Document:

Form of certificate of 9% Regulation S Senior Notes due 2013

 Exhibit 4.7 
  
 GREGG APPLIANCES, INC. 
  
 THIS SECURITY (OR ITS PREDECESSOR) EVIDENCED HEREBY WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER SECTION 5 OF THE UNITED STATES SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), AND THE SECURITY EVIDENCED HEREBY MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THE SECURITY EVIDENCED
HEREBY IS HEREBY NOTIFIED THAT THE SELLER MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER. THE HOLDER OF THE SECURITY EVIDENCED HEREBY AGREES FOR THE BENEFIT OF THE ISSUER THAT:

  
 (A) SUCH SECURITY MAY BE OFFERED, RESOLD,
PLEDGED OR OTHERWISE TRANSFERRED, ONLY 
  
 (i)
(a) FOR SO LONG AS THE SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES ACT TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHICH NOTICE IS GIVEN THAT THE TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (b) OUTSIDE THE UNITED STATES TO A NON-U.S. PERSON IN A TRANSACTION MEETING THE
REQUIREMENTS OF RULE 903 OR 904 UNDER THE SECURITIES ACT, (c) TO AN INSTITUTIONAL “ACCREDITED INVESTOR” (AS DEFINED IN RULE 501(a)(1), (2), (3) OR (7) OF THE SECURITIES ACT (AN “INSTITUTIONAL ACCREDITED INVESTOR”)) THAT, PRIOR TO
SUCH TRANSFER, FURNISHES THE TRUSTEE A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS (THE FORM OF WHICH CAN BE OBTAINED FROM THE TRUSTEE) AND, IF SUCH TRANSFER IS IN RESPECT OF AN AGGREGATE PRINCIPAL AMOUNT OF NOTES LESS THAN
$100,000, AN OPINION OF COUNSEL ACCEPTABLE TO THE ISSUER THAT SUCH TRANSFER IS IN COMPLIANCE WITH THE SECURITIES ACT, OR (d) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED UPON AN OPINION OF
COUNSEL, IF THE ISSUER SO REQUESTS), 
  
 (ii) TO
THE ISSUER OR ANY OF ITS SUBSIDIARIES, OR 
  
 (iii) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT 
  
 AND, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION; AND 
  
 (B) THE HOLDER SHALL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY PURCHASER FROM IT OF THE SECURITY EVIDENCED HEREBY OF THE
RESALE RESTRICTIONS SET FORTH IN (A) ABOVE. 
  

 THIS GLOBAL NOTE IS HELD BY THE DEPOSITARY (AS DEFINED IN THE INDENTURE GOVERNING THIS NOTE) OR ITS NOMINEE IN CUSTODY
FOR THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE TO ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE TRUSTEE MAY MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO SECTION 2.07 OF THE INDENTURE, (II) THIS GLOBAL
NOTE MAY BE EXCHANGED PURSUANT TO SECTION 2.07(a) OF THE INDENTURE, (III) THIS GLOBAL NOTE MAY BE DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION 2.11 OF THE INDENTURE AND (IV) THIS GLOBAL NOTE MAY BE TRANSFERRED TO A SUCCESSOR
DEPOSITARY WITH THE PRIOR WRITTEN CONSENT OF THE COMPANY. 
  
 UNLESS THIS
CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
  

 9% Senior Notes due 2013 
  

			
	 No. 2
	 	$ 2,115,000

  
 CUSIP No. U3907YAA8

  
 Gregg Appliances, Inc., an Indiana corporation, promises to pay to CEDE &
CO. or registered assigns the principal sum of TWO MILLION ONE HUNDRED FIFTEEN THOUSAND Dollars on February 1, 2013. 
  
 Interest Payment Dates: February 1 and August 1, commencing August 1, 2005 
  
 Record Dates: January 15 and July 15. 
  
 Reference is hereby made to the further provisions of this Note set forth on the reverse hereof, which further provisions
shall for all purposes have the same effect as if set forth at this place. 
  

 IN WITNESS WHEREOF, the Company has caused this Note to be signed manually or by facsimile by its duly
authorized officers. 
  

					
	 GREGG APPLIANCES, INC.

		
	By:	 	 
	 	 	 Name:
	 	 Jerry W. Throgmartin

	 	 	 Title:
	 	 Chief Executive Officer

		
	By:	 	 
	 	 	 Name:
	 	 Dennis L. May

	 	 	 Title:
	 	 President

  
 Dated: February 3, 2005

  
 Certificate of Authentication: 
  
 Wells Fargo Bank, National Association, 
 as Trustee, certifies that this is one of 
 the Notes referred to in the
within-mentioned Indenture. 
  

			
		
	By:	 	 
	 	 	Authorized Signatory

  

  
 [Reverse of Note]

  
 GREGG APPLIANCES, INC. 
  
