Document:

Exhibit

Exhibit 4.49

THIS DEED OF AMENDMENT (THE “DEED OF AMENDMENT”) AMENDS THE MASTER AGREEMENT WITH AN EFFECTIVE DATE AS OF 29 SEPTEMBER 2016 (THE “ORIGINAL MASTER”)

This Deed of Amendment to the Original Master is effective as of 1 January 2018 (the “Amendment Date”)

BETWEEN:

		
	(1)
	SCORPIO BULKERS INC., a company incorporated under the laws of the Marshall Islands and having its registered office at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 (“SALT”) on its own account and as agent for and on behalf of each of its existing wholly owned subsidiaries (as set out in Schedule 1) (“SPVs”) and certain of its future wholly-owned subsidiaries (“Future SPVs”) (the SPVs and Future SPVs jointly referred to as the “SALT SPVs”);

		
	(2)
	SCORPIO COMMERCIAL MANAGEMENT S.A.M., a company incorporated under the laws of Monaco and having its registered office at 9 Boulevard Charles III, Monaco 98000 (“SCM”); and

		
	(3)
	SCORPIO SHIP MANAGEMENT S.A.M., a company incorporated under the laws of Monaco and having its registered office at 9 Rue du Gabian, Monaco 98000 (“SSM”); 

(each a “Party” and together the “Parties”). 

WHEREAS:
		
	(1)
	The Original Master governs the terms upon which SSM and SCM provide technical and commercial services (respectively) to the SALT SPVs. Pursuant to the terms of the Original Master the Vessels (as therein defined) are managed pursuant to standard technical management terms (the “Technical Management Terms”) and/or standard commercial management terms (the “Commercial Management Terms”), which are set forth in the Original Master as Annex I and Annex II, each as amended and supplemented by the applicable confirmation a form of which is included in Schedule 2 of the Original Master (the “Confirmation” and the applicable Confirmation together with the Technical Management Terms being hereinafter the “Technical Management Agreement”). The entry of a time chartered Vessel into management by SCM and/or SSM and any amendments to the standard management terms is evidenced by a written confirmation a form of which is included in Schedule 3 of the Original Master (the “TC Confirmation”).  

		
	(2)
	The Parties have agreed to amend the form of the Technical Management Agreement and TC Confirmation as set forth in this Deed of Amendment. 

NOW THEREFORE in consideration of the mutual covenants contained in this Deed of Amendment, the Parties agree as follows:
		
	1.
	The Technical Management Terms, the form of the Confirmation and TC Confirmation attached to the Original Master shall with effect from the Amendment Date be deleted and replaced with the amended technical management terms as attached hereto as Annex A (the “New Technical Management Terms”), the amended form of confirmation as attached hereto as Annex B and the amended form of time charter confirmation as attached hereto as Annex C.

		
	2.
	The Technical Management Terms in each Technical Management Agreement relating to the SALT SPVs that own and/or bareboat charter vessels listed in Schedule 2 - Owned/Bareboat Chartered Vessels (the “Owned Vessel Technical Management Agreements”) will with effect from the Amendment Date, be replaced with the New Technical Management Terms.  An addendum to each Owned Vessel Technical Management Agreements confirming certain changes shall be issued in the form attached hereto as Schedule 3.

		
	3.
	SALT, in its capacity as guarantor, hereby confirms that any existing guarantees issued pursuant to the Original Master remain in full force and effect notwithstanding this Deed of Amendment.

		
	4.
	This Deed of Amendment may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument.

		
	5.
	This Deed of Amendment shall be governed by and construed in accordance with English law and any dispute arising out of or in connection with this Deed of Amendment shall be referred to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the extent necessary to give effect to the provisions of this Clause. The arbitration shall be conducted in accordance with the London Maritime Arbitrators Terms current at the time when the arbitration proceedings are commenced.

		
	6.
	No provision of this Deed of Amendment shall be enforceable under the Contracts (Rights of Third Parties) Act 1999 by any person who is not a party to this Deed of Amendment.

IN WITNESS WHEREOF this Deed of Amendment has been duly executed as a deed and delivered with effect from    22         February 2018.
Executed as a deed by    Cameron Mackey
/s/ Cameron Mackey
Chief Operating Officer                )
For and on behalf of                         )

Exhibit 4.49

Scorpio Bulkers Inc.                        )

in the presence of        Laurice Oso            
Signature of Witness    /s/ Laurice Oso                    ) 
Name, address and occupation of witness    Office Assistant
150E 58th Street New York, NY 10155        )

Executed as a deed by     Cameron Mackey
/s/ Cameron Mackey
Chief Operating Officer            )
For and on behalf of                         )
Scorpio Bulkers Inc.
As agent for and on behalf of each of the SALT SPVs:    )

in the presence of            Laurice Oso            
Signature of Witness        /s/ Laurice Oso                ) 
Name, address and occupation of witness    Office Assistant
150E 58th Street New York, NY 10155)
Executed as a deed by    Aldo Poma
/s/ Aldo Poma    
Administrateur Délégué)
For and on behalf of                         )
Scorpio Commercial Management S.A.M.:            )

in the presence of        Laura Thompson                
Signature of Witness    /s/ Laura Thompson                        ) 
Name, address and occupation of witness    Legal Administrator
Le Millenium, 9 Boulevard Charles III,  Monaco,MC 98000        )
    
Executed as a deed by    Francesco Bellusci
/s/ Francesco Bellusci        )
For and on behalf of     Administrateur Délégué
)
Scorpio Ship Management S.A.M.:                )
in the presence of        Laura Thompson            
Signature of Witness    /s/ Laura Thompson                    ) 
Name, address and occupation of witness    Legal Administrator        )
C/O Scorpio Commercial Management SAM
Le Millenium, 9 Boulevard Charles III,  Monaco,MC 98000    

Exhibit 4.49

Schedule 1
	
		
	 
	 

	1
	SBI Achilles Shipping Company Limited

	2
	SBI Alhambra Shipping Company Limited

	3
	SBI Antares Shipping Company Limited

	4
	SBI Apollo Shipping Company Limited

	5
	SBI Aries Shipping Company Limited

	6
	SBI Athena Shipping Company Limited

	7
	SBI Avanti Shipping Company Limited

	8
	SBI Bolero Shipping Company Limited

	9
	SBI Bravo Shipping Company Limited

	10
	SBI Capoeira Shipping Company Limited

	11
	SBI Carioca Shipping Company Limited

	12
	SBI Chartering and Trading Ltd.

	13
	SBI Conga Shipping Company Limited

	14
	SBI Cougar Shipping Company Limited

	15
	SBI Cronos Shipping Company Limited

	16
	SBI Echo Shipping Company Limited

	17
	SBI Electra Shipping Company Limited

	18
	SBI Flamenco Shipping Company Limited

	19
	SBI Gemini Shipping Company Limited

	20
	SBI Hera Shipping Company Limited

	21
	SBI Hercules Shipping Company Limited

	22
	SBI Hermes Shipping Company Limited

	23
	SBI Hydra Shipping Company Limited

	24
	SBI Hyperion Shipping Company Limited

	25
	SBI Jaguar Shipping Company Limited

	26
	SBI Jive Shipping Company Limited

	27
	SBI Lambada Shipping Company Limited

	28
	SBI Leo Shipping Company Limited

	29
	SBI Libra Shipping Company Limited

	30
	SBI Lynx Shipping Company Limited

	31
	SBI Lyra Shipping Company Limited

	32
	SBI Macarena Shipping Company Limited

	33
	SBI Maia Shipping Company Limited

	34
	SBI Mazurka Shipping Company Limited

	35
	SBI Orion Shipping Company Limited

	36
	SBI Parapara Shipping Company Limited

	37
	SBI Pegasus Shipping Company Limited

	38
	SBI Perseus Shipping Company Limited

	39
	SBI Phoebe Shipping Company Limited

	40
	SBI Phoenix Shipping Company Limited

	41
	SBI Pisces Shipping Company Limited

	42
	SBI Poseidon Shipping Company Limited

	43
	SBI Puma Shipping Company Limited

	44
	SBI Reggae Shipping Company Limited

	45
	SBI Rock Shipping Company Limited

	46
	SBI Rumba Shipping Company Limited

	47
	SBI Samba Shipping Company Limited

	48
	SBI Samson Shipping Company Limited

	49
	SBI Sousta Shipping Company Limited

	50
	SBI Subaru Shipping Company Limited

	51
	SBI Swing Shipping Company Limited

Exhibit 4.49

	
		
	52
	SBI Tango Shipping Company Limited

	53
	SBI Taurus Shipping Company Limited

	54
	SBI Tethys Shipping Company Limited

	55
	SBI Thalia Shipping Company Limited

	56
	SBI Ursa Shipping Company Limited

	57
	SBI Virgo Shipping Company Limited

	58
	SBI Zeus Shipping Company Limited

	59
	SBI Zumba Shipping Company Limited

	60
	Cavendish Shipping Limited

	61
	Fitzroy Shipping Limited

	62
	Bedford Shipping Limited

	63
	Sloane Shipping Limited

	64
	Belgrave Shipping Limited

	65
	Grosvenor Shipping Limited

	66
	St James Shipping Limited

	67
	OPT Value Acq 1 Limited

	68
	OPT Value Acq 2 Limited

	69
	OPT Value Acq 3 Limited

	70
	OPT Value Acq 4 Limited

Schedule 2
Confirmations

Owned/Bareboat Chartered Vessels
	
			
	 
	Vessel Name
	Date of Confirmation

	Technical

	1
	SBI Achilles 
	18 August 2014

	2
	SBI Antares 
	18 July 2014

	3
	SBI Apollo 
	18 July 2014

	4
	SBI Aries 
	20 December 2017 

	5
	SBI Athena 
	18 July 2014

	6
	SBI Bolero 
	18 July 2014

	7
	SBI Bravo 
	18 July 2014

	8
	SBI Capoeira 
	18 July 2014

	9
	SBI Carioca 
	18 July 2014

	10
	SBI Conga 
	18 July 2014

	11
	SBI Cougar 
	28 December 2017 

	12
	SBI Cronos 
	18 July 2014

	13
	SBI Echo 
	18 July 2014

	14
	SBI Electra 
	18 July 2014

	15
	SBI Flamenco 
	18 July 2014

	16
	SBI Gemini 
	29 November 2017 

	17
	SBI Hera 
	18 July 2014

	18
	SBI Hercules 
	18 July 2014

	19
	SBI Hermes 
	18 July 2014

	20
	SBI Hydra 
	18 July 2014

	21
	SBI Hyperion 
	18 July 2014

	22
	SBI Jaguar 
	21 December 2017  

	23
	SBI Jive 
	18 July 2014

	24
	SBI Lambada 
	18 July 2014

	25
	SBI Leo 
	18 July 2014

	26
	SBI Libra 
	8 November 2017

Exhibit 4.49

	
			
	27
	SBI Lyra 
	18 July 2014

	28
	SBI Macarena 
	18 July 2014

	29
	SBI Maia 
	18 July 2014

	30
	SBI Mazurka 
	18 July 2014

	31
	SBI Orion 
	18 July 2014

	32
	SBI Parapara 
	18 July 2014

	33
	SBI Pegasus 
	18 July 2014

	34
	SBI Perseus 
	18 July 2014

	35
	SBI Phoebe 
	18 July 2014

	36
	SBI Phoenix 
	18 August 2014

	37
	SBI Pisces 
	20 December 2017 

	38
	SBI Poseidon 
	18 July 2014

	39
	SBI Puma 
	13 December 2017 

	40
	SBI Reggae 
	18 July 2014

	41
	SBI Rock 
	18 July 2014

	42
	SBI Rumba 
	18 July 2014

	43
	SBI Samba 
	18 July 2014

	44
	SBI Samson 
	18 August 2014

	45
	SBI Sousta 
	18 July 2014

	46
	SBI Subaru 
	18 July 2014

	47
	SBI Swing 
	18 July 2014

	48
	SBI Tango 
	18 July 2014

	49
	SBI Taurus 
	21 December 2017 

	50
	SBI Tethys 
	18 July 2014

	51
	SBI Thalia 
	18 July 2014

	52
	SBI Ursa 
	18 July 2014

	53
	SBI Virgo 
	20 December 2017  

	54
	SBI Zeus 
	18 July 2014

	55
	SBI Zumba 
	18 July 2014

Exhibit 4.49

Schedule 3 Form of deed of addendum to each of the Owned Vessel Technical Management Agreements 

This Deed of Addendum number [one/two] to the TMA (the “Addendum”) is effective as of 1 January 2018 

BETWEEN:

		
	(i)
	SCORPIO SHIP MANAGEMENT S.A.M., a company incorporated under the laws of Monaco and having its registered office at 9 Rue du Gabian, Monaco MC 98000 (“SSM”); 

		
	(ii)
	[*], a company incorporated under the laws of the Marshall Islands and having its registered office at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 (“SALT SPV”); and

		
	(iii)
	SCORPIO BULKERS INC., a company incorporated under the laws of the Marshall Islands and having its registered office at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 (“SALT”);

(each a “Party” and together the “Parties”). 

WHEREAS:
		
	(1)
	SSM and SALT SPV have previously entered into a standard form technical management agreement (the “TMA”) including the confirmation dated [*] (the “Confirmation”) [and an addendum number one dated [ ]] pursuant to the terms of the amended and restated master agreement with an effective date as of 29 September 2016  (together, the “Original Master”) ; and

		
	(2)
	The Parties have amended the terms of the Original Master pursuant to a deed of amendment effective as of 1 January 2018 (the “Amended Master”) and the technical management terms included therein (the “New Standard Form TMA”). This Addendum confirms the changes effective to the terms of the TMA. 

NOW THEREFORE in consideration of mutual covenants contained herein and the payment of $1 by each Party to the other, the receipt and sufficiency of which is acknowledged by each IT IS AGREED as follows:
		
	(a)
	With effect from 1 January 2018, the TMA will be deleted and replaced by the New Standard Form TMA. 

		
	(b)
	 The Confirmation [as amended by addendum number one dated [ ]] shall continue to apply as is except that: 

[(i) “Box 11 (Part 1 of the Standard Technical Management Terms) delete “no” and replace with “yes”” and “Line 138 to and including line 142 (Part II of the Standard Technical Management Terms) reinstate standard Bimco form wording” shall be deleted,] 
[(i)/[(ii)] the reference to “In respect of the Standard Technical Management Terms, see the attached Annexes” shall be deleted and replaced by “In respect of the Standard Technical Management Terms, Part VI to be deleted and replaced by Part VI attached hereto”; and 
[(ii)/(iii)] the reference to “Box 22, Part 1 of the Standard Technical Management Terms” shall be deleted and replaced by “Section 2.2, Part 1 of the Standard Technical Management Terms”. 
		
	(c)
	SALT confirms its guarantee of the performance of the SALT SPV remains in full force and effect notwithstanding the New Standard Form TMA and this Addendum.  

		
	(d)
	This Addendum may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument. 

		
	(e)
	The law and dispute resolution clause at clause 20 of the New Standard Form TMA shall apply to this Addendum.

		
	(f)
	No provision of this Addendum shall be enforceable under the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Addendum.

IN WITNESS WHEREOF this Addendum has been duly executed as a deed and delivered with effect from           2018.
Executed as a deed by Francesco Bellusci        )
For and on behalf of                     )
Scorpio Ship Management S.A.M.:            )

in the presence of                    )    
Signature of Witness                    ) 
Name, address and occupation of witness        )

Exhibit 4.49

Executed as a deed by                    )
For and on behalf of                     )
[SALT SPV]:                        )
in the presence of                    )        
Signature of Witness                    ) 
Name, address and occupation of witness        )

Executed as a deed by            )
For and on behalf of                     )
Scorpio Bulkers Inc.                            )

in the presence of                    )        
Signature of Witness                    ) 
Name, address and occupation of witness        )

Exhibit 4.49

Attachments to this Addendum: Part VI
Annex A  New Technical Management Terms

Exhibit 4.49

Annex B - FORM OF CONFIRMATION TO THE AMENDED AND RESTATED MASTER AGREEMENT WITH EFFECTIVE DATE AS OF 29 SEPTEMBER 2016 AS FURTHER AMENDED BY A DEED OF AMENDMENT WITH EFFECTIVE DATE AS OF 1 JANUARY 2018 

Exhibit 4.49

	
						
	VESSEL NAME
	VESSEL DETAILS
	REGISTERED OWNER 
	DATE OF ENTRY INTO SALT FLEET
	DATE OF ENTRY INTO MANAGEMENT BY [SCM AND/OR SSM] PURSUANT TO WHICH THE SALT SPV AND [SCM AND/OR SSM] AGREE TO BE BOUND BY THE [STANDARD COMMERCIAL MANAGEMENT TERMS AND/OR STANDARD TECHNICAL MANAGEMENT TERMS (RESPECTIVELY)]  (the “Effective Date”)
	NOTES / AMENDMENTS TO STANDARD MANAGEMENT TERMS

	 
	 
	 
	 
	[Drafting note: If this is a newbuilding then delivery date as per SBC should be inserted here - actual date NOT on or around]
	

Notices Address (Section 2.2, Part I, of the Standard Technical Management Terms and Box 22, Part I of the Standard Commercial Management Terms) for the Owners is as follows:

[•]
C/O 9 Boulevard Charles III, 98000 Monaco MC
Tel +377 97985850
Email: management@scorpiogroup.net

In respect of the Standard Technical Management Terms, Part VI to be deleted and attached Part VI to apply.

In respect of the Standard Commercial Management Terms, the flat management fees payable as per clause 12(a)(i): US$[•] per day pro rata.

The Standard Commercial Management Terms are amended with the addition of the following text in clause 12:  
From the period commencing as of the date that Owners become a Pool Participant (as defined in the Scorpio [•] Pool Agreement (“Pool Agreement”)) and the Vessel becomes a Pool Vessel (as defined in the Pool Agreement) until the date that Owners cease to be a Pool Participant and the Vessel ceases to be a Pool Vessel the Managers shall be remunerated in accordance with the terms of the Pool Agreement (and for the avoidance of doubt shall not be remunerated in accordance with the terms of this Agreement) unless the Vessel is in an Off Pool Time Charter (as defined in the Pool Agreement) in which case the Manager shall receive a flat daily management fee of US [•] payable monthly in advance against an invoice, throughout the duration of the Vessel’s Off Pool Time Charter. Provided always that the applicable termination fees payable by Owners pursuant to Clause 22 of this Agreement shall be calculated by using the management fee set out under Clause 12(a)(i) and 12(a)(ii) and the Vessel shall not be deemed to be a Pool Vessel (as defined in the applicable pool agreement)”.

