Document:

Exhibit 10.34

 

Exhibit D

to Merger Agreement

 

 

TAX RECEIVABLE AGREEMENT

 

among

 

FIRST WIND HOLDINGS INC.

 

FIRST WIND HOLDINGS, LLC

 

and

 

THE SERIES B MEMBERS OF
FIRST WIND HOLDINGS, LLC

 

Dated as of           ,
2010

 

 

 

TABLE OF CONTENTS

 

	
   

  	
  PAGE

  
	
  ARTICLE 1

  
	
  DEFINITIONS

  
	
   

  	
   

  
	
  Section 1.01. Definitions

  	
  2

  
	
  Section 1.02. Other Definitional and Interpretative Provisions

  	
  10

  
	
   

  	
   

  
	
  ARTICLE 2

  
	
  DETERMINATION OF CUMULATIVE REALIZED TAX BENEFIT

  
	
   

  	
   

  
	
  Section 2.01. Exchange Basis Schedule

  	
  11

  
	
  Section 2.02. Tax Benefit Schedule

  	
  11

  
	
  Section 2.03. Procedures, Amendments.

  	
  12

  
	
   

  	
   

  
	
  ARTICLE 3

  
	
  TAX BENEFIT PAYMENTS

  
	
   

  	
   

  
	
  Section 3.01. Payments.

  	
  13

  
	
  Section 3.02. No Duplicative Payments

  	
  14

  
	
  Section 3.03. Pro Rata Payments

  	
  14

  
	
   

  	
   

  
	
  ARTICLE 4

  
	
  TERMINATION

  
	
   

  	
   

  
	
  Section 4.01. Early Termination and Breach of Agreement.

  	
  14

  
	
  Section 4.02. Early Termination Notice

  	
  16

  
	
  Section 4.03. Payment upon Early Termination.

  	
  16

  
	
   

  	
   

  
	
  ARTICLE 5

  
	
  SUBORDINATION AND LATE PAYMENTS

  
	
   

  	
   

  
	
  Section 5.01. Subordination

  	
  17

  
	
  Section 5.02. Late Payments by WIND

  	
  17

  
	
   

  	
   

  
	
  ARTICLE 6

  
	
  NO DISPUTES; CONSISTENCY; COOPERATION

  
	
   

  	
   

  
	
  Section 6.01. Series B Member Participation in WIND’s and the Company’s Tax
  Matters

  	
  17

  
	
  Section 6.02. Consistency

  	
  18

  
	
  Section 6.03. Cooperation

  	
  18

  
	
  Section 6.04. Section 754 Elections

  	
  18

  

 

i

 

	
  ARTICLE 7

  
	
  MISCELLANEOUS

  
	
   

  	
   

  
	
  Section 7.01. Notices

  	
  18

  
	
  Section 7.02. Counterparts

  	
  19

  
	
  Section 7.03. Entire Agreement; No Third Party Beneficiaries

  	
  19

  
	
  Section 7.04. Governing Law

  	
  20

  
	
  Section 7.05. Severability

  	
  20

  
	
  Section 7.06. Successors; Assignment; Amendments; Waivers

  	
  20

  
	
  Section 7.07. Titles and Subtitles

  	
  21

  
	
  Section 7.08. Resolution of Disputes

  	
  21

  
	
  Section 7.09. Reconciliation

  	
  22

  
	
  Section 7.10. Withholding

  	
  23

  
	
  Section 7.11. Admission of WIND into a Consolidated Group; Transfers of Corporate
  Assets

  	
  23

  
	
  Section 7.12. Confidentiality

  	
  24

  
	
  Section 7.13. LLC Agreement

  	
  24

  
	
  Section 7.14. Change in Tax Law

  	
  25

  
	
  Section 7.15. WAIVER OF JURY TRIAL

  	
  25

  

 

ii

 

TAX RECEIVABLE AGREEMENT

 

among

 

FIRST WIND HOLDINGS INC.

 

FIRST WIND HOLDINGS, LLC

 

and

 

THE SERIES B MEMBERS OF FIRST
WIND HOLDINGS, LLC

 

TAX RECEIVABLE AGREEMENT, dated as of        ,
2010 (this “Agreement”), among First Wind
Holdings Inc., a Delaware corporation (“WIND”), First
Wind Holdings, LLC, a Delaware limited liability company (the “Company”) and each of the undersigned parties hereto
identified as “Series B Members.”  Capitalized terms used but not simultaneously
defined are defined in or by reference to Section 1.01.

 

W I T N E S S E T H:

 

WHEREAS, the Series B Members hold Series B
membership interests (“Series B Membership
Interests”) in the Company, which is treated as a partnership for
United States federal income tax purposes;

 

WHEREAS, WIND is the managing member of, and holds
and will hold Series A membership interests (“Series A
Membership Interests”) in, the Company;

 

WHEREAS, as a result of the Series B Members
agreeing to hold Series B Membership Interests rather than transferring
all of their Series B Membership Interests in exchange for WIND’s class A
common stock, par value $0.001 per share (“Class A Shares”),
WIND is expected to incur significantly lower Tax liabilities on an ongoing
basis with respect to the operations of the Company;

 

WHEREAS, the Series B Membership Interests
(together with the Class B Shares) are exchangeable for Class A
Shares of WIND;

 

WHEREAS, the Company and each of its direct and
indirect subsidiaries that is treated as a partnership for United States
federal income tax purposes has or will have in effect an election under Section 754
of the Internal Revenue Code of 1986, as amended (the “Code”),
for each Taxable Year in which an exchange of Series B Membership
Interests (together with Class B Shares) for Class A Shares occurs,
which election is intended to result in an adjustment to the Tax basis of the
assets owned by the Company and such subsidiaries (solely to the extent
allocated to WIND) at the time (each such time, an “Exchange
Date”) of 

 

 

an exchange of Series B Membership Interests (together
with the Class B Shares) for Class A Shares or any other deemed or
actual acquisition of Series B Membership Interests by WIND for cash or
otherwise (collectively, an “Exchange”) by
reason of such Exchange and the payments under this Agreement;

 

WHEREAS, the income, gain, loss, expense and other
Tax items of (i) WIND, as a member of the Company (and in respect of each
of the Company’s direct and indirect subsidiaries treated as a partnership for
United States federal income tax purposes) may be affected by the Basis
Adjustment and (ii) WIND may be affected by the Imputed Interest; and

 

WHEREAS, the parties to this Agreement desire to
make certain arrangements with respect to the effect of the Basis Adjustment
and the Imputed Interest on the actual liability for Taxes of WIND;

 

NOW, THEREFORE, the parties hereto hereby agree as
follows:

 

ARTICLE 1

DEFINITIONS

 

Section 1.01.  Definitions.  As used in this Agreement, the
following terms have the following meanings:

 

“Advisory Firm”
means       , or any other accounting firm that
is a nationally recognized as being expert in Tax matters and that is appointed
by the Board.

 

“Affiliate”
means, with respect to any Person, any other Person that directly or
indirectly, through one or more intermediaries, Controls, is Controlled by, or
is under common Control with, such first Person.

 

“Agreed Rate”
means LIBOR.

 

“Agreement” is
defined in the preamble.

 

“Amended Schedule”
is defined in Section 2.03(b) of this Agreement.

 

“Applicable Law”
means, to the extent applicable to WIND, the Company or their activities or any
Series B Member, as applicable: (a) all United States federal and
state statutes and laws and all statutes and laws of foreign countries; (b) all
rules and regulations (including interpretations thereof) of all
regulatory agencies, organizations and bodies; and (c) all rules and
regulations (including interpretations thereof) of all self-regulatory
agencies, organizations and bodies now or hereafter in effect.

 

2

 

“Applicable Series B
Member” means in respect of that portion of any Tax Benefit Payment
that arises from an Exchange or a deemed Exchange pursuant to clause (6) of
the definition of “Valuation Assumptions,”
the Exchanging Series B Member or Series B Member deemed to Exchange,
as applicable.

 

“Basis Adjustment”
means the adjustment to the Tax basis of an Exchange Asset as a result of an
Exchange or the payments made pursuant to this Agreement, under the principles
of Section 732(b) of the Code (in situations where, as a result of
one or more Exchanges, the Company becomes an entity that is disregarded as
separate from its owner for U.S. federal income Tax purposes), Section 1012
of the Code or Sections 743(b) and 754 of the Code (including in situations
where, following an Exchange, the Company remains in existence as an entity for
U.S. federal income Tax purposes) and, in each case, comparable sections of
state and local Tax laws. 
Notwithstanding any other provision of this Agreement, the amount of any
Basis Adjustment resulting from an Exchange of one or more Series B
Membership Interests (together with the Class B Shares) shall be
determined without regard to any Pre-Exchange Transfer of such Series B
Membership Interests (together with the Class B Shares) and as if any such
Pre-Exchange Transfer had not occurred.

 

A “Beneficial Owner”
means, with respect to a security,  any
Person who directly or indirectly, through any contract, arrangement,
understanding, relationship or otherwise, has or shares: (i) voting power,
which includes the power to vote, or to direct the voting of, such security
and/or (ii) investment power, which includes the power to dispose of, or
to direct the disposition of, such security. 
The terms “Beneficially Own”
and “Beneficial Ownership” shall have
correlative meanings.

 

“Board” means
the board of directors of WIND.

 

“Business Day”
means any day except a Saturday, Sunday or other day on which commercial banks
in Boston, Massachusetts or New York City, New York are authorized by law to
close.

 

“Change in Tax Law”
is defined in Section 7.14 of this Agreement.

 

“Change of Control”
means the occurrence of any of the following events:

 

(i)                                                         any Person or any group of Persons acting together which would
constitute a “group” for purposes of Section 13(d) of the Securities
and Exchange Act of 1934, or any successor provisions thereto, becomes the
Beneficial Owner, directly or indirectly, of securities of WIND representing
more than fifty 

 

3

 

percent (50%) of the combined voting power of
WIND’s then outstanding voting securities; or

 

(ii)                                                      the following people cease for any reason to constitute a majority of
the number of directors of WIND then serving: people who, on the date of the
consummation of the IPO, constitute the Board and any new director (other than
a director whose initial assumption of office is in connection with an actual
or threatened election contest, including but not limited to a consent
solicitation, relating to an election of directors of WIND) whose appointment
or election by the Board or nomination for election by WIND’s stockholders was
approved or recommended by a vote of at least two-thirds (2/3) of the directors
then still in office who either were directors on the date of the consummation
of the IPO or whose appointment, election or nomination for election was
previously so approved or recommended by the directors referred to in this
clause (ii); or

 

(iii)                                                   there is consummated a merger or consolidation of WIND with any other
corporation or other entity, and, immediately after the consummation of such
merger or consolidation, either (x) the Board immediately prior to the
merger or consolidation does not constitute at least a majority of the board of
directors of the company surviving the merger or, if the surviving company is a
subsidiary, the ultimate parent thereof, or (y) all of the Persons who
were the respective Beneficial Owners of the voting securities of WIND
immediately prior to such merger or consolidation do not Beneficially Own,
directly or indirectly, more than 50% of the combined voting power of the then
outstanding voting securities of the Person resulting from such merger or
consolidation; or

 

(iv)                                                  the stockholders of WIND approve a plan of complete liquidation or
dissolution of WIND or there is consummated an agreement or series of related
agreements for the sale or other disposition, directly, or indirectly, by WIND
of all or substantially all of WIND’s assets, other than such sale or other
disposition by WIND of all or substantially all of WIND’s assets to an entity,
at least fifty percent (50%) of the combined voting power of the voting
securities of which are owned by stockholders of WIND in substantially the same
proportions as their voting power of WIND immediately prior to such sale.

 

4

 

Notwithstanding the foregoing, (x) the
ownership by D.E. Shaw L.P., Madison Dearborn Capital IV, L.P. (and any of
their respective Affiliates) of any securities of WIND shall not contribute to
or be deemed to cause the occurrence of a Change of Control and (y) except
with respect to clause (ii) and clause (iii)(x) above, a “Change of Control” shall not be deemed to have occurred by
virtue of the consummation of any transaction or series of integrated
transactions immediately following which the record holders of the shares of
capital stock of WIND immediately prior to such transaction or series of
transactions continue to have substantially the same proportionate voting power
in an entity which owns all or substantially all of the assets of WIND
immediately following such transaction or series of transactions.

 

“Class A Shares”
is defined in the recitals.

 

“Class B Shares”
means WIND’s class B common stock, par value $0.001 per share.

 

“Code” is
defined in the recitals.

 

“Control” means
the possession, direct or indirect, 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.

 

“Corporation Return”
means the United States federal and/or state and/or local Tax Return, as
applicable, of WIND filed with respect to Taxes for any Taxable Year.

 

“Cumulative Net Realized
Tax Benefit” for a Taxable Year means the cumulative amount (but not
less than zero) of Realized Tax Benefits for all Taxable Years of WIND, up to
and including such Taxable Year, net of the cumulative amount of Realized Tax
Detriments for the same period.  The Realized
Tax Benefit and Realized Tax Detriment for each Taxable Year shall be
determined based on the most recent Tax Benefit Schedule or Amended Schedule,
if any, in existence at the time of such determination.

 

“Default Rate”
means LIBOR plus 300 basis points.

 

“Determination”
shall have the meaning ascribed to such term in Section 1313(a) of
the Code or similar provision of state and local Tax law, as applicable, or any
other event (including the execution of an IRS Form 870-AD) that finally
and conclusively establishes the amount of any liability for Tax.

 

“Dispute” is
defined in Section 7.08(a) of this Agreement.

 

“Early Termination Date”
means the date of an Early Termination Notice for purposes of determining the
Early Termination Payment.

 

5

 

“Early Termination Notice”
is defined in Section 4.02 of this Agreement.

 

“Early Termination Schedule”
is defined in Section 4.02 of this Agreement.

 

“Early Termination Payment”
is defined in Section 4.03(b) of this Agreement.

 

“Early Termination Rate”
means the sum of (i) the long-term Treasury rate in effect on the
applicable date and (ii) the excess, if any, of (x) the interest rate
on the longest-maturity debt obligation of WIND (as reflected on its
consolidated balance sheet) then-outstanding over (y) the then-current
interest rate for U.S. Treasury bonds with a term to maturity that is
equivalent to the term of such debt obligation.

 

“Exchange” is
defined in the recitals; “Exchanged” and “Exchanging” shall have correlative meanings.

 

“Exchange Assets”
means each asset that is held by the Company, or by any of its direct or
indirect subsidiaries treated as a partnership or disregarded entity for
purposes of the applicable Tax, at the time of an Exchange.

 

“Exchange Basis Schedule”
is defined in Section 2.01 of this Agreement.

 

“Exchange Date”
is defined in the recitals.

 

“Exchange Payment”
is defined in Section 5.01 of this Agreement.

 

“Expert” is
defined in Section 7.09 of this Agreement.

 

“Hypothetical Tax Liability”
means, with respect to any Taxable Year, the liability for Taxes of WIND or any
consolidated group of which WIND is a member (or the Company, but only with
respect to income of the Company the Tax liability for which is allocable to
WIND for such Taxable Year using the same methods, elections, conventions and
similar practices used on the relevant Corporation Return) as would be shown on
its Tax Return (including any consolidated return in which WIND joins) but
(i) using the Non-Stepped Up Tax Basis as reflected on the Exchange Basis
Schedule including amendments thereto for the Taxable Year instead of the Tax
basis of the Exchange Assets reflecting the Basis Adjustments and
(ii) excluding any deduction attributable to Imputed Interest for the
Taxable Year.  Hypothetical Tax Liability
shall be determined without taking into account the carryover or carryback of
any Tax item (or portions thereof) that is attributable to the Basis Adjustment
or to the Imputed Interest.

 

6

 

“Imputed Interest”
shall mean any interest imputed under Section 1272, 1274 or 483 or other
provision of the Code and any similar provision of state and local Tax law with
respect to WIND’s payment obligations under this Agreement.

 

“IPO” means the
initial public offering of Class A Shares by WIND.

 

“IRS” means the
United States Internal Revenue Service.

 

“LIBOR” means,
with respect to any one-month period, the rate per annum equal to the British
Bankers Association LIBOR Rate from Telerate Successor Page 3750, as
published by Reuters at approximately 11:00 a.m., London time, two
Business Days prior to the commencement of such period, as the rate for dollar
deposits with a maturity comparable to such period.

 

“LLC Agreement”
means the Limited Liability Company Agreement of the Company dated as of      ,
2010, as amended.