 9% Senior Notes due 2013 
  
 1. Interest. Gregg Appliances, Inc., an Indiana corporation (the
“Company”), promises to pay interest on the principal amount of this Note at 9% per annum from February 3, 2005 until maturity; provided, however, that if a Registration Default (as defined in the Registration Rights
Agreement) occurs, additional interest shall accrue on this Note from and including the date on which any such Registration Default shall occur to but excluding the date on which all Registration Defaults have been cured at a rate of 0.25% per annum
with respect to the first 90-day period following such Registration Default, increasing by an additional 0.25% per annum with respect to each subsequent 90-day period until all Registration Defaults have been cured, up to a maximum amount of
additional interest of 1.0% per annum. Reference in this Note to “interest” with respect to this Note shall include additional interest, if any, that shall accrue pursuant to the Registration Rights Agreement. The Company shall pay
interest semiannually on February 1 and August 1 of each year (each an “Interest Payment Date”), or if any such day is not a Business Day, on the next succeeding Business Day. Interest on the Notes shall accrue from the most recent
Interest Payment Date on which interest has been paid or, if no interest has been paid, from February 3, 2005; provided that if there is no existing Default in the payment of interest, and if this Note is authenticated between a record date
referred to on the face hereof and the next succeeding Interest Payment Date, interest shall accrue from such next succeeding Interest Payment Date; provided further that the first Interest Payment Date shall be August 1, 2005. The Company
shall pay interest (including post-petition interest in any proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to time on demand at a rate equal to the interest rate on the Notes then in effect; it shall pay
interest on overdue installments of interest (without regard to any applicable grace periods) from time to time on demand at the same rate to the extent lawful. Interest shall be computed on the basis of a 360-day year of twelve 30-day months.

  
 2. Method of Payment. For so long as the notes remain
in the form of a global security, the Company shall pay all principal, interest and premium on the notes to the applicable Depositary or its nominee as the registered holder of the global security representing the notes. All other payments on the
Notes shall be made at the office or agency of the Company maintained for such purpose or, at the option of the Company, payment of interest may be made by check mailed to the Holders at their addresses set forth in the register of Holders. Holders
must surrender Notes to a Paying Agent to collect principal payments. The Company shall pay principal of, premium, if any, and interest on the Notes in money of the United States of America that at the time of payment is legal tender for payment of
public and private debts. However, the Company may pay such amounts by check payable in such money. It may mail an interest check to a Holder’s registered address. 
  
 3. Paying Agent and Registrar. Initially, the Trustee shall act as Paying Agent and Registrar. The Company may change
any Paying Agent, Registrar or co-registrar without notice. The Company or any of its domestically incorporated wholly owned Subsidiaries may act as Paying Agent or Registrar. 
  

 4. Indenture. The Company issued the Notes under an Indenture, dated as of February 3, 2005 (the
“Indenture”), among the Company, HHG Distributing, LLC, as Subsidiary Guarantor, and the Trustee. Capitalized terms herein are used as defined in the Indenture unless otherwise defined herein. The terms of the Notes include those
stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S. Code Sections 77aaa-77bbb) as in effect on the date of the Indenture. Notwithstanding anything to the contrary herein, the Notes
are subject to all such terms, and Holders are referred to the Indenture and such Act for a statement of such terms. To the extent any provision of this Note conflicts with the express provisions of the Indenture, the provisions of the Indenture
shall govern and be controlling. The Indenture pursuant to which the Notes are issued provides that an unlimited aggregate principal amount of Notes may be issued thereunder. 
  
 5. Guarantees. The Notes are general senior unsecured obligations of the Company. The Company’s obligation to
pay principal, premium, if any, and interest with respect to the Notes is unconditionally guaranteed on a senior basis, jointly and severally, by each Subsidiary Guarantor pursuant to Article Eleven of the Indenture. Certain limitations to the
obligations of each Subsidiary Guarantor are set forth in further detail in the Indenture. 
  
 6. [intentionally omitted] 
  
 7. Optional Redemption. Except as provided below, the Notes shall not be redeemable at the Company’s option prior to February 1, 2009. On or after February 1, 2009, the Company may redeem all or a part of the Notes upon not less
than 30 nor more than 60 days notice, at the redemption prices (expressed as percentages of principal amount) set forth below plus accrued and unpaid interest and additional interest, if any, thereon, to the applicable redemption date, if redeemed
during the twelve-month period beginning on February 1 of the years indicated below: 
  

				
	 Year

	  	Percentage

	 
	 2009
	  	104.500	%
	 2010
	  	102.250	%
	 2011 and thereafter
	  	100.000	%

  
 Notwithstanding the
foregoing, at any time prior to February 1, 2008, the Company may redeem up to 35% of the aggregate principal amount of Notes issued under the Indenture at a redemption price of 109.000% of the principal amount thereof, plus accrued and unpaid
interest and additional interest, if any, to the redemption date, with the net cash proceeds of one or more Public Equity Offerings; provided that (1) at least 65% of the aggregate principal amount of Notes originally issued under the
Indenture remains outstanding immediately after the occurrence of such redemption (excluding Notes held by the Company and its Subsidiaries) and (2) the redemption must occur within 90 days of the date of the closing of such Public Equity Offering.

