Document:

Confirmation of Forward Sale Transaction

 Exhibit 10.1 

GOLDMAN, SACHS & CO. | 200 WEST STREET | NEW YORK, NEW YORK 10282-2198 | TEL: (212) 902-1000 

Opening Transaction 
  

			
	To:	  	The Bank of New York Mellon Corporation
		
	A/C:	  	042200386
		
	From:	  	Goldman, Sachs &Co.
		
	Re:	  	Issuer Share Forward Sale Transaction
		
	Ref. No:	  	SDB4031862275
		
	Date:	  	June 3, 2010

 Dear Sir(s): 

The purpose of this communication (this “Confirmation”) is to set forth the terms and conditions of the
above-referenced transaction entered into on the Trade Date specified below (the “Transaction”) between Goldman, Sachs &Co. (“GS&Co.”) and The Bank of New York Mellon Corporation
(“Counterparty”). This communication constitutes a “Confirmation” as referred to in the ISDA Form specified below. This Confirmation is a confirmation for purposes of Rule 10b-10 promulgated under the Securities Exchange
Act of 1934, as amended (the “Exchange Act”).  
  

	1.	This Confirmation is subject to, and incorporates, the 2002 ISDA Equity Derivatives Definitions (the “Equity Definitions”), as published by the
International Swaps and Derivatives Association, Inc. (“ISDA”). In the event of any inconsistency between the Equity Definitions and this Confirmation, this Confirmation will govern. For purposes of the Equity Definitions, the
Transaction will be deemed to be a Share Forward Transaction. 

 This Confirmation shall supplement, form a part
of and be subject to an agreement (the “Agreement”) in the form of the 1992 ISDA Master Agreement (Multicurrency—Cross Border) (the “ISDA Form”), as published by ISDA, as if GS&Co. and Counterparty had
executed the ISDA Form on the date hereof (but without any Schedule except for (i) the election of Second Method and Loss and US Dollars (“USD”) as the Termination Currency, and (ii) the election that the “Cross
Default” provisions of Section 5(a)(vi) shall apply to Counterparty and GS&Co., provided that (x) the phrase “or becoming capable at such time of being declared” shall be deleted from clause (1) of such
Section 5(a)(vi); and (y) the following language shall be added to the end thereof: “Notwithstanding the foregoing, a default under subsection (2) hereof shall not constitute an Event of Default if (i) the default was caused
solely by error or omission of an administrative or operational nature; (ii) funds were available to enable the party to make the payment when due; and (iii) the payment is made within two Local Business Days of such party’s receipt
of written notice of its failure to pay.” with “Specified Indebtedness” as defined in Section 14 of the Agreement and a “Threshold Amount” of USD50 million (or its equivalent in another currency)). All provisions
contained in the Agreement are incorporated into and shall govern this Confirmation except as expressly modified below. This Confirmation evidences a complete and binding agreement between GS&Co. and Counterparty as to the terms of the
Transaction and replaces any previous agreement between the parties with respect to the subject matter hereof. 
 The
Transaction hereunder shall be the sole Transaction under the Agreement. If there exists any ISDA Master Agreement between GS&Co. or any of its affiliates, including The Goldman Sachs Group, Inc. (collectively, “Goldman Sachs”)
and Counterparty or any confirmation or other agreement between Goldman Sachs and Counterparty pursuant to which an ISDA Master Agreement is deemed to exist between Goldman Sachs and Counterparty, then notwithstanding anything to the contrary in
such ISDA Master Agreement, such confirmation or 

 
agreement or any other agreement to which Goldman Sachs and Counterparty are parties, the Transaction shall not be considered a Transaction under, or otherwise governed by, such existing or
deemed ISDA Master Agreement. 
  

	2.	The terms of the particular Transaction to which this Confirmation relates are as follows: 

General Terms: 
  

			
	 Trade Date:
	  	June 3, 2010
		
	 Effective Date:
	  	June 9, 2010 (the “Scheduled Effective Date”), or such later date on which the conditions set forth in Section 3 of this Confirmation shall have been satisfied.

		
	 Buyer:
	  	GS&Co.
		
	 Seller:
	  	Counterparty
		
	 Maturity Date:
	  	November 1, 2010 (or, if such date is not a Scheduled Trading Day, the next following Scheduled Trading Day); provided that if the Maturity Date is a Disrupted Day, then the
Maturity Date shall be the first succeeding Scheduled Trading Day that is not a Disrupted Day.
		
	 Shares:
	  	The shares of common stock, $0.01 par value, of Counterparty (Ticker: “BK”)
		
	 Number of Shares:
	  	Initially, 25,925,925 as shall be reduced on each Relevant Settlement Date (as defined under “Settlement Terms” below) by the number of Settlement Shares to which the
related Valuation Date relates.
		
	 Settlement Currency:
	  	USD
		
	 Exchange:
	  	The New York Stock Exchange
		
	 Related Exchange:
	  	All Exchanges
		
	 Prepayment:
	  	Not Applicable
		
	 Variable Obligation:
	  	Not Applicable
		
	 Forward Price:
	  	On the Scheduled Effective Date, USD 26.19 (the “Initial Forward Price”), and on any day thereafter, the product of the Forward Price on the immediately
preceding calendar day and
		
		  	1 + the Daily Rate * (1/365);
		
		  	 provided that the Forward Price on each Forward Price Reduction Date shall be the Forward Price otherwise in effect on such date
minus the Forward Price Reduction Amount for such Forward Price Reduction Date

		
	 Daily Rate:
	  	For any day, the USD-Federal Funds Rate minus 0.25%.
		
	 USD-Federal Funds Rate:
	  	For any day, the rate set forth for such day opposite the caption “Federal funds” as displayed on the page “FedsOpen <Index> <GO>” on the
BLOOMBERG Professional Service, or any successor page;

  

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		  	provided that if no such rate appears for such day on such page, USD-Federal Funds Rate for such day shall be such rate for the immediately preceding day for which such a
rate appears.
		
	Forward Price Reduction Dates:	  	Each of July 30, 2010 and October 29, 2010.
		
	Forward Price Reduction Amount:	  	For each Forward Price Reduction Date, the Forward Price Reduction Amount set forth opposite such date on Annex B.
		
	Valuation:	  	
		
	Valuation Date:	  	For any Settlement (as defined below), if Physical Settlement is applicable, as designated in the relevant Settlement Notice (as defined below); or if Cash Settlement or Net
Share Settlement is applicable, the last Unwind Date for such Settlement. Section 6.6 of the Equity Definitions shall not apply to any Valuation Date.
		
	Unwind Dates:	  	For any Cash Settlement or Net Share Settlement, each day on which GS&Co. (or its agent or affiliate) purchases Shares in the market in connection with such Settlement,
starting on the First Unwind Date for such Settlement.
		
	First Unwind Date:	  	For any Cash Settlement or Net Share Settlement, as designated in the relevant Settlement Notice.
		
	Unwind Period:	  	For any Cash Settlement or Net Share Settlement, the period starting on the First Unwind Date for such Settlement and ending on the Valuation Date for such
Settlement.
		
	Settlement Terms:	  	
		
	Settlement:	  	Any Physical Settlement, Cash Settlement or Net Share Settlement of all or any portion of the Transaction.
		
	Settlement Notice:	  	Subject to “Early Valuation” below, Counterparty may elect to effect a Settlement of all or any portion of the Transaction by designating one or more Scheduled Trading
Days following the Effective Date and on or prior to the Maturity Date to be Valuation Dates (or, with respect to Cash Settlements or Net Share Settlements, First Unwind Dates, each of which First Unwind Dates shall occur no later than the 20th
Scheduled Trading Day immediately preceding the Maturity Date) in a written notice to GS&Co. delivered no later than the applicable Settlement Method Election Date, which notice shall also specify (i) the number of Shares (the
“Settlement Shares”) for such Settlement (not to exceed the number of Undesignated Shares as of the date of such Settlement Notice) and (ii) the Settlement Method applicable to such Settlement; provided that (A) Counterparty
may not designate a First Unwind Date for a Cash Settlement or a Net Share Settlement if, as of the date of such Settlement Notice, any Shares have been designated as Settlement Shares for a Cash Settlement or a Net Share Settlement for which the
related Relevant Settlement Date has not occurred; and (B) if the number of Undesignated Shares as of the Maturity Date is not zero, then the Maturity Date shall be a Valuation Date for a Physical Settlement and the number of Settlement Shares for
such Settlement shall be the number of Undesignated Shares as of the Maturity Date

  

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	 	  	(provided that if the Maturity Date occurs during any Unwind Period, then the provisions set
forth below opposite “Early Valuation” shall apply as if the
Maturity Date were the Early
Valuation Date).
		
	Undesignated Shares:	  	As of any date, the Number of Shares minus the number of Shares designated as Settlement Shares for Settlements for which the related Relevant Settlement Date has not
occurred.
		
	Settlement Method Election:	  	Applicable; provided that:
		
		  	(i) Net Share Settlement shall be deemed to be included as an additional settlement method under Section 7.1 of the Equity Definitions;
		
		  	(ii) Counterparty may elect Cash Settlement or Net Share Settlement only if Counterparty represents and warrants to GS&Co. in the Settlement Notice containing such election
that, as of the date of such Settlement Notice, (A) Counterparty is not aware of any material nonpublic information concerning itself or the Shares, (B) Counterparty is electing the settlement method and designating the First Unwind Date specified
in such Settlement Notice in good faith and not as part of a plan or scheme to evade compliance with Rule 10b-5 under the Exchange Act (“Rule 10b-5”) or any other provision of the federal securities laws, (C) Counterparty is not
“insolvent” (as such term is defined under Section 101(32) of the U.S. Bankruptcy Code (Title 11 of the United States Code) (the “Bankruptcy Code”)), (D) Counterparty would be able to purchase a number of Shares equal to
the greater of (x) the number of Settlement Shares designated in such Settlement Notice and (y) a number of Shares with a value as of the date of such Settlement Notice equal to the product of (I) such number of Settlement Shares and (II) the
Relevant Forward Price (or, in the case of Cash Settlement, a number of Shares equal to such number of Settlement Shares) in compliance with the laws of Counterparty’s jurisdiction of organization and (E) such election, and settlement in
accordance therewith, does not and will not violate or conflict with any law, regulation or supervisory guidance applicable to Counterparty, or any order or judgment of any court or other agency of government applicable to it or any of its assets,
and any governmental consents that are required to have been obtained by Counterparty with respect to such election or settlement have been obtained and are in full force and effect and all conditions of any such consents have been complied with;

		
		  	(iii) Notwithstanding any election to the contrary in any Settlement Notice, Physical Settlement shall be applicable:
		
		  	 (A)    to all of the Settlement Shares designated in such Settlement Notice if, on the date such
Settlement Notice is received by GS&Co., (I) the trading price per Share on the Exchange (as determined by GS&Co.) is below USD 13.09 (the “Threshold Price”) or (II) GS&Co. determines, in its sole good faith judgment,
that it would be unable to purchase a number of Shares in the market sufficient to unwind its hedge position in respect of the Transaction and satisfy its delivery obligation hereunder, if any, by the Maturity Date (x) in a manner that (A) would, if
GS&Co. were Counterparty or an affiliated purchaser of Counterparty, be subject to the safe harbor

 

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		  	 provided by Rule 10b-18(b) under the Exchange Act and (B) would not raise material risks under applicable securities laws or (y) due to the lack of
sufficient liquidity in the Shares (each, a “Trading Condition”); or

		
		  	 (B)    to all or a portion of the Settlement Shares designated in such Settlement Notice if, on any day
during the relevant Unwind Period, (I) the trading price per Share on the Exchange (as determined by GS&Co.) is below the Threshold Price or (II) GS&Co. determines, in its sole good faith judgment, that a Trading Condition has occurred, in
which case the provisions set forth below in the third paragraph opposite “Early Valuation” shall apply as if such day were the Early Valuation Date and (x) for purposes of clause (i) of such paragraph, such day shall be the last Unwind
Date of such Unwind Period and the “Unwound Shares” shall be calculated to, and including, such day and (y) for purposes of clause (ii) of such paragraph, the “Remaining Shares” shall be equal to the number of Settlement Shares
designated in such Settlement Notice minus the Unwound Shares determined in accordance with clause (x) of this sentence.

