Document:

Exhibit 10.11

 

AMENDED AND
RESTATED EMPLOYMENT AGREEMENT

 

This
AMENDED AND RESTATED EMPLOYMENT AGREEMENT (the “Agreement”), is entered into on October 10, 2018 (the “Effective
Date“), by and between Assembly Biosciences, Inc., a Delaware corporation with principal executive offices at 11711
N. Meridian Street, Suite 310, Carmel, IN 46032 (the “Company”), and Jackie Papkoff, Ph.D. (the “Executive”).

 

W I T N E
S S E T H:

 

WHEREAS,
the Company and the Executive entered into an employment offer letter dated March 11, 2018 (the “Prior Agreement”).

 

WHEREAS,
the Company desires to continue to employ the Executive in the role of Senior
Vice President, Chief Scientific Officer Microbiome as of the Effective Date, and the
Executive desires to continue employment with the Company as of the Effective Date; and

 

WHEREAS,
the parties desire to enter into this Agreement, setting forth the terms and conditions of the
Executive’s continued employment with the Company.

 

NOW,
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the parties hereto hereby agree as follows:

 

1.
Employment.

 

(a)
Services. As of the Effective Date, the Executive will be employed by the Company initially as its Senior Vice President,
Chief Scientific Officer Microbiome, reporting initially to the Company’s Chief Executive Officer, and shall perform such
duties as are consistent with a position of Senior Vice President, Chief Scientific Officer Microbiome, and other duties assigned
by the Chief Executive Officer from time to time, including overseeing the research, discovery and development activities of the
Microbiome business (the “Services”). The Executive agrees to perform such Services faithfully, to devote substantially
all of her working time, attention and energies to the business of the Company and, while she remains employed and subject to
the terms of this Agreement, not to engage in any other business activity that is in conflict with her duties and obligations
to the Company. For avoidance of doubt, with the written consent of the Chief Executive Officer, the Executive may engage in consulting
and board activities for businesses that are not competitive with the Company so long as such activities do not interfere with
her duties and obligations to the Company and otherwise comply with the Company’s Code of Conduct and Employee Handbook.

 

(b)
Acceptance. Executive hereby accepts such employment and agrees to render the Services.

 

     

     

    

 

2.
Term. The Executive's employment under this Agreement shall commence as of the Effective Date and shall continue on an
“at-will” basis until terminated pursuant to Section 8 of this Agreement (the “Term”).

 

3.
Best Efforts. The Executive shall devote substantially all of her business time, attention and energies (recognizing the
exception described in 1(a) above for consulting and board work that is approved by the Chief Executive Officer) to the business
and affairs of the Company and shall use her best efforts to advance the best interests of the Company and during the Term shall
not be actively engaged in any other business activity, whether or not such business activity is pursued for gain, profit
or other pecuniary advantage, that will interfere with the performance by the Executive of her duties hereunder or the Executive’s
availability to perform such duties or that will adversely affect, or negatively reflect upon, the Company.

 

4.
Compensation. During the Term, as full compensation for the performance by the Executive of her duties under this Agreement,
the Company shall pay the Executive as follows:

 

(a)
Base Salary. The Company shall pay Executive an annualized base salary (the “Base Salary”) initially
equal to three hundred sixty thousand dollars ($360,000). Payment shall be made in accordance with the Company’s normal
payroll practices, as they may be changed from time to time. The Base Salary will be reviewed by the Chief Executive Officer and
the Board of Directors (the “Board”), or a committee thereof, no less frequently than annually.

 

(b)
Annual Performance Bonus. At the sole discretion of the Board (or a committee thereof), the Executive shall be eligible
to receive an annual performance-based bonus during the Term (the “Annual Performance Bonus”) targeted at thirty-five
percent (35%) of Executive’s then current Base Salary based on the attainment by the Company and the Executive of certain
financial, clinical development and business objectives as established annually by the Chief Executive Officer (or a committee
of the Board). The Annual Performance Bonus shall be payable as a lump-sum payment as determined by the Board (or a committee
thereof) in its sole discretion. Except as otherwise provided in this Agreement, to earn any particular Annual Performance Bonus,
the Executive must, in addition to satisfying the performance objectives, remain employed on the date the Annual Performance Bonus
is paid; provided, further, that the Annual Performance Bonus will be paid no later than seventy-five (75) days after the
end of the period to which the Annual Performance Bonus pertains.

 

(c)
Withholding. The Company shall withhold all applicable federal, state and local taxes,
social security and such other amounts as may be required by law from all amounts payable to the Executive under this Agreement,
including Section 4 and Section 9.

 

(d)
Equity. From time to time, subject to and upon the approval by the Board (or a committee thereof), the Company may grant
to the Executive equity awards to purchase or receive shares of common stock of the Company (the “Equity Awards”).
The Equity Awards will contain such terms and conditions as may be approved by the Board (or a committee thereof).

 

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(e)
Expenses. The Company shall provide the Executive with a corporate credit
card for business use, and shall reimburse the Executive for all normal, usual and necessary expenses incurred by the Executive
in furtherance of the business and affairs of the Company, including reasonable travel and entertainment, upon timely receipt
by the Company of appropriate vouchers or other proof of the Executive’s expenditures and otherwise in accordance with any
travel or expense reimbursement policy as may from time to time be adopted by the Company.

 

(f)
Other Benefits. The Executive shall be entitled to all rights and benefits for which Executive shall be eligible under
any benefit or other plans (including, without limitation, dental, medical, medical reimbursement and hospital plans, pension
plans, employee stock purchase plans, profit sharing plans, bonus plans and other so-called “Fringe
Benefits”) as the Company shall make available to its senior executives from time to time, subject to the terms of such
plans. In addition, if applicable, the Company shall reimburse the Executive for Executive’s reasonable licensing fees,
continuing professional education, and other professional dues upon timely receipt by the Company of appropriate vouchers or other
proof of the Executive’s expenditures and otherwise in accordance with any expense reimbursement policy as may from time
to time be adopted by the Company. The Company shall also name the Executive
as a covered person under its Directors & Officers insurance policies.

 

(g)
Vacation. The Executive will be entitled to paid vacation in accordance with the Company’s vacation policy, as in
effect from time to time.

 

5.
Confidential Information and Inventions.

 

(a)
The Executive recognizes and acknowledges that in the course of Executive’s duties Executive is likely to receive confidential
or proprietary information owned by the Company or third parties with whom the Company has an obligation of confidentiality, relating
to and used in the Company’s business (collectively, “Confidential and Proprietary Information”). Confidential
and Proprietary Information shall include, but shall not be limited to, confidential or proprietary scientific or technical information,
data, study results, study design, formulas and related concepts, business plans (both current and under development), client
lists, promotion and marketing programs, trade secrets, or any other confidential or proprietary business information relating
to development programs, costs, revenues, marketing, investments, sales activities, promotions, credit and financial data, manufacturing
processes, financing methods, plans or the business and affairs of the Company or of any affiliate, client or service provider
of the Company, and any and all information relating to the operation of the Company’s business which the Company may from
time to time designate as confidential or proprietary or that the Executive
reasonably knows should be, or has been, treated by the Company as confidential or proprietary. The Executive expressly acknowledges
that the Confidential and Proprietary Information constitutes a protectable business interest of the Company. The Executive further
agrees that if any information that the Company deems to be a trade secret is found by a court of competent jurisdiction not to
be a trade secret, such information will, nevertheless, be considered Confidential and Proprietary Information for purposes of
this Agreement. Confidential and Proprietary Information does not include any information that: (i) at the time of disclosure
is generally known to, or readily ascertainable by, the public; (ii) becomes known to the public through no fault of the
Executive or other violation of this Agreement; or (iii) is disclosed to the
Executive by a third party under no obligation to maintain the confidentiality of the information. The Executive agrees,
during and after the Term, except as reasonably necessary for the fulfillment of Executive’s duties under this Agreement:
(i) not to use any such Confidential and Proprietary Information for herself or others; and (ii) to keep confidential and not
disclose or make accessible to any other person or entity any Confidential and Proprietary Information. The Executive agrees to
return immediately all Confidential and Proprietary Information and Company material and reproductions (including but not limited,
to writings, correspondence, notes, drafts, records, invoices, technical and business policies, computer programs or disks) thereof
in Executive’s possession to the Company upon termination of employment, or at any time upon the Company’s request.

 

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(b)
Except with prior written authorization by the Company, the Executive agrees not to disclose or publish any of the Confidential
and Proprietary Information, or any confidential, scientific, technical or business information of any other party to whom the
Company owes an obligation of confidence, at any time during or after Executive’s employment with the Company. The restrictions
in this Section 5(b) and in Section 5(a)
above will not apply to any information that the Executive is required to disclose
by law, provided that the Executive (i) notifies the Company of the existence
and terms of such obligation, (ii) gives the Company a reasonable opportunity to seek a protective or similar order to prevent
or limit such disclosure, and (iii) only discloses that information actually required to be disclosed.

 

(c)
The Executive agrees that any and all inventions (whether or not patentable), discoveries, improvements, know-how, ideas, information
and patentable or copyrightable works (“Inventions”) initiated, conceived or made by Executive, either alone
or in conjunction with others, during the course of Executive’s employment by the Company or that result from work performed
by the Executive for the Company, shall be the sole property of the Company
to the maximum extent permitted by applicable law and, to the extent permitted by law, shall be “works made for hire”
as that term is defined in the United States Copyright Act (17 U.S.C.A., Section 101). The Company shall be the sole owner of
all patents, copyrights, trade secret rights, and other intellectual property or other rights in connection therewith. The Executive
hereby assigns to the Company all right, title and interest Executive may have or acquire in all such Inventions. The Executive
further agrees to assist the Company in every proper way (but at the Company’s expense) to obtain and from time to time
enforce patents, copyrights or other rights on such Inventions in any and all countries, and to that end the Executive will execute
all documents necessary:

 

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(i)
to apply for, obtain and vest in the name of the Company alone (unless the Company otherwise directs) letters patent, copyrights
or other analogous protection in any country throughout the world and when so obtained or vested to renew and restore the same;
and

 

(ii)
to defend any opposition proceedings in respect of such applications and any opposition proceedings or petitions or applications
for revocation of such letters patent, copyright or other analogous protection.

 

To
the extent this Agreement is required to be construed in accordance with the laws of any state
which precludes a requirement to assign certain classes of inventions made by an employee, this Section 5
will be interpreted not to apply to any invention which a court rules and/or the Company agrees falls within such classes.
As required pursuant to Section 2872 of the California Labor Code, the Executive acknowledges that the Company has notified the
Executive that the provisions of this Section 5 do not apply to an invention that qualified fully under the provisions of Section
2870 of the California Labor Code (attached hereto as Exhibit A).

 

(d)
The Executive acknowledges that, while performing the services under this Agreement the Executive may locate, identify and/or
evaluate patented or patentable inventions having commercial potential in the fields of pharmacy, pharmaceutical, biotechnology,
healthcare, technology and other fields that may be of potential interest to the Company (the “Third-Party
Inventions”). The Executive understands, acknowledges and agrees that all rights to, interests in or opportunities regarding,
all Third-Party Inventions identified by the Company or its affiliates or either of the foregoing Persons’
officers, directors, employees (including the Executive), agents or consultants during the Term shall be and remain the sole and
exclusive property of the Company or such affiliate and the Executive shall have no rights whatsoever to such Third-Party Inventions
and will not pursue for herself or for others any transaction relating to the Third-Party Inventions which is not on behalf of
the Company.

 

(e)
Executive’s covenants set forth in this Section 5 are in addition and supplement Executive’s additional covenants
set forth in her Proprietary Information and Inventions Agreement dated March 11, 2018 (the “PIIA”).

 

(f)
The provisions of this Section 5 shall survive any termination or expiration
of this Agreement.

 

6.
Non-Solicitation. The Executive understands and recognizes that Executive’s services to the Company are special and
unique and that in the course of performing such services the Executive will have access to and knowledge of Confidential and
Proprietary Information (as defined in Section 5) and will become knowledgeable
of and familiar with the Company’s research and discovery program, drug product candidates, clinical programs, service providers
as well as the Company’s business. The Executive acknowledges that, due to the unique nature of the Company’s business,
the loss of any of its clinical sites, service providers or business flow or the improper use of its Confidential and Proprietary
Information could create significant instability and cause substantial damage to the Company and therefore the Company has a strong
legitimate business interest in protecting the continuity of its business interests and the restrictions herein agreed to by the
Executive narrowly and fairly serve such an important and critical business interest of the Company. Therefore, the
Executive covenants and agrees as follows:

 

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(a)
Definitions. As used in this Agreement, the following terms have the meanings given to such terms below:

 

(i)
“Company Employee” means (A) any person who is an employee of the Company at the time of the date of the Executive’s
termination of employment, and (B) any person who was an employee of the Company at any point during the six (6) month period
prior to, the termination of the Executive’s employment.

 

(ii)
“Person” means any person, firm, partnership, joint venture, corporation or other business entity.

 

(iii)
“Restricted Period” means the period commencing on the date of the
Executive’s termination of employment and ending twelve (12) months thereafter; provided, however, that this
period will be tolled and will not run during any time Executive is in violation of this Section 6,
it being the intent of the parties that the Restricted Period will be extended for any period of time in which the
Executive is in violation of this Section 6.

 

(b)
Non-Solicitation. During Executive’s employment with the Company and during the Restricted Period (other than for
the benefit of the Company), the Executive will not, directly or indirectly,
on the Executive’s own behalf or on behalf of any other Person, solicit,
induce, or attempt to solicit or induce any Company Employee or any independent contractor (who is then engaged by the Company
or was engaged by the Company in the prior six (6) months) to terminate his or her employment or engagement with the Company or
to accept employment or engagement with any Person.

 

(c)
 Enforcement. In the event that the Executive breaches or threatens to breach any provisions of Section 5
or this Section 6, then the Company will suffer irreparable harm and
monetary damages would be inadequate to compensate the Company. Accordingly, in addition to any other rights which the Company
may have, the Company shall (i) be entitled, without the posting of bond or other security, to seek injunctive relief to enforce
the restrictions contained in such Sections and (ii) have the right to require the Executive to account for and pay over to the
Company all compensation, profits, monies, accruals, increments and other benefits derived or received by the Executive as a result
of any transaction constituting a breach of any of the provisions of Sections 5
or 6, to the maximum extent permitted by law.

 

(d)
Reasonableness and Severability. Each of the rights and remedies enumerated in Section 6(c)
shall be independent of the others and shall be in addition to and not in lieu of any other rights and remedies available to the
Company at law or in equity. The Executive hereby acknowledges and agrees that the covenants provided for pursuant to Section
6 are essential elements of Executive’s employment by the Company and
are reasonable with respect to their duration, geographic area and scope and in all other respects. If, at the time of enforcement
of this Section 6, a court of competent
jurisdiction holds that the restrictions stated herein are unreasonable under the circumstances then existing, the parties
hereto agree that the maximum duration, scope or geographic area legally permissible under such circumstances will be substituted
for the duration, scope or area stated herein. If any of the covenants contained in this Section 6,
or any part of any of them, is hereafter construed or adjudicated to be invalid or unenforceable, the same shall not affect
the remainder of the covenant or covenants or rights or remedies which shall be given full effect without regard to the invalid
portions. No such holding of invalidity or unenforceability in one jurisdiction shall bar or in any way affect the Company’s
right to the relief provided in this Section 6 or otherwise in the courts of
any other state or jurisdiction within the geographical scope of such covenants as to breaches of such covenants in such other
respective states or jurisdictions, such covenants being, for this purpose, severable into diverse and independent covenants.

 

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(e)
Defend Trade Secrets Act of 2016. The Executive understands that pursuant to the federal Defend Trade Secrets Act of 2016,
the Executive shall not be held criminally or civilly liable under any federal or state trade secret law for the disclosure of
a trade secret that (i) is made (x) in confidence to a federal, state, or local government official, either directly or indirectly,
or to an attorney; and (y) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made
in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.

 

(f)
Protected Disclosures. The Executive understands that nothing contained in this Agreement or Executive’s PIIA limits
the Executive’s ability to communicate with any federal, state or local governmental agency or commission, including to
provide documents or other information, without notice to the Company. The Executive also understands that nothing in this Agreement
limits the Executive’s ability to share compensation information concerning the Executive or others, except that this does
not permit the Executive to disclose compensation information concerning others that the Executive obtain because the Executive’s
job responsibilities require or allow access to such information.