  
 8. Mandatory Redemption. The Company shall not be
required to make mandatory redemption payments or sinking fund payments with respect to the Notes. 
  

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 9. Selection and Notice of Redemption. Notice of redemption shall be mailed to the Holder’s
registered address at least 30 days but not more than 60 days before the redemption date to each Holder of Notes to be redeemed. If less than all Notes are to be redeemed, the Trustee shall select the Notes to be redeemed in multiples of $1,000 pro
rata, by lot or by any other method that the Trustee considers fair and appropriate; provided that if the Notes are listed on any securities exchange, that such method complies with the requirements of such exchange. Notes in denominations
larger than $1,000 may be redeemed in part. On and after the redemption date interest ceases to accrue on Notes or portions of them called for redemption (unless the Company shall default in the payment of the redemption price or accrued interest).

  
 10. Repurchase upon a Change of Control. Upon the
occurrence of a Change of Control, each Holder of Notes shall have the right to require the Company to repurchase all or any part (equal to $1,000 or an integral multiple thereof) of such Holder’s Notes pursuant to a Change of Control Offer at
an offer price in cash equal to 101% of the aggregate principal amount thereof plus accrued and unpaid interest to the date of purchase. Within 30 days following any Change of Control, the Company shall mail a notice to each Holder describing, among
other things, the transaction or transactions that constitute the Change of Control and offering to repurchase Notes on the date specified in such notice, which date shall be no earlier than 30 days and no later than 60 days from the date such
notice is mailed, pursuant to the procedures required by the Indenture and described in such notice. 
  
 11. Asset Sales. Within 360 days after the receipt of any Net Proceeds from an Asset Sale, the Company may apply such Net Proceeds at its option to
(1) to repay Indebtedness secured by such assets and, if the Indebtedness repaid is revolving credit Indebtedness, to correspondingly reduce commitments with respect thereto; or (2) to purchase Replacement Assets or to make a capital expenditure.
Any Net Proceeds from Asset Sales that are not applied or invested as provided in the preceding sentence shall constitute “Excess Proceeds.” Within 30 days after the aggregate amount of Excess Proceeds exceeds $10.0 million, the Company
shall make an Asset Sale Offer to all Holders and all holders of other Indebtedness that is pari passu with the Notes or any Subsidiary Guarantee containing provisions similar to those set forth in the Indenture with respect to offers to
purchase with the proceeds of sales of assets to purchase the maximum principal amount of Notes and such other pari passu Indebtedness that may be purchased out of the Excess Proceeds. The offer price in any Asset Sale Offer shall be equal to
100% of principal amount plus accrued and unpaid interest to the date of purchase, and shall be payable in cash. If any Excess Proceeds remain after consummation of an Asset Sale Offer, the Company may use such Excess Proceeds for any purpose not
otherwise prohibited by the Indenture. If the aggregate principal amount of Notes and such other pari passu Indebtedness tendered into such Asset Sale Offer exceeds the amount of Excess Proceeds, the Trustee shall select the Notes and such
other pari passu Indebtedness to be purchased on a pro rata basis based on the principal amount of Notes and such other pari passu Indebtedness tendered. Upon completion of each Asset Sale Offer, the amount of Excess Proceeds shall be
reset at zero. 
  
 12. Denominations, Transfer,
Exchange. The Notes are in registered form without coupons in denominations of $1,000 and whole multiples of $1,000. A Holder may transfer or exchange Notes in accordance with the Indenture. The Registrar may require a 

  

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Holder, among other things, to furnish appropriate endorsements and transfer documents and to pay any taxes and fees required by law or permitted by the
Indenture. The Registrar need not transfer or exchange any Notes selected for redemption. Also, it need not transfer or exchange any Notes for a period of 15 days before the mailing of a notice of redemption of Notes to be redeemed. 
  
 13. Persons Deemed Owners. The registered Holder of a Note may be
treated as the owner of such Notes for all purposes and neither the Company, any Subsidiary Guarantor, the Trustee nor any Agent shall be affected by notice to the contrary. 
  
 14. Amendment, Supplement, Waiver. Subject to certain exceptions, the Indenture or the Notes may be
amended or supplemented with the consent of the Holders of at least a majority in aggregate principal amount of the Notes, and any past default or noncompliance with any provision may be waived with the consent of the Holders of a majority in
aggregate principal amount of the Notes. Without the consent of any Holder, the Company may amend or supplement the Indenture or the Notes to: cure any ambiguity, defect or inconsistency; provide for uncertificated Notes in addition to or in place
of certificated Notes; provide for the assumption of the Company’s or any Subsidiary Guarantor’s Obligations to the Holders in the case of a merger or consolidation or sale of all or substantially all of the Company’s or the
Subsidiary Guarantor’s assets pursuant to the provisions of Section 5.01, or 4.19(c) of the Indenture; make any change that would provide any additional rights or benefits to the Holders or that does not adversely affect in any material respect
the legal rights under the Indenture of any such Holder; comply with requirements of the Commission in order to effect or maintain the qualification of the Indenture under the TIA; comply with Section 4.19 of the Indenture; to conform the text of
the Indenture or this Note to any provision of the section “Description of Notes” in the Offering Memorandum to the extent that such provision in such section was meant to be a verbation recitation of a provision of the Indenture or this
Note; or evidence and provide for the acceptance of appointment by a successor Trustee. 
  