		
	Electing Party:	  	Counterparty
		
	Settlement Method Election Date:	  	(i) With respect to Cash Settlement or Net Share Settlement, the 3rd and (ii) with respect to Physical Settlement, the 4th, Scheduled Trading Day immediately preceding the
Valuation Date or First Unwind Date, as applicable.
		
	Default Settlement Method:	  	Physical Settlement
		
	Physical Settlement:	  	Notwithstanding Section 9.2(a)(i) of the Equity Definitions, on the Settlement Date, GS&Co. shall pay to Counterparty an amount equal to the Forward Price on the relevant
Valuation Date multiplied by the number of Settlement Shares for such Settlement, and Counterparty shall deliver to GS&Co. such Settlement Shares.
		
	Settlement Date:	  	The Valuation Date.
		
	Net Share Settlement:	  	On the Net Share Settlement Date, if the Net Share Settlement Amount is greater than zero, Counterparty shall deliver a number of Shares equal to the Net Share Settlement Amount
(rounded down to the nearest integer) to GS&Co., and if the Net Share Settlement Amount is less than zero, GS&Co. shall deliver a number of Shares equal to the absolute value of the Net Share Settlement Amount (rounded down to the nearest
integer) to Counterparty, in either case in accordance with Section 9.4 of the Equity Definitions, with the Net Share Settlement Date deemed to be a “Settlement Date” for purposes of such Section 9.4, and in either case plus cash in lieu
of any fractional Shares included in the Net Share Settlement Amount but not delivered due to rounding required hereby, valued at the Settlement Price.
		
	Net Share Settlement Date:	  	The date that follows the Valuation Date by one Settlement Cycle.

 

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	Net Share Settlement Amount:	  	For any Net Share Settlement, an amount equal to the Forward Cash Settlement Amount divided by the Settlement Price.
		
	Forward Cash Settlement Amount:	  	Notwithstanding Section 8.5(c) of the Equity Definitions, the Forward Cash Settlement Amount for any Cash Settlement or Net Share Settlement shall be equal to (i) the number of
Settlement Shares for such Settlement multiplied by (ii) an amount equal to (A) the Settlement Price minus (B) the Relevant Forward Price.
		
	Relevant Forward Price:	  	For any Cash Settlement or Net Share Settlement, the weighted average of the Forward Prices on each Unwind Date relating to such Settlement (weighted based on the number of
Shares purchased by GS&Co. or its agent or affiliate on each such Unwind Date in connection with such Settlement).
		
	Settlement Price:	  	For any Cash Settlement or Net Share Settlement, the weighted average price of the purchases of Shares made by GS&Co. (or its agent or affiliate) during the Unwind Period
relating to such Settlement (weighted based on the number of Shares purchased by GS&Co. or its agent or affiliate on each Unwind Date in connection with such Settlement), plus USD0.02.
		
	Unwind Activities:	  	The times and prices at which GS&Co. (or its agent or affiliate) purchases any Shares during any Unwind Period shall be at GS&Co.’s sole discretion. Without limiting
the generality of the foregoing, in the event that GS&Co. concludes, in its sole discretion, that it is appropriate with respect to any legal, regulatory or self-regulatory requirements or related policies and procedures (whether or not such
requirements, policies or procedures are imposed by law or have been voluntarily adopted by GS&Co.) (a “Regulatory Disruption”), for it to refrain from purchasing Shares on any Scheduled Trading Day that would have been an
Unwind Date but for the occurrence of a Regulatory Disruption, GS&Co. shall notify Counterparty in writing that a Regulatory Disruption has occurred on such Scheduled Trading Day without specifying (and GS&Co. shall not otherwise communicate
to Counterparty) the nature of such Regulatory Disruption, and, for the avoidance of doubt, such Scheduled Trading Day shall not be an Unwind Date; provided that GS&Co. may exercise this right to suspend only in good faith in relation to
events or circumstances that are not the result of actions of it or any of its Affiliates that are taken with the intent to avoid its obligations under the Transaction.
		
	Relevant Settlement Date:	  	For any Settlement, the Settlement Date, Cash Settlement Payment Date or Net Share Settlement Date, as the case may be.
		
	Settlement Currency:	  	USD
		
	Other Applicable Provisions:	  	To the extent GS&Co. is obligated to deliver Shares hereunder, the provisions of Sections 9.2 (last sentence only), 9.8, 9.9, 9.10 and 9.11 of the Equity Definitions will be
applicable as if “Physical Settlement” applied to the Transaction; provided that the Representation and Agreement contained in Section 9.11 of the Equity Definitions shall be modified by excluding any representations therein
relating to restrictions, obligations, limitations or requirements under applicable securities laws that exist as a result of the fact that Counterparty is the issuer of the Shares.

 

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	Share Adjustments:	  	
		
	Potential Adjustment Events:	  	An Extraordinary Dividend shall not constitute a Potential Adjustment Event.
		
	Extraordinary Dividend:	  	Any dividend or distribution on the Shares with an ex-dividend date occurring on any day following the Trade Date (other than (i) any dividend or distribution of the type
described in Section 11.2(e)(i) or Section 11.2(e)(ii)(A) of the Equity Definitions or (ii) a regular quarterly cash dividend of USD0.09 or less per Share to holders of record on each of July 30, 2010 and October 29, 2010 (or, in each case, any
later date).
		
	Method of Adjustment:	  	Calculation Agent Adjustment
		
	Extraordinary Events:	  	
		
	Extraordinary Events:	  	In lieu of the applicable provisions contained in Article 12 of the Equity Definitions, the consequences of any applicable Extraordinary Event (including, for the avoidance of
doubt, any Nationalization, Insolvency or Delisting, or any applicable Additional Disruption Event) other than a Tender Offer shall be as specified opposite “Early Valuation” below or in Section 7 hereof, as the case may be; and the
consequences of any Tender Offer shall be as specified opposite “Consequences of Tender Offers” below, unless the Calculation Agent determines that no adjustment that it could make under Section 12.3(d)(i) of the Equity Definitions will
produce a commercially reasonable result, in which case the consequence of a Tender Offer shall be as specified opposite “Early Valuation” below or in Section 7 hereof, as the case may be.
		
	Tender Offer:	  	Applicable; provided that Section 12.1(d) of the Equity Definitions shall be amended by replacing the reference to “10%” with a reference to “50%.”

		
	Consequences of Tender Offers:	  	
		
	 Share-for-Share:
	  	Modified Calculation Agent Adjustment
		
	 Share-for-Other:
	  	Modified Calculation Agent Adjustment
		
	 Share-for-Combined:
	  	Modified Calculation Agent Adjustment
		
		  	Notwithstanding any provision of Section 12.3(d) of the Equity Definitions to the contrary, in no event shall any adjustment pursuant to such Section 12.3(d) adjust either the
Number of Shares or the Initial Stock Loan Rate.
		
	Amendments to Tender Offers:	  	(i) Section 12.1(l) of the Equity Definitions shall be amended (A) by deleting the parenthetical in the fifth line thereof, (B) by replacing the word “that” in the
fifth line thereof with the words “whether or not such announcement” and (C) by adding immediately after the words “Tender Offer” in the fifth line thereof “, and any publicly announced change or amendment to such an
announcement (including the announcement of an abandonment of such intention)” and (ii) Section 12.3(d) of the

  

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	 	  	Equity Definitions shall be amended by replacing the words “Tender Offer Date” with the
words “Announcement Date.”
		
	Delisting:	  	In addition to the provisions of Section 12.6(a)(iii) of the Equity Definitions, it shall also constitute a Delisting if the Exchange is located in the United States and the
Shares are not immediately re-listed, re-traded or re-quoted on any of the New York Stock Exchange, The NASDAQ Global Select Market or The NASDAQ Global Market (or their respective successors); if the Shares are immediately re-listed, re-traded or
re-quoted on any such exchange or quotation system, such exchange or quotation system shall be deemed to be the Exchange.
		
	Change in Law:	  	Applicable, except that the words “a party to such Transaction determines in good faith” are deleted and replaced with the words “a party to such Transaction
determines, upon advice of external legal counsel and in good faith” and the words “, unless the illegality is due to an act or omission of the party seeking to elect termination of the Transaction with the intent to avoid its obligations
under the terms of the Transaction” are added immediately following the word “Transaction” in the fifth line thereof.
		
	Failure to Deliver:	  	Applicable if GS&Co. is required to deliver Shares hereunder; otherwise, Not Applicable.
		
	Hedging Disruption:	  	Not Applicable
		
	Increased Cost of Hedging:	  	Applicable; provided that clause (C) of Section 12.9(b)(vi) shall be deleted.
		
	Increased Cost of Stock Borrow:	  	Applicable; provided that clause (C) of Section 12.9(b)(v) shall be deleted. For the avoidance of doubt, in the event of a Merger Event or a Tender Offer (without giving
effect to the proviso opposite “Tender Offer” above) or an Announcement Date in respect of either, the term “rate to borrow Shares” as used in Section 12.9(a)(viii) of the Equity Definitions shall include any cost borne or amount
payable by the Hedging Party in respect of maintaining or reestablishing its hedge position, including, but not limited to, any assessment or other amount payable by the Hedging Party to a lender of Shares in respect of any merger or tender offer
premium, as applicable.
		
	 Initial Stock Loan Rate:
	  	25 basis points per annum
		
	Loss of Stock Borrow:	  	Applicable
		
	 Maximum Stock Loan Rate:
	  	200 basis points per annum
		
	Hedging Party:	  	For all applicable Additional Disruption Events, GS&Co.
		
	Determining Party:	  	For all applicable Extraordinary Events, GS&Co.
		
	Early Valuation:	  	
		
	Early Valuation:	  	Notwithstanding anything to the contrary herein, in the Agreement or in the Equity Definitions, at any time following the occurrence of a Hedging Event, an Extraordinary Dividend
or an ISDA Event, GS&Co.

  

 8 

			
		  	(or, in the case of an ISDA Event that is an Event of Default or Termination Event, the party entitled to designate an Early Termination Date in respect of such event pursuant to
Section 6 of the Agreement) shall have the right to designate any Scheduled Trading Day to be the “Early Valuation Date”, in which case the provisions set forth in this “Early Valuation” section shall apply in lieu of Section 6
of the Agreement or Article 12 of the Equity Definitions, as the case may be.
		
		  	If the Early Valuation Date occurs on a date that is not during an Unwind Period, then the Early Valuation Date shall be a Valuation Date for a Physical Settlement, and the
number of Settlement Shares for such Settlement shall be the Number of Shares on the Early Valuation Date; provided that GS&Co. may in its sole discretion elect to permit Counterparty to elect Cash Settlement or Net Share
Settlement.
		
