Document:

Exhibit 10.2

 

Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

 

Execution Version

 

ASSET PURCHASE AGREEMENT

dated as of

August 1, 2014

among

ANI PHARMACEUTICALS, INC.

and

SHIRE VIROPHARMA INCORPORATED

 

    	 

    	 

    

  

Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

 

TABLE OF CONTENTS 

 

	 	 	Page
	 	 	 
	ARTICLE 1
	Definitions
	 	 	 
	Section 1.01	Definitions.	1
	Section 1.02	Other Definitional and Interpretative Provisions	6
	 	 	 
	ARTICLE 2
	Purchase and Sale
	 	 	 
	Section 2.01.	Purchase and Sale	6
	Section 2.02.	Excluded Assets	9
	Section 2.03.	Assumed Liabilities	10
	Section 2.04.	Excluded Liabilities	11
	Section 2.05.	Assignment of Contracts and Rights	13
	Section 2.06.	Purchase Price	13
	Section 2.07.	Closing	13
	Section 2.08.	Purchase Price Allocation	14
	Section 2.09.	Wrong Pocket Assets	14
	 	 	 
	ARTICLE 3
	Representations and Warranties of Seller
	 	 	 
	Section 3.01.	Existence and Power	15
	Section 3.02.	Authorization	15
	Section 3.03.	Governmental Authorization	15
	Section 3.04.	Noncontravention	15
	Section 3.05.	Contracts	16
	Section 3.06.	Litigation	16
	Section 3.07.	Compliance with Laws	17
	Section 3.08.	Title to Purchased Assets	17
	Section 3.09.	Transferred Product Registrations.	17
	Section 3.10.	Intellectual Property	18
	Section 3.11.	AMP	19
	Section 3.12.	Finders’ Fees	19

  

    	 

    	 

    

  

Confidential
Materials Omitted and Filed Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment
under Rule 406 under the Securities Act of 1933, as amended. Confidential Portions are marked: [***]

 

	 	 	Page
	 
	ARTICLE 4
	Representations and Warranties of Buyer
	 	 	 
	Section 4.01.	Existence and Power	19
	Section 4.02.	Authorization	19
	Section 4.03.	Governmental Authorization	19
	Section 4.04.	Noncontravention	20
	Section 4.05.	Litigation	20
	Section 4.06.	Financing	20
	Section 4.07.	Finders’ Fees	20
	Section 4.08.	Inspections; No Other Representations	20
	 	 	 
	ARTICLE 5
	Covenants of Buyer and Seller
	 	 	 
	Section 5.01.	Further Assurances	21
	Section 5.02.	Access to Information	21
	Section 5.03.	Intellectual Property Matters	22
	Section 5.04.	Public Announcements	23
	Section 5.05.	Confidentiality	24
	Section 5.06.	Return, Rebate and Chargeback Policies and Practices	24
	Section 5.07.	Customer Notifications	25
	Section 5.08.	Transfer of Purchased Assets; Maintenance of Transferred Product Registrations; Cooperation	25
	Section 5.09.	Buyer Insurance	27
	Section 5.10.	Sales of Inventory Existing at Closing	28
	Section 5.11.	Non-Compete	29
	 	 	 
	ARTICLE 6
	Tax Matters
	 	 	 
	Section 6.01.	Tax Matters	30
	Section 6.02.	Tax Cooperation; Allocation of Taxes	30
	Section 6.03.	FIRPTA Certificate	31

 

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Confidential
Materials Omitted and Filed Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment
under Rule 406 under the Securities Act of 1933, as amended. Confidential Portions are marked: [***]

 

	 	 	Page
	 
	ARTICLE 7
	Survival; Indemnification
	 	 	 
	Section 7.01.	Survival	31
	Section 7.02.	Indemnification	32
	Section 7.03.	Third Party Claim Procedures	33
	Section 7.04.	Direct Claim Procedures	35
	Section 7.05.	Certain Limitations	35
	Section 7.06.	Assignment of Claims	36
	Section 7.07.	Specific Performance	36
	Section 7.08.	Exclusivity	37
	Section 7.09.	Purchase Price Adjustment	37
	 	 	 
	ARTICLE 8
	Miscellaneous
	 	 	 
	Section 8.01.	Notices	37
	Section 8.02.	Amendments and Waivers	38
	Section 8.03.	Expenses	38
	Section 8.04.	Successors and Assigns	39
	Section 8.05.	Governing Law	39
	Section 8.06.	Jurisdiction	39
	Section 8.07.	WAIVER OF JURY TRIAL	39
	Section 8.08.	Counterparts; Effectiveness; Third Party Beneficiaries	40
	Section 8.09.	Entire Agreement	40
	Section 8.10.	Bulk Sales Laws	40
	Section 8.11.	Severability	40
	Section 8.12.	Seller Disclosure Schedule	41

 

	EXHIBIT A:  Form of Assignment and Assumption Agreement	 
	EXHIBIT B:  Form of Safety Data Transitional Agreement	 
	EXHIBIT C:  Form of Transfer Letter	 
	EXHIBIT D:  Form of Press Release	 

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

 

ASSET PURCHASE AGREEMENT

 

ASSET PURCHASE AGREEMENT (this “Agreement”)
dated as of August 1, 2014 between ANI Pharmaceuticals, Inc., a Delaware corporation (“Buyer”), and Shire ViroPharma
Incorporated, a Delaware corporation (the “Seller”).

 

WITNESSETH:

 

WHEREAS, Seller and its Subsidiaries hold
the rights to manufacture, market, sell and distribute Vancocin® (the “Product”), an antibiotic containing
vancomycin hydrochloride as the only active ingredient, for use in the treatment of both enterocolitis caused by Staphylococcus
aureus (including methicillin-resistant strains) and Clostridium difficile-associated diarrhea or CDAD, in the oral
capsule formulation in the Territory (the “Business”), as well as certain inactive Product Approvals (as defined
below); and

 

WHEREAS, Buyer desires to purchase the Purchased
Assets (as hereinafter defined) from Seller and assume the Assumed Liabilities (as hereinafter defined), and Seller desires to
sell the Purchased Assets to Buyer, upon the terms and subject to the conditions hereinafter set forth.

 

NOW, THEREFORE, the parties hereto agree
as follows:

 

Article
1

Definitions

 

Section 1.01. Definitions. (a)
As used herein, the following terms have the following meanings:

 

“Affiliate” means, with
respect to any Person, any other Person directly or indirectly controlling, controlled by or under common control with such other
Person. For purposes of this definition, “control” when used with respect to any Person means the power to direct or
cause the direction of the management and policies of such Person, directly or indirectly, whether through the ownership of voting
securities, by contract or otherwise, and the terms “controlling” and “controlled” have correlative meanings.

 

“Applicable Law” means,
with respect to any Person, any federal, state or local law (statutory, common or otherwise), rule, regulation, order, injunction,
judgment, decree or ruling enacted, adopted, promulgated or applied by a Governmental Authority that is binding upon or applicable
to such Person, as amended unless expressly specified otherwise.

 

    	 

    	 

    

 

Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

“Business Day” means
a day, other than Saturday, Sunday or other day on which commercial banks in New York, New York are authorized or required by Applicable
Law to close.

 

“Cardinal Health” has
the meaning given to such term in the Exclusive Distribution Agreement included in the Excluded Contracts, dated as of January
14, 2005, between Seller and Cardinal Health PTS, LLC.

 

“Closing Date” means
the date of the Closing.

 

“CMS” means Centers for
Medicare & Medicaid Services.

 

“Excluded Contracts”
means the Contracts set forth in Section 1.01(a)(1) of the Seller Disclosure Schedule.

 

“FDA Act” means the Food,
Drug and Cosmetics Act of 1938.

 

“Distributor” means each
of Cardinal Health, AmerisourceBergen Drug Corporation and McKesson Corporation.

 

“GAAP” means generally
accepted accounting principles in the United States.

 

“Governmental Authority”
means any transnational, domestic or foreign federal, state or local, governmental or regulatory authority, department, court,
agency or official, including any political subdivision thereof.

 

“Intellectual Property Rights”
means all: (i) trademarks, service marks, trade names, corporate names, logos, trade dress, slogans, Internet domain names
and world wide web addresses, and all other source, origin or business identifiers, and all applications, registrations and renewals
for, and goodwill associated with and symbolized by, any of the foregoing, whether registered or common law (collectively, “Marks”),
(ii) patent disclosures, patent applications (filed and unfiled) and issued patents, and all registrations, continuations, continuations-in-part,
divisionals, re-examinations, renewals, extensions, reissues and counterparts thereof, (iii) Trade Secrets, Know-How and other
proprietary business information, (iv) works of authorship (whether or not copyrightable), moral rights, copyrights and registrations
and applications therefor, and all renewals, extensions, restorations and reversions thereof, and (v) rights of publicity
and privacy.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

“Know-How” means all
proprietary methods, processes, techniques, compositions, information, data, results of tests, studies, statistical and other analyses
and expertise, whether patented or unpatented, including pharmacology, toxicology, drug stability, manufacturing and formulation
methodologies and techniques, clinical and non-clinical safety and efficacy studies, marketing studies and absorption, excretion
and metabolism studies, quality control and quality assurance processes, and shall include all tangible manifestations thereof.

 

“knowledge of Seller,”
“Seller’s knowledge” or any other similar knowledge qualification in this Agreement means to the actual
knowledge as of the date hereof of the individuals specified in Section 1.01(a)(2) of the Seller Disclosure Schedule.

 

“Liability” means any
debt, liability or obligation (whether direct or indirect, absolute or contingent, accrued or unaccrued, liquidated or unliquidated,
known or unknown, or due or to become due), including any liability for Taxes, and including all costs and expenses relating thereto.

 

“Lien” means, with respect
to any property or asset, any mortgage, lien, assessment, claim, title defect, pledge, charge, security interest or encumbrance
in respect of such property or asset.

 

“NDC” means National
Drug Code.

 

“NonFAMP Eligible Transactions”
means those transactions relating to the Product that are used to calculate the Non-Federal Average Manufacturer Price as defined
by Veteran’s Health Care Act of 1992.

 

“Packaging Materials”
collectively means and includes any prescription information (including labeling and package inserts, indications and safety instructions),
packaging (including any boxes or other containers) and similar materials relating to the packaging of the Product.

 

“Permitted Liens” means
(i) Liens for Taxes, assessments or governmental charges or levies not yet due and payable, delinquent but payable without penalty
or that are being contested in good faith and for which adequate reserves have been established in accordance with GAAP, (ii) Liens
imposed by law, such as carriers’, warehousemen’s and mechanics’ Liens and other similar Liens arising or incurred
in the ordinary course of business which secure payment of Liabilities not more than 30 days past due or which are being contested
in good faith, (iii) any restrictions, limitations or conditions contained in the Contracts that are not the result of a breach
thereof by Seller or any of its Affiliates, and (iv) the rights, if any, of third parties, appearing in product advertisements
for the Product.

 

“Person” means an individual,
corporation, partnership, limited liability company, association, trust or other entity or organization, including a Governmental
Authority.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

“Pre-Closing Tax Period”
means (i) any Tax period ending on or before the Closing Date and (ii) with respect to a Tax period that commences before but ends
after the Closing Date, the portion of such period up to and including the Closing Date.

 

“Product Approvals” means
with respect to the Product, the applicable New Drug Application and Abbreviated New Drug Applications set forth opposite the applicable
Product formulation in ‎Section 2.01(e) of the Seller Disclosure Schedule.

 

“Seller Disclosure Schedule”
means the disclosure letter delivered by Seller to Buyer in connection with the execution and delivery of this Agreement.

 

“Subsidiary” means, with
respect to any Person, any entity of which (i) securities or other ownership interests having ordinary voting power to elect a
majority of the board of directors or other persons performing similar functions or (ii) 50% or more of the equity interests are
at the time directly or indirectly owned by such Person.

 

“Tax” means any tax or
other like assessment or charge of any kind whatsoever imposed by any Governmental Authority responsible for the imposition of
any such tax (a “Taxing Authority”), together with any interest, penalty, addition to tax or additional amount,
and any liability for any of the foregoing as a transferee or successor.

 

“Territory” means the
United States and its territories.

 

“Trade Secrets” means
Know-How that (i) derives economic value, actual or potential, as a result of being kept confidential, and not being readily ascertainable
by third parties using proper means, and (ii) is the subject of efforts by its holder that are reasonable under the circumstances
to maintain its confidentiality.

 

“Transaction Documents”
means (i) this Agreement, (ii) the Assignment and Assumption Agreement, (iii) the assignment agreement transferring any Marks in
accordance with ‎Section 2.07(b)(i) and (iv) the Safety Data Transitional Agreement.

  

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(b)          Each
of the following terms is defined in the Section set forth opposite such term:

 

	
        

        Term
	 	Section
	Agreed Allocation	 	2.08
	Agreement	 	Preamble
	AMP	 	3.11
	Apportioned Obligations	 	6.02
	Assignment and Assumption Agreement	 	2.07
	Assumed Liabilities	 	2.03
	Business	 	Recitals
	Buyer	 	Preamble
	Buyer Fundamental Representations	 	7.01
	Buyer Material Adverse Effect	 	4.01
	Cap	 	7.02
	Closing	 	2.07
	Competing Business	 	5.11
	Confidentiality Agreement	 	5.05
	Contracts	 	2.01
	Damages	 	7.02
	Deductible	 	7.02
	Excluded Assets	 	2.02
	Excluded Liabilities	 	2.04
	Existing Inventory	 	5.10(a)
	Indemnified Party	 	7.03
	Indemnifying Party	 	7.03
	Marks	 	1.01
	Post-Closing Tax Period	 	6.02
	Potential Contributor	 	7.06
	Product	 	Recitals
	Product Inventory and Supplies	 	2.01
	Purchase Price	 	2.06
	Purchased Assets	 	2.01
	Safety Data Transitional Agreement	 	2.07
	Seller	 	Preamble
	Seller Fundamental Representations	 	7.01
	Seller Marks	 	5.03(a)
	Shipped Products	 	2.04
	Taxing Authority	 	1.01
	Third Party Claim	 	7.03
	Transfer Letter	 	2.07(d)
	Transfer Taxes	 	6.02
	Transferred Intellectual Property Rights	 	2.01
	Transferred Product Registrations	 	2.01(e)
	Transition Period	 	5.10(a)
	Warranty Breach	 	7.02

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 1.02. Other Definitional and
Interpretative Provisions. The words “hereof,” “herein” and “hereunder” and words of like
import used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement. The
captions herein are included for convenience of reference only and shall be ignored in the construction or interpretation hereof.
References to Articles, Sections, Exhibits and Schedules are to Articles, Sections, Exhibits and Schedules of this Agreement unless
otherwise specified. All Exhibits and Schedules annexed hereto or referred to herein are hereby incorporated in and made a part
of this Agreement as if set forth in full herein. Any capitalized terms used in any Exhibit or Schedule but not otherwise defined
therein shall have the meaning as defined in this Agreement. Any singular term in this Agreement shall be deemed to include the
plural, and any plural term the singular. Whenever the words “include,” “includes” or “including”
are used in this Agreement, they shall be deemed to be followed by the words “without limitation,” whether or not they
are in fact followed by those words or words of like import. “Writing,” “written” and comparable terms
refer to printing, typing and other means of reproducing words (including electronic media) in a visible form. References to any
statute, rule or regulation shall be deemed to refer to such statute, rule or regulation as amended or supplemented from time to
time, including through the promulgation of applicable rules or regulations. References to any agreement or contract are to that
agreement or contract as amended, modified or supplemented from time to time in accordance with the terms hereof and thereof. References
to any Person include the successors and permitted assigns of that Person. References from or through any date mean, unless otherwise
specified, from and including or through and including, respectively. References to one gender include all genders.

 

Article
2

Purchase and Sale

 

Section 2.01. Purchase and Sale.
Except as otherwise provided below, upon the terms and subject to the conditions set forth in this Agreement, Buyer agrees to purchase
from Seller, and Seller agrees to sell, convey, transfer, assign and deliver, or cause to be sold, conveyed, transferred, assigned
and delivered, to Buyer at the Closing, free and clear of all Liens, other than Permitted Liens, all of Seller’s and each
of its Subsidiaries’ right, title and interest in, to and under the following assets, as the same shall exist on the Closing
Date (collectively, the “Purchased Assets”):

 

(a)          all
Intellectual Property Rights that are owned by the Seller or any of its Subsidiaries and are exclusively used or held for use in
the formulation, manufacture, packaging, promotion, distribution, marketing, and sale of the Product in the Territory, including
those listed in Section ‎2.01(a) of the Seller Disclosure Schedule (the “Transferred Intellectual Property Rights”);

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(b)          any
Product inventory, Packaging Materials, active pharmaceutical ingredient, polyethylene glycol, work-in-process or finished goods
to the extent held for use by or for the benefit of Seller or any of its Subsidiaries for the operation of the Business as currently
conducted (the “Product Inventory and Supplies”);

 

(c)          all
of the personal property and equipment set forth in Section 2.01(c) of the Seller Disclosure Schedule;

 

(d)          any
and all regulatory files (including correspondence with regulatory authorities) owned by or in the possession or control of Seller
or any of its Subsidiaries to the extent relating to the Purchased Assets or the operation of the Business (except for safety and
adverse event data that shall be transferred in accordance with the Safety Data Transitional Agreement); provided, however,
that the Seller and its Subsidiaries shall have the right to retain copies of any such regulatory files for their compliance records;
provided, further, that with respect to any portions of such regulatory files that do not relate solely to the Purchased
Assets or the Assumed Liabilities or are also required for the operation of the Excluded Assets or relate to the Excluded Liabilities,
Seller may retain the originals of such regulatory files, and deliver, or cause to be delivered, copies thereof to Buyer and redact
from any such regulatory files any information that is not related to the Purchased Assets or the Assumed Liabilities; and provided,
further, (i) to the extent the delivery of any regulatory files is not reasonably practicable at the Closing, the Seller and
its Subsidiaries will have up to 60 calendar days following the Closing to deliver such regulatory files to Buyer and (ii) Seller
shall only have an obligation to deliver regulatory files that, to Seller’s knowledge, are in the possession or control of
Seller;

 

(e)          subject
to ‎Section 5.08, the registrations, applications, approvals, licenses and permits granted to Seller or its Subsidiaries by
Governmental Authorities to develop and market the Product including the Product Approvals (the “Transferred Product Registrations”);
provided, however, that Seller and its Affiliates shall have the right to retain copies for its compliance records of any
such registrations, applications, approvals, licenses and permits;

 

(f)          subject
to ‎Section 2.05 and except for the Excluded Contracts, all of the contracts and agreements listed in Schedule 2.01(f) of the
Seller Disclosure Schedule (the “Contracts”);

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(g)          all
customer and sales information (including customer and supplier lists) and research data to the extent related to the Product and
in the possession of Seller or any of its Subsidiaries; provided, however, that Seller and its Affiliates shall have the
right to retain copies for its compliance records of any such information and data; provided, further, that with respect
to any portions of such customer and sales information or research data that do not relate solely to the Purchased Assets or the
Assumed Liabilities or are also required for the operation of the Excluded Assets or relate to the Excluded Liabilities, Seller
may retain the originals of such information and data, and deliver, or cause to be delivered, copies thereof to Buyer and redact
from any such information or data any information that is not related to the Purchased Assets or the Assumed Liabilities; and provided,
further, (i) to the extent the delivery of any information or data is not reasonably practicable at the Closing, the Seller
and its Subsidiaries will have up to 60 calendar days following the Closing to deliver such information or data to Buyer and
(ii) Seller shall only have an obligation to deliver customer and sales information or research data that, to Seller’s knowledge,
are in the possession or control of Seller;

 

(h)          subject
to ‎Section 2.02(c), copies of all books, records, files and papers, whether in hard copy or computer format, to the extent
related to the Product (including with respect to research and development, medical safety or regulatory affairs), including (i)
all documents, if any, relating to the calculation of baseline AMP (but excluding any proprietary methodology documents created
by Seller or any of its Affiliates with respect to the calculation of baseline AMP) and (ii) an electronic version of the Vancocin
Medical Information Inquiry Database; provided that Seller and its Affiliates shall have the right to retain the originals
of any of the foregoing; provided, further, that with respect to any portions of such information and data that do not relate
solely to the Purchased Assets or the Assumed Liabilities or are also required for the operation of the Excluded Assets or relate
to the Excluded Liabilities, Seller may retain, the originals of the foregoing and deliver, or cause to be delivered, copies thereof
to Buyer and redact from the copies of the foregoing provided to Buyer any information that is not related to the Purchased Assets
or the Assumed Liabilities; and provided, further, (i) to the extent the delivery of the foregoing is not reasonably practicable
at the Closing, the Seller and its Affiliates will have up to 60 calendar days following the Closing to deliver such copies to
Buyer and (ii) Seller shall only have an obligation to deliver books, records, files and papers that, to Seller’s knowledge,
are in the possession or control of Seller;

  

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(i)          subject
to ‎Section 2.02(c), copies of all books, records, files and papers, whether in hard copy or computer format, to the extent
related to nonFAMP-Eligible Transactions from October 1, 2013 through the Closing Date; provided that Seller and its Affiliates
shall have the right to retain the originals of any of the foregoing; provided, further, that with respect to any
portions of such information and data that do not relate solely to the Purchased Assets or the Assumed Liabilities or are also
required for the operation of the Excluded Assets or relate to the Excluded Liabilities, Seller may retain, the originals of the
foregoing and deliver, or cause to be delivered, copies thereof to Buyer and redact from the copies of the foregoing provided to
Buyer any information that is not related to the Purchased Assets or the Assumed Liabilities; and provided, further,
(i) to the extent the delivery of the foregoing is not reasonably practicable at the Closing, the Seller and its Affiliates will
have up to 60 calendar days following the Closing to deliver such copies to Buyer and (ii) Seller shall only have an obligation
to deliver books, records, files and papers that, to Seller’s knowledge, are in the possession or control of Seller; and

 

(j)          all
claims and contractual rights as against third parties held by or in favor of Seller or any of its Subsidiaries and relating exclusively
to the Product.

