Document:

Employment Agreement dated as of June 1, 2005 - Mark S. Antonvich

 Exhibit 10.62 
  
 EMPLOYMENT AGREEMENT 
  
 THIS EMPLOYMENT AGREEMENT, dated as of June 1, 2005 (this “Agreement”), is by and between HEXION SPECIALTY CHEMICALS,
INC., a New Jersey corporation (formerly known as Borden Chemical, Inc. and referred to as the “Company”), and Mark S. Antonvich (the “Executive”). 
  
 WHEREAS, the Executive and Resolution Performance Products LLC, a Delaware limited liability company
(“RPP”), previously had entered into that certain Employment Agreement, dated as of May 7, 2001 (including all amendments thereto, the “Prior Employment Agreement”), pursuant to which the Executive was employed by
RPP. 
  
 WHEREAS, RPP, Resolution Specialty
Materials Holdings LLC, Hexion LLC (formerly known as BHI Acquisition Corp. and referred to as “Hexion LLC”), BHI Merger Sub One, Inc., BHI Merger Sub Two Inc., and the Company are parties to that certain Transaction Agreement dated
as of April 22, 2005 (the “Transaction Agreement”). 
  
 WHEREAS, the Company desires to provide for the continued services of the Executive effective upon and following the “Closing” (as such term is defined in the Transaction Agreement) of the transactions contemplated by the
Transaction Agreement (the “Effective Time”), and provide the Executive with the compensation and other benefits provided in this Agreement. 
  
 WHEREAS, the Executive is willing to enter into this Agreement on the terms and conditions hereinafter set forth. 
  
 WHEREAS, the Executive’s employment with RPP will terminate
concurrently with the Effective Time and this Agreement will supersede the Prior Employment Agreement in its entirety as of that time. 
  
 WHEREAS, this Agreement shall govern the employment relationship between the parties from and after the Effective Time and supersedes and negates
all previous agreements made between the parties, whether written or oral, relating to the Executive’s employment with the Company. 
  
 NOW THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties hereto agree as follows: 
  
 Section 1. Effective Time. 
  
 This Agreement is
effective upon, and subject to the occurrence of, the Effective Time. The Company hereby agrees to employ the Executive, and the Executive hereby agrees to be employed by the Company, in accordance with the terms and provisions of this Agreement
effective upon the Effective Time. Except as provided in Section 10(i),    , this Agreement shall terminate on the third anniversary of the Effective Time (the “Termination Date”); provided, however, that on such
anniversary date and on each subsequent two year anniversary of such anniversary date, the Termination Date shall be 

 
automatically extended for a period of two years, unless either party shall have given written notice to the other party not less than one hundred and eighty
days prior to the Termination Date that the Termination Date shall not be so extended. The provision of such notice by either party shall not constitute a breach of this Agreement by that party and shall not entitle the Executive to the benefits
described in Section 4(a). 
  
 Section 2. Terms of
Employment. 
  
 (a) Position. During the term of the
Executive’s employment (the “Employment Period”), the Executive shall serve as Executive Vice President and General Counsel of the Company, shall report to the Company’s Chief Executive Officer (the “CEO”)
shall have such other positions with affiliates of the Company as the Company and Executive may mutually determine from time to time. The Executive shall have supervision and control over, and responsibility for, such legal management functions of
the Company as from time to time may be prescribed by the CEO, so long as such powers and duties are reasonable and customary for such position of an enterprise comparable to the Company. 
  
 (b) Duties. During the Employment Period, and excluding any periods of vacation and sick leave to which the Executive
is entitled, the Executive agrees to devote substantially all of his business time to the business and affairs of the Company and, to the extent necessary to discharge the responsibilities assigned to the Executive hereunder, to use the
Executive’s reasonable best efforts to perform such responsibilities in a faithful, effective, and efficient manner. During the Employment Period, it shall not be a violation of this Agreement for the Executive to (1) serve on association,
corporate, civic or charitable boards or committees, (2) deliver lectures or fulfill speaking engagements and (3) manage personal investments, so long as such activities do not materially interfere with the performance of the Executive’s
responsibilities as an employee of the Company in accordance with this Agreement. 
  
 (c) Compensation. 
  
 (i)
Base Salary. During the Employment Period, the Executive shall receive an annual base salary (the “Annual Base Salary”), which shall be paid in accordance with the customary payroll practices of the Company, at a rate equal
to at least $325,000 per annum. Commencing on March 1, 2006 (the “First Date”), and on each subsequent anniversary date of the First Date as long as the Executive remains an employee of the Company (the First Date and each
subsequent anniversary of the First Date being herein referred to as an “Adjustment Date”), the Annual Base Salary of the Executive shall be increased by such amount as the Board of Directors of the Company (the
“Board”) in its discretion may determine appropriate. The result of such increase to the then current Annual Base Salary shall constitute the Executive’s Annual Base Salary commencing on the Adjustment Date then at hand and
continuing until the next Adjustment Date. Any increase in Annual Base Salary shall not serve to limit or reduce any other obligation to the Executive under this Agreement. The term Annual Base Salary as utilized in this Agreement shall refer to
Annual Base Salary as so increased. 
  

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 (ii) Bonuses. During the Employment Period, the Executive will be entitled to participate in a
bonus plan the Company will establish for each fiscal year beginning with fiscal year 2005 (the “Plan”). The Executive will be eligible to receive an annual bonus (the “Bonus”) pursuant to the Plan only if the
Executive is employed on the date that the incentive payment is made by the company (subject to Section 4). All such Bonuses shall become payable on a date reasonably determined by the Board or Compensation Committee thereof, after the Board or
Compensation Committee finally determines (i) that the Company has achieved the performance objectives established for the applicable fiscal year, and (ii) the amount of bonuses that shall be paid to each executive entitled to receive a bonus for
such fiscal year. The Bonus shall be based on the Company’s achievement of certain operating and/or financial goals to be established by the Compensation Committee. The 2005 annual target bonus amount is equal to 50% of Executive’s then
current Annual Base Salary. With respect to fiscal 2005, the Plan is expected to cover only the portion of the fiscal year that occurs on and after the Effective Time. The Executive shall be entitled to a prorated bonus payment under the RPP
incentive plan with respect to the portion of fiscal year 2005 that occurs prior to the Effective Time. 
  
 (iii) Benefits. From the Effective Time through 12/31/05 it is agreed that the Executive shall continue to remain on the savings, retirement and
health and welfare benefit plans of RPP, including receiving the 401(K) in lieu payments for the remainder of 2005. Beginning 1/1/06, the Executive shall be entitled to participate in all incentive, savings and retirement plans, practices, policies
and programs, including without limitation the Company’s Executives’ Supplemental Pension Plan, applicable generally to other executives of the Company and shall be eligible for participation in and shall receive all benefits under welfare
benefit plans, practices, policies and programs provided by the Company (including, without limitation, medical, pension, savings, life insurance, dental and disability plans and programs) to the extent applicable generally to other executives of
the Company. 
  
 (iv) Expenses. During the Employment
Period, the Executive shall be entitled to receive reimbursement for all reasonable employment expenses incurred by the Executive in accordance with the policies, practices and procedures of the Company. Without limiting the generality of the
preceding sentence, during the term of Executive’s employment but in no event after the third anniversary of the Effective Time, the Company shall pay or reimburse the Executive for (1) temporary furnished housing in Columbus, Ohio, and (2) up
to three round-trip flights per month (coach class) for Executive to travel between Columbus, Ohio and Houston, Texas; subject, in each case, to the Executive providing any documentation that the Company may require from time to time in accordance
with its expense reimbursement policies. 
  
 (v) Vacation and
Holidays. During the Employment Period, the Executive shall be entitled to four weeks of paid vacation, to be taken in accordance with the policies of the Company. 
  
 (vi) Existing RSM and RPP Options. During the Employment Period, the Executive shall continue to be eligible to vest
in any time-based or performance-based options that the Executive may have been granted by the Company, Resolution 

  

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Performance Products Inc. (RPP Inc.), and Resolutions Specialty Materials Inc. (“RSM”) (as such options may have been and may in the future
be assumed and adjusted). Any termination of employment rules applicable to such options (including any obligation to exercise vested options) shall not be deemed triggered by the termination of the Executive’s employment with RPP and
commencement of employment with the Company. 
  
 (d)
Location. During the Employment Period, the Executive’s principal office shall be in the Company’s principal executive offices, currently located in Columbus, Ohio. While the parties agree that the Executive will maintain a regular
presence in the Company’s principal executive offices (travel in the performance of his duties for the Company, vacation and sick leave excepted), the Company agrees that the Executive shall also maintain offices in Houston at Resolution
Performance Products Inc. and will maintain his principal residence in Houston, Texas. 
  
 Section 3. Termination of Employment. 
  
 (a) Death or Disability. The Executive’s employment shall terminate automatically upon the Executive’s death. If the Disability of the Executive has occurred during the Employment Period (pursuant to
the definition of Disability set forth below), the Company may give to the Executive written notice in accordance with Section 10(h) of its intention to terminate the Executive’s employment. In such event, the Executive’s employment with
the Company shall terminate effective on the 30th day after receipt of such notice by the Executive (the “Disability Effective Date”), provided that, within the 30 days after such receipt, the Executive shall not have returned to
full-time performance of the Executive’s duties. For purposes of this Agreement, “Disability” means, with respect to the Executive, the Executive’s inability to perform the duties and obligations required by the
Executive’s job by reason of any medically determined physical or mental impairment, as determined in accordance with the provisions of long term disability coverage under the Borden Chemical, Inc. Total Family Protection Plan or any similar
successor plan (the “Total Family Protection Plan”); provided, however, that if the Executive has not elected long term disability coverage under the Total Family Protection Plan, then “Disability” shall mean, with
respect to the Executive, any medically determined physical or mental impairment (as determined by a physician selected by the Company or its insurers and acceptable to the Executive or the Executive’s legal representative (such agreement as to
acceptability not to be withheld unreasonably)) that prevents the Executive from performing the duties and obligations required by the Executive’s job for more than 90 days during a period of 180 consecutive days. 
  
 (b) Cause. The Executive’s employment may be terminated at any
time by the Company for Cause or without Cause. For purposes of this Agreement, “Cause” shall mean an Executive’s (i) commission of a crime of moral turpitude or a felony that involves financial misconduct or moral turpitude or has
resulted, in any adverse publicity regarding the Executive or the Company or economic injury to the Company, (ii) dishonesty or willful commission or omission of any action that has resulted, in any adverse publicity regarding the Executive or the
Company or has caused, or reasonably could be expected to cause, demonstrable and serious economic injury to the Company or (iii) material breach of this Agreement or any other written agreement entered into between the Executive and the 

  

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Company or any of its Affiliates relating to Executive’s employment by any of them (other than due to the disability of the Executive or other factors
outside of the Executive’s control) after notice and a reasonable opportunity (not to exceed thirty (30) days after Executive’s receipt of such notice) to cure (if such breach can be cured). For purposes of this Agreement, “without
Cause” shall mean a termination by the Company of the Executive’s employment during the Employment Period for any reason other than a termination based upon Cause, death or Disability. For purposes hereof, no act or omission shall be
considered willful unless committed in bad faith or without a reasonable belief that the act or omission was in the best interests of the Company or any of its Affiliates. For purposes of this Agreement, “Affiliate” of the Company
means a Person (as defined below) that directly or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, the Company. As used in this definition, the term “control,” including the
correlative terms “controlling,” “controlled by” and “under common control with,” means the possession, directly or indirectly, of the power to direct or cause the direction of management or policies (whether through
ownership of securities or any partnership or other ownership interest, by contract or otherwise) of a Person. The term “Affiliate” shall not include any entity that would not otherwise be an Affiliate of the Company but for its ownership
by Apollo Management V, L.P. or any of Apollo Management V, L.P.’s affiliated funds. For purposes of this Agreement, “Person” shall be construed broadly and shall include, without limitation, an individual, a partnership, a
limited liability company, a corporation, an association, a joint stock company, a trust, a joint venture, an unincorporated organization and a governmental entity or any department, agency or political subdivision thereof. 
  
 (c) Good Reason. The Executive’s employment may be terminated at
any time by the Executive for Good Reason or without Good Reason. For purposes of this Agreement, “Good Reason” means voluntary resignation after any of the following actions are taken by the Company or any of its subsidiaries without the
Executive’s consent: (a) the continued failure to pay compensation when due to the Executive for more than thirty (30) days; (b) a significant diminution in the responsibilities or authority of the Executive other than an insubstantial and
inadvertent diminution that is remedied by the Company promptly after receipt of written notice thereof sent by the Executive; (c) a diminution in the rate of Annual Base Salary to be paid to the Executive; or (d) relocation of the Executive’s
primary work place, as assigned to him by the Company, beyond a fifty (50) mile radius of the Executive’s current location and other than a relocation of such primary work place to Houston, Texas, or (e)material breach by the Company of this
Agreement or any other written agreement entered into between the Executive and the Company or any of its Affiliates relating to Executive’s employment by any of them; provided, however, that none of the events described in the foregoing
clauses (a), (b), (c) (d) or (e) shall constitute Good Reason unless the Executive shall have notified the Company in writing describing the events which constitute Good Reason and then only if the Company shall have failed to cure such events (if
such breach can be cured) within (x) in the case of clause (a), fifteen (15) days, or (y) in the case of clauses (b), (c), (d)or (e), thirty (30) days, after the Company’s receipt of such written notice. 
  
 (d) Notice of Termination. Any termination by the Company for Cause or
without Cause, or by the Executive for Good Reason or without Good Reason, shall be communicated by Notice of Termination to the other party hereto given in accordance with 

  

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Section 10(h). For purposes of this Agreement, a “Notice of Termination” means a written notice which (i) indicates the specific termination
provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive’s employment under the provision so indicated and
(iii) if the Date of Termination (as defined below) is other than the date of receipt of such notice, specifies the termination date (which date shall not be more than 15 days after the giving of such notice). The failure by the Executive or the
Company to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason or Cause shall not waive any right of the Executive or the Company hereunder or preclude the Executive or the Company from
asserting such fact or circumstance in enforcing the Executive’s or the Company’s rights hereunder. 
  
 (e) Date of Termination. “Date of Termination” means (i) if the Executive’s employment is terminated by the Company for Cause or
without Cause, or by the Executive for Good Reason or without Good Reason, the date of receipt of the Notice of Termination or any later date specified therein pursuant to Section 3(d), as the case may be and (ii) if the Executive’s employment
is terminated by reason of death or Disability, the date of death of the Executive or the Disability Effective Date, as the case may be. 
  
 Section 4. Obligations of the Company upon Termination. 
  

(a) With Good Reason; Other Than for Cause, Death or Disability. If, during the Employment Period, the Company shall terminate the
Executive’s employment other than for Cause or the Executive shall terminate his employment for Good Reason, and the termination of the Executive’s employment in any case is not due to his death or Disability, then the Company will provide
the Executive with the following severance payments and/or benefits: 
  
 (i) The Company shall pay to the Executive in a lump sum (i) the Executive’s Annual Base Salary through the Date of Termination to the extent not theretofore paid, (ii) the Bonus earned for any year prior to the year in which the Date
of Termination occurs to the extent that Executive is employed on the last day of the applicable performance period and any Bonus amount that the Board finally determines he is entitled to received was not paid to the Executive by the Company or its
Affiliates prior to the Date of Termination, and (iii) amounts with respect to accrued and unused vacation through the Date of Termination to the extent not theretofore paid (“Accrued Obligations”); 
  
 (ii) The Company will continue to pay the Executive Annual Base Salary until
the earlier of (i) the second anniversary of the Date of Termination, and (ii) the date the Executive violates the terms of this Agreement; 
  
 (iii) After the Date of Termination, the Executive (and the Executive’s eligible family members) will be entitled to continue their participation in
the Company’s medical and dental insurance plans at normal associate contribution rates during the period ending on the second anniversary of the Date of Termination; provided that the Company may, at its option, provide substantially similar
coverage to Executive for all or any portion of such period (at the same cost to Executive) should the Company for any 

  

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reason elect not to or not be able to cover the Executive (and his eligible family members) under the Company’s medical and dental insurance plans for
employees. Executive’s COBRA coverage shall begin to run on the Date of Termination. The Company shall provide or reimburse the Executive for the costs of executive outplacement assistance occurred during the one-year period following the Date
of Termination, provided that in no event shall the Company’s obligation to pay or reimburse such costs exceed $25,000. 
  
 Except in the case of a termination by reason of the Executive’s death or Disability, the Company’s obligations to make payments under this
Section 4(a) will be conditioned on Executive executing and delivering a customary general release reasonably satisfactory to the parties. 
  
 (b) Death; Disability; Cause; Other than for Good Reason. If the Executive’s employment shall be terminated by reason of the Executive’s
death or Disability, by the Company for Cause or by the Executive without Good Reason, then the Company shall have no further payment obligations to the Executive other than for (i) payment of Accrued Obligations to the Executive or his legal
representatives in the case of the death or, if applicable, the Disability of the Executive and (ii) the continuance of benefits under the Company’s welfare benefit plans to the Date of Termination and in the case of death or Disability, the
continuance of death or Disability benefits thereafter in accordance with the terms of such plans and the Company’s perquisite policies as in effect as of such date. 
  
 (c) Other Benefit Plans. In the event of any termination of Executive’s employment covered by Section 4(a) or
4(b) above, the Company shall also satisfy all its obligations to the Executive under the terms and conditions of the Deferred Compensation Plan, 401(k) Plan, or other employee benefit plans and programs(other than severance benefit programs) in
which the Executive participates (including, but not limited to, equity incentive plans) to the extent such obligations accrued and the Executive had a right to them prior to the termination of Executive’s employment. 
  
