Document:

irix-ex101_14.htm

Exhibit 10.1

CONFIDENTIAL SEPARATION AGREEMENT AND RELEASE OF ALL CLAIMS

STIPULATIONS

This Confidential Separation Agreement and Release of All Claims (hereinafter referred to as the “Separation Agreement”) is entered into by IRIDEX Corporation (hereafter “Iridex”) and Ronald Steckel (hereafter “Steckel”) (collectively, the “Parties”) to arrange for the separation of Steckel with Iridex on a basis that is satisfactory to the Parties.  

A.Steckel does not have any pending lawsuits, charges or claims against Iridex or any of its past or present employees, managers, supervisors, agents, representatives, owners, officers or directors.

B.The purpose of this Separation Agreement is to settle completely and to release Iridex and the other Releasees from any liability regarding each and every claim that Steckel has, or may have, against Iridex and the other Releasees arising out of, or related to, any events occurring prior to the execution of this Separation Agreement.

C.This Separation Agreement does not constitute an admission of liability on the part of Iridex or the other Releasees, or an admission, directly or by implication, that Iridex or the other Releasees have violated any law, rule, regulation or any contractual right or any duty or obligation owed to Steckel.  It is further agreed and understood by all parties that the fact of the settlement cannot be used by any party or any other person to demonstrate or suggest an admission on the part of Iridex or the other Releasees.  Furthermore, Iridex specifically denies that it, or any of the Releasees, has violated any law, rule, regulation or any contractual right or any duty or obligation owed to Steckel.

 

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
 
	
 
	
R.S.

 
	
 
	
Iridex

 

 

AGREEMENT

For and in consideration of the mutual promises and covenants contained herein, the Parties have agreed and do agree as follows: 

1.Steckel is terminated from his employment with the Company on June 3, 2016 (“Separation Date”).  Steckel agrees that as of the Separation Date, Iridex has paid him all wages earned through that date, as well as all accrued but unused vacation/PTO (if any), subject to standard payroll deductions and withholdings.  Steckel further agrees that any benefit he receives through his employment with Iridex shall end as of the Separation Date.

2.As consideration for executing this Separation Agreement and not revoking it, Iridex offers Steckel the following severance benefits pursuant to his Amended and Restated Change in Control Severance Agreement, dated March 30, 2015, attached to this Separation Agreement as Exhibit A (“2015 Severance Agreement”):

a.Iridex will pay Steckel the gross sum of One Hundred Thirty-Seven Thousand Five Hundred Dollars and Zero Cents ($137,500.00), which is equal to Six (6) Months of Steckel’s base salary in effect as of the Separation Date (the “Separation Payment”).  Provided that this Separation Agreement has not been revoked as indicated below, the Separation Payment will be paid in a lump sum on the first regular payroll date that is at least ten (10) business days after the Effective Date of this Separation Agreement as defined below.  All payments under this Agreement shall be subject to withholding for applicable federal, state and other income and/or wage taxes and deductions.  Steckel acknowledges the Separation Payment is not otherwise owed to him in connection with Iridex’s existing policies, procedures and benefit plans.  Steckel further 

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R.S.

 
	
 
	
Iridex

 

acknowledges that the Separation Payment satisfies Iridex’s severance payment obligation under Paragraph 3(i) of the 2015 Severance Agreement. 

b.Iridex will pay Steckel the gross sum of Twenty Eight Thousand, Eight Hundred and Three Cents ($28,800.03), which is intended to reimburse Steckel for twelve (12) months of costs of health coverage (through enrolling in COBRA or otherwise), as part of the separation as set forth in Paragraph 3(ii) of the 2015 Severance Agreement.  

c.Iridex will pay Steckel the gross sum of One Hundred Thirty-Six Thousand two Hundred Dollars and Zero Cents ($136,200.00), which is equal to the value of 10,000 Restricted Stock Units at the June 3, 2016 closing stock price of $13.62 (“RSU Cash Payment).  Steckel acknowledges that the RSU Cash Payment satisfies any and all Restricted Stock Unit options owed to him by Iridex.  Steckel further acknowledges that Iridex will tax the RSU Cash Payment at the applicable tax rate.   

3.Steckel agrees to pay federal and state taxes, if any, which are required by law to be paid by him with respect to the payment set forth in Paragraph 2, above.  Steckel further agrees to indemnify and hold Iridex harmless from any claims, demands, deficiencies, levies, assessments, executions, judgments or recoveries by any governmental entity against Iridex for any amounts claimed due on account of this Separation Agreement.    

4.Steckel agrees that the payments set forth in Paragraph 2 shall constitute the entire consideration provided to him under this Separation Agreement and that he will not seek any further compensation for any other claim, damage, costs or attorneys’ fees in connection with the matters encompassed in this Separation Agreement, or in connection with his employment with or separation from Iridex. 

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
3.
	
 
	
R.S.

 
	
 
	
Iridex

 

5.Steckel agrees that with the payment made under Paragraph 2 he has received all pay to which he is entitled and has been reimbursed for all business expenses incurred.  Steckel acknowledges that during his employment with Iridex he did not sustain any workplace injuries or illnesses for which he has not already submitted a claim. 

6.Steckel expressly waives, releases and forever discharges Iridex and its related or affiliated entities, including parent companies, and its and their past and present officers, managers, supervisors, directors, shareholders, owners, agents, employees, representatives, attorneys and insurers, and Insperity PEO Services, L.P. (collectively, “Releasees”), from each and every claim, whether known or unknown, that Steckel has, or might have, arising out of, or related to, any events occurring up to the execution of this Separation Agreement.  This Separation Agreement contemplates the extinction of all claims, including any and all claims, whether based on contract, personal injury, statute, tort, common law or any other basis or theory, including, without limitation, discrimination claims under the California Fair Employment and Housing Act, Title VII of the Civil Rights Act of 1964, the Americans With Disabilities Act, the California Labor Code, the Employee Retirement Income Security Act, the Age Discrimination in Employment Act (ADEA) and other statutory and common law claims such as breach of contract, breach of the covenant of good faith and fair dealing, harassment, violation of public policy, and intentional infliction of emotional distress or claims under any other common law or other theory.  The foregoing statutory and common law theories are recited only as examples.  This release extends to all claims, whether included in the list or not, which may lawfully be released by Steckel.  

