paragraph at any point in the handling of the defense and
settlement of a Claim shall not act as a waiver of or limit the right of the Insurer to exercise such rights at any other point in the handling of the defense and settlement of a Claim, including the right to associate effectively in the negotiation
of a settlement. 
  

 Page 3 of 5 

 The Insurer does not assume any duty to defend any Claim, unless the term and conditions of the Followed
Policy state otherwise, and in such event only to the extent permitted or required by the terms and conditions of the Followed Policy. The Insureds shall not admit or assume any liability, enter into any settlement agreement, stipulate to any
judgment or incur any Defense Costs, in regard to any Claim that appears to the Insurer to be reasonably likely to involve the Insurer, without the prior written consent of the insurer. Only those settlements, stipulated judgments and Defense Costs
that have been consented to by the Insurer shall be recoverable as Loss under the terms of this policy. The Insurer’s consent shall not be unreasonably withheld, provided that the insurer shall be entitled to associate effectively in the
defense and the negotiation of any settlement of any Claim in order to reach a decision as to reasonableness. 
  

	VII.	CANCELLATION CLAUSE 

  
 This policy may be canceled by the Named Insured by mailing prior written notice to the Insurer or by surrender of this policy to the Insurer or its
authorized agent at the address set forth in Item 7 of the Declarations and within the time period and in the manner set forth in the Followed Policy. This policy may also be canceled by or on behalf of the Insurer by delivering to the Named Insured
or by mailing to the Named Insured, by registered, certified, or other first class mail, at the Named Insureds address set forth in the Declarations, written notice stating when, not less than the time period set forth in the Followed Policy (15
days for cancellation due to failure to pay premium) the cancellation shall be effective. The mailing of such notice as aforesaid shall be sufficient proof of notice. The Policy Period terminates at the date and hour specified in such notice, or at
the date and time of surrender. 
  
 If this policy shall be
canceled by the Named Insured, the Insurer shall retain the customary short rate proportion of the premium hereon. If this policy shall be canceled by the Insurer, the Insurer shall retain the pro rata proportion of the premium hereon. 

 
 Payment or tender of any unearned premium by the insurer shall not be a
condition precedent to the effectiveness of cancellation, but such payment shall be made as soon as practicable. 
  
 If the period of limitation relating to the giving of notice is prohibited or made void by any law controlling the construction thereof, such period shall
be deemed to be amended so as to be equal to the minimum period of limitation permitted by such law. 
  
 VIII. OTHER CONDITIONS 
  
 The Insurer shall be entitled to all the rights, privileges and protections afforded to the insurer of the Followed Policy in accordance with all the terms and conditions of the Followed Policy, specifically including, but not limited to,
the right of subrogation, other insurance, notice and authority, assignment and action against the insurer. 
  

	IX.	PREMIUM 

  
 The premium under this policy is a flat premium and is not subject to adjustment except as otherwise provided herein. 
  

	X.	CHANGES 

  
 Notice to or knowledge possessed by any person shall not effect a waiver of or a change in any part of this policy or estop the Insurer from asserting any
right under the terms of this policy; nor shall the terms of this policy be waived or changed, except by endorsement issued to form a part hereof, signed by the Insurer or its authorized representative. 
  

 Page 4 of 5 

	Xl.	DISPUTE RESOLUTION PROCESS 

  
 It is hereby understood and agreed that all disputes or differences which may arise under this policy, whether arising before or after termination of this
policy, including any determination of the amount of Loss, shall be subject to the dispute resolution process (“ADR”) set forth in this clause. 
  
 Either the Insurer and the Insureds may elect the type of ADR discussed below; provided, however, that the Insureds shall have the right to reject the
Insurer’s choice of ADR at any time prior to its commencement, in which case the Insureds’ choice of ADR shall control. 
  
 The Insurer and Insureds agree that there shall be two choices of ADR: (1) non-binding mediation administered by the American Arbitration Association, in
which the Insurer and Insureds shall try in good faith to settle the dispute by mediation under or in accordance with its then-prevailing Commercial Mediation Rules; or (2) arbitration submitted to the American Arbitration Association under or in
accordance with its then-prevailing commercial arbitration rules, in which the arbitration panel shall be composed of three disinterested individuals. In either mediation or arbitration, the mediator(s) or arbitrators shall have knowledge of the
legal, corporate management, or insurance issues relevant to the matters in dispute. 
  
