Document:

Exhibit 4.1

 

ASSERTIO HOLDINGS, INC.

 

Debt Securities

 

Indenture

 

Dated as of [ ]

 

[ ].,

 

as Trustee

 

    

    

    

 

CROSS-REFERENCE TABLE

 

This Cross-Reference Table is not a part
of the Indenture

 

	TIA Section	 	Indenture 

Section
	310(a)(1)	 	7.10
	(a)(2)	 	7.10
	(a)(3)	 	N.A.
	(a)(4)	 	N.A.
	(b)	 	7.08; 7.10; 12.02
	311(a)	 	7.11
	(b)	 	7.11
	(c)	 	N.A.
	312(a)	 	2.05
	(b)	 	12.03
	(c)	 	12.03
	313(a)	 	7.06
	(b)(1)	 	N.A.
	(b)(2)	 	7.06
	(c)	 	12.02
	(d)	 	7.06
	314(a)	 	4.03; 12.02
	(b)	 	N.A.
	(c)(1)	 	12.04
	(c)(2)	 	12.04
	(c)(3)	 	N.A.
	(d)	 	N.A.
	(e)	 	12.05
	315(a)	 	7.01(b)
	(b)	 	7.05; 12.02
	(c)	 	7.01(a)
	(d)	 	7.01(c)
	(e)	 	6.11
	316(a)(last sentence)	 	12.06
	(a)(1)(A)	 	6.05
	(a)(1)(B)	 	6.04
	(a)(2)	 	N.A.
	(b)	 	6.07
	317(a)(1)	 	6.08
	(a)(2)	 	6.09
	(b)d	 	2.04
	318(a)	 	12.01

 

N.A. means Not Applicable.

 

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TABLE OF CONTENTS

 

This Table of Contents is not a part
of the Indenture

 

	ARTICLE ONE
	DEFINITIONS AND INCORPORATION BY REFERENCE
	 	 	 
	Section 1.01	 	Definitions	- 1 -
	Section 1.02	 	Other Definitions	- 5 -
	Section 1.03	 	Incorporation by Reference of Trust Indenture Act	- 5 -
	Section 1.04	 	Rules of Construction	- 5 -
	 
	ARTICLE TWO
	THE SECURITIES
	 	 	 
	Section 2.01	 	Form and Dating	- 6 -
	Section 2.02	 	Execution and Authentication	- 8 -
	Section 2.03	 	Registrar and Paying Agent	- 8 -
	Section 2.04	 	Paying Agent to Hold Money in Trust	- 9 -
	Section 2.05	 	Securityholder Lists	- 9 -
	Section 2.06	 	Transfer and Exchange	- 9 -
	Section 2.07	 	Replacement Securities	- 9 -
	Section 2.08	 	Outstanding Securities	- 9 -
	Section 2.09	 	Temporary Securities	- 10 -
	Section 2.10	 	Cancellation	- 10 -
	Section 2.11	 	Defaulted Interest	- 10 -
	Section 2.12	 	Treasury Securities	- 10 -
	Section 2.13	 	CUSIP/ISIN Numbers	- 11 -
	Section 2.14	 	Deposit of Moneys	- 11 -
	Section 2.15	 	Book-Entry Provisions for Global Security	- 11 -
	Section 2.16	 	No Duty to Monitor	- 12 -
	 
	ARTICLE THREE
	REDEMPTION
	 	 	 
	Section 3.01	 	Notices to Trustee	- 13 -
	Section 3.02	 	Selection of Securities to be Redeemed	- 13 -
	Section 3.03	 	Notice of Redemption	- 13 -
	Section 3.04	 	Effect of Notice of Redemption	- 14 -
	Section 3.05	 	Deposit of Redemption Price	- 14 -
	Section 3.06	 	Securities Redeemed in Part	- 14 -
	 
	ARTICLE FOUR
	COVENANTS
	 	 	 
	Section 4.01	 	Payment of Securities	- 15 -
	Section 4.02	 	Maintenance of Office or Agency	- 15 -
	Section 4.03	 	Compliance Certificate	- 15 -
	Section 4.04	 	Waiver of Stay, Extension or Usury Laws	- 15 -

 

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	ARTICLE FIVE
	SUCCESSOR CORPORATION
	 	 	 
	Section 5.01	 	Company May Merge, etc.	- 15 -
	 
	ARTICLE SIX
	DEFAULTS AND REMEDIES
	 	 	 
	Section 6.01	 	Events of Default	- 16 -
	Section 6.02	 	Acceleration	- 17 -
	Section 6.03	 	Other Remedies	- 18 -
	Section 6.04	 	Waiver of Existing Defaults	- 18 -
	Section 6.05	 	Control by Majority	- 18 -
	Section 6.06	 	Limitation on Suits	- 18 -
	Section 6.07	 	Rights of Holders to Receive Payment	- 19 -
	Section 6.08	 	Collection Suit by Trustee	- 19 -
	Section 6.09	 	Trustee May File Proofs of Claim	- 19 -
	Section 6.10	 	Priorities	- 19 -
	Section 6.11	 	Undertaking for Costs	- 19 -
	 
	ARTICLE SEVEN
	TRUSTEE
	 	 	 
	Section 7.01	 	Duties of Trustee	- 20 -
	Section 7.02	 	Rights of Trustee	- 20 -
	Section 7.03	 	Individual Rights of Trustee	- 22 -
	Section 7.04	 	Trustee’s Disclaimer	- 22 -
	Section 7.05	 	Notice of Defaults	- 22 -
	Section 7.06	 	Reports by Trustee to Holders	- 22 -
	Section 7.07	 	Compensation and Indemnity	- 22 -
	Section 7.08	 	Replacement of Trustee	- 23 -
	Section 7.09	 	Successor Trustee by Merger, etc.	- 23 -
	Section 7.10	 	Eligibility; Disqualification	- 24 -
	Section 7.11	 	Preferential Collection of Claims Against Company	- 24 -
	 
	ARTICLE EIGHT
	DISCHARGE OF INDENTURE
	 	 	 
	Section 8.01	 	Defeasance upon Deposit of Moneys or Government Obligations	- 24 -
	Section 8.02	 	Survival of the Company’s Obligations	- 26 -
	Section 8.03	 	Application of Trust Money	- 26 -
	Section 8.04	 	Repayment to the Company	- 26 -
	Section 8.05	 	Reinstatement	- 26 -

 

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	ARTICLE NINE
	RESERVED
	 
	ARTICLE TEN
	AMENDMENTS, SUPPLEMENTS AND WAIVERS
	 	 	 
	Section 10.01	 	Without Consent of Holders	- 27 -
	Section 10.02	 	With Consent of Holders	- 28 -
	Section 10.03	 	Compliance with Trust Indenture Act	- 28 -
	Section 10.04	 	Revocation and Effect of Consents	- 28 -
	Section 10.05	 	Notation on or Exchange of Securities	- 29 -
	Section 10.06	 	Trustee to Sign Amendments, etc.	- 29 -
	 
	ARTICLE ELEVEN
	SECURITIES IN FOREIGN CURRENCIES
	 	 	 
	Section 11.01	 	Applicability of Article	- 29 -
	 
	ARTICLE TWELVE
	MISCELLANEOUS
	 	 	 
	Section 12.01	 	Trust Indenture Act Controls	- 30 -
	Section 12.02	 	Notices	- 30 -
	Section 12.03	 	Communications by Holders with Other Holders	- 31 -
	Section 12.04	 	Certificate and Opinion as to Conditions Precedent	- 31 -
	Section 12.05	 	Statements Required in Certificate or Opinion	- 31 -
	Section 12.06	 	Rules by Trustee and Agents	- 31 -
	Section 12.07	 	Legal Holidays	- 32 -
	Section 12.08	 	Governing Law	- 32 -
	Section 12.09	 	No Adverse Interpretation of Other Agreements	- 32 -
	Section 12.10	 	No Recourse Against Others	- 32 -
	Section 12.11	 	Successors and Assigns	- 32 -
	Section 12.12	 	Duplicate Originals	- 32 -
	Section 12.13	 	Severability	- 32 -
	Section 12.14	 	Waiver of Jury Trial	- 32 -
	Section 12.15	 	Submission to Jurisdiction	 
	Section 12.16	 	Tax Withholding	 

 

SIGNATURES

 

EXHIBIT A – Form of Security

 

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INDENTURE dated as of [ ], (the “Base Indenture”),
by and among ASSERTIO HOLDINGS, INC., a Delaware corporation (the “Company”), and [ ], as trustee
(the “Trustee”).

 

Each party agrees as follows for the benefit of the other party
and for the equal and ratable benefit of the Holders of the Company’s debt securities issued under this Base Indenture:

 

ARTICLE ONE

DEFINITIONS AND INCORPORATION BY REFERENCE

 

	Section 1.01	Definitions.

 

“Affiliate” means, when used with reference
to a specified person, any Person directly or indirectly controlling or controlled by or under direct or indirect common control
with the Person specified.

 

“Agent” means any Registrar, Paying Agent
or co-Registrar or agent for service of notices and demands.

 

“Authorizing Resolution” means a resolution
adopted by the Board of Directors or by an Officer or committee of Officers pursuant to Board delegation authorizing a Series of
Securities which shall be delivered to the Trustee.

 

“Bankruptcy Law” means Title 11 of the United
States Code, as amended, or any similar federal or state law for the relief of debtors.

 

“Board of Directors” means the Board of Directors
of the Company or any duly authorized committee thereof.

 

“Capital Stock” means, with respect to any
Person, any and all shares, interests, participations or other equivalents (however designated) of or in such Person’s capital
stock or other equity interests.

 

“Capitalized Lease Obligations” of any Person
means, at the time any determination thereof is to be made, the obligations of such Person to pay rent or other amounts under a
lease that is required to be capitalized for financial reporting purposes in accordance with GAAP, and the amount of such obligations
will be the capitalized amount thereof determined in accordance with GAAP.

 

“Company” means the party named as such in
this Indenture until a successor replaces it pursuant to the Indenture and thereafter means the successor.

 

“control” means, when used with respect to
any Person, the power to direct the management and policies of such Person, directly or indirectly, whether through the ownership
of voting securities, by contract or otherwise; and the terms “controlling” and “controlled”
have meanings correlative to the foregoing.

 

“Currency Agreement” of any Person means
any foreign exchange contract, currency swap agreement or other similar agreement or arrangement designed to protect such Person
or any of its Subsidiaries against fluctuations in currency values.

 

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

 

“Definitive Security” means a certificated
Security registered in the name of the Securityholder thereof.

 

“Depositary” means, with respect to Securities
of any Series which the Company shall determine will be issued in whole or in part as a Global Security, DTC, another clearing
agency, or any successor registered as a clearing agency under the Exchange Act, and any other applicable U.S. or foreign statute
or regulation, which, in each case, shall be designated by the Company pursuant to Section 2.01.

 

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“Dollars” and “$” mean
United States Dollars.

 

“DTC” means The Depository Trust Company.

 

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

 

“Foreign Currency” means any currency, currency
unit or composite currency, including, without limitation, the euro, issued by the government of one or more countries other than
the United States of America or by any recognized confederation or association of such governments and reasonably acceptable to
the Trustee.

 

“GAAP” means generally accepted accounting
principles set forth in the accounting standards codification of the Financial Accounting Standards Board or in such other statements
by such or any other entity as may be approved by a significant segment of the accounting profession of the United States, as in
effect on the date of this Base Indenture.

 

“Global Security” means, with respect to
any Series of Securities, a Security executed by the Company and delivered by the Trustee to the Depositary or pursuant to
the Depositary’s instruction, all in accordance with the Indenture, which shall be registered in the name of the Depositary
or its nominee.

 

“Government Obligations” means securities
which are (i) direct obligations of the United States or the other government or governments in the confederation which issued
the Foreign Currency in which the principal of or any interest on the Security of the applicable Series shall be payable,
in each case for the payment of which its full faith and credit is pledged or (ii) obligations of a Person controlled or supervised
by and acting as an agency or instrumentality of the United States or such other government or governments, in each case the payment
of which is unconditionally guaranteed as a full faith and credit obligation by the United States or such other government or governments,
which, in either case are not callable or redeemable at the option of the issuer or issuers thereof, and shall also include a depositary
receipt issued by a bank or trust company as custodian with respect to any such Government Obligations or a specific payment of
interest on or principal of any such Government Obligation held by such custodian for the account of the holder of a depositary
receipt; provided that (except as required by law) such custodian is not authorized to make any deduction from the amount
payable to the holder of such depositary receipt from any amount received by the custodian in respect of the Government Obligation
or the specific payment of interest on or principal of the Government Obligation evidenced by such depositary receipt.

 

“Holder” or “Securityholder”
means the Person in whose name a Security is registered on the Registrar’s books.

 

“Indebtedness” means, with respect to any
specified Person, any indebtedness of such Person, whether or not contingent:

 

	 	(1)	in respect of borrowed money; 
	 	(2)	evidenced by bonds, notes, debentures or similar instruments; 
	 	(3)	in respect of letters of credit (or reimbursement agreements in respect thereof) or banker’s acceptances; 
	 	(4)	representing Capitalized Lease Obligations; 
	 	(5)	in respect of the balance deferred and unpaid of the purchase price of any property, except (i) any such balance that constitutes an accrued expense or trade payable, or (ii) any obligation to pay a contingent purchase price as long as such obligation remains contingent; or 
	 	(6)	in respect of any Interest Protection Agreement or Currency Agreement, 

 

    - 2 -

     

    

 

if and to the extent any of the preceding items (other than
letters of credit and any Interest Protection Agreement or Currency Agreement) would appear as a liability upon a balance sheet
of the specified Person prepared in accordance with GAAP. In addition, the term “Indebtedness” includes all Indebtedness
of others secured by a Lien on any asset of the specified Person (whether or not such Indebtedness is assumed by the specified
Person) and, to the extent not otherwise included, the guarantee by such Person of any indebtedness of any other Person.

 

Except as otherwise expressly provided in this Indenture, the
amount of any Indebtedness outstanding as of any date shall be:

 

	 	(a)	with respect to contingent obligations, the maximum liability upon the occurrence of the contingency giving rise to the obligation; 
	 	(b)	with respect to any Interest Protection Agreement or Currency Agreement, the net amount payable thereunder if such agreement were terminated at that time due to default by such Person; 
	 	(c)	the accreted value thereof, in the case of any Indebtedness issued at a discount to par; or 
	 	(d)	except as provided above, the principal amount or liquidation preference thereof, in the case of any other Indebtedness. 

 

“Indenture” means this Base Indenture as
amended or supplemented from time to time, including pursuant to any Authorizing Resolution or supplemental indenture pertaining
to any Series, and including, for all purposes of this instrument and any such Authorizing Resolution or supplemental indenture,
the provisions of the TIA that are deemed to be a part of and govern this Base Indenture and any such Authorizing Resolution or
supplemental indenture, respectively.

 

“Interest Protection Agreement” of any Person
means any interest rate swap agreement, interest rate collar agreement, option or futures contract or other similar agreement or
arrangement designed to protect such Person or any of its Subsidiaries against fluctuations in interest rates with respect to Indebtedness.

 

“Issue Date” means, with respect to any Series of
Securities, the date on which the Securities of such Series are originally issued under this Indenture.

 

“Lien” means, with respect to any Property,
any mortgage, deed of trust, lien, pledge, charge, hypothecation, security interest or encumbrance of any kind in respect of such
Property. For purposes of this definition, a Person shall be deemed to own, subject to a Lien, any Property which it has acquired
or holds subject to the interest of a vendor or lessor under any conditional sale agreement, capital lease or other title retention
agreement relating to such Property.

 

“Non-Recourse Indebtedness” with respect
to any Person means Indebtedness of such Person for which (i) the sole legal recourse for collection of principal and interest
on such Indebtedness is against the specific Property identified in the instruments evidencing or securing such Indebtedness (and
any accessions thereto and proceeds thereof) and such Property was acquired with the proceeds of such Indebtedness or such Indebtedness
was incurred within 180 days after the acquisition of such Property and (ii) no other assets of such Person may be realized
upon in collection of principal or interest on such Indebtedness. Indebtedness which is otherwise Non-Recourse Indebtedness will
not lose its character as Non-Recourse Indebtedness because there is recourse to the borrower, any guarantor or any other Person
for (i) environmental or tax warranties and indemnities and such other representations, warranties, covenants and indemnities
as are customarily required in such transactions, or (ii) indemnities for and liabilities arising from fraud, misrepresentation,
misapplication or non-payment of rents, profits, insurance and condemnation proceeds and other sums actually received by the borrower
from secured assets to be paid to the lender, waste and mechanics’ liens.

 

“NYUCC” means the New York Uniform Commercial
Code, as in effect from time to time.

 

    - 3 -

     

    

 

“Officer” means the Chairman of the Board,
the President, any Vice President, the Treasurer, the Controller or the Secretary of the Company.

 

“Officers’ Certificate” means a certificate
signed by two Officers or by an Officer and an Assistant Treasurer or an Assistant Secretary of the Company.

 

“Opinion of Counsel” means a written opinion,
in form and substance reasonably satisfactory to the Trustee, from legal counsel. The counsel may be an employee of or counsel
to the Company. Each such opinion shall include the statements provided for in Section 12.05 if and to the extent required
by the provisions of such Section.

 

“Person” means any individual, corporation,
partnership, limited liability company, joint venture, incorporated or unincorporated association, joint stock company, trust,
unincorporated organization or government or any agency or political subdivision thereof.

 

“principal” of a debt security means the
principal of the security plus, when appropriate, the premium, if any, on the security.

 

“Property” of any Person means all types
of real, personal, tangible, intangible or mixed property owned by such Person, whether or not included in the most recent consolidated
balance sheet of such Person and its Subsidiaries under GAAP.

 

“Restricted Subsidiary” means any Subsidiary
of the Company which is not an Unrestricted Subsidiary.

 

“SEC” means the Securities and Exchange Commission
or any successor agency performing the duties now assigned to it under the TIA.

 

“Securities” means any Securities that are
issued under this Base Indenture.

 

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

 

“Series” means a series of Securities established
under this Base Indenture.

 

“Significant Subsidiary” means any Subsidiary
of the Company which would constitute a “significant subsidiary” as defined in Rule 1.02 of Regulation S-X under
the Securities Act and the Exchange Act.

 

“Subsidiary” of any Person means any corporation
or other entity of which a majority of the Capital Stock having ordinary voting power to elect a majority of the board of directors
of such entity or other persons performing similar functions is at the time directly or indirectly owned or controlled by such
Person.

 

“TIA” means the Trust Indenture Act of 1939,
as in effect from time to time, except as otherwise provided herein.

 

“Trustee” means the party named as such in
this Base Indenture until a successor replaces it pursuant to this Base Indenture and thereafter means the successor serving hereunder;
provided, however, that if at any time there is more than one such Person, “Trustee” as used with respect
to the Securities of any Series shall mean only the Trustee with respect to Securities of that Series.

 

“Trust Officer” means, when used with respect
to the Trustee, any officer within the corporate trust department of the Trustee, including any vice president, assistant vice
president, assistant secretary, senior associate, associate, trust officer or any other officer of the Trustee who customarily
performs functions similar to those performed by the Persons who at the time shall be such officers, respectively, or to whom any
corporate trust matter is referred because of such person’s knowledge of and familiarity with the particular subject and
who shall have direct responsibility for the administration of this Indenture.

 

    - 4 -

     

    

 

“United States” means the United States of
America.

 

“Unrestricted Subsidiary” means, with respect
to any Series, any Subsidiary of the Company (1) so designated by a resolution adopted by the Board of Directors of the Company
as provided below and (2) any Subsidiary of an Unrestricted Subsidiary, subject, in each case, to such conditions as may be
stated in the supplemental indenture or specified in the Authorizing Resolution with respect to such Series.

 

	Section 1.02	Other Definitions.

 

	Term	 	Defined in

 Section	 
	Agent Members	 	 	2.15	 
	Base Indenture	 	 	Preamble	 
	Business Day	 	 	12.07	 
	Covenant Defeasance	 	 	8.01	 
	Custodian	 	 	6.01	 
	Event of Default	 	 	6.01	 
	Legal Defeasance	 	 	8.01	 
	Legal Holiday	 	 	12.07	 
	Paying Agent	 	 	2.03	 
	Payment Default	 	 	6.01	 
	Registrar	 	 	2.03	 
	Security Register	 	 	2.03	 
	Successor	 	 	5.01	 

 

	Section 1.03	Incorporation by Reference of Trust Indenture Act.

 

Whenever this Indenture refers to a provision of the TIA, the
provision is incorporated by reference in and made a part of this Indenture. The following TIA terms used in this Indenture have
the following meanings:

 

“Commission” means the SEC.

 

“indenture securities” means the Securities of a
particular Series.

 

“indenture security holder” means a Securityholder.

 

“indenture to be qualified” means this Indenture.

 

“indenture trustee” or “institutional trustee”
means the Trustee.

 

“obligor” on the indenture securities means the
Company or any other obligor on the Securities of a Series.

 

All other TIA terms used in this Indenture that are defined
by the TIA, defined by TIA reference to another statute or defined by SEC rule have the meanings so assigned to them.

 

	Section 1.04	Rules of Construction.

 

Unless the context otherwise requires:

 

	 	(1)	a term has the meaning assigned to it herein; 
	 	(2)	an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP and all accounting determinations shall be made in accordance with GAAP; 
	 	(3)	“or” is not exclusive and “including” means “including without limitation”; 

 

    - 5 -

     

    

 

	 	(4)	words in the singular include the plural, and in the plural include the singular; 
	 	(5)	“herein,” “hereof” and “hereunder,” and other words of similar import, refer to this Indenture as a whole (including any Authorizing Resolution or supplemental indenture relating to the relevant Series) and not to any particular Article, Section or other subdivision; 
	 	(6)	all exhibits are incorporated by reference herein and expressly made a part of this Indenture; and 
	 	(7)	any transaction or event shall be considered “permitted by” or made “in accordance with” or “in compliance with” this Indenture or any particular provision thereof if such transaction or event is not expressly prohibited by this Indenture or such provision, as the case may be. 

 

ARTICLE TWO

THE SECURITIES

 

	Section 2.01	Form and Dating.

 

The aggregate principal amount of Securities that may be issued
under this Base Indenture is unlimited. The Securities may be issued from time to time in one or more Series. Each Series shall
be created by an Authorizing Resolution or a supplemental indenture that establishes the terms of the Series, which may include
the following:

 

	 	(1)	the title of the Series; 
	 	(2)	the aggregate principal amount (or any limit on the aggregate principal amount) of the Series and, if any Securities of a Series are to be issued at a discount from their face amount, the method of computing the accretion of such discount; 
	 	(3)	the interest rate or method of calculation of the interest rate; 
	 	(4)	the date from which interest will accrue; 
	 	(5)	the record dates for interest payable on Securities of the Series; 
	 	(6)	the dates when, places where and manner in which principal and interest are payable; 
	 	(7)	the Registrar and Paying Agent; 
	 	(8)	the terms of any mandatory (including any sinking fund requirements) or optional redemption by the Company; 
	 	(9)	the terms of any redemption at the option of Holders; 
	 	(10)	the permissible denominations in which Securities of such Series are issuable, if different from $2,000 and multiples of $1,000 in excess thereof; 
	 	(11)	whether Securities of such Series will be issued in registered or bearer form and the terms of any such forms of Securities; 
	 	(12)	whether the Securities of the Series shall be issued in whole or in part in the form of a Global Security or Securities, the terms and conditions, if different from those contained in this Base Indenture, upon which such Global Security or Securities may be exchanged in whole or in part for Definitive Securities; the Depositary for such Global Security or Securities; the form of any legend or legends, if any, to be borne by any such Global Security or Securities in addition to or in lieu of the legends referred to in Section 2.15; 

 

    - 6 -

     

    

 

	 	(13)	the currency or currencies (including any composite currency) in which principal or interest or both may be paid; 
	 	(14)	if payments of principal or interest may be made in a currency other than that in which Securities of such Series are denominated, the manner for determining such payments, including the time and manner of determining the exchange rate between the currency in which such Securities are denominated and the currency in which such Securities or any of them may be paid, and any deletions from or modifications of or additions to the terms of this Indenture to provide for or to facilitate the issuance of Securities denominated or payable, at the election of the Company or a Holder thereof or otherwise, in a Foreign Currency; 
	 	(15)	provisions for electronic issuance of Securities or issuance of Securities of such Series in uncertificated form; 
	 	(16)	any Events of Default, covenants and/or defined terms in addition to or in lieu of those set forth in this Base Indenture; 
	 	(17)	whether and upon what terms Securities of such Series may be defeased or discharged if different from the provisions set forth in this Base Indenture; 
	 	(18)	the form of the Securities of such Series, which, unless the Authorizing Resolution or supplemental indenture otherwise provides, shall be in the form of Exhibit A; 
	 	(19)	any terms that may be required by or advisable under applicable law; 
	 	(20)	the percentage of the principal amount of the Securities of such Series which is payable if the maturity of the Securities of such Series is accelerated in the case of Securities issued at a discount from their face amount; 
	 	(21)	whether Securities of such Series will or will not have the benefit of guarantees and the Company’s Subsidiaries that will be the initial guarantors of such Series and, if applicable, the terms and conditions upon which such guarantees may be subordinated to other indebtedness of the respective guarantors; 
	 	(22)	whether the Securities of such Series are senior or subordinated debt securities, and if subordinated debt securities, the terms of such subordination; 
	 	(23)	whether the Securities of the Series will be convertible into or exchangeable for other Securities, common shares or other securities of any kind of the Company or another obligor, and, if so, the terms and conditions upon which such Securities will be so convertible or exchangeable, including the initial conversion or exchange price or rate or the method of calculation, how and when the conversion price or exchange ratio may be adjusted, whether conversion or exchange is mandatory, at the option of the holder or at the Company’s option, the conversion or exchange period, and any other provision in relation thereto; and 
	 	(24)	any other terms in addition to or different from those contained in this Base Indenture applicable to such Series. 

 

All Securities of one Series need not be issued at the
same time and, unless otherwise provided, a Series may be reopened for issuances of additional Securities of such Series pursuant
to an Authorizing Resolution, an Officers’ Certificate or in any indenture supplemental hereto.

 

The creation and issuance of a Series and the authentication
and delivery thereof are not subject to any conditions precedent.

 

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	Section 2.02	Execution and Authentication.

 

One Officer shall sign the Securities for the Company by manual
or facsimile signature.

 

If an Officer whose signature is on a Security no longer holds
that office at the time the Trustee authenticates the Security, the Security shall nevertheless be valid.

 

A Security shall not be valid until the Trustee manually signs
the certificate of authentication on the Security. The signature shall be conclusive evidence that the Security has been authenticated
under this Base Indenture.

 

At any time and from time to time after the execution and delivery
of this Indenture, the Company may deliver Securities of any series executed by the Company to the Trustee for authentication.
Each Security shall be dated the date of its authentication. The Trustee shall authenticate Securities for original issue upon
receipt of, and shall be fully protected in relying upon:

 

(a) An order to the Trustee signed by an officer of the
Company directing the Trustee to authenticate the Securities;

 

(b) a copy of the resolution or resolutions of the Board
of Directors in or pursuant to which the terms and form of the Securities were established, certified by the Secretary or an Assistant
Secretary of the Company to have been duly adopted by the Board of Directors and to be in full force and effect as of the date
of such certificate, and if the terms and form of such Securities are established by an Officers’ Certificate pursuant to
general authorization of the Board of Directors, such Officers’ Certificate;

 

(c) an Officers’ Certificate of the Company delivered
in accordance with Section 12.04; and

 

(d) an Opinion of Counsel delivered in accordance with
Section 12.04, and that states that such Securities, when authenticated and delivered by Trustee and issued by the Company
in the manner and subject to any conditions specified in such Opinion of Counsel, will constitute valid and legally binding obligations
of the Company, enforceable in accordance with their terms, subject to bankruptcy, insolvency, reorganization and other laws of
general applicability relating to or affecting the enforcement of creditors’ rights and to general equity principles.

 

The Trustee shall have the right to decline to authenticate
and deliver any Securities under this Section if the Trustee, being advised by counsel, determines that such action may not
lawfully be taken or if the Trustee in good faith shall determine that such action would expose the Trustee to personal liability
to existing Holders.

 

	Section 2.03	Registrar and Paying Agent.

 

The Company shall maintain an office or agency where Securities
may be presented for registration of transfer or where Securities of a Series that are convertible or exchangeable may be
surrendered for conversion or exchange (“Registrar”), an office or agency where Securities may be presented
for payment (“Paying Agent”) and an office or agency where notices and demands to or upon the Company in respect
of the Securities and this Indenture may be served. The Registrar shall keep a register of the Securities and of their transfer
and exchange (the “Security Register”). The Company may have one or more co-Registrars and one or more additional
paying agents. The term “Paying Agent” includes any additional paying agent.

 

The Company shall enter into an appropriate agency agreement
with any Agent not a party to this Base Indenture. The agreement shall implement the provisions of this Indenture that relate to
such Agent. The Company shall promptly notify the Trustee in writing of the name and address of any such Agent and the Trustee
shall have the right to inspect the Securities Register at all reasonable times to obtain copies thereof, and the Trustee shall
have the right to rely upon such register as to the names and addresses of the Holders and the principal amounts and certificate
numbers thereof. If the Company fails to maintain a Registrar or Paying Agent or fails to give the foregoing notice, the Trustee
shall act as such.

 

    - 8 -

     

    

 

The Company initially appoints the Trustee as Registrar and
Paying Agent.

 

	Section 2.04	Paying Agent to Hold Money in Trust.

 

Each Paying Agent shall hold in trust for the benefit of Securityholders
and the Trustee all money held by the Paying Agent for the payment of principal of or interest on the Securities, and shall notify
the Trustee of any default by the Company in making any such payment. If the Company or a Subsidiary acts as Paying Agent, it shall
segregate the money and hold it as a separate trust fund. The Company at any time may require a Paying Agent to pay all money held
by it to the Trustee. Upon doing so the Paying Agent shall have no further liability for the money.

 

	Section 2.05	Securityholder Lists.

 

The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of Securityholders. If the Trustee is not the Registrar,
the Company shall furnish to the Trustee at least five (5) Business Days before each semiannual interest payment date and
at such other times as the Trustee may request in writing a list in such form and as of such date as the Trustee may reasonably
require of the names and addresses of Securityholders.

 

	Section 2.06	Transfer and Exchange.

 

Where a Security is presented to the Registrar or a co-Registrar
with a request to register a transfer, the Registrar shall register the transfer as requested if the other provisions of this Section 2.06
are satisfied. Where Securities are presented to the Registrar or a co-Registrar with a request to exchange them for an equal principal
amount of Securities of other denominations, the Registrar shall make the exchange as requested if the same requirements are met.
To permit transfers and exchanges, the Trustee shall authenticate Securities at the Registrar’s request. The Registrar need
not transfer or exchange any Security selected for redemption or repurchase, except the unredeemed or repurchased part thereof
if the Security is redeemed or repurchased in part, or transfer or exchange any Securities for a period of 15 days before a selection
of Securities to be redeemed or repurchased. Any exchange or transfer shall be without charge, except that the Company may require
payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto except in the
case of exchanges pursuant to 2.09, 3.06, or 10.05 not involving any transfer.

 

Any Holder of a Global Security shall, by acceptance of such
Global Security, agree that transfers of beneficial interests in such Global Security may be effected only through a book entry
system maintained by the Holder of such Global Security (or its agent), and that ownership of a beneficial interest in the Security
shall be required to be reflected in a book entry.

 

	Section 2.07	Replacement Securities.

 

If the Holder of a Security claims that the Security has been
lost, destroyed, mutilated or wrongfully taken, the Company shall issue and execute a replacement security and, upon written request
of any Officer of the Company, the Trustee shall authenticate such replacement Security. If any such lost, destroyed, mutilated
or wrongfully taken Security shall have matured or shall be about to mature, the Company may, instead of issuing a substitute Security
therefor, pay such Security without requiring (except in the case of a mutilated Security) the surrender thereof. An indemnity
bond must be sufficient in the judgment of the Company and the Trustee to protect the Company, the Trustee and any Agent from any
loss which any of them may suffer if a Security is replaced, including the acquisition of such Security by a bona fide purchaser.
The Company and the Trustee may charge for its expenses in replacing a Security.

 

	Section 2.08	Outstanding Securities.

 

Securities outstanding at any time are all Securities authenticated
by the Trustee except for those cancelled by it and those described in this Section. A Security does not cease to be outstanding
because the Company or one of its Affiliates holds the Security.

 

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If a Security is replaced pursuant to Section 2.07,
it ceases to be outstanding unless the Trustee receives proof satisfactory to the Company that the replaced Security is held by
a “protected purchaser” (as such term is defined in the NYUCC).

 

If the Paying Agent holds on a redemption date, purchase date
or maturity date money sufficient to pay Securities payable on that date, then on and after that date such Securities cease to
be outstanding and interest on them ceases to accrue.

 

Subject to the foregoing provisions of this Section, each Security
delivered under this Indenture upon registration of transfer of or in exchange for or in lieu of any other Security shall carry
the rights to interest accrued and unpaid, and to accrue, which were carried by such other Security.

 

	Section 2.09	Temporary Securities.

 

Until definitive Securities are ready for delivery, the Company
may prepare and the Trustee shall authenticate temporary Securities. Temporary Securities shall be substantially in the form of
definitive Securities but may have variations that the Company considers appropriate for temporary Securities. Without unreasonable
delay, the Company shall prepare and, upon surrender for cancellation of the temporary Security, the Company shall execute and
the Trustee shall authenticate definitive Securities in exchange for temporary Securities. Until so exchanged, the temporary Securities
shall in all respects be entitled to the same benefits under this Indenture as definitive Securities authenticated and delivered
hereunder.

 

	Section 2.10	Cancellation.

 

The Company at any time may deliver Securities to the Trustee
for cancellation. The Registrar and Paying Agent shall forward to the Trustee any Securities surrendered to them for registration
of transfer, exchange, redemption, purchase or payment. The Trustee and no one else shall cancel and dispose of such cancelled
or tendered securities, or retain in accordance with its standard retention policy, all Securities surrendered for registration
of transfer, exchange, redemption, purchase, payment or cancellation. Unless the Authorizing Resolution or supplemental indenture
so provides, the Company may not issue new Securities to replace Securities that it has previously paid or delivered to the Trustee
for cancellation.

 

	Section 2.11	Defaulted Interest.

 

If the Company defaults in a payment of interest on the Securities
of any Series, it shall pay the defaulted interest plus any interest payable on the defaulted interest to the persons who
are Securityholders of such Series on a subsequent special record date. The Company shall fix such special record date and
a payment date which shall be reasonably satisfactory to the Trustee. At least 15 days before such special record date, the Company
shall send to each Securityholder of the relevant Series a notice that states the record date, the payment date and the amount
of defaulted interest to be paid. On or before the date such notice is sent, the Company shall deposit with the Paying Agent money
sufficient to pay the amount of defaulted interest to be so paid. The Company may pay defaulted interest in any other lawful manner
if, after written notice given by the Company to the Trustee of the proposed payment, such manner of payment shall be deemed practicable
by the Trustee.

 

	Section 2.12	Treasury Securities.

 

In determining whether the Holders of the required principal
amount of Securities of a Series have concurred in any direction, waiver, consent or notice, Securities owned by the Company
or any of its Affiliates shall be considered as though they are not outstanding, except that for the purposes of determining whether
the Trustee shall be protected in relying on any such direction, waiver or consent, only Securities which a Trust Officer of the
Trustee actually knows are so owned shall be so considered.

 

    - 10 -

     

    

 

	Section 2.13	CUSIP/ISIN Numbers.

 

The Company in issuing the Securities of any Series may
use a “CUSIP” and/or “ISIN” or other similar number, and if so, the Trustee shall use the CUSIP and/or
ISIN or other similar number in notices of redemption or exchange as a convenience to Holders of such Securities; provided
that no representation is hereby deemed to be made by the Trustee as to the correctness or accuracy of any such CUSIP and/or ISIN
or other similar number printed in the notice or on such Securities, and that reliance may be placed only on the other identification
numbers printed on such Securities. The Company shall promptly notify the Trustee in writing of any change in any CUSIP and/or
ISIN or other similar number.

 

	Section 2.14	Deposit of Moneys.

 

Prior to 11:00 a.m. New York City time on each interest
payment date and maturity date with respect to each Series of Securities, the Company shall have deposited with the Paying
Agent in immediately available funds money in the applicable currency sufficient to make cash payments due on such interest payment
date or maturity date, as the case may be, in a timely manner which permits the Paying Agent to remit payment to the Holders of
such Series on such interest payment date or maturity date, as the case may be.

 

	Section 2.15	Book-Entry Provisions for Global Security.

 

(a) Any Global Security of a Series initially shall
(i) be registered in the name of the Depositary or the nominee of such Depositary, (ii) be delivered to the Trustee as
custodian for such Depositary and (iii) bear any required legends.

 

Members of, or participants in, the Depositary (“Agent
Members”) shall have no rights under this Indenture with respect to any Global Security held on their behalf by the Depositary,
or the Trustee as its custodian, or under the Global Security, and the Depositary may be treated by the Company, the Trustee and
any agent of the Company or the Trustee as the absolute owner of the Global Security for all purposes whatsoever. Notwithstanding
the foregoing, nothing herein shall prevent the Company, the Trustee or any agent of the Company or the Trustee from giving effect
to any written certification, proxy or other authorization furnished by the Depositary or impair, as between the Depositary and
its Agent Members, the operation of customary practices governing the exercise of the rights of a Holder of any Security.

 

(b) Transfers of any Global Security shall be limited to
transfers in whole, but not in part, to the Depositary, its successors or their respective nominees. Interests of beneficial owners
in the Global Security may be transferred or exchanged for Definitive Securities in accordance with the rules and procedures
of the Depositary. In addition, Definitive Securities shall be transferred to all beneficial owners in exchange for their beneficial
interests in a Global Security if (i) the Depositary notifies the Company that it is unwilling or unable to continue as Depositary
for the Global Security and a successor depository is not appointed by the Company within 90 days of such notice or (ii) an
Event of Default has occurred and is continuing and the Registrar has received a request from the Depositary to issue Definitive
Securities.

 

(c) In connection with any transfer or exchange of a portion
of the beneficial interest in any Global Security to beneficial owners pursuant to paragraph (b), the Registrar shall (if
one or more Definitive Securities are to be issued) reflect on its books and records the date and a decrease in the principal amount
of the Global Security in an amount equal to the principal amount of the beneficial interest in the Global Security to be transferred,
and the Company shall execute, and the Trustee shall authenticate and deliver, one or more Definitive Securities of like Series and
amount.

 

(d) In connection with the transfer of an entire Global
Security to beneficial owners pursuant to paragraph (b), the Global Security shall be deemed to be surrendered to the Trustee
for cancellation, and the Company shall execute, and the Trustee shall authenticate and deliver, to each beneficial owner identified
by the Depositary in exchange for its beneficial interest in the Global Security, an equal aggregate principal amount of Definitive
Securities of the same Series in authorized denominations.

 

    - 11 -

     

    

 

(e) The Holder of any Global Security may grant proxies
and otherwise authorize any person, including Agent Members and persons that may hold interests through Agent Members, to take
any action which a Holder is entitled to take under this Indenture or the Securities of such Series.

 

(f) Unless otherwise provided in the Authorizing Resolution
or supplemental indenture for a particular Series of Securities, each Global Security of such Series shall bear legends
in substantially the following forms:

 

“THIS GLOBAL SECURITY IS HELD BY THE DEPOSITARY (AS DEFINED
IN THE INDENTURE GOVERNING THIS SECURITY) OR ITS NOMINEE IN CUSTODY FOR THE BENEFIT OF THE HOLDERS OF BENEFICIAL INTERESTS HEREIN,
AND IS NOT TRANSFERABLE TO ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY MAKE ANY SUCH NOTATIONS
HEREON AS MAY BE REQUIRED PURSUANT TO THE INDENTURE, (II) THIS GLOBAL SECURITY MAY BE EXCHANGED IN WHOLE BUT NOT
IN PART PURSUANT TO SECTION 2.06 OF THE INDENTURE, (III) THIS GLOBAL SECURITY MAY BE DELIVERED TO THE TRUSTEE
FOR CANCELLATION PURSUANT TO THE INDENTURE AND (IV) THIS GLOBAL SECURITY MAY BE TRANSFERRED TO A SUCCESSOR DEPOSITARY
WITH THE PRIOR WRITTEN CONSENT OF THE COMPANY.”

 

“UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR
SECURITIES IN DEFINITIVE FORM, THIS SECURITY MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE
DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR TO ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR
ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. UNLESS THIS CERTIFICATE IS PRESENTED BY AN
AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH
OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE
BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.”

 

	Section 2.16	No Duty to Monitor.

 

The Trustee shall have no obligation or duty to monitor, determine
or inquire as to compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect
to any transfer of any interest in any Security (including any transfers between or among Agent Members or beneficial owners of
interests in any Global Security) other than to require delivery of such certificates and other documentation or evidence as are
expressly required by, and to do so if and when expressly required by the terms of, this Indenture, and to examine the same to
determine substantial compliance as to form with the express requirements hereof.

 

Neither the Trustee nor any Agent shall have any responsibility
for any actions taken or not taken by the Depositary.

 

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ARTICLE THREE

REDEMPTION

 

	Section 3.01	Notices to Trustee.

 

Securities of a Series that are redeemable prior to maturity
shall be redeemable in accordance with their terms and, unless the Authorizing Resolution or supplemental indenture provides otherwise,
in accordance with this Article Three.

 

If the Company wants to redeem Securities pursuant to Paragraph
4 of the Securities, it shall notify the Trustee in writing of the redemption date and the principal amount of Securities to
be redeemed. Any such notice may be cancelled at any time prior to notice of such redemption being sent to Holders. Any such cancelled
notice shall be void and of no effect.

 

If the Company wants to credit any Securities previously redeemed,
retired or acquired against any redemption pursuant to Paragraph 5 of the Securities, it shall notify the Trustee of the
amount of the credit and it shall deliver any Securities not previously delivered to the Trustee for cancellation with such notice.

 

The Company shall give each notice provided for in this Section 3.01
at least 15 days before the notice of any such redemption is to be delivered to Holders (unless a shorter notice shall be satisfactory
to the Trustee).

 

	Section 3.02	Selection of Securities to be Redeemed.

 

If fewer than all of the Securities of a Series are to
be redeemed, the Securities to be redeemed shall be selected pro rata, by lot, or such other method the Trustee (or depository,
as applicable) considers fair and appropriate and, in the case of Global Securities, in a manner that complies with applicable
requirements of the Depositary. The Trustee (or depository, as applicable) shall make the selection from Securities outstanding
not previously called for redemption and shall promptly notify the Company of the serial numbers or other identifying attributes
of the Securities so selected. The Trustee (or depository, as applicable) may select for redemption portions of the principal of
Securities that have denominations larger than the minimum denomination for the Series. Securities and portions of them it selects
shall be in amounts equal to a permissible denomination for the Series. Provisions of this Indenture that apply to Securities called
for redemption also apply to portions of Securities called for redemption.

 

Unless otherwise provided in the Authorizing Resolution or supplemental
indenture relating to a Series, if any Security selected for partial redemption is converted into or exchanged for Common Stock
or other securities, cash or other property in part before termination of the conversion or exchange right with respect to the
portion of the Security so selected, the converted portion of such Security shall be deemed (so far as may be) to be the portion
selected for redemption. Securities which have been converted or exchanged during a selection of Securities to be redeemed shall
be treated by the Trustee as outstanding for the purpose of such selection.

 

	Section 3.03	Notice of Redemption.

 

At least 30 days but not more than 60 days before a redemption
date, the Company shall mail a notice of redemption by first-class mail, postage prepaid (or in the case of Global Securities,
deliver electronically in accordance with the applicable procedures of the Depositary), to each Holder of Securities to be redeemed.

 

The notice shall identify the Securities to be redeemed and
shall state:

 

	 	(1)	the redemption date; 
	 	(2)	the redemption price or the formula pursuant to which such price will be calculated; 
	 	(3)	if any Security is being redeemed in part, the portion of the principal amount of such Security to be redeemed and that, after the redemption date, upon surrender of such Security, a new Security or Securities in principal amount equal to the unredeemed portion shall be issued upon cancellation of the original Security; 

 

    - 13 -

     

    

 

	 	(4)	in the case of Securities of a Series that are convertible or exchangeable into shares of the Company’s common stock or other securities, cash or other property, the conversion or exchange price or rate, the date or dates on which the right to convert or exchange the principal of the Securities of such Series to be redeemed will commence or terminate and the place or places where such Securities may be surrendered for conversion or exchange; 
	 	(5)	the name and address of the Paying Agent; 
	 	(6)	that Securities called for redemption must be surrendered to the Paying Agent to collect the redemption price; 
	 	(7)	that interest on Securities called for redemption ceases to accrue on and after the redemption date; 
	 	(8)	that the Securities are being redeemed pursuant to the mandatory redemption or the optional redemption provisions, as applicable; and 
	 	(9)	the CUSIP number and that no representation is hereby deemed to be made be made by the Trustee as to the correctness or accuracy of any such CUSIP and/or ISIN or other similar number printed in the notice or on such Securities, and that reliance may be placed only on the other identification numbers printed on such Securities. 

 

At the Company’s request, the Trustee shall give the notice
of redemption in the Company’s name and at its expense; provided, however, that the Company shall deliver to
the Trustee at least 15 days prior to the date on which notice of redemption is to be sent or such shorter period as may be satisfactory
to the Trustee, an Officers’ Certificate requesting that the Trustee give such notice and setting forth the information to
be stated in such notice as provided in the preceding paragraph.

 

	Section 3.04	Effect of Notice of Redemption.

 

Once notice of redemption is sent, Securities called for redemption
become due and payable on the redemption date and at the redemption price as set forth in the notice of redemption. Upon surrender
to the Paying Agent, such Securities shall be paid at the redemption price, plus accrued and unpaid interest to the redemption
date. Notices of redemption may be subject to one or more conditions. In the event that any such conditions are not satisfied the
Company may amend or revoke such notice of redemption by sending notice to Securityholders (with a copy to the Trustee) in accordance
with the applicable procedures of the Depository.

 

	Section 3.05	Deposit of Redemption Price.

 

On or before the redemption date, the Company shall deposit
with the Paying Agent immediately available funds in the applicable currency sufficient to pay the redemption price of and accrued
interest on all Securities to be redeemed on that date.

 

	Section 3.06	Securities Redeemed in Part.

 

Upon surrender of a Security that is redeemed in part, the Company
shall execute and the Trustee shall authenticate for each Holder a new Security of the same Series equal in principal amount
to the unredeemed portion of the Security surrendered.

 

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ARTICLE FOUR

COVENANTS

 

	Section 4.01	Payment of Securities.

 

The Company shall pay the principal of and interest on a Series on
the dates, in the currency and in the manner provided in the Securities of the Series. An installment of principal or interest
shall be considered paid on the date it is due if the Paying Agent holds on that date money in the applicable currency designated
for and sufficient to pay the installment.

 

The Company shall pay interest on overdue principal at the rate
borne by the Series; it shall pay interest on overdue installments of interest at the same rate.

 

	Section 4.02	Maintenance of Office or Agency.

 

The Company shall maintain the office or agency required under
Section 2.03. The Company shall give prior written notice to the Trustee of the location, and any change in the location,
of such office or agency. If at any time the Company shall fail to maintain any such required office or agency or shall fail to
furnish the Trustee with the address thereof, such presentations, surrenders, notices and demands may be made or served at the
address of the Trustee.

 

	Section 4.03	Compliance Certificate.

 

The Company shall deliver to the Trustee within 120 days after
the end of each fiscal year of the Company an Officers’ Certificate stating whether or not the signers know of any continuing
Default by the Company in performing any of its obligations under this Indenture. If they do know of such a Default, the certificate
shall describe the Default. In addition, the Company will notify the Trustee within 5 business days upon the Company’s knowledge
of a Default.

 

	Section 4.04	Waiver of Stay, Extension or Usury Laws.

 

The Company covenants (to the extent that it may lawfully do
so) that it will not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any
stay or extension law or any usury law or other law that would prohibit or forgive the Company from paying all or any portion of
the principal of or interest on the Securities of any Series as contemplated herein, wherever enacted, now or at any time
hereafter in force, or which may affect the covenants or the performance of this Indenture; and (to the extent that it may lawfully
do so) the Company expressly waives all benefit or advantage of any such law, and covenants that it will not hinder, delay or impede
the execution of any power herein granted to the Trustee, but will suffer and permit the execution of every such power as though
no such law had been enacted.

 

ARTICLE FIVE

SUCCESSOR CORPORATION

 

	Section 5.01	Company May Merge, etc.

 

Nothing contained in this Indenture shall prevent any consolidation
or merger of the Company with or into any other Person (whether or not affiliated with the Company) or successive consolidations
or mergers in which the Company or its successor or successors shall be a party or parties, or shall prevent any sale, conveyance,
transfer or other disposition of the property of the Company or its successor or successors as an entirety, or substantially as
an entirety, to any other Person (whether or not affiliated with the Company or its successor or successors); provided, however,
the Company hereby covenants and agrees that, upon any such consolidation or merger (in each case, if the Company is not the survivor
of such transaction) or any such sale, conveyance, transfer or other disposition (other than a sale, conveyance, transfer or other
disposition to a Subsidiary of the Company), the due and punctual payment of the principal of (premium, if any) and interest on
all of the Securities of all series in accordance with the terms of each series, according to their tenor, and the due and punctual
performance and observance of all the covenants and conditions of this Indenture with respect to each
series or established with respect to such series pursuant to Section 2.01 to be kept or performed by the Company shall be
expressly assumed, by supplemental indenture (which shall conform to the provisions of the Trust Indenture Act, as then in effect)
reasonably satisfactory in form to the Trustee executed and delivered to the Trustee by the entity formed by such consolidation,
or into which the Company shall have been merged, or by the entity which shall have acquired such property.

 

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Upon any such consolidation, merger, sale, lease, conveyance
or other disposition, the Successor will be substituted for the Company under the Indenture. The Successor may then exercise every
power and right of the Company under this Indenture, and except in the case of a lease, the Company will be released from all of
its liabilities and obligations in respect of the Securities and the Indenture. If the Company leases all or substantially all
of its assets the Company will not be released from its obligations to pay the principal of and interest, if any, on the Securities.

 

ARTICLE SIX

DEFAULTS AND REMEDIES

 

	Section 6.01	Events of Default.

 

An “Event of Default” on a Series occurs
if, voluntarily or involuntarily, whether by operation of law or otherwise, any of the following occurs:

 

	 	(1)	the failure by the Company to pay interest on any Security of such Series when the same becomes due and payable and the continuance of any such failure for a period of 30 days; 
	 	(2)	the failure by the Company to pay the principal of any Security of such Series when the same becomes due and payable at maturity, upon acceleration, redemption or otherwise; 
	 	(3)	the failure by the Company or any Restricted Subsidiary to comply with any of its agreements or covenants in, or provisions of, the Securities of such Series or this Indenture (as they relate thereto) and such failure continues for the period and after the notice specified below (except in the case of a default with respect to Article Five (or any other provision specified in the applicable supplemental indenture or Authorizing Resolution), which will constitute Events of Default with notice but without passage of time); 
	 	(4)	default under any mortgage, indenture or instrument under which there may be issued or by which there may be secured or evidenced any Indebtedness (other than Non-Recourse Indebtedness) for money borrowed by the Company or any of its Restricted Subsidiaries (or the payment of which is guaranteed by the Company or any of its Restricted Subsidiaries), whether such Indebtedness or guarantee now exists or is created after the Issue Date, if that default: 

 

	 	(A)	is caused by a failure to pay at final stated maturity the principal amount of such Indebtedness prior to the expiration of the grace period provided in such Indebtedness on the date of such default (a “Payment Default”); or 
	 	(B)	results in the acceleration of such Indebtedness prior to its express maturity without such Indebtedness having been discharged or such acceleration having been cured, waived, rescinded or annulled for the period and after the notice specified below, 

 

and, in each case, the principal amount of any such Indebtedness,
together with the principal amount of any other such Indebtedness under which there has been a Payment Default or the maturity
of which has been so accelerated, aggregates $50 million or more;

 

    - 16 -

     

    

 

	 	(5)	the Company or any Restricted Subsidiary that is a Significant Subsidiary pursuant to or within the meaning of any Bankruptcy Law: 

 

	 	(A)	commences a voluntary case, 
	 	(B)	consents to the entry of an order for relief against it in an involuntary case, 
	 	(C)	consents to the appointment of a Custodian of it or for all or substantially all of its Property, or 
	 	(D)	makes a general assignment for the benefit of its creditors; 

 

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

 

	 	(A)	is for relief against the Company or any Restricted Subsidiary that is a Significant Subsidiary as debtor in an involuntary case, 
	 	(B)	appoints a Custodian of the Company or any Restricted Subsidiary that is a Significant Subsidiary or a Custodian for all or substantially all of the Property of the Company, or 
	 	(C)	orders the liquidation of the Company or any Restricted Subsidiary that is a Significant Subsidiary, and the order or decree remains unstayed and in effect for 60 days. 

 

A Default as described in subclause (3) or (4)(B) above
will not be deemed an Event of Default until the Trustee notifies the Company, or the Holders of at least 25 percent in principal
amount of the then outstanding Securities of the applicable Series notify the Company and the Trustee, of the Default and
(except in the case of a default with respect to Article Five (or any other provision specified in the applicable supplemental
indenture or Authorizing Resolution)) the Company does not cure the Default within (a) with respect to in subclause (3),
60 days after receipt of the notice and (b) with respect to subclause (4)(B), 30 days after receipt of the notice.
The notice must specify the Default, demand that it be remedied and state that the notice is a “Notice of Default.”
If such a Default is cured within such time period, it ceases to exist, without any action by the Trustee or any other Person.

 

The term “Custodian” means any receiver,
trustee, assignee, liquidator, custodian or similar official under any Bankruptcy Law.

 

	Section 6.02	Acceleration.

 

If an Event of Default (other than an Event of Default with
respect to the Company resulting from subclause (5) or (6) above), shall have occurred and be continuing
under the Indenture, the Trustee by notice to the Company, or the Holders of at least 25 percent in principal amount of the Securities
of the applicable Series then outstanding by notice to the Company and the Trustee, may declare all Securities of such Series to
be due and payable immediately. Upon such declaration of acceleration, the amounts due and payable on the Securities of such Series will
be due and payable immediately. If an Event of Default with respect to the Company specified in subclauses (5) or (6) above
occurs, all amounts due and payable on the Securities of such Series will ipso facto become and be immediately due and payable
without any declaration, notice or other act on the part of the Trustee and the Company or any Holder.

 

Holders of a majority in principal amount of the then outstanding
Securities of such Series may rescind an acceleration with respect to such Series and its consequence (except an acceleration
due to nonpayment of principal or interest) if the rescission would not conflict with any judgment or decree and if all existing
Events of Default (other than the non-payment of accelerated principal) have been cured or waived.

 

No such rescission shall extend to or shall affect any subsequent
Event of Default, or shall impair any right or power consequent thereon.

 

    - 17 -

     

    

 

	Section 6.03	Other Remedies.

 

If an Event of Default on a Series occurs and is continuing,
the Trustee may pursue any available remedy by proceeding at law or in equity to collect the payment of principal of or interest
on the Series or to enforce the performance of any provision in the Securities or this Indenture applicable to the Series.

 

The Trustee may maintain a proceeding even if it does not possess
any of the Securities or does not produce any of them in the proceeding. A delay or omission by the Trustee or any Securityholder
in exercising any right or remedy accruing upon an Event of Default shall not impair the right or remedy or constitute a waiver
of or acquiescence in the Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative.

 

	Section 6.04	Waiver of Existing Defaults.

 

Subject to Section 10.02, the Holders of a majority
in principal amount of the outstanding Securities of a Series on behalf of all the Holders of the Series by written notice
to the Trustee may waive an existing Default on such Series and its consequences. When a Default is waived, it is cured and
stops continuing, and any Event of Default arising therefrom shall be deemed to have been cured; but no such waiver shall extend
to any subsequent or other Default or impair any right consequent thereon.

 

	Section 6.05	Control by Majority.

 

The Holders of a majority in principal amount of the outstanding
Securities of a Series may direct the time, method and place of conducting any proceeding for any remedy available to the
Trustee or exercising any trust or power conferred on it with respect to such Series. The Trustee, however, may refuse to follow
any direction (i) that conflicts with law or this Indenture, (ii) that, subject to Section 7.01, the Trustee
determines is unduly prejudicial to the rights of other Securityholders, (iii) that would involve the Trustee in personal
liability, or (iv) if the Trustee shall not have been provided with indemnity satisfactory to it.

 

	Section 6.06	Limitation on Suits.

 

A Securityholder of a Series may not pursue any remedy
with respect to this Indenture or the Series unless:

 

	 	(1)	the Holder gives to the Trustee written notice of a continuing Event of Default on the Series; 
	 	(2)	the Holders of at least a majority in principal amount of the outstanding Securities of the Series make a written request to the Trustee to pursue the remedy; 
	 	(3)	such Holder or Holders offer to the Trustee indemnity satisfactory to the Trustee against any loss, liability or expense; 
	 	(4)	the Trustee does not comply with the request within 60 days after receipt of the request and the offer of indemnity; and 
	 	(5)	no written request inconsistent with such written request shall have been given to the Trustee pursuant to this Section 6.06. 

 

A Securityholder may not use this Indenture to prejudice the
rights of another Holder of Securities of the same Series or to obtain a preference or priority over another Holder of Securities
of the same Series (it being understood that the Trustee does not have an affirmative duty to ascertain whether or not such
actions or forbearances by such Holder are unduly prejudicial to another Holder).

 

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	Section 6.07	Rights of Holders to Receive Payment.

 

Notwithstanding any other provision of this Indenture, the right
of any Holder to receive payment of principal of and interest on any Security, on or after the respective due dates expressed in
the Security, or to bring suit for the enforcement of any such payment on or after such respective dates, is absolute and unconditional
and shall not be impaired or affected without the consent of the Holder.

 

	Section 6.08	Collection Suit by Trustee.

 

If an Event of Default in payment of interest or principal specified
in Section 6.01(1) or (2) occurs and is continuing, the Trustee may recover judgment in its own name
and as trustee of an express trust against the Company for the whole amount of principal and interest remaining unpaid.

 

	Section 6.09	Trustee May File Proofs of Claim.

 

The Trustee may file such proofs of claim and other papers or
documents as may be necessary or advisable in order to have the claims of the Trustee (including any claim for the reasonable compensation,
expenses, disbursements, and advances of the Trustee, its agents and counsel) and the Securityholders allowed in any judicial proceedings
relative to the Company or its creditors or Property, and unless prohibited by applicable law or regulation, may vote on behalf
of the Holders in any election of a Custodian, and shall be entitled and empowered to collect and receive any moneys or other Property
payable or deliverable on any such claims and to distribute the same and any Custodian in any such judicial proceeding is hereby
authorized by each Securityholder to make such payments to the Trustee. Nothing herein shall be deemed to authorize the Trustee
to authorize or consent to or vote for or accept or adopt on behalf of any Securityholder any plan of reorganization, arrangement,
adjustment or composition affecting the Securities or the rights of any Holder or to authorize the Trustee to vote in respect of
the claim of any Securityholder except as aforesaid for the election of the Custodian.

 

	Section 6.10	Priorities.

 

If the Trustee collects any money pursuant to this Article with
respect to Securities of any Series, it shall pay out the money in the following order:

 

	 	First:	to the Trustee for amounts due under Section 7.07; 
	 	Second:	to Securityholders of the Series for amounts due and unpaid on the Series for principal and interest, ratably, without preference or priority of any kind, according to the amounts due and payable on the Series for principal and interest, respectively; and 
	 	Third:	to the Company or as a court of competent jurisdiction shall direct. 

 

The Trustee may fix a record date and payment date for any payment
to Securityholders pursuant to this Section 6.10.

 

	Section 6.11	Undertaking for Costs.

 

In any suit for the enforcement of any right or remedy under
this Indenture or in any suit against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may
require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and the court in its discretion
may assess reasonable costs, including reasonable attorneys’ fees and expenses, against any party litigant in the suit, having
the due regard to the merits and good faith of the claims or defenses made by the party litigant. This Section does not apply
to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07 or a suit by Holders of more than 10% in principal
amount of the Series.

 

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ARTICLE SEVEN

TRUSTEE

 

	Section 7.01	Duties of Trustee.

 

(a) If an Event of Default has occurred and is continuing
with respect to Securities of any Series, the Trustee shall exercise its rights and powers and use the same degree of care and
skill in their exercise as a prudent man would exercise or use under the circumstances in the conduct of his own affairs.

 

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

 

(1) The Trustee need perform only those duties that are
specifically set forth in this Indenture and no others and no implied covenants or obligations shall be read into this Indenture
against the Trustee.

 

(2) In the absence of bad faith on its part, the Trustee
may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates
or opinions furnished to the Trustee and conforming to the requirements of this Indenture. The Trustee, however, in the case of
certificates or opinions specifically required by any provision hereof to be furnished to it, shall examine the certificates and
opinions to determine whether or not they conform to the requirements of this Indenture but need not confirm or investigate the
accuracy of mathematical calculations or other facts or matters stated therein.

 

(c) The Trustee may not be relieved from liability for
its own negligent action, its own negligent failure to act or its own willful misconduct, except that:

 

(1) This paragraph does not limit the effect of paragraph
(b) of this Section.

 

(2) The Trustee shall not be liable for any error of judgment
made in good faith by a Trust Officer, unless it is proved that the Trustee was negligent in ascertaining the pertinent facts.

 

(3) The Trustee shall not be liable with respect to any
action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.05
or any other direction of the Holders permitted hereunder.

 

(d) Every provision of this Indenture that in any way relates
to the Trustee is subject to paragraphs (a), (b) and (c) of this Section.

 

(e) The Trustee may refuse to perform any duty or exercise
any right or power unless it receives indemnity satisfactory to it against any loss, liability or expense.

 

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

 

(g) None of the provisions contained in this Indenture
shall require the Trustee to expend or risk its own funds or otherwise incur financial liability in the performance of any of its
duties or in the exercise of any of its rights or powers, if there shall be reasonable grounds for believing that the repayment
of such funds or adequate indemnity against such liability is not reasonably assured to it.

 

	Section 7.02	Rights of Trustee.

 

Subject to Section 7.01:

 

(a) The Trustee may conclusively rely and shall be fully
protected in acting or refraining from acting on any document, resolution, certificate, instrument, report, or direction believed
by it to be genuine and to have been signed or presented by the proper person. The Trustee need not investigate any fact or matter
stated in the document, resolution, certificate, instrument, report, or direction.

 

    - 20 -

     

    

 

(b) Before the Trustee acts or refrains from acting, it
may require an Officers’ Certificate or an Opinion of Counsel or both, which shall conform to Sections 12.04 and 12.05
hereof and containing such other statements as the Trustee reasonably deems necessary to perform its duties hereunder. The Trustee
shall not be liable for any action it takes or omits to take in good faith in reliance on the Officers’ Certificate, Opinion
of Counsel or any other direction of the Company permitted hereunder.

 

(c) The Trustee may act through agents and shall not be
responsible for the misconduct or negligence of any agent appointed with due care.

 

(d) The Trustee shall not be liable for any action taken,
suffered or omitted by it in good faith and believed by it to be authorized or within the discretion or rights or powers conferred
upon it by this Indenture.

 

(e) The Trustee may consult with counsel of its selection,
and the advice of such counsel or any Opinion of Counsel as to matters of law shall be full and complete authorization and protection
in respect of any action taken, omitted or suffered by it hereunder in good faith and in accordance with the advice or opinion
of such counsel.

 

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

 

(g) For all purposes under this Indenture, the Trustee
shall not be deemed to have notice or knowledge of any Event of Default unless written notice of any Event of Default is received
by the Trustee at its address specified in Section 12.02 hereof and such notice references the Securities generally,
the Company and this Indenture.

 

(h) The Trustee shall be under no obligation to exercise
any of the rights or powers vested in it by this Indenture at the request or direction of any of the Holders pursuant to this Indenture,
unless such Holders shall have offered to the Trustee security or indemnity reasonably satisfactory to the Trustee against the
costs, expenses and liabilities which might be incurred by it in compliance with such request or direction.

 

(i) The Trustee shall not be bound to make any investigation
into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction,
consent, order, bond, debenture, note, other evidence of indebtedness or other paper or document, but the Trustee, in its discretion,
may make such further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine
to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company,
personally or by agent or attorney at the sole cost of the Company and shall incur no liability or additional liability of any
kind by reason of such inquiry or investigation.

 

(j) In no event shall the Trustee be responsible or liable
for special, indirect, punitive or consequential loss or damage of any kind whatsoever (including, but not limited to, loss of
profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form
of action.

 

(k) The rights, privileges, protections, immunities and
benefits given to the Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be enforceable
by, the Trustee in each of its capacities hereunder, and each agent, custodian and other Person employed to act hereunder.

 

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

 

(m) In no event shall the Trustee be responsible or liable
for any failure or delay in the performance of its obligations hereunder arising out of or caused by, directly or indirectly, forces
beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military
disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss
or malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Trustee
shall use reasonable efforts which are consistent with accepted practices in the banking industry to resume performance as soon
as practicable under the circumstances.

 

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	Section 7.03	Individual Rights of Trustee.

 

The Trustee in its individual or any other capacity may become
the owner or pledgee of Securities and may otherwise deal with the Company or its affiliates with the same rights it would have
if it were not Trustee. Any Agent may do the same with like rights. The Trustee, however, must comply with Sections 7.10
and 7.11.

 

	Section 7.04	Trustee’s Disclaimer.

 

The Trustee makes no representation as to the validity or adequacy
of this Indenture, the Securities or of any prospectus used to sell the Securities of any Series; it shall not be accountable for
the Company’s use of the proceeds from the Securities; it shall not be accountable for any money paid to the Company, or
upon the Company’s direction, if made under and in accordance with any provision of this Indenture; it shall not be responsible
for the use or application of any money received by any Paying Agent other than the Trustee; and it shall not be responsible for
any statement of the Company in this Indenture or in the Securities other than its certificate of authentication.

 

	Section 7.05	Notice of Defaults.

 

If a Default on a Series occurs and is continuing and if
a responsible officer of the Trustee has actual knowledge of such Default, the Trustee shall deliver to each Securityholder of
the Series notice of the Default (which shall specify any uncured Default known to it) within 90 days after the Trustee obtains
such knowledge. Except in the case of a default in payment of principal of or interest on a Series, the Trustee may withhold the
notice if and so long as the board of directors of the Trustee, the executive or any trust committee of such directors and/or responsible
officers of the Trustee in good faith determine(s) that withholding the notice is in the interests of Holders of the Series.

 

	Section 7.06	Reports by Trustee to Holders.

 

Within 60 days after each May 15 beginning with the May 15
following the date of this Base Indenture, the Trustee shall mail to each Securityholder a brief report dated as of such May 15
that complies with TIA § 313(a) (but if no event described in TIA § 313(1) through (8) has occurred within
the twelve months preceding the reporting date no report in relation thereto need be transmitted). The Trustee also shall comply
with TIA § 313(b).

 

A copy of each report at the time of its mailing to Securityholders
shall be delivered to the Company and filed by the Trustee with the SEC and each national securities exchange on which the Securities
are listed. The Company agrees to notify the Trustee of each national securities exchange on which the Securities are listed.

 

	Section 7.07	Compensation and Indemnity.

 

The Company shall pay to the Trustee from time to time reasonable
compensation for its services subject to any written agreement between the Trustee and the Company (which compensation shall not
be limited by any provision of law in regard to the compensation of a trustee of an express trust). The Company shall reimburse
the Trustee upon request for all reasonable out-of-pocket expenses incurred by it. Such expenses shall include the reasonable compensation
and expenses of the Trustee’s agents and counsel. The Company shall indemnify the Trustee, its officers, directors, employees
and agents and hold it harmless against any loss, liability, claim, damage or expense incurred or made by or on behalf of it in
connection with the administration of this Indenture or the trust hereunder and its duties hereunder including the costs and expenses
of defending itself against or investigating any claim in the premises. The Trustee shall notify the Company promptly of any claim
of which it has received written notice and for which it may seek indemnity. The Company need not reimburse any expense or indemnify
against any loss or liability incurred by the Trustee through the Trustee’s, or its officers’, directors’, or
employees’ negligence or willful misconduct.

 

    - 22 -

     

    

 

Unless otherwise provided in any supplemental indenture or Authorizing
Resolution relating to any Series, to ensure the Company’s payment obligations in this Section, the Trustee shall have a
lien prior to the Securities of all Series on all money or Property held or collected by the Trustee, except that held in
trust to pay principal of or interest on particular Securities. When the Trustee incurs expenses or renders services in connection
with an Event of Default specified in Section 6.01 or in connection with Article Six hereof, the expenses
(including the reasonable fees and expenses of its counsel) and the compensation for services in connection therewith are to constitute
expenses of administration under any Bankruptcy Law. Section 7.07 shall survive the discharge of the Indenture or resignation
or removal of Trustee.

 

	Section 7.08	Replacement of Trustee.

 

The Trustee may resign with respect to Securities of any or
all Series by so notifying the Company. The Holders of a majority in principal amount of the outstanding Securities (or of
the relevant Series) may remove the Trustee by so notifying the removed Trustee in writing (at any time when the Trustee holds
funds on behalf of the Company, upon 30 days’ prior written notice) and may appoint a successor trustee with the Company’s
consent. Such resignation or removal shall not take effect until the appointment by the Securityholders of the relevant Series or
the Company as hereinafter provided of a successor trustee and the acceptance of such appointment by such successor trustee. The
Company (at any time when the Trustee holds funds on behalf of the Company, upon 30 days’ prior written notice) may remove
the Trustee and any Securityholder may petition any court of competent jurisdiction for the removal of the Trustee and the appointment
of a successor trustee for any or no reason, including if:

 

	 	(1)	the Trustee fails to comply with Section 7.10 after written request by the Company or any bona fide Securityholder who has been a Securityholder for at least six months; 

	 	(2)	the Trustee is adjudged a bankrupt or an insolvent; 

	 	(3)	a receiver or other public officer takes charge of the Trustee or its Property; or 

	 	(4)	the Trustee becomes incapable of acting. 

 

If the Trustee resigns or is removed or if a vacancy exists
in the office of Trustee for any reason, the Company shall promptly appoint a successor trustee with respect to the Securities
of the relevant Series. If a successor trustee does not take office within 30 days after the retiring Trustee resigns or is removed,
the retiring Trustee at the expense of the Company, the Company or any Holder may petition any court of competent jurisdiction
for the appointment of a successor trustee.

 

A successor trustee shall deliver a written acceptance of its
appointment to the retiring Trustee and to the Company. Immediately after that, the retiring Trustee shall, upon payment of its
fees and expenses (including, without limitation, reasonable fees and expenses of counsel) hereunder, transfer all Property held
by it as Trustee to the successor trustee, the resignation or removal of the retiring Trustee shall become effective, and the successor
trustee shall have all the rights, powers and duties of the Trustee under this Indenture. A successor trustee shall mail notice
of its succession to each Securityholder.

 

	Section 7.09	Successor Trustee by Merger, etc.

 

If the Trustee consolidates with, merges with or into or converts
into, or transfers all or substantially all of its corporate trust business to, another corporation, the successor corporation
without any further act shall be the successor trustee.

 

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	Section 7.10	Eligibility; Disqualification.

 

This Indenture shall always have a Trustee who satisfies the
requirements of TIA § 310(a)(1). The Trustee shall have a combined capital and surplus of at least $10,000,000 as set forth
in its most recent published annual report of condition. The Trustee shall comply with TIA § 310(b).

 

	Section 7.11	Preferential Collection of Claims Against Company.

 

The Trustee shall comply with TIA § 311(a), excluding any
creditor relationship listed in TIA § 311(b). A Trustee who has resigned or been removed shall be subject to TIA § 311(a) to
the extent indicated therein.

 

ARTICLE EIGHT 

DISCHARGE OF INDENTURE

 

	Section 8.01	Defeasance upon Deposit of Moneys or Government
Obligations.

 

(a) The Company may, at its option and at any time, elect
to have either paragraph (b) or paragraph (c) below be applied to the outstanding Securities of any Series upon
compliance with the applicable conditions set forth in paragraph (d).

 

(b) Upon the Company’s exercise under paragraph
(a) of the option applicable to this paragraph (b) with respect to any Series, the Company shall be deemed
to have been released and discharged from its obligations with respect to the outstanding Securities of the Series on the
date the applicable conditions set forth below are satisfied (hereinafter, “Legal Defeasance”). For this purpose,
such Legal Defeasance means that the Company shall be deemed to have paid and discharged the entire Indebtedness represented by
the outstanding Securities of a Series, which shall thereafter be deemed to be “outstanding” only for the purposes
of the Sections and matters under this Indenture referred to in (i) and (ii) below, and the Company shall be deemed to
have satisfied all its other obligations under such Securities and this Indenture insofar as such Securities are concerned, except
for the following which shall survive until otherwise terminated or discharged hereunder: (i) the rights of Holders of outstanding
Securities of a Series to receive solely from the trust fund described in paragraph (d) below and as more fully
set forth in such paragraph, payments in respect of the principal of and interest on such Securities when such payments are due
and (ii) obligations listed in Section 8.02, subject to compliance with this Section 8.01. The Company
may exercise its option under this paragraph (b) with respect to a Series notwithstanding the prior exercise of
its option under paragraph (c) below with respect to the Securities of the Series.

 

(c) Upon the Company’s exercise under paragraph
(a) of the option applicable to this paragraph (c) with respect to a Series, the Company shall be released
and discharged from the obligations under any covenant contained in Articles Four and Five and any other covenant
contained in or referenced in the Authorizing Resolution or supplemental indenture relating to such Series (to the extent
such release and discharge shall not be prohibited thereby), on and after the date the conditions set forth below are satisfied
(hereinafter, “Covenant Defeasance”), and the Securities of such Series shall thereafter be deemed to be
not “outstanding” for the purpose of any direction, waiver, consent or declaration or act of Holders (and the consequences
of any thereof) in connection with such covenants, but shall continue to be deemed “outstanding” for all other purposes
hereunder. For this purpose, such Covenant Defeasance means that, with respect to the outstanding Securities of a Series, the Company
may omit to comply with and shall have no liability in respect of any term, condition or limitation set forth in any such covenant,
whether directly or indirectly, by reason of any reference elsewhere herein to any such covenant or by reason of any reference
in any such covenant to any other provision herein or in any other document and such omission to comply shall not constitute a
Default or an Event of Default under Section 6.01(3) or otherwise, but, except as specified above, the remainder
of this Indenture and such Securities shall be unaffected thereby.

 

    -24-

     

    

 

(d) The following shall be the conditions to application
of either paragraph (b) or paragraph (c) above to the outstanding Securities of the applicable Series:

 

(1) The Company shall have irrevocably deposited in trust
with the Trustee (or another qualifying trustee), money in the currency in which the Securities of such Series are payable
or Government Obligations or a combination thereof in such amounts and at such times as are sufficient, in the opinion of a nationally
recognized firm of independent public accountants, to pay the principal of and interest on the outstanding Securities of such Series to
maturity or redemption; provided, however, that the Trustee (or other qualifying trustee) shall have received an
irrevocable written order from the Company instructing the Trustee (or other qualifying trustee) to apply such money or the proceeds
of such Government Obligations to said payments with respect to the Securities of such Series to maturity or redemption;

 

(2) No Default or Event of Default (other than a Default
or Event of Default resulting from non-compliance with any covenant from which the Company is released upon effectiveness of such
Legal Defeasance or Covenant Defeasance pursuant to paragraph (b) or (c) hereof, as applicable) shall have
occurred and be continuing on the date of such deposit or result therefrom;

 

(3) Such deposit will not result in a breach or violation
of, or constitute a default under, any other material instrument or agreement to which the Company or any of any of its Restricted
Subsidiaries is a party or by which it or any of their Property is bound;

 

(4) (i) In the event the Company elects paragraph
(b) hereof, the Company shall deliver to the Trustee an Opinion of Counsel in the United States, in form and substance
reasonably satisfactory to the Trustee, to the effect that (A) the Company has received from, or there has been published
by, the Internal Revenue Service a ruling or (B) since the Issue Date pertaining to such Series, there has been a change in
the applicable federal income tax law, in either case to the effect that, and based thereon such Opinion of Counsel shall state
that, or (ii) in the event the Company elects paragraph (c) hereof, the Company shall deliver to the Trustee an
Opinion of Counsel in the United States, in form and substance reasonably satisfactory to the Trustee, to the effect that, in the
case of clauses (i) and (ii), and subject to customary assumptions and exclusions, Holders of the Securities
of such Series will not recognize income, gain or loss for federal income tax purposes as a result of such deposit and the
defeasance contemplated hereby and will be subject to federal income tax in the same amounts and in the same manner and at the
same times as would have been the case if such deposit and defeasance had not occurred;

 

(5) The Company shall have delivered to the Trustee an
Officers’ Certificate, stating that the deposit under clause (1) was not made by the Company with the intent
of preferring the Holders of the Securities of such Series over any other creditors of the Company or with the intent of defeating,
hindering, delaying or defrauding any other creditors of the Company or others; and

 

(6) The Company has delivered to the Trustee an Officers’
Certificate and an Opinion of Counsel, each stating that all conditions precedent specified herein relating to the defeasance contemplated
by this Section 8.01 have been complied with.

 

In the event all or any portion of the Securities of a Series are
to be redeemed through such irrevocable trust, the Company must make arrangements satisfactory to the Trustee, at the time of such
deposit, for the giving of the notice of such redemption or redemptions by the Trustee in the name and at the expense of the Company.

 

(e) In addition to the Company’s rights above under
this Section 8.01, the Company may terminate all of its obligations under this Indenture with respect to a Series,
when:

 

(1) All Securities of such Series theretofore authenticated
and delivered (other than Securities which have been destroyed, lost or stolen and which have been replaced or paid as provided
in Section 2.07 and Securities for whose payment money has theretofore been deposited in trust or segregated and held
in trust by the Company and thereafter repaid to the Company or discharged from such trust) have been delivered to the Trustee
for cancellation or all such Securities not theretofore delivered to the Trustee for cancellation (A) have become due and
payable, (B) will become due and payable at maturity within one year or (C) are to be called for redemption within one
year under arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the
expense, of the Company, and in each such case, the Company has irrevocably deposited or caused to be deposited with the Trustee
(or another qualifying trustee) as trust funds in trust solely for that purpose an amount of money in the currency in which the
Securities of such Series are payable or Government Obligations or a combination thereof sufficient, in the opinion of a nationally
recognized firm of independent public accountants, to pay and discharge the entire Indebtedness on the Securities of such Series not
theretofore delivered to the Trustee for cancellation, for principal of and interest on the Securities of such Series, on the date
of such deposit or to the maturity or redemption date, as the case may be;

 

    -25-

     

    

 

(2) The Company has paid or caused to be paid all other
sums payable hereunder by the Company;

 

(3) The Company has delivered irrevocable instructions
to the Trustee (or such other qualifying trustee), to apply the deposited money toward the payment of the Securities of such Series at
maturity or redemption, as the case may be; and

 

(4) The Company has delivered to the Trustee an Officers’
Certificate and an Opinion of Counsel, stating that all conditions precedent specified in this Section 8.01(e) relating
to the satisfaction and discharge of this Indenture have been complied with.

 

	Section 8.02	Survival of the Company’s Obligations.

 

Notwithstanding the satisfaction and discharge of this Indenture
under Section 8.01, the Company’s obligations in Paragraph 8 of the Securities and Sections 2.03
through 2.07, 4.01, 7.07, 7.08, 8.04 and 8.05, however, shall survive until the Securities
of an applicable Series are no longer outstanding. Thereafter, the Company’s obligations in Paragraph 8 of the
Securities of such Series and Sections 7.02, 7.07, 8.04 and 8.05 shall survive (as they relate
to such Series) such satisfaction and discharge.

 

	Section 8.03	Application of Trust Money.

 

The Trustee shall hold in trust money or Government Obligations
deposited with it pursuant to Section 8.01. It shall apply the deposited money and the money from Government Obligations
in accordance with this Indenture to the payment of principal of and interest on the Securities of the defeased Series.

 

	Section 8.04	Repayment to the Company.

 

The Trustee and the Paying Agent shall promptly pay to the Company
upon request any excess money or securities held by them at any time. The Trustee and the Paying Agent shall pay to the Company
upon request any money held by them for the payment of principal or interest that remains unclaimed for two years, provided,
however, that the Trustee or such Paying Agent, before being required to make any such repayment, may at the expense of
the Company cause to be published once in a newspaper of general circulation in the City of New York or send to each such Holder
notice that such money remains unclaimed and that, after a date specified therein, which shall not be less than 30 days from the
date of such publication or mailing, any unclaimed balance of such money then remaining will be repaid to the Company. After payment
to the Company, Securityholders entitled to the money must look to the Company for payment as general creditors unless applicable
abandoned property law designates another person and all liability of the Trustee or such Paying Agent with respect to such money
shall cease.

 

	Section 8.05	Reinstatement.

 

If the Trustee is unable to apply any money or Government Obligations
in accordance with Section 8.01 by reason of any legal proceeding or by reason of any order or judgment of any court
or governmental authority enjoining, restraining or otherwise prohibiting such application, the Company’s obligations under
this Indenture and the Securities relating to the Series shall be revived and reinstated as though no deposit had occurred
pursuant to Section 8.01 until such time as the Trustee is permitted to apply all such money or Government Obligations
in accordance with Section 8.01; provided, however, that (a) if the Company has made any payment
of interest on or principal of any Securities of the Series because of the reinstatement of its obligations hereunder, the
Company shall be subrogated to the rights of the Holders of such Securities to receive such payment from the money or Government
Obligations held by the Trustee and (b) unless otherwise required by any legal proceeding or any order or judgment of any
court or governmental authority, the Trustee shall return all such money or Government Obligations to the Company promptly after
receiving a written request therefor at any time, if such reinstatement of the Company’s obligations has occurred and continues
to be in effect.

 

    -26-

     

    

 

ARTICLE NINE 

RESERVED

 

ARTICLE TEN 

AMENDMENTS, SUPPLEMENTS AND WAIVERS

 

	Section 10.01	Without Consent of Holders.

 

The Company and the Trustee may amend or supplement this Indenture
or the Securities of a Series without notice to or consent of any Securityholder of such Series:

 

	 	(1)	to cure any ambiguity, omission, defect or inconsistency; 

 

	 	(2)	to comply with Article Five; 

 

	 	(3)	to provide that specific provisions of this Indenture shall not apply to a Series not previously issued or to make a change to specific provisions of this Indenture that only applies to any Series not previously issued or to additional Securities of a Series not previously issued; 

 

	 	(4)	to create a Series and establish its terms; 

 

	 	(5)	to provide for uncertificated Securities in addition to or in place of certificated Securities; 

 

	 	(6)	to release a guarantor in respect of any Series which, in accordance with the terms of this Indenture applicable to the particular Series, ceases to be liable in respect of its guarantee; 

 

	 	(7)	to add a guarantor in respect of any Series; 

 

	 	(8)	to secure any Series; 

 

	 	(9)	to comply with requirements of the SEC in order to effect or maintain the qualification of this Indenture under the TIA; 

 

	 	(10)	to make any other change that does not adversely affect the rights of Securityholders; and 

 

	 	(11)	to conform the provisions of the Indenture to the final offering memorandum in respect of any Series. 

 

After an amendment under this Section 10.01 becomes
effective, the Company shall deliver notice of such amendment to the Securityholders.

 

    -27-

     

    

 

	Section 10.02	With Consent of Holders.

 

The Company and the Trustee may amend or supplement this Indenture
or the Securities of a Series without notice to any Securityholder of such Series but with the written consent of the
Holders of at least a majority in principal amount of the outstanding Securities of each Series affected by the amendment
(including consents obtained in connection with a purchase of, or tender offer or exchange offer for, Securities of such Series).
Each such Series shall vote as a separate class. The Holders of a majority in principal amount of the outstanding Securities
of any Series may waive compliance by the Company with any provision of the Securities of such Series or of this Indenture
relating to such Series without notice to any Securityholder (including any waiver granted in connection with a purchase of,
or tender offer or exchange offer for, Securities of such Series). Without the consent of each Holder of a Security affected thereby,
however, an amendment, supplement or waiver, including a waiver pursuant to Section 6.04, may not:

 

(1) reduce the amount of Securities of the relevant Series whose
Holders must consent to an amendment, supplement or waiver;

 

(2) reduce the rate of or extend the time for payment of
interest, including defaulted interest, on any Security;

 

(3) reduce the principal of or extend the fixed maturity
of any Security or alter the provisions (including related definitions) with respect to redemption of any Security pursuant to
Article Three hereof or with respect to any obligations on the part of the Company to offer to purchase or to redeem
Securities of a Series pursuant to the Authorizing Resolution or supplemental indenture pertaining to such Series (it
being understood that only the consent of the Holders of a majority of the principal amount of the applicable Series of Securities
will be required in connection with the waiver or modification of any obligation by the Company to make an offer to purchase the
Securities of such Series as a result of a change of control prior to the occurrence of a change of control);

 

(4) make any change that adversely affects any right of
a Holder to convert or exchange any Security into or for shares of the Company’s common stock or other securities, cash or
other property in accordance with the terms of such Security;

 

(5) modify the ranking or priority of the Securities of
the relevant Series or any guarantee thereof;

 

(6) release any guarantor of any Series from any of
its obligations under its guarantee or this Indenture otherwise than in accordance with the terms of this Indenture;

 

(7) make any change in Sections 6.04, 6.07
or this Section 10.02;

 

(8) waive a continuing Default or Event of Default in the
payment of the principal of or interest on any Security; or

 

(9) make any Security payable at a place or in money other
than that stated in the Security, or impair the right of any Securityholder to bring suit as permitted by Section 6.07.

 

An amendment of a provision included solely for the benefit
of one or more Series does not affect the interests of Securityholders of any other Series.

 

It shall not be necessary for the consent of the Holders under
this Section to approve the particular form of any proposed supplement, but it shall be sufficient if such consent approves
the substance thereof.

 

	Section 10.03	Compliance with Trust Indenture Act.

 

Every amendment to or supplement of this Indenture or any Securities
shall comply with the TIA as then in effect.

 

	Section 10.04	Revocation and Effect of Consents.

 

A consent to an amendment, supplement or waiver by a Holder
shall bind the Holder and every subsequent Holder of a Security or portion of a Security that evidences the same debt as the consenting
Holder’s Security, even if notation of the consent is not made on any Security. Unless otherwise provided in the consent
or the consent solicitation statement or other document describing the terms of the consent, any Holder or subsequent Holder may
revoke the consent as to its Security or portion of a Security. Any revocation of a consent by the Holder of a Security or any
such subsequent Holder shall be effective only if the Trustee receives the notice of revocation before the date on which the Trustee
receives an Officers’ Certificate from the Company certifying that the requisite number of consents have been received.

 

    -28-

     

    

 

The Company may, but shall not be obligated to, fix a record
date for the purpose of determining the Holders of Securities of any Series entitled to consent to any amendment, supplement
or waiver, which record date shall be at least 10 days prior to the first solicitation of such consent. If a record date is fixed,
and if Holders otherwise have a right to revoke their consent under the consent or the consent solicitation statement or other
document describing the terms of the consent, then notwithstanding the second to last sentence of the immediately preceding paragraph,
those Persons who were Holders at such record date (or their duly designated proxies), and only those Persons, shall be entitled
to revoke any consent previously given, whether or not such Persons continue to be Holders after such record date. No such consent
shall be valid or effective for more than 90 days after such record date.

 

An amendment, supplement or waiver with respect to a Series becomes
effective upon the (i) receipt by the Company or the Trustee of the requisite consents, (ii) satisfaction of any conditions
to effectiveness as set forth in this Indenture or any indenture supplemental hereto containing such amendment, supplement or waiver
and (iii) execution of such amendment, supplement or waiver (or the related supplemental indenture) by the Company and the
Trustee. After an amendment, supplement or waiver with respect to a Series becomes effective, it shall bind every Holder of
such Series, unless it makes a change described in any of clauses (1) through (9) of Section 10.02,
in which case, the amendment, supplement or waiver shall bind a Holder of a Security who is affected thereby only if it has consented
to such amendment, supplement or waiver and every subsequent Holder of a Security or portion of a Security that evidences the same
debt as the consenting Holder’s Security; provided that no such waiver shall impair or affect the right of any Holder
to receive payment of principal of and interest on a Security, on or after the respective due dates expressed in such Security,
or to bring suit for the enforcement of any such payment on or after such respective dates without the consent of such Holder.

 

	Section 10.05	Notation on or Exchange of Securities.

 

If an amendment, supplement or waiver changes the terms of a
Security, the Company may require the Holder of the Security to deliver it to the Trustee, at which time the Trustee shall place
an appropriate notation on the Security about the changed terms and return it to the Holder. Alternatively, if the Company or the
Trustee so determines, the Company in exchange for the Security shall issue and the Trustee shall authenticate a new Security that
reflects the changed terms.

 

	Section 10.06	Trustee to Sign Amendments, etc.

 

Subject to Section 7.02(b), the Trustee shall sign
any amendment, supplement or waiver authorized pursuant to this Article if the amendment, supplement or waiver does not adversely
affect the rights, duties, liabilities or immunities of the Trustee. If it does, the Trustee may but need not sign it. In signing
or refusing to sign such amendment or supplemental indenture, the Trustee shall be provided with and shall be fully protected in
relying upon, an Officers’ Certificate and an Opinion of Counsel as conclusive evidence that such amendment, supplement or
waiver is authorized or permitted by this Indenture, and (solely with respect to such Opinion of Counsel) that it will be valid
and binding upon the Company and enforceable in accordance with its terms.

 

ARTICLE ELEVEN 

SECURITIES IN FOREIGN CURRENCIES

 

	Section 11.01	Applicability of Article.

 

Whenever this Indenture provides for (i) any action
by, or the determination of any of the rights of, Holders of Securities of any Series in which not all of such
Securities are denominated in the same currency, or (ii) any distribution to Holders of Securities, in the absence of
any provision to the contrary pursuant to this Indenture or the Securities of any particular Series, any amount in respect of
any Security denominated in a Foreign Currency shall be treated for any such action or distribution as that amount of Dollars
that could be obtained for such amount on such reasonable basis of exchange and as of the record date with respect to
Securities of such Series (if any) for such action, determination of rights or distribution (or, if there shall be no
applicable record date, such other date reasonably proximate to the date of such action, determination of rights or
distribution) as the Company may specify in a written notice to the Trustee or, in the absence of such written notice, as the
Trustee may determine.

 

    -29-

     

    

 

ARTICLE TWELVE 

MISCELLANEOUS

 

	Section 12.01	Trust Indenture Act Controls.

 

If any provision of this Indenture limits, qualifies or conflicts
with another provision which is required to be included in this Indenture by the TIA, the required provision shall control.

 

	Section 12.02	Notices.

 

Any order, consent, notice or communication shall be sufficiently
given if in writing and delivered in person or mailed by first class mail, postage prepaid, or delivered by commercial courier
service, addressed as follows:

 

if to the Company:

 

Assertio Holdings, Inc. 

100 S. Saunders Road, Suite 300 

Lake Forest, IL 60045 

(224) 419-7106 

Telephone: (866) 893-4927 

Attention: Chief Accounting Officer

 

if to the Trustee:

 

[ ] 

[ ] 

[ ]

 

The Company or the Trustee by notice to the other may designate
additional or different addresses for subsequent notices or communications.

 

Any notice or communication mailed to a Securityholder shall
be mailed to him by first class mail, or delivered by commercial courier service, at his address as it appears on the registration
books of the Registrar, or, in the case of Global Securities sent electronically in accordance with the procedures of the Depositary,
and shall be sufficiently given to him if so sent within the time prescribed.

 

Failure to send a notice or communication to a Securityholder
or any defect in it shall not affect its sufficiency with respect to other Securityholders. If a notice or communication is sent
in the manner provided above, it is duly given, whether or not the addressee receives it except that notice to the Trustee shall
only be effective upon receipt thereof by the Trustee.

 

If the Company sends notice or communications to the Securityholders,
it shall send a copy to the Trustee at the same time.

 

In addition to the foregoing, the Trustee agrees to accept and
act upon notice, instructions or directions pursuant to this Indenture sent by unsecured e-mail, facsimile transmission or other
similar unsecured electronic methods. If the party elects to give the Trustee e-mail or facsimile instructions (or instructions
by a similar electronic method) and the Trustee in its discretion elects to act upon such instructions, the Trustee’s understanding
of such instructions shall be deemed controlling. The Trustee shall not be liable for any losses, costs or expenses arising directly
or indirectly from the Trustee’s reliance upon and compliance with such instructions notwithstanding such instructions conflict
or are inconsistent with a subsequent written instruction. The party providing electronic instructions agrees to assume all risks
arising out of the use of such electronic methods to submit instructions and directions to the Trustee, including without limitation
the risk of the Trustee acting on unauthorized instructions, and the risk of interception and misuse by third parties.

 

    -30-

     

    

 

Notwithstanding any other provision of this Indenture or any
Security, where this Indenture or any Security provides for notice of any event to a Holder of a Global Security (whether by mail
or otherwise), such notice shall be sufficiently given if given to the Depositary (or its designee) pursuant to the standing instructions
from the Depositary or its designee.

 

	Section 12.03	Communications by Holders with Other Holders.

 

Securityholders may communicate pursuant to TIA § 312(b) with
other Securityholders with respect to their rights under this Indenture or the Securities. The Company, the Trustee, the Registrar
and anyone else shall have the protection of TIA § 312(c).

 

	Section 12.04	Certificate and Opinion as to Conditions Precedent.

 

Upon any request or application by the Company to the Trustee
to take any action under this Indenture, the Company shall furnish to the Trustee:

 

	 	(1)	an Officers’ Certificate (which shall include the statements set forth in Section 12.05) stating that, in the opinion of the signers (who may rely upon an Opinion of Counsel with respect to matters of law), all conditions precedent, if any, provided for in this Indenture relating to the proposed action have been complied with; and 

 

	 	(2)	an Opinion of Counsel (which shall include the statements set forth in Section 12.05) stating that, in the opinion of such counsel (who may rely upon an Officers’ Certificate or certificates of public officials as to matters of fact), all such conditions precedent and covenants, compliance with which constitutes a condition precedent, if any, provided for in this Indenture relating to the proposed action or inaction, have been complied with. 

 

	Section 12.05	Statements Required in Certificate or Opinion.

 

Each certificate or opinion with respect to compliance with
a condition or covenant provided for in this Indenture shall include:

 

	 	(1)	a statement that the person making such certificate or opinion has read such covenant or condition; 

 

	 	(2)	a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based; 

 

	 	(3)	a statement that, in the opinion of such person, he has made such examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with; and 

 

	 	(4)	a statement as to whether or not, in the opinion of such person, such condition or covenant has been complied with. 

 

	Section 12.06	Rules by Trustee and Agents.

 

The Trustee may make reasonable rules for action by or
a meeting of Securityholders. The Registrar or Paying Agent may make reasonable rules for its functions.

 

    -31-

     

    

 

	Section 12.07	Legal Holidays.

 

A “Legal Holiday” is a Saturday, a Sunday,
a legal holiday or a day on which banking institutions in New York, New York or in the place of payment are not required to be
open. If a payment date is a Legal Holiday, payment may be made on the next succeeding day that is not a Legal Holiday, and no
interest shall accrue for the intervening period. If this Indenture provides for a time period that ends or requires performance
of any non-payment obligation by a day that is not a Business Day, then such time period shall instead be deemed to end on, and
such obligation shall instead be performed by, the next succeeding Business Day. A “Business Day” is any day
other than a Legal Holiday.

 

	Section 12.08	Governing Law.

 

The laws of the State of New York shall govern this Indenture
and the Securities of each Series.

 

	Section 12.09	No Adverse Interpretation of Other Agreements.

 

This Indenture may not be used to interpret another indenture,
loan or debt agreement of the Company or a Subsidiary. Any such indenture, loan or debt agreement may not be used to interpret
this Indenture.

 

	Section 12.10	No Recourse Against Others.

 

All liability described in Paragraph 12 of the Securities
of any director, officer, employee or stockholder, as such, of the Company is, to the fullest extent permitted by applicable law,
waived and released.

 

	Section 12.11	Successors and Assigns.

 

All covenants and agreements of the Company in this Indenture
and the Securities shall bind its successors and assigns. All agreements of the Trustee in this Indenture shall bind its successors
and assigns.

 

	Section 12.12	Duplicate Originals.

 

The parties may sign any number of copies of this Indenture.
Each signed copy shall be an original, but all of them together represent the same agreement. Signatures of the parties hereto
transmitted by facsimile or other electronic transmission shall be deemed to be their original signatures for all purposes.

 

	Section 12.13	Severability.

 

In case any one or more of the provisions contained in this
Indenture or in the Securities of a Series shall for any reason be held to be invalid, illegal or unenforceable in any respect,
such invalidity, illegality or unenforceability shall not affect any other provisions of this Indenture or of such Securities.

 

	Section 12.14	Waiver of Jury Trial.

 

EACH OF THE COMPANY AND THE TRUSTEE (AND EACH HOLDER BY ITS
ACCEPTANCE OF ANY NOTE) HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL
BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SECURITIES OR THE TRANSACTION CONTEMPLATED HEREBY.

 

    -32-

     

    

 

SIGNATURES

 

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

 

	 	ASSERTIO HOLDINGS, INC.

 

	 	By:	 

	 	Name:
	 	Title:
	 	 
	 	[ ]

 

	 	By:	 

	 	Name:
	 	Title:

 

    

     

    

 

EXHIBIT A

 

	 	 	 
	No. ___________	 	CUSIP/ISIN No.: _____________

 

[Title of Security]

 

ASSERTIO HOLDINGS, INC. 

a Delaware corporation

 

promises to pay to __________________________________________________
or registered assigns the principal sum of ________________________________________________ [Dollars]* on ___________________________.

 

Interest Payment Dates: _____________________________ and _____________________________

 

Record Dates: _____________________________ and _____________________________

 

Authenticated: _____________________________ Dated: _____________________________

 

	 	ASSERTIO HOLDINGS, INC.
	 	 	                  
	 	By:	 
	 	Name:	 
	 	Title:	 

 

[___________________], 

as Trustee, certifies that this is one of the Securities 

referred to in the within mentioned Indenture.

 

	By:	 	 
	 	Authorized Signatory	 

 

	*	Or other currency. Insert corresponding provisions on reverse side of Security in respect of foreign currency denomination or interest payment requirement. 

 

    A-1

     

    

 

ASSERTIO HOLDINGS, INC.

 

[Title of Security]

 

ASSERTIO HOLDINGS, INC., a Delaware corporation (together
with its successors and assigns, the “Company”), issued this Security under an Indenture dated as of __________________,
(as amended, modified or supplemented from time to time in accordance therewith, the “Base Indenture”), as supplemented
by the Supplemental Indenture dated as of _____________________, (the “Supplemental Indenture” and together
with the Base Indenture, the “Indenture”), by and among the Company and __________________________________,
as trustee (in such capacity, the “Trustee”), to which reference is hereby made for a statement of the respective
rights, obligations, duties and immunities thereunder of the Company, the Trustee and the Holders and of the terms upon which the
Securities are, and are to be, authorized and delivered. All terms used in this Security that are defined in the Indenture shall
have the meanings assigned to them therein.

 

1. Interest. The Company promises to pay interest
on the principal amount of this Security at the rate per annum shown above. The Company will pay interest semiannually on _____________________
and _____________________ of each year, commencing _____________________, ______, until the principal is paid or made available
for payment. Interest on the Securities will accrue from the most recent date to which interest has been paid or duly provided
for or, if no interest has been paid, from _____________________, ________, provided that, if there is no existing default
in the payment of interest, and if this Security is authenticated between a record date referred to on the face hereof and the
next succeeding interest payment date, interest shall accrue from such interest payment date. Interest will be computed on the
basis of a 360-day year of twelve 30-day months.

 

2. Method of Payment. The Company will pay interest
on the Securities (except defaulted interest, if any, which will be paid on such special payment date to Holders of record on such
special record date as may be fixed by the Company or otherwise in accordance with the Indenture) to the persons who are registered
Holders of Securities at the close of business on the [Insert record dates] immediately preceding the interest payment date. Holders
must surrender Securities to a Paying Agent to collect principal payments. The Company will pay principal and interest in money
of [Insert applicable country or currency] that at the time of payment is legal tender for payment of public and private debts.

 

3. Paying Agent and Registrar. Initially, the
Trustee will act as Paying Agent and Registrar. The Company may change or appoint any Paying Agent, Registrar or co-Registrar without
notice. The Company or any of its Subsidiaries or any of their Affiliates may act as Paying Agent, Registrar or co-Registrar.

 

4. Optional Redemption.1
The Company may redeem the Securities at any time on or after _____________________, in whole or in part, at the following redemption
prices (expressed as a percentage of their principal amount) together with interest accrued and unpaid to the date fixed for redemption:

	 	 	 
	
        If redeemed during the twelve-month period commencing
on_______________ and ending on _______________ in each of the following years
	 	Percentage

 

[Insert provisions relating to redemption at option of Holders,
if any]

 

Notice of redemption will be sent at least 30 days but not more
than 60 days before the redemption date to each Holder of Securities to be redeemed at its registered address. Securities in denominations
larger than _____________________2 may be redeemed in part. On and after the redemption date
interest ceases to accrue on Securities or portions of them called for redemption, provided that if the Company shall default
in the payment of such Securities at the redemption price together with accrued interest, interest shall continue to accrue at
the rate borne by the Securities.

 

	1	If applicable. 

	2	Insert applicable denominations and multiples. 

 

    A-2

     

    

 

5. Mandatory Redemption.3
The Company shall redeem [________]% of the aggregate principal amount of Securities originally issued under the Indenture on each
of [________________], which redemptions are calculated to retire [_____]% of the Securities originally issued prior to maturity.
Such redemptions shall be made at a redemption price equal to 100% of the principal amount thereof, together with accrued interest
to the redemption date. The Company may reduce the principal amount of Securities to be redeemed pursuant to this Paragraph
5 by the principal amount of any Securities previously redeemed, retired or acquired, otherwise than pursuant to this Paragraph
5, that the Company has delivered to the Trustee for cancellation and not previously credited to the Company’s obligations
under this Paragraph 5. Each such Security shall be received and credited for such purpose by the Trustee at the redemption
price and the amount of such mandatory redemption payment shall be reduced accordingly.

 

6. Denominations, Transfer, Exchange. The Securities
are in registered form only without coupons in denominations of ________________4 and integral
multiples of ________________ in excess thereof.5 A Holder may transfer or exchange Securities
by presentation of such Securities to the Registrar or a co-Registrar with a request to register the transfer or to exchange them
for an equal principal amount of Securities of other denominations. The Registrar may require a Holder, among other things, to
furnish appropriate endorsements and transfer documents and to pay any taxes and fees required by law or permitted by the Indenture.
The Registrar need not transfer or exchange any Security selected for redemption or purchase, except the unredeemed or unpurchased
part thereof if the Security is redeemed or purchased in part, or transfer or exchange any Securities for a period of 15 days before
a selection of Securities to be redeemed or purchased.

 

7. Persons Deemed Owners. The registered Holder
of this Security shall be treated as the owner of it for all purposes.

 

8. Unclaimed Money. Subject to any applicable
abandoned property law, the Trustee and the Paying Agent shall pay to the Company upon written request any money held by them for
the payment of principal or interest that remains unclaimed for two years, and thereafter, Holders entitled to the money must look
to the Company for payment as general creditors.

 

9. Amendment, Supplement, Waiver. Subject to certain
exceptions, the Indenture or the Securities may be amended or supplemented with the consent of the Holders of at least a majority
in principal amount of the outstanding Securities of each Series affected by the amendment and any past default or compliance
with any provision relating to any Series of the Securities may be waived in a particular instance with the consent of the
Holders of a majority in principal amount of the outstanding Securities of such Series.6 Without
the consent of any Securityholder, the Company and the Trustee may amend or supplement the Indenture or the Securities in certain
respects as specified in the Indenture.

 

10. Successor Corporation. When a successor corporation
assumes all the obligations of its predecessor under the Securities and the Indenture, the predecessor corporation will be released
from those obligations.

 

11. Trustee Dealings With Company. Subject to
certain limitations imposed by the TIA, the Trustee under the Indenture, in its individual or any other capacity, may make loans
to, accept deposits from, and perform services for the Company or its affiliates, and may otherwise deal with the Company or its
affiliates, as if it were not Trustee, including owning or pledging the Securities.

 

	3	If applicable. 

	4	Insert applicable denominations and multiples. 

	5	Insert applicable denominations and multiples. 

	6	If different terms apply, insert a brief summary thereof. 

 

    A-3

     

    

 

12. No Recourse Against Others. A director, officer,
employee or stockholder, as such, of the Company shall not have any liability for any obligations of the Company under the Securities
or the Indenture or for any claim based on, in respect of or by reason of, such obligations or their creation. Each Holder by accepting
a Security waives and releases all such liability. The waiver and release are part of the consideration for the issue of the Securities.
The waiver may not be effective to waive liabilities under the federal securities laws.

 

13. Discharge of Indenture. The Indenture contains
certain provisions pertaining to defeasance and discharge, which provisions shall for all purposes have the same effect as if set
forth herein.

 

14. Authentication. This Security shall not be
valid until an authorized signatory of the Trustee signs the certificate of authentication on the other side of this Security.

 

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

 

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

 

17. CUSIP and ISIN Numbers. Pursuant to a recommendation
promulgated by the Committee on Uniform Security Identification Procedures, the Company has caused CUSIP and ISIN numbers to be
printed on the Securities and has directed the Trustee to use CUSIP and ISIN numbers in notices of repurchase as a convenience
to Holders. No representation is made as to the accuracy of such numbers either as printed on the Securities or as contained in
any notice of repurchase and reliance may be placed only on the other identification numbers placed thereon.

 

18. Copies. The Company will furnish to any Holder
upon written request and without charge a copy of the Indenture and the applicable Authorizing Resolution or supplemental indenture.
Requests may be made to: Assertio Holdings, Inc., 100 S. Saunders Road, Suite 300, Lake Forest, IL 60045, Telephone:
(224) 419-7106, Attention: Chief Financial Officer.

 

    A-4

     

    

 

ASSIGNMENT FORM

 

If you the Holder want to assign this Security, fill in the
form below:

 

I or we assign and transfer this Security to ___________________________________________
(insert assignee’s social security or tax ID number)

 

	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	(Print or type assignee’s name, address, and zip code)	 

 

and irrevocably appoint _________________________________________________________________________
agent to transfer this Security on the books of the Company. The agent may substitute another to act for him.

	 	 
	 	 
	Date: __________________________________________	Your signature
	 	(Sign exactly as your name appears on the other side of this Security)

	 	 	 
	Signature Guarantee:
	 	 

 

    A-5EX-10.1

 Exhibit 10.1 

PLAN SUPPORT AGREEMENT 

This PLAN SUPPORT AGREEMENT (together with all exhibits, schedules, and attachments hereto, as each may be amended, supplemented, or otherwise
modified from time to time in accordance with the terms hereof, this “Agreement”), dated as of January 22, 2021, is entered into by and among: 
  

	 	(a)	 Diamond Offshore Drilling, Inc. (“Diamond Offshore”) and its affiliated debtors listed on
Exhibit A hereto (collectively, the “Debtors,” and together with their non-debtor affiliates, the “Company”); 

 

	 	(b)	 each undersigned entity in each such entity’s respective capacity as a holder of, or as nominee,
investment advisor, sub-advisor, or investment manager, as applicable, to certain funds, accounts, and other entities (including subsidiaries and affiliates of such funds, accounts, and entities) that is a
holder of Claims (as defined below) under the: 

  

	 	(i)	 5.70% Senior Notes due 2039 (the “2039 Notes”) under that certain indenture, dated
February 4, 1997 (the “Base Indenture”), by and among Diamond Offshore, as issuer, and the Chase Manhattan Bank, as trustee, and that certain Seventh Supplemental Indenture, dated October 8, 2009, by and among Diamond
Offshore, as issuer, and The Bank of New York Mellon Trust Company, N.A., as trustee (the “Senior Notes Trustee”); 

  

	 	(ii)	 3.45% Senior Notes due 2023 (the “2023 Notes”), under the Base Indenture and that certain
Eighth Supplemental Indenture, dated November 5, 2013 (the “Eighth Supplemental Indenture”), by and among Diamond Offshore, as issuer, and the Senior Notes Trustee; 

 

	 	(iii)	 4.875% Senior Notes due 2043 (the “2043 Notes”) under the Base Indenture and the Eighth
Supplemental Indenture; and 

  

	 	(iv)	 7.875% Senior Notes due 2025 (the “2025 Notes,” and, collectively with the 2043 Notes, the
2023 Notes, and the 2039 Notes, the “Senior Notes”) under the Base Indenture and that certain Ninth Supplemental Indenture, dated August 15, 2017, by and among Diamond Offshore, as issuer, and the Senior Notes Trustee (such
holders of Claims described in clauses (b)(i) through (b)(iv), collectively, the “Consenting Noteholders”); and 

  

	 	(c)	 each undersigned entity in each such entity’s respective capacity as a holder of, or as nominee,
investment advisor, sub-advisor, or investment manager, as applicable, to certain funds, accounts, and other entities (including subsidiaries and affiliates of such funds, accounts, and entities) that is a
holder of Claims under the 5-Year Revolving Credit Agreement, dated as of October 2, 2018 (as amended, modified, or otherwise supplemented from time to time, the “RCF Credit Agreement”),
by and among the Company, Diamond Foreign Asset Company, each lender from time to time party thereto, and Wells Fargo Bank, National Association, as administrative agent (such holders of Claims described in this clause (c),
the “Consenting RCF Lenders,” and together with the Consenting Noteholders, the “Consenting Stakeholders”). 

  
 1 

 Each Debtor, each Consenting Stakeholder, and any Person (as defined below) that becomes a
party hereto after the date hereof in accordance with the terms hereof are referred to herein collectively as the “Parties” and each individually as a “Party.” Capitalized terms used but not defined herein shall
have the meanings ascribed to them in the Plan (as defined below). 
 RECITALS 

WHEREAS, on April 26, 2020 (the “Petition Date”), each of the Debtors filed a voluntary petition for
relief under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of Texas (the “Bankruptcy Court”), which cases are jointly
administered under Case Number 20-32307 (DRJ) (collectively, the “Chapter 11 Cases”); 

WHEREAS, the Parties have agreed to undertake and support a restructuring of the Debtors (the “Restructuring”),
to be implemented through the Plan, a solicitation of votes thereon (the “Solicitation”), the Exit Facilities (as defined below), the Rights Offerings (as defined below), and the Private Placements (as defined below), upon the
terms and conditions set forth in this Agreement and in the Plan (including any exhibits, schedules, and attachments thereto and as may be amended, supplemented, or otherwise modified from time to time in accordance with the terms hereof); 

WHEREAS, as of the date hereof, the Consenting Noteholders, in the aggregate, hold approximately 70% of the aggregate outstanding
principal amount of the Senior Notes; 
 WHEREAS, as of the date hereof, the Consenting RCF Lenders, in the aggregate, hold
approximately 70% of the aggregate outstanding principal amount of the loans outstanding under the RCF Credit Agreement (the “RCF Loans”); 

WHEREAS, in connection with the Restructuring, holders of Senior Notes Claims (as defined below) have agreed to receive 70% of the New
Common Shares (as defined below), subject to dilution by the MIP Equity Shares (as defined below), the New Warrants (as defined below), the Rights Offerings, and the Private Placements, in partial satisfaction of each such holder’s pro rata
portion of the Senior Notes Claims; 
 WHEREAS, also in connection with the Restructuring, the Debtors will conduct (a) a rights
offering (the “Primary Rights Offering”) for (i) $46,875,000 aggregate principal amount of Exit Notes (as defined below) and (ii) New Common Shares representing approximately 12.78% of the total New Common Shares outstanding on
the Effective Date (as defined below), subject to dilution by the MIP Equity Shares and the New Warrants (collectively, the “Primary Rights Offering Stapled Securities”), and (b) a rights offering (the “Delayed Draw
Rights Offering,” and, together with the Primary Rights Offering, the “Rights Offerings”) for (i) $21,875,000 aggregate principal amount of Exit Notes and (ii) New Common Shares representing approximately 5.97% of
the total New Common Shares outstanding on the Effective Date, subject to dilution by the MIP Equity Shares and the New Warrants (collectively, the “Delayed Draw Rights Offering Stapled Securities,” and, together with the
Primary Rights Offering Stapled Securities, the “Rights Offering Stapled Securities”), which shall allow each holder of Senior Notes Claims to purchase its pro rata portion of the Rights Offering Stapled Securities; 

  
 2 

 WHEREAS, also in connection with the Restructuring, (a) the Company has agreed
to sell (the “Primary Private Placement”) to certain of the Consenting Noteholders (in such capacity, the “Primary Private Placement Investors”) (i) $28,125,000 aggregate principal amount of Exit Notes and
(ii) New Common Shares representing approximately 7.67% of the total New Common Shares outstanding on the Effective Date, subject to dilution by the MIP Equity Shares and the New Warrants (collectively, the “Primary Private
Placement Stapled Securities”) and (b) pursuant to the Delayed Draw Subscription Agreement (as defined below), the Company has agreed to sell (the “Delayed Draw Private Placement” and, together with the Primary Private
Placement, the “Private Placements”) to certain of the Consenting Noteholders (in such capacity, the “Delayed Draw Private Placement Investors” and, together with the Primary Private Placement Investors,
the “Private Placement Investors”) (i) $13,125,000 aggregate principal amount of Exit Notes and (ii) New Common Shares representing approximately 3.58% of the total New Common Shares outstanding on the Effective Date,
subject to dilution by the MIP Equity Shares and the New Warrants (collectively, the “Delayed Draw Private Placement Stapled Securities” and, together with the Primary Private Placement Stapled Securities, the “Private
Placement Stapled Securities”); 
 WHEREAS, in connection with the Restructuring, certain of the Consenting RCF Lenders have
agreed to provide commitments under a new L+425 bps $300 million to $400 million aggregate principal amount first lien, first out Exit Revolving Credit Facility (the “Exit Revolving Credit Facility”), on substantially the
terms set forth on Exhibit A to the Plan (the “Exit Revolver Term Sheet”), in exchange for the treatment of RCF Claims (as defined below) as set forth in the Plan; 

WHEREAS, in connection with the Restructuring, certain RCF Lenders that are not Consenting RCF Lenders will receive a new
$100 million to $200 million aggregate principal amount first lien last out Exit Term Loan Facility, with such amounts subject to change based upon the Effective Date and interest accrued on RCF Claims through such date (the “Exit
Term Loan Facility”) at a rate of (at the Company’s option) L+600 bps (cash), L+1,000 bps (payment-in-kind), or L+800 bps (if 50% cash and 50% payment-in-kind), which will be secured pari passu with the Exit Notes, on substantially the terms set forth in Exhibit B to the Plan, in exchange for the treatment of
RCF Claims as set forth in the Plan; 
 WHEREAS, certain of the Consenting Noteholders (in such capacity, the “Backstop
Parties”) will backstop the Rights Offerings in accordance with the terms and conditions described in the Plan and the backstop and private placement agreement, dated as of the date hereof, attached hereto as Exhibit C (the
“Backstop Agreement”); and 
 WHEREAS, the Parties desire to express to each other their mutual support and
commitments, specifically as set forth in the Plan and this Agreement, which are the product of arm’s-length, good-faith discussions between the Parties and their respective professionals. 

  
 3 

 NOW, THEREFORE, in consideration of the promises and the mutual covenants and
agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties, intending to be legally bound, agree as follows: 

1. Certain Definitions and Interpretation. 
  

	 	1.01.	 Definitions. The following terms used in this Agreement shall have the following definitions:

 (a) “Additional Consenting Stakeholder” has the meaning set forth in
Section 5(d). 
 (b) “Ad Hoc Group” means that certain group of holders of Senior Notes
represented by the Consenting Noteholders’ Advisors. 
 (c) “Agreement” has the meaning set forth in the preamble
hereof and includes, for the avoidance of doubt, the Plan and any schedules, attachments, and exhibits attached thereto. 
 (d)
“Alternative Restructuring” means any new money investment, restructuring, reorganization, merger, amalgamation, acquisition, consolidation, dissolution, winding up, assignment for the benefit of creditors, transaction, debt
investment, equity investment, joint venture, partnership, sale, plan proposal, liquidation, tender offer, recapitalization, plan of reorganization, share exchange, business combination, or similar transaction involving all or substantially all of
the business or assets of the Company, one or more material business units of the Company or a material portion thereof, or the debt, equity, or other interests in any one or more of the Debtors that, in each case, is an alternative to the
Restructuring and the Plan, including the Rights Offerings, the Private Placements, the Exit Facilities, and/or the other transactions contemplated by this Agreement (including the schedules, attachments, and exhibits attached hereto) or the Plan.

 (e) “Backstop Agreement” has the meaning set forth in the recitals hereof and shall be in form and substance reasonably
acceptable to the Debtors and the Requisite Consenting Stakeholders. 
 (f) “Backstop Order” means an order approving the
Backstop Agreement, the Commitment Letter, and the Fee Letters in form and substance reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders and consistent with and in accordance with the terms of the Backstop Agreement. 

(g) “Backstop Parties” has the meaning set forth in the recitals hereof. 

(h) “Bankruptcy Code” has the meaning set forth in the recitals hereof. 

(i) “Bankruptcy Court” has the meaning set forth in the recitals hereof. 

(j) “Bankruptcy Rules” means the Federal Rules of Bankruptcy Procedure. 

  
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 (k) “Business Day” means any day other than a Saturday, Sunday, or any
other day on which banking institutions in New York, New York or Houston, Texas are authorized or required by law or executive order to close. 

(l) “Cause of Action” means any action, Claim, cross-claim, third-party claim, cause of action, controversy, dispute, demand,
right, lien, indemnity, contribution, guaranty, suit, obligation, liability, loss, debt, fee or expense, damage, interest, judgment, cost, account, defense, remedy, offset, power, privilege, proceeding, license, or franchise of any kind or character
whatsoever, known, unknown, foreseen or unforeseen, existing or hereafter arising, contingent or non-contingent, matured or unmatured, suspected or unsuspected, liquidated or unliquidated, disputed or
undisputed, Secured or unsecured, assertable directly or derivatively (including any alter ego theories), whether arising before, on, or after the Petition Date, in contract or in tort, in law or in equity or pursuant to any other theory of law
(including under any state or federal securities laws). For the avoidance of doubt, Cause of Action also includes (i) any right of setoff, counterclaim, or recoupment and any Claim for breach of contract or for breach of duties imposed by law
or in equity, (ii) the right to object to Claims or Interests, (iii) any Claim pursuant to section 362 or chapter 5 of the Bankruptcy Code, (iv) any Claim or defense, including fraud, mistake, duress, and usury and any other
defenses set forth in section 558 of the Bankruptcy Code, and (v) any Avoidance Action or state law fraudulent transfer claim. 

(m) “Chapter 11 Cases” has the meaning set forth in the recitals hereof. 

(n) “Claim” means any claim against the Debtors, whether or not asserted, as that term is defined in section 101(5) of
the Bankruptcy Code. 
 (o) “Commitment Letter” has the meaning set forth in Section 2. 

(p) “Company” has the meaning set forth in the recitals hereof. 

(q) “Confirmation Hearing” means the hearing to be held by the Bankruptcy Court to consider confirmation of the Plan pursuant
to section 1129 of the Bankruptcy Code, as such hearing may be adjourned or continued from time to time. 
 (r) “Confirmation
Order” means an order of the Bankruptcy Court confirming the Plan in the Chapter 11 Cases, on terms reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

(s) “Consenting Noteholder” has the meaning set forth in the preamble hereof. 

(t) “Consenting Noteholders’ Advisors” means, collectively, the Consenting Noteholders’ Counsel,
Evercore Group L.L.C., Norton Rose Fulbright US LLP, and DNB Markets (a part of DNB Bank ASA). 
 (u) “Consenting
Noteholders’ Counsel” means Milbank LLP, in its capacity as counsel to the Ad Hoc Group. 
 (v)
“Consenting RCF Lenders” has the meaning set forth in the preamble hereof. 

  
 5 

 (w) “Consenting RCF Lenders’ Advisors” means, together,
the Consenting RCF Lenders’ Counsel, FTI Consulting, Inc., and Mourant Ozannes. 
 (x) “Consenting RCF
Lenders’ Counsel” means Bracewell LLP. 
 (y) “Consenting Stakeholder” has the meaning set
forth in the preamble hereof. 
 (z) “Consenting Stakeholder Termination Event” has the meaning set forth in
Section 7(c). 
 (aa) “Consenting Stakeholders’ Advisors” means, collectively, the
Consenting Noteholders’ Advisors and the Consenting RCF Lenders’ Advisors. 
 (bb) “Consenting
Stakeholders’ Counsel” means, together, the Consenting Noteholders’ Counsel and the Consenting RCF Lenders’ Counsel. 

(cc) “Debtor” has the meaning set forth in the preamble hereof. 

(dd) “Debtor Claims and/or Interests” means any Claim against a Debtor and/or Interest held by a Consenting Stakeholder. 

(ee) “Debtor Termination Event” has the meaning set forth in Section 7(d). 

(ff) “Definitive Documents” has the meaning set forth in Section 3. 

(gg) “Delayed Draw Private Placement” has the meaning set forth in the recitals hereof. 

(hh) “Delayed Draw Private Placement Investors” has the meaning set forth in the recitals hereof. 

(ii) “Delayed Draw Private Placement Stapled Securities” has the meaning set forth in the recitals hereof. 

(jj) “Delayed Draw Rights Offering” has the meaning set forth in the recitals hereof. 

(kk) “Delayed Draw Rights Offering Documents” means that certain Delayed Draw Subscription Agreement and any and all other
agreements, documents, and instruments delivered or entered into in connection with the Delayed Draw Rights Offering, in each case, in form and substance consistent with and in accordance with the terms of the Backstop Agreement. 

(ll) “Delayed Draw Rights Offering Stapled Securities” has the meaning set forth in the recitals hereof. 

(mm) “Delayed Draw Subscription Agreement” has the meaning set forth in the Backstop Agreement and shall be in form and
substance reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

  
 6 

 (nn) “Disclosure Statement” means the disclosure statement in respect of
the Plan, including all exhibits and schedules thereto, as approved by the Bankruptcy Court pursuant to section 1125 of the Bankruptcy Code, in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors,
and each as may be further amended, supplemented, or otherwise modified from time to time in a manner that is reasonably satisfactory to the Requisite Consenting Stakeholders and the Debtors. 

(oo) “Disclosure Statement Order” means the order entered by the Bankruptcy Court approving the Disclosure Statement as
containing, among other things, “adequate information” as required by section 1125 of the Bankruptcy Code and solicitation procedures related thereto, which shall be in form and substance reasonably acceptable to the Requisite Consenting
Stakeholders and the Debtors. 
 (pp) “Effective Date” means the date upon which all conditions precedent to the
effectiveness of the Plan have been satisfied or are expressly waived in accordance with the terms hereof, as the case may be, and on which the Restructuring and the other transactions to occur on the Effective Date pursuant to the Plan become
effective or are consummated. 
 (qq) “Effective Period” means the period commencing on the Support Effective Date and
ending on the earlier of (i) the date on which this Agreement is terminated in accordance with Section 7 and (ii) the Effective Date. 

(rr) “Exchange Act” means the Securities Exchange Act of 1934, as amended. 

(ss) “Exhibits and Schedules” has the meaning set forth in Section 3(a). 

(tt) “Existing Parent Equity Interests” has the meaning set forth in the Plan. 

(uu) “Exit Facilities” means the Exit Revolving Credit Facility, the Exit Term Loan Facility, and the Exit Notes. 

(vv) “Exit Facilities Documents” means the Exit Revolving Credit Facility Documents, the Exit Term Loan Documents, and the
Exit Notes Documents, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

(ww) “Exit Notes” means up to $110 million aggregate principal amount of 9.00%/11.00%/13.00% senior secured first lien,
last out payment-in-kind toggle notes due 2027, which will be secured and rank pari passu in payment with the Exit Term Loan Facility, issued in connection with
the Rights Offerings and the Private Placements, on substantially the terms set forth in the Plan. 
 (xx) “Exit Notes
Documents” means the Exit Notes, including the Exit Notes Indenture and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other ancillary documentation related
thereto, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

  
 7 

 (yy) “Exit Revolving Credit Facility” has the meaning set forth in the
recitals hereof. 
 (zz) “Exit Revolving Credit Facility Commitment Fee” has the meaning set forth in the Plan. 

(aaa) “Exit Revolving Credit Facility Documents” means the agreements with respect to the Exit Revolving Credit Facility,
including the Exit Revolving Credit Facility Agreement and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other ancillary documentation related thereto, each of which
shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 
 (bbb) “Exit Term
Loan Documents” means the agreements with respect to the Exit Term Loan Facility, including any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other ancillary
documentation related thereto, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

(ccc) “Exit Term Loan Facility” has the meaning set forth in the recitals hereof. 

(ddd) “Fee Letters” means, collectively, that certain fee letter dated as of January 22, 2021, among Diamond Offshore,
Diamond Foreign Asset Company, the Consenting RCF Lenders that agree to provide commitments under the Exit Revolving Credit Facility, Wells Fargo Bank, National Association, and Wells Fargo Securities, LLC and that certain agent fee letter dated as
of January 22, 2021, among Diamond Offshore, Diamond Foreign Asset Company, Wells Fargo Bank, National Association, and Wells Fargo Securities, LLC. 

(eee) “Interests” means, collectively, the shares (or any class thereof), common stock, preferred stock, limited liability
company interests, and any other equity, ownership, or profits interests of any Debtor, and options, warrants, rights, or other securities or agreements to acquire or subscribe for, or which are convertible into the shares (or any class thereof) of,
common stock, preferred stock, limited liability company interests, or other equity, ownership, or profits interests of any Debtor (in each case whether or not arising under or in connection with any employment agreement); provided,
however, that the term “Interests” shall not include the Intercompany Interests. 
 (fff) “Joinder
Agreement” has the meaning set forth in Section 5(b). 
 (ggg) “Milestones” means those
milestones set forth in Section 4. 
 (hhh) “MIP Equity Shares” means restricted stock units,
options, New Common Shares, or other rights exercisable, exchangeable, or convertible into New Common Shares representing 5% to 10% of the New Common Shares on a fully diluted and fully distributed basis, pursuant to the establishment of a
post-emergence management incentive plan to be determined and adopted by the New Board. 

  
 8 

 (iii) “New Board” means the initial board of directors of Reorganized
Diamond Offshore, which shall as of the Effective Date consist of members selected in accordance with the applicable organizational documents and, to the extent known, shall be as set forth in the Plan Supplement or as announced on the record during
the Confirmation Hearing. 
 (jjj) “New Common Shares” means shares of common stock of Reorganized Diamond Offshore. 

(kkk) “New Organizational Documents” means the forms of the certificates or articles of incorporation, bylaws, or such other
applicable formation documents of each of the Reorganized Debtors, which shall be in form and substance reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

(lll) “New Warrants” means new warrants with an exercise period of five years, exercisable into 7% of the New Common Shares,
subject to dilution by the MIP Equity Shares, struck at a total enterprise value implying a 100% recovery to holders of Senior Notes Claims on the face value of their Claims (including accrued interest as of the Petition Date), which shall include
ride-through protection for the life of the New Warrants in the event of a stock-for-stock merger involving the Reorganized Debtors. 

(mmm) “New Warrants Documentation” means any and all agreements, documents, and instruments delivered or entered into in
connection with the New Warrants, on terms reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 
 (nnn)
“Non-Consenting Stakeholder” has the meaning set forth in Section 11(d). 

(ooo) “Outside Date” has the meaning set forth in Section 4(a)(v). 

(ppp) “Party” has the meaning set forth in the preamble hereof. 

(qqq) “Paul, Weiss” means Paul, Weiss, Rifkind, Wharton & Garrison LLP, as counsel to the Debtors. 

(rrr) “PCbtH Contracts” means, together, that certain Contractual Service Agreement, dated as of February 5, 2016,
between Diamond Offshore Company and Hydril USA Distribution LLC, and that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited and EFS BOP, LLC. 

(sss) “Person” means an individual, firm, corporation (including any non-profit
corporation), partnership, limited liability company, joint venture, association, trust governmental entity, or any other entity or organization. 

(ttt) “Petition Date” has the meaning set forth in the recitals hereof. 

(uuu) “Plan” means the chapter 11 plan of reorganization of the Debtors implementing the Restructuring, attached hereto as
Exhibit B, including all appendices, exhibits, schedules, and supplements thereto, as may be modified from time to time in accordance with the terms of this Agreement. 

  
 9 

 (vvv) “Plan Supplement” has the meaning set forth in the Plan. 

(www) “Primary Private Placement” has the meaning set forth in the recitals hereof. 

(xxx) “Primary Private Placement Investors” has the meaning set forth in the recitals hereof. 

(yyy) “Primary Private Placement Stapled Securities” has the meaning set forth in the recitals hereof. 

(zzz) “Primary Rights Offering” has the meaning set forth in the recitals hereof. 

(aaaa) “Primary Rights Offering Stapled Securities” has the meaning set forth in the recitals hereof. 

(bbbb) “Private Placement Investors” has the meaning set forth in the recitals hereof. 

(cccc) “Private Placement Stapled Securities” has the meaning set forth in the recitals hereof. 

(dddd) “Private Placements” has the meaning set forth in the recitals hereof. 

(eeee) “Qualified Marketmaker” means an entity that (i) holds itself out to the public or the applicable private markets
as standing ready in the ordinary course of business to purchase from customers and sell to customers Claims against or Interests in the Debtors (or enter with customers into long and short positions in Claims against or Interests in the Debtors),
solely in its capacity as a dealer or market maker in Claims against or Interests in the Debtors, and (ii) is, in fact, regularly in the business of making a market in claims against or interests in issuers or borrowers (including debt
securities or other debt). 
 (ffff) “RCF Agent” means Wells Fargo Bank, National Association, as administrative agent
under the RCF Credit Agreement, and any successors and permitted assigns, in such capacity. 
 (gggg) “RCF Claims” has the
meaning set forth in the Plan. 
 (hhhh) “RCF Credit Agreement” has the meaning set forth in the recitals hereof. 

(iiii) “RCF Lenders” means the lenders party to the RCF Credit Agreement. 

(jjjj) “RCF Loans” has the meaning set forth in the recitals hereof. 

(kkkk) “RCF Steering Committee Members” means the steering committee of RCF Lenders. 

(llll) “Released Party” has the meaning set forth in the Plan. 

  
 10 

 (mmmm) “Reorganized Debtors” means each of the Debtors as reorganized on
the Effective Date in accordance with the Plan. 
 (nnnn) “Reorganized Diamond Offshore” means either (a) Diamond
Offshore as reorganized on the Effective Date in accordance with the Plan, (b) any successor thereto, by merger, consolidation, or otherwise, or (c) a new corporation or limited liability company that may be formed or caused to be formed
by the Debtors to, among other things, directly or indirectly acquire substantially all of the assets and/or stock of the Debtors and issue the New Common Shares to be distributed or sold pursuant to the Plan, as approved by the Requisite Consenting
Stakeholders in the case of clause (b) or (c) and in accordance with the Restructuring Transaction Memorandum. 
 (oooo)
“Requisite Consenting Noteholders” means, as of the date of determination, Consenting Noteholders holding at least 50.1% of the principal amount of the outstanding Senior Notes held by the Consenting Noteholders as of such date.

 (pppp) “Requisite Consenting RCF Lenders” means, as of the date of determination, Consenting RCF Lenders holding at
least 50.01% of the principal amount of the RCF Claims held by the Consenting RCF Lenders as of such date. 
 (qqqq) “Requisite
Consenting Stakeholders” means, collectively, the Requisite Consenting Noteholders and the Requisite Consenting RCF Lenders. 

(rrrr) “Restructuring” has the meaning set forth in the recitals hereof. 

