Document:

Exhibit 10.4

 

SALES AGREEMENT

 

between

 

HPT TA PROPERTIES LLC

 

as Purchaser,

 

and

 

TA OPERATING LLC,

 

as Seller

 

 

June 23, 2015

 

 

 

SALES AGREEMENT

 

THIS SALES AGREEMENT is made and entered into as of June 23, 2015 (the “Effective Date”) between HPT TA Properties LLC, a Maryland limited liability company, together with any of its successors and assigns as expressly permitted hereunder, as purchaser (“Purchaser”), and TA Operating LLC, a Delaware limited liability company, as seller (“Seller”).

 

PRELIMINARY STATEMENTS

 

Purchaser and Seller are parties, among others, to that certain Transaction Agreement, dated as of June 1, 2015 (the “Transaction Agreement”), pursuant to which Seller agreed to sell and Purchaser agreed to purchase the Property (this and other capitalized terms used and not otherwise defined herein shall have the meaning given such terms in Article 1), subject to and in accordance with the terms and conditions in the Transaction Agreement and as hereinafter set forth.

 

NOW, THEREFORE, it is agreed:

 

ARTICLE 1
 DEFINITIONS

 

1.1          Capitalized Terms.  Capitalized terms used and not otherwise defined in this Agreement shall have the meanings set forth below or in the section of this Agreement referred to below and such definitions shall apply equally to the singular and plural forms of such terms.

 

“Agreement”:  this Sales Agreement, together with all exhibits attached hereto.

 

“Closing”:  the closing and consummation of the purchase and sale transaction contemplated by this Agreement.

 

“Improvements”:  collectively, all buildings, structures and other improvements of every kind including, but not limited to, underground storage tanks, alleyways and connecting tunnels, sidewalks, utility pipes, conduits and lines (on-site and off-site), parking areas and roadways appurtenant to such buildings and structures situated upon the Land.

 

“Intangible Property”:  collectively, all transferable or assignable permits, certificates of occupancy, sign permits, development rights and approvals, certificates, licenses, warranties and guarantees, and all other transferable intangible property, miscellaneous rights, benefits and privileges of any kind or character related to the ownership, and not the operation, of the Land and Improvements, but only to the extent the foregoing is assignable without cost to Seller.

 

“Internal Revenue Code”:  the Internal Revenue Code of 1986, as amended and in effect from time to time, and including the applicable Treasury Regulations thereunder.

 

“Land”:  collectively, all of Seller’s right, title and interest in and to the parcel or parcels of land described in Exhibit A together with all easements and appurtenances related thereto.

 

 

“Permitted Encumbrances”:  collectively, applicable zoning, subdivision, building and other land use laws and regulations; liens for taxes, assessments and governmental charges not yet due and payable or due and payable but not yet delinquent; all matters shown on or referenced in the Title Commitment which are reasonably acceptable to Purchaser; and all matters shown on the Survey which are reasonably acceptable to Purchaser.

 

“Property”:  collectively, all of Seller’s right title and interest in and to the Real Property and/or the Intangible Property.

 

“Purchase Price”:  Seven Million Four Hundred Thirty Four Thousand and 00/100 Dollars ($7,434,000.00).

 

“Purchaser”:  the meaning given such term in the preamble of this Agreement.

 

“Real Property”:  collectively, the Land and the Improvements.

 

“Seller”:  the meaning given such term in the preamble of this Agreement.

 

“Survey”:  the ALTA/ACSM land title survey of the Real Property prepared by Williams & Works and dated May 5, 2011.

 

“Title Commitment”:  the title commitment for the Real Property issued by the Title Company and dated April 2, 2015.

 

“Title Company”:  First American Title Insurance Company.

 

ARTICLE 2
 PURCHASE AND SALE; CLOSING

 

2.1          Purchase and Sale.  In consideration of the payment of the Purchase Price by Purchaser to Seller as herein provided and for other good and valuable consideration, Seller shall sell the Property to Purchaser, and Purchaser shall purchase the Property from Seller, subject to and in accordance with the terms and conditions of this Agreement.

 

2.2          Closing.  The purchase and sale of the Property shall be consummated contemporaneously with the execution of this Agreement.

 

2.3          Purchase Price.  The purchase price to be paid by Purchaser to Seller for the Property shall be the Purchase Price.

 

2.4          IRS Real Estate Sales Reporting.  Seller shall act as “the person responsible for closing” the transaction which is the subject of this Agreement pursuant to Section 6045(e) of the Internal Revenue Code and shall prepare and file all informational returns, including IRS Form 1099-S, and shall otherwise comply with the provisions of Section 6045(e) of the Internal Revenue Code.