 15. Defaults and Remedies. If an Event of Default (other than an Event of Default related to bankruptcy or insolvency of the Company or any Significant Subsidiary of the Company) under the Indenture occurs and
is continuing, then and in every such case the Trustee or the Holders of not less than 25% in aggregate principal amount of the outstanding Notes may declare the unpaid principal of, premium, if any, and accrued and unpaid interest on, all the Notes
then outstanding to be due and payable immediately, by a notice in writing to the Company (and to the Trustee, if given by Holders) specifying the relevant Event of Default and upon any such declaration such principal, premium, if any, and accrued
and unpaid interest shall become immediately due and payable. If an Event of Default related to bankruptcy or insolvency of the Company, any Significant Subsidiary of the Company or any Subsidiaries of the Company that, taken together as a whole,
would constitute a Significant Subsidiary occurs, all unpaid principal of, and accrued interest on, the Notes then outstanding shall become due and payable immediately, without any declaration or other act on the part of the Trustee or any Holder.
Holders may not enforce the Indenture or the Notes except as provided in the Indenture. The Trustee may require indemnity and security satisfactory to it before it enforces the Indenture or the Notes. Subject to certain limitations, Holders of a
majority in aggregate principal amount of the Notes may direct the Trustee in its exercise of any trust or power. 
  

 4 

 16. Trustee Dealings with Company and Subsidiary Guarantor. The Trustee under the Indenture, in
its individual or any other capacity, may become the owner or pledgee of Notes and may otherwise deal with the Company, each Subsidiary Guarantor or their respective Subsidiaries or Affiliates with the same rights it would have if it were not
Trustee. 
  
 17. Authentication. This Note shall not be
valid until the Trustee or an authenticating agent signs the certificate of authentication on the other side of this Note. 
  
 18. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on Uniform Security Identification Procedures, the Company shall cause
CUSIP numbers to be printed on this Note as a convenience to Holders. No representation is made as to the accuracy of such numbers as printed on this Note and reliance may be placed only on the other identification numbers printed hereon.

  
 19. No Recourse Against Others. A director, officer,
employee or stockholder, as such, of the Company, any Subsidiary Guarantor or the Trustee, shall not have any liability for any obligations of the Company, any Subsidiary Guarantor or the Trustee under this Note, the Indenture, the Subsidiary
Guarantees or for any claim based on, in respect of or by reason of, such obligations or their creation. Each Holder by accepting this Note waives and releases all such liability. The waiver and release are part of the consideration for the issue of
this Note. 
  
 20. Abbreviations. Customary abbreviations
may be used in the name of a Holder or an assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and U/G/M/A (=
Uniform Gifts to Minors Act). 
  
 THIS NOTE SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 
  
 The Company shall furnish to any Holder upon written request and without charge a copy of the Indenture. Requests may be made to: Gregg Appliances, Inc., 4151 East 96th Street, Indianapolis, IN 46240, Facsimile: (317) 848-8768, Attention: Treasurer. 
  

 5Employment Agreement...Jerry W. Throgmartin

 Exhibit 10.1 
  
 EMPLOYMENT AGREEMENT 
  
 THIS AGREEMENT is entered into as of October 19, 2004 between Gregg Appliances, Inc., an Indiana corporation (the “Company”), and Jerry W.
Throgmartin (“Executive”). 
  
 W I T N E S S E T H

  
 WHEREAS, in connection with a recapitalization of the
Company, the Company and Executive have entered into various agreements concerning the Company and its stockholders, including a Stockholders Agreement, a Registration Rights Agreement, and the Merger Agreement (as defined below); 
  
 WHEREAS, pursuant to the transactions contemplated by the Agreement and Plan
of Merger dated as of October 19, 2004 (such Agreement and Plan of Merger is referred to herein as the “Merger Agreement”) by and among the Company, Gregg Investment Corporation, LLC, a Delaware limited liability company
(“Investor”), and GIC Corporation, a Delaware corporation (“Merger Sub”), it is currently contemplated that Merger Sub will merge with and into the Company, with the Company to be the surviving corporation (the
“Merger”); 
  
 WHEREAS, Executive has served as Chairman
of the Board and Chief Executive Officer of the Company, and it is the desire of the Company and Investor, following the Effective Time of the Merger (as such term is defined in the Merger Agreement) to continue to have the benefit of
Executive’s experience and loyalty, and Executive is willing to provide his services on the terms and conditions set forth herein; and 
  

 1 

 WHEREAS, it is agreed by the parties hereto that this Agreement shall only be effective as of the
Effective Time and solely upon the condition that the Merger becomes effective in accordance with applicable law. 
  
 NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, the parties hereto agree as follows: 
  
 1. Employment and Duties. 
  
 (a) General. The Company hereby employs Executive,
and Executive agrees, upon the terms and conditions herein set forth, to serve as the Company’s Chief Executive Officer. In such capacity, Executive shall perform such duties as may be delineated in the by-laws of the Company, and such other
duties as may be assigned to Executive from time to time by the Company’s Board of Directors. During the Period (as defined in paragraph 2 below), if Executive also serves as a member of the Company’s Board of Directors he shall not be
entitled to additional compensation for his service as a member of the Board. 
  
 (b) Full-Time Service. Throughout the Period, Executive shall, except as may from time to time be otherwise agreed in writing by the Company and unless prevented by ill health, devote his full-time working
hours to his duties hereunder, shall in all respects conform to and comply with the lawful and reasonable directions and instructions given to him by the Company’s Board of Directors and shall use his best efforts to promote and serve the
interests of the Company. 
  
 (c) No Other
Employment. Throughout the Period, Executive shall not, directly or indirectly, render services to any other person or organization for which he receives compensation without the explicit written consent of the Company’s Board of Directors
or otherwise engage in activities which would interfere with his performance of his duties 

  

 2 

 
hereunder. The activities described on Schedule A, attached hereto and incorporated by this reference, shall for this purpose be deemed to have been approved
by the Company’s Board of Directors so long as such activities do not interfere with Executive’s performance of his duties hereunder. 
  
 (d) Other Benefits. Executive shall have twenty (20) vacation days per year. The Company shall reimburse Executive for his
reasonable business expenses incurred in connection with his employment with the Company or his service on the Company’s Board of Directors so long as Executive complies with the Company’s general policies and guidelines with respect to
such expenses. Executive shall be entitled to use the airplane leased by the Company from Throgmartin Leasing, LLC for up to twenty (20) hours per year for personal purposes at the Company’s expense. In the event Executive’s usage of such
airplane exceeds twenty (20) hours in any year during the Term, Executive shall reimburse the Company for its actual costs in connection with any hours of use in excess of twenty (20) hours. 
  
 2. Term and Period of Employment. The Company shall retain Executive
and Executive shall serve in the employ of the Company for a period of two (2) years commencing at the Effective Time and extending through and including the second anniversary of the Effective Time (the “Term”), unless earlier terminated
pursuant to the provisions of this Agreement. In addition, on the last day of each calendar month during the period of Executive’s employment hereunder, the Term shall be automatically extended by one month unless either party has given prior
written notice to the other that the Term is not to be further extended (i.e., that the Term is to expire two years after the giving of such notice). Notwithstanding such Term and any extension thereof, the period of Executive’s
employment with the Company shall be subject to earlier termination during the Term — during both the initial Term and any extended 

  

 3 

 
Term — pursuant to the provisions of this Agreement. The period of Executive’s employment by the Company, whether terminated due to expiration of
the Term or terminated earlier during the Term pursuant to the provisions of this Agreement, is hereinafter referred to as the “Period.” 
  
 3. Compensation and Other Benefits. Subject to the provisions of this Agreement, the Company shall pay and provide the following compensation and
other benefits to Executive during the Period as compensation for services rendered hereunder: 
  
 (a) Base Salary. The Company shall pay to Executive an annual base salary (the “Base Salary”) at the rate of $300,000 per
annum, payable in accordance with the Company’s then current payroll practice. The Base Salary shall be reviewed annually and may be increased in the sole discretion of the Compensation Committee of the Company’s Board of Directors (the
“Compensation Committee”). The Company shall be entitled to deduct or withhold all taxes and charges which the Company may be required to deduct or withhold therefrom. 
  
 (b) Bonus. Executive shall be entitled to participate in bonus programs of the Company — which
programs shall, during the Term, be the same as or substantially similar to the bonus programs of the Company in existence at the time of the Merger — and any bonuses granted to Executive shall be in addition to the compensation provided for in
Section 3(a) hereof. 
  
 (c) Employee Benefit
Plans. At all times during the Period, Executive shall be provided the opportunity to participate in pension and welfare plans, programs and arrangements (the “Plans”) that are generally made available to executives of the Company, and
such other Plans, if any, as may be deemed appropriate by the Compensation Committee acting in its sole discretion. 
  

 4 

 4. Termination of Employment. 
  
 (a) Termination for Cause. 
  
 (i) If, prior to the expiration of the Term, Executive’s employment is terminated by the Company for
Cause, as defined in subparagraph 4(a)(ii), Executive shall not be eligible to receive Base Salary under subparagraph 3(a) or to participate in any Plans under subparagraph 3(c) with respect to the remainder of the Term or any other future periods
after the date of such termination except for the right to receive benefits which have become vested under any Plan in accordance with the terms of such Plan. In addition, Executive shall not be eligible to receive any bonus described in
subparagraph 3(b) for the Company’s fiscal year during which the date of termination occurs and any later year. 
  