(ssss) “Restructuring Expenses” means all reasonable and documented prepetition and post-petition fees and out-of-pocket expenses incurred by the Consenting Stakeholders’ Advisors, the RCF Agent, and the RCF Steering Committee Members related to the Debtors, the Restructuring,
or the Chapter 11 Cases. 
 (tttt) “Restructuring Transaction” means any transaction contemplated in connection with the
Restructuring. 
 (uuuu) “Restructuring Transaction Memorandum” means a document to be included in the Plan Supplement that
sets forth the material components of the Restructuring Transactions and a description of the steps to be carried out to effectuate the Restructuring Transactions in accordance with the Plan, including the reorganization of the Debtors and the
issuance of the New Common Shares, through the Chapter 11 Cases, the Plan, or this Agreement, which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

(vvvv) “Rights Offering Documents” means the Backstop Agreement, the Backstop Order, the Rights Offering Procedures, the
Rights Offering Stapled Securities, the Delayed Draw Rights Offering Documents, and any and all other agreements, documents, and instruments delivered or entered into in connection with the Rights Offerings, in each case, in form and substance
reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors and consistent with and in accordance with the terms of the Backstop Agreement. 

  
 11 

 (wwww) “Rights Offering Procedures” means the procedures for each Rights
Offering that are approved by the Bankruptcy Court, which set forth the procedures for holders of Senior Notes Claims to participate in the Rights Offerings, in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and
the Debtors. 
 (xxxx) “Rights Offering Stapled Securities” has the meaning set forth in the recitals hereof. 

(yyyy) “Rights Offerings” has the meaning set forth in the recitals hereof. 

(zzzz) “Schedule of Rejected Contracts” means the schedule of executory contracts and unexpired leases to be rejected by the
Debtors pursuant to the Plan, if any, as the same may be amended, modified, or supplemented from time to time, in form and substance reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

(aaaaa) “Securities Act” means the Securities Act of 1933, 15 U.S.C. §§ 77a–77aa, as amended. 

(bbbbb) “Senior Notes Claims” has the meaning set forth in the Plan. 

(ccccc) “Senior Notes Trustee” has the meaning set forth in the preamble hereof. 

(ddddd) “Solicitation” has the meaning set forth in the recitals hereof. 

(eeeee) “Solicitation Materials” means all solicitation materials with respect to the Plan, including the Disclosure
Statement, the Disclosure Statement Order, the Rights Offering Procedures, and related ballots. 
 (fffff) “Support Effective
Date” has the meaning set forth in Section 2. 
 (ggggg) “Termination Date” means the
date on which this Agreement terminates in accordance with Section 7(f). 
 (hhhhh) “Termination
Event” means a Consenting Stakeholder Termination Event or Debtor Termination Event. 
 (iiiii) “Transfer” has the
meaning set forth in Section 5(b). 
 (jjjjj) “Voting Deadline” means the deadline to submit
votes to accept or reject the Plan. 
 1.02. Interpretation. For the purposes of this Agreement: 

(a) in the appropriate context, each term, whether stated in the singular or the plural, shall include both the singular and the plural, and
pronouns stated in the masculine, feminine, or neuter gender shall include the masculine, feminine, and neuter genders; 
 (b) capitalized
terms defined only in the plural or singular form shall nonetheless have their defined meanings when used in the opposite form; 

  
 12 

 (c) unless otherwise specified, any reference herein to a contract, lease, instrument,
release, indenture, or other agreement or document being in a particular form or on particular terms and conditions means that such document shall be substantially in such form or substantially on such terms and conditions; 

(d) unless otherwise specified, any reference herein to an existing document, schedule, or exhibit shall mean such document, schedule, or
exhibit as it may have been or may be amended, restated, supplemented, or otherwise modified from time to time; provided that any capitalized terms herein that are defined with reference to another agreement are defined with reference to such
other agreement as of the date of this Agreement, without giving effect to any termination of such other agreement or amendments to such capitalized terms in any such other agreement following the date hereof; 

(e) unless otherwise specified, all references herein to “Sections” are references to Sections of this Agreement; 

(f) the words “herein,” “hereof,” and “hereto” refer to this Agreement in its entirety rather than to any
particular portion of this Agreement; 
 (g) captions and headings to Sections are inserted for convenience of reference only and are not
intended to be a part of or to affect the interpretation of this Agreement; 
 (h) references to “shareholders,”
“directors,” and/or “officers” shall also include “members” and/or “managers,” as applicable, as such terms are defined under the applicable limited liability company laws; and 

(i) the use of “include” or “including” is without limitation, whether stated or not. 

2. Support Effective Date. This Agreement shall become effective, and the obligations contained herein shall become binding upon
the Parties, on the date (such date, the “Support Effective Date”) that (a) this Agreement has been executed by (i) each Debtor, (ii) the Consenting Noteholders holding, in the aggregate, at least 66.67% in principal
amount of the Senior Notes, and (iii) the Consenting RCF Lenders holding, in the aggregate, at least 66.67% in principal amount of the RCF Loans and representing at least a majority in number of claimants asserting Claims arising under the RCF
Credit Agreement and (b) the Debtors shall have received binding commitments from Consenting RCF Lenders for at least $300 million and up to $400 million in aggregate principal amount of commitments under the Exit Revolving Credit
Facility pursuant to the fully-executed commitment letter (the “Commitment Letter”) attached hereto as Exhibit E. 
 3.
Exhibits; Definitive Documents; Bankruptcy Process. 
 (a) Each of the schedules, attachments, and exhibits attached hereto,
including the Plan, and any schedules, attachments, or exhibits to such schedules, attachments, and exhibits (collectively, the “Exhibits and Schedules”) are expressly incorporated herein and made a part of this Agreement, and
all references to this Agreement shall include the Exhibits and Schedules. In the event of any inconsistency between the terms of this Agreement (excluding the Exhibits and Schedules) and the Exhibits and Schedules, the Exhibits and Schedules shall
govern. In the event of any inconsistency between the terms of this Agreement (including the Exhibits and Schedules) and the other Definitive Documents, as applicable, the terms of the other Definitive Documents shall govern, as applicable. 

  
 13 

 (b) The definitive documents and agreements governing the Restructuring (collectively,
the “Definitive Documents”), which shall in each case be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors and consistent with this Agreement, shall include: 

(i) this Agreement; 

(ii) the Plan and the Plan Supplement, including each schedule, attachment, and exhibit thereto; 

(iii) the Confirmation Order and any motion or other pleadings related to the Plan or confirmation of the Plan; 

(iv) the Disclosure Statement, the Disclosure Statement Order, and the Solicitation Materials, including the motion seeking
approval of the Solicitation Materials; 
 (v) the Backstop Agreement, the Backstop Order, the motion and other pleadings
seeking approval of the Backstop Agreement and entry of the Backstop Order, and the Rights Offering Documents, including the order or orders of the Bankruptcy Court approving the Rights Offering Procedures; 

(vi) the Exit Facilities Documents; 

(vii) the Restructuring Transaction Memorandum; 

(viii) the Delayed Draw Subscription Agreement; 

(ix) the New Organizational Documents; 

(x) the Schedule of Rejected Contracts; 

(xi) the New Warrants Documentation; 

(xii) any other material documents, certificates, opinions, motions, pleadings, orders, agreements, instruments, schedules, or
exhibits related to or contemplated by the Restructuring, including any documents filed by the Debtors in the Chapter 11 Cases to implement any of the foregoing; and 

(xiii) in the case of each of the foregoing clauses (i) through (xii), all schedules, exhibits, appendices, and
supplements thereto. 
 (c) The Definitive Documents not executed, in a form attached to this Agreement, or otherwise in substantially final
form as of the Support Effective Date remain subject to negotiation and, upon completion, such Definitive Documents shall contain terms, conditions, representations, warranties, and covenants consistent in all respects with the terms of this
Agreement and otherwise be in form and substance reasonably acceptable (including with respect to tax structuring and elections) to the Debtors and the Requisite Consenting Stakeholders. 

  
 14 

 4. Milestones 

(a) As provided in and subject to Section 6 the Debtors shall implement the Restructuring on the following timeline
(each deadline, a “Milestone”): 
 (i) no later than Support Effective Date, which shall be no later than
January 22, 2021, at 11:59 p.m. (prevailing Central Time), the Debtors shall file with the Bankruptcy Court (A) the Plan, (B) the Disclosure Statement, (C) a motion seeking entry of the Disclosure Statement
Order(the “Disclosure Statement Motion”), and (D) a motion seeking entry of the Backstop Order and approving the Rights Offerings; 

(ii) no later than March 1, 2021 at 11:59 p.m. (prevailing Central Time), the Bankruptcy Court shall have entered (A) the
Disclosure Statement Order,(B) the Backstop Order, and (C) an order approving the Rights Offerings; 
 (iii) no later
than March 3, 2021 at 11:59 p.m. (prevailing Central Time), the Debtors shall have commenced the Solicitation and Rights Offerings; 

(iv) no later than April 8, 2021 at 11:59 p.m. (prevailing Central Time), the Bankruptcy Court shall have entered the
Confirmation Order; and 
 (v) no later than April 23, 2021 at 11:59 p.m. (prevailing Central Time) (the “Outside
Date”), the Effective Date shall have occurred. 
 (b) Except as set forth in Section 11(e), each of the
Milestones may be extended or waived with the express prior written consent of the Requisite Consenting Stakeholders. 
 5. Agreements of the
Consenting Stakeholders. 
 (a) Voting; Support. Each Consenting Stakeholder (severally and not jointly) agrees that, for the
duration of the Effective Period applicable to such Consenting Stakeholder, such Consenting Stakeholder (to the extent applicable) shall: 

(i) use commercially reasonable efforts to (A) support, implement and consummate the Restructuring, as contemplated under
this Agreement and the Plan, and all of the Restructuring Transactions contemplated therein, in each case in a timely manner, and take any and all commercially reasonable actions in furtherance of the Restructuring, as contemplated under this
Agreement and the Plan, and (B) negotiate in good faith the form of the Definitive Documents and execute the Definitive Documents (as applicable and subject to such Definitive Documents being in form and substance reasonably acceptable to the
Requisite Consenting Stakeholders to the extent set forth in and in accordance with the terms of this Agreement and the Backstop Agreement, as applicable); 

  
 15 

 (ii) not directly or indirectly (A) seek, solicit, support, propose,
assist, encourage, vote for, consent to, enter into, or participate in any discussion regarding the negotiation or formulation of an Alternative Restructuring, (B) publicly announce its intention not to pursue the Restructuring, or
(C) object to, impede, delay, or take any other action that is inconsistent with, or that would reasonably be expected to prevent, interfere with, or materially impede or delay, the confirmation or consummation of the Restructuring; 

(iii) as long as its votes have been solicited in a manner that complies with the requirements of sections 1125 and 1126 of the
Bankruptcy Code, timely vote or cause to be voted its Debtor Claims and/or Interests, to the extent entitled to vote on the Plan, to accept the Plan by delivering or causing to be delivered its duly authorized, executed, and completed ballot or
ballots, and consent to and, if applicable, not opt out of, the releases set forth in the Plan against each Released Party on a timely basis; 

(iv) not change or withdraw (or cause or direct to be changed or withdrawn) any such vote or release described in clause
(i) above; provided, however, that notwithstanding anything in this Agreement to the contrary, a Consenting Stakeholder’s vote and release may, upon prior written notice to the Debtors and the other Parties, be revoked (and,
upon such revocation, be deemed void ab initio) by any Consenting Stakeholder at any time following (and solely in the event of) the termination of this Agreement pursuant to Section 7 with respect to such Consenting
Stakeholder; 
 (v) timely vote (or cause to be voted) its Debtor Claims and/or Interests, to the extent entitled to vote,
against any Alternative Restructuring; 
 (vi) not object to, or take any other action that is inconsistent with or that
would reasonably be expected to prevent, interfere with, delay, or impede, the Solicitation, the Rights Offering, the Exit Facilities, approval of the Disclosure Statement, or the confirmation and consummation of the Plan and the Restructuring; 

(vii) not take any action, or direct any party, including the Senior Notes Trustee or the RCF Agent, to take any action that
is inconsistent with such Consenting Stakeholder’s obligations under this Agreement or the Plan; 
 (viii) if the
Senior Notes Trustee takes any action that is inconsistent with the Consenting Noteholders’ obligations under this Agreement or the Plan, such Consenting Noteholders shall use commercially reasonable efforts to direct (if reasonably requested
by the Debtors and at no cost to such Consenting Noteholders) the Senior Notes Trustee to cease, withdraw, and refrain from taking any such action; 

(ix) if the RCF Agent takes any action that is inconsistent with the Consenting RCF Lenders’ obligations under this
Agreement or the Plan, such Consenting RCF Lenders shall use commercially reasonable efforts to direct (if reasonably requested by the Debtors and at no cost to such Consenting RCF Lenders) the RCF Agent to cease, withdraw, and refrain from taking
any such action; and 

  
 16 

 (x) to the extent any legal or structural impediment arises that would
prevent, hinder, or delay the consummation of the Restructuring, negotiate with the Debtors in good faith to implement appropriate additional or alternative provisions to address any such impediment. 

(b) Transfers. Each Consenting Stakeholder agrees (severally and not jointly) that, for the duration of the Effective Period applicable
to such Consenting Stakeholder, such Consenting Stakeholder shall not sell, transfer, loan, issue, pledge, hypothecate, assign, encumber, or otherwise dispose of (including through derivatives, options, swaps, pledges, forward sales, or other
transactions in which any Person receives the right to own or acquire any current or future interest in) (each, a “Transfer”), or permit a Transfer of, directly or indirectly, in whole or in part, any of its Debtor Claims
and/or Interests, or any option thereon, or any right therein in the Debtors (including grant any proxies, deposit any Debtor Claims and/or Interests into a voting trust, or enter into a voting agreement with respect to any such Debtor Claims and/or
Interests), unless the transferee thereof either (i) is a Consenting Stakeholder or an entity that is controlled by such Consenting Stakeholder for which such Consenting Stakeholder acts as investment manager, advisor, or sub-advisor, or (ii) prior to or contemporaneously with such Transfer, agrees in writing to become a Consenting Stakeholder and to be bound by all of the terms of this Agreement applicable to Consenting
Stakeholders (including with respect to any and all Debtor Claims and/or Interests it may already hold against or in the Debtors prior to such Transfer) by executing a joinder agreement, the form of which is attached hereto as Exhibit
D (the “Joinder Agreement”), and delivering an executed copy thereof within two (2) Business Days following such execution to Paul, Weiss, as counsel to the Debtors, and the Consenting
Stakeholders’ Counsel, in which event (A) the transferee shall be deemed to be a Consenting Stakeholder hereunder and (B) the transferor shall be deemed to relinquish its rights and be released from its obligations under this
Agreement with respect to the Debtor Claims and/or Interests that are the subject of the Transfer. Each Consenting Stakeholder agrees that any Transfer of any Debtor Claims and/or Interests that do not comply with the terms and procedures set forth
herein shall be deemed void ab initio, and the Debtors and each other Consenting Stakeholder shall have the right to enforce the voiding of any such Transfer. Notwithstanding anything to the contrary herein, a Consenting Stakeholder may
complete a Transfer of its Debtor Claims and/or Interests to any entity that (Y) is already a Consenting Stakeholder or (Z) is acting in its capacity as a Qualified Marketmaker without the requirement that such Consenting Stakeholder or
Qualified Marketmaker execute a Joinder Agreement; provided, however, that (x) such Qualified Marketmaker must complete such Transfer of rights, title, or interests by the earlier of ten (10) Business Days following its
receipt thereof and, if received prior to the Voting Deadline, ten (10) Business Days prior to the Voting Deadline, (y) any subsequently completed Transfer by such Qualified Marketmaker of the rights, title, or interests in such Debtor
Claims and/or Interests is to a transferee that is or becomes a Consenting Stakeholder at the time of such Transfer, and (z) such Consenting Stakeholder shall be solely responsible for the Qualified Marketmaker’s failure to comply with the
requirements of this Section 5(b). To the extent an entity is acting in its capacity as a Qualified Marketmaker, it may Transfer any right, title, or interests in Debtor Claims and/or Interests that such Qualified
Marketmaker acquires from a holder of such Debtor Claims and/or Interests that is not a Consenting Stakeholder without the requirement that the transferee be or become a Consenting Stakeholder. 

  
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 (c) Additional Debtor Claims and/or Interests. If any Consenting Stakeholder
(i) acquires additional Debtor Claims and/or Interests, (ii) holds or acquires any other Debtor Claims and/or Interests entitled to vote on the Plan, or (iii) completes any Transfers of any Debtor Claims and/or Interests, then, in
each case, such Consenting Stakeholder shall promptly notify Paul, Weiss and the Consenting Stakeholders’ Counsel (within five (5) Business Days following such completed Transfer, with notice via electronic mail being sufficient), which
notice shall identify the Debtor Claims and/or Interests purchased, the amount of such Debtor Claims and/or Interests purchased, and the transferor of such Debtor Claims and/or Interests (to the extent known by such Consenting Stakeholder). Each
such Consenting Stakeholder agrees that such additional Debtor Claims and/or Interests shall automatically be subject to this Agreement and that, for the duration of the Effective Period applicable to such Consenting Stakeholder, it shall comply
with Section 5(a) to the extent applicable with respect to such additional Debtor Claims and/or Interests. 
 (d)
Additional Parties. Any Person may, at any time after the Support Effective Date, become a party to this Agreement as a Consenting Stakeholder (each, an “Additional Consenting Stakeholder”), by delivering an executed
copy of a Joinder Agreement to Paul, Weiss and the Consenting Stakeholders’ Counsel, pursuant to which such Additional Consenting Stakeholder shall be bound by the terms of this Agreement as a Consenting Stakeholder hereunder as of the date of
execution of its Joinder Agreement and shall be deemed a Consenting Stakeholder for all purposes hereunder. 
 (e) Notwithstanding anything
contained in this Agreement, nothing in this Agreement will limit (i) any Consenting Stakeholder’s rights to enforce any rights or obligations under this Agreement or any Definitive Document, including to contest whether any matter, fact,
or thing is a breach of, or is inconsistent with, this Agreement, (ii) any Consenting Stakeholder’s ability to consult with any other Consenting Stakeholder, the Company, or any other party in interest in the Chapter 11 Cases (including
any official committee and the United States Trustee), (iii) any Consenting Stakeholder’s right to assert or raise any objection permitted under this Agreement in connection with the Restructuring, (iv) any Consenting Stakeholder’s
rights under any applicable indenture, credit agreement, other loan document, and/or applicable law consistent with this Agreement, (v) any Consenting Stakeholder from appearing as a party-in-interest in any matter to be adjudicated in a court of competent jurisdiction or the Chapter 11 Cases (as applicable), so long as, from the Support Effective Date and continuing for the
Effective Period, such appearance and the positions advocated in connection therewith are not inconsistent with this Agreement, are not in violation of this Agreement, and are not for the purpose of hindering, delaying, or preventing the
consummation of the Restructuring, or (vi) any Consenting Stakeholder’s right to assert or raise any objection permitted under this Agreement in connection with the Confirmation Hearing or any other hearing in the Bankruptcy Court. 

(f) The Debtors understand that the Consenting Stakeholders are engaged in a wide range of financial services and businesses, and, in
furtherance of the foregoing, the Debtors acknowledge and agree that the obligations set forth in this Agreement shall only apply to the trading desk(s) and/or business group(s) of each Consenting Stakeholder that principally manage and/or supervise
such Consenting Stakeholder’s investment in the Debtors, and shall not apply to any other trading desk or business group of any such Consenting Stakeholder that is not acting at the direction or for the benefit of such Consenting Stakeholder or
in connection with such Consenting Stakeholder’s investment in the Debtors. 

  
 18 

 6. Agreements of the Debtors. 

(a) Covenants. The Debtors agree that, for the duration of the Effective Period, the Debtors shall, subject to
Section 30: 
 (i) use commercially reasonable efforts to (A) support, implement and
consummate the Restructuring, as contemplated under this Agreement and the Plan, and all of the Restructuring Transactions contemplated therein, in each case in a timely manner, and take any and all commercially reasonable actions in furtherance of
the Restructuring, as contemplated under this Agreement and the Plan, (B) negotiate in good faith with the Consenting Stakeholders the form of the Definitive Documents and (as applicable) execute the Definitive Documents, (C) complete the
Restructuring set forth in the Plan in accordance with each Milestone set forth in Section 4, and (D) obtain, file, submit, or register any and all required governmental, regulatory, and
third-party approvals that are necessary for the Restructuring; 
 (ii) not directly
or indirectly (A) seek, solicit, support, propose, assist, encourage, vote for, consent to, enter into, or participate in any discussion regarding the negotiation or formulation of an Alternative Restructuring, (B) publicly announce their
intention not to pursue the Restructuring, or (C) object to, impede, delay, or take any other action that is inconsistent with, or that would reasonably be expected to prevent, interfere with, or materially impede or delay, the confirmation or
consummation of the Restructuring; 
 (iii) operate their business in the ordinary course in a manner consistent with past
practice in all material respects (other than any changes in operations (A) resulting from or relating to this Agreement or the filing or prosecution of the Chapter 11 Cases or (B) imposed by the Bankruptcy Court), including
(X) maintaining their physical assets in their working order condition in the ordinary course of business, (Y) maintaining their books and records, and (Z) maintaining their insurance policies or suitable replacements in the ordinary
course of business; 
 (iv) maintain good standing and legal existence under the laws of the state or other jurisdiction in
which each such Debtor entity is incorporated, organized, or formed; 
 (v) promptly provide written notice to the Consenting
Stakeholders and the Consenting Stakeholders’ Advisors, and within two (2) Business Days to the extent reasonably practicable, of (A) the occurrence, or failure to occur, of any event of which the Debtors have actual knowledge that
such occurrence or failure to occur would be likely to cause any condition precedent contained in this Agreement or the Plan not to occur or become impossible to satisfy, (B) the receipt of any written notice from any governmental authority or
third party alleging that the consent of such party is or may be required in connection with the Restructuring, (C) the receipt of any written notice of any proceeding commenced or, to the actual knowledge of the Debtors, threatened against the
Debtors relating to or involving or otherwise affecting in any material respect the Restructuring, (D) any failure of the Debtors to comply in any material respect with or to satisfy any covenant, condition, or agreement to be complied with or
satisfied by them hereunder, (E) the occurrence of any Termination Event, or (F) any Person challenging the validity or priority of, or seeking to avoid, the Senior Notes or the RCF Loans; 

  
 19 

 (vi) promptly notify the Consenting Stakeholders and the Consenting
Stakeholders’ Advisors in writing, and within two (2) Business Days to the extent reasonably practicable, following the receipt of notice of any material governmental or third-party complaints, litigations, investigations, or hearings (or
communications indicating that the same may be contemplated or threatened) related to the Debtors, the Chapter 11 Cases, this Agreement, or the Restructuring; 

(vii) not take any action that is inconsistent with, or that is intended to or that would reasonably be expected to prevent,
interfere with, delay, or impede, the Solicitation, the Rights Offerings, the Private Placements, the Exit Facilities, approval of the Disclosure Statement, or the confirmation and consummation of the Plan and the Restructuring; 

(viii) not take any action, or direct any Person to take any action, that is inconsistent with the Debtors’ obligations
under this Agreement or the Plan, including to modify the Plan, in whole or in part, in a manner that is inconsistent with Agreement; 

(ix) provide draft copies of all material motions or applications related to the Chapter 11 Cases (including any Definitive
Documents, the Plan, the Disclosure Statement, the ballots and other Solicitation Materials in respect of the Plan, any proposed amended version of the Plan, the Plan Supplement, or the Disclosure Statement, and the proposed Confirmation Order) that
the Debtors intend to file with the Bankruptcy Court to the Consenting Stakeholders’ Counsel, if reasonably practicable, at least three (3) Business Days prior to the date when the Debtors intend to file any such pleading or other
document; provided that if delivery of any such motions, orders, or other documents at least three (3) Business Days in advance of filing is not reasonably practicable, any such motions, orders, or other documents shall be delivered to
the Consenting Stakeholders’ Counsel as soon as reasonably practicable prior to filing; provided, further, that the Debtors shall consult in good faith with the Consenting Stakeholders’ Counsel regarding the form and
substance of any such motions, orders, or other documents prior to filing with the Bankruptcy Court; 
 (x) timely file a
formal objection to any motion filed with the Bankruptcy Court by a third party seeking the entry of an order (A) directing the appointment of a trustee or examiner (with expanded powers beyond those set forth in sections 1106(a)(3) and
(4) of the Bankruptcy Code), (B) converting the Chapter 11 Cases to cases under chapter 7 of the Bankruptcy Code, or (C) dismissing the Chapter 11 Cases; 

(xi) to the extent any legal or structural impediment arises that would prevent, hinder, or delay the consummation of the
Restructuring, negotiate with the Consenting Stakeholders in good faith to implement appropriate additional or alternative provisions to address any such impediment; provided, however, that no such additional or alternative provisions
shall modify any Consenting Stakeholder’s economic treatment as set forth in the Plan in an adverse, material, and disproportionate manner without such Consenting Stakeholder’s written consent; 

  
 20 

 (xii) use commercially reasonable efforts to renegotiate the PCbtH Contracts
on terms that are reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors, in each case in their sole discretion, and, if the PCbtH Contracts cannot be renegotiated on such terms, provide for alternative treatment under the
Plan that is reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors, in each case in their sole discretion; 

(xiii) promptly pay in cash (to the extent not previously paid) all Restructuring Expenses (including reasonable retainers)
incurred and outstanding (including any estimated fees and expenses estimated to be incurred through the Effective Date) in accordance with the Order (I) Approving the Noteholder Professionals’ Fee Protocol and
(II) Granting Related Relief [ECF No. 584] or the Final Order (I) Authorizing Use of the Debtors’ Existing Cash Management System; (II) Authorizing and Directing Banks and
Financial Institutions to Honor and Process Checks and Transfers; (III) Authorizing Continued Use and Satisfaction of Intercompany Transactions; (IV) Authorizing the Debtors’ Use of Existing Bank Accounts
and Existing Business Forms; (V) Granting Adequate Protection; and (VI) Granting Related Relief [ECF No. 465], as applicable; 

(xiv) not authorize, create, or issue any additional equity interests, or redeem, purchase, acquire, declare, or make any
distribution on any equity interests, except pursuant to the Restructuring or as set forth in the Plan or any other Definitive Document, including the Restructuring Transaction Memorandum; 

(xv) not grant or agree to grant any increase in the wages, salary, bonus, commissions, retirement benefits, severance, or
other compensation or benefits of any director, manager, officer, or employee of any of the Debtors, except for (i) in the ordinary course of business (including annual and contractual increases), (ii) pursuant to and in accordance with the
terms of the Debtors’ plans and programs existing as of the date hereof, and (iii) any increase that is done with the written consent of the Requisite Consenting Stakeholders; and 

(xvi) not (A) enter into any material proposed settlement of any Claim, litigation, dispute, controversy, Cause of Action,
proceeding, appeal, determination, investigation, or matter without the prior written consent of the Consenting Stakeholders, or (B) incur any material liens, security interests, or encumbrances other than as expressly contemplated by
the Plan or in the ordinary course of business. 
  

	7.	 Termination of this Agreement. 

(a) This Agreement shall terminate three (3) Business Days following the delivery of written notice (in accordance with
Section 24) from: (i) the Requisite Consenting Noteholders to the Debtors at any time after the occurrence and during the continuance of any Consenting Stakeholder Termination Event, solely with respect to the
Consenting Noteholders; 

  
 21 

 
(ii) the Requisite Consenting RCF Lenders to the Debtors at any time after the occurrence and during the continuance of any Consenting Stakeholder Termination Event, solely with respect to
the Consenting RCF Lenders; or (iii) the Debtors to the Consenting Stakeholders at any time after the occurrence and during the continuance of any Debtor Termination Event. Notwithstanding any provision to the contrary in this
Section 7, no Party may exercise any of its respective termination rights as set forth herein if such Party has failed to perform or comply in all material respects with the terms and conditions of this Agreement as of the
time of any such Termination Event (unless such failure to perform or comply arises as a result of such Termination Event), with such failure to perform or comply causing, or resulting in, the occurrence of a Consenting Stakeholder Termination Event
or Debtor Termination Event as specified herein. 
 (b) This Agreement shall terminate automatically, without any further action required by
any Party, upon the occurrence of the Effective Date. This Agreement shall terminate automatically as to any Consenting Stakeholder that sells or transfers all Debtor Claims and/or Interests that it holds in accordance with
Section 5(b). 
 (c) A “Consenting Stakeholder Termination Event” shall mean any of the
following: 
 (i) the failure of the Debtors to meet any of the Milestones in Section 4 unless
(A) such failure is the direct result of any act, omission, or delay on the part of any Consenting Stakeholder in violation of its obligations under this Agreement, or (B) such Milestone is extended by the Requisite Consenting Stakeholders
in accordance with Section 4; 
 (ii) the breach by the Debtors of any of the undertakings,
representations, warranties, or covenants of the Debtors as set forth herein in any material respect that remains uncured (if susceptible to cure) for a period of five (5) Business Days after the receipt of written notice of any such breach
pursuant to this Section 7 and in accordance with Section 24 (as applicable); 

(iii) the issuance by any governmental authority, including any regulatory authority or court of competent jurisdiction, of any
ruling, judgment, or order enjoining the consummation of, or prohibiting the Debtors from implementing, the Plan or the Restructuring (or that would materially alter the Plan or the Restructuring), and such ruling, judgment, or order has not been
stayed, reversed, or vacated within twenty (20) days after such issuance; 
 (iv) the Bankruptcy Court (A) enters
an order denying confirmation of the Plan or (B) after entry of the Confirmation Order, enters an order (a) vacating the Plan or the Confirmation Order or (b) modifying or otherwise amending the Plan or the Confirmation Order in a
manner that is materially inconsistent with this Agreement, the Restructuring, the Plan, or any of the other Definitive Documents then in effect; 

(v) the Bankruptcy Court enters an order, or the Debtors file a motion seeking an order, (A) converting one or more of the
Chapter 11 Cases to a case under chapter 7 of the Bankruptcy Code; (B) dismissing any of the Chapter 11 Cases; or (C) appointing an examiner or trustee with expanded powers beyond those set forth in sections 1106(a)(3) and (4) of
the Bankruptcy Code or a trustee in one or more of the Chapter 11 Cases; 

  
 22 

 (vi) the Debtors enter into a definitive agreement with respect to an
Alternative Restructuring or publicly announce their intention to pursue an Alternative Restructuring; 
 (vii) the Debtors
withdraw the Plan, publicly announce their intention to withdraw the Plan without the prior written consent of the Requisite Consenting Stakeholders; 

(viii) any of the Definitive Documents is filed with the Bankruptcy Court, otherwise finalized, or has become effective
containing terms and conditions that are materially inconsistent with this Agreement or the Plan, or the Debtors amend any of the Definitive Documents in any material respect without the prior written consent of the Requisite Consenting
Stakeholders; 
 (ix) the failure of the Debtors to pay any of the Restructuring Expenses in accordance with the terms of the
Order (I) Approving the Noteholder Professionals’ Fee Protocol and (II) Granting Related Relief [ECF No. 584] or the Final Order (I) Authorizing Use of the Debtors’
Existing Cash Management System; (II) Authorizing and Directing Banks and Financial Institutions to Honor and Process Checks and Transfers; (III) Authorizing Continued Use and Satisfaction of Intercompany
Transactions; (IV) Authorizing the Debtors’ Use of Existing Bank Accounts and Existing Business Forms; (V) Granting Adequate Protection; and (VI) Granting Related Relief [ECF
No. 465], as applicable. 
 (x) the failure of the Debtors to either renegotiate the PCbtH Contracts on terms that are
reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors, in each case in their sole discretion, or, if the PCbtH Contracts cannot be renegotiated on such terms, provide for alternative treatment under the Plan that is
reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors, in each case in their sole discretion; 

(xi) the termination of the Backstop Agreement, other than as a result of the consummation of the Rights Offerings and Primary
Private Placement; 
 (xii) the Bankruptcy Court enters an order granting relief from the automatic stay imposed by section
362 of the Bankruptcy Code authorizing any Person to proceed against any material asset of the Debtors or that would materially and adversely affect the Debtors’ ability to operate their business in the ordinary course; 

(xiii) either (A) the Debtors file a motion, application, or adversary proceeding (or the Debtors support any such motion,
application, or adversary proceeding filed or commenced by any third party) (a) challenging the validity, enforceability, or priority of, or seeking avoidance or subordination of, any portion of the Claims arising under the Senior Notes, the
Base Indenture (or any supplemental indenture thereto), or the 

  
 23 

 
RCF Credit Agreement, or (b) asserting any other Cause of Action against the Consenting Stakeholders with respect or relating to the Claims arising under the Senior Notes, the Base Indenture
(or any supplemental indenture thereto), or the RCF Credit Agreement; or (B) the Bankruptcy Court (or any other court with jurisdiction over the Chapter 11 Cases) enters an order that is inconsistent with this Agreement or the Plan in any
material respect; 
 (xiv) the Debtors fail to obtain the consent of the Requisite Consenting Stakeholders (not to be
unreasonably withheld, conditioned, or delayed) before entering into an agreement to sell, lease, abandon, or otherwise dispose of, or file a motion with the Bankruptcy Court seeking authority to sell, lease, abandon, or otherwise dispose of, any
assets with a book value greater than $5 million or otherwise fail to adhere to the Order (I) Approving Procedures for the Sale or Transfer of De Minimis Assets Free and Clear of Liens, Claims, Interests, and Encumbrances;
and (II) Granting Related Relief [ECF No. 765] to the extent applicable; 
 (xv) the Debtors
provide notice of their intention to take or refrain from taking, or actually take or refrain from taking, any action in reliance on Section 30 that is materially inconsistent with the terms of this Agreement, the Plan, or
the Definitive Documents; or 
 (xvi) the overall size of the claims pool for general unsecured claims (excluding any claims
resulting from the rejection or recharacterization of the PCbtH Contracts) to be unimpaired and paid in full pursuant to the Plan on the Effective Date is not reasonably acceptable to the Requisite Consenting Stakeholders, as a result of being
materially inconsistent with the estimate provided by the Debtors to the Consenting Stakeholders’ Advisors on November 14, 2020.1 

(d) A “Debtor Termination Event” shall mean any of the following: 

(i) the breach by one or more of the Consenting Stakeholders of any of the undertakings, representations, warranties, or
covenants of the Consenting Stakeholders as set forth herein in any material respect that remains uncured for a period of five (5) Business Days after the receipt of written notice of any such breach pursuant to this
Section 7 and in accordance with Section 24 (as applicable), but only if the non-breaching Consenting Stakeholders (A) hold less than 66.67% of the
aggregate principal amount of Senior Notes or RCF Claims, as applicable or (B) represent less than a majority in number of claimants asserting Claims arising under the RCF Credit Agreement, as applicable; 

(ii) if, pursuant to Section 30, the board of directors, board of managers, or similar governing
body, as applicable, of any Debtor entity party hereto reasonably determines in good faith based upon the advice of legal counsel that proceeding with the Restructuring would be inconsistent with the exercise of its fiduciary duties under applicable
law; 
  

	1	 The estimate provided by the Debtors to the Consenting Stakeholders’ Advisors on November 14, 2020
included an estimate of approximately $26 million of general unsecured trade claims (excluding any claims resulting from the rejection or recharacterization of the PCbtH Contracts), administrative claims related to cure amounts, and priority
claims under section 503(b)(9) of the Bankruptcy Code, excluding any postpetition interest that may be payable on account of such claims pursuant to the Plan, if any, to be unimpaired and paid in full pursuant to the Plan on the Effective Date. For
the avoidance of doubt, such estimate does not include any Priority Tax Claims. 

  
 24 

 (iii) the issuance by any governmental authority, including any regulatory
authority or court of competent jurisdiction, of any ruling, judgment, or order enjoining the consummation of, or prohibiting the Debtors from implementing, the Plan or the Restructuring, and such ruling, judgment, or order has not been stayed,
reversed, or vacated within twenty (20) days after such issuance; 
 (iv) the Bankruptcy Court (A) enters an order
denying confirmation of the Plan or (B) after entry of the Confirmation Order, enters an order (a) vacating the Plan or the Confirmation Order or (b) modifying or otherwise amending the Plan or the Confirmation Order in a manner that
is materially inconsistent with this Agreement, the Restructuring, the Plan, or any of the other Definitive Documents then in effect; 

(v) the Bankruptcy Court enters an order (A) converting one or more of the Chapter 11 Cases to a case under chapter 7 of
the Bankruptcy Code; (B) dismissing any of the Chapter 11 Cases; or (C) appointing an examiner or trustee with expanded powers beyond those set forth in sections 1106(a)(3) and (4) of the Bankruptcy Code or a trustee in one or
more of the Chapter 11 Cases; 
 (vi) the termination of the Backstop Agreement in accordance with its terms, other than as a
result of the consummation of the Rights Offerings and Primary Private Placement; 
 (vii) the Bankruptcy Court enters an
order granting relief from the automatic stay imposed by section 362 of the Bankruptcy Code authorizing any Person to proceed against any material asset of the Debtors or that would materially and adversely affect the Debtors’ ability to
operate their business in the ordinary course; or 
 (viii) the occurrence of the Outside Date if the Effective Date has not
occurred. 
 Notwithstanding the foregoing, any of the dates or deadlines set forth in Sections 7(c) and 7(d) may be
extended or waived by the mutual written agreement of the Debtors and the Requisite Consenting Stakeholders (which may be provided by the Consenting Stakeholders’ Counsel on behalf of the Requisite Consenting Stakeholders). 

(e) Mutual Termination. This Agreement may be terminated in its entirety at any time by the mutual written agreement of the Debtors and
the Requisite Consenting Stakeholders. 
 (f) Effect of Termination. 

(i) The date on which the termination of this Agreement becomes effective as to a Party in accordance with this
Section 7 shall be referred to as the “Termination Date,” and the provisions of this Agreement shall terminate on the Termination Date with respect thereto, except as otherwise provided in
Section 16. 

  
 25 

 (ii) Subject to the provisions contained in
Section 6(a) and Section 16, upon the Termination Date, this Agreement shall forthwith become null and void and of no further force or effect and each affected Party shall, except as provided
otherwise in this Agreement, be immediately released from its liabilities, obligations, commitments, undertakings, and agreements under or related to this Agreement, and shall have all the rights and remedies that it would have had, and shall be
entitled to take all actions, whether with respect to the Restructuring or otherwise, that it would have been entitled to take had it not entered into this Agreement, including with respect to all Claims or Causes of Action and all rights and
remedies available to it under applicable law; provided, however, that in no event shall any such termination relieve a Party from liability for any breach or non-performance of its obligations
hereunder prior to the Termination Date. Upon the occurrence of the Termination Date prior to the Confirmation Order being entered by the Bankruptcy Court, any and all consents or ballots tendered by the Consenting Stakeholders before the
Termination Date that are subject to such termination shall be deemed, for all purposes, to be null and void and shall not be considered or otherwise used in any manner in connection with the Plan, the Restructuring, this Agreement, or otherwise.

 (g) Limited Waiver of Automatic Stay. The Debtors acknowledge and agree and shall not dispute that the giving of any notice,
including notice of the termination of this Agreement, by any Party solely in accordance with the terms of this Agreement shall not be a violation of the automatic stay of section 362 of the Bankruptcy Code (and the Debtors hereby waive, to the
fullest extent permitted by law, the applicability of the automatic stay to the giving of such notice, and if this Agreement is terminated in accordance with Section 7, each Consenting Stakeholder’s vote or release
described in Section 5(a)(iii) may be revoked (and, upon such revocation, be deemed void ab initio) notwithstanding the automatic stay or passage of the Voting Deadline); provided, however, that nothing
herein shall prejudice any Party’s rights to argue that the giving of notice of default or termination was not proper under the terms of this Agreement. All Parties acknowledge that the valid termination of this Agreement would be an occurrence
of the type that constitutes “cause” under Bankruptcy Rule 3018. The foregoing sentence shall survive termination of this Agreement. 

(h) Reservation of Rights. If the Restructuring is not consummated, nothing herein shall be construed as a waiver by any Party of any
or all of such Party’s rights, and the Parties expressly reserve any and all of their respective rights. Except as expressly provided in this Agreement, nothing herein is intended to, or does, in any manner waive, limit, impair, or restrict any
right of any Party, or the ability of any Party, to protect and preserve its rights (including its rights under this Agreement), remedies, and interests, including its Claims against any other Party. Pursuant to Rule 408 of the Federal Rules of
Evidence and any other applicable rules of evidence, this Agreement and all negotiations relating hereto shall not be admissible into evidence in any proceeding other than to prove the existence of this Agreement or in a proceeding to enforce its
terms. 

  
 26 

 8. Definitive Documents; Good Faith Cooperation; Further Assurances. 

Each Party hereby covenants and agrees to cooperate with each other in good faith in connection with, and shall exercise commercially
reasonable efforts with respect to the pursuit, approval, negotiation, execution, delivery, implementation, and consummation of the Plan and the Restructuring, as well as the negotiation, drafting, execution, and delivery of the Definitive
Documents, which shall be subject to the applicable consent rights of the Requisite Consenting Stakeholders in Section 5. Furthermore, subject to the terms hereof, each of the Parties shall (i) take such action as may
be reasonably necessary or reasonably requested by the other Parties to carry out the purposes and intent of this Agreement and the Restructuring, including making and filing any required regulatory filings, and (ii) refrain from taking any
action that would frustrate the purposes and intent of this Agreement. 
 9. Representations and Warranties. 

(a) Each Party severally (and not jointly) represents and warrants to the other Parties that the following statements are true, correct, and
complete as of the Support Effective Date (or such later date on which a Consenting Stakeholder becomes a Party to this Agreement by executing and delivering a Joinder Agreement, as applicable): 

(i) such Party is validly existing and in good standing under the laws of its jurisdiction of incorporation or organization
and, subject to the entry of the Backstop Order (as applicable), has all requisite corporate, partnership, limited liability company, or similar authority to enter into this Agreement and carry out the Restructuring Transactions contemplated hereby
and perform its obligations contemplated by the Backstop Agreement (to the extent such Party is party to the Backstop Agreement), and, subject to the entry of the Backstop Order (as applicable), the execution and delivery of this Agreement, and the
performance of such Party’s obligations hereunder, such Party has been duly authorized by all necessary corporate, limited liability company, partnership, or other similar action on its part; 

(ii) subject to entry of the Backstop Order (as applicable), the execution, delivery, and performance by such Party of this
Agreement does not (A) violate any material provision of law, rule, or regulation applicable to it or any of its subsidiaries or its charter or bylaws (or other similar governing documents) or those of any of its subsidiaries, or
(B) conflict with, result in a breach of, or constitute (with due notice or lapse of time or both) a default under any material contractual obligation to which it or any of its subsidiaries is a party; 

(iii) the execution, delivery, and performance by such Party of this Agreement does not and will not require any material
registration or filing with, consent or approval of, or notice to, or other action with or by, any federal, state, or governmental authority or regulatory body, except such filings as may be necessary and/or required by the Bankruptcy Court and the
U.S. Securities and Exchange Commission or other securities regulatory authorities under applicable securities laws; and 

(iv) subject to entry of the Backstop Order (as applicable), this Agreement is the legally valid and binding obligation of such
Party, enforceable against it in accordance with its terms. 

  
 27 

 (b) Representations and Warranties of the Consenting Stakeholders. Each Consenting
Stakeholder severally (and not jointly) represents and warrants to the other Parties that, as of the Support Effective Date (or such later date on which a Consenting Stakeholder becomes a Party to this Agreement by executing and delivering a Joinder
Agreement, as applicable), such Consenting Stakeholder (as may be updated pursuant to Section 5) (i) is the owner of the aggregate principal amount of Debtor Claims and/or Interests set forth below its name on the
signature page hereto (or below its name on the signature page of a Joinder Agreement for any Consenting Stakeholder that becomes a Party hereto after the date hereof), free and clear of any restrictions on transfer, liens or options, warrants,
purchase rights, contracts, commitments, Claims, demands, and other encumbrances, and, subject to Section 5(f), does not own any other Debtor Claims and/or Interests that are subject to the control or direction of such Consenting Stakeholder;
or (ii) has, with respect to the beneficial owners of such Debtor Claims and/or Interests, (A) sole investment or voting discretion with respect thereto, (B) full power and authority to vote on and consent to matters concerning such
Debtor Claims and/or Interests, or to exchange, assign, and transfer such Debtor Claims and/or Interests, and (C) full power and authority to bind or act on the behalf of such beneficial owners. 

(c) Representations and Warranties of the Debtors. Each Debtor represents and warrants, on a joint and several basis, to the other
Parties as of the Support Effective Date: 
 (i) there is no pending or undisclosed agreement, understanding, negotiation, or
discussion (in each case, whether oral or written) with respect to any Alternative Restructuring; 
 (ii) when furnished,
none of the material and information regarding the Debtors that was provided to the Consenting Stakeholders in the virtual data room maintained by or on behalf of the Debtors, or provided by or on behalf of the Debtors to the Consenting
Stakeholders’ Advisors on an advisors’ eyes-only basis, in each case in connection with the Restructuring, when read or considered together, contains any untrue statement of a material fact or omits to state a material fact necessary in
order to prevent the statements made therein from being materially misleading; 
 (iii) the aggregate principal amount of
outstanding indebtedness (excluding any fees, costs, expenses, and indemnities that may be owed by the applicable obligors) on account of the Senior Notes is at least $2.0 billion; and 

(iv) the aggregate principal amount of outstanding indebtedness (excluding any fees, costs, expenses, and indemnities that
may be owed by the applicable obligors) on account of the RCF Credit Agreement is at least $442 million. 
 10. Disclosure;
Publicity. The Debtors shall submit drafts to the Consenting Stakeholders’ Counsel of any press releases and any and all filings with the U.S. Securities and Exchange Commission that constitute disclosure of the existence or
terms of this Agreement or any amendment to the terms of this Agreement or that otherwise reference the Restructuring at least two (2) Business Days prior to making any such disclosure to the extent reasonably practicable. Subject to the
Debtors’ submission of such drafts to the Consenting Stakeholders’ Counsel at least two (2) Business Days prior to making any such disclosure, no later than one (1) Business Day prior to the publication of any such press releases
or filings, the Consenting Stakeholders’ Counsel shall provide comments (if any) to the Debtors with respect thereto, which shall be incorporated 

  
 28 

 
such that any such press releases or filings will be in a form acceptable to the Consenting Stakeholders in their reasonable discretion. Except as required by applicable law, and notwithstanding
any provision of any other agreement between the Debtors and such Consenting Stakeholder to the contrary, no Party or its advisors shall disclose to any Person (including, for the avoidance of doubt, any other Consenting Stakeholder), other than
Paul, Weiss and the Consenting Stakeholders’ Counsel, the principal amount or percentage of any Debtor Claims and/or Interests held by any Consenting Stakeholder without such Consenting Stakeholder’s prior written consent;
provided, however, that (i) if such disclosure is required by law, subpoena, or other legal process or regulation, the disclosing Party shall, to the extent permitted by law, afford the relevant Consenting Stakeholder a reasonable
opportunity to review and comment in advance of such disclosure and shall take commercially reasonable measures to limit such disclosure (the expense of which, if any, shall be borne by the relevant Consenting Stakeholder) and (ii) the
foregoing shall not prohibit the disclosure of the aggregate percentage or aggregate principal amount of (a) Senior Notes collectively held by the Consenting Noteholders and (b) RCF Claims collectively held by the Consenting RCF Lenders.
Notwithstanding the provisions in this Section 10, any Party may disclose, to the extent consented to in writing by a Consenting Stakeholder, such Consenting Stakeholder’s individual holdings. For the avoidance of
doubt, when attaching a copy of this Agreement to any press release or public filing in accordance with this Section 10, the Debtors will redact any reference to any Consenting Stakeholder’s holdings information,
including the signature pages hereto. Notwithstanding anything to the contrary herein, nothing in this Section 10 shall prevent the Debtors from complying with all applicable securities laws. 

11. Amendments and Waivers. 
 (a)
Other than as set forth in Section 11(b), this Agreement, including the Exhibits and Schedules, may not be waived, modified, amended, or supplemented except with the written consent of the Debtors and the Requisite
Consenting Stakeholders. 
 (b) Notwithstanding Section 11(a): 

(i) any waiver, modification, amendment, or supplement to this Section 11 shall require the written
consent of all of the Parties; 
 (ii) any modification, amendment, or change to (A) the definition of Requisite
Consenting Noteholders shall require the prior written consent of each Consenting Noteholder and (B) the definition of Requisite Consenting RCF Lenders shall require the prior written consent of each Consenting RCF Lender; 

(iii) any change, modification, or amendment to this Agreement or the Plan that treats or affects any Consenting
Stakeholder’s Senior Notes Claims or RCF Claims in a manner that is materially and adversely disproportionate, on an economic or non-economic basis, to the manner in which any of the other Consenting
Stakeholder’s Senior Notes Claims, or RCF Claims are treated shall require the written consent of such materially adversely and disproportionately affected Consenting Stakeholder. 

  
 29 

 (c) In the event a change, modification or amendment to this Agreement that materially and
adversely alters on an economic basis the terms provided in this Agreement affects a Consenting Stakeholder and such Consenting Stakeholder does not consent or otherwise agree to such change, modification, or amendment, such Consenting Stakeholder
may terminate this Agreement solely as to itself by delivering written notice to the other Parties (in accordance with Section 24) on three (3) Business Days’ notice, so long as such change, modification, or
amendment received consent from the Requisite Consenting Stakeholders. In such case, this Agreement shall continue in full force and effect with respect to the Debtors and all other Consenting Stakeholders. 

(d) In the event that a materially adversely and disproportionately affected Consenting Stakeholder does not consent to a waiver, change,
modification, or amendment to this Agreement requiring the consent of each Consenting Stakeholder (a “Non-Consenting Stakeholder”), but such waiver, change, modification, or
amendment receives the consent of the Requisite Consenting Stakeholders, this Agreement shall be deemed to have been terminated only as to such Non-Consenting Stakeholder, and this Agreement shall continue in
full force and effect with respect to all other Consenting Stakeholders from time to time without the consent of any Consenting Stakeholders who have so consented. 

(e) Notwithstanding anything in this Agreement to the contrary, no amendment or waiver of the Outside Date shall be effective as to any
Consenting Stakeholder without such Consenting Stakeholder’s prior written consent. In the event that the Parties properly amend or waive the Outside Date in accordance with Section 4(b), this Agreement shall terminate
on the Outside Date that existed under this Agreement immediately prior to such amendment or waiver with respect to each Party that did not expressly consent in writing (notice via electronic mail being sufficient) to such amendment or waiver. 

(f) The waiver by any Party of a breach of any provision of this Agreement shall not operate or be construed as a further or continuing waiver
of such breach or as a waiver of any other or subsequent breach. No failure on the part of any Party to exercise, and no delay in exercising, any right, power, or remedy under this Agreement shall operate as a waiver of, any such right, power, or
remedy or any provision of this Agreement. 
 12. Effectiveness. This Agreement shall become effective and binding upon each
Party on the Support Effective Date; provided, however, that signature pages executed by Consenting Stakeholders shall be delivered to (i) other Consenting Stakeholders in a redacted form that removes such Consenting
Stakeholders’ holdings of Senior Notes, RCF Claims, or Existing Parent Equity Interests and (ii) the Debtors and the Consenting Stakeholders’ Counsel in an unredacted form (to be held by the Consenting Stakeholders’ Counsel on a
professionals’ eyes-only basis). 
 13. Fees and Expenses. In accordance with and subject to
Section 6(a)(xiii), the Final Order (I) Authorizing Use of the Debtors’ Existing Cash Management System; (II) Authorizing and Directing Banks and Financial
Institutions to Honor and Process Checks and Transfers; (III) Authorizing Continued Use and Satisfaction of Intercompany Transactions; (IV) Authorizing the Debtors’ Use of Existing Bank
Accounts and Existing Business Forms; (V) Granting Adequate Protection; and (VI) Granting Related Relief [ECF No. 465], the Order (I) Approving the Noteholder
Professionals’ Fee Protocol and (II) Granting Related Relief [ECF No. 584], the Plan, and any other applicable orders of the Bankruptcy Court (including the Backstop Order and the Confirmation Order),
the Debtors shall pay or reimburse all reasonable and documented fees and expenses of the Consenting Stakeholders’ Advisors (regardless of whether such fees and expenses were incurred before or after the Petition Date) (A) promptly as they
are incurred, and (B) on the Effective Date for any such fees and expenses that remain outstanding at that time. 

  
 30 

 14. GOVERNING LAW; JURISDICTION; WAIVER OF JURY TRIAL. 

(a) This Agreement and the rights and obligations of the Parties hereunder shall be construed and enforced in accordance with, and the rights
of the Parties shall be governed by, the laws of the State of New York, without giving effect to any conflict of laws principles that would require the application of the laws of any other jurisdiction. 

(b) Each of the Parties irrevocably agrees that any legal action, suit, or proceeding arising out of or relating to this Agreement brought by
any Party shall be brought and determined in the Bankruptcy Court and each of the Parties hereby irrevocably submits to the exclusive jurisdiction of the aforesaid court for itself and with respect to its property, generally and unconditionally,
with regard to any such proceeding arising out of or relating to this Agreement or the Restructuring. Each of the Parties agrees not to commence any proceeding relating to this Agreement or the Restructuring except in the Bankruptcy Court, other
than proceedings in any court of competent jurisdiction to enforce any judgment, decree, or award rendered by the Bankruptcy Court. Each of the Parties further agrees that notice as provided in Section 24 shall constitute
sufficient service of process and the Parties further waive any argument that such service is insufficient. Each of the Parties hereby irrevocably and unconditionally waives, and agrees not to assert, by way of motion or as a defense, counterclaim,
or otherwise, in any proceeding arising out of or relating to this Agreement or the Restructuring, (i) any claim that it is not personally subject to the jurisdiction of the Bankruptcy Court for any reason, (ii) that it or its property is
exempt or immune from the jurisdiction of the Bankruptcy Court or from any legal process commenced in the Bankruptcy Court (whether through service of notice, attachment prior to judgment, attachment in aid of execution of judgment, execution of
judgment, or otherwise), and (iii) that (A) the proceeding in the Bankruptcy Court is brought in an inconvenient forum, (B) the venue of such proceeding is improper, or (C) this Agreement, or the subject matter hereof, may not be
enforced in or by the Bankruptcy Court. 
 (c) EACH PARTY HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY
HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE RESTRUCTURING CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT, OR ANY OTHER THEORY). EACH PARTY (I) CERTIFIES THAT
NO REPRESENTATIVE, AGENT, OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (II) ACKNOWLEDGES THAT IT AND THE OTHER
PARTIES HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 14. 

15. Specific Performance/Remedies. It is understood and agreed by the Parties that money damages would not be a sufficient remedy
for any breach of this Agreement by any Party and each non-breaching Party shall be entitled to seek specific performance and injunctive or other equitable relief as a remedy of any such breach of this
Agreement, without the necessity of proving the inadequacy of money damages as a remedy, including through an order of the Bankruptcy Court or other court of competent jurisdiction requiring any Party to comply promptly with any of its obligations
hereunder. Each Party also agrees that it will not seek, and will waive any requirement for, the securing or posting of a bond in connection with any Party seeking or obtaining such relief. 

  
 31 

 16. Survival. Notwithstanding the termination of this Agreement pursuant to
Section 7, the acknowledgements, agreements, rights, and obligations of the Parties in this Section 16 and Sections 6(a)(xiii), 7, 13 (for purposes of
enforcement of obligations accrued through the Termination Date), 14, 15, 17–21, 23, and 25–29 (and any defined terms used in any such Sections) shall survive such termination and shall continue in full
force and effect in accordance with the terms hereof; provided, however, that any liability of a Party for failure to comply with the terms of this Agreement shall survive such termination. 

17. Headings. The headings of the Sections, paragraphs, and subsections of this Agreement are inserted for convenience only and
shall not affect the interpretation hereof or, for any purpose, be deemed a part of this Agreement. 
 18. Successors and
Assigns; Severability; Several Obligations. This Agreement is intended to bind and inure to the benefit of the Parties and their respective successors, permitted assigns, heirs, executors, administrators, and representatives;
provided, however, that nothing contained in this Section 18 shall be deemed to permit Transfers of Debtor Claims and/or Interests other than in accordance with the express terms of this Agreement. If any
provision of this Agreement, or the application of any such provision to any Person or circumstance, shall be held invalid or unenforceable in whole or in part, such invalidity or unenforceability shall attach only to such provision or circumstance
thereof and any remaining part of such provision hereof, and this Agreement, shall continue in full force and effect so long as the economic or legal substance of the Restructuring Transactions contemplated hereby is not affected in any manner
materially adverse to any Party. Upon any such determination of invalidity, the Parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in a reasonably acceptable
manner in order that the Restructuring Transactions contemplated hereby may be consummated as originally contemplated to the greatest extent possible. Except as expressly provided for herein, the agreements, representations, warranties, and
obligations of the Parties are, in all respects, ratable and several and neither joint nor joint and several. 
 19. No
Third-Party Beneficiaries. Subject to Section 5(b), the terms and provisions of this Agreement are intended solely for the benefit of the Parties hereto and their respective
successors and permitted assigns, and no other Person shall be a third-party beneficiary hereof. 
 20. Prior
Negotiations; Entire Agreement. This Agreement, including the Exhibits and Schedules, constitutes the entire agreement of the Parties with respect to the subject matter hereof and supersedes all other prior
agreements (oral or written), negotiations, and documents between and among the Parties (and their respective advisors) with respect to the subject matter hereof, except that the Parties acknowledge that any confidentiality agreements (if any)
heretofore executed between the Debtors and any Consenting Stakeholder shall continue in full force and effect in accordance with the terms thereof. 

  
 32 

 21. Relationship among Parties. Notwithstanding
anything herein to the contrary, (i) the duties and obligations of the Consenting Stakeholders under this Agreement shall be several and not joint, (ii) no Party shall have any responsibility by virtue of this Agreement for any trading by
any other Person, and (iii) no prior history, pattern, or practice of sharing confidences among or between the Parties shall in any way affect or negate this Agreement. 

22. Relationship among Consenting Stakeholders. Notwithstanding anything herein to the contrary, each Consenting
Stakeholder hereby agrees and acknowledges that (i) this Agreement does not constitute an agreement, arrangement, or understanding with respect to acting together for the purpose of acquiring, holding, voting, or disposing of any equity
securities of the Debtors, and the Consenting Stakeholders do not constitute a “group” within the meaning of Rule 13d-5 under the Exchange Act, (ii) none of the Consenting Stakeholders
shall have any fiduciary duty, any duty of trust or confidence in any form, or other duties or responsibilities in any kind or form to each other, the Debtors, or any of the Debtors’ other lenders, senior noteholders, or stakeholders, including
as a result of this Agreement or the Restructuring Transactions contemplated herein, and (iii) no action taken by any Consenting Stakeholders pursuant to this Agreement shall be deemed to constitute or to create a presumption by any of the
Consenting Stakeholders that the Consenting Stakeholders are in any way acting in concert or as a “group.” 
 23.
Counterparts. This Agreement may be signed in one or more counterparts, each of which shall constitute an original and all of which together shall constitute one and the same agreement. Counterparts of this Agreement, and any
documents delivered pursuant hereto or in connection herewith, may be delivered via facsimile, electronic mail (including any electronic signature covered by the U.S. federal ESIGN Act of 2000, Uniform Electronic Transactions Act, the New York
Electronic Signatures and Records Act, or other applicable law, e.g., www.docusign.com), or other transmission method. Any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all
purposes. 
 24. Notices. All notices hereunder shall be deemed given if in writing and delivered, if contemporaneously sent by
electronic mail, courier, or registered or certified mail (return receipt requested) to the following addresses: 
 (1) If to the Debtors,
to: 
 Diamond Offshore Drilling, Inc. 

15415 Katy Freeway, Suite 100 

Houston, TX 77094 
 Attention:
David Roland 
 With a copy to: 

Paul, Weiss, Rifkind, Wharton & Garrison LLP 

1285 Avenue of the Americas 
 New
York, NY 10019 

  
 33 

 Attention: Paul M. Basta 

(pbasta@paulweiss.com) 
 Robert
A. Britton 
 (rbritton@paulweiss.com) 

Christopher Hopkins 

(chopkins@paulweiss.com) 
 (2) If
to a Consenting Noteholder, or a transferee thereof, to the addresses set forth below the Consenting Noteholder’s signature (or as directed by any transferee thereof), as the case may be, with a copy to: 

Milbank LLP 
 55 Hudson Yards 

New York, NY 10001 
 Attention:
Dennis F. Dunne 
 (ddunne@milbank.com) 

Tyson M. Lomazow 

(tlomazow@milbank.com) 
 Paul
Denaro 
 (pdenaro@milbank.com) 

(3) If to a Consenting RCF Lender, or a transferee thereof, to the addresses set forth below the Consenting RCF Lender’s signature (or as
directed by any transferee thereof), as the case may be, with a copy to: 
 Bracewell LLP 

711 Louisiana Street 
 Suite 2300

 Houston, TX 77002 

Attention: Kate Day 

(kate.day@bracewell.com) 

William A. (Trey) Wood III 

(trey.wood@bracewell.com) 
 Any
notice given by delivery, mail, or courier shall be effective when received. Any notice given by electronic mail shall be effective upon oral, machine, or electronic mail (as applicable) confirmation of transmission (and if not so confirmed, on the
next Business Day following delivery). 
 25. No Solicitation; Representation by Counsel; Adequate Information. 

(a) This Agreement is not and shall not be deemed to be a solicitation for votes in favor of the Plan in the Chapter 11 Cases or a solicitation
of an offer to buy securities, including with respect to the Rights Offerings or the Private Placements. The acceptances of the Consenting Stakeholders with respect to the Plan will not be solicited until such Consenting Stakeholder has received the
Disclosure Statement and, as applicable, related ballots and Solicitation Materials. In addition, this Agreement does not constitute an offer to issue or sell securities to any Person or a solicitation of an offer to acquire or buy securities in any
jurisdiction where such offer or solicitation would be unlawful. 

  
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 (b) Each Party acknowledges that it has had an opportunity to receive information from the
Debtors and that it has been represented by counsel in connection with this Agreement and the Restructuring Transactions contemplated hereby. Accordingly, any rule of law or any legal decision that would provide any Party with a defense to the
enforcement of the terms of this Agreement against such Party based upon the lack of legal counsel shall have no application and is expressly waived. 

(c) Each Consenting Stakeholder acknowledges, agrees, and represents to the other Parties that it (i) is an “accredited
investor” as such term is defined in Rule 501 of Regulation D of the Securities Act or a “qualified institutional buyer” as such term is defined in Rule 144A of the Securities Act, (ii) understands that if it is to acquire any
securities, as defined in the Securities Act, pursuant to the Restructuring, such securities have not been registered under the Securities Act and that such securities are, to the extent not offered, solicited, or acquired pursuant to
section 1145 of the Bankruptcy Code, being offered and sold pursuant to an exemption from registration contained in the Securities Act, based in part upon such Consenting Stakeholder’s representations contained in this Agreement and cannot
be sold unless subsequently registered under the Securities Act or an exemption from registration is available, and (iii) has such knowledge and experience in financial and business matters to properly evaluate the terms and conditions of this
Agreement and the Restructuring and understands the economic risks of such investment. 
 26. Time. In computing any period of
time prescribed or allowed by the Plan, unless otherwise set forth in the Plan or determined by the Bankruptcy Court, the provisions of Bankruptcy Rule 9006 shall apply. 

27. No Waiver of Participation and Preservation of Rights. Except as provided in this Agreement,
nothing herein is intended to, does, or shall be deemed in any manner to waive, limit, impair, or restrict the ability of each of the Parties to protect and preserve its rights, remedies, and interests, including any Claims, liens, or security
interests it may have in or against any assets of the Debtors. Without limiting the foregoing sentence in any way, if this Agreement is terminated in accordance with its terms for any reason (other than the consummation of the Restructuring), the
Parties each fully and expressly reserve any and all of their respective rights, remedies, Claims, defenses, and interests, in the case of any Claim for breach of this Agreement arising prior to the Termination Date. 

28. Settlement Discussions. This Agreement is part of a proposed settlement of matters that could otherwise be the
subject of litigation among the Parties. Nothing herein (including the Exhibits and Schedules) shall be construed as or be deemed to be evidence of an admission or concession of any kind on the part of any Party for any Claim, fault, liability, or
damages whatsoever. Each of the Parties denies any and all wrongdoing or liability of any kind and does not concede any infirmity in the Claims or defenses that it has asserted or could assert. Pursuant to Rule 408 of the Federal Rules of Evidence,
any applicable state rules of evidence, and any other applicable law, foreign or domestic, this Agreement and all negotiations relating hereto shall not be admissible into evidence in any proceeding other than to prove the existence of this
Agreement or in a proceeding to enforce the terms of this Agreement. 

  
 35 

 29. Miscellaneous. This Agreement is the product of negotiations among the
Parties, and the enforcement or interpretation of this Agreement is to be interpreted in a neutral manner. Any presumption with regard to interpretation for or against any Party by reason of that Party having drafted or caused to be drafted this
Agreement or any portion of this Agreement shall not be effective in regard to the interpretation of this Agreement. When a reference is made in this Agreement to an exhibit or schedule, such reference shall be to the Exhibits and Schedules attached
to this Agreement unless otherwise indicated. Where a written consent, acceptance, approval, or waiver is required pursuant to or contemplated by this Agreement, such written consent, acceptance, approval, or waiver shall be deemed to have occurred
if it is conveyed in writing (including electronic mail) between each such counsel to the Parties submitting and receiving such consent, acceptance, approval, or waiver, without representations or warranties of any kind on behalf of such counsel.

 30. Fiduciary Duty. Notwithstanding anything to the contrary herein, nothing in this Agreement, the Plan, or any of the
Definitive Documents shall require any Debtor or any board of directors, board of managers, or similar governing body of any Debtor, upon the advice of counsel, to take any action or to refrain from taking any action with respect to the
Restructuring to the extent that taking or failing to take such action would be inconsistent with applicable law or its fiduciary obligations under applicable law, and any such action or inaction pursuant to this Section 30
shall not be deemed to constitute a breach of this Agreement, the Plan, or any of the Definitive Documents. The Debtors may terminate this Agreement, the Plan, or any of the Definitive Documents if the board of directors, board of managers, or
similar governing body of any Debtor determines, upon the advice of counsel, that proceeding with the Restructuring would be inconsistent with the exercise of its fiduciary duties or applicable law. The Debtors shall provide three (3) Business
Days’ notice to the extent reasonably practicable to the Consenting Stakeholders prior to taking any action or refraining from taking any action in reliance on this Section 30. The Consenting Stakeholders reserve their
rights to challenge any exercise of fiduciary duties by any Debtor or any board of directors, board of managers, or similar governing body of any Debtor pursuant to this Section 30. 

[Signature Pages Follow] 

  
 36 

 [Signature Pages Omitted] 

 EXHIBIT A 

DEBTORS 
 Diamond Offshore Drilling, Inc.

 Diamond Offshore International Limited 
 Diamond Offshore
Finance Company 
 Diamond Offshore General Company 
 Diamond
Offshore Company 
 Diamond Offshore Drilling (UK) Limited 

Diamond Offshore Services Company 
 Diamond Offshore Limited 

Diamond Rig Investments Limited 
 Diamond Offshore Development
Company 
 Diamond Offshore Management Company 
 Diamond
Offshore (Brazil) L.L.C. 
 Diamond Offshore Holding, L.L.C. 

Arethusa Off-Shore Company 

Diamond Foreign Asset Company 

 EXHIBIT B 

PLAN 

 IN THE UNITED STATES BANKRUPTCY COURT 

FOR THE SOUTHERN DISTRICT OF TEXAS 

HOUSTON DIVISION 
  

					
	 	 	)	  	
	In re:	 	)	  	
		 	)	  	Chapter 11
		 	)	  	
	DIAMOND OFFSHORE DRILLING, INC., et al.,1	 	)	  	Case No. 20-32307 (DRJ)
		 	)	  	
	Debtors.                                   
         	 	)	  	(Jointly Administered)
	 	 	)	  	

 JOINT CHAPTER 11 PLAN OF REORGANIZATION OF DIAMOND OFFSHORE 

DRILLING, INC. AND ITS DEBTOR AFFILIATES 
  

	
	THIS CHAPTER 11 PLAN IS BEING SOLICITED FOR ACCEPTANCE OR REJECTION IN ACCORDANCE WITH SECTION 1125 OF THE BANKRUPTCY CODE AND WITHIN THE MEANING OF SECTION
1126 OF THE BANKRUPTCY CODE.

  

			
	 PAUL, WEISS, RIFKIND, WHARTON & GARRISON LLP
	  	PORTER HEDGES LLP
	Paul M. Basta	  	John F. Higgins
	Robert A. Britton	  	Eric M. English
	Christopher J. Hopkins	  	M. Shane Johnson
	Alice Nofzinger	  	1000 Main St., 36th Floor
	Shamara R. James	  	Houston, Texas 77002
	1285 Avenue of the Americas	  	Telephone: (713) 226-6000
	New York, New York 10019	  	Facsimile: (713) 226-6248
	Telephone: (212) 373-3000	  	
	Facsimile: (212) 757-3990	  	

 Co-Counsel for Debtors and Debtors-in-Possession Co-Counsel for Debtors and
Debtors-in-Possession 

Dated:  January 22, 2021 

 

	1 	 The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax
identification number, as applicable, are: Diamond Offshore Drilling, Inc. (1760), Diamond Offshore International Limited (4671), Diamond Offshore Finance Company (0712), Diamond Offshore General Company (0474), Diamond Offshore Company (3301),
Diamond Offshore Drilling (UK) Limited (1866), Diamond Offshore Services Company (3352), Diamond Offshore Limited (4648), Diamond Rig Investments Limited (7975), Diamond Offshore Development Company (9626), Diamond Offshore Management Company
(0049), Diamond Offshore (Brazil) L.L.C. (9572), Diamond Offshore Holding, L.L.C. (4624), Arethusa Off-Shore Company (5319), Diamond Foreign Asset Company (1496). The Debtors’ primary headquarters, and
mailing address is 15415 Katy Freeway, Houston, TX 77094. 

 TABLE OF CONTENTS 

 

							
	 	  	Page	 
	 ARTICLE I. DEFINED TERMS, RULES OF INTERPRETATION, COMPUTATION OF TIME AND GOVERNING
LAWS
	  	 	1	
	 A.
	  	Defined Terms	  	 	1	
	 B.
	  	Rules of Interpretation	  	 	23	
	 C.
	  	Computation of Time	  	 	24	
	 D.
	  	Governing Laws	  	 	24	
	 E.
	  	Reference to Monetary Figures	  	 	24	
	 F.
	  	Certain Consent Rights	  	 	24	
	 G.
	  	Reference to the Debtors or the Reorganized Debtors	  	 	25	
	 H.
	  	Controlling Document	  	 	25	
		
	 ARTICLE II. ADMINISTRATIVE, PRIORITY CLAIMS, AND STATUTORY FEES
	  	 	25	
	 A.
	  	Administrative Claims	  	 	25	
	 B.
	  	Accrued Professional Compensation Claims	  	 	26	
	 C.
	  	Priority Tax Claims	  	 	27	
	 D.
	  	Statutory Fees	  	 	28	
		
	 ARTICLE III. CLASSIFICATION AND TREATMENT OF CLAIMS AND INTERESTS
	  	 	28	
	 A.
	  	Summary of Classification	  	 	28	
	 B.
	  	Treatment of Claims and Interests	  	 	29	
	 C.
	  	Confirmation Pursuant to Sections 1129(a)(10) and 1129(b) of the Bankruptcy Code	  	 	34	
	 D.
	  	No Substantive Consolidation	  	 	34	
	 E.
	  	Allowance of Senior Notes Claims	  	 	34	
	 F.
	  	Allowance of RCF Claims	  	 	35	
	 G.
	  	Special Provision Governing Unimpaired Claims or Interests	  	 	35	
	 H.
	  	Elimination of Vacant Classes	  	 	35	
	 I.
	  	Acceptance by Impaired Classes	  	 	35	
	 J.
	  	Voting Classes; Presumed Acceptance by Non-Voting Classes	  	 	35	
	 K.
	  	Presumed Acceptance of this Plan	  	 	35	
	 L.
	  	Controversy Concerning Impairment	  	 	35	
	 M.
	  	Intercompany Interests	  	 	36	
	 N.
	  	Relative Rights and Priorities	  	 	36	
		
	 ARTICLE IV. MEANS FOR IMPLEMENTATION OF THIS PLAN
	  	 	36	
	 A.
	  	General Settlement of Claims and Interests	  	 	36	
	 B.
	  	Restructuring Transactions	  	 	36	
	 C.
	  	Cancellation of Certain Existing Security Interests	  	 	38	
	 D.
	  	Sources of Consideration for Plan Distributions	  	 	39	
	 E.
	  	Commitment Premium	  	 	42	
	 F.
	  	Issuance and Distribution of New Securities; Execution of Plan Documents	  	 	42	
	 G.
	  	Corporate Existence	  	 	42	
	 H.
	  	Exemption from Registration	  	 	43	
	 I.
	  	Vesting of Assets in the Reorganized Debtors	  	 	44	
	 J.
	  	Cancellation of Existing Securities and Agreements	  	 	44	
	 K.
	  	Corporate Action	  	 	46	
	 L.
	  	New Organizational Documents	  	 	47	
	 M.
	  	Directors and Officers of the Reorganized Debtors	  	 	47	
	 N.
	  	Effectuating Documents; Further Transactions	  	 	47	
	 O.
	  	Exemption from Certain Taxes and Fees	  	 	48	
	 P.
	  	Insured Claims	  	 	48	
	 Q.
	  	Preservation of Causes of Action	  	 	48	

  
 ii 

							
	 R.
	  	Director and Officer Liability Insurance	  	 	48	
	 S.
	  	Management Incentive Plan	  	 	48	
	 T.
	  	Deferred Payment	  	 	49	
	 U.
	  	Employee Arrangements of the Reorganized Debtors	  	 	50	
	 V.
	  	Restructuring Expenses	  	 	51	
	 W.
	  	Ordinary Course Professionals	  	 	51	
	 X.
	  	Reporting Company	  	 	51	
	 Y.
	  	Notice of Effective Date	  	 	51	
		
	 ARTICLE V. TREATMENT OF EXECUTORY CONTRACTS AND UNEXPIRED LEASES
	  	 	51	
	 A.
	  	Assumption and Rejection of Executory Contracts and Unexpired Leases	  	 	51	
	 B.
	  	Claims Based on Rejection of Executory Contracts and Unexpired Leases	  	 	52	
	 C.
	  	Cure of Defaults for Assumed Executory Contracts and Unexpired Leases	  	 	53	
	 D.
	  	Payments Related to Assumption of Executory Contracts and Unexpired Leases	  	 	54	
	 E.
	  	Preexisting Obligations to the Debtors under Executory Contracts and Unexpired Leases	  	 	54	 
	 F.
	  	Indemnification Obligations	  	 	54	
	 G.
	  	Insurance Policies	  	 	55	
	 H.
	  	Modifications, Amendments, Supplements, Restatements or Other Agreements	  	 	55	
	 I.
	  	Contracts and Leases Entered into after the Petition Date	  	 	55	
	 J.
	  	PCbtH Contracts	  	 	55	 
	 K.
	  	Reservation of Rights	  	 	56	
		
	 ARTICLE VI. PROCEDURES FOR DISPUTED CLAIMS AND/OR INTERESTS
	  	 	56	
	 A.
	  	Disputed Claims Process	  	 	56	
	 B.
	  	Disputed and Contingent Claims Reserve	  	 	57	
	 C.
	  	Objections to Claims	  	 	57	
	 D.
	  	Reinstatement of Claims	  	 	58	
	 E.
	  	Estimation of Claims or Interests	  	 	58	
	 F.
	  	Adjustment to Claims without Objection	  	 	58	
	 G.
	  	Disallowance of Claims or Interests	  	 	59	
	 H.
	  	Single Satisfaction Rule	  	 	59	
	 I.
	  	Omnibus Objection Procedures Cumulative	  	 	60	
		
	 ARTICLE VII. PROVISIONS GOVERNING DISTRIBUTIONS
	  	 	60	
	 A.
	  	Distributions Generally	  	 	60	
	 B.
	  	Distribution Record Date	  	 	60	
	 C.
	  	Timing and Calculation of Amounts to Be Distributed	  	 	60	
	 D.
	  	Disbursing Agent	  	 	61	
	 E.
	  	Rights and Powers of Disbursing Agent	  	 	61	
	 F.
	  	Expenses of Disbursing Agent	  	 	61	
	 G.
	  	No Post-petition Interest on Claims	  	 	62	
	 H.
	  	Delivery of Distributions	  	 	62	
	 I.
	  	Securities Registration Exemption	  	 	63	
	 J.
	  	Compliance with Tax Requirements and Allocation of Distribution	  	 	64	
	 K.
	  	Distributions after Effective Date	  	 	65	
	 L.
	  	Unclaimed Property	  	 	65	
	 M.
	  	Satisfaction of Claims	  	 	65	
	 N.
	  	Fractional Shares and De Minimis Cash Distributions	  	 	65	
	 O.
	  	Setoffs	  	 	66	
	 P.
	  	Claims Paid or Payable by Third Parties	  	 	66	
	 Q.
	  	Hart-Scott-Rodino Antitrust Improvements Act	  	 	67	
		
	 ARTICLE VIII. RELEASE, INJUNCTION AND RELATED PROVISIONS
	  	 	67	
	 A.
	  	Discharge of Claims and Termination of Interests	  	 	67	
	 B.
	  	Release of Liens	  	 	67	
	 C.
	  	Debtor Release	  	 	68	

  
 iii 

							
	 D.
	  	Third-Party Release	  	 	69	
	 E.
	  	Exculpation	  	 	71	
	 F.
	  	Injunction	  	 	71	
	 G.
	  	Waiver of Statutory Limitations on Releases	  	 	72	
	 H.
	  	Protection against Discriminatory Treatment	  	 	73	
	 I.
	  	Release of Preference Actions	  	 	73	
	 J.
	  	Special Provision Governing Accrued Professional Compensation Claims and Final Fee Applications	  	 	73	
		
	 ARTICLE IX. CONDITIONS PRECEDENT TO CONSUMMATION OF THIS PLAN
	  	 	73	
	 A.
	  	Conditions Precedent to the Effective Date	  	 	73	
	 B.
	  	Waiver of Conditions	  	 	75	
	 C.
	  	Substantial Consummation	  	 	75	
	 D.
	  	Effect of Failure of a Condition	  	 	75	
		
	 ARTICLE X. MODIFICATION, REVOCATION, OR WITHDRAWAL OF THIS PLAN
	  	 	76	
	 A.
	  	Modification and Amendments	  	 	76	
	 B.
	  	Effect of Confirmation on Modifications	  	 	76	
	 C.
	  	Revocation or Withdrawal of This Plan	  	 	76	
		
	 ARTICLE XI. RETENTION OF JURISDICTION
	  	 	77	
		
	 ARTICLE XII. MISCELLANEOUS PROVISIONS
	  	 	80	
	 A.
	  	Immediate Binding Effect	  	 	80	
	 B.
	  	Additional Documents	  	 	80	
	 C.
	  	Reservation of Rights	  	 	80	
	 D.
	  	Successors and Assigns	  	 	80	
	 E.
	  	Service of Documents	  	 	81	
	 F.
	  	Term of Injunctions or Stays	  	 	82	
	 G.
	  	Entire Agreement	  	 	83	
	 H.
	  	Exhibits	  	 	83	
	 I.
	  	Deemed Acts	  	 	83	
	 J.
	  	Severability of Plan Provisions	  	 	83	
	 K.
	  	Votes Solicited in Good Faith	  	 	84	
	 L.
	  	Request for Expedited Determination of Taxes	  	 	84	
	 M.
	  	No Waiver or Estoppel	  	 	84	
	 N.
	  	Dissolution of the Committee	  	 	84	
	 O.
	  	Closing of Chapter 11 Cases	  	 	85	

  
 iv 

 INTRODUCTION 

Diamond Offshore Drilling, Inc. (“Diamond Offshore”), Diamond Offshore International Limited, Diamond Offshore Finance
Company, Diamond Offshore General Company, Diamond Offshore Company, Diamond Offshore Drilling (UK) Limited, Diamond Offshore Services Company, Diamond Offshore Limited, Diamond Rig Investments Limited, Diamond Offshore Development Company, Diamond
Offshore Management Company, Diamond Offshore (Brazil) L.L.C., Diamond Offshore Holding, L.L.C., Arethusa Off-Shore Company, and Diamond Foreign Asset Company (each, a “Debtor” and,
collectively, the “Debtors”) propose the following joint chapter 11 plan of reorganization pursuant to section 1121(a) of the Bankruptcy Code. Although proposed jointly for administrative purposes, this Plan constitutes a
separate Plan for each Debtor. Capitalized terms used herein shall have the meanings set forth in Article I.A. 

Holders of Claims and Interests may refer to the Disclosure Statement for a description of the Debtors’ history, business, assets,
results of operations, historical financial information and projections of future operations, as well as a summary and description of this Plan and the Restructuring Transactions contemplated thereby. Each Debtor is a proponent of this Plan within
the meaning of section 1129 of the Bankruptcy Code. 
 ALL HOLDERS OF CLAIMS AND INTERESTS, AS APPLICABLE, ARE ENCOURAGED TO READ THIS
PLAN, THE DISCLOSURE STATEMENT, AND THE PLAN SUPPORT AGREEMENT IN THEIR ENTIRETY BEFORE VOTING TO ACCEPT OR REJECT THIS PLAN. 

ARTICLE I. 
 DEFINED
TERMS, RULES OF INTERPRETATION, 
 COMPUTATION OF TIME AND GOVERNING LAWS 

 

	A.	 Defined Terms 

As used in this Plan or the Confirmation Order, capitalized terms have the meanings set forth below. Any term used in this Plan that is not
defined herein or in the Confirmation Order, but that is defined in the Bankruptcy Code or the Bankruptcy Rules, shall have the meaning ascribed to that term in the Bankruptcy Code or the Bankruptcy Rules. 

1. “2023 Notes” means those certain 3.45% Senior Notes due 2023 under the Base Indenture and the Eighth
Supplemental Indenture. 
 2. “2025 Notes” means those certain 7.875% Senior Notes due 2025 under the Base
Indenture and the Ninth Supplemental Indenture. 
 3. “2039 Notes” means those certain 5.70% Senior Notes
due 2039 under the Base Indenture and the Seventh Supplemental Indenture. 
 4. “2043 Notes” means those
certain 4.875% Senior Notes due 2043 under the Base Indenture and the Eighth Supplemental Indenture. 

 5. “Accrued Professional Compensation Claims” means Claims
for all accrued, contingent or unpaid fees and expenses (including success fees) for legal, financial advisory, accounting and other services and reimbursement of expenses of the Professionals that are awardable and allowable under
sections 327, 328, 330, 331, 503(b), or 1103 of the Bankruptcy Code or otherwise incurred before the Effective Date and Allowed before or after the Effective Date. To the extent that the Bankruptcy Court or any higher court of competent
jurisdiction denies or reduces by a Final Order any amount of a Professional’s fees or expenses, or the Professional otherwise agrees to reduce its fees and expenses, then those reduced or denied amounts shall no longer constitute Accrued
Professional Compensation Claims. 
 6. “Ad Hoc Group” means that certain group of Holders of Senior Notes
represented by the Consenting Noteholders’ Advisors. 
 7. “Administrative Claim” means a Claim for
costs and expenses of administration of the Debtors’ Estates pursuant to sections 503(b), 507(a)(2), 507(b), or 1114(e)(2) of the Bankruptcy Code, including: (a) the actual and necessary costs and expenses incurred after the Petition
Date and through the Effective Date of preserving the Estates and operating the business of the Debtors; (b) the Accrued Professional Compensation Claims; (c) the Restructuring Expenses; (d) the Statutory Fees; and (e) all
payments afforded administrative expense treatment under the Backstop Agreement, including the Commitment Premium. 
 8.
“Administrative Claims Bar Date” means the deadline for Filing proofs of or requests for payment of Administrative Claims, which shall be 30 days after the Effective Date, unless otherwise ordered by the Bankruptcy Court, and except
with respect to Accrued Professional Compensation Claims and Restructuring Expenses, which shall be subject to the provisions of Article II.B and Article IV.V, respectively, hereof. 

9. “Administrative Expense Account” means the Administrative Expense Account established pursuant to the
Final Order (I) Authorizing Use of the Debtors’ Existing Cash Management System; (II) Authorizing and Directing Banks and Financial Institutions to Honor and Process Checks and Transfers;
(III) Authorizing Continued Use and Satisfaction of Intercompany Transactions; (IV) Authorizing the Debtors’ Use of Existing Bank Accounts and Existing Business Forms;
(V) Granting Adequate Protection; and (VI) Granting Related Relief [Docket No. 465]. 

10. “Affiliate” has the meaning set forth in section 101(2) of the Bankruptcy Code. 

11. “Allowed” means, for distribution purposes, a Claim or Interest, or any portion thereof, or a particular
class of Claims or Interests (a) that has been Allowed by a Final Order of the Bankruptcy Court (or such other court as the Reorganized Debtor and the Holder of such Claim or Interest agree may adjudicate such Claim or Interest and any
objections thereto), (b) which is not the subject of a Proof of Claim timely Filed with the Bankruptcy Court solely to the extent that such Claim or Interest is scheduled as liquidated, undisputed and
non-contingent, (c) for which a Proof of Claim in a liquidated amount has 

  
 2 

 
been timely Filed with the Bankruptcy Court pursuant to the Bankruptcy Code, any Final Order of the Bankruptcy Court or other applicable bankruptcy law, and as to which (i) no objection to
its allowance has been Filed within the periods of limitation fixed by this Plan, the Confirmation Order, the Bankruptcy Code or by any Order of the Bankruptcy Court, or (ii) any objection to its allowance has been settled or withdrawn, or has
been denied by a Final Order of the Bankruptcy Court, or (d) that is expressly allowed in a liquidated amount pursuant to this Plan or the Confirmation Order. Notwithstanding the foregoing, any Disputed Claim or Disputed Interest that is
Reinstated pursuant to Article III of this Plan shall not be deemed Allowed until such Disputed Claim is liquidated pursuant to a Final Order of the Bankruptcy Court or such other court as the Reorganized Debtor and the
Holder of such Claim or Interest agree may adjudicate such Claim or Interest and any objections, litigation, or proceeding related thereto. Notwithstanding anything to the contrary contained herein, no Claim that is Disallowed in accordance with
Bankruptcy Rule 3003 or section 502(d) of the Bankruptcy Code is Allowed. 
 12. “Alternative Restructuring”
means, other than the Restructuring Transactions, any new money investment, restructuring, reorganization, merger, amalgamation, acquisition, consolidation, dissolution, winding up, assignment for the benefit of creditors, transaction, debt
investment, equity investment, joint venture, partnership, sale, plan proposal, liquidation, tender offer, recapitalization, plan of reorganization, share exchange, business combination, or similar transaction involving all or substantially all of
the business or assets of the Company, one or more material business units of the Company or a material portion thereof, or the debt, equity, or other interests in any one or more of the Debtors. 

13. “Antitrust and Foreign Investment Approvals” means any notification, authorization, approval, consent,
filing, application, non-objection, expiration, or termination of applicable waiting period (including any extension thereof), exemption, determination of lack of jurisdiction, waiver, variance, filing,
permission, qualification, registration, or notification required under any Antitrust and Foreign Investment Laws. 
 14.
“Antitrust and Foreign Investment Laws” means any Law governing foreign investment, agreements in restraint of trade, monopolization, merger or pre-merger notification, or the lessening of
competition through merger, acquisition, or anti-competitive conduct, including the Sherman Act, as amended, the Clayton Act, as amended, the HSR Act, and the Federal Trade Commission Act, and any other applicable federal, state, national, or
foreign laws. 
 15. “Assumption Dispute” means an unresolved objection regarding assumption, Cure Amount,
“adequate assurance of future performance” (within the meaning of section 365 of the Bankruptcy Code), or other issues relating to the assumption of any Executory Contracts and Unexpired Leases. 

16. “Avoidance Actions” means any and all actual or potential Claims and Causes of Action to avoid a transfer
of property or an obligation incurred by the Debtors and any recovery, subordination, or other remedies that may be brought by and on behalf of the Debtors and their Estates arising under chapter 5 of the Bankruptcy Code, including actions or
remedies under sections 502, 510, 542, 543, 544, 545, 547, 548, 549, 550, 551, 553(b), and 724(a) of the Bankruptcy Code or under similar or related state, federal, or foreign statutes and common law, including fraudulent transfer laws. 

  
 3 

 17. “Backstop Agreement” means the backstop and private
placement agreement memorializing the backstop of the Rights Offerings by the Commitment Parties and the investment of the Private Placements by the Private Placement Investors substantially in the form attached as Exhibit C to the Plan Support
Agreement, with such modifications, amendments, or supplements as are permitted under the terms thereof and the Plan Support Agreement, on terms reasonably acceptable to the Debtors, the Requisite Financing Parties, and the Requisite Consenting
Stakeholders. 
 18. “Backstop Order” means an Order of the Bankruptcy Court approving the Backstop
Agreement, the Commitment Letter, and the Fee Letters and authorizing the Debtors to perform thereunder, in form and substance reasonably acceptable to the Requisite Financing Parties, the Debtors, and the Requisite Consenting Stakeholders. 

19. “Ballots” means the ballots accompanying the Disclosure Statement upon which Holders of Impaired Claims or
Interests entitled to vote may, among other things, indicate their acceptance or rejection of this Plan in accordance with the procedures governing the solicitation process and, if they vote to reject this Plan, whether they elect to opt out of the
release granted pursuant to Article VIII.D of this Plan, and which must be actually received by the Notice and Claims Agent on or before the Voting Deadline. 

20. “Bankruptcy Code” means title 11 of the United States Code, 11 U.S.C. §§ 101 et
seq., as may be amended from time to time. 
 21. “Bankruptcy Court” means the United States Bankruptcy
Court for the Southern District of Texas having jurisdiction over the Chapter 11 Cases and, if any reference is made under section 157 of title 28 of the United States Code or the Bankruptcy Court is determined not to have authority to enter a
Final Order on an issue, the unit of such District Court having jurisdiction over the Chapter 11 Cases under section 151 of title 28 of the United States Code. 

22. “Bankruptcy Rules” means the Federal Rules of Bankruptcy Procedure, as applicable to the Chapter 11
Cases, promulgated under section 2075 of title 28 of the United States Code, and the general, local, and chambers rules of the Bankruptcy Court, as may be amended from time to time 

23. “Bar Date Order” means the Order entered by the Bankruptcy Court on July 13, 2020 [Docket
No. 496] and any subsequent Order supplementing such Order or relating thereto. 
 24. “Base Indenture”
means that certain base indenture, as may be amended, supplemented, or otherwise modified from time to time, dated February 4, 1997, by and among Diamond Offshore, as issuer, and the Chase Manhattan Bank, as trustee. 

  
 4 

 25. “Business Day” means any day other than a Saturday,
Sunday, or any other day on which banking institutions in New York, New York or Houston, Texas are authorized or required by law or executive order to close. 

26. “Cash” means the legal tender of the United States of America and equivalents thereof. 

27. “Cause of Action” means any action, Claim, cross-claim, third-party claim, cause of action, controversy,
dispute, demand, right, lien, indemnity, contribution, guaranty, suit, obligation, Liability, loss, debt, fee or expense, damage, interest, judgment, cost, account, defense, remedy, right to payment, offset, power, promise, privilege, proceeding,
license, or franchise of any kind or character whatsoever, known or unknown, foreseen or unforeseen, existing or hereafter arising, contingent or non-contingent, matured or unmatured, suspected or unsuspected,
liquidated or unliquidated, reduced to judgment or not reduced to judgment, disputed or undisputed, Secured or unsecured, assertable directly or derivatively (including any theories of veil piercing, alter ego, or joint or several liability),
whether arising before, on, or after the Petition Date, in contract or in tort, in law or in equity or pursuant to any other theory of law (including under any state or federal tort, contract, or securities laws) that the Debtors, the Reorganized
Debtors, their Estates, or their Affiliates would be or would have been legally entitled to assert in their own right (whether individually or collectively) or on behalf of any Holder of any Claim against, or Interest in, any Debtor or other Entity,
or that any Holder of any Claim against, or Interest in, a Debtor or other Entity could have asserted on behalf of the Debtors, based on or relating to any act, omission, transaction, event, or other occurrence taking place on or prior to the
Effective Date. For the avoidance of doubt, Cause of Action also includes (a) any right of setoff, counterclaim, or recoupment and any Claim for breach of contract or for breach of duties imposed by law or in equity, (b) the right to
object to Claims or Interests, (c) any Claim pursuant to section 362 or chapter 5 of the Bankruptcy Code, (d) any Claim or defense including fraud, mistake, duress, and usury and any other defenses set forth in section 558 of the
Bankruptcy Code, and (e) any Avoidance Action or state law fraudulent transfer claim. 
 28.
“Certificate” means any instrument evidencing a Claim or an Interest. 
 29.
“Chapter 11 Cases” means the procedurally consolidated chapter 11 cases pending for the Debtors in the Bankruptcy Court. 

30. “Claim” means any claim against the Debtors, as that term is defined in section 101(5) of the
Bankruptcy Code. 
 31. “Claims Bar Date” means the deadlines set by the Bankruptcy Court pursuant to the
Bar Date Order or other Final Order for filing Proofs of Claim in these Chapter 11 Cases. 
 32. “Claims Objection
Deadline” means, as applicable (except for Administrative Claims), (a) the day that is the later of the First Business Day that is at least 180 days after the Effective Date or (b) such later date as may be established by the
Bankruptcy Court upon request of the Reorganized Debtors. 

  
 5 

 33. “Claims Register” means the official register of Claims
against the Debtors maintained by the Notice and Claims Agent. 
 34. “Class” means a category of Holders of
Claims or Interests classified together, as set forth in Article III of this Plan pursuant to section 1122(a) and 1123(a)(1) of the Bankruptcy Code. 

35. “Collateral Trustee” means Wilmington Savings Fund Society, FSB, as collateral trustee under the Exit
Notes Indenture. 
 36. “Commitment Letter” means the Commitment Letter between the Debtors and the
Commitment Parties thereto, attached as Exhibit E to the Plan Support Agreement. 
 37. “Commitment Parties”
has the meaning set forth in the Backstop Agreement. 
 38. “Commitment Premium” has the meaning set forth
in Article IV.E of this Plan. 
 39. “Commitment Premium Exit Notes” has the
meaning set forth in Article IV.E of this Plan. 
 40. “Committee” means the official committee of
unsecured creditors appointed in these Chapter 11 Cases pursuant to section 1102(a) of the Bankruptcy Code, as later reconstituted from time to time [Docket Nos. 147, 357, and 588] and as may be further reconstituted from time to time. 

41. “Company” means the Debtors and their Non-Debtor Affiliates. 

42. “Confirmation” means the entry, within the meaning of Bankruptcy Rules 5003 and 9012, of the Confirmation
Order on the docket of the Chapter 11 Cases. 
 43. “Confirmation Date” means the date upon which the
Bankruptcy Court enters the Confirmation Order on the docket of the Chapter 11 Cases, within the meaning of Bankruptcy Rules 5003 and 9021. 

44. “Confirmation Hearing” means the hearing to be held by the Bankruptcy Court to consider Confirmation of
this Plan pursuant to section 1129 of the Bankruptcy Code, as such hearing may be adjourned or continued from time to time. 

45. “Confirmation Order” means an Order of the Bankruptcy Court confirming this Plan in the Chapter 11 Cases
under section 1129 of the Bankruptcy Code, on terms reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

46. “Consenting Noteholders” has the meaning set forth in the Plan Support Agreement. 

  
 6 

 47. “Consenting Noteholders’ Advisors”
means, collectively, the Consenting Noteholders’ Counsel, Evercore Group L.L.C., as financial advisor, Norton Rose Fulbright US LLP, and DNB Markets (a part of DNB Bank ASA). 

48. “Consenting Noteholders’ Counsel” means Milbank LLP, in its capacity as counsel to the
Ad Hoc Group. 
 49. “Consenting RCF Lender” has the meaning set forth in the Plan Support Agreement. 

50. “Consenting RCF Lenders’ Advisors” means, collectively, the Consenting RCF
Lenders’ Counsel, FTI Consulting, Inc., and Mourant Ozannes. 
 51. “Consenting RCF Lenders’
Counsel” means Bracewell LLP. 
 52. “Consenting Stakeholders” means, together, the Consenting RCF
Lenders and the Consenting Noteholders. 
 53. “Consenting Stakeholders’ Advisors” means,
together, the Consenting Noteholders’ Advisors and the Consenting RCF Lenders’ Advisors. 
 54. “Consenting
Stakeholders’ Counsel” means, together, the Consenting Noteholders’ Counsel and the Consenting RCF Lenders’ Counsel. 

55. “Consummation” means the occurrence of the Effective Date. 

56. “CSA” means that certain Contractual Service Agreement between Diamond Offshore Company and Hydril, dated
as of February 5, 2016. 
 57. “Cure Amount” means the payment of Cash or the distribution of other
property (as the Debtors or the Reorganized Debtors (or the cure of any non-monetary defaults to the extent required, if at all), as applicable, (subject to the consent of the Requisite Consenting
Stakeholders), and the counterparty to any such Executory Contracts and Unexpired Leases may agree or the Bankruptcy Court may order), as necessary to satisfy a Cure Claim. 

58. “Cure Claim” means any monetary Claim based upon the Debtors’ defaults under any Executory Contracts
and Unexpired Leases at the time such contract or lease is assumed by the Debtors pursuant to section 365 of the Bankruptcy Code, other than a default that is not required to be cured pursuant to section 365(b)(2) of the Bankruptcy Code. 

59. “Cure Notice” means the notice of the proposed Cure Amount provided to counterparties to assumed Executory
Contracts and Unexpired Leases pursuant to Article V.C of this Plan. 
 60. “D&O Liability Insurance
Policies” means all insurance policies that cover current or former directors’, members’, managers’, and officers’ liability issued at any time to or providing coverage to, or for the benefit of, the Debtors, and all
agreements, documents or instruments relating thereto (including any “tail policy”) in effect or purchased on or prior to the Effective Date. 

  
 7 

 61. “Debtors” has the meaning set forth in the preamble
hereof. 
 62. “Deferred Payment” has the meaning set forth in the KEIP Order. 

63. “Delayed Draw Notes” means $35 million of Exit Notes committed to but unfunded as of the Effective
Date, pursuant to the Delayed Draw Private Placement and the Delayed Draw Rights Offering. 
 64. “Delayed Draw
Private Placement” has the meaning set forth in the Backstop Agreement. 
 65. “Delayed Draw Private
Placement Stapled Securities” has the meaning set forth in the Backstop Agreement. 
 66. “Delayed Draw
Rights Offering” has the meaning set forth in the Backstop Agreement. 
 67. “Delayed Draw Rights Offerings
Documents” has the meaning set forth in the Plan Support Agreement. 
 68. “Disallowed” means
(a) a Claim or Interest, or any portion thereof, that has been disallowed by a Final Order or a settlement, or as provided in this Plan or the Confirmation Order, (b) a Claim or Interest or any portion thereof that is not scheduled or that
is scheduled at zero or as contingent, Disputed, or unliquidated and as to which a bar date has been established but no Proof of Claim has been timely Filed or deemed timely Filed with the Bankruptcy Court pursuant to either the Bankruptcy Code or
any Final Order of the Bankruptcy Court or otherwise deemed timely Filed under applicable Law, or (c) a Claim or Interest or any portion thereof that is not Allowed. 

69. “Disbursing Agent” means any Entity (including any applicable Debtor or Reorganized Debtor if it acts in
such capacity) in its capacity as a disbursing agent under Article VII of this Plan; provided, however, that with respect to the Senior Notes, the Senior Notes Trustee shall be the Disbursing Agent and shall
make, direct, or facilitate distributions to Senior Noteholders. 
 70. “Disclosure Statement” means the
disclosure statement in respect of this Plan, including all exhibits and schedules thereto, as approved by the Bankruptcy Court pursuant to sections 1125 and 1127 of the Bankruptcy Code and Bankruptcy Rule 3017 in form and substance reasonably
acceptable to the Requisite Consenting Stakeholders and the Debtors, and each as may be further amended, supplemented or otherwise modified from time to time in a manner that is reasonably satisfactory to the Requisite Consenting Stakeholders and
the Debtors. 

  
 8 

 71. “Disclosure Statement Order” means the Order entered by
the Bankruptcy Court approving the Disclosure Statement as containing, among other things, “adequate information” as required by section 1125 of the Bankruptcy Code and solicitation procedures related thereto, which shall be in form and
substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 
 72. “Disputed”
means with respect to a Claim or Interest, any Claim or Interest that (a) is neither Allowed nor Disallowed under this Plan or a Final Order, nor deemed Allowed under sections 502, 503, or 1111 of the Bankruptcy Code; (b) is otherwise
disputed by any of the Debtors or Reorganized Debtors or for which any of the Debtors or Reorganized Debtors has made a request for estimation in accordance with applicable Law or contract, which dispute has not been withdrawn, resolved, or
overruled by a Final Order; or (c) the Debtors or any parties-in-interest have interposed a timely objection or request for estimation, and such objection or
request for estimation has not been withdrawn or determined by a Final Order. If the Debtors dispute only a portion of a Claim, such Claim shall be deemed Allowed in any amount the Debtors do not dispute, and Disputed as to the balance of such
Claim. 
 73. “Distribution Record Date” means, except with respect to holders of public securities, the
date for determining which Holders of Allowed Claims and Allowed Interests are eligible to receive distributions under this Plan, which shall be (a) ten (10) Business Days after entry of the Confirmation Order or (b) such other date as
designated by an Order of the Bankruptcy Court. 
 74. “DTC” means the Depository Trust Company. 

75. “Effective Date” means the date upon which no stay of the Confirmation Order is in effect and all
conditions precedent to the effectiveness of this Plan have been satisfied or are expressly waived in accordance with the terms hereof, as the case may be, and on which the Restructuring and the other transactions to occur on the Effective Date
pursuant to this Plan become effective or are consummated. 
 76. “EFS BOP” means EFS BOP, LLC, a subsidiary
of GE Energy Financial Services. 
 77. “EFS BOP Contract” means that certain Lease Agreement between
Diamond Offshore Limited and EFS BOP, dated as of February 5, 2016. 
 78. “Eighth Supplemental
Indenture” means that certain supplemental indenture, dated November 5, 2013, by and among Diamond Offshore, as issuer, and the Senior Notes Trustee. 

79. “Employee Compensation Plans” means the emergence compensation plans for KEIP Participants, on the terms
and conditions set forth in the Employee Matters Term Sheet. 
 80. “Employee Compensation Programs” means
the incentive programs approved by the Bankruptcy Court pursuant to the Order Authorizing and Approving the Debtors’ Motion for Entry of an Order (I) Authorizing and Approving the Debtors’ Non-Insider Compensation Program and (II) Granting Related Relief, entered by the Bankruptcy Court on May 27, 2020 [Docket No. 234] and the KEIP Order. 

  
 9 

 81. “Employee Matters Term Sheet” means the term sheet
outlining the Employee Compensation Plans on the terms and conditions set forth in Exhibit D attached hereto. 

82. “Entity” has the meaning set forth in section 101(15) of the Bankruptcy Code. 

83. “Equity Interests” means all shares of capital stock, including, but not limited to, common or preferred
equity or other equity interests, and any options, warrants, convertible securities or other rights, agreements, arrangements, or commitments of any character relating to the same. 

84. “Estate” means, as to each Debtor, the estate created for the Debtor in its Chapter 11 Case pursuant
to section 541 of the Bankruptcy Code upon the commencement of its Chapter 11 Case. 
 85. “Exculpated
Parties” means, collectively, and in each case in its capacity as such: (a) the Debtors; (b) the Reorganized Debtors; (c) the Committee and its members; (d) the parties to the Plan Support Agreement; and
(e) the Senior Notes Trustee (solely to the extent acting in the capacity as Disbursing Agent), and (f) with respect to each of the foregoing Persons in clauses (a) through (e), each of their current and former Affiliates; and
(f) with respect to each of the foregoing Persons in clauses (a) through (f), such Person’s predecessors, successors, assigns, subsidiaries, Affiliates, current and former officers and directors, principals, equity holders, members,
partners, managers, employees, agents, financial advisors, attorneys, accountants, investment bankers, consultants, Representatives, and other professionals, and such Person’s respective heirs, executors, estates, and nominees, in each case in
their capacity as such. 
 86. “Executory Contract and Unexpired Leases” means any contracts and leases to
which a Debtor is a party that is subject to assumption or rejection under sections 365 or 1123 of the Bankruptcy Code, including any modifications, amendments, addenda, or supplements thereto or restatements thereof. 

87. “Existing Parent Equity Interests” means Interests in Diamond Offshore that existed immediately prior to
the Effective Date. 
 88. “Exit Agents” means each agent or trustee, as applicable, under the Exit
Facilities. 
 89. “Exit Facilities” means the Exit Revolving Credit Facility, the Exit Term Loan Facility,
and the Exit Notes. 
 90. “Exit Facilities Documents” means the Exit Revolving Credit Facility Documents,
the Exit Term Loan Facility Documents, and the Exit Notes Documents, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

  
 10 

 91. “Exit Notes” means up to $110 million aggregate
principal amount of 9.00%/11.00%/13.00% senior secured first lien, last out payment-in-kind toggle notes due 2027, issued pursuant to the Exit Notes Indenture (which is
comprised of the Funded Notes and the Delayed Draw Notes), which will be pari passu with the Exit Term Loan Facility, and last out with respect to the first out Exit Revolving Credit Facility, issued in connection with the Rights Offerings and the
Private Placements, on substantially the terms set forth in this Plan. 
 92. “Exit Notes Documents” means
the agreements with respect to the Exit Notes, including the Exit Notes Indenture and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other ancillary documentation
related thereto or entered into in connection therewith (in each case, as may be amended, restated, modified, or supplemented from time to time), on the terms set forth in the term sheet attached hereto as
Exhibit C, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

93. “Exit Notes Indenture” means that certain indenture entered into pursuant to and in connection with the
Exit Notes, which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

94. “Exit Revolving Credit Facility” means a $300 million to $400 million first lien, first out exit
revolving credit facility, on terms substantially in the form set forth in Exhibit A attached hereto. 

95. “Exit Revolving Credit Facility Agent” means the agent under the Exit Revolving Credit Facility. 

96. “Exit Revolving Credit Facility Agreement” means that certain credit agreement entered into pursuant to or
in connection with the Exit Revolving Credit Facility, which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

97. “Exit Revolving Credit Facility Commitment Fee” has the meaning set forth in
Article IV.D.e of this Plan. 
 98. “Exit Revolving Credit Facility Documents”
means the agreements with respect to the Exit Revolving Credit Facility, including the Exit Revolving Credit Facility Agreement and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor
agreement, and other ancillary documentation related thereto on terms substantially in the form set forth in Exhibit A attached hereto, each of which shall be in form and substance reasonably acceptable
to the Requisite Consenting Stakeholders and the Debtors. 
 99. “Exit Term Loan Agent” means the agent
under the Exit Term Loan Facility. 
 100. “Exit Term Loan Credit Agreement” means that certain agreement
entered into pursuant to or in connection with, and governing the terms and conditions of, the Exit Term Loan Facility, which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. 

  
 11 

 101. “Exit Term Loan Facility” means a new
$100 million – $200 million first lien last out term loan, with such amounts subject to change based on the Effective Date and interest accrued on RCF Claims through such date, at a rate of (at the Company’s option) L+600 bps
(cash), L+1,000 bps (payment-in-kind), or L+800 bps (if 50% cash and 50%
payment-in-kind), on terms substantially in the form set forth in this Plan, which will be pari passu with the Exit Notes and last out with respect to the first out Exit
Revolving Credit Facility. 
 102. “Exit Term Loan Facility Documents” means the agreements with respect to
the Exit Term Loan Facility, including the Exit Term Loan Credit Agreement and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other ancillary documentation related
thereto on terms substantially in the form set forth in Exhibit B attached hereto, each of which shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders and the
Debtors. 
 103. “Federal Judgment Rate” means the interest rate provided under
28 U.S.C. § 1961(a), calculated as of the Petition Date. 
 104. “Fee Letters” has the
meaning set forth in the Plan Support Agreement. 
 105. “File,” “Filed,” or
“Filing” means file, filed or filing in the Chapter 11 Cases with the Bankruptcy Court. 
 106.
“Final Order” means an Order, ruling, or judgment of the Bankruptcy Court (or any other court of competent jurisdiction) entered by the clerk of the Bankruptcy Court on the docket in the Chapter 11 Cases (or by the clerk
of such other court of competent jurisdiction on the docket of such court), which has not been reversed, stayed, modified, amended, or vacated, and as to which (a) the time to appeal, petition for certiorari, or move for a new trial, stay,
reargument, or rehearing has expired and as to which no appeal, petition for certiorari, or motion for new trial, stay, reargument, or rehearing shall be pending or (b) if an appeal, writ of certiorari, new trial, stay, reargument, or rehearing
thereof has been sought, such Order or judgment of the Bankruptcy Court (or other court of competent jurisdiction) shall have been affirmed by the highest court to which such Order was appealed, or certiorari shall have been denied, or a new trial,
stay, reargument, or rehearing shall have been denied or resulted in no modification of such Order, and the time to take any further appeal, petition for certiorari, or move for a new trial, stay, reargument, or rehearing shall have expired, as a
result of which such Order shall have become final in accordance with Rule 8002 of the Bankruptcy Rules; provided, however, that the possibility that a motion under Rule 60 of the Federal Rules of Civil Procedure, or any
analogous rule under the Bankruptcy Rules, that may be Filed relating to such Order, shall not cause an Order not to be a Final Order. 

107. “Financing Parties” has the meaning set forth in the Backstop Agreement. 

  
 12 

 108. “Funded Notes” means $75 million in aggregate
principal amount of Exit Notes funded on the Effective Date, pursuant to the Primary Private Placement and the Primary Rights Offering. 

109. “General Unsecured Claim” means a Claim consisting of any unsecured prepetition Claim against any Debtor
that is not an Administrative Claim, Priority Tax Claim, Other Priority Claim, RCF Claim, Senior Notes Claim, Subordinated Claim, or Intercompany Claim. Without limiting the foregoing, General Unsecured Claims include all Rejection Damages Claims
that are not Administrative Claims. 
 110. “Governmental Unit” has the meaning set forth in
section 101(27) of the Bankruptcy Code. 
 111. “Holder” means any Entity holding a Claim against or
Interest in a Debtor. 
 112. “HSR Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as
amended. 
 113. “Hydril” means Hydril USA Distribution LLC, a subsidiary of Baker Hughes (a member of the
Committee). 
 114. “Impaired” means, when used in reference to a Claim or an Interest, a Claim or an
Interest that is impaired within the meaning of section 1124 of the Bankruptcy Code. 
 115. “Intercompany
Claim” means a Claim or a Cause of Action against a Debtor held by a Debtor or a Non-Debtor Affiliate. 

116. “Intercompany Interest” means an Interest in a Debtor held by another Debtor or Non-Debtor Affiliate. 
 117. “Interests” means, collectively, the shares
(or any class thereof), common stock, preferred stock, limited liability company interests, and any other equity, ownership, or profits interests of any Debtor, and options, warrants, rights, or other securities or agreements to acquire or subscribe
for, or which are convertible into the shares (or any class thereof) of, common stock, preferred stock, limited liability company interests, or other equity, ownership, or profits interests of any Debtor (in each case whether or not arising under or
in connection with any employment agreement and whether or not certificated, vested, transferrable, voting, or denominated “stock” or a similar security) existing immediately prior to the Effective Date; provided, however,
that the term “Interests” shall not include the Intercompany Interests. 
 118. “IRS” means the
Internal Revenue Service. 
 119. “KEIP” has the meaning set forth in the KEIP Order. 

120. “KEIP Escrow” means an interest-bearing account to hold and maintain an amount of Cash equal to the KEIP
Escrow Amount to be funded by the Debtors on the Effective Date solely for the purpose of paying such amounts to the KEIP Participants pursuant to the KEIP. 

  
 13 

 121. “KEIP Escrow Amount” means the amount of Cash
transferred by the Debtors, determined by the Debtors in accordance with KEIP, to the KEIP Escrow to satisfy the maximum amount that may be owed to KEIP Participants pursuant to the KEIP as of the Effective Date after accounting for the payment of
the Deferred Payment on the Effective Date and any other amounts actually paid to the KEIP Participants pursuant to the KEIP on or before the Effective Date. 

122. “KEIP Order” means the Order Authorizing and Approving the Debtors’ Motion for Entry of an Order
(I) Authorizing and Approving the Debtors’ Key Employment Incentive Plan and (II) Granting Related Relief (the “KEIP Order”), entered by the Bankruptcy Court on June 23, 2020
[Docket No. 448] 
 123. “KEIP Participants” has the meaning set forth in the KEIP Order. 

124. “Law” means any law (statutory or common), statute, regulation, rule, code or ordinance enacted, adopted,
issued, or promulgated by any Governmental Unit. 
 125. “Liabilities” means any and all Claims,
obligations, suits, judgments, damages, demands, debts, rights, recovery actions, Causes of Action, and liabilities, whether liquidated or unliquidated, fixed or contingent, matured or unmatured, known or unknown, foreseen or unforeseen, arising in
law, equity, or otherwise, that are based in whole or in part on any act, event, injury, omission, transaction, or agreement. 

126. “Lien” has the meaning set forth in section 101(37) of the Bankruptcy Code. 

127. “MIP” means the post-Effective Date management incentive plan, to be approved by the New Board and in
form and substance acceptable to the Requisite Consenting Noteholders and consistent with the terms set forth in the Employee Matters Term Sheet. 

128. “MIP Equity Shares” means restricted stock units, options, New Diamond Common Shares, or other rights
exercisable, exchangeable, or convertible into New Diamond Common Shares representing 5% – 10% of the New Diamond Common Shares on a fully diluted and fully distributed basis. 

129. “New Board” means the initial board of directors of the Reorganized Company, which shall as of the
Effective Date consist of members selected and agreed to by the Ad Hoc Group in accordance with the applicable organizational documents, as set forth in the Plan Supplement or as announced on the record during the Confirmation Hearing; provided
that Marc Edwards, Diamond Offshore’s current chief executive officer, shall be a member of the New Board other than (a) as otherwise determined by the board of directors of Diamond Offshore prior to the Effective Date or (b) in
the event of his death or voluntary resignation prior to the Effective Date. 

  
 14 

 130. “New Diamond Common Shares” means those certain shares
of common stock or other membership units, partnership interests, or other Equity Interests issued by the Reorganized Company representing 100% of the equity interests in the Reorganized Company. 

131. “New Organizational Documents” means the form of the certificates or articles of incorporation, bylaws,
or such other applicable formation and governance documents of each of the Reorganized Debtors, which shall be reasonably acceptable to the Requisite Consenting Stakeholders and the Debtors. The New Organizational Documents or a representative form
thereof shall be included in the Plan Supplement. 
 132. “New Warrants” means new warrants with an exercise
period of five years, exercisable into 7% of the New Diamond Common Shares, subject to dilution by the MIP Equity Shares, struck at a total enterprise value implying a 100% recovery to Holders of Senior Notes Claims on the face value of their Claims
(including accrued interest as of the Petition Date), which shall include ride-through protection for the life of the New Warrants in the event of a stock-for-stock
merger involving the Reorganized Debtors. 
 133. “New Warrants Agreement” means that certain agreement
providing for, among other things, the issuance of the New Warrants by the Reorganized Company, a form of which shall be included in the Plan Supplement, which shall be in form and substance reasonably acceptable to the Requisite Consenting
Noteholders and the Debtors. 
 134. “New Warrants Documentation” means any and all agreements (including
the New Warrants Agreement), documents, and instruments delivered or entered into in connection with the New Warrants, on terms reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 

135. “Ninth Supplemental Indenture” means that certain supplemental indenture, dated August 15, 2017, by
and among Diamond Offshore, as issuer, and the Senior Notes Trustee. 
 136.
“Non-Debtor Affiliate” means any subsidiary or Affiliate of a Debtor that is not a Debtor. 

137. “Non-Participating RCF Lender Share” has the meaning set forth in
Article III.B.3.b.ii of this Plan. 
 138. “Notice and Claims Agent” means Prime
Clerk, LLC. 
 139. “Omnibus Objection Procedures” means the procedures set forth in the Order
(I) Approving Omnibus Claims Objection Procedures and (II) Granting Related Relief [Docket No. 582] that will govern the resolution of the Claims or Interests asserted against the Debtors and the
Debtors’ authority to settle such Claims or Interests, which shall be subject to the reasonable consent of the Requisite Consenting Stakeholders. 

140. “Order” means any judgment, order, award, injunction, writ, permit, license, or decree of any
Governmental Unit or arbitrator of applicable jurisdiction. 

  
 15 

 141. “Ordinary Course Professional” means any professional
retained under the Order Authorizing the Retention and Compensation of Certain Professionals Utilized in the Ordinary Course of Business [Docket No. 265]. 

142. “Other Priority Claim” means any Claim against any Debtor entitled to priority in right of payment under
section 507(a) of the Bankruptcy Code, other than: (a) an Administrative Claim; or (b) a Priority Tax Claim, to the extent such Claim has not already been paid during the Chapter 11 Cases. 

143. “Other Secured Claim” means any Secured Claim against any Debtor other than an RCF Claim. 

144. “Participating RCF Lender Share” has the meaning set forth in
Article III.B.3.b.i of this Plan. 
 145. “PCbtH Contracts” means the CSA and the
EFS BOP Contract. 
 146. “PCbtH Litigation” means (a) a motion filed by the Debtors seeking the
authority, but not direction, to reject the CSA and (b) litigation commenced against Hydril and EFS BOP seeking to, among other things, establish (i) the amount (if any) of Hydril’s potential Rejection Damages Claim if the Debtors
reject the CSA and (ii) that the Debtors’ rejection of the CSA would not trigger any of EFS BOP’s termination rights under the EFS BOP Contract or prevent the Debtors from assuming the EFS BOP Contract, in each case as further
described in Article V.B. of the Disclosure Statement. 
 147. “Performance Period” has the meaning
set forth in the KEIP Order. 
 148. “Person” has the meaning set forth in section 101(41) of the Bankruptcy
Code. 
 149. “Petition Date” means April 26, 2020, the date on which each
of the Debtors Filed its respective petition for relief commencing the Chapter 11 Cases. 
 150. “Plan”
means this joint chapter 11 plan, as it may be altered, amended, modified, or supplemented from time to time in accordance with the terms hereof, including the Plan Supplement and all exhibits, supplements, appendices, and schedules hereto, on terms
reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders. 
 151. “Plan Supplement”
means the compilation of documents and forms of documents, schedules, and exhibits to this Plan that will be Filed by the Debtors (as may be amended, supplemented, altered, or modified from time to time on the terms set forth herein), which shall be
in form and substance reasonably acceptable to the Debtors and the Requisite Consenting Stakeholders or the Requisite Financing Parties, as applicable, and which includes: (a) the New Organizational Documents; (b) the identity of the
members of the New Board (to the extent known); (c) the New Warrants Agreement; (d) the Schedule of Rejected Contracts; (e) the Rights Offerings Documents; (f) the Exit Term Loan Credit Agreement; (g) the Exit Revolving Credit
Facility Agreement; (h) the Exit Notes Indenture; (i) the schedule of Preserved Causes of Action; and (j) the Restructuring Transaction Memorandum. 

  
 16 

 152. “Plan Support Agreement” means the Plan Support
Agreement, dated January 22, 2021, as amended, modified, or supplemented from time to time in accordance with its terms. 

153. “Preserved Causes of Action” means the retained Causes of Action, set forth in the Plan Supplement, which
shall vest in the Reorganized Debtors and not be subject to the releases set forth in Article VIII of this Plan. 

154. “Primary Private Placement” has the meaning set forth in the Backstop Agreement. 

155. “Primary Private Placement Stapled Securities” has the meaning set forth in the Backstop Agreement. 

156. “Primary Rights Offering” has the meaning set forth in the Backstop Agreement. 

157. “Priority Claims” means Priority Tax Claims and Other Priority Claims. 

158. “Priority Tax Claim” means any Claim of a Governmental Unit against a Debtor entitled to priority as
specified in section 507(a)(8) of the Bankruptcy Code. 
 159. “Private Placement Investors” has the
meaning set forth in the Backstop Agreement. 
 160. “Private Placement Stapled Securities” has the meaning
set forth in the Backstop Agreement. 
 161. “Private Placements” has the meaning set forth in the Backstop
Agreement. 
 162. “Pro Rata” means the proportion that the amount of an Allowed Claim or Interest in a
particular Class bears to the aggregate amount of all Allowed and Disputed Claims or Interests (but excluding Disallowed Claims) in such Class. 

163. “Professional” means any Entity retained by Order of the Bankruptcy Court in connection with these
Chapter 11 Cases pursuant to sections 327, 328, 330, 331, 503(b), or 1103 of the Bankruptcy Code, excluding Ordinary Course Professionals retained pursuant to an Order of the Bankruptcy Court. 

164. “Professional Fee Escrow” means an interest-bearing account to hold and maintain an amount of Cash equal
to the Professional Fee Escrow Amount funded by the Debtors on the Effective Date solely for the purpose of paying all Allowed and unpaid Accrued Professional Compensation Claims of any Professional estimated through and including the Effective
Date. 

  
 17 

 165. “Professional Fee Escrow Amount” means the amount of
Cash transferred by the Debtors, determined by the Debtors in consultation with the Requisite Consenting Stakeholders and the Committee, and in accordance with Article II.B of this Plan, to the Professional Fee Escrow to
pay outstanding and Accrued Professional Compensation Claims of the Professionals incurred through and including the Effective Date. 

166. “Proof of Claim” means a proof of Claim Filed against any of the Debtors in the
Chapter 11 Cases. 
 167. “RCF Agent” means Wells Fargo Bank, National Association, as
administrative agent under the RCF Credit Agreement, and any successors and permitted assigns, in such capacity. 
 168.
“RCF Cash Paydown” means an amount in Cash of approximately $275 million to $279.6 million.2 

169. “RCF Claims” means all Claims arising from or based upon the RCF Credit Agreement, or any of the security
documents governing or evidencing any security interests entered into in connection therewith, including accrued but unpaid interest (but excluding interest on unpaid interest), costs, fees and indemnities through the Effective Date. 

170. “RCF Credit Agreement” means the 5-Year Revolving Credit
Agreement, dated as of October 2, 2018 (as amended, modified, or otherwise supplemented from time to time), by and among certain of the Debtors, each lender from time to time party thereto, and Wells Fargo Bank, National Association, as
administrative agent. 
 171. “RCF Documents” means any documents related to the RCF Claims, including any
agreements, commitment letters, documents, guaranties, instruments, collateral, and security documentation, and other ancillary documentation related thereto. 

172. “RCF Lenders” means the lenders party to the RCF Credit Agreement. 

173. “RCF Steering Committee Members” means, collectively, the steering committee of RCF Lenders. 

174. “Rejection Damages Claim” means any Claim on account of the rejection of any Executory Contracts and
Unexpired Leases pursuant to section 365 of the Bankruptcy Code. 
 175. “Reinstate,”
“Reinstated,” or “Reinstatement” means with respect to Claims and Interests, that the Claim or Interest shall be rendered unimpaired in accordance with section 1124 of the Bankruptcy Code. 

176. “Released Parties” means, each of and collectively, (a) the Debtors and the Reorganized Debtors,
(b) the Consenting Stakeholders, (c) the Ad Hoc Group and each of its members, (d) the Senior Notes Trustee, (e) the Financing Parties, (f) the RCF Agent and the RCF Lenders, (g) the Exit Agents, the Exit Revolving
Credit Facility Lenders, the Exit 
  

	2 	 The exact amount of the RCF Cash Paydown is subject to finalizing the amount of post-petition interest due to
Holders of RCF Claims on the Effective Date; provided that if the amount of the RCF Cash Paydown is less than $279.6 million it shall require 100% approval of the RCF Lenders and if the amount of RCF Cash Paydown is more than $275 million it
shall require the reasonable consent of the Debtors; provided further that if the date of emergence extends beyond April 23, 2021, the amount of the RCF Cash Paydown shall increase accordingly.

  
 18 

 
Term Loan Lenders and the Exit Noteholders; (h) any Releasing Party, (i) the Committee and each of its members, (j) with respect to each of the foregoing Persons, in clauses
(a) through (i), each of their current and former Affiliates, and (k) with respect to each of the foregoing Persons in clauses (a) through (j), such Person’s predecessors, successors, assigns, subsidiaries, current and former
Affiliates, current and former officers and directors, principals, equity holders (regardless of whether such interests are held directly or indirectly), members, partners (including both general and limited partners), managers, employees, agents,
managed accounts or funds, management companies, fund advisors, financial advisors, advisory board members, attorneys, accountants, investment bankers, consultants, Representatives, and other professionals, and such Person’s respective heirs,
executors, estates, and nominees and any and all other persons or entities that may purport to assert any cause of action derivatively, by or through the foregoing, in each case in their capacity as such. 

177. “Releasing Parties” means, collectively, (a) the Holders of all Claims or Interests who vote
to accept this Plan, (b) the Holders of all Claims or Interests whose vote to accept or reject this Plan is solicited, or that otherwise receive notice of the opportunity to opt out of granting the releases set forth in this Plan, that vote to
reject or abstain from voting and do not opt out of granting the releases under this Plan, (c) the Holders of all Claims or Interests that are conclusively presumed to accept, and do not opt out of granting the releases under this Plan,
(d) the Holders of all Claims or Interests who are deemed to reject this Plan and do not opt out of granting the releases under this Plan, (e) the Consenting Stakeholders, (f) the Ad Hoc Group and each of its members, (g) the
Senior Notes Trustee, (h) the Financing Parties, (i) the RCF Agent and each of the RCF Lenders, (j) the Committee and each of its members (solely in their capacity as such), (k) any Released Party, (l) with respect to each
of the foregoing Persons, in clauses (a) through (k), each of their current and former Affiliates, and (m) with respect to each of the foregoing Persons in clauses (a) through (l), such Person’s predecessors, successors, assigns,
subsidiaries, current and former Affiliates, current and former officers and directors, principals, equity holders (regardless of whether such interests are held directly or indirectly), members, partners (including both limited and general
partners), managers, employees, agents, managed accounts or funds, management companies, fund advisors, financial advisors, advisory board members, attorneys, accountants, investment bankers, consultants, Representatives, and other professionals,
and such Person’s respective heirs, executors, estates, and nominees, and any and all other persons or entities that may purport to assert any cause of action derivatively, by or through the foregoing in each case in their capacity as such.

 178. “Reorganized Company” means Diamond Offshore as reorganized on the
Effective Date in accordance with the Plan Support Agreement. 
 179. “Reorganized Debtors” means each of
the Debtors or any successor thereto, as reorganized on the Effective Date in accordance with this Plan. 
 180.
“Representatives” means, with respect to any Entity, any successor, officer, director, partner (including both general and limited partners), shareholder, manager, member, management company, investment manager, Affiliate,
employee, agent, attorney, advisor, investment banker, financial advisor, investment advisor, accountant, or other Professional of such Entity and any committee of which such Entity is a member, in each case, solely in such capacity, serving on or
after the Petition Date. 

  
 19 

 181. “Requisite Consenting Noteholders” has the meaning
used in the Plan Support Agreement. 
 182. “Requisite Consenting Stakeholders” has the meaning used in the
Plan Support Agreement. 
 183. “Requisite Financing Parties” has the meaning used in the Backstop
Agreement. 
 184. “Restructuring” means the restructuring of the Debtors, the principal terms of which are
set forth in this Plan and the Plan Supplement. 
 185. “Restructuring Documents” means the (a) Plan
and its exhibits, Ballots, and solicitation procedures, (b) Confirmation Order, (c) Disclosure Statement, (d) Order of the Bankruptcy Court approving the Disclosure Statement and the other solicitation materials in respect of this
Plan, (e) “first day” pleadings and all Orders sought pursuant thereto, (f) Plan Supplement, (g) Exit Facilities Documents, (h) New Organizational Documents, (i) Backstop Agreement, (j) Backstop Order,
(k) New Warrants Documentation, and (l) any documents with respect to the Rights Offerings, including the Rights Offerings Procedures (with each of (a) through (l) being in form and substance reasonably acceptable to the Requisite
Consenting Stakeholders and the Debtors, and with each of (h) through (l) being in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors). 

186. “Restructuring Expenses” means all reasonable and documented prepetition and post-petition fees and out-of-pocket expenses incurred by the Consenting Stakeholders’ Counsel, the other Consenting
Stakeholders’ Advisors, the RCF Agent, the RCF Steering Committee Members, and the Senior Notes Trustee related to the Debtors, the Restructuring, or the Chapter 11 Cases. 

187. “Restructuring Transaction” means any transaction contemplated in connection with the Restructuring,
including as set forth in Article IV.B of this Plan. 
 188. “Restructuring Transaction
Memorandum” means a document, to be included in the Plan Supplement, that sets forth the material components of the Restructuring Transactions and a description of the steps to be carried out to effectuate the Restructuring Transactions in
accordance with this Plan, including the reorganization of the Debtors and the issuance of New Diamond Common Shares, through the Chapter 11 Cases, this Plan, or any Restructuring Documents, which shall be in form and substance reasonably acceptable
to the Requisite Consenting Stakeholders and the Debtors. 
 189. “Rights Offerings” has the meaning set
forth in the Backstop Agreement. 

  
 20 

 190. “Rights Offerings Documents” means the Backstop
Agreement, the Backstop Order, the Rights Offerings Procedures, the Delayed Draw Rights Offerings Documents, and any and all other agreements, documents, and instruments delivered or entered into in connection with the Rights Offerings in the form
and substance reasonably acceptable to the parties thereto, the Requisite Consenting Stakeholders and the Debtors. 
 191.
“Rights Offerings Procedures” means the procedures for each Rights Offering that are approved by the Bankruptcy Court, which set forth the procedures for Holders of Senior Notes Claims to participate in the Rights Offerings, in form
and substance reasonably acceptable to the Requisite Financing Parties, the Requisite Consenting Stakeholders, and the Debtors, as may be amended or modified in a manner that is reasonably acceptable to the Requisite Financing Parties, the Requisite
Consenting Stakeholders, and the Debtors. 
 193. “Rights Offerings Stapled Securities” means the Rights
Offerings Shares and Exit Notes. 
 194. “Rights Offerings Shares” has the meaning set forth in
Article IV.D.b of this Plan. 
 195. “Schedule of Rejected Contracts” means the
schedule of Executory Contracts and Unexpired Leases to be rejected by the Debtors pursuant to this Plan, if any, as the same may be amended, modified, or supplemented from time to time, in form and substance reasonably acceptable to the Debtors and
the Requisite Consenting Stakeholders. 
 196. “Scheduled Claim” means a Claim that is listed on the
Debtors’ Statements and Schedules. 
 197. “SEC” means the United States Securities and Exchange
Commission. 
 198. “Secured” means, when referring to a Claim, a Claim: (a) secured by a Lien on
property, including any maritime Lien, in which the applicable Estate has an interest, which Lien is valid, perfected, and enforceable pursuant to applicable Law or by reason of a Bankruptcy Court Order, or that is subject to setoff pursuant to
section 553 of the Bankruptcy Code, to the extent of the value of the creditor’s interest in such Estate’s interest in such property or to the extent of the amount subject to setoff, as applicable, as determined pursuant to
section 506(a) of the Bankruptcy Code; or (b) otherwise Allowed pursuant to this Plan or the Confirmation Order as a Secured Claim. 

199. “Securities Act” means the Securities Act of 1933, 15 U.S.C. §§ 77a–77aa, as now
in effect or hereafter amended, and the rules and regulations of the SEC promulgated thereunder. 
 200.
“Security” has the meaning set forth in section 101(49) of the Bankruptcy Code. 
 201. “Senior
Noteholder” means a Holder of Senior Notes. 

  
 21 

 202. “Senior Notes” means, collectively, the 2039 Notes,
the 2023 Notes, the 2043 Notes, and the 2025 Notes. 
 203. “Senior Notes Claims” means all Claims against
Diamond Offshore, as issuer, arising from or based on the Senior Notes, including accrued but unpaid interest, costs, fees, and indemnities through the Petition Date. 