 

2

 

ARTICLE 3
 CLOSING OBLIGATIONS

 

3.1          Seller’s Closing Obligations.  On the Effective Date, Seller shall deliver to Purchaser:

 

(i)        A good and sufficient deed with covenants against grantor’s acts, or its local equivalent, in proper statutory form for recording, duly executed and acknowledged by Seller, conveying good and marketable fee simple title to the Real Property, free from all liens and encumbrances other than the Permitted Encumbrances;

 

(ii)       A certificate of non-foreign status, pursuant to Section 1445 of the Internal Revenue Code, substantially in the form of Exhibit B, duly executed by TravelCenters of America LLC;

 

(iii)      An executed counterpart amendment of the Amended and Restated TA Lease as contemplated by the Transaction Agreement; and

 

(iv)      Such other conveyance documents, certificates, deeds, affidavits and other instruments as Purchaser, Seller or the Title Company may reasonably require to carry out the transactions contemplated by this Agreement and as are customary in like transactions in the area in which the Real Property is located.

 

3.2          Assignment and Assumption of Intangible Property and Indemnity.  Seller hereby assigns to Purchaser all of Seller’s right, title and interest in and to the Intangible Property to the extent first arising from and after the Effective Date.  Purchaser hereby assumes all of Seller’s obligations with respect to the Intangible Property to the extent first arising from and after the Effective Date.  Purchaser hereby agrees to perform all of Seller’s obligations with respect to the Intangible Property to the extent first arising from and after the Effective Date.  In each case, subject to any lease or other agreement between Seller and Purchaser that may otherwise allocate responsibilities, Purchaser shall indemnify, defend and hold harmless Seller from and against any and all losses, costs, damages, demands, expenses, fees, fines, including reasonable attorneys’ fees (“Losses”) arising from the Intangible Property to the extent first arising from and after the Effective Date and Seller shall indemnify, defend and hold harmless Purchaser from and against any and all Losses arising from the Intangible Property to the extent first arising prior to the Effective Date.

 

3.3          Purchaser’s Closing Obligation.  On the Effective Date, Purchaser shall pay the Purchase Price to Seller by wire transfer of immediately available funds as instructed by Seller and shall deliver an executed counterpart amendment of the Amended and Restated TA Lease as contemplated by the Transaction Agreement.

 

ARTICLE 4
  PRORATIONS

 

4.1          Proration Items.  Inasmuch as Seller will be leasing the Property from Purchaser on and after the Effective Date, all customary and usual prorations, including for ad valorem real estate taxes, personal property taxes, assessments or special assessments, water, gas, electric or

 

3

 

other utilities,  shall be made for the account of Seller as seller under this Agreement or as the tenant under the lease being entered into by Seller and Purchaser.

 

4.2          Survival.  The obligations of the parties under this Article 4 shall survive the Closing.

 

ARTICLE 5
  MISCELLANEOUS

 

5.1          Like-Kind Exchange.  Seller may elect to effectuate the transaction contemplated by this Agreement as part of a forward like-kind exchange in accordance with Section 1031 of the Internal Revenue Code.  In furtherance of the foregoing and notwithstanding anything contained in this Agreement to the contrary, Seller may assign its rights under this Agreement to a “qualified intermediary” in order to facilitate a forward like kind exchange under Section 1031 of the Internal Revenue Code, and Purchaser agrees to execute an instrument acknowledging and consenting to the same; provided, however, such assignment shall not relieve Seller of any of its obligations hereunder.

 

5.2          Governing Law.  This Agreement shall be interpreted, construed, applied and enforced in accordance with the laws of The Commonwealth of Massachusetts.

 

5.3          Severability.  If any provision of this Agreement shall be held or deemed to be, or shall in fact be, invalid, inoperative or unenforceable as applied to any particular case in any jurisdiction or jurisdictions, or in all jurisdictions or in all cases, because of the conflict of any provision with any constitution or statute or rule of public policy or for any other reason, such circumstance shall not have the effect of rendering the provision or provisions in question invalid, inoperative or unenforceable in any other jurisdiction or in any other case or circumstance or of rendering any other provision or provisions herein contained invalid, inoperative or unenforceable to the extent that such other provisions are not themselves actually in conflict with such constitution, statute or rule of public policy, but this Agreement shall be reformed and construed in any such jurisdiction or case as if such invalid, inoperative or unenforceable provision had never been contained herein and such provision reformed so that it would be valid, operative and enforceable to the maximum extent permitted in such jurisdiction or in such case.