In respect of the Amended and Restated Master Agreement with effective date as of 29 September 2016 as further amended by a Deed of Amendment with effective date as of 1 January 2018 and entered into by Scorpio Bulkers Inc., Scorpio Bulkers Inc., for and on behalf of existing and future wholly owned vessel 

Exhibit 4.49

owning subsidiaries, Scorpio Commercial Management S.A.M. and Scorpio Ship Management S.A.M. (the “Master”), [SALT SPV] hereby acknowledges, confirms and accepts the terms of the Master.
Further, [Insert name of SALT SPV] acknowledges that in the event of any inconsistency between the provisions of the Master and this Management Agreement: (i) prior to the Effective Date, the provisions of the Master shall prevail; and (ii) on and after the Effective Date the provisions of this Management Agreement shall prevail.
Scorpio Bulkers Inc. as agent for and on behalf of [insert name of SALT SPV]:
Name:
Position:
Date:
[Scorpio Commercial Management S.A.M.] [if applicable]
Name:
Position:
Date:
[Scorpio Ship Management S.A.M.] [if applicable]
Name:
Position:
Date:
Scorpio Bulkers Inc. as guarantor            
Name:
Position:
Date:

Exhibit 4.49

[Attachments to Technical Management Confirmation: Part VI]
Annex C - FORM OF TC CONFIRMATION TO THE AMENDED AND RESTATED MASTER AGREEMENT WITH EFFECTIVE DATE AS OF 29 SEPTEMBER 2016 AS FURTHER AMENDED BY A DEED OF AMENDMENT EFFECTIVE AS OF 1 JANUARY 2018 DATE OF CONFIRMATION [X] of Commercial and/or Technical Management Agreement (“Management Agreement”)

Exhibit 4.49

	
						
	VESSEL NAME
	VESSEL DETAILS
	DISPONENT OWNER
	DATE OF ENTRY INTO SALT FLEET
	DATE OF ENTRY INTO MANAGEMENT BY [SCM AND/OR SSM] PURSUANT TO WHICH THE SALT SPV AND [SCM AND/OR SSM] AGREE TO BE BOUND BY THE [STANDARD COMMERCIAL MANAGEMENT TERMS AND STANDARD TECHNICAL MANAGEMENT TERMS (RESPECTIVELY)]  (the “Effective Date”)
	NOTES / AMENDMENTS TO STANDARD MANAGEMENT TERMS

	 
	 
	 
	 
	 
	Only Standard Commercial Management Terms are amended as follows:
Clause 1 “Time Charter”: definition of time charter to be added.
[Clause 12 to be amended on an individual basis depending on the relevant pool agreement terms to address payment of the management fee during the period where the Vessel is considered a pool vessel]
Clause 21(a): delete and replace with 
“This Agreement shall come into effect at the date stated in Box 5 and shall continue until terminated by either party giving notice to the other; in which event this Agreement shall terminate on the date on which the Vessel is re-delivered under the Time Charter unless terminated earlier in accordance with Clause 22 (“Termination”)”
Clause 22 (all sub-para): delete all references to ET1, ET2, ET3 and ET4.
Clause 22(g)(i) delete “an ET2 event, or for” and “or an ET1, ET3 or ET4 event,” 
Clause 22(g) sub clauses (ii) - (vi) inclusive delete 
Technical Management Terms are amended as follows:
Clause 1 “Time Charter”: definition of time charter to be added.
Clause 17.1: delete and replace with 
“This Agreement shall come into effect at the date stated in Box 5 and shall continue until terminated by either party giving notice to the other; in which event this Agreement shall terminate on the date on which the Vessel is re-delivered under the Time Charter unless terminated earlier in accordance with Clause 17 (“Duration of the Agreement”)”
Clause 17.5 (all sub-para): delete all references to ET1, ET2, ET3 and ET4.
Clause 17.7 delete “an ET2 event, or for” and “or an ET1, ET3 or ET4 event,” 
Clause 17.7 sub clauses (ii) - (v) inclusive delete 
Part IV and VI to be deleted and attached to apply 

Exhibit 4.49

[insert name of Owner/Disponent Owner]:
Name:
Position:
Date:
[Scorpio Commercial Management S.A.M.] [if applicable]
Name:
Position:
Date:
[Scorpio Ship Management S.A.M.] [if applicable]
Name:
Position:
Date:
[Attachments to Technical Management Confirmation: Part IV and VI]  

Exhibit 4.49

SHIP MANAGEMENT AGREEMENT

Exhibit 4.49

MANAGEMENT AGREEMENT

INDEX

PART            SUBJECT MATTER                    PAGE NO.

Part I        Vessel Details                             4                         
Part II        Terms of Agreement

1.    Definitions & Interpretation                    6
2.    Appointment of Managers                        6
3.    Basic Services                            6
3.1    Crewing                                7
3.2    Technical Management                        8
3.3    Purchasing                            8
3.4    Insurance                            9
3.5    Accounting and Budgeting                        9
3.6    Information System Software                    10
3.7    Shipboard Oil Pollution Emergency Plan                10
3.8    OPA                                11
3.9    Assistance with Sale of Vessel                    11
3.10    Vessel trading in high risk areas                    11
4.    Services provided by Associated Companies                11
5.    Managers’ Obligations                        12
6.    Owners’ Obligations                        12
7.    Documentation                            13
8.    Management Fee                            13
9.    Payments and Management of Funds                14
10.    Manager’s Right to Sub-Contract                    15
11.    Responsibilities                            15
11.1    Force Majeure                            15
11.2    Liability to Owners                        16
11.3    Indemnity - General                        16
11.4    Indemnity - Tax                            16
11.5    Himalaya                            16
11.6    Consequential Loss                        17    
12.    Liens                                17
13.    Claims/Disputes                             17
14.    Auditing, Records                        17
15.    Inspection of Vessel                        18
16.    Compliance with Laws & Regulations                18
17.    Duration of the Agreement                        19
17.1    Termination by Notice                        19
17.2    Termination by Default - Owners                    19
17.3    Termination by Default - Managers                    19
17.4    Liquidation                            19
17.5    Extraordinary Termination                        19
18.    Confidentiality                            20
19.    Suspension of Services                        20
20.    Law and Arbitration                        20
21.    Amendments to Agreement                    21
22.    Time Limit for Claims                        21
23.    Condition of Vessel                        21
24.    Notices                                21
25.    Staff Loyalty                            21
26.    Entire Agreement                            21
27.    Partial Validity                            22
28.    Performance Guarantee                        22    
29.     Non Waiver                            22

Part III    Associated Companies                            23-24
Part IV    Fee Schedule                                25

Part V    Fleet Details                                26
Part VI    Initial Budget                                27-28

Part VII    Change of Control                            29

Exhibit 4.49

                                                                                                                                                                                            
SHIP MANAGEMENT AGREEMENT - PART I

	
		
	1.  Vessel Details
	 

	Name:    
	GT/NT:

	Flag:    
	Class:

	Type:    
	Year Built:

	     IMO number:
	 

	2.Owners  

	Name:

	2.1 Owners’ Registered Address (where the company is registered) Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, MH96960, Marshall Islands

	Country of Incorporation: Marshall Islands

	2.2 Owners’ business establishment address (head office and principal place of business) 

      As per Confirmation 

	 

	Telephone Number Fax Number:

	Contact Name:Position:

	     
     Email address:
     

	3.Managers

	Name:  Scorpio Ship Management S.A.M.

	Registered Office:  9 Rue du Gabian, 98000, Monaco

	Country of Incorporation: Monaco 

	     IMO Number: 0631141

	Telephone Number: +377 97985700Fax Number: 

	Contact Name: Position: 

     Email address: fbellusci@scorpio.mc

	4.  Guarantor (Clause 28)
     Name: Scorpio Bulkers Inc. 

	5.Date of Commencement of Agreement (Clause 2.1) As per Confirmation

	 

	6.Notices to Owners and Guarantor:   at the Owners’ Principal Place of Business address, fax number and email address stated in Box 2

	 

	7.Notices to Managers:      at the address, fax number and email address stated in Box 3 

	 

It is mutually agreed between the party mentioned in Box 2 of Part I (hereinafter called “the Owners”) and the party mentioned in Box 3 of Part I (hereinafter called “the Managers”) and, if applicable, the party mentioned in Box 4 of Part I (hereinafter called “the Guarantor”) that this Agreement consisting of PARTS I to VI inclusive shall be performed subject to the conditions contained herein.

Exhibit 4.49

DATE OF AGREEMENT: 

Signature(s) (Owners)                Signature(s) (Managers)

________________________            __________________________

Title:                        Title:

                        
                    

Signature(s) (Guarantor)

________________________

Title:

Exhibit 4.49

SHIP MANAGEMENT AGREEMENT - PART II

		
	1.
	Definitions and Interpretation

		
	1.1
	In this agreement (together with the Confirmation, any additional clauses of even date herewith and any schedules (the “Agreement”)), in addition to terms defined in Part I, save where the context otherwise requires, the following words and expressions shall have the meanings hereby assigned to them.

“Approved Broker” means the affiliated insurance broker of the Manager. 
“Basic Services” means services relating to Crewing, Technical Management, Purchasing, Insurance, Accounting and Budgeting, Information System Software, Shipboard Oil Pollution Emergency Plan, OPA and Assistance with Sale provided in accordance with Clause 3 as well as Safety and Environmental Compliance Auditing & Training (“SECAT”).
“Change of Control” means the definition given to it in the Schedule comprising Part VII.
“Crew Support Costs” means all expenses of a general nature not particularly referable to any individual vessel for the time being managed by the Managers and incurred for the purpose of providing an efficient and economic management service including, without prejudice to the generality of the foregoing, cost of crew standby pay, training schemes, cadet training schemes, study pay, recruitment and interviews.
“Fees” means for the purposes of Clauses 8.5, 11.2 and 17.7 the items set out at part (a)(i) in the Fee Schedule (as the same may be revised from time to time).
“Fee Schedule” means the Schedule comprising Part IV or any revised Fee Schedule prepared by the Managers after the date hereof to record adjustments to the fees and expenses payable from time to time under this Agreement.
“Fleet” shall mean any vessel owned or operated now or hereafter by the Owners or any parent, subsidiary or associated company of the Owners and the vessels (if any) details of which are set out in Part V hereto or any revised Part V executed after the date hereof.
“Information System Software” means the Managers' ship management software in executable object code form as described in Clause 3.6.l as the same may be upgraded and updated from time to time.
“ISM Code” means the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention adopted by Resolution A.714 (18) of the International Maritime Organisation on 4 November 1994 and incorporated on 19 May 1994 into the SOLAS Convention 1974 as Chapter IX and any amendment thereto or substitution thereof.
“ISPS Code” means the International Ship and Port Facility Security Code as adopted on 12 December 2002 by resolution 2 of the Conference of Contracting Governments to the International Convention for the Safety of Life at Sea 1974 and any amendment thereto or substitution thereof.
“Management Services” means Basic Services and all other functions performed by the Managers under the terms of this Agreement.
“Master Agreement” means the deed of Master Agreement as amended and restated effective as of 29 September 2016 and as further amended by a deed of amendment effective as of 1 January 2018 entered into by and between the Guarantor, the Guarantor on behalf of any existing and future wholly owned subsidiaries, Scorpio Commercial Management S.A.M and the Managers.
“MLC” means the Maritime Labour Convention 2006 and any amendment thereto, substitution thereof and ratification of the Maritime Labour Convention 2006 in the respective States national law.
“OPA” means the United States Oil Pollution Act of 1990, regulations made thereunder, and any amendment thereto or substitution thereof.
“Severance Costs” means the costs which the employers are legally obliged to pay to or in respect of the Crew as a result of the early termination of any contract for service on board the Vessel.
“SMS” means a Safety Management System in accordance with the ISM Code.
“SSP” means a Ship Security Plan in accordance with the ISPS Code. 
“STCW” means the International Maritime Organisation Convention on Standards of Training Certification and Watchkeeping for Seafarers 1978, as amended in 1995 and any amendment thereto or substitution thereof.
“the Vessel” shall mean the vessel details of which are set out in Box 1 of Part I.
		
	1.2
	Clause Headings are inserted for convenience and shall be ignored in construing this Agreement; words denoting the singular number shall include the plural number and vice versa; references to Parts are to Parts of this Agreement; references to Clauses are to Clauses of Part II except where otherwise expressly stated; and references to any enactment include any re-enactments, amendments and extensions thereof.

Interpretation:  the  Managers,  Owners  and  Guarantor  acknowledge  and  agree  that  in  the  event  of  any inconsistency between the provisions of the Master  Agreement and this Agreement: (i) prior to and including the Effective Date (as defined in the Master Agreement) the provisions of the Master Agreement shall prevail; and (ii) after the Effective Date the provisions of this Agreement shall prevail.

		
	2.
	Appointment of Managers

		
	2.1
	With effect from the date stated in Box 5 of Part I (the “Date of Commencement”) and continuing unless and until terminated as provided herein, the Owners hereby appoint the Managers and the Managers hereby agree to act as the managers of the Vessel in respect of the Management Services.

		
	2.2
	In performing any of the Management Services the Managers shall, as agents for and on behalf of the Owners, have authority to take such steps as the Managers may from time to time in their absolute discretion consider to be necessary to enable them to perform this Agreement in accordance with sound ship management practice.

		
	3.
	Basic Services

Subject to the terms and conditions herein provided, during the period of this Agreement the Managers shall carry out, as agents for and on behalf of the Owners, the Basic Services in accordance with the following provisions of this Clause.

		
	3.1
	Crewing

3.1.1 The Managers shall provide suitably qualified crew for the Vessel in accordance with current STCW requirements, provision of which includes but is not limited to the following functions:
(i)    selecting and engaging Master, officers and ratings (hereinafter collectively referred to as the “Crew”); where the Owners make a complaint about any member of the Crew the Managers will promptly investigate the same and if it proves to be justified, replace the Crew member concerned as soon as practicable;
		
	(i)
	ensuring that the applicable requirements of the law of the flag of the Vessel are satisfied in respect of manning levels, rank, qualification and certification of the Crew, and employment regulations including Crew’s tax, social insurance, discipline and other requirements;

Exhibit 4.49

(iii)  ensuring that all members of the Crew have passed a medical examination with a qualified doctor certifying that they are fit for the duties for which they are engaged and are in possession of valid medical certificates which are valid for the duration of their service onboard the Vessel and issued in accordance with appropriate flag state requirements; 
(iv)  arranging transportation of the Crew, including repatriation;
		
	       (v)
	supervising the efficiency of the Crew and using the Manager’s standard crew appraisal system (written or electronic) and administration of all other Crew matters such as planning for the manning of the Vessel;

(vi)    making payroll arrangements, including settling manning and agency expenses for the manning agents in the Crew's country of origin and, if applicable, payment of Severance Costs;
(vii)    if requested by the Owners, conducting union negotiations and making agreed payments to unions; 
(viii)    operating the Managers' Drug and Alcohol Policy;
(ix)    arranging Crew training in accordance with STCW (and as provided for in the budget), records of such training being maintained in the Manager’s standard format.
		
	3.1.2
	Crew Claims

The Managers will provide such information as requested by relevant brokers and/or P&I Club managers to enable such brokers or managers to prepare and process all Crew insurance claims.
3.1.3 The Owners agree to implement in full the terms and conditions of employment under which the Crew are engaged by the Managers as agent for the Owners. The Owners shall be the employer of the Crew and under no circumstances shall the Managers be deemed to be the employer of the Crew. If the Vessel is covered by an ITF approved agreement or any other CBA/national agreement the Owners authorize the Managers to sign the ITF Special Agreement or any other CBA/national agreement on their behalf and agree to provide all information necessary for this purpose.
3.1.4 Should the Owners require that their prior approval is given to the engagement of any member of the Crew, the Owners shall be obliged to give such approval within two working days of receipt from the Managers of reasonable details of the proposed appointee.   
3.1.5 In the event that any officers or ratings are supplied by the Owners or on their behalf, the Owners shall procure that they comply with the requirements of STCW and MLC. Owners will instruct such officers and ratings to obey all reasonable orders of the Managers.Any such officers or ratings shall, at the Owners’ cost, be trained in accordance with the Managers training matrix. 
3.1.6 The Managers shall procure that the Crew consent to processing of their personal data for legitimate business purposes. The Owners warrant that personal data of the Crew will be processed in accordance with the requirements of the Data Protection Act 1998 or any other applicable law or regulation.
3.1.7 For the purposes of the MLC to the extent permitted, the Owners shall be deemed “Shipowner” and under no circumstances whatsoever, notwithstanding the Managers agreeing to carry out specific obligations under the MLC on behalf of the Owners, shall the Managers be deemed “Shipowner”. It is a condition of this Agreement that the Owners shall provide all Crew with MLC compliant working and living conditions.
3.1.8 The Owners authorize the Managers to sign contracts of employment with the Crew as agent only for and on behalf of the Owners and/or to procure that a seafarer recruitment and placement service, in the country of domicile of a Crew member, signs contracts of employment with such Crew member as agent only for and on behalf of the Owners. 
3.1.9 All costs, including consultancy and advisory costs, related to compliance with tax and/or social security obligations shall at all times remain for the account of the Owners.

		
	3.2
	Technical Management

The Managers shall provide technical management which includes, but is not limited to the following functions:
  (i)    provision of personnel to supervise the maintenance and general efficiency of the Vessel;
 (ii)    arrangement and supervision of drydockings, repairs, modifications to and the upkeep of the Vessel to the standards agreed with the Owners provided that the Managers shall be entitled to incur the necessary expenditure to ensure that the Vessel will comply with all requirements and recommendations of the classification society and equipment manufacturers, and with the laws and regulations of the country of registry of the Vessel and of the places where she trades;
(iii)    arrangement of periodic analysis of the bunker fuel, lubricating oils and chemicals by third parties (the costs being included in the Vessel’s running costs);
(iv)    appointment of surveyors and technical consultants as the Managers may consider from time to time to be necessary;
(v)    visits to the Vessel by superintendents or other staff of the Managers for up to 15 days in any calendar year (or pro rata for part of a calendar year) including time spent travelling;
(vi)    notifying the Owners of any extraordinary and/or non-budgeted single item of expenditure in excess of US$50,000; 
(vii) development, implementation and                                                                                   maintenance of an SMS and an SSP.

