Document:

Exhibit 10.1

 

87 CambridgePark Drive

Cambridge, Massachusetts

(the “Building”)

 

SECOND AMENDMENT

(“Second Amendment”)

 

	EXECUTION DATE:	March 11, 2020
	 	 
	LANDLORD:	HCP/King 87 CPD LLC, a Delaware limited liability company, successor-in-interest to CPI/King 87 CPD Owner LLC, the successor-in-interest to King 87 CPD LLC
	 	 
	TENANT:	Ra Pharmaceuticals, Inc., a Delaware corporation
	 	 
	EXISTING PREMISES:	A portion of the first (1st) floor of the Building, consisting of approximately 26,623 rentable square feet of space, as shown hatched on Exhibit 2 attached to the Lease, and the underground pH vault, as shown on Exhibit A, First Amendment; and
	 	 
	 	The First Amendment Premises consisting of the Mechanical Room and the Main Electric Room containing in the aggregate 134 rentable square feet, as shown on Exhibit A, First Amendment
	 	 
	DATE OF LEASE:	September 15, 2015
	 	 
	CURRENT EXPIRATION 

DATE:	April 30, 2023
	 	 
	EXTENDED EXPIRATION 

DATE:	The later to occur of (i) June 30, 2031 and (ii) last day of the calendar month in which the tenth (10th) anniversary of the Expansion Premises Rent Commencement Date, as hereinafter defined, occurs.
	 	 
	PREVIOUS LEASE AMENDMENTS:	
         First Amendment dated March 29, 2016

        

	 	 
	EXPANSION PREMISES:	The entirety of the second (2nd) floor of the Building, consisting of approximately 37,186 rentable square feet, as shown on Exhibit D, Second Amendment.  The Expansion Premises are the ROFO Premises, as defined and referenced in Exhibit 11 of the Lease. 

 

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BACKGROUND

 

WHEREAS, the Term of
the above-referenced lease (the “Lease”) is scheduled to expire on April 30, 2023;

 

WHEREAS, Tenant desires
to: (i) extend the Term of the Lease for an additional period; and (ii) lease the Expansion Premises from Landlord on the terms
and conditions hereinafter set forth;

 

WHEREAS, the Expansion
Premises are presently leased to another tenant of the Building, Dicerna Pharmaceuticals, Inc., (“Dicerna”)
pursuant to a lease (the “Dicerna Lease”), the term of which expires as of December 31, 2020;

 

WHEREAS, Landlord hereby
acknowledges that Tenant, UCB S.A. (“UCB”), and Franq Merger Sub, Inc., a wholly owned subsidiary of UCB (the
 “Merger Sub”), have entered into an Agreement and Plan of Merger dated as of October 9, 2019, pursuant to which
UCB agreed to acquire Tenant through the merger of Merger Sub with and into Tenant (the “Merger”), with Tenant
surviving the closing of the Merger, as a wholly owned subsidiary of UCB, the closing of which Merger is estimated to occur in
the first quarter of 2020; and

 

WHEREAS, Landlord is
willing to: (i) extend the Term of the Lease; and (ii) lease the Expansion Premises to Tenant on the terms and conditions hereinafter
set forth.

 

NOW, THEREFORE, the
Lease is hereby amended as follows:

 

1.       EXTENSION
OF TERM—EXISTING PREMISES. The Term of the Lease with respect to the Existing Premises is hereby extended for a period
of time (the “Extension Term”) commencing on May 1, 2023, and expiring on the date (the “Extended Expiration
Date”) that is the later to occur of (i) June 30, 2031 and (ii) last day of the calendar month in which the tenth (10th)
anniversary of the Expansion Premises Rent Commencement Date, as hereinafter defined, occurs. The Extension Term shall be upon
all of the same terms and conditions of the Lease in effect immediately preceding the Extension Term (including, without limitation,
Tenant’s obligation to pay Tenant’s Share of Operating Costs and Tenant’s Share of Taxes), except as set otherwise
set forth in this Second Amendment.

 

A.       Base
Rent—Existing Premises. The amount of Base Rent payable by Tenant for the Existing Premises during the Extension Term
shall be as hereinafter set forth. All such Base Rent shall be payable by Tenant in accordance with the provisions of Section 5.1
of the Lease.

 

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	Rent
    Year*	Annual
    Base Rent	Monthly
                                         
 Base Rent

                                                                                 

	5/1/23 – Expiration 

of Rent Year 2**	      $1,956,739.41***	$163,061.62
	Rent Year 3	$2,015,441.59	$167,953.47
	Rent
    Year 4	$2,075,904.84	$172,992.07
	Rent Year 5	$2,138,181.99	$178,181.83
	Rent Year 6	$2,202,327.44	$183,527.29
	Rent Year 7	$2,268,397.27	$189,033.11
	Rent Year 8	$2,336,449.19	$194,704.10
	Rent Year 9 	$2,406,542.66	$200,545.22
	Rent Year 10	$2,478,738.94	$206,561.58

 

		*	See Section 2A(6) below for the definition of Rent Year.

		**	Rent Year 2 and the succeeding Rent Years are the same for the Existing Premises and for the Expansion
Premises.

		***	Annualized

 

B.       Condition of Existing
Premises. Tenant shall take the Existing Premises during the Extension Term in a strictly “as-is” and “where
is” condition, without Landlord having any obligation to perform any work to renovate or otherwise perform leasehold improvement
work with respect to the Existing Premises, except that Tenant shall have the right to apply the proceeds of Landlord’s
Second Amendment Contribution, as defined in Section 2 of Exhibit A, Second Amendment, towards the Permitted Costs (as
defined in Section 2 of Exhibit A, Second Amendment) of Tenant’s Existing Premises Work (as defined in Section 3
below).

 

2.       LEASE
OF EXPANSION PREMISES. Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, the Expansion Premises for
a term commencing on the Expansion Premises Term Commencement Date (as hereinafter defined) and expiring on the Extended Expiration
Date (the “Expansion Premises Term”). Effective on the Expansion Premises Term Commencement Date, as hereinafter
defined, the Existing Premises and the Expansion Premises shall collectively be referred to as the “Premises”
and the Premises shall then contain a total of 63,943 rentable square feet. Said lease of the Expansion Premises shall be upon
all of the terms and conditions of the Lease applicable to the Existing Premises, except to the extent inconsistent with the provisions
of this Second Amendment.

 

A.       Definitions.

 

(1)       Expansion
Premises Term Commencement Date. The “Expansion Premises Term Commencement Date” shall be the date that
Landlord satisfies the Delivery Conditions, as hereinafter defined. The Expansion Premises Term Commencement Date is estimated
to occur on or about January 1, 2021 (the “Estimated Expansion Premises Term Commencement Date”).

 

(2)       Delivery
Conditions. The “Delivery Conditions” shall be deemed to be satisfied by Landlord when Landlord delivers
to Tenant: (x) the Expansion Premises in the condition required pursuant to Section 2B below, and (y) the Decommissioning Documentation
(as hereinafter defined).

 

(3)       Decommissioning
Documentation. The parties hereby acknowledge that Dicerna is required to clean and decommission the Expansion Premises
in compliance with the provisions of the Dicerna Lease as set forth on Exhibit B, Second Amendment attached hereto.
Promptly after Landlord’s receipt of a Surrender Plan from Dicerna which is approved by Landlord, and receipt of the
satisfactory certification from the industrial hygienist as required by Exhibit B, Second Amendment from Dicerna,
Landlord shall forward the Surrender Plan (as defined in Exhibit B, Second Amendment) and certification from the
industrial hygienist to Tenant. Such Surrender Plan and certification from the industrial hygienist are referred to herein as
the “Decommissioning Documentation”.