 

“Market Value”
means the closing price of the Class A Shares on the applicable Exchange
Date on the national securities exchange on which such Class A Shares are
then traded or listed, as reported by the Wall Street Journal;
provided that if the closing price is
not reported by the Wall Street Journal
for the applicable Exchange Date, then the Market Value shall mean the closing
price of the Class A Shares on the Business Day immediately preceding such
Exchange Date on the national securities exchange on which such Class A
Shares are then traded or listed, as reported by the Wall Street
Journal; provided, further,
that if the Class A Shares are not then listed on a national securities
exchange, “Market Value” shall mean the fair
market value of the Class A Shares, as determined by the Board in good
faith.

 

“Material Objection Notice”
is defined in Section 4.02 of this Agreement.

 

“Series B Member
Representative” means        .

 

“Series B Members”
means the parties hereto, other than WIND, and each other Person who from time
to time executes a Joinder Agreement in the form attached hereto as Exhibit A.

 

“Net Tax Benefit”
is defined in Section 3.01(b).

 

“Non-Stepped Up Tax Basis”
means, with respect to any asset at any time, the Tax basis that such asset
would have had at such time if no Basis Adjustments had been made.

 

“Notice” is
defined in Section 7.01.

 

“Objection Notice”
is defined in Section 2.03(a).

 

7

 

“Person” means
any individual, corporation, firm, partnership, joint venture, limited
liability company, estate, trust, business association, organization,
governmental entity or other entity.

 

“Pre-Exchange Transfer”
means any transfer (including upon the death of a Series B Member) of one
or more Series B Membership Interests (together with the Class B
Shares) (i) that occurs prior to an Exchange of such Series B
Membership Interests (together with the Class B Shares), and (ii) to
which Section 743(b) or 734(b) of the Code applies.

 

“Realized Tax Benefit”
means, for a Taxable Year, the net excess, if any, of the Hypothetical Tax
Liability over the actual liability for Taxes of WIND (or, without duplication,
the Company, but only with respect to income of the Company the Tax liability
for which is allocable to WIND for such Taxable Year using the same methods,
elections, conventions and similar practices used on the relevant Corporation
Return).  If all or a portion of the
actual liability for such Taxes for the Taxable Year arises as a result of an
audit by a Taxing Authority of any Taxable Year, such liability shall not be
included in determining the Realized Tax Benefit unless and until there has
been a Determination.

 

“Realized Tax Detriment”
means, for a Taxable Year, the net excess, if any, of the actual liability for
Taxes of WIND (or, without duplication, the Company, but only with respect to
income of the Company the Tax liability for which is allocable to WIND for such
Taxable Year using the same methods, elections, conventions and similar
practices used on the relevant Corporation Return) over the Hypothetical Tax
Liability for such Taxable Year.  If all
or a portion of the actual liability for such Taxes for the Taxable Year arises
as a result of an audit by a Taxing Authority of any Taxable Year, such
liability shall not be included in determining the Realized Tax Detriment
unless and until there has been a Determination.

 

“Reconciliation Dispute”
is defined in Section 7.09 of this Agreement.

 

“Reconciliation Procedures”
shall mean those procedures set forth in Section 7.09 of this Agreement.

 

“Schedule” means
any of (i) an Exchange Basis Schedule, (ii) a Tax Benefit Schedule or
(iii) an Early Termination Schedule.

 

“Senior Obligations”
is defined in Section 5.01 of this Agreement.

 

“Series A Membership
Interests” is defined in the recitals.

 

“Series B Membership
Interests” is defined in the recitals

 

8

 

“Subsidiaries”
means, with respect to any Person, as of any date of determination, any other
Person as to which such Person, owns, directly or indirectly, or otherwise
controls more than 50% of the voting power or other similar interests or the
sole general partner interest or managing member or similar interest of such
Person.

 

“Subsidiary Stock”
means any stock or other equity interest in any subsidiary entity of the
Company that is treated as a corporation for United States federal income tax
purposes.

 

“Tax Benefit Payment”
is defined in Section 3.01(b) of this Agreement.

 

“Tax Benefit Schedule”
is defined in Section 2.02 of this Agreement.

 

“Tax Return”
means any return, declaration, report or similar statement filed or required to
be filed with respect to Taxes (including any attached schedules), including,
without limitation, any information return, claim for refund, amended return
and declaration of estimated Tax.

 

“Taxable Year”
means a taxable year of WIND as defined in Section 441(b) of the Code
or comparable section of state or local Tax law, as applicable (and, therefore,
may include a period of less than 12 months for which a Tax Return is prepared)
in which there is a Basis Adjustment or increased depreciation, amortization or
interest deductions attributable to an Exchange.

 

“Taxes” means
any and all United States federal, state and local taxes, assessments or
similar charges that are based on or measured with respect to net income or
profits, and any interest related to such taxes; “Tax”
has a correlative meaning.

 

“Taxing Authority”
shall mean any domestic, federal, national, state.  county or municipal or other local
government, any subdivision, agency, commission or authority thereof, or any
quasi-governmental body exercising any taxing authority or any other authority
exercising Tax regulatory authority.

 

“Treasury Regulations”
means the final, temporary and proposed regulations under the Code promulgated
from time to time (including corresponding provisions and succeeding
provisions) as in effect for the relevant taxable period.

 

“Valuation Assumptions”
shall mean, as of an Early Termination Date, or following a Change of Control,
as applicable, the assumptions that (1) in each Taxable Year ending on or
after such Early Termination Date, WIND will have sufficient taxable income to
fully utilize the deductions arising from the Basis Adjustments and the Imputed
Interest, (2) the U.S. federal income Tax rates and

 

9

 

state and local income Tax rates that will be in
effect for each such Taxable Year will be those specified for each such Taxable
Year by the Code and other applicable laws as in effect on the Early
Termination Date, (3) any loss carryovers generated by any Basis
Adjustment or Imputed Interest and available as of the date of the Early
Termination Schedule will be utilized by WIND on a pro rata basis from the date
of the Early Termination Schedule through the date that is 5 years prior to the
scheduled expiration date of such loss carryovers, (4) any non-amortizable
assets (other than Subsidiary Stock) will be disposed of on the fifteenth
anniversary of the earlier of (x) the Basis Adjustment and (y) the
Early Termination Date; provided, however,
that, in the event of a Change of Control involving a sale of assets,
non-amortizable assets shall be deemed disposed of at the time of such sale, if
earlier, (5) any Subsidiary Stock will be deemed never to be disposed of
and (6) if, at the Early Termination Date, there are Series B
Membership Interests that have not been Exchanged, then each such Series B
Membership Interest shall be deemed to be Exchanged for the Market Value of the
Class A Shares and the amount of cash that would have been received if the
Exchange occurred on the Early Termination Date.

 

“WIND” is
defined in the preamble.

 

Section 1.02.  Other Definitional and
Interpretative Provisions.  The
words “hereof,” “herein” and “hereunder” and words of like import used in this
Agreement shall refer to this Agreement as a whole and not to any particular
provision of this Agreement.  The
headings and captions herein are included for convenience of reference only and
shall be ignored in the construction or interpretation hereof.  References to Articles, Sections and Exhibits
are to Articles, Sections and Exhibits of this Agreement unless otherwise
specified.  Any capitalized term used in
any Exhibit but not otherwise defined therein has the meaning ascribed to
such term in this Agreement.  Any
singular term in this Agreement shall be deemed to include the plural, and any
plural term the singular.  Whenever the
words “include,” “includes” or “including” are used in this Agreement, they
shall be deemed to be followed by the words “without limitation,” whether or
not they are in fact followed by those words or words of like import.  “Writing,” “written” and comparable terms
refer to printing, typing and other means of reproducing words (including
electronic media) in a visible form. 
References to any agreement or contract are to that agreement or
contract as amended, modified or supplemented from time to time in accordance
with the terms thereof.  References to
any Person include the successors and permitted assigns of that Person.  References from or through any date mean,
unless otherwise specified, from and including or through and including,
respectively.  References to “law,” “laws”
or to a particular statute or law shall be deemed also to include any and all
Applicable Laws.

 

10

 

ARTICLE 2

DETERMINATION OF CUMULATIVE REALIZED TAX BENEFIT

 

Section 2.01.  Exchange Basis Schedule.  Within 60 calendar days after the filing of
the United States federal income Tax Return of WIND for each Taxable Year, WIND
shall deliver to the Series B Member Representative a schedule (the “Exchange Basis Schedule”) that shows, in reasonable detail (i) the
Non-Stepped Up Tax Basis of the Exchange Assets as of each applicable Exchange
Date, (ii) the Basis Adjustment with respect to the Exchanges effected in
such Taxable Year, calculated in the aggregate, (iii) the period or
periods, if any, over which the Exchange Assets are amortizable and/or
depreciable and (iv) the period or periods, if any, over which each Basis
Adjustment is amortizable and/or depreciable (which, for non-amortizable
assets, shall be based on the Valuation Assumptions).

 

Section 2.02.  Tax Benefit Schedule.  (a) Within 60 calendar days after the
filing of the United States federal income Tax return of WIND for any Taxable
Year in which there is a Realized Tax Benefit or Realized Tax Detriment, WIND
shall provide to the Series B Member Representative a schedule showing, in
reasonable detail, the calculation of the Realized Tax Benefit or Realized Tax
Detriment for such Taxable Year (a “Tax Benefit Schedule”).  On no more than a quarterly basis, WIND
agrees to, at the request of the Series B Member Representative, confirm
the value of the applicable Class A Shares with respect to any Exchanges
in the prior calendar quarter.  The Tax
Benefit Schedule will become final as provided in Section 2.03(a) and
may be amended as provided in Section 2.03(b) (subject to the
procedures set forth in Section 2.03(b)).

 

(b)   Applicable Principles.  Subject to Section 3.03, the Realized
Tax Benefit or Realized Tax Detriment for each Taxable Year is intended to measure
the decrease or increase in the actual liability for Taxes of WIND for such
Taxable Year attributable to the Basis Adjustments and Imputed Interest.  The actual liability for Taxes will take into
account the deduction of the portion of the Tax Benefit Payment that must be
accounted for as interest under the Code based upon the characterization of Tax
Benefit Payments as additional consideration payable by WIND for the Series B
Membership Interests and Class B Shares acquired in an Exchange.  Carryovers or carrybacks of any Tax item
attributable to the Basis Adjustment and the Imputed Interest shall be
considered to be subject to the rules of the Code and the Treasury
Regulations or the appropriate provisions of United States state and local
income and franchise tax law, as applicable, governing the use, limitation and
expiration of carryovers or carrybacks of the relevant type.  If a carryover or carryback of any Tax item
includes a portion that is attributable to the Basis Adjustment or the Imputed
Interest and another portion that is not, such portions shall be considered to
be used in accordance with the “with and without” methodology.  All Tax Benefit Payments attributable to the
Basis Adjustments (other than amounts accounted for 

 

11

 

as interest under the
Code) will (A) be treated as subsequent upward purchase price adjustments
that give rise to further Basis Adjustments to Exchange Assets for WIND and (B) have
the effect of creating additional Basis Adjustments to Exchange Assets for WIND
in the year of payment, and, as a result, such additional Basis Adjustments
will be incorporated into the current year calculation and into future year
calculations, as appropriate.

 

Section 2.03. Procedures, Amendments.

 

(a)        Procedures.  Every time WIND delivers to the Series B
Member Representative an applicable Schedule under this Agreement, including
any Amended Schedule, but excluding any Early Termination Schedule or amended
Early Termination Schedule, (i) WIND also shall (x) deliver to the Series B
Member Representative the Corporation Return, along with schedules and work
papers, as determined by WIND or requested by the Series B Member
Representative, providing reasonable detail regarding the preparation of such
Schedule and (y) allow the Series B Member Representative reasonable
access(1), to the appropriate representatives of WIND and the Advisory Firm in
connection with a review of such Schedule and (ii) the Series B
Member Representative shall promptly provide each Applicable Series B
Member with the applicable Schedule and related work papers applicable to such
Applicable Series B Member.  Each
party shall bear its own expenses associated with such review and
investigation.  The applicable Schedule
shall become final and binding on all parties unless the Applicable Series B
Member, within 30 calendar days after an Exchange Basis Schedule or amendment
thereto or a Tax Benefit Schedule or amendment thereto was provided to the Series B
Member Representative, provides WIND with notice of a material objection to
such Schedule (“Objection Notice”) made in good
faith.  If WIND and the Applicable Series B
Member are unable to successfully resolve the issues raised in such notice
within 30 calendar days of receipt by WIND of an Objection Notice with respect
to such Exchange Basis Schedule or Tax Benefit Schedule, WIND and the Series B
Member Representative shall employ the reconciliation procedures as provided
for in Section 7.09 of this Agreement (the “Reconciliation
Procedures”); provided that,
to the extent that the matter at issue affects an Applicable Series B
Member but not the Series B Member Representative, the Reconciliation
Procedures shall be applied, mutatis mutandis,
by WIND and the relevant Applicable Series B Member.

 

(b)        Amended Schedule.  The applicable Schedule for any Taxable Year
may be amended from time to time by WIND (i) in connection with a
Determination affecting such Schedule, (ii) to correct inaccuracies in the
Schedule identified as a result of the receipt of additional factual
information relating to a 

 

(1)        Consider making this cost-free to the
Series B Members

 

12

 

Taxable Year after the
date the Schedule was provided to the Series B Member Representative, (iii) to
comply with the Expert’s determination under the Reconciliation Procedures, (iv) to
reflect a change in the Realized Tax Benefit or Realized Tax Detriment for such
Taxable Year attributable to a carryback or carryforward of a loss or other Tax
item to such Taxable Year, (v) to reflect a change in the Realized Tax
Benefit or Realized Tax Detriment for such Taxable Year attributable to an
amended Tax Return filed for such Taxable Year, or (vi) to adjust the
Exchange Basis Schedule to take into account payments made pursuant to this
Agreement (any such Schedule, an “Amended Schedule”).

 

ARTICLE 3

TAX BENEFIT PAYMENTS

 

Section 3.01.  Payments.

 

(a)        Payments.  Within five (5) Business Days of a Tax
Benefit Schedule that was delivered to Series B Member Representative
becoming final in accordance with Section 2.03(a), WIND shall pay to the
Applicable Series B Members the applicable Tax Benefit Payment determined
pursuant to Section 3.01(b).  Each
such Tax Benefit Payment shall be made by wire transfer of immediately
available funds to the bank accounts of the Applicable Series B Members
previously designated by each such Series B Member to WIND; provided that no Tax Benefit Payment shall be made in
respect of estimated Tax payments, including, without limitation, United States
federal income Tax payments.

 

(b)        A “Tax Benefit Payment”
means an amount, not less than zero, equal to the Net Tax Benefit and the
Interest amount.  For the avoidance of
doubt, for Tax purposes, the Interest Amount shall not be treated as interest
but instead shall be treated as additional consideration of Series B
Membership Interests (together with Class B Shares) in Exchanges.  The “Net Tax Benefit”
for a Taxable Year shall be an amount equal to the excess, if any, of 85% of
the Cumulative Net Realized Tax Benefit as of the end of such Taxable Year over
the total amount of Tax Benefit Payments previously made under this Section 3.01;
provided, however, that no Series B
Member shall be required to return any portion of any previously received Tax
Benefit Payment under any circumstances. 
The “Interest Amount” shall equal the
interest on the Net Tax Benefit calculated at the Agreed Rate from the due date
(without extensions) for the filing of the Corporation Return with respect to
Taxes for such Taxable Year until the date of payment.  The Net Tax Benefit shall be determined
separately with respect to each separate Exchange on an individual basis by
reference to the amount realized by the applicable Exchanging Series B Member
on the Exchange of a Series B Membership Interest (and a corresponding
Class B Share) and the resulting Basis Adjustment to WIND (as determined
pursuant to Section 2.02(b)); provided that 

 

13

 

for each Taxable Year
ending on or after the date of a Change of Control, all Tax Benefit Payments,
whether paid with respect to Exchanges (i) prior to the date of such
Change of Control or (ii) on or after the date of such Change of Control,
shall be calculated by utilizing Valuation Assumptions (1), (3), (4) and
(5), substituting in each case the term “the closing date of a Change of
Control” for an “Early Termination Date”.

 

Section 3.02.  No Duplicative Payments.  It is intended that the provisions
of this Agreement will not result in duplicative payment of any amount
(including interest) required under this Agreement.  It is also intended that the provisions of
this Agreement, subject to Article 4 and Section 7.14, will result in
85% of WIND’s Cumulative Net Realized Tax Benefit being paid to the Series B
Members pursuant to this Agreement.  The
provisions of this Agreement shall be construed in the appropriate manner to
ensure such intentions are realized.