		
	3.3
	Purchasing

3.3.1 The Managers shall arrange for the supply of necessary victualling, stores, spares, provisions, lubricating oils and services (including drydock services) for the Vessel.   To enable the Managers to arrange such supplies on the most advantageous terms, the Managers shall be entitled to join with other parties in making arrangements for bulk purchase. The Managers are presently members of a contracting association and may join other similar associations in the future (any such existing or future association the “Association”) providing access to commodities and dry dock services globally. The Association negotiates on behalf of its members with selected suppliers the best available price, terms and conditions for the bulk purchase of goods and services for the marine industry with the aim of offering to members and their clients savings on vessel technical operating costs. 
3.3.2 Details of the suppliers contracted by the Association, and prices available for the Vessel at the time of supply shall be made available to Owners upon their request.  Owners acknowledge that all information relating to prices is confidential and undertake not to disclose the same to third parties without the prior written consent of the Managers.
3.3.3 Where the Association has negotiated terms and conditions with suppliers of any stores, spares provisions, or lubricating oils (“Goods”) and/or suppliers of services required by the Vessel, then the purchase of such Goods and services will, unless operational or other circumstances otherwise require, be undertaken with such suppliers on the basis of the terms and conditions negotiated by the Association.
3.3.4 The Association will where practicable obtain a best price charter from suppliers that the prices for all Goods and services purchased by the Association’s members will be the lowest prices available.   If the Owners are able to obtain in good faith, on arms' length terms, on a true like for like basis (including quality, certification, timing, manufacturer, place of supply, etc, but ignoring taxes and exchange rate fluctuations), the same Goods and/or services at a lower price than that obtained by the Association, the Owners will supply full details to the Managers who will promptly raise the matter with the Association and pass on to Owners any refund obtained by the Association from the supplier.
3.3.5 The Owners have received details from the Managers of the business rules and operating procedures adopted by the Association, including provisions related to fees that the Association will retain and that the Managers will earn as applicable, and agree to comply with such rules and operating procedures as the same may be amended from time to time. 
3.3.6 The Owners acknowledge that they are aware that prices obtained from suppliers require strict adherence to the payment terms agreed with suppliers (normally 45 days from date of invoice), and any failure by the Owners to provide the Managers with funds to settle sums due to suppliers on time will (in the absence of a 

Exhibit 4.49

good faith dispute) result in an immediate 5% surcharge, and monthly interest charges of 1% per month or part thereof being rigorously applied by suppliers.  The Managers are hereby expressly authorised to settle such surcharge and interest charges from any sums held by them on behalf of Owners. The Owners further acknowledge that they are aware if payments to suppliers are regularly made late, or if suppliers are not satisfied with Owners' credit rating, suppliers may refuse to supply at the prices and on the terms negotiated by the Association.

		
	3.4
	Insurance

3.4.1 If instructed by the Owners to arrange insurances on their behalf, the Managers shall appoint an Approved Broker, for the placing of insurances, and insurance claims handling, and, if applicable, casualty management. 
3.4.2 The Approved Broker shall place such insurances as the Owners shall have instructed or agreed, in particular as regards values, deductibles and franchises.  At each renewal the Approved Broker will liaise with the Owners:
(i)    as to any changes in insured values required;
(ii)    in respect of premiums, franchises and deductibles and any other changes for the new policy year; and
(iii) to update the budget to reflect changes in insurance premiums.    
		
	3.4.3
	 The Approved Broker shall compile such statistics and enter into negotiations with such brokers and P&I Club managers as they consider necessary or desirable in order to arrange for such insurances to be placed.

3.4.4 Once insurances are placed the Approved Broker shall arrange for all cover notes to be checked and for all debit notes to be paid as required.
3.4.5 Unless otherwise indicated by the Owners, the Managers shall provide such information as requested by the Approved Broker to enable the Approved Broker to handle and or procure the settling of all insurance, average and salvage claims in connection with the Vessel. 
3.4.6 The services provided by the Approved Broker to the Owners shall, at the Approved Broker’s  absolute discretion, terminate on termination of this Agreement. 
    
		
	3.5
	Accounting and Budgeting

3.5.1 The Managers shall:
  (i) maintain the records of all costs and expenditure incurred hereunder as well as data necessary or proper for the settlement of accounts between the parties;
 (ii) establish an accounting system for the Vessel and supply regular reports in accordance therewith in the Managers' standard format or, on agreement of an additional fee, such other form as may be mutually agreed in writing with the Owners.
3.5.2 The Managers shall present to the Owners annually a budget for the following calendar year in the Managers' standard format or such other form as may be mutually agreed in writing.  The budget for the period following the date stated in Box 5 of Part I is set out in Part VI.  Subsequent annual budgets shall be prepared by the Managers and submitted to the Owners in each year in respect of the following year.
3.5.3 The Owners shall notify the Managers of their acceptance and approval of the annual budget within 14 days of presentation and in the absence of any response the Owners shall be deemed to have accepted the said budget. In the event that the Owners do not accept an annual budget presented by the Managers within the period aforesaid and that budget is, in the opinion of the Managers, fair and reasonable, the Managers shall be entitled to terminate this Agreement by notice in writing, in which event this Agreement shall terminate on the expiry of a period of one (1) month from the date upon which such notice is given.
3.5.4 The Managers shall produce a monthly comparison between budgeted and actual expenditure of the Vessel in the Managers' standard format or, on agreement of an additional fee, such other form as may be mutually agreed in writing.
3.5.5 This Clause 3.5 is subject to the provisions of Part VI.

3.6 Software 
		
	3.6.1
	 The Managers will, subject to the remaining provisions of this Clause 3.6, provide the Owners and the Vessel with software. 

3.6.2 The main features of the software at the date of this Agreement are:
(i)    comprehensive management software incorporating crew administration, vessel noon reporting, operational and port reporting, defect and deficiency reporting and performance monitoring;
(ii)    a ship to shore and shore to ship e-mail package providing cost efficient communications available to both Owners and their charterers; and
(iii)    a computerized maintenance system including inventory control and automated purchase order handling. (An initial charge, to be agreed with Owners, may be made for the set-up of the maintenance database, depending on the system currently existing on board the Vessel).
3.6.3 The costs for the software are set out in the Fee Schedule, and are included in the Vessel's running costs, as follows:
(i)    the license fee;
(ii)    maintenance, updates and upgrades;
(iii)    provision of anti-virus software and regular upgrades;
(iv)    operational manuals and regular updates;
(v)    annual remote audit of the Vessel IT systems providing a system health check;
(vi)    user manuals and training of the Crew in the use of the software; and
(vii)    e-mail on board the Vessel.
3.6.4 Such costs do not include:
(i)    the costs of appropriate hardware on board the Vessel;
(ii)    travel and other related costs for installation support of the Information System Software on board the Vessel;
(iii)    the set-up cost of the data base for the maintenance system; 
      (iv) any specific reports specified by the Owners where new data/specialist reporting is required; 
		
	3.6.5
	 Installation and set-up of the software will be undertaken on a date agreed between the Managers and the Owners having regard to the Vessel's schedule and the availability of the Managers' personnel.

3.6.7 Solely for the duration of this Agreement and upon the request of the Owners, the Managers will provide access to software and data.
3.6.8 Software provided by the Managers under this section is under license and is protected by applicable copyright and patent laws. The Owners may not copy any of the software (except for back-up purposes only) or any written materials which accompany it, and may not sell, rent, lease, lend, sub-license, reverse engineer or distribute the software or such written materials.
3.6.9 The Managers do not warrant that the software will meet the Owners' requirements or that the use or operation of the software will be uninterrupted or error free.    

		
	3.7
	Shipboard Oil Pollution Emergency Plan

3.7.1 The Managers will prepare and obtain all necessary approvals for a shipboard oil pollution emergency plan (“SOPEP”) in a form approved by the Marine Environment Protection Committee of the International Maritime Organization pursuant to the requirements of Regulation 26 of Annex I of the International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 relating thereto, as amended (MARPOL 73/78).
3.7.2 The SOPEP will be written in the English language and will be reviewed and updated from time to time.   If required the Managers will arrange for the translation of the SOPEP into another language, the cost of translation being recoverable in terms of Clause 8.4.

Exhibit 4.49

3.7.3 The Managers will also undertake regular training of the Crew in the use of the SOPEP including drills to ensure that the SOPEP functions as expected and that contact and information details specified are accurate.

		
	3.8
	OPA

		
	3.8.1
	If instructed by the Owners, the Managers will:

(i)    arrange for the preparation, filing and updating of a contingency Vessel Response Plan in accordance with the requirements of OPA and instruct the Crew in all aspects of the operation of such plan;
(ii)     identify and ensure the availability by contract or otherwise of a Qualified Individual, a Spill Management Team, an Oil Spill Removal Organization, resources having salvage, firefighting, lightering and, if applicable, dispersant capabilities, and public relations/media personnel to assist the Owners to deal with the media in the event of discharges of oil.
		
	3.8.2
	The Managers are expressly authorized as agents for the Owners to enter into such arrangements by Contract or otherwise as are required to ensure the availability of the services outlined in Clause 3.8.1.  The Managers are further expressly authorized as agents for the Owners to enter into such other arrangements as may from time to time be necessary to satisfy the requirements of OPA or other Federal or State laws.

		
	3.8.3
	The Owners will pay the fees due to third parties providing the services described above together with a fee to the Managers for their services.  The level of fees will be included in the Vessel's running costs.

		
	3.8.4 
	On termination of this Agreement, the Vessel Response Plan and all documentation will be returned to the Managers at the expense of the Owners.

		
	3.9
	Assistance with Sale of Vessel

The Managers shall, if requested, provide Owners with technical assistance in connection with any sale of the Vessel. The Managers will, if requested in writing by the Owners, comment on the terms of any proposed Memorandum of Agreement, but the Owners will remain solely responsible for agreeing the terms of any Memorandum of Agreement regulating any sale.

3.10 Vessel trading in high risk areas
In the event that the Vessel is to trade in a high risk area and in particular an area where piracy is prevalent, the Owners and the Managers shall co-operate in order to:
(i)    Comply in full with any guidance or Best Management Practices to Deter Piracy issued by recognized maritime organizations and as may be revised from time to time and also with any similar guidance which may be issued for  high risk areas.
(ii)  Monitor daily guidance and updates provided by Maritime Security Centres established by national authorities in piracy areas and advise the Vessel accordingly.   
		
	(iii)
	Comply with the Managers’ guidelines issued for transiting high risk areas as may be revised from time to time. The Managers’ guidelines set out their policy of full compliance with BMP and additional guidance and information on Self Protection Measures (“SPM’s”) including Citadels or Safe Areas. The Owners will be provided with a copy of the guidelines and costs for SPM’s will be included in the Vessel budget.

(iv) Where appropriate, ensure the Vessel follows any International Recommended Transit Corridors and complies with requirements for   an escorted convoy if available.   
(v)  Monitor routing recommendations for transiting high risk areas as provided by charterers and insurers and review the same as part of the risk assessment carried out for the transit concerned. 
(vi)  Provide sufficient Self Protection Measures (SPM) appropriate to the vessel type, size and speed with a view to protecting the Crew as far as possible in the event of an attack.   To be determined by the risk assessment required by BMP for the transit concerned and before entering the high risk area.
(vii) Provide training for the Crew in BMP prior to transiting any high risk area.

		
	4.
	Services provided by Associated Companies

		
	4.1
	The Managers hereby disclose to the Owners that, except as instructed otherwise by the Owners in writing, they will, as agents for and on behalf of the Owners, utilize the services of companies associated with the Managers as set out in Part III (or as notified to Owners as set out in any revised Part III prepared by the Managers after the date hereof to record adjustments to the services being provided by associated companies from time to time under this Agreement).  The budgets provided pursuant to Clause 3.5.2 will be provided on the basis that the services listed in Part III are provided by associated companies listed therein. The associated companies will charge and retain for their own benefit usual remuneration for the provision of their services (whether in the form of commission or fees).   

		
	4.2
	The Owners hereby consent to the arrangements set out in Clause 4.1.

		
	5.
	Managers' Obligations

		
	5.1
	The Managers undertake to use their reasonable endeavours to provide the Management Services as agents for and on behalf of the Owners in accordance with sound ship management practice and to protect and promote the interests of the Owners in all matters relating to the provision of Management Services

PROVIDED HOWEVER that the Managers in the performance of Management Services shall be entitled to have regard to their overall responsibility in relation to all vessels which may from time to time be entrusted to their management and in particular, but without prejudice to the generality of the foregoing, the Managers shall be entitled to allocate available supplies, manpower and services in such manner as in the prevailing circumstances the Managers in their absolute discretion consider to be fair and reasonable.
		
	5.2
	The Managers shall be deemed to be “the Company” as defined by the ISM Code, assuming the responsibility for the operation of the Vessel and taking over the duties and responsibilities imposed by the ISM Code and by the ISPS Code.

		
	5.3
	The Managers shall procure and evidence (upon request of the Owners) ITIC or other equivalent forms of Errors and Omissions insurance for any liability arising out of this contract with particular reference to Clause 11.2

		
	6.
	Owners' Obligations

		
	6.1
	The Owners shall pay all sums due to the Managers punctually in accordance with the terms of this Agreement.   Time shall be of the essence in respect of the payment of all such sums.

		
	6.2
	The Owners shall procure, whether by instructing the Managers under Clause 3.4.1 or otherwise, that throughout the period of this Agreement the Vessel will be insured at the Owners' expense for not less than sound market value or entered for full gross tonnage, as the case may be, for:

(i)    usual hull and machinery risks (including but not limited to crew negligence) and excess liabilities;
(ii)    protection and indemnity risks (including but not limited to pollution risks, diversion expenses and crew risks); 
(iii)    freight, defense and demurrage; 
		
	(iv)
	war risks (including but not limited to blocking and trapping, protection and indemnity, terrorism and crew risks); and

(v)   in accordance with MLC, establish insurance to compensate Crew, and/or any officers or ratings supplied by the Owners or on their behalf, for monetary loss that they may incur as a result of the failure of a recruitment and placement service or Owners under the employment agreement, to meet its obligations to them; and

Exhibit 4.49

		
	(vi)
	such other optional insurances as may be agreed (such as piracy, kidnap and ransom, loss of hire)

in accordance with the best practice of prudent owners of vessels of a similar type to the Vessel, with sound and reputable insurance companies underwriters or associations (provided that, protection and indemnity risks must be placed with a member of the International Group of P&I Clubs) (“the Owners' Insurances”).
		
	6.4
	The Owners shall procure that all premiums and calls on the Owners’ Insurances are paid by their due date and that the Owners' Insurances name the Managers and any additional party designated by the Managers as a joint assured for protection and indemnity risks (including pollution risks) and a named assured on all other policies, with the benefit of full cover and full waiver of subrogation. The Owners shall, if applicable, provide the Managers with written evidence thereof to the reasonable satisfaction of the Managers on or prior to the Date of Commencement and/or on the date on which the Managers notify the Owners of the appointment of any additional party and within 7 days of each renewal date.  The Owners shall provide Managers with an appropriate certificate of insurance covering any and all liabilities under the MLC including but not limited to financial security in accordance with regulation 2.5.

		
	6.5
	As between the Owners and the Managers, the Managers shall not be responsible for paying any premiums or calls arising in connection with such insurances.  On termination of this Agreement (howsoever occasioned) or where the Owners make a change in the P&I Club in which the Vessel is entered, the Owners shall procure that the Managers and any additional party designated by the Managers as a joint or named assured shall cease to be a joint or named assured and that they are released from and/or secured for any and all liability for premiums and calls that may arise in relation to the period of this Agreement. For the avoidance of doubt, it is agreed that the Owners shall be liable for all deductibles applying to any insurance policy.

		
	6.6
	The Managers shall have the right to obtain confirmation direct from the brokers, underwriters and P&I Clubs through whom the Vessel’s insurances are arranged that all premiums calls and contributions due have been paid and that insurances meet the Owners' obligations under Clauses 6.3, 6.4 and 6.5. Where any premiums, calls and/or contributions are not paid, the Managers shall be entitled to pay the same from any funds held by them for the Owners and/or to terminate this Agreement forthwith by notice in writing.

		
	6.7
	If the Owners are not the registered owners or the bareboat charterer of the Vessel they shall instruct the Managers in writing whether the Managers are to act as agents under this Agreement for the Owners or the registered owners of the Vessel. If the latter the Owners shall be required to provide to the Managers an appropriate form of authorization to the reasonable satisfaction of the Managers pursuant to which the Managers are authorized to act as agents for the registered owners.

		
	6.8
	Upon request, the Owners shall provide the Managers with contact details of the relevant person at the mortgagee bank handling the Owners’ account and hereby expressly provide the Managers with authority to contact the mortgagee bank at their discretion. Upon the Date of Commencement, the Owners will authorise the mortgagee bank to co-operate with the Managers and provide information to the Managers, upon their request. 

		
	6.9
	The Owners shall arrange for the provision of any necessary guarantee bond or other security.

7.     Documentation
		
	7.1
	On or prior to the Date of Commencement the Owners will deliver to the Managers: 

(i) a copy of the Owners’ certificate of incorporation;
(ii)     full details of any resident registered agent for the registered owner of the Vessel; 
(iii)     if applicable, a copy of the bareboat charterparty pursuant to which the Owners are disponent owners of the Vessel;
(iv)    in the case of a new vessel, the Owners will deliver a copy of the Building Contract and specification, and in the case of a second hand vessel, a copy of the Memorandum of Agreement in terms of which the Owners acquired the Vessel.   The Owners shall be entitled to delete any confidential information (such as price) from the Building Contract or Memorandum of Agreement;
(v) if the Owners are not the registered owners or the bareboat charterer of the Vessel, in addition to the above, evidence satisfactory to the Managers of their beneficial interest in the Vessel and of their authorisation from the registered owners to enter into this Agreement; and 
(vi) the name and address of any mortgagee bank and the name and address of the bank through which the Owners will pay funds due under this Agreement, if different.
In any event, the Managers reserve the right to request evidence satisfactory to them that the Owners and the Guarantor are in goodstanding and that the person signing this Agreement on their behalf is duly authorized to do so. 
		
	7.2
	The Owners will on request provide the Managers with full details, in writing, of the ultimate beneficial owners of their share capital.

		
	7.3
	The Owners shall be obliged to obtain any required guarantee, bond or other security including, without limitation, the SCAC code and International Carrier Bond as required in order to access the US Bureau of Customs and Border Protection automated manifest system, as required by 68 Fed Reg 68139 and as amended, and USCG Certificate of Financial Responsibility for pollution. The Owners shall also be obliged to obtain any permits, licences or the like required to be obtained by an operator of a vessel including, without limitation, the US EPA vessel general permit.  

		
	8.
	Management Fee

		
	8.1
	The Owners shall pay to the Managers the fees and expenses in the amounts stated in the Fee Schedule in respect of the Basic Services which shall be payable by equal monthly installments in advance, the first installment being due and payable one (1) month before the Vessel is handed over to the Managers and subsequent installments being payable monthly in advance.  

		
	8.2
	(i)    If the Managers' superintendents or other associated staff spend more than 15 days visiting the Vessel in any calendar year (or pro rata for part of a calendar year), including time spent travelling, visits and travelling time in excess of 15 days shall be charged at the rate of US$850 per man per day. (ii)    In addition to the fee referred to in Clause 8.2(i), the Managers shall charge the Owners US$850 per man per day in respect of time spent by the Managers’ superintendents or other staff in providing technical assistance in connection with any casualty, breakdown, emergency or other average incident and, where a tanker management self-assessment vetting is required, the Owners agree to pay US$850 per day in compensation for the additional services provided by the Managers’ vetting manager and/or superintendents onshore or onboard the Vessel.

