Document:

Blueprint

 

 

SECURITIES PURCHASE AGREEMENT

 

This
SECURITIES PURCHASE
AGREEMENT (this “Agreement”), dated as of ____,
2018, is by and among Q BioMed Inc., a Nevada corporation (the
“Company”), and
each of the investors listed on the Schedule of Buyers attached
hereto (individually, a “Buyer” and collectively, the
“Buyers”).

 

RECITALS

 

A.       The
Company and each Buyer desire to enter into this transaction to
purchase (i) the Common Shares (as defined below), and (ii)
Warrants (as defined below) pursuant to a currently effective shelf
registration statement on Form S-1, to purchase Common Stock
registered thereunder (Registration Number 333-222008) (the
“Registration
Statement”), which Registration Statement has been
declared effective in accordance with the Securities Act of 1933,
as amended (the “1933
Act”), by the United States Securities and Exchange
Commission (the “SEC”).

 

B.       Each
Buyer wishes to purchase, and the Company wishes to sell, upon the
terms and conditions stated in this Agreement, (i) such aggregate
number of shares of Common Stock as set forth opposite such
Buyer’s name in column (3) on the Schedule of Buyers (which
aggregate amount for all Buyers shall be [ ] shares of Common Stock
and shall collectively be referred to herein as the
“Common
Shares”), and (ii) a warrant to initially acquire up
to such aggregate number of shares of Common Stock set forth
opposite such Buyer’s name in column (4) on the Schedule of
Buyers, as evidenced by a certificate in the form attached hereto
as Exhibit A-1
(the “Warrants”)
(as exercised, the “Warrant
Shares”).

 

C.       The
Common Shares, the Warrants and the Warrant Shares are collectively
referred to herein as the “Securities”.

 

AGREEMENT

 

NOW,
THEREFORE, in consideration of the premises and the mutual
covenants contained herein and for other good and valuable
consideration, the receipt and sufficiency of which are hereby
acknowledged, the Company and each Buyer hereby agree as
follows:

 

	
 

	

1.

	

PURCHASE AND SALE OF COMMON SHARES AND WARRANTS.

 

(a)           Purchase
of Common Shares and Warrants. Subject to the satisfaction
(or waiver) of the conditions set forth in Sections 6 and 7 below,
the Company shall issue and sell to each Buyer, and each Buyer
severally, but not jointly, agrees to purchase from the Company on
the Closing Date (as defined below) (A) such aggregate number of
Common Shares as is set forth opposite such Buyer’s name in
column (3) on the Schedule of Buyers, and (B) Common Warrants to
initially acquire up to such aggregate number of Warrant Shares as
is set forth opposite such Buyer’s name in column (4) on the
Schedule of Buyers.

 

(b)          Closing.
The closing (the “Closing”) of the purchase of the
Common Shares and the Warrants by the Buyers shall occur at the
offices of Sichenzia Ross Ference Kesner LLP, 1185 Avenue of the
Americas, 37th Floor, New York, NY
10036. The date and time of the Closing (the “Closing Date”) shall be 10:00
a.m., New York time, on the first (1st) Business Day (as defined
below) on which the conditions to the Closing set forth in Sections
6 and 7 below are satisfied or waived (or such other date as is
mutually agreed to by the Company and each Buyer). As used herein
“Business Day”
means any day other than a Saturday, Sunday or other day on which
commercial banks in New York, New York are authorized or required
by law to remain closed.

 

(c)           Purchase
Price. The aggregate purchase price for the Common Shares
and Warrants (the “Purchase
Price”) shall be the amount set forth opposite such
Buyer’s name in column (5) on the Schedule of
Buyers.

 

(d)          Form
of Payment; Deliveries. On the Closing Date, (i) each Buyer
shall pay its respective Purchase Price to the Company for the
Common Shares and the Warrants to be issued and sold to such Buyer
at the Closing, by wire transfer of immediately available funds in
accordance with the Flow of Funds Letter (as defined below) and
(ii) the Company shall (A) cause VStock Transfer, LLC
(together with any subsequent transfer agent, the
“Transfer
Agent”) through the Depository Trust Company
(“DTC”) Fast
Automated Securities Transfer Program, to credit such aggregate
number of Common Shares that each Buyer is purchasing as is set
forth opposite such Buyer’s name in column (3) of the
Schedule of Buyers to such Buyer’s or its designee’s
balance account with DTC through its Deposit/Withdrawal at
Custodian system, and (B) deliver to each Buyer a Warrant pursuant
to which such Buyer shall have the right to initially acquire up to
such aggregate number of Warrant Shares as is set forth opposite
such Buyer’s name in column (4) of the Schedule of Buyers, in
each case, duly executed on behalf of the Company and registered in
the name of such Buyer or its designee.

 

(e)          Placement
Agent Fees. At the Closing, the Company shall pay (i) to
ROTH Capital Partners, LLC, as lead placement agent (the
“Lead Placement Agent”), all fees and
expenses due to the Lead Placement Agent as of the Closing Date,
and (ii) to CIM Securities, LLC, as co-lead placement agent (the
“Co-Lead Placement Agent”), all fees and
expenses due to the Co-Lead Placement Agent as of the Closing Date,
each pursuant to the terms of that certain Placement Agent
Agreement, dated as of ______, 2018, by and between the Company and
the Lead Placement Agent (the “Placement Agent Agreement”), in
each case, by wire transfer of immediately available funds in
accordance with the Lead Placement Agent's and Co-Lead Placement
Agent’s respective written wire instructions.

 

1

 

 

 

	
 

	

2.

	

BUYER’S REPRESENTATIONS AND WARRANTIES.

 

Each
Buyer, severally and not jointly, represents and warrants to the
Company with respect to only itself that, as of the date hereof and
as of the Closing Date:

 

(a)          Organization;
Authority. Such Buyer is an entity duly organized, validly
existing and in good standing under the laws of the jurisdiction of
its organization with the requisite power and authority to enter
into and to consummate the transactions contemplated by the
Transaction Documents (as defined below) to which it is a party and
otherwise to carry out its obligations hereunder and
thereunder.

 

(b)          Validity;
Enforcement. This Agreement has been duly and validly
authorized, executed and delivered on behalf of such Buyer and
shall constitute the legal, valid and binding obligations of such
Buyer enforceable against such Buyer in accordance with their
respective terms, except as such enforceability may be limited by
general principles of equity or to applicable bankruptcy,
insolvency, reorganization, moratorium, liquidation and other
similar laws relating to, or affecting generally, the enforcement
of applicable creditors’ rights and remedies.

 

(c)          No
Conflicts. The execution, delivery and performance by such
Buyer of this Agreement and the consummation by such Buyer of the
transactions contemplated hereby will not (i) result in a violation
of the organizational documents of such Buyer, or (ii) conflict
with, or constitute a default (or an event which with notice or
lapse of time or both would become a default) under, or give to
others any rights of termination, amendment, acceleration or
cancellation of, any agreement, indenture or instrument to which
such Buyer is a party or (iii) result in a violation of any law,
rule, regulation, order, judgment or decree (including federal and
state securities laws) applicable to such Buyer, except, in the
case of clauses (ii) and (iii) above, for such conflicts, defaults,
rights or violations which could not, individually or in the
aggregate, reasonably be expected to have a material adverse effect
on the ability of such Buyer to perform its obligations
hereunder.

 

(d)          Acknowledgement
of Risk. Such Buyer acknowledges and understands that its
investment in the Securities involves a significant degree of risk,
including, without limitation, (i) the Company remains an
early stage business with limited operating history and requires
substantial funds in addition to the proceeds from the sale of the
Securities; (ii) an investment in the Company is speculative,
and only purchasers who can afford the loss of their entire
investment should consider investing in the Company and the
Securities; (iii) such Buyer may not be able to liquidate its
investment; (iv) transferability of the Securities is limited;
(v) in the event of a disposition of the Securities, such
Buyer could sustain the loss of its entire investment;
(vi) the Company has not paid any dividends on its Common
Stock since inception and does not anticipate the payment of
dividends in the foreseeable future and (vii) those risks set out
in the Registration Statement.

 

 (e)          Acknowledgements
Regarding Placement Agent. Such Buyer acknowledges that the
Lead Placement Agent and Co-Lead Placement Agent are the exclusive
placement agents on a “best efforts” basis for the
Securities being offered hereby and will be compensated by the
Company for acting in such capacity. Such Buyer represents that
such Buyer was contacted regarding the sale of the Securities by
the Lead Placement Agent or the Co-Lead Placement Agent (or an
authorized agent or representative of one of them) with whom such
Buyer had a substantial pre-existing relationship and who entered
into a confidentiality agreement or otherwise agreed, orally or in
writing, to keep information with respect to the transactions
contemplated hereby confidential.

 

(f)           Review
of Registration Statement and SEC Documents. Such Buyer has
had the opportunity to review the Registration Statement and is
aware of the disclosures set out therein. Such Buyer has had the
opportunity to review the SEC Documents (as defined
herein).

 

	
 

	

3.

	

REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

As of
the date hereof and as of the Closing Date, the Company represents
and warrants to each of the Buyers that, except as set out in the
Registration Statement and the SEC Documents,:

 

(a)          Organization
and Qualification. Each of the Company and each of its
Subsidiaries are entities duly organized and validly existing and
in good standing under the laws of the jurisdiction in which they
are formed, and have the requisite power and authority to own their
properties and to carry on their business as now being conducted
and as presently proposed to be conducted. Each of the Company and
each of its Subsidiaries is duly qualified as a foreign entity to
do business and is in good standing in every jurisdiction in which
its ownership of property or the nature of the business conducted
by it makes such qualification necessary, except to the extent that
the failure to be so qualified or be in good standing would not
reasonably be expected to have a Material Adverse Effect (as
defined below). As used in this Agreement, “Material Adverse Effect” means any
material adverse effect on (i) the business, properties, assets,
liabilities, operations (including results thereof), condition
(financial or otherwise) or prospects of the Company or any
Subsidiary, individually or taken as a whole, (ii) the transactions
contemplated hereby or in any of the other Transaction Documents or
any other agreements or instruments to be entered into in
connection herewith or therewith or (iii) the authority or ability
of the Company or any of its Subsidiaries to perform any of their
respective obligations under any of the Transaction Documents (as
defined below). Other than the Persons (as defined below) set forth
in Exhibit 21.1 to the Registration Statement, the Company has no
Subsidiaries. “Subsidiaries” means any Person in
which the Company, directly or indirectly, (A) owns any of the
outstanding capital stock or holds any equity or similar interest
of such Person or (B) controls or operates all or any part of the
business, operations or administration of such Person, and each of
the foregoing, is individually referred to herein as a
“Subsidiary”.

 

(b)          Authorization;
Enforcement; Validity. The Company has the requisite power
and authority to enter into and perform its obligations under this
Agreement and the other Transaction Documents and to issue the
Securities in accordance with the terms hereof and thereof. The
execution and delivery of this Agreement and the other Transaction
Documents by the Company and the consummation by the Company of the
transactions contemplated hereby and thereby (including, without
limitation, the issuance of the Common Shares, the issuance of the
Warrants and the reservation for issuance and issuance of the
Warrant Shares issuable upon exercise of the Warrants) have been
duly authorized by the Company’s board of directors and
(other than the filing with the SEC of the prospectus forming part
of the Registration Statement pursuant to Rule 424(b) under the
1933 Act (as amended or supplemented, from time to time, the
“Prospectus”)
and any other filings as may be required by any state securities
agencies) no further filing, consent or authorization is required
by the Company, its board of directors or its stockholders or other
governing body. This Agreement has been, and the other Transaction
Documents will be prior to the Closing, duly executed and delivered
by the Company, and each constitutes the legal, valid and binding
obligations of the Company, enforceable against the Company in
accordance with its respective terms, except as such enforceability
may be limited by general principles of equity or applicable
bankruptcy, insolvency, reorganization, moratorium, liquidation or
similar laws relating to, or affecting generally, the enforcement
of applicable creditors’ rights and remedies and except as
rights to indemnification and to contribution may be limited by
federal or state securities law. “Transaction Documents” means,
collectively, this Agreement, the Warrants, the Irrevocable
Transfer Agent Instructions (as defined below) and each of the
other agreements and instruments entered into or delivered by any
of the parties hereto in connection with the transactions
contemplated hereby and thereby, as may be amended from time to
time.

 

 (c)          Issuance
of Securities; Registration Statement. The issuance of the
Common Shares and the Warrants are duly authorized and, upon
issuance and payment in accordance with the terms of the
Transaction Documents shall be validly issued, fully paid and
non-assessable and free from all preemptive or similar rights,
mortgages, defects, claims, liens, pledges, charges, taxes, rights
of first refusal, encumbrances, security interests and other
encumbrances (collectively “Liens”) with respect to the
issuance thereof. As of the Closing, the Company shall have
reserved from its duly authorized capital stock not less than 100%
of the maximum number of shares of Common Stock issuable upon
exercise of the Warrants (without taking into account any
limitations on the exercise of the Warrants set forth in the
Warrants). Upon exercise in accordance with the Warrants, the
Warrant Shares, when issued, will be validly issued, fully paid and
nonassessable and free from all preemptive or similar rights or
Liens with respect to the issue thereof, with the holders being
entitled to all rights accorded to a holder of Common Stock. The
issuance by the Company of the Securities has been registered under
the 1933 Act, the Securities are being issued pursuant to the
Registration Statement and all of the Securities are freely
transferable and freely tradable by each of the Buyers without
restriction (except as otherwise set forth in this Agreement),
whether by way of registration or some exemption therefrom. The
Registration Statement is effective and available for the issuance
of the Securities thereunder and the Company has not received any
notice that the SEC has issued or intends to issue a stop-order
with respect to the Registration Statement or that the SEC
otherwise has suspended or withdrawn the effectiveness of the
Registration Statement, either temporarily or permanently, or
intends or has threatened in writing to do so. The “Plan of
Distribution” section under the Registration Statement
permits the issuance and sale of the Securities hereunder and as
contemplated by the other Transaction Documents. Upon receipt of
the Securities, each of the Buyers will have good and marketable
title to the Securities. The Registration Statement and any
prospectus included therein, including the Prospectus, complied in
all material respects with the requirements of the 1933 Act and the
Securities Exchange Act of 1934, as amended (the
“1934 Act”) and
the rules and regulations of the SEC promulgated thereunder and all
other applicable laws and regulations. At the time the Registration
Statement and any amendments thereto became effective, at the date
of this Agreement and at each deemed effective date thereof
pursuant to Rule 430B(f)(2) of the 1933 Act, the Registration
Statement and any amendments thereto complied and will comply in
all material respects with the requirements of the 1933 Act and did
not and will not contain any untrue statement of a material fact or
omit to state any material fact required to be stated therein or
necessary to make the statements therein not misleading. The
Prospectus and any amendments or supplements thereto, at the time
the Prospectus or any amendment or supplement thereto was issued
and at the Closing Date, complied, and will comply, in all material
respects with the requirements of the 1933 Act and did not, and
will not, contain any untrue statement of a material fact or omit
to state a material fact necessary in order to make the statements
therein, in light of the circumstances under which they were made,
not misleading. The Company meets all of the requirements for the
use of Form S-1 under the 1933 Act for the offering and sale of the
Securities contemplated by this Agreement and the other Transaction
Documents, and the SEC has not notified the Company of any
objection to the use of the form of the Registration Statement
pursuant to Rule 401(g)(1) under the 1933 Act. At the earliest time
after the filing of the Registration Statement that the Company or
another offering participant made a bona fide offer (within the
meaning of Rule 164(h)(2) under the 1933 Act) relating to any of
the Securities, the Company was not and is not an “Ineligible
Issuer” (as defined in Rule 405 under the 1933 Act). The
Company (i) has not distributed any offering material in connection
with the offer or sale of any of the Securities and (ii) until no
Buyer holds any of the Securities, shall not distribute any
offering material in connection with the offer or sale of any of
the Securities to, or by, any of the Buyers (if required), in each
case, other than the Registration Statement or the
Prospectus.

 

 

2

 

 

 

 

 

 (d)          No
Conflicts. The execution, delivery and performance of the
Transaction Documents by the Company and the consummation by the
Company of the transactions contemplated hereby and thereby
(including, without limitation, the issuance of the Common Shares,
the Warrants and the Warrant Shares and the reservation for
issuance of the Warrant Shares) will not (i) result in a violation
of the Articles of Incorporation (as defined below) (including,
without limitation, any certificate of designation contained
therein), By-Laws (as defined below), certificate of formation,
memorandum of association, articles of association, by-laws or
other organizational documents of the Company or any of its
Subsidiaries, or any capital stock or other securities of the
Company or any of its Subsidiaries, (ii) conflict with, or
constitute a default (or an event which with notice or lapse of
time or both would become a default) in any respect under, or give
to others any rights of termination, amendment, acceleration or
cancellation of, any agreement, indenture or instrument to which
the Company or any of its Subsidiaries is a party, or (iii) result
in a violation of any law, rule, regulation, order, judgment or
decree (including, without limitation, foreign, federal and state
securities laws and regulations and the rules and regulations of
the OTCQB (the “Principal
Market”) and including all applicable foreign, federal
and state laws, rules and regulations applicable to the Company or
any of its Subsidiaries or by which any property or asset of the
Company or any of its Subsidiaries is bound or
affected.

 

(e)          Consents.
The Company is not required to obtain any consent from,
authorization or order of, or make any filing or registration with
(other than the filing with the SEC of the Registration Statement,
the Prospectus and any other filings as may be required by any
state securities agencies and such filings as are required by the
Principal Market), any Governmental Entity (as defined below) or
any regulatory or self-regulatory agency or any other Person in
order for it to execute, deliver or perform any of its obligations
under or contemplated by the Transaction Documents, in each case,
in accordance with the terms hereof or thereof. All consents,
authorizations, orders, filings and registrations which the Company
is required to obtain pursuant to the preceding sentence have been
or will be obtained or effected on or prior to the Closing Date,
and the Company is not aware of any facts or circumstances which
might prevent the Company from obtaining or effecting any of the
registration, application or filings contemplated by the
Transaction Documents. Except as set forth in the SEC Documents (as
defined herein), the Company is not in violation of the
requirements of the Principal Market and has no knowledge of any
facts or circumstances which could reasonably lead to delisting or
suspension of the Common Stock in the foreseeable future.
“Governmental
Entity” means any nation, state, county, city, town,
village, district, or other political jurisdiction of any nature,
federal, state, local, municipal, foreign, or other government,
governmental or quasi-governmental authority of any nature
(including any governmental agency, branch, department, official,
or entity and any court or other tribunal), multi-national
organization or body; or body exercising, or entitled to exercise,
any administrative, executive, judicial, legislative, police,
regulatory, or taxing authority or power of any nature or
instrumentality of any of the foregoing, including any entity or
enterprise owned or controlled by a government or a public
international organization or any of the foregoing.

 

 (f)           Acknowledgment
Regarding Buyer’s Purchase of Securities. The Company
acknowledges and agrees that each Buyer is acting solely in the
capacity of an arm’s length purchaser with respect to the
Transaction Documents and the transactions contemplated hereby and
thereby and that no Buyer is (i) an officer or director of the
Company or any of its Subsidiaries, (ii) an “affiliate”
(as defined in Rule 144 promulgated under the 1933 Act (or a
successor rule thereto) (collectively, “Rule 144”)) of the Company or any
of its Subsidiaries or (iii) to its knowledge, a “beneficial
owner” of more than 10% of the shares of Common Stock (as
defined for purposes of Rule 13d-3 of the 1934 Act). The Company
further acknowledges that no Buyer is acting as a financial advisor
or fiduciary of the Company or any of its Subsidiaries (or in any
similar capacity) with respect to the Transaction Documents and the
transactions contemplated hereby and thereby, and any advice given
by a Buyer or any of its representatives or agents in connection
with the Transaction Documents and the transactions contemplated
hereby and thereby is merely incidental to such Buyer’s
purchase of the Securities. The Company further represents to each
Buyer that the Company’s decision to enter into the
Transaction Documents has been based solely on the independent
evaluation by the Company and its representatives.

 

(g)          Placement
Agent’s Fees.
The Company shall be responsible for the payment of any placement
agent’s fees, financial advisory fees, or brokers’
commissions (other than for Persons engaged by any Buyer or its
investment advisor) relating to or arising out of the transactions
contemplated hereby, including, without limitation, placement agent
fees payable to the Lead Placement Agent and Co-Lead Placement
Agent in accordance with the Placement Agent Agreement. The Company
shall pay, and hold each Buyer harmless against, any liability,
loss or expense (including, without limitation, attorney's fees and
out-of-pocket expenses) arising in connection with any such claim.
The Company acknowledges that it has engaged the Lead Placement
Agent and Co-Lead Placement Agent in connection with the sale of
the Securities. Other than the Lead Placement Agent and the Co-Lead
Placement Agent, neither the Company nor any of its Subsidiaries
has engaged any placement agent or other agent in connection with
the offer or sale of the Securities.

 

(h)          No
Integrated Offering. None of the Company, its Subsidiaries
or any of their affiliates, nor any Person acting on their behalf
has, directly or indirectly, made any offers or sales of any
security or solicited any offers to buy any security, under
circumstances that would cause this offering of the Securities to
require approval of stockholders of the Company under any
applicable stockholder approval provisions, including, without
limitation, under the rules and regulations of any exchange or
automated quotation system on which any of the securities of the
Company are listed or designated for quotation. None of the
Company, its Subsidiaries, their affiliates nor any Person acting
on their behalf will take any action or steps that would cause the
offering of any of the Securities to be integrated with other
offerings of securities of the Company.

 

 (i)           Application
of Takeover Protections; Rights Agreement. The Company and
its board of directors have taken all necessary action, if any, in
order to render inapplicable any control share acquisition,
interested stockholder, business combination, poison pill
(including, without limitation, any distribution under a rights
agreement), stockholder rights plan or other similar anti-takeover
provision under the Articles of Incorporation, By-laws or other
organizational documents or the laws of the jurisdiction of its
incorporation or otherwise which is or could become applicable to
any Buyer as a result of the transactions contemplated by this
Agreement, including, without limitation, the Company’s
issuance of the Securities and any Buyer’s ownership of the
Securities. The Company and its board of directors have taken all
necessary action, if any, in order to render inapplicable any
stockholder rights plan or similar arrangement relating to
accumulations of beneficial ownership of shares of Common Stock or
a change in control of the Company or any of its
Subsidiaries.

 

(j)           SEC
Documents; Financial Statements. During the two (2) years
prior to the date hereof, the Company has timely filed all periodic
reports, schedules, forms, proxy statements, statements and other
documents required to be filed by it with the SEC pursuant to the
reporting requirements of the 1934 Act, provided that the Company
has filed all current reports required to be filed by it with the
SEC during the two (2) years prior to the date hereof, but that
some of such periodic reports were not filed on a timely basis (all
of the foregoing filed prior to the date hereof and all exhibits
and appendices included therein and financial statements, notes and
schedules thereto and documents incorporated by reference therein
being hereinafter referred to as the “SEC Documents”). The Company has
delivered or has made available to the Buyers or their respective
representatives true, correct and complete copies of each of the
SEC Documents not available on the EDGAR system. As of their
respective dates, the SEC Documents complied in all material
respects with the requirements of the 1934 Act and the rules and
regulations of the SEC promulgated thereunder applicable to the SEC
Documents, and none of the SEC Documents, at the time they were
filed with the SEC, contained any untrue statement of a material
fact or omitted to state a material fact required to be stated
therein or necessary in order to make the statements therein, in
the light of the circumstances under which they were made, not
misleading. As of their respective dates, the financial statements
of the Company included in the SEC Documents complied in all
material respects with applicable accounting requirements and the
published rules and regulations of the SEC with respect thereto as
in effect as of the time of filing. Such financial statements have
been prepared in accordance with generally accepted accounting
principles (“GAAP”), consistently applied,
during the periods involved (except (i) as may be otherwise
indicated in such financial statements or the notes thereto, or
(ii) in the case of unaudited interim statements, to the extent
they may exclude footnotes or may be condensed or summary
statements) and fairly present in all material respects the
financial position of the Company as of the dates thereof and the
results of its operations and cash flows for the periods then ended
(subject, in the case of unaudited statements, to normal year-end
audit adjustments which will not be material, either individually
or in the aggregate). The reserves, if any, established by the
Company or the lack of reserves, if applicable, are reasonable
based upon facts and circumstances known by the Company on the date
hereof and there are no loss contingencies that are required to be
accrued by the Statement of Financial Accounting Standard No. 5 of
the Financial Accounting Standards Board which are not provided for
by the Company in its financial statements or otherwise. No other
information provided by or on behalf of the Company to any of the
Buyers which is not included in the SEC Documents (including,
without limitation, information in the disclosure schedules to this
Agreement) contains any untrue statement of a material fact or
omits to state any material fact necessary in order to make the
statements therein not misleading, in the light of the circumstance
under which they are or were made. The Company is not currently
contemplating to amend or restate any of the financial statements
(including, without limitation, any notes or any letter of the
independent accountants of the Company with respect thereto)
included in the SEC Documents (the “Financial Statements”), nor is the
Company currently aware of facts or circumstances which would
require the Company to amend or restate any of the Financial
Statements, in each case, in order for any of the Financials
Statements to be in compliance with GAAP and the rules and
regulations of the SEC. The Company has not been informed by its
independent accountants that they recommend that the Company amend
or restate any of the Financial Statements or that there is any
need for the Company to amend or restate any of the Financial
Statements.

 

 (k)          Absence
of Certain Changes. Since the date of the Company’s
most recent audited financial statements contained in a Form 10-K,
there has been no material adverse change and no material adverse
development in the business, assets, liabilities, properties,
operations (including results thereof), condition (financial or
otherwise) or prospects of the Company or any of its Subsidiaries.
Since the date of the Company’s most recent audited financial
statements contained in a Form 10-K, neither the Company nor any of
its Subsidiaries has (i) declared or paid any dividends, (ii) sold
any assets, individually or in the aggregate, outside of the
ordinary course of business or (iii) made any capital expenditures,
individually or in the aggregate, outside of the ordinary course of
business. Neither the Company nor any of its Subsidiaries has taken
any steps to seek protection pursuant to any law or statute
relating to bankruptcy, insolvency, reorganization, receivership,
liquidation or winding up, nor does the Company or any Subsidiary
have any knowledge or reason to believe that any of their
respective creditors intend to initiate involuntary bankruptcy
proceedings or any actual knowledge of any fact which would
reasonably lead a creditor to do so. The Company and its
Subsidiaries, on a consolidated basis, upon receipt of proceeds
from this offering, will not be Insolvent (as defined below). For
purposes of this Section 3(k), “Insolvent” means, (i) with respect
to the Company and its Subsidiaries, on a consolidated basis, (A)
the present fair saleable value of the Company’s and its
Subsidiaries’ assets is less than the amount required to pay
the Company’s and its Subsidiaries’ total Indebtedness
(as defined below), (B) the Company and its Subsidiaries are unable
to pay their debts and liabilities, subordinated, contingent or
otherwise, as such debts and liabilities become absolute and
matured or (C) the Company and its Subsidiaries intend to incur or
believe that they will incur debts that would be beyond their
ability to pay as such debts mature; and (ii) with respect to the
Company and each Subsidiary, individually, (A) the present fair
saleable value of the Company’s or such Subsidiary’s
(as the case may be) assets is less than the amount required to pay
its respective total Indebtedness, (B) the Company or such
Subsidiary (as the case may be) is unable to pay its respective
debts and liabilities, subordinated, contingent or otherwise, as
such debts and liabilities become absolute and matured or (C) the
Company or such Subsidiary (as the case may be) intends to incur or
believes that it will incur debts that would be beyond its
respective ability to pay as such debts mature. Neither the Company
nor any of its Subsidiaries has engaged in any business or in any
transaction, and is not about to engage in any business or in any
transaction, for which the Company’s or such
Subsidiary’s remaining assets constitute unreasonably small
capital with which to conduct the business in which it is engaged
as such business is now conducted and is proposed to be
conducted.

 

3

 

 

 

 

 

(l)           No
Undisclosed Events, Liabilities, Developments or
Circumstances. No event, liability, development or
circumstance has occurred or exists, or is reasonably expected to
exist or occur with respect to the Company, any of its Subsidiaries
or any of their respective businesses, properties, liabilities,
prospects, operations (including results thereof) or condition
(financial or otherwise), that (i) would be required to be
disclosed by the Company under applicable securities laws on a
registration statement on Form S-1 filed with the SEC relating to
an issuance and sale by the Company of its Common Stock and which
has not been publicly announced, (ii) could have a material adverse
effect on any Buyer’s investment hereunder or (iii) could
have a Material Adverse Effect.

 

(m)         Conduct
of Business; Regulatory Permits. Neither the Company nor any
of its Subsidiaries is in violation of any term of or in default
under its Articles of Incorporation or By-laws or their
organizational charter, certificate of formation, memorandum of
association, articles of association, Articles of Incorporation or
certificate of incorporation or by-laws, respectively. Neither the
Company nor any of its Subsidiaries is in violation of any
judgment, decree or order or any statute, ordinance, rule or
regulation applicable to the Company or any of its Subsidiaries,
and neither the Company nor any of its Subsidiaries will conduct
its business in violation of any of the foregoing, except in all
cases for possible violations which could not, individually or in
the aggregate, have a Material Adverse Effect. Except as set forth
in the SEC Documents, without limiting the generality of the
foregoing, the Company is not in violation of any of the rules,
regulations or requirements of the Principal Market and has no
knowledge of any facts or circumstances that could reasonably lead
to delisting or suspension of the Common Stock by the Principal
Market in the foreseeable future. Except as set forth in the SEC
Documents, during the two years prior to the date hereof, (i) the
Common Stock has been listed or designated for quotation on the
Principal Market, (ii) trading in the Common Stock has not been
suspended by the SEC or the Principal Market and (iii) the Company
has received no communication, written or oral, from the SEC or the
Principal Market regarding the suspension or delisting of the
Common Stock from the Principal Market. The Company and each of its
Subsidiaries possess all certificates, authorizations and permits
issued by the appropriate regulatory authorities necessary to
conduct their respective businesses, except where the failure to
possess such certificates, authorizations or permits would not
have, individually or in the aggregate, a Material Adverse Effect,
and neither the Company nor any such Subsidiary has received any
notice of proceedings relating to the revocation or modification of
any such certificate, authorization or permit. There is no
agreement, commitment, judgment, injunction, order or decree
binding upon the Company or any of its Subsidiaries or to which the
Company or any of its Subsidiaries is a party which has or would
reasonably be expected to have the effect of prohibiting or
materially impairing any business practice of the Company or any of
its Subsidiaries, any acquisition of property by the Company or any
of its Subsidiaries or the conduct of business by the Company or
any of its Subsidiaries as currently conducted other than such
effects, individually or in the aggregate, which have not had and
would not reasonably be expected to have a Material Adverse Effect
on the Company or any of its Subsidiaries.

 

(n)              
Foreign Corrupt
Practices. Neither the Company, the Company’s
subsidiary or any director, officer, agent, employee, nor any other
person acting for or on behalf of the foregoing (individually and
collectively, a “Company
Affiliate”) have violated the U.S. Foreign Corrupt
Practices Act (the “FCPA”) or any other applicable
anti-bribery or anti-corruption laws, nor has any Company Affiliate
offered, paid, promised to pay, or authorized the payment of any
money, or offered, given, promised to give, or authorized the
giving of anything of value, to any officer, employee or any other
person acting in an official capacity for any Governmental Entity
to any political party or official thereof or to any candidate for
political office (individually and collectively, a
“Government
Official”) or to any person under circumstances where
such Company Affiliate knew or was aware of a high probability that
all or a portion of such money or thing of value would be offered,
given or promised, directly or indirectly, to any Government
Official, for the purpose of:

 

(i)                
(A) influencing any act or decision of such Government Official in
his/her official capacity, (B) inducing such Government Official to
do or omit to do any act in violation of his/her lawful duty, (C)
securing any improper advantage, or (D) inducing such Government
Official to influence or affect any act or decision of any
Governmental Entity, or

 

(ii)              
assisting the Company or its Subsidiaries in obtaining or retaining
business for or with, or directing business to, the Company or its
Subsidiaries.

 

(o)              
Sarbanes-Oxley Act.
The Company and each Subsidiary is in compliance with any and all
applicable requirements of the Sarbanes-Oxley Act of 2002, as
amended, and any and all applicable rules and regulations
promulgated by the SEC thereunder.

 

(p)              
Transactions With
Affiliates. Except as set forth in the Registration
Statement, since January 1, 2016, no current or former employee,
partner, director, officer or stockholder (direct or indirect) of
the Company or its Subsidiaries, or any associate, or, to the
knowledge of the Company, any affiliate of any thereof, or any
relative with a relationship no more remote than first cousin of
any of the foregoing, is presently, or has ever been, (i) a party
to any transaction with the Company or its Subsidiaries (including
any contract, agreement or other arrangement providing for the
furnishing of services by, or rental of real or personal property
from, or otherwise requiring payments to, any such director,
officer or stockholder or such associate or affiliate or relative
Subsidiaries (other than for ordinary course services as employees,
officers or directors of the Company or any of its Subsidiaries))
or (ii) the direct or indirect owner of an interest in any
corporation, firm, association or business organization which is a
competitor, supplier or customer of the Company or its Subsidiaries
(except for a passive investment (direct or indirect) in less than
5% of the common stock of a company whose securities are traded on
or quoted through a Trading Market (as defined below)), nor does
any such Person receive income from any source other than the
Company or its Subsidiaries which relates to the business of the
Company or its Subsidiaries or should properly accrue to the
Company or its Subsidiaries. Except as set forth in the
Registration Statement, no employee, officer, stockholder or
director of the Company or any of its Subsidiaries or member of his
or her immediate family is indebted to the Company or its
Subsidiaries, as the case may be, nor is the Company or any of its
Subsidiaries indebted (or committed to make loans or extend or
guarantee credit) to any of them, other than (i) for payment of
salary for services rendered, (ii) reimbursement for reasonable
expenses incurred on behalf of the Company, and (iii) for other
standard employee benefits made generally available to all
employees or executives (including stock option agreements
outstanding under any stock option plan approved by the Board of
Directors of the Company).

 

(q)          Equity
Capitalization.

