Document:

Exhibit

Exhibit 10.5

SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
1.    Purposes of the Plan.  The purposes of this Plan are: 
•to attract and retain the best available personnel for positions of substantial responsibility,
•to provide additional incentive to Employees, Directors and Consultants, and 
•to promote the success of the Company’s business.
The Plan permits the grant of Incentive Stock Options, Nonstatutory Stock Options, Restricted Stock, Restricted Stock Units, Stock Appreciation Rights, Performance Units and Performance Shares.
2.    Definitions.  As used herein, the following definitions will apply:
(a)    “Administrator” means the Board or any of its Committees as will be administering the Plan, in accordance with Section 4 of the Plan.
(b)    “Applicable Laws” means the legal and regulatory requirements relating to the administration of equity-based awards and the related issuance of Shares thereunder, including but not limited to U.S. federal and state corporate laws, U.S. federal and state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any non-U.S. country or jurisdiction where Awards are, or will be, granted under the Plan.
(c)    “Award” means, individually or collectively, a grant under the Plan of Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units, Performance Units or Performance Shares.
(d)    “Award Agreement” means the written or electronic agreement setting forth the terms and provisions applicable to each Award granted under the Plan.  The Award Agreement is subject to the terms and conditions of the Plan.
(e)    “Board” means the Board of Directors of the Company.
(f)    “Change in Control” means the occurrence of any of the following events:
(i)    A change in the ownership of the Company which occurs on the date that any one person, or more than one person acting as a group (“Person”), acquires ownership of the stock of the Company that, together with the stock held by such Person, constitutes more than fifty percent (50%) of the total voting power of the stock of the Company; provided, however, that for purposes of this subsection, (A) the acquisition of additional stock by any one Person, who is considered to own more than fifty percent (50%) of the total voting power of the stock of the Company will not be 

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considered a Change in Control, and (B) if the stockholders of the Company immediately before such change in ownership continue to retain immediately after the change in ownership, in substantially the same proportions as their ownership of shares of the Company’s voting stock immediately prior to the change in ownership, the direct or indirect beneficial ownership of fifty percent (50%) or more of the total voting power of the stock of the Company or of the ultimate parent entity of the Company, such event will not be considered a Change in Control under this subsection (i).  For this purpose, indirect beneficial ownership will include, without limitation, an interest resulting from ownership of the voting securities of one or more corporations or other business entities which own the Company, as the case may be, either directly or through one or more subsidiary corporations or other business entities; or 
(ii)    A change in the effective control of the Company which occurs on the date that a majority of members of the Board is replaced during any twelve (12)-month period by Directors whose appointment or election is not endorsed by a majority of the members of the Board prior to the date of the appointment or election.  For purposes of this subsection (ii), if any Person is considered to be in effective control of the Company, the acquisition of additional control of the Company by the same Person will not be considered a Change in Control; or
(iii)    A change in the ownership of a substantial portion of the Company’s assets which occurs on the date that any Person acquires (or has acquired during the twelve (12)‐month period ending on the date of the most recent acquisition by such person or persons) assets from the Company that have a total gross fair market value equal to or more than fifty percent (50%) of the total gross fair market value of all of the assets of the Company immediately prior to such acquisition or acquisitions; provided, however, that for purposes of this subsection (iii), the following will not constitute a change in the ownership of a substantial portion of the Company’s assets: (A) a transfer to an entity that is controlled by the Company’s stockholders immediately after the transfer, or (B) a transfer of assets by the Company to: (1) a stockholder of the Company (immediately before the asset transfer) in exchange for or with respect to the Company’s stock, (2) an entity, fifty percent (50%) or more of the total value or voting power of which is owned, directly or indirectly, by the Company, (3) a Person, that owns, directly or indirectly, fifty percent (50%) or more of the total value or voting power of all the outstanding stock of the Company, or (4) an entity, at least fifty percent (50%) of the total value or voting power of which is owned, directly or indirectly, by a Person described in this subsection (iii)(B)(3).  For purposes of this subsection (iii), gross fair market value means the value of the assets of the Company, or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets.
For purposes of this definition, persons will be considered to be acting as a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of stock, or similar business transaction with the Company.
Notwithstanding the foregoing, a transaction will not be deemed a Change in Control unless the transaction qualifies as a change in control event within the meaning of Section 409A.
Further and for the avoidance of doubt, a transaction will not constitute a Change in Control if: (i) its sole purpose is to change the state of the Company’s incorporation, or (ii) its sole purpose is to create a holding company that will be owned in substantially the same proportions by the persons who held the Company’s securities immediately before such transaction.

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(g)    “Code” means the Internal Revenue Code of 1986, as amended.  Reference to a specific section of the Code or regulation thereunder will include such section or regulation, any valid regulation promulgated under such section, and any comparable provision of any future legislation or regulation amending, supplementing or superseding such section or regulation.
(h)    “Committee” means a committee of Directors or of other individuals satisfying Applicable Laws appointed by the Board, or a duly authorized committee of the Board, in accordance with Section 4 hereof.
(i)    “Common Stock” means the Common Stock of the Company.
(j)    “Company” means Silk Road Medical, Inc., a Delaware corporation, or any successor thereto.
(k)    “Consultant” means any natural person, including an advisor, engaged by the Company or a Parent or Subsidiary to render bona fide services to such entity, provided the services (i) are not in connection with the offer or sale of securities in a capital‐raising transaction, and (ii) do not directly promote or maintain a market for the Company’s securities, in each case, within the meaning of Form S-8 promulgated under the Securities Act, and provided, further, that a Consultant will include only those persons to whom the issuance of Shares may be registered under Form S-8 promulgated under the Securities Act.
(l)    “Director” means a member of the Board.
(m)    “Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code, provided that in the case of Awards other than Incentive Stock Options, the Administrator in its discretion may determine whether a permanent and total disability exists in accordance with uniform and non-discriminatory standards adopted by the Administrator from time to time.  
(n)    “Employee” means any person, including Officers and Directors, employed by the Company or any Parent or Subsidiary of the Company.  Neither service as a Director nor payment of a director’s fee by the Company will be sufficient to constitute “employment” by the Company.
(o)    “Exchange Act” means the Securities Exchange Act of 1934, as amended.
(p)    “Exchange Program” means a program under which (i) outstanding Awards are surrendered or cancelled in exchange for awards of the same type (which may have higher or lower exercise prices and different terms), awards of a different type, and/or cash, (ii) Participants would have the opportunity to transfer any outstanding Awards to a financial institution or other person or entity selected by the Administrator, and/or (iii) the exercise price of an outstanding Award is increased or reduced.  The Administrator will determine the terms and conditions of any Exchange Program in its sole discretion.
(q)    “Fair Market Value” means, as of any date, the value of Common Stock determined as follows:

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(i)    For purposes of any Awards granted on the Registration Date, the Fair Market Value will be the initial price to the public as set forth in the final prospectus included within the registration statement in Form S-1 filed with the Securities and Exchange Commission for the initial public offering of the Company’s Common Stock.
(ii)    For purposes of any Awards granted on any other date, the Fair Market Value will be the closing sales price for Common Stock as quoted on any established stock exchange or national market system (including without limitation the New York Stock Exchange, NASDAQ Global Select Market, the NASDAQ Global Market or the NASDAQ Capital Market of The NASDAQ Stock Market) on which the Common Stock is listed on the date of determination (or the closing bid, if no sales were reported), as reported in The Wall Street Journal or such other source as the Administrator deems reliable.  If the determination date for the Fair Market Value occurs on a non-trading day (i.e., a weekend or holiday), the Fair Market Value will be such price on the immediately preceding trading day, unless otherwise determined by the Administrator.  In the absence of an established market for the Common Stock, the Fair Market Value thereof will be determined in good faith by the Administrator. 
The determination of fair market value for purposes of tax withholding may be made in the Administrator’s discretion subject to Applicable Laws and is not required to be consistent with the determination of Fair Market Value for other purposes.
(r)    “Fiscal Year” means the fiscal year of the Company.
(s)    “Incentive Stock Option” means an Option intended to qualify as an incentive stock option within the meaning of Section 422 of the Code and the regulations promulgated thereunder.
(t)    “Nonstatutory Stock Option” means an Option that by its terms does not qualify or is not intended to qualify as an Incentive Stock Option.
(u)    “Officer” means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and the rules and regulations promulgated thereunder.
(v)    “Option” means a stock option granted pursuant to the Plan.
(w)    “Outside Director” means a Director who is not an Employee.
(x)    “Parent” means a “parent corporation,” whether now or hereafter existing, as defined in Section 424(e) of the Code.
(y)    “Participant” means the holder of an outstanding Award.
(z)    “Performance Share” means an Award denominated in Shares which may be earned in whole or in part upon attainment of performance goals or other vesting criteria as the Administrator may determine pursuant to Section 10.
(aa)    “Performance Unit” means an Award which may be earned in whole or in part upon attainment of performance goals or other vesting criteria as the Administrator may determine and 

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which may be settled for cash, Shares or other securities or a combination of the foregoing  pursuant to Section 10.
(bb)    “Period of Restriction” means the period during which the transfer of Shares of Restricted Stock are subject to restrictions and therefore, the Shares are subject to a substantial risk of forfeiture.  Such restrictions may be based on the passage of time, the achievement of target levels of performance, or the occurrence of other events as determined by the Administrator.
(cc)    “Plan” means this 2019 Equity Incentive Plan.
(dd)    “Registration Date” means the effective date of the first registration statement that is filed by the Company and declared effective pursuant to Section 12(b) of the Exchange Act, with respect to any class of the Company’s securities.
(ee)    “Restricted Stock” means Shares issued pursuant to a Restricted Stock award under Section 7 of the Plan, or issued pursuant to the early exercise of an Option.
(ff)    “Restricted Stock Unit” means a bookkeeping entry representing an amount equal to the Fair Market Value of one Share, granted pursuant to Section 8.  Each Restricted Stock Unit represents an unfunded and unsecured obligation of the Company.
(gg)    “Rule 16b-3” means Rule 16b-3 of the Exchange Act or any successor to Rule 16b-3, as in effect when discretion is being exercised with respect to the Plan.
(hh)    “Section 16(b)”  means Section 16(b) of the Exchange Act.
(ii)    “Section 409A” means Code Section 409A, as it has been and may be amended from time to time, and any proposed or final Treasury Regulations and Internal Revenue Service guidance that has been promulgated or may be promulgated thereunder from time to time.
(jj)    “Securities Act” means the Securities Act of 1933, as amended.
(kk)    “Service Provider” means an Employee, Director or Consultant.
(ll)    “Share” means a share of the Common Stock, as adjusted in accordance with Section 14 of the Plan.
(mm)    “Stock Appreciation Right” means an Award, granted alone or in connection with an Option, that pursuant to Section 9 is designated as a Stock Appreciation Right.
(nn)    “Subsidiary” means a “subsidiary corporation,” whether now or hereafter existing, as defined in Section 424(f) of the Code.
3.    Stock Subject to the Plan.  
(a)    Stock Subject to the Plan.  Subject to the provisions of Section 14 of the Plan and the automatic increase set forth in Section 3(b) of the Plan, the maximum aggregate number of 

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Shares that may be issued under the Plan is 2,317,000 Shares, plus (i) any Shares that, as of the date of stockholder approval of this Plan, have been reserved but not issued pursuant to any awards granted under the Company’s 2007 Stock Plan (the “2007 Plan”) and are not subject to any awards granted thereunder, and (ii) any Shares subject to stock options or similar awards granted under the 2007 Plan that, after the date of stockholder approval of this Plan, expire or otherwise terminate without having been exercised in full and Shares issued pursuant to awards granted under the 2007 Plan that, after the date of stockholder approval of this Plan, are forfeited to or repurchased by the Company, with the maximum number of Shares to be added to the Plan pursuant to clauses (i) and (ii) equal to 11,260,827 Shares.  The Shares may be authorized, but unissued, or reacquired Common Stock. 
(b)    Automatic Share Reserve Increase.  Subject to the provisions of Section 14 of the Plan, the number of Shares available for issuance under the Plan will be increased on the first day of each Fiscal Year beginning with the 2020 Fiscal Year, in an amount equal to the least of (i) 3,000,000 Shares, (ii) four percent (4%) of the outstanding Shares on the last day of the immediately preceding Fiscal Year or (iii) such number of Shares determined by the Board.
(c)    Lapsed Awards.  If an Award expires or becomes unexercisable without having been exercised in full, is surrendered pursuant to an Exchange Program, or, with respect to Restricted Stock, Restricted Stock Units, Performance Units or Performance Shares, is forfeited to or repurchased by the Company due to failure to vest, the unpurchased Shares (or for Awards other than Options or Stock Appreciation Rights the forfeited or repurchased Shares), which were subject thereto will become available for future grant or sale under the Plan (unless the Plan has terminated).  With respect to Stock Appreciation Rights, only Shares actually issued (i.e., the net Shares issued) pursuant to a Stock Appreciation Right will cease to be available under the Plan; all remaining Shares under Stock Appreciation Rights will remain available for future grant or sale under the Plan (unless the Plan has terminated).  Shares that have actually been issued under the Plan under any Award will not be returned to the Plan and will not become available for future distribution under the Plan; provided, however, that if Shares issued pursuant to Awards of Restricted Stock, Restricted Stock Units, Performance Shares or Performance Units are repurchased by the Company or are forfeited to the Company, such Shares will become available for future grant under the Plan.  Shares used to pay the exercise price of an Award or to satisfy the tax withholding obligations related to an Award will become available for future grant or sale under the Plan.  To the extent an Award under the Plan is paid out in cash rather than Shares, such cash payment will not result in reducing the number of Shares available for issuance under the Plan.  Notwithstanding the foregoing and, subject to adjustment as provided in Section 14, the maximum number of Shares that may be issued upon the exercise of Incentive Stock Options will equal the aggregate Share number stated in Section 3(a), plus, to the extent allowable under Section 422 of the Code and the Treasury Regulations promulgated thereunder, any Shares that become available for issuance under the Plan pursuant to Sections 3(b) and 3(c).  
(d)    Share Reserve.  The Company, during the term of this Plan, will at all times reserve and keep available such number of Shares as will be sufficient to satisfy the requirements of the Plan.

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4.    Administration of the Plan. 
(a)    Procedure.
(i)    Multiple Administrative Bodies.  Different Committees with respect to different groups of Service Providers may administer the Plan.
(ii)    Rule 16b-3.  To the extent desirable to qualify transactions hereunder as exempt under Rule 16b-3, the transactions contemplated hereunder will be structured to satisfy the requirements for exemption under Rule 16b-3.
(iii)    Other Administration.  Other than as provided above, the Plan will be administered by (A) the Board or (B) a Committee, which committee will be constituted to satisfy Applicable Laws.  
(b)    Powers of the Administrator.  Subject to the provisions of the Plan, and in the case of a Committee, subject to the specific duties delegated by the Board to such Committee, the Administrator will have the authority, in its discretion:
(i)    to determine the Fair Market Value;
(ii)    to select the Service Providers to whom Awards may be granted hereunder;
(iii)    to determine the number of Shares to be covered by each Award granted hereunder;
(iv)    to approve forms of Award Agreements for use under the Plan;
(v)    to determine the terms and conditions, not inconsistent with the terms of the Plan, of any Award granted hereunder.  Such terms and conditions include, but are not limited to, the exercise price, the time or times when Awards may be exercised (which may be based on performance criteria), any vesting acceleration or waiver of forfeiture restrictions, and any restriction or limitation regarding any Award or the Shares relating thereto, based in each case on such factors as the Administrator will determine;
(vi)    to institute and determine the terms and conditions of an Exchange Program;
(vii)    to construe and interpret the terms of the Plan and Awards granted pursuant to the Plan; 
(viii)    to prescribe, amend and rescind rules and regulations relating to the Plan, including rules and regulations relating to sub-plans established for the purpose of satisfying applicable non-U.S. laws or for qualifying for favorable tax treatment under applicable non-U.S. laws;

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(ix)    to modify or amend each Award (subject to Section 19 of the Plan), including but not limited to the discretionary authority to extend the post-termination exercisability period of Awards and to extend the maximum term of an Option (subject to Section 6(b) of the Plan regarding Incentive Stock Options);
(x)    to allow Participants to satisfy tax withholding obligations in such manner as prescribed in Section 15 of the Plan;
(xi)    to authorize any person to execute on behalf of the Company any instrument required to effect the grant of an Award previously granted by the Administrator;
(xii)    to allow a Participant to defer the receipt of the payment of cash or the delivery of Shares that would otherwise be due to such Participant under an Award; and
(xiii)    to make all other determinations deemed necessary or advisable for administering the Plan.
(c)    Effect of Administrator’s Decision.  The Administrator’s decisions, determinations and interpretations will be final and binding on all Participants and any other holders of Awards.
5.    Eligibility.  Nonstatutory Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units, Performance Shares and Performance Units may be granted to Service Providers.  Incentive Stock Options may be granted only to Employees.
6.    Stock Options.
(a)    Limitations.  Each Option will be designated in the Award Agreement as either an Incentive Stock Option or a Nonstatutory Stock Option.  However, notwithstanding such designation, to the extent that the aggregate fair market value of the shares with respect to which incentive stock options are exercisable for the first time by the Participant during any calendar year (under all plans of the Company and any Parent or Subsidiary) exceeds one hundred thousand dollars ($100,000), such options will be treated as nonstatutory stock options.  For purposes of this Section 6(a), incentive stock options will be taken into account in the order in which they were granted.  The fair market value of the shares will be determined as of the time the option with respect to such shares is granted.
(b)    Term of Option.  The term of each Option will be stated in the Award Agreement.  In the case of an Incentive Stock Option, the term will be ten (10) years from the date of grant or such shorter term as may be provided in the Award Agreement.  Moreover, in the case of an Incentive Stock Option granted to a Participant who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or any Parent or Subsidiary, the term of the Incentive Stock Option will be five (5) years from the date of grant or such shorter term as may be provided in the Award Agreement.

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(c)    Option Exercise Price and Consideration.
(i)    Exercise Price.  The per share exercise price for the Shares to be issued pursuant to exercise of an Option will be determined by the Administrator, subject to the following:
(1)    In the case of an Incentive Stock Option
(A)    granted to an Employee who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the voting power of all classes of stock of the Company or any Parent or Subsidiary, the per Share exercise price will be no less than one hundred ten percent (110%) of the Fair Market Value per Share on the date of grant.
(B)    granted to any Employee other than an Employee described in paragraph (A) immediately above, the per Share exercise price will be no less than one hundred percent (100%) of the Fair Market Value per Share on the date of grant.
(2)    In the case of a Nonstatutory Stock Option, the per Share exercise price will be no less than one hundred percent (100%) of the Fair Market Value per Share on the date of grant.
(3)    Notwithstanding the foregoing, Options may be granted with a per Share exercise price of less than one hundred percent (100%) of the Fair Market Value per Share on the date of grant pursuant to a transaction described in, and in a manner consistent with, Section 424(a) of the Code.
(ii)    Waiting Period and Exercise Dates.  At the time an Option is granted, the Administrator will fix the period within which the Option may be exercised and will determine any conditions that must be satisfied before the Option may be exercised.
(iii)    Form of Consideration.  The Administrator will determine the acceptable form of consideration for exercising an Option, including the method of payment.  In the case of an Incentive Stock Option, the Administrator will determine the acceptable form of consideration at the time of grant.  Such consideration may consist entirely of: (1) cash; (2) check; (3) promissory note, to the extent permitted by Applicable Laws, (4) other Shares, provided that such Shares have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which such Option will be exercised and provided that accepting such Shares will not result in any adverse accounting consequences to the Company, as the Administrator determines in its sole discretion; (5) consideration received by the Company under a broker-assisted (or other) cashless exercise program (whether through a broker or otherwise) implemented by the Company in connection with the Plan; (6) by net exercise; (7) such other consideration and method of payment for the issuance of Shares to the extent permitted by Applicable Laws; or (8) any combination of the foregoing methods of payment.
(d)    Exercise of Option.
(i)    Procedure for Exercise; Rights as a Stockholder.  Any Option granted hereunder will be exercisable according to the terms of the Plan and at such times and under such 

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conditions as determined by the Administrator and set forth in the Award Agreement.  An Option may not be exercised for a fraction of a Share.
An Option will be deemed exercised when the Company receives: (i) a notice of exercise (in such form as the Administrator may specify from time to time) from the person entitled to exercise the Option, and (ii) full payment for the Shares with respect to which the Option is exercised (together with applicable withholding taxes).  Full payment may consist of any consideration and method of payment authorized by the Administrator and permitted by the Award Agreement and the Plan.  Shares issued upon exercise of an Option will be issued in the name of the Participant or, if requested by the Participant, in the name of the Participant and his or her spouse.  Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive dividends or any other rights as a stockholder will exist with respect to the Shares subject to an Option, notwithstanding the exercise of the Option.  The Company will issue (or cause to be issued) such Shares promptly after the Option is exercised.  No adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 14 of the Plan.
Exercising an Option in any manner will decrease the number of Shares thereafter available, both for purposes of the Plan and for sale under the Option, by the number of Shares as to which the Option is exercised.
(ii)    Termination of Relationship as a Service Provider.  If a Participant ceases to be a Service Provider, other than upon the Participant’s termination as the result of the Participant’s death or Disability, the Participant may exercise his or her Option within such period of time as is specified in the Award Agreement to the extent that the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Award Agreement).  In the absence of a specified time in the Award Agreement, the Option will remain exercisable for three (3) months following the Participant’s termination.  Unless otherwise provided by the Administrator, if on the date of termination the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will revert to the Plan.  If after termination the Participant does not exercise his or her Option within the time specified by the Administrator, the Option will terminate, and the Shares covered by such Option will revert to the Plan.
(iii)    Disability of Participant.  If a Participant ceases to be a Service Provider as a result of the Participant’s Disability, the Participant may exercise his or her Option within such period of time as is specified in the Award Agreement to the extent the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Award Agreement).  In the absence of a specified time in the Award Agreement, the Option will remain exercisable for twelve (12) months following the Participant’s termination.  Unless otherwise provided by the Administrator, if on the date of termination the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will revert to the Plan.  If after termination the Participant does not exercise his or her Option within the time specified herein, the Option will terminate, and the Shares covered by such Option will revert to the Plan.
(iv)    Death of Participant.  If a Participant dies while a Service Provider, the Option may be exercised following the Participant’s death within such period of time as is specified in 

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the Award Agreement to the extent that the Option is vested on the date of death (but in no event may the option be exercised later than the expiration of the term of such Option as set forth in the Award Agreement), by the Participant’s designated beneficiary, provided such beneficiary has been designated prior to Participant’s death in a form acceptable to the Administrator.  If no such beneficiary has been designated by the Participant, then such Option may be exercised by the personal representative of the Participant’s estate or by the person(s) to whom the Option is transferred pursuant to the Participant’s will or in accordance with the laws of descent and distribution.  In the absence of a specified time in the Award Agreement, the Option will remain exercisable for twelve (12) months following Participant’s death.  Unless otherwise provided by the Administrator, if at the time of death Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will immediately revert to the Plan.  If the Option is not so exercised within the time specified herein, the Option will terminate, and the Shares covered by such Option will revert to the Plan.  
(v)    Tolling Expiration.  A Participant’s Award Agreement may also provide that:
(1)    if the exercise of the Option following the termination of Participant’s status as a Service Provider (other than upon the Participant’s death or Disability) would result in liability under Section 16(b), then the Option will terminate on the earlier of (A) the expiration of the term of the Option set forth in the Award Agreement, or (B) the tenth (10th) day after the last date on which such exercise would result in liability under Section 16(b); or
(2)    if the exercise of the Option following the termination of the Participant’s status as a Service Provider (other than upon the Participant’s death or Disability) would be prohibited at any time solely because the issuance of Shares would violate the registration requirements under the Securities Act, then the Option will terminate on the earlier of (A) the expiration of the term of the Option or (B) the expiration of a period of thirty (30)-day period after the termination of the Participant’s status as a Service Provider during which the exercise of the Option would not be in violation of such registration requirements. 
7.    Restricted Stock.
(a)    Grant of Restricted Stock.  Subject to the terms and provisions of the Plan, the Administrator, at any time and from time to time, may grant Shares of Restricted Stock to Service Providers in such amounts as the Administrator, in its sole discretion, will determine.
(b)    Restricted Stock Agreement.  Each Award of Restricted Stock will be evidenced by an Award Agreement that will specify the Period of Restriction, the number of Shares granted, and such other terms and conditions as the Administrator, in its sole discretion, will determine.  Unless the Administrator determines otherwise, the Company as escrow agent will hold Shares of Restricted Stock until the restrictions on such Shares have lapsed.
(c)    Transferability.  Except as provided in this Section 7 or the Award Agreement, Shares of Restricted Stock may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated until the end of the applicable Period of Restriction.