7.Iridex hereby releases Steckel from any claims concerning his employment with Iridex and arising prior to the Effective Date of this Separation Agreement.  Steckel agrees to cooperate with Iridex and the Releasees regarding any pending or subsequently filed litigation, 

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Iridex

 

claims or other disputes involving Iridex and the Releasees that relate to matters within the knowledge or responsibility of Employee.  Without limiting the foregoing, Steckel agrees (i) to meet with Iridex’s representatives, its counsel or other designees at mutually convenient times and places with respect to any items within the scope of this provision; (ii) to provide truthful testimony regarding same to any court, agency, or other adjudicatory body; and (iii) to provide Iridex with notice of contact by any adverse party or such adverse party’s representative, except as may be required by law.  Iridex will reimburse Steckel for reasonable expenses in connection with the cooperation described in this paragraph. 

8.Steckel agrees that he will not seek or accept employment with Iridex in the future and that Iridex is entitled to reject without cause any application for employment made by Steckel.  

9.No expense, cost or fee (including attorneys’ fees) shall be paid by one party to another hereto. 

10.Each party understands that the settlement terms referred to in this Separation Agreement are in lieu of any rights or claims that each party may have against the other, are in full accord, satisfaction and discharge of disputed claims and that, after having consulted legal counsel, they expressly intend to waive all rights under Section 1542 of the California Civil Code, which section has been fully explained to them and is fully understood by them, and which reads as follows: 

A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.

Steckel further acknowledges that by executing this Separation Agreement, he expressly releases Releasees from all claims or actions, known or unknown, absolute or contingent, arising out of, or related to, any events occurring prior to the execution of this Separation Agreement.  

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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Iridex

 

11.Steckel further understands and acknowledges that the significance and consequence of this waiver is that even if he should eventually suffer additional damages arising out of the facts alleged by him, or out of any other matter up to the date of this Separation Agreement, he will not be able to make any claim for those damages.  Steckel acknowledges that he consciously intends these consequences, even as to claims for damages that may exist as of the date this Separation Agreement is executed that he does not know exist, and which, if known, would materially affect his decision to execute this Separation Agreement, regardless of whether the lack of knowledge is the result of ignorance, oversight, error, negligence or any other cause. 

12.The parties understand that this Separation Agreement is in full accord, satisfaction and discharge of disputed claims and that this Separation Agreement has been executed with the express intention of effectuating the legal consequences provided for in Section 1541 of the California Civil Code, i.e., the extinguishing of all obligations as herein described.  Section 1541 has been fully explained and is fully understood by the Parties.  Section 1541 reads as follows: 

An obligation is extinguished by a release therefrom given to the debtor by the creditor, upon a new consideration, or in writing, with or without new consideration.

13.Steckel agrees to keep completely confidential and not to disclose or publish to anyone, including, but not limited to, past, present or prospective employees of Iridex, the Separation Agreement or any of its provisions.  If asked, Steckel can reply that the matter has been resolved.  The only exception is that Steckel may disclose the terms of the settlement to his spouse or domestic partner, to any professional tax consultant during the course of said tax consultant’s professional work, to his attorneys, or as required by law.  Before making any disclosure to tax advisers, attorneys or his spouse or domestic partner, Steckel will first obtain an agreement from the person to whom the information is to be disclosed that such person will treat the information confidentially and will make no other disclosures.  If Steckel receives a subpoena requiring 

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Iridex

 

disclosure of this Separation Agreement, he shall immediately notify Iridex’s Vice President, Human Resources, of such fact in writing and shall not provide documents or information pertaining to this Separation Agreement until Iridex has had reasonable opportunity to quash said subpoena.  Steckel shall not oppose any motion by Iridex to quash a subpoena requiring disclosure of this Separation Agreement or its terms.  Any disclosure by Steckel which breaches the terms of this paragraph will, if proven, be considered a material breach of this Separation Agreement.  

14.The parties hereto agree that in the event of a breach of Steckel’s obligations as set forth in Paragraph 13 above, the damages suffered by Iridex would be impractical or extremely difficult to fix.  By their initials set forth below, the parties acknowledge and agree that the sum of Five Thousand Dollars ($5,000), constitutes a reasonable estimate under the circumstances existing as of the date of this Separation Agreement to establish such actual damages. 

15.As of the Separation Date, Steckel represents he has returned to Iridex’s Vice President, Human Resources, the originals and all copies of all confidential materials and documents (including those in electronic form) prepared by or belonging to Iridex or any of its employees which are in Steckel’s possession or control.  If not, Steckel agrees that he will do so on or before the Effective Date of this Separation Agreement.

16.It is further expressly understood and agreed that this Separation Agreement shall be binding upon and will inure to the benefit of Steckel’s heirs, successors, assigns, executors and administrators, and shall be binding upon and will inure to the benefit of the successors and assigns of Releasees.

17.By signing this Separation Agreement, Steckel acknowledges that:

a.He has twenty-one (21) days in which to consider signing this Separation Agreement;

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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R.S.

 
	
 
	
Iridex

 

b.Any changes, whether material or immaterial, to this Separation Agreement do not restart the twenty-one (21) day period;  

c.He has carefully read and fully understands all of the terms of the Separation Agreement;

d.He, through this Separation Agreement, understands that the release of claims described in this Separation Agreement extends to matters that have occurred up until his signature to this Separation Agreement and to matters that are contemplated by this Separation Agreement, including his termination of employment;

e.He knowingly and voluntarily agrees to all of the terms set forth in this Separation Agreement;

f.He intends to be legally bound by this Separation Agreement;

g.He understands that discrimination claims, including claims under the Age Discrimination in Employment Act of 1967, are waived by this Separation Agreement; 

h.He has been advised and hereby is advised in writing to consult with an attorney of his choice prior to signing this Separation Agreement; and 

i.He agrees that the payment in Paragraph 2 is in addition to anything to which he was otherwise entitled.

18.Steckel understands that he has a full seven (7) calendar days following the execution of this Separation Agreement to revoke this Separation Agreement and has been and hereby is advised in writing that this Separation Agreement shall not become effective or enforceable until the revocation period has expired.  The eighth (8th) calendar day following Steckel’s execution of this Separation Agreement, and his delivery of the Separation Agreement to Iridex’s Vice President, Human Resources, shall be the Effective Date of this Agreement.  