		  	If the Early Valuation Date occurs during an Unwind Period, then (i) (A) the last Unwind Date of such Unwind Period shall be the Early Valuation Date, (B) a Settlement shall
occur in respect of such Unwind Period, and the Settlement Method elected by Counterparty in respect of such Settlement shall apply, and (C) the number of Settlement Shares for such Settlement shall be the number of Unwound Shares for such Unwind
Period on the Early Valuation Date, and (ii) (A) the Early Valuation Date shall be a Valuation Date for an additional Physical Settlement (provided that GS&Co. may in its sole discretion elect that the Settlement Method elected by
Counterparty for the Settlement described in clause (i) of this sentence shall apply) and (B) the number of Settlement Shares for such additional Settlement shall be the number of Remaining Shares on the Early Valuation Date.
		
		  	Notwithstanding the foregoing, in the case of an Early Valuation due to Nationalization, if at the time of the related Settlement Date the Shares have changed into cash or any
other property or the right to receive cash or any other property, such cash, right or other property shall be deliverable instead of such Shares.
		
	ISDA Event:	  	Any Event of Default or Termination Event that gives rise to the right of either party to designate an Early Termination Date pursuant to Section 6 of the Agreement or any Merger
Event, Tender Offer to which “Early Valuation” applies pursuant to “Extraordinary Events” above, Nationalization, Delisting, or Change in Law; provided that for purposes of the definition of ISDA Event Section 12.1(c) of
the Equity Definitions shall be amended by inserting after the word “the” in the first line thereof the phrase “date on which Counterparty obtains all of the necessary regulatory approvals for a Merger Event, or, if no such regulatory
approvals are necessary, the fifth Currency Business Day immediately prior to the expected”.
		
	Hedging Event:	  	(i) A Loss of Stock Borrow in connection with which Counterparty does not lend to or refer the Hedging Party within the required time period as provided in Section 12.9(b)(iv)(A)
or (B) of the Equity Definitions or (ii) an Increased Cost of Stock Borrow or Increased Cost of Hedging in either case in connection with which Counterparty does not either elect to amend the Transaction pursuant to Section 12.9(b)(v)(A) or Section
12.9(b)(vi)(A) of the Equity Definitions, as applicable, or pay an amount equal to the relevant Price Adjustment

  

 9 

			
	 	  	pursuant to Section 12.9(b)(v)(B) or Section 12.9(b)(vi)(B) of the Equity Definitions, as
applicable, in either case within the required time period.
		
	Remaining Shares:	  	On any day, the Number of Shares as of such day (or, if such day occurs during an Unwind Period, the Number of Shares as of such day minus the Unwound Shares for such
Unwind Period on such day).
		
	Unwound Shares:	  	For any Unwind Period on any day, the aggregate number of Shares with respect to which GS&Co. has unwound its hedge position in respect of the Transaction in connection with
the related Settlement as of such day.
		
	Acknowledgements:	  	
		
	Non-Reliance:	  	Applicable
		
	 Agreements and Acknowledgements

Regarding Hedging Activities:
	  	Applicable
		
	Additional Acknowledgements:	  	Applicable
		
	Transfer:	  	Notwithstanding anything to the contrary in the Agreement, GS&Co. may assign, transfer and set over all rights, title and interest, powers, privileges and remedies of
GS&Co. under the Transaction, in whole or in part, to an affiliate of GS&Co. whose obligation is guaranteed by The Goldman Sachs Group, Inc. without the consent of Counterparty.
		
	Calculation Agent:	  	GS&Co., which shall make all calculations, adjustments and determinations required pursuant to this Transaction in accordance with Section 1.40 of the Equity Definitions, and
such calculations, adjustments and determinations shall be binding absent manifest error. The Calculation Agent shall provide, upon request of Counterparty, a schedule of all calculations, adjustments and determinations in reasonable detail and in a
timely manner.
		
	Counterparty Payment Instructions:	  	To be provided by Counterparty
		
	GS&Co. Payment Instructions:	  	 Citibank New York
 A/C
Goldman Sachs Financial Markets, L.P.
 A/C #4077-4342

		
	 Counterparty’s Contact Details

for Purpose of Giving Notice:
	  	To be provided by Counterparty
		
	 GS&Co.’s Contact Details

for Purpose of Giving Notice:
	  	Goldman, Sachs & Co.
		  	200 West Street
		  	New York, NY 10282-2198
		  	Attention: Serge Marquie, Equity Capital Markets
		  	Telephone: 212-902-9779
		  	Facsimile: 917-977-4253
		  	Email: serge.marquie@gs.com

  

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		  	With a copy to:
		
		  	 Attention: Jared Kramer, Equity Capital Markets

		  	 Equity Capital Markets

		  	 Telephone: +1-212-902-3002

		  	 Facsimile: +1-212-256-5847

		  	 Email: jared.kramer@gs.com

		
		  	 And email notification to the following address:

		  	 Eq-derivs-notifications@am.ibd.gs.com

 

	3.	Effectiveness. 

 The
effectiveness of this Confirmation and the Transaction shall be subject to the following conditions: 
 (a) the representations
and warranties of Counterparty contained in the Underwriting Agreement dated the date hereof among Counterparty, GS&Co. and Citigroup Global Markets Inc. (the “Underwriting Agreement”) and any certificate delivered pursuant
thereto by Counterparty shall be true and correct on the Effective Date as if made as of the Effective Date; 
 (b) Counterparty
shall have performed all of the obligations required to be performed by it under the Underwriting Agreement on or prior to the Effective Date; 

(c) all of the conditions set forth in Section 9 of the Underwriting Agreement shall have been satisfied; 

(d) the Time of Delivery (as defined in the Underwriting Agreement) shall have occurred as provided in the Underwriting Agreement;

 (e) all of the representations and warranties of Counterparty hereunder and under the Agreement shall be true and correct on
the Effective Date as if made as of the Effective Date; 
 (f) Counterparty shall have performed all of the obligations required
to be performed by it hereunder and under the Agreement on or prior to the Effective Date, including without limitation its obligations under Section 6 hereof; and 

(g) Counterparty shall have delivered to GS&Co. an opinion of counsel in form and substance reasonably satisfactory to GS&Co.
with respect to the due authorization, execution and delivery by the Counterparty of this Agreement and the absence of conflicts arising from the Counterparty’s execution and delivery of this Agreement with contracts to which the Counterparty
is a party or by which it is bound or laws applicable to the Counterparty, which may be included in the opinion delivered by Counterparty to GS&Co. under the Underwriting Agreement (as defined below) provided that such opinion contains a letter
or statement that GS&Co. as counterparty to the Transaction may rely on such opinion or relevant sections thereof. 
 Notwithstanding the
foregoing or any other provision of this Confirmation, if on or prior to 5:00 p.m, New York City time, on the first New York Business Day (as defined in the Underwriting Agreement) prior to the Time of Delivery, GS&Co., in its sole judgment, is
unable to borrow and deliver for sale the Number of Shares or if, in GS&Co.’s sole judgment it would entail a stock loan cost of more than 200 basis points per annum with respect to all or any portion of the Number of Shares, the
effectiveness of this Confirmation and the Transaction shall be limited to the number of Shares GS&Co. may borrow at a cost of not more than 200 basis points per annum. 

 

	4.	Additional Mutual Representations and Warranties. In addition to the representations and warranties in the Agreement, each party represents and warrants to the
other party that it is an “eligible contract participant”, as defined in the U.S. Commodity Exchange Act (as amended), and an “accredited investor” as defined in Section 2(a)(15) of the Securities Act of 1933 (as amended)
(the “Securities Act”), and is entering into the Transaction hereunder as principal and not for the benefit of any third party. 

  

 11 

	5.	Additional Representations and Warranties of Counterparty. In addition to the representations and warranties in the Agreement and those contained elsewhere
herein, Counterparty represents and warrants to GS&Co. that: 

 (a) without limiting the generality of
Section 13.1 of the Equity Definitions, it acknowledges that GS&Co. is not making any representations or warranties with respect to the treatment of the Transaction, including without limitation ASC Topic 260, Earnings Per Share, ASC Topic
815, Derivatives and Hedging, FASB Statements 128, 133, as amended, 149 or 150, EITF 00-19, 01-6, 03-6 or 07-5, ASC Topic 480, Distinguishing Liabilities from Equity, ASC 815-40, Derivatives and Hedging – Contracts in Entity’s Own Equity
(or any successor issue statements) or under the Financial Accounting Standards Board’s Liabilities & Equity Project; 

(b) it shall not take any action to reduce or decrease the number of authorized and unissued Shares below the sum of (i) the Number
of Shares plus (ii) the total number of Shares issuable upon settlement (whether by net share settlement or otherwise) of any other transaction or agreement to which it is a party; 

(c) it will not repurchase any Shares if, immediately following such repurchase, the Number of Shares would be equal to or greater than
2.5% of the number of then-outstanding Shares and it will notify GS&Co. immediately upon the announcement or consummation of any repurchase of Shares in an amount greater than 0.5% of the number of then-outstanding Shares; 

(d) it will not elect Cash Settlement or Net Share Settlement to create actual or apparent trading activity in the Shares (or any
security convertible into or exchangeable for Shares) or to raise or depress or otherwise manipulate the price of the Shares (or any security convertible into or exchangeable for Shares) for the purpose of inducing the purchase or sale of such
security by others; 
 (e) it is entering into this Confirmation and will provide any Settlement Notice in good faith and not as
part of a plan or scheme to evade compliance with Rule 10b-5 or any other provision of the federal securities laws; it has not entered into or altered any hedging transaction relating to the Shares corresponding to or offsetting the Transaction; and
it has consulted with its own advisors as to the legal aspects of its adoption and implementation of this Confirmation under Rule 10b5-1 under the Exchange Act (“Rule 10b5-1”); 

(f) as of the Trade Date and as of the date of any payment or delivery by Counterparty or GS&Co. hereunder, it is not and will not be
“insolvent” (as such term is defined under Section 101(32) of the Bankruptcy Code); 
 (g) it is not, and after
giving effect to the transactions contemplated hereby will not be, required to register as an “investment company” as such term is defined in the Investment Company Act of 1940, as amended; and 

(h) IT UNDERSTANDS THAT THE TRANSACTION IS SUBJECT TO COMPLEX RISKS WHICH MAY ARISE WITHOUT WARNING AND MAY AT TIMES BE VOLATILE AND THAT
LOSSES MAY OCCUR QUICKLY AND IN UNANTICIPATED MAGNITUDE AND IS WILLING TO ACCEPT SUCH TERMS AND CONDITIONS AND ASSUME (FINANCIALLY AND OTHERWISE) SUCH RISKS. 
  

	6.	Additional Covenants of Counterparty. 

(a) Counterparty acknowledges and agrees that any Shares delivered by Counterparty to GS&Co. on any Settlement Date or Net Share
Settlement Date will be (i) newly issued, (ii) approved for listing or quotation on the Exchange, subject to official notice of issuance, and (iii) registered under the Exchange Act, and, when delivered by GS&Co. (or an affiliate
of GS&Co.) to securities lenders from whom GS&Co. (or an affiliate of GS&Co.) borrowed Shares in connection with hedging its exposure to the Transaction, will be freely saleable without further registration or other restrictions under
the Securities Act in the hands of those securities lenders. Accordingly, Counterparty agrees that any Shares so delivered will not bear a restrictive legend and will be deposited in, and the delivery thereof shall be effected through the facilities
of, the Clearance System. In addition, Counterparty represents and 
  

 12 

 
agrees that any such Shares shall be, upon such delivery, duly and validly authorized, issued and outstanding, fully paid and nonassessable, free of any lien, charge, claim or other encumbrance.