 

(g)
Remedies. In the event that an actual proceeding is brought in equity to enforce the provisions of Section 5
or this Section 6, the Executive shall not urge as a defense that there
is an adequate remedy at law nor shall the Company be prevented from seeking any other remedies which may be available. The Executive
agrees that she shall not raise in any proceeding brought to enforce the provisions of Section 5
or this Section 6 that the covenants contained in such Sections limit
Executive’s ability to earn a living.

 

(h)
Survival. The provisions of Section 6 shall survive any termination of
this Agreement.

 

7.
Representations and Warranties.

 

(a)
The Executive hereby represents and warrants to the Company as follows:

 

(i)
Neither the execution or delivery of this Agreement nor the performance by the Executive of her duties and other obligations hereunder
violate or will violate any statute, law, determination or award, or conflict with or constitute a default or breach of any covenant
or, to Executive’s knowledge, obligation under (whether immediately, upon the giving of notice or lapse of time or both)
any prior employment agreement, contract, or other instrument to which the Executive is a party or by which she is bound.

 

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(ii)
The Executive believes that Executive has the full right, power and legal capacity to enter and deliver this Agreement and to
perform Executive’s duties and other obligations hereunder. This Agreement constitutes the legal, valid and binding obligation
of the Executive enforceable against Executive in accordance with its terms. No approvals or consents of any persons or entities
are required for the Executive to execute and deliver this Agreement or perform her duties and other obligations hereunder.

 

(b)
The Company hereby represents and warrants to the Executive that this Agreement and the employment of the Executive hereunder
have been duly authorized by and on behalf of the Company, including, without limitation, by all required action by the Board
(or committee thereof).

 

8.
Termination. The Executive’s employment hereunder shall be terminated immediately upon the Executive’s death
and may be otherwise terminated as follows:

 

(a)
The Executive’s employment hereunder may be terminated by the Company for Cause as determined by the Chief Executive Officer.
Any of the following actions by the Executive shall constitute “Cause”:

 

(i)
The willful failure or continuing refusal by the Executive to perform Executive’s duties hereunder;

 

(ii)
Any act of willful or intentional misconduct, or a grossly negligent act by the Executive having the effect of injuring, in a
material way (as determined in good-faith by the Company), the business or reputation of the Company, including but not limited
to, any officer, director, or executive of the Company;

 

(iii)
Willful misconduct by the Executive in carrying out Executive’s duties or obligations under this Agreement, including, without
limitation, insubordination with respect to lawful directions received by the Executive from the Chief Executive Officer or from
the Board;

 

(iv)
The Executive’s indictment of any felony or a misdemeanor involving moral turpitude (including entry of a nolo contendere
plea);

 

(v)
The determination by the Company, based upon clear and convincing evidence, after a reasonable and good-faith investigation by
the Company following a written allegation by another employee of the Company, that the Executive engaged in some form of harassment
prohibited by law (including, without limitation, age, sex or race discrimination);

 

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(vi)
Any intentional misappropriation of the property of the Company, or embezzlement of its funds or assets (whether or not a misdemeanor
or felony);

 

(vii)
Breach by the Executive of any of the provisions of Sections 5, 6, or 7 of this Agreement or the provisions of you PIIA; and

 

(viii)
Breach by the Executive of any provision of this Agreement other than those contained in Sections 5, 6, or 7 which is not cured
by the Executive within thirty (30) business days after notice thereof is given to the Executive by the Company.

 

Except
for a failure, misconduct, breach, or refusal which, by its nature, cannot reasonably be expected to be cured, the Executive shall
have ten business days from the delivery of written notice by the Company within which to cure any acts constituting Cause, unless
a longer cure period is provided in the act constituting Cause described above; provided however, that, if the Company reasonably
expects irreparable injury from a delay of ten business days, the Company may give the Executive notice of such shorter period
within which to cure as is reasonable under the circumstances, which may include the termination of the Executive's employment
for Cause without notice and with immediate effect.

 

(b)
 The Executive’s employment hereunder may be terminated by the Chief Executive Officer due to the Executive’s Disability.
For purposes of this Agreement, a termination for “Disability” shall occur (i) when the Chief Executive Officer
has provided a written termination notice to the Executive supported by a written statement from a reputable independent physician
mutually selected by the Company and the Executive, or the Executive’s legal representatives in the event Executive is unable
to make such selection due to mental incapacity, to the effect that the Executive shall have become so physically or mentally
incapacitated as to be unable to resume, even with reasonable accommodation as may be required under the Americans With Disabilities
Act, within the ensuing twelve (12) months, Executive’s employment hereunder by reason of physical or mental illness or
injury, or (ii) upon rendering of a written termination notice by the Company after the Executive has been unable to substantially
perform Executive’s duties hereunder, even with reasonable accommodation as may be required under the Americans With Disabilities
Act, for one hundred twenty (120)
or more consecutive days, or more than one hundred eighty (180)
days in any consecutive twelve (12) month period, by reason of any physical or mental illness or injury. For purposes of
this Section 8(b), the Executive agrees to make herself available and to cooperate
in any reasonable examination by a reputable independent physician mutually selected by the Company and the Executive, and paid
for by the Company. Notwithstanding the foregoing, nothing herein shall give the Company the right to terminate the
Executive prior to discharging its obligations to the Executive, if any,
under the Family and Medical Leave Act, the Americans With Disabilities Act, or any other applicable law. The Company shall reimburse
the Executive for Executive’s actual cost of maintaining a supplementary long-term disability insurance policy during the
Term up to a maximum reimbursement of $10,000 per year.

 

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(c)
The Executive’s employment hereunder may be terminated by the Company (or its successor) by written notice to the Executive
upon the occurrence of a Change of Control. For purposes of this Agreement, “Change of Control” means (i) the
acquisition, directly or indirectly, following the Effective Date by any person (as such term is defined in Section 13(d) and
14(d)(2) of the Securities Exchange Act of 1934, as amended), in one transaction or a series of related transactions, of securities
of the Company representing in excess of fifty percent (50%) of the combined voting power of the Company’s then outstanding
securities if such person or his or its affiliate(s) do not own in excess of fifty percent (50%) of such voting power on the Effective
Date of this Agreement, (ii) the future disposition by the Company (whether direct or indirect, by sale of assets or stock, merger,
consolidation or otherwise) of all or substantially all of its business and/or assets in one transaction or series of related
transactions other than a merger effected exclusively for the purpose of changing the domicile of the Company, or (iii) a “corporate
transaction” as defined in the Company equity incentive plans under which the Executive has been granted Equity Awards.
Notwithstanding the foregoing, if the Change of Control does not constitute a change in the ownership or effective control of
the Company, or in the ownership of a substantial portion of the assets of the Company, within the meaning of Section 409A of
the Internal Revenue Code of 1986, as amended (the “Code”), the amount of cash severance payable pursuant to
Section 9(b), if any, shall be paid in equal installments in accordance with the Company’s then payroll practice over a
12-month period. Solely for purposes of Section 409A of the Code, each installment payment is considered a separate payment.

 

(d)
The Executive’s employment hereunder may be voluntarily terminated by the Executive for Good Reason. For purposes of this
Agreement, “Good Reason” shall mean any of the following which occurs without Executive’s consent: (i)
any material reduction by the Company of the Executive’s duties, or responsibilities
or authority that, taken as a whole, results in a material diminution of position; provided, however that a change in the Executive’s
title or reporting relationship shall not by itself constitute a termination by Executive for Good Reason under this clause (i);
(ii) any material reduction (meaning 10% or more) by the Company of the Executive’s
Base Salary and/or target Annual Performance Bonus payable hereunder (it being understood that an across-the-board reduction applicable
to all similarly situated employees of the Company, including the Executive, shall not be deemed a reduction for purposes of this
definition); (iii) the Executive no longer reports to the Chief Executive Officer or President of the Company or its successor;
(iv) any requirement by the Company, without the Executive’s prior written consent,
that the Executive locate the Executive’s residence or primary
place of employment to a location outside a 50-mile radius of such location mutually
agreed upon between the Company and the Executive as of the Effective Date, or such other location that the Company and the Executive
may mutually agree upon and designate from time to time during the Term; or (v) a material breach by the Company of Section
7(b) of this Agreement which is not cured by the Company within thirty (30) days after written notice thereof is given to the
Company by the Executive. However, notwithstanding the above, Good Reason shall not exist unless: (x) the Executive notifies the
Board or the Chief Executive Officer in writing within thirty (30) days of the initial existence of one of the adverse events
described above, and (y) the Company fails to correct the adverse event within thirty (30) days of such notice, and (z) the Executive’s
voluntary termination because of the existence of one or more of the adverse events described above occurs within ninety (90)
days of the initial existence of the event.

 

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(e)
The Executive’s employment may be terminated by the Company without Cause by delivery of written notice to the Executive
effective the date of delivery of such notice. For the avoidance of doubt, termination of the Executive’s employment due
to his death or Disability does not constitute a termination for Cause.

 

(f)
The Executive’s employment may be terminated by the Executive in the absence of Good Reason by delivery of written notice
to the Company effective fifteen (15) days after the date of delivery of such notice.

 

9.
Compensation upon Termination.

 

(a)
Accrued Benefits. Upon termination of the Executive’s employment
by either party regardless of the cause or reason, the Executive shall be entitled
to the following, referred to herein as the “Accrued Benefits”: (i) payment for any accrued, unpaid Base Salary
through the termination date; (ii) if provided for under the Company’s vacation
plan or policy or required by applicable law, payment for any accrued, unused vacation days through the termination date; and
(iii) reimbursement for any approved business expenses that the Executive
has timely submitted for reimbursement in accordance with the Company’s business expense reimbursement policy or practice.
Except as otherwise expressly provided by this Agreement, the Company shall have no further payment obligations to the
Executive and all Equity Awards that have not vested as of the termination date shall be forfeited to the Company as of
such date. Subject to this Section 9, the vested portion of any stock options held by the Executive as of the Executive’s
termination date shall remain exercisable for ninety (90) days following such termination.

 

(b)
Change of Control Separation Benefits. If the Executive’s employment is terminated by the Company due to Disability
pursuant to Section 8(b), by the Company without Cause pursuant to Section 8(e),
or by the Executive for Good Reason pursuant to Section 8(d) and such termination occurs during the period beginning on the Change
of Control and ending twelve (12) months immediately following such Change of Control (the “COC Period”), provided
that the Executive signs and does not revoke a general release of claims
against the Company within the time period specified therein (which time period shall not exceed sixty (60) days), in form and
substance satisfactory to the Company (the “Release”), then the Company shall provide the following benefits
to the Executive, referred to herein as the “Change of Control Separation
Benefits”: (i) a lump sum payment equal to twelve (12) months of the
Executive’s then-current Base Salary; (ii) the full Annual Performance Bonus for the year in which such termination occurs,
less any installments paid in advance (items (i) and (ii) being the “Change of Control Separation Pay”); (iii)
immediate vesting in full of all Equity Awards subject to time based vesting; (iv) extension of the exercise period for all vested
stock options held by the Executive as of the termination date until the end of their term; and (v) if the Executive properly
and timely elects to continue his health insurance benefits under COBRA or applicable state continuation coverage after the termination
date, reimbursement for the portion of Executive’s health continuation coverage premiums that the Company would have paid
had the Executive remained employed by the Company until the earlier of (A) the twelve (12) month period following the month in
which the Executive’s termination date occurs, or (B) the maximum period permitted by applicable law, provided that the
Company’s obligation to pay a portion of the Executive’s health continuation coverage premiums will terminate if she
becomes eligible for health insurance benefits from another employer during the reimbursement period. Subject to the Release being
effective, the Change of Control Separation Pay will be paid within sixty (60) days after the termination date; provided, however,
that if the 60-day period begins in one calendar year and ends in a second calendar year, such payments, to the extent they qualify
as “non-qualified deferred compensation” within the meaning of Section 409A of the Code, shall be paid no earlier
than the first Company payroll date in the second calendar year and, in any case, by the last day of such 60-day period.

 

    11 

     

    

 

(c)
Base Separation Benefits. If the Executive’s employment is terminated during the Term and outside of the COC Period
as a result of the Executive’s Disability pursuant to Section 8(b),
by the Company without Cause pursuant to Section 8(e), or by the
Executive for Good Reason pursuant to Section 8(d)(ii) –(v), provided that the
Executive signs and does not revoke the Release within the time period specified therein (which time period shall not exceed
sixty (60) days), then the Company shall provide the following benefits to the
Executive, referred to herein as the “Base Separation Benefits”: (i) the continued payment in installments
of the Executive’s then-current Base Salary for a period of twelve (12)
months following the termination date (the “Base Separation Pay”); and (ii) if the Executive properly and timely
elects to continue the Executive’s health insurance benefits under COBRA or applicable state continuation coverage after
the termination date, reimbursement for the portion of Executive’s health continuation coverage premiums that the Company
would have paid had the Executive remained employed by the Company until the earlier of (A) the twelve (12) month period following
the month in which the Executive’s termination date occurs, or (B) the maximum period permitted by applicable law, provided
that the Company’s obligation to pay a portion of the Executive’s health continuation coverage premiums will terminate
if she becomes eligible for health insurance benefits from another employer during the reimbursement period. The first installment
of the Base Separation Pay will be paid on the Company’s first regular payday occurring following the effective date of
the Release in an amount equal to the sum of payments of Base Salary that would have been paid if Executive had remained in employment
for the period from the termination date through the payment date. The remaining installments will be paid until the end of the
12-month period at the same rate as the Base Salary in accordance with the Company’s normal payroll practices for its employees.
Notwithstanding the foregoing, if the 60-day period for the execution and non-revocation of the Release begins in one calendar
year and ends in a second calendar year, the Base Separation Pay, to the extent it qualifies as “non-qualified deferred
compensation” within the meaning of Section 409A of the Code, shall begin to be paid no earlier than the first Company payroll
date in the second calendar year and, in any case, by the last day of such 60-day period; provided, however, that the initial
payment shall include a catch-up payment to cover amounts retroactive to the day immediately following the termination date. The
Executive understands that if Executive is eligible to receive the Base Separation Benefits, such Base Separation Benefits
shall be in lieu of and not in addition to the Change of Control Separation Benefits described in Section 9(b)
of this Agreement. Notwithstanding the foregoing, if the Executive is entitled
to receive the Base Separation Benefits but violates any provisions of this Agreement or any other agreement entered into by the
Executive and the Company after termination of employment, the Company will be entitled to immediately stop paying any
further installments of the Base Separation Benefits. If the Executive’s employment is terminated during the Term as a result
of the Executive’s death, then the Company shall provide to the
Executive’s estate the continued payment of Executive’s then-current Base Salary for a period of twelve (12)
months following the termination date, beginning on the Company’s first regular payday following the such termination date.

 

(d)
This Section 9 sets forth the only obligations of the Company with respect to
the termination of the Executive’s employment with the Company, except as otherwise required by law, and the Executive acknowledges
that, upon the termination of Executive’s employment, Executive shall not be entitled to any payments or benefits which
are not explicitly provided in Section 9.

 

(e)
Upon termination of the Executive’s employment hereunder for any reason, the
Executive shall be deemed to have resigned as director and/or officer of the Company and each subsidiary, to the extent applicable,
effective as of the date of such termination, unless otherwise requested by the Board.

 

(f)
The provisions of this Section 9 shall survive any termination of this Agreement.

 

10.
Section 409A. The intent of the parties to this Agreement is that the payments, compensation and benefits under this Agreement
be exempt from or comply with Section 409A of the Code and the regulations and guidance promulgated thereunder (collectively,
“Section 409A”) and, in this connection, the following shall be applicable:

 

(a)
To the greatest extent possible, this Agreement shall be interpreted to be exempt from or in compliance with Section 409A.

 

    12 

     

    

 

(b)
If any severance, compensation, or benefit required by this Agreement is to be paid in a series of installment payments, each
individual payment in the series shall be considered a separate payment for purposes of Section 409A.