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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Iridex

 

Steckel further understands and expressly agrees that if he seeks to revoke within seven (7) calendar days following his execution of this Separation Agreement, such revocation must be in writing and transmitted to Iridex in care of its Vice President, Human Resources, Stacie Rodgers, 1212 Terra Bella Ave, Mountain View, CA 94043.  

19.Steckel warrants and represents that he has not made or caused to be made any assignments of any claim or cause of action that he has or may have in the future against Releasees.  Steckel further agrees to indemnify Releasees for any and all claims whatsoever for relief, demands, actions or causes of action, including any costs, expenses, attorneys’ fees or liability resulting from any such assignment of any claim or cause of action, that he has or may have made. 

20.Steckel warrants that he has not incurred medical expense for any conditions caused by Defendant’s alleged conduct as of the date of this release and therefore no conditional payments have been made by Medicare.  Steckel will indemnify, defend and hold Releasees harmless from any and all claims, liens, Medicare conditional payments and rights to payment, known or unknown.  This settlement is based upon a good faith determination of the parties to resolve a disputed claim. The parties have not shifted responsibility of medical treatment to Medicare in contravention of 42 U.S.C. Sec. 1395y(b). The parties resolved this matter in compliance with both state and federal law. The parties made every effort to adequately protect Medicare’s interest and incorporate such into the settlement terms.

21.Steckel fully understands that if any fact(s) with respect to this Separation Agreement as executed, or his prior treatment by, relationship or dealings with Releasees, be found hereinafter to be other than or different from the fact(s) now believed by him to be true, he expressly accepts and assumes the risk of such possible difference of fact(s) and/or belief and agrees that this Separation Agreement shall be and remain effective notwithstanding such 

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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R.S.

 
	
 
	
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difference in fact(s) and/or belief.  Steckel agrees that the consideration set forth above fully compensates him for said risks and that he will have no legal recourse against Releasees in the event a fact or belief for which he assumes the risk occurs.   

22.Should any provision of this Separation Agreement be declared or be determined by any court of competent jurisdiction to be illegal, invalid or unenforceable, the legality, validity and enforceability of the remaining parts, terms or provisions shall not be affected thereby, and said illegal, invalid or unenforceable part, term or provision shall be deemed not to be a part of this Separation Agreement.

23.This Separation Agreement is made and entered into in the State of California and shall in all respects be interpreted, enforced and governed under the laws of said state.

24.This Separation Agreement contains the entire agreement between the parties relating to the rights herein granted, the obligations herein assumed and supersedes any and all previous negotiations, agreements and/or understandings of any kind relating to the subject matter hereof.  It is understood by the parties hereto that the terms of this Separation Agreement, or any specific clause herein, shall not be construed against the party responsible for drafting the language in question.  Any oral representations or modifications concerning this instrument shall be of no force or effect.  This Separation Agreement can be modified only in the form of a writing signed by the parties hereto.

25.It is further understood and agreed that this Separation Agreement may be executed in counterparts, each of which shall be deemed an original for all purposes. 

26.Having been given the opportunity to consult counsel or having consulted counsel, and having read the foregoing and understood and agreed to the terms of this Separation 

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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Agreement, consisting of eleven (11) typewritten pages (including signature pages), the Parties hereby voluntarily sign this Separation Agreement.  

27.If Steckel wishes to provide prospective employers with verification of his employment with Iridex, he will direct such prospective employers to contact Iridex’s Vice President, Human Resources.  If contacted by prospective employers of Steckel, Iridex will only disclose Steckel’s dates of employment and positions and indicate that it is corporate policy not to reveal any additional information.  Iridex will not indicate that Steckel is not eligible for rehire or anything negative about Steckel.

 

Dated:  June 13, 2016/s/ RONALD STECKEL______________________

RONALD STECKEL

 

 

 

	

	
IRIDEX CORPORATION 

 

 

	
Dated:  June 15, 2016______
	
By: /s/ WILLIAM M. MOORE_________________

 

	

	
Its: President and Chief Executive Officer_________

        /s/ RS       /s/ WMM

									
	
 
	
 
	
 
	
 
	
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IridexExhibit

EXHIBIT 10.1
EXECUTION COPY

REGISTRATION RIGHTS AGREEMENT
This Registration Rights Agreement (this "Agreement") is made and entered into as of June 16, 2016, by and among Farmer Bros. Co., a Delaware corporation (the "Company"), and the investors identified on the signature pages hereto (each, an "Investor" and collectively, the "Investors").
The Company and the Investors hereby agree as follows: 
1.Definitions.  As used in this Agreement, the following terms have the respective meanings set forth in this Section 1:
“Advice” has the meaning set forth in Section 6(c).
“Affiliate” of any Person means any other Person directly or indirectly controlling or controlled by or under direct or indirect common control with such Person. For purposes of this definition, “control” when used with respect to any Person has the meaning specified in Rule 12b-2 under the Exchange Act; and the terms “controlling” and “controlled” have meanings correlative to the foregoing.
“Commission” means the United States Securities and Exchange Commission, or any successor entity or entities, including, if applicable, the staff of the Commission.
"Commission Comments" means written comments pertaining solely to Rule 415 (or which challenge the right of an Investor to have its Registrable Securities included in a Registration Statement filed hereunder without being deemed an underwriter) which are received by the Company from the Commission to a filed Registration Statement, a copy of which shall have been provided by the Company to the Holders, which either (i) requires the Company to limit the number of Registrable Securities which may be included therein to a number which is less than the number sought to be included thereon as filed with the Commission or (ii) requires the Company to either exclude Registrable Securities held by specified Holders or deem such Holders to be underwriters with respect to Registrable Securities they seek to include in such Registration Statement.
“Common Stock” means the Company’s common stock, par value $1.00 per share.
“Cut Back Shares” has the meaning set forth in Section 2(b).
"Effective Date" means, as to a Registration Statement, the date on which such Registration Statement is first declared effective by the Commission.
“Effectiveness Date” means (a) with respect to the initial Registration Statement required to be filed pursuant to Section 2(a), the earlier of: (i) the 120th day following the date hereof 