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(d)    Other Restrictions.  The Administrator, in its sole discretion, may impose such other restrictions on Shares of Restricted Stock as it may deem advisable or appropriate.
(e)    Removal of Restrictions.  Except as otherwise provided in this Section 7, Shares of Restricted Stock covered by each Restricted Stock grant made under the Plan will be released from escrow as soon as practicable after the last day of the Period of Restriction or at such other time as the Administrator may determine.  The Administrator, in its discretion, may accelerate the time at which any restrictions will lapse or be removed.  
(f)    Voting Rights.  During the Period of Restriction, Service Providers holding Shares of Restricted Stock granted hereunder may exercise full voting rights with respect to those Shares, unless the Administrator determines otherwise.
(g)    Dividends and Other Distributions.  During the Period of Restriction, Service Providers holding Shares of Restricted Stock will be entitled to receive all dividends and other distributions paid with respect to such Shares, unless the Administrator provides otherwise.  If any such dividends or distributions are paid in Shares, the Shares will be subject to the same restrictions on transferability and forfeitability as the Shares of Restricted Stock with respect to which they were paid.
(h)    Return of Restricted Stock to Company.  On the date set forth in the Award Agreement, the Restricted Stock for which restrictions have not lapsed will revert to the Company and again will become available for grant under the Plan.
8.    Restricted Stock Units.
(a)    Grant.  Restricted Stock Units may be granted at any time and from time to time as determined by the Administrator.  After the Administrator determines that it will grant Restricted Stock Units under the Plan, it will advise the Participant in an Award Agreement of the terms, conditions, and restrictions related to the grant, including the number of Restricted Stock Units.
(b)    Vesting Criteria and Other Terms.  The Administrator will set vesting criteria in its discretion, which, depending on the extent to which the criteria are met, will determine the number of Restricted Stock Units that will be paid out to the Participant.  The Administrator may set vesting criteria based upon the achievement of Company-wide, divisional, business unit, or individual goals (including, but not limited to, continued employment or service), applicable federal or state securities laws or any other basis determined by the Administrator in its discretion.
(c)    Earning Restricted Stock Units.  Upon meeting the applicable vesting criteria, the Participant will be entitled to receive a payout as determined by the Administrator.  Notwithstanding the foregoing, at any time after the grant of Restricted Stock Units, the Administrator, in its sole discretion, may reduce or waive any vesting criteria that must be met to receive a payout.
(d)    Form and Timing of Payment.  Payment of earned Restricted Stock Units will be made as soon as practicable after the date(s) determined by the Administrator and set forth in the 

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Award Agreement.  The Administrator, in its sole discretion, may only settle earned Restricted Stock Units in cash, Shares, or a combination of both.
(e)    Cancellation.  On the date set forth in the Award Agreement, all unearned Restricted Stock Units will be forfeited to the Company.
9.    Stock Appreciation Rights.  
(a)    Grant of Stock Appreciation Rights.  Subject to the terms and conditions of the Plan, a Stock Appreciation Right may be granted to Service Providers at any time and from time to time as will be determined by the Administrator, in its sole discretion.  
(b)    Number of Shares.  The Administrator will have complete discretion to determine the number of Stock Appreciation Rights granted to any Service Provider.
(c)    Exercise Price and Other Terms.  The per share exercise price for the Shares to be issued pursuant to exercise of a Stock Appreciation Right will be determined by the Administrator and will be no less than one hundred percent (100%) of the Fair Market Value per Share on the date of grant.  Otherwise, the Administrator, subject to the provisions of the Plan, will have complete discretion to determine the terms and conditions of Stock Appreciation Rights granted under the Plan.
(d)    Stock Appreciation Right Agreement.  Each Stock Appreciation Right grant will be evidenced by an Award Agreement that will specify the exercise price, the term of the Stock Appreciation Right, the conditions of exercise, and such other terms and conditions as the Administrator, in its sole discretion, will determine.
(e)    Expiration of Stock Appreciation Rights.  A Stock Appreciation Right granted under the Plan will expire ten (10) years from the date of grant or such shorter term as may be provided in the Award Agreement, as determined by the Administrator, in its sole discretion.  Notwithstanding the foregoing, the rules of Section 6(d) relating to exercise also will apply to Stock Appreciation Rights.
(f)    Payment of Stock Appreciation Right Amount.  Upon exercise of a Stock Appreciation Right, a Participant will be entitled to receive payment from the Company in an amount determined by multiplying:
(i)    The difference between the Fair Market Value of a Share on the date of exercise over the exercise price; times
(ii)    The number of Shares with respect to which the Stock Appreciation Right is exercised.
At the discretion of the Administrator, the payment upon Stock Appreciation Right exercise may be in cash, in Shares of equivalent value, or in some combination thereof.

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10.    Performance Units and Performance Shares. 
(a)    Grant of Performance Units/Shares.  Performance Units and Performance Shares may be granted to Service Providers at any time and from time to time, as will be determined by the Administrator, in its sole discretion.  The Administrator will have complete discretion in determining the number of Performance Units and Performance Shares granted to each Participant.
(b)    Value of Performance Units/Shares.  Each Performance Unit will have an initial value that is established by the Administrator on or before the date of grant.  Each Performance Share will have an initial value equal to the Fair Market Value of a Share on the date of grant.
(c)    Performance Objectives and Other Terms.  The Administrator will set performance objectives or other vesting provisions (including, without limitation, continued status as a Service Provider) in its discretion which, depending on the extent to which they are met, will determine the number or value of Performance Units/Shares that will be paid out to the Service Providers.  The time period during which the performance objectives or other vesting provisions must be met will be called the “Performance Period.”  Each Award of Performance Units/Shares will be evidenced by an Award Agreement that will specify the Performance Period, and such other terms and conditions as the Administrator, in its sole discretion, will determine.  The Administrator may set performance objectives based upon the achievement of Company-wide, divisional, business unit or individual goals (including, but not limited to, continued employment or service), applicable federal or state securities laws, or any other basis determined by the Administrator in its discretion.
(d)    Earning of Performance Units/Shares.  After the applicable Performance Period has ended, the holder of Performance Units/Shares will be entitled to receive a payout of the number of Performance Units/Shares earned by the Participant over the Performance Period, to be determined as a function of the extent to which the corresponding performance objectives or other vesting provisions have been achieved.  After the grant of a Performance Unit/Share, the Administrator, in its sole discretion, may reduce or waive any performance objectives or other vesting provisions for such Performance Unit/Share.
(e)    Form and Timing of Payment of Performance Units/Shares.  Payment of earned Performance Units/Shares will be made as soon as practicable after the expiration of the applicable Performance Period.  The Administrator, in its sole discretion, may pay earned Performance Units/Shares in the form of cash, in Shares (which have an aggregate Fair Market Value equal to the value of the earned Performance Units/Shares at the close of the applicable Performance Period) or in a combination thereof.
(f)    Cancellation of Performance Units/Shares.  On the date set forth in the Award Agreement, all unearned or unvested Performance Units/Shares will be forfeited to the Company, and again will be available for grant under the Plan.
11.    Outside Director Limitations.  No Outside Director may be paid, issued or granted, in any Fiscal Year, cash compensation and equity awards (including any Awards issued under this Plan) with an aggregate value greater than $500,000, increased to $1,000,000 in the Fiscal Year an Outside Director initially becomes a member of the Board (with the value of each equity award based on its 

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grant date fair value (determined in accordance with U.S. generally accepted accounting principles)).  Any cash compensation paid or Awards granted to an individual for his or her services as an Employee, or for his or her services as a Consultant (other than as an Outside Director), will not count for purposes of the limitation under this Section 11.
12.    Leaves of Absence/Transfer Between Locations.  Unless the Administrator provides otherwise, vesting of Awards granted hereunder will be suspended during any unpaid leave of absence.  A Participant will not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company, its Parent, or any Subsidiary.  For purposes of Incentive Stock Options, no such leave may exceed three (3) months, unless reemployment upon expiration of such leave is guaranteed by statute or contract.  If reemployment upon expiration of a leave of absence approved by the Company is not so guaranteed, then six (6) months following the first (1st) day of such leave any Incentive Stock Option held by the Participant will cease to be treated as an Incentive Stock Option and will be treated for tax purposes as a Nonstatutory Stock Option.
13.    Transferability of Awards.  Unless determined otherwise by the Administrator, an Award may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the Participant, only by the Participant.  If the Administrator makes an Award transferable, such Award will contain such additional terms and conditions as the Administrator deems appropriate.
14.    Adjustments; Dissolution or Liquidation; Merger or Change in Control.
(a)    Adjustments.  In the event that any dividend or other distribution (whether in the form of cash, Shares, other securities, or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange of Shares or other securities of the Company, or other change in the corporate structure of the Company affecting the Shares occurs, the Administrator, in order to prevent diminution or enlargement of the benefits or potential benefits intended to be made available under the Plan, will adjust the number and class of Shares that may be delivered under the Plan and/or the number, class, and price of Shares covered by each outstanding Award, and the numerical Share limits in Section 3 of the Plan.  
(b)    Dissolution or Liquidation.  In the event of the proposed dissolution or liquidation of the Company, the Administrator will notify each Participant as soon as practicable prior to the effective date of such proposed transaction.  To the extent it has not been previously exercised, an Award will terminate immediately prior to the consummation of such proposed action.
(c)    Change in Control.  In the event of a merger of the Company with or into another corporation or other entity or a Change in Control, each outstanding Award will be treated as the Administrator determines subject to the restriction in the following paragraph, including, without limitation, that each Award be assumed or an equivalent option or right substituted by the successor corporation or a Parent or Subsidiary of the successor corporation.  The Administrator will not be required to treat all Awards or Participants similarly in the transaction.

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In the event that the successor corporation does not assume or substitute for the Award, the Participant will fully vest in and have the right to exercise all of his or her outstanding Options and Stock Appreciation Rights, including Shares as to which such Awards would not otherwise be vested or exercisable, all restrictions on Restricted Stock and Restricted Stock Units will lapse, and, with respect to Awards with performance-based vesting, unless specifically provided otherwise under the applicable Award Agreement, a Company policy applicable to the Participant, or other written agreement between the Participant and the Company, all performance goals or other vesting criteria will be deemed achieved at one hundred percent (100%) of target levels and all other terms and conditions met.  In addition, if an Option or Stock Appreciation Right is not assumed or substituted in the event of a Change in Control, the Administrator will notify the Participant in writing or electronically that the Option or Stock Appreciation Right will be exercisable for a period of time determined by the Administrator in its sole discretion, and the Option or Stock Appreciation Right will terminate upon the expiration of such period.
For the purposes of this subsection (c), an Award will be considered assumed if, following the Change in Control, the Award confers the right to purchase or receive, for each Share subject to the Award immediately prior to the Change in Control, the consideration (whether stock, cash, or other securities or property) received in the Change in Control by holders of Common Stock for each Share held on the effective date of the transaction (and if holders were offered a choice of consideration, the type of consideration chosen by the holders of a majority of the outstanding Shares); provided, however, that if such consideration received in the Change in Control is not solely common stock of the successor corporation or its Parent, the Administrator may, with the consent of the successor corporation, provide for the consideration to be received upon the exercise of an Option or Stock Appreciation Right or upon the payout of a Restricted Stock Unit, Performance Unit or Performance Share, for each Share subject to such Award, to be solely common stock of the successor corporation or its Parent equal in fair market value to the per share consideration received by holders of Common Stock in the Change in Control.
Notwithstanding anything in this Section 14(c) to the contrary, an Award that vests, is earned or paid-out upon the satisfaction of one or more performance goals will not be considered assumed if the Company or its successor modifies any of such performance goals without the Participant’s consent; provided, however, a modification to such performance goals only to reflect the successor corporation’s post-Change in Control corporate structure will not be deemed to invalidate an otherwise valid Award assumption.  
(d)    Outside Director Awards.  With respect to Awards granted to an Outside Director, in the event of a Change in Control,  the Participant will fully vest in and have the right to exercise Options and/or Stock Appreciation Rights as to all of the Shares underlying such Award, including those Shares which would not otherwise be vested or exercisable, all restrictions on Restricted Stock and Restricted Stock Units will lapse, and, with respect to Awards with performance-based vesting, unless specifically provided otherwise under the applicable Award Agreement, a Company policy applicable to the Participant, or other written agreement between the Participant and the Company, all performance goals or other vesting criteria will be deemed achieved at one hundred percent (100%) of target levels and all other terms and conditions met.

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15.    Tax.
(a)    Withholding Requirements.  Prior to the delivery of any Shares or cash pursuant to an Award (or exercise thereof) or such earlier time as any tax withholding obligations are due, the Company will have the power and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy U.S. federal, state, or local taxes, non-U.S. taxes, or other taxes (including the Participant’s FICA obligation) required to be withheld with respect to such Award (or exercise thereof).  
(b)    Withholding Arrangements.  The Administrator, in its sole discretion and pursuant to such procedures as it may specify from time to time, may permit a Participant to satisfy such tax withholding obligation, in whole or in part by (without limitation) (i) paying cash, (ii) electing to have the Company withhold otherwise deliverable cash or Shares having a fair market value not in excess of the maximum statutory amount required to be withheld, or (iii) delivering to the Company already-owned Shares having a fair market value not in excess of the maximum statutory amount required to be withheld.  The fair market value of the Shares to be withheld or delivered will be determined as of the date that the taxes are required to be withheld.
(c)    Compliance With Section 409A.  Awards will be designed and operated in such a manner that they are either exempt from the application of, or comply with, the requirements of Section 409A such that the grant, payment, settlement or deferral will not be subject to the additional tax or interest applicable under Section 409A, except as otherwise determined in the sole discretion of the Administrator.  The Plan and each Award Agreement under the Plan is intended to meet the requirements of Section 409A and will be construed and interpreted in accordance with such intent, except as otherwise determined in the sole discretion of the Administrator.  To the extent that an Award or payment, or the settlement or deferral thereof, is subject to Section 409A the Award will be granted, paid, settled or deferred in a manner that will meet the requirements of Section 409A, such that the grant, payment, settlement or deferral will not be subject to the additional tax or interest applicable under Section 409A.  In no event will the Company (or any Parent or Subsidiary of the Company, as applicable) reimburse a Participant for any taxes imposed or other costs incurred as a result of Section 409A.
16.    No Effect on Employment or Service.  Neither the Plan nor any Award will confer upon a Participant any right with respect to continuing the Participant’s relationship as a Service Provider, nor will they interfere in any way with the Participant’s right or the right of the Company (or any Parent or Subsidiary of the Company) to terminate such relationship at any time, with or without cause, to the extent permitted by Applicable Laws.
17.    Date of Grant.  The date of grant of an Award will be, for all purposes, the date on which the Administrator makes the determination granting such Award, or such other later date as is determined by the Administrator.  Notice of the determination will be provided to each Participant within a reasonable time after the date of such grant.
18.    Term of Plan.  Subject to Section 23 of the Plan, the Plan will become effective upon the later to occur of (i) its adoption by the Board or (ii) the business day immediately prior to the 

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Registration Date.  It will continue in effect for a term of ten (10) years from the date adopted by the Board, unless terminated earlier under Section 19 of the Plan.
19.    Amendment and Termination of the Plan.
(a)    Amendment and Termination.  The Administrator may at any time amend, alter, suspend or terminate the Plan.  
(b)    Stockholder Approval.  The Company will obtain stockholder approval of any Plan amendment to the extent necessary and desirable to comply with Applicable Laws. 
(c)    Effect of Amendment or Termination.  No amendment, alteration, suspension or termination of the Plan will materially impair the rights of any Participant, unless mutually agreed otherwise between the Participant and the Administrator, which agreement must be in writing and signed by the Participant and the Company.  Termination of the Plan will not affect the Administrator’s ability to exercise the powers granted to it hereunder with respect to Awards granted under the Plan prior to the date of such termination.
20.    Conditions Upon Issuance of Shares.
(a)    Legal Compliance.  Shares will not be issued pursuant to an Award unless the exercise of such Award and the issuance and delivery of such Shares will comply with Applicable Laws and will be further subject to the approval of counsel for the Company with respect to such compliance.
(b)    Investment Representations.  As a condition to the exercise of an Award, the Company may require the person exercising such Award to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation is required.
21.    Inability to Obtain Authority.  The inability of the Company to obtain authority from any regulatory body having jurisdiction or to complete or comply with the requirements of any registration or other qualification of the Shares under any U.S. federal or state law, any non-U.S. law, or the rules and regulations of the Securities and Exchange Commission, the stock exchange on which Shares of the same class are then listed, or any other governmental or regulatory body, which authority, registration, qualification or rule compliance is deemed by the Company’s counsel to be necessary or advisable for the issuance and sale of any Shares hereunder, will relieve the Company of any liability in respect of the failure to issue or sell such Shares as to which such requisite authority, registration, qualification or rule compliance will not have been obtained.
22.    Clawback.  The Administrator may specify in an Award Agreement that the Participant’s rights, payments, and/or benefits with respect to an Award will be subject to reduction, cancellation, forfeiture, and/or recoupment upon the occurrence of certain specified events, in addition to any applicable vesting, performance or other conditions and restrictions of an Award.  Notwithstanding any provisions to the contrary under this Plan, an Award granted under the Plan shall be subject to the Company’s clawback policy (if any) as may be established and/or amended from time to time.  The 

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Board may require a Participant to forfeit or return to and/or reimburse the Company all or a portion of the Award and/or Shares issued under the Award, any amounts paid under the Award, and any payments or proceeds paid or provided upon disposition of the Shares issued under the Award, pursuant to the terms of such Company policy or as necessary or appropriate to comply with Applicable Laws.
23.    Stockholder Approval.  The Plan will be subject to approval by the stockholders of the Company within twelve (12) months after the date the Plan is adopted by the Board.  Such stockholder approval will be obtained in the manner and to the degree required under Applicable Laws. 

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SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
STOCK OPTION AGREEMENT 
Unless otherwise defined herein, the terms defined in the Silk Road Medical, Inc. 2019 Equity Incentive Plan (the “Plan”) will have the same defined meanings in this Stock Option Agreement, which includes the Notice of Stock Option Grant (the “Notice of Grant”), the Terms and Conditions of Stock Option Grant attached hereto as Exhibit A, the Exercise Notice attached hereto as Exhibit B, and all other exhibits and appendices attached hereto (all together, the “Option Agreement”). 
NOTICE OF STOCK OPTION GRANT
Participant:
Address:
The undersigned Participant has been granted an Option to purchase Common Stock of Silk Road Medical, Inc. (the “Company”), subject to the terms and conditions of the Plan and this Option Agreement, as follows:
	
			
	Grant Number:
	 

	 
	 
	 

	Date of Grant:
	 

	 
	 
	 

	Vesting Commencement Date:
	 

	 
	 
	 

	Number of Shares Granted:
	 

	 
	 
	 

	Exercise Price per Share (in U.S. Dollars):
	$

	 
	 
	 

	Total Exercise Price(in U.S. Dollars):
	$

	 
	 
	 

	Type of Option:
	 
	Incentive Stock Option

	 
	 
	 

	 
	 
	Nonstatutory Stock Option

	 
	 
	 

	Term/Expiration Date:
	 

	 
	 
	 

	Vesting Schedule:
	 
	 

Subject to accelerated vesting as set forth below or in the Plan, this Option will be exercisable, in whole or in part, in accordance with the following schedule:

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[Twenty-five percent (25%) of the Shares subject to the Option shall vest on the one (1) year anniversary of the Vesting Commencement Date, and one forty-eighth (1/48th) of the Shares subject to the Option shall vest each month thereafter on the same day of the month as the Vesting Commencement Date (and if there is no corresponding day, on the last day of the month), subject to Participant continuing to be a Service Provider through each such date.]  
Termination Period:
This Option will be exercisable for [three (3) months] after Participant ceases to be a Service Provider, unless such termination is due to Participant’s death or Disability, in which case this Option will be exercisable for [twelve (12) months] after Participant ceases to be a Service Provider.  Notwithstanding the foregoing sentence, in no event may this Option be exercised after the Term/Expiration Date as provided above and this Option may be subject to earlier termination as provided in Section 14 of the Plan.  
By Participant’s signature and the signature of the representative of the Company below, Participant and the Company agree that this Option is granted under and governed by the terms and conditions of the Plan and this Option Agreement, including the Terms and Conditions of Stock Option Grant, attached hereto as Exhibit A, all of which are made a part of this document.  Participant acknowledges receipt of a copy of the Plan.  Participant has reviewed the Plan and this Option Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Option Agreement, and fully understands all provisions of the Plan and this Option Agreement.  Participant hereby agrees to accept as binding, conclusive, and final all decisions or interpretations of the Administrator upon any questions relating to the Plan and the Option Agreement.  Participant further agrees to notify the Company upon any change in the residence address indicated below.

	
			
	PARTICIPANT
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 

	 
	 
	 

	 
	 
	 

	Signature
	 
	Signature

	 
	 
	 

	Print Name
	 
	Print Name

	 
	 
	 

	 
	 
	Title

	Address:
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

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EXHIBIT A
TERMS AND CONDITIONS OF STOCK OPTION GRANT
1.    Grant of Option.  
(a)    The Company hereby grants to the individual (“Participant”) named in the Notice of Stock Option Grant of this Option Agreement (the “Notice of Grant”) an option (the “Option”) to purchase the number of Shares set forth in the Notice of Grant, at the exercise price per Share set forth in the Notice of Grant (the “Exercise Price”), subject to all of the terms and conditions in this Option Agreement and the Plan, which is incorporated herein by this reference.  Subject to Section 19(c) of the Plan, in the event of a conflict between the terms and conditions of the Plan and the terms and conditions of this Option Agreement, the terms and conditions of the Plan will prevail.
(b)    For U.S. taxpayers, the Option will be designated as either an Incentive Stock Option (“ISO”) or a Nonstatutory Stock Option (“NSO”).  If designated in the Notice of Grant as an ISO, this Option is intended to qualify as an ISO under Section 422 of the Internal Revenue Code of 1986, as amended (the “Code”).  However, if this Option is intended to be an ISO, to the extent that it exceeds the $100,000 rule of Code Section 422(d) it will be treated as an NSO.  Further, if for any reason this Option (or portion thereof) will not qualify as an ISO, then, to the extent of such nonqualification, such Option (or portion thereof) shall be regarded as a NSO granted under the Plan.  In no event will the Administrator, the Company or any Parent or Subsidiary or any of their respective employees or directors have any liability to Participant (or any other person) due to the failure of the Option to qualify for any reason as an ISO.  
(c)    For non-U.S. taxpayers, the Option will be designated as an NSO.
2.    Vesting Schedule.  Except as provided in Section 3, the Option awarded by this Option Agreement will vest in accordance with the vesting provisions set forth in the Notice of Grant.  Shares subject to this Option that are scheduled to vest on a certain date or upon the occurrence of a certain condition will not vest in accordance with any of the provisions of this Option Agreement, unless Participant will have been continuously a Service Provider from the Date of Grant until the date such vesting occurs.
3.    Administrator Discretion.  The Administrator, in its discretion, may accelerate the vesting of the balance, or some lesser portion of the balance, of the unvested Option at any time, subject to the terms of the Plan.  If so accelerated, such Option will be considered as having vested as of the date specified by the Administrator.
4.    Exercise of Option.  
(a)    Right to Exercise.  This Option may be exercised only within the term set out in the Notice of Grant, and may be exercised during such term only in accordance with the Plan and the terms of this Option Agreement.

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(b)    Method of Exercise.  This Option is exercisable by delivery of an exercise notice (the “Exercise Notice”) in the form attached as Exhibit B to the Notice of Grant or in a manner and pursuant to such procedures as the Administrator may determine, which will state the election to exercise the Option, the number of Shares in respect of which the Option is being exercised (the “Exercised Shares”), and such other representations and agreements as may be required by the Company pursuant to the provisions of the Plan.  The Exercise Notice will be completed by Participant and delivered to the Company.  The Exercise Notice will be accompanied by payment of the aggregate Exercise Price as to all Exercised Shares and of any Tax Obligations (as defined in Section 6(a)).  This Option will be deemed to be exercised upon receipt by the Company of such fully executed Exercise Notice accompanied by the aggregate Exercise Price.  
5.    Method of Payment.  Payment of the aggregate Exercise Price will be by any of the following, or a combination thereof, at the election of Participant:
(a)    cash in U.S. dollars; 
(b)    check designated in U.S. dollars; 
(c)    consideration received by the Company under a formal cashless exercise program adopted by the Company in connection with the Plan; or
(d)    if Participant is a U.S. employee, surrender of other Shares which have a Fair Market Value on the date of surrender equal to the aggregate Exercise Price of the Exercised Shares and that are owned free and clear of any liens, claims, encumbrances, or security interests, provided that accepting such Shares, in the sole discretion of the Administrator, will not result in any adverse accounting consequences to the Company.
6.    Tax Obligations.  
(a)    Responsibility for Taxes.  Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer (the “Employer”) or Parent or Subsidiary to which Participant is providing services (together, the Company, Employer and/or Parent or Subsidiary to which the Participant is providing services, the “Service Recipient”), the ultimate liability for any tax and/or social insurance liability obligations and requirements in connection with the Option, including, without limitation, (i) all federal, state, and local taxes (including the Participant’s Federal Insurance Contributions Act (FICA) obligation) that are required to be withheld by the Company or the Service Recipient or other payment of tax-related items related to Participant’s participation in the Plan and legally applicable to Participant, (ii) the Participant’s and, to the extent required by the Company (or Service Recipient), the Company’s (or Service Recipient’s) fringe benefit tax liability, if any, associated with the grant, vesting, or exercise of the Option or sale of Shares, and (iii) any other Company (or Service Recipient) taxes the responsibility for which the Participant has, or has agreed to bear, with respect to the Option (or exercise thereof or issuance of Shares thereunder) (collectively, the “Tax Obligations”), is and remains Participant’s responsibility and may exceed the amount actually withheld by the Company or the Service Recipient.  Participant further acknowledges that the Company and/or the Service Recipient (A) make no representations or undertakings regarding the treatment of any Tax Obligations in connection with any aspect of the Option, including, but not limited to, the grant, vesting 

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or exercise of the Option, the subsequent sale of Shares acquired pursuant to such exercise and the receipt of any dividends or other distributions, and (B) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the Option to reduce or eliminate Participant’s liability for Tax Obligations or achieve any particular tax result.  Further, if Participant is subject to Tax Obligations in more than one jurisdiction between the Date of Grant and the date of any relevant taxable or tax withholding event, as applicable, Participant acknowledges that the Company and/or the Service Recipient (or former employer, as applicable) may be required to withhold or account for Tax Obligations in more than one jurisdiction.  If Participant fails to make satisfactory arrangements for the payment of any required Tax Obligations hereunder at the time of the applicable taxable event, Participant acknowledges and agrees that the Company may refuse to issue or deliver the Shares.
(b)    Tax Withholding. When the Option is exercised, Participant generally will recognize immediate U.S. taxable income if Participant is a U.S. taxpayer.  If Participant is a non-U.S. taxpayer, Participant will be subject to applicable taxes in his or her jurisdiction.  Pursuant to such procedures as the Administrator may specify from time to time, the Company and/or Service Recipient shall withhold the amount required to be withheld for the payment of Tax Obligations.  The Administrator, in its sole discretion and pursuant to such procedures as it may specify from time to time, may permit Participant to satisfy such Tax Obligations, in whole or in part (without limitation), if permissible by applicable local law, by (i) paying cash, (ii) electing to have the Company withhold otherwise deliverable Shares having a fair market value equal to the minimum amount that is necessary to meet the withholding requirement for such Tax Obligations (or such greater amount as Participant may elect if permitted by the Administrator, if such greater amount would not result in adverse financial accounting consequences), (iii) withholding the amount of such Tax Obligations from Participant’s wages or other cash compensation paid to Participant by the Company and/or the Service Recipient, (iv) delivering to the Company already vested and owned Shares having a fair market value equal to such Tax Obligations, or (v) selling a sufficient number of such Shares otherwise deliverable to Participant through such means as the Company may determine in its sole discretion (whether through a broker or otherwise) equal to the minimum amount that is necessary to meet the withholding requirement for such Tax Obligations (or such greater amount as Participant may elect if permitted by the Administrator, if such greater amount would not result in adverse financial accounting consequences).  To the extent determined appropriate by the Company in its discretion, it will have the right (but not the obligation) to satisfy any Tax Obligations by reducing the number of Shares otherwise deliverable to Participant.  Further, if Participant is subject to tax in more than one jurisdiction between the Date of Grant and a date of any relevant taxable or tax withholding event, as applicable, Participant acknowledges and agrees that the Company and/or the Service Recipient (and/or former employer, as applicable) may be required to withhold or account for tax in more than one jurisdiction.  If Participant fails to make satisfactory arrangements for the payment of any required Tax Obligations hereunder at the time of the Option exercise, Participant acknowledges and agrees that the Company may refuse to honor the exercise and refuse to deliver the Shares if such amounts are not delivered at the time of exercise.  
(c)    Notice of Disqualifying Disposition of ISO Shares.  If the Option granted to Participant herein is an ISO, and if Participant sells or otherwise disposes of any of the Shares acquired pursuant to the ISO on or before the later of (i) the date two (2) years after the Date of Grant, or (ii) the date one (1) year after the date of exercise, Participant will immediately notify the Company in writing 