204. “Senior Notes Indenture” means, collectively, the Base Indenture, the Seventh Supplemental Indenture, the
Eight Supplemental Indenture, and the Ninth Supplemental Indenture. 
 205. “Senior Notes Trustee” means The
Bank of New York Mellon Trust Company, N.A. as trustee for the Senior Notes. 
 206. “SERP” means the non-qualified supplemental retirement plan, effective as of January 1, 1996, as amended on January 1, 2008, and as adopted by Debtor Diamond Offshore Management Company. 

207. “Seventh Supplemental Indenture” means that certain supplemental indenture, dated October 8, 2009,
by and among Diamond Offshore, as issuer, and the Senior Notes Trustee. 
 208. “Statement and Schedules”
means the statements of financial affairs and the schedules of assets and liabilities Filed by the Debtors under section 521 of the Bankruptcy Code and Bankruptcy Rule 1007, as such statements and schedules may be amended, supplemented, or modified
from time to time. 
 209. “Statutory Fees” means all fees for which the Debtors are obligated pursuant to
28 U.S.C. § 1930(a)(6), together with interest, if any, pursuant to 31 U.S.C. § 3717. 

210. “Subordinated Claim” means a Claim against any Debtor, if any, subject to subordination in accordance
with sections 510(b)-(c) of the Bankruptcy Code. 
 211. “Subscription
Commencement Date” has the meaning set forth in the Rights Offering Procedures. 
 212. “Subscription
Rights” has the meaning set forth in the Backstop Agreement. 
 213. “Substantial Consummation” has
the meaning set forth in section 1101(2) of the Bankruptcy Code. 
 214. “Tax” means: (a) any net
income, alternative or add-on minimum, gross income, gross receipts, sales, use, ad valorem, value-added, transfer, franchise, profits, license, property, environmental, or other tax assessment or charge of
any kind whatsoever (together in each instance with any interest, penalty, addition to tax or additional amount) imposed by any federal, state, local, or foreign Taxing Authority; or (b) any liability for payment of any amounts of the foregoing
types as a result of being a member of an Affiliated, consolidated, combined, or unitary group, or being a party to any agreement or arrangement whereby liability for payment of any such amount is determined by reference to the liability of any
other Entity. 

  
 22 

 215. “Taxing Authority” means any governmental authority
exercising any authority to impose, regulate, levy, assess, or administer the imposition of any Tax. 
 216. “U.S.
Trustee” means the United States Trustee for the Southern District of Texas (Region 7). 
 217.
“Unimpaired” means, with respect to a Class of Claims or Interests, a Claim or an Interest that is unimpaired within the meaning of section 1124 of the Bankruptcy Code, including through Reinstatement or payment in full in
Cash. 
 218. “Unsubscribed Stapled Securities” has the meaning set forth in the Backstop Agreement. 

219. “Voting Deadline” means the deadline to submit votes to accept or reject this Plan. 

 

	B.	 Rules of Interpretation 

For purposes herein: (a) each term, whether stated in the singular or the plural, shall include both the singular and the plural, and
pronouns stated in the masculine, feminine, or neuter gender shall include the masculine, feminine, and neuter genders; (b) capitalized terms defined only in the plural or singular form shall nonetheless have their defined meanings when used in
the opposite form; (c) unless otherwise specified, any reference herein to a contract, lease, instrument, release, indenture, or other agreement or document being in a particular form or on particular terms and conditions means that such
document shall be substantially in such form or substantially on such terms and conditions; (d) unless otherwise specified, any reference herein to an existing document, schedule, or exhibit shall mean such document, schedule, or exhibit, as it
may have been or may be amended, restated, supplemented, or otherwise modified from time to time; provided that any capitalized terms herein that are defined with reference to another agreement, are defined with reference to such other
agreement as of the date of the applicable agreement, without giving effect to any termination of such other agreement or amendments to such capitalized terms in any such other agreement following the Effective Date; (e) unless otherwise
specified, all references herein to “Articles” are references to Articles of this Plan; (f) unless otherwise stated, the words “herein,” “hereof,” and ‘‘hereto’’ refer to this Plan in its
entirety rather than to a particular portion of this Plan; (g) captions and headings to Articles are inserted for convenience of reference only and are not intended to be a part of or to affect the interpretation hereof; (h) the words
“include” and “including,” and variations thereof, shall not be deemed to be terms of limitation, and shall be deemed to be followed by the words “without limitation”; (i) the rules of construction set forth in
section 102 of the Bankruptcy Code shall apply;(j) any term used in capitalized form herein that is not otherwise defined, but that is used in the Bankruptcy Code or the Bankruptcy Rules, has the meaning assigned to that term in the
Bankruptcy Code or the Bankruptcy Rules, as the case may be; (k) all references to statutes, regulations, Orders, rules of courts, and the like shall mean such statutes, regulations, Orders, rules of courts, and the like as amended from time to
time, and as applicable to the Chapter 11 Cases, unless otherwise stated; (l) any reference to an Entity as a Holder of a Claim or Interest includes that Entity’s successors and assigns; (m) any effectuating provisions may be
interpreted by the Reorganized Debtors in a manner consistent with the overall purpose and intent of this Plan or the Confirmation Order, all 

  
 23 

 
without further notice to or action, Order, or approval of the Bankruptcy Court or any other Entity, and such interpretation shall control in all respects; (n) except as otherwise provided,
any references to the Effective Date shall mean on the Effective Date or as soon as reasonably practicable thereafter; and (o) any docket number references in this Plan or the Confirmation Order shall refer to the docket number of any document
Filed with the Bankruptcy Court in the Chapter 11 Cases. 
  

	C.	 Computation of Time 

Unless otherwise specifically stated herein, the provisions of Bankruptcy Rule 9006(a) shall apply in computing any period of time
prescribed or allowed herein. If the date on which a transaction may occur pursuant to this Plan or the Confirmation Order shall occur on a day that is not a Business Day, then such transaction shall instead occur on the next succeeding Business
Day, but shall be deemed to have been completed or to have occurred as of the required date. 
  

	D.	 Governing Laws 

Unless a rule of law or procedure is supplied by federal law (including the Bankruptcy Code and Bankruptcy Rules) or unless otherwise
specifically stated herein, the laws of the State of New York (except for section 5-1401 and 5-1402 of the General Obligations Law of the State of
New York), without giving effect to the principles of conflicts of law, shall govern the rights, obligations, construction, and implementation of this Plan and the Confirmation Order, any agreements, documents, instruments, or contracts
executed or entered into in connection with this Plan or the Confirmation Order (except as otherwise set forth in those agreements, in which case the governing law of such agreement shall control); provided, however, that corporate or
limited liability company governance matters relating to the Debtors or the Reorganized Debtors, as applicable, shall be governed by the laws of the state of incorporation or formation (as applicable) or the foreign laws of the applicable Debtor or
Reorganized Debtor. 
  

	E.	 Reference to Monetary Figures 

All references in this Plan to monetary figures shall refer to the legal tender of the United States of America, unless otherwise expressly
provided. 
  

	F.	 Certain Consent Rights 

Notwithstanding anything in this Plan or the Confirmation Order to the contrary (including Article XII.G of this
Plan), all consent rights, including the various consent rights of the Requisite Consenting Stakeholders set forth in the Plan Support Agreement and the Requisite Financing Parties set forth in the Backstop Agreement, with respect to the form and
substance of this Plan, the Plan Supplement, and any Restructuring Documents shall be incorporated herein by this reference and fully enforceable as stated herein until such time as the Plan Support Agreement and the Backstop Agreement are
terminated in accordance with their terms. For the avoidance of doubt, the failure to specify a particular consent right in this Plan or the Confirmation Order that is otherwise set forth in the Plan Support Agreement or the Backstop Agreement does
not in any way impair, alter, or amend such consent or consultation rights, which remain binding on the parties to the Plan Support Agreement and the Backstop Agreement and are incorporated into this Plan, the Plan Supplement, the Confirmation Order
and any Restructuring Documents or other related documents. 

  
 24 

	G.	 Reference to the Debtors or the Reorganized Debtors 

Except as otherwise specifically provided in this Plan or the Confirmation Order to the contrary, references in this Plan or the Confirmation
Order to the Debtors or the Reorganized Debtors shall mean the Debtors and the Reorganized Debtors, as applicable, to the extent the context requires. 
  

	H.	 Controlling Document 

In the event of an inconsistency between this Plan and the Disclosure Statement, the terms of this Plan shall control in all respects. In the
event of an inconsistency between this Plan and the Plan Supplement, the terms of the relevant document in the Plan Supplement shall control (unless otherwise provided in such Plan Supplement document or in the Confirmation Order). In the event of
an inconsistency between the Confirmation Order and this Plan, the Confirmation Order shall control. 
 ARTICLE II. 

ADMINISTRATIVE, PRIORITY CLAIMS, AND STATUTORY FEES 

All Claims and Interests, except Administrative Claims and Priority Tax Claims, are classified in the Classes set forth in
Article III below. In accordance with section 1123(a)(1) of the Bankruptcy Code, Administrative Claims and Priority Tax Claims have not been classified and, thus, are excluded from the Classes of Claims and Interests
set forth in Article III of this Plan. 
  

	A.	 Administrative Claims  

On (or as soon thereafter as is reasonably practicable) the later of (a) the Effective Date and (b) the first Business Day after the
date that is thirty (30) calendar days after the date such Administrative Claim becomes an Allowed Administrative Claim, the Holder of an Allowed Administrative Claim (other than Accrued Professional Compensation Claims or Restructuring
Expenses) shall receive in full and final satisfaction, settlement, and release of, and in exchange for such Claim, either (i) Cash in an amount equal to the unpaid portion of such Allowed amount of such Claim or such other treatment consistent
with the provisions of section 1129(a)(9) of the Bankruptcy Code, or (ii) such other less favorable treatment as to which the Debtors or the Reorganized Debtors, as applicable, and the Holder of such Allowed Administrative Claim have
agreed upon in writing; provided, that Allowed Administrative Claims representing Liabilities incurred in the ordinary course of business by the Debtors, as
debtors-in-possession, shall be paid by the Debtors or the Reorganized Debtors, as applicable, in the ordinary course of business, consistent with past practice and in
accordance with the terms and subject to the conditions of any Orders or agreements governing, instruments evidencing, or other documents establishing such Liabilities without any further action by the Holders of such Allowed Administrative Claims,
including the need to File requests for payment of such Administrative Claims with the Bankruptcy Court and to serve such requests on the Reorganized Debtors. 

  
 25 

 Except as otherwise provided in this Article II.A and with respect
to Administrative Claims that are Accrued Professional Compensation Claims or Restructuring Expenses, requests for payment of Administrative Claims must be Filed and served on the Reorganized Debtors pursuant to the procedures specified in the
Confirmation Order and the notice of entry of the Confirmation Order no later than the Administrative Claims Bar Date. Holders of Administrative Claims that are required to, but do not, File and serve a request for payment of such Administrative
Claims by such date shall be forever barred, estopped, and enjoined from asserting such Administrative Claims against the Reorganized Debtors or their property and such Administrative Claims shall be forever released and discharged from any and all
indebtedness or liability with respect to or arising from such Claim. Notwithstanding the foregoing, no request for payment of an Administrative Claim need be Filed with respect to any Administrative Claim that was previously Allowed. 

 

	B.	 Accrued Professional Compensation Claims 

 

	 	1.	 Professional Fee Escrow 

On the Effective Date, the Debtors shall establish the Professional Fee Escrow and transfer an amount equal to the Professional Fee Escrow
Amount, which funds shall come first from the Administrative Expense Account and then, solely to the extent the Administrative Expense Account does not otherwise contain sufficient funds, from the Debtors’ general funds available as of the
Effective Date. The Professional Fee Escrow shall be maintained in trust for the Professionals and for no other Entities until all Accrued Professional Compensation Claims have been irrevocably paid in full to the Professionals pursuant to one or
more Final Orders of the Bankruptcy Court. No Liens, Claims, or interests shall encumber the Professional Fee Escrow or Cash held on account of the Professional Fee Escrow in any way. Such funds shall not be considered property of the Estates, the
Debtors, or the Reorganized Debtors; provided, however, that the Reorganized Debtors shall have a reversionary interest in the excess, if any, of the amount of the Professional Fee Escrow over the aggregate amount of Accrued
Professional Compensation Claims of the Professionals to be paid from the Professional Fee Escrow. When such Accrued Professional Compensation Claims have been paid in full, any remaining amount in the Professional Fee Escrow shall promptly be paid
to the Reorganized Debtors without any further action or Order of the Bankruptcy Court. 
  

	 	2.	 Final Fee Applications and Payment of Accrued Professional Compensation Claims 

All final requests for payment of Accrued Professional Compensation Claims incurred during the period from the Petition Date through the
Effective Date shall be Filed no later than forty-five (45) calendar days after the Effective Date. After notice and a hearing in accordance with the procedures established by the Bankruptcy Code, Bankruptcy Rules, and prior Bankruptcy Court
Orders, the Allowed amounts of such Accrued Professional Compensation Claims shall be determined by the Bankruptcy Court. The amount of Accrued Professional Compensation Claims owing to the Professionals shall be paid in Cash from the Professional
Fee Escrow in the case of the Professionals, and by the Reorganized Debtors in the case of all other professionals, as soon as reasonably practicable after such Accrued Professional Compensation Claims are Allowed by entry of an Order of the
Bankruptcy Court. 

  
 26 

 To the extent that funds held in the Professional Fee Escrow are unable to satisfy the
amount of Accrued Professional Compensation Claims owing to the Professionals, each Professional shall have an Allowed Administrative Claim for any such deficiency, which shall be satisfied by the Reorganized Debtors in the ordinary course of
business in accordance with Article II.A of this Plan and notwithstanding any obligation to File Proofs of Claim or requests for payment on or before the Administrative Claims Bar Date. After all Accrued Professional
Compensation Claims have been paid in full, the Final Order allowing such Accrued Professional Compensation Claims shall direct the escrow agent of the Professional Fee Escrow to return any excess amounts held in the Professional Fee Escrow, if any,
to the Reorganized Debtors, without any further action or Order of the Bankruptcy Court. 
  

	 	3.	 Estimation of Fees and Expenses 

To receive payment for unbilled fees and expenses incurred through the Effective Date, the Professionals shall reasonably estimate their
Accrued Professional Compensation Claims through and including the Effective Date, and shall deliver such estimate to the Debtors no later than ten (10) calendar days prior to the Effective Date; provided, however, that such
estimate shall not be considered a representation with respect to the fees and expenses of such Professional, and Professionals are not bound to any extent by the estimates. If any of the Professionals fails to provide an estimate or does not
provide a timely estimate, the Debtors may estimate the unbilled fees and expenses of such Professional. The total amount so estimated shall be utilized by the Debtors (in consultation with the Committee and the Requisite Consenting Stakeholders) to
determine the Professional Fee Escrow Amount. 
  

	 	4.	 Post-Effective Date Fees and Expenses 

Except as otherwise specifically provided in this Plan or the Confirmation Order, from and after the Effective Date, the Debtors or the
Reorganized Debtors, as the case may be, shall, in the ordinary course of business and without any further notice to or action, Order or approval of the Bankruptcy Court, pay in Cash the reasonable and documented legal, professional, or other
fees and expenses incurred by the Debtors. Upon the Effective Date, any requirement that Professionals comply with sections 327 through 331 and 1103 of the Bankruptcy Code, or any Order of the Bankruptcy Court governing the retention or
compensation of Professionals in seeking retention or compensation for services rendered after such date shall terminate, and the Debtors may employ and pay any Professionals in the ordinary course of business without any further notice to or
action, Order, or approval of the Bankruptcy Court. 
  

	C.	 Priority Tax Claims 

Pursuant to section 1129(a)(9)(C) of the Bankruptcy Code, unless otherwise agreed by the Holder of an Allowed Priority Tax Claim and the
applicable Debtor or Reorganized Debtor, each Holder of an Allowed Priority Tax Claim will receive, at the option of the applicable Debtor or Reorganized Debtor, in full satisfaction of its Allowed Priority Tax Claim that is due and payable on or
before the Effective Date, either (i) Cash equal to the unpaid amount of such Allowed Priority Tax Claim on the Effective Date or (ii) otherwise be treated in accordance with the terms set forth in section 1129(a)(9)(C) of the
Bankruptcy Code. For the avoidance of doubt, Holders of Allowed Priority Tax Claims will receive interest on such Allowed Priority Tax Claims after the Effective Date in accordance with sections 511 and 1129(a)(9)(C) of the Bankruptcy Code.

  
 27 

	D.	 Statutory Fees 

All Statutory Fees due and payable prior to the Effective Date shall be paid by the Debtors. On and after the Effective Date, the Reorganized
Debtors shall pay all Statutory Fees when due and payable, and shall File with the Bankruptcy Court quarterly reports in a form reasonably acceptable to the U.S. Trustee. Each Debtor shall remain obligated to pay quarterly fees to the U.S. Trustee
and File quarterly reports until the earliest of that particular Debtor’s case being closed, dismissed, or converted to a case under chapter 7 of the Bankruptcy Code. 

ARTICLE III. 

CLASSIFICATION AND TREATMENT OF CLAIMS AND INTERESTS 

All Claims or Interests, except Administrative Claims and Priority Tax Claims, are classified in the Classes set forth below. In accordance
with section 1123(a)(1) of the Bankruptcy Code, Administrative Claims and Priority Tax Claims have not been classified in this Article III. 
  

	A.	 Summary of Classification 

All Claims or Interests, other than Administrative Claims and Priority Tax Claims, are classified in the Classes set forth in this
Article III for all purposes, including voting, Confirmation, and distributions pursuant to this Plan and sections 1122 and 1123(a)(1) of the Bankruptcy Code. A Claim or Interest is classified in a particular
Class only to the extent that such Claim or Interest qualifies within the description of that Class and is classified in other Classes to the extent that any portion of such Claim or Interest qualifies within the description of such other
Classes. A Claim or Interest is also classified in a particular Class for the purpose of receiving distributions pursuant to this Plan, but only to the extent that such Claim or Interest is an Allowed Claim or Allowed Interest in that
Class and has not been paid, released, or otherwise satisfied prior to the Effective Date. 
 This Plan is a separate plan of
reorganization for each Debtor. This Plan groups the Debtors together solely for the purpose of describing treatment under this Plan, Confirmation of this Plan, and making Plan distributions in respect of Claims against and Interests in the Debtors
under this Plan. Such groupings shall not affect any Debtor’s status as a separate legal entity, change the organizational structure of the Debtors’ business enterprise, cause a merger or consolidation of any legal entities, or cause the
transfer of any assets; and, except as otherwise provided by or permitted under this Plan, all Debtors shall continue to exist as separate legal entities. 
  

	 	1.	 Class Identification 

The classification of Claims against and Interests in each Debtor (as applicable) pursuant to this Plan is as set forth below. All of the
potential Classes for the Debtors are set forth herein. Certain of the Debtors may not have Holders of Claims or Interests in a particular Class or Classes, and such Classes shall be treated as set forth in
Article III.H of this Plan. 

  
 28 

							
	 Class
	  	 Claims and Interests
	  	 Status
	  	 Voting Rights

	1	  	 Other Secured Claims
	  	Unimpaired	  	Not Entitled to Vote
(Presumed to Accept)
				
	2	  	 Other Priority Claims
	  	Unimpaired	  	Not Entitled to Vote
(Presumed to Accept)
				
	3	  	 RCF Claims
	  	Impaired	  	Entitled to Vote
				
	4	  	 Senior Notes Claims
	  	Impaired	  	Entitled to Vote
				
	5	  	 General Unsecured Claims
	  	Unimpaired	  	Not Entitled to Vote
(Presumed to Accept)
				
	6	  	 Intercompany Claims
	  	Unimpaired/ Impaired	  	Not Entitled to Vote
(Presumed to Accept/Deemed to Reject)
				
	7	  	 Existing Parent Equity Interests
	  	Impaired	  	Entitled to Vote
				
	8	  	 Intercompany Interests
	  	Unimpaired/Impaired	  	Not Entitled to Vote
(Presumed to Accept/Deemed to Reject)

  

	B.	 Treatment of Claims and Interests 

The treatment and voting rights provided under this Plan to each Class for distribution purposes is specified below: 

 

	 	1.	 Class 1 – Other Secured Claims 

 

	 	a.	 Classification: Class 1 consists of all Allowed Other Secured Claims. 

 

	 	b.	 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, except to the extent
that such Holder agrees to a less favorable treatment, in full and final satisfaction, settlement, release, and discharge of, and in exchange for such Other Secured Claim, at the option of the Reorganized Debtors (subject to the reasonable consent
of the Requisite Consenting Stakeholders), each such Holder of an Allowed Other Secured Claim shall receive (i) payment in full in Cash, or (ii) such other treatment so as to render such Holder’s Allowed Other Secured Claim
Unimpaired. 

  

	 	c.	 Voting: Class 1 is Unimpaired under this Plan. Each Holder of an Allowed Other Secured Claim will
be conclusively presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code. Therefore, each Holder of an Allowed Other Secured Claim is not entitled to vote to accept or reject this Plan. 

  
 29 

	 	2.	 Class 2 – Other Priority Claims 

 

	 	a.	 Classification: Class 2 consists of all Allowed Other Priority Claims against any Debtor.

  

	 	b.	 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, except to the extent
that such Holder agrees to a less favorable treatment, each Holder of an Allowed Other Priority Claim shall receive, at the option of the Debtors (subject to the reasonable consent of the Requisite Consenting Stakeholders), in full and final
satisfaction, settlement, release, and discharge of, and in exchange for such Claim, (i) payment in Cash of the unpaid portion of its Allowed Other Priority Claim or (ii) other treatment consistent with the provisions of section 1129(a)(9)
of the Bankruptcy Code. Other Priority Claims that arise in the ordinary course of the Debtors’ business and which are not due and payable on or before the Effective Date shall be paid in the ordinary course of business in accordance with the
terms thereof. 

  

	 	c.	 Voting: Class 2 is Unimpaired under this Plan. Each Holder of an Allowed Other Priority Claim will
be conclusively presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code. Therefore, each Holder of an Allowed Other Priority Claim is not entitled to vote to accept or reject this Plan. 

 

	 	3.	 Class 3 – RCF Claims 

 

	 	a.	 Classification: Class 3 consists of all Allowed RCF Claims. 

 

	 	b.	 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, except to the extent
that such Holder agrees to a less favorable treatment, in full and final satisfaction, settlement, release, and discharge of, and in exchange for such RCF Claim, each Holder of an Allowed RCF Claim shall receive, either: 

 

	 	i.	 if such Holder elects to participate in the Exit Revolving Credit Facility, (A) first, its Pro Rata share
calculated as a percentage of all Holders in such Class that elect to participate in the Exit Revolving Credit Facility (its “Participating RCF Lender Share”) of the RCF Cash Paydown; (B) second, to the extent such
Holder’s RCF Claims have not been satisfied in full after the application of the RCF Cash Paydown under clause (A) above, its Participating RCF Lender Share of up to $100 million of funded loans under the Exit Revolving Credit
Facility, with such amount subject to change based upon the Effective Date and interest accrued on RCF Claims through such date3; and (C) third, to the extent such Holder’s RCF Claims
have not been satisfied in full after the application of the RCF Cash 

	 	 

 

	3 	 Amounts determined assuming an April 23, 2021 emergence date.

  
 30 

	 	
Paydown under clause (A) above and the allocation of funded loans under clause (B) above, a share of $200 million (less the amount of aggregate funded loans under the Exit
Revolving Credit Facility on the Effective Date allocated pursuant to clause (B) above) of the Exit Term Loan Facility that is equal to the remaining unsatisfied amount of such Holder’s RCF Claims, with such amount subject to change based
upon the Effective Date and interest accrued on RCF Claims through such date4, provided that the aggregate amount of any such Holder’s shares of the amounts described in the foregoing
clauses (A), (B), and (C) shall not exceed the amount of such Holder’s RCF Claims; or 

  

	 	ii.	 if such Holder does not elect to participate in the Exit Revolving Credit Facility, (A) first, a share of
$200 million, with such amount subject to change based upon the Effective Date and interest accrued on RCF Claims through such date5 (less the amount of aggregate funded loans under the Exit
Revolving Credit Facility on the Effective Date allocated pursuant to clause (i)(B) above) of the Exit Term Loan Facility that is equal to the lesser of (x) its RCF Claims and (y) its Pro Rata share (calculated as a percentage of all
Holders in such Class that do not elect to participate in the Exit Revolving Credit Facility) (its “Non-Participating RCF Lender Share”) of the portion of the $200 million, with such
amount subject to change based upon the Effective Date and interest accrued on RCF Claims through such date6, of the Exit Term Loan Facility that is not allocated to participating Holders pursuant
to clause (i)(C) above and (B) second, solely to the extent such Holder’s RCF Claims have not been satisfied in full after the allocation of the Exit Term Loan Facility under clause (A) above, a portion of the RCF Cash Paydown
equal to the lesser of (x) such Holder’s remaining unsatisfied RCF Claims and (y) such Holder’s Non-Participating RCF Lender Share of the amount of the RCF Cash Paydown that has not been
allocated to the participating RCF Lenders pursuant to clause (i)(A) above. 

  

	 	c.	 Voting: Class 3 is Impaired under this Plan. Each Holder of an Allowed RCF Claim will be entitled
to vote to accept or reject this Plan. 

  

	 	4.	 Class 4 – Senior Notes Claims 

 

	 	a.	 Classification: Class 4 consists of all Allowed Senior Notes Claims. 

 

	4 	 Amounts determined assuming an April 23, 2021 emergence date. 

	5 	 Amounts determined assuming an April 23, 2021 emergence date. 

	6 	 Amounts determined assuming an April 23, 2021 emergence date. 

  
 31 

	 	b.	 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, except to the extent
that such Holder agrees to a less favorable treatment, in full and final satisfaction, settlement, release, and discharge of such Senior Notes Claim, each Holder of an Allowed Senior Notes Claim shall receive (i) its Pro Rata share of 70.0% of
the New Diamond Common Shares, subject to dilution by the New Warrants and the MIP Equity Shares; and (ii) Subscription Rights to participate in the Rights Offerings to (a) pursuant to the Primary Rights Offering, purchase such
Holder’s Pro Rata portion of $46,875,000 of Exit Notes and 12.78% of the issued and outstanding New Diamond Common Shares as of the Effective Date, subject to dilution by the New Warrants and the MIP Equity Shares and (b) pursuant to the
Delayed Draw Rights Offering, subscribe for such Holder’s Pro Rata portion of commitments to purchase up to $21,875,000 of Delayed Draw Notes and 5.97% of the total New Diamond Common Shares outstanding on the Effective Date, subject to
dilution by the New Warrants and the MIP Equity Shares. 

 With respect to subsection (b)(ii) above, pursuant to, and in
accordance with, the Backstop Agreement and the Rights Offerings Procedures, each Financing Party has agreed to, severally and not jointly, (i) fully exercise all Subscription Rights that are properly issued to it on the applicable Subscription
Commencement Date on account of its Allowed Senior Notes Claims and (ii) duly purchase all Exit Notes on account of its Allowed Senior Notes Claims. 
  

	 	c.	 Voting: Class 4 is Impaired under this Plan. Each Holder of an Allowed Senior Notes Claim will be
entitled to vote to accept or reject this Plan. 

  

	 	5.	 Class 5 – General Unsecured Claims  

 

	 	a.	 Classification: Class 5 consists of all Allowed General Unsecured Claims. 

 

	 	b.	 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, except to the extent
that such Holder agrees to a less favorable treatment, in full and final satisfaction, settlement, release, and discharge of, and in exchange for such General Unsecured Claims, each Holder of an Allowed General Unsecured Claim shall receive, at the
option of the Debtors (subject to the reasonable consent of the Requisite Consenting Stakeholders): (i) payment in full in Cash (inclusive of post-petition interest at the Federal Judgment Rate, any applicable
contract rate solely to the extent such rate applies, or such other rate as agreed to among the Debtors and such Holder or as determined by the Bankruptcy Court (in any adversary proceeding, contested matter, or otherwise), on the later of
(w) the Effective Date or as soon as reasonably practicable thereafter, (x) the date such Claim becomes Allowed or as soon as reasonably practicable thereafter, (y) the date such 

  
 32 

	 	
Claim comes due under applicable Law or in the ordinary course of business in accordance with the terms and conditions of the particular transaction giving rise to such Claim, or (z) such
other date as agreed between the Debtors or the Reorganized Debtors and such Holder; (ii) Reinstatement; or (iii) such other treatment sufficient to render such Claims Unimpaired. General Unsecured Claims that arise in the ordinary course
of the Debtors’ business and which are not due and payable on or before the Effective Date shall be paid in the ordinary course of business in accordance with the terms thereof. 

 

	 	c.	 Voting: Class 5 is deemed Unimpaired under this Plan. Each Holder of an Allowed General Unsecured
Claim will be conclusively presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code. Therefore, each Holder of an Allowed General Unsecured Claim is not entitled to vote to accept or reject this Plan.

  

	 	6.	 Class 6 – Intercompany Claims 

 

	 	a.	 Classification: Class 6 consists of all Allowed Intercompany Claims. 

 

	 	b.	 Treatment: On the Effective Date, all Intercompany Claims shall be adjusted, Reinstated, or discharged
at the Debtors’ discretion, in consultation with the Ad Hoc Group (subject to the reasonable consent of the Requisite Consenting Stakeholders). 

  

	 	c.	 Voting: Class 6 is either deemed Unimpaired under this Plan, and each such Holder of an Allowed
Intercompany Claim will be conclusively presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code, or is Impaired, and each such Holder of an Allowed Intercompany Claim is deemed to reject this Plan pursuant to section
1126(g) of the Bankruptcy Code. 

  

	 	7.	 Class 7 – Existing Parent Equity Interests 

 

	 	a.	 Classification: Class 7 consists of all Allowed Existing Parent Equity Interests.

 Treatment: On the Effective Date, or as soon as reasonably practicable thereafter, each Holder of an Allowed
Existing Parent Equity Interest will receive its Pro Rata share of the New Warrants, subject to dilution by the MIP Equity Shares. 
  

	 	b.	 Voting: Class 7 is Impaired under this Plan. Each Holder of an Allowed Existing Parent Equity
Interest will be entitled to vote to accept or reject this Plan. 

  
 33 

	 	8.	 Class 8 – Intercompany Interests 

 

	 	a.	 Classification: Class 8 consists of all Allowed Intercompany Interests. 

 

	 	b.	 Treatment: On the Effective Date, all Intercompany Interests shall be (i) cancelled (or otherwise
eliminated) and receive no distribution under this Plan or (ii) Reinstated at the Debtors’ option, in consultation with the Ad Hoc Group (subject to the reasonable consent of the Requisite Consenting Stakeholders). To the extent
Reinstated, Intercompany Interests are Unimpaired solely to preserve the Debtors’ corporate structure, and Holders of such Intercompany Interests shall not otherwise receive or retain any property on account of such Intercompany Interests.

  

	 	c.	 Voting: Class 8 is either deemed Unimpaired under this Plan, and each such Holder of an Allowed
Intercompany Interest will be conclusively presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code, or is Impaired, and each such Holder of an Allowed Intercompany Interest is deemed to reject this Plan pursuant to
section 1126(g) of the Bankruptcy Code. 

  

	C.	 Confirmation Pursuant to Sections 1129(a)(10) and 1129(b) of the Bankruptcy Code

 The Debtors shall seek Confirmation of this Plan pursuant to section 1129(b) of the Bankruptcy Code with
respect to any rejecting Class of Claims. The Debtors reserve the right to modify this Plan in accordance with Article X.A of this Plan to the extent, if any, that Confirmation pursuant to section 1129(b) of the
Bankruptcy Code requires modification (subject to the reasonable consent of the Requisite Consenting Stakeholders). 
  

	D.	 No Substantive Consolidation 

Although this Plan is presented as a joint plan of reorganization for administrative purposes, this Plan does not provide for the substantive
consolidation of the Debtors’ Estates, and on the Effective Date, the Debtors’ Estates shall not be deemed to be substantively consolidated for any reason. Nothing in this Plan, the Confirmation Order or the Disclosure Statement shall
constitute or be deemed to constitute a representation that any one or all of the Debtors is subject to or liable for any Claims or Interests against or in any other Debtor. A Claim or Interest against or in multiple Debtors will be treated as a
separate Claim or Interest against or in each applicable Debtor’s Estate for all purposes, including voting and distribution; provided, however, that no Claim or Interest will receive value in excess of one hundred percent
(100.0%) of the Allowed amount of such Claim or Interest under the Plans for all such Debtors. 
  

	E.	 Allowance of Senior Notes Claims 

The principal and unpaid accrued interest as of the Petition Date comprising the Senior Notes Claims shall be Allowed in the amount of $
2,044,877,422.90, excluding amounts to be paid in Cash on account of services provided by the Senior Notes Trustee. 

  
 34 

	F.	 Allowance of RCF Claims 

The principal and unpaid accrued interest comprising the RCF Claims shall be Allowed in the amount of $444,691,711.18 as of the Petition Date,
plus accrued and unpaid post-petition interest through the Effective Date pursuant to, and at the interest rates prescribed by the RCF Credit Agreement. 
  

	G.	 Special Provision Governing Unimpaired Claims or Interests

 Except as otherwise set forth in this Plan or the Confirmation Order, nothing shall affect the Debtors’ or the
Reorganized Debtors’ rights in respect of any Unimpaired Claims or Interests, including all rights in respect of legal and equitable defenses to or setoffs or recoupment against any such Unimpaired Claims or Interests. 

 

	H.	 Elimination of Vacant Classes 

Any Class of Claims or Interests that does not have a Holder of an Allowed Claim or Interest as of the date of the commencement of the
Confirmation Hearing shall be deemed eliminated from this Plan for purposes of voting to accept or reject this Plan and for purposes of determining acceptance or rejection of this Plan by such Class pursuant to section 1129(a)(8) of the
Bankruptcy Code. 
  

	I.	 Acceptance by Impaired Classes 

An Impaired Class of Claims shall have accepted this Plan if, not counting the vote of any Holder designated under section 1126(e) of the
Bankruptcy Code or any insider under section 1010(31) of the Bankruptcy Code, (i) the Holders of at least two-thirds in amount of the Allowed Claims actually voting in the Class have voted to accept
this Plan, and (ii) the Holders of more than one-half in number of the Allowed Claims actually voting in the Class have voted to accept this Plan. 

 

	J.	 Voting Classes; Presumed Acceptance by Non-Voting
Classes 

 If a Class contains Claims or Interests eligible to vote and no Holders of Claims or
Interests eligible to vote in such Class vote to accept or reject this Plan, this Plan shall be deemed accepted by the Holders of such Claims or Interests in such Class. 
  

	K.	 Presumed Acceptance of this Plan 

To the extent that Claims of any Class are Reinstated or otherwise Unimpaired, each Holder of a Claim or Interest in such Class is
presumed to have accepted this Plan pursuant to section 1126(f) of the Bankruptcy Code and is not entitled to vote to accept or reject this Plan. 
  

	L.	 Controversy Concerning Impairment 

If a controversy arises as to whether any Claims or Interests, or any Class of Claims or Interests, are Impaired, the Bankruptcy Court
shall, after notice and a hearing, determine such controversy on or before the Confirmation Date. 

  
 35 

	M.	 Intercompany Interests 

Intercompany Interests, to the extent Reinstated, are being Reinstated to maintain the existing corporate structure of the Debtors. For the
avoidance of doubt, any Interest in non-Debtor Affiliates owned by a Debtor shall continue to be owned by the applicable Reorganized Debtor. 

 

	N.	 Relative Rights and Priorities 

Unless otherwise expressly provided in this Plan or the Confirmation Order, the allowance, classification, and treatment of all Allowed Claims
or Interests and the respective distributions and treatments under this Plan take into account and conform to the relative priority and rights of such Claims or Interests in each Class in connection with any contractual, legal, and equitable
subordination rights relating thereto, whether arising under general principles of equitable subordination, section 510 of the Bankruptcy Code, or otherwise. 

ARTICLE IV. 
 MEANS
FOR IMPLEMENTATION OF THIS PLAN 
  

	A.	 General Settlement of Claims and Interests 

Pursuant to sections 363 and 1123 of the Bankruptcy Code and Bankruptcy Rule 9019, and in consideration for the classification,
distributions, releases, and other benefits provided under this Plan and the Confirmation Order, upon the Effective Date, the provisions of this Plan and the Confirmation Order shall constitute a good-faith
compromise and settlement of all Claims and Interests and controversies relating to the contractual, legal, and subordination rights of Holders with respect to such Allowed Claims and Interests, as resolved pursuant to this Plan and the Confirmation
Order. The entry of the Confirmation Order shall constitute the Bankruptcy Court’s approval of the compromise and settlement of all such Claims, Interests, and controversies, as well as a finding by the Bankruptcy Court that such compromise and
settlement is in the best interests of the Debtors, their Estates, and Holders of Claims or Interests, and is fair, equitable, and within the range of reasonableness. All distributions made to Holders of Allowed Claims or Interests in any
Class are intended to be and shall be final. The compromises and settlements described herein shall be non-severable from each other and from all other terms of this Plan. 

 

	B.	 Restructuring Transactions 

On or after the Confirmation Date, the Debtors or Reorganized Debtors, as applicable, shall be authorized to enter into such transactions and
take such other actions as may be necessary or appropriate to effectuate a corporate restructuring of their business, to otherwise simplify the overall corporate structure of the Debtors, or to organize certain of the Debtors under the Laws of
jurisdictions other than the jurisdictions in which such Debtors currently are organized, which restructuring may include one or more mergers, consolidations, acquisitions, transfers, assignments, dispositions, liquidations, or dissolutions as may
be determined by the Debtors, in accordance with the Plan Support Agreement, the Backstop Agreement, and the Restructuring Transaction Memorandum (collectively, the “Restructuring Transactions”). In each case in which the surviving,
resulting, or acquiring Entity in any such transaction is a successor to a Debtor, such surviving, resulting, or acquiring Entity shall perform the obligations of such Debtor pursuant to this Plan to satisfy the Allowed Claims against, or Allowed
Interests in, such Debtor, except as 

  
 36 

 
provided in any contract, instrument, or other agreement or document effecting a disposition to such surviving, resulting, or acquiring Entity, which provides that another Debtor shall perform
such obligations. 
 In effectuating the Restructuring Transactions, the Debtors shall be permitted to: 

 

	 	(a)	 execute and deliver appropriate agreements or other documents of merger, consolidation, restructuring,
disposition, transfer, assignment, liquidation, or dissolution containing terms that are consistent with the terms of this Plan and the Confirmation Order and that satisfy the requirements of applicable state Law and such other terms to which the
applicable Entities may agree; 

  

	 	(b)	 execute and deliver appropriate instruments of transfer, assignment, assumption, or delegation of any asset,
property, right, Liability, duty, or obligation on terms consistent with the terms of this Plan and having such other terms to which the applicable Entities may agree; 

 

	 	(c)	 file appropriate certificates or articles of merger, consolidation, or dissolution pursuant to applicable state
Law; and 

  

	 	(d)	 take all other actions that the applicable Entities determine to be necessary or appropriate, in accordance
with the consent rights set forth in the Plan Support Agreement and the Backstop Agreement, including making filings or recordings that may be required by applicable Law in connection with such transactions. 

Upon the Confirmation Date, without any further Bankruptcy Court approval, the Debtors shall have the right, but not the obligation, to
acquire any asset of any other Debtor (including a Debtor for which Confirmation of this Plan has not occurred) in exchange for an assumption of certain Liabilities of such Debtor (including all General Unsecured Claims asserted against such
Debtor’s Estate, which General Unsecured Claims shall receive the treatment provided to such Claims under Article III.B.5 of this Plan regardless of the treatment of any other Claim or Interest of any acquiring
Debtor), provided that the acquiring Debtor and the selling Debtor each determine that such transfer, in the exercise of its business judgment, and in accordance with and subject always to the consent rights set forth in the Plan Support
Agreement and the Backstop Agreement, is in the best interest of such Debtor and its respective Estate. 
 On the Effective Date, or as soon
as reasonably practicable thereafter, the Debtors or the Reorganized Debtors may take all actions consistent with this Plan, the Confirmation Order, the Plan Support Agreement, the Backstop Agreement, and the Restructuring Transaction Memorandum, as
may be necessary or appropriate to effect any transaction described in, approved by, contemplated by, or necessary to effectuate the Restructuring Transactions under and in connection with this Plan, including: 

 

	 	(a)	 the execution, adoption, amendment, and/or delivery of appropriate instruments of transfer, assignment,
assumption, or delegation of any asset, property, interest, right, Liability, debt, or obligation on terms consistent with the terms of this Plan and the Confirmation Order, and having other terms for which the applicable parties agree, including
the Exit Facilities, the Rights Offerings, and New Warrants; 

  
 37 

	 	(b)	 the filing of appropriate certificates or articles of incorporation, reincorporation, merger, consolidation,
conversion, or dissolution pursuant to applicable Law; 

  

	 	(c)	 the execution, adoption, amendment, and/or delivery of the applicable documents included in the Plan
Supplement, to the extent required by the Debtors, including, but not limited to, the Restructuring Documents where relevant; and 

  

	 	(d)	 all other actions that the applicable Entities determine to be necessary or appropriate, in the most tax
efficient manner to the extent commercially reasonable, including making filings or recordings that may be required by applicable Law and opening new bank accounts, but in each case only to the extent not inconsistent with the Plan Support Agreement
and the Backstop Agreement. 

 For purposes of consummating this Plan and the Restructuring Transactions, none of the
transactions contemplated in this Article IV.B shall constitute a change of control under any agreement, contract, or document of the Debtors. 

Each officer, member of the board of directors, or manager of the Debtors is (and each officer, member of the board of directors, or manager
of the Reorganized Debtors shall be) authorized and directed to issue, execute, deliver, file, or record such contracts, securities, instruments, releases, indentures, and other agreements or documents, and take such actions as may be necessary or
appropriate to effectuate, implement, and further evidence the terms and conditions of this Plan and the securities issued pursuant to this Plan in the name of and on behalf of the Reorganized Debtors, all of which shall be authorized and approved
in all respects, in each case, without the need for any approvals, authorizations, consents, or any further actions required under applicable Law, regulation, Order, or rule (including, without limitation, any action by the shareholders or directors
or managers of the Debtors or the Reorganized Debtors) except for those expressly required pursuant to this Plan. 
 All matters provided
for herein involving the corporate structure of the Debtors or Reorganized Debtors, or any corporate, limited liability company, or related action required by the Debtors or Reorganized Debtors in connection herewith shall be deemed to have occurred
and shall be in effect, without any requirement of further action by the shareholders, members, directors, or managers of the Debtors or Reorganized Debtors, and with like effect as though such action had been taken unanimously by the shareholders,
members, directors, or managers, as applicable, of the Debtors or Reorganized Debtors. 
  

	C.	 Cancellation of Certain Existing Security Interests 

Upon the full payment or other satisfaction of an Allowed Other Secured Claim, or promptly thereafter, the Holder of such Allowed Other Secured
Claim shall deliver to the Debtors or Reorganized Debtors, as applicable, any collateral or other property of a Debtor held by such Holder, together with any termination statements, instruments of satisfaction, or releases of all security interests
with respect to its Allowed Other Secured Claim that may be reasonably required to terminate any related financing statements, mortgages, mechanics’ or other statutory Liens, lis pendens, or similar interests or documents. 

  
 38 

	D.	 Sources of Consideration for Plan Distributions 

Consideration for Plan distributions shall come from: 
  

	 	a.	 Equity Interests in the Reorganized Company 

On the Effective Date, all Existing Parent Equity Interests shall be cancelled and the Reorganized Company shall issue or cause to be issued
the New Diamond Common Shares and New Warrants in accordance with the terms of this Plan and the Confirmation Order. On the Effective Date, applicable Holders of eligible Claims or Interests shall receive the New Diamond Common Shares and New
Warrants in exchange for their respective Claims or Interests as set forth in Article III of this Plan and pursuant to the Rights Offerings. All of the New Diamond Common Shares and New Warrants issuable under this Plan and
the Confirmation Order, when so issued, shall be duly authorized, validly issued, fully paid, and nonassessable. 
  

	 	b.	 Rights Offerings and Issuance of the Exit Notes 

On the Effective Date, the Reorganized Debtors shall consummate the Rights Offerings in accordance with the Rights Offerings Procedures, the
Backstop Agreement, and the Exit Notes Documents. Subscription Rights to participate in the Rights Offerings shall be allocated among relevant Holders of Senior Notes Claims on the applicable Subscription Commencement Date in accordance with the
Rights Offerings Procedures, and the allocation of such Subscription Rights will be exempt from SEC registration under applicable Law and shall not constitute an invitation or offer to sell, or the solicitation of an invitation or offer to buy, any
securities in contravention of any applicable Law in any jurisdiction. The Reorganized Debtors intend to implement the Rights Offerings in a manner that shall not cause it to be deemed a public offering in any jurisdiction, except as provided in
section 1145(c) of the Bankruptcy Code with respect to the New Diamond Common Shares and Exit Notes offered and sold in connection with the Rights Offerings pursuant to the exemption from registration provided by section 1145(a)(1) of the Bankruptcy
Code. 
 Holders of the Subscription Rights (including the Financing Parties) shall receive the opportunity to subscribe for up to
$68,750,000 of the Exit Notes in accordance with and pursuant to this Plan, the Rights Offerings Procedures, and the Exit Notes Term Sheet. Each Holder of Subscription Rights (including the Financing Parties) that participates in the Rights
Offerings with respect to the Exit Notes shall also receive, in consideration for its participation in the Rights Offerings, its Pro Rata share (in respect of the Subscription Rights exercised by such Holder) of 18.75% of the issued and outstanding
New Diamond Common Shares as of the Effective Date (subject to dilution by the New Warrants and the MIP Equity Shares) (the “Rights Offerings Shares”). 

The Collateral Trustee shall have valid, binding, and enforceable Liens on the collateral specified in, and to the extent required by, the
Exit Notes Documents. To the extent granted, the guarantees, mortgages, pledges, Liens, and other security interests granted pursuant to the Exit Notes Documents are granted in good faith as an inducement to extend credit thereunder and shall be
deemed not to constitute a fraudulent conveyance or fraudulent transfer, shall not otherwise be subject to avoidance, and the priorities of any such Liens and security interests shall be as set forth in the relevant Exit Notes Documents; provided
that the Exit Notes shall be subject to a last out agreement pursuant to the Exit Notes Documents. 

  
 39 

 Further, the Private Placement Investors shall have the obligation to purchase the Primary
Private Placement Stapled Securities and commit to purchase the Delayed Draw Private Placement Stapled Securities, and the Commitment Parties shall fully backstop the remainder of the Rights Offerings, in each case in accordance with the Backstop
Agreement. In addition to the Rights Offerings Shares associated with the Exit Notes for which the Financing Parties subscribe, the Financing Parties that were initial signatories to the Backstop Agreement will receive a Commitment Premium (which
shall be an Allowed administrative expense), payable upon the earlier of (a) the Effective Date, in Commitment Premium Exit Notes or (b) subject to Article IV.E of this Plan, consummation of an Alternative Restructuring, in Cash.

  

	 	c.	 Exit Term Loan Facility 

On the Effective Date, the Reorganized Debtors shall be authorized to execute, deliver, and enter into the Exit Term Loan Facility Documents
without further (i) notice to, Order of, or other approval of the Bankruptcy Court, (ii) act or omission under applicable Law, regulation, Order, or rule, (iii) vote, consent, authorization, or approval of any Person, or
(iv) action by the Holders of Claims or Interests. The Exit Term Loan Facility shall constitute legal, valid, binding, and authorized joint and several obligations of the applicable Reorganized Debtors, enforceable in accordance with its terms,
and such obligations shall not be enjoined or subject to discharge, impairment, release, avoidance, recharacterization, or subordination under applicable Law, this Plan, or the Confirmation Order. The financial accommodations to be extended pursuant
to the Exit Term Loan Facility Documents are reasonable and are being extended, and shall be deemed to have been extended, in good faith and for legitimate business purposes. 

The Exit Term Loan Agent shall have valid, binding, and enforceable Liens on the collateral specified in, and to the extent required by, the
Exit Term Loan Facility Documents. To the extent granted, the guarantees, mortgages, pledges, Liens and other security interests granted pursuant to the Exit Term Loan Facility Documents are granted in good faith as an inducement to extend credit
thereunder and shall be deemed not to constitute a fraudulent conveyance or fraudulent transfer, shall not otherwise be subject to avoidance, and the priorities of any such Liens and security interests shall be as set forth in the relevant Exit Term
Loan Facility Documents. 
  

	 	d.	 Exit Revolving Credit Facility 

On the Effective Date, the Reorganized Debtors shall be authorized to execute, deliver, and enter into the Exit Revolving Credit Facility
Documents without further (i) notice to, Order of, or other approval of the Bankruptcy Court, (ii) act or omission under applicable Law, regulation, Order, or rule, (iii) vote, consent, authorization, or approval of any Person, or
(iv) action by the Holders of Claims or Interests. The Exit Revolving Credit Facility shall constitute legal, valid, binding, and authorized joint and several obligations of the applicable Reorganized Debtors, enforceable in accordance with its
terms, and such obligations shall not be enjoined or subject to discharge, impairment, release, avoidance, recharacterization, or subordination under applicable Law, this Plan, or the Confirmation Order. The financial accommodations to be extended
pursuant to the Exit Revolving Credit Facility Documents are reasonable and are being extended, and shall be deemed to have been extended, in good faith and for legitimate business purposes. 

  
 40 

 On the Effective Date, all letters of credit issued under the RCF Credit Agreement, shall be
deemed to have been issued under, and will receive the collateral support of, the Exit Revolving Credit Facility. 
 The Exit Revolving
Credit Facility Agent shall have valid, binding, enforceable, perfected first Liens on the collateral specified in, and to the extent required by, the Exit Revolving Credit Facility Documents. To the extent granted, the guarantees, mortgages,
pledges, Liens and other security interests granted pursuant to the Exit Revolving Credit Facility Documents are granted in good faith as an inducement to extend credit thereunder and shall be deemed not to constitute a fraudulent conveyance or
fraudulent transfer, shall not otherwise be subject to avoidance, and the priorities of any such Liens and security interests shall be as set forth in the relevant Exit Revolving Credit Facility Documents. 

 

	 	e.	 Exit Revolving Credit Facility Commitment Fee 

Holders of Allowed RCF Claims that elect to participate in the Exit Revolving Credit Facility shall receive (solely on account of such
Holders’ commitments under the Exit Revolving Credit Facility and not on account of their Allowed RCF Claims) their Pro Rata portion of a paid-in-kind nonrefundable
upfront fee (the “Exit Revolving Credit Facility Commitment Fee”) equal to $3,477,953.58 payable in kind in the form of additional drawn commitments under the Exit Revolving Credit Facility, which shall increase both the amount of
drawn and total commitments thereunder, in exchange for providing such new money commitments and not on account of their RCF Claims; provided that if an Alternative Restructuring occurs, the Exit Revolving Credit Facility Commitment Fee,
equal to $3,477,953.58, shall be due and payable in full in Cash upon the date of consummation of such Alternative Restructuring (the “Alternative Restructuring Fee”) pursuant to (and in accordance with) the Fee Letters.
Notwithstanding the foregoing, the Alternative Restructuring Fee shall not be payable pursuant to the Lender Fee Letter or otherwise to the extent the Alternative Restructuring is consummated as a result of a determination by the Requisite
Consenting RCF Lenders (as defined in the Plan Support Agreement) that the PCbtH Contracts’ treatment in the Chapter 11 Cases, including under this Plan, is not reasonably acceptable to the Requisite Consenting RCF Lenders. 

 

	 	f.	 Exit Facility Liens 

The Reorganized Debtors and Persons granted Liens and security interests under the Exit Facilities shall be authorized to make all filings and
recordings and to obtain all governmental approvals and consents necessary to establish and perfect such Liens and security interests under the provisions of the applicable state, provincial, federal, or other Law (whether domestic or foreign) that
would be applicable in the absence of this Plan and the Confirmation Order (it being understood that perfection shall occur automatically by virtue of the entry of the Confirmation Order without the need for any filings or recordings) and will
thereafter cooperate to make all other filings and recordings that otherwise would be necessary under applicable Law to give notice of 

  
 41 

 
such Liens and security interests to third parties. The Exit Facilities shall be secured by first liens in the same collateral; however, the Reorganized Debtors’ payment obligations in
respect of the Exit Revolving Credit Facility shall rank senior to their payment obligations in respect of the Exit Term Loan Facility and Exit Notes. 
  

	E.	 Commitment Premium 

The amount to be paid as consideration to the Financing Parties on the Effective Date, pursuant to the terms and conditions set forth in this
Plan and the Backstop Agreement, shall be a nonrefundable aggregate premium equal to 9% of the aggregate amount of Exit Notes (the “Commitment Premium”), payable in kind in the form of additional Exit Notes (the “Commitment
Premium Exit Notes”); provided, that if an Alternative Restructuring occurs, the Commitment Premium shall be payable in Cash pursuant to (and in accordance with) the Backstop Agreement. Notwithstanding the foregoing, the
Commitment Premium shall not be payable under the Backstop Agreement to the extent the Backstop Agreement is terminated by the Requisite Financing Parties as a result of the Requisite Financing Parties or the Requisite Consenting Stakeholders making
a determination that (a) the PCbtH Contracts were not renegotiated on terms reasonably acceptable to such parties or (b) this Plan does not provide for alternative treatment of the PCbtH Contracts on terms reasonably acceptable to such
parties, including any termination of the Backstop Agreement based on or arising from the termination of the Plan Support Agreement, the Commitment Letter (as defined in the Plan Support Agreement), or the failure to occur of the Effective Date
under the Plan on or before the Outside Date (as defined in the Backstop Agreement), in each case on account of such determination. No Rights Offerings Shares shall be issued on account of the Commitment Premium Exit Notes. To the extent not
previously assumed pursuant to an Order of the Bankruptcy Court, the Backstop Agreement shall be assumed pursuant to the Confirmation Order. 
  

	F.	 Issuance and Distribution of New Securities; Execution of Plan Documents

 Except as otherwise provided in this Plan, on or as soon as reasonably practicable after the Effective Date, the
Reorganized Debtors shall issue and/or deliver all securities, notes, instruments, Certificates, and other documents required to be issued pursuant to this Plan. 
  

	G.	 Corporate Existence 

Except as otherwise provided in this Plan or the Confirmation Order, any agreement, instrument or other document incorporated in this Plan, the
Confirmation Order or the Plan Supplement, or as a result of the Restructuring Transactions, on the Effective Date, each Debtor shall continue to exist after the Effective Date as a separate corporation or other form of Entity under governing law
with all the powers of such corporation, limited liability company or other form of Entity, as the case may be, pursuant to the applicable Law in the jurisdiction in which each applicable Debtor is incorporated or formed and pursuant to the
respective certificate of incorporation and bylaws (or other analogous formation documents) in effect before the Effective Date, except to the extent such certificate of incorporation and bylaws (or other analogous formation documents) are amended
by this Plan, the Confirmation Order or otherwise, and to the extent such documents are amended, such documents are deemed to be amended pursuant to this Plan or the Confirmation Order, and require no further action or approval (other than any
requisite 

  
 42 

 
filings required under applicable state, provincial, federal, or foreign law). For the avoidance of doubt, nothing in this Article IV.F prevents, precludes, or otherwise
impairs the Reorganized Debtors, or any one of them, from amending or modifying their respective certificate of incorporation and bylaws (or other formation documents), merging, amalgamating, or otherwise restructuring their legal Entity form,
without supervision or approval by the Bankruptcy Court and in accordance with applicable non-bankruptcy law after the Effective Date. 
  

	H.	 Exemption from Registration 

The offering, issuance, and distribution of the New Diamond Common Shares (including the New Diamond Common Shares issuable upon exercise of
the New Warrants), Subscription Rights, Rights Offerings Stapled Securities (in each case other than the Unsubscribed Stapled Securities and the Private Placement Stapled Securities issued to or purchased by the Financing Parties pursuant to the
Backstop Agreement), and New Warrants by the Debtors on account of Claims or Interests as contemplated by this Plan and the Confirmation Order shall be exempt from, among other things, the registration requirements of section 5 of the
Securities Act and any other applicable U.S. state or other law requiring registration prior to the offering, issuance, distribution, or sale of securities in accordance with, and pursuant to, section 1145 of the Bankruptcy Code to the extent
permitted or under the Securities Act by virtue of section 4(a)(2) thereof and Rule 506 of Regulation D promulgated thereunder and/or Regulation S promulgated under the Securities Act. Except as set forth below with respect to the Subscription
Rights, the securities issued pursuant to section 1145 of the Bankruptcy Code will not be “restricted securities” as defined in Rule 144(a)(3) of the Securities Act and will be freely tradable and transferable by the initial
recipients thereof, subject to the provisions of section 1145(b)(1) of the Bankruptcy Code relating to the definition of an underwriter in section 1145(b) of the Bankruptcy Code, and compliance with applicable securities laws, including
Rule 144 of the Securities Act, and any rules and regulations of the SEC, if any, applicable at the time of any future transfer of such securities or instruments. The Subscription Rights issued in connection with the Rights Offerings will not be
transferable. In addition, any Commitment Premium Exit Notes issued as payment of the Commitment Premium are issuable under section 1145 of the Bankruptcy Code. 

The issuance of the Unsubscribed Stapled Securities and the Private Placement Stapled Securities pursuant to the Backstop Agreement is being
made in reliance on the exemption from registration set forth in section 4(a)(2) of the Securities Act and Rule 506 of Regulation D promulgated thereunder, Regulation S promulgated under the Securities Act, and/or similar registration
exemptions applicable outside of the United States, and such securities will be considered “restricted securities” subject to resale restrictions and may be resold, exchanged, assigned, or otherwise transferred only pursuant to a
registration statement or an available exemption from the registration requirements of the Securities Act and other applicable Law. 
 To
the extent the issuance and distribution of any Exit Notes, New Diamond Common Shares, or New Warrants is being made in reliance on the exemption from registration set forth in Section 4(a)(2) of the Securities Act and Rule 506 of
Regulation D promulgated thereunder, Regulation S promulgated under the Securities Act, and/or similar registration exemptions applicable outside of the United States, such securities will be considered “restricted securities” subject
to resale restrictions and may be resold, exchanged, assigned, or otherwise transferred only pursuant to a registration statement and available exemption from the registration requirements of the Securities Act and other applicable Law. 

  
 43 

	I.	 Vesting of Assets in the Reorganized Debtors 

Except as otherwise provided in this Plan or the Confirmation Order, any agreement, instrument, or other document incorporated in this Plan,
the Confirmation Order or the Plan Supplement, or pursuant to any other Final Order of the Bankruptcy Court, on the Effective Date, all property in each Estate, all Causes of Action, and any property acquired by any of the Debtors pursuant to this
Plan or the Confirmation Order shall vest in each respective Reorganized Debtor, free and clear of all Liens, Claims, charges, rights, or other encumbrances. On and after the Effective Date, except as otherwise provided in this Plan or the
Confirmation Order, each Reorganized Debtor may operate its business and may use, acquire, or dispose of property and compromise or settle any Claims or Interests or Causes of Action without supervision or approval by the Bankruptcy Court and free
of any restrictions of the Bankruptcy Code or Bankruptcy Rules. Without limiting the foregoing, the Reorganized Debtors may pay the charges that they incur on or after the Effective Date for professional fees, disbursements, expenses, or related
support services without application to the Bankruptcy Court. 
  

	J.	 Cancellation of Existing Securities and Agreements 

 Except for the purpose of evidencing a right to a distribution under this Plan or as otherwise provided in this
Plan, the Confirmation Order or any agreement, instrument, or other document incorporated in this Plan, the Confirmation Order or the Plan Supplement, on the Effective Date: 
  

	 	(a)	 the obligations of the Debtors under the RCF Credit Agreement, the Senior Notes Indenture, stock certificates,
book entries, and any other certificate, share, note, bond, indenture, purchase right, option, warrant, or other instrument or document, directly or indirectly, evidencing or creating any indebtedness or obligation of or ownership interest in the
Debtors giving rise to any Claim or Interest (except (i) such Certificates, notes or other instruments or documents evidencing indebtedness or obligations of, or Interests in, the Debtors that are specifically Reinstated pursuant to this Plan
or the Confirmation Order and (ii) all letters of credit issued by HSBC Bank USA under the RCF Credit Agreement which shall be treated as set forth in Article IV.D.d) shall be rolled into the Exit Revolving Exit Facility;

  

	 	(b)	 the obligations of the Debtors pursuant, relating or pertaining to any agreements, indentures, certificates of
designation, bylaws, or certificate or articles of incorporation or similar documents governing the shares, Certificates, notes, bonds, purchase rights, options, warrants, or other instruments or documents evidencing or creating any indebtedness or
obligation of the Debtors (except such agreements, Certificates, notes or other instruments evidencing indebtedness or obligations of or Interests in the Debtors that are specifically Reinstated pursuant to this Plan or the Confirmation Order) shall
be released and discharged; provided, however, that, 

  
 44 

	 	
notwithstanding Confirmation, the occurrence of the Effective Date, or the cancellation, release, and discharge contained in this Article IV.J, any agreement that governs the rights of the
RCF Agent and/or the Senior Notes Trustee (including, without limitation, the Senior Notes Indenture), or any other Holder of a Claim shall continue in effect solely for purposes of: 

 

	 	a.	 enabling Holders of Allowed Claims or Interests to receive distributions under this Plan and the Confirmation
Order, as provided herein (in the case of distributions under this Plan to Holders of Senior Notes Claims, subject to the Senior Notes Trustee’s charging lien and priority of payment rights), and for enforcing any rights hereunder
or thereunder against parties other than the Debtors, the Reorganized Debtors or their Representatives; 

  

	 	b.	 allowing the RCF Agent and Senior Notes Trustee, in accordance with Article VII of this Plan, to make
distributions to the Holders of RCF Claims and, subject to the Senior Notes Trustee’s charging lien and priority of payment rights, Holders of Senior Notes Claims, as applicable; 

 

	 	c.	 allowing the RCF Agent and Senior Notes Trustee to maintain any right of priority of payment, charging lien,
indemnification, exculpation, contribution, subrogation, or any other Claim or entitlement it may have under the RCF Documents or the Senior Notes Indenture, as applicable (which shall survive and not be released), other than against the Debtors and
the Reorganized Debtors; 

  

	 	d.	 allowing the RCF Agent and Senior Notes Trustee to enforce any obligations owed to each of them under this Plan
or the Confirmation Order; 

  

	 	e.	 permitting the RCF Agent and Senior Notes Trustee, as applicable, to appear and be heard in the Chapter 11
Cases or in any proceeding in the Bankruptcy Court or any other court, including, without limitation, to enforce any obligations owed to the Senior Notes Trustee or to Holders of Senior Notes Claims, under this Plan, Confirmation Order, or relating
to the Senior Notes Indenture; 

  

	 	f.	 permitting the RCF Agent and Senior Notes Trustee to exercise their respective rights relating to the interests
of the RCF Lenders and Senior Noteholders on account of the RCF Claims or the Senior Notes Claims, as applicable, to the extent consistent with this Plan or the Confirmation Order; 

 

	 	g.	 preserving the rights of the RCF Agent to payment of reasonable and documented fees and expenses in connection
with the implementation and consummation of this Plan; 

  

	 	h.	 preserving the rights of the Senior Notes Trustee to payment of reasonable and documented fees and expenses in
connection with the implementation and consummation of this Plan; and 

  
 45 

	 	i.	 permitting the RCF Agent and Senior Notes Trustee to perform any functions that are necessary to effectuate the
foregoing.  

 The preceding provisos shall not affect the discharge of Claims pursuant to the Bankruptcy Code, the Confirmation
Order, or this Plan or result in any expense or liability to the Reorganized Debtors, except to the extent set forth in or provided for under this Plan or the Confirmation Order; provided that nothing in this section shall effect a
cancellation of any Subscription Rights, New Diamond Common Shares, New Warrants, or Intercompany Interests. 
 Except as expressly provided
in this Plan or the Confirmation Order, on and after the Effective Date, each of the RCF Agent and Senior Notes Trustee and their respective agents, successors, and assigns shall be automatically and fully discharged and released of all of their
duties and obligations under the Base Indenture and the applicable RCF Documents, as applicable. The Reorganized Debtors shall pay the Senior Notes Trustee’s reasonable and documented fees and expenses (including the expenses of its counsel and
agents) incurred after the Effective Date in connection with the implementation of this Plan, including, but not limited to, making distributions pursuant to and in accordance with this Plan. 

 

	K.	 Corporate Action 

On the Effective Date, all actions contemplated by this Plan or the Confirmation Order shall be deemed authorized and approved by the
Bankruptcy Court in all respects, including, as applicable: 
  

	 	(a)	 the adoption of the New Organizational Documents and any other new corporate governance documents;

  

	 	(b)	 the execution and delivery of the Restructuring Documents and any related instruments, agreements, guarantees,
filings, or other related documents; 

  

	 	(c)	 the implementation of the Restructuring Transactions; and 

 

	 	(d)	 all other actions contemplated by this Plan or the Confirmation Order (whether to occur before, on or after the
Effective Date). On the Effective Date, all matters provided for in this Plan or the Confirmation Order involving the corporate structure of the Reorganized Debtors, and any corporate action required by the Debtors or the Reorganized Debtors in
connection with this Plan or the Confirmation Order, shall be deemed to have occurred and shall be in effect, without any requirement of further action by the Interest Holders, directors, or officers of the Debtors or the Reorganized Debtors.

 On or (as applicable) before the Effective Date, the appropriate officers of the Debtors or the Reorganized Debtors
shall be authorized to issue, execute, and deliver the agreements, documents, securities, and instruments contemplated by this Plan or the Confirmation Order (or necessary or desirable to effect the transactions contemplated by this Plan or the
Confirmation Order) in the name of and on behalf of the Reorganized Debtors, including, without limitation, the Restructuring Documents and any and all other agreements, documents, securities, and instruments relating to the foregoing, to the extent
not previously authorized by the Bankruptcy Court. The authorizations and approvals contemplated by this Article IV.K shall be effective notwithstanding any requirements under
non-bankruptcy law. 

  
 46 

	L.	 New Organizational Documents 

To the extent required under this Plan, the Confirmation Order, or applicable non-bankruptcy law, the
Reorganized Debtors shall file their respective New Organizational Documents and other applicable agreements (in a form consistent with the provisions of the Plan Support Agreement) with the applicable Secretaries of State or other applicable
authorities in their respective states, provinces, or countries of incorporation or formation in accordance with the corporate laws of the respective states, provinces, or countries of incorporation or formation. Pursuant to section 1123(a)(6)
of the Bankruptcy Code, to the extent applicable to these Chapter 11 Cases, the New Organizational Documents of the Reorganized Debtors will prohibit the issuance of non-voting equity securities. 

 

	M.	 Directors and Officers of the Reorganized Debtors 

The New Board shall be appointed by the Ad Hoc Group, in consultation with the Debtors’ management, and the identities and affiliations of
directors on the New Board shall be set forth in the Plan Supplement, to the extent known at the time of Filing. On the Effective Date, the New Board will be comprised of seven directors selected by the Ad Hoc Group; provided, however,
that unless otherwise determined by the board of directors of Diamond Offshore prior to the Effective Date, the Reorganized Company’s chief executive officer, Marc Edwards, shall be a member of the New Board for the duration of his term as the
Reorganized Company’s chief executive officer and the remainder of the New Board shall be appointed in compliance with section 1129(a)(5) of the Bankruptcy Code. 

Except as otherwise provided in this Plan, the Confirmation Order, the Plan Supplement or the New Organizational Documents, the officers of
the Debtors immediately before the Effective Date, as applicable, shall serve as the initial officers of the Reorganized Debtors on the Effective Date. 

Commencing on the Effective Date, each of the directors of the Reorganized Debtors shall be elected and serve pursuant to the terms of the
applicable organizational documents of such Reorganized Debtor and may be replaced or removed in accordance with such organizational documents. 
  

	N.	 Effectuating Documents; Further Transactions 

On and after the Effective Date, the Reorganized Debtors, and the officers thereof and members of the New Board, shall be authorized to and may
issue, execute, deliver, file, or record such contracts, securities, instruments, releases, and other agreements or documents and take such actions as may be necessary or appropriate to effectuate, implement, and further evidence the terms and
conditions of this Plan with respect to the Confirmation Order or the securities issued pursuant to this Plan (or the other Restructuring Documents), including the Restructuring Documents, in the name of and on behalf of the Reorganized Debtors,
without the need for any approvals, authorization, or consents, except those expressly required pursuant to this Plan or the Confirmation Order. 

  
 47 

	O.	 Exemption from Certain Taxes and Fees 

Pursuant to section 1146(a) of the Bankruptcy Code, any transfers of property pursuant to this Plan or the Confirmation Order (including
under any of the Restructuring Documents and related documents) shall not be subject to any document recording tax, stamp tax, conveyance fee, intangibles or similar tax, mortgage tax, stamp act, real estate tax, sale or use tax, mortgage recording
tax, or other similar tax or governmental assessment, and, upon entry of the Confirmation Order, the appropriate state or local governmental officials or agents shall forgo the collection of any such tax or governmental assessment and accept for
filing and recordation any of the foregoing instruments or other documents pursuant to such transfers of property without the payment of any such tax, recordation fee, or governmental assessment. Such exemption under section 1146(a) of the
Bankruptcy Code specifically applies, without limitation, to: (a) the creation and recording of any mortgage, deed of trust, Lien, or other security interest; (b) the making or assignment of any lease or sublease; (c) any
Restructuring Transaction; (d) the issuance, distribution and/or sale of any securities of the Debtors or the Reorganized Debtors; and (e) the making or delivery of any deed or other instrument of transfer under, in furtherance of, or in
connection with this Plan or the Confirmation Order, including (i) any merger agreements, (ii) agreements of consolidation, restructuring, disposition, liquidation, or dissolution, (iii) deeds, (iv) bills of sale, or
(v) assignments executed in connection with any Restructuring Transaction occurring under this Plan or the Confirmation Order. 
  

	P.	 Insured Claims 

Notwithstanding anything to the contrary contained herein, to the extent that the Debtors have insurance with respect to any Allowed General
Unsecured Claim, the Holder of such Allowed General Unsecured Claim shall (a) be paid any amount from the proceeds of insurance to the extent that such Claim is insured, and (b) solely for the portion of such Claim that is not paid by the
applicable insurance policy, receive the treatment provided for Allowed General Unsecured Claims in this Plan. 
  

	Q.	 Preservation of Causes of Action 

In accordance with section 1123(b) of the Bankruptcy Code, the Reorganized Debtors shall retain and may (but are not required to) enforce
all rights to commence and pursue any and all Causes of Action not released pursuant to Article VIII of this Plan, the Confirmation Order or another Order of the Bankruptcy Court, whether arising before or after the
Petition Date, including the Preserved Causes of Action, and such Causes of Action shall vest in the Reorganized Debtors as of the Effective Date. The Reorganized Debtors shall, in their sole discretion, determine whether to bring, settle, release,
compromise, or enforce such Causes of Action (or decline to do any of the foregoing), and shall not be required to seek further Bankruptcy Court approval for such action. No Entity may rely on the absence of specific reference in this Plan, the
Plan Supplement, or the Disclosure Statement to any Cause of Action against them as any indication that the Debtors or Reorganized Debtors will not pursue any and all available Causes of Action against them. The Debtors and the Reorganized Debtors
expressly reserve the right to prosecute any and all Causes of Action that are not released pursuant to Article VIII of this Plan against any Entity, except as otherwise provided in this
Plan or the Confirmation Order. 
  

	R.	 Director and Officer Liability Insurance 

The Debtors’ D&O Liability Insurance Policies shall be Reinstated under this Plan to the fullest extent possible under applicable Law.
Notwithstanding anything in this Plan or the Confirmation Order to the contrary, effective as of the Effective Date, the Reorganized Debtors shall be deemed to have assumed all D&O Liability Insurance Policies with respect to the
Debtors’ directors, managers, officers, and employees serving on or prior to the Effective Date pursuant to section 365(a) of the Bankruptcy Code. Entry of the Confirmation Order will constitute the Bankruptcy Court’s approval of the
Reorganized Debtors’ assumption of each of the D&O Liability Insurance Policies. Notwithstanding anything to the contrary contained in this Plan or the Confirmation Order, Confirmation of this Plan shall not discharge, impair, or otherwise
modify any indemnity obligations assumed by the foregoing assumption of the D&O Liability Insurance Policies, and each such indemnity obligation will be deemed and treated as an executory contract that has been assumed by the Reorganized Debtors
under this Plan or the Confirmation Order, and no Proof of Claim, Administrative Claim, or objection to Cure Claim need be Filed with respect thereto. For the avoidance of doubt, the D&O Liability Insurance Policies will continue to apply with
respect to actions, or failures to act, that occurred on or prior to the Effective Date, subject to the terms and conditions of the D&O Liability Insurance Policies. 
  

	S.	 Management Incentive Plan 

On and after the Effective Date, the New Board shall be authorized to institute the MIP consistent with the terms and conditions set forth in
the Employee Matters Term Sheet, which shall allocate 40% of the MIP Equity Shares within 120 days after the Effective Date and provide that at least 40% of such MIP Equity Shares shall be in the form of time-based awards vesting over a period of no
longer than four years. Except as set forth herein and in the Employee Matters Term Sheet, the terms and conditions for the MIP shall be determined by the New Board (or a committee thereof). 

  
 48 

	T.	 KEIP Escrow & Deferred Payment

 Notwithstanding anything to the contrary in the KEIP Order, the Reorganized Debtors shall make the Deferred Payment
(to the extent actually earned by such KEIP Participants) to KEIP Participants on the Effective Date. In addition, the Debtors or Reorganized Debtors (as applicable) shall make all earned payments under the KEIP as soon as reasonably practicable
after the end of any Performance Period occurring on or after the Confirmation Date for as long as the KEIP remains in effect; provided that the Deferred Payment for any such Performance Period shall be paid on the Effective Date. 

On the Effective Date, the Debtors shall establish the KEIP Escrow and transfer an amount equal to the KEIP Escrow Amount from the
Debtors’ general funds available as of the Effective Date. The KEIP Escrow shall be maintained in trust for the KEIP Participants and for no other Entities until all amounts owed to the KEIP Participants under the KEIP have been irrevocably

  
 49 

 
paid in full to the KEIP Participants pursuant to the KEIP Order. No Liens, Claims, or interests shall encumber the KEIP Escrow or Cash held on account of the KEIP Escrow in any way. Such funds
shall not be considered property of the Estates, the Debtors, or the Reorganized Debtors; provided, however, that the Reorganized Debtors shall have a reversionary interest in the excess, if any, of the amount of the KEIP Escrow
over the aggregate amount owed to the KEIP Participants under the KEIP to be paid from the KEIP Escrow. When such amounts owed under the KEIP have been paid in full to the KEIP Participants, any remaining amount in the KEIP Escrow shall promptly be
paid to the Reorganized Debtors without any further action or Order of the Bankruptcy Court. 
  

	U.	 Employee Arrangements of the Reorganized Debtors 

Except as otherwise provided in this Plan, the Confirmation Order or the Plan Supplement, all written employment, severance, retirement,
indemnification, and other similar employee-related agreements or arrangements in place as of the Effective Date with the Debtors, retirement income plans and welfare benefit plans, or discretionary bonus plans or variable incentive plans regarding
payment of a percentage of annual salary based on performance goals and financial targets for certain employees, including the Employee Compensation Programs as modified pursuant to the terms of this Plan and the SERP, shall be assumed (as may have
been amended prior to or on the Effective Date, subject to any required amendments contemplated by the Employee Matters Term Sheet) by the Reorganized Debtors and shall remain in place after the Effective Date, as may be amended by agreement between
the beneficiaries of such agreements, plans, or arrangements, on the one hand, and the Debtors, on the other hand, as applicable, or, after the Effective Date, by agreement with the Reorganized Debtors, provided, in each case, that any such
amendments are consistent with the Employee Matters Term Sheet, and the Reorganized Debtors will continue to honor such agreements, arrangements, programs, and plans. On the Effective Date, the Reorganized Debtors shall adopt, approve, and authorize
the Employee Compensation Plans. 
 Notwithstanding the foregoing, and unless otherwise provided in the Plan Supplement, all plans or
programs calling for stock grants, stock issuances, stock reserves, or stock options shall be deemed rejected with regard to such issuances, grants, reserves, and options. For the avoidance of doubt, no provision in any agreement, plan, or
arrangement to be assumed pursuant to the foregoing paragraph relating to the award of equity or equity-like compensation shall be binding on, or honored by, the Reorganized Debtors. Nothing in this Plan shall limit, diminish, or otherwise alter the
Reorganized Debtors’ defenses, Claims, Causes of Action, or other rights with respect to any such contracts, agreements, policies, programs, and plans. Notwithstanding the foregoing, pursuant to section 1129(a)(13) of the Bankruptcy Code,
on and after the Effective Date, all retiree benefits (as that term is defined in section 1114 of the Bankruptcy Code), if any, shall continue to be paid in accordance with applicable Law. 

On the Effective Date, the Reorganized Debtors shall release, waive, and relinquish any and all rights to claw back or recover any amounts
paid to the KEIP Participants on or before the Petition Date under any compensation arrangements among such participants and the Debtors. 

  
 50 

	V.	 Restructuring Expenses 

The accrued and unpaid Restructuring Expenses incurred, or estimated to be incurred, up to and including the Effective Date (whether incurred
prepetition or post-petition) shall be paid in full in Cash on the Effective Date (to the extent not previously paid during the course of the Chapter 11 Cases) without the need for any further notice or
approval by the Bankruptcy Court or otherwise. All Restructuring Expenses to be paid on the Effective Date shall be estimated prior to and as of the Effective Date, and such estimates shall be delivered to the Debtors at least two (2) Business
Days before the anticipated Effective Date (or such shorter period as the Debtors may agree); provided, that such estimate shall not be considered an admission or limitation with respect to such Restructuring Expenses. Within ten
(10) Business Days after the Effective Date, final invoices for all Restructuring Expenses incurred prior to and as of the Effective Date shall be submitted to the Reorganized Debtors. 

 

	W.	 Ordinary Course Professionals 

Any Ordinary Course Professional is authorized to set off any undisputed Claim for prepetition fees and expenses against any amount held on
retainer for such Ordinary Course Professional. 
  

	X.	 Reporting Company 

The Reorganized Company agrees, if instructed by the Requisite Financing Parties, to use commercially reasonable efforts to have the New
Diamond Common Shares listed or quoted on the New York Stock Exchange (the “NYSE”) on the Effective Date, or if such listing or quotation is not possible on the Effective Date, as soon as reasonably practicable after the Effective
Date, in each case, subject to applicable listing requirements. On and after the Effective Date, the Reorganized Company shall continue to file annual, quarterly, and current reports with the Securities and Exchange Commission as required pursuant
to Section 12 or Section 15 of the Securities Exchange Act of 1934, as amended. 
  

	Y.	 Notice of Effective Date 

On the Effective Date, or as soon as reasonably practicable thereafter, the Debtors shall File a notice of the occurrence of the Effective Date
with the Bankruptcy Court. 
 ARTICLE V. 

TREATMENT OF EXECUTORY CONTRACTS AND UNEXPIRED LEASES 
  

	A.	 Assumption and Rejection of Executory Contracts and Unexpired Leases

 As of and subject to the occurrence of the Effective Date and the payment of any applicable Cure Claims, all
Executory Contracts and Unexpired Leases to which any of the Debtors are a party, including, without limitation, the Backstop Agreement, and which have not expired by their own terms on or prior to the Effective Date, shall be deemed assumed except
for any Executory Contracts and Unexpired Leases that (a) are identified on the Schedule of Rejected Contracts; (b) have been previously rejected by a Final Order; (c) are the subject of a motion to reject Executory Contracts and
Unexpired Leases that is pending on the Confirmation Date; (d) are subject to a motion to reject Executory Contracts and Unexpired Leases pursuant to which the requested effective date of such rejection is after the Effective Date; or
(e) are otherwise rejected pursuant to the terms of this Plan. All Executory Contracts and Unexpired Leases listed on the Schedule of Rejected Contracts will be deemed rejected as of the Effective Date. 

  
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 Subject to the occurrence of the Effective Date, entry of the Confirmation Order by the
Bankruptcy Court shall constitute approval of the assumptions or rejections of Executory Contracts and Unexpired Leases provided for in this Plan, the Confirmation Order or the Schedule of Rejected Contracts, pursuant to sections 365(a) and
1123 of the Bankruptcy Code. Unless otherwise indicated, assumptions of Executory Contracts and Unexpired Leases pursuant to this Plan and the Confirmation Order are effective as of the Effective Date. Each Executory Contract and Unexpired Lease
assumed pursuant to this Plan, the Confirmation Order or by any other Order of the Bankruptcy Court, but not assigned to a third party before the Effective Date, shall re-vest in and be fully enforceable by
the applicable contracting Reorganized Debtor in accordance with its terms, except as such terms may have been modified by the provisions of this Plan, the Confirmation Order or any Order of the Bankruptcy Court authorizing and providing for its
assumption under applicable federal law. 
 The Debtors reserve the right to alter, amend, modify, or supplement the Schedule of Rejected
Contracts (subject to the reasonable consent of the Requisite Consenting Stakeholders), including to add or remove any Executory Contracts and Unexpired Leases, at any time up to and including the Effective Date. As such, the Schedule of Rejected
Contracts is not final, and is subject to ongoing review. 
 To the maximum extent permitted by law, to the extent any provision in any
Executory Contracts and Unexpired Leases assumed pursuant to this Plan or the Confirmation Order restricts or prevents, or purports to restrict or prevent, or is breached or deemed breached by, the assumption of such Executory Contracts and
Unexpired Leases (including any “change of control” or cross-default provision), then such provision shall be deemed modified and of no further effect, such that the transactions contemplated by this
Plan or the Confirmation Order shall not entitle the non-Debtor party thereto to terminate such Executory Contracts and Unexpired Leases or to exercise any other default-related rights with respect thereto.

  

	B.	 Claims Based on Rejection of Executory Contracts and Unexpired Leases

 Notwithstanding anything to the contrary in the Bar Date Order, counterparties to Executory Contracts and Unexpired
Leases listed on the Schedule of Rejected Contracts, if any, shall be served with a notice of rejection of Executory Contracts and Unexpired Leases with the Plan Supplement. Proofs of Claim with respect to Claims arising from the rejection of
Executory Contracts and Unexpired Leases, if any, must be Filed with the Bankruptcy Court within thirty (30) days after the date of the Order of the Bankruptcy Court approving such rejection. Any Claims arising from the rejection of any
Executory Contracts and Unexpired Leases that are not Filed within such time will be automatically Disallowed, forever barred from assertion, and shall not be enforceable against, as applicable, the Debtors, the Reorganized Debtors, the Estates, or
the property of the foregoing parties, without the need for any objection by the Debtors or Reorganized Debtors, as applicable, or further notice to, or action, Order, or approval of the Bankruptcy Court or any other Entity, and any Claims arising
out of the rejection of such Executory Contracts and Unexpired Leases shall be deemed fully satisfied, released, and discharged, notwithstanding anything in a Proof of Claim to the contrary, and all such Claims will be subject to the injunction

  
 52 

 
set forth in Article VIII.F of this Plan. All Allowed Claims arising from the rejection of Executory Contracts and Unexpired Leases shall be classified as General
Unsecured Claims, and shall be treated in accordance with Article III of this Plan; provided that post-petition interest shall accrue on such Rejection Damages Claim at the Federal Judgment Rate, any applicable
contract rate solely to the extent such rate applies, or such other rate as agreed to among the Debtors and such Holder or as determined by the Bankruptcy Court (in any adversary proceeding, contested matter, or otherwise) solely for the period
(a) commencing on the effective date of the rejection as set forth in the applicable Order of the Bankruptcy Court approving such rejection and (b) ending on the date such Rejection Damages Claim is satisfied in full in accordance with
Article III of this Plan. 
  

	C.	 Cure of Defaults for Assumed Executory Contracts and Unexpired Leases

 The Debtors shall serve a Cure Notice on parties to Executory Contracts and Unexpired Leases to be assumed pursuant
to this Plan, detailing the applicable Cure Amounts for such parties and setting forth the applicable assignee, if any, no later than fourteen (14) days prior to the Confirmation Hearing in accordance with the Disclosure Statement
Order. For the avoidance of doubt, and notwithstanding anything to the contrary herein, any Executory Contracts and Unexpired Leases not otherwise rejected by the Debtors shall be deemed assumed pursuant to this Plan and the Confirmation
Order. In the event any Executory Contracts and Unexpired Leases to be assumed pursuant to this Plan are not listed in the Cure Notice, the Cure Amount for such Executory Contracts and Unexpired Leases shall be deemed to be zero dollars ($0).

 Any counterparty to any Executory Contracts and Unexpired Leases shall have the time prescribed by the Disclosure Statement Order to
object to the proposed assumption, assumption and assignment, or related Cure Amount listed on the Cure Notice. If no objection is timely received, the counterparties to such Executory Contracts and Unexpired Leases to be assumed shall be deemed to
have consented to the assumption (or assumption and assignment) of such Executory Contracts and Unexpired Leases and such counterparties to such Executory Contracts and Unexpired Leases shall be deemed to release and waive, subject to such
counterparties’ receipt of the relevant Cure Amounts, any and all rights arising under such Executory Contracts and Unexpired Leases related to any default, cross-default, termination, put right, or other similar provision related to any event,
default, or potential default occurring on or prior to the Effective Date. 
 The Bankruptcy Court will determine any proper and timely
Assumption Dispute Filed in writing with the Bankruptcy Court by entry of an Order; provided, that the Debtors or the Reorganized Debtors, as applicable, may settle any Assumption Dispute without any further action, Order, or approval
of the Bankruptcy Court; provided, further, that where an Assumption Dispute relates solely to the applicable Cure Amount, the Debtors may assume and/or assume and assign the applicable Executory Contracts and Unexpired Leases prior to
the resolution of such Assumption Dispute, subject to establishing an escrow with funds in an amount as agreed by the parties thereto or as determined by the Bankruptcy Court at the Confirmation Hearing. If there is an Assumption Dispute, the
Debtors reserve the right (subject to the reasonable consent of the Requisite Consenting Stakeholders) to reject or nullify the assumption or assignment of the applicable Executory Contracts and Unexpired Leases no later than thirty (30) days
after an Order of the Bankruptcy Court resolving such Assumption Dispute becomes a Final Order. Any objections to any proposed Cure Amounts or to the assumption of any Executory Contracts and Unexpired Leases will not be treated as objections to
Confirmation of this Plan. 

  
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	D.	 Payments Related to Assumption of Executory Contracts and Unexpired Leases

 Any Cure Amounts shall be satisfied pursuant to section 365(b)(1) of the Bankruptcy Code by payment of the Cure
Amount, as reflected in the applicable Cure Notice, in Cash on the later of (i) the Effective Date and (ii) the date of resolution of an Assumption Dispute, or in each case as soon as reasonably practicable thereafter, subject to the
limitations described in Article V.C of this Plan, or on such other terms as the parties to such Executory Contracts and Unexpired Leases and the Debtors may otherwise agree. If no Cure Amount is reflected in the applicable
Cure Notice, no Cure Amount shall be deemed to be owing, unless otherwise ordered by the Bankruptcy Court. 
 Assumption or assumption and
assignment of any Executory Contracts and Unexpired Leases pursuant to this Plan or otherwise shall result in the full release and satisfaction of any Claims against any Debtor or defaults by any Debtor, whether monetary or nonmonetary, including
defaults of provisions restricting the change in control, cross-default, ownership interest composition or other bankruptcy-related defaults, arising under any assumed Executory Contracts and Unexpired Leases
at any time before the date that the Debtors assume or assume and assign such Executory Contracts and Unexpired Leases. Any Proofs of Claim Filed with respect to any Executory Contracts and Unexpired Leases that have been assumed or assumed and
assigned shall be deemed Disallowed and expunged, without further notice to or action, Order, or approval of the Bankruptcy Court or any other Entity, upon the assumption of such Executory Contracts and Unexpired Leases. 

 

	E.	 Preexisting Obligations to the Debtors under Executory Contracts and Unexpired Leases

 Notwithstanding any non-bankruptcy law to the contrary, the Debtors
expressly reserve and do not waive any right to receive, or any continuing obligation of a counterparty to provide, warranties or continued maintenance obligations on goods previously purchased, or services previously received, by the contracting
Debtors from counterparties to rejected or repudiated Executory Contracts and Unexpired Leases. For the avoidance of doubt, the rejection of any Executory Contracts and Unexpired Leases pursuant to this Plan or otherwise shall not constitute a
termination of pre-existing obligations owed to the Debtors under such Executory Contracts and Unexpired Leases. 
  

	F.	 Indemnification Obligations 

Except to the extent inconsistent with this Plan or the Confirmation Order, the obligation of each Debtor to indemnify any individual who is
serving or served as one of such Debtor’s directors, officers or employees on or after the Petition Date will be deemed and treated as executory contracts that are assumed by each Reorganized Debtor pursuant to this Plan or the Confirmation
Order as of the Effective Date on the terms provided in the applicable certificates of incorporation, bylaws or similar constituent documents, by statutory law, or by written agreement, policies, or procedures of or with such Debtor. Accordingly,
such indemnification obligations will survive and be unaffected by entry of the Confirmation Order, irrespective of whether such 

  
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indemnification is owed for an act or event occurring before or after the Petition Date; provided, however, that none of the Reorganized Debtors shall amend or restate any New
Organizational Documents before or after the Effective Date to terminate or adversely affect any such indemnification obligations. 
  

	G.	 Insurance Policies 

All insurance policies pursuant to which any Debtor has any obligations in effect as of the date of the Confirmation Order shall be deemed and
treated as executory contracts pursuant to this Plan, shall be assumed by the respective Debtors and Reorganized Debtors, and shall continue in full force and effect thereafter in accordance with their respective terms. All insurance policies shall
vest in the Reorganized Debtors. 
  

	H.	 Modifications, Amendments, Supplements, Restatements or Other Agreements

 Unless otherwise provided in this Plan or the Confirmation Order, all Executory Contracts and Unexpired Leases that
are assumed shall include all exhibits, schedules, modifications, amendments, supplements, restatements, or other agreements that in any manner affect such Executory Contracts and Unexpired Leases, and affect Executory Contracts and Unexpired Leases
related thereto, if any, including easements, licenses, permits, rights, privileges, immunities, options, rights of first refusal, and any other interests, unless any of the foregoing agreements has been previously rejected or repudiated or is
rejected or repudiated under this Plan or the Confirmation Order. 
 Modifications, amendments, supplements, and restatements to prepetition
Executory Contracts and Unexpired Leases that have been executed by the Debtors during the Chapter 11 Cases shall not be deemed to alter the prepetition nature of such Executory Contracts and Unexpired Leases or the validity, priority, or
amount of any Claims that may arise in connection therewith. 
  

	I.	 Contracts and Leases Entered into after the Petition Date 

Contracts and leases entered into after the Petition Date by any Debtor, including any Executory Contracts and Unexpired Leases assumed by such
Debtor, will be performed by the applicable Debtor or Reorganized Debtor liable thereunder in the ordinary course of its business. Accordingly, such contracts and leases (including any assumed Executory Contracts and Unexpired Leases) that have not
been rejected as of the date of Confirmation will survive and remain unaffected by entry of the Confirmation Order. 
  

	J.	 PCbtH Contracts 

Notwithstanding anything to the contrary in this Plan, the Debtors shall make a determination whether to assume or reject the PCbtH Contracts
following the conclusion of the PCbtH Litigation, unless the applicable parties are able to reach a consensual resolution prior to the conclusion of the PCbtH Litigation, which, in each case, will be reasonably acceptable to the Debtors, the
Requisite Consenting Stakeholders, and the Requisite Financing Parties in accordance with the terms of the Plan Support Agreement and the Backstop Agreement. 

  
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 Absent a consensual resolution reasonably acceptable to the Debtors, the Requisite
Consenting Stakeholders, and the Requisite Financing Parties, if the PCbtH Litigation results in (a) the Debtors obtaining the authority (but not direction) to reject the CSA, (b) Hydril’s Rejection Damages Claim being determined in
an amount reasonably acceptable to the Debtors, the Requisite Consenting Stakeholders, and the Requisite Financing Parties, and (c) a ruling that the Debtors’ rejection of the CSA would not trigger any of EFS BOP’s termination rights
under the EFS BOP Contract or prevent the Debtors from assuming the EFS BOP Contract, then the Debtors will reject the CSA absent a commercial resolution reasonably acceptable to the Debtors, the Requisite Consenting Stakeholders, and the Requisite
Financing Parties. 
  

	K.	 Reservation of Rights 

Neither the exclusion nor the inclusion by the Debtors of any contract or lease on any exhibit, schedule, or other annex to this Plan, the
Confirmation Order or in the Plan Supplement, nor anything contained in this Plan, shall constitute an admission by the Debtors that any such contracts or leases are or are not Executory Contracts and Unexpired Leases or that the Debtors or the
Reorganized Debtors or their respective Affiliates have any liability thereunder. 
 Except as explicitly provided in this Plan, nothing in
this Plan shall waive, excuse, limit, diminish, or otherwise alter any of the defenses, Claims, Causes of Action, or other rights of the Debtors or the Reorganized Debtors under any executory or non-executory
contract or unexpired or expired lease. 
 Nothing in this Plan shall increase, augment, or add to any of the duties, obligations,
responsibilities, or Liabilities of the Debtors or the Reorganized Debtors, as applicable, under any executory or non-executory contract or unexpired or expired lease. 

If there is a dispute regarding whether a contract or lease is or was executory or unexpired at the time of its assumption under this Plan,
the Debtors or Reorganized Debtors, as applicable, shall, subject to the consent of the Requisite Consenting Stakeholders, have thirty (30) days following entry of a Final Order resolving such dispute to alter their treatment of such contract
or lease. 
 ARTICLE VI. 

PROCEDURES FOR DISPUTED CLAIMS AND/OR INTERESTS 
  

	A.	 Disputed Claims Process 

After the Effective Date, the Reorganized Debtors shall retain responsibility for administering, disputing, objecting to, compromising, or
otherwise resolving all Claims, including, without limitation, full power, authority, and standing to investigate (including through discovery conducted under Bankruptcy Rule 2004), prosecute, compromise, or otherwise resolve any Claim. 

Holders of Disputed Claims may be subject to the Bankruptcy Court process to the extent set forth above. On and after the Effective Date,
except as otherwise provided in this Plan or the Confirmation Order, all Allowed Claims shall be paid pursuant to this Plan and the Confirmation Order and in the ordinary course of business of the Reorganized Debtors and shall survive the Effective
Date as if the Chapter 11 Cases had not been commenced, subject to any applicable limitations on the allowance of such Claims under the Bankruptcy Code. The Reorganized Debtors 

  
 56 

 
may bring Disputed Claims to the Bankruptcy Court prior to the Claims Objection Deadline or allow such Claims to be adjudicated in the applicable state court or other court of competent
jurisdiction. To the extent that an Entity is required to File a Proof of Claim and the Debtors or the Reorganized Debtors, as applicable, do not determine that the Claim subject to such Proof of Claim is Allowed, such Claim shall be Disputed unless
Allowed or Disallowed by a Final Order or as otherwise set forth in this Article VI of this Plan. Notwithstanding the foregoing, Entities must file cure objections as set forth in Article V.C of
this Plan to the extent such Entity disputes the amount of the cure proposed to be paid by the Debtors or the Reorganized Debtors, as applicable. All Proofs of Claim not Filed by the Claims Bar Date, the Administrative Claims Bar Date, or the
applicable date set forth in this Plan shall be disallowed and forever barred, estopped, and enjoined from assertion, and shall not be enforceable against any Reorganized Debtor, without the need for any objection by the Reorganized Debtors or any
further notice to or action, Order, or approval of the Bankruptcy Court, and Holders of such Claims shall not receive any distributions on account of such Claims. 

Holders of Existing Parent Equity Interests shall not be required to File a Proof of Claim and any Proof of Claim Filed on account of Existing
Parent Equity Interests shall be deemed expunged. Holders of Existing Parent Equity Interests shall receive the treatment as set forth in Article III of this Plan. 

 

	B.	 Disputed and Contingent Claims Reserve 

On the Effective Date, the Debtors and/or Reorganized Debtors, as applicable, may establish one or more reserves for alleged General Unsecured
Claims that are contingent or have not yet been Allowed, in an estimated amount or amounts as reasonably determined by the applicable Debtors in their discretion with the reasonable consent of the Requisite Consenting Stakeholders. 

 

	C.	 Objections to Claims 

Except as otherwise specifically provided in this Plan or the Confirmation Order, after the Effective Date, the Reorganized Debtors, shall have
the sole authority to: (a) File, withdraw, or litigate to judgment objections to Claims or Interests; (b) settle or compromise any Disputed Claim or Interest without any further notice to or action, Order, or approval by the Bankruptcy
Court; and (c) administer and adjust the Debtors’ Claims Register to reflect any such settlements or compromises without any further notice to or action, Order, or approval by the Bankruptcy Court, in each case in accordance with the
applicable Omnibus Objection Procedures. For the avoidance of doubt, except as otherwise provided herein, from and after the Effective Date, each Reorganized Debtor shall have and retain any and all rights and defenses such Reorganized Debtor had
immediately prior to the Effective Date with respect to any Disputed Claim, including the Causes of Action retained pursuant to Article IV.P of this Plan. 

Any objections to Claims shall be Filed on or before the Claims Objection Deadline. For the avoidance of doubt, the Bankruptcy Court may
extend the time period to object to Claims set forth in this paragraph at any time before the Claims Objection Deadline upon request by the Debtors or the Reorganized Debtors, as applicable. 

  
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	D.	 Reinstatement of Claims 

After the Effective Date, the Reorganized Debtors shall have the sole authority to Reinstate any Disputed Claim and/or Interest, including any
Disputed Claim or Interest related to or arising from any litigation, arbitration, or other proceeding pending against a Debtor as of the Effective Date, without any further notice to or action, Order, or approval by the Bankruptcy Court in their
sole discretion; provided that the Reorganized Debtors shall provide notice of the Reinstatement of any Disputed Claim or Interest to the Holder of such Disputed Claim or Interest at least 14 days prior to the Reinstatement of any such
Disputed Claim or Interest. Following such Reinstatement, the Debtors or the Reorganized Debtors, as applicable, may administer and adjust the Claims Register to reflect any such settlements or compromises without any further notice to or action,
Order, or approval by the Bankruptcy Court. 
  

	E.	 Estimation of Claims or Interests 

Before or after the Effective Date, the Debtors or the Reorganized Debtors may (but are not required to), at any time, request that the
Bankruptcy Court estimate any Disputed Claim or Interest pursuant to applicable Law, including pursuant to section 502(c) of the Bankruptcy Code, for any reason, regardless of whether any party previously has objected to such Disputed Claim or
Interest or whether the Bankruptcy Court has ruled on any such objection, and the Bankruptcy Court shall retain jurisdiction under sections 157 and 1334 of the Judicial Code to estimate any such Disputed Claim or Interest, including during the
litigation of any objection to any Disputed Claim or Interest or during the pendency of any appeal relating to such objection. Notwithstanding any provision otherwise in this Plan or the Confirmation Order, a Disputed Claim or Interest that has been
expunged from the Claims Register, but that either is subject to appeal or has not been the subject of a Final Order, shall be deemed to be estimated at zero dollars, unless otherwise ordered by the Bankruptcy Court. In the event that the Bankruptcy
Court estimates any Disputed Claim or Interest, unless otherwise ordered by the Bankruptcy Court or agreed to by the Debtors or the Reorganized Debtors, as applicable, and the Holder of such Disputed Claim or Interest, and except with respect to any
Disputed Claims based on personal injury or tort-based theories of recovery, that estimated amount shall constitute the maximum limitation on such Disputed Claim or Interest for all purposes under this Plan (including for purposes of distributions
and discharge) and may be used as evidence in any supplemental proceedings, and the Debtors or the Reorganized Debtors may elect to pursue any supplemental proceedings to object to any ultimate distribution on such Disputed Claim or Interest;
provided that such limitation shall not apply to Disputed Claims or Interests against any of the Debtors requested by the Debtors to be estimated for voting purposes only. Notwithstanding section 502(j) of the Bankruptcy Code, in no event
shall any Holder of a Disputed Claim or Interest that has been estimated pursuant to section 502(c) of the Bankruptcy Code or otherwise be entitled to seek reconsideration of such estimation unless such Holder has Filed a motion requesting the right
to seek such reconsideration on or before fourteen days after the date on which such Disputed Claim or Interest is estimated. 
  

	F.	 Adjustment to Claims without Objection 

Any Claim or Interest that has been paid, satisfied, amended, superseded, cancelled, or otherwise expunged (including pursuant to this Plan or
the Confirmation Order) may be adjusted or expunged on the Claims Register at the direction of the Reorganized Debtors without the 

  
 58 

 
Reorganized Debtors having to File an application, motion, complaint, objection, or any other legal proceeding seeking to object to such Claim or Interest and without any further notice to or
action, Order, or approval of the Bankruptcy Court. Additionally, any Claim or Interest that is duplicative or redundant with another Claim or Interest against the same Debtor may be adjusted or expunged on the Claims Register at the direction of
the Reorganized Debtors without the Reorganized Debtors having to File an application, motion, complaint, objection, or any other legal proceeding seeking to object to such Claim or Interest and without any further notice to or action, Order, or
approval of the Bankruptcy Court. 
  

	G.	 Disallowance of Claims or Interests 

Except as otherwise expressly provided for herein, all Claims of any Entity from which property is recoverable, based on an Order from the
Bankruptcy Court, under sections 542, 543, 550, or 553 of the Bankruptcy Code or that is a transferee of a transfer that is avoidable, based on an Order from the Bankruptcy Court, under sections 522(f), 522(h), 544, 545, 547, 548, 549, or 724(a) of
the Bankruptcy Code, shall be deemed Disallowed pursuant to section 502(d) of the Bankruptcy Code, and Holders of such Claims may not receive any distributions on account of such Claims until such time as such Causes of Action against that Entity
have been settled or a Final Order with respect thereto has been entered by the Bankruptcy Court and all sums due, if any, to the Debtors by that Entity have been turned over or paid to the Debtors or the Reorganized Debtors, as applicable. 

Except as otherwise provided herein, agreed to by the Reorganized Debtors or otherwise pursuant to an Order of the Bankruptcy Court, all
Proofs of Claim Filed after the applicable Claims Bar Date shall be deemed Disallowed in full and expunged as of the Effective Date, forever barred, estopped, and enjoined from assertion. Such Disallowed Claims shall not be enforceable against any
Reorganized Debtor, without the need for any objection by the Reorganized Debtors or any further notice to or action, Order, or approval of the Bankruptcy Court, and Holders of such Disallowed Claims shall not receive distributions on account of
such Disallowed Claims. Notwithstanding the foregoing, the Debtors or Reorganized Debtors, as applicable, may, in their reasonable discretion, elect to allow a Proof of Claim Filed after the applicable Claims Bar Date to the extent such Proof of
Claim relates to a Scheduled Claim and asserts a Claim amount lower than the scheduled amount for such Scheduled Claim set forth in the Debtors’ Statements and Schedules, Allow the Claim in the amount asserted in such Proof of Claim for all
purposes under this Plan, and make any adjustments to the Claims Register to reflect such treatment without requiring any further notice to or action, Order, or approval by the Bankruptcy Court. 

 

	H.	 Single Satisfaction Rule 

Holders of Allowed Claims or Interests may assert such Claims and/or Interests against each Debtor obligated with respect to such Allowed
Claims and/or Interests, and such Allowed Claims and/or Interests shall be entitled to share in the recovery provided for the applicable Class of Claims and/or Interests against each obligated Debtor based upon the full Allowed amount of such
Claims and/or Interests. Notwithstanding the foregoing, in no case shall the aggregate value of all property received or retained under this Plan on account of any Allowed Claim and/or Interest exceed 100 percent of the underlying Allowed
amount of such Claim and/or Interest. 

  
 59 

	I.	 Omnibus Objection Procedures Cumulative 

All of the objection, estimation, and resolution procedures for Claims and/or Interests are cumulative and not exclusive of one another. Claims
or Interests may be estimated and subsequently compromised, settled, withdrawn, or resolved under the Omnibus Objection Procedures. 

ARTICLE VII. 

PROVISIONS GOVERNING DISTRIBUTIONS 
  

	A.	 Distributions Generally 

One or more Disbursing Agents shall make all distributions under this Plan to the Holders of Allowed Claims or Interests in accordance with the
terms of this Plan. Such distributions shall be made to Holders of Allowed Claims or Interests on behalf of the respective Debtors to which such Allowed Claims or Interests relate. 

 

	B.	 Distribution Record Date 

On the Effective Date, the Claims Register shall be closed, and the Disbursing Agent shall be authorized and entitled to recognize only those
record holders, if any, listed on the Claims Register as of the close of business on the Effective Date. Notwithstanding the foregoing, if a Claim or Interest, other than one based on a publicly traded Certificate, is transferred and the Debtors
have been notified in writing of such transfer less than ten (10) days before the Effective Date, the Disbursing Agent shall make distributions to the transferee (rather than the transferor) only to the extent practical and in any event only if the
relevant transfer form contains an unconditional and explicit certification and waiver of any objection to the transfer by the transferor. 
  

	C.	 Timing and Calculation of Amounts to Be Distributed 

Unless otherwise provided in this Plan or the Confirmation Order, on the Effective Date or as soon as reasonably practicable thereafter (or, if
a Claim or Interest is not an Allowed Claim or Allowed Interest on the Effective Date, on the date that such Claim or Interest becomes Allowed or as soon as reasonably practicable thereafter), each Holder of an Allowed Claim or Allowed Interest (or
such Holder’s Affiliate) shall receive the full amount of the distributions that this Plan provides for Allowed Claims and Allowed Interests in each applicable Class and in the manner provided in this Plan. In the event that any payment or
act under this Plan is required to be made or performed on a date that is not a Business Day, then the making of such payment or the performance of such act may be completed on the next succeeding Business Day, but shall be deemed to have been
completed as of the required date. Except as otherwise provided in this Plan, Holders of Claims or Interests shall not be entitled to interest, dividends, or accruals on the distributions provided for in this Plan, regardless of whether such
distributions are delivered on or at any time after the Effective Date. 

  
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	D.	 Disbursing Agent 

All distributions under this Plan shall be made by the Reorganized Debtors (or such other Entity designated by the Reorganized Debtors), as
Disbursing Agent, on or after the Effective Date to the record Holders of Claims or Interests as of the Distribution Record Date who are entitled to receive distributions under this Plan. The Disbursing Agent, in its reasonable discretion, may elect
to make Cash distributions in currencies other than US dollars. A Disbursing Agent shall not be required to give any bond, surety, or other security for the performance of its duties. The Reorganized Debtors shall use commercially reasonable efforts
to provide the Disbursing Agent (if other than the Reorganized Debtors) with the amounts of Claims and the identities and addresses of Holders of Claims or Interests as of the Distribution Record Date, in each case, as set forth in the Debtors’
or Reorganized Debtors’ books and records. The Reorganized Debtors shall cooperate in good faith with the applicable Disbursing Agent (if other than the Reorganized Debtors) to comply with the reporting requirements outlined in
Article IV.K of this Plan. 
  

	E.	 Rights and Powers of Disbursing Agent 

From and after the Effective Date, the Disbursing Agent, solely in its capacity as Disbursing Agent, shall be exculpated by all Entities,
including, without limitation, Holders of Claims against and Interests in the Debtors and other parties in interest, from any and all Claims, Causes of Action, and other assertions of liability arising out of the discharge of the powers and duties
conferred upon such Disbursing Agent by this Plan or any Order of the Bankruptcy Court entered pursuant to or in furtherance of this Plan, or applicable Law, except for actions or omissions to act arising out of the gross negligence or willful
misconduct, fraud, malpractice, criminal conduct, or ultra vires acts of such Disbursing Agent. No Holder of a Claim or Interest or other party in interest shall have or pursue any Claim or Cause of Action against the Disbursing Agent, solely
in its capacity as Disbursing Agent, for making payments in accordance with this Plan or for implementing provisions of this Plan, except for actions or omissions to act arising out of the gross negligence or willful misconduct, fraud, malpractice,
criminal conduct, or ultra vires acts of such Disbursing Agent. 
 A Disbursing Agent shall be empowered to (i) effect all
actions and execute all agreements, instruments, and other documents necessary to perform its duties hereunder, (ii) make all distributions contemplated hereby, (iii) employ professionals to represent it with respect to its
responsibilities, and (iv) exercise such other powers as may be vested in the Disbursing Agent by Order of the Bankruptcy Court, pursuant to this Plan, or as deemed by the Disbursing Agent to be necessary and proper to implement the provisions
of this Plan. 
  

	F.	 Expenses of Disbursing Agent 

To the extent the Disbursing Agent is an Entity other than a Reorganized Debtor, except as otherwise ordered by the Bankruptcy Court and
subject to the written agreement of the Reorganized Debtors, the amount of any reasonable fees and expenses incurred by the Disbursing Agent on or after the Effective Date (including Taxes) and any reasonable compensation and expense reimbursement
Claims (including for reasonable attorneys’ and other professional fees and expenses) made by the Disbursing Agent shall be paid in Cash by the Reorganized Debtors in the ordinary course of business. 

  
 61 

	G.	 No Post-petition Interest on
Claims 

 Unless otherwise specifically provided for in an Order of the Bankruptcy Court, this Plan, or the
Confirmation Order, including for the avoidance of doubt, Article III.B.5 and Article III.F of this Plan, or as required by applicable bankruptcy law,
post-petition interest shall not accrue or be paid on any Claims and no Holder of a Claim shall be entitled to interest accruing on or after the Petition Date on any such Claim. Additionally, and without
limiting the foregoing, unless otherwise specifically provided for in this Plan or as otherwise required by section 506(b) of the Bankruptcy Code, post-petition interest shall not accrue or be paid on any Disputed Claim in respect of the period from
the Effective Date to the date that a final distribution is made, if such Disputed Claim becomes an Allowed Claim. Any Holder of an Allowed General Unsecured Claim that receives a distribution pursuant to Article III.B.5 of the Plan and
disputes the amount of post-petition interest paid on account of such claim must provide written notice to the Debtors or Reorganized Debtors, as applicable, within 21 calendar days after receipt of such distribution of such dispute. If the Debtors
or Reorganized Debtors, as applicable, and such Holder cannot resolve such dispute within 30 calendar days after receipt of such notice, then such Holder may seek a determination from the Bankruptcy Court as to the applicable post-petition interest
rate in accordance with Article III.B.5 of the Plan. If no objection is timely received with respect to the accrual or payment of post-petition interest as outlined in this Article VII.G, including any Holder of a
General Unsecured Claim that asserts an entitlement to interest at a rate other than the rate determined by the Debtors in accordance with Article III.B.5, the Holders of such Claims shall be deemed to have consented to the terms set forth
herein. 
  

	H.	 Delivery of Distributions 

1. Subject to Bankruptcy Rule 9010, all distributions to any Holder of an Allowed Claim or Interest shall be made to a Disbursing Agent, who
shall transmit such distribution to the applicable Holders of Allowed Claims or Interests on behalf of the respective Debtor. In the event that any distribution to any Holder is returned as undeliverable, no further distributions shall be made to
such Holder unless and until such Disbursing Agent is notified in writing of such Holder’s then-current address at which time all currently due, missed distributions shall be made to such Holder as soon as reasonably practicable thereafter,
without any interest for the period after such distribution was returned as undeliverable. Nothing herein shall require the Disbursing Agent to attempt to locate Holders of undeliverable distributions and, if located, assist such Holders in
complying with Article IV.K of this Plan. Amounts in respect of undeliverable distributions shall be returned to the Reorganized Debtors. 

2. Notwithstanding anything to the contrary in this Plan, including this Article VII, distributions under this Plan
(a) to the Holders of RCF Claims (if any) shall be made to the RCF Agent, and (b) to the Holder(s) of Senior Notes Claims shall be made to the Senior Notes Trustee, respectively, in accordance with the terms of this Plan, the Rights
Offerings Procedures, and the applicable credit documents, including the Senior Notes Indenture and, with respect to distributions under this Plan to Holders of Senior Notes Claims, shall be subject to the Senior Notes Trustee’s charging lien
and priority of payment rights under the Senior Notes Indenture. 
 3. Subject to the Senior Notes Trustee’s charging lien and priority
of payment rights under the Senior Notes Indenture, the Senior Notes Trustee may transfer or direct the transfer of such distributions (and may rely upon information received from the Debtors or the Notice and Claims Agent for purposes of such
transfer) directly through the facilities of DTC in accordance with DTC’s customary practices, and will be entitled to recognize and deal with, for all purposes under this Plan, Holders of Senior Notes Claims as is consistent with the ordinary
practices of DTC; provided, however, that such distributions will only be issued in accordance with DTC book-entry procedures. For the avoidance of doubt, DTC shall be considered a single Holder with respect to distributions made on account of the
Senior Notes. The Senior Notes Trustee shall have no duties, responsibilities, or liability relating to any form of distribution that is not DTC eligible, provided that the Senior Notes Trustee shall use commercially reasonable efforts to cooperate
with the Debtors and Reorganized Debtors to the extent that a distribution is not DTC eligible. 

  
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 4. Upon the final distribution on account of the Senior Notes, (i) the Senior Notes
shall thereafter be deemed to be worthless, and (ii) at the request of the Senior Notes Trustee, DTC shall take down the relevant position relating to the Senior Notes without any requirement of indemnification or security on the part of the
Debtors, Reorganized Debtors or the Senior Notes Trustee. 
  

	I.	 Securities Registration Exemption 

 

	 	1.	 1145 Securities 

Pursuant to section 1145 of the Bankruptcy Code, the offering, issuance, distribution, and sale of the New Diamond Common Shares
(including the New Diamond Common Shares issued in connection with the Rights Offerings and issuable upon exercise of the New Warrants), Subscription Rights, Exit Notes issued in connection with the Rights Offerings, Commitment Premium (in each
case, other than the Unsubscribed Stapled Securities and the Private Placement Stapled Securities issued or purchased pursuant to the Backstop Agreement), and New Warrants by the Debtors on account of Claims or Interests as contemplated by this Plan
or the Confirmation Order will be exempt from, among other things, the registration requirements of Section 5 of the Securities Act and any other applicable U.S. state or local law requiring registration prior to the offering, issuance,
distribution or sale of securities. Except as set forth below with respect to the Subscription Rights, the securities issued by the Debtors pursuant to section 1145 of the Bankruptcy Code (a) are not “restricted securities” as
defined in Rule 144(a)(3) under the Securities Act, and (b) are freely tradable and transferable by any initial recipient thereof that (i) is not an “affiliate” of the Reorganized Debtors as defined in Rule 144(a)(1)
under the Securities Act, (ii) has not been such an “affiliate” within ninety (90) calendar days of such transfer, (iii) has not acquired the securities from an “affiliate” within one year of such transfer, and
(iv) is not an Entity that is an “underwriter” as defined in subsection (b) of section 1145 of the Bankruptcy Code. The Subscription Rights issued in connection with the Rights Offerings will not be transferable. 

Should the Reorganized Debtors elect on or after the Effective Date to reflect any ownership of the New Diamond Common Shares or the New
Warrants through the facilities of DTC, and presuming DTC agrees to such request, the Reorganized Debtors shall not be required to provide any further evidence other than this Plan or the Confirmation Order with respect to the treatment of the New
Diamond Common Shares or the New Warrants under applicable securities laws. 
 Notwithstanding anything to the contrary in this Plan, and
except as required by the Backstop Agreement, no Entity (including, for the avoidance of doubt, DTC) shall be entitled to require a legal opinion regarding the validity of any transaction contemplated by this Plan, including whether the New Diamond
Common Shares (including the New Diamond Common Shares issuable upon exercise of the New Warrants or upon exercise of the Subscription Rights) or the New Warrants are exempt from registration and/or eligible for book-entry delivery, settlement, and
depository services. DTC shall be required to accept and conclusively rely upon 

  
 63 

 
this Plan or Confirmation Order in lieu of a legal opinion regarding whether the New Diamond Common Shares (including any New Diamond Common Shares issuable upon exercise of the New Warrants or
upon exercise of the Subscription Rights) and the New Warrants are exempt from registration and/or eligible for book-entry delivery, settlement, and depository services. 
  

	 	2.	 Private Placement Stapled Securities 

The offering, issuance, distribution, and sale of any Unsubscribed Stapled Securities or Private Placement Stapled Securities pursuant to the
Backstop Agreement will be exempt from the registration requirements of the Securities Act pursuant to section 4(a)(2) of the Securities Act and Rule 506 of Regulation D promulgated thereunder, and/or Regulation S promulgated under the
Securities Act. When issued, such securities will be “restricted securities” as defined in Rule 144(a)(3) of the Securities Act and will be subject to resale restrictions, including any applicable holding periods, and may be resold,
exchanged, assigned, or otherwise transferred only pursuant to an effective registration statement or an available exemption from registration requirements of the Securities Act and other applicable Law. 

 

	J.	 Compliance with Tax Requirements and Allocation of Distribution

 In connection with this Plan, to the extent applicable, the Reorganized Debtors shall comply with all tax
withholding and reporting requirements imposed on them by any Governmental Unit, and all distributions pursuant to this Plan shall be subject to such withholding and reporting requirements. Notwithstanding any provision in this Plan to the contrary,
the Reorganized Debtors shall be authorized to take all actions necessary or appropriate to comply with such withholding and reporting requirements, including liquidating a portion of the distributions to be made under this Plan to generate
sufficient funds to pay applicable withholding taxes, withholding distributions pending receipt of information necessary to facilitate such distributions or establishing any other mechanisms they believe are reasonable and appropriate (subject to
consultation with the Requisite Consenting Stakeholders). Any amounts withheld pursuant to the preceding sentence shall be deemed to have been distributed to and received by the applicable recipient for all purposes of this Plan. The Reorganized
Debtors reserve the right to allocate all distributions made under this Plan in compliance with applicable wage garnishments, alimony, child support, and other spousal awards, liens, and encumbrances. Each Holder of an Allowed Claim or Interest that
is to receive a distribution under this Plan shall have the sole and exclusive responsibility for the satisfaction and payment of any tax obligations imposed on such Holder by any Governmental Unit, including income, withholding, and other tax
obligations, on account of such distribution. 
 Any party entitled to receive Cash or any property as an issuance or distribution under
this Plan shall, upon request, deliver to the Disbursing Agent or such other Entity designated by the Reorganized Debtors (which Entity shall subsequently deliver to the Disbursing Agent all tax forms received) an IRS Form W-9 or (if the payee is a foreign Entity), the appropriate IRS Form W-8, and any other forms or documents reasonably requested by any Reorganized Debtor to reduce or eliminate
any withholding required by any federal, state, or local Taxing Authority. If such request is made by the Reorganized Debtors, the Disbursing Agent, or such other Entity designated by the Reorganized Debtors or Disbursing Agent, and the Holder fails
to comply before the date that is one hundred and eighty (180) days after the request is made, the amount of such distribution 

  
 64 

 
shall irrevocably revert to the applicable Reorganized Debtor and any Claim in respect of such distribution shall be discharged and forever barred from assertion against such Reorganized Debtor
or its respective property. 
 Distributions in respect of Allowed Claims shall be allocated first to the principal amount of such Claims
(as determined for federal income tax purposes) and then, to the extent the consideration exceeds the principal amount of the Claims, to any portion of such Claims for accrued and unpaid interest as Allowed herein. 

 

	K.	 Distributions after Effective Date 

Distributions made after the Effective Date to Holders of Disputed Claims or Interests that are not Allowed Claims or Interests as of the
Effective Date, but which later become Allowed Claims or Interests, shall be deemed to have been made on the Effective Date. 
  

	L.	 Unclaimed Property 

Undeliverable distributions or unclaimed distributions shall remain in the possession of the Debtors until such time as a distribution becomes
deliverable, the applicable Holder accepts such distribution, or such distribution reverts back to the Debtors or Reorganized Debtors, as applicable, and shall not be supplemented with any interest, dividends, or other accruals of any kind for the
undeliverable period. Such distributions shall be deemed unclaimed property under section 347(b) of the Bankruptcy Code at the expiration of one hundred and eighty (180) days from the date of attempted distribution. After such date, all
unclaimed property or interest in such unclaimed property shall revert to the Reorganized Debtors, and the Claim or Interest of any Holder to such property or interest in such property shall be discharged and forever barred notwithstanding federal
or state escheat, abandoned, or unclaimed property laws. 
  

	M.	 Satisfaction of Claims 

Except as otherwise specifically provided in this Plan or the Confirmation Order, any distributions and deliveries to be made on account of
Allowed Claims and Allowed Interests under this Plan shall be in complete and final satisfaction, settlement, and discharge of and exchange for such Allowed Claims and Allowed Interests. 

 

	N.	 Fractional Shares and De Minimis Cash Distributions

 If any distributions of New Diamond Common Shares pursuant to this Plan would result in the issuance of a fractional
share of any New Diamond Common Shares to Holders on the books of the Debtors, then the number of shares of New Diamond Common Shares to be issued in respect of such distribution shall be calculated to one decimal place and rounded up or down to the
closest whole share (with a half share or greater rounded up and less than a half share rounded down). The total number of shares of New Diamond Common Shares to be distributed in connection with this Plan shall be adjusted as necessary to account
for the rounding provided for in this Article VII.N. No consideration shall be provided in lieu of fractional shares that are rounded down. Neither the Reorganized Debtors nor the Disbursing Agent shall have any obligation
to make a distribution that is less than one (1) share of New Diamond Common Shares or $50.00 in Cash. New Diamond Common Shares that are not distributed in accordance with this 

  
 65 

 
Article VII.N shall be returned to, and ownership thereof shall vest in, the Reorganized Company. For the avoidance of doubt, the foregoing provisions shall not apply to
DTC, which shall be treated as a single Holder with respect to a particular class of securities. 
  

	O.	 Setoffs 

Except as otherwise provided herein or in the Confirmation Order, and subject to applicable Law, the Debtors or Reorganized Debtors, as
applicable, or such Entity’s designee (including, without limitation, the Disbursing Agent) may, pursuant to the Bankruptcy Code (including section 553 of the Bankruptcy Code), applicable
non-bankruptcy law, or as may otherwise be agreed to by the Holder of a Claim, set off against any Allowed Claim (which setoff shall be made against the Allowed Claim, not against any distributions to be made
under this Plan and the Confirmation Order with respect to such Allowed Claim), any Claims, rights and Causes of Action of any nature that such Debtor or Reorganized Debtor may hold against the Holder of such Allowed Claim, to the extent such
Claims, rights or Causes of Action against such Holder have not been otherwise released, waived, relinquished, exculpated, compromised, or settled on or prior to the Effective Date (whether pursuant to this Plan, the Confirmation Order or
otherwise), and any distribution to which a Holder is entitled under this Plan and the Confirmation Order shall be made on account of the Allowed Claim, as reduced after application of the setoff described above. 

In no event shall any Holder of Claims be entitled to set off any Claim against any Claim, right, or Cause of Action of the Debtors or the
Reorganized Debtors unless such Holder obtains entry of a Final Order entered by the Bankruptcy Court authorizing such setoff or such setoff is otherwise agreed to in writing by the Debtors or the Reorganized Debtors and such Holder of a Claim;
provided, however, that, where there is no written agreement between the Debtors and a Holder of a Claim authorizing such setoff, nothing herein shall prejudice or be deemed to have prejudiced the Debtors’ rights to assert that
any Holder’s setoff rights were required to have been asserted by motion to the Bankruptcy Court prior to the Effective Date. 
  

	P.	 Claims Paid or Payable by Third Parties 

To the extent that the Holder of an Allowed Claim receives payment in full on account of such Claim from a party that is not the Debtors or the
Reorganized Debtors, the amount of such Claim shall be reduced in full. To the extent that a Holder of a Claim receives a distribution on account of such Claim and also receives payment from a party that is not the Debtors or the Reorganized Debtors
on account of such Claim, such Holder shall, within two weeks of receipt thereof, repay or return the distribution to the Reorganized Debtors to the extent such Holder’s total recovery on account of such Claim from the third party and under
this Plan exceeds the amount of such Claim as of the date of any such distribution under this Plan. 
 No distributions under this Plan
shall be made on account of an Allowed Claim that is payable pursuant to one of the Debtors’ insurance policies until the Holder of such Allowed Claim has exhausted all potential remedies with respect to such insurance policy. To the extent
that one or more of the Debtors’ insurers agrees to satisfy or otherwise settle a Claim, then, immediately upon such insurers’ payment, the applicable paid portion of such Claim may be expunged without any further notice to or action,
order, or approval of the Bankruptcy Court. 

  
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	Q.	 Hart-Scott-Rodino Antitrust Improvements Act 

Any New Diamond Common Shares to be distributed under this Plan to an Entity required to file a notification, authorization, approval, consent,
filing, or application under the Antitrust and Foreign Investment Laws, to the extent applicable, shall not be distributed until the Antitrust and Foreign Investment Approvals applicable to such Entity have been obtained. 

ARTICLE VIII. 

RELEASE, INJUNCTION AND RELATED PROVISIONS 
  

	A.	 Discharge of Claims and Termination of Interests 

Pursuant to section 1141(d) of the Bankruptcy Code, and except as otherwise specifically provided in this Plan, the Confirmation Order or
in any contract, instrument, or other agreement or document created pursuant to this Plan or the Confirmation Order, including the Plan Supplement and Restructuring Documents, the distributions, rights, and treatments that are provided in this Plan
or the Confirmation Order shall be in complete satisfaction, discharge, and release, effective as of the Effective Date, of Claims against, Interests in, and Causes of Action against the Debtors or the Reorganized Debtors of any nature whatsoever,
including any interest accrued on Claims from and after the Petition Date, whether known or unknown, against Liabilities of, Liens on, obligations of, rights against, and interests in, the Debtors or any of their assets or properties, regardless of
whether any property shall have been distributed or retained pursuant to this Plan and the Confirmation Order on account of such Claims or Interests, including demands, Liabilities and Causes of Action that arose before the Effective Date, any
contingent or non-contingent liability on account of representations or warranties issued on or before the Effective Date, and all debts of the kind specified in sections 502(g), 502(h) or 502(i) of
the Bankruptcy Code, whether or not the Holder of such a Claim has accepted this Plan. Any default or “event of default” by the Debtors or Affiliates with respect to any Claim or Interest that existed immediately before or on account of
the Filing of the Chapter 11 Cases shall be deemed cured (and no longer continuing) as of the Effective Date. The Confirmation Order shall be a judicial determination of the discharge of all Claims against, Causes of Action against, and
Interests in the Debtors or the Reorganized Debtors, subject to the Effective Date occurring. For the avoidance of doubt, the foregoing discharge shall not apply to any Claims, debts, rights, Causes of Action, claims for relief, Liabilities, or
Interests arising under the Exit Facilities Documents, whether executed prior to, on, or after the Effective Date. 
  

	B.	 Release of Liens 

Except as otherwise specifically provided in this Plan, the Confirmation Order or the Exit Facilities Documents (including in connection
with any express written amendment of any mortgage, deed of trust, Lien, pledge, or other security interest under the Exit Facilities Documents), on the Effective Date and concurrently with the applicable distributions made pursuant to this Plan and
the Confirmation Order and, in the case of a Secured Claim, satisfaction in full of the portion of the Secured Claim that is Allowed as of the Effective Date in accordance with Article III, and including any mortgage, deeds
of trust, Liens, pledges, or other security interests against any property of the Estates asserted on account of a Disallowed Claim, all mortgages, deeds of trust, Liens, pledges, or other security interests

  
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against any property of the Estates shall be fully released and discharged, and all of the right, title, and interest of any Holder of such mortgages, deeds of trust, Liens, pledges, or other
security interests shall revert to the Reorganized Debtors and their successors and assigns, in each case, without any further approval or Order of the Bankruptcy Court and without any action or Filing being required to be made by the Debtors. In
addition, on or after the Effective Date, at the written request and sole expense of the Debtors or the Reorganized Debtors, the RCF Agent shall execute and deliver all documents reasonably requested by the Debtors, the Reorganized Debtors or the
Exit Agents to evidence the release of such mortgages, deeds of trust, Liens, pledges, and other security interests (including as required under the laws of other jurisdictions for non-U.S. security interests)
and shall authorize the Reorganized Debtors to file UCC-3 termination statements (to the extent applicable) with respect thereto. 
  

	C.	 Debtor Release 

Notwithstanding anything else contained herein to the contrary, to the fullest extent permitted by applicable Law and approved by the
Bankruptcy Court, pursuant to section 1123(b) of the Bankruptcy Code and Bankruptcy Rule 9019 and in exchange for good and valuable consideration, the adequacy of which is hereby confirmed, on and after the Effective Date, each Released Party
is deemed to be, and hereby is conclusively, absolutely, unconditionally, irrevocably, finally and forever released and discharged by the Debtors, the Reorganized Debtors, and their Estates, including any successors to the Debtors or any
Estate’s Representative appointed or selected pursuant to section 1123(b)(3) of the Bankruptcy Code, in each case on behalf of themselves and their respective successors, assigns, and Representatives, and any and all other Entities who may
purport to assert any Cause of Action, directly or derivatively, by, through, for, or because of the foregoing Entities, from any and all Claims and Causes of Action, including any derivative Claims asserted on behalf of the Debtors, whether known
or unknown, foreseen or unforeseen, matured or unmatured, existing or hereafter arising, in law, equity, contract, tort or otherwise, that the Debtors, the Reorganized Debtors, or their Estates would have been legally entitled to assert in their own
right (whether individually or collectively) or on behalf of the Holder of any Claim against, or Interest in, a Debtor or other Entity, based on or relating to, or in any manner arising from, in whole or in part, the Debtors (including the
Debtors’ capital structure, management, ownership, assets or operation thereof, including any draws under or any Claims or Causes of Action related to the RCF Credit Agreement), the assertion or enforcement of rights and remedies against the
Debtors, the subject matter of, or the transactions or events giving rise to, any Claim or Interest that is treated in this Plan, the business or contractual relationship between any Debtor and any Released Party, the Debtors’ in- or out-of-court restructuring efforts, any Avoidance Actions, intercompany transactions between or among a Debtor or an Affiliate
of a Debtor and another Debtor or an Affiliate of a Debtor, the Chapter 11 Cases, the formulation, preparation, dissemination, negotiation, or Filing of the Plan Support Agreement, the Disclosure Statement, the Backstop Agreement, the Rights
Offerings, the Private Placements, the Exit Facilities, this Plan (including, for the avoidance of doubt, the Plan Supplement), the New Warrants, or any aspect of the Restructuring, including any contract, instrument, release, or other agreement or
document created or entered into in connection with the Plan Support Agreement, the Disclosure Statement, the Backstop Agreement, the Rights Offerings, the Private 

  
 68 

 
Placements, the Exit Facilities, the New Warrants, or this Plan, the Chapter 11 Cases, the Filing of the Chapter 11 Cases, the pursuit of Confirmation, the pursuit of Consummation, the
administration and implementation of this Plan, any action or actions taken in furtherance of or consistent with the administration of this Plan, including the issuance or distribution of securities pursuant to this Plan, or the distribution of
property under this Plan or any other related agreement, or upon any other act or omission, transaction, agreement, event, or other occurrence taking place on or before the Effective Date related or relating to any of the foregoing. 

Notwithstanding anything contained herein to the contrary, the foregoing release does not release (a) any obligations of any party
under this Plan or any document, instrument, or agreement executed to implement this Plan, including the Exit Facilities Documents, (b) any Claims related to any act or omission that is determined in a Final Order to have constituted willful
misconduct, gross negligence, or actual fraud, solely to the extent as determined by a final order of a court of competent jurisdiction, (c) the rights of Holders of Allowed Claims or Interests to receive distributions under this Plan, or
(d) any Preserved Causes of Action set forth in the Plan Supplement. 
 Entry of the Confirmation Order shall constitute the
Bankruptcy Court’s approval, pursuant to Bankruptcy Rule 9019, of the Debtor Releases, which includes by reference each of the related provisions and definitions contained in this Plan, and, further, shall constitute the Bankruptcy Court’s
finding that the Debtor Releases are: (a) in exchange for the good and valuable consideration provided by the Released Parties, including, without limitation, the Released Parties’ contributions to facilitating the Restructuring and
implementing this Plan; (b) a good-faith settlement and compromise of the Claims released by the Debtor Releases; (c) in the best interest of the Debtors and their Estates and all Holders of Claims and Interests; (d) fair, equitable,
and reasonably given and made after due notice and opportunity for a hearing; and (e) a bar to any of the Debtors, the Reorganized Debtors, or the Debtors’ Estates asserting any Claim or Cause of Action released pursuant to the Debtor
Releases. 
  