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(or the 150th day following the date hereof in the event the initial Registration Statement is reviewed by the Commission) and (ii) the fifth Trading Day following the date on which the Company is notified by the Commission that the initial Registration Statement will not be reviewed or is no longer subject to further review and comments; (b) with respect to any additional Registration Statements required to be filed pursuant to Section 2(a), the earlier of: (i) the 120th day following the applicable Filing Date for such additional Registration Statement(s) (or the 150th day following such date in the event such additional Registration Statement is reviewed by the Commission) and (ii) the fifth Trading Day following the date on which the Company is notified by the Commission that the such additional Registration Statement(s) will not be reviewed or is no longer subject to further review; and (c) with respect to any additional Registration Statements required to be filed solely due to SEC Restrictions, the earlier of: (i) the 120th day following the applicable Restriction Termination Date (or the 150th day following such date in the event such additional Registration Statement is reviewed by the Commission) and (ii) the fifth Trading Day following the date on which the Company is notified by the Commission that such Registration Statement will not be reviewed or is no longer subject to further review and comments; provided, if such Effectiveness Date falls on a day that is not a Trading Day, then the Effectiveness Date shall be the next succeeding Trading Day.
"Effectiveness Period" means, as to any Registration Statement required to be filed pursuant to this Agreement, the period commencing on the Effective Date of such Registration Statement and ending on the earliest to occur of (a) the second anniversary of the date hereof and (b) such time as there shall cease to be any Registrable Securities covered by any such Registration Statement.
"Filing Date" means (a) with respect to the initial Registration Statement required to be filed pursuant to Section 2(a), the 60th day following the date hereof; (b) with respect to any additional Registration Statements required to be filed pursuant to Section 2(a), the 45th day following the date on which the Company first knows, or reasonably should have known, that such additional Registration Statement is required  under Section 2(a); and (c) with respect to any additional Registration Statements required to be filed due to SEC Restrictions, the 45th day following the applicable Restriction Termination Date.
"Holder" or "Holders" means the holder or holders, as the case may be, from time to time of Registrable Securities.
“Indemnified Party” has the meaning set forth in Section 5(c).
“Indemnifying Party” has the meaning set forth in Section 5(c).
“Losses” has the meaning set forth in Section 5(a).
“New York Courts” means the state and federal courts sitting in the City of New York, Borough of Manhattan.

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“Person” means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.
"Proceeding" means an action, claim, suit, investigation or proceeding (including, without limitation, an investigation or partial proceeding, such as a deposition), whether commenced or threatened.
“Prospectus” means the prospectus included in a Registration Statement (including, without limitation, a prospectus that includes any information previously omitted from a prospectus filed as part of an effective registration statement in reliance upon Rule 430A promulgated under the Securities Act (as defined below)), as amended or supplemented by any prospectus supplement, with respect to the terms of the offering of any portion of the Registrable Securities covered by a Registration Statement, and all other amendments and supplements to the Prospectus, including post‐effective amendments, and all material incorporated by reference or deemed to be incorporated by reference in such Prospectus.
“Registrable Securities” means: (i) the Shares and (ii) any other shares of Common Stock issued or issuable upon any stock split, dividend or other distribution, recapitalization or similar event,  with respect to any of the securities referenced in (i) above.  As to any particular Registrable Securities, such securities shall cease to be Registrable Securities (and the Company shall not be required to maintain the effectiveness of any, or file another, Registration Statement hereunder with respect thereto) upon the earliest to occur of the following: (i) a Registration Statement covering such securities has been declared effective by the Commission and such securities have been disposed of pursuant to such effective Registration Statement, (ii) such securities are sold under circumstances in which all of the applicable conditions of Rule 144 (or any similar provisions then in force) are met, (iii) such securities have become eligible to be sold by the Holder thereof without any volume or manner of sale restrictions under the Securities Act pursuant to Rule 144, or (iv) such securities shall have ceased to be outstanding.
"Registration Statement" means the initial registration statement required to be filed in accordance with Section 2(a) and any additional registration statements required to be filed under this Agreement, including in each case the Prospectus, amendments and supplements to such registration statements or Prospectus, including pre‐ and post‐effective amendments, all exhibits thereto, and all material incorporated by reference or deemed to be incorporated by reference therein.
“Restriction Termination Date” has the meaning set forth in Section 2(b).
"Rule 144" means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.
"Rule 415" means Rule 415 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

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"Rule 424" means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.
“SEC Restrictions” has the meaning set forth in Section 2(b).
“Shares” means the shares of Common Stock acquired by the Investors pursuant to the terms of that certain Stock Purchase Agreement, dated as of May 19, 2016, by and between the Investors and the Richard F. Farmer Revocable Trust dated December 29, 1995.
“Trading Day” means any day on which the Common Stock is traded on the Nasdaq Global Market, or, if the Nasdaq Global Market is not the principal trading market for the Common Stock, then on the principal securities exchange or securities market on which the Common Stock is then traded.
2.Registration.
(a)On or prior to its applicable Filing Date, the Company shall use its commercially reasonable efforts to prepare and file with the Commission a Registration Statement covering the resale of all Registrable Securities not already covered by an existing and effective Registration Statement for an offering to be made on a continuous basis pursuant to Rule 415.  Each Registration Statement required to be filed under this Agreement shall be filed on Form S-3 (or if the Company is not then eligible to utilize such form of registration, it shall utilize such other available form appropriate for such purpose) and contain (except if otherwise required pursuant to written comments received from the Commission upon a review of such Registration Statement, other than as to the characterization of any Holder as an underwriter, which shall not occur without such Holder’s written consent) the "Plan of Distribution" in substantially the form attached hereto as Annex A.  The Company shall use its commercially reasonable efforts to cause each Registration Statement required to be filed under this Agreement to be declared effective under the Securities Act of 1933, as amended (the “Securities Act”) promptly but, in any event, no later than its Effectiveness Date, and shall, subject to Section 6(c) hereof, use its commercially reasonable efforts to keep each such Registration Statement continuously effective during its entire Effectiveness Period.  By 5:00 p.m. (New York City time) on the Business Day immediately following the Effective Date of each Registration Statement, the Company shall file with the Commission in accordance with Rule 424 the final prospectus to be used in connection with sales pursuant to such Registration Statement (whether or not such filing is technically required under such Rule). Notwithstanding the foregoing, the Company shall be entitled to suspend the effectiveness of the Registration Statement at any time prior to the expiration of the Effectiveness Period for up to an aggregate of 30 consecutive Trading Days or an aggregate of 60 Trading Days (which need not be consecutive) in any given 360-day period. If for any reason other than due solely to SEC Restrictions, a Registration Statement is effective but not all outstanding Registrable Securities are registered for resale pursuant thereto, then the Company shall use its commercially reasonable efforts to prepare and file by the applicable Filing Date an additional Registration Statement to register the resale of all such unregistered Registrable Securities for an offering to be made on a continuous basis pursuant to Rule 415.  