-3-

of such disposition.  Participant agrees that Participant may be subject to income tax withholding by the Company on the compensation income recognized by Participant.
(d)    Code Section 409A.  Under Code Section 409A, a stock right (such as the Option) that vests after December 31, 2004 (or that vested on or prior to such date but which was materially modified after October 3, 2004) that was granted with a per share exercise price that is determined by the Internal Revenue Service (the “IRS”) to be less than the fair market value of an underlying share on the date of grant (a “discount option”) may be considered “deferred compensation.”  A stock right that is a “discount option” may result in (i) income recognition by the recipient of the stock right prior to the exercise of the stock right, (ii) an additional twenty percent (20%) federal income tax, and (iii) potential penalty and interest charges.  The “discount option” may also result in additional state income, penalty and interest tax to the recipient of the stock right.  Participant acknowledges that the Company cannot and has not guaranteed that the IRS will agree that the per Share exercise price of this Option equals or exceeds the fair market value of a Share on the date of grant in a later examination.  Participant agrees that if the IRS determines that the Option was granted with a per Share exercise price that was less than the fair market value of a Share on the date of grant, Participant shall be solely responsible for Participant’s costs related to such a determination.
7.    Rights as Stockholder.  Neither Participant nor any person claiming under or through Participant will have any of the rights or privileges of a stockholder of the Company in respect of any Shares deliverable hereunder unless and until certificates representing such Shares (which may be in book entry form) will have been issued, recorded on the records of the Company or its transfer agents or registrars, and delivered to Participant (including through electronic delivery to a brokerage account).  After such issuance, recordation, and delivery, Participant will have all the rights of a stockholder of the Company with respect to voting such Shares and receipt of dividends and distributions on such Shares.
8.    No Guarantee of Continued Service.  PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER, WHICH UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW IS AT THE WILL OF THE COMPANY (OR THE SERVICE RECIPIENT) AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS OPTION OR ACQUIRING SHARES HEREUNDER.  PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS OPTION AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND WILL NOT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF THE COMPANY (OR THE SERVICE RECIPIENT) TO TERMINATE PARTICIPANT’S RELATIONSHIP AS A SERVICE PROVIDER, SUBJECT TO APPLICABLE LAW, WHICH TERMINATION, UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW, MAY BE AT ANY TIME, WITH OR WITHOUT CAUSE.
9.    Nature of Grant.  In accepting the Option, Participant acknowledges, understands and agrees that:

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(a)    the grant of the Option is voluntary and occasional and does not create any contractual or other right to receive future grants of options, or benefits in lieu of options, even if options have been granted in the past; 
(b)    all decisions with respect to future option or other grants, if any, will be at the sole discretion of the Company; 
(c)    Participant is voluntarily participating in the Plan; 
(d)    the Option and any Shares acquired under the Plan are not intended to replace any pension rights or compensation;
(e)    the Option and Shares acquired under the Plan and the income and value of same, are not part of normal or expected compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments; 
(f)    the future value of the Shares underlying the Option is unknown, indeterminable, and cannot be predicted with certainty; 
(g)    if the underlying Shares do not increase in value, the Option will have no value; 
(h)    if Participant exercises the Option and acquires Shares, the value of such Shares may increase or decrease in value, even below the Exercise Price;
(i)    for purposes of the Option, Participant’s engagement as a Service Provider will be considered terminated as of the date Participant is no longer actively providing services to the Company or any Parent or Subsidiary (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service agreement, if any), and unless otherwise expressly provided in this Option Agreement (including by reference in the Notice of Grant to other arrangements or contracts) or determined by the Administrator, (i) Participant’s right to vest in the Option under the Plan, if any, will terminate as of such date and will not be extended by any notice period (e.g., Participant’s period of service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is a Service Provider or Participant’s employment or service agreement, if any, unless Participant is providing bona fide services during such time);  and (ii) the period (if any) during which Participant may exercise the Option after such termination of Participant’s engagement as a Service Provider will commence on the date Participant ceases to actively provide services and will not be extended by any notice period mandated under employment laws in the jurisdiction where Participant is employed or terms of Participant’s engagement agreement, if any; the Administrator shall have the exclusive discretion to determine when Participant is no longer actively providing services for purposes of his or her Option grant (including whether Participant may still be considered to be providing services while on a leave of absence and consistent with local law);  

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(j)    unless otherwise provided in the Plan or by the Copmpany in its discretion, the Option and the benefits evidenced by this Option Agreement do not create any entitlement to have the Option or any such benefits transferred to, or assumed by, another company nor to be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and
(k)    the following provisions apply only if Participant is providing services outside the United States:
(i)    the Option and the Shares subject to the Option are not part of normal or expected compensation or salary for any purpose; 
(ii)    Participant acknowledges and agrees that no Service Recipient shall be liable for any foreign exchange rate fluctuation between Participant’s local currency and the United States Dollar that may affect the value of the Option or of any amounts due to Participant pursuant to the exercise of the Option or the subsequent sale of any Shares acquired upon exercise; and
(iii)    no claim or entitlement to compensation or damages shall arise from forfeiture of the Option resulting from the termination of Participant’s engagement as a Service Provider (for any reason whatsoever, whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service agreement, if any), and in consideration of the grant of the Option to which Participant is otherwise not entitled, Participant irrevocably agrees never to institute any claim against any Service Recipient, waives his or her ability, if any, to bring any such claim, and releases each Service Recipient from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant shall be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all documents necessary to request dismissal or withdrawal of such claim.
10.    No Advice Regarding Grant.  The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding Participant’s participation in the Plan, or Participant’s acquisition or sale of the underlying Shares.  Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding his or her participation in the Plan before taking any action related to the Plan.
11.    Data Privacy.  Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of Participant’s personal data as described in this Option Agreement and any other Option grant materials by and among, as applicable, the Employer or other Service Recipient, the Company and any Parent or Subsidiary for the exclusive purpose of implementing, administering and managing Participant’s participation in the Plan.  
Participant understands that the Company and the Employer may hold certain personal information about Participant, including, but not limited to, Participant’s name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any Shares or directorships held in the Company, details of all Options or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in 

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Participant’s favor (“Data”), for the exclusive purpose of implementing, administering and managing the Plan.
Participant understands that Data will be transferred to a stock plan service provider as may be selected by the Company in the future, which is assisting the Company with the implementation, administration, and management of the Plan.  Participant understands that the recipients of the Data may be located in the United States or elsewhere, and that the recipient’s country of operation (e.g., the United States) may have different data privacy laws and protections than Participant’s country.  Participant understands that if he or she resides outside the United States, he or she may request a list with the names and addresses of any potential recipients of the Data by contacting his or her local human resources representative.  Participant authorizes the Company and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purposes of implementing, administering and managing Participant’s participation in the Plan.  Participant understands that Data will be held only as long as is necessary to implement, administer and manage Participant’s participation in the Plan.  Participant understands that if he or she resides outside the United States, he or she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing his or her local human resources representative.  Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis.  If Participant does not consent, or if Participant later seeks to revoke his or her consent, his or her engagement as a Service Provider and career with the Employer will not be adversely affected; the only adverse consequence of refusing or withdrawing Participant’s consent is that the Company would not be able to grant Participant Options or other equity awards or administer or maintain such awards.  Therefore, Participant understands that refusing or withdrawing his or her consent may affect Participant’s ability to participate in the Plan.  For more information on the consequences of Participant’s refusal to consent or withdrawal of consent, Participant understands that he or she may contact his or her local human resources representative.
12.    Address for Notices.  Any notice to be given to the Company under the terms of this Option Agreement will be addressed to the Company at Silk Road Medical, Inc., 1213 Innsbruck Dr., Sunnyvale, CA 94089, or at such other address as the Company may hereafter designate in writing.
13.    Non-Transferability of Option.  This Option may not be transferred in any manner otherwise than by will or by the laws of descent or distribution and may be exercised during the lifetime of Participant only by Participant.  
14.    Successors and Assigns.  The Company may assign any of its rights under this Option Agreement to single or multiple assignees, and this Option Agreement shall inure to the benefit of the successors and assigns of the Company.  Subject to the restrictions on transfer herein set forth, this Option Agreement shall be binding upon Participant and his or her heirs, executors, administrators, successors and assigns.  The rights and obligations of Participant under this Option Agreement may only be assigned with the prior written consent of the Company.

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15.    Additional Conditions to Issuance of Stock.  If at any time the Company will determine, in its discretion, that the listing, registration, qualification or rule compliance of the Shares upon any securities exchange or under any state, federal or non-U.S. law, the tax code and related regulations or under the rulings or regulations of the United States Securities and Exchange Commission or any other governmental regulatory body or the clearance, consent or approval of the United States Securities and Exchange Commission or any other governmental regulatory authority is necessary or desirable as a condition to the purchase by, or issuance of Shares, to Participant (or his or her estate) hereunder, such purchase or issuance will not occur unless and until such listing, registration, qualification, rule compliance, clearance, consent or approval will have been completed, effected or obtained free of any conditions not acceptable to the Company.  Subject to the terms of the Option Agreement and the Plan, the Company shall not be required to issue any certificate or certificates for Shares hereunder prior to the lapse of such reasonable period of time following the date of exercise of the Option as the Administrator may establish from time to time for reasons of administrative convenience.
16.    Language.  If Participant has received this Option Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.
17.    Interpretation.  The Administrator will have the power to interpret the Plan and this Option Agreement and to adopt such rules for the administration, interpretation and application of the Plan as are consistent therewith and to interpret or revoke any such rules (including, but not limited to, the determination of whether or not any Shares subject to the Option have vested).  All actions taken and all interpretations and determinations made by the Administrator in good faith will be final and binding upon Participant, the Company and all other interested persons.  Neither the Administrator nor any person acting on behalf of the Administrator will be personally liable for any action, determination, or interpretation made in good faith with respect to the Plan or this Option Agreement.
18.    Electronic Delivery and Acceptance.  The Company may, in its sole discretion, decide to deliver any documents related to the Option awarded under the Plan or future options that may be awarded under the Plan by electronic means or request Participant’s consent to participate in the Plan by electronic means.  Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through any on-line or electronic system established and maintained by the Company or a third party designated by the Company.
19.    Captions.  Captions provided herein are for convenience only and are not to serve as a basis for interpretation or construction of this Option Agreement.
20.    Agreement Severable.  In the event that any provision in this Option Agreement will be held invalid or unenforceable, such provision will be severable from, and such invalidity or unenforceability will not be construed to have any effect on, the remaining provisions of this Option Agreement.
21.    Amendment, Suspension or Termination of the Plan.  By accepting this Option, Participant expressly warrants that he or she has received an Option under the Plan, and has received, read, and understood a description of the Plan.  Participant understands that the Plan is discretionary in nature and may be amended, suspended or terminated by the Company at any time.

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22.    Governing Law and Venue.  This Option Agreement will be governed by the laws of California, without giving effect to the conflict of law principles thereof.  For purposes of litigating any dispute that arises under this Option or this Option Agreement, the parties hereby submit to and consent to the jurisdiction of the State of California, and agree that such litigation will be conducted in the courts of Santa Clara County, California, or the United States federal courts for the Northern District of California, and no other courts, where this Option is made and/or to be performed.
23.    Country Addendum.  Notwithstanding any provisions in this Option Agreement, this Option shall be subject to any special terms and conditions set forth in an appendix (if any) to this Option Agreement for any country whose laws are applicable to Participant and this Option (as determined by the Administrator in its sole discretion) (the “Country Addendum”).  Moreover, if Participant relocates to one of the countries included in the Country Addendum (if any), the special terms and conditions for such country will apply to Participant, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons.  The Country Addendum (if any) constitutes a part of this Option Agreement.
24.    Modifications to the Agreement.  This Option Agreement constitutes the entire understanding of the parties on the subjects covered.  Participant expressly warrants that he or she is not accepting this Option Agreement in reliance on any promises, representations, or inducements other than those contained herein.  Modifications to this Option Agreement or the Plan can be made only in an express written contract executed by a duly authorized officer of the Company.  Notwithstanding anything to the contrary in the Plan or this Option Agreement, the Company reserves the right to revise this Option Agreement as it deems necessary or advisable, in its sole discretion and without the consent of Participant, to comply with Code Section 409A or to otherwise avoid imposition of any additional tax or income recognition under Section 409A of the Code in connection with the Option.
25.    No Waiver.  Either party’s failure to enforce any provision or provisions of this Option Agreement shall not in any way be construed as a waiver of any such provision or provisions, nor prevent that party from thereafter enforcing each and every other provision of this Option Agreement.  The rights granted both parties herein are cumulative and shall not constitute a waiver of either party’s right to assert all other legal remedies available to it under the circumstances.
26.    Tax Consequences.  Participant has reviewed with his or her own tax advisors the U.S. federal, state, local and non-U.S. tax consequences of this investment and the transactions contemplated by this Option Agreement.  With respect to such matters, Participant relies solely on such advisors and not on any statements or representations of the Company or any of its agents, written or oral.  Participant understands that Participant (and not the Company) shall be responsible for Participant’s own tax liability that may arise as a result of this investment or the transactions contemplated by this Option Agreement.

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SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
STOCK OPTION AGREEMENT
COUNTRY ADDENDUM

TERMS AND CONDITIONS
This Country Addendum includes additional terms and conditions that govern the Option granted to Participant under the Plan if Participant works in one of the countries listed below.  If Participant is a citizen or resident of a country (or is considered as such for local law purposes) other than the one in which he or she is currently working or if Participant relocates to another country after receiving the Option, the Company will, in its discretion, determine the extent to which the terms and conditions contained herein will be applicable to Participant. 
Certain capitalized terms used but not defined in this Country Addendum shall have the meanings set forth in the Plan, and/or the Stock Option Agreement to which this Country Addendum is attached.
NOTIFICATIONS
This Country Addendum also includes notifications relating to exchange control and other issues of which Participant should be aware with respect to his or her participation in the Plan.  The information is based on the exchange control, securities and other laws in effect in the countries listed in this Country Addendum, as of                     .  Such laws are often complex and change frequently.  As a result, the Company strongly recommends that Participant not rely on the notifications herein as the only source of information relating to the consequences of his or her participation in the Plan because the information may be outdated when Participant exercises the Option or sells Shares acquired under the Plan.
In addition, the notifications are general in nature and may not apply to Participant’s particular situation, and the Company is not in a position to assure Participant of any particular result.  Accordingly, Participant is advised to seek appropriate professional advice as to how the relevant laws in Participant’s country may apply to Participant’s situation.  
Finally, if Participant is a citizen or resident of a country other than the one in which Participant is currently working (or is considered as such for local law purposes) or if Participant moves to another country after the Option is granted, the information contained herein may not be applicable to Participant.

EXHIBIT B
SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
EXERCISE NOTICE
Silk Road Medical, Inc.
1213 Innsbruck Dr.
Sunnyvale, CA 94089
Attention:  Stock Administration

1.    Exercise of Option.  Effective as of today, ________________, _____, the undersigned (“Purchaser”) hereby elects to purchase ______________ shares (the “Shares”) of the Common Stock of Silk Road Medical, Inc. (the “Company”) under and pursuant to the 2019 Equity Incentive Plan (the “Plan”) and the Stock Option Agreement, dated ________ and including the Notice of Grant, the Terms and Conditions of Stock Option Grant, and exhibits attached thereto (the “Option Agreement”).  The purchase price for the Shares will be $_____________, as required by the Option Agreement.
2.    Delivery of Payment.  Purchaser herewith delivers to the Company the full purchase price of the Shares and any Tax Obligations (as defined in Section 6(a) of the Option Agreement) to be paid in connection with the exercise of the Option.
3.    Representations of Purchaser.  Purchaser acknowledges that Purchaser has received, read and understood the Plan and the Option Agreement and agrees to abide by and be bound by their terms and conditions.
4.    Rights as Stockholder.  Until the issuance (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company) of the Shares, no right to vote or receive dividends or any other rights as a stockholder will exist with respect to the Shares subject to the Option, notwithstanding the exercise of the Option.  The Shares so acquired will be issued to Purchaser as soon as practicable after exercise of the Option.  No adjustment will be made for a dividend or other right for which the record date is prior to the date of issuance, except as provided in Section 14 of the Plan.
5.    Tax Consultation.  Purchaser understands that Purchaser may suffer adverse tax consequences as a result of Purchaser’s purchase or disposition of the Shares.  Purchaser represents that Purchaser has consulted with any tax consultants Purchaser deems advisable in connection with the purchase or disposition of the Shares and that Purchaser is not relying on the Company for any tax advice.
6.    Entire Agreement; Governing Law.  The Plan and Option Agreement are incorporated herein by reference.  This Exercise Notice, the Plan and the Option Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all 

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prior undertakings and agreements of the Company and Purchaser with respect to the subject matter hereof, and may not be modified adversely to the Purchaser’s interest except by means of a writing signed by the Company and Purchaser.  This Option Agreement is governed by the internal substantive laws, but not the choice of law rules, of California.
	
			
	Submitted by:
	 
	Accepted by:

	 
	 
	 

	PURCHASER
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 

	Signature
	 
	Signature

	 
	 
	 

	Print Name
	 
	Print Name

	 
	 
	 

	Address:
	 
	Title

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	Date Received

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SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
RESTRICTED STOCK UNIT AGREEMENT
NOTICE OF RESTRICTED STOCK UNIT GRANT
Unless otherwise defined herein, the terms defined in the Silk Road Medical, Inc. 2019 Equity Incentive Plan (the “Plan”) will have the same defined meanings in this Restricted Stock Unit Agreement, which includes the Notice of Restricted Stock Unit Grant (the “Notice of Grant”), the Terms and Conditions of Restricted Stock Unit Grant attached hereto as Exhibit A, and all other exhibits and appendices attached hereto (all together, the “Award Agreement”).
Participant:
Address:
The undersigned Participant has been granted the right to receive an Award of Restricted Stock Units, subject to the terms and conditions of the Plan and this Award Agreement, as follows:
	
			
	Grant Number:
	 
	 

	 
	 
	 

	Date of Grant:
	 
	 

	 
	 
	 

	Vesting Commencement Date:
	 
	 

	 
	 
	 

	Number of Restricted Stock Units:
	 
	 

Vesting Schedule:
Subject to any acceleration provisions contained in the Plan or set forth below, the Restricted Stock Units will vest in accordance with the following schedule:
[Twenty-five percent (25%) of the Restricted Stock Units will vest on the one (1) year anniversary of the Vesting Commencement Date, and one sixteenth (1/16th) of the Restricted Stock Units will vest quarterly thereafter on the same day as the Vesting Commencement Date, subject to Participant continuing to be a Service Provider through each such date.]
In the event Participant ceases to be a Service Provider for any or no reason before Participant vests in the Restricted Stock Units, the Restricted Stock Units and Participant’s right to acquire any Shares hereunder will immediately terminate.
By Participant’s signature and the signature of the representative of Silk Road Medical, Inc. (the “Company”) below, Participant and the Company agree that this Award of Restricted Stock Units is granted under and governed by the terms and conditions of the Plan and this Award Agreement, including the Terms and Conditions of Restricted Stock Unit Grant, attached hereto as 

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Exhibit A, all of which are made a part of this document.  Participant acknowledges receipt of a copy of the Plan.  Participant has reviewed the Plan and this Award Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Award Agreement, and fully understands all provisions of the Plan and this Award Agreement.  Participant hereby agrees to accept as binding, conclusive, and final all decisions or interpretations of the Administrator upon any questions relating to the Plan and the Award Agreement.  Participant further agrees to notify the Company upon any change in the residence address indicated below.
By accepting this Award Agreement, Participant expressly consents to the sale of Shares to cover the Tax Withholding Obligations (as defined in the Terms and Conditions of Restricted Stock Unit Grant) arising from the Restricted Stock Units and any associated broker or other fees and agrees and acknowledges that Participant may not satisfy them by any means other than such sale of Shares, unless required to do so by the Administrator or pursuant to the Administrator’s express written consent.  
	
			
	PARTICIPANT:
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 

	 
	 
	 

	 
	 
	 

	Signature
	 
	Signature

	 
	 
	 

	Print Name
	 
	Print Name

	 
	 
	 

	 
	 
	Title

	 
	 
	 

	Address:
	 
	 

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EXHIBIT A
TERMS AND CONDITIONS OF RESTRICTED STOCK UNIT GRANT
1.Grant of Restricted Stock Units.  The Company hereby grants to the individual (the “Participant”) named in the Notice of Grant of Restricted Stock Units of this Award Agreement (the “Notice of Grant”) under the Plan an Award of Restricted Stock Units, subject to all of the terms and conditions in this Award Agreement and the Plan, which is incorporated herein by reference.  Subject to Section 19(c) of the Plan, in the event of a conflict between the terms and conditions of the Plan and this Award Agreement, the terms and conditions of the Plan shall prevail.
2.Company’s Obligation to Pay.  Each Restricted Stock Unit represents the right to receive a Share on the date it vests.  Unless and until the Restricted Stock Units will have vested in the manner set forth in Section 3 or 4, Participant will have no right to payment of any such Restricted Stock Units.  Prior to actual payment of any vested Restricted Stock Units, such Restricted Stock Unit will represent an unsecured obligation of the Company, payable (if at all) only from the general assets of the Company.
3.Vesting Schedule.  Except as provided in Section 4, and subject to Section 5, the Restricted Stock Units awarded by this Award Agreement will vest in accordance with the vesting schedule set forth in the Notice of Grant, subject to Participant continuing to be a Service Provider through each applicable vesting date.
4.Payment after Vesting.
(a)General Rule.  Subject to Section 8, any Restricted Stock Units that vest will be paid to Participant (or in the event of Participant’s death, to his or her properly designated beneficiary or estate) in whole Shares.  Subject to the provisions of Section 4(b), such vested Restricted Stock Units shall be paid in whole Shares as soon as practicable after vesting, but in each such case within sixty (60) days following the vesting date.  In no event will Participant be permitted, directly or indirectly, to specify the taxable year of payment of any Restricted Stock Units payable under this Award Agreement.
(b)Acceleration.
(i)Discretionary Acceleration.  The Administrator, in its discretion, may accelerate the vesting of the balance, or some lesser portion of the balance, of the unvested Restricted Stock Units at any time, subject to the terms of the Plan.  If so accelerated, such Restricted Stock Units will be considered as having vested as of the date specified by the Administrator.  If Participant is a U.S. taxpayer, the payment of Shares vesting pursuant to this Section 4(b) shall in all cases be paid at a time or in a manner that is exempt from, or complies with, Section 409A.  The prior sentence may be superseded in a future agreement or amendment to this Award Agreement only by direct and specific reference to such sentence. 
(ii)Notwithstanding anything in the Plan or this Award Agreement or any other agreement (whether entered into before, on or after the Date of Grant), if the vesting of 

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the balance, or some lesser portion of the balance, of the Restricted Stock Units is accelerated in connection with Participant’s termination as a Service Provider (provided that such termination is a “separation from service” within the meaning of Section 409A, as determined by the Company), other than due to Participant’s death, and if (x) Participant is a U.S. taxpayer and a “specified employee” within the meaning of Section 409A at the time of such termination as a Service Provider and (y) the payment of such accelerated Restricted Stock Units will result in the imposition of additional tax under Section 409A if paid to Participant on or within the six (6) month period following Participant’s termination as a Service Provider, then the payment of such accelerated Restricted Stock Units will not be made until the date six (6) months and one (1) day following the date of Participant’s termination as a Service Provider, unless Participant dies following his or her termination as a Service Provider, in which case, the Restricted Stock Units will be paid in Shares to Participant’s estate as soon as practicable following his or her death. 
(c)Section 409A.  It is the intent of this Award Agreement that it and all payments and benefits to U.S. taxpayers hereunder be exempt from, or comply with, the requirements of Section 409A so that none of the Restricted Stock Units provided under this Award Agreement or Shares issuable thereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities herein will be interpreted to be so exempt or so comply.  Each payment payable under this Award Agreement is intended to constitute a separate payment for purposes of Treasury Regulation Section 1.409A-2(b)(2).  However, in no event will the Company reimburse Participant, or be otherwise responsible for, any taxes or costs that may be imposed on Participant as a result of Section 409A.  For purposes of this Award Agreement, “Section 409A” means Section 409A of the Code, and any final Treasury Regulations and Internal Revenue Service guidance thereunder, as each may be amended from time to time.
5.Forfeiture Upon Termination as a Service Provider.  Notwithstanding any contrary provision of this Award Agreement, if Participant ceases to be a Service Provider for any or no reason, the then-unvested Restricted Stock Units awarded by this Award Agreement will thereupon be forfeited at no cost to the Company and Participant will have no further rights thereunder.
6.Tax Consequences.  Participant has reviewed with his or her own tax advisors the U.S. federal, state, local and non-U.S. tax consequences of this investment and the transactions contemplated by this Award Agreement.  With respect to such matters, Participant relies solely on such advisors and not on any statements or representations of the Company or any of its agents, written or oral.  Participant understands that Participant (and not the Company) shall be responsible for Participant’s own tax liability that may arise as a result of this investment or the transactions contemplated by this Award Agreement.
7.Death of Participant.  Any distribution or delivery to be made to Participant under this Award Agreement will, if Participant is then deceased, be made to Participant’s designated beneficiary, or if no beneficiary survives Participant, the administrator or executor of Participant’s estate.  Any such transferee must furnish the Company with (a) written notice of his or her status as transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and compliance with any laws or regulations pertaining to said transfer.