	D.	 Third-Party Release 

Except as otherwise expressly set forth in this Plan or the Confirmation Order, on and after the Effective Date, pursuant to Bankruptcy Rule
9019 and to the fullest extent permitted by applicable Law and approved by the Bankruptcy Court, pursuant to section 1123(b) of the Bankruptcy Code, in exchange for good and valuable consideration, the adequacy of which is hereby confirmed, each
Released Party is, and is deemed to be, and hereby is conclusively, absolutely, unconditionally, irrevocably, finally and forever, released and discharged by each Releasing Party from any and all Claims and Causes of Action, whether known or
unknown, foreseen or unforeseen, matured or unmatured, existing or hereafter arising, in law, equity, contract, tort, or otherwise, including any derivative Claims asserted on behalf of the Debtors, that such Entity would have been legally entitled
to assert (whether individually or collectively), based on or relating to, or in any manner arising from, in whole or in part, the Debtors (including the Debtors’ capital structure, management, ownership, assets, or operation thereof, including
any draws under or any Claims or Causes of Action related to the RCF Credit Agreement), the subject matter of, or the transactions 

  
 69 

 
or events giving rise to, any Claim or Interest that is treated in this Plan, the business or contractual relationship between any Debtor and any Released Party, the Debtors’ in- or out-of-court restructuring efforts, intercompany transactions between or among a Debtor or an Affiliate of a Debtor and another
Debtor or an Affiliate of a Debtor, the Chapter 11 Cases, the formulation, preparation, dissemination, negotiation, or Filing of the Plan Support Agreement, the Disclosure Statement, the Rights Offerings, the Private Placements, the Exit Facilities,
the Backstop Agreement, this Plan (including, for the avoidance of doubt, the Plan Supplement), the New Warrants, or any aspect of the Restructuring, including any contract, instrument, release, or other agreement or document created or entered into
in connection with the Plan Support Agreement, the Disclosure Statement, the Backstop Agreement, the Rights Offerings, the Private Placements, the Exit Facilities, the New Warrants, this Plan or the Confirmation Order, the Chapter 11 Cases, the
Filing of the Chapter 11 Cases, the pursuit of Confirmation, the pursuit of Consummation, the administration and implementation of this Plan, any action or actions taken in furtherance of or consistent with the administration of this Plan, including
the issuance or distribution of securities pursuant to this Plan, or the distribution of property under this Plan or any other related agreement, or upon any other act or omission, transaction, agreement, event, or other occurrence taking place on
or before the Effective Date related or relating to any of the foregoing. 
 Notwithstanding anything contained herein to the
contrary, the foregoing release does not release (a) any obligations of any party under this Plan or any document, instrument, or agreement executed to implement this Plan, including the Exit Facilities Documents, (b) any Claims related to
any act or omission that is determined in a Final Order to have constituted willful misconduct, gross negligence, or actual fraud, solely to the extent as determined by a final order of a court of competent jurisdiction, (c) the rights of
Holders of Allowed Claims or Interests to receive distributions under this Plan, (d) the rights of any current employee of the Debtors under any employment agreement or plan, or (e) the rights of the Debtors with respect to any
confidentiality provisions or covenants restricting competition in favor of the Debtors under any employment agreement with a current or former employee of the Debtors. 

Entry of the Confirmation Order shall constitute the Bankruptcy Court’s approval, pursuant to Bankruptcy Rule 9019, of the Third-Party
Releases, which includes by reference each of the related provisions and definitions contained in this Plan, and, further, shall constitute the Bankruptcy Court’s finding that the Third-Party Releases are: (a) in exchange for the good and
valuable consideration provided by the Released Parties, including, without limitation, the Released Parties’ contributions to facilitating the Restructuring and implementing this Plan; (b) a good-faith settlement and compromise of the
Claims released by the Third-Party Releases; (c) in the best interest of the Debtors and their Estates and all Holders of Claims and Interests; (d) fair, equitable, and reasonably given and made after due notice and opportunity for a
hearing; and (e) a bar to any of the Releasing Parties asserting any Claim or Cause of Action released pursuant to the Third-Party Releases. 
  

	E.	 Exculpation 

Except as otherwise specifically provided in this Plan, no Exculpated Party shall have or incur liability for, and each Exculpated Party is
hereby released and exculpated from, any 

  
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Cause of Action or Claim related to any act or omission in connection with, relating to, or arising out of the Chapter 11 Cases, the formulation, preparation, dissemination, negotiation, or
Filing of the Plan Support Agreement and related prepetition transactions (including any draws under or Claims or Causes of Action related to the RCF Credit Agreement), the Disclosure Statement, the Backstop Agreement, the Rights Offerings, the
Private Placements, the Exit Facilities, this Plan, the Plan Supplement, the New Warrants, or any transaction related to the Restructuring, any contract, instrument, release or other agreement or document created or entered into before or during the
Chapter 11 Cases, any preference, fraudulent transfer, or other avoidance Claim arising pursuant to chapter 5 of the Bankruptcy Code or other applicable Law, the Filing of the Chapter 11 Cases, the pursuit of Confirmation, the pursuit of
Consummation, the administration and implementation of this Plan, including the issuance of securities pursuant to this Plan, or the distribution of property under this Plan or any other related agreement, or upon any other act or omission,
transaction, agreement, event, or other occurrence taking place on or before the Effective Date related or relating to any of the foregoing, except for Claims related to any act or omission that is determined in a Final Order to have constituted
willful misconduct, gross negligence, or actual fraud, but in all respects such Exculpated Parties shall be entitled to reasonably rely upon the advice of counsel with respect to their duties and responsibilities pursuant to this Plan and the
Confirmation Order. 
 The Exculpated Parties set forth above have, and upon Confirmation of this Plan shall be deemed to have,
participated in good faith and in compliance with applicable Law with respect to the solicitation of votes and distribution of consideration pursuant to this Plan and, therefore, are not and shall not be liable at any time for the violation of any
applicable Law, rule, or regulation governing the solicitation of acceptances or rejections of this Plan or such distributions made pursuant to this Plan. 
  

	F.	 Injunction 

Upon entry of the Confirmation Order, all Holders of Claims and Interests and other parties in interest, along with their respective present
or former employees, agents, officers, directors, principals, and Affiliates, and each of their successors and assigns, shall be enjoined from taking any actions to interfere with the implementation or Consummation of this Plan in relation to any
Claim or Interest that is extinguished, discharged, or released pursuant to this Plan. 
 Except as otherwise expressly provided in
this Plan or the Confirmation Order, or for obligations issued or required to be paid pursuant to this Plan or the Confirmation Order, all Entities who have held, hold, or may hold Claims, Interests, or Causes of Action that have been released,
discharged, or are subject to exculpation pursuant to Article VIII of this Plan, are permanently enjoined, from and after the Effective Date, from taking any of the following actions against, as applicable, the Debtors, the
Reorganized Debtors, the Exculpated Parties, and/or the Released Parties: 
  

	 	(a)	 commencing, conducting, or continuing in any manner any action or other proceeding of any kind on account of
or in connection with or with respect to any such Claims, Interests, or Causes of Action; 

  
 71 

	 	(b)	 enforcing, levying, attaching, collecting, or recovering by any manner or means any judgment, award, decree,
or Order against such Entities on account of or in connection with or with respect to any such Claims, Interests, or Causes of Action; 

  

	 	(c)	 creating, perfecting, or enforcing any Lien or encumbrance of any kind against such Entities or the property
or the Estates of such Entities on account of or in connection with or with respect to any such Claims, Interests, or Causes of Action;  

  

	 	(d)	 asserting any right of setoff, subrogation, or recoupment of any kind against any obligation due from such
Entities or against the property of such Entities on account of or in connection with or with respect to any such Claims, Interests, or Causes of Action unless such Holder has Filed a motion requesting the right to perform such setoff
on or before the Effective Date, and notwithstanding an indication of a Claim or Interest or otherwise that such Holder asserts, has, or intends to preserve any right of setoff pursuant to applicable Law or otherwise; and 

  

	 	(e)	 commencing or continuing in any manner any action or other proceeding of any kind on account of or in
connection with or with respect to any such Claims, Interests, or Causes of Action released or settled pursuant to this Plan or the Confirmation Order.  

Notwithstanding anything to the contrary in the foregoing, the injunction does not enjoin any party under this Plan, the Confirmation Order
or under any other Restructuring Document or other document, instrument, or agreement (including those attached to the Disclosure Statement or included in the Plan Supplement) executed to implement this Plan and the Confirmation Order from bringing
an action to enforce the terms of this Plan, the Confirmation Order or such document, instrument, or agreement (including those attached to the Disclosure Statement or included in the Plan Supplement) executed to implement this Plan and the
Confirmation Order. The injunction in this Plan shall extend to any successors and assigns of the Debtors and the Reorganized Debtors and their respective property and interests in property. 

 

	G.	 Waiver of Statutory Limitations on Releases 

Each Releasing Party in each of the releases contained in this Plan expressly acknowledges that although ordinarily a general release may
not extend to Claims that the Releasing Party does not know or suspect to exist in its favor, which if known by it may have materially affected its settlement with the party released, each Releasing Party has carefully considered and taken into
account in determining to enter into the above releases the possible existence of such unknown losses or Claims. Without limiting the generality of the foregoing, each Releasing Party expressly waives any and all rights conferred upon it by any
statute or rule of law that provides that a release does not extend to Claims that the claimant does not know or suspect to exist in its favor at the time of executing the release, which if known by it may have materially affected its settlement
with the Released Party, including the provisions of California Civil Code Section 1542. The releases contained in this Plan are effective regardless of whether those released matters are presently known, unknown, suspected or unsuspected,
foreseen or unforeseen. 

  
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	H.	 Protection against Discriminatory Treatment 

Consistent with section 525 of the Bankruptcy Code and the Supremacy Clause of the U.S. Constitution, all Entities, including Governmental
Units, shall not discriminate against the Reorganized Debtors or deny, revoke, suspend, or refuse to renew a license, permit, charter, franchise, or other similar grant to, condition such a grant to, or discriminate with respect to such a grant
against the Reorganized Debtors, or another Entity with whom the Reorganized Debtors have been associated, solely because each Debtor has been a debtor under chapter 11 of the Bankruptcy Code, may have been insolvent before the commencement of
the Chapter 11 Cases (or during the Chapter 11 Cases, but before the Debtors are granted or denied a discharge), or has not paid a debt that is dischargeable in the Chapter 11 Cases. 

 

	I.	 Release of Preference Actions 

As of the Effective Date, the Debtors, on behalf of themselves and their Estates, shall be deemed to waive and release all Avoidance Actions
arising under section 547 of the Bankruptcy Code or any comparable “preference” action arising under applicable non-bankruptcy law; provided that, except as expressly provided in this
Article VIII.I or the Confirmation Order, the Reorganized Debtors shall retain the right to assert any Claims assertable in any Avoidance Action as defenses or counterclaims in any Cause of Action brought by any Entity.

  

	J.	 Special Provision Governing Accrued Professional Compensation Claims and Final Fee
Applications 

 For the avoidance of doubt, the releases in this Article VIII of
this Plan shall not waive, affect, limit, restrict, or otherwise modify the right of any party-in-interest to object to any Accrued Professional Compensation Claim or
final fee application Filed by any Professionals in the Chapter 11 Cases. 
 ARTICLE IX. 

CONDITIONS PRECEDENT TO 

CONSUMMATION OF THIS PLAN 
  

	A.	 Conditions Precedent to the Effective Date 

It shall be a condition to Consummation of this Plan that the following conditions shall have been satisfied (or waived pursuant to the
provisions of Article IX.B of this Plan): 
  

	 	(a)	 the Debtors shall have obtained all authorizations, consents, certifications, regulatory approvals, rulings, or
other documents or actions that are necessary to implement and effectuate the Restructuring Transactions, including this Plan, and all such documents shall be materially consistent with the terms of the Plan Support Agreement; 

  
 73 

	 	(b)	 all conditions precedent to the incurrence of the Exit Facilities shall have been satisfied or waived pursuant
to the terms of the Exit Facilities Documents (which may occur substantially contemporaneously with the occurrence of the Effective Date) and such Exit Facilities and Exit Facilities Documents shall comply with the Plan Support Agreement and the
Backstop Agreement in all material respects and shall be in form and substance reasonably acceptable to the Requisite Consenting Stakeholders; 

  

	 	(c)	 the Plan Supplement, including any amendments, modifications, or supplements to the documents, schedules, or
exhibits included therein, shall have been Filed with the Bankruptcy Court pursuant to this Plan; 

  

	 	(d)	 the Rights Offerings and the Private Placements shall have been conducted, in all material respects, in
accordance with the Backstop Order, the Rights Offerings Procedures, the Backstop Agreement, the Plan Support Agreement, and any other relevant transaction documents, each of which shall be in form and substance reasonably acceptable to the
Requisite Financing Parties; 

  

	 	(e)	 the Backstop Agreement shall be in full force and effect and shall not have been terminated, and shall be in
form and substance reasonably acceptable to the Requisite Financing Parties and the parties thereto shall be in compliance therewith; 

  

	 	(f)	 all conditions precedent set forth in the Backstop Agreement shall have been satisfied or waived in accordance
with the terms thereof, substantially concurrently with the occurrence of the Effective Date; 

  

	 	(g)	 the Plan Support Agreement shall be in full force and effect and shall not have been terminated, and the
parties thereto shall be in compliance therewith; 

  

	 	(h)	 the Bankruptcy Court shall have entered the Disclosure Statement Order, and such Order shall not have been
reversed, stayed, amended, modified, dismissed, vacated, or reconsidered; 

  

	 	(i)	 the Bankruptcy Court shall have entered the Backstop Order, in form and substance reasonably acceptable to the
Requisite Financing Parties and the Requisite Consenting Stakeholders, and such Order shall not have been reversed, stayed, amended, modified, dismissed, vacated, or reconsidered; 

 

	 	(j)	 the Professional Fee Escrow shall have been established and funded with Cash in accordance with Article II.B.1
of this Plan; 

  

	 	(k)	 the New Diamond Common Shares and the Exit Notes, including, without limitation, the Commitment Premium Exit
Notes, shall have been issued pursuant to the terms of this Plan; 

  

	 	(l)	 the Restructuring Documents shall be effective pursuant to their terms; 

  
 74 

	 	(m)	 the New Organizational Documents shall have been adopted and (where required by applicable Law) filed with the
applicable authorities of the relevant jurisdictions of organization and shall have become effective in accordance with such jurisdiction’s corporation or limited liability company Laws; 

 

	 	(n)	 the Bankruptcy Court shall have entered the Confirmation Order, in form and substance reasonably acceptable to
the Requisite Consenting Stakeholders, and such Order shall not have been reserved, stayed, amended, modified, dismissed, vacated, or reconsidered; and 

  

	 	(o)	 all outstanding Restructuring Expenses incurred through the Effective Date, to the extent invoiced as provided
herein at least two (2) Business Days before the Effective Date, shall have been paid in full by the Debtors in accordance with the Plan Support Agreement, the Exit Facilities Documents, this Plan, the Confirmation Order, and any other Order of
the Bankruptcy Court authorizing the payment of Restructuring Expenses. 

  

	B.	 Waiver of Conditions 

Any condition to the Effective Date of this Plan set forth in Article IX.A hereof may be waived, in whole or in part,
only if waived in writing by the Debtors and the Requisite Consenting Stakeholders, without notice, leave or Order of the Bankruptcy Court, or any formal action other than proceedings to confirm or consummate this Plan. 

 

	C.	 Substantial Consummation 

Substantial Consummation of this Plan shall be deemed to occur on the Effective Date. 

 

	D.	 Effect of Failure of a Condition 

If the Effective Date does not occur on or before the termination of the Plan Support Agreement or the Backstop Agreement, then: (i) this
Plan will be null and void in all respects; and (ii) nothing contained in this Plan, the Disclosure Statement, the Backstop Agreement, or the Plan Support Agreement shall: (a) constitute a waiver or release of any Claims, Interests, or
Causes of Action by any Entity; (b) prejudice in any manner the rights of any Debtor or any other Entity; or (c) constitute an admission, acknowledgment, offer, or undertaking of any sort by any Debtor or any other Entity; provided,
however, that all provisions of the Plan Support Agreement and Backstop Agreement that survive termination of those agreements shall remain in effect in accordance with the terms thereof. 

ARTICLE X. 

MODIFICATION, REVOCATION, OR WITHDRAWAL OF THIS PLAN 
  

	A.	 Modification and Amendments 

Subject to the limitations contained herein, in the Plan Support Agreement, and the Backstop Agreement, the Debtors reserve the right (subject
to the consent rights of the Requisite Consenting Stakeholders under the Plan Support Agreement and the Requisite Financing Parties 

  
 75 

 
under the Backstop Agreement) to modify this Plan and seek Confirmation consistent with the Bankruptcy Code and, as appropriate, not resolicit votes on such modified Plan; provided that
the Debtors shall be required to resolicit votes of any previously Unimpaired Class of Claims if such Class of Claims is rendered Impaired as a result of such modification, and all rights of the Committee and Holders of General Unsecured
Claims are preserved in connection therewith. Subject to certain restrictions and requirements set forth in section 1127 of the Bankruptcy Code and Bankruptcy Rule 3019 and those restrictions on modifications set forth in this Plan,
the Confirmation Order and the Plan Support Agreement, the Debtors expressly reserve their rights to alter, amend, or materially modify this Plan with respect to the Debtors, one or more times, after Confirmation, and, to the extent necessary, may
initiate proceedings in the Bankruptcy Court to so alter, amend, or modify this Plan, or remedy any defect or omission, or reconcile any inconsistencies in this Plan, the Disclosure Statement, or the Confirmation Order as may be necessary to carry
out the purposes and intent of this Plan. 
  

	B.	 Effect of Confirmation on Modifications 

Entry of the Confirmation Order shall mean that all modifications or amendments to this Plan occurring after the solicitation thereof in
accordance with the Plan Support Agreement are approved pursuant to section 1127(a) of the Bankruptcy Code and do not require additional disclosure or re-solicitation under Bankruptcy Rule 3019. 

 

	C.	 Revocation or Withdrawal of This Plan 

Subject to the terms of the Plan Support Agreement and the Backstop Agreement, including the consent rights of the Requisite Consenting
Stakeholders and the Requisite Financing Parties, the Debtors reserve the right to revoke or withdraw this Plan prior to the Confirmation Date. If the Debtors revoke or withdraw this Plan, or if Confirmation and Consummation does not occur, then:
(a) this Plan shall be null and void in all respects; (b) any settlement or compromise embodied in this Plan (including the fixing or limiting to an amount certain Claims or Classes of Claims), assumption of Executory Contracts and
Unexpired Leases effected by this Plan, and execution of any document or agreement pursuant to this Plan shall be deemed null and void; and (c) nothing contained in this Plan shall (i) constitute a waiver or release of any Claims,
(ii) prejudice in any manner the rights of the Debtors or any other Entity, including the Holders of Claims or Interests and the Non-Debtor Affiliates, or (iii) constitute a representation,
acknowledgement, offer or undertaking of any sort by the Debtors or any other Entity, including the Non-Debtor Affiliates. 

ARTICLE XI. 

RETENTION OF JURISDICTION 

Notwithstanding the entry of the Confirmation Order and the occurrence of the Effective Date, on and after the Effective Date, the
Bankruptcy Court shall retain jurisdiction over the Chapter 11 Cases and all matters arising out of, or related to, the Chapter 11 Cases, the Confirmation Order and this Plan pursuant to sections 105(a) and 1142 of the Bankruptcy
Code, including jurisdiction to: 
  

	 	(a)	 allow, disallow, determine, liquidate, classify, estimate, or establish the priority, Secured or unsecured
status, or amount of any Claim, including the resolution of any request for payment of any Administrative Claim and the resolution of any and all objections to the Secured or unsecured status, priority, amount, or allowance of Claims,
provided that any Claim that is Reinstated under this Plan or the Confirmation Order shall be litigated in other courts with jurisdiction over such Claims; 

  
 76 

	 	(b)	 decide and resolve all matters related to the granting and denying, in whole or in part, of any applications
for allowance of compensation or reimbursement of expenses to Professionals authorized pursuant to the Bankruptcy Code, the Confirmation Order or this Plan; 

  

	 	(c)	 resolve any matters related to: (i) the assumption and assignment or rejection of any Executory Contracts
and Unexpired Leases to which a Debtor is a party or with respect to which a Debtor may be liable in any manner and to hear, determine and, if necessary, liquidate any Claims arising therefrom, including Cure Claims; (ii) any dispute regarding
whether a contract or lease is or was executory, expired, or terminated; or (iii) any other issue related to any Executory Contracts and Unexpired Leases; 

 

	 	(d)	 resolve any disputes concerning whether an Entity had sufficient notice of the Chapter 11 Cases, the Disclosure
Statement, any solicitation conducted in connection with the Chapter 11 Cases, any bar date established in the Chapter 11 Cases, or any deadline for responding or objecting to any Cure Amount, in each case, for the purpose of determining whether a
Claim or Interest is discharged hereunder or for any other purpose; 

  

	 	(e)	 ensure that distributions to Holders of Allowed Claims or Interests are accomplished pursuant to the provisions
of this Plan and adjudicate any and all disputes arising from or relating to distributions under this Plan or the Confirmation Order; 

  

	 	(f)	 adjudicate, decide, or resolve any motions, adversary proceedings, contested or litigated matters and any other
matters, and grant or deny any applications involving a Debtor that may be pending on the Effective Date; 

  

	 	(g)	 adjudicate, decide, or resolve any and all matters related to Causes of Action; 

 

	 	(h)	 adjudicate, decide, or resolve any and all matters related to section 1141 of the Bankruptcy Code;

  

	 	(i)	 enter and implement such Orders as may be necessary or appropriate to execute, implement, or consummate the
provisions of this Plan or the Confirmation Order and all contracts, instruments, releases, indentures, and other agreements or documents in connection with this Plan, the Confirmation Order or the Disclosure Statement; 

  
 77 

	 	(j)	 enter and enforce any Order for the sale of property pursuant to sections 363, 1123 or 1146(a) of the
Bankruptcy Code; 

  

	 	(k)	 resolve any cases, controversies, suits, disputes, or Causes of Action that may arise in connection with the
Consummation, interpretation, or enforcement of this Plan or the Confirmation Order or any Entity’s obligations incurred in connection with this Plan or the Confirmation Order and the administration of the Estates; 

 

	 	(l)	 hear and determine disputes arising in connection with the interpretation, implementation, or enforcement of
this Plan, the Plan Supplement, or the Confirmation Order, or any agreement, instrument, or other document governing or relating to any of the foregoing; 

  

	 	(m)	 issue injunctions, enter and implement other Orders, or take such other actions as may be necessary or
appropriate in aid of execution, implementation, or Consummation of this Plan or to restrain interference by any Entity with Consummation or enforcement of this Plan or the Confirmation Order; 

 

	 	(n)	 resolve any matters related to the issuance of the Exit Notes and the New Diamond Common Shares;

  

	 	(o)	 resolve any cases, controversies, suits, disputes, or Causes of Action with respect to the settlements,
compromises, discharges, releases, injunctions, exculpations, and other provisions contained in Article VIII of this Plan, and enter such Orders as may be necessary or appropriate to implement such discharges, releases, injunctions,
exculpations, and other provisions; 

  

	 	(p)	 resolve any cases, controversies, suits, disputes or Causes of Action with respect to the payment or non-payment of General Unsecured Claims by the Debtors or the Reorganized Debtors; 

  

	 	(q)	 enter and implement such Orders as are necessary or appropriate if the Confirmation Order is for any reason
modified, stayed, reversed, revoked, or vacated; 

  

	 	(r)	 determine any other matters that may arise in connection with or relate to this Plan, the Disclosure Statement,
the Confirmation Order or the Plan Supplement; provided, however, that the Bankruptcy Court shall not retain jurisdiction over disputes concerning documents contained in the Plan Supplement that have a jurisdictional, forum
selection, or dispute resolution clause that refers disputes to a different court or arbitration forum; 

  

	 	(s)	 adjudicate any and all disputes arising from or relating to distributions under this Plan or the Confirmation
Order, or any transactions contemplated herein or therein, subject to the proviso in sub-paragraph r above; 

  
 78 

	 	(t)	 consider any modifications of this Plan to cure any defect or omission or to reconcile any inconsistency in any
Bankruptcy Court Order, including the Confirmation Order; 

  

	 	(u)	 determine requests for the payment of Claims entitled to priority pursuant to section 507 of the Bankruptcy
Code; 

  

	 	(v)	 resolve disputes as to the ownership of any Claim or Interest; 

 

	 	(w)	 hear and determine all matters relating to any Subordinated Claim; 

 

	 	(x)	 hear and determine matters concerning state, local, federal, and foreign taxes in accordance with sections 346,
505, and 1146 of the Bankruptcy Code; 

  

	 	(y)	 grant any consensual request to extend the deadline for assuming or rejecting unexpired leases pursuant to
section 365(d)(4) of the Bankruptcy Code; 

  

	 	(z)	 hear, adjudicate, decide, or resolve any and all matters related to Article VIII of this Plan,
including, without limitation, the releases, discharges, exculpations, and injunctions issued thereunder; 

  

	 	(aa)	 enforce all Orders, judgments, injunctions, releases, exculpations, indemnifications, and rulings previously
entered by the Bankruptcy Court in connection with the Chapter 11 Cases; 

  

	 	(bb)	 hear any other matter not inconsistent with the Bankruptcy Code; 

 

	 	(cc)	 enter an Order concluding or closing any or all of the Chapter 11 Cases; and 

 

	 	(dd)	 hear, determine, and resolve any cases, matters, controversies, suits, disputes, or Causes of Action in
connection with or in any way related to the Chapter 11 Cases, including with respect to the settlements, compromises, discharges, releases, injunctions, exculpations, and other provisions contained in Article VIII of this
Plan, and enter such Orders as may be necessary or appropriate to implement such discharges, releases, injunctions, exculpations, and other provisions. 

Notwithstanding anything to the contrary in the foregoing, the Exit Facilities Documents and any documents set forth in the Plan Supplement
shall be governed by the respective jurisdictional provisions therein. In addition to the foregoing, from the Confirmation Date through the Effective Date, the Bankruptcy Court shall retain jurisdiction with respect to all other matters of this Plan
that were subject to its jurisdiction prior to the Confirmation Date. 
 Unless otherwise specifically provided herein or in a prior Order
of the Bankruptcy Court, the Bankruptcy Court shall have exclusive jurisdiction to hear and determine disputes concerning Claims against or Interests in the Debtors that arose prior to the Effective Date. 

  
 79 

 ARTICLE XII. 

MISCELLANEOUS PROVISIONS 
  

	A.	 Immediate Binding Effect 

Notwithstanding Bankruptcy Rules 3020(e), 6004(h), or 7062 or otherwise, upon the occurrence of the Effective Date, the terms of this Plan, the
final versions of the documents contained in the Plan Supplement and the Confirmation Order shall be immediately effective and enforceable and deemed binding upon the Debtors, the Reorganized Debtors, any and all Holders of Claims or Interests
(regardless of whether such Claims or Interests are deemed to have accepted or rejected this Plan), all Entities that are parties to or are subject to the settlements, compromises, releases, and injunctions described in this Plan or the Confirmation
Order, each Entity acquiring property under this Plan or the Confirmation Order, and any and all non-Debtor parties to Executory Contracts and Unexpired Leases with the Debtors. All Claims and Interests shall
be as fixed, adjusted, or compromised, as applicable, pursuant to this Plan and the Confirmation Order, regardless of whether any such Holder of a Claim or Interest has voted on this Plan. 

 

	B.	 Additional Documents 

On or before the Effective Date, the Debtors may File with the Bankruptcy Court such agreements and other documents as may be necessary or
appropriate to effectuate and further evidence the terms and conditions of this Plan and the Confirmation Order. The Debtors and all Holders of Allowed Claims or Interests receiving distributions pursuant to this Plan and the Confirmation Order and
all other parties-in-interest shall, from time to time, prepare, execute, and deliver any agreements or documents and take any other actions as may be necessary or
advisable to effectuate the provisions and intent of this Plan and the Confirmation Order. 
  

	C.	 Reservation of Rights 

Except as expressly set forth in this Plan or the Confirmation Order, this Plan shall have no force or effect unless the Bankruptcy Court shall
enter the Confirmation Order. 
 With respect to any Cause of Action that the Reorganized Debtors expressly abandon, if any, the Reorganized
Debtors reserve all rights to use defensively such abandoned Causes of Action as a basis to object to all or any part of a Claim against any of the Estates asserted by a creditor who obtains the benefit of such abandoned Causes of Action. 

 

	D.	 Successors and Assigns 

The rights, benefits and obligations of any Entity named or referred to in this Plan or the Confirmation Order shall be binding on, and shall
inure to the benefit of, any heir, executor, administrator, successor or assign, affiliate, officer, director, manager, agent, representative, attorney, beneficiary, or guardian, if any, of each Entity. 

  
 80 

	E.	 Service of Documents 

Any pleading, notice or other document required by this Plan or the Confirmation Order to be served on or delivered shall be served by first
class or overnight mail: 
 If to the Debtors or the Reorganized Debtors: 

Diamond Offshore Drilling, Inc. 

15415 Katy Freeway, Suite 100 

Houston, TX 77094 
 Attention:
David Roland 
 With copies to: 

Paul, Weiss, Rifkind, Wharton & Garrison LLP 

1285 Avenue of the Americas 
 New
York, NY 10019-6064 
 Fax: +1 212 492 0545 
  

	 	Attention:	           Paul M. Basta 

    Robert A. Britton 

    Christopher Hopkins 

    Alice Nofzinger 

    Shamara R. James 

- and - 
 Porter Hedges LLP 

1000 Main St., 36th Floor 

Houston, TX 77002 
 Facsimile: +1
713 226 6248 
 Attention:          John F. Higgins 

    Eric M. English 

    M. Shane Johnson 

If to the Committee: 
 Akin Gump
Strauss Hauer & Feld LLP 
 Bank of America Tower, 

One Bryant Park, 
 New York,
New York 10036 
 Attention:          Ira Dizengoff 

    Philip Dublin 

    Naomi Moss 

  
 81 

 If to a Consenting Noteholder, or a transferee thereof, to the address set forth below the
Consenting Noteholder’s signature (or as directed by any transferee thereof), as the case may be, with copies to: 
 Milbank LLP 

55 Hudson Yards 
 New York,
NY 10001 
  

					
		 	Attention:	 	 Dennis F. Dunne
 Tyson M. Lomazow

Ryan A. Berger

 - and - 

Norton Rose Fulbright US LLP 

1301 McKinney Street, Suite 5100 

Houston, Texas 77010 
 Facsimile:
(713) 651-5246 
  

					
		 	Attention:	 	 William Greendyke
 Jason Boland 

 If to a Consenting RCF Lender, or a transferee thereof, to the address set forth below the Consenting RCF
Lender’s signature (or as directed by any transferee thereof), as the case may be, with copies to: 
 Bracewell LLP 

711 Louisiana Street 
 Suite 2300

 Houston, TX 7700 
  

					
		 	Attention:	 	 Kate Day
 William A. (Trey) Wood III

 After the Effective Date, the Reorganized Debtors have the authority to send a notice to Entities that, to
continue to receive documents pursuant to Bankruptcy Rule 2002, they must file a renewed request to receive documents pursuant to Bankruptcy Rule 2002. After the Effective Date, the Debtors and the Reorganized Debtors are authorized to limit the
list of Entities receiving documents pursuant to Bankruptcy Rule 2002 to those Entities who have filed such renewed requests. 
  

	F.	 Term of Injunctions or Stays 

Unless otherwise provided in this Plan or the Confirmation Order, all injunctions or stays in effect in the Chapter 11 Cases pursuant to
section 105 or 362 of the Bankruptcy Code or any Order of the Bankruptcy Court, and existing on the Confirmation Date (excluding any injunctions or stays contained in this Plan or the Confirmation Order) shall remain in full force and effect
until the Effective Date. All injunctions or stays contained in this Plan or the Confirmation Order shall remain in full force and effect in accordance with their terms. 

  
 82 

	G.	 Entire Agreement 

Except as otherwise indicated, this Plan, the Confirmation Order, the Restructuring Documents, the Plan Supplement and documents related
thereto supersede all previous and contemporaneous negotiations, promises, covenants, agreements, understandings, and representations on such subjects, all of which have become merged and integrated into this Plan, the Confirmation Order, the
Restructuring Documents, the Plan Supplement and documents related thereto. 
  

	H.	 Exhibits 

All exhibits and documents included in this Plan, the Confirmation Order and the Plan Supplement are incorporated into and are a part of this
Plan as if set forth in full in this Plan. After the exhibits and documents are Filed, copies of such exhibits and documents shall be available upon written request to the Debtors’ counsel at the address above or by downloading such exhibits
and documents from the Debtors’ restructuring website at http://cases.primeclerk.com/diamond/ or the Bankruptcy Court’s website at http://www.txs.uscourts.gov/. To the extent any exhibit or document is inconsistent with the terms of this
Plan, unless otherwise ordered by the Bankruptcy Court, the terms of such exhibit or document shall control as to the transactions contemplated thereby and the terms of this Plan shall control as to any provision of this Plan that may be required
under such exhibit or document. 
  

	I.	 Deemed Acts 

Subject to and conditioned on the occurrence of the Effective Date, whenever an act or event is expressed under this Plan to have been deemed
done or to have occurred, it shall be deemed to have been done or to have occurred without any further act by any party by virtue of this Plan and the Confirmation Order. 
  

	J.	 Severability of Plan Provisions 

If, prior to Confirmation, any term or provision of this Plan is held by the Bankruptcy Court to be invalid, void, or unenforceable, the
Bankruptcy Court, at the request of the Debtors, may alter and interpret such term or provision to make it valid or enforceable to the maximum extent practicable, consistent with the original purpose of the term or provision held to be invalid,
void, or unenforceable, and such term or provision shall then be applicable as altered or interpreted; provided, however, that any such alteration or interpretation shall be acceptable to the Debtors and the Requisite Consenting
Stakeholders and the remainder of the terms and provisions of this Plan will remain in full force and effect and will in no way be affected, impaired, or invalidated by such holding, alteration, or interpretation. The Confirmation Order shall
constitute a judicial determination and shall provide that each term and provision of this Plan, as it may have been altered or interpreted in accordance with the foregoing, is: (1) valid and enforceable pursuant to its terms; (2) integral
to this Plan and may not be deleted or modified without the consent of the Debtors and the Requisite Consenting Stakeholders; and (3) non-severable and mutually dependent. 

  
 83 

	K.	 Votes Solicited in Good Faith 

Upon entry of the Confirmation Order, the Debtors will be deemed to have solicited votes on this Plan in good faith and in compliance with the
Bankruptcy Code, and, pursuant to section 1125(e) of the Bankruptcy Code, the Debtors, each of the Consenting Stakeholders, and the Financing Parties and each of their respective Affiliates, agents, Representatives, members, principals,
equityholders (regardless of whether such Interests are held directly or indirectly), officers, directors, partners (including both general and limited partners), managers, employees, advisors (including investment advisors), and attorneys will be
deemed to have participated in good faith and in compliance with the Bankruptcy Code in the offer, issuance, sale, and purchase of securities offered and sold under this Plan, and, therefore, none of such parties or individuals or the Reorganized
Debtors will have any liability for the violation of any applicable Law, rule, or regulation governing the solicitation of votes on this Plan or the offer, issuance, sale, or purchase of the securities offered and sold under this Plan. 

 

	L.	 Request for Expedited Determination of Taxes 

The Debtors shall have the right to request an expedited determination under section 505(b) of the Bankruptcy Code with respect to tax
returns filed, or to be filed, for any and all taxable periods ending after the Petition Date through the Effective Date. 
  

	M.	 No Waiver or Estoppel 

Upon the Effective Date, each Holder of a Claim or Interest shall be deemed to have waived any right to assert that its Claim or Interest
should be Allowed in a certain amount, in a certain priority, be secured, or not be subordinated by virtue of an agreement made with the Debtors and/or their counsel, the Committee and/or its counsel, or any other party, if such agreement was not
disclosed in this Plan, the Disclosure Statement, or papers filed with the Bankruptcy Court. 
  

	N.	 Dissolution of the Committee 

On the Effective Date, the Committee shall dissolve automatically and the members thereof shall be released and discharged from all rights and
duties arising from, or related to, the Chapter 11 Cases, provided that following the Effective Date, the Committee shall continue in existence and have standing and a right to be heard for the following limited purposes: (a) Claims
and/or applications, and any relief related thereto, for compensation by Professionals retained in the Chapter 11 Cases pursuant to sections 327, 328, 329, 330, 331, 503(b), or 1103 of the Bankruptcy Code and requests for allowance of Administrative
Claims for substantial contribution pursuant to section 503(b)(3)(D) of the Bankruptcy Code; (b) any appeals of the Confirmation Order or other appeals to which the Committee is a party; and (c) any adversary proceeding or PCbtH Litigation
in which the Committee is a party (including by intervention), including any appeals thereof, in the case of clauses (b) and (c) if consistent with the Committee’s duties under the Bankruptcy Code, including section 1103. The Reorganized
Debtors shall not be responsible for paying any fees or expenses incurred by the members of or advisors to the Committee after the Effective Date, except for the fees and expenses incurred by the Committee’s Professionals in connection with the
matters identified in clauses (a), (b), and (c) of the foregoing sentence. 

  
 84 

	O.	 Closing of Chapter 11 Cases 

The Reorganized Debtors shall, promptly after the full administration of the Chapter 11 Cases, File with the Bankruptcy Court all
documents required by Bankruptcy Rule 3022 and any applicable Order of the Bankruptcy Court to close the Chapter 11 Cases. 
 The
Reorganized Debtors are authorized, pursuant to sections 105(a) and 350(a) of the Bankruptcy Code and Bankruptcy Rule 3022, to change the case caption of the lead case to [DO Wind Down, Inc.], consolidate the administration of the outstanding Claims
or Interests and any other remaining matters at the lead Debtor in the lead case, and enter a decree closing all other pending Chapter 11 Cases. 

[Signature pages follow] 

  
 85 

 Respectfully submitted, as of the date first set forth above by the Debtors, 

 

					
	Dated: January 22, 2021	 		 	Diamond Offshore Drilling, Inc. (for itself and on behalf of each of its subsidiary debtors as Debtors and Debtors-in-Possession)
			
		 		 	 /s/ Marc Edwards

		 		 	Name: Marc Edwards
		 		 	Title:   President & CEO

  
 86 

 EXHIBIT A 

EXIT REVOLVING CREDIT FACILITY TERM SHEET 

 
SUMMARY OF TERMS AND CONDITIONS 

DIAMOND FOREIGN ASSET COMPANY 

Each capitalized term used and not defined in this Summary of Terms and Conditions (this “Term Sheet”) shall have the meaning ascribed
such term in Addendum A attached hereto. 
 This Term Sheet is provided for discussion purposes only and does not constitute an offer, agreement, or
commitment to enter into such proposal. This Term Sheet is intended as an outline of certain of the material terms of a possible restructuring for Diamond Offshore Drilling, Inc. and does not purport to summarize all of the conditions, covenants,
representations, warranties and other provisions which would be contained in definitive documentation for such restructuring. Any such restructuring would be subject to, among other things, satisfactory completion of due diligence and
definitive documentation, the mutual agreement of the parties, and all necessary formal credit approvals. 
 This Term Sheet is being delivered to
you as a statement made in connection with settlement discussions and compromise negotiations and this Term Sheet and the information contained herein, is therefore subject to Rule 408 of the Federal Rules of Evidence. 

$300 to $400 Million Senior Secured Revolving Credit Facility 
  

			
	Credit Facility:	  	 Revolving credit facility (the “Credit Facility”) in an original aggregate principal amount equal to (a) an amount not
less than $300.0 million and not more than $400.0 million (such amount, the “Commitment Amount”), plus (b) the amount of the PIK Upfront Fee (as defined below). The Commitment Amount will be the amount of the
Commitments (as defined below) to the Credit Facility received from the Existing RCF Lenders pursuant to elections made in accordance with the Plan, up to $400.0 million. The sum of the Commitments plus the principal amount of the Last
Out Term Loan on the Closing Date (as defined below) shall not exceed $500.0 million.
  

The obligations of the Credit Parties (as defined below) under the Credit Facility, including, without limitation, all obligations to pay principal of and
interest on the Loans (as defined below), to reimburse any Issuing Bank (as defined below) for any payment under any Letter of Credit (each as defined below) and to pay fees, costs, expenses, indemnities and other obligations under the Credit
Facility and any Credit Documents (as defined below), are collectively referred to herein as the “Obligations”; the commitment of the Lenders to advance Loans and participate in Letters of Credit is collectively referred to herein
as the “Commitments”.

		
	Co-Borrowers:	  	Diamond Foreign Asset Company, a Cayman Islands company limited by shares (“DFAC” and together with any other subsidiary of DFAC designated by the Company as an additional borrower prior to the Closing Date
that is acceptable to the Administrative Agent and the Lenders, the “Borrowers” and each individually, a “Borrower”).

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
	Guarantors:	 	 Each of the following, on a joint and several basis: (a) Diamond Offshore Drilling, Inc., a Delaware corporation (the
“Company”), Diamond Offshore Finance Company, a Delaware corporation (“DOFC”), Diamond Offshore Services Company, a Delaware limited liability company (“DOSC”), and DFAC, (b) each Restricted
Subsidiary of the Company, including Eligible Local Content Entities, which is not an Excluded Subsidiary (as defined below), (c) each Restricted Subsidiary of the Company that (1) owns a Rig or (2) operates or is a party to a drilling
contract or charter (or similar contract) related to, a Rig, or holds an account in which payments in respect of such Rigs, contracts or charters are made or held (each, a “Rig Subsidiary”), (d) each Restricted Subsidiary of the
Company that directly or indirectly owns equity interests in a Rig Subsidiary, (e) any other Person that is a borrower, issuer, or guarantor under any of the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any) (the
Persons referred to in clauses (a), (b), (c), (d) and (e) above, the “Required Guarantors”), and (f) each other Subsidiary (as defined below) of the Company, if any, that elects to
provide a guarantee of the Credit Facility (each other Subsidiary of the Company referred to in this clause (f), a “Discretionary Guarantor” and, together with the Required Guarantors, the “Guarantors”).

 
 As used herein: (a) “Additional Subject Jurisdiction” means any
jurisdiction (other than any Initial Subject Jurisdiction) in which a Required Guarantor (i) is organized, incorporated or formed and/or (ii) has material operations or owns any assets, but only if the value of all assets (excluding Rigs
and intercompany claims owing to Credit Parties) which are owned by any Required Guarantor in such jurisdiction and reasonably capable of becoming Collateral exceeds a materiality threshold to be agreed (which shall give rise to a notice requirement
by the Borrowers); (b) “Credit Parties” means the Borrowers and the Guarantors; (c) “Initial Subject Jurisdictions” means the United States of America (or any political subdivision thereof), England and Wales,
Marshall Islands, Cayman Islands, Brazil, the Netherlands, and Curacao; (d) “Subsidiary Credit Parties” means the Credit Parties (other than the Company); and (e) “Subject Jurisdictions” means the Initial Subject
Jurisdictions and the Additional Subject Jurisdictions (if any); provided that references to the Subject Jurisdictions shall only include a reference to any non-U.S. Subject Jurisdiction for so long as
one or more Required Guarantors (i) are incorporated, organized or formed in such non-U.S. jurisdiction or (ii) have material operations or own assets in such
non-U.S. Subject Jurisdiction that satisfy the materiality threshold referred to in clause (ii) of the definition of “Additional Subject Jurisdiction”.

 
 So long as no default or event of default would result from such release and the
Borrowers have demonstrated pro forma compliance with each Collateral Coverage Ratio after giving effect to such release (as evidenced by a compliance certificate setting forth and certifying such calculation and the absence of a default or event of
default), a Guarantor shall be released from its guarantee (i) automatically if all

  

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		  	 of the capital stock of such Guarantor that is owned by the Company or any Credit Party is sold or otherwise disposed of in a transaction or
series of transactions permitted by the Credit Facility, (ii) automatically if such Guarantor is designated as an Unrestricted Subsidiary in compliance with the Credit Documents, or (iii) solely with respect to any Discretionary Guarantor
that is not also a Required Guarantor, upon a written notice from the Company to the Administrative Agent requesting such release and certifying that such Person will no longer be a Discretionary Guarantor, in the case of each of clauses (i),
(ii), and (iii) above, so long as, substantially simultaneously with such release, such Guarantor is released from its obligations under the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any).

 
 “Excluded Subsidiary” means:

 
 (a) any Subsidiary other than a Rig Subsidiary (i) that would
be prohibited or restricted from guaranteeing the Credit Facility by any governmental authority with authority over such Subsidiary, applicable law or regulation or analogous restriction or contract (including any requirement to obtain the consent,
approval, license or authorization of any governmental authority or third party, unless such consent, approval, license or authorization has been received, but excluding any restriction in any organizational or governing documents of such
Subsidiary, provided that, if reasonably requested by the Administrative Agent, the Company and its Restricted Subsidiaries shall use commercially reasonable efforts to obtain such consent, approval, license, or authorization to the extent
required or advisable under the laws of the jurisdiction of organization of such Subsidiary for such Subsidiary to guarantee the Credit Facility, as reasonably determined by the Administrative Agent) so long as (x) in the case of Subsidiaries
of the Company existing on the Closing Date, such contractual obligation is in existence on the Closing Date and (y) in the case of Subsidiaries of the Company acquired after the Closing Date, such contractual obligation is in existence
immediately prior to such acquisition; (ii) if the provision of a guarantee by such Subsidiary (other than a Subsidiary formed in a Subject Jurisdiction) would result in material adverse tax consequences as reasonably determined by the Company
and the Administrative Agent; or (iii) that is otherwise excluded from the requirement to provide a guarantee pursuant to clause (e) of the Agreed Security Principles;

 
 (b) (i) any non-wholly owned
Subsidiary (other than a Rig Subsidiary) that is prohibited from guaranteeing the Credit Facility pursuant to its governing documents (provided that no Subsidiary that is wholly owned and a Guarantor as of the Closing Date shall be or be
deemed to be an “Excluded Subsidiary” pursuant to this clause (b)(i) solely because a portion (but not all) of the equity interests in such Subsidiary are sold or otherwise transferred to any Person that is not a Credit Party, and,
notwithstanding such sale or other transfer of a portion (but not all) of the equity interests in such Subsidiary, such Subsidiary shall remain a Guarantor to the extent it does not otherwise constitute an Excluded Subsidiary); (ii) any Unrestricted
Subsidiary; and (iii) any Immaterial Subsidiary; and

  

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 (c) any wholly-owned Restricted Subsidiary (other
than a Rig Subsidiary) acquired with pre-existing indebtedness (to the extent not created in contemplation of such acquisition and as permitted by the Credit Documents), the terms of which prohibit the
provision of a guarantee by such Restricted Subsidiary; and
  
 (d)
any non-U.S. Subsidiary to the extent that the burden or cost of providing a guarantee outweighs the benefit afforded thereby as reasonably determined by the Administrative Agent in consultation with the
Company.
  
 “Immaterial Subsidiary” means any Restricted Subsidiary of
the Company which, together with its Subsidiaries, as of the last day of the most recently ended four fiscal quarter period of the Company for which financial statements have been delivered to the Administrative Agent pursuant to the Credit
Documents (the “Test Period”), on a pro forma basis (including pro forma for acquisitions and dispositions during such period), (a) contributed less than 2.5% of Adjusted EBITDA and (b) for which, as of the last day of such
Test Period, the Combined Adjusted Total Assets of such Restricted Subsidiary is less than 2.5% of the Adjusted Consolidated Total Assets of the Company and its Restricted Subsidiaries; provided that, for the most recently ended Test Period
prior to such date, the combined (i) Adjusted EBITDA attributable to all Immaterial Subsidiaries shall not exceed 5.0% of Adjusted EBITDA for such period and (ii) Adjusted Total Assets of all Immaterial Subsidiaries shall not exceed 5.0%
of the Adjusted Consolidated Total Assets of the Company and its Restricted Subsidiaries for such period, in each case, as determined in accordance with GAAP (each of Adjusted EBITDA and consolidated total assets to be determined after eliminating
intercompany obligations owing to Credit Parties); provided that no Restricted Subsidiary shall be an Immaterial Subsidiary if such Restricted Subsidiary is a Rig Subsidiary. “Material Subsidiary” means, as of any time of
determination, any Restricted Subsidiary of the Company which is not an Immaterial Subsidiary.

		
	 Joint Lead Arrangers
 and Joint
Lead
 Bookrunners:
	  	Wells Fargo Securities, LLC (“Wells Fargo Securities”) and the other joint lead arrangers and joint bookrunners under the Existing Credit Agreement to the extent such institutions are Lenders under the credit
agreement governing the Credit Facility (the “Lead Arrangers”).
		
	 Administrative Agent
 & Collateral
Agent:
	  	Wells Fargo Bank, National Association (“Wells Fargo Bank”) shall be the administrative agent for the Credit Facility (in such capacity, the “Administrative Agent”). Wells Fargo Bank (or its
designee) shall be the collateral agent for the Credit Facility, the Last Out Term Loan, the Last Out Notes, and (if any) the Last Out Incremental Debt (in such capacity, the “Collateral Agent”). Collateral agency arrangements to be
agreed.

  

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	Syndication Agents:	  	Financial institution(s) to be determined by the Lead Arrangers.
		
	 Documentation
 Agents:
	  	Financial institution(s) to be determined by the Lead Arrangers.
		
	Lenders:	  	 Wells Fargo Bank, each financial institution party to the Existing Credit Agreement electing to provide a Commitment under the Credit
Facility on the Closing Date (collectively, the “Lenders” and each individually, a “Lender”).
  

Any Lender that is also (or whose affiliate is) a direct or indirect equityholder of the Company (an “Affiliated Lender”) will not receive
information provided solely to Lenders and Issuing Banks by the Administrative Agent or any Lender and will not be permitted to attend or participate in conference calls or meetings attended solely by the Lenders, Issuing Banks, and the
Administrative Agent.

		
	Issuing Banks:	  	Wells Fargo Bank, Barclays Bank PLC, Citibank, N.A., HSBC Bank USA, National Association and any other Lender that consents to being an issuing bank (each, an “Issuing Bank”); provided, each Issuing Bank
shall be acceptable to the Administrative Agent and the Borrowers, such acceptance not to be unreasonably withheld or delayed. Each Issuing Bank shall notify the Administrative Agent and the Borrowers of the aggregate maximum face amount of Letters
of Credit that such Issuing Bank agrees to issue under the Credit Facility, which shall not exceed the Letter of Credit Sublimit (such amount, such Issuing Bank’s “LC Commitment”). Wells Fargo Bank’s LC Commitment on the
Closing Date will be $25 million; Barclays Bank PLC’s LC Commitment on the Closing Date will be $25 million; Citibank, N.A.’s LC Commitment on the Closing Date will be $25 million; and HSBC Bank USA, National
Association’s LC Commitment on the Closing Date will be $25 million, in each case subject to each such Issuing Bank’s customary KYC process and credit approvals related to fronting risk to the Lenders.
		
	 Collateral &

Intercreditor
 Arrangements:
	  	 The Collateral (as defined below) will be created under, and governed by, the same collateral documents as the Last Out Term Loan, the
Last Out Notes, and (if any) the Last Out Incremental Debt, subject to any local law requirements. Subject to the Agreed Security Principles, the Obligations will be secured by the following (collectively, the “Collateral”):

 
 (a) a pledge by each Credit Party of 100.0% of the stock of each
Restricted Subsidiary directly owned thereby; and

  

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		  	 (b) a first priority, perfected lien on and security interest (subject to permitted liens) in substantially all assets of
each Credit Party, including, without limitation, (i) 100% of the equity interests owned in each Restricted Subsidiary and each Credit Party (other than the Company), (ii) all material owned registered intellectual property (provided that, if
such security can be granted pursuant to a customary composite “all assets” security document, all owned registered intellectual property of such Credit Party shall be subject to liens), (iii) all Rigs, (iv) all accounts receivable,
general intangibles, equipment, charters, drilling contracts and other contracts, vessels, intercompany indebtedness, and all proceeds of the foregoing, in each case related to such Rigs, and all collection accounts, pooling accounts, and other
amounts into which payments related to such Rigs are made or swept or in which such amounts are held, (v) Material Real Property (as defined herein), and (vi) all deposit accounts, securities accounts and commodity accounts, with respect
to which accounts (other than Excluded Accounts (as defined below)) shall be required to be subject to account control agreements in form and substance reasonably satisfactory to the Administrative Agent (or, with respect to non-U.S. accounts, other applicable agreements, filings, or perfection actions reasonably acceptable to the Administrative Agent) to the extent required by Agreed Security Principles, shall be delivered
(x) within 30 days of the Closing Date, or such longer period as the Administrative Agent may reasonably approve, with respect to each U.S. account required to be Collateral as of the Closing Date, (y) within 45 days of the Closing Date,
or such longer period as the Administrative Agent may reasonably approve, with respect to each non-U.S. account required to be Collateral as of the Closing Date, and (z) prior to any deposit of any
proceeds into a newly established account or any account ceasing to be an Excluded Account (or, in any such case, such longer period thereafter as the Administrative Agent may reasonably approve), with respect to each account required to be
Collateral that is established after the Closing Date or that ceases to be an Excluded Account after the Closing Date, as the case may be.
  

The Credit Documents shall also include customary negative pledges on all assets of the Credit Parties (with certain customary exceptions and thresholds), in
each case, to be mutually agreed and subject to permitted liens.
  
 The secured and
guaranteed obligations under the Credit Facility shall include the obligations of the Credit Parties under (a) the Credit Facility, the Credit Documents, and Guarantees, (b) hedging transactions in existence on the Closing Date that were
entered into with counterparties that are Lenders or affiliates of Lenders on the Closing Date and hedging transactions entered into after the Closing Date with a hedging transaction counterparty that was a Lender or an affiliate of a Lender at the
time such hedging transaction was entered into, and (c) treasury management obligations in existence on the Closing Date that are held by Lenders or affiliates of Lenders on the Closing Date and treasury management obligations incurred after
the Closing Date with a counterparty that was a Lender or an affiliate of a Lender at the time such treasury management obligation was incurred.

  

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 The priority of the security interests and related creditor rights
among the Credit Facility, the Last Out Notes, the Last Out Term Loan, and (if any) the Last Out Incremental Debt will be set forth in a customary first out/last out intercreditor agreement to be negotiated in good faith and on terms and conditions
to be reasonably agreed (the “First Out/Last Out Intercreditor Agreement”). The First Out/Last Out Intercreditor Agreement shall provide that the payment obligations under the Last Out Notes, Last Out Term Loan, and Last Out
Incremental Debt rank pari passu with each other, but junior to the payment obligations under the Credit Facility in all respects.
  

Notwithstanding the foregoing, the Collateral shall not include any Excluded Property (as defined below), or any other property or asset that is otherwise
excluded pursuant to the Agreed Security Principles. “Excluded Property” means:
  

(i) fee owned real property with a fair market value of less than $10.0 million in the aggregate (any property in excess of such
threshold, “Material Real Property”), and any leasehold interests in real property (it being understood there shall be no requirement to obtain any landlord or other third party waivers, estoppels or collateral access letters), and
any fixtures affixed to such excluded real property;
  
 (ii)
pledges and security interests prohibited or restricted by applicable law, rule or regulation (including as a result of any requirement to obtain the consent, approval, license or authorization of any governmental or regulatory authority unless such
consent has been obtained; provided that, if reasonably requested by the Administrative Agent, the Credit Parties will use commercially reasonable efforts to obtain such consents to the extent required or advisable to create or perfect such security
interests under the laws of the applicable jurisdiction, as determined by the Administrative Agent in its reasonable discretion);
  

(iii) minority interests or equity interests in joint ventures and non-wholly-owned Subsidiaries,
to the extent the grant of a lien on such interest would require a consent, approval, license or authorization from any governmental authority or any other Person (other than a Credit Party or Restricted Subsidiary); provided that, if reasonably
requested by the Administrative Agent, the Credit Parties will use commercially reasonable efforts to obtain such consents to the extent required or advisable to create or perfect such security interests in such minority interests or equity
interests in the applicable jurisdiction, as determined by the Administrative Agent in its reasonable discretion; and provided further that such minority interests or equity interests in a Subsidiary that were directly or indirectly owned by the
Company on the Closing Date shall not be Excluded Property if they were not Excluded Property on the Closing Date;

  

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 (iv) any lease, license, contract, or agreement,
or any property subject to a purchase money security interest, capital lease obligation or similar arrangement, in each case, to the extent that a grant of a security interest therein to secure the Credit Facility would violate or invalidate such
lease, license, contract, or agreement or purchase money or similar arrangement (including as a result of any requirement to obtain the consent, approval, license or authorization of any third party unless such consent has been obtained (and it
being understood and agreed that, if reasonably requested by the Administrative Agent, the Credit Parties shall use commercially reasonable efforts to obtain any such consent, approval, license or authorization to the extent required or advisable to
create or perfect a security interest in such lease, license, contract, or agreement or purchase money or similar arrangement under the laws of the applicable jurisdiction, as determined by the Administrative Agent in its reasonable discretion,
other than with respect to drilling contracts)) or create a right of termination in favor of any other party thereto (other than a Borrower or a Restricted Subsidiary) after giving effect to Sections 9-406, 9-407, 9-408, and 9-409 of the Uniform Commercial Code, which limit anti-assignment provisions, other than proceeds and receivables
thereof, the assignment of which is expressly deemed effective under the Uniform Commercial Code notwithstanding such prohibition;
  

(v) any intent-to-use trademark application prior to the
filing and acceptance of a “Statement of Use,” “Amendment to Allege Use” or similar filing with respect thereto, by the United States Patent and Trademark Office, only to the extent, if any, that, and solely during the period if
any, in which, the grant of a security interest therein may impair the validity or enforceability of such intent-to-use trademark application under applicable federal
law;
  
 (vi) any after-acquired property (including property
acquired through acquisition or merger of another Person) if at the time such acquisition is consummated the granting of a security interest therein or the pledge thereof is prohibited by any contract or other agreement that encumbers such property
prior to such acquisition (in each case, not created in contemplation thereof) solely to the extent and for so long as such contract or other agreement (or a permitted refinancing or replacement thereof) prohibits such security interest or
pledge;
  
 (vii) the capital stock of (A) Unrestricted
Subsidiaries, (B) any after-acquired non-wholly owned Subsidiary to the extent that restrictions in any organizational or governing documents of such Subsidiary prohibit the pledge of its capital stock,
and (C) Excluded Subsidiaries (other than any Discretionary Guarantor and any Restricted Subsidiary that becomes an Excluded Subsidiary solely by virtue of its being an Immaterial Subsidiary) to the extent such pledge would be prohibited by the
same factors that cause such Subsidiary to be an Excluded Subsidiary;

  

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 (viii) (A) certain accounts to be agreed, such as
(1) deposit accounts specially and exclusively used in the ordinary course of business for payroll, payroll taxes and other employee wage and benefit payments (or the equivalent thereof in non-U.S.
jurisdictions), (2) pension fund accounts, 401(k) accounts and trust accounts (or the equivalent thereof in non-U.S. jurisdictions), (3) withholding tax and other similar tax accounts (including sales tax
accounts), (4) fiduciary accounts, escrow accounts, trust accounts and other accounts, in each case, which solely hold funds on behalf of any third party (or the equivalent thereof in any non-U.S.
jurisdiction), (5) other deposit accounts, securities accounts, and commodity accounts with balances in the aggregate for all accounts referred to in this subclause (5), not exceeding $20 million at any time, and (6) any other
account to the extent the cost of creating a lien therein is excessive in relation to the practical benefit to the Lenders afforded thereby, as reasonably determined by the Administrative Agent (such excluded accounts referred to in this clause
(A), collectively, the “Excluded Accounts”), and (B) all funds and other property held in or maintained in any such Excluded Account; provided that no Reinvestment Account shall be an Excluded Account; and

 
 (ix) other exceptions to be mutually agreed upon between the Company
and the Administrative Agent.
  
 Notwithstanding anything to the contrary herein, in
determining whether any security shall be created and/or perfected, the Credit Documents shall reflect the following principles and other customary security principles to be mutually agreed in the Credit Documents (collectively, the “Agreed
Security Principles”):
  
 (a) The Credit Documents shall
not require any party to take steps to create or perfect any lien in Excluded Property.
  

(b) Perfection through account control agreements or other actions (other than the filing of UCC-1
financing statements or other all-asset filings, as applicable) shall not be required with respect to (i) Excluded Accounts or any non-U.S. accounts with respect to
which the Administrative Agent determines the cost of perfection is excessive in relation to the practical benefit to the Lenders afforded thereby, (ii) any commercial tort claim, except for any commercial tort claim held by a Credit Party with
respect to which a complaint has been filed in a court of competent jurisdiction asserting damages in excess of $1.0 million for each such claim (but with respect to claims in courts outside the United States, only to the extent the concept of
commercial tort claims exists under applicable local law and such local law includes procedures for perfecting against a commercial tort claim), and (iii) letter of credit rights (other than to the extent consisting of supporting obligations
that can be perfected solely by the

  

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		  	 filing of a UCC-1 financing statement or other all-assets
filing (it being understood that no actions shall be required to perfect a security interest in letter of credit rights other than filing of a UCC-1 financing statement or other
all-assets filing)).
  
 (c)
None of the Borrowers or the Guarantors shall be required to take any actions with respect to the creation or perfection of liens on any Collateral within or subject to the laws of the United States of America other than actions relating to
(i) the delivery of certificated securities and certain debt instruments (including intercompany promissory notes) (subject to materiality thresholds to be set forth in the Credit Documents) and the subordination of intercompany liabilities,
(ii) the execution and delivery of, and performance under, the security and pledge agreements, any required short-form intellectual property collateral documents and any required account control agreements (the terms of which shall reflect that
the relevant Credit Party will have full operational control of the accounts subject thereto absent the occurrence of and continuance of an event of default), (iii) any required security interest filings in the U.S. Patent and Trademark Office and
the U.S. Copyright Office, (iv) the filing of UCC-1 financing statements, (v) mortgages (or similar collateral documents) encumbering the Rigs and related assets, (vi) mortgages and related
security documents on Material Real Property, and (vii) other actions reasonably agreed between the Administrative Agent and the Company, subject to customary exceptions and thresholds to be set forth in the Credit Documents.

 
 (d) None of the Borrowers or the Guarantors shall be required to
take any actions with respect to the creation or perfection of liens on any Collateral that are within or subject to the laws of any jurisdiction other than (i) the Subject Jurisdictions and (ii) solely with respect to the mortgage of each
owned Rig and related assets required to be Collateral, execution and recordation of a mortgage (or similar collateral document) and delivery of other customary documentation reasonably requested by the Administrative Agent, in each case in the
relevant jurisdiction in which such Rig is flagged and, if applicable, the jurisdiction where the owner of such Rig is formed. Absent an event of default that is continuing, except as set forth in subclause (ii) of the foregoing
sentence, no collateral documents shall be required to be delivered under the laws of any jurisdiction other than the Subject Jurisdictions.
  

(e) General statutory limitations, financial assistance, fiduciary duties, corporate benefit, fraudulent preference, illegality, criminal
or civil liability, “thin capitalisation” rules, “earnings stripping”, “controlled foreign corporation” rules, capital maintenance rules and analogous principles may restrict a Restricted Subsidiary (other than a Rig
Subsidiary) from providing a guarantee or granting liens on its assets or may require that any guarantee and/or security be limited to a certain amount. To the extent that any such limitations, rules and/or principles referred to above require that
the guarantee and/or security

  

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		  	is limited by an amount or otherwise in order to make such guarantee or security granted by a Restricted Subsidiary (other than a Rig Subsidiary) legal, valid, binding or enforceable or to avoid the relevant Restricted Subsidiary
(other than a Rig Subsidiary) from breaching any applicable law or otherwise in order to avoid civil or criminal liability of the officers or directors (or equivalent) of any Credit Party, the limit shall be no more than the minimum limit required
by those limitations, rules or principles. To the extent the minimum limit can be increased or eliminated, as applicable, by actions or omissions on the part of any Credit Party, each Credit Party shall use commercially reasonable efforts to take
such actions or not to take actions (as appropriate) in order to increase or eliminate the minimum limit required by those limitations, rules or principles.
		
		  	 (f) Registration of any liens created under any collateral document and other legal formalities and perfection steps,
if required under applicable law or regulation or where customary or consistent with market practice, will be completed by each Credit Party in the relevant Subject Jurisdiction(s) as soon as reasonably practicable in line with applicable market
practice after that security is granted and, in any event, within the time periods specified in the relevant Credit Document or within the time periods specified by applicable law or regulation, in order to ensure due priority, perfection and
enforceability of the liens on the Collateral required to be created by the relevant Credit Document.

		
		  	 (g) Where there is material incremental cost involved in creating or perfecting liens over all assets of a particular
category owned by a Credit Party in a particular jurisdiction, such Credit Party’s grant of security or the steps required to perfect such liens, as applicable, over such category of assets may be limited to the material assets in that category
where determined appropriate by the Company and the Administrative Agent in light of the Agreed Security Principles.

		
		  	 (h) No security granted in motor vehicles and other assets subject to certificates of title (in each case, other than
any owned Rigs required to be mortgaged as Collateral and any motor vehicle or other asset with a value in excess of $3.0 million) shall be required to be perfected (other than to the extent such rights can be perfected by filing a UCC-1 financing statement or similar composite “all asset” security document under applicable law of any foreign Subject Jurisdiction).

		
		  	 (i) The Credit Parties shall pledge, or cause to be pledged, the equity interests they own in each Restricted
Subsidiary and each Credit Party, unless otherwise excluded from the Collateral pursuant to the Agreed Security Principles. Each collateral document in respect of security over equity interests in any Subsidiary Credit Party will be governed by the
laws of the country (or state thereof) in which such Person is incorporated, organized or formed; provided that each

  

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		  	collateral document in respect of security over equity interests in (x) any U.S. Restricted Subsidiary will be governed by the laws of the State of New York or (y) any Restricted Subsidiary that is not incorporated,
organized or formed in a Subject Jurisdiction may be governed by the laws of the State of New York and/or the laws of a relevant non-U.S. Subject Jurisdiction, as determined in the sole discretion of the
Administrative Agent. Absent an event of default that is continuing, no Credit Party or Restricted Subsidiary shall be required to provide any security or take any perfection step (A) under the laws of any jurisdiction that is not a Subject
Jurisdiction, in respect of any equity interests held in any direct Restricted Subsidiary of any Credit Party incorporated, organized or formed outside a Subject Jurisdiction or (B) in respect of any equity interests held in any Person which is
not a Subsidiary Credit Party or a direct Restricted Subsidiary of a Credit Party, in each case, unless such security can be granted under a customary composite “all asset” security document under the laws of a Subject Jurisdiction; it
being understood and agreed that (1) absent an event of default that is continuing, there shall be no requirement (and the Administrative Agent shall not request) that any local law perfection steps (or collateral documents) with respect to
equity interests be taken in any jurisdiction other than a Subject Jurisdiction (other than the preparation and delivery of local law governed share certificates and customary local law stock transfer powers (or equivalent transfer powers) in
respect of pledged equity interests in any Subsidiary Credit Party or any direct Restricted Subsidiary of a Credit Party) and (2) the Administrative Agent may require any Credit Party to provide a New York
law-governed pledge of the equity interests owned in each Restricted Subsidiary held by such Credit Party, unless otherwise excluded from the Collateral pursuant to the Agreed Security Principles, regardless
of such Credit Party’s or Restricted Subsidiary’s jurisdiction of organization, in addition to any other documents required or permitted to be requested under the Credit Documents.
		
		  	 (j) Information, such as lists of assets, if required by applicable law or market practice to be provided in order to
create or perfect any security under a collateral document will be specified in that collateral document and all such information shall be provided by the relevant Credit Party at intervals no more frequently than annually (unless it is market
practice to provide such information more frequently in order to perfect or protect such security under the applicable collateral document); provided that the frequency of any such delivery of information and materiality thresholds with
respect thereto shall be in line with the customary market practice in the applicable jurisdiction or, so long as an event of default is continuing, following the Administrative Agent’s request.

		
		  	 (k) Unless an event of default exists, no registration of the liens on intellectual property constituting Collateral
with an aggregate value of less than $3,000,000 shall be required.

  

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		  	 (l) No Credit Party shall be required to give notice of any security created over any of its contracts, book debts or
accounts receivable to the relevant counterparties or debtors unless an event of default has occurred and is continuing, except that this shall not apply with respect to notices of security created over drilling or other similar contracts to the
relevant counterparties that are necessary or desirable to create or perfect any lien in such contract.

		
		  	 (m) Each Credit Party shall use commercially reasonable efforts to create and perfect first ranking floating charges
and general business charges in the relevant Subject Jurisdictions over its assets that are required to constitute Collateral. Any such floating charges and general business charges shall be in the form and to the extent consistent with market
practice in the relevant Subject Jurisdiction. In addition, if requested by the Administrative Agent, each Credit Party shall sign a New York law-governed security agreement, regardless of such Credit
Party’s jurisdiction of organization or location of its assets.

		
		  	 (n) The security documentation shall be limited to those documents mutually agreed among counsel for the Borrowers and
for the Administrative Agent, which documentation shall in each case be in form and substance consistent with these principles, customary for the form of Collateral and as mutually agreed between the Administrative Agent and the
Borrowers.

		
		  	 (o) No documentation with respect to the creation or perfection of liens shall be required for spare part equipment
other than as would be customarily provided for in a mortgage over the applicable owned Rig required to be Collateral (if applicable), except to the extent (i) such security can be granted under a customary composite “all asset” security
document under the laws of a Subject Jurisdiction or (ii) the value of such assets reasonably capable of becoming Collateral exceeds a materiality threshold to be agreed.

		
		  	 (p) No lien searches shall be required other than customary searches in the United States, in any other Subject
Jurisdiction (but only to the extent (i) the concept of “lien” searches exists therein, (ii) such requirement would be customary or consistent with market practice in such jurisdiction, and (iii) such searches can be
obtained at commercially reasonable costs or are with respect to owned Rigs (which shall be customary registry searches)).

		
		  	 (q) None of the Borrower or any Guarantor shall be required to take any actions with respect to the creation and/or
perfection of liens on any Collateral to the extent the cost of creating and/or perfecting of such lien is excessive in relation to the practical benefit to the Lenders afforded thereby, as reasonably determined by the Administrative Agent in
consultation with the Borrower.

  

14            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		
	Purpose:	  	General corporate purposes, including the repayment of certain indebtedness to the Lenders under the Existing Credit Agreement, working capital needs and capital expenditures.
		
	Funding Options:	  	 Prior to the Commitment Termination Date (as defined below), the Borrowers may borrow loans (the “Loans”) on a
revolving basis up to the Commitment Amount. 
  
 All Loans shall be made in
U.S. Dollars. The Borrowers may request the issuance of Letters of Credit (a) from all of the Issuing Banks in U.S. Dollars, British Pounds Sterling, Euros, Mexican Pesos, or Norwegian
Kroner, (b) from Issuing Banks that approve such currency prior to the Closing Date, in Brazilian Reais, Malaysian Ringgit, and Indonesian Rupiah, or (c) any other eligible major currency as may be requested by the Borrowers and agreed to
by the Administrative Agent, the Issuing Banks and the Lenders in their sole discretion.

		
	Closing Date:	  	 The date of the satisfaction or waiver of the Initial Conditions (such date, the “Closing Date”).

		
	 Commitment
 Termination
Date:
	  	 One business day prior to the fifth anniversary of the Closing Date (such date, the “Commitment Termination
Date”).

		
	 Letters of Credit:
	  	 Prior to the Commitment Termination Date, the Borrowers may use up to the lesser of (i) $100.0 million of the Credit Facility
(the “Letter of Credit Sublimit”) and (ii) the aggregate LC Commitments for the issuance by the Issuing Banks of standby letters of credit (the “Letters of Credit”) having an expiry of no later than the earlier
of (A) one year after the issuance thereof and (B) five (5) business days prior to the Commitment Termination Date (or with respect to a Letter of Credit for which the Borrowers have delivered cash collateral or a back-to-back letter of credit, in each case satisfactory to the relevant Issuing Bank, in an amount equal to 105% of the face amount of such Letter of Credit, such later
expiry date as may be agreed to by such Issuing Bank); provided, however, that no individual Issuing Bank shall be obligated to issue Letters of Credit in an aggregate amount in excess of its LC Commitment. Letters of Credit may be in
the form of performance letters of credit or financial letters of credit. Letters of Credit may be denominated in (a) U.S. Dollars, British Pounds Sterling, Euros, Mexican Pesos, or Norwegian Kroner, (b) subject to the approval of the
relevant Issuing Banks prior to the Closing Date, Brazilian Reias, Malaysian Ringgit, and Indonesian Rupiah, or (c) any other eligible major currency as may be requested by the Borrowers and agreed to by the Administrative Agent, the Issuing
Banks and the Lenders in their sole discretion. Each HSBC Letter of Credit shall be deemed issued as a Letter of Credit on the Closing Date (subject to the conditions precedent to closing and the conditions precedent to each extension of credit
being satisfied).

  

15            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		
	Interest Rates:	  	Interest on Loans will accrue based on (i) the Base Rate, plus the Applicable Margin (as defined below), or (ii) the LIBOR Rate, plus the Applicable Margin, in each case as selected by the Borrowers.
The LIBOR Rate will be subject to LIBOR replacement provisions consistent with Wells Fargo Bank policy, ARRC guidelines, and bank market practice as of the Closing Date.
		
	Letter of Credit Fees:	  	With respect to each Letter of Credit, the Borrowers shall pay (a) a fronting fee to the applicable Issuing Bank equal to 0.125% per annum of the face amount of each such outstanding letter of credit and (b) a
letter of credit fee to the Administrative Agent (which shall be shared by the Lenders (including the Issuing Banks) ratably) at a rate per annum equal to the Applicable Margin for LIBOR Rate Loans, in each case computed on the basis of a year of
360 days for the actual number of days elapsed, on the maximum face amount of such Letter of Credit, from the date of issuance of such Letter of Credit until the expiration date for such Letter of Credit, payable quarterly in arrears on the last
business day of each calendar quarter and on such expiration date and, if applicable, on the Commitment Termination Date. Additionally, the Borrowers agree to pay all customary administrative and issuance fees, amendment, payment and negotiation
charges and reasonable costs and expenses of the applicable Issuing Bank (solely for such Issuing Bank’s account) in connection with each Letter of Credit (including mailing charges and reasonable out-of-pocket expenditures).
		
	Interest Payments:	  	Interest on each Base Rate Loan shall be payable quarterly in arrears on the last business day of each calendar quarter; interest on each LIBOR Rate Loan shall be payable at the end of each Interest Period applicable thereto
and, if such Interest Period is longer than three (3) months, every three months during such Interest Period, and all accrued and unpaid interest on the Loans shall be payable in full on the Commitment Termination Date and, with respect to
interest accrued on any principal prepaid, on the date of such prepayment.
		
	Funding:	  	The Borrowers shall provide prior written notice (or telephonic notice promptly confirmed in writing) of any funding request (including, without limitation, the deemed funding of Loans to occur on the Closing Date) and
interest rate conversions to the Administrative Agent (i) by 11:00 a.m. ET on the date of borrowing with respect to Base Rate Loans; and (ii) by 11:00 a.m. ET at least three (3) business days in advance with respect to LIBOR Rate
Loans. LIBOR Rate Loans shall be in minimum amounts of $5.0 million and Base Rate Loans shall be in minimum amounts of $1.0 million and, in each case, if above such amounts, in an integral multiple of $1.0 million. No more than a
total of ten (10) Loans subject to LIBOR Rate pricing may be in effect at any time under the Credit Facility.

  

16            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		
	 Early Repayments;
 Commitment
and
 Availability Reductions;
 and
Mandatory
 Prepayments:
	  	 Prepayment of Loans may be made, without premium or penalty, at any time in whole or in part (other than the payment of customary
LIBOR breakage amounts). The Borrowers must give the Administrative Agent notice by 11:00 a.m. ET at least three (3) business days prior to any prepayment of LIBOR Rate Loans and notice by 11:00 a.m. ET on the date of any prepayment of Base
Rate Loans, and any such prepayments shall be in minimum amounts of $5.0 million with respect to LIBOR Rate Loans and $1.0 million with respect to Base Rate Loans or such smaller amount as needed to prepay a certain Loan in full.

 
 The Commitments may be permanently terminated at any time in whole or in part by the
Borrowers on at least three (3) business days prior notice to the Administrative Agent; provided that no such termination shall reduce the aggregate available Commitments to an amount less than the aggregate amount of the Loans and LC
Exposure at the time of such termination. Each partial reduction of the Commitments shall be in an aggregate amount of at least $5.0 million and shall be applied ratably to the respective Commitments of the Lenders.

 
 The mandatory prepayment provisions in the Credit Documents shall be limited to the
following:
  
 Anti-Cash Hoarding – Excess Cash Sweep Prepayment. If, at the
end of any Wednesday (or if such day is not a business day, the immediately succeeding business day) (each such date, an “Excess Cash Test Date”), (a) Loans are outstanding under the Credit Facility and (b) Available Cash (as
defined below) exceeds $125.0 million, then the applicable Borrower shall prepay, or shall cause to be prepaid, within three (3) business days after such Excess Cash Test Date, Loans (and if there is still excess, cash collateralize any LC
Exposure) in an aggregate amount (when taken together with accrued and unpaid interest on the Loans to be so prepaid) equal to the lesser of (i) Available Cash as of such Excess Cash Test Date in excess of $125.0 million and (ii) the
principal amount of Loans then outstanding plus accrued and unpaid interest on such prepaid Loans plus any LC Exposure (and any such payment shall not reduce Lenders’ Commitments). To the extent that any amount is required to be prepaid
pursuant to the immediately preceding sentence with respect to any Excess Cash Test Date, the applicable Borrower shall deliver to the Administrative Agent, substantially simultaneously with such prepayment, a certificate of a financial officer of
the applicable Borrower certifying the amount required to be so prepaid with respect to such Excess Cash Test Date, as reasonably determined or reasonably estimated by the applicable Borrower in good faith.

  

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	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 Anti-Cash Hoarding – Use of Proceeds Prepayment. With respect to each borrowing, if the aggregate amount of Available Cash would
exceed $125.0 million after giving effect to such borrowing and any other transactions occurring prior to or substantially simultaneously with such borrowing, but excluding the effect of any other transactions that have not occurred prior to or
substantially simultaneously with such borrowing, if and to the extent the applicable Borrower has not applied the proceeds of such borrowing for the purpose specified in the Use of Proceeds Certificate delivered in connection with such borrowing by
the fifth (5th) business day following the date such borrowing is made, then on the next business day the applicable Borrower shall prepay the Loans in an aggregate principal amount equal to the lesser of (a) the amount of the proceeds that
were not applied for the purpose specified in the applicable Use of Proceeds Certificate and (b) the amount necessary to cause the aggregate amount of Available Cash to be less than or equal to $125.0 million at the end of such business
day. 
  
 Asset Sales – Commitment Reductions. Upon (a) the date
of consummation of any asset sale or other transfer of assets by the Company or any Restricted Subsidiary (the “Asset Sale Date”) (other than certain ordinary course, de minimis asset sales to be agreed, including asset sales
described under clauses (iv), (v) and (vi) of the covenant described in clause 8 (Asset sales) under “Negative Covenants” below), unless the Administrative Agent has received a Reinvestment Notice with respect to any net cash
proceeds (which, for the avoidance of doubt, shall be net of taxes paid or payable as a result of such transaction and any debt incurred under clause (d) under paragraph 1 under “Negative Covenants” below and secured by such assets
and that is required to be repaid with the proceeds thereof) on such Asset Sale Date, and (b) any Reinvestment Termination Date, the Commitments shall be automatically reduced by an amount necessary to cause the Threshold Ratio as of such date
to be equal to or greater than the lesser of (x) 2.5 to 1.0 and (y) the Threshold Ratio as of the Closing Date (after giving pro forma effect to such asset sale, such commitment reduction, and any concurrent repayment of indebtedness).

 
 Asset Sales—Temporary Availability Reduction. If, on any Asset Sale Date,
the Administrative Agent has received a Reinvestment Notice with respect to any cash proceeds of such asset sale or transfer and the Threshold Ratio (after giving pro forma effect to such asset sale or transfer) is less than the lesser of (x) 2.5 to
1.0 and (y) the Threshold Ratio as of the Closing Date, then the availability of the Commitments during the relevant Reinvestment Period shall be temporarily reduced by an amount necessary to cause the Threshold Ratio as of such Asset Sale Date
to be equal or greater than the lesser of (x) 2.5 to 1.0 and (y) the Threshold Ratio as of the Closing Date (after giving pro forma effect thereto).
  

Asset Sales – Mandatory Prepayments. Upon any Asset Sale Date or any Reinvestment Termination Date, the Borrowers shall prepay the Loans (and cash
collateralize any LC Exposure) (a) to the extent a prepayment would be required under the paragraph below entitled

  

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	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 “Outstandings Exceed Commitments” (including if any such prepayment would be required as a result of a commitment reduction
pursuant to the paragraph above entitled “Asset Sales – Commitment Reductions”, but, for the avoidance of doubt, not as a result of any temporary availability reduction pursuant to the paragraph above entitled “Asset
Sales – Temporary Availability Reduction”), and (b) to the extent a prepayment would be required pursuant to the paragraph above entitled “Anti-Cash Hoarding – Excess Cash Sweep Prepayment” (regardless of any
timing provisions set forth in such paragraph).
  
 Prepayments of Other
Indebtedness. In addition, to the extent any mandatory repayment, mandatory redemption, or offer to purchase is required under the Last Out Term Loan, Last Out Notes, or Last Out Incremental Debt, such requirement must be subject to (a) the
prior payment of amounts payable under the Credit Facility in respect of such event and the credit agreement governing the Credit Facility will include a corresponding mandatory prepayment and (b) the covenant described in clause (4) of
“Negative Covenants” below.
  
 Outstandings Exceed Commitments.
If at any time the principal amount of Loans outstanding under the Credit Facility plus any LC Exposure exceeds the Commitments of the Lenders then in effect, for any reason, including a reduction of Commitments pursuant to the Credit Documents, the
Borrowers shall prepay the Loans (and cash collateralize any LC Exposure) in an amount equal to such excess.
  

“Reinvestment Account” means an account that is subject to an account control agreement in form and substance satisfactory to the
Administrative Agent or with respect to non-U.S. accounts, other applicable agreements, filings, or perfection actions reasonably acceptable to the Administrative Agent, into which net cash proceeds from an
asset sale or other transfer of assets permitted pursuant to clause (8) of “Negative Covenants” below have been deposited; provided that, for the avoidance of doubt, such account shall not be required to be a segregated
account.
  
 “Reinvestment Notice” means a notice in writing from the
Company to the Administrative Agent given on any Asset Sale Date that the Company or any Restricted Subsidiary has consummated an asset sale or other transfer of assets permitted pursuant to clause (8) of “Negative Covenants”
below and that the Company intends to apply the net cash proceeds received from such permitted asset sale (x) to reinvest such net cash proceeds in one or more Rigs, (y) to acquire all of the capital stock of an entity owning one or more
Rigs or other related assets useful in the Credit Parties’ and their Subsidiaries’ business, or (z) to apply such net cash proceeds to capital expenditures in Rigs, in each case, within the Reinvestment Period.

  

19            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 “Reinvestment Period” means the period commencing on any Asset Sale Date and ending on the date that is 180 days following
such Asset Sale Date (which date may be extended by an additional 90 days if the applicable net cash proceeds are contractually committed by the end of 180 days following such Asset Sale Date to be reinvested by the Company in a manner permitted by
the Credit Documents within such additional 90-day period), so long as the Company has delivered a Reinvestment Notice with respect to such net cash proceeds on such Asset Sale Date.

 
 “Reinvestment Termination Date” means, with respect to net cash
proceeds received in respect of an asset sale or other transfer of assets, the earlier of (a) the date on which all of such net cash proceeds are reinvested by the Company in the manner described in the Reinvestment Notice delivered with
respect to such net cash proceeds, and (b) the last day of the Reinvestment Period applicable to such net cash proceeds.
  

“Threshold Ratio” means, as of any date of determination, the ratio of:

 
 (a) the Collateral Rig Value in effect on such date, to

 
 (b) the sum of (1) the greater of (x) the Commitments and
(y) the sum of the Loans and LC Exposure, plus (2) the outstanding principal amount of the Last Out Term Loan, plus (3) the outstanding principal amount of the Last Out Notes, plus (4) the outstanding amount
of any Last Out Incremental Debt.

		
	Payments:	  	 All payments by the Borrowers shall be made not later than 12:00 p.m. ET to the Administrative Agent in immediately available funds,
free and clear of any defenses, set-offs, counterclaims, or withholdings or deductions for taxes, subject to customary exceptions in accordance with Wells Fargo Bank policy. Any Lender not organized under the
laws of the United States or any state thereof (and any Lender that is disregarded for U.S. federal income tax purposes from, or is treated as partnership for U.S. federal income tax purposes and has a partner that is, a Person that is not organized
under the laws of the United States or any state thereof) must, prior to the time it becomes a Lender, furnish the Borrowers and the Administrative Agent with forms or certificates as may be appropriate to verify that such Lender would, if any
interest payments were U.S. sourced, be exempt from U.S. tax (including FATCA) withholding requirements.

		
	 Applicable Margin;
 Reference
Rate
 Floor; Default Rate:
	  	 The margin applicable to Loans bearing interest based on the LIBOR Rate shall be 4.25%, and the margin applicable to Loans bearing interest
based on the Base Rate shall be 3.25% (such rates, the “Applicable Margin”). The LIBOR Rate shall be subject to a floor of 1.0%, and the Base Rate shall be subject to a floor of 2.0%.

  

20            Summary of Terms and Conditions 

			
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		  	In addition, (a) automatically upon the occurrence and during the continuation of any payment event of default or upon a bankruptcy event of default of any Credit Party or (b) at the election of the Required Lenders
(or the Administrative Agent at the direction of Required Lenders), upon the occurrence and during the continuation of any other event of default, all outstanding principal, fees, and other obligations under the Credit Facility shall bear interest
at a rate per annum of 2.0% in excess of the rate then applicable to such loans (including the applicable margin), fee, or other obligation and shall be payable on demand of the Administrative Agent.
		
	Commitment Fee:	  	The Borrowers shall pay to the Administrative Agent for the account of each Lender, a fee, which shall accrue at the applicable rate per annum of 0.50% on the average daily unused amount of the Commitment of each Lender until
the date on which such Lender’s Commitment terminates, which fee shall be payable (a) quarterly in arrears on the last business day of each calendar quarter, commencing on the first such day to occur after the Closing Date and (b) on
the Commitment Termination Date.
		
	PIK Upfront Fee:	  	The Borrowers shall pay to the Administrative Agent for the ratable account of the Lenders an upfront fee in an amount set forth in the Fee Letter (the “PIK Upfront Fee”), which shall be fully earned upon the
effectiveness of the Plan Support Agreement and shall be due and paid-in-kind (by increasing the principal amount of the Loans outstanding by the amount of such fee) on
the Closing Date. Upon the consummation of any Alternative Transaction (as defined in the Plan), such PIK Upfront Fee shall be due and payable in full in cash to the financial institutions that have committed to the Credit Facility, ratably
according to their Commitments, on the date of the consummation of such Alternative Transaction. Notwithstanding the foregoing, the Alternative Restructuring Fee shall not be payable pursuant to the Fee Letter or otherwise to the extent the
Alternative Restructuring is consummated as a result of a determination by the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) that the PCbtH Contracts’ treatment in the Chapter 11 Cases, including under the Plan, is
not reasonably acceptable to the Requisite Consent RCF Lenders (as defined in the Plan Support Agreement).
		
	Other Fees:	  	The Borrowers shall pay Wells Fargo Securities, the Administrative Agent, and the Collateral Agent such additional fees as may be agreed in the Fee Letter.
		
	 Funding Costs;
 Yield Protection
and
 Defaulting Lenders;
 LIBOR
Replacement;
 Etc.:
	  	Usual and customary provisions, including provisions for such matters as increased costs, funding losses, capital adequacy, liquidity, illegality and taxes, subject to Lender mitigation requirements, provisions in respect of
Defaulting Lenders (to be defined consistent with the Documentation Principles) and the Borrowers’ rights to replace Lenders. Customary EU/UK bail-in, supported QFC, and division of LLCs.

  

21            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 The Credit Documents shall contain customary language governing the protocol to obtain a replacement interest rate for LIBOR (the
“Benchmark Replacement”), in accordance with Wells Fargo Bank policy, ARRC guidelines, and bank market practice as of the Closing Date.

		
	Initial Conditions:	  	 The conditions precedent to the Closing Date and the conditions precedent to the deemed funding of Loans and deemed issuance of
Letters of Credit on the Closing Date (the “Initial Conditions”) are set forth on Addendum B.

		
	 Conditions to all

Fundings:
	  	 (1) Accuracy in all material respects of representations and warranties contained in the definitive documentation entered into in
connection with the Credit Facility including without limitation all guarantees, all security documentation, and the First Out/Last Out Intercreditor Agreement (collectively, the “Credit Documents”) (other than those stated to be
made only on the Closing Date and those expressly made as of an earlier date); (2) solvency and absence of a default or an event of default under the Credit Documents; (3) the applicable Borrower has demonstrated and certified compliance with
each Collateral Coverage Ratio immediately before and after giving pro forma effect to such extension of credit; (4) delivery of a borrowing request or letter of credit application, as applicable; (5) after giving pro forma effect to the
funding and any transactions anticipated to occur in the period of five (5) business days following the date thereof and any other transactions occurring prior to or substantially simultaneously with such funding, the aggregate amount of
Available Cash shall not exceed $125.0 million; and (6) with respect to any borrowing, if the aggregate amount of Available Cash would exceed $125.0 million after giving effect to such borrowing and any other transactions occurring
prior to or substantially simultaneously with such borrowing, but excluding the effect of any other transactions that have not occurred prior to or substantially simultaneously with such borrowing, then the applicable Borrower shall have delivered
to the Administrative Agent a Use of Proceeds Certificate with respect to such borrowing.
  

“Available Cash” means, as of any date, the aggregate of all unrestricted cash and cash equivalents (excluding, for the avoidance of doubt,
cash collateral for Letters of Credit) held on the balance sheet of, or controlled by, or held for the benefit of, the Company or any of its Restricted Subsidiaries, other than the following amounts (without duplication): (i) any cash set aside to
pay in the ordinary course of business amounts due and owing within ten (10) business days by the Company or any Restricted Subsidiary to unaffiliated third parties and for which the Company or any Restricted Subsidiary has issued
checks

  

22            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	(or similar instruments) or has initiated wires or ACH transfers in order to pay such amounts, (ii) any cash of the Company or any such Restricted Subsidiary constituting purchase price deposits or other contractual or legal
requirements to deposit money held by or for the benefit of an unaffiliated third party, (iii) deposits of cash or cash equivalents from unaffiliated third parties that are subject to return pursuant to binding agreements with such third parties,
(iv) any cash or cash equivalents held in Excluded Accounts described in clauses (1) through (4) of the definition thereof, (v) any net cash proceeds held in a Reinvestment Account prior to the Reinvestment Termination Date applicable to such net
cash proceeds, and (vi) any cash held in a non-U.S. account with respect to which the Company (a) demonstrates in writing to the Administrative Agent that (1) transferring such cash to a U.S. account or converting such cash to U.S. dollars would be
in violation of or not permitted under applicable law or regulation in the jurisdiction where such account is located or is otherwise not possible at such time due to currency conversion delays or queues, or due to bank receiverships or similar
governmental control of the bank where such account is held, in each case, to the extent such impediments to conversion or transfer are outside the Company’s and its Restricted Subsidiaries’ control and (2) the Company and its Restricted
Subsidiaries have properly made all relevant applications under applicable law to transfer such cash to a U.S. account or convert such cash to U.S. dollars, as applicable, and otherwise diligently pursued all necessary consents, permits, or waivers
that would be necessary or desirable to permit such transfer or conversion, as applicable, and (b) delivers a written certificate of a responsible financial officer of the Company that certifies and covenants that, while such circumstance exists,
the Company and its Restricted Subsidiaries shall not transfer any additional cash to their accounts in such jurisdiction or, if such impediment or delay is related to the underlying currency itself, convert any additional cash to such currency, as
applicable. The amount of Available Cash (and any amount required to be included or excluded in the calculation thereof) as of any date shall be such amount as reasonably determined by the Company in good faith in accordance with the immediately
preceding sentence.
		
	Documentation Principles:	  	The Credit Documents shall, subject to the Agreed Security Principles, (a) contain those terms and conditions set forth in this Term Sheet and the Fee Letter and (b) otherwise contain terms and conditions that are usual and
customary for similar first lien secured exit revolving credit facilities for offshore drilling companies or other global oilfield services company as of the Closing Date, subject to modifications, to be mutually agreed, to reflect (i) the terms and
conditions set forth in the Plan Support Agreement and this Term Sheet, (ii) the internal policies of Wells Fargo Bank, and (iii) changes in regulatory considerations, market practice, law, and accounting standards (the foregoing, collectively, the
“Documentation Principles”).
		
	Collateral Coverage	  	

  

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	 Collateral Coverage

Ratios:
	  	 At the end of each fiscal quarter beginning with the first full fiscal quarter ending after the Closing Date:

 
 (a) the ratio (the “RCF Collateral Coverage Ratio”), based on
appraisals delivered in accordance with clause (x) of “Affirmative Covenants” below, of (A) the Collateral Rig Value, to (B) the sum of the Loans and the LC Exposure, shall be equal to or greater than 2.0 to 1.0; and

 
 (b) the ratio (the “Total Collateral Coverage Ratio,” and together with
the RCF Collateral Coverage Ratio, collectively, the “Collateral Coverage Ratios”) of (A) the Collateral Rig Value, to (B) the sum of (1) the sum of the Loans and LC Exposure, plus (2) the outstanding principal amount of the
Last Out Term Loan, plus (3) the sum of the outstanding principal amount of the Last Out Notes, plus (4) the outstanding principal amount of any Last Out Incremental Debt, shall be equal to or greater than 1.3 to 1.0.

		
	Representations and Warranties:	  	 To include the following, to be applicable to Credit Parties and their respective Restricted Subsidiaries and to include, subject to usual
and customary exceptions, thresholds and qualifications consistent with the Documentation Principles:
  

(i) corporate existence and good standing;

 
 (ii)  power and authority;

 
 (iii)  validity and enforceability of
Credit Documents;
  
 (iv) no consents or
approvals, registration or filing with, or any other action by any governmental authority;
  

(v)   no conflicts with, default, or violation of laws, organizational documents or material
contractual agreements;
  
 (vi) no
transactions resulting in the imposition of liens other than permitted liens;
  

(vii) no environmental matters;
  

(viii)compliance with all laws with governmental approvals and timely filing of all materials required to conduct
business;
  
 (ix) absence of material
litigation;
  
 (x)   solvency
as of each date such representation is made or deemed made;

  

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		  	 (xi)  use of proceeds and margin stock regulations;

 
 (xii)   Investment Company
Act;
  
 (xiii)   labor and
employment issues;
  
 (xiv)  Patriot
Act, anti-corruption, anti-money laundering, and sanctions laws, including express use of proceeds restrictions;
  

(xv)    ERISA;
  

(xvi)  accuracy of disclosures;
  

(xvii)  financial statements;
  

(xviii)   material contracts;

 
 (xix)  taxes;

 
 (xx)    receipt of
necessary consents;
  

(xxi)  insurance;
  

(xxii)  good title and ownership of property;

 
 (xxiii)   ownership and right
to use intellectual property;
  

(xxiv) collateral documents and liens;
  

(xxv)   legal names of the Credit Parties;

 
 (xxvi) information regarding current
capital and corporate structure;
  

(xxvii)  ownership of Rigs;
  

(xxviii)  senior status of the Obligations;

 
 (xxix) no immunity;

 
 (xxx)   not an Affected
Financial Institution;
  

(xxxi) beneficial ownership certification;

 
 (xxxii)  existing indebtedness as of
the Closing Date; existing liens as of the Closing Date;
  

(xxxiii)  after the Closing Date, absence of any Material Adverse Effect since January 22,
2021;

  

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		  	 (xxxiv) customary Mortgaged vessel and jurisdiction-specific collateral requirements; and

 
 (xxxv)   deposit, securities,
and commodity accounts of the Borrowers and each Restricted Subsidiary

		
	Affirmative Covenants:	  	 Limited to the following, to be applicable to Credit Parties and their respective Restricted Subsidiaries and to include, subject to usual
and customary exceptions, thresholds and qualifications consistent with the Documentation Principles: 
  

(i) maintenance of organizational existence and conduct of business;

 
 (ii)  maintenance of properties,
including classification and operation of Rigs (other than with respect to stacked Rigs);
  

(iii)  payment of taxes and ERISA obligations;

 
 (iv) maintenance of customary insurance,
delivery of summary insurance certificate from the Company’s broker(s) in form and substance substantially similar to a certificate provided to the Administrative Agent prior to the Closing Date that the Administrative Agent has confirmed is in
form and substance reasonably satisfactory to it, and customary insurance certificates and/or endorsements;
  

(v)   delivery of:
  

(a)   audited annual and unaudited quarterly consolidated financial statements of the Company, and
audited annual or unaudited consolidating financial statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary;

 
 (b)   a certificate of the
Company demonstrating compliance with each Collateral Coverage Ratio, delivered together with the financial statements required to be delivered pursuant to clause (b) above and including customary certifications to the absence of
defaults and accuracy of the representations and warranties in the Credit Documents;
  

(c)   on and after any Permitted Holdco Event, for so long as the conditions set forth in the
definition thereof continue to be satisfied, quarterly certificate of a responsible officer of the Permitted Holdco and a responsible officer of the Company, certifying compliance with requirements set forth in clause (f) of the definition of
“Permitted Holdco Event” and committing to comply with such requirements thereafter;

  

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(d)   quarterly Fleet Status Certificates and Rig Value Certificates;

 
 (e)   annual supplements to any
perfection certificate;
  

(f)   interim notices of any of the following changes with respect to the fleet status of any owned
Rig reported in the most recently furnished Fleet Status Certificate: (1) a change to the jurisdiction in which such Rig is located (other than any change in the ordinary course of business of such Rig or other temporary or short-term change);
(2) a sale or disposition of, or material event of loss with respect to, such Rig; (3) a material adverse change to the estimated contract start date or estimated contract expiration date with respect to such Rig; or (4) a change of such
Rig’s status to “warm stacked”, “cold stacked”, “preservation stacked”, “held for sale”, “held at a shipyard”, or other non-marketed classification;

 
 (g)   commencing
December 31, 2021, a financial forecast (including a summary projected debt schedule) of the Company and its Restricted Subsidiaries delivered by December 31 of each fiscal year (in each case, for the upcoming twenty-four (24) month
period on a quarterly basis; provided that for the purpose of compliance with this covenant, the financial forecasts previously delivered to the Lenders prior to the date hereof are in a form and level of detail sufficient for this covenant, except
that such forecasts shall be required to include a summary projected debt schedule;
  

(h)   an annual budget for the Company and its Restricted Subsidiaries approved by the board of
directors (or other governing body) of the Company and delivered within 90 days after the beginning of each fiscal year;
  

(i) notice that any jurisdiction that was not previously a Subject Jurisdiction becomes a Subject Jurisdiction
for any reason, including the formation or incorporation of a Required Guarantor in such jurisdiction;

  

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		  	 (j) to the extent not previously disclosed to the Administrative Agent in writing, notice that
a Required Guarantor has material operations, or owns assets (other than Rigs and intercompany obligations owing to Credit Parties) with a fair market value in excess of $5.0 million that are reasonably capable of becoming Collateral, in each
case, in a jurisdiction that is not a current Subject Jurisdiction;
  

(k)   copies of any notices or reports provided to the lenders or noteholders under the Last Out
Term Loan, Last Out Notes, or (if any) Last Out Incremental Debt;
  

(l) (1) within ten (10) business days after the last day of each full calendar month ending after the
Closing Date (A) a list setting forth the account balances, as of the last day of such calendar month, of each bank account of the Company and its Restricted Subsidiaries holding any portion of cash or cash equivalents and (B) a list
setting forth the average account balance over such calendar month of each bank account of the Company and its Restricted Subsidiaries that holds any portion of cash and cash equivalents and that is not subject to an account control agreement
reasonably satisfactory to the Administrative Agent; and (2) within five (5) business days after the last day of each full calendar month ending after the Closing Date and at any other time reasonably requested by the Administrative Agent,
a report setting forth (A) a calculation of Available Cash as of the most recent Excess Cash Date (or at the applicable Borrower’s option, only with respect to month-end reports, as of the last day
of such calendar month) and (B)(x) a list setting forth (1) each account that is a Reinvestment Account, (2) the amount of net cash proceeds relating to any permitted asset sale or transfer currently held in such Reinvestment Account that
are then subject to a Reinvestment Notice, broken down by asset sale and indicating the applicable Reinvestment Period with respect to each such asset sale, and (3) the aggregate amount of net cash proceeds then subject to Reinvestment Notices
within the applicable Reinvestment Periods, and (y) calculations showing the application of any such net cash proceeds during the Reinvestment Period applicable thereto; and

 
 (m) other information as the Administrative
Agent or any Lender (through the Administrative Agent) may reasonably request, including, without limitation, updated corporate charts, copies of tax returns, and statements and schedules further identifying and describing the Collateral and such
other reports in connection with the Collateral.

  

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		  	 (vi) books and records;

 
 (vii)  inspection rights;

 
 (viii)  delivery of notices with
respect to defaults and other material events (including, without limitation, notice of any material litigation) within 5 business days;
  

(ix) delivery of prior written notices with respect to any change to the deposit, securities, and commodity
accounts of the Credit Parties scheduled on the Closing Date, along with an updated schedule of such accounts within five (5) business days;
  

(x)   delivery of two third-party desktop appraisals on a semi-annual basis (or, if the difference
between the aggregate appraised values (in each case, calculated as the midpoint of any range provided) of all Rigs as determined by two Approved Firms is not greater than 15% for a particular appraisal cycle, then, at the Company’s option,
only one third-party desktop appraisal shall be required for the next appraisal cycle, which appraisal must be performed by the Approved Firm whose appraisal for such prior cycle reflected the lower aggregate appraisal value), each conducted by an
Approved Firm, for each owned Rig (provided that no appraisals shall be required with respect to any cold-stacked Rig unless such cold-stacked Rig is to be given a Rig Value in accordance with the definition thereof), in form and detail, and of a
type, and with assumptions and methodology reasonably satisfactory to the Administrative Agent; provided that with respect to “idle” Rigs, such appraisals shall not discount the value of such Rigs as a result of their “idle”
status but which shall set forth the reactivation costs of any “idle” Rig;
  

(xi) further assurances, including delivery of additional guarantees from Required Guarantors, and additional
Collateral, including, without limitation, new build or acquired Rigs and additional deposit and securities accounts, in each case, other than Excluded Property and subject in all respects to the Agreed Security Principles;

 
 (xii)  use of proceeds of Loans and
Letters of Credit;
  

(xiii)  compliance with applicable laws, including environmental laws, anti-corruption laws, sanctions,
and anti-money laundering laws;
  

(xiv) KYC and beneficial ownership regulation documentation;

  

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		  	 (xv)   intercompany subordination agreements;

 
 (xvi) the Company and the Borrowers shall,
and shall cause each Restricted Subsidiary to: (A) deposit or cause to be deposited directly, all cash receipts into (i) one or more deposit accounts maintained with the Administrative Agent or any Lender (or any other commercial bank
reasonably acceptable to the Administrative Agent) and in which the Collateral Agent has been granted a first priority perfected lien in accordance with and subject to Agreed Security Principles or (ii) an Excluded Account (to the extent such
deposits do not cause such account to cease to be an Excluded Account), and in each case, which is listed on a schedule to the credit agreement governing the Credit Facility, (B) deposit or credit or cause to be deposited or credited directly,
all securities and financial assets held or owned by (whether directly or indirectly), credited to the account of, or otherwise reflected as an asset on the balance sheet of, the Credit Parties (including, without limitation, all marketable
securities, treasury bonds and bills, certificates of deposit, investments in money market funds and commercial paper) into one or more securities accounts in which the Collateral Agent has been granted a first priority perfected lien in accordance
with and subject to Agreed Security Principles and that, in each case, is listed on a schedule to the credit agreement governing the Credit Facility, as updated in writing by the Borrower from time to time, and (C) cause all commodity contracts
held or owned by (whether directly or indirectly), credited to the account of, or otherwise reflected as an asset on the balance sheet of, the Credit Parties, to be carried or held in one or more commodity accounts in which the Collateral Agent has
been granted a first priority perfected lien in accordance with and subject to Agreed Security Principles and that, in each case, is listed on a schedule to the credit agreement governing the Credit Facility, as updated in writing by the Borrower
from time to time; and
  

(xvii)  post-closing matters.

		
	Negative Covenants:	  	 Limited to the following limitations on the Company and its Restricted Subsidiaries, subject to usual and customary exceptions, thresholds,
and qualifications consistent with the Documentation Principles:
  

1.  Incurrence or existence of indebtedness, with exceptions including:

 
 (a) the Last Out Term Loan in an aggregate principal amount not to exceed (i) an
amount equal to $500.0 million minus the Commitment Amount under this Credit Facility, plus (ii) any interest thereon paid-in-kind in accordance
with the terms thereof in effect on the Closing Date,

  

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		  	 (b) the Last Out Notes in an aggregate principal amount not to exceed the sum of (i) $75.0 million, plus (ii) up to
$35.0 million of principal in respect of additional notes issued thereunder, so long as the Company demonstrates and certifies pro forma compliance with the Total Collateral Coverage Ratio at the time such additional notes are issued, plus
(iii) $9.9 million of fees on such principal amount, paid-in-kind, plus (iv) any interest thereon paid-in-kind in accordance with the terms thereof in effect on the Closing Date,
  

(c) any Last Out Incremental Debt in an aggregate principal amount not to exceed the sum of (i) $135.0 million, so long as the Company demonstrates and
certifies pro forma compliance with the Total Collateral Coverage Ratio at each time such debt is incurred, plus (ii) any interest thereon paid-in-kind in
accordance with the terms of such Last Out Incremental Debt,
  
 (d) (i)
capitalized lease obligations with respect to any asset other than a Rig (it being agreed that, for purposes of the Credit Documents, GAAP shall be defined so that lease accounting rules under generally accepted accounting principles in the U.S. as
in effect on December 31, 2018 shall apply, and leases that would have been classified as operating leases under such rules shall not constitute “capitalized lease obligations” or “indebtedness” for purposes of the Credit
Documents) and (ii) indebtedness secured by liens on fixed or capital assets (other than Rigs) acquired, constructed, improved, altered, or repaired by the Company or any Restricted Subsidiary and related contracts, intangibles, and other
assets that are incidental thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom, and (iii) indebtedness secured by liens on Rigs acquired or constructed by the Company or any Restricted Subsidiary and
related contracts, intangibles and other assets that are incidental thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom (“Rig Debt”); provided that, in the case of this clause
(d), (A) any liens securing such indebtedness must otherwise be permitted by the Credit Documents, (B) such indebtedness and any liens securing it are incurred prior to or within 365 days after such acquisition or the later of the
completion of such construction, improvement, alteration or repair or the date of commercial operation of the assets constructed, improved, altered or repaired, (C) the principal amount of such indebtedness does not exceed the cost of
acquiring, constructing, improving, altering or repairing such fixed or capital assets, as the case may be (plus fees and expenses related thereto), (D) any lien securing such debt shall not apply to any other property or assets of the Company or
any Restricted Subsidiary (although individual financings of equipment (other than Rigs) may be cross-collateralized to other financings of equipment by the same lender) and such debt is non-recourse to the
Company and its Restricted Subsidiaries (other than the Subsidiary that owns such fixed or capital assets and incurred such financing), (E) any lien securing such debt shall not attach to any owned Rig (other than a Rig acquired or constructed with
the proceeds of such indebtedness), (F) such

  

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		  	 indebtedness shall not have any financial maintenance covenants, and (G) with respect to any Rig Debt, the Company has demonstrated in a
certificate of a financial officer of the Company that (x) the Consolidated Total Gross Leverage Ratio is less than 2.5 to 1.0, calculated on a pro forma basis as of the date such Rig Debt is incurred after giving effect thereto and
(y) the Company is in pro forma compliance with each Collateral Coverage Ratio as of the date such Rig Debt is incurred after giving effect thereto; provided that the aggregate outstanding principal amount of all such capitalized lease
obligations and indebtedness pursuant to this clause (d) shall not exceed $100.0 million at any time;
  

(e) indebtedness of any Person existing at the time such Person becomes a Subsidiary of the Company or at the time such Person is merged with or into the
Company or any Subsidiary of the Company after the Closing Date other than as a result of a division (and not incurred in anticipation of such transaction),
  

(f) other indebtedness not to exceed $5.0 million at any one time outstanding pursuant to this clause (f),

 
 (g) any permitted refinancing of the foregoing (to the extent (i) such refinancing
does not increase the principal amount of such indebtedness, (ii) such refinancing does not shorten the maturity or weighted average life to maturity of such indebtedness, (iii) such refinancing does not add any other Restricted Subsidiary
as an obligor or guarantor in respect of such indebtedness, (iv) such refinancing is not secured by (y) liens on assets other than those existing immediately prior to such refinancing or (z) liens having a higher priority than the
liens securing the indebtedness being refinanced, (v) to the extent such refinanced indebtedness is subordinated in right of payment to the Obligations, such refinancing indebtedness shall be subordinated in right of payment to the Obligations
and, to the extent any lien securing such refinancing indebtedness is subordinated to liens securing the Obligations, such lien securing the refinancing indebtedness shall be subordinated to the liens securing the Obligations, (vi) in the event
that such refinancing constitutes unsecured indebtedness, such refinancing indebtedness does not include cross-defaults other than at the final stated maturity thereof and cross-acceleration, and (vii) the Company has certified to an absence of
an event of default after giving effect to such refinancing),
  
 (h) guarantees of the
foregoing, and
  
 (i) to the extent constituting indebtedness, the obligations under
the BOP Lease as in effect on January 22, 2021 or as amended thereafter in a manner that does not materially increase the Company’s and its Subsidiaries’ obligations thereunder, provided that this clause shall not prohibit any
extension of the term of such BOP Lease.

  

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		  	 2.  Creation, incurrence, or existence of liens, with exceptions including (a) the
Last Out Term Loan, the Last Out Notes, and the Last Out Incremental Debt, in each case subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance satisfactory to the Administrative Agent,
(b) liens to secure indebtedness permitted by clause 1(d) above on the assets subject to such capital lease or other financing described in such clause 1(d), and (c) expressly subordinated liens securing expressly
subordinated indebtedness not to exceed $5.0 million at any one time outstanding;
  

3.  Making of any restricted payments, except:

 
 (a) restricted payments among Credit Parties,

 
 (b) after a Permitted Holdco Event (as defined below) has occurred
and for so long as the conditions set forth in such definition are met, restricted payments constituting Tax Distributions, and
  

(c) restricted payments made in any fiscal quarter beginning after March 31, 2023, in an aggregate amount for such fiscal quarter, not
to exceed (the “Discretionary Basket”):
  

(i) 100% of the amount equal to (A) Adjusted EBITDA for the immediately prior fiscal quarter less
(B) all interest expenses paid in cash during such period, less (C) all taxes paid in cash during such period, less (D) all capital expenditures made in such period, less (E) the amount of any
increase in working capital, plus (F) the amount of any reduction in working capital, less (G) any cash add-backs made in the calculation of Adjusted EBITDA in such period;
minus
  
 (ii) all investments referred
to in clause 6(a) below and repayments of any indebtedness referred to in clause 4(a) below, in each case, to the extent previously made during such fiscal quarter prior to the date of such restricted payment in reliance on the
Discretionary Basket,
  
 so long as, with respect to restricted
payments made with the Discretionary Basket, each of the following conditions are met: (x) no default or event of default exists and the Company has demonstrated and certified pro forma compliance with each Collateral Coverage Ratio,
(y) the Consolidated Total Net Leverage Ratio would not exceed 2.0 to 1.0 on a pro forma basis as of the last day of the most recently ended fiscal quarter after giving pro forma effect to such restricted payment and any concurrent incurrence
of indebtedness, and (z) Liquidity would be greater than or equal to $150.0 million after giving pro forma effect to such restricted payment and any concurrent incurrence of indebtedness; and

  

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		  	 (d) restricted payments made at any time when each of the following conditions are met (the “Unlimited
Basket”): (x) no default or event of default exists and the Company has demonstrated and certified pro forma compliance with each Collateral Coverage Ratio, (y) the Consolidated Total Net Leverage Ratio would not exceed 1.5 to 1.0 on a
pro forma basis as of the last day of the most recently ended fiscal quarter after giving effect to such restricted payment and any concurrent incurrence indebtedness, and (z) Liquidity would be greater than or equal to $150.0 million
after giving pro forma effect to such restricted payment and any concurrent incurrence of indebtedness.

		
		  	 4.  Repayment of any principal of any junior indebtedness (including, without
limitation, the Last Out Term Loan, the Last Out Notes, and Last Out Incremental Debt), with exceptions including, so long as no default or event of default exists and the Borrowers have demonstrated and certified pro forma compliance with each
Collateral Coverage Ratio, (a) repayments made after March 31, 2023, to the extent a restricted payment could be made in accordance with the Discretionary Basket, (b) repayments made at a time when restricted payments could be made in
accordance with the Unlimited Basket, and (c) prepayments with proceeds of permitted refinancings of such indebtedness or with proceeds of new, concurrent common equity of the Company or in exchange for common equity of the
Company;

		
		  	 5.  Modifications and amendments of the documents governing any other indebtedness
(including the Last Out Term Loan, the Last Out Notes, and Last Out Incremental Debt), except as permitted by the First Out/Last Out Intercreditor Agreement;

		
		  	 6.  Investments, including limitations on investments in joint ventures, with
exceptions including, so long as no default or event of default exists and the Borrowers have demonstrated and certified pro forma compliance with each Collateral Coverage Ratio:

		
		  	 (a) investments made after March 31, 2023, to the extent a restricted payment could be made in accordance with the
Discretionary Basket,

		
		  	 (b) investments made at a time when restricted payments could be made in accordance with the Unlimited
Basket,

		
		  	 (c) Permitted Acquisitions,

		
		  	 (d) $5.0 million general investments basket, and

		
		  	 (e) other investments, including investments in Unrestricted Subsidiaries, to the extent made with, or with the
proceeds of, new, concurrent common equity of the Company or any parent thereof;

  

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		  	 provided that (x) any Subsidiary acquired or formed in connection with an investment permitted by this clause
6 shall become a Guarantor to the extent required by the definition of “Required Guarantors” and (y) any assets, including equity interests, acquired in connection with such investment shall become Collateral to the extent
required by the Agreed Security Principles;

		
		  	 7.  Transactions with affiliates, with usual and customary exceptions to be
agreed;

		
		  	 8.  Asset sales (which shall limit the sale of Rigs and other material assets) with
usual and customary exceptions to be agreed, and all such asset sales shall be subject (other than in the case of clauses (iv), (v) and (vi) below) to (a) any prepayment requirement, any commitment reduction requirement, and any limitation
on availability, in each case contained in the section entitled “Early Repayments; Commitment and Availability Reductions; and Mandatory Prepayments” above and (b) the requirement that, if the Company has delivered a
Reinvestment Notice with respect to any such permitted asset sale, the net cash proceeds with respect to such asset sale have been deposited in a Reinvestment Account; provided that, subject to the absence of defaults and events of default
and demonstration and certification of pro forma compliance with each Collateral Coverage Ratio, the Credit Documents shall not prohibit:

		
		  	 (i) the sale of:

		
		  	 (A) any of Ocean America, Ocean Rover and Ocean Valiant, so long as such Rig (i) is
cold-stacked at the time of sale, (ii) is sold for fair market value to a third-party on arms-length terms and the consideration received is no less than 85% in cash and (iii) such proceeds (net of taxes paid or payable as a result
of such transaction and any debt incurred under clause (d) under paragraph 1 under “Negative Covenants” above and secured by such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral
and

		
		  	 (B) Ocean Valor, so long as (i) third-party desktop appraisals have been conducted in respect thereof as of
the Closing Date and in the most recent appraisal delivered to the Administrative Agent (and the Collateral Rig Value of the Ocean Valor has been included in the Threshold Ratio on the Closing Date), (ii) it is sold for fair market value to a
third-party on arms-length terms and the consideration received is no less than 85% in cash, (iii) such proceeds (net of taxes paid or payable as a result of such transaction and any debt incurred under clause (d) under paragraph 1 under
“Negative Covenants” above and secured by clause (v) to exceed $5,000,000; provided that the sale of the Mexico Office Building shall not reduce the basket described in this clause (z); and

  

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		  	 such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral, subject to the
Agreed Security Principles and (iv) the Company has delivered a certificate of a responsible officer demonstrating compliance with the requirements set forth in the section entitled “Early Repayments; Commitment and Availability
Reductions; and Mandatory Prepayments” above;1

		
		  	 (ii) any one-time “asset swap” of a single Designated Rig and assets
specifically related to such Designated Rig for a Replacement Rig and assets specifically related thereto; provided that (a) the total appraised value of such Replacement Rig, plus cash and equity received for such Designated Rig,
exceeds 85.0% of the appraised value of the Designated Rig as determined from the most recent third-party appraisals delivered to the Administrative Agent (with such appraised value to include, for this purpose, the value of net cash flows through
any then-existing contracted backlog), (b) none of the total consideration takes the form of equity interests, (c) such transaction is with one or more third parties and on an arms-length basis and (d) all assets received as consideration
for such swap or acquired with the cash proceeds shall be pledged as Collateral;

		
		  	 (iii) any other “asset swap”, for which (x) the replacement assets received in connection therewith have
an appraised value greater than or equal to the appraised value of the replaced assets as reflected in a third party appraisal in respect of any replacement Rig (with such appraised value to include, for this purpose, the value of net cash flows
through any then-existing contracted backlog), (y) the Administrative Agent and the Required Lenders consent to such transaction and (z) all assets received as consideration for such swap shall be pledged as Collateral;

		
		  	 (iv) a sale in the ordinary course of business of any obsolete, worn-out or
surplus assets no longer used or useful in the business of the Company or any of its Restricted Subsidiaries (in each case other than a Rig);

		
		  	 (v) any asset sale of an asset other than a Rig or Rig Subsidiary, (x) that is made for fair market value to a
third-party on arms-length terms and the consideration received is no less than 85% in cash, (y) in respect of which any proceeds received (net of taxes paid or payable as a result of such transaction and any debt incurred under clause
(d) under paragraph 1 under “Negative Covenants” above and secured by such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral, subject to the Agreed Security Principles and (z) that
does not cause the aggregate consideration for all asset sales under this clause (v) to exceed $5,000,000; provided that the sale of the Mexico Office Building shall not reduce the basket described in this clause (z); and

 

  

	1 	 Based on the assumption that Valor isn’t stacked on the Closing Date (i.e., Collateral Rig Value is
not reduced by activation costs for purposes of the Closing Date Threshold Ratio). 

  

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		  	 (vi) any sale of assets for scrap in the ordinary course of business, (x) that is made for fair market value to a
third-party on arms-length terms and the consideration received is no less than 85% in cash, (y) that does not cause the consideration for each such transaction or series of related transactions under this clause (vi) to exceed $500,000
and (z) in respect of which any proceeds received (net of taxes paid or payable as a result of such transaction) are pledged as Collateral, subject to the Agreed Security Principles.

		
		  	 9.  Fundamental changes, subject to usual and customary exceptions to be
agreed;

		
		  	 10.  Restrictive agreements and negative pledges of the Credit Parties, in each case,
to be mutually agreed, subject to usual and customary exceptions to be agreed;

		
		  	 11.  Customary provisions to be mutually agreed related to Restricted and Unrestricted
Subsidiaries;

		
		  	
12.  Sale-and-leaseback
transactions;

		
		  	 13.  Use of proceeds;

		
		  	 14.  Change of ownership or operator of any Rig (other than (i) to any other
Guarantor with prior notice to the Administrative Agent and prior adjustments to security documentation to ensure that the Collateral Agent has a continuing, uninterrupted, perfected first lien (subject to certain permitted liens) in such Rig and
related contracts and equipment, in form and substance satisfactory to the Administrative Agent (or if the existing lien cannot be assumed or continued, delivery of a new mortgage encumbering such Rig in accordance with the legal requirements of the
relevant flag jurisdiction prior to or simultaneously with the consummation of such transaction or, with the approval of the Administrative Agent in its reasonable discretion, as soon as practical thereafter in accordance with the legal requirements
of the relevant flag jurisdiction) or (ii) in connection with any asset sale permitted pursuant to clause 8 of this Section “Negative Covenants”) and change of registered flag registry of Rigs (other than any transfer to the
Marshall Islands, the United States, or other jurisdictions approved by the Administrative Agent (such approval not to be unreasonably withheld, conditioned, or delayed) with prior notice to the Administrative Agent and prior adjustments to security
documentation to ensure that the Collateral Agent has a continuing, uninterrupted, perfected first lien (subject to certain permitted liens) in such Rig, in form and substance satisfactory to

  

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		  	 the Administrative Agent (or if the existing lien cannot be assumed or continued, delivery of a new mortgage
encumbering such Rig in accordance with the legal requirements of the relevant flag jurisdiction prior to or simultaneously with the consummation of such transaction or, with the approval of the Administrative Agent in its reasonable discretion, as
soon as practical thereafter in accordance with the legal requirements of the relevant flag jurisdiction));

		
		  	 15.  Change of legal names of any Borrower or Guarantor, change of type of
organization and jurisdiction of organization of any Credit Party;

		
		  	 16.  Line of business;

		
		  	 17.  Sanctions, anti-corruption, and anti-money laundering laws and regulations;
and

		
		  	 18.  The Company will not, and will not permit any Restricted Subsidiary to, open or
otherwise establish, or deposit, credit, or otherwise transfer any cash receipts, securities, financial assets or any other property into, any deposit account, securities account, or commodity account other than an account that is (a) either
(i) subject to a first priority lien in favor of the Collateral Agent in accordance with Agreed Security Principles or other documentation reasonably satisfactory to the Administrative Agent or (ii) an Excluded Account and (b) listed on a
schedule to the credit agreement governing the Credit Facility, as such schedule is updated by the Company from time to time.

		
	Events of Default:	  	 Limitedto the following:

		
		  	 1.  nonpayment of principal when due; and nonpayment of interest, fees or other
amounts within three (3) business days of date due;

		
		  	 2.  violation of covenants (with certain affirmative covenants subject to a grace
period of thirty (30) days);

		
		  	 3.  material inaccuracy of representations and warranties when made or deemed
made;

  

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		  	 4.  (a) indebtedness in the aggregate principal amount of $40.0 million, or any
indebtedness under the Last Out Term Loan, Last Out Notes, or Last Out Incremental Debt (each of the foregoing, “Material Indebtedness”) of the Company and its Restricted Subsidiaries shall not be paid at maturity (beyond any
applicable grace periods) regardless of how such maturity occurs, (b) a default on Material Indebtedness occurs (with all applicable grace periods having expired) which permits the holders thereof (with the giving of notice or the lapse of time
or both) to accelerate the maturity of such indebtedness, or (c) an event occurs which requires Material Indebtedness to be prepaid, redeemed, or repurchased prior to its stated maturity, other than a usual and customary asset sale tender
offer;

		
		  	 5.  bankruptcy/insolvency events (consistent with the Existing Credit Agreement)
affecting any Credit Party or any Restricted Subsidiary constituting a “significant subsidiary” (as defined in Regulation S-X) and, solely with respect to involuntary bankruptcy events, any such
involuntary bankruptcy event remains undischarged and unstayed for a period of sixty (60) days;

		
		  	 6.  certain ERISA events resulting in a Material Adverse Effect;

		
		  	 7.  final judgments against any Credit Party or Significant Subsidiary not covered by
undisputed insurance (subject to customary deductible) in excess of $40.0 million in the aggregate which remain undischarged and unstayed for a period of thirty (30) consecutive days (or sixty (60) consecutive days for foreign
judgments) or any action is legally taken by a judgment creditor to attach or levy upon assets of a Borrower or any Restricted Subsidiary to enforce any such judgment;

		
		  	 8.  the occurrence of any event or series of events (each, a “Change of
Control”) by which:

		
		  	 (a) prior to a Permitted Holdco Event and whenever the conditions set forth in the definition thereof cease to be
satisfied, (i) any “person” or related Persons constituting a “group” (as such terms are used in Rule 13d-5 under the Securities Exchange Act of 1933) (other than Pacific Investment
Management Company LLC or Avenue Capital Management II, L.P., their respective affiliates, and/or funds controlled by [Pacific Investment Management Company LLC or Avenue Capital Management II, L.P. or any of their affiliates) becomes the
“beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1933, except that a “person” or “group” shall
be deemed to have “beneficial ownership” of all equity interests that such “person” or “group” has the right to acquire, whether such right is exercisable immediately or only after the passage of time),

  

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		  	 directly or indirectly, of more than 50% of voting power of the ordinary shares of the Company, (ii) a majority of
the members of the board of directors (or equivalent governing body) of the Company shall not constitute Continuing Directors, (iii) there shall have occurred under any document evidencing any Material Indebtedness any “change in
control” or similar provision (as set forth in such document), or (iv) the Company shall cease to own directly or indirectly, 100% of the equity Interests of any Borrower or other Credit Party, or

		
		  	 (b) on and after a Permitted Holdco Event, for so long as the conditions set forth in the definition thereof continue
to be satisfied: (i) any “person” or related Persons constituting a “group” (as such terms are used in Rule 13d-5 under the Securities Exchange Act of 1933) becomes the
“beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1933, except that a “person” or “group” shall
be deemed to have “beneficial ownership” of all equity interests that such “person” or “group” has the right to acquire, whether such right is exercisable immediately or only after the passage of time), directly or
indirectly, of more than 50% of voting power of the ordinary shares of the Permitted Holdco, (ii) a majority of the members of the board of directors (or equivalent governing body) of the Permitted Holdco shall not constitute Continuing
Directors, (iii) there shall have occurred under any document evidencing any Material Indebtedness any “change in control” or similar provision (as set forth in such document), (iv) the Permitted Holdco shall cease to own, directly or
indirectly, 100% of the equity interests of any Borrower or other Credit Party, or (v) the Permitted Holdco shall cease to own, directly or indirectly, 100% of the equity interests of the Company;

		
		  	 provided that a Permitted Holdco Event shall not constitute a Change of Control;or

		
		  	 9.  any Credit Document ceases to be in full force and effect, the Collateral Agent
shall cease to have a valid and perfected lien in any material portion of the Collateral, or any Credit Party asserts any of the foregoing.

		
	Participation and Assignments:	  	Assignments of the Credit Facility by any Lender to other banks and financial institutions will be permitted with the prior written approval of the Borrowers, the Administrative Agent and the Issuing Banks (such approval not
to be unreasonably withheld or delayed); provided that (a) the Borrowers’ approval shall not be required if an event of default has occurred and is continuing (but, regardless, no assignments or participations shall be made at any
time to any Disqualified Institutions), and (b) no approval by the Borrowers or the Administrative Agent shall be required for any assignment to another Lender, an affiliate of a Lender or to an Approved Fund (to be defined substantially the
same as in the Existing

  

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		  	 Credit Agreement). Assignments will be in a minimum amount of not less than $5.0 million. An administrative fee of
$3,500 shall be due and payable by such assigning Lender to the Administrative Agent upon the occurrence of any assignment.

		
		  	 Participations to other banks and financial institutions, other than Disqualified Institutions (without the
Borrowers’ prior written approval), will be permitted without restriction. Such participation will not release the selling Lender from its obligations with respect to the Credit Facility. Participants will have the same benefits as syndicate
Lenders with regard to yield protection and increased costs (but will not be permitted to receive amounts greater than the transferring Lender) and will, subject to the confidentiality provisions to be contained in the Credit Documents, be permitted
to receive information from Lenders with respect to the Borrowers.

		
	Required Lenders and Affiliated Lenders:	  	 Lenders holding more than 50% of the outstanding Commitments or, if the Commitments have terminated, the
outstanding Loans and LC Exposure (collectively, the “Required Lenders”); provided that no amendment or waiver shall (a) increase any Commitment of any Lender without the consent of such Lender, (b) reduce the
amount of or postpone the date for any required payment of any principal of or interest on any Loan or of any fee payment under the Credit Documents without the consent of each Lender owed any such amount (in each case, (i) other than in
connection with a waiver of any default or event of default and (ii) provided that, the provisions described in the paragraphs above entitled “Asset Sales – Commitment Reductions” and “Asset Sales – Temporary
Availability Reduction” may be amended with the consent of the Administrative Agent and the Required Lenders), (c) unless signed by each Lender, change the amendment provisions of the Credit Documents or the definition of “Required
Lenders” or the number of Lenders required to take any action under any other provision of the Credit Documents, (d) without the consent of each Lender, release all or substantially all of the Collateral or, except as may otherwise be
permitted by the Credit Documents, all or substantially all of the Guarantors, or (e) without the consent of each Lender, reduce the Commitments of the Lenders on a non-pro rata basis or otherwise affect
the pro rata treatment of Lenders in a manner consistent with the Existing Credit Agreement. Defaulting Lenders will be subject to the suspension of certain voting rights. Notwithstanding the foregoing, the Administrative Agent may (without the
consent of the Lenders) enter into amendments or modifications to the Credit Documents in order to implement the Benchmark Replacement in accordance with the terms thereof and to fix ambiguities, defects, typographical and other obvious
errors.

		
		  	 For the purposes of any amendment or waiver of a Credit Document other than an amendment or waiver (a) requiring
the consent of each Lender or each affected Lender (and where such Affiliated Lender is an affected Lender) or (b) that would deprive such Affiliated Lender

  

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		  	 of its pro rata share of any payments to which it is entitled, the consent of any Affiliated Lender shall not be
required, and each Affiliated Lender will be deemed to have voted in the same proportion as the Lenders that are not Affiliated Lenders voting on such matter. In the calculation of such proportions, the Commitments held by Affiliated Lenders shall
be disregarded in determining other Lenders’ commitment percentages. Notwithstanding anything to the contrary herein, and for the avoidance of doubt, the Commitments of any Affiliated Lender shall not be increased, the dates of any interest
payments and the dates of any scheduled maturity of amounts owed to any Affiliated Lender under the Credit Documents will not be extended, and the amounts owning to any Affiliated Lender under the Credit Documents will not be reduced, in each case
without the consent of such Affiliated Lender.

		
		  	 Furthermore, Affiliated Lenders shall not have any right to (a) attend (including by telephone) any meeting or
discussions (or portion thereof) among the Administrative Agent or any Lender to which representatives of the Borrowers are not then present, (b) receive any information or material prepared by the Administrative Agent or any Lender or any
communication by or among Administrative Agent and one or more Lenders, except to the extent such information or materials have been made available to the Borrowers or their representatives (and in any case, other than the right to receive notices
of prepayments and other administrative notices in respect of its Loans and Letter of Credit participations required to be delivered to the Lenders), or (c) make or bring (or participate in, other than as a passive participant in or recipient
of its pro rata benefits of) any claim, in its capacity as a Lender, against the Administrative Agent or any other Lender with respect to any duties or obligations or alleged duties or obligations of the Administrative Agent or any other Lender
under the Credit Documents. The aggregate Commitments and the aggregate exposure of any Affiliated Lender’s outstanding Loans and LC Exposure at any one time shall not exceed 30% of the aggregate total Commitments of all Lenders and the
aggregate amount of all Lenders’ outstanding Loans and LC Exposure, respectively, at any time.