 

(i)            Definitions: 

 

“Common Stock” means (x) the
Company’s shares of common stock, $0.001 par value per share,
and (y) any capital stock into which such common stock shall have
been changed or any share capital resulting from a reclassification
of such common stock.

 

(ii)           Authorized
and Outstanding Capital Stock. As of the date hereof, the
authorized capital stock of the Company consists of (A) 250,000,000
shares of Common Stock, of which, [ ] are issued and outstanding
and [ ] shares are reserved for issuance pursuant to Convertible
Securities (as defined below) (other than the Common Shares and the
Warrants) exercisable or exchangeable for, or convertible into,
shares of Common Stock. “Convertible Securities” means any
capital stock or other security of the Company that is at any time
and under any circumstances directly or indirectly convertible
into, exercisable or exchangeable for, or which otherwise entitles
the holder thereof to acquire, any capital stock or other security
of the Company (including, without limitation, Common
Stock).

 

(iii)          Valid
Issuance; Available Shares; Affiliates. All of such
outstanding shares are duly authorized and have been, or upon
issuance will be, validly issued and are fully paid and
nonassessable. The Registration Statement sets forth the number of
shares of Common Stock that are (A) reserved for issuance pursuant
to Convertible Securities (as defined below) (other than the
Warrants) and (B) that are, as of the date hereof, owned by Persons
who are “affiliates” (as defined in Rule 405 of the
1933 Act and calculated based on the assumption that only officers,
directors and holders of at least 10% of the Company’s issued
and outstanding Common Stock are “affiliates” without
conceding that any such Persons are “affiliates” for
purposes of federal securities laws) of the Company or any of its
Subsidiaries. To the Company’s knowledge, no Person owns 10%
or more of the Company’s issued and outstanding shares of
Common Stock (calculated based on the assumption that all
Convertible Securities (as defined below), whether or not presently
exercisable or convertible, have been fully exercised or
converted (as the case may be) taking account of any
limitations on exercise or conversion (including
“blockers”) contained therein without conceding that
such identified Person is a 10% stockholder for purposes of federal
securities laws).

 

 

4

 

 

 

 

 

(iv)          Existing
Securities; Obligations. Except as set forth in the
Registration Statement: (A) none of the Company’s or any
Subsidiary’s shares, interests or capital stock is subject to
preemptive rights or any other similar rights or Liens suffered or
permitted by the Company or any Subsidiary; (B) there are no
outstanding options, warrants, scrip, rights to subscribe to, calls
or commitments of any character whatsoever relating to, or
securities or rights convertible into, or exercisable or
exchangeable for, any shares, interests or capital stock of the
Company or any of its Subsidiaries, or contracts, commitments,
understandings or arrangements by which the Company or any of its
Subsidiaries is or may become bound to issue additional shares,
interests or capital stock of the Company or any of its
Subsidiaries or options, warrants, scrip, rights to subscribe to,
calls or commitments of any character whatsoever relating to, or
securities or rights convertible into, or exercisable or
exchangeable for, any shares, interests or capital stock of the
Company or any of its Subsidiaries; (C) there are no agreements or
arrangements under which the Company or any of its Subsidiaries is
obligated to register the sale of any of their securities under the
1933 Act (except pursuant to this Agreement); (D) there are no
outstanding securities or instruments of the Company or any of its
Subsidiaries which contain any redemption or similar provisions,
and there are no contracts, commitments, understandings or
arrangements by which the Company or any of its Subsidiaries is or
may become bound to redeem a security of the Company or any of its
Subsidiaries; (E) there are no securities or instruments containing
anti-dilution or similar provisions that will be triggered by the
issuance of the Securities; and (F) neither the Company nor any
Subsidiary has any stock appreciation rights or “phantom
stock” plans or agreements or any similar plan or
agreement.

 

(v)           Organizational
Documents. The Company has submitted to the SEC true,
correct and complete copies of the Company’s Articles of
Incorporation, as amended and as in effect on the date hereof (the
“Articles of
Incorporation”), and the Company’s by-laws, as
amended and as in effect on the date hereof (the
“By-laws”), and
the terms of all Convertible Securities and the material rights of
the holders thereof in respect thereto, and the Buyer’s may
access such documents and terms through the SEC’s EDGAR
database.

 

(r)           Indebtedness
and Other Contracts. Neither the Company nor any of its
Subsidiaries, (i) except as set forth in the Registration
Statement, has any outstanding debt securities, notes, credit
agreements, credit facilities or other agreements, documents or
instruments evidencing Indebtedness of the Company or any of its
Subsidiaries or by which the Company or any of its Subsidiaries is
or may become bound, (ii) is a party to any contract, agreement or
instrument, the violation of which, or default under which, by the
other party(ies) to such contract, agreement or instrument could
reasonably be expected to result in a Material Adverse Effect,
(iii) has any financing statements securing obligations in any
amounts filed in connection with the Company or any of its
Subsidiaries; (iv) is in violation of any term of, or in default
under, any contract, agreement or instrument relating to any
Indebtedness, except where such violations and defaults would not
result, individually or in the aggregate, in a Material Adverse
Effect, or (v) is a party to any contract, agreement or instrument
relating to any Indebtedness, the performance of which, in the
judgment of the Company’s officers, has or is expected to
have a Material Adverse Effect. Neither the Company nor any of its
Subsidiaries have any liabilities or obligations required to be
disclosed in the SEC Documents which are not so disclosed in the
SEC Documents, other than those incurred in the ordinary course of
the Company’s or its Subsidiaries’ respective
businesses and which, individually or in the aggregate, do not or
could not have a Material Adverse Effect. For purposes of this
Agreement: (x) “Indebtedness” of any Person means,
without duplication (A) all indebtedness for borrowed money, (B)
all obligations issued, undertaken or assumed as the deferred
purchase price of property or services (including, without
limitation, “capital leases” in accordance with GAAP)
(other than trade payables entered into in the ordinary course of
business consistent with past practice), (C) all reimbursement or
payment obligations with respect to letters of credit, surety bonds
and other similar instruments, (D) all obligations evidenced by
notes, bonds, debentures or similar instruments, including
obligations so evidenced incurred in connection with the
acquisition of property, assets or businesses, (E) all indebtedness
created or arising under any conditional sale or other title
retention agreement, or incurred as financing, in either case with
respect to any property or assets acquired with the proceeds of
such indebtedness (even though the rights and remedies of the
seller or bank under such agreement in the event of default are
limited to repossession or sale of such property), (F) all monetary
obligations under any leasing or similar arrangement which, in
connection with GAAP, consistently applied for the periods covered
thereby, is classified as a capital lease, (G) all indebtedness
referred to in clauses (A) through (F) above secured by (or for
which the holder of such Indebtedness has an existing right,
contingent or otherwise, to be secured by) any Lien upon or in any
property or assets (including accounts and contract rights) owned
by any Person, even though the Person which owns such assets or
property has not assumed or become liable for the payment of such
indebtedness, and (H) all Contingent Obligations in respect of
indebtedness or obligations of others of the kinds referred to in
clauses (A) through (G) above; (y) “Contingent Obligation” means, as
to any Person, any direct or indirect liability, contingent or
otherwise, of that Person with respect to any Indebtedness, lease,
dividend or other obligation of another Person if the primary
purpose or intent of the Person incurring such liability, or the
primary effect thereof, is to provide assurance to the obligee of
such liability that such liability will be paid or discharged, or
that any agreements relating thereto will be complied with, or that
the holders of such liability will be protected (in whole or in
part) against loss with respect thereto; and (z)
“Person” means
an individual, a limited liability company, a partnership, a joint
venture, a corporation, a trust, an unincorporated organization,
any other entity and any Governmental Entity or any department or
agency thereof.

 

(s)          Litigation.
There is no action, suit, arbitration, proceeding, inquiry or
investigation before or by the Principal Market, any court, public
board, other Governmental Entity, self-regulatory organization or
body pending or, to the knowledge of the Company, threatened
against or affecting the Company or any of its Subsidiaries, the
Common Stock or any of the Company’s or its
Subsidiaries’ officers or directors, whether of a civil or
criminal nature or otherwise, in their capacities as such, except
as set forth in the Registration Statement. No director, officer or
employee of the Company or any of its subsidiaries has willfully
violated 18 U.S.C. §1519 or engaged in spoliation in
reasonable anticipation of litigation. Without limitation of the
foregoing, there has not been, and to the knowledge of the Company,
there is not pending or contemplated, any investigation by the SEC
involving the Company, any of its Subsidiaries or any current or
former director or officer of the Company or any of its
Subsidiaries. The SEC has not issued any stop order or other order
suspending the effectiveness of any registration statement filed by
the Company under the 1933 Act or the 1934 Act, including, without
limitation, the Registration Statement. After reasonable inquiry of
its employees, the Company is not aware of any fact which might
result in or form the basis for any such action, suit, arbitration,
investigation, inquiry or other proceeding. Neither the Company nor
any of its Subsidiaries is subject to any order, writ, judgment,
injunction, decree, determination or award of any Governmental
Entity.

 

(t)           Insurance.
The Company and each of its Subsidiaries are insured by insurers of
recognized financial responsibility against such losses and risks
and in such amounts as management of the Company believes to be
prudent and customary in the businesses in which the Company and
its Subsidiaries are engaged. Neither the Company nor any such
Subsidiary has been refused any insurance coverage sought or
applied for, and neither the Company nor any such Subsidiary has
any reason to believe that it will be unable to renew its existing
insurance coverage as and when such coverage expires or to obtain
similar coverage from similar insurers as may be necessary to
continue its business at a cost that would not have a Material
Adverse Effect.

 

(u)          Employee
Relations. Neither the Company nor any of its Subsidiaries
is a party to any collective bargaining agreement or employs any
member of a union. The Company and its Subsidiaries believe that
their relations with their employees are good. No executive officer
(as defined in Rule 501(f) promulgated under the 1933 Act) or other
key employee of the Company or any of its Subsidiaries has notified
the Company or any such Subsidiary that such officer intends to
leave the Company or any such Subsidiary or otherwise terminate
such officer’s employment with the Company or any such
Subsidiary. No executive officer or other key employee of the
Company or any of its Subsidiaries is, or is now expected to be, in
violation of any material term of any employment contract,
confidentiality, disclosure or proprietary information agreement,
non-competition agreement, or any other contract or agreement or
any restrictive covenant, and the continued employment of each such
executive officer or other key employee (as the case may be) does
not subject the Company or any of its Subsidiaries to any liability
with respect to any of the foregoing matters. The Company and its
Subsidiaries are in compliance with all federal, state, local and
foreign laws and regulations respecting labor, employment and
employment practices and benefits, terms and conditions of
employment and wages and hours, except where failure to be in
compliance would not, either individually or in the aggregate,
reasonably be expected to result in a Material Adverse
Effect.

 

(v)          Title.

 

(i)            Real
Property. Each of the Company and its Subsidiaries holds
good title to all real property, leases in real property,
facilities or other interests in real property owned or held by the
Company or any of its Subsidiaries (the “Real Property”) owned by the
Company or any of its Subsidiaries (as applicable). The Real
Property is free and clear of all Liens and is not subject to any
rights of way, building use restrictions, exceptions, variances,
reservations, or limitations of any nature except for (a) Liens for
current taxes not yet due and (b) zoning laws and other land use
restrictions that do not impair the present or anticipated use of
the property subject thereto. Any Real Property held under lease by
the Company or any of its Subsidiaries are held by them under
valid, subsisting and enforceable leases with such exceptions as
are not material and do not interfere with the use made and
proposed to be made of such property and buildings by the Company
or any of its Subsidiaries.

 

(ii)           Fixtures
and Equipment. Each of the Company and its Subsidiaries (as
applicable) has good title to, or a valid leasehold interest in,
the tangible personal property, equipment, improvements, fixtures,
and other personal property and appurtenances that are used by the
Company or its Subsidiary in connection with the conduct of its
business (the “Fixtures and
Equipment”). The Fixtures and Equipment are
structurally sound, are in good operating condition and repair, are
adequate for the uses to which they are being put, are not in need
of maintenance or repairs except for ordinary, routine maintenance
and repairs and are sufficient for the conduct of the
Company’s and/or its Subsidiaries’ businesses (as
applicable) in the manner as conducted prior to the Closing. Each
of the Company and its Subsidiaries owns all of its Fixtures and
Equipment free and clear of all Liens except for (a) Liens for
current taxes not yet due and (b) zoning laws and other land use
restrictions that do not impair the present or anticipated use of
the property subject thereto.

 

 

5

 

 

 

 

(w)         Intellectual
Property Rights. The Company and its Subsidiaries own or
possess adequate rights or licenses to use all trademarks, trade
names, service marks, service mark registrations, service names,
original works of authorship, patents, patent rights, copyrights,
inventions, licenses, approvals, governmental authorizations, trade
secrets and other intellectual property rights and all applications
and registrations therefor (“Intellectual Property Rights”)
necessary to conduct their respective businesses as now conducted
and presently proposed to be conducted. Each of patents owned by
the Company or any of its Subsidiaries is listed in the
Registration Statement. Except as set forth in the Registration
Statement, none of the Company's Intellectual Property Rights have
expired or terminated or have been abandoned or are expected to
expire or terminate or are expected to be abandoned, within three
years from the date of this Agreement. The Company does not have
any knowledge of any infringement by the Company or its
Subsidiaries of Intellectual Property Rights of others. There is no
claim, action or proceeding being made or brought, or to the
knowledge of the Company or any of its Subsidiaries, being
threatened, against the Company or any of its Subsidiaries
regarding its Intellectual Property Rights. Neither the Company nor
any of its Subsidiaries is aware of any facts or circumstances
which might give rise to any of the foregoing infringements or
claims, actions or proceedings. The Company and its Subsidiaries
have taken reasonable security measures to protect the secrecy,
confidentiality and value of all of their Intellectual Property
Rights.

 

(x)           Environmental
Laws. (i) The Company and its Subsidiaries (A) are in
compliance with any and all Environmental Laws (as defined below),
(B) have received all permits, licenses or other approvals required
of them under applicable Environmental Laws to conduct their
respective businesses and (C) are in compliance with all terms and
conditions of any such permit, license or approval where, in each
of the foregoing clauses (A), (B) and (C), the failure to so comply
could be reasonably expected to have, individually or in the
aggregate, a Material Adverse Effect. The term “Environmental
Laws” means all federal, state, local or foreign laws
relating to pollution or protection of human health or the
environment (including, without limitation, ambient air, surface
water, groundwater, land surface or subsurface strata), including,
without limitation, laws relating to emissions, discharges,
releases or threatened releases of chemicals, pollutants,
contaminants, or toxic or hazardous substances or wastes
(collectively, “Hazardous
Materials”) into the environment, or otherwise
relating to the manufacture, processing, distribution, use,
treatment, storage, disposal, transport or handling of Hazardous
Materials, as well as all authorizations, codes, decrees, demands
or demand letters, injunctions, judgments, licenses, notices or
notice letters, orders, permits, plans or regulations issued,
entered, promulgated or approved thereunder.

 

(ii)           No
Hazardous Materials:

 

(A)       have
been disposed of or otherwise released from any Real Property (as
defined below) of the Company or any of its Subsidiaries in
violation of any Environmental Laws; or

 

(B)       are
present on, over, beneath, in or upon any Real Property or any
portion thereof in quantities that would constitute a violation of
any Environmental Laws. No prior use by the Company or any of its
Subsidiaries of any Real Property has occurred that violates any
Environmental Laws, which violation would have a material adverse
effect on the business of the Company or any of its
Subsidiaries.

 

(iii)          Neither
the Company nor any of its Subsidiaries knows of any other person
who or entity which has stored, treated, recycled, disposed of or
otherwise located any Hazardous Materials on any Real Property,
including, without limitation, such substances as asbestos and
polychlorinated biphenyls.

 

(iv)         None
of the Real Properties are on any federal or state
“Superfund” list or Liability Information System
(“CERCLIS”) list
or any state environmental agency list of sites under consideration
for CERCLIS, nor subject to any environmental related
Liens.

 

(y)          Subsidiary
Rights. The Company or one of its Subsidiaries has the
unrestricted right to vote, and (subject to limitations imposed by
applicable law) to receive dividends and distributions on, all
capital securities of its Subsidiaries as owned by the Company or
such Subsidiary.

 

(z)           Tax
Status. The Company and each of its Subsidiaries (i) has
timely made or filed all foreign, federal and state income and all
other tax returns, reports and declarations required by any
jurisdiction to which it is subject, (ii) has timely paid all taxes
and other governmental assessments and charges that are material in
amount, shown or determined to be due on such returns, reports and
declarations, except those being contested in good faith and (iii)
has set aside on its books provision reasonably adequate for the
payment of all taxes for periods subsequent to the periods to which
such returns, reports or declarations apply. There are no unpaid
taxes in any material amount claimed to be due by the taxing
authority of any jurisdiction, and the officers of the Company and
its Subsidiaries know of no basis for any such claim. The Company
is not operated in such a manner as to qualify as a passive foreign
investment company, as defined in Section 1297 of the U.S. Internal
Revenue Code of 1986, as amended (the “Code”). The net operating loss
carryforwards (“NOLs”) for United States federal
income tax purposes of the consolidated group of which the Company
is the common parent, if any, shall not be adversely effected by
the transactions contemplated hereby. The transactions contemplated
hereby do not constitute an “ownership change” within
the meaning of Section 382 of the Code, thereby preserving the
Company’s ability to utilize such NOLs.

 

(aa)        Internal
Accounting and Disclosure Controls. The Company’s
statement in its Annual Report on Form 10-k for the year ended
November 30, 2016 that its internal control over financial
reporting was ineffective has not been revised. The Company’s
statement in its Quarterly Report on Form 10-q for the period ended
August 31, 2017 that its disclosure controls and procedures were
ineffective has not been revised. Neither the Company nor any of
its Subsidiaries has received any notice or correspondence from any
accountant, Governmental Entity or other Person relating to any
potential material weakness or significant deficiency in any part
of the internal controls over financial reporting of the Company or
any of its Subsidiaries.

 

(bb)       Off
Balance Sheet Arrangements. There is no transaction,
arrangement, or other relationship between the Company or any of
its Subsidiaries and an unconsolidated or other off balance sheet
entity that is required to be disclosed by the Company in its 1934
Act filings and is not so disclosed or that otherwise could be
reasonably likely to have a Material Adverse Effect.

 

(cc)        Investment
Company Status. The Company is not, and upon consummation of
the sale of the Securities will not be, an “investment
company,” an affiliate of an “investment
company,” a company controlled by an “investment
company” or an “affiliated person” of, or
“promoter” or “principal underwriter” for,
an “investment company” as such terms are defined in
the Investment Company Act of 1940, as amended.

 

(dd)       Acknowledgement
Regarding Buyers’ Trading Activity. It is understood
and acknowledged by the Company that (i) following the public
disclosure of the transactions contemplated by the Transaction
Documents, in accordance with the terms thereof, none of the Buyers
have been asked by the Company or any of its Subsidiaries to agree,
nor has any Buyer agreed with the Company or any of its
Subsidiaries, to desist from effecting any transactions in or with
respect to (including, without limitation, purchasing or selling,
long and/or short) any securities of the Company, or
“derivative” securities based on securities issued by
the Company or to hold any of the Securities for any specified term
(except as otherwise set forth in this Agreement); (ii) any Buyer,
and counterparties in “derivative” transactions to
which any such Buyer is a party, directly or indirectly, presently
may have a “short” position in the Common Stock which
was established prior to such Buyer’s knowledge of the
transactions contemplated by the Transaction Documents; and (iii)
each Buyer shall not be deemed to have any affiliation with or
control over any arm’s length counterparty in any
“derivative” transaction. The Company further
understands and acknowledges that following the public disclosure
of the transactions contemplated by the Transaction Documents
pursuant to the Press Release (as defined below) one or more Buyers
may engage in hedging and/or trading activities at various times
during the period that the Securities are outstanding, including,
without limitation, during the periods that the value and/or number
of the Warrant Shares deliverable with respect to the Warrants are
being determined and such hedging and/or trading activities, if
any, can reduce the value of the existing stockholders’
equity interest in the Company both at and after the time the
hedging and/or trading activities are being conducted. The Company
acknowledges that such aforementioned hedging and/or trading
activities do not constitute a breach of this Agreement, the
Warrants or any other Transaction Document or any of the documents
executed in connection herewith or therewith.

 

 

6

 

 

 

 

(ee)        Manipulation
of Price. Neither the Company nor any of its Subsidiaries
has, and, to the knowledge of the Company, no Person acting on
their behalf has, directly or indirectly, (i) taken any action
designed to cause or to result in the stabilization or manipulation
of the price of any security of the Company or any of its
Subsidiaries to facilitate the sale or resale of any of the
Securities, (ii) sold, bid for, purchased, or paid any compensation
for soliciting purchases of, any of the Securities (other than the
Lead Placement Agent and the Co-Lead Placement Agent), (iii) paid
or agreed to pay to any Person any compensation for soliciting
another to purchase any other securities of the Company or any of
its Subsidiaries or (iv) paid or agreed to pay any Person for
research services with respect to any securities of the Company or
any of its Subsidiaries.

 

(ff)         U.S.
Real Property Holding Corporation. Neither the Company nor
any of its Subsidiaries is, or has ever been, and so long as any of
the Securities are held by any of the Buyers, shall become, a U.S.
real property holding corporation within the meaning of Section 897
of the Code, and the Company and each Subsidiary shall so certify
upon any Buyer’s request.

 

(gg)       Registration
Eligibility. The Company is eligible to register the
issuance of the Securities by the Company using Form S-1
promulgated under the 1933 Act.

 

(hh)       Transfer
Taxes. On the Closing Date, all stock transfer or other
taxes (other than income or similar taxes) which are required to be
paid in connection with the issuance, sale and transfer of the
Common Shares and Warrants to be sold to each Buyer hereunder will
be, or will have been, fully paid or provided for by the Company,
and all laws imposing such taxes will be or will have been complied
with.

 

(ii)          Bank
Holding Company Act. Neither the Company nor any of its
Subsidiaries is subject to the Bank Holding Company Act of 1956, as
amended (the “BHCA”) and to regulation by the
Board of Governors of the Federal Reserve System (the
“Federal
Reserve”). Neither the Company nor any of its
Subsidiaries or affiliates owns or controls, directly or
indirectly, five percent (5%) or more of the outstanding shares of
any class of voting securities or twenty-five percent (25%) or more
of the total equity of a bank or any entity that is subject to the
BHCA and to regulation by the Federal Reserve. Neither the Company
nor any of its Subsidiaries or affiliates exercises a controlling
influence over the management or policies of a bank or any entity
that is subject to the BHCA and to regulation by the Federal
Reserve.

 

(jj)          Illegal
or Unauthorized Payments; Political Contributions. Neither
the Company nor any of its Subsidiaries nor, to the best of the
Company’s knowledge (after reasonable inquiry of its officers
and directors), any of the officers, directors, employees, agents
or other representatives of the Company or any of its Subsidiaries
or any other business entity or enterprise with which the Company
or any Subsidiary is or has been affiliated or associated, has,
directly or indirectly, made or authorized any payment,
contribution or gift of money, property, or services, whether or
not in contravention of applicable law, (i) as a kickback or bribe
to any Person or (ii) to any political organization, or the holder
of or any aspirant to any elective or appointive public office
except for personal political contributions not involving the
direct or indirect use of funds of the Company or any of its
Subsidiaries.

 

(kk)        Money
Laundering. The Company and its Subsidiaries are in
compliance with, and have not previously violated, the USA Patriot
Act of 2001 and all other applicable U.S. and non-U.S. anti-money
laundering laws and regulations, including, without limitation, the
laws, regulations and Executive Orders and sanctions programs
administered by the U.S. Office of Foreign Assets Control,
including, but not limited, to (i) Executive Order 13224 of
September 23, 2001 entitled, “Blocking Property and
Prohibiting Transactions With Persons Who Commit, Threaten to
Commit, or Support Terrorism” (66 Fed. Reg. 49079 (2001));
and (ii) any regulations contained in 31 CFR, Subtitle B, Chapter
V.

 

(ll)          Management.
Except as set forth in the Registration Statement hereto, during
the past five year period, no current or former officer or director
or, to the knowledge of the Company, no current ten percent (10%)
or greater stockholder of the Company or any of its Subsidiaries
has been the subject of:

 

(i)            a
petition under bankruptcy laws or any other insolvency or
moratorium law or the appointment by a court of a receiver, fiscal
agent or similar officer for such Person, or any partnership in
which such person was a general partner at or within two years
before the filing of such petition or such appointment, or any
corporation or business association of which such person was an
executive officer at or within two years before the time of the
filing of such petition or such appointment;

 

(ii)           a
conviction in a criminal proceeding or a named subject of a pending
criminal proceeding (excluding traffic violations that do not
relate to driving while intoxicated or driving under the
influence);

 

(iii)          any
order, judgment or decree, not subsequently reversed, suspended or
vacated, of any court of competent jurisdiction, permanently or
temporarily enjoining any such person from, or otherwise limiting,
the following activities:

 

(1)          Acting
as a futures commission merchant, introducing broker, commodity
trading advisor, commodity pool operator, floor broker, leverage
transaction merchant, any other person regulated by the United
States Commodity Futures Trading Commission or an associated person
of any of the foregoing, or as an investment adviser, underwriter,
broker or dealer in securities, or as an affiliated person,
director or employee of any investment company, bank, savings and
loan association or insurance company, or engaging in or continuing
any conduct or practice in connection with such
activity;

 

(2)          Engaging
in any particular type of business practice; or

 

(3)          Engaging
in any activity in connection with the purchase or sale of any
security or commodity or in connection with any violation of
securities laws or commodities laws;

 

(iv)          any
order, judgment or decree, not subsequently reversed, suspended or
vacated, of any authority barring, suspending or otherwise limiting
for more than sixty (60) days the right of any such person to
engage in any activity described in the preceding sub paragraph, or
to be associated with persons engaged in any such
activity;

 

(v)           a
finding by a court of competent jurisdiction in a civil action or
by the SEC or other authority to have violated any securities law,
regulation or decree and the judgment in such civil action or
finding by the SEC or any other authority has not been subsequently
reversed, suspended or vacated; or

 

(vi)          a
finding by a court of competent jurisdiction in a civil action or
by the Commodity Futures Trading Commission to have violated any
federal commodities law, and the judgment in such civil action or
finding has not been subsequently reversed, suspended or
vacated.

 

(mm)     
Stock Option Plans.
Each stock option granted by the Company was granted (i) in
accordance with the terms of the applicable stock option plan of
the Company and (ii) with an exercise price at least equal to the
fair market value of the Common Stock on the date such stock option
would be considered granted under GAAP and applicable law. No stock
option granted under the Company's stock option plan has been
backdated. The Company has not knowingly granted, and there is no
and has been no policy or practice of the Company to knowingly
grant, stock options prior to, or otherwise knowingly coordinate
the grant of stock options with, the release or other public
announcement of material information regarding the Company or its
Subsidiaries or their financial results or prospects.

 

7

 

 

 

 

 

(nn)       No
Disagreements with Accountants and Lawyers. There are no
material disagreements of any kind presently existing, or
reasonably anticipated by the Company to arise, between the Company
and the accountants and lawyers formerly or presently employed by
the Company and the Company is current with respect to any fees
owed to its accountants and lawyers which could affect the
Company's ability to perform any of its obligations under any of
the Transaction Documents. In addition, on or prior to the date
hereof, the Company had discussions with its accountants about its
financial statements previously filed with the SEC. Based on those
discussions, the Company has no reason to believe that it will need
to restate any such financial statements or any part
thereof.

 

(oo)       No
Additional Agreements. The Company does not have any
agreement or understanding with any Buyer with respect to the
transactions contemplated by the Transaction Documents other than
as specified in the Transaction Documents.

 

(pp)       Public
Utility Holding Act None of the Company nor any of its
Subsidiaries is a “holding company,” or an
“affiliate” of a “holding company,” as such
terms are defined in the Public Utility Holding Act of
2005.

 

(qq)       Federal
Power Act. None of the Company nor any of its Subsidiaries
is subject to regulation as a “public utility” under
the Federal Power Act, as amended.

 

(rr)         Registration
Rights. No holder of securities of the Company has rights to
the registration of any securities of the Company because of the
filing of the Registration Statement or the issuance of the
Securities hereunder that could expose the Company to material
liability or any Buyer to any liability or that could impair the
Company’s ability to consummate the issuance and sale of the
Securities in the manner, and at the times, contemplated hereby,
which rights have not been waived by the holder thereof as of the
date hereof.

 

(ss)        Disclosure.
The Company confirms that neither it nor any other Person acting on
its behalf has provided any of the Buyers or their agents or
counsel with any information that constitutes or could reasonably
be expected to constitute material, non-public information
concerning the Company or any of its Subsidiaries, other than the
existence of the transactions contemplated by this Agreement and
the other Transaction Documents. The Company understands and
confirms that each of the Buyers will rely on the foregoing
representations in effecting transactions in securities of the
Company. All disclosure provided to the Buyers regarding the
Company and its Subsidiaries, their businesses and the transactions
contemplated hereby, including the schedules to this Agreement,
furnished by or on behalf of the Company or any of its Subsidiaries
is true and correct and does not contain any untrue statement of a
material fact or omit to state any material fact necessary in order
to make the statements made therein, in the light of the
circumstances under which they were made, not misleading. All of
the written information furnished after the date hereof by or on
behalf of the Company or any of its Subsidiaries to each Buyer
pursuant to or in connection with this Agreement and the other
Transaction Documents, taken as a whole, will be true and correct
in all material respects as of the date on which such information
is so provided and will not contain any untrue statement of a
material fact or omit to state any material fact necessary in order
to make the statements made therein, in the light of the
circumstances under which they were made, not misleading. Each
press release issued by the Company or any of its Subsidiaries
during the twelve (12) months preceding the date of this Agreement
did not at the time of release contain any untrue statement of a
material fact or omit to state a material fact required to be
stated therein or necessary in order to make the statements
therein, in the light of the circumstances under which they are
made, not misleading. No event or circumstance has occurred or
information exists with respect to the Company or any of its
Subsidiaries or its or their business, properties, liabilities,
prospects, operations (including results thereof) or conditions
(financial or otherwise), which, under applicable law, rule or
regulation, requires public disclosure at or before the date hereof
or announcement by the Company but which has not been so publicly
disclosed. All financial projections and forecasts that have been
prepared by or on behalf of the Company or any of its Subsidiaries
and made available to you have been prepared in good faith based
upon reasonable assumptions and represented, at the time each such
financial projection or forecast was delivered to each Buyer, the
Company’s best estimate of future financial performance (it
being recognized that such financial projections or forecasts are
not to be viewed as facts and that the actual results during the
period or periods covered by any such financial projections or
forecasts may differ from the projected or forecasted results). The
Company acknowledges and agrees that no Buyer makes or has made any
representations or warranties with respect to the transactions
contemplated hereby other than those specifically set forth in
Section 2.

 

	
 

	

4.

	

COVENANTS.

 

(a)          Best
Efforts. Each Buyer shall use its best efforts to timely
satisfy each of the covenants hereunder and conditions to be
satisfied by it as provided in Section 6 of this Agreement. The
Company shall use its best efforts to timely satisfy each of the
covenants hereunder and conditions to be satisfied by it as
provided in Section 7 of this Agreement.

 

(b)          Amendments
to the Registration Statement; Prospectus Supplements; Free Writing
Prospectuses.

 

(i)            Amendments
to the Registration Statement; Prospectus Supplements; Free Writing
Prospectuses. Except as provided in this Agreement and other
than periodic reports and current reports required to be filed
pursuant to the 1934 Act, the Company shall not file with the SEC
any amendment to the Registration Statement that relates to the
Buyer, this Agreement or the transactions contemplated hereby or
thereby or file with the SEC any supplement (each, a
“Prospectus
Supplement”) to the initial Prospectus included in the
Registration Statement at the time it was initially declared
effective by the SEC (the “Initial Prospectus”) that relates
to the Buyer, this Agreement or the transactions contemplated
hereby or thereby with respect to which (a) the Buyer shall not
previously have been advised, (b) the Company shall not have given
due consideration to any comments thereon received from the Buyer
or its counsel, or (c) the Buyer shall reasonably object after
being so advised, unless the Company reasonably has determined that
it is necessary to amend the Registration Statement or make any
supplement to the Prospectus to comply with the 1933 Act or any
other applicable law or regulation, in which case the Company shall
promptly (but in no event later than 24 hours) so inform the Buyer,
the Buyer shall be provided with a reasonable opportunity to review
and comment upon any disclosure relating to the Buyer and the
Company shall expeditiously furnish to the Buyer an electronic copy
thereof. In addition, for so long as, in the reasonable opinion of
counsel for the Buyer, the Prospectus (or in lieu thereof, the
notice referred to in Rule 173(a) under the 1933 Act) is required
to be delivered in connection with any acquisition or sale of
Securities by the Buyer, the Company shall not file the Initial
Prospectus or any Prospectus Supplement with respect to the
Securities without delivering or making available a copy of such
Prospectus (including each Prospectus Supplement in effect as of
such time, if any) to the Buyer promptly.

 

(ii)           The
Company has not made, and agrees that unless it obtains the prior
written consent of the Buyer it will not make, an offer relating to
the Securities that would constitute an “issuer free writing
prospectus” as defined in Rule 433 promulgated under the 1933
Act (an “Issuer Free Writing
Prospectus”) or that would otherwise constitute a
“free writing prospectus” as defined in Rule 405
promulgated under the 1933 Act (a “Free Writing Prospectus”) required
to be filed by the Company or the Buyer with the SEC or retained by
the Company or the Buyer under Rule 433 under the 1933 Act. The
Buyer has not made, and agrees that unless it obtains the prior
written consent of the Company it will not make, an offer relating
to the Securities that would constitute a Free Writing Prospectus
required to be filed by the Company with the SEC or retained by the
Company under Rule 433 under the 1933 Act. Any such Issuer Free
Writing Prospectus or other Free Writing Prospectus consented to by
the Buyer or the Company is referred to in this Agreement as a
“Permitted Free Writing
Prospectus.” The Company agrees that (x) it has
treated and will treat, as the case may be, each Permitted Free
Writing Prospectus as an Issuer Free Writing Prospectus and (y) it
has complied and will comply, as the case may be, with the
requirements of Rules 164 and 433 under the 1933 Act applicable to
any Permitted Free Writing Prospectus, including in respect of
timely filing with the SEC, legending and record
keeping.