 Section 5. Nondisclosure and Nonuse of Confidential Information.

  
 (a) The Executive shall not disclose or use at any time,
either during the Employment Period or thereafter, any Confidential Information (as hereinafter defined) of which the Executive is or becomes aware, whether or not such information is developed by him, except to the extent that such disclosure or
use is directly related to and required by the Executive’s performance in good faith of duties assigned to the Executive by the Company. The Executive will take all appropriate steps to safeguard Confidential Information in his possession and
to protect it against disclosure, misuse, espionage, loss and theft. The Executive shall deliver to the Company at the termination of the Employment Period, or at any time the Company may request, all memoranda, notes, plans, records, reports,
computer tapes and software and other documents and data (and copies thereof) relating to the Confidential Information or the Work Product (as hereinafter defined) of the business of the Company or any of its Affiliates which the Executive may then
possess or have under his control. 
  

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 (b) As used in this Agreement, the term “Confidential Information” means information
that is not generally known to the public and that is used, developed or obtained by the Company in connection with its business, including, but not limited to, information, observations and data obtained by the Executive while employed by the
Company or any predecessors thereof (including those obtained prior to the date of this Agreement) concerning (i) the business or affairs of the Company (or such predecessors), (ii) products or services, (iii) fees, costs and pricing structures,
(iv) designs, (v) analyses, (vi) drawings, photographs and reports, (vii) computer software, including operating systems, applications and program listings, (viii) flow charts, manuals and documentation, (ix) data bases, (x) accounting and business
methods, (xi) inventions, devices, new developments, methods and processes, whether patentable or unpatentable and whether or not reduced to practice, (xii) customers and clients and customer or client lists, (xiii) other copyrightable works, (xiv)
all production methods, processes, technology and trade secrets, and (xv) all similar and related information in whatever form. Confidential Information will not include any information that has been published in a form generally available to the
public prior to the date the Executive proposes to disclose or use such information. Confidential Information will not be deemed to have been published merely because individual portions of the information have been separately published, but only if
all material features comprising such information have been published in combination. 
  
 (c) As used in this Agreement, the term “Work Product” means all inventions, innovations, improvements, technical information, systems, software developments, methods, designs, analyses, drawings,
reports, service marks, trademarks, trade names, logos and all similar or related information (whether patentable or unpatentable) which relates to the Company’s or any of its Affiliates’ actual or anticipated business, research and
development or existing or future products or services and which are conceived, developed or made by the Executive (whether or not during usual business hours and whether or not alone or in conjunction with any other person) while employed (and for
the Non-Compete Period if and to the extent such Work Product results from any work performed for the Company, any use of the Company’s premises or property or any use of the Company’s Confidential Information) by the Company (including
those conceived, developed or made prior to the date of this Agreement) together with all patent applications, letters patent, trademark, trade name and service mark applications or registrations, copyrights and reissues thereof that may be granted
for or upon any of the foregoing. 
  
 Section 6.
Non-Solicitation; Non-Compete. 
  
 (a) During the period
commencing at the Effective Time and ending on the first anniversary of the date on which the Executive ceases to receive any payments from the Company or any of its Affiliates related to salary, bonus or severance, the Executive shall not directly
or indirectly through another Person (i) induce or attempt to induce any employee of the Company or any Affiliate of the Company to leave the employ of the Company or such Affiliate, or in any way interfere with the relationship between the Company
or any such Affiliate, on the one hand, and any employee thereof, on the other hand, (ii) hire any person who was an employee of the Company or any Affiliate of the Company until twelve (12) months after such individual’s employment
relationship with the Company or such Affiliate has been terminated or (iii) induce or attempt to induce any customer, supplier, licensee or 

  

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other business relation of the Company or any Affiliate of the Company to cease doing business with the Company or such Affiliate, or in any way interfere
with the relationship between any such customer, supplier, licensee or business relation, on the one hand, and the Company or any Affiliate, on the other hand. 
  

(b) The Executive acknowledges that, in the course of his employment with the Company and/or its Affiliates and their predecessors, he has become
familiar, or will become familiar, with the Company’s and its Affiliates’ and their predecessors’ trade secrets and with other confidential information concerning the Company, its Affiliates and their respective predecessors and that
his services have been and will be of special, unique and extraordinary value to the Company and its Affiliates. Therefore, the Executive agrees that, during the period commencing at the Effective Time and ending on the date on which the Executive
ceases to receive any payments related to salary, bonus or severance from the Company or any of its Affiliates (or in the case of a termination by the Company of the Executive’s employment for Cause or a termination by the Executive of his or
her employment without Good Reason, in either case during the Employment Period, until the first anniversary of the date on which the Executive ceases to receive such payments) (the “Non-Compete Period”), the Executive shall not
directly or indirectly (i) engage in any business for the Executive’s own account or otherwise derive any personal benefit from any Competitive Business, (ii) enter the employ of, or render any services to, any person engaged in any Competitive
Business, or (iii) acquire a financial interest in any Competitive Business. For purposes of this Agreement, the phrase “directly or indirectly engage in” shall include any direct or indirect ownership or profit participation
interest in such enterprise, whether as an owner, stockholder, member, partner, joint venturer of or otherwise, and shall include any direct or indirect participation in such enterprise as an employee, consultant, director, officer, licensor of
technology or otherwise. For purposes of this Agreement, the term “Competitive Business” shall mean a business that engages in the production, sale or distribution of similar products produced, sold or distributed by the Company or
any of its Affiliates and which derives 50% or more of its gross revenues from such similar products. Nothing herein shall prohibit the Executive from being a passive owner of not more than 2% of the outstanding stock of any class of a corporation
which is publicly traded, so long as the Executive has no active participation in the business of such corporation. 
  
 (c) The Executive understands that the foregoing restrictions may limit his ability to earn a livelihood in a business similar to the business of the
Company and any of its Affiliates, but he nevertheless believes that he has received and will receive sufficient consideration and other benefits as an employee of the Company and as otherwise provided hereunder or as described in the recitals
hereto to clearly justify such restrictions which, in any event (given his education, skills and ability), the Executive does not believe would prevent him from otherwise earning a living. The Executive has carefully considered the nature and extent
of the restrictions placed upon him by this Agreement, and hereby acknowledges and agrees that the same are reasonable in time and territory and do not confer a benefit upon the Company disproportionate to the detriment of the Executive. 

 
 (d) In the event (i) the Executive materially breaches the terms of this
Agreement (including Section 5 or this Section 6 hereof), or materially breaches the terms of any other written agreement between the Executive and the Company or its subsidiaries 

  

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relating to Executive’s employment by any of them or (ii) the Executive’s employment is terminated by the Company for Cause, then the Company and
its subsidiaries (or their designee) shall have the right, but not the obligation, to repurchase all or any portion of the equity securities of the Company, Hexion LLC or any of their Affiliates then held by the Executive that were acquired by the
Executive on or after the Effective Time (including any such equity securities received upon a distribution from any deferred compensation plan or any such equity securities issuable upon exercise of any options held by the Executive to the extent
that such deferred compensation benefits accrue or such options are granted, as applicable, on or after the Effective Time and for purposes of clarity shall not include any of the notes, equity or options originally granted in RPP or RSM and
converted to equity securities of the Company, Hexion LLC or any of their Affiliates) for the lesser of (i) Original Cost and (ii) Fair Market Value (as each such term is defined in the Amended and Restated Investor Rights Agreement dated as of the
date hereof (the “Investor Rights Agreement”), between the Company, Hexion LLC and the Holders (as defined therein). The determination date for purposes of determining the Fair Market Value shall be the closing date of the purchase
of the applicable equity securities. The closing date of the purchase pursuant to this Section 6(d) shall take place on a date designated by the Company or its subsidiaries (or their designee), as applicable, in accordance with the provisions of the
Investor Rights Agreement. The Company, Hexion LLC or any Affiliate, as applicable, shall have the right to record the transfer of the equity securities in connection with such purchase on its books and records without the consent of the Executive.

  
 Section 7. Enforcement. 
  
 Because the Executive’s services are unique and because the Executive
has access to Confidential Information and Work Product, the parties hereto agree that money damages would be an inadequate remedy for any breach of this Agreement. Therefore, in the event of a breach or threatened breach of this Agreement, the
Company or its successors or assigns may, in addition to other rights and remedies existing in their favor at law or in equity, apply to any court of competent jurisdiction for specific performance and/or injunctive or other relief in order to
enforce, or prevent any violations of, the provisions hereof (without posting a bond or other security) or require the Executive to account for and pay over to the Company all compensation, profits, moneys, accruals, increments or other benefits
derived from or received as a result of any transactions constituting a breach of the covenants contained herein in this Agreement, if and when final judgment of a court of competent jurisdiction is so entered against the Executive. 
  
 Section 8. Severance Payments. 
  
 In addition to the foregoing, and not in any way in limitation thereof, or
in limitation of any right or remedy otherwise available to the Company, if the Executive violates any provision of the foregoing Section 5 or 6, any severance payments then or thereafter due from the Company to the Executive shall be terminated
forthwith and the Company’s obligation to pay and the Executive’s right to receive such severance payments shall terminate and be of no further force or effect, if and when determined by a court of competent jurisdiction, in each case
without limiting or affecting the Executive’s obligations under such Sections 5 and 6 or the Company’s other rights and remedies available at law or equity. 
  

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 Section 9. Executive’s Representations, Warranties and Covenants. 
  
 (a) The Executive hereby represents and warrants to the Company that:

  
 (1) the Executive has all requisite power and
authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby, and this Agreement has been duly executed by the Executive; 
  
 (2) the execution, delivery and performance of this Agreement by the Executive does not and will not, with
or without notice or the passage of time, conflict with, breach, violate or cause a default under any agreement, contract or instrument to which the Executive is a party or any judgment, order or decree to which the Executive is subject; 

 
 (3) the Executive is not a party to or bound by any
employment agreement, consulting agreement, non-compete agreement, confidentiality agreement or similar agreement with any other Person; 
  
 (4) upon the execution and delivery of this Agreement by the Company and the Executive, this Agreement will be a legal, valid and binding
obligation of the Executive, enforceable in accordance with its terms; 
  
 (5) the Executive is a continuing employee of the Company or one of its Affiliates; 
  
 (6) the Executive understands that the Company will rely upon the accuracy and truth of the representations and warranties of the
Executive set forth herein and the Executive consents to such reliance. 
  
 Section 10. General Provisions. 
  
 (a)
Severability. It is the desire and intent of the parties hereto that the provisions of this Agreement be enforced to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is
sought. Accordingly, if any particular provision of this Agreement shall be adjudicated by a court of competent jurisdiction to be invalid, prohibited or unenforceable under any present or future law, and if the rights and obligations of any party
under this Agreement will not be materially and adversely affected thereby, such provision, as to such jurisdiction, shall be ineffective, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of
such provision in any other jurisdiction; furthermore, in lieu of such invalid or unenforceable provision there will be added automatically as a part of this Agreement, a legal, valid and enforceable provision as similar in terms to such invalid or
unenforceable provision as may be possible. Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid, prohibited or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so narrowly
drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction. 
  

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 (b) Other Employment Documents; Entire Agreement. Concurrently with the execution of this
Agreement, the Executive is executing the forms of Security and Invention, Ethics, Conflicts of Interest and Non-Compete Agreements provided by the Company (together, the “Other Employment Agreements”). This Agreement and the Other
Employment Agreements, along with the Company’s Code of Business Ethics, embody the complete agreement and understanding among the parties hereto with respect to the subject matter hereof and supersede and preempt any prior understandings,
agreements or representations by or among the parties, written or oral, which may have related to the subject matter hereof in any way. For the avoidance of doubt, the offer letter dated April 7, 2005 from the Company to the Executive shall
terminate at the Effective Time and be of no further force or effect on and after the Effective Time. The Executive acknowledges having received and read the Company’s Code of Business Ethics. 
  
 (c) Counterparts. This Agreement may be executed in separate
counterparts, each of which is deemed to be an original and all of which taken together constitute one and the same agreement. 
  
 (d) Successors and Assigns. 
  
 (i) This Agreement is personal to the Executive and without the prior written consent of the Company shall not be assignable by the Executive otherwise
than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by the Executive’s legal representatives. 
  
 (ii) This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns. The
Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to assume expressly and agree to perform this Agreement in the
same manner and to the same extent that the Company would be required to perform it if no such succession had taken place. As used in this Agreement, “Company” shall mean the Company as hereinbefore defined and any successor to its
business and/or assets as aforesaid which assumes and agrees to perform this Agreement by operation of law, or otherwise. 
  
 (e) Governing Law. THIS AGREEMENT WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT GIVING EFFECT TO
ANY CHOICE OF LAW OR CONFLICTING PROVISION OR RULE (WHETHER OF THE STATE OF DELAWARE OR ANY OTHER JURISDICTION) THAT WOULD CAUSE THE LAWS OF ANY JURISDICTION OTHER THAN THE STATE OF DELAWARE TO BE APPLIED. IN FURTHERANCE OF THE FOREGOING, THE
INTERNAL LAW OF THE STATE OF DELAWARE WILL CONTROL THE INTERPRETATION AND CONSTRUCTION OF THIS AGREEMENT, EVEN IF UNDER SUCH JURISDICTION’S CHOICE OF LAW OR CONFLICT OF LAW ANALYSIS, THE SUBSTANTIVE LAW OF SOME OTHER JURISDICTION WOULD
ORDINARILY APPLY. 
  

 12 

 (f) Remedies. Each of the parties to this Agreement and any such person or entity granted rights
hereunder whether or not such person or entity is a signatory hereto (including, without limitation, Apollo Management V, L.P. and its Affiliates) shall be entitled to enforce its rights under this Agreement specifically to recover damages and costs
for any breach of any provision of this Agreement and to exercise all other rights existing in its favor. The parties hereto agree and acknowledge that money damages may not be an adequate remedy for any breach of the provisions of this Agreement
and that the Company may in its sole discretion apply to any court of law or equity of competent jurisdiction for specific performance and/or other injunctive relief (without posting any bond or deposit) in order to enforce or prevent any violations
of the provisions of this Agreement. Each party shall be responsible for paying its own attorneys’ fees, costs and other expenses pertaining to any such arbitration and enforcement regardless of whether an arbitrator’s award or finding or
any judgment or verdict thereon is entered against the Executive. 
  
 (g) Amendment and Waiver. The provisions of this Agreement may be amended and waived only with the prior written consent of the Company and the Executive and no course of conduct or failure or delay in enforcing the provisions of
this Agreement shall be construed as a waiver of such provisions or affect the validity, binding effect or enforceability of this Agreement or any provision hereof. 
  
 (h) Notices. Any notice provided for in this Agreement must be in writing and must be either personally delivered,
transmitted via telecopier, mailed by first class mail (postage prepaid and return receipt requested) or sent by reputable overnight courier service (charges prepaid) to the recipient at the address below indicated or at such other address or to the
attention of such other person as the recipient party has specified by prior written notice to the sending party. Notices will be deemed to have been given hereunder and received when delivered personally, when received if transmitted via
telecopier, five days after deposit in the U.S. mail and one day after deposit with a reputable overnight courier service. 
  
 If to the Company, to: 
  
 Hexion Specialty Chemicals, Inc. 
 180 East Broad Street 
 Columbus, OH 43215 
 Facsimile: (614) 225-2108 
 Attention: Craig Morrison 
                  President and CEO 
  
 with a copy (which shall not constitute notice) to: 
  
 Hexion LLC 
 c/o Apollo Management V, L.P. 
 9 West 57th Street 
 New York, New York 10019

 Facsimile: (212) 515-3288 
 Attention: Josh Harris 
  

 13 

 and 
  
 O’Melveny & Myers LLP 
 Times Square Tower 
 7 Times Square 
 New York, New York 10036 
 Facsimile: (212) 326-2061 
 Attention: John J. Suydam, Esq. 
  
 If to the Executive, to the Executive’s address set forth on the signature page hereto. 
  
 (i) Survival of Representations, Warranties and Agreements. Not withstanding anything else contained herein to the contrary, the representations,
warranties and agreements contained in Sections 5 through 9, and this Section 10, shall survive any termination of this Agreement and/or the Employment Period. 
  

(j) Descriptive Headings. The descriptive headings of this Agreement are inserted for convenience only and do not constitute a part of this
Agreement. 
  
 (k) Construction. Where specific language is
used to clarify by example a general statement contained herein, such specific language shall not be deemed to modify, limit or restrict in any manner the construction of the general statement to which it relates. The language used in this Agreement
shall be deemed to be the language chosen by the parties to express their mutual intent, and no rule of strict construction shall be applied against any party. 
  

(l) Waiver of Jury Trial. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR
COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT. 
  
 (m)
Nouns and Pronouns. Whenever the context may require, any pronouns used herein shall include the corresponding masculine, feminine or neuter forms, and the singular form of nouns and pronouns shall include the plural and vice-versa.

  
 (n) Director’s and Officer’s Liability
Insurance. The Company shall use all commercially reasonably efforts to obtain and maintain a director’s and officer’s liability insurance policy during the term of the Executive’s employment covering the Executive on commercially
reasonable terms, and the amount of coverage shall be reasonable in relation to the Executive’s position and responsibilities hereunder; provided, however, that such coverage may be reduced or eliminated to the extent that the Company reduces
or eliminates coverage for its directors and executives generally. The obligations to provide insurance coverage set forth in this Section 10(n) are in addition to, and do not in any way limit, the obligations set forth in Section 3.11
of the Purchase Agreement. 
  