 

(c)
If any severance, compensation, or benefit required by this Agreement that constitutes “nonqualified deferred compensation”
within the meaning of Section 409A is considered to be paid on account of “separation from service” within the meaning
of Section 409A, and the Executive is a “specified employee” within
the meaning of Section 409A, no payments of any of such severance, compensation, or benefit shall be
made until the earlier of six (6) months plus one (1) day after such separation from service or the Executive’s death
(the “New Payment Date”). The aggregate amount of any such payments that would have otherwise been paid during
the period between the date of separation from service and the New Payment Date shall be paid to the Executive or her estate in
a lump sum payment on the New Payment Date. Thereafter, any severance, compensation,
or benefit required by this Agreement that remains outstanding as of the day
immediately following the New Payment Date shall be paid without delay over the time period originally scheduled, in accordance
with the terms of this Agreement.

 

(d)
The provisions of this Section 10 shall survive any termination of this Agreement.

 

11.
Section 280G.

 

(a)
Notwithstanding any other provision of this Agreement or any other plan, arrangement or agreement to the contrary, if any of the
payments or benefits provided or to be provided by the Company or its affiliates to the Executive or for the Executive’s
benefit pursuant to the terms of this Agreement or otherwise (“Covered Payments”) constitute parachute payments
(“Parachute Payments”) within the meaning of Section 280G of the Code and would, but for this Section 11 be
subject to the excise tax imposed under Section 4999 of the Code (or any successor provision thereto) or any similar tax imposed
by state or local law or any interest or penalties with respect to such taxes (collectively, the “Excise Tax”),
then prior to making the Covered Payments, a calculation shall be made comparing (i) the Net Benefit (as defined below) to the
Executive of the Covered Payments after payment of the Excise Tax to (ii) the Net Benefit to the Executive if the Covered Payments
are limited to the extent necessary to avoid being subject to the Excise Tax. Only if the amount calculated under (i) above is
less than the amount under (ii) above will the Covered Payments be reduced to the minimum extent necessary to ensure that no portion
of the Covered Payments is subject to the Excise Tax (that amount, the “Reduced Amount”). “Net Benefit”
shall mean the present value of the Covered Payments net of all federal, state, local, foreign income, employment and excise taxes.

 

(b)
Any such reduction shall be made in accordance with Section 409A of the Code and the following: (i) the Covered Payments which
do not constitute nonqualified deferred compensation subject to Section 409A of the Code shall be reduced first; and (ii) all
other Covered Payments shall then be reduced as follows: (A) cash payments shall be reduced before non-cash payments; and (B)
payments to be made on a later payment date shall be reduced before payments to be made on an earlier payment date.

 

(c)
Any determination required under this Section 11 shall be made in writing in good faith by the accounting firm that was the Company’s
independent auditor immediately before the Change of Control (the “Accounting Firm”). The Accounting Firm shall
provide detailed supporting calculations to the Company and the Executive as requested by the Company or the Executive. The Company
and the Executive shall provide the Accounting Firm with such information and documents as the Accounting Firm may reasonably
request in order to make a determination under this Section 11. For purposes of making the calculations and determinations required
by this Section 11, the Accounting Firm may rely on reasonable, good faith assumptions and approximations concerning the application
of Section 280G and Section 4999 of the Code. The Accounting Firm’s determinations shall be final and binding on the Company
and the Executive. The Company shall be responsible for all fees and expenses incurred by the Accounting Firm in connection with
the calculations required by this Section 11.

 

(d)
It is possible that after the determinations and selections made pursuant to this Section 11 the Executive will receive Covered
Payments that are in the aggregate more than the amount provided under this Section 11 (“Overpayment”) or less
than the amount provided under this Section 11 (“Underpayment”).

 

(i)
In the event that: (A) the Accounting Firm determines, based upon the assertion of a deficiency by the Internal Revenue Service
against either the Company or the Executive which the Accounting Firm believes has a high probability of success, that an Overpayment
has been made or (B) it is established pursuant to a final determination of a court or an Internal Revenue Service proceeding
that has been finally and conclusively resolved that an Overpayment has been made, then the Executive shall pay any such Overpayment
to the Company.

 

(ii)
In the event that: (A) the Accounting Firm, based upon controlling precedent or substantial authority, determine that an Underpayment
has occurred or (B) a court of competent jurisdiction determines that an Underpayment has occurred, any such Underpayment will
be paid promptly by the Company to or for the benefit of the Executive.

 

    13 

     

    

 

12.
Miscellaneous.

 

(a)
This Agreement shall be governed by, and construed and interpreted in accordance with, the laws of the State of California, without
giving effect to its principles of conflicts of laws.

 

(b)
In the event of any dispute arising out of, or relating to, this Agreement or the breach thereof (other than Sections 5 or 6 hereof),
or regarding the interpretation thereof, the parties agree to submit any differences to nonbinding mediation prior to pursuing
resolution through the courts. The parties hereby submit to the exclusive jurisdiction of the state and federal courts situated
in San Francisco County, California, and agree that service of process in such court proceedings shall be satisfactorily made
upon each other if sent by registered mail addressed to the recipient at the address referred to in Section 12(g) below.

 

(c)
This Agreement shall be binding upon and inure to the benefit of the parties hereto, and their respective heirs, legal representatives,
successors and permitted assigns.

 

(d)
This Agreement, and the Executive’s rights and obligations hereunder, may not be assigned by the Executive. The rights and
obligations of the Company under this Agreement shall inure to the benefit of and shall be binding upon the successors and assigns
of the Company, including any successors or assigns in connection with any sale, transfer or other disposition of all or substantially
all of its business or assets.

 

(e)
This Agreement cannot be amended orally, or by any course of conduct or dealing, but only by a written agreement signed by the
parties hereto.

 

(f)
The failure of either party to insist upon the strict performance of any of the terms, conditions and provisions of this Agreement
shall not be construed as a waiver or relinquishment of future compliance therewith, and such terms, conditions and provisions
shall remain in full force and effect. No waiver of any term or condition of this Agreement on the part of either party shall
be effective for any purpose whatsoever unless such waiver is in writing and signed by such party.

 

(g)
All notices, requests, consents and other communications, required or permitted to be given hereunder, shall be in writing and
shall be delivered personally or by an overnight courier service or sent by registered or certified mail, postage prepaid, return
receipt requested, to the parties at the addresses set forth on the first page of this Agreement, and shall be deemed given when
so delivered personally or by overnight courier, or, if mailed, five days after the date of deposit in the United States mail.
Either party may designate another address, for receipt of notices hereunder by giving notice to the other party in accordance
with this Section 12(g).

 

(h)
This Agreement sets forth the entire agreement and understanding of the parties relating to the subject matter hereof, and supersedes
all prior agreements, arrangements and understandings, written or oral, relating to the subject matter hereof, including, without
limitation that the Prior Agreement. For avoidance of doubt, the execution and delivery of this Agreement shall not constitute
“Good Reason” under the Prior Agreement. No representation, promise or inducement has been made by either party that
is not embodied in this Agreement, and neither party shall be bound by or liable for any alleged representation, promise or inducement
not so set forth.

 

    14 

     

    

 

(i)
As used in this Agreement, “affiliate” of a specified person or entity shall mean and include any person or entity
controlling, controlled by or under common control with the specified person or entity.

 

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

 

(k)
This Agreement may be executed in any number of counterparts, each of which shall constitute an original, but all of which together
shall constitute one and the same instrument.

 

[Remainder
of Page Intentionally Left Blank – Signature Page Follows]

 

    15 

     

    

 

IN
WITNESS WHEREOF, the parties hereto have executed this Agreement and intend it to be effective as of the Effective Date by
proper person thereunto duly authorized.

 

	 	ASSEMBLY BIOSCIENCES, INC.
	 	 	 
	 	By: 	/s/ Derek Small
	 	Name: Derek Small
	 	Title: Chief Executive Officer and President
	 	 	 
	 	EXECUTIVE
	 	 	 
	 	/s/ Jackie Papkoff, Ph.D.
	 	Name: Jackie Papkoff, Ph.D.

 

[Signature Page to Jackie Papkoff, Ph.D. Amended and Restated Employment Agreement] 

 

     

     

    

 

EXHIBIT A

 

California Labor Code Section
2870. Application of provision providing that employee shall assign or offer to assign rights in invention to employer.

 

(a) Any provision in an
employment agreement which provides that an employee shall assign, or offer to assign, any of his or her rights in an invention
to his or her employer shall not apply to an invention that the employee developed entirely on his or her own time without using
the employer’s equipment, supplies, facilities, or trade secret information except for those inventions that either:

 

(1) Relate
at the time of conception or reduction to practice of the invention to the employer’s business, or actual or demonstrably
anticipated research or development of the employer; or

 

(2) Result
from any work performed by the employee for his employer.

 

(b) To the extent a provision
in an employment agreement purports to require an employee to assign an invention otherwise excluded from being required to be
assigned under subdivision (a), the provision is against the public policy of this state and is unenforceable.ex1022amendedandrestated

                                                                                                                                           AMENDED AND RESTATED                      EMPLOYEE MATTERS AGREEMENT                                by and between                                                                  FMC CORPORATION                                                                          and                                                                 LIVENT CORPORATION                                                                Dated as of February 4, 2019                                                            #90914078v33                                                              

 

                            TABLE OF CONTENTS                                                                                                           PAGE                                  ARTICLE I                                DEFINITIONS   Section 1.01.  Certain Definitions........................................................................................1                                 ARTICLE II              GENERAL ALLOCATION OF LIABILITIES; INDEMNIFICATION   Section 2.01.  Allocation of Employee-Related Liabilities ..................................................8  Section 2.02.  Indemnification .............................................................................................9                                 ARTICLE III                 EMPLOYEES AND CONTRACTORS; EMPLOYMENT AND                     COLLECTIVE BARGAINING AGREEMENTS   Section 3.01.  Transfers of Employment; Post-IPO Transfers ............................................9  Section 3.02.  Contractors .................................................................................................12  Section 3.03.  Assumption of Collective Bargaining Agreements; Labor Relations .........12  Section 3.04.  Assumption of Individual Lithium Employee Agreements and Lithium              Contractor Agreements ..............................................................................12  Section 3.05.  Assignment of Specified Rights ...................................................................13                                 ARTICLE IV                                   PLANS   Section 4.01.  Plan Participation .......................................................................................13  Section 4.02.  Adoption and Administration of Lithium Plans; Service Credit .................13                                 ARTICLE V                              RETIREMENT PLANS   Section 5.01.  401(k) Plan..................................................................................................14  Section 5.02.  Non-U.S. Defined Contribution Plans ........................................................15  Section 5.03.  Parent U.S. Qualified Pension Plan ...........................................................15  Section 5.04.  Non-U.S. Pension Plans ..............................................................................16  Section 5.05.  Parent NQ Savings Plan .............................................................................16  Section 5.06.  Parent NQ Pension Plan .............................................................................17                                 ARTICLE VI            HEALTH AND WELFARE PLANS; PAID TIME OFF AND VACATION   Section 6.01.  Cessation of Participation in Parent H&W Plans; Participation in              Lithium H&W Plans ...................................................................................17  Section 6.02.  Assumption of Health and Welfare Plan Liabilities ...................................18                                      i  #90914078v33                                                              

 

Section 6.03.  Post-Retirement Health and Welfare Benefits ............................................19  Section 6.04.  Flexible Spending Account Plan Treatment ...............................................19  Section 6.05.  Workers’ Compensation Liabilities ............................................................19  Section 6.06.  Vacation and Paid Time Off .......................................................................19  Section 6.07.  COBRA and HIPAA ....................................................................................20                                 ARTICLE VII                           INCENTIVE COMPENSATION   Section 7.01.  Cash Incentive and Cash Bonus Plans .......................................................20                                ARTICLE VIII                  TREATMENT OF OUTSTANDING EQUITY AWARDS   Section 8.01.  No Adjustments at the IPO ..........................................................................21  Section 8.02.  RSU and Banked PRSU Distribution Adjustments .....................................21  Section 8.03.  Unbanked PRSU Distribution Adjustments ................................................22  Section 8.04.  Stock Option Distribution Adjustments .......................................................24  Section 8.05.  Equity Award Adjustment Illustrations .......................................................25  Section 8.06.  Miscellaneous Terms and Actions; Tax Reporting and Withholding .........25                                 ARTICLE IX               PERSONNEL RECORDS; PAYROLL AND TAX WITHHOLDING   Section 9.01.  Personnel Records ......................................................................................28  Section 9.02.  Payroll; Tax Reporting and Withholding ...................................................28                                 ARTICLE X                   NON-U.S. EMPLOYEES AND EMPLOYEE PLANS   Section 10.01.  Special Provisions for Employees and Employee Plans Outside of              the United States ........................................................................................28                                 ARTICLE XI                         GENERAL AND ADMINISTRATIVE   Section 11.01.  Sharing of Participant Information ..........................................................29  Section 11.02.  Cooperation ..............................................................................................29  Section 11.03.  Notices of Certain Events..........................................................................29  Section 11.04.  No Third Party Beneficiaries ....................................................................30  Section 11.05.  Fiduciary Matters .....................................................................................30  Section 11.06.  Consent of Third Parties ...........................................................................30  Section 11.07.  Sponsored Employees ...............................................................................31                                 ARTICLE XII                             DISPUTE RESOLUTION   Section 12.01.  General .....................................................................................................31                                      ii  #90914078v33                                                              

 

                             ARTICLE XIII                               MISCELLANEOUS   Section 13.01.  General .....................................................................................................31  Section 13.02.  Entire Agreement; References ..................................................................31                                       iii  #90914078v33                                                              

 

       AMENDED AND RESTATED EMPLOYEE MATTERS AGREEMENT         This AMENDED AND RESTATED EMPLOYEE MATTERS AGREEMENT,  dated as of February 4, 2019 is by and between FMC CORPORATION, a Delaware  corporation (“Parent”), and LIVENT CORPORATION, a Delaware corporation (the  “Company”).                                R E C I T A L S         WHEREAS, Parent and the Company have entered into the Separation and  Distribution Agreement, dated as of October 15, 2018 (the “Separation and Distribution  Agreement”), pursuant to which Parent and the Company will effectuate the Transactions;         WHEREAS, as contemplated by the Separation and Distribution Agreement,  Parent and the Company previously entered into the Employee Matters Agreement (the  “Prior Agreement”), dated as of October 15, 2018 (the “Original Effective Date”), for  the purpose of allocating between them the Assets, Liabilities and responsibilities with  respect to certain employee matters (including employee compensation and benefit plans  and programs);          WHEREAS, Parent and the Company desire to amend and restate the Prior  Agreement as set forth herein, and this Agreement shall supersede and replace the Prior  Agreement in its entirety as if it were in effect as of the Original Effective Date;          WHEREAS,   Parent and the Company have agreed that, except as otherwise  specifically provided herein, the general approach and philosophy underlying this  Agreement is to (a) allocate Assets, Liabilities and responsibilities to the Lithium Group  (as opposed to the Parent Group) to the extent they relate to current or former employees  and other service providers primarily related to the Lithium Assets or the Lithium Business  and (b) allocate Assets, Liabilities and responsibilities (other than those described in clause  (a) above) to the Parent Group (as opposed to the Lithium Group); and         WHEREAS, except as expressly set forth herein, this Agreement is not intended to  address the matters specifically and expressly covered by the Plan of Reorganization (as  defined in the Separation and Distribution Agreement).         NOW, THEREFORE, in consideration of the mutual agreements, provisions and  covenants contained in this Agreement, the parties, intending to be legally bound, hereby  agree as follows:                                  ARTICLE I                                DEFINITIONS         Section 1.01. Certain Definitions.  For purposes of this Agreement, the following  terms shall have the following meanings; provided that capitalized terms used but not  otherwise defined in this Section 1.01 shall have the respective meanings ascribed to such  terms in the Separation and Distribution Agreement:                                         #90914078v33                                                              

 