 

(c)          Prospectus
Delivery. Immediately prior to execution of this Agreement,
the Company shall have delivered to the Buyer, and as soon as
practicable after execution of this Agreement the Company shall
file, the Prospectus with respect to the Securities to be issued on
the Closing Date, as required under, and in conformity with, the
1933 Act, including Rule 424(b) thereunder. Except as set out in
Section 4(b), the Company shall provide the Buyer a reasonable
opportunity to comment on a draft of each Prospectus Supplement and
any Issuer Free Writing Prospectus, if any, shall give due
consideration to all such comments and, subject to the provisions
of Section 4(b) hereof, shall deliver or make available to the
Buyer, without charge, an electronic copy of the Prospectus
(including any Prospectus Supplement and any Permitted Free Writing
Prospectus, if any) on the Closing Date. The Company consents to
the use of the Prospectus in accordance with the provisions of the
1933 Act and with the securities or “blue sky” laws of
the jurisdictions in which the Securities may be sold by the Buyer,
in connection with the offering and sale of the Securities and for
such period of time thereafter as the Prospectus (or in lieu
thereof, the notice referred to in Rule 173(a) under the 1933 Act)
is required by the 1933 Act to be delivered in connection with
sales of the Securities. If during such period of time any event
shall occur that in the judgment of the Company and its counsel is
required to be set forth in the Registration Statement or the
Prospectus or any Permitted Free Writing Prospectus or should be
set forth therein in order to make the statements made therein (in
the case of the Prospectus, in light of the circumstances under
which they were made) not misleading, or if it is necessary to
amend the Registration Statement or supplement or amend the
Prospectus or any Permitted Free Writing Prospectus to comply with
the 1933 Act or any other applicable law or regulation, the Company
shall forthwith prepare and, subject to Section 4(b) above, file
with the SEC an appropriate amendment to the Registration Statement
or Prospectus Supplement to the Prospectus (or supplement to the
Permitted Free Writing Prospectus) and shall expeditiously furnish
or make available to the Buyer an electronic copy
thereof.

 

 

 8

 

 

 

 

(d)          Stop
Orders. The Company shall advise the Buyer promptly (but in
no event later than 24 hours) and shall confirm such advice in
writing: (i) of the Company’s receipt of notice of any
request by the SEC for amendment of or a supplement to the
Registration Statement, the Prospectus, any Permitted Free Writing
Prospectus or for any additional information; (ii) of the
Company’s receipt of notice of the issuance by the SEC of any
stop order suspending the effectiveness of the Registration
Statement or prohibiting or suspending the use of the Prospectus or
any Prospectus Supplement, or of the suspension of qualification of
the Securities for offering or sale in any jurisdiction, or the
initiation or contemplated initiation of any proceeding for such
purpose; (iii) of the Company becoming aware of the happening of
any event, which makes any statement of a material fact made in the
Registration Statement, the Prospectus or any Permitted Free
Writing Prospectus untrue or which requires the making of any
additions to or changes to the statements then made in the
Registration Statement, the Prospectus or any Permitted Free
Writing Prospectus in order to state a material fact required by
the 1933 Act to be stated therein or necessary in order to make the
statements then made therein (in the case of the Prospectus, in
light of the circumstances under which they were made) not
misleading, or of the necessity to amend the Registration Statement
or supplement the Prospectus or any Permitted Free Writing
Prospectus to comply with the 1933 Act or any other law or (iv) if
at any time following the date hereof the Registration Statement is
not effective or is not otherwise available for the issuance of the
Securities or any Prospectus contained therein is not available for
use for any other reason. Thereafter, the Company shall promptly
notify such holders when the Registration Statement, the
Prospectus, any Permitted Free Writing Prospectus and/or any
amendment or supplement thereto, as applicable, is effective and
available for the issuance of the Securities. If at any time the
SEC shall issue any stop order suspending the effectiveness of the
Registration Statement or prohibiting or suspending the use of the
Prospectus or any Prospectus Supplement, the Company shall use best
efforts to obtain the withdrawal of such order at the earliest
possible time.

 

(e)          Blue
Sky. The Company shall, on or before the Closing Date, take
such action as the Company shall reasonably determine is necessary
in order to obtain an exemption for, or to, qualify the Securities
for sale to the Buyers at the Closing pursuant to this Agreement
under applicable securities or “Blue Sky” laws of the
states of the United States (or to obtain an exemption from such
qualification), and shall provide evidence of any such action so
taken to the Buyers on or prior to the Closing Date. Without
limiting any other obligation of the Company under this Agreement,
the Company shall timely make all filings and reports relating to
the offer and sale of the Securities required under all applicable
securities laws (including, without limitation, all applicable
federal securities laws and all applicable “Blue Sky”
laws), and the Company shall comply with all applicable foreign,
federal, state and local laws, statutes, rules, regulations and the
like relating to the offering and sale of the Securities to the
Buyers.

 

(f)           Reporting
Status. Until the date on which the Buyers shall have sold
all of the Securities (the “Reporting Period”), the Company
shall timely file all reports required to be filed with the SEC
pursuant to the 1934 Act, and the Company shall not terminate its
status as an issuer required to file reports under the 1934 Act
even if the 1934 Act or the rules and regulations thereunder would
no longer require or otherwise permit such
termination.

 

(g)         Use
of Proceeds. The Company will use the proceeds from the sale
of the Securities as described in the Prospectus, but not, directly
or indirectly, for (i) except as set forth in the Registration
Statement, the satisfaction of any indebtedness of the Company or
any of its Subsidiaries, (ii) the redemption or repurchase of any
securities of the Company or any of its Subsidiaries, or (iii) the
settlement of any outstanding litigation.

 

(h)          Financial
Information. The Company agrees to send the following to
each holder of Warrants (each, an “Investor”) during the Reporting
Period (i) unless the following are filed with the SEC through
EDGAR and are available to the public through the EDGAR system,
within one (1) Business Day after the filing thereof with the SEC,
a copy of its Annual Reports on Form 10-K and Quarterly Reports on
Form 10-Q, any interim reports or any consolidated balance sheets,
income statements, stockholders’ equity statements and/or
cash flow statements for any period other than annual, any Current
Reports on Form 8-K and any registration statements (other than on
Form S-8) or amendments filed pursuant to the 1933 Act, (ii) unless
the following are either filed with the SEC through EDGAR or are
otherwise widely disseminated via a recognized news release service
(such as PR Newswire), on the same day as the release thereof,
facsimile copies of all press releases issued by the Company or any
of its Subsidiaries and (iii) unless the following are filed with
the SEC through EDGAR, copies of any notices and other information
made available or given to the stockholders of the Company
generally, contemporaneously with the making available or giving
thereof to the stockholders.

 

(i)           Listing.
The Company shall promptly secure the listing or designation for
quotation (as the case may be) of all of the Underlying Securities
(as defined below) upon each national securities exchange and
automated quotation system, if any, upon which the Common Stock is
then listed or designated for quotation (as the case may be)
(subject to official notice of issuance) and shall maintain such
listing or designation for quotation (as the case may be) of all
Underlying Securities from time to time issuable under the terms of
the Transaction Documents on such national securities exchange or
automated quotation system. The Company shall maintain the Common
Stock’s listing or authorization for quotation (as the case
may be) on the Principal Market, the OTCQX, the OTCBB, The New York
Stock Exchange, the NYSE American, the Nasdaq Capital Market, the
Nasdaq Global Market or the Nasdaq Global Select Market (each, a
“Trading
Market”). Neither the Company nor any of its
Subsidiaries shall take any action which could be reasonably
expected to result in the delisting or suspension of the Common
Stock from all Trading Markets on which the Common Stock is listed
or quoted. The Company shall pay all fees and expenses in
connection with satisfying its obligations under this Section 4(i).
“Underlying
Securities” means the (i) the Common Shares, (ii) the
Warrant Shares and (iii) any capital stock of the Company issued or
issuable with respect to the Common Shares, the Warrant Shares, or
the Warrants, respectively, including, without limitation, (1) as a
result of any stock split, stock dividend, recapitalization,
exchange or similar event or otherwise and (2) shares of capital
stock of the Company into which the shares of Common Stock are
converted or exchanged and shares of capital stock of a Successor
Entity (as defined in the Warrants) into which the shares of Common
Stock are converted or exchanged, in each case, without regard to
any limitations on exercise of the Warrants.

 

(j)           Fees.
The Company shall be responsible for the payment of any placement
agent’s fees, financial advisory fees, transfer agent fees,
DTC fees or broker’s commissions (other than for Persons
engaged by any Buyer) relating to or arising out of the
transactions contemplated hereby (including, without limitation,
any fees or commissions payable to the Lead Placement Agent of the
Co-Lead Placement Agent, who are the Company’s sole placement
agents in connection with the transactions contemplated by this
Agreement). The Company shall pay, and hold each Buyer harmless
against, any liability, loss or expense (including, without
limitation, reasonable attorneys’ fees and out-of-pocket
expenses) arising in connection with any claim relating to any such
payment. Except as otherwise set forth in the Transaction
Documents, each party to this Agreement shall bear its own expenses
in connection with the sale of the Securities to the
Buyers.

 

(k)          Disclosure
of Transactions and Other Material Information.

 

(i)            Disclosure
of Transaction. The Company shall, on or before
9:30 a.m., New York time, on the first (1st) Business Day after
the date of this Agreement, issue a press release (the
“Press Release”)
reasonably acceptable to the Buyers disclosing all the material
terms of the transactions contemplated by the Transaction
Documents. On or before 9:30 a.m., New York time, on the first
(1st)
Business Day after the date of this Agreement, the Company shall
file a Current Report on Form 8-K describing all the material terms
of the transactions contemplated by the Transaction Documents in
the form required by the 1934 Act and attaching all the material
Transaction Documents (including, without limitation, this
Agreement (and all schedules to this Agreement), and the form of
the Warrants) (including all attachments, the “8-K Filing”). From and after the
filing of the Press Release, the Company shall have disclosed all
material, non-public information (if any) provided to any of the
Buyers by the Company or any of its Subsidiaries or any of their
respective officers, directors, employees or agents in connection
with the transactions contemplated by the Transaction Documents. In
addition, effective upon the filing of the Press Release, the
Company acknowledges and agrees that any and all confidentiality or
similar obligations under any agreement, whether written or oral,
between the Company, any of its Subsidiaries or any of their
respective officers, directors, affiliates, employees or agents, on
the one hand, and any of the Buyers or any of their affiliates, on
the other hand, shall terminate.

 

 (ii)           Limitations
on Disclosure. The Company shall not, and the Company shall
cause each of its Subsidiaries and each of its and their respective
officers, directors, employees and agents not to, provide any Buyer
with any material, non-public information regarding the Company or
any of its Subsidiaries from and after the date hereof without the
express prior written consent of such Buyer (which may be granted
or withheld in such Buyer’s sole discretion). In the event of
a breach of any of the foregoing covenants, or any of the covenants
or agreements contained in any other Transaction Document, by the
Company, any of its Subsidiaries, or any of its or their respective
officers, directors, employees and agents (as determined in the
reasonable good faith judgment of such Buyer), in addition to any
other remedy provided herein or in the Transaction Documents, such
Buyer shall have the right to make a public disclosure, in the form
of a press release, public advertisement or otherwise, of such
breach or such material, non-public information, as applicable,
without the prior approval by the Company, any of its Subsidiaries,
or any of its or their respective officers, directors, employees or
agents. No Buyer shall have any liability to the Company, any of
its Subsidiaries, or any of its or their respective officers,
directors, employees, affiliates, stockholders or agents, for any
such disclosure. To the extent that the Company delivers any
material, non-public information to a Buyer without such Buyer's
consent, the Company hereby covenants and agrees that such Buyer
shall not have any duty of confidentiality with respect to, or a
duty not to trade on the basis of, such material, non-public
information. Subject to the foregoing, neither the Company, its
Subsidiaries nor any Buyer shall issue any press releases or any
other public statements with respect to the transactions
contemplated hereby; provided, however, the Company shall be
entitled, without the prior approval of any Buyer, to make the
Press Release and any press release or other public disclosure with
respect to such transactions (i) in substantial conformity with the
8-K Filing and contemporaneously therewith and (ii) as is required
by applicable law and regulations (provided that in the case of
clause (i) each Buyer shall be consulted by the Company in
connection with any such press release or other public disclosure
prior to its release). Without the prior written consent of the
applicable Buyer (which may be granted or withheld in such
Buyer’s sole discretion), the Company shall not (and shall
cause each of its Subsidiaries and affiliates to not) disclose the
name of such Buyer in any filing, announcement, release or
otherwise. Notwithstanding anything contained in this Agreement to
the contrary and without implication that the contrary would
otherwise be true, the Company expressly acknowledges and agrees
that no Buyer shall have (unless expressly agreed to by a
particular Buyer after the date hereof in a written definitive and
binding agreement executed by the Company and such particular Buyer
(it being understood and agreed that no Buyer may bind any other
Buyer with respect thereto)), any duty of confidentiality with
respect to, or a duty not to trade on the basis of, any material,
non-public information regarding the Company or any of its
Subsidiaries.

 

9

 

 

 

 

(l)           Reservation
of Shares. So long as any of the Warrants remain
outstanding, the Company shall take all action necessary to at all
times have authorized, and reserved for the purpose of issuance, no
less than 100% of the maximum number of Warrant Shares issuable
upon exercise of all the Warrants then outstanding (without regard
to any limitations on the exercise of the Warrants set forth
therein) (collectively, the “Required Reserve Amount”);
provided that at no time shall the number of shares of Common Stock
reserved pursuant to this Section 4(l) be reduced other than
proportionally in connection with any exercise of the Warrants. If
at any time the number of shares of Common Stock authorized and
reserved for issuance is not sufficient to meet the Required
Reserve Amount, the Company will promptly take all corporate action
necessary to authorize and reserve a sufficient number of shares,
including, without limitation, calling a special meeting of
stockholders to authorize additional shares to meet the Company's
obligations pursuant to the Transaction Documents, in the case of
an insufficient number of authorized shares, obtain stockholder
approval of an increase in such authorized number of shares, and
voting the management shares of the Company in favor of an increase
in the authorized shares of the Company to ensure that the number
of authorized shares is sufficient to meet the Required Reserve
Amount.

 

 (m)         Conduct
of Business. The business of the Company and its
Subsidiaries shall not be conducted in violation of any law,
ordinance or regulation of any Governmental Entity, except where
such violations would not reasonably be expected to result, either
individually or in the aggregate, in a Material Adverse
Effect.

 

(n)          Reserved.

 

(o)          Passive
Foreign Investment Company. The Company shall conduct its
business, and shall cause its Subsidiaries to conduct their
respective businesses, in such a manner as will ensure that the
Company will not be deemed to constitute a passive foreign
investment company within the meaning of Section 1297 of the
Code.

 

(p)          Corporate
Existence. So long as any Buyer beneficially owns any
Warrants, the Company shall not be party to any Fundamental
Transaction (as defined in the Warrants) unless the Company is in
compliance with the applicable provisions governing Fundamental
Transactions set forth in the Warrants.

 

(q)          Exercise
Procedures. The form of Exercise Notice (as defined in the
Warrants) included in the Warrants sets forth the totality of the
procedures required of the Buyers in order to exercise the
Warrants. No legal opinion or other information or instructions
shall be required of the Buyers to exercise their Warrants. The
Company shall honor exercises of the Warrants and shall deliver the
Warrant Shares in accordance with the terms, conditions and time
periods set forth in the Warrants. Without limiting the preceding
sentences, no ink-original Exercise Notice (as defined in the
Warrants) shall be required, nor shall any medallion guarantee (or
other type of guarantee or notarization) of any Exercise Notice
form be required in order to exercise the Warrants.

 

(r)           Regulation
M. The Company will not take any action prohibited by
Regulation M under the 1934 Act, in connection with the
distribution of the Securities contemplated hereby.

 

(s)          Closing
Documents. On or prior to fourteen (14) calendar days after
the Closing Date, the Company agrees to deliver, or cause to be
delivered, to each Buyer, the Placement Agent and Sichenzia Ross
Ference Kesner LLP a complete closing set of the executed
Transaction Documents, Securities and any other document required
to be delivered to any party pursuant to Section 7 hereof or
otherwise.

 

(t)           Buyer
Leak-Out.                                Each
Buyer agrees that from the date of this Agreement and ending at
4:00 pm (New York City time) on _________, 2018 (such period, the
“Restricted Period”), neither such Buyer, nor any
affiliate of such Buyer which (x) had or has knowledge of the
transactions contemplated by this Agreement, (y) has or shares
discretion relating to such Buyer’s investments or trading or
information concerning such Buyer’s investments, including in
respect of the Securities, or (z) is subject to such Buyer’s
review or input concerning such affiliate’s investments or
trading (together, the “Buyer’s Trading
Affiliates”), collectively, shall sell, dispose or otherwise
transfer, directly or indirectly, (including, without limitation,
any sales, short sales, swaps or any derivative transactions that
would be equivalent to any sales or short positions) on any Trading
Day during the Restricted Period (any such date, a “Date of
Determination”), shares of Common Stock, or shares of Common
Stock underlying any Convertible Securities, held by the Buyer on
the date hereof, including the Shares and the Warrant Shares
issuable upon exercise of the Warrants (collectively, the
“Restricted Securities”), in an amount more than __% of
the trading volume of Common Stock as reported by Bloomberg, LP for
the applicable Date of Determination (“Leak-Out
Percentage”); provided, that the foregoing restriction shall
not apply to any actual “long” (as defined in
Regulation SHO of the 1934 Act) sales by the Holder or any of the
Holder’s Trading Affiliates at a price greater than
$_________ (in each case, as adjusted for stock splits, stock
dividends, stock combinations, recapitalizations or other similar
events occurring after the date hereof).

 

 Notwithstanding
anything herein to the contrary, during the Restricted Period, the
Buyer may, directly or indirectly, sell or transfer all, or any
part, of any Restricted Securities to any Person (an
“Assignee”) in a transaction which does not need to be
reported on the consolidated tape on the Principal Market, without
complying with (or otherwise limited by) the restrictions set forth
in this Leak-Out Agreement; provided, that as a condition to any
such sale or transfer an authorized signatory of the Company and
such Assignee duly execute and deliver a leak-out agreement in the
form of this Section 4(t) (an “Assignee Agreement”, and
each such transfer a “Permitted Transfer”) and,
subsequent to a Permitted Transfer, sales of the Buyer and the
Buyer’s Trading Affiliates and all Assignees (other than any
such sales that constitute Permitted Transfers) shall be aggregated
for all purposes of this Section 4(t) and all Assignee
Agreements.

 

	
 

	

5.

	

REGISTER; TRANSFER AGENT INSTRUCTIONS; LEGEND.

 

(a)        
    Register. The Company shall
maintain at its principal executive offices (or such other office
or agency of the Company as it may designate by notice to each
holder of Securities), a register for the Common Shares and the
Warrants in which the Company shall record the name and address of
the Person in whose name the Common Shares and the Warrants have
been issued (including the name and address of each transferee),
the number of Common Shares held by such Person and the number of
Warrant Shares issuable upon exercise of the Warrants held by such
Person. The Company shall keep the register open and available at
all times during business hours for inspection of any Buyer or its
legal representatives.

 

 (b)          Transfer
Agent Instructions. The Company shall issue irrevocable
instructions to its Transfer Agent and any subsequent transfer
agent in a form acceptable to each of the Buyers (the
“Irrevocable Transfer Agent
Instructions”) to issue certificates or credit shares
to the applicable balance accounts at DTC, registered in the name
of each Buyer or its respective nominee(s), for the Common Shares
and the Warrant Shares in such amounts as specified from time to
time by each Buyer to the Company upon the exercise of the Warrants
(as the case may be). The Company represents and warrants that no
instruction other than the Irrevocable Transfer Agent Instructions
referred to in this Section 5(b) will be given by the Company
to its Transfer Agent with respect to the Securities, and that the
Securities shall otherwise be freely transferable on the books and
records of the Company, as applicable, to the extent provided in
this Agreement and the other Transaction Documents. If a Buyer
effects a sale, assignment or transfer of the Securities, the
Company shall permit the transfer and shall promptly instruct its
Transfer Agent to issue one or more certificates or credit shares
to the applicable balance accounts at DTC in such name and in such
denominations as specified by such Buyer to effect such sale,
transfer or assignment. The Company acknowledges that a breach by
it of its obligations hereunder will cause irreparable harm to a
Buyer. Accordingly, the Company acknowledges that the remedy at law
for a breach of its obligations under this Section 5(b) will
be inadequate and agrees, in the event of a breach or threatened
breach by the Company of the provisions of this Section 5(b),
that a Buyer shall be entitled, in addition to all other available
remedies, to an order and/or injunction restraining any breach and
requiring immediate issuance and transfer, without the necessity of
showing economic loss and without any bond or other security being
required. The Company shall cause its counsel to issue each legal
opinion referred to in the Irrevocable Transfer Agent Instructions
to the Transfer Agent as follows: (i) at the Closing with respect
to the Common Shares, (ii) upon each exercise of the Warrants
(unless such issuance covered by a prior legal opinion previously
delivered to the Transfer Agent), and (iii) on each date a
registration statement with respect to the issuance or resale of
any of the Securities is declared effective by the SEC. Any fees
(with respect to the Transfer Agent, counsel to the Company or
otherwise) associated with the issuance of such opinions or the
removal of any legends on any of the Securities shall be borne by
the Company.

 

 

10

 

 

 

 

(c)          Legends.
Certificates and any other instruments evidencing the Common Shares
shall not bear any restrictive or other legend. For so long as a
Registration Statement is effective for the Warrant Shares, or as
long as there is an exemption from registration of the resale of
the Warrant Shares under the 1933 Act, certificates and any other
instruments evidencing the Warrant Shares shall not bear any
restrictive or other legend.

 

(d)          FAST
Compliance. While any Warrants remain outstanding, the
Company shall maintain a transfer agent that participates in the
DTC Fast Automated Securities Transfer Program.

 

	
 

	

6.

	

CONDITIONS TO THE COMPANY’S OBLIGATION TO SELL.

 

The
obligation of the Company hereunder to issue and sell the Common
Shares and the related Warrants to each Buyer at the Closing is
subject to the satisfaction, at or before the Closing Date, of each
of the following conditions, provided that these conditions are for
the Company’s sole benefit and may be waived by the Company
at any time in its sole discretion by providing each Buyer with
prior written notice thereof:

 

(a)          Such
Buyer shall have executed each of the other Transaction Documents
to which it is a party and delivered the same to the
Company.

 

(b)          Such
Buyer and each other Buyer shall have delivered to the Company the
Purchase Price for the Common Shares and the related Warrants being
purchased by such Buyer at the Closing by wire transfer of
immediately available funds in accordance with the Flow of Funds
Letter.

 

 

(c)          The
representations and warranties of such Buyer shall be true and
correct in all material respects as of the date when made and as of
the Closing Date as though originally made at that time (except for
representations and warranties that speak as of a specific date,
which shall be true and correct as of such specific date), and such
Buyer shall have performed, satisfied and complied in all material
respects with the covenants, agreements and conditions required by
this Agreement to be performed, satisfied or complied with by such
Buyer at or prior to the Closing Date.

 

	
 

	

7.

	

CONDITIONS TO EACH BUYER’S OBLIGATION TO
PURCHASE.

 

The
obligation of each Buyer hereunder to purchase its Common Shares
and its related Warrants at the Closing is subject to the
satisfaction, at or before the Closing Date, of each of the
following conditions, provided that these conditions are for each
Buyer’s sole benefit and may be waived by such Buyer at any
time in its sole discretion by providing the Company with prior
written notice thereof:

 

(a)          The
Company shall have duly executed and delivered to such Buyer each
of the Transaction Documents and the Company shall have duly
executed and delivered to such Buyer (x) such aggregate number of
Common Shares set forth across from such Buyer’s name in
column (3) of the Schedule of Buyers, and (y) Warrants (initially
for such aggregate number of Warrant Shares as is set forth across
from such Buyer’s name in column (4) of the Schedule of
Buyers), in each case, as being purchased by such Buyer at the
Closing pursuant to this Agreement.

 

(b)          Such
Buyer, the Lead Placement Agent and the Co-Lead Placement Agent
shall have received the opinion of Ortoli Rosenstadt LLP, the
Company’s counsel, dated as of the Closing Date, in the form
acceptable to such Buyer.

 

(c)          The
Company shall have delivered to such Buyer a copy of the
Irrevocable Transfer Agent Instructions, in the form acceptable to
such Buyer, which instructions shall have been delivered to and
acknowledged in writing by the Company’s transfer
agent.

 

(d)          The
Company shall have delivered to such Buyer a certificate evidencing
the formation and good standing of the Company in such
entity’s jurisdiction of formation issued by the Secretary of
State (or comparable office) of such jurisdiction of formation as
of a date within twenty (20) days of the Closing Date.

 

(e)          The
Company shall have delivered to such Buyer a certificate evidencing
the Company’s qualification as a foreign corporation and good
standing issued by the Secretary of State (or comparable office) of
each jurisdiction in which the Company conducts business and is
required to so qualify, as of a date within twenty (20) days of the
Closing Date.

 

(f)           The
Company shall have delivered to such Buyer a certified copy of the
Articles of Incorporation as certified by the Nevada Secretary of
State within twenty (20) days of the Closing Date.

 

(g)          The
Company shall have delivered to such Buyer a certificate, in the
form acceptable to such Buyer, executed by the Chief Executive
Officer of the Company and dated as of the Closing Date, as to (i)
the resolutions consistent with Section 3(b) as adopted by the
Company’s board of directors in a form reasonably acceptable
to such Buyer, (ii) the Articles of Incorporation of the Company,
(iii) the By-laws of the Company, each as in effect at the
Closing, (iv) stating the matter in Section 7(h) and (v) as to such
other matters as may be reasonably requested by such Buyer in the
form acceptable to such Buyer.

 

(h)          Each
and every representation and warranty of the Company shall be true
and correct as of the date when made and as of the Closing Date as
though originally made at that time (except for representations and
warranties that speak as of a specific date, which shall be true
and correct as of such specific date) and the Company shall have
performed, satisfied and complied in all respects with the
covenants, agreements and conditions required to be performed,
satisfied or complied with by the Company at or prior to the
Closing Date.

 

 (i)           The
Company shall have delivered to such Buyer a letter from the
Company’s transfer agent certifying the number of shares of
Common Stock outstanding on the Closing Date immediately prior to
the Closing.

 

(j)           The
Common Stock (A) shall be designated for quotation or listed (as
applicable) on the Principal Market and (B) shall not have been
suspended, as of the Closing Date, by the SEC or the Principal
Market from trading on the Principal Market.

 

 

11

 

 

 

 

(k)          The
Company shall have obtained all governmental, regulatory or third
party consents and approvals, if any, necessary for the sale of the
Securities, including without limitation, those required by the
Principal Market, if any.

 

(l)           No
statute, rule, regulation, executive order, decree, ruling or
injunction shall have been enacted, entered, promulgated or
endorsed by any court or Governmental Entity of competent
jurisdiction that prohibits the consummation of any of the
transactions contemplated by the Transaction
Documents.

 

(m)         Since
the date of execution of this Agreement, no event or series of
events shall have occurred that reasonably would have or result in
a Material Adverse Effect.

 

(n)          Reserved.

 

(o)          Such
Buyer shall have received a letter on the letterhead of the
Company, duly executed by the Chief Executive Officer of the
Company, setting forth the wire amounts of each Buyer and the wire
transfer instructions of the Company (the “Flow of Funds
Letter”).

 

(p)          From
the date hereof to the Closing Date, (i) trading in the Common
Stock shall not have been suspended by the SEC or the Principal
Market (except for any suspension of trading of limited duration
agreed to by the Company, which suspension shall be terminated
prior to the Closing), and, (ii) at any time prior to the Closing
Date, trading in securities generally as reported by Bloomberg L.P.
shall not have been suspended or limited, or minimum prices shall
not have been established on securities whose trades are reported
by such service, or on the Principal Market, nor shall a banking
moratorium have been declared either by the United States or New
York State authorities nor shall there have occurred any material
outbreak or escalation of hostilities or other national or
international calamity of such magnitude in its effect on, or any
material adverse change in, any financial market which, in each
case, in the reasonable judgment of each Buyer, makes it
impracticable or inadvisable to purchase the Securities at the
Closing

 

(q)          The
Registration Statement shall be effective and available for the
issuance and sale of the Securities hereunder and the Company shall
have delivered to such Buyer the Prospectus as required
thereunder.

 

(r)           The
Company and its Subsidiaries shall have delivered to such Buyer
such other documents, instruments or certificates relating to the
transactions contemplated by this Agreement as such Buyer or its
counsel may reasonably request. 

 

	
 

	

8.

	

TERMINATION.

 

In the
event that the Closing shall not have occurred with respect to a
Buyer within five (5) days of the date hereof, then such Buyer
shall have the right to terminate its obligations under this
Agreement with respect to itself at any time on or after the close
of business on such date without liability of such Buyer to any
other party; provided, however, (i) the right to terminate this
Agreement under this Section 8 shall not be available to such
Buyer if the failure of the transactions contemplated by this
Agreement to have been consummated by such date is the result of
such Buyer’s breach of this Agreement and (ii) the
abandonment of the sale and purchase of the Common Shares and the
Warrants shall be applicable only to such Buyer providing such
written notice, provided further that no such termination shall
affect any obligation of the Company under this Agreement to
reimburse such Buyer for the expenses described in
Section 4(j) above. Nothing contained in this Section 8
shall be deemed to release any party from any liability for any
breach by such party of the terms and provisions of this Agreement
or the other Transaction Documents or to impair the right of any
party to compel specific performance by any other party of its
obligations under this Agreement or the other Transaction
Documents.

 

	
 

	

9.

	

MISCELLANEOUS.

 

(a)          Governing
Law; Jurisdiction; Jury Trial.
All questions concerning the construction, validity, enforcement
and interpretation of this Agreement shall be governed by the
internal laws of the State of New York, without giving effect to
any choice of law or conflict of law provision or rule (whether of
the State of New York or any other jurisdictions) that would cause
the application of the laws of any jurisdictions other than the
State of New York. The Company and each Buyer hereby irrevocably
submit to the exclusive jurisdiction of the state and federal
courts sitting in The City of New York, Borough of Manhattan, for
the adjudication of any dispute hereunder or in connection herewith
or under any of the other Transaction Documents or with any
transaction contemplated hereby or thereby, and hereby irrevocably
waives, and agrees not to assert in any suit, action or proceeding,
any claim that it is not personally subject to the jurisdiction of
any such court, that such suit, action or proceeding is brought in
an inconvenient forum or that the venue of such suit, action or
proceeding is improper. Each party hereby irrevocably waives
personal service of process and consents to process being served in
any such suit, action or proceeding by mailing a copy thereof to
such party at the address for such notices to it under this
Agreement and agrees that such service shall constitute good and
sufficient service of process and notice thereof. Nothing contained
herein shall be deemed to limit in any way any right to serve
process in any manner permitted by law. Nothing contained herein
shall be deemed or operate to preclude any Buyer from bringing suit
or taking other legal action against the Company in any other
jurisdiction to enforce a judgment or other court ruling in favor
of such Buyer. EACH PARTY HEREBY IRREVOCABLY
WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY
TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR UNDER ANY
OTHER TRANSACTION DOCUMENT OR IN CONNECTION WITH OR ARISING OUT OF
THIS AGREEMENT, ANY OTHER TRANSACTION DOCUMENT OR ANY TRANSACTION
CONTEMPLATED HEREBY OR THEREBY. 

 

(b)          Counterparts.
This Agreement may be executed in two or more identical
counterparts, all of which shall be considered one and the same
agreement and shall become effective when counterparts have been
signed by each party and delivered to the other party. In the event
that any signature is delivered by facsimile transmission or by an
e-mail which contains a portable document format (.pdf) file of an
executed signature page, such signature page shall create a valid
and binding obligation of the party executing (or on whose behalf
such signature is executed) with the same force and effect as if
such signature page were an original thereof.

 

(c)          Headings;
Gender. The headings of this Agreement are for convenience
of reference and shall not form part of, or affect the
interpretation of, this Agreement. Unless the context clearly
indicates otherwise, each pronoun herein shall be deemed to include
the masculine, feminine, neuter, singular and plural forms thereof.
The terms “including,” “includes,”
“include” and words of like import shall be construed
broadly as if followed by the words “without
limitation.” The terms “herein,”
“hereunder,” “hereof” and words of like
import refer to this entire Agreement instead of just the provision
in which they are found.

 

12

 

 

 

 

(d)          Severability;
Maximum Payment Amounts. If any provision of this Agreement
is prohibited by law or otherwise determined to be invalid or
unenforceable by a court of competent jurisdiction, the provision
that would otherwise be prohibited, invalid or unenforceable shall
be deemed amended to apply to the broadest extent that it would be
valid and enforceable, and the invalidity or unenforceability of
such provision shall not affect the validity of the remaining
provisions of this Agreement so long as this Agreement as so
modified continues to express, without material change, the
original intentions of the parties as to the subject matter hereof
and the prohibited nature, invalidity or unenforceability of the
provision(s) in question does not substantially impair the
respective expectations or reciprocal obligations of the parties or
the practical realization of the benefits that would otherwise be
conferred upon the parties. The parties will endeavor in good faith
negotiations to replace the prohibited, invalid or unenforceable
provision(s) with a valid provision(s), the effect of which comes
as close as possible to that of the prohibited, invalid or
unenforceable provision(s). Notwithstanding anything to the
contrary contained in this Agreement or any other Transaction
Document (and without implication that the following is required or
applicable), it is the intention of the parties that in no event
shall amounts and value paid by the Company and/or any of its
Subsidiaries (as the case may be), or payable to or received by any
of the Buyers, under the Transaction Documents (including without
limitation, any amounts that would be characterized as
“interest” under applicable law) exceed amounts
permitted under any applicable law. Accordingly, if any obligation
to pay, payment made to any Buyer, or collection by any Buyer
pursuant the Transaction Documents is finally judicially determined
to be contrary to any such applicable law, such obligation to pay,
payment or collection shall be deemed to have been made by mutual
mistake of such Buyer, the Company and its Subsidiaries and such
amount shall be deemed to have been adjusted with retroactive
effect to the maximum amount or rate of interest, as the case may
be, as would not be so prohibited by the applicable law. Such
adjustment shall be effected, to the extent necessary, by reducing
or refunding, at the option of such Buyer, the amount of interest
or any other amounts which would constitute unlawful amounts
required to be paid or actually paid to such Buyer under the
Transaction Documents. For greater certainty, to the extent that
any interest, charges, fees, expenses or other amounts required to
be paid to or received by such Buyer under any of the Transaction
Documents or related thereto are held to be within the meaning of
“interest” or another applicable term to otherwise be
violative of applicable law, such amounts shall be pro-rated over
the period of time to which they relate.