 

5.4          No Third Party Beneficiaries.  This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective legal representatives, successors and permitted assigns.  This Agreement is not intended and shall not be construed to create any rights in or to be enforceable in any part by any other persons.

 

5.5          Entire Agreement.  This Agreement and the Transaction Agreement constitute the entire agreement of the parties hereto with respect to the subject matter hereof and shall supersede and take the place of any other instruments purporting to be an agreement of the parties hereto relating to the subject matter hereof.

 

5.6          Merger.  Except with respect to the any obligation expressly stated to survive the Closing, none of the terms or provisions of this Agreement shall survive the Closing, and the payment of the Purchase Price and delivery of the deed and other closing documents at the

 

4

 

Closing shall effect a merger, and be deemed the full performance and discharge of every obligation on the part of Seller and/or Purchaser to be performed hereunder.

 

5.7          Counterparts.  This Agreement may be executed in one (1) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.  Any such counterparts or signatures may be delivered by facsimile or e-mail (in .pdf format), and any counterparts or signatures so delivered shall be deemed an original counterpart or signature for all purposes related to this Agreement.

 

5.8          Section and Other Headings.  The headings contained in this Agreement are for reference purposes only and shall not in any way affect the meaning or interpretation of this Agreement.

 

5.9          Time of Essence.  Time shall be of the essence with respect to the performance of each and every covenant and obligation, and the giving of all notices, under this Agreement.

 

5.10        Survival.  The provisions of this Article 5 shall survive the Closing.

 

[Remainder of page intentionally left blank; signature page follows.]

 

5

 

IN WITNESS WHEREOF, Purchaser and Seller have caused this Agreement to be executed as a sealed instrument as of the date first above written.

 

	
 
    	
PURCHASER:
    
	
 
    	
 
    
	
 
    	
HPT TA PROPERTIES LLC,
    
	
 
    	
a Maryland limited liability company
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   John G. Murray
    
	
 
    	
 
    	
Name:   John G. Murray
    
	
 
    	
 
    	
Title:   President
    
	
 
    	
 
    
	
 
    	
SELLER:
    
	
 
    	
 
    
	
 
    	
TA   OPERATING LLC,
    
	
 
    	
a   Delaware limited liability company
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mark R. Young
    
	
 
    	
 
    	
Name:   Mark R. Young
    
	
 
    	
 
    	
Title:   Executive Vice President
    

 

[Signature Page to Sales Agreement — Porter, IN]

 

 

Exhibit A

 

Legal Description

 

PARCEL 1:

 

A PART OF THE SOUTHWEST QUARTER AND SOUTHEAST QUARTER OF SECTION 34, TOWNSHIP 37 NORTH, RANGE 6 WEST OF THE SECOND PRINCIPAL MERIDIAN, IN PORTER COUNTY, INDIANA, DESCRIBED AS FOLLOWS: COMMENCING AT A POINT 1528.4 FEET EAST OF AND 285.0 FEET NORTH OF THE SOUTHWEST CORNER OF SECTION 34, THENCE NORTH PARALLEL WITH THE WEST LINE OF THE SOUTHWEST QUARTER OF SECTION 34, 109.02 FEET, THENCE NORTHEASTERLY 1164.41 FEET ALONG AN ARC TO THE LEFT AND HAVING A RADIUS OF 5609.58 FEET AND SUBTENDED BY A LONG CHORD HAVING A BEARING OF NORTH 74 DEGREES 09 MINUTES 05 SECONDS EAST AND A LENGTH OF 1162.32 FEET TO A POINT ON THE EAST LINE OF SAID QUARTER SECTION, SAID POINT BEING 729.17 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SECTION 34, THENCE NORTH ALONG THE EAST LINE OF SAID SOUTHWEST QUARTER 1070.83 FEET TO A POINT 1800.0 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SECTION 34; THENCE SOUTH 89 DEGREES 13 MINUTES EAST PARALLEL WITH THE SOUTH LINE OF THE SOUTHEAST QUARTER OF SECTION 34, A DISTANCE OF 335.0 FEET; THENCE NORTH 0 DEGREES 02 MINUTES EAST, PARALLEL WITH THE WEST LINE OF THE SOUTHEAST QUARTER OF SECTION 34, A DISTANCE 233.14 FEET TO THE POINT OF BEGINNING; THENCE NORTH 89 DEGREES 58 MINUTES WEST, A DISTANCE OF 628.56 FEET TO THE CURVED CENTERLINE OF U. S. ROUTE NO. 20; THENCE NORTHEASTERLY ALONG SAID CURVED CENTERLINE A DISTANCE OF 832.91 FEET TO THE POINT OF TANGENCY, CHORD OF SAID CURVE BEARS NORTH 46 DEGREES 08 MINUTES 00 SECONDS EAST, A DISTANCE OF 829.98 FEET; THENCE NORTH 37 DEGREES 50 MINUTES EAST, CONTINUING ALONG THE CENTERLINE OF U. S. ROUTE NO. 20, A DISTANCE OF 49.80 FEET; THENCE SOUTH 0 DEGREES 02 MINUTES WEST, PARALLEL WITH THE WEST LINE OF THE SOUTHEAST QUARTER, A DISTANCE 614.86 FEET TO THE POINT OF BEGINNING.