		
	8.3
	If the Vessel is placed on time charter, any costs incurred in complying with charterers requirements (including, but not limited to, additional reporting requirements and visits to the charterers) will be paid by the Owners.

		
	8.4
	The Managers shall, at no extra cost to the Owners, provide their own office accommodation, office staff and office stationery. The Owners shall reimburse the Managers for all expenses properly incurred under the terms of this Agreement on behalf of the Owners, including, without prejudice to the foregoing generality, postage and communication expenses, Crew Support Costs, vessel documentation, administrative expenses of the SOPEP and SSP, travelling expenses and other out of pocket expenses properly incurred by the Managers in pursuance of the Management Services. The Managers shall allocate among all vessels managed by them on a basis which the Managers consider to be fair and reasonable having regard to the trade of the vessels, the nationality of the crews and other relevant factors.

		
	8.5
	In the event of the termination of this Agreement a sum equivalent to three (3) months Fees payable to the Managers according to the provisions of Clauses 8.1 shall, save as mentioned below, be paid no later than the effective date of termination. The only occasions on which the foregoing provision will not apply is: (i) where Clause 17.5 and Clause 17.7 applies or (ii) where the Agreement is properly terminated by the Owners in terms of Clause 17.3 as a result of the Managers' default. 

		
	8.6
	Fees and expenses payable to the Managers will be reviewed annually with the Owners and shall be adjusted as a minimum by reference to the retail price index relevant to the nexus of services provided by the Managers. Where Management Services are wholly or partly provided by third parties, the fees and expenses therefore shall be adjusted immediately with the approval of the Owners (such approval not to be unreasonably withheld or delayed) to take account of increases in the cost of such services. The Managers will, however, use all reasonable endeavours in negotiations with such third parties to minimise such increases.

Exhibit 4.49

		
	8.7
	All fees are exclusive of Value Added Taxes or other applicable taxes.

		
	8.8
	Save as otherwise provided in this Agreement, all discounts and commissions obtained by the Managers in the course of the management of the Vessel shall be credited to the Owners.

		
	8.9
	If as a result of collision, accident, emergency, or any other extraordinary circumstances, the Managers' workload is increased beyond that which the parties could reasonably have anticipated, the Managers shall request (and the Owners shall approve, acting reasonably and without delay) reasonable additional remuneration having regard to the nature of the incident, the personnel and resources of the Managers deployed, and all other relevant circumstances including insurance recoveries.

8.10 If the Owners decide to lay-up the Vessel and  such lay-up lasts for more than three (3) months, an appropriate reduction of the management fee for the period exceeding the three (3) months until the Owners give written notice to remobilize the Vessel, shall be mutually agreed between the parties.

		
	9.
	Payments and Management of Funds

		
	9.1
	All sums paid to the Managers by or on behalf of the Owners and all moneys collected by the Managers under the terms of this Agreement (other than fees payable by the Owners to the Managers) shall be held to the credit of the Owners in a separate bank account or accounts which shall be operated by the Managers. The Owners agree to provide to the Managers all information and documentation required to comply with banking “know your customer” procedures.

		
	9.2
	Where any sums howsoever arising and whether in respect of fees, budgeted expenditure, non-budgeted expenditure, other liabilities (present, future, liquidated or unliquidated) or expenses are owed to the Managers in connection with the Vessel or the Fleet, the Managers shall be entitled but not obliged at any time or times to apply any sums standing to the credit of the accounts referred to in Clause 9.1 to settle such sums but shall in any event remain payable by the Owners to the Managers on demand.

		
	9.3
	On or prior to the Date of Commencement the Owners shall provide to the Managers an amount equivalent to the prorated budgeted days expenditure from the Date of Commencement to the end of the first month in management.  In addition all pre-delivery expenses are to be funded promptly by the Owners on request from the Managers.  The Owners shall provide an amount equivalent to 1/12 of the annual budget for the first full month on or prior to the 1st day of the first full month of the management period.  In subsequent months the Managers shall request amounts for the total anticipated monthly expenditure as laid out in Clause 9.6.  

		
	9.4
	The Owners agree that on termination of this agreement payment of all sums outstanding under the terms of the agreement are to be made in advance of the Vessel leaving management.  The sum will include without prejudice to the generality of the foregoing, any amounts due to be paid to suppliers and other third parties (as evidenced, in the absence of manifest error, by an accounts payable listing produced by the Managers) and any outstanding accruals for invoices not yet received. The Owners irrevocably undertake to pay forthwith on request from the Managers any other sums which become due after the effective date of termination.

		
	9.5
	The Managers shall each month request (by e-mail) from the Owners the funds required to run the Vessel for the ensuing month.   Such request will be for the total of the anticipated monthly expenditure, including, without prejudice to the generality of the foregoing, any sums due to be paid to suppliers and other third parties in the ensuing month (as conclusively evidenced, in the absence of manifest error, by an accounts payable listing produced by the Managers) and any outstanding accruals for invoices not yet received.   In addition, the Owners shall provide the Managers upon request with any funds which the Managers may request to cover any unbudgeted, unexpected, occasional or extraordinary item of expenditure.   All such funds shall be received by the Managers within five (5) days after the receipt of such requests and shall be held to the credit of the Owners in the account(s) referred to in Clause 9.1.    The Managers shall be entitled to allocate such funds in such manner as the Managers determine, and it shall not be open to the Owners to direct the Managers otherwise and under no circumstances shall any funds received be held on trust by the Managers for any specific purpose.

		
	9.6
	Notwithstanding anything contained herein, the Managers shall in no circumstances be required to use or commit their own funds to finance the provision of the Management Services and all payments due shall be made punctually to the Managers (and not any third party) in accordance with the terms of this Agreement in full without any deduction whatsoever.  

		
	9.7
	Where the Owners delay settling any sums due to the Managers the Owners shall pay interest thereon from the due date until the date of payment at 3% per cent over one (1) month LIBOR.

		
	9.8
	In addition to the funds referred to above the Owners shall pay and/or reimburse the Managers in respect of all expenses incurred prior to the Date of Commencement including, but not limited to, riding crew wages, initial crew movements, crew standby expenses, communication and liaison expenses and ITF welfare contributions.     

		
	10.
	Managers' Right to Sub-Contract

		
	10.1
	The Managers shall be entitled to procure performance of the Basic Services by their parent, subsidiary or associated companies (hereinafter collectively called the “Sub-Managers”) in accordance with the following provisions of this Clause 10.1:

  (i)    Manager shall remain fully liable for the due performance of their obligation under this Agreement but performance of all or any of the Managers' obligations by the Sub-Managers shall be and constitute full and sufficient performance by the Managers of their obligations hereunder; and
 (ii)    the Owners hereby agree with the Managers that insofar as the Sub-Managers perform the obligations of the Managers the Sub-Managers shall be entitled to the benefits of the provisions of Clause 11; 
    
		
	10.2
	The provisions of Clause 10.1 shall remain in force notwithstanding termination of this Agreement.

		
	11.
	Responsibilities

		
	11.1
	Force Majeure

11.1.1  Neither the Owners nor the Managers shall be liable for any loss or damage or total or partial failure to perform this Agreement (other than a failure to perform an obligation to pay money) caused wholly or partly by any circumstance or matter beyond the reasonable control of the relevant party, as the case may be, including (without limiting the generality of the foregoing) acts of God, acts of governmental authorities, fires, strikes, floods, epidemics, quarantine restrictions, wars, insurrections, riots, violent demonstrations, criminal offences, acts and omissions of civil or military authority or of usurped power, requisition or hire by any governmental or other competent authority, embargoes, acts of terror, and cyber attacks.
		
	11.1.2
	Where a party seeks to rely upon a force majeure event as described in Clause 11.1.1 it will advise the other party of the force majeure event at the earliest opportunity and also advise that party of the likely duration of such force majeure situation.  

		
	11.2
	Liability to Owners

(i)     Without prejudice to Clause 11.1, the Managers shall be under no liability whatsoever to the Owners for any loss, damage, delay or expense of whatsoever nature, whether direct or indirect, (including but not limited to loss of profit arising out of or in connection with detention of or delay to the Vessel) and howsoever arising in the course of performance of the Management Services
UNLESS same is proved to have resulted solely from the negligence, gross negligence or wilful default of the Managers or their employees or agents, or sub-contractors employed by them in connection with the Vessel, in which case (save where loss, damage, delay or expense has resulted from the Managers' 

Exhibit 4.49

personal act or omission committed with the intent to cause same or recklessly and with knowledge that such loss, damage, delay or expense would probably result) the Managers' liability for each incident or series of incidents giving rise to a claim or claims shall never exceed a total of ten times the annual Fees  payable hereunder for Basic Services.
(ii) Notwithstanding anything that may appear to the contrary in this Agreement, the Managers shall not be liable for any of the acts or omissions of the Crew even if such acts or omissions are negligent, grossly negligent or wilful, except only to the extent that they are shown to have resulted solely from a failure by the Managers to discharge their obligations under Clause 3.1 in which case their liability shall be limited in accordance with the terms of this Clause 11. 
    
		
	11.3
	Indemnity - General

Except to the extent and solely for the amount therein set out that the Managers would be liable under Clause 11.2, the Owners hereby undertake to keep the Managers and their employees, agents and sub-contractors indemnified and to hold them harmless against all actions, proceedings, claims, demands or liabilities whatsoever or howsoever arising out of or in connection with the performance of this Agreement, including, but not limited to, any and all liability arising under the MLC, and against and in respect of all costs, loss, damages and expenses (including legal costs and expenses on a full indemnity basis) which the Managers may suffer or incur (either directly or indirectly) in the course of the performance of this Agreement. The rights of indemnity hereunder shall accrue when any claim or liability is first notified to the Managers or the Managers become aware of the same. 

		
	11.4
	Indemnity - tax

Without prejudice to the general indemnity set out in Clause 11.3, the Owners hereby undertake to keep the Managers, their employees, agents and sub-contractors indemnified and to hold them harmless against all taxes, including customs duties, import VAT or any other indirect taxes, imposts and duties levied by any government as a result of the trading or other activities of the Owners or the Vessel or the Fleet and that whether or not such taxes, imposts and duties are levied on the Owners or the Managers when acting as agents on behalf of the Owners.

		
	11.5
	“Himalaya”

It is hereby expressly agreed that no employee or agent of the Managers (including every sub-contractor from time to time employed by the Managers and the employees of such sub-contractors) shall in any circumstances whatsoever be under any liability whatsoever to the Owners for any loss, damage or delay of whatsoever kind arising or resulting directly or indirectly from any act neglect or default on his part while acting in the course of or in connection with his employment and, without prejudice to the generality of the foregoing provisions in this Clause, every exemption, limitation, condition and liberty herein contained and every right, exemption from liability defence and immunity of whatsoever nature applicable to the Managers or to which the Managers are entitled hereunder shall also be available and shall extend to protect every such employee or agent of the Managers acting as aforesaid and for the purpose of all the foregoing provisions of this Clause 11 the Managers are or shall be deemed to be acting as agent or trustee on behalf of and for the benefit of all persons who are or might be their servants or agents from time to time (including sub-contractors as aforesaid) and all such persons shall to this extent be or be deemed to be parties to this Agreement. 
    

		
	11.6
	 Consequential Loss

Neither party shall be liable to the other for any Consequential Loss (as defined herein) whatsoever arising out of or in connection with the performance or non-performance of this Agreement, in tort, statute or otherwise at law. “Consequential Loss” means (a) consequential loss under the applicable law (whether in contract, tort (including, but not limited to, negligence and misrepresentation), breach of statutory duty, or otherwise); and (b) loss and/or deferral of production, loss of product, loss of use, loss of revenue, profit or anticipated profit (if any), in each case whether direct or indirect to the extent that these are not included in sub-paragraph (a) herein and whether or not foreseeable at the date of commencement of the Agreement.

		
	11.7
	The provisions of Clause 11 shall remain in force notwithstanding termination of this Agreement.

		
	1.
	Liens

12.1 Managers shall only have the benefit of any liens arising by operation of law or otherwise in the ordinary course of the management of the Vessel. 
		
	1.
	Claims/Disputes 

		
	13.1
	If required the Managers shall handle and settle  claims arising out of the Management Services hereunder and keep the Owners informed regarding any incident of which the Managers become aware which gives or may give rise to claims or disputes involving third parties.

		
	13.2
	The Managers shall, as instructed by the Owners, bring or defend actions, suits or proceedings in connection with matters entrusted to the Managers according to this Agreement.

		
	13.3
	The Managers shall have power to obtain legal or technical or other outside expert advice in relation to the handling and settlement of claims and disputes or all other matters affecting the interests of the Owners in respect of the Vessel.

		
	13.4
	The Owners shall pay to the Managers a fee for time spent by the Managers in carrying out their obligations under Clause 13 and such fee shall be charged at the rate of US$850 per man per day of 8 hours.  Where the Approved Broker has been appointed pursuant to Clause 3.4 for the placing of insurances no additional fee will be charged for insurance claims handling. In addition any costs incurred by the Managers in carrying out their obligations according to Clause 13 shall be reimbursed by the Owners. 

		
	13.5
	The Owners acknowledge that the Managers use MTI Network for crisis management response and agree to reimburse any fees additional to the annual retainer of MTI Network (as included in the budget) which may be incurred.

		
	14.
	Auditing, Records

		
	14.1
	The Managers shall at all times maintain and keep true and correct accounts and shall make the same available at the Managers’ offices for inspection and auditing by the Owners at such times as may be mutually agreed. The Owners agree that the Managers shall be entitled to charge for their reasonable costs and expenses should the Owners require copies of supplier invoices and related documentation.  

		
	14.2
	The Managers shall be entitled to electronically archive all of the Vessel’s records and arrange safe storage of the same, the costs being included in the Vessel's running costs.

		
	14.3
	All accounting and other records relating to the Vessel will be retained by the Managers in accordance with any applicable internal policy and subject to statutory requirements. For the period during which records are retained Owners may request a copy to be delivered to them at their own expense.

		
	14.4
	The Managers may request and the Owners shall, in a timely manner, make available all documentation, information and records reasonably required by the Managers to enable them to perform the Management Services.

		
	15.
	Inspection of Vessel

Exhibit 4.49

The Owners shall have the right at any time to inspect the Vessel for any reason they consider necessary.  The Owners will, where practicable, give reasonable notice to the Managers of their intention to visit the Vessel.

		
	16.
	Compliance with Laws and Regulations

		
	16.1
	Owners and Managers undertake, represent and warrant that on concluding this Agreement neither they, Crew, nor any of their employees or agents is a Sanctioned Person.

		
	16.2
	Owners and Managers warrant compliance with Global Trade Laws in all respects related directly or indirectly to the performance of this Agreement and undertake that they will not, through any act or omission, place the other in violation of Global Trade Laws.

		
	16.3
	The parties will not do or permit anything to be done which might cause any breach or infringement of the laws and regulation of the country of registry of the Vessel, and of the places where she trades, provided always that each parties’ obligations under this Clause will relate to matters in which they are in fact capable of fulfilling and on the understanding that each receive all necessary co-operation and information from the other and, in the case of the Managers, the funding from the Owners, provided for in this contract.

		
	16.4
	Owners and Managers accept that the United States, the European Union, and other relevant authorities may from time to time establish or change the applicable Global Trade Laws and both parties acknowledge that such an event may render continued performance by either or both under this Agreement illegal or unlawful.  In that event and if either party terminates this Agreement due to a change in U.S., EU, or other applicable sanctions (including without limitation the “snap back” of U.S or EU sanctions with respect to Iran in connection with the Joint Comprehensive Plan of Action), both parties agree that (i) such termination shall not constitute a breach of this Agreement by the party terminating and the other party waives any and all claims against the terminating party for any loss, cost or expense, including consequential damages that the other party may incur by virtue of such termination; and (ii) both parties agreed to take reasonable steps to cooperate in winding down this Agreement.

		
	16.5
	In this Clause the following words and expressions shall have the meanings hereby assigned to them:

“Embargoed Country” means any country or geographic region subject to comprehensive economic sanctions or embargoes administered by OFAC or the European Union, including without limitation Cuba, Iran, North Korea, Sudan, Syria, and the Crimea region.
“Global Trade Laws” means the U.S. Export Administration Regulations; the U.S. International Traffic in Arms Regulations; the economic sanctions rules and regulations administered by the U.S. Treasury Department’s Office of Foreign Assets Control (“OFAC”) as well as any relevant Executive Orders; the economic sanctions rules and regulations administered by the United Kingdom’s European Union (“E.U.”) Council Regulations on export controls, including Nos. 428/2009, 267/2012; other E.U. Council sanctions regulations, as implemented in E.U. Member States; United Nations sanctions policies; all relevant regulations made under any of the foregoing; and other applicable economic sanctions or export and import control laws.
“Sanctioned Person” means at any time: (a) any person or entity included on: OFAC’s Specially Designated Nationals and Blocked Persons List, the Sectoral Sanctions Identifications List, or the Foreign Sanctions Evaders List; the E.U.’s Consolidated List of Sanctions Targets; or any similar list; (b) any person resident in, or entity organized under the laws of, an Embargoed Country; or (c) any person or entity majority-owned or controlled or acting on behalf of any of the foregoing.  

		
	17.
	Duration of the Agreement

		
	17.1
	Termination by Notice

This Agreement shall come into effect on the Date of Commencement (except that the Managers are authorised, prior to such date to do all such things in respect of which it shall be entitled to be paid or reimbursed pursuant to Clause 9.9) and shall continue thereafter until terminated by either party giving to the other notice in writing, in which event this Agreement shall, terminate on the expiry of a period of  twenty four (24)  months from the date upon which such notice is received unless terminated earlier in accordance with this Clause 17.    Where the Vessel is not at a convenient port or place on the expiry of such period, this Agreement shall terminate on the subsequent arrival of the Vessel at a convenient port or place.

		
	17.2
	Termination by default - Owners

(i)     The Managers shall be entitled to terminate the Agreement with immediate effect by notice in writing if any moneys requested by the Managers from the Owners or the owners of any vessel in the Fleet, shall not have been received in the Managers' nominated account within five (5) days of payment having been requested in writing by the Managers or if the Owners fail to comply to the reasonable satisfaction of the Managers with the requirements of Clauses 6.3, 6.4 and 6.5 or if the Vessel is repossessed by a mortgagee.
(ii)     If the Owners
(a)    otherwise fail materially to meet their obligations hereunder for reasons within their control; or 
(b)    employ the Vessel in the carriage of contraband, blockade running or in an unlawful trade, or on a voyage or in a manner which, in the sole discretion of the Managers, is unduly hazardous or improper, or potentially unlawful; or
(c)   fail to comply with a request for information or cooperation, or to comply with any recommendation of the Managers which the Managers consider to be reasonable and non compliance with which may affect the Managers’ reputation or its obligations under the ISM Code or any other applicable laws or regulations
then the Managers may give written notice to the Owners specifying the default and requiring them to remedy it.   In the event that the Owners fail to remedy such default (in the case of (a) above, if remediable) within a reasonable time to the reasonable satisfaction of the Managers, the Managers shall be entitled to terminate this Agreement with immediate effect by notice in writing.
    