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(a)    Notwithstanding anything to the contrary contained in this Section 2, if the Company receives Commission Comments, and following discussions with the Commission in which the Company uses its reasonable efforts and devotes a reasonable amount of time to cause as many Registrable Securities as possible to be included in the Registration Statement filed pursuant to Section 2(a) without characterizing any Holder as an underwriter (and in such regard uses its reasonable efforts to cause the Commission to permit the affected Holders or their respective counsel to participate in Commission conversations on such issue together with Company Counsel (unless in the reasonable opinion of the Company or its counsel, such participation will be to the detriment to the Company in that it may cause undue delays in the registration process or for other reasons), and timely conveys relevant information concerning such issue with the affected Holders or their respective counsel), the Company is unable to cause the inclusion of all Registrable Securities, then the Company may, following not less than three (3) Trading Days prior written notice to the Holders (i) remove from the Registration Statement such Registrable Securities (the “Cut Back Shares”) and/or (ii) agree to such restrictions and limitations on the registration and resale of the Registrable Securities, in each case as the Commission may require in order for the Commission to allow such Registration Statement to become effective; provided, that in no event may the Company name any Holder as an underwriter without such Holder’s prior written consent (collectively, the “SEC Restrictions”). In no event will the Company be liable for any damages under this Agreement in connection with the exclusion of such Cut Back Shares.  Unless the SEC Restrictions otherwise require, any cut-back imposed pursuant to this Section 2(b) shall be allocated among the Registrable Securities of the Holders on a pro rata basis.  The required Effectiveness Date for such Registration Statement will be tolled, until such time as the Company is able to effect the registration of the Cut Back Shares in accordance with any SEC Restrictions (such date, the “Restriction Termination Date”).  From and after the Restriction Termination Date, all provisions of this Section 2 shall again be applicable to the Cut Back Shares (which, for avoidance of doubt, retain their character as “Registrable Securities”) so that the Company will be required to use its commercially reasonable efforts to file with and cause to be declared effective by the Commission such additional Registration Statements in the time frames set forth herein as necessary to ultimately cause to be covered by effective Registration Statements all Registrable Securities. 
(b) Each Holder agrees to furnish to the Company a completed Questionnaire in the form attached to this Agreement as Annex B (a “Selling Holder Questionnaire”).  The Company shall not be required to include the Registrable Securities of a Holder in a Registration Statement who fails to furnish to the Company a fully completed Selling Holder Questionnaire at least ten Trading Days prior to the Filing Date (subject to the requirements set forth in Section 3(a)). Each Holder shall promptly furnish in writing to the Company such information regarding itself, the Registrable Securities held by it and the intended method of disposition of the Registrable Securities held by it, as shall be reasonably requested by the Company to effect the registration of such Registrable Securities and shall execute such documents in connection with such registration as the Company may reasonably request. Any sale of any Registrable Securities by any Holder shall constitute a representation and warranty by such Holder that the information relating to such Holder is as set forth in the Prospectus delivered by such Holder in connection with such disposition, that such Prospectus does not as of the time of such sale contain any untrue statement of a material fact relating to or provided by such Holder and that such 

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Prospectus does not as of the time of such sale omit to state any material fact relating to or provided by such Holder necessary to make the statements in such Prospectus, in light of the circumstances under which they were made, not misleading. 
3. Registration Procedures.
In connection with the Company's registration obligations hereunder, the Company shall:
(a) Not less than four Trading Days prior to the filing of a Registration Statement or any related Prospectus or any amendment or supplement thereto, the Company shall furnish to each Holder copies of the “Selling Stockholders” section of such document, the “Plan of Distribution” and any risk factor contained in such document that addresses specifically this transaction or the Selling Stockholders, as proposed to be filed, which documents will be subject to the reasonable review of such Holder.  The Company will duly consider any comments made by Holders and received by the Company not later than two Trading Days prior to the filing of the Registration Statement, but shall not be required to accept any such comments to which it reasonably objects. The Company shall not file a Registration Statement, any Prospectus or any amendments or supplements thereto in which the “Selling Stockholder” section thereof differs from the disclosure received from a Holder in its Selling Holder Questionnaire (as amended or supplemented).  The Company shall not file a Registration Statement, any Prospectus or any amendments or supplements thereto in which it (i) characterizes any Holder as an underwriter, (ii) excludes a particular Holder due to such Holder refusing to be named as an underwriter, or (iii) reduces the number of Registrable Securities being registered on behalf of a Holder except pursuant to, in the case of subsections (ii) or (iii), the Commission Comments, without, in each case, such Holder’s express written authorization.  
(b) Use commercially reasonable efforts to (i) prepare and file with the Commission such amendments, including post‐effective amendments, to each Registration Statement and the Prospectus used in connection therewith as may be necessary to keep such Registration Statement continuously effective as to the applicable Registrable Securities for its Effectiveness Period and prepare and file with the Commission such additional Registration Statements in order to register for resale under the Securities Act all of the Registrable Securities; (ii) cause the related Prospectus to be amended or supplemented by any required Prospectus supplement, and as so supplemented or amended to be filed pursuant to Rule 424; (iii) respond as promptly as reasonably possible to any comments received from the Commission with respect to each Registration Statement or any amendment thereto and, as promptly as reasonably possible provide the Holders true and complete copies of all correspondence from and to the Commission relating to such Registration Statement that pertains to the Holders as Selling Stockholders but not any comments that would result in the disclosure to the Holders of material and non-public information concerning the Company; and (iv) comply in all material respects with the provisions of the Securities Act and the Securities Exchange Act of 1934, as amended (the “Exchange Act”) with respect to the Registration Statement(s) and the disposition of all Registrable Securities covered by each Registration Statement.