           “2018 Cash Bonuses” has the meaning set forth in Section 7.01 hereto.          “Adjusted Banked Parent PRSU” means any Banked Parent PRSU adjusted  pursuant to Section 8.02(b) or Section 8.02(c) hereto.         “Adjusted Company Stock Value” means the product of (a) the Company Stock  Value multiplied by (b) the Distribution Ratio.          “Adjusted Parent Awards” means, collectively, the Adjusted Parent Options, the  Adjusted Banked Parent PRSUs, the Adjusted Unbanked Parent PRSUs and the Adjusted  Parent RSUs.          “Adjusted Parent Option” means any Parent Option adjusted pursuant to Section   8.04(b) hereto.          “Adjusted Parent Post-Distribution Stock Value” means the amount equal to the   Parent Pre-Distribution Stock Value less the Adjusted Company Stock Value.          “Adjusted Parent RSU” means any Parent RSU adjusted pursuant to Section   8.02(b) or Section 8.02(c) hereto.          “Adjusted Unbanked Parent PRSU” means any Unbanked Parent PRSU adjusted   pursuant to Section 8.03(b) or Section 8.03(c) hereto.          “Agreement” means this Amended and Restated Employee Matters Agreement,   including all of the schedules and exhibits hereto, as may be amended from time to time in   accordance with its terms.           “Banked Parent PRSU” means any Parent PRSU (or portion thereof) for which   the applicable performance period has been completed as of the applicable date of   determination.          “Benefits Commencement Date” means (a) January 1, 2019 (in the case of U.S.   Lithium Participants) and (b) the Separation Date (in the case of Non-U.S. Lithium   Participants).            “Benefits Transition Period” has the meaning set forth in Section 5.01(c) hereto.          “COBRA” means the continuation coverage requirements for “group health plans”   under Title X of the Consolidated Omnibus Budget Reconciliation Act of 1985, as codified   in Section 4980B of the Code and Sections 601 through 608 of ERISA.           “Collective Bargaining Agreements” means any and all agreements,   memorandums of understanding, contracts, letters, side letters and contractual obligations   of any kind, nature and description, oral or written, that have been entered into between or   that involve or apply to any employer and any labor organization, union, employee   association, agency or employee committee or plan.                                        2   #90914078v33                                                              

 

           “Company” has the meaning set forth in the preamble hereto.         “Company Stock Value” means the value of a share of Company Common Stock  that will be determined by the Parent Board (or an appropriate committee thereof), in its  sole discretion, in a manner intended to preserve the aggregate value of the applicable  outstanding equity awards.         “Distribution Effective Time” means the effective time of the Distribution.            “Delayed Transfer Employee” means any Lithium Inactive Employee, New  Lithium Employee, Transferred Lithium Employee or Sponsored Employee (to the extent  applicable).         “Delayed Transfer Period” has the meaning set forth in Section 3.01(b) hereto.           “Distribution Ratio” means the number of shares of Company Common Stock   distributed in the Distribution in respect of one share of Parent Common Stock.          “Employee Plan” means any (a) “employee benefit plan” as defined in Section 3(3)  of ERISA, (b) compensation, employment, consulting, severance, termination protection,  change in control, transaction bonus, retention or similar plan, agreement, arrangement,  program or policy or (c) other plan, agreement, arrangement, program or policy providing  for compensation, bonuses, profit-sharing, equity or equity-based compensation or other  forms of incentive or deferred compensation, vacation benefits, insurance (including any  self-insured arrangement), medical, dental, vision, prescription or fringe benefits, life  insurance, relocation or expatriate benefits, perquisites, disability or sick leave benefits,  employee assistance program, supplemental unemployment benefits or post-employment  or retirement benefits (including compensation, pension, health, medical or insurance  benefits), in each case whether or not written.         “ERISA” means the Employee Retirement Income Security Act of 1974, as  amended, together with the rules and regulations promulgated thereunder.         “Former Parent Employee” means each individual who, as of immediately prior  to the Distribution Effective Time, is a former employee of any member of the Parent  Group (other than any individual who was last actively employed primarily with respect to  the Lithium Assets or the Lithium Business).          “H&W Plan” means any Parent H&W Plan or Lithium H&W Plan.         “HIPAA” means the health insurance portability and accountability requirements  for “group health plans” under the Health Insurance Portability and Accountability Act of  1996, as amended, together with the rules and regulations promulgated thereunder.         “Lithium 401(k) Plan” means any Lithium Plan that is a defined contribution plan  intended to qualify under Section 401(a) of the Code.                                        3   #90914078v33                                                              

 

           “Lithium Awards” means, collectively, the Lithium Options, the Lithium PRSUs   and the Lithium RSUs.         “Lithium Assumed Employee Liabilities” has the meaning set forth in Section   2.01(b) hereto.          “Lithium CBA” means any Collective Bargaining Agreement covering Lithium  Employees or Lithium Contractors, as applicable, as listed on Schedule I hereto.           “Lithium Change in Control” has the meaning set forth in Section 8.06(b) hereto.          “Lithium Contractor” means each individual independent contractor or consultant   who, as of the Separation Effective Time, primarily provides or provided services with   respect to the Lithium Assets or the Lithium Business.          “Lithium Employee” means each (a) individual who, as of the Separation   Effective Time, is (i) actively employed primarily with respect to the Lithium Assets or the   Lithium Business by any member of the Parent Group or the Lithium Group or (ii) (x) an   inactive employee (including any employee on short- or long-term  disability leave or other  authorized leave of absence) or (y) a former employee and, in each case, who was last  actively employed primarily with respect to the Lithium Assets or the Lithium Business by  any member of the Parent Group or the Lithium Group, (b) Transferred Lithium Employee  or (c) New Lithium Employee.         “Lithium Equity Plan” has the meaning set forth in Section 8.06(a) hereto.         “Lithium FSAs” has the meaning set forth in Section 6.04 hereto.         “Lithium H&W Plan” means any Lithium Plan that is (a) an “employee welfare  benefit plan” or “welfare plan” (as defined under Section 3(1) of ERISA) or (b) a similar  plan that is sponsored, maintained, administered, contributed to or entered into outside of  the United States. For the avoidance of doubt, Lithium FSAs are Lithium H&W Plans.          “Lithium Inactive Employee” has the meaning set forth in Section 3.01(b) hereto.         “Lithium NQ Savings Plan” has the meaning set forth in Section 5.05(a) hereto.         “Lithium Option” has the meaning set forth in Section 8.04(a) hereto.         “Lithium Participant” means any individual who is a Lithium Employee or  Lithium Contractor, and any beneficiary, dependent, or alternate payee of such individual,  as the context requires.         “Lithium Plan” means any Employee Plan that (a) is or was sponsored, maintained,  administered, contributed to or entered into by any member of the Lithium Group, whether  before, as of or after the Separation Date or (b) for which Liabilities transfer to any member  of the Lithium Group under this Agreement or pursuant to applicable Law as a result of the  Distribution.                                       4   #90914078v33                                                              

 

         “Lithium PRSU” means each award of restricted share units with respect to  Company Common Stock granted under the Lithium Equity Plan pursuant to Section  8.03(b) that is subject to performance-based vesting conditions.         “Lithium RSU” has the meaning set forth in Section 8.02(a) hereto.         “Lithium Specified Rights” means any and all rights to enjoy, benefit from or  enforce any and all restrictive covenants, including covenants relating to non-disclosure,  non-solicitation, non-competition, confidentiality or Intellectual Property, applicable or  related, in whole or in part, to the Lithium Assets or the Lithium Business pursuant to any  Employee Plan covering or with any Lithium Employee or Lithium Contractor and to  which any member of the Lithium Group or Parent Group is a party; provided that, with  respect to any Intellectual Property existing, conceived, created, developed or reduced to  practice prior to the Separation Effective Time, the foregoing rights to enjoy, benefit from  or enforce any restrictive covenants related to Intellectual Property is limited to those  restrictive covenants related to Intellectual Property included in the Lithium Assets.         “New Lithium Employee” means any individual who is hired following the  Separation Effective Time to primarily provide services to the Lithium Assets or the  Lithium Business.         “Non-U.S. Lithium Participant” means any Lithium Participant who is not a U.S.  Lithium Participant.          “Parent” has the meaning set forth in the preamble hereto.         “Parent 401(k) Plan” means any Parent Plan that is a defined contribution plan  intended to qualify under Section 401(a) of the Code.         “Parent Awards” means, collectively, the Parent Options, the Banked Parent  PRSUs, the Unbanked Parent PRSUs and the Parent RSUs.          “Parent Bonus Plan” has the meaning set forth in Section 7.01 hereto.         “Parent CBA” means any Collective Bargaining Agreement covering Parent  Employees or Parent Contractors, as applicable.          “Parent Change in Control” has the meaning set forth in Section 8.06(b) hereto.         “Parent Contractor” means each individual independent contractor or consultant  (other than a Lithium Contractor) of any member of the Parent Group, or solely for  purposes of Article VIII, any non-employee director of the Parent Board.          “Parent Employee” means each individual who, as of the Separation Effective  Time, is (a) not a Lithium Employee and (b) either (i) actively employed by any member  of the Parent Group or (ii) (x) an inactive employee (including any employee on short- or  long-term disability leave or other authorized leave of absence) or (y) a former employee,  in each case, of any member of the Parent Group.                                      5  #90914078v33                                                              

 

         “Parent Equity Plan” means the FMC Corporation Incentive Compensation and  Stock Plan.          “Parent Executive Severance Plan” means the FMC Corporation Executive  Severance Plan.         “Parent FSA” means any Parent Plan that is a flexible spending account for health  and dependent care expenses.         “Parent H&W Plan” means any Parent Plan that is (a) an “employee welfare  benefit plan” or “welfare plan” (as defined under Section 3(1) of ERISA) or (b) a similar  plan that is sponsored, maintained, administered, contributed to or entered into outside of  the United States.  For the avoidance of doubt, Parent FSAs are Parent H&W Plans.            “Parent NQ Pension Plan” means the FMC Corporation Salaried Employees’  Equivalent Retirement Plan.          “Parent NQ Savings Plan” means the FMC Corporation Non-Qualified Savings  and Investment Plan.         “Parent Option” means each option to acquire Parent Common Stock granted  under the Parent Equity Plan.          “Parent Participant” means any individual who is a Parent Employee or Parent  Contractor, and any beneficiary, dependent, or alternate payee of such individual, as the  context requires.         “Parent Plan” means any Employee Plan (other than a Lithium Plan) sponsored,  maintained, administered, contributed to or entered into by any member of the Parent  Group.  For the avoidance of doubt, no Lithium Plan is a Parent Plan.           “Parent Pre-Distribution Stock Value” means the value of a share of Parent  Common Stock that will be determined by the Parent Board (or an appropriate committee  thereof), in its sole discretion, in a manner intended to preserve the aggregate value of the  applicable outstanding equity awards.         “Parent PRSU” means each award of restricted share units with respect to Parent  Common Stock granted under the Parent Equity Plan subject to performance-based vesting  conditions.          “Parent Retained Employee Liabilities” has the meaning set forth in Section  2.01(a) hereto.         “Parent Retiree H&W Plan” means any Parent H&W Plan that provides or  promises any post-retirement health, medical or life insurance or similar benefits (whether  insured or self-insured).                                       6  #90914078v33                                                              

 

         “Parent RSU” means each award of restricted share units with respect to Parent  Common Stock granted under the Parent Equity Plan (other than Parent PRSUs).          “Parent Specified Rights” means any and all rights to enjoy, benefit from or  enforce any and all restrictive covenants, including covenants relating to non-disclosure,  non-solicitation, non-competition, confidentiality or Intellectual Property, pursuant to any  Employee Plan covering or with any Lithium Employee, Lithium Contractor, Parent  Employee or Parent Contractor and to which any member of the Lithium Group or Parent  Group is a party (other than Lithium Specified Rights).         “Parent U.S. Qualified Pension Plan” means the FMC Corporation Employees’  Retirement Program, Salaried and Nonunion Hourly Employees’ Retirement Plan (Part I).         “Personnel Records” has the meaning set forth in Section 9.01 hereto.         “Separation Date” has the meaning set forth in the Separation and Distribution  Agreement.          “Separation Effective Time” means the closing of the IPO.          “Separation and Distribution Agreement” has the meaning set forth in the  recitals hereto.         “Sponsored Employee” means any Lithium Employee working on a visa or work  permit sponsored by Parent or a Parent Group member as of immediately prior to the  Separation Effective Time.         “Transferred Lithium Employee” means any individual who (a) did not become  a Lithium Employee effective on or before the Separation Effective Time and (b) Parent  and the Company mutually agree following the Separation Effective Time should have his  or her employment transferred from the Parent Group to the Lithium Group.         “UK Pension Plan” means the FMC Chemicals Pension Plan (together with all  obligations related thereto, including obligations associated with the winding-up of such  plan). For the avoidance of doubt, the UK Pension Plan is a Lithium Plan.           “Unbanked Parent PRSU” means any Parent PRSU (or portion thereof) for which  the applicable performance period has not been completed as of the applicable date of  determination.         “UK DC Plan” has the meaning set forth in Section 5.02(a) hereto.         “U.S. Lithium Employee” means any Lithium Employee who is employed (or, in  the case of former employees, last actively employed) in the United States.         “U.S. Lithium Participant” means any Lithium Participant employed or engaged  (or, in the case of former employees, individual independent contractors or consultants, last  actively employed or engaged, as applicable) in the United States.                                      7  #90914078v33                                                              

 

                                   ARTICLE II               GENERAL ALLOCATION OF LIABILITIES; INDEMNIFICATION          Section 2.01. Allocation of Employee-Related Liabilities.         (a)  Subject to the terms and conditions of this Agreement, effective as of the  Separation Effective Time, Parent shall, or shall cause the applicable member of the Parent   Group to, assume and retain, and no member of the Lithium Group shall have any further   obligation with respect to, any and all Liabilities (i) relating to, arising out of or in respect  of any Parent Participant or any Parent Plan, in each case, other than any Lithium Assumed  Employee Liabilities, or (ii) attributable to actions expressly specified to be taken by any  member of the Parent Group under this Agreement, in each case, (x) whether arising  before, on or after the Separation Date, (y) whether based on facts occurring before, on or  after the Separation Date and (z) irrespective of which Person such Liabilities are asserted  against or which Person such Liabilities attached to as a matter of applicable Law or  contract or (iii) expressly assumed or retained, as applicable, by any member of the Parent  Group pursuant to this Agreement  (collectively, “Parent Retained Employee  Liabilities”).  For the avoidance of doubt, all Parent Retained Employee Liabilities are  Parent Liabilities for purposes of the Separation and Distribution Agreement.          (b)  Subject to the terms and conditions of this Agreement, effective as of the  Separation Effective Time, the Company shall, or shall cause the applicable member of the  Lithium Group to, assume, and no member of the Parent Group shall have any further  obligation with respect to, any and all Liabilities (i) relating to, arising out of or in respect  of any Lithium Participant or any Lithium Plan or (ii) attributable to actions expressly  specified to be taken by any member of the Lithium Group under this Agreement, in each  case, (x) whether arising before, on or after the Separation Date, (y) whether based on facts   occurring before, on or after the Separation Date and (z) irrespective of which Person such   Liabilities are asserted against or which Person such Liabilities attached to as a matter of   applicable Law or contract (collectively, “Lithium Assumed Employee Liabilities”),   including without limitation:                  (i)  employment, separation or retirement agreements or arrangements         to the extent applicable to any Lithium Participant;                 (ii)  wages, salaries, incentive compensation, commissions, bonuses and         other compensation payable to any Lithium Participants, without regard to when         such wages, salaries, incentive compensation, equity compensation, commissions,         bonuses and other compensation are or may have been earned;                 (iii) severance or similar termination-related pay or benefits applicable         to any Lithium Participant;                 (iv)  claims made by or with respect to any Lithium Participant in         connection with any employee benefit plan, program or policy, without regard to         when such claim is in respect of;                                         8   #90914078v33                                                              

 