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8.Tax Obligations
(a)Responsibility for Taxes.  Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer (the “Employer”) or Parent or Subsidiary to which Participant is providing services (together, the Company, Employer and/or Parent or Subsidiary to which the Participant is providing services, the “Service Recipient”), the ultimate liability for any tax and/or social insurance liability obligations and requirements in connection with the Restricted Stock Units, including, without limitation, (i) all federal, state, and local taxes (including the Participant’s Federal Insurance Contributions Act (FICA) obligation) that are required to be withheld by the Company or the Employer or other payment of tax-related items related to Participant’s participation in the Plan and legally applicable to Participant, (ii) the Participant’s and, to the extent required by the Company (or Service Recipient), the Company’s (or Service Recipient’s) fringe benefit tax liability, if any, associated with the grant, vesting, or settlement of the Restricted Stock Units or sale of Shares, and (iii) any other Company (or Service Recipient) taxes the responsibility for which the Participant has, or has agreed to bear, with respect to the Restricted Stock Units (or settlement thereof or issuance of Shares thereunder) (collectively, the “Tax Obligations”), is and remains Participant’s responsibility and may exceed the amount actually withheld by the Company or the Service Recipient.  Participant further acknowledges that the Company and/or the Service Recipient (A) make no representations or undertakings regarding the treatment of any Tax Obligations in connection with any aspect of the Restricted Stock Units, including, but not limited to, the grant, vesting or settlement of the Restricted Stock Units, the subsequent sale of Shares acquired pursuant to such settlement and the receipt of any dividends or other distributions, and (B) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the Restricted Stock Units to reduce or eliminate Participant’s liability for Tax Obligations or achieve any particular tax result.  Further, if Participant is subject to Tax Obligations in more than one jurisdiction between the Date of Grant and the date of any relevant taxable or tax withholding event, as applicable, Participant acknowledges that the Company and/or the Service Recipient (or former employer, as applicable) may be required to withhold or account for Tax Obligations in more than one jurisdiction.  If Participant fails to make satisfactory arrangements for the payment of any required Tax Obligations hereunder at the time of the applicable taxable event, Participant acknowledges and agrees that the Company may refuse to issue or deliver the Shares.
(b)Tax Withholding and Default Sell-to-Cover Method of Tax Withholding.  When Shares are issued as payment for vested Restricted Stock Units, Participant generally will recognize immediate U.S. taxable income if Participant is a U.S. taxpayer.  If Participant is a non-U.S. taxpayer, Participant will be subject to applicable taxes in his or her jurisdiction.  Subject to Section 8(c), the minimum amount of Tax Obligations which the Company determines must be withheld with respect to this Award (“Tax Withholding Obligation”) will be satisfied by Shares being sold on Participant’s behalf at the prevailing market price pursuant to such procedures as the Company may specify from time to time, including through a broker-assisted arrangement (it being understood that the Shares to be sold must have vested pursuant to the terms of this Award Agreement and the Plan) (the “Sell-to-Cover Method”).  The proceeds from the Sell-to-Cover Method will be used to satisfy Participant’s Tax Withholding Obligation arising with respect to this Award.  In addition to Shares sold to satisfy the Tax Withholding Obligation, additional Shares will be sold to 

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satisfy any associated broker or other fees.  Only whole Shares will be sold through the Sell-to-Cover Method to satisfy any Tax Withholding Obligation and any associated broker or other fees.  Any proceeds from the sale of Shares in excess of the Tax Withholding Obligation and any associated broker or other fees generated through the Sell-to-Cover Method will be paid to Participant in accordance with procedures the Company may specify from time to time.  By accepting this Award, Participant expressly consents to the sale of Shares to cover the Tax Withholding Obligation (and any associated broker or other fees) through the Sell-to-Cover Method and agrees and acknowledges that Participant may not satisfy them by any means other than such sale of Shares, unless required to do so by the Administrator or pursuant to the Administrator’s express written consent.
(c)Administrator Discretion.  Notwithstanding the foregoing Sections 8(a) and 8(b), if the Administrator determines it is in the best interests of the Company for Participant to satisfy Participant’s Tax Withholding Obligation by a method other than through the default Sell-to-Cover Method described in Section 8(b), it may permit or require Participant to satisfy Participant’s Tax Withholding Obligation, in whole or in part (without limitation), if permissible by Applicable Laws, by (i) paying cash, (ii) withholding the amount of such Tax Withholding Obligation from Participant’s wages or other cash compensation paid to Participant by the Company and/or the Service Recipient, (iii) delivering to the Company Shares that Participant owns and that have vested with a fair market value equal to the amount required to be withheld (or such greater amount up to the maximum statutory rate applicable to the Participant if permitted by the Administrator and provided such greater amount would not result in adverse financial accounting consequences to the Company as determined by the Administrator), (iv) by having the Company withhold otherwise deliverable Shares having a fair market value equal to the amount required to be withheld (or such greater amount up to the maximum statutory rate applicable to the Participant if permitted by the Administrator and provided such greater amount would not result in adverse financial accounting consequences to the Company as determined by the Administrator) or (v) such other means as the Administrator deems appropriate.  
(d)Company’s Obligation to Deliver Shares.  For clarification purposes, in no event will the Company issue Participant any Shares unless and until arrangements satisfactory to the Administrator have been made for the payment of Participant’s Tax Withholding Obligation. If Participant fails to make satisfactory arrangements for the payment of such Tax Withholding Obligations hereunder at the time any applicable Restricted Stock Units otherwise are scheduled to vest pursuant to Sections 3 or 4 or Participant’s Tax Withholding Obligations otherwise become due, Participant will permanently forfeit such Restricted Stock Units to which Participant’s Tax Withholding Obligation relates and any right to receive Shares thereunder and such Restricted Stock Units will be returned to the Company at no cost to the Company.  Participant acknowledges and agrees that the Company may refuse to issue or deliver the Shares if such Tax Obligations are not delivered at the time they are due.
9.Rights as Stockholder.  Neither Participant nor any person claiming under or through Participant will have any of the rights or privileges of a stockholder of the Company in respect of any Shares deliverable hereunder unless and until certificates representing such Shares (which may be in book entry form) will have been issued, recorded on the records of the Company or its transfer 

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agents or registrars, and delivered to Participant (including through electronic delivery to a brokerage account).  After such issuance, recordation, and delivery, Participant will have all the rights of a stockholder of the Company with respect to voting such Shares and receipt of dividends and distributions on such Shares.
10.No Guarantee of Continued Service.  PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE VESTING OF THE RESTRICTED STOCK UNITS PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER, WHICH UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW IS AT THE WILL OF THE COMPANY (OR THE SERVICE RECIPIENT) AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS RESTRICTED STOCK UNIT AWARD OR ACQUIRING SHARES HEREUNDER.  PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS AWARD AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF THE COMPANY (OR THE SERVICE RECIPIENT) TO TERMINATE PARTICIPANT’S RELATIONSHIP AS A SERVICE PROVIDER, SUBJECT TO APPLICABLE LAW, WHICH TERMINATION, UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW, MAY BE AT ANY TIME, WITH OR WITHOUT CAUSE.
11.Grant is Not Transferable.  Except to the limited extent provided in Section 7, this grant and the rights and privileges conferred hereby will not be transferred, assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and will not be subject to sale under execution, attachment or similar process.  Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose of this grant, or any right or privilege conferred hereby, or upon any attempted sale under any execution, attachment or similar process, this grant and the rights and privileges conferred hereby immediately will become null and void.
12.Nature of Grant.  In accepting the grant, Participant acknowledges, understands, and agrees that:
(a)the grant of the Restricted Stock Units is voluntary and occasional and does not create any contractual or other right to receive future grants of Restricted Stock Units, or benefits in lieu of Restricted Stock Units, even if Restricted Stock Units have been granted in the past; 
(b)all decisions with respect to future Restricted Stock Units or other grants, if any, will be at the sole discretion of the Company; 
(c)Participant is voluntarily participating in the Plan; 
(d)the Restricted Stock Units and the Shares subject to the Restricted Stock Units are not intended to replace any pension rights or compensation;

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(e)the Restricted Stock Units and the Shares subject to the Restricted Stock Units, and the income and value of same, are not part of normal or expected compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments; 
(f)the future value of the underlying Shares is unknown, indeterminable and cannot be predicted; 
(g)for purposes of the Restricted Stock Units, Participant’s status as a Service Provider will be considered terminated as of the date Participant is no longer actively providing services to the Company or any Parent or Subsidiary (regardless of the reason for such termination and whether or not later to be found invalid or in breach of employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service agreement, if any), and unless otherwise expressly provided in this Award Agreement (including by reference in the Notice of Grant to other arrangements or contracts) or determined by the Administrator, Participant’s right to vest in the Restricted Stock Units under the Plan, if any, will terminate as of such date and will not be extended by any notice period (e.g., Participant’s period of service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service agreement, if any, unless Participant is providing bona fide services during such time); the Administrator shall have the exclusive discretion to determine when Participant is no longer actively providing services for purposes of the Restricted Stock Units grant (including whether Participant may still be considered to be providing services while on a leave of absence and consistent with local law); 
(h)unless otherwise provided in the Plan or by the Company in its discretion, the Restricted Stock Units and the benefits evidenced by this Award Agreement do not create any entitlement to have the Restricted Stock Units or any such benefits transferred to, or assumed by, another company nor be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and
(i)the following provisions apply only if Participant is providing services outside the United States:
(i)the Restricted Stock Units and the Shares subject to the Restricted Stock Units are not part of normal or expected compensation or salary for any purpose;
(ii)Participant acknowledges and agrees that none of the Company, the Employer or any Parent or Subsidiary shall be liable for any foreign exchange rate fluctuation between Participant’s local currency and the United States Dollar that may affect the value of the Restricted Stock Units or of any amounts due to Participant pursuant to the settlement of the Restricted Stock Units or the subsequent sale of any Shares acquired upon settlement; and
(iii)no claim or entitlement to compensation or damages shall arise from forfeiture of the Restricted Stock Units resulting from the termination of Participant’s status as a 

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Service Provider (for any reason whatsoever whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is a Service Provider or the terms of Participant’s employment or service agreement, if any), and in consideration of the grant of the Restricted Stock Units to which Participant is otherwise not entitled, Participant irrevocably agrees never to institute any claim against the Company, any Parent or Subsidiary or the Service Recipient, waives his or her ability, if any, to bring any such claim, and releases the Company, any Parent or Subsidiary and the Service Recipient from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant shall be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all documents necessary to request dismissal or withdrawal of such claim.
13.No Advice Regarding Grant.  The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding Participant’s participation in the Plan, or Participant’s acquisition or sale of the underlying Shares.  Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding his or her participation in the Plan before taking any action related to the Plan.
14.Data Privacy.  Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of Participant’s personal data as described in this Award Agreement and any other Restricted Stock Unit grant materials by and among, as applicable, the Employer or other Service Recipient, the Company and any Parent or Subsidiary for the exclusive purpose of implementing, administering and managing Participant’s participation in the Plan.
Participant understands that the Company and the Service Recipient may hold certain personal information about Participant, including, but not limited to, Participant’s name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any Shares or directorships held in the Company, details of all Restricted Stock Units or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in Participant’s favor (“Data”), for the exclusive purpose of implementing, administering and managing the Plan.  
Participant understands that Data will be transferred to a stock plan service provider as may be selected by the Company in the future, which is assisting the Company with the implementation, administration, and management of the Plan.  Participant understands that the recipients of the Data may be located in the United States or elsewhere, and that the recipients’ country of operation (e.g., the United States) may have different data privacy laws and protections than Participant’s country.  Participant understands that if he or she resides outside the United States, he or she may request a list with the names and addresses of any potential recipients of the Data by contacting his or her local human resources representative.  Participant authorizes the Company, any stock plan service provider selected by the Company and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose of implementing, administering and managing his or her participation in the Plan.  Participant understands that Data will be held only as long as 

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is necessary to implement, administer and manage Participant’s participation in the Plan.  Participant understands if he or she resides outside the United States, he or she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing his or her local human resources representative.  Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis.  If Participant does not consent, or if Participant later seeks to revoke his or her consent, his or her status as a Service Provider and career with the Service Recipient will not be adversely affected; the only adverse consequence of refusing or withdrawing Participant’s consent is that the Company would not be able to grant Participant Restricted Stock Units or other equity awards or administer or maintain such awards.  Therefore, Participant understands that refusing or withdrawing his or her consent may affect Participant’s ability to participate in the Plan.  For more information on the consequences of Participant’s refusal to consent or withdrawal of consent, Participant understands that he or she may contact his or her local human resources representative.
15.Address for Notices.  Any notice to be given to the Company under the terms of this Award Agreement will be addressed to the Company at Silk Road Medical, Inc., 1213 Innsbruck Dr., Sunnyvale, CA 94089, or at such other address as the Company may hereafter designate in writing.
16.Electronic Delivery and Acceptance.  The Company may, in its sole discretion, decide to deliver any documents related to the Restricted Stock Units awarded under the Plan or future Restricted Stock Units that may be awarded under the Plan by electronic means or request Participant’s consent to participate in the Plan by electronic means.  Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through any on-line or electronic system established and maintained by the Company or a third party designated by the Company.
17.No Waiver.  Either party’s failure to enforce any provision or provisions of this Award Agreement shall not in any way be construed as a waiver of any such provision or provisions, nor prevent that party from thereafter enforcing each and every other provision of this Award Agreement.  The rights granted both parties herein are cumulative and shall not constitute a waiver of either party’s right to assert all other legal remedies available to it under the circumstances.
18.Successors and Assigns.  The Company may assign any of its rights under this Award Agreement to single or multiple assignees, and this Award Agreement shall inure to the benefit of the successors and assigns of the Company.  Subject to the restrictions on transfer herein set forth, this Award Agreement shall be binding upon Participant and his or her heirs, executors, administrators, successors and assigns.  The rights and obligations of Participant under this Award Agreement may only be assigned with the prior written consent of the Company.
19.Additional Conditions to Issuance of Stock.  If at any time the Company will determine, in its discretion, that the listing, registration, qualification or rule compliance of the Shares upon any securities exchange or under any state, federal or non-U.S. law, the tax code and related regulations or under the rulings or regulations of the United States Securities and Exchange 

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Commission or any other governmental regulatory body or the clearance, consent or approval of the United States Securities and Exchange Commission or any other governmental regulatory authority is necessary or desirable as a condition to the issuance of Shares to Participant (or his or her estate) hereunder, such issuance will not occur unless and until such listing, registration, qualification, rule compliance, clearance, consent or approval will have been completed, effected or obtained free of any conditions not acceptable to the Company.  Subject to the terms of the Award Agreement and the Plan, the Company shall not be required to issue any certificate or certificates for Shares hereunder prior to the lapse of such reasonable period of time following the date of vesting of the Restricted Stock Units as the Administrator may establish from time to time for reasons of administrative convenience.
20.Language.  If Participant has received this Award Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.
21.Interpretation.  The Administrator will have the power to interpret the Plan and this Award Agreement and to adopt such rules for the administration, interpretation and application of the Plan as are consistent therewith and to interpret or revoke any such rules (including, but not limited to, the determination of whether or not any Restricted Stock Units have vested).  All actions taken and all interpretations and determinations made by the Administrator in good faith will be final and binding upon Participant, the Company and all other interested persons.  Neither the Administrator nor any person acting on behalf of the Administrator will be personally liable for any action, determination, or interpretation made in good faith with respect to the Plan or this Award Agreement.
22.Captions.  Captions provided herein are for convenience only and are not to serve as a basis for interpretation or construction of this Award Agreement.
23.Amendment, Suspension or Termination of the Plan.  By accepting this Award, Participant expressly warrants that he or she has received an Award of Restricted Stock Units under the Plan, and has received, read, and understood a description of the Plan.  Participant understands that the Plan is discretionary in nature and may be amended, suspended or terminated by the Company at any time.
24.Modifications to the Award Agreement.  This Award Agreement constitutes the entire understanding of the parties on the subjects covered.  Participant expressly warrants that he or she is not accepting this Award Agreement in reliance on any promises, representations, or inducements other than those contained herein.  Modifications to this Award Agreement or the Plan can be made only in an express written contract executed by a duly authorized officer of the Company.  Notwithstanding anything to the contrary in the Plan or this Award Agreement, the Company reserves the right to revise this Award Agreement as it deems necessary or advisable, in its sole discretion and without the consent of Participant, to comply with Section 409A or to otherwise avoid imposition of any additional tax or income recognition under Section 409A in connection with this Award of Restricted Stock Units.

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25.Governing Law; Venue; Severability.  This Award Agreement and the Restricted Stock Units are governed by the internal substantive laws, but not the choice of law rules, of California.  For purposes of litigating any dispute that arises under these Restricted Stock Units or this Award Agreement, the parties hereby submit to and consent to the jurisdiction of the State of California, and agree that such litigation will be conducted in the courts of Santa Clara County, California, or the United States federal courts for the Northern District of California, and no other courts, where this Award Agreement is made and/or to be performed.  In the event that any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this Award Agreement shall continue in full force and effect. 
26.Entire Agreement.  The Plan is incorporated herein by reference.  The Plan and this Award Agreement (including the appendices and exhibits referenced herein) constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Participant with respect to the subject matter hereof, and may not be modified adversely to the Participant’s interest except by means of a writing signed by the Company and Participant.
27.Country Addendum.  Notwithstanding any provisions in this Award Agreement, the Restricted Stock Unit grant shall be subject to any special terms and conditions set forth in an appendix (if any) to this Award Agreement for any country whose laws are applicable to Participant and this Award of Restricted Stock Units (as determined by the Administrator in its sole discretion) (the “Country Addendum”).  Moreover, if Participant relocates to one of the countries included in the Country Addendum (if any), the special terms and conditions for such country will apply to Participant, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons.  The Country Addendum constitutes part of this Award Agreement.

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SILK ROAD MEDICAL, INC.
2019 EQUITY INCENTIVE PLAN
RESTRICTED STOCK UNIT AGREEMENT
COUNTRY ADDENDUM
TERMS AND CONDITIONS
This Country Addendum includes additional terms and conditions that govern the Award of Restricted Stock Units granted to Participant under the Plan if Participant works in one of the countries listed below.  If Participant is a citizen or resident of a country (or is considered as such for local law purposes) other than the one in which he or she is currently working or if Participant relocates to another country after receiving the Award of Restricted Stock Units, the Company will, in its discretion, determine the extent to which the terms and conditions contained herein will be applicable to Participant. 
Certain capitalized terms used but not defined in this Country Addendum shall have the meanings set forth in the Plan, and/or the Restricted Stock Unit Agreement to which this Country Addendum is attached.
NOTIFICATIONS
This Country Addendum also includes notifications relating to exchange control and other issues of which Participant should be aware with respect to his or her participation in the Plan.  The information is based on the exchange control, securities and other laws in effect in the countries listed in this Country Addendum, as of  [DATE].  Such laws are often complex and change frequently.  As a result, the Company strongly recommends that Participant not rely on the notifications herein as the only source of information relating to the consequences of his or her participation in the Plan because the information may be outdated when Participant vests in the Restricted Stock Units and acquires Shares, or when Participant subsequently sell Shares acquired under the Plan.
In addition, the notifications are general in nature and may not apply to Participant’s particular situation, and the Company is not in a position to assure Participant of any particular result.  Accordingly, Participant is advised to seek appropriate professional advice as to how the relevant laws in Participant’s country may apply to Participant’s situation.  
Finally, if Participant is a citizen or resident of a country other than the one in which Participant is currently working (or is considered as such for local law purposes) or if Participant moves to another country after receiving the Award of Restricted Stock Units, the information contained herein may not be applicable to Participant.Exhibit

Exhibit 10.6

Supply Agreement
This Supply Agreement (“Agreement”) is entered into as of the Effective Date by and between Cordis Corporation, a corporation duly organized and existing under the laws of the state of Florida and having its principal office at 430 Route 22 East, Bridgewater, NJ 08807-0908 (“Cordis” and a “Party”), and Silk Road Medical, Inc., a corporation duly organized and existing under the laws of the state of Delaware and having its principal office at 735 North Pastoria Avenue, Sunnyvale, California 94085 (“SRM”, a “Party”, and collectively with Cordis, the “Parties”).
WHEREAS, Cordis and SRM entered into a License Agreement on December 17, 2010 (“License Agreement”) whereby Cordis licensed to SRM certain intellectual property related to the PRECISE® Carotid Stent System, including the right to reference clinical data and other information contained in the Cordis Premarket Approval Application P030047, and all supplements thereto, for SRM to develop a modified stent delivery system optimized for transcervical.implantation of the PRECISE® carotid stent;
WHEREAS, the License Agreement contemplates, among other things, Cordis and SRM working together for the development, manufacture and supply of Product (defined below);
WHEREAS, SRM wishes to obtain supply of Product from Cordis for conducting preclinical and clinical trials with the Product and for commercializing Product upon SRM’s receipt of necessary regulatory approvals and/or clearances; and
WHEREAS, the Parties wish to work together pursuant to the terms of this Agreement.
NOW THEREFORE, in consideration of the premises and the mutual covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:
1.DEFINITIONS
All capitalized terms shall have the same meaning as in the License Agreement, unless otherwise defined herein this Article 1 or elsewhere in this Agreement.
1.1.    “Applicable Laws” means all laws, statutes, ordinances, codes, rules, regulations, guidelines and procedures enacted or made by any government, division or agency thereof with applicable jurisdiction, including a Regulatory Authority, that are in force during the Term.
1.2.    “Clinical Study” means a clinical study conducted by SRM to test the safety and/or efficacy and/or functional performance of the Product.
1.3.    “Development Services” shall have the meaning set forth in Section 2.2 of this Agreement.
1.4.    “Effective Date” of this Agreement shall mean the last date of signature below.

[***]     Information has been omitted and submitted separately to the Securities and Exchange Commission. Confidential 
treatment has been requested with respect to the omitted portions.

1.5.    “Facility” means the manufacturing facility owned by Cordis de Mexico, S.A. de C.V. located in Juarez, Mexico (“Cordis Mexico”), where the Development Services and the Product will be manufactured, and for which Cordis has a service agreement with Cordis de Mexico, S.A. de C.V. to perform services for Cordis as set forth in Section 2.5.
1.6.    “Product” shall mean a stent delivery system with a PRECISE® carotid stent, for use only for transcervical implantation, manufactured and packaged, sterilized, and supplied by Cordis or its affiliates or subcontractors, in accordance with the Specifications.  Until such time as the Specification is agreed to by the Parties in writing signed by an authorized representative of each Party, the Product shall mean a stent delivery system with a PRECISE® carotid stent for use only for transcervical implantation as described in the Product Description.
1.7.    “Product Description” shall mean the design inputs, as set forth in Exhibit 1, as may be amended by the Parties in writing signed by an authorized representative of each Party.
1.8.    “QS” shall mean (a) current Quality System Regulations (QSR), as defined by the FDA and International Conference on Harmonization (ICH) guidelines, including 21 C.F.R, § 820 et seq.; and (b) all laws, rules, guidelines, regulations and standards of governmental authorities (including without limitation ISO 9001/ISO13485) in the United States, Europe and/or at the location of the Facility, that apply to the Product, the manufacturing process, the documentation or the Facility, or any other facilities in which the manufacturing process is performed.
1.9.    “Specification” shall mean the device master record, including, but not limited to the guidelines and requirements for the design, composition, product safety assurance, manufacture, packaging, sterilization, and/or quality control for the Product, and the specification itself, which are agreed to in a writing signed by an authorized representative of each Party, and which following such written agreement, shall be incorporated by reference in this Agreement as if attached hereto.  Any amendment to the Specification may be made only according to the terms and conditions of Section 2.3 of this Agreement.
1.10.    “SRM Neuroprotection System” means MICHITM Neuroprotection System, an access and embolic protection system for transcervical carotid artery stenting procedures which is owned and/or controlled by SRM.
1.11.    “Term” shall have the meaning set forth in Section 11.1 of this Agreement.
2.    PRODUCT DEVELOPMENT AND MANUFACTURE
2.1.    Development and Manufacture.  Cordis will perform Development Services, manufacture, and sell the Product to SRM in conformance with the Specifications, QS, Applicable Laws and otherwise in accordance with the terms and conditions of this Agreement and the License Agreement,
2.2.    Design Development.  Cordis will perform the development services in accordance with Cordis’ standard design control procedures and as set forth in Exhibits 1-4 and the time periods set forth in Exhibit 4 (the “Development Services”), Cordis shall provide SRM the 

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design review deliverables and applicable documentation as set forth in Exhibit 2 (the “Design and Development Plan”).  As part of the Development Services, Cordis will supply Product to SRM according to the volume and schedule in Exhibit 3 for SRM’s internal testing purposes.
2.2.1.    Quality System.  Cordis will use its QS procedures, including, but not limited to its standard design control procedures for all Development Services and procedures for manufacturing, documentation control, purchasing control, material identification, production and process controls, inspection and measurement controls, product acceptance activities, and change control, as it pertains to the development and manufacture of the Product.
2.2.2.    Design and Development Planning.  Cordis will conduct design reviews and generate documents in accordance with Cordis’ standard design control procedures. Cordis will provide reasonable notice of all scheduled design reviews with respect to the Product and SRM will have the right to attend and contribute to the design reviews. If there are any delays by Cordis in the implementation of the Design and Development Plan, and meeting the timelines set forth therein, Cordis shall provide notice in writing of any such delays to SRM. In the event Cordis is unable to complete any of the Milestones (as defined in Section 2.4.1) upon the timelines set forth in Exhibit 4, Cordis shall provide notice in writing to SRM explaining any such delays, and the Parties shall meet and confer as to amendments to the timeline and how to expedite the completion of the Milestones within a reasonable timeframe.
2.3.    Changes to Manufacturing of Product.
2.3.1.    Cordis Changes. Notwithstanding Section 6.2(c) of the License
Agreement,
(i)    Cordis may make changes to the Specification and/or manufacture of the Product, without SRM’s approval (including without limitation the manufacturing processes and raw materials contained therein or otherwise used to manufacture the Product), provided that such changes are within the ranges set forth in the Specification and Cordis (a) provides advance written notice to SRM of such changes, and (b) provides to SRM, pursuant to the criteria set forth in Form 12364266 (attached as Exhibit 7 to this Agreement), as may be amended by Cordis, and Form 12553603, (attached as Exhibit 8 to this Agreement), as may be amended by Cordis, a regulatory assessment of the changes to the specification and/or manufacture of the PRECISE® Carotid Stent System, such assessment is provided “as is,” without any representations or warranties, and shall be treated as Cordis Confidential Information, and (c) provides timely confirmation to SRM that the regulatory assessment in 233 (i)(b) did not require approval of a Regulatory Authority for the changes to the specification and/or manufacture of the PRECISE® Carotid Stent System, 