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(c) Notify the Holders as promptly as reasonably possible (and, in the case of (i)(A) below, not less than three Trading Days prior to such filing and, in the case of (v) below, not less than three Trading Days prior to the financial statements in any Registration Statement becoming ineligible for inclusion therein) and (if requested by any such Person) confirm such notice in writing no later than one Trading Day following the day (i)(A) when a Prospectus or any Prospectus supplement or post‐effective amendment to a Registration Statement is proposed to be filed; (B) when the Commission notifies the Company whether there will be a "review" of such Registration Statement and whenever the Commission comments in writing on such Registration Statement (the Company shall provide true and complete copies thereof and all written responses thereto to each of the Holders that pertain to the Holders as a Selling Stockholder or to the Plan of Distribution, but not information which the Company believes would constitute material and non-public information); and (C) with respect to each Registration Statement or any post‐effective amendment, when the same has become effective; (ii) of any request by the Commission or any other Federal or state governmental authority for amendments or supplements to a Registration Statement or Prospectus or for additional information that pertains to the Holders as Selling Stockholders or the Plan of Distribution; (iii) of the issuance by the Commission of any stop order suspending the effectiveness of a Registration Statement covering any or all of the Registrable Securities or the initiation of any Proceedings for that purpose; (iv) of the receipt by the Company of any notification with respect to the suspension of the qualification or exemption from qualification of any of the Registrable Securities for sale in any jurisdiction, or the initiation or threatening of any Proceeding for such purpose; and (v) of the occurrence of any event or passage of time that makes the financial statements included in a Registration Statement ineligible for inclusion therein or any statement made in such Registration Statement or Prospectus or any document incorporated or deemed to be incorporated therein by reference untrue in any material respect or that requires any revisions to such Registration Statement, Prospectus or other documents so that, in the case of such Registration Statement or the Prospectus, as the case may be, it will not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; and (vi) of the occurrence or existence of any pending corporate development with respect to the Company that the Company believes may be material and that, in the determination of the Company, makes it not in the best interest of the Company to allow continued availability of a Registration Statement or Prospectus; provided, that any and all of such information shall remain confidential to each Holder until such information otherwise becomes public, unless disclosure by a Holder is required by law; provided, further, that notwithstanding each Holder’s agreement to keep such information confidential, each such Holder makes no acknowledgement that any such information is material, non-public information. 
(d) Use its commercially reasonable efforts to obtain the withdrawal of (i) any order suspending the effectiveness of a Registration Statement, or (ii) any suspension of the qualification (or exemption from qualification) of any of the Registrable Securities for sale in any jurisdiction, as promptly as reasonably possible.

7

(e) Furnish to each Holder, upon request and without charge, at least one conformed copy of each Registration Statement and each amendment thereto and all exhibits to the extent requested by such Person (including those previously furnished) promptly after the filing of such documents with the Commission unless a requested document is available on EDGAR.
(f) Promptly deliver to each Holder, upon request and without charge, as many copies of each Prospectus or Prospectuses (including each form of prospectus) and each amendment or supplement thereto as such Persons may reasonably request unless a requested document is available on EDGAR.  Subject to Section 6(c) hereof, the Company hereby consents to the use of such Prospectus and each amendment or supplement thereto by each of the selling Holders in connection with the offering and sale of the Registrable Securities covered by such Prospectus and any amendment or supplement thereto.
(g) Prior to any public offering of Registrable Securities, use its commercially reasonable efforts to register or qualify or cooperate with the selling Holders in connection with the registration or qualification (or exemption from such registration or qualification) of such Registrable Securities for offer and sale under the securities or Blue Sky laws of all jurisdictions within the United States as any Holder may reasonably request in writing, to keep each such registration or qualification (or exemption therefrom) effective during the Effectiveness Period and use its commercially reasonable efforts to do any and all other acts or things necessary or advisable to enable the disposition in such jurisdictions of the Registrable Securities covered by the Registration Statement(s); provided, that the Company shall not be required to (i) qualify generally to do business in any jurisdiction where it is not then so qualified or (ii) take any action which would subject the Company to general service of process or any material tax in any such jurisdiction where it is not then so subject.
(h) Cooperate with the Holders to facilitate the timely preparation and delivery of certificates representing Registrable Securities to be delivered to a transferee pursuant to the Registration Statement(s), which certificates shall be free, to the extent permitted by Securities Act, of all restrictive legends, and to enable such Registrable Securities to be in such denominations and registered in such names as any such Holders may request in writing.
(i) Upon the occurrence of any event contemplated by Section 3(c)(v), as promptly as reasonably possible, prepare a supplement or amendment, including a post‐effective amendment, to the affected Registration Statements or a supplement to the related Prospectus or any document incorporated or deemed to be incorporated therein by reference, and file any other required document so that, as thereafter delivered, no Registration Statement nor any Prospectus will contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading.
4. Registration Expenses.  All fees and expenses incident to the performance of or compliance with this Agreement by the Company (excluding any underwriting discounts and selling commissions and all legal fees and expenses of legal counsel for any Holder) shall be borne by the Company whether or not any Registrable Securities are sold pursuant to a 