 

Section 2.02. Excluded Assets. Nothing
herein contained shall be deemed to sell, transfer, assign or convey the Excluded Assets to Buyer, and Seller and its Subsidiaries
shall retain all right, title and interest to, in and under the Excluded Assets. The term “Excluded Assets”
shall mean all assets, properties, interests and rights of Seller and any of its Affiliates other than the Purchased Assets, including
the Excluded Contracts. For the avoidance of doubt, the Excluded Assets shall include (but are not limited to):

 

(a)          all
cash and cash equivalents on hand and in banks and investments held by Seller or any of its Affiliates;

 

(b)          all
other assets (including Intellectual Property Rights) owned by or licensed to Seller or its Affiliates, except for the Transferred
Intellectual Property Rights;

 

(c)          (i)
all books, records, files and papers, whether in hard copy or computer format, (A) prepared in connection with this Agreement or
any other Transaction Document or the transactions contemplated hereby or thereby, (B) prepared and maintained by any Seller or
any of its Affiliates, including all regulatory files (including correspondence with regulatory authorities), market research data,
and marketing data, to the extent such do not relate to the operation of the Business as currently conducted, (C) relating to employees
of Seller or its Affiliates or (D) that are laboratory notebooks and (ii) all minute books and corporate records of Seller and
its Affiliates;

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(d)          all
materials, including any sales, promotional and marketing materials, advertising and display materials, Product literature, stationary,
training materials in whatever medium (e.g., audio, visual, print) and similar materials (other than Packaging Materials)
relating to the marketing and promotion of the Product;

 

(e)          all
accounts receivable, notes receivable or other indebtedness due and owing by any third party to Seller or any of its Affiliates,
including any claims for refund of overpaid rebates for, and rebates from CMS relating to, Product shipped prior to the end of
the Transition Period;

 

(f)          all
rights of Seller or any of its Affiliates arising under this Agreement or any other Transaction Document or the transactions contemplated
hereby or thereby;

 

(g)          all
rights under the Seller’s and their Affiliates’ insurance policies or self-insurance that relate to the Business;

 

(h)          all
accounting goodwill related to the Business; and

 

(i)          all
privileged or confidential communications between Seller and any of its Affiliates and its and their respective attorneys, and
any other privileged documents.

 

Section 2.03. Assumed Liabilities.
(a) Upon the terms and subject to the conditions of this Agreement, Buyer agrees, effective from and after the Closing, to assume,
pay, perform and discharge the following Liabilities of Seller and its Affiliates (the “Assumed Liabilities”):

 

(i)          all
Liabilities arising under the Contracts (including Liabilities to customers under purchase orders made in the ordinary course of
the sale and marketing of the Product consistent with past practice for any Product that has not been shipped prior to the Closing
which shall be filled in accordance with ‎Section 5.10), except for any Liabilities under a Contract arising from a breach
of, or default under, such Contract by Seller or any of its Subsidiaries prior to the Closing;

  

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(ii)         all
Liabilities arising out of or relating to the return of, or rebates or chargebacks related to, any Product shipped after the end
of the Transition Period; and

 

(iii)        except
to the extent that they constitute Excluded Liabilities, all other Liabilities arising out of or relating directly or indirectly
to the Purchased Assets or the Business, or the ownership, sale or lease of any of the Purchased Assets, in each case only to the
extent related to or arising out of any action, omission, occurrence or event on or after the Closing Date (including all Liabilities
arising out of or relating to any product liability, breach of warranty or similar claim for injury to any Person or property that
resulted from the use or misuse of the Product or otherwise related to the Product (including any action, suit, investigation or
proceeding relating to any such Liabilities) shipped or sold after the Closing).

 

(b)          Buyer
and Seller hereby agree to reimburse one another, U.S. dollar for dollar, in the event that (i) any of Seller’s or Buyer’s
customers, or their respective Affiliates’ customers, offset against accounts payable by such customer to Seller or Buyer
or their respective Affiliates, the cost of any Product returned by such customer, or (ii) Seller or Buyer or any of their respective
Affiliates are required to issue a credit for the account of, or reimburse, any customer for returns, in each case which are the
responsibility of the other party hereto pursuant to ‎‎Section 2.03(a)(ii) and ‎Section 2.04(a). Buyer and Seller hereby
agree to, and to cause their respective Affiliates to, provide notice to one another of any such offset, issuance of credit or
reimbursement for which such party or its Affiliate is entitled to be reimbursed pursuant to this ‎‎Section 2.03(b). Payment
shall be made promptly following receipt of notice of any such offset by or issuance of a credit to a customer (together with supporting
documentation). Following the Closing, Buyer and Seller shall cooperate to ensure that a customer does not offset returns of any
Product against both Seller (or any of its Affiliates) and Buyer (or any of its Affiliates).

 

(c)          Buyer’s
obligations under this ‎‎Section 2.03 shall not be subject to offset or reduction by reason of any actual or alleged breach
of any representation, warranty or covenant contained in this Agreement or any document delivered in connection herewith or any
right or alleged right to indemnification hereunder or thereunder.

 

Section 2.04. Excluded Liabilities.
Notwithstanding any provision in this Agreement to the contrary, Buyer is assuming only the Assumed Liabilities and is not assuming
any other Liability of Seller or any of its Affiliates of whatever nature, whether presently in existence or arising hereafter.
All such other Liabilities shall be retained by and remain Liabilities of Seller or its Affiliates. The term “Excluded
Liabilities” shall mean all Liabilities of Seller or any of its Affiliates other than the Assumed Liabilities. For the
avoidance of doubt, the Excluded Liabilities shall include (but are not limited to):

 

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(a)          all
Liabilities arising out of or relating to (i) the return of any Product bearing Seller’s NDC (including Existing Inventory)
shipped by Seller or its Subsidiaries to a third party prior to the end of the Transition Period (“Shipped Products”)
or (ii) rebates or chargebacks related to any Shipped Products;

 

(b)          all
Liabilities arising out of any action, suit, investigation or proceeding before any court or arbitrator or any other Governmental
Authority to the extent arising out of actions, omissions or events occurring prior to the Closing Date relating to the Business
or the Purchased Assets, including the matters set forth on Section ‎2.04(b) of the Seller Disclosure Schedule;

 

(c)          all
Liabilities arising out of or relating to any product liability, breach of warranty or similar claim for injury to any Person or
property that resulted from the use or misuse of the Product or otherwise related to the Product (including any action, suit, investigation
or proceeding relating to any such Liabilities) shipped or sold before the Closing Date;

 

(d)          any
Liability under Seller’s or any of its Subsidiaries’ employee benefits or compensation arrangements;

 

(e)          subject
to ‎Section 6.02(b) and ‎Section 6.02(c), any and all Liabilities of Seller or any of its Subsidiaries for Taxes, including
any Taxes arising as a result of the operation of the Business or the leasing, ownership, operation or use of the Purchased Assets
prior to the Closing;

 

(f)          any
Liability arising out of any Permitted Lien of the type set forth in clauses (i) and (ii) thereof; and

 

(g)          any
Liability relating to an Excluded Asset.

 

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Section 2.05. Assignment of Contracts
and Rights. Notwithstanding anything in this Agreement to the contrary, this Agreement shall not constitute an agreement to
assign any Purchased Asset or any claim, right or benefit arising thereunder or resulting therefrom if an attempted assignment
thereof, without the approval or consent of a third party, would constitute a breach thereof or in any way adversely affect the
rights of Buyer or Seller or any of their respective Subsidiaries thereunder or be contrary to Applicable Law. Seller shall use
its commercially reasonable efforts (which shall not require Seller to pay any money or other consideration to any Person or to
initiate any claim or proceeding against any Person) (a) to obtain such approval or consent and (b) if such approval or consent
cannot be obtained, to secure an arrangement reasonably satisfactory to Buyer ensuring that Buyer will receive the benefits under
the Purchased Asset for which such consent is being sought and bear the burden of the Liabilities related to such Purchased Asset;
provided, however, that (i) Seller shall have no obligation to obtain such consent or approval or to provide such an alternative
arrangement other than the undertaking to use commercially reasonable efforts to obtain or provide the same as set forth in this
‎Section 2.05, and (ii) Buyer shall have no remedy (including under ‎Article 7) for failure of Seller to obtain any such
consent or approval or to provide any such alternative arrangement (but, for the avoidance of doubt, Buyer may seek indemnification
under ‎Article 7 (subject to the limitations set forth therein) for a breach of Seller’s obligation to use commercially
reasonable efforts as set forth in this ‎Section 2.05). To the extent that, in connection with obtaining a third party’s
consent under any Contract, one or more of the parties hereto enter into an agreement with such third party that provides for an
allocation of Liability among the parties hereto with respect to such Contract that is inconsistent with the terms of this Agreement,
the parties agree that, as among themselves, the provisions of this Agreement shall control.

 

Section 2.06. Purchase Price. The
purchase price for the Purchased Assets (the “Purchase Price”) is $11,000,000 in cash. The Purchase Price shall
be paid as provided in ‎Section 2.07 and allocated among the Purchased Assets as provided in Section ‎2.08.

 

Section 2.07. Closing. The closing
(the “Closing”) of the purchase and sale of the Purchased Assets and the assumption of the Assumed Liabilities
hereunder shall take place at 10:00 a.m. New York time at the offices of Dentons US LLP, 1221 Avenue of the Americas, New York,
New York on the date hereof. At the Closing:

 

(a)          Buyer
shall deliver to Seller (or an Affiliate of Seller), on behalf of Seller and its Subsidiaries, the Purchase Price in immediately
available funds by wire transfer to an account of Seller (or such Affiliate) designated by Seller, by notice to Buyer, not later
than two Business Days prior to the Closing Date (and as promptly as practicable shall provide Seller a Fed reference number or
SWIFT confirmation, as applicable);

 

(b)          Seller
and Buyer shall enter into (i) an Assignment and Assumption Agreement substantially in the form attached hereto as Exhibit A
(the “Assignment and Assumption Agreement”) and an assignment agreement transferring any Marks set forth on
‎Section 2.01(a) of the Seller Disclosure Schedule; and (ii) a Safety Data Transitional Agreement substantially in the form
attached hereto as Exhibit B (the “Safety Data Transitional Agreement”);

 

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(c)          (x)
each party shall deliver or cause to be delivered to the other party such duly executed deeds, bills of sale, endorsements,
consents, assignments and other good and sufficient instruments of conveyance and assignment as the parties and their respective
counsel shall deem reasonably necessary to vest in Buyer all right, title and interest in, to and under the Purchased Assets and
to evidence the assumption by Buyer of the Assumed Liabilities, in each case in accordance with the terms hereof and (y) Seller
shall deliver or cause to be delivered to Buyer the FIRPTA certificate specified in ‎Section 6.03;

 

(d)          Seller
shall deliver to Buyer a letter of transfer from Seller and its Affiliates to the FDA notifying it of the consummation of the purchase
and sale hereunder substantially in the form of Exhibit C (the “Transfer Letter”); and

 

(e)          Seller
shall deliver to Buyer the sales data for the Product for the period from January 1, 2014 through June 30, 2014.

 

Section 2.08. Purchase Price Allocation.
Seller and Buyer agree that, after Closing, they will negotiate in good faith to agree on a written allocation of the Purchase
Price (increased to include, to the extent properly taken into account for Tax purposes, the Assumed Liabilities) among the Purchased
Assets in accordance with Section 1060 of the Code (and any similar provision of state, local or foreign Tax law) (any such agreed
allocation, the “Agreed Allocation”). Seller and Buyer agree to (i) be bound by any Agreed Allocation and (ii)
act in accordance with any Agreed Allocation in the preparation, filing and audit of any Tax return (including filing IRS Form
8594), unless otherwise required by Applicable Law. Not later than 30 days prior to the filing of their respective IRS Forms 8594
relating to this transaction, each party shall deliver to the other party a copy of the IRS Form 8594 such party proposes to file.

 

Section 2.09. Wrong Pocket Assets.
If at any time or from time to time after the Closing Date, Seller or any of its Affiliates, on the one hand, or Buyer or any of
its Affiliates, on the other, shall receive or otherwise possess any asset (including cash) that should belong to Buyer, on the
one hand, or Seller, on the other, pursuant to this Agreement, such Person shall promptly transfer, or cause to be transferred,
such asset to the Person so entitled thereto. Prior to any such transfer in accordance with this ‎Section 2.09, the Person
receiving or possessing such asset shall hold such asset in trust for such other Person.

  

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Article
3

Representations and Warranties of Seller

 

Except as set forth in the Seller Disclosure
Schedule, Seller represents and warrants to Buyer as of the date hereof that:

 

Section 3.01. Existence and Power.
Seller is a corporation duly organized, validly existing and in good standing under the laws of its jurisdiction of organization
and has all corporate power and all governmental licenses, authorizations, permits, consents and approvals required to carry on
its business as now conducted, except for those licenses, authorizations, permits, consents and approvals the absence of which
would not reasonably be expected to be material to the Business, the Purchased Assets and the Product, taken as a whole.

 

Section 3.02. Authorization. The
execution, delivery and performance by Seller of this Agreement and each other Transaction Document, and the consummation of the
transactions contemplated hereby and thereby, are within Seller’s corporate powers and have been duly authorized by all necessary
corporate action on the part of Seller. This Agreement constitutes, and upon the execution thereof each other Transaction Document
shall constitute, a valid and binding agreement of Seller, enforceable against Seller in accordance with the terms hereof and thereof,
subject to applicable bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and other laws affecting creditors’
rights generally and general principles of equity.

 

Section 3.03. Governmental Authorization.
The execution, delivery and performance by Seller of this Agreement and each other Transaction Document, and the consummation of
the transactions contemplated hereby and thereby, require no action by or in respect of, or filing with, any Governmental Authority
other than (i) with respect to the transfer of the Product Approvals, the Transfer Letter and the related acceptance letter of
Buyer to the FDA (and with respect to any other Transferred Product Registrations, similar letters), and (iii) any such action
or filing as to which the failure to make or obtain would not reasonably be expected to be material to the Business, the Purchased
Assets or the Product.

 

Section 3.04. Noncontravention. The
execution, delivery and performance by Seller of this Agreement and each other Transaction Document, and the consummation of the
transactions contemplated hereby and thereby, do not and will not (i) violate the certificate of incorporation, bylaws or comparable
organizational documents of Seller or any of its Subsidiaries, (ii) assuming compliance with the matters referred to in ‎Section
3.03, violate any Applicable Law, (iii) constitute a default under or give rise to any right of termination, cancellation or acceleration
of any right or obligation or to a loss of any benefit relating to the Purchased Assets to which Seller or any of its Subsidiaries
is entitled under any provision of any agreement or other instrument binding upon Seller or any of its Subsidiaries or (iv) result
in the creation or imposition of any Lien on any Purchased Asset, except for Permitted Liens, with such exceptions, in the case
of each of clauses (ii), (iii) and (iv), as would not reasonably be expected to be material to the Business, the Purchased Assets
or the Product.

 

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Section 3.05. Contracts. (a) Except
for the Contracts and the Excluded Contracts, neither Seller nor any of its Subsidiaries is a party to or bound by any contract,
license, or agreement that is primarily used or held for use with respect to the Business or the Purchased Assets and that is material
to the operation of the Business as currently conducted.

 

(b)          None
of the Contracts:

 

(i)          contain
a covenant not to compete or other covenants that purport to limit or restrict the ability of Seller or any of its Subsidiaries
to use the Purchased Assets or operate the Business;

 

(ii)         grant
any option or preferential right to purchase any Purchased Asset (other than inventory in the ordinary course of business); or

 

(iii)        is
for the benefit of any of Seller’s Affiliates.

 

(c)          Each
Contract is a valid and binding agreement of Seller or its applicable Subsidiary and is in full force and effect, and none of Seller
or its Subsidiaries or, to the knowledge of Seller, any other party thereto is in default or breach in any respect under the terms
of any Contract, except for any such defaults or breaches that would not reasonably be expected to give rise to a right of cancellation
of such Contract.

 

Section 3.06. Litigation. Except
as set forth in ‎Section 3.06 of the Seller Disclosure Schedule, there is no action, suit, investigation or proceeding pending
against or, to the knowledge of Seller, threatened against, the Purchased Assets before any arbitrator or any Governmental Authority
that would reasonably be expected to be material to the Business, the Purchased Assets and the Product, taken as a whole, or that
in any manner challenges or seeks to prevent, enjoin, alter or materially delay the transactions contemplated by this Agreement
or the other Transaction Documents.

 

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Section 3.07. Compliance with Laws.
(a) (i) Except as would not reasonably be expected to be material to the Business, the Purchased Assets or the Product, since January
24, 2014, and to the knowledge of Seller since January 1, 2012, Seller and each of its Subsidiaries have operated the Business
in material compliance with all Applicable Law relating to the Business, including the FDA Act, (ii) all governmental licenses,
permits, approvals and authorizations principally employed in, or necessary to the ongoing operation of the Business as currently
conducted are in full force and effect and (iii) since January 24, 2014, and to the knowledge of Seller since January 1, 2012,
no Governmental Authority has notified Seller or any of its Subsidiaries in writing that Seller or any of its Subsidiaries (with
respect to the Product, the Purchased Assets or the operation of the Business) is in violation of any Applicable Law.