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such confirmation is provided “as is,” without representations or warranties, and shall be treated as Cordis Confidential Information. hi the event that any change by Cordis within the ranges set forth in the Specification requires Cordis receive approval of a Regulatory Authority for the PRECISE® Carotid Stent System, and therefore SRM receive approval of a Regulatory Authority for the Product, SRM may within fifteen (15) days of the date of delivery of the regulatory assessment, submit to Cordis one (1) purchase order for up to six (6) months of forecast (the forecast as described in Exhibit 5, Section 1) Product, manufactured according to the pre-change Specification and manufacturing process, such six (6) month period shall begin the next immediate month following the date of notice and continue for the next five (5) months, and such Product to be delivered by Cordis to SRM upon mutually agreed to delivery dates in writing; except that if after using commercially reasonable efforts to obtain raw materials, such materials are not available, Cordis shall have no obligation to supply Product pursuant to this sentence. In the case of a change pursuant to Section 2.3.1(1), except as set forth in this Section 2.3.1(i), Cordis shall have no obligation to supply Product according to the pre-change Specification or manufacturing process.
(ii)    Cordis may make changes to the Specification and/or manufacture of the Product, outside the ranges set forth in the Specification, provided that (a) Cordis provides advance written notice to SRM of such changes, (b) Cordis provides a regulatory assessment of the changes to the specification and/or manufacture of the PRECISE® Carotid Stent System, such assessment is provided “as is,” without representations or warranties, and shall be treated as Cordis Confidential Information, and (c) Cordis provides SRM copies of engineering studies of the changes to the Specification and/or manufacture of the Product. In the case of a Cordis change pursuant to Section 2.3.1(ii) upon such written notice, SRM may within fifteen (15) days of the date of delivery of such notice, submit one (1) purchase order for up to six (6) months of forecast (the forecast as described in Exhibit 5, Section 1) Product, manufactured according to the pre-change Specification and manufacturing process, such six (6) month period shall begin the next immediate month following the date of notice and continue for the next five (5) months, and such Product to be delivered by Cordis to SRM upon mutually agreed to delivery dates; except that if after using 

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commercially reasonable efforts to obtain raw materials, such raw materials are not available, Cordis shall have no obligation to supply Product pursuant to this sentence. In the event that the change pursuant to this Section 2.3.1(0) relates to a change in the Facility, SRM may within fifteen (15) days of the date of delivery of such notice, submit one (1) purchase order for Product to be manufactured according to the pre-change Specification and manufacturing process, such amount not to exceed up to six (6) months of forecast (the forecast as described in Exhibit 5, Section 1) Product, such six (6) month period shall begin the next immediate month following the date of notice and continue for the next five (5) months, and such Product to be delivered by Cordis to SRM upon mutually agreed to delivery dates. In the case of a change pursuant to Section 2.3.1(0), except as set forth in this Section 2.3.1(0, Cordis shall have no obligation to supply Product according to the pre-change Specification or manufacturing process.
(iii)    Cordis shall provide advance notice to SRM of any proposed changes to Cordis’ methodology of conducting such regulatory assessments under Section 2.3.1(i) pursuant to Form 12364266 and Form 12553603, to permit SRM to timely evaluate any potential or actual impact of such changes on the Parties agreed-to procedure under this Section 2.3.1.
2.3.2.    SRM Changes.  If SRM requests any change to the Specification and/or manufacture of the Product, whether or not such change is within or outside of the ranges set forth in the Specification, SRM must submit the change to Cordis in writing specifying a detailed description of the change, rationale for the change, and requested date of implementation of the change.  Cordis shall review each SRM change request and either approve or reject the change request in writing within thirty (30) days of receipt of such written change request.  Specifically, any approval by Cordis to implement a change request must be done in writing signed by an authorized representative of Cordis, and shall specify a detailed description of the change and the estimated date or time period by which Cordis anticipates implementing such change.  If a change request is approved by Cordis according to this Section 2,3.2, and such change requires SRM receive approval of a Regulatory Authority, Cordis shall (i) provide to SRM any data generated by Cordis to validate a change that is required by Regulatory Authority and (ii) Cordis shall continue to supply SRM with the Product according to the pre-change Specification and manufacturing process until the earlier to occur of (a) approval of the change to the Product from a Regulatory Authority or (b) in the case that the same or similar change is submitted to a Regulatory Authority by Cordis for Cordis’ PRECISE® Carotid Stent System, upon Cordis’ receipt of approval of the change for Cordis’ PRECISE® Carotid Stent System. In the event that a similar change is submitted to a Regulatory Authority by Cordis for Cordis’ PRECISE® Carotid Stent System, and that change is approved by a Regulatory Authority before the similar change for the Product is approved by a Regulatory Authority, then Cordis will provide written notice of the approval for the Cordis PRECISE® Carotid Stent System and SRM 

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may within fifteen (15) days of the date of delivery of such notice, submit to Cordis one (1) purchase order for up to six (6) months of forecast (the forecast as described in Exhibit 5, Section 1) Product, manufactured according to the pre-change Specification and manufacturing process, such six (6) month period shall begin the next immediate month following the date of notice and continue for the next five (5) months, and such Product to be delivered by Cordis to SRM upon mutually agreed to delivery dates; except that if after using commercially reasonable efforts to obtain raw materials, such materials are not available, Cordis shall have no obligation to supply Product pursuant to this sentence. Nothing herein this Section 2.3.2 or elsewhere in this Agreement shall require Cordis to implement a change request by SRM.
2.4.    Payment for Development.
2.4.1.    Payment Terms.  SRM shall pay Cordis for the Development Service in accordance with the milestones set forth in Exhibit 4 (each a “Milestone”), and the terms and conditions of this Section 2.4 (the “Development Fees”).  Upon completion of each Milestone, Cordis shall submit an invoice to SRM for payment in accordance with Exhibit 4.  In the event that the Milestones set forth in Exhibit 4 are completed within one hundred and eighty (180) days from the Effective Date of this Agreement, SRM shall pay Cordis a one-time, non-creditable bonus of [******************] for early completion of the Milestones (“Early Bonus”).  For clarity, if Cordis does not complete all Milestones within one hundred and eighty (180) days from the Effective Date of this Agreement, Cordis shall not be entitled to the Early Bonus. All invoices shall be sent to the address specified in the purchase order therefor.  All payments shall be made by direct bank transfer to an account designated by Cordis’ invoice or by check payable to Cordis. Payment terms shall be thirty (30) days from SRM’s receipt of the applicable invoice.
2.5.    Subcontracting.  Cordis may subcontract the Development Services and any other activities under this Agreement, including without limitation, to Cordis Mexico, S.A. de C.V.; provided, however, that Cordis shall at all times remain responsible for the obligations under this Agreement and for any subcontractor’s performance of any of the Development Services and any other activities under this Agreement.
3.    PRODUCT SUPPLY
3.1.    Supply for Clinical Studies.  Cordis will manufacture for, and supply to, SRM Product for use in Clinical Studies as set forth in this Section 3.1.
3.1.1.    Clinical Studies Approvals.  SRM shall be solely responsible for obtaining any governmental approvals required for carrying out the Clinical Studies.  SRM shall obtain Institutional Review Board or Ethics Committee (or equivalent, as required by Applicable Law) review and approval of all aspects of each Clinical Study.
3.1.2.    Delivery.  Upon Cordis’ completion of the Development Services, SRM may submit purchase orders for Product to be used by SRM in a Clinical Study.  For supply of Product for use in a Clinical Study, SRM shall place orders by written purchase order a minimum of will deliver Products on or before the date of delivery set forth in the purchase order.  In the event Cordis becomes aware that it may be unable to deliver any Products within the time period set forth 

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in the immediate foregoing sentence, Cordis shall promptly notify SRM, and the Parties shall cooperate to develop a delivery schedule which is mutually agreeable.
3.2.    Commercial Supply.  Cordis will manufacture for, and supply to SRM, Product for SRM’s commercial sale commencing on the anticipated approval or clearance of the Product by a Regulatory Authority for marketing of the Product in the applicable jurisdiction by SRM.  The terms and conditions for forecasts, orders and deliveries for commercial Product are set forth in Exhibit 5 attached hereto,
3.3.    Minimum Volumes.  Except as set forth in Section 3.3.1, commencing the first calendar year following the later of (i) FDA approval or clearance of the Product, or (ii) FDA approval or clearance of the SRM Neuroprotection System, SRM agrees that SRM will purchase (A) a minimum of [***********] units of Product during the first full calendar year, and (B)  minimum of [**********] units of Product annually thereafter (the “Minimum Volume”).  The Minimum Volume shall be binding on SRM until the natural expiration of the License Agreement, due to expiration of the last-to-expire of the Licensed IP, if the License Agreement remains in effect through such natural expiration, For the avoidance of doubt, Cordis may terminate this Agreement according to Section 11.2., if SRM fails to meet the Minimum Volume requirement set forth in this Section 3.3 and Section 3.3.1.
3.3.1.    Minimum Volume Exceptions.  In the case SRM is permitted to have Nitinol Device and Components, Inc. or a third party Manufacturer provide supply of Product, according to the terms and conditions set forth in Section 10.1, sentence 2, the Minimum Volume shall not apply for the calendar year(s) in which Cordis is not able to supply Product or not able to supply Product in quantities required of Cordis as set forth in Exhibit 5, Section 2, and following such calendar year(s) the Minimum Volume shall be reduced by fifty percent (50%) for the remainder of the Term of this Agreement.
4.    PAYMENT FOR SUPPLY.
4.1.    Price.  Except as otherwise provided herein, the price for supply of Products under Section 3.1 or 3.2 shall be as set forth in Exhibit 6, and shall remain firm for the Term of this Agreement.  Cordis may proportionately increase the price for supply of Product if the cost of any raw material or component used to manufacture the Product or used in the actual Product increases by five percent (5%) or greater.  The price of Product does not include the fees, costs, and expenses for the transportation of the Product.  Each calendar year, the Parties will discuss in good faith whether any changes in volumes, market conditions, and/or cost savings achieved by Cordis in manufacturing the Product (including, without limitation, any reduction in prices of raw materials and components) warrant a reduction in price to SRM, and if so, what that reduction will be for the following year.  Any reduction in price of the Product must be agreed to in writing signed by an authorized representative of Cordis.
4.2.    Invoicing; Payment.  Cordis shall submit an invoice to SRM upon shipment of Product ordered by SRM hereunder.  All invoices shall be sent to the address specified in the purchase order therefor.  All payments shall be made by direct bank transfer to an account designated by Cordis’ invoice or by check payable to Cordis. Payment terms shall be thirty (30) days from the 

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later of (i) SRM’s receipt of an invoice or (ii) SRM’s receipt of the Products.  Payment by SRM shall not constitute acceptance of the Product or impair SRM’s right of inspection.
5.    QUALITY
5.1.    Quality Assurance.  All Products supplied by Cordis shall meet the current Specifications therefor and shall be manufactured in accordance with the Specifications, Applicable Laws and QS procedures at Cordis’ Facility,
5.1.1.    Cordis shall maintain ISO 13485 status, and shall inform SRM of any changes of this status, including any changes in manufacturing site.  Cordis shall provide SRM with a copy of its ISO certification,
5.1.2.    Cordis shall maintain component and production control procedures, and environmental controls in accordance with its standard internal operating procedures.  Cordis shall qualify and approve all suppliers of components and services according to Cordis’ standard internal operating procedures.
5.1.3.    Cordis shall provide copies of all available design verification and process validation testing results that have been performed by Cordis for the Product, as set forth in Exhibit 2.
5.1.4.    Cordis shall disclose to SRM in a timely manner material warning letters or similar notices received from a Regulatory Authority relating to the Facility or FDA import alerts for products manufactured in its Facility during the Term,
5.2.    Records.  Cordis shall maintain all records necessary to comply with the QS, Specifications and Applicable Laws relating to the manufacture, packaging, testing, storage and shipment of Products for a minimum of five (5) years; provided, however, that all records relating to the manufacture, stability, and quality control of each batch of Product shall be retained until the Parties mutually agree to dispose of such records.
5.3.    Audit.  Upon reasonable written notice given by SRM to Cordis, during normal business hours, and in such a manner that does not unreasonably interfere with Cordis’ normal business activities no more than once a year or upon any action by a Regulatory Authority relative to the Product or the Facility, Cordis shall permit a third party auditor mutually agreed upon by the Parties in writing, with agreement not to be unreasonably withheld, (and then only after such third party auditor agrees in writing to the keep Cordis’ Confidential Information confidential under the terms materially the same as those incorporated in this Agreement), to access and analyze the part of the Facility used for manufacturing, production and storage of Product and Cordis’ device master, device history and quality system records relating to the manufacture of the Product (including, without limitation, batch records and SOPs), and permit such third party auditor to (i) verify compliance of Cordis with this Agreement including QS and Applicable Laws, and (ii) make quality assurance audits of the facilities and of the procedures and processes used by Cordis in manufacturing, packaging, testing, storing and shipping Products.

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5.4.    Recalls.  The Parties acknowledge and agree that Section 6.7 (Removals and Corrections (Recalls)) of the License Agreement is hereby incorporated by reference into this Agreement. SRM shall be solely responsible for communicating and retrieving Product from third party customers, that is subject to any removal, correction or other field action relating to the Product.  Prior to SRM providing written communication to a third party customer, SRM shall provide Cordis with the proposed written communication, so that Cordis may review and provide input on the content of such communication. In the event Cordis does not provide its input (i) within twenty-four (24) hours after delivery of such proposed written communication by SRM to Cordis if such notice is initially provided on or during a business day, or (ii) by the close of the first business day following delivery of such proposed written communication by SRM to Cordis if such notice is initially provided on or during a weekend or a holiday, SRM may proceed to disperse such proposed written communication.  The costs, fees, and expenses of any removal, correction or other field action relating to a Product shall be solely paid by SRM, with the exception if the removal, correction or other field action is caused by Cordis’ failure to manufacture the Product to the Specifications, Cordis shall be responsible for the reasonable costs, fees and expenses of such removal, correction or field action to the extent the removal, correction or field action is related to Cordis’ failure to manufacture the Product to the Specifications.
5.5.    Defective Product.  SRM shall notify Cordis in writing of the existence and nature of any Product that it determines does not meet the Specifications, and SRM shall return the Product with a description of the defect to Cordis, within thirty (30) days of such determination by SRM.  Cordis shall have a reasonable opportunity, not to exceed fifteen (15) business days from receipt of notification and Product, to inspect such Product. Cordis shall within forty-five (45) days replace and pay for the cost of transportation and disposition of any item that Cordis determines does not meet the Specifications or is otherwise defective.  If, after Cordis’ inspection of any Product, the Parties disagree as to whether such Product meets the Specifications, Cordis may deliver the Product to an independent third-party laboratory, mutually and reasonably acceptable to both Parties, for testing to confirm such Product’s conformance to the Specifications.  All costs associated with such third-party testing shall be at SRM’s expense unless the tested item is deemed by such third-party to not meet the Specifications, in which case all such costs, including reimbursement of transportation and disposition costs, shall be promptly paid by Cordis to SRM.
6.    REPRESENTATIONS AND WARRANTIES; DISCLAIMERS
6.1.    Mutual Representations and Warranties.  In addition to the warranties set forth in Section 8.2.2, each Party represents and warrants to the other that: (i) it is duly organized, validly existing, and in good standing in the jurisdiction in which it is incorporated, (ii) it has full corporate power and authority to carry on its business as presently conducted and as contemplated in this Agreement, to execute and deliver this Agreement, and to perform its obligations hereunder; (iii) the execution, delivery and performance of this Agreement do not and will not (A) violate any law, rule, regulation, order, decree or permit which is applicable to it or (B) violate its organizational documents or any agreement to which it is a Party; and (iv) this Agreement is a legal and binding obligation of it, enforceable against it in accordance with its terms, except to the extent enforceability is modified by bankruptcy, reorganization and other similar laws affecting the rights of creditors generally and by general principles of equity.

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6.2.    Product Representations and Warranties.
6.2.1.     Cordis.  Cordis warrants and represents that: (i) all Product supplied to SRM hereunder shall comply with the Specifications for the Product; (ii) the Facility, and all Products supplied to SRM hereunder meet Applicable Laws, Regulatory Authority’s requirements for commercialization of the Product, and QS; (iii) Development Services shall be conducted in a professional manner, with due care and in accordance with industry standards, and (iv) title to all Products supplied to SRM hereunder shall pass to SRM as provided herein free and clear of any security interest, lien, or other encumbrance.
6.2.2.    SRM.  SRM agrees that the warranty set forth in Section 6.2.1 does not include Products that have defects or failures resulting from the design of the Product, as distinct from the manufacture or workmanship thereof, including without limitation, design functionality or failures relating to the function of the Product for SRM’s intended purpose.
6.3.    DEVELOPMENT SERVICES DISCLAIMER.  OTHER THAN AS EXPRESSLY SET FORTH IN SECTIONS 2.1, 22, 5.1, AND 6.1(iii) OF THIS AGREEMENT OR SECTION 7.2 OR SECTION 7.3 OF THE LICENSE AGREEMENT, THE DEVELOPMENT SERVICES PERFORMED BY CORDIS OR BY A THIRD PARTY CONTRACTED BY CORDIS (INCLUDING THE DELIVERABLES) ARE PROVIDED TO SRM “AS IS,” AND CORDIS AND ITS DIRECTORS, OFFICERS, EMPLOYEES, AND AFFILIATES MAKE NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARCULAR PURPOSE, OR NONINFRINGEMENT OF THE INTELLECTUAL PROPERTY RIGHTS OF A THIRD PARTY.
6.4.    PRODUCT DISCLAIMER.  OTHER THAN AS EXPRESSLY SET FORTH IN SECTIONS 2.1, 22, 5.1, 6.1 AND 6.2 OF THIS AGREEMENT OR SECTION 7.2 OR SECTION 7.3 OF THE LICENSE AGREEMENT, SRM AGREES THE WARRANTIES SET FORTH IN SECTION 6.2.1 OF THIS AGREEMENT ARE THE ONLY WARRANTIES APPLICABLE TO THE PRODUCT AND CORDIS AND ITS DIRECTORS, OFFICERS, EMPLOYEES, AND AFFILIATES MAKE NO OTHER REPRESENTATIONS OR WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, OR NONINFRINGEMENT OF THE INTELLECTUAL PROPERTY RIGHTS OF A THIRD PARTY.
7.    REGULATORY MATTERS
7.1.    Adverse Events.  The Parties acknowledge and agree that Section 6.6 (Handling of Customer Complaints/Medical Device Reporting/Adverse Reaction and Device Defect Reporting) of the License Agreement is hereby incorporated by reference into this Agreement.
7.2.    Communications.  The Parties acknowledge and agree that SRM is solely responsible for filing any and all medical device reports or otherwise communicating with the FDA or any other Regulatory Authority with respect to the Products.  If SRM files any medical device report concerning the Products, it will promptly notify Cordis of its filing in writing.  If Cordis is 

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required by Applicable Laws, or a Regulatory Authority to disclose information directly to such Regulatory Authority, Cordis shall promptly notify SRM in writing of the requirement and the particulars of the information required to be disclosed prior to such disclosure, and shall provide SRM copies of all information and materials provided to such authorities and summaries of communications with such authorities. Further, each Party shall have the right to be present and to participate at all face-to-face meetings and scheduled conference calls between the other Party and such Regulatory Authority or any Facility inspections with respect to the manufacturing of the Products under this Agreement.
7.3.    Government Inspection.  As it pertains to the manufacture of Products by Cordis, (i) Cordis shall permit the FDA and other Regulatory Authorities, as applicable, to conduct such inspections of the Facility as such authority may request, and shall cooperate with the Regulatory Authorities with respect to such inspections and any related matters, (ii) Cordis shall give SRM reasonable notice of any scheduled inspections, and notice within twenty four (24) hours after any unannounced visit or inspection by any Regulatory Authority, (iii) to the extent practical under the circumstances, Cordis shall allow SRM or its representative to assist in the preparation for and be present at such inspections, (iv) Cordis shall keep SRM informed about the results and conclusions of each such Regulatory Authority inspection, including actions taken by Cordis to remedy conditions cited in such inspections, and (v) Cordis shall promptly provide SRM with copies of any written inspection reports issued by such Regulatory Authority and all correspondence between Cordis and the Regulatory Authority involved, including, but not limited to, FDA Form 483 and all correspondence relating thereto.
8.    COMPLIANCE.
8.1.    General Compliance with Laws.  Each Party agrees to exercise commercially reasonable efforts to the extent required by law to materially comply with the applicable provisions of any Federal or state law and all executive orders, rules and regulations issued thereunder, whether now or hereafter in force, including Executive Order 11246, as amended, Chapter 60 of Title 41 of the Code of Federal Regulations, as amended, prohibiting discrimination against any employee or applicant for employment because of race, color, religion, sex or national origin; Section 60-741.1 of Chapter 60 of 41 Code of Federal Regulations, as amended, prohibiting discrimination against any employee or applicant for employment because of physical or mental handicap; Section 60.250.4 of Chapter 60 of 41 Code of Federal Regulations, as amended, providing for the employment of disabled veterans and veterans of the Vietnam era; Chapter 1 of Title 48 of the Code of Federal Regulations, as Amended, Federal Acquisition Regulations; Sections 6, 7 and 12 of the Fair Labor Standards Act, as amended, and the regulations and orders of the United States Department of Labor promulgated in connection therewith; and any provisions, representations or agreements required thereby to be included in this Agreement are hereby incorporated by reference.
8.2.    Healthcare Compliance Laws and Policies.  No part of any consideration paid hereunder is a prohibited payment for the recommending or arranging for the referral of business or the ordering of items or services; nor are any payments, or contributions of free products intended to induce illegal referrals of business.  Each Party shall exercise commercially reasonable efforts to materially comply with laws, regulations, including safe harbor regulations, and official guidance 

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pertaining to state and federal anti-kickback laws (42 U.S.C. §§ 1320a-7b, et seq. and its implementing regulations), and laws prohibiting the submission of false claims to governmental or private health care payors (31 U.S.C. §§ 3729, et seq. and its implementing regulations), and the Limitation on Certain Physician Referrals, also referred to as the “Stark Law” (42 U.S.C. 1395 (n)).  SRM represents and warrants that it understands and agrees that it shall use commercially reasonable efforts to ensure that the sale, distribution, and marketing of Product by SRM and its representatives shall be performed in material compliance with all laws and regulation, including, but not limited to, those healthcare related laws and regulations provided in this Section 8.2.  Each Party shall be responsible for using commercially reasonable efforts to materially for (i) ensuring that its employees, agents, representatives, independent contractors, officers and directors comply with the requirements of this Section 8.2, including conducting training as necessary, (ii) establishing a process for SRM and its employees, agents, representatives, independent contractors, officers and directors to report any violations of the compliance requirements set forth in this Section 8.2, and (iii) reporting any such compliance violations.  Any and all material violations must be reported by SRM to Cordis by calling 1-800-556-2596, and by Cordis to SRM, by calling 1-408-720-9002 extension 101, as the case may be.
8.2.1.    Patient and Individual Privacy Protections.
8.2.1.1.    Protected Health Information under HIPAA.  In the event that the investigation of Product complaints or other information about the Product involves the use or disclosure of Protected Health Information (as defined under the United States HIPAA Privacy Requirements) by health care providers, the Parties shall use commercially reasonable efforts to ensure that the use of the Protected Health Information materially complies with any HIPAA Privacy Requirements that apply to such Protected Health Information.  The “HIPAA Privacy Requirements” refer collectively to the applicable provisions of the Administrative Simplification section of HIPAA - the Health Insurance Portability and Accountability Act of 1996 (as codified at 42 U.S.C. § 1320d-8) and any regulations promulgated thereunder, including without limitation, the federal privacy regulations (45 CFR Parts 160 and 164) and the federal security standards (45 CFR Part 142).
8.2.1.2.    Consent to Use and Disclose Information.  In the event that the services provided under this Agreement involve direct interactions with patients, consumers or caregivers, SRM shall obtain written consent from any such persons providing Cordis the right to use and disclose the information collected from such persons.
8.2.2.    Debarment.  Each Party warrants that to the best of its knowledge and belief, it and its employees, agents and subcontractors are: (i) not excluded from a United States federal health care program as outlined in Sections 1128 and 1156 of the United States Social Security Act (see the Office of Inspector General of the Department of Health and Human Services List of Excluded Individuals/Entities at http://www.oig.hhs.gov/FRAUD/exclusions/listofexcluded.html); (ii) not debarred by the FDA under 21 United States Code 335a (see the FDA Office of Regulatory Affairs Debarment List at http://www.fda,gov/orakompliance ref/debar/); (iii) otherwise not excluded from contracting with the federal government (see the Excluded Parties Listing System at http://epls.arnet.gov); and (iv) if required, duly licensed and in good standing in 

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accordance with applicable state laws to perform its obligations under this Agreement.  In addition, the Parties agree to use commercially reasonable efforts to materially comply with all applicable laws, rules and regulations, including the federal anti-kickback stature (42 United States Code §§ 1320a-7(b)) and the related safe harbor regulations.  These shall be ongoing representations and warranties during the Term of this Agreement and each Party shall immediately notify the other Party of any change in the status of the representations and warranties set forth in this Section.
8.3.    Foreign Corrupt Practices Act.  In connection with this Agreement or the License Agreement, each Party will exercise commercially reasonable efforts to materially comply fully with the U.S. Foreign Corrupt Practices Act (“FCPA”) and the substantive provisions of applicable anti-bribery legislation, specifically those that were enacted to implement the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions dated November 21, 1997, as well as any amendments thereto (“Convention”).  Each Party will not make any payments or offers to pay anything of value to any government official in contravention of the FCPA or the Convention.  If at any time during the Term of this Agreement, either Party learns that any foreign government official (i) owns an interest in or is an officer, director or employee, agent, representative or independent contractor of such Party, or (ii) has any legal or beneficial interest in payments to be received by such Party hereunder, such Party will notify the other Party and take actions to ensure that such government official does not take any action, official or otherwise, and/or use any influence in connection with the other Party’s business.  Each Party warrants that it has not and will not pay or offer, directly or indirectly, any commission or finders or referral fee to any person or entity in connection with its activities under this Agreement unless it has obtained prior written approval from the other Party.
9.    PROPERTY RIGHTS; LICENSES; CORDIS DE MEXICO CONFIDENTIAL INFORMATION
9.1.    SRM Materials.  Other than as provided in Section 5 of the License Agreement, SRM shall retain all right, title and interest in and to the Specifications, designs, drawings, blueprints, paid for by SRM in connection with this Agreement or the License Agreement (collectively, the “SRM Materials”); and to the extent that Cordis would otherwise have any interest in or to the SRM Materials, Cordis hereby irrevocably transfers, conveys and assigns to SRM, and its successors and assigns, all right, title, and interest in and to the SRM Materials.  Cordis agrees to execute such documents and take such other actions as SRM may reasonably request to evidence and perfect the foregoing.  For the avoidance of doubt, SRM agrees that notwithstanding that SRM has all right, title and interest to the SRM Materials, SRM has no right to practice, duplicate or otherwise use Cordis Technology or Cordis Confidential Information contained in or incorporated by reference in SRM Materials, except to the extent permitted by the License Agreement and only for the period that the License Agreement is in effect.  Accordingly, SRM agrees that unless permitted by the License Agreement, SRM is prohibited from practicing, duplicating, or otherwise using the Cordis Technology or Cordis Confidential Information that is contained in such SRM Materials,
9.2.    License to Cordis.  In addition, to Section 5 of the License Agreement, SRM hereby grants to Cordis a non-exclusive, nontransferable license to the SRM Property solely to perform the Development Services and manufacture the Products ordered by SRM hereunder and 