		
		  	 If the Company or any Subsidiary of the Company shall have any securities registered under the Exchange Act or issued
pursuant to Rule 144A under the Securities Act of 1933, or shall otherwise be subject to the reporting obligations under the Exchange Act, except as previously disclosed to the Administrative Agent and the Lenders (other than Lenders who do not wish
to receive non-public information), the Affiliated Lender shall not have any material non-public information with respect to the Company or any of its
Subsidiaries.

  

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	 Expenses;

Indemnification:
	  	 The Borrowers and each other Credit Party, jointly and severally, agree to pay (i) all reasonable and documented
out of pocket expenses incurred by the Administrative Agent, the Collateral Agent, and their respective affiliates (including the fees, charges and disbursements of counsel for the Administrative Agent and the Collateral Agent, which shall be
limited to one firm of counsel for all such Persons and, if necessary, one firm of local or regulatory counsel in each appropriate jurisdiction and special counsel for each relevant specialty, in each case for such Persons (and, in the case of an
actual or perceived conflict of interest, where the Person affected by such conflict provides the Borrowers written notice of such conflict, of another firm of counsel for such affected Person)) in connection with the syndication of the Credit
Facility, the preparation, negotiation, execution, delivery and administration of the Credit Documents or any amendments, modifications or waivers of the provisions thereof (whether or not the transactions contemplated thereby shall be consummated),
(ii) all reasonable and documented out of pocket expenses incurred by any Issuing Bank in connection with the issuance, amendment, renewal or extension of any Letter of Credit or any demand for payment thereunder and (iii) all out of
pocket expenses incurred by the Administrative Agent, the Collateral Agent, any Lender or any Issuing Bank (including the fees, charges and disbursements of any counsel for the Administrative Agent, the Collateral Agent, any Lender or any Issuing
Bank), in connection with the enforcement or protection of its rights (A) in connection with the Credit Documents or (B) in connection with the Loans made or Letters of Credit issued thereunder, including all such out of pocket expenses
incurred during any workout, restructuring or negotiations in respect of such Loans or Letters of Credit.

		
		  	 The Borrowers shall indemnify the Administrative Agent (and any sub-agent
thereof), the Collateral Agent (and any sub-agent thereof), each Lender and each Issuing Bank, and each related party of any of the foregoing Persons (each such Person being called an
“Indemnitee”) against, and hold each Indemnitee harmless from, and shall pay or reimburse any such Indemnitee for, any and all losses, claims (including any environmental claims), penalties, damages, liabilities and related expenses
(including the fees, charges and disbursements of any counsel for any Indemnitee), incurred by any Indemnitee or asserted against any Indemnitee by any Person (including the Borrowers or any other Credit Party), arising out of, in connection with,
or as a result of (i) the execution or delivery of the Credit Documents or any agreement or instrument contemplated thereby, the performance by the parties of their respective obligations thereunder or the consummation of the transactions
contemplated thereby, (ii) any Loan or Letter of Credit or the use or proposed use of the proceeds therefrom (including any refusal by any Issuing Bank to honor a demand for payment under a Letter of Credit if the documents presented in
connection with such demand do not strictly comply with the terms of such Letter of Credit), (iii) any actual or alleged presence or release of hazardous materials on or from any property owned or operated by any Credit Party or any Subsidiary
thereof, or any environmental claim related in any way to any Credit Party or any Subsidiary of a Credit Party, (iv) any actual or prospective claim,

  

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		  	 litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other
theory, whether brought by a third party or by any Credit Party or any Subsidiary thereof, and regardless of whether any Indemnitee is a party thereto, or (v) any claim (including any environmental claims), investigation, litigation or other
proceeding (whether or not the Administrative Agent, the Collateral Agent, or any Lender is a party thereto) and the prosecution and defense thereof, arising out of or in any way connected with the Loans or any Credit Document, or any documents
contemplated by or referred to therein or the transactions contemplated thereby, including reasonable attorneys and consultant’s fees, provided that such indemnity shall not, as to any Indemnitee, be available to the extent that such
losses, claims, damages, liabilities or related expenses are determined by a court of competent jurisdiction by final and non-appealable judgment to have resulted from (a) the gross negligence or willful
misconduct of such Indemnitee or, with respect to any Indemnitee in its capacity as a Lender, such Indemnitee’s material breach of its funding obligations under any Credit Document (in each case as determined by a court of competent
jurisdiction in a final non-appealable judgment) or (b) a dispute solely between two or more Indemnitees not caused by or involving in any way the Company or any Subsidiary (other than any such dispute
which relates to claims against the Administrative Agent, the Collateral Agent, or an Issuing Bank, in each case in their respective capacities as such). This provision shall not apply with respect to taxes other than any taxes that represent
losses, claims, damages, etc. arising from any non-tax claim.

		
	 Stamp Duty &
 Other
Taxes:
	  	 The Borrowers shall pay all stamp, documentary and transaction taxes payable in connection with the Credit Documents
except any such taxes payable in connection with a Lender’s transfer, assignment, or participation of its rights and obligations under the Credit Documents.

		
		  	 The Borrowers shall pay all value added taxes that are chargeable on any supply to the Borrowers or any other Credit
Party under the Credit Documents upon the receipt of a valid value added tax invoice.

		
		  	 The Borrowers shall indemnify the Lenders against all taxes in relation to payments received pursuant to the Credit
Documents, subject to customary exceptions, such as taxes calculated by reference to net income, any bank levies, any FATCA deductions, or any withholding taxes in respect of which the Lender has been compensated under the gross-up provision or would have been so compensated but for an exception in the gross-up provision.

		
	Governing Law:	  	 State of New York; except that mortgages with respect to any Rigs shall be governed by laws of the Marshall
Islands to the extent applicable and other Credit Documents related to the Collateral may be governed by applicable non-New York or non-U.S. law.

  

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 ADDENDUM A 

CERTAIN DEFINED TERMS 

“Adjusted Consolidated Total Assets” means with respect to the Company, for any date, the sum of, without duplication,
the Adjusted Total Assets of the Company and all Restricted Subsidiaries. 
 “Adjusted EBITDA” means with respect to
the Company and its Restricted Subsidiaries, for any period, (I) Consolidated Net Income for such period, plus (II) the following to the extent deducted from Consolidated Net Income in such period: the sum of, without duplication,
(a) interest, Taxes, depreciation and amortization, (b) non-cash gains, non-cash losses and non-cash charges, including
any write-offs or write-downs, (c) net cash proceeds from business interruption insurance or reimbursement of expenses received related to any acquisition or disposition; provided that the aggregate amount added back pursuant to this clause
(c) shall not exceed the limitation set forth in the proviso to clause (d) below when combined with the amounts added back pursuant to clauses (d), (f), and (h), (d) all other extraordinary, unusual or non-recurring charges, expenses or losses (whether cash or non-cash), provided that the aggregate amount of such cash charges, expenses or losses under this clause
(d), together with any cash charges, costs or losses added back pursuant to clauses (c), (f), and (h) below, shall not exceed the greater of (x) $2.5 million and (y) 5% of Adjusted EBITDA in any four-fiscal quarter period
(calculated before giving effect to any such add backs), (e) any non-cash adjustments and charges stemming from the application of fresh start accounting, (f) transaction expenses incurred in connection
with acquisition and dispositions, provided that (i) the aggregate amount of such cash expenses under this clause (f) (A) shall not exceed the limitations set forth in the proviso to clause (d) above when combined
with the charges and expenses described in clauses (c), (d), and (h), and (B) shall not exceed 1% of the total transaction value of the applicable acquisition and (ii) no such expenses may be paid to any affiliate of
the Company (except to the extent such payment is in respect of third party expenses required to be paid or reimbursed by the Company or any Restricted Subsidiary), (g) non-cash charges and expenses relating
to employee benefit plans or equity compensation plans, (h) charges, costs or losses attributable to the severance in connection with any undertaking or implementation of restructurings (including any tax restructuring), cost savings
initiatives and cost rationalization programs, business optimization initiatives, systems implementation, termination or modification of material contracts, entry into new markets, strategic initiatives, expansion or relocation, consolidation of any
facility, modification to any pension and post-retirement employee benefit plan, software development, new systems design, project startup, consulting, business, integrity and corporate development; provided that the aggregate amount of cash
charges, costs or losses under this clause (h) shall not exceed the limitation set forth in the proviso to clause (d) above when combined with such charges and expenses described in clauses (c), (d), and
(f), and (i) EBITDA of acquired Rigs on a pro forma basis for historical periods, limited to the lesser of historical EBITDA attributable to such Rig and pro forma contracted EBITDA; provided that, solely for purposes of
calculating any incurrence tests in connection with a Permitted Acquisition or other similar permitted investment, such add back shall be based on pro forma contracted EBITDA if the pro forma calculation is based on contracts which, as of the date
such Acquisition or other similar permitted investment is to be consummated, (1) have commenced or have an estimated contract start date (as determined in good faith by the Company as of such date) that is no later than the six-month anniversary of the date of such consummation and (2) have a remaining term of at least one (1) year from the date of such consummation (with adjustments to be agreed to address contract deferrals
and terminations); minus (III) the sum of (x) EBITDA for disposed of Rigs, (y) all noncash items of income added to Consolidated Net Income, and (z) all other extraordinary, unusual or
non-recurring income (whether cash or non-cash). 

  

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 “Adjusted Total Assets” means with respect to any Restricted
Subsidiary, for any date, the total assets of such Restricted Subsidiary excluding any negative balances of intercompany receivables or intercompany notes of such Restricted Subsidiary. 

“Approved Firm” means any of (a) Clarkson Valuations Limited, (b) Fearnley Offshore Supply Pte. Ltd., (c)
Bassoe Offshore, (d) Arctic Offshore, (e) Pareto Offshore, and (f) any successor or affiliated company to those listed in (a) – (e), and (g) any other similarly qualified, independent ship broker that is not an
Affiliate of the Borrowers and is mutually agreed upon by the Borrowers and the Administrative Agent; provided that at least one required appraisal per period shall be provided by one of the companies listed in clauses (a) – (c). 

“Availability” means, as of any date of determination, an amount equal to the positive difference between (a) the
Commitments then in effect and (b) the sum of (i) the amount of Loans outstanding and LC Exposure as of such date and (ii) the amount of any reduction in availability of Commitments then in effect pursuant to the paragraph entitled
“Asset Sales – Temporary Availability Reduction” above. 
 “Bankruptcy Code” has the meaning
assigned to such term in the definition of “Plan.” 
 “Bankruptcy Court” has the meaning assigned to such
term in the definition of “Plan.” 
 “Base Rate” means for any day, a rate per annum equal to the greatest
of (a) the Prime Rate in effect on such day, (b) the Federal Funds Rate in effect on such day plus 0.50% and (c) LIBOR for a one (1) month Interest Period on such day (or if such day is not a business day, the immediately
preceding business day) plus 1.0%. Any change in the Base Rate due to a change in the Prime Rate, the Federal Funds Rate or the LIBOR Rate shall be effective from and including the effective date of such change in the Prime Rate, the Federal
Funds Rate or the LIBOR Rate, respectively. If the Base Rate is being used as an alternate rate of interest at a time when the LIBOR Rate cannot be determined, then the Base Rate shall be the greater of clauses (a) and (b) above
and shall be determined without reference to clause (c) above. For the avoidance of doubt, if the Base Rate as determined pursuant to the foregoing would be less than 2.0%, such rate shall be deemed to be 2.0%. 

“BOP Lease” means that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited
and EFS BOP, LLC. 
 “Collateral Rig Value” means the sum of the Rig Value of the Rigs that are directly owned,
operated, and chartered by Credit Parties, in each case to the extent (x) such Rigs are subject to the first out, first priority liens securing the Obligations under the Credit Facility and no other liens securing indebtedness for borrowed
money (other than the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt) and (y) such Rig is not subject to any financing arrangement (provided that the Rig Value attributable to
non-marketed Rigs shall not constitute more than 5% of the Rig Value as calculated hereunder. 

“Combined Adjusted Total Assets” means with respect to any Restricted Subsidiary, for any date, the sum of
(a) the Adjusted Total Assets of such Restricted Subsidiary, plus (b) the Adjusted Total Assets of each direct and indirect Subsidiary of such Restricted Subsidiary. 

  

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 “Consolidated Net Income” means, with respect to the Company and its
Restricted Subsidiaries, for any period, the aggregate of the net income (or loss) of the Company and its Restricted Subsidiaries determined on a consolidated basis in accordance with GAAP; provided that there shall be excluded from such net
income (to the extent otherwise included therein) the following: (1) the net income of any Person in which the Company or any of its Restricted Subsidiaries has an interest (which interest does not cause the net income of such other Person to
be consolidated with the net income of the Company and its Restricted Subsidiaries in accordance with GAAP), except to the extent of the amount of dividends or distributions actually paid in cash during such period by such other Person to the
Company or to any of its Restricted Subsidiaries, as the case may be; (2) the net income (or loss), in each case determined in accordance with GAAP, during such period of any Subsidiary that is not a Restricted Subsidiary, except to the extent
of the amount of dividends or distributions actually paid in cash during such period such other Person to the Company or to any of its Restricted Subsidiaries, as the case may be; (3) the net income (or loss) of any Person acquired in a pooling-of-interests transaction for any period prior to the date of such transaction; (4) any extraordinary gains or losses during such period, including any
cancellation of indebtedness income; (5) any non-cash gains or losses or positive or negative adjustments under ASC 815 (and any statements replacing, modifying or superseding such statement), in each
case as the result of changes in the fair market value of derivatives; and (6) any gains or losses attributable to writeups or writedowns of assets. 

“Consolidated Secured Net Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded secured debt of the Company and its Restricted Subsidiaries, less the amount of Specified Credit Party Cash to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Consolidated Total Gross Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded debt of the Company and its Restricted Subsidiaries to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Consolidated Total Net Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded debt of the Company and its Restricted Subsidiaries, less the amount of Specified Credit Party Cash to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Continuing Directors” means the directors (or equivalent governing body) of the Company on the Closing Date and each
other director (or equivalent) of the Company, if, in each case, such other Person’s nomination for election to the board of directors (or equivalent governing body) of the Company is approved by at least 51% of the then Continuing Directors.

 “Debtors” has the meaning assigned to such term in the definition of “Plan.” 

“Designated Rig” means any Rig designated prior to the Closing Date that is approved by the Administrative Agent and
Required Lenders each in their sole discretion. 
 “Disqualified Institution” means (a) any competitor of the
Company identified on a list delivered to the Administrative Agent by any Borrower or the Existing Parent Borrower prior to the Closing Date (by way of notice delivered to the Administrative Agent and each Lender at its address for notices) and
(b) any Affiliate of any such Person that is clearly identifiable as such solely on the basis of the similarity of its name, but excluding any such Affiliate any fund or investment vehicle that is primarily engaged in the making, purchasing,
holding or otherwise investing in commercial loans, bonds and other similar extensions of credit in the ordinary course; provided that “Disqualified Institutions” shall exclude any Person that the Borrowers have designated as no
longer being a “Disqualified Institution” by written notice delivered to the Administrative Agent and each Lender from time to time at the contact information set forth above or in the Credit Documents as applicable. 

  

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 “Eligible Local Content Entity” means a Local Content Entity that
(a) is not prohibited by its organizational documents or applicable laws from providing a guaranty of the Obligations (subject to inclusion of any local law-required limitations and such other changes as
the Administrative Agent may reasonably agree), (b) is “controlled” by the Company and (c) is not an Unrestricted Subsidiary. 

“Existing Credit Agreement” means that certain 5-Year Revolving Credit
Agreement, dated as of October 2, 2018, among Diamond Offshore Drilling, Inc., as the US Borrower (“Existing Parent Borrower”), Diamond Foreign Asset Company, as the Foreign Borrower, the financial institutions party
thereto as lenders (the “Existing RCF Lenders”), and Wells Fargo Bank, National Association, as Administrative Agent to the Existing RCF Lenders, as amended, restated, supplemented or otherwise modified from time to time
through the Closing Date. 
 “Federal Funds Rate” means, for any day, the rate per annum equal to the weighted
average of the rates on overnight federal funds transactions with members of the Federal Reserve System, as published by the Federal Reserve Bank of New York on the business day next succeeding such day, provided that if such rate is not so
published for any day which is a business day, the Federal Funds Rate for such day shall be the average of the quotation for such day on such transactions received by the Administrative Agent from three federal funds brokers of recognized standing
selected by the Administrative Agent. Notwithstanding the foregoing, if the Federal Funds Rate shall be less than zero, such rate shall be deemed to be zero for purposes of the Credit Documents. 

“Federal Reserve Board” means the Board of Governors of the Federal Reserve System of the United States of
America. 
 “Fee Letter” means that certain Fee Letter, dated January 22, 2021, between DFAC, the Company, and
Wells Fargo Bank, National Association. 
 “Fleet Status Certificate” means either of the following (at the option
of the Company) (a) a certificate delivered by an authorized officer of the Company to the Administrative Agent certifying as to the fleet status of each Rig wholly owned by the Company, any Credit Party, any Restricted Subsidiary, or any Local
Content Entity prepared on substantially the same basis, and in substantially the same form, substance, and level of detail (subject to deletion of pricing information), as the Company would provide in a published fleet status report posted to the
Company’s website but in any case indicating the name, fleet status, contract status, and contract term for each such Rig or (b) an updated published fleet status report posted to the Company’s website including (or supplemented to
include) the information specified in clause (a) above. 
 “HSBC Letters of Credit” means (a) each of
the following letters of credit issued by HSBC Bank USA, National Association for the account of the Company or any of its Restricted Subsidiaries that are outstanding as of the Closing Date: (i) the letter of credit issued for the benefit of
Burullus Gas in the amount of $500,000, (ii) the letter of credit issued for the benefit of Burullus Gas in the amount of $1,000,000, (iii) the letter of credit issued for the benefit of Suez Oil Company in the amount of $750,000, (iv) the letter of
credit issued for the benefit of Fidelity & Deposit Co. of Maryland in the amount of $6,034,107, (v) the letter of credit issued for the benefit of Posco International Corporation in the amount of $6,100,000, and (b) each other
bilateral letter of credit issued by HSBC Bank USA, National Association for the account of the Company or any of its Restricted Subsidiaries that is outstanding as of the Closing Date. 

  

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 “Interest Period” means, as to each LIBOR Rate Loan, the period
commencing on the date such LIBOR Rate Loan is disbursed or converted to or continued as a LIBOR Rate Loan and ending on the date one (1), two (2), three (3), or six (6) months or, if agreed by all of the relevant Lenders twelve
(12) months thereafter, in each case as selected by the applicable Borrower in its Notice of Borrowing or Notice of Conversion/Continuation and subject to availability; provided that: 

 

	 	(a)	 the Interest Period shall commence on the date of advance of or conversion to any LIBOR Rate Loan and, in the
case of immediately successive Interest Periods, each successive Interest Period shall commence on the date on which the immediately preceding Interest Period expires; 

 

	 	(b)	 if any Interest Period would otherwise expire on a day that is not a business day, such Interest Period shall
expire on the next succeeding business day; provided that if any Interest Period with respect to a LIBOR Rate Loan would otherwise expire on a day that is not a business day but is a day of the month after which no further business day occurs
in such month, such Interest Period shall expire on the immediately preceding business day; 

  

	 	(c)	 any Interest Period with respect to a LIBOR Rate Loan that begins on the last business day of a calendar month
(or on a day for which there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last business day of the relevant calendar month at the end of such Interest Period; 

 

	 	(d)	 no Interest Period shall extend beyond the maturity date; and 

 

	 	(e)	 there shall be no more than ten (10) Interest Periods in effect at any time. 

“Last Out Incremental Debt” means any first lien last out secured indebtedness issued after the Closing Date,
(a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the latest of (i) the 365th day after the Commitment
Termination Date, (ii) the “Maturity Date” under the Last Out Term Loan, and (iii) the scheduled maturity date of the Last Out Notes, other than customary offers to purchase upon a change of control, asset sale or casualty or
condemnation event and customary acceleration rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and
redemption or prepayment premiums and other pricing terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such notes), taken as a whole, are not more
restrictive or burdensome than those set forth in the credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit
Facility or that is not contained in the Credit Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or
any of their Restricted Subsidiaries from amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor
Agreement or another applicable intercreditor agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or
to pledge assets as collateral security for the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another
intercreditor agreement in form and substance satisfactory to the Administrative Agent. 

  

49            Summary of Terms and Conditions 

			
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 “Last Out Notes” means any first lien last out secured notes issued
pursuant to the Plan, (a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the latest of (i) the 365th day after
the Commitment Termination Date and (ii) the “Maturity Date” under the Last Out Term Loan, other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration
rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and redemption or prepayment premiums and other pricing
terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such notes), taken as a whole, are not more restrictive or burdensome than those set forth in the
credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit Facility or that is not contained in the Credit
Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or any of their Restricted Subsidiaries from
amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor Agreement or another applicable intercreditor
agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for
the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance
satisfactory to the Administrative Agent. 
 “Last Out Term Loan” means the first lien last out term loan issued or
deemed issued pursuant to the Plan, (a) the terms of which do not provide for any scheduled repayment, mandatory repayment or sinking fund obligation prior to the latest of (i) the 365th
day after the Commitment Termination Date and (ii) the scheduled maturity date of the Last Out Notes, other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration
rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and redemption or prepayment premiums and other pricing
terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such term loan), taken as a whole, are not more restrictive or burdensome than those set forth in the
credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit Facility or that is not contained in the Credit
Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or any of their Restricted Subsidiaries from
amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor Agreement or another applicable intercreditor
agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for
the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance
satisfactory to the Administrative Agent. 
 “LC Exposure” means, at any time, an amount equal to the sum of
(a) the aggregate undrawn and unexpired amount of the then outstanding Letters of Credit and (b) the aggregate amount of drawings under Letters of Credit which have not yet been reimbursed by or on behalf of any Borrower at such time. 

  

50            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “LIBOR” means, subject to the implementation of a Benchmark
Replacement in accordance with the terms of the Credit Documents, (a) for any interest rate calculation with respect to a LIBOR Rate Loan, the rate of interest per annum determined on the basis of the rate for deposits in U.S. Dollars for a
period equal to the applicable Interest Period as published by the ICE Benchmark Administration Limited, a United Kingdom company, or a comparable or successor quoting service approved by the Administrative Agent, at approximately 11:00 a.m. (London
time) two (2) London Banking Days prior to the first day of the applicable Interest Period. If, for any reason, such rate is not so published then “LIBOR” shall be determined by the Administrative Agent to be the arithmetic average of
the rate per annum at which deposits in U.S. Dollars would be offered by first class banks in the London interbank market to the Administrative Agent at approximately 11:00 a.m. (London time) two (2) London Banking Days prior to the first day
of the applicable Interest Period for a period equal to such Interest Period, and (b) for any interest rate calculation with respect to a Base Rate Loan, the rate of interest per annum determined on the basis of the rate for deposits in U.S.
Dollars for an Interest Period equal to one month (commencing on the date of determination of such interest rate) as published by ICE Benchmark Administration Limited, a United Kingdom company, or a comparable or successor quoting service approved
by the Administrative Agent, at approximately 11:00 a.m. (London time) on such date of determination, or, if such date is not a business day, then the immediately preceding business day. If, for any reason, such rate is not so published then
“LIBOR” for such Base Rate Loan shall be determined by the Administrative Agent to be the arithmetic average of the rate per annum at which deposits in U.S. Dollars would be offered by first class banks in the London interbank market to
the Administrative Agent at approximately 11:00 a.m. (London time) on such date of determination for a period equal to one month commencing on such date of determination. 

Each calculation by the Administrative Agent of LIBOR shall be conclusive and binding for all purposes, absent manifest error. 

Notwithstanding the foregoing, in no event shall LIBOR (including any Benchmark Replacement with respect thereto) be less than 1.00%. 

“LIBOR Rate” means a rate per annum determined by the Administrative Agent pursuant to the following formula: 

 

			
	LIBOR Rate =	  	LIBOR
		  	  

		  	1.00-Statutory Reserve Rate

 “Liquidity” means, as of any date of determination, an amount equal to Specified
Credit Party Cash plus Availability. 
 “Local Content Entity” means any affiliate of the Company
(i) that owns a Rig and (ii) the capital stock or other equity interests of which is jointly owned by the Company or any Restricted Subsidiary(ies) and any other Person(s) but only to the extent such ownership of capital stock or other
equity interests by such Person(s) is(are) required or necessary under local law or custom as a condition for the operation of such Rig in such jurisdiction; provided that Local Content Entities shall not include joint ventures that are
formed in the ordinary course and for purposes other than local law requirements or local law customs. 

  

51            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Material Adverse Effect” means any material adverse effect on
(i) the business, assets, properties, operations, liabilities (actual or contingent) or condition (financial or otherwise) of the Company and its Restricted Subsidiaries, taken as a whole, (ii) any Borrower’s ability, individually, or
the Credit Parties’ ability, taken as a whole, to perform their respective obligations under the Credit Documents, (iii) the legality, validity, binding effect, or enforceability against any Credit Party in any material respect of any
Credit Document to which it is a party, or (iv) the rights and remedies of the Administrative Agent or any Lender under any Credit Document. 

“Mexico Office Building” means the building located at Carretera Carmen – Puerto Real Km 11.3 Col. El Fenix,
Ciudad del Carmen, Campeche C.P. 24157. 
 “PCbtH Service Contract” means that certain Contractual Service
Agreement, dated as of February 5, 2016, between Diamond Offshore Company and Hydril USA Distribution LLC. 
 “Permitted
Acquisition” means any acquisition by a Credit Party or any Restricted Subsidiary of the equity interests, assets and/or line of business of one or more other Persons in a single transaction, multiple transactions that are consummated
substantially concurrently with each other, or a series of related transactions, which transaction(s) may be in an unlimited amount so long as: 

(a) no Change of Control, Default, or Event of Default exists or would result from such transaction; 

(b) the board of directors or other similar governing body of the Person to be acquired shall have approved such transaction (and, if
requested, the Administrative Agent shall have received evidence, in form and substance reasonably satisfactory to the Administrative Agent, of such approval); 

(c) the Person or business to be acquired shall be in a line of business permitted pursuant to the Credit Documents or, in the case of an
acquisition of assets, the assets acquired are useful in the business of the Company and its Subsidiaries as conducted immediately prior to such acquisition or otherwise permitted pursuant to the Credit Documents; 

(d) no less than fifteen (15) business days prior to the proposed closing date of such transaction (or such shorter period as may be
agreed to by the Administrative Agent), the Borrowers shall have delivered written notice of such transaction to the Administrative Agent and the Lenders, which shall include the proposed closing date of such transaction; 

(e) either: 
 (i) such
acquisition is made with the proceeds of new, concurrent common equity of the Company, or 
 (ii) the requirements set forth below are
satisfied with respect thereto (it being understood and agreed that, in the case of substantially concurrent transactions or a series of related transactions, such satisfaction shall be determined with respect to such transactions, on an aggregate
basis): 
 (A) (1)(x) the Consolidated Total Net Leverage Ratio on a pro forma basis (excluding synergies) would be less than
or equal to 2.5 to 1.0 as of the last day of the most recently ended fiscal quarter and (y) the Consolidated Secured Net Leverage Ratio on a pro forma basis (excluding synergies) would be less than or equal to 2.0 to 1.0 as of the last day of
the most recently ended fiscal quarter or (2) both the Consolidated Total Net Leverage Ratio and the Consolidated Secured Net Leverage Ratio, in each case on a pro forma basis (excluding synergies) would be less than or equal to the
Consolidated Total Net Leverage Ratio or Consolidated Secured Net Leverage Ratio, as applicable, before giving effect to such transaction(s); and 

  

52            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 (B) Liquidity would be greater than or equal to $150.0 million after
giving pro forma effect to such transaction(s); and 
 (f) any assets, including equity interests, acquired pursuant to such transaction(s)
shall become Collateral to the extent required by the Agreed Security Principles and any Restricted Subsidiary acquired shall become a Guarantor to the extent required by the definition of “Required Guarantor” above. 

“Permitted Holdco Event” means the occurrence of any event or series of events that results in the ownership of 100%
of the equity interests of the Company by any Person (the “Permitted Holdco”), so long as: 
 (a) no Change of
Control has occurred under clause (b) of the definition thereof; 
 (b) the terms of any management services agreement, shared
services agreement, or other arrangement relating to shared services, management, overhead, employees, expenses, taxes, or other relationship between the Company or any of its Subsidiaries on the one hand, and the Permitted Holdco on the other hand,
as well as any subsequent amendments or other modifications to any such agreements or arrangements, are at least as favorable to the Company as would be obtainable in an arm’s length transaction and otherwise subject to the affiliate
transactions covenant described under clause 7 of “Negative Covenants” and all other covenants and restrictions contained in the Credit Facility; 

(c) the Permitted Holdco has pledged 100% of the equity interests of the Company as Collateral to secure the Obligations on a first-lien basis
(the terms of which shall include a negative pledge prohibiting the granting of liens on such equity interests by the Permitted Holdco to any Person other than liens granted to the Collateral Agent for the benefit of the agents, trustees, and
lenders under the Credit Facility, Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any) (collectively, the “Specified Diamond Creditors”);

(d) the Permitted Holdco shall not own any material assets, equity interests, or business interests other than (i) 100% of the equity
interests in the Company and (ii) 100% of the equity interests in another person whose primary business is the provision of contract drilling services, drilling rigs, and related equipment to the energy industry (a “Combination
Party”); provided that, if the Permitted Holdco owns any equity interests in a Combination Party, then (A) the Company and its subsidiaries on the one hand, and the Combination Party and its subsidiaries on the other hand, are held
in separate ownership silos such that (x) neither the creditors of the Permitted Holdco nor the creditors of the Combination Party and its subsidiaries shall have any recourse to the Company, its subsidiaries, or any of their respective assets,
and (y) creditors of the Company and its subsidiaries shall have no recourse to the Combination Party, its subsidiaries, or any of their respective assets, and (B) all transactions and dealings between the two silos, or between the Company
and its subsidiaries on the one hand, and the Permitted Holdco on the other hand, shall be subject to the affiliate transactions covenant described under clause 7 of “Negative Covenants” and all other covenants and restrictions
contained in the Credit Facility; 

  

53            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 (e) the Permitted Holdco shall not incur or suffer to exist any indebtedness, obligations or
other liabilities, other than (i) the Permitted Holdco’s obligations under the Permitted Holdco Undertaking (as defined below), (ii) tax liabilities of the Permitted Holdco arising in the ordinary course of business,
(iii) corporate, administrative and operating expenses of the Permitted Holdco incurred in the ordinary course of business, (iv) liabilities of the Permitted Holdco under any contracts or agreements with the Company and its subsidiaries
described in clauses (b) and (c) above, and (v) liabilities of the Permitted Holdco under contracts or agreements with the Combination Party and its subsidiaries that would comply with the description in clause
(b) above;
 (f) the Permitted Holdco shall not engage in any activities or business other than (i) issuing shares of its own
common equity interests, (ii) holding the assets and incurring the liabilities described in clauses (b), (c), (d) and (e) above and activities incidental and related thereto, and (iii) making dividends or
distributions not prohibited by the Credit Documents that would not result in the structure described in the lead-in to this definition failing to meet the conditions described in this definition; 

(g) on and after such Permitted Holdco Event, in the event of any Business Opportunity (to be defined in the definitive documentation,
but in any case to include, without limitation, any subsequent bidding or tender opportunity for a new or extended contract fixture for a Rig (or similar opportunity to provide Rigs, drilling services, or other services in the Company’s line of
business)), Permitted Holdco will ensure that the Company and its Restricted Subsidiaries, or Rigs owned by the Company and its Restricted Subsidiaries, as applicable, that meet the relevant criteria for such Business Opportunity (including
availability) are included in such bid, tender, or other Business Opportunity and participate on a competitive basis in such bid, tender, or other Business Opportunity, if, in the reasonable judgment of the Company, it is in the best interest of the
Company to bid or participate in such bid, tender, or other Business Opportunity ((x) taking into account all relevant costs and liabilities associated with such bid, tender, Business Opportunity, or contract fixture and (y) specifically not
taking into account activity or availability of Rigs or Subsidiaries directly or indirectly owned by the Combination Party or otherwise by the Permitted Holdco outside of the Company and its Restricted Subsidiaries, or the business or interests of
the Combination Party or the Permitted Holdco outside of the Company and its Restricted Subsidiaries); and 
 (h) on or prior to such
Permitted Holdco Event, the Administrative Agent shall have received an agreement in form and substance satisfactory to the Administrative Agent, executed and delivered by the Permitted Holdco, for the benefit of the Specified Diamond Creditors,
which shall constitute a Credit Document for all purposes hereunder (such undertaking, the “Permitted Holdco Undertaking”), pursuant to which the Permitted Holdco shall agree to (i) comply, and cause the Company and its
Subsidiaries to comply, with the requirements of clauses (a) through (g) above in all respects and (ii) deliver to the Administrative Agent a quarterly certificate of a responsible officer of the Permitted Holdco and a
responsible officer of the Company, certifying compliance with such requirements and committing to comply with such requirements at all times thereafter; 

provided that each of the provisions applicable to and undertakings by the Permitted Holdco in this definition shall apply equally to
any Subsidiary of the Permitted Holdco that directly or indirectly holds equity interests in the topmost entity in either the Company’s silo or any Combination Party’s silo that is a borrower, issuer, guarantor, or other obligor with
respect to all of the obligations under the primary debt facilities at such silo. 
 “Person” means an individual,
partnership, corporation, limited liability company, company, association, trust, unincorporated organization or any other entity or organization, including a government or any agency or political subdivision thereof. 

  

54            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Plan” means the chapter 11 plan of reorganization of the Existing
Parent Borrower and certain of its subsidiaries (the foregoing Persons, collectively, the “Debtors”), as it may be altered, amended, modified, or supplemented from time to time in accordance with the terms thereof, including
the Plan Supplement (as defined in the Plan) and any annexes, supplements, exhibits, term sheets, or other attachments thereto, filed under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”), which cases
are jointly administered as Bankruptcy Case No. 20-32307 (the “Chapter 11 Cases”) before the United States Bankruptcy Court for the Southern District of Texas (the
“Bankruptcy Court”). 
 “Plan Support Agreement” means that certain agreement between the
Company and the other parties thereto, dated as of January 22, 2021, and as filed as an exhibit to the Company’s 8-K dated January 22, 2021, as amended, supplemented or otherwise modified prior
to the Closing Date with the prior written consent of the Debtors and/or the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement), as applicable, in accordance with the terms thereof. 

“Prime Rate” means, at any time, the rate of interest per annum publicly announced from time to time by the
Administrative Agent as its prime rate. Each change in the Prime Rate shall be effective as of the opening of business on the day such change in such prime rate occurs. The parties hereto acknowledge that the rate announced publicly by the
Administrative Agent as its prime rate is an index or base rate and shall not necessarily be its lowest or best rate charged to its customers or other banks. 

“Regulation D” means Regulation D of the Federal Reserve Board, as in effect from time to time and all official
rulings and interpretations thereunder or thereof. 
 “Replacement Rig” means any Rig designated prior to the
Closing Date as a replacement for the Designated Rig that is approved by the Administrative Agent and Required Lenders each in their sole discretion; provided that such Replacement Rig shall be of the same class and type as the Designated Rig for
which it is replacing. 
 “Restricted Subsidiary” means each Subsidiary of the Company which is not an Unrestricted
Subsidiary. 
 “Rig” means any mobile offshore drilling unit (including, without limitation, any jackup rig,
semi-submersible rig, drillship, and barge rig). 
 “Rig Value” means, as of any date of determination, with respect
to any Rig (and all related owned equipment), other than a cold-stacked Rig, the value of such Rig (and all related owned equipment), calculated as the average reflected in the most recent appraisals of such Rig conducted and delivered in compliance
with clause (x) of “Affirmative Covenants” above; provided that the Rig Value of any Rig shall be equal to (w) 100.0% of such appraised value, for any Rig that is contracted with less than 12 months until its
relevant contract start date or a Rig that has been idle for up to 6 months, (x) 75.0% of such appraised value, for any Rig idle for six (6) months or longer but less than nine (9) months as of such date of determination, (y) 50.0% of such
appraised value, for any Rig idle for nine (9) months or longer but less than twelve (12) months as of such date of determination and (z) 0.0% of such appraised value, for any Rig idle for twelve (12) months or longer as of such date
of determination; provided further that if any such Rig is stacked or otherwise idle, the Rig Value attributable to such Rig (i) shall be reduced by the amount of any reactivation costs necessary or advisable to return such Rig to
working status and (ii) shall in no event be less than $0.00; provided further that, notwithstanding the foregoing, during the period from the Closing Date until the six month anniversary of the Closing Date, the Rig Value of the
Great White shall not at any time be less than 50.0% of such appraised value. 

  

55            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Rig Value Certificate” means a certificate signed by a responsible
officer of the Company certifying a listing of the Rig Value for each Rig of a Credit Party, the appraisal that has been used to determine those Rig Values, and the direct owner for each such Rig, in each case as of the date of such certificate.

 “Specified Credit Party Cash” means, as of any date of determination, the aggregate amount of the following
(without duplication): cash on hand and cash equivalents, in each case, that are on deposit in or held in any deposit account, securities account or other bank account that is subject to (a) with respect to any U.S. account, a perfected lien in
favor of the Collateral Agent pursuant to an account control agreement in favor of the Collateral Agent that is reasonably satisfactory in form and substance to the Administrative Agent or (b) with respect to any
non-U.S. account, any other appropriate security arrangement in the relevant jurisdiction that is required by or effective pursuant to applicable law, and reasonably satisfactory to the Administrative Agent,
to perfect the Collateral Agent’s first priority lien on such account. 
 “Statutory Reserve Rate” means, for
any day, the percentage which is in effect for such day as prescribed by the Federal Reserve Board for determining the maximum reserve requirement (including any basic, supplemental or emergency reserves) in respect of eurocurrency liabilities or
any similar category of liabilities for a member bank of the Federal Reserve System in New York City. 

“Subsidiary” means, for any Person, any other Person of which more than fifty percent (50%) of the outstanding stock
or comparable equity interests having ordinary voting power for the election of the board of directors, managers or similar governing body of such other Person (irrespective of whether or not at the time stock or other equity interests of any other
class or classes of such other Person shall have or might have voting power by reason of the happening of any contingency), is at the time directly or indirectly owned by such former Person or by one or more of its Subsidiaries. Unless otherwise
specified, “Subsidiary” shall include each Eligible Local Content Entity and each such Person’s respective Subsidiaries. Unless the context expressly provides otherwise, references to a Subsidiary shall mean a Subsidiary of the
Company. 
 “Tax Distributions” means in respect of any taxable period for which the Company is a member of a
consolidated, combined, affiliated, unitary or similar tax group for U.S. federal and/or applicable state, local or foreign income tax purposes of which a direct or indirect parent of the Company is the common parent, or for which the Company is a
disregarded entity for U.S. federal income tax purposes that is wholly owned (directly or indirectly) by a C corporation for U.S. federal and/or applicable state or local income tax purposes, distributions to any direct or indirect parent of the
Company to pay U.S., federal, state, local, or foreign income taxes of such parent or such C corporation (including distributions to fund estimated payments of such taxes) in an amount not to exceed the amount of any U.S. federal, state, local or
foreign income taxes that the Company would have paid for such taxable period had the Company been treated as a stand-alone corporate taxpayer or a standalone corporate group, calculated taking into account accumulated losses and deductions that
would have been available if the Company had been so treated. 

  

56            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Unrestricted Subsidiary” means (a) any Subsidiary (other than a
Rig Subsidiary) of the Company that has been or is designated in writing as an Unrestricted Subsidiary in accordance with the limitations of the Credit Facility and (b) each of such Person’s Subsidiaries (other than a Rig Subsidiary). 

“Use of Proceeds Certificate” means with respect to any Loan, a certificate in form, substance, and detail reasonably
satisfactory to the Administrative Agent, duly executed by a responsible officer of the applicable Borrower (a) describing the intended use of proceeds of such Loan, which shall be a purpose permitted by the credit agreement governing the
Credit Facility and (b) certifying (i) as to the proposed use of the proceeds of the applicable borrowing, which shall be a purpose permitted by the credit agreement governing the Credit Facility and (ii) that the proceeds of the
applicable borrowing shall be used within five (5) business days after the making of such Loan for such specified purpose, or will otherwise be repaid to the extent required pursuant to the credit agreement governing the Credit Facility. 

  

57            Summary of Terms and Conditions 

			
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 ADDENDUM B 

INITIAL CONDITIONS 

The availability of the Credit Facility on the Closing Date shall be subject solely to the satisfaction (or waiver) of the conditions
precedent set forth in the Plan Support Agreement and the satisfaction (or waiver) of the following conditions; capitalized terms used but not defined herein have the meanings set forth in the Summary of Terms and Conditions to which this
Addendum B is attached: 
 1. The Administrative Agent shall have received, subject to the Agreed Security Principles, (a) the
Credit Documents, which shall, in each case, (i) be consistent with the Documentation Principles and otherwise in form and substance reasonably satisfactory to the Lead Arrangers, the Lenders, and the Borrowers and (ii) have been executed
and delivered by each party thereto, (b) customary officer’s closing certificates (including incumbency certificates of officers and/or directors) certifying as to organizational documents, authorizing resolutions, certificates of
existence, good standing and qualification (or such corresponding certificates or other documents to the extent the concept of good standing exists in the applicable jurisdiction) in jurisdictions of formation/organization, in each case, with
respect to the Credit Parties, a solvency certificate (with respect to the Company and its Subsidiaries on a consolidated basis as of the Closing Date after giving effect to the transactions (including any initial borrowings made or deemed made and
any initial Letters of Credit issued or deemed issued under the Credit Facility) contemplated to occur on the Closing Date certified by a senior authorized financial officer of the Company), an officer’s certificate, in form and detail
satisfactory to the Administrative Agent, certifying (x) a complete, true, and correct organizational structure chart of the Company and its subsidiaries, which shall identify whether each entity on such chart is a Borrower, Guarantor,
Restricted Subsidiary, Unrestricted Subsidiarity, Immaterial Subsidiary, Material Subsidiary, Excluded Subsidiary, Rig Subsidiary, and/or such other type of entity under the Credit Documents and (y) the reason why each entity designated as an
Excluded Subsidiary is considered to be an Excluded Subsidiary, and such other certificates and instruments are customary for transactions of this type (including a perfection certificate (which shall include, among other things, (y) a schedule
of all fee owned real property of the Credit Parties setting forth the fair market value of each such property as determined in the reasonable discretion of the Credit Parties and (z) a schedule of all deposit, securities, and commodity
accounts owned by the Credit Parties) and evidence of insurance required by the Credit Documents), (c) a certificate of a financial officer certifying a calculation of the Threshold Ratio as of the Closing Date, and (d) customary favorable
legal opinions of counsel to the Company and the other Credit Parties related to the Credit Documents (including, in addition to other customary opinions, an opinion on no conflicts with applicable laws) and reasonably satisfactory to the
Administrative Agent. 
 2. All reasonable and documented fees and expenses due on the Closing Date to the Administrative Agent, the
Collateral Agent, and the Lenders shall have been paid in full in cash on the Closing Date (or, solely in the case of the PIK Upfront Fee, shall be paid-in-kind on the
Closing Date), to the extent invoiced at least two (2) business days prior to the Closing Date (or such later date as the Borrowers may reasonably agree), including any fees set forth in the Fee Letter. 

3. The Administrative Agent shall have received evidence reasonably satisfactory to it that all loans and other obligations outstanding under
the Existing Credit Agreement are being repaid substantially concurrently with the entering into the Credit Documents or otherwise satisfied in full and terminated in a manner consistent with the Plan (other than the HSBC Letters of Credit, which
shall be deemed issued under the credit agreement governing the Credit Facility on the 

  

58             Summary of Terms and Conditions 

			
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Closing Date). Immediately after giving effect to the transactions contemplated hereby, the Credit Parties and their Restricted Subsidiaries shall have no indebtedness outstanding other than
(a) the Loans and other extensions of credit under the Credit Facility, (b) indebtedness in respect of the Last Out Term Loans and the Last Out Notes, and (c) any other indebtedness permitted under the Credit Documents. The
Administrative Agent shall have received evidence reasonably satisfactory to it that all liens on the assets of the Credit Parties and their Restricted Subsidiaries (other than liens permitted by the Credit Documents) have been released or
terminated and that duly executed recordable releases and terminations in forms reasonably acceptable to the Administrative Agent with respect thereto have been obtained by the Company. 

4. (a) The terms of the Plan shall be substantially consistent with the Plan Support Agreement and otherwise reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement), and such Plan Support Agreement shall not have been amended or modified in any manner that is adverse (as determined in good faith by the
Administrative Agent) to the rights and interests of the Lead Arrangers, the Administrative Agent or any Lender and their respective affiliates, in their capacities as such, relative to the version filed with the Bankruptcy Court on January 22,
2021, without written consent of the Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) and (b) an order of the Bankruptcy Court in form and substance reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) shall have been entered confirming the Plan and shall have become a final order of the Bankruptcy Court, which order shall not have been stayed,
reversed, vacated, amended, supplemented or otherwise modified in any manner that would reasonably be expected (as determined in good faith by the Administrative Agent) to adversely affect the interests of the Lead Arrangers, the Administrative
Agent or the Lenders and their respective affiliates, in their capacity as such, or the treatment contemplated by the Plan to the Existing RCF Lenders under the Existing Credit Agreement without the written consent of the Administrative Agent and
the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) (the “Confirmation Order”); provided that the possibility that an appeal or a motion under Rule 60 of the Federal Rules of Civil Procedure or any
analogous rule under the Federal Rules of Bankruptcy Procedure, may be filed relating to such order, shall not cause such order to not be a final order. 

5. The Plan and all transactions contemplated therein or in the Confirmation Order to occur on the effective date of the Plan shall have been
(or substantially concurrently with the Closing Date, shall be) substantially consummated (as defined in Section 1101 of the Bankruptcy Code) in accordance with the terms thereof and in compliance with applicable law and Bankruptcy Court and
regulatory approvals. 
 6. The Administrative Agent shall have received a certificate of a responsible officer of the Company certifying
that (a) all material governmental and third party approvals necessary in connection with the consummation of the Plan and the other transactions contemplated thereby, and the continuing operations of the Company and its Restricted Subsidiaries
shall have been obtained (or will be substantially concurrently obtained) and be in full force and effect, (b) that all representations and warranties set forth in the credit agreement governing the Credit Facility and the other Credit
Documents are true and correct in all material respects (unless such representations are qualified by materiality or by a Material Adverse Effect qualification, in which case, such representations and warranties shall be true and correct in all
respects), (c) no Default or Event of Default shall have occurred and be continuing or shall occur as a result of the initial extensions of credit or from the application of proceeds thereof, (d) no material litigation, arbitration or similar
proceeding shall be pending or threatened which calls into question the validity of the credit agreement governing the Credit Facility, the other Credit Documents, or any of the transactions 

  

59            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 
contemplated thereby, and (e) that since January 22, 2021, no Closing Date Material Adverse Effect (as defined below) shall have occurred. Solely for purposes of this paragraph 6,
“Closing Date Material Adverse Effect” means any event, change, effect, occurrence, development, circumstance or change of fact occurring or existing after January 22, 2021 that, individually or in the aggregate, has had, or would
reasonably be expected to have, a material adverse effect on (i) the business, assets, properties, operations, liabilities (actual or contingent) or condition (financial or otherwise) of the Credit Parties, taken as a whole, or (ii) any
Borrower’s ability, individually, or the ability of the Credit Parties, taken as a whole, to perform its or their obligations under, or to consummate the transactions contemplated by the Credit Documents, including in connection with the Credit
Facility; provided, however, that any change arising from or related to any of the following shall not constitute a Closing Date Material Adverse Effect or be taken into account in determining whether a Closing Date Material Adverse
Effect has occurred or would reasonably be expected to occur: (A) customary occurrences as a result of events leading up to and following the commencement of a proceeding under chapter 11 of the Bankruptcy Code and the Chapter 11 Cases and
actions taken in connection with the Chapter 11 Cases that are directed or authorized by the Bankruptcy Court and made in compliance with the Bankruptcy Code; and (B) any action or omission required, specifically permitted or contemplated to be
taken or omitted by any of the Credit Parties, the Debtors or their Subsidiaries pursuant to the Plan Support Agreement or any Credit Document or which is otherwise taken or omitted with the consent, or at the request, of the Administrative Agent
and the Required Lenders under the Credit Facility. 
 7. (a) The Administrative Agent shall have received aggregate Commitments from
Lenders equal to or in excess of $300.0 million (before giving effect to the increase to Commitments in the amount of the PIK Upfront Fee); (b) the aggregate amount of Loans and LC Exposure on the Closing Date, after giving pro forma effect to
any funding or deemed funding on the Closing Date, shall not exceed an amount equal to (i) $100.0 million, including any Loans made or deemed made in exchange for obligations owing under the Existing Credit Agreement, plus (ii) the
face amount of the HSBC Letters of Credit deemed issued under the Credit Facility on the Closing Date, plus (iii) the amount of the PIK Upfront Fee, minus (iv) the amount by which the aggregate initial principal amount of the
Last Out Term Loan exceeds $100.0 million; and (c) the Administrative Agent shall have received for the benefit of the Lenders a payment in cash on the Closing Date in an aggregate amount equal to the amount required pursuant to the Plan.

 8. The Administrative Agent shall have received evidence that (a) the Company has received, substantially simultaneously with the
effectiveness of the Credit Facility, no less than $75.0 million in new gross cash proceeds from the Last Out Notes pursuant to an indenture in form and substance reasonably satisfactory to the Administrative Agent (which, for the avoidance of
doubt, shall include a commitment from the noteholders thereunder to provide no less than $35.0 million at a later date subject to certain specified conditions acceptable to the Administrative Agent), (b) the Last Out Term Loan shall have
become effective, substantially simultaneously with the effectiveness of the Credit Facility, in a principal amount equal to $500.0 million, minus the Commitment Amount, and (c) the First Out/Last Out Intercreditor Agreement shall
have been duly executed and delivered by each of (x) the Administrative Agent (with the consent of the requisite Lenders), (y) the requisite lenders or an authorized lender representative (with the consent of the requisite lenders) in respect
of the Last Out Term Loan, and (z) the requisite holders of the Last Out Notes or an authorized representative thereof (with the consent of the requisite noteholders) (collectively, the “Consenting Stakeholders”). 

  

60            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 9. The Administrative Agent shall have received a certificate of a responsible officer of the
Company demonstrating in reasonable detail that, as of the Closing Date, and giving pro forma effect to the Plan and the transactions contemplated thereby to occur on the Closing Date, the Company is in compliance with each Collateral Coverage
Ratio. 
 10. The Lead Arrangers shall have received (a) audited consolidated balance sheets and related statements of income,
stockholders’ equity and cash flows of the Company and its subsidiaries, for the three most recently completed fiscal years ended at least ninety (90) days before the Closing Date (together with consolidating financial statements of any
Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (b) unaudited consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of the Company and
its subsidiaries, for each subsequent fiscal quarter ended at least forty-five (45) days before the Closing Date, in each case, together with the corresponding comparative period from the prior fiscal year (together with consolidating financial
statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (c) unaudited interim monthly consolidated financial statements prepared by management of the Company and its
subsidiaries, for each subsequent calendar month ending at least ten (10) business days before the Closing Date, (d) a pro forma unaudited consolidated balance sheet of the Company and its Restricted Subsidiaries as of the Closing Date (as
if the Closing Date had occurred on the last date of the most recently ended fiscal quarter or calendar month for which financial statements are required to be provided pursuant to clause (b) or (c) above, adjusted to give effect
to the making of the initial extensions of credit under the Credit Facility, the application of the proceeds thereof and to the other transactions contemplated to occur on the Closing Date), which balance sheet shall (i) not reflect any pro
forma adjustments to give effect to the application of fresh start accounting, (ii) not be required to meet the requirements of Regulation S-X of the Securities Act of 1933, (iii) be certified by the
chief financial officer of the Company as being prepared in good faith by the Company and (iv) reflect no indebtedness other than (x) the Loans and other extensions of credit under the Credit Facility, (y) indebtedness in respect of
the Last Out Notes and Last Out Term Loan and (z) any other indebtedness permitted under the Credit Documents, (e) a summary setting forth the adjustments made to the financial information contained in the consolidated balance sheet for
the most recently ended fiscal quarter or calendar month previously delivered to the Lead Arrangers pursuant to clause (b) or (c) above that are reflected in the pro forma balance sheet referred to in clause (d) above,
(f) a financial forecast of the Company and its Restricted Subsidiaries for the 24-month period commencing December 31, 2020, on a quarterly basis, and (g) a budget for the Company and its Restricted
Subsidiaries for the fiscal year ending December 31, 2021. 
 11. Subject to the Agreed Security Principles, all actions reasonably
necessary to establish that the Collateral Agent will have a perfected first priority security interest (subject to permitted liens) in the Collateral (as described in the section titled “Collateral” in the Term Sheet) shall have
been taken, including, (a) delivery of counterparts and exhibits for Rig mortgages, pledges and security agreements, which are necessary and appropriate for filing in the appropriate jurisdictions and (b) the execution and delivery of
control agreements in connection with deposit accounts, securities accounts, and commodity accounts within 30 days of the Closing Date (other than (a) with respect to accounts located in non-U.S.
jurisdictions, which shall be delivered within 45 days of the Closing Date and (b) with respect to any accounts held at JPMorgan Chase Bank, N.A. that, within 45 days after the Closing Date, are replaced by, and all amounts therein transferred
to, accounts held at HSBC Bank USA, National Association, which HSBC Bank USA, National Association accounts are subject to control agreements in favor of the Collateral Agent). 

  

61            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 12. The Administrative Agent shall have received (a) customary UCC or equivalent lien,
maritime lien, tax and judgment lien searches for the Credit Parties and their Restricted Subsidiaries reflecting the absence of liens and security interests other than those being released on or prior to the Closing Date or which are otherwise
permitted under the Credit Documents, (b) certificates of registration showing the registered ownership of each Rig and certificates of ownership and encumbrances with respect to each such Rig, (c) a Fleet Status Certificate, (d) a
Rig Value Certificate, (e) confirmation of class certificates for each Rig (other than stacked Rigs), (f) if any Credit Party is not organized under the laws of a State of the United States, evidence of appointment by such Credit Party of a
process agent as its domestic process agent in accordance with the terms of the Credit Documents, (g) such other documents and conditions as are reasonable and customary under applicable legal requirements or custom in connection with a
guarantee given by a foreign Credit Party, and (h) any such other documents, governmental certificates, and agreements as the Administrative Agent may reasonably request. 

13. The Administrative Agent shall have received insurance certificates, dated not more than ten (10) business days prior to the Closing
Date from the Company describing in reasonable detail the insurance maintained by the Credit Parties as required by the Credit Documents. 

14. The Administrative Agent and each Lender who has requested the same shall have received, at least fifteen (15) business days prior to
the Closing Date, (a) all documentation and other information regarding the Borrowers and the other Credit Parties in connection with applicable “know your customer” and anti-money laundering rules and regulations, including the
Patriot Act, and (b) to the extent applicable, in connection with “beneficial ownership” rules and regulations, a customary certification regarding beneficial ownership or control of the Borrowers in a form reasonably satisfactory to
the Administrative Agent and each requesting Lender. On the Closing Date, the organizational structure of the Company and its subsidiaries and their jurisdictions of organization, the Borrowers, and the Guarantors must all be satisfactory to the
Administrative Agent and the Lenders in their discretion. 
 15. Each of (a) that certain Contractual Service Agreement, dated as of
February 5, 2016, between Diamond Offshore Company and Hydril USA Distribution LLC, and (b) that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited and EFS BOP, LLC (collectively, the
“PCbtH Contracts”) receive treatment in the Chapter 11 Cases, including under the Plan, that is reasonably acceptable to the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement). 

16. The Administrative Agent shall have (a) received executed copies of all material contracts of the Company and its Restricted
Subsidiaries certified as true, correct, and complete as of the Closing Date and (b) completed a satisfactory review of all such material contracts. 

17. The Administrative Agent shall have received an appraisal with respect to each Rig that is to be given Rig Value in the definition
thereof, performed by Arctic Offshore, in form and detail, and of a type, and with assumptions and methodology reasonably satisfactory to the Administrative Agent. 

  

62            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 18. With respect to the Chapter 11 Cases, the overall size of the claims pool for general
unsecured claims (excluding any claims resulting from the rejection or recharacterization of the PCbtH Contracts) to be unimpaired and paid in full pursuant to the Plan on the Effective Date (as defined in the Plan) is reasonably acceptable to the
Requisite Consenting Stakeholders (for the avoidance of doubt, if the overall size is materially consistent with the estimate provided by the Debtors to the Consenting Stakeholders’ Advisors (as defined in the Plan Support Agreement) on
November 14, 2020, then such size shall be deemed reasonably acceptable).1 

 

	1 	 The estimate provided by the Debtors to the Consenting Stakeholders’ Advisors on November 14, 2020
included an estimate of approximately $26 million of general unsecured trade claims (excluding any claims resulting from the rejection or recharacterization of the PCbtH Contracts), administrative claims related to cure amounts, and priority claims
under section 503(b)(9) of the Bankruptcy Code, excluding any postpetition interest that may be payable on account of such claims pursuant to the Plan, if any, to be unimpaired and paid in full pursuant to the Plan on the Effective Date. For the
avoidance of doubt, such estimate does not include any Priority Tax Claims (as defined in the Plan). 

  

63            Summary of Terms and Conditions 

 EXHIBIT B 

EXIT TERM LOAN FACILITY TERM SHEET 

 
SUMMARY OF TERMS AND CONDITIONS 

DIAMOND FOREIGN ASSET COMPANY 
 Each
capitalized term used and not defined in this Summary of Terms and Conditions (this “Term Sheet”) shall have the meaning ascribed such term in Addendum A attached hereto or the Summary of Terms and Conditions for the Up to $400
Million Senior Secured Revolving Credit Facility attached as Exhibit A to the Plan (as hereinafter defined) (the “First Out RCF Term Sheet”), as applicable. 

This Term Sheet is provided for discussion purposes only and does not constitute an offer, agreement, or commitment to enter into such proposal. This Term
Sheet is intended as an outline of certain of the material terms of a possible restructuring for Diamond Offshore Drilling, Inc. and does not purport to summarize all of the conditions, covenants, representations, warranties and other provisions
which would be contained in definitive documentation for such restructuring. Any such restructuring would be subject to, among other things, satisfactory completion of due diligence and definitive documentation, the mutual agreement of the
parties, and all necessary formal credit approvals. 
 This Term Sheet is being delivered to you as a statement made in connection with settlement
discussions and compromise negotiations and this Term Sheet and the information contained herein, is therefore subject to Rule 408 of the Federal Rules of Evidence. 

Up to $200 Million Senior Secured Term Loan Facility 
  

			
	Term Loan Facility:	  	 Term loan facility (the “Term Loan Facility”) in an original aggregate principal amount (such
amount, the “Facility Amount”) equal to (x) $500 million minus (y) the “Commitment Amount” under the First Out RCF, which Facility Amount shall not be less than $100.0 million nor more than
$200.0 million.

		
		  	 The obligations of the Credit Parties (as defined below) under the Term Loan Facility, including, without limitation,
all obligations to pay principal of and interest on the Loans (as defined below), and to pay fees, costs, expenses, indemnities and other obligations under the Term Loan Facility and any Term Loan Documents (as defined below), are collectively
referred to herein as the “Obligations”.

		
		  	 “Term Loan Documents” means the definitive documentation entered into in connection with the Term Loan
Facility including without limitation all guarantees, all security documentation, and the First Out/Last Out Intercreditor Agreement (as hereinafter defined).

		
	Borrower:	  	 Diamond Foreign Asset Company, a Cayman Islands company limited by shares (the
“Borrower”).

		
	Guarantors:	  	 Each entity that is a borrower, issuer or guarantor under any of the First Out RCF, the Last Out Notes, and the
Last Out Incremental Debt (if any). 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
	 Joint Lead Arrangers
 and Joint
Lead
Bookrunners:
	  	 Wells Fargo Securities, LLC and the other joint lead arrangers and joint bookrunners under the Existing Credit
Agreement to the extent such institutions are lenders under the credit agreement governing the First Out RCF (the “Lead Arrangers”). 

		
	 Administrative Agent
 & Collateral
Agent:
	  	 An institution chosen by, or acceptable to, the Lead Arrangers, shall be the administrative agent for the Term
Loan Facility (in such capacity, the “Administrative Agent”), and Wells Fargo Bank, National Association (“Wells Fargo Bank”) (or its designee) shall be the collateral agent for the Term Loan Facility, the First Out
RCF, the Last Out Notes, and the Last Out Incremental Debt (if any) (in such capacity, the “Collateral Agent”). Collateral agency arrangements to be agreed.

		
	Syndication Agents:	  	 Financial institution(s) to be determined by the Lead Arrangers.

		
	 Documentation
 Agents:
	  	 Financial institution(s) to be determined by the Lead Arrangers.

		
	Lenders:	  	 Each financial institution party to the Existing Credit Agreement whose claims thereunder are satisfied in whole
or in part with the Loans under the Term Loan Facility pursuant to the Plan and the Confirmation Order (collectively, the “Lenders” and each individually, a “Lender”).

		
		  	 Any Lender that is also (or whose affiliate is) a direct or indirect equityholder of the Company (an
“Affiliated Lender”) will not receive information provided solely to Lenders by the Administrative Agent or any Lender and will not be permitted to attend or participate in conference calls or meetings attended solely by the Lenders
and the Administrative Agent.

		
	 Collateral &

Intercreditor
 Arrangements:
	  	 The Obligations will be secured by the same liens, security interests, and pledges as the First Out RCF, the Last Out
Notes, and the Last Out Incremental Debt (if any) (the “Collateral”) and will be created under, and governed by, the same collateral documents, subject to any local law requirements.

		
		  	 The Term Loan Documents shall also include customary negative pledges on all assets of the Credit Parties (with certain
customary exceptions and thresholds), in each case, to be mutually agreed and subject to permitted liens. 

		
		  	 The secured and guaranteed obligations under the Term Loan Facility shall include the obligations of the Credit Parties
under the Term Loan Facility, the Term Loan Documents, and the Guarantees.

  

3            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 The priority of the security interests and related creditor rights among the Term Loan Facility, the First Out RCF, the
Last Out Notes, and the Last Out Incremental Debt (if any) will be set forth in a customary first out/last out intercreditor agreement to be negotiated in good faith and on terms and conditions to be reasonably agreed (the “First Out/Last
Out Intercreditor Agreement”). The First Out/Last Out Intercreditor Agreement shall provide that the payment obligations under the Term Loan Facility, the Last Out Notes, and the Last Out Incremental Debt rank pari passu with each other,
but junior to the payment obligations under the First Out RCF in all respects.

		
	Purpose:	  	 The repayment of certain indebtedness to the Lenders under the Existing Credit Agreement.

		
	Funding Options:	  	 The Borrower shall be deemed to have borrowed loans in a single drawing (the “Loans”) on the
Closing Date in the amount of the Facility Amount. Amounts borrowed (or deemed borrowed) under the Term Loan Facility that are repaid or prepaid may not be reborrowed. All Loans shall be made in U.S. Dollars. 

		
	Closing Date:	  	 The date of the satisfaction or waiver of the Conditions Precedent (such date, the “Closing
Date”).

		
	Maturity Date:	  	 One business day prior to the sixth anniversary of the Closing Date (such date, the “Maturity
Date”).

		
	Interest Rates:	  	 Interest on Loans will accrue based on (i) the Base Rate, plus the Applicable Margin (as defined
below), or (ii) the LIBOR Rate, plus the Applicable Margin, in each case as selected by the Borrower. The LIBOR Rate will be subject to LIBOR replacement provisions consistent with the policies of the Administrative Agent, ARRC
guidelines, and bank market practice as of the Closing Date.

		
	Interest Payments:	  	 Interest on each Base Rate Loan shall be payable quarterly in arrears on the last business day of each calendar
quarter; interest on each LIBOR Rate Loan shall be payable at the end of each Interest Period applicable thereto and, if such Interest Period is longer than three (3) months, every three months during such Interest Period, and all accrued and
unpaid interest on the Loans shall be payable in full on the Maturity Date and, with respect to interest accrued on any principal prepaid, on the date of such prepayment.

		
	Funding:	  	 The Borrower shall provide prior written notice (or telephonic notice promptly confirmed in writing) of the
deemed funding of Loans to occur on the Closing Date and interest rate conversions to the Administrative Agent (i) by 11:00 a.m. ET on the date of borrowing with respect to Base Rate Loans; and (ii) by 11:00 a.m. ET at least three
(3) business days in advance with respect to LIBOR Rate Loans. LIBOR Rate Loans shall be in minimum amounts of $2.5 million and Base Rate Loans shall be in minimum amounts of $500,000 and, in each case, if above such amounts, in an
integral multiple of $500,000. No more than a total of five (5) Loans subject to LIBOR Rate pricing may be in effect at any time under the Term Loan Facility.

  

4            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		
	Amortization:	  	 None.

		
	Early Repayments:	  	 Subject to the limitations set forth in the First Out/Last Out Intercreditor Agreement and the First Out RCF,
prepayment of Loans (including, for the avoidance of doubt, any AHYDO catchup payment) may be made, without premium or penalty, at any time in whole or in part (other than the payment of customary LIBOR breakage amounts). The Borrower must give
the Administrative Agent notice by 11:00 a.m. ET at least three (3) business days prior to any prepayment of LIBOR Rate Loans and notice by 11:00 a.m. ET on the date of any prepayment of Base Rate Loans, and any such prepayments shall be in
minimum amounts of $2.5 million with respect to LIBOR Rate Loans and $500,000 with respect to Base Rate Loans or such smaller amount as needed to prepay a certain Loan in full or to make an AHYDO catchup payment.

		
	Mandatory Prepayments:	  	 Subject to the limitations set forth in the First Out/Last Out Intercreditor Agreement and the First Out RCF,
mandatory prepayment provisions to be the same as the Last Out Notes and, in addition, concurrently with the repayment or redemption (whether mandatory or optional) of any principal amount of the Last Out Notes or the Last Out Incremental Debt, the
Borrower shall prepay the Loans in an aggregate principal amount equal to the proportional repayment amount applied to the indebtedness under the Last Out Notes or the Last Out Incremental Debt, as applicable.

		
		  	 Notwithstanding the foregoing, the repayment of any portion of the Loans at any time shall be subject in all respects
to the terms of the First Out/Last Out Intercreditor Agreement and the First Out RCF.

		
	Payments:	  	 All payments by the Borrower shall be made not later than 12:00 p.m. ET to the Administrative Agent in
immediately available funds, free and clear of any defenses, set-offs, counterclaims, or withholdings or deductions for taxes, subject to customary exceptions in accordance with the policies of the
Administrative Agent. Any Lender not organized under the laws of the United States or any state thereof (and any Lender that is disregarded for U.S. federal income tax purposes from, or is treated as partnership for U.S. federal income tax purposes
and has a partner that is, a Person that is not organized under the laws of the United States or any state thereof) must, prior to the time it becomes a Lender, furnish the Borrower and the Administrative Agent with forms or certificates as may be
appropriate to verify that such Lender would, if any interest payments were U.S. sourced, be exempt from U.S. tax (including FATCA) withholding requirements.

  

5            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		
	Applicable Margin; Reference Rate Floor; Default Rate:	  	The margin applicable to Loans bearing interest based on the LIBOR Rate shall be, at the Borrower’s option, one of the following (the “LIBOR Applicable Margin”:
		
		  	 (a)   6.00%, paid in cash;

		
		  	 (b)   4.00% paid in cash, and an additional 4.00% paid in kind and capitalized
on such interest payment date by adding such paid in kind interest to the principal of the Loans; or

		
		  	 (c)   10.00% paid in kind and capitalized on such interest payment date by
adding such paid in kind interest to the principal of the Loans.

		
		  	 The margin applicable to Loans bearing interest based on the Base Rate shall be, at the Borrower’s option, one of
the following (the “Base Rate Applicable Margin”, and together with the LIBOR Applicable Margin, collectively, the “Applicable Margin”):

		
		  	 (a)   5.00%, paid in cash;

		
		  	 (b)   3.50% paid in cash, and an additional 3.50% paid in kind and capitalized
on such interest payment date by adding such paid in kind interest to the principal of the Loans; or

		
		  	 (c)   9.00% paid in kind and capitalized on such interest payment date by adding
such paid in kind interest to the principal of the Loans.

		
		  	 The LIBOR Rate shall be subject to a floor of 1.0%, and the Base Rate shall be subject to a floor of
2.0%.

		
		  	 In addition, (a) automatically upon the occurrence and during the continuation of any payment event of default or
upon a bankruptcy event of default of any Credit Party or (b) at the election of the Required Lenders (or the Administrative Agent at the direction of Required Lenders), upon the occurrence and during the continuation of any other event of
default, all outstanding principal, fees, and other obligations under the Term Loan Facility shall bear interest at a rate per annum of 2.0% in excess of the rate then applicable to such loans (including the applicable margin), fee, or other
obligation and shall be payable on demand of the Administrative Agent.

		
	Fees:	  	 The Borrower shall pay the Administrative Agent and the Collateral Agent such additional fees as may be agreed
in the Fee Letter. No fees shall be payable to any Lender in connection with the Term Loan Facility (including, without limitation, any fees payable to the Collateral Agent and the Administrative Agent) except as set forth herein or as permitted by
the First Out/Last Out Intercreditor Agreement.

  

6            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
	 Funding Costs;
 Yield Protection
and
 Defaulting Lenders;
 LIBOR
Replacement;
 Etc.:
	  	 Usual and customary provisions, including provisions for such matters as increased costs, funding losses,
capital adequacy, liquidity, illegality and taxes, subject to Lender mitigation requirements, provisions in respect of Defaulting Lenders (to be defined consistent with the Documentation Principles) and the Borrower’s rights to replace Lenders.
Customary EU/UK bail-in, supported QFC, and division of LLCs.

		
		  	 The Term Loan Documents shall contain customary language governing the protocol to obtain a replacement interest rate
for LIBOR (the “Benchmark Replacement”), in accordance with the policies of the Administrative Agent, ARRC guidelines, and bank market practice as of the Closing Date.

		
	 Conditions Precedent:
	  	 The conditions precedent to the Closing Date and the deemed funding of the Term Loan Facility (the
“Conditions Precedent”) are set forth on Addendum B.

		
	 Documentation

Principles:
	  	 The Term Loan Documents shall, subject to the Agreed Security Principles, (a) contain those terms and
conditions set forth in this Term Sheet and the Fee Letter and (b) otherwise contain terms and conditions that are usual and customary for similar first lien last out secured exit term loan facilities for offshore drilling companies or other
global oilfield services company as of the Closing Date, subject to modifications, to be mutually agreed, to reflect (i) the terms and conditions set forth in the Plan Support Agreement and this Term Sheet, (ii) the internal policies of
the Administrative Agent, and (iii) changes in regulatory considerations, market practice, law, and accounting standards (the foregoing, collectively, the “Documentation Principles”).

		
	 Representations and

Warranties:
	  	 To be the same as the First Out RCF, subject to any changes to reflect the last out term loan nature of this
Term Loan Facility.

		
	 Affirmative Covenants:
	  	 To be the same as the First Out RCF, subject to any changes to reflect the last out term loan nature of this
Term Loan Facility; provided that (a) the requirement to deliver compliance certificates, fleet status certificates, and appraisals shall be limited to delivery of those compliance certificates, fleet status certificates, and appraisals
required to be delivered to the lenders under the First Out RCF and (b) the Borrower shall obtain a credit rating with respect to the Term Loan Facility to the extent that the Borrower obtains a credit rating with respect to the Last Out Notes
or any Last Out Incremental Debt (if any).

  

7            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
	 Collateral Coverage

Ratios:
	  	None.
		
	 Negative Covenants:
	  	Limited to the following limitations on the Company and its Restricted Subsidiaries, subject to usual and customary exceptions, thresholds, and qualifications consistent with the Documentation Principles:
		
		  	 1.  Incurrence or existence of indebtedness, with exceptions including:

		
		  	(a) the First Out RCF in an aggregate principal amount not to exceed (i) an amount equal to up to $400 million (it being understood that such amount will be determined by the number of Existing RCF Lenders that provide
commitments under the First Out RCF in accordance with the Plan and Plan Support Agreement on the Closing Date and shall be reduced dollar-for-dollar, to a minimum of
$300.0 million, by the amount by which the Term Loan Facility exceeds $100.0 million), plus (ii) any upfront fees paid-in-kind in accordance with the terms
thereof in effect on the Closing Date,
		
		  	(b) the Last Out Notes in an aggregate principal amount not to exceed the sum of (i) $75.0 million, plus (ii) up to $35.0 million of principal in respect of additional notes issued thereunder, so long as the Company
demonstrates and certifies pro forma compliance with the Total Collateral Coverage Ratio at the time such additional notes are issued, plus (iii) $9.9 million of fees on such principal amount, paid-in-kind, plus (iv) any interest thereon paid-in-kind in accordance with the terms thereof in effect on the Closing
Date,
		
		  	(c) any Last Out Incremental Debt in an aggregate principal amount not to exceed the sum of (i) $135.0 million so long as the Company demonstrates and certifies pro forma compliance with the Total Collateral Coverage Ratio at
each time such debt is incurred, plus (ii) any interest thereon paid-in-kind in accordance with the terms of such Last Out Incremental Debt,
		
		  	(d) (i) capitalized lease obligations with respect to any asset other than a Rig (it being agreed that, for purposes of the Term Loan Documents, GAAP shall be defined so that lease accounting rules under generally accepted
accounting principles in the U.S. as in effect on December 31, 2018 shall apply, and leases that would have been classified as operating leases under such rules shall not constitute “capitalized lease obligations” or
“indebtedness” for purposes of the Term Loan Documents) and (ii) indebtedness secured by liens on fixed or capital assets (other than Rigs) acquired, constructed, improved, altered, or repaired by the Company or any Restricted
Subsidiary and related contracts, intangibles, and other assets that are incidental thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom, and (iii) indebtedness secured by liens on Rigs acquired or
constructed by the Company or any Restricted Subsidiary and related contracts, intangibles and other assets that are incidental

  

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		  	thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom (“Rig Debt”); provided that, in the case of this clause (d), (A) any liens securing such indebtedness must otherwise be
permitted by the Term Loan Documents, (B) such indebtedness and any liens securing it are incurred prior to or within 365 days after such acquisition or the later of the completion of such construction, improvement, alteration or repair or the
date of commercial operation of the assets constructed, improved, altered or repaired, (C) the principal amount of such indebtedness does not exceed the cost of acquiring, constructing, improving, altering or repairing such fixed or capital
assets, as the case may be (plus fees and expenses related thereto), (D) any lien securing such debt shall not apply to any other property or assets of the Company or any Restricted Subsidiary (although individual financings of equipment (other than
Rigs) may be cross-collateralized to other financings of equipment by the same lender) and such debt is non-recourse to the Company and its Restricted Subsidiaries (other than the Subsidiary that owns such
fixed or capital assets and incurred such financing), (E) any lien securing such debt shall not attach to any owned Rig (other than a Rig acquired or constructed with the proceeds of such indebtedness), (F) such indebtedness shall not have any
financial maintenance covenants, and (G) with respect to any Rig Debt, the Company has demonstrated in a certificate of a financial officer of the Company that (x) the Consolidated Total Gross Leverage Ratio is less than 2.5 to 1.0,
calculated on a pro forma basis as of the date such Rig Debt is incurred after giving effect thereto and (y) the Company is in pro forma compliance with each Collateral Coverage Ratio as of the date such Rig Debt is incurred after giving effect
thereto; provided that the aggregate outstanding principal amount of all such capitalized lease obligations and indebtedness pursuant to this clause (d) shall not exceed $100.0 million at any time;
		
		  	(e) indebtedness of any Person existing at the time such Person becomes a Subsidiary of the Company or at the time such Person is merged with or into the Company or any Subsidiary of the Company after the Closing Date other than as
a result of a division (and not incurred in anticipation of such transaction),
		
		  	(f) other indebtedness not to exceed $5.0 million at any one time outstanding pursuant to this clause (f),
		
		  	(g) any permitted refinancing of the foregoing (to the extent (i) such refinancing does not increase the principal amount of such indebtedness, (ii) such refinancing does not shorten the maturity or weighted average life
to maturity of such indebtedness, (iii) such refinancing does not add any other Restricted Subsidiary as an obligor or guarantor in respect of such indebtedness, (iv) such refinancing is not secured by (x) liens on assets other than
those existing immediately prior to such refinancing or (y) liens having a higher priority than the liens securing the indebtedness being refinanced, (v) to the extent such refinanced indebtedness is subordinated in right of

  

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		  	payment to the Obligations, such refinancing indebtedness shall be subordinated in right of payment to the Obligations and, to the extent any lien securing such refinancing indebtedness is subordinated to liens securing the
Obligations, such lien securing the refinancing indebtedness shall be subordinated to the liens securing the Obligations, (vi) in the event that such refinancing constitutes unsecured indebtedness, such refinancing indebtedness does not include
cross-defaults other than at the final stated maturity thereof and cross-acceleration, and (vii) the Company has certified to an absence of an event of default after giving effect to such refinancing),
		
		  	(h) guarantees of the foregoing, and
		
		  	(i) to the extent constituting indebtedness, the obligations under the BOP Lease as in effect on January 22, 2021 or as amended thereafter in a manner that does not materially increase the Company’s and its Subsidiaries’
obligations thereunder, provided that this clause shall not prohibit any extension of the term of such BOP Lease.
		
		  	 2.  Creation, incurrence, or existence of liens, with exceptions including
(a) the First Out RCF, the Last Out Notes, and the Last Out Incremental Debt, in each case subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance satisfactory to the Administrative
Agent, (b) liens to secure indebtedness permitted by clause 1(d) above on the assets subject to such capital lease or other financing described in such clause 1(d), and (c) expressly subordinated liens securing expressly
subordinated indebtedness not to exceed $5.0 million at any one time outstanding;

		
		  	 3.  Making of any restricted payments, with exceptions that are the same as set forth
in the First Out RCF.

		
		  	 4.  Repayment of any principal of the Last Out Notes (and if applicable, the Last Out
Incremental Debt) prior to scheduled maturity unless the Borrower makes a pro rata repayment of the Loans concurrently with such repayment of indebtedness under the Last Out Notes or Last Out Incremental Debt.

		
		  	 5.  Repayment of any principal of any indebtedness that is junior to the Term Loan
Facility prior to scheduled maturity with exceptions including, so long as no default or event of default exists and the Borrower has demonstrated and certified pro forma compliance with each Collateral Coverage Ratio, (a) repayments made after
March 31, 2023, to the extent a restricted payment could be made in accordance with the Discretionary Basket, (b) repayments made at a time when restricted payments could be made in accordance with the Unlimited Basket, and
(c) prepayments with proceeds of permitted refinancings of such indebtedness or with proceeds of new, concurrent common equity of the Company or in exchange for common equity of the Company;

  

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		  	 of the Company or in exchange for common equity of the Company;

		
		  	 6.  Modifications and amendments of the documents governing any other indebtedness
(including the First Out RCF, the Last Out Notes, and the Last Out Incremental Debt), except as permitted by the First Out/Last Out Intercreditor Agreement;

		
		  	 7.  Investments, with exceptions that are the same as set forth in the First Out
RCF;

		
		  	 8.  Transactions with affiliates, with exceptions that are the same as set forth in
the First Out RCF;

		
		  	 9.  Asset sales (which shall limit the sale of Rigs and other material assets), with
exceptions that are the same as set forth in the First Out RCF; provided that any asset sales permitted under the First Out RCF (as in effect from time to time) shall be permitted under the Term Loan Documents without restriction or any further
action;

		
		  	 10.  Fundamental changes, with exceptions that are the same as set forth in the First
Out RCF;

		
		  	 11.  Restrictive agreements and negative pledges of the Credit Parties, with
exceptions that are the same as set forth in the First Out RCF;

		
		  	 12.  Customary provisions to be the same as set forth in the First Out RCF related to
Restricted and Unrestricted Subsidiaries;

		
		  	
13.  Sale-and-leaseback
transactions, to be the same as set forth in the First Out RCF;

		
		  	 14.  Use of proceeds;

		
		  	 15.  Change of ownership or operator of any Rig, change of registered flag registry of
Rigs, change of legal names of the Borrower or any Guarantor, change of type of organization and jurisdiction of organization of any Credit Party, in each case to be the same as set forth in the First Out RCF;

		
		  	 16.  Line of business, to be the same as set forth in the First Out RCF;

		
		  	 17.  Sanctions, anti-corruption, and anti-money laundering laws and regulations, to be
the same as set forth in the First Out RCF; and

		
		  	 18.  Provisions with respect to control agreements and deposit, securities, and
commodity accounts, in each case to be the same as set forth in the First Out RCF but subject to the First Out/Last Out Intercreditor Agreement.

  

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	Events of Default:	  	To be the same as the First Out RCF with changes to reflect the last out term loan nature of this Term Loan Facility.
		
	 Participation and

Assignments:
	  	Assignments of the Term Loan Facility by any Lender to other banks and financial institutions will be permitted with the prior written approval of the Administrative Agent (such approval not to be unreasonably withheld or
delayed); provided that (a) no assignments or participations shall be made at any time to any Disqualified Institutions, and (b) no approval by the Administrative Agent shall be required for any assignment to another Lender, an affiliate of a
Lender or to an Approved Fund (to be defined the same as in the First Out RCF). Assignments will be in a minimum amount of not less than $5.0 million. An administrative fee of $3,500 shall be due and payable by such assigning Lender to the
Administrative Agent upon the occurrence of any assignment.
		
		  	Participations to other banks and financial institutions, other than Disqualified Institutions (without the Borrower’s prior written approval), will be permitted without restriction. Such participation will not release the
selling Lender from its obligations with respect to the Term Loan Facility. Participants will have the same benefits as syndicate Lenders with regard to yield protection and increased costs (but will not be permitted to receive amounts greater than
the transferring Lender) and will, subject to the confidentiality provisions to be contained in the Term Loan Documents, be permitted to receive information from Lenders with respect to the Borrower.
		
	 Required Lenders and
 Affiliated
Lenders:
	  	Lenders holding more than 50% of the outstanding Loans (collectively, the “Required Lenders”); provided that no amendment or waiver shall (a) reduce the amount of or postpone the date for any
required payment of any principal of or interest on any Loan or of any fee payment under the Term Loan Documents without the consent of each Lender owed any such amount (in each case, other than in connection with a waiver of any default or event of
default), (b) unless signed by each Lender, change the amendment provisions of the Term Loan Documents or the definition of “Required Lenders” or the number of Lenders required to take any action under any other provision of the Term Loan
Documents, (c) without the consent of each Lender, release all or substantially all of the Collateral or, except as may otherwise be permitted by the Term Loan Documents, all or substantially all of the Guarantors, or (d) without the
consent of each Lender, affect the pro rata treatment of Lenders in a manner consistent with the First Out RCF. Defaulting Lenders will be subject to the suspension of certain voting rights. Notwithstanding the foregoing the Administrative Agent may
(without the consent of the Lenders) enter into amendments or modifications to the Term Loan Documents in order to implement the Benchmark Replacement in accordance with the terms thereof and to fix ambiguities, defects, typographical and other
obvious errors.

  

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		  	For the purposes of any amendment or waiver of a Term Loan Document other than an amendment or waiver (a) requiring the consent of each Lender or each affected Lender (and where such Affiliated Lender is an affected Lender) or
(b) that would deprive such Affiliated Lender of its pro rata share of any payments to which it is entitled, the consent of any Affiliated Lender shall not be required, and each Affiliated Lender will be deemed to have voted in the same
proportion as the Lenders that are not Affiliated Lenders voting on such matter. In the calculation of such proportions, the Loans held by Affiliated Lenders shall be disregarded in determining other Lenders’ loan percentages. Notwithstanding
anything to the contrary herein, and for the avoidance of doubt, the dates of any interest payments and the dates of any scheduled maturity of amounts owed to any Affiliated Lender under the Term Loan Documents will not be extended, and the amounts
owning to any Affiliated Lender under the Term Loan Documents will not be reduced, in each case without the consent of such Affiliated Lender.
		
		  	Furthermore, Affiliated Lenders shall not have any right to (a) attend (including by telephone) any meeting or discussions (or portion thereof) among the Administrative Agent or any Lender to which representatives of the
Borrower is not then present, (b) receive any information or material prepared by the Administrative Agent or any Lender or any communication by or among Administrative Agent and one or more Lenders, except to the extent such information or
materials have been made available to the Borrower or its representatives (and in any case, other than the right to receive notices of prepayments and other administrative notices in respect of its Loans required to be delivered to the Lenders), or
(c) make or bring (or participate in, other than as a passive participant in or recipient of its pro rata benefits of) any claim, in its capacity as a Lender, against the Administrative Agent or any other Lender with respect to any duties or
obligations or alleged duties or obligations of the Administrative Agent or any other Lender under the Term Loan Documents.
		
		  	If the Company or any Subsidiary of the Company shall have any securities registered under the Exchange Act or issued pursuant to Rule 144A under the Securities Act of 1933, or shall otherwise be subject to the reporting obligations
under the Exchange Act, except as previously disclosed to the Administrative Agent and the Lenders (other than Lenders who do not wish to receive non-public information), the Affiliated Lender shall not have
any material non-public information with respect to the Company or any of its Subsidiaries.
		
	 Expenses;

Indemnification:
	  	To be the same as the First Out RCF with changes to reflect the last out term loan nature of this Term Loan Facility. 
		
	 Stamp Duty &
 Other
Taxes:
	  	To be the same as the First Out RCF.

  

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	Governing Law:	  	State of New York; except that mortgages with respect to any Rigs shall be governed by laws of the Marshall Islands to the extent applicable and other Term Loan Documents related to the Collateral may be governed by
applicable non-New York or non-U.S. law.

  

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 ADDENDUM A 

CERTAIN DEFINED TERMS 

“Fee Letter” means that certain Fee Letter to be entered into in connection with the Term Loan Facility among the
Borrower, the Company, the Administrative Agent and any other parties thereto. 
 “First Out RCF” means the first
lien first out revolving credit facility entered into in accordance with, and pursuant to, the Plan, (a) in respect of which no Subsidiary of the Company (other than the Borrower and Guarantors) is an obligor, (b) the terms of which do not
restrict the ability of the Borrower or any of its Restricted Subsidiaries from amending, modifying, restating, or otherwise supplementing the credit agreement governing the Term Loan Facility or the other Term Loan Documents except as permitted by
the First Out/Last Out Intercreditor Agreement or another applicable intercreditor agreement in form and substance satisfactory to the Administrative Agent, (c) the terms of which do not restrict the ability of the Company or any of its
Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for the Obligations on a last out basis, and (d) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form
and substance satisfactory to the Administrative Agent. 
 “Last Out Incremental Debt” means any first lien last out
secured indebtedness issued after the Closing Date, (a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the latest of (i) the 365th day after the “Commitment Termination Date” under the First Out RCF, (ii) the Maturity Date, and (iii) the scheduled maturity date of the Last Out Notes (other than customary
offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration rights following an event of default), (b) the covenants, events of default, guarantees, collateral requirements, and other terms of
which (other than interest rate, fees, funding discounts and redemption or prepayment premiums and other pricing terms determined by the Borrower to be “market” rates, fees, discounts, and other premiums at the time of issuance or
incurrence of any such notes), taken as a whole, are not more restrictive or burdensome than those set forth in the credit agreement governing the Term Loan Facility and the other Term Loan Documents and do not contain any financial ratio that is
more restrictive in respect of the corresponding ratio in the Term Loan Facility or that is not contained in the Term Loan Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrower and Guarantors) is an obligor,
(d) the terms of which do not restrict the ability of the Borrower or any of its Restricted Subsidiaries from amending, modifying, restating, or otherwise supplementing the credit agreement governing the Term Loan Facility or the other Term
Loan Documents, except as permitted by the First Out/Last Out Intercreditor Agreement or another applicable intercreditor agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the
ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans (but may provide
that, concurrently with the repayment or prepayment of the Loans, the Borrower shall be required to repay indebtedness under the Last Out Incremental Debt in an aggregate principal amount equal to the proportional repayment or prepayment amount of
the Loans), and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance satisfactory to the Administrative Agent. 

  

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 “Last Out Notes” means any first lien last out secured notes issued
pursuant to the Plan, (a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the later of (i) the Maturity Date and (ii) the 365th day after the “Commitment Termination Date” under the First Out RCF (other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and
customary acceleration rights following an event of default), (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and redemption or prepayment
premiums and other pricing terms determined by the Borrower to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such notes), taken as a whole, are not more restrictive or burdensome than
those set forth in the credit agreement governing the Term Loan Facility and the other Term Loan Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Term Loan Facility or that is not
contained in the Term Loan Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrower and the Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrower or any of its
Restricted Subsidiaries from amending, modifying, restating, or otherwise supplementing the credit agreement governing the Term Loan Facility or the other Term Loan Documents except as permitted by the First Out/Last Out Intercreditor Agreement or
another applicable intercreditor agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge
assets as collateral security for the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans (but may provide that, concurrently with the repayment or prepayment of the Loans, the Borrower shall be required
to repay indebtedness under the Last Out Notes in an aggregate principal amount equal to the proportional repayment or prepayment amount of the Loans), and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another
intercreditor agreement in form and substance satisfactory to the Administrative Agent. 
 “Liquidity” means, as of
any date of determination, an amount equal to Specified Credit Party Cash plus RCF Availability. 
 “Plan”
means the chapter 11 plan of reorganization of the Existing Parent Borrower and certain of its subsidiaries (the foregoing Persons, collectively, the “Debtors”), as it may be altered, amended, modified, or supplemented from
time to time in accordance with the terms thereof, including the Plan Supplement (as defined in the Plan) and any annexes, supplements, exhibits, term sheets, or other attachments thereto, filed under chapter 11 of title 11 of the United States Code
(the “Bankruptcy Code”), which cases are jointly administered as Bankruptcy Case No. 20-32307 (the “Chapter 11 Cases”) before the United States Bankruptcy
Court for the Southern District of Texas (the “Bankruptcy Court”). 
 “Plan Support
Agreement” means that certain agreement between the Company and the other parties thereto, dated as of January 22, 2021, and as filed as an exhibit to the Company’s 8-K dated January 22,
2021, as amended, supplemented or otherwise modified prior to the Closing Date with the prior written consent of the Debtors and/or the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement), as applicable, in accordance with
the terms thereof. 
 “RCF Availability” means, as of any date of determination, an amount equal to the positive
difference between (a) the commitments under the First Out RCF then in effect and (b) the sum of (i) the amount of loans outstanding under the First Out RCF and letter of credit exposure under the First Out RCF as of such date and
(ii) the amount of any reduction in availability of the commitments under the First Out RCF then in effect pursuant to the paragraph entitled “Asset Sales – Temporary Availability Reduction” in the First Out RCF Term
Sheet. 

  

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 ADDENDUM B 

CONDITIONS PRECEDENT 

The availability of the Term Loan Facility on the Closing Date shall be subject solely to the satisfaction (or waiver) of the conditions
precedent set forth in the Plan Support Agreement and the satisfaction (or waiver) of the following conditions; capitalized terms used but not defined herein have the meanings set forth in the Summary of Terms and Conditions to which this
Addendum B is attached: 
 1. The Administrative Agent shall have received, subject to the Agreed Security Principles, (a) the
Term Loan Documents, which shall, in each case, (i) be consistent with the Documentation Principles and otherwise in form and substance reasonably satisfactory to the Lead Arrangers, the Lenders, and the Borrower and (ii) have been
executed and delivered by each party thereto, (b) customary officer’s closing certificates (including incumbency certificates of officers and/or directors) certifying as to organizational documents, authorizing resolutions, certificates of
existence, good standing and qualification (or such corresponding certificates or other documents to the extent the concept of good standing exists in the applicable jurisdiction) in jurisdictions of formation/organization, in each case, with
respect to the Credit Parties, a solvency certificate (with respect to the Company and its Subsidiaries on a consolidated basis as of the Closing Date after giving effect to the transactions (including all borrowings deemed made under the Term Loan
Facility) contemplated to occur on the Closing Date certified by a senior authorized financial officer of the Company), an officer’s certificate, in form and detail satisfactory to the Administrative Agent, certifying (x) a complete, true,
and correct organizational structure chart of the Company and its subsidiaries, which shall identify whether each entity on such chart is a Borrower, Guarantor, Restricted Subsidiary, Unrestricted Subsidiarity, Immaterial Subsidiary, Material
Subsidiary, Excluded Subsidiary, Rig Subsidiary, and/or such other type of entity under the Term Loan Documents and (y) the reason why each entity designated as an Excluded Subsidiary is considered to be an Excluded Subsidiary, and such other
certificates and instruments are customary for transactions of this type (including a perfection certificate (which shall include, among other things, (y) a schedule of all fee owned real property of the Credit Parties setting forth the fair
market value of each such property as determined in the reasonable discretion of the Credit Parties and (z) a schedule of all deposit, securities, and commodity accounts owned by the Credit Parties) and evidence of insurance required by the
Term Loan Documents), (c) a certificate of a financial officer certifying a calculation of the Threshold Ratio as of the Closing Date, and (d) customary favorable legal opinions of counsel to the Company and the other Credit Parties related to
the Term Loan Documents (including, in addition to other customary opinions, an opinion on no conflicts with applicable laws) and reasonably satisfactory to the Administrative Agent. 

2. All reasonable and documented fees and expenses due on the Closing Date to the Administrative Agent, the Collateral Agent, and the Lenders
shall have been paid in full in cash on the Closing Date, to the extent invoiced at least two (2) business days prior to the Closing Date (or such later date as the Borrower may reasonably agree), including any fees set forth in the Fee Letter.

 3. The Administrative Agent shall have received evidence reasonably satisfactory to it that all loans and other obligations outstanding
under the Existing Credit Agreement are being repaid substantially concurrently with the entering into the Term Loan Documents or otherwise satisfied in full and terminated in a manner consistent with the Plan (other than the HSBC Letters of Credit,
which shall be deemed issued under the credit agreement governing the First Out RCF on the Closing Date). Immediately after giving effect to the transactions contemplated hereby, the Credit Parties and their Restricted Subsidiaries shall have no
indebtedness outstanding other than 

  

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(a) the Loans under the Term Loan Facility, (b) indebtedness in respect of the First Out RCF and the Last Out Notes, and (c) any other indebtedness permitted under the Term Loan
Documents. The Administrative Agent shall have received evidence reasonably satisfactory to it that all liens on the assets of the Credit Parties and their Restricted Subsidiaries (other than liens permitted by the Term Loan Documents) have been
released or terminated and that duly executed recordable releases and terminations in forms reasonably acceptable to the Administrative Agent with respect thereto have been obtained by the Company. 

4. (a) The terms of the Plan shall be substantially consistent with the Plan Support Agreement and otherwise reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement), and such Plan Support Agreement shall not have been amended or modified in any manner that is adverse (as determined in good faith by the
Administrative Agent) to the rights and interests of the Lead Arrangers, the Administrative Agent or any Lender and their respective affiliates, in their capacities as such, relative to the version filed with the Bankruptcy Court on January 22,
2021, without written consent of the Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) and (b) an order of the Bankruptcy Court in form and substance reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) shall have been entered confirming the Plan and shall have become a final order of the Bankruptcy Court, which order shall not have been stayed,
reversed, vacated, amended, supplemented or otherwise modified in any manner that would reasonably be expected (as determined in good faith by the Administrative Agent) to adversely affect the interests of the Lead Arrangers, the Administrative
Agent or the Lenders and their respective affiliates, in their capacity as such, or the treatment contemplated by the Plan to the Existing RCF Lenders under the Existing Credit Agreement without the written consent of the Administrative Agent and
the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) (the “Confirmation Order”); provided that the possibility that an appeal or a motion under Rule 60 of the Federal Rules of Civil Procedure or any
analogous rule under the Federal Rules of Bankruptcy Procedure, may be filed relating to such order, shall not cause such order to not be a final order. 

5. The Plan and all transactions contemplated therein or in the Confirmation Order to occur on the effective date of the Plan shall have been
(or substantially concurrently with the Closing Date, shall be) substantially consummated (as defined in Section 1101 of the Bankruptcy Code) in accordance with the terms thereof and in compliance with applicable law and Bankruptcy Court and
regulatory approvals. 
 6. The Administrative Agent shall have received a certificate of a responsible officer of the Company certifying
that (a) all material governmental and third party approvals necessary in connection with the consummation of the Plan and the other transactions contemplated thereby, and the continuing operations of the Company and its Restricted Subsidiaries
shall have been obtained (or will be substantially concurrently obtained) and be in full force and effect, (b) that all representations and warranties set forth in the credit agreement governing the Term Loan Facility and the other Term Loan
Documents are true and correct in all material respects (unless such representations are qualified by materiality or by a Material Adverse Effect qualification, in which case, such representations and warranties shall be true and correct in all
respects), (c) no Default or Event of Default shall have occurred and be continuing or shall occur as a result of the initial extensions of credit or from the application of proceeds thereof, (d) no material litigation, arbitration or similar
proceeding shall be pending or threatened which calls into question the validity of the credit agreement governing the Term Loan Facility, the other Term Loan 

  

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Documents, or any of the transactions contemplated thereby, and (e) that since January 22, 2021, no Closing Date Material Adverse Effect (as defined below) shall have occurred. Solely for
purposes of this paragraph 6, “Closing Date Material Adverse Effect” means any event, change, effect, occurrence, development, circumstance or change of fact occurring or existing after January 22, 2021 that, individually or
in the aggregate, has had, or would reasonably be expected to have, a material adverse effect on (i) the business, assets, properties, operations, liabilities (actual or contingent) or condition (financial or otherwise) of the Credit Parties,
taken as a whole, or (ii) the Borrower’s ability, individually, or the ability of the Credit Parties, taken as a whole, to perform its or their obligations under, or to consummate the transactions contemplated by the Term Loan Documents,
including in connection with the Term Loan Facility; provided, however, that any change arising from or related to any of the following shall not constitute a Closing Date Material Adverse Effect or be taken into account in determining
whether a Closing Date Material Adverse Effect has occurred or would reasonably be expected to occur: (A) customary occurrences as a result of events leading up to and following the commencement of a proceeding under chapter 11 of the
Bankruptcy Code and the Chapter 11 Cases and actions taken in connection with the Chapter 11 Cases that are directed or authorized by the Bankruptcy Court and made in compliance with the Bankruptcy Code; and (B) any action or omission required,
specifically permitted or contemplated to be taken or omitted by any of the Credit Parties, the Debtors or their Subsidiaries pursuant to the Plan Support Agreement or any Term Loan Document or which is otherwise taken or omitted with the consent,
or at the request, of the Administrative Agent and the Required Lenders under the Term Loan Facility. 
 7. The Administrative Agent shall
have received evidence that (a) the Company has received, substantially simultaneously with the effectiveness of the Term Loan Facility, no less than $75.0 million in new gross cash proceeds from the Last Out Notes pursuant to an indenture
in form and substance reasonably satisfactory to the Administrative Agent (which, for the avoidance of doubt, shall include a commitment from the noteholders thereunder to provide no less than $35.0 million at a later date subject to certain
specified conditions acceptable to the Administrative Agent), (b) the First Out RCF shall have become effective, substantially simultaneously with the effectiveness of the Term Loan Facility (i) with aggregate commitments from lenders
thereunder equal to or in excess of $300.0 million (before giving effect to the increase to such commitments in the amount of the upfront fees paid in kind in accordance therewith), and (ii) the aggregate amount of the loans thereunder and
letter of credit exposure on the Closing Date, after giving pro forma effect to any funding or deemed funding on the Closing Date, not exceeding an amount equal to (A) $100.0 million, including any loans made or deemed made thereunder in
exchange for obligations owing under the Existing Credit Agreement, plus (B) the face amount of the HSBC Letters of Credit deemed issued thereunder on the Closing Date, plus (C) the amount of the upfront fees paid in kind in
accordance therewith, minus (D) the amount by which the aggregate initial principal amount of the Term Loan Facility exceeds $100.0 million, and (c) the First Out/Last Out Intercreditor Agreement shall have been duly executed
and delivered by each of (x) the Administrative Agent (with the consent of the requisite Lenders), (y) the requisite lenders or an authorized lender representative (with the consent of the requisite lenders) in respect of the First Out RCF, and
(z) the requisite holders of the Last Out Notes or an authorized representative thereof (with the consent of the requisite noteholders) (collectively, the “Consenting Stakeholders”). 

  

19            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 9. The Lead Arrangers shall have received (a) audited consolidated balance sheets and
related statements of income, stockholders’ equity and cash flows of the Company and its subsidiaries, for the three most recently completed fiscal years ended at least ninety (90) days before the Closing Date (together with consolidating
financial statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (b) unaudited consolidated balance sheets and related statements of income, stockholders’ equity and
cash flows of the Company and its subsidiaries, for each subsequent fiscal quarter ended at least forty-five (45) days before the Closing Date in each case, together with the corresponding comparative period from the prior fiscal year (together with
consolidating financial statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (c) unaudited interim monthly consolidated financial statements prepared by management of the
Company and its subsidiaries, for each subsequent calendar month ending at least ten (10) business days before the Closing Date, (d) a pro forma unaudited consolidated balance sheet of the Company and its Restricted Subsidiaries as of the
Closing Date (as if the Closing Date had occurred on the last date of the most recently ended fiscal quarter or calendar month for which financial statements are required to be provided pursuant to clause (b) or (c) above,
adjusted to give effect to the making of the initial extensions of credit under the Term Loan Facility, the application of the proceeds thereof and to the other transactions contemplated to occur on the Closing Date), which balance sheet shall
(i) not reflect any pro forma adjustments to give effect to the application of fresh start accounting, (ii) not be required to meet the requirements of Regulation S-X of the Securities Act of 1933,
(iii) be certified by the chief financial officer of the Company as being prepared in good faith by the Company and (iv) reflect no indebtedness other than (x) the Loans under the Term Loan Facility, (y) indebtedness in respect of the
Last Out Notes and the First Out RCF and (z) any other indebtedness permitted under the Term Loan Documents, (e) a summary setting forth the adjustments made to the financial information contained in the consolidated balance sheet for the
most recently ended fiscal quarter or calendar month previously delivered to the Lead Arrangers pursuant to clause (b) or (c) above that are reflected in the pro forma balance sheet referred to in clause (d) above, (f)
a financial forecast of the Company and its Restricted Subsidiaries for the 24-month period commencing December 31, 2020, on a quarterly basis, and (g) a budget for the Company and its Restricted
Subsidiaries for the fiscal year ending December 31, 2021. 
 10. Subject to the Agreed Security Principles, all actions reasonably
necessary to establish that the Collateral Agent will have a perfected first priority security interest (subject to permitted liens) in the Collateral (as described in the section titled “Collateral” in the Term Sheet) shall have
been taken, including, (a) delivery of counterparts and exhibits for Rig mortgages, pledges and security agreements, which are necessary and appropriate for filing in the appropriate jurisdictions and (b) the execution and delivery of
control agreements in connection with deposit accounts, securities accounts, and commodity accounts within 30 days of the Closing Date (other than (a) with respect to accounts located in non-U.S.
jurisdictions, which shall be delivered within 45 days of the Closing Date and (b) with respect to any accounts held at JPMorgan Chase Bank, N.A. that, within 45 days after the Closing Date, are replaced by, and all amounts therein transferred
to, accounts held at HSBC Bank USA, National Association, which HSBC Bank USA, National Association accounts are subject to control agreements in favor of the Collateral Agent). 

11. The Administrative Agent shall have received (a) customary UCC or equivalent lien, maritime lien, tax and judgment lien searches for
the Credit Parties and their Restricted Subsidiaries reflecting the absence of liens and security interests other than those being released on or prior to the Closing Date or which are otherwise permitted under the Term Loan Documents,
(b) certificates of registration showing the registered ownership of each Rig and certificates of ownership and encumbrances with respect to each such Rig, (c) a Fleet Status Certificate, (d) a Rig Value Certificate,
(e) confirmation of class certificates for each Rig (other than stacked Rigs), (f) if any Credit Party is not organized under the laws of a State of the United States, evidence of appointment by such Credit Party of a process agent as its
domestic process agent in accordance with the terms of the Term Loan Documents, (g) such other documents and conditions as are reasonable and customary under applicable legal requirements or custom in connection with a guarantee given by a
foreign Credit Party, and (h) any such other documents, governmental certificates, and agreements as the Administrative Agent may reasonably request. 

  

20            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 12. The Administrative Agent shall have received insurance certificates, dated not more than
ten (10) business days prior to the Closing Date from the Company describing in reasonable detail the insurance maintained by the Credit Parties as required by the Term Loan Documents. 

13. The Administrative Agent and each Lender who has requested the same shall have received, at least fifteen (15) business days prior to
the Closing Date, (a) all documentation and other information regarding the Borrower and the other Credit Parties in connection with applicable “know your customer” and anti-money laundering rules and regulations, including the
Patriot Act, and (b) to the extent applicable, in connection with “beneficial ownership” rules and regulations, a customary certification regarding beneficial ownership or control of the Borrower in a form reasonably satisfactory to
the Administrative Agent and each requesting Lender. On the Closing Date, the organizational structure of the Company and its subsidiaries and their jurisdictions of organization, the Borrower, and the Guarantors must all be satisfactory to the
Administrative Agent and the Lenders in their discretion. 
 14. Each of (a) that certain Contractual Service Agreement, dated as of
February 5, 2016, between Diamond Offshore Company and Hydril USA Distribution LLC, and (b) that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited and EFS BOP, LLC (collectively, the
“PCbtH Contracts”) receive treatment in the Chapter 11 Cases, including under the Plan, that is reasonably acceptable to the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement). 

15. The Administrative Agent shall have (a) received executed copies of all material contracts of the Company and its Restricted
Subsidiaries certified as true, correct, and complete as of the Closing Date and (b) completed a satisfactory review of all such material contracts. 

16. The Administrative Agent shall have received an appraisal with respect to each Rig that is to be given Rig Value in the definition
thereof, performed by Arctic Offshore, in form and detail and of a type, and with assumptions and methodology reasonably satisfactory to the Administrative Agent. 

17. With respect to the Chapter 11 Cases, the overall size of the claims pool for general unsecured claims (excluding any claims resulting
from the rejection or recharacterization of the PCbtH Contracts) to be unimpaired and paid in full pursuant to the Plan on the Effective Date (as defined in the Plan) is reasonably acceptable to the Requisite Consenting Stakeholders (for the
avoidance of doubt, if the overall size is materially consistent with the estimate provided by the Debtors to the Consenting Stakeholders Advisors (as defined in the Plan Support Agreement) on November 14, 2020, then such size shall be deemed
reasonably acceptable).1 
  

	1 	 The estimate provided by the Debtors to the Consenting Stakeholders’ Advisors on November 14, 2020
included an estimate of approximately $26 million of general unsecured trade claims (excluding any claims resulting from the rejection or recharacterization of the PCbtH Contracts), administrative claims related to cure amounts, and priority claims
under section 503(b)(9) of the Bankruptcy Code, excluding any postpetition interest that may be payable on account of such claims pursuant to the Plan, if any, to be unimpaired and paid in full pursuant to the Plan on the Effective Date. For the
avoidance of doubt, such estimate does not include any Priority Tax Claims (as defined in the Plan). 

  

21            Summary of Terms and Conditions 

 EXHIBIT C 

EXIT NOTES TERM SHEET 

 DIAMOND FOREIGN ASSET COMPANY 

U.S. CO-ISSUER 

SENIOR SECURED FIRST LIEN PIK TOGGLE NOTES TERM SHEET 

This Summary of Proposed Material Terms and Conditions (this “Term Sheet”), dated as of January 22, 2021, sets forth
the material terms and conditions of the 9.00%/11.00%/13.00% senior secured first lien payment-in-kind toggle notes due 2027 (the “Notes”) to be
issued in connection with a proposed restructuring to be implemented through a chapter 11 plan (the “Plan”) of Diamond Offshore Drilling, Inc. (the “Company”) and certain of its subsidiaries
(collectively, the “Debtors”) that have filed on April 26, 2020 (the “Petition Date”) cases under chapter 11 of Title 11 of the United States Code, 11 U.S.C. § 101 et seq. (the
“Bankruptcy Code”) which cases are pending before the United States Bankruptcy Court for the Southern District of Texas (the “Bankruptcy Court”). Capitalized terms used and not otherwise defined in
this Term Sheet have the meanings assigned thereto in the Backstop and Private Placement Agreement. This Term Sheet shall be subject to the disclaimers and other provisions of the Plan Support Agreement and the Backstop and Private Placement
Agreement, as if more fully set forth herein. Matters not covered by the provisions hereof and in the Plan Support Agreement and the Backstop and Private Placement Agreement (including, without limitation, the terms of any security and guaranty
documentation and any intercreditor agreements) shall be in form and substance reasonably acceptable to the Ad Hoc Group and the Company. 
  

			
	Issuer	  	To be the same as the “Borrower” under the Exit Term Loan Facility (as defined in the Plan Support Agreement), being Diamond Foreign Asset Company, a Cayman Islands exempted company
(“DFAC”).
		
	Co-Issuer	  	U.S. Co-Issuer1
		
	Notes; Issue Amount	  	 Senior secured first lien payment-in-kind toggle notes;
aggregate principal amount equal up to $119.9 million including the aggregate principal amount of first lien payment-in-kind toggle notes issued as the backstop
premium of $9.9 million (the “Commitment Premium”); provided that $84.9 million (including the Commitment Premium) of the Notes will be issued on the Closing Date and $35.0 million of the Notes (the
“Delayed Draw Exit Notes”) may be issued at the Issuer’s option at any time prior to the date that is twenty-four months prior to the scheduled maturity of the Notes provided the conditions as set forth in the Delayed
Draw Subscription Agreement have been met. The Issuer shall have the right to cancel the commitments for Delayed Draw Exit Notes at any time by providing written notice thereof to the Trustee.

 
 The parties intend that the issue price of the Notes issued on the Closing Date for
United States federal income tax purposes will be determined, consistent with Treasury Regulations 1.1273-2(h), by allocating the sum of: (i) the value of the Rights and (ii) the Purchase Price
pro rata between the Notes issued on the Closing Date and the New Common Shares based on their respective fair market values.

 

	1 	 U.S. Co-Issuer to be a Delaware limited liability company that is a wholly owned subsidiary of DFAC that is
treated as a disregarded entity for U.S. federal income tax purposes and which owns no assets. The Issuer and the Co-Issuer are referred to herein collectively as the “Issuer”. 

			
		
	Trustee	  	Wilmington Savings Fund Society, FSB
		
	Collateral Agent	  	Wells Fargo Bank, National Association
		
	Initial Purchasers	  	 (i) All Eligible Holders (as defined below) participating in the Rights Offerings (as defined below) that validly exercise (and do not
validly revoke) their subscription rights; and
  
 (ii) Members of the Ad Hoc Group2 and any Consenting Noteholders3 that purchase Notes (a) in connection with the Private Placements (as defined below), (b) pursuant to the
Backstop and Private Placement Agreement (as further described below) and (c) in respect of the Commitment Premium.

		
	Purchase Price	  	100% of the principal amount.
		
	Use of Proceeds	  	The proceeds from the issuance and sale of the Notes shall be used to fund the Company’s cash needs in connection with and subsequent to consummation of the Plan, including to (i) repay the Revolving Credit Facility,
(ii) provide working capital to the Company and for other general corporate purposes, (iii) pay interest, fees, costs and expenses related to the Notes and (iv) pay fees and expenses incurred in connection with the restructuring and
exit transactions.
		
	Closing Date	  	The effective date of the consummation of the Plan (the “Closing Date”).
		
	Maturity	  	One business day prior to the sixth (6th) anniversary of the Closing Date (the “Maturity Date”). All references herein to the anniversaries shall be from the date of the issue of the
Notes.

  

	2 	 “Ad Hoc Group” means that certain group of holders of Senior Notes (as defined in the
Plan Support Agreement) represented by the Consenting Noteholders’ Advisors (as defined in the Plan Support Agreement). 

	3 	 Holders of Notes who join the Backstop and Private Placement Agreement are referred to as
“Consenting Noteholders.” In order to qualify, any such holder must be a QIB or an accredited investor. 

  
 3 

			
		
	Interest	  	 With respect to any interest period, at the Issuer’s option:
  

(i) 9% per annum, payable in cash semi-annually in arrears commencing on the date that is six months after the Closing Date, computed on the basis of a 360-day year composed of twelve 30-day months;
  

(ii) 11% per annum, payable semi-annually in arrears commencing on the date that is six months after the Closing Date, computed on the basis of a 360-day year composed of twelve 30-day months, with 5.5% of such interest to be payable in cash and 5.5% of such interest to be payable by issuing additional Notes
(“PIK Notes”); or
  
 (iii) 13% per annum, payable semi-annually
in arrears commencing on the date that is six months after the Closing Date, computed on the basis of a 360-day year composed of twelve 30-day months, with the entirety
of such interest to be payable by issuing PIK Notes,
  
 provided, that in each
case, after the fifth anniversary of the Closing Date, interest shall be payable only on the Maturity Date (which interest shall be an amount calculated so that the total amount of interest paid after the fifth anniversary of the Closing Date would
equal the amount that would have been paid without the foregoing proviso).

		
	Ticking Fee	  	With respect to the Delayed Draw Exit Notes, the Issuer shall pay a commitment premium of 3% per annum on the aggregate principal amount of undrawn Delayed Draw Exit Notes, payable in cash semi-annually in arrears commencing on the
date that is six months after the Closing Date, computed on the basis of a 360-day year composed of twelve 30-day months, until the earlier of (i) the date of the
issuance of the Delayed Draw Exit Notes, (ii) the date that is twenty-four months prior to the scheduled maturity of the Notes and (iii) the date of cancellation of the commitments for Delayed Draw Exit Notes by the Issuer.
		
	Notes Offering	  	 The Company will issue rights (the “Rights”) to purchase Notes to Eligible Holders4 in connection with the Plan (the “Rights Offerings”). The terms of the Rights Offerings are described in the Backstop and Private Placement
Agreement.

  

	4 	 “Eligible Holders” means all holders of eligible claims against the Company in
connection with the Plan; provided that, to the extent any issuance of Notes would not qualify for the exemption provided for under Section 1145 of the Bankruptcy Code, only a holder that certifies that it is either (A) a qualified
institutional buyer as defined in Rule 144A of the Securities Act, (B) an accredited investor (as defined in Rule 501(a) under the Securities Act), or (C) a non-U.S. person under Regulation S under
the Securities Act that is located outside of the U.S. (within the meaning of Regulation S under the Securities Act), shall be an eligible participant. 

  
 4 

			
		  	  
 The Ad Hoc Group shall enter into an agreement to subscribe, in
accordance with the Backstop and Private Placement Agreement, for any portion of the Notes not subscribed for in the Rights Offerings (including with respect to any holders of eligible claims against the Company that are not Eligible Holders), on
the terms and conditions set forth therein (the “Backstop Notes”).
  

The Company will issue Notes to certain members of the Ad Hoc Group in connection with the Plan (the “Private Placements”). The terms
of the Private Placements are described in the Backstop and Private Placement Agreement.
  

During the period commencing the first Business Day following the date of the Backstop and Private Placement Agreement and ending fourteen (14) Calendar
Days thereafter (the “Subsequent Private Placement Investor Joinder Period”), a holder of a Note Claim that is not already a party to the Backstop and Private Placement Agreement may agree in writing to be bound by all of the
terms of the Backstop and Private Placement Agreement applicable to the Subsequent Private Placement Investors (as defined therein) by executing a joinder agreement in a form substantially similar to the form attached to the Backstop and Private
Placement Agreement.

		
	Exemptions / Transfer	  	 The issuance of Rights to the creditors and the exercise of the Rights are intended to be exempt from registration under the Securities Act
pursuant to Section 1145 of the Bankruptcy Code to the maximum extent allowable and otherwise pursuant to private placement exemptions, as further set forth in the Backstop and Private Placement Agreement.

 
 The issuance of the Notes in connection with the Commitment Premium to members of the Ad
Hoc Group and the Private Placement Stapled Securities are intended to be exempt from registration under the Securities Act pursuant to Section 4(a)(2) or Regulation S under the Securities Act, as further set forth in the Backstop and Private
Placement Agreement.

		
	Denomination	  	The Notes shall be issued in a minimum denomination of US$1.00 per Note (and integral multiples thereof).
		
	Guarantees	  	The Notes will be unconditionally guaranteed (the “Guarantees”) by each entity that is a guarantor or a borrower under the Exit Revolving Credit Facility (each, a “Guarantor”, and
collectively, the “Guarantors”).

  
 5 

			
		
	 Priority/
 Intercreditor
Agreement
	  	The priority of the security interests and related creditor rights among the Notes, Exit Term Loan Facility, the Exit Revolving Credit Facility, and (if any) any first lien last out secured debt issued after the Closing Date (the
“Last Out Incremental Debt”) will be set forth in a customary first out/last out intercreditor agreement to be negotiated in good faith and on terms and conditions to be reasonably agreed (the “Intercreditor
Agreement”). The Intercreditor Agreement shall provide that the payment obligations under the Notes, the Exit Term Loan Facility, and (if any) the Last Out Incremental Debt rank pari passu with each other, but junior to the
payment obligations under the Exit Revolving Credit Facility in all respects.
		
	Security	  	All amounts owing under the Notes (and all obligations under the Guarantees) will be secured by the same liens, security interests, and pledges as the Exit Revolving Credit Facility, the Exit Term Loan Facility, and the Last Out
Incremental Debt (if any) and will be created under, and governed by, the same collateral documents, subject to any local law requirements.
		
	Offer to Purchase from Asset Sale Proceeds	  	 To the extent permitted under the Exit Revolving Credit Facility and the Exit Term Loan Facility, the Issuer will be required to make an
offer to repurchase the Notes on a pro rata basis, which offer shall be at 100% of the principal amount thereof plus accrued and unpaid interest to the date of repurchase with the net cash proceeds from
non-ordinary course asset sales or dispositions, by the Issuer or any Guarantor to the extent such net cash proceeds exceed an amount to be agreed (consistent with the Applicable Secured Bond Standard (as
defined below)) and are not, within 360 days, reinvested in the business of the Borrower or its subsidiaries or required to be paid to the lenders under the Exit Revolving Credit Facility and the Exit Term Loan Facility, with such proceeds being
applied to the Notes in a manner to be agreed, subject to other exceptions and baskets consistent with the Applicable Secured Bond Standard and in any event not less favorable to the Issuer than those applicable to the Exit Revolving Credit Facility
and the Exit Term Loan Facility.
  
 To the extent any prepayment occurs under the Exit
Term Loan Facility (other than any AHYDO catchup payment), the Issuer shall offer to repurchase the Notes for cash on a pro rata basis at a repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus
accrued and unpaid interest, if any, to, but excluding, the repurchase date.

		
	Optional Redemption	  	 At any time, or from time to time, prior to six months after the Closing Date, the Issuer may redeem all of the Notes, upon at least 15 days
but not more than 60 days prior written notice before the redemption date, at a redemption price equal to 101% of the principal amount of the Notes redeemed plus accrued and unpaid interest, if any, to, but excluding, the date of redemption (any
applicable date of redemption hereunder, the “Redemption Date”).

  
 6 

			
		
		  	  
 At any time, or from time to time, on or after the date that is six
months following the Closing Date and prior to the second anniversary of the Closing Date, the Issuer may redeem all or a part of the Notes, upon at least 15 but not more than 60 days prior written notice before such Redemption Date, at a redemption
price equal to 100% of the principal amount of the Notes redeemed plus the Applicable Premium (as defined below) as of, and accrued and unpaid interest, if any, to, but excluding, such Redemption Date.

 
 “Applicable Premium” means, with respect to any Note on any
Redemption Date, the greater of: (1) 1.0% of the principal amount of such Note; and (2) the excess, if any, of (a) the present value at such Redemption Date of (i) such principal amount of such Notes as of such Redemption Date, plus
(ii) all required interest payments due on such Note (assuming cash interest payments) through, in each case, the second year anniversary of the Closing Date, computed using a discount rate equal to the treasury rate as of such Redemption Date
plus 50 basis points; over (b) the principal amount of such Note on such Redemption Date.
  

On or after the second anniversary of the Closing Date, the Issuer may from time to time redeem for cash all or part of the outstanding Notes at a redemption
price (the “Redemption Price”) equal to the sum of (1) (w) from and after the second anniversary until (but not including) the third anniversary of the Closing Date, 104% of the principal amount of the Notes to be
redeemed, (x) from and after the third anniversary until (but not including) the fourth anniversary of the Closing Date, 103% of the principal amount of the Notes to be redeemed, (y) from and after the fourth anniversary until (but not
including) the fifth anniversary of the Closing Date, 102% of the principal amount of the Notes to be redeemed, and (z) from and after the fifth anniversary, 100% of the principal amount of the Notes to be redeemed, plus (2) accrued and
unpaid interest, if any, to, but excluding, such Redemption Date.
  
 The optional
redemption provisions will be otherwise customary for high yield debt securities and consistent with the Applicable Secured Bond Standard.

  
 7 

			
		
	Change of Control; Mergers & Acquisitions	  	 Upon a Change of Control (as defined below), the Company is required to offer to repurchase the Notes at a repurchase price equal to 101% of
the principal amount thereof, plus accrued and unpaid interest, if any (but not including) the date of purchase.
  

“Change of Control” means the occurrence of any event or series of events by which: (a) any “person” or related Persons
constituting a “group” (as such terms are used in Rule 13d-5 under the Securities Exchange Act of 1933) (other than Pacific Investment Management Company LLC or Avenue Capital Management II, L.P.,
their respective affiliates, and/or funds controlled by Pacific Investment Management Company LLC or Avenue Capital Management II, L.P. or any of their affiliates) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1933, except that a “person” or “group” shall be deemed to have “beneficial ownership” of
all equity interests that such “person” or “group” has the right to acquire, whether such right is exercisable immediately or only after the passage of time), directly or indirectly, of more than 50% of voting power of the
ordinary shares of the Company (such “person” or “group” a “Parent”); provided, that such ownership by a Parent shall not constitute a change in control if no “person” or related Persons constituting a
“group” directly or indirectly owns more than 50% of the voting power of the ordinary shares of such Parent, (b) a majority of the members of the board of directors (or equivalent governing body) of the Company shall not constitute
continuing directors, (c) there shall have occurred under any document evidencing any material indebtedness any “change in control” or similar provision (as set forth in such document) or (d) the Company shall cease to own directly or
indirectly, 100% of the Equity Interests of the Issuer or any other Guarantor. Notwithstanding anything to the contrary in this Term Sheet, the Company shall be permitted to engage in a business combination with any person in a substantially similar
line of business as the Company and its subsidiaries (any such person, together with its subsidiaries, a “Consolidation Party”), and no Change of Control shall result from such combination if, after giving pro forma
effect to such combination, either:

  
 8 

			
		
		  	  
 (A) both the Consolidated Total Net Leverage Ratio (as defined in
the Exit Revolving Credit Facility term sheet) and the Consolidated Secured Net Leverage Ratio (as defined in the Exit Revolving Credit Facility term sheet), in each case on a pro forma basis (excluding synergies) would be less than or equal
to the Consolidated Total Net Leverage Ratio or Consolidated Secured Net Leverage Ratio, as applicable, before giving effect to such transaction(s); or (B) either (i) a Permitted Holdco Event (as defined in the Exit Revolving Credit Facility
term sheet) has occurred or (ii) the equity interests of the Combination Party is held in a separate ownership-silo such that (x) creditors of the business combined shall have no recourse to the assets of the Company and (y) creditors of
the Company shall have no recourse to the assets of the acquired Person (with transactions between the two silos continuing to be subject to the covenants in the indenture governing the Notes).

 
 Notwithstanding the foregoing, the Issuer (or its successor following such Change of
Control transaction) may elect, within 120 days following the consummation of such Change of Control, to redeem for cash all (and not less than all) of the outstanding Notes at a redemption price equal to, if the redemption is (x) prior to (but
not including) the second anniversary of the Closing Date, the sum of (1) 101% of the principal amount of the Notes to be redeemed, plus (2) accrued and unpaid interest, if any, to, but excluding, the redemption date; or (y) after
the second anniversary of the Closing Date, the applicable Redemption Price.
  
 The
indenture governing the Notes will not contain any restriction (e.g., pursuant to covenants or events of default) on the Company’s or its subsidiaries’ ability to consummate mergers and/or acquisitions; provided that, for the
avoidance of doubt, the guarantees of and collateral securing the Note, shall not be materially and adversely affected by such transactions, taken as a whole; provided, further, that upon any consolidation or merger, or any sale,
assignment, transfer, lease, conveyance or other disposition of all or substantially all of the assets of the Issuer and its subsidiaries (taken as a whole), the successor formed by such consolidation or into or with which the Issuer is merged or to
which such sale, assignment, transfer, lease, conveyance or other disposition is made shall succeed to, and be substituted for the Issuer (so that from and after the date of such consolidation, merger, sale, lease, conveyance or other disposition,
the provisions of the indenture governing the Notes referring to the Issuer shall refer instead to the successor and not to the Issuer), and such successor Person may exercise every right and power of the Issuer under the indenture with the same
effect as if such successor Person had been named as the Issuer therein; provided; however, that the predecessor Issuer shall not be relieved from the obligation to pay the principal of and interest on the Notes except in the case of a
sale, assignment, transfer, conveyance or other disposition of all or substantially all of the Issuer’s assets that meets the requirements of the indenture.

  
 9 

			
		
	Covenants	  	The indenture governing the Notes will contain incurrence-based affirmative and negative covenants substantially consistent with those that would be found in a customary first-lien secured high-yield indenture for an issuer with a
credit profile similar to that of the Issuer, giving due regard to the operational requirements of the Issuer and its subsidiaries, their size, industries, businesses, business practices, proposed business plan (the “Applicable Secured
Bond Standard”) and in any event not less favorable to the Issuer than those applicable to the Exit Revolving Credit Facility and the Exit Term Loan Facility; provided that, for the avoidance of doubt, the indenture will not
contain (i) any maintenance covenants or (ii) any covenants to obtain any corporate family, credit or other ratings; provided further that the indenture will permit the Company to incur up to $135.0 million of additional Notes
on the same terms as the Notes; provided further that to the extent any prepayment occurs under the Exit Term Loan Facility (other than any AHYDO catchup payment), the Issuer shall offer to repurchase the Notes for cash on a pro
rata basis at a repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the repurchase date.
		
	Financial Covenants	  	None.
		
	Defeasance and Discharge Provisions	  	Customary for high yield debt securities and consistent with the Applicable Secured Bond Standard.
		
	Modification	  	Customary for high yield debt securities and consistent with the Applicable Secured Bond Standard.
		
	Events of Default	  	The indenture governing the Notes will include customary events of default that are customary for high yield debt securities and consistent with the Applicable Secured Bond Standard and in any event not less favorable to the Issuer
than those applicable to the Exit Revolving Credit Facility and the Exit Term Loan Facility (to be applicable to the Issuer and its restricted Subsidiaries) with certain customary exceptions, qualifications and grace periods to be set forth therein,
including (i) nonpayment of principal when due or interest, fees or other amounts after a customary grace period; (ii) failure to perform or observe covenants set forth in the indenture governing the Notes, subject (where customary and
appropriate) to notice and an appropriate grace period; (iii) cross-acceleration to other indebtedness in a customary amount to be set forth in the indenture; (iv) bankruptcy, insolvency proceedings, etc. (with a customary grace period for
involuntary proceedings); (v) monetary judgment defaults in an amount to be set forth in the indenture; (vi) invalidity of the security documentation or the Guarantees or impairment of security interests in the collateral; and
(vii) cross-payment default at maturity to the Exit Revolving Credit Facility and the Exit Term Loan Facility.

  
 10 

			
		
	Expenses and Indemnification	  	The indenture will contain customary and appropriate provisions relating to indemnity, reimbursement, exculpation and other related matters between the Issuer and the Trustee.
		
	Documentation	  	The terms of the indenture, the form of Notes, and other applicable documentation related to the Notes to be in form and substance reasonably satisfactory to the Company and the Ad Hoc Group, which shall be consistent with the
Applicable Secured Bond Standard and in any event not less favorable to the Issuer than those applicable to the Exit Revolving Credit Facility and the Exit Term Loan Facility and shall include any applicable
non-U.S. law requirements. All amounts owing under the Notes (and all obligations under the Guarantees) will be secured by the same liens, security interests, and pledges as the Exit Revolving Credit Facility,
the Exit Term Loan Facility, and the Last Out Incremental Debt (if any) and will be created under, and governed by, the same collateral documents, subject to any local law requirements.
		
	Transfer Restrictions	  	To the extent any Notes are not issued pursuant to Section 1145 of the Bankruptcy Code and to the extent any holder would be considered an “underwriter” for purposes of Section 1145 of the Bankruptcy Code and
applicable securities laws, customary transfer restrictions in order to comply with applicable securities laws.
		
	Governing Law	  	State of New York
		
	Forum	  	State of New York

  
 11 

 EXHIBIT D 

EMPLOYEE MATTERS TERM SHEET 
  

 EMPLOYEE MATTERS TERM SHEET 

This Employee Matters Term Sheet (the “Term Sheet”) sets forth the principal terms of the MIP and certain other related emergence
compensation arrangements referenced in the Joint Chapter 11 Plan of Reorganization of Diamond Offshore Drilling, Inc. and Its Debtor Affiliates (as amended, the “Plan”). Capitalized terms used but not defined in this Term Sheet
have the meanings ascribed to them in the Plan. The MIP shall be entered into among Reorganized Diamond Offshore and the participants in the MIP on the terms set forth below and in accordance with the Plan. No person shall have a right to any
compensation or awards under the MIP until such person executes binding MIP documentation with the Reorganized Debtors. In the event of any conflict between the Plan and this Term Sheet, the Plan shall control. 

 

							
			
	MIP Overview:	  	•	  	MIP Equity Shares. Reorganized Diamond Offshore shall reserve restricted stock units, options, New Common Shares, or other rights exercisable, exchangeable, or convertible into New Common Shares representing 5%
– 10% of the New Common Shares on a fully diluted and fully distributed basis (the “MIP Equity Shares”).
			
		  	 •
	  	 Emergence Grants.

				
		  		  	•	  	At least 40% of the shares of the Company’s common stock subject to the MIP Equity Shares (the “Emergence Grant Pool”) will be allocated within 120 days following the Effective Date (the “Negotiation
Period”) in accordance with an allocation schedule to be reasonably determined by the New Board in good faith in consultation with a compensation consultant to be hired by the New Board on or shortly after the Effective Date (the
“Compensation Consultant”) and in accordance with this Term Sheet and the Plan (the “Emergence Grants”).
				
		  		  	•	  	The form of each Emergence Grant will be determined by the New Board in good faith in consultation with the Compensation Consultant.
			
		  	•	  	Other Awards. The remaining balance of MIP Equity Shares not allocated as part of the Emergence Grants may be granted after the Effective Date in such form and on such terms and conditions as determined by the New
Board in good faith in its sole discretion, provided that any additional MIP awards established during the Negotiation Period shall also be made in consultation with the Compensation Consultant.
			
	Emergence Grant Vesting:	  	•	  	Time Vesting. At least 40% of the Emergence Grants will be subject to time-vesting over a period no longer than four years.
			
		  	•	  	Other Terms. All other terms of the Emergence Grants, including acceleration of vesting (e.g., change of control) and treatment upon termination of employment, will be determined by the New Board in good faith in
consultation with the Compensation Consultant.
			
	Assumption of the CEO Employment Agreement:	  	•	  	Review of Existing Compensation Arrangements. During the Negotiation Period, the New Board in good faith in consultation with the Compensation Consultant, and in combination with the Chief Executive Officer of
Reorganized Diamond Offshore (the “CEO”), 1 will review all of the Company’s existing executive compensation arrangements, including the CEO’s existing employment agreement
(the “CEO Employment Agreement”).
				
		  	•	  		  	Assumption of the CEO Employment Agreement. The Company will assume the CEO Employment Agreement as of the Effective Date, subject to the modifications specified herein and as may be agreed to among the Reorganized Debtors
and the CEO during the Negotiation Period. Modifications to the CEO Employment Agreement made during the Negotiation Period will be effective as of the end of the Negotiation Period, unless otherwise agreed by the
parties.