 

PARCEL 2:

 

THAT PART OF THE SOUTHWEST 1/4 AND THE SOUTHEAST 1/4 OF SECTION 34, TOWNSHIP 37 NORTH, RANGE 6 WEST OF THE SECOND PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: COMMENCING AT A POINT 1528.4 FEET EAST OF AND 285.0 FEET NORTH OF THE SOUTHWEST CORNER OF SECTION 34 AFORESAID; THENCE NORTH PARALLEL WITH THE WEST LINE OF THE SOUTHWEST 1/4 OF SECTION 34, AFORESAID, 109.02 FEET FOR A POINT OF BEGINNING; THENCE NORTHEASTERLY 1164.41 FEET ALONG AN ARC TO THE LEFT AND HAVING A RADIUS OF 5609.58 FEET AND SUBTENDED BY A LONG CHORD HAVING A BEARING OF NORTH 74 DEGREES 09 MINUTES 05 SECONDS EAST AND A LENGTH OF 1162.32 FEET TO A POINT IN THE EAST LINE OF SAID 1/4 SECTION, SAID POINT BEING 729.17 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST 1/4 OF SECTION 34, AFORESAID; THENCE NORTH ALONG THE EAST LINE OF SAID SOUTHWEST 1/4 1070.23 FEET TO A POINT 1800.00 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST 1/4 OF SECTION 34; THENCE SOUTH 89 DEGREES 13 MINUTES EAST PARALLEL WITH THE SOUTH LINE OF THE SOUTHEAST 1/4 OF SECTION 34, A DISTANCE OF 335.00 FEET; THENCE NORTH PARALLEL WITH THE WEST LINE OF THE SOUTHEAST 1/4 OF SECTION 34,

 

 

AFORESAID, 848.00 FEET TO THE CENTER LINE OF U.S. ROUTE 20; THENCE SOUTH 37 DEGREES 50 MINUTES WEST ALONG THE CENTER LINE OF SAID ROAD 49.8 FEET TO A POINT OF CURVE; THENCE CONTINUING ALONG THE CENTER LINE OF SAID ROAD BY A 2 DEGREE CURVE TO THE RIGHT 988.14 FEET TO A POINT OF TANGENCY, THENCE SOUTH 57 DEGREES 29 MINUTES WEST 832.12 FEET TO A LINE 1528.4 FEET EAST OF THE WEST LINE OF THE SOUTHWEST 1/4 OF SECTION 34 AFORESAID; THENCE SOUTH PARALLEL WITH SAID WEST LINE 1091.78 FEET TO THE POINT OF BEGINNING, IN PORTER COUNTY, INDIANA.

 

EXCEPTING THEREFROM THAT PART DESCRIBED AS FOLLOWS:

 