                 (v)   workers’ compensation and unemployment compensation benefits         for all Lithium Participants;                 (vi)  change in control, transaction bonus, retention and stay bonuses         payable to any Lithium Participants;                (vii)  the Lithium CBAs;                (viii) any applicable Law (including ERISA and the Code) to the extent         related to participation by any Lithium Participant in any Employee Plan;                 (ix)  any Actions, allegations, demands, assessments, settlements or         judgments relating to or involving any Lithium Participant (including, without         limitation, those relating to labor and employment, wages, hours, overtime,         employee classification, hostile workplace, civil rights, discrimination, harassment,         affirmative action, work authorization, immigration, safety and health, information         privacy and security, workers’ compensation, continuation coverage under group        health plans, wage payment, hiring practice and the payment and withholding of        Taxes);                  (x)  any costs or expenses incurred in designing, establishing and        administering any Lithium Plans or payroll or benefits administration for Lithium        Participants;                 (xi) the employer portion of any employment, payroll or similar Taxes        relating to any of the foregoing or any Lithium Participant; and               (xii)  any Liabilities expressly assumed or retained, as applicable, by any         member of the Lithium Group pursuant to this Agreement.     For the avoidance of doubt, all Lithium Assumed Employee Liabilities are Lithium   Liabilities for purposes of the Separation and Distribution Agreement.          Section 2.02. Indemnification.  For the avoidance of doubt, the provisions of   Article VIII of the Separation and Distribution Agreement shall apply to and govern the   indemnification rights and obligations of the parties with respect to the matters addressed   by this Agreement.                                    ARTICLE III                  EMPLOYEES AND CONTRACTORS; EMPLOYMENT AND                      COLLECTIVE BARGAINING AGREEMENTS          Section 3.01. Transfers of Employment; Post-IPO Transfers.           (a)  Effective as of or prior to the Separation Effective Time, (i) the employment   of each Lithium Employee, to the extent employed at such time, will be transferred to or   continued by, as applicable, a member of the Lithium Group and (ii) the employment of  each Parent Employee, to the extent employed at such time, will be continued by a member                                       9   #90914078v33                                                              

 

   of the Parent Group.  Following the Separation Effective Time and prior to the Distribution  Effective Time, Parent and the Company shall cooperate in good faith to transfer the  employment of each Transferred Lithium Employee from the Parent Group to the Lithium  Group, and the parties shall use their reasonable best efforts to cause all such transfers of  employment to occur no later than the Distribution Effective Time; provided however, that  the parties agree and acknowledge that there may be a limited number of Transferred  Lithium Employees whose employment may not be transferred to the Lithium Group until  on or after the Distribution Effective Time, in which case the parties will mutually  cooperate to transfer the employment of such individuals to the Lithium Group as soon as  possible following the Distribution Effective Time and, unless as otherwise contemplated  in connection with the Transition Services Agreement, in no event later than the expiration  of the Delayed Transfer Period. For the avoidance of doubt, each Transferred Lithium  Employee shall be deemed to be a “Lithium Employee” for all purposes of the Agreement  following the applicable date of transfer of his or her employment from the Parent Group  to the Lithium Group.         (b)  Notwithstanding anything to the contrary in this Agreement, each U.S.  Lithium Employee who, as of the Separation Effective Time, is (i) on an approved leave  of absence and (ii) receiving long-term or short-term disability benefits under a Parent  H&W Plan (each, a “Lithium Inactive Employee”) will continue to be employed by a  member of the Parent Group until such individual returns to active service.  Upon a Lithium  Inactive Employee’s return to active service, such Lithium Inactive Employee will be  transferred to a member of the Lithium Group (or, if such Lithium Inactive Employee  returns to active service following the Distribution Effective Time, the Company will make  an offer of employment to such Lithium Inactive Employee on terms and conditions of  employment consistent with (A)  this Agreement and (B)  the terms and conditions of  employment applicable to such Lithium Inactive Employee at such time); provided, that  such Lithium Inactive Employee returns to active service within 18  months following the  Separation Date (such period, the “Delayed Transfer Period”).  For the avoidance of  doubt, (x) effective on or before the Separation Effective Time, the employment of each  Lithium Employee (other than any Lithium Inactive Employee) who is on an approved  leave of absence (including parental, military or other authorized leave of absence) will  continue with or be transferred to, as applicable, the Lithium Group in accordance with  Section 3.01(a) and (y) all costs relating to any compensation, benefits, severance or other  employment-related costs in respect of Lithium Inactive Employees will constitute Lithium  Assumed Employee Liabilities.        (c)  Any  New Lithium Employees will be hired by a member of the Lithium  Group, and will be deemed to be a Lithium Employee for all purposes of this Agreement  from and after the applicable date of hire; provided that, to the extent any such individual  cannot be hired by a member of the Lithium Group prior to the Distribution Effective Time,  the parties will cooperate in good faith for such individual to be hired by a member of the  Parent Group and thereafter transferred to a member of the Lithium Group, effective as of  no later than the Distribution Effective Time.  For the avoidance of doubt, any New Lithium  Employee will be deemed to be a Lithium Employee for all purposes of this Agreement  following his or her applicable hire date (regardless of whether hired by a member of the  Lithium Group or a member of the Parent Group).                                      10  #90914078v33                                                              

 

          (d)  Each of the parties hereto agrees to execute, and to use their reasonable best   efforts to have the applicable employees execute, any such documentation or consents as   may be necessary or desirable to reflect or effectuate any such assignments or transfers   contemplated by this Section 3.01.         (e)  Effective as of the Separation Effective Time, (i) the Company shall adopt or   maintain, and shall cause each member of the Lithium Group to adopt or maintain, leave   of absence programs and (ii) the Company shall honor, and shall cause each member of the   Lithium Group to honor, all terms and conditions of authorized leaves of absence which   have been granted to any Lithium Participant before the Separation Effective Time,   including such leaves that are to commence on or after the Separation Effective Time.         (f)  In the event that the parties reasonably determine following the Separation  Effective Time that (i) any individual employed outside the United States who is not a  Lithium Employee has inadvertently become employed by a member of the Lithium Group  (due to the operation of transfer of undertakings or similar applicable Law), the parties  shall cooperate and take such actions as may be reasonably necessary in order to cause the  employment of such individual to be promptly transferred to a member of the Parent Group,  and  Parent shall reimburse the applicable members of the Lithium Group for all  compensation, benefits and other employment-related costs incurred by the Lithium Group  members in employing and transferring such individuals or (ii) any individual employed  outside the United States who was intended to transfer to, and become employed by, a  member of the Lithium Group pursuant to the operation of transfer of undertakings or  similar applicable Law instead continues to be employed by the Parent Group, the parties  shall cooperate and take such actions as may be reasonably necessary in order to cause the  employment of such individual to be promptly transferred to a member of the Lithium  Group, and the Company shall reimburse the applicable members of the Parent Group for  all compensation, benefits and other employment-related costs incurred by Parent Group  members in employing and transferring such individuals.          (g)  With respect to any employment agreements or restrictive covenant  agreements with Lithium Employees or Parent Employees to which a member of the  Lithium Group or a member of the Parent Group, respectively, is not a party, or which do  not otherwise transfer to a Lithium Group member or a Parent Group member, respectively,  by operation of applicable Law, the parties shall use reasonable best efforts to assign the  applicable employment agreement to a member of the Lithium Group or a member of the   Parent Group, as applicable, in the applicable jurisdiction, and the Company or Parent, as   applicable, shall, or shall cause a member of the Lithium Group or a member of the Parent  Group, respectively, to assume and perform such employment agreements in accordance  with their terms; provided, however, that this Section 3.01(g) shall not apply to (i) any   employment agreements with any Lithium Participants who are employed in a jurisdiction   outside of the United States in which the parties do not intend for such agreements to be   transferred to the Lithium Group or (ii) any executive severance agreements with any   Lithium Employees under the Parent Executive Severance Plan.         (h)  Neither the Separation, the Distribution nor any assignment, transfer or   continuation of the employment of employees as contemplated by this Article III shall be                                       11   #90914078v33                                                              

 

     deemed a termination of employment or service of any Lithium Participant or Parent   Participant for purposes of this Agreement or any Parent Plan or Lithium Plan (including,  for the avoidance of doubt, any individual employment, severance, change in control,  independent contractor, consulting or similar agreements).          (i)  Except as provided in Section 8.06(h), with respect to any Delayed Transfer  Employee, references to “Separation Effective Time”, “Separation Date”, “Benefits  Commencement Date”, “Distribution Effective Time” and “Distribution Date” in this  Agreement, as applicable, shall in each case be deemed to refer to the date such Delayed  Transfer Employee commences employment with the Lithium Group, mutatis mutandis, if  later.          Section 3.02. Contractors.  With respect to any independent contractor or  consulting agreements with Lithium Contractors or Parent Contractors to which a Lithium  Group member or a Parent Group member, respectively, is not a party, or which do not  otherwise transfer to a Lithium Group member or a Parent Group member, respectively,  by operation of applicable Law, the parties shall use reasonable best efforts to assign the  applicable agreements to a member of the Lithium Group or a member of the Parent Group,  as applicable, in the applicable jurisdiction, and the Company or Parent, as applicable,  shall, or shall cause a member of the Lithium Group or a member of the Parent Group,  respectively, to assume and perform such independent contractor and consulting  agreements.         Section 3.03. Assumption of Collective Bargaining Agreements; Labor Relations.         (a)  From and after the Separation Effective Time, the Company hereby agrees to  comply with and honor the Lithium CBAs and become, and fulfill its obligations as, a  successor employer to the applicable Parent Group member for all purposes under the  Lithium CBAs with respect to any Lithium Employee or Lithium Contractor, and the  Company assumes responsibility for, and Parent or the relevant member of the Parent  Group hereby ceases to be responsible for or to otherwise have any Liability in respect of,  the Lithium CBAs to the extent they pertain to any Lithium Employee or Lithium  Contractor.          (b)  To the extent required by applicable Law, any Lithium CBA, Parent CBA or  any other Collective Bargaining Agreement, the parties shall cooperate and consult in good  faith to provide notice, engage in consultation, and take any similar action which may be  required on its part in connection with the IPO or Distribution.         Section 3.04. Assumption of Individual Lithium Employee Agreements and  Lithium Contractor Agreements.  From and after the Separation Effective Time, the  Company hereby agrees to comply with and honor any employment or services agreement  between any member of the Parent Group or the Lithium Group, as the case may be, on the  one hand, and any Lithium Employee or Lithium Contractor, on the other hand, and  assumes responsibility for, and, to the extent applicable, Parent or the relevant member of  the Parent Group hereby ceases to be responsible for or to otherwise have any Liability in  respect of, such agreements. For the avoidance of doubt, this Section 3.04 shall not apply                                       12   #90914078v33                                                              

 

     to any executive severance agreements with any Lithium Employees under Parent’s   Executive Severance Plan.           Section 3.05. Assignment of Specified Rights.  To the extent permitted by   applicable Law and the applicable agreement, if any, effective as of the Separation   Effective Time, (i) Parent hereby assigns, to the maximum extent possible, on behalf of   itself and the Parent Group, the Lithium Specified Rights, to the Company and (ii) the   Company hereby assigns, to the maximum extent possible, on behalf of itself and the   Lithium Group, the Parent Specified Rights, to Parent.                                  ARTICLE IV                                    PLANS          Section 4.01. Plan Participation.  Except as otherwise expressly provided in this   Agreement, effective as of immediately prior to the applicable Benefits Commencement   Date, (a) (i) all Lithium Participants shall cease any participation in, and benefit accrual   under, Parent Plans and (ii)  all members of the Lithium Group shall cease to be   participating employers under the Parent Plans and, (b) to the extent applicable, (i) all   Parent Participants shall cease any participation in, and benefit accrual under, Lithium   Plans and (ii) all members of the Parent Group shall cease to be participating employers   under the Lithium Plans.  Prior to the Separation Date, Parent and the Company shall take   all actions necessary to effectuate the actions contemplated by this Section 4.01 and to   cause (A) the applicable Lithium Group member to assume or retain all Liabilities with   respect to each Lithium Plan and the applicable Parent Group member to assume or retain   all Liabilities with respect to each Parent Plan, in each case, effective as of the Separation   Effective Time and (B) all Assets of any Lithium Plan to be transferred to or retained by   the applicable Lithium Group member in the applicable jurisdiction and all Assets of any   Parent Plan to be transferred to or retained by the applicable Parent Group member in the   applicable jurisdiction, in each case, effective as of the Separation Effective Time.            Section 4.02. Adoption and Administration of Lithium Plans; Service Credit.           (a)  To the extent necessary to comply with its obligations under this Agreement,   the Company or a member of the Lithium Group shall adopt, or cause to be adopted, at the   Company’s expense, Lithium Plans to be effective from and after the applicable Benefits   Commencement Date.  The Company expressly agrees to reimburse Parent for any and all  costs and expenses incurred by the Parent Group before the applicable Benefits  Commencement Date to design, establish or administer any Lithium Plan.         (b)  For the avoidance of doubt, from and after the applicable Benefits   Commencement Date, the applicable member of the Lithium Group shall be responsible   for the administration of the applicable Lithium Plan, and no member of the Parent Group   shall have any Liability or obligation (including any administration obligation) with respect   to any Lithium Plans.         (c)  From and after the applicable Benefits Commencement Date, for purposes of   determining eligibility to participate, vesting and benefit accrual under any Lithium Plan                                       13   #90914078v33                                                              

 

   in which a Lithium Participant is eligible to participate on and following the applicable  Benefits Commencement Date, such Lithium Participant’s service with any member of the  Parent Group or the Lithium Group, as the case may be, prior to the applicable Benefits  Commencement Date shall be treated as service with the Lithium Group, to the extent  recognized by the Parent Group or the Lithium Group, as applicable, under an analogous  Parent Plan or Lithium Plan, as applicable, prior to the applicable Benefits Commencement  Date; provided, however, that such service shall not be recognized to the extent that such  recognition would result in any duplication of benefits.                                 ARTICLE V                              RETIREMENT PLANS         Section 5.01. 401(k) Plan.         (a)  Effective as of the Benefits Commencement Date, each Lithium Participant  who participates in the Parent 401(k) Plan as of immediately prior to the Benefits  Commencement Date (i) will cease active participation in the Parent 401(k) Plan and  (ii) will become eligible to participate in the Lithium 401(k) Plan. For the avoidance of  doubt, all  employee pre-tax deferrals and employer contributions with respect to the  Lithium Participants will be made to the Lithium 401(k) Plan on and following the Benefits  Commencement Date.        (b)  Effective as of the Distribution Effective Time, each Lithium Participant will  become eligible to elect a distribution of his or her account balance under the Parent 401(k)  Plan, including a voluntary “rollover distribution” of such Lithium Participant’s eligible  account balance under the Parent 401(k) Plan (other than any participant loans) to either  the Lithium 401(k) Plan or an Individual Retirement Account (or, for the avoidance of  doubt, such Lithium Participant may otherwise continue to maintain his or her account  under the Parent 401(k) Plan in accordance with the terms of the Parent 401(k) Plan), as  determined by each such Lithium Participant; provided that any portion of such Lithium  Participant’s account balance under the Parent 401(k) Plan to be “rolled over” to the  Lithium 401(k) Plan must be done in the form of cash (i.e., no in-kind or Parent Common  Stock transfers will be permitted).  In the event that a Lithium Participant makes a voluntary  election to rollover such Lithium Participant’s account balance from the Parent 401(k) Plan  to the Lithium 401(k) Plan, the Company agrees to cause the Lithium 401(k) Plan to accept  such rollover, to the extent permitted by applicable Law.         (c)  Subject to participant rollovers as provided for in Section 5.01(b) above, all  Liabilities under the Parent 401(k) Plan (whether relating to Parent Participants or Lithium  Participants), including with respect to participant loans, will be retained by Parent and will  constitute Parent Retained Employee Liabilities; provided that any and all costs, expenses  or Liabilities relating to participation by Lithium Participants in the Parent 401(k) Plan  during the period, if any, between the Separation Date and the Benefits Commencement  Date (the “Benefits Transition Period”) shall be assumed by the Lithium Group and  constitute Lithium Assumed Employee Liabilities, which shall be reimbursed by the  Company to the Parent Group in accordance with the terms of the Transition Services                                      14  #90914078v33                                                              

 