  

	1	 Marc Edwards shall be the CEO of the Reorganized Debtors on the Effective Date other than (a) as otherwise
determined by the board of directors of Diamond Offshore prior to the Effective Date or (b) in the event of his death or voluntary resignation prior to the Effective Date. 

					
			
	CEO Employment Agreement Modifications:	  	•	  	Limitation on CIC and Good Reason. CEO shall acknowledge that the consummation of the chapter 11 plan and the consummation of the restructuring transactions contemplated thereby (but excluding any post-emergence merger, sale
or similar transaction) will not be deemed (without any further action) to trigger any applicable “Change in Control” or “Good Reason” provisions under the CEO Employment Agreement. CEO shall also waive any potential right to
claim that “Good Reason” is triggered under the CEO Employment Agreement solely as a result of compensation-related changes (including the MIP allocation) made or implemented during the Negotiation Period. Notwithstanding such waiver, the
CEO maintains the CEO Walkaway right set forth in the next paragraph.
			
		  	•	  	CEO Walkaway Right. The CEO may terminate his employment for any reason by giving 30 days’ notice at any time after the Effective Date and prior to the effective date of a Change in Control, with the termination
effective upon the earlier of the expiration of the notice period or the effective date of the Change in Control (the “CEO Walkaway”). In such case, the CEO will be entitled to receive, in lieu of the severance benefit under the CEO
Employment Agreement, a lump sum cash severance payment equal to $6,000,000 and reimbursement for 24 months of medical benefits (the “CEO Walkaway Benefit”).
			
		  	•	  	Termination During the Negotiation Period. Upon a termination of the CEO during the Negotiation Period or for 30 days following the end of the Negotiation Period, whether by the Company without Cause (as defined in the CEO
Employment Agreement), or as a result of a CEO Walkaway or CEO resignation with Good Reason (as modified herein), the CEO severance shall be equal to the CEO Walkaway Benefit.
			
	Key Employee Walkaway Right:	  	•	  	Key Employee Walkaway Right. If, at the end of the Negotiation Period, an employee listed on the Key Employee List attached as Appendix A to this Term Sheet (each, a “Key Employee” and collectively, the
“Key Employees”) has not reached an agreement with the Reorganized Debtors regarding such Key Employee’s role or compensation arrangements, including the MIP, with Reorganized Diamond Offshore, then any such Key Employee may
terminate employment within 30 days following the end of the Negotiation Period, and will be entitled to receive the Key Employee Walkaway Benefit (the “Key Employee Walkaway”).
			
		  	•	  	Key Employee Walkaway Benefit. For each Key Employee, an amount equal to (i) 12 months’ base salary plus target annual bonus as set forth on Appendix A to this Term Sheet and (ii) reimbursement for 12 months of
medical benefits (the “Key Employee Walkaway Benefit”).
			
		  	•	  	Termination without Cause During the Negotiation Period. If during the Negotiation Period, the Company terminates the employment of a Key Employee without “Cause”, then the Key Employee will be eligible to receive
the Key Employee Walkaway Benefit. For purposes of this provision “Cause” shall mean that: (i) the Key Employee is convicted of, or pleads guilty or nolo contendere to, a felony, (ii) the Key Employee engages in
conduct that constitutes either (x) a material and willful breach of the Key Employee’s duties, (y) willful, or reckless, material misconduct in the performance of the Key Employee’s duties, or (z) willful, habitual neglect
of the Key Employee’s material duties; provided, however, that for purposes of clauses (ii)(y) and (ii)(z) of this paragraph, Cause shall not include any act or omission believed by the Key Employee in good faith to have been in or not
opposed to the interest of the Company or the Reorganized Debtor (without any intent by the Key Employee to gain, directly or indirectly, a profit to which he or she is not legally entitled).

  
 2 

					
			
	Restrictive Covenants:	  	•	  	The receipt of the CEO Walkaway Benefit is subject to a release of claims and compliance with a non-compete for offshore oil and gas drilling contractors and a non- solicit of current
employees, in each case on the terms set forth in the CEO Employment Agreement but for a duration of 12 months post termination.
			
		  	•	  	The receipt of the Key Employee Walkaway Benefit is subject to a release of claims and compliance with a non-compete for offshore oil and gas drilling contractors and a non- solicit of current
employees, in each case on the terms set forth in the CEO Employment Agreement but for a duration of 6 months post termination.
			
	KEIP:	  	•	  	The Deferred Payment is to be paid on the Effective Date to the CEO and the Key Employees regardless of limitations set forth in the KEIP Order. In addition, the Debtors or Reorganized Debtors (as applicable) shall make all payments
under the KEIP Order as soon as reasonably practicable after the end of any Performance Period (as defined in the KEIP Order) occurring on or after the Confirmation Date for as long as the KEIP Order remains in effect; provided that the Deferred
Payment for any such Performance Period shall be paid on the Effective Date. For the avoidance of doubt, the CEO and the Key Employees shall remain eligible to receive any earned but unpaid payments under the KEIP Order (including payments made
after the Confirmation Date) without regard to whether the CEO or any such Key Employee has exercised a Walkaway Right or been terminated without Cause.
			
		  	•	  	For the avoidance of doubt, all KEIP payments shall remain subject to satisfaction of the performance metrics agreed upon in the KEIP.
			
	Pre-petition Clawback:	  	•	  	Company clawback rights on all prepetition compensation awards for the CEO and the Key Employees shall be waived on the Effective Date.

  
 3 

 APPENDIX A 

Key Employee List 
  

					
	 Name
	  	Target Bonus (% of Base Salary)	 
	 Ron Woll
	  	 	70	% 
	 Scott Kornblau
	  	 	50	% 
	 David Roland
	  	 	50	% 
	 Dominic Savarino
	  	 	50	% 
	 Jon Richards
	  	 	50	% 
	 Neil Hall
	  	 	50	% 
	 Samir Ali
	  	 	50	% 
	 Aaron Sobel
	  	 	50	% 

 EXHIBIT C 

BACKSTOP AGREEMENT 
  

  

 
 BACKSTOP AND PRIVATE PLACEMENT
AGREEMENT 
  AMONG 
  DIAMOND
OFFSHORE DRILLING, INC., 
  EACH OF THE OTHER DEBTORS LISTED ON SCHEDULE 1 HERETO 

 AND 
  THE FINANCING PARTIES
PARTY HERETO 
 Dated as of January 22, 2021 
  

 
  

							
	 ARTICLE I DEFINITIONS
	  	 	7	 
	 Section 1.1
	 	Definitions	  	 	7	 
	 Section 1.2
	 	Construction	  	 	24	 
	 ARTICLE II BACKSTOP AND PRIVATE PLACEMENT COMMITMENTS
	  	 	25	 
	 Section 2.1
	 	The Rights Offerings and Private Placements	  	 	25	 
	 Section 2.2
	 	The Subscription Commitment, Backstop Commitment and Private Placement Commitment	  	 	26	 
	 Section 2.3
	 	Financing Party Default	  	 	27	 
	 Section 2.4
	 	Escrow Account Funding	  	 	29	 
	 Section 2.5
	 	Closing	  	 	31	 
	 Section 2.6
	 	Transfer of Backstop Commitments and Private Placement Commitments	  	 	32	 
	 Section 2.7
	 	[RESERVED]	  	 	34	 
	 Section 2.8
	 	Designation Rights	  	 	34	 
	 Section 2.9
	 	Consent to Transfers of Subscription Rights by Commitment Parties	  	 	35	 
	 Section 2.10
	 	Notification of Aggregate Number of Exercised Subscription Rights	  	 	35	 
	 Section 2.11
	 	Rights Offerings	  	 	35	 
	 Section 2.12
	 	Private Placements	  	 	35	 
	 ARTICLE III COMMITMENT PREMIUM AND EXPENSE REIMBURSEMENT
	  	 	36	 
	 Section 3.1
	 	Premium Payable by the Debtors	  	 	36	 
	 Section 3.2
	 	Payment of Premium	  	 	36	 
	 Section 3.3
	 	Expense Reimbursement	  	 	37	 
	 Section 3.4
	 	Tax Treatment	  	 	38	 
	 ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE DEBTORS
	  	 	38	 
	 Section 4.1
	 	Disclosure Statement	  	 	38	 
	 Section 4.2
	 	Financial Statements	  	 	38	 
	 Section 4.3
	 	No Material Adverse Change	  	 	39	 
	 Section 4.4
	 	Organization and Good Standing	  	 	39	 
	 Section 4.5
	 	Capitalization	  	 	39	 
	 Section 4.6
	 	Due Authorization	  	 	39	 
	 Section 4.7
	 	Issuance	  	 	40	 
	 Section 4.8
	 	[RESERVED]	  	 	41	 

  
 i 

							
	 Section 4.9
	 	Authorized Shares	  	 	41	 
	 Section 4.10
	 	Delayed Draw Subscription Agreements	  	 	41	 
	 Section 4.11
	 	Registration Rights Agreement	  	 	41	 
	 Section 4.12
	 	No Violation or Default	  	 	41	 
	 Section 4.13
	 	No Conflicts	  	 	41	 
	 Section 4.14
	 	No Consents Required	  	 	42	 
	 Section 4.15
	 	Legal Proceedings	  	 	42	 
	 Section 4.16
	 	Independent Accountants	  	 	42	 
	 Section 4.17
	 	Investment Company Act	  	 	43	 
	 Section 4.18
	 	[RESERVED]	  	 	43	 
	 Section 4.19
	 	Title to Real and Personal Property	  	 	43	 
	 Section 4.20
	 	Title to Intellectual Property	  	 	43	 
	 Section 4.21
	 	Taxes	  	 	43	 
	 Section 4.22
	 	Licenses and Permits	  	 	43	 
	 Section 4.23
	 	Employee Benefit Plans	  	 	44	 
	 Section 4.24
	 	No Labor Disputes	  	 	44	 
	 Section 4.25
	 	Compliance with Environmental Laws	  	 	45	 
	 Section 4.26
	 	Disclosure Controls	  	 	45	 
	 Section 4.27
	 	Accounting Controls	  	 	45	 
	 Section 4.28
	 	Insurance	  	 	46	 
	 Section 4.29
	 	Compliance with Anti-Money Laundering Laws	  	 	46	 
	 Section 4.30
	 	No Conflicts with Sanctions Laws	  	 	46	 
	 Section 4.31
	 	No Unlawful Payments	  	 	47	 
	 Section 4.32
	 	Margin Rules	  	 	47	 
	 Section 4.33
	 	No Stabilization	  	 	47	 
	 Section 4.34
	 	Sarbanes-Oxley Act	  	 	47	 
	 Section 4.35
	 	[RESERVED]	  	 	47	 
	 Section 4.36
	 	Arm’s-Length Dealing	  	 	47	 
	 Section 4.37
	 	No Broker’s Fees	  	 	48	 
	 ARTICLE V REPRESENTATIONS AND WARRANTIES OF THE FINANCING PARTIES
	  	 	48	 
	 Section 5.1
	 	Incorporation	  	 	48	 
	 Section 5.2
	 	Corporate Power and Authority	  	 	48	 
	 Section 5.3
	 	Execution and Delivery	  	 	48	 

  
 ii 

							
	 Section 5.4
	 	No Registration	  	 	48	 
	 Section 5.5
	 	Purchasing Intent	  	 	49	 
	 Section 5.6
	 	Sophistication; Evaluation	  	 	49	 
	 Section 5.7
	 	No Conflict	  	 	49	 
	 Section 5.8
	 	Consents and Approvals	  	 	49	 
	 Section 5.9
	 	Sufficiency of Funds	  	 	50	 
	 Section 5.10
	 	No Broker’s Fees	  	 	50	 
	 ARTICLE VI ADDITIONAL COVENANTS
	  	 	50	 
	 Section 6.1
	 	Approval Orders	  	 	50	 
	 Section 6.2
	 	Confirmation Order; Plan and Disclosure Statement	  	 	50	 
	 Section 6.3
	 	Conduct of Business	  	 	50	 
	 Section 6.4
	 	Access to Information	  	 	51	 
	 Section 6.5
	 	Financial Information	  	 	52	 
	 Section 6.6
	 	Commercially Reasonable Efforts	  	 	53	 
	 Section 6.7
	 	Registration Rights Agreement; Reorganized Diamond Offshore Organizational Documents; Rights Offering Procedures	  	 	53	 
	 Section 6.8
	 	Form D and Blue Sky	  	 	54	 
	 Section 6.9
	 	No Integration; No General Solicitation	  	 	54	 
	 Section 6.10
	 	DTC Eligibility	  	 	54	 
	 Section 6.11
	 	Use of Proceeds	  	 	55	 
	 Section 6.12
	 	Share Legend	  	 	55	 
	 Section 6.13
	 	Antitrust and Foreign Investment Approval	  	 	55	 
	 Section 6.14
	 	Alternative Restructuring	  	 	57	 
	 Section 6.15
	 	[RESERVED]	  	 	57	 
	 Section 6.16
	 	Engagement Letter	  	 	57	 
	 Section 6.17
	 	PCbtH Contracts	  	 	57	 
	 ARTICLE VII CONDITIONS TO THE OBLIGATIONS OF THE PARTIES
	  	 	58	 
	 Section 7.1
	 	Conditions to the Obligations of the Financing Parties	  	 	58	 
	 Section 7.2
	 	Separate Conditions to the Obligations of the Commitment Parties and Initial Private Placement Investors	  	 	60	 
	 Section 7.3
	 	Debtors’ Joint Plan of Reorganization	  	 	60	 
	 Section 7.4
	 	Certificate of Incorporation	  	 	61	 
	 Section 7.5
	 	Waiver or Amendment of Conditions to Obligations of Financing Parties	  	 	61	 

  
 iii 

							
	 Section 7.6
	 	Conditions to the Obligations of the Debtors	  	 	61	 
	 ARTICLE VIII INDEMNIFICATION AND CONTRIBUTION
	  	 	62	 
	 Section 8.1
	 	Indemnification Obligations	  	 	62	 
	 Section 8.2
	 	Indemnification Procedure	  	 	63	 
	 Section 8.3
	 	Settlement of Indemnified Claims	  	 	64	 
	 Section 8.4
	 	Contribution	  	 	64	 
	 Section 8.5
	 	Treatment of Indemnification Payments	  	 	65	 
	 Section 8.6
	 	No Survival	  	 	65	 
	 ARTICLE IX TERMINATION
	  	 	65	 
	 Section 9.1
	 	Consensual Termination	  	 	65	 
	 Section 9.2
	 	Automatic Termination	  	 	65	 
	 Section 9.3
	 	Termination by the Company	  	 	66	 
	 Section 9.4
	 	Termination by the Requisite Financing Parties	  	 	67	 
	 Section 9.5
	 	Termination by Commitment Parties	  	 	68	 
	 Section 9.6
	 	Effect of Termination	  	 	69	 
	 ARTICLE X GENERAL PROVISIONS
	  	 	70	 
	 Section 10.1
	 	Notices	  	 	70	 
	 Section 10.2
	 	Assignment; Third-Party Beneficiaries	  	 	72	 
	 Section 10.3
	 	Prior Negotiations; Entire Agreement	  	 	72	 
	 Section 10.4
	 	Governing Law; Venue	  	 	72	 
	 Section 10.5
	 	Waiver of Jury Trial	  	 	73	 
	 Section 10.6
	 	Counterparts	  	 	73	 
	 Section 10.7
	 	Waivers and Amendments; Rights Cumulative; Consent	  	 	74	 
	 Section 10.8
	 	Headings	  	 	75	 
	 Section 10.9
	 	Specific Performance/Remedies	  	 	75	 
	 Section 10.10
	 	Damages	  	 	75	 
	 Section 10.11
	 	No Reliance	  	 	75	 
	 Section 10.12
	 	Publicity	  	 	76	 
	 Section 10.13
	 	Settlement Discussions	  	 	76	 
	 Section 10.14
	 	No Recourse	  	 	77	 
	 Section 10.15
	 	Fiduciary Duties	  	 	77	 
	 Section 10.16
	 	Severability	  	 	77	 

  
 iv 

			
	 SCHEDULES

		
	 Schedule 1
	 	Subsidiaries
	 Schedule 2
	 	Backstop Commitment Percentages and Private Placement Commitment Percentages
	 Schedule 3a
	 	Initial Primary Private Placement Commitments
	 Schedule 3b
	 	Subsequent Primary Private Placement Commitments
	 Schedule 3c
	 	Initial Delayed Draw Private Placement Commitments
	 Schedule 3d
	 	Subsequent Delayed Draw Private Placement Commitments
	 Schedule 4
	 	Delayed Draw Rights Offering Commitments
	 Schedule 5
	 	Senior Notes Claims
	 Schedule 6
	 	Notice Addresses for Commitment Parties
	 Schedule 7
	 	Consents
	 Schedule 8
	 	Certain Rig Contracts
	
	 EXHIBITS

		
	 Exhibit A
	 	Plan
	 Exhibit B
	 	Form of Joinder for Holders of Senior Notes Claims
	 Exhibit C
	 	Form of Joinder Agreement for Related Purchaser
	 Exhibit D-1
	 	Form of Joinder Agreement for Existing Commitment Party Purchaser
	 Exhibit D-2
	 	Form of Amendment for Existing Commitment Party Purchaser
	 Exhibit E
	 	Form of Joinder Agreement for New Purchaser
	 Exhibit F
	 	Form of Funding Notice
	 Exhibit G
	 	Form of Engagement Letter

  
 v 

 BACKSTOP AND PRIVATE PLACEMENT AGREEMENT 

THIS BACKSTOP AND PRIVATE PLACEMENT AGREEMENT (this “Agreement”), dated as of January 22, 2021 (the “BCA Execution
Date”), is made by and among (i) Diamond Offshore Drilling, Inc. (the “Company”), its affiliated debtors listed on Schedule 1 hereto (the Company and each affiliated debtor, a
“Debtor” and, collectively, the “Debtors”), (ii) each of the Commitment Parties (as defined below) and (iii) each of the Private Placement Investors (as defined below) listed on Schedule 3
hereto. Each Debtor, each Commitment Party and each Private Placement Investor is referred to herein, individually, as a “Party” and, collectively, as the “Parties.” 

RECITALS 
 WHEREAS, on
April 26, 2020 (the “Petition Date”), each of the Debtors filed a voluntary petition for relief under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States
Bankruptcy Court for the Southern District of Texas (the “Bankruptcy Court”), with such cases now jointly administered under Case Number 20-32307 (DRJ) (collectively, the “Chapter 11
Cases”); 
 WHEREAS, in connection with their entry into this Agreement, each of the Debtors will simultaneously enter into a plan
support agreement with the Commitment Parties (the “Plan Support Agreement”) and other agreements to effectuate, among other things, the Plan; 

WHEREAS, in connection with the Chapter 11 Cases, the Debtors have engaged in good faith,
arm’s-length negotiations with certain parties in interest regarding the terms of the Plan; 

WHEREAS, in connection with the Restructuring, holders of Senior Notes Claims have agreed to receive New Diamond Common Shares (as defined
below), subject to dilution by the MIP (as defined below), the New Warrants (as defined below), the Rights Offerings (as defined below), and the Private Placements (as defined below), in partial satisfaction of such holder’s pro rata portion of
the Senior Notes Claims; 
 WHEREAS, pursuant to the Plan and this Agreement, and in accordance with the Rights Offering Procedures, the
Company will conduct Rights Offerings for the Rights Offering Stapled Securities; 
 WHEREAS, subject to the terms and conditions contained
in this Agreement, each Commitment Party has agreed to purchase (on a several and not joint basis) its Backstop Commitment Percentage of the Unsubscribed Stapled Securities, if any; and 

WHEREAS, pursuant to the Plan and this Agreement, the Company will (i) sell the Primary Private Placement Stapled Securities to the
investors listed on Schedule 3a (the “Initial Primary Private Placement Investors”) and to the investors listed on Schedule 3b (the “Subsequent Primary Private Placement Investors” and, together with
the Initial Primary Private Placement Investors, the “Primary Private Placement Investors”) and (ii) enter into Delayed Draw Subscription Agreements for the purchase and sale of the Delayed Draw Private Placement Stapled

 
Securities to the investors listed on Schedule 3c (the “Initial Delayed Draw Private Placement Investors” and to the investors listed on Schedule 3d (the
“Subsequent Delayed Draw Private Placement Investors”, and together with the Initial Delayed Draw Private Placement Investors, the “Delayed Draw Private Placement Investors”). The Subsequent Primary Private
Placement Investors and the Subsequent Delayed Draw Private Placement Investors are collectively referred to herein as the “Subsequent Private Placement Investors.” The Delayed Draw Private Placement Investors are referred to
together with the Primary Private Placement Investors as the “Private Placement Investors”); 
 NOW, THEREFORE, in
consideration of the mutual promises, agreements, representations, warranties and covenants contained herein, the receipt and sufficiency of which are hereby acknowledged, each of the Parties hereby agrees as follows: 

ARTICLE I 
 DEFINITIONS

 Section 1.1 Definitions. Except as otherwise expressly provided in this Agreement, whenever used in this Agreement
(including any Exhibits and Schedules hereto), the following terms shall have the respective meanings specified therefor below: 

“Ad Hoc Group” has the meaning set forth in the Plan. 

“Additional Private Placement Party” means a holder of Senior Notes (as defined in the Plan) that signs this
Agreement after the date hereof as a Private Placement Party pursuant to Section 2.2(d) of this Agreement. 

“Advisors” means, collectively, (i) Milbank LLP, (ii) Evercore Group L.L.C., (iii) DNB Bank ASA and
(iv) Norton Rose Fulbright US LLP in their capacities as legal, financial and strategic advisors, respectively, to the Commitment Parties. 

“Affiliate” means, with respect to any Person, any other Person directly or indirectly controlling, controlled
by, or under common control with, such Person as of the date on which, or at any time during the period for which, the determination of affiliation is being made (including any Related Funds of such Person); provided, that for purposes of
this Agreement, no Financing Party shall be deemed an Affiliate of the Debtors or any of their Subsidiaries. For purposes of this definition, the term “control” (including the correlative meanings of the terms “controlled by” and
“under common control with”), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management policies of such Person, whether through the ownership of
voting securities, by Contract or otherwise. 
 “Agreement” has the meaning set forth in the Preamble. 

“Alternative Restructuring” means, other than the Restructuring Transactions, any new money investment,
restructuring, reorganization, merger, amalgamation, acquisition, consolidation, dissolution, winding up, assignment for the benefit of creditors, transaction, debt investment, equity investment, joint venture,

  
 7 

 
partnership, sale, plan proposal, liquidation, tender offer, recapitalization, plan of reorganization, share exchange, business combination or similar transaction involving all or substantially
all of the business or assets of the Company, one or more material business units of the Company or a material portion thereof, or the debt, equity or other interests in any one or more of the Debtors. 

“Anti-Corruption Laws” has the meaning set forth in Section 4.31. 

“Anti-Money Laundering Laws” has the meaning set forth in Section 4.29. 

“Antitrust and Foreign Investment Approvals” means any notification, authorization, approval, consent, filing,
application, non-objection, expiration or termination of applicable waiting period (including any extension thereof), exemption, determination of lack of jurisdiction, waiver, variance, filing, permission,
qualification, registration or notification required or, if agreed between the Company and the Requisite Financing Parties (in each case, acting reasonably) advisable, under any Antitrust and Foreign Investment Laws. 

“Antitrust and Foreign Investment Authorities” means any Governmental Entity having jurisdiction pursuant to
the Antitrust and Foreign Investment Laws, including the United States Federal Trade Commission, the Antitrust Division of the United States Department of Justice, and the attorneys general of the several states of the United States, CFIUS, and any
other applicable federal, state, national, or foreign authority and “Antitrust and Foreign Investment Authority” means any of them. 

“Antitrust and Foreign Investment Laws” means any Law governing foreign investment, agreements in restraint of
trade, monopolization, merger or pre-merger notification, the lessening of competition through merger or acquisition or anti-competitive conduct, including the Sherman Act, as amended, the Clayton Act, as
amended, the HSR Act and the Federal Trade Commission Act, and any other applicable federal, state, national or foreign laws. 

“Assets Under Management” means, as of any specified date and with respect to a Person, the aggregate amount,
expressed in U.S. dollars, of assets under management by such Person in respect of which such Person is entitled to incentive fees, allocations, management fees, carried interest or other similar forms of compensation as of such date. 

“Available Stapled Securities” means the Unsubscribed Stapled Securities that any Commitment Party fails to
purchase as a result of a Commitment Party Default by such Commitment Party. 
 “Backstop Amount” has the
meaning set forth in Section 2.4(a)(iv). 
 “Backstop Commitment” has the meaning
set forth in Section 2.2(b). 

  
 8 

 “Backstop Commitment Percentage” means, with respect to any
Commitment Party, such Commitment Party’s percentage of the Backstop Commitment as set forth opposite such Commitment Party’s name under the column titled “Backstop Commitment Percentage” on Schedule 2
(as it may be amended, supplemented or otherwise modified from time to time in accordance with this Agreement). Any reference to “Backstop Commitment Percentage” in this Agreement means the Backstop Commitment Percentage in effect at the
time of the relevant determination. 
 “Bankruptcy Code” has the meaning set forth in the Recitals. 

“Bankruptcy Court” has the meaning set forth in the Recitals. 

“Bankruptcy Rules” means the Federal Rules of Bankruptcy Procedure and the local rules and general Orders of
the Bankruptcy Court, as in effect on the Petition Date, together with all amendments and modifications thereto subsequently made applicable to the Chapter 11 Cases. 

“Base Indenture” means that certain indenture, as supplemented from time to time, dated as of February 4,
1997, by and among the Company, as issuer, and the Chase Manhattan Bank, as trustee. 
 “BCA Approval Order”
means an Order, in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors, as evidenced in writing, entered by the Bankruptcy Court authorizing the Debtors to assume this Agreement and approving the Rights
Offering Procedures. 
 “BCA Execution Date” has the meaning set forth in the Recitals. 

“Business Day” means any day, other than a Saturday, Sunday or legal holiday, as defined in Bankruptcy
Rule 9006(a). 
 “Bylaws” means the amended and restated bylaws of the Company as of the Closing Date,
which shall be in form and substance reasonably acceptable to the Requisite Financing Parties and the Company. 

“Certificate of Incorporation” means the amended and restated certificate of incorporation of the Company as
of the Closing Date, which shall be in form and substance reasonably acceptable to the Requisite Financing Parties and the Company. 

“CFIUS” means the Committee on Foreign Investment in the United States and each member agency thereof
acting in such capacity. 
 “Chapter 11 Cases” has the meaning set forth in the Recitals.

 “Claim” means any “claim” as defined in section 101(5) of the Bankruptcy Code, including,
without limitation, any Claim arising after the Petition Date. 
 “Closing” has the meaning set forth in
Section 2.5(a). 
 “Closing Date” has the meaning set forth in
Section 2.5(a). 

  
 9 

 “Code” means the Internal Revenue Code of 1986. 

“Collateral Trustee” means the collateral trustee under the Exit Notes Indenture. 

“Commitment Party” means each holder of a Backstop Commitment that is party to this Agreement, including
without limitation, any holder of a Backstop Commitment that is a Related Purchaser, Existing Commitment Party Purchaser or a New Purchaser that has joined this Agreement pursuant to a joinder entered into pursuant to
Section 2.6(b), Section 2.6(c) or Section 2.6(d), respectively. 

“Commitment Party Default” means (x) any Commitment Party’s failure to (i) fully exercise all
its Subscription Rights pursuant to and in accordance with Section 2.2(a) and the Rights Offering Procedures, (ii) deliver and pay the aggregate Purchase Price for such Commitment Party’s Backstop Commitment
Percentage of any Unsubscribed Stapled Securities by the Escrow Funding Date in accordance with Section 2.4 or (iii) enter into any Delayed Draw Subscription Agreement required pursuant to
Section 2.2(b) or (y) any Commitment Party’s denial or disaffirmation of such Commitment Party’s obligations in writing (electronic or otherwise) pursuant to Sections 2.2(a), 2.2(b) or
2.4. 
 “Commitment Party Replacement” has the meaning set forth in
Section 2.3(a). 
 “Commitment Party Replacement Period” has the meaning set forth
in Section 2.3(a). 
 “Commitment Party Withdrawal Replacement” has the meaning
set forth in Section 9.5(b). 
 “Commitment Party Withdrawal Replacement Period”
has the meaning set forth in Section 9.5(b). 
 “Commitment Premium” has the
meaning set forth in Section 3.1. 
 “Company” has the meaning set forth in the
Preamble. 
 “Company Plan” means any employee pension benefit plan, as such term is defined in
Section 3(2) of ERISA, subject to the provisions of Title IV of ERISA or Section 412 of the Code or Section 302 of ERISA, and (i) sponsored or maintained (at the time of determination) by the Debtors, any of their Subsidiaries,
or any ERISA Affiliate, or (ii) for which the Debtors, any of their Subsidiaries or any ERISA Affiliate has or could have liability. 

“Company SEC Documents” means all of the reports, schedules, forms, statements and other documents (including
exhibits and other information incorporated therein) filed with the SEC by the Company. 

  
 10 

 “Complete Business Day” means on any Business Day, the time
from 12:00 a.m. to 11:59 p.m. (inclusive) on such Business Day. 
 “Confirmation Order” means an
Order of the Bankruptcy Court, in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors, confirming the Plan pursuant to section 1129 of the Bankruptcy Code, which remains in full force and effect and is
not subject to any stay. 
 “Contract” means any legally binding agreement, contract or instrument,
including any loan, note, bond, mortgage, indenture, guarantee, deed of trust, license, franchise, commitment, lease, franchise agreement, letter of intent, memorandum of understanding or other obligation, and any amendments thereto, whether written
or oral, but excluding the Plan. 
 “Debtor” has the meaning set forth in the Preamble. 

“Defaulting Commitment Party” means in respect of a Commitment Party Default that is continuing, the
applicable defaulting Commitment Party. 
 “Defaulting Delayed Draw Commitment Party” means in respect of a
Delayed Draw Commitment Party Default that is continuing, the applicable Delayed Draw Commitment Party. 

“Defaulting Private Placement Party” means in respect of a Private Placement Investor Default that is
continuing, the applicable Defaulting Private Placement Party. 
 “Delayed Draw Backstop Commitment” has the
meaning set forth in Section 2.2(b). 
 “Delayed Draw Closing Date” means the date
on which the conditions set forth in the Delayed Draw Subscription Agreements are met and the Delayed Draw Exit Notes are issued by the Reorganized Diamond Offshore. 

“Delayed Draw Commitment Party” means a Financing Party or Delayed Draw Rights Offering Participant and is
party to a Delayed Draw Subscription Agreement. 
 “Delayed Draw Commitment Party Default” means a default
under the Delayed Draw Subscription Agreements by a Delayed Draw Commitment Party on account of such party’s failure to purchase its pro rata portion of the Delayed Draw Exit Notes pursuant to the Delayed Draw Subscription Agreements to which
it is a party. 
 “Delayed Draw Commitment Percentage” means, with respect to any Commitment Party, such
Commitment Party’s percentage of the Delayed Draw Backstop Commitment as set forth opposite such Commitment Party’s name under the column titled “Delayed Draw Backstop Commitment Percentage” on
Schedule 2 (as it may be amended, supplemented or otherwise modified from time to time in accordance with this Agreement). Any reference to “Delayed Draw Backstop Commitment Percentage” in this Agreement means the
Delayed Draw Backstop Commitment Percentage in effect at the time of the relevant determination. 

  
 11 

 “Delayed Draw Exit Notes” means the $35,000,000 in
principal amount of Exit Notes to be issued pursuant to the Delayed Draw Subscription Agreements. 
 “Delayed Draw
New Common Shares” means the New Diamond Common Shares representing approximately 9.55% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by the MIP and the New Warrants, to be issued pursuant to
the Delayed Draw Private Placement and the Delayed Draw Rights Offering. 
 “Delayed Draw Private Placement”
means the agreement by the Company pursuant to the Delayed Draw Subscription Agreements to sell on the Delayed Draw Closing Date (i) $13,125,000 aggregate principal amount of Exit Notes and (ii) New Diamond Common Shares representing
approximately 3.58% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by the MIP and the New Warrants, issued by the Reorganized Diamond Offshore, in each case on the terms set forth on the Plan, to the
Private Placement Investors, any such Private Placement Investor’s designees or, in the event of a Private Placement Investor Default, the Replacement Private Placement Parties, in each case solely to the extent permitted by the terms herein,
in a transaction exempt from registration under the Securities Act pursuant to Section 4(a)(2) or Regulation S under the Securities Act or another available exemption from registration under the Securities Act. 

“Delayed Draw Private Placement Investors” has the meaning set forth in the Recitals. 

“Delayed Draw Private Placement Purchase Amount” means $13,125,000, representing the purchase price for the
Delayed Draw Private Placement Stapled Securities. 
 “Delayed Draw Private Placement Stapled Securities”
means the Exit Notes and the New Diamond Common Shares committed to be purchased pursuant to the Delayed Draw Subscription Agreements in the Delayed Draw Private Placement. 

“Delayed Draw Rights Offering” means the rights offering for (i) $21,875,000 aggregate principal amount
of Exit Notes and (ii) New Diamond Common Shares representing approximately 5.97% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by the MIP and the New Warrants, issued by the Reorganized Diamond
Offshore, in each case on the terms set forth in the Plan. 
 “Delayed Draw Rights Offering Amount”
means an amount equal to $21,875,000. 

  
 12 

 “Delayed Draw Rights Offering Participants” means those
Persons who duly subscribe for Delayed Draw Rights Offering Stapled Securities in connection with the Delayed Draw Rights Offering in accordance with the Rights Offering Procedures. 

“Delayed Draw Rights Offering Stapled Securities” means the Exit Notes and the New Diamond Common Shares
(including, in each case, all Unsubscribed Delayed Draw Stapled Securities committed to be purchased by the Commitment Parties pursuant to this Agreement) committed to be purchased pursuant to the Delayed Draw Subscription Agreements. 

“Delayed Draw Subscription Agreement” means a subscription agreement among each Delayed Draw Commitment Party
and the Reorganized Diamond Offshore establishing the terms and conditions of the Delayed Draw Commitment Parties’ obligations to purchase the Delayed Draw Exit Notes. 

“Delayed Draw Subscription Commitment” has the meaning set forth in Section 2.2(a).

 “Disclosure Statement” means the disclosure statement for the Plan approved by the Bankruptcy Court
pursuant to section 1125 of the Bankruptcy Code (including all exhibits and schedules thereto), in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors, as evidenced in writing, and each as may be further
amended, supplemented or otherwise modified from time to time in a manner that is reasonably acceptable to the Requisite Financing Parties and the Debtors. 

“Disclosure Statement Order” means an order entered by the Bankruptcy Court approving the Disclosure Statement
(including all exhibits and schedules attached thereto). 
 “Effective Date” means the date upon which all
conditions precedent to the effectiveness of the Plan have been satisfied or are expressly waived in accordance with the terms thereof, as the case may be, and on which the Restructuring and the other transactions to occur on such date pursuant to
the Plan become effective or are consummated. 
 “Eighth Supplemental Indenture” means the eighth
supplemental indenture to the Base Indenture dated November 5, 2013, by and among the Company, as issuer, and The Bank of New York Mellon Trust Company, N.A., as trustee. 

“Enforceability Exceptions” has the meaning set forth in Section 4.7. 

“Environmental Laws” means all applicable laws (including common law), regulations, codes, ordinances, Orders,
decrees, treaties, directives, judgments or legally binding agreements promulgated or entered into by or with any Governmental Entity, relating to the protection of the environment, natural resources, or the Release of, or exposure to, any Hazardous
Material or to health and safety matters. 

  
 13 

 “Equity Interests” means all shares of capital stock,
including, but not limited to, common or preferred equity or other equity interests, and any options, warrants, convertible securities or other rights, agreements, arrangements or commitments of any character relating to the same. 

“ERISA” means the Employee Retirement Income Security Act of 1974. 

“ERISA Affiliate” means any trade or business (whether or not incorporated) that, together with the Debtors or
any of their Subsidiaries, is treated as a single employer under Section 414(b) or (c) of the Code, or, solely for purposes of Section 302 of ERISA and Section 412 of the Code, is treated as a single employer under
Section 414 of the Code. 
 “Escrow Account” has the meaning set forth in
Section 2.4(a)(v). 
 “Escrow Funding Date” has the meaning set forth in
Section 2.4(b). 
 “Event” means any event, development, occurrence, circumstance,
effect, condition, result, state of facts or change. 
 “Exchange Act” means the Securities Exchange Act
of 1934, as amended. 
 “Existing Commitment Party Purchaser” has the meaning set forth in
Section 2.6(c). 
 “Existing Confidentiality Agreements” has the meaning set forth
in Section 6.4. 
 “Exit Facilities Documents” has the meaning set forth in the
Plan. 
 “Exit Notes” means up to $119,900,000 aggregate principal amount of 9.00%/11.00%/13.00% payment-in-kind toggle notes due 2027, issued pursuant to the Exit Notes Indenture in connection with the Rights Offerings, the Private Placements and the Delayed Draw
Subscription Agreements, and including any Exit Notes issued as the Commitment Premium. 
 “Exit Notes
Documents” means the agreements with respect to the Exit Notes, including the Exit Notes Indenture and any agreements, commitment letters, documents, instruments, collateral and security documentation, intercreditor agreement, and other
ancillary documentation related thereto. 
 “Exit Notes Indenture” means the certain indenture governing the
Exit Notes dated as of the Effective Date among the Company, the Guarantors, the Trustee and the Collateral Trustee. 

“Expense Reimbursement” has the meaning set forth in Section 3.3(a). 

“Filing Party” has the meaning set forth in Section 6.13(b). 

  
 14 

 “Financial Reports” has the meaning set forth in
Section 6.5(a). 
 “Final Order” means, as applicable, an Order of the Bankruptcy
Court or other court of competent jurisdiction, which has not been reversed, stayed, reconsidered, readjudicated, modified or amended, and as to which the time to appeal or seek certiorari has expired and no appeal or petition for certiorari has
been timely taken, or as to which any appeal that has been taken or any petition for certiorari that has been or may be filed has been resolved by the highest court to which the Order could be appealed or from which certiorari could be sought or the
new trial, re-argument or rehearing shall have been denied, resulted in no modification of such Order or has otherwise been dismissed with prejudice; provided, that the possibility that a motion under
Rule 60 of the Federal Rules of Civil Procedure, as made applicable by Rule 9024 of the Federal Rules of Bankruptcy Procedure, may be filed relating to such Order shall not cause such Order to not be a Final Order. 

“Final Outside Date” has the meaning set forth in Section 9.4(f). 

“Financing Party” means (a) each Commitment Party and (b) each Private Placement Investor, in each
case subject to the replacement of such parties in the event of a Commitment Party Default or Private Placement Investor Default, as applicable. 

“Funding Amount” has the meaning set forth in Section 2.4(a)(iv). 

“Funding Commitment” has the meaning set forth in Section 2.2(b). 

“Funding Notice” has the meaning set forth in Section 2.4(a). 

“GAAP” means the U.S. generally accepted accounting principles. 

“Governmental Entity” means any U.S. or
non-U.S. international, regional, federal, state, municipal or local governmental, judicial, administrative, legislative or regulatory authority, entity, instrumentality, agency, department, commission,
court or tribunal of competent jurisdiction (including any branch, department or official thereof). 

“Guarantors” means each of the guarantors of the Exit Notes under the Exit Notes Indenture. 

“Hazardous Materials” means all pollutants, contaminants, or hazardous or toxic wastes, materials or
substances that are listed or regulated under any Environmental Laws, including any radioactive substances, petroleum or petroleum distillates, asbestos or polychlorinated biphenyls. 

“HSR Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended. 

“Indemnified Claim” has the meaning set forth in Section 8.2. 

  
 15 

 “Indemnified Person” has the meaning set forth in
Section 8.1. 
 “Indemnifying Party” has the meaning set forth in
Section 8.1. 
 “Initial Delayed Draw Private Placement Investors” has the meaning
set forth in the Recitals. 
 “Initial Primary Private Placement Investors” has the meaning set forth in the
Recitals. 
 “Initial Private Placement Investor” shall mean any Private Placement Investor signing this
agreement on the date hereof. 
 “Joint Filing Party” has the meaning set forth in
Section 6.13(c). 
 “Knowledge” means the actual knowledge, after reasonable
inquiry of their direct reports, of the chief executive officer, chief financial officer, chief operating officer and general counsel of such Person. As used herein, “actual knowledge” means information that is personally known by the
listed individual(s). 
 “Law” means any law (statutory or common), statute, regulation, rule, code or
ordinance enacted, adopted, issued or promulgated by any Governmental Entity. 
 “Lease” means any existing
oil and gas lease, oil, gas and mineral lease or sublease, and other leasehold interest, and the leasehold estates created thereby, including carried interests, rights of recoupment, options, reversionary interests, convertible interests and rights
to reassignment. 
 “Legal Proceedings” means any material legal, governmental, administrative, judicial or
regulatory investigations, audits, actions, suits, claims, arbitrations, demands, demand letters, claims, notices of noncompliance or violations or proceedings. 

“Legend” has the meaning set forth in Section 6.12. 

“Losses” has the meaning set forth in Section 8.1. 

“Material Adverse Effect” means any Event after September 30, 2020 that, individually or in the aggregate
(taking into account all other such Events) (1) has had, or would reasonably be expected to have, a material adverse change in or material adverse effect on the business, assets, liabilities, finances, properties, results of operations or
condition (financial or otherwise) of the Debtors and their Subsidiaries, taken as a whole, but excluding (a) any change or effect to the extent that it directly results from or directly arises out of (i) the pendency of the
Chapter 11 Cases; (ii) the execution and delivery of this Agreement or the announcement thereof or consummation of the transactions contemplated hereby; (iii) changes in any federal, state, provincial, local, municipal, foreign,
international, multinational or other administrative Order, constitution, law, ordinance, principle of common law, regulation, statute or treaty, generally accepted 

  
 16 

 
accounting principles or other accounting regulations or principles; (iv) acts of God, including any natural (including weather-related) or man-made
event or disaster, epidemic, pandemic or disease outbreak (including the COVID-19 virus); or (v) any action taken at the express written request of the Financing Parties (except with respect to any
unintended consequences occurring in connection therewith); (b) any change or effect generally applicable to economic or industry conditions, including changes in the prices of oil, natural gas, condensate or natural gas liquids or other
commodities, changes in exchange rates, interest rates or monetary policy, or the commodities, credit, financial, currency, securities or capital markets that generally affects the industry in which the Debtors operate or participate; (c) any
outbreak or escalation of hostilities or war or any act of terrorism; (d) changes in general legal, regulatory or political conditions after September 30, 2020; (e) changes in GAAP, applicable Laws or any accounting requirements applicable
to any industry in which the Debtors operate or the interpretation of any of the foregoing after September 30, 2020; (f) any action taken or omitted by any Financing Party or any of their Representatives, including any breach hereof;
(g) any failure by the Debtors to meet any internal or published projection for any period (provided that the underlying cause of any such failure may constitute, or be taken into account in determining, a Material Adverse Effect to the extent
not otherwise excluded under the foregoing clauses (a)-(f) or clause (i)); (h) any change in the market price or trading volume of any debt or equity securities of the Debtors (provided that the underlying cause of any such change may constitute, or
be taken into account in determining, a Material Adverse Effect to the extent not otherwise excluded under the foregoing clauses (a)-(g)); (i) any objections in the Bankruptcy Court to (i) this Agreement and the other Transaction Agreements and
the transactions contemplated hereby and thereby or (ii) the reorganization of Debtors and any related plan of reorganization or disclosure statement; and (j) any Order of the Bankruptcy Court or any actions or omissions of the Debtors as
required thereby; provided, in the cases of clauses (a)(iv), (b) and (c) of this definition, that such Event may be taken into account in determining the occurrence of a Material Adverse Effect if
and only to the extent that such Event is disproportionately and materially adverse to the Debtors, taken as a whole, as compared to other companies in the industries in which the Debtors operate, or (2) has had, or would reasonably be expected
to have, a material adverse effect on the Debtors’ ability to perform its obligations under this Agreement or any Transaction Agreements or to consummate the transactions contemplated hereby or thereby, including the Rights Offerings. 

“Milbank” has the meaning set forth in Section 3.3(a). 

“MIP” means the management incentive plan with the terms set forth in the Plan, to be established by the New
Board. 
 “MNPI” has the meaning set forth in Section 6.4(c). 

“New Board” has the meaning set forth in the Plan. 

“New Diamond Common Shares” means those certain shares of common stock or other membership units, partnership
interests or other Equity Interests issued by the Reorganized Diamond Offshore representing 100% of the equity interests in the Reorganized Diamond Offshore. 

  
 17 

 “New Purchaser” has the meaning set forth in
Section 2.6(d). 
 “New Warrants” means new warrants with an exercise period of
five years, exercisable into 7% of the New Diamond Common Shares, subject to dilution by the MIP Equity Shares, struck at a total enterprise value implying a 100% recovery to Holders of Senior Notes Claims on the face value of their Claims
(including accrued interest as of the Petition Date), which shall include ride-through protection for the life of the New Warrants in the event of a stock-for-stock
merger involving the Reorganized Debtors. 
 “Ninth Supplemental Indenture” means the ninth supplemental
indenture to the Base Indenture, dated August 15, 2017, by and among the Company, as issuer, and The Bank of New York Mellon Trust Company, N.A., as trustee. 

“Note Indentures” means, collectively, the Base Indenture, the Eighth Supplemental Indenture and the Ninth
Supplemental Indenture. 
 “Order” means any judgment, order, award, injunction, writ, permit, license or
decree of any Governmental Entity or arbitrator of applicable jurisdiction. 
 “Outside Date” has the
meaning set forth in Section 9.4(g). 
 “Party” has the meaning set forth in the
Preamble. 
 “PCbtH Contracts” means that certain (a) Contract Service Agreement between Diamond
Offshore Company and Hydril USA Distribution LLC, dated as of February 5, 2016, and (b) Lease Agreement between Diamond Offshore Limited and EFS BOP, LLC, dated as of February 5, 2016. 

“Person” means an individual, firm, corporation (including any
non-profit corporation), partnership, limited liability company, joint venture, association, trust, Governmental Entity or any other entity or organization. 

“Petition Date” has the meaning set forth in the Recitals. 

“Plan” means a chapter 11 plan of reorganization of the Debtors implementing the transactions contemplated
hereby, including all appendices, exhibits, schedules, and supplements thereto, substantially similar with the chapter 11 plan attached as Exhibit A hereto and otherwise in form and substance acceptable to the Requisite
Financing Parties and the Debtors. 
 “Plan Support Agreement” has the meaning set forth in the Recitals.

 “Pre-Closing Period” has the meaning set forth in
Section 6.3. 

  
 18 

 “Primary Backstop Commitment” has the meaning set forth in
Section 2.2(b). 
 “Primary Private Placement” means the sale by the Company on
the Closing Date of (i) $28,125,000 aggregate principal amount of Exit Notes and (ii) New Diamond Common Shares representing approximately 7.67% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by
the MIP and the New Warrants, issued by the Reorganized Diamond Offshore, in each case on the terms set forth in the Plan, to the Primary Private Placement Investors, any such Primary Private Placement Investor’s designees or, in the event of a
Private Placement Investor Default, the Replacement Private Placement Parties, in each case solely to the extent permitted by the terms herein, in a transaction exempt from registration under the Securities Act pursuant to Section 4(a)(2) or
Regulation S under the Securities Act or another available exemption from registration under the Securities Act. 

“Primary Private Placement Investors” has the meaning set forth in the Recitals. 

“Primary Private Placement Purchase Amount” means $28,125,000, representing the aggregate purchase price for
the Primary Private Placement Stapled Securities. 
 “Primary Private Placement Stapled Securities” means
the Exit Notes and the New Diamond Common Shares issued pursuant to the Primary Private Placement and the terms of this Agreement. 

“Primary Rights Offering” means the rights offering for (i) $46,875,000 aggregate principal amount
of Exit Notes and (ii) New Diamond Common Shares representing approximately 12.78% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by the MIP and the New Warrants, issued by the Reorganized Diamond
Offshore, in each case on the terms set forth on the Plan. 
 “Primary Rights Offering Amount” means an
amount equal to $46,875,000. 
 “Primary Rights Offering Participant” means those persons who duly subscribe
for the Primary Rights Offering Stapled Securities in connection with the Primary Rights Offering in accordance with the Rights Offering Procedures. 

“Primary Rights Offering Stapled Securities” means the Exit Notes and the New Diamond Common Shares
(including, in each case, all Unsubscribed Stapled Securities purchased by the Commitment Parties pursuant to this Agreement) issued by the Reorganized Diamond Offshore on the Closing Date pursuant to and in accordance with the Rights Offering
Procedures in the Primary Rights Offering. 
 “Primary Subscription Commitment” has the meaning set forth in
Section 2.2(a). 

  
 19 

 “Private Placements” means, collectively, the Primary
Private Placement and the Delayed Draw Private Placement. 
 “Private Placement Commitment” has the meaning
set forth in Section 2.2(c). 
 “Private Placement Escrow Account” has the meaning
set forth in Section 2.4(b). 
 “Private Placement Investors” has the meaning set
forth in the Recitals or, solely in the event of a continuing Private Placement Investor Default, the Private Placement Investor Replacement Parties, if any. 

“Private Placement Investor Default” means, with respect to any Private Placement Investor, such Private
Placement Investor (a) fails to (i) duly purchase all of its Private Placement Stapled Securities which such Private Placement Investor is committed to purchase in accordance with Section 2.2(c), (ii) deliver and
pay the aggregate Purchase Price payable by it for such Private Placement Stapled Securities which such Private Placement Investor is committed to purchase by the Escrow Funding Date in accordance with Section 2.4 or
(iii) enter into any Delayed Draw Subscription Agreement required pursuant to Section 2.2(c) or (b) denies or disaffirms its obligations in writing (electronic or otherwise) pursuant to
Section 2.2(c) or Section 2.4. 
 “Private Placement Investor
Replacement Period” has the meaning set forth in Section 2.3(b). 
 “Private
Placement Stapled Securities” means, collectively, the Primary Private Placement Stapled Securities and the Delayed Draw Private Placement Stapled Securities. 

“Purchase Price” means in respect of each of the Rights Offering Stapled Securities and the Private Placement
Stapled Securities, $1,000 per (a) $1,000 principal amount of Exit Notes and (b) New Diamond Common Shares representing 0.00027% of the total New Diamond Common Shares outstanding on the Effective Date, subject to dilution by the MIP and the
New Warrants, in each case issued in connection with each Rights Offering or Private Placement, as applicable. 

“Registration Rights Agreement” has the meaning set forth in Section 6.7(a). 

“Related Fund” means (i) any investment funds or other entities who are advised by the same investment
advisor and (ii) any investment advisor with respect to an investment fund or entity it advises. 
 “Related
Purchaser” means, with respect to any Commitment Party, an Affiliate or Related Fund of such Commitment Party, as applicable. 

  
 20 

 “Release” means any spilling, leaking, pumping, pouring,
emitting, emptying, discharging, injecting, escaping, leaching, dumping, disposing or migrating in, into, onto or through the environment. 

“Remaining Initial Funding Commitment” means the Funding Commitment minus the aggregate Funding Commitments of
each Additional Private Placement Party. 
 “Reorganized Diamond Offshore” means either (a) the Company
as reorganized pursuant to and under the Plan, (b) any successor thereto, by merger, consolidation or otherwise or (c) a new corporation or limited liability company that may be formed or caused to be formed by the Debtors to, among other
things, directly or indirectly acquire substantially all of the assets and/or stock of the Debtors and issue the New Diamond Common Shares to be distributed or sold pursuant to the Plan, as approved by the Requisite Financing Parties in the case of
clause (b) or (c). 
 “Reorganized Diamond Offshore Organizational Documents”
shall mean the Bylaws and Certificates of Incorporation or formation, limited liability company agreements or comparable constituting documents of the Reorganized Diamond Offshore. 

“Replacement Commitment Parties” has the meaning set forth in Section 2.3(a). 

“Replacement Private Placement Parties” has the meaning set forth in Section 2.3(b).

 “Reports” has the meaning set forth in Section 6.5(a). 

“Representatives” means, with respect to any Person, such Person’s directors, officers, members,
partners, managers, employees, agents, investment bankers, attorneys, accountants, advisors and other representatives. 

“Requisite Financing Parties” shall mean the Commitment Parties and Initial Private Placement Investors
holding at least a majority of the aggregate Remaining Initial Funding Commitment provided, however, that the votes and commitments of any Defaulting Commitment Party or Defaulting Private Placement Party shall be excluded from the
calculation of the Backstop Commitment Percentages or the Private Placement Commitments, as applicable, for purposes of this definition. 

“Restructuring” has the meaning set forth in the Plan. 

“Restructuring Transactions” means the transactions necessary or appropriate to effect the Restructuring. 

“Rig” means any drilling rig or drillship that the Debtors or any of their Subsidiaries leases or owns, either
entirely or in part. 

  
 21 

 “Rights Offerings” means, collectively, the Delayed Draw
Rights Offering and the Primary Rights Offering. 
 “Rights Offering Expiration Time” means the respective
time and the date on which the subscription form for each Rights Offering must be duly delivered to the Rights Offering Subscription Agent in accordance with the Rights Offering Procedures, together with the Purchase Price. 

“Rights Offering Participants” means the Primary Rights Offering Participants and the Delayed Draw Rights
Offering Participants. 
 “Rights Offering Procedures” means the procedures for each Rights Offering that
are approved by the Bankruptcy Court pursuant to the BCA Approval Order, which procedures shall be in form and substance satisfactory to the Requisite Financing Parties, as may be amended or modified in a manner that is reasonably acceptable to the
Requisite Financing Parties and the Company. 
 “Rights Offering Stapled Securities” means, collectively,
the Delayed Draw Rights Offering Stapled Securities and the Primary Rights Offering Stapled Securities. 
 “Rights
Offering Subscription Agent” means Prime Clerk LLC. 
 “Sanctioned Country” has the meaning set
forth in Section 4.29. 
 “Sanctions” has the meaning set forth in
Section 4.29. 
 “SEC” means the U.S. Securities and Exchange Commission.

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

“Senior Notes Claims” means all Claims against the Company, as issuer, arising under or in connection with the
Note Indentures. 
 “Seventh Supplemental Indenture” means the seventh supplemental indenture to the Base
Indenture dated October 8, 2009, by and among the Company, as issuer, and The Bank of New York Mellon Trust Company, N.A., as trustee. 

“Subscription Amount” has the meaning set forth in Section 2.4(a)(ii). 

“Subscription Commencement Date” will be the date set forth in the Rights Offering Procedures that holders of
Notes Claims will be granted the rights to participate in the Rights Offerings. 
 “Subscription Commitment”
means the Delayed Draw Subscription Commitment and the Primary Subscription Commitment. 

  
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 “Subscription Rights” means the rights issued in the
Delayed Draw Rights Offering and in the Primary Rights Offering (a) to commit to purchase, subject to the Delayed Draw Subscription Agreements, Delayed Draw Rights Offering Stapled Securities, and (b) to purchase the Rights Offering
Stapled Securities, respectively, in each case at the Purchase Price. 
 “Subsequent Delayed Draw Private Placement
Investors” has the meaning set forth in the Recitals. 
 “Subsequent Primary Private Placement
Investors” has the meaning set forth in the Recitals. 
 “Subsequent Private Placement Investors”
has the meaning set forth in the Recitals. 
 “Subsequent Private Placement Investor Joinder Period” has the
meaning set forth in Section 2.2(d). 
 “Subsidiary” means, with respect to any
Person, any corporation, partnership, joint venture or other legal entity as to which such Person (either alone or through or together with any other subsidiary or Affiliate), (a) owns, directly or indirectly, more than fifty percent
(50%) of the stock or other Equity Interests, (b) has the power to elect a majority of the board of directors or similar governing body thereof or (c) has the power to direct, or otherwise control, the business and policies thereof.

 “Taxes” means all taxes, assessments, duties, levies or other similar mandatory governmental charges paid
to a Governmental Entity, including all federal, state, local, foreign and other income, franchise, profits, gross receipts, capital gains, capital stock, transfer, property, sales, use, value-added, occupation, excise, severance, windfall profits,
stamp, payroll, social security, withholding and other taxes, assessments, duties, levies or other similar mandatory governmental charges of any kind whatsoever paid to a Governmental Entity (whether payable directly or by withholding and whether or
not requiring the filing of a return), all estimated taxes, deficiency assessments, additions to tax, penalties and interest thereon and shall include any liability for such amounts as a result of being a member of a combined, consolidated, unitary
or affiliated group. 
 “Termination Payment” means a nonrefundable aggregate payment in an amount equal to
$9,900,000. 
 “Transaction Agreements” means this Agreement, the Plan, the Disclosure Statement, the
Registration Rights Agreement, the Exit Notes Indenture, the Delayed Draw Subscription Agreements, the Plan Support Agreement, the Exit Notes Documents, the Exit Facilities Documents, and any documentation or agreements relating to the Registration
Rights Agreement and such other agreements and any Plan supplements or documents referred to herein or therein. 

  
 23 

 “Transfer” means to sell, transfer, assign, pledge,
hypothecate, participate, donate or otherwise encumber or dispose of, directly or indirectly (including through derivatives, options, swaps, pledges, forward sales or other transactions in which any Person receives the right to own or acquire any
current or future interest in) a Backstop Commitment, a Subscription Right, an Exit Note or a New Diamond Common Share or the act of any of the aforementioned actions. 

“Trustee” means the trustee under the Exit Notes Indenture. 

“Unsubscribed Delayed Draw Stapled Securities” means any of the Delayed Draw Rights Offering Stapled
Securities that have not been duly committed for the Delayed Draw Rights Offering Participants in accordance with the Rights Offering Procedures and the Plan. 

“Unsubscribed Primary Stapled Securities” means any of the Primary Rights Offering Stapled Securities that
have not been duly purchased by the Primary Rights Offering Participants in accordance with the Rights Offering Procedures and the Plan. 

“Unsubscribed Stapled Securities” means the Unsubscribed Primary Stapled Securities and the Unsubscribed
Delayed Draw Stapled Securities. 
 “Voting Claims” means, with respect to any Commitment Party, all Claims
(as defined in the Plan) against the Debtors entitled to vote on the Plan, including Senior Notes Claims, beneficially owned by such Commitment Party or for which such Commitment Party serves as the nominee, investment manager or advisor for
beneficial holders, if applicable, and for which such Commitment Party has voting power. 
 “willful or intentional
breach” has the meaning set forth in Section 9.6(a). 
 “Withdrawal Replacement
Commitment Parties” has the meaning set forth in Section 9.5(b). 
 “Withdrawing
Commitment Party” has the meaning set forth in Section 9.5(b). 
 Section 1.2 Construction.
In this Agreement, unless the context otherwise requires: 
 (a) references to Articles, Sections, Exhibits and Schedules are references to
the articles and sections or subsections of, and the exhibits and schedules attached to, this Agreement; 
 (b) references in this
Agreement to “writing” or comparable expressions include a reference to a written document transmitted by means of electronic mail in portable document format (pdf), facsimile transmission or comparable means of communication; 

  
 24 

 (c) words expressed in the singular number shall include the plural and vice versa; words
expressed in the masculine shall include the feminine and neuter gender and vice versa; 
 (d) the words “hereof,”
“herein,” “hereto” and “hereunder,” and words of similar import, when used in this Agreement, shall refer to this Agreement as a whole, including all Exhibits and Schedules attached to this Agreement, and not to any
provision of this Agreement; 
 (e) the term this “Agreement” shall be construed as a reference to this Agreement as the same may
have been, or may from time to time be, amended, modified, varied, novated or supplemented in accordance with the terms hereof; 
 (f)
“include,” “includes” and “including” are deemed to be followed by “without limitation” whether or not they are in fact followed by such words; 

(g) references to “day” or “days” are to calendar days; 

(h) references to “the date hereof” means the date of this Agreement; 

(i) unless otherwise specified, references to a statute means such statute as amended from time to time and includes any successor
legislation thereto and any rules or regulations promulgated thereunder in effect from time to time; and 
 (j) references to
“dollars” or “$” are to United States of America dollars. 
 ARTICLE II 

BACKSTOP AND PRIVATE PLACEMENT COMMITMENTS 

Section 2.1 The Rights Offerings and Private Placements. 

(a) On and subject to the terms and conditions hereof, including entry of the BCA Approval Order and the Confirmation Order, the Company
shall conduct each Rights Offering pursuant to, and in accordance with, the Rights Offering Procedures, this Agreement, the Plan Support Agreement and the Plan. 

(b) On and subject to the terms and conditions hereof, including entry of the BCA Approval Order and the Confirmation Order, the Company
shall conduct each Private Placement pursuant to, and in accordance with, this Agreement, the Plan Support Agreement, and the Plan. 

  
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 Section 2.2 The Subscription Commitment, Backstop Commitment and Private
Placement Commitment. 
 (a) On and subject to the terms and conditions hereof, each Commitment Party agrees, severally and not
jointly, (i) to fully exercise, and to cause its Affiliates to fully exercise, all Subscription Rights that are properly issued to it on the applicable Subscription Commencement Date on account of their Senior Notes Claims listed on Schedule
5 pursuant to the Primary Rights Offering, (ii) to duly purchase, and to cause its Affiliates to duly purchase, all Primary Rights Offering Stapled Securities issuable to it or its Affiliates on the Effective Date on account of their Senior
Notes Claims listed on Schedule 5 pursuant to such exercise in clause (i) above at the Purchase Price, in accordance with the Rights Offering Procedures and the Plan (the “Primary Subscription Commitment”), and
(iii) to execute and deliver, and to cause its Affiliates to execute and deliver, Delayed Draw Subscription Agreements committing on a several and not joint basis to purchase the Delayed Draw Rights Offering Stapled Securities in accordance
with the terms thereof in the amount specified in Schedule 4 hereto on and subject to the terms and conditions set forth in such Delayed Draw Subscription Agreements (the “Delayed Draw Subscription Commitment”). 

(b) On and subject to the terms and conditions hereof, (i) each Commitment Party agrees, severally and not jointly, to purchase, and the
Company agrees to sell to such Commitment Party, on the Closing Date (as defined below) for the Purchase Price, the number of Unsubscribed Primary Stapled Securities in connection with the Primary Rights Offering equal to (A) such Commitment
Party’s Backstop Commitment Percentage multiplied by (B) the aggregate principal amount and number, as applicable, of Unsubscribed Primary Stapled Securities in the Primary Rights Offering, calculated to two decimal places and rounded up
or down to the closest whole share and closest $1.00 (with a half share or $0.50 or greater rounded up and less than a half share or $0.50 rounded down) among the Commitment Parties solely to avoid issuances of Exit Notes of less than $1.00 and
fractional shares (no consideration shall be provided in lieu of fractional shares or Exit Notes that are rounded down), (ii) each Commitment Party agrees, severally and not jointly, to commit to purchase pursuant to and subject to the terms of the
Delayed Draw Subscription Agreements, and the Company commits to sell pursuant to and subject to the terms of the Delayed Draw Subscription Agreements for the Purchase Price, the principal amount and number, as applicable, of Unsubscribed Delayed
Draw Stapled Securities in connection with the Delayed Draw Rights Offering equal to (A) such Commitment Party’s Delayed Draw Commitment Percentage multiplied by (B) the aggregate principal amount and number, as applicable, of
Unsubscribed Delayed Draw Stapled Securities in the Delayed Draw Rights Offering, calculated to two decimal places and rounded up or down to the closest whole share and closest $1.00 (with a half share or $0.50 or greater rounded up and less than a
half share or $0.50 rounded down) among the Commitment Parties solely to avoid issuances of Exit Notes of less than $1.00 and fractional shares (no consideration shall be provided in lieu of fractional shares or Exit Notes that are rounded down) and
(iii) the Company shall execute and deliver the corresponding Delayed Draw Subscription Agreements referred to in clause (ii) above on the Closing Date and issue the Delayed Draw New Common Shares issuable under such Delayed Draw
Subscription Agreements on the Closing Date. The obligations of the Commitment Parties to purchase such Unsubscribed Primary Stapled Securities in connection with the Primary Rights Offering as described in this
Section 2.2(b) shall be referred to as the “Primary Backstop Commitment” and, together with the Primary Subscription Commitment, the “Funding Commitment”. The obligations of the Commitment
Parties to enter into Delayed Draw Subscription Agreements committing to purchase the Unsubscribed Delayed Draw Stapled Securities subject to the terms thereof in connection with the Delayed Draw Rights Offering as described in this
Section 2.2(b) shall be referred to as the “Delayed Draw Backstop Commitment” and, together with the Funding Commitment, the “Backstop Commitment”. 

  
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 (c) On and subject to the terms and conditions hereof, (i) each Primary Private
Placement Investor agrees, severally and not jointly, to purchase, and the Company agrees to sell to such Primary Private Placement Investor, on the Closing Date, the Primary Private Placement Stapled Securities for the Primary Private Placement
Purchase Amount as set forth on Schedule 3a and Schedule 3b, calculated to two decimal places and rounded up or down to the closest whole share and closest $1.00 (with a half share or $0.50 or greater rounded up and less than a half
share or $0.50 rounded down) among the Primary Private Placement Investors solely to avoid commitments of Exit Notes of less than $1.00 and issuances of fractional shares (no consideration shall be provided in lieu of fractional shares or Exit Notes
that are rounded down), (ii) each Delayed Draw Private Placement Investor agrees to execute and deliver, and to cause its Affiliates to execute and deliver, the Delayed Draw Subscription Agreements, committing on a several and not joint basis to
purchase the Private Placement Stapled Securities in accordance with the terms thereof in the amounts specified in Schedule 3c and Schedule 3d hereto on and subject to the terms and conditions set forth in such Delayed Draw
Subscription Agreement, and (iii) the Company shall execute and deliver the corresponding Delayed Draw Subscription Agreements referred to in clause (ii) above on the Closing Date and issue the Delayed Draw New Common Shares issuable under
such Delayed Draw Subscription Agreements on the Closing Date. The obligations of the Primary Private Placement Investors to purchase such Primary Private Placement Stapled Securities as described in this Section 2.2(c)
shall be referred to as the “Private Placement Commitment”. 
 (d) On and subject to the terms and conditions hereof,
during the period commencing the first Business Day following the date of this Agreement and ending fourteen (14) Calendar Days thereafter (the “Subsequent Private Placement Investor Joinder Period”), a holder of a Senior Notes
Claim that is not already a party to this Agreement may agree in writing to be bound by all of the terms of this Agreement applicable to the Subsequent Private Placement Investors by executing a joinder agreement, the form of which is attached
hereto as Exhibit B (the “BCA Joinder Agreement”), provided that such holder of a Senior Notes Claim also has executed and delivered a signature page to the Plan Support Agreement to Paul, Weiss, Rifkind,
Wharton & Garrison LLP during the Subsequent Private Placement Investor Joinder Period. Upon execution and delivery of the BCA Joinder Agreement such holder of a Senior Notes Claim will be deemed a Subsequent Private Placement Investor for
all purposes hereunder, Schedule 3b and Schedule 3d shall be updated to include their commitment and all other Private Placement Investors’ Private Placement Commitments hereunder shall be adjusted proportionately to take into
account such Subsequent Private Placement Investor’s Private Placement Commitment. A Subsequent Private Placement Investor’s maximum commitment hereunder shall be limited to their percentage of total Senior Notes Claims as of the last day
of the Subsequent Private Placement Investor Joinder Period. 
 Section 2.3 Financing Party Default. 

(a) With respect to the Rights Offerings, during the five (5) Business Day period (which period may be extended by the Company in its
sole discretion one time for a period of up to five (5) additional Business Days) after receipt of written notice from the Company to all Commitment Parties of a Commitment Party Default, which notice shall be given promptly to all Commitment
Parties substantially concurrently following the occurrence of such Commitment Party Default (such five (5) Business Day or such longer period if extended, 

  
 27 

 
the “Commitment Party Replacement Period”), the Commitment Parties (other than any Defaulting Commitment Party) shall have the right, but not the obligation, to make arrangements
for one or more of the Commitment Parties (other than any Defaulting Commitment Party) to purchase all or any portion of the Available Stapled Securities or enter into any Delayed Draw Subscription Agreements required to be entered into pursuant to
Section 2.2(b) (such purchase or commitment, a “Commitment Party Replacement”) on the terms and subject to the conditions set forth in this Agreement and in such amounts as may be agreed upon by all of the Commitment Parties
electing to purchase or commit to purchase, as applicable, all or any portion of the Available Stapled Securities (such Commitment Parties, the “Replacement Commitment Parties”). Any such Available Stapled Securities purchased or
committed to be purchased, as applicable, by a Replacement Commitment Party shall be included, among other things, in the determination of (x) the Unsubscribed Stapled Securities to be purchased in the Primary Rights Offering or committed to be
Purchased in the Delayed Draw Rights Offering by such Replacement Commitment Party for all purposes hereunder, (y) the Backstop Commitment Percentage of such Replacement Commitment Party for all purposes hereunder and (z) the Backstop
Commitment of such Replacement Commitment Party for purposes of the definition of the “Requisite Financing Parties.” If a Commitment Party Default occurs, the Outside Date shall be delayed only to the extent necessary to allow for the
Commitment Party Replacement to be completed within the Commitment Party Replacement Period. 
 (b) With respect to the Private Placements,
during the five (5) Business Day period (which period may be extended by the Company in its sole discretion one time for a period of up to five (5) additional Business Days) after receipt of written notice from the Company to all
Commitment Parties of a Private Placement Investor Default, which notice shall be given promptly to all Commitment Parties substantially concurrently following the occurrence of such Private Placement Investor Default (such five (5) Business
Day or such longer period if extended by the Company, the “Private Placement Investor Replacement Period”), the Commitment Parties (other than any Defaulting Private Placement Party) shall have the right, but not the obligation, to
make arrangements for one or more of the Commitment Parties (other than any Defaulting Commitment Party) to purchase all or any portion of the Private Placement Stapled Securities of such Defaulting Private Placement Party and assume the obligations
of such Defaulting Private Placement Party under any Delayed Draw Subscription Agreement required under Section 2.2(c) on the terms and subject to the conditions set forth in this Agreement and in such amounts as may be
agreed upon by all of the Commitment Parties electing to purchase or commit to purchase, as applicable, all or any portion of the Private Placement Stapled Securities (such Commitment Parties, the “Replacement Private Placement
Parties”). Any such Private Placement Stapled Securities purchased by a Replacement Private Placement Party shall be included in the determination of (x) the Unsubscribed Stapled Securities to be purchased by such Replacement Private
Placement Party for all purposes hereunder, (y) the Backstop Commitment Percentage of such Replacement Private Placement Party for all purposes hereunder and (z) the Backstop Commitment of such Replacement Private Placement Party for
purposes of the definition of the “Requisite Financing Parties.” If a Private Placement Investor Default occurs, the Outside Date shall be delayed only to the extent necessary to allow for the Private Placement Investor Replacement Period
to be completed within the Private Placement Investor Replacement Period. For the avoidance of doubt, any failure by a Replacement Private Placement Party to purchase Private Placement Stapled Securities in the event of a Private Placement Investor
Default shall not constitute a Commitment 

  
 28 

 
Party Default. Schedule 3 shall be revised as necessary without requiring a written instrument signed by the Company and the Requisite Financing Parties to reflect conforming changes in
the composition of the Replacement Private Placement Parties and Private Placement Commitments as a result of any Private Placement Investor Replacement Period in compliance with this Section 2.3(b). 

(c) Notwithstanding anything in this Agreement to the contrary, if a Commitment Party is a Defaulting Commitment Party, it shall not be
entitled to any of the Commitment Premium, Termination Payment, or Expense Reimbursement applicable solely to such Defaulting Commitment Party provided, or to be provided, under or in connection with this Agreement, and no Defaulting Private
Placement Party shall be entitled to receipt of any expense reimbursement with respect to the Private Placement. 
 (d) Nothing in this
Agreement shall be deemed to require a Commitment Party to purchase more than its Backstop Commitment Percentage of the Unsubscribed Stapled Securities. 

(e) For the avoidance of doubt, notwithstanding anything to the contrary set forth in Section 9.6, but subject to
Section 10.10, no provision of this Agreement shall relieve any Defaulting Commitment Party or Defaulting Private Placement Party from any liability hereunder, or limit the availability of the remedies set forth in
Section 10.9, in connection with a Defaulting Commitment Party’s Commitment Party Default or Defaulting Private Placement Party’s Private Placement Investor Default, as applicable, under this Article
II or otherwise. 
 Section 2.4 Escrow Account Funding. 

(a) No later than the third (3rd) Business Day following the Rights Offering Expiration Time with respect to the Rights Offerings, the
Rights Offering Subscription Agent shall deliver to each Financing Party (other than a Subsequent Private Placement Investor) a written notice (the “Funding Notice”) of: 

(i) the principal amount and number, as applicable, of Primary Rights Offering Stapled Securities elected to be purchased by the Rights
Offering Participants (including a breakdown of the Exit Notes and the New Diamond Common Shares in each case) and the aggregate Purchase Price therefor and the principal amount and number, as applicable, of Delayed Draw Rights Offering Stapled
Securities committed to be purchased by the Delayed Draw Rights Offering Participants (including a breakdown of the Delayed Draw Exit Notes and the Delayed Draw New Common Shares in each case) as agreed to in the Delayed Draw Subscription
Agreements; 
 (ii) the principal amount and number, as applicable, of Primary Rights Offering Stapled Securities (including a breakdown of
the Exit Notes and the New Diamond Common Shares in each case) (excluding any Unsubscribed Stapled Securities in connection with the Primary Rights Offering) to be issued and sold by the Company to such Commitment Party and the aggregate Purchase
Price therefor (as it relates to each Commitment Party, such Commitment Party’s “Subscription Amount”) and the principal amount and number, 

  
 29 

 
as applicable, of Delayed Draw Rights Offering Stapled Securities (including a breakdown of the Delayed Draw Exit Notes and the Delayed Draw New Common Shares in each case) committed to be
purchased by the Delayed Draw Rights Offering Participants as agreed to in the Delayed Draw Subscription Agreements; 
 (iii) the aggregate
principal amount and number of Unsubscribed Stapled Securities in connection with the Primary Rights Offering (including a breakdown of the Exit Notes and the New Diamond Common Shares in each case), if any, and the aggregate Purchase Price required
for the purchase thereof and the aggregate principal amount and number, as applicable, of Unsubscribed Delayed Draw Stapled Securities in connection with the Delayed Draw Rights Offering (including a breakdown of the Delayed Draw Exit Notes and the
Delayed Draw New Common Shares in each case), if any, and the aggregate Purchase Price required for the purchase thereof; 
 (iv) the
principal amount and number, as applicable, of Unsubscribed Stapled Securities in connection with the Primary Rights Offering (including a breakdown of the Exit Notes and the New Diamond Common Shares in each case) (based upon such Commitment
Party’s Backstop Commitment Percentage) to be issued and sold by the Company to such Commitment Party and the aggregate Purchase Price therefor (as it relates to each Commitment Party, such Commitment Party’s “Backstop
Amount”, and, together with the Subscription Amount, the “Funding Amount”) and the principal amount and number, as applicable, of Unsubscribed Delayed Draw Stapled Securities in connection with the Delayed Draw Rights
Offering (including a breakdown of the Delayed Draw Exit Notes and the Delayed Draw New Common Shares in each case) (based upon such Commitment Party’s Backstop Commitment Percentage) to be committed to by such Commitment Party and the
aggregate Purchase Price therefor; and 
 (v) the account information (including wiring instructions) for the escrow account to which such
Commitment Party shall deliver and pay the Subscription Amount and the Funding Amount with respect to the Primary Rights Offering (the “Escrow Account”); provided, that if a Commitment Party notifies the Company of its
intention to pay and deliver its Subscription Amount and the Funding Amount directly to the Company in accordance with Section 2.4(b), the Escrow Account applicable to such Commitment Party for the purposes of this
Article 2 shall be an account of the Company. 
 The Company shall promptly direct the Rights Offering Subscription Agent to provide
any written backup, information and documentation relating to the information contained in the Funding Notice as any Commitment Party may reasonably request. 

(b) Five (5) Business Days prior to the Effective Date (such date, the “Escrow Funding Date”), (i) each Commitment
Party shall deliver and pay its Funding Amount by wire transfer in immediately available funds in U.S. dollars into the Escrow Account in satisfaction of such Commitment Party’s Funding Commitment and (ii) each Initial Primary Private
Placement Investor shall deliver and pay its respective Private Placement Commitment of the Primary Private Placement Purchase Amount by wire transfer in immediately available funds in U.S. dollars into the Escrow Account in satisfaction of the
Private Placement Commitment; provided, that any fund that is prohibited from paying or delivering funds prior to the Effective 

  
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Date, as identified to the Company, Paul, Weiss, Rifkind, Wharton & Garrison LLP and to Milbank LLP at least five (5) Business Days prior to the Escrow Funding Date in writing,
shall pay and deliver such funds prior to 10:00 a.m. New York City time on the Effective Date to a segregated account of the Company as set forth under the Funding Notice. The Escrow Account shall be established with an escrow agent reasonably
acceptable to the Requisite Financing Parties and the Company pursuant to an escrow agreement in form and substance reasonably acceptable to the Requisite Financing Parties and the Company. If this Agreement is terminated in accordance with its
terms, the funds held in the Escrow Account shall be released, and each Financing Party shall receive from the Escrow Account the cash amount actually funded to the Escrow Account by such Financing Party, without any interest, promptly following
such termination. Any Subsequent Private Placement Investor shall deliver and pay its respective Private Placement Commitment of the Primary Private Placement Purchase Amount by wire transfer in immediately available funds in U.S. dollars in
accordance with the Rights Offering Procedures in satisfaction of the Private Placement Commitment. 
 (c) The Company shall provide notice
of the Effective Date to each Financing Party no later than eight (8) Business Days prior to such Effective Date. 
 Section 2.5
Closing. 
 (a) Subject to Article VII, unless otherwise mutually agreed in writing between the Company and the
Requisite Financing Parties, the closing of the Backstop Commitments and the Primary Private Placement (the “Closing”) shall take place at the offices of Milbank LLP, 55 Hudson Yards, New York, New York 10001, at 10:00
a.m., New York City time, on the date on which all of the conditions set forth in Article VII shall have been satisfied or waived in accordance with this Agreement (other than conditions that by their terms are to be satisfied at the
Closing, but subject to the satisfaction or waiver of such conditions). The date on which the Closing actually occurs shall be referred to herein as the “Closing Date.” 

(b) At the Closing, the funds held in the Escrow Account shall be released to the Company and utilized as set forth in, and in accordance
with, the Plan and Confirmation Order. 
 (c) At the Closing, issuance of the Exit Notes and New Diamond Common Shares will be made by the
Company to (i) each Commitment Party (or to its designee in accordance with Section 2.8) against payment of such Commitment Party’s Funding Amount, in satisfaction of such Commitment Party’s Funding
Commitment and (ii) each Primary Private Placement Investor (or to its designee in accordance with Section 2.8) against payment of such Primary Private Placement Investor’s Private Placement Commitment of the
Primary Private Placement Purchase Amount, in satisfaction of such Primary Private Placement Investor’s Private Placement Commitment. The Company shall cause all Exit Notes and New Diamond Common Shares to be delivered into the account of a
Financing Party through the facilities of The Depository Trust Company; provided, however, that to the extent The Depository Trust Company does not permit the Exit Notes or the New Diamond Common Shares to be deposited through its
facilities, such securities will be delivered, at the option of the Financing Party, in book entry form on the register of the Company’s stock transfer agent or in the form of physical stock certificates to the account of the Financing Parties.
Notwithstanding anything to the contrary in this Agreement, all Exit Notes and New Diamond Common Shares will be delivered with all issue, stamp, transfer, sales and use, or similar transfer Taxes or duties that are due and payable (if any) in
connection with such delivery duly paid by the Company. 

  
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 Section 2.6 Transfer of Backstop Commitments and Private Placement
Commitments. 
 (a) (i) No Commitment Party or Private Placement Investor (or any permitted transferee thereof) may Transfer all
or any portion of its Backstop Commitment or Private Placement Commitment, as applicable, to the Debtors or any of the Debtors’ Affiliates; and (ii) notwithstanding any other provision of this Agreement, neither the Backstop Commitment nor
the Private Placement Commitment may be transferred after the Company provides the Funding Notice in accordance with the terms of Section 2.4 of this Agreement without the consent of both the Requisite Financing Parties and
the Company. 
 (b) Each Commitment Party may Transfer all or any portion of its Backstop Commitment and each Initial Primary Private
Placement Investor may transfer all or any portion of its Private Placement Commitment to any Related Purchaser of such Commitment Party or Initial Primary Private Placement Investor, as applicable, upon delivery to the Company and the Rights
Offering Subscription Agent of a joinder to this Agreement, substantially in the form attached hereto as Exhibit C, executed by such Commitment Party or Private Placement Party, as applicable, and such Related Purchaser.

 (c) Each Commitment Party may Transfer all or any portion of its Backstop Commitment to any other Commitment Party or such other
Commitment Party’s Related Purchaser (each, an “Existing Commitment Party Purchaser”) and each Initial Primary Private Placement Investor may Transfer all or any portion of its Private Placement Commitment to any other Initial
Private Placement Investor or such other Initial Private Placement Investor’s Related Purchaser (each, an “Existing Initial Private Placement Investor”); provided, that (i) such Transfer shall have been consented to
by the Requisite Financing Parties (in the case of a Transfer to a Related Purchaser) (such consent not to be unreasonably withheld or conditioned and shall be deemed to have been given after two (2) Complete Business Days following
notification in writing to Milbank LLP and the Company of the proposed Transfer by such Commitment Party or Initial Primary Private Placement Investor, as applicable), and (ii) (1) to the extent such Existing Commitment Party Purchaser or
Existing Initial Private Placement Investor is not a Commitment Party or Initial Private Placement Investor hereunder, prior to or concurrently with such Transfer such Commitment Party or Initial Private Placement Investor, as applicable shall
deliver to the Company and the Rights Offering Subscription Agent a joinder to this Agreement, substantially in the form attached hereto as Exhibit D-1, executed by such Commitment
Party and such Existing Commitment Party Purchaser or by such Initial Private Placement Investor and such Existing Initial Private Placement Investor, as applicable and (2) to the extent such Existing Commitment Party Purchaser is already a
Commitment Party hereunder or such Existing Initial Private Placement Investor is already an Initial Private Placement Investor such Commitment Party or such Initial Private Placement Investor, as applicable, shall deliver to the Company and the
Rights Offering Subscription Agent an amendment to this Agreement, substantially in the form attached hereto as Exhibit D-2, executed by such Commitment Party and such Existing
Commitment Party Purchaser or by such Initial Primary 

  
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Private Placement Investor and such Existing Initial Private Placement Investor, as applicable; provided, further, that no Transfer pursuant to this
Section 2.6(c) shall relieve such Commitment Party or such Initial Primary Private Placement Investor from its obligations under this Agreement unless the Company otherwise agrees in writing to release such Commitment Party
or such Initial Primary Private Placement Investor from its obligations under this Agreement in the Company’s sole discretion. 
 (d)
Subject to Section 2.6(e), each Commitment Party shall have the right to Transfer all or any portion of its Backstop Commitment to any Person that is not an Existing Commitment Party Purchaser and each Initial Primary
Private Placement Investor shall have the right to transfer all or any portion of its Private Placement Commitment to a Person that is not an Existing Initial Private Placement Investor (each of the Persons to whom a Transfer is made, a “New
Purchaser”), provided, that (i) such Transfer shall have been consented to by the Requisite Financing Parties (such consent shall not be unreasonably withheld or conditioned and shall be deemed to have been given after two
(2) Complete Business Days following notification in writing to Milbank LLP of a proposed Transfer by such Commitment Party); (ii) such Transfer shall have been consented to by the Company in writing (such consent shall not be unreasonably
withheld or conditioned and shall be deemed to have been given after two (2) Complete Business Days following written notification of a proposed Transfer by such Commitment Party or Private Placement Party, as applicable to the Company, unless
any written objection is provided by the Company to such Commitment Party or Initial Primary Private Placement Investor, as applicable, during such two Business Day period); (iii) prior to and in connection with such Transfer, such Commitment
Party or such Initial Primary Private Placement Investor, as applicable shall deliver to the Company and the Rights Offering Subscription Agent a joinder to this Agreement, substantially in the form attached hereto as
Exhibit E, executed by such Commitment Party or Initial Primary Private Placement Investor, as applicable and such New Purchaser; and (iv) simultaneously with a Commitment Party’s Transfer of all or any portion of
its Backstop Commitment to a New Purchaser or an Initial Primary Private Placement Investor’s Transfer of all or any portion of its Private Placement Commitment to a New Purchaser, such Commitment Party or such Private Placement Party, as
applicable shall be obligated to make a proportionate Transfer of the Senior Notes Claims held by the Commitment Party or the Initial Primary Private Placement Investor to such New Purchaser (for the avoidance of doubt, the amount shall be
determined by dividing the amount of the Backstop Commitment or Private Placement Commitment proposed to be sold by the total amount of Backstop Commitments or Private Placement Commitments held by the Commitment Party or Initial Primary Private
Placement Investor, as applicable and then applying that percentage to the aggregate amount of each type of Claim held by the Commitment Party or Primary Private Placement Party, as applicable); provided that no Transfer pursuant to this
Section 2.6(d) shall relieve such Commitment Party or such Initial Primary Private Placement Investor from its obligations under this Agreement unless the Company otherwise agrees in writing to release such Commitment Party
or such Initial Primary Private Placement Investor from its obligations under this Agreement in the Company’s sole discretion. 
 (e)
Any Transfer of Backstop Commitments or Private Placement Commitments made (or attempted to be made) in violation of this Agreement shall be deemed null and void ab initio and of no force or effect, regardless of any prior notice provided to
the Parties, any Commitment Party or Initial Primary Private Placement Investor, as applicable, and 

  
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shall not create (or be deemed to create) any obligation or liability of any other Commitment Party, Private Placement Investor or any Debtor to the purported transferee or limit, alter or impair
any agreements, covenants, or obligations of the proposed transferor under this Agreement. After the Closing Date, nothing in this Agreement shall limit or restrict in any way the ability of any Commitment Party or Initial Primary Private Placement
Investor (or any permitted transferee thereof) to Transfer any of the Exit Notes or New Diamond Common Shares or any interest therein. 

(f) Upon compliance with Section 2.6(b), (c) or (d), as applicable, the transferring Commitment Party
or Initial Primary Private Placement Investor, as applicable shall be deemed to relinquish its rights (and, (i) solely with respect to Transfers pursuant to Section 2.6(b) of this Agreement, be released from its
obligations solely with respect to such transferred rights and (ii) with respect to Transfers pursuant to Section 2.6(c) or (d) of this Agreement, be released from its obligations with respect to such
transferred rights upon the express written consent of the Company in its sole discretion, except for any claim for breach of this Agreement that occurs prior to such Transfer) under this Agreement to the extent of such transferred rights (and
obligations solely with respect to Section 2.6(b), (c) and (d)), and the transferee shall become an additional Commitment Party or Initial Primary Private Placement Investor and be fully bound as a Commitment
Party or Initial Primary Private Placement Investor, as applicable hereunder for all purposes of this Agreement. Upon the effectiveness of any Transfer of a Backstop Commitment or Private Placement Commitment pursuant to
Section 2.6(b), (c) or (d), as applicable, the Company shall update Schedule 2 to reflect such Transfer, and such updates shall not constitute an amendment to this Agreement or otherwise be subject to any
provision of this Agreement that applies to amendments of this Agreement. Solely to the extent that the Company agrees, in its sole discretion, to release a transferring Commitment Party or Initial Primary Private Placement Investor from its
obligations under this Agreement in accordance with Section 2.6(c) or (d), as applicable, then such transferring Commitment Party or Initial Primary Private Placement Investor shall also be released of its
obligations under this Agreement solely to extent of such transferred rights. 
 Section 2.7 [RESERVED]. 

Section 2.8 Designation Rights. 

(a) Each Commitment Party shall have the right to designate by written notice to the Company no later than two (2) Business Days prior
to the Closing Date that some or all of the Unsubscribed Stapled Securities in connection with the Primary Rights Offering and Primary Rights Offering Stapled Securities that it is obligated to purchase hereunder be issued in the name of, and
delivered to a Related Purchaser of such Commitment Party upon receipt by the Company of payment therefor in accordance with the terms hereof, which notice of designation shall: (i) be addressed to the Company and signed by such Commitment
Party and each such Related Purchaser; (ii) specify the number of Unsubscribed Stapled Securities in connection with the Primary Rights Offering and Primary Rights Offering Stapled Securities to be delivered to or issued in the name of such
Related Purchaser; and (iii) contain a confirmation by each such Related Purchaser of the accuracy of the representations set forth in Sections 5.4 through 5.6 as applied to such Related Purchaser;
provided, that no such designation pursuant to this Section 2.8(a) shall relieve such Commitment Party from its obligations under this Agreement. 

  
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 (b) Each Initial Primary Private Placement Investor shall have the right to designate by
written notice to the Company no later than two (2) Business Days prior to the Closing Date that some or all of the Primary Private Placement Stapled Securities that it is obligated to purchase hereunder be issued in the name of, and delivered
to a Related Purchaser of such Initial Primary Private Placement Investor upon receipt by the Company of payment therefor in accordance with the terms hereof, which notice of designation shall: (i) be addressed to the Company and signed by such
Initial Primary Private Placement Investor and each such Related Purchaser; (ii) specify the number of Primary Private Placement Stapled Securities to be delivered to or issued in the name of such Related Purchaser; and (iii) contain a
confirmation by each such Related Purchaser of the accuracy of the representations set forth in Sections 5.4 through 5.6 as applied to such Related Purchaser; provided, that no such designation pursuant to this
Section 2.8(b) shall relieve such Initial Primary Private Placement Investor from its obligations under this Agreement. 

Section 2.9 Consent to Transfers of Subscription Rights by Commitment Parties. The Company hereby consents to any Transfer of the
Subscription Rights held by any Commitment Party to any such Commitment Party’s Related Purchaser. Each Commitment Party may Transfer any interest in a Rights Offering Stapled Security following the applicable Subscription Commencement Date
without a corresponding transfer of Subscription Rights. 
 Section 2.10 Notification of Aggregate Number of Exercised Subscription
Rights. Upon request from the Requisite Financing Parties or the Advisors, from time to time prior to the applicable Rights Offering Expiration Time (and any permitted extensions thereto), the Company shall promptly notify, or cause the Rights
Offering Subscription Agent to promptly notify, the Commitment Parties or the Private Placement Investors, as applicable, of the aggregate number of Subscription Rights known by the Company or the Rights Offering Subscription Agent to have been
exercised pursuant to the Primary Rights Offering as of the most recent practicable time before such request. 
 Section 2.11 Rights
Offerings. The Rights Offerings shall be conducted in accordance with Section 1145 of the Bankruptcy Code, except with respect to the offer and sale of the Unsubscribed Stapled Securities, if any, which shall be conducted in reliance
upon the exemption from registration under the Securities Act provided in Section 4(a)(2) or Regulation S under the Securities Act or another available exemption from registration under the Securities Act, and, in all material respects, in
accordance with the BCA Approval Order, the Rights Offering Procedures and this Agreement. 
 Section 2.12 Private Placements.
The Private Placements shall be conducted in reliance upon the exemption from registration under the Securities Act provided in Section 4(a)(2) or Regulation S under the Securities Act or another available exemption from registration under the
Securities Act. 

  
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 ARTICLE III 

COMMITMENT PREMIUM AND EXPENSE REIMBURSEMENT 

Section 3.1 Premium Payable by the Debtors. 

Subject to Section 3.2, as consideration for the Backstop Commitment, the Initial Private Placement Commitment and
the other agreements of the Commitment Parties and the Initial Private Placement Investors in this Agreement, the Debtors shall pay or cause to be paid on the Closing Date a nonrefundable aggregate premium to each Commitment Party and each Initial
Private Placement Investor of Exit Notes who executed this Agreement on the BCA Execution Date, as set forth on Schedule 2 (the “Commitment Premium”). The applicable Commitment Premium shall be payable in Exit Notes in
accordance with Section 3.2, to the Commitment Parties and Initial Private Placement Investors (including any Replacement Commitment Party and Replacement Private Placement Party, but excluding any Defaulting Commitment
Party or Defaulting Private Placement Party) or their designees in proportion to their respective Backstop Commitment Percentages at the time the payment of the applicable Commitment Premium is made. 

No Commitment Premium is payable to any Subsequent Private Placement Investor on account of their obligations hereunder. 

The provisions for the payment of the Commitment Premium, the Termination Payment and Expense Reimbursement, and the indemnification provided
herein, are an integral part of the transactions contemplated by this Agreement and without these provisions the Commitment Parties would not have entered into this Agreement. Subject to the Bankruptcy Court’s approval, the BCA Approval Order
and the Plan shall provide that the Commitment Premium and the Termination Payment shall constitute allowed administrative expenses of the Debtors’ estates under Sections 503(b) and 507 of the Bankruptcy Code. In addition and as a
result thereof, the proposed Confirmation Order and the Plan filed by the Debtors shall provide that any New Diamond Common Shares issued as payment of the Commitment Premium are issuable under Section 1145 of the Bankruptcy Code;
provided, that the Bankruptcy Court’s failure to approve the Commitment Premium as an allowed administrative expense shall not constitute a breach by the Company of any covenant in this Agreement. 

Section 3.2 Payment of Premium. The Commitment Premium shall be fully earned, nonrefundable and
non-avoidable upon entry of the BCA Approval Order and shall be paid by the Debtors, free and clear of any withholding or deduction for any applicable Taxes, on the Closing Date as set forth above. For the
avoidance of doubt, to the extent payable in accordance with the terms of this Agreement, the applicable Commitment Premium will be payable regardless of the amount of Unsubscribed Stapled Securities (if any) actually purchased or committed for. The
Reorganized Diamond Offshore shall satisfy its obligation to pay the applicable Commitment Premium on the Closing Date by issuing the principal amount of Exit Notes (rounding down to the nearest whole dollar) to each Commitment Party or Initial
Private Placement Investor (or its designee) equal to such Commitment Party’s or Initial Private Placement Investor’s Commitment Premium amount; provided, that if the Closing does not occur, the Termination Payment shall be payable
(in lieu of the Commitment Premium) in cash, to the extent provided in (and in accordance with) Section 9.6. 

  
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 Section 3.3 Expense Reimbursement. 

(a) Until the earlier to occur of (i) the Closing and (ii) the termination of this Agreement in accordance with its terms, the
Debtors agree to pay in accordance with Section 3.3(b): (A) the reasonable and documented out-of-pocket fees and expenses (including
reasonable travel costs and expenses), whether incurred before, on or after the Petition Date, of Milbank LLP (“Milbank”), as primary counsel to the Commitment Parties and the Initial Private Placement Investors, Evercore
Group L.L.C., as financial advisor and investment banker to Milbank in connection with such role, the other Advisors, and any other financial advisors, consultants and other professionals for specialized areas of expertise as circumstances warrant
retained by the Commitment Parties or Initial Private Placement Investors and any other advisors or consultants as may be reasonably determined by the Commitment Parties or Initial Private Placement Investors, in consultation with, and the prior
reasonable approval of, the Company, in each case that have been and are actually incurred in connection with (x) the negotiation, preparation and implementation of the Transaction Agreements and the other agreements and transactions
contemplated thereby and (y) the Restructuring Transactions and the Chapter 11 Cases; (B) the reasonable and documented out-of-pocket fees and expenses
(including reasonable travel costs and expenses), of the Commitment Parties and Initial Private Placement Investors, whether incurred before, on or after the Petition Date, in consultation with the Company, in each case that have been and are
actually incurred in connection with the negotiation, preparation and implementation of the Transaction Agreements and the other agreements and transactions contemplated thereby; (C) all filing fees, if any, required by the HSR Act or any other
Antitrust and Foreign Investment Law in connection with the transactions contemplated by this Agreement and all reasonable and documented out-of-pocket expenses related
thereto of the Commitment Parties and the Initial Private Placement Investors; and (D) all reasonable and documented out-of-pocket fees and expenses incurred in
connection with any required regulatory filings in connection with the transactions contemplated by this Agreement (including, without limitation, filings done on Schedule 13D, Schedule 13G, Form 3 or Form 4, in each case, promulgated under the
Exchange Act), in each case, that have been paid or are payable to Milbank (such payment obligations set forth in clauses (A), (B), (C) and (D), collectively, the “Expense
Reimbursement”); provided that the Subsequent Private Placement Investors shall not be entitled to the Expense Reimbursement. The Expense Reimbursement shall, pursuant to the BCA Approval Order, constitute allowed administrative
expenses of the Debtors’ estates under Sections 503(b) and 507 of the Bankruptcy Code. 
 (b) The Expense Reimbursement
accrued through the date on which the BCA Approval Order is entered shall be paid within five (5) Business Days of the Company’s receipt of invoices therefor. The Expense Reimbursement accrued thereafter shall be payable by the Debtors
within five (5) Business Days after receipt of monthly invoices therefor; provided, that the Debtors’ final payment shall be made contemporaneously with the Closing or the termination of this Agreement, as applicable, pursuant to
Article IX. 

  
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 Section 3.4 Tax Treatment. The Debtors, the Commitment Parties and the Private
Placement Investors agree for all Tax purposes to treat: (i) the Backstop Commitment as an option of the Company to put the Unsubscribed Stapled Securities to the Commitment Parties; (ii) the portion of the Commitment Premium allocable to
the Backstop Commitment as premium for such put option; and (iii) each of the Primary Rights Offering Stapled Securities and the Primary Private Placement Stapled Securities as an “investment unit” within the meaning of
Section 1273(c)(2) of the Internal Revenue Code of 1986, as amended (the “Code”). The Debtors, the Commitment Parties and the Private Placement Investors further agree that the issue price of Primary Rights Offering Stapled
Securities and the Primary Private Placement Stapled Securities will equal the sum of: (x) the fair market value of the Subscription Rights and (y) the Purchase Price, which such issue price shall be further allocated ratably to the New
Diamond Common Shares and Exit Notes included in the Stapled Securities based on their respective fair market values in accordance with Treasury Regulations Section 1.1273-2(h). Each party shall prepare
their respective U.S. federal, state and local income Tax returns in a manner consistent with the foregoing treatment and no party shall take any position or action inconsistent with such treatment, except in each case to the extent otherwise
required by a final “determination” within the meaning of Section 1313(a) of the Code. 
 ARTICLE IV 

REPRESENTATIONS AND WARRANTIES OF THE DEBTORS 

Each of the Debtors, jointly and severally, hereby represent and warrant to the Financing Parties as set forth below. 

Section 4.1 Disclosure Statement. Since December 31, 2019, the Company has filed all required reports, schedules, forms and
statements with the SEC. As of their respective dates, and giving effect to any amendments or supplements thereto filed prior to the date of this Agreement, each of the Company’s filed SEC documents complied in all material respects with the
requirements of the Securities Act or the Exchange Act applicable to such filed SEC documents. The Company’s filed SEC documents, taken as a whole, after giving effect to any amendments or supplements thereto and to any subsequently filed SEC
documents, in each case filed prior to the date of this Agreement, did not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in light of the
circumstances under which they were made, not misleading. The Disclosure Statement as approved by the Bankruptcy Court will conform in all material respects with Section 1125 of the Bankruptcy Code. 

Section 4.2 Financial Statements. 

(a) The consolidated financial statements of the Company included or incorporated by reference in Forms
10-Q and 10-K filed by the Company with the SEC since December 31, 2019 (collectively, the “Financial Statements”), complied or when submitted or
filed will comply, as the case may be, in all material respects with the applicable requirements of the Securities Act and the Exchange Act and presented fairly or when submitted and filed will present fairly in all material respects the financial
position, results of operations and cash flows of the Company and its consolidated Subsidiaries, taken as a whole, as of the dates indicated and for the periods specified therein. The Financial Statements have been prepared in conformity with U.S.
generally accepted accounting principles (“GAAP”) applied on a consistent basis throughout the periods and at the dates covered thereby (except, in the case of unaudited interim financial statements, as permitted by
Form 10-Q of the SEC). 

  
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 (b) There are no liabilities or obligations of the Company or any of the other Debtors of
any kind whatsoever, whether accrued, contingent, absolute, determined or determinable, that would be required by GAAP, consistently applied, to be reflected on the balance sheet of the Company other than (i) liabilities or obligations
disclosed and provided for in the consolidated balance sheet of the Company as of September 30, 2020 or in the notes thereto, (ii) liabilities or obligations incurred in accordance with or in connection with this Agreement or the other
Transaction Agreements, (iii) liabilities or obligations incurred in the ordinary course of business since September 30, 2020 or disclosed in the Company SEC Documents, (iv) liabilities or obligations that have been discharged or paid
in full or (v) liabilities or obligations that would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 

Section 4.3 No Material Adverse Change. From September 30, 2020 to the date hereof, no Material Adverse Effect has occurred.

 Section 4.4 Organization and Good Standing. The Company and each of its “significant subsidiaries” (as defined in
Rule 1-02 of Regulation S-X under the Exchange Act) have been duly organized and are validly existing and in good standing under the laws of their respective
jurisdictions of organization, are duly qualified to do business and are in good standing in each jurisdiction in which their respective ownership or lease of property or the conduct of their respective businesses requires such qualification, and
have all power and authority necessary to own or hold their respective properties and to conduct the businesses in which they are engaged, except where the failure to be so qualified, in good standing or have such power or authority would not
reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 
 Section 4.5 Capitalization. All
the outstanding shares of capital stock or other equity interests of each subsidiary of the Company have been duly and validly authorized and issued, are fully paid and non-assessable and (except, in the case
of any foreign subsidiary, for directors’ qualifying shares) are owned directly or indirectly by the Company, free and clear of any lien, charge, encumbrance, security interest, restriction on voting or transfer or any other claim of any third
party. 
 Section 4.6 Due Authorization. 

(a) The Company has the requisite corporate power and authority (i) subject to entry of the BCA Approval Order, to enter into, execute
and deliver this Agreement, and (ii) subject to entry of the BCA Approval Order, the Disclosure Statement Order and the Confirmation Order, to consummate the transactions contemplated herein, the Transaction Agreements, and the Plan, and to
perform its obligations under each of the Transaction Agreements (other than this Agreement). Subject to the receipt of the foregoing Orders, as applicable, the execution and delivery of this Agreement and each of the other Transaction Agreements
and the consummation of the transactions contemplated hereby and thereby have been or will be duly authorized by all requisite corporate action on behalf of the Company, and no other corporate proceedings on the part of the Company are or will be
necessary to authorize this Agreement or any of the other Transaction Agreements or to consummate the transactions contemplated hereby or thereby. 

  
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 (b) Subject to entry of the BCA Approval Order and the Confirmation Order, each of the
other Debtors has the requisite power and authority (corporate or otherwise) to enter into, execute and deliver each Transaction Agreement to which such other Debtor is a party and to perform its obligations thereunder. Subject to the receipt of the
foregoing Orders, as applicable, the execution and delivery of this Agreement and each of the other Transaction Agreements and the consummation of the transactions contemplated hereby and thereby have been or will be duly authorized by all requisite
action (corporate or otherwise) on behalf of each other Debtor party thereto, and no other proceedings (corporate or otherwise) on the part of any other Debtor party thereto are or will be necessary to authorize this Agreement or any of the other
Transaction Agreements or to consummate the transactions contemplated hereby or thereby. 
 (c) Subject to entry of the BCA Approval Order
and the Confirmation Order, each of the Company and the other Debtors has the requisite power and authority (corporate or otherwise) to perform its obligations under the Plan, and has taken or shall take all necessary actions (corporate or
otherwise) required for the due consummation of the Plan in accordance with its terms. 
 Section 4.7 Issuance. 

(a) Subject to the entry of the BCA Approval Order and the Confirmation Order, (i) the distribution of the Subscription Rights to be
issued pursuant to the Plan has been duly and validly authorized and (ii) (A) the Exit Notes, when issued and delivered against payment therefore in the Rights Offerings and Private Placements, or to the Financing Parties hereunder, in
accordance with the terms of the Exit Notes Indenture, will be valid and legally binding obligations of the Debtors, enforceable against the Debtors in accordance with their terms and the terms of Exit Notes Indenture, subject to bankruptcy,
insolvency, fraudulent transfer, reorganization, moratorium and similar Laws of general applicability relating to or affecting creditors’ rights and to general principles of equity whether applied in a court of law or a court of equity and
(B) the guarantees of the Exit Notes Indenture, when issued and delivered against payment therefor in accordance with the terms of the Exit Notes Indenture, will be valid and legally binding obligations of the applicable Guarantor, enforceable
against such guarantor in accordance with their terms and the term Exit Notes Indenture, subject to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar Laws of general applicability relating to or affecting
creditors’ rights and to general principles of equity whether applied in a court of law or a court of equity. 
 (b) Subject to the
entry of the BCA Approval Order and the Confirmation Order, the New Diamond Common Shares to be issued pursuant to the Plan, including the New Diamond Common Shares to be issued in connection with the Rights Offerings and the Private Placements,
will, when issued and delivered on the Closing Date, be duly and validly authorized, issued and delivered and shall be fully paid and non-assessable, and free and clear of all Taxes, liens, preemptive rights,
subscription and similar rights (other than as may arise under the Reorganized Diamond Offshore Organizational Documents). 

  
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 Section 4.8 [RESERVED]. 

Section 4.9 Authorized Shares. As of the Closing Date and subject to the entry of the Confirmation Order, the Company has all
consents, approvals and authorizations necessary for the issuance of the New Diamond Common Shares to be issued pursuant to the Plan, and the Company has full right, power and authority to sell, assign, transfer and deliver the shares of New Diamond
Common Shares to the Commitment Parties. The New Diamond Common Shares have been duly authorized for issuance and sale to the Commitment Parties and, when issued and delivered by the Company, will be validly issued as fully paid and nonassessable
shares. 
 Section 4.10 Delayed Draw Subscription Agreements. As of the Closing Date and subject to the entry of
the Confirmation Order, the Delayed Draw Subscription Agreements have been duly authorized by the Company and are duly executed and delivered by the Company on the Effective Date and when duly executed in accordance with each of their terms by each
of the other parties thereto, the Delayed Draw Subscription Agreements will constitute valid and legally binding agreements of the Company enforceable against the Company in accordance with their terms, subject to the Enforceability Exceptions. 

Section 4.11 Registration Rights Agreement. As of the Closing Date and subject to the entry of the Confirmation Order, the
Registration Rights Agreement has been duly authorized by the Company and is duly executed and delivered by the Company on the Effective Date and when duly executed in accordance with each of its terms by each of the other parties thereto, the
Registration Rights Agreement will constitute a valid and legally binding agreement of the Company enforceable against the Company in accordance with its terms, subject to the Enforceability Exceptions. 

Section 4.12 No Violation or Default. Neither the Company nor any of its subsidiaries is: (i) in violation of its charter or by-laws or similar organizational documents; (ii) in default, and no event has occurred that, with notice or lapse of time or both, would constitute such a default, in the due performance or observance of any
term, covenant or condition contained in any indenture, mortgage, deed of trust, loan agreement or other agreement or instrument to which the Company or any of its subsidiaries is a party or by which the Company or any of its subsidiaries is bound
or to which any of the property or assets of the Company or any of its subsidiaries is subject; or (iii) in violation of any law or statute or any judgment, Order, rule or regulation of any court or arbitrator or governmental or regulatory
authority, except, in the case of clauses (ii) and (iii) above, for any such default or violation that would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect or was caused by
the commencement of the Chapter 11 Cases. 
 Section 4.13 No Conflicts. The execution, delivery and performance by the Company
of each of the Transaction Agreements, and compliance by the Company with the terms thereof and the consummation of the transactions contemplated by the Transaction Agreements will not (i) conflict with or result in a breach or violation of any
of the terms or 

  
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provisions of, or constitute a default under, or result in the creation or imposition of any lien, charge or encumbrance upon any property or assets of the Company or any of its subsidiaries
pursuant to, any indenture, mortgage, deed of trust, loan agreement or other agreement or instrument to which the Company or any of its subsidiaries is a party or by which the Company or any of its subsidiaries is bound or to which any of the
property or assets of the Company or any of its subsidiaries is subject, (ii) result in any violation of the provisions of the charter or by-laws or similar organizational documents of the Company or any
of its subsidiaries or (iii) result in the violation of any law or statute or any judgment, Order, rule or regulation of any court or arbitrator or governmental or regulatory authority, except, in the case of clauses (i) and
(iii) above, for any such conflict, breach, violation, default, lien, charge or encumbrance that would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 

Section 4.14 No Consents Required. No consent, approval, authorization, Order, registration or qualification of or with any court
or arbitrator or governmental or regulatory authority is required for the execution, delivery and performance by the Company of each of the Transaction Agreements, the issuance and sale of the Exit Notes and the New Diamond Common Shares and
compliance by the Company with the terms thereof and the consummation of the transactions contemplated by the Transaction Agreements, except for (a) the entry of the BCA Approval Order authorizing the Company and the other Debtors to execute
and deliver this Agreement and perform its obligations hereunder, (b) the entry of the Confirmation Order authorizing the Company and the other Debtors to perform each of their respective obligations under the Plan, (c) entry by the
Bankruptcy Court, or any other court of competent jurisdiction, of orders as may be necessary in the Chapter 11 Cases from time to time, (d) Antitrust and Foreign Investment Approvals, if any, in connection with the transactions contemplated by
this Agreement and (e) such consents, approvals, authorizations, Orders and registrations or qualifications (i) as have been or will be obtained under the Securities Act and the Trust Indenture Act and (ii) as may be required under
applicable state securities laws in connection with the purchase and distribution of the Exit Notes and New Diamond Common Shares by the Commitment Parties. 

Section 4.15 Legal Proceedings. Except for the voluntary filings for relief under the Bankruptcy Code, and except as would not
reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, (i) there are no legal, governmental or regulatory investigations, actions, suits or proceedings pending to which the Company or any of its
subsidiaries is a party or to which any property of the Company or any of its subsidiaries is the subject; (ii) no such investigations, actions, suits or proceedings are, to the Knowledge of the Company, threatened or contemplated by any
governmental or regulatory authority or threatened by others; and (iii) there are no material current or pending legal, governmental or regulatory actions, suits or proceedings that not so described in the Disclosure Statement. 

Section 4.16 Independent Accountants. To the Knowledge of the Company, Deloitte & Touche LLP, who has certified certain
financial statements of the Company and its subsidiaries, is an independent registered public accounting firm with respect to the Company and its subsidiaries within the applicable rules and regulations adopted by the SEC and the Public Company
Accounting Oversight Board (United States) and as required by the Securities Act. 

  
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 Section 4.17 Investment Company Act. Neither the Company nor any of its
subsidiaries is an “investment company” within the meaning of the Investment Company Act of 1940, as amended, (collectively, the “Investment Company Act”). 

Section 4.18 [RESERVED]. 

Section 4.19 Title to Real and Personal Property. The Company and its subsidiaries have good and marketable title in fee simple
to, or have valid rights to lease or otherwise use, all items of real and personal property that are material to the respective businesses of the Company and its subsidiaries, in each case free and clear of all liens, encumbrances, claims and
defects and imperfections of title except those that (i) do not materially interfere with the use made and proposed to be made of such property by the Company and its subsidiaries or (ii) would not reasonably be expected to have,
individually or in the aggregate, a Material Adverse Effect. 
 Section 4.20 Title to Intellectual Property. Except as would not
reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, the Company and its subsidiaries own or possess or can acquire on reasonable terms adequate rights to use all material patents, patent applications,
trademarks, service marks, trade names, trademark registrations, service mark registrations, copyrights, licenses and know-how (including trade secrets and other unpatented and/or unpatentable proprietary or
confidential information, systems or procedures) necessary for the conduct of their respective businesses now operated by them; and the Company and its subsidiaries have not received any written notice of any claim of infringement or conflict with
any such rights of others that, if determined adversely to the Company or any of its subsidiaries, would reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 

Section 4.21 Taxes. Except as would be reasonably expected to have, individually or in the aggregate, a Material Adverse Effect,
the Company and its subsidiaries have paid all federal, state, local and foreign Taxes and filed all Tax returns required to be paid or filed through the date hereof; and except as would not reasonably be expected to have, individually or in the
aggregate, a Material Adverse Effect, there is no Tax deficiency that has been, or would reasonably be expected to be, asserted against the Company or any of its subsidiaries or any of their respective properties or assets. 

Section 4.22 Licenses and Permits. The Company and its subsidiaries possess all licenses, certificates, permits and other
authorizations issued by, and have made all declarations and filings with, the appropriate federal, state, local or foreign governmental or regulatory authorities that are necessary for the ownership or lease of their respective properties or the
conduct of their respective businesses as described in the Disclosure Statement, except where the failure to possess or make the same would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. Except as
would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, neither the Company nor any of its subsidiaries has received notice of any revocation or modification of any such license, certificate, permit or
authorization or has any reason to believe that any such license, certificate, permit or authorization will not be renewed in the ordinary course. 

  
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 Section 4.23 Employee Benefit Plans. 

(a) Except for the filing and pendency of the Chapter 11 Cases or otherwise as would not reasonably be expected to have, individually or in
the aggregate, a Material Adverse Effect, (i) none of the Debtors or any of their Subsidiaries has engaged in a non-exempt “prohibited transaction” (as defined in Section 406 of ERISA and
Section 4975 of the Code) in connection with any employee pension benefit plan (as defined in Section 3(2) of ERISA) that would subject the Debtors or any of their Subsidiaries to Tax; and (ii) no employee welfare plan (as defined in
Section 3(1) of ERISA) maintained or contributed to by the Debtors or any of their Subsidiaries provides benefits to retired employees or other former employees (other than as required by Section 601 of ERISA or other applicable Law and
other than for post-separation benefits provided under individual employment agreements). 
 (b) None of the Debtors, any of their
Subsidiaries or any ERISA Affiliates sponsors, maintains, contributes to or has any liability with respect to any Company Plan. Except as required by Law or as would not reasonably be expected to have, individually or in the aggregate, a Material
Adverse Effect, none of the Subsidiaries have established, sponsored or maintained, or has any liability with respect to, any employee defined benefit pension benefit plan governed by or subject to the Laws of a jurisdiction other than the United
States of America. 
 (c) Except as would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect,
(i) each employee benefit plan within the meaning of Section 3(3) of ERISA that is sponsored, maintained or contributed to by the Debtors or their Subsidiaries complies and has complied in both form and operation with its terms and all
applicable Laws and legal requirements; (ii) there are no pending, or to the Knowledge of the Debtors, threatened claims, sanctions, actions or lawsuits, asserted or instituted against any such employee benefit plans or any Person as fiduciary
or sponsor of any such plan, in each case other than claims for benefits in the ordinary course; and (iii) neither the Debtors, nor any of their Subsidiaries, could reasonably be expected to have any obligation to provide any individual with a
“gross up” or similar payment in respect of any Taxes that may become payable under Section 409A or 4999 of the Code. 
 (d)
Except as would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, (i) the Debtors and each of their Subsidiaries has complied and is currently in compliance with all Laws and legal requirements in
respect of personnel, employment and employment practices; (ii) all service providers of the Debtors or their Subsidiaries are correctly classified as employees, independent contractors, or otherwise for all purposes (including any applicable
tax and employment policies or law); and (iii) the Debtors and their Subsidiaries have not and are not engaged in any unfair labor practice. 

Section 4.24 No Labor Disputes. No labor disturbance by or dispute with employees of the Company or any of its subsidiaries exists
or, to the Knowledge of the Company, is contemplated or threatened, except as would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 

  
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 Section 4.25 Compliance with Environmental Laws. (i) Except with respect to
any matters that would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, the Company and its subsidiaries (x) are, and at all prior times were, in compliance with any and all Environmental Laws;
(y) have received and are in compliance with all permits, licenses, certificates or other authorizations or approvals required of them under applicable Environmental Laws to conduct their respective businesses; and (z) have not received
notice of any actual or potential liability under or relating to any Environmental Laws, including for the investigation or remediation of any disposal or release of hazardous or toxic substances or wastes, pollutants or contaminants and have no
Knowledge of any event or condition that would reasonably be expected to result in any such notice; and (ii) there are no costs or liabilities associated with Environmental Laws of or relating to the Company or its subsidiaries, except for
(x) costs or liabilities associated with failure to receive or comply with required permits, licenses or approvals or (y) other costs or liabilities associated with Environmental Laws, where, in either case of (x) or (y), such costs
or liabilities would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, (x) there are no proceedings that are pending, or that are known to be contemplated, against the Company or any of its
subsidiaries under any Environmental Laws in which a Governmental Entity is also a party, other than such proceedings regarding which it is reasonably believed no monetary sanctions of $300,000 or more will be imposed, (y) the Company and its
subsidiaries are not aware of any issues regarding compliance with Environmental Laws, or liabilities or other obligations under Environmental Laws or concerning hazardous or toxic substances or wastes, pollutants or contaminants, that would
reasonably be expected to have a material effect on the capital expenditures, earnings or competitive position of the Company and its subsidiaries, and (z) none of the Company and its subsidiaries anticipates material capital expenditures
during 2020 relating to any Environmental Laws. 
 Section 4.26 Disclosure Controls. (i) The Company and each of its
subsidiaries maintains disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Exchange Act), (ii) such disclosure controls and procedures are designed to ensure that the
information required to be disclosed by the Company in the reports it files or submits under the Exchange Act is accumulated and communicated to management of the Company and its subsidiaries, including their respective principal executive officers
and principal financial officers, as appropriate, to allow timely decisions regarding required disclosure to be made and (iii) such disclosure controls and procedures are effective in all material respects to perform the functions for which
they were established. 
 Section 4.27 Accounting Controls. The Company maintains a system of “internal control over
financial reporting” (as defined in Rule 13a-15(f) of the Exchange Act) that complies with the requirements of the Exchange Act and has been designed by, or under the supervision of its principal
executive and principal financial officers, or Persons performing similar functions, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principles, including, but not limited to, internal accounting controls sufficient to provide reasonable assurance that: (i) transactions are executed in accordance with management’s general or specific
authorizations; (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles and to maintain asset accountability; (iii) access to assets is permitted
only in accordance with management’s general or specific authorization; and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any
differences. 

  
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 Section 4.28 Insurance. Except as would not reasonably be expected to have,
individually or in the aggregate, a Material Adverse Effect, (i) the Company and its subsidiaries have insurance covering such risks as are customarily carried by businesses similarly situated, which insurance is in amounts and insures against
such losses and risks as are generally deemed adequate and customary for their businesses, and (ii) neither the Company nor any of its subsidiaries: (A) has received notice from any insurer or agent of such insurer that capital
improvements or other expenditures are required or necessary to be made in order to continue such insurance or (B) has any reason to believe that it will not be able to renew its existing insurance coverage as and when such coverage expires or
to obtain similar coverage at a cost from similar insurers as may be necessary to continue its business. 
 Section 4.29 Compliance
with Anti-Money Laundering Laws. The operations of the Company and its subsidiaries are, and have been in the past three years, conducted in compliance in all material respects with applicable financial recordkeeping and reporting requirements,
including those of the Currency and Foreign Transactions Reporting Act of 1970, as amended, the applicable money laundering statutes of all jurisdictions where the Company or any of its subsidiaries conducts business, the rules and regulations
thereunder and any related or similar rules, regulations or guidelines, issued, administered or enforced by any governmental agency (collectively, the “Anti-Money Laundering Laws”), and no action, suit or proceeding by or before any
court or governmental agency, authority or body or any arbitrator involving the Company or any of its subsidiaries with respect to the Anti-Money Laundering Laws is pending or, to the Knowledge of the Company, threatened. 

Section 4.30 No Conflicts with Sanctions Laws. Neither the Company nor any of its subsidiaries nor any director or officer or, to
the Knowledge of the Company, employee, agent or Affiliate acting on behalf of the Company or any of its subsidiaries is currently the subject or the target of any sanctions administered or enforced by the U.S. government (including, without
limitation, the Office of Foreign Assets Control of the U.S. Department of the Treasury and the U.S. Department of State), the United Nations Security Council, the European Union or Her Majesty’s Treasury of the United Kingdom (collectively,
“Sanctions”), nor is the Company or any of its subsidiaries located, organized or resident in a country or territory that is the subject or target of comprehensive Sanctions broadly prohibiting dealings involving such country or
territory, including, without limitation, Cuba, Iran, North Korea, Syria and the Crimea region of Ukraine (each, a “Sanctioned Country”); and the Company will not directly or indirectly use the proceeds of the sale of the Rights
Offering Stapled Securities, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or entity (i) to fund or facilitate any activities of or business or dealings with any Person
that, at the time of such funding or facilitation, is the subject or target of Sanctions, (ii) to fund or facilitate any activities or dealings of, or business in, any Sanctioned Country or (iii) in any other manner that would constitute
or give rise to a violation by any Person (including any Person participating in the transaction, whether as underwriter, advisor, investor or otherwise) of Sanctions. For the past five years, the Company and its subsidiaries have not knowingly
engaged in and are not now knowingly engaged in any dealings or transactions (i) with any Person that at the time of the dealing or transaction is or was the subject or the target of Sanctions or (ii) with or in any Sanctioned Country.

  
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 Section 4.31 No Unlawful Payments. Neither the Company nor any of its
subsidiaries nor any director or officer or, to the Knowledge of the Company, employee, agent, Affiliate or other Person acting on behalf of the Company or any of its subsidiaries has, directly or indirectly, in the past five years: (i) used
any corporate funds for any unlawful contribution, gift, entertainment or other unlawful expense relating to political activity; (ii) made or taken an act in furtherance of an offer, promise or authorization of any unlawful payment or benefit
to any foreign or domestic government official or employee, including of any government-owned or controlled entity or of a public international organization, or any person acting in an official capacity for or on behalf of any of the foregoing, or
any political party or party official or candidate for political office; (iii) violated or is in violation of any provision of the Foreign Corrupt Practices Act of 1977, as amended, or any applicable law or regulation implementing the OECD
Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, or the Bribery Act 2010 of the United Kingdom, or any other applicable anti-bribery or anti-corruption law (collectively, the
“Anti-Corruption Laws”); or (iv) made, offered, agreed, requested or taken an act in furtherance of any unlawful bribe or other unlawful benefit, including, without limitation, any rebate, payoff, influence payment, kickback or
other unlawful payment or benefit. The Company and its subsidiaries have instituted, maintain and enforce, and will continue to maintain and enforce, policies and procedures designed to promote and ensure compliance with the Anti-Corruption Laws.

 Section 4.32 Margin Rules. Neither sale nor resale of the Rights Offering Stapled Securities nor the application of the
proceeds thereof by the Company as described in the Disclosure Statement will violate Regulation T, U or X of the Board of Governors of the Federal Reserve System or any other regulation of such Board of Governors promulgated thereunder. 

Section 4.33 No Stabilization. The Company has not taken, directly or indirectly, any action designed to or that could reasonably
be expected to cause or result in any stabilization or manipulation of the price of any security of the Company to facilitate the sale or resale of the Rights Offering Stapled Securities. 

Section 4.34 Sarbanes-Oxley Act. In the past three years, there has been no failure on the part of the Company or any of the
Company’s directors or officers, in their capacities as such, to comply in all material respects with any provision of the Sarbanes-Oxley Act of 2002, as amended, and the rules and regulations promulgated in connection therewith (the
“Sarbanes-Oxley Act”), including Section 402 related to loans and Sections 302 and 906 related to certifications. 

Section 4.35 [RESERVED]. 

Section 4.36 Arm’s-Length Dealing. Each of the Debtors agrees
that (a) each of the Commitment Parties is acting solely in the capacity of an arm’s-length contractual counterparty with respect to the transactions contemplated hereby (including in connection with
determining the terms of the Rights Offerings and the Private Placements) and not as a financial advisor or a fiduciary to, or an agent of, the Debtors or any of their respective Subsidiaries and (b) no Commitment Party is advising the Debtors
or any of their respective Subsidiaries as to any legal, tax, investment, accounting or regulatory matters in any jurisdiction. 

  
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 Section 4.37 No Broker’s Fees. Such Debtor is not a party to
any Contract with any Person (other than with respect to the Transaction Agreements) that would give rise to a valid Claim against such Debtor for a brokerage commission, finder’s fee or like payment in connection with the Rights Offerings, the
Private Placements or the issuance or sale of the Exit Notes or the New Diamond Common Shares, as applicable to such Debtor. 
 ARTICLE V

 REPRESENTATIONS AND WARRANTIES OF THE FINANCING PARTIES 

Each Financing Party represents and warrants severally and not jointly as to itself only (unless otherwise set forth herein, as of the date of
this Agreement and as of the Closing Date) as set forth below. 
 Section 5.1 Incorporation. Such Financing Party is a legal
entity duly organized, validly existing and, if applicable, in good standing (or the equivalent thereof) under the Laws of its jurisdiction of incorporation or organization. 

Section 5.2 Corporate Power and Authority. Such Financing Party has the requisite power and authority (corporate or otherwise) to
enter into, execute and deliver this Agreement and each other Transaction Agreement to which such Financing Party is a party and to perform its obligations hereunder and thereunder and has taken all necessary action (corporate or otherwise) required
for the due authorization, execution, delivery and performance by it of this Agreement and the other Transaction Agreements. 

Section 5.3 Execution and Delivery. This Agreement and each other Transaction Agreement to which such Financing Party is a party
(a) has been, or prior to its execution and delivery will be, duly and validly executed and delivered by such Financing Party and (b) upon entry of the BCA Approval Order and, as applicable, the Confirmation Order and assuming due and
valid execution and delivery hereof and thereof by the Company and the other Debtors (as applicable), will constitute valid and legally binding obligations of such Financing Party, enforceable against such Financing Party in accordance with their
respective terms, except as enforceability may be limited by bankruptcy, insolvency, reorganization or other similar Laws limiting creditors’ rights generally or by equitable principles relating to enforceability. 

Section 5.4 No Registration. Such Financing Party understands that the Unsubscribed Stapled Securities, the Rights Offering
Stapled Securities, Private Placement Stapled Securities, any Exit Notes, and any New Diamond Common Shares issued to any Commitment Party in satisfaction of the Commitment Premium (a) have not been registered under the Securities Act by reason
of a specific exemption from the registration provisions of the Securities Act, the availability of which depends on, among other things, the bona fide nature of the investment intent and the accuracy of such Financing Party’s representations
as expressed herein or otherwise made pursuant hereto, and (b) cannot be sold unless subsequently registered under the Securities Act or an exemption from registration is available. Such Financing Party

  
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represents and warrants that it has not engaged and will not engage in “general solicitation” or “general advertising” (each within the meaning of Regulation D of the
Securities Act) of or to investors with respect to offers or sales of the Unsubscribed Stapled Securities, the Rights Offering Stapled Securities and the Private Placement Stapled Securities, in each case under circumstances that would cause the
offering or issuance of the Unsubscribed Stapled Securities, the Rights Offering Stapled Securities or the Private Placement Stapled Securities not to be exempt from registration under the Securities Act pursuant to Section 4(a)(2) or
Regulation S under the Securities Act, the provisions of Regulation D or any other applicable exemption. 
 Section 5.5
Purchasing Intent. With respect to the Private Placements, each Private Placement Investor is acquiring the Private Placement Stapled Securities and, with respect to the Rights Offerings, each Commitment Party is acquiring the Unsubscribed
Stapled Securities for its own account, not as a nominee or agent, and not with the view to, or for resale in connection with, any distribution thereof not in compliance with applicable securities Laws, and each such Financing Party has no present
intention of selling, granting any participation in, or otherwise distributing the same, except in compliance with applicable securities Laws. 

Section 5.6 Sophistication; Evaluation. Such Financing Party has such Knowledge and experience in financial and business matters
such that it is capable of evaluating the merits and risks of its investment in the Rights Offering Stapled Securities, Unsubscribed Stapled Securities and Private Placement Stapled Securities, as applicable. Such Financing Party is an
“accredited investor” within the meaning of Rule 501(a) of the Securities Act or a “qualified institutional buyer” within the meaning of Rule 144A of the Securities Act. Such Financing Party understands and is able to
bear any economic risks associated with such investment (including the necessity of holding such securities for an indefinite period of time). Except for the representations and warranties expressly set forth in this Agreement or any other
Transaction Agreement, such Financing Party has independently evaluated the merits and risks of its decision to enter into this Agreement. 

Section 5.7 No Conflict. The execution and delivery by such Financing Party of this Agreement and the other Transaction Agreements
to which it is a party, the compliance by such Financing Party with the provisions hereof and thereof and the consummation of the transactions contemplated herein and therein will not (a) result in any violation of the provisions of the
organization or governing documents of such Financing Party, or (b) result in any violation of any Law or Order applicable to such Financing Party or any of its properties. 

Section 5.8 Consents and Approvals. No consent, approval, authorization, Order, registration or qualification of or with any
Governmental Entity having jurisdiction over such Financing Party or any of its properties is required for the execution and delivery by such Financing Party of this Agreement and each other Transaction Agreement to which such Financing Party is a
party, the compliance by such Financing Party with the provisions hereof and thereof and the consummation of the transactions (including the purchase by each Commitment Party of its Backstop Commitment Percentage or its portion of the Primary Rights
Offering Stapled Securities, and the purchase by the Primary Private Placement Investors of the Primary Private Placement Stapled Securities) contemplated herein and therein except Antitrust and Foreign Investment Approvals, if any, in connection
with the transactions contemplated by this Agreement. 

  
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 Section 5.9 Sufficiency of Funds. Such Financing Party has, or will have as of
the Closing, sufficient available funds to fulfill its Closing Date obligations under this Agreement and the other Transaction Agreements to which it is a party (including the Primary Rights Offering and the Primary Private Placement, as
applicable). For the avoidance of doubt, such Financing Party acknowledges that its obligations under this Agreement and the other Transaction Agreements to which it is a party are not conditioned in any manner upon its obtaining financing. 

Section 5.10 No Broker’s Fees. Such Financing Party is not a party to any Contract with any Person (other than
the Transaction Agreements and any Contract giving rise to the Expense Reimbursement hereunder) that would give rise to a valid claim against the Company or any of the Debtors for a brokerage commission, finder’s fee or like payment in
connection with the Primary Rights Offering, the Primary Private Placement or the sale of the Unsubscribed Stapled Securities, as applicable to such Financing Party. 

ARTICLE VI 
 ADDITIONAL
COVENANTS 
 Section 6.1 Approval Orders. The Debtors shall use their commercially reasonable efforts to
(a) obtain the entry of the BCA Approval Order and (b) cause the BCA Approval Order to become a Final Order (and request that such Order be effective immediately upon entry by the Bankruptcy Court pursuant to a waiver of Bankruptcy
Rules 3020 and 6004(h), as applicable), in each case, as soon as reasonably practicable. The Debtors shall provide to each of the Financing Parties and their counsel copies of the proposed motion(s) seeking entry of the BCA Approval Order and a
reasonable opportunity to review and comment on such motion(s) and Order prior to such motion(s) and Order being filed with the Bankruptcy Court and such Order shall be in form and substance reasonably acceptable to the Requisite Financing Parties
and the Debtors. Any amendments, modifications, changes or supplements to either the BCA Approval Order or the Confirmation Order shall be in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors. 

Section 6.2 Confirmation Order; Plan and Disclosure Statement. The Debtors shall provide to each of the Financing Parties and
their counsel a copy of the proposed Plan and the Disclosure Statement (together with copies of any briefs, pleadings and motions related thereto), as well as any proposed amendment, modification, supplement or change to the Plan or the
Disclosure Statement, and a reasonable opportunity to review and comment on such documents, and each such document, amendment, modification, supplement or change must be in form and substance reasonably acceptable to each of the Requisite Financing
Parties and the Debtors. The Debtors shall provide draft copies of all material motions and other documents the Debtors intend to file with the Bankruptcy Court to Milbank LLP. 