A PART OF THE SOUTHWEST 1/4 AND SOUTHEAST 1/4 OF SECTION 34, TOWNSHIP 37 NORTH, RANGE 6 WEST OF THE SECOND PRINCIPAL MERIDIAN, IN PORTER COUNTY, INDIANA, DESCRIBED AS FOLLOWS: COMMENCING AT A POINT 1528.4 FEET EAST OF AND 285.0 FEET NORTH OF THE SOUTHWEST CORNER OF SECTION 34, THENCE NORTH PARALLEL WITH THE WEST LINE OF THE SOUTHWEST QUARTER OF SECTION 34, 109.02 FEET, THENCE NORTHEASTERLY 1164.41 FEET ALONG AN ARC TO THE LEFT AND HAVING A RADIUS OF 5609.58 FEET AND SUBTENDED BY A LONG CHORD HAVING A BEARING OF NORTH 74 DEGREES 09 MINUTES 05 SECONDS EAST AND A LENGTH OF 1162.32 FEET TO A POINT ON THE EAST LINE OF SAID QUARTER SECTION, SAID POINT BEING 729.17 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SECTION 34, THENCE NORTH ALONG THE EAST LINE OF SAID SOUTHWEST QUARTER 1070.83 FEET TO A POINT 1800.0 FEET NORTH OF THE SOUTHEAST CORNER OF THE SOUTHWEST QUARTER OF SECTION 34; THENCE SOUTH 89 DEGREES 13 MINUTES EAST PARALLEL WITH THE SOUTH LINE OF THE SOUTHEAST QUARTER OF SECTION 34, A DISTANCE OF 335.0 FEET; THENCE NORTH 0 DEGREES 02 MINUTES EAST, PARALLEL WITH THE WEST LINE OF THE SOUTHEAST QUARTER OF SECTION 34, A DISTANCE 233.14 FEET TO THE POINT OF BEGINNING; THENCE NORTH 89 DEGREES 58 MINUTES WEST, A DISTANCE OF 628.56 FEET TO THE CURVED CENTERLINE OF U. S. ROUTE NO. 20; THENCE NORTHEASTERLY ALONG SAID CURVED CENTERLINE A DISTANCE OF 832.91 FEET TO THE POINT OF TANGENCY, CHORD OF SAID CURVE BEARS NORTH 46 DEGREES 08 MINUTES 00 SECONDS EAST, A DISTANCE OF 829.98 FEET; THENCE NORTH 37 DEGREES 50 MINUTES EAST, CONTINUING ALONG THE CENTERLINE OF U. S. ROUTE NO. 20, A DISTANCE OF 49.80 FEET; THENCE SOUTH 0 DEGREES 02 MINUTES WEST, PARALLEL WITH THE WEST LINE OF THE SOUTHEAST QUARTER, A DISTANCE 614.86 FEET TO THE POINT OF BEGINNING.

 

 

EXHIBIT B

 

Form of FIRPTA Certificate

 

(See attached)

 

 

FIRPTA CERTIFICATE

 

Section 1445 of the Internal Revenue Code of 1986, as amended, provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. For U.S. federal income tax purposes (including Section 1445), the owner of a disregarded entity (which has legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform the transferee that withholding of tax is not required upon the disposition of a U.S. real property interest by TravelCenters of America LLC, a Delaware limited liability company (“Transferor”), pursuant to the Sales Agreement, dated as of [·], 2015, between TA Operating LLC and [HPT entity] (“Transferee”), Transferor hereby certifies to Transferee the following:

 

1.                                      Transferor is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code and income tax regulations thereunder);

 

2.                                      Transferor is not a disregarded entity as defined in Treasury Regulation Section 1.1445-2(b)(2)(iii);

 

3.                                      TA Operating LLC, which has legal title to one or more transferred U.S. real property interests under local law, is disregarded as an entity separate from Transferor for U.S. federal income tax purposes;

 

4.                                      Transferor’s U.S. employer identification number is 20-5701514; and

 

5.                                      Transferor’s office address is 24601 Center Ridge Road, Westlake, OH 44145.

 

The undersigned and Transferor understand that this certificate may be disclosed to the Internal Revenue Service by Transferee and that any false statement contained herein could be punished by fine, imprisonment, or both.

 

[Remainder of page intentionally left blank; signature page follows.]

 

 

Under penalties of perjury I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct, and complete, and I further declare that I have the authority to sign this document on behalf of Transferor.

 

	
 
    	
TravelCenters   of America LLC
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
Name:
    	
 
    
	
 
    	
 
    	
Title:
    	
 
    

 

Date:  [·], 2015EX-10.06

 Exhibit 10.06 

ORACLE CORPORATION 

DIRECTORS’ STOCK OPTION GRANT 

THIS OPTION IS NOT TRANSFERABLE 
  

									
	Optionee:		  
				Number of Shares:		  

									
	Address:		  
				Exercise Price per Share:		 $

			  
						
	Grant Date:		  
				Expiration Date:		  

  
  

Oracle Corporation, a Delaware corporation (the “Company”), hereby grants to the optionee named above (“Optionee”) a
non-qualified stock option (this “Option”) to purchase the total number of shares of Common Stock of the Company set forth above (the “Shares”) at the exercise price per share set forth above (the “Exercise Price”),
subject to all of the terms and conditions attached hereto (the “Option Terms and Conditions”) and incorporated herein by reference (which, together with this page, shall constitute the “Grant”), and subject to the terms and
conditions of the Company’s Amended and Restated 1993 Directors’ Stock Plan (the “Plan”). Unless otherwise defined herein, capitalized terms shall have the meanings ascribed to them in the Plan or the Option Terms and Conditions.