 

 (e)          Entire
Agreement; Amendments. This Agreement, the other Transaction
Documents and the schedules and exhibits attached hereto and
thereto and the instruments referenced herein and therein supersede
all other prior oral or written agreements between the Buyers, the
Company, its Subsidiaries, their affiliates and Persons acting on
their behalf, including, without limitation, any transactions by
any Buyer with respect to Common Stock or the Securities, and the
other matters contained herein and therein, and this Agreement, the
other Transaction Documents, the schedules and exhibits attached
hereto and thereto and the instruments referenced herein and
therein contain the entire understanding of the parties solely with
respect to the matters covered herein and therein; provided,
however, nothing contained in this Agreement or any other
Transaction Document shall (or shall be deemed to) (i) have any
effect on any agreements any Buyer has entered into with, or any
instruments any Buyer has received from, the Company or any of its
Subsidiaries prior to the date hereof with respect to any prior
investment made by such Buyer in the Company or (ii) waive, alter,
modify or amend in any respect any obligations of the Company or
any of its Subsidiaries, or any rights of or benefits to any Buyer
or any other Person, in any agreement entered into prior to the
date hereof between or among the Company and/or any of its
Subsidiaries and any Buyer, or any instruments any Buyer received
from the Company and/or any of its Subsidiaries prior to the date
hereof, and all such agreements and instruments shall continue in
full force and effect. Except as specifically set forth herein or
therein, neither the Company nor any Buyer makes any
representation, warranty, covenant or undertaking with respect to
such matters. For clarification purposes, the Recitals are part of
this Agreement. No provision of this Agreement may be amended other
than by an instrument in writing signed by the Company and the
Required Holders (as defined below), and any amendment to any
provision of this Agreement made in conformity with the provisions
of this Section 9(e) shall be binding on all Buyers and
holders of Securities, as applicable, provided that no such
amendment shall be effective to the extent that it (A) applies to
less than all of the holders of the Securities then outstanding or
(B) imposes any obligation or liability on any Buyer without such
Buyer’s prior written consent (which may be granted or
withheld in such Buyer’s sole discretion); provided further
that any such amendment or waiver that materially and adversely
affects the rights of the Placement Agent shall require the prior
written consent of the Placement Agent. No waiver shall be
effective unless it is in writing and signed by an authorized
representative of the waiving party, provided that the Required
Holders may waive any provision of this Agreement, and any waiver
of any provision of this Agreement made in conformity with the
provisions of this Section 9(e) shall be binding on all Buyers
and holders of Securities, as applicable, provided that no such
waiver shall be effective to the extent that it (1) applies to less
than all of the holders of the Securities then outstanding (unless
a party gives a waiver as to itself only) or (2) imposes any
obligation or liability on any Buyer without such Buyer’s
prior written consent (which may be granted or withheld in such
Buyer’s sole discretion). No consideration (other than
reimbursement of legal fees) shall be offered or paid to any Person
to amend or consent to a waiver or modification of any provision of
any of the Transaction Documents unless the same consideration also
is offered to all of the parties to the Transaction Documents, all
holders of the Common Shares, or all holders of the Warrants (as
the case may be). From the date hereof and while any Warrants are
outstanding, the Company shall not be permitted to receive any
consideration from a Buyer or a holder of Warrants that is not
otherwise contemplated by the Transaction Documents in order to,
directly or indirectly, induce the Company or any Subsidiary (i) to
treat such Buyer or holder of Warrants in a manner that is more
favorable than to other similarly situated Buyers or holders of
Warrants, as applicable, or (ii) to treat any Buyer(s) or holder(s)
of Warrants in a manner that is less favorable than the Buyer or
holder of Warrants that is paying such consideration; provided,
however, that the determination of whether a Buyer has been treated
more or less favorably than another Buyer shall disregard any
securities of the Company purchased or sold by any Buyer. The
Company has not, directly or indirectly, made any agreements with
any Buyers relating to the terms or conditions of the transactions
contemplated by the Transaction Documents except as set forth in
the Transaction Documents. Without limiting the foregoing, the
Company confirms that, except as set forth in this Agreement, no
Buyer has made any commitment or promise or has any other
obligation to provide any financing to the Company, any Subsidiary
or otherwise. As a material inducement for each Buyer to enter into
this Agreement, the Company expressly acknowledges and agrees that
(x) no due diligence or other investigation or inquiry conducted by
a Buyer, any of its advisors or any of its representatives shall
affect such Buyer’s right to rely on, or shall modify or
qualify in any manner or be an exception to any of, the
Company’s representations and warranties contained in this
Agreement or any other Transaction Document and (y) unless a
provision of this Agreement or any other Transaction Document is
expressly preceded by the phrase “except as disclosed in the
SEC Documents,” nothing contained in any of the SEC Documents
shall affect such Buyer’s right to rely on, or shall modify
or qualify in any manner or be an exception to any of, the
Company’s representations and warranties contained in this
Agreement or any other Transaction Document. “Required Holders” means (I) prior
to the Closing Date, Buyers entitled to purchase, in the aggregate,
at least a majority of the number of Common Shares at the Closing
and (II) on or after the Closing Date, holders of, in the
aggregate, at least a majority of the Underlying Securities as of
such time (excluding any Underlying Securities held by the Company
or any of its Subsidiaries as of such time) issued or issuable
hereunder or pursuant to the Warrants. 

 

(f)           Notices.
Any notices, consents, waivers or other communications required or
permitted to be given under the terms of this Agreement must be in
writing and will be deemed to have been delivered: (i) upon
receipt, when delivered personally; (ii) upon receipt, when sent by
facsimile (provided confirmation of transmission is mechanically or
electronically generated and kept on file by the sending party) or
electronic mail (provided that such sent email is kept on file
(whether electronically or otherwise) by the sending party and the
sending party does not receive an automatically generated message
from the recipient's email server that such e-mail could not be
delivered to such recipient); or (iii) one (1) Business Day after
deposit with an overnight courier service with next day delivery
specified, in each case, properly addressed to the party to receive
the same. The addresses, facsimile numbers and e-mail addresses for
such communications shall be:

 

If to
the Company:

 

Q
BioMed Inc.

c/o
Ortoli Rosenstadt LLP

501
Madison Avenue, New York NY 11238

Telephone:
212-588-0022

Facsimile:
212-826-9307

Attention: Denis
Corin

E-Mail:
dcorin@qbiomed.com

 

With a
copy (for informational purposes only) to:

 

 

Ortoli
Rosenstadt LLP

501
Madison Avenue, New York NY 11238

Telephone:
212-588-0022

Facsimile:
212-826-9307

Attention: William
Rosenstadt

E-Mail:
wsr@ortolirosenstadt.com

 

 

 

If to
the Transfer Agent:

 

VStock
Transfer, LLC

18
Lafayette Place

Woodmere, New York
11598

Phone:
(212) 828-8436 Ext. 123

Facsimile: (646)
536-3179

 

 

13

 

 

 

 

 

If to a
Buyer, to its address, e-mail address and facsimile number set
forth on the Schedule of Buyers, with copies to such Buyer’s
representatives as set forth on the Schedule of
Buyers.

 

If to
the Placement Agent:

 

Roth
Capital Partners, LLC

888 San
Clemente Drive

Newport
Beach, CA 92660

Facsimile: (949)
720-7215

Attention:
Aaron M. Gurewitz

E-mail:
agurewitz@roth.com

 

With a
copy (for informational purposes only) to:

 

Sichenzia Ross
Ference Kesner LLP

 

1185
Avenue of the Americas, 37th Floor

 

New
York, NY 10036

 

Telephone:
(212) 930-9700

 

Facsimile:
(212) 930-9725

 

Attention:
Gregory Sichenzia, Esq.

 

E-mail:
gsichenzia@srfkllp.com

 

or, in
each case, to such other address, e-mail address and/or facsimile
number and/or to the attention of such other Person as the
recipient party has specified by written notice given to each other
party five (5) days prior to the effectiveness of such change.
Written confirmation of receipt (A) given by the recipient of such
notice, consent, waiver or other communication, (B) mechanically or
electronically generated by the sender’s facsimile machine or
e-mail containing the time, date, recipient facsimile number and,
with respect to each facsimile transmission, an image of the first
page of such transmission or (C) provided by an overnight courier
service shall be rebuttable evidence of personal service, receipt
by facsimile or receipt from an overnight courier service in
accordance with clause (i), (ii) or (iii) above,
respectively.

 

 (g)          Successors
and Assigns. This Agreement shall be binding upon and inure
to the benefit of the parties and their respective successors and
assigns, including any purchasers of any of the Warrants (but
excluding any purchasers of Underlying Securities, unless pursuant
to a written assignment by such Buyer). The Company shall not
assign this Agreement or any rights or obligations hereunder
without the prior written consent of the Required Holders,
including, without limitation, by way of a Fundamental Transaction
(as defined in the Warrants) (unless the Company is in compliance
with the applicable provisions governing Fundamental Transactions
set forth in the Warrants). A Buyer may assign some or all of its
rights hereunder in connection with any transfer of any of its
Securities without the consent of the Company, in which event such
assignee shall be deemed to be a Buyer hereunder with respect to
such assigned rights.

 

(h)          No
Third Party Beneficiaries. This Agreement is intended for
the benefit of the parties hereto and their respective permitted
successors and assigns, and is not for the benefit of, nor may any
provision hereof be enforced by, any other Person, other than (i)
the Indemnitees referred to in Section 9(m) and (ii) the
Placement Agent shall be a third party beneficiary of this Section
9(h) and Sections 1(e), 2(e), 2(f), 3(g), 3(ee), 4(j), 4(s), 7(b),
9(e) and 9(i).

 

(i)           Reliance
by the Placement Agent. Each party agrees and acknowledges
that the Placement Agent may rely on the representations,
warranties, agreements and covenants of the Company contained in
this Agreement and may rely on the representations and warranties
of the respective Buyers contained in this Agreement as if such
representations, warranties, agreements, and covenants, as
applicable, were made directly to the Placement Agent. The parties
further agree that the Placement Agent may rely on or, if the
Placement Agent so requests, be specifically named as an addressee
of, the legal opinions to be delivered pursuant to Section 7(b) of
this Agreement.

 

(j)           Exculpation
of Placement Agent. Each party hereto agrees for the express
benefit of each of the Placement Agent, their affiliates and
representatives that:

 

(i)            Neither
the Placement Agent nor any of its affiliates or any of its
representatives (1) has any duties or obligations other than those
specifically set forth herein or in the Engagement Letter; (2)
shall be liable for any improper payment made in accordance with
the information provided by the Company; (3) makes any
representation or warranty, or has any responsibilities as to the
validity, accuracy, value or genuineness of any information,
certificates or documentation delivered by or on behalf of the
Company pursuant to this Agreement or the Transaction Documents or
in connection with any of the transactions contemplated hereby; or
(4) shall be liable (x) for any action taken, suffered or omitted
by any of them in good faith and reasonably believed to be
authorized or within the discretion or rights or powers conferred
upon it by this Agreement or any Transaction Document or (y) for
anything which any of them may do or refrain from doing in
connection with this Agreement or any Transaction Document, except
for such party's own gross negligence, willful misconduct or bad
faith.

 

(ii)           The
Placement Agent, and its affiliates and representatives shall be
entitled to (1) rely on, and shall be protected in acting upon, any
certificate, instrument, opinion, notice, letter or any other
document or security delivered to any of them by or on behalf of
the Company, and (2) be indemnified by the Company for acting as
Placement Agent hereunder pursuant the indemnification provisions
set forth in the Engagement Letter.

 

(k)          Survival.
The representations, warranties, agreements and covenants shall
survive the Closing. Each Buyer shall be responsible only for its
own representations, warranties, agreements and covenants
hereunder.

 

 (l)           Further
Assurances. Each party shall do and perform, or cause to be
done and performed, all such further acts and things, and shall
execute and deliver all such other agreements, certificates,
instruments and documents, as any other party may reasonably
request in order to carry out the intent and accomplish the
purposes of this Agreement and the consummation of the transactions
contemplated hereby.

 

 

14

 

 

 

 

(m)         Indemnification.

 

(i)            In
consideration of each Buyer’s execution and delivery of the
Transaction Documents and acquiring the Securities thereunder and
in addition to all of the Company’s other obligations under
the Transaction Documents, the Company shall defend, protect,
indemnify and hold harmless each Buyer and each holder of any
Securities and all of their stockholders, partners, members,
officers, directors, employees and direct or indirect investors and
any of the foregoing Persons’ agents or other representatives
(including, without limitation, those retained in connection with
the transactions contemplated by this Agreement) (collectively, the
“Indemnitees”)
from and against any and all actions, causes of action, suits,
claims, losses, costs, penalties, fees, liabilities and damages,
and expenses in connection therewith (irrespective of whether any
such Indemnitee is a party to the action for which indemnification
hereunder is sought), and including reasonable attorneys’
fees and disbursements (the “Indemnified Liabilities”),
incurred by any Indemnitee as a result of, or arising out of, or
relating to (i) any misrepresentation or breach of any
representation or warranty made by the Company or any Subsidiary in
any of the Transaction Documents, (ii) any breach of any covenant,
agreement or obligation of the Company or any Subsidiary contained
in any of the Transaction Documents or (iii) any cause of action,
suit, proceeding or claim brought or made against such Indemnitee
by a third party (including for these purposes a derivative action
brought on behalf of the Company or any Subsidiary) or which
otherwise involves such Indemnitee that arises out of or results
from (A) the execution, delivery, performance or enforcement of any
of the Transaction Documents, (B) any transaction financed or to be
financed in whole or in part, directly or indirectly, with the
proceeds of the issuance of the Securities, (C) any disclosure
properly made by such Buyer pursuant to Section 4(k), or (D)
the status of such Buyer or holder of the Securities either as an
investor in the Company pursuant to the transactions contemplated
by the Transaction Documents or as a party to this Agreement
(including, without limitation, as a party in interest or otherwise
in any action or proceeding for injunctive or other equitable
relief). To the extent that the foregoing undertaking by the
Company may be unenforceable for any reason, the Company shall make
the maximum contribution to the payment and satisfaction of each of
the Indemnified Liabilities which is permissible under applicable
law.

 

(ii)           Promptly
after receipt by an Indemnitee under this Section 9(m) of notice of
the commencement of any action or proceeding (including any
governmental action or proceeding) involving an Indemnified
Liability, such Indemnitee shall, if a claim in respect thereof is
to be made against the Company under this Section 9(m), deliver to
the Company a written notice of the commencement thereof, and the
Company shall have the right to participate in, and, to the extent
the Company so desires, to assume control of the defense thereof
with counsel mutually satisfactory to the Company and the
Indemnitee; provided, however, that an Indemnitee shall have the
right to retain its own counsel with the fees and expenses of such
counsel to be paid by the Company if: (A) the Company has agreed in
writing to pay such fees and expenses; (B) the Company shall have
failed promptly to assume the defense of such Indemnified Liability
and to employ counsel reasonably satisfactory to such Indemnitee in
any such Indemnified Liability; or (C) the named parties to any
such Indemnified Liability (including any impleaded parties)
include both such Indemnitee and the Company, and such Indemnitee
shall have been advised by counsel that a conflict of interest is
likely to exist if the same counsel were to represent such
Indemnitee and the Company (in which case, if such Indemnitee
notifies the Company in writing that it elects to employ separate
counsel at the expense of the Company, then the Company shall not
have the right to assume the defense thereof and such counsel shall
be at the expense of the Company), provided further, that in the
case of clause (C) above the Company shall not be responsible for
the reasonable fees and expenses of more than one (1) separate
legal counsel for the Indemnitees. The Indemnitee shall reasonably
cooperate with the Company in connection with any negotiation or
defense of any such action or Indemnified Liability by the Company
and shall furnish to the Company all information reasonably
available to the Indemnitee which relates to such action or
Indemnified Liability. The Company shall keep the Indemnitee
reasonably apprised at all times as to the status of the defense or
any settlement negotiations with respect thereto. The Company shall
not be liable for any settlement of any action, claim or proceeding
effected without its prior written consent, provided, however, that
the Company shall not unreasonably withhold, delay or condition its
consent. The Company shall not, without the prior written consent
of the Indemnitee, consent to entry of any judgment or enter into
any settlement or other compromise which does not include as an
unconditional term thereof the giving by the claimant or plaintiff
to such Indemnitee of a release from all liability in respect to
such Indemnified Liability or litigation, and such settlement shall
not include any admission as to fault on the part of the
Indemnitee. Following indemnification as provided for hereunder,
the Company shall be subrogated to all rights of the Indemnitee
with respect to all third parties, firms or corporations relating
to the matter for which indemnification has been made. The failure
to deliver written notice to the Company within a reasonable time
of the commencement of any such action shall not relieve the
Company of any liability to the Indemnitee under this Section 9(m),
except to the extent that the Company is materially and adversely
prejudiced in its ability to defend such action.

 

 (iii)          The
indemnification required by this Section 9(m) shall be made by
periodic payments of the amount thereof during the course of the
investigation or defense, within ten (10) days after bills are
received or Indemnified Liabilities are incurred.

 

(iv)          The
indemnity agreement contained herein shall be in addition to (A)
any cause of action or similar right of the Indemnitee against the
Company or others, and (B) any liabilities the Company may be
subject to pursuant to the law.

 

(n)          Construction.
The language used in this Agreement will be deemed to be the
language chosen by the parties to express their mutual intent, and
no rules of strict construction will be applied against any party.
No specific representation or warranty shall limit the generality
or applicability of a more general representation or warranty. Each
and every reference to share prices, shares of Common Stock and any
other numbers in this Agreement that relate to the Common Stock
shall be automatically adjusted for any stock splits, stock
dividends, stock combinations, recapitalizations or other similar
transactions that occur with respect to the Common Stock after the
date of this Agreement. Notwithstanding anything in this Agreement
to the contrary, for the avoidance of doubt, nothing contained
herein shall constitute a representation or warranty against, or a
prohibition of, any actions with respect to the borrowing of,
arrangement to borrow, identification of the availability of,
and/or securing of, securities of the Company in order for such
Buyer (or its broker or other financial representative) to effect
short sales or similar transactions in the future.

 

(o)          Remedies.
Each Buyer and in the event of assignment by Buyer of its rights
and obligations hereunder, each holder of Securities, shall have
all rights and remedies set forth in the Transaction Documents and
all rights and remedies which such holders have been granted at any
time under any other agreement or contract and all of the rights
which such holders have under any law. Any Person having any rights
under any provision of this Agreement shall be entitled to enforce
such rights specifically (without posting a bond or other
security), to recover damages by reason of any breach of any
provision of this Agreement and to exercise all other rights
granted by law. Furthermore, the Company recognizes that in the
event that it or any Subsidiary fails to perform, observe, or
discharge any or all of its or such Subsidiary’s (as the case
may be) obligations under the Transaction Documents, any remedy at
law would inadequate relief to the Buyers. The Company therefore
agrees that the Buyers shall be entitled to specific performance
and/or temporary, preliminary and permanent injunctive or other
equitable relief from any court of competent jurisdiction in any
such case without the necessity of proving actual damages and
without posting a bond or other security. The remedies provided in
this Agreement and the other Transaction Documents shall be
cumulative and in addition to all other remedies available under
this Agreement and the other Transaction Documents, at law or in
equity (including a decree of specific performance and/or other
injunctive relief).

 

(p)          Withdrawal
Right. Notwithstanding anything to the contrary contained in
(and without limiting any similar provisions of) the Transaction
Documents, whenever any Buyer exercises a right, election, demand
or option under a Transaction Document and the Company or any
Subsidiary does not timely perform its related obligations within
the periods therein provided, then such Buyer may rescind or
withdraw, in its sole discretion from time to time upon written
notice to the Company or such Subsidiary (as the case may be), any
relevant notice, demand or election in whole or in part without
prejudice to its future actions and rights.

 

(q)          Payment
Set Aside; Currency. To the extent that the Company makes a
payment or payments to any Buyer hereunder or pursuant to any of
the other Transaction Documents or any of the Buyers enforce or
exercise their rights hereunder or thereunder, and such payment or
payments or the proceeds of such enforcement or exercise or any
part thereof are subsequently invalidated, declared to be
fraudulent or preferential, set aside, recovered from, disgorged by
or are required to be refunded, repaid or otherwise restored to the
Company, a trustee, receiver or any other Person under any law
(including, without limitation, any bankruptcy law, foreign, state
or federal law, common law or equitable cause of action), then to
the extent of any such restoration the obligation or part thereof
originally intended to be satisfied shall be revived and continued
in full force and effect as if such payment had not been made or
such enforcement or setoff had not occurred. Unless otherwise
expressly indicated, all dollar amounts referred to in this
Agreement and the other Transaction Documents are in United States
Dollars (“U.S.
Dollars”), and all amounts owing under this Agreement
and all other Transaction Documents shall be paid in U.S. Dollars.
All amounts denominated in other currencies (if any) shall be
converted into the U.S. Dollar equivalent amount in accordance with
the Exchange Rate on the date of calculation. “Exchange Rate” means, in relation
to any amount of currency to be converted into U.S. Dollars
pursuant to this Agreement, the U.S. Dollar exchange rate as
published in the Wall Street Journal on the relevant date of
calculation.

 

 (r)           Judgment
Currency.

 

(i)            If
for the purpose of obtaining or enforcing judgment against the
Company in connection with this Agreement or any other Transaction
Document in any court in any jurisdiction it becomes necessary to
convert into any other currency (such other currency being
hereinafter in this Section 9(r) referred to as the
“Judgment
Currency”) an amount due in US Dollars under this
Agreement, the conversion shall be made at the Exchange Rate
prevailing on the Trading Day (as defined in the Warrants)
immediately preceding:

 

(1)          the
date actual payment of the amount due, in the case of any
proceeding in the courts of New York or in the courts of any other
jurisdiction that will give effect to such conversion being made on
such date: or

 

(2)          the
date on which the foreign court determines, in the case of any
proceeding in the courts of any other jurisdiction (the date as of
which such conversion is made pursuant to Section 9(r)(i)(1)
being hereinafter referred to as the “Judgment Conversion
Date”).

 

(ii)           If
in the case of any proceeding in the court of any jurisdiction
referred to in Section 9(r)(i)(1) above, there is a change in
the Exchange Rate prevailing between the Judgment Conversion Date
and the date of actual payment of the amount due, the applicable
party shall pay such adjusted amount as may be necessary to ensure
that the amount paid in the Judgment Currency, when converted at
the Exchange Rate prevailing on the date of payment, will produce
the amount of US Dollars which could have been purchased with the
amount of Judgment Currency stipulated in the judgment or judicial
order at the Exchange Rate prevailing on the Judgment Conversion
Date.

 

(iii)          Any
amount due from the Company under this provision shall be due as a
separate debt and shall not be affected by judgment being obtained
for any other amounts due under or in respect of this Agreement or
any other Transaction Document.

 

(s)          Independent
Nature of Buyers’ Obligations and Rights. The
obligations of each Buyer under the Transaction Documents are
several and not joint with the obligations of any other Buyer, and
no Buyer shall be responsible in any way for the performance of the
obligations of any other Buyer under any Transaction Document.
Nothing contained herein or in any other Transaction Document, and
no action taken by any Buyer pursuant hereto or thereto, shall be
deemed to constitute the Buyers as, and the Company acknowledges
that the Buyers do not so constitute, a partnership, an
association, a joint venture or any other kind of group or entity,
or create a presumption that the Buyers are in any way acting in
concert or as a group or entity, and the Company shall not assert
any such claim with respect to such obligations or the transactions
contemplated by the Transaction Documents or any matters, and the
Company acknowledges that the Buyers are not acting in concert or
as a group, and the Company shall not assert any such claim, with
respect to such obligations or the transactions contemplated by the
Transaction Documents. The decision of each Buyer to purchase
Securities pursuant to the Transaction Documents has been made by
such Buyer independently of any other Buyer. Each Buyer
acknowledges that no other Buyer has acted as agent for such Buyer
in connection with such Buyer making its investment hereunder and
that no other Buyer will be acting as agent of such Buyer in
connection with monitoring such Buyer’s investment in the
Securities or enforcing its rights under the Transaction Documents.
The Company and each Buyer confirms that each Buyer has
independently participated with the Company and its Subsidiaries in
the negotiation of the transaction contemplated hereby with the
advice of its own counsel and advisors. Each Buyer shall be
entitled to independently protect and enforce its rights,
including, without limitation, the rights arising out of this
Agreement or out of any other Transaction Documents, and it shall
not be necessary for any other Buyer to be joined as an additional
party in any proceeding for such purpose. The use of a single
agreement to effectuate the purchase and sale of the Securities
contemplated hereby was solely in the control of the Company, not
the action or decision of any Buyer, and was done solely for the
convenience of the Company and its Subsidiaries and not because it
was required or requested to do so by any Buyer. It is expressly
understood and agreed that each provision contained in this
Agreement and in each other Transaction Document is between the
Company, each Subsidiary and a Buyer, solely, and not between the
Company, its Subsidiaries and the Buyers collectively and not
between and among the Buyers.

 

[signature
pages follow]

 

15

 

 

 

 

 

 

IN WITNESS WHEREOF, each Buyer and the
Company have caused their respective signature page to this
Agreement to be duly executed as of the date first written
above.

 

	
 

	

COMPANY:

	
 

	
 

	
 

	
 

	
 

	

Q BIOMED INC.

	
 

	
 

	
 

	
 

	
 

	

By: 

	

    

	
 

	
 

	

Name:Title:

 

	
 

	
 

	
 

 

 
16

 

 

 

 

 

 

 

IN WITNESS WHEREOF, each Buyer and the
Company have caused their respective signature page to this
Agreement to be duly executed as of the date first written
above.

 

	
 

	

BUYER:

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	

By: 

	

    

	
 

	
 

	

Name:Title:

 

 

☐
Notwithstanding anything contained in this Agreement to the
contrary, by checking this box (i) the obligations of the
above-signed to purchase the securities set forth in this Agreement
to be purchased from the Company by the above-signed, and the
obligations of the Company to sell such securities to the
above-signed, shall be unconditional and all conditions to Closing
shall be disregarded, (ii) the Closing shall occur on the second
(2nd)
Trading Day following the date of this Agreement and (iii) any
condition to Closing contemplated by this Agreement (but prior to
being disregarded by clause (i) above) that required delivery by
the Company or the above-signed of any agreement, instrument,
certificate or the like or purchase price (as applicable) shall no
longer be a condition and shall instead be an unconditional
obligation of the Company or the above-signed (as applicable) to
deliver such agreement, instrument, certificate or the like or
purchase price (as applicable) to such other party on the Closing
Date. 

 

 17

 

 

 

 

	
 

	
 

	
 

 

 

 

SCHEDULE OF BUYERS 

 

	
 

	

(1)

	
 

	
 

	
 

	

(2)

	
 

	
 

	
 

	

(3)

	
 

	
 

	
 

	
 

	
 

	
 

	

(4)

	
 

	
 

	
 

	

(5)

	
 

	
 

	
 

	

(6)

	
 

	

(7)

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	

Buyer

	
 

	
 

	
 

	

Address and Facsimile Number

	
 

	
 

	
 

	

AggregateNumber ofCommon Shares

	
 

	
 

	
 

	
 

	
 

	
 

	

AggregateNumber of Warrant Shares

	
 

	
 

	
 

	

Purchase Price

	
 

	
 

	
 

	

Legal Representative’sAddress and Facsimile
Number

	
 

	

Social Security, Tax ID or Other Identification Number

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

 

 
18Exhibit 4.4

 

 

 

 

AVID BIOSERVICES, INC.

 

Issuer

 

AND

 

 

 

 

as Trustee

 

 

INDENTURE

 

Dated as of               , 20  

 

 

 

Debt Securities

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	 	 

     

    

 

CROSS-REFERENCE TABLE(1)

 

	
        SECTION OF

        TRUST INDENTURE

        ACT OF 1939, AS AMENDED
	 	
        SECTION(S) OF

        INDENTURE

	310(a)	 	7.9
	310(b)	 	7.8
	311(a)	 	7.13
	311(b)	 	7.13
	312(a)	 	5.1, 5.2(a)
	312(b)	 	5.2(b)
	312(c)	 	5.2(c)
	313(a)	 	5.4
	313(b)	 	5.4
	313(c)	 	5.4
	313(d)	 	5.4
	314(a)	 	5.3, 14.12
	314(c)	 	14.7(a)
	314(e)	 	14.7(b)
	315(a)	 	7.1
	315(b)	 	7.14
	315(c)	 	7.1
	315(d)	 	7.1
	315(e)	 	6.7
	316(a)	 	6.6, 8.4
	316(b)	 	6.4
	316(c)	 	8.1
	317(a)	 	6.2
	317(b)	 	4.2
	318(a)	 	14.9

 

	(1)	This Cross-Reference Table does not constitute part of the Indenture and shall not have any bearing on the interpretation of any of its terms or provisions.

 

 

 

 

 

 

 

 

 

 

    	 	 	 

     

    

 

TABLE OF CONTENTS

 

	 	 	 	 	 Page
	 	 	 	 	 
	ARTICLE I	DEFINITIONS	 	 
	Section 1.1	 	Definitions of Terms	 	1
	Section 1.2	 	Incorporation by Reference of Trust Indenture Act	 	4
	 	 	 	 	 
	ARTICLE II	ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND EXCHANGE OF SECURITIES	 	 
	Section 2.1	 	Designation and Terms of Securities	 	5
	Section 2.2	 	Form of Securities and Trustee’s Certificate	 	7
	Section 2.3	 	Denominations; Provisions for Payment	 	7
	Section 2.4	 	Execution and Authentication	 	8
	Section 2.5	 	Registration of Transfer and Exchange	 	8
	Section 2.6	 	Temporary Securities	 	9
	Section 2.7	 	Mutilated, Destroyed, Lost or Stolen Securities	 	10
	Section 2.8	 	Cancellation	 	10
	Section 2.9	 	Benefits of Indenture	 	10
	Section 2.10	 	Authenticating Agent	 	11
	Section 2.11	 	Global Securities	 	11
	Section 2.12	 	CUSIP and ISIN Numbers	 	12
	 	 	 	 	 
	ARTICLE III	REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS	 	 
	Section 3.1	 	Redemption	 	12
	Section 3.2	 	Notice of Redemption	 	12
	Section 3.3	 	Payment Upon Redemption	 	13
	Section 3.4	 	Sinking Fund	 	13
	Section 3.5	 	Satisfaction of Sinking Fund Payments with Securities	 	14
	Section 3.6	 	Redemption of Securities for Sinking Fund	 	14
	 	 	 	 	 
	ARTICLE IV	COVENANTS	 	 
	Section 4.1	 	Payment of Principal, Premium and Interest	 	14
	Section 4.2	 	Paying Agent and Security Registrar	 	14
	Section 4.3	 	Appointment to Fill Vacancy in Office of Trustee	 	15
	Section 4.4	 	Compliance with Consolidation Provisions	 	15
	 	 	 	 	 
	ARTICLE V	SECURITYHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE	 	 
	Section 5.1	 	Company to Furnish Trustee Names and Addresses of Securityholders	 	16
	Section 5.2	 	Preservation of Information; Communications With Securityholders	 	16
	Section 5.3	 	Reports by the Company	 	16
	Section 5.4	 	Reports by the Trustee	 	17
	 	 	 	 	 
	ARTICLE VI	REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT	 	 
	Section 6.1	 	Events of Default	 	17
	Section 6.2	 	Collection of Indebtedness and Suits for Enforcement by Trustee	 	18
	Section 6.3	 	Application of Moneys Collected	 	19
	Section 6.4	 	Limitation on Suits	 	20
	Section 6.5	 	Rights and Remedies Cumulative; Delay or Omission Not Waiver	 	20
	Section 6.6	 	Control by Securityholders	 	20
	Section 6.7	 	Undertaking to Pay Costs	 	21
	 	 	 	 	 
	ARTICLE VII	CONCERNING THE TRUSTEE	 	 
	Section 7.1	 	Certain Duties and Responsibilities of Trustee	 	21
	Section 7.2	 	Certain Rights of Trustee	 	22
	Section 7.3	 	Trustee Not Responsible for Recitals or Issuance or Securities	 	23

 

 

 

 

    	 	 	 

     

    

 

	 	 	 	 	 
	Section 7.4	 	May Hold Securities and Otherwise Deal With the Company	 	23
	Section 7.5	 	Moneys Held in Trust	 	24
	Section 7.6	 	Compensation and Reimbursement	 	24
	Section 7.7	 	Reliance on Officer’s Certificate	 	24
	Section 7.8	 	Disqualification; Conflicting Interests	 	24
	Section 7.9	 	Corporate Trustee Required; Eligibility	 	25
	Section 7.10	 	Resignation and Removal; Appointment of Successor	 	25
	Section 7.11	 	Acceptance of Appointment By Successor	 	26
	Section 7.12	 	Merger, Conversion, Consolidation or Succession to Business.	 	27
	Section 7.13	 	Preferential Collection of Claims Against the Company	 	27
	Section 7.14	 	Notice of Default	 	27
	Section 7.15	 	Limitation of Liability	 	27
	 	 	 	 	 
	ARTICLE VIII	CONCERNING THE SECURITYHOLDERS	 	 
	Section 8.1	 	Evidence of Action by Securityholders	 	27
	Section 8.2	 	Proof of Execution by Securityholders	 	28
	Section 8.3	 	Who May be Deemed Owners	 	28
	Section 8.4	 	Certain Securities Owned by Company Disregarded	 	28
	Section 8.5	 	Actions Binding on Future Securityholders	 	29
	 	 	 	 	 
	ARTICLE IX	SUPPLEMENTAL INDENTURES	 	 
	Section 9.1	 	Supplemental Indentures Without the Consent of Securityholders	 	29
	Section 9.2	 	Supplemental Indentures With the Consent of Securityholders	 	30
	Section 9.3	 	Effect of Supplemental Indentures	 	31
	Section 9.4	 	Securities Affected by Supplemental Indentures	 	31
	Section 9.5	 	Execution of Supplemental Indentures	 	31
	 	 	 	 	 
	ARTICLE X	SUCCESSOR ENTITY	 	 
	Section 10.1	 	Company May Consolidate, Etc.	 	32
	Section 10.2	 	Successor Entity Substituted	 	32
	Section 10.3	 	Evidence of Consolidation, Etc. to Trustee	 	32
	 	 	 	 	 
	ARTICLE XI	SATISFACTION AND DISCHARGE	 	 
	Section 11.1	 	Satisfaction and Discharge of Indenture	 	33
	Section 11.2	 	Application of Trust Money	 	33
	 	 	 	 	 
	ARTICLE XII	LEGAL DEFEASANCE AND COVENANT DEFEASANCE	 	 
	Section 12.1	 	Option to Effect Legal Defeasance or Covenant Defeasance	 	34
	Section 12.2	 	Legal Defeasance and Discharge	 	34
	Section 12.3	 	Covenant Defeasance	 	34
	Section 12.4	 	Conditions to Legal or Covenant Defeasance	 	35
	Section 12.5	 	Deposited Money and Government Securities to be Held in Trust; Other Miscellaneous Provisions	 	35
	Section 12.6	 	Repayment to Company	 	36
	Section 12.7	 	Reinstatement	 	36
	 	 	 	 	 
	ARTICLE XIII	IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS	 	 
	Section 13.1	 	No Recourse	 	36
	 	 	 	 	 
	ARTICLE XIV	MISCELLANEOUS PROVISIONS	 	 
	Section 14.1	 	Effect on Successors and Assigns	 	37
	Section 14.2	 	Actions by Successor	 	37
	Section 14.3	 	Surrender of Company Powers	 	37
	Section 14.4	 	Notices	 	37
	Section 14.5	 	Governing Law/Waiver of Jury Trial	 	37
	Section 14.6	 	Treatment of Securities as Debt	 	37

 

 

 

 

    	 	ii	 

     

    

 

	 	 	 	 	 
	Section 14.7	 	Compliance Certificates and Opinions	 	38
	Section 14.8	 	Payments on Business Days	 	38
	Section 14.9	 	Conflict with Trust Indenture Act	 	38
	Section 14.10	 	Counterparts	 	38
	Section 14.11	 	Severability	 	40
	Section 14.12	 	Compliance Certificates	 	38
	Section 14.13	 	USA Patriot Act	 	39
	Section 14.14	 	Consent to Jurisdiction and Service	 	39
	Section 14.15	 	Force Majeure	 	39

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	iii	 

     

    

 

INDENTURE

 

INDENTURE, dated
as of                 , 20   ,
among Avid Bioservices, Inc., a Delaware corporation (the “Company”), and
_______________________, a national banking association organized under the laws of the United States, as trustee
(the “Trustee”):

 

WHEREAS, for its lawful
corporate purposes, the Company has duly authorized the execution and delivery of this Indenture to provide for the issuance of
debt securities (hereinafter referred to as the “Securities”), in an unlimited aggregate principal amount to
be issued from time to time in one or more series as in this Indenture provided, as registered Securities without coupons, to be
authenticated by the Trustee;

 

WHEREAS, to provide
the terms and conditions upon which the Securities are to be authenticated, issued and delivered, the Company has duly authorized
the execution of this Indenture; and

 

WHEREAS, all things
necessary to make this Indenture a valid agreement of the Company, in accordance with its terms, have been done.