		
	17.3
	Termination by Default - Managers

(i) If the Managers fail materially to meet their obligations under this Agreement for reasons within the control of the Managers, the Owners may give written notice to the Managers specifying the default and requiring them to remedy it as soon as practically possible.  In the event that the Managers fail to remedy such default, if remediable, within a reasonable time to the reasonable satisfaction of the Owners, the Owners shall be entitled to terminate this Agreement with immediate effect by notice in writing.
(ii) If the Managers are convicted of, or admit guilt for, a crime, then the Owners shall be entitled to terminate this Agreement with immediate effect by notice in writing. 

		
	17.4
	Liquidation 

This Agreement shall terminate forthwith in the event of an order being made or resolution passed for the winding up, dissolution, liquidation or bankruptcy of either party (otherwise than for the purpose of reconstruction or amalgamation) or if a receiver, administrator or similar officer is appointed, or if it suspends payment, ceases to carry on business or makes any special arrangement or composition with its creditors.    The Managers shall be entitled to terminate this Agreement forthwith in the event of an order being made or resolution passed for the winding up, dissolution, liquidation or bankruptcy of the owner of any vessel in the Fleet (otherwise than for the purpose of reconstruction or amalgamation) or if a receiver or similar officer is appointed to such owner, or if such owner suspends payment, ceases to carry on business or makes any special arrangement or composition with its creditors.

Exhibit 4.49

		
	17.5
	Extraordinary Termination

    
This Agreement shall be:
		
	(i)
	terminated in the case of a sale of the Vessel (“ET1”), and the date upon which the Vessel is to be treated as having been sold or otherwise disposed of shall be the date on which the Vessel’s owners cease to be the registered owners of the Vessel;

		
	(ii)
	deemed to be terminated if the Vessel becomes a total loss or is declared as a constructive or compromised or arranged total loss or is requisitioned or has been declared missing, or the Vessel is bareboat chartered for a period of less than three (3) years, when the bareboat charter comes to an end (in either case, “ET2”);

		
	(iii)
	terminated if the Vessel is bareboat chartered for a period of three (3) years or more, unless otherwise agreed, when the bareboat charter comes to an end (“ET3”); or

		
	(iv)
	terminated if the Vessel is not delivered to the Owners within 100 days of the Effective Date (“ET4”).

		
	17.6
	For the purpose of sub-Clause 17.5 hereof:

the Vessel shall not be deemed to be lost until either she has become an actual total loss or agreement has been reached with her Underwriters in respect of her constructive, compromised or arranged total loss or if such agreement with her underwriters is not reached it is adjudged by a competent tribunal that a constructive loss of the Vessel has occurred or a Notice of Abandonment is issued to underwriters.

17.7 
    
(i)    In the event of a termination of this Agreement for an ET2 event or for any other reason except: (i) in the case of default by the Manager; or (ii) an ET1, ET3 or ET4 event, the Fees payable to the Managers according to the provisions of Clause 8.1 (Management Fee) shall continue to be payable for three (3) months.

(ii)   In the event of a termination of this Agreement for an ET1, ET3 or ET4 event (and absent a Change of
Control):

(aa) the Fees payable to the Managers according to the provisions of Clause 8.1 (Management Fee), shall continue to be payable for a further period of three (3) months as from the date of termination; and

(bb) the Owners are to provide written notice of termination to Managers at least three (3) months prior to the date of termination. Where Managers do not receive at least three (3) months prior written notice of the date of termination the Fees in (aa) shall be increased by three (3) months of Fees, reduced by the pro rata amount where prior written notice of the date of termination was given.

(iii)  On or following a Change of Control, Clauses (ii)(aa) and (bb) above shall not apply and in the event of a termination of this Agreement for an ET1, ET3 or ET4 event, the Fees payable to the Managers according to the provisions of Clause 8.1 (Management Fee), shall continue to be payable for a further period of twenty-four (24) months as from the date of termination.

(iv)  In the event of a termination of this Agreement for an ET4 event, no termination fee shall be due and payable hereunder where the Owners are required to pay an early termination fee as the same is described in the Master Agreement.

(v)   All amounts due and payable under this Clause 17.7 shall be accelerated and immediately payable in one lump sum on the date of termination.

		
	17.8
	The termination of this Agreement shall be without prejudice to all rights accrued due between the parties prior to the date of termination.   

17.9 All outstanding fees and other sums payable by the Owners require to be paid in full on or prior to termination, for whatever reason, of this Agreement.   Save where the Agreement is properly terminated by the Owners in accordance with Clause 17.3, the Managers shall be paid fees in accordance with Clause 8.5 or Clause 17.7 where terminated in accordance with Clause 17.5. The Owners shall also pay on demand Severance Costs together with repatriation costs and any other expenses which arise directly as a result of the termination.
                            
		
	18.
	Confidentiality

		
	18.1
	As between the Owners and the Managers, the Owners hereby agree and acknowledge that all title and property in and to the management manuals of the Managers and other written material of the Managers concerning management functions and activities is vested in the Managers and the Owners agree not to disclose the same to any third party and, on the termination of this Agreement, to return all such manuals and other material to the Managers.  For the purposes of this Clause reference to “the Managers” includes the parent, subsidiary and associated companies of the Managers and any third parties providing Management Services.

		
	19.
	Suspension of Services

If, at any time, the Owners have failed to pay the sums due and owing, as set out in Clause 9, or are in breach of any other terms of this Agreement, in addition to the Managers’ rights pursuant to Clause 17 to terminate, the Managers shall, without prejudice to their liberty to terminate, be entitled to withhold/suspend the performance of any and all of their obligations hereunder (including, but not limited to, removal of Crew) and shall have no responsibility whatsoever for any consequences thereof, in respect of which the Owners hereby indemnify the Managers, and fees (as set out in the Fee Schedule) shall continue to accrue and any extra expenses resulting from such withholding shall be for the Owners’ account. To the extent the rights of Managers as set out in this Clause 19 are limited in any way by any undertaking Managers may have given or be required to give to any of the banks financing the Vessel, Managers hereby reserve the right to approach any such bank at any time to discuss suspending services in the absence of continued nonperformance by the Owners. 
 

		
	20.
	Law and Arbitration

		
	20.1
	This Agreement shall be governed by English law and any dispute arising out of or in connection with this Agreement shall be referred to arbitration in London in accordance with the Arbitration Act 1996 and any amendment thereto or substitution therefor.

		
	20.2
	The arbitration shall be conducted in accordance with the London Maritime Arbitrators' (LMAA) Terms current at the time when the arbitration is commenced. 

Exhibit 4.49

		
	20.3
	Save as mentioned below, the reference shall be to three arbitrators, one to be appointed by each party and the third by the two so appointed.   A party wishing to refer a dispute to arbitration shall appoint its arbitrator and send notice of such appointment to the other party requiring the other party to appoint its arbitrator within 14 days of that notice and stating that it will appoint its arbitrator as sole arbitrator unless the other party appoints its own arbitrator and give notice that it has done so within the 14 days specified.   If the other party does not appoint its own arbitrator and give notice that it has done so within the 14 days specified, the party referring the dispute to arbitration may, without the requirement of any further prior notice to the other party, appoint its arbitrator as sole arbitrator and shall advise the other party accordingly.   The award of a sole arbitrator shall be as binding as if he had been appointed by agreement.

		
	20.4
	In cases where neither the claim nor any counterclaim exceeds the sum of US$50,000 (or such other sum as the parties may agree) the arbitration shall be conducted in accordance with the LMAA Small Claims Procedure current at the time when the arbitration proceedings are commenced.

		
	20.5
	Except to the extent provided for in Clauses 10 and 11 no third party shall have the right to enforce any term of this Agreement.

		
	21.
	Amendments to Agreement

The Managers reserve the right to make such changes to this Agreement as they shall consider necessary to take account of regulatory changes which come into force after the date hereof and which affect the operation of the Vessel.  Such changes will be notified in writing to the Owners and will come into force on notification or on the date on which such regulatory or other changes come into effect (whichever shall be the later). 

		
	22.
	Time Limit for Claims 

Any and all liabilities of either party to the other arising under this Agreement or otherwise in relation to the Vessel (except in the case of fraud) shall be deemed to be waived and absolutely barred on the relevant date unless prior to the relevant date written particulars of any claim (giving details of the alleged breach in respect of which such claim is made and a preliminary statement of the amount claimed) have been intimated in writing by the claimant  by the relevant date, and any such claim shall be deemed (if it has not previously been satisfied, settled or withdrawn) to have been withdrawn unless arbitration proceedings have been commenced under Clause 20 prior to the expiry of six (6) months after the relevant date.  For the purposes of this Clause 22, the “relevant date” is one year after the date of termination, for whatever reason, of this Agreement.

		
	23.
	Condition of Vessel

The Owners acknowledge that they are aware that the Managers are unable to confirm that the Vessel, its systems, equipment and machinery are free from defects, and agree that the Managers shall not in any circumstances be liable for any losses, costs, claims, liabilities and expenses which the Owners may suffer or incur resulting from pre-existing or latent deficiencies in the Vessel, its systems, equipment and machinery.

		
	24.
	Notices

		
	24.1
	Any notice or other communication under or in relation to this Agreement (a “Communication”) may be sent by fax, registered or recorded mail, by personal delivery or electronically.

		
	24.2
	The addresses of the parties for service of a Communication shall be as stated in Boxes 6 and 7 respectively of Part I.

		
	24.3
	A Communication shall be deemed to have been delivered and shall take effect:

(i)    in the case of a fax or email, on the day of transmission; and
(iii)    if delivered personally or sent by registered or recorded mail at the time of delivery.

25.    Staff Loyalty
The Owners shall not and shall procure that their parent, subsidiary and associate companies shall not, without the written consent of the Managers, during the course of this Agreement or for a period of six (6) months following termination directly or indirectly offer any employment to any employee of the Managers engaged in providing Management Services or directly or indirectly induce or solicit any such person to take up employment with the Owners or any associated or affiliated company or use the services of any such person either independently or via a third party. In the event that the Managers agree to any of its employees accepting an offer of employment as aforesaid, the Owners shall pay to the Managers a sum equivalent to 25% of the new annual salary of that employee, payable within seven days of the date of the written agreement of the Managers. Such payment shall be construed as liquidated damages and not as a penalty, being the parties agreed reasonable estimate of the Managers’ loss.

		
	26.
	Entire Agreement

		
	26.1
	 Any additional clauses attached hereto together with the Master Agreement, Confirmation, any subsequent, addenda, schedules, appendices or otherwise, shall be construed as an integral part of this Agreement and shall be interpreted accordingly. This Agreement constitutes the entire agreement and understanding of the parties. It supersedes any previous agreement, understanding, discussion or exchange between the parties (or their representatives) relating to the equipment or service which now forms the subject matter of this Agreement.

		
	26.2
	 By signing this Agreement both parties agree and represent to each other that neither party is entering into this Agreement as a result of, or in reliance on, any warranty, representation, statement, agreement or undertaking of any kind whatsoever (whether in writing or oral and whether made negligently or innocently) made by any person other than as expressly set out in this Agreement as a warranty and identified as such.

		
	26.3
	 For the avoidance of doubt, it is intended and agreed that any liability which might otherwise have arisen in tort for negligent misrepresentation or for negligent or innocent misrepresentation, whether at common law or under statue, is hereby excluded and any remedy that might otherwise have so arisen is forsworn.

		
	27.
	Partial Validity

If any provision of this Agreement is or becomes or is held by any arbitrator or other competent body to be illegal, invalid or unenforceable in any respect under any law or jurisdiction, the provision shall be deemed to be amended to the extent necessary to avoid such illegality, invalidity or unenforceability, or, if such amendment is not possible, the provision shall be deemed to be deleted from this Agreement to the extent of such illegality, invalidity or unenforceability and the remaining provisions shall continue in full force and effect and shall not in any way be affected or impaired thereby. 

		
	28.
	 Performance Guarantee

In consideration of the Managers entering into this Agreement with the Owners and for other good and valuable consideration, the Guarantor unconditionally and irrevocably guarantees to the Managers as primary obligor and not merely as surety the due and punctual observance and performance of all the obligations of the Owners under this Agreement. It is agreed in connection with such guarantee, that:
(i)    the Managers shall not be bound to exhaust their recourse against the Owners before calling on the Guarantor to perform any outstanding obligation of the Owners under this Agreement;
(ii)    this shall be a continuing guarantee which shall remain in force until termination of this Agreement and thereafter for so long as any claim arising from or related to the breach by the Owners of any and all of their obligations and liabilities under this Agreement remains outstanding and are not prescribed or time barred under any applicable statute or law. This guarantee shall not be affected by any variation of the terms of this Agreement, or by any other act, omission, matter or thing which, but for this provision, might operate to release or exonerate the Guarantor from its obligations as guarantor in whole or in part;

Exhibit 4.49

(iii) the Guarantor’s obligations hereunder shall be in additional to and shall not in any way be prejudiced by any other guarantees granted or covenants assumed now or in the future by the Guarantor in favour of the Managers with respect to any claim the Managers has or may have against the Owners or the Guarantor under either of the Master and/or this Agreement;
(iv) the Guarantor, acting for itself and its successors and assigns, hereby expressly and irrevocably consents to and submits to be bound by the provisions of Clause 20 hereof.
		
	29.
	Non Waiver

No failure to exercise nor any delay in exercising any right, power, privilege or remedy under this Agreement shall in any way impair or affect the exercise thereof or operate as a waiver in whole or in part. No single or partial exercise of any right, power, privilege or remedy under this Agreement shall prevent any further or other exercise thereof or the exercise of any other right, power, privilege or remedy.   
        

SHIP MANAGEMENT AGREEMENT - PART III 

SERVICES PROVIDED BY ASSOCIATED COMPANIES

1. Travel Management on a 24 hour basis 

Services include controls for verifying quotes, integrated billing system, consultancy, cost control and account management, visa assistance, corporate travel.

2. Catering 

Services include cargo ship catering, consulting for start-up, new building, and operational review, purchasing and logistics.

3. Technical analysis of vessel performance 

Services include the monitoring of vessel performance by collecting and analysing the main parameters affecting fuel consumption: main engine (ME) consumption, condition of hull and propeller, sludge production and itinerary management in terms of speed and rpm.  
The above findings are compiled in monthly reports containing trends and comparisons to optimum performance and to sister/similar vessels, if any, with the purpose of improvement in speed and consumption, cleaning of hull/propeller, operation of vessel within charterparty limits and provision of documents in support of commercial claims.
The service is tailor-made to suit the existing recording equipment available onboard and will include suggestions for improvement fully supported by ROI analysis.
The technical performance of the ME is analysed in terms of ME load balance, fuel injection pump, air cooler, Turbo Charge and Economiser conditions with the purpose of improvement in fuel and lube oil consumption and the streamlining spare parts procurement.

4.  Agency 

Services include protecting, husbandry and charterers’ Agents, port services, spares, logistics, crew and offshore support for Crew movements when and where available.

5. Underwater services 

Routine underwater inspections, propeller and hull cleaning. Underwater repair and maintenance as required. 

6. Engineering services and consultancy 

Services include naval architecture, engineering, design, emergency and oil spill response services, laser scanning, new construction supervision and project management services. 

7 Repairs and Installations 

Provision of riding gangs, turnkey repairs and installations, engine overhauling, electrical installations, annual services and NDT testing.

8. Insurance

Services include arranging insurance and managing claims in accordance with Clause 3.4 of this ship management agreement, on such terms as the Owners shall have instructed or agreed, in particular regarding conditions, insured values, deductibles, franchises and limits of liability.

9. Salvage and oil spill response 

Services include global emergency response in way of towing, marine firefighting, damage stability, salvage, spill response including statutory compliance services.

Exhibit 4.49

                          SHIP MANAGEMENT AGREEMENT - PART IV

FEE SCHEDULE

SHIP NAME:                    

	
			
	BASIC SERVICES (Clause 3 of Part II)
	Amount
	Frequency

	Fees
(i)
	 
	 

	Management Fee 
	$160,000 annual
	Pro rata monthly in advance

	SECAT Retainer Fee
	$1,500 per month
	Monthly in advance

	Crew Management Fee  
	$1,834 per month
	 Monthly in advance

	(ii)
	 
	 

	        Manning Fee
	$2,917 per month
	Monthly in advance

	(b) Expenses
	 
	 

	

Management Expenses: Fixed Cost invoice - Certain  Overheads as per Budget (Part VI)

Crewing Expenses:  Fixed Cost invoice - Crewing Expenses (Part VI)
	                                                                                                                                                                                                                                                                                   [TBD]                                            [TBD]
	

Monthly in advance

Monthly in advance

SHIP MANAGEMENT AGREEMENT - PART V

FLEET DETAILS

SHIP MANAGEMENT AGREEMENT - PART VI

INITIAL BUDGET

Crew

		
	I.
	The following “Crewing Expenses” are assessed as a fixed cost based on the agreed budget and subject to the Vessel’s crew complement and trading area remaining unchanged (Fixed Cost Invoice - General Crewing Expenses): 

Recruitment costs to include:
Medical costs 
Training costs
Visa costs
Medical insurance costs
Domestic travel
Wage related union costs
Flag required licenses
MSO communications
Bank charges (in relation to allotments)
Working gear
    
If the Vessel’s Crew complement and/or trading area are changed with the result that the abovementioned component costs increase the Owners agree that the fixed cost shall be revised as may be mutually agreed. 

The Managers shall be subject to the auditing and control requirements of the Owner but shall not be required on a regular basis to provide to the Owners any invoices or related documentation for items within the Fixed Cost Invoice. 

Exhibit 4.49

		
	II.
	Other costs are charged on an itemized basis including:

Crew Travel
Crew Wages 
ITF fee 
Victualling 
D&A testing 
Crew welfare 

Insurance
Hull & Machinery Premiums
Increased Value Premium
War Risks Premium
Freight, Defence & Demurrage
P&I Premiums
Loss of Hire Insurances

Technical
Stores
Spares
Lub Oils
Surveys & Services
Repairs

Safety & Risk

Administration / Overheads
Registration Expenses

Management Fees

“Management Expenses” as per Cl. 8.4
If fixed management expenses are agreed in the budget, the Managers shall not be required to provide to the Owners any invoices or related documentation for items within the Fixed Management Expenses Invoice. 