 14 

 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written
above. 
  

			
	HEXION SPECIALTY CHEMICALS, INC.
		
	By	 	 /s/ Craig O. Morrison

	Name:	 	Craig O. Morrison
	Title:	 	President and Chief Executive Officer
	
	EXECUTIVE
		
	 	 	 /s/ Mark S. Antonvich

	Name: Mark S. Antonvich
	
	Address:
	 1955 Vermont Street
 Houston, Texas
77019Amended and Restated Investor Rights Agreement dated as of May 31, 2005

 Exhibit 10.63 
  
 AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT dated as of May 31, 2005 (this “Agreement”), among
HEXION LLC, a Delaware limited liability company formerly known as BHI Acquisition Corp. (“Hexion LLC”), HEXION SPECIALTY CHEMICALS, INC., a New Jersey corporation (formerly known as Borden Chemical, Inc.
(“BCI” or the “Company”) and the HOLDERS (as hereinafter defined). 
  
 WHEREAS, BHI Acquisition Corp., BHI Investment and the Borden Management Holders previously entered into each of that certain Investor Rights
Agreement, dated as of August 12, 2004 (the “Original Agreement”) and the certain Registration Rights Agreement dated as of August 12, 2004 (the “Original Registration Rights Agreement”); 
  
 WHEREAS, (i) Resolution Performance Products Inc. (“RPP
Inc.”) and the RPP Holders previously entered into that certain Investor Rights Agreement, dated as of November 14, 2000 (the “RPP Agreement”), and (ii) Resolution Specialty Materials Inc. (“RSM Inc.”) and
the RSM Holders previously entered into that certain Investor Rights Agreement, dated as of August 2, 2004 (the “RSM Agreement”); 
  
 WHEREAS, pursuant to that certain Transaction Agreement, dated as of April 22, 2005 (the “Transaction Agreement”), among RPP
Holdings LLC (“RPP Holdings”), Resolution Specialty Materials Holdings LLC (“RSM Holdings”), BHI Acquisition Corp., BHI Merger Sub One Inc., BHI Merger Sub Two Inc. and BCI, certain mergers and related transactions
(the “Combination”) have been effected, including the creation of the Company via merger of certain entities with and into BCI; 
  
 WHEREAS, pursuant to the Combination, (i) Apollo Fund V (as successor-in-interest to BHI Investment) and the Borden Management Holders have had
their respective common stock in BHI Acquisition Corp. converted into membership interests in Hexion LLC (“Units”) and (ii) the RPP Holders and the RSM Holders have had, except to the extent of the exercise of any rights of
appraisal in respect thereof, their respective common stock in each of RPP Inc. and/or RSM Inc. converted into Units, all on the terms and subject to the conditions set forth in the Transaction Agreement; 
  
 WHEREAS, the Combination further contemplates the voluntary redemption
by certain Holders of their Units, received as aforesaid, for an equivalent amount of Common Stock (a “Conversion”); 
  
 WHEREAS, in connection with the Combination, (A) Apollo Fund V (as successor-in-interest to BHI Investment) and the Borden Management Holders wish
to amend and restate the Original Agreement and the Original Registration Rights Agreement as provided herein and (B) (i) the RPP Holders wish to amend and restate the RPP Agreement and (ii) the RSM Holders wish to amend and restate the RSM
Agreement, in each case as provided herein, 

 
and (C) the RPP Holders and the RSM Holders wish to join this Agreement to effect the amending and restating of such aforementioned agreements, to provide
for the continuity and stability of the business and policies of Hexion LLC and the Company; 
  
 WHEREAS, RPP Inc. and RPP Holdings had previously entered into that certain Registration Rights Agreement dated as of November 14, 2000 (the “RPP Registration Rights Agreement”) and RSM Inc.
and RSM Holdings had previously entered into that certain Registration Rights Agreement dated as of August 2, 2004 (the “RSM Registration Rights Agreement”); and 
  
 WHEREAS, in connection with the Combination, Hexion LLC as successor in interest to each of RPP Inc. and RPP Holdings
desires to terminate the RPP Registration Rights Agreement and the Company as successor in interest to each of RSM Inc. and RSM Holdings desires to terminate the RSM Registration Rights Agreement. 
  
 NOW, THEREFORE, in consideration of the premises and of the mutual
covenants and obligations hereinafter set forth, the parties agree as follows: 
  
 Section 1. Definitions; Rules of Construction. 
  
 (a) As used in this Agreement: 
  
 “Adoption Agreement” means an agreement substantially in the form of Exhibit A or in such other form that is reasonably satisfactory to the Company and Hexion LLC. 
  
 “Affiliate” of the Company, Hexion LLC or the Apollo Group
means a Person that directly or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, the Company, Hexion LLC or the Apollo Group, as applicable. As used in this definition, the term
“control,” including the correlative terms “controlling,” “controlled by” and “under common control with,” means the possession, directly or indirectly, of the power to direct or cause the direction of
management or policies (whether through ownership of securities or any partnership or other ownership interest, by contract or otherwise) of a Person. The term “Affiliate” shall not include at any time any portfolio companies of Apollo
Management IV, L.P., Apollo Management V, L.P. or any of their respective Affiliates. 
  
 “Affiliate” of a Holder (other than the Apollo Group) means: (i) any member of the immediate family of an individual Holder, including parents, siblings, spouse and children (including those by
adoption); the parents, siblings, spouse, or children (including those by adoption) of such immediate family member, and in any such case any trust whose primary beneficiary is such individual Holder or one or more members of such immediate family
and/or such Holder’s lineal descendants; (ii) the legal representative or guardian of such individual Holder or of any such immediate family member in the event such individual Holder or any such immediate family member becomes mentally
incompetent; and (iii) any Person controlling, controlled by or under common control with a Holder. As used in this definition, the term “control,” including the correlative terms “controlling,” “controlled by” and
“under common control with,” means possession, directly or indirectly, of the power to direct or cause the direction of management or policies (whether through ownership of securities or any partnership or other ownership interest, by
contract or otherwise) of a Person. The term “Affiliate” shall not include at any time any portfolio companies of Apollo Management IV, L.P, Apollo Management V, L.P or any of their respective Affiliates. 
  

 2 

 “Agreement” has the meaning set forth in the Caption. 
  
 “Apollo Fund V” means Apollo Investment Fund V, L.P. and
Apollo Overseas Partners V, L.P. and each of their respective Affiliates. 
  
 “Apollo Group” means Apollo Fund V, Apollo Investment Fund IV, L.P., Apollo Overseas Partners IV, L.P. and each of their respective Affiliates; provided, that the “Apollo Group” also
includes Hexion LLC with respect to any rights and obligations of the Apollo Group in its capacity as a holder of Common Stock. 
  
 “Apollo Investor” has the meaning set forth in Section 12(a). 
  
 “Asset Sale” means the sale of all or substantially all of the assets of Hexion LLC, on a consolidated
basis, to a Person or Group that is not an Affiliate of any member of the Apollo Group. 
  
 “BCI” has the meaning set forth in the Caption. 
  
 “BHI Investment” means BHI Investment, LLC, a Delaware limited liability company formed by Apollo Fund V on June 17, 2004, the members of
which are all members of the Apollo Group. 
  
 “Board of
the Company” means the board of directors or equivalent governing board of the Company or any duly authorized committee thereof. All determinations by any such Board required pursuant to the terms of this Agreement to be made by such Board
shall be binding and conclusive. 
  
 “Board of Hexion
LLC” means the board of directors or equivalent governing board of Hexion LLC or any duly authorized committee thereof. All determinations by any such Board required pursuant to the terms of this Agreement to be made by such Board shall be
binding and conclusive. 
  
 “Borden Management
Holders” means the Persons listed under the heading “Borden Management Holders” on Schedule I hereto. 
  
 “Cause” means, with respect to the termination of relationship of any Management Holder by the Company or Hexion LLC, as applicable, or
any of their respective subsidiaries: (i) if such Management Holder is at the time of termination a party to an employment agreement with the Company, Hexion LLC, as applicable, or any of their respective subsidiaries that defines such term, the
meaning given to such term therein; and (ii) in all other cases, the termination by the Company, Hexion LLC, as applicable, or any of their respective subsidiaries, of a Management Holder’s relationship with the Company or Hexion LLC, as
applicable, based on such Management Holder’s (a) commission of a crime of moral turpitude or a felony that involves financial misconduct or moral turpitude or has resulted, or reasonably could be expected to result, in any adverse publicity
regarding the Management Holder, or the 

  

 3 

 
Company, Hexion LLC, or any of their respective subsidiaries, or economic injury to the Company, Hexion LLC or any of their respective subsidiaries, (b)
dishonesty or willful commission or omission of any action that has resulted, or reasonably could be expected to result, in any adverse publicity regarding the Management Holder or the Company, Hexion LLC or any of their respective subsidiaries, or
has caused, or reasonably could be expected to cause, demonstrable and serious economic injury to the Company, Hexion LLC or any of their respective subsidiaries or (c) material breach of this Agreement or any other agreement entered into between
the Management Holder and the Company, Hexion LLC or any of their respective subsidiaries, or any of their respective Affiliates after notice and a reasonable opportunity to cure (if such breach can be cured). For purposes hereof, no act or omission
shall be considered willful unless committed in bad faith or without a reasonable belief that the act or omission was in the best interests of the Company, Hexion LLC or any of their respective subsidiaries. 
  
 “Closing Date” has the meaning set forth in the Transaction
Agreement. 
  
 “Co-Invest Group” means GS Private
Equity Partners II, L.P., GS Private Equity Partners II Offshore, L.P., GS Private Equity Partners II - Direct Investment Fund, L.P., GS Private Equity Partners III, L.P., GS Private Equity Partners III Offshore, L.P., and JPMorgan Chase Bank, as
trustee for First Plaza Group Trust, solely with respect to pools PMI 111 and PMI 112. 
  
 “Combination” has the meaning set forth in the Recitals. 
  
 “Come Along Option” has the meaning set forth in Section 2(b)(i). 
  
 “Come Along Transaction” means (i) any sale or transfer by the Apollo Group of Units to any third party
following which (when aggregated with all prior such sales or transfers), the Apollo Group shall have disposed of more than 10% of the number of Units that the Apollo Group owned as of the Original Issue Date to a transferee or Group that is not an
Affiliate of the Apollo Group or (ii) an Asset Sale. 
  
 “Common Stock” means the common stock of the Company, par value $0.01 per share. 
  
 “Company” has the meaning set forth in the Caption. 
  
 “Company Demand Registration” has the meaning given to such term in the Company Registration Rights
Agreement. 
  
 “Company Registration Rights
Agreement” means the registration rights agreement, dated as of the date hereof, between the Company and Hexion LLC, as it may be amended, supplemented or restated from time to time. 
  
 “Control Disposition” means a Disposition that would have
the effect of transferring to a Person or Group that is not an Affiliate of the Apollo Group a number of Units such that, following the consummation of such Disposition, such Person or Group possesses the voting power to elect a majority of the
Board of Hexion LLC (whether by merger, consolidation or sale or transfer of Units). 
  

 4 

 “Control Disposition of Common Stock” means a Disposition that would have the effect of
transferring to a Person or Group that is not an Affiliate of the Apollo Group a number of shares of Common Stock such that, following the consummation of such Disposition, such Person or Group possesses the voting power to elect a majority of the
Board of the Company (whether by merger, consolidation or sale or transfer of Common Stock). 
  
 “Conversion” has the meaning set forth in the Recitals. 
  
 “Deemed Held Units” has the meaning set forth in Section 2(a)(ii). 
  
 “Disability” means, with respect to any Management Holder, such Management Holder’s inability to
perform the duties and obligations required by such Management Holder’s job by reason of any medically determined physical or mental impairment, as determined in accordance with the provisions of long term disability coverage under the Borden
Chemical, Inc. Total Family Protection Plan (the “Total Family Protection Plan”); provided, however, that if such Management Holder has not elected long term disability coverage under the Total Family Protection Plan, then
“Disability” shall mean, with respect to such Management Holder, any medically determined physical or mental impairment (as determined by a physician selected by the Company or its insurers and acceptable to such Management Holder or such
Management Holder’s legal representative (such agreement as to acceptability not to be withheld unreasonably)) that prevents such Management Holder from performing the duties and obligations required by such Management Holder’s job for
more than 90 days during any period of 180 consecutive days. 
  
 “Disposition” means any direct or indirect transfer, assignment, sale, gift, pledge, hypothecation or other encumbrance, or any other disposition, of any Common Stock or Units, as applicable, or any interest therein or
right thereto or of all or part of the voting power (other than the granting of a revocable proxy) associated with Common Stock or Units, as applicable, or any interest therein whatsoever, or any other transfer of beneficial ownership of Common
Stock or Units, as applicable, whether voluntary or involuntary, including (a) as a part of any liquidation of a Non-Apollo Holder’s assets or (b) as a part of any reorganization of a Non-Apollo Holder pursuant to the United States or other
bankruptcy law or other similar debtor relief laws. 
  
 “EBITDA” for any period, means consolidated net income (loss), plus extraordinary losses, less extraordinary gains, plus income taxes, plus interest expenses, plus depreciation and amortization expenses, for such period,
all of which amounts, as well as the method of calculation, may be subject to appropriate adjustment for non-recurring items by the majority of the Board of the Company or the majority of the Board of Hexion LLC, as applicable, in its sole
discretion. 
  
 “Exchange Act” means the
Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder. 
  
 “Fair Market Value” means the following: 
  
 (a) With respect to each share of Units or Capital Stock, as applicable, held by any Non-Apollo Holder, the per share fair market value of the outstanding Units or Common Stock, as applicable, as such fair market
value was last determined in good faith by the Board of 

  

 5 

 
the Company or the Board of Hexion LLC, as applicable, prior to the date of determination or, if the Board of the Company or the Board of Hexion LLC, as
applicable, determines in good faith that such fair market value has materially changed from the amounts as last determined in good faith by the Board of the Company or the Board of Hexion LLC, as applicable, prior to the date of determination, the
fair market value as determined in good faith by the Board of the Company or the Board of Hexion LLC, as applicable, as of the most recent practicable date prior to the date of determination. Neither the Board of the Company nor the Board of Hexion
LLC, as applicable, shall have any obligation to determine such fair market value at any time. Neither the Company nor Hexion LLC, nor any of their respective officers, directors, employees or agents, shall have any liability with respect to
valuation of Units or Common Stock, as applicable, that are bought or sold at the Fair Market Value, as determined pursuant to this paragraph even though the Fair Market Value, as so determined, may be more or less than actual fair market value, and
shall be fully protected in relying in good faith upon the records of the Company or of Hexion LLC, as applicable, and upon information, opinions, reports or statements presented to the Company or to Hexion LLC, as applicable, by any Person as to
matters which the Company or Hexion LLC, as applicable, or such director, officer, employee or agent reasonably believes are within such other Person’s professional or expert competence and who has been selected with reasonable care by or on
behalf of the Company or Hexion LLC, as applicable. The fair market value of Common Stock or Units, as applicable, as of the date of this Agreement and until the first determination of fair market value thereof by the Board of the Company or the
Board of Hexion LLC, as applicable, shall, for purposes of this paragraph, be deemed to be the Original Cost, subject to appropriate adjustment by the Board of the Company or the Board of Hexion LLC, as applicable, for stock splits, stock dividends,
combinations and similar transactions. 
  
 (b) Notwithstanding
anything to the contrary contained in paragraph (a) above, if any Units or Common Stock, as applicable, are publicly traded or quoted at the time of determination, then the per share fair market value of such Units or Common Stock, as applicable,
shall be the most recent closing trading price of such Units or Common Stock, as applicable, on the business day immediately prior to the date of determination as determined by the Board of the Company or the Board of Hexion LLC, as applicable, in
good faith. 
  
 “Good Reason” means voluntary
resignation after any of the following actions are taken by the Company or Hexion LLC, as applicable, or any of their respective subsidiaries without the Management Holder’s consent: (a) the continued failure to pay compensation when due to the
Management Holder for more than thirty (30) days; (b) a significant diminution in the responsibilities or authority of the Management Holder other than an insubstantial and inadvertent diminution that is remedied by the Company or Hexion LLC, as
applicable, or any of their respective subsidiaries promptly after receipt of written notice thereof sent by the Management Holder; (c) a significant diminution in the annual base salary and bonus to be paid to the Management Holder as in effect on
the Closing Date (but not including any diminution related to a broader compensation reduction that is not limited to any particular employee or executive) or (d) relocation of the Management Holder’s primary work place, as assigned to him by
the Company or Hexion LLC, as applicable, beyond a fifty (50) mile radius of the employee’s current location; provided, however, that none of the events described in the foregoing clauses (a), (b), (c) or (d) shall constitute Good Reason unless
the Management Holder shall have notified the Company or Hexion LLC, as applicable, in writing describing the events that constitute Good Reason and then only if the Company or Hexion LLC, as applicable, shall have 

  

 6 

 
failed to cure such events within (x) in the case of clause (a), fifteen (15) days, or (y) in the case of clauses (b), (c) or (d), thirty (30) days, in each
case after the Company’s receipt of such written notice. 
  
 “Group” has the meaning set forth in Section 13(d)(3) of the Exchange Act. 
  
 “Hexion LLC” has the meaning set forth in the Caption. 
  
 “Hexion LLC Option Plan” means the 2004 Stock Incentive Plan of Hexion LLC. 
  