 The mediator(s) or arbitrators shall also give due consideration to the general principles of the law of the state where the Named Insured is incorporated in the construction or interpretation of the provisions of
this policy; provided, however, that the terms, conditions, provisions and exclusions of this policy are to be construed in an even-handed fashion in the manner most consistent with the relevant terms, conditions, provisions or exclusions of the
policy. In the event of arbitration, the decision of the arbitrators shall be final and binding and provided to both parties, and the arbitrators’ award shall not include attorneys fees or other costs. In the event of mediation, either party
shall have the right to commence a judicial proceeding; provided, however, that no such judicial proceeding shall be commenced until the mediation shall have been terminated and at least 120 days shall have elapsed from the date of the termination
of the mediation in all events, each party shall share equally the expenses of the ADR. 
  
 Either choice of ADR may be commenced in either New York, New York; Atlanta, Georgia; Chicago, Illinois; Denver, Colorado; or in the state indicated in Item 1 of the Declarations page as the mailing address for the
Named Insured. The Named Insured shall act on behalf of all insureds in selection of the ADR in accordance with this clause. 
  

	XII.	HEADINGS 

  
 The descriptions in the headings and any subheadings of this policy (including any titles given to any endorsement attached hereto) are inserted solely
for convenience and do not constitute any part of the terms or conditions hereof. 
  

 Page 5 of 5 

 ENDORSEMENT# 1 
  
 This endorsement, effective 12:01 am
                                        
                June 30, 2004
                                        
        forms a part of 
 policy number 361-27-97 
 issued to RICHARDSON ELECTRONICS LTD INC 
  
 by National Union Fire Insurance Company of Pittsburgh, Pa. 
  
 ILLINOIS 
 AMENDATORY ENDORSEMENT 
  
 Wherever used in this endorsement: 1) “we”, “us”, “our”, and
“Insurer” mean the insurance company which issued this policy; and 2) “you”, “your”, “Named Insured”, and “Insured” mean the Named Corporation, Named Organization, Named Sponsor, Named Insured, or
Insured stated in the declarations page; and 3) “Other insured(s)” means all other persons or entities afforded coverage under the policy. 
  
 CANCELLATION AND NONRENEWAL 
  

	A.	The cancellation condition of this policy is replaced by the following: 

  
 CANCELLATION 
  

	 	1.	The Named Insured may cancel this policy by mailing to the Insurer advance written notice of cancellation. 

  

	 	2.	If this policy has been in effect for sixty (60) days or less, the Insurer may cancel this policy by mailing to the Named Insured written notice of cancellation at least:

  

	 	a.	Ten (10) days before the effective date of cancellation if the Insurer cancels for nonpayment of premium; or 

  

	 	b.	Thirty (30) days before the effective date of cancellation if the Insurer cancels for any other reason. 

  

	 	3.	If this policy has been in effect for more than sixty (60) days the Insurer may cancel this policy only for one or more of the following reasons: 

  

	 	a.	Nonpayment of premium; 

  

	 	b.	The policy was obtained through a material misrepresentation; 

  

	 	c.	The Named Insured or Other Insured(s) have violated any of the terms and conditions of the policy; 

  

	 	d.	The risk originally accepted has measurably increased; 

  

	 	e.	Certification to the Director of Insurance of the loss of reinsurance by the Insurer which provided coverage to the Insurer for all or a substantial part of the underlying risk
insured; or 

  

	 	f.	A determination by the Director that the continuation of the policy could place the Insurer in violation of the insurance laws of this State. 

  
 If the insurer cancels this policy based on one or more of the above reasons
except for nonpayment of premium, the Insurer will mail written notice to the Named insured at least sixty (60) days before the effective date of cancellation. When cancellation is for nonpayment of premium, the Insurer will mail notice at least ten
(10) days before the effective date of cancellation. 
  

 -1- 

 END 001 
  

 -2- 

 ENDORSEMENT# 1 (continued) 
  

	 	4.	The Insurer will mail the notice to the Named Insured and the agent or broker at the last addresses known to the Insurer. 

  

	 	5.	Notice of cancellation wilt state the effective date of cancellation and a specific explanation of the reason or reasons for cancellation. The policy period will end on that date.

  

	 	6.	If this policy is cancelled, the Insurer will send the Named insured any premium refund due. If the Insurer cancels, the refund will be pro rata. If the Named Insured cancels, the
refund may be less than pro rata. The cancellation will be effective even if the Insurer has not made or offered a refund. 