Other Costs

OPERATING COSTS EXCL. DRYDOCKING

Drydocking 
Dry docking Provision
Extraordinary M&R

OPERATING COSTS INCL. DRYDOCKING

Exhibit 4.49

SHIP MANAGEMENT AGREEMENT - PART VII

CHANGE OF CONTROL DEFINITION SALT

(A) the direct or indirect sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of SALTs or its subsidiaries assets, taken as a whole, to any Person other than to the Existing Ownership Group;
(B) an order made for, or the adoption by the Board of Directors of a plan of, liquidation or dissolution of SALT;
(C) the consummation of any transaction (including any merger or consolidation) the result of which is that any Person, other than the Existing Ownership Group, becomes the beneficial owner, directly or indirectly, of a majority of SALTs Voting Securities, measured by voting power rather than number of shares;
(D) if, at any time, SALT becomes insolvent, admits in writing its inability to pay its debts as they become due, is adjudged bankrupt or declares bankruptcy or makes an assignment for the benefit of creditors, or makes a proposal or similar action under the bankruptcy, insolvency or other similar laws of any applicable jurisdiction or commences or consents to proceedings relating to it under any reorganization, arrangement, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction;
(E) the consolidation of SALT with, or the merger of SALT with or into, any Person, other than the Existing Ownership Group, or the consolidation of any Person, other than the Existing Ownership Group with, or the merger of any Person other than the Existing Ownership Group with or into, SALT, in any such event pursuant to a transaction in which any of the common stock outstanding immediately prior to such transaction are converted into or exchanged for cash, securities or other property or receive a payment of cash, securities or other property, other than any such transaction where SALTs Voting Securities outstanding immediately prior to such transaction are converted into or exchanged for Voting Securities of the surviving or transferee Person constituting a majority (measured by voting power rather than number of shares) of the outstanding Voting Securities of such surviving or transferee Person immediately after giving effect to such issuance; or
(F) a change in directors after which a majority of the members of the Board of Directors are not directors who were either nominated by, appointed by or otherwise elected with the approval of current board members at the time of such election.
“Affiliates” means, with respect to any Person as at any particular date, any other Persons that directly or indirectly, through one or more intermediaries, are Controlled by, Control or are under common Control with the Person in question, and “Affiliate” means any one of them.
“Existing Ownership Group “ means SSH and all Affiliates thereof.
“Control” or “Controlled” means, with respect to any Person, the right to elect or appoint, directly or indirectly, a majority of the directors of such Person or a majority of the Persons who have the right, including any contractual right, to manage and direct the business, affairs and operations of such Person, or the possession of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of Voting Securities, by contract, or otherwise.
“Governmental Authority” means any domestic or foreign government, including any federal, provincial, state, territorial or municipal government, any multinational or supranational organization, any government agency (including the U.S. Securities and Exchange Commission), any tribunal, labor relations board, commission or stock exchange (including the New York Stock Exchange), and any other authority or organization exercising executive, legislative, judicial, regulatory or administrative functions of, or pertaining to, government.
“Person” shall have the meaning ascribed to such term in Section 13(d)(3) of the Securities Exchange Act, as amended.
“SSH” shall mean Scorpio Services Holding Limited, a Marshall Islands corporation whose registered office is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960.
“SALT” shall mean Scorpio Bulkers Inc., a company incorporated under the laws of the Marshall Islands and having its registered office at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960.
“Voting Securities” means securities of all classes of a Person entitling the holders thereof to vote on a regular basis in the election of members of the board of directors or other governing body of such Person.

Exhibit 4.49

RIDER CLAUSES 
FOR SHIPMAN 2009 STANDARD SHIP MANAGEMENT 
AGREEMENT 

30.    OPA
30.1    The Managers will:
		
	(i)
	arrange for the preparation, filing and updating of a contingency Vessel Response Plan in accordance with the requirements of OPA and instruct the Crew in all aspects of the operation of such plan; and

		
	(ii)
	identify and ensure the availability by contract or otherwise of a Qualified Individual, a Spill Management Team, an Oil Spill Removal Organization, resources having salvage, fire fighting, lightering and, if applicable, dispersant capabilities, and public relations/media personnel to assist the Owners to deal with the media in the event of discharges of oil.

		
	30.2
	The Managers are expressly authorized as agents for the Owners to enter into such arrangements by contract or otherwise as are required to ensure the availability of the services outlined in Clause 30.1.  The Managers are further expressly authorized as agents for the Owners to enter into such other arrangements as may from time to time be necessary to satisfy the requirements of OPA or other US Federal or State laws.

		
	30.3
	The Owners will pay the fees due to third parties providing the services described above.   The third party fees will be included in the Vessel's running costs.

		
	30.4
	On termination of this Agreement, the Vessel Response Plan and all documentation will be returned to the Managers at the expense of the Owners.

31.    IT Services
		
	31.1
	The Managers will, subject to the remaining provisions of this Clause 31, provide the Vessel with the Management System Software. 

31.2    The main features of the Management System Software at the date of this Agreement are:
		
	(i)
	comprehensive management software providing single point of entry to the Vessel incorporating crew management, defect and deficiency reporting and performance monitoring;

		
	(ii)
	a ship to shore and shore to ship e-mail package providing cost efficient communications available to both Managers and their charterers; and

		
	(iii)
	a computerized maintenance system including inventory control and automated purchase order handling. 

		
	31.3
	The costs for the Management System Software are included in the Vessel's operating costs, as follows:

(i)    the annual maintenance fee;
(ii)    maintenance and upgrades;
(iii)    24 hour support;
(iv)    provision of anti-virus software and regular upgrades;
(v)    operational manuals and regular updates;
(vi)    annual audit on board the Vessel providing a system health check;
(vii)    user manuals and training of the Crew in the use of the Management System Software; and
(viii)    e-mail on board the Vessel.
		
	31.4
	Such costs do not include the costs of appropriate hardware, licence fee and installation/set-up on board the Vessel which will be included in the taking over cost.

Exhibit 4.49

		
	31.5
	Installation and set-up of the Information System Software will be undertaken on a date agreed between the Managers and the Owners having regard to the Vessel's schedule and the availability of the Managers' personnel.

31.6    The Management System Software is protected by applicable copyright and patent laws.
		
	31.7
	The Managers do not warrant that the use or operation of the Information System Software will be uninterrupted or error free.

32.    Management Fee
		
	32.1 
	Without prejudice to the generality of Clause 8 (Management Fee), it is agreed that the remuneration provided for by that Clause shall be deemed to cover the Manager's administrative and general expenses and any other expenses which are not directly and exclusively applicable to the operation or conduct of the business of the Vessel and shall include:

Salaries of corporate officers, executives, department heads, administrative, clerical and office employees, port engineers, port captain, port stewards, paymaster and other employees of the shore side establishment, payroll taxes, group insurance and pension annuity payments applicable to personnel in the above named categories, office and administrative expenses, including insurance, rent, heat, light, power, office stationary, office services, depreciation and repair of office equipment, janitor services and expenses, accounting expenses, the Managers' outside auditing fees, dues and membership in trade associations, office subscriptions, contributions and donations and franchise taxes, as well as legal fees in connection with the Managers' corporate and management functions, excluding all and any legal fees or other expenses incurred by the Managers in connection with any claims arising out of any matter related with the Vessel.
		
	32.2 
	In addition to the remuneration payable to the Managers under the provision of Clause 8 and this Clause, the Owners shall reimburse the Managers for, inter alia, the amount of such necessary travelling expenses (outside Monaco), seafarers interviewing costs, costs of telephone calls, communication, vessel's postage, freight and forwarding, warehousing, agency services and fees which are not included in budget and will be treated as contingency costs. For estimation purpose only and without guarantee, contingencies could amount to a 5% of annual total budget.

33.    Dry docking
Dry docking to be carried out with prior approval of costs by the Owners. The drydocking specification shall be prepared by the Managers and approved by the Owners. 

34.    Benefit of Existing and Future Contracts
Where possible, the Owners shall (for the duration of this Agreement) have the advantage of any existing or future contracts of the Managers for the purchase or renewal of materials, facilities, services or equipment, by way of the benefit of discounts (if any).

35.    Passing of Title
		
	35.1
	To the extent already paid for by the Managers using funds specifically provided by the Owners for such a purpose, title to any goods, materials or supplies purchased by the Managers for use in the performance of this Agreement shall belong to the Owners.

		
	35.2
	Upon termination of this Agreement all such goods, materials or supplies in the hands of the Managers shall be delivered to the Vessel or if requested by the Owners the Managers shall sell or dispose of such goods, materials or supplies at such price, terms and conditions as may be approved by the Owners and remit the proceeds thereof less any expenses incurred in selling or disposing of such goods to an account of the Owners, to be advised separately in writing to the Managers.

36.    Termination on Bareboat Charter of Vessel
The Managers shall be entitled to terminate this Agreement by notice in writing in the event that the Vessel is bareboat chartered by the Owners. The date upon which the Vessel is to be treated as having been bareboat chartered, shall be the date on which the Owners deliver the Vessel to bareboat charterer, notwithstanding the fact that the Managers may learn of the bareboat charter at a later date.

37.    Slop and any other disposal ashore
Disposal of slop, sludge, bilge, garbage produced for whatever reason (including but not limited to tank inspection, repairs, drydock preparation, tank cleaning) and any other disposal ashore compulsory as per local regulation is considered out of budget and the Owners shall provide the Managers with such additional funds as may be required.

Exhibit 4.49

38.    ISPS Code
		
	38.1
	The Manager shall comply with the requirements of the International Code for the Security of Ships and of Port Facilities and the relevant amendments to Chapter XI of SOLAS (ISPS Code) relating to the Vessel and “the Company” (as defined by the ISPS Code). If trading to or from the United States or passing through United States waters, in addition to ensure that the Vessel has been issued with a COFR, the Manager shall also comply with the requirements of the US Maritime Transportation Security Act 2002 (the “MTSA”) relating to the Vessel and the “Owner” (as defined by the MTSA). 

		
	38.2
	Where sub-chartering, the Owner shall ensure that the contact details of all sub-charterers are provided to the Managers and the Master. Furthermore, the Owners shall ensure that all charter parties entered into during the period of this Agreement contain the following provision: 

“The Charterers shall provide the Owners with their full style contact details and, where sub-chartering is permitted under the terms of the charter party, shall ensure that the contact details of all sub-charterers are likewise provided to the Owners”. 
		
	38.3
	Notwithstanding anything else contained in this Agreement all costs or expenses whatsoever arising out of or related to security regulations or measures required by the port facility or any relevant authority in accordance with the ISPS Code and/or the MTSA including, but not limited to, security guards, launch services, vessel escorts, security fees, waiting costs and associated expenses, taxes and inspections, shall be out of budget. All measures required by the Manager to comply with the Ship Security Plan shall be for the Manager’s account excluding costs associated with calls at non ISPS compliant port, facilities, installations, vessels or port, facilities, installations, vessels included in any relevant authority warning list (i.e. USCG Port Security Advisory) as applicable in which case Owners shall provide Managers with such additional funds as may be required.  

39.    Additional Costs
The Owners’ representative’s meals and slop chest, charterers’ meal and slop chest, representation costs, gratuity provided with the aim to safeguard Vessel’s operation and given in the sole discretion of Master will be separately debited to the Owners at cost. Any extraordinary trading cost (including but not limited to AMPD, COFR, ENOA/D, ICB, EWR coverage, Ransom and Kidnap coverage, security guard, special arrangement for transiting pirate infested areas etc.), will be debited to Owners at cost, out of budget, under contingency accounting code.

40.    Provision of Information
The Owners undertake to provide to the Managers directly or through the charterers all information and instruction necessary for the Master to efficiently perform his duties including but not limited to: charterers name and full style, cargo information including MSDS, cargo carriage instruction relevant to that particular cargo (loading, segregating, carrying, heating, discharging, purging, ventilating, tank cleaning, inerting, stripping, COW washing instruction), port and terminal information and requirements, navigation instruction, speed to be attained, notification requirement, agency full style, fuel MSDS, bunker delivery notes, information necessary for AMS reporting, chartering contracts the Owners will enter into, voyage instructions including service speeds to attain.

41.    HSQEEn blanket approval clause
The Owner undertakes to provide full support for the implementation and approval of the Managers’ health, safety, quality, environmental and energy management policy including extra costs which could be from time to time communicated to Owners. 

42.    Cabotage, storage and STS
Cabotage, storage and frequent STS are not considered normal operations and a special evaluation of risk and extra costs will be provided on a case by case basis by the Managers.  The Owners shall make available to the Managers such additional funds as may be required in order for such additional duties to be carried out.

43.    Payments
All payments to the Managers shall be made in (i) full without any withholdings and (ii) US Dollars, to the account of the Managers from time to time advised to the Owners by the Managers. 

44.    Third Party Rights

Exhibit 4.49

		
	44.1
	Any person (other than parties to this Agreement) who is given any rights or benefits under Clauses 11.3, 11.4 or 11.5 (a "Third Party") shall be entitled to enforce those rights or benefits against the parties in accordance with the Contracts (Rights of Third Parties) Act 1999. 

		
	44.2
	Save as provided in Clause 44.1 above the operation of the Contracts (Rights of Third Parties) Act 1999 is hereby excluded.

		
	44.3
	The parties may amend vary or terminate this Agreement in such a way as may affect any rights or benefits of any Third Party which are directly enforceable against the parties under the Contracts (Rights of Third Parties) Act 1999 without the consent of any such Third Party.

		
	44.4
	Any Third Party entitled pursuant to the Contracts (Rights of Third Parties) Act 1999 to enforce any rights or benefits conferred on it by this Agreement may not veto any amendment, variation or termination of this Agreement which is proposed by the parties and which may affect the rights or benefits of any such Third Party.

45.    Bunker Quality
		
	45.1
	The Owners or its agent shall provide that bunkers supplied comply with ISO 8217:2010 RMG 380 or ISO 8217:2010 RMK 500, where available, or alternatively ISO 8217:2005(E) for heavy fuel and with ISO 8217:2010/2005 DMA for distillate and subsequent amendments to any of the foregoing, and comply with Marpol Annex VI reg 14 and 18 as amended. Where these standards are not available, the Owners or its agent shall submit to the Managers the specifications of the available fuels in order for the Managers to recommend an alternative course of action. 

		
	45.2
	At the time of delivery of the Vessel the Owners or its agent shall place at the disposal of the Managers, the bunker delivery note(s) and any samples relating to the fuels existing on board. During the currency of the contract, the Owner or its agent shall ensure that bunker delivery notes are presented to the Vessel on the delivery of fuel(s) and that during bunkering representative samples of the fuel(s) supplied shall be taken at the Vessel's bunkering manifold and sealed in the presence of competent representatives of the fuel supplier and the Vessel as foreseen by Marpol. 

		
	45.3
	Without prejudice to anything else contained in this contract, the Owners or its agent shall provide that fuel supplied is of such specifications and grades to permit the Vessel, at all times, to comply with any requirements (i.e. the maximum sulphur content) of any emission control zone when the Vessel is ordered to trade within that zone. 

		
	45.4
	The Owners or its agent also warrant that any bunker suppliers, bunker craft operators and bunker surveyors used by the Owners or its agent to supply such fuels shall comply with Regulations 14 and 18 of MARPOL Annex VI as applicable, including the Guidelines in respect of sampling and the provision of bunker delivery notes. 

		
	45.5
	Owners or its agent to provide that the quantity of the bunker kept on board is sufficient for the intended voyage plus a 20% margin. If the next voyage is less than 10 days, the minimum extra margin of bunker fuel is at least for 2 days of navigation. For vessel with a single boiler system, minimum 30 tons of distillate to be always kept on board. Commingling of bunker is not recommended.  Managers not to be held responsible for any consequence of commingling.

		
	45.6 
	In the event of a dispute with bunkers suppliers regarding the bunker's quality, the Managers will advise the Owners for their consideration/decision.

46.    War, war risk areas trading.
		
	46.1
	Managers will, upon the request of either the Owner or his agents, provide an assessment on the occasion the Vessel may be ordered to trade in any war, warlike area as defined by JWC, and any cost directly or indirectly incurred as a consequence of such an order will be out of budget and debited to the Owners as ‘contingency cost’.  

		
	46.2
	For the purpose of this Clause, the words war risk  shall include any actual, threatened or reported war; act of war; civil war; hostilities; revolution; rebellion; civil commotion; warlike operations; laying of mines; acts of piracy; acts of terrorists; acts of hostility or malicious damage; blockades (whether imposed against all vessels or imposed selectively against vessels of certain flags or ownership, or against certain cargoes or crews or otherwise howsoever); by any person, body, terrorist or political group, or the Government of any state whatsoever, which, in the reasonable judgment of the Managers, may be dangerous or are likely to be or to become dangerous to the Vessel, her cargo, crew or other persons on board the Vessel.

47.    Ice trading.
Managers will, upon the request of either the Owner or his agents, provide an assessment on the occasion the Vessel may be ordered to trade in any ice bound area as defined by IWL or by prevailing local condition, and any cost directly or indirectly incurred as a consequence of such order will be out of budget and debited to Owners as ‘contingency cost’.
48.    Sub-let.

Exhibit 4.49

Any extra cost and expenses necessary for Owner to perform any sub-letting charterer contract are excluded from budget. Take over cost are excluded from budget and vessel is supposed to be fully stocked at delivery

49.    Entire Agreement
		
	49.1
	This Agreement constitutes the entire agreement and understanding between the parties with respect to the subject matter of this Agreement; and (in relation to such subject matter) supersedes all prior discussions, understandings and agreements between the parties and all prior representations and expressions of opinion by the parties.

		
	49.2
	Each of the parties acknowledges that it is not relying on any statements, warranties, representations or understandings (whether negligently or innocently made) given or made by or on behalf of the other in relation to the subject matter hereof and that it shall have no rights or remedies with respect to such subject matter otherwise than under this Agreement. The only remedy available shall be for breach of contract under the terms of this Agreement. Nothing in this Clause shall, however, operate to limit or exclude any liability or fraud.

50.    Managers compliance with governing laws
		
	50.1 
	The Managers, in the performance of their duties and responsibilities on behalf of the Owners hereunder, undertake that they shall take no action that will violate anti-bribery laws applicable to the Owners.    

		
	50.2
	The Owners shall not be liable to the Managers for any fines or similar penalties incurred by the Managers as a result of any breach by the Managers of anti-bribery laws applicable to the Owners.  

		
	50.3
	The Managers shall immediately notify the Owners of any violation of any governing law claimed to have been committed by the Managers.

		
	50.4
	Any expenses submitted by the Managers for payment under this Agreement shall have been legally incurred in connection with the management services performed under this Agreement.  No money or other items of value, whether or not reimbursable under this Agreement, will be paid, promised, offered or authorised by the Managers to any person employed by or acting on behalf of any government or government agency for the purpose of or having the effect of: (i) bribery, kickback or other corrupt practices; (ii) influencing any act or decision of such person or agency; (iii) inducing any such person or agency to do any act in violation of their lawful duty.

		
	50.5
	The Owners shall have the right to audit the Managers’ books and records at any reasonable time to determine Managers' compliance with the Managers' commitments under this Clause 49.  Notwithstanding anything to the contrary in this Agreement regarding the parties termination rights, the Owners may unilaterally terminate this Agreement if the Managers admit violating or there has been a proven violation of any commitment by the Managers under this Clause 50.