     Agreement.  For the avoidance of doubt, there will be no trust-to-trust transfer of any Assets   or Liabilities from the Parent 401(k) Plan to the Lithium 401(k) Plan.         (d)  From and after the Benefits Commencement Date, the applicable member of  the Lithium Group shall be responsible for the administration of the Lithium 401(k) Plan,  and no member of the Parent Group shall have any Liability or obligation (including any  administration obligation) with respect to the Lithium 401(k) Plan.           Section 5.02. Non-U.S. Defined Contribution Plans.           (a)  Effective as of the Separation Effective Time, the Lithium Plan that is a   defined contribution plan maintained for the benefit of Non-U.S. Lithium Participants in   the United Kingdom (the “UK DC Plan”) will be retained by the Lithium Group in   accordance with its terms, and, for the avoidance of doubt, (i) all obligations in respect of   the UK DC Plan will be retained by the Lithium Group from and after the Separation   Effective Time and (ii) any Liabilities relating to or arising from the UK DC Plan will   constitute Lithium Assumed Employee Liabilities.         (b)  Effective on or before the Separation Effective Time, each Non-U.S. Lithium   Participant who participates in a Parent Plan that is a statutory India Provident Fund shall   cease active participation in such plan and will become eligible to participate in a Lithium   Plan that is a statutory India Provident Fund.          Section 5.03. Parent U.S. Qualified Pension Plan.         (a)  Effective as of the Benefits Commencement Date, each Lithium Participant   who participates in the Parent U.S. Qualified Pension Plan will cease active participation   in the Parent U.S. Qualified Pension Plan (including the accrual of any additional benefits   under the Parent U.S. Qualified Pension Plan).         (b)  On and following the  Benefits Commencement Date, each Lithium   Participant who participates in the Parent U.S. Qualified Pension Plan as of immediately   prior to the Benefits Commencement Date shall receive credit for his or her service with   the Lithium Group on and following the Benefits Commencement Date for purposes of   attaining “early retirement” eligibility under, and in accordance with the terms of, the   Parent U.S. Qualified Pension Plan.          (c)  From and after the Distribution Effective Time, the terms of the Parent U.S.   Qualified Pension Plan will govern the terms of distributions, if any, of any benefits   payable under the Parent U.S. Qualified Pension Plan to any Lithium Participants.         (d)  All Liabilities under the Parent U.S. Qualified Pension Plan (whether relating  to Parent Participants or Lithium Participants) will be retained by Parent and will constitute  Parent Retained Employee Liabilities; provided, however, that any and all costs, expenses   or Liabilities relating to participation by Lithium Participants in the Parent U.S. Qualified   Pension Plan during the Benefits Transition Period shall be assumed by the Lithium Group   and constitute Lithium Assumed Employee Liabilities, which shall be reimbursed by the                                       15   #90914078v33                                                              

 

     Company to the Parent Group in accordance with the terms of the Transition Services  Agreement.           Section 5.04. Non-U.S. Pension Plans.          (a)  Effective as of the Separation Effective Time, the UK Pension Plan will be   retained by the Lithium Group in accordance with its terms, and, for the avoidance of doubt,   any Liabilities arising from or relating to the UK Pension Plan will constitute Lithium  Assumed Employee Liabilities.  Without limiting the generality of Schedule 5.05 of the  Separation Agreement, as of and following the Separation Effective Time, the  Bromborough Indemnity Deed will remain in full force and effect in accordance with its  terms; provided that any and all Liabilities related to or arising under the Bromborough  Indemnity Deed shall constitute Lithium Assumed Employee Liabilities.         (b)  Effective on or before the Separation Effective Time, (i) each Non-U.S.  Lithium Participant who participates in a Parent Plan that is an India Gratuity Plan or Japan  Retirement Allowance Plan will cease active participation in such plan and will become  eligible to participate in a corresponding Lithium Plan and (ii) (A) the Company shall, and  shall cause the applicable member of the Lithium Group to, assume all Liabilities under  such India Gratuity Plan and Japan Retirement Plan with respect to Non-U.S. Lithium  Participants, (B) Parent shall, and shall cause the applicable member of the Parent Group  to, transfer all such Liabilities to the applicable member of the Lithium Group, and (C) the  Parent Group shall have no further Liability or obligation (including any administration  obligation) with respect thereto.           Section 5.05. Parent NQ Savings Plan.          (a)  Effective as of the Benefits Commencement Date, each Lithium Participant   who participates in the Parent NQ Savings Plan as of immediately prior to the Benefits  Commencement Date (i) will cease active participation in the Parent NQ Savings Plan and  (ii) will become eligible to participate in a corresponding Lithium non-qualified savings  and investment plan (the “Lithium NQ Savings Plan”).  For the avoidance of doubt, from  and after the Benefits Commencement Date, each Lithium Participant shall not actively  participate in or accrue any additional benefits under the Parent NQ Savings Plan.          (b)  During the Benefits Transition Period, any and all costs, expenses or  Liabilities relating to participation by Lithium Participants in the Parent NQ Savings Plan   shall be assumed by the Lithium Group and constitute Lithium Assumed Employee   Liabilities, which shall be reimbursed by the Company to the Parent Group in accordance   with the terms of the Transition Services Agreement. Effective as of the Benefits  Commencement Date, (i) the Company shall, and shall cause the Lithium NQ Savings Plan  to, accept all Assets and assume all Liabilities under the Parent NQ Savings Plan with  respect to Lithium Participants, (ii) Parent shall, and shall cause the Parent NQ Savings  Plan to, transfer all such Assets and Liabilities to the Lithium NQ Savings Plan, and (iii)  the Parent NQ Savings Plan and the Parent Group shall have no further Liability or  obligation (including any administration obligation) with respect thereto.  The Parent NQ                                        16   #90914078v33                                                              

 

   Savings Plan shall continue to be responsible for Liabilities in respect of Parent  Participants.         (c)  On and following the Benefits Commencement Date, any effective deferral  elections made by a Lithium Participant with respect to amounts deferred by such Lithium  Participant under, and in accordance with the terms of, the Parent NQ Savings Plan prior  to the Benefits Commencement Date, shall remain in effect with respect to such amounts  in accordance with their terms.        (d)  Lithium Participants shall receive credit under the Lithium NQ Savings Plan  for vesting, eligibility and benefit service for all service credited for those purposes under  the Parent NQ Savings Plan as of the Benefits Commencement Date as if that service had  been rendered to the Lithium Group.        (e)  To the maximum extent permitted by Section 409A of the Code, a Lithium  Participant shall not be considered to have undergone a “separation from service” for  purposes of Section 409A of the Code and the Parent NQ Savings Plan solely by reason of  the Distribution, and, following the Distribution Effective Time, the determination of  whether a Lithium Participant has incurred a separation from service with respect to his or  her benefit in the Lithium NQ Savings Plan shall be based solely upon his or her  performance of services for the Lithium Group.          Section 5.06. Parent NQ Pension Plan.        (a)  Effective as of the Benefits Commencement Date, each Lithium Participant  who participates in the Parent NQ Pension Plan as of immediately prior to the Distribution  Effective Time will cease active participation in the Parent NQ Pension Plan and will not  accrue any additional benefits thereunder.         (b)  At and following the Distribution Effective Time, the terms of the Parent NQ  Pension Plan (and any applicable deferral elections thereunder) will govern the terms of  any distributions of account balances made to Lithium Participants participating in the  Parent NQ Pension Plan.        (c)  All Liabilities under the Parent NQ Pension Plan (whether relating to Parent  Participants or Lithium Participants) will be retained by Parent and will constitute Parent  Retained Employee Liabilities; provided, however, that any and all costs, expenses or  Liabilities relating to participation by Lithium Participants in the Parent NQ Pension Plan  during the Benefits Transition Period be assumed by the Lithium Group and constitute  Lithium Assumed Employee Liabilities, which shall be reimbursed by the Company to the  Parent Group in accordance with the terms of the Transition Services Agreement.                                  ARTICLE VI            HEALTH AND WELFARE PLANS; PAID TIME OFF AND VACATION         Section 6.01. Cessation of Participation in Parent H&W Plans; Participation in  Lithium H&W Plans.                                        17  #90914078v33                                                              

 

          (a)  Without limiting the generality of Section 4.01, effective as of the applicable   Benefits Commencement Date, Lithium Participants shall cease to participate in the Parent   H&W Plans; provided that any participation in, and benefit accrual under, Parent H&W   Plans by Lithium Participants during the Benefits Transition Period shall be in accordance  with, and pursuant to, the terms and conditions of the Transition Services Agreement.          (b)  Effective as of the applicable Benefits Commencement Date, the Company  shall cause Lithium Participants who participate in a Parent H&W Plan immediately prior  to the applicable Benefits Commencement Date to be automatically enrolled or offered  participation in a corresponding Lithium H&W Plan.         (c)  To the extent applicable, the Company shall cause Lithium H&W Plans to  recognize and maintain all coverage and contribution elections made by Lithium  Participants under the corresponding Parent H&W Plans as of the applicable Benefits  Commencement Date and apply such elections under the applicable Lithium H&W Plan  for the remainder of the period or periods for which such elections are by their terms  applicable.           (d)  Neither the transfer or other movement of employment or service from any  member of the Parent Group to any member of the Lithium Group at any time before the  applicable Benefits Commencement Date nor the Distribution shall constitute or be treated  as a “status change” under the Parent H&W Plans or the Lithium H&W Plans.         (e)  Subject to the terms of the applicable Lithium H&W Plan and applicable  Law, the Company shall use its reasonable best efforts to waive all limitations as to  preexisting conditions, exclusions and waiting periods with respect to participation and  coverage requirements applicable to Lithium Participants under any Lithium H&W Plan in  which such Lithium Participants may be eligible to participate on or after the applicable  Benefits Commencement Date.         Section 6.02. Assumption of Health and Welfare Plan Liabilities.  Subject Section  6.03, effective as of the Separation Effective Time, all Liabilities relating to, arising out of,  or resulting from health and welfare coverage or claims incurred prior to, on or after the  Separation Effective Time by each Lithium Participant under the Parent H&W Plans shall  cease to be Liabilities of the Parent Group and shall be assumed by the Lithium Group and  deemed to be Lithium Assumed Employee Liabilities. Without limiting the generality of  the foregoing, subject to Section 6.03, any and all costs, expenses or Liabilities relating to  participation by Lithium Participants in the Parent H&W Plans during the Benefits  Transition Period shall be reimbursed by the Company to the Parent Group in accordance  with the terms of the Transition Services Agreement. For the avoidance of doubt, subject  to Section 6.03, (a) all Liabilities arising under (i) any Parent H&W Plan (other than a  Parent Retiree H&W Plan) with respect to Lithium Participants or (ii) any Lithium H&W  Plan and (b) all Liabilities arising out of, relating to or resulting from the cessation of a  Lithium Participant’s participation in any Parent H&W Plan (other than a Parent Retiree  H&W Plan) and transfer to a Lithium H&W Plan as set forth herein (including any Actions  or claims by any Lithium Participants related thereto) shall, in each case, be Lithium  Assumed Employee Liabilities.                                       18   #90914078v33                                                              

 

           Section 6.03. Post-Retirement Health and Welfare Benefits.  Notwithstanding   anything to the contrary in Section 6.01 or Section 6.02, (a) effective as of the applicable   Benefits Commencement Date, all Lithium Participants shall cease to participate in, and   earn benefit service under, any Parent Retiree H&W Plan (provided that any Lithium   Participant who has elected to receive benefits under any applicable Parent Retiree H&W   Plan in accordance with the terms of such plan prior to the applicable Benefits  Commencement Date shall continue to participate in, and receive benefits under, such  Parent Retiree H&W Plan in accordance with the terms of such plan) and (b) all Liabilities  under the Parent Retiree H&W Plans (whether relating to Parent Participants or Lithium  Participants) will be retained by Parent and will constitute Parent Retained Employee  Liabilities.         Section 6.04. Flexible Spending Account Plan Treatment.  Effective as of the  applicable Benefits Commencement Date, the Company shall establish or designate  flexible spending accounts for health and dependent care expenses (the “Lithium FSAs”).   To the extent applicable, the parties shall take all actions reasonably necessary or  appropriate so that the account balances (positive or negative) under the Parent FSAs of  each Lithium Participant who has elected to participate therein in the year in which the  applicable Benefits Commencement Date occurs shall be transferred, effective as of the  applicable Benefits Commencement Date, from the Parent FSAs to the corresponding  Lithium FSAs.  The Lithium FSAs shall assume responsibility as of the applicable Benefits  Commencement Date for all outstanding dependent care and health care claims under the  Parent FSAs of each Lithium Participant for the year in which the applicable Benefits  Commencement Date occurs and shall assume the rights of and agree to perform the  obligations of the analogous Parent FSA from and after the applicable Benefits  Commencement Date.  The parties shall cooperate in good faith to provide that the  contribution elections of each such Lithium Participant as in effect immediately before the  applicable Benefits Commencement Date remain in effect under the Lithium FSAs from  and after the applicable Benefits Commencement Date.           Section 6.05. Workers’ Compensation Liabilities.  Unless as otherwise expressly  provided in the Separation and Distribution Agreement, effective as of the Separation  Effective Time, all workers’ compensation Liabilities relating to, arising out of, or resulting  from any claim by any Lithium Participant that result from an accident or from an  occupational disease, regardless of whether incurred before, on or after the Separation  Date, shall be assumed by the Company and shall constitute Lithium Assumed Employee   Liabilities. The parties shall cooperate with respect to any notification to appropriate   governmental agencies of the disposition and the issuance of new, or the transfer of   existing, workers’ compensation insurance policies and contracts governing the handling   of claims.          Section 6.06. Vacation and Paid Time Off.  Effective as of the Separation   Effective Time, the applicable Lithium Group member shall recognize and assume all   Liabilities with respect to vacation, holiday, sick leave, paid time off, floating holidays,   personal days and other paid time off with respect to Lithium Participants accrued on or   prior to the Separation Effective Time, and the Company shall credit each such Lithium   Participant with such accrual; provided, that if any such vacation or paid time off is required                                       19   #90914078v33                                                              

 

     under applicable Law to be paid out to the applicable Lithium Participant in connection   with the Distribution, such payment will be made by the Company as of the Distribution   Date, and the Company will credit such Lithium Participant with unpaid vacation time or   paid time off in respect thereof; it being understood that any amount of vacation or paid   time off required to be paid out in connection with the Distribution shall constitute Lithium   Assumed Employee Liabilities.          Section 6.07. COBRA and HIPAA.           (a)  The Parent Group shall administer the Parent Group’s compliance with the   health care continuation coverage requirements of COBRA, the certificate of creditable   coverage requirements of HIPAA and the corresponding provisions of the Parent H&W   Plans with respect to Lithium Participants who incur a COBRA “qualifying event”   occurring on or before the applicable Benefits Commencement Date entitling them to   benefits under a Parent H&W Plan; provided that, for the avoidance of doubt, any   Liabilities related thereto shall constitute Lithium Assumed Employee Liabilities.           (b)  The Company shall be solely responsible for all Liabilities incurred pursuant   to COBRA and for administering, at the Company’s expense, compliance with the health   care continuation coverage requirements of COBRA, the certificate of creditable coverage   requirements of HIPAA, and the corresponding provisions of the Lithium H&W Plans with   respect to Lithium Participants who incur a COBRA “qualifying event” that occurs at any   time after the applicable Benefits Commencement Date entitling them to benefits under a   Lithium Plan.           (c)  The  parties agree that neither the Separation, the Distribution nor any   assignment or transfer of the employment or services of any employee or individual   independent contractor as contemplated under this Agreement shall constitute a COBRA   “qualifying event” for any purpose of COBRA.                                   ARTICLE VII                            INCENTIVE COMPENSATION           Section 7.01. Cash Incentive and Cash Bonus Plans.  Each Lithium Participant   participating in any Parent Plan that is a cash bonus or cash incentive plan with respect to   the 2018 performance year (each, a “Parent Bonus Plan”) will remain eligible to receive   a cash bonus in respect of the 2018 performance year (the “2018 Cash Bonuses”) in   accordance with the terms of such applicable Parent Bonus Plan.  Any 2018 Cash Bonuses   payable to Lithium Participants under such Parent Bonus Plans will be paid by the  Company on behalf of Parent in accordance with the terms of the applicable Parent Bonus  Plan (including terms relating to the timing of payment), which such amounts shall  constitute Lithium Assumed Employee Liabilities; provided that Parent will reimburse   Lithium for the portion of the 2018 Cash Bonuses paid by the Company to Lithium   Participants that relates to the portion of the 2018 performance period that elapsed prior to  the Separation Date, which such amount to be reimbursed by Parent will constitute a Parent   Retained Employee Liability.                                        20   #90914078v33                                                              

 