 

 (b)          Except
as set forth in ‎Section 3.07 of the Seller Disclosure Schedule, with respect to the Business, including the promotion, distribution,
marketing, and sale of the Product, neither the Seller nor any of its Subsidiaries has received in writing since January 24, 2014,
and to the knowledge of Seller since January 1, 2012, any warning letters or other correspondence from the FDA or any other analogous
foreign Governmental Authority in which the FDA or such other analogous foreign Governmental Authority asserted that the promotion,
distribution, marketing, or use and sale of the Product was not in compliance with Applicable Law. Except as set forth in ‎Section
3.07 of the Seller Disclosure Schedule, with respect to the promotion, distribution, marketing, and sale of the Product, since
January 24, 2014, and to the knowledge of Seller since January 1, 2012, there has not been any product recall, market withdrawal
or post-sale warning conducted by or on behalf of the Seller or its Subsidiaries concerning the Product, or, to the knowledge of
Seller, any product recall or market withdrawal conducted by or on behalf of any third party as a result of any alleged defect
in the Product.

 

 (c)          Seller
has provided to Buyer readable .pdf copies of all PADERs or PADER listings from 2004 through November 9, 2013 (including all Medwatch
forms included therein). Since January 24, 2014, and to the knowledge of Seller since January 1, 2012, each PADER and annual report
relating to the Product was timely filed with the FDA.

 

Section 3.08. Title to Purchased Assets.
Seller or one of its Subsidiaries has good and marketable title to, or (if applicable) valid leaseholds in, all Purchased Assets,
except where the failure to have such good and marketable title or valid leasehold interests would not reasonably be expected to
be material to the Business, the Purchased Assets or the Product. No Purchased Asset is subject to any Lien, except for Permitted
Liens and any other Liens that do not impede the ownership, operation or value of such Purchased Asset in any material respect.

 

Section 3.09. Transferred Product Registrations.
(a) The Transferred Product Registrations constitute all material registrations, applications, approvals, licenses or permits granted
by any Governmental Authority to develop and market the Product.

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(b)          Except
as set forth in ‎Section 3.09 of the Seller Disclosure Schedule, the Product is manufactured and marketed in accordance with
the specifications and standards contained in the Transferred Product Registrations, except where the failure to comply therewith
would not reasonably be expected to be material to the Business, the Purchased Assets and the Product, taken as a whole.

 

(c)          Except
as set forth in ‎Section 3.09 of the Seller Disclosure Schedule, prior to the transfer of any Transferred Product Registration
in accordance with this Agreement, Seller or one of its Subsidiaries is the sole and exclusive owner of such Transferred Product
Registration and has not granted any right of reference with respect thereto.

 

    Section 3.10. Intellectual Property.
(a) ‎Section 2.01(a) of the Seller Disclosure Schedule sets forth a true and complete list of all issued and registered Intellectual
Property Rights and applications for issuance or registration of Intellectual Property Rights, in each case, included in the Transferred
Intellectual Property Rights. Except as would not reasonably be expected to be material to the Business, the Purchased Assets or
the Product, to the knowledge of Seller, each item identified in ‎Section 2.01(a) of the Seller Disclosure Schedule as registered
is valid, subsisting and in full force and effect. The Seller or its Subsidiaries has taken all reasonable steps necessary to maintain
such registrations, including the payment when due of all necessary registration and maintenance fees and annuities and the filing
of all necessary renewals, statements and certifications, and all necessary material documents and certificates in connection with
such registered Transferred Intellectual Property Rights have been filed with the relevant patent, copyright or other governmental
or Regulatory Authorities for the purposes of maintaining such registered Transferred Intellectual Property Rights.

 

(b)          Since
January 24, 2014 and, to the knowledge of Seller, since January 1, 2012, neither the Seller nor any of its Subsidiaries has received
any written charge, complaint, claim, demand, or notice alleging that the formulation, manufacture, packaging, promotion, distribution,
marketing, or sale of the Product in the Territory interferes, infringes, misappropriates, or violates any third party’s
Intellectual Property Rights (including any written claim that the Seller or any of its Subsidiaries must license or refrain from
using any third party’s Intellectual Property Rights in connection with such activities). To the knowledge of Seller, no
third party (i) currently infringes or has since January 24, 2012 infringed upon, or (ii) has since January 24, 2012 misappropriated
any of the Transferred Intellectual Property Rights, in each case except as would not reasonably be expected to be material to
the Business, the Purchased Assets or the Product.

 

(c)          Except
as set forth in ‎Section 3.10 of the Seller Disclosure Schedule, neither Seller nor any of its Subsidiaries has made any pending
claims or threatened to make any claim, in each case that a third party has infringed, misappropriated or otherwise violated any
Transferred Intellectual Property Rights.

 

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Section 3.11. AMP. ‎Section 3.11
of the Seller Disclosure Schedule sets forth the baseline Average Manufacturers Price (“AMP”) as calculated
by Seller for the Product as of January 24, 2014.

 

Section 3.12. Finders’ Fees.
There is no investment banker, broker, finder or other intermediary which has been retained by or is authorized to act on behalf
of Seller who might be entitled to any fee or commission in connection with the transactions contemplated by this Agreement.

 

Article
4

Representations and Warranties of Buyer

 

Buyer represents and warrants to Seller
as of the date hereof that:

 

Section 4.01. Existence and Power.
Buyer is a corporation duly incorporated, validly existing and in good standing under the laws of its jurisdiction of incorporation,
and has all corporate powers and all governmental licenses, authorizations, permits, consents and approvals required to carry on
its business as now conducted, except for those licenses, authorizations, permits, consents and approvals the absence of which
would not reasonably be expected to prevent, materially delay or materially impair Buyer’s ability to consummate the transactions
contemplated by this Agreement (a “Buyer Material Adverse Effect”).

 

Section 4.02. Authorization. The
execution, delivery and performance by Buyer of this Agreement and each other Transaction Document to which it is a party, and
the consummation of the transactions contemplated hereby and thereby, are within the corporate powers of Buyer and have been duly
authorized by all necessary corporate action on the part of Buyer. This Agreement constitutes, and upon execution each other Transaction
Document will constitute, a valid and binding agreement of Buyer, enforceable against Buyer in accordance with the terms hereof
and thereof, subject to applicable bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and other laws affecting
creditors’ rights generally and general principles of equity.

 

Section 4.03. Governmental Authorization.
The execution, delivery and performance by Buyer of this Agreement and each other Transaction Document, and the consummation of
the transactions contemplated hereby and thereby, require no action by or in respect of, or filing with, any Governmental Authority
other than any such action or filing as to which the failure to make would not reasonably be expected to have a Buyer Material
Adverse Effect.

 

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Section 4.04. Noncontravention. The
execution, delivery and performance by Buyer of this Agreement and each other Transaction Document, and the consummation of the
transactions contemplated hereby and thereby, do not and will not (i) violate the certificate of incorporation or bylaws of Buyer,
(ii) assuming compliance with the matters referred to in ‎Section 4.03, violate any Applicable Law, (iii) require any consent
or other action by any Person under, constitute a default under or give rise to any right of termination, cancellation or acceleration
of any right or obligation or to a loss of any benefit to which Buyer is entitled under any provision of any agreement or other
instrument binding upon Buyer or (iv) result in the creation or imposition of any material Lien on any asset of Buyer, with such
exceptions, in the case of clauses (ii), (iii) and (iv) as would not reasonably be expected to have a Buyer Material Adverse Effect.

 

Section 4.05. Litigation. There is
no action, suit, investigation or proceeding pending against or, to the knowledge of Buyer, threatened against or affecting Buyer
before any arbitrator or any Governmental Authority that would reasonably be expected to have a Buyer Material Adverse Effect or
that in any manner challenges or seeks to prevent, enjoin, alter or materially delay the transactions contemplated by this Agreement
or the other Transaction Documents.

 

Section 4.06. Financing. Buyer has
sufficient cash, available lines of credit or other sources of immediately available funds to enable it to make payment of the
Purchase Price and any other amounts to be paid by it hereunder.

 

Section 4.07. Finders’ Fees.
There is no investment banker, broker, finder or other intermediary which has been retained by or is authorized to act on behalf
of Buyer who might be entitled to any fee or commission in connection with the transactions contemplated by this Agreement.

 

Section 4.08. Inspections; No Other Representations.
Buyer is an informed and sophisticated purchaser, and has engaged expert advisors, experienced in the evaluation and purchase of
property and assets such as the Purchased Assets as contemplated hereunder. Buyer has undertaken such investigation and has been
provided with and has evaluated such documents and information as it has deemed necessary to enable it to make an informed and
intelligent decision with respect to the execution, delivery and performance of this Agreement. Except for the representations
and warranties set forth in ‎Article 3, Buyer (on behalf of itself and its Affiliates) acknowledges and agrees that no representation
or warranty of any kind whatsoever, express or implied, at law or in equity, is made or shall be deemed to have been made by or
on behalf of Seller or any of its Affiliates, and Seller hereby disclaims, and Buyer (on behalf of itself and its Affiliates) hereby
disclaims any reliance upon, any such representation or warranty, notwithstanding the delivery or disclosure to Buyer or any of
its representatives or Affiliates of any documentation or other information by the Seller or any of its representatives or Affiliates
with respect to any one or more of the foregoing. Without limiting the generality of the foregoing, Buyer acknowledges that Seller
makes no representation or warranty with respect to (i) the future performance of the Business or the Purchased Assets, including
any projections, estimates or budgets delivered to or made available to Buyer of future revenues, future results of operations
(or any component thereof), future cash flows or future financial condition (or any component thereof) with respect to the Purchased
Assets, the Business or the Assumed Liabilities, or (ii) any other information or documents made available to Buyer or its
counsel, accountants or advisors with respect to the Purchased Assets, the Business or the Assumed Liabilities, except, in each
case, as expressly set forth in this Agreement.

 

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Article
5

Covenants of Buyer and Seller

 

Buyer and Seller agree that:

 

Section 5.01. Further Assurances.
Seller and Buyer agree to execute and deliver such other documents, certificates, agreements, instruments of conveyance and transfer
and other writings and to take such other actions as may be reasonably necessary or desirable in order to consummate or implement
expeditiously the transactions contemplated by this Agreement.

 

Section 5.02. Access to Information.
(a) On and after the Closing Date, Seller shall afford promptly to Buyer and its agents reasonable access to its books of account,
financial and other records (including accountant’s work papers), information, employees and auditors, in each case to the
extent (i) related to the Purchased Assets or the Assumed Liabilities, (ii) not included in the Purchased Assets and (iii) reasonably
necessary for Buyer in connection with any audit, investigation, dispute or litigation or any other reasonable business purpose
relating to the Purchased Assets or the Assumed Liabilities, in each case arising on or before the Closing; provided that
any such access by Buyer shall not unreasonably interfere with the conduct of the business of Seller or any of its Affiliates.
Buyer shall bear all of the out-of-pocket costs and expenses (including attorneys’ fees, but excluding reimbursement for
general overhead, salaries and employee benefits) reasonably incurred by Seller and its Affiliates in connection with the foregoing.
Notwithstanding the foregoing, Seller may redact any statements or other information in the portions of such information that do
not relate to the Purchased Assets or the Assumed Liabilities or that relate to employees of Seller or any of its Affiliates. All
requests for access to such books, records, information, employees and auditors shall be made to such representatives of Seller
as Seller shall designate, which representatives shall be solely responsible for coordinating all such requests and all access
permitted hereunder.

 

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Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(b)          On
and after the Closing Date, Buyer will afford promptly to Seller and its representatives reasonable access to its properties, books,
records, employees and auditors to the extent reasonably necessary to enable Seller to determine any matter relating to its rights
and Liabilities hereunder or to any period ending on or before the Closing Date; provided that any such access by Seller
shall not unreasonably interfere with the conduct of the business of Buyer. All requests for access to such properties, books,
records, information, employees and auditors shall be made to such representatives of Buyer as Buyer shall designate, which representatives
shall be solely responsible for coordinating all such requests and all access permitted hereunder.

 

(c)          Notwithstanding
anything to the contrary contained herein, nothing in this ‎‎Section 5.02 shall require (i) Seller or any of its Affiliates
or Buyer or any of its Affiliates to violate any Applicable Law or a contract or obligation of confidentiality owed to a third
party, to waive the protection of an attorney-client privilege, or to take any action that would result in the disclosure of any
Trade Secrets (provided that, in the case of this clause (i), the disclosing party shall use commercially reasonable efforts
to provide the other party, to the extent possible, with access to the relevant information in a manner that would not reasonably
be expected to result in any such violation, waiver or disclosure) or (ii) the auditors and independent accountants of Seller or
any of its Affiliates or of Buyer or any of its Affiliates to make any work papers available to any Person unless and until such
Person has signed a customary confidentiality and hold harmless agreement relating to such access to work papers in form and substance
reasonably acceptable to such auditors or independent accountants.

 

Section 5.03. Intellectual Property Matters.
(a) After the Closing, Buyer shall promptly, and in any event prior to the end of the Transition Period, complete the revision
of all Packaging Materials existing as of the date hereof relating to the Product and/or used in the Business and not used in the
sale of Products prior to the end of the Transition Period so as to not include any references to any Marks owned by or licensed
to Seller or any of its Affiliates (excluding the Marks set forth on ‎Section 2.01(a) of the Seller Disclosure Schedule, the
“Seller Marks”) or any references to Seller’s or its Affiliates’ customer service address or phone
number. Buyer shall not order any new Packaging Materials including references to the Seller Marks, except to the extent necessary
to sell the Existing Inventory during the Transition Period. Without limiting the foregoing, in no event shall Buyer use any Seller
Marks in any manner or for any purpose different from the use of such Seller Marks in connection with the Business during the 90-day
period immediately preceding the Closing. Except as set forth in this ‎‎Section 5.03(a), from and after the Closing, Buyer
shall not have any right to use any of the Seller Marks. Any and all use of the Seller Marks by Buyer following the Closing until
the complete phase-out of the Seller Marks as contemplated by this ‎Section 5.03(a) shall (i) inure to the sole and exclusive
benefit of the Seller and its Affiliates and (ii) be subject to Seller’s and its Affiliates’ quality control guidelines
and procedures.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(b)          Effective
as of and only upon the Closing, subject to the terms and conditions of this Agreement, Seller and its Subsidiaries hereby grant
to Buyer a limited, non-exclusive, perpetual, irrevocable, non-sublicensable and, except to the extent this Agreement is permitted
to be assigned by Buyer pursuant to Section 8.04, non-assignable, royalty-free, fully paid up, worldwide license, but solely in
connection with the formulation, manufacture, packaging, promotion, distribution, marketing, and sale of the Product in the Territory,
to use, reproduce, create derivative works of, distribute, make, have made, sale, offer for sale and import all Intellectual Property
Rights (other than any Marks) that are owned and licensable by Seller or its Subsidiaries as of the Closing Date (without consent
of or payment due to a third party or to Seller or any Subsidiary thereof) to the extent used in connection with the formulation,
manufacture, packaging, promotion, distribution, marketing, and sale of the Product in the Territory as of the Closing Date.

 

Section 5.04. Public Announcements.
Unless otherwise required by Applicable Law, by any listing agreement with any U.S. or U.K. securities exchange or share market
or by any listing authority including the U.K. Listing Authority, subject to ‎Section 5.07, ‎Section 5.08 and ‎Section
5.10, Seller and Buyer shall not, and cause their respective Affiliates not to, make any public announcement or disseminate any
written communication to any supplier, customer, distributor or non-management employee of Seller or its Affiliates in respect
of this Agreement or the transactions contemplated hereby, or otherwise communicate with any news media regarding this Agreement
or the transactions contemplated hereby, without the prior written consent of Buyer and Seller (which consent shall not be unreasonably
withheld, conditioned or delayed); provided that if any such announcement or communication is so required, Buyer and Seller
shall consult with each other, to the extent reasonably practicable, in advance as to the contents and timing thereof; provided,
further, that after the transactions contemplated by this Agreement have been announced, Seller and its Affiliates shall
be entitled to respond to questions in the ordinary course or issue any press release or make any other public statement that,
in each case, is not inconsistent with any public statement previously issued or made by it in accordance with the provisions of
this ‎‎Section 5.04. On the date hereof, Seller (and its Affiliates) and Buyer may issue a press release in substantially
the form attached hereto as Exhibit D.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 5.05. Confidentiality. (a)
Effective as of the Closing, the Confidential Disclosure Agreement between Shire Human Genetic Therapies, Inc. and Buyer dated
as of February 20, 2014 (the “Confidentiality Agreement”) shall terminate with respect to information to the
extent relating to the Purchased Assets or the Assumed Liabilities; provided, however, that any and all other information
provided to Buyer by Seller or its representatives concerning Seller or any of its Affiliates, and not otherwise constituting a
Purchased Asset or an Assumed Liability, shall remain subject to the terms and conditions of the Confidentiality Agreement after
the Closing.

 

(b)          After
the Closing, Seller and its Affiliates will hold, and will use their reasonable best efforts to cause their respective representatives
to hold, in confidence all confidential documents and other information concerning the Purchased Assets or the Assumed Liabilities
and information provided pursuant to ‎Section 5.02(b). The obligation of Seller and its Affiliates to hold any such information
in confidence shall not extend to any disclosure (i) that is required by Applicable Law, by any listing agreement with any U.S.
or U.K. securities exchange or share market or by any listing authority including the U.K. Listing Authority, (ii) to the extent
necessary to defend or prosecute any indemnification claim or any action, suit, investigation or proceeding, or (iii) except
as a result of a disclosure in breach of this Agreement by Seller or its Affiliates after the Closing, of information generally
available to the public or already known by a third party receiving such information from Seller or its Affiliates. The obligation
of Seller and its Affiliates to hold any such information in confidence shall be deemed to be satisfied if they exercise the same
care with respect to such information as they would take to preserve the confidentiality of their own similar information.

 

Section 5.06. Return, Rebate and Chargeback
Policies and Practices. From and after the Closing, Buyer agrees that it will not take any action (i) with the intent to encourage,
through the offering of incentives or changes in the return, rebate or chargeback policies or practices of the Business or otherwise
(other than in the ordinary course of business consistent with the past practice of the Business prior to Closing), customers to
return any Product shipped by Seller or any of its Affiliates prior to the end of the Transition Period, or to initiate any chargeback,
rebate or similar request in respect of such Product, except as required by Applicable Law, or (ii) that would reasonably be expected
to adversely affect Seller’s obligations to make rebate payments to, or entitlements to refunds for overpayments from (including
in each case the amount thereof), CMS for Product shipped prior to the end of the Transition Period.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 5.07. Customer Notifications.
Promptly after the Closing Date, the parties shall notify all customers of the Business in writing, in a form agreed by the parties
prior to the date hereof, (i) of the transfer of the Purchased Assets to Buyer and (ii) that all purchase orders for the Product
received by Seller or any of its Affiliates prior to the Closing Date but not filled as of such date will be filled in the ordinary
course (provided that Seller and Buyer shall cooperate with each other to ensure that such purchase orders as well as any
additional purchase orders received between the Closing Date and the end of the Transition Period are filled in accordance with
the provisions of ‎Section 5.10). All purchase orders for the Product received by Seller after the end of the Transition Period
shall be forwarded by Seller to Buyer or Buyer’s distributor at the address to be provided by Buyer prior to the end of the
Transition Period.