 Subject to the terms and conditions of the Plan and this Grant, this Option may be exercised in increments on or after each “Vest
Date” specified below, provided that it must be exercised, if at all, on or before the Expiration Date specified above. 
 Exercisable
on or after: 
  

					
	(“Vest Date”)		But before:		Number of Shares

  
  
  

 
 The Company and Optionee hereby agree to the terms of this Grant. 

 

									
	ORACLE CORPORATION				OPTIONEE
			
	  
 (Authorized
Signature)
				  
 (Optionee
Signature)

	Name:		  
				Name:		  

	Title:		  
				Dated:		  

									(mm/dd/yyyy)

 DIRECTORS’ STOCK OPTION GRANT 

Terms and Conditions 
  

	1.	Restrictions on Exercise. This Option may not be exercised (i) unless such exercise is in compliance with the Securities Act of 1933, as amended (the “Securities Act”), and all applicable state
securities laws as they are in effect on the date of exercise, and the requirements of any stock exchange or national market system on which the Company’s Common Stock may be listed at the time of exercise, and (ii) until the Plan, or any
required increase in the number of Shares authorized under the Plan, is approved by the Stockholders of the Company. Notwithstanding anything else in this Grant or the Plan, this Option shall expire on the Expiration Date set forth on the first page
of this Grant and must be exercised, if at all, on or before the Expiration Date. In addition, no part of this Option will become exercisable prior to six (6) months following the Date of Grant. 

 

	2.	Termination of Option. Except as provided below in this Section, this Option shall terminate and may not be exercised if Optionee ceases to be a member of the Board of the Company (a “Board Member”).
The Committee shall have discretion to determine whether Optionee has ceased to serve as a Board Member and the effective date on which such service terminated (the “Termination Date”). 

a) Termination of Status as a Director. If an Optionee ceases to serve as a Board Member, he or she may, but only within three
(3) months after the date he or she ceases to be a Board Member of the Company, exercise his or her Option to the extent that he or she was entitled to exercise it at the date of such termination. Notwithstanding the foregoing, in no event may
the Option be exercised after the Expiration Date. To the extent that Optionee is not entitled to exercise an Option at the date of such termination, or does not exercise such Option (which he or she is entitled to exercise) within the time
specified herein, the Option shall terminate. 
 b) Disability of Board Member. Notwithstanding the provisions of Section 2(a)
above, in the event Optionee is unable to continue his or her service as a Board Member with the Company as a result of his or her total and permanent disability (as defined in Section 22(e)(3) of the Internal Revenue Code of 1986, as amended
(the “Code”)), Optionee may, within six (6) months from the date of such termination, exercise his or her Option to the extent such Optionee was entitled to exercise it at the date of such termination. Notwithstanding the foregoing,
in no event may the Option be exercised after the Expiration Date. To the extent that Optionee is not entitled to exercise the Option at the date of termination, or if Optionee does not exercise such Option (which he is entitled to exercise) within
the time specified herein, the Option shall terminate. 
 c) Death of Optionee. In the event of the death of Optionee: 

(i) If Optionee dies during the term of the Option, is a Board Member at the time of death and has been in Continuous Status as
a Director (as defined in the Plan) since the date of grant of the Option, the Option may be exercised at any time within six (6) months following the date of death by the Optionee’s estate or by a person who acquired the right to exercise
the Option by bequest or inheritance, but only to the extent the Optionee is entitled to exercise the Option at the time of death. Notwithstanding the foregoing, in no event may the Option be exercised after the Expiration Date. 

(ii) If Optionee dies within three (3) months after the termination of Continuous Status as a Director, the Option may be
exercised at any time within six (6) months following the date of death by the Optionee’s estate or by a person who acquired the right to exercise the Option by bequest or inheritance, but only to the extent the Optionee is entitled to
exercise the Option at the date of termination. Notwithstanding the foregoing, in no event may the Option be exercised after the Expiration Date. 

	3.	Manner of Exercise. 

  

	 	a)	Exercise Agreement. This Option shall be exercisable by delivery to the Company of an executed written Directors Stock Option Exercise Agreement (the “Exercise Agreement”) in the form attached hereto as
Exhibit A, or in such other form as may be approved by the Committee, which shall set forth Optionee’s election to exercise some or all of the Option, the number of Shares being purchased, any restrictions imposed on the Shares and such other
representations and agreements regarding Optionee’s investment intent and access to information as may be required by the Company to comply with applicable securities laws. 