                                  ARTICLE VIII                   TREATMENT OF OUTSTANDING EQUITY AWARDS         Section 8.01. No Adjustments at the IPO.  Except as may otherwise be provided  pursuant to the express terms of any Parent RSU, Parent PRSU or Parent Option, no  adjustments shall be made to any Parent RSU, Parent PRSU or Parent Option in connection  with the execution of this Agreement or the consummation of the IPO.           Section 8.02. RSU and Banked PRSU Distribution Adjustments.         (a)  Effective as of the Distribution Effective Time, each Parent RSU and Banked  Parent PRSU that is outstanding as of immediately prior to the Distribution Effective Time  and held by a Lithium Participant shall be converted into an award of restricted share units  with respect to Company Common Stock (each, a “Lithium RSU”).  The number of shares  of Company Common Stock subject to such Lithium RSU shall be determined by the  Parent Board (or an appropriate committee thereof) in a manner intended to preserve the  value of such Parent RSU or Banked Parent PRSU, as applicable, by taking into account  the relative values of the Parent Pre-Distribution Stock Value and the Company Stock  Value, with any fractional shares rounded down to the nearest whole number of shares.   Each such Lithium RSU shall be subject to the same terms and conditions (including  vesting and payment schedules) as applicable to the corresponding Parent RSU or Banked   Parent PRSU, as applicable, as of immediately prior to the Distribution Effective Time.         (b)  Effective as of the Distribution Effective Time, each Parent RSU and Banked  Parent PRSU that, in each case, (x) was granted prior to January 1, 2019, (y) is outstanding  as of immediately prior to the Distribution Effective Time and (z) is held by a Parent  Participant who is not a Former Parent Employee shall be converted into both an Adjusted  Parent RSU or Adjusted Banked Parent PRSU, as applicable, and a Lithium RSU, and each  such Adjusted Parent RSU, Adjusted Banked Parent PRSU and Lithium RSU shall be  subject to the same terms and conditions (including vesting and payment schedules) as  were applicable to the corresponding Parent RSU or Banked Parent PRSU as of  immediately prior to the Distribution Effective Time; provided that from and after the  Distribution Effective Time:                  (i) the number of shares of Parent Common Stock subject to such  Adjusted Parent RSU or Adjusted Banked Parent PRSU, as applicable, shall be equal to  the number of shares of Parent Common Stock subject to the corresponding Parent RSU  or Banked Parent PRSU, as applicable, immediately prior to the Distribution Effective  Time; and                 (ii) the number of shares of Company Common Stock subject to such  Lithium RSU  shall be determined by the Parent Board (or an appropriate committee  thereof) in a manner intended, in combination with such Adjusted Parent RSU or Adjusted  Banked Parent PRSU, as applicable, to preserve the value of such Parent RSU or Banked  Parent PRSU, as applicable, by taking into account the Distribution Ratio relative to the  number of Parent RSUs or Banked Parent PRSUs, as applicable, with any fractional shares  rounded down to the nearest whole number of shares.                                       21   #90914078v33                                                              

 

          (c)  Effective as of the Distribution Effective Time, each Parent RSU and Banked   Parent PRSU that, in each case, (x) was granted on or after January 1, 2019, (y) is   outstanding as of immediately prior to the Distribution Effective Time and (z) held by a  Parent Participant who is not a Former Parent Employee shall be converted into an  Adjusted Parent RSU or Adjusted Banked Parent PRSU, as applicable.  The number of  shares of Parent Common Stock subject to such Adjusted Parent RSU or Adjusted Banked  Parent PRSU, as applicable, shall be determined by the Parent Board (or an appropriate  committee thereof)  in a manner intended to preserve the value of such Parent RSU or  Banked Parent PRSU, as applicable, by taking into account the relative values of the Parent  Pre-Distribution Stock Value and the Adjusted Parent Post-Distribution Stock Value, with  any fractional shares rounded down to the nearest whole number of shares.  Each such  Adjusted Parent RSU or Adjusted Banked Parent PRSU, as applicable, shall be subject to  the same terms and conditions (including vesting and payment schedules) as applicable to  the corresponding Parent RSU or Banked Parent PRSU, as applicable, as of immediately  prior to the Distribution Effective Time.         (d)  Effective as of the Distribution Effective Time, each Parent RSU and Banked  Parent PRSU that is outstanding as of immediately prior to the Distribution Effective Time  and held by a Former Parent Employee shall be converted into an Adjusted Parent RSU or  Adjusted Banked Parent PRSU, as applicable.  The number of shares of Parent Common  Stock subject to such Adjusted Parent RSU or Adjusted Banked Parent PRSU, as  applicable, shall be determined by the Parent Board (or an appropriate committee thereof)  in a manner intended to preserve the value of such Parent RSU or Banked Parent PRSU,  as applicable, by taking into account the relative values of the Parent Pre-Distribution Stock  Value and the Adjusted Parent Post-Distribution Stock Value, with any fractional shares  rounded down to the nearest whole number of shares.  Each such Adjusted Parent RSU or  Adjusted Banked Parent PRSU, as applicable, shall be subject to the same terms and  conditions (including vesting and payment schedules) as applicable to the corresponding  Parent RSU or Banked Parent PRSU, as applicable, as of immediately prior to the  Distribution Effective Time.         Section 8.03. Unbanked PRSU Distribution Adjustments.           (a)  Effective as of the Distribution Effective Time, each Unbanked Parent PRSU  that is outstanding as of immediately prior to the Distribution Effective Time and held by  a Lithium Participant shall be converted into a Lithium RSU.  The number of shares of  Company Common Stock subject to such Lithium RSU shall be determined by the Parent  Board (or an appropriate committee thereof) in a manner intended to preserve the target  value of such Unbanked Parent PRSU by taking into account the relative values of the  Parent Pre-Distribution Stock Value and the Company Stock Value, with any fractional  shares rounded down to the nearest whole number of shares.  Each such Lithium RSU shall  be subject to the same terms and conditions (including vesting and payment schedules) as  applicable to the corresponding Unbanked Parent PRSU as of immediately prior to the  Distribution Effective Time; provided, that each such Lithium RSU shall not be subject to  any performance-based vesting conditions and shall vest solely based on the continuous  service of the Lithium Participant with the Lithium Group.                                       22   #90914078v33                                                              

 

          (b)  Effective as of the Distribution Effective Time, each Unbanked Parent PRSU  granted prior to January 1, 2019 that is outstanding as of immediately prior to the  Distribution Effective Time and held by a Parent Participant who is not a Former Parent  Employee shall be converted into both an Adjusted Unbanked Parent PRSU and a Lithium   PRSU, and each such Adjusted Unbanked Parent PRSU and Lithium PRSU shall be subject   to the same terms and conditions (including vesting and payment schedules and   performance-based vesting conditions) as were applicable to the corresponding Unbanked   Parent PRSU as of immediately prior to the Distribution Effective Time; provided that   from and after the Distribution Effective Time:                  (i)  the target number of shares of Parent Common Stock subject to such   Adjusted Unbanked Parent PRSU shall be equal to the target number of shares of Parent   Common Stock subject to the corresponding Unbanked Parent PRSU immediately prior to   the Distribution Effective Time;                 (ii) the number of shares of Company Common Stock subject to such   Lithium PRSU shall be determined by the Parent Board (or an appropriate committee   thereof) in a manner intended, in combination with such Adjusted Unbanked Parent PRSU,   to preserve the target value of such Unbanked Parent PRSU by taking into account the   Distribution Ratio relative to the number of Unbanked Parent PRSUs, with any fractional   shares rounded down to the nearest whole number of shares; and                 (iii) the performance-based vesting conditions applicable to the Adjusted   Unbanked Parent PRSU and the Lithium PRSUs may be equitably adjusted by the Parent   Board (or an appropriate committee thereof) in accordance with their terms to reflect the   effect of the Distribution.          (c)  Effective as of the Distribution Effective Time, each Unbanked Parent PRSU   granted on or after January 1, 2019 that is outstanding as of immediately prior to the   Distribution Effective Time and held by a Parent Participant who is not a Former Parent   Employee shall be converted into an Adjusted Unbanked Parent PRSU.  The number of   shares of Parent Common Stock subject to such Adjusted Unbanked Parent PRSU shall be   determined by the Parent Board (or an appropriate committee thereof) in a manner intended   to preserve the target value of such Unbanked Parent PRSU by taking into account the   relative values of the Parent Pre-Distribution Stock Value and the Adjusted Parent Post-  Distribution Stock Value, with any fractional shares rounded down to the nearest whole   number of shares.  Each such Adjusted Unbanked Parent PRSU shall be subject to the same   terms and conditions (including vesting and payment schedules and performance-based   vesting conditions) as applicable to the corresponding Unbanked Parent PRSU as of   immediately prior to the Distribution Effective Time; provided that the performance-based   vesting conditions applicable to such Adjusted Unbanked Parent PRSUs may be equitably   adjusted by the Parent Board (or an appropriate committee thereof) in accordance with   their terms to reflect the effect of the Distribution.         (d)  Effective as of the Distribution Effective Time, each Unbanked Parent PRSU   that is outstanding as of immediately prior to the Distribution Effective Time and held by   a Former Parent Employee shall be converted into an Adjusted Unbanked Parent PRSU.                                        23   #90914078v33                                                              

 

     The number of shares of Parent Common Stock subject to such Adjusted Unbanked Parent   PRSU shall be determined by the Parent Board (or an appropriate committee thereof) in a   manner intended to preserve the target value of such Unbanked Parent PRSU by taking   into account the relative values of the Parent Pre-Distribution Stock Value and the Adjusted   Parent Post-Distribution Stock Value, with any fractional shares rounded down to the   nearest whole number of shares.  Each such Adjusted Unbanked Parent PRSU shall be  subject to the same terms and conditions (including vesting and payment schedules and   performance-based vesting conditions) as applicable to the corresponding Unbanked   Parent PRSU as of immediately prior to the Distribution Effective Time; provided that the   performance-based vesting conditions applicable to such Adjusted Unbanked Parent   PRSUs may be equitably adjusted by the Parent Board (or an appropriate committee   thereof) in accordance with their terms to reflect the effect of the Distribution.          Section 8.04. Stock Option Distribution Adjustments.          (a)  Effective as of the Distribution Effective Time, each Parent Option, whether   vested or unvested, that is outstanding as of immediately prior to the Distribution Effective   Time and held by a Lithium Participant shall be converted into an option to acquire   Company Common Stock (each, a “Lithium Option”) and shall be subject to the same   terms and conditions (including vesting and expiration schedules) as applicable to the   corresponding Parent Option as of immediately prior to the Distribution Effective Time;   provided that from and after the Distribution Effective Time, the number of shares of   Company Common Stock subject to, and the exercise price per share of, such Lithium   Option shall be determined by the Parent Board (or an appropriate committee thereof) in a   manner intended to preserve the value of such Parent Option by taking into account (A)   the exercise price per share of such Parent Option and (B) the relative values of the Parent   Pre-Distribution Stock Value and the Company Stock Value, with any fractional shares   rounded down to the nearest whole number of shares and any exercise price rounded up to   the nearest whole cent.         (b)  Effective as of the Distribution Effective Time, each Parent Option, whether   vested or unvested, that is outstanding as of immediately prior to the Distribution Effective   Time and held by a Parent Participant (including, for the avoidance of doubt, any Former   Parent Employee) shall be converted into an Adjusted Parent Option and shall be subject   to the same terms and conditions (including vesting and expiration schedules) as applicable   to the corresponding Parent Option as of immediately prior to the Distribution Effective   Time; provided that from and after the Distribution Effective Time, the number of shares   of Parent Common Stock subject to, and the exercise price per share of, such Adjusted   Parent Option shall be determined by the Parent Board (or an appropriate committee   thereof) in a manner intended to preserve the value of such Parent Option by taking into   account (A) the exercise price per share of such Parent Option and (B) the relative values   of the Parent Pre-Distribution Stock Value and the Adjusted Parent Post-Distribution Stock   Value, with any fractional shares rounded down to the nearest whole number of shares and   any exercise price rounded up to the nearest whole cent.         (c)  Notwithstanding anything to the contrary in this Section 8.04, the exercise   price, the number of shares of Parent Common Stock or Company Common Stock, as                                       24   #90914078v33                                                              

 

     applicable, and the terms and conditions of exercise applicable to any Adjusted Parent   Option or Lithium Option, as the case may be, shall be determined in a manner consistent   with the requirements of Section 409A of the Code.           Section 8.05. Equity Award Adjustment Illustrations.  For an illustration of the   transactions contemplated by Section 8.02, Section 8.03 and Section 8.04, see Exhibit A   hereto. For the avoidance of doubt, Exhibit A represents an illustration only, and the   principles set forth in Section 8.02, Section 8.03 and Section 8.04 shall govern the actual   treatment of outstanding Parent RSUs, Banked Parent PRSUs, Unbanked Parent PRSUs  and Parent Options.         Section 8.06. Miscellaneous Terms and Actions; Tax Reporting and Withholding.           (a)  Effective as of the Separation Effective Time, the Company shall adopt an  equity incentive compensation plan for the benefit of eligible participants (the “Lithium  Equity Plan”). Prior to the Distribution Effective Time, each of Parent and the Company   shall take any actions necessary to give effect to the transactions contemplated by this   Article VIII, including, in the case of the Company, the reservation, issuance and listing of  shares of Company Common Stock as is necessary to effectuate the transactions  contemplated by this Article VIII. From and after the Distribution Effective Time, (i) the   Company shall retain the Lithium Equity Plan, and all Liabilities thereunder shall constitute  Lithium Assumed Employee Liabilities, and (ii) Parent shall retain the Parent Equity Plan,   and all Liabilities thereunder shall constitute Parent Retained Employee Liabilities. From   and after the Distribution Effective Time, all Adjusted Parent Awards, regardless of by  whom held, shall be granted under and subject to the terms of the Parent Equity Plan and  shall be settled by Parent, and all Lithium Awards, regardless of by whom held, shall be   granted under and subject to the terms of the Lithium Equity Plan and shall be settled by   the Company. Notwithstanding anything to the contrary in this Agreement (including  Section 2.02 or Section 11.04), (i) each Parent Participant shall have third-party beneficiary  rights with respect to his or her Parent Awards that are converted into Lithium Awards  pursuant to this Article VIII, including the right to bring any Action against the Company  relating to or arising from such Lithium Awards and, other than pursuant to clause (ii)  below, neither Parent nor any other member of the Parent Group shall have any right or  remedy with respect to any Parent Participant’s Parent Awards that are converted into   Lithium Awards pursuant to this Article VIII, and (ii) any and all Actions brought by or on   behalf of any Parent Participant, Lithium Participant (or any dependent or beneficiary   thereof) or any other Person in respect of or relating to any Parent Awards that are   converted into Lithium Awards pursuant to this Article VIII shall be the sole obligation   and responsibility of the Company, and the Company shall indemnify, defend and hold the   Parent Group harmless from and against any and all such Actions and any Liabilities   related thereto.          (b)  From and after the Distribution Effective Time, for purposes of any Parent  Participant’s Parent Awards converted into Lithium Awards pursuant to this Article VIII,   (i) a Parent Participant’s employment with or service to the Parent Group shall be treated   as employment with and service to the Lithium Group and (ii) any reference to “cause”,  “good reason”, “disability”, “willful” or other similar terms applicable to such Lithium                                       25   #90914078v33                                                              

 