 

Section 5.08. Transfer of Purchased Assets;
Maintenance of Transferred Product Registrations; Cooperation. (a) On or as promptly as reasonably practicable after the Closing
Date, the Seller shall and shall cause its Subsidiaries to (i) transfer (or implement arrangements reasonably satisfactory to Buyer
for the transfer and delivery of physical possession of) all tangible assets included in the Purchased Assets to the Buyer or its
designated representatives, and (ii) upon reasonable request of the Buyer, notify all of its agents that hold files or other tangible
material included in the Purchased Assets that, effective as of the Closing, the Buyer owns such Purchased Assets, with directions
to transfer such Purchased Assets to Buyer in accordance with the Buyer’s reasonable instructions. Buyer shall pay for any
costs or expenses associated with the delivery of the Purchased Assets to Buyer or any of its designees. Notwithstanding the foregoing,
to the extent the following are included in the Purchased Assets and are not delivered at the Closing, Seller shall deliver and
cause its Subsidiaries to deliver (1) all of the books and records (in electronic and non-electronic form) related to the Product
Approvals and (2) all case files since May 1, 2014, including readable .pdf copies of PADER listings and completed FDA form 3500As,
to Buyer no later than 60 calendar days after the Closing Date; provided that Seller shall only have an obligation to deliver
such books, records and files that, to Seller’s knowledge, are in the possession or control of Seller.

 

(b)          As
promptly as reasonably practicable following the Closing, Seller shall file with the FDA all of the documents and the information
reasonably required of a former owner, including the Transfer Letter, and Buyer shall file with the FDA the information required
of a new owner or agent in respect thereof, including an acceptance letter to the FDA. Seller may retain an archival copy of each
Product Approval, including supplements and records that are required to be kept under 21 CFR §314.81.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(c)          Buyer
shall be responsible for, and shall bear all costs associated with, completing the recordation of any trademark assignment for
the Marks set forth on ‎Section 2.01(a) of the Seller Disclosure Schedule with the appropriate Regulatory Authorities in each
country in which such Marks are registered; provided that Seller shall, for a period of two (2) years after the Closing
and at Buyer’s sole cost and expense, upon the reasonable request of Buyer, cooperate and cause its Subsidiaries to cooperate
with Buyer to execute any additional documentation required to record and give effect to the assignment of such Marks in any jurisdiction
in accordance with this Agreement.

 

(d)          Until
the completion of the transfer of the Transferred Product Registrations to Buyer: (i) Seller shall use commercially reasonable
efforts to maintain the Transferred Product Registrations, (ii) if and to the extent reasonably requested by Buyer, Seller shall
use commercially reasonable efforts to pursue, in such manner as may be reasonably directed by Buyer, those ongoing variations,
amendments and renewals which are pending at the Closing Date and shall not withdraw them, and (iii) Seller shall not be required
to initiate any new variations or amendments, except to the extent that they are necessary (in Buyer’s reasonable, good faith
opinion) for the continuation of the Business and then only upon Buyer’s written request and direction. Neither Seller not
any of its Affiliates shall have any Liability or obligation to indemnify Buyer (A) if any or all of the Transferred Product Registrations
are not transferred by any Governmental Authority, or such transfer is delayed, for any reason, except to the extent directly resulting
from Seller’s or any of its Subsidiaries’ gross negligence or willful misconduct or a breach of ‎Section 5.08(a)
by Seller or (B) for taking any action requested or directed by Buyer pursuant to ‎Section 5.08(d)(ii) or ‎Section 5.08(d)(iii).

 

(e)          For
the avoidance of doubt, Seller does not warrant, and shall not be responsible for, the successful maintenance or renewal of any
Transferred Product Registration after the Closing Date, except to the extent that a Governmental Authority cancels such Transferred
Product Registration or refuses its renewal solely as a result of Seller’s or any of its Subsidiaries’ gross negligence
or willful misconduct. In addition, Buyer acknowledges that Buyer shall be solely responsible for perfecting Buyer’s title
to the Transferred Intellectual Property Rights after the Closing Date, including recording the change in title.

 

(f)          Buyer
shall, and shall cause its Affiliates to, cooperate with Seller to deliver Seller any additional documentation and materials that
may be reasonably requested by Seller to effect the transfer of the Transferred Product Registrations to Buyer. Buyer shall bear
the cost of (i) all fees levied by the relevant Governmental Authority in connection with the transfer of the Transferred Product
Registrations pursuant to this ‎Section 5.08 and (ii) all costs and expenses arising from the maintenance of the Transferred
Product Registrations after the Closing and any variations, amendment and renewals undertaken pursuant to ‎Section 5.08(d)(ii)
or ‎Section 5.08(d)(iii).

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(g)          Notwithstanding
that any Packaging Materials may include Seller Marks or that Seller may remain the holder of any Transferred Product Registrations
(but without limiting Seller’s obligations under the Safety Data Transitional Agreement or Buyer’s obligations under
‎Section 5.03(a)), Buyer shall be responsible for (i) complying with Applicable Law after the Closing with respect to the Business,
the Product and the Packaging Materials and (ii) any Liabilities arising from or relating to the marketing and sale of any Product
after the Closing or the conduct of the Business after the Closing (all of which Liabilities shall be deemed Assumed Liabilities
for purposes hereof). Until such time as the relevant Transferred Product Registrations are transferred to Buyer, Buyer shall not
make any changes to the Packaging Materials (other than to the extent required by Applicable Law or ‎Section 5.03(a), and only
to such extent) without the consent of Seller, which consent shall not be unreasonably withheld, conditioned or delayed; provided
that if Seller consents to any such requested change or such change is required by Applicable Law, Seller shall reasonably cooperate
with Buyer, and shall provide such reasonable assistance as may be necessary, in implementing any such change. Any reasonable direct
costs and expenses incurred from or as a consequence of any such change shall be fully borne by Buyer.

 

(h)          Following
the Closing, the parties agree to use commercially reasonable efforts to transition the Business to the Buyer. In this regard:

 

(i)          Seller
shall send a copy of the Transfer Letter to the FDA immediately following the Closing;

 

(ii)         Seller
shall as soon as reasonably practicable remove the Product from the DailyMed website following the expiration of the last to expire
lot of Product sold by Seller under Seller’s NDC;

 

(iii)        Seller
shall use commercially reasonable efforts, at Buyer’s expense, to provide Buyer with reasonable assistance and information
necessary to prepare and file with the FDA the applicable PADER and NDA annual report for 2015 (with applicable domestic distribution
data).

 

Section 5.09. Buyer Insurance. Promptly
following the Closing, Buyer shall obtain and, maintain product liability insurance coverage with respect to the Product from a
financially sound and reputable insurance company or companies, that is customary in scope and amount of coverage. Upon Seller's
written request, Buyer shall promptly provide Seller with a copy of a certificate of insurance evidencing such insurance in form
reasonably acceptable to Seller.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 5.10. Sales of Inventory Existing
at Closing. (a) Immediately following the Closing and until the earlier of (i) [***] and (ii) the date specified in a written
notice from Buyer to Seller that it will be able to commence commercial sales of the Product using its own NDC (the period from
the Closing Date until the earlier of (i) and (ii), the “Transition Period”), Seller shall act as a distributor
for Buyer and, in this regard, direct each of the Distributors to continue to sell existing inventory of Product bearing Seller’s
NDC (Product inventory bearing Seller’s NDC existing at the Closing, the “Existing Inventory”), and Seller’s
existing Packaging Materials and to otherwise operate under their applicable Excluded Contract, in each case in the ordinary course
of business throughout the Transition Period for the account of Buyer, and direct Cardinal Health to: (A) continue during the Transition
Period to (1) process purchase orders and ship Existing Inventory, (2) process returns of Existing Inventory and (3) process rebates
and chargebacks relating to Existing Inventory, each in the ordinary course of business, and (B) deliver a copy of any ordinary
course reports provided to Seller regarding the foregoing to Seller and Buyer. Notwithstanding the foregoing, the Transition Period
shall terminate if Buyer is in breach of its obligations under ‎Section 5.10(c) and fails to cure such breach within five Business
Days after having been notified of such breach in writing by Seller.

 

(b)          Seller
shall remit to Buyer or instruct Cardinal Health to remit to Buyer, as applicable, within 30 days after the end of each calendar
month, (i) $[***] and (ii) $[***] of Existing Inventory sold during the Transition Period, out of the proceeds received by Seller
in such month in respect of such sales, in accordance with wire instructions provided to Seller prior to the date hereof, less
a fee equal to $[***] of the Product sold, to be retained by Seller in consideration of the services rendered by it to Buyer under
this ‎Section 5.10.

 

(c)          Buyer
shall (i) use reasonable best efforts to obtain its own NDC and to enable itself to commence commercial sales of the Product using
its own NDC (including by causing to be manufactured Product bearing Buyer’s NDC) as promptly as practicable after Closing,
(ii) promptly inform Seller in writing upon receipt of its NDC, (iii) reasonably cooperate, and cause its Affiliates to reasonably
cooperate, with Seller, in providing any information or assistance reasonably requested by Seller in connection with this ‎Section
5.10, including any information Buyer possesses in respect of sales of Existing Inventory as Seller may require to include in any
regulatory filings to be made in respect of the Product sold bearing Seller’s NDC.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(d)          Without
Buyer’s prior written consent (in the event of a material breach by a Distributor, not to be unreasonably withheld, conditioned
or delayed), Seller shall not terminate the Excluded Contracts with the Distributors with respect to the Product with effect prior
to the end of the Transition Period except in accordance with this Section 5.10(d). Upon receipt of written instructions from Buyer,
but in no event later than the earlier to occur of (i) October 1, 2014 and (ii) two Business Days following the last day of the
Transition Period, Seller shall provide notice to the Distributors of the termination of their respective Excluded Contracts with
respect to the Product (which termination shall be effective in accordance with the terms of the applicable Excluded Contract)
and instruct Cardinal Health to follow the written directions of Buyer with respect to the disposition of any remaining Existing
Inventory.

 

(e)          Seller
and its Affiliates shall have no Liability to Buyer or any of its Affiliates in connection with its provision of services under
this ‎Section 5.10, except to the extent caused by Seller’s fraud or intentional misconduct and except to the extent
such Liability constitutes an Excluded Liability pursuant to ‎Section 2.04(a). Notwithstanding anything in this Agreement to
the contrary (other than ‎Section 2.05), but subject to this ‎Section 5.10, unfilled purchase orders for Product issued
by customers, including pursuant to an Excluded Contract, shall be deemed to be a Purchased Asset hereunder, and all Liabilities
arising under such purchase orders shall be Assumed Liabilities hereunder.

 

Section 5.11. Non-Compete. For a
period of three (3) years from Closing Date, neither Seller nor any of its Subsidiaries shall market or sell, or license to any
other party the right to market or sell, the Product, or any “AB-rated” generic thereof, in the Territory (a “Competing
Business”); provided that, notwithstanding the foregoing, neither Seller nor any of its Subsidiaries shall be
restricted from:

 

(a)          collectively
owning less than five percent (5%) of any class of securities of any publicly traded company conducting a Competing Business if
such securities are held as a passive investment; or

 

(b)          acquiring
one or more Persons or businesses that include within its business a Competing Business, so long as (1) the Competing Business
comprises no more than 25% of the acquired business and (2) Seller or its Subsidiaries, as applicable, completes the sale of the
Competing Business within six months of the acquisition; provided, however, that if such sale is subject to regulatory
approval, then such six-month period shall be extended until five Business Days after all regulatory approvals have been received,
but only to the extent that the parties to such sale are using commercially reasonable efforts to obtain any such approvals.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Article
6

Tax Matters

 

Section 6.01. Tax Matters. Except
as set forth in the Seller Disclosure Schedule, Seller hereby represents and warrants to Buyer that:

 

(a)          Seller
and its Subsidiaries have timely paid all Taxes required to be paid on or prior to the date hereof, the non-payment of which would
result in a Lien on any Purchased Asset; and

 

(b)          Seller
and its Subsidiaries have established, in accordance with GAAP applied on a basis consistent with that of preceding periods, adequate
reserves for the payment of, and will timely pay, all Taxes that arise from or with respect to the Purchased Assets and are incurred
in or attributable to the Pre-Closing Tax Period, the non-payment of which would result in a Lien on any Purchased Asset.

 

Section 6.02. Tax Cooperation; Allocation
of Taxes. (a) Buyer and Seller agree to furnish or cause to be furnished to each other, upon request, as promptly as practicable,
such information and assistance relating to the Purchased Assets (including access to books and records) as is reasonably necessary
for the filing of all Tax returns, the making of any election relating to Taxes, the preparation for any audit by any Taxing Authority,
and the prosecution or defense of any claim, suit or proceeding relating to any Tax. Buyer and Seller (and their respective Subsidiaries)
shall retain all books and records with respect to Taxes pertaining to the Purchased Assets for a period of at least six years
following the Closing Date. On or after the end of such period, each party shall provide the other with at least 10 days prior
written notice before destroying any such books and records, during which period the party receiving such notice can elect to take
possession, at its own expense, of such books and records. Seller and Buyer shall cooperate with each other in the conduct of any
audit or other proceeding relating to Taxes involving the Purchased Assets.

 

(b)          All
personal property taxes and similar ad valorem obligations levied with respect to the Purchased Assets for a taxable period
that includes (but does not end on) the Closing Date (collectively, the “Apportioned Obligations”) shall be
apportioned between Seller, on the one hand, and Buyer, on the other hand, based on the number of days of such taxable period included
in the Pre-Closing Tax Period and the number of days in the portion of such taxable period beginning on the day after the Closing
Date (any such portion of such taxable period, the “Post-Closing Tax Period”). Seller shall be liable for the
proportionate amount of such Taxes that is attributable to the Pre-Closing Tax Period, and Buyer shall be liable for the proportionate
amount of such Taxes that is attributable to the Post-Closing Tax Period.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(c)          All
excise, sales, use, value added, registration stamp, recording, documentary, conveyancing, franchise, property, transfer and similar
Taxes, levies, charges and fees (collectively, “Transfer Taxes”) incurred in connection with the transactions
contemplated by this Agreement shall be shared equally by Buyer and Seller. Buyer and Seller shall cooperate in providing each
other with any appropriate resale exemption certifications and other similar documentation.

 

(d)          Apportioned
Obligations and Transfer Taxes shall be timely paid as provided by Applicable Law. The paying party shall be entitled to reimbursement
from the non-paying party in accordance with ‎Section 6.02(b) or ‎Section 6.02(c), as applicable. Upon payment of any such
Apportioned Obligation or Transfer Tax, the paying party shall present a statement to the non-paying party setting forth the amount
of reimbursement to which the paying party is entitled under ‎Section 6.02(b) or ‎Section 6.02(c), as applicable, together
with such supporting evidence as is reasonably necessary to calculate the amount to be reimbursed. The non-paying party shall make
such reimbursement promptly but in no event later than 10 days after the presentation of such statement.

 

Section 6.03. FIRPTA Certificate.
At or prior to the Closing Date, Seller shall deliver to Buyer a certificate conforming to the requirements of Section 1.1445-2(b)(2)
of the United States Treasury regulations in a form reasonably acceptable to Buyer.

 

Article
7

Survival; Indemnification

 

Section 7.01. Survival. The representations
and warranties of the parties hereto contained in this Agreement shall survive until the first anniversary of the Closing Date;
provided that the representations and warranties contained in Sections ‎3.01, 3.02, 3.08, 3.09(a) and (c), ‎‎3.12
and 6.01 (collectively, the “Seller Fundamental Representations”) and the representations and warranties set
forth in Sections ‎4.01, ‎4.02 and 4.07 (collectively, the “Buyer Fundamental Representations”) shall
survive the Closing until the date that is 60 days after the expiration of the applicable statute of limitations or any extension
thereof. The other covenants and agreements of the parties hereto contained in this Agreement shall survive the Closing indefinitely
or for the shorter period explicitly specified therein, except that for such covenants and agreements that survive for such shorter
period, breaches thereof shall survive indefinitely or until the latest date permitted by Applicable Law. Notwithstanding the preceding
sentences, any breach of covenant, agreement, representation or warranty in respect of which indemnity may be sought under this
Agreement shall survive the time at which it would otherwise terminate pursuant to the preceding sentences if notice of the breach
giving rise to such right of indemnity shall have been given to the party against whom such indemnity may be sought prior to such
time in accordance with ‎Section 7.03 or 7.04 and ‎Section 8.01.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 7.02. Indemnification. (a)
Effective at and after the Closing, subject to the limitations set forth in this ‎Article 7, Seller hereby indemnifies Buyer,
its Affiliates, officers, directors, employees and agents (each, a “Buyer Indemnitee”) from and against and
agrees to hold each of them harmless from any and all Liabilities, demands, assessments, judgments, levies, losses, fines, penalties,
damages (including compensatory damages), costs and expenses, including reasonable attorneys’ accountants’, investigators’
and experts’ fees and expenses (“Damages”) incurred by Buyer (or any Buyer Indemnitiee) to the extent
such Damages arise from or are related to any of the following:

 

(i)          any
misrepresentation or breach of any representation or warranty (each such misrepresentation or breach, a “Warranty Breach”),
made by Seller in this Agreement or any Transaction Document;

 

(ii)         any
breach, nonperformance or violation of any covenant, agreement or other obligation made or to be performed by Seller or any of
its Affiliates pursuant to this Agreement or any other Transaction Document; or

 

(iii)        any
Excluded Liability;

 

provided that with respect to indemnification by Seller
for Warranty Breaches pursuant to ‎Section 7.02(a)(i) (other than, in each case below, Warranty Breaches in respect of a Seller
Fundamental Representation), (A) Seller shall not be liable unless the aggregate amount of Damages with respect to such Warranty
Breaches exceeds $[***] (the “Deductible”) and [***], and (B) Seller shall not be liable for any Damages arising
out of any individual claim unless such Damages exceed $[***], and Damages that are disregarded pursuant to this clause (B) [***]
(A), and (C) Seller’s maximum liability for all such Warranty Breaches shall not exceed $[***] (the “Cap”);
and provided, further, that Seller’s maximum liability for indemnification under Section 7.02(a)(i) shall not
exceed the [***] by Seller.

 

(b)            Effective
at and after the Closing, subject to the limitations set forth in this ‎Article 7, Buyer hereby indemnifies Seller and its
Affiliates against and agrees to hold each of them harmless from any and all Damages actually suffered by Seller or any of its
Affiliates arising out of:

 

(i)          any
Warranty Breach of any representation or warranty made by Buyer in this Agreement or any Transaction Document;

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(ii)         any
breach of a covenant or agreement made or to be performed by Buyer or any of its Affiliates pursuant to this Agreement or any other
Transaction Document; or

 

(iii)        any
Assumed Liability; or

 

(iv)        except
to the extent they constitute Excluded Liabilities pursuant to ‎Section 2.04(a), the provision of services by Seller under
‎Section 5.10, except to the extent caused by Seller’s fraud or intentional misconduct;

 

provided that with respect to indemnification by Buyer
for Warranty Breaches pursuant to ‎Section 7.02(b)(i) (other than Warranty Breaches in respect of a Buyer Fundamental Representation),
(A) Buyer shall not be liable unless the aggregate amount of Damages with respect to such Warranty Breaches exceeds the Deductible
and then only to the extent of such excess, and (B) Buyer shall not be liable for any Damages arising out of any individual claim
unless such Damages exceed $[***], and any Damages that are disregarded pursuant to this clause (B) [***] (A).