Section 6.3 Conduct of Business. Except as set forth in this Agreement or with the prior written consent of the Requisite
Financing Parties, which consent shall not be unreasonably withheld, conditioned or delayed (requests for which, including related information, shall be directed to the counsel and financial advisors to the Financing Parties), during the period from
the date of this Agreement to the earlier of (1) the Closing Date and 

  
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(2) the date on which this Agreement is terminated in accordance with its terms (the “Pre-Closing Period”), (a) each of the
Debtors shall, and shall cause each of their Subsidiaries to, carry on its business in the ordinary course or in a manner consistent with past practices and use its commercially reasonable efforts to: (i) preserve intact its current business;
(ii) preserve intact its relationships with its officers and employees; (iii) preserve its material relationships with customers, suppliers, licensors, licensees, distributors and others having material business dealings with the Debtors
or their Subsidiaries in connection with their business; (iv) to the extent the Company is subject to reporting obligations under the Exchange Act, file Company SEC Documents within the time periods required under the Exchange Act, in each case
in accordance with ordinary course practices; and (v) pay all material federal, state, local and foreign Taxes as and when due; and (b) the Debtors shall not, and shall not permit any of their Subsidiaries to (I) enter into any
transaction that is material to their business other than: (A) transactions in the ordinary course of business or that are consistent with past practices; and (B) transactions expressly contemplated by the Transaction Agreements, or
(II) settle or compromise any material Tax audits. 
 For the avoidance of doubt, the following shall be deemed to occur outside of the
ordinary course of business of the Debtors and shall require the prior written consent of the Requisite Financing Parties: (1) any material amendment, material modification, termination, material waiver, material supplement, material
restatement or other material change to any “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the SEC or required to be disclosed on a Current Report on Form 8-K)); (2) any amendment, modification, termination, waiver, supplement, restatement or other change to an existing material Contract (as set forth in Schedule 8 hereto) or entry into any new “material
contract” (in each case, other than any material Contracts that are otherwise addressed by clause (3) below) related to any of the Rigs or any Contract for the sale of any of the Rigs to a third party; (3) entry into, or any
amendment, modification, termination (other than for cause), waiver, supplement or other change to, any material employment agreement to which the Debtors or any of their Subsidiaries is a party or any assumption of any such employment agreement in
connection with the Chapter 11 Cases, except as set forth in the Plan; or (4) the adoption or amendment of any management incentive or equity plan by any of the Debtors, except as set forth in the Plan. Except as otherwise expressly
provided in this Agreement, nothing in this Agreement shall give the Financing Parties, directly or indirectly, any right to control or direct the operations of the Debtors and their Subsidiaries. 

Section 6.4 Access to Information. Subject to applicable Law, upon reasonable notice during the
Pre-Closing Period, the Debtors shall afford the Requisite Financing Parties and their Representatives reasonable access (subject to any reasonable restrictions imposed by the Debtors with respect to in-person access in light of COVID-19 concerns), during normal business hours, under supervision of appropriate personnel of the Debtors and without unreasonable disruption or
interference with Debtors’ business or operations, to the Debtors’ employees, properties, books, contracts and records and, during the Pre-Closing Period, the Debtors shall furnish promptly to the
Requisite Financing Parties or their Representatives all reasonable information concerning the Debtors’ business, properties and personnel as may reasonably be requested by the Requisite Commitment Parties or Representative, provided
that the foregoing shall not require the Company (a) to permit any inspection, or to disclose any information, that in the reasonable judgment of the Company would cause the Company or any 

  
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of the other Debtors to violate any of their respective obligations with respect to confidentiality to a third party if the Company shall have used its commercially reasonable efforts to obtain,
but failed to obtain, the consent of such third party to such inspection or disclosure, (b) to disclose any legally privileged information of the Company or any of the other Debtors or (c) to violate any applicable Laws or fiduciary
duties, or (d) create, at the request of the Requisite Financing Parties or their Representatives, any reports or other documents or information that are not in existence at the time of such request; provided further that, if requested
by the Requisite Financing Parties in writing, the Company shall deliver to the Requisite Financing Parties a schedule setting forth a description of any requested information not provided to the Requisite Financing Parties pursuant to clauses (a),
(b) and (c) above (in the case of clause (a), to the extent not prohibited from doing so by Law or contractual obligation, provided that, in such case, the Company shall provide a reasonably detailed description of the applicable
information to the extent not prohibited by Law or contractual obligation and not protected by legal privilege). All requests for information and access made in accordance with this Section 6.4 shall be directed to an
executive officer of the Company or such person as may be designated by the Company’s executive officers; provided, however, that the Company may condition the provision of any information under this Section 6.4
on the entry by the applicable Requisite Financing Party into a customary non-disclosure agreement with the Company, in form and substance substantially similar to those certain existing confidentiality
agreements, each dated June 15, 2020, each by and among the Company and the Recipient (as defined in each such confidentiality agreement) the “Existing Confidentiality Agreements”). 

Section 6.5 Financial Information. 

(a) At all times prior to the Closing Date, the Company shall deliver to counsel to the Requisite Financing Parties and to the individual
Requisite Financing Parties that so request, subject to appropriate assurance of confidential treatment, all statements and reports the Company is required to deliver pursuant to any credit agreement, indenture or similar agreement or instrument to
which the Company is or any of the other Debtors is a party (as in effect on the date hereof) (the “Financial Reports”). Neither any waiver by the lenders or other counterparties under such agreement or instrument of their right to
receive the Financial Reports nor any amendment or termination of such agreement or instrument shall affect the Company’s obligation to deliver the Financial Reports to the Requisite Financing Parties in accordance with the terms of this
Agreement. 
 (b) The Financial Reports (i) shall be complete and correct in all material respects and (ii) shall be deemed to
have been delivered in accordance with Section 6.5(a) on the date on which the Company posts such information on the Company’s website on the internet at www.diamondoffshore.com or makes such information available via
the EDGAR system of the SEC on the internet (to the extent such information has been posted, filed, furnished or is otherwise available). 

  
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 Section 6.6 Commercially Reasonable Efforts. 

(a) Without in any way limiting any other respective obligation of the Debtors or any Financing Party in this Agreement, each Party shall use
commercially reasonable efforts to take or cause to be taken all actions, and do or cause to be done all things, reasonably necessary, proper or advisable in order to consummate and make effective the transactions contemplated by this Agreement and
the Plan, including using commercially reasonable best efforts in: 
 (i) timely preparing and filing all documentation reasonably necessary
to effect all necessary notices, reports and other filings of such Person and to obtain as promptly as practicable all consents, registrations, approvals, permits and authorizations necessary or advisable to be obtained from any third party or
Governmental Entity; 
 (ii) in the case of the Debtors only, defending any Legal Proceedings in any way challenging (A) this
Agreement, the Plan or any other Transaction Agreement, (B) the BCA Approval Order or Confirmation Order or (C) the consummation of the transactions contemplated hereby and thereby, including seeking to have any stay or temporary
restraining Order entered by any Governmental Entity vacated or reversed; and 
 (iii) working together in good faith to finalize the
Reorganized Diamond Offshore Organizational Documents, Transaction Agreements and all other documents reasonably necessary to consummate the transactions contemplated by this Agreement and the other Transaction Agreements for timely inclusion in the
Plan and filing with the Bankruptcy Court. 
 (b) Without limitation to Sections 6.1 and 6.2, to the
extent reasonably practicable, the Debtors shall provide or cause to be provided to Milbank a draft of all motions, pleadings, schedules, Orders, reports or other material papers (including all material memoranda, exhibits, supporting affidavits and
evidence and other supporting documentation) in the Chapter 11 Cases relating to or affecting the Transaction Agreements in advance of filing the same with the Bankruptcy Court. All such motions, pleadings, schedules, Orders, reports and other
material papers shall be in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors. 
 (c) Nothing
contained in this Section 6.6 shall limit the ability of any Financing Party to consult with the Debtors, to appear and be heard, or to file objections, concerning any matter arising in the Chapter 11 Cases to the
extent not inconsistent with the terms set forth in this Agreement, the Plan Support Agreement, or the Plan. 
 Section 6.7
Registration Rights Agreement; Reorganized Diamond Offshore Organizational Documents; Rights Offering Procedures. 

(a) The Plan will provide that from and after the Closing Date each holder of New Diamond Common Shares that are “control” or
“restricted” securities that either (i) is a member of the Ad Hoc Group as of the date hereof or (ii)(x) beneficially owns at least one percent (1.00%) or more of the New Diamond Common Shares on an
as-converted basis as of the Closing Date and (y) cannot sell its New Diamond Common Shares under Rule 144 of the Securities Act without volume or manner of sale restriction shall be entitled to
registration rights for such holder’s New Diamond Common Shares that are control or restricted securities; provided, that solely with respect to holders that are not members of the Ad Hoc Group as of the date hereof, the Company shall
not be required to file a registration statement until the date that 

  
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is 180 days after the Effective Date. The registration rights agreement to be entered into as of the Closing Date shall have terms that are customary for a transaction of this nature and shall be
in form and substance reasonably acceptable to the Requisite Financing Parties and the Company (the “Registration Rights Agreement”). A form of the Registration Rights Agreement shall be filed with the Bankruptcy Court as part
of the Plan Supplement or an amendment or supplement thereto. 
 (b) The Plan will provide that, on or prior to the Effective Date, the
Reorganized Diamond Offshore Organizational Documents will be approved, adopted and effective. Forms of the Reorganized Diamond Offshore Organizational Documents shall be filed with the Bankruptcy Court as part of the Plan or an amendment or
supplement thereto. 
 Section 6.8 Form D and Blue Sky. Following the Closing, the Company
shall timely file a Form D with the SEC with respect to the Rights Offering Stapled Securities, Private Placement Stapled Securities and any Unsubscribed Stapled Securities issued hereunder to the extent required under Regulation D of the
Securities Act and shall provide, upon request, a copy thereof to each Financing Party. The Company shall, on or before the Closing Date, take such action as the Company shall reasonably determine is necessary in order to obtain an exemption for, or
to qualify the Rights Offering Stapled Securities, the Private Placement Stapled Securities and the Unsubscribed Stapled Securities issued hereunder for sale to the Financing Parties at the Closing Date pursuant to this Agreement under applicable
securities and “Blue Sky” Laws of the states of the United States (or to obtain an exemption from such qualification) and any applicable foreign jurisdictions, and shall provide evidence of any such action so taken to the Financing Parties
on or prior to the Closing Date. The Company shall timely make all filings and reports relating to the offer and sale of the Rights Offering Stapled Securities, the Private Placement Stapled Securities and the Unsubscribed Stapled Securities issued
hereunder required under applicable securities and “Blue Sky” Laws of the states of the United States following the Closing Date. The Company shall pay all fees and expenses in connection with satisfying its obligations under this
Section 6.8. 
 Section 6.9 No Integration; No General Solicitation. Neither the Company nor any of
its affiliates (as defined in Rule 501(b) of Regulation D promulgated under the Securities Act) will, directly or through any agent, sell, offer for sale, solicit offers to buy or otherwise negotiate in respect of, any security (as defined
in the Securities Act) that is or will be integrated with the sale of the Unsubscribed Stapled Securities in a manner that would require registration of the Unsubscribed Stapled Securities to be issued by the Company on the Effective Date under
the Securities Act. None of the Debtors or any of their affiliates or any other Person acting on its or their behalf will solicit offers for, or offer or sell, any Unsubscribed Stapled Securities by means of any form of general solicitation or
general advertising within the meaning of Rule 502(c) of Regulation D promulgated under the Securities Act or in any manner involving a public offering within the meaning of Section 4(a)(2) of the Securities Act. 

Section 6.10 DTC Eligibility. To the extent permitted by The Depository Trust Company, the Company shall promptly make all Exit
Notes and New Diamond Common Shares deliverable to the Financing Parties eligible for deposit with The Depository Trust Company. 

  
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 Section 6.11 Use of Proceeds. The Debtors will apply the proceeds from the
Private Placements, the exercise of the Subscription Rights and the sale of the Unsubscribed Stapled Securities in accordance with the Plan and Confirmation Order. The Company shall not directly or indirectly use the proceeds of the sale of the
Rights Offering Stapled Securities or the Private Placement Stapled Securities, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or entity: (i) in any manner that would
constitute or give rise to a violation of the Anti-Corruption Laws; (ii) to fund or facilitate any activities of or business or dealings with any Person that, at the time of such funding or facilitation, is the subject or target of Sanctions;
(iii) to fund or facilitate any activities or dealings of, or business in, any Sanctioned Country; or (iv) in any other manner that would constitute or give rise to a violation by any Person (including any Person participating in the
transaction, whether as underwriter, advisor, investor or otherwise) of Sanctions. 
 Section 6.12 Share Legend. Each
certificate evidencing the Unsubscribed Stapled Securities and the Private Placement Stapled Securities that are issued in connection with this Agreement shall be stamped or otherwise imprinted with a legend (the “Legend”) in
substantially the following form: 
 “THE SECURITIES REPRESENTED BY THIS CERTIFICATE WERE ORIGINALLY ISSUED ON [DATE OF ISSUANCE], HAVE
NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY OTHER APPLICABLE STATE SECURITIES LAWS, AND MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE ACT OR AN AVAILABLE EXEMPTION FROM REGISTRATION THEREUNDER.” 
 In the event that any such Unsubscribed
Stapled Securities or Private Placement Stapled Securities are uncertificated, such Unsubscribed Stapled Securities or Private Placement Stapled Securities shall be subject to a restrictive notation substantially similar to the Legend in the stock
ledger or other appropriate records maintained by the Company or agent and the term “Legend” shall include such restrictive notation. 

The Company shall remove the Legend (or restrictive notation, as applicable) set forth above from the certificates evidencing any such shares
(or the stock ledger or other appropriate Company records, in the case of uncertified shares) at any time after the restrictions described in such Legend cease to be applicable, including, as applicable, when such shares may be sold under
Rule 144 of the Securities Act without volume or manner of sale restrictions. The Company may reasonably request such opinions, certificates or other evidence that such restrictions or conditions no longer apply as a condition to removing the
Legend. 
 Section 6.13 Antitrust and Foreign Investment Approval. 

(a) Each Party agrees to use commercially reasonable efforts to take, or cause to be taken, all actions and to do, or cause to be done, all
things necessary to consummate and make effective the transactions contemplated by this Agreement, the Plan and the other Transaction Agreements, including: (i) if applicable, filing or causing to be filed, the

  
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Notification and Report Form pursuant to the HSR Act with respect to the transactions contemplated by this Agreement with the Antitrust Division of the United States Department of Justice and the
United States Federal Trade Commission and any filings (or, if required by any Antitrust Authority, any drafts thereof) under any other Antitrust Laws that are necessary to consummate and make effective the transactions contemplated by this
Agreement as soon as reasonably practicable and no later than fifteen (15) Business Days following the date hereof; (ii) if applicable, filing or causing to be filed, any other filings, notifications or other forms required in order to
obtain any Foreign Investment Approvals as soon as reasonably practicable following the date hereof; and (iii) promptly furnishing documents or information reasonably requested by any Antitrust and Foreign Investment Authority and supplying to
any Governmental Entity as promptly as practicable any additional information or documents that may be requested pursuant to any Law or by such Governmental Entity and taking, or cause to be taken, all other actions and doing, or causing to be done,
all other things necessary, proper or advisable to consummate and make effective the transactions contemplated by this Agreement. 
 (b)
The Company and each Financing Party, subject to an obligation pursuant to the Antitrust Laws and Foreign Investment Laws to notify any transaction contemplated by this Agreement, the Plan or the other Transaction Agreements that has notified the
Company in writing of such obligation (each such Commitment Party, a “Filing Party”) agree to reasonably cooperate with each other as to the appropriate time of filing such notification and its content. The Company and each Filing
Party shall, to the extent permitted by applicable Law: (i) promptly notify each other of, and if in writing, furnish each other with copies of (or, in the case of material oral communications, advise each other orally of) any communications
from or with an Antitrust Authority and Foreign Investment Authority; (ii) not participate in any meeting with an Antitrust Authority and Foreign Investment Authority unless it consults with each other Filing Party and the Company, as
applicable, in advance and, to the extent permitted by the Antitrust Authority and Foreign Investment Authority and applicable Law, give each other Filing Party and the Company, as applicable, a reasonable opportunity to attend and participate
thereat; (iii) furnish each other Filing Party and the Company, as applicable, with copies of all substantive correspondence and communications between such Filing Party or the Company and the Antitrust Authority and Foreign Investment
Authority; (iv) furnish each other Filing Party with such necessary information and reasonable assistance as may be reasonably necessary in connection with the preparation of necessary filings or submission of information to the Antitrust
Authority and Foreign Investment Authority; and (v) not withdraw its filing, if any, under the HSR Act or any other filing to any Antitrust and Foreign Investment Authority without the prior written consent of the Requisite Financing Parties
and the Company. 
 (c) Should a Filing Party be subject to an obligation under the Antitrust Laws and Foreign Investment Laws to jointly
notify with one or more other Filing Parties (each, a “Joint Filing Party”) any transaction contemplated by this Agreement, the Plan or the other Transaction Agreements, such Joint Filing Party shall promptly notify each other Joint
Filing Party of, and if in writing, furnish each other Joint Filing Party with copies of (or, in the case of material oral communications, advise each other Joint Filing Party orally of) any communications from or with an Antitrust and Foreign
Investment Authority. 

  
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 (d) The Company and each Filing Party shall use their commercially reasonable efforts to
obtain all authorizations, approvals, consents or clearances under any applicable Antitrust Laws and Foreign Investment Laws or to cause the termination or expiration of all applicable waiting periods under any Antitrust and Foreign Investment Laws
in connection with the transactions contemplated by this Agreement at the earliest possible date after the date of filing, and shall request early termination of the waiting period under the HSR Act. The communications contemplated by this
Section 6.13 may be made by the Company or a Filing Party on an outside counsel-only basis or subject to other agreed upon confidentiality safeguards. The obligations in this Section 6.13 shall not
apply to filings, correspondence, communications or meetings with Antitrust and Foreign Investment Authorities unrelated to the transactions contemplated by this Agreement, the Plan or the other Transaction Agreements. 

Section 6.14 Alternative Restructuring. The Company shall be permitted to seek, solicit, or support Alternative
Restructuring, provided, however, that if any of the Debtors receive a proposal or expression of interest regarding any Alternative Restructuring from the date of this Agreement until the Effective Date, (i) the Debtors shall, within 24 hours
of receipt of such proposal, notify Milbank of any such proposal or expression of interest, with such notice to include the material terms thereof, including (unless prohibited by a separate agreement) the identity of the Person or group of Persons
involved, and (ii) the Debtors shall, within 24 hours of receipt, furnish counsel to the Financing Parties with copies of any written offer or any other information that they receive relating to the foregoing and shall promptly inform Milbank
of any material changes to such proposals, and, provided further, that, upon entry by the Company or any of the debtors into a definitive written agreement contemplating an Alternative Restructuring, this Agreement shall be terminated, and
concurrently with such termination, the Company shall pay the Termination Payment pursuant to Section 9.6 of this Agreement. Neither the Company nor any of the other Debtors shall enter into any confidentiality agreement with a party in
connection with an Alternative Transaction unless the Company notifies Milbank in writing prior to such entry into the non-disclosure agreement including the identity of the parties to such non-disclosure agreement (including any material parties in interest thereof), prior to execution thereof. 

Section 6.15 Listing on the Effective Date. The Company agrees, if instructed by the Requisite Financing Parties, to use
commercially reasonable efforts to have the New Diamond Common Shares listed or quoted on the New York Stock Exchange on the Effective Date, or if such listing or quotation is not possible on the Effective Date, as soon as reasonably practicable
after the Effective Date, in each case, subject to applicable listing requirements. 
 Section 6.16 Engagement Letter.
The Company shall execute and enter into the engagement letter between the Company and Russell Reynolds Associates, substantially in the form attached hereto as Exhibit G substantially concurrently with the execution and
delivery of this Agreement. 
 Section 6.17 PCbtH Contracts. The Debtors shall use commercially reasonable efforts to
renegotiate the PCbtH Contracts on terms that are reasonably acceptable to the Requisite Financing Parties and the Debtors, in each case in their sole discretion, and, if the PCbtH Contracts cannot be renegotiated on such terms, use commercially
reasonable efforts to have the PCbtH Contracts rejected or otherwise impaired, as applicable, in the Chapter 11 Cases in a manner reasonably acceptable to the Requisite Financing Parties and the Debtors, in each case in their sole discretion. 

  
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 ARTICLE VII 

CONDITIONS TO THE OBLIGATIONS OF THE PARTIES 

Section 7.1 Conditions to the Obligations of the Financing Parties. The obligations of each Financing Party to consummate the
transactions contemplated hereby shall be subject to (unless waived or amended in accordance with Section 7.5) the satisfaction of the following conditions prior to or at the Closing: 

(a) BCA Approval Order. The Bankruptcy Court shall have entered the BCA Approval Order. 

(b) Disclosure Statement Order. The Bankruptcy Court shall have entered the Disclosure Statement Order, such
order shall be in full force and effect, and not subject to any stay. 
 (c) Confirmation Order. The Bankruptcy Court shall have
entered the Confirmation Order, such order shall be in full force and effect, and not subject to any stay. 
 (d) Plan. The Debtors
shall have complied, in all material respects, with the terms of the Plan that are to be performed by the Debtors on or prior to the Effective Date and the conditions to the occurrence of the Effective Date (other than any conditions relating to the
occurrence of the Closing) set forth in the Plan shall have been satisfied or, with the prior consent of the Requisite Financing Parties, waived in accordance with the terms of the Plan. 

(e) Rights Offerings. The Rights Offerings shall have been conducted, in all material respects, in accordance with the BCA Approval
Order, the Rights Offering Procedures and this Agreement, and the Rights Offering Expiration Time with respect to the Rights Offerings shall have occurred. 

(f) Effective Date. The Effective Date shall have occurred, or shall be deemed to have occurred concurrently with the Closing, in
accordance with the terms and conditions in the Plan and in the Confirmation Order. 
 (g) Registration Rights Agreement; Reorganized
Diamond Offshore Organizational Documents. 
 (i) The Registration Rights Agreement shall have been executed and delivered by the
Company, shall otherwise have become effective with respect to the Financing Parties and the other parties thereto, and shall be in full force and effect. 

(ii) The Reorganized Diamond Offshore Organizational Documents shall duly have been approved and adopted and shall be in full force and
effect. 
 (h) Expense Reimbursement. The Debtors shall have paid (or such amounts shall be paid concurrently with the Closing) all
Expense Reimbursement invoiced through the Closing Date pursuant to Section 3.3. 

  
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 (i) Antitrust Approvals and Other Regulatory Approvals. All applicable waiting
periods, and any extensions thereof, under the Antitrust and Foreign Investment Laws, and any commitments by the Parties not to close before a date certain under a timing agreement entered into with any Antitrust and Foreign Investment Authority in
connection with the transactions contemplated by this Agreement shall have expired or otherwise been terminated. All governmental notifications, filings, consents, waivers and approvals set forth on Schedule 7 and required for the
consummation of the transactions contemplated by this Agreement and the Plan shall have been made or received. 
 (j) No Legal
Impediment to Issuance. No Law or Order shall have been enacted, adopted or issued by any Governmental Entity that prohibits the implementation of the Plan or the transactions contemplated by this Agreement. 

(k) Representations and Warranties. 

(i) The representations and warranties of the Debtors contained in Section 4.3 (No Material Adverse Effect),
Section 4.4 (Organization and Good Standing), Section 4.5 (Capitalization), Section 4.6 (Due Authorization), Section 4.17 (Investment Company
Act), Section 4.28 (Compliance with Anti-Money Laundering Laws), Section 4.29 (No Conflicts with Sanctions Laws), Section 4.30 (No Unlawful Payments) and
Section 5.3 (Execution and Delivery) shall be true and correct in all respects on and as of the Closing Date after giving effect to the Plan with the same effect as if made on and as of the Closing Date after giving effect
to the Plan (except for such representations and warranties made as of a specified date, which shall be true and correct only as of the specified date). 

(ii) The representations and warranties of the Debtors contained in Section 4.4 (Organization and Good Standing),
Section 4.5 (Capitalization), Section 4.6 (Due Authorization), Section 4.15 (Legal Proceedings) and Section 4.22 (Licenses and Permits), shall be
true and correct in all material respects on and as of the Closing Date after giving effect to the Plan with the same effect as if made on and as of the Closing Date after giving effect to the Plan (except for such representations and warranties
made as of a specified date, which shall be true and correct in all material respects only as of the specified date). 
 (iii) The
representations and warranties of the Debtors contained in this Agreement other than those referred to in clauses (i) and (ii) above shall be true and correct (disregarding all materiality or Material Adverse
Effect qualifiers) on and as of the Closing Date after giving effect to the Plan with the same effect as if made on and as of the Closing Date (except for such representations and warranties made as of a specified date, which shall be true and
correct only as of the specified date), except where the failure to be so true and correct does not constitute, individually or in the aggregate, a Material Adverse Effect. 

(l) Covenants. The Debtors shall have performed and complied (i) with Section 6.11 in all respects and
(ii) in all material respects, in the reasonable determination of the Requisite Financing Parties, with all of their other respective covenants and agreements contained in this Agreement that contemplate, by their terms, performance or
compliance prior to the Closing Date. 

  
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 (m) Material Adverse Effect. Since September 30, 2020 until the Closing Date,
there shall not have occurred, and there shall not exist, any Event that has had or reasonably would be expected to have, individually or in the aggregate, a Material Adverse Effect. 

(n) Officer’s Certificate. The Financing Parties shall have received on and as of the Closing Date a certificate of
the chief executive officer or chief financial officer of the Company confirming that the conditions set forth in Sections 7.1(l), (m), and (n) have been satisfied. 

(o) Commitment Premium. The Debtors shall have paid (or such amounts shall be paid concurrently with the Closing) to each Commitment
Party the applicable Commitment Premium as set forth in Section 3.2. 
 (p) Funding Notice. The Commitment
Parties shall have received the Funding Notice in accordance with the terms of this Agreement. 
 (q) Conditions to the Plan. The
conditions to the occurrence of the Effective Date as set forth in the Plan and in the Confirmation Order shall have been satisfied or waived in accordance with the terms thereof and of the Plan. 

(r) Delayed Draw Subscription Agreements. The Delayed Draw Subscription Agreements shall have been executed and delivered by the
Company, shall otherwise have become effective with respect to the Delayed Draw Private Placement Investors, and shall be in full force and effect. 

(s) PCbtH Contracts. The Debtors shall have used commercially reasonable efforts to renegotiate the PCbtH Contracts on terms that are
reasonably acceptable to the Requisite Financing Parties and the Debtors, in each case in their sole discretion, and, if the PCbtH Contracts cannot be renegotiated on such terms, use commercially reasonable efforts to have the PCbtH Contracts
rejected or otherwise impaired, as applicable, in the Chapter 11 Cases in a manner reasonably acceptable to the Requisite Financing Parties and the Debtors, in each case in their sole discretion. 

(t) Opinions. The Financing Parties shall have received, on the Closing Date, opinions of Paul, Weiss, Rifkind, Wharton &
Garrison LLP, counsel for the Company, dated as of the Closing Date, which shall be reasonably acceptable to the Requisite Financing Parties in all respects. 

(u) Execution. Each Transaction Agreement shall have been executed and delivered to the Commitment Parties and shall be in full force
and effect. 
 Section 7.2 RESERVED. 

Section 7.3 Debtors’ Joint Plan of Reorganization. The Plan shall provide for the full and final release and
exculpation of each Commitment Party and its Affiliates and Representatives to the fullest extent possible by law, in each case solely in their capacity as such, from liability in connection with the Chapter 11 Cases and the Transaction Agreements
and shall 

  
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be consistent with the terms set forth in the Plan and shall otherwise be in form and substance reasonably acceptable to the Requisite Financing Parties and the Debtors (as the same may be
amended, supplemented or otherwise modified from time to time in a manner that is reasonably acceptable to the Requisite Financing Parties and the Company). 

Section 7.4 Certificate of Incorporation. Upon the Closing, the rights, preferences and privileges of the New Diamond Common
Shares will be as stated in the Certificate of Incorporation in accordance with the Plan and as provided by law. 
 Section 7.5
Waiver or Amendment of Conditions to Obligations of Financing Parties. All or any of the conditions set forth in Sections 7.1(b), (d), (e), (g), (i), (k), (l), (m),
(n), (o), (p) and (q) may only be waived or amended in whole or in part with respect to all Financing Parties by a written instrument executed by the Requisite Financing Parties in their sole discretion and if so
waived, all Financing Parties shall be bound by such waiver or amendment. All or any of the conditions set forth in Section 7.2(a) may only be waived or amended in whole or in part with respect to all Commitment Parties by
a written instrument executed by the Requisite Financing Parties in their sole discretion and if so waived, all Commitment Parties shall be bound by such waiver or amendment. Any of the conditions not listed in the preceding two sentences may only
be waived or amended in whole or in part with respect to all Financing Parties by a written instrument executed by all Financing Parties (excluding any Subsequent Private Placement Investor). 

Section 7.6 Conditions to the Obligations of the Debtors. The obligations of the Debtors to consummate the transactions
contemplated hereby with any Financing Party is subject to (unless waived by the Company in writing in its sole discretion) the satisfaction of each of the following conditions: 

(a) BCA Approval Order. The Bankruptcy Court shall have entered the BCA Approval Order and such Order shall be a Final Order. 

(b) Disclosure Statement Order. The Bankruptcy Court shall have entered the Disclosure Statement Order, and such order shall be a
Final Order. 
 (c) Confirmation Order. The Bankruptcy Court shall have entered the Confirmation Order. 

(d) Effective Date. The Effective Date shall have occurred, or shall be deemed to have occurred concurrently with the Closing, in
accordance with the terms and conditions in the Plan and in the Confirmation Order. 
 (e) Rights Offerings and Private Placements.
The Rights Offering Expiration Time in connection with the Primary Rights Offering shall have occurred, and the Debtors shall have received at least $75,000,000 in full in cash pursuant to the Primary Rights Offering and the Primary Private
Placement, and shall have received $35,000,000 in commitments for the Delayed Draw Private Placement and the Delayed Draw Rights Offering. 

  
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 (f) Antitrust and Foreign Investment Approvals. All waiting periods imposed by any
Governmental Entity or Antitrust and Foreign Investment Authority in connection with the transactions contemplated by this Agreement shall have terminated or expired and all authorizations, approvals, consents or clearances under the Antitrust and
Foreign Investment Laws in connection with the transactions contemplated by this Agreement shall have been obtained. 
 (g) No Legal
Impediment to Issuance. No Law or Order shall have been enacted, adopted or issued by any Governmental Entity that prohibits the implementation of the Plan or the transactions contemplated by this Agreement. 

(h) Representations and Warranties. The representations and warranties of the Financing Parties contained in this Agreement shall be
true and correct in all material respects on and as of the Closing Date with the same effect as if made on and as of the Closing Date (except for such representations and warranties made as of a specified date, which shall be true and correct in all
material respects only as of the specified date), except for such representations and warranties in respect of which the failure to be true and correct in all material respects would not reasonably be expected to, individually or in the aggregate,
(i) have a material and adverse effect on the ability of such Financing Parties to consummate the Transaction Agreements or (ii) otherwise directly result in the creation of liabilities that would result in a Material Adverse Effect to the
Company prior to the Closing Date. 
 (i) Consents. All governmental and third-party notifications, filings, consents, waivers and
approvals required for the consummation of the transactions contemplated by this Agreement and the Plan shall have been made or received. 

(j) Covenants. The Financing Parties shall have performed and complied, in all material respects, with all of their respective
covenants and agreements contained in this Agreement that contemplate, by their terms, performance or compliance prior to the Closing Date. 

ARTICLE VIII 

INDEMNIFICATION AND CONTRIBUTION 

Section 8.1 Indemnification Obligations. Following the entry of the BCA Approval Order, the Debtors (the “Indemnifying
Parties” and each, an “Indemnifying Party”) shall, jointly and severally, indemnify and hold harmless each Financing Party (other than a Subsequent Private Placement Investor) and its Affiliates, equity holders, members,
partners, general partners, managers and its and their respective Representatives and controlling Persons (each, an “Indemnified Person”) from and against any and all losses, claims, damages, liabilities and costs and expenses
(other than Taxes of the Commitment Parties except to the extent otherwise provided for in this Agreement) (collectively, “Losses”) that any such Indemnified Person may incur or to which any such Indemnified Person may become
subject arising out of or in connection with this Agreement and the transactions contemplated hereby, including the Backstop Commitment, the Rights Offerings, the Private Placements, the payment of the Commitment Premium or the Termination Payment,
the use of the proceeds of the Rights Offerings or Private Placements, or any claim, challenge, litigation, investigation or proceeding relating to any of the foregoing, regardless of whether any Indemnified Person is a party thereto,

  
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whether or not such proceedings are brought by the Debtors, their respective equity holders, Affiliates, creditors or any other Person, and reimburse each Indemnified Person upon demand for
reasonable and documented out-of-pocket (with such documentation subject to redaction only to preserve attorney client and work product privileges) legal or other
third-party expenses actually incurred in connection with investigating, preparing to defend or defending, or providing evidence in or preparing to serve or serving as a witness with respect to, any lawsuit, investigation, claim or other proceeding
relating to any of the foregoing (including in connection with the enforcement of the indemnification obligations set forth herein), irrespective of whether or not the transactions contemplated by this Agreement or the Plan are consummated or
whether or not this Agreement is terminated; provided that the foregoing indemnity will not, as to any Indemnified Person, apply to Losses (a) as to a Defaulting Commitment Party or its Related Purchasers related to a Commitment Party
Default by such Commitment Party, (b) as to a Defaulting Private Placement Party or its Related Purchasers related to a Private Placement Investor Default by such Private Placement Investor or (c) to the extent they are found by a final, non-appealable judgment of a court of competent jurisdiction to arise from the willful misconduct or gross negligence of such Indemnified Person; provided further that this
Section 8.1 will not apply to the Subsequent Private Placement Investors. 
 Section 8.2 Indemnification
Procedure. Promptly after receipt by an Indemnified Person of notice of the commencement of any claim, challenge, litigation, investigation or proceeding (an “Indemnified Claim”), such Indemnified Person will, if a claim is to
be made hereunder against the Indemnifying Party in respect thereof, notify the Indemnifying Party promptly in writing of the commencement thereof; provided, that (a) the omission to so notify the Indemnifying Party will not relieve the
Indemnifying Party from any liability that it may have hereunder except to the extent it has been actually prejudiced by such failure and (b) the omission to so notify the Indemnifying Party will not relieve the Indemnifying Party from any
liability that it may have to such Indemnified Person otherwise than on account of this Agreement. In case any such Indemnified Claims are brought against any Indemnified Person and it notifies the Indemnifying Party of the commencement thereof, the
Indemnifying Party will be entitled to participate therein, and, at its election by providing written notice to such Indemnified Person, the Indemnifying Party will be entitled to assume the defense thereof, with counsel reasonably acceptable to
such Indemnified Person; provided, that if the parties (including any impleaded parties) to any such Indemnified Claims include both such Indemnified Person and the Indemnifying Party and based on advice of such Indemnified Person’s
counsel there are legal defenses available to such Indemnified Person that are different from or additional to those available to the Indemnifying Party, such Indemnified Person shall have the right to select separate counsel to assert such legal
defenses and to otherwise participate in the defense of such Indemnified Claims. Upon receipt of notice from the Indemnifying Party to such Indemnified Person of its election to so assume the defense of such Indemnified Claims with counsel
reasonably acceptable to the Indemnified Person, the Indemnifying Party shall not be liable to such Indemnified Person for expenses incurred by such Indemnified Person in connection with the defense thereof or participation therein (other than
reasonable documented out-of-pocket costs of investigation) unless (i) such Indemnified Person shall have employed separate counsel (in addition to any local
counsel) in connection with the assertion of legal defenses in accordance with the proviso to the immediately preceding sentence (it being understood, however, that the Indemnifying Party shall not be liable for the expenses of more than one
separate counsel representing the Indemnified Persons who are parties to such 

  
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Indemnified Claims (in addition to one local counsel in each jurisdiction in which local counsel is required)), (ii) the Indemnifying Party shall not have employed counsel reasonably
acceptable to such Indemnified Person to represent such Indemnified Person within a reasonable time after the Indemnifying Party has received notice of commencement of the Indemnified Claims from, or delivered on behalf of, the Indemnified Person,
(iii) after the Indemnifying Party assumes the defense of the Indemnified Claims, the Indemnified Person determines in good faith that the Indemnifying Party has failed or is failing to defend such claim and provides written notice of such
determination and the basis for such determination, and such failure is not reasonably cured within ten (10) Business Days following receipt of such notice by the Indemnifying Party, or (iv) the Indemnifying Party shall have authorized in
writing the employment of counsel for such Indemnified Person. 
 Section 8.3 Settlement of Indemnified Claims. The Indemnifying
Party shall not be liable for any settlement of any Indemnified Claims effected by such Indemnified Person without the written consent of the Indemnifying Party (which consent shall not be unreasonably withheld, conditioned or delayed). If any
settlement of any Indemnified Claims is consummated with the written consent of the Indemnifying Party or if there is a final judgment for the plaintiff in any such Indemnified Claims, the Indemnifying Party agrees to indemnify and hold harmless
each Indemnified Person from and against any and all Losses by reason of such settlement or judgment to the extent such Losses are otherwise subject to indemnification by the Indemnifying Party hereunder in accordance with, and subject to the
limitations of, this ARTICLE VIII. Notwithstanding anything in this ARTICLE VIII to the contrary, if at any time an Indemnified Person shall have requested the Indemnifying Party to reimburse such Indemnified Person for legal or other
expenses in connection with investigating, responding to or defending any Indemnified Claims as contemplated by this ARTICLE VIII, the Indemnifying Party shall be liable for any settlement of any Indemnified Claims effected without its written
consent if (i) such settlement is entered into more than sixty (60) days after receipt by the Indemnifying Party of such request for reimbursement and (ii) the Indemnifying Party shall not have reimbursed such Indemnified Person in
accordance with such request prior to the date of such settlement. The Indemnifying Party shall not, without the prior written consent of an Indemnified Person (which consent shall be granted or withheld, conditioned or delayed in the Indemnified
Person’s sole discretion), effect any settlement of any pending or threatened Indemnified Claims in respect of which indemnity or contribution has been sought hereunder by such Indemnified Person unless (i) such settlement includes an
unconditional release of such Indemnified Person in form and substance satisfactory to such Indemnified Person from all liability on the claims that are the subject matter of such Indemnified Claims and (ii) such settlement does not include any
statement as to or any admission of fault, culpability or a failure to act by or on behalf of any Indemnified Person. 
 Section 8.4
Contribution. If for any reason the foregoing indemnification is unavailable to any Indemnified Person or insufficient to hold it harmless from Losses that are subject to indemnification pursuant to Section 8.1, then
the Indemnifying Party shall contribute to the amount paid or payable by such Indemnified Person as a result of such Loss in such proportion as is appropriate to reflect not only the relative benefits received by the Indemnifying Party, on the one
hand, and such Indemnified Person, on the other hand, but also the relative fault of the Indemnifying Party, on the one hand, and such Indemnified Person, on the other hand, as well as any relevant equitable considerations. It is hereby agreed that
the relative 

  
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benefits to the Indemnifying Party, on the one hand, and all Indemnified Persons, on the other hand, shall be deemed, with respect to the Commitment Parties to be in the same proportion as
(a) the total value received or proposed to be received by the Company pursuant to the issuance and sale of the Rights Offering Stapled Securities in the Rights Offerings and the Subscription Amount contemplated by this Agreement and the Plan
bears to (b) the Commitment Premium paid or proposed to be paid to the Commitment Parties. 
 Section 8.5 Treatment of
Indemnification Payments. All amounts paid by an Indemnifying Party to an Indemnified Person under this Article VIII shall, to the extent permitted by applicable Law, be treated as adjustments to the Purchase Price solely for Tax
purposes. The provisions of this Article VIII are an integral part of the transactions contemplated by this Agreement and without these provisions the Financing Parties would not have entered into this Agreement. The BCA Approval Order shall
provide that the obligations of the Company under this Article VIII shall constitute allowed administrative expenses of the Debtors’ estate under sections 503(b) and 507 of the Bankruptcy Code and are payable without further
Order of the Bankruptcy Court, and that the Company may comply with the requirements of this Article VIII without further Order of the Bankruptcy Court. 

Section 8.6 No Survival. All representations, warranties, covenants and agreements made in this Agreement shall not survive the
Closing Date except for covenants and agreements that by their express terms are to be satisfied after the Closing Date, which covenants and agreements shall survive until satisfied in accordance with their terms. Notwithstanding the foregoing, the
indemnification and other obligations of the Debtors pursuant to this Article VIII and the other obligations set forth in Section 9.6 shall survive the Closing Date until the latest date permitted by applicable Law
and, if applicable, be assumed by the reorganized Debtors and their Subsidiaries. 
 ARTICLE IX 

TERMINATION 

Section 9.1 Consensual Termination. This Agreement may be terminated and the transactions contemplated hereby may be abandoned at
any time prior to the Closing Date by mutual written consent of the Debtors and the Requisite Financing Parties. 
 Section 9.2
Automatic Termination. Except as otherwise provided in this ARTICLE IX, this Agreement shall terminate automatically without further action or notice by any Party if any of the following occurs: 

(a) (i) any of the Chapter 11 Cases shall have been dismissed or converted to a chapter 7 case or (ii) a chapter 11 trustee with plenary
powers or an examiner with enlarged powers relating to the operation of the businesses of the Debtors beyond those set forth in Section 1106(a)(3) and (4) of the Bankruptcy Code shall have been appointed in any of the Chapter 11 Cases or
the Debtors shall file a motion or other request for such relief; or 
 (b) the Company or any of the Debtors have entered into a
definitive written agreement contemplating entry into an Alternative Restructuring. 

  
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 Section 9.3 Termination by the Company. This Agreement may be terminated by the
Company on behalf of the Debtors upon written notice to each Financing Party if: 
 (a) the Bankruptcy Court denies entry of the BCA
Approval Order; 
 (b) the Closing Date has not occurred by the Outside Date (as the same may be extended pursuant to
Section 9.4(f) or Section 2.3(a)); provided, that the Company shall not have the right to terminate this Agreement pursuant to this Section 9.3(b) if it is then in
willful or intentional breach of this Agreement; 
 (c) any applicable Law or final and
non-appealable Order shall have been enacted, adopted or issued by any Governmental Entity that prohibits the implementation of the Plan or the Rights Offerings or the transactions contemplated by this
Agreement or the other Transaction Agreements; 
 (d) subject to the right of the Financing Parties to arrange a Commitment Party
Replacement in accordance with Section 2.3(a) or a Replacement Private Placement Party in accordance with Section 2.3(b) (in each case, which will be deemed to cure any breach by the replaced
Financing Party pursuant to this Section 9.3(d)), (i) any Financing Party shall have breached any representation, warranty, covenant or other agreement made by such Financing Party in this Agreement or any such
representation or warranty shall have become inaccurate and such breach or inaccuracy would or would reasonably be expected to, individually or in the aggregate, give rise to the failure of a condition set forth in
Section 7.6(h) or Section 7.6(j) to be satisfied, (ii) the Company shall have delivered written notice of such breach or inaccuracy to such Financing Party and (iii) such breach or
inaccuracy is not cured by such Financing Party by the earlier of (x) the tenth (10th) Business Day after receipt of such notice and (y) the third (3rd) day prior to the Outside Date; provided, that the Company shall not have the right to terminate this Agreement pursuant to this Section 9.3(d) if it is then in
willful or intentional breach of this Agreement; 
 (e) the Company determines in good faith, based upon advice of counsel, that proceeding
with the Restructuring would be inconsistent with the exercise of the fiduciary duties of the board of directors or analogous governing body of the Company; provided that concurrently with such termination, the Company pays the Termination
Payment in cash if payable pursuant to (and in accordance with) Section 9.6(b); 
 (f) either the BCA Approval
Order or the Confirmation Order is reversed, stayed, dismissed, vacated, or reconsidered; or 
 (g) the Company shall not receive at least
$75,000,000 pursuant to the Primary Rights Offering, the Primary Private Placement and this Agreement and shall not receive at least $35,000,000 in commitments pursuant to the Delayed Draw Subscription Commitment and the Delayed Draw Subscription
Agreements; provided, that any termination pursuant to this Section 9.3(g) shall not relieve or otherwise limit the liability of any Defaulting Commitment Party or Defaulting Private Placement Party, as applicable, hereto for any breach
or violation of its obligations under this Agreement or any documents or instruments delivered in connection herewith. 

  
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 Section 9.4 Termination by the Requisite Financing Parties. This
Agreement may be terminated by the Requisite Financing Parties upon written notice to the Company if: 
 (a) (i) the Bankruptcy Court has not
entered or denies entry of the BCA Approval Order on or prior to March 1, 2021; or (ii) the Bankruptcy Court has not entered the Confirmation Order on or prior to April 8, 2021; 

(b) the BCA Approval Order or the Confirmation Order is reversed, stayed, dismissed, vacated, reconsidered or is modified or amended in any
material respect after entry without the prior written consent of the Requisite Financing Parties; 
 (c) any of the Transaction Agreements,
the Rights Offering Procedures, or any of the other Transaction Agreements is amended or modified in any material respect without the prior written consent of the Requisite Financing Parties; 

(d) the Company files any cause of action against and/or seeking to restrict or hinder the enforcement of any rights of the holders of Senior
Notes Claims in their capacity as such that is inconsistent with this Agreement (or if the Company supports any such motion, application or adversary proceeding commenced by any third party or consents to the standing of any such third party) other
than the enforcement by the Debtors of the automatic stay provisions of the Bankruptcy Code; 
 (e) (i) (A) the Debtors have breached
their obligations under Section 6.15, (B) a Financing Party delivers written notice of such breach to the Debtors, and (C) such breach is not cured by the Debtors by the fifth (5th) Business Day after receipt of such notice, (ii) the Bankruptcy Court approves or authorizes an Alternative Restructuring or (iii) the Debtors or any of their Subsidiaries enters into
any Contract or written agreement in principle providing for the consummation of any Alternative Restructuring or there has been a public announcement to such effect; 

(f) the Company or any other Debtor (i) amends or modifies, or files a pleading seeking authority to amend or modify, the Transaction
Agreements or any of the other Transaction Agreements in a manner that is materially inconsistent with this Agreement; (ii) suspends or revokes the Transaction Agreements; or (iii) publicly announces its intention to take any such action
listed in sub-clause (i) or (ii) of this subsection; 

(g) the Closing Date has not occurred by 11:59 p.m., New York City time on April 23, 2021 (as it may be extended pursuant to this
Section 9.4(g) or Section 2.3(a), the “Outside Date”), provided, that, the Outside Date may be waived or extended with the prior written consent of the Requisite
Financing Parties up to the date that is thirty (30) calendar days after the Outside Date (the “Final Outside Date”), and the Final Outside Date may be waived or extended only with the prior written consent of each
Financing Party (excluding any Subsequent Private Placement Investor); 
 (h) the Company or the other Debtors shall have breached any
representation, warranty, covenant or other agreement made by the Company or the other Debtors in this Agreement or any such representation or warranty shall have become inaccurate, and such breach or inaccuracy would, individually or in the
aggregate, give rise to the failure of a condition set 

  
 67 

 
forth in Section 7.1(l), or 7.1(m) to be satisfied, (ii) any Financing Party shall have delivered written notice of such breach or inaccuracy to the Company,
and (iii) if such breach or inaccuracy is capable of being cured, such breach or inaccuracy is not cured by the Company or the other Debtors by the earlier of (x) the tenth
(10th) Business Day after receipt of such notice, and (y) the third (3rd) Business Day prior to the Outside Date; provided,
that, this Agreement may not be terminated pursuant to this Section 9.4(h) if the Requisite Financing Parties are then in willful or intentional breach of this Agreement; 

(i) since September 30, 2020, there shall have occurred any event, development, occurrence or change that, individually, or together with
all other Events, has had or would reasonably be expected to have a Material Adverse Effect; 
 (j) if the Company shall not receive at
least $75,000,000 pursuant to the Primary Rights Offering, the Primary Private Placement and this Agreement and shall not receive at least $35,000,000 in commitments pursuant to the Delayed Draw Subscription Commitment and the Delayed Draw
Subscription Agreements; provided, that any termination pursuant to this Section 9.4(i) shall not relieve or otherwise limit the liability of any Defaulting Commitment Party for any breach or violation of its
obligations under this Agreement or any documents or instruments delivered in connection herewith; 
 (k) the aggregate amount to be paid in
Cash to Holders of Allowed General Unsecured Claims on the Effective Date (as such terms are defined in the Plan), excluding any claims arising from the rejection or impairment of the PCbtH Contracts under the Plan or any postpetition interest
payable on account of such Allowed General Unsecured Claims pursuant to the Plan, is not reasonably acceptable to the Requisite Financing Parties, provided that any amount materially consistent with the estimate provided by the Debtors to the
Advisors on November 14, 2020 shall be deemed to be acceptable to the Requisite Financing Parties; or  

(l) any applicable Law or final and non-appealable Order shall have been enacted, adopted or issued by
any Governmental Entity that prohibits the implementation of the Plan or the Rights Offerings or the transactions contemplated by this Agreement or the other Transaction Agreements. 

Section 9.5 Termination by Commitment Parties. 

(a) This Agreement may be terminated by any Commitment Party, as to itself only, upon written notice to the Company if the Closing Date has
not occurred by the Final Outside Date. 
 (b) If any Commitment Party denies or disaffirms this Agreement in writing (electronic or
otherwise), or upon the occurrence of any termination by a Commitment Party (the “Withdrawing Commitment Party”) pursuant to Section 9.5(a), the remaining Commitment Parties (other than any Withdrawing
Commitment Party) shall have the right, but not the obligation, within five (5) Business Days after receipt of written notice from the Company to all Commitment Parties of such withdrawal, which notice shall be given promptly following the
occurrence of such withdrawal and to all Commitment Parties substantially concurrently (such five (5) Business Day period, the “Commitment Party Withdrawal Replacement Period”), to make arrangements for one or more of the
Commitment Parties (other 

  
 68 

 
than the Withdrawing Commitment Party) to purchase all or any portion of the Available Stapled Securities (such purchase, a “Commitment Party Withdrawal Replacement”) on the
terms and subject to the conditions set forth in this Agreement (such Commitment Parties, the “Withdrawal Replacement Commitment Parties”). Any such Available Stapled Securities purchased by a Withdrawal Replacement Commitment Party
shall be included, among other things, in the determination of (x) the Unsubscribed Stapled Securities to be purchased by such Withdrawal Replacement Commitment Party for all purposes hereunder, (y) the Backstop Commitment Percentage of
such Withdrawal Replacement Commitment Party for all purposes hereunder, including the allocations of the Commitment Premium and (z) the Backstop Commitment of such Withdrawal Replacement Commitment Party for purposes of the definition of the
“Requisite Financing Parties.” If a Commitment Party withdrawal occurs, the Outside Date shall be delayed only to the extent necessary to allow for the Commitment Party Withdrawal Replacement to be completed within the Commitment Party
Withdrawal Replacement Period. 
 (c) [RESERVED]. 

(d) Nothing in this Agreement shall be deemed to require a Commitment Party to purchase (i) more than its Backstop Commitment Percentage
of the Unsubscribed Stapled Securities, unless otherwise agreed by such Commitment Party pursuant to Section 2.2 or (ii) any Private Placement Stapled Securities, unless otherwise agreed by such Commitment Party
pursuant to Section 2.3. 
 Section 9.6 Effect of Termination. 

(a) Upon termination of this Agreement pursuant to this Article IX, this Agreement shall forthwith become void and of no force
or effect and there shall be no further obligations or liabilities on the part of the Parties; provided, that (i) subject to Section 2.3(d), the obligations of the Debtors to pay the Expense Reimbursement
pursuant to Article III, to satisfy their indemnification obligations pursuant to Article VIII and to pay the Termination Payment if payable pursuant to (and in accordance with) Section 9.6(b) shall
survive the termination of this Agreement and shall remain in full force and effect, in each case, until such obligations have been satisfied, (ii) the provisions set forth in Section 6.4(b),
Section 6.4(d), this Section 9.6 and Article X shall survive the termination of this Agreement in accordance with their terms and (iii) subject to
Section 10.10, nothing in this Section 9.6 shall relieve any Party from liability for its gross negligence, willful misconduct or any willful or intentional breach of this Agreement. For purposes
of this Agreement, “willful or intentional breach” means a breach of this Agreement that is a consequence of an act undertaken by the breaching party with the Knowledge that the taking of such act would, or would reasonably be
expected to, cause a breach of this Agreement. 
 (b) If this Agreement shall be terminated for any reason other than by the Company under
Sections 9.1 or 9.3(a), 9.3(d) or 9.3(g), or by the Requisite Financing Parties under Section 9.4(j), provided that all of the conditions set forth in
Section 7.1 have been satisfied other than those set forth in Section 7.1(o) or in Sections 7.1(q), 7.1(r), or 7.1(u) solely as a result of a Financing Party’s breach of
this Agreement, then the Debtors shall, promptly after the date of such termination, pay the Termination Payment entirely in cash, free and clear of any withholding or deduction for any applicable Taxes, to the Financing Parties or their designees
in 

  
 69 

 
accordance with, and subject to the limitations set forth in, Section 3.2. Notwithstanding the foregoing, subject to the Debtors’ compliance with
Section 6.17, the Termination Payment shall not be payable pursuant to this Section 9.6(b) or otherwise under this Agreement to the extent the Agreement is terminated by the Requisite Financing
Parties as a result of the Requisite Financing Parties or the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement) making a determination that (a) the PCbtH Contracts were not renegotiated on terms reasonably acceptable
to such parties or (b) the Plan does not provide for alternative treatment of the PCbtH Contracts on terms reasonably acceptable to such parties, including any termination of this Agreement based on or arising from the termination of the Plan
Support Agreement, the Commitment Letter (as defined in the Plan Support Agreement), or the failure to occur of the Effective Date under the Plan on or before the Outside Date, in each case on account of such determination. To the extent that all
amounts due in respect of the Termination Payment pursuant to this Section 9.6(b) have actually been paid by the Debtors to the Financing Parties in connection with a termination of this Agreement, the Financing Parties
shall not have any additional recourse against the Debtors for any obligations or liabilities relating to or arising from this Agreement, except for, subject to Section 10.10, liability for gross negligence, willful
misconduct or any willful or intentional breach of this Agreement as provided in Section 9.6(a). Except as expressly set forth in this Section 9.6(b), the Termination Payment shall not be payable
upon the termination of this Agreement. The Termination Payment shall, pursuant to the BCA Approval Order, constitute allowed administrative expenses of the Debtors’ estate under Sections 503(b) and 507 of the Bankruptcy Code. 

(c) For the avoidance of doubt, upon any termination of this Agreement other than in connection with the consummation of the Closing, each
Commitment Party will be deemed to have automatically revoked and withdrawn any exercise of its Subscription Rights, without any further action and irrespective of the expiration or availability of any “withdrawal period” or similar
restriction, whereupon any such exercises will be deemed, for all purposes, to be null and void ab initio and will not be considered or otherwise used in any manner by the Parties in connection with the Restructuring Transactions, the Rights
Offerings and this Agreement, and the Company agrees not to accept any such exercises or consummate the Rights Offerings, and to take all action necessary or reasonably required to allow the Commitment Parties to arrange with their custodian and
brokers to effectuate the withdrawal of such exercises, including the reopening or extension of any withdrawal or similar periods. 

ARTICLE X 
 GENERAL
PROVISIONS 
 Section 10.1 Notices. All notices hereunder shall be deemed given if in writing and delivered, if
contemporaneously sent by electronic mail, courier, or registered or certified mail (return receipt requested) to the following addresses: 

(a) If to the Company or any of the Debtors: 

Diamond Offshore Drilling, Inc. 

15415 Katy Freeway, Suite 100 

Houston, Texas 77094 

Attention: David Roland 

  
 70 

 With a copy to: 

Paul, Weiss, Rifkind, Wharton & Garrison LLP 

1285 Avenue of the Americas 

New York, New York 10019 

Attention: Paul M. Basta 

(pbasta@paulweiss.com) 
 Robert
A. Britton 
 (rbritton@paulweiss.com) 

Christopher Hopkins 

(chopkins@paulweiss.com) 
 (b)
If to the Commitment Parties (or to any of them) or any other Person to which notice is to be delivered hereunder, to the address set forth opposite each such Commitment Party’s name on Schedule 6, 

With a copy (which shall not constitute notice) to: 

Milbank LLP 
 55 Hudson Yards

 New York, New York 10001 

Attention: Dennis Dunne 

(ddunne@milbank.com) 
 Tyson
Lomazow 
 (tlomazow@milbank.com) 

Paul Denaro 

(pdenaro@milbank.com) 
 (c) If
to the Initial Private Placement Investors (or to any of them) or any other Person to which notice is to be delivered hereunder, to the address set forth opposite each such Private Placement Investor’s name on Schedule 6, 

With a copy (which shall not constitute notice) to: 

Milbank LLP 
 55 Hudson Yards

 New York, New York 10001 

Attention: Dennis Dunne 

(ddunne@milbank.com) 
 Tyson
Lomazow 
 (tlomazow@milbank.com) 

Paul Denaro 

(pdenaro@milbank.com) 

  
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 (d) If to the Subsequent Private Placement Investors (or to any of them) or any other
Person to which notice is to be delivered hereunder, to the address set forth opposite each such Subsequent Private Placement Investor’s name pursuant to their respective joinder agreement. 

Section 10.2 Assignment; Third-Party Beneficiaries. Neither this Agreement nor any of the rights, interests or obligations under
this Agreement shall be assigned by any Party (whether by operation of Law or otherwise) without the prior written consent of the Company and the Requisite Financing Parties, other than an assignment by a Commitment Party expressly permitted by
Section 2.3 or Section 2.6, and any purported assignment in violation of this Section 10.2 shall be void ab initio and of no force or effect. Except as
expressly provided in Article VIII with respect to the Indemnified Persons, the terms and provisions of this Agreement (including the documents and instruments referred to in this Agreement) are intended solely for the benefit of the Parties
hereto and their respective successors and permitted assigns, and no other Person shall be a third-party beneficiary hereof. 

Section 10.3 Prior Negotiations; Entire Agreement. 

(a) This Agreement, including the Exhibits and Schedules, constitutes the entire agreement of the Parties with respect to the subject matter
hereof and supersedes all other prior agreements (oral or written), negotiations and documents between and among the Parties (and their respective advisors) with respect to the subject matter hereof, except that the Parties acknowledge that any
confidentiality agreements (if any) heretofore executed between the Debtors and any Commitment Party shall continue in full force and effect. 

(b) Notwithstanding anything to the contrary in the Plan (including any amendments, supplements or modifications thereto), the Confirmation
Order (and any amendments, supplements or modifications thereto) or an affirmative vote to accept the Plan submitted by any Commitment Party, nothing contained in the Plan (including any amendments, supplements or modifications thereto) or the
Confirmation Order (including any amendments, supplements or modifications thereto) shall alter, amend or modify the rights of the Commitment Parties under this Agreement unless such alteration, amendment or modification has been made in accordance
with Section 10.7. 
 Section 10.4 Governing Law; Venue. 

(a) This Agreement and the rights and obligations of the Parties hereunder shall be construed and enforced in accordance with, and the rights
of the Parties shall be governed by, the laws of the State of New York, without giving effect to any conflict of laws principles that would require the application of the laws of any other jurisdiction. 

(b) Each of the Parties irrevocably agrees that any legal action, suit or proceeding arising out of or relating to this Agreement brought by
any Party shall be brought and determined in the Bankruptcy Court (or, solely to the extent the Bankruptcy Court declines jurisdiction over such action or dispute, the United States District Court for the Southern District of New York or, if that
court does not have subject matter jurisdiction, in any state court located 

  
 72 

 
in The City and County of New York) and each of the Parties hereby irrevocably submits to the exclusive jurisdiction of the aforesaid court for itself and with respect to its property, generally
and unconditionally, with regard to any such proceeding arising out of or relating to this Agreement or the Restructuring. Each of the Parties agrees not to commence any proceeding relating to this Agreement or the Restructuring except in the
Bankruptcy Court (or, solely to the extent the Bankruptcy Court declines jurisdiction over such action or dispute, the United States District Court for the Southern District of New York or, if that court does not have subject matter jurisdiction, in
any state court located in The City and County of New York), other than proceedings in any court of competent jurisdiction to enforce any judgment, decree or award rendered by the Bankruptcy Court. Each of the Parties further agrees that notice as
provided in Section 10.1 shall constitute sufficient service of process and the Parties further waive any argument that such service is insufficient. Each of the Parties hereby irrevocably and unconditionally waives, and
agrees not to assert, by way of motion or as a defense, counterclaim or otherwise, in any proceeding arising out of or relating to this Agreement or the Restructuring, (i) any claim that it is not personally subject to the jurisdiction of the
Bankruptcy Court for any reason, (ii) that it or its property is exempt or immune from the jurisdiction of the Bankruptcy Court or from any legal process commenced in the Bankruptcy Court (whether through service of notice, attachment prior to
judgment, attachment in aid of execution of judgment, execution of judgment, or otherwise) and (iii) that (A) the proceeding in the Bankruptcy Court is brought in an inconvenient forum, (B) the venue of such proceeding is improper or
(C) this Agreement, or the subject matter hereof, may not be enforced in or by the Bankruptcy Court. 
 Section 10.5 Waiver of
Jury Trial. EACH PARTY HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE RESTRUCTURING
CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY (I) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE
EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (II) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION
10.5. 
 Section 10.6 Counterparts. This Agreement may be signed in one or more counterparts, each of which shall
constitute an original and all of which together shall constitute one and the same agreement. Counterparts of this Agreement, and any documents delivered pursuant hereto or in connection herewith, may be delivered via facsimile, electronic mail
(including any electronic signature covered by the U.S. federal ESIGN Act of 2000, Uniform Electronic Transactions Act, the New York Electronic Signatures and Records Act or other applicable law, e.g., www.docusign.com) or other transmission method.
Any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes. 

  
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 Section 10.7 Waivers and Amendments; Rights Cumulative; Consent. 

(a) Other than as set forth in Section 10.7(b), this Agreement, including the Exhibits and Schedules, may not be
waived, modified, amended or supplemented except with the written consent of the Debtors and Requisite Financing Parties. 
 (b)
Notwithstanding Section 10.7(a): 
 (i) Any waiver, modification, amendment or supplement to this
Section 10.7 shall require the written consent of all the Parties; 
 (ii) any modification, amendment or change to the definition of
Requisite Financing Parties shall require the prior written consent of each Commitment Party; 
 (iii) any change, modification or
amendment to this Agreement, the Plan Support Agreement, or the Plan that alters on an economic basis the terms provided in this Agreement or the Plan shall require the written consent of all of the Parties; and 

(iv) any change, modification or amendment to this Agreement, the Plan Support Agreement or the Plan that treats or affects any Commitment
Parties’ Senior Notes Claims, or Equity Interests in a manner that is materially and adversely disproportionate, on an economic or non-economic basis, to the manner in which any of the other Commitment
Party’s Senior Notes Claims, or Equity Interests are treated shall require the written consent of such materially adversely and disproportionately affected Commitment Party. 

(v) In the event that a materially adversely and disproportionately affected Commitment Party does not consent to a waiver, change,
modification or amendment to this Agreement requiring the consent of each Commitment Party (a “Non-Commitment Party”), but such waiver, change, modification or amendment receives the consent
of Commitment Parties (i) owning at least 66.67% of the outstanding Senior Notes Claims and (ii) representing at least a majority in number of claimants asserting Claims arising under the Senior Notes Claims, this Agreement shall be deemed
to have been terminated only as to such Non-Commitment Party, and this Agreement shall continue in full force and effect with respect to all other Commitment Parties from time to time without the consent of
any Commitment Parties who have so consented. 
 (vi) The waiver by any Party of a breach of any provision of this Agreement shall not
operate or be construed as a further or continuing waiver of such breach or as a waiver of any other or subsequent breach. No failure on the part of any Party to exercise, and no delay in exercising, any right, power, or remedy under this Agreement
shall operate as a waiver of, any such right, power or remedy or any provision of this Agreement. 
 Notwithstanding the foregoing,
Schedule 2 shall be revised as necessary without requiring a written instrument signed by the Company and the Requisite Financing Parties to reflect conforming changes in the composition of the Commitment Parties and
Backstop Commitment Percentages as a result of Transfers permitted and consummated in compliance with the terms and conditions of this Agreement. The terms and conditions of this Agreement (other than the conditions set forth in
Sections 7.1, Section 7.5 and 7.6, the waiver and 

  
 74 

 
amendment of which shall be governed by their respective terms) may be waived or amended (A) by the Debtors only by a written instrument executed by the Company and (B) by the Requisite
Financing Parties only by a written instrument executed by the Requisite Financing Parties. No delay on the part of any Party in exercising any right, power or privilege pursuant to this Agreement will operate as a waiver thereof, nor will any
waiver on the part of any Party of any right, power or privilege pursuant to this Agreement, nor will any single or partial exercise of any right, power or privilege pursuant to this Agreement, preclude any other or further exercise thereof or the
exercise of any other right, power or privilege pursuant to this Agreement. 
 Section 10.8 Headings. The headings of the
Sections, paragraphs and subsections of this Agreement are inserted for convenience only and shall not affect the interpretation hereof or, for any purpose, be deemed a part of this Agreement. 

Section 10.9 Specific Performance/Remedies. It is understood and agreed by the Parties that money damages would not
be a sufficient remedy for any breach of this Agreement by any Party and each non-breaching Party shall be entitled to seek specific performance and injunctive or other equitable relief as a remedy of any such
breach of this Agreement, without the necessity of proving the inadequacy of money damages as a remedy, including through an order of the Bankruptcy Court or other court of competent jurisdiction requiring any Party to comply promptly with any of
its obligations hereunder. Each Party also agrees that it will not seek, and will waive any requirement for, the securing or posting of a bond in connection with any Party seeking or obtaining such relief. 

Section 10.10 Damages. Notwithstanding anything to the contrary in this Agreement, none of the Parties will be liable for, and
none of the Parties shall claim or seek to recover, any punitive, special, indirect or consequential damages or damages for lost profits in connection with the breach or termination of this Agreement. 

Section 10.11 No Reliance. No Financing Party or any of its Related Purchasers shall have any duties or obligations to the other
Financing Parties in respect of this Agreement, the Plan or the transactions contemplated hereby or thereby, except those expressly set forth herein. Without limiting the generality of the foregoing, (a) no Financing Party or any of its Related
Purchasers shall be subject to any fiduciary or other implied duties to the other Commitment Parties, (b) no Financing Party or any of its Related Purchasers shall have any duty to take any discretionary action or exercise any discretionary
powers on behalf of any other Financing Party, (c) no Financing Party or any of its Related Purchasers shall have any duty to the other Financing Parties to obtain, through the exercise of diligence or otherwise, to investigate, confirm or
disclose to the other Financing Parties any information relating to the Debtors or any of their Subsidiaries that may have been communicated to or obtained by such Financing Party or any of its Affiliates in any capacity, (d) no Commitment
Party may rely, and confirms that it has not relied, on any due diligence investigation that any other Financing Party or any Person acting on behalf of such other Financing Party may have conducted with respect to the Debtors or any of their
Affiliates or any of their respective securities and (e) each Financing Party acknowledges that no other Financing Party is acting as a placement agent, initial purchaser, underwriter, broker or finder with respect to its Unsubscribed Stapled
Securities, Backstop Commitment Percentage of its Backstop Commitment or Private Placement Commitment, as applicable. 

  
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 Section 10.12 Publicity. At all times prior to the Closing Date or the earlier
termination of this Agreement in accordance with its terms, the Debtors shall submit drafts to Milbank of any press releases and any and all filings with the U.S. Securities and Exchange Commission that constitute disclosure of the existence or
terms of this Agreement or any amendment to the terms of this Agreement or that otherwise reference the Restructuring at least two (2) Business Days prior to making any such disclosure. No later than twelve (12) hours prior to the
publication of any such press releases or filings, Milbank shall provide comments to the Debtors on behalf of the Financing Parties with respect thereto, which shall be incorporated such that any such press releases or filings will be in a form
acceptable to the Financing Parties in their reasonable discretion. Except as required by applicable law, and notwithstanding any provision of any other agreement between the Debtors and such Financing Party to the contrary, no Party or its advisors
shall disclose to any Person (including, for the avoidance of doubt, any other Financing Party), other than Paul, Weiss, the Financing Parties’ counsel, the principal amount or percentage of any Debtor Claims and/or Interests held by any
Financing Party without such Financing Party’s prior written consent; provided, however, that (i) if such disclosure is required by law, subpoena or other legal process or regulation, the disclosing Party shall, to the extent
permitted by law, afford the relevant Financing Party a reasonable opportunity to review and comment in advance of such disclosure and shall take commercially reasonable measures to limit such disclosure (the expense of which, if any, shall be borne
by the relevant Financing Party) and (ii) the foregoing shall not prohibit the disclosure of the aggregate percentage or aggregate principal amount of (a) Senior Notes collectively held by the Financing Parties and (b) Equity
Interests held by the Financing Parties. Notwithstanding the provisions in this Section 10.12, any Party may disclose, to the extent consented to in writing by a Financing Party, such Financing Party’s individual
holdings. For the avoidance of doubt, when attaching a copy of this Agreement to any press release or public filing in accordance with this Section 10.12, the Debtors will redact any reference to any specific Financing
Party or its holdings information, including the signature pages hereto, it being understood that nothing in this Section 10.12 shall prohibit any Party from filing any motions or other pleadings or documents with the
Bankruptcy Court in connection with the Chapter 11 Cases. Notwithstanding the foregoing, the Debtors may provide a complete, unredacted version of this Agreement (including the Schedules hereto) to counsel to the official committee of unsecured
creditors appointed in the Chapter 11 Cases on a professionals’-eyes only basis and the U.S. Trustee. 
 Section 10.13
Settlement Discussions. This Agreement is part of a proposed settlement of matters that could otherwise be the subject of litigation among the Parties. Nothing herein (including the Exhibits and Schedules) shall be construed as or be deemed
to be evidence of an admission or concession of any kind on the part of any Party for any Claim, fault, liability or damages whatsoever. Each of the Parties denies any and all wrongdoing or liability of any kind and does not concede any infirmity in
the Claims or defenses that it has asserted or could assert. Pursuant to Rule 408 of the Federal Rules of Evidence, any applicable state rules of evidence, and any other applicable law, foreign or domestic, this Agreement and all negotiations
relating hereto shall not be admissible into evidence in any proceeding other than to prove the existence of this Agreement or in a proceeding to enforce the terms of this Agreement. 

  
 76 

 Section 10.14 No Recourse. Notwithstanding anything that may be expressed or
implied in this Agreement, and notwithstanding the fact that certain of the Parties may be partnerships or limited liability companies, each Party covenants, agrees and acknowledges that no recourse under this Agreement or any documents or
instruments delivered in connection with this Agreement shall be had against any Party’s Affiliates or any of the respective Related Purchasers of such Party or of the Affiliates of such Party (in each case other than the Parties to this
Agreement and each of their respective successors and permitted assignees under this Agreement), whether by the enforcement of any assessment or by any legal or equitable proceeding, or by virtue of any applicable Law, it being expressly agreed and
acknowledged that no personal liability whatsoever shall attach to, be imposed on or otherwise be incurred by any of such Related Purchasers, as such, for any obligation or liability of any Party under this Agreement or any documents or instruments
delivered in connection herewith for any claim based on, in respect of or by reason of such obligations or liabilities or their creation; provided, however, that nothing in this Section 10.14 shall relieve or
otherwise limit the liability of any Party hereto or any of their respective successors or permitted assigns for any breach or violation of its obligations under this Agreement or such other documents or instruments. For the avoidance of doubt,
none of the Parties will have any recourse, be entitled to commence any proceeding or make any claim under this Agreement or in connection with the transactions contemplated hereby except against any of the Parties or their respective successors and
permitted assigns, as applicable. 
 Section 10.15 Fiduciary Duties. Notwithstanding anything to the contrary herein, nothing in
this Agreement, the Plan or any of the Transaction Agreements shall require any Debtor or any board of directors, board of managers or similar governing body of any Debtor, upon the advice of outside counsel, to take any action or to refrain from
taking any action with respect to the Restructuring to the extent that taking or failing to take such action would be inconsistent with applicable law or its fiduciary obligations under applicable law, and any such action or inaction pursuant to
this Section 10.15 shall not be deemed to constitute a breach of this Agreement, the Plan or any of the Transaction Agreements. The Debtors may terminate this Agreement, the Plan or any of the Transaction Agreements if the
board of directors, board of managers or similar governing body of any Debtor determines, upon the advice of outside counsel, (i) that proceeding with the Restructuring, including this Agreement or the other Transaction Agreements, would be
inconsistent with the exercise of its fiduciary duties or applicable law. The Debtors shall provide three (3) Business Days’ notice to the extent reasonably practicable to the Financing Parties prior to taking any action or refraining from
taking any action in reliance on this Section 10.15. The Financing Parties reserve their rights to challenge any exercise of fiduciary duties by any Debtor or any board of directors, board of managers or similar governing
body of any Debtor pursuant to this Section 10.15. None of the Commitment Parties shall have any fiduciary duty, any duty of trust or confidence, or any other duties or responsibilities to each other, the Debtors or their
Affiliates, or any of the Debtors’ or their Affiliates’ creditors or other stakeholders, and, other than as expressly set forth in this Agreement, there are no commitments among or between the Commitment Parties. 

Section 10.16 Severability. If any provision of this Agreement, or the application of any such provision to any Person or
circumstance, shall be held invalid or unenforceable in whole or in part, such invalidity or unenforceability shall attach only to such provision or circumstance thereof and any remaining part of such provision hereof, and this Agreement, shall
continue in full force and effect so long as the economic or legal substance of the Restructuring Transactions contemplated hereby is not affected in any manner materially adverse to any Party. Upon any such determination of invalidity, the Parties
shall negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in a reasonably acceptable manner in order that the Restructuring Transactions contemplated hereby may be consummated as
originally contemplated to the greatest extent possible. 
 [Signature Pages Follow] 

  
 77 

 [Signature Pages Omitted] 

 [Schedules Omitted] 

 [Exhibits Omitted] 

 EXHIBIT D 

FORM OF JOINDER AGREEMENT FOR CONSENTING STAKEHOLDERS 

This joinder agreement (this “Joinder Agreement”) to the Plan Support Agreement, dated as of January 22, 2021 (as amended,
supplemented, or otherwise modified from time to time, the “Agreement”), by and among Diamond Offshore Drilling Inc. and its affiliated debtors (the “Debtors”), certain holders of the Senior Notes, and
certain lenders under the RCF Credit Agreement (together with their respective successors and permitted assigns, the “Consenting Stakeholders,” and each, a “Consenting Stakeholder”) is executed and delivered by
______ (the “Joining Party”) as of [•], 2021. Each capitalized term used herein but not otherwise defined shall have the meaning set forth in the Agreement. 

1. Agreement to Be Bound. The Joining Party hereby agrees to be bound by all of the terms of the Agreement, a copy
of which is attached to this Joinder Agreement as Annex I (as the same has been or may be hereafter amended, restated, or otherwise modified from time to time in accordance with the provisions hereof). The Joining Party shall hereafter
be deemed to be (a) a “Consenting Stakeholder,” if such Joining Party holds Senior Notes or RCF Loans and (b) a “Party” for all purposes under the Agreement and with respect to any and all Claims held by such Joining
Party. 
 2. Representations and Warranties. With respect to the aggregate principal amount of the Senior Notes
or other Claims, in each case, set forth below its name on the signature page hereto, the Joining Party hereby makes the representations and warranties of the Consenting Stakeholders set forth in Section 9 and
Section 25 of the Agreement to each other Party to the Agreement to the extent that the Joining Party is deemed to be a Consenting Stakeholder pursuant to this Joinder Agreement. 

3. Governing Law. This Joinder Agreement shall be governed by and construed in accordance with the laws of the
State of New York, without giving effect to any conflict of laws principles that would require the application of the laws of any other jurisdiction. 

[Signature Page Follows] 

 IN WITNESS WHEREOF, the Joining Party has caused this Joinder Agreement to be executed as of
the date first written above. 
  

			
	JOINING PARTY
	[•]
		
	By:	 	 
	Name:	 	 
	Title:	 	 

  

			
	Notice Address:
		
	Fax:	 	 
	Attention:	 	 
	Email:	 	 

  

					
	Aggregate Amounts Beneficially Owned or Managed on Account of:	 
	 RCF Loans
	  	US$	 	 
	 2039 Notes
	  	US$	 	 
	 2023 Notes
	  	US$	 	 
	 2043 Notes
	  	US$	 	 
	 2025 Notes
	  	US$	 	 
	 Existing Parent Equity Interests
	  			

 EXHIBIT E 

EXIT REVOLVING CREDIT FACILITY COMMITMENT LETTER 

 

 
  

			
	Wells Fargo Bank, National Association	 	Citigroup Global Markets Inc.
	1000 Louisiana Street, 9th Floor	 	811 Main Street Suite 4000
	Houston, Texas 77002	 	Houston, Texas 77002
		
	Wells Fargo Securities, LLC	 	Truist Securities
	550 South Tryon Street, 6th Floor	 	3333 Peachtree Rd NE
	Charlotte, North Carolina 28202	 	Atlanta, Georgia 30326
		
	HSBC Securities (USA) Inc.	 	Barclays Bank PLC
	3050 Post Oak Boulevard, Suite 600	 	745 Seventh Avenue
	Houston, Texas 77056	 	New York, New York 10019

 CONFIDENTIAL 

January 22, 2021 
 Diamond Offshore Drilling,
Inc. 
 Diamond Foreign Asset Company 
 15415 Katy Freeway 

Houston, Texas 77094 
 Attention: Scott Kornblau 

 

	 	Re:	 Exit Facility Commitment Letter 

	 	  	 Up to $400 Million Senior Secured Revolving Credit Facility 

Ladies and Gentlemen: 
 Diamond Offshore
Drilling, Inc., a Delaware corporation (“you” or the “Parent”) and certain of its subsidiaries and affiliates (collectively, the “Debtors” and each individually, a “Debtor”) have
advised Wells Fargo Bank, National Association (“Wells Fargo Bank”), Wells Fargo Securities, LLC (“Wells Fargo Securities” and, together with Wells Fargo Bank, “we” or “us”), and
each other financial institution signatory hereto (together with Wells Fargo Bank, and each such party’s successors and assigns, the “Initial Lenders” and each individually, an “Initial Lender”) that Diamond
Foreign Asset Company, a Cayman Islands exempted company (“DFAC”, and together with any other subsidiary of DFAC designated by the Parent prior to the Closing Date (as hereinafter defined) that is acceptable to Wells Fargo Bank and
the Initial Lenders, the “Borrowers”) seek financing to (a) refinance certain existing indebtedness of the Parent and its subsidiaries under that certain 5-Year Revolving Credit Agreement
dated as of October 2, 2018 among the Parent, DFAC, Wells Fargo Bank, as administrative agent and issuing bank thereunder, and the lenders and other issuing banks party thereto (such refinancing, the “Refinancing”) and
(b) finance ongoing working capital requirements and other general corporate purposes, all as more fully described in the Summary of Terms and Conditions attached hereto as Annex A (the “Term Sheet”). This Commitment
Letter (as defined below) describes the general terms and conditions for the first lien first out senior secured revolving credit facility of up to $400 million to be provided to the Borrowers (the “Senior Credit Facility”),
all as more fully described in the Term Sheet. 
 As used herein, the term “Transactions” means, collectively, the
Refinancing, the initial borrowings and other extensions of credit under the Senior Credit Facility on the Closing Date (as defined below), and the payment of fees, commissions, and expenses in connection with each of the foregoing. This letter,
including the Term Sheet and all schedules, exhibits, addendums, and annexes hereto and thereto, is hereinafter referred to as the “Commitment Letter”. The date on which the Senior Credit Facility is closed is referred to as the
“Closing Date”. Wells Fargo Bank, Wells Fargo Securities, and the Initial Lenders are sometimes referred to herein as the “Commitment Parties”. Capitalized terms used but not defined herein shall have the meanings
assigned to them in the Term Sheet. 

 1. Commitment. Upon the terms and subject to the conditions set forth in this
Commitment Letter, the fee letter dated the date hereof from the Initial Lenders to you (the “Lender Fee Letter”), and the fee letter dated the date hereof from Wells Fargo Bank to you (the “Agent Fee Letter” and
together with the Lender Fee Letter, the “Fee Letters”), each Initial Lender hereby advises you of its several, but not joint, commitment to provide to the Borrowers such percentage of the Senior Credit Facility that is set forth
next to such Initial Lender’s name on Schedule I attached hereto (with respect to each Initial Lender, a “Commitment” and collectively, the “Commitments”) in respect of the Senior Credit Facility and
upon the terms and subject to the conditions set forth or referred to in this Commitment Letter, subject to the reduction of such amounts in accordance with the allocations of the Senior Credit Facility pursuant to the Plan. 

2. Titles and Roles. Wells Fargo Securities, HSBC Securities (USA) Inc. Citigroup Global Markets Inc.1, Truist Bank, and Barclays Bank PLC, on behalf of Citi (as defined herein) each acting alone or through or with affiliates selected by it, will act as joint bookrunner and joint lead arrangers (in
such capacities, collectively, the “Lead Arrangers”) for the Senior Credit Facility. The parties hereto hereby agree that Wells Fargo Securities (in its capacity as a lead arranger, the “Left Lead Arranger”) will
have the “left” and “highest” placement in any and all marketing materials or other documentation used in connection with the Senior Credit Facility and shall hold the leading role and responsibilities conventionally associated
with such placement, including maintaining sole physical books for the Senior Credit Facility. Wells Fargo Bank will act as (a) the sole administrative agent (in such capacity, the “Administrative Agent”) for the Senior Credit
Facility and (b) the collateral agent for the Senior Credit Facility, the Last Out Term Loan, the Last Out Notes, and (if any) the Last Out Incremental Debt. No additional agents, co-agents, arrangers or
bookrunners will be appointed, no other titles will be awarded and no other compensation will be paid (other than compensation expressly set forth in this Commitment Letter and the Fee Letters) unless you and the Left Lead Arranger shall agree in
writing. You hereby acknowledge and agree that the Lead Arrangers will have no responsibility other than to use their commercially reasonable efforts to arrange the Senior Credit Facility with the Existing RCF Lenders, and each Lead Arranger is
acting solely in a capacity as an arms’ length contractual counterparty. 
 3. Conditions to Commitment. The Commitments and
undertakings of the Commitment Parties hereunder are subject solely to the satisfaction of the conditions precedent set forth in the Term Sheet under the section entitled “Initial Conditions” in Addendum B to the Term Sheet. 

4. Syndication. 
 (a) The
Lead Arrangers reserve the right, both prior to and, subject to the provisions of the Senior Credit Facility relating to assignments, after the Closing Date, to secure additional commitments for the Senior Credit Facility from a syndicate of banks,
financial institutions and other entities that are identified by the Lead Arrangers and reasonably acceptable to you (such acceptance not to be unreasonably withheld or delayed) (such banks, financial institutions and other entities committing to
the Senior Credit Facility, including the Initial Lenders, the “Lenders”) upon the terms and subject to the conditions set forth in this Commitment Letter; provided that (i) any Existing RCF Lender shall be able to commit the
pro rata percentage of such Existing RCF Lender’s holdings under the Existing Credit Agreement in accordance with the terms of the Plan Support Agreement and (ii) any Lender that is not an Existing RCF Lender shall be reasonably acceptable
to you. The Commitments of the Initial Lenders will be reduced on a dollar-for-dollar basis by the amount of any corresponding commitment received through 

 

	1 	 For purposes of this Commitment Letter, “Citi” shall mean Citigroup Global Markets Inc., Citibank,
N.A., Citicorp USA, Inc., Citicorp North America, Inc. and/or any of their affiliates as any of them shall determine to be appropriate to provide the services contemplated herein. It is understood and agreed that Citigroup Global Markets Inc. is
entering into this letter for and on behalf of Citi. 

  
 PAGE 2 

 
syndication from such other Lenders, subject to Section 4(b) below. To assist us in our syndication efforts, you agree that you will, and will cause your representatives
and advisors to, and will use commercially reasonable efforts to cause appropriate members of management and its representatives and advisors to (i) promptly provide to the Commitment Parties and the other Lenders upon request, all information
reasonably deemed necessary by the Left Lead Arranger to assist the Lead Arrangers and each Lender in their evaluation of the Transactions and to complete the syndication, (ii) make your senior management and appropriate members of management
(in each case, to the extent reasonable and practical) available to prospective Lenders on reasonable prior notice and at reasonable times and places, (iii) host, with the Lead Arrangers, one or more meetings and/or calls with prospective
Lenders at mutually agreed times and locations, and (iv) assist, and cause your affiliates and advisors to assist, the Lead Arrangers in the preparation of a confidential information memorandum in a form customarily delivered in connection with
bank financings of this type and other marketing materials to be used in connection with the syndication. No Lender will receive direct compensation from you with respect to the Senior Credit Facility outside the terms contained herein and in the
Fee Letters in order to obtain its commitment to participate in the Senior Credit Facility. 
 (b) The Left Lead Arranger and/or one or more
of its affiliates will exclusively manage all aspects of the syndication of the Senior Credit Facility in consultation with you, including decisions as to the selection and number of potential other Lenders to be approached, when they will be
approached, whose commitments will be accepted, how the Commitments of the Initial Lenders may be reduced, any titles offered to the Lenders and the final allocations of the commitments and any related fees among the Lenders, and the Left Lead
Arranger will exclusively perform all functions and exercise all authority as is customarily performed and exercised in such capacities. 

(c) Notwithstanding the Lead Arrangers’ right to syndicate the Senior Credit Facility and receive commitments with respect thereto,
except (x) in the case of any assignment among any Lender and its affiliates (including, without limitation assignments among Goldman Sachs Bank USA and Goldman Sachs Lending Partners LLC) so long as such assignee has become a party to the Plan
Support Agreement as a Consenting RCF Stakeholder via joinder or otherwise, (y) in the case of any assignment by a Commitment Party in accordance with the Plan Support Agreement, or (z) as otherwise agreed to by you, (i) each Initial Lender
shall not be relieved or released from its obligations hereunder (including its obligation to fund the Senior Credit Facility on the Closing Date) in connection with any syndication, assignment, or participation in the Senior Credit Facility,
including its respective Commitment, until the initial funding under the Senior Credit Facility has occurred on the Closing Date, (ii) no assignment by any Initial Lender shall become effective with respect to all or any portion of such Initial
Lender’s Commitment until the initial funding of the Senior Credit Facility, and (iii) unless the Left Lead Arranger and the applicable Initial Lender agree in writing, each Initial Lender will retain exclusive control over all rights and
obligations with respect to its respective Commitment in respect of the Senior Credit Facility, including all rights with respect to consents, modifications, supplements, waivers, and amendments, until the Closing Date has occurred. 

5. Information. 
 (a) You
hereby represent, warrant, and covenant that (i) all information and data (other than the Projections, as defined below, other forward-looking information and information of a general economic or general industry nature) concerning the Parent
and its subsidiaries and the Transactions that has been or will be made available to the Commitment Parties or the Lenders by you, or any of your representatives, subsidiaries, or affiliates on your behalf (the “Information”), when
taken as a whole, (x) is, and in the case of Information made available after the date hereof, will be, complete and correct in all material respects and (y) does not, and in the case of Information made available after the date hereof,
will not, contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements contained therein, in light of the circumstances under which they were made, not misleading and (ii) all
financial projections concerning the Parent and its subsidiaries, taking into account the consummation of the Transactions, that have been or will be made available to the Commitment Parties or the Lenders by you, or any of your representatives,
subsidiaries, or affiliates on your behalf (the “Projections”) have been and will be prepared in good faith based upon 

  
 PAGE 3 

 
assumptions believed by you to be reasonable at the time made available to the Commitment Parties or the Lenders, it being understood that such Projections are as to future events and are not to
be viewed as facts, that actual results may vary materially from the Projections and that no assurance can be given that the projected results will be realized. You agree that if, at any time prior to the Closing Date, you become aware that any of
the representations and warranties contained in the preceding sentence would be incorrect in any material respect if the Information and Projections were being furnished, and such representations were being made, at such time, then you will promptly
supplement the Information and the Projections so that such representations are correct in all material respects under those circumstances. We will be entitled to use and rely upon, without responsibility to verify independently, the Information and
the Projections. You acknowledge that we may share with any of our affiliates (it being understood that such affiliates will be subject to the confidentiality agreements between you and us), and such affiliates may share with the Commitment Parties,
any information related to you or any of your subsidiaries or affiliates that is necessary in connection with the Transactions (including, without limitation, in each case, information relating to creditworthiness) and the transactions contemplated
hereby. 
 (b) You acknowledge that (i) the Commitment Parties will make available, on your behalf, the Information, Projections and
other marketing materials and presentations, including any confidential information memoranda (collectively, the “Informational Materials”), to the potential Lenders by posting the Informational Materials on SyndTrak Online or by
other similar electronic means (collectively, the “Electronic Means”) and (ii) certain prospective Lenders may be “public side” (i.e., lenders that have personnel that do not wish to receive material non-public information (within the meaning of the United States federal securities laws, “MNPI”) with respect to the Parent and its subsidiaries or affiliates or any of their respective securities,
and who may be engaged in investment and other market-related activities with respect to such entities’ securities (such Lenders, “Public Lenders”)). At the reasonable request of the Left Lead Arranger, (A) you will
assist, and cause your affiliates and advisors to assist, the Lead Arrangers in the preparation of Informational Materials to be used in connection with the syndication of the Senior Credit Facility to Public Lenders, which will not contain MNPI
(the “Public Informational Materials”), (B) you will identify and conspicuously mark any Public Informational Materials “PUBLIC” (which at a minimum means that the word “Public” will appear prominently on
the first page of any such Informational Materials), and (C) you will identify and conspicuously mark any Informational Materials that include any MNPI as “PRIVATE AND CONFIDENTIAL” (which at a minimum means that the word
“Private and Confidential” will appear prominently on the first page of any such Informational Materials); provided that it is understood and agreed that any Informational Materials that do not contain a conspicuous mark of
“Public” or “Private and Confidential” shall be deemed to include MNPI. Notwithstanding the foregoing, you agree that, subject to the confidentiality and other provisions of Section 9 of this Commitment
Letter, the Commitment Parties may distribute the following documents to all prospective Lenders (including the Public Lenders) on your behalf, unless you advise the Commitment Parties in writing (including by email) within a reasonable time prior
to their intended distributions that such material should not be distributed to Public Lenders: (w) administrative materials for prospective Lenders such as lender meeting invitations and funding and closing memoranda, (x) notifications of
changes in the terms of the Senior Credit Facility, (y) financial information regarding the Parent and its subsidiaries (other than the Projections), and (z) other materials intended for prospective Lenders after the initial distribution
of the Informational Materials, including drafts and final versions of the Term Sheet and the definitive documentation for the Senior Credit Facility (the “Financing Documentation”). If you advise us in writing (including by
email) that any of the foregoing items (other than the Financing Documentation) should not be distributed to Public Lenders, then the Commitment Parties will not distribute such materials to Public Lenders without further discussions with you.
Before distribution of any Informational Materials to prospective Lenders, you shall provide us with a customary letter authorizing the dissemination of the Informational Materials and confirming the accuracy and completeness in all material
respects of the information contained therein and, in the case of Public Informational Materials, confirming the absence of MNPI therefrom. 

  
 PAGE 4 

 6. Indemnification. You agree to indemnify and hold harmless the Commitment Parties
and each of their respective affiliates, directors, officers, employees, partners, representatives, attorneys, advisors, agents, members, controlling persons, and each of their respective heirs, successors and assigns (each, an “Indemnified
Party”) from and against any and all actions, suits, losses, claims, damages, penalties, liabilities and expenses of any kind or nature (including fees, charges, and disbursements of any counsel of any Indemnified Party), joint or several,
to which such Indemnified Party may become subject or that may be incurred or asserted or awarded against such Indemnified Party, in each case arising out of or in connection with or by reason of (including, without limitation, in connection with
any investigation, litigation or proceeding or preparation of a defense in connection therewith) (a) any matters or transactions contemplated by this Commitment Letter, the Fee Letters, the Transactions or any related transaction (including,
without limitation, the execution and delivery of this Commitment Letter, the Fee Letters, and the Financing Documentation and the closing of the Transactions) or (b) the use or the contemplated use of the proceeds of the Senior Credit
Facility, and will reimburse each Indemnified Party for all out-of-pocket expenses (including the fees, charges and disbursements of any counsel for any Indemnified
Party) on demand as they are incurred in connection with any of the foregoing; provided that no Indemnified Party will have any right to indemnification for any of the foregoing to the extent resulting from (a) such Indemnified
Party’s own gross negligence or willful misconduct or, with respect to any Indemnified Party in its capacity as a Lender, such Indemnified Party’s material breach of its funding obligations under the Financing Documentation (in each case
as determined by a court of competent jurisdiction in a final non-appealable judgment) or (b) a dispute solely between two or more Indemnified Parties not caused by or involving in any way the Company or
any Subsidiary (other than any such dispute which relates to claims against the Administrative Agent, the Collateral Agent, a Lead Arranger, or an Issuing Bank, in each case in their respective capacities as such). In the case of an investigation,
litigation or proceeding to which the indemnity in this paragraph applies, such indemnity shall be effective whether or not such investigation, litigation or proceeding is brought by you, your equityholders or creditors, or an Indemnified Party,
whether or not an Indemnified Party is otherwise a party thereto and whether or not the transactions contemplated hereby are consummated. You also agree that none of your affiliates or any equityholder or creditor of yours or any of your affiliates
is intended to be, and none of such persons or entities shall be, third party beneficiaries of this Commitment Letter, and therefore no Indemnified Party will have any liability (whether direct or indirect, in contract or tort, or otherwise) to your
affiliates or to your or their respective equityholders or creditors arising out of, related to or in connection with any aspect of the transactions contemplated hereby. You also agree that no Indemnified Party will have any liability (whether
direct or indirect, in contract or tort, or otherwise) to you arising out of, related to or in connection with any aspect of the Transactions, except to the extent such liability to you is determined in a final, non-appealable judgment by a court of
competent jurisdiction to have resulted from (a) one or more Indemnified Party’s own gross negligence or willful misconduct or (b) with respect to any Indemnified Party in its capacity as a Lender, a material breach by such
Indemnified Party of its funding obligations under the Financing Documentation. Each Initial Lender shall be liable solely in respect of its own Commitment to the Senior Credit Facility on a several and not joint basis with any other Lender. No
Indemnified Party will be liable for any indirect, consequential, special or punitive damages in connection with this Commitment Letter, the Fee Letters, the Financing Documentation or the Transactions. For the avoidance of doubt, the parties hereto
acknowledge and agree that a claim for indemnity under the preceding provisions of this Section 6, to the extent covered thereby, is a claim of direct or actual damages and nothing contained in the foregoing sentence shall
limit your indemnification obligations to the extent such special, indirect, consequential or punitive damages are included in any third party claim in connection with which such Indemnified Party is otherwise entitled to indemnification hereunder.
No Indemnified Party will be liable to you, your affiliates or any other person or entity for any damages arising from the use by others of Informational Materials or other materials obtained by Electronic Means.

  
 PAGE 5 

 
You shall not, without the prior written consent of each Indemnified Party affected thereby, settle any threatened or pending claim or action that would give rise to the right of any Indemnified
Party to claim indemnification hereunder unless such settlement (x) includes a full and unconditional release of all liabilities arising out of such claim or action against such Indemnified Party, (y) does not include any statement as to
or an admission of fault, culpability or failure to act by or on behalf of such Indemnified Party, and (z) requires no action on the part of the Indemnified Party other than its consent. You acknowledge that any failure to comply with your
obligations under the preceding sentence may cause irreparable harm to the Indemnified Party. 
 7. Expenses. You agree to reimburse
each of the Commitment Parties, from time to time on demand, for all reasonable out-of-pocket costs and expenses of the Commitment Parties, including, without
limitation, reasonable fees, charges and disbursements of one firm of counsel for all such Persons and, if necessary, one firm of local or regulatory counsel in each appropriate jurisdiction and special counsel for each relevant specialty, in each
case for such Persons (and, in the case of an actual or perceived conflict of interest, where the Person affected by such conflict provides the Borrowers written notice of such conflict, of another firm of counsel for such affected Person) and other
advisors, due diligence expenses, and all printing, reproduction, document delivery, travel, CUSIP, SyndTrak, and communication costs, incurred in connection with the syndication and execution of the Senior Credit Facility and the arrangement
thereof and the preparation, review, negotiation, execution, delivery and enforcement of this Commitment Letter, the Fee Letters, the Financing Documentation and any security arrangements in connection therewith regardless of whether the Closing
Date occurs. 
 The expense reimbursements and indemnification provisions of this Commitment Letter shall constitute administrative expenses
under Sections 503(b)(1) and 507(a)(2) of the Bankruptcy Code in the Chapter 11 Cases without the need to file any motion (other than any motion as may be necessary to obtain the approvals of this Commitment Letter and the Fee Letters), application
or proof of claim and notwithstanding any administrative claims bar date, and shall be immediately payable in accordance with the terms hereof upon the entry of an order of the Bankruptcy Court approving this Commitment Letter and the Fee Letters.

 8. Fees. As consideration for the commitments and agreements of the Commitment Parties hereunder, you agree to cause to be paid
the nonrefundable fees described in the Fee Letters on the terms and subject to the conditions set forth therein. 
 9.
Confidentiality. 
 (a) This Commitment Letter and the Fee Letters (collectively, the “Commitment Documents”) and
the existence and contents hereof and thereof shall be confidential and may not be disclosed, directly or indirectly, by you in whole or in part to any person without the prior written consent of the respective Commitment Parties that are party
hereto or thereto, except for disclosure (i) hereof or thereof on a confidential basis to your affiliates and your and your affiliates’ directors, officers, employees, accountants, attorneys, and other professional advisors who have been
advised of their obligation to maintain the confidentiality of the Commitment Documents for the purpose of evaluating, negotiating, or entering into the Transactions, (ii) in any legal, judicial or administrative proceeding (other than pursuant
to the Chapter 11 Cases which are addressed in clauses (iii) and (iv) below), or as otherwise required by law (in which case, you agree, to the extent not prohibited by law, to inform us promptly in advance thereof)
(provided that, to the extent not prohibited by law, any information relating to pricing, fees, and expenses has been redacted in a manner reasonably acceptable to the Left Lead Arranger and Wells Fargo Bank), (iii) pursuant to the Chapter 11
Cases (in which case, you agree, to the extent not prohibited by law, to inform us promptly in advance thereof and to only disclose the Commitment Documents in form and substance that is reasonably satisfactory to the Left Lead Arranger and Wells

  
 PAGE 6 

 
Fargo Bank, and you agree to file the Agent Fee Letter under seal), (iv) to the office of the U.S. Trustee assigned to the Chapter 11 Cases, any statutory committee appointed in the Chapter 11
Cases, and their respective advisors and professionals, in each case, on a confidential and “need to know” basis, and (v) of this Commitment Letter, but not the Fee Letters (other than the existence thereof) or the contents thereof,
in any required filings with the Securities and Exchange Commission and other applicable regulatory authorities and stock exchanges. Notwithstanding the foregoing, it is agreed and understood that you and your subsidiaries shall be permitted to
disclose this Commitment Letter and the Fee Letters to the Bankruptcy Court (which, in the case of the Agent Fee Letter, shall be under seal in form and substance reasonably satisfactory to the Left Lead Arranger and Wells Fargo Bank) to the extent
disclosure thereof is necessary or advisable to consummate the Transactions. In connection with any disclosure by you to any third party as set forth above (except as set forth in clauses (ii) and (iii) above), you shall notify
such third party of the confidential nature of the Commitment Documents and agree to be responsible for any failure by any third party to whom you disclosed the Commitment Documents or any portion thereof to maintain the confidentiality of the
Commitment Documents or any portion thereof. 
 (b) Each Commitment Party agrees to maintain in confidence any and all of your non-public Information and Projections and to not disclose such information; provided that nothing herein shall prevent any Commitment Party from disclosing any such information (i) to any Lenders or
participants or prospective Lenders or participants who have agreed to be bound by confidentiality and use restrictions in accordance with the proviso to this sentence, (ii) in any legal, judicial, administrative proceeding or other compulsory
process or otherwise as required by applicable law or regulations (in which case, we agree, to the extent permitted by law and to the extent practicable, to inform you promptly thereof), (iii) upon the request or demand of any regulatory authority
(including, without limitation, any self-regulatory authority) having jurisdiction or purporting to have jurisdiction over any Commitment Party or any affiliate thereof, (iv) to the employees, legal counsel, independent auditors, professionals,
and other experts or agents of any Commitment Party or any affiliate thereof who are informed of the confidential nature of such information and are or have been advised of their obligation to keep information of this type confidential, (v) to
the extent any such information becomes publicly available other than by reason of disclosure by such Commitment Party or any employee, legal counsel, independent auditor, professional, expert or agent thereof or of any affiliate thereof in breach
of this Commitment Letter, (vi) to the extent that such information is received by a Commitment Party from a third party that is not, to such Commitment Party’s knowledge, subject to confidentiality obligations to you, (vii) to the
extent that such information is independently developed by a Commitment Party or any of its affiliates, (viii) for purposes of establishing a “due diligence” defense, (ix) pursuant to customary disclosure about the terms of the
financing contemplated hereby in the ordinary course of business to market data collectors and similar service providers to the loan industry for league table purposes, and (x) with your prior written consent; provided that the
disclosure of any such information to any Lenders or prospective Lenders or participants or prospective Lenders or participants referred to above shall be made subject to the acknowledgment and acceptance by such Lender or prospective Lender or
participant or prospective participant that such information is being disseminated on a confidential basis on substantially the terms set forth in this paragraph, or as is otherwise reasonably acceptable to you and us, and in accordance with the
standard syndication processes of Wells Fargo Bank or customary market standards for dissemination of such type of information. The provisions of this paragraph with respect to the Commitment Parties shall automatically terminate on the earlier of
(i) one year following the date of this Commitment Letter and (ii) the Closing Date. 
 (c) The Commitment Parties shall be
permitted to use information related to the syndication and arrangement of the Senior Credit Facility (including your name and company logo) in connection with obtaining a CUSIP number, marketing, press releases, or other transactional
announcements, updates, or advertisements provided to investor or trade publications, subject to confidentiality obligations or disclosure restrictions reasonably requested by you. Prior to the Closing

  
 PAGE 7 

 
Date, the Commitment Parties shall have the right to review and approve any public announcement or public filing made by you or your representatives relating to the Senior Credit Facility or to
any of the Commitment Parties in connection therewith, before any such announcement or filing is made (such approval not to be unreasonably withheld or delayed). 

(d) The Commitment Parties hereby notify you that pursuant to the requirements of the USA PATRIOT Act, Title III of Pub. L. 107-56 (signed into law October 26, 2001) (the “PATRIOT Act”), each of them is required to obtain, verify and record information that identifies you and any additional borrowers or guarantors
under the Senior Credit Facility, which information includes your and their respective names, addresses, tax identification numbers and other information that will allow the Commitment Parties and the other Lenders to identify you and such other
parties in accordance with the PATRIOT Act. This notice is given in accordance with the requirements of the PATRIOT Act and is effective for each of us and the Lenders. 

10. Other Services. 
 (a)
Nothing contained herein shall limit or preclude the Commitment Parties or any of their affiliates from carrying on any business with, providing banking or other financial services to, or from participating in any capacity, including as an equity
investor, in any party whatsoever, including, without limitation, any competitor, supplier, or customer of you or any of your affiliates, or any other party that may have interests different than or adverse to such parties. 

(b) You acknowledge that the Commitment Parties and their respective affiliates (the term “Lead Arrangers” as used in this
section being understood to include such affiliates) (i) may be providing debt financing, equity capital, or other services (including financial advisory services) to other entities and persons with which you or your affiliates may have
conflicting interests regarding the Transactions and otherwise, (ii) may act, without violation of its contractual obligations to you, as it deems appropriate with respect to such other entities or persons, and (iii) have no obligation in
connection with the Transactions to use, or to furnish to you or your affiliates or subsidiaries, confidential information obtained from other entities or persons. 

(c) In connection with all aspects of the Transactions, you acknowledge and agree that: (i) the Senior Credit Facility and any related
arranging or other services contemplated in this Commitment Letter constitute an arm’s-length commercial transaction between you and your affiliates, on the one hand, and the Commitment Parties and their
respective affiliates, on the other hand, and you are capable of evaluating and understanding and understand and accept the terms, risks and conditions of the Transactions, (ii) in connection with the process leading to the Transactions, each
of the Commitment Parties and their respective affiliates is and has been acting solely as a principal and not as a financial advisor, agent or fiduciary, for you or any of your management, affiliates, equity holders, directors, officers, employees,
creditors, or any other party, (iii) no Commitment Party and no affiliate thereof has assumed or will assume an advisory, agency or fiduciary responsibility in your or your affiliates’ favor with respect to any of the Transactions or the
process leading thereto (irrespective of whether any Commitment Party or any of its affiliates has advised or is currently advising you or your affiliates on other matters) and no Commitment Party and no affiliate thereof has any obligation to you
or your affiliates with respect to the Transactions except those obligations expressly set forth in the Commitment Documents, (iv) the Commitment Parties and their respective affiliates may be engaged in a broad range of transactions that
involve interests that differ from yours and those of your affiliates and no Commitment Party shall have any obligation to disclose any of such interests, and (v) no Commitment Party and no affiliate thereof has provided any legal, accounting,
regulatory, or tax advice with respect to any of the Transactions and you have consulted your own legal, accounting, regulatory, and tax advisors to the extent you have deemed appropriate. You hereby waive and release, to the fullest extent
permitted by law, any claims that you may have against any Commitment Party or any of their respective affiliates with respect to any breach or alleged breach of agency, fiduciary duty, or conflict of interest. 

  
 PAGE 8 

 11. Acceptance/Expiration of Commitments. 

(a) This Commitment Letter and the Commitment of each Initial Lender and the undertakings of each Commitment Party set forth herein shall
automatically terminate at 11:59 p.m. (Eastern Time) on January 22, 2021 (the “Acceptance Deadline”) without further action or notice unless signed counterparts of this Commitment Letter and the Fee Letters shall have been delivered
by you to the Lead Arranger by such time to the attention of Jay Buckman, Director (electronic mail: Jay.Buckman@wellsfargo.com). 
 (b) In
the event this Commitment Letter is accepted by you as provided above, the Commitments and agreements of the Initial Lenders and the undertakings of each Commitment Party set forth herein will automatically terminate without further action or notice
at 5:00 p.m. (Eastern Time) on the Expiration Date, if the Closing Date shall not have occurred by such time. 
 For purposes of this
Commitment Letter, “Expiration Date” means the earliest to occur of the following: (a) the date of entry of the Confirmation Order if and to the extent the Bankruptcy Court has not entered an order, in form and substance
reasonably satisfactory to Wells Fargo Bank and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) (which order is final, is in full force and effect, is unstayed and has not been amended, supplemented or otherwise
modified without the consent of Wells Fargo Bank and the Requisite Consenting RCF Lenders) approving this Commitment Letter, the Fee Letters and the transactions contemplated hereby and thereby (including the fees, payments, expenses and indemnities
and other obligations set forth in this Commitment Letter and the Fee Letters) on or prior to such date, (b) on any date after which an order described in the immediately preceding clause (a) has been entered but ceases to be in
full force and effect, is stayed, is vacated, or is amended or modified without the consent of Wells Fargo Bank and the Requisite Consenting RCF Lenders, (c) the occurrence of the Effective Date (as defined in the Plan) under the Plan without
the closing of the Senior Credit Facility, (d) the dismissal or conversion of the Chapter 11 Cases to proceedings under Chapter 7 of the Bankruptcy Code, (e) the consummation of an Alternative Restructuring (as defined in the Plan Support
Agreement) and (f) April 23, 2021. 
 12. Survival. The sections of this Commitment Letter and the Fee Letters relating to
Indemnification, Expenses, Confidentiality, Other Services, Survival, and Governing Law shall survive any termination or expiration of this Commitment Letter, the Commitment of each Initial Lender, or the undertakings of each Commitment Party set
forth herein (regardless of whether the Financing Documentation is executed and delivered), and the sections relating to Syndication and Information shall survive until the Closing Date; provided that your obligations under this Commitment
Letter (other than your obligations with respect to the sections of this Commitment Letter relating to Syndication, Information, Confidentiality, Other Services, Survival, and Governing Law) shall be superseded by the provisions of the Financing
Documentation upon the initial funding thereunder. 
 13. Governing Law. THIS COMMITMENT LETTER AND THE FEE LETTERS, AND ANY CLAIM, CONTROVERSY OR
DISPUTE ARISING UNDER OR RELATED THERETO (INCLUDING, WITHOUT LIMITATION, ANY CLAIMS SOUNDING IN CONTRACT LAW OR TORT LAW ARISING OUT OF THE SUBJECT MATTER HEREOF OR THEREOF), SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE
STATE OF NEW YORK (INCLUDING SECTION 5-1401 AND SECTION 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF NEW
YORK), WITHOUT REFERENCE TO ANY OTHER 

  
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CONFLICTS OR CHOICE OF LAW PRINCIPLES THEREOF. THE PARTIES HEREBY WAIVE ANY RIGHT TO TRIAL BY JURY WITH RESPECT TO ANY CLAIM OR ACTION ARISING OUT OF THIS COMMITMENT LETTER OR THE FEE LETTERS.
With respect to any suit, action, or proceeding arising in respect of this Commitment Letter or the Fee Letters or any of the matters contemplated hereby or thereby (a “Proceeding”), the parties hereto hereby irrevocably and
unconditionally submit to the exclusive jurisdiction of (i) in the case of any Proceeding arising prior to the Effective Date (as defined in the Plan), the United States Bankruptcy Court for the Southern District of Texas and (ii) in the
case of any Proceeding arising thereafter, any state or federal court located in the Borough of Manhattan, and irrevocably and unconditionally waive any objection to the laying of venue of such suit, action or proceeding brought in such court and
any claim that such suit, action or proceeding has been brought in an inconvenient forum. The parties hereto hereby agree that service of any process, summons, notice or document by registered mail addressed to you or each of the Commitment Parties
will be effective service of process against such party for any action or proceeding relating to any such dispute. A final judgment in any such action or proceeding may be enforced in any other courts with jurisdiction over you or each of the
Commitment Parties. 
 14. Miscellaneous. This Commitment Letter and the Fee Letters embody the entire agreement among the Commitment
Parties and you and your affiliates with respect to the specific matters set forth above and supersede all prior agreements and understandings relating to the subject matter hereof. No person has been authorized by any of the Commitment Parties to
make any oral or written statements inconsistent with this Commitment Letter or the Fee Letters. This Commitment Letter and the Fee Letters shall not be assignable by you without the prior written consent of the Commitment Parties, and any purported
assignment without such consent shall be void. This Commitment Letter and the Fee Letters are not intended to benefit or create any rights in favor of any person or entity other than the parties hereto, the Lenders and, with respect to
indemnification, each Indemnified Party. This Commitment Letter and the Fee Letters may be executed in separate counterparts and delivery of an executed signature page of this Commitment Letter and the Fee Letters by facsimile or electronic mail
shall be effective as delivery of manually executed counterpart hereof; provided that, upon the request of any party hereto, such facsimile transmission or electronic mail transmission shall be promptly followed by the original thereof. This
Commitment Letter and the Lender Fee Letter may only be amended, modified, or superseded by an agreement in writing signed by each of you and the Commitment Parties. The Agent Fee Letter may only be amended, modified or superseded by an agreement in
writing signed by each of you and Wells Fargo Bank. 

  
 PAGE 10 

 [Signature Pages Omitted] 

 [Schedules Omitted] 

 ANNEX A 

Term Sheet 

 
SUMMARY OF TERMS AND CONDITIONS 

DIAMOND FOREIGN ASSET COMPANY 

Each capitalized term used and not defined in this Summary of Terms and Conditions (this “Term Sheet”) shall have the meaning ascribed
such term in Addendum A attached hereto. 
 This Term Sheet is provided for discussion purposes only and does not constitute an offer, agreement, or
commitment to enter into such proposal. This Term Sheet is intended as an outline of certain of the material terms of a possible restructuring for Diamond Offshore Drilling, Inc. and does not purport to summarize all of the conditions, covenants,
representations, warranties and other provisions which would be contained in definitive documentation for such restructuring. Any such restructuring would be subject to, among other things, satisfactory completion of due diligence and
definitive documentation, the mutual agreement of the parties, and all necessary formal credit approvals. 
 This Term Sheet is being delivered to
you as a statement made in connection with settlement discussions and compromise negotiations and this Term Sheet and the information contained herein, is therefore subject to Rule 408 of the Federal Rules of Evidence. 

$300 to $400 Million Senior Secured Revolving Credit Facility 
  

			
	Credit Facility:	  	Revolving credit facility (the “Credit Facility”) in an original aggregate principal amount equal to (a) an amount not less than $300.0 million and not more than $400.0 million (such amount, the
“Commitment Amount”), plus (b) the amount of the PIK Upfront Fee (as defined below). The Commitment Amount will be the amount of the Commitments (as defined below) to the Credit Facility received from the Existing RCF
Lenders pursuant to elections made in accordance with the Plan, up to $400.0 million. The sum of the Commitments plus the principal amount of the Last Out Term Loan on the Closing Date (as defined below) shall not exceed
$500.0 million.
		
		  	The obligations of the Credit Parties (as defined below) under the Credit Facility, including, without limitation, all obligations to pay principal of and interest on the Loans (as defined below), to reimburse any Issuing Bank (as
defined below) for any payment under any Letter of Credit (each as defined below) and to pay fees, costs, expenses, indemnities and other obligations under the Credit Facility and any Credit Documents (as defined below), are collectively referred to
herein as the “Obligations”; the commitment of the Lenders to advance Loans and participate in Letters of Credit is collectively referred to herein as the “Commitments”.
		
	Co-Borrowers:	  	Diamond Foreign Asset Company, a Cayman Islands company limited by shares (“DFAC” and together with any other subsidiary of DFAC designated by the Company as an additional borrower prior to the Closing Date that is
acceptable to the Administrative Agent and the Lenders, the “Borrowers” and each individually, a “Borrower”).

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
	Guarantors:	  	Each of the following, on a joint and several basis: (a) Diamond Offshore Drilling, Inc., a Delaware corporation (the “Company”), Diamond Offshore Finance Company, a Delaware corporation
(“DOFC”), Diamond Offshore Services Company, a Delaware limited liability company (“DOSC”), and DFAC, (b) each Restricted Subsidiary of the Company, including Eligible Local Content Entities, which is not an
Excluded Subsidiary (as defined below), (c) each Restricted Subsidiary of the Company that (1) owns a Rig or (2) operates or is a party to a drilling contract or charter (or similar contract) related to, a Rig, or holds an account in which
payments in respect of such Rigs, contracts or charters are made or held (each, a “Rig Subsidiary”), (d) each Restricted Subsidiary of the Company that directly or indirectly owns equity interests in a Rig Subsidiary, (e) any
other Person that is a borrower, issuer, or guarantor under any of the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any) (the Persons referred to in clauses (a), (b), (c), (d) and
(e) above, the “Required Guarantors”), and (f) each other Subsidiary (as defined below) of the Company, if any, that elects to provide a guarantee of the Credit Facility (each other Subsidiary of the Company
referred to in this clause (f), a “Discretionary Guarantor” and, together with the Required Guarantors, the “Guarantors”).
		
		  	As used herein: (a) “Additional Subject Jurisdiction” means any jurisdiction (other than any Initial Subject Jurisdiction) in which a Required Guarantor (i) is organized, incorporated or formed and/or
(ii) has material operations or owns any assets, but only if the value of all assets (excluding Rigs and intercompany claims owing to Credit Parties) which are owned by any Required Guarantor in such jurisdiction and reasonably capable of
becoming Collateral exceeds a materiality threshold to be agreed (which shall give rise to a notice requirement by the Borrowers); (b) “Credit Parties” means the Borrowers and the Guarantors; (c) “Initial Subject
Jurisdictions” means the United States of America (or any political subdivision thereof), England and Wales, Marshall Islands, Cayman Islands, Brazil, the Netherlands, and Curacao; (d) “Subsidiary Credit Parties” means the
Credit Parties (other than the Company); and (e) “Subject Jurisdictions” means the Initial Subject Jurisdictions and the Additional Subject Jurisdictions (if any); provided that references to the Subject Jurisdictions shall
only include a reference to any non-U.S. Subject Jurisdiction for so long as one or more Required Guarantors (i) are incorporated, organized or formed in such
non-U.S. jurisdiction or (ii) have material operations or own assets in such non-U.S. Subject Jurisdiction that satisfy the materiality threshold referred to in
clause (ii) of the definition of “Additional Subject Jurisdiction”.
		
		  	So long as no default or event of default would result from such release and the Borrowers have demonstrated pro forma compliance with each Collateral Coverage Ratio after giving effect to such release (as evidenced by a compliance
certificate setting forth and certifying such calculation and the absence of a default or event of default), a Guarantor shall be released from its guarantee (i) automatically if all

  

2            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	of the capital stock of such Guarantor that is owned by the Company or any Credit Party is sold or otherwise disposed of in a transaction or series of transactions permitted by the Credit Facility, (ii) automatically if such
Guarantor is designated as an Unrestricted Subsidiary in compliance with the Credit Documents, or (iii) solely with respect to any Discretionary Guarantor that is not also a Required Guarantor, upon a written notice from the Company to the
Administrative Agent requesting such release and certifying that such Person will no longer be a Discretionary Guarantor, in the case of each of clauses (i), (ii), and (iii) above, so long as, substantially simultaneously
with such release, such Guarantor is released from its obligations under the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any).
		
		  	“Excluded Subsidiary” means:
		
		  	 (a) any Subsidiary other than a Rig Subsidiary (i) that would be prohibited or restricted from guaranteeing the
Credit Facility by any governmental authority with authority over such Subsidiary, applicable law or regulation or analogous restriction or contract (including any requirement to obtain the consent, approval, license or authorization of any
governmental authority or third party, unless such consent, approval, license or authorization has been received, but excluding any restriction in any organizational or governing documents of such Subsidiary, provided that, if reasonably
requested by the Administrative Agent, the Company and its Restricted Subsidiaries shall use commercially reasonable efforts to obtain such consent, approval, license, or authorization to the extent required or advisable under the laws of the
jurisdiction of organization of such Subsidiary for such Subsidiary to guarantee the Credit Facility, as reasonably determined by the Administrative Agent) so long as (x) in the case of Subsidiaries of the Company existing on the Closing Date,
such contractual obligation is in existence on the Closing Date and (y) in the case of Subsidiaries of the Company acquired after the Closing Date, such contractual obligation is in existence immediately prior to such acquisition; (ii) if
the provision of a guarantee by such Subsidiary (other than a Subsidiary formed in a Subject Jurisdiction) would result in material adverse tax consequences as reasonably determined by the Company and the Administrative Agent; or (iii) that is
otherwise excluded from the requirement to provide a guarantee pursuant to clause (e) of the Agreed Security Principles;

		
		  	 (b) (i) any non-wholly owned Subsidiary (other than a Rig Subsidiary) that is
prohibited from guaranteeing the Credit Facility pursuant to its governing documents (provided that no Subsidiary that is wholly owned and a Guarantor as of the Closing Date shall be or be deemed to be an “Excluded Subsidiary”
pursuant to this clause (b)(i) solely because a portion (but not all) of the equity interests in such Subsidiary are sold or otherwise transferred to any Person that is not a Credit Party, and, notwithstanding such sale or other transfer of a
portion (but not all) of the equity interests in such Subsidiary, such

  

3            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	Subsidiary shall remain a Guarantor to the extent it does not otherwise constitute an Excluded Subsidiary); (ii) any Unrestricted Subsidiary; and (iii) any Immaterial Subsidiary; and
		
		  	 (c) any wholly-owned Restricted Subsidiary (other than a Rig Subsidiary) acquired with
pre-existing indebtedness (to the extent not created in contemplation of such acquisition and as permitted by the Credit Documents), the terms of which prohibit the provision of a guarantee by such Restricted
Subsidiary; and

		
		  	 (d) any non-U.S. Subsidiary to the extent that the burden or cost of providing
a guarantee outweighs the benefit afforded thereby as reasonably determined by the Administrative Agent in consultation with the Company.

		
		  	“Immaterial Subsidiary” means any Restricted Subsidiary of the Company which, together with its Subsidiaries, as of the last day of the most recently ended four fiscal quarter period of the Company for which
financial statements have been delivered to the Administrative Agent pursuant to the Credit Documents (the “Test Period”), on a pro forma basis (including pro forma for acquisitions and dispositions during such period), (a)
contributed less than 2.5% of Adjusted EBITDA and (b) for which, as of the last day of such Test Period, the Combined Adjusted Total Assets of such Restricted Subsidiary is less than 2.5% of the Adjusted Consolidated Total Assets of the Company
and its Restricted Subsidiaries; provided that, for the most recently ended Test Period prior to such date, the combined (i) Adjusted EBITDA attributable to all Immaterial Subsidiaries shall not exceed 5.0% of Adjusted EBITDA for such
period and (ii) Adjusted Total Assets of all Immaterial Subsidiaries shall not exceed 5.0% of the Adjusted Consolidated Total Assets of the Company and its Restricted Subsidiaries for such period, in each case, as determined in accordance with
GAAP (each of Adjusted EBITDA and consolidated total assets to be determined after eliminating intercompany obligations owing to Credit Parties); provided that no Restricted Subsidiary shall be an Immaterial Subsidiary if such Restricted
Subsidiary is a Rig Subsidiary. “Material Subsidiary” means, as of any time of determination, any Restricted Subsidiary of the Company which is not an Immaterial Subsidiary.
		
	Joint Lead Arrangers and Joint Lead Bookrunners:	  	Wells Fargo Securities, LLC (“Wells Fargo Securities”) and the other joint lead arrangers and joint bookrunners under the Existing Credit Agreement to the extent such institutions are Lenders under the credit
agreement governing the Credit Facility (the “Lead Arrangers”).
		
	Administrative Agent & Collateral Agent:	  	Wells Fargo Bank, National Association (“Wells Fargo Bank”) shall be the administrative agent for the Credit Facility (in such capacity, the “Administrative Agent”). Wells Fargo Bank (or its
designee) shall

  

4            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	be the collateral agent for the Credit Facility, the Last Out Term Loan, the Last Out Notes, and (if any) the Last Out Incremental Debt (in such capacity, the “Collateral Agent”). Collateral agency arrangements to
be agreed.
		
	Syndication Agents:	  	Financial institution(s) to be determined by the Lead Arrangers.
		
	Documentation Agents:	  	Financial institution(s) to be determined by the Lead Arrangers.
		
	Lenders:	  	Wells Fargo Bank, each financial institution party to the Existing Credit Agreement electing to provide a Commitment under the Credit Facility on the Closing Date (collectively, the “Lenders” and each individually,
a “Lender”).
		
		  	Any Lender that is also (or whose affiliate is) a direct or indirect equityholder of the Company (an “Affiliated Lender”) will not receive information provided solely to Lenders and Issuing Banks by the
Administrative Agent or any Lender and will not be permitted to attend or participate in conference calls or meetings attended solely by the Lenders, Issuing Banks, and the Administrative Agent.
		
	Issuing Banks:	  	Wells Fargo Bank, Barclays Bank PLC, Citibank, N.A., HSBC Bank USA, National Association and any other Lender that consents to being an issuing bank (each, an “Issuing Bank”); provided, each Issuing Bank
shall be acceptable to the Administrative Agent and the Borrowers, such acceptance not to be unreasonably withheld or delayed. Each Issuing Bank shall notify the Administrative Agent and the Borrowers of the aggregate maximum face amount of Letters
of Credit that such Issuing Bank agrees to issue under the Credit Facility, which shall not exceed the Letter of Credit Sublimit (such amount, such Issuing Bank’s “LC Commitment”). Wells Fargo Bank’s LC Commitment on the
Closing Date will be $25 million; Barclays Bank PLC’s LC Commitment on the Closing Date will be $25 million; Citibank, N.A.’s LC Commitment on the Closing Date will be $25 million; and HSBC Bank USA, National
Association’s LC Commitment on the Closing Date will be $25 million, in each case subject to such Issuing Bank’s customary KYC process and credit approvals related to fronting risk to the Lenders.
		
	Collateral & Intercreditor Arrangements:	  	The Collateral (as defined below) will be created under, and governed by, the same collateral documents as the Last Out Term Loan, the Last Out Notes, and (if any) the Last Out Incremental Debt, subject to any local law
requirements. Subject to the Agreed Security Principles, the Obligations will be secured by the following (collectively, the “Collateral”):
		
		  	 (a) a pledge by each Credit Party of 100.0% of the stock of each Restricted Subsidiary directly owned thereby;
and

  

5            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	 (b) a first priority, perfected lien on and security interest (subject to permitted liens) in substantially all assets
of each Credit Party, including, without limitation, (i) 100% of the equity interests owned in each Restricted Subsidiary and each Credit Party (other than the Company), (ii) all material owned registered intellectual property (provided that,
if such security can be granted pursuant to a customary composite “all assets” security document, all owned registered intellectual property of such Credit Party shall be subject to liens), (iii) all Rigs, (iv) all accounts
receivable, general intangibles, equipment, charters, drilling contracts and other contracts, vessels, intercompany indebtedness, and all proceeds of the foregoing, in each case related to such Rigs, and all collection accounts, pooling accounts,
and other amounts into which payments related to such Rigs are made or swept or in which such amounts are held, (v) Material Real Property (as defined herein), and (vi) all deposit accounts, securities accounts and commodity accounts, with
respect to which accounts (other than Excluded Accounts (as defined below)) shall be required to be subject to account control agreements in form and substance reasonably satisfactory to the Administrative Agent (or, with respect to non-U.S. accounts, other applicable agreements, filings, or perfection actions reasonably acceptable to the Administrative Agent) to the extent required by Agreed Security Principles, shall be delivered
(x) within 30 days of the Closing Date, or such longer period as the Administrative Agent may reasonably approve, with respect to each U.S. account required to be Collateral as of the Closing Date, (y) within 45 days of the Closing Date,
or such longer period as the Administrative Agent may reasonably approve, with respect to each non-U.S. account required to be Collateral as of the Closing Date, and (z) prior to any deposit of any
proceeds into a newly established account or any account ceasing to be an Excluded Account (or, in any such case, such longer period thereafter as the Administrative Agent may reasonably approve), with respect to each account required to be
Collateral that is established after the Closing Date or that ceases to be an Excluded Account after the Closing Date, as the case may be.

		
		  	The Credit Documents shall also include customary negative pledges on all assets of the Credit Parties (with certain customary exceptions and thresholds), in each case, to be mutually agreed and subject to permitted liens.
		
		  	The secured and guaranteed obligations under the Credit Facility shall include the obligations of the Credit Parties under (a) the Credit Facility, the Credit Documents, and Guarantees, (b) hedging transactions in
existence on the Closing Date that were entered into with counterparties that are Lenders or affiliates of Lenders on the Closing Date and hedging transactions entered into after the Closing Date with a hedging transaction counterparty that was a
Lender or an affiliate of a Lender at the time such hedging transaction was entered into, and (c) treasury management obligations in existence on the Closing Date that are held by Lenders or affiliates of Lenders on the Closing Date and
treasury management obligations incurred after the Closing Date with a counterparty that was a Lender or an affiliate of a Lender at the time such treasury management obligation was
incurred.

  

6            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

			
		  	The priority of the security interests and related creditor rights among the Credit Facility, the Last Out Notes, the Last Out Term Loan, and (if any) the Last Out Incremental Debt will be set forth in a customary first out/last out
intercreditor agreement to be negotiated in good faith and on terms and conditions to be reasonably agreed (the “First Out/Last Out Intercreditor Agreement”). The First Out/Last Out Intercreditor Agreement shall provide that the
payment obligations under the Last Out Notes, Last Out Term Loan, and Last Out Incremental Debt rank pari passu with each other, but junior to the payment obligations under the Credit Facility in all respects.
		
		  	Notwithstanding the foregoing, the Collateral shall not include any Excluded Property (as defined below), or any other property or asset that is otherwise excluded pursuant to the Agreed Security Principles. “Excluded
Property” means:
		
		  	 (i) fee owned real property with a fair market value of less than $10.0 million in the aggregate (any property in
excess of such threshold, “Material Real Property”), and any leasehold interests in real property (it being understood there shall be no requirement to obtain any landlord or other third party waivers, estoppels or collateral access
letters), and any fixtures affixed to such excluded real property;

		
		  	 (ii) pledges and security interests prohibited or restricted by applicable law, rule or regulation (including as a
result of any requirement to obtain the consent, approval, license or authorization of any governmental or regulatory authority unless such consent has been obtained; provided that, if reasonably requested by the Administrative Agent, the Credit
Parties will use commercially reasonable efforts to obtain such consents to the extent required or advisable to create or perfect such security interests under the laws of the applicable jurisdiction, as determined by the Administrative Agent in its
reasonable discretion);

		
		  	 (iii) minority interests or equity interests in joint ventures and
non-wholly-owned Subsidiaries, to the extent the grant of a lien on such interest would require a consent, approval, license or authorization from any governmental authority or any other Person (other than a
Credit Party or Restricted Subsidiary); provided that, if reasonably requested by the Administrative Agent, the Credit Parties will use commercially reasonable efforts to obtain such consents to the extent required or advisable to create or perfect
such security interests in such minority interests or equity interests in the applicable jurisdiction, as determined by the Administrative Agent in its reasonable discretion; and provided further that such minority interests or equity interests in a
Subsidiary that were directly or indirectly owned by the Company on the Closing Date shall not be Excluded Property if they were not Excluded Property on the Closing Date;

  

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		  	 (iv) any lease, license, contract, or agreement, or any property subject to a purchase money security interest, capital
lease obligation or similar arrangement, in each case, to the extent that a grant of a security interest therein to secure the Credit Facility would violate or invalidate such lease, license, contract, or agreement or purchase money or similar
arrangement (including as a result of any requirement to obtain the consent, approval, license or authorization of any third party unless such consent has been obtained (and it being understood and agreed that, if reasonably requested by the
Administrative Agent, the Credit Parties shall use commercially reasonable efforts to obtain any such consent, approval, license or authorization to the extent required or advisable to create or perfect a security interest in such lease, license,
contract, or agreement or purchase money or similar arrangement under the laws of the applicable jurisdiction, as determined by the Administrative Agent in its reasonable discretion, other than with respect to drilling contracts)) or create a right
of termination in favor of any other party thereto (other than a Borrower or a Restricted Subsidiary) after giving effect to Sections 9-406, 9-407, 9-408, and 9-409 of the Uniform Commercial Code, which limit anti-assignment provisions, other than proceeds and receivables thereof, the assignment of which is expressly
deemed effective under the Uniform Commercial Code notwithstanding such prohibition;

		
		  	 (v) any intent-to-use trademark
application prior to the filing and acceptance of a “Statement of Use,” “Amendment to Allege Use” or similar filing with respect thereto, by the United States Patent and Trademark Office, only to the extent, if any, that, and
solely during the period if any, in which, the grant of a security interest therein may impair the validity or enforceability of such intent-to-use trademark application
under applicable federal law;

		
		  	 (vi) any after-acquired property (including property acquired through acquisition or merger of another Person) if at
the time such acquisition is consummated the granting of a security interest therein or the pledge thereof is prohibited by any contract or other agreement that encumbers such property prior to such acquisition (in each case, not created in
contemplation thereof) solely to the extent and for so long as such contract or other agreement (or a permitted refinancing or replacement thereof) prohibits such security interest or pledge;

		
		  	 (vii) the capital stock of (A) Unrestricted Subsidiaries, (B) any after-acquired non-wholly owned Subsidiary to the extent that restrictions in any organizational or governing documents of such Subsidiary prohibit the pledge of its capital stock, and (C) Excluded Subsidiaries (other than
any Discretionary Guarantor and any Restricted Subsidiary that becomes an Excluded Subsidiary solely by virtue of its being an Immaterial Subsidiary) to the extent such pledge would be prohibited by the same factors that cause such Subsidiary to be
an Excluded Subsidiary;

  

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		  	 (viii) (A) certain accounts to be agreed, such as (1) deposit accounts specially and exclusively used in the
ordinary course of business for payroll, payroll taxes and other employee wage and benefit payments (or the equivalent thereof in non-U.S. jurisdictions), (2) pension fund accounts, 401(k) accounts and trust
accounts (or the equivalent thereof in non-U.S. jurisdictions), (3) withholding tax and other similar tax accounts (including sales tax accounts), (4) fiduciary accounts, escrow accounts, trust accounts and
other accounts, in each case, which solely hold funds on behalf of any third party (or the equivalent thereof in any non-U.S. jurisdiction), (5) other deposit accounts, securities accounts, and commodity
accounts with balances in the aggregate for all accounts referred to in this subclause (5), not exceeding $20 million at any time, and (6) any other account to the extent the cost of creating a lien therein is excessive in relation
to the practical benefit to the Lenders afforded thereby, as reasonably determined by the Administrative Agent (such excluded accounts referred to in this clause (A), collectively, the “Excluded Accounts”), and (B) all
funds and other property held in or maintained in any such Excluded Account; provided that no Reinvestment Account shall be an Excluded Account; and

		
		  	 (ix) other exceptions to be mutually agreed upon between the Company and the Administrative Agent.