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deliver such Products to SRM or its designee as specified in this Agreement.  For purposes of the foregoing, “SRM Property” shall mean SRM Materials, confidential information, data and such other intellectual property rights (including patent rights) owned or controlled by SRM during the Term of this Agreement, to the extent related to the development and manufacture of the Product.
9.3.    Cordis Mexico Confidential Information.  SRM recognizes and agrees that all information provided by Cordis Mexico to SRM shall be receive the same treatment as Cordis Confidential Information, as required by Section 9 of the License Agreement, Similarly, Cordis shall cause Cordis Mexico to be compliant with SRM Confidential Information as required by Section 9 of the License Agreement.
10.    THIRD PARTY MANUFACTURE AND FAILURE TO SUPPLY
10.1.    Third Party Manufacturer.  Notwithstanding the terms and conditions of Section 6.1(a) of the License Agreement, Cordis shall be the sole manufacturer of the Product during the Term of this Agreement, unless (i) Cordis fails to supply Product, as set forth in Section 10.2, (ii) Cordis provides written notice to SRM that it cannot meet SRM’s requirements of supply of Product, (iii) Cordis is not able or willing to make the improvements, modifications or changes to the Product requested by SRM according to the terms and conditions of Section 2.3.2, (iv) the Cordis facility is subject to a consent decree or injunction which materially adversely affects Cordis’ ability to supply SRM Product pursuant to the terms of this Agreement, or (v) the PRECISE® carotid stent is subject to an investigation or enforcement action by a Regulatory Authority or has been recalled, in either case in a way that materially adversely affects Cordis’ ability to supply SRM pursuant to the terms of this Agreement.  If any of the foregoing situations occurs, upon SRM’s election, (A) Cordis shall permit Nitinol Devices and Components, Inc. or a third party Manufacturer to provide supply of Product to SRM in accordance with Section 6.1 of the License Agreement, and (B) Cordis shall remain a manufacturer and supplier of Product to SRM under Sections 10.1(i)-(iii) to the extent Cordis is able to do so, even if Nitinol Devices and Components, Inc. or a third party Manufacturer is permitted also to supply product to SRM under Section 10.1(A).  If this Agreement is terminated by SRM according to Section 11.3.2 or by SRM or Cordis according to Section 11.3.3, or if Cordis terminates this Agreement for breach according to Section 11.2, or if, under subsection (v) of this Section, further manufacture by Nitinol Devices and Components, Inc. or a third party Manufacturer would not be legally permissible due to the nature of the investigation, enforcement action or recall (but only to the extent of the duration of the impermissibility), SRM shall not be permitted to have Nitinol Devices and Components, Inc. or a third party Manufacturer manufacture Product.  For the avoidance of doubt, and notwithstanding anything in this Agreement to the contrary, the Parties acknowledge and agree that SRM, without Cordis’ consent, may work directly with Nitinol Devices and Components, Inc. for the development and supply of next-generation products that materially expand or change the Specifications herein.
10.2.     Failure to Supply.  If Cordis fails to supply at least seventy five (75%) of the quantities of Product set forth in purchase orders for two (2) consecutive calendar quarters in accordance with either of Section 3.1 or Section 3.2 of this Agreement, then SRM shall seek supply from Nitinol Devices and Components, Inc. or a third party Manufacturer if Nitinol Devices and Components, Inc. is not able to manufacture, and in either case only with the advanced written 

-14-

consent of Cordis, with such consent not to be unreasonably withheld as provided in Section 6.1(a) of the License Agreement, Subject to Section 11.3.1, nothing in this Section 10.2 shall amend or revise SRM’s obligation to pay Cordis the Development Fees for the Development Services performed by Cordis, as set forth in Section 2.4 of this Agreement.
11.    TERM
11.1.    Term.  This Agreement shall commence on the Effective Date and shall continue in full force and effect until earlier to occur of (a) termination as provided in this Article 11, (b) termination of the License Agreement pursuant to the terms of the License Agreement, (c) the Parties mutually agree in writing signed by an authorized representative of each Party, to terminate this Agreement, or (d) upon election by SRM if and when Cordis approves another Manufacturer in accordance with Section 10.1 or 10.2 of this Agreement (the “Term”).
11.2.    Termination by Either Party for Cause or for Insolvency.  This Agreement may be terminated prior to the expiration of the Term, by written notice stating the grounds of termination, by either Party to the other Party, without payment of penalty or damages by the Party giving such notice, at any time during the Term of this Agreement: (a) if the other Party is in material breach of its obligations hereunder and has not cured such breach within thirty (30) days after written notice requesting cure of the breach (in the event the breach is cured within such thirty (30) day period the termination shall be of no effect), or (b) upon the filing or institution of bankruptcy, liquidation or receivership proceedings, provided, however, in the case of any involuntary bankruptcy proceeding such right to terminate shall only become effective if such other Party consents to the involuntary bankruptcy or such proceeding is not dismissed within ninety (90) days after the filing thereof.
11.3.    Other Termination Rights.
11.3.1.    Cordis.  Cordis may terminate this Agreement without penalty or damages upon One Hundred Eight (180) days’ prior written notice if (i) Cordis will no longer manufacture and/or sell the Cordis PRECISE carotid stent, or (ii) Cordis reduces capacity of its production facilities in a manner that materially impairs Cordis’ ability to supply to SRM Product in accordance with this Agreement, or (iii) Cordis permits Nitinol Devices and Components, Inc. or a third party Manufacturer to manufacture the Product pursuant to the terms of Section 10.1(iv) and 10.1(v) of this Agreement, provided that if either (i) and/or (ii) and/or (iii) occurs any time prior to (a) the first anniversary of the Effective Date, Cordis shall reimburse SRM for One Hundred Percent (100%) of the fees paid by SRM pursuant to Section 2.4, (b) the second anniversary of the Effective Date, Cordis shall reimburse SRM for Seventy Five Percent (75%) of the fees paid by SRM pursuant to Section 2.4 of this Agreement, or (c) the third anniversary of the Effective Date, Cordis shall reimburse SRM for Fifty Percent (50%) of the fees paid by SRM pursuant to Section 2.4 of this Agreement
11.3.2.    SRM.  SRM may terminate this Agreement sixty (60) days after written notice to Cordis in the event that SRM determines (i) it is not commercially reasonable to continue to pursue regulatory clearance or approval of the Product, (ii) the Product does not receive 

-15-

approval or clearance by a Regulatory Authority or such approval or clearance is withdrawn, or (iii) it will discontinue sale of Products.
11.3.3.    Termination for Regulatory Reasons.  Either Party may terminate this Agreement without penalty or damages in the event that regulatory clearance or approval in either the U.S. or the European Union is revoked, such revocation to constitute a presumption that the Product design is deemed unsafe.
11.4.    Effect of Expiration or Termination and Survival.  Expiration or termination of this Agreement shall not relieve either Party of any obligation of such Party accruing prior to such termination.  Any expiration or termination of this Agreement shall be without prejudice to the rights of either Party against the other Party which accrued or is accruing under this Agreement prior to expiration or termination.  The provisions of Article 1 (Definitions), Article 4 (Payment for Supply), Section 5.2 (Records), Section 5.3 (Audit) (for one year after termination), Section 5.4 (Recalls), Article 6 (Representations and Warranties; Disclaimers), Article 7 (Regulatory Matters), Article 8 (Compliance), Section 9.1 (SRM Materials), Section 9.3 (Cordis Mexico Confidential Information), Sections 11.2 —11.6 (Term), Article 12 (Indemnification), Article 13 (Insurance; Limitation on Damages) and Article 14, (Miscellaneous) survive expiration or termination of this Agreement as specified herein.
11.5.    Transition.  Upon termination of this Agreement pursuant to Section 11.3.1 and upon SRM’s request, Cordis shall, in accordance with the terms and conditions of this Agreement, permit SRM to within thirty (30) days of delivery of Cordis’ notice, to place one (1) purchase order for up to twelve (12) months of forecast (the forecast as described in Exhibit 5, Section 1) Product times 1.5 units, manufactured according to the pre-change Specification and manufacturing process, such twelve (12) month period shall begin the next immediate month following the date of notice and continue for the next eleven (11) months, and such Product to be delivered by Cordis to SRM, three (3) months, six (6) months, and nine (9) months following Cordis’ receipt of a purchase order, and each Product shall have upon Cordis shipment to SRM, a minimum use by date remaining of twenty-three (23) months.  In addition, to the extent manufacturing is permitted to move to Nitinol Devices and Components, Inc. or a third party Manufacturer in accordance with Section 6.1 of the License Agreement, Cordis and SRM shall work together to ensure orderly transition of the manufacturing responsibilities at SRM’s cost and expense.  For the avoidance of doubt, SRM shall bear the cost and expense of directly billed fees from Nitinol Devices and Components, Inc. or a third party Manufacturer in connection with establishing manufacturing capabilities and supply of Product, and Cordis will provide, at its cost and expense, reasonable transition assistance in accordance with Section 6.1(b) of the License Agreement, but only if the License Agreement is in effect,
11.6.    Excess and Obsolete Inventory.  Any reasonable inventory (including raw materials, components, work-in-process, or Product) or orders for components and raw materials which are non-cancelable, non-returnable, and otherwise non-usable (including by Cordis or its affiliates for purposes of manufacturing products other than Product) that were ordered by Cordis or its affiliates pursuant to binding orders and are rendered excess or obsolete due to (i) termination of this Agreement by Cordis for SRM’s breach of this Agreement as set forth in Section 11.2, or 

-16-

(ii) termination of this Agreement by either Cordis or SRM according to Section 11.3.2 or 11.3.3 of this Agreement, or (iii) to the extent of the cancellation of one or more of SRM’s purchase orders by SRM without cause, will be the sole financial responsibility of SRM.  SRM shall make payment to Cordis for all excess and obsolete inventory set forth in this Section, upon thirty (30) days of Cordis’ delivery of an invoice.
12.    INDEMNIFICATION
12.1.    SRM.  SRM shall indemnify, defend and hold harmless Cordis, its directors, officers, employees, agents, successors and assigns (the “Cordis Parties”) from and against any liabilities, expenses or costs (including reasonable attorneys’ fees and court costs) (“Damages”) arising out of any claim, complaint, suit, proceeding or cause of action against any of them by a third party, including a claim of patent infringement (“Claim”) resulting from (i) the design of the Product, (ii) the use of the MICHI Neuroprotection System; (iii) the use of the Product; (iv) the negligent or intentionally wrongful acts or omissions of SRM, its affiliates, or their directors, officers, agents, employees or consultants; (v) any breach by SRM of Section 8 or its representations and warranties in this Agreement; in the case of (iv) and (v) except to the extent any such Damages arise from, are caused by, or aggravated by the negligent or intentional misconduct of Cordis, the Cordis Parties, or Cordis’ indemnification obligations in Section 12.2.
12.2.    Cordis.  Cordis shall indemnify, defend and hold harmless SRM, its directors, officers, employees, agents, successors and assigns (the “SRM Parties”) from and against all Damages arising out of any Claim resulting from (i) the manufacture or supply of Product that fails to meet the Specifications, Applicable Laws, QS, or the requirements of this Agreement, (ii) the negligent or intentionally wrongful acts or omissions of Cordis, its affiliates, or their directors, officers, agents, employees or consultants; (iii) infringement of third party process intellectual property in the provision of Development Services or manufacture of Product; and (iv) any breach by Cordis of any of its representations and warranties or Section 8 of this Agreement; each of (i) — (iv) except to the extent any such Damages arise from, are caused by, or aggravated by the negligent or intentional misconduct of SRM, the SRM Parties, or SRM’s indemnification obligations in Section 12.1.
12.3.    Indemnification Procedure.  Any Cordis Party or SRM Party seeking indemnification under this Article 12 (the “Indemnitee”) shall promptly notify the indemnifying Party (the “Indemnitor”) in writing of such claim, including a detailed description of the claim (the “Indemnity Claim”).  The Indemnitor shall have the right to participate jointly with the Indemnitee in the Indemnitee’s defense, settlement or other disposition of any Indemnity Claim.  With respect to any Indemnity Claim relating solely to the payment of money damages and which could not result in the Indemnitee becoming subject to injunctive or other equitable relief or otherwise adversely affecting the business of the Indemnitee in any manner, and as to which the Indemnitor shall have acknowledged in writing the obligation to indemnify the Indemnitee hereunder, the Indemnitor shall have the sole right to defend, settle or otherwise dispose of such Indemnity Claim, on such terms as the Indemnitor, in its sole discretion, shall deem appropriate, provided that the Indemnitor shall not enter into an agreement or settlement which requires the Indemnitee to admit to guilt, liability or wrongdoing of any kind and further providing that the Indemnitor shall provide reasonable evidence 

-17-

of its ability to pay any damages claimed and with respect to any such settlement shall have obtained the written consent of the Indemnitee from the Indemnity Claim.  The Indemnitor shall obtain the written consent of the Indemnitee prior to ceasing to defend, settling or otherwise disposing of any Indemnity Claim if as a result thereof the Indemnitee would become subject to injunctive or other equitable relief or the business of the Indemnitee would be adversely affected in any manner,
13.    INSURANCE; LIMITATION ON DAMAGES.
13.1.    Insurance.  Prior to commencing human clinical trials in the United States with the Product, SRM shall, at its own expense, obtain and maintain , (i) product liability insurance providing protection in the amount of at least Three Million Dollars ($3,000,000) in annual aggregate against any claims, suits, losses or damages based upon any alleged defect in, or otherwise caused by, any Products purchased pursuant to this Agreement and (ii) general liability insurance providing protection in the amount of at least Three Million Dollars ($3,000,000) in annual aggregate against any claims, suits, losses or damages based upon any act or alleged activity of a Party pursuant to this Agreement.  Upon FDA clearance of the latter of the Product or the SRM Neuroprotection System, SRM shall, at its own expense, obtain and maintain (i) product liability insurance providing protection in the amount of at least Five Million Dollars ($5,000,000) in annual aggregate against any claims, suits, losses or damages based upon any alleged defect in, or otherwise caused by, any Products purchased pursuant to this Agreement and (ii) general liability insurance providing protection in the amount of at least Five Million Dollars ($5,000,000) in annual aggregate against any claims, suits, losses or damages based upon any act or alleged activity of a Party pursuant to this Agreement.  When SRM’s annual revenue of the Product exceeds Fifty Million Dollars ($50,000,000), SRM shall at its own expense, obtain and maintain (i) product liability insurance providing protection in the amount of at least Ten Million Dollars ($10,000,000) in annual aggregate against any claims, suits, losses or damages based upon any alleged defect in, or otherwise caused by, any Products purchased pursuant to this Agreement and (ii) general liability insurance providing protection in the amount of at least Ten Million Dollars ($10,000,000) in annual aggregate against any claims, suits, losses or damages based upon any act or alleged activity of a Party pursuant to this Agreement.  SRM shall maintain insurance as defined above throughout the Term of this Agreement and for a period of time thereafter for three (3) years or the shelf life of the Product, whichever is longer. SRM shall furnish to Cordis upon request and at least annually a Certificate of Insurance evidencing compliance with the provisions of this Section 13.1.  The existence of such coverage shall in no way limit a Party’s liability or obligations hereunder this Agreement.
13.2.    LIMITATION ON DAMAGES.  NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR ANY PUNITIVE, EXEMPLARY, MULTIPLIED, SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES, INCLUDING, BUT NOT LIMITED TO, PERSONAL INJURY AND PROPERTY DAMAGE, LOSS OF PROFITS OR REVENUES, AND EACH PARTY HERBY IRREVOCABLY WAIVES ANY RIGHT TO SEEK SUCH DAMAGES, IN ADDITION, NO PARTY SHALL BE AWARED ANY MULTIPLIER TO ANY AWARD OF ACTUAL DAMAGES, EXCEPT AS REQUIRED BY STATUTE,

-18-

14.    MISCELLANEOUS.
14.1.    Incorporation of License Agreement.  The applicable provisions of the License Agreement, including, without limitation, Articles 1 (Definitions), 2 (License Grants), 5 (Ownership and Prosecution of Patent Rights), 6 (Cooperation between Parties), 8 (Commercialization; Use of Names), 9 (Confidentiality), 10 (Right of First Negotiation), 11 (Transferability) (excluding Section 11.6), 12 (Termination), 13 (Dispute Resolution), and 14 (General excluding Section 14.1 (Integrated Agreement)) are hereby incorporated into this Agreement by reference and are binding on the Parties with respect to this Agreement.
14.2.    Entire Agreement.  This Agreement, together with the License Agreement between the Parties, constitutes the complete and exclusive statement of the agreement between the Parties, and supersedes all prior agreements, proposals, negotiations and communications between the Parties, both oral and written, regarding the subject matter hereof.  The language and terms of this Agreement and the License Agreement are intended to complement, supplement and be consistent with one another.  In case there is a conflict between any of the terms of the two Agreements, the language of the License Agreement shall control.

-19-

IN WITNESS WHEREOF, the Parties have executed this Agreement by their duly authorized representatives, to be effective as of the Effective Date.
	
					
	CORDIS CORPORATION
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 
	 
	 

	By:
	/s/ Jose A. Gonzalez
	 
	By:
	/s/ William Worthen

	Print:
	Jose A. Gonzalez
	 
	Print:
	William Worthen

	Title:
	VP OPS
	 
	Title:
	President & Chief Executive Officer

	Date:
	10/21/2011
	 
	Date:
	9/21/2011

Exhibit 1: Design Inputs
The design will include a shortened working length of the PRECISE® Carotid Stent System for transcervical implantation of the PRECISE® carotid stent, The design shall refer exclusively to a stent delivery system with a working length of 65 centimeters, The design will include validated packaging, package labeling, and sterilization, The design will include diameters and lengths as outlined in the table following:

	
		
	Stent Length(mm)
	Stent Diameter(mm)

	20
	5

	20
	6

	20
	7

	20
	8

	20
	9

	20
	10

	30
	5

	30
	6

	30
	7

	30
	8

	30
	9

	30
	10

	40
	5

	40
	6

	40
	7

	40
	8

	40
	9

	40
	10

-20-

Exhibit 2: Design and Development Plan
SECTION 1 - PROJECT SCOPE AND APPROACHES
PRODUCT DESCRIPTION
New design consists of a shortened working length of the Precise Carotid Stent System. Application and clinical indication is determined by SRM,
PROJECT SCOPE
Under the scope of this project Cordis will create and release 18 new Carotid Stent Delivery System catalogs - 65cm length. These include combinations of six (6) stent diameters (5, 6, 7, 8, 9 and 10 mm) and three stent lengths (20mm, 30mm and 40 mm),

	
		
	Stent Length(mm)
	Stent Diameter(mm)

	20
	5

	20
	6

	20
	7

	20
	8

	20
	9

	20
	10

	30
	5

	30
	6

	30
	7

	30
	8

	30
	9

	30
	10

	40
	5

	40
	6

	40
	7

	40
	8

	40
	9

	40
	10

-21-

Product tray will be qualified in as part of development of the product.
MANUFACTURING SITE
New Carotid Stent Delivery System catalogs with 65cm length assembly and packaging will be performed at Cordis de Mexico, Sterilization will be performed at Steris Isomedix Inc. sterilization facilities in El Paso, Texas,
FUNCTIONAL REPRESENTATIVES
	
			
	Team Member
	Roles
	Responsibilities

	OETS (Sustaining) / Operations

	James Merrit
	OETS (Sustaining) Director
	Overall Project Leadership.

	Victor Baylon
	OETS (Sustaining) Manager
	Project Manager. Provide input for this D&D plan.

	Laura Gisela Rico
	Lead) ETS (Sustaining) Engineer (Project Leader)
	Project leader. Plan and execute key activities as per this D&D plan.

	Laura C. Irigoyen
	OETS (Sustaining) Engineer
	Provide project support.

	Fabio Diaz
	OETS (Sustaining) Engineer
	Provide project support,

	Iris Castillo
	OETS (Sust/Contractor) - Packaging Engineer
	Provide project support in the area of packaging. Plan and execute key packaging related activities as per this D&D plan.

	Antolin Salazar
	OETS (Sustaining) Technician
	Provide project support.

	Victor Baylon
	Packaging Manager
	Overall Packaging Leadership

	Yipsi Bowley
	OETS (Sustaining) Engineer R&D Manager
	Provide Design Control support. Provide input for this D&D plan.

	R&D 

	Scott Jones
	R&D Engineer
	Provide support for planning & execution of Design Verification/Validation as per this D&D plan.

	Quality Assurance
	 
	 

	Nancy Amaya
	QA Director
	Overall QA leadership

	Hector Medrano
	QA Manager
	QA project management. Provide input into this D&D plan.

	Adriana Gamez
	PQS/FAL Manager
	Provide support/direction for this D&D Plan

	Sergio Muftoz
	QA Engineer
	QA Support

	Operations
	 
	 

	Karla Perea
	Mfg Manager
	Operations Management,

	Juan Carlos Gallegos
	Mfg Eng Ops
	Provide project support.

	Ignacio Arroniz
	Packaging Engineer
	Provide project support in the area of packaging, Plan and execute packaging related activities as per this D&D plan,

	Cross-Functional Support

	Sam Mirza
	Regulatory Affairs Manager
	Overall Regulatory Affairs project management, provide input for Regulatory Approach

	Independent Peers

	Shawn Kallivayalil
	R&D Mgr
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

	Araceli Muiloz
	QA Engineer
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

	Carlos Hem
	OPS Engineer
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

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Design & Development APPROACHES
Marketing
Marketing Objectives
Responsibility of SRM.
Volume Expectations
Demand expected is according to SRM Planning, current forecast as follows:

	
								
	unit forecast as of 2/2/11

	 
	2011
	2012
	2013
	2014
	2015
	2016
	2017

	Scenario 1
	[***]
	[***]
	[***]
	[***]
	[***]
	[***]
	[***]

	Scenario 2
	[***]
	[***]
	[***]
	[***]
	[***]
	[***]
	[***]

Note: Forecast may be revised in a subsequent revision of this Design and Development Plan.
Pricing Strategy
Pricing for final customer is managed by SRM.
Branding Name Strategy
Branding name strategy for 18 new Carotid Stent Delivery System catalogs - 65cm length will be selected by SRM.
Initial Sales Forecast and ISS Requirements
[*********] units will be manufactured as the Initial Shelf Stock (ISS) requirement for product launch. Manufacture and delivery of ISS is not included in Development Fees, SRM shall place a written purchase order for the ISS, the price of which is [********] per unit.
Desired Clinical Indications
To be determined by SRM (not part of this plan)
Desired Performance Claims
To be determined by SRM (not part of this plan)
Key Marketing Activities
To be determined by SRM (not part of this plan)
Regulatory
Distribution Region
To be determined by SRM (not part of this plan)
Regulatory Classification
To be determined by SRM (not part of this plan)

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Submission Type
To be determined by SRM (not part of this plan)
Regulatory Pathway
To be determined by SRM (not part of this plan)
Promotional Claims
To be determined by SRM (not part of this plan)
Import/Export Requirements:
To be determined by SRM (not part of this plan)
Testing Requirements
As determined by Cordis, Cordis will leverage the TDI’s corresponding to the PMA approved PRECISE products marketed by Cordis, except those that are specific to the new length (65 cm), which will be performed for the new length as set forth in the section Product Design Verification of this Design and Development Plan. Testing related to simulated use must be responsibility of SRM; since the clinical application of this product will be developed and validated by SRM.
Operations Planning
Carotid Stent Delivery System catalogs with 65cm length validation, such activities specified in this agreement will be managed per Cordis Quality System,
Design Reviews 
The following Technical Design Reviews (TDR) will be completed by Cordis for the carotid stent delivery system catalogs with 65cm length project:
		
	•
	Design Review I: Combined Design Input, Concept Selection and Planning & Design Output Technical Design Review (Prototypes testing completed)

		
	•
	Design Review II: Combined Verification/Validation and Design and Technology Transfer Technical Design Review (DV/PPQ Report approved)

Evidence of completion of Design Review I and Design Review II will be document as required per Cordis Quality System,
A Clinical Readiness Design Review is responsibility of SRM and will not be documented in the Cordis Quality System,
Design History File
A new electronic DHF will be created by Cordis for the 18 new Carotid Stent Delivery System catalogs - 65cm length project to allow for development and release of new documentation for these codes.