 

Section 3.03.  Pro Rata Payments.  Notwithstanding anything in Section 3.01
to the contrary, to the extent that (i) WIND’s aggregate Tax benefit with
respect to any Basis Adjustment or Imputed Interest is limited in a particular
Taxable Year because WIND does not have sufficient Taxable income or (ii) WIND
lacks sufficient funds to satisfy, or is prevented under any credit agreement
or other arrangement from satisfying, its obligations to make all Tax Benefit
Payments due in a particular Taxable Year, the limitation on the Tax Benefit,
or the Tax Benefit Payments that may be made, as the case may be, shall be
taken into account or made for the Applicable Series B Members in the same
proportion as Tax Benefit Payments would have been made absent the limitations
in clauses (i) and (ii) of this paragraph, as applicable.

 

ARTICLE 4

TERMINATION

 

Section 4.01.  Early Termination and
Breach of Agreement.

 

(a)       WIND may terminate this Agreement with
respect to all of the Series B Membership Interests held (or previously
Exchanged) by all Series B Members at any time by paying to the Series B
Members the Early Termination Payment; provided, however,
that this Agreement shall terminate only upon the receipt of the Early
Termination Payment by all Series B Members, and provided,
further, that WIND may withdraw any Early Termination Notice prior
to the time at which any Early Termination Payment has been paid.  Upon payment of the Early Termination Payment
by WIND, neither the Series B Members nor WIND shall have any further
payment obligations under this Agreement, other than for any (x) Tax
Benefit Payment agreed to by WIND acting in good faith and the Applicable Series B
Member to be due and payable but unpaid as of the Early Termination Notice and (y) Tax
Benefit Payment due for the Taxable Year ending 

 

14

 

with or including the
date of the Early Termination Notice (except to the extent that the amount
described in this clause (y) is included in the Early Termination
Payment).  If an Exchange occurs after
WIND makes the Early Termination Payments with respect to all Series B
Members, WIND shall have no obligations under this Agreement with respect to
such Exchange.

 

(b)        If WIND breaches any of its material
obligations under this Agreement, then all of WIND’s obligations hereunder
shall be accelerated and calculated as if an Early Termination Notice had been
delivered on the date of such breach and such obligations shall include, but
shall not be limited to, (1) the Early Termination Payment calculated as
if an Early Termination Notice had been delivered on the date of such
acceleration, (2) any Tax Benefit Payment agreed to by WIND acting in good
faith and any Applicable Series B Member to be due and payable but unpaid
as of the date of such acceleration, and (3) any Tax Benefit Payment due
for the Taxable Year ending with or including the date of such
acceleration.  The failure to make any
payment due pursuant to this Agreement within three months of the date such
payment is due shall be deemed to be a breach of a material obligation under
this Agreement for all purposes of this Agreement; provided
that the Series B Member Representative or the party that is entitled to
receive such payment has provided WIND with written notice that specifies the
amount due, and WIND has failed to make such payment by the later of (x) the
90th day after the date such payment is due and (y) the 30th day after
receiving such written notice; and provided further
that it will not be considered to be a breach of a material obligation under
this Agreement to make a payment due pursuant to this Agreement within three
months of the date such payment is due. 
Notwithstanding anything in this Agreement to the contrary, it shall not
be a breach of this Agreement if WIND fails to make any Tax Benefit Payment when
due to the extent that WIND has insufficient funds to make such payment as a
result of applicable limitation imposed by credit agreements or similar
arrangements in respect of indebtedness for borrowed money to which the Company
is a party (including, without limitation, limitations on the ability of the
Company and its direct and indirect subsidiaries to make distributions or
payments to WIND), or if the Board determines in good faith that making any
such distribution or Tax Benefit Payment would result in a default under any
such credit agreement or similar arrangement in respect of indebtedness for
borrowed money to which the Company is a party; provided
that the interest provisions of Section 5.02 shall apply to any such late
payment (but the Default Rate shall be replaced by the Agreed Rate).  Notwithstanding anything in this Agreement to
the contrary, it shall not be a breach of this Agreement if WIND fails to make
any Tax Benefit Payment when due if the Board determines in good faith that (i) any
such distribution or Tax Benefit Payment could be set aside as a fraudulent
transfer or conveyance or similar action under fraudulent transfer laws or (ii) any
such distribution or Tax Benefit Payment could cause WIND to be
undercapitalized.

 

15

 

(c)        WIND, the Company and each of the Series B
Members hereby acknowledge that, as of the date of this Agreement, the
aggregate value of the Tax Benefit Payments cannot reasonably be ascertained
for United States federal income Tax or other applicable Tax purposes.

 

Section 4.02.  Early Termination Notice.  If WIND exercises its right of
early termination under Section 4.01, WIND shall deliver to the Series B
Member Representative notice of such intention to exercise such right (“Early Termination Notice”) and a schedule (the “Early Termination Schedule”) specifying WIND’s intention to
exercise such right and showing in reasonable detail the calculation of the
Early Termination Payment and the Series B Member Representative shall
promptly provide such notice and schedule to each Series B Member.  The Early Termination Schedule shall become
final and binding on all parties unless an Applicable Series B Member,
within 30 calendar days after the Early Termination Schedule was provided to
the Series B Member Representative, provides WIND with notice of a
material objection to such Schedule made in good faith (“Material
Objection Notice”).  If the
parties, for any reason, are unable to successfully resolve the issues raised
in such notice within 30 calendar days after receipt by WIND of the Material
Objection Notice, WIND and the Series B Member Representative shall employ
the Reconciliation Procedures as described in Section 7.09 of this
Agreement; provided that, to the extent that the
matter at issue affects an Applicable Series B Member but not the Series B
Member Representative, the Reconciliation Procedures shall be applied, mutatis mutandis, by WIND and the relevant Applicable Series B
Member.

 

Section 4.03.  Payment upon Early
Termination.

 

(a)        Within five (5) Business Days after
the Early Termination Schedule has become final and binding, WIND shall pay to
each Applicable Series B Member an amount equal to the Early Termination
Payment.  Such payment shall be made by
wire transfer of immediately available funds to the bank account designated by
the Applicable Series B Member.

 

(b)        The “Early
Termination Payment” as of the date of the delivery of an Early
Termination Schedule shall equal with respect to the Applicable Series B
Member the present value, discounted at the Early Termination Rate as of such
date, of all Tax Benefit Payments that would be required to be paid by WIND to
the Applicable Series B Member beginning from the Early Termination Date
and assuming that the Valuation Assumptions are applied.

 

16

 

ARTICLE 5

SUBORDINATION AND LATE PAYMENTS

 

Section 5.01.  Subordination.  Notwithstanding any other
provision of this Agreement to the contrary, any Tax Benefit Payment or Early
Termination Payment required to be made by WIND to the Series B Members
under this Agreement (an “Exchange Payment”)
shall rank subordinate and junior in right of payment to any principal,
interest or other amounts due and payable in respect of all obligations in
respect of indebtedness of WIND (“Senior Obligations”)
and shall rank pari passu with all current or
future unsecured obligations of WIND that are not Senior Obligations.

 

Section 5.02.  Late Payments by WIND.  The amount of all or any portion
of any Exchange Payment not made to any Series B Member when due (without
regard to Section 5.01) under the terms of this Agreement shall be payable
together with any interest thereon, computed at the Default Rate and commencing
from the date on which such Exchange Payment was due and payable.

 

ARTICLE 6

NO DISPUTES; CONSISTENCY; COOPERATION

 

Section 6.01.  Series B Member
Participation in WIND’s and the Company’s Tax Matters.  Except as otherwise provided
herein, WIND shall have full responsibility for, and sole discretion over, all
Tax matters concerning WIND and the Company, including without limitation the
preparation, filing or amending of any Tax Return and defending, contesting or
settling any issue pertaining to Taxes. 
Notwithstanding the foregoing, WIND shall notify the Series B
Member Representative of, and keep the Series B Member Representative
reasonably informed with respect to, the portion of any audit of WIND and the
Company by a Taxing Authority the outcome of which is reasonably expected to
affect any Series B Member’s rights and obligations under this Agreement,
and shall provide to the Series B Member Representative reasonable
opportunity to provide information and other input to WIND, the Company and
their respective advisors concerning the conduct of any such portion of such
audit; Series B Members shall have the right to attend in person or by
telephone (but not participate in) any audit of WIND or the Company the outcome
of which could reasonably be expected to affect the amount of net payments that
the Series B Members are expected to receive under this Agreement; provided, however, that WIND and the Company shall not be
required to take any action that is inconsistent with any provision of the
Company Agreement.  WIND shall not settle
or fail to contest any issue pertaining to taxes that is reasonably expected to
affect the Series B Members’ rights and obligations under this agreement
without the consent of the Series B Member Representative, such consent
not to be unreasonably withheld.

 

17

 

Section 6.02.  Consistency.  Except upon the written advice of
an Advisory Firm to WIND, WIND and the Series B Members agree to report
and cause to be reported for all purposes, including U.S. federal, state and
local Tax purposes and financial reporting purposes, all Tax-related items
(including without limitation the Basis Adjustments and each Tax Benefit
Payment) in a manner consistent with that specified by WIND in any Schedule
provided by or on behalf of WIND under this Agreement.  Any Dispute concerning such advice shall be
subject to Section 7.09; provided, however,
that only the Series B Member Representative shall have the right to
object to such advice pursuant to this Section 6.02.  In the event that an Advisory Firm is
replaced by WIND, such replacement Advisory Firm shall be required to perform
its services under this Agreement using procedures and methodologies consistent
with those used by the previous Advisory Firm, unless (a) otherwise
required by law or (b) WIND and the Series B Member Representative
agree to the use of other procedures and methodologies.

 

Section 6.03.  Cooperation.  The Series B Members shall (a) furnish
to WIND in a timely manner such information, documents and other materials as
WIND may reasonably request for purposes of making any determination or
computation necessary or appropriate under this Agreement, preparing any Tax
Return or contesting or defending any audit, examination or controversy with
any Taxing Authority, (b) make themselves available to WIND and its
representatives to provide explanations of documents and materials and such
other information as WIND or its representatives may reasonably request in
connection with any of the matters described in clause (a) above, and (c) reasonably
cooperate in connection with any such matter described in clause (a) above.  WIND shall reimburse the applicable Series B
Member for any reasonable third-party costs and expenses incurred pursuant to
this Section 6.03.

 

Section 6.04.  Section 754
Elections.  If at any point
any Subsidiary of WIND that is a partnership for U.S. federal income tax
purposes does not have a valid Section 754 election in effect, WIND shall
cause such Subsidiary to make a valid Section 754 election at the time
that such Subsidiary files its next U.S. federal income Tax Return.

 

ARTICLE 7

MISCELLANEOUS

 

Section 7.01.  Notices.  All notices, requests, consents
and other communications hereunder (each, a “Notice”)
to any party shall be in writing and shall be delivered in person or sent by
facsimile (provided a copy is thereafter promptly delivered as provided in this
Section 7.01) or nationally recognized overnight courier, addressed to
such party at the address or facsimile number set forth in Exhibit B
hereto, or below with respect to WIND, or such other address 

 

18

 

or facsimile number as may hereafter be designated
in writing by such party to the other parties:

 

If to WIND, to:

 

First Wind Holdings Inc.

179 Lincoln Street, Suite 500

Boston, MA  02111

Telephone: 617-960-2888

Facsimile: 617-960-2889

Attention: General Counsel

 

with a copy (which shall not constitute notice to
WIND) to:

 

Davis Polk & Wardwell LLP

450 Lexington Avenue

New York, NY  10017

Telephone: 212-450-4969

Facsimile: 212-701-5742

Attention: Mario J. Verdolini

 

Each Notice shall be deemed received on the date
sent to the recipient thereof in accordance with this Section 7.01, if
sent prior to 5:00 p.m. in the place of receipt and such day is a Business
Day; otherwise, such Notice shall be deemed not to have been received until the
next succeeding Business Day.

 

Section 7.02.  Counterparts.  This Agreement may be executed in
one or more counterparts, all of which shall be considered one and the same
agreement and shall become effective when one or more counterparts have been
signed by each of the parties and delivered to the other parties, it being
understood that all parties need not sign the same counterpart.  Delivery of an executed signature page to
this Agreement by facsimile transmission shall be as effective as delivery of a
manually signed counterpart of this Agreement.

 

Section 7.03.  Entire Agreement; No Third
Party Beneficiaries.  This
Agreement constitutes the entire agreement and supersedes all prior agreements
and understandings, both written and oral, among the parties with respect to
the subject matter hereof.  This
Agreement shall be binding upon and inure solely to the benefit of each party
hereto and their respective successors and permitted assigns, and nothing in
this Agreement, express or implied, is intended to or shall confer upon any
other Person any right, benefit or remedy of any nature whatsoever under or by
reason of this Agreement.

 

19

 

Section 7.04.  Governing Law.  This Agreement shall be governed
by, and construed in accordance with, the law of the State of New York, without
regard to the conflicts of laws principles thereof.

 

Section 7.05.  Severability.  If any term or other provision of
this Agreement is invalid, illegal or incapable of being enforced by any law or
public policy, all other terms and provisions of this Agreement shall
nevertheless remain in full force and effect so long as the economic or legal
substance of the transactions contemplated hereby is not affected in any manner
materially adverse to any party.  Upon
such determination that any term or other provision is invalid, illegal or
incapable of being enforced, the parties hereto shall negotiate in good faith
to modify this Agreement so as to effect the original intent of the parties as
closely as possible in an acceptable manner in order that the transactions
contemplated hereby are consummated as originally contemplated to the greatest
extent possible.

 

Section 7.06.  Successors; Assignment;
Amendments; Waivers.  No Series B
Member may assign this Agreement to any person without the prior written
consent of WIND; provided, however, that (i) to
the extent Series B Membership Interests are effectively transferred in
accordance with the terms of the Company Agreement, the transferring Series B
Member may assign to the transferee of such Series B Membership Interests
the transferring Series B Member’s rights under this Agreement with
respect to such transferred Series B Membership Interests and (ii) a Series B
Member shall be entitled to assign its rights under this Agreement to (x) a
direct or indirect beneficial owner of such Series B Member in connection
with a liquidation or dissolution of such Series B Member or (y) any
other then-current Series B Member,  and, in either
case (i) or (ii), such transferee shall have executed and delivered, or,
in connection with such transfer, execute and deliver, a joinder to this
Agreement in the form attached hereto as Exhibit A (or such other joinder
in form and substance reasonably satisfactory to WIND), agreeing to become a “Series B
Member” for all purposes of this Agreement, except as otherwise provided in
such joinder.

 

No provision of this Agreement may be amended
unless such amendment is approved in writing by each of WIND and the Company
and by Series B Members who would be entitled to receive at least
two-thirds (2/3) of the Early Termination Payments payable to all Series B
Members hereunder if WIND had exercised its right of early termination on the
date of the most recent Exchange prior to such amendment (excluding, for
purposes of this sentence, all payments made to any Series B Member
pursuant to this Agreement since the date of such most recent Exchange); provided, however, that no such amendment shall be effective
if such amendment would have a disproportionate effect on the payments certain Series B
Members will or may receive under this Agreement unless all such Series B
Members disproportionately affected consent in writing to such amendment.  No provision of this Agreement may be waived
unless such 

 

20

 

waiver is in writing and signed by the party
against whom the waiver is to be effective.

 

Except as otherwise specifically provided herein,
all of the terms and provisions of this Agreement shall be binding upon, shall
inure to the benefit of and shall be enforceable by the parties hereto and
their respective successors, assigns, heirs, executors, administrators and
legal representatives.  WIND shall
require and cause any direct or indirect successor (whether by purchase,
merger, consolidation or otherwise) to all or substantially all of the business
or assets of WIND, by written agreement, expressly to assume and agree to
perform this Agreement in the same manner and to the same extent that WIND
would be required to perform if no such succession had taken place.

 

Section 7.07.  Titles and Subtitles.  The titles of the sections and
subsections of this Agreement are for convenience of reference only and are not
to be considered in construing this Agreement.