 “Holder Notice” has the meaning set forth in Section
10(a). 
  
 “Holder Piggyback Notice” has the meaning
set forth in Section 10(a). 
  
 “Holders”
means the Apollo Group and the Non-Apollo Holders, collectively. 
  
 “Indebtedness” means, with respect to any Person, (a) all indebtedness of such Person for borrowed money, whether current or funded, or secured or unsecured, (b) all indebtedness of such Person for the deferred purchase
price of property or services represented by a note, bond, debenture or similar instrument and any other obligation or liability represented by a note, bond, debenture or similar instrument, (c) all indebtedness of such Person created or arising
under any conditional sale or other title retention agreement with respect to property acquired by such Person (even though the rights and remedies of the seller or lender under such agreement in the event of default are limited to repossession or
sale of such property), (d) all indebtedness of such Person secured by a purchase money mortgage or other lien to secure all or part of the purchase price of the property subject to such mortgage or lien, (e) all obligations of such Person to pay
rent or other amounts under any lease of (or other arrangement conveying the right to use) real or personal property, or a combination thereof, which obligations are required to be classified and accounted for as capital leases on a balance sheet of
such Person under generally accepted accounting principles in the United States of America (“GAAP”) and, for the purposes of this Agreement, the amount of such obligations at any time shall be the capitalized amount thereof at such
time determined in accordance with GAAP, (f) all unpaid reimbursement obligations of such Person with respect to letters of credit, bankers’ acceptances or similar facilities issued for the account of such Person, (g) all obligations of such
Person under any forward contract, futures contract, swap, option or other financing agreement or arrangement (including caps, floors, collars and similar agreements), the value of which is dependent upon interest rates, currency exchange rates,
commodities or other indices, (h) all interest, fees and other expenses owed with respect to the indebtedness referred to above (and any prepayment penalties or fees or similar breakage costs or other fees and costs required to be paid in order for
such Indebtedness to be satisfied and discharged in full), and (i) all indebtedness referred to above which is directly or indirectly guaranteed by such Person or which such Person has agreed (contingently or otherwise) to purchase or otherwise
acquire or in respect of which it has otherwise assured a creditor against loss. 
  
 “Indenture” means the indenture, dated as of November 14, 2000, with the Bank of New York acting as trustee, and pursuant to which RPP Inc. is authorized to issue Initial Notes (as defined therein) in
the principal amount of $141,400,000, as it is amended, supplemented or restated from time to time. 
  

 7 

 “IRA” has the meaning set forth in Section 3(b)(iii). 
  
 “Management Holder” means any Non-Apollo Holder who is
employed by, or serves as a consultant or director to, the Company or Hexion LLC, as applicable. 
  
 “Non-Apollo Holders” means the Holders other than any Holder that is a member of the Apollo Group. 
  
 “Notes” means each 10.9% junior subordinated note due 2012,
dated as of November 14, 2000, issued by RPP Inc. pursuant to the Indenture. 
  
 “Offer” has the meaning set forth in Section 3(a). 
  
 “Offeror” has the meaning set forth in Section 3(a). 
  
 “Option” means the options issued pursuant to (i) in the case of Apollo Fund V (as successor-in-interest to
BHI Investment) and any Borden Management Holder, the Hexion LLC Option Plan, (ii) in the case of any RPP Holder, the RPP Option Plan and (iii) in the case of any RSM Holder, the RSM Option Plan, in each case as such plan may be amended,
supplemented, restated or otherwise modified from time to time. 
  
 “Original Agreement” has the meaning set forth in the Recitals. 
  
 “Original Cost” means (i) as regards Units, (x) with respect to each RPP Holder, the aggregate purchase price paid by such Holder for all shares of common stock of RPP plus all Notes (as such
term is defined in the RPP Agreement) purchased by such Holder divided by the aggregate number of Units held by such Holder as of the date hereof, subject to appropriate adjustment by the Board of Hexion LLC for splits, in-kind dividends,
combinations and similar transactions, (y) with respect to RSM Holders, the aggregate purchase price for all shares of common stock of RSM purchased by such Holder divided by the aggregate number of Units held by such Holder as of the date
hereof, subject to appropriate adjustment by the Board of Hexion LLC for splits, in-kind dividends, combinations and similar transactions and (z) with respect to the Borden Holders, the aggregate purchase price paid for shares of Common Stock (as
such term is defined in the Original Agreement) divided by the aggregate number of Units held by such Holder as of the date hereof, subject to appropriate adjustment by the Board of Hexion LLC for splits, in-kind dividends, combinations and
similar transactions; and (ii) as regards Common Stock, (x) with respect to each RPP Holder, the aggregate purchase price paid by such Holder for all shares of common stock of RPP plus all Notes (as such term is defined in the RPP Agreement)
purchased by such Holder divided by the aggregate number of shares of Common Stock issued to such Holder in exchange for the Units held by such Holder as of the date hereof, subject to appropriate adjustment by the Board of the Company for
splits, in-kind dividends, combinations and similar transactions, (y) with respect to RSM Holders, the aggregate purchase price for all shares of common stock of RSM purchased by such Holder divided by the aggregate number of shares of Common
Stock issued to such Holder in exchange for the Units held by such Holder as of the date hereof, subject to appropriate adjustment by the Board of the Company for splits, in-kind dividends, combinations and similar transactions and (z) with respect
to the Borden Holders, the aggregate purchase price for the shares of Common Stock (as such term is defined in the Original Agreement) divided by the aggregate number of shares of 

  

 8 

 
Common Stock issued to such Holder in exchange for the Units held by such Holder as of the date hereof, subject to appropriate adjustment by the Board of the
Company for splits, in-kind dividends, combinations and similar transactions. 
  
 “Original Issue Date” means with respect to any Unit or share of Common Stock issued to a Holder, the date of issuance of such Unit or share of Common Stock to such Holder, as applicable.

  
 “Original Registration Rights Agreement” has
the meaning set forth in the Recitals. 
  
 “Person” shall be construed broadly and shall include, without limitation, an individual, a partnership, a limited liability company, a corporation, an association, a joint stock company, a trust, a joint venture, an
unincorporated organization and a governmental entity or any department, agency or political subdivision thereof. 
  
 “Proportionate Percentage” means, with respect to any Holder at the time of any Tag Along Transaction, a fraction (expressed as a
percentage) the numerator of which is the total number of Units held by such Holder as of such time (including any Units that such Holder purchases pursuant to any Option exercised in connection with the Tag Along Transaction and any units
distributed to such Holder pursuant to any deferred compensation plan in connection with the Tag Along Transaction) and the denominator of which is the total number of Units outstanding at the time of determination (including any Units that any
Holder purchases pursuant to any Option exercised in connection with the Tag Along Transaction and any units distributed to such Holder pursuant to any deferred compensation plan in connection with the Tag Along Transaction). 
  
 “Prospectus” means the prospectus included in any
Registration Statement, as amended or supplemented by any prospectus supplement with respect to the terms of the offering of any portion of the securities covered by such Registration Statement and, in each case, by all other amendments and
supplements to such prospectus, including post-effective amendments and, in each case, all material incorporated by reference in such prospectus. 
  
 “Proxy” has the meaning set forth in Section 5(a). 
  
 “Public Sale” means any sale, occurring simultaneously with or after an initial public offering, of Common
Stock or Units, as applicable, to the public pursuant to an offering registered under the Securities Act or to the public in the manner described by the provisions of Rule 144(f) promulgated thereunder. 
  
 “Qualified Public Offering” means an underwritten public
offering of Common Stock pursuant to an effective registration statement filed by BCI (as predecessor in interest to the Company) with the Securities and Exchange Commission (other than on Forms S-4 or S-8 or successors to such forms) under the
Securities Act, pursuant to which the aggregate offering price of the Common Stock sold in such offering is at least $100 million. 
  
 “Qualified Public Offering of Hexion LLC” means an underwritten public offering of common stock or equity securities of Hexion LLC
pursuant to an effective 

  

 9 

 
registration statement filed by Hexion LLC with the Securities and Exchange Commission (other than on Forms S-4 or S-8 or successors to such forms) under the
Securities Act, pursuant to which the aggregate offering price of the equity securities sold in such offering is at least $100 million. 
  
 “Registrable Stock” means Common Stock, and shall also include any equity security of the Company or any successor thereto, issued in
respect of or in exchange for Common Stock, whether by way of dividend or other distribution, stock split, recapitalization, merger, rollup transaction, consolidation or reorganization or otherwise; provided, that any Registrable Stock shall
cease to be Registrable Stock when (i) a Registration Statement with respect to the sale of such Registrable Stock has been declared effective under the Securities Act and such Registrable Stock has been disposed of in accordance with the plan of
distribution set forth in such Registration Statement, (ii) such Registrable Stock is distributed pursuant to Rule 144 (or any similar provision then in force) under the Securities Act or (iii) such Registrable Stock shall have been otherwise
transferred and new certificates for them not bearing a legend restricting further transfer under the Securities Act shall have been delivered by the Company; and provided, further, that any Common Stock that has ceased to be Registrable
Stock shall not thereafter become Registrable Stock and any security that is issued or distributed in respect of Common Stock that has ceased to be Registrable Stock shall not be Registrable Stock. 
  
 “Registrable Units” means Units, and shall also include any
equity security of Hexion LLC or any successor thereto, issued in respect of or in exchange for Units, whether by way of dividend or other distribution, stock split, recapitalization, merger, rollup transaction, consolidation or reorganization or
otherwise; provided, that any Registrable Units shall cease to be Registrable Units when (i) a Registration Statement with respect to the sale of such Registrable Units has been declared effective under the Securities Act and such Registrable
Units have been disposed of in accordance with the plan of distribution set forth in such Registration Statement, (ii) such Registrable Units are distributed pursuant to Rule 144 (or any similar provision then in force) under the Securities Act or
(iii) such Registrable Units shall have been otherwise transferred and new certificates for them not bearing a legend restricting further transfer under the Securities Act shall have been delivered by Hexion LLC; and provided, further, that
any Units that have ceased to be Registrable Units shall not thereafter become Registrable Units and any security that is issued or distributed in respect of Units that have ceased to be Registrable Units shall not be a Registrable Unit. 

 
 “Registration Statement” means any registration statement
(i) that, with respect to Hexion LLC, covers the Registrable Units or (ii) that, with respect to the Company, covers the Registrable Stock, in each case, including the Prospectus, amendments and supplements to such Registration Statement, including
post-effective amendments, all exhibits thereto and all material incorporated by reference in such Registration Statement. 
  
 “Representatives” has the meaning set forth in Section 12(b)(i). 
  
 “Repurchase Date” has the meaning set forth in Section 4(a)(i). 
  
 “Repurchase Event” means, with respect to any Management
Holder, such Management Holder’s termination of relationship with the Company or Hexion LLC, as applicable, or any of their respective subsidiaries for any reason (including upon death or Disability). 
  

 10 

 “Required Voting Percentage” means, (i) with respect to Holders of Common Stock (x) a
majority of the shares of Common Stock owned by the Non-Apollo Holders as of the date the vote is taken and (y) the vote of Common Stock owned by Hexion LLC, and (ii) with respect to Holders of Units (x) a majority of the Units owned by the
Non-Apollo Holders as of the date the vote is taken (including, for purposes of this calculation, Deemed Held Units) and (y) the vote of Units owned by the Apollo Group. 
  
 “RPP Agreement” has the meaning set forth in the Recitals. 
  
 “RPP Holders” means the RPP Identified Holders and the RPP
Management Holders, collectively. 
  
 “RPP
Holdings” has the meaning set forth in the Recitals. 
  
 “RPP Holdings Operating Agreement” means the Amended and Restated RPP Holdings Operating Agreement dated as of November 14, 2000. 
  
 “RPP Identified Holders” means the Persons listed under the heading “RPP Identified Holders” on Schedule I hereto. 

 
 “RPP Inc.” has the meaning set forth in the Recitals.

  
 “RPP Management Holders” means the Persons
listed under the heading “RPP Management Holders” on Schedule I hereto. 
  
 “RPP Option Plan” means the 2000 Stock Option Plan of RPP Inc. and the 2000 Non-Employee Director Stock Option Plan, collectively. 
  
 “RPP Registration Rights Agreement” has the meaning set forth in the Recitals. 
  
 “RSM Agreement” has the meaning set forth in the Recitals.

  
 “RSM Holders” means RSM Holdings and the RSM
Management Holders, collectively. 
  
 “RSM
Holdings” has the meaning set forth in the Recitals. 
  
 “RSM Inc.” has the meaning set forth in the Recitals. 
  
 “RSM Management Holders” means the Persons listed under the heading “RSM Management Holders” on Schedule I hereto. 
  
 “RSM Option Plan” means the 2004 Stock Option Plan of RSM Inc. 
  
 “RSM Registration Rights Agreement” has the meaning set
forth in the Recitals. 
  

 11 

 “Sale Notice” has the meaning set forth in Section 2(a)(i). 
  
 “Securities” means, with respect to any Person, such
Person’s “securities” as defined in Section 2(1) of the Securities Act and includes such Person’s capital stock or other equity interests or any options, warrants or other securities that are directly or indirectly convertible
into, or exercisable or exchangeable for, such Person’s capital stock or other equity or equity-linked interests, including phantom stock and stock appreciation rights. 
  
 “Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations thereunder.

  
 “Selling Stockholders” means, upon the proper
delivery of a Holder Piggyback Notice, the Holders holding Registrable Stock. 
  
 “Shell” means Shell Oil Company. 
  
 “Subject Employee” has the meaning set forth in Section 3(b)(iii). 
  
 “Tag Along Holder” has the meaning set forth in Section 2(a)(ii). 
  
 “Tag Along Notice” has the meaning set forth in Section 2(a)(ii). 
  
 “Tag Along Transaction” means the sale or transfer by the
Apollo Group of Units to any third party following which (when aggregated with all prior such sales or transfers but excluding any Qualified Public Offering or Qualified Public Offering of Hexion LLC) the Apollo Group shall have disposed of more
than 10% of the number of Units that the Apollo Group owned as of the Original Issue Date to a transferee or Group that is not an Affiliate of the Apollo Group. For the avoidance of doubt, neither a Qualified Public Offering nor a Qualified Public
Offering of Hexion LLC shall constitute a Tag Along Transaction or (ii) an Asset Sale. 
  
 “Term” has the meaning set forth in Section 5(a). 
  
 “Transaction Agreement” has the meaning set forth in the Recitals. 
  
 “Underwritten Offering” means a sale of either of Units or Common Stock, as applicable, to an underwriter
for reoffering to the public. 
  
 “Units” has the
meaning set forth in the Recitals. 
  
 (b) Rules of
Construction. 
  
 (i) Unless otherwise
indicated, the words “hereof,” “herein,” “hereto” and “hereunder” and words of similar import when used in this Agreement refer to this Agreement as a whole and not to any particular provision of this
Agreement, and any reference in this Agreement to any Caption, Recital, Article, Section, clause, Schedule, Annex or Exhibit shall be to the Caption, Recitals, Articles, Sections and clauses of, and Schedules, Annexes and Exhibits to, this
Agreement. 
  

 12 

 (ii) The words “include,” “includes” and “including” are
deemed to be followed by the phrase “without limitation.” Any reference to the masculine, feminine or neuter gender shall include each other gender and any reference to the singular or plural shall include the other, in each case unless
the context otherwise requires. All Exhibits and Schedules, if any, annexed hereto or referred to herein are incorporated in and made a part of this Agreement as if set forth in full herein. 
  
 Section 2. Certain Dispositions. 
  
 (a) Tag Along Transaction. 
  
 (i) Subject to the provisions of Section 2(b), prior
to the earlier to occur of the consummation of a Qualified Public Offering and the consummation of a Qualified Public Offering of Hexion LLC, if the Apollo Group desires to effect a Tag Along Transaction, it shall give written notice to the Holders
offering such Holders the option to participate in such Tag Along Transaction (a “Sale Notice”). The Sale Notice shall set forth the material terms of the proposed Tag Along Transaction and identify the contemplated transferee or
Group. 
  
 (ii) Each of the Holders may, by
written notice to the Apollo Group (a “Tag Along Notice”) delivered within ten (10) days after the date of the Sale Notice (each such Holder delivering such timely notice being a “Tag Along Holder”), elect to sell
in such Tag Along Transaction the Units held by such Holder, provided that the number of Units to be sold by such Holder will not exceed such Holder’s Proportionate Percentage (as calculated pursuant to subsection (iii) below) of the total
number of Units that the Apollo Group proposes to sell or transfer in the applicable Tag Along Transaction. The Units to be sold by a Tag Along Holder in a Tag Along Transaction may include, to the extent applicable, Units (x) to be distributed to
such Tag Along Holder in connection with such Tag Along Transaction from any deferred compensation plan or (y) that such Tag Along Holder may obtain by exercising any Options held by such Tag Along Holder that are vested as of the date of such Tag
Along Notice or that would vest in connection with such Tag Along Transaction (collectively the “Deemed Held Units”). 
  