 

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(4)       Expansion
Premises Rent Commencement Date. The “Expansion Premises Rent Commencement Date” shall be the date that
is the earlier of (i) July 1, 2021 or (ii) the date Tenant occupies any part of the Expansion Premises for the Permitted Use, except
that the Expansion Premises Rent Commencement Date shall be extended by the number of days (if any) that Tenant’s Expansion
Premises Work is delayed by reason of Landlord Delays. Neither the installation of any furniture, fixtures or equipment in the
Expansion Premises nor the performance of Tenant’s Work in the Expansion Premises shall be considered to be “occupancy
of the Expansion Premises for the Permitted Uses” for the purposes of this Subparagraph (4).

 

(5)       Landlord
Delay. For the purposes of this Second Amendment, a “Landlord Delay” shall be defined as any delay in the
Tenant’s Expansion Premises Work to the extent caused by any default by Landlord under the Lease. Landlord shall not be charged
with any period of Landlord Delay prior to the time that Landlord receives written notice from Tenant of such Landlord Delay.

 

(6)       Rent
Year. For the purposes of this Second Amendment, from and after the Expansion Premises Rent Commencement Date, the first “Rent
Year” shall be defined as the period commencing on the Expansion Premises Rent Commencement Date and ending on the day
immediately preceding the first anniversary of the Expansion Premises Rent Commencement Date, except that if the Expansion Premises
Rent Commencement Date does not occur on the first day of a calendar month, then the first Rent Year shall expire on the last day
of the calendar month in which the first (1st) anniversary of the Expansion Premises Rent Commencement Date occurs. Thereafter,
each subsequent twelve-(12)-month period during the Term of this Lease commencing as of any anniversary of the Expansion Premises
Rent Commencement Date shall be deemed to be a Rent Year, except that Rent Year 10 shall commence as of the ninth (9th)
anniversary of the Expansion Premises Rent Commencement Date and shall expire on the Extended Expiration Date.

 

B.       Condition
of Expansion Premises. Landlord shall deliver the Expansion Premises to Tenant, and Tenant shall accept the Expansion Premises
from Landlord, in “AS IS”, “WHERE IS” condition, and with all faults on the Expansion Premises
Term Commencement Date, without representations or warranties, express or implied, in fact or by law, except that:

 

(1)       Landlord
shall deliver the Expansion Premises in the same condition as the Expansion Premises are in as of the Execution Date,
reasonable wear and tear, and damage by fire or other casualty excepted, broom clean, and free and clear of any occupants and
all their property, other than such furniture, fixtures and equipment (if any) left by Dicerna in the Expansion Premises
pursuant to a mutually acceptable agreement which may be entered into between Dicerna and Tenant);

 

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(2)       Landlord
shall deliver the Decommissioning Documentation to Tenant, as set forth above, and

 

(3)       the
foregoing shall not relieve Landlord of its repair and maintenance obligations under the Lease.

 

C.       Delay
in the Expansion Premises Term Commencement Date. Subject to the provisions of this Section 2C, Landlord’s failure to
deliver possession of the Expansion Premises to Tenant by the Estimated Expansion Premises Term Commencement Date shall in no way
affect the validity of this Second Amendment or the obligations of Tenant hereunder; Landlord shall not be liable for a failure
to deliver possession of the Expansion Premises or any other space due to the holdover or unlawful possession of such space by
Dicerna, and Tenant shall not have any claim against Landlord by reason thereof. Notwithstanding the foregoing, and as Tenant’s
sole remedies, both in law and in equity in the event of any delay in the Expansion Premises Term Commencement Date:

 

(1)       Hold
Over by Dicerna. If Dicerna holds over in the Expansion Premises beyond the expiration of the term of the Dicerna Lease,
then: (i) Landlord shall use commercially reasonable efforts (including commencement of a summary process action) to recover the
Expansion Premises from Dicerna as soon as reasonably possible, (ii) Landlord shall use commercially reasonable efforts to recover
any Hold Over Premium, as hereinafter defined, payable by Dicerna to Landlord, and (iii) Landlord shall pay to Tenant the net (i.e.,
net of reasonable attorneys’ fees and court costs incurred by Landlord in attempting to recover any Hold Over Premium) amount
of any Hold Over Premium actually received by Landlord from Dicerna pursuant to the Dicerna Lease with respect to its use and occupation
of the Expansion Premises after the termination of the term of the Dicerna Lease. The “Hold Over Premium” shall
be defined as the amount which Dicerna is required to pay to Landlord on account of its occupancy of the Expansion Premises after
the termination of the term of the Dicerna Lease in excess of the amount which Dicerna would have been required to pay to Landlord
on account of such hold over period had the term of the Dicerna Lease been extended through the hold over period on the same terms
as were in effect immediately prior to the expiration of the Dicerna Lease.

 

(2)       Tenant’s
Termination Right. Notwithstanding the foregoing, if the Expansion Premises Term Commencement Date shall not have
occurred on or before the Outside Date, as hereinafter defined, then Tenant shall have the right, exercisable by a written
thirty-(30)-day termination notice given by Tenant to Landlord on or after the Outside Date, to cancel this Second Amendment
and to render it void and without further force or effect. The “Outside Date” shall be defined as June 1,
2021. If the Expansion Premises Term Commencement Date occurs on or before the thirtieth (30th) day after Landlord
receives such termination notice, Tenant’s termination notice shall be deemed to be void and of no force or effect. If
the Expansion Premises Term Commencement Date does not occur on or before such thirtieth (30th) day, then: (i)
Landlord shall promptly return the Expansion Premises Security Deposit to Tenant, and (ii) this Second Amendment shall be
void and without further force or effect, except that Tenant shall continue to be entitled to receive the net amount of any
Hold Over Premium actually received by Landlord from Dicerna.

 

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D.       Rent.
Commencing on the Expansion Premises Rent Commencement Date and continuing thereafter throughout the Term of the Lease, Tenant
shall pay Base Rent with respect to the Expansion Premises as follows:

 

	Time Period	Annual Base Rent	
        Monthly Base
Rent

	Rent Year 1	$2,640,206.00	$220,017.17
	Rent Year 2	$2,719,412.18	$226,617.68
	Rent Year 3	$2,800,994.55	$233,416.21
	Rent Year 4	$2,885,024.38	$240,418.70
	Rent Year 5	$2,971,575.11	$247,631.26
	Rent Year 6	$3,060,722.37	$255,060.20
	Rent Year 7	$3,152,544.04	$262,712.00
	Rent Year 8	$3,247,120.36	$270,593.36
	Rent Year 9	$3,344,533.97	$278,711.16
	Rent Year 10	$3,444,869.99	$287,072.50

 

E.       Additional
Rent. Tenant’s obligation to pay Tenant’s Share of Operating Costs and Tenant’s Share of Taxes and utilities,
all with respect to the Expansion Premises shall commence as of the Expansion Premises Rent Commencement Date. Therefore, commencing
as of the Expansion Premises Rent Commencement Date, and continuing thereafter throughout the remainder of the Term of the Lease:
(w) both Tenant’s Building Share and Tenant’s Share shall be 100% (i.e., since, upon the lease of the Expansion Premises,
Tenant shall be leasing the entirety of the rentable area of the Building), (x) Tenant shall pay Tenant’s Share of Operating
Costs to Landlord in accordance with the provisions of Section 5.2(c) of the Lease, (y) Tenant shall pay Tenant’s Share of
Taxes to Landlord in accordance with the provisions of Section 5.3(c) of the Lease, and (z) Tenant shall pay 100% of the cost of
all utility services consumed in the Building (including, without limitation, electricity, gas and water). The parties agree that
if Landlord exercises its right, as set forth in Section 2.2(b) of the Lease, to subject the Property to a Condominium and/or an
REA, then, except for Excluded Costs (as defined in Section 5.2(b) of the Lease, common area changes payable under the Condominium
relating to the Unit in which the Building is located and any costs under the REA which are chargeable to the Building shall be
included in Operating Costs.