 

Section 7.08.  Resolution of Disputes.  (a) Any and all disputes which are not
governed by Section 7.09, including but not limited to any ancillary
claims of any party, arising out of, relating to or in connection with the
validity, negotiation, execution, interpretation, performance or
non-performance of this Agreement (including the validity, scope and
enforceability of this arbitration provision) (each a “Dispute”)
shall be finally settled by arbitration conducted by a single arbitrator in New
York in accordance with the then-existing Rules of Arbitration of the
International Chamber of Commerce.  If
the parties to the Dispute fail to agree on the selection of an arbitrator
within thirty (30) days of the receipt of the request for arbitration, the
International Chamber of Commerce shall make the appointment.  The arbitrator shall be a lawyer admitted to
the practice of law in the State of New York and shall conduct the proceedings
in the English language.  Performance
under this Agreement shall continue if reasonably possible during any
arbitration proceedings.  In addition to
monetary damages, the arbitrator shall be empowered to award equitable relief,
including, but not limited to an injunction and specific performance of any obligation
under this Agreement.  The arbitrator is
not empowered to award damages in excess of compensatory damages, and each
party hereby irrevocably waives any right to recover punitive, consequential,
exemplary or similar damages with respect to any Dispute.  The award shall be final and binding upon the
parties as from the date rendered, and shall be the sole and exclusive remedy
between the parties regarding any claims, counterclaims, issues, or accounting
presented to the arbitral tribunal. 
Judgment upon any award may be entered and enforced in any court having
jurisdiction over a party or any of its assets.

 

(b)        Notwithstanding the provisions of
paragraph (a), WIND may bring an action or special proceeding in any court of
competent jurisdiction for the purpose of compelling a party to arbitrate,
seeking temporary or preliminary relief 

 

21

 

in aid of an arbitration
hereunder, and/or enforcing an arbitration award and, for the purposes of this
paragraph (b), each Series B Member (i) expressly consents to the
application of paragraph (c) of this Section 7.08 to any such action
or proceeding, (ii) agrees that proof shall not be required that monetary
damages for breach of the provisions of this Agreement would be difficult to
calculate and that remedies at law would be inadequate, and (iii) irrevocably
appoints WIND as such Series B Member’s agent for service of process in
connection with any such action or proceeding and agrees that service of
process upon such agent, who shall promptly advise such Series B Member of
any such service of process, shall be deemed in every respect effective service
of process upon the Series B Member in any such action or proceeding.

 

(c)        (i) EACH PARTY HEREBY IRREVOCABLY
SUBMITS TO THE JURISDICTION OF COURTS LOCATED IN NEW YORK, NEW YORK FOR THE
PURPOSE OF ANY JUDICIAL PROCEEDING BROUGHT IN ACCORDANCE WITH THE PROVISIONS OF
PARAGRAPH (B) OF THIS SECTION 7.08, OR ANY JUDICIAL PROCEEDING
ANCILLARY TO AN ARBITRATION OR CONTEMPLATED ARBITRATION ARISING OUT OF OR
RELATING TO OR CONCERNING THIS AGREEMENT. 
Such ancillary judicial proceedings include any suit, action or
proceeding to compel arbitration, to obtain temporary or preliminary judicial
relief in aid of arbitration, or to confirm an arbitration award.  The parties acknowledge that the forums
designated by this paragraph (c) have a reasonable relation to this
Agreement, and to the parties’ relationship with one another; and (ii) the
parties hereby waive, to the fullest extent permitted by applicable law, any
objection which they now or hereafter may have to personal jurisdiction or to
the laying of venue of any such ancillary suit, action or proceeding brought in
any court referred to in paragraph (c)(i) of this Section 7.08 and
such parties agree not to plead or claim otherwise.

 

Section 7.09.  Reconciliation.  In the event that WIND and the Series B
Member Representative are unable to resolve a disagreement with respect to the
matters governed by Section 2.03, Section 4.02 and Section 6.02
within the relevant period designated in this Agreement (“Reconciliation
Dispute”), the Reconciliation Dispute shall be submitted for
determination to a nationally recognized expert (the “Expert”)
in the particular area of disagreement mutually acceptable to both
parties.  The Expert shall be a partner
in a nationally recognized accounting firm or a law firm (other than the
Advisory Firm), and the Expert shall not, and the firm that employs the Expert
shall not, have any material relationship with either WIND or the Series B
Member Representative or other actual or potential conflict of interest.  If the parties are unable to agree on an
Expert within thirty (30) days of receipt by the respondent(s) of written
notice of a Reconciliation Dispute, the Expert shall be appointed by the
International Chamber of Commerce.  The
Expert shall resolve any matter relating to the Exchange Basis Schedule or an
amendment thereto or the Early Termination Schedule or an amendment thereto
within thirty (30) calendar days and shall 

 

22

 

resolve any matter relating to a Tax Benefit
Schedule or an amendment thereto within fifteen (15) calendar days or as soon
thereafter as is reasonably practicable, in each case after the matter has been
submitted to the Expert for resolution. 
Notwithstanding the preceding sentence, if the matter is not resolved
before any payment that is the subject of a disagreement would be due (in the
absence of such disagreement) or any Tax Return reflecting the subject of a
disagreement is due, the undisputed amount shall be paid on such date and such
Tax Return may be filed as prepared by WIND, subject to adjustment or amendment
upon resolution.  In the event that this
reconciliation provision is utilized, the fees of the Expert shall be paid in
proportion to the manner in which the dispute is resolved, such that, for
example, if the entire dispute is resolved in favor of WIND, the Series B
Member Representative shall pay all of the fees, or if the items in dispute are
resolved 50% in favor of WIND and 50% in favor of the applicable Series B
Member, each of WIND and the Series B Member Representative shall pay 50%
of the fees of the Expert.  Any dispute
as to whether a dispute is a Reconciliation Dispute within the meaning of this Section 7.09
shall be decided by the Expert.  The
Expert shall finally determine any Reconciliation Dispute and the
determinations of the Expert pursuant to this Section 7.09 shall be (i) final
and may be enforced as if it were the award of an arbitrator issued under and
pursuant to the rules of the International Chamber of Commerce and (ii) binding
on WIND and the Series B Member Representative and may be entered and
enforced in any court having jurisdiction.

 

Section 7.10.  Withholding.  WIND shall be entitled to deduct
and withhold from any payment payable pursuant to this Agreement such amounts
as WIND is required to deduct and withhold with respect to the making of such
payment under the Code or any provision of state, local or foreign Tax
law.  To the extent that amounts are so
withheld and paid over to the appropriate Taxing Authority by WIND, such
withheld amounts shall be treated for all purposes of this Agreement as having
been paid to the applicable Series B Member.

 

Section 7.11.  Admission of WIND into a
Consolidated Group; Transfers of Corporate Assets.  (a) If WIND becomes a member
of another affiliated or consolidated group of corporations that files a
consolidated income Tax Return pursuant to Sections 1501 et seq.
of the Code or any corresponding provisions of state, local or foreign law,
then: (i) the provisions of this Agreement shall be applied with respect
to the group as a whole; and (ii) Tax Benefit Payments, Early Termination
Payments and other applicable items hereunder shall be computed with reference
to the consolidated taxable income of the group as a whole.

 

(b)        If any entity that is obligated to make
an Exchange Payment hereunder transfers one or more assets to a corporation
with which such entity does not file a consolidated Tax return pursuant to Section 1501
of the Code, such entity, for purposes of calculating the amount of any
Exchange Payment (e.g., calculating the gross
income of the entity and determining the Realized Tax 

 

23

 

Benefit of such entity)
due hereunder, shall be treated as having disposed of such asset in a fully
taxable transaction on the date of such contribution.  The consideration deemed to be received by
such entity shall be equal to the fair market value of the contributed asset,
plus (i) the amount of debt to which such asset is subject, in the case of
a contribution of an encumbered asset or (ii) the amount of debt allocated
to such asset, in the case of a contribution of a partnership interest.

 

Section 7.12.  Confidentiality.  Each Series B Member
acknowledges and agrees that the information of WIND and of its Affiliates is
confidential and, except in the course of performing any duties as necessary
for WIND and its Affiliates, as required by law or legal process or to enforce
the terms of this Agreement, such person shall keep and retain in the strictest
confidence and not disclose to any Person any confidential matters, acquired
pursuant to this Agreement, of WIND and its Affiliates and successors,
concerning the Company and its Affiliates and successors or the other Series B
Members, learned by the Series B Member heretofore or hereafter.  This Section 7.12 shall not apply to (i) any
information that has been made publicly available by WIND or any of its
Subsidiaries, becomes public knowledge (except as a result of an act of such Series B
Member in violation of this Agreement) or is generally known to the business
community and (ii) the disclosure of information to the extent necessary
for a Series B Member to prepare and file his or her Tax returns, to
respond to any inquiries regarding the sale from any Taxing authority or to
prosecute or defend any action, proceeding or audit by any Taxing authority
with respect to such returns. 
Notwithstanding anything to the contrary herein, each Series B
Member (and each employee, representative or other agent of such Series B
Member or assignee, as applicable) may disclose to any and all Persons, without
limitation of any kind, the Tax treatment and Tax structure of WIND, the
Company, the Series B Members and their Affiliates, and any of their
transactions, and all materials of any kind (including opinions or other Tax
analyses) that are provided to the Series B Members relating to such Tax
treatment and Tax structure.

 

If a Series B Member commits a breach, or
threatens to commit a breach, of any of the provisions of this Section 7.12,
WIND shall have the right and remedy to have the provisions of this Section 7.12
specifically enforced by injunctive relief or otherwise by any court of
competent jurisdiction without the need to post any bond or other security, it
being acknowledged and agreed that any such breach or threatened breach shall
cause irreparable injury to WIND or any of its Subsidiaries or the other Series B
Members and the accounts and funds managed by WIND and that money damages alone
shall not provide an adequate remedy to such Persons.  Such rights and remedies shall be in addition
to, and not in lieu of, any other rights and remedies available at law or in
equity.

 

Section 7.13.  LLC Agreement.  This Agreement shall be treated as
part of the partnership agreement of the Company as described in Section 761(c) of
the

 

24

 

Code and Sections 1.704-1(b)(2)(ii)(h) and
1.761-1(c) of the Treasury Regulations.

 

Section 7.14.  Change in Tax Law.

 

Notwithstanding anything
herein to the contrary, if, in connection with an actual or proposed change in
law, any of the Applicable Series B Members reasonably believes that the
existence of this Agreement could cause income (other than income arising from
receipt of a payment under this Agreement) recognized by any Applicable Series
B Member or any member affiliated with an Applicable Series B Member (or direct
or indirect equity holders in such member) upon the IPO or any Exchange to be
treated as ordinary income rather than capital gain (or otherwise taxed at
ordinary income rates) for United States federal income Tax purposes or would have
other material adverse Tax consequences to an Applicable Series B Member or any
direct or indirect owner of an Applicable Series B Member (a “Change in Tax Law”), then (i) at the election of the
Applicable Series B Member and to the extent specified by the Applicable Series
B Member, this Agreement shall not apply with respect to an Exchange by the
Applicable Series B Member occurring after a date specified by the Applicable
Series B Member, (ii) at the election of the Applicable Series B Member, this Agreement
shall otherwise be amended in a manner determined by WIND and the Series B
Member Representative, acting jointly, provided that such amendment shall not
result in an increase in payments under this Agreement at any time as compared
to the amounts and times of payments that would have been due in the absence of
such amendment or (iii) at the election of the Series B Members, acting
unanimously, this Agreement shall cease to have further effect.

 

Section 7.15.  WAIVER OF JURY TRIAL.  EACH OF THE PARTIES HERETO HEREBY
IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR
COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT.

 

[Signature pages follow]

 

25

 

IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be duly executed by their respective authorized
representatives as of the day and year first above written.

 

	
   

  	
   

  	
   

  	
  FIRST WIND HOLDINGS INC.  

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  Paul Gaynor  

  
	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
  Chief Executive Officer  

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  FIRST WIND HOLDINGS, LLC

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  Paul Gaynor

  
	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
  Chief Executive Officer

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  D. E. SHAW MWP
  ACQUISITION HOLDINGS, L.L.C.,

  as Member

  
	
   

  	
   

  	
   

  	
  By:

  	
  D. E. SHAW & CO., L.L.C., AS MANAGER

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  MADISON DEARBORN
  CAPITAL PARTNERS IV, L.P., 

  as Member

  
	
   

  	
   

  	
   

  	
  By:

  	
  MADISON DEARBORN PARTNERS IV, L.P.

  
	
   

  	
   

  	
   

  	
  Its:

  	
  GENERAL PARTNER

  
	
   

  	
   

  	
   

  	
  By:

  	
  MADISON DEARBORN CAPITAL PARTNERS, LLC

  
	
   

  	
   

  	
   

  	
  Its:

  	
  GENERAL PARTNER

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  

 

A-1

 

	
   

  	
   

  	
   

  	
   

  	
  [NAME]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  

 

B-2

 

Exhibit A

 

JOINDER

 

This JOINDER (this “Joinder”)
to the Tax Receivable Agreement (as amended, the “Tax
Receivable Agreement”) dated as of       , 2010, among
First Wind Holdings Inc., a Delaware corporation (“WIND”),
First Wind Holdings, LLC, a Delaware limited liability company (the “Company”) and each of the undersigned parties thereto
identified as “Series B Members” constitutes the
agreement and undertaking of        (the “Permitted Transferee”) in favor of and for the benefit of
WIND, the Company and the other parties to the Tax Receivable Agreement.

 

WHEREAS, on       , 20    ,
the Permitted Transferee acquired (the “Acquisition”)
Series B Membership Interests in the Company and the corresponding Class B
Shares of WIND (collectively, the “Interests” and,
together with all other Interests hereinafter acquired by the Permitted
Transferee from        (the “Transferor”) and its Permitted Transferees, the “Acquired Interests”) from the Transferor; and

 

WHEREAS, the Transferor, in connection with the
Acquisition, has required Permitted Transferee to execute and deliver this
Joinder pursuant to Section 7.06 of the Tax Receivable Agreement.

 

NOW, THEREFORE, in consideration of the foregoing
and the agreements contained herein, the Permitted Transferee hereby agrees as
follows:

 

Section 1.1. 
Definitions.  Capitalized words used but not defined in
this Joinder are used as defined in the Tax Receivable Agreement.

 

Section 1.2. 
Joinder. 
The Permitted Transferee hereby acknowledges and agrees to become a “Series
B Member” for all purposes of the Tax Receivable Agreement, including but not
limited to, being bound by Section 7.12, Section 2.03, Section 4.02, Section
6.01 and Section 6.02 of the Tax Receivable Agreement, with respect to the
Acquired Interests, and any other Interests the Permitted Transferee acquires
hereafter.

 

Section 1.3. 
Notice. 
All notices, requests, consents and other communications hereunder to
the Permitted Transferee shall be deemed to be sufficient if contained in a
written instrument delivered in person or sent by facsimile (provided a copy is
thereafter promptly delivered as provided in this Section 1.3) or nationally
recognized overnight courier, addressed to the Permitted Transferee at the
address or facsimile number set forth below or such other address or facsimile
number as may hereafter be designated in writing by Permitted Transferee.

 

A-1

 

Section 1.4. 
Governing Law.  This Joinder shall be governed by, and
construed in accordance with, the law of the State of New York, without regard
to the conflicts of laws principles thereof.

 

IN WITNESS WHEREOF, this Joinder has been duly
executed and delivered by the Permitted Transferee as of the date first above
written.

 

	
   

  	
   

  	
   

  	
   

  	
  [NAME]

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Address for Notices:

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Facsimile No.

  

 

 

B-2

 

Exhibit B

 

	
   

  	
   

  	
  Immediately Following IPO

  
	
  Name and Address of Series B Member

  	
   

  	
  Number of 

  Series B

  Membership

  Interests

  Owned

  	
   

  	
  Number of

  Class B

  Shares

  Owned

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  D. E. Shaw MWP Acquisition the Company, L.L.C.

  [Address]  

  Facsimile:

  	
   

  	
   

  	
   

  	
   

  
	
  Madison Dearborn Capital Partners IV, L.P.  

  [Address]  

  Facsimile:

  	
   

  	
   

  	
   

  	
   

  
	
  [Name]  

  [Address]  

  Facsimile:

  	
   

  	
   

  	
   

  	
   

  
	
  [Name]  

  [Address]  

  Facsimile:

  	
   

  	
   

  	
   

  	
   

  

 

B-1Exhibit 10.36

 

Exhibit C

to Merger Agreement

 

 

 

REGISTRATION RIGHTS
AGREEMENT

 

among

 

FIRST WIND HOLDINGS INC.

 

and

 

THE STOCKHOLDERS NAMED
HEREIN

 

Dated as of
          , 2010

 

 

 

 

REGISTRATION RIGHTS
AGREEMENT

 

among

 

FIRST WIND HOLDINGS INC.