		
		  	Notwithstanding anything to the contrary herein, in determining whether any security shall be created and/or perfected, the Credit Documents shall reflect the following principles and other customary security principles to be
mutually agreed in the Credit Documents (collectively, the “Agreed Security Principles”):
		
		  	 (a) The Credit Documents shall not require any party to take steps to create or perfect any lien in Excluded
Property.

		
		  	 (b) Perfection through account control agreements or other actions (other than the filing of UCC-1 financing statements or other all-asset filings, as applicable) shall not be required with respect to (i) Excluded Accounts or any
non-U.S. accounts with respect to which the Administrative Agent determines the cost of perfection is excessive in relation to the practical benefit to the Lenders afforded thereby, (ii) any commercial
tort claim, except for any commercial tort claim held by a Credit Party with respect to which a complaint has been filed in a court of competent jurisdiction asserting damages in excess of $1.0 million for each such claim (but with respect to
claims in courts outside the United States, only to the extent the concept of commercial tort claims exists under applicable local law and such local law includes procedures for perfecting against a commercial tort claim), and (iii) letter of
credit rights (other than to the extent consisting of supporting obligations that can be perfected solely by the

  

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		  	filing of a UCC-1 financing statement or other all-assets filing (it being understood that no actions shall be required to perfect a security interest
in letter of credit rights other than filing of a UCC-1 financing statement or other all-assets filing)).
		
		  	 (c) None of the Borrowers or the Guarantors shall be required to take any actions with respect to the creation or
perfection of liens on any Collateral within or subject to the laws of the United States of America other than actions relating to (i) the delivery of certificated securities and certain debt instruments (including intercompany promissory
notes) (subject to materiality thresholds to be set forth in the Credit Documents) and the subordination of intercompany liabilities, (ii) the execution and delivery of, and performance under, the security and pledge agreements, any required
short-form intellectual property collateral documents and any required account control agreements (the terms of which shall reflect that the relevant Credit Party will have full operational control of the accounts subject thereto absent the
occurrence of and continuance of an event of default), (iii) any required security interest filings in the U.S. Patent and Trademark Office and the U.S. Copyright Office, (iv) the filing of UCC-1
financing statements, (v) mortgages (or similar collateral documents) encumbering the Rigs and related assets, (vi) mortgages and related security documents on Material Real Property, and (vii) other actions reasonably agreed between
the Administrative Agent and the Company, subject to customary exceptions and thresholds to be set forth in the Credit Documents.

		
		  	 (d) None of the Borrowers or the Guarantors shall be required to take any actions with respect to the creation or
perfection of liens on any Collateral that are within or subject to the laws of any jurisdiction other than (i) the Subject Jurisdictions and (ii) solely with respect to the mortgage of each owned Rig and related assets required to be
Collateral, execution and recordation of a mortgage (or similar collateral document) and delivery of other customary documentation reasonably requested by the Administrative Agent, in each case in the relevant jurisdiction in which such Rig is
flagged and, if applicable, the jurisdiction where the owner of such Rig is formed. Absent an event of default that is continuing, except as set forth in subclause (ii) of the foregoing sentence, no collateral documents shall be required to be
delivered under the laws of any jurisdiction other than the Subject Jurisdictions.

		
		  	 (e) General statutory limitations, financial assistance, fiduciary duties, corporate benefit, fraudulent preference,
illegality, criminal or civil liability, “thin capitalisation” rules, “earnings stripping”, “controlled foreign corporation” rules, capital maintenance rules and analogous principles may restrict a Restricted Subsidiary
(other than a Rig Subsidiary) from providing a guarantee or granting liens on its assets or may require that any guarantee and/or security be limited to a certain amount. To the extent that any such limitations, rules and/or principles referred to
above require that the guarantee and/or security

  

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		  	is limited by an amount or otherwise in order to make such guarantee or security granted by a Restricted Subsidiary (other than a Rig Subsidiary) legal, valid, binding or enforceable or to avoid the relevant Restricted Subsidiary
(other than a Rig Subsidiary) from breaching any applicable law or otherwise in order to avoid civil or criminal liability of the officers or directors (or equivalent) of any Credit Party, the limit shall be no more than the minimum limit required
by those limitations, rules or principles. To the extent the minimum limit can be increased or eliminated, as applicable, by actions or omissions on the part of any Credit Party, each Credit Party shall use commercially reasonable efforts to take
such actions or not to take actions (as appropriate) in order to increase or eliminate the minimum limit required by those limitations, rules or principles.
		
		  	 (f) Registration of any liens created under any collateral document and other legal formalities and perfection steps,
if required under applicable law or regulation or where customary or consistent with market practice, will be completed by each Credit Party in the relevant Subject Jurisdiction(s) as soon as reasonably practicable in line with applicable market
practice after that security is granted and, in any event, within the time periods specified in the relevant Credit Document or within the time periods specified by applicable law or regulation, in order to ensure due priority, perfection and
enforceability of the liens on the Collateral required to be created by the relevant Credit Document.

		
		  	 (g) Where there is material incremental cost involved in creating or perfecting liens over all assets of a particular
category owned by a Credit Party in a particular jurisdiction, such Credit Party’s grant of security or the steps required to perfect such liens, as applicable, over such category of assets may be limited to the material assets in that category
where determined appropriate by the Company and the Administrative Agent in light of the Agreed Security Principles.

		
		  	 (h) No security granted in motor vehicles and other assets subject to certificates of title (in each case, other than
any owned Rigs required to be mortgaged as Collateral and any motor vehicle or other asset with a value in excess of $3.0 million) shall be required to be perfected (other than to the extent such rights can be perfected by filing a UCC-1 financing statement or similar composite “all asset” security document under applicable law of any foreign Subject Jurisdiction).

		
		  	 (i) The Credit Parties shall pledge, or cause to be pledged, the equity interests they own in each Restricted
Subsidiary and each Credit Party, unless otherwise excluded from the Collateral pursuant to the Agreed Security Principles. Each collateral document in respect of security over equity interests in any Subsidiary Credit Party will be governed by the
laws of the country (or state thereof) in which such Person is incorporated, organized or formed; provided that each

  

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		  	collateral document in respect of security over equity interests in (x) any U.S. Restricted Subsidiary will be governed by the laws of the State of New York or (y) any Restricted Subsidiary that is not incorporated,
organized or formed in a Subject Jurisdiction may be governed by the laws of the State of New York and/or the laws of a relevant non-U.S. Subject Jurisdiction, as determined in the sole discretion of the
Administrative Agent. Absent an event of default that is continuing, no Credit Party or Restricted Subsidiary shall be required to provide any security or take any perfection step (A) under the laws of any jurisdiction that is not a Subject
Jurisdiction, in respect of any equity interests held in any direct Restricted Subsidiary of any Credit Party incorporated, organized or formed outside a Subject Jurisdiction or (B) in respect of any equity interests held in any Person which is
not a Subsidiary Credit Party or a direct Restricted Subsidiary of a Credit Party, in each case, unless such security can be granted under a customary composite “all asset” security document under the laws of a Subject Jurisdiction; it
being understood and agreed that (1) absent an event of default that is continuing, there shall be no requirement (and the Administrative Agent shall not request) that any local law perfection steps (or collateral documents) with respect to
equity interests be taken in any jurisdiction other than a Subject Jurisdiction (other than the preparation and delivery of local law governed share certificates and customary local law stock transfer powers (or equivalent transfer powers) in
respect of pledged equity interests in any Subsidiary Credit Party or any direct Restricted Subsidiary of a Credit Party) and (2) the Administrative Agent may require any Credit Party to provide a New York
law-governed pledge of the equity interests owned in each Restricted Subsidiary held by such Credit Party, unless otherwise excluded from the Collateral pursuant to the Agreed Security Principles, regardless
of such Credit Party’s or Restricted Subsidiary’s jurisdiction of organization, in addition to any other documents required or permitted to be requested under the Credit Documents.
		
		  	 (j) Information, such as lists of assets, if required by applicable law or market practice to be provided in order to
create or perfect any security under a collateral document will be specified in that collateral document and all such information shall be provided by the relevant Credit Party at intervals no more frequently than annually (unless it is market
practice to provide such information more frequently in order to perfect or protect such security under the applicable collateral document); provided that the frequency of any such delivery of information and materiality thresholds with
respect thereto shall be in line with the customary market practice in the applicable jurisdiction or, so long as an event of default is continuing, following the Administrative Agent’s request.

		
		  	 (k) Unless an event of default exists, no registration of the liens on intellectual property constituting Collateral
with an aggregate value of less than $3,000,000 shall be required.

  

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		  	 (l) No Credit Party shall be required to give notice of any security created over any of its contracts, book debts or
accounts receivable to the relevant counterparties or debtors unless an event of default has occurred and is continuing, except that this shall not apply with respect to notices of security created over drilling or other similar contracts to the
relevant counterparties that are necessary or desirable to create or perfect any lien in such contract.

		
		  	 (m) Each Credit Party shall use commercially reasonable efforts to create and perfect first ranking floating charges
and general business charges in the relevant Subject Jurisdictions over its assets that are required to constitute Collateral. Any such floating charges and general business charges shall be in the form and to the extent consistent with market
practice in the relevant Subject Jurisdiction. In addition, if requested by the Administrative Agent, each Credit Party shall sign a New York law-governed security agreement, regardless of such Credit
Party’s jurisdiction of organization or location of its assets.

		
		  	 (n) The security documentation shall be limited to those documents mutually agreed among counsel for the Borrowers and
for the Administrative Agent, which documentation shall in each case be in form and substance consistent with these principles, customary for the form of Collateral and as mutually agreed between the Administrative Agent and the
Borrowers.

		
		  	 (o) No documentation with respect to the creation or perfection of liens shall be required for spare part equipment
other than as would be customarily provided for in a mortgage over the applicable owned Rig required to be Collateral (if applicable), except to the extent (i) such security can be granted under a customary composite “all asset”
security document under the laws of a Subject Jurisdiction or (ii) the value of such assets reasonably capable of becoming Collateral exceeds a materiality threshold to be agreed.

		
		  	 (p) No lien searches shall be required other than customary searches in the United States, in any other Subject
Jurisdiction (but only to the extent (i) the concept of “lien” searches exists therein, (ii) such requirement would be customary or consistent with market practice in such jurisdiction, and (iii) such searches can be obtained at
commercially reasonable costs or are with respect to owned Rigs (which shall be customary registry searches)).

		
		  	 (q) None of the Borrower or any Guarantor shall be required to take any actions with respect to the creation and/or
perfection of liens on any Collateral to the extent the cost of creating and/or perfecting of such lien is excessive in relation to the practical benefit to the Lenders afforded thereby, as reasonably determined by the Administrative Agent in
consultation with the Borrower.

  

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	Purpose:	  	General corporate purposes, including the repayment of certain indebtedness to the Lenders under the Existing Credit Agreement, working capital needs and capital expenditures.
		
	Funding Options:	  	Prior to the Commitment Termination Date (as defined below), the Borrowers may borrow loans (the “Loans”) on a revolving basis up to the Commitment Amount.
		
		  	All Loans shall be made in U.S. Dollars. The Borrowers may request the issuance of Letters of Credit (a) from all of the Issuing Banks in U.S. Dollars, British Pounds Sterling, Euros, Mexican Pesos, or Norwegian Kroner,
(b) from Issuing Banks that approve such currency prior to the Closing Date, in Brazilian Reais, Malaysian Ringgit, and Indonesian Rupiah, or (c) any other eligible major currency as may be requested by the Borrowers and agreed to by the
Administrative Agent, the Issuing Banks and the Lenders in their sole discretion.
		
	Closing Date:	  	The date of the satisfaction or waiver of the Initial Conditions (such date, the “Closing Date”).
		
	Commitment
Termination Date:	  	One business day prior to the fifth anniversary of the Closing Date (such date, the “Commitment Termination Date”).
		
	Letters of Credit:	  	Prior to the Commitment Termination Date, the Borrowers may use up to the lesser of (i) $100.0 million of the Credit Facility (the “Letter of Credit Sublimit”) and (ii) the aggregate LC Commitments for the
issuance by the Issuing Banks of standby letters of credit (the “Letters of Credit”) having an expiry of no later than the earlier of (A) one year after the issuance thereof and (B) five (5) business days prior to the
Commitment Termination Date (or with respect to a Letter of Credit for which the Borrowers have delivered cash collateral or a back-to-back letter of credit, in each
case satisfactory to the relevant Issuing Bank, in an amount equal to 105% of the face amount of such Letter of Credit, such later expiry date as may be agreed to by such Issuing Bank); provided, however, that no individual Issuing
Bank shall be obligated to issue Letters of Credit in an aggregate amount in excess of its LC Commitment. Letters of Credit may be in the form of performance letters of credit or financial letters of credit. Letters of Credit may be denominated in
(a) U.S. Dollars, British Pounds Sterling, Euros, Mexican Pesos, or Norwegian Kroner, (b) subject to the approval of the relevant Issuing Banks prior to the Closing Date, Brazilian Reais, Malaysian Ringgit, and Indonesian Rupiah, or
(c) any other eligible major currency as may be requested by the Borrowers and agreed to by the Administrative Agent, the Issuing Banks and the Lenders in their sole discretion. Each HSBC Letter of Credit shall be deemed issued as a Letter of
Credit on the Closing Date (subject to the conditions precedent to closing and the conditions precedent to each extension of credit being satisfied).

  

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	Interest Rates:	  	Interest on Loans will accrue based on (i) the Base Rate, plus the Applicable Margin (as defined below), or (ii) the LIBOR Rate, plus the Applicable Margin, in each case as selected by the Borrowers. The
LIBOR Rate will be subject to LIBOR replacement provisions consistent with Wells Fargo Bank policy, ARRC guidelines, and bank market practice as of the Closing Date.
		
	Letter of Credit Fees:	  	With respect to each Letter of Credit, the Borrowers shall pay (a) a fronting fee to the applicable Issuing Bank equal to 0.125% per annum of the face amount of each such outstanding letter of credit and (b) a letter of
credit fee to the Administrative Agent (which shall be shared by the Lenders (including the Issuing Banks) ratably) at a rate per annum equal to the Applicable Margin for LIBOR Rate Loans, in each case computed on the basis of a year of 360 days for
the actual number of days elapsed, on the maximum face amount of such Letter of Credit, from the date of issuance of such Letter of Credit until the expiration date for such Letter of Credit, payable quarterly in arrears on the last business day of
each calendar quarter and on such expiration date and, if applicable, on the Commitment Termination Date. Additionally, the Borrowers agree to pay all customary administrative and issuance fees, amendment, payment and negotiation charges and
reasonable costs and expenses of the applicable Issuing Bank (solely for such Issuing Bank’s account) in connection with each Letter of Credit (including mailing charges and reasonable out-of-pocket expenditures).
		
	Interest Payments:	  	Interest on each Base Rate Loan shall be payable quarterly in arrears on the last business day of each calendar quarter; interest on each LIBOR Rate Loan shall be payable at the end of each Interest Period applicable thereto and, if
such Interest Period is longer than three (3) months, every three months during such Interest Period, and all accrued and unpaid interest on the Loans shall be payable in full on the Commitment Termination Date and, with respect to interest
accrued on any principal prepaid, on the date of such prepayment.
		
	Funding:	  	The Borrowers shall provide prior written notice (or telephonic notice promptly confirmed in writing) of any funding request (including, without limitation, the deemed funding of Loans to occur on the Closing Date) and interest rate
conversions to the Administrative Agent (i) by 11:00 a.m. ET on the date of borrowing with respect to Base Rate Loans; and (ii) by 11:00 a.m. ET at least three (3) business days in advance with respect to LIBOR Rate Loans. LIBOR Rate
Loans shall be in minimum amounts of $5.0 million and Base Rate Loans shall be in minimum amounts of $1.0 million and, in each case, if above such amounts, in an integral multiple of $1.0 million. No more than a total of ten
(10) Loans subject to LIBOR Rate pricing may be in effect at any time under the Credit Facility.

  

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	 Early Repayments;
 Commitment
and
 Availability Reductions;
 and
Mandatory
 Prepayments:
	  	Prepayment of Loans may be made, without premium or penalty, at any time in whole or in part (other than the payment of customary LIBOR breakage amounts). The Borrowers must give the Administrative Agent notice by 11:00 a.m. ET at
least three (3) business days prior to any prepayment of LIBOR Rate Loans and notice by 11:00 a.m. ET on the date of any prepayment of Base Rate Loans, and any such prepayments shall be in minimum amounts of $5.0 million with respect to
LIBOR Rate Loans and $1.0 million with respect to Base Rate Loans or such smaller amount as needed to prepay a certain Loan in full.
		
		  	The Commitments may be permanently terminated at any time in whole or in part by the Borrowers on at least three (3) business days prior notice to the Administrative Agent; provided that no such termination shall reduce
the aggregate available Commitments to an amount less than the aggregate amount of the Loans and LC Exposure at the time of such termination. Each partial reduction of the Commitments shall be in an aggregate amount of at least $5.0 million and
shall be applied ratably to the respective Commitments of the Lenders.
		
		  	The mandatory prepayment provisions in the Credit Documents shall be limited to the following:
		
		  	Anti-Cash Hoarding – Excess Cash Sweep Prepayment. If, at the end of any Wednesday (or if such day is not a business day, the immediately succeeding business day) (each such date, an“Excess Cash Test
Date”), (a) Loans are outstanding under the Credit Facility and (b) Available Cash (as defined below) exceeds $125.0 million, then the applicable Borrower shall prepay, or shall cause to be prepaid, within three (3) business
days after such Excess Cash Test Date, Loans (and if there is still excess, cash collateralize any LC Exposure) in an aggregate amount (when taken together with accrued and unpaid interest on the Loans to be so prepaid) equal to the lesser of
(i) Available Cash as of such Excess Cash Test Date in excess of $125.0 million and (ii) the principal amount of Loans then outstanding plus accrued and unpaid interest on such prepaid Loans plus any LC Exposure (and any such payment
shall not reduce Lenders’ Commitments). To the extent that any amount is required to be prepaid pursuant to the immediately preceding sentence with respect to any Excess Cash Test Date, the applicable Borrower shall deliver to the
Administrative Agent, substantially simultaneously with such prepayment, a certificate of a financial officer of the applicable Borrower certifying the amount required to be so prepaid with respect to such Excess Cash Test Date, as reasonably
determined or reasonably estimated by the applicable Borrower in good faith.
		
		  	Anti-Cash Hoarding – Use of Proceeds Prepayment. With respect to each borrowing, if the aggregate amount of Available Cash would exceed $125.0 million after giving effect to such borrowing and any

  

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		 	other transactions occurring prior to or substantially simultaneously with such borrowing, but excluding the effect of any other transactions that have not occurred prior to or substantially simultaneously with such borrowing, if
and to the extent the applicable Borrower has not applied the proceeds of such borrowing for the purpose specified in the Use of Proceeds Certificate delivered in connection with such borrowing by the fifth (5th) business day following the date such
borrowing is made, then on the next business day the applicable Borrower shall prepay the Loans in an aggregate principal amount equal to the lesser of (a) the amount of the proceeds that were not applied for the purpose specified in the
applicable Use of Proceeds Certificate and (b) the amount necessary to cause the aggregate amount of Available Cash to be less than or equal to $125.0 million at the end of such business day.
		
		 	Asset Sales – Commitment Reductions. Upon (a) the date of consummation of any asset sale or other transfer of assets by the Company or any Restricted Subsidiary (the“Asset Sale Date”) (other than
certain ordinary course, de minimis asset sales to be agreed, including asset sales described under clauses (iv), (v) and (vi) of the covenant described in clause 8 (Asset sales) under “Negative Covenants” below), unless the
Administrative Agent has received a Reinvestment Notice with respect to any net cash proceeds (which, for the avoidance of doubt, shall be net of taxes paid or payable as a result of such transaction and any debt incurred under clause (d) under
paragraph 1 under “Negative Covenants” below and secured by such assets and that is required to be repaid with the proceeds thereof) on such Asset Sale Date, and (b) any Reinvestment Termination Date, the Commitments shall be
automatically reduced by an amount necessary to cause the Threshold Ratio as of such date to be equal to or greater than the lesser of (x) 2.5 to 1.0 and (y) the Threshold Ratio as of the Closing Date (after giving pro forma effect to such
asset sale, such commitment reduction, and any concurrent repayment of indebtedness).
		
		 	Asset Sales—Temporary Availability Reduction. If, on any Asset Sale Date, the Administrative Agent has received a Reinvestment Notice with respect to any cash proceeds of such asset sale or transfer and the Threshold
Ratio (after giving pro forma effect to such asset sale or transfer) is less than the lesser of (x) 2.5 to 1.0 and (y) the Threshold Ratio as of the Closing Date, then the availability of the Commitments during the relevant Reinvestment Period
shall be temporarily reduced by an amount necessary to cause the Threshold Ratio as of such Asset Sale Date to be equal or greater than the lesser of (x) 2.5 to 1.0 and (y) the Threshold Ratio as of the Closing Date (after giving pro forma
effect thereto).
		
		 	Asset Sales – Mandatory Prepayments. Upon any Asset Sale Date or any Reinvestment Termination Date, the Borrowers shall prepay the Loans (and cash collateralize any LC Exposure) (a) to the extent a prepayment would
be required under the paragraph below entitled

  

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		  	“Outstandings Exceed Commitments” (including if any such prepayment would be required as a result of a commitment reduction pursuant to the paragraph above entitled “Asset Sales – Commitment
Reductions”, but, for the avoidance of doubt, not as a result of any temporary availability reduction pursuant to the paragraph above entitled “Asset Sales – Temporary Availability Reduction”), and (b) to the
extent a prepayment would be required pursuant to the paragraph above entitled “Anti-Cash Hoarding – Excess Cash Sweep Prepayment” (regardless of any timing provisions set forth in such paragraph).
		
		  	Prepayments of Other Indebtedness. In addition, to the extent any mandatory repayment, mandatory redemption, or offer to purchase is required under the Last Out Term Loan, Last Out Notes, or Last Out Incremental Debt, such
requirement must be subject to (a) the prior payment of amounts payable under the Credit Facility in respect of such event and the credit agreement governing the Credit Facility will include a corresponding mandatory prepayment and (b) the
covenant described in clause (4) of “Negative Covenants” below.
		
		  	Outstandings Exceed Commitments. If at any time the principal amount of Loans outstanding under the Credit Facility plus any LC Exposure exceeds the Commitments of the Lenders then in effect, for any reason, including a
reduction of Commitments pursuant to the Credit Documents, the Borrowers shall prepay the Loans (and cash collateralize any LC Exposure) in an amount equal to such excess.
		
		  	“Reinvestment Account” means an account that is subject to an account control agreement in form and substance satisfactory to the Administrative Agent or with respect to
non-U.S. accounts, other applicable agreements, filings, or perfection actions reasonably acceptable to the Administrative Agent, into which net cash proceeds from an asset sale or other transfer of assets
permitted pursuant to clause (8) of “Negative Covenants” below have been deposited; provided that, for the avoidance of doubt, such account shall not be required to be a segregated account.
		
		  	 “Reinvestment Notice” means a notice in writing from the Company to the Administrative Agent given on any Asset Sale Date
that the Company or any Restricted Subsidiary has consummated an asset sale or other transfer of assets permitted pursuant to clause (8) of “Negative Covenants” below and that the Company intends to apply the net cash proceeds
received from such permitted asset sale (x) to reinvest such net cash proceeds in one or more Rigs, (y) to acquire all of the capital stock of an entity owning one or more Rigs or other related assets useful in the Credit Parties’ and
their Subsidiaries’ business, or (z) to apply such net cash proceeds to capital expenditures in Rigs, in each case, within the Reinvestment Period. 

  

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		  	“Reinvestment Period” means the period commencing on any Asset Sale Date and ending on the date that is 180 days following such Asset Sale Date (which date may be extended by an additional 90 days if the applicable
net cash proceeds are contractually committed by the end of 180 days following such Asset Sale Date to be reinvested by the Company in a manner permitted by the Credit Documents within such additional 90-day
period), so long as the Company has delivered a Reinvestment Notice with respect to such net cash proceeds on such Asset Sale Date.
		
		  	“Reinvestment Termination Date” means, with respect to net cash proceeds received in respect of an asset sale or other transfer of assets, the earlier of (a) the date on which all of such net cash proceeds are
reinvested by the Company in the manner described in the Reinvestment Notice delivered with respect to such net cash proceeds, and (b) the last day of the Reinvestment Period applicable to such net cash proceeds.
		
		  	“Threshold Ratio” means, as of any date of determination, the ratio of:
		
		  	 (a) the Collateral Rig Value in effect on such date, to

		
		  	 (b) the sum of (1) the greater of (x) the Commitments and (y) the sum of the Loans and LC Exposure,
plus (2) the outstanding principal amount of the Last Out Term Loan, plus (3) the outstanding principal amount of the Last Out Notes, plus (4) the outstanding amount of any Last Out Incremental Debt.

		
	Payments:	  	All payments by the Borrowers shall be made not later than 12:00 p.m. ET to the Administrative Agent in immediately available funds, free and clear of any defenses, set-offs, counterclaims, or
withholdings or deductions for taxes, subject to customary exceptions in accordance with Wells Fargo Bank policy. Any Lender not organized under the laws of the United States or any state thereof (and any Lender that is disregarded for U.S. federal
income tax purposes from, or is treated as partnership for U.S. federal income tax purposes and has a partner that is, a Person that is not organized under the laws of the United States or any state thereof) must, prior to the time it becomes a
Lender, furnish the Borrowers and the Administrative Agent with forms or certificates as may be appropriate to verify that such Lender would, if any interest payments were U.S. sourced, be exempt from U.S. tax (including FATCA) withholding
requirements.
		
	 Applicable Margin;
 Reference Rate
Floor;
 Default Rate: .
	  	The margin applicable to Loans bearing interest based on the LIBOR Rate shall be 4.25%, and the margin applicable to Loans bearing interest based on the Base Rate shall be 3.25% (such rates, the “Applicable Margin”)
The LIBOR Rate shall be subject to a floor of 1.0%, and the Base Rate shall be subject to a floor of 2.0%.

  

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		  	In addition, (a) automatically upon the occurrence and during the continuation of any payment event of default or upon a bankruptcy event of default of any Credit Party or (b) at the election of the Required Lenders (or
the Administrative Agent at the direction of Required Lenders), upon the occurrence and during the continuation of any other event of default, all outstanding principal, fees, and other obligations under the Credit Facility shall bear interest at a
rate per annum of 2.0% in excess of the rate then applicable to such loans (including the applicable margin), fee, or other obligation and shall be payable on demand of the Administrative Agent.
		
	Commitment Fee:	  	The Borrowers shall pay to the Administrative Agent for the account of each Lender, a fee, which shall accrue at the applicable rate per annum of 0.50% on the average daily unused amount of the Commitment of each Lender until the
date on which such Lender’s Commitment terminates, which fee shall be payable (a) quarterly in arrears on the last business day of each calendar quarter, commencing on the first such day to occur after the Closing Date and (b) on the
Commitment Termination Date.
		
	PIK Upfront Fee:	  	The Borrowers shall pay to the Administrative Agent for the ratable account of the Lenders an upfront fee in an amount set forth in the Fee Letter (the “PIK Upfront Fee”), which shall be fully earned upon the
effectiveness of the Plan Support Agreement and shall be due and paid-in-kind (by increasing the principal amount of the Loans outstanding by the amount of such fee) on
the Closing Date. Upon the consummation of any Alternative Transaction (as defined in the Plan), such PIK Upfront Fee shall be due and payable in full in cash to the financial institutions that have committed to the Credit Facility, ratably
according to their Commitments, on the date of the consummation of such Alternative Transaction. Notwithstanding the foregoing, the Alternative Restructuring Fee shall not be payable pursuant to the Fee Letter or otherwise to the extent the
Alternative Restructuring is consummated as a result of a determination by the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) that the PCbtH Contracts’ treatment in the Chapter 11 Cases, including under the Plan, is
not reasonably acceptable to the Requisite Consent RCF Lenders (as defined in the Plan Support Agreement).
		
	Other Fees:	  	The Borrowers shall pay Wells Fargo Securities, the Administrative Agent, and the Collateral Agent such additional fees as may be agreed in the Fee Letter.
		
	 Funding Costs;
 Yield Protection
and
 Defaulting Lenders;
 LIBOR
Replacement;
 Etc.:
	  	Usual and customary provisions, including provisions for such matters as increased costs, funding losses, capital adequacy, liquidity, illegality and taxes, subject to Lender mitigation requirements, provisions in respect of
Defaulting Lenders (to be defined consistent with the Documentation Principles) and the Borrowers’ rights to replace Lenders. Customary EU/UK bail-in, supported QFC, and division of LLCs.

  

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		  	The Credit Documents shall contain customary language governing the protocol to obtain a replacement interest rate for LIBOR (the “Benchmark Replacement”), in accordance with Wells Fargo Bank policy, ARRC
guidelines, and bank market practice as of the Closing Date.
		
	Initial Conditions:	  	The conditions precedent to the Closing Date and the conditions precedent to the deemed funding of Loans and deemed issuance of Letters of Credit on the Closing Date (the “Initial Conditions”) are set forth on
Addendum B.
		
	 Conditions to all

Fundings:
	  	(1) Accuracy in all material respects of representations and warranties contained in the definitive documentation entered into in connection with the Credit Facility including without limitation all guarantees, all security
documentation, and the First Out/Last Out Intercreditor Agreement (collectively, the “Credit Documents”) (other than those stated to be made only on the Closing Date and those expressly made as of an earlier date); (2) solvency and
absence of a default or an event of default under the Credit Documents; (3) the applicable Borrower has demonstrated and certified compliance with each Collateral Coverage Ratio immediately before and after giving pro forma effect to such
extension of credit; (4) delivery of a borrowing request or letter of credit application, as applicable; (5) after giving pro forma effect to the funding and any transactions anticipated to occur in the period of five (5) business
days following the date thereof and any other transactions occurring prior to or substantially simultaneously with such funding, the aggregate amount of Available Cash shall not exceed $125.0 million; and (6) with respect to any borrowing,
if the aggregate amount of Available Cash would exceed $125.0 million after giving effect to such borrowing and any other transactions occurring prior to or substantially simultaneously with such borrowing, but excluding the effect of any other
transactions that have not occurred prior to or substantially simultaneously with such borrowing, then the applicable Borrower shall have delivered to the Administrative Agent a Use of Proceeds Certificate with respect to such borrowing.
		
		  	“Available Cash” means, as of any date, the aggregate of all unrestricted cash and cash equivalents (excluding, for the avoidance of doubt, cash collateral for Letters of Credit) held on the balance sheet of, or
controlled by, or held for the benefit of, the Company or any of its Restricted Subsidiaries, other than the following amounts (without duplication): (i) any cash set aside to pay in the ordinary course of business amounts due and owing within ten
(10) business days by the Company or any Restricted Subsidiary to unaffiliated third parties and for which the Company or any Restricted Subsidiary has issued checks

  

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		  	(or similar instruments) or has initiated wires or ACH transfers in order to pay such amounts, (ii) any cash of the Company or any such Restricted Subsidiary constituting purchase price deposits or other contractual or legal
requirements to deposit money held by or for the benefit of an unaffiliated third party, (iii) deposits of cash or cash equivalents from unaffiliated third parties that are subject to return pursuant to binding agreements with such third
parties, (iv) any cash or cash equivalents held in Excluded Accounts described in clauses (1) through (4) of the definition thereof, (v) any net cash proceeds held in a Reinvestment Account prior to the Reinvestment Termination Date
applicable to such net cash proceeds, and (vi) any cash held in a non-U.S. account with respect to which the Company (a) demonstrates in writing to the Administrative Agent that (1) transferring
such cash to a U.S. account or converting such cash to U.S. dollars would be in violation of or not permitted under applicable law or regulation in the jurisdiction where such account is located or is otherwise not possible at such time due to
currency conversion delays or queues, or due to bank receiverships or similar governmental control of the bank where such account is held, in each case, to the extent such impediments to conversion or transfer are outside the Company’s and its
Restricted Subsidiaries’ control and (2) the Company and its Restricted Subsidiaries have properly made all relevant applications under applicable law to transfer such cash to a U.S. account or convert such cash to U.S. dollars, as
applicable, and otherwise diligently pursued all necessary consents, permits, or waivers that would be necessary or desirable to permit such transfer or conversion, as applicable, and (b) delivers a written certificate of a responsible
financial officer of the Company that certifies and covenants that, while such circumstance exists, the Company and its Restricted Subsidiaries shall not transfer any additional cash to their accounts in such jurisdiction or, if such impediment or
delay is related to the underlying currency itself, convert any additional cash to such currency, as applicable. The amount of Available Cash (and any amount required to be included or excluded in the calculation thereof) as of any date shall
be such amount as reasonably determined by the Company in good faith in accordance with the immediately preceding sentence.
		
	 Documentation

Principles:
	  	The Credit Documents shall, subject to the Agreed Security Principles, (a) contain those terms and conditions set forth in this Term Sheet and the Fee Letter and (b) otherwise contain terms and conditions that are usual
and customary for similar first lien secured exit revolving credit facilities for offshore drilling companies or other global oilfield services company as of the Closing Date, subject to modifications, to be mutually agreed, to reflect (i) the
terms and conditions set forth in the Plan Support Agreement and this Term Sheet, (ii) the internal policies of Wells Fargo Bank, and (iii) changes in regulatory considerations, market practice, law, and accounting standards (the
foregoing, collectively, the “Documentation Principles”).

  

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	 Collateral Coverage 

Ratios:
	  	At the end of each fiscal quarter beginning with the first full fiscal quarter ending after the Closing Date:
		
		  	(a) the ratio (the “RCF Collateral Coverage Ratio”), based on appraisals delivered in accordance with clause (x) of “Affirmative Covenants” below, of (A) the Collateral Rig Value, to
(B) the sum of the Loans and the LC Exposure, shall be equal to or greater than 2.0 to 1.0; and
		
		  	(b) the ratio (the “Total Collateral Coverage Ratio,” and together with the RCF Collateral Coverage Ratio, collectively, the “Collateral Coverage Ratios”) of (A) the Collateral Rig Value, to
(B) the sum of (1) the sum of the Loans and LC Exposure, plus (2) the outstanding principal amount of the Last Out Term Loan, plus (3) the sum of the outstanding principal amount of the Last Out Notes, plus
(4) the outstanding principal amount of any Last Out Incremental Debt, shall be equal to or greater than 1.3 to 1.0.
		
	Representations and Warranties:	  	To include the following, to be applicable to Credit Parties and their respective Restricted Subsidiaries and to include, subject to usual and customary exceptions, thresholds and qualifications consistent with the Documentation
Principles:
		
		  	 (i) corporate existence and good standing;

		
		  	 (ii)  power and authority;

		
		  	 (iii)  validity and enforceability of Credit Documents;

		
		  	 (iv) no consents or approvals, registration or filing with, or any other action by any
governmental authority;

		
		  	 (v)   no conflicts with, default, or violation of laws, organizational documents
or material contractual agreements;

		
		  	 (vi) no transactions resulting in the imposition of liens other than permitted
liens;

		
		  	 (vii) no environmental matters;

		
		  	 (viii)compliance with all laws with governmental approvals and timely filing of all materials
required to conduct business;

		
		  	 (ix) absence of material litigation;

		
		  	 (x)   solvency as of each date such representation is made or deemed
made;

  

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		  	(xi)	  	use of proceeds and margin stock regulations;
			
		  	(xii)	  	Investment Company Act;
			
		  	(xiii)	  	labor and employment issues;
			
		  	(xiv)	  	Patriot Act, anti-corruption, anti-money laundering, and sanctions laws, including express use of proceeds restrictions;
			
		  	(xv)	  	ERISA;
			
		  	(xvi)	  	accuracy of disclosures;
			
		  	(xvii)	  	financial statements;
			
		  	(xviii)	  	material contracts;
			
		  	(xix)	  	taxes;
			
		  	(xx)	  	receipt of necessary consents;
			
		  	(xxi)	  	insurance;
			
		  	(xxii)	  	good title and ownership of property;
			
		  	(xxiii)	  	ownership and right to use intellectual property;
			
		  	(xxiv)	  	collateral documents and liens;
			
		  	(xxv)	  	legal names of the Credit Parties;
			
		  	(xxvi)	  	information regarding current capital and corporate structure;
			
		  	(xxvii)	  	ownership of Rigs;
			
		  	(xxviii)	  	senior status of the Obligations;
			
		  	(xxix)	  	no immunity;
			
		  	(xxx)	  	not an Affected Financial Institution;
			
		  	(xxxi)	  	beneficial ownership certification;
			
		  	(xxxii)	  	existing indebtedness as of the Closing Date; existing liens as of the Closing Date;
			
		  	(xxxiii)	  	after the Closing Date, absence of any Material Adverse Effect since January 22, 2021;

  

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		  	(xxxiv)	  	customary Mortgaged vessel and jurisdiction-specific collateral requirements; and
			
		  	(xxxv)	  	deposit, securities, and commodity accounts of the Borrowers and each Restricted Subsidiary
		
	Affirmative Covenants:	  	 Limited to the following, to be applicable to Credit Parties and their respective Restricted Subsidiaries and to include, subject
to usual and customary exceptions, thresholds and qualifications consistent with the Documentation Principles:

		
		  	 (i) maintenance of organizational existence and conduct of business;

		
		  	 (ii)  maintenance of properties, including classification and operation of
Rigs (other than with respect to stacked Rigs);

		
		  	 (iii)  payment of taxes and ERISA obligations;

		
		  	 (iv) maintenance of customary insurance, delivery of summary insurance certificate
from the Company’s broker(s) in form and substance substantially similar to a certificate provided to the Administrative Agent prior to the Closing Date that the Administrative Agent has confirmed is in form and substance reasonably
satisfactory to it, and customary insurance certificates and/or endorsements;

		
		  	 (v)   delivery of:

			
		  		  	 (a)   audited annual and unaudited quarterly consolidated financial statements
of the Company, and audited annual or unaudited consolidating financial statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary;

			
		  		  	 (b)   a certificate of the Company demonstrating compliance with each Collateral
Coverage Ratio, delivered together with the financial statements required to be delivered pursuant to clause (b) above and including customary certifications to the absence of defaults and accuracy of the representations and warranties
in the Credit Documents;

			
		  		  	 (c)   on and after any Permitted Holdco Event, for so long as the conditions set
forth in the definition thereof continue to be satisfied, quarterly certificate of a responsible officer of the Permitted Holdco and a responsible officer of the Company, certifying compliance with requirements set forth in clause (f) of the
definition of “Permitted Holdco Event” and committing to comply with such requirements thereafter;

  

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		 	 (d)   quarterly Fleet Status Certificates and Rig Value
Certificates;

		
		 	 (e)   annual supplements to any perfection certificate;

		
		 	 (f)   interim notices of any of the following changes with respect to the fleet
status of any owned Rig reported in the most recently furnished Fleet Status Certificate: (1) a change to the jurisdiction in which such Rig is located (other than any change in the ordinary course of business of such Rig or other temporary or
short-term change); (2) a sale or disposition of, or material event of loss with respect to, such Rig; (3) a material adverse change to the estimated contract start date or estimated contract expiration date with respect to such Rig; or
(4) a change of such Rig’s status to “warm stacked”, “cold stacked”, “preservation stacked”, “held for sale”, “held at a shipyard”, or other
non-marketed classification;

		
		 	 (g)   commencing December 31, 2021, a financial forecast (including a
summary projected debt schedule) of the Company and its Restricted Subsidiaries delivered by December 31 of each fiscal year (in each case, for the upcoming twenty-four (24) month period on a quarterly basis; provided that for the purpose
of compliance with this covenant, the financial forecasts previously delivered to the Lenders prior to the date hereof are in a form and level of detail sufficient for this covenant, except that such forecasts shall be required to include a summary
projected debt schedule;

		
		 	 (h)   an annual budget for the Company and its Restricted Subsidiaries approved
by the board of directors (or other governing body) of the Company and delivered within 90 days after the beginning of each fiscal year;

		
		 	 (i) notice that any jurisdiction that was not previously a Subject Jurisdiction becomes a
Subject Jurisdiction for any reason, including the formation or incorporation of a Required Guarantor in such jurisdiction;

  

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		 	 (j) to the extent not previously disclosed to the Administrative Agent in writing, notice
that a Required Guarantor has material operations, or owns assets (other than Rigs and intercompany obligations owing to Credit Parties) with a fair market value in excess of $5.0 million that are reasonably capable of becoming Collateral, in
each case, in a jurisdiction that is not a current Subject Jurisdiction;

		
		 	 (k)   copies of any notices or reports provided to the lenders or noteholders
under the Last Out Term Loan, Last Out Notes, or (if any) Last Out Incremental Debt;

		
		 	 (l) (1) within ten (10) business days after the last day of each full calendar month
ending after the Closing Date (A) a list setting forth the account balances, as of the last day of such calendar month, of each bank account of the Company and its Restricted Subsidiaries holding any portion of cash or cash equivalents and
(B) a list setting forth the average account balance over such calendar month of each bank account of the Company and its Restricted Subsidiaries that holds any portion of cash and cash equivalents and that is not subject to an account control
agreement reasonably satisfactory to the Administrative Agent; and (2) within five (5) business days after the last day of each full calendar month ending after the Closing Date and at any other time reasonably requested by the
Administrative Agent, a report setting forth (A) a calculation of Available Cash as of the most recent Excess Cash Date (or at the applicable Borrower’s option, only with respect to month-end
reports, as of the last day of such calendar month) and (B)(x) a list setting forth (1) each account that is a Reinvestment Account, (2) the amount of net cash proceeds relating to any permitted asset sale or transfer currently held in
such Reinvestment Account that are then subject to a Reinvestment Notice, broken down by asset sale and indicating the applicable Reinvestment Period with respect to each such asset sale, and (3) the aggregate amount of net cash proceeds then
subject to Reinvestment Notices within the applicable Reinvestment Periods, and (y) calculations showing the application of any such net cash proceeds during the Reinvestment Period applicable thereto; and

		
		 	 (m) other information as the Administrative Agent or any Lender (through the Administrative
Agent) may reasonably request, including, without limitation, updated corporate charts, copies of tax returns, and statements and schedules further identifying and describing the Collateral and such other reports in connection with the
Collateral.

  

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		 	 (vi) books and records;

		
		 	 (vii)  inspection rights;

		
		 	 (viii)  delivery of notices with respect to defaults and other material events
(including, without limitation, notice of any material litigation) within 5 business days;

		
		 	 (ix) delivery of prior written notices with respect to any change to the deposit,
securities, and commodity accounts of the Credit Parties scheduled on the Closing Date, along with an updated schedule of such accounts within five (5) business days;

		
		 	 (x)   delivery of two third-party desktop appraisals on a semi-annual basis (or,
if the difference between the aggregate appraised values (in each case, calculated as the midpoint of any range provided) of all Rigs as determined by two Approved Firms is not greater than 15% for a particular appraisal cycle, then, at the
Company’s option, only one third-party desktop appraisal shall be required for the next appraisal cycle, which appraisal must be performed by the Approved Firm whose appraisal for such prior cycle reflected the lower aggregate appraisal value),
each conducted by an Approved Firm, for each owned Rig (provided that no appraisals shall be required with respect to any cold-stacked Rig unless such cold-stacked Rig is to be given a Rig Value in accordance with the definition thereof), in form
and detail, and of a type, and with assumptions and methodology reasonably satisfactory to the Administrative Agent; provided that with respect to “idle” Rigs, such appraisals shall not discount the value of such Rigs as a result of their
“idle” status but which shall set forth the reactivation costs of any “idle” Rig;

		
		 	 (xi) further assurances, including delivery of additional guarantees from Required
Guarantors, and additional Collateral, including, without limitation, new build or acquired Rigs and additional deposit and securities accounts, in each case, other than Excluded Property and subject in all respects to the Agreed Security
Principles;

		
		 	 (xii)   use of proceeds of Loans and Letters of Credit;

		
		 	 (xiii)  compliance with applicable laws, including environmental laws, anti-corruption
laws, sanctions, and anti-money laundering laws;

		
		 	 (xiv)  KYC and beneficial ownership regulation documentation;

  

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		  	 (xv)   intercompany subordination agreements;

		
		  	 (xvi) the Company and the Borrowers shall, and shall cause each Restricted Subsidiary to:
(A) deposit or cause to be deposited directly, all cash receipts into (i) one or more deposit accounts maintained with the Administrative Agent or any Lender (or any other commercial bank reasonably acceptable to the Administrative Agent)
and in which the Collateral Agent has been granted a first priority perfected lien in accordance with and subject to Agreed Security Principles or (ii) an Excluded Account (to the extent such deposits do not cause such account to cease to be an
Excluded Account), and in each case, which is listed on a schedule to the credit agreement governing the Credit Facility, (B) deposit or credit or cause to be deposited or credited directly, all securities and financial assets held or owned by
(whether directly or indirectly), credited to the account of, or otherwise reflected as an asset on the balance sheet of, the Credit Parties (including, without limitation, all marketable securities, treasury bonds and bills, certificates of
deposit, investments in money market funds and commercial paper) into one or more securities accounts in which the Collateral Agent has been granted a first priority perfected lien in accordance with and subject to Agreed Security Principles and
that, in each case, is listed on a schedule to the credit agreement governing the Credit Facility, as updated in writing by the Borrower from time to time, and (C) cause all commodity contracts held or owned by (whether directly or indirectly),
credited to the account of, or otherwise reflected as an asset on the balance sheet of, the Credit Parties, to be carried or held in one or more commodity accounts in which the Collateral Agent has been granted a first priority perfected lien in
accordance with and subject to Agreed Security Principles and that, in each case, is listed on a schedule to the credit agreement governing the Credit Facility, as updated in writing by the Borrower from time to time; and

		
		  	 (xvii) post-closing matters.

		
	Negative Covenants:	  	Limited to the following limitations on the Company and its Restricted Subsidiaries, subject to usual and customary exceptions, thresholds, and qualifications consistent with the Documentation Principles:
		
		  	1. Incurrence or existence of indebtedness, with exceptions including:
		
		  	(a) the Last Out Term Loan in an aggregate principal amount not to exceed (i) an amount equal to $500.0 million minus the Commitment Amount under this Credit Facility, plus (ii) any interest thereon paid-in-kind in accordance with the terms thereof in effect on the Closing Date,

  

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		  	(b) the Last Out Notes in an aggregate principal amount not to exceed the sum of (i) $75.0 million, plus (ii) up to $35.0 million of principal in respect of additional notes issued thereunder, so long as the Company
demonstrates and certifies pro forma compliance with the Total Collateral Coverage Ratio at the time such additional notes are issued, plus (iii) $9.9 million of fees on such principal amount, paid-in-kind, plus (iv) any interest thereon paid-in-kind in accordance with the terms thereof in effect on the Closing
Date,
		
		  	(c) any Last Out Incremental Debt in an aggregate principal amount not to exceed the sum of (i) $135.0 million, so long as the Company demonstrates and certifies pro forma compliance with the Total Collateral Coverage Ratio at
each time such debt is incurred, plus (ii) any interest thereon paid-in-kind in accordance with the terms of such Last Out Incremental Debt,
		
		  	(d) (i) capitalized lease obligations with respect to any asset other than a Rig (it being agreed that, for purposes of the Credit Documents, GAAP shall be defined so that lease accounting rules under generally accepted
accounting principles in the U.S. as in effect on December 31, 2018 shall apply, and leases that would have been classified as operating leases under such rules shall not constitute “capitalized lease obligations” or
“indebtedness” for purposes of the Credit Documents) and (ii) indebtedness secured by liens on fixed or capital assets (other than Rigs) acquired, constructed, improved, altered, or repaired by the Company or any Restricted Subsidiary
and related contracts, intangibles, and other assets that are incidental thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom, and (iii) indebtedness secured by liens on Rigs acquired or constructed by
the Company or any Restricted Subsidiary and related contracts, intangibles and other assets that are incidental thereto (including accessions thereto and replacements thereof) or otherwise arise therefrom (“Rig Debt”);
provided that, in the case of this clause (d), (A) any liens securing such indebtedness must otherwise be permitted by the Credit Documents, (B) such indebtedness and any liens securing it are incurred prior to or within 365 days
after such acquisition or the later of the completion of such construction, improvement, alteration or repair or the date of commercial operation of the assets constructed, improved, altered or repaired, (C) the principal amount of such
indebtedness does not exceed the cost of acquiring, constructing, improving, altering or repairing such fixed or capital assets, as the case may be (plus fees and expenses related thereto), (D) any lien securing such debt shall not apply to any
other property or assets of the Company or any Restricted Subsidiary (although individual financings of equipment (other than Rigs) may be cross-collateralized to other financings of equipment by the same lender) and such debt is non-recourse to the Company and its Restricted Subsidiaries (other than the Subsidiary that owns such fixed or capital assets and incurred such financing), (E) any lien securing such debt shall not attach to any
owned Rig (other than a Rig acquired or constructed with the proceeds of such indebtedness), (F) such

  

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		  	indebtedness shall not have any financial maintenance covenants, and (G) with respect to any Rig Debt, the Company has demonstrated in a certificate of a financial officer of the Company that (x) the Consolidated Total
Gross Leverage Ratio is less than 2.5 to 1.0, calculated on a pro forma basis as of the date such Rig Debt is incurred after giving effect thereto and (y) the Company is in pro forma compliance with each Collateral Coverage Ratio as of the date
such Rig Debt is incurred after giving effect thereto; provided that the aggregate outstanding principal amount of all such capitalized lease obligations and indebtedness pursuant to this clause (d) shall not exceed
$100.0 million at any time;
		
		  	(e) indebtedness of any Person existing at the time such Person becomes a Subsidiary of the Company or at the time such Person is merged with or into the Company or any Subsidiary of the Company after the Closing Date other than as
a result of a division (and not incurred in anticipation of such transaction),
		
		  	(f) other indebtedness not to exceed $5.0 million at any one time outstanding pursuant to this clause (f),
		
		  	(g) any permitted refinancing of the foregoing (to the extent (i) such refinancing does not increase the principal amount of such indebtedness, (ii) such refinancing does not shorten the maturity or weighted average life
to maturity of such indebtedness, (iii) such refinancing does not add any other Restricted Subsidiary as an obligor or guarantor in respect of such indebtedness, (iv) such refinancing is not secured by (y) liens on assets other than
those existing immediately prior to such refinancing or (z) liens having a higher priority than the liens securing the indebtedness being refinanced, (v) to the extent such refinanced indebtedness is subordinated in right of payment to the
Obligations, such refinancing indebtedness shall be subordinated in right of payment to the Obligations and, to the extent any lien securing such refinancing indebtedness is subordinated to liens securing the Obligations, such lien securing the
refinancing indebtedness shall be subordinated to the liens securing the Obligations, (vi) in the event that such refinancing constitutes unsecured indebtedness, such refinancing indebtedness does not include cross-defaults other than at the
final stated maturity thereof and cross-acceleration, and (vii) the Company has certified to an absence of an event of default after giving effect to such refinancing),
		
		  	(h) guarantees of the foregoing, and
		
		  	(i) to the extent constituting indebtedness, the obligations under the BOP Lease as in effect on the January 22, 2021 or as amended thereafter in a manner that does not materially increase the Company’s and its
Subsidiaries’ obligations thereunder, provided that this clause shall not prohibit any extension of the term of such BOP Lease.

  

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		 	 2.  Creation, incurrence, or existence of liens, with exceptions including
(a) the Last Out Term Loan, the Last Out Notes, and the Last Out Incremental Debt, in each case subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance satisfactory to the
Administrative Agent, (b) liens to secure indebtedness permitted by clause 1(d) above on the assets subject to such capital lease or other financing described in such clause 1(d), and (c) expressly subordinated liens securing
expressly subordinated indebtedness not to exceed $5.0 million at any one time outstanding;

		
		 	 3.  Making of any restricted payments, except:

		
		 	 (a)   restricted payments among Credit Parties,

		
		 	 (b)   after a Permitted Holdco Event (as defined below) has occurred and for so
long as the conditions set forth in such definition are met, restricted payments constituting Tax Distributions, and

		
		 	 (c)   restricted payments made in any fiscal quarter beginning after
March 31, 2023, in an aggregate amount for such fiscal quarter, not to exceed (the “Discretionary Basket”):

		
		 	 (i) 100% of the amount equal to (A) Adjusted EBITDA for the immediately prior fiscal quarter less
(B) all interest expenses paid in cash during such period, less (C) all taxes paid in cash during such period, less (D) all capital expenditures made in such period, less (E) the amount of any increase in
working capital, plus (F) the amount of any reduction in working capital, less (G) any cash add-backs made in the calculation of Adjusted EBITDA in such period;
minus

		
		 	 (ii) all investments referred to in clause 6(a) below and repayments of any indebtedness referred to in clause
4(a) below, in each case, to the extent previously made during such fiscal quarter prior to the date of such restricted payment in reliance on the Discretionary Basket,

		
		 	 so long as, with respect to restricted payments made with the Discretionary Basket, each of the following conditions are met: (x) no
default or event of default exists and the Company has demonstrated and certified pro forma compliance with each Collateral Coverage Ratio, (y) the Consolidated Total Net Leverage Ratio would not exceed 2.0 to 1.0 on a pro forma basis as of the
last day of the most recently ended fiscal quarter after giving pro forma effect to such restricted payment and any concurrent incurrence of indebtedness, and (z) Liquidity would be greater than or equal to $150.0 million after giving pro
forma effect to such restricted payment and any concurrent incurrence of indebtedness; and

  

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		  	 (d) restricted payments made at any time when each of the following conditions are met (the “Unlimited
Basket”): (x) no default or event of default exists and the Company has demonstrated and certified pro forma compliance with each Collateral Coverage Ratio, (y) the Consolidated Total Net Leverage Ratio would not exceed 1.5 to 1.0 on a
pro forma basis as of the last day of the most recently ended fiscal quarter after giving effect to such restricted payment and any concurrent incurrence indebtedness, and (z) Liquidity would be greater than or equal to $150.0 million
after giving pro forma effect to such restricted payment and any concurrent incurrence of indebtedness.

		
		  	 4.  Repayment of any principal of any junior indebtedness (including, without
limitation, the Last Out Term Loan, the Last Out Notes, and Last Out Incremental Debt), with exceptions including, so long as no default or event of default exists and the Borrowers have demonstrated and certified pro forma compliance with each
Collateral Coverage Ratio, (a) repayments made after March 31, 2023, to the extent a restricted payment could be made in accordance with the Discretionary Basket, (b) repayments made at a time when restricted payments could be made in
accordance with the Unlimited Basket, and (c) prepayments with proceeds of permitted refinancings of such indebtedness or with proceeds of new, concurrent common equity of the Company or in exchange for common equity of the
Company;

		
		  	 5.  Modifications and amendments of the documents governing any other indebtedness
(including the Last Out Term Loan, the Last Out Notes, and Last Out Incremental Debt), except as permitted by the First Out/Last Out Intercreditor Agreement;

		
		  	 6.  Investments, including limitations on investments in joint ventures, with
exceptions including, so long as no default or event of default exists and the Borrowers have demonstrated and certified pro forma compliance with each Collateral Coverage Ratio:

		
		  	 (a) investments made after March 31, 2023, to the extent a restricted payment could be made in accordance with
the Discretionary Basket,

		
		  	 (b) investments made at a time when restricted payments could be made in accordance with the Unlimited
Basket,

		
		  	 (c) Permitted Acquisitions,

		
		  	 (d) $5.0 million general investments basket, and

		
		  	 (e) other investments, including investments in Unrestricted Subsidiaries, to the extent made with, or with the
proceeds of, new, concurrent common equity of the Company or any parent thereof;

  

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		  	 provided that (x) any Subsidiary acquired or formed in connection with an investment permitted by this clause
6 shall become a Guarantor to the extent required by the definition of “Required Guarantors” and (y) any assets, including equity interests, acquired in connection with such investment shall become Collateral to the extent
required by the Agreed Security Principles;

		
		  	 7.  Transactions with affiliates, with usual and customary exceptions to be
agreed;

		
		  	 8.  Asset sales (which shall limit the sale of Rigs and other material assets) with
usual and customary exceptions to be agreed, and all such asset sales shall be subject (other than in the case of clauses (iv), (v) and (vi) below) to (a) any prepayment requirement, any commitment reduction requirement, and any limitation
on availability, in each case contained in the section entitled “Early Repayments; Commitment and Availability Reductions; and Mandatory Prepayments” above and (b) the requirement that, if the Company has delivered a
Reinvestment Notice with respect to any such permitted asset sale, the net cash proceeds with respect to such asset sale have been deposited in a Reinvestment Account; provided that, subject to the absence of defaults and events of default
and demonstration and certification of pro forma compliance with each Collateral Coverage Ratio, the Credit Documents shall not prohibit:

		
		  	 (i) the sale of:

		
		  	 (A) any of Ocean America, Ocean Rover and Ocean Valiant, so long as such Rig (i) is cold-stacked at the
time of sale, (ii) is sold for fair market value to a third-party on arms-length terms and the consideration received is no less than 85% in cash and (iii) such proceeds (net of taxes paid or payable as a result of such transaction and any
debt incurred under clause (d) under paragraph 1 under “Negative Covenants” above and secured by such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral and

		
		  	 (B) Ocean Valor, so long as (i) third-party desktop appraisals have been conducted in respect thereof as
of the Closing Date and in the most recent appraisal delivered to the Administrative Agent (and the Collateral Rig Value of the Ocean Valor has been included in the Threshold Ratio on the Closing Date), (ii) it is sold for fair market value
to a third-party on arms-length terms and the consideration received is no less than 85% in cash, (iii) such proceeds (net of taxes paid or payable as a result of such transaction and any debt incurred under clause (d) under paragraph 1
under “Negative Covenants” above and secured by

  

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		  	 such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral, subject to the
Agreed Security Principles and (iv) the Company has delivered a certificate of a responsible officer demonstrating compliance with the requirements set forth in the section entitled “Early Repayments; Commitment and Availability
Reductions; and Mandatory Prepayments” above;1

		
		  	 (ii) any one-time “asset swap” of a single Designated Rig and assets
specifically related to such Designated Rig for a Replacement Rig and assets specifically related thereto; provided that (a) the total appraised value of such Replacement Rig, plus cash and equity received for such Designated Rig,
exceeds 85.0% of the appraised value of the Designated Rig as determined from the most recent third-party appraisals delivered to the Administrative Agent (with such appraised value to include, for this purpose, the value of net cash flows through
any then-existing contracted backlog), (b) none of the total consideration takes the form of equity interests, (c) such transaction is with one or more third parties and on an arms-length basis and (d) all assets received as consideration
for such swap or acquired with the cash proceeds shall be pledged as Collateral;

		
		  	 (iii) any other “asset swap”, for which (x) the replacement assets received in connection therewith have
an appraised value greater than or equal to the appraised value of the replaced assets as reflected in a third party appraisal in respect of any replacement Rig (with such appraised value to include, for this purpose, the value of net cash flows
through any then-existing contracted backlog), (y) the Administrative Agent and the Required Lenders consent to such transaction and (z) all assets received as consideration for such swap shall be pledged as Collateral;

		
		  	 (iv) a sale in the ordinary course of business of any obsolete, worn-out or
surplus assets no longer used or useful in the business of the Company or any of its Restricted Subsidiaries (in each case other than a Rig);

		
		  	 (v) any asset sale of an asset other than a Rig or Rig Subsidiary, (x) that is made for fair market value to a
third-party on arms-length terms and the consideration received is no less than 85% in cash, (y) in respect of which any proceeds received (net of taxes paid or payable as a result of such transaction and any debt incurred under clause
(d) under paragraph 1 under “Negative Covenants” above and secured by such assets and that is required to be repaid with the proceeds thereof ) are pledged as Collateral, subject to the Agreed Security Principles and (z) that
does not cause the aggregate consideration for all asset sales under this clause (v) to exceed $5,000,000; provided that the sale of the Mexico Office Building shall not reduce the basket described in this clause (z);
and

  

 

	1 	 Based on the assumption that Valor isn’t stacked on the Closing Date (i.e., Collateral Rig Value is
not reduced by activation costs for purposes of the Closing Date Threshold Ratio). 

  

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		 	 (vi) any sale of assets for scrap in the ordinary course of business, (x) that is made
for fair market value to a third-party on arms-length terms and the consideration received is no less than 85% in cash, (y) that does not cause the consideration for each such transaction or series of related transactions under this clause
(vi) to exceed $500,000 and (z) in respect of which any proceeds received (net of taxes paid or payable as a result of such transaction) are pledged as Collateral, subject to the Agreed Security Principles.

		
		 	 9.  Fundamental changes, subject to usual and customary exceptions to be
agreed;

		
		 	 10.  Restrictive agreements and negative pledges of the Credit Parties, in each case,
to be mutually agreed, subject to usual and customary exceptions to be agreed;

		
		 	 11.  Customary provisions to be mutually agreed related to Restricted and Unrestricted
Subsidiaries;

		
		 	
12.  Sale-and-leaseback
transactions;

		
		 	 13.  Use of proceeds;

		
		 	 14.  Change of ownership or operator of any Rig (other than (i) to any other
Guarantor with prior notice to the Administrative Agent and prior adjustments to security documentation to ensure that the Collateral Agent has a continuing, uninterrupted, perfected first lien (subject to certain permitted liens) in such Rig and
related contracts and equipment, in form and substance satisfactory to the Administrative Agent (or if the existing lien cannot be assumed or continued, delivery of a new mortgage encumbering such Rig in accordance with the legal requirements of the
relevant flag jurisdiction prior to or simultaneously with the consummation of such transaction or, with the approval of the Administrative Agent in its reasonable discretion, as soon as practical thereafter in accordance with the legal requirements
of the relevant flag jurisdiction) or (ii) in connection with any asset sale permitted pursuant to clause 8 of this Section “Negative Covenants”) and change of registered flag registry of Rigs (other than any transfer to the
Marshall Islands, the United States, or other jurisdictions approved by the Administrative Agent (such approval not to be unreasonably withheld, conditioned, or delayed) with prior notice to the Administrative Agent and prior adjustments to security
documentation to ensure that the Collateral Agent has a continuing, uninterrupted, perfected first lien (subject to certain permitted liens) in such Rig, in form and substance satisfactory to

  

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		 	 the Administrative Agent (or if the existing lien cannot be assumed or continued, delivery of a new mortgage encumbering
such Rig in accordance with the legal requirements of the relevant flag jurisdiction prior to or simultaneously with the consummation of such transaction or, with the approval of the Administrative Agent in its reasonable discretion, as soon as
practical thereafter in accordance with the legal requirements of the relevant flag jurisdiction));

		
		 	 15.  Change of legal names of any Borrower or Guarantor, change of type of
organization and jurisdiction of organization of any Credit Party;

		
		 	 16.  Line of business;

		
		 	 17.  Sanctions, anti-corruption, and anti-money laundering laws and regulations;
and

		
		 	 18.  The Company will not, and will not permit any Restricted Subsidiary to, open or
otherwise establish, or deposit, credit, or otherwise transfer any cash receipts, securities, financial assets or any other property into, any deposit account, securities account, or commodity account other than an account that is (a) either
(i) subject to a first priority lien in favor of the Collateral Agent in accordance with Agreed Security Principles or other documentation reasonably satisfactory to the Administrative Agent or (ii) an Excluded Account and (b) listed on a
schedule to the credit agreement governing the Credit Facility, as such schedule is updated by the Company from time to time.

		
	Events of Default:	 	 Limited to the following:

		
		 	 1.  nonpayment of principal when due; and nonpayment of interest, fees or other
amounts within three (3) business days of date due;

		
		 	 2.  violation of covenants (with certain affirmative covenants subject to a grace
period of thirty (30) days);

		
		 	 3.  material inaccuracy of representations and warranties when made or deemed
made;

  

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		  	 4.  (a) indebtedness in the aggregate principal amount of $40.0 million, or any
indebtedness under the Last Out Term Loan, Last Out Notes, or Last Out Incremental Debt (each of the foregoing, “Material Indebtedness”) of the Company and its Restricted Subsidiaries shall not be paid at maturity (beyond any
applicable grace periods) regardless of how such maturity occurs, (b) a default on Material Indebtedness occurs (with all applicable grace periods having expired) which permits the holders thereof (with the giving of notice or the lapse of time
or both) to accelerate the maturity of such indebtedness, or (c) an event occurs which requires Material Indebtedness to be prepaid, redeemed, or repurchased prior to its stated maturity, other than a usual and customary asset sale tender
offer;

		
		  	 5.  bankruptcy/insolvency events (consistent with the Existing Credit Agreement)
affecting any Credit Party or any Restricted Subsidiary constituting a “significant subsidiary” (as defined in Regulation S-X) and, solely with respect to involuntary bankruptcy events, any such
involuntary bankruptcy event remains undischarged and unstayed for a period of sixty (60) days;

		
		  	 6.  certain ERISA events resulting in a Material Adverse Effect;

		
		  	 7.  final judgments against any Credit Party or Significant Subsidiary not covered by
undisputed insurance (subject to customary deductible) in excess of $40.0 million in the aggregate which remain undischarged and unstayed for a period of thirty (30) consecutive days (or sixty (60) consecutive days for foreign
judgments) or any action is legally taken by a judgment creditor to attach or levy upon assets of a Borrower or any Restricted Subsidiary to enforce any such judgment;

		
		  	 8.  the occurrence of any event or series of events (each, a “Change of
Control”) by which:

		
		  	 (a) prior to a Permitted Holdco Event and whenever the conditions set forth in the definition thereof cease to be
satisfied, (i) any “person” or related Persons constituting a “group” (as such terms are used in Rule 13d-5 under the Securities Exchange Act of 1933) (other than Pacific Investment
Management Company LLC or Avenue Capital Management II, L.P., their respective affiliates, and/or funds controlled by Pacific Investment Management Company LLC or Avenue Capital Management II, L.P. or any of their affiliates) becomes the
“beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1933, except that a “person” or “group” shall
be deemed to have “beneficial ownership” of all equity interests that such “person” or “group” has the right to acquire, whether such right is exercisable immediately or only after the passage of time),

  

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		  	 directly or indirectly, of more than 50% of voting power of the ordinary shares of the Company, (ii) a majority
of the members of the board of directors (or equivalent governing body) of the Company shall not constitute Continuing Directors, (iii) there shall have occurred under any document evidencing any Material Indebtedness any “change in
control” or similar provision (as set forth in such document), or (iv) the Company shall cease to own directly or indirectly, 100% of the equity Interests of any Borrower or other Credit Party, or

		
		  	 (b) on and after a Permitted Holdco Event, for so long as the conditions set forth in the definition thereof
continue to be satisfied: (i) any “person” or related Persons constituting a “group” (as such terms are used in Rule 13d-5 under the Securities Exchange Act of 1933) becomes the
“beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1933, except that a “person” or “group” shall
be deemed to have “beneficial ownership” of all equity interests that such “person” or “group” has the right to acquire, whether such right is exercisable immediately or only after the passage of time), directly or
indirectly, of more than 50% of voting power of the ordinary shares of the Permitted Holdco, (ii) a majority of the members of the board of directors (or equivalent governing body) of the Permitted Holdco shall not constitute Continuing
Directors, (iii) there shall have occurred under any document evidencing any Material Indebtedness any “change in control” or similar provision (as set forth in such document), (iv) the Permitted Holdco shall cease to own, directly or
indirectly, 100% of the equity interests of any Borrower or other Credit Party, or (v) the Permitted Holdco shall cease to own, directly or indirectly, 100% of the equity interests of the Company;

		  	 provided that a Permitted Holdco Event shall not constitute a Change of Control; or

		
		  	 9.  any Credit Document ceases to be in full force and effect, the Collateral Agent
shall cease to have a valid and perfected lien in any material portion of the Collateral, or any Credit Party asserts any of the foregoing.

		
	Participation and Assignments:	  	Assignments of the Credit Facility by any Lender to other banks and financial institutions will be permitted with the prior written approval of the Borrowers, the Administrative Agent and the Issuing Banks (such approval not to be
unreasonably withheld or delayed); provided that (a) the Borrowers’ approval shall not be required if an event of default has occurred and is continuing (but, regardless, no assignments or participations shall be made at any time to any
Disqualified Institutions), and (b) no approval by the Borrowers or the Administrative Agent shall be required for any assignment to another Lender, an affiliate of a Lender or to an Approved Fund (to be defined substantially the same as in the
Existing

  

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		  	Credit Agreement). Assignments will be in a minimum amount of not less than $5.0 million. An administrative fee of $3,500 shall be due and payable by such assigning Lender to the Administrative Agent upon the occurrence of any
assignment.
		
		  	Participations to other banks and financial institutions, other than Disqualified Institutions (without the Borrowers’ prior written approval), will be permitted without restriction. Such participation will not release the
selling Lender from its obligations with respect to the Credit Facility. Participants will have the same benefits as syndicate Lenders with regard to yield protection and increased costs (but will not be permitted to receive amounts greater than the
transferring Lender) and will, subject to the confidentiality provisions to be contained in the Credit Documents, be permitted to receive information from Lenders with respect to the Borrowers.
		
	Required Lenders and	  	
	Affiliated Lenders:	  	Lenders holding more than 50% of the outstanding Commitments or, if the Commitments have terminated, the outstanding Loans and LC Exposure (collectively, the “Required Lenders”); provided that no amendment or
waiver shall (a) increase any Commitment of any Lender without the consent of such Lender, (b) reduce the amount of or postpone the date for any required payment of any principal of or interest on any Loan or of any fee payment under the
Credit Documents without the consent of each Lender owed any such amount (in each case, (i) other than in connection with a waiver of any default or event of default and (ii) provided that, the provisions described in the paragraphs above
entitled “Asset Sales – Commitment Reductions” and “Asset Sales – Temporary Availability Reduction” may be amended with the consent of the Administrative Agent and the Required Lenders), (c) unless signed
by each Lender, change the amendment provisions of the Credit Documents or the definition of “Required Lenders” or the number of Lenders required to take any action under any other provision of the Credit Documents, (d) without the
consent of each Lender, release all or substantially all of the Collateral or, except as may otherwise be permitted by the Credit Documents, all or substantially all of the Guarantors, or (e) without the consent of each Lender, reduce the
Commitments of the Lenders on a non-pro rata basis or otherwise affect the pro rata treatment of Lenders in a manner consistent with the Existing Credit Agreement. Defaulting Lenders will be subject to the
suspension of certain voting rights. Notwithstanding the foregoing, the Administrative Agent may (without the consent of the Lenders) enter into amendments or modifications to the Credit Documents in order to implement the Benchmark Replacement in
accordance with the terms thereof and to fix ambiguities, defects, typographical and other obvious errors.
		
		  	For the purposes of any amendment or waiver of a Credit Document other than an amendment or waiver (a) requiring the consent of each Lender or each affected Lender (and where such Affiliated Lender is an affected Lender) or
(b) that would deprive such Affiliated Lender

  

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		  	of its pro rata share of any payments to which it is entitled, the consent of any Affiliated Lender shall not be required, and each Affiliated Lender will be deemed to have voted in the same proportion as the Lenders that are not
Affiliated Lenders voting on such matter. In the calculation of such proportions, the Commitments held by Affiliated Lenders shall be disregarded in determining other Lenders’ commitment percentages. Notwithstanding anything to the contrary
herein, and for the avoidance of doubt, the Commitments of any Affiliated Lender shall not be increased, the dates of any interest payments and the dates of any scheduled maturity of amounts owed to any Affiliated Lender under the Credit Documents
will not be extended, and the amounts owning to any Affiliated Lender under the Credit Documents will not be reduced, in each case without the consent of such Affiliated Lender.
		
		  	Furthermore, Affiliated Lenders shall not have any right to (a) attend (including by telephone) any meeting or discussions (or portion thereof) among the Administrative Agent or any Lender to which representatives of the
Borrowers are not then present, (b) receive any information or material prepared by the Administrative Agent or any Lender or any communication by or among Administrative Agent and one or more Lenders, except to the extent such information or
materials have been made available to the Borrowers or their representatives (and in any case, other than the right to receive notices of prepayments and other administrative notices in respect of its Loans and Letter of Credit participations
required to be delivered to the Lenders), or (c) make or bring (or participate in, other than as a passive participant in or recipient of its pro rata benefits of) any claim, in its capacity as a Lender, against the Administrative Agent or any
other Lender with respect to any duties or obligations or alleged duties or obligations of the Administrative Agent or any other Lender under the Credit Documents. The aggregate Commitments and the aggregate exposure of any Affiliated Lender’s
outstanding Loans and LC Exposure at any one time shall not exceed 30% of the aggregate total Commitments of all Lenders and the aggregate amount of all Lenders’ outstanding Loans and LC Exposure, respectively, at any time.
		
		  	If the Company or any Subsidiary of the Company shall have any securities registered under the Exchange Act or issued pursuant to Rule 144A under the Securities Act of 1933, or shall otherwise be subject to the reporting
obligations under the Exchange Act, except as previously disclosed to the Administrative Agent and the Lenders (other than Lenders who do not wish to receive non-public information), the Affiliated Lender
shall not have any material non-public information with respect to the Company or any of its Subsidiaries.
		
	 Expenses;
	  	
	 Indemnification:
	  	The Borrowers and each other Credit Party, jointly and severally, agree to pay (i) all reasonable and documented out of pocket expenses incurred by the Administrative Agent, the Collateral Agent, and their

  

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		  	respective affiliates (including the fees, charges and disbursements of counsel for the Administrative Agent and the Collateral Agent, which shall be limited to one firm of counsel for all such Persons and, if necessary, one firm of
local or regulatory counsel in each appropriate jurisdiction and special counsel for each relevant specialty, in each case for such Persons (and, in the case of an actual or perceived conflict of interest, where the Person affected by such conflict
provides the Borrowers written notice of such conflict, of another firm of counsel for such affected Person)) in connection with the syndication of the Credit Facility, the preparation, negotiation, execution, delivery and administration of the
Credit Documents or any amendments, modifications or waivers of the provisions thereof (whether or not the transactions contemplated thereby shall be consummated), (ii) all reasonable and documented out of pocket expenses incurred by any
Issuing Bank in connection with the issuance, amendment, renewal or extension of any Letter of Credit or any demand for payment thereunder and (iii) all out of pocket expenses incurred by the Administrative Agent, the Collateral Agent, any
Lender or any Issuing Bank (including the fees, charges and disbursements of any counsel for the Administrative Agent, the Collateral Agent, any Lender or any Issuing Bank), in connection with the enforcement or protection of its rights (A) in
connection with the Credit Documents or (B) in connection with the Loans made or Letters of Credit issued thereunder, including all such out of pocket expenses incurred during any workout, restructuring or negotiations in respect of such Loans
or Letters of Credit.
		
		  	The Borrowers shall indemnify the Administrative Agent (and any sub-agent thereof), the Collateral Agent (and any sub-agent thereof), each Lender and
each Issuing Bank, and each related party of any of the foregoing Persons (each such Person being called an “Indemnitee”) against, and hold each Indemnitee harmless from, and shall pay or reimburse any such Indemnitee for, any and
all losses, claims (including any environmental claims), penalties, damages, liabilities and related expenses (including the fees, charges and disbursements of any counsel for any Indemnitee), incurred by any Indemnitee or asserted against any
Indemnitee by any Person (including the Borrowers or any other Credit Party), arising out of, in connection with, or as a result of (i) the execution or delivery of the Credit Documents or any agreement or instrument contemplated thereby, the
performance by the parties of their respective obligations thereunder or the consummation of the transactions contemplated thereby, (ii) any Loan or Letter of Credit or the use or proposed use of the proceeds therefrom (including any refusal by
any Issuing Bank to honor a demand for payment under a Letter of Credit if the documents presented in connection with such demand do not strictly comply with the terms of such Letter of Credit), (iii) any actual or alleged presence or release
of hazardous materials on or from any property owned or operated by any Credit Party or any Subsidiary thereof, or any environmental claim related in any way to any Credit Party or any Subsidiary of a Credit Party, (iv) any actual or
prospective claim,

  

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		  	litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other theory, whether brought by a third party or by any Credit Party or any Subsidiary thereof, and regardless of
whether any Indemnitee is a party thereto, or (v) any claim (including any environmental claims), investigation, litigation or other proceeding (whether or not the Administrative Agent, the Collateral Agent, or any Lender is a party thereto)
and the prosecution and defense thereof, arising out of or in any way connected with the Loans or any Credit Document, or any documents contemplated by or referred to therein or the transactions contemplated thereby, including reasonable attorneys
and consultant’s fees, provided that such indemnity shall not, as to any Indemnitee, be available to the extent that such losses, claims, damages, liabilities or related expenses are determined by a court of competent jurisdiction by final and non-appealable judgment to have resulted from (a) the gross negligence or willful misconduct of such Indemnitee or, with respect to any Indemnitee in its capacity as a Lender, such Indemnitee’s material
breach of its funding obligations under any Credit Document (in each case as determined by a court of competent jurisdiction in a final non-appealable judgment) or (b) a dispute solely between two or more
Indemnitees not caused by or involving in any way the Company or any Subsidiary (other than any such dispute which relates to claims against the Administrative Agent, the Collateral Agent, or an Issuing Bank, in each case in their respective
capacities as such). This provision shall not apply with respect to taxes other than any taxes that represent losses, claims, damages, etc. arising from any non-tax claim.
		
	Stamp Duty & Other Taxes:	  	The Borrowers shall pay all stamp, documentary and transaction taxes payable in connection with the Credit Documents except any such taxes payable in connection with a Lender’s transfer, assignment, or participation of its
rights and obligations under the Credit Documents.
		
		  	The Borrowers shall pay all value added taxes that are chargeable on any supply to the Borrowers or any other Credit Party under the Credit Documents upon the receipt of a valid value added tax invoice.
		
		  	The Borrowers shall indemnify the Lenders against all taxes in relation to payments received pursuant to the Credit Documents, subject to customary exceptions, such as taxes calculated by reference to net income, any bank levies,
any FATCA deductions, or any withholding taxes in respect of which the Lender has been compensated under the gross-up provision or would have been so compensated but for an exception in the gross-up provision.
		
	Governing Law:	  	State of New York; except that mortgages with respect to any Rigs shall be governed by laws of the Marshall Islands to the extent applicable and other Credit Documents related to the Collateral may be governed by applicable non-New York or non-U.S. law.

  

43            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 ADDENDUM A 

CERTAIN DEFINED TERMS 

“Adjusted Consolidated Total Assets” means with respect to the Company, for any date, the sum of, without duplication,
the Adjusted Total Assets of the Company and all Restricted Subsidiaries. 
 “Adjusted EBITDA” means with respect to
the Company and its Restricted Subsidiaries, for any period, (I) Consolidated Net Income for such period, plus (II) the following to the extent deducted from Consolidated Net Income in such period: the sum of, without duplication,
(a) interest, Taxes, depreciation and amortization, (b) non-cash gains, non-cash losses and non-cash charges, including
any write-offs or write-downs, (c) net cash proceeds from business interruption insurance or reimbursement of expenses received related to any acquisition or disposition; provided that the aggregate amount added back pursuant to this clause
(c) shall not exceed the limitation set forth in the proviso to clause (d) below when combined with the amounts added back pursuant to clauses (d), (f), and (h), (d) all other extraordinary, unusual or non-recurring charges, expenses or losses (whether cash or non-cash), provided that the aggregate amount of such cash charges, expenses or losses under this clause
(d), together with any cash charges, costs or losses added back pursuant to clauses (c), (f), and (h) below, shall not exceed the greater of (x) $2.5 million and (y) 5% of Adjusted EBITDA in any four-fiscal quarter period
(calculated before giving effect to any such add backs), (e) any non-cash adjustments and charges stemming from the application of fresh start accounting, (f) transaction expenses incurred in connection
with acquisition and dispositions, provided that (i) the aggregate amount of such cash expenses under this clause (f) (A) shall not exceed the limitations set forth in the proviso to clause (d) above when combined
with the charges and expenses described in clauses (c), (d), and (h), and (B) shall not exceed 1% of the total transaction value of the applicable acquisition and (ii) no such expenses may be paid to any affiliate of
the Company (except to the extent such payment is in respect of third party expenses required to be paid or reimbursed by the Company or any Restricted Subsidiary), (g) non-cash charges and expenses relating
to employee benefit plans or equity compensation plans, (h) charges, costs or losses attributable to the severance in connection with any undertaking or implementation of restructurings (including any tax restructuring), cost savings
initiatives and cost rationalization programs, business optimization initiatives, systems implementation, termination or modification of material contracts, entry into new markets, strategic initiatives, expansion or relocation, consolidation of any
facility, modification to any pension and post-retirement employee benefit plan, software development, new systems design, project startup, consulting, business, integrity and corporate development; provided that the aggregate amount of cash
charges, costs or losses under this clause (h) shall not exceed the limitation set forth in the proviso to clause (d) above when combined with such charges and expenses described in clauses (c), (d), and
(f), and (i) EBITDA of acquired Rigs on a pro forma basis for historical periods, limited to the lesser of historical EBITDA attributable to such Rig and pro forma contracted EBITDA; provided that, solely for purposes of
calculating any incurrence tests in connection with a Permitted Acquisition or other similar permitted investment, such add back shall be based on pro forma contracted EBITDA if the pro forma calculation is based on contracts which, as of the date
such Acquisition or other similar permitted investment is to be consummated, (1) have commenced or have an estimated contract start date (as determined in good faith by the Company as of such date) that is no later than the six-month anniversary of the date of such consummation and (2) have a remaining term of at least one (1) year from the date of such consummation (with adjustments to be agreed to address contract deferrals
and terminations); minus (III) the sum of (x) EBITDA for disposed of Rigs, (y) all noncash items of income added to Consolidated Net Income, and (z) all other extraordinary, unusual or
non-recurring income (whether cash or non-cash). 

  

44            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Adjusted Total Assets” means with respect to any Restricted
Subsidiary, for any date, the total assets of such Restricted Subsidiary excluding any negative balances of intercompany receivables or intercompany notes of such Restricted Subsidiary. 

“Approved Firm” means any of (a) Clarkson Valuations Limited, (b) Fearnley Offshore Supply Pte. Ltd., (c)
Bassoe Offshore, (d) Arctic Offshore, (e) Pareto Offshore, and (f) any successor or affiliated company to those listed in (a) – (e), and (g) any other similarly qualified, independent ship broker that is not an
Affiliate of the Borrowers and is mutually agreed upon by the Borrowers and the Administrative Agent; provided that at least one required appraisal per period shall be provided by one of the companies listed in clauses (a) – (c). 

“Availability” means, as of any date of determination, an amount equal to the positive difference between (a) the
Commitments then in effect and (b) the sum of (i) the amount of Loans outstanding and LC Exposure as of such date and (ii) the amount of any reduction in availability of Commitments then in effect pursuant to the paragraph entitled
“Asset Sales – Temporary Availability Reduction” above. 
 “Bankruptcy Code” has the meaning
assigned to such term in the definition of “Plan.” 
 “Bankruptcy Court” has the meaning assigned to such
term in the definition of “Plan.” 
 “Base Rate” means for any day, a rate per annum equal to the greatest
of (a) the Prime Rate in effect on such day, (b) the Federal Funds Rate in effect on such day plus 0.50% and (c) LIBOR for a one (1) month Interest Period on such day (or if such day is not a business day, the immediately
preceding business day) plus 1.0%. Any change in the Base Rate due to a change in the Prime Rate, the Federal Funds Rate or the LIBOR Rate shall be effective from and including the effective date of such change in the Prime Rate, the Federal
Funds Rate or the LIBOR Rate, respectively. If the Base Rate is being used as an alternate rate of interest at a time when the LIBOR Rate cannot be determined, then the Base Rate shall be the greater of clauses (a) and (b) above
and shall be determined without reference to clause (c) above. For the avoidance of doubt, if the Base Rate as determined pursuant to the foregoing would be less than 2.0%, such rate shall be deemed to be 2.0%. 

“BOP Lease” means that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited
and EFS BOP. 
 “Collateral Rig Value” means the sum of the Rig Value of the Rigs that are directly owned, operated,
and chartered by Credit Parties, in each case to the extent (x) such Rigs are subject to the first out, first priority liens securing the Obligations under the Credit Facility and no other liens securing indebtedness for borrowed money (other
than the Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt) and (y) such Rig is not subject to any financing arrangement (provided that the Rig Value attributable to non-marketed Rigs
shall not constitute more than 5% of the Rig Value as calculated hereunder. 
 “Combined Adjusted Total Assets”
means with respect to any Restricted Subsidiary, for any date, the sum of (a) the Adjusted Total Assets of such Restricted Subsidiary, plus (b) the Adjusted Total Assets of each direct and indirect Subsidiary of such Restricted
Subsidiary. 
 “Consolidated Net Income” means, with respect to the Company and its Restricted Subsidiaries, for any
period, the aggregate of the net income (or loss) of the Company and its Restricted Subsidiaries determined on a consolidated basis in accordance with GAAP; provided 

  

45            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 
that there shall be excluded from such net income (to the extent otherwise included therein) the following: (1) the net income of any Person in which the Company or any of its Restricted
Subsidiaries has an interest (which interest does not cause the net income of such other Person to be consolidated with the net income of the Company and its Restricted Subsidiaries in accordance with GAAP), except to the extent of the amount of
dividends or distributions actually paid in cash during such period by such other Person to the Company or to any of its Restricted Subsidiaries, as the case may be; (2) the net income (or loss), in each case determined in accordance with GAAP,
during such period of any Subsidiary that is not a Restricted Subsidiary, except to the extent of the amount of dividends or distributions actually paid in cash during such period such other Person to the Company or to any of its Restricted
Subsidiaries, as the case may be; (3) the net income (or loss) of any Person acquired in a pooling-of-interests transaction for any period prior to the date of such
transaction; (4) any extraordinary gains or losses during such period, including any cancellation of indebtedness income; (5) any non-cash gains or losses or positive or negative adjustments under
ASC 815 (and any statements replacing, modifying or superseding such statement), in each case as the result of changes in the fair market value of derivatives; and (6) any gains or losses attributable to writeups or writedowns of assets. 

“Consolidated Secured Net Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded secured debt of the Company and its Restricted Subsidiaries, less the amount of Specified Credit Party Cash to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Consolidated Total Gross Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded debt of the Company and its Restricted Subsidiaries to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Consolidated Total Net Leverage Ratio” means, as of any date of determination, the ratio of (a) consolidated
total funded debt of the Company and its Restricted Subsidiaries, less the amount of Specified Credit Party Cash to (b) Adjusted EBITDA of the Company and its Restricted Subsidiaries for the most recently ended Test Period. 

“Continuing Directors” means the directors (or equivalent governing body) of the Company on the Closing Date and each
other director (or equivalent) of the Company, if, in each case, such other Person’s nomination for election to the board of directors (or equivalent governing body) of the Company is approved by at least 51% of the then Continuing Directors.

 “Debtors” has the meaning assigned to such term in the definition of “Plan.” 

“Designated Rig” means any Rig designated prior to the Closing Date that is approved by the Administrative Agent and
Required Lenders each in their sole discretion. 
 “Disqualified Institution” means (a) any competitor of the
Company identified on a list delivered to the Administrative Agent by any Borrower or the Existing Parent Borrower prior to the Closing Date (by way of notice delivered to the Administrative Agent and each Lender at its address for notices) and
(b) any Affiliate of any such Person that is clearly identifiable as such solely on the basis of the similarity of its name, but excluding any such Affiliate any fund or investment vehicle that is primarily engaged in the making, purchasing,
holding or otherwise investing in commercial loans, bonds and other similar extensions of credit in the ordinary course; provided that “Disqualified Institutions” shall exclude any Person that the Borrowers have designated as no
longer being a “Disqualified Institution” by written notice delivered to the Administrative Agent and each Lender from time to time at the contact information set forth above or in the Credit Documents, as applicable. 

  

46            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Eligible Local Content Entity” means a Local Content Entity that
(a) is not prohibited by its organizational documents or applicable laws from providing a guaranty of the Obligations (subject to inclusion of any local law-required limitations and such other changes as
the Administrative Agent may reasonably agree), (b) is “controlled” by the Company and (c) is not an Unrestricted Subsidiary. 

“Existing Credit Agreement” means that certain 5-Year Revolving Credit
Agreement, dated as of October 2, 2018, among Diamond Offshore Drilling, Inc., as the US Borrower (“Existing Parent Borrower”), Diamond Foreign Asset Company, as the Foreign Borrower, the financial institutions party
thereto as lenders (the “Existing RCF Lenders”), and Wells Fargo Bank, National Association, as Administrative Agent to the Existing RCF Lenders, as amended, restated, supplemented or otherwise modified from time to time
through the Closing Date. 
 “Federal Funds Rate” means, for any day, the rate per annum equal to the weighted
average of the rates on overnight federal funds transactions with members of the Federal Reserve System, as published by the Federal Reserve Bank of New York on the business day next succeeding such day, provided that if such rate is not so
published for any day which is a business day, the Federal Funds Rate for such day shall be the average of the quotation for such day on such transactions received by the Administrative Agent from three federal funds brokers of recognized standing
selected by the Administrative Agent. Notwithstanding the foregoing, if the Federal Funds Rate shall be less than zero, such rate shall be deemed to be zero for purposes of the Credit Documents. 

“Federal Reserve Board” means the Board of Governors of the Federal Reserve System of the United States of
America. 
 “Fee Letter” means that certain Fee Letter, dated January 22, 2021, between DFAC, the Company, and Wells
Fargo Bank, National Association. 
 “Fleet Status Certificate” means either of the following (at the option of the
Company) (a) a certificate delivered by an authorized officer of the Company to the Administrative Agent certifying as to the fleet status of each Rig wholly owned by the Company, any Credit Party, any Restricted Subsidiary, or any Local
Content Entity prepared on substantially the same basis, and in substantially the same form, substance, and level of detail (subject to deletion of pricing information), as the Company would provide in a published fleet status report posted to the
Company’s website but in any case indicating the name, fleet status, contract status, and contract term for each such Rig or (b) an updated published fleet status report posted to the Company’s website including (or supplemented to
include) the information specified in clause (a) above. 
 “HSBC Letters of Credit” means (a) each of
the following letters of credit issued by HSBC Bank USA, National Association for the account of the Company or any of its Restricted Subsidiaries that are outstanding as of the Closing Date: (i) the letter of credit issued for the benefit of
Burullus Gas in the amount of $500,000, (ii) the letter of credit issued for the benefit of Burullus Gas in the amount of $1,000,000, (iii) the letter of credit issued for the benefit of Suez Oil Company in the amount of $750,000, (iv) the letter of
credit issued for the benefit of Fidelity & Deposit Co. of Maryland in the amount of $6,034,107, (v) the letter of credit issued for the benefit of Posco International Corporation in the amount of $6,100,000, and (b) each other
bilateral letter of credit issued by HSBC Bank USA, National Association for the account of the Company or any of its Restricted Subsidiaries that is outstanding as of the Closing Date. 

  

47            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Interest Period” means, as to each LIBOR Rate Loan, the period
commencing on the date such LIBOR Rate Loan is disbursed or converted to or continued as a LIBOR Rate Loan and ending on the date one (1), two (2), three (3), or six (6) months or, if agreed by all of the relevant Lenders twelve
(12) months thereafter, in each case as selected by the applicable Borrower in its Notice of Borrowing or Notice of Conversion/Continuation and subject to availability; provided that: 

 

	 	(a)	 the Interest Period shall commence on the date of advance of or conversion to any LIBOR Rate Loan and, in the
case of immediately successive Interest Periods, each successive Interest Period shall commence on the date on which the immediately preceding Interest Period expires; 

 

	 	(b)	 if any Interest Period would otherwise expire on a day that is not a business day, such Interest Period shall
expire on the next succeeding business day; provided that if any Interest Period with respect to a LIBOR Rate Loan would otherwise expire on a day that is not a business day but is a day of the month after which no further business day occurs
in such month, such Interest Period shall expire on the immediately preceding business day; 

  

	 	(c)	 any Interest Period with respect to a LIBOR Rate Loan that begins on the last business day of a calendar month
(or on a day for which there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last business day of the relevant calendar month at the end of such Interest Period; 

 

	 	(d)	 no Interest Period shall extend beyond the maturity date; and 

 

	 	(e)	 there shall be no more than ten (10) Interest Periods in effect at any time. 

“Last Out Incremental Debt” means any first lien last out secured indebtedness issued after the Closing Date,
(a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the latest of (i) the 365th day after the Commitment
Termination Date, (ii) the “Maturity Date” under the Last Out Term Loan, and (iii) the scheduled maturity date of the Last Out Notes, other than customary offers to purchase upon a change of control, asset sale or casualty or
condemnation event and customary acceleration rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and
redemption or prepayment premiums and other pricing terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such notes), taken as a whole, are not more
restrictive or burdensome than those set forth in the credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit
Facility or that is not contained in the Credit Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or
any of their Restricted Subsidiaries from amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor
Agreement or another applicable intercreditor agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or
to pledge assets as collateral security for the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another
intercreditor agreement in form and substance satisfactory to the Administrative Agent. 

  

48            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Last Out Notes” means any first lien last out secured notes issued
pursuant to the Plan, (a) the terms of which do not provide for any scheduled repayment, mandatory redemption or sinking fund obligation prior to the latest of (i) the 365th day after
the Commitment Termination Date and (ii) the “Maturity Date” under the Last Out Term Loan, other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration
rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and redemption or prepayment premiums and other pricing
terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such notes), taken as a whole, are not more restrictive or burdensome than those set forth in the
credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit Facility or that is not contained in the Credit
Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or any of their Restricted Subsidiaries from
amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor Agreement or another applicable intercreditor
agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for
the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance
satisfactory to the Administrative Agent. 
 “Last Out Term Loan” means the first lien last out term loan issued or
deemed issued pursuant to the Plan, (a) the terms of which do not provide for any scheduled repayment, mandatory repayment or sinking fund obligation prior to the latest of (i) the 365th
day after the Commitment Termination Date and (ii) the scheduled maturity date of the Last Out Notes, other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration
rights following an event of default, (b) the covenants, events of default, guarantees, collateral requirements, and other terms of which (other than interest rate, fees, funding discounts and redemption or prepayment premiums and other pricing
terms determined by the Borrowers to be “market” rates, fees, discounts, and other premiums at the time of issuance or incurrence of any such term loan), taken as a whole, are not more restrictive or burdensome than those set forth in the
credit agreement governing the Credit Facility and the other Credit Documents and do not contain any financial ratio that is more restrictive in respect of the corresponding ratio in the Credit Facility or that is not contained in the Credit
Facility, (c) in respect of which no Subsidiary of the Company (other than the Borrowers and Guarantors) is an obligor, (d) the terms of which do not restrict the ability of the Borrowers or any of their Restricted Subsidiaries from
amending, modifying, restating, or otherwise supplementing the credit agreement governing the Credit Facility or the other Credit Documents, except as permitted by the First Out/Last Out Intercreditor Agreement or another applicable intercreditor
agreement in form and substance satisfactory to the Administrative Agent, (e) the terms of which do not restrict the ability of the Company or any of its Subsidiaries to guarantee the Obligations or to pledge assets as collateral security for
the Obligations, (f) the terms of which do not prohibit the repayment or prepayment of the Loans, and (g) which are subject to the First Out/Last Out Intercreditor Agreement or another intercreditor agreement in form and substance
satisfactory to the Administrative Agent. 

  

49            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “LC Exposure” means, at any time, an amount equal to the sum of
(a) the aggregate undrawn and unexpired amount of the then outstanding Letters of Credit and (b) the aggregate amount of drawings under Letters of Credit which have not yet been reimbursed by or on behalf of any Borrower at such time. 

“LIBOR” means, subject to the implementation of a Benchmark Replacement in accordance with the terms of the Credit
Documents, (a) for any interest rate calculation with respect to a LIBOR Rate Loan, the rate of interest per annum determined on the basis of the rate for deposits in U.S. Dollars for a period equal to the applicable Interest Period as
published by the ICE Benchmark Administration Limited, a United Kingdom company, or a comparable or successor quoting service approved by the Administrative Agent, at approximately 11:00 a.m. (London time) two (2) London Banking Days prior to
the first day of the applicable Interest Period. If, for any reason, such rate is not so published then “LIBOR” shall be determined by the Administrative Agent to be the arithmetic average of the rate per annum at which deposits in U.S.
Dollars would be offered by first class banks in the London interbank market to the Administrative Agent at approximately 11:00 a.m. (London time) two (2) London Banking Days prior to the first day of the applicable Interest Period for a period
equal to such Interest Period, and (b) for any interest rate calculation with respect to a Base Rate Loan, the rate of interest per annum determined on the basis of the rate for deposits in U.S. Dollars for an Interest Period equal to one month
(commencing on the date of determination of such interest rate) as published by ICE Benchmark Administration Limited, a United Kingdom company, or a comparable or successor quoting service approved by the Administrative Agent, at approximately 11:00
a.m. (London time) on such date of determination, or, if such date is not a business day, then the immediately preceding business day. If, for any reason, such rate is not so published then “LIBOR” for such Base Rate Loan shall be
determined by the Administrative Agent to be the arithmetic average of the rate per annum at which deposits in U.S. Dollars would be offered by first class banks in the London interbank market to the Administrative Agent at approximately 11:00 a.m.
(London time) on such date of determination for a period equal to one month commencing on such date of determination. 
 Each calculation by
the Administrative Agent of LIBOR shall be conclusive and binding for all purposes, absent manifest error. 
 Notwithstanding the foregoing,
in no event shall LIBOR (including any Benchmark Replacement with respect thereto) be less than 1.00%. 
 “LIBOR
Rate” means a rate per annum determined by the Administrative Agent pursuant to the following formula: 
  

			
	LIBOR Rate =	  	LIBOR
		  	  

		  	1.00-Statutory Reserve Rate

 “Liquidity” means, as of any date of determination, an amount equal to Specified
Credit Party Cash plus Availability. 
 “Local Content Entity” means any affiliate of the Company
(i) that owns a Rig and (ii) the capital stock or other equity interests of which is jointly owned by the Company or any Restricted Subsidiary(ies) and any other Person(s) but only to the extent such ownership of capital stock or other
equity interests by such Person(s) is(are) required or necessary under local law or custom as a condition for the operation of such Rig in such jurisdiction; provided that Local Content Entities shall not include joint ventures that are
formed in the ordinary course and for purposes other than local law requirements or local law customs. 

  

50            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 “Material Adverse Effect” means any material adverse effect on
(i) the business, assets, properties, operations, liabilities (actual or contingent) or condition (financial or otherwise) of the Company and its Restricted Subsidiaries, taken as a whole, (ii) any Borrower’s ability, individually, or
the Credit Parties’ ability, taken as a whole, to perform their respective obligations under the Credit Documents, (iii) the legality, validity, binding effect, or enforceability against any Credit Party in any material respect of any
Credit Document to which it is a party, or (iv) the rights and remedies of the Administrative Agent or any Lender under any Credit Document. 

“Mexico Office Building” means the building located at Carretera Carmen – Puerto Real Km 11.3 Col. El Fenix,
Ciudad del Carmen, Campeche C.P. 24157. 
 “PCbtH Service Contract” means that certain Contractual Service
Agreement, dated as of February 5, 2016, between Diamond Offshore Company and Hydril USA Distribution LLC. 
 “Permitted
Acquisition” means any acquisition by a Credit Party or any Restricted Subsidiary of the equity interests, assets and/or line of business of one or more other Persons in a single transaction, multiple transactions that are consummated
substantially concurrently with each other, or a series of related transactions, which transaction(s) may be in an unlimited amount so long as: 

(a) no Change of Control, Default, or Event of Default exists or would result from such transaction; 

(b) the board of directors or other similar governing body of the Person to be acquired shall have approved such transaction (and, if
requested, the Administrative Agent shall have received evidence, in form and substance reasonably satisfactory to the Administrative Agent, of such approval); 

(c) the Person or business to be acquired shall be in a line of business permitted pursuant to the Credit Documents or, in the case of an
acquisition of assets, the assets acquired are useful in the business of the Company and its Subsidiaries as conducted immediately prior to such acquisition or otherwise permitted pursuant to the Credit Documents; 

(d) no less than fifteen (15) business days prior to the proposed closing date of such transaction (or such shorter period as may be
agreed to by the Administrative Agent), the Borrowers shall have delivered written notice of such transaction to the Administrative Agent and the Lenders, which shall include the proposed closing date of such transaction; 

(e) either: 
 (i) such
acquisition is made with the proceeds of new, concurrent common equity of the Company, or 
 (ii) the requirements set forth below are
satisfied with respect thereto (it being understood and agreed that, in the case of substantially concurrent transactions or a series of related transactions, such satisfaction shall be determined with respect to such transactions, on an aggregate
basis): 

  

51             Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 (A) (1)(x) the Consolidated Total Net Leverage Ratio on a pro forma basis
(excluding synergies) would be less than or equal to 2.5 to 1.0 as of the last day of the most recently ended fiscal quarter and (y) the Consolidated Secured Net Leverage Ratio on a pro forma basis (excluding synergies) would be less than or
equal to 2.0 to 1.0 as of the last day of the most recently ended fiscal quarter or (2) both the Consolidated Total Net Leverage Ratio and the Consolidated Secured Net Leverage Ratio, in each case on a pro forma basis (excluding synergies)
would be less than or equal to the Consolidated Total Net Leverage Ratio or Consolidated Secured Net Leverage Ratio, as applicable, before giving effect to such transaction(s); and 

(B) Liquidity would be greater than or equal to $150.0 million after giving pro forma effect to such transaction(s); and

 (f) any assets, including equity interests, acquired pursuant to such transaction(s) shall become Collateral to the extent required by
the Agreed Security Principles and any Restricted Subsidiary acquired shall become a Guarantor to the extent required by the definition of “Required Guarantor” above. 

“Permitted Holdco Event” means the occurrence of any event or series of events that results in the ownership of 100%
of the equity interests of the Company by any Person (the “Permitted Holdco”), so long as: 
 (a) no Change of
Control has occurred under clause (b) of the definition thereof; 
 (b) the terms of any management services agreement, shared
services agreement, or other arrangement relating to shared services, management, overhead, employees, expenses, taxes, or other relationship between the Company or any of its Subsidiaries on the one hand, and the Permitted Holdco on the other hand,
as well as any subsequent amendments or other modifications to any such agreements or arrangements, are at least as favorable to the Company as would be obtainable in an arm’s length transaction and otherwise subject to the affiliate
transactions covenant described under clause 7 of “Negative Covenants” and all other covenants and restrictions contained in the Credit Facility; 

(c) the Permitted Holdco has pledged 100% of the equity interests of the Company as Collateral to secure the Obligations on a first-lien basis
(the terms of which shall include a negative pledge prohibiting the granting of liens on such equity interests by the Permitted Holdco to any Person other than liens granted to the Collateral Agent for the benefit of the agents, trustees, and
lenders under the Credit Facility, Last Out Term Loan, Last Out Notes, and Last Out Incremental Debt (if any) (collectively, the “Specified Diamond Creditors”);

(d) the Permitted Holdco shall not own any material assets, equity interests, or business interests other than (i) 100% of the equity
interests in the Company and (ii) 100% of the equity interests in another person whose primary business is the provision of contract drilling services, drilling rigs, and related equipment to the energy industry (a “Combination
Party”); provided that, if the Permitted Holdco owns any equity interests in a Combination Party, then (A) the Company and its subsidiaries on the one hand, and the Combination Party and its subsidiaries on the other hand, are held
in separate ownership silos such that (x) neither the creditors of the Permitted Holdco nor the creditors of the Combination Party and its subsidiaries shall have any recourse to the Company, its subsidiaries, or any of their respective assets,
and (y) creditors of the Company and its subsidiaries shall have no recourse to the Combination Party, its subsidiaries, or any of their respective assets, and (B) all transactions and dealings between the two silos, or between the Company
and its subsidiaries on the one hand, and the Permitted Holdco on the other hand, shall be subject to the affiliate transactions covenant described under clause 7 of “Negative Covenants” and all other covenants and restrictions
contained in the Credit Facility; 

  

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 (e) the Permitted Holdco shall not incur or suffer to exist any indebtedness, obligations or
other liabilities, other than (i) the Permitted Holdco’s obligations under the Permitted Holdco Undertaking (as defined below), (ii) tax liabilities of the Permitted Holdco arising in the ordinary course of business,
(iii) corporate, administrative and operating expenses of the Permitted Holdco incurred in the ordinary course of business, (iv) liabilities of the Permitted Holdco under any contracts or agreements with the Company and its subsidiaries
described in clauses (b) and (c) above, and (v) liabilities of the Permitted Holdco under contracts or agreements with the Combination Party and its subsidiaries that would comply with the description in clause
(b) above;
 (f) the Permitted Holdco shall not engage in any activities or business other than (i) issuing shares of its own
common equity interests, (ii) holding the assets and incurring the liabilities described in clauses (b), (c), (d) and (e) above and activities incidental and related thereto, and (iii) making dividends or
distributions not prohibited by the Credit Documents that would not result in the structure described in the lead-in to this definition failing to meet the conditions described in this definition; 

(g) on and after such Permitted Holdco Event, in the event of any Business Opportunity (to be defined in the definitive documentation,
but in any case to include, without limitation, any subsequent bidding or tender opportunity for a new or extended contract fixture for a Rig (or similar opportunity to provide Rigs, drilling services, or other services in the Company’s line of
business)), Permitted Holdco will ensure that the Company and its Restricted Subsidiaries, or Rigs owned by the Company and its Restricted Subsidiaries, as applicable, that meet the relevant criteria for such Business Opportunity (including
availability) are included in such bid, tender, or other Business Opportunity and participate on a competitive basis in such bid, tender, or other Business Opportunity, if, in the reasonable judgment of the Company, it is in the best interest of the
Company to bid or participate in such bid, tender, or other Business Opportunity ((x) taking into account all relevant costs and liabilities associated with such bid, tender, Business Opportunity, or contract fixture and (y) specifically not
taking into account activity or availability of Rigs or Subsidiaries directly or indirectly owned by the Combination Party or otherwise by the Permitted Holdco outside of the Company and its Restricted Subsidiaries, or the business or interests of
the Combination Party or the Permitted Holdco outside of the Company and its Restricted Subsidiaries); and 
 (h) on or prior to such
Permitted Holdco Event, the Administrative Agent shall have received an agreement in form and substance satisfactory to the Administrative Agent, executed and delivered by the Permitted Holdco, for the benefit of the Specified Diamond Creditors,
which shall constitute a Credit Document for all purposes hereunder (such undertaking, the “Permitted Holdco Undertaking”), pursuant to which the Permitted Holdco shall agree to (i) comply, and cause the Company and its
Subsidiaries to comply, with the requirements of clauses (a) through (g) above in all respects and (ii) deliver to the Administrative Agent a quarterly certificate of a responsible officer of the Permitted Holdco and a
responsible officer of the Company, certifying compliance with such requirements and committing to comply with such requirements at all times thereafter; 

provided that each of the provisions applicable to and undertakings by the Permitted Holdco in this definition shall apply equally to
any Subsidiary of the Permitted Holdco that directly or indirectly holds equity interests in the topmost entity in either the Company’s silo or any Combination Party’s silo that is a borrower, issuer, guarantor, or other obligor with
respect to all of the obligations under the primary debt facilities at such silo. 
 “Person” means an individual,
partnership, corporation, limited liability company, company, association, trust, unincorporated organization or any other entity or organization, including a government or any agency or political subdivision thereof. 

  

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 “Plan” means the chapter 11 plan of reorganization of the Existing
Parent Borrower and certain of its subsidiaries (the foregoing Persons, collectively, the “Debtors”), as it may be altered, amended, modified, or supplemented from time to time in accordance with the terms thereof, including
the Plan Supplement (as defined in the Plan) and any annexes, supplements, exhibits, term sheets, or other attachments thereto, filed under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”), which cases
are jointly administered as Bankruptcy Case No. 20-32307 (the “Chapter 11 Cases”) before the United States Bankruptcy Court for the Southern District of Texas (the
“Bankruptcy Court”). 
 “Plan Support Agreement” means that certain agreement between the
Company and the other parties thereto, dated as of January 22, 2021, and as filed as an exhibit to the Company’s 8-K dated January 22, 2021, as amended, supplemented or otherwise modified prior to
the Closing Date with the prior written consent of the Debtors and/or the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement), as applicable, in accordance with the terms thereof. 

“Prime Rate” means, at any time, the rate of interest per annum publicly announced from time to time by the
Administrative Agent as its prime rate. Each change in the Prime Rate shall be effective as of the opening of business on the day such change in such prime rate occurs. The parties hereto acknowledge that the rate announced publicly by the
Administrative Agent as its prime rate is an index or base rate and shall not necessarily be its lowest or best rate charged to its customers or other banks. 

“Regulation D” means Regulation D of the Federal Reserve Board, as in effect from time to time and all official
rulings and interpretations thereunder or thereof. 
 “Replacement Rig” means any Rig designated prior to the
Closing Date as a replacement for the Designated Rig that is approved by the Administrative Agent and Required Lenders each in their sole discretion; provided that such Replacement Rig shall be of the same class and type as the Designated Rig for
which it is replacing. 
 “Restricted Subsidiary” means each Subsidiary of the Company which is not an Unrestricted
Subsidiary. 
 “Rig” means any mobile offshore drilling unit (including, without limitation, any jackup rig,
semi-submersible rig, drillship, and barge rig). 
 “Rig Value” means, as of any date of determination, with respect
to any Rig (and all related owned equipment), other than a cold-stacked Rig, the value of such Rig (and all related owned equipment), calculated as the average reflected in the most recent appraisals of such Rig conducted and delivered in compliance
with clause (x) of “Affirmative Covenants” above; provided that the Rig Value of any Rig shall be equal to (w) 100.0% of such appraised value, for any Rig that is contracted with less than 12 months until its
relevant contract start date or a Rig that has been idle for up to 6 months, (x) 75.0% of such appraised value, for any Rig idle for six (6) months or longer but less than nine (9) months as of such date of determination, (y) 50.0% of such
appraised value, for any Rig idle for nine (9) months or longer but less than twelve (12) months as of such date of determination and (z) 0.0% of such appraised value, for any Rig idle for twelve (12) months or longer as of such date
of determination; provided further that if any such Rig is stacked or otherwise idle, the Rig Value attributable to such Rig (i) shall be reduced by the amount of any reactivation costs necessary or advisable to return such Rig to
working status and (ii) shall in no event be less than $0.00; provided further that, notwithstanding the foregoing, during the period from the Closing Date until the six month anniversary of the Closing Date, the Rig Value of the
Great White shall not at any time be less than 50.0% of such appraised value. 

  

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	 	Confidential

  

 “Rig Value Certificate” means a certificate signed by a responsible
officer of the Company certifying a listing of the Rig Value for each Rig of a Credit Party, the appraisal that has been used to determine those Rig Values, and the direct owner for each such Rig, in each case as of the date of such certificate.

 “Specified Credit Party Cash” means, as of any date of determination, the aggregate amount of the following
(without duplication): cash on hand and cash equivalents, in each case, that are on deposit in or held in any deposit account, securities account or other bank account that is subject to (a) with respect to any U.S. account, a perfected lien in
favor of the Collateral Agent pursuant to an account control agreement in favor of the Collateral Agent that is reasonably satisfactory in form and substance to the Administrative Agent or (b) with respect to any
non-U.S. account, any other appropriate security arrangement in the relevant jurisdiction that is required by or effective pursuant to applicable law, and reasonably satisfactory to the Administrative Agent,
to perfect the Collateral Agent’s first priority lien on such account. 
 “Statutory Reserve Rate” means, for
any day, the percentage which is in effect for such day as prescribed by the Federal Reserve Board for determining the maximum reserve requirement (including any basic, supplemental or emergency reserves) in respect of eurocurrency liabilities or
any similar category of liabilities for a member bank of the Federal Reserve System in New York City. 

“Subsidiary” means, for any Person, any other Person of which more than fifty percent (50%) of the outstanding stock
or comparable equity interests having ordinary voting power for the election of the board of directors, managers or similar governing body of such other Person (irrespective of whether or not at the time stock or other equity interests of any other
class or classes of such other Person shall have or might have voting power by reason of the happening of any contingency), is at the time directly or indirectly owned by such former Person or by one or more of its Subsidiaries. Unless otherwise
specified, “Subsidiary” shall include each Eligible Local Content Entity and each such Person’s respective Subsidiaries. Unless the context expressly provides otherwise, references to a Subsidiary shall mean a Subsidiary of the
Company. 
 “Tax Distributions” means in respect of any taxable period for which the Company is a member of a
consolidated, combined, affiliated, unitary or similar tax group for U.S. federal and/or applicable state, local or foreign income tax purposes of which a direct or indirect parent of the Company is the common parent, or for which the Company is a
disregarded entity for U.S. federal income tax purposes that is wholly owned (directly or indirectly) by a C corporation for U.S. federal and/or applicable state or local income tax purposes, distributions to any direct or indirect parent of the
Company to pay U.S., federal, state, local, or foreign income taxes of such parent or such C corporation (including distributions to fund estimated payments of such taxes) in an amount not to exceed the amount of any U.S. federal, state, local or
foreign income taxes that the Company would have paid for such taxable period had the Company been treated as a stand-alone corporate taxpayer or a standalone corporate group, calculated taking into account accumulated losses and deductions that
would have been available if the Company had been so treated. 

  

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 “Unrestricted Subsidiary” means (a) any Subsidiary (other than a
Rig Subsidiary) of the Company that has been or is designated in writing as an Unrestricted Subsidiary in accordance with the limitations of the Credit Facility and (b) each of such Person’s Subsidiaries (other than a Rig Subsidiary). 

“Use of Proceeds Certificate” means with respect to any Loan, a certificate in form, substance, and detail reasonably
satisfactory to the Administrative Agent, duly executed by a responsible officer of the applicable Borrower (a) describing the intended use of proceeds of such Loan, which shall be a purpose permitted by the credit agreement governing the
Credit Facility and (b) certifying (i) as to the proposed use of the proceeds of the applicable borrowing, which shall be a purpose permitted by the credit agreement governing the Credit Facility and (ii) that the proceeds of the
applicable borrowing shall be used within five (5) business days after the making of such Loan for such specified purpose, or will otherwise be repaid to the extent required pursuant to the credit agreement governing the Credit Facility. 

  

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 ADDENDUM B 

INITIAL CONDITIONS 

The availability of the Credit Facility on the Closing Date shall be subject solely to the satisfaction (or waiver) of the conditions
precedent set forth in the Plan Support Agreement and the satisfaction (or waiver) of the following conditions; capitalized terms used but not defined herein have the meanings set forth in the Summary of Terms and Conditions to which this
Addendum B is attached: 
 1. The Administrative Agent shall have received, subject to the Agreed Security Principles, (a) the
Credit Documents, which shall, in each case, (i) be consistent with the Documentation Principles and otherwise in form and substance reasonably satisfactory to the Lead Arrangers, the Lenders, and the Borrowers and (ii) have been executed
and delivered by each party thereto, (b) customary officer’s closing certificates (including incumbency certificates of officers and/or directors) certifying as to organizational documents, authorizing resolutions, certificates of
existence, good standing and qualification (or such corresponding certificates or other documents to the extent the concept of good standing exists in the applicable jurisdiction) in jurisdictions of formation/organization, in each case, with
respect to the Credit Parties, a solvency certificate (with respect to the Company and its Subsidiaries on a consolidated basis as of the Closing Date after giving effect to the transactions (including any initial borrowings made or deemed made and
any initial Letters of Credit issued or deemed issued under the Credit Facility) contemplated to occur on the Closing Date certified by a senior authorized financial officer of the Company), an officer’s certificate, in form and detail
satisfactory to the Administrative Agent, certifying (x) a complete, true, and correct organizational structure chart of the Company and its subsidiaries, which shall identify whether each entity on such chart is a Borrower, Guarantor,
Restricted Subsidiary, Unrestricted Subsidiarity, Immaterial Subsidiary, Material Subsidiary, Excluded Subsidiary, Rig Subsidiary, and/or such other type of entity under the Credit Documents and (y) the reason why each entity designated as an
Excluded Subsidiary is considered to be an Excluded Subsidiary, and such other certificates and instruments are customary for transactions of this type (including a perfection certificate (which shall include, among other things, (y) a schedule
of all fee owned real property of the Credit Parties setting forth the fair market value of each such property as determined in the reasonable discretion of the Credit Parties and (z) a schedule of all deposit, securities, and commodity
accounts owned by the Credit Parties) and evidence of insurance required by the Credit Documents), (c) a certificate of a financial officer certifying a calculation of the Threshold Ratio as of the Closing Date, and (d) customary favorable
legal opinions of counsel to the Company and the other Credit Parties related to the Credit Documents (including, in addition to other customary opinions, an opinion on no conflicts with applicable laws) and reasonably satisfactory to the
Administrative Agent. 
 2. All reasonable and documented fees and expenses due on the Closing Date to the Administrative Agent, the
Collateral Agent, and the Lenders shall have been paid in full in cash on the Closing Date (or, solely in the case of the PIK Upfront Fee, shall be paid-in-kind on the
Closing Date), to the extent invoiced at least two (2) business days prior to the Closing Date (or such later date as the Borrowers may reasonably agree), including any fees set forth in the Fee Letter. 

3. The Administrative Agent shall have received evidence reasonably satisfactory to it that all loans and other obligations outstanding under
the Existing Credit Agreement are being repaid substantially concurrently with the entering into the Credit Documents or otherwise satisfied in full and terminated in a manner consistent with the Plan (other than the HSBC Letters of Credit, which
shall be deemed issued under the credit agreement governing the Credit Facility on the 

  

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Closing Date). Immediately after giving effect to the transactions contemplated hereby, the Credit Parties and their Restricted Subsidiaries shall have no indebtedness outstanding other than
(a) the Loans and other extensions of credit under the Credit Facility, (b) indebtedness in respect of the Last Out Term Loans and the Last Out Notes, and (c) any other indebtedness permitted under the Credit Documents. The
Administrative Agent shall have received evidence reasonably satisfactory to it that all liens on the assets of the Credit Parties and their Restricted Subsidiaries (other than liens permitted by the Credit Documents) have been released or
terminated and that duly executed recordable releases and terminations in forms reasonably acceptable to the Administrative Agent with respect thereto have been obtained by the Company. 

4. (a) The terms of the Plan shall be substantially consistent with the Plan Support Agreement and otherwise reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement), and such Plan Support Agreement shall not have been amended or modified in any manner that is adverse (as determined in good faith by the
Administrative Agent) to the rights and interests of the Lead Arrangers, the Administrative Agent or any Lender and their respective affiliates, in their capacities as such, relative to the version filed with the Bankruptcy Court on January 22,
2021, without written consent of the Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) and (b) an order of the Bankruptcy Court in form and substance reasonably satisfactory to the
Administrative Agent and the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) shall have been entered confirming the Plan and shall have become a final order of the Bankruptcy Court, which order shall not have been stayed,
reversed, vacated, amended, supplemented or otherwise modified in any manner that would reasonably be expected (as determined in good faith by the Administrative Agent) to adversely affect the interests of the Lead Arrangers, the Administrative
Agent or the Lenders and their respective affiliates, in their capacity as such, or the treatment contemplated by the Plan to the Existing RCF Lenders under the Existing Credit Agreement without the written consent of the Administrative Agent and
the Requisite Consenting RCF Lenders (as defined in the Plan Support Agreement) (the “Confirmation Order”); provided that the possibility that an appeal or a motion under Rule 60 of the Federal Rules of Civil Procedure or any
analogous rule under the Federal Rules of Bankruptcy Procedure, may be filed relating to such order, shall not cause such order to not be a final order. 

5. The Plan and all transactions contemplated therein or in the Confirmation Order to occur on the effective date of the Plan shall have been
(or substantially concurrently with the Closing Date, shall be) substantially consummated (as defined in Section 1101 of the Bankruptcy Code) in accordance with the terms thereof and in compliance with applicable law and Bankruptcy Court and
regulatory approvals. 
 6. The Administrative Agent shall have received a certificate of a responsible officer of the Company certifying
that (a) all material governmental and third party approvals necessary in connection with the consummation of the Plan and the other transactions contemplated thereby, and the continuing operations of the Company and its Restricted Subsidiaries
shall have been obtained (or will be substantially concurrently obtained) and be in full force and effect, (b) that all representations and warranties set forth in the credit agreement governing the Credit Facility and the other Credit
Documents are true and correct in all material respects (unless such representations are qualified by materiality or by a Material Adverse Effect qualification, in which case, such representations and warranties shall be true and correct in all
respects), (c) no Default or Event of Default shall have occurred and be continuing or shall occur as a result of the initial extensions of credit or from the application of proceeds thereof, (d) no material litigation, arbitration or similar
proceeding shall be pending or threatened which calls into question the validity of the credit agreement governing the Credit Facility, the other Credit Documents, or any of the transactions 

  

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contemplated thereby, and (e) that since January 22, 2021, no Closing Date Material Adverse Effect (as defined below) shall have occurred. Solely for purposes of this paragraph 6,
“Closing Date Material Adverse Effect” means any event, change, effect, occurrence, development, circumstance or change of fact occurring or existing after January 22, 2021 that, individually or in the aggregate, has had, or would
reasonably be expected to have, a material adverse effect on (i) the business, assets, properties, operations, liabilities (actual or contingent) or condition (financial or otherwise) of the Credit Parties, taken as a whole, or (ii) any
Borrower’s ability, individually, or the ability of the Credit Parties, taken as a whole, to perform its or their obligations under, or to consummate the transactions contemplated by the Credit Documents, including in connection with the Credit
Facility; provided, however, that any change arising from or related to any of the following shall not constitute a Closing Date Material Adverse Effect or be taken into account in determining whether a Closing Date Material Adverse
Effect has occurred or would reasonably be expected to occur: (A) customary occurrences as a result of events leading up to and following the commencement of a proceeding under chapter 11 of the Bankruptcy Code and the Chapter 11 Cases and
actions taken in connection with the Chapter 11 Cases that are directed or authorized by the Bankruptcy Court and made in compliance with the Bankruptcy Code; and (B) any action or omission required, specifically permitted or contemplated to be
taken or omitted by any of the Credit Parties, the Debtors or their Subsidiaries pursuant to the Plan Support Agreement or any Credit Document or which is otherwise taken or omitted with the consent, or at the request, of the Administrative Agent
and the Required Lenders under the Credit Facility. 
 7. (a) The Administrative Agent shall have received aggregate Commitments from
Lenders equal to or in excess of $300.0 million (before giving effect to the increase to Commitments in the amount of the PIK Upfront Fee); (b) the aggregate amount of Loans and LC Exposure on the Closing Date, after giving pro forma effect to
any funding or deemed funding on the Closing Date, shall not exceed an amount equal to (i) $100.0 million, including any Loans made or deemed made in exchange for obligations owing under the Existing Credit Agreement, plus (ii) the
face amount of the HSBC Letters of Credit deemed issued under the Credit Facility on the Closing Date, plus (iii) the amount of the PIK Upfront Fee, minus (iv) the amount by which the aggregate initial principal amount of the
Last Out Term Loan exceeds $100.0 million; and (c) the Administrative Agent shall have received for the benefit of the Lenders a payment in cash on the Closing Date in an aggregate amount equal to the amount required pursuant to the Plan.

 8. The Administrative Agent shall have received evidence that (a) the Company has received, substantially simultaneously with the
effectiveness of the Credit Facility, no less than $75.0 million in new gross cash proceeds from the Last Out Notes pursuant to an indenture in form and substance reasonably satisfactory to the Administrative Agent (which, for the avoidance of
doubt, shall include a commitment from the noteholders thereunder to provide no less than $35.0 million at a later date subject to certain specified conditions acceptable to the Administrative Agent), (b) the Last Out Term Loan shall have
become effective, substantially simultaneously with the effectiveness of the Credit Facility, in a principal amount equal to $500.0 million, minus the Commitment Amount, and (c) the First Out/Last Out Intercreditor Agreement shall
have been duly executed and delivered by each of (x) the Administrative Agent (with the consent of the requisite Lenders), (y) the requisite lenders or an authorized lender representative (with the consent of the requisite lenders) in respect
of the Last Out Term Loan, and (z) the requisite holders of the Last Out Notes or an authorized representative thereof (with the consent of the requisite noteholders) (collectively, the “Consenting Stakeholders”). 

  

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 9. The Administrative Agent shall have received a certificate of a responsible officer of the
Company demonstrating in reasonable detail that, as of the Closing Date, and giving pro forma effect to the Plan and the transactions contemplated thereby to occur on the Closing Date, the Company is in compliance with each Collateral Coverage
Ratio. 
 10. The Lead Arrangers shall have received (a) audited consolidated balance sheets and related statements of income,
stockholders’ equity and cash flows of the Company and its subsidiaries, for the three most recently completed fiscal years ended at least ninety (90) days before the Closing Date (together with consolidating financial statements of any
Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (b) unaudited consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of the Company and
its subsidiaries, for each subsequent fiscal quarter ended at least forty-five (45) days before the Closing Date, in each case, together with the corresponding comparative period from the prior fiscal year (together with consolidating financial
statements of any Unrestricted Subsidiary or other Subsidiary of the Company that is not a Credit Party or Restricted Subsidiary), (c) unaudited interim monthly consolidated financial statements prepared by management of the Company and its
subsidiaries, for each subsequent calendar month ending at least ten (10) business days before the Closing Date, (d) a pro forma unaudited consolidated balance sheet of the Company and its Restricted Subsidiaries as of the Closing Date (as
if the Closing Date had occurred on the last date of the most recently ended fiscal quarter or calendar month for which financial statements are required to be provided pursuant to clause (b) or (c) above, adjusted to give effect
to the making of the initial extensions of credit under the Credit Facility, the application of the proceeds thereof and to the other transactions contemplated to occur on the Closing Date), which balance sheet shall (i) not reflect any pro
forma adjustments to give effect to the application of fresh start accounting, (ii) not be required to meet the requirements of Regulation S-X of the Securities Act of 1933, (iii) be certified by the
chief financial officer of the Company as being prepared in good faith by the Company and (iv) reflect no indebtedness other than (x) the Loans and other extensions of credit under the Credit Facility, (y) indebtedness in respect of
the Last Out Notes and Last Out Term Loan and (z) any other indebtedness permitted under the Credit Documents, (e) a summary setting forth the adjustments made to the financial information contained in the consolidated balance sheet for
the most recently ended fiscal quarter or calendar month previously delivered to the Lead Arrangers pursuant to clause (b) or (c) above that are reflected in the pro forma balance sheet referred to in clause (d) above,
(f) a financial forecast of the Company and its Restricted Subsidiaries for the 24-month period commencing December 31, 2020, on a quarterly basis, and (g) a budget for the Company and its Restricted
Subsidiaries for the fiscal year ending December 31, 2021. 
 11. Subject to the Agreed Security Principles, all actions reasonably
necessary to establish that the Collateral Agent will have a perfected first priority security interest (subject to permitted liens) in the Collateral (as described in the section titled “Collateral” in the Term Sheet) shall have
been taken, including, (a) delivery of counterparts and exhibits for Rig mortgages, pledges and security agreements, which are necessary and appropriate for filing in the appropriate jurisdictions and (b) the execution and delivery of
control agreements in connection with deposit accounts, securities accounts, and commodity accounts within 30 days of the Closing Date (other than (a) with respect to accounts located in non-U.S.
jurisdictions, which shall be delivered within 45 days of the Closing Date and (b) with respect to any accounts held at JPMorgan Chase Bank, N.A. that, within 45 days after the Closing Date, are replaced by, and all amounts therein transferred
to, accounts held at HSBC Bank USA, National Association, which HSBC Bank USA, National Association accounts are subject to control agreements in favor of the Collateral Agent). 

  

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 12. The Administrative Agent shall have received (a) customary UCC or equivalent lien,
maritime lien, tax and judgment lien searches for the Credit Parties and their Restricted Subsidiaries reflecting the absence of liens and security interests other than those being released on or prior to the Closing Date or which are otherwise
permitted under the Credit Documents, (b) certificates of registration showing the registered ownership of each Rig and certificates of ownership and encumbrances with respect to each such Rig, (c) a Fleet Status Certificate, (d) a
Rig Value Certificate, (e) confirmation of class certificates for each Rig (other than stacked Rigs), (f) if any Credit Party is not organized under the laws of a State of the United States, evidence of appointment by such Credit Party of a
process agent as its domestic process agent in accordance with the terms of the Credit Documents, (g) such other documents and conditions as are reasonable and customary under applicable legal requirements or custom in connection with a
guarantee given by a foreign Credit Party, and (h) any such other documents, governmental certificates, and agreements as the Administrative Agent may reasonably request. 

13. The Administrative Agent shall have received insurance certificates, dated not more than ten (10) business days prior to the Closing
Date from the Company describing in reasonable detail the insurance maintained by the Credit Parties as required by the Credit Documents. 

14. The Administrative Agent and each Lender who has requested the same shall have received, at least fifteen (15) business days prior to
the Closing Date, (a) all documentation and other information regarding the Borrowers and the other Credit Parties in connection with applicable “know your customer” and anti-money laundering rules and regulations, including the
Patriot Act, and (b) to the extent applicable, in connection with “beneficial ownership” rules and regulations, a customary certification regarding beneficial ownership or control of the Borrowers in a form reasonably satisfactory to
the Administrative Agent and each requesting Lender. On the Closing Date, the organizational structure of the Company and its subsidiaries and their jurisdictions of organization, the Borrowers, and the Guarantors must all be satisfactory to the
Administrative Agent and the Lenders in their discretion. 
 15. Each of (a) that certain Contractual Service Agreement, dated as of
February 5, 2016, between Diamond Offshore Company and Hydril USA Distribution LLC, and (b) that certain Lease Agreement, dated as of February 5, 2016, between Diamond Offshore Limited and EFS BOP, LLC (collectively, the
“PCbtH Contracts”) receive treatment in the Chapter 11 Cases, including under the Plan, that is reasonably acceptable to the Requisite Consenting Stakeholders (as defined in the Plan Support Agreement). 

16. The Administrative Agent shall have (a) received executed copies of all material contracts of the Company and its Restricted
Subsidiaries certified as true, correct, and complete as of the Closing Date and (b) completed a satisfactory review of all such material contracts. 

17. The Administrative Agent shall have received an appraisal with respect to each Rig that is to be given Rig Value in the definition
thereof, performed by Arctic Offshore, in form and detail, and of a type, and with assumptions and methodology reasonably satisfactory to the Administrative Agent. 

18. With respect to the Chapter 11 Cases, the overall size of the claims pool for general unsecured claims (excluding any claims resulting
from the rejection or recharacterization of the PCbtH Contracts) to be unimpaired and paid in full pursuant to the Plan on the Effective Date (as defined in the Plan) is reasonably acceptable to the Requisite Consenting Stakeholders (for the
avoidance of doubt, if the overall size is materially consistent with the estimate provided by the 

  

61            Summary of Terms and Conditions 

			
	Diamond Offshore Drilling, Inc.	 	Confidential

  

 
Debtors to the Consenting Stakeholders’ Advisors (as defined in the Plan Support Agreement) on November 14, 2020, then such size shall be deemed reasonably acceptable).1 
  

	1 	 The estimate provided by the Debtors to the Consenting Stakeholders’ Advisors on November 14, 2020
included an estimate of approximately $26 million of general unsecured trade claims (excluding any claims resulting from the rejection or recharacterization of the PCbtH Contracts), administrative claims related to cure amounts, and priority claims
under section 503(b)(9) of the Bankruptcy Code, excluding any postpetition interest that may be payable on account of such claims pursuant to the Plan, if any, to be unimpaired and paid in full pursuant to the Plan on the Effective Date. For the
avoidance of doubt, such estimate does not include any Priority Tax Claims (as defined in the Plan). 

  

62            Summary of Terms and Conditions

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