51.       Insurance
In relation to insurances:
		
	(i)
	Ransom and kidnap insurance is required for transits through any high risk areas. 

		
	(ii)
	The parties may agree to waive the requirement for diversion cover in certain circumstances.

52.     Letter of undertaking
The Owners may require the Managers to enter into managers’ undertakings and/or assignments of insurances in the form received from the bank financing the Vessel and the Managers’ shall not unreasonably withhold or delay their consent and/or signature of the same.Exhibit

Exhibit 4.10
Execution Version

KENNEDY-WILSON, INC.,

as Issuer 

KENNEDY-WILSON HOLDINGS, INC., 
 
as Parent

THE SUBSIDIARY GUARANTOR PARTIES HERETO 

and

WILMINGTON TRUST, NATIONAL ASSOCIATION

as Trustee
                    
SUPPLEMENTAL INDENTURE NO. 9
Dated as of March 2, 2018

to

INDENTURE

Dated as of March 25, 2014
                    

5.875% SENIOR NOTES DUE 2024

SUPPLEMENTAL INDENTURE NO. 9 (the “Supplemental Indenture”), dated as of March 2, 2018, among Kennedy-Wilson, Inc., as issuer (the “Issuer”), Kennedy-Wilson Holdings, Inc., as parent (the “Parent”), the Subsidiary Guarantors party hereto and Wilmington Trust, National Association, as trustee (the “Trustee”).
WITNESSETH THAT:
WHEREAS, the Issuer and the Trustee have executed and delivered a base indenture (the “Base Indenture”), dated as of March 25, 2014 (such Base Indenture, as amended, supplemented or otherwise modified from time to time, including the First Supplemental Indenture (as defined below) and this Supplemental Indenture, the “Indenture”) to provide for the future issuance of the Issuer’s debt securities to be issued from time to time in one or more series (capitalized terms used in this Supplemental Indenture without definition have the respective meanings given to them in the Indenture);
WHEREAS, the Issuer, the Parent, the Subsidiary Guarantors party thereto and the Trustee entered into that certain Supplemental Indenture No. 1, dated as of March 25, 2014 (the “First Supplemental Indenture”), relating to the Issuer’s 5.875% Senior Notes due 2024 (the “Notes”);
WHEREAS, the Issuer has determined to issue $250,000,000 principal amount of Additional Notes pursuant to transactions that are exempt from, or not subject to, the registration requirements of the Securities Act;
WHEREAS, in connection with the issuance of such Additional Notes, the Issuer desires to provide for certain additional covenants, terms and conditions to apply to the Notes in compliance with Sections 9.01(v) and 9.01(ix) of the First Supplemental Indenture;
WHEREAS, Sections 9.01(v) and 9.01(ix) of the First Supplemental Indenture authorize the Issuer to enter into this Supplemental Indenture without the consent of any Holder;
WHEREAS, the Issuer has duly authorized the execution and delivery of this Supplemental Indenture, subject to the terms and conditions of this Supplemental Indenture;
WHEREAS, the Issuer has requested that the Trustee execute and deliver this Supplemental Indenture;
WHEREAS, all requirements necessary to make this Supplemental Indenture a valid instrument in accordance with its terms and to give effect to the terms and conditions set forth in this Supplemental Indenture and the execution and delivery of this Supplemental Indenture have been duly authorized in all respects; and
WHEREAS, pursuant to Sections 2.10 and 9.01 of the First Supplemental Indenture, the Trustee is authorized to execute and deliver this Supplemental Indenture.
NOW, THEREFORE, each party hereto agrees as follows for the benefit of the other party and for the equal and ratable benefit of the Holders of the Notes.

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I.DEFINITIONS
The following definitions supplement, and, to the extent inconsistent with, replace the definitions in the Base Indenture and the First Supplemental Indenture:
“Depositary Participant” means any member of, or participant in, the Depositary.
“Depositary Procedures” means, with respect to any transfer, exchange or transaction involving a Global Note or any beneficial interest therein, the rules and procedures of the Depositary applicable to such transfer, exchange or transaction.
“Exchange Note” means any Note issued pursuant to an Exchange Offer Registration Statement in exchange for another Note;
“Exchange Offer Registration Statement” has the meaning set forth in the Registration Rights Agreement.
“Global Note” means any Note that is a Global Security.
“Global Note Legend” means a legend substantially in the form set forth in Exhibit B.
“Institutional Accredited Investor” means any entity that is an “accredited investor” as defined in Rule 501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act and that is not a “qualified institutional buyer” as defined in Rule 144A under the Securities Act.
“Institutional Accredited Investor Global Note” means an Institutional Accredited Investor Note that is a Global Note.
“Institutional Accredited Investor Note” means (A) each Note that, on the original issue date thereof, was issued to one or more Institutional Accredited Investors, other than in reliance upon Rule 144A, and each Note issued in exchange therefor or substitution thereof; and (B) each Institutional Accredited Investor Note issued pursuant to Section 3.02(B)(i) or 3.02(B)(iv) in exchange for, or upon the transfer of, another Note, and each Note issued in exchange therefor or substitution thereof; provided, however, that a Note will cease to be an Institutional Accredited Investor Note when such Note is transferred to, or exchanged for, an Exchange Note or a Note that does not bear the U.S. Restricted Note Legend or that is a Rule 144A Note or a Regulation S Note.
“Institutional Accredited Investor Physical Note” means an Institutional Accredited Investor Note that is a Physical Note.
“Physical Note” means any Note that is not a Global Security.
“Registration Rights Agreement” means that certain Registration Rights Agreement, dated as of the date of this Supplemental Indenture, among the Issuer, the Parent, the Subsidiary Guarantors party thereto and, as representative of the initial purchasers, Merrill Lynch, Pierce, Fenner & Smith Incorporated.

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“Regulation S” means Regulation S under the Securities Act (or any successor rule thereto), as the same may be amended from time to time.
“Regulation S Global Note” means a Regulation S Note that is a Global Note.
“Regulation S Note” means (A) each Note that, on the original issue date thereof, was issued and sold in reliance on Regulation S, and each Note issued in exchange therefor or substitution thereof; and (B) each Regulation S Note issued pursuant to Section 3.02(B)(iii) in exchange for, or upon the transfer of, another Note, and each Note issued in exchange therefor or substitution thereof; provided, however, that a Note will cease to be a Regulation S Note when such Note is transferred to, or exchanged for, an Exchange Note or a Note that does not bear the U.S. Restricted Note Legend or that is a Rule 144A Note.
“Regulation S Physical Note” means a Regulation S Note that is a Physical Note.
“Rule 144” means Rule 144 under the Securities Act (or any successor rule thereto), as the same may be amended from time to time.
“Rule 144A” means Rule 144A under the Securities Act (or any successor rule thereto), as the same may be amended from time to time.
“Rule 144A Global Note” means a Rule 144A Note that is a Global Note.
“Rule 144A Note” means (A) each Note that, on the original issue date thereof, was issued and sold in reliance upon Rule 144A and not Regulation S, and each Note issued in exchange therefor or substitution thereof; and (B) each Rule 144A Note issued pursuant to Section 3.02(B)(ii) or 3.02(B)(iv) in exchange for, or upon the transfer of, another Note, and each Note issued in exchange therefor or substitution thereof; provided, however, that a Note will cease to be a Rule 144A Note when such Note is transferred to, or exchanged for, an Exchange Note or a Note that does not bear the U.S. Restricted Note Legend or that is a Regulation S Note or an Institutional Accredited Investor Note.
“Rule 144A Physical Note” means a Rule 144A Note that is a Physical Note.
“U.S. Restricted Note Legend” means a legend substantially in the form set forth in Exhibit A.
“U.S. Transfer-Restricted Note” means any Note that is not an Exchange Note and that constitutes a “restricted security” (as defined in Rule 144); provided, however, that such Note will cease to be a U.S. Transfer-Restricted Note upon the earliest to occur of the following events:
(A)    such Note is exchanged for an Exchange Note pursuant to an Exchange Offer Registration Statement;
(B)    such Note is sold or otherwise transferred to a Person (other than the Issuer or an “affiliate” (as defined in Rule 144) of the Issuer) pursuant to a registration statement that was effective under the Securities Act at the time of such sale or transfer;

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(C)    such Note is sold or otherwise transferred to a Person (other than the Issuer or an “affiliate” (as defined in Rule 144) of the Issuer) pursuant to an available exemption (including Rule 144) from the registration and prospectus-delivery requirements of, or in a transaction not subject to, the Securities Act and, immediately after such sale or transfer, such Note ceases to constitute a “restricted security” (as defined in Rule 144); and
(D)    such Note is eligible for resale, by a Person that is not an “affiliate” (as defined in Rule 144) of the Issuer and that has not been an “affiliate” (as defined in Rule 144) of the Issuer during the immediately preceding three (3) months, pursuant to Rule 144 without any limitations thereunder as to volume, manner of sale, availability of current public information or notice.
The Trustee is under no obligation to determine whether any Note is a U.S. Transfer-Restricted Note and may conclusively rely on an Officer’s Certificate with respect thereto.
II.    RULE 144A INFORMATION
The Issuer will furnish to Holders and to prospective investors of the Notes, upon the requests of such Holders or investors, any information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act so long as such Notes are not freely transferable under the Securities Act.
III.    SUPPLEMENTAL LEGENDING AND TRANSFER PROVISIONS
The provisions set forth in this Article III supplement, and, to the extent inconsistent therewith, supersede, the Indenture.
3.01        LEGENDS.
(A)        Global Note Legend.  Each Global Note will bear the Global Note Legend (or any similar legend, not inconsistent with the Indenture, required by the Depositary for such Global Note).
(B)        U.S. Restricted Note Legend.  Subject to the other provisions of this Supplemental Indenture,
(i)        each Note that is a U.S. Transfer-Restricted Note will bear the U.S. Restricted Note Legend; and
(ii)        if a Note is issued in exchange for, in substitution of, another Note (such other Note being referred to as the “old Note” for purposes of this Section 3.01(B)(ii)), including pursuant to Section 2.8 of the Base Indenture or Section 3.02, such Note will bear the U.S. Restricted Note Legend if such old Note bore the U.S. Restricted Note Legend at the time of such exchange or substitution; provided, however, that such Note need not bear the U.S. Restricted Note Legend if such Note does not constitute a U.S. Transfer-Restricted Note immediately after such exchange or substitution;

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(C)        Other Legends.  A Note may bear any other legend or text, not inconsistent with the Indenture, as may be required by applicable law or by any securities exchange or automated quotation system on which such Note is traded or quoted.
(D)        Acknowledgement and Agreement by the Holders.  A Holder’s acceptance of any Note bearing any legend required by this Section 3.01 will constitute such Holder’s acknowledgement of, and agreement to comply with, the restrictions set forth in such legend.
3.02        TRANSFERS AND EXCHANGES; CERTAIN TRANSFER RESTRICTIONS.
(A)        Requirement to Deliver Documentation and Other Evidence.  If a Holder of any Note that is identified by a “restricted” CUSIP number or that bears a U.S. Restricted Note Legend or is a U.S. Transfer-Restricted Note requests to:
(i)        cause such Note to be identified by an “unrestricted” CUSIP number;
(ii)        remove such U.S. Restricted Note Legend; or
(iii)        register the transfer of such Note to the name of another Person,
then the Issuer may refuse to effect such identification, removal or transfer, as applicable, unless there is delivered to the Issuer such certificates or other documentation or evidence as the Issuer may reasonably require to determine that such identification, removal or transfer, as applicable, complies with the Securities Act and other applicable securities laws (which may include certifications in the forms set forth in Exhibit C and Exhibit D hereto with such revisions as the Issuer or the Trustee reasonably deems appropriate); provided, however, that no such certificates, documentation or evidence need be so delivered in connection with the exchange of such Note for an Exchange Note pursuant to an Exchange Offer Registration Statement (other than such as may be required as set forth in such Exchange Offer Registration Statement).  The Issuer will provide the Trustee and Registrar in writing with any determination made by it in connection with the foregoing sentence.
(B)        Restrictions Applicable to Transfers Between Rule 144A Notes, Institutional Accredited Investor Notes and Regulation S Notes.
(i)        Transfers of Interests from a Rule 144A Note to an Institutional Accredited Investor Note.  A Rule 144A Physical Note or a beneficial interest in a Rule 144A Global Note may not be transferred to a Person who takes delivery thereof in the form of an Institutional Accredited Investor Physical Note or a beneficial interest in an Institutional Accredited Investor Global Note unless:
(a)        in the case such Person is to take such delivery in the form of a beneficial interest in an Institutional Accredited Investor Global Note, the transferor delivers to the Registrar (1) a written order from a Depositary Participant or an indirect Depositary Participant given to the Depositary in accordance with the 

- 5 -

Depositary Procedures directing the Depositary to credit or cause to be credited a beneficial interest in such Institutional Accredited Investor Global Note in an amount equal to the interest to be transferred; and (2) instructions given in accordance with the Depositary Procedures containing information regarding the Depositary Participant account to be so credited, or, in lieu of the foregoing, such other instructions or documentation as the Registrar may reasonably require in order to comply with the Depositary Procedures in connection with such transfer;
(b)        without limiting the generality of Section 3.02(A), such transferor delivers to the Registrar a certificate substantially in the form set forth in Exhibit C hereto, including the certification set forth in Item 5 thereof; and
(c)        without limiting the generality of Section 3.02(A), such transferee Person delivers to the Registrar a certificate substantially in the form set forth in Exhibit D hereto, including the certification set forth in Item 1(a)(ii) thereof.
(ii)        Transfers of Interests from an Institutional Accredited Investor Note to a Rule 144A Note.  An Institutional Accredited Investor Physical Note or a beneficial interest in an Institutional Accredited Investor Global Note may not be transferred to a Person who takes delivery thereof in the form of a Rule 144A Physical Note or a beneficial interest in a Rule 144A Global Note unless:
(a)        in the case such Person is to take such delivery in the form of a beneficial interest in a Rule 144A Global Note, the transferor delivers to the Registrar (1) a written order from a Depositary Participant or an indirect Depositary Participant given to the Depositary in accordance with the Depositary Procedures directing the Depositary to credit or cause to be credited a beneficial interest in such Rule 144A Global Note in an amount equal to the interest to be transferred; and (2) instructions given in accordance with the Depositary Procedures containing information regarding the Depositary Participant account to be so credited, or, in lieu of the foregoing, such other instructions or documentation as the Registrar may reasonably require in order to comply with the Depositary Procedures in connection with such transfer;
(b)        without limiting the generality of Section 3.02(A), such transferor delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit C hereto, including the certification set forth in Item 3 thereof; and
(c)        without limiting the generality of Section 3.02(A), such transferee Person delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit D hereto, including the certification set forth in Item 1(a)(i) thereof.
(iii)        Transfers of Interests from a Rule 144A Note or an Institutional Accredited Investor Note to a Regulation S Note.  A Rule 144A Physical Note or 

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Institutional Accredited Investor Note, or a beneficial interest in a Rule 144A Global Note or Institutional Accredited Investor Note, may not be transferred to a Person who takes delivery thereof in the form of a Regulation S Physical Note or a beneficial interest in a Regulation S Global Note unless:
(a)        in the case such Person is to take such delivery in the form of a beneficial interest in an Regulation S Global Note, the transferor delivers to the Registrar (1) a written order from a Depositary Participant or an indirect Depositary Participant given to the Depositary in accordance with the Depositary Procedures directing the Depositary to credit or cause to be credited a beneficial interest in such Regulation S Global Note in an amount equal to the interest to be transferred; and (2) instructions given in accordance with the Depositary Procedures containing information regarding the Depositary Participant account to be so credited, or, in lieu of the foregoing, such other instructions or documentation as the Registrar may reasonably require in order to comply with the Depositary Procedures in connection with such transfer;
(b)        without limiting the generality of Section 3.02(A), such transferor delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit C hereto, including the certification set forth in Item 4 thereof; and
(c)        without limiting the generality of Section 3.02(A), such transferee Person delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit D hereto, including the certification set forth in Item 1(b) thereof.
(iv)        Transfers of Interests from a Regulation S Note to a Rule 144A Note or an Institutional Accredited Investor Note.  A Regulation S Physical Note or a beneficial interest in a Regulation S Global Note may not be transferred to a Person who takes delivery thereof in the form of a Rule 144A Physical Note or Institutional Accredited Investor Note, or a beneficial interest in a Rule 144A Global Note or Institutional Accredited Investor Note, unless:
(a)        in the case such Person is to take such delivery in the form of a beneficial interest in a Rule 144A Global Note or Institutional Accredited Investor Note, as applicable, the transferor delivers to the Registrar (1) a written order from a Depositary Participant or an indirect Depositary Participant given to the Depositary in accordance with the Depositary Procedures directing the Depositary to credit or cause to be credited a beneficial interest in such Rule 144A Global Note or Institutional Accredited Investor Note, as applicable, in an amount equal to the interest to be transferred; and (2) instructions given in accordance with the Depositary Procedures containing information regarding the Depositary Participant account to be so credited, or, in lieu of the foregoing, such other instructions or documentation as the Registrar may reasonably require in order to comply with the Depositary Procedures in connection with such transfer;

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(b)        without limiting the generality of Section 3.02(A), such transferor delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit C hereto, including the certification set forth in Item 3 or Item 5 thereof, as applicable; and
(c)        without limiting the generality of Section 3.02(A), such transferee Person delivers to the Registrar, if reasonably requested by the Issuer, a certificate substantially in the form set forth in Exhibit D hereto, including the certification set forth in Item 1(a)(i) or Item 1(a)(ii) thereof, as applicable.
IV.    MISCELLANEOUS
4.01        INCORPORATION BY REFERENCE OF CERTAIN PROVISIONS OF THE FIRST SUPPLEMENTAL INDENTURE.
Sections 11.01, 11.02, 11.03, 11.04, 11.05, 11.06, 11.07, 11.08, 11.09 and 11.11 of the First Supplemental Indenture will apply to this Supplemental Indenture as if the same were reproduced herein, mutatis mutandis.
4.02        INTERPRETATION.
This Supplemental Indenture is an amendment supplemental to the Indenture, and the Indenture and all subsequent supplements thereto, including this Supplemental Indenture, will be read together.
4.03        TRUSTEE’S DISCLAIMER.
The Trustee will not be responsible in any manner whatsoever for or in respect of the validity or sufficiency of this Supplemental Indenture or for or in respect or the recitals contained in this Supplemental Indenture, all of which recitals are made solely by the Issuer, the Parent and the Subsidiary Guarantors party hereto.
[Remainder of this Page Intentionally Left Blank; Signature Pages Follow]

- 8 -

IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed as of the date first above written.
KENNEDY-WILSON, INC., as Issuer

		
	By:
	     /s/ Justin Enbody         
Name:    Justin Enbody

		
	Title:
	Chief Financial Officer

KENNEDY-WILSON HOLDINGS, INC, as Parent

		
	By:
	     /s/ Justin Enbody         
Name:    Justin Enbody

		
	Title:
	Chief Financial Officer

[Signature Page to Supplemental Indenture No. 9]

KENNEDY-WILSON PROPERTIES, LTD.
KENNEDY-WILSON PROPERTY SERVICES, INC.
KENNEDY-WILSON PROPERTY SERVICES II, INC.
KENNEDY WILSON PROPERTY SERVICES III, L.P.
KENNEDY-WILSON PROPERTY EQUITY, INC.
KENNEDY-WILSON PROPERTY EQUITY II, INC.
KENNEDY-WILSON PROPERTY SPECIAL EQUITY, INC.
KENNEDY-WILSON PROPERTY SPECIAL EQUITY II, INC.
KENNEDY WILSON PROPERTY SPECIAL EQUITY III, LLC
K-W PROPERTIES
KENNEDY WILSON PROPERTY SERVICES III GP, LLC
KW BASGF II MANAGER, LLC
KWF INVESTORS I, LLC
KWF INVESTORS III, LLC
KWF MANAGER I, LLC
KWF MANAGER II, LLC
KWF MANAGER III, LLC
KENNEDY WILSON OVERSEAS INVESTMENTS, INC.
FAIRWAYS 340 CORP.
KW–RICHMOND, LLC
SG KW VENTURE I MANAGER LLC
KW LOAN PARTNERS I LLC
KW SUMMER HOUSE MANAGER, LLC
KW MONTCLAIR, LLC
KW SERENADE MANAGER, LLC
K-W SANTIAGO INC.
KW REDMOND MANAGER, LLC
DILLINGHAM RANCH AINA LLC
68-540 FARRINGTON, LLC
KW DILLINGHAM AINA LLC
KENNEDY WILSON FUND MANAGEMENT GROUP, LLC
KENNEDY-WILSON INTERNATIONAL
KENNEDY-WILSON TECH LTD.
KWP FINANCIAL I
KENNEDY-WILSON PROPERTIES, LTD.