 (b) Counterparty agrees that Counterparty shall not enter into or alter any hedging transaction relating to the Shares
corresponding to or offsetting the Transaction. Without limiting the generality of the provisions set forth opposite the caption “Unwind Activities” in Section 2 of this Confirmation, Counterparty acknowledges that it has no right to,
and agrees that it will not seek to, control or influence GS&Co.’s decision to make any “purchases or sales” (within the meaning of Rule 10b5-1(c)(1)(i)(B)(3)) under or in connection with the Transaction, including, without
limitation, GS&Co.’s decision to enter into any hedging transactions. 
 (c) Counterparty acknowledges and agrees that
any amendment, modification, waiver or termination of this Confirmation must be effected in accordance with the requirements for the amendment or termination of a “plan” as defined in Rule 10b5-1(c). Without limiting the generality of the
foregoing, any such amendment, modification, waiver or termination shall be made in good faith and not as part of a plan or scheme to evade the prohibitions of Rule 10b-5, and no such amendment, modification or waiver shall be made at any time at
which Counterparty or any executive officer or director of Counterparty is aware of any material non-public information regarding Counterparty or the Shares. 

(d) Counterparty shall promptly provide notice thereof to GS&Co. upon public announcement of any Extraordinary Event or Potential
Adjustment Event. 
 (e) Neither Counterparty nor any of its “affiliated purchasers” (as defined by Rule 10b-18 under
the Exchange Act (“Rule 10b-18”)) shall take any action that would cause any purchases of Shares by GS&Co. or any of its affiliates in connection with any Cash Settlement or Net Share Settlement not to meet the requirements of
the safe harbor provided by Rule 10b-18 if such purchases were made by Counterparty. Without limiting the generality of the foregoing, during any Unwind Period, except with the prior written consent of GS&Co., Counterparty will not, and will
cause its affiliated purchasers (as defined in Rule 10b-18) not to, directly or indirectly (including, without limitation, by means of a derivative instrument) purchase, offer to purchase, place any bid or limit order that would effect a purchase
of, or announce or commence any tender offer relating to, any Shares (or equivalent interest, including a unit of beneficial interest in a trust or limited partnership or a depository share) or any security convertible into or exchangeable for the
Shares. 
 (f) Counterparty will not be subject to any “restricted period” (as such term is defined in Regulation M
promulgated under the Exchange Act (“Regulation M”)) in respect of Shares or any “reference security” (as such term is defined in Regulation M) with respect to the Shares during any Unwind Period. 

(g) Counterparty shall: (i) prior to the opening of trading in the Shares on any day on which Counterparty makes, or expects to be
made, any public announcement (as defined in Rule 165(f) under the Securities Act) of any Merger Transaction, notify GS&Co. of such public announcement; (ii) promptly notify GS&Co. following any such announcement that such announcement
has been made; (iii) promptly (but in any event prior to the next opening of the regular trading session on the Exchange) provide GS&Co. with written notice specifying (A) Counterparty’s average daily Rule 10b-18 Purchases (as
defined in Rule 10b-18) during the three full calendar months immediately preceding the Announcement Date that were not effected through GS&Co. or its affiliates and (B) the number of Shares purchased pursuant to the proviso in Rule
10b-18(b)(4) under the Exchange Act for the three full calendar months preceding the Announcement Date. Such written notice shall be deemed to be a certification by Counterparty to GS&Co. that such information is true and correct. In addition,
Counterparty shall promptly notify GS&Co. of the earlier to occur of the completion of such transaction and the completion of the vote by target shareholders. Counterparty acknowledges that any such notice may result in a Regulatory Disruption,
a Trading Condition or an Early Valuation or may effect the length of any ongoing Unwind Period. “Merger Transaction” means any merger, acquisition or similar transaction involving a recapitalization as contemplated by Rule
10b-18(a)(13)(iv) under the Exchange Act. 
  

	6A.	 GS Group Guarantee. GS&Co. represents and warrants to Counterparty that its obligations under this Confirmation are (and, for so long as the
Transaction is in effect will remain) fully and unconditionally guaranteed by The Goldman Sachs Group, Inc. as set forth in the General Guarantee Agreement, dated 

 

 13 

	 	
January 30, 2006, a copy of which is available at http://www.sec.gov/Archives/edgar/data/886982/000095012306001208/y16720exv10w45.htm. 

 

	7.	Termination on Bankruptcy. The parties hereto agree that, notwithstanding anything to the contrary in the Agreement or the Equity Definitions, the Transaction
constitutes a contract to issue a security of Counterparty as contemplated by Section 365(c)(2) of the Bankruptcy Code and that the Transaction and the obligations and rights of Counterparty and GS&Co. shall immediately terminate, without
the necessity of any notice, payment (whether directly, by netting or otherwise) or other action by Counterparty or GS&Co., if, on or prior to the Maturity Date, a proceeding commences with respect to Counterparty under the Bankruptcy Code
(except for any liability as a result of breach of any of the representations or warranties provided by Counterparty in Section 4 or Section 5 above). 

 

	8.	Additional Provisions. 

(a) GS&Co. acknowledges and agrees that Counterparty’s obligations under the Transaction are not secured by any collateral and
that this Confirmation is not intended to convey to GS&Co. rights with respect to the transactions contemplated hereby that are senior to the claims of common stockholders in any U.S. bankruptcy proceedings of Counterparty; provided that
nothing herein shall limit or shall be deemed to limit GS&Co.’s right to pursue remedies in the event of a breach by Counterparty of its obligations and agreements with respect to this Confirmation or the Agreement; provided further
that nothing herein shall limit or shall be deemed to limit GS&Co.’s rights in respect of any transaction other than the Transaction. 

(b) [Reserved] 

(c) Notwithstanding any other provision of the Agreement or this Confirmation, in no event will Counterparty be required to deliver in
the aggregate in respect of all Settlement Dates, Net Share Settlement Dates or other dates on which Shares are delivered in respect of any amount owed under this Agreement a number of Shares greater than 51,851,850 Shares (as adjusted for stock
splits and similar events) (the “Capped Number”). Counterparty represents and warrants to GS&Co. (which representation and warranty shall be deemed to be repeated on each day that the Transaction is outstanding) that the Capped
Number is equal to or less than the number of authorized but unissued Shares that are not reserved for future issuance in connection with transactions in the Shares (other than the Transaction) on the date of the determination of the Capped Number
(such Shares, the “Available Shares”). In the event Counterparty shall not have delivered the full number of Shares otherwise deliverable as a result of this Section 8(c) (the resulting deficit, the “Deficit
Shares”), Counterparty shall be continually obligated to deliver Shares, from time to time until the full number of Deficit Shares have been delivered pursuant to this paragraph, when, and to the extent, that (A) Shares are
repurchased, acquired or otherwise received by Counterparty or any of its subsidiaries after the Trade Date (whether or not in exchange for cash, fair value or any other consideration), (B) authorized and unissued Shares reserved for issuance
in respect of other transactions prior to such date which prior to the relevant date become no longer so reserved and (C) Counterparty additionally authorizes any unissued Shares that are not reserved for other transactions (such events as set
forth in clauses (A), (B) and (C) above, collectively, the “Share Issuance Events”). Counterparty shall promptly notify GS&Co. of the occurrence of any of the Share Issuance Events (including the number of Shares
subject to clause (A), (B) or (C) and the corresponding number of Shares to be delivered) and, as promptly as reasonably practicable, deliver such Shares thereafter. Counterparty shall not, until Counterparty’s obligations under the
Transaction have been satisfied in full, use any Shares that become available for potential delivery to GS&Co. as a result of any Share Issuance Event for the settlement or satisfaction of any transaction or obligation other than the Transaction
or reserve any such Shares for future issuance for any purpose other than to satisfy Counterparty’s obligations to GS&Co. under the Transaction. 

(d) The parties intend for this Confirmation to constitute a “Contract” as described in the letter dated October 6, 2003
submitted on behalf of GS&Co. to Paula Dubberly of the staff of the Securities and Exchange Commission (the “Staff”) to which the Staff responded in an interpretive letter dated October 9, 2003. 

(e) The parties intend for this contract (taking into account purchases of Shares in connection with any Cash Settlement or Net Share
Settlement) to comply with the requirements of Rule 10b5-1(c)(1)(i)(A) under the 
  

 14 

 
Exchange Act and for this Confirmation to constitute a binding contract or instruction satisfying the requirements of 10b5-1(c) and to be interpreted to comply with the requirements of Rule
10b5-1(c). 
 (f) Notwithstanding any provisions of the Agreement, all communications relating to the Transaction or the
Agreement shall be transmitted exclusively through GS&Co. at 200 West Street, New York, New York 10282-2198, Telephone No. (212) 902-1981, Facsimile No. (212) 428-1980/1983. 

 

	9.	Indemnification. Counterparty agrees to indemnify and hold harmless GS&Co., its affiliates and its assignees and their respective directors, officers,
employees, agents and controlling persons (GS&Co. and each such person being an “Indemnified Party”) from and against any and all losses (but not including financial losses to an Indemnified Party relating to the economic terms
of the Transaction provided that the Counterparty performs its obligations under this Confirmation in accordance with its terms), claims, damages and liabilities (or actions in respect thereof), joint or several, incurred by or asserted against such
Indemnified Party arising out of, in connection with, or relating to, the execution or delivery of this Confirmation, the performance by the parties hereto of their respective obligations under the Transaction, any breach of any covenant or
representation made by Counterparty in this Confirmation or the Agreement or the consummation of the transactions contemplated hereby. Counterparty will not be liable under the foregoing indemnification provision to the extent that any loss, claim,
damage, liability or expense is found in a nonappealable judgment by a court of competent jurisdiction to have resulted from GS&Co.’s willful misconduct, gross negligence or bad faith in performing the services that are subject of the
Transaction. If for any reason the foregoing indemnification is unavailable to any Indemnified Party or insufficient to hold harmless any Indemnified Party, then Counterparty shall contribute, to the maximum extent permitted by law, to the amount
paid or payable by the Indemnified Party as a result of such loss, claim, damage or liability. In addition, Counterparty will reimburse any Indemnified Party for all expenses (including reasonable counsel fees and expenses) as they are incurred in
connection with the investigation of, preparation for or defense or settlement of any pending or threatened claim or any action, suit or proceeding arising therefrom, whether or not such Indemnified Party is a party thereto and whether or not such
claim, action, suit or proceeding is initiated or brought by or on behalf of Counterparty. Counterparty also agrees that no Indemnified Party shall have any liability to Counterparty or any person asserting claims on behalf of or in right of
Counterparty in connection with or as a result of any matter referred to in this Confirmation except to the extent that any losses, claims, damages, liabilities or expenses incurred by Counterparty result from the gross negligence, willful
misconduct or bad faith of the Indemnified Party. The provisions of this Section 9 shall survive the completion of the Transaction contemplated by this Confirmation and any assignment and/or delegation of the Transaction made pursuant to the
Agreement or this Confirmation shall inure to the benefit of any permitted assignee of GS&Co. 