8

Registration Statement.  The fees and expenses referred to in the foregoing sentence shall include, without limitation, (i) all registration and filing fees (including, without limitation, fees and expenses (A) with respect to filings required to be made with any trading market on which the Common Stock is then listed for trading, and (B) in compliance with applicable state securities or Blue Sky laws), (ii) printing expenses (including, without limitation, expenses of printing certificates for Registrable Securities and of printing prospectuses if the printing of prospectuses is reasonably requested by the holders of a majority of the Registrable Securities included in the Registration Statement), (iii) messenger, telephone and delivery expenses, (iv) fees and disbursements of counsel for the Company, (v) Securities Act liability insurance, if the Company so desires such insurance, and (vi) reasonable fees and expenses of all other Persons retained by the Company in connection with the consummation of the transactions contemplated by this Agreement.  In addition, the Company shall be responsible for all of its internal expenses incurred in connection with the consummation of the transactions contemplated by this Agreement (including, without limitation, all salaries and expenses of its officers and employees performing legal or accounting duties), the expense of any annual audit and the fees and expenses incurred in connection with the listing of the Registrable Securities on any securities exchange as required hereunder. In no event shall the Company be responsible for any broker or similar commissions of any Holder or any legal fees or other costs of the Holders.
5. Indemnification.
(a) Indemnification by the Company.  The Company shall, notwithstanding any termination of this Agreement, indemnify and hold harmless each Holder, the officers, directors, agents, partners, members and employees of each of them, each Person who controls any such Holder (within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act) and the officers, directors, agents and employees of each such controlling Person, to the fullest extent permitted by applicable law, from and against any and all out of pocket losses, claims, damages, liabilities, costs (including, without limitation, reasonable costs of preparation and reasonable attorneys' fees) and expenses (collectively, "Losses"), as incurred, arising out of or relating to any untrue or alleged untrue statement of a material fact contained in any Registration Statement, any Prospectus or any form of prospectus or in any amendment or supplement thereto , or arising out of or relating to any omission or alleged omission of a material fact required to be stated therein or necessary to make the statements therein (in the case of any Prospectus or form of prospectus or supplement thereto, in light of the circumstances under which they were made) not misleading, except to the extent, but only to the extent, that such Losses arise out of or are based upon (1) any untrue statements, alleged untrue statements, omissions or alleged omissions that are based solely upon information regarding such Holder furnished in writing to the Company by such Holder expressly for use therein, or to the extent that such information relates to such Holder or such Holder's proposed method of distribution of Registrable Securities and was reviewed and expressly approved in writing by such Holder expressly for use in the Registration Statement, such Prospectus or such form of Prospectus or in any amendment or supplement thereto (it being understood that the Holder has approved Annex A hereto for this purpose), (2) in the case of an occurrence of an event of the type specified in Section 3(c)(ii)-(v), the use by such Holder of an outdated or defective Prospectus after the Company has notified such Holder in writing that the Prospectus is outdated or defective and 

9

prior to the receipt by such Holder of an Advice or an amended or supplemented Prospectus, but only if and to the extent that following the receipt of the Advice or the amended or supplemented Prospectus the misstatement or omission giving rise to such Loss would have been corrected, or (3) the negligence, willful misconduct or fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) of, or breach of this Agreement by, any such Person.  The Company shall notify the Holders promptly of the institution, threat or assertion of any Proceeding of which the Company is aware in connection with the transactions contemplated by this Agreement.
(b) Indemnification by Holders. Each Holder shall, notwithstanding any termination of this Agreement, severally and not jointly, indemnify and hold harmless the Company, its directors, officers, agents and employees, each Person who controls the Company (within the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, agents or employees of such controlling Persons, to the fullest extent permitted by applicable law, from and against all Losses, as incurred, arising solely out of or based solely upon: (x) such Holder's failure to comply with the prospectus delivery requirements of the Securities Act or (y) any untrue statement of a material fact contained in any Registration Statement, any Prospectus, or any form of prospectus, or in any amendment or supplement thereto, or arising solely out of or based solely upon any omission of a material fact required to be stated therein or necessary to make the statements therein not misleading to the extent, but only to the extent that, (1) such untrue statements or omissions are based solely upon information regarding such Holder furnished in writing to the Company by such Holder expressly for use therein, or to the extent that such information relates to such Holder or such Holder's proposed method of distribution of Registrable Securities and was reviewed and expressly approved in writing by such Holder expressly for use in the Registration Statement (it being understood that the Holder has approved Annex A hereto for this purpose), such Prospectus or such form of Prospectus or in any amendment or supplement thereto or (2) in the case of an occurrence of an event of the type specified in Section 3(c)(ii)-(v), the use by such Holder of an outdated or defective Prospectus after the Company has notified such Holder in writing that the Prospectus is outdated or  defective and prior to the receipt by such Holder of an Advice or an amended or supplemented Prospectus, but only if and to the extent that following the receipt of the Advice or the amended or supplemented Prospectus the misstatement or omission giving rise to such Loss would have been corrected.  In no event shall the liability of any selling Holder hereunder be greater in amount than the dollar amount of the net proceeds received by such Holder upon the sale of the Registrable Securities giving rise to such indemnification obligation.
(c) Conduct of Indemnification Proceedings. If any Proceeding shall be brought or asserted against any Person entitled to indemnity hereunder (an "Indemnified Party"), such Indemnified Party shall promptly notify the Person from whom indemnity is sought (the "Indemnifying Party") in writing, and the Indemnifying Party shall assume the defense thereof, including the employment of counsel reasonably satisfactory to the Indemnified Party and the payment of all fees and expenses incurred in connection with defense thereof; provided, that the failure of any Indemnified Party to give such notice shall not relieve the Indemnifying Party of its obligations or liabilities pursuant to this Agreement, except (and only) to the extent that it shall be finally determined by a court of competent jurisdiction (which determination is not 