 (iii) If none of the Holders delivers a timely Tag Along Notice, then the Apollo Group may thereafter consummate the Tag Along
Transaction, on substantially the same terms and conditions as are described in the Sale Notice (including, without limitation, the number of Units being sold and the sale price), for a period of 360 days thereafter. In the event the Apollo Group
has not consummated the Tag Along Transaction within such 360 day period, the Apollo Group shall not thereafter consummate a Tag Along Transaction without first providing a Sale Notice and an opportunity to the Holders to sell in the manner provided
above. If one or more of the Holders gives the Apollo Group a timely Tag Along Notice, then the Apollo Group shall use all reasonable efforts to cause the prospective transferee or Group to agree to acquire all units identified in all timely Tag
Along Notices on the same terms and conditions as are applicable to the Units held by the Apollo Group. If such prospective transferee or Group is unable or unwilling to acquire all Units proposed to be included in the Tag 

  

 13 

 
Along Transaction on such terms, then the Apollo Group may elect either to cancel such Tag Along Transaction or to allocate the maximum number of units that
such prospective transferee or Group is willing to purchase among the Apollo Group and the Tag Along Holders in the proportion that each such Tag Along Holder’s and the Apollo Group’s Proportionate Percentage bears to the total
Proportionate Percentages of the Apollo Group and the Tag Along Holders (e.g., if the Sale Notice contemplated a Tag Along Transaction of 10% Proportionate Percentage by the Apollo Group, and if the Apollo Group at such time owns a 30%
Proportionate Percentage, and one Tag Along Holder who owns a 20% Proportionate Percentage elects to participate, then the Apollo Group would be entitled to sell a 6% Proportionate Percentage (30%/50% multiplied by the 10% Proportionate Percentage)
and the Tag Along Holder would be entitled to sell a 4% Proportionate Percentage (20%/50% multiplied by the 10% Proportionate Percentage)). 
  
 (iv) Notwithstanding the provisions of this Section 2(a), during the first twelve (12) months of this Agreement, the Apollo Group
may transfer up to 25% of the Units then owned by it without complying with the provisions of this Section 2(a); provided that such transferee shall agree to become bound by the provisions set forth in this Section 2(a) in the
same manner as the Apollo Group. 
  
 (v) For
purposes of this Section 2(a), any holder of Units who has a contractual right to participate in such Tag Along Transaction or any other holder of Units who is otherwise participating in such Tag Along Transaction with the consent of the
Apollo Group shall be deemed to be a “Holder” under this Section 2(a). 
  
 (b) Come Along Transaction. 
  
 (i) If the Apollo Group desires to effect a Come Along Transaction, whether prior or subsequent to the consummation of a Qualified Public Offering or a Qualified Public Offering of Hexion LLC, then in lieu of
complying with the requirements of Section 2(a), the Apollo Group at its option (the “Come Along Option”) may require all Holders to sell the same percentage of their respective Units (including their Deemed Held Units) as
the Apollo Group desires to sell to the transferee or Group selected by the Apollo Group, at the same price per unit and on the same terms and conditions as apply to those sold by the Apollo Group. 
  
 (ii) Each Holder shall consent to and raise no objections
against the Come Along Transaction, and if the Come Along Transaction is structured as (a) a merger or consolidation of Hexion LLC or an Asset Sale, each Holder shall waive any dissenters’ rights, appraisal rights or similar rights in
connection with such merger, consolidation or Asset Sale, or (b) a sale of all of the membership units of Hexion LLC, the Holders shall agree to sell all their Units that are the subject of the Come Along Transaction (including their Deemed Held
Units) at the same price per unit and generally on the same terms and conditions as apply to those sold by the Apollo Group. The Holders shall take all necessary and desirable actions reasonably requested by the Apollo Group in connection with the
consummation of the Come Along Transaction, including the execution of such agreements and such instruments and the taking of such other actions as are reasonably necessary to provide customary representations, warranties, and indemnities regarding
title, as well as escrow arrangements relating to such Come Along Transaction. 
  

 14 

 (c) Hexion LLC and each Holder shall cooperate in causing any Deemed Held Units of such Holder that are
ultimately included in a Come Along Transaction to be delivered to the Holder immediately prior to the closing of such Come Along Transaction in order that the Holder may exercise his rights under Section 2(a) or that the Apollo Group may
exercise its rights under Section 2(b), as the case may be. 
  
 (d) Upon the closing of the sale of any Units (including any Deemed Held Units) pursuant to this Section 2, the Holders shall deliver at such closing, against payment of the purchase price therefor, certificates representing their
Units to be sold, duly endorsed for transfer or accompanied by duly endorsed unit powers, and evidence of good title to the shares to be sold, of the absence of liens, encumbrances and adverse claims with respect thereto and of such other matters as
are deemed necessary by Hexion LLC for the proper transfer of such units on the books of Hexion LLC. 
  
 (e) Pledges. 
  
 (i) Unless approved by a majority of the Board of the Company or the Board of Hexion LLC, as applicable, no Holder shall pledge any shares
of Common Stock or Units held by it, unless such pledge is made by such Holder to the Company or Hexion LLC, as applicable. 
  
 (ii) At the request of the Company or Hexion LLC, as applicable, except to the extent prohibited by applicable law, each Holder shall
pledge those shares of Common Stock and Units it holds to secure indebtedness of the Company or Hexion LLC, as applicable, or any of their respective subsidiaries, provided that no Holder shall be required to pledge any shares of Common Stock or
Units unless all Holders of Common Stock or Units, as applicable, are required to pledge pro-rata; provided further that the consent (which consent will not be unreasonably withheld) of each Holder that is subject to the fiduciary provisions of
ERISA shall be required if such pledge would result in the Board of the Company or the Board of Hexion LLC becoming a fiduciary for purposes of ERISA. 
  
 Section 3. Transfers; Additional Parties. 
  
 (a) Restrictions; Permitted Dispositions. 
  
 Without the prior consent of Hexion LLC, no Non-Apollo Holder shall make any Disposition, directly or indirectly, through an Affiliate or otherwise. The
preceding sentence shall apply with respect to all shares of Common Stock or Units, as applicable, held at any time by a Non-Apollo Holder (including all shares of Common Stock or Units, as applicable, acquired upon the exercise of any Option or
upon a distribution pursuant to any deferred compensation plan), regardless of the manner in which such Non-Apollo Holder initially acquired such shares of Common Stock or Units, as applicable. Notwithstanding the foregoing, the following
Dispositions by a Non-Apollo Holder shall be permitted at any time: 
  

 15 

 (i) (i) with respect to all Non-Apollo Holders, with respect to a Public Sale in
connection with the exercise of piggyback registration rights, (ii) with respect to all Non-Apollo Holders (other than the Co-Invest Group), with respect to a Public Sale that occurs at least twelve months following a Qualified Public Offering or a
Qualified Public Offering of Hexion LLC, as applicable and (iii) with respect to the Co-Invest Group, with respect to a Public Sale; in each case, subject to any lock-up, cutback or other provisions that may be applicable to such Holder; 

 
 (ii) with respect to any Non-Apollo Holder, to: (i) a
guardian of the estate of such Holder; (ii) an inter-vivos trust primarily for the benefit of such Holder; (iii) an inter-vivos trust whose primary beneficiary is one or more of such Holder’s lineal descendants (including lineal descendants by
adoption); (iv) the spouse of such Holder during marriage and not incident to divorce; or (v) one or more of such Holder’s Affiliates; 
  
 (iii) to any Non-Apollo Holder by: (i) a guardian of the estate of such Holder; (ii) an inter-vivos trust whose primary beneficiary is
such Holder or one or more of such Holder’s lineal descendants (including lineal descendants by adoption); (iii) the spouse of such Holder; or (iv) an Affiliate of such Management Holder; 
  
 (iv) with the consent of Hexion LLC, by any Non-Apollo
Holder to a qualified retirement plan sponsored by such Holder (including, with respect to a qualified retirement plan referred to in this Section 3(a)(iv), to participants, alternate payees and beneficiaries to the extent required by law and
the provisions of such plan); 
  
 (v) to a trust,
to any successor trust or successor trustee; 
  
 (vi) any Disposition permitted pursuant to Section 2(a) or required pursuant to Section 2(b); and 
  
 (vii) with the consent of Hexion LLC, by any Non-Apollo Holder to other Persons for tax planning purposes. 
  
 In the event of a transaction involving a change of ownership interest or
voting power of any Non-Apollo Holder that avoids the restrictions on Dispositions provided in this Section 3(a), such transaction shall be deemed a Disposition by such Non-Apollo Holder and an irrevocable “Offer,” and such
Non-Apollo Holder (“Offeror”) shall promptly notify the Company (in the case of a Disposition of Common Stock) or Hexion LLC (in the case of a Disposition of Units) of such event and offer (the “Offer”), by written
notice to the Company or to Hexion LLC, as applicable, to sell all securities subject to the Offer to the Company, Hexion LLC and/or the Apollo Group, as applicable, in each case, for Fair Market Value (as provided below). Offers under this
Section 3(a) shall: (a) be in writing; (b) be irrevocable for so long as the Company, Hexion LLC or the Apollo Group, as applicable, has the right to purchase any securities subject to the Offer; (c) be sent by the Offeror to the Company or
to Hexion LLC, as applicable; and (d) contain a description of the proposed transaction and change of ownership interest or voting power. The Company and Hexion LLC, as applicable, shall, within five (5) business days from receipt thereof (or, if no
such written notice is delivered to the Company or to 

  

 16 

 
Hexion LLC, as applicable, by the Non-Apollo Holder, within five (5) business days from the Company’s or Hexion LLC’s (as applicable) receipt of
evidence, satisfactory to it, of such a Disposition by the Offeror), deliver written notice of the Offer to the Apollo Group stating that all Common Stock or Units, as applicable, registered in the name of such Management Holder is subject to an
Offer pursuant to this Section 3(a). The date of such Offer shall be deemed to be the date such written notice of the Offer is so delivered by the Company or Hexion LLC, as applicable. 
  
 (b) Additional Parties. 
  
 (i) As a condition to the obligation by the Company and
Hexion LLC, as applicable, to effect a transfer of shares of Common Stock and Units, as applicable, permitted by this Agreement on the books and records of the Company and Hexion LLC, as applicable, (other than (i) a transfer permitted by Section
3(a)(i), (ii) except as provided in Section 2(a)(iv), a transfer to or by the Apollo Group or any of its Affiliates from or to any Person that is not an Affiliate of the Apollo Group or of any of the Apollo Group’s Affiliates, or
(iii) a transfer to the Company or to Hexion LLC, as applicable, or to any of their respective subsidiaries), the transferee shall be required to become a party to this Agreement by executing (together with such Person’s spouse, if applicable)
an Adoption Agreement. 
  
 (ii) Except in the
case of a transfer permitted by Section 3(a)(i), in the event that any Person acquires shares of Common Stock or Units from (i) a Non-Apollo Holder or any Affiliate or member of such Non-Apollo Holder’s Group or (ii) any direct or
indirect transferee of a Non-Apollo Holder, such Person shall be subject to any and all obligations and restrictions of such Non-Apollo Holder hereunder (other than the provisions of Section 6), as if such Person was such Non-Apollo Holder
named herein. Additionally, whenever a Non-Apollo Holder makes a transfer of shares of Common Stock or Units other than a transfer permitted by Section 3(a)(i), such shares shall contain a legend so as to inform any transferee that such
shares were held originally by a Non-Apollo Holder and, are subject to transfer restrictions and repurchase. Such legend shall not be placed on any shares of Common Stock or Units acquired from a Non-Apollo Holder by the Company or Hexion LLC, as
applicable, the Apollo Group or any of its or their Affiliates. 
  
 (iii) Any shares of Common Stock or Units acquired by an individual retirement account (“IRA”) on behalf of an employee of the Company or Hexion LLC, as applicable, or any of their respective
subsidiaries (the “Subject Employee”) shall be deemed to be held by the applicable Management Holder. Additionally, such Subject Employee shall be deemed to be a Management Holder and his or her IRA shall be deemed to have acquired
all shares of Common Stock or Units, as applicable, it holds from such Subject Employee pursuant to a transfer that is subject to Section 3(b)(ii) above. 
  
 (iv) In the event that any Person that is an Affiliate of the Apollo Group acquires Common Stock or Units,
as applicable, from the Apollo Group or any Affiliate of the Apollo Group, such Person shall be subject to any and all obligations and restrictions of the Apollo Group hereunder as if such Person were the Apollo Group. 
  

 17 

 (v) In the event additional shares of Common Stock or Units, as applicable, are issued to
any Person (other than a Holder) at any time during the term of this Agreement, either directly or upon the exercise or exchange of securities of the Company or Hexion LLC, as applicable, exercisable for or exchangeable into shares or Common Stock
or Units, as applicable, such Person shall become a party to this Agreement upon executing (together with such Person’s spouse, if any) an Adoption Agreement. Upon execution of such Adoption Agreement, such Person shall have all the rights and
obligations of a Non-Apollo Holder hereunder and the additional shares of Common Stock or Units, as applicable, issued to such Person, as a condition to their issuance, shall become subject to the terms and provisions of this Agreement. 

 
 (c) Securities Restrictions; Legends. 
  
 (i) No shares of Common Stock or Units shall be transferable
except upon the conditions specified in this Section 3(c), which conditions are intended to insure compliance with the provisions of the Securities Act. 
  

(ii) Each certificate representing shares of Common Stock or Units, as applicable, shall (unless otherwise permitted by the provisions
of paragraph (d) below) be stamped or otherwise imprinted with a legend in substantially the following form: 
  
 “THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS AMENDED, OR ANY STATE SECURITIES OR BLUE SKY LAWS. THESE SECURITIES MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION THEREFROM UNDER SAID ACT OR LAWS. THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE ALSO
SUBJECT TO AN AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT DATED AS OF MAY 31, 2005 AMONG THE ISSUER OF SUCH SECURITIES (THE “COMPANY”) AND THE OTHER PARTIES NAMED THEREIN. THE TERMS OF SUCH AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT
INCLUDE, AMONG OTHER THINGS, RESTRICTIONS ON TRANSFER. A COPY OF SUCH AGREEMENT WILL BE FURNISHED WITHOUT CHARGE BY THE COMPANY TO THE HOLDER HEREOF UPON WRITTEN REQUEST.” 
  
 (iii) The Holder of any shares of Common Stock or Units, as applicable, by acceptance thereof agrees, prior
to any transfer of any such shares, to give written notice to the Company or Hexion LLC, as applicable, of such Holder’s intention 

  

 18 

 
to effect such transfer and to comply in all other respects with the provisions of this Section 3(c). Each such notice shall describe the manner and
circumstances of the proposed transfer. Upon request by the Company or Hexion LLC, as applicable, the Holder delivering such notice shall deliver a written opinion, addressed to the Company or Hexion LLC, as applicable, of counsel for the Holder of
such shares, stating that in the opinion of such counsel (which opinion and counsel shall be reasonably satisfactory to the Company or Hexion LLC, as applicable,) such proposed transfer does not involve a transaction requiring registration or
qualification of such shares under the Securities Act. Such holder of such shares shall be entitled to transfer such shares in accordance with the terms of the notice delivered to the Company or Hexion LLC, as applicable, if the Company or Hexion
LLC, as applicable, does not reasonably object to such transfer and request such opinion within fifteen (15) days after delivery of such notice, or, if it requests such opinion, does not reasonably object to such transfer within fifteen (15) days
after delivery of such opinion. Each certificate or other instrument evidencing any such transferred shares of Common Stock or Units, as applicable, shall bear the legend set forth in paragraph (ii) above unless (i) such opinion of counsel to
the holder of such shares (which opinion and counsel shall be reasonably acceptable to the Company or Hexion LLC, as applicable,) states that registration of any future transfer is not required by the applicable provisions of the Securities Act or
(ii) the Company or Hexion LLC, as applicable, shall have waived the requirement of such legends. 
  
 (iv) Notwithstanding the foregoing provisions of this Section 3(c), the restrictions imposed by this Section 3(c) upon the
transferability of any shares of Common Stock or Units, as applicable, shall cease and terminate when (i) any such shares are sold or otherwise disposed of pursuant to an effective registration statement under the Securities Act, or (ii) after a
Qualified Public Offering or a Qualified Public Offering of Hexion LLC, as applicable, the holder of such shares has met the requirements for transfer of such shares pursuant to Rule 144 under the Securities Act. Whenever the restrictions imposed by
this Section 3(c) shall terminate, the holder of any shares as to which such restrictions have terminated shall be entitled to receive from the Company or Hexion LLC, as applicable, without expense, a new certificate not bearing the
restrictive legend set forth in paragraph (ii) above and not containing any other reference to the restrictions imposed by this Section 3(c). 
  
 Section 4. Repurchase Rights. 
  
 (a) Repurchase Rights of the Company and Hexion LLC. 
  
 (i) From and after a Repurchase Event, each of the Company or Hexion LLC, as applicable, and each of its respective subsidiaries shall
have the right, but not the obligation, to repurchase all or any portion of the shares of Common Stock or Units, as applicable, held by such Management Holder (including any shares of Common Stock or Units, as applicable, received upon a
distribution from any deferred compensation plan or any Common Stock or Units, as applicable, issuable upon exercise of any Options held by such Management Holder) in accordance with this Section 4, in each case, for Fair Market Value, but
subject to Section 4(a)(ii). The Company or Hexion LLC, as applicable, or any of their respective subsidiaries may exercise the right 

  

 19 

 
to purchase such shares of Common Stock or Units, as applicable, until the date occurring six months after the Repurchase Event; provided,
however, that with respect to shares of Common Stock or Units, as applicable, acquired by a Management Holder after such Repurchase Event (whether by exercise of Options, distribution of shares from any deferred compensation plan or
otherwise), the Company or Hexion LLC, as applicable, or any of their respective subsidiaries may exercise the right to purchase such shares of Common Stock or Units, as applicable, until the date occurring six months after the acquisition of such
shares of Common Stock or Units, as applicable, by such Management Holder (such date, the “Repurchase Date”). The determination date for purposes of determining the Fair Market Value shall be the closing date of the purchase of the
applicable shares (which closing date shall not be later than the Repurchase Date). 
  