 

3.       TENANT’S
WORK. Subject to the provisions of the Lease, Tenant shall, at Tenant’s sole cost and expense (subject to
Tenant’s right to apply Landlord’s Second Amendment Contribution) perform all work which Tenant deems necessary:
(i) to prepare the Expansion Premises for Tenant’s use and occupancy (“Tenant’s Expansion Premises
Work”) and (ii) to refurbish the Existing Premises (“Tenant’s Existing Premises Work”).
Collectively, Tenant’s Expansion Premises Work and Tenant’s Existing Premises Work are known as
 “Tenant’s Work”. Tenant’s Work shall be performed in accordance with the provisions of the
Lease, including, without limitation, Section 11 of the Lease and Exhibit 4 and Exhibit 7 thereof, as well as Exhibit
A, Second Amendment attached hereto.

 

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4.       MWRA
PERMIT FOR ACID NEUTRALIZATION TANK SERVING THE EXPANSION PREMISES. Reference is made to the fact that Tenant will have the
right to use the Acid Neutralization Tank currently serving the Expansion Premises. Therefore, Tenant confirms and agrees that
it shall comply with the provisions of Section 4.3 of the Lease with respect to such Acid Neutralization Tank, including, without
limitation, obtaining an MWRA Permit prior to commencing to use such Acid Neutralization Tank.

 

5.       PARKING.

 

A.       Expansion
Premises Parking. In addition to Tenant’s right to use the forty-five (45) parking spaces (the “Parking Spaces”)
set forth in Section 1.3(b) of the Lease with respect to the Existing Premises, commencing as of the Expansion Premises Rent Commencement
Date and continuing thereafter throughout the Term of the Lease, Tenant shall have the right to use an additional fifty-six (56)
parking spaces in connection with Tenant’s lease of the Expansion Premises (the “Expansion Premises Parking”),
for a total of 101 parking spaces available to Tenant (the “Total Parking Spaces”). Tenant’s use of the
Expansion Premises Parking shall be in accordance with the terms and conditions set forth in said Section 1.3(b) of the Lease,
as amended by this Section 5.

 

B.       Garage.
The parties hereby acknowledge that Landlord intends to build a new building to be known as and numbered 101 CambridgePark Drive
(“New Building”) and a garage (the “Garage”) under the New Building. Upon the completion
of the Garage: (i) all of the Parking Spaces available for Tenant’s use shall be located in the Garage, the surface parking
area serving the Building, and (ii) Tenant shall pay Monthly Parking Fees to Landlord for the use of each Parking Space made available
to Tenant pursuant to the Lease, as amended by this Second Amendment, a monthly parking fee equal to the greater of: (i) $150.00
per space per month, or (ii) the Prevailing Monthly Parking Rate, as hereinafter defined. The “Prevailing Monthly Parking
Rate” shall be the monthly rate charged, from time to time, to the public for parking in structured garages located in
the geographic area shown on Exhibit C, Second Amendment. As of the Execution Date of this Second Amendment, the Prevailing
Monthly Parking Rate is estimated to be $150.00 per Parking Space. Notwithstanding the foregoing, in the event Landlord elects
not to construct the Garage, Tenant shall commence paying Monthly Parking Fees to Landlord commencing on May 1, 2023, and continuing
through the remainder of the Term of the Lease. Monthly Parking Fees shall be considered additional rent and shall be payable by
Tenant to Landlord on the first day of each month in advance at the same time and in the same manner as Base Rent is payable by
Tenant to Landlord.

 

C.       Landlord’s
Right to Temporarily Relocate Parking Spaces. As contemplated pursuant to Section 1.3(b) of the Lease, upon at least
three (3) months’ prior notice, Landlord has the right to temporarily relocate all, or a portion, of the Parking
Spaces. The parties confirm that Landlord shall retain such right as set forth in Section 1.3(b), except that: (i)
notwithstanding the provisions of clause (i) in Section 1.3(b), the duration of such relocation shall be not more than
twenty-four (24) months, and (ii) Landlord may temporarily relocate some of, or all of, the Parking Spaces to other parking
areas owned, controlled or leased by Landlord in the geographic area shown on Exhibit C, Second Amendment. Exhibit
C, Second Amendment is hereby substituted in place of Exhibit 2-1 of the Lease.

 

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6.       LANDLORD’
NOTICE ADDRESS. For all purposes of the Lease, the Notice address for Landlord set forth in Section 24 of the Lease is hereby
deleted in its entirety, and the following address is substituted therefor:

 

	“If to Landlord:	HCP/King 87 CPD LLC
	 	c/o King Street Properties
	 	800 Boylston Street, Suite 1570
	 	Boston, MA 02199
	 	Attention: Stephen D. Lynch
	 	Email: slynch@ks-prop.com
	 
	With copies to: 	Goulston & Storrs PC
	 	400 Atlantic Avenue
	 	Boston, MA 02110
	 	Attention: King Street
	 	plevy@goulstonstorrs.com”

 

7.       SECURITY
DEPOSIT. Reference is made to the fact that Landlord is currently holding a Security Deposit in the amount of $1,333,812.00
in the form of a letter of credit (the “Existing Security Deposit”) pursuant to the provisions of Article 7
of the Lease. No additional security deposit will be required with respect to the Expansion Premises and Landlord shall continue
to hold the Existing Security Deposit throughout the Term. Notwithstanding the foregoing, provided that (x) the Merger has occurred,
(y) UCB has executed and delivered to Landlord a guaranty in the form attached hereto as Exhibit E, Second Amendment, which
guaranty shall remain in full force and effect throughout the Term, and (z) there is then no existing Event of Default by Tenant
under the Lease (collectively, the “Reduction Conditions”), Tenant may request a reduction in the amount of
the Existing Security Deposit to $500,000.00 (the “Reduced Security Deposit”).

 

Tenant shall request such reduction in
a written notice to Landlord (the “Reduction Notice”), and if Landlord, in good faith, determines that the
Reduction Conditions have been satisfied, Landlord shall, within five (5) business days of its receipt of such Reduction
Notice, so notify Tenant, whereupon Tenant shall deliver to Landlord either: (i) a substitute letter of credit (the
 “Substitute Letter of Credit”) in the amount of the Reduced Security Deposit, in form satisfying the
requirements of this Section 7 and Article 7 of the Lease, or (ii) an amendment to the existing letter of credit, in form and
substance reasonably acceptable to Landlord, reducing the amount of the Existing Security Deposit to the Reduced Security
Deposit amount. If Tenant delivers to Landlord a Substitute Letter of Credit satisfying the foregoing requirements, as
aforesaid, then Landlord shall exchange the existing letter of credit which Landlord is then holding for such Substitute
Letter of Credit within ten (10) days after Landlord receives such Substitute Letter of Credit from Tenant. If Landlord
declines to reduce the Existing Security Deposit based upon the fact that any of the Reduction Conditions have not been
satisfied, but Tenant subsequently satisfies the Reduction Conditions, then Tenant may submit a new Reduction Notice to
Landlord for the reduction in the Security Deposit in accordance with the provisions of this Section 7.