 (ii) Termination for “Cause” shall mean termination of Executive’s employment with the Company by the Company’s Board
of Directors because of (a) Executive’s repeated failures to perform his duties in a manner reasonably consistent with the criteria established by the Board of Directors of the Company and communicated to Executive; provided, however, that the
termination pursuant to this clause shall be preceded by a written notice providing a reasonable opportunity for Executive to correct his conduct, if the conduct in question can be corrected, (b) conduct on the part of the Executive that constituted
a breach of any statutory, contractual, or common law duty of loyalty or care owed to the Company, or other conduct on the part of the Executive that demonstrated dishonesty or deceit in his dealings with the Company, (c) misconduct by Executive
which was material to the performance of his duties to the Company, including, without limitation, the disclosure of Confidential 

  

 5 

 
Information or a breach of noncompetition or non-solicitation obligations, including a breach of Executive’s obligations under Section 7.02 of the
Merger Agreement, (d) conduct causing or aiding a breach by the Company of Section 9 (pertaining to the hiring of auditors or accountants) of the Stockholders Agreement, or (e) the commission by Executive of any crime involving moral turpitude or
any felony. 
  
 (iii) The date of termination of
employment by the Company under this paragraph 4(a) shall be the date specified in a written notice of termination (which date shall be no earlier than the date of furnishing such notice), or if no such date is specified therein, the date of receipt
by Executive of such written notice of termination. 
  
 (b) Termination Without Cause. 
  
 (i) Subject to the provisions of subparagraph 4(b)(ii) and subparagraph 4(b)(v), if, prior to the expiration of the Term, Executive’s employment is terminated by the Company without Cause, Executive shall generally be entitled to
receive, as “Severance Benefits”, (A) for the remainder of the Term his then current Base Salary and continued coverage under health and insurance plans or, if any such plan does not permit continued coverage of Executive, the Company
shall arrange to provide a benefit substantially similar to and no less favorable than the benefits he was entitled to under such plan, and (B) for the year in which such termination occurs, a pro-rated bonus for the portion of such year during
which Executive was employed by the Company. Notwithstanding the foregoing, if Executive becomes employed by another employer during the time that Severance Benefits are payable to Executive pursuant to this paragraph 4(b), the amount of Severance
Benefits to which Executive would be entitled in the absence of such other employment shall be reduced by the amount of any 

  

 6 

 
compensation and benefits received or accrued by Executive due to such other employment. Executive shall provide the Company with any evidence of
compensation and benefit amounts received or accrued in connection with other employment which the Company shall reasonably request. Executive shall be under no obligation to look for, solicit or accept employment with another employer during the
period he is entitled to receive Severance Benefits. 
  
 (ii) If, following a termination of employment, Executive breaches the provisions of paragraph 5 hereof or of Section 7.02 of the Merger Agreement, Executive shall not be eligible, as of the date of such breach, for the payment of Severance
Benefits and all obligations and agreements of the Company to pay Severance Benefits shall thereupon cease. 
  
 (iii) The date of termination of employment by the Company under this paragraph 4(b) shall be the date specified in a written notice of
termination to Executive (which date shall be no earlier than the date of furnishing such notice) or, if no such date is specified therein, the date on which such notice is given to Executive. 
  
 (iv) Severance Benefits representing Base Salary
continuation shall be paid in accordance with the Company’s then current payroll practice commencing on the next payroll date following the date of the termination of Executive’s employment under subparagraph 4(b). 
  
 (v) In the event that the Severance Benefits would not be
deductible in whole or in part in the calculation of Federal income tax owed by the Company or any of its affiliates or any other person or entity making such payment or providing such benefit by reason of Section 280G of the Internal Revenue Code
of 1986 

  

 7 

 
(the “Code”), the Severance Benefits shall be reduced by only the amount necessary such that no portion of the Severance Benefits is not deductible
by reason of Section 280G of the Code. 
  
 (c)
Death. If Executive dies while an employee of the Company, his Base Salary will be paid to his beneficiary or estate through the remaining portion of the Term. 
  
 (d) Disability. If Executive becomes Permanently Disabled, as defined below in this subparagraph,
prior to the expiration of the Term, the Company shall be entitled to terminate his employment and Executive shall be entitled to receive disability benefits in accordance with the disability policy maintained by the Company as of the date of such
disability, if any. For the purposes of this subparagraph, Executive shall be deemed “Permanently Disabled” when, and only when, he suffers a physical or mental disability or infirmity that prevents the normal performance of duties lasting
for a continuous period of six months or more. 
  