 (ii) Notwithstanding anything contained herein to the contrary, in the event (i) a Management Holder materially breaches the terms of this
Agreement (including Section 6) or any other agreement between the Management Holder and any of Hexion LLC, the Company or any of its or their subsidiaries or (ii) a Management Holder’s relationship with the Company, Hexion LLC, as
applicable, or any of their respective subsidiaries is terminated by the Company, Hexion LLC, as applicable, or any of their respective subsidiaries for Cause, then any of the Company or Hexion LLC, as applicable, or any of their respective
subsidiaries shall have the right, but not the obligation, to repurchase all or any portion of the shares of Common Stock or Units, as applicable, held by such Holder (including any shares of Common Stock or Units, as applicable, received upon a
distribution from any deferred compensation plan or any Common Stock or Units, as applicable, issuable upon exercise of any Options held by such Management Holder) in accordance with this Section 4 for the lesser of (i) Original Cost and (ii)
Fair Market Value. The determination date for purposes of determining the Fair Market Value shall be the closing date of the purchase of the applicable shares. 
  

(b) The Apollo Group Repurchase Right. The Company or Hexion LLC, as applicable, shall give written notice to the Apollo Group stating whether
such Company or Hexion LLC, as applicable, will exercise the purchase rights pursuant to clause (a) above. If such notice states that the Company or Hexion LLC, as applicable, will not exercise its purchase rights for all or a portion of the
shares of Applicable Stock subject thereto, the Apollo Group (or its designee) shall have the right to purchase such Common Stock or Units, as applicable, not purchased by the Company or Hexion LLC, as applicable, or their respective subsidiaries on
the same terms and conditions as the Company or Hexion LLC, as applicable, and their respective subsidiaries until the later of (i) the 30th day following the receipt of such notice or (ii) the Repurchase Date (in the case of a repurchase pursuant to clause (a)(i) above). 
  
 (c) Closing. The closing of any purchase of Common Stock or Units, as applicable, pursuant to this Section 4
shall take place on a date designated by the Company or Hexion LLC, as applicable, or the Apollo Group, as applicable, in accordance with the provisions of this Section 4; provided that the closing will be deferred until such time as
the subject Management Holder has held the shares of Common Stock or Units, as applicable, for a period of at least six months and one day. The Company or Hexion LLC, as applicable, or the Apollo Group, as applicable, will pay for the shares of
Common Stock or Units, as applicable, purchased by it pursuant to this Section 4 by delivery of a check or wire transfer of funds, in 

  

 20 

 
exchange for the delivery by the Management Holder of the certificates representing such shares of Common Stock or Units, as applicable, duly endorsed for
transfer to the Company or Hexion LLC, as applicable, or the Apollo Group, as applicable. The Company or Hexion LLC, as applicable, shall have the right to record such purchase on its books and records without the consent of the Management Holder.

  
 (d) Restrictions on Repurchase. Notwithstanding
anything to the contrary contained in this Agreement, all purchases of shares of Common Stock or Units, as applicable, by the Company or Hexion LLC, as applicable, shall be subject to applicable restrictions contained in (i) federal law, (ii) (x) in
the case of Hexion LLC, the Delaware General Corporation Law or (y) in the case of the Company, applicable New Jersey law and (iii) in debt and equity financing agreements of any of the Company, Hexion LLC or any subsidiary thereof. Notwithstanding
anything to the contrary contained in this Agreement, if any such restrictions prohibit or otherwise delay any purchase of shares of Common Stock or Units, as applicable, that the Company or Hexion LLC, as applicable, is otherwise entitled or
required to make pursuant to this Section 4, then the Company or Hexion LLC, as applicable, shall have the option to make such purchases pursuant to this Section 4 within thirty (30) days of the date that it is first permitted to make
such purchase under the laws and/or agreements containing such restrictions. Notwithstanding anything to the contrary contained in this Agreement, neither the Company, Hexion LLC nor any subsidiary thereof shall be obligated to effect any
transaction contemplated by this Section 4 if such transaction would violate the terms of any restrictions imposed by agreements evidencing any Indebtedness of the Company, Hexion LLC or subsidiary thereof. In the event that any shares of
Common Stock or Units, as applicable, are sold by a Management Holder pursuant to this Section 4, the Management Holder, and such Management Holder’s successors, assigns or representatives, will take all steps necessary and desirable to
obtain all required third-party, governmental and regulatory consents and approvals with respect to such Management Holder and take all other actions necessary and desirable to facilitate consummation of such sale in a timely manner. 
  
 (e) Indirect Transaction. In the event of a transaction involving a
change of ownership interest or voting power of a Non-Apollo Holder which avoids the restrictions on Dispositions provided in this Section 4, such transaction shall be deemed a Disposition by such Non-Apollo Holder and an irrevocable
“Offer”, and such Non-Apollo Holder (“Offeror”) shall promptly notify the Company or Hexion LLC, as applicable, of such event and offer (the “Offer”), by written notice to the Company or Hexion LLC, as
applicable, to sell all Securities Subject to the Offer to the Eligible Offerees for the Purchase Price. Offers under this Section shall be (i) in writing; (ii) be irrevocable for so long as any Eligible Offeree has the right to purchase any
Securities Subject to the Offer; (iii) be sent by the Offeror to the Company or Hexion LLC, as applicable; and (iv) contain a description of the proposed transaction and change of ownership interest or voting power. The Company or Hexion LLC, as
applicable, shall, within five business days from the receipt thereof (or, if no such written notice is delivered) within five business days from the receipt of evidence, satisfactory to the Company or Hexion LLC, as applicable, by the Company or
Hexion LLC, as applicable, of such Disposition by the Offeror), deliver written notice of the Offer to the Eligible Offerees stating that all Common Stock or Units, as applicable, registered in the name of such Non-Apollo Holder are Securities
Subject to the Offer pursuant to this Section. The date of such Offer shall be deemed to be the date such written notice of the Offer is so delivered by the Company or Hexion LLC, as applicable. 
  

 21 

 Section 5. Voting Agreements. 
  
 (a) Each Management Holder who holds Common Stock hereby revokes any and all
prior proxies or powers of attorney in respect of any of such Management Holder’s shares of Common Stock (whether pursuant to the Original Agreement, the RPP Agreement, the RSM Agreement or otherwise) and constitutes and appoints Hexion LLC, or
any nominee of Hexion LLC, with full power of substitution and resubstitution, at any time from the date hereof until the earlier of (i) the termination of such Holders rights under this Agreement pursuant to Section 13(e) hereof (the
“Term”) and (ii) the consummation of a Qualified Public Offering, as its true and lawful attorney and proxy (its “Proxy”), and in its name, place and stead, to vote each of such shares (whether such shares are
currently held or may be acquired in the future by such Management Holder) as its Proxy, at every annual, special, adjourned or postponed meeting of the shareholders of the Applicable Issuer, including the right to sign its name (as shareholder) to
any consent, certificate or other document relating to the Company that applicable laws may permit or require with respect to any matter referred to be voted on by the shareholders of the Company. THE FOREGOING PROXY AND POWER OF ATTORNEY ARE
IRREVOCABLE AND COUPLED WITH AN INTEREST THROUGHOUT THE TERM. 
  
 (b) Each Management Holder who holds Units hereby revokes any and all prior proxies or powers of attorney in respect of any of such Management Holder’s units (whether pursuant to the Original Agreement, the RPP Agreement, the RSM
Agreement or otherwise) and constitutes and appoints the Apollo Group, or any nominee of Hexion LLC, with full power of substitution and resubstitution, at any time from the date hereof until the earlier of (i) the Term and (ii) the consummation of
a Qualified Public Offering of Hexion LLC, as its Proxy, and in its name, place and stead, to vote each of such shares (whether such shares are currently held or may be acquired in the future by such Management Holder) as its Proxy, at every annual,
special, adjourned or postponed meeting of the members of Hexion LLC, including the right to sign its name (as member) to any consent, certificate or other document relating to Hexion LLC that applicable laws may permit or require with respect to
any matter referred to be voted on by the members of Hexion LLC. THE FOREGOING PROXY AND POWER OF ATTORNEY ARE IRREVOCABLE AND COUPLED WITH AN INTEREST THROUGHOUT THE TERM. 
  
 (c) No Proxies for or Encumbrances on Management Holder Common Stock or Units. Except pursuant to the terms of this
Agreement, during the Term and prior to a Qualified Public Offering or a Qualified Public Offering of Hexion LLC, as applicable, no Management Holder shall, without the prior written consent of Hexion LLC (in the case of Management Holders holding
Common Stock) and the Apollo Group (in the case of Management Holders holding Units), in each case, directly or indirectly, (i) grant any proxies (other than pursuant to Section 5(a) and 5(b) above) or enter into any voting trust or other
agreement or arrangement with respect to the voting of any shares of Common Stock or Units held by such Holder or (ii) except as permitted pursuant to Section 2 or 3, sell, assign, transfer, encumber or otherwise dispose of, or enter
into any contract, option or other arrangement or understanding with respect to the direct or indirect sale, assignment, transfer, encumbrance or other disposition of, any such Management Holder’s Common Stock or Units. 
  

 22 

 Section 6. Management Holder Non-Compete and Non-Solicitation. 
  
 (a) Each Management Holder shall be bound the non-compete and
non-solicitation provisions contained in this Section 6, unless any Management Holder is a party to an employment or other similar agreement with Hexion LLC, the Company or any of their Affiliates (the “Applicable Companies”)
which contains non-compete and non-solicitation provisions, in which event such Management Holder shall only be bound by the non-compete and non-solicitation provisions contained in such employment or other agreement and shall not be bound by the
provisions of this Section 6. 
  
 (b) During the period
commencing on the date hereof and ending on the first anniversary of the date on which the Management Holder ceases to receive any payments related to salary, bonus or severance from any Applicable Company, the Management Holder shall not directly
or indirectly through another Person (i) induce or attempt to induce any employee of any Applicable Company to leave the employ of any Applicable Company, or in any way interfere with the relationship between any Applicable Company, on the one hand,
and any employee thereof, on the other hand, (ii) hire any person who was an employee of any Applicable Company until twelve (12) months after such individual’s employment relationship with any Applicable Company has been terminated or (iii)
induce or attempt to induce any customer, supplier, licensee or other business relation of any Applicable Company to cease doing business with such Applicable Company, or in any way interfere with the relationship between any such customer,
supplier, licensee or business relation, on the one hand, and any Applicable Company, on the other hand. 
  
 (c) Each Management Holder acknowledges that, in the course of his employment with any Applicable Company and their predecessors, he has become familiar,
or will become familiar, with such Applicable Company’s and their predecessors’ trade secrets and with other confidential information concerning the Applicable Companies and their respective predecessors and that his services have been and
will be of special, unique and extraordinary value to the Applicable Companies. Therefore, each Management Holder agrees that, during the period commencing on the date hereof and ending on the date on which the Management Holder ceases to receive
any payments related to salary, bonus or severance from any Applicable Company (or in the case of a termination by an Applicable Company of the Management Holder’s employment for Cause or a termination by the Management Holder of his or her
employment without Good Reason, the first anniversary of the date on which the Management Holder ceases to receive such payments) (the “Non-Compete Period”), such Management Holder shall not directly or indirectly, engage in the
production, sale or distribution of any product produced, sold or distributed by any Applicable Company as of the date hereof or during the Non-Compete Period anywhere in the world in which the any Applicable Company is doing business. For purposes
of this Section 6(c), the phrase “directly or indirectly engage in” shall include any direct or indirect ownership or profit participation interest in such enterprise, whether as an owner, stockholder, partner, joint venturer
or otherwise, and shall include any direct or indirect participation in such enterprise as an employee, consultant, licensor of technology or otherwise; provided, however, that nothing in this Section 6 shall prohibit any 

  

 23 

 
Management Holder from being a passive owner of not more than 2% of the outstanding stock of any class of a corporation which is publicly traded, so long as
such Management Holder has no active participation in the business of such corporation. 
  
 (d) Each Management Holder understands that the foregoing restrictions may limit his ability to earn a livelihood in a business similar to the business of any Applicable Company, but he nevertheless believes that he
has received and will receive sufficient consideration and other benefits as an employee of an Applicable Company and as otherwise provided hereunder or as described in the recitals hereto to clearly justify such restrictions which, in any event
(given his education, skills and ability), such Management Holder does not believe would prevent him from otherwise earning a living. Each Management Holder has carefully considered the nature and extent of the restrictions placed upon him by this
Agreement, and hereby acknowledges and agrees that the same are reasonable in time and territory and do not confer a benefit upon any Applicable Company disproportionate to the detriment which the same may cause such Management Holder. 

 
 Section 7. Actions by the RPP Holders Only. 
  
 (a) Waiver of Liquidation Event. Without limiting the generality of
Section 7(a), each of the RPP Identified Holders and Hexion LLC (as successor in interest to RPP Holdings) unconditionally and irrevocably waives and shall thereby be forever estopped from asserting the occurrence of any Liquidation Event (as
defined in the RPP Holdings Operating Agreement), whether such Liquidation Event shall be deemed to have occurred pursuant to the Combination, this Agreement or otherwise. 
  
 (b) Amendments to RPP Agreement. Each of Hexion LLC (as successor in interest to each of RPP Inc. and RPP Holdings)
and each RPP Management Holder agrees to the following amendments (which, pursuant to Section 10(d) of the RPP Agreement, shall be effective as of the date hereof and upon the consent of Hexion LLC (as successor in interest to each of RPP Inc. and
RPP Holdings) and the RPP Management Holders having the Required Voting Percentage (as defined in the RPP Agreement)): 
  
 (i) Section 1 of the RPP Agreement is hereby amended by inserting the following new defined term therein in the appropriate alphabetical
order: “‘New Hexion Agreement’ means the Amended and Restated Investor Rights Agreement to be entered into among Hexion LLC, a Delaware limited liability company (formerly BHI Acquisition Corp.), Hexion Specialty Chemicals,
Inc., a New Jersey corporation (formerly Borden Chemical, Inc.) and the Holders party thereto.” 
  
 (ii) Section 10(e) of the RPP Agreement is hereby amended by deleting the “.” at the end thereof and inserting the following in
its place: “; provided that, for greater certainty, nothing herein shall be construed to cause the automatic termination of this Agreement solely as a result of (i) the entry into force of the New Hexion Agreement or (ii) any merger or
consolidation of the Company.” 
  
 Section 8. Actions
by the RSM Holders Only. Each of the Company (as successor in interest to each of RSM Inc. and RSM Holdings) and each RSM Holder agrees to the 

  

 24 

 
following amendments (which, pursuant to Section 10(d) of the RSM Agreement, shall be effective as of the date hereof and upon the consent of the Company (as
successor in interest to each of RSM Inc. and RSM Holdings) and the RSM Holders having the Required Voting Percentage (as defined in the RSM Agreement)): 
  
 (a) Section 1 of the RSM Agreement is hereby amended by inserting the following new defined term therein in the appropriate alphabetical order:
“‘New Hexion Agreement’ means the Amended and Restated Investor Rights Agreement to be entered into among Hexion LLC, a Delaware limited liability company (formerly BHI Acquisition Corp.), Hexion Specialty Chemicals, Inc., a
New Jersey corporation (formerly Borden Chemical, Inc.) and the Holders party thereto.” 
  
 (b) Section 10(e) of the RSM Agreement is hereby amended by deleting the “.” at the end thereof and inserting the following in its place: “; provided that, for greater certainty, nothing herein
shall be construed to cause the automatic termination of this Agreement solely as a result of (i) the entry into force of the New Hexion Agreement or (ii) any merger or consolidation of the Company.” 
  
 Section 9. Registration Rights with respect to Units.

  
 If the Non-Apollo Holders holding Units have not
converted their Units to shares of Common Stock within six months of the Effective Date, then the parties will negotiate, execute and deliver an amendment to this Agreement granting the Non-Apollo Holders registration rights with respect to Hexion
LLC that are substantially similar to the rights held by such Holders with respect to Common Stock under this Agreement. The parties also will negotiate, execute and deliver a registration rights agreement granting the Apollo Group rights with
respect to Units that are substantially similar to the rights to be held by Hexion LLC in respect of Common Stock under the Company Registration Rights Agreement. 
  
 Section 10. Registration Rights with respect to Common Stock. 
  
 (a) Subject to Section 10(b), if at any time after the date hereof,
the Company proposes to file a Registration Statement (i) in connection with a Demand Registration or (ii) in connection with which Hexion LLC exercises piggyback registration rights (other than a registration on Form S-4 or S-8 or any successor
form to such forms or any registration of Common Stock relating to an offering and sale to management of the Company pursuant to any employee stock plan or other employee benefit plan arrangement) with respect to an offering that includes any Common
Stock, then the Company shall give prompt written notice (the “Holder Notice”) to the Holders of Common Stock of its intention to register such Common Stock, and such Holders shall be entitled to include in such Registration
Statement the Common Stock held by them. Upon the written request of any holder of Common Stock (a “Holder Piggyback Notice”), delivered within 15 days after receipt of the Holder Notice, to include in such registration Registrable
Stock designated by such holders (which request shall specify the number of shares of Registrable Stock proposed to be included in such registration), the Company shall use commercially reasonable efforts to cause all such shares of Registrable
Stock to be included in such registration on the same terms and conditions as the Common Stock otherwise being sold in such registration 
  

 25 

 (b) Registrable Stock Underwriter’s Cutback. If the managing underwriter in any offering
contemplated by Section 10(a) advises the Company that the inclusion of all Registrable Stock proposed to be included in a registration would interfere with the successful marketing (including pricing) of the Common Stock to be offered
thereby, then the number of shares of Registrable Stock proposed to be included in such registration shall be allocated among the Company and all Selling Stockholders proportionately, such that the number of shares of Common Stock that each such
Person shall be entitled to sell in the public offering shall be included in the following order: 
  
 (i) In the case of a registration permitted pursuant to Section 10(a)(i) above: 
  
 (A) first, the Registrable Stock held by the Persons
requesting their Common Stock be included in such registration pursuant to the Company Demand Registration, pro rata based upon the number of shares of Common Stock owned by each such Person at the time of such registration;

  
 (B) second, the Registrable Stock held by
each of the Persons requesting their Common Stock be included in such registration pursuant to the terms of Section 10(a)(i), pro rata based upon the number of shares of Registrable Stock owned by each such Person at the time of
such registration; and 
  
 (C) third, the Common
Stock to be issued and sold by the Company in such registration. 
  