 

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In no event shall the Reduced Security Deposit
ever be less than $500,000.00. The Reduced Security Deposit shall continue to be held by Landlord throughout the Term of the Lease.

 

8.       MONUMENT
SIGN. Tenant acknowledges that, in connection with the construction of the New Building, Landlord intends, at Landlord’s
sole cost, to replace the existing Monument Sign serving the Building with a new Monument Sign (“New Monument Sign”)
which will identify tenants of both the Building and the New Building. Upon completion of the New Monument Sign, Tenant’s
name shall be listed on the New Monument with signage facia similar to Tenant’s signage on the existing Monument Sign.

 

9.       ESTOPPEL.
Each party (the “Certifying Party”) hereby certifies to the other party (the “Other Party”)
that, to the best of the knowledge of the Certifying Party, the Other Party is not, as of the Execution Date of this Second Amendment,
in default of its obligations under the Lease.

 

10.     BROKER.
Tenant and Landlord each warrants and represents that it has dealt with no broker, other than CBRE/New England (“Broker”)
in connection with the consummation of this Second Amendment. Tenant and Landlord each agrees to defend, indemnify and save the
other harmless from and against any Claims arising in breach of the representation and warranty set forth in the immediately preceding
sentence. So long as Tenant does not exercise its termination right pursuant to Section 2C(2) above, Landlord shall be responsible
for the commission payable to Broker in connection with the execution and delivery of this Second Amendment pursuant to a separate
agreement between Landlord and Broker.

 

11.     DELETED LEASE
PROVISIONS

 

A.      Deleted
Lease Provisions. Section 1.2 (Extension Term) and Exhibit 11 (Right of First Offer) of the Lease are hereby deleted in their
entirety and are of no further force and effect.

 

B.      Inapplicable
Lease Provisions. Section 3, Exhibit 4, and Exhibit 11-1 of the Lease shall have no applicability with respect
to this Second Amendment.

 

12.     CONFLICT.
In the event that any of the provisions of the Lease are inconsistent with this Second Amendment or the state of facts contemplated
hereby, the provisions of this Second Amendment shall control.

 

13.     RATIFICATION.
Capitalized terms used and not otherwise defined herein shall have the meanings ascribed to such terms in the Lease. As hereby
amended, the Lease is ratified, confirmed and approved in all respects.

 

14.     Tenant’s
Hazardous Materials. Effective as of the Expansion Premises Term Commencement Date, Exhibit 8 to the Lease shall be
deleted in its entirety, and

 

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Exhibit 8, Second Amendment, attached
hereto and incorporated herein, shall be substituted therefor.

 

[SIGNATURES ON FOLLOWING
PAGE]

 

    10

     

    

 

EXECUTED under seal as of the date first above
written.

 

LANDLORD:

 

HCP/KING 87 CPD LLC,

a Delaware limited liability company

 

		By:	King Stengel LLC,

its Manager

 

		By:	King Street Properties Investments LLC,

its Manager

 

		By:	King
                                         Street Properties Investments LLC,
	 	 	Its Manager

 

		 	By:	/s/ Thomas Ragno	 
		 	 	Name:	Thomas Ragno	 
		 	 	Title:	Manager	 

 

TENANT:

 

RA PHARMACEUTICALS, INC.,

a Delaware corporation

 

	By:	/s/ David Lubner	 

	 	Name:	David Lubner	 

	 	Title:	BVP, CFO	 

 

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EXHIBIT A, SECOND AMENDMENT

 

WORK LETTER

 

1.       Performance
of Tenant’s Work. Tenant shall perform Tenant’s Work in accordance with the provisions of the Lease (including,
without limitation, Section 11, Exhibit 4, Exhibit 7, and Exhibit 9-2 of the Lease, and this Exhibit A, Second
Amendment). Tenant’s Work shall be performed at Tenant’s sole cost and expense, except that Tenant may apply Landlord’s
Second Amendment Contribution to Permitted Costs, as hereinafter defined. Without limiting the foregoing, Tenant’s Work shall
be designed by an architect approved by Landlord and a contractor approved by Landlord, which approvals shall not be unreasonably
withheld, conditioned, or delayed.

 

2.       Landlord’s
Second Amendment Contribution

 

(a)              
Maximum Contribution. As an inducement to Tenant’s entering into this Second Amendment, Landlord shall, in
the manner hereinafter set forth, provide Tenant with a special tenant improvement allowance (“Landlord’s Second
Amendment Contribution”) not to exceed Two Million Five Hundred Eighty Thousand Three Hundred Seventy and 00/100 Dollars
($2,580,370.00) (the “Maximum Contribution”). Landlord’s Second Amendment Contribution may be used by
Tenant solely to reimburse Tenant for costs incurred by Tenant in designing Tenant’s Work (“Soft Costs”)
and in performing Tenant’s Work (“Hard Costs”). Soft Costs and Hard Costs are referred to collectively
herein as “Permitted Costs”. No more than $129,018.50 of Landlord’s Second Amendment Contribution may
be used to pay for Soft Costs.

 

(b)              
Budget. Tenant shall have no right to submit any requisition to Landlord on account of Permitted Costs until Tenant
has submitted to Landlord a detailed good faith budget (“Budget”) of Permitted Costs. Tenant shall deliver to
Landlord an update of the Budget at least once every two (2) months, but in any event after Tenant enters into a contract for the
performance of Tenant’s Work with its contractor.

 

(c)              
Tenant shall submit to Landlord reasonably detailed documentation evidencing the then current Budget at the time of each
Budget update. For the purposes hereof, Permitted Costs shall not include: (i) the cost of any of Tenant’s Property
(hereinafter defined), including, without limitation, telecommunications and computer equipment and all associated wiring and cabling,
any de-mountable decorations, artwork and partitions, signs, and trade fixtures, (ii) the cost of any fixtures or Alterations that
will be removed at the end of the Term, and (iii) any fees paid to Tenant, any Affiliated Entity or Successor,

 

    
EXHIBIT A, SECOND AMENDMENT
Page 1

     

    

 

(d)               Requisitions.
Landlord shall pay Landlord’s Proportion (hereinafter defined) of the cost shown on each requisition (hereinafter
defined) submitted by Tenant to Landlord within thirty (30) days of submission thereof by Tenant to Landlord until the
entirety of Landlord’s Second Amendment Contribution has been exhausted. “Landlord's Proportion”
shall be a fraction, the numerator of which is Landlord’s Second Amendment Contribution and the denominator of which is
the Budget for Permitted Costs, from time to time. A “requisition” shall mean AIA Documents G-702 and
G-703 duly executed and certified by Tenant’s architect and general contractor (accompanied by, without limitation,
invoices from Tenant’s contractors, vendors, service providers and consultants (collectively,
 “Contractors”) and partial lien waivers and subordinations of lien, as specified in M.G.L. Chapter 254,
Section 32 (“Lien Waivers”) with respect to the prior month’s requisition, and such other
documentation as Landlord or any Mortgagee may reasonably request) showing in reasonable detail the costs of the item in
question or of the improvements installed to date in the Premises, accompanied by certifications executed by the Chief
Executive Officer, Chief Financial Officer, Chief Operations Officer, Vice President, or other officer of Tenant that the
amount of the requisition in question does not exceed the cost of the items, services and work covered by such requisition.
Landlord shall have the right, upon reasonable advance notice to Tenant and not more often than one time per calendar month,
to inspect Tenant’s books and records relating to each requisition in order to verify the amount thereof. Such
inspection shall be at Landlord’s sole cost and expense unless, after performing such inspection, it is determined that
Tenant overstated the amount due to Tenant by more than four (4%) in which event, Tenant shall reimburse Landlord for the
reasonable third-party cost of such inspection. Tenant shall submit requisition(s) no more often than monthly.