 

(c)          For
purposes of this ‎Article 7, Warranty Breaches and any resulting Damages shall be determined without regard to any materiality
or other similar qualification contained in, or otherwise applicable to, such representation or warranty (except for any such qualifications
to the extent it qualifies an affirmative requirement to list specified items on a section of the Seller Disclosure Schedule (if
any)).

 

Section 7.03. Third Party Claim Procedures.
(a) Any Person seeking indemnification under Section ‎7.02 (the “Indemnified Party”) shall give
prompt notice in writing to the Person from whom indemnification is to be sought (the “Indemnifying Party”)
of the assertion of any claim or the commencement of any suit, action or proceeding by any third party (“Third Party Claim”)
in respect of which indemnity may be sought under such Section. Such notice shall set forth in reasonable detail such Third Party
Claim and the basis for indemnification (taking into account the information then available to the Indemnified Party). The failure
to so notify the Indemnifying Party shall not relieve the Indemnifying Party of its obligations hereunder, except to the extent
such failure shall have adversely prejudiced the Indemnifying Party. Thereafter, the Indemnified Party shall deliver to the Indemnifying
Party, as promptly as reasonably practicable following the Indemnified Party’s receipt thereof, copies of all written notices
and documents (including any court papers) received by the Indemnified Party relating to the Third Party Claim and the Indemnified
Party shall provide the Indemnifying Party with such other information with respect to any such Third Party Claim reasonably requested
by the Indemnifying Party.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(b)          The
Indemnifying Party shall be entitled to participate in the defense of any Third Party Claim and, subject to the limitations set
forth in this Section ‎7.03, shall be entitled to control and appoint lead counsel for such defense, in each case at its
own expense. If the Indemnifying Party fails to assume or declines to assume the defense of any such proceeding within thirty (30)
days after notice thereof, or fails to prosecute the defense of such claim in good faith and with reasonable diligence, the Indemnified
Party may assume the defense thereof for the account and at the risk of the Indemnifying Party (including with respect to reasonable
attorney’s fees in connection therewith, but subject to the limitations set forth in this ‎Article 7). To the extent
the Indemnifying Party is controlling the defense of a Third Party Claim, the Indemnified Party may participate at his or its own
expense in the defense of such Third Party Claim; provided that the reasonable costs and expenses of separate counsel to
the Indemnified Party shall be borne by the Indemnifying Party (to the extent such costs and expenses constitute indemnifiable
Damages hereunder) if, in the opinion of external counsel to the Indemnified Party, there is a material conflict of interest between
the Indemnifying Party and the Indemnified Party with respect to such proceeding. The Indemnifying Party shall pay promptly to
the Indemnified Party any Losses to which the Indemnified Party is finally determined to be entitled under this ‎Article 7.

 

(c)          Notwithstanding
anything in this ‎Section 7.03 to the contrary, neither the Indemnifying Party nor the Indemnified Party shall, without the
written consent of the other party, settle or compromise any Third Party Claim or permit a default or consent to entry of any judgment.
Notwithstanding the foregoing, consent of the Indemnified Party shall not be required for any such settlement if (i) the sole relief
provided is monetary damages that are paid in full by the Indemnifying Party (other than, for the avoidance of doubt, the payment
of the Deductible, to the extent applicable), (ii) such settlement does not permit any order, injunction or other equitable relief
to be entered, directly or indirectly, against the Indemnified Party and (iii) such settlement includes a release of such Indemnified
Party from all Liability on claims that are the subject matter of such Third Party Claim. If the Indemnifying Party makes any payment
on any Third Party Claim, then the Indemnifying Party shall be subrogated, to the extent of such payment, to all rights and remedies
of the Indemnified Party to any insurance benefits or other claims of the Indemnified Party with respect to such Third Party Claim
(net of the costs and expenses of the Indemnified Party associated with the collection thereof).

 

(d)          Each
party shall cooperate, and cause its respective Affiliates to cooperate, in the defense or prosecution of any Third Party Claim
and shall furnish or cause to be furnished such records, information and testimony, and attend such conferences, discovery proceedings,
hearings, trials or appeals, as may be reasonably requested in connection therewith, the reasonable costs of which shall be deemed
Damages for purposes hereof.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 7.04. Direct Claim Procedures.
In the event an Indemnified Party has a claim for indemnity under ‎Section 7.02 against an Indemnifying Party that does
not involve a Third Party Claim, the Indemnified Party agrees to give prompt notice in writing of such claim to the Indemnifying
Party. Such notice shall set forth in reasonable detail such claim and the basis for indemnification and the amount of such Damages
incurred or that such Indemnified Party reasonably estimates in good faith is likely to be incurred in connection with such claim
(taking into account the information then available to the Indemnified Party). The failure to so notify the Indemnifying Party
shall not relieve the Indemnifying Party of its obligations hereunder, except to the extent such failure shall have actually prejudiced
the Indemnifying Party. The Indemnified Party shall reasonably cooperate with and assist the Indemnifying Party in determining
the validity of any such claim for indemnity by the Indemnified Party. If the Indemnifying Party disputes its indemnity obligation
for any Damages with respect to such claim, the parties shall proceed in good faith to negotiate a resolution of such dispute and,
if not resolved through negotiations, such dispute shall be resolved by litigation in an appropriate court of jurisdiction determined
pursuant to ‎Section 8.06.

 

Section 7.05. Certain Limitations.
(a) The amount of any Damages payable under ‎Section 7.02 by the Indemnifying Party shall be net of any (i) amounts recovered
or recoverable by the Indemnified Party under applicable insurance policies, or from any other Person alleged to be responsible
therefor and (ii) Tax benefit actually realized by the Indemnified Party arising from the incurrence or payment of any such Damages.
If the Indemnified Party receives any amounts under applicable insurance policies, or from any other Person alleged to be responsible
for any Damages, then such Indemnified Party shall promptly reimburse the Indemnifying Party for any payment made or expense incurred
by such Indemnifying Party in connection with providing such indemnification payment up to the amount received by the Indemnified
Party, but net of any expenses incurred by such Indemnified Party in collecting such amount.

 

(b)          The
Indemnifying Party shall not be liable under ‎Section 7.02 for any (i) indirect, consequential, punitive or other speculative
forms of Damages, (ii) Damages for lost profits or (iii) Damages that would not exist if not for, or to the extent aggravated by,
any act or wrongful omission by the Indemnified Party, except, in the cases of clauses ‎(i) or ‎(ii), to the extent any
Indemnified Party is liable for such Damages to any third party based on any final judgment of a court of competent jurisdiction.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

(c)          The
Indemnifying Party shall have no obligation to indemnify the Indemnified Party for any Damages arising out of a Warranty Breach
to the extent that the recovery of Damages would constitute a duplicative payment of amounts otherwise recovered for Damages arising
out of any claim made in respect of an Assumed Liability or Excluded Liability, as the case may be; and the Indemnifying Party
shall have no obligation to indemnify the Indemnified Party for any Damages arising out of any such claim arising out of an Assumed
Liability or Excluded Liability, as the case may be, to the extent that the recovery of Damages would constitute a duplicative
payment of amounts otherwise recovered for Damages arising out of a Warranty Breach.

 

(d)          Each
Indemnified Party shall use commercially reasonable efforts to mitigate any Damage for which such Indemnified Party may seek indemnification
under this Agreement. If such Indemnified Party mitigates its Damages after the Indemnifying Party has paid the Indemnified Party
under any indemnification provision of this Agreement in respect of that loss, the Indemnified Party shall notify the Indemnifying
Party and pay to the Indemnifying Party the extent of the value of the benefit to the Indemnified Party of that mitigation (less
the Indemnified Party’s reasonable costs of mitigation (which, for the avoidance of doubt, shall not exceed the value of
the benefit to the Indemnified Party)) within ten (10) Business Days after the benefit is received.

 

(e)          Each
Indemnified Party shall use commercially reasonable efforts to collect any amounts available under insurance coverage, or from
any other Person alleged to be responsible, for any Damages payable under ‎Section 7.02.

 

Section 7.06. Assignment of Claims.
If the Indemnified Party receives any payment from an Indemnifying Party in respect of any Damages pursuant to ‎Section 7.02
and the Indemnified Party could have recovered all or a part of such Damages from a third party (a “Potential Contributor”)
based on the underlying claim asserted against the Indemnifying Party, the Indemnified Party shall assign such of its rights to
proceed against the Potential Contributor as are necessary to permit the Indemnifying Party to recover from the Potential Contributor
the amount of such payment.

 

Section 7.07. Specific Performance. The
parties hereto agree that irreparable damage would occur if any provision of this Agreement and the other Transaction Documents
were not performed in accordance with the terms hereof and that the parties shall be entitled to an injunction or injunctions to
prevent breaches of this Agreement or to enforce specifically the performance of the terms and provisions hereof in the courts
specified in Section ‎8.06, in addition to any other remedy to which they are entitled at law or in equity.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 7.08. Exclusivity. After
the Closing, except in the case of fraud and subject to ‎Section 7.07, ‎Section 7.02 will provide the exclusive remedy
of Buyer, Seller or any of their respective Affiliates for (i) any misrepresentation, breach of representation or warranty, covenant
or other agreement or other claim arising out of this Agreement or any other Transaction Document (and the transactions contemplated
hereby and thereby) or (ii) any other matter relating to the Purchased Assets, the Assumed Liabilities, the Product or the Business,
whether at law or in equity and regardless of the legal theory under which such claim may be made.

 

Section 7.09. Purchase Price Adjustment.
Any indemnification payment made under Article 7 will be treated as an adjustment to the Purchase Price.

 

Article
8

Miscellaneous

 

Section 8.01.
Notices. All notices, requests and other communications to any party hereunder shall be in writing (including facsimile
or e-mail transmission, so long as a receipt of such e-mail is requested and received) and shall be given,

 

if to Buyer, to:

 

ANI Pharmaceuticals, Inc.

210 Main Street West

Baudette, MN 56623

Attention: Chief Executive Officer

Facsimile No.: 218-634-3540

 

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

 

Dentons US LLP

1221 Avenue of the Americas

New York, NY 10022

Attention: Paul A. Gajer

Facsimile No.: 212-768-6700

Email: paul.gajer@dentons.com

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

if to Seller, to:

 

Shire ViroPharma Incorporated

300 Shire Way

Lexington MA 02421

Attention: Legal Department

Facsimile No.: 781-482-2918

 

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

 

Davis Polk & Wardwell LLP

450 Lexington Avenue

New York, New York 10017

Attention: William J. Chudd

Facsimile No.: 212-701-5800

Email: william.chudd@davispolk.com

 

or such other address or facsimile number as such party may
hereafter specify for the purpose by notice to the other parties hereto. All such notices, requests and other communications shall
be deemed received on the date of receipt by the recipient thereof if received prior to 5:00 p.m. in the place of receipt and such
day is a Business Day in the place of receipt. Otherwise, any such notice, request or communication shall be deemed not to have
been received until the next succeeding Business Day in the place of receipt.

 

Section 8.02.
Amendments and Waivers. (a) Any provision of this Agreement may be amended or waived if, but only if, such amendment
or waiver is in writing and is signed, in the case of an amendment, by each party to this Agreement, or in the case of a waiver,
by the party against whom the waiver is to be effective.

 

(b)          No
failure or delay by any party in exercising any right, power or privilege hereunder shall operate as a waiver thereof nor shall
any single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any other right, power
or privilege. The rights and remedies herein provided shall be cumulative and not exclusive of any rights or remedies provided
by law.

 

Section 8.03.
Expenses. Except as otherwise provided herein, all costs and expenses incurred in connection with this Agreement
shall be paid by the party incurring such cost or expense.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 8.04.
Successors and Assigns. The provisions of this Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns; provided that no party may assign, delegate or otherwise transfer any
of its rights or obligations under this Agreement without the consent of each other party hereto (and any attempted assignment
without such consent shall be void), provided that either party may assign its rights and obligations under this Agreement
without the other party’s prior written consent upon written notice to the other party in connection with the transfer or
sale of all or substantially all of the assets or business of such party and its Subsidiaries (whether by asset sale, stock sale
or merger or consolidation); provided that no assignment or delegation hereunder shall limit or effect the assignor’s
obligations hereunder; and provided further that the Buyer may provide its lenders with a security interest in its rights
under this Agreement in accordance with the terms of their security and collateral agreements in connection with any credit facility
provided by such lenders to the Buyer and that such lenders may foreclose upon such security interest in accordance with the terms
of such security and collateral agreements.

 

Section 8.05.
Governing Law. This Agreement shall be governed by and construed in accordance with the law of the State of New York,
without regard to the conflicts of law rules of such state.

 

Section 8.06.
Jurisdiction. The parties hereto agree that any suit, action or proceeding seeking to enforce any provision of, or
based on any matter arising out of or in connection with, this Agreement or the transactions contemplated hereby shall be brought
in the United States District Court for the Southern District of New York or any New York State court sitting in New York City,
so long as one of such courts shall have subject matter jurisdiction over such suit, action or proceeding, and that any cause of
action arising out of this Agreement shall be deemed to have arisen from a transaction of business in the State of New York, and
each of the parties hereby irrevocably consents to the jurisdiction of such courts (and of the appropriate appellate courts therefrom)
in any such suit, action or proceeding and irrevocably waives, to the fullest extent permitted by law, any objection that it may
now or hereafter have to the laying of the venue of any such suit, action or proceeding in any such court or that any such suit,
action or proceeding brought in any such court has been brought in an inconvenient forum. Process in any such suit, action or proceeding
may be served on any party anywhere in the world, whether within or without the jurisdiction of any such court. Without limiting
the foregoing, each party agrees that service of process on such party as provided in ‎Section 8.01 shall be deemed effective
service of process on such party.

 

Section 8.07.
WAIVER OF JURY TRIAL. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN
ANY LEGAL PROCEEDING ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 8.08.
Counterparts; Effectiveness; Third Party Beneficiaries. This Agreement may be signed in any number of counterparts,
each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.
This Agreement shall become effective when each party hereto shall have received a counterpart hereof signed by the other party
hereto. Until and unless each party has received a counterpart hereof signed by the other party hereto, this Agreement shall have
no effect and no party shall have any right or obligation hereunder (whether by virtue of any other oral or written agreement or
other communication). Except as explicitly set forth herein, no provision of this Agreement is intended to confer any rights, benefits,
remedies, or Liabilities hereunder upon any Person other than the parties hereto and their respective successors and assigns.

 

Section 8.09.
Entire Agreement. This Agreement, the Transaction Documents and the Confidentiality Agreement constitute the entire
agreement between the parties with respect to the subject matter of this Agreement, and supersede all prior agreements and understandings,
both oral and written, between the parties with respect to the subject matter of this Agreement.

 

Section 8.10.
Bulk Sales Laws. Buyer and Seller each hereby waive compliance by Seller with the provisions of the “bulk sales”,
“bulk transfer” or similar laws of any jurisdiction.

 

Section 8.11. Severability. If any
term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other Governmental Authority
to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall
remain in full force and effect and shall in no way be affected, impaired or invalidated so long as the economic or legal substance
of the transactions contemplated hereby is not affected in any manner materially adverse to any party. Upon such a determination,
the parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely
as possible in an acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated
to the fullest extent possible.

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

Section 8.12.
Seller Disclosure Schedule. The parties hereby agree that any matter set forth in any Section of the Seller Disclosure
Schedule shall be deemed to be an exception to (or, as applicable, a disclosure for purposes of) (a) the representations and
warranties of Seller that are contained in the corresponding Section of this Agreement and (b) any other representations and warranties
of Seller that are contained in this Agreement if such matter’s relevance as an exception to (or a disclosure for purposes
of) such representations and warranties would be reasonably apparent to the Person to which such disclosure is being made. The
parties acknowledge and agree that (i) the Seller Disclosure Schedule may include certain items and information solely for informational
purposes for the convenience of Buyer and (ii) the disclosure by Seller of any matter in the Seller Disclosure Schedule shall not
be deemed to constitute an acknowledgment by Seller that the matter is required to be disclosed by the terms of this Agreement
or that the matter is material.

 

[Remainder of this page intentionally
left blank]

 

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Confidential Materials Omitted and Filed
Separately with the Securities and Exchange Commission Pursuant to a Request for Confidential Treatment under Rule 406 under the
Securities Act of 1933, as amended. Confidential Portions are marked: [***]

  

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

 

	 	
        ANI PHARMACEUTICALS,
INC.

	 	 	 
	 	By:	/s/ Charlotte C. Arnold
	 	 	Name:	Charlotte C. Arnold
	 	 	Title:	Vice President & Chief Financial Officer

  

	 	SHIRE VIROPHARMA INCORPORATED
	 	 	 
	 	By:	/s/ Ellen Rosenberg
	 	 	Name:	Ellen Rosenberg
	 	 	Title:	SecretaryMUAH Q3 ex-10.1

CONTRIBUTION AGREEMENT
BY AND AMONG 

MUFG AMERICAS HOLDINGS CORPORATION  

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD. 

MUFG UNION BANK, N.A. 

JULY 1, 2014

EXECUTION COPY
CONFIDENTIAL

	
			
	 
	TABLE OF CONTENTS
	 

	 
	 
	PAGE

	ARTICLE I
	THE CONTRIBUTION AND RELATED MATTERS
	2

	1.1
	First Contribution
	2

	1.2
	Second Contribution
	2

	1.3
	Setting of Closing Date, First Closing Effective Time and Second Closing Effective Time
	3

	1.4
	Closing of First Contribution and Second Contribution
	3

	1.5
	Employee Matters
	3

	1.6
	Reservation of Right to Revise Transaction
	7

	1.7
	Additional Actions
	7

	ARTICLE II
	REPRESENTATIONS AND WARRANTIES OF MUAH and MUB to BTMU
	8

	2.1
	Organization
	8

	2.2
	Authorization
	8

	2.3
	Conflicts
	8

	2.4
	Capitalization and Shares Outstanding
	8

	ARTICLE III
	REPRESENTATIONS AND WARRANTIES OF BTMU to MUAH and MUB
	8

	3.1
	Organization
	8

	3.2
	Authorization
	9

	3.3
	Conflicts
	9

	3.4
	Delivery of US Branch Assets
	9

	3.5
	Compliance With Laws
	9

	3.6
	Litigation
	9

	3.7
	Licenses
	9

	3.8
	Taxes
	10

	3.9
	Insurance
	10

	3.1
	US Branch Assets
	10

	3.1
	Employee Matters
	10

	ARTICLE IV
	COVENANTS OF BTMU
	10

	4.1
	Business in Ordinary Course
	10

	4.2
	Continuing Regulatory Reporting
	11

	4.3
	Transfer of Non-Conforming and Low-Quality Assets
	11

	ARTICLE V
	ADDITIONAL AGREEMENTS
	11

	5.1
	Inspection of Records; Confidentiality
	11

	5.2
	Expenses
	11

	5.3
	Cooperation
	11

	5.4
	Dispute Resolution
	11

	5.5
	Regulatory Applications
	12

	5.6
	Notice
	12

	5.7
	Delivery of Supplements to Disclosure Schedules
	12

	5.8
	Tax Indemnification
	12

	5.9
	Impediments to the Transactions
	12

	ARTICLE VI
	CONDITIONS
	13

i

	
			
	6.1
	Conditions to the Obligations of MUAH
	13

	6.2
	Conditions to the Obligations of MUB
	13

	ARTICLE VII
	TERMINATION; AMENDMENT; WAIVER
	14

	7.1
	Termination
	14

	7.2
	Amendment and Waiver
	14

	ARTICLE VIII
	GENERAL PROVISIONS
	14

	8.1
	Survival
	14

	8.2
	Indemnification by BTMU and MUAH Respectively
	14

	8.3
	Notices
	15

	8.4
	Applicable Law
	16

	8.5
	Headings, Etc
	16

	8.6
	Severability
	16

	8.7
	Entire Agreement; No Third Party Rights; Binding Effect; Non-Assignment; Counterparts
	16

ii

EXECUTION COPY
CONFIDENTIAL

CONTRIBUTION AGREEMENT
THIS CONTRIBUTION AGREEMENT (this “Agreement”) effective  July  1, 2014 (the “Effective Date”), is by and among MUFG Americas Holdings Corporation  (“MUAH”), a Delaware corporation, The Bank of Tokyo-Mitsubishi UFJ, Ltd. (“BTMU”), a Japanese corporation, and MUFG Union Bank, N.A. (“MUB”), a national banking association.
		