 

and

 

THE STOCKHOLDERS NAMED
HEREIN

 

REGISTRATION RIGHTS AGREEMENT, dated as of
          , 2010 (as amended
from time to time, this “Agreement”),
among First Wind Holdings Inc., a Delaware corporation (“WIND”),
and each of the parties listed on Annex A (the “Initial
Stockholders” and, as Annex A is updated and amended pursuant to
Section 11(c), the “Stockholders”).

 

W I T N E S S E T H:

 

WHEREAS, WIND has agreed to provide the
Stockholders the registration rights provided herein;

 

NOW, THEREFORE, the parties hereto hereby agree as
follows:

 

SECTION 1.  Definitions. 
As used in this Agreement, the following terms have the
following meanings:

 

“Agreement” is
defined in the preamble.

 

“Alberta Entities”
means, collectively, PIP3PX FirstWind LLC Ltd. and PIP3GV FirstWind LLC Ltd.

 

“Business Day”
means any day except a Saturday, Sunday or other day on which commercial banks
in Boston, Massachusetts or New York City, New York are authorized by law to
close.

 

“Class A Shares”
means shares of Class A common stock, par value $0.001 per share, of WIND.

 

“Class B Shares”
means shares of Class B common stock, par value $0.001 per share, of WIND.

 

“Commission”
means the U.S. Securities and Exchange Commission or any successor thereto.

 

“Common Equity Securities”
means the Class A Shares and all shares hereafter authorized of any class or
series of common stock or other common 

 

1

 

equity interests of WIND and any and all securities
of any kind whatsoever of WIND or any successor thereof which may be issued on
or after the date hereof in respect of, in exchange for, or upon conversion of
shares of Common Equity Securities pursuant to a merger, consolidation, stock
split, reverse split, stock dividend, recapitalization of WIND or otherwise,
which shares have the right (subject to the rights of any class or series of
preferred stock or other preferred equity interests of WIND) to participate in
the distribution of the assets and earnings of WIND without limit as to per
share (or other denomination) amount; provided that
Common Equity Securities shall not include the Class B Shares.

 

“Company” means
First Wind Holdings, LLC, a Delaware limited liability company.

 

“Demanding Stockholder”
is defined in Section 2(a).

 

“Demand Notice”
is defined in Section 2(a).

 

“Demand Registration”
is defined in Section 2(a).

 

“Exchange Act”
means the U.S. Securities Exchange Act of 1934, as amended from time to time,
and any successor statute thereto and the rules and regulations of the
Commission promulgated thereunder.

 

“Exchange Agreement”
means the Exchange Agreement dated as of the date hereof among WIND, the
Company and the other parties thereto, as the same may be amended from time to
time in accordance with the terms thereof.

 

“indemnified party”
and “indemnifying party” are defined in
Section 7(c).

 

“Initial Stockholders”
is defined in the preamble.

 

“Investor Shares”
means the Registrable Securities issued in respect of Series A Units, Series
A-1 Units and/or Series A-2 Units in the IPO Merger.

 

“IPO” means the
initial public offering of Class A Shares by WIND in connection with the IPO
Merger.

 

“IPO Merger”
means the merger of First Wind Merger, LLC, a subsidiary of WIND, with and into
the Company.

 

“Losses” is
defined in Section 7(a).

 

“Management Shares”
means the Registrable Securities issued to the holders of Series B Units in the
IPO Merger.

 

2

 

“Notice” is
defined in Section 2(a).

 

“Partner Distribution”
is defined in Section 2(a).

 

“Permitted Transferee”
is defined in Section 11(c).

 

“Person” means
any natural person, corporation, limited partnership, general partnership,
limited liability company, joint stock company, joint venture, association,
company, estate, trust, bank trust company, land trust, business trust or other
organization, whether or not a legal entity, custodian, trustee-executor,
administrator, nominee or entity in a representative capacity and any
government or agency or political subdivision thereof.

 

“Piggyback Notice”
is defined in Section 3(a).

 

“Piggyback Registration”
is defined in Section 3(a).

 

“Prior LLC Agreement”
means the Fifth Amended and Restated Limited Liability Company Agreement of the
Company, dated as of July 17, 2009.

 

“Proceeding”
means an action, claim, suit, arbitration or proceeding (including, without
limitation, an investigation or partial proceeding, such as a deposition),
whether commenced or threatened.

 

“Prospectus”
means the prospectus included in any Registration Statement (including, without
limitation, a prospectus that discloses information previously omitted from a
prospectus filed as part of an effective Registration Statement in reliance
upon Rule 430A promulgated under the Securities Act), as amended or
supplemented by any prospectus supplement, with respect to the terms of the
offering of any portion of the Registrable Securities covered by such
Registration Statement, and all other amendments and supplements to the
Prospectus, including, without limitation, post-effective amendments, and all
material incorporated by reference or deemed to be incorporated by reference in
such Prospectus.

 

“Registrable Securities”
means (a) all shares or other denominations of Common Equity Securities of WIND
initially issued pursuant to the Exchange Agreement (including, without
limitation, any Common Equity Securities issued or distributed by way of
dividend, stock split or other distribution in respect of such shares or other
denominations of Common Equity Securities) held by the Stockholders and,
subject to the next succeeding sentence and Section 11(c) hereof, any successor
or assign of such shares, (b) all shares or other denominations of Common
Equity Securities issuable upon exchange or conversion of any Class B Shares
and/or Series B Membership Interests in the Company and (c) the shares or other
denominations of Common Equity Securities

 

3

 

acquired by the Stockholders after the date
hereof.  For the avoidance of doubt, a
holder of Registrable Securities may include in any registration (including,
without limitation, “shelf” registration) Common Equity Securities issuable
upon exchange or conversion of Class B Shares and/or Series B Membership
Interests in the Company without having effected such exchange or conversion as
long as such exchange or conversion is effected prior to disposition thereof in
accordance with such registration.  As to
any particular Registrable Securities, once issued such securities shall cease
to be Registrable Securities when (i) a Registration Statement covering such
Registrable Securities has been declared effective under the Securities Act by
the Commission and such Registrable Securities have been disposed of pursuant
to such effective Registration Statement, (ii) they have been distributed to
the public pursuant to Rule 144, or (iii) they have been sold to any Person to
whom the rights under this Agreement are not assigned in accordance with this
Agreement.  No Registrable Securities may
be registered under more than one Registration Statement at any one time.

 

“Registration Statement”
means any registration statement of WIND under the Securities Act which permits
the public offering of any of the Registrable Securities pursuant to the
provisions of this Agreement, including, without limitation, the Prospectus,
amendments and supplements to such registration statement, including
post-effective amendments, all exhibits and all material incorporated by
reference or deemed to be incorporated by reference in such registration
statement.

 

“Rule 144” means
Rule 144 under the Securities Act, as such Rule may be amended from time to
time, or any similar rule or regulation hereafter adopted by the Commission.

 

“Shelf Offering”
is defined in Section 2(e).

 

“Securities Act”
means the U.S. Securities Act of 1933, as amended from time to time, and any
successor statute thereto and the rules and regulations of the Commission
promulgated thereunder.

 

“Series A Units”
means the Series A Units issued by the Company pursuant to the Prior LLC
Agreement.

 

“Series A-1 Units”
means the Series A-1 Units issued by the Company pursuant to the Prior LLC
Agreement.

 

“Series A-2 Units”
means the Series A-2 Units issued by the Company pursuant to the Prior LLC
Agreement.

 

“Series B Units”
means the Series B Units issued by the Company pursuant to the Prior LLC
Agreement.

 

4

 

“Stockholders”
is defined in the preamble.

 

“Subsequent Holder”
is defined in Section 11(c).

 

“Take-Down Notice”
is defined in Section 2(e).

 

“underwritten registration”
or “underwritten offering” means a
registration in which securities of WIND are sold to an underwriter for
reoffering to the public.

 

“WIND” is
defined in the preamble.

 

SECTION 2.  Demand Registration.

 

(a)        Requests
for Registration.  Subject to the limits set forth below, at any
time after the IPO, each of D. E. Shaw MWP Acquisition Holdings, L.L.C. (or its
designated Permitted Transferee), D. E. Shaw MWPH Acquisition Holdings, L.L.C.
(or its designated Permitted Transferee) (collectively “D. E. Shaw”)),
Madison Dearborn Capital Partners IV, L.P. (or its designated Permitted
Transferee) (collectively “Madison Dearborn”)),
UPC Wind Partners II, LLC (or its designated Permitted Transferee)
(collectively “UPC Holding”)), and the Alberta Entities
(or their designated Permitted Transferee) (collectively “Alberta”))
shall have the right by delivering a written notice to WIND (a “Demand Notice”, and the Stockholder submitting such Demand
Notice, a “Demanding Stockholder”) to require
WIND to register, pursuant to the terms of this Agreement under and in
accordance with the provisions of the Securities Act, the number of Registrable
Securities requested to be so registered pursuant to the terms of this
Agreement (a “Demand Registration”).  Within ten (10) days after receipt by WIND of
a Demand Notice, WIND shall give written notice (the “Notice”)
of such Demand Notice to all other holders of Registrable Securities and shall,
subject to the provisions of subsection (b), include in such registration all
Registrable Securities with respect to which WIND received written requests for
inclusion therein within ten (10) days after such Notice is given by WIND to
such holders. A Demand Notice (including a Demand Notice that is also a
Take-Down Notice) shall only be binding on WIND if the sale of all Registrable
Securities requested to be registered (pursuant to the Demand Notice and in
response to the Notice) is reasonably expected to result in aggregate gross
proceeds in excess of $100,000,000.

 

Following receipt of a Demand Notice for a Demand
Registration, WIND shall use its reasonable best efforts to file a Registration
Statement as promptly as practicable, but not later than 60 days after such
Demand Notice, and shall use its reasonable best efforts to cause such
Registration Statement to be declared effective under the Securities Act as
promptly as practicable after the filing thereof.

 

5

 

Each of D. E. Shaw and Madison Dearborn shall be
entitled to request four (4) Demand Registrations, and each of UPC Holding and
Alberta shall be entitled to request two (2) Demand Registrations; provided,
however, that there shall be no limit to the number of Demand Registrations
that constitute “shelf” registrations as contemplated by the next succeeding
sentence. After such time as WIND shall become eligible to use Form S-3 (or
comparable form) for the registration under the Securities Act of any of its
securities, D. E. Shaw, Madison Dearborn, UPC Holding or Alberta shall be
entitled to request that any Demand Registration for which such Stockholder is
delivering a Demand Notice be a “shelf” registration pursuant to Rule 415 under
the Securities Act, and each of D. E. Shaw, Madison Dearborn, UPC Holding and
Alberta shall be entitled to an unlimited number of Demand Registrations that
constitute “shelf” registrations. Notwithstanding any other provisions of this
Section 2, in no event shall more than one Demand Registration occur within any
six (6) month period from the effective date of any Registration Statement
filed pursuant to a prior Demand Notice.

 

No Demand Registration shall be deemed to have
occurred for purposes of this Section 2 if (i) the Registration Statement
relating to such Demand Registration does not become effective, (ii) the
Registration Statement relating to such Demand Registration is not maintained
effective for the period required pursuant to this subsection (a), (iii) the
offering of the Registrable Securities pursuant to the Registration Statement relating
to such Demand Registration is subject to a stop order, injunction or similar
order or requirement of the Commission during such period, or (iv) the Demand
Registration does not become effective because the Demanding Stockholder
withdraws its Demand Notice because a material adverse change has occurred, or
is reasonably likely to occur, in the condition (financial or otherwise),
prospects, business, assets or results of operations of WIND and its
subsidiaries taken as a whole subsequent to the date of the delivery of the
Demand Notice.

 

All requests made pursuant to this Section 2 will
specify the amount of Registrable Securities to be registered and the intended
methods of disposition thereof.

 

WIND shall be required to maintain the
effectiveness of the Registration Statement (except in the case of a requested “shelf”
registration) with respect to any Demand Registration for a period of at least
180 days after the effective date thereof or such shorter period in which all
Registrable Securities included in such Registration Statement have actually
been sold; provided, however, that such period shall be extended for a period
of time equal to the period the holder of Registrable Securities refrains from
selling any securities included in such registration at the request of (x) an
underwriter or (y) WIND pursuant to the provisions of this Agreement. WIND
shall be required to maintain the effectiveness of a “shelf” Registration
Statement with respect to any Demand

 

6

 

Registration at all times until the third
anniversary of the effective date thereof, or, if earlier, until all
Registrable Securities included in such Registration Statement have actually
been sold; provided, however, that any Stockholder owning Common Equity
Securities that have been included on a “shelf” Registration Statement may
request that such Common Equity Securities be removed from such Registration
Statement, in which event WIND shall promptly either withdraw such Registration
Statement if the Common Equity Securities of such Stockholder are the only
Common Equity Securities still covered by such Registration Statement or file a
post-effective amendment to such Registration Statement removing such Common
Equity Securities.

 

Notwithstanding anything contained herein to the
contrary, WIND hereby agrees that (i) each Demand Registration that is a “shelf”
registration pursuant to Rule 415 under the Securities Act shall contain all
language (including, without limitation, on the Prospectus cover sheet, the
principal stockholders’ chart and the plan of distribution) as may be
reasonably requested by a holder of Registrable Securities to allow for a
distribution to, and resale by, the direct and indirect affiliates, partners,
members or stockholders of a holder of Registrable Securities (a “Partner Distribution”) and (ii) WIND shall, at the
reasonable request of any holder of Registrable Securities seeking to effect a
Partner Distribution, file any Prospectus supplement or post-effective
amendments and otherwise take any action reasonably necessary to include such
language, if such language was not included in the initial Registration
Statement, or revise such language if deemed reasonably necessary by such
holder to effect such Partner Distribution.

 

(b)        Priority
on Demand Registration.  If any of the Registrable Securities
registered pursuant to a Demand Registration are to be sold in a firm
commitment underwritten offering, and the managing underwriter or underwriters
advise the holders of such securities in writing that in its or their view the
total number or dollar amount of Registrable Securities proposed to be sold in
such offering is such as to adversely affect the success of such offering
(including, without limitation, securities proposed to be included by other
holders of securities entitled to include securities in such offering pursuant
to incidental or piggyback registration rights), then the number of Registrable
Securities that in the opinion of such managing underwriter can be sold without
adversely affecting such offering shall be included in the following order:

 

(i)        first, Investor Shares, on a pro rata
basis based upon the number of Registrable Securities owned;

 

(ii)       second, subject to the following
paragraph, Management Shares, on a pro rata basis based upon the number of
Registrable Securities owned; and

 

7

 

(iii)      third, any other shares of Common Equity
Securities, on a pro rata basis based upon the number of Common Equity Securities
owned.

 

In connection with any Demand Registration to which
the provisions of this subsection (b) apply, no securities other than
Registrable Securities shall be covered by such Demand Registration, and such
registration shall not reduce the number of available Demand Registrations
under this Section 2 in the event that the Registration Statement excludes more
than 20% of the aggregate number of Registrable Securities requested to be
included by the Demanding Stockholder. 
Notwithstanding anything herein to the contrary, if the managing
underwriter or managing underwriters (if any) determine that the inclusion of
the number of Management Shares proposed to be included in any such offering
would adversely affect the marketability of such offering, WIND may exclude
such number of Management Shares as necessary or desirable to negate such
adverse impact.

 

(c)        Postponement
of Demand Registration. WIND shall be
entitled to postpone (but not more than once in any twelve-month period), for a
reasonable period of time not in excess of 75 days, the filing of a
Registration Statement (but not the preparation of such Registration Statement)
if WIND delivers to the holders requesting registration a resolution of the
board of directors of WIND that, in the good faith judgment of the board of
directors of WIND, such registration and offering would reasonably be expected
to materially adversely affect any bona fide material financing of WIND or any
material transaction under consideration by WIND or would require disclosure of
information that has not been disclosed to the public and is not otherwise
required to be disclosed at that time, the premature disclosure of which would
materially adversely affect WIND. Such board resolution shall contain a
statement of the reasons for such postponement and an approximation of the
anticipated delay. The holders receiving such board resolution shall keep the
information contained in such board resolution confidential on the same terms
set forth in Section 5(p). If WIND shall so postpone the filing of a
Registration Statement, the holder who made the Demand Registration shall have
the right to withdraw the request for registration by giving written notice to
WIND within 20 days of the anticipated termination date of the postponement period,
as provided in the board resolution delivered to the holders, and in the event
of such withdrawal, such request shall not be counted for purposes of the
number of Demand Registrations to which such holder is entitled pursuant to the
terms of this Agreement.