-24-

Risk Assessment and Mitigation 
SRM is responsible for the risk management plan documentation required for 18 new Carotid Stent Delivery System catalogs - 65cm length due to new application (transcervical approach).
Concept Evaluation and Selection — Product & Package
Concept Generation
Cordis will manufacture the product and SRM will brand the product.
Prototyping Activities
Prototypes will be run by Cordis as a pre-requisite of the Design Verification/Product Performance Qualification. A summary of these evaluations, including reliability analysis of the testing done will be captured in an engineering report written by Cordis and provided to SRM.
Design Assessments
There is neither animal testing nor customer use feedback from Cordis for the 18 new Carotid Stent
Delivery System catalogs - 65cm length. Clinical trial is responsibility of SRM,
Test Method Development
Existing Cordis Test Methods will be used by Cordis to assess the change in the length of the 18 new Carotid Stent Delivery System catalogs - 65cm. If any test method is not applicable based on the SRM intended use, technical design input must be addressed by SRM,
Design Characterization
Design Characterization Activities
A tolerance stack up analysis will be done by Cordis to determine lengths for the 18 new Carotid Stent Delivery System catalogs - 65cm length components, Outer Member, Support Member, and their components. This stack up analysis will be used to determine dimensions for the components and for the packaging.
Key design elements not being modified or impacted as a result of the 65cm product include the stent, SDS, packaging (except product tray), as existing components will be utilized and there is no change or impact at the manufacturing/process level. Changes will be done only to remove the Cordis and J&J branding.
Anticipated Design Iterations and Contingencies
There are no planned design iterations and contingencies.
Product Design Verification
Technical Design Inputs (TDIs) affected by the change on the length (65cm) will be tested by Cordis for the 18 new SRM Carotid Stent Delivery System catalogs - 65cm length project and will be based 

-25-

on length modification and size bracketing strategy., The only TDIs that Cordis will test are as follows:
		
	•
	Usable length

		
	•
	Exit port location

		
	•
	MB Positioning

		
	•
	Stent pre-deployment

		
	•
	OM stroke length

		
	•
	OM hub pull strength

		
	•
	OM Proximal OM Body elongation pull strength

		
	•
	Wire lumen/Proximal wire/PET Sleeve pull strength

		
	•
	SM distal hypotube/proximal wire pull strength

		
	•
	Coil Stop pull strength

		
	•
	Labeling content

For the avoidance of doubt, SRM will test TDIs for trackability and deployment force. Cordis will provide to SRM the following information (i) test method parameters and acceptance criteria Cordis uses to test Cordis’ PRECISE® Carotid Stent System for trackability and deployment force and which Cordis determines are applicable to the Product, and (ii) sample sizes Cordis uses to test Cordis’ PRECISE® Carotid Stent System for trackability and deployment force; so that SRM can develop and validate its own test methods for trackability and deployment force. Manufacture units for trackability and deployment force testing are included in the scope of the Development Fees up to the maximum number of units set forth in Exhibit 3 of the Supply Agreement.
For the avoidance of doubt, TDIs that will not be tested by Cordis for the 18 new Carotid Stent Delivery System catalogs - 65cm length project are:
		
	•
	Crossing profile

		
	•
	Luer fitting

		
	•
	Air embolization

		
	•
	Ability to aspirate

		
	•
	Wire lumen ID

		
	•
	SDS Tip TD

		
	•
	Deployment accuracy

		
	•
	OM hub/hemovalve joint torque

		
	•
	Pod/body fuse joint pull strength & elongation

		
	•
	Brite tip/pod fuse joint strength

		
	•
	Hub/hypotube pull strength

		
	•
	Hub/proximal wire pull strength

		
	•
	Wire lumen tip pull strength

-26-

Design Verification (DV) & Product Performance Qualification (PPQ) for the 18 new Carotid Stent Delivery System catalogs - 65cm length will be combined and will address qualification of the product. DV/PPQ units will be subjected to three EtO sterilization cycles.
Stability is not required as this product does not contain drug.
Packaging Design Verification 
Design Verification related to packaging are the impacted TDI’s related to the tray only. The only TDIs associated with the tray that Cordis will tested as part of the Design Verification for packaging are:
		
	•
	Product Migration

		
	•
	Product Visual Inspection

		
	•
	Packaging Integrity Test (Visual Inspection)

		
	•
	Package Challenge Test (Bubble Test)

		
	•
	Dye Penetration Test

		
	•
	Seal Pull Test

DV & PPQ for the packaging will be combined. DV/PPQ units will be subjected to three EtO sterilization cycles.
No aging testing will be performed by Cordis for the 18 new Carotid Stent Delivery System catalogs - 65cm length project.
Quality
Quality is addressed through Cordis Quality System.
Design Validation — Product/Package
Product
The Carotid Stent Delivery System catalogs with 65cm length will be manufactured for SRM.
Design Validation for SRM intended use of the product is responsibility of SRM.
Product labeling dimensions are:
		
	•
	Outer label: 5.625” x 9.625”

		
	•
	Inner label: 5.25” x 8.825”

SRM to provide label content to Cordis, Fasson Trans-Therm 2 material to be used by Cordis. No aging testing will be performed by Cordis for the 18 new Carotid Stent Delivery System catalogs -65cm length labeling.

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SRM to provide to Cordis artwork and content for both instructions for use and stent implant card for the DV/PPQ. For the avoidance of doubt, SRM is solely responsible for ensuring that the artwork and content of the instructions for use and stent implant card meet the requirements of all laws and regulations.
Cordis will purchase the materials for the instructions for use and stent implant card, which will fabricated by using the existing qualified Cordis specification (dimensions, materials, weight.)
No clinical trial will be done by Cordis to support the 18 new Carotid Stent Delivery System catalogs - 65cm length.
Process Validation
Project approach to Process Validation will be done according to Cordis Quality System,
Sterilization 
The Sterilization strategy is to be 3X EtO capable, which will be the same as current marketed devices (self expandable stents), Previous Cordis validations will be leveraged for sterilization.
DV/PPQ units for both product and its packaging for the 18 new Carotid Stent Delivery System catalogs - 65cm length will be subjected to three EtO sterilization cycles,
Complaint .11andlinz/FAL 
See License Agreement for Complaint Handling and FAL.
SECTION 2 — DESIGN & DEVELOPMENT SCHEDULE

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SECTION 3 - PROJECT DELIVERABLES 
The documentation set forth in 1 and 2 immediately below are the only deliverables of Cordis to SRM for the 18 new Carotid Stent Delivery System catalogs - 65cm length project:
		
	1.
	Carotid stent delivery system (femoral access approach) documentation that will be leveraged by Cordis:

		
	a,
	Sterility Assurance Assessment

		
	b.
	Product Description

		
	c.
	Operations Strategy and Manufacturing Readiness (manufacturing process documentation)

		
	d.
	Biocompatibility (Nan and Summary Report)

		
	e.
	Supplier Qualification (Including: Specification, Strategy, Checklist, and Agreement. New SQS will be done ONLY for affected components)

		
	f.
	Environmental Impact Assessment

		
	g,
	Shelf Life Test (Protocols/Reports) to support 24 month shelf life

		
	h.
	Software Validation (Protocols/Reports)

		
	i.
	Physical Test Methods (Validation Protocols/Reports)

		
	j.
	Essential Requirement Checklist

		
	k.
	DFMEA, PFMEA, MQP, AFMEA (for application elements not impacted by the length change or SRM intended use.)

		
	2
	Documents that will be created by Cordis for SRM:

		
	a.
	Design Review I and Design Review II

		
	b.
	Design Summary (Related to length change)

		
	c.
	Product Configuration (Drawings, Specifications, etc., to reflect length change)

		
	d.
	Process Validation Strategy (Validation Change Management Assessment)

		
	e.
	Supplier Qualification (Process Strategy, Checklist for affected components)

		
	f.
	Installation Qualification/Operational Qualification (Protocols/Reports as required)

		
	g.
	Combined Design Verification /Product Performance Qualification (Protocols/Reports)

		
	h.
	Product Configuration (Bill of Materials, Route Sheets for 18 new Carotid Stent Delivery System catalogs - 65cm length)

		
	i.
	Sterility Assessment

		
	3
	For the avoidance of doubt, documents that are the sole responsibility of SRM and are not part of this Design and Development Plan:

		
	a.
	Market Opportunity Assessment

		
	b.
	Technology and Capabilities Assessment

		
	c.
	Design Change Record

		
	d.
	Prototype Evaluation (Protocol/Report — Animal)

		
	e.
	Prototype Evaluation (Protocol/Report — Bench)

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	f.
	Prototype Evaluation Summary Report

		
	g.
	Global Market Plan

		
	h.
	Pre-Clinical Study (Protocol/Report)

		
	i.
	Clinical (Study Plan, Release Engineering Test Protocol/Report, Literature Review, Product Release Authorization Clinical Product)

		
	j.
	Regional Launch Plan

		
	k.
	Declaration of Conformity

		
	1.
	Market Launch Preparation

		
	m.
	Legal Clearance

		
	n.
	Clinical Risk Management Plan

		
	o.
	Trackability TDI

		
	p.
	Deployment TDI

		
	4.
	For the avoidance of doubt, all documents relative to the intended use, are the sole responsibility of SRM, and are not part of this Design and Development Plan. These documents include but are not limited to the following:

		
	a.
	Hazard List and AFMEA

		
	b.
	Design Validation (Protocol/Report)

		
	c.
	Instructions for Use

		
	d.
	Stent Implant Card

SECTION 4 — Glossary

	
		
	Term
	Definition

	Confirmation run
	A single run of a process under normal production conditions.

	IQ/OQ
	Installation Qualification/Output Qualification, which is used synonymously with SWIP, Software Installation Protocol.

	Product Performance Qualification (PPQ)
	Documented verification that the equipment and ancillary systems, under normal production conditions, can consistently produce finished product that meets all effective specifications. This term is also referred to in industry as PV (Product Validation).

	Protocol
	A pre-approved, written plan stating how validation testing will be conducted, including test parameters, product characteristics, production equipment, and decision points on what constitutes acceptable results,

	Validation
	Confirmation by examination and provision of objective evidence that provides a high degree of assurance that a specific process, method, or system will consistently produce a result meeting predetermined acceptance criteria.

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	Term
	Definition

	Validation Strategy (VS)
	A project-specific document that establishes the validation approach, requirements and schedule of validation activities,

	Design and Development Plan
	A plan that describes the design and development activities and defines responsibility for implementation. It also identifies and describes the interfaces with different groups or activities that provide, or result in, input to the design and development process.

	Design Review — FDA § 820.3(h)
	Design review means a documented, comprehensive, systematic examination of a design to evaluate the adequacy of the design requirements, to evaluate the capability of the design to meet these requirements, and to identify problems.

	Design Validation — FDA § 820,3(z)
	Design Validation means establishing by objective evidence that device specifications conform with user needs and intended use(s).

	Design Verification
	Confirmation by examination and provision of objective evidence that the design output has fulfilled requirements set out in the Technical Design Input.

	Technical Design Inputs (TDI)
	The functional, performance, and interface requirements of a product, translated from the User Requirement to an engineering level of detail that can be verified. The requirements that form the Design Input establish a basis for performing subsequent design tasks and validating the design,

	Specification — FDA § 820.3(y)
	Specification means any requirement with which a product, process, service, or other activity must conform.

	Real Time Aging
	Design verification after the product has been exposed to defined conditions for a period of time equal to or greater than the labeled shelf life. Real time aging is a confirmation of an accelerated aging study and is required if accelerated aging is required.

	Accelerated aging
	Design verification after the product has been exposed to a defined temperature and time in order to simulate a defined shelf life.

	Design Change
	A Change to fain, fit, function, identity, quality, strength, or purity of product or process Design,

	Design Change Control
	Procedures for the identification, documentation, verification or where appropriate validation, review, and approval of design changes before their implementation.

	Design Change Record
	A report summarizing the history of Design Changes and their assessment.

	Design History File - ISO/TR 14969:2004(E)
	A compilation of records, which describes and records the history of design activity.

	Design History File — FDA § 820.3(e)
	Design history file (DHF) means a compilation of records, which describes the design history of a finished device.

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	Term
	Definition

	Final Assembly
	Final assembly is defined as an assembly level at which the product or the device (or accessory to the device) is completed and suitable for use or capable of functioning, whether or not is packaged, labeled, or sterilized,

	Component
	Any raw material, subassembly, or part, which is intended to be included as part of the finished device.

	Intended Use
	Describes how the device will be used and who the end users will be. This shall include the indicated full range of use for the product.

	Leverage
	When a project team utilizes information (components, specifications, deliverables, etc.) from a preexisting project or qualified product.

	Product
	Refers to medical devices, as well as, medical drug/device combinations, Includes components, packaging, manufacturing materials, in-process product, finished product, and returned product.

	Product Configuration (PC)
	Product Configuration objects describe the physical characteristics of a product. PC object types in cPDM include Specifications, Parts, Routers, Item Master Information, Branch Item Master etc,

	Product Description (PD)
	Matrix of Design Inputs and Outputs including references to additional items such as design verification and validation activities, and risk class.

	Unqualified (UQ)
	The state, referring to a PC document, that indicates qualification requirements are incomplete, per CFM 13001 and CFM 10369616.

	Qualified (Q)
	The state, referring to a PC document that indicates successful completion of all qualification requirements, per CFM 13001 and CFM 10369616,

	Supplier
	An establishment with whom Cordis has a relationship for the procurement of goods or services to the organization.

	Failure Mode and Effects Analysis (FMEA)
	A procedure by which each potential Failure Mode or fault of a system is analyzed to determine the consequences of effects thereof on the system, to classify each potential Failure Mode according to its severity, and to recommend actions to eliminate, or compensate for, unacceptable effects.

	Sterility Assurance Level (SAL)
	Probability of a viable microorganism being present on a product after sterilization. SAL is normally expressed as 10-n. Cordis products are sterilized with an SAL of 10-6.

	Sterilization
	Validated process used to render a product free from viable microorganisms.

	Bioburden
	Populations of viable organisms on a product and/or package.

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Exhibit 3: Product Samples for SRM In-house Testing

	
			
	Project Phase
	Product Description
	Qty

	Confirmation Run
	Pre design verification units
	[*******]

	Design Verification
	Final Product configuration with full traceability packaged and sterile
	[*******]

In addition to the [*****] units for Confirmation Run and the [*****] units for Design Verification, Cordis will  provide to SRM an additional [*****] units to be used by SRM for SRM trackability and deployment force testing and studies. Any number of units greater than the [*****] set forth in this Exhibit will  be paid for by SRM at price of [*****] per unit.

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Exhibit 4: Development Plan Payment Schedule and Milestones
 
	
				
	Payment
	Milestone
	Payment by SRM to Cordis
	Completion Date

	1
	Agreement Execution
	[**********]
	 

	2
	Design Review I
	[**********]
	Within 4 months of the Effective Date of this Agreement

	3
	Design Review II
	[**********]
	Within 7 months of the Effective Date of this Agreement

	 
	Total
	[**********]
	 

The total fees payable by SRM for Development Services is set forth in this Exhibit 4 under the row entitled “Total,” and such Total includes the costs for all components and materials for Cordis to perform the Development Services in accordance with this Agreement as set forth on Exhibits 1-3.

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Exhibit 5: Commercial Supply of Product
The Parties agree that the following terms shall govern the commercial supply of Product by Cordis to SRM:
		
	1.
	Forecasts: Orders. Six (6) months prior to an anticipated regulatory approval or clearance, SRM shall provide Cordis with an initial non-binding forecast of the quantities of Products estimated to be required during the initial twelve (12) month period after such approval or clearance. Thereafter, SRM will provide to Cordis each February 1, May 1, August 1, and November 1 an updated forecast for the following (12) twelve month period commencing two (2) months from the applicable date (“Updated Forecast”). Each Updated Forecast shall be binding for (i) the first month by part number one hundred percent (100%) as to mix and volumes, (ii) the second month by part number ninety percent (90%) as to mix and volumes (iii) the third month by part number seventy five percent (75%) as to mix and volumes. The first three months of an Updated Forecast which are binding is a “Binding Quarter.” SRM’s orders for Product shall be made pursuant to a written purchase order specifying the desired quantity and configuration of Product, and subject to Section 2 of this Exhibit, will provide for shipment in accordance with reasonable delivery schedules and lead times as may be agreed upon from time to time by SRM and Cordis. In addition, if requested by Cordis, SRM will participate in Cordis’ Sales and Operations Planning Process (S&OP) to review SRM’s forecasts, orders, and market demand changes.

		
	2.
	Acceptance of Orders. All purchase orders shall be delivered by SRM to Cordis in writing to Cordis de Mexico, S.A. de C.V. do CEVA, 950 LomaVerde, El Paso, TX 79936, Attention: Cordis de Mexico, S.A. de C.V. Plant Manager. SRM shall place all purchase orders to Cordis a minimum of eight (8) weeks prior to the desired date of delivery. SRM shall place all purchase orders for Product in a Complete Lot. SRM shall place no more than one (1) purchase order each month. SRM agrees that Cordis may deliver quantities of Product in quantities +1- 10% of the quantities set forth in the SRM purchase orders. SRM agrees that Cordis is not required to deliver Product in excess of one-hundred and fifty percent (150%) of the Updated Forecast for any month which is binding, provided that in total Cordis is not obligated to provide in excess of one hundred and twenty five percent (125%) of the Updated Forecast for any Binding Quarter. In the event Cordis is unable to accept a purchase order, Cordis will promptly notify SRM as to why it cannot accept such purchase order. In the event of any inconsistency between this Agreement and a purchase order, the terms of this Agreement shall control. For clarity, any additional or inconsistent terms in any purchase order, acknowledgement or other form are hereby excluded. “Complete Lot” shall mean a minimum quantity of [******] units of one Product code,

		
	3.
	Cancellation: Rescheduling of Delivery, SRM or its designees may cancel an outstanding purchase order by notifying Cordis in writing; provided that SRM is responsible for payment of the inventory as set forth in Section 11.6 of this Agreement. SRM may at any time reschedule the shipment date for any Products that have not been 

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shipped to SRM, provided that SRM pays a reasonable restocking fee to be mutually agreed upon in writing associated with the storage of such Products.
		
	4.
	Delivery. Cordis shall ship the Products to the destination set forth in the purchase order. All shipments shall be delivered FCA (lncotenns 2010) from Cordis’ Facility to the location specified by SRM in the purchase order. The carrier shall be selected by mutual agreement between Cordis and SRM, Concurrent with the shipment of each order of Product, Cordis shall deliver to SRM a Router corresponding to such shipment in along with a Certificate of Conformity stating that the shipment complies with the Specification.

“Router” shall be limited to the following information: process flows, component traceability, inspection results (pass/fail), statistical process control results (monitoring of the critical parameters and/or defects) (pass/fail), quality assurance audit results (inspections made on the Product during manufacturing) (pass/fail), label inspection results (pass/fail), pyrogen test results (pass/fail), route sheet review (pass/fail), sterilization flow, copy of the first and last label used in the lot, label reconciliation results, set-up parameters and testing results (equipment set-up, process parameters information and results of the testing performed to the Product during manufacturing).
		
	5.
	Packaging. Products will be packaged, labeled, sterilized, and released by Cordis to SRM in accordance with (i) the Specifications and (ii) Section 6.8 and Section 8.2 of the License Agreement. Products shall be shipped to SRM in containers as agreed to by Cordis and SRM prior to the first shipment of Product. Each such container shall be individually labeled with a description of its contents, including the manufacturer name, manufacturer lot number, quantity of Products, use by date, and date of manufacture,

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Exhibit 6: Price for Supply of Product
[*******] per unit of Product

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AMENDMENT
Silk Road Medical, Inc. (“SRM”) and Cordis Corporation (“Cordis” and together with SRM, the “Parties”) are Parties to a Supply Agreement (“Supply Agreement”) dated October 21, 2011 (“Supply Agreement Effective Date”), for Cordis to perform development, manufacturing and supply services to SRM for a stent delivery system per the terms set forth therein.
For good and valuable consideration, the receipt of which is duly acknowledged, the Parties hereby agree that the design review completion dates set forth in Exhibit 4 of the Supply Agreement shall now be amended as follows:
		
	(i)
	The Design Review I completion date is no later than five (5) months from the Supply Agreement Effective Date; and

		
	(ii)
	The Design Review a completion date is no later than eight (8) months of the Supply Agreement Effective Date.

All other terms of the Supply Agreement shall remain in full force and effect without amendment.
IN WITNESS WHEREOF, the Parties have executed this Amendment by their duly authorized representatives, to be effective .as of the latest date set forth below.
	
					
	CORDIS CORPORATION
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 
	 
	 

	By:
	/s/ Jose A. Gonzalez
	 
	By:
	/s/ William Worthen

	Print:
	Jose A. Gonzalez
	 
	Print:
	William Worthen

	Title:
	WW V.P. OPS
	 
	Title:
	President & Chief Executive Officer

	Date:
	3/7/2012
	 
	Date:
	3/12/2012

SECOND AMENDMENT TO 
SUPPLY AGREEMENT
THIS SECOND AMENDMENT TO SUPPLY AGREEMENT (this “Second Amendment”) is made and entered into as of the last date of signature below (the “Second Amendment Effective Date”), by and between Silk Road Medical, Inc. (“SRM”) and Cordis Corporation (“Cordis”), with reference to the following:
A.    SRM and Cordis are parties to that certain Supply Agreement dated as of October 21, 2011, as amended as of March 12, 2012 (collectively, the “Agreement”), providing for Cordis to perform development, manufacturing and supply services for SRM for a stent delivery system per the terms set forth therein.  Capitalized terms used and not otherwise defined in this Second Amendment have the same respective meanings given to such terms in the Agreement, as amended hereby.
B.    SRM and Cordis desire to amend the Agreement in order to reflect modifications to the project scope, design and development plan, deliverables and milestone timelines contained therein, with such modifications effective as of the Second Amendment Effective Date.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1.    Amendment.
		
	(a)
	That the second sentence of Exhibit 1 (Design Inputs) to the Agreement is deleted and replaced in its entirety as follows:

The design shall refer exclusively to a stent delivery system with a working length of 57 centimeters.
		
	(b)
	That Exhibit 2 (Design and Development Plan) to the Agreement is replaced in its entirety with the amended Exhibit 2 attached hereto as Appendix A.

		
	(c)
	That the Completion Dates set forth in Exhibit 4 (Development Plan Payment Schedule and Milestones) to the Agreement are deleted and replaced in their entirety with:

Design Review I = Completion Date was extended to, and completed on, April 20, 2012
Design Review II = Completion Date shall be on or before December 18, 2012, except that if Cordis does not receive the documentation set forth in Section 1(c)(i) - (vi) of this Second Amendment on or before July 10, 2012, then the Design Review II Completion Date of December 18, 2012 shall be extended one (1) day for each day that SRM is delayed in delivering the 

documentation set forth in (i) - (vi) to Cordis, and such new date shall be defined as the Design Review H Completion Date.
		
	i.
	Final OUS (for use outside the United States) outer label (OL) content with translation & translation service certificate, certifying that each language translation is accurate,

		
	ii.
	Final OUS OL, released by SRM (verification of OL content),

		
	iii.
	Final OUS instructions for use (IFU) content with translation and translation certificate, certifying that each language translation is accurate,

		
	iv.
	Final OUS IFU, released by SRM (verification of IFU content),

		
	v.
	Final US (for use in the United States) inner label, OL, stent implant card for United States Product codes including both content and artwork, and

		
	vi.
	IFU revision 1 for United States Product codes, including both content and artwork.

		
	(d)
	That the third and fourth sentences of Section 2.4.1 of the Agreement shall be deleted and replaced in their entirety as follows:

In the event that the Design Review II is completed by Cordis pursuant to the Completion Date set forth in Exhibit 4 of the Agreement, SRM shall pay Cordis a one-time, non-creditable bonus of [************] for early completion of the Milestones (“Early Bonus”).
		
	(e)
	Section 2.4.2 shall be added to the Agreement as follows:

Additional Development Fees.  SRM has requested and Cordis agrees to perform, upon receipt of the payment set forth in this Section 2.4.2, Development Services to change the length of the Product from 65 cm to 57 cm and to increase the number of catalogs from 18 to 36, both as more specifically set forth in Exhibit 2 to the Agreement, as amended hereunder.  SRM shall pay Cordis for the Development Services set forth in the immediate foregoing sentence, in the amount of [***********], by check payment to Cordis.  Notwithstanding the payment terms in Section 2.4.1, SRM shall pay Cordis for the Development Services described in this Section 2.4.2 on the Second Amendment Effective Date.
2.    Effect.  Except as and to the extent amended by this Second Amendment, the Agreement shall remain in full force and effect in accordance with its terms.  In the event of any 

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conflict between the terms of the Agreement and this Second Amendment, the terms and conditions of this Second Amendment shall control.
3.    Counterparts.  This Second Amendment may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.
IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment as of the Second Amendment Effective Date.
	
					
	CORDIS CORPORATION
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 
	 
	 

	By:
	/s/ Jose A. Gonzalez
	 
	By:
	/s/ William Worthen

	Print:
	Jose A. Gonzalez
	 
	Print:
	William Worthen

	Title:
	VP Production Ops
	 
	Title:
	President & Chief Executive Officer

	Date:
	7/12/2012
	 
	Date:
	7/9/2012

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Appendix A
Exhibit 2: Design and Development Plan
SECTION 1 - PROJECT SCOPE AND APPROACHES
PRODUCT DESCRIPTION
New design consists in a shortened working length of the Precise Carotid Stent System.  Application and clinical indication is determined by SRM.
PROJECT SCOPE
Under the scope of this project:
Cordis will create and release 36 new Carotid Stent Delivery System catalogs - 57 cm length (18 final subassemblies for SRM OUS commercial distribution and 18 final subassemblies for SRM United States clinical studies).  These include combinations of six (6) stent diameters (5, 6, 7, 8, 9 and 10 mm) and three stent lengths (20 mm, 30 mm and 40 mm).

	
		
	Stent Length(mm)
	Stent Diameter(mm)

	20
	5

	20
	6

	20
	7

	20
	8

	20
	9

	20
	10

	30
	5

	30
	6

	30
	7

	30
	8

	30
	9

	30
	10

	40
	5

	40
	6

	40
	7

	40
	8

	40
	9

	40
	10

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Product packaging will be qualified by Cordis in conjunction with development of the product.
Upon written request by SRM, Cordis will, all pursuant content provided solely by SRM, revise the previously released instructions for use, labels and stent implant card for the 18 final subassemblies for U.S. clinical studies to make them applicable for U.S. commercial distribution, and will provide such deliverables to SRM no later than five (5) months following receipt of SRM’s request.  For the avoidance of doubt, this one revision is part of the project scope and SRM is not required to pay any additional fees for this revision.
If testing is needed to support the revision of the instructions for use, labels, and stent implant cards, testing expenses (units and laboratory) shall be paid by SRM at the rate of [****] USD per unit.

MANUFACTURING SITE
New Carotid Stent Delivery System catalogs with 57 cm length assembly and packaging will be performed at Cordis de Mexico.  Sterilization will be performed at Steris Isomedix Inc. sterilization facilities in El Paso, Texas.

FUNCTIONAL REPRESENTATIVES: Team members, roles, and responsibilities are subject to change at Cordis’ sole discretion.

	
			
	Team Member
	Roles
	Responsibilities

	OETS (Sustaining) / Operations

	James Merrit
	MEST Director
	Overall Project Leadership.

	Victor Baylon
	MEST (Value Engineering) Manager
	Project Manager. Provide input for this D&D plan.

	Laura Gisela Rico
	Lead MEST (Value Engineering) Engineer 
(Project Leader)
	Project leader. Plan and execute key activities as per this D&D plan.

	Laura C. Irigoyen
	MIST (Value Engineering) Engineer
	Provide project support.

	Daniel Gonzalez
	MEST (Value Engineering) Engineer
	Provide project support.

	Iris Castillo
	MEST (Value Engineering /Contractor) – Packaging Engineer.
	Provide project support in the area of packaging. Plan and execute key packaging related activities as per this D&D plan.

	Antolin Salazar
	MEST (Value Engineering) Technician
	Provide project support.

	Victor Baylon
	Packaging Manager
	Overall Packaging Leadership

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	Team Member
	Roles
	Responsibilities

	Yipsi Bowley
	MEST (Labeling and Packaging) Manager
	Provide Design Control support. Provide input for this D&D plan.

	R&D

	Wilson Tsang
	R&D Eng/Mgr
	Provide support for planning & execution of Design Verification/Validation as per this D&D plan.

	Quality Assurance

	Nancy Amaya
	QA Director
	Overall QA leadership

	Hector Medrano
	QA Manager
	QA project management. Provide input into this D&D plan.

	Adriana Gamez
	PQS/FAL Manager
	Provide support/direction for this D&D Plan

	Tatiana Del Valle
	QA Engineer
	QA Support

	Operations

	Jose Salcedo
	Mfg Manager
	Operations Management.

	Juan Carlos Gallegos
	Mfg Eng Ops
	Provide project support.