 

	 	b)	Payment. Payment of the exercise price upon exercise of any Option shall be made (i) by cash or check; (ii) provided that a public market for the Company’s stock exists, through a “same day
sale” commitment from the Optionee and a broker-dealer that is a member of the National Association of Securities Dealers (an “NASD Dealer”) whereby Optionee irrevocably elects to exercise the Option and to sell a portion of the
Shares so purchased to pay for the exercise price and whereby the NASD Dealer irrevocably commits upon receipt of such Shares to forward the exercise price directly to the Company; (iii) provided that a public market for the Company’s
Stock exists, through a “margin” commitment from the Optionee and an NASD Dealer whereby the Optionee irrevocably elects to exercise the Option and to pledge the Shares so purchased to the NASD Dealer in a margin account as security for a
loan from the NASD Dealer in the amount of the exercise price, and whereby the NASD Dealer irrevocably commits upon receipt of such Shares to forward the exercise price directly to the Company; (iv) where permitted by applicable law, by tender
of a full recourse promissory note secured by collateral other than the Shares having such terms as may be approved by the Committee and bearing interest at a rate sufficient to avoid imputation of income under Section 484 and 1274 of the Code,
provided that the portion of the exercise price equal to the par value of the Shares must be paid in cash or other legal consideration; or (v) in any combination of the foregoing. 

 

	 	c)	Withholding Taxes. Prior to the issuance of the Shares upon exercise of this Option, the Optionee shall pay in cash any applicable federal, state or local income and employment tax withholding obligations of the
Company, if applicable. 

  

	 	d)	Issuance of Shares. Provided that such notice and payment are in form and substance satisfactory to counsel for the Company, the Company shall issue the Shares registered in the name of Optionee or
Optionee’s legal representative. 

  

	4.	Transferability of Option. This Option may not be transferred in any manner other than (i) by will, or (ii) by the laws of descent and distribution, provided however, a U.S. Optionee may transfer a
vested portion of the Option for no consideration to or for the benefit of one or more members of the Optionee’s Immediate Family (including, without limitation, to a trust for the benefit of the Optionee’s Immediate Family) (a
“Transferee”), subject to such limits as the Committee may establish, and such Transferee shall remain subject to all the terms and conditions applicable to the Option prior to such transfer. The Optionee will continue to be treated as the
holder of the Option for purposes of the Company’s record keeping and for other purposes deemed appropriate by the Company, including the right to consent to amendments to this Grant Notice; notwithstanding that the economic benefits and
dispositive control has been transferred to the Transferee. Optionee agrees, on behalf of each Transferee, to exercise the Option upon the direction and arrangement of payment by such transferee and further agrees to forward all information provided
by the Company (including but 

	 	
not limited to those required under the U.S. securities laws) with respect to the Option to the Transferee. In the discretion of the Committee, the foregoing right to transfer shall apply to the
right to transfer ancillary rights associated with the Option. The term “Immediate Family” shall mean the Optionee’s spouse, qualified same-sex domestic partner, parents, children, stepchildren, adoptive relationships, sisters,
brothers and grandchildren (and, for this purpose, shall also include the Optionee). Optionee acknowledges that the Optionee will continue to be liable for any taxes incurred in connection with the exercise of the Option. 

 

	5.	Changes in Capitalization; Change of Control. 

  

	 	a)	Adjustment of Shares. In the event that the number of outstanding Shares is changed by a stock dividend, stock split, reverse stock split, combination, reclassification or similar change in the capital structure
of the Company without consideration, the number of Shares subject to this Option shall be proportionately adjusted, subject to any required action by the Board or stockholders of the Company and compliance with applicable securities laws; provided,
however, that no certificate or scrip representing fractional Shares shall be issued and any resulting fractions shall be ignored. 

  

	 	b)	Change of Control. In the event of a dissolution or liquidation of the Company, a merger in which the Company is not the surviving corporation (other than a merger with a wholly-owned subsidiary or where there is
no substantial change in the stockholders of the Company and the obligations of the Company under the Plan are assumed by the successor corporation), the sale of substantially all of the assets of the Company, or any other transaction described
under Section 424(a) of the Code wherein the stockholders of the Company give up all of their equity interest in the Company (except for the acquisition of all or substantially all of the outstanding shares of the Company), this Option shall
accelerate and become vested in full prior to the consummation of such dissolution, liquidation, merger or sale of assets. 