 

(e)              
Notwithstanding anything to the contrary herein contained: (i) Landlord shall have no obligation to advance funds on account
of Landlord’s Second Amendment Contribution more than once per month; (ii) if Tenant fails to pay to Tenant’s contractors
the amounts paid by Landlord to Tenant in connection with any previous requisition(s), Landlord shall thereafter have the right
to have Landlord’s Second Amendment Contribution paid directly to Tenant’s contractors; (iii) except as provided in
the next following sentence, Landlord shall have no obligation to pay any portion of Landlord’s Second Amendment Contribution
with respect to any requisition submitted after the date (the “Outside Requisition Date”) which is the earlier
of: (a) three (3) months after the completion of Tenant’s Work, or (b) six (6) months after the Expansion Premises Term Commencement
Date; provided, however, that if Tenant certifies to Landlord that it is engaged in a good faith dispute with any contractor, such
Outside Requisition Date shall be extended while such dispute is ongoing, so long as Tenant is diligently prosecuting the resolution
of such dispute; (iv) Tenant shall not be entitled to any unused portion of Landlord’s Second Amendment Contribution, (v)
Landlord’s obligation to pay any portion of Landlord’s Second Amendment Contribution shall be conditioned upon there
existing no default by Tenant in its obligations under this Lease, of which Landlord has given Tenant written notice, at the time
that Landlord would otherwise be required to make such payment; and (vi) in addition to all other requirements hereof, Landlord’s
obligation to pay the final ten percent (10%) of Landlord’s Second Amendment Contribution shall be subject to simultaneous
delivery of all Lien Waivers relating to items, services and work performed in connection with Tenant’s Work. If Landlord
declines to fund any requisition on the basis that, at the time that Tenant submitted such requisition to Landlord, Tenant is in
default of its obligations under the Lease, then, if Tenant cures such default and so long as the Lease is still in full force
and effect, Tenant shall again have the right to resubmit such requisition (as may be updated by Tenant for any work performed
since the date of the previously submitted requisition) for payment subject to the terms and conditions of this Section 2.

 

    
EXHIBIT A, SECOND AMENDMENT
Page 2

     

    

 

(f)                If
Landlord fails to fund any payment of Landlord’s Second Amendment Contribution properly due to Tenant when due, within
thirty (30) days after Tenant’s written demand, the unfunded amount of the Landlord’s Second Amendment
Contribution shall accrue interest at the Lease Interest Rate, as defined in Section 5.4, from the date due until paid, and
Tenant may offset such owed amounts from subsequent installments of Base Rent until the total owed to Tenant is
reimbursed.

 

3.       Miscellaneous

 

(a)              
Tenant’s Authorized Representative. Tenant designates Kerry Black (“Tenant’s Representative”)
as the only person authorized to act for Tenant pursuant to this Work Letter. Landlord shall not be obligated to respond to or
act upon any request, approval, inquiry or other communication (“Communication”) from or on behalf of Tenant
in connection with this Work Letter unless such Communication is in writing from Tenant’s Representative. Tenant may change
either Tenant’s Representative at any time upon not less than five (5) Business Days advance written notice to Landlord.

 

(b)              
Landlord’s Authorized Representative. Landlord designates Brian Grisaru (“Landlord’s Representative”)
as the only person authorized to act for Landlord pursuant to this Work Letter. Tenant shall not be obligated to respond to or
act upon any request, approval, inquiry or other Communication from or on behalf of Landlord in connection with this Work Letter
unless such Communication is in writing from Landlord’s Representative. Landlord may change either Landlord’s Representative
at any time upon not less than five (5) Business Days advance written notice to Tenant.

 

5.       This
Exhibit shall not be deemed applicable to any additional space added to the Premises at any time or from time to time, whether
by any options under the Lease or otherwise, or to any portion of the original Premises or any additions to the Premises in the
event of a renewal or extension of the original Term of the Lease, whether by any options under the Lease or otherwise, unless
expressly so provided in the Lease or any amendment or supplement to the Lease.

 

    
EXHIBIT A, SECOND AMENDMENT
Page 3

     

    

 

EXHIBIT B, SECOND AMENDMENT

 

DICERNA’S DECOMMISSIONING OBLIGATIONS

 

Prior to the expiration
of this Lease (or within thirty (30) days after any earlier termination), Tenant shall clean and otherwise decommission all interior
surfaces (including floors, walls, ceilings, and counters), piping, supply lines, waste lines, acid neutralization systems and
plumbing in and/or exclusively serving the Premises, and all exhaust or other ductwork in and/or exclusively serving the Premises,
in each case which has carried or released or been contacted by any Hazardous Materials or other chemical or biological materials
used in the operation of the Premises, and shall otherwise clean the Premises so as to permit the Surrender Plan (defined below)
to be issued. At least thirty (30) days prior to the expiration of the Term, Tenant shall deliver to Landlord a reasonably detailed
narrative description of the actions proposed (or required by any Legal Requirements) to be taken by Tenant in order to render
the Premises (including any Alterations permitted or required by Landlord to remain therein) free of Hazardous Materials and otherwise
released for unrestricted use and occupancy including without limitation (and to the extent applicable) causing the Premises to
be decommissioned in accordance with the regulations of the U.S. Nuclear Regulatory Commission and/or the Massachusetts Department
of Public health (the “MDPH”) for the control of radiation, and cause the Premises to be released for unrestricted
use by the Radiation Control Program of the MDPH (the “Surrender Plan”). The Surrender Plan (i) shall be accompanied
by a current list of (A) all Required Permits held by or on behalf of any Tenant Party with respect to Hazardous Materials in,
on, under, at or about the Premises, and (B) Tenant’s Hazardous Materials, and (ii) shall be subject to the review and approval
of Landlord’s environmental consultant. In connection with review and approval of the Surrender Plan, upon request of Landlord,
Tenant shall deliver to Landlord or its consultant such additional non-proprietary information concerning the use of and operations
within the Premises as Landlord shall request. On or before the expiration of the Term, Tenant shall deliver to Landlord a certification
from a third party certified industrial hygienist reasonably acceptable to Landlord certifying that the Premises do not contain
any Hazardous Materials and evidence that the approved Surrender Plan shall have been satisfactorily completed by a contractor
acceptable to Landlord, and Landlord shall have the right, subject to reimbursement at Tenant’s expense as set forth below,
to cause Landlord’s environmental consultant to inspect the Premises and perform such additional procedures as may be deemed
reasonably necessary to confirm that the Premises are, as of the expiration of the Term (or, if applicable, the date which is thirty
(30) days after any earlier termination of this Lease), free of Hazardous Materials and otherwise available for unrestricted use
and occupancy as aforesaid. Landlord shall have the unrestricted right to deliver the Surrender Plan and any report by Landlord’s
environmental consultant with respect to the surrender of the Premises to third parties. Such third parties and the Landlord Parties
shall be entitled to rely on the Surrender Report. If Tenant shall fail to prepare or submit a Surrender Plan approved by Landlord,
or if Tenant shall fail to complete the approved Surrender Plan, or if such Surrender Plan, whether or not approved by Landlord,
shall fail to adequately address the use of Hazardous Materials by any of the Tenant Parties in, on, at, under or about the Premises,
Landlord shall have the right to take any such actions as Landlord may deem reasonable or appropriate to assure that the Premises
and the Property are surrendered in the condition required hereunder, the cost of which actions shall be reimbursed by Tenant as
additional rent upon

demand. Tenant’s obligations under
this Section 21.1(b) shall survive the expiration or earlier termination of the Term.