 (ii) In the case of any other registration permitted by Section 10(a): 
  
 (A) first, the Common Stock to be issued and sold by the Company in such registration; and 
  
 (B) second, the Registrable Stock held by each of (X) Hexion
LLC and (Y) the Holders requesting their Registrable Stock be included in such registration pursuant to the terms of this Section 10, pro rata based upon the number of shares of Registrable Stock owned by each such Person at the
time of such registration. 
  
 (c) Certain Permitted
Cutbacks. Notwithstanding anything to the contrary set forth in Section 10(b), if the managing underwriter for an Underwritten Offering advises the Company that the inclusion of all shares of Common Stock proposed to be included in such
registration by any particular Holder would interfere with the successful marketing (including pricing) of the Common Stock to be offered thereby, then the number of shares of Common Stock proposed to be included in such registration by such Holder
shall be reduced to the lower of the number of shares of Common Stock that the managing underwriter advises that such Holder may sell in the Underwritten Offering and the number of shares of Common Stock calculated pursuant to the foregoing.

  
 (d) Lock-Up. If the Company at any time shall register
shares of Common Stock under the Securities Act for sale to the public, no Management Holder shall sell publicly, 

  

 26 

 
make any short sale of, grant any option for the purchase of, or otherwise dispose publicly of, any shares of, interests and participation in and other
equivalents (however designated) of common stock or membership interests (including all Common Stock) of the Company without the prior written consent of the Company, for the period of time in which Hexion LLC has similarly agreed not to sell
publicly, make any short sale of, grant any option for the purchase of, or otherwise dispose publicly of, any shares of, interests and participation in and other equivalents (however designated) of common stock or membership interests (including all
Common Stock) of the Company. Hexion LLC shall use reasonable efforts to limit any such period to not more than 180 days. 
  
 (e) Company Control. The Company may decline to file a Registration Statement after the giving of a Holder Piggyback Notice, or withdraw a
Registration Statement after filing and after the giving of Holder Piggyback Notice but prior to the effectiveness of the Registration Statement, provided that the Company shall promptly notify each Holder in writing of any such action and provided
further that the Company shall bear all reasonable expenses incurred by such Holder in connection with such withdrawn Registration Statement. 
  
 Section 11. Notices. 
  
 In the event a notice or other document is required to be sent hereunder to the Company, Hexion LLC or to any Holder or the spouse or legal representative
of a Holder, such notice or other document, if sent by mail, shall be sent by registered mail, return receipt requested (and by air mail in the event the addressee is not in the continental United States), to the party entitled to receive such
notice or other document at the address set forth on Annex I. Any such notice shall be effective and deemed received three (3) days after proper deposit in the mails, but actual notice shall be effective however and whenever received. The
Company, Hexion LLC, any Holder or any spouse or legal representative of a Holder, may effect a change of address for purposes of this Agreement by giving notice of such change to the Company or to Hexion LLC, as applicable, and the Company or
Hexion LLC, as applicable, shall, upon the request of any party hereto, notify such party of such change in the manner provided herein. Until such notice of change of address is properly given, the addresses set forth on Annex I shall be
effective for all purposes. 
  
 Section 12. Apollo Investor
Rights 
  
 (a) For so long as Apollo Investment Fund IV,
L.P. and Apollo Investment Fund V, L.P. (each an “Apollo Investor”), own Common Stock or Units or any other equity securities of either of the Company or Hexion LLC, each Apollo Investor will be entitled to the following contractual
management rights as follows: 
  
 (b) With regards to the Company
and its subsidiaries: 
  
 (i) Each Apollo
Investor shall be entitled to routinely consult with and advise management of the Company with respect to the Company’s business and financial matters, including management’s proposed annual operating plans, and, upon request, management
will meet regularly (on a quarterly basis) during each year with representatives of each Apollo Investor (the “Representatives”) at the Company’s and/or 

  

 27 

 
its subsidiaries facilities (or such other locations as the Company may designate) at mutually agreeable times for such consultation and advice, including to
review progress in achieving said plans. The Company agrees to give due consideration to the advice given and any proposals made by each Apollo Investor; 
  
 (ii) Each Apollo Investor may inspect all books and records and facilities and properties of the Company at reasonable times and
intervals. The Company shall furnish each Apollo Investor with such available financial and operating data and other information with respect to the business and properties of the Company and its subsidiaries as each Apollo Investor may reasonably
request and at such Apollo Investor’s expense. The Company shall permit the Representatives to discuss the affairs, finances and accounts of the Company and its subsidiaries with, and to make proposals and furnish advice to, the principal
officers of the Company and its subsidiaries; and 
  
 (iii) The Company shall, after receiving notice from an Apollo Investor as to the identity of any Representative, (i) permit such Representative to attend all meeting of the Board of the Company, as an observer; (ii) provide such
Representative advance notice of each such meeting, including such meeting’s time and place, at the same time and in the same manner as such notice is provided to the members of the Board of the Company; (iii) provide the Representative with
copies of all materials, including notices, minutes, consents and regularly compiled financial and operating data distributed to the members of the Board of the Company at the same time as such materials are distributed to such Board of the Company,
and shall permit the Representative to have the same access to information concerning the business and operations of the Company; and (iv) permit the Representative to discuss the affairs, finances and accounts of the Company with, and to make
proposals and furnish advice with respect thereto to, the Board of the Company, without voting, and the Board of the Company and the Company’s officers shall give due consideration thereto (recognizing that the ultimate discretion with respect
to all such matters shall be retained by the Board of the Company). 
  
 (c) With regards to Hexion LLC and its subsidiaries: 
  
 (i) Each Apollo Investor shall be entitled to routinely consult with and advise management of Hexion LLC with respect to Hexion LLC’s business and financial matters, including management’s proposed annual
operating plans, and, upon request, management will meet regularly (on a quarterly basis) during each year with Representatives at Hexion LLC’s and/or its subsidiaries facilities (or such other locations as Hexion LLC may designate) at mutually
agreeable times for such consultation and advice, including to review progress in achieving said plans. Hexion LLC agrees to give due consideration to the advice given and any proposals made by each Apollo Investor; 
  
 (ii) Each Apollo Investor may inspect all books and records
and facilities and properties of Hexion LLC at reasonable times and intervals. Hexion LLC shall furnish each Apollo Investor with such available financial and operating data and other information with respect to the business and properties of Hexion
LLC and its subsidiaries as each Apollo Investor may reasonably request and at such Apollo 

  

 28 

 
Investor’s expense. Hexion LLC shall permit the Representatives to discuss the affairs, finances and accounts of Hexion LLC and its subsidiaries with,
and to make proposals and furnish advice to, the principal officers of Hexion LLC and its subsidiaries; and 
  
 (iii) Hexion LLC shall, after receiving notice from an Apollo Investor as to the identity of any Representative, (i) permit such
Representative to attend all meeting of the Board of Hexion LLC, as an observer; (ii) provide such Representative advance notice of each such meeting, including such meeting’s time and place, at the same time and in the same manner as such
notice is provided to the members of the Board of Hexion LLC; (iii) provide the Representative with copies of all materials, including notices, minutes, consents and regularly compiled financial and operating data distributed to the members of the
Board of Hexion LLC at the same time as such materials are distributed to such Board of Hexion LLC, and shall permit the Representative to have the same access to information concerning the business and operations of Hexion LLC; and (iv) permit the
Representative to discuss the affairs, finances and accounts of Hexion LLC with, and to make proposals and furnish advice with respect thereto to, the Board of Hexion LLC, without voting, and the Board of Hexion LLC and Hexion LLC’s officers
shall give due consideration thereto (recognizing that the ultimate discretion with respect to all such matters shall be retained by the Board of Hexion LLC). 
  

(d) Each of the Company and Hexion LLC, as applicable, agrees to consider, in good faith, the recommendations of each Apollo Investor in connection
with the matters on which it is consulted as described above, recognizing that the ultimate discretion with respect to all such matters shall be retained by the Company or Hexion LLC, as applicable. 
  
 (e) The rights set forth in this Section 12 are intended to satisfy
the requirement of contractual management rights for purposes of qualifying each Apollo Investor’s indirect interests in the Company and in Hexion LLC as venture capital investments for purposes of the Department of Labor’s “plan
assets” regulations, and in the event that, after the date hereof, as a result of any change in applicable law or regulation or a judicial or administrative interpretation of applicable law or regulation, it is determined that such rights are
not satisfactory for such purpose, each Apollo Investor, the Company and Hexion LLC shall reasonably cooperate in good faith to agree upon mutually satisfactory management rights which satisfy such regulations. 
  
 (f) The rights set forth in this Section 12 are personal to each
Apollo Investor and may not be assigned by either Apollo Investor in whole or in part. 
  
 (g) The rights set forth in Section 12(b) shall terminate upon the consummation of a Qualified Public Offering and the rights set forth in Section 12(c) shall terminate upon the consummation of a
Qualified Public Offering of Hexion LLC. 
  
 Section 13.
Miscellaneous Provisions. 
  
 (a) Each Non-Apollo
Holder that is an entity that was formed for the sole purpose of acquiring shares of Common Stock or Units, as applicable, or that has no substantial 

  

 29 

 
assets other than the shares of Common Stock or Units, as applicable, or interests in shares of Common Stock or Units, as applicable, agrees that (a)
certificates of shares of its common stock or other instruments reflecting equity interests in such entity (and the certificates for shares of common stock or other equity interests in any similar entities controlling such entity) will note the
restrictions contained in this Agreement on the transfer of Common Stock or Units, as applicable, as if such common stock or other equity interests were shares of Common Stock or Units, as applicable, and (b) no such shares of common stock or other
equity interests may be transferred to any Person other than in accordance with the terms and provisions of this Agreement as if such shares or equity interests were shares of Common Stock or Units, as applicable. 
  
 (b) No Non-Apollo Holder shall enter into any stockholder agreements or
arrangements of any kind with any Person with respect to any Securities of the Company or Hexion LLC, as applicable, on terms inconsistent with the provisions of this Agreement (whether or not such agreements or arrangements are with other Holders
or with Persons that are not parties to this Agreement), including agreements or arrangements with respect to the acquisition or disposition of any Securities of the Company or Hexion LLC, as applicable, in a manner inconsistent with this Agreement.

  
 (c) All questions concerning the construction, interpretation
and validity of this Agreement shall be governed by and construed in accordance with the domestic laws of the State of Delaware without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or any other
jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware. 
  
 (d) This Agreement shall be binding upon Hexion LLC, the Company, the Holders, any spouses of the Management Holders, and their respective heirs,
executors, administrators and permitted successors and assigns. 
  
 (e) (i) Any provision of this Agreement affecting the rights or obligations of the Holders of Common Stock as such provision applies to such Persons only and in such capacity only, shall be amended, waived or terminated from time to time
only by an instrument in writing signed by the Company and such Holders having the Required Voting Percentage; provided, that all such rights and obligations shall terminate automatically (without any further action required) upon the earlier
to occur of (x) a Control Disposition of Common Stock or Asset Sale or (y) the dissolution of the Company; and (ii) any provision of this Agreement affecting the rights or obligations of the Holders of Units as such provisions apply to such Persons
only and in such capacity only, shall be amended, waived or terminated from time to time by an instrument in writing signed by Hexion LLC and such Holders having the Required Voting Percentage; provided, that all such rights and obligations
shall terminate automatically (without any further action required) upon the earlier to occur of (x) a Control Disposition or Asset Sale or (y) the dissolution of Hexion LLC. Notwithstanding the foregoing, (A) this Agreement may be amended by Hexion
LLC and the Company, without the consent of any Holder, to cure any ambiguity or to cure, correct or supplement any defective provisions contained herein, or to make any other provisions with respect to matters or questions hereunder as the Company
and Hexion LLC may deem necessary or advisable, so long as such action does not affect adversely the interest of any Holder, (B) any Holder may waive in writing any right under this Agreement 

  

 30 

 
as such right applies to such Holder only, without any further action by the Company, Hexion LLC or any other Holder and (C) Sections 2 and 3
as such sections apply to the Holders of Units only, may be amended only with the prior consent of each of Hexion LLC, the Apollo Group and the Co-Invest Group (in each case, based on its proportionate ownership percentage). 
  
 (f) Any Holder who disposes of all of his, her or its Common Stock or Units,
as applicable, in conformity with the terms of this Agreement shall cease to be a party to this Agreement and shall have no further rights hereunder. 
  
 (g) The spouses of the Management Holders are fully aware of, understand and fully consent and agree to the provisions of this Agreement and its binding
effect upon any community property interests or similar marital property interests in the Common Stock or Units, as applicable, they may now or hereafter own, and agree that the termination of their marital relationship with any respective
Management Holder for any reason shall not have the effect of removing any Common Stock or Units, as applicable, otherwise subject to this Agreement from the coverage of this Agreement and that their awareness, understanding, consent and agreement
are evidenced by their signing this Agreement. Furthermore, each Management Holder agrees to cause his or her spouse (and any subsequent spouse) to execute and deliver, upon the request of the Company or Hexion LLC, as applicable, a counterpart of
this Agreement or an Adoption Agreement. 
  
 (h) Any Disposition
or attempted Disposition in breach of this Agreement shall be void and of no effect. In connection with any attempted Disposition in breach of this Agreement, the Company or Hexion LLC, as applicable, may hold and refuse to transfer any Common Stock
or Units, as applicable, or any certificate therefor, in addition to and without prejudice to any and all other rights or remedies that may be available to it or the Holders. Each party to this Agreement acknowledges that a remedy at law for any
breach or attempted breach of this Agreement will be inadequate, agrees that each other party to this Agreement shall be entitled to specific performance and injunctive and other equitable relief in case of any such breach or attempted breach and
further agrees to waive (to the extent legally permissible) any legal conditions required to be met for the obtaining of any such injunctive or other equitable relief (including posting any bond in order to obtain equitable relief). 
  
 (i) This Agreement may be executed simultaneously in two or more original or
facsimile counterparts, any one of which need not contain the signatures of more than one party, but all such counterparts taken together will constitute one and the same agreement. It shall not be necessary in making proof of this Agreement to
produce or account for more than one such counterpart. The failure of any Holder to execute this Agreement does not make it invalid as against any other Holder. 
  

(j) Whenever possible, each provision of this Agreement will be interpreted in such a manner as to be effective and valid under applicable law, but if
any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, such invalidity, illegality or unenforceability will not affect any other provision or any other
jurisdiction, and such invalid, illegal or otherwise unenforceable provisions shall be null and void as to such jurisdiction. It is the intent of the parties, however, that any invalid, illegal or otherwise unenforceable provisions be automatically
replaced by other provisions that are as similar as possible in terms to such invalid, illegal or otherwise unenforceable provisions but are valid and enforceable to the fullest extent permitted by law. 
  

 31 

 (k) Each party hereto shall do and perform or cause to be done and performed all such further acts and
things and shall execute and deliver all such other agreements, certificates, instruments, and other documents as any other party hereto reasonably may request in order to carry out the provisions of this Agreement and the consummation of the
transactions contemplated hereby. 
  
 (l) The parties to this
Agreement agree that jurisdiction and venue in any action brought by any party hereto pursuant to this Agreement shall properly (but not exclusively) lie in any federal or state court located in the State of Delaware. By execution and delivery of
this Agreement each party hereto irrevocably submits to the jurisdiction of such courts for himself and in respect of his property with respect to such action. The parties hereto irrevocably agree that venue for such action would be proper in such
court, and hereby waive any objection that such court is an improper or inconvenient forum for the resolution of such action. The parties further agree that the mailing by certified or registered mail, return receipt requested, of any process
required by any such court shall constitute valid and lawful service of process against them, without necessity for service by any other means provided by statute or rule of court. 
  
 (m) No course of dealing between any of Hexion LLC, the Company, or any of their respective subsidiaries, on the one hand,
and the Holders (or any of them), on the other hand, or any delay in exercising any rights hereunder will operate as a waiver of any rights of any party to this Agreement. The failure of any party to enforce any of the provisions of this Agreement
will in no way be construed as a waiver of such provisions and will not affect the right of such party thereafter to enforce each and every provision of this Agreement in accordance with its terms. 
  