 

NOW, THEREFORE, in
consideration of the premises and the purchase of the Securities by the holders thereof, it is mutually covenanted and agreed as
follows for the equal and ratable benefit of the holders of Securities:

 

ARTICLE I

DEFINITIONS

 

SECTION 1.1DEFINITIONS OF TERMS.

 

The terms defined in this Section (except
as in this Indenture or any Board Resolution or indenture supplemental hereto otherwise expressly provided or unless the context
otherwise requires) for all purposes of this Indenture and of any Board Resolution or indenture supplemental hereto shall have
the respective meanings specified in this Section and shall include the plural as well as the singular. All other terms used in
this Indenture that are defined in the Trust Indenture Act of 1939, as amended, or that are by reference in such Act defined in
the Securities Act (except as herein or any Board Resolution or indenture supplemental hereto otherwise expressly provided or unless
the context otherwise requires), shall have the meanings assigned to such terms in said Trust Indenture Act and in said Securities
Act as in force at the date of the execution of this instrument.

 

“Authenticating Agent”
means an authenticating agent with respect to all or any of the series of Securities appointed by the Trustee pursuant to Section
2.10.

 

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

 

“Authorized Officer,”
when used with respect to the Company, means the Chairman of the Board of Directors, the Co-Chief Executive Officers, the President,
the Chief Operating Officer, the Chief Financial Officer, the Treasurer, any Assistant Treasurer, the Controller, the Secretary
or any Executive Vice President or Senior Vice President of the Company.

 

“Bankruptcy Law” means
Title 11, U.S. Code, or any similar federal or state law for the relief of debtors.

 

“Board of Directors”
means the Board of Directors of the Company or any duly authorized committee of such Board.

 

“Board Resolution” means
a copy of one or more resolutions certified by the Secretary or an Assistant Secretary of the Company to have been duly adopted
by the Board of Directors, or such committee of the Board of Directors or officers of the Company to which authority to act on
behalf of the Board of Directors has been delegated, and to be in full force and effect on the date of such certification, and
to be delivered to the Trustee.

 

 

 

 

    	 	 	 

     

    

 

“Business Day” means,
with respect to any series of Securities, any day other than a day on which federal or state banking institutions in the Borough
of Manhattan, the City and State of New York, are authorized or obligated by law, executive order or regulation to close.

 

“Code” means the Internal
Revenue Code of 1986, as amended.

 

“Commission” means the
Securities and Exchange Commission.

 

“Company” means Avid
Bioservices, Inc., a corporation duly organized and existing under the laws of the State of Delaware, and, subject to the provisions
of Article X, shall also include its successors and assigns. 

 

“Company Request” and
“Company Order” means a written request or order signed in the name of the Company by one or more Authorized
Officers of the Company, and delivered to the Trustee.

 

“Corporate Trust Office”
means the principal office of the Trustee at which, at any particular time, this Indenture shall be administered, which office
at the date hereof is located at                   ; Attention:                       . With respect to presentation for transfer or exchange, conversions or principal
payment, such address shall be                          ; Attention:                           , or such other address as the Trustee may designate from time to time by written notice
to the Securityholders and the Company, or the principal corporate trust office of any successor Trustee (or such other address
as such successor Trustee may designate from time to time by written notice to the Securityholders and the Company).

 

“Covenant Defeasance”
shall have the meaning set forth in Section 12.3.

 

“Custodian” means any
receiver, trustee, assignee, liquidator or similar official under any Bankruptcy Law.

 

“Default” means any
event, act or condition that with notice or lapse of time, or both, would constitute an Event of Default.

 

“Depositary” means,
with respect to Securities of any series for which the Company shall determine that such Securities will be issued as a Global
Security, The Depository Trust Company, New York, New York, another clearing agency, or any successor registered as a clearing
agency under the Exchange Act, or other applicable statute or regulation, which, in each case, shall be designated by the Company
pursuant to either Section 2.1 or 2.11.

 

“Event of Default” means,
with respect to Securities of a particular series, any event specified in Section 6.1, continued for the period of time, if any,
therein designated.

 

“Exchange Act” means
the Securities Exchange Act of 1934, as amended.

 

“Global Security” means,
with respect to any series of Securities, a Security executed by the Company and delivered by the Trustee to the Depositary or
pursuant to the Depositary’s instruction, all in accordance with this Indenture, which shall be registered in the name of
the Depositary or its nominee.

 

“Governmental Obligations”
means securities that are (a) direct obligations of the U.S. for the payment of which its full faith and credit is pledged or (b)
obligations of a Person controlled or supervised by and acting as an agency or instrumentality of the U.S., the payment of which
is unconditionally guaranteed as a full faith and credit obligation by the U.S. that, in either case, are not callable or redeemable
at the option of the issuer thereof, and shall also include a depositary receipt issued by a bank (as defined in Section 3(a)(2)
of the Securities Act) as custodian with respect to any such Governmental Obligation or a specific payment of principal of or interest
on any such Governmental Obligation held by such custodian for the account of the holder of such depositary receipt; provided,
however, that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the
holder of such depositary receipt from any amount received by the custodian in respect of the Governmental Obligation or the specific
payment of principal of or interest on the Governmental Obligation evidenced by such depositary receipt.

 

 

 

 

    	 	2	 

     

    

 

“herein,” “hereof”
and “hereunder,” and other words of similar import, refer to this Indenture as a whole and not to any particular
Article, Section or other subdivision.

 

“Indenture” means this
instrument as originally executed or as it may from time to time be supplemented or amended by one or more Board Resolutions or
one or more indentures supplemental hereto entered into in accordance with the terms hereof.

 

“Interest Payment Date,”
when used with respect to any installment of interest on a Security of a particular series, means the date specified in such Security
or in a Board Resolution or in an indenture supplemental hereto with respect to such series as the fixed date on which an installment
of interest with respect to Securities of that series is due and payable.

 

“Legal Defeasance” shall
have the meaning set forth in Section 12.2.

 

“Officer’s Certificate”
means a certificate signed by an Authorized Officer of the Company that is delivered to the Trustee in accordance with the terms
hereof. Each such certificate shall include the statements provided for in Section 14.7, if and to the extent required by the provisions
thereof. An Officer’s Certificate given pursuant to Section 14.12 shall be signed by the principal executive, financial or
accounting officer of the Company but need not contain the statements provided for in Section 14.7.

 

“Opinion of Counsel”
means an opinion in writing subject to customary exceptions of legal counsel, who may be an employee of or counsel for the Company,
that is delivered to the Trustee in accordance with the terms hereof. Each such opinion shall include the statements provided for
in Section 14.7, if and to the extent required by the provisions thereof.

 

“Outstanding,” when
used with reference to Securities of any series, means, subject to the provisions of Section 8.4, as of any particular time, all
Securities of that series theretofore authenticated and delivered by the Trustee under this Indenture, except (a) Securities theretofore
canceled by the Trustee, or delivered to the Trustee or any Paying Agent for cancellation or that have previously been canceled;
(b) Securities or portions thereof for the payment or redemption of which cash or Governmental Obligations in the necessary amount
shall have been irrevocably deposited in trust with the Trustee or with any Paying Agent (other than the Company) or shall have
been set aside and segregated in trust by the Company (if the Company shall act as its own Paying Agent); provided, however, that
if such Securities or portions of such Securities are to be redeemed prior to the maturity thereof, notice of such redemption shall
have been given as in Article III provided, or provision satisfactory to the Trustee shall have been made for giving such notice;
and (c) Securities in lieu of or in substitution for which other Securities shall have been authenticated and delivered pursuant
to the terms of Section 2.7, unless the Trustee and the Company receive proof satisfactory to them that the replaced Security is
held by a protected purchaser.

 

“Paying Agent” shall
have the meaning set forth in Section 4.2(a).

 

“Person” means any individual,
corporation, partnership, joint venture, association, joint-stock company, trust, unincorporated organization, limited liability
company or government or other entity, and includes any syndicate or group that would be deemed to be a “person” under
Section 13(d)(3) of the Exchange Act.

 

“Predecessor Security”
of any particular Security means every previous Security evidencing all or a portion of the same debt as that evidenced by such
particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 2.7 in lieu
of a lost, destroyed or stolen Security shall be deemed to evidence the same debt as the lost, destroyed or stolen Security.

 

“Redemption Date,” when
used with respect to any Security to be redeemed, means the date fixed for such redemption by or pursuant to this Indenture.

 

“Securities” shall have
the meaning set forth in the recitals to this Indenture.

 

“Securities Act” means
the Securities Act of 1933, as amended.

 

 

 

 

    	 	3	 

     

    

 

“Securityholder,” “holder
of Securities,” “registered holder,” or other similar term, means the Person or Persons in whose name
or names a particular Security shall be registered on the Security Register in accordance with the terms of this Indenture.

 

“Security Register”
shall have the meaning set forth in Section 4.2(a).

 

“Security Registrar”
shall have the meaning set forth in Section 4.2(a).

 

“Stated Maturity,” when
used with respect to any security or any installment of principal thereof or interest thereon, means the date specified in such
Security or a coupon representing such installment of interest as the fixed date on which the principal of such Security or such
installment of principal or interest is due and payable.

 

“Subsidiary” means,
with respect to any Person, (i) any corporation at least a majority of whose outstanding Voting Stock shall at the time be owned,
directly or indirectly, by such Person or by one or more of its Subsidiaries or by such Person and one or more of its Subsidiaries,
(ii) any general partnership, joint venture or similar entity, at least a majority of whose outstanding partnership or similar
interests shall at the time be owned by such Person, or by one or more of its Subsidiaries, or by such Person and one or more of
its Subsidiaries and (iii) any limited partnership of which such Person or any of its Subsidiaries is a general partner.

 

“Trustee” means                         , and,
subject to the provisions of Article VII, shall also include its successors and assigns, and, if at any time there is more than
one Person acting in such capacity hereunder, “Trustee” shall mean each such Person. The term “Trustee”
as used with respect to a particular series of the Securities shall mean the trustee with respect to that series.

 

“Trust Indenture Act”
means the Trust Indenture Act of 1939, as amended.

 

“Trust Officer” means
any officer of the Trustee with direct responsibility for the administration of this Indenture and also means, with respect to
a particular corporate trust matter hereunder, any other officer of the Trustee to whom such matter is referred because of his
or her knowledge of and familiarity with the particular subject.

 

“Uniform Commercial Code”
means the New York Uniform Commercial Code as in effect from time to time.

 

“U.S.” means the United
States of America.

 

“USA Patriot Act” shall
have the meaning set forth in Section 14.13.

 

“Voting Stock,” as applied
to stock of any Person, means shares, interests, participations or other equivalents in the equity interest (however designated)
in such Person having ordinary voting power for the election of a majority of the directors (or the equivalent) of such Person,
other than shares, interests, participations or other equivalents having such power only by reason of the occurrence of a contingency.

 

SECTION 1.2INCORPORATION BY REFERENCE OF TRUST INDENTURE
ACT.

 

Whenever this Indenture refers to a provision
of the Trust Indenture Act, the provision is incorporated by reference in and made a part of this Indenture.

 

All Trust Indenture Act terms used in this
Indenture that are defined by the Trust Indenture Act, defined by Trust Indenture Act reference to another statute or defined by
Commission rule have the meanings assigned to them by such definitions.

 

 

 

 

 

    	 	4	 

     

    

 

ARTICLE II

ISSUE, DESCRIPTION, TERMS, EXECUTION,
REGISTRATION

AND EXCHANGE OF SECURITIES

 

SECTION 2.1DESIGNATION AND TERMS OF SECURITIES.

 

The aggregate principal amount of Securities
that may be authenticated and delivered under this Indenture is unlimited. The Securities may be issued in one or more series up
to the aggregate principal amount of Securities of that series from time to time authorized by or pursuant to a Board Resolution
or pursuant to one or more indentures supplemental hereto. Prior to the initial issuance of Securities of any series, there shall
be established in or pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or established in one or
more indentures supplemental hereto:

 

(1)                
the title of the Securities of the series (which shall distinguish the Securities of that series from all other Securities);

 

(2)               
the principal amount of the Securities being offered and any limit upon the aggregate principal amount of the Securities
of that series that may be authenticated and delivered under this Indenture (except for Securities authenticated and delivered
upon registration of transfer of, or in exchange for, or in lieu of, other Securities of that series);

 

(3)               
the date or dates on which the principal of the Securities of the series is payable, any original issue discount that may
apply to the Securities of that series upon their issuance, the principal amount due at maturity, and the place(s) of payment;

 

(4)                
the rate or rates at which the Securities of the series shall bear interest or the manner of calculation of such rate or
rates, if any, and whether the rate(s) are fixed or variable;

 

(5)                
the date or dates from which such interest shall accrue, the Interest Payment Dates on which such interest will be payable
or the manner of determination of such Interest Payment Dates, the place(s) of payment, and the record date for the determination
of holders to whom interest is payable on any such Interest Payment Dates or the manner of determination of such record dates;

 

(6)                
the right, if any, to extend the interest payment periods and the duration of such extension;

 

(7)               
the period or periods within which, the price or prices at which and the terms and conditions upon which Securities of the
series may be redeemed, in whole or in part, at the option of the Company;

 

(8)               
the obligation, if any, of the Company to redeem or purchase Securities of the series pursuant to any sinking fund, mandatory
redemption, or analogous provisions (including payments made in cash in satisfaction of future sinking fund obligations) or at
the option of a holder thereof and the period or periods within which, the price or prices at which, and the terms and conditions
upon which, Securities of the series shall be redeemed or purchased, in whole or in part, pursuant to such obligation;

 

(9)                
the terms of the subordination of any series of subordinated debt;

 

(10)              
the form of the Securities of the series including the form of the certificate of authentication for such series;

 

(11)              
if other than minimum denominations of two thousand U.S. dollars ($2,000) or any integral multiple of one thousand U.S.
dollars ($1,000) in excess thereof, the minimum denominations and multiples in excess thereof in which the Securities of the series
shall be issuable;

 

(12)             
whether the Securities are issuable as a Global Security and, in such case, the terms and the identity of the Depositary
for such series;

 

 

 

 

 

 

    	 	5	 

     

    

 

(13)             
whether the Securities will be convertible into or exchangeable for shares of common stock or other securities of the Company
or any other Person or other securities and, if so, the terms and conditions upon which such Securities will be so convertible
or exchangeable, including the conversion or exchange price, as applicable, or how it will be calculated and may be adjusted, any
mandatory or optional (at the Company’s option or the holders’ option) conversion or exchange features, and the applicable
conversion or exchange period;

 

(14)             
if other than the principal amount thereof, the portion of the principal amount of Securities of the series which shall
be payable upon declaration of acceleration of the maturity thereof pursuant to Section 6.1;

 

(15)              any
additional or different Events of Default or restrictive covenants (which may but shall not be required to include, among other
restrictions, restrictions on the Company’s ability or the ability of the Company’s Subsidiaries to: incur additional
indebtedness; issue additional securities; create liens; pay dividends or make distributions in respect of their capital stock;
redeem capital stock; in the case of such Subsidiaries, pay dividends, make distributions or transfer assets; make investments
or other restricted payments; sell or otherwise dispose of assets; enter into sale leaseback transactions; engage in transactions
with stockholders and affiliates; issue or sell stock of the Company’s Subsidiaries; or effect a consolidation or merger)
or financial covenants (which may include, among other financial covenants, financial covenants that require the Company and its
Subsidiaries to maintain specified interest coverage, fixed charge, cash flow-based, asset-based or other financial ratios) provided
for with respect to the Securities of the series;

 

(16)             
if other than U.S. dollars, the coin or currency in which the Securities of the series are denominated (including, but not
limited to, foreign currency);

 

(17)             
the terms and conditions, if any, upon which the Company shall pay amounts in addition to the stated interest, premium,
if any, and principal amounts of the Securities of the series to any Securityholder that is not a “United States person”
for federal tax purposes, and the terms and conditions, if any, relating to the Company’s ability to redeem such Securities
if the Company is required to pay such additional amounts;

 

(18)             
a discussion of any material U.S. federal income tax considerations applicable to the Securities of the series;

 

(19)             
any restrictions on transfer, sale or assignment of the Securities of the series;

 

(20)             
the terms, if any, relating to any auction or remarketing of the Securities of the series and any security for the obligations
of the Company with respect to such Securities;

 

(21)             
whether the Securities of the series are secured or unsecured, and if the Securities are secured, the terms of the secured
Securities;

 

(22)             
information describing any book-entry features;

 

(23)             
the identity of any guarantors and the terms of the guarantees; and

 

(24)             
any and all other terms with respect to the series (which terms shall not be inconsistent with the terms of this Indenture,
as amended by any Board Resolution or supplemental indenture, but which may modify or delete any provisions of this Indenture insofar
as it applies to such series), including any terms which may be required by or advisable under the laws of the U.S. or regulations
thereunder or advisable (as determined by the Company) in connection with the marketing of Securities of that series.

 

All Securities of any one series shall
be substantially identical except as to denomination and except as may otherwise be provided in or pursuant to any such Board Resolution
or in any indentures supplemental hereto.

 

If any of the terms of the series are established
by action taken pursuant to a Board Resolution of the Company, a copy of an appropriate record of such action shall be certified
by the secretary or an assistant secretary of the Company and delivered to the Trustee at or prior to the delivery of the Officer’s
Certificate of the Company setting forth the terms of the series.

 

 

 

    	 	6	 

     

    

 

Securities of any particular series may
be issued at various times, with different dates on which the principal or any installment of principal is payable, with different
rates of interest, if any, or different methods by which rates of interest may be determined, with different dates on which such
interest may be payable and with different redemption dates. A series may be reopened for issuances of additional Securities of
such series or to establish additional terms of such Securities.

 

SECTION 2.2FORM OF SECURITIES AND TRUSTEE’S CERTIFICATE.

 

The Securities of any series and the Trustee’s
certificate of authentication to be borne by such Securities shall be substantially of the tenor and purport as set forth in one
or more indentures supplemental hereto or as provided in a Board Resolution, and set forth in an Officer’s Certificate, and
they may have such letters, numbers or other marks of identification or designation and such legends or endorsements printed, lithographed
or engraved thereon as the Company may deem appropriate and as are not inconsistent with the provisions of this Indenture, or as
may be required to comply with any law or with any rule or regulation made pursuant thereto or with any rule or regulation of any
securities exchange on which Securities of that series may be listed, or to conform to usage.

 

SECTION 2.3DENOMINATIONS; PROVISIONS FOR PAYMENT.

 

The Securities shall be issuable as registered
Securities and in the minimum denomination of two thousand U.S. dollars ($2,000) or any integral multiple of one thousand U.S.
dollars ($1,000) in excess thereof, subject to Section 2.1(11). The Securities of a particular series shall bear interest payable
on the dates and at the rate specified with respect to that series. The principal of and the interest on the Securities of any
series, as well as any premium thereon, shall be payable in the coin or currency of the U.S. that at the time is legal tender for
public and private debt, at the office or agency of the Company maintained for that purpose in the United States, which shall initially
be an office or agency of the Trustee. Each Security shall be dated the date of its authentication. Interest on the Securities
shall be computed on the basis of a 360-day year composed of twelve 30-day months. Presentment and surrender of the Securities
is required for final payment thereon.

 

The interest installment on any Security
that is payable, and is punctually paid or duly provided for, on any Interest Payment Date for Securities of that series shall
be paid to the Person in whose name said Security (or one or more Predecessor Securities) is registered at the close of business
on the regular record date for such interest installment. In the event that any Security of a particular series or portion thereof
is called for redemption and the redemption date is subsequent to a regular record date with respect to any Interest Payment Date
and prior to such Interest Payment Date, interest on such Security will be paid upon presentation and surrender of such Security
as provided in Section 3.3.

 

Any interest on any Security that is payable,
but is not punctually paid or duly provided for, on any Interest Payment Date for Securities of the same series (herein called
“Defaulted Interest”) shall forthwith cease to be payable to the registered holder on the relevant regular record
date by virtue of having been such holder; and such Defaulted Interest shall be paid by the Company, at its election, as provided
in clause (1) or clause (2) below:

 

(1)               
The Company may make payment of any Defaulted Interest on Securities to the Persons in whose names such Securities (or their
respective Predecessor Securities) are registered at the close of business on a special record date for the payment of such Defaulted
Interest, which shall be fixed in the following manner: the Company shall notify the Trustee in writing of the amount of Defaulted
Interest proposed to be paid on each such Security and the date of the proposed payment, and at the same time the Company shall
deposit with the Trustee an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest
or shall make arrangements satisfactory to the Trustee for such deposit prior to the date of the proposed payment, such money when
deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon
the Trustee shall fix a special record date for the payment of such Defaulted Interest which shall not be more than 15 nor less
than 10 days prior to the date of the proposed payment and not less than 10 days after the receipt by the Trustee of the notice
of the proposed payment. The Trustee shall promptly notify the Company of such special record date and, in the name and at the
expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the special record date therefor
to be mailed, first class postage prepaid (or, in the case of Securities held in book-entry form, by electronic transmission),
to each Securityholder at his or her address as it appears in the Security Register (as hereinafter defined), not less than 10
days prior to such special record date. Notice of the proposed payment of such Defaulted Interest and the special record date therefor
having been mailed as aforesaid, such Defaulted Interest shall be paid to the Persons in whose names such Securities (or their
respective Predecessor Securities) are registered on such special record date.

 

 

 

 

 

 

    	 	7	 

     

    

 

(2)               
The Company may make payment of any Defaulted Interest on any Securities in any other lawful manner not inconsistent with
the requirements of any securities exchange on which such Securities may be listed, and upon such notice as may be required by
such exchange, if, after notice given by the Company to the Trustee of the proposed payment pursuant to this clause, such manner
of payment shall be deemed practicable by the Trustee.

 

Unless otherwise set forth in a Board Resolution
or one or more indentures supplemental hereto establishing the terms of any series of Securities pursuant to Section 2.1 hereof,
the term “regular record date” as used in this Section with respect to a series of Securities and any Interest
Payment Date for such series shall mean either the fifteenth day of the month immediately preceding the month in which an Interest
Payment Date established for such series pursuant to Section 2.1 hereof shall occur, if such Interest Payment Date is the first
day of a month, or the last day of the month immediately preceding the month in which an Interest Payment Date established for
such series pursuant to Section 2.1 hereof shall occur, if such Interest Payment Date is the fifteenth day of a month, whether
or not such date is a Business Day.

 

Subject to the foregoing provisions of
this Section and Sections 2.5 and 2.11, each Security of a series delivered under this Indenture upon transfer of or in exchange
for or in lieu of any other Security of such series shall carry the rights to interest accrued and unpaid, and to accrue, that
were carried by such other Security.

 

SECTION 2.4EXECUTION AND AUTHENTICATION.

 

The Securities shall be signed on behalf
of the Company by an Authorized Officer and, to the extent necessary, under its corporate seal. Signatures may be in the form of
a manual or facsimile signature.

 

The Company may use the facsimile signature
of any Person who shall have been an Authorized Officer thereof, notwithstanding the fact that at the time the Securities shall
be authenticated and delivered or disposed of such Person shall have ceased to be such an officer of the Company. To the extent
a Company seal is necessary, the Company seal may be in the form of a facsimile of such seal and may be impressed, affixed, imprinted
or otherwise reproduced on the Securities. The Securities may contain such notations, legends or endorsements required by law,
stock exchange rule or usage. Each Security shall be dated the date of its authentication by the Trustee.

 

A Security shall not be valid until authenticated
manually by an authorized signatory of the Trustee. Such signature shall be conclusive evidence that the Security so authenticated
has been duly authenticated and delivered hereunder and that the holder is entitled to the benefits of this Indenture. At any time
and from time to time after the execution and delivery of this Indenture, the Company may deliver Securities of any series executed
by the Company to the Trustee for authentication, together with a Company Order for the authentication and delivery of such Securities,
signed by an Authorized Officer, and the Trustee in accordance with such Company Order shall authenticate and deliver such Securities.

 

In authenticating such Securities and accepting
the additional responsibilities under this Indenture in relation to such Securities, the Trustee shall receive, and (subject to
Section 7.1) shall be fully protected in conclusively relying upon, an Opinion of Counsel stating that the form and terms thereof
have been established in conformity with the provisions of this Indenture.

 

The Trustee shall not be required to authenticate
such Securities if the issue of such Securities pursuant to this Indenture will affect the Trustee’s own rights, duties or
immunities under the Securities and this Indenture or otherwise in a manner that is not reasonably acceptable to the Trustee.

 

SECTION 2.5REGISTRATION OF TRANSFER AND EXCHANGE.

 

(a)                
Securities of any series may be exchanged upon presentation thereof at the office of the Security Registrar, for other Securities
of such series of authorized denominations, and for a like aggregate principal amount, upon payment of a sum sufficient to cover
any tax or other governmental charge in relation thereto, all as provided in this Section. In respect of any Securities so surrendered
for exchange, the Company shall execute, the Trustee shall authenticate and such office or agency shall deliver in exchange therefor
the Security or Securities of the same series that the Securityholder making the exchange shall be entitled to receive, bearing
numbers not contemporaneously outstanding.

 

 

 

 

    	 	8	 

     

    

 

(b)               
Upon surrender for transfer of any Security at the office of the Security Registrar, the Company shall execute, the Trustee
shall authenticate and the Security Registrar shall deliver in the name of the transferee or transferees a new Security or Securities
of the same series as the Security presented for a like aggregate principal amount.

 

All Securities presented or surrendered
for exchange or registration of transfer, as provided in this Section, shall be accompanied (if so required by the Company or the
Security Registrar) by a written instrument or instruments of transfer, in form satisfactory to the Company or the Security Registrar,
duly executed by the registered holder or by such holder’s duly authorized attorney in writing.

 

(c)                
Except as provided pursuant to Section 2.1 pursuant to a Board Resolution, and set forth in an Officer’s Certificate,
or established in one or more indentures supplemental to this Indenture, no service charge shall be made for any exchange or registration
of transfer of Securities, or issue of new Securities in case of partial repurchase or redemption of any series, but the Company
and the Trustee may require payment of a sum sufficient to cover any tax or other governmental charge in relation thereto, other
than exchanges pursuant to Section 2.6, Section 3.3(b) and Section 9.4 not involving any transfer.

 

(d)               
The Company shall not be required (i) to issue, exchange or register the transfer of any Securities during a period beginning
at the opening of business 15 days before the day of the mailing of a notice of redemption of less than all the Outstanding Securities
of the same series and ending at the close of business on the day of such mailing, nor (ii) to register the transfer of or exchange
any Securities of any series or portion thereof called for redemption, other than the unredeemed portion of any such Securities
being redeemed in part.

 

(e)                
Successive registrations and registrations of transfers and exchanges as aforesaid may be made from time to time as desired,
and each such registration shall be noted on the register for the Securities.

 

(f)                 
The Security Registrar shall provide to the Trustee such information as the Trustee may reasonably require in connection
with the delivery by such Security Registrar of Securities upon transfer or exchange of Securities.

 

(g)               
The provisions of this Section 2.5 are, with respect to any Global Security, subject to Section 2.11 hereof.

 

(h)               
The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on
transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Security (including
any transfers between or among Depositary participants or beneficial owners of interests in any Global Security) other than to
require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when
expressly required by the terms of, this Indenture, and to examine the same to determine substantial compliance as to form with
the express requirements hereof.

 

(i)                 
Neither the Trustee nor any agent shall have any responsibility or liability for any actions taken or not taken by the Depositary.

 

SECTION 2.6 TEMPORARY SECURITIES.

 

Pending the preparation of definitive Securities
of any series, the Company may execute, and the Trustee shall authenticate and deliver, temporary Securities (printed, lithographed
or typewritten) of any authorized denomination. Such temporary Securities shall be substantially in the form of the definitive
Securities in lieu of which they are issued, but with such omissions, insertions and variations as may be appropriate for temporary
Securities, all as may be determined by the Company. Every temporary Security of any series shall be executed by the Company and
be authenticated by the Trustee upon the same conditions and in substantially the same manner, and with like effect, as the definitive
Securities of such series. Without unnecessary delay the Company will execute and will furnish definitive Securities of such series
and thereupon any or all temporary Securities of such series may be surrendered in exchange therefor (without charge to the holders),
at the office of the Security Registrar, and the Trustee shall authenticate and the Security Registrar shall deliver in exchange
for such temporary Securities an equal aggregate principal amount of definitive Securities of such series, unless the Company advises
the Trustee to the effect that definitive Securities need not be executed and furnished until further notice from the Company.
Until so exchanged, the temporary Securities of such series shall be entitled to the same benefits under this Indenture as definitive
Securities of such series authenticated and delivered hereunder.

 

 

 

    	 	9	 

     

    

 

SECTION 2.7MUTILATED, DESTROYED, LOST OR STOLEN SECURITIES.

 

In case any temporary or definitive Security
shall become mutilated or be destroyed, lost or stolen, the Company (subject to the next succeeding sentence) shall execute, and
upon a Company Request, the Trustee (subject as aforesaid) shall authenticate and deliver, a new Security of the same series, bearing
a number not contemporaneously outstanding, in exchange and substitution for the mutilated Security, or in lieu of and in substitution
for the Security so destroyed, lost or stolen. In every case, the requirements of Section 8-405 of the Uniform Commercial Code
shall be met and the applicant for a substituted Security shall furnish to the Company and the Trustee such security or indemnity
as may be required by them to save each of them harmless, and, in every case of destruction, loss or theft, the applicant shall
also furnish to the Company and the Trustee evidence to their satisfaction of the destruction, loss or theft of the applicant’s
Security and of the ownership thereof. The Trustee may authenticate any such substituted Security and deliver the same upon the
delivery of a Company Order. Upon the issuance of any substituted Security, the Company may require the payment of a sum sufficient
to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees
and expenses of the Trustee) connected therewith.

 

In case any Security that has matured or
is about to mature shall become mutilated or be destroyed, lost or stolen, the Company may, instead of issuing a substitute Security,
pay or authorize the payment of the same (without surrender thereof except in the case of a mutilated Security) if the applicant
for such payment shall furnish to the Company and the Trustee such security or indemnity as they may require to save them harmless,
and, in case of destruction, loss or theft, evidence to the satisfaction of the Company and the Trustee of the destruction, loss
or theft of such Security and of the ownership thereof.

 

Every replacement Security issued pursuant
to the provisions of this Section shall constitute an additional contractual obligation of the Company whether or not the mutilated,
destroyed, lost or stolen Security shall be found at any time, or be enforceable by anyone, and shall be entitled to all the benefits
of this Indenture equally and proportionately with any and all other Securities of the same series duly issued hereunder. All Securities
shall be held and owned upon the express condition that the foregoing provisions are exclusive with respect to the replacement
or payment of mutilated, destroyed, lost or stolen Securities, and shall preclude (to the extent lawful) any and all other rights
or remedies, notwithstanding any law or statute existing or hereafter enacted to the contrary with respect to the replacement or
payment of negotiable instruments or other securities without their surrender.