 

    
EXHIBIT B, SECOND AMENDMENT
Page 1

     

    

 

EXHIBIT C, SECOND AMENDMENT

 

PERMISSIBLE RELOCATION OF PARKING
AREAS

 

 

 

    
EXHIBIT C, SECOND AMENDMENT
Page 1

     

    

 

EXHIBIT D, SECOND AMENDMENT

 

PLAN OF EXPANSION PREMISES

 

 

 

    
EXHIBIT D, SECOND AMENDMENT
Page 1

     

    

 

EXHIBIT E, SECOND AMENDMENT

 

FORM OF GUARANTY

 

GUARANTY

 

FOR VALUE RECEIVED, and in consideration
for, and as an inducement to HCP/KING 87 CPD LLC, a Delaware limited liability company (the “Landlord”)
to enter into that certain Second Amendment dated as of January __, 2020 to the Lease dated September 16, 2015, as amended by a
First Amendment dated March 29, 2016 (as amended, the “Lease”) with RA PHARMACEUTICALS, INC., a Delaware
corporation (“Tenant”), the undersigned UCB S.A., a Belgium ___________________,
with an address of _____________________________________ (“Guarantor”), unconditionally guarantees the timely
and punctual payment of all Rent, as defined in the Lease, and other payments required to be paid by Tenant, and the timely and
prompt full performance and observance of all the covenants, conditions and agreements therein provided to be performed and observed
by Tenant under the Lease. Capitalized terms used but not defined herein shall have the meanings given in the Lease. Guarantor
expressly agrees that the validity of this agreement and the obligations of Guarantor shall in no way be terminated, affected or
impaired by reason of the granting by Landlord of any indulgences to Tenant or by reason of the assertion by Landlord against Tenant
of any of the rights or remedies reserved to Landlord pursuant to the provisions of the Lease or by the relief of Tenant from any
of Tenant’s obligations under the Lease by operation of law or otherwise (including, but without limitation, the rejection
of the Lease in connection with proceedings under the bankruptcy laws now or hereafter enacted); Guarantor hereby waiving all suretyship
defenses.

 

The obligations of Guarantor include the
payment to Landlord of any monies payable by Tenant under any provisions of the Lease, at law, or in equity, including, without
limitation, any monies payable by virtue of the breach of any warranty, the grant of any indemnity or by virtue of any other covenant
of Tenant under the Lease

 

Guarantor further covenants and agrees that
this Guaranty shall remain and continue in full force and effect during the Term and as to any modification of the Lease, whether
or not Guarantor shall have received any notice of or consented to such modification. Guarantor further agrees that its liability
under this Guaranty shall be primary (and that the heading of this instrument and the use of the word “Guaranty(s)”
shall not be interpreted to limit the aforesaid primary obligations of Guarantor), and that in any right of action which shall
accrue to Landlord under the Lease, Landlord may, at its option, proceed against Guarantor, any other guarantor, and Tenant, jointly
or severally, and may proceed against Guarantor without having commenced any action against or having obtained any judgment against
Tenant or any other guarantor. Guarantor irrevocably waives any and all rights Guarantor may have at any time (whether arising
directly or indirectly, by operation of law or by contract or otherwise) to assert any claim against Tenant on account of payments
made under this Guaranty, including, without limitation, any and all rights of or claim for subrogation, contribution, reimbursement,
exoneration and indemnity, and further waives any benefit of and any right to participate in any security deposit or other collateral
which may be held by Landlord; and Guarantor will not claim any set-off or counterclaim against Tenant in respect of any liability
Guarantor may have to Tenant.

 

    
EXHIBIT E, SECOND AMENDMENT
Page 1

     

    

 

Guarantor hereby waives presentment, protest,
notice of default, demand for payment, and all other suretyship defenses whatsoever with respect to any payment guaranteed under
this Guaranty, and agrees to pay unconditionally upon demand all amounts owed under the Lease. Guarantor further waives any setoff,
defense or counterclaim that Tenant or Guarantor may have or claim to have against Landlord and the benefit of any statute of limitations
affecting Guarantor’s liability under this Guaranty. Guarantor hereby agrees to indemnify Landlord and hold it harmless from
and against all loss and expense, including reasonable third party out of pocket legal fees, suffered or incurred by Landlord as
a result of claims to avoid any payment received by Landlord from Tenant with respect to the obligations of Tenant under the Lease.
If Landlord retains an attorney to enforce this Guaranty or to bring any action or any appeal in connection with this Guaranty,
the Lease, or the collection of any payment under this Guaranty or the Lease, Landlord shall be entitled to recover its attorneys'
fees, costs and disbursements in connection therewith, as determined by the court before which such action or appeal is heard,
in addition to any other relief to which Landlord may be entitled.

 

Guarantor represents to Landlord that Guarantor,
directly or indirectly, owns all of the outstanding ownership interests in Tenant.

 

It is agreed that the failure of Landlord
to insist in any one or more instances upon a strict performance or observance of any of the terms, provisions or covenants of
the Lease or to exercise any right therein contained shall not be construed or deemed to be a waiver or relinquishment for the
future of such term, provision, covenant or right, but the same shall continue and remain in full force and effect. Receipt by
Landlord of Rent with knowledge of the breach of any provision of the Lease shall not be deemed a waiver of such breach.

 

No subletting, assignment or other transfer
of the Lease, or any interest therein, shall operate to extinguish or diminish the liability of Guarantor under this Guaranty;
and wherever reference is made to the liability of Tenant named in the Lease, such reference shall be deemed likewise to refer
to Guarantor.

 

All payments becoming due under this Guaranty
and not paid within ten (10) business days after written notice from Landlord that the same is due shall bear interest from the
applicable due date until received by Landlord at the rate set forth in Section 5.4(a) of the Lease for late payments.

 

It is further agreed that all of the terms
and provisions hereof shall inure to the benefit of the heirs, executors, administrators and assigns of Landlord, and shall be
binding upon the heirs, successors and assigns of Guarantor. Landlord shall have the unrestricted right to assign this Guaranty
in connection with an assignment of the landlord’s interest in the Lease without the consent of, or any other action required
by, Guarantor.

 

Guarantor shall
at any time and from time to time upon not less than ten (10) business days’ prior written notice from Landlord,
execute, acknowledge and deliver to Landlord a statement in writing certifying that this Guaranty is unmodified and in full
force and effect (or if there have been modifications, that the same is in full force and effect as modified and stating the
modifications), it being intended that any such statement delivered pursuant hereto may be relied upon by Landlord, any
prospective purchaser of the Building or of any interest of Landlord therein, any Mortgagee or prospective Mortgagee thereof,
any lessor or prospective lessor thereof, any lessee or prospective lessee thereof, or any prospective assignee of any
mortgage thereof.