 

(d)        Use,
and Suspension of Use, of “Shelf” Registration Statement.  If WIND has filed a “shelf”
Registration Statement and has included Registrable Securities therein, WIND
shall be entitled to suspend (but not more than an aggregate of 90 days in any
twelve month period), for such period of time as is reasonably necessary not in
excess of 75 days, the offer or sale of Registrable Securities pursuant to such
Registration Statement by any holder of Registrable

 

8

 

Securities if (i) a “road show” is not then in
progress with respect to a proposed offering of Registrable Securities by such
holder pursuant to such Registration Statement and such holder has not executed
an underwriting agreement with respect to a pending sale of Registrable
Securities pursuant to such Registration Statement and (ii) WIND delivers to
the holders of Registrable Securities included in such Registration Statement a
resolution of the board of directors of WIND that, in the good faith judgment
of the board of directors of WIND, such offer or sale would reasonably be
expected to materially adversely affect any bona fide material financing of
WIND or any material transaction under consideration by WIND or would require
disclosure of information that has not been disclosed to the public and is not
otherwise required to be disclosed at that time, the premature disclosure of
which would materially adversely affect WIND. Such board resolution shall
contain a statement of the reasons for such postponement and an approximation
of the anticipated delay. The holders receiving such board resolution shall
keep the information contained in such certificate confidential on the same
terms set forth in Section 5(p).  In
addition, a holder of Registrable Securities may not use a “shelf” Registration
Statement to effect the sale of any such securities unless such holder has
given WIND at least two Business Days advance written notice of the date or
dates of a proposed sale of such securities by such holder pursuant to such
Registration Statement (which notice may be given as often as such holder
desires), and upon receipt of such a notice, WIND agrees to provide prompt
written notice to such holder if such “shelf” Registration Statement is not
then usable (whether for reasons described above or otherwise).

 

(e)        Underwritten
“Shelf” Take-Downs.  Subject to Section 2(d), at any time that any
“shelf” Registration Statement is effective, if any holder or group of holders
of Registrable Securities delivers a notice to WIND (a “Take-Down Notice”)
stating that it intends to effect an underwritten offering or distribution of
all or part of the Registrable Securities included by it on such “shelf”
Registration Statement (a “Shelf Offering”) and stating the number of
the Registrable Securities to be included in the Shelf Offering, then WIND
shall use reasonable best efforts to amend or supplement the “shelf”
Registration Statement as may be necessary in order to enable such Registrable
Securities to be distributed pursuant to the Shelf Offering (taking into
account the inclusion of Registrable Securities by any other holders thereof
pursuant to this Section 1(e)).  In
connection with any Shelf Offering: (i) WIND shall, promptly after receipt of a
Take-Down Notice, deliver such notice to all other holders of Registrable
Securities included in such “shelf” Registration Statement and permit each
holder to include its Registrable Securities included on the “shelf”
Registration Statement in the Shelf Offering if such holder notifies the
proposing holders and WIND within two (2) Business Days after delivery of the
Take-Down Notice to such holder, and in the event that the managing underwriter
or underwriters advise the holders of such securities in writing that in its or
their view the total number or dollar amount of Registrable Securities proposed
to be sold in such offering is such as to adversely

 

9

 

affect the success of such offering (including,
without limitation, securities proposed to be included by other holders of
securities entitled to include securities in such offering pursuant to
incidental or piggyback registration rights), such underwriter(s), if any, may
limit the number of shares which would otherwise be included in such Shelf
Offering in the same manner as is described in Section 2(b).

 

SECTION 3.  Piggyback Registration.

 

(a)        Right
to Piggyback.  If, at any time after the IPO, WIND proposes
to file a registration statement under the Securities Act with respect to an
offering of Common Equity Securities (other than a registration statement (i)
on Form S-4, Form S-8 or any successor forms thereto, (ii) filed solely in
connection with an exchange offer or any employee benefit or dividend
reinvestment plan or (iii) filed pursuant to Section 2 hereof), whether or not
for its own account, then, each such time, WIND shall give prompt written
notice of such proposed filing at least fifteen (15) days before the
anticipated filing date (the “Piggyback Notice”)
to all of the holders of Registrable Securities. The Piggyback Notice shall
offer such holders the opportunity to include in such registration statement
the number of Registrable Securities as each such holder may request (a “Piggyback Registration”). Subject to subsection (b) hereof,
WIND shall include in each such Piggyback Registration all Registrable
Securities with respect to which WIND has received written requests for
inclusion therein within ten (10) days after notice has been given to the
applicable holder. The holders of Registrable Securities exercising their
rights under this subsection (a) shall be permitted to withdraw all or part of
the Registrable Securities from a Piggyback Registration at any time prior to
the effective date of such Piggyback Registration. WIND shall not be required
to maintain the effectiveness of the Registration Statement for a Piggyback
Registration beyond the earlier to occur of (i) 180 days after the effective
date thereof and (ii) consummation of the distribution by the holders of the
Registrable Securities included in such Registration Statement; provided,
however, that any Stockholder owning Common Equity Securities that has been
included in such Registration Statement may request that such Common Equity
Securities be removed from such Registration Statement, in which event WIND
shall promptly either withdraw such Registration Statement or file a
post-effective amendment to such Registration Statement removing such Common
Equity Securities.

 

(b)        Priority
on Piggyback Registrations.  WIND shall use its reasonable best efforts to
cause the managing underwriter or underwriters of a proposed underwritten
offering to permit holders of Registrable Securities requested to be included
in the registration for such offering to include all such Registrable
Securities on the same terms and conditions as any other shares of capital
stock, if any, of WIND included therein. Notwithstanding the foregoing, if the
managing underwriter or underwriters of such underwritten offering have
informed WIND in writing that in its or their view the total number or dollar
amount of Common

 

10

 

Equity Securities that the holders, WIND and any
other Persons having rights to participate in such registration, intend to
include in such offering is such as to adversely affect the success of such
offering, then the number of Common Equity Securities that in the opinion of
such managing underwriter can be sold without adversely affecting such offering
shall be included in the following order:

 

(i)            first, the Common Equity Securities
for the account of WIND or, if the holders of Registrable Securities have in
accordance with this Agreement approved the granting of registration rights to
any third party, any third party initiating such registration;

 

(ii)           second, the Investor Shares, on a pro
rata basis based upon the number of Registrable Securities owned;

 

(iii)          third, subject to the following paragraph,
the Management Shares, on a pro rata basis based upon the number of Registrable
Securities owned; and

 

(iv)          fourth, Common Equity Securities for
the account of any other Persons, on a pro rata basis based upon the number of
Registrable Securities owned.

 

Notwithstanding anything contained herein to the
contrary, WIND hereby agrees that (i) any Piggyback Registration that is a “shelf”
registration pursuant to Rule 415 under the Securities Act shall contain all
language (including, without limitation, on the Prospectus cover sheet, the
principal stockholders’ chart and the plan of distribution) as may be
reasonably requested by a holder of Registrable Securities to allow for a
Partner Distribution and (ii) WIND shall, at the reasonable request of any
holder of Registrable Securities seeking to effect a Partner Distribution, file
any Prospectus supplement or post-effective amendments and otherwise take any
action reasonably necessary to include such language, if such language was not
included in the initial Registration Statement, or revise such language if
deemed reasonably necessary by such holder to effect such Partner
Distribution.  Notwithstanding anything
herein to the contrary, if the managing underwriter or managing underwriters
(if any) determine that the inclusion of the number of Management Shares proposed to be included
in any such offering would adversely affect the marketability of such offering,
WIND may exclude such number of Management Shares as necessary or desirable to
negate such adverse impact.

 

Notwithstanding anything herein the contrary, in
respect of any offering under this Agreement (whether under Section 2, Section
3 or otherwise) no Stockholder or any of its affiliates (other than WIND),
officers, directors, members, stockholders or representatives shall be required
directly or indirectly to make any representations or warranties to, or
agreements with, WIND or the

 

11

 

underwriters (including, without limitation,
agreements with respect to indemnification) other than representations,
warranties or agreements regarding such Stockholder, its ownership of and title
to the Registrable Securities and its intended method of distribution, and any
liability of any such Stockholder or its affiliates (other than WIND) to any
underwriter or other Person under such underwriting agreement shall be limited
to liability arising from breach of its representations and warranties and
shall be limited to an amount equal to the total price at which the securities
sold by such Stockholder were offered to the public (net of discounts and
commissions paid by such Stockholder in connection with such offering).

 

SECTION 4.  Restrictions On Sale During Registration.

 

(a)        Each
holder of Registrable Securities agrees, in connection with any underwritten
offering made pursuant to a Registration Statement filed pursuant to Section 2
or Section 3 hereof (whether or not such holder elected to include Registrable
Securities in such Registration Statement), if requested (pursuant to a written
notice) by the managing underwriter or underwriters in an underwritten
offering, not to effect any sale or distribution of any Common Equity
Securities (except as part of such underwritten offering), including a sale
pursuant to Rule 144, or to give any Demand Notice during the period commencing
on the date of the request (which shall be no earlier than 14 days prior to the
expected “pricing” of such offering) and continuing for not more than 90 days
(with respect to any underwritten public offering other than the IPO made prior
to the second anniversary of the IPO and thereafter 60 days rather than 90)
after the date of the Prospectus (or Prospectus supplement if the offering is
made pursuant to a “shelf” registration) pursuant to which such public offering
shall be made or such shorter period as is required by the managing
underwriter, provided, however, that WIND and all executive officers and
directors of WIND must be subject to the same restrictions, and provided
further, that such restrictions shall expire as to any such request if the
relevant offering is not consummated within 45 days of the date of such
request.  Each holder of Registrable
Securities agrees to enter into a “lock-up” agreement containing provisions
consistent in all material respects with this Section 4(a) for the benefit of
the managing underwriters of any such underwritten offering.  WIND agrees to request each of its executive
officers and independent directors to enter into a “lock-up” agreement
containing provisions consistent in all material respects with this Section
4(a) for the benefit of the managing underwriters of any such underwritten
offering, but WIND shall have no further obligation if any executive officer or
independent director does not so agree.

 

(b)        WIND,
if requested (pursuant to a written notice) by the managing underwriter or
underwriters of any underwritten offering made pursuant to a Registration
Statement filed pursuant to Section 2 or Section 3 hereof, shall not effect any
public sale or distribution of its Common Equity Securities during the

 

12

 

14 days prior to and the 90-day period (or, after
the second anniversary of the IPO, the 60-day period) beginning on the “pricing”
of such offering, except as part of such underwritten registration, or unless
such managing underwriter or underwriters otherwise agree in writing, provided,
that such restrictions shall expire as to any such request if the relevant
offering is not consummated within 45 days of the date of such request, and
provided further that this Section 4(b) shall not apply to any sale pursuant to
a registration statement (i) on Form S-4, Form S-8 or any successor forms
thereto or (ii) filed solely in connection with an exchange offer or any
employee benefit or dividend reinvestment plan, or apply to any sales or grants
of Common Equity Securities pursuant to employee benefit plans or contracts of
WIND or its subsidiaries.

 

SECTION 5.  Registration Procedures.  If and whenever WIND is required
to effect the registration of any Registrable Securities under the Securities
Act as provided in Section 2 or Section 3 hereof, WIND shall effect such
registration to permit the sale of such Registrable Securities in accordance
with the intended method or methods of disposition thereof, and pursuant
thereto WIND shall cooperate in the sale of the securities and shall, as
expeditiously as reasonably possible:

 

(a)        Prepare
and file with the Commission a Registration Statement or Registration Statements
on any form which shall be available for the sale of the Registrable Securities
by the holders thereof or WIND in accordance with the intended method or
methods of distribution thereof (including, without limitation, a Partner
Distribution), and use its reasonable best efforts to cause such Registration
Statement to become effective and to remain effective as provided herein;
provided, however, that no later than ten (10) days before filing a
Registration Statement or Prospectus or any amendments or supplements thereto
(including, without limitation, documents that would be incorporated or deemed
to be incorporated therein by reference), WIND shall furnish or otherwise make
available to the holders of the Registrable Securities covered by such Registration
Statement, their counsel and the managing underwriters, if any, copies of all
such documents proposed to be filed. WIND shall not file any such Registration
Statement or Prospectus or any amendments or supplements thereto (including,
without limitation, such documents that, upon filing, would be incorporated or
deemed to be incorporated by reference therein) with respect to a Demand
Registration to which the holders of a majority of the Registrable Securities
covered by such Registration Statement, their counsel, or the managing
underwriters, if any, shall reasonably object, unless, in the opinion of WIND
and its counsel, such filing is necessary to comply with applicable law.

 

(b)        Prepare
and file with the Commission such amendments and post-effective amendments to
each Registration Statement as may be necessary to keep such Registration
Statement continuously effective during the period provided herein and comply
in all material respects with the provisions of the Securities

 

13

 

Act with respect to the disposition of all
securities covered by such Registration Statement; and cause the related
Prospectus to be supplemented by any Prospectus supplement as may be necessary
to comply with the provisions of the Securities Act with respect to the
disposition of the securities covered by such Registration Statement, and as so
supplemented to be filed pursuant to Rule 424 (or any similar provisions then
in force) under the Securities Act; provided, however, that any holder of
Registrable Securities that has been included on a “shelf” registration
statement may request that such holder’s Registrable Securities be removed from
such registration statement, in which event WIND shall promptly either withdraw
such registration statement or file a post-effective amendment to such
registration statement removing such Registrable Securities.

 

(c)        Notify
each selling holder of Registrable Securities, its counsel and the managing
underwriters, if any, promptly, and (if requested by any such Person) confirm
such notice in writing, (i) when a Prospectus or any Prospectus supplement or
post-effective amendment has been filed, and, with respect to a Registration
Statement or any post-effective amendment, when the same has become effective,
(ii) of any notice from the Commission that there will be a review of a
Registration Statement and, to the extent requested by a holder of Registrable
Securities, promptly provide such holders, their counsel and the managing
underwriters, if any, with a copy of any SEC comments received by WIND in
connection therewith, (iii) of any request by the Commission or any other
Federal or state governmental authority for amendments or supplements to a
Registration Statement or related Prospectus or for additional information,
(iv) of the issuance by the Commission of any stop order suspending the
effectiveness of a Registration Statement or the initiation of any proceedings
for that purpose, (v) if at any time the representations and warranties of WIND
contained in any agreement (including, without limitation, any underwriting
agreement) contemplated by Section 5(o) below cease to be true and correct,
(vi) of the receipt by WIND of any notification with respect to the suspension
of the qualification or exemption from qualification of any of the Registrable
Securities for sale in any jurisdiction, or the initiation or threatening of
any proceeding for such purpose, and (vii) of the happening of any event that
makes any statement made in such Registration Statement or related Prospectus
or any document incorporated or deemed to be incorporated therein by reference
untrue in any material respect or that requires the making of any changes in
such Registration Statement, Prospectus or documents so that, in the case of
the Registration Statement, it will not contain any untrue statement of a
material fact or omit to state any material fact required to be stated therein
or necessary to make the statements therein, in light of the circumstances
under which they were made, not misleading, and that in the case of the
Prospectus, it will not contain any untrue statement of a material fact or omit
to state any material fact necessary in order to make the statements therein,
in light of the circumstances under which they were made, not misleading.

 

14

 

(d)        Use
its reasonable best efforts to obtain the withdrawal of any order suspending
the effectiveness of a Registration Statement, or the lifting of any suspension
of the qualification (or exemption from qualification) of any of the
Registrable Securities for sale in any jurisdiction.

 

(e)        If
requested by the managing underwriters, if any, or any holder of Registrable
Securities being sold in connection with an underwritten offering, promptly
include in a Prospectus supplement or post-effective amendment such information
as the managing underwriters, if any, and such holders may reasonably request
in order to permit the intended method of distribution of such securities and
make all required filings of such Prospectus supplement or such post-effective
amendment as soon as practicable after WIND has received such request.

 

(f)         Furnish
or make available to each selling holder of Registrable Securities, its counsel
and each managing underwriter, if any, without charge, at least five conformed
copies of the Registration Statement, the Prospectus and Prospectus
supplements, if applicable, and each post-effective amendment thereto,
including financial statements (but excluding schedules, all documents
incorporated or deemed to be incorporated therein by reference and all
exhibits, unless requested by such holder, counsel or underwriter).

 

(g)        Deliver
to each selling holder of Registrable Securities, its counsel and the
underwriters, if any, without charge, as many copies of the Prospectus or
Prospectuses (including each form of Prospectus) and each amendment or
supplement thereto as such Persons may reasonably request in connection with
the distribution of the Registrable Securities; and WIND, subject to the last
paragraph of this Section 5, hereby consents to the use of such Prospectus and
each amendment or supplement thereto by each of the selling holders of
Registrable Securities and the underwriters, if any, in connection with the
offering and sale of the Registrable Securities covered by such Prospectus and
any such amendment or supplement thereto.