 (n) BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX FINANCIAL
TRANSACTIONS ARE MOST QUICKLY AND ECONOMICALLY RESOLVED BY AN EXPERIENCED AND EXPERT PERSON AND THE PARTIES WISH APPLICABLE STATE AND FEDERAL LAWS TO APPLY (RATHER THAN ARBITRATION RULES), THE PARTIES DESIRE THAT THEIR DISPUTES BE RESOLVED BY A
JUDGE APPLYING SUCH APPLICABLE LAWS. THEREFORE, TO ACHIEVE THE BEST COMBINATION OF THE BENEFITS OF THE JUDICIAL SYSTEM AND OR ARBITRATION, THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, SUIT OR PROCEEDING BROUGHT TO ENFORCE OR
DEFEND ANY RIGHT OR REMEDIES UNDER THIS AGREEMENT OR ANY DOCUMENTS ENTERED INTO IN CONNECTION WITH THIS AGREEMENT AND THE TRANSACTIONS CONTEMPLATED HEREIN. 
  
 (o) This Agreement amends and restates the Original Agreement, the RPP Agreement, the RSM Agreement, the Original Registration Rights Agreement and the
RPP Holdings Operating Agreement, and sets forth the entire agreement of the parties hereto as to the subject matter hereof and supersedes all previous agreements among all or some of the parties hereto, whether written, oral or otherwise, as to
such subject matter. Unless otherwise provided herein, any consent required by the Company or Hexion LLC, as applicable, may be withheld by the Company or Hexion LLC, as applicable, in its sole discretion. 
  

 32 

 (p) This Agreement terminates the RPP Registration Rights Agreement and the RSM Registration Rights
Agreement. 
  
 (q) No Notes shall be transferred without the prior
written consent of Hexion LLC. 
  
 (r) Except as otherwise
expressly provided herein, no Person not a party to this Agreement, as a third party beneficiary or otherwise, shall be entitled to enforce any rights or remedies under this Agreement. 
  
 (s) If, and as often as, there are any changes in any Common Stock or Units, as applicable, by way of stock split, stock
dividend, combination or reclassification, or through merger, consolidation, reorganization or recapitalization, or by any other means, other than pursuant to the Combination, appropriate adjustment shall be made in the provisions of this Agreement,
as may be required, so that the rights, privileges, duties and obligations hereunder shall continue with respect to the Common Stock or Units, as applicable, as so changed. 
  
 (t) No director of the Company or Hexion LLC, as applicable, shall be personally liable to the Company or Hexion LLC, as
applicable, or any Holder as a result of any acts or omissions taken under this Agreement in good faith. 
  
 (u) In the event additional shares of Common Stock or Units, as applicable, are issued to a Holder at any time during the term of this Agreement, either
directly or upon the exercise or exchange of securities of the Company or Hexion LLC, as applicable, exercisable for or exchangeable into shares or Common Stock or Units, as applicable, such additional shares of Common Stock or Units, as applicable,
as a condition to their issuance, shall become subject to the terms and provisions of this Agreement. 
  
 (v) This Agreement (except for Sections 7(a), 7(b) and Section 8) shall become effective only upon the consummation of the
Combination under the Transaction Agreement. 
  
 (w)
Notwithstanding anything to the contrary contained herein, but subject to Section 2(a), any party hereto that is a member of the Apollo Group may assign its rights or obligations, in whole or in part, under this Agreement to one or more of
its Affiliates. 
  
 *    
*     *     *     * 
  

 33 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Amended and Restated Investor
Rights Agreement as of the date first above written. 
  

			
	HEXION LLC
		
	 By:
	 	 /s/ William Carter

	 Name:
	 	 William Carter

	 Title:
	 	 Vice President and CFO

	
	HEXION SPECIALTY CHEMICALS, INC.
		
	 By:
	 	 /s/ William Carter

	 Name:
	 	 William Carter

	 Title:
	 	 Vice President and CFO

	
	APOLLO INVESTMENT FUND V, L.P.
		
	 By:
	 	 Apollo Advisors V, L.P., it general partner

		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

	
	APOLLO OVERSEAS PARTNERS V, L.P.
		
	 By:
	 	Apollo Advisors V, L.P., it managing general partner
		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

			
	APOLLO NETHERLANDS PARTNERS V(A),
L.P.
		
	 By:
	 	Apollo Advisors V, L.P., its managing general partner
		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

	
	APOLLO NETHERLANDS PARTNERS V(B), L.P.
		
	 By:
	 	Apollo Advisors V, L.P., its managing general partner
		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

	
	APOLLO GERMAN PARTNERS V GMBH KG & CO.
		
	 By:
	 	Apollo Advisors V, L.P., its special limited partner
		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

			
	APOLLO INVESTMENT FUND IV, L.P.
		
	 By:
	 	 Apollo Advisors IV, L.P.

	 By:
	 	 Apollo Capital Management IV, Inc.

		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

	
	APOLLO OVERSEAS PARTNERS IV, L.P.
		
	 By:
	 	 Apollo Advisors IV, L.P.

	 By:
	 	 Apollo Capital Management IV, Inc.

		
	 By:
	 	 /s/ Scott Kleinman

	 Name:
	 	 Scott Kleinman

	 Title:
	 	 Authorized Signatory

			
	GS PRIVATE EQUITY PARTNERS II, L.P.
		
	 By:
	 	 GS PEP II Advisors, L.L.C., General Partner

	 By:
	 	 GSAM Gen-Par, L.L.C., Managing Member

		
	 By:
	 	 /s/ Jennifer Barbetta

	 Name:
	 	 Jennifer Barbetta

	 Title:
	 	 Authorized Signatory

	
	GS PRIVATE EQUITY PARTNERS II OFFSHORE, L.P.
		
	 By:
	 	GS PEP II Offshore Advisors, Inc., General Partner
		
	 By:
	 	 /s/ Jennifer Barbetta

	 Name:
	 	 Jennifer Barbetta

	 Title:
	 	 Authorized Signatory

	
	GS PRIVATE EQUITY PARTNERS II - DIRECT INVESTMENT FUND, L.P.
		
	 By:
	 	GS PEP II Direct Investment Advisors, L.L.C., General Partners
	 By:
	 	 GSAM Gen-Par, L.L.C., Managing Member

		
	 By:
	 	 /s/ Jennifer Barbetta

	 Name:
	 	 Jennifer Barbetta

	 Title:
	 	 Authorized Signatory

			
	GS PRIVATE EQUITY PARTNERS III, L.P.
		
	 By:
	 	 GS PEP III Advisors, L.L.C., General Partner

	 By:
	 	 GSAM Gen-Par, L.L.C., Managing Member

		
	 By:
	 	 /s/ Jennifer Barbetta

	 Name:
	 	 Jennifer Barbetta

	 Title:
	 	 Authorized Signatory

	
	GS PRIVATE EQUITY PARTNERS III OFFSHORE, L.P.
		
	 By:
	 	 GS PEP III Offshore Advisors, Inc.,
 General
Partner

		
	 By:
	 	 /s/ Jennifer Barbetta

	 Name:
	 	 Jennifer Barbetta

	 Title:
	 	 Authorized Signatory

			
	JPMORGAN CHASE BANK, AS TRUSTEE FOR FIRST PLAZA GROUP TRUST, solely with respect to pools PMI 111 and PMI 112
		
	 By:
	 	 /s/ Nicole Stephenson

	 Name:
	 	 Nicole Stephenson

	 Title:
	 	 Assistant Treasurer

	
	BORDEN MANAGEMENT HOLDERS:
	
	 /s/ Craig O. Morrison

	 Craig O. Morrison

	
	 /s/ Joseph P. Bevilaqua

	 Joseph P. Bevilaqua

	
	 /s/ William H. Carter

	 William H. Carter

	
	 /s/ Hugh Morton

	 Hugh Morton

	
	 /s/ Nancy Brown

	 Nancy Brown

	
	 /s/ Elliot Fullen

	 Elliot Fullen

	
	 /s/ Richard Monty

	 Richard Monty

	
	 /s/ Raymond Glaser

	 Raymond Glaser

	
	 /s/ Kevin McGuire

	 Kevin McGuire

	
	 /s/ Nathan Fisher

	 Nathan Fisher

	
	 /s/ Luis Cintra

	 Luis Cintra

	
	 /s/ Julia Harp

	 Julia Harp

	
	 /s/ Mark Alness

	 Mark Alness

	
	 /s/ Reggie Jenkins

	 Reggie Jenkins

	
	 /s/ Jerry Borges

	 Jerry Borges

	
	 /s/ Peter Hartland

	 Peter Hartland

	
	 /s/ Tony Ferreri

	 Tony Ferreri

	
	 /s/ George Knight

	 George Knight

	
	 /s/ Kyle Lorentzen

	 Kyle Lorentzen

	
	 /s/ John Auletto

	 John Auletto

	
	 /s/ David Collins

	 David Collins

	
	 /s/ Mark Bidstrup

	 Mark Bidstrup

	
	 /s/ Colette Barricks

	 Colette Barricks

	
	 /s/ David Hemm

	 David Hemm

 EXHIBIT A 
  
 ADOPTION AGREEMENT 
  
 FOR HOLDERS OF COMMON STOCK 
  
 This Adoption Agreement (“Adoption”) is executed pursuant to the terms of the Amended and Restated Investor Rights Agreement among Hexion
LLC (“Hexion LLC”), Hexion Specialty Chemicals, Inc. (the “Company”) and the holders listed therein dated as of May 31, 2005, a copy of which is attached hereto (the “Investor Rights Agreement”), by
the transferee (“Transferee”) executing this Adoption. By the execution of this Adoption, the Transferee agrees as follows: 
  
 (1) Acknowledgement. Transferee acknowledges that Transferee is acquiring shares of Common Stock of the Company, subject to the
terms and conditions of the Investor Rights Agreement. Capitalized terms used herein without definition are defined in the Investor Rights Agreement and are used herein with the same meanings set forth therein. 
  
 (2) Agreement. Transferee (i) agrees that the Common
Stock acquired by Transferee, and any other Common Stock and other securities of the Company or Units or other securities of Hexion LLC that may be acquired by Transferee in the future, shall be bound by and subject to the terms of the Investor
Rights Agreement, pursuant to the terms thereof, and (ii) hereby adopts the Investor Rights Agreement, and agrees to be bound by all of the terms and conditions thereof, with the same force and effect as if he were originally a party thereto.

  
 (3) Notice. Any notice required as
permitted by the Investor Rights Agreement shall be given to Transferee at the address listed beside Transferee’s signature below. 
  
 (4) Joinder. The spouse of the undersigned Transferee, if applicable, executes this Adoption to acknowledge its fairness and that
it is in such spouse’s best interest, and to bind such spouse’s community interest, if any, in the Common Stock and or other securities referred to above and in the Investor Rights Agreement, to the terms of the Investor Rights Agreement.

 IN WITNESS WHEREOF, the undersigned have duly executed this Adoption Agreement as of
                         ,         . 
  

			
	HEXION LLC
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	HEXION SPECIALTY CHEMICALS, INC.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	TRANSFEREE:
	  
  

	
	TRANSFEREE SPOUSE (if applicable)
	  
  

 ADOPTION AGREEMENT 
  
 FOR HOLDERS OF UNITS 
  
 This Adoption Agreement (“Adoption”) is executed pursuant to the terms of the Amended and Restated Investor Rights Agreement among Hexion
LLC (“Hexion LLC”), Hexion Specialty Chemicals, Inc. (the “Company”) and the holders listed therein dated as of May 31, 2005, a copy of which is attached hereto (the “Investor Rights Agreement”), by
the transferee (“Transferee”) executing this Adoption. By the execution of this Adoption, the Transferee agrees as follows: 
  
 (1) Acknowledgement. Transferee acknowledges that Transferee is acquiring shares of Units of Hexion LLC, subject to the terms and
conditions of the Investor Rights Agreement. Capitalized terms used herein without definition are defined in the Investor Rights Agreement and are used herein with the same meanings set forth therein. 
  
 (2) Agreement. Transferee (i) agrees that the Units
acquired by Transferee, and any other Units and other securities of Hexion or Common Stock or other securities of the Company that may be acquired by Transferee in the future, shall be bound by and subject to the terms of the Investor Rights
Agreement, pursuant to the terms thereof, and (ii) hereby adopts the Investor Rights Agreement, and agrees to be bound by all of the terms and conditions thereof, with the same force and effect as if he were originally a party thereto. 

 
 (3) Notice. Any notice required as permitted by
the Investor Rights Agreement shall be given to Transferee at the address listed beside Transferee’s signature below. 
  
 (4) Joinder. The spouse of the undersigned Transferee, if applicable, executes this Adoption to acknowledge its fairness and that
it is in such spouse’s best interest, and to bind such spouse’s community interest, if any, in the Units and or other securities referred to above and in the Investor Rights Agreement, to the terms of the Investor Rights Agreement.

 IN WITNESS WHEREOF, the undersigned have duly executed this Adoption Agreement as of
                         ,         . 
  

			
	HEXION LLC
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	HEXION SPECIALTY CHEMICALS, INC.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	TRANSFEREE:
	  
  

	
	TRANSFEREE SPOUSE (if applicable)
	  
  

 ANNEX I 
  
 (A) If to the Company: 
  
 Hexion Specialty Chemicals, Inc. 
 180 East Broad Street 
 Columbus, OH 43215 
 Facsimile: (614) 225-2108 
 Attention: Nancy G. Brown, Esq., 
 Vice President and General Counsel 
  
 with a copy (which shall not constitute notice) to: 
  
 The Apollo Group 
 c/o Apollo Management V, L.P. 
 9 West 57th Street 
 New York, NY 10019

 Facsimile: (212) 515-3264 
 Attention: Scott Kleinman; and 
  
 O’Melveny & Myers, LLP 
 7 Times Square 
 New York, NY 10036 
 Facsimile: (212) 326-2061 
 Attention: Adam Weinstein, Esq. 
  
 (B) If to Hexion LLC or the Apollo Group: 
  
 c/o Apollo Management V, L.P. 
 9 West 57th Street 
 New York, NY 10019 
 Facsimile: (212) 515-3264 
 Attention: Scott Kleinman 
  
 with a copy (which shall not constitute notice) to: 
  
 O’Melveny & Myers, LLP 
 7 Times Square 
 New York, NY 10036 
 Facsimile: (212) 326-2061 
 Attention: Adam Weinstein, Esq. 
  
 (C) If to any RPP Identified Holder, to the address set forth with respect to such RPP Identified Holder in the Company’s records. 
  
 (D) If to any Management Holder, to the address set forth with respect to such Management Holder in the
Company’s records. 
  
 * * * * * 
  
 ANNEX I-1 

 SCHEDULE I 
  

RPP Identified Holders 
  
 Apollo Investment Fund IV, L.P. 
 Apollo Overseas Partners IV, L.P. 
 GS Private Equity Partners II, L.P. 
 GS Private Equity Partners II Offshore, L.P. 
 GS Private Equity Partners II - Direct Investment Fund, L.P. 
 GS Private Equity Partners III, L.P. 
 GS Private Equity Partners III Offshore, L.P. 
 JPMorgan Chase Bank, as trustee for First
Plaza Group Trust, solely with respect to pools PMI 111 and PMI 112 
 Marv Schlanger 
  
 Borden Management Holders 
  
 Craig O. Morrison 
 Joseph P. Bevilaqua 
 William H. Carter 
 Hugh Morton 
 Nancy Brown 
 Elliot Fullen 
 Richard Monty 
 Raymond Glaser 
 Kevin McGuire 
 Nathan Fisher 
 Luis Cintra 
 Julia Harp 
 Mark Alness 
 Reggie Jenkins 
 Jerry Borges 
 Peter Hartland 
 Tony Ferreri 
 George Knight 
 Kyle Lorentzen 
 John Auletto 
 David Collins 
 Mark Bidstrup 
 Colette Barricks 
 David Hemm 
  

 SCHEDULE I-1 

 RPP Management Holders 
  
 David Allen 
 Paul Barletta 
 Larry Bravenac 
 Jack Christenson 
 David Coughlen 
 Rupert R. Dominguez 
 Dan Durbin 
 Ann M. Frederix 
 Ian Harris 
 Daisaku Higo 
 Ed Hoozemans 
 Wouter W. Jongepier 
 Ad Laanen 
 Paul Langemeier 
 Abraham Van Mannekes 
 James H. Melloan, Jr. 
 Tom Rizzo 
 Steve Rockey 
 Terrence Rodeheaver 
 Dany D. Subrata 
 Peter Terminie Jr. 
 Dennis F. White 
 David Woodcock 
 Paul Yianni 
 J. Travis Spoede Trust (dtd 3/26/99) 
 Dan Mariano 
 Hanna Lukosavich 
 Mark Antonvich 
 Kip Smith 
 Jeff Nodland 
 Marv Schlanger 
  
 RSM Management Holders 
  
 Greg Alexander 
 Jack Baarends 
 Joseph Beatty 
 Michael Bledsoe 
 Timothy Bowers 
 Hemant Dandekar 
 Daryl Dierwechter 
 Douglas Graff as trustee f/b/o Eric D. Graff and Kelly C. Graff 
 David Graziosi 
  
 SCHEDULE I-2 

 Ed Guetens 
 Doug Hedges 
 Patrick Heffernan 
 Daniel Key 
 David Kinney 
 Lubos Lukac 
 Alex Nazari 
 Jeff Nodland (Trust) 
 Rick Pitts 
 Kris Radhakrishnan 
 TL Ratcliff 
 Winfried Schaller 
 Wayne Steinberg 
 Charles Schwab & Co. Inc. Cust John R. Stevenson, IRA 
 George Tomko 
 Jeroen Triesscheijn 
 Ronny Van Goethem 
 Francois Vleugels 
 Mark Walter 
 Robert Wingfield 
 Andre Winterhalter 
 Mark Antonvich 
 Marv Schlanger 
 Dennis White 
 Kip Smith 
 SCHEDULE I-3

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