	A.
	MUAH is a financial holding company under the Bank Holding Company Act of 1956 as amended (“BHCA”), and the sole stockholder of MUB.  MUAH is a wholly-owned subsidiary of BTMU.

		
	B.
	BTMU operates licensed branch offices in California, Illinois, and New York (collectively, the “US Branches”), as well as agency and representative offices in the US.  

		
	C.
	The US Branches hold the following assets that are the components of the noncash contributions contemplated by this Agreement: (i) exclusive ownership rights to BTMU’s US corporate customer list as identified on Exhibit B (“US Corporate Customer List”); (ii) BTMU’s US workforce-in-place as identified on Exhibit C (“BTMU US Employees”);  (iii) any US intangible property related to either the US Corporate Customer List and/or the BTMU US Employees;  and (iv) a certain amount of US Treasury securities  (collectively, the “US Branch Assets,” as identified in Exhibit A, the “US Branch Assets and Liabilities”).  

		
	D.
	The US Branch Assets have certain liabilities associated with them, including without limitation, employee-related liabilities such as bonuses, vacation pay, and deferred compensation (collectively, the “US Branch Liabilities,” as identified more specifically in Exhibit A, the “US Branch Assets and Liabilities”). 

		
	E.
	BTMU and MUAH wish to provide for the terms and conditions of a transaction in which the US Branch Assets will be contributed by BTMU to MUAH in exchange for the issuance of one (1) share of common stock of MUAH (the “First Contribution”). Immediately thereafter, MUAH will contribute the US Branch Assets to MUB in exchange for the issuance of one (1) share of common stock of MUB (the “Second Contribution”). The First Contribution and Second Contribution will be collectively referred to herein as the “Contributions.”  

		
	F.
	In addition to the Contributions, this Agreement addresses the understandings among the parties with respect to the assumption by MUAH and MUB of certain portions of the US Branch Liabilities defined as “Assumed Liabilities” herein (which do not include any of  the “Excluded Liabilities” as defined herein).  The parties intend that contemplated transactions will be in full compliance with applicable laws and regulations.  The parties acknowledge that some or all of  the Assumed Liabilities may result in MUB treating their contribution as a “covered transaction” for purposes of Regulation W of the Federal Reserve Board, 12 C.F.R. Part 223. 

		
	G.
	The parties intend that each of the First Contribution and Second Contribution include a contribution of US government securities with a fair market and book value on the Closing Date equal to or greater than the amount of total liabilities assumed by MUAH and MUB concurrently with the transfer of  the Contributions. 

		
	H.
	The parties and their affiliates intend that the First Contribution and the Second Contribution will each be treated for U.S. federal income tax purposes as an exchange described in Section 351(a) of the Internal Revenue Code of 1986, as amended (the “Code”) and as contributions-in-kind under Japanese tax law. The parties and their affiliates shall file all Tax Returns in a manner consistent with the treatment of the First Contribution and the Second Contribution as exchanges described in Section 351(a) of the Code, and as contributions-in-kind under Japanese tax law, and shall not take any tax 

Page 1

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position that is inconsistent with such treatment unless required to do so under applicable law pursuant to a "determination" within the meaning of Section 1313(a) of the Code.  
		
	I.
	All corporate approvals required from BTMU, MUAH and MUB have been granted for approval of the execution of this Agreement.

Accordingly, and in consideration of the representations, warranties, covenants, agreements and conditions herein contained, the parties hereto agree as follows:

ARTICLE I 
THE CONTRIBUTION AND RELATED MATTERS
1.1     First Contribution.  Subject to the terms and conditions of this Agreement and the satisfaction of the conditions set forth in Article VI hereof, BTMU agrees to assign and transfer to MUAH, as a capital contribution, all of BTMU’s right, title and interest in and to the US Branch Assets, and MUAH agrees to assume, pay, perform and discharge as and when required as of or after the effective date and time of such contribution (the “Closing Date” and “First Closing Effective Time,” respectively), all duties, responsibilities, and obligations to be discharged, performed, satisfied or paid with respect to the period on or after the First Closing Effective Time relating to the US Branch Assets and the Assumed Liabilities.  Notwithstanding anything to the contrary in this Agreement, MUAH’s liabilities shall be limited to the Assumed Liabilities identified in this Agreement and specifically referenced on Exhibit A.  MUAH shall not, pursuant to or as a result of this Agreement, other than as a result of the “Master Service Agreements” defined further herein, be bound by any other duties, responsibilities, obligations or liabilities, of any kind or nature, known, unknown, contingent or otherwise, of BTMU, including but not limited to the following liabilities (collectively, the "Excluded Liabilities"):
		
	(a)
	any liability identified as an Excluded Liability in this Agreement, including on Exhibit A;

		
	(b)
	any liability to the extent arising from or related to any breach of, default under, failure to perform, torts related to the performance of, violations of law, infringements or indemnities under, guaranties pursuant to and overcharges, underpayments or penalties on the part of BTMU arising prior to the Closing Date under, any assumed contract or other contract, agreement, arrangement or understanding to which BTMU is party prior to the Closing Date;

		
	(c)
	any liability to the extent arising from or related to the operation or condition of the US Branch Assets prior to the Closing Date; 

		
	(d)
	any liability related to the employment of the BTMU US Employees arising prior to the Closing Date, except for those liabilities identified as Assumed Liabilities in this Agreement, including on Exhibit A; and

		
	(e)
	all liabilities for Excluded Taxes.

1.2    Second Contribution.  Subject to the terms and conditions of this Agreement and the satisfaction of the conditions set forth in Article VI hereof, effective immediately following the First Closing Effective Time (the “Second Closing Effective Time”) MUAH agrees to assign and transfer to MUB, as a capital contribution, all of MUAH’s right, title and interest in and to the US Branch Assets, and MUB agrees to assume, pay, perform and discharge as and when required as of or after the Second Closing Effective Time, all duties, responsibilities, obligations or liabilities of MUAH (of any kind, whether accrued, contingent or otherwise), to be discharged, performed, satisfied or paid with respect to the period on or after the Second Closing Effective Time relating to the US Branch Assets and the Assumed Liabilities.  Notwithstanding anything to the contrary in this Agreement, MUB shall not, pursuant to or as a result of this Agreement, other than as a result of the Master Service Agreements defined herein, assume or be bound by any duties, responsibilities, obligations or liabilities related to the Excluded Liabilities.  

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1.3    Setting of Closing Date, First Closing Effective Time and Second Closing Effective Time.  As soon as practicable after each of the conditions set forth in Article VI hereof have been satisfied or waived, BTMU, MUAH and MUB will agree on the Closing Date; the parties acknowledge that they currently intend July 1, 2014 to be the Closing Date; BTMU and MUAH agree that the First Closing Effective Time shall be 12:01 am EST on the Closing Date and the Second Closing Effective Time shall be 12:02 am EST on the Closing Date.
1.4    Closing of First Contribution and Second Contribution.  Subject to the conditions set forth in this Agreement, the consummation of the First Contribution (the “First Closing”) shall be held at the First Closing Effective Time and be held by telephone or in person among the parties by legal counsel.  The First Closing shall be effective upon the release by all parties of signatures (whether original, facsimile or electronically transmitted) of the other parties to all documents required to be delivered at the First Closing.  Subject to the consummation of the First Closing, the consummation of the Second Contribution (the “Second Closing”) shall be held at the Second Closing Effective Time and be held by telephone or in person among the parties by legal counsel.  The Second Closing shall be effective upon the release by all parties of signatures (whether original, facsimile or electronically transmitted) of the other parties to all documents required to be delivered at the Second Closing. On the Closing Date, BTMU shall deliver or make available to MUAH and MUB:  (i) all books and records related to the US Branch Assets, and (ii) such other documents as are reasonably necessary to consummate the transactions contemplated by this Agreement.  Prior to the Closing Date, the parties shall mutually agree to a Closing checklist of information and other materials that must be exchanged and actions that must occur as of the Closing Date.   
1.5    Employee Matters.   
(a)    Migrating Employees. The BTMU US Employees who are migrating to MUB shall consist of the employees of BTMU’s branches, agency and representative offices in the U.S. as of the Closing Date who are listed by name in Exhibit C.  In addition to the identification of BTMU US Employees who shall become MUB employees as of the Closing Date, set forth on Exhibit C to this Agreement, BTMU shall provide to MUB by secure transmission specific information as reasonably requested by MUB regarding each BTMU US Employee, including, but not limited to each BTMU US Employee’s functional title, salary, date of hire, office location, and leave status. Any BTMU US Employee identified on Exhibit C who is on a leave of absence as of the Closing Date because of short-term disability, family medical leave, military leave, workers’ compensation, or any other leave approved by BTMU (“Leave of Absence”) shall become an employee of MUB as of the Closing Date.  BTMU shall identify each BTMU US Employee on a Leave of Absence on the BTMU Disclosure Schedule.    If any BTMU US Employee who is or becomes eligible to receive long-term disability benefits under BTMU’s long-term disability program before the Closing Date is terminated by BTMU before the Closing Date, then such individual will not become an employee of MUB as of the Closing Date.  However, if any BTMU U.S. Employee described in the foregoing sentence returns to employment, such employee will become a MUB employee on the date that he or she returns to employment. Certain of the BTMU Employees listed on Exhibit C are subject to special employment arrangements as “Ex Pat Employees,” because while the employees’ base salaries are paid in the U.S. and subject to U.S. tax withholding, they remain covered by BTMU global performance compensation and benefits plans in expectation of their eventual reassignment to other BTMU positions as part of BTMU’s global officer rotation development program.  Copies of all employment records of the BTMU US Employees relating to their employment with BTMU will be delivered by BTMU to MUB to the full extent permitted by law at the Closing.  MUB agrees to provide BTMU with reasonable access to such records after the Closing.  
(b)    BTMU Authority. Without the prior written consent of MUAH, which consent shall not be unreasonably withheld or delayed, BTMU will not, on or after the date of this Agreement, increase the compensation or benefits payable to BTMU US Employees, other than increases in the ordinary course of business consistent with past practice, or enter into any employment, severance or consulting contracts with respect to the BTMU US Employees other than contracts entered into in the ordinary course of business consistent with past practice. 
(c)    Assumed Liabilities. On the Closing Date, MUB shall assume the employment of BTMU US Employees and all employer obligations arising from service performed on and after that date.  Except for items listed in Exhibit A as Assumed Liabilities, MUB shall not assume any obligations of BTMU to such BTMU US Employees attributable to service performed by those employees before the Closing Date. In addition, MUB shall 

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not assume any obligations of BTMU to any other person who is not a BTMU US Employee, such as employees of any U.S. subsidiary of BTMU who are not BTMU US Employees. The parties acknowledge that MUB’s assumption of the Assumed Liabilities listed in Exhibit A may be treated, in whole or in part, by MUB as “covered transactions” under Regulation W.  
(d)    MUB Employment. Subject to such background screening process and acceptable results as may be required by MUB, BTMU US Employees shall commence employment by MUB on the Closing Date (i) with responsibilities and duties comparable to the responsibilities and duties of the BTMU US Employee’s employment with BTMU, and (ii) at base pay no less than the BTMU US Employee’s base pay with BTMU on the day before the Closing Date.
(e)    BTMU Employee Plans. Exhibit D lists the material BTMU-sponsored employee benefit plans provided to BTMU US Employees as of the Effective Date.  Exhibit D classifies each of these BTMU plans into one of the following five categories reflected below. MUB will participate in these BTMU plans as follows:
		
	(1)
	Compensation Plans. Effective on the Closing Date, MUB will become a participating employer in each of the Compensation Plans. Accordingly, for any outstanding awards under these plans on the Closing Date, BTMU US Employees will receive vesting credit (if applicable) for MUB service in accordance with the plan’s terms. 

		
	(2)
	Retirement Plans. Effective on the Closing Date, MUB will become a participating employer in each of the Retirement Plans. From the Closing Date through December 31, 2014, BTMU US Employees will continue to participate in and accrue benefits (for MUB service) under the Retirement Plans in accordance with each plan’s terms. In addition, on and after January 1, 2015, BTMU US Employees will continue to earn eligibility for benefits from BTMU under the Retiree Medical plan (but not under any other Retirement Plan) in accordance with that plan’s terms. 

		
	(3)
	Health and Welfare Plans. Effective on the Closing Date, MUB will become a participating employer in each of the Health and Welfare Plans. From the Closing Date through December 31, 2014, BTMU US Employees will continue to participate in the Health and Welfare Plans in accordance with each plan’s terms.

		
	(4)
	Severance Plans. Effective on the Closing Date, MUB will become a participating employer in each of the Severance Plans. Any BTMU US Employee who receives a notice of termination from the Closing Date through December 31, 2014 and has a termination date before April 1, 2015 will remain covered by (and if applicable, receive credit for MUB service under) the Severance Plans in accordance with each plan’s terms.

		
	(5)
	Disability Plans. Effective on the Closing Date, MUB will become a participating employer in any of the Disability Plans that BTMU US Employees will continue to participate in from the Closing Date through December 31, 2014. 

(f)    MUB Employee Plans. From the Closing Date through December 31, 2014, BTMU US Employees will not be eligible to participate in any of MUB’s employee benefit plans that provide benefits substantially similar to those provided under any of the BTMU-sponsored plans described in Exhibit D. On and after January 1, 2015, MUB will provide BTMU US Employees with the opportunity to participate in MUB-sponsored employee benefit plans on the same terms as those provided to other similarly situated employees, subject to the following: 
		
	(1)
	MUB shall give each BTMU US Employee credit for pre-2015 service as an employee of BTMU or MUB for purposes of eligibility and vesting (but not benefit accrual), except as may be specifically provided for under the MUB Retirement Plan for BTMU employees hired from December 1, 2013 through June 30, 2014, under MUB’s ERISA Plans to which 

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such BTMU US Employee may be eligible to participate. “ERISA” means the Employee Retirement Income Security Act of 1974, as amended.  “ERISA Plan” means any “plan” as defined in ERISA Section 3(3).    
		
	(2)
	MUB shall take all reasonable efforts to obtain waivers, with respect to BTMU US Employees, of any pre-existing condition exclusion for participation in MUB’s ERISA Plans that are health and welfare plans, including medical, dental, vision, employee term life and disability insurance, to which such BTMU US Employees may be eligible to participate, except to the extent that a BTMU U.S. Employee is already subject to a pre-existing condition exclusion for participation in a BTMU-sponsored employee benefit plan. 

		
	(3)
	With regard to each BTMU US Employee who, as of January 1, 2015, is entitled to participate in MUB’s Supplemental Executive Retirement Plan for Policy Making Officers (“PMO SERP”), the employee’s PMO SERP account will be credited with an amount equal to the amount that would have been credited to that account had the employee participated in the PMO SERP as an MUB employee commencing July 15, 2013, computed using SERP-recognized compensation that he or she received for BTMU and MUB service from that date through December 31, 2014.  Notwithstanding the preceding sentence, no BTMU US Employee will become a participant in the PMO SERP before January 1, 2015.  

(g)    MUB Payroll and Bonus Programs. MUB will provide BTMU US Employees with the opportunity to participate in MUB’s vacation program on and after the Closing Date, and in MUB’s bonus programs on and after July 1, 2014, on the same terms as those provided to other similarly situated employees. For purposes of determining the BTMU US Employees’ accrual rate under MUB’s vacation program, MUB shall treat service with BTMU before the Closing Date as service with MUB.  
(h)    BTMU Liabilities.  BTMU will be solely responsible for all liabilities associated with the following:
		
	(1)
	Excluded Liabilities under Exhibit A.

		
	(2)
	For the plans listed in Exhibit D, all benefits attributable to BTMU US Employees’ service before the Closing Date, including but not limited to any employer contributions to BTMU’s Retirement Plans attributable to that service, other than the Assumed Liabilities.  

		
	i.
	If benefits attributable to BTMU US Employees’ service before the Closing Date are provided under an MUB employee benefit plan, then the provision of benefits under the MUB plan will be on behalf of BTMU and such benefits will remain an Excluded Liability for which BTMU will be solely liable.  MUB will be liable only for benefits attributable to BTMU US Employees’ service on and after the Closing Date.  

		
	ii.
	If MUB becomes a participating employer in any of the BTMU plans listed in Exhibit D, then MUB’s liability as a participating employer will be limited to benefits attributable to BTMU US Employees’ service on and after the Closing Date.   

		
	(3)
	For the MUB employee benefit plans, any benefits attributable to BTMU US Employees’ service before the Closing Date.  

		
	(4)
	For all BTMU US Employees who are PMOs, any credits to the employee’s MUB PMO SERP account attributable to service from July 15, 2013 through the day before the Closing Date.  

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	(5)
	Providing COBRA coverage and otherwise complying with the continuation coverage requirements under COBRA with respect to qualifying events (as defined by COBRA) for BTMU US Employees terminated prior to the Closing Date.  “COBRA” means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended from time to time.

		
	(6)
	Any severance payments owed to BTMU US Employees that are attributable to service before the Closing Date. 

		
	(7)
	For any BTMU US Employee who is on short-term disability leave as of the Closing Date, the cost of all benefits and compensation provided to that employee on and after the Closing Date until he or she returns to MUB employment.