 

(h)        Prior
to any public offering of Registrable Securities, use its reasonable best
efforts to register or qualify or cooperate with the selling holders of
Registrable Securities, the underwriters, if any, and their respective counsel
in connection with the registration or qualification (or exemption from such
registration or qualification) of such Registrable Securities for offer and
sale under the securities or “Blue Sky” laws of such jurisdictions within the
United States as any seller or underwriter reasonably requests and to keep each
such registration or qualification (or exemption therefrom) effective during
the period such Registration Statement is required to be kept effective and to
take any other action that may be necessary or advisable to enable such holders
of Registrable Securities to consummate the disposition of such Registrable
Securities in such jurisdiction; provided, however, that WIND will not be
required to (i) qualify

 

15

 

generally to do business in any jurisdiction where
it is not then so qualified or (ii) take any action that would subject it to
general service of process in any such jurisdiction where it is not then so
subject.

 

(i)         Unless
the Registrable Securities to be sold are uncertificated, cooperate with the
selling holders of Registrable Securities and the managing underwriters, if
any, to facilitate the timely preparation and delivery of certificates (not
bearing any legends) representing Registrable Securities to be sold after
receiving written representations from each holder of such Registrable
Securities that the Registrable Securities represented by the certificates so
delivered by such holder will be transferred in accordance with the
Registration Statement, and enable such Registrable Securities to be in such
denominations and registered in such names as the managing underwriters, if
any, or holders may request at least two (2) Business Days prior to any sale of
Registrable Securities in a firm commitment public offering, but in any other
such sale, within ten (10) Business Days prior to having to issue the
securities.

 

(j)         Use
its reasonable best efforts to cause the Registrable Securities covered by the
Registration Statement to be registered with or approved by such other
governmental agencies or authorities within the United States, except as may be
required solely as a consequence of the nature of such selling holder’s
business, in which case WIND will cooperate in all reasonable respects with the
filing of such Registration Statement and the granting of such approvals, as
may be necessary to enable the seller or sellers thereof or the underwriters,
if any, to consummate the disposition of such Registrable Securities.

 

(k)        Upon
the occurrence of any event contemplated by subsection (c)(vii) above, prepare
a supplement or post-effective amendment to the Registration Statement or a
supplement to the related Prospectus or any document incorporated or deemed to
be incorporated therein by reference, or file any other required document so
that, as thereafter delivered to the purchasers of the Registrable Securities
being sold thereunder, such Prospectus will not contain an untrue statement of
a material fact or omit to state a material fact required to be stated therein
or necessary to make the statements therein, in light of the circumstances
under which they were made, not misleading.

 

(l)         Prior
to the effective date of the Registration Statement relating to the Registrable
Securities, provide a CUSIP number for the Registrable Securities.

 

(m)       Provide
and cause to be maintained a transfer agent and registrar for all Registrable
Securities covered by such Registration Statement from and after a date not
later than the effective date of such Registration Statement.

 

(n)        Use
its reasonable best efforts to cause all shares of Registrable Securities
covered by such Registration Statement to be authorized to be listed on

 

16

 

a national securities exchange if shares of the
particular class of Registrable Securities are at that time listed on such
exchange.

 

(o)        Enter
into such agreements (including, without limitation, an underwriting agreement
in form, scope and substance as is customary in underwritten offerings) and
take all such other actions reasonably requested by the holders of a majority
of the Registrable Securities being sold in connection therewith (including
those reasonably requested by the managing underwriters, if any) to expedite or
facilitate the disposition of such Registrable Securities, and in such
connection, whether or not an underwriting agreement is entered into and
whether or not the registration is an underwritten registration, (i) make such
representations and warranties to the holders of such Registrable Securities
and the underwriters, if any, in form, substance and scope as are customarily
made by issuers to underwriters in underwritten offerings, and, if true,
confirm the same if and when requested, (ii) furnish to the selling holders of
such Registrable Securities opinions of counsel and a negative assurance letter
to WIND and updates thereof (which counsel, opinions and letter (in form, scope
and substance, in the case of such opinions and such letter) shall be
reasonably satisfactory to the selling holders of such Registrable Securities,
the managing underwriters, if any, and counsels to the selling holders of the
Registrable Securities), addressed to each selling holder of Registrable
Securities and each of the underwriters, if any, covering the matters
customarily covered in opinions and negative assurance letters requested in
underwritten offerings and such other matters as may be reasonably requested by
such holders, counsel and underwriters, (iii) obtain “cold comfort” letters and
updates thereof from the independent certified public accountants of WIND (and,
if necessary, any other independent certified public accountants of any
subsidiary of WIND or of any business acquired by WIND for which financial
statements and financial data are, or are required to be, included in the
Registration Statement) who have certified the financial statements included in
such Registration Statement, addressed to each selling holder of Registrable
Securities (unless such accountants shall be prohibited from so addressing such
letters by applicable standards of the accounting profession) and each of the
underwriters, if any, such letters to be in customary form and covering matters
of the type customarily covered in “cold comfort” letters in connection with
underwritten offerings, which form and substance shall be acceptable to the
selling holders of the Registrable Securities, (iv) if an underwriting
agreement is entered into, the same shall contain indemnification provisions
and procedures substantially to the effect set forth in Section 7 hereof with
respect to all parties to be indemnified pursuant to said Section and (v)
deliver such documents and certificates as may be reasonably requested by any
holder of Registrable Securities being sold, such holder’s counsel and the
managing underwriters, if any, to evidence the continued validity of the
representations and warranties made pursuant to subsection (o)(i) above and to
evidence compliance with the conditions contained in the underwriting agreement
or other agreement entered

 

17

 

into by WIND. The above shall be done at each
closing under such underwriting or similar agreement, or as and to the extent
required thereunder.

 

(p)        Make
available for inspection by the selling holders of Registrable Securities, any
underwriter participating in any such disposition of Registrable Securities, if
any, and any attorneys or accountants retained by such selling holders or
underwriter, at the offices where normally kept, during reasonable business
hours, all financial and other records, pertinent corporate documents and
properties of WIND and its subsidiaries, and cause the officers and employees
of WIND and its subsidiaries to supply all information in each case reasonably
requested by any such holder, underwriter, attorney or accountant in connection
with such Registration Statement; provided, however, that any information that is
not publicly available at the time of delivery of such information shall be
kept confidential by such Persons (other than disclosure by such Persons to
such Persons’ respective affiliates) unless (i) disclosure of such information
is required by court or administrative order or other legal process, (ii)
disclosure of such information is required by law, or (iii) such information
becomes generally available to the public other than as a result of a
disclosure or failure to safeguard by such Person. In the case of a proposed
disclosure pursuant to (i) or (ii) above, such Person shall, to the extent
practical, be required to give WIND written notice of the proposed disclosure
prior to such disclosure and, if requested by WIND, at WIND’s expense, assist
WIND in seeking to prevent or limit the proposed disclosure.

 

(q)        Comply
with all applicable rules and regulations of the Commission and make available
to its security holders earning statements satisfying the provisions of Section
11(a) of the Securities Act and Rule 158 thereunder, or any similar rule
promulgated under the Securities Act, no later than forty-five (45) days after
the end of any twelve (12) month period (or ninety (90) days after the end of
any twelve (12) month period if such period is a fiscal year) (i) commencing at
the end of any fiscal quarter in which Registrable Securities are sold to
underwriters in a firm commitment or best efforts underwritten offering and
(ii) if not sold to underwriters in such an offering, commencing on the first
day of the first fiscal quarter of WIND after the effective date of a
Registration Statement, which statements shall cover one of said twelve (12)
month periods.

 

(r)         Cause
its officers to support the marketing of the Registrable Securities covered by
the Registration Statement (including, without limitation, participation in “road
shows”), to the extent reasonably requested.

 

Notwithstanding anything contained herein to the
contrary, WIND hereby agrees that (i) any Demand Registration that is a “shelf”
registration pursuant to Rule 415 under the Securities Act shall contain all
language (including, without limitation, on the prospectus cover sheet, the
principal stockholders’ chart and the plan of distribution) as may be
reasonably requested by a holder of Registrable

 

18

 

Securities. WIND may require each seller of
Registrable Securities as to which any registration is being effected to
furnish to WIND in writing such information required in connection with such registration
regarding such seller and the distribution of such Registrable Securities as
WIND may, from time to time, reasonably request in writing.

 

Each holder of Registrable Securities agrees if
such holder has Registrable Securities covered by such Registration Statement
that, upon receipt of any notice from WIND of the happening of any event of the
kind described in subsection (c) (iii), (iv), (v), (vi) or (vii) hereof, such
holder will forthwith discontinue disposition of such Registrable Securities covered
by such Registration Statement or Prospectus until such holder is advised in
writing by WIND that the disposition may be resumed and, if applicable, has
received copies of the supplemented or amended Prospectus contemplated by
subsection (k) hereof, together with any additional or supplemental filings
that are incorporated or deemed to be incorporated by reference in such
Prospectus; provided, however, that WIND shall extend the time periods under
Section 2 with respect to the length of time that the effectiveness of a
Registration Statement must be maintained by the amount of time the holder is
required to discontinue disposition of such securities.

 

SECTION 6.  Registration Expenses.  All fees and expenses incident to
the performance of or compliance with this Agreement by WIND (including,
without limitation, (i) all registration and filing fees (including, without
limitation, fees and expenses (A) with respect to filings required to be made
with the Financial Industry Regulatory Authority and the Commission, (B) of
compliance with securities or Blue Sky laws, including, without limitation, any
fees and disbursements of counsel for the underwriters in connection with Blue
Sky qualifications of the Registrable Securities pursuant to Section 5(h) and (C)
of listing and registration with a national securities exchange or national
market interdealer quotation system), (ii) printing expenses (including,
without limitation, expenses of printing certificates for Registrable
Securities in a form eligible for deposit with The Depository Trust Company and
of printing Prospectuses if the printing of Prospectuses is requested by the
managing underwriters, if any, or by the holders of a majority of the
Registrable Securities included in any Registration Statement), (iii)
messenger, telephone and delivery expenses of WIND, (iv) fees and disbursements
of counsel for WIND, (v) expenses of WIND incurred in connection with any road
show, (vi) fees and disbursements of all independent certified public
accountants referred to in Section 5(o)(iii) hereof (including, without
limitation, the expenses of any “cold comfort” letters required by this
Agreement) and any other persons, including special experts retained by WIND,
(vii) rating agency fees and (viii) reasonable fees and disbursements of one
counsel reasonably acceptable to WIND for the holders of Registrable Securities
whose shares are included in a Registration Statement, which counsel shall be
selected by the holders of a majority of the Registrable Securities included in
such Registration Statement) shall be borne by WIND whether or not any
Registration

 

19

 

Statement is filed or becomes effective. In
addition, WIND shall pay its internal expenses (including, without limitation,
all salaries and expenses of its officers and employees performing legal or
accounting duties), the expense of any annual audit, the fees and expenses
incurred in connection with the listing of the securities to be registered on
any securities exchange on which similar securities issued by WIND are then
listed and rating agency fees and the fees and expenses of any Person,
including special experts, retained by WIND.

 

WIND shall not be required to pay (i) fees and
disbursements of any counsel retained by any holder of Registrable Securities
or by any underwriter (except as set forth in clauses 6(i)(B) and (viii)), (ii)
any underwriter’s fees (including discounts, commissions or fees of
underwriters, selling brokers, dealer managers or similar securities industry
professionals) relating to the distribution of the Registrable Securities
(other than with respect to Registrable Securities sold by WIND) or (iii) any
other expenses of the holders of Registrable Securities not specifically
required to be paid by WIND pursuant to the first paragraph of this Section 6.

 

SECTION 7.  Indemnification.

 

(a)        Indemnification
by WIND. 
WIND shall, without limitation as to time, indemnify and hold harmless,
to the fullest extent permitted by law, each holder of Registrable Securities
whose Registrable Securities are covered by a Registration Statement or
Prospectus, the affiliates, officers, directors, partners, members, managers,
stockholders, accountants, attorneys, agents and employees of each of them,
each Person who controls each such holder (within the meaning of Section 15 of
the Securities Act or Section 20 of the Exchange Act) and the officers, directors,
partners, members, managers, stockholders, accountants, attorneys, agents and
employees of each such controlling person, each underwriter, if any, and each
Person who controls (within the meaning of Section 15 of the Securities Act or
Section 20 of the Exchange Act) such underwriter, from and against any and all
losses, claims, damages, liabilities, costs (including, without limitation,
costs of preparation and reasonable attorneys’ fees and any legal or other fees
or expenses incurred by such party in connection with any investigation or
Proceeding), expenses, judgments, fines, penalties, charges and amounts paid in
settlement (collectively, “Losses”), as
incurred, arising out of or based upon any untrue statement (or alleged untrue
statement) of a material fact contained in any Prospectus, offering circular or
other document (including, without limitation, any related Registration
Statement, notification or the like) incident to any such registration,
qualification, or compliance, or based on any omission (or alleged omission) to
state therein a material fact required to be stated therein or necessary to
make the statements therein not misleading, or any violation by WIND of the
Securities Act or any rule or regulation thereunder applicable to WIND and
relating to action or inaction required of WIND in connection with any such
registration, qualification, or compliance, and will reimburse each such
holder,

 

20

 

each of its affiliates, officers, directors,
partners, members, managers, stockholders, accountants, attorneys, agents and
employees and each person controlling such holder, each such underwriter, and
each person who controls any such underwriter, for any legal and any other
expenses reasonably incurred in connection with investigating and defending or
settling any such claim, loss, damage, liability, or action, provided, however
that WIND will not be liable in any such case to the extent that any such
claim, loss, damage, liability, or expense arises out of or is based on any
untrue statement or omission by such holder or underwriter, but only to the
extent, that such untrue statement (or alleged untrue statement) or omission
(or alleged omission) is made in such Registration Statement, Prospectus,
offering circular, or other document in reliance upon and in conformity with
written information furnished to WIND by such holder. It is agreed that the
indemnity agreement contained in this Section 7(a) shall not apply to amounts
paid in settlement of any such loss, claim, damage, liability or action if such
settlement is effected without the consent of WIND (which consent shall not be
unreasonably withheld).

 

(b)        Indemnification
by Holder of Registrable Securities.  In connection with any Registration Statement
in which a holder of Registrable Securities is participating, such holder of
Registrable Securities shall furnish to WIND in writing such information as
WIND reasonably requests for use in connection with any Registration Statement
or Prospectus and agrees to indemnify, to the fullest extent permitted by law,
severally and not jointly, WIND, its directors, officers, accountants,
attorneys, agents and employees, each Person who controls WIND (within the
meaning of Section 15 of the Securities Act and Section 20 of the Exchange
Act), and the directors, officers, partners, members, managers, stockholders,
accountants, attorneys, agents or employees of such controlling persons, and
each underwriter, if any, and each person who controls such underwriter (within
the meaning of Section 15 of the Securities Act and Section 20 of the Exchange
Act), from and against all Losses arising out of or based on any untrue
statement of a material fact contained in any such Registration Statement,
Prospectus, offering circular or other document, or any omission to state
therein a material fact required to be stated therein or necessary to make the
statements therein not misleading, and will reimburse WIND and such directors,
officers, partners, members, managers, stockholders, accountants, attorneys,
employees, agents, persons, underwriters, or control persons for any legal or
any other expenses reasonably incurred in connection with investigating or
defending any such claim, loss, damage, liability or action, in each case to
the extent, but in each case only to the extent, that such untrue statement or
omission is made in such Registration Statement, Prospectus, offering circular
or other document in reliance upon and in conformity with written information
furnished to WIND by such holder specifically for use in connection with the
preparation of such Registration Statement, Prospectus, offering circular or
other document; provided, however, that the obligations of such holder
hereunder shall not apply to amounts

 

21

 

paid in settlement of any such claims, losses,
damages, or liabilities (or actions in respect thereof) if such settlement is
effected without the consent of such holder (which consent shall not be
unreasonably withheld); and provided further, however, that the liability of
each selling holder of Registrable Securities hereunder shall be limited to the
net proceeds received by such selling holder from the sale of Registrable
Securities covered by such Registration Statement. In addition, insofar as the
foregoing indemnity relates to any such untrue statement or omission made in
the preliminary Prospectus but eliminated or remedied in the amended Prospectus
on file with the Commission at the time the Registration Statement becomes
effective or in the final Prospectus filed pursuant to applicable rules of the
Commission or in any supplement or addendum thereto and such new Prospectus is
delivered to the underwriter, the indemnity agreement herein shall not inure to
the benefit of such underwriter, any controlling person of such underwriter and
their respective Representatives, if a copy of the final Prospectus filed
pursuant to such rules, together with all supplements and addenda thereto was
not furnished to the Person asserting the loss, liability; claim or damage at
or prior to the time such furnishing is required by the Securities Act.