 

SECTION 2.8 CANCELLATION.

 

All Securities surrendered for the purpose
of payment, redemption, exchange or registration of transfer shall, if surrendered to the Company or any Paying Agent, be delivered
to the Trustee for cancellation, or, if surrendered to the Trustee, shall be cancelled by it, and no Securities shall be issued
in lieu thereof except as expressly required or permitted by any of the provisions of this Indenture. On the delivery of a Company
Order at the time of such surrender, the Trustee shall cancel Securities held by the Trustee in accordance with its standard procedures
and applicable law and provide confirmation to the Company of such cancellation if requested by the Company. In the absence of
such request, the Trustee may dispose of canceled Securities in accordance with its standard procedures and deliver evidence of
cancellation to the Company. If the Company shall otherwise acquire any of the Securities, however, such acquisition shall not
operate as a redemption or satisfaction of the indebtedness represented by such Securities unless and until the same are delivered
to the Trustee for cancellation.

 

SECTION 2.9 BENEFITS OF INDENTURE.

 

Nothing in this Indenture or in the Securities,
express or implied, shall give or be construed to give to any Person, other than the parties hereto and the holders of the Securities
any legal or equitable right, remedy or claim under or in respect of this Indenture, or under any covenant, condition or provision
herein contained; all such covenants, conditions and provisions being for the sole benefit of the parties hereto and of the holders
of the Securities.

 

 

 

    	 	10	 

     

    

 

SECTION 2.10 AUTHENTICATING AGENT.

 

So long as any of the Securities of any
series remain Outstanding there may be an Authenticating Agent for any or all such series of Securities which the Trustee shall
have the right to appoint. Said Authenticating Agent shall be authorized to act on behalf of the Trustee to authenticate Securities
of such series issued upon exchange, transfer or partial redemption thereof, and Securities so authenticated shall be entitled
to the benefits of this Indenture and shall be valid and obligatory for all purposes as if authenticated by the Trustee hereunder.
All references in this Indenture to the authentication of Securities by the Trustee shall be deemed to include authentication by
an Authenticating Agent for such series. Each Authenticating Agent shall be acceptable to the Company and shall be a corporation
that has a combined capital and surplus, as most recently reported or determined by it, sufficient under the laws of any jurisdiction
under which it is organized or in which it is doing business to conduct a trust business, and that is otherwise authorized under
such laws to conduct such business and is subject to supervision or examination by federal or state authorities. If at any time
any Authenticating Agent shall cease to be eligible in accordance with these provisions, it shall resign immediately.

 

Any Authenticating Agent may at any time
resign by giving written notice of resignation to the Trustee and to the Company. The Trustee may at any time (and upon a Company
Request shall) terminate the agency of any Authenticating Agent by giving written notice of termination to such Authenticating
Agent and to the Company. Upon resignation, termination or cessation of eligibility of any Authenticating Agent, the Trustee may
appoint an eligible successor Authenticating Agent acceptable to the Company. Any successor Authenticating Agent, upon acceptance
of its appointment hereunder, shall become vested with all the rights, powers and duties of its predecessor hereunder as if originally
named as an Authenticating Agent pursuant hereto.

 

SECTION 2.11GLOBAL SECURITIES.

 

(a)                
If the Company shall establish pursuant to Section 2.1 that the Securities of a particular series are to be issued as a
Global Security, then the Company shall execute and the Trustee shall, in accordance with Section 2.4, authenticate and deliver,
a Global Security that (i) shall represent, and shall be denominated in an amount equal to the aggregate principal amount of, all
of the Outstanding Securities of such series, (ii) shall be registered in the name of the Depositary or its nominee, (iii) shall
be delivered by the Trustee to the Depositary or pursuant to the Depositary’s instruction and (iv) shall bear a legend substantially
to the following effect: “Except as otherwise provided in Section 2.11 of this Indenture, this Security may be transferred,
in whole but not in part, only to another nominee of the Depositary or to a successor Depositary or to a nominee of such successor
Depositary.”

 

(b)               
Notwithstanding the provisions of Section 2.5, the Global Security of a series may be transferred, in whole but not in part
and in the manner provided in Section 2.5, only to another nominee of the Depositary for such series, or to a successor Depositary
for such series selected or approved by the Company or to a nominee of such successor Depositary. Nothing in this Section 2.11(b)
shall prohibit or render ineffective any transfer of a beneficial interest in a Global Security effected in accordance with the
other provisions of this Indenture.

 

(c)                
If at any time the Depositary for a series of the Securities notifies the Company that it is unwilling or unable to continue
as Depositary for such series or if at any time the Depositary for such series shall no longer be registered or in good standing
under the Exchange Act, or other applicable statute or regulation, and a successor Depositary for such series is not appointed
by the Company within 90 days after the Company receives such notice or becomes aware of such condition, as the case may be, or
if an Event of Default has occurred and is continuing and the Company has received a request from the Depositary, this Section
2.11 shall no longer be applicable to the Securities of such series and the Company will execute, and subject to Section 2.4, the
Trustee will authenticate and deliver the Securities of such series in definitive registered form without coupons, in authorized
denominations, and in an aggregate principal amount equal to the principal amount of the Global Security of such series in exchange
for such Global Security. In addition, the Company may at any time determine that the Securities of any series shall no longer
be represented by a Global Security and that the provisions of this Section 2.11 shall no longer apply to the Securities of such
series. In such event the Company will execute and, subject to Section 2.4, the Trustee, upon receipt of an Officer’s Certificate
evidencing such determination by the Company, will authenticate and deliver the Securities of such series in definitive registered
form without coupons, in authorized denominations, and in an aggregate principal amount equal to the principal amount of the Global
Security of such series in exchange for such Global Security. Upon the exchange of the Global Security for such Securities in definitive
registered form without coupons, in authorized denominations, the Global Security shall be canceled by the Trustee. Such Securities
in definitive registered form issued in exchange for the Global Security pursuant to this Section 2.11(c) shall be registered in
such names and in such authorized denominations as the Depositary, pursuant to instructions from its direct or indirect participants
or otherwise, shall instruct the Trustee. The Trustee shall deliver such Securities to the Persons in whose names such Securities
are so registered.

 

 

 

 

    	 	11	 

     

    

 

SECTION 2.12CUSIP AND ISIN NUMBERS.

 

The Company, in issuing the Securities,
shall use CUSIP and ISIN numbers for such Securities (if then generally in use). The Trustee shall use CUSIP and ISIN numbers in
notices of redemption as a convenience to holders; provided, however, that neither the Company nor the Trustee shall have any responsibility
for any defect in the CUSIP or ISIN number that appears on any Security, check, advice of payment or redemption notice, and any
such notice may state that no representation is made as to the correctness of such numbers either as printed on the Securities
or as contained in any notice of redemption and that reliance may be placed only on the other identification numbers printed on
the Securities, and any such redemption shall not be affected by any defect in or omission of such numbers. The Company shall promptly
notify the Trustee in writing in the event of any change in the CUSIP or ISIN numbers.

 

ARTICLE III

REDEMPTION OF SECURITIES AND

SINKING FUND PROVISIONS

 

SECTION 3.1REDEMPTION.

 

The Company may redeem the Securities of
any series issued hereunder on and after the dates and in accordance with the terms established for such series pursuant to Section
2.1 hereof. The provisions of this Article III may be modified, amended or replaced, in part or in their entirety, with Securities
of any series, by an Officer’s Certificate pursuant to a Board Resolution or one or more indentures supplemental hereto,
in each case in accordance with Section 2.1 hereof.

 

SECTION 3.2    NOTICE OF REDEMPTION.

 

(a)                
In case the Company shall desire to exercise such right to redeem all or, as the case may be, a portion of the Securities
of any series in accordance with any right the Company reserved for itself to do so pursuant to Section 2.1 hereof, the Company
shall, or shall cause the Trustee to, give notice of such redemption to holders of the Securities of such series to be redeemed
by mailing, first class postage prepaid (or, in the case of Securities held in book-entry form, by electronic transmission), a
notice of such redemption not less than 30 days and not more than 60 days (except in accordance with Articles XI and XII) before
the date fixed for redemption of that series to such holders at their last addresses as they shall appear upon the Security Register,
unless a shorter period is specified in the Securities to be redeemed. Any notice that is mailed in the manner herein provided
shall be conclusively presumed to have been duly given, whether or not the registered holder receives the notice. In any case,
failure duly to give such notice to the holder of any Security of any series designated for redemption in whole or in part, or
any defect in the notice, shall not affect the validity of the proceedings for the redemption of any other Securities of such series
or any other series. In the case of any redemption of Securities prior to the expiration of any restriction on such redemption
provided in the terms of such Securities or elsewhere in this Indenture, the Company shall furnish the Trustee with an Officer’s
Certificate evidencing compliance with any such restriction.

 

Each such notice of redemption shall specify
the date fixed for redemption and the redemption price at which Securities of that series are to be redeemed, and shall state that
payment of the redemption price of such Securities to be redeemed will be made at the office or agency of the Paying Agent or as
otherwise established in a Board Resolution or an indenture supplemental hereto, upon presentation and surrender of such Securities,
that interest accrued to the date fixed for redemption will be paid as specified in said notice, that from and after said date
interest will cease to accrue and that the redemption is from a sinking fund, if such is the case. If less than all the Securities
of a series are to be redeemed, the notice to the holders of Securities of that series to be redeemed in part shall specify the
particular Securities to be so redeemed.

 

 

 

 

    	 	12	 

     

    

 

In case any Security is to be redeemed
in part only, the notice that relates to such Security shall state the portion of the principal amount thereof to be redeemed,
and shall state that on and after the redemption date, upon surrender of such Security, a new Security or Securities of such series
in principal amount equal to the unredeemed portion thereof will be issued.

 

(b)               
If less than all the Securities of a series are to be redeemed, the Company shall give the Trustee at least 45 days’
notice (unless a shorter notice shall be satisfactory to the Trustee) in advance of the date fixed for redemption as to the aggregate
principal amount of Securities of the series to be redeemed, and thereupon the Trustee shall select, (i) if the Securities are
in the form of Global Securities, in accordance with the procedures of the Depositary, or (ii) if the Securities are not in the
form of Global Securities, by lot, a portion or portions (equal to one thousand U.S. dollars ($1,000) or any integral multiple
thereof) of the principal amount of such Securities of a denomination larger than $2,000, the Securities to be redeemed and shall
thereafter promptly notify the Company in writing of the numbers of the Securities to be redeemed, in whole or in part. The Company
may, if and whenever it shall so elect, by delivery of instructions signed on its behalf by an Authorized Officer, instruct the
Trustee or any Paying Agent to call all or any part of the Securities of a particular series for redemption and to give notice
of redemption in the manner set forth in this Section, such notice to be in the name of the Company or its own name as the Trustee
or such Paying Agent may deem advisable. In any case in which notice of redemption is to be given by the Trustee or any such Paying
Agent, the Company shall deliver or cause to be delivered to, or permit to remain with, the Trustee or such Paying Agent, as the
case may be, such Security Register, transfer books or other records, or suitable copies or extracts therefrom, sufficient to enable
the Trustee or such Paying Agent to give any notice by mail that may be required under the provisions of this Section.

 

SECTION 3.3PAYMENT UPON REDEMPTION.

 

(a)                
If the giving of notice of redemption shall have been completed as above provided, the Securities or portions of Securities
of the series to be redeemed specified in such notice shall become due and payable on the date and at the place stated in such
notice at the applicable redemption price, together with interest accrued to the date fixed for redemption and interest on such
Securities or portions of Securities shall cease to accrue on and after the date fixed for redemption, unless the Company shall
default in the payment of such redemption price and accrued interest with respect to any such Security or portion thereof. On presentation
and surrender of such Securities on or after the date fixed for redemption at the place of payment specified in the notice, said
Securities shall be paid and redeemed at the applicable redemption price for such series, together with interest accrued thereon
to the date fixed for redemption (but if the date fixed for redemption is an interest payment date, the interest installment payable
on such date shall be payable to the registered holder at the close of business on the applicable record date pursuant to Section
2.3).

 

(b)               
Upon presentation of any Security of such series that is to be redeemed in part only, the Company shall execute and the
Trustee shall authenticate and the office or agency where the Security is presented shall deliver to the holder thereof, at the
expense of the Company, a new Security of the same series of authorized denominations in principal amount equal to the unredeemed
portion of the Security so presented.

 

SECTION 3.4SINKING FUND.

 

If Securities of a series provide for a
sinking fund as contemplated by Section 2.1, the provisions of this Section 3.4 and Sections 3.5 and 3.6 shall be applicable to
any sinking fund for the retirement of Securities of a series, except as otherwise specified as contemplated by Section 2.1 for
Securities of such series.

 

The minimum amount of any sinking fund
payment provided for by the terms of Securities of any series is herein referred to as a “mandatory sinking fund payment,”
and any payment in excess of such minimum amount provided for by the terms of Securities of any series is herein referred to as
an “optional sinking fund payment.” If provided for by the terms of Securities of any series, the cash amount
of any sinking fund payment may be subject to reduction as provided in Section 3.5. Each sinking fund payment shall be applied
to the redemption of Securities of any series as provided for by the terms of Securities of such series.

 

 

 

 

    	 	13	 

     

    

 

SECTION 3.5SATISFACTION OF SINKING
FUND PAYMENTS WITH SECURITIES.

 

The Company (i) may deliver Outstanding
Securities of a series and (ii) may apply as a credit Securities of a series that have been redeemed either at the election of
the Company pursuant to the terms of such Securities or through the application of permitted optional sinking fund payments pursuant
to the terms of such Securities, in each case in satisfaction of all or any part of any sinking fund payment with respect to the
Securities of such series required to be made pursuant to the terms of such Securities as provided for by the terms of such series,
provided that such Securities have not been previously so credited. Such Securities shall be received and credited for such purpose
by the Trustee at the redemption price specified in such Securities for redemption through operation of the sinking fund and the
amount of such sinking fund payment shall be reduced accordingly.

 

SECTION 3.6REDEMPTION OF SECURITIES
FOR SINKING FUND.

 

Not less than 45 days
prior to each sinking fund payment date for any series of Securities (unless a shorter period shall be satisfactory to the Trustee),
the Company will deliver to the Trustee an Officer’s Certificate specifying the amount of the next ensuing sinking fund payment
for that series pursuant to the terms of the series, the portion thereof, if any, that is to be satisfied by delivering and crediting
Securities of that series pursuant to Section 3.5 and the basis for such credit and will, together with such Officer’s Certificate,
deliver to the Trustee any Securities to be so delivered. Not less than 30 days before each such sinking fund payment date the
Trustee shall select the Securities to be redeemed upon such sinking fund payment date in the manner specified in Section 3.2 and
cause notice of the redemption thereof to be given in the name of and at the expense of the Company in the manner provided in Section
3.2. Such notice having been duly given, the redemption of such Securities shall be made upon the terms and in the manner stated
in Section 3.3.

 

ARTICLE IV

COVENANTS

 

SECTION 4.1PAYMENT OF PRINCIPAL,
PREMIUM AND INTEREST.

 

The Company will duly and punctually pay
or cause to be paid the principal of (and premium, if any) and interest on the Securities of that series at the time and place
and in the manner provided herein and established with respect to such Securities. Payments of principal on the Securities may
be made at the time provided herein and established with respect to such Securities by U.S. dollar check drawn on and mailed to
the address of the Securityholder entitled thereto as such address shall appear in the Security Register, or U.S. dollar wire transfer
to, a U.S. dollar account (such a wire transfer to be made only to a Securityholder of an aggregate principal amount of Securities
of the applicable series in excess of U.S. $2,000,000 and only if such Securityholder shall have furnished wire instructions to
the Trustee no later than 15 days prior to the relevant payment date). Payments of interest on the Securities may be made at the
time provided herein and established with respect to such Securities by U.S. dollar check mailed to the address of the Securityholder
entitled thereto as such address shall appear in the Security Register, or U.S. dollar wire transfer to, a U.S. dollar account
(such a wire transfer to be made only to a Securityholder of an aggregate principal amount of Securities of the applicable series
in excess of U.S. $2,000,000 and only if such Securityholder shall have furnished wire instructions in writing to the Security
Registrar and the Trustee no later than 15 days prior to the relevant payment date).

 

SECTION 4.2PAYING AGENT AND SECURITY
REGISTRAR.

 

(a)                
So long as any series of the Securities remain Outstanding, the Company shall maintain an office or agency where Securities
may be presented for registration of transfer or for exchange (“Security Registrar”), an office or agency where
Securities may be presented for payment (“Paying Agent”) and an office or agency where notices to or upon the
Company in respect of the Securities and this Indenture may be served. The Security Registrar shall keep a register for the recordation
of, and shall record, the names and addresses of holders of the Securities, the Securities held by each holder and the transfer
and exchange of Securities (the “Security Register”). The entries in the Security Register shall be conclusive,
and the parties may treat each Person whose name is recorded in the Security Register pursuant to the terms hereof as a holder
hereunder for all purposes of this Indenture. The Company may have one or more co-Security Registrars and one or more additional
Paying Agents.

 

The Company hereby initially designates
the Trustee as Paying Agent and Security Registrar, and the Corporate Trust Office shall be considered as one such office or agency
of the Company for each of the aforesaid purposes, such designation to continue with respect to such office or agency until the
Company shall, by written notice signed by an Authorized Officer and delivered to the Trustee, designate some other office or agency
for such purposes or any of them.

 

 

    	 	14	 

     

    

 

(b)               
The Company shall enter into an appropriate agency agreement with any Security Registrar, Paying Agent, or co-registrar
not a party to this Indenture, which shall incorporate the terms of the Trust Indenture Act. The agreement shall implement the
provisions of this Indenture that relate to such agent. The Company shall notify the Trustee in writing of the name and address
of any such agent. If the Company fails to maintain a Security Registrar or Paying Agent, the Trustee shall act as such and shall
be entitled to appropriate compensation therefor. The Company and any of its Subsidiaries may act as Paying Agent, Security Registrar
or co-registrar.

 

(c)                
If the Company shall appoint one or more Paying Agents for all or any series of the Securities, other than the Trustee,
the Company will cause each such Paying Agent to execute and deliver to the Trustee an instrument in which such agent shall agree
with the Trustee, subject to the provisions of this Section:

 

(1)               
that it will hold all sums held by it as such agent for the payment of the principal of (and premium, if any) or interest
on the Securities of that series (whether such sums have been paid to it by the Company or by any other obligor of such Securities)
in trust for the benefit of the Persons entitled thereto;

 

(2)               
that it will give the Trustee notice of any failure by the Company (or by any other obligor of such Securities) to make
any payment of the principal of (and premium, if any) or interest on the Securities of that series when the same shall be due and
payable;

 

(3)               
that it will, at any time during the continuance of any failure referred to in the preceding paragraph (a)(2) above, upon
the written request of the Trustee, forthwith pay to the Trustee all sums so held in trust by such Paying Agent; and

 

(4)               
that it will perform all other duties of Paying Agent as set forth in this Indenture.

 

(d)               
If the Company shall act as its own Paying Agent with respect to any series of the Securities, it will on or before each
due date of the principal of (and premium, if any) or interest on Securities of that series, set aside, segregate and hold in trust
for the benefit of the Persons entitled thereto a sum sufficient to pay such principal (and premium, if any) or interest so becoming
due on Securities of that series until such sums shall be paid to such Persons or otherwise disposed of as herein provided and
will promptly notify the Trustee of such action, or any failure (by it or any other obligor on such Securities) to take such action.
Whenever the Company shall have one or more Paying Agents for any series of Securities, it will, prior to each due date of the
principal of (and premium, if any) or interest on any Securities of that series, deposit with the Paying Agent a sum sufficient
to pay the principal (and premium, if any) or interest so becoming due, such sum to be held in trust for the benefit of the Persons
entitled to such principal, premium or interest, and (unless such Paying Agent is the Trustee) the Company will promptly notify
the Trustee of this action or failure so to act.

 

(e)                
Notwithstanding anything in this Section to the contrary, the Company may at any time, for the purpose of obtaining the
satisfaction and discharge of this Indenture or for any other purpose, pay, or direct any Paying Agent to pay, to the Trustee all
sums held in trust by the Company or such Paying Agent, such sums to be held by the Trustee upon the same terms and conditions
as those upon which such sums were held by the Company or such Paying Agent; and, upon such payment by the Company or any Paying
Agent to the Trustee, the Company or such Paying Agent shall be released from all further liability with respect to such money.

 

SECTION 4.3APPOINTMENT TO FILL VACANCY
IN OFFICE OF TRUSTEE.

 

The Company, whenever necessary to avoid
or fill a vacancy in the office of Trustee, will appoint, in the manner provided in Section 7.10, a Trustee, so that there shall
at all times be a Trustee hereunder.

 

SECTION 4.4COMPLIANCE WITH CONSOLIDATION
PROVISIONS.

 

The Company will not, while any of the
Securities remain Outstanding, consolidate with or merge into any other Person, in either case where the Company is not the survivor
of such transaction, or sell or convey all or substantially all of its property to any other Person unless the provisions of Article
X hereof are complied with.

 

 

    	 	15	 

     

    

 

ARTICLE V

SECURITYHOLDERS’ LISTS AND REPORTS
BY

THE COMPANY AND THE TRUSTEE

 

SECTION 5.1COMPANY TO FURNISH TRUSTEE NAMES AND ADDRESSES
OF SECURITYHOLDERS.

 

The Company will furnish or cause to be
furnished to the Trustee (a) on each regular record date (as defined in Section 2.3) a list, in such form as the Trustee may reasonably
require, of the names and addresses of the holders of each series of Securities as of such regular record date, provided that the
Company shall not be obligated to furnish or cause to furnish such list at any time that the list shall not differ in any respect
from the most recent list furnished to the Trustee by the Company and (b) at such other times as the Trustee may request in writing
within 30 days after the receipt by the Company of any such request, a list of similar form and content as of a date not more than
15 days prior to the time such list is furnished; provided, however, that, in either case, no such list need be furnished for any
series for which the Trustee shall be the Security Registrar.

 

SECTION 5.2PRESERVATION OF INFORMATION; COMMUNICATIONS
WITH SECURITYHOLDERS.

 

(a)                
The Trustee shall preserve in as current a form as is reasonably practicable the most recent list available to it of the
names and addresses of the Securityholders of each series of Securities and shall otherwise comply with Section 312(a) of the Trust
Indenture Act. If the Trustee is not the Security Registrar, the Company shall furnish to the Trustee at least ten (10) days before
each interest payment date with respect to any series of Securities and at such other times as the Trustee may request in writing
a list, in such form and as of such date as the Trustee may reasonably require, of the names and addresses of the Securityholders
of such series of Securities, which list may be conclusively relied upon by the Trustee.

 

(b)               
Securityholders of any series may communicate pursuant to Section 312(b) of the Trust Indenture Act with other Securityholders
of that series or any other series with respect to their rights under this Indenture or the Securities of that series or any other
series.

 

(c)                
The Company, the Trustee, the Security Registrar and any other Person shall have the protection of Section 312(c) of the
Trust Indenture Act.

 

SECTION 5.3 REPORTS BY THE COMPANY.

 

(a)                
So long as any Security is Outstanding, the Company shall furnish a copy to the Trustee, within 15 days after the Company
files the same with the Commission, copies of the annual reports and of the information, documents and other reports (or copies
of such portions of any of the foregoing as the Commission may from time to time by rules and regulations prescribe) that the Company
files with the Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; provided, however, the Company shall not
be required to deliver to the Trustee any materials for which the Company has sought and received confidential treatment by the
Commission; and provided further, so long as such filings by the Company are available on the Commission’s Electronic Data
Gathering, Analysis and Retrieval System (EDGAR), such filings shall be deemed to have been furnished to the Trustee for purposes
of this Section 5.3 without any further action required by the Company. The Trustee shall have no obligation whatsoever to determine
whether or not such filings have been made.

 

(b)               
Delivery of such reports, information and documents to the Trustee shall be for informational purposes only and the Trustee’s
receipt of such shall not constitute constructive notice of any information contained therein or determinable from information
contained therein, including the Company’s compliance with any of the covenants contained in this Indenture (as to which
the Trustee is entitled to conclusively rely upon an Officer’s Certificate).

 

 

 

    	 	16	 

     

    

 

SECTION 5.4REPORTS BY THE TRUSTEE.

 

(a)                
The Trustee shall transmit to the Securityholders such reports concerning the Trustee and its actions under this Indenture
as may be required pursuant to the Trust Indenture Act at the time and in the manner provided pursuant thereto. If required by
Section 313(a) of the Trust Indenture Act, the Trustee shall, within 60 days after each May 15 following the date of this Indenture,
deliver to holders a brief report, dated as of such May 15, which complies with the provisions of such Section 313(a).

 

(b)               
The Trustee shall comply with Section 313(b) and 313(c) of the Trust Indenture Act.

 

(c)                
A copy of each such report shall, at the time of such transmission to Securityholders, be filed by the Trustee with the
Company, with each securities exchange upon which any Securities are listed (if so listed) and also with the Commission. The Company
agrees to notify the Trustee when any Securities become listed on any securities exchange.

 

ARTICLE VI

REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS

ON EVENT OF DEFAULT

 

SECTION 6.1EVENTS OF DEFAULT.

 

(a)                
Whenever used herein with respect to Securities of a particular series, unless otherwise specified in a Board Resolution
or in an indenture supplemental hereto, “Event of Default” means any one or more of the following events that
has occurred and is continuing:

 

(1)               
the Company defaults in the payment of any installment of interest upon any of the Securities of that series, as and when
the same shall become due and payable, and such default continues for a period of 30 days; provided, however, that a valid extension
of an interest payment period by the Company in accordance with the terms of any Board Resolution or indenture supplemental hereto
shall not constitute a default in the payment of interest for this purpose;

 

(2)               
the Company defaults in the payment of the principal of (or premium, if any, on) any of the Securities of that series as
and when the same shall become due and payable whether at maturity, upon redemption, by declaration or otherwise, or in any payment
required by any sinking or analogous fund established with respect to that series; provided, however, that a valid extension of
the maturity of such Securities in accordance with the terms of any Board Resolution or indenture supplemental hereto shall not
constitute a default in the payment of principal or premium, if any;

 

(3)               
the Company defaults in the performance or breach of its covenants or agreements with respect to that series contained in
this Indenture or otherwise established with respect to that series of Securities pursuant to Section 2.1 hereof (other than a
covenant or agreement that has been expressly included in this Indenture solely for the benefit of one or more series of Securities
other than such series) for a period of 90 consecutive days after the date on which written notice of such failure, requiring the
same to be remedied and stating that such notice is a “Notice of Default” hereunder, shall have been given to
the Company by the Trustee, by registered or certified mail, or to the Company and the Trustee by the holders of at least 25% in
principal amount of the Securities of that series at the time Outstanding;

 

(4)               
the Company pursuant to or within the meaning of any Bankruptcy Law (i) commences a voluntary case, (ii) consents to the
entry of an order for relief against it in an involuntary case, (iii) consents to the appointment of a Custodian of it or for all
or substantially all of its property or (iv) makes a general assignment for the benefit of its creditors;

 

(5)               
a court of competent jurisdiction enters an order under any Bankruptcy Law that (i) is for relief against the Company in
an involuntary case, (ii) appoints a Custodian of the Company for all or substantially all of its property or (iii) orders the
liquidation of the Company, and the order or decree remains unstayed and in effect for 60 consecutive days; or

 

 

 

 

 

    	 	17	 

     

    

 

(6)               
certain other specified events, as may be provided for in a Board Resolution or in a supplemental indenture.

 

(b)               
In each and every such case (other than an Event of Default specified in clause (4) or clause (5) above), unless the principal
of all the Securities of that series shall have already become due and payable, either the Trustee or the holders of not less than
25% in aggregate principal amount of the Securities of that series then Outstanding hereunder, by notice in writing to the Company
(and to the Trustee if given by such Securityholders), may, and the Trustee at the request of the holders of not less than 25%
in aggregate principal amount of the Securities of that series then outstanding hereunder shall, declare the principal of (and
premium, if any, on) and accrued and unpaid interest on all the Securities of that series to be due and payable immediately, and
upon any such declaration the same shall become and shall be immediately due and payable. If an Event of Default specified in clause
(4) or clause (5) above occurs, the principal of and accrued and unpaid interest on all the Securities of that series shall automatically
be immediately due and payable without any declaration or other act on the part of the Trustee or the holders of the Securities.

 

(c)                
At any time after the principal of (and premium, if any, on) and accrued and unpaid interest on the Securities of that series
shall have been so declared due and payable, and before any judgment or decree for the payment of the moneys due shall have been
obtained or entered as hereinafter provided, the holders of a majority in aggregate principal amount of the Securities of that
series then Outstanding hereunder, by written notice to the Company and the Trustee, may rescind and annul such declaration and
its consequences if: (i) the Company has paid or deposited with the Trustee a sum sufficient to pay all matured installments of
interest upon all the Securities of that series and the principal of (and premium, if any, on) any and all Securities of that series
that shall have become due otherwise than by acceleration (with interest upon such principal and premium, if any, and, to the extent
that such payment is enforceable under applicable law, upon overdue installments of interest, at the rate per annum expressed in
the Securities of that series to the date of such payment or deposit) and the amount payable to the Trustee under Section 7.6,
and (ii) any and all Events of Default under this Indenture with respect to such series, other than the nonpayment of principal
of (and premium, if any, on) and accrued and unpaid interest on Securities of that series that shall not have become due by their
terms, shall have been remedied or waived as provided in Section 6.6.

 

No such rescission and annulment shall
extend to or shall affect any subsequent default or impair any right consequent thereon.

 

(d)               
In case the Trustee shall have proceeded to enforce any right with respect to Securities of that series under this Indenture
and such proceedings shall have been discontinued or abandoned because of such rescission or annulment or for any other reason
or shall have been determined adversely to the Trustee, then and in every such case, subject to any determination in such proceedings,
the Company and the Trustee shall be restored respectively to their former positions and rights hereunder, and all rights, remedies
and powers of the Company and the Trustee shall continue as though no such proceedings had been taken.

 

SECTION 6.2COLLECTION OF INDEBTEDNESS
AND SUITS FOR ENFORCEMENT BY TRUSTEE.

 

(a)                
The Company covenants that (i) in case it shall default in the payment of any installment of interest on any of the Securities
of a series, and such default shall have continued for a period of 30 days, or (ii) in case it shall default in the payment of
the principal of (or premium, if any, on) any of the Securities of a series when the same shall have become due and payable, whether
upon maturity of the Securities of a series or upon redemption or upon declaration or otherwise, or in any payment required by
any sinking or analogous fund established with respect to that series as and when the same shall have become due and payable, then,
upon demand of the Trustee, the Company will pay to the Trustee, for the benefit of the holders of the Securities of that series,
the whole amount that then shall have been become due and payable on all such Securities for principal (and premium, if any) or
interest, or both, as the case may be, with interest upon the overdue principal (and premium, if any) and (to the extent that payment
of such interest is enforceable under applicable law) upon overdue installments of interest at the rate per annum expressed in
the Securities of that series; and, in addition thereto, such further amount as shall be sufficient to cover the costs and expenses
of collection, and the amount payable to the Trustee under Section 7.6.

 

 

 

    	 	18	 

     

    

 

(b)               
If the Company shall fail to pay such amounts forthwith upon such demand, the Trustee, in its own name and as trustee of
an express trust, shall be entitled and empowered to institute any action or proceeding at law or in equity for the collection
of the sums so due and unpaid, and may prosecute any such action or proceeding to judgment or final decree, and may enforce any
such judgment or final decree against the Company or other obligor upon the Securities of that series and collect the moneys adjudged
or decreed to be payable in the manner provided by law or equity out of the property of the Company or other obligor upon the Securities
of that series, wherever situated.

 

(c)                
In case of any receivership, insolvency, liquidation, bankruptcy, reorganization, readjustment, arrangement, composition
or judicial proceedings affecting the Company, or its creditors or property, the Trustee shall have power to intervene in such
proceedings and take any action therein that may be permitted by the court and shall (except as may be otherwise provided by law)
be entitled to file such proofs of claim and other papers and documents as may be necessary or advisable in order to have the claims
of the Trustee and of the holders of Securities of such series allowed for the entire amount due and payable by the Company under
this Indenture at the date of institution of such proceedings and for any additional amount that may become due and payable by
the Company after such date, and to collect and receive any moneys or other property payable or deliverable on any such claim,
and to distribute the same after the deduction of the amount payable to the Trustee under Section 7.6; and any receiver, assignee
or trustee in bankruptcy or reorganization is hereby authorized by each of the holders of Securities of such series to make such
payments to the Trustee, and, in the event that the Trustee shall consent to the making of such payments directly to such Securityholders,
to pay to the Trustee any amount due it under Section 7.6.

 

(d)               
All rights of action and of asserting claims under this Indenture, or under any of the terms established with respect to
Securities of that series, may be enforced by the Trustee without the possession of any of such Securities, or the production thereof
at any trial or other proceeding relative thereto, and any such suit or proceeding instituted by the Trustee shall be brought in
its own name as trustee of an express trust, and any recovery of judgment shall, after provision for payment to the Trustee of
any amounts due under Section 7.6, be for the ratable benefit of the holders of the Securities of such series.

 

In case of an Event of Default hereunder,
the Trustee may in its discretion proceed to protect and enforce the rights vested in it by this Indenture by such appropriate
judicial proceedings as the Trustee shall deem most effectual to protect and enforce any of such rights, either at law or in equity
or in bankruptcy or otherwise, whether for the specific enforcement of any covenant or agreement contained in this Indenture or
in aid of the exercise of any power granted in this Indenture, or to enforce any other legal or equitable right vested in the Trustee
by this Indenture or by law.

 

Nothing contained herein shall be deemed
to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any Securityholder any plan of reorganization,
arrangement, adjustment or composition affecting the Securities of that series or the rights of any holder thereof or to authorize
the Trustee to vote in respect of the claim of any Securityholder in any such proceeding.

 

SECTION 6.3APPLICATION OF MONEYS
COLLECTED.