 5. Secrecy
and Noncompetition. 
  
 (a) No Competing
Employment. For five years after the Effective Time or for so long as Executive is receiving, or is entitled to receive, any payments under or pursuant to this Agreement, whichever period is longer (such period being referred to hereinafter as
the “Restricted Period”), Executive shall not, directly or indirectly, whether as principal, agent, officer, director, investor, consultant, stockholder, lender, partner, member, owner, sponsor, or otherwise, alone or in association with
any other person (except ownership of less than 3% of the number of shares outstanding of any securities which are publicly traded), carry on, manage, operate, finance, sponsor, or become engaged or concerned in, or otherwise take part in, a
business, anywhere in the contiguous United States, similar to or in competition with any part of the Company’s business, which generally consists of selling home appliances and consumer electronics and similar items and 

  

 8 

 
providing related installation, extended warranty or service plans, servicing, financing, and repair (the business of the Company is hereinafter referred to
as the “Business”), or be employed in a competitive capacity by or render services to, or own, share in the earnings of, or invest in the stock, bonds, or other securities of, or lend money or extend credit to, or otherwise directly or
indirectly assist, any business similar to or in competition with any part of the Business, anywhere in the contiguous United States, except for the aforementioned 3% ownership of publicly traded securities. If any portion of the restricted
geographic area in any state shall be adjudicated in such state to be invalid or unenforceable as so identified, such identification shall be deemed amended to properly reflect the largest aggregate geographic area in such state which would be valid
and enforceable under the laws of such state; provided, further, that such invalidity or unenforceability shall apply only with respect to part or all of the restricted geographic area in the particular state in which such adjudication
is made. Executive acknowledges and agrees that the restrictions set forth in this Section 5(a) are reasonable and appropriate and will not materially interfere with or impede Executive’s ability to obtain other employment during the period
that these restrictions are in effect. 
  
 (b)
No Interference. During the Restricted Period, Executive shall not, directly or indirectly, solicit, induce, recruit, or encourage to leave the employment of the Company for any reason or to perform work for a competitor of the Company as an
employee, independent contractor or otherwise (such conduct is collectively referred to herein as “Solicitation”), any person who is then employed by the Company or who left the employ of the Company less than six months prior to the
Solicitation. Nothing in this subparagraph (b) shall prevent Executive from hiring any person (i) who contacts the Executive on his or her initiative without any direct or indirect solicitation by or encouragement by the Executive, or (ii) as a
result of placing general advertisements in trade journals, newspapers or similar publications which are not directed at the Company or its employees. 
  

 9 

 (c) Secrecy. Executive recognizes that the services to be performed by him
hereunder are special, unique and extraordinary in that, by reason of his employment hereunder and his past employment with the Company, he may acquire or has acquired confidential information and trade secrets concerning the operations of the
Company or its Affiliates, the use or disclosure of which could cause the Company substantial loss and damages which could not be readily calculated and for which no remedy at law would be adequate. Accordingly, Executive covenants and agrees with
the Company that he will not at any time, except in performance of Executive’s obligations to the Company hereunder or with the prior written consent of the Managing Member of Investor, directly or indirectly, disclose any secret or
confidential information that he may learn or has learned by reason of his association with the Company, or any predecessors to its business, or use any such information to the detriment of the Company, Investor or any of their Affiliates. The term
“confidential information” includes, without limitation, information not previously disclosed to the public or to the trade by the Company’s management with respect to the Company’s or its subsidiaries’ or affiliates’
business plans, prospects and opportunities, the identity of clients, suppliers or customers, information regarding operational strengths and weaknesses, trade secrets, know-how and other intellectual property, systems, procedures, manuals,
confidential reports, product price lists, marketing plans or strategies, and financial information. “Confidential information” does not include information in the public domain, so long as such information did not become part of the
public domain through the actions of Executive. Executive understands and agrees that the rights and obligations set forth in this subparagraph 5(c) are perpetual and, in any case, shall extend beyond the Restricted Period and Executive’s
employment hereunder. 
  

 10 

 (d) Exclusive Property. Executive confirms that all confidential information is
and shall remain the exclusive property of the Company. All business records, papers and documents kept or made by Executive relating to the business of the Company shall be and remain the property of the Company. Upon the termination of his
employment with the Company or upon the request of the Company at any time, Executive shall promptly deliver to the Company, and shall not, without the consent of the Company, retain copies of any written materials not previously made available to
the public, including but not limited to records and documents made by Executive or coming into his possession concerning the business or affairs of the Company. Executive may retain records relating exclusively to the terms and conditions of his
employment relationship with the Company. Executive understands and agrees that the rights and obligations set forth in this subparagraph 5(d) are perpetual and, in any case, shall extend beyond the Restricted Period and Executive’s employment
hereunder. 
  
 (e) Stock Ownership. Other
than as provided in subparagraph 1(c) or 5(a) hereof, nothing in this Agreement shall prohibit Executive from acquiring or holding any issue of stock or securities of any company or other business entity not engaged in any business similar to or in
competition with any part of the Business, provided that Executive does not participate in the operations of any such company, and provided further that this Agreement shall not be deemed to prohibit investing as a passive investor in any
publicly-held entity engaged in any business similar to or in competition with any part of the Business as long as such investments in such entity do not, in the aggregate, exceed three (3) percent of such entity’s total ownership. 