 

    
EXHIBIT E, SECOND AMENDMENT
Page 2

     

    

 

Guarantor hereby expressly agrees that this
Guaranty shall be governed by and construed in accordance with the laws of the Commonwealth of Massachusetts, without regard to
principles of conflict of laws. Guarantor hereby expressly agrees that all actions to enforce this Guaranty, and all disputes arising,
directly or indirectly, out of or relating to this Guaranty, shall be dealt with and adjudicated in the state courts of the Commonwealth
of Massachusetts or the federal courts for the Commonwealth of Massachusetts and for that purpose hereby expressly and irrevocably
submits itself to the sole and exclusive jurisdiction of such courts. Guarantor waives any and all rights under the laws of any
state or the United States or otherwise to object to such jurisdiction. Guarantor agrees that so far as is permitted under applicable
law, this consent to personal jurisdiction shall be self-operative and no further instrument or action, other than service of process
as otherwise permitted by law, shall be necessary in order to confer jurisdiction upon it in any such court. Guarantor irrevocably
agrees and consents that in addition to any methods of service of process provided by applicable law, all such service of process
and any suit, action, or proceeding may be made by certified or registered mail, return receipt requested, at the address below,
and Guarantor irrevocably designates and appoints Tenant as its authorized agent to accept and acknowledge on its behalf service
of process with respect to any disputes arising, directly or indirectly, out of this Guaranty:

 

	Ra Pharmaceuticals, Inc.
	87 CambridgePark Drive
	Cambridge, Massachusetts 02140
	Attention:                                      

 

Alternatively, Landlord may comply with the applicable requirements of the Convention on the Service Abroad of Judicial and Extrajudicial
Documents in Civil or Commercial Matters (Nov. 15, 1965, 20 U.S.T. 361, T.I.A.S. No. 6638, the “Hague Convention”).

 

[Signature Page Follows] 

 

    
EXHIBIT E, SECOND AMENDMENT
Page 3

     

    

 

IN WITNESS WHEREOF, Guarantor has caused
this Guaranty to be executed under seal as of this             
day of                            ,
2020.

 

	WITNESS:	UCB S.A., a
	 	Belgium                                       
	                                        	 
	 	By:	 
	 	 	Name:	 
	 	 	Title:	 
	 

    
EXHIBIT E, SECOND AMENDMENT
Page 4

     

    

 

EXHIBIT 8, SECOND AMENDMENT

 

UPDATED
LIST OF TENANT’S HAZARDOUS MATERIALS

 

See
attached list.

 

    
EXHIBIT 8, SECOND AMENDMENT
Page 1Exhibit 4.0

      

      

      DESCRIPTION OF THE REGISTRANT’S SECURITIES

      REGISTERED PURSUANT TO SECTION 12 OF THE

      SECURITIES EXCHANGE ACT OF 1934

       

      

      The description of the material features of the common stock, $5.00 par value per share (the “common stock”), of Old Point Financial Corporation (the “Company”) does not purport to be complete and
        is in all respects subject to, and qualified in its entirety by references to, the applicable provisions of Virginia law and by our Articles of Incorporation, as amended June 22, 2000 and further amended May 26, 2016  (the “Articles”), and our
        Bylaws, as amended and restated August 9, 2016 (the “Bylaws”). Our Articles and our Bylaws are included as exhibits to the Annual Report on Form 10-K of which this exhibit is a part.

      

      

      General

      Each share of the Company’s common stock has the same relative rights as, and is identical in all respects to, each other share of Company common stock. The Company’s common stock is traded on the
        NASDAQ Capital Market under the symbol “OPOF.” The authorized capital stock of the Company consists of 10,000,000 shares of common stock.

      

      

      Dividends

      The Company’s stockholders are entitled to receive dividends or distributions that its Board of Directors may declare out of funds legally available for those payments. The payment of distributions by
        the Company is subject to the restrictions of Virginia law applicable to the declaration of distributions by a corporation. A Virginia corporation generally may not authorize and make distributions if, after giving effect to the distribution, it
        would be unable to meet its debts as they become due in the usual course of business or if the corporation’s total assets would be less than the sum of its total liabilities plus the amount that would be needed, if it were dissolved at that time,
        to satisfy the preferential rights of stockholders whose rights are superior to the rights of those receiving the distribution.

      

      

      As a bank holding company, the Company’s ability to pay dividends is affected by the ability of Old Point National Bank and Old Point Trust, its subsidiaries that are chartered by the OCC, to pay
        dividends to the holding company. The ability of Old Point National Bank and Old Point Trust, as well as the Company, to pay dividends in the future is, and could be further, influenced by bank regulatory requirements and capital guidelines.

      

      

      Liquidation Rights

      In the event of any liquidation, dissolution or winding up of the Company, the holders of shares of its common stock will be entitled to receive, after payment of all debts and liabilities of the
        Company, all remaining assets of the Company available for distribution in cash or in kind.

      

      

      Voting Rights

      The Company’s stockholders are entitled to one vote per share and, in general, a majority of votes cast with respect to a matter is sufficient to authorize action upon a routine matter.

      

      

      In an uncontested director election, each director will be elected by the affirmative vote of a majority of the votes cast with respect to the director’s election. An “uncontested director election”
        means an election in which the number of nominees does not exceed the number of directors to be elected. In a contested director election, directors are elected by a plurality of the votes cast. Holders of Company common stock are not entitled to
        cumulative voting rights in the election of directors.

      

      

      Directors and Classes of Directors

      In an uncontested director election, each Company director will be elected by the affirmative vote of a majority of the votes cast with respect to the director’s election. An “uncontested director
        election” means an election in which the number of nominees does not exceed the number of directors to be elected. In a contested director election, directors of the Company are elected by a plurality of the votes cast. The Company’s stockholders
        are not entitled to cumulative voting rights in the election of directors. The Company has only one class of directors.

      

      

      No Preemptive Rights; Redemption and Assessment

      Holders of shares of the Company’s common stock will not be entitled to preemptive rights with respect to any shares that may be issued. The Company’s common stock is not subject to redemption or any
        sinking fund and the outstanding shares are fully paid and nonassessable.

      

      

      Certain Anti-Takeover Provisions of Our Articles and Bylaws and Virginia Law

      General. Our Articles and Bylaws and the Virginia Stock Corporation Act (the “VSCC”) contain certain provisions designed to enhance the ability of our Board of Directors to
        deal with attempts to acquire control of the company. These provisions, and the ability to set the voting rights, preferences and other terms of any series of preferred stock that may be issued, may be deemed to have an anti-takeover effect and may
        discourage takeovers (which certain stockholders may deem to be in their best interest). To the extent that such takeover attempts are discouraged, temporary fluctuations in the market price of our common stock resulting from actual or rumored
        takeover attempts may be inhibited. These provisions also could discourage or make more difficult a merger, tender offer or proxy contest, even though such transaction may be favorable to the interests of stockholders, and could potentially
        adversely affect the market price of our common stock.

       

      

      
        
          

      

      The following briefly summarizes protective provisions that are contained in our Articles and Bylaws and provided by the VSCC. This summary is necessarily general and is not intended to be a complete description of
        all the features and consequences of those provisions, and is qualified in its entirety by reference to our Articles and Bylaws and the statutory provisions contained in the VSCC.

      

      

      State Anti-Takeover Statutes. Virginia has two anti-takeover statutes in force, the Affiliated Transactions Statute and the Control Share Acquisitions Statute.