     Awards shall be deemed to refer to the definitions of “cause”, “good reason”, “disability”,   “willful” or other similar terms set forth in the Parent Equity Plan. From and after the  Distribution Effective Time, (x) any reference to a “change in control,” “change of control”   or similar term applicable to any Adjusted Parent Award contained in any applicable award   agreement, employment or services agreement or the Parent Equity Plan shall be deemed  to refer to a “change in control,” “change of control” or similar term as defined in such  award agreement, employment or services agreement or the Parent Equity Plan (a “Parent  Change in Control”) and (y) any reference to a “change in control,” “change of control”  or similar term applicable to any Lithium Award contained in any applicable award  agreement, employment or services agreement or the Lithium Equity Plan shall be deemed  to refer to a “change in control,” “change of control” or similar term as defined in the  Lithium Equity Plan (a “Lithium Change in Control”); provided, however, with respect  to any Parent Awards held by Parent Participants that are converted into Lithium Awards  pursuant to this Article VIII, a Parent Change in Control shall also be treated as a Lithium  Change in Control. For the avoidance of doubt, the Distribution shall not, in and of itself,   be treated as either a Parent Change in Control or a Lithium Change in Control. Neither   the Separation, the Distribution nor any assignment, transfer or continuation of the   employment of employees as contemplated by Article III shall be deemed a termination of   employment or service of any Lithium Participant or Parent Participant or a Parent Change   in Control or Lithium Change in Control for purposes of the Parent Equity Plan or the   Lithium Equity Plan, or any Parent Award or Lithium Award outstanding thereunder,   respectively, and, without limiting the generality of the foregoing, to the extent Parent   determines it necessary or desirable, each Parent RSU, Parent PRSU or Parent Option, as   the case may be, shall be amended to expressly clarify the same.         (c)  Unless otherwise required by applicable Law, (i) the applicable member of   the Lithium Group shall be responsible for all applicable income, payroll, employment and   other similar tax withholding, remittance and reporting obligations in respect of Lithium   Participants relating to any Lithium Awards and (ii) the applicable member of the Parent   Group shall be responsible for all applicable income, payroll, employment and other   similar tax withholding, remittance and reporting obligations in respect of Parent   Participants relating to any Adjusted Parent Awards or Lithium Awards. The parties shall   facilitate performance by the other party of its obligations hereunder by promptly remitting   amounts withheld in respect of any Adjusted Parent Awards or Lithium Awards, as   applicable, directly to the applicable Governmental Authority on such other party’s behalf   or to the other Party for remittance to such Governmental Authority. The parties will   cooperate and communicate with each other and with third-party providers to effectuate   withholding and remittance of taxes, as well as required tax reporting, in a timely, efficient   and appropriate manner.         (d)  The Company shall be responsible for the settlement of cash dividend   equivalents on any Lithium Awards held by a Lithium Participant, and Parent shall be   responsible for the settlement of cash dividend equivalents on any Adjusted Parent Awards   or Lithium Awards held by a Parent Participant or Former Parent Employee; provided that,  with respect to Lithium Awards held by Parent Participants, prior to the date any such  settlement is due, the Company shall pay Parent in cash amounts required to settle any  dividend equivalents accrued following the Distribution Effective Time.                                        26   #90914078v33                                                              

 

        (e)  The Company shall prepare and file with the SEC a registration statement on  an appropriate form with respect to the shares of Company Common Stock subject to the  Parent Awards converted into Lithium Awards pursuant to this Article VIII and shall use  its reasonable best efforts to have such registration statement declared effective as soon as  practicable following the Distribution Effective Time and to maintain the effectiveness of  such registration statement covering such Lithium Awards (and to maintain the current  status of the prospectus contained therein) for so long as any Lithium Awards remain  outstanding.          (f)  Prior to the Distribution Effective Time, each party shall take all such steps  as may be required to cause any dispositions of Parent Common Stock (including Parent  Awards or any other derivative securities with respect to Parent Common Stock) or  acquisitions of Company Common Stock (including Lithium Awards or any other  derivative securities with respect to Company Common Stock) resulting from the  Distribution or the transactions contemplated by this Agreement or the Separation and  Distribution Agreement by each individual who is subject to the reporting requirements of  Section 16(a) of the Exchange Act with respect to Parent or who are or will become subject  to such reporting requirements with respect to the Company to be exempt under Rule 16b- 3 promulgated under the Exchange Act. With respect to those individuals, if any, who,  subsequent to the Distribution Effective Time, are or become subject to the reporting  requirements under Section 16(a) of the Exchange Act, as applicable, the Company shall  administer any Parent Award converted into a Lithium Award pursuant to this Article VIII  in a manner that complies with Rule 16b-3 promulgated under the Exchange Act to the  extent such converted Parent Award complied with such rule prior to the Distribution  Effective Time.        (g)  From and after the Distribution Effective Time, each of Parent and the  Company shall cooperate in good faith to facilitate the orderly administration of the  Lithium Awards held by Parent Participants, including, without limitation, the sharing of  information relating to a Parent Participant’s employment or service status with the Parent  Group, as well as other information relating to the vesting and forfeiture of Lithium  Awards, tax withholding and reporting and compliance with applicable Law.         (h)  Notwithstanding anything to the contrary herein, with respect to any Delayed  Transferred Employees whose employment is not transferred to the Lithium Group on or  prior to the Distribution Effective Time, any Parent Awards held by such Delayed  Transferred Employees shall be adjusted as of the Distribution Effective Time in the  manner set forth in Sections 8.02(b), 8.02(c), 8.03(b), 8.03(c) and 8.04(b), as applicable,  and such awards shall not be further adjusted upon the date such Delayed Transferred  Employee’s employment is transferred to the Lithium Group.        (i)  Without limiting the generality of Section 8.04(c), and notwithstanding  anything to the contrary herein, all adjustments to Parent Awards contemplated by this  Article VIII shall be made in accordance with the terms and conditions of the Parent Equity  Plan (including, without limitation, Section 4.02 of the Parent Equity Plan) and, to the  extent applicable, in a manner consistent with the requirements of Section 409A of the  Code.                                      27  #90914078v33                                                              

 

                                   ARTICLE IX                PERSONNEL RECORDS; PAYROLL AND TAX WITHHOLDING          Section 9.01. Personnel Records.  To the extent permitted by applicable Law,   each of the Lithium Group and the Parent Group shall be permitted by the other to access   and retain copies of such records, data and other personnel-related information in any form  (“Personnel Records”) as may be necessary or appropriate to carry out their respective  obligations under applicable Law, the Separation and Distribution Agreement or any of the  Ancillary Agreements, and for the purposes of administering their respective employee  benefit plans and policies.  All Personnel Records shall be accessed, retained, held, used,  copied and transmitted in accordance with all applicable Laws, policies and agreements  between the parties hereto.         Section 9.02. Payroll; Tax Reporting and Withholding.          (a)  Subject to the obligations of the parties as set forth in the Transition Services  Agreement, effective as of no later than the Separation Date, (i) the members of the  Lithium Group shall be solely responsible for providing payroll services (including for any  payroll period already in progress) to the Lithium Employees and for any Liabilities with  respect to garnishments of the salary and wages thereof and (ii) the members of the Parent  Group shall be solely responsible for providing payroll services (including for any payroll  period already in progress) to the Parent Employees and for any Liabilities with respect to  garnishments of the salary and wages thereof.          (b)  To the extent consistent with the terms of the Tax Matters Agreement, the  party that is responsible for making a payment hereunder shall be responsible for  (i)  making the appropriate withholdings, if any, attributable to such payments and  (ii)  preparing and filing all related required forms and returns with the appropriate  Governmental Authority.           (c)  With respect to Lithium Employees, the parties shall (i) treat the Company  (or the applicable member of the Lithium Group) as a “successor employer” and Parent (or  the applicable member of the Parent Group) as a “predecessor,” within the meaning of  Sections 3121(a)(1) and 3306(b)(1) of the Code, for purposes of taxes imposed under the  U.S. Federal Unemployment Tax Act or the U.S. Federal Insurance Contributions Act, and  (ii)  cooperate and use reasonable best efforts to implement the alternate procedure  described in Section 5 of Revenue Procedure 2004-53.                                  ARTICLE X                    NON-U.S. EMPLOYEES AND EMPLOYEE PLANS          Section 10.01. Special Provisions for Employees and Employee Plans Outside of   the United States.           (a)  From and after the date hereof, to the extent not addressed in this Agreement,   the parties shall reasonably cooperate in good faith to effect the provisions of this   Agreement with respect to employees and employee-, compensation- and benefits-related                                       28   #90914078v33                                                              

 

     matters outside of the United States (including Employee Plans covering non-U.S. Parent  Participants and Non-U.S. Lithium Participants), which in all cases shall be consistent with  the general approach and philosophy regarding the allocation of Assets and Liabilities (as   expressly set forth in the recitals to this Agreement).          (b)  Without limiting the generality of Section 3.03(a), to the extent required by   applicable Law or the terms of any Lithium CBA or similar employee representative   agreement, Lithium or a member of the Lithium Group, as applicable, shall become a party   to the applicable collective bargaining, works council, or similar arrangements with respect   to Lithium Employees or Lithium Contractor located outside of the United States and shall   comply with all obligations thereunder from and after the Separation Effective Time.                                  ARTICLE XI                          GENERAL AND ADMINISTRATIVE         Section 11.01. Sharing of Participant Information.  To the maximum extent  permitted under applicable Law, Parent and the Company shall share, and shall cause each  member of its respective Group to reasonably cooperate with the other party hereto to  (i) share, with each other and their respective agents and vendors all participant information  reasonably necessary for the efficient and accurate administration of each of the Parent  Plans and the Lithium Plans (including notifications regarding the termination of  employment or service of any Lithium Participant or Parent Participant to the extent  relevant to the administration of a Parent Plan or Lithium Plan, as the case may be), (ii)   facilitate the transactions and activities contemplated by this Agreement and (iii) resolve   any and all employment-related claims regarding Lithium Participants.  The Company and   its respective authorized agents shall, subject to applicable Laws, be given reasonable and   timely access to, and may make copies of, all information relating to the subjects of this   Agreement in the custody of the Parent Group, to the extent reasonably necessary for such   administration.  Parent Group members shall be entitled to retain copies of all Company   Books and Records relating to the subjects of this Agreement in the custody of the Parent   Group, subject to the terms of the Separation and Distribution Agreement and applicable   Law.          Section 11.02. Cooperation.  Following the date of this Agreement, the parties   shall, and shall cause their respective Subsidiaries to, to cooperate in good faith with   respect to any employee compensation or benefits matters that either party reasonably   determines require the cooperation of the other party in order to accomplish the objectives   of this Agreement (including, without limitation, relating to any audits by any   Governmental Authorities).          Section 11.03. Notices of Certain Events.  Each of the Company and Parent shall   promptly notify and provide copies to the other of:  (a) written notice from any Person   alleging that the approval or consent of such Person is or may be required in connection   with the transactions contemplated by this Agreement; (b) any written notice or other   communication from any Governmental Authority in connection with the transactions   contemplated by this Agreement or the Separation and Distribution Agreement; and (c) any   actions, suits, claims, investigations or proceedings commenced or, to its knowledge,                                       29   #90914078v33                                                              

 

   threatened against, relating to or involving or otherwise affecting the Lithium Group or the  Parent Group, as the case may be, that relate to the consummation of the transactions  contemplated by this Agreement or the Separation and Distribution Agreement; provided  that the delivery of any notice pursuant to this Section 11.03 shall not affect the remedies  available hereunder to the party receiving such notice.         Section 11.04. No Third Party Beneficiaries.  Notwithstanding anything to the  contrary herein, nothing in this Agreement shall:  (a) create any obligation on the part of  any member of the Lithium Group or any member of the Parent Group to retain the  employment or services of any current or former employee, director, independent  contractor or other service provider; (b) be construed to create any right, or accelerate  entitlement, to any compensation or benefit whatsoever on the part of any future, present,  or former employee or service provider of any member of the Parent Group or the Lithium  Group (or any beneficiary or dependent thereof) under this Agreement, the Separation and  Distribution Agreement, any Parent Plan or Lithium Plan or otherwise; (c) preclude the  Company or any Lithium Group member (or, in each case, any successor thereto), at any  time after the Separation Effective Time, from amending, merging, modifying,  terminating, eliminating, reducing, or otherwise altering in any respect any Lithium Plan,  any benefit under any Lithium Plan or any trust, insurance policy, or funding vehicle  related to any Lithium Plan (in each case in accordance with the terms of the applicable  arrangement); (d) preclude Parent or any Parent Group member (or, in each case, any  successor thereto), at any time after the Separation Effective Time, from amending,  merging, modifying, terminating, eliminating, reducing, or otherwise altering in any  respect any Parent Plan, any benefit under any Parent Plan or any trust, insurance policy,  or funding vehicle related to any Parent Plan (in each case in accordance with the terms of  the applicable arrangement); or (e) except as otherwise expressly provided in Section  8.06(a), confer any rights or remedies (including any third-party beneficiary rights) on any  current or former employee or service provider of any member of the Parent Group or the  Lithium Group or any beneficiary or dependent thereof or any other Person.          Section 11.05. Fiduciary Matters.  Parent and the Company each acknowledge that  actions required to be taken pursuant to this Agreement may be subject to fiduciary duties  or standards of conduct under ERISA or other applicable Law, and no party shall be  deemed to be in violation of this Agreement if it fails to comply with any provisions hereof  based upon its good faith determination (as supported by advice from counsel experienced  in such matters) that to do so would violate such a fiduciary duty or standard.  Each party  shall be responsible for taking such actions as are deemed necessary and appropriate to  comply with its own fiduciary responsibilities and shall fully release and indemnify the  other party for any Liabilities caused by the failure to satisfy any such responsibility.         Section 11.06. Consent of Third Parties.  If any provision of this Agreement is  dependent on the consent of any third party (such as a vendor or Governmental Authority),  the parties shall cooperate in good faith and use reasonable best efforts obtain such consent,  and if such consent is not obtained, to implement the applicable provisions of this  Agreement to the full extent practicable.  If any provision of this Agreement cannot be  implemented due to the failure of such third party to consent, the parties shall negotiate in  good faith to implement the provision in a mutually satisfactory manner.  A party’s                                      30  #90914078v33                                                              

 

   obligation to use its “reasonable best efforts” shall not require such party to take any action  to the extent it would reasonably be expected to (i) jeopardize, or result in the loss or waiver  of, any attorney-client or other legal privilege, (ii) contravene any applicable Law or  fiduciary duty, (iii) result in the loss of protection of any Intellectual Property or other  proprietary information or (iv) incur any non-routine or unreasonable cost or expense.           Section 11.07. Sponsored Employees.  The parties shall, and shall cause their  respective Group members, to cooperate in good faith with each other and the applicable  Governmental Authorities with respect to the process of obtaining work authorization for  each Sponsored Employee to work with the Company or a Lithium Group member,  including but not limited to, petitioning the applicable Governmental Authorities for the  transfer of each Sponsored Employee’s (as well as any spouse or dependent thereof, as  applicable) visa or work permit, or the grant of a new visa or work permit, to any Lithium  Group member.  Any costs or expenses incurred with the foregoing shall constitute Lithium  Assumed Employee Liabilities.  In the event that it is not legally permissible for a  Sponsored Employee to continue work with the Lithium Group from and after the  Separation Effective Time, the parties shall reasonably cooperate to provide for the services  of such Sponsored Employee to be made available exclusively to the Lithium Group under  an employee secondment or similar arrangement, which any costs incurred by the Parent  Group (including those relating to compensation and benefits in respect of such Sponsored  Employee) shall constitute Lithium Assumed Employee Liabilities.                                 ARTICLE XII                             DISPUTE RESOLUTION        Section 12.01. General.  The provisions of Section 9.03 of the Separation and  Distribution Agreement shall apply, mutatis mutandis, to all disputes, controversies, or  claims (whether arising in contract, tort, or otherwise) that may arise out of or relate to, or  arise under or in connection with, this Agreement or the transactions contemplated hereby.                                ARTICLE XIII                               MISCELLANEOUS         Section 13.01. General.  The provisions of Article IX of the Separation and  Distribution Agreement (other than Section 9.10 of the Separation and Distribution  Agreement) are hereby incorporated by reference into and deemed part of this Agreement  and shall apply, mutatis mutandis, as if fully set forth in this Agreement.          Section 13.02. Entire Agreement; References.  This Agreement shall supersede and  replace the Prior Agreement in its entirety. For the avoidance of doubt, any references to  the “Employee Matters Agreement” in the Separation and Distribution Agreement, the  Ancillary Agreements, the Lithium Equity Plan or any other agreement or arrangement  entered into by Parent or the Company shall be deemed references to this Agreement.                                                                   [Signature Page Follows]                                     31  #90914078v33                                                              

 

         IN WITNESS WHEREOF, the parties have caused this Agreement to be executed  by their duly authorized representatives as of the date first above written.                                         FMC CORPORATION                                       By:        /s/ Pierre Brondeau____________                                           Name: Pierre Brondeau                                           Title: Chief Executive Officer                                         LIVENT CORPORATION                                       By:        /s/ Pierre Brondeau____________                                           Name: Paul Graves                                           Title: Chief Executive Officer and                                                 President                                                       [Signature Page to Amended and Restated Employee Matters Agreement]  #90914078v33                                                              

 

                                SCHEDULE I                                Lithium CBAs            Collective Bargaining Agreement by and between Minera del Altiplano S.A. and the  Mining Workers’ Association of Argentina                                           Schedule I-1  #90914078v33                                                              

 

                                  Exhibit A               Illustrations of Outstanding Equity Award Treatment                                      Exhibit A-1  #90914078v33

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