  

	10.	 Beneficial Ownership. Notwithstanding anything to the contrary in the Agreement or this Confirmation, in no event shall GS&Co. be entitled
to receive, or be deemed to receive, Shares to the extent that, upon such receipt of such Shares, (i) the “beneficial ownership” (within the meaning of Section 13 of the Exchange Act and the rules promulgated thereunder) of
Shares by GS&Co., any of its affiliates’ business units subject to aggregation with GS&Co. for purposes of the “beneficial ownership” test under Section 13 of the Exchange Act and all persons who may form a
“group” (within the meaning of Rule 13d-5(b)(1) under the Exchange Act) with GS&Co. with respect to “beneficial ownership” of any Shares (collectively, “GS Group”) would be equal to or greater than 4.5% of
the outstanding Shares or (ii) GS&Co., GS Group or any person whose ownership position would be aggregated with that of GS&Co. or GS Group (GS&Co., GS Group or any such person, a “GS Person”) under Section 203
of the Delaware General Corporation Law (the “DGCL Takeover Statute”) or any state or federal bank holding company or banking laws, or other federal, state or local laws, regulations or regulatory orders applicable to ownership of
Shares (“Applicable Laws”), would own, beneficially own, constructively own, control, hold the power to vote or otherwise meet a relevant definition of ownership in excess of a number of Shares equal to (x) the lesser of
(A) the maximum number of Share that would be permitted under Applicable Laws and (B) the number of Shares that would give rise to reporting or registration obligations or other requirements (including obtaining prior approval by a state
or federal regulator, such as a state or federal banking regulator) of a GS Person under Applicable Laws (including, without limitation, “interested stockholder” or “acquiring person” status under the DGCL Takeover Statute) and
with respect to which such requirements have not been met or the relevant approval has not been received or that would give rise to any consequences under 

 

 15 

	 	
the constitutive documents of Counterparty or any contract or agreement to which Counterparty is a party, in each case minus (y) 1% of the number of Shares outstanding on the date of
determination (such condition described in clause (ii), an “Excess Regulatory Ownership Position”). If any delivery owed to GS&Co. hereunder is not made, in whole or in part, as a result of this provision, Counterparty’s
obligation to make such delivery shall not be extinguished and Counterparty shall make such delivery as promptly as practicable after, but in no event later than one Exchange Business Day after, GS&Co. gives notice to Counterparty that such
delivery would not result in (x) GS Group directly or indirectly so beneficially owning in excess of 4.5% of the outstanding Shares and (y) the occurrence of an Excess Regulatory Ownership Position. 

 

	11.	Non-Confidentiality. The parties hereby agree that (i) effective from the date of commencement of discussions concerning the Transaction, Counterparty and
each of its employees, representatives, or other agents may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of the Transaction and all materials of any kind, including opinions or other tax
analyses, provided by GS&Co. and its affiliates to Counterparty relating to such tax treatment and tax structure; provided that the foregoing does not constitute an authorization to disclose the identity of GS&Co. or its affiliates,
agents or advisers, or, except to the extent relating to such tax structure or tax treatment, any specific pricing terms or commercial or financial information, and (ii) GS&Co. does not assert any claim of proprietary ownership in respect
of any description contained herein or therein relating to the use of any entities, plans or arrangements to give rise to a particular United States federal income tax treatment for Counterparty. 

 

	12.	Restricted Shares. If Counterparty is unable to comply with the covenant of Counterparty contained in Section 6 above or GS&Co. otherwise determines in
its reasonable opinion that any Shares to be delivered to GS&Co. by Counterparty may not be freely returned by GS&Co. to securities lenders as described in the covenant of Counterparty contained in Section 6 above, then delivery of any
such Settlement Shares (the “Unregistered Settlement Shares”) shall be affected pursuant to Annex A hereto, unless waived by GS&Co. 

  

	13.	Agreements and Acknowledgments of Goldman Sachs. Goldman Sachs acknowledges and agrees that, except in the case of a Private Placement Settlement, Goldman Sachs
shall use any Shares delivered by Counterparty to Goldman Sachs on any Settlement Date to return to securities lenders to close out borrowings created by Goldman Sachs in connection with its hedging activities related to exposure under this
Transaction or otherwise in compliance with applicable law. 

  

	14.	Governing Law. Notwithstanding anything to the contrary in the Agreement, the Agreement, this Confirmation and all matters arising in connection with the
Agreement and this Confirmation shall be governed by, and construed and enforced in accordance with, the laws of the State of New York (without reference to its choice of laws doctrine other than Title 14 of Article 5 of the New York General
Obligations Law). 

  

	15.	No Set-Off. Each party waives any and all rights it may have to set-off delivery or payment obligations it owes to the other party under the Transaction against
any delivery or payment obligations owed to it by the other party, whether arising under the Agreement, under any other agreement between parties hereto, by operation of law or otherwise. 

 

	16.	Staggered Settlement. Notwithstanding anything to the contrary herein, GS&Co. may, by prior notice to Counterparty, satisfy its obligation to deliver any
Shares or other securities on any date due (an “Original Delivery Date”) by making separate deliveries of Shares or such securities, as the case may be, at more than one time on or prior to such Original Delivery Date, so long as
the aggregate number of Shares and other securities so delivered on or prior to such Original Delivery Date is equal to the number required to be delivered on such Original Delivery Date. 

 

	17.	Arbitration. 

  

 16 

 (a) All parties to this Confirmation are giving up the right to sue each other in court,
including the right to a trial by jury, except as provided by the rules of the arbitration forum in which a claim is filed. 

(b) Arbitration awards are generally final and binding; a party’s ability to have a court reverse or modify an arbitration award
is very limited. 
 (c) The ability of the parties to obtain documents, witness statements and other discovery is
generally more limited in arbitration than in court proceedings. 
 (d) The arbitrators do not have to explain the
reason(s) for their award. 
 (e) The panel of arbitrators will typically include a minority of arbitrators who were or
are affiliated with the securities industry, unless Counterparty is a member of the organization sponsoring the arbitration facility, in which case all arbitrators may be affiliated with the securities industry. 

(f) The rules of some arbitration forums may impose time limits for bringing a claim in arbitration. In some cases, a claim that is
ineligible for arbitration may be brought in court. 
 (g) The rules of the arbitration forum in which the claim is
filed, and any amendments thereto, shall be incorporated into this Confirmation. 
 (h) Counterparty agrees that any and
all controversies that may arise between Counterparty and GS&Co. out of or relating to the Agreement or any Transaction hereunder shall be determined by arbitration conducted before the FINRA Dispute Resolution (“FINRA-DR”), or, if the
FINRA-DR declines to hear the matter, before the American Arbitration Association, in accordance with their arbitration rules then in force. The award of the arbitrator shall be final, and judgment upon the award rendered may be entered in any
court, state or federal, having jurisdiction. 
 (i) No person shall bring a putative or certified class action to
arbitration, nor seek to enforce any pre-dispute arbitration agreement against any person who has initiated in court a putative class action or who is a member of a putative class who has not opted out of the class with respect to any claims
encompassed by the putative class action until: (i) the class certification is denied; (ii) the class is decertified; or (iii) Counterparty is excluded from the class by the court. 

(j) Such forbearance to enforce an agreement to arbitrate shall not constitute a waiver of any rights under this Confirmation except
to the extent stated herein. 
  

	18.	Counterparts. This Confirmation may be executed in any number of counterparts, all of which shall constitute one and the same instrument, and any party hereto
may execute this Confirmation by signing and delivering one or more counterparts. 

  

 17 

 Counterparty hereby agrees (a) to check this Confirmation carefully and immediately
upon receipt so that errors or discrepancies can be promptly identified and rectified and (b) to confirm that the foregoing (in the exact form provided by GS&Co.) correctly sets forth the terms of the agreement between GS&Co. and
Counterparty with respect to the Transaction, by manually signing this Confirmation or this page hereof as evidence of agreement to such terms and providing the other information requested herein and immediately returning an executed copy to Equity
Derivatives Documentation Department, Facsimile No. 212-428-1980/83. 
  

					
	Yours faithfully,
	
	GOLDMAN SACHS & CO.
		
	By:	 	 /s/ Daniel Kopper

		 	Name: Daniel Kopper
		 	Title: Vice President

 Agreed and accepted
by: 
 THE BANK OF NEW YORK MELLON CORPORATION 
  

			
	By:	 	 /s/ Thomas P. Gibbons

		 	Name: Thomas P. Gibbons
		 	Title: Chief Financial Officer

 ANNEX A 

PRIVATE PLACEMENT PROCEDURES 

If Counterparty delivers Unregistered Settlement Shares pursuant to Section 12 above (a “Private Placement
Settlement”), then: 
 (a) all Unregistered Settlement Shares shall be delivered to GS&Co. (or any
affiliate of GS&Co. designated by GS&Co.) pursuant to the exemption from the registration requirements of the Securities Act provided by Section 4(2) thereof; 

(b) as of or prior to the date of delivery, GS&Co. and any potential purchaser of any such shares from GS&Co. (or
any affiliate of GS&Co. designated by GS&Co.) identified by GS&Co. shall be afforded a commercially reasonable opportunity to conduct a due diligence investigation with respect to Counterparty customary in scope for private placements of
equity securities (including, without limitation, the right to have made available to them for inspection all financial and other records, pertinent corporate documents and other information reasonably requested by them); 

(c) as of the date of delivery, Counterparty shall enter into an agreement (a “Private Placement
Agreement”) with GS&Co. (or any affiliate of GS&Co. designated by GS&Co.) in connection with the private placement of such shares by Counterparty to GS&Co. (or any such affiliate) and the private resale of such shares by
GS&Co. (or any such affiliate), substantially similar to private placement purchase agreements customary for private placements of equity securities, in form and substance commercially reasonably satisfactory to GS&Co., which Private
Placement Agreement shall include, without limitation, provisions substantially similar to those contained in such private placement purchase agreements and shall provide for the payment by Counterparty of all fees and expenses in connection with
such resale, including all fees and expenses of counsel for GS&Co., and shall contain representations, warranties, covenants and agreements of Counterparty reasonably necessary or advisable to establish and maintain the availability of an
exemption from the registration requirements of the Securities Act for such resales, but shall not contain any conditions on Counterparty’s ability to deliver Shares thereunder that are outside of Counterparty’s control; and 

(d) in connection with the private placement of such shares by Counterparty to GS&Co. (or any such affiliate) and the
private resale of such shares by GS&Co. (or any such affiliate), Counterparty shall, if so requested by GS&Co., prepare, in cooperation with GS&Co., a private placement memorandum in form and substance reasonably satisfactory to
GS&Co. 
 In the case of a Private Placement Settlement, GS&Co. shall, in its good faith discretion, adjust the amount
of Unregistered Settlement Shares to be delivered to GS&Co. hereunder in a commercially reasonable manner to reflect the fact that such Unregistered Settlement Shares may not be freely returned to securities lenders by GS&Co. and may only be
saleable by GS&Co. at a discount to reflect the lack of liquidity in Unregistered Settlement Shares. 
 If Counterparty
delivers any Unregistered Settlement Shares in respect of the Transaction, Counterparty agrees that (i) such Shares may be transferred by and among GS&Co. and its affiliates and (ii) after the minimum “holding period” within
the meaning of Rule 144(d) under the Securities Act has elapsed after the applicable Settlement Date, Counterparty shall promptly remove, or cause the transfer agent for the Shares to remove, any legends referring to any transfer restrictions from
such Shares upon delivery by GS&Co. (or such affiliate of GS&Co.) to Counterparty or such transfer agent of seller’s and broker’s representation letters customarily delivered by GS&Co. or its affiliates in connection with
resales of restricted securities pursuant to Rule 144 under the Securities Act, each without any further requirement for the delivery of any certificate, consent, agreement, opinion of counsel, notice or any other document, any transfer tax stamps
or payment of any other amount or any other action by GS&Co. (or such affiliate of GS&Co.). 

 ANNEX B 

FORWARD PRICE REDUCTION AMOUNTS 
  

			
	 Forward Price Reduction Date:
	 	 Forward Price Reduction Amount:

		
	 July 30, 2010
	 	USD0.09
		
	 October 29, 2010
	 	USD0.092010 New Employee Stock Incentive Plan

 Exhibit 10.69 

 
  
  

BLUE COAT SYSTEMS, INC. 