 
 (f) Injunctive Relief. Executive acknowledges that
any actual or threatened breach of any of the covenants contained in this paragraph 5 shall cause irreparable 

  

 11 

 
injury to the Company, inadequately compensable in monetary damages. Accordingly, in addition to any other legal or equitable remedies that may be available
to the Company, the Executive agrees to waive any defense that the Company has an adequate remedy at law and further agrees that the Company shall be able to seek and obtain injunctive relief in the form of a temporary restraining order, preliminary
injunction, or permanent injunction. The Company shall not be required to demonstrate actual injury or damage to obtain injunctive relief from the courts. 
  
 6. Nonassignability; Binding Agreement. Neither this Agreement nor any right, duty, obligation or interest hereunder shall be assignable or
delegable by Executive without the Company’s prior written consent; provided, however, that nothing in this paragraph shall preclude Executive from designating any of his beneficiaries to receive any benefits payable hereunder
upon his death, or the executors, administrators, or other legal representatives from assigning any rights hereunder to the person or persons entitled thereto. 
  

This Agreement shall be binding upon, and inure to the benefit of, the parties hereto, any successors to or assigns of the Company and
Executive’s heirs and the personal representatives’ of Executive’s estate. 
  
 7. Severability. If a final and binding (on Executive and the Company) determination of a court of competent jurisdiction is made that any term or provision hereof is invalid or unenforceable, (a) the remaining
terms and provisions hereof shall be unimpaired and (b) the court shall limit the application of such term or provision or modify such term or provision and proceed to enforce such term or provision as so limited or modified, which limited or
modified term or provision will be effective, binding, and enforceable against Executive. 
  

 12 

 8. Amendment; Waiver. This Agreement may not be modified, amended or waived in any manner except
by an instrument in writing signed by both parties hereto. The waiver by either party of compliance with any provision of this Agreement by the other party shall not operate or be construed as a waiver of any other provision of this Agreement, or of
any subsequent breach by such party of a provision of this Agreement. 
  
 9. Governing Law. All matters affecting this Agreement, including the validity thereof, are to be governed by, interpreted and construed in accordance with the laws of the State of Indiana. 
  
 10. Notices. Any notice hereunder by either party to the other shall
be given in writing by personal delivery or certified mail, return receipt requested. If addressed to Executive, the notice shall be delivered or mailed to Executive at the address last known to the Company, or if addressed to the Company, the
notice shall be delivered or mailed to the Company at its executive offices to the attention of the Board of Directors of the Company. A notice shall be deemed given, if by personal delivery, on the date of such delivery or, if by certified mail, on
the date shown on the applicable return receipt. 
  
 11.
Supersedes Previous Agreements. This Agreement supersedes all prior or contemporaneous negotiations, commitments, agreements and writings with respect to the subject matter hereof, other than the Company’s existing benefits plans insofar
as they apply to Executive due to his past services as an employee of the Company. Subject to that one exception, all such other negotiations, commitments, agreements and writings will have no further force or effect, and the parties to any such
other negotiation, commitment, agreement or writing will have no further rights or obligations thereunder. 
  

 13 

 12. Counterparts. This Agreement may be executed in two counterparts, each of which shall be
deemed to be an original, but both such counterparts shall together constitute one and the same instrument. 
  
 13. Headings. The headings of paragraphs herein are included solely for convenience of reference and shall not control the meaning or
interpretation of any of the provisions of this Agreement. 
  
 14.
Withholding Tax. The Company shall be entitled to deduct or withhold from any payment made hereunder all Federal, state and local taxes which the Company is required by law to deduct or withhold therefrom. 
  
 [SIGNATURE PAGE FOLLOWS]  
  

 14 

 IN WITNESS WHEREOF, the Company has caused the Agreement to be signed by its officer pursuant to the authority of its
Board of Directors, and Executive has executed this Agreement, as of the day and year first written above. 
  

													
	 GREGG APPLIANCES, INC.
	 	 	 	 JERRY THROGMARTIN

					
	 By:
	 	 /s/ Jerry W. Throgmartin
	 	 	 	 By:
	 	 /s/ Jerry W. Throgmartin

	 	 	 Name:
	 	 Jerry W. Throgmartin
	 	 	 	 	 	 Name:
	 	 Jerry W. Throgmartin

	 	 	 Title:
	 	 Chairman and Chief Executive Officer
	 	 	 	 	 	 	 	 

  

 15 

 Schedule A 
  

Activities Deemed Approved by the Board of Directors 
 Provided They Do Not Interfere With Executive’s Duties 
  
 (1) Participation in WGT V, LLC so long as the activities of such entity are limited to the leasing of real estate to the Company.  
  
 (2) Service on Board of Trustees of the University of Indianapolis 
  
 (3) Service as Chairman of the Cancer Center Development Board of Directors, Indiana University Medical Center 
  
 (4) Service on the Board of Directors of the Indiana Chamber of Commerce 
  

 16

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