  

	 	c)	Acceleration Upon Unfriendly Takeover. Notwithstanding anything in Section 5(b) hereof to the contrary, if fifty percent (50%) or more of the outstanding voting securities of the Company become
beneficially owned (as defined in Rule 13d-3 promulgated by the Securities and Exchange Commission) by a person (as defined in Section 2(2) of the Securities Act and in Section 13(d)(3) of the Exchange Act) in a transaction or series of
transactions expressly disapproved by the Board, then this Option shall automatically and immediately accelerate and become vested in full. 

  

	6.	Interpretation. Any dispute regarding the interpretation of this Grant shall be submitted by Optionee or the Company forthwith to the Board or the committee thereof that administers the Plan, which shall review
such dispute at its next regular meeting. The resolution of such a dispute by the Board or committee shall be final and binding on the Company and on Optionee. 

  

	7.	Optionee Acknowledgments. Optionee hereby acknowledges receipt of a copy of the Plan and the prospectus relating to the Plan, represents that Optionee has read and understands the terms and conditions thereof,
and accepts this Option subject to all the terms and provisions of the Plan and this Grant. Optionee acknowledges that there may be adverse tax consequences upon exercise of this Option or disposition of the Shares and that Optionee should consult a
tax advisor prior to such exercise or disposition. 

  

	8.	Entire Agreement. The Plan, the prospectus relating to the Plan and the Notice and Exercise Agreement are incorporated herein by reference. This Grant, the Plan and the Exercise Agreement constitute the entire
agreement of the parties and supersede all prior undertakings and agreements with respect to the subject matter hereof. 

These terms and conditions apply to grants made on or after May 31, 2015. 

 EXHIBIT A 

ORACLE CORPORATION 

STOCK OPTION EXERCISE NOTICE AND AGREEMENT 
  

	1.	Exercise of Option. I, the undersigned “Optionee,” hereby elect to exercise my option to purchase
                     shares of Common Stock (“Shares”) of Oracle Corporation (the “Company”) under and pursuant to
the Company’s Amended and Restated 1993 Directors’ Stock Plan (the “Plan”), and the Stock Option Grant dated
                     (the “Grant”). Exercise Price per
Share:                     . 

  

	2.	Representation of the Optionee. I acknowledge that I have received, read and understood the Plan, the Grant and the prospectus relating to the Plan and agree to abide by and be bound by their terms and
conditions. 

  

	3.	Compliance with Securities Laws. I understand and acknowledge that the exercise of any rights to purchase Shares is expressly conditioned upon compliance with the Securities Act of 1933, as amended, and all
applicable state securities laws. I agree to cooperate with the Company to ensure compliance with such laws. 

  

	4.	Tax Consequences. I understand that I may suffer adverse tax consequences as a result of my purchase or disposition of the Shares. I represent that I have consulted with any tax consultant(s) that I deem
advisable in connection with the purchase or disposition of the Shares and that I am not relying on the Company for any tax advice. 

  

	5.	Delivery and Payment. I herewith deliver to the Company the aggregate purchase price of the Shares that are specified in the accompanying Oracle Corporation Stock Option Exercise Form, and I have made provision
for the payment of any federal and state withholding taxes required to be paid or withheld by the Company. 

  

	6.	Insider Trading. I acknowledge that I have received, read and understood the Company’s policy against trading in Company stock while in the possession of inside information (i.e., material nonpublic
information). I agree to sell or otherwise dispose of the Shares strictly in compliance with this Company policy and all related securities laws. 

  

	7.	Proceeds. I understand that it is my responsibility to instruct the broker where/how my proceeds should be distributed. 

  

	8.	Certificates. I understand that any certificate(s) representing shares sold must be delivered directly to the broker. 

	9.	Entire Agreement. I acknowledge the following: The Plan and the Grant are incorporated herein by reference; this Agreement, the Plan, the prospectus relating to the Plan and the Grant constitute my entire
agreement with the Company and supersede all prior undertaking and agreements between us with respect to the subject matter hereof; this Agreement is governed by Delaware law except for that body of law pertaining to conflict of laws. Optionee
agrees to institute any legal action or legal proceeding relating to the Grant, the Plan or this Agreement in state court in San Mateo County, California or in federal court in San Francisco, California. Optionee agrees to submit to the jurisdiction
of and agrees that venue is proper in the aforesaid courts in any such action or proceeding. 

  

			
	Optionee’s Name (please print):		  

  

							
	Optionee’s Signature:		  
		Date:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00246-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00246-of-00352.parquet"}]]