2010 NEW EMPLOYEE 

STOCK INCENTIVE PLAN 

(As Adopted April 22, 2010) 

 TABLE OF CONTENTS 

 

					
	 	  	 	  	Page
	 ARTICLE 1.
	  	INTRODUCTION	  	1
			
	 ARTICLE 2.
	  	ADMINISTRATION	  	1
	 2.1
	  	Committee Composition	  	1
	 2.2
	  	Committee Responsibilities	  	1
			
	 ARTICLE 3.
	  	SHARES AVAILABLE FOR GRANTS	  	1
	 3.1
	  	Basic Limitation	  	1
	 3.2
	  	Shares Returned to Reserve	  	1
	 3.3
	  	Dividend Equivalents	  	1
			
	 ARTICLE 4.
	  	ELIGIBILITY	  	2
			
	 ARTICLE 5.
	  	OPTIONS	  	2
	 5.1
	  	Stock Option Agreement	  	2
	 5.2
	  	Number of Shares	  	2
	 5.3
	  	Exercise Price	  	2
	 5.4
	  	Exercisability and Term	  	2
	 5.5
	  	Modification or Assumption of Options	  	2
			
	 ARTICLE 6.
	  	PAYMENT FOR OPTION SHARES	  	2
	 6.1
	  	General Rule	  	2
	 6.2
	  	Exercise/Sale	  	2
	 6.3
	  	Other Forms of Payment	  	2
			
	 ARTICLE 7.
	  	RESTRICTED SHARES	  	3
	 7.1
	  	Restricted Stock Agreement	  	3
	 7.2
	  	Payment for Awards	  	3
	 7.3
	  	Vesting Conditions	  	3
	 7.4
	  	Voting and Dividend Rights	  	3
			
	 ARTICLE 8.
	  	STOCK UNITS	  	3
	 8.1
	  	Stock Unit Agreement	  	3
	 8.2
	  	Payment for Awards	  	3
	 8.3
	  	Vesting Conditions	  	3
	 8.4
	  	Voting and Dividend Rights	  	3
	 8.5
	  	Form and Time of Settlement of Stock Units	  	3
	 8.6
	  	Death of Recipient	  	4
	 8.7
	  	Creditors’ Rights	  	4
			
	 ARTICLE 9.
	  	CHANGE IN CONTROL.	  	4
	 9.1
	  	Effect of Change in Control	  	4
	 9.2
	  	Involuntary Termination	  	4
			
	 ARTICLE 10.
	  	PROTECTION AGAINST DILUTION	  	4
	 10.1
	  	Adjustments	  	4
	 10.2
	  	Dissolution or Liquidation	  	5
	 10.3
	  	Reorganizations	  	5

  

 i 

					
	 	  	 	  	Page
	 ARTICLE 11.
	  	LIMITATION ON RIGHTS	  	5
	 11.1
	  	Retention Rights	  	5
	 11.2
	  	Stockholders’ Rights	  	6
	 11.3
	  	Regulatory Requirements	  	6
			
	 ARTICLE 12.
	  	WITHHOLDING TAXES	  	6
	 12.1
	  	General	  	6
	 12.2
	  	Share Withholding	  	6
			
	 ARTICLE 13.
	  	LIMITATION ON PAYMENTS	  	6
	 13.1
	  	Scope of Limitation	  	6
	 13.2
	  	Basic Rule	  	6
	 13.3
	  	Reduction of Payments	  	6
	 13.4
	  	Overpayments and Underpayments	  	7
	 13.5
	  	Related Corporations	  	7
			
	 ARTICLE 14.
	  	FUTURE OF THE PLAN	  	7
	 14.1
	  	Term of the Plan	  	7
	 14.2
	  	Right to Amend or Terminate the Plan	  	7
	 14.3
	  	Effect of Amendment or Termination	  	7
	 14.4
	  	Stockholder Approval	  	7
			
	 ARTICLE 15.
	  	DEFINITIONS	  	7-10

  

 ii 

 BLUE COAT SYSTEMS, INC. 

 2010 NEW EMPLOYEE 

STOCK INCENTIVE PLAN 

ARTICLE 1. INTRODUCTION. 

The Plan was adopted by the Board effective April 22, 2010. The purpose of the Plan is to promote the long-term success of the
Company and the creation of stockholder value by (a) encouraging Employees to focus on critical long-range objectives, (b) encouraging the attraction and retention of Employees with exceptional qualifications and (c) linking Employees
directly to stockholder interests through increased stock ownership. The Plan seeks to achieve this purpose by providing for Awards in the form of Restricted Shares, Stock Units or Options (which shall be NSOs). 

The Plan is designed to attract new employees and is intended to satisfy the requirements of NASDAQ Listing Rule 5635(c). The Plan shall
be governed by, and construed in accordance with, the laws of the State of Delaware (except their choice-of-law provisions). 
 ARTICLE 2.
ADMINISTRATION. 
 2.1 Committee Composition. The Compensation Committee of the Board shall administer the Plan.
The Committee shall consist exclusively of two or more members of the Board, who shall be appointed by the Board. In addition, each member of the Committee shall meet the following requirements: 

(a) Any listing standards prescribed by the principal securities market on which the Company’s equity securities are
traded; 
 (b) Such requirements as the Securities and Exchange Commission may establish for administrators
acting under plans intended to qualify for exemption under Rule 16b-3 (or its successor) under the Exchange Act; and 

(c) Any other requirements imposed by applicable laws, regulations or rules. 

2.2 Committee Responsibilities. The Committee shall (a) select the Employees who are to receive Awards under the Plan,
(b) determine the type, number, vesting requirements and other features and conditions of such Awards, (c) interpret the Plan, (d) make all other decisions relating to the operation of the Plan and (e) carry out any other duties
delegated to it by the Board under the Plan. The Committee may adopt such rules or guidelines as it deems appropriate to implement the Plan. The Committee’s determinations under the Plan shall be final and binding on all persons. 

ARTICLE 3. SHARES AVAILABLE FOR GRANTS. 

3.1 Basic Limitation. Common Shares issued pursuant to the Plan may be authorized but unissued shares or treasury shares. The
aggregate number of Common Shares issued under the Plan shall not exceed (a) 300,000 shares plus (b) the Common Shares described in Section 3.2. The number of Common Shares that are subject to Awards outstanding at any time under the
Plan shall not exceed the number of Common Shares that then remain available for issuance under the Plan. The limitations of this Section 3.1 and Section 3.2 shall be subject to adjustment pursuant to Article 10. 

3.2 Shares Returned to Reserve. If Options or Stock Units are forfeited or terminate before being exercised or settled, then
the Common Shares subject to such Options or Stock Units shall again become available for issuance under the Plan. If Stock Units are settled, then only the number of Common Shares (if any) actually issued in settlement of such Stock Units shall
reduce the number available under Section 3.1. If Restricted Shares or Common Shares issued upon the exercise of Options are reacquired by the Company pursuant to a forfeiture provision, then such Common Shares shall again become available for
issuance under the Plan. 
 3.3 Dividend Equivalents. Any dividend equivalents paid or credited under the Plan shall
not be applied against the number of Common Shares that may be issued under the Plan, whether or not such dividend equivalents are converted into Stock Units. 
  

 1 

 ARTICLE 4. ELIGIBILITY. 

Only Employees shall be eligible for the grant of Restricted Shares, Stock Units or Options. 

ARTICLE 5. OPTIONS. 

5.1 Stock Option Agreement. Each grant of an Option under the Plan shall be evidenced by a Stock Option Agreement between the
Optionee and the Company. Such Option shall be subject to all applicable terms of the Plan and may be subject to any other terms that are not inconsistent with the Plan. The provisions of the various Stock Option Agreements entered into under the
Plan need not be identical. Options may be granted in consideration of a reduction in the Optionee’s other compensation. 

5.2 Number of Shares. Each Stock Option Agreement shall specify the number of Common Shares subject to the Option and shall
provide for the adjustment of such number in accordance with Article 10. 
 5.3 Exercise Price. Each Stock Option
Agreement shall specify the Exercise Price, which shall not be less than 100% of the Fair Market Value of a Common Share on the date of grant. 

5.4 Exercisability and Term. Each Stock Option Agreement shall specify the date or event when all or any installment of the
Option is to become exercisable. The Stock Option Agreement shall also specify the term of the Option; provided that the term of an Option shall in no event exceed 10 years from the date of grant. A Stock Option Agreement may provide for
accelerated exercisability in the event of the Optionee’s death, disability or retirement and may provide for expiration prior to the end of its term in the event of the termination of the Optionee’s Service. 

5.5 Modification or Assumption of Options. Within the limitations of the Plan, the Committee may modify, extend or assume
outstanding options or may accept the cancellation of outstanding options (whether granted by the Company or by another issuer) in return for the grant of new options for the same or a different number of shares and at the same or a different
exercise price. The foregoing notwithstanding, no modification of an Option shall, without the consent of the Optionee, alter or impair his or her rights or obligations under such Option. Notwithstanding anything in this Plan to the contrary, and
except for the adjustments provided in Article 10, neither the Committee nor any other person may decrease the exercise price for any outstanding Option after the date of grant nor cancel or allow an optionee to surrender an outstanding Option to
the Company as consideration for the grant of a new Option with a lower exercise price or the grant of another type of Award the effect of which is to reduce the exercise price of any outstanding Option. 

ARTICLE 6. PAYMENT FOR OPTION SHARES. 

6.1 General Rule. The entire Exercise Price of Common Shares issued upon exercise of Options shall be payable in cash or cash
equivalents at the time when such Common Shares are purchased, except that the Committee at its sole discretion may accept payment of the Exercise Price in any other form(s) described in this Article 6. However, if the Optionee is an executive
officer of the Company, he or she may pay the Exercise Price in a form other than cash or cash equivalents only to the extent permitted by section 13(k) of the Exchange Act. 

6.2 Exercise/Sale. With the Committee’s consent, all or any part of the Exercise Price and any withholding taxes may be
paid by delivering (on a form prescribed by the Company) an irrevocable direction to a securities broker approved by the Company to sell all or part of the Common Shares being purchased under the Plan and to deliver all or part of the sales proceeds
to the Company. 
 6.3 Other Forms of Payment. With the Committee’s consent, all or any part of the Exercise
Price and any withholding taxes may be paid in any other form that is consistent with applicable laws, regulations and rules. 
  

 2 

 ARTICLE 7. RESTRICTED SHARES. 

7.1 Restricted Stock Agreement. Each grant of Restricted Shares under the Plan shall be evidenced by a Restricted Stock
Agreement between the recipient and the Company. Such Restricted Shares shall be subject to all applicable terms of the Plan and may be subject to any other terms that are not inconsistent with the Plan. The provisions of the various Restricted
Stock Agreements entered into under the Plan need not be identical. 
 7.2 Payment for Awards. Restricted Shares may
be sold or awarded under the Plan for such consideration as the Committee may determine, including (without limitation) cash, cash equivalents, property, past services and future services. 

7.3 Vesting Conditions. Each Award of Restricted Shares shall be subject to vesting. Vesting shall occur, in full or in
installments, upon satisfaction of the conditions specified in the Restricted Stock Agreement. In no event shall vesting be at a rate faster than (a) one (1) year following the date of grant if vesting is subject to achievement of
performance goals, and (b) three (3) years following the date of grant if vesting is not subject to achievement of performance goals; provided, however, that an Award may vest in annual installments in the event it vests over multiple
years. The Committee may include among such conditions the requirement that the performance of the Company or a business unit of the Company for a specified period of one or more fiscal years equal or exceed a target determined in advance by the
Committee. The Committee shall determine such performance. A Restricted Stock Agreement may provide for accelerated vesting in the event of the Participant’s death, disability or retirement. In addition, acceleration of vesting may be required
under Section 10.3. 
 7.4 Voting and Dividend Rights. The holders of Restricted Shares awarded under the Plan
shall have the same voting rights as the Company’s other stockholders. Except as provided in Article 10, no dividends shall be paid on Restricted Shares. 