 

Any moneys collected by the Trustee pursuant
to this Article VI with respect to a particular series of Securities shall be applied in the following order, at the date or dates
fixed by the Trustee and, in case of the distribution of such moneys on account of principal (or premium, if any) or interest,
upon presentation of the Securities of that series, and notation thereon of the payment, if only partially paid, and upon surrender
thereof if fully paid:

 

FIRST: To the payment
of reasonable costs and expenses of collection and of all amounts payable to the Trustee under Section 7.6;

 

SECOND: To the payment
to holders of Securities of the amounts then due and unpaid upon Securities of such series for principal (and premium, if any),
amounts payable upon redemption or repurchase of the Securities, and interest, in respect of which or for the benefit of which
such money has been collected, ratably, without preference or priority of any kind, according to the amounts due and payable on
such Securities for principal (and premium, if any) and interest, respectively; and

 

THIRD: To the payment
of the remainder, if any, to the Company or any other Person lawfully entitled thereto.

 

The Trustee may fix a record date and payment
date for any payment to holders pursuant to this Section 6.3. At least 15 days before such record date, the Company shall mail
to each holder and the Trustee a notice that states the record date, the payment date and the amount to be paid.

 

 

    	 	19	 

     

    

 

SECTION 6.4LIMITATION ON SUITS.

 

No holder of any Security of any series
shall have any right by virtue or by availing of any provision of this Indenture to institute any suit, action or proceeding in
equity or at law upon or under or with respect to this Indenture or for the appointment of a receiver or trustee, or for any other
remedy hereunder, unless (i) such holder previously shall have given to the Trustee written notice of an Event of Default and of
the continuance thereof with respect to the Securities of such series specifying such Event of Default, as hereinbefore provided;
(ii) the holders of not less than 25% in aggregate principal amount of the Securities of such series then Outstanding shall have
made written request upon the Trustee to institute such action, suit or proceeding in its own name as Trustee hereunder; (iii)
such holder or holders shall have offered to the Trustee such indemnity reasonably satisfactory to it against the costs, losses,
expenses and liabilities to be incurred therein or thereby; (iv) the Trustee for 60 days after its receipt of such notice, request
and offer of indemnity, shall have failed to institute any such action, suit or proceeding and (v) during such 60 day period, the
holders of a majority in principal amount of the Securities of that series do not give the Trustee a direction inconsistent with
the request.

 

Notwithstanding anything contained herein
to the contrary or any other provisions of this Indenture, the right of any holder of any Security to receive payment of the principal
of (and premium, if any) and interest on such Security, as therein provided, on or after the respective due dates expressed in
such Security (or in the case of redemption, on the redemption date), or to institute suit for the enforcement of any such payment
on or after such respective dates or redemption date, shall not be impaired or affected without the consent of such holder and
by accepting a Security hereunder it is expressly understood, intended and covenanted by the taker and holder of every Security
of such series with every other such taker and holder and the Trustee, that no one or more holders of Securities of such series
shall have any right in any manner whatsoever by virtue or by availing of any provision of this Indenture to affect, disturb or
prejudice the rights of the holders of any other of such Securities, or to obtain or seek to obtain priority over or preference
to any other such holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal,
ratable and common benefit of all holders of Securities of such series (it being understood that the Trustee does not have an affirmative
duty to ascertain whether or not such actions or forbearances are unduly prejudicial to such holders). For the protection and enforcement
of the provisions of this Section, each and every Securityholder and the Trustee shall be entitled to such relief as can be given
either at law or in equity.

 

SECTION 6.5RIGHTS AND REMEDIES CUMULATIVE;
DELAY OR OMISSION NOT WAIVER.

 

(a)                
Except as otherwise provided in Section 2.7, all powers and remedies given by this Article VI to the Trustee or to the Securityholders
shall, to the extent permitted by law, be deemed cumulative and not exclusive of any other powers and remedies available to the
Trustee or the holders of the Securities, by judicial proceedings or otherwise, to enforce the performance or observance of the
covenants and agreements contained in this Indenture or otherwise established with respect to such Securities.

 

(b)               
No delay or omission of the Trustee or of any holder of any of the Securities to exercise any right or power accruing upon
any Event of Default occurring and continuing as aforesaid shall impair any such right or power, or shall be construed to be a
waiver of any such default or an acquiescence therein; and, subject to the provisions of Section 6.4, every power and remedy given
by this Article VI or by law to the Trustee or the Securityholders may be exercised from time to time, and as often as shall be
deemed expedient, by the Trustee or by the Securityholders.

 

SECTION 6.6CONTROL BY SECURITYHOLDERS.

 

The holders of a majority in aggregate
principal amount of the Securities of any series at the time Outstanding, determined in accordance with Section 8.4, shall have
the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising
any trust or power conferred on the Trustee with respect to such series; provided, however, that such direction shall not be in
conflict with any rule of law or with this Indenture. Subject to the provisions of Section 7.1, the Trustee shall have the right
to decline to follow any such direction if the Trustee in good faith shall, by a Trust Officer or officers of the Trustee, determine
that the proceeding so directed, subject to the Trustee’s duties under the Trust Indenture Act, would involve the Trustee
in personal liability or might be unduly prejudicial to the Securityholders not involved in the proceeding. The holders of a majority
in aggregate principal amount of the Securities of any series at the time Outstanding affected thereby, determined in accordance
with Section 8.4, may on behalf of the holders of all of the Securities of such series waive any past default in the performance
of any of the covenants contained herein or established pursuant to Section 2.1 with respect to such series and its consequences,
except a default in the payment of the principal of, or premium, if any, or interest on, any of the Securities of that series as
and when the same shall become due by the terms of such Securities otherwise than by acceleration (unless such default has been
cured and a sum sufficient to pay all matured installments of interest and principal and any premium has been deposited with the
Trustee (in accordance with Section 6.1(c)), which requires the consent of each holder affected by such waiver. Upon any such waiver,
the default covered thereby shall be deemed to be cured for all purposes of this Indenture and the Company, the Trustee and the
holders of the Securities of such series shall be restored to their former positions and rights hereunder, respectively; but no
such waiver shall extend to any subsequent or other default or impair any right consequent thereon.

 

 

    	 	20	 

     

    

 

SECTION 6.7UNDERTAKING TO PAY COSTS.

 

All parties to this Indenture agree, and
each holder of any Securities by such holder’s acceptance thereof shall be deemed to have agreed, that any court may in its
discretion require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee
for any action taken or omitted by it as Trustee, the filing by any party litigant in such suit of an undertaking to pay the costs
of such suit, and that such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees, against
any party litigant in such suit, having due regard to the merits and good faith of the claims or defenses made by such party litigant;
but the provisions of this Section shall not apply to any suit instituted by the Trustee, to any suit instituted by any Securityholder,
or group of Securityholders, holding more than 10% in aggregate principal amount of the Outstanding Securities of any series, or
to any suit instituted by any Securityholder for the enforcement of the payment of the principal of (or premium, if any) or interest
on any Security of such series, on or after the respective due dates expressed in such Security or established pursuant to this
Indenture.

 

ARTICLE VII

CONCERNING THE TRUSTEE

 

SECTION 7.1CERTAIN DUTIES AND RESPONSIBILITIES
OF TRUSTEE.

 

(a)                
The Trustee, prior to the occurrence of an Event of Default with respect to the Securities of a series and after the curing
of all Events of Default with respect to the Securities of that series that may have occurred, shall undertake to perform with
respect to the Securities of such series such duties and only such duties as are specifically set forth in this Indenture, and
no implied covenants shall be read into this Indenture against the Trustee. In case an Event of Default with respect to the Securities
of a series has occurred (that has not been cured or waived), the Trustee shall exercise with respect to Securities of that series
such of the rights and powers vested in it by this Indenture, and use the same degree of care and skill in their exercise, as a
prudent person would exercise or use under the circumstances in the conduct of his or her own affairs. Except during the continuance
of an Event of Default with respect to the Securities of a series, in the absence of bad faith on its part, the Trustee may with
respect to the Securities of such series conclusively rely, as to the truth of the statements and the correctness of the opinions
expressed therein, upon certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture;
but in the case of any such certificates or opinions which by any provision hereof are specifically required to be furnished to
the Trustee, the Trustee shall be under a duty to examine the same to determine whether or not they conform to the requirements
of this Indenture (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein).

 

(b)               
No provision of this Indenture shall be construed to relieve the Trustee from liability for its own negligent action, its
own negligent failure to act, or its own willful misconduct, except that:

 

(i)                 
this subsection (b) shall not be construed to limit the effect of subsection (a) of this Section;

 

 

 

    	 	21	 

     

    

 

(ii)               
the Trustee shall not be liable for any error of judgment made in good faith by a Trust Officer or Trust Officers of the
Trustee, unless it shall be proved that the Trustee was negligent in ascertaining the pertinent facts;

 

(iii)             
the Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance
with the direction of the holders of not less than a majority in principal amount of the Securities of any series at the time Outstanding
relating to the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any
trust or power conferred upon the Trustee under this Indenture with respect to the Securities of that series; and

 

(iv)              
None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own funds or otherwise
incur personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers if
there is reasonable ground for believing that the repayment of such funds or liability is not reasonably assured to it under the
terms of this Indenture or adequate indemnity against such risk is not reasonably assured to it.

 

(c)                
Whether or not therein expressly so provided, every provision of this Indenture relating to the conduct or affecting the
liability of or affording protection to the Trustee shall be subject to the provisions of this Section.

 

SECTION 7.2CERTAIN RIGHTS OF TRUSTEE.

 

Except as otherwise provided in Section
7.1:

 

(a)                
The Trustee may conclusively rely and shall be fully protected in acting or refraining from acting upon any resolution,
certificate, statement, instrument, opinion, report, notice, request, consent, order, approval, bond, security or other paper or
document believed by it to be genuine and to have been signed or presented by the proper party or parties;

 

(b)               
Any request, direction, order or demand of the Company mentioned herein shall be sufficiently evidenced by a Board Resolution
or an instrument signed in the name of the Company by any authorized officer of the Company (unless other evidence in respect thereof
is specifically prescribed herein);

 

(c)                
The Trustee may consult with counsel and the advice of such counsel or any Opinion of Counsel shall be full and complete
authorization and protection in respect of any action taken or suffered or omitted hereunder in good faith and in reliance thereon;

 

(d)               
The Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request,
order or direction of any of the Securityholders pursuant to the provisions of this Indenture, unless such Securityholders shall
have offered to the Trustee security or indemnity reasonably satisfactory to it against the costs, losses, expenses and liabilities
that may be incurred therein or thereby; nothing contained herein shall, however, relieve the Trustee of the obligation, upon the
occurrence of an Event of Default with respect to a series of the Securities (that has not been cured or waived), to exercise with
respect to Securities of that series such of the rights and powers vested in it by this Indenture, and to use the same degree of
care and skill in their exercise, as a prudent person would exercise or use under the circumstances in the conduct of his or her
own affairs;

 

(e)                
The Trustee shall not be liable for any action taken or omitted to be taken by it in good faith and believed by it to be
authorized or within the discretion or rights or powers conferred upon it by this Indenture;

 

(f)                 
The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate,
statement, instrument, opinion, report, notice, request, consent, order, approval, bond, security, or other papers or documents,
unless requested in writing so to do by the holders of not less than a majority in principal amount of the Outstanding Securities
of the particular series affected thereby (determined as provided in Section 8.4), and, if so requested, except as otherwise prohibited
by applicable law or as would reasonably be expected to violate or result in the loss or impairment of any attorney-client or work
product privilege, the Trustee shall be entitled to examine the books, records, and premises of the Company, personally or by agent,
or attorney, and it shall incur no liability or additional liability of any kind by reason of such inquiry or investigation; provided,
however, that the Company shall not be required to provide access or furnish information in the event of any litigation involving
this Indenture or the Securities except pursuant to applicable rules of discovery; and provided, further, that if the payment within
a reasonable time to the Trustee of the costs, expenses or liabilities likely to be incurred by it in the making of such investigation
is, in the opinion of the Trustee, not reasonably assured to the Trustee by the security afforded to it by the terms of this Indenture,
the Trustee may require reasonable indemnity against such costs, expenses or liabilities as a condition to so proceeding. The reasonable
expense of every such examination shall be paid by the Company or, if paid by the Trustee, shall be repaid by the Company upon
demand;

 

 

 

 

    	 	22	 

     

    

 

(g)               
The Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through
agents or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney
appointed with due care by it hereunder;

 

(h)               
In no event shall the Trustee be responsible or liable for special, indirect, punitive or consequential loss or damage of
any kind whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustee has been advised of the
likelihood of such loss or damage and regardless of the form of action;

 

(i)                 
The Trustee shall not be deemed to have notice of any Default or Event of Default unless a Trust Officer has actual knowledge
thereof or unless written notice of any event which is in fact such a default is received by the Trustee at the Corporate Trust
Office of the Trustee, and such notice references the Securities and this Indenture;

 

(j)                 
The rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right
to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and each agent,
custodian and other Person employed to act hereunder;

 

(k)               
The Trustee shall not be required to give any bond or surety in respect of the performance of its powers and duties hereunder;

 

(l)                 
The Trustee shall not be liable for the acts or omissions of any other agent of the Company, and may assume performance
by any such agent of its duties, absent written notice or actual knowledge to the contrary; and

 

(m)              
The permissive right of the Trustee to take the actions permitted by this Indenture shall not be construed as an obligation
or duty to do so.

 

SECTION 7.3TRUSTEE NOT RESPONSIBLE
FOR RECITALS OR ISSUANCE OR SECURITIES.

 

(a)                
The recitals contained herein and in the Securities shall be taken as the statements of the Company, and the Trustee assumes
no responsibility for the correctness of the same.

 

(b)               
The Trustee makes no representations as to the validity or sufficiency of this Indenture or of the Securities.

 

(c)                
The Trustee shall not be accountable for the use or application by the Company of any of the Securities or of the proceeds
of such Securities, or for the use or application of any moneys paid over by the Trustee in accordance with any provision of this
Indenture or established pursuant to Section 2.1, or for the use or application of any moneys received by any Paying Agent other
than the Trustee.

 

SECTION 7.4MAY HOLD SECURITIES AND
OTHERWISE DEAL WITH THE COMPANY.

 

Subject to the Trust Indenture Act, the
Trustee, the Security Registrar, any Paying Agent or any other agent of the Company, in its individual or any other capacity, may
buy, own, hold, sell and become the pledgee of any of the Securities or any other evidences of indebtedness or other securities,
whether heretofore or hereafter created or issued, of the Company or any Subsidiary or Affiliate of the Company with the same rights
it would have if it were not Trustee, Security Registrar, Paying Agent or such other agent; and the Trustee may engage or be interested
in any financial or other transaction with the Company or any Subsidiary or Affiliate of the Company, including, without limitation,
secured and unsecured loans to the Company or any Subsidiary or Affiliate of the Company; and may maintain any and all other general
banking and business relations with the Company and any Subsidiary or Affiliate of the Company with like effect and in the same
manner and to the same extent as if the Trustee were not a party to this Indenture; and no implied covenant shall be read into
this Indenture against the Trustee in respect of any such matters.

 

 

 

 

 

    	 	23	 

     

    

 

SECTION 7.5MONEYS HELD IN TRUST.

 

Subject to the provisions of Sections 11.2,
12.5, 12.6 and 12.7, all moneys received by the Trustee shall, until used or applied as herein provided, be held in trust for the
purposes for which they were received, but need not be segregated from other funds except to the extent required by law. The Trustee
shall be under no liability for interest on any moneys received by it hereunder except such as it may agree with the Company to
pay thereon.

 

SECTION 7.6COMPENSATION AND REIMBURSEMENT.

 

(a)                
The Company covenants and agrees to pay to the Trustee, and the Trustee shall be entitled to, such compensation (which shall
not be limited by any provision of law in regard to the compensation of a trustee of an express trust) as the Company and the Trustee
may from time to time agree in writing, for all services rendered by it in the execution of the trusts hereby created and in the
exercise and performance of any of the powers and duties hereunder of the Trustee, and, except as otherwise expressly provided
herein, the Company will pay or reimburse the Trustee upon its request for all reasonable expenses, disbursements and advances
incurred or made by the Trustee in accordance with any of the provisions of this Indenture (including the reasonable compensation
and the expenses and disbursements of its counsel and of all Persons not regularly in its employ), except any such expense, disbursement
or advance as may arise from its negligence or willful misconduct and except as the Company and Trustee may from time to time agree
in writing. The Company also covenants to indemnify the Trustee (and its officers, agents, directors and employees) for, and to
hold it harmless against, any loss, costs, damages, liability or expense incurred without negligence or willful misconduct on the
part of the Trustee (as determined by a court of competent jurisdiction in a final and non-appealable judgment) and arising out
of or in connection with the acceptance or administration of this trust, including the reasonable costs and expenses of defending
itself against any claim of liability in the premises.

 

(b)               
To secure the Company’s payment obligations in this Section 7.6, the Trustee shall have a lien prior to the Securities
of any series on all money or property held or collected by the Trustee, except that held in trust to pay principal of and interest
on particular Securities of such series.

 

When the Trustee incurs expenses or renders
services after an Event of Default specified in Section 6.1(a)(4) or 6.1(a)(5) occurs, the expenses and the compensation for the
services are intended to constitute expenses of administration under any Bankruptcy Law.

 

The provisions of this Section 7.6 shall
survive the resignation or removal of the Trustee and the termination or satisfaction of this Indenture.

 

SECTION 7.7RELIANCE ON OFFICER’S
CERTIFICATE.

 

Except as otherwise provided in Section
7.1, whenever in the administration of the provisions of this Indenture the Trustee shall deem it reasonably necessary or desirable
that a matter be proved or established prior to taking or suffering or omitting to take any action hereunder, such matter (unless
other evidence in respect thereof be herein specifically prescribed) may, in the absence of negligence or willful misconduct on
the part of the Trustee, be deemed to be conclusively proved and established by an Officer’s Certificate delivered to the
Trustee and such certificate, in the absence of negligence or willful misconduct on the part of the Trustee, shall be full warrant
to the Trustee for any action taken, suffered or omitted to be taken by it under the provisions of this Indenture upon the faith
thereof.

 

SECTION 7.8DISQUALIFICATION; CONFLICTING
INTERESTS.

 

If the Trustee has or shall acquire any
“conflicting interest” within the meaning of Section 310(b) of the Trust Indenture Act, the Trustee and the Company
shall in all respects comply with the provisions of Section 310(b) of the Trust Indenture Act.

 

 

 

 

 

 

 

    	 	24	 

     

    

 

SECTION 7.9CORPORATE TRUSTEE REQUIRED;
ELIGIBILITY.

 

There shall at all
times be a Trustee with respect to the Securities issued hereunder which shall at all times be a corporation organized and doing
business under the laws of the U.S. or any state or territory thereof or of the District of Columbia, or a corporation or other
Person permitted to act as trustee by the Commission, authorized under such laws to exercise corporate trust powers, having (or,
in the case of a subsidiary of a bank holding company, its bank holding company parent shall have) a combined capital and surplus
of at least one hundred million U.S. dollars ($100,000,000), and subject to supervision or examination by federal, state, territorial,
or District of Columbia authority.

 

If such corporation or other Person publishes
reports of condition at least annually, pursuant to law or to the requirements of the aforesaid supervising or examining authority,
then for the purposes of this Section, the combined capital and surplus of such corporation or other Person shall be deemed to
be its combined capital and surplus as set forth in its most recent report of condition so published. The Company may not, nor
may any Person directly or indirectly controlling, controlled by, or under common control with the Company, serve as Trustee.
In case at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section, the Trustee shall
resign immediately in the manner and with the effect specified in Section 7.10.

 

SECTION 7.10RESIGNATION AND REMOVAL;
APPOINTMENT OF SUCCESSOR.

 

(a)                
The Trustee or any successor hereafter appointed may at any time resign with respect to the Securities of one or more series
by giving written notice thereof to the Company and by transmitting notice of resignation by mail, first class postage prepaid
(or, in the case of Securities held in book-entry form, by electronic transmission), to the Securityholders of such series, as
their names and addresses appear upon the Security Register. Upon receiving such notice of resignation, the Company shall promptly
appoint a successor trustee with respect to Securities of such series by written instrument, in duplicate, executed by order of
the Board of Directors, one copy of which instrument shall be delivered to the resigning Trustee and one copy to the successor
trustee. If no successor trustee shall have been so appointed and have accepted appointment within 30 days after the mailing of
such notice of resignation, the resigning Trustee may at the expense of the Company, petition any court of competent jurisdiction
for the appointment of a successor trustee with respect to Securities of such series, or the holders of at least 10% in the aggregate
principal amount of Outstanding Securities may petition any such court for the appointment of a successor trustee. Such court may
thereupon after such notice, if any, as it may deem proper and prescribe, appoint a successor trustee.

 

(b)               
In case at any time any one of the following shall occur:

 

(i)                 
the Trustee shall fail to comply with the provisions of Section 7.8 after written request therefor by the Company or by
any Securityholder who has been a bona fide holder of a Security or Securities for at least six months; or

 

(ii)               
the Trustee shall cease to be eligible in accordance with the provisions of Section 7.9 and shall fail to resign after written
request therefor by the Company or by any such Securityholder; or

 

(iii)             
the Trustee shall become incapable of acting, or shall be adjudged a bankrupt or insolvent, or commence a voluntary bankruptcy
proceeding, or a receiver of the Trustee or of its property shall be appointed or consented to, or any public officer shall take
charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation;

 

then, in any such case, the Company may
remove the Trustee with respect to all Securities and appoint a successor trustee by written instrument, in duplicate, executed
by order of the Board of Directors, one copy of which instrument shall be delivered to the Trustee so removed and one copy to the
successor trustee, or any Securityholder who has been a bona fide holder of a Security or Securities for at least six months may,
on behalf of that holder and all others similarly situated, petition any court of competent jurisdiction for the removal of the
Trustee and the appointment of a successor trustee. Such court may thereupon after such notice, if any, as it may deem proper and
prescribe, remove the Trustee and appoint a successor trustee.

 

 

 

 

    	 	25	 

     

    

 

(c)                
The holders of a majority in aggregate principal amount of the Securities of any series at the time Outstanding may, upon
30 days’ notice, remove the Trustee with respect to such series by so notifying the Trustee and the Company and may appoint
a successor Trustee for such series with the consent of the Company.

 

(d)               
Any resignation or removal of the Trustee and appointment of a successor trustee with respect to the Securities of a series
pursuant to any of the provisions of this Section shall become effective upon acceptance of appointment by the successor trustee
as provided in Section 7.11.

 

(e)                
Any successor trustee appointed pursuant to this Section may be appointed with respect to the Securities of one or more
series or all of such series, and at any time there shall be only one Trustee with respect to the Securities of any particular
series.

 

SECTION 7.11ACCEPTANCE OF APPOINTMENT
BY SUCCESSOR.

 

(a)                
In case of the appointment hereunder of a successor trustee with respect to all Securities, every such successor trustee
so appointed shall execute, acknowledge and deliver to the Company and to the retiring Trustee an instrument accepting such appointment,
and thereupon the resignation or removal of the retiring Trustee shall become effective and such successor trustee, without any
further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee; but,
on the request of the Company or the successor trustee, such retiring Trustee shall, upon payment of its charges, execute and deliver
an instrument transferring to such successor trustee all the rights, powers, and trusts of the retiring Trustee and shall duly
assign, transfer and deliver to such successor trustee all property and money held by such retiring Trustee hereunder.

 

(b)               
In case of the appointment hereunder of a successor trustee with respect to the Securities of one or more (but not all)
series, the Company, the retiring Trustee and each successor trustee with respect to the Securities of one or more series shall
execute and deliver an indenture supplemental hereto wherein each successor trustee shall accept such appointment and which (i)
shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each successor trustee
all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to which
the appointment of such successor trustee relates, (ii) shall contain such provisions as shall be deemed necessary or desirable
to confirm that all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those
series as to which the retiring Trustee is not retiring shall continue to be vested in the retiring Trustee, and (iii) shall add
to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the
trusts hereunder by more than one Trustee, it being understood that nothing herein or in such supplemental indenture shall constitute
such Trustees co-trustees of the same trust, that each such Trustee shall be trustee of a trust or trusts hereunder separate and
apart from any trust or trusts hereunder administered by any other such Trustee and that no Trustee shall be responsible for any
act or failure to act on the part of any other Trustee hereunder; and upon the execution and delivery of such supplemental indenture
the resignation or removal of the retiring Trustee shall become effective to the extent provided therein, such retiring Trustee
shall with respect to the Securities of that or those series to which the appointment of such successor trustee relates have no
further responsibility for the exercise of rights and powers or for the performance of the duties and obligations vested in the
Trustee under this Indenture, and each such successor trustee, without any further act, deed or conveyance, shall become vested
with all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those series to
which the appointment of such successor trustee relates; but, on request of the Company or any successor trustee, such retiring
Trustee shall duly assign, transfer and deliver to such successor trustee, to the extent contemplated by such supplemental indenture,
the property and money held by such retiring Trustee hereunder with respect to the Securities of that or those series to which
the appointment of such successor trustee relates.

 

(c)                
Upon request of any such successor trustee, the Company shall execute any and all instruments for more fully and certainly
vesting in and confirming to such successor trustee all such rights, powers and trusts referred to in paragraph (a) or (b) of this
Section, as the case may be.

 

(d)               
No successor trustee shall accept its appointment unless at the time of such acceptance such successor trustee shall be
qualified and eligible under this Article VII.

 

 

 

 

 

 

    	 	26	 

     

    

 

(e)                
Upon acceptance of appointment by a successor trustee as provided in this Section, the Company shall transmit notice of
the succession of such trustee hereunder by mail, first class postage prepaid, to the Securityholders, as their names and addresses
appear upon the Security Register. If the Company fails to transmit such notice within ten days after acceptance of appointment
by the successor trustee, the successor trustee shall cause such notice to be transmitted at the expense of the Company.

 

SECTION 7.12MERGER, CONVERSION,
CONSOLIDATION OR SUCCESSION TO BUSINESS.

 

Any corporation into which the Trustee
may be merged or converted or with which it may be consolidated, or any corporation resulting from any merger, conversion or consolidation
to which the Trustee shall be a party, or any corporation succeeding to all or substantially all of the corporate trust business
of the Trustee (including the administration of the trust created by this Indenture), shall be the successor of the Trustee hereunder,
provided that such corporation shall be qualified under the provisions of Section 7.8 and eligible under the provisions of Section
7.9, without the execution or filing of any paper or any further act on the part of any of the parties hereto, anything herein
to the contrary notwithstanding. In case any Securities shall have been authenticated, but not delivered, by the Trustee then in
office, any successor by merger, conversion or consolidation to such authenticating Trustee may adopt such authentication and deliver
the Securities so authenticated with the same effect as if such successor Trustee had itself authenticated such Securities.

 

SECTION 7.13PREFERENTIAL COLLECTION
OF CLAIMS AGAINST THE COMPANY.

 

The Trustee shall comply with Section 311(a)
of the Trust Indenture Act, excluding any creditor relationship described in Section 311(b) of the Trust Indenture Act. A Trustee
who has resigned or been removed shall be subject to Section 311(a) of the Trust Indenture Act to the extent included therein.

 

SECTION 7.14NOTICE OF DEFAULT.

 

If any Default or any Event of Default
occurs and is continuing and if the Trustee has notice of such Default or Event of Default, the Trustee shall mail to each Securityholder
in the manner and to the extent provided in Section 313(c) of the Trust Indenture Act notice of the Default or Event of Default
within 90 days after it occurs (or, the Trustee does not have notice of such Default or Event of Default until after that time,
15 days after the Trustee has notice of such Default or Event of Default), unless such Default or Event of Default has been cured;
provided, however, that, except in the case of a default in the payment of the principal of (or premium, if any) or interest on
any Security, the Trustee shall be protected in withholding such notice if and so long as the Trustee in good faith determines
that the withholding of such notice is in the interest of the Securityholders.

 

SECTION 7.15LIMITATION OF LIABILITY

 

The Trustee is entering
into this Indenture and the other documents contemplated hereby and related hereto to which it is a party solely in its capacity
as trustee under the Indenture and not in its individual capacity (except as expressly stated herein) and in no case shall the
Trustee (or any Person acting as successor trustee under this Indenture) be personally liable for or on account of any of the statements,
representations, warranties, covenants or obligations stated to be those of the Company hereunder or thereunder, all such liability,
if any, being expressly waived by the parties hereto and any person claiming by, through or under such party.

 

ARTICLE VIII

CONCERNING THE SECURITYHOLDERS

 

SECTION 8.1EVIDENCE OF ACTION BY
SECURITYHOLDERS.

 

Whenever in this Indenture it is provided
that the holders of a majority or specified percentage in aggregate principal amount of the Securities of a particular series may
take any action (including the making of any demand or request, the giving of any notice, consent or waiver or the taking of any
other action), the fact that at the time of taking any such action the holders of such majority or specified percentage of that
series have joined therein may be evidenced by any instrument or any number of instruments of similar tenor executed by such holders
of Securities of that series in person or by agent or proxy appointed in writing.

 

 

 

 

    	 	27	 

     

    

 

If the Company shall solicit from the Securityholders
of any series any request, demand, authorization, direction, notice, consent, waiver or other action, the Company may, at its option,
as evidenced by an Officer’s Certificate, fix in advance a record date for such series for the determination of Securityholders
entitled to give such request, demand, authorization, direction, notice, consent, waiver or other action, but the Company shall
have no obligation to do so. If such a record date is fixed, such request, demand, authorization, direction, notice, consent, waiver
or other action may be given before or after the record date, but only the Securityholders of record at the close of business on
the record date shall be deemed to be Securityholders for the purposes of determining whether Securityholders of the requisite
proportion of Outstanding Securities of that series have authorized or agreed or consented to such request, demand, authorization,
direction, notice, consent, waiver or other action, and for that purpose the Outstanding Securities of that series shall be computed
as of the record date; provided, however, that no such authorization, agreement or consent by such Securityholders on the record
date shall be deemed effective unless it shall become effective pursuant to the provisions of this Indenture not later than six
months after the record date.

 

SECTION 8.2PROOF OF EXECUTION BY
SECURITYHOLDERS.

 

Subject to the provisions of Section 7.1,
proof of the execution of any instrument by a Securityholder (such proof will not require notarization) or his agent or proxy and
proof of the holding by any Person of any of the Securities shall be sufficient if made in the following manner:

 

(a)                
The fact and date of the execution by any such Person of any instrument may be proved in any reasonable manner acceptable
to the Trustee.

 

(b)               
The ownership of Securities shall be proved by the Security Register of such Securities or by a certificate of the Security
Registrar thereof.

 

The Trustee may require such additional
proof of any matter referred to in this Section as it shall deem necessary.

 

SECTION 8.3WHO MAY BE DEEMED OWNERS.

 

Prior to the due presentment for registration
of transfer of any Security, the Company, the Trustee, any Paying Agent and any Security Registrar may deem and treat the Person
in whose name such Security shall be registered upon the books of the Security Registrar as the absolute owner of such Security
(whether or not such Security shall be overdue and notwithstanding any notice of ownership or writing thereon made by anyone other
than the Security Registrar) for the purpose of receiving payment of or on account of the principal of, premium, if any, and (subject
to Section 2.3) interest on such Security and for all other purposes; and neither the Company nor the Trustee nor any Paying Agent
nor any Security Registrar shall be affected by any notice to the contrary.

 

SECTION 8.4CERTAIN SECURITIES OWNED
BY COMPANY DISREGARDED.

 

In determining whether the holders of the
requisite aggregate principal amount of Securities of a particular series have concurred in any direction, consent or waiver under
this Indenture, the Securities of that series that are owned by the Company or any other obligor on the Securities of that series
or by any Person directly or indirectly controlling or controlled by or under common control with the Company or any other obligor
on the Securities of that series shall be disregarded and deemed not to be Outstanding for the purpose of any such determination,
except that for the purpose of determining whether the Trustee shall be protected in relying on any such direction, consent or
waiver, only Securities of such series that the Trustee actually knows are so owned shall be so disregarded. The Securities so
owned that have been pledged in good faith may be regarded as Outstanding for the purposes of this Section, if the pledgee shall
establish to the satisfaction of the Trustee the pledgee’s right so to act with respect to such Securities and that the pledgee
is not a Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company
or any such other obligor. In case of a dispute as to such right, any decision by the Trustee taken upon the advice of counsel
shall be full protection to the Trustee.

 

 

 

 

    	 	28	 

     

    

 

SECTION 8.5ACTIONS BINDING ON FUTURE
SECURITYHOLDERS.

 

At any time prior to (but not after) the
evidencing to the Trustee, as provided in Section 8.1, of the taking of any action by the holders of the majority or percentage
in aggregate principal amount of the Securities of a particular series specified in this Indenture in connection with such action,
any holder of a Security of that series that is shown by the evidence to be included in the Securities the holders of which have
consented to such action may, by filing written notice with the Trustee, and upon proof of holding as provided in Section 8.2,
revoke such action so far as concerns such Security. Except as aforesaid any such action taken by the holder of any Security shall
be conclusive and binding upon such holder and upon all future holders and owners of such Security, and of any Security issued
in exchange therefor, on registration of transfer thereof or in place thereof, irrespective of whether or not any notation in regard
thereto is made upon such Security. Any action taken by the holders of the majority or percentage in aggregate principal amount
of the Securities of a particular series specified in this Indenture in connection with such action shall be conclusively binding
upon the Company, the Trustee and the holders of all the Securities of that series.

 

ARTICLE IX

SUPPLEMENTAL INDENTURES

 

SECTION 9.1SUPPLEMENTAL INDENTURES WITHOUT THE CONSENT
OF SECURITYHOLDERS.