BTMU and MUB will develop a method for reasonably calculating BTMU’s liabilities under this subsection (h) and in accordance with the requirements of Regulation W.  The calculation of BTMU liabilities attributable to the Retirement Plans will be based on GAAP accounting rules for retirement benefits and post-retirement medical benefits, as applicable.
(i)    MUB Liabilities.  MUB will be solely responsible for Assumed Liabilities under Exhibit A.   The Assumed Liabilities include the annual discretionary cash performance bonus (“Annual Bonus”) which is referenced on Exhibit A, that covers the performance period from April 1, 2014 to June 30, 2014 while BTMU US Employees were still employed by BTMU and which shall be equal to one quarter of the cash performance bonus amount for the 12-month period ending March 31, 2015 to be paid to BTMU US Employees in or around late May or early June 2015, and which such amount will not be known until that time.  MUB shall also be responsible for all liabilities associated with compensation and benefits provided to BTMU US Employees for service with MUB on and after the Closing Date, including liabilities attributable to benefits accrued on and after the Closing Date by those Employees under BTMU’s Cash Balance Pension Plan, Retiree Medical plan, and 401(k) Savings and Investment Plan, other than Excluded Liabilities.  Otherwise, BTMU plan liabilities and benefits payments will remain with BTMU.  However, BTMU and MUB will develop a method based on GAAP accounting rules for retirement benefits and post-retirement medical benefits, as applicable, for reasonably calculating MUB’s reimbursement obligations under the BTMU Cash Balance Pension Plan, Retiree Medical plan, and 401(k) Savings and Investment Plan.  The parties intend that:  (i) MUB shall reimburse BTMU for the service cost for the BTMU Cash Balance Pension Plan from July 1, 2014 through December 31, 2014; and (ii) MUB shall reimburse BTMU for the service cost for the Retiree Medical Plan during the period from July 1, 2014 through the date that the employee satisfies the age and service conditions for benefits under the Retiree Medical Plan.  With respect to the 401(k) Savings and Investment Plan, BTMU shall make the payment into the 401(k) Savings and Investment Plan for all employee and employer contributions due with respect to services performed by MUB employees on or after July 1, 2014 and MUB will reimburse BTMU for such contributions.   
(j)    Master Service Agreements. The parties intend to execute certain service agreements (“Master Services Agreements”) for MUB and MUAH to respectively perform a wide range of business and support services to BTMU, as detailed in the Service Schedules incorporated into the applicable Master Services Agreement on and after the Closing Date, as well as a Master Service Agreement for MUB to perform certain services to MUAH on and after the Closing Date.  Among the various services which MUB shall perform to BTMU, MUB will perform certain pension and other employee benefit administration services for BTMU with respect to the BTMU US Employees as further specified in the applicable Master Service Agreement, in addition to acting as payor agent for BTMU with respect to any payments made by MUB, on BTMU’s behalf, for any Excluded Liabilities.  In addition, MUB and BTMU shall agree to certain arrangements documented in the applicable Master Service Agreement to provide administrative services in connection with the BTMU plans listed in Exhibit D as required by this Agreement.  
(k)     No Right of Employment; No Third Party Rights.  Nothing in this Agreement, express or implied, shall create any third party beneficiary nor confer upon any employee of BTMU, or any representative of any such employee (excluding BTMU), any rights or remedies, including any right to employment or continued employment for any period or terms of employment, for any nature whatsoever, or with respect to the compensation, benefits, or other terms and conditions of employment.  MUB shall not be prevented or restricted, on and after the Closing Date, 

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from modifying or terminating the employment or terms of employment of any BTMU US Employee, including amending or terminating of any MUB employee benefit or compensation plan, program or arrangement, or on and after January 1, 2015, its participation in any of the BTMU-sponsored employee benefit plans listed in Exhibit D.
(l)    Indemnification. Notwithstanding anything to the contrary contained in this Agreement, BTMU shall be liable for and shall indemnify and hold MUAH and MUB, their respective officers, directors, employees, advisers, agents and representatives harmless from any and all Losses associated with:  (1) the employment, terms and conditions of employment, or termination of the employment of a BTMU US Employee in respect of any period up to and including the Closing Date, including any claim by, or on behalf of, a BTMU US Employee which arises under federal, state or local statute, regulation or ordinance (including Title VII of the Civil Rights Act of 1964, the Civil Rights Act of 1991, the Family and Medical Leave Act, Section 1981, the Age Discrimination in Employment Act of 1990, the Equal Pay Act, the Americans with Disabilities Act of 1990, ERISA and all other statutes regulating the terms and conditions of employment), under the common law or in equity (including any claims for wrongful discharge or otherwise), or under any benefit plans or under any policy, agreement, understanding or promise, written, oral or implied, formal or informal, between BTMU and such employee; and (2) the engagement or termination of engagement of any independent contractor or consultant by BTMU, or any terms of any such contract in respect of any period up to and including the Closing Date, in respect, including any claim by, or on behalf of, an independent contractor or consultant for breach of contract, or purporting to arise under federal, state or local statute, regulation or ordinance (including Title VII of the Civil Rights Act of 1964, the Civil Rights Act of 1991, the Family and Medical Leave Act, Section 1981, the Age Discrimination in Employment Act of 1990, the Equal Pay Act, the Americans with Disabilities Act of 1990, ERISA and all other statutes regulating the terms and conditions of employment), under the common law or in equity (including any claims for wrongful discharge or otherwise), or under any benefit plans or under any policy, agreement, understanding or promise, written, oral or implied, formal or informal, between BTMU and such independent contractor or consultant.
(m)    No Liability for Non-Migrating Employees.  In the event that any BTMU US Employee decides not to be migrated to MUB as of the Closing Date, MUAH and MUB shall assume no liability for any separation benefits, change in control or similar payments that they may be entitled to.  
(n)    No Assignment. As of the Closing Date, no contractual obligations for non-employees, including temporary and contract labor employees, shall be assigned to or assumed by MUAH or MUB; after the Closing Date, MUAH and/or MUB, in their sole discretion, may enter into new direct contracts as necessary with such non-employees, or assume existing BTMU contracts with existing non-employees. 
1.6    Reservation of Right to Revise Transaction.  After consultation between BTMU, MUAH and MUB, the parties may change the method of effecting the First Contribution and Second Contribution (including without limitation the provisions of this Article I), to the extent permitted by applicable law and to the extent they mutually determine such change to be desirable.
1.7    Additional Actions.  If, at any time after the Closing Date, MUAH or MUB shall consider or be advised that any further deeds, assignments or assurances or any other acts are necessary or desirable to (a) vest, perfect or confirm, of record or otherwise, in MUAH or MUB its right, title or interest in, to or under any of the rights, properties or assets of BTMU, or (b) otherwise effect the First Contribution and Second Contribution, BTMU shall cooperate and provide all reasonable assistance.  

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ARTICLE II
REPRESENTATIONS AND WARRANTIES OF MUAH AND MUB TO BTMU
MUA Hand MUB represent and warrant to BTMU that:
2.1    Organization.  MUAH is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware and has all requisite power and authority, to own, operate and lease its assets and properties and to carry on its business substantially as it has been and is now being conducted.  MUAH is duly qualified to do business and is in good standing in each jurisdiction where the character of the assets or properties owned or leased by it or the nature of the business transacted by it requires that it be so qualified, except for any failure to so qualify that would not be material to either the business of MUAH or its ability to enter this Agreement and consummate the transactions contemplated hereby.
MUB is a national banking association formed under the laws of the United States, is validly existing and in good standing under federal law, and has all requisite power and authority to own, operate and lease its assets and properties and to carry on its business substantially as it has been and is now being conducted. 
2.2    Authorization.  The execution, delivery and performance of this Agreement has been duly approved and authorized by appropriate corporate action of MUAH and MUB.  This Agreement has been duly executed and delivered by MUAH and MUB and constitutes a valid and binding obligation and is enforceable, except to the extent that enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, receivership, conservatorship or similar laws or equitable principles or doctrines.
2.3    Conflicts.  The execution and delivery of this Agreement does not, and the consummation of the transactions contemplated hereby will not, to the best knowledge of MUAH, result in, as applicable, any violation, breach or termination of, or default or loss of a material benefit under, any provision of the Articles of Incorporation or Bylaws of MUAH or similar documents of any subsidiary of MUAH (each, a “MUAH Subsidiary”), or any material contract of MUAH or any MUAH Subsidiary or any judgment, order, decree, statute, law, ordinance, rule or regulation applicable to MUAH or any MUAH Subsidiary or their respective properties, other than any such conflicts, violations or defaults which (i) will be cured or waived prior to the Closing Date or (ii) are in the aggregate, not material to, as applicable, MUAH or any MUAH Subsidiary.  No consent, approval, order or authorization of, or registration, declaration or filing with, any federal or state governmental authority is required by or with respect to MUAH in connection with the execution and delivery of this Agreement or the consummation by MUAH of the transactions contemplated hereby or thereby except for the filing of all required regulatory applications or notifications, and receipt of associated approvals, by BTMU, MUB, MUAH and/or MUAH Subsidiaries for approval of the transactions contemplated by this Agreement.
2.4    Capitalization and Shares Outstanding.  As of the date hereof, all outstanding stock of MUAH consists of 136,330,830 outstanding shares of common stock, par value of $1.00 each.  

ARTICLE III
REPRESENTATIONS AND WARRANTIES OF BTMU TO MUAH AND MUB
BTMU has previously delivered to MUB and MUAH the BTMU Disclosure Schedule, attached to this Agreement, setting forth, among other things, items the disclosure of which is necessary or appropriate either in response to an express disclosure requirement contained in a provision hereof or as an exception to one or more representations or warranties contained in Article III.  
BTMU represents and warrants to MUAH and MUB that:
3.1    Organization.  BTMU is a banking corporation duly organized, validly existing and in good standing under the laws of Japan and authorized under the laws of Japan and is duly qualified to do business and is in good standing in each US jurisdiction where the character of US Branch assets or the nature of the business transacted with respect to the US Branch Assets requires that BTMU be so qualified, except for any failure to so 

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qualify that would not be material to either the business of BTMU or its ability to enter this Agreement and consummate the transactions contemplated hereby.
3.2    Authorization.  The execution, delivery and performance of this Agreement has been duly approved and authorized by appropriate corporate action of BTMU.  This Agreement has been duly executed and delivered by BTMU and constitutes a valid and binding obligation and is enforceable against BTMU, except to the extent that enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, receivership, conservatorship or similar laws or equitable principles or doctrines.
3.3    Conflicts.  The execution and delivery of this Agreement does not, and the consummation of the transactions contemplated hereby will not, to the best knowledge of BTMU, result in, as applicable, any violation, breach or termination of, or default or loss of a material benefit under, any material contract of BTMU or any judgment, order, decree, statute, law, ordinance, rule or regulation applicable to BTMU or its properties, other than any such conflicts, violations or defaults which (i) will be cured or waived prior to the Closing Date or (ii) are in the aggregate, not material to, the US Branch Assets.  No consent, approval, order or authorization of, or registration, declaration or filing with, any federal or state governmental authority is required by or with respect to BTMU in connection with the execution and delivery of this Agreement or the consummation by BTMU of the transactions contemplated hereby or thereby except for the filing of all required regulatory applications or notifications, and receipt of associated approvals, by MUAH, MUB and BTMU, for approval of the transactions contemplated by this Agreement.
3.4    Delivery of US Branch Assets.  The delivery of the US Branch Assets as contemplated by this Agreement is not subject to any preemptive right, right of first refusal or other similar right to the benefit of a third party.  BTMU is the record and beneficial owner of, and has good and valid title to, the US Branch Assets, free and clear of any Lien.  For purposes of this Agreement, “Lien” means a charge, mortgage, pledge, lien or similar encumbrance.
3.5    Compliance With Laws.  
		
	(a)
	Except as disclosed in Section 3.5(a) of the BTMU Disclosure Schedule, since December 31, 2012, the businesses associated with the US Branch Assets are, and have been, conducted substantially in compliance with all material laws, ordinances and regulations applicable to them.  

		
	(b)
	No investigation or review by any Governmental Entity with respect to BTMU’s US operations is pending or, to the best knowledge of BTMU, threatened, nor has any Governmental Entity indicated to BTMU an intention to conduct the same, other than normal bank regulatory examinations reviews and examinations that are in the ordinary course of the businesses of the US Branches, including bank regulatory examinations and reviews and examinations by governmental taxing authorities.  For purposes of this Agreement, “Governmental Entity” means any domestic or foreign governmental or regulatory authority, agency, commission, body, court or other legislative, executive or judicial Governmental Entity.

3.6    Litigation.  There is no suit, action, investigation or proceeding, legal, quasi-judicial, administrative or otherwise, pending or, to the best knowledge of BTMU threatened, against or affecting the US Branches, or any of their respective officers, directors, employees or agents, in their capacities as such, which is seeking equitable relief or damages against BTMU, or any of its respective officers, directors, employees or agents, in their capacities as such,  or which would materially affect the ability of BTMU to consummate the transactions contemplated herein or which is seeking to enjoin consummation of the transactions provided for herein or to obtain other relief in connection with this Agreement or the transactions contemplated hereby, nor is there any judgment, decree, injunction, rule or order of any court outstanding against BTMU or any of its respective officers, directors, employees or agents, in their capacities as such, having, or which is reasonably expected to have, any such effect.
3.7    Licenses.  The US Branches hold all licenses, certificates, permits, franchises and all patents, trademarks, service marks, trade names, copyrights or right thereto, and required authorizations, approvals, consents, 

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licenses, clearances and orders or registrations with all appropriate federal, state or other authorities that are material to the conduct of their respective businesses as are expected to be conducted at the Closing Date.
3.8    Taxes.  Except as set forth in the BTMU Disclosure Schedule:
		
	(a)
	Filing of Tax Returns, Payment of Taxes, Etc.  BTMU has timely filed or has caused to be timely filed all Tax Returns required to have been filed by it.  Each such Tax Return has been prepared in compliance with all applicable laws and regulations, and all such Tax Returns are true, accurate and complete in all respects.  All Taxes that have become due and payable by BTMU have been timely paid, and any Taxes of BTMU arising after such date and on or before the Closing Date have been or will be incurred in the ordinary course of the business of BTMU.  BTMU has made available to MUAH true, correct and complete copies of all Tax Returns filed by or with respect to it, and has made available to MUAH all relevant documents and information with respect thereto, including work papers, records, examination reports, and statements of deficiencies proposed or assessed against or agreed to by BTMU.

		
	(b)
	Liens.  There are no Liens for Taxes (other than current Taxes not yet due and payable) on any of the assets of BTMU.

3.9    Insurance.  BTMU maintains insurance with insurers which in the best judgment of management of BTMU are sound and reputable on their respective assets and upon their respective businesses and operations against loss or damage, risks, hazards and liabilities as in their judgment they deem appropriate.  BTMU maintains in effect all insurance required to be carried by law or by any agreement by which it is bound.  All material claims under all policies of insurance maintained by BTMU have been filed in due and timely fashion.  BTMU has not, since December 31, 2012, had an insurance policy canceled or been denied any insurance coverage for which it has applied.     
3.10    US Branch Assets.  BTMU has good and marketable title to the US Branch Assets.  
3.11    Employee Matters.  Except as set forth in the BTMU Disclosure Schedule, no BTMU US Employee has a contract or agreement with BTMU for a specified term of employment or that contains a change-in-control provision or that provides for any severance other than pursuant to BTMU’s severance pay plan generally applicable to BTMU’s employees, and all BTMU US Employees are at-will employees.  The BTMU US Employees are not, and during the last five years have not been, members of a bargaining unit covered by a collective bargaining agreement or similar agreement with any labor organization to which any BTMU is a party.  BTMU is not aware of any union organizing effort, representation petition, strike, slowdown, stoppage or lockout or other labor dispute involving the BTMU US Employees, either currently or during the last five years.  As of the date of this Agreement, to the knowledge of BTMU, none of the BTMU US Employees are the subject of any representation petition before the National Labor Relations Board.  BTMU has informed the each BTMU US Employee that after the Closing Date the BTMU US Employee will be required to comply with MUB’s Business Standards for Ethical Conduct applicable to all MUB Employees (the “BSEC”) as it changes from time to time and that each BTMU US Employee will be provided with access to an electronic copy of the BSEC and will be required to complete the related MUB employee BSEC training requirements within ninety (90) days after the Closing Date.
ARTICLE IV     
COVENANTS OF BTMU
4.1    Business in Ordinary Course.  In preparation for the Closing Date, BTMU shall continue to carry on the businesses and the discharge or incurring of obligations and liabilities, of the US Branches, only in the usual, regular and ordinary course of business, as heretofore conducted, except for transactions structured to prepare the US Branches for the transactions contemplated by this Agreement.   BTMU shall not, without the prior written consent of MUB, engage in any transaction or take any action that would be reasonably expected to render untrue any of the 

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representations and warranties of BTMU contained in Article III hereof, if such representations and warranties were given as of the Closing Date.
4.2    Continuing Regulatory Reporting.  From Effective Date through  the period required to file all required regulatory reports for the 2014 calendar year, BTMU shall provide all necessary resources to continue to make all necessary reports and regulatory filings on a timely basis and in correct and accurate form and substance with respect to the US Branches and the US Branch Assets and, to the extent permitted by applicable law, to deliver to MUB and MUAH the regulatory filings made by BTMU with respect to the US Branches and the US Branch Assets.
4.3    Transfer of Non-Conforming and Low-Quality Assets.  The parties acknowledge and agree that the US  Branch Assets contributed under the First and Second Contributions shall not include any assets that are non-conforming assets for a national bank or shall not include the contribution of any loan assets, including those that, in the reasonable judgment of MUB, are or may be subject to becoming (i) “low quality assets” as that term is defined in Section 23A(b)(10) of the Federal Reserve Act (12 U.S.C. § 371c(b)(10)) and Regulation W of the FRB (12 C.F.R.223.3(v)) and the rules and regulations associated therewith now existing or as may be amended in the future or (ii) a criticized asset as determined by MUB’s risk rating guidelines in effect as of the Closing Date. 
ARTICLE V     
ADDITIONAL AGREEMENTS
5.1    Inspection of Records; Confidentiality.  
(o)    BTMU shall afford to MUB and to MUB’s accountants, counsel and other representatives full access during normal business hours during the period prior to the Closing Date to all of its properties, books, contracts, commitments and records, including all attorneys’ responses to auditors’ requests for information, and accountants’ work papers, developed by BTMU or its accountants or attorneys, with respect to the US Branches and the US Branch Assets, and will permit MUB and its representatives to discuss such information directly with BTMU’s officers, directors, employees, attorneys and accountants.  BTMU shall use its commercially reasonable efforts to furnish to MUB all other information concerning the business, properties and personnel of the US Branches as MUB may reasonably request; however, such access may be limited so as to avoid unreasonable disruption or interference with BTMU’s business operations or as required by law.  Any failure to comply with this covenant shall be disregarded if promptly corrected without material adverse consequences to MUB.  The availability or actual delivery of information shall not affect the representations, warranties, covenants, and agreements of BTMU that are contained in this Agreement or in any certificates or other documents delivered pursuant hereto.
5.2    Expenses.  Each party hereto shall bear its own expenses incident to preparing, entering into and carrying out this Agreement and to consummating the First Contribution and Second Contribution.
5.3    Cooperation.  Each party covenants that it will use its commercially reasonable efforts to bring about the transactions contemplated by this Agreement as soon as practicable, unless this Agreement is terminated as provided herein.  Subject to the terms and conditions herein provided, each of the parties hereto agrees to use their commercially reasonable efforts to take, or cause to be taken, all action, and to do, or cause to be done, all things necessary, proper or advisable under applicable laws and regulations to consummate and make effective the transactions contemplated by this Agreement at the earliest practicable time.  In case at any time after the Closing Date any further action is necessary or desirable to carry out the purposes of this Agreement, the proper officers and/or directors of the parties, shall take all such necessary action.  Each party shall use its commercially reasonable efforts to preserve for itself and the other parties hereto each available legal privilege with respect to the confidentiality of their negotiations and related communications, including the attorney‐client privilege.
5.4    Dispute Resolution. Each party also agrees that it will promptly communicate to the other party any issues or concerns with respect to that party’s performance under this Agreement and escalate such issues or concerns promptly as necessary to the party’s respective senior management.  The parties agree to use commercially reasonable efforts to meet, confer and effectively resolve any disputes arising with respect to this Agreement. 