ARTICLE 8. STOCK UNITS. 

8.1 Stock Unit Agreement. Each grant of Stock Units under the Plan shall be evidenced by a Stock Unit Agreement between the
recipient and the Company. Such Stock Units shall be subject to all applicable terms of the Plan and may be subject to any other terms that are not inconsistent with the Plan. The provisions of the various Stock Unit Agreements entered into under
the Plan need not be identical. Stock Units may be granted in consideration of a reduction in the recipient’s other compensation. 

8.2 Payment for Awards. To the extent that an Award is granted in the form of Stock Units, no cash consideration shall be
required of the Award recipients. 
 8.3 Vesting Conditions. Each Award of Stock Units shall be subject to vesting.
Vesting shall occur, in full or in installments, upon satisfaction of the conditions specified in the Stock Unit Agreement, provided that in no event shall vesting be at a rate faster than one (1) year following the date of grant if vesting is
subject to achievement of performance goals and vesting shall be over a period of at least three (3) years from the date of grant if not subject to achievement of performance goals; provided, however, that an Award may vest in annual
installments in the event it vests over multiple years. The Committee may include among such conditions the requirement that the performance of the Company or a business unit of the Company for a specified period of one or more fiscal years equal or
exceed a target determined in advance by the Committee. The Committee shall determine such performance. A Stock Unit Agreement may provide for accelerated vesting in the event of the Participant’s death, disability or retirement or other
events. In addition, acceleration of vesting may be required under Section 10.3. 
 8.4 Voting and Dividend
Rights. The holders of Stock Units shall have no voting rights and, except as provided in Article 10, no right to dividends or dividend equivalents. 

8.5 Form and Time of Settlement of Stock Units. Settlement of vested Stock Units may be made in the form of (a) cash,
(b) Common Shares or (c) any combination of both, as determined by the Committee. The actual number of Stock Units eligible for settlement may be larger or smaller than the number included in the original Award, based on predetermined
performance factors. Methods of converting Stock Units into cash may include (without limitation) a method based on the average Fair 

 

 3 

 
Market Value of Common Shares over a series of trading days. Vested Stock Units may be settled in a lump sum or in installments. The distribution may occur or commence when all vesting conditions
applicable to the Stock Units have been satisfied or have lapsed, or it may be deferred to any later date. The amount of a deferred distribution may be increased by an interest factor or by dividend equivalents. Until an Award of Stock Units is
settled, the number of such Stock Units shall be subject to adjustment pursuant to Article 10. 
 8.6 Death of
Recipient. Any Stock Units Award that becomes payable after the recipient’s death shall be distributed to the recipient’s beneficiary or beneficiaries. Each recipient of a Stock Units Award under the Plan shall designate one or
more beneficiaries for this purpose by filing the prescribed form with the Company. A beneficiary designation may be changed by filing the prescribed form with the Company at any time before the Award recipient’s death. If no beneficiary was
designated or if no designated beneficiary survives the Award recipient, then any Stock Units Award that becomes payable after the recipient’s death shall be distributed to the recipient’s estate. 

8.7 Creditors’ Rights. A holder of Stock Units shall have no rights other than those of a general creditor of the
Company. Stock Units represent an unfunded and unsecured obligation of the Company, subject to the terms and conditions of the applicable Stock Unit Agreement. 

ARTICLE 9. CHANGE IN CONTROL. 

9.1 Effect of Change in Control. In the event of any Change in Control, each outstanding Award shall automatically accelerate
so that each such Award shall, immediately prior to the effective date of the Change in Control, become fully exercisable for all of the Common Shares at the time subject to such Award and may be exercised for any or all of those shares as
fully-vested Common Shares. However, an outstanding Award shall not so accelerate if and to the extent such Award is, in connection with the Change in Control, either to be continued by the Company or assumed or converted (as provided in
Section 10.3(e)) by the successor corporation (or parent thereof), or to be replaced with a comparable Award for shares of the capital stock of the successor corporation (or parent thereof). The determination of Award comparability shall be
made by the Committee, and its determination shall be final, binding and conclusive. 
 9.2 Involuntary
Termination. In addition, in the event that the Award is assumed by the successor corporation (or parent thereof) and the Participant experiences an Involuntary Termination within eighteen months following a Change in Control, each
outstanding Award shall automatically accelerate so that each such Award shall, immediately prior to the effective date of the Involuntary Termination, become fully exercisable for all of the Common Shares at the time subject to such Award and may
be exercised for any or all of those shares as fully-vested Common Shares. 
 ARTICLE 10. PROTECTION AGAINST DILUTION. 

10.1 Adjustments. In the event of a subdivision of the outstanding Common Shares, a declaration of a dividend payable in
Common Shares or a combination or consolidation of the outstanding Common Shares (by reclassification or otherwise) into a lesser number of Common Shares, corresponding adjustments shall automatically be made in each of the following: 

(a) The number of Options, Restricted Shares and Stock Units available for future Awards under Article 3; 

(b) The limitations set forth in Sections 5.2, 7.3 and 8.3; 

(c) The number of Common Shares covered by each outstanding Option; 

(d) The Exercise Price under each outstanding Option; and 

(e) The number of Stock Units included in any prior Award that has not yet been settled. 

In the event of a declaration of an extraordinary dividend payable in a form other than Common Shares in an amount that has a material
effect on the price of Common Shares, a recapitalization, a spin-off or a similar occurrence, the Committee shall make such adjustments as it, in its sole discretion, deems appropriate in one or more of the foregoing. Except as provided in this
Article 10, a Participant shall have no rights by reason of any issuance by the Company of stock of any class or securities convertible into 

 

 4 

 
stock of any class, any subdivision or consolidation of shares of stock of any class, the payment of any stock dividend or any other increase or decrease in the number of shares of stock of any
class. 
 10.2 Dissolution or Liquidation. To the extent not previously exercised or settled, Options and Stock
Units shall terminate immediately prior to the dissolution or liquidation of the Company. 
 10.3
Reorganizations. In the event that the Company is a party to a merger or consolidation, all outstanding Awards shall be subject to the agreement of merger or consolidation. Such agreement shall provide for one or more of the following:

 (a) The continuation of such outstanding Awards by the Company (if the Company is the surviving corporation).

 (b) The assumption of such outstanding Awards by the surviving corporation or its parent, provided that the
assumption of Options shall comply with section 424(a) of the Code. 
 (c) The substitution by the surviving
corporation or its parent of new awards for such outstanding Awards, provided that the substitution of Options shall comply with section 424(a) of the Code. 

(d) Full exercisability of outstanding Options and full vesting of the Common Shares subject to such Options, followed by
the cancellation of such Options. The full exercisability of such Options and full vesting of such Common Shares may be contingent on the closing of such merger or consolidation. The Optionees shall be able to exercise such Options during a period
of not less than five full business days preceding the closing date of such merger or consolidation, unless (i) a shorter period is required to permit a timely closing of such merger or consolidation and (ii) such shorter period still
offers the Optionees a reasonable opportunity to exercise such Options. Any exercise of such Options during such period may be contingent on the closing of such merger or consolidation. 

(e) The cancellation of outstanding Options and a payment to the Optionees equal to the excess of (i) the Fair Market
Value of the Common Shares subject to such Options (whether or not such Options are then exercisable or such Common Shares are then vested) as of the closing date of such merger or consolidation over (ii) their Exercise Price. Such payment
shall be made in the form of cash, cash equivalents or securities of the surviving corporation or its parent with a Fair Market Value equal to the required amount. Such payment may be made in installments and may be deferred until the date or dates
when such Options would have become exercisable or such Common Shares would have vested. Such payment may be subject to vesting based on the Optionee’s continuing Service, provided that the vesting schedule shall not be less favorable to the
Optionee than the schedule under which such Options would have become exercisable or such Common Shares would have vested. If the Exercise Price of the Common Shares subject to such Options exceeds the Fair Market Value of such Common Shares, then
such Options may be cancelled without making a payment to the Optionees. For purposes of this Subsection (e), the Fair Market Value of any security shall be determined without regard to any vesting conditions that may apply to such security.

 (f) The cancellation of outstanding Stock Units and a payment to the Participants equal to the Fair Market
Value of the Common Shares subject to such Stock Units (whether or not such Stock Units are then vested) as of the closing date of such merger or consolidation. Such payment shall be made in the form of cash, cash equivalents, or securities of the
surviving corporation or its parent with a Fair Market Value equal to the required amount. Such payment may be made in installments and may be deferred until the date or dates when such Stock Units would have vested. Such payment may be subject to
vesting based on the Participant’s continuing Service, provided that the vesting schedule shall not be less favorable to the Participant than the schedule under which such Stock Units would have vested. For purposes of this Subsection (f),
the Fair Market Value of any security shall be determined without regard to any vesting conditions that may apply to such security. 

ARTICLE 11. LIMITATION ON RIGHTS. 

11.1 Retention Rights. Neither the Plan nor any Award granted under the Plan shall be deemed to give any individual a right to
remain an Employee. The Company and its Parents, Subsidiaries and Affiliates reserve the right to terminate the Service of any Employee at any time, with or without cause, 

 

 5 

 
subject to applicable laws, the Company’s certificate of incorporation and by-laws and a written employment agreement (if any). 

11.2 Stockholders’ Rights. A Participant shall have no dividend rights, voting rights or other rights as a stockholder
with respect to any Common Shares covered by his or her Award prior to the time when a stock certificate for such Common Shares is issued or the acquisition of such Common Shares is entered upon the records of the duly authorized transfer agent of
the Company or, if applicable, the time when he or she becomes entitled to receive such Common Shares by filing any required notice of exercise and paying any required Exercise Price. No adjustment shall be made for cash dividends or other rights
for which the record date is prior to such time, except as expressly provided in the Plan. 
 11.3 Regulatory
Requirements. Any other provision of the Plan notwithstanding, the obligation of the Company to issue Common Shares under the Plan shall be subject to all applicable laws, rules and regulations and such approval by any regulatory body as
may be required. The Company reserves the right to restrict, in whole or in part, the delivery of Common Shares pursuant to any Award prior to the satisfaction of all legal requirements relating to the issuance of such Common Shares, to their
registration, qualification or listing or to an exemption from registration, qualification or listing. 
 ARTICLE 12. WITHHOLDING TAXES. 

 12.1 General. To the extent required by applicable federal, state, local or foreign law, a Participant or his or
her successor shall make arrangements satisfactory to the Company for the satisfaction of any withholding tax obligations that arise in connection with the Plan. The Company shall not be required to issue any Common Shares or make any cash payment
under the Plan until such obligations are satisfied. 
 12.2 Share Withholding. To the extent that applicable law
subjects a Participant to tax withholding obligations, the Committee may permit, and in its discretion may require, such Participant to satisfy all or part of such obligations by having the Company withhold all or a portion of any Common Shares that
otherwise would be issued to him or her. Such Common Shares shall be valued at their Fair Market Value on the date they are withheld, and the value of the amount withheld shall not exceed the minimum amount required by applicable tax laws.
Alternatively, the Committee may provide in any Award that the Participant authorizes the plan administrator to sell Common Shares that are issued under the Award in an amount sufficient, as determined by the Committee, to generate an amount that
meets the tax withholding obligation, and to pay such tax withholding to the Company. Such shares may be sold as part of a block trade with other participants in the Plan. 