 

In addition to any supplemental indenture
otherwise authorized by this Indenture, the Company and the Trustee may from time to time and at any time enter into an indenture
or indentures supplemental hereto (which shall comply with the provisions of the Trust Indenture Act as then in effect), without
the consent of the Securityholders, for one or more of the following purposes:

 

(a)                
to cure any ambiguity, defect, omission or inconsistency herein or in the Securities of any series (with such ambiguity,
defect, omission or inconsistency being evidenced by an Officer’s Certificate);

 

(b)               
to comply with Article X, including to evidence the succession of another Person to the Company and the assumption by any
such successor of the covenants of the Company herein and in the Securities contained or to provide for the assumption of a guarantor’s
obligations to holders of the Securities in the case of a merger or consolidation or sale of all or substantially all of the guarantor’s
assets;

 

(c)                
to provide for uncertificated Securities in addition to or in place of certificated Securities; provided that the
uncertificated Securities are issued in registered form for purposes of Section 163(f) of the Code;

 

(d)               
to add to the covenants of the Company or any guarantor for the benefit of the holders of the Securities of any series or
to surrender any right or power conferred upon the Company or any guarantor;

 

(e)                
to provide for the issuance of additional Securities of any series in accordance with the terms of this Indenture;

 

(f)                 
to evidence and provide for the acceptance of appointment hereunder by a successor trustee;

 

(g)               
to comply with any requirements of the Commission or any successor in connection with the qualification of this Indenture
under the Trust Indenture Act;

 

(h)               
to provide security for the Securities of any series or to provide for any guarantee of the Securities of any series or
to confirm or evidence the release, termination or discharge of any guarantee of or lien securing the Securities of any series
when such release, termination or discharge is permitted by this Indenture;

 

(i)                 
to make any change that would provide any additional rights or benefits to the holders of the Securities of any series or
that does not adversely affect the legal rights under this Indenture of any holder;

 

(j)                 
to make any amendment to the provision of this Indenture relating to the transfer and legending of the Securities of any
series; provided, however, that (1) compliance with this Indenture as so amended would not result in Securities of such series
being transferred in violation of the Securities Act or any other applicable securities law and (2) such amendment does not materially
and adversely affect the rights of holders to transfer Securities of such series; or

 

 

 

 

 

    	 	29	 

     

    

 

(k)               
to conform the text of this Indenture, any guarantee of the Securities of any series or the notes to any provision of the
“Description of Debt Securities and Guarantees” included in the prospectus forming a part of the registration statement
filed by the Company with the Commission on Form S-3 on August 4, 2016 or any subsequent description of Securities contained in
any prospectus supplement, to the extent that such provision in that “Description of Debt Securities and Guarantees”
or any subsequent description of Securities contained in any prospectus supplement was intended by the Company to be a verbatim
recitation of a provision of this Indenture, any guarantee of the Securities of any series or the Securities, as applicable (with
such intention being evidenced by an Officer’s Certificate).

 

The Trustee is hereby authorized to join
with the Company in the execution of any such supplemental indenture, and to make any further appropriate agreements and stipulations
that may be therein contained, but the Trustee shall not be obligated to enter into any such supplemental indenture that affects
the Trustee’s own rights, duties or immunities under this Indenture or otherwise.

 

Any supplemental indenture authorized by
the provisions of this Section may be executed by the Company and the Trustee without the consent of the holders of any of the
Securities at the time Outstanding, notwithstanding any of the provisions of Section 9.2.

 

SECTION 9.2SUPPLEMENTAL INDENTURES
WITH THE CONSENT OF SECURITYHOLDERS.

 

With the consent (evidenced as provided
in Section 8.1) of the holders of not less than a majority in aggregate principal amount of the Securities of each series affected
by such supplemental indenture or indentures at the time Outstanding (including consents obtained in connection with a tender offer
or exchange offer for the Securities), the Company, when authorized by a Board Resolution, and the Trustee may from time to time
and at any time enter into an indenture or indentures supplemental hereto (which shall comply with the provisions of the Trust
Indenture Act as then in effect) for the purpose of adding any provisions to or changing in any manner or eliminating (or waiving
any past default or compliance with) any of the provisions of this Indenture or of any supplemental indenture or of modifying in
any manner not covered by Section 9.1 the rights of the holders of the Securities of such series under this Indenture; provided,
however, that no such supplemental indenture shall, without the consent of the holders of each Security then Outstanding and affected
thereby,

 

(a)                
reduce the percentage or aggregate principal amount of Securities, the holders of which are required to consent to any modification,
amendment, supplement or waiver;

 

(b)               
reduce the principal amount of, or premium, if any, or rate of interest on, such Securities;

 

(c)                
extend the fixed maturity of such Securities;

 

(d)               
extend the time for payment of interest on such Securities;

 

(e)                
reduce the redemption or repurchase price of such Securities or change the time at which the Securities may or must be redeemed
or repurchased;

 

(f)                 
change the currency of payment of principal of, or premium, if any, or interest on, such Securities;

 

(g)               
waive a default in the payment of principal of, premium, if any, or interest on such Securities (except as provided in Section
6.1(c));

 

(h)               
voluntarily release a guarantor of such Securities other than in accordance with this Indenture;

 

(i)                 
reduce the percentage or aggregate principal amount of Outstanding Securities the consent of whose holders is necessary
for waiver of compliance with certain provisions of this Indenture or for waiver of certain defaults; or

 

(j)                 
impair the right to institute suit for the enforcement of any payment on or after the stated maturity (or, in the case of
a redemption, on or after the redemption date) of such Securities.

 

 

 

 

    	 	30	 

     

    

 

It shall not be necessary for the consent
of the Securityholders of any series affected thereby under this Section to approve the particular form of any proposed supplemental
indenture, but it shall be sufficient if such consent shall approve the substance thereof.

 

SECTION 9.3EFFECT OF SUPPLEMENTAL
INDENTURES.

 

Upon the execution of any supplemental
indenture pursuant to the provisions of this Article IX or of Section 10.1, this Indenture shall, with respect to such series,
be and be deemed to be modified and amended in accordance therewith and the respective rights, limitations of rights, obligations,
duties and immunities under this Indenture of the Trustee, the Company and the holders of Securities of the series affected thereby
shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and amendments,
and all the terms and conditions of any such supplemental indenture shall be and be deemed to be part of the terms and conditions
of this Indenture for any and all purposes.

 

SECTION 9.4SECURITIES AFFECTED BY
SUPPLEMENTAL INDENTURES.

 

Securities of any series affected by a
supplemental indenture, authenticated and delivered after the execution of such supplemental indenture pursuant to the provisions
of this Article IX or of Section 10.1, may bear a notation in form approved by the Company, provided such form meets the requirements
of any securities exchange upon which such series may be listed, as to any matter provided for in such supplemental indenture.
If the Company shall so determine, new Securities of that series so modified as to conform, in the opinion of the Board of Directors,
to any modification of this Indenture contained in any such supplemental indenture may be prepared by the Company, authenticated
by the Trustee and delivered in exchange for the Securities of that series then Outstanding.

 

SECTION 9.5EXECUTION OF SUPPLEMENTAL
INDENTURES.

 

Upon the request of the Company, accompanied
by its Board Resolutions authorizing the execution of any such supplemental indenture, and upon the filing with the Trustee of
evidence of the consent of Securityholders required to consent thereto as aforesaid, the Trustee shall join with the Company in
the execution of such supplemental indenture unless such supplemental indenture affects the Trustee’s own rights, duties
or immunities under this Indenture or otherwise, in which case the Trustee may in its discretion but shall not be obligated to
enter into such supplemental indenture. The Trustee shall receive, in addition to the documents required by Section 14.7(a), an
Officer’s Certificate and an Opinion of Counsel stating that and as conclusive evidence that any supplemental indenture executed
pursuant to this Article IX is authorized or permitted by, and conforms to, the terms of this Article IX, constitutes the legal,
valid and binding obligation of the Company, enforceable against it in accordance with its terms (subject to customary exceptions)
and that it is proper for the Trustee under the provisions of this Article IX to join in the execution thereof.

 

Promptly after the execution by the Company
and the Trustee of any supplemental indenture pursuant to the provisions of this Section, the Company shall transmit by mail, first
class postage prepaid, a notice, setting forth in general terms the substance of such supplemental indenture, to the Securityholders
of all series affected thereby as their names and addresses appear upon the Security Register. Any failure of the Company to mail
such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental indenture.

 

 

 

 

 

    	 	31	 

     

    

 

ARTICLE X

SUCCESSOR ENTITY

 

SECTION 10.1COMPANY MAY CONSOLIDATE,
ETC.

 

Except as provided pursuant to Section
2.1 pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or established in one or more indentures supplemental
to this Indenture, nothing contained in this Indenture shall prevent any consolidation or merger of the Company with or into any
other Person (whether or not affiliated with the Company) or successive consolidations or mergers in which the Company or its successor
or successors shall be a party or parties, or shall prevent any sale, conveyance, transfer or other disposition of the property
of the Company or its successor or successors as an entirety, or substantially as an entirety, to any other corporation (whether
or not affiliated with the Company or its successor or successors) authorized to acquire and operate the same; provided, however,
the Company hereby covenants and agrees that, upon any such consolidation or merger (in each case, if the Company is not the survivor
of such transaction), sale, conveyance, transfer or other disposition, (a) the due and punctual payment of the principal of (premium,
if any) and interest on all of the Securities of all series in accordance with the terms of each series, according to their tenor,
and the due and punctual performance and observance of all the covenants and conditions of this Indenture with respect to each
series or established with respect to such series pursuant to Section 2.1 to be kept or performed by the Company shall be expressly
assumed, by supplemental indenture (which shall conform to the provisions of the Trust Indenture Act, as then in effect) executed
and delivered to the Trustee by the entity formed by such consolidation, or into which the Company shall have been merged, or by
the entity which shall have acquired such property and (b) in the event that the Securities of any series then Outstanding are
convertible into or exchangeable for shares of common stock or other securities of the Company, such entity shall, by such supplemental
indenture, make provision so that the Securityholders of Securities of that series shall thereafter be entitled to receive upon
conversion or exchange of such Securities the number of securities or property to which a holder of the number of shares of common
stock or other securities of the Company deliverable upon conversion or exchange of those Securities would have been entitled had
such conversion or exchange occurred immediately prior to such consolidation, merger, sale, conveyance, transfer or other disposition.

 

SECTION 10.2SUCCESSOR ENTITY SUBSTITUTED.

 

(a)                
In case of any such consolidation, merger, sale, conveyance, transfer or other disposition and upon the assumption by the
successor entity by supplemental indenture, executed and delivered to the Trustee and satisfactory in form to the Trustee of the
obligations set forth under Section 10.1 on all of the Securities of all series Outstanding, such successor entity shall succeed
to and be substituted for the Company with the same effect as if it had been named as the Company herein, and thereupon the predecessor
corporation shall be relieved of all obligations and covenants under this Indenture and the Securities.

 

(b)               
In case of any such consolidation, merger, sale, conveyance, transfer or other disposition, such changes in phraseology
and form (but not in substance) may be made in the Securities thereafter to be issued as may be appropriate.

 

(c)                
Nothing contained in this Article X shall require any action by the Company in the case of a consolidation or merger of
any Person into the Company where the Company is the survivor of such transaction, or the acquisition by the Company, by purchase
or otherwise, of all or any part of the property of any other Person (whether or not affiliated with the Company).

 

SECTION 10.3EVIDENCE OF CONSOLIDATION,
ETC. TO TRUSTEE.

 

The Trustee, subject to the provisions
of Section 7.1, shall receive an Officer’s Certificate and an Opinion of Counsel stating that and as conclusive evidence
that any such consolidation, merger, sale, conveyance, transfer or other disposition, and any such assumption, comply with the
provisions of this Article X.

 

 

 

 

 

 

 

    	 	32	 

     

    

 

ARTICLE XI

SATISFACTION AND DISCHARGE

 

SECTION 11.1SATISFACTION AND DISCHARGE
OF INDENTURE.

 

This Indenture shall upon Company Request
cease to be of further effect with respect to any series of Securities (except as to any surviving rights of registration of transfer
or exchange of Securities of such series herein expressly provided for or in the form of Security for such series and any right
to receive additional amounts), and the Trustee, at the expense of the Company, shall execute proper instruments acknowledging
satisfaction and discharge of this Indenture as to such series, when

 

(a)                
either

 

(i)                 
all Securities of such series theretofore authenticated and delivered (other than (i) Securities which have been destroyed,
lost or stolen and which have been replaced or paid as provided in Section 2.7 and (ii) Securities for whose payment cash, Governmental
Obligations or a combination thereof has theretofore been deposited in trust or segregated and held in trust by the Company and
thereafter repaid to the Company or discharged from such trust, as provided in Sections 12.5 and 12.6) have been delivered to the
Trustee for cancellation; or

 

(ii)               
all such Securities of such series not theretofore delivered to the Trustee for cancellation, or

 

(A)                       
have become due and payable by reason of the mailing of a notice of redemption or otherwise, or

 

(B)                       
will become due and payable within one year,

 

and the Company, in the case of (A) or
(B) above, has deposited or caused to be deposited with the Trustee as trust funds in trust specifically pledged as security for,
and dedicated solely to, the benefit of the Securityholders of the Securities of that series, cash in U.S. dollars, Governmental
Obligations or a combination thereof in such amount as will be sufficient, without consideration of any reinvestment of interest,
to pay and discharge the entire indebtedness on such Securities not theretofore delivered to the Trustee for cancellation, for
principal (and premium, if any) and interest, if any, to the date of such deposit (in the case of Securities which have become
due and payable), or to the Stated Maturity or the Redemption Date, as the case may be;

 

(b)               
in respect of clause (a)(ii), no Event of Default has occurred and is continuing on the date of deposit (other than an Event
of Default resulting from the borrowing of funds to be applied to such deposit and any similar deposit relating to other indebtedness
and, in each case, the granting of certain liens to secure such borrowing);

 

(c)                
the Company or any guarantor has paid or caused to be paid all other sums payable hereunder by the Company with respect
to such series; and

 

(d)               
the Company has delivered irrevocable instructions to the Trustee under this Indenture to apply the deposited money towards
the payment of the notes at maturity or on the redemption date, as the case may be.

 

Notwithstanding the satisfaction and discharge
of this Indenture with respect to such series, the obligations of the Company to the Trustee with respect to such series under
this Section 11.1 and Sections 7.6 and 7.10, the obligations of the Company to any Authenticating Agent under Section 2.10, and,
if cash, Governmental Obligations or a combination thereof shall have been deposited with the Trustee pursuant to subclause (ii)
of clause (a) of this Section, the obligations of the Trustee under Section 11.2, shall survive.

 

SECTION 11.2APPLICATION OF TRUST
MONEY.

 

Subject to the provisions of Section 12.6,
all cash and Governmental Obligations deposited with the Trustee pursuant to Section 11.1 shall be held in trust and applied by
the Trustee, in accordance with the provisions of the series of Securities and this Indenture, to the payment, either directly
or through any Paying Agent (including the Company or any of its Subsidiaries acting as Paying Agent) as the Trustee may determine,
to the Persons entitled thereto, of all sums due and to become due thereon in respect of the principal of (and premium, if any)
and interest, if any, on the Securities for which payment of such cash and Governmental Obligations has been deposited with the
Trustee.

 

 

 

 

 

 

    	 	33	 

     

    

 

 

If the Trustee or Paying Agent is unable
to apply any cash or Governmental Obligations in accordance with this Article XI by reason of any legal proceeding or by reason
of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application,
then the obligations of the Company under this Indenture and the Securities of such series shall be revived and reinstated as though
no deposit had occurred pursuant to this Article XI until such time as the Trustee or Paying Agent is permitted to apply all such
cash and Governmental Obligations in accordance with this Article XI; provided, however, that, if the Company has made any payment
of principal, premium, if any, interest on or principal of any Securities because of the reinstatement of its obligations, the
Company shall be subrogated to the rights of the holders of such Securities to receive such payment from the cash and Governmental
Obligations held by the Trustee or Paying Agent.

 

ARTICLE XII

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

 

SECTION 12.1OPTION TO EFFECT LEGAL
DEFEASANCE OR COVENANT DEFEASANCE.

 

The Company may at any time, at the option
of its Board of Directors evidenced by a Board Resolution set forth in an Officer’s Certificate, elect to have either Section
12.2 or 12.3 hereof be applied to all outstanding Securities of a series upon compliance with the conditions set forth below in
this Article XII.

 

SECTION 12.2LEGAL DEFEASANCE AND
DISCHARGE.

 

Upon the Company’s exercise under
Section 12.1 hereof of the option applicable to this Section 12.2 with respect to a series of Securities, the Company will, subject
to the satisfaction of the conditions set forth in Section 12.4 hereof, be deemed to have been discharged from its obligations
with respect to all outstanding Securities of such series on the date the conditions set forth below are satisfied (hereinafter,
“Legal Defeasance”). For this purpose, Legal Defeasance means that the Company will be deemed to have paid and
discharged the entire Indebtedness represented by the Outstanding Securities of such series, which will thereafter be deemed to
be Outstanding only for the purposes of Section 12.5 hereof and the Articles and other Sections of this Indenture referred to in
clauses (1) and (2) below, and to have satisfied all their other obligations under such Securities and this Indenture (and the
Trustee, on demand of and at the expense of the Company, shall execute proper instruments acknowledging the same), except for the
following provisions which will survive until otherwise terminated or discharged hereunder:

 

(1)               
the rights of holders of Outstanding Securities of such series to receive payments in respect of the principal of, premium
on, if any, or interest on such Securities when such payments are due from the trust referred to in Section 12.4 hereof;

 

(2)               
the Issuers’ obligations with respect to such Securities under Article 2 and Section 4.2 hereof;

 

(3)               
the rights, powers, trusts, duties and immunities of the Trustee hereunder and the Company’s obligations in connection
therewith; and

 

(4)               
this Article XII.

 

Subject to compliance with this Article
XII, the Company may exercise its option under this Section 12.2 with respect to a series of Securities, notwithstanding the prior
exercise of its option under Section 12.3 hereof with respect to such series of Securities.

 

SECTION 12.3COVENANT DEFEASANCE.

 

Upon the Company’s exercise under
Section 12.1 hereof of the option applicable to this Section 12.3 with respect to a series of Securities, the Company will, subject
to the satisfaction of the conditions set forth in Section 12.4 hereof, be released from its obligations under Section 5.3 and
Article X and any additional covenants specified in any Board Resolution or indenture supplemental hereto with respect to the Outstanding
Securities of such series on and after the date the conditions set forth in Section 12.4 hereof are satisfied (hereinafter, “Covenant
Defeasance”), and the Securities of such series will thereafter be deemed not Outstanding for the purposes of any direction,
waiver, consent or declaration or act of holders (and the consequences of any thereof) in connection with such covenants, but will
continue to be deemed Outstanding for all other purposes hereunder (it being understood that such Securities will not be deemed
Outstanding for accounting purposes). For this purpose, Covenant Defeasance means that, with respect to the Outstanding Securities
of such series, the Company may omit to comply with and shall have no liability in respect of any term, condition or limitation
set forth in Section 5.3 or Article X and any additional covenants specified in any Board Resolution or indenture supplemental
hereto, whether directly or indirectly, by reason of any reference elsewhere herein to any such Section or Article or by reason
of any reference in any such Section or Article to any other provision herein or in any other document and such omission to comply
shall not constitute a Default or an Event of Default under Section 6.1 hereof with respect to Outstanding Securities of such series,
but, except as specified above, the remainder of this Indenture and such Securities shall be unaffected thereby.

 

 

 

 

 

    	 	34	 

     

    

 

SECTION 12.4CONDITIONS TO LEGAL
OR COVENANT DEFEASANCE.

 

In order to exercise either Legal Defeasance
or Covenant Defeasance under either Section 12.2 or 12.3 hereof with respect to the Outstanding Securities of a particular series:

 

(1)               
the Company must irrevocably deposit with the Trustee, in trust, for the benefit of the Securityholders of the Securities
of that series, cash in U.S. dollars, Governmental Obligations, or a combination thereof, in such amounts as will be sufficient,
in the opinion of a nationally recognized investment bank, appraisal firm, or firm of independent public accountants, to pay the
principal of, premium on, if any, and interest on, the Outstanding Securities of such series on the stated date for payment thereof
or on the applicable redemption date, as the case may be, and the Company must specify whether the Securities of such series are
being defeased to such stated date for payment or to a particular redemption date;

 

(2)               
in the case of an election under Section 12.2 hereof, the Company must deliver to the Trustee an Opinion of Counsel reasonably
acceptable to the Trustee confirming that:

 

(A)                       
the Company has received from, or there has been published by, the Internal Revenue Service a ruling; or

 

(B)                       
since the date of this Indenture, there has been a change in the applicable federal income tax law,

 

in either case to the effect that, and
based thereon such Opinion of Counsel shall confirm that, the holders of the Outstanding Securities of such series will not recognize
income, gain or loss for federal income tax purposes as a result of such Legal Defeasance and will be subject to federal income
tax on the same amounts, in the same manner and at the same times as would have been the case if such Legal Defeasance had not
occurred;

 

(3)               
 in the case of an election under Section 12.3 hereof, the Company must deliver to the Trustee an Opinion of Counsel reasonably
acceptable to the Trustee confirming that the holders of the Outstanding Securities of such series will not recognize income, gain
or loss for federal income tax purposes as a result of such Covenant Defeasance and will be subject to federal income tax on the
same amounts, in the same manner and at the same times as would have been the case if such Covenant Defeasance had not occurred;

 

(4)               
no Default or Event of Default with respect to the Securities of such series shall have occurred and be continuing on the
date of such deposit (other than a Default or Event of Default resulting from the borrowing of funds to be applied to such deposit
(and any similar concurrent deposit relating to other Indebtedness), and the granting of liens to secure such borrowings);

 

(5)               
such Legal Defeasance or Covenant Defeasance will not result in a breach or violation of, or constitute a default under,
any material agreement or instrument (other than this Indenture and the agreements governing any other Indebtedness being defeased,
discharged or replaced) to which the Company is a party or by which the Company is bound; and

 

(6)               
the Company must deliver to the Trustee an Officer’s Certificate and an Opinion of Counsel, each stating that all
conditions precedent relating to the Legal Defeasance or the Covenant Defeasance have been complied with.

 

SECTION 12.5DEPOSITED MONEY AND
GOVERNMENT SECURITIES TO BE HELD IN TRUST; OTHER MISCELLANEOUS PROVISIONS.

 

Subject to Section 12.6 hereof, all cash
and Governmental Obligations (including the proceeds thereof) deposited with the Trustee pursuant to Section 12.4 hereof in respect
of the Outstanding Securities of a particular series shall be held in trust and applied by the Trustee, in accordance with the
provisions of such Securities and this Indenture, to the payment, either directly or through any Paying Agent (including the Company
acting as Paying Agent) as the Trustee may determine, to the holders of such Securities of all sums due and to become due thereon
in respect of principal, premium, if any, and interest, but such money need not be segregated from other funds except to the extent
required by law.

 

 

 

 

 

 

 

    	 	35	 

     

    

 

The Company will pay and indemnify the
Trustee against any tax, fee or other charge imposed on or assessed against the cash or Governmental Obligations deposited pursuant
to Section 12.4 hereof or the principal and interest received in respect thereof other than any such tax, fee or other charge which
by law is for the account of the holders of the Outstanding Securities of the applicable series.

 

Notwithstanding anything in this Article
XII to the contrary, the Trustee shall deliver or pay to the Company from time to time upon Company Request any cash or Governmental
Obligations held by it as provided in Section 12.4 hereof which, in the opinion of a nationally recognized firm of independent
public accountants expressed in a written certification thereof delivered to the Trustee (which may be the opinion delivered under
Section 12.4(1) hereof), are in excess of the amount thereof that would then be required to be deposited to effect an equivalent
Legal Defeasance or Covenant Defeasance.

 

SECTION 12.6REPAYMENT TO COMPANY.

 

Any money deposited with the Trustee or
any Paying Agent, or then held by the Company, in trust for the payment of the principal of, premium on, if any, or interest on
any Security and remaining unclaimed for two years after such principal, premium, if any, or interest, has become due and payable
shall, unless otherwise required by mandatory provisions of applicable escheat or abandoned or unclaimed property law, be paid
to the Company on its request or (if then held by the Company) will be discharged from such trust; and the holder of such Security
will thereafter, as an unsecured general creditor, be permitted to look only to the Company for payment thereof, and all liability
of the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company as trustee thereof, will
thereupon cease; provided, however, that the Trustee or such Paying Agent, before being required to make any such repayment,
may give written notice to the holder of such Security, at such holder’s address as it appears upon the Security Register,
that such money remains unclaimed and that, after a date specified therein, which will not be less than 30 days from the date of
such notification, any unclaimed balance of such money then remaining will, unless otherwise required by mandatory provisions of
applicable escheat or abandoned or unclaimed property law, be repaid to the Company.

 

SECTION 12.7REINSTATEMENT.

 

If the Trustee or Paying Agent is unable
to apply any cash or Governmental Obligations in accordance with Section 12.2 or 12.3 hereof, as the case may be, by reason of
any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application,
then the Company’s obligations under this Indenture and the Securities of the particular series shall be revived and reinstated
as though no deposit had occurred pursuant to Section 12.2 or 12.3 hereof until such time as the Trustee or Paying Agent is permitted
to apply all such cash or Governmental Obligations in accordance with Section 12.2 or 12.3 hereof, as the case may be; provided,
however, that, if the Company makes any payment of principal of, premium on, if any, or interest on, any Security of the particular
series following the reinstatement of its obligations, the Company shall be subrogated to the rights of the holders of such Securities
to receive such payment from the cash or Governmental Obligations held by the Trustee or Paying Agent.

 

ARTICLE XIII

IMMUNITY OF INCORPORATORS, STOCKHOLDERS,

OFFICERS AND DIRECTORS

 

SECTION 13.1NO RECOURSE.

 

No recourse under or upon any obligation,
covenant or agreement of this Indenture, or of any Security, or for any claim based thereon or otherwise in respect thereof, shall
be had against any incorporator, stockholder, officer or director, past, present or future as such, of the Company or of any predecessor
or successor corporation, either directly or through the Company or any such predecessor or successor corporation, whether by virtue
of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly
understood that this Indenture and the obligations issued hereunder are solely corporate obligations, and that no such personal
liability whatever shall attach to, or is or shall be incurred by, the incorporators, stockholders, officers or directors as such,
of the Company or of any predecessor or successor corporation, or any of them, because of the creation of the indebtedness hereby
authorized, or under or by reason of the obligations, covenants or agreements contained in this Indenture or in any of the Securities
or implied therefrom; and that any and all such personal liability of every name and nature, either at common law or in equity
or by constitution or statute, of, and any and all such rights and claims against, every such incorporator, stockholder, officer
or director as such, because of the creation of the indebtedness hereby authorized, or under or by reason of the obligations, covenants
or agreements contained in this Indenture or in any of the Securities or implied therefrom, are hereby expressly waived and released
as a condition of, and as a consideration for, the execution of this Indenture and the issuance of such Securities.

 

 

 

    	 	36	 

     

    

 

ARTICLE XIV

MISCELLANEOUS PROVISIONS

 

SECTION 14.1EFFECT ON SUCCESSORS
AND ASSIGNS.

 

All the covenants, stipulations, promises
and agreements in this Indenture made by or on behalf of the Company shall bind its successors and assigns, whether so expressed
or not. All the covenants, stipulations, promises and agreements in this Indenture made by or on behalf of the Trustee shall bind
its successors and assigns, whether so expressed or not.

 

SECTION 14.2ACTIONS BY SUCCESSOR.

 

Any act or proceeding by any provision
of this Indenture authorized or required to be done or performed by any board, committee or officer of the Company shall and may
be done and performed with like force and effect by the corresponding board, committee or officer of any corporation that shall
at the time be the lawful successor of the Company.

 

SECTION 14.3SURRENDER OF COMPANY
POWERS.

 

The Company by instrument in writing executed
by authority of its Board of Directors and delivered to the Trustee may surrender any of the powers reserved to the Company, and
thereupon such power so surrendered shall terminate both as to the Company and as to any successor corporation.

 

SECTION 14.4NOTICES.

 

Except as otherwise expressly provided
herein, any notice, request or demand that by any provision of this Indenture is required or permitted to be given, made or served
by the Trustee or by the holders of Securities or by any other Person pursuant to this Indenture to or on the Company may be given
or served by being deposited in first class mail, postage prepaid, addressed, as follows: Avid Bioservices, Inc., 2642 Michelle
Drive, Suite 200, Tustin, California 92780, Attention: Secretary. Any notice, election, request or demand by the Company or any
Securityholder or by any other Person pursuant to this Indenture to or upon the Trustee shall be deemed to have been sufficiently
given or made, for all purposes, if given or made in writing at the Corporate Trust Office of the Trustee.

 

SECTION 14.5GOVERNING LAW/WAIVER
OF JURY TRIAL.

 

This Indenture and each Security shall
be deemed to be a contract made under the internal laws of the State of New York, and for all purposes shall be construed in accordance
with the laws of said State, except to the extent that the Trust Indenture Act is applicable. EACH PARTY HERETO HEREBY WAIVES,
TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY
OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT.

 

SECTION 14.6TREATMENT OF SECURITIES
AS DEBT.

 

It is intended that the Securities will
be treated as indebtedness and not as equity for federal income tax purposes. The provisions of this Indenture shall be interpreted
to further this intention.

 

 

 

 

    	 	37	 

     

    

 

SECTION 14.7 COMPLIANCE CERTIFICATES
AND OPINIONS.

 

(a)                
Upon any application or demand by the Company to the Trustee to take any action under any of the provisions of this Indenture,
the Company shall furnish to the Trustee an Officer’s Certificate stating that all conditions precedent provided for in this
Indenture relating to the proposed action have been complied with and an Opinion of Counsel stating that in the opinion of such
counsel all such conditions precedent have been complied with, except that in the case of any such application or demand as to
which the furnishing of such documents is specifically required by any provision of this Indenture relating to such particular
application or demand, no additional certificate or opinion need be furnished.

 

(b)               
Each certificate or opinion provided for in this Indenture and delivered to the Trustee with respect to compliance with
a condition or covenant in this Indenture shall include (i) a statement that the Person making such certificate or opinion has
read such covenant or condition; (ii) a brief statement as to the nature and scope of the examination or investigation upon which
the statements or opinions contained in such certificate or opinion are based; (iii) a statement that, in the opinion of such Person,
he has made such examination or investigation as is reasonably necessary to enable him to express an informed opinion as to whether
or not such covenant or condition has been complied with; and (iv) a statement as to whether or not, in the opinion of such Person,
such condition or covenant has been complied with.

 

SECTION 14.8PAYMENTS ON BUSINESS
DAYS.

 

Except as provided pursuant to Section
2.1 pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or established in one or more indentures supplemental
to this Indenture, in any case where the date of maturity of interest or principal of any Security or the date of redemption of
any Security shall not be a Business Day, then payment of interest or principal (and premium, if any) may be made on the next succeeding
Business Day with the same force and effect as if made on the nominal date of maturity or redemption, and no interest shall accrue
for the period after such nominal date.

 

SECTION 14.9CONFLICT WITH TRUST
INDENTURE ACT.

 

If and to the extent that any provision
of this Indenture limits, qualifies or conflicts with any provision of the Trust Indenture Act, such Trust Indenture Act provision
shall control.

 

SECTION 14.10 COUNTERPARTS.

 

This Indenture may be executed in any number
of counterparts, each of which shall be deemed an original, but such counterparts shall together constitute but one and the same
instrument.

 

SECTION 14.11SEVERABILITY.

 

In case any one or more of the provisions
contained in this Indenture or in the Securities of any series shall for any reason be held to be invalid, illegal or unenforceable
in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Indenture or of such
Securities, but this Indenture and such Securities shall be construed as if such invalid or illegal or unenforceable provision
had never been contained herein or therein.

 

SECTION 14.12COMPLIANCE CERTIFICATES.

 

The Company shall deliver to the Trustee,
within 120 days after the end of each fiscal year during which any Securities of any series were outstanding, an Officer’s
Certificate stating whether or not the signers know of any Default or Event of Default that occurred during such fiscal year. Such
certificate shall contain a certification from the principal executive officer, principal financial officer or principal accounting
officer of the Company that a review has been conducted of the activities of the Company and the Company’s performance under
this Indenture and that the Company has complied with all conditions and covenants under this Indenture. For purposes of this Section
14.12, such compliance shall be determined without regard to any period of grace or requirement of notice provided under this Indenture.
If any of the officers of the Company signing such certificate has knowledge of such a Default or Event of Default, the certificate
shall describe any such Default or Event of Default and its status.

 

 

 

 

 

 

 

 

    	 	38	 

     

    

 

SECTION 14.13USA PATRIOT ACT

 

The parties hereto acknowledge that, in
accordance with Section 326 of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (as amended,
modified or supplemented from time to time, the “USA Patriot Act”), the Trustee, like all financial institutions,
is required to obtain, verify, and record information that identifies each Person or legal entity that opens an account. The parties
to this Indenture agree that they will provide the Trustee with such information as the Trustee may request in order for the Trustee
to satisfy the requirements of the USA Patriot Act.

 

SECTION 14.14CONSENT TO JURISDICTION
AND SERVICE

 

To the fullest extent permitted by applicable
law, each party hereby irrevocably submits to the non-exclusive jurisdiction of any Federal or State court located in the Borough
of Manhattan in The City of New York, New York in any suit, action or proceeding based on or arising out of or relating to this
Indenture or any Securities and irrevocably agrees that all claims in respect of such suit or proceeding may be determined in any
such court. Each party irrevocably waives, to the fullest extent permitted by law, any objection which it may have to the laying
of the venue of any such suit, action or proceeding brought in an inconvenient forum. Each party agrees that final judgment in
any such suit, action or proceeding brought in such a court shall be conclusive and binding upon such party, and may be enforced
in any courts to the jurisdiction of which such party is subject by a suit upon such judgment, provided, that service of process
is effected upon such party in the manner specified herein or as otherwise permitted by law.

 

SECTION 14.15FORCE MAJEURE

 

In no event shall the
Trustee be responsible or liable for any failure or delay in the performance of its obligations hereunder arising out of or caused
by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts
of war or terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss or
malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Trustee shall
use reasonable efforts which are consistent with accepted practices in the banking industry to resume performance as soon as practicable
under the circumstances.

 

[Signature page follows]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	39	 

     

    

 

IN WITNESS WHEREOF, the parties hereto
have caused this Indenture to be duly executed all as of the day and year first above written.

 

 

 

	 	AVID BIOSERVICES, INC.	 
	 	 	 	 
	 	By:	 	 
	 	 	Name:	 
	 	 	Title:	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

	 	
        , as Trustee
	 
	 	 	 	 
	 	By:	 	 
	 	 	Name:	 
	 	 	Title:	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Signature Page to Indenture

 

 

    	 	40

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