	Cross-Functional Support

	Dennis Griffin
	Regulatory Affairs Manager
	Overall Regulatory Affairs project management, provide input for Regulatory Approach

	Independent Peers

	Nitin Salunke
	R&D Mgr
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

	Sergio Muñoz
	QA Engineer
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

	Carlos Henao
	OPS Engineer
	Serve as Independent Peer for Technical Design Review(s) as per this D&D Plan

Design & Development APPROACHES
Marketing
Marketing Objectives
Responsibility of SRM.
Volume Expectations
Refer to Sections 3.3 and 3.3.1 of the Agreement for Minimum Volume commitments.  Refer to Exhibit 5 of the Agreement for Forecast timelines and process.

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Pricing Strategy
Pricing for final customer is managed by SRM.
Branding Name Strategy
Branding name strategy for 36 new Carotid Stent Delivery System catalogs — 57 cm length will be selected by SRM.
Initial Sales Forecast and ISS Requirements
[*********] units will be manufactured as the Initial Shelf Stock (ISS) requirement for product launch.  Manufacture and delivery of ISS is not included in Development Fees.  SRM shall place a written purchase order for the ISS, the price of which is [*****] per unit.
Desired Clinical Indications
To be determined by SRM (not part of this plan)
Desired Performance Claims
To be determined by SRM (not part of this plan)
Key Marketing Activities
To be determined by SRM (not part of this plan)
Regulatory
Distribution Region
To be determined by SRM (not part of this plan)
Regulatory Classification
To be determined by SRM (not part of this plan)
Submission Type
To be determined by SRM (not part of this plan)
Regulatory Pathway
To be determined by SRM (not part of this plan)

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Promotional Claims
To be determined by SRM (not part of this plan)
Import/Export Requirements:
To be determined by SRM (not part of this plan)
Testing Requirements
As determined by Cordis, Cordis will leverage the TDI’s corresponding to the PMA approved PRECISE products marketed by Cordis, except those that are specific to the new length (57cm), which will be performed for the new length as set forth in the section Product Design Verification of this Design and Development Plan.  Testing related to simulated use must be responsibility of SRM; since the clinical application of this product will be developed and validated by SRM.

Operations Planning
Carotid Stent Delivery System catalogs with 57cm length validation, such activities specified in this Design and Development Plan will be managed per Cordis Quality System.
Design Reviews
The following Technical Design Reviews (TDR) will be completed by Cordis for the carotid stent delivery system catalogs with 57cm length project:
		
	•
	Design Review I: Combined Design Input, Concept Selection and Planning & Design Output Technical Design Review (Prototypes testing completed)

		
	•
	Design Review II: Combined Verification/Validation and Design and Technology Transfer Technical Design Review (DV/PQ Report approved)

Evidence of completion of these design reviews will be documented as required per Cordis Quality System.
A Clinical Readiness Design Review is responsibility of SRM and will not be documented in the Cordis Quality System.
Design History File
A new electronic DHF will be created by Cordis for the 36 new Carotid Stent Delivery System catalogs - 57cm length project to allow for development and release of new documentation for these codes.
Risk Assessment and Mitigation

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SRM is responsible for the risk management plan documentation required for 36 new Carotid Stent Delivery System catalogs - 57cm length due to new application (transcervical approach).
Concept Evaluation and Selection - Product & Package
Concept Generation
Cordis will manufacture the Product and SRM will brand the Product.
Prototyping Activities
Prototypes will be run by Cordis as a pre-requisite of the Design Verification/Product Performance Qualification.  A summary of these evaluations, including reliability analysis of the testing done will be captured in an engineering report written by Cordis and provided to SRM.
Design Assessments
There is neither animal testing nor customer use feedback from Cordis for the 36 new Carotid Stent Delivery System catalogs - 57cm length.  Clinical trial is responsibility of SRM.
Test Method Development
Existing Cordis Test Methods will be used by Cordis to assess the change in the length of the 36 new Carotid Stent Delivery System catalogs - 57cm.  If any test method is not applicable based on the SRM intended use, technical design input must be performed by SRM.

Design Characterization
Design Characterization Activities
A tolerance stack up analysis will be done by Cordis to determine lengths for the 36 new Carotid Stent Delivery System catalogs - 57cm length components, Outer Member, Support Member, and their components.  This stack up analysis will be used to determine dimensions for the components and for the packaging.
Key design elements not being modified or impacted as a result of the 57cm pivduct include the stent, SDS, packaging (except product tray), as existing components will be utilized and there is no change or impact at the manufacturing/process level.  Changes will be done only to remove the Cordis and J&J branding.
Anticipated Design Iterations and Contingencies
There are no planned design iterations and contingencies.

-9-

Product Design Verification,
Technical Design Inputs (TDIs) affected by the change on the length (57cm) will be tested by Cordis for the 36 new SRM Carotid Stent Delivery System catalogs - 57cm length project and will be based on length modification and size bracketing strategy.  The only This that Cordis will test are as follows:
		
	•
	Usable length

		
	•
	Exit port location

		
	•
	MB Positioning

		
	•
	Stent pre-deployment

		
	•
	OM stoke length

		
	•
	Hub/hypotube pull strength

		
	•
	Hub/proximal wire pull strength

		
	•
	Wire lumen/Proximal wire/PET Sleeve pull strength

		
	•
	SM distal hypotube/proximal wire pull strength

		
	•
	Coil Stop pull strength

For the avoidance of doubt, SRM will test TDIs for trackability and deployment force.  Cordis will provide to SRM the following information (i) test method parameters and acceptance criteria Cordis uses to test Cordis’ PRECISE® Carotid Stent System for trackability and deployment force and which Cordis determines are applicable to the Product, and (ii) sample sizes Cordis uses to test Cordis’ PRECISE® Carotid Stent System for trackability and deployment force.  Manufacture units for trackability and deployment force testing are included in the scope of the Development Fees up to the maximum number of units set forth in Exhibit 3 of the Supply Agreement.
For the avoidance of doubt, TDIs that will not be tested by Cordis for the 36 new Carotid Stent Delivery System catalogs - 57cm length project are:
		
	•
	Crossing profile

		
	•
	Luer fitting

		
	•
	Air embolized

		
	•
	Ability to aspirate

		
	•
	Wire lumen ID

-10-

		
	•
	SDS Tip ID

		
	•
	Deployment accuracy

		
	•
	OM hub/hemovalve joint torque

		
	•
	Pod/body fuse joint pull strength & elongation

		
	•
	Brite tip/pod fuse joint strength

		
	•
	Wire lumen tip pull strength

Design Verification (DV) & Product Performance Qualification (PQ) for the 36 new Carotid Stent Delivery System catalogs - 57cm length will be combined and will address qualification of the product.  DV/PQ units will be subjected to three EtO sterilization cycles.
Stability is not required as this product does not contain drug.

Packaging, Design Verification
Design Verification related to packaging are the impacted TDI’s related to the packaging configuration (tray, pouch, sheath extrusion (length change), carton) only.  The only TDIs that Cordis will be tested as part of the Design Verification for packaging are:
		
	•
	Product Migration

		
	•
	Product Visual Inspection

		
	•
	Packaging Integrity Test (Visual Inspection)

		
	•
	Package Challenge Test (Bubble Test)

		
	•
	Dye Penetration Test

		
	•
	Seal Pull Test

DV & PQ for the packaging will be combined.  DV/PQ units will be subjected to three EtO sterilization cycles.
No aging testing will be performed by Cordis for the 36 new Carotid Stent Delivery System catalogs - 57cm length project.

-11-

Quality
Cordis Quality System is used by Cordis.

Design Validation - Product/Package
Product
The Carotid Stent Delivery System catalogs with 57cm length will be manufactured for SRM.
Design Validation for SRM intended use of the product is responsibility of SRM.
Product labeling dimensions are:
		
	•
	Outer label: 5.625” x 9.625”

		
	•
	Inner label: 5.25” x 8.825”

SRM to provide label content to Cordis.  Fasson Trans-Therm 2 material to be used by Cordis.  No aging testing will be performed for the 36 new Carotid Stent Delivery System catalogs -57cm length labeling.
SRM to provide to Cordis artwork and content for both instructions for use and stent implant card for the DV/PQ.  For the avoidance of doubt, SRM is solely responsible for ensuring that the artwork and content of the instructions for use and stent implant card meet the requirements of all laws and regulations.
Cordis will purchase the materials for the instructions for use and stent implant card, which will fabricate by using the existing qualified Cordis specification (dimensions, materials, weight)
No clinical trial will be done by Cordis to support the 36 new Carotid Stent Delivery System catalogs - 57cm length.
Process Validation
Project approach to Process Validation will be done according to Cordis Quality System.
Sterilization
The Sterilization strategy is to be 3X EtO capable, which will be the same as current marketed devices (self expandable stents).  Previous Cordis validations will be leveraged for sterilization.
DV/PQ units for both product and its packaging for the 36 new Carotid Stent Delivery System catalogs - 57cm length will be subjected to three EtO sterilization cycles.
Complaint Handling/FAL
See License Agreement for Complaint Handling and FAL.
SECTION 2 - DESIGN & DEVELOPMENT SCHEDULE

-12-

For detailed timeline see Attachment 1.

SECTION 3 - PROJECT DELIVERABLES
The documentation set forth in 1 and 2 immediately below are the only deliverables of Cordis to SRM for the 36 new Carotid Stent Delivery System catalogs - 57cm length project:
		
	1.
	Carotid stent delivery system (femoral access approach) documentation that will be leveraged by Cordis:

		
	a.
	Sterility Assurance Assessment

		
	b.
	Product Description

		
	c.
	Operations Strategy and Manufacturing Readiness (manufacturing process documentation)

		
	d.
	Biocompatibility (Plan and Summary Report)

		
	e.
	Supplier Qualification (Including: Specification, Strategy, Checklist, and Agreement.  New SQS will be done ONLY for affected components)

		
	f.
	Environmental Impact Assessment

		
	g.
	Shelf Life Test (Protocols/Reports) to support 24 months shelf life

		
	h.
	Software Validation (Protocols/Reports)

-13-

		
	i.
	Physical Test Methods (Validation Protocols/Reports)

		
	j.
	Essential Requirement Checklist (for application elements not impacted by the length change or SRM intended use)

		
	k.
	DFMEA, PFMEA, MQP, AFMEA (for application elements not impacted by the length change or SRM intended use)

		
	2.
	Documents that will be created by Cordis for SRM:

		
	a.
	Design Review I and Design Review II

		
	b.
	Design Summary (Related to length change)

		
	c.
	Product Configuration (Drawings, Specifications, etc., to reflect length change)

		
	d.
	Process Validation Strategy (Validation Change Management Assessment)

		
	e.
	Supplier Qualification (Process Strategy, Checklist for affected components)

		
	f.
	Installation Qualification/Operational Qualification (Protocols/Reports as required)

		
	g.
	Combined Design Verification /Product Performance Qualification (Protocols/Reports)

		
	h.
	Product Configuration (Bill of Materials, Route Sheets for 36 new Carotid Stent Delivery System catalogs - 57cm length)

		
	i.
	Sterility Assessment

		
	3.
	For the avoidance of doubt, documents that are the sole responsibility of SRM and are not part of this Design and Development Plan:

		
	a.
	Market Opportunity Assessment

		
	b.
	Technology and Capabilities Assessment

		
	c.
	Design Change Record

		
	d.
	Prototype Evaluation (Protocol/Report — Animal)

		
	e.
	Prototype Evaluation (Protocol/Report — Bench)

		
	f.
	Prototype Evaluation Summary Report

		
	g.
	Global Market Plan

-14-

		
	h.
	Pre-Clinical Study (Protocol/Report)

		
	i.
	Clinical (Study Plan, Release Engineering Test Protocol/Report, Literature Review, Product Release Authorization Clinical Product)

		
	j.
	Regional Launch Plan

		
	k.
	Declaration of Conformity

		
	l.
	Market Launch Preparation

		
	m.
	Legal Clearance

		
	n.
	Clinical Risk Management Plan

		
	o.
	Trackability TDI

		
	p.
	Deployment TDI

		
	4.
	For the avoidance of doubt, all documents relative to the intended use, are the sole responsibility of SRM, and are not part of this Design and Development Plan.  These documents include but are not limited to the following:

		
	a.
	Hazard List and AFMEA

		
	b.
	Design Validation (Protocol/Report)

SECTION 4 – Glossary

	
		
	Term
	Definition

	Confirmation run
	A single run of a process under normal production conditions.

	IQ
	Installation Qualification/Output Qualification, which is used synonymously with SWIP, Software Installation Protocol.

	Product Performance Qualification (PQ)
	Documented verification that the equipment and ancillary systems, under normal production conditions, can consistently produce finished product that meets all effective specifications. This term is also referred to in industry as PV (Product Validation).

	Protocol
	A pre-approved, written plan stating how validation testing will be conducted, including test parameters, product characteristics, production equipment, and decision points on what constitutes acceptable results.

	Validation
	Confirmation by examination and provision of objective evidence that provides a high degree of assurance that a specific process, method, or system will consistently produce a result meeting predetermined acceptance criteria.

-15-

	
		
	Term
	Definition

	Validation Strategy (VS)
	A project-specific document that establishes the validation approach, requirements and schedule of validation activities.

	Design and Development Plan
	A plan that describes the design and development activities and defines responsibility for implementation. It also identifies and describes the interfaces with different groups or activities that provide, or result in, input to the design and development process.

	Design Review - FDA § 820.3(h)
	Design review means a documented, comprehensive, systematic examination of a design to evaluate the adequacy of the design requirements, to evaluate the capability of the design to meet these requirements, and to identify problems.

	Design Validation - FDA § 820.3(z)
	Design Validation means establishing by objective evidence that device specifications conform with user needs and intended use(s).

	Design Verification
	Confirmation by examination and provision of objective evidence that the design output has fulfilled requirements set out in the Technical Design Input.

	Technical Design Inputs (TDI)
	The functional, performance, and interface requirements of a product, translated from the User Requirement to an engineering level of detail that can be verified. The requirements that form the Design Input establish a basis for performing subsequent design tasks and validating the design.

	-Specification - FDA § 820.3(y)
	Specification means any requirement with which a product, process, service, or other activity must conform.

	Real Time Aging
	Design verification after the product has been exposed to defined conditions for a period of time equal to or greater than the labeled shelf life. Real time aging is a confirmation of an accelerated aging study and is required if accelerated aging is required.

	Accelerated aging
	Design verification after the product has been exposed to a defined temperature and time in order to simulate a defined shelf life.

	Design Change
	A Change to form, fit, function, identity, quality, strength, or purity of product or process Design.

	Design Change Control
	Procedures for the identification, documentation, verification or where appropriate validation, review, and approval of design changes before their implementation.

	Design Change Record
	A report summarizing the history of Design Changes and their impact assessment.

	Design History File - ISO/TR 14969:2004(E)
	A compilation of records, which describes and records the history of the design activity.

	Design History File - FDA § 820.3(e)
	Design history file (DHF) means a compilation of records, which describes the design history of a finished device.

	Final Assembly
	Final assembly is defined as an assembly level at which the product or the device (or accessory to the device) is completed and suitable for use or capable of functioning, whether or not is packaged, labeled, or sterilized.

	Component
	Any raw material, subassembly, or part, which is intended to be included as part of the finished device.

-16-

	
		
	Term
	Definition

	Intended Use
	Describes how the device will be used and who the end users will be. This shall include the indicated full range of use for the product.

	Leverage
	When a project team utilizes information (components, specifications, deliverables, etc.) from a preexisting project or qualified product.

	Product
	Refers to medical devices, as well as, medical drug/device combinations. Includes components, packaging, manufacturing materials, in-process product, finished product, and returned product.

	Product Configuration (PC)
	Product Configuration objects describe the physical characteristics of a product. PC object types in cPDM include Specifications, Parts, Routers, Item Master Information, Branch Item Master etc.

	Product Description (PD)
	Matrix of Design Inputs and Outputs including references to additional items such as design verification and validation activities, and risk class.

	Unqualified (UQ)
	The state, referring to a PC document, that indicates qualification requirements are incomplete, per CFM 13001 and CFM 10369616.

	Qualified (Q)
	The state, referring to a PC document that indicates successful completion of all qualification requirements, per CFM 13001 and CFM 10369616.

	Supplier
	An establishment with whom Cordis has a relationship for the procurement of goods or services to the organization.

	Failure Mode and Effects Analysis (FMEA)
	A procedure by which each potential Failure Mode or fault of a system is analyzed to determine the consequences of effects thereof on the system, to classify each potential Failure Mode according to its severity, and to recommend actions to eliminate, or compensate for, unacceptable effects.

	Sterility Assurance Level (SAL)
	Probability of a viable microorganism being present on a product after sterilization. SAL is normally expressed as 10-n. Cordis products are sterilized with an SAL of 10-6.

	Sterilization
	Validated process used to render a product free from viable microorganisms.

	Bioburden
	Populations of viable organisms on a product and/or package.

-17-

THIRD AMENDMENT TO  
SUPPLY AGREEMENT
THIS THIRD AMENDMENT TO SUPPLY AGREEMENT (this “Third Amendment”) is made and entered into as of the last date of signature below (the “Third Amendment Effective Date”), by and between Silk Road Medical, Inc. (“SRM”) and Cordis Corporation (“Cordis”), with reference to the following:
A.    SRM and Cordis are parties to that certain Supply Agreement dated as of October 21, 2011, as amended as of March 12, 2012 and as of July 12, 2012 (collectively, the “Agreement”), providing for Cordis to perform development, manufacturing and supply services for SRM for a stent delivery system per the terms set forth therein. Capitalized terms used and not otherwise defined in this Third Amendment have the same respective meanings given to such terms in the Agreement, as amended hereby.
B.    SRM and Cordis desire to amend the Agreement as set forth below, with such amendments effective as of the Third Amendment Effective Date.
1.    NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: Amendment.
		
	(a)
	The Second sentence of Exhibit 5 (Commercial Supply of Product) of the Agreement, Section 4 (Delivery) is hereby deleted in its entirety and replaced with the following:

“All shipments shall be delivered DAT (Incoterms 2010) to the SRM selected carrier located at CEVA Logistics located at 1240 Don Haskins Drive, El Paso, Texas 79936 or such other warehouse as designated by Cordis (“Pick-Up Location).”
		
	(b)
	Section 6 is hereby added to Exhibit 5 (Commercial Supply of Product) of the Agreement as follows:

“6.Responsibility. For clarity, Cordis is fully responsible for the storage, transportation and risk of loss of the Products (unfinished or finished) during their delivery from the Facility to SRM selected carrier at the Pick-Up Location. The Parties acknowledge and agree that such delivery may include delivery to and from one or more intermediate third party sterilization, processing or storage facilities. SRM shall be responsible for the risk of loss of Product beginning upon loading on to the SRM selected carrier. SRM shall be responsible for the importation of the Products (under SRM Importer of Record) over the United States-Mexico border, including the preparation and provision of any documentation required by government authorities in either country in connection therewith; except that Cordis shall provide the Mexican Custom’s invoke. SRM and its selected broker agency shall be responsible for 

the U.S. Customs and Border Protection documentation during the importation process. SRM shall be responsible to provide the documentation of destruction or exportation of the Product, to the FDA and/or U.S. Customs and Border Protection and as otherwise required under applicable law. The foregoing obligations shall be included under “Import/Export Requirements” in Exhibit 2 to this Agreement.”
2.    Effect. Except as and to the extent amended by this Third Amendment, the Agreement shall remain in full force and effect in accordance with its terms. In the event of any conflict between the terms of the Agreement and this Third Amendment, the terms and conditions of this Third Amendment shall control.
3.    Counterparts. This Third Amendment may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.
IN WITNESS WHEREOF, the parties hereto have executed this Third Amendment as of the Third Amendment Effective Date.
	
					
	CORDIS CORPORATION
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 
	 
	 

	By:
	/s/ Tom Turley
	 
	By:
	/s/ Erica Rogers

	Print:
	Tom Turley
	 
	Print:
	Erica Rogers

	Title:
	FODL
	 
	Title:
	President & Chief Executive Officer

	Date:
	4/17/2013
	 
	Date:
	4/19/2013

-2-

FOURTH AMENDMENT TO 
SUPPLY AGREEMENT
THIS FOURTH AMENDMENT TO SUPPLY AGREEMENT (this “Fourth Amendment”) is made and entered into as of the last date of signature below (the “Fourth Amendment Effective Date”), by and between Silk Road Medical, Inc. (“SRM”) and Cordis Corporation (“Cordis”), with reference to the following:
A.    SRM and Cordis are parties to that certain Supply Agreement dated as of October 21, 2011, as amended as of March 12, 2012, July 12, 2012 and April 19, 2013 (collectively, the “Agreement”), providing for Cordis to perform development, manufacturing and supply services for SRM for a stent delivery system per the terms set forth therein.  Capitalized terms used and not otherwise defined in this Fourth Amendment have the same respective meanings given to such terms in the Agreement, as amended hereby.
B.    SRM and Cordis desire to amend the Agreement as set forth below, with such amendments effective as of the Fourth Amendment Effective Date.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
		
	1.
	Amendment. Exhibit 5 of the Agreement is hereby deleted in its entirety and replaced with the following Exhibit 5:

“Exhibit 5: Commercial Supply of Product
The Parties agree that the following terms shall govern the commercial supply of Product by Cordis to SRM:
		
	1.
	FORECASTS; Orders.  SRM will provide to Cordis on a monthly basis an updated rolling forecast of expected purchases for the following (24) twenty four month period commencing two (2) months from the applicable date (“Updated Forecast”). Each Updated Forecast shall be binding for (i) the first month by part number one hundred percent (100%) as to mix and volumes, (ii) the second month by part number ninety percent (90%) as to mix and volumes (iii) the third month by part number seventy five percent (75%) as to mix and volumes.  The first three months of an Updated Forecast which are binding is a “Binding Quarter.” SRM’s orders for Product shall be made pursuant to a written purchase order specifying the desired quantity and configuration of Product, and subject to Section 2 of this Exhibit, will provide for shipment in accordance with reasonable delivery schedules and lead times as may be agreed upon from time to time by SRM and Cordis. In addition, if requested by Cordis, SRM will participate in Cordis’ Sales and Operations Planning Process (S&OP) to review SRM’s forecasts, orders, and market demand changes.

		
	2.
	ACCEPTANCE of ORDERS.  All purchase orders shall be delivered by SRM to Cordis through the Cardinal Health Customer Service team, using any of the standard ordering channels.  SRM shall place all purchase orders to Cordis a minimum of eight (8) weeks prior to the desired date of delivery.  SRM shall place all purchase orders for Product in a Complete Lot.  SRM shall place no more than one (1) purchase order each month.  SRM agrees that Cordis may delivery quantities of Product in quantities +/-10% of the quantities set forth in the SRM purchase orders.  SRM agrees that Cordis is not required to deliver Product in excess of one-hundred and fifty percent (150%) of the Updated Forecast for any month which is binding, providing that in total Cordis is not obligated to provide in excess of one hundred and twenty five percent (125%) of the Updated Forecast for any Binding Quarter.  In the event Cordis is unable to accept a purchase order, Cordis will promptly notify SRM as to why it cannot accept such purchase order.  In the event of any inconsistency between this Agreement and a purchase order, the terms of this Agreement shall control.  For clarity, any additional or inconsistent terms in any purchase order, acknowledgment or other form are hereby excluded.  “Complete Lot” shall mean a minimum quantity of [*****] of one Product code.

		
	3.
	CANCELLATION; RESCHEDULING of DELIVERY.  SRM or its designees may cancel an outstanding purchase order by notifying Cordis in writing; provided that SRM is responsible for payment of the inventory as set forth in Section 11.6 of this Agreement.  SRM may at any time reschedule the shipment date for any Products that have not been shipped to SRM, provided that SRM pays a reasonable restocking fee to be mutually agreed upon in writing associated with the storage of such Products.

		
	4.
	DELIVERY.  All shipments shall be delivered to the carrier at Cordis’ distribution facility located in Texas or Mississippi (the “Distribution Center”) for delivery to the location specified by SRM in the purchase order.  The carrier shall be selected by mutual agreement of SRM and Cordis, except that if no such agreement is reached in good faith, the carrier shall be the standard carrier used by the Cardinal Health Customer Service team for freight that is to be transported via truck.  Each shipment of Products shall be insured for the benefit of SRM.  Concurrent with the shipment of each order of Product, Cordis shall deliver to SRM a Router corresponding to such shipment in along with a Certificate of Conformity stating that the shipment complies with the Specification.  Title and risk of loss shall transfer to SRM at the time Cordis delivers the Products to the carrier at the Distribution Center.  SRM shall be invoiced for transportation costs from the Distribution Center to the location specified by SRM in the purchase order.

“Router” shall be limited to the following information; process flows, component traceability, inspection results (pass/ fail), quality assurance audit results (inspections made on the Product during manufacturing) (pass fail), label inspection results (pass/ fail), pyrogen testing results (pass/ fail), route sheet review (pass/ fail), sterilization 

-2-

flow, copy of the first and last label used in the lot, label reconciliation results, set-up parameters and testing results (equipment set-up, process parameters information and results of the testing performed to the Product during manufacturing).
		
	5.
	PACKAGING.  Products will be packaged, labeled, sterilized, and released by Cordis to SRM in accordance with (i) the Specifications and (ii) Section 6.8 and Section 8.2 of the License Agreement.  Products shalt be shipped to SRM in containers as agreed to by Cordis and SRM prior to the first shipment of Product.  Each such container shall be individually labeled with a description of its contents, including the manufacturer name, manufacturer lot number, quantity of Products, use by date, and date of manufacture.

		
	6.
	RESPONSIBILITY.  For clarity, Cordis is fully responsible for the storage, transportation and risk of loss of the Products (unfinished or finished) during their transit from the Facility to the carrier at the Distribution Center.  The Parties acknowledge and agree that such delivery may include delivery to and from one or more intermediate third party sterilization, processing or storage facilities.

		
	2.
	Effect.  Except as and to the extent amended by this Fourth Amendment, the Agreement shall remain in full force and effect in accordance with its terms.  In the event of any conflict between the terms of the Agreement and this Fourth Amendment, the terms and conditions of this Fourth Amendment shall control.

		
	3.
	Counterparts.  This Fourth Amendment may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.

IN WITNESS WHEREOF, the parties hereto have executed this Fourth Amendment as of the Fourth Amendment Effective Date.
	
					
	CORDIS CORPORATION
	 
	SILK ROAD MEDICAL, INC.

	 
	 
	 
	 
	 

	By:
	/s/ Stephen Davis
	 
	By:
	/s/ Lucas Buchanan

	Print:
	Stephen Davis
	 
	Print:
	Lucas Buchanan

	Title:
	Director Business Development
	 
	Title:
	CFO

	Date:
	April 9, 2018
	 
	Date:
	4/4/2018

-3-

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