ARTICLE 13. LIMITATION ON PAYMENTS. 

13.1 Scope of Limitation. This Article 13 shall apply to an Award only if the independent auditors selected for this purpose
by the Committee (the “Auditors”) determine that the after-tax value of such Award to the Participant, taking into account the effect of all federal, state and local income taxes, employment taxes and excise taxes applicable to the
Participant (including the excise tax under section 4999 of the Code), will be greater after the application of this Article 13 than it was before the application of this Article 13. If this Article 13 applies to an Award, it shall supersede
any contrary provision of the Plan or of any Award granted under the Plan. 
 13.2 Basic Rule. In the event that the
Auditors determine that any payment or transfer by the Company under the Plan to or for the benefit of a Participant (a “Payment”) would be nondeductible by the Company for federal income tax purposes because of the provisions concerning
“excess parachute payments” in section 280G of the Code, then the aggregate present value of all Payments shall be reduced (but not below zero) to the Reduced Amount. For purposes of this Article 15, the “Reduced Amount”
shall be the amount, expressed as a present value, which maximizes the aggregate present value of the Payments without causing any Payment to be nondeductible by the Company because of section 280G of the Code. 

13.3 Reduction of Payments. If the Auditors determine that any Payment would be nondeductible by the Company because of
section 280G of the Code, then the Company shall promptly give the Participant notice to that effect and a copy of the detailed calculation thereof and of the Reduced Amount, 

 

 6 

 
and the Participant may then elect, in his or her sole discretion, which and how much of the Payments shall be eliminated or reduced (as long as after such election the aggregate present value of
the Payments equals the Reduced Amount) and shall advise the Company in writing of his or her election within 10 days of receipt of notice. If no such election is made by the Participant within such 10-day period, then the Company may elect
which and how much of the Payments shall be eliminated or reduced (as long as after such election the aggregate present value of the Payments equals the Reduced Amount) and shall notify the Participant promptly of such election. For purposes of this
Article 13, present value shall be determined in accordance with section 280G(d)(4) of the Code. All determinations made by the Auditors under this Article 13 shall be binding upon the Company and the Participant and shall be made within
60 days of the date a Payment becomes payable or transferable. As promptly as practicable following such determination and the elections hereunder, the Company shall pay or transfer to or for the benefit of the Participant such amounts as are
then due to him or her under the Plan and shall promptly pay or transfer to or for the benefit of the Participant in the future such amounts as become due to him or her under the Plan. 

13.4 Overpayments and Underpayments. As a result of uncertainty in the application of section 280G of the Code at the
time of an initial determination by the Auditors hereunder, it is possible that Payments will have been made by the Company which should not have been made (an “Overpayment”) or that additional Payments which will not have been made by the
Company could have been made (an “Underpayment”), consistent in each case with the calculation of the Reduced Amount hereunder. In the event that the Auditors, based upon the assertion of a deficiency by the Internal Revenue Service
against the Company or the Participant that the Auditors believe has a high probability of success, determine that an Overpayment has been made, such Overpayment shall be treated for all purposes as a loan to the Participant that he or she shall
repay to the Company, together with interest at the applicable federal rate provided in section 7872(f)(2) of the Code; provided, however, that no amount shall be payable by the Participant to the Company if and to the extent that such payment
would not reduce the amount that is subject to taxation under section 4999 of the Code. In the event that the Auditors determine that an Underpayment has occurred, such Underpayment shall promptly be paid or transferred by the Company to or for
the benefit of the Participant, together with interest at the applicable federal rate provided in section 7872(f)(2) of the Code. 

13.5 Related Corporations. For purposes of this Article 13, the term “Company” shall include affiliated
corporations to the extent determined by the Auditors in accordance with section 280G(d)(5) of the Code. 
 ARTICLE 14. FUTURE OF THE
PLAN. 
 14.1 Term of the Plan. The Plan, as set forth herein, shall become effective on the
date of adoption. The Plan shall remain in effect until the earlier of (a) the date the Plan is terminated under Section 14.2, or (b) the
10th anniversary of the date the Board adopted the Plan.

 14.2 Right to Amend or Terminate the Plan. The Board may, at any time and for any reason, amend or terminate the
Plan. 
 14.3 Effect of Amendment or Termination. No Awards shall be granted under the Plan after the termination
thereof. The termination of the Plan, or any amendment thereof, shall not adversely affect any Award previously granted under the Plan. 

14.4 Stockholder Approval. Approval of the Company’s stockholders shall be required only to the extent required by applicable
laws, regulations or rules.  
 ARTICLE 15. DEFINITIONS. 

15.1 “Affiliate” means any entity other than a Subsidiary, if the Company and/or one or more Subsidiaries own not
less than 50% of such entity. 
 15.2 “Award” means any award of an Option, a Restricted Share or a
Stock Unit under the Plan. 
 15.3 “Board” means the Company’s Board of Directors, as constituted
from time to time. 
  

 7 

 15.4 “Cause” means: 

(a) An unauthorized use or disclosure by the Participant of the Company’s confidential information or trade secrets,
which use or disclosure causes material harm to the Company; 
 (b) A material breach by the Participant of any
agreement between the Participant and the Company; 
 (c) A material failure by the Participant to comply with
the Company’s written policies or rules; 
 (d) The Participant’s conviction of, or plea of
“guilty” or “no contest” to, a felony under the laws of the United States or any State thereof; 

(e) The Participant’s gross misconduct, including (without limitation) fraud, embezzlement or dishonesty; 

(f) A continuing failure by the Participant to perform assigned duties after receiving written notification of such
failure from the Board; or 
 (g) A failure by the Participant to cooperate in good faith with a governmental or
internal investigation of the Company or its directors, officers or employees, if the Company has requested the Participant’s cooperation. 

15.5 “Change in Control” means: 

(a) The consummation of a merger or consolidation of the Company with or into another entity or any other corporate
reorganization, if persons who were not stockholders of the Company immediately prior to such merger, consolidation or other reorganization own immediately after such merger, consolidation or other reorganization 50% or more of the voting power of
the outstanding securities of each of (i) the continuing or surviving entity and (ii) any direct or indirect parent corporation of such continuing or surviving entity; 

(b) The sale, transfer or other disposition of all or substantially all of the Company’s assets; 

(c) A change in the composition of the Board, as a result of which fewer than 50% of the incumbent directors are directors
who either: 
 (i) Had been directors of the Company on the date 24 months prior to the date of such change in
the composition of the Board (the “Original Directors”); or 
 (ii) Were appointed to the Board, or
nominated for election to the Board, with the affirmative votes of at least a majority of the aggregate of (A) the Original Directors who were in office at the time of their appointment or nomination and (B) the directors whose appointment
or nomination was previously approved in a manner consistent with this Paragraph (ii); or 
 (d) Any
transaction as a result of which any person is the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing at least 50% of the total voting power
represented by the Company’s then outstanding voting securities. For purposes of this Subsection (d), the term “person” shall have the same meaning as when used in sections 13(d) and 14(d) of the Exchange Act but shall
exclude (i) a trustee or other fiduciary holding securities under an employee benefit plan of the Company or of a Parent or Subsidiary and (ii) a corporation owned directly or indirectly by the stockholders of the Company in substantially
the same proportions as their ownership of the common stock of the Company. 
 A transaction shall not constitute a Change in Control if its
sole purpose is to change the state of the Company’s incorporation or to create a holding company that will be owned in substantially the same proportions by the persons who held the Company’s securities immediately before such
transaction. 
 15.6 “Code” means the Internal Revenue Code of 1986, as amended. 

15.7 “Committee” means the Compensation Committee of the Board, as further described in Article 2.

  

 8 

 15.8 “Common Share” means one share of the common stock of the
Company. 
 15.9 “Company” means Blue Coat Systems, Inc., a Delaware corporation. 

15.10 “Consultant” means a consultant or adviser who provides bona fide services to the Company, a Parent, a
Subsidiary or an Affiliate as an independent contractor. 
 15.11 “Effective Date” shall mean the date
the Plan is effective as set forth in Section 14.1. 
 15.12 “Employee” means a common-law employee
of the Company, a Parent, a Subsidiary or an Affiliate who is newly hired as a employee by the Company, or who is rehired following a bona fide period of interruption of employment, including persons who become new employees of the Company, a
Parent, a Subsidiary or an Affiliate in connection with a merger or acquisition. 
 15.13 “Exchange Act”
means the Securities Exchange Act of 1934, as amended. 
 15.14 “Exercise Price,” in the case of an
Option, means the amount for which one Common Share may be purchased upon exercise of such Option, as specified in the applicable Stock Option Agreement. 

15.15 “Fair Market Value” means the closing price of the Common Shares as reported on Nasdaq or such other
exchange on which the Common Shares are then traded on the applicable date or, if that date is not a trading day, the next trading day. If Common Shares are no longer traded on a public U.S. securities market, the Fair Market Value shall be
determined by the Committee in good faith on such basis as it deems appropriate. The Committee’s determination shall be conclusive and binding on all persons. 

15.16 “Involuntary Termination” means the termination of the Participant’s Service by reason of: 

(a) The involuntary discharge of the Participant by the Company (or the Parent, Subsidiary or Affiliate employing him or
her) for reasons other than Cause; or 
 (b) such individual’s voluntary resignation following (A) a
change in his or her position with the Company which materially reduces his or her level of responsibility, (B) a reduction in his or her level of base salary, or (C) a relocation of such individual’s place of employment by more than
fifty (50) miles, provided and only if such change, reduction or relocation is effected by the Company without the individual’s consent. 

15.17 “NSO” means a stock option not described in sections 422 or 423 of the Code. 

15.18 “Option” means a NSO granted under the Plan and entitling the holder to purchase Common Shares. 

15.19 “Optionee” means an individual or estate holding an Option. 

15.20 “Parent” means any corporation (other than the Company) in an unbroken chain of corporations ending with
the Company, if each of the corporations other than the Company owns stock possessing 50% or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. A corporation that attains the status of a
Parent on a date after the adoption of the Plan shall be considered a Parent commencing as of such date. 
 15.21
“Participant” means an individual or estate holding an Award. 
 15.22 “Plan” means
this Blue Coat Systems, Inc. 2010 New Employee Stock Incentive Plan, as amended from time to time. 
 15.23
“Restricted Share” means a Common Share awarded under the Plan. 
 15.24 “Restricted Stock
Agreement” means the agreement between the Company and the recipient of a Restricted Share that contains the terms, conditions and restrictions pertaining to such Restricted Share. 

15.25 “Service” means service as an Employee or Consultant. 

 

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 15.26 “Stock Option Agreement” means the agreement between the
Company and an Optionee that contains the terms, conditions and restrictions pertaining to his or her Option. 
 15.27
“Stock Unit” means a bookkeeping entry representing the equivalent of one Common Share, as awarded under the Plan. 

15.28 “Stock Unit Agreement” means the agreement between the Company and the recipient of a Stock Unit that
contains the terms, conditions and restrictions pertaining to such Stock Unit. 
 15.29 “Subsidiary”
means any corporation (other than the Company) in an unbroken chain of corporations beginning with the Company, if each of the corporations other than the last corporation in the unbroken chain owns stock possessing 50% or more of the total combined
voting power of all classes of stock in one of the other corporations in such chain. A corporation that attains the status of a Subsidiary on a date after the adoption of the Plan shall be considered a Subsidiary commencing as of such date.

  

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