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5.5    Regulatory Applications.  The parties shall, as soon as practicable and appropriate after the date of this Agreement, file all necessary applications with all applicable regulatory authorities and shall use their commercially reasonable efforts to respond as promptly as practicable to all inquiries received concerning said applications.  Each party shall advise the other parties periodically of the status of each regulatory application.
5.6    Notice.  At all times prior to the Closing Date, each party shall promptly notify the other of the occurrence of any event known to it which will or may result in the failure to satisfy any of the conditions specified in Sections 6.1 or 6.2 hereof.  In the event that any party becomes aware of the occurrence or impending occurrence of any event which would constitute or cause a breach by it of any of its representations and warranties, covenants or agreements herein in any material respect, or would have constituted or caused a breach by it of its representations and warranties, covenants or agreements herein in any respect, had such an event occurred or been known prior to the date hereof, said party shall promptly give notice thereof to the other parties, and shall, unless the same has been waived in writing by the other parties, use its commercially reasonable efforts to remedy the same within 30 days, provided that such efforts, if not successful, shall not be deemed to satisfy any condition precedent to the First Contribution.
5.7    Delivery of Supplements to Disclosure Schedules.  Five business days prior to the Closing Date, BTMU will supplement or amend the BTMU Disclosure Schedule with respect to any matter hereafter arising which, if existing or occurring at or prior to the date of this Agreement, would have been required to be set forth or described in such BTMU Disclosure Schedule or which is necessary to correct any information in the BTMU Disclosure Schedule or in any representation and warranty made by the disclosing party which has been rendered inaccurate thereby.  For purposes of determining the accuracy of the representations and warranties of BTMU contained in Article III hereof in order to determine the fulfillment of the conditions set forth in Section 6.1(a) and 6.2(a) hereof as of the date of this Agreement, the BTMU Disclosure Schedule shall be deemed to include only that information contained therein on the date of this Agreement.
5.8    Tax Indemnification.  BTMU shall indemnify MUAH and MUB from and against:  (i) all liability for Taxes that constitute a breach of any of the representations in Section 3.8; (ii) all liability for Taxes of BTMU for all Pre-Closing Tax Periods; (iii) all Transfer Taxes; (iv) all liability for Taxes of any other person or entity for Pre-Closing Tax Periods (A) under Treasury Regulations Section 1.1502-6 (or comparable provision of state, local or foreign law), or (B) as transferee or successor; (v) all liability of BTMU for Taxes of any other person or entity pursuant to contracts to which BTMU is a party or otherwise bound as of the Closing Date; and (vi) any and all losses arising out of, resulting from, or incident to any breach of any representation, warranty, or covenant contained in Section 3.8. 
For purposes of this Agreement:  (a) “Pre-Closing Tax Period” means any Tax Period ending on or before the Closing Date and that portion of any Straddle Period ending at the close of business on the Closing Date; (b) “Tax” or “Taxes” (and with correlative meaning, “Taxable” and “Taxing”) means any United States federal, state or local, or non-United States, income, gross receipts, franchise, estimated, alternative minimum, add-on minimum, sales, use, transfer, registration, value added, excise, export, natural resources, severance, stamp, withholding, occupation, premium, windfall profit, environmental, customs, duties, real property, personal property, capital stock, capital gains, net worth, intangibles, social security, pension insurance contributions, unemployment, disability, payroll, license, employee or other tax or similar levy, of any kind whatsoever, including any interest, penalties, or additions to tax in respect of the foregoing; (c) “Tax Period” means any period prescribed by any Taxing authority for which a Tax Return is required to be filed and/or for which a Tax is required to be paid; (d) “Tax Returns” means any return, declaration, report, claim for refund, information return or other document (including any related or supporting estimates, elections, schedules, statements or information) filed or required to be filed in connection with the determination, assessment or collection of any Tax or the administration of any laws, regulations or administrative requirements relating to any Tax; and (e) “Transfer Taxes” means all excise, sales, use, transfer, stamp, documentary, filing, recordation and other similar Taxes that may be imposed in connection with the First Contribution, together with any interest, additions or penalties with respect thereto.
5.9    Impediments to the Transactions.  The parties to this Agreement agree not to take any action, and agree that they will promptly, after discovery, provide written notice of any fact, event or circumstance, that 

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would, or is reasonably likely to, materially impede or delay the consummation of the transactions contemplated by this Agreement, or the ability of the parties to obtain any approval of any regulatory authority required for the transactions contemplated by this Agreement or to perform their covenants and agreements under this Agreement, or cause or constitute a material breach of any of its representations, warranties, covenants or agreements contained herein.  
ARTICLE VI     
CONDITIONS
6.1    Conditions to the Obligations of MUAH.  Notwithstanding any other provision of this Agreement, the obligations of MUAH to accept the First Contribution are subject to the following conditions precedent (except as to those which MUAH may choose to waive):
		
	(a)
	all of the representations and warranties made by BTMU in this Agreement shall be true and correct in all material respects as of the Closing Date as though made on and as of the Closing Date;

		
	(b)
	BTMU shall have performed in all material respects all obligations and shall have complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by it prior to or at the Closing Date;

		
	(c)
	there shall not have been any action taken or any statute, rule, regulation or order enacted, promulgated or issued or deemed applicable to the First Contribution by any federal or state government or governmental agency or instrumentality or court, which would render any party hereto unable to consummate the transactions contemplated by this Agreement;

		
	(d)
	no regulatory authority shall impose any non-standard or unduly burdensome condition relating to the First Contribution such that it would substantially deprive MUAH or MUB of the economic benefits of the First Contribution, as determined in the reasonable judgment of MUAH; and

		
	(e)
	MUAH shall have received a certificate signed by an authorized executive officer of BTMU, dated as of the Closing Date, certifying that based upon his best knowledge, the conditions set forth in Sections 6.1 (a) and (b) hereof have been satisfied.

6.2    Conditions to the Obligations of MUB.  Notwithstanding any other provision of this Agreement, the obligations of MUB to consummate the Second Contribution are subject to the following conditions precedent (except as to those which MUB may choose to waive):
		
	(a)
	all of the representations and warranties made by MUAH and BTMU in this Agreement shall be true and correct in all material respects as of the Closing Date as though made on and as of the Closing Date;

		
	(b)
	MUAH and BTMU shall have performed in all material respects all obligations and shall have complied in all material respects with all agreements and covenants required by this Agreement to be performed or complied with by them prior to or at the Closing Date;

		
	(c)
	there shall not have been any action taken or any statute, rule, regulation or order enacted, promulgated or issued or deemed applicable to the Second Contribution by any federal or state government or governmental agency or instrumentality or court, which would render any party hereto unable to consummate the transactions contemplated by this Agreement;

		
	(d)
	no regulatory authority shall impose any non-standard or unduly burdensome condition relating to the Second Contribution such that it would substantially deprive MUB of the economic benefits of the Second Contribution, as determined in the reasonable judgment of MUB; and

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	(e)
	MUB shall have received a certificate signed by an authorized executive officer of each of MUAH and BTMU, dated as of the Closing Date, certifying that based upon his best knowledge, the conditions set forth in Sections 6.1 (a) and (b) hereof have been satisfied.

ARTICLE VII     
TERMINATION; AMENDMENT; WAIVER
7.1    Termination.  This Agreement may be terminated at any time prior to the Closing Date:
		
	(a)
	By the mutual written consent of MUAH, MUB and BTMU;

		
	(b)
	By MUAH, MUB or BTMU if there shall have been a final judicial or regulatory determination (as to which all periods for appeal shall have expired and no appeal shall be pending) that any material provision of this Agreement is illegal, invalid or unenforceable (unless the enforcement thereof is waived by the affected party) or denying any regulatory application the approval of which is a condition precedent to a party’s obligations hereunder and for which no alternative permissible structure is practicable;

		
	(c)
	By MUAH, MUB or BTMU in the event that any of the conditions precedent to the obligations of the other party to the First Contribution or Second Contribution are rendered impossible to be satisfied or fulfilled by the Closing Date (other than by reason of a breach by the party seeking to terminate);

7.2    Amendment and Waiver.  This Agreement may be amended by the parties hereto at any time.  This Agreement may not be amended except by an instrument in writing signed on behalf of each of the parties hereto.  Any term, provision or condition of this Agreement may be waived in writing at any time by the party which is entitled to the benefits hereof.
ARTICLE VIII     
GENERAL PROVISIONS
8.1    Survival.  The enforceability of rights and claims arising from or related to the representations, warranties, covenants and agreements of the parties in this Agreement shall survive the Closing Date.
8.2    Indemnification by BTMU and MUAH Respectively.  
(a)    BTMU hereby agrees to indemnify, defend and hold harmless MUAH from and against any damages, losses, charges, liabilities, claims, demands, actions, suits, proceedings, payments, judgments, settlements, assessments, deficiencies, taxes, interest, penalties, and costs and expenses (including removal costs, remediation costs, closure costs, fines, penalties and expenses of investigation and ongoing monitoring, attorneys’ fees, and out of pocket disbursements) (collectively, “Losses”) imposed on, sustained, incurred or suffered by, or asserted against, MUAH or any of its directors, officers, shareholders, employees, agents, attorneys, accountants, and representatives and their successors and permitted assigns (each, an “Indemnified Party”), whether in respect of third party claims, claims between the parties hereto, or otherwise, directly or indirectly relating to or arising out of (i)  any breach or inaccuracy of any representation or warranty made by BTMU contained in this Agreement or any document delivered pursuant to this Agreement for the period such representation or warranty survives, (ii) any material breach of any covenant or agreement of BTMU contained in this Agreement or any document delivered pursuant to this Agreement, (iii) all litigation or arbitration brought by creditors of BTMU arising out of the transactions contemplated by this Agreement, (iv) any and all liabilities under Environmental Law to the extent arising out of (A) the operation of the US Branches prior to the Closing Date, or (B) any activity, action or failure to take action by BTMU, any of its officers or employees or any person acting on behalf of BTMU prior to the Closing Date or the existence of any environmentally related condition relating to the business of BTMU to the extent resulting from any activity, action or failure to take action by BTMU, any of its officers or employees or any person acting on behalf of BTMU following the Closing (including in each case liabilities relating to (1) investigation, removal, remediation, containment, cleanup 

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or abatement of the presence, release or threatened release of any Hazardous Substance, whether on-site or off-site and (2) any claim by any third party, including tort suits for personal or bodily injury, property damage or injunctive relief relating to the presence of, or exposure to, any hazardous substance), or (v) any claim from or related to any person who is or was a BTMU employee on or before the Closing Date.  
(b)    MUAH hereby agrees to indemnify, defend and hold harmless MUB from and against any Losses imposed on, sustained, incurred or suffered by, or asserted against, MUB or its Indemnified Parties, whether in respect of third party claims, claims between the parties hereto, or otherwise, directly or indirectly relating to or arising out of (i)  any breach or inaccuracy of any representation or warranty made by BTMU contained in this Agreement or any document delivered pursuant to this Agreement for the period such representation or warranty survives, (ii) any material breach of any covenant or agreement of BTMU contained in this Agreement or any document delivered pursuant to this Agreement, (iii) all litigation or arbitration brought by creditors of BTMU arising out of the transactions contemplated by this Agreement, (iv) any and all liabilities under Environmental Law to the extent arising out of (A) the operation of the US Branches prior to the Closing Date, or (B) any activity, action or failure to take action by BTMU, any of its officers or employees or any person acting on behalf of BTMU prior to the Closing Date or the existence of any environmentally related condition relating to the business of BTMU to the extent resulting from any activity, action or failure to take action by BTMU, any of its officers or employees or any person acting on behalf of BTMU following the Closing (including in each case liabilities relating to (1) investigation, removal, remediation, containment, cleanup or abatement of the presence, release or threatened release of any Hazardous Substance, whether on-site or off-site and (2) any claim by any third party, including tort suits for personal or bodily injury, property damage or injunctive relief relating to the presence of, or exposure to, any hazardous substance), or (v) any claim from or related to any person who is or was a BTMU employee on or before the Closing Date.  .  
(c)    For purposes of this Agreement, the term “Environmental Law” means any federal, state, local or foreign statute, law, regulation, order, decree, permit, authorization or requirement of any Governmental Entity relating to: (A) the protection, investigation or restoration of the environment, health, safety, or natural resources, (B) the handling, use, presence, disposal, release or threatened release of any Hazardous Substance or (C) noise, odor, indoor air, employee exposure, wetlands, pollution, contamination or any injury or threat of injury to persons or property relating to any Hazardous Substance.
For purposes of this Agreement, the term “Hazardous Substance” means any substance that is: (A) listed, classified or regulated pursuant to any Environmental Law; (B) any petroleum product or by product, asbestos-containing material, lead-containing paint or plumbing, polychlorinated biphenyls, mold, radioactive material or radon; and (C) any other substance which may be subject of regulatory action by any Governmental Entity in connection with any Environmental Law.
8.3    Notices.  All notices and other communications hereunder shall be in writing and shall be deemed given if delivered personally, by facsimile transmission or by registered or certified mail to the parties at the following addresses (or at such other address for a party as shall be specified by like notice) and shall be deemed to be delivered on the date so delivered:
(a)    if to MUAH or MUB:
MUFG Union Bank, N.A.
445 S. Figueroa Street
12th Floor
Los Angeles, California
Facsimile: 213-236-7579
		
	Attention:
	Mark T. Gillett

Managing Director, Associate General Counsel

(b)    if to BTMU:

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The Bank of Tokyo-Mitsubishi UFJ, Ltd. 
1251 Avenue of the Americas 
New York, NY 10020
Facsimile:  415-765-3391
Attention:    Robert Hand
Managing Director, Deputy General Counsel

8.4    Applicable Law.  This Agreement shall be construed and interpreted according to the laws of the State of New York without regard to conflicts of laws principles thereof, except to the extent that the federal laws of the United States apply.
8.5    Headings, Etc.  The article headings and section headings contained in this Agreement are inserted for convenience only and shall not affect in any way the meaning or interpretation of this Agreement.
8.6    Severability.  If any term, provision, covenant, or restriction contained in this Agreement is held by a final and non-appealable order of a court of competent jurisdiction to be invalid, void, or unenforceable, then the remainder of the terms, provisions, covenants, and restrictions contained in this Agreement shall remain in full force and effect, and shall in no way be affected, impaired, or invalidated unless the effect would be to cause this Agreement to not achieve its essential purposes.
8.7    Entire Agreement; No Third Party Rights; Binding Effect; Non-Assignment; Counterparts.  Except as otherwise expressly provided herein, this Agreement (including the documents and instruments referred to herein) (a) constitutes the entire agreement between the parties hereto and supersedes all other prior agreements and undertakings, both written and oral, between the parties, with respect to the subject matter hereof; and (b) is not intended to confer upon any other person any rights or remedies hereunder except as specifically provided herein.  This Agreement shall be binding upon and inure to the benefit of the parties named herein and their respective successors.  Neither this Agreement nor any of the rights, interests or obligations hereunder shall be assigned by any party hereto without the prior written consent of the other party hereto.  This Agreement may be executed in two or more counterparts which together shall constitute a single agreement.
[BALANCE OF PAGE INTENTIONALLY LEFT BLANK]

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The undersigned have caused this Agreement to be executed as of the day and year first above written.
	
		
	MUFG AMERICAS HOLDINGS CORPORATION
	MUFG UNION BANK, N.A.

	By: /s/ Michael F. Coyne 
Title: General Counsel
	By:  /s/ Michael F. Coyne 
Title: General Counsel

	 
	 

	THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.
	 

	By:  /s/ Takashi Morimura 
Title: Deputy President and Representative Director
	 

	 
	:

	 
	 

	 
	 

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Exhibit A
US Branch Assets and Liabilities
[Estimated Values Subject to Finalization after the Closing Date]
(in thousands)

Assets/Liabilities                    US GAAP Book Value
CONTRIBUTIONS: 
U.S. Corporate Customer List                    n/a
Assembled Workforce                        n/a
		
	Securities (U.S. Treasuries)
	           70,003    

EXCLUDED LIABILITIES: 
All Cash Balance Pension Plan liabilities*                n/a
                                        
All Retiree Medical liabilities,
and all Retiree Medical claims whenever incurred*            n/a                
            
BTMU CLF Supplemental Executive
Retirement Plan                            n/a
BTMU Capital Corporation Supplemental
Executive Retirement Plan (SERP)                    n/a

*  Subject to the service cost of the respective plan as determined by the outside actuarial firm for reimbursement by MUB to BTMU as it relates to the obligations under Section 1.5(i) of the Agreement. 
ASSUMED LIABILITIES: 
Annual Bonus                            (31,584)
Medical/Dental claims (excluding retiree medical)
incurred as of 6/30/14 but not paid                     (1,936) 
Vacation Pay accrued as of 6/30/14                     (10,003)    
Deferred Compensation Plan                     (11,237)
Stock Bonus Plan                          (5,443)

Retention Pay accrued as of 6/30/14                        (504)
________
Total: (60,707)

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EXHIBIT B
US CORPORATE CUSTOMER LIST
[attached] 

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EXHIBIT C
BTMU US EMPLOYEES
[attached]

** The following employees are “Ex Pat” Employees, as referenced in Section 1.5(a):
[attached]

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EXHIBIT D
SUMMARY OF BTMU’S MATERIAL EMPLOYEE BENEFIT PLANS FOR BTMU US EMPLOYEES 

Compensation Plans
Deferred Compensation Plan
Stock Bonus Plan
Management Incentive Plan

Retirement Plans
401 (k) Savings and Investment Plan
Cash Balance Pension Plan
Retiree Medical
Retiree Life Insurance

Health and Welfare Plans
Medical Plans
		
	•
	Aetna Choice POS (Open Access)

		
	•
	Cigna Open Access Plus

		
	•
	Cigna Health Savings Account (HSA) Low Option

		
	•
	Cigna Health Savings Account (HSA) High Option

		
	•
	Fee-for-Service Option (Retirees only)

		
	•
	Health Care Flexible Spending Account

		
	•
	Health Savings Account

Dental Plans
		
	•
	Classic Dental Option (Metlife)

		
	•
	Network Dental Option (Cigna)

Vision Service Plan
Commuter Benefits Program
		
	•
	Commuter Parking/Transit Flexible Spending Account

		
	•
	Parking Pass Program (NJ employees only)

Insurance Plans
		
	•
	Supplemental Life Insurance

		
	•
	Basic Life Insurance

		
	•
	Dependent Life Insurance

		
	•
	Business Travel Insurance

		
	•
	Voluntary Accidental Death and Dismemberment Insurance

Maternity and Adoption Assistance
		
	•
	Adoption Assistance Policy

		
	•
	Maternity Disability Leave

Dependent Care Flexible Spending Account
Employee Assistance Program
College Savings Program

Severance Plans
U.S. Severance Plan
U.S. Executive Severance Plan
Enhanced Severance Program

Disability Plans
		
	•
	Short-term Disability

		
	•
	Long-term Disability

		
	•
	Supplemental Long-term Disability

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BTMU DISCLOSURE SCHEDULE 

1.With respect to Section 3.11, 
		
	(i) 
	retention agreements are in place for six BTMU US Employees, each of which has a term of employment; five of these agreements have terms through July 16, 2014; one of the agreements has a term through April 7, 2015; copies of these retention agreements have been provided to MUB; and

		
	(ii)  
	a non-standard severance arrangement is in place for one BTMU US Employee, whereby guaranteed bonus payments are made into 2016, and if employment is terminated for reasons other than cause or if it is terminated for death or disability by March 31, 2016, then the payout of these amounts, as well as an additional amount, is to be severanced.

		
	2.
	With respect to Section 1.5 (a) regarding Leaves of Absence, BTMU provides the following list of employees who are on Leave of Absence as of 7/1/14:

[see attached listing of employees on Leave of Absence].  

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