[Signature Page to Supplemental Indenture No. 9]

KENNEDY WILSON AUCTION GROUP INC.
KWF MANAGER IV, LLC
KW IRELAND, LLC
KENNEDY WILSON PROPERTY EQUITY IV, LLC
KENNEDY WILSON REAL ESTATE SALES & MARKETING
KWF INVESTORS IV, LLC
KWF INVESTORS V, LLC
MEYERS RESEARCH, LLC
KW ARMACOST, LLC
SANTA MARIA LAND PARTNERS MANAGER, LLC
KW INVESTMENT ADVISER, LLC
KENNEDY-WILSON CAPITAL
KW FOUR POINTS LLC
KW LOAN PARTNERS VII, LLC
KWF INVESTORS VII, LLC
KWF MANAGER VII, LLC
KW RESIDENTIAL CAPITAL, LLC
KW BOISE PLAZA, LLC
KW LOAN PARTNERS VIII, LLC
KENNEDY WILSON PROPERTY SERVICES IV, L.P.
KENNEDY WILSON PROPERTY SERVICES IV GP, LLC
KW EU LOAN PARTNERS II, LLC
KW 1200 MAIN LLC
KW HARRINGTON LLC
KW 5200 LANKERSHIM MANAGER, LLC
KWF MANAGER X, LLC
KWF MANAGER XI, LLC
KWF MANAGER XII, LLC
KW REAL ESTATE VENTURE XIII, LLC
KWF MANAGER XIII, LLC
KW EU LOAN PARTNERS III, LLC
KW EU INVESTORS I, LLC
KW RICHFIELD PLAZA, LLC
KW CURRIER SQUARE SHOPPING CENTER, LLC
KW CREEKVIEW SHOPPING CENTER, LLC
KW SECURITIES, LLC
KW VICTORY LAND LOAN, LLC
KW VICTORY PLAZA LOAN, LLC
COUNTRY RIDGE IX, LLC

[Signature Page to Supplemental Indenture No. 9]

KW EU INVESTORS VIII, LLC
KW PARK SANTA FE, LLC
KW CYPRESS, LLC
KW TACOMA CONDOS, LLC
KW DESERT RAMROD SPONSOR, LLC
KW RED CLIFF SHOPPING CENTER, LLC
KW HOLIDAY VILLAGE SHOPPING CENTER, LLC
KW 9350 CIVIC CENTER DRIVE, LLC
KW TAYLOR YARD 55, LLC
KW HILLTOP MANAGER II, LLC
KW BOZEMAN INVESTORS, LLC
KW ONE BAXTER WAY GP, LLC
KW RIVERDALE AND 36, LLC
KW 400 CALIFORNIA MEMBER, LLC
KW CIG MANAGEMENT SERVICES, LLC
KW TERRA WEST SPONSOR, LLC
KW HANOVER QUAY, LLC
KENNEDY WILSON PROPERTY EQUITY VI, LLC
KENNEDY WILSON PROPERTY SERVICES VI, LLC
KW LV 3 SPONSOR, LLC
KW NB LLC
KW CAMARILLO LAND, LLC,
as Subsidiary Guarantors

		
	By:
	     /s/ Justin Enbody         
Name:    Justin Enbody

		
	Title:
	Authorized Signatory

[Signature Page to Supplemental Indenture No. 9]

WILMINGTON TRUST, NATIONAL ASSOCIATION, as Trustee

		
	By:
	        /s/ Jane Y. Schweiger         
Name:    Jane Y. Schweiger

Title:    Vice President

[Signature Page to Supplemental Indenture No. 9]

EXHIBIT A

FORM OF U.S. RESTRICTED NOTE LEGEND

THE SECURITY (OR ITS PREDECESSOR) EVIDENCED HEREBY WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER SECTION 5 OF THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND THE SECURITY EVIDENCED HEREBY MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM.  EACH PURCHASER OF THE SECURITY EVIDENCED HEREBY IS HEREBY NOTIFIED THAT THE SELLER MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER.  THE HOLDER OF THE SECURITY EVIDENCED HEREBY AGREES FOR THE BENEFIT OF THE ISSUER THAT:

		
	(A)
	SUCH SECURITY MAY BE RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY:

		
	(I)
	(1) TO A PERSON WHO IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (2) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144 UNDER THE SECURITIES ACT, (3) OUTSIDE THE UNITED STATES TO A FOREIGN PERSON IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT, (4) TO AN INSTITUTIONAL “ACCREDITED INVESTOR” (AS DEFINED IN RULE 501(A)(1), (2),(3) OR (7) OF THE SECURITIES ACT (AN “INSTITUTIONAL ACCREDITED INVESTOR”)) THAT, PRIOR TO SUCH TRANSFER, FURNISHES THE TRUSTEE A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS (THE FORM OF WHICH CAN BE OBTAINED FROM THE TRUSTEE) AND, IF SUCH TRANSFER IS IN RESPECT OF AN AGGREGATE PRINCIPAL AMOUNT OF NOTES LESS THAN $250,000, AN OPINION OF COUNSEL ACCEPTABLE TO THE ISSUER THAT SUCH TRANSFER IS IN COMPLIANCE WITH THE SECURITIES ACT, OR (5) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED UPON AN OPINION OF COUNSEL IF THE ISSUER SO REQUESTS);

		
	(II)
	TO THE ISSUER; OR

		
	(III)
	PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT,

IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION; AND

A-1

		
	(B)
	THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER FROM IT OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET FORTH IN (A) ABOVE.  NO REPRESENTATION CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

A-2

EXHIBIT B

FORM OF GLOBAL NOTE LEGEND

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE OF A DEPOSITARY OR A SUCCESSOR DEPOSITARY.  THIS SECURITY IS NOT EXCHANGEABLE FOR SECURITIES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITARY OR ITS NOMINEE EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER OF THIS SECURITY (OTHER THAN A TRANSFER OF THIS SECURITY AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY) MAY BE REGISTERED EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF CEDE & CO. OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE.

B-1

EXHIBIT C

FORM OF TRANSFER CERTIFICATE FROM TRANSFEROR

Kennedy-Wilson, Inc.
151 S El Camino Drive
Beverly Hills, California 90212
Attention: Chief Financial Officer

Wilmington Trust, National Association
Global Capital Markets
50 South Sixth Street, Suite 1290
Minneapolis, Minnesota 55402
Attention: Kennedy-Wilson, Inc. Administrator 

		
	Re:
	5.875% Senior Notes due 2024

Ladies and Gentlemen:
Reference is made to that certain base indenture (the “Base Indenture”), dated as of March 25, 2014 (such Base Indenture, as amended, supplemented or otherwise modified from time to time, and, together with the First Supplemental Indenture (as defined below), the “Indenture”), between Kennedy-Wilson, Inc. (the “Issuer”) and Wilmington Trust, National Association, as trustee (the “Trustee”), and that certain Supplemental Indenture No. 1, dated as of March 25, 2014 (the “First Supplemental Indenture”), among the Issuer, the guarantors named therein and the Trustee, relating to the Issuer’s 5.875% Senior Notes due 2024 (the “Notes”).  Capitalized terms used but not defined in this certificate have the respective meanings given to them in the Indenture.

The undersigned (the “Transferor”) owns and proposes to transfer (the “Transfer”) the following principal amount of the Transferor’s [beneficial interests in the Global Note][Physical Note] identified in Annex A hereto:
$        

to:
 (the “Transferee”), as further specified in Annex A hereto. In connection with the Transfer, the Transferor certifies that (check one):
		
	1.
	o    Such Transfer is being made to the Issuer or a Subsidiary of the Issuer.

		
	2.
	o    Such Transfer is being made pursuant to, and in accordance with, a registration statement that is effective under the Securities Act at the time of the Transfer.

C-1

		
	3.
	o    Such Transfer is being made pursuant to, and in accordance with, Rule 144A, and, accordingly, the Transferor further certifies that such [beneficial interest][Physical Note] is being transferred to a Person that the Transferor reasonably believes is purchasing such [beneficial interest][Physical Note] for its own account, or for one or more accounts with respect to which such Person exercises sole investment discretion, and such Person and each such account is a “qualified institutional buyer” within the meaning of Rule 144A in a transaction meeting the requirements of Rule 144A.

		
	4.
	o    Such Transfer is being made pursuant to, and in accordance with, Rule 904 of Regulation S, and the Transferor makes the representations set forth in Annex B hereto.

		
	5.
	o    Such Transfer is being made pursuant to, and in accordance with, any other available exemption from the registration requirements of the Securities Act (including, if available, the exemption provided by Rule 144).

Each of the Issuer and the Trustee is entitled to rely upon this Certificate and is irrevocably authorized to produce this Certificate or a copy hereof to any interested party in any administrative or legal proceeding or official inquiry with respect to the matters covered hereby.

Dated:        

    
(Name of Transferor)

By:        
Name:
Title:

Signature Guaranteed:
    
(Participant in a Recognized Signature
Guarantee Medallion Program)

By:        
Authorized Signatory

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ANNEX A TO CERTIFICATE OF TRANSFER

		
	1.
	The Transferor owns and proposes to transfer the following (check one):

		
	a.
	o    A beneficial interest in a Rule 144A Global Note identified by:

CUSIP No.                      

		
	b.
	o    A Rule 144A Physical Note identified by:

CUSIP No.                       and Certificate No.                      

		
	c.
	o    A beneficial interest in an Institutional Accredited Investor Global Note identified by:

CUSIP No.                      

		
	d.
	o    An Institutional Accredited Investor Physical Note identified by:

CUSIP No.                       and Certificate No.                      

		
	e.
	o    A beneficial interest in a Regulation S Global Note identified by:

CUSIP No.                      

		
	f.
	o    A Regulation S Physical Note identified by:

CUSIP No.                       and Certificate No.                      

		
	2.
	After the Transfer, the Transferee will hold the following (check one):

		
	a.
	o    A beneficial interest in a Rule 144A Global Note identified by:

CUSIP No.                      

		
	b.
	o    A Rule 144A Physical Note identified by:

CUSIP No.                      

		
	c.
	o    A beneficial interest in an Institutional Accredited Investor Global Note identified by:

CUSIP No.                      

		
	d.
	o    An Institutional Accredited Investor Physical Note identified by:

CUSIP No.                      

		
	e.
	o    A beneficial interest in a Regulation S Global Note identified by:

CUSIP No.                      

		
	f.
	o    A Regulation S Physical Note identified by:

CUSIP No.                      

		
	g.
	o    A beneficial interest in an “unrestricted” Global Note identified by:

CUSIP No.                      

C-3

		
	h.
	o    An “unrestricted” Physical Note identified by:

CUSIP No.                      

C-4

ANNEX B TO CERTIFICATE OF TRANSFER

If the Transfer is being made pursuant to, and in accordance with, Rule 904 of Regulation S, then the Transferor makes the following representations:

		
	1.
	The Transferor is not (i) a “distributor” (as defined in Regulation S) with respect to the Notes; (ii) an affiliate of the Issuer or such a distributor (other than any officer or director who is an affiliate solely by virtue of holding such position); or (iii) a Person acting on behalf the Issuer or any Person specified in clause (i) or (ii) above.

		
	2.
	The Transfer is being made in an “offshore transaction” (as defined in Regulation S) by virtue of satisfying the requirements of either clause (i), (ii) or (iii) below:

		
	i.
	(A) the Transfer is not made to any Person in the United States; and (B) either (x) at the time the buy order is originated, the Transferor is outside the United States, or the Transferor and any Person acting on its behalf reasonably believe that the Transferor is outside the United States; or (y) the Transfer is executed in, on or through the facilities of a “designated offshore securities market” (as defined in Regulation S), and neither the Transferor nor any Person acting on its behalf knows that the Transfer has been pre-arranged with a buyer in the United States; or

		
	ii.
	the Transferee is a Person specified in Rule 902(k)(vi) of Regulation S; or

		
	iii.
	the Transfer is to a Person holding an account of the type specified in Rule 902(k)(2)(i) of Regulation S, solely in such Person’s capacity as a holder of such account.

		
	3.
	The Transfer does not involve any offer or sale of securities specifically targeted at identifiable groups of U.S. citizens abroad, such as members of the U.S. armed forces serving overseas.

		
	4.
	No “directed selling efforts” (as defined in Regulation S) have been or will be made in the United States by the Transferor, an affiliate of the Transferor or any Person acting on behalf of the Transferor or such an affiliate.

		
	5.
	If the Transferor is an affiliate of the Issuer or a distributor solely by virtue of being an officer or director of the Issuer or a distributor, no selling concession, fee or other remuneration will be paid in connection with the Transfer, other than the usual and customary broker’s commission that would be received by a Person executing such transaction as agent.

		
	6.
	The Transfer is not part of a plan or scheme to evade the registration requirements of the Securities Act.

		
	7.
	If the Transferor is a dealer or a Person receiving a selling concession, fee or other remuneration in respect of the Notes and the Transfer is to be effected during the “distribution compliance period” (as defined in Regulation S), then (i) neither the Transferor nor any Person acting on its behalf knows that the Transferee is a “U.S. person” (as defined in Regulation S); and (ii) if 

C-5

the Transferor or any Person acting on its behalf knows that the Transferee is a dealer or is a Person receiving a selling concession, fee or other remuneration in respect of the Notes, then the Transferor or a Person acting on its behalf will send to the Transferee a confirmation or other notice stating that the Notes may be offered and sold during the distribution compliance period only in accordance with Regulation S, pursuant to registration under the Securities Act or pursuant to an available exemption from the registration requirements of the Securities Act.

C-6

EXHIBIT D

FORM OF TRANSFER CERTIFICATE FROM TRANSFEREE

Kennedy-Wilson, Inc.
151 S El Camino Drive
Beverly Hills, California 90212
Attention: Chief Financial Officer

Wilmington Trust, National Association
Global Capital Markets
50 South Sixth Street, Suite 1290
Minneapolis, Minnesota 55402
Attention: Kennedy-Wilson, Inc. Administrator 

		
	Re:
	5.875% Senior Notes due 2024

Ladies and Gentlemen:
Reference is made to that certain base indenture (the “Base Indenture”), dated as of March 25, 2014 (such Base Indenture, as amended, supplemented or otherwise modified from time to time, and, together with the First Supplemental Indenture (as defined below), the “Indenture”), between Kennedy-Wilson, Inc. (the “Issuer”) and Wilmington Trust, National Association, as trustee (the “Trustee”), and that certain Supplemental Indenture No. 1, dated as of March 25, 2014 (the “First Supplemental Indenture”), among the Issuer, the guarantors named therein and the Trustee, relating to the Issuer’s 5.875% Senior Notes due 2024 (the “Notes”).  Capitalized terms used but not defined in this certificate have the respective meanings given to them in the Indenture.

The undersigned (the “Transferee”) certifies, in connection with its proposed acquisition (the “Acquisition”) of:
$         aggregate principal amount of Notes certifies as follows:
		
	1.
	Either (check one):

		
	a.
	o    Rule 144A/IAI Transaction.  The Transferee is acquiring the Notes for the Transferee’s own account or for an account with respect to which the Transferee exercises sole investment discretion, and the Transferee and such account are (check one):

		
	i.
	o    a “qualified institutional buyer” (as defined under Rule 144A under the Securities Act); or

		
	ii.
	o    an institutional “accredited investor” (as defined under Rule 501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act).

D-1

		
	b.
	o    Regulation S Transaction.  The Transferee acknowledges that the Acquisition is being made pursuant to Regulation S.

		
	2.
	The Transferee acknowledges that the offer and sale of such Notes have not been registered under the Securities Act or the securities laws of any other jurisdiction and that such Notes may not be offered, sold, pledged or otherwise transferred except as set forth below.

		
	3.
	The Transferee will not resell or otherwise transfer any of such Notes, except:

		
	a.
	to the Issuer or one of its Subsidiaries;

		
	b.
	under, and in accordance with, a registration statement that is effective under the Securities Act at the time of such transfer;

		
	c.
	to a Person that the Transferee reasonably believes to be a “qualified institutional buyer” in compliance with Rule 144A (if available); or

		
	d.
	pursuant to, and in accordance with, Rule 904 of Regulation S; or

		
	e.
	under any other available exemption from the registration requirements of the Securities Act (including, if available, the exemption provided by Rule 144).

		
	4.
	With respect to any transfer made pursuant to paragraph 3(e) above, the Transferee will deliver to the Issuer and the Trustee such certificates, legal opinions and other information as the Issuer or the Trustee may reasonably require and may rely upon to confirm that the transfer by the Transferee complies with the foregoing restrictions.  The Transferee will, and each subsequent holder is required to, notify anyone who purchases such Notes from it of the above resale restrictions.

Each of the Transferor, the Trustee and the Issuer is entitled to rely upon this Certificate and is irrevocably authorized to produce this Certificate or a copy hereof to any interested party in any administrative or legal proceeding or official inquiry with respect to the matters covered hereby.

Dated:        

    
(Name of Transferee)

By:        
Name:
Title:

D-2

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