  

	 	7.	Proof of mailing will be sufficient proof of notice. 

  

	B.	The following is added: 

  
 NONRENEWAL 
  

	 	1.	If the Insurer decides not to renew this policy, the Insurer will mail written notice stating the reason for nonrenewal to the Named insured’s last mailing address known to the
Insurer at least sixty (60) days before the expiration date of the policy. A copy of the notice will also be sent to: 

  

	 	a.	The broker, if known to the Insurer, or the agent of record; and 

  

	 	b.	The last known mortgagee or lienholder named in the policy at the last mailing address known to the insurer. 

  
 This paragraph does not apply if the Insurer has manifested a willingness
to renew directly to the Named Insured. 
  
 All other terms, conditions and
exclusions remain unchanged. 
  

	
	  

	 AUTHORIZED REPRESENTATIVE

  
 END 001

  

 -3- 

 ENDORSEMENT# 2 
  

					
	 This endorsement, effective 12:01 am
	 	June 30, 2004	 	forms a part of policy
	 number 361-27-97
	 	 	 	 

  
 issued to RICHARDSON ELECTRONICS
LTD INC 
  
 by National Union Fire Insurance Company of Pittsburgh,
Pa. 
  
 Pending And Prior Litigation Exclusion For Excess
Limits 
  
 In consideration of the premium charged, it is understood and
agreed that with respect to the Limit of Liability $10,000,000 excess of the first $25,000,000 Limit of Liability stated in the Declarations, the Insurer shall not be liable for any Loss in connection with any Claims) (including but not limited to
any derivative or representative class action(s)) made against any Insured(s): 
  

	 	(a)	alleging, arising out of, based upon or attributable to or the same as any pending or prior litigation as of June 30, 2003 or alleging or derived from the same or essentially the
same facts as alleged in such pending or prior litigation. 

  
 ALL
OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED. 
  

	
	  

	 AUTHORIZED REPRESENTATIVE

  
 END 002

 ENDORSEMENT# 3 
  

					
	 This endorsement, effective 12:01 am
	 	June 30, 2004	 	forms a part of policy
	 number 361-27-97
	 	 	 	 

 issued to RICHARDSON ELECTRONICS LTD INC 
  
 by National Union Fire Insurance Company of Pittsburgh, Pa. 
  
 Reliance Upon Other Carrier’s Application 
  
 In granting coverage under this policy, it is agreed that the Insurer has relied upon the
statements and representations contained in the below referenced application (including materials submitted thereto and, if such application is a renewal application, all such previous policy applications, and their attachments and materials, for
which this policy is a renewal or succeeds in time) as being accurate and complete. It is further understood and agreed that the Named Insured and the Insureds warrant and represent to the Insurer that the statements and representations made in such
application were accurate on the date such representations and statement were so given and that in connection therewith the Insureds hereby reaffirm each and every statement made in the application to Federal Insurance Company as accurate as of
October 22, 2004 as if it was made to the Insurer on such date. All such statements and representations shall be deemed to be material to the risk assumed by the Insurer, are the basis of this policy and are to be considered as incorporated into
this policy. 
  

					
	 TYPE OF POLICY APPLICATION
	 	CARRIER	 	 DATE SIGNED

			
	Application Executive Liability And Indemnification Coverage Section	 	Federal Insurance Company	 	 October 22, 2004

  
 ALL OTHER TERMS, CONDITIONS AND
LIMITATIONS REMAIN UNCHANGED. 
  

	
	

	AUTHORIZED REPRESENTATIVE

  
 END 003

 ENDORSEMENT# 4 
  

					
	 This endorsement, effective 12:01 am
	 	June 30, 2004	 	forms a part of policy
	 number 361-27-97
	 	 	 	 

 issued to RICHARDSON ELECTRONICS LTD INC 
  
 by National Union Fire Insurance Company of Pittsburgh,
Pa. 
  
 SPECIFIC TERM/ CONDITION/ENDORSEMENT 

 
 NON-FOLLOW FORM ENDORSEMENT 
  
 In consideration of the premium charged it is hereby understood and agreed that this policy
follows the terms and conditions of the Followed Policy, (pursuant to the terms, conditions and exclusions of this policy), except that in no event shall this policy be construed to follow the following terms, conditions and/or endorsements) of the
Followed Policy: 
  

			
	TERMS/CONDITIONS/ENDORSEMENTS	 	TITLE/DESCRIPTION
		
	Crime Coverage Section	 	14-02-7307DFED (Ed. 11/2002)
		
	Fiduciary Liability Coverage Section	 	14-02-7306DFED (Ed. 11/2002)

  
 ALL OTHER TERMS, CONDITIONS AND
EXCLUSIONS REMAIN UNCHANGED. 
  

	
	  

	 AUTHORIZED REPRESENTATIVE

  
 END 004

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