      

      

      The Affiliated Transaction Statute of the VSCC contains provisions governing “affiliated transactions.” These include various transactions such as mergers, share exchanges, sales, leases, or other
        dispositions of material assets, issuances of securities, dissolutions, and similar transactions with an “interested stockholder.” An interested stockholder is generally the beneficial owner of more than 10% of any class of a corporation’s
        outstanding voting shares. During the three years following the date a stockholder becomes an interested stockholder, any affiliated transaction with the interested stockholder must be approved by both a majority (but not less than two) of the
        “disinterested directors” (those directors who were directors before the interested stockholder became an interested stockholder or who were recommended for election by a majority of the disinterested directors) and by the affirmative vote of the
        holders of two-thirds of the corporation’s voting shares other than shares beneficially owned by the interested stockholder. These requirements do not apply to affiliated transactions if, among other things, a majority of the disinterested
        directors approve the interested stockholder’s acquisition of voting shares making such a person an interested stockholder before such acquisition. Beginning three years after the stockholder becomes an interested stockholder, the corporation may
        engage in an affiliated transaction with the interested stockholder if:

      

      

      
        
          	

                	•	
                  the transaction is approved by the holders of two-thirds of the corporation’s voting shares, other than shares beneficially owned by the interested stockholder;

                

        

      

      

      

      
        
          	

                	•	
                  the affiliated transaction has been approved by a majority of the disinterested directors; or

                

        

      

      

      

      
        
          	

                	•	
                  subject to certain additional requirements, in the affiliated transaction the holders of each class or series of voting shares will receive consideration meeting specified fair price and other requirements
                    designed to ensure that all stockholders receive fair and equivalent consideration, regardless of when they tendered their shares.

                

        

      

      

      

      Under the VSCC’s Control Share Acquisitions Statute, voting rights of shares of stock of a Virginia corporation acquired by an acquiring person or other entity at ownership levels of 20%, 33 1/3%, and
        50% of the outstanding shares may, under certain circumstances, be denied. The voting rights may be denied:

      

      

      
        
          	

                	•	
                  unless conferred by a special stockholder vote of a majority of the outstanding shares entitled to vote for directors, other than shares held by the acquiring person and officers and directors of the
                    corporation; or

                

        

      

      

      

      
        
          	

                	•	
                  among other exceptions, such acquisition of shares is made pursuant to a merger agreement with the corporation or the corporation’s articles of incorporation or bylaws permit the acquisition of such shares
                    before the acquiring person’s acquisition thereof.

                

        

      

      

      

      If authorized in the corporation’s articles of incorporation or bylaws, the statute also permits the corporation to redeem the acquired shares at the average per share price paid for such shares if
        the voting rights are not approved or if the acquiring person does not file a “control share acquisition statement” with the corporation within 60 days of the last acquisition of such shares. If voting rights are approved for control shares
        comprising more than 50% of the corporation’s outstanding stock, objecting stockholders may have the right to have their shares repurchased by the corporation for “fair value.”

      

      

      Corporations may provide in their articles of incorporation or bylaws to opt-out of the Affiliated Transactions Statute or the Control Share Acquisitions Statute. The Company has not opted-out of the
        Affiliated Transactions Statute or the Control Share Acquisitions Statute and, therefore, such statutes do apply to the Company. Neither the Company’s Articles of Incorporation or Bylaws authorize the Company to redeem shares of its common stock
        which have been the subject of a “control share acquisition” as defined in the Control Share Acquisitions Statute.

      

      

      Supermajority Provision. The Company’s articles of incorporation provide that the affirmative vote of the holders of not less than 75% of the outstanding
        shares of common stock of the Company shall be required for the approval or authorization of any business combination (as defined below), unless such business combination has been approved by the affirmative vote of at least 80% of the entire Board
        of Directors.

       

      

      
        
          

      

      A “business combination” means (i) any merger or consolidation of the Company or a subsidiary with or into, or the exchange of shares of the Company for cash or property of, an acquiring person, (ii)
        any sale, lease, exchange or other disposition of all or substantially all of the assets of the Company or a subsidiary to or with an acquiring person, (iii) any reclassification of securities (including any reverse stock split), recapitalization
        or other transaction that would have the effect of increasing the voting power of an acquiring person, or (iv) any plan or proposal for the liquidation or dissolution of the Company proposed by or on behalf of an acquiring person. An “acquiring
        person” means any individual, firm, corporation, trust or any other entity which: (i) beneficially owns, together with its affiliates and associated persons, 5% or more of the outstanding shares of common stock of the Company; or (ii) though owning
        less than 5% of such shares, proposes or undertakes to obtain control or exercise a controlling influence over the Company as determined by the Board of Directors.

      

      

      Advance Notification Requirements. The Company’s Bylaws provide that a stockholder of record who is entitled to vote at an annual meeting of the Company’s
        stockholders may nominate a person for election to the Company’s Board of Directors by delivering notice of such nomination to the Secretary of the Company not later than the close of business on the 90th day nor earlier than the close of business
        on the 120th day prior to the first anniversary of the preceding year’s annual meeting (or, if the annual meeting is more than 30 days before or more than 70 days after such anniversary, then not earlier than the close of business on the 120th day
        prior to such annual meeting and not later than the close of business on the later of the 90th day prior to such annual meeting or the tenth day following the public announcement of the annual meeting date). Such notice must set forth certain
        information specified by the Bylaws.

      

      

      The Bylaws also provide that a stockholder may propose business to be considered by stockholders at an annual meeting of stockholders, subject to the same timeliness requirements as apply to
        stockholder nomination of directors for election at an annual meeting.

      

      

      The foregoing notice requirements shall be deemed satisfied by a stockholder if the stockholder has notified the  Company of such stockholder’s intention to present a proposal at an annual meeting and
        such stockholder’s proposal has been included in a proxy statement that has been prepared by the Company for such annual meeting.

      

      

      Exculpation and Indemnification of Officers and Directors. ​ Virginia law
        permits a Virginia corporation to indemnify directors and officers against liability incurred in a proceeding if he conducted himself in good faith and believed that, with regard to conduct in his official capacity, the conduct was in the
        corporation’s best interest and, with regard to all other conduct, that the conduct was not opposed to the corporation’s best interests.

      

      

      The Company’s Articles provide that, to the full extent permitted by Virginia law, a director or officer of the Company shall not be liable to the Company or its stockholders for monetary damages. The
        Articles provide that, to the fullest extent permitted by Virginia law, the Company shall indemnify a director or officer who is a party to any proceeding because he or she was a director or officer of the Company against liability incurred in the
        proceeding.

      

      

      Amendments to our Articles of Incorporation. Virginia law generally requires that in order for an amendment to the articles of incorporation to be adopted it
        must be approved by each voting group entitled to vote on the proposed amendment by more than two-thirds of all the votes entitled to be cast by that voting group, unless Virginia law otherwise requires a greater vote, or the articles of
        incorporation provide for a greater or lesser vote, or a vote by separate voting groups. However, under Virginia law, no amendment to the articles of incorporation may be approved by a vote that is less than a majority of all the votes cast on the
        amendment by each voting group entitled to vote at a meeting at which a quorum of the voting group exists.

      

      

      Other than as set forth immediately below, the Company’s Articles are silent on amendment of the articles of incorporation, so an amendment to the Articles require an affirmative vote of more than
        two-thirds of the votes entitled to be cast on the matter.

      

      

      The Company’s Articles of Incorporation require an affirmative vote of  (i) at least 75% of the votes entitled to be cast, or (ii) 80% of the entire Board of Directors and at least two-thirds of the
        votes entitled to be cast, to amend or repeal the provisions of the articles of incorporation regarding certain business combinations, as described immediately below.

       

      Under Virginia law, unless another process is set forth in the articles of incorporation or bylaws, a majority of the directors (except to the extent authority to amend the bylaws is reserved by
        Virginia law), or, if a quorum exists at a meeting of stockholders, a majority of the stockholders present and entitled to vote may adopt, amend or repeal the bylaws,

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