 

(c)        Conduct
of Indemnification Proceedings.  If any Person shall be entitled to indemnity
hereunder (an “indemnified party”), such
indemnified party shall give prompt notice to the party from which such
indemnity is sought (the “indemnifying party”)
of any claim or of the commencement of any Proceeding with respect to which
such indemnified party seeks indemnification or contribution pursuant hereto;
provided, however, that the delay or failure to so notify the indemnifying
party shall not relieve the indemnifying party from any obligation or liability
except to the extent that the indemnifying party has been prejudiced by such
delay or failure. The indemnifying party shall have the right, exercisable by
giving written notice to an indemnified party promptly after the receipt of
written notice from such indemnified party of such claim or Proceeding, to,
unless in the indemnified party’s reasonable judgment a conflict of interest
between such indemnified and indemnifying parties may exist in respect of such
claim, assume, at the indemnifying party’s expense, the defense of any such
claim or Proceeding, with counsel reasonably satisfactory to such indemnified
party; provided, however, that an indemnified party shall have the right to
employ separate counsel in any such claim or Proceeding and to participate in
the defense thereof, but the fees and expenses of such counsel shall be at the
expense of such indemnified party unless: (i) the indemnifying party agrees to
pay such fees and expenses or (ii) the indemnifying party fails promptly to
assume, or in the event of a conflict of interest cannot assume, the defense of
such claim or Proceeding or fails to employ counsel reasonably satisfactory to
such indemnified party; in which case the indemnified party shall have the
right to employ counsel and to assume the defense of such claim or proceeding;
provided further, however, that the indemnifying party shall not, in connection
with any one such claim or Proceeding or separate but substantially similar or
related claims or Proceedings

 

22

 

in the same jurisdiction, arising out of the same
general allegations or circumstances, be liable for the fees and expenses of
more than one firm of attorneys (together with appropriate local counsel) at
any time for all of the indemnified parties, or for fees and expenses that are
not reasonable. Whether or not such defense is assumed by the indemnifying
party, such indemnified party will not be subject to any liability for any
settlement made without its consent (but such consent will not be unreasonably
withheld, delayed or conditioned). The indemnifying party shall not consent to
entry of any judgment or enter into any settlement that does not include as an
unconditional term thereof the giving by the claimant or plaintiff to such
indemnified party of a release, in form and substance reasonably satisfactory
to the indemnified party, from all liability in respect of such claim or
litigation for which such indemnified party would be entitled to
indemnification hereunder.

 

(d)        Contribution. If the indemnification provided for in this Section 7 is unavailable
to an indemnified party in respect of any Losses (other than in accordance with
its terms), then each applicable indemnifying party, in lieu of indemnifying
such indemnified party, shall contribute to the amount paid or payable by such
indemnified party as a result of such Losses, in such proportion as is
appropriate to reflect the relative fault of the indemnifying party, on the one
hand, and such indemnified party, on the other hand, in connection with the
actions, statements or omissions that resulted in such Losses as well as any
other relevant equitable considerations. The relative fault of such
indemnifying party, on the one hand, and indemnified party, on the other hand,
shall be determined by reference to, among other things, whether any action in
question, including any untrue or alleged untrue statement of a material fact
or omission or alleged omission to state a material fact, has been taken by, or
relates to information supplied by, such indemnifying party or indemnified
party, and the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent any such action, statement or omission.

 

The parties hereto agree that it would not be just
and equitable if contribution pursuant to this subsection (d) were determined
by pro rata allocation or by any other method of allocation that does not take
account of the equitable considerations referred to in the immediately
preceding paragraph. Notwithstanding the provisions of this subsection (d), an
indemnifying party that is a selling holder of Registrable Securities shall not
be required to contribute any amount in excess of the amount by which the net
proceeds from the sale of the Registrable Securities sold by such indemnifying
party exceeds the amount of any damages that such indemnifying party has
otherwise been required to pay by reason of such untrue or alleged untrue
statement or omission or alleged omission. No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Securities Act)
shall be entitled to contribution from any Person who was not guilty of such
fraudulent misrepresentation.

 

23

 

(e)        Notwithstanding
the foregoing, to the extent that the provisions on indemnification and
contribution contained in any underwriting agreement entered into in connection
with any underwritten public offering are in conflict with the foregoing
provisions, the provisions in the underwriting agreement shall control.

 

SECTION 8.  Rule 144. 
After the IPO, WIND shall file the reports required to be
filed by it under the Securities Act and the Exchange Act in a timely manner,
and will take such further action as any holder of Registrable Securities may
reasonably request, all to the extent required from time to time to enable such
holder to sell Registrable Securities without registration under the Securities
Act within the limitations of the exemption provided by Rule 144. Upon the
request of any holder of Registrable Securities, WIND shall deliver to such
holder a written statement as to whether it has complied with such
requirements.

 

SECTION 9.  Underwritten Registrations.  If any Demand Registration is an
underwritten offering or there is any Shelf Offering, the holders of a majority
of the Registrable Securities to be sold pursuant to such underwritten Demand
Registration or to be included in such Shelf Offering shall have the right to
select the investment banker or investment bankers and managers to administer
the offering, provided such Persons are reasonably acceptable to WIND.  WIND shall have the right to select the
investment banker or investment bankers and managers to administer any
Piggyback Registration.

 

SECTION 10.  Limitation On Subsequent Registration
Rights.  From and after the
date of this Agreement WIND shall not, without the prior written consent of the
holders of two-thirds of the Registrable Securities, enter into any agreement
with any holder or prospective holder of any securities of WIND, giving such
holder or prospective holder any registration rights the terms of which are
equivalent to or more favorable than the registration rights granted to holders
of Registrable Securities hereunder, or which would reduce the amount of
Registrable Securities the holders can include in any registration filed
pursuant to Section 2 hereof, unless such rights are subordinate to those of
the holders of Registrable Securities.

 

SECTION 11.  Miscellaneous.

 

(a)        Amendments
and Waivers.  The provisions of this Agreement, including
the provisions of this sentence, may not be amended, modified or supplemented,
and waivers or consents to departures from the provisions hereof may not be
given without the written consent of holders of two-thirds of the Registrable
Securities; provided, however, that in no event shall the obligations of any
holder of Registrable Securities be materially increased or the rights of any
Stockholder be adversely affected (without similarly adversely affecting the
rights

 

24

 

of all Stockholders), except upon the written
consent of such holder. Notwithstanding the foregoing, a waiver or consent to
depart from the provisions hereof with respect to a matter that relates
exclusively to the rights of holders of Registrable Securities whose securities
are being sold pursuant to a Registration Statement and that does not directly
or indirectly affect the rights of other holders of Registrable Securities may
be given by holders of at least two-thirds of the Registrable Securities being
sold by such holders pursuant to such Registration Statement.

 

(b)        Notices.  All notices, requests, consents
and other communications hereunder to any party shall be in writing and shall
be delivered in person or sent by facsimile (provided a copy is thereafter
promptly delivered as provided in this subsection (b)) or nationally recognized
overnight courier, addressed to such party at the address or facsimile number
set forth in WIND’s records in the case of a Stockholder, or below with respect
to WIND, or such other address or facsimile number as may hereafter be
designated in writing by such party to the other parties:

 

If to WIND, to:

 

First Wind Holdings Inc.

179 Lincoln Street, Suite 500

Boston, MA  02111

Telephone: 617-960-2888

Facsimile: 617-960-2889

Attention: General Counsel

 

with a copy (which shall not constitute notice to
WIND) to:

 

Davis Polk & Wardwell LLP

450 Lexington Avenue

New York, NY  10017

Telephone: 212-450-4565

Facsimile: 212-701-5565

Attention: Joseph A. Hall

 

Each such notice or other communication shall be
deemed received on the date sent to the recipient thereof in accordance with
this subsection (b), if sent prior to 5:00 p.m. in the place of receipt and
such day is a Business Day; otherwise, such Notice shall be deemed not to have
been received until the next succeeding Business Day.

 

(c)        Successors
and Assigns; Stockholder Status.  This Agreement shall inure to the benefit of
the recipients of a Partner Distribution (provided that in connection with a
Partner Distribution a single Person shall have been appointed

 

25

 

and duly authorized to serve as agent on behalf of
all such transferees with respect to all matters that are the subject of this
Agreement, including the giving and receiving of notice on behalf of such
transferees) and shall inure to the benefit of and be binding upon the
successors and permitted assigns of each of the parties, including subsequent
holders (each, a “Subsequent Holder”)
of Registrable Securities that, alone or taken together with their Affiliates,
acquired, directly or indirectly, from a Stockholder or Stockholders, not less
than 20% of the Registrable Securities held by such Stockholder or Stockholders
(together with their Affiliates) as of the date hereof (each, a “Permitted Transferee”); provided, however, that such
Permitted Transferee shall not be entitled to such rights unless such Permitted
Transferee shall have executed and delivered to WIND an Addendum Agreement
substantially in the form of Exhibit A hereto promptly following the
acquisition of such Registrable Securities, in which event such Permitted
Transferee shall be deemed a Stockholder for purposes of this Agreement and
Annex A shall be updated by WIND accordingly, and provided further that no such
Subsequent Holder shall have any rights under this Agreement at such time as such
Subsequent Holder’s Registrable Securities are freely tradable without volume
limitations under Rule 144.  Nothing
expressed or mentioned in this Agreement is intended or shall be construed to
give any Person other than the parties hereto and their respective Permitted
Transferees any legal or equitable right, remedy or claim under, in or in
respect of this Agreement or any provision herein contained.  It is understood and agreed that no
assignment or transfer by any of D. E. Shaw, Madison Dearborn, UPC Holding or
Alberta of any of the Demand Registrations to which it is entitled pursuant to
the third paragraph of Section 2(a) will result in an increase in the
number of Demand Registrations (that do not constitute “shelf” registrations)
to which WIND is otherwise subject.

 

(d)   Counterparts.  This Agreement may be executed
in two or more counterparts, each of which shall be deemed an original, but all
of which together shall constitute one and the same instrument.

 

(e)   Headings.  The section and paragraph headings
contained in this Agreement are for reference purposes only and shall not
affect in any way the meaning or interpretation of this Agreement.

 

(f)    Governing
Law. 
This Agreement and the rights of the parties hereunder will be governed
by, construed and enforced in accordance with the laws of the State of New York
without regard to conflicts of law principles thereof.

 

(g)   Severability.  If any term, provision,
covenant or restriction of this Agreement is held by a court of competent
jurisdiction to be invalid, illegal, void or unenforceable, the remainder of
the terms, provisions, covenants and restrictions set forth herein shall remain
in full force and effect and shall in no way be affected, impaired or
invalidated, and the parties hereto shall use their 

 

26

 

commercially reasonable efforts to find and employ
an alternative means to achieve the same or substantially the same result as
that contemplated by such term, provision, covenant or restriction. It is
hereby stipulated and declared to be the intention of the parties that they
would have executed the remaining terms, provisions, covenants ‘ and
restrictions without including any of such that may be hereafter declared
invalid, illegal, void or unenforceable.

 

(h)   Entire
Agreement.  This Agreement is intended by the parties as
a final expression of their agreement, and is intended to be a complete and
exclusive statement of the agreement and understanding of the parties hereto in
respect of the subject matter contained herein. There are no restrictions,
promises, warranties or undertakings, other than those set forth or referred to
herein, with respect to the registration rights granted by WIND with respect to
Registrable Securities. This Agreement supersedes all prior agreements and
understandings between the parties with respect to such subject matter.

 

(i)    Securities
Held by WIND or its Subsidiaries.
Whenever the consent or approval of holders of a specified percentage of
Registrable Securities is required hereunder, Registrable Securities held by
WIND or its subsidiaries shall not be counted in determining whether such
consent or approval was given by the holders of such required percentage.

 

(j)    Termination. This Agreement shall terminate on the date when no Registrable
Securities remain outstanding; provided that Section 6 and Section 7
shall survive any termination.

 

(k)   Specific
Performance. The parties hereto
recognize and agree that money damages may be insufficient to compensate the
holders of any Registrable Securities for breaches by WIND of the terms hereof
and, consequently, that the equitable remedy of specific performance of the
terms hereof will be available in the event of any such breach.

 

(l)    Consent
to Jurisdiction. The parties hereto
agree that any suit, action or proceeding seeking to enforce any provision of,
or based on any matter arising out of or in connection with, this Agreement or
the transactions contemplated hereby shall be brought and maintained
exclusively in the United States District Court for the Southern District of
New York or the Supreme Court of the State of New York located in the County of
New York.  Each of the parties
irrevocably consents to submit to the personal jurisdiction of such courts (and
of the appropriate appellate courts therefrom) in any such suit, action or
proceeding.  Process in any such suit,
action or proceeding in such courts may be served, and shall be effective, on
any party anywhere in the world, whether within or without the jurisdiction of
any such court, by any of the methods specified for the giving of notices
pursuant to subsection (b) of this Section 11.  Each of the parties irrevocably waives, to
the fullest extent permitted by law, any objection or 

 

27

 

defense that it may now or hereafter have based on
venue, inconvenience of forum, the lack of personal jurisdiction and the
adequacy of service of process (as long as the party was provided notice in
accordance with the methods specified in subsection (b) of this Section 11)
in any suit, action or proceeding brought in such courts.

 

(m)  EACH
OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN
ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS
AGREEMENT.

 

[Signature pages follow]

 

28

 

IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be duly executed by their respective authorized
representatives as of the day and year first above written.

 

 

	
   

  	
  FIRST WIND HOLDINGS INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  D. E. SHAW MWP ACQUISITION HOLDINGS, L.L.C.

  
	
   

  	
  By:

  	
  D. E. SHAW & CO., L.L.C., AS MANAGER

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  D. E. SHAW MWPH ACQUISITION HOLDINGS, L.L.C.

  
	
   

  	
  By:

  	
  D. E. SHAW & CO., L.L.C., AS MANAGER

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  MADISON DEARBORN CAPITAL PARTNERS IV, L.P.

  
	
   

  	
  By:

  	
  MADISON DEARBORN PARTNERS IV, L.P.

  
	
   

  	
  Its:

  	
  GENERAL PARTNER

  
	
   

  	
  By:

  	
  MADISON DEARBORN CAPITAL PARTNERS, LLC

  
	
   

  	
  Its:

  	
  GENERAL PARTNER

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
  Title:

  

 

29

 

	
   

  	
   

  	
  [NAME]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
   

  	
  Title:

  

 

30

 

Annex
A

 

STOCKHOLDERS

 

 

Exhibit A

 

ADDENDUM AGREEMENT

 

This ADDENDUM AGREEMENT is made this
     day of
                        ,
20    , by and between
                                    
(the “New Stockholder”) and First Wind
Holdings Inc. (“WIND”), pursuant to a Registration
Rights Agreement (as amended from time to time, the “Agreement”)
dated as of           , 2010,
by and among WIND and the Stockholders.

 

Capitalized terms used herein but not otherwise
defined herein shall have the meanings ascribed to them in the Agreement.

 

W I T N E S S E T
H:

 

WHEREAS, WIND has agreed to provide registration
rights with respect to the Registrable Securities as set forth in the
Agreement;

 

WHEREAS, the New Stockholder has acquired
Registrable Securities directly or indirectly from a Stockholder; and

 

WHEREAS, WIND and the Stockholders have required in
the Agreement that all persons desiring registration rights must enter into an
Addendum Agreement binding the New Stockholder to the Agreement to the same
extent as if it were an original party thereto;

 

NOW, THEREFORE, in consideration of the mutual
promises of the parties, the New Stockholder acknowledges that it has received
and read the Agreement and that the New Stockholder shall be bound by, and
shall have the benefit of, all of the terms and conditions set out in the
Agreement to the same extent as if it were a Stockholder originally party to
the Agreement.

 

	
   

  	
  [NAME]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
  Address for Notices:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Facsimile No.

  

 

 

32

 

AGREED TO pursuant to Section 11(c) of
the Agreement.

 

	
   

  	
  FIRST WIND HOLDINGS INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

33

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}]]