10

subject to appeal or further review) that such failure shall have proximately and materially adversely prejudiced the Indemnifying Party.
An Indemnified Party shall have the right to employ separate counsel in any such Proceeding and to participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Indemnified Party or Parties unless:  (1) the Indemnifying Party has agreed in writing to pay such fees and expenses; (2) the Indemnifying Party shall have failed promptly to assume the defense of such Proceeding and to employ counsel reasonably satisfactory to such Indemnified Party in any such Proceeding; or (3) the named parties to any such Proceeding (including any impleaded parties) include both such Indemnified Party and the Indemnifying Party, and such Indemnified Party shall have been advised by counsel that a conflict of interest is likely to exist if the same counsel were to represent such Indemnified Party and the Indemnifying Party (in which case, if such Indemnified Party notifies the Indemnifying Party in writing that it elects to employ separate counsel at the expense of the Indemnifying Party, the Indemnifying Party shall not have the right to assume the defense thereof and such counsel shall be at the expense of the Indemnifying Party); provided that the Indemnifying Party shall not be liable for the fees and expenses of more than one separate firm of attorneys at any time for all Indemnified Parties pursuant to this Section 5(c).  The Indemnifying Party shall not be liable for any settlement of any such Proceeding effected without its written consent, which consent shall not be unreasonably withheld.  No Indemnifying Party shall, without the prior written consent of the Indemnified Party, effect any settlement of any pending Proceeding in respect of which any Indemnified Party is a party, unless such settlement includes an unconditional release of such Indemnified Party from all liability on claims that are the subject matter of such Proceeding. Each Indemnified Party shall furnish such information regarding itself or the claim in question as an Indemnifying Party may reasonably request in writing and as shall be reasonably required in connection with defense of such claim and litigation resulting therefrom.
All fees and expenses of the Indemnified Party (including reasonable fees and expenses to the extent incurred in connection with investigating or preparing to defend such Proceeding in a manner not inconsistent with this Section) shall be paid to the Indemnified Party, as incurred, within ten Trading Days of written notice thereof to the Indemnifying Party (regardless of whether it is ultimately determined that an Indemnified Party is not entitled to indemnification hereunder; provided, that the Indemnifying Party may require such Indemnified Party to undertake to reimburse all such fees and expenses to the extent it is finally judicially determined that such Indemnified Party is not entitled to indemnification hereunder).
(d) Contribution.  If a claim for indemnification under Section 5(a) or 5(b) is unavailable to an Indemnified Party (by reason of public policy or otherwise), then each Indemnifying Party, in lieu of indemnifying such Indemnified Party, shall contribute to the amount paid or payable by such Indemnified Party as a result of such Losses, in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party and Indemnified Party in connection with the actions, statements or omissions that resulted in such Losses as well as any other relevant equitable considerations.  The relative fault of such Indemnifying Party and Indemnified Party shall be determined by reference to, among other things, whether any action in 

11

question, including any untrue or alleged untrue statement of a material fact or omission or alleged omission of a material fact, has been taken or made by, or relates to information supplied by, such Indemnifying Party or Indemnified Party, and the parties' relative intent, knowledge, access to information and opportunity to correct or prevent such action, statement or omission.  The amount paid or payable by a party as a result of any Losses shall be deemed to include, subject to the limitations set forth in Section 5(c), any reasonable attorneys' or other reasonable fees or expenses incurred by such party in connection with any Proceeding to the extent such party would have been indemnified for such fees or expenses if the indemnification provided for in this Section was available to such party in accordance with its terms.
The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 5(d) were determined by pro rata allocation or by any other method of allocation that does not take into account the equitable considerations referred to in the immediately preceding paragraph.  Notwithstanding the provisions of this Section 5(d), no Holder shall be required to contribute, in the aggregate, any amount in excess of the amount by which the proceeds actually received by such Holder from the sale of the Registrable Securities subject to the Proceeding exceeds the amount of any damages that such Holder has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.
(e) Damages. Notwithstanding anything to the contrary contained in this Agreement or otherwise, there shall be no recovery pursuant to this Agreement by any party for any punitive, exemplary, consequential, incidental, treble, special or other similar damages (other than those actually paid in connection with a third-party claim) in any claim or proceeding by one party against another arising out of or relating to a breach or alleged breach of any representation, warranty, covenant, or agreement under this Agreement by the other party.
6. Miscellaneous.  
(a) Remedies.  In the event of a breach by the Company or by a Holder, of any of their respective obligations under this Agreement, each Holder or the Company, as the case may be, in addition to being entitled to exercise all rights granted by law and under this Agreement, including recovery of damages subject to Section 5(e) hereof, will be entitled to specific performance of its rights under this Agreement.  The Company and each Holder agree that monetary damages would not provide adequate compensation for any losses incurred by reason of a breach by it of any of the provisions of this Agreement and hereby further agrees that, in the event of any action for specific performance in respect of such breach, it shall waive the defense that a remedy at law would be adequate.
(b) Compliance.  Each Holder covenants and agrees that it will comply with the prospectus delivery requirements of the Securities Act as applicable to it in connection with sales of Registrable Securities pursuant to the Registration Statement.

12

(c) Discontinued Disposition.  Each Holder agrees by its acquisition of such Registrable Securities that, upon receipt of a notice from the Company of the occurrence of any event of the kind described in Section 3(c), such Holder will forthwith discontinue disposition of such Registrable Securities under the Registration Statement until such Holder's receipt of the copies of the supplemented Prospectus and/or amended Registration Statement or until it is advised in writing (the "Advice") by the Company that the use of the applicable Prospectus may be resumed, and, in either case, has received copies of any additional or supplemental filings that are incorporated or deemed to be incorporated by reference in such Prospectus or Registration Statement.  The Company may provide appropriate stop orders to enforce the provisions of this paragraph.
(d) Piggy-Back Registrations.  If at any time during the Effectiveness Period, except as contemplated by Section 2(b) hereof, there is not an effective Registration Statement covering all of the Registrable Securities and the Company shall determine to prepare and file with the Commission a registration statement relating to an offering for its own account or the account of others under the Securities Act of any of its equity securities, other than on Form S-4 or Form S-8 (each as promulgated under the Securities Act) or their then equivalents relating to equity securities to be issued solely in connection with any acquisition of any entity or business or equity securities issuable in connection with stock option or other employee benefit plans, then the Company shall send to each Holder written notice of such determination and, if within fifteen calendar days after the date of such notice, any such Holder shall so request in writing, the Company shall include in such registration statement all or any part of such Registrable Securities such holder requests to be registered, subject to customary underwriter cutbacks applicable to all holders of registration rights and subject to the applicable terms of such registration rights; provided, however, that the Company shall not be required to register any Registrable Securities pursuant to this Section 6(d) that are eligible for resale pursuant to Rule 144 promulgated under the Securities Act without volume limitation or that are the subject of a then effective Registration Statement; provided, further, however, if there is not an effective Registration Statement covering all of the Registrable Securities during the Effectiveness Period, the Company may file a registration statement with the Commission to register equity securities of the Company to be sold on a primary basis, provided that the Company does not sell any such shares until there is an effective Registration Statement covering all of the Registrable Securities. The Company shall have the right to terminate or withdraw any registration initiated by it under this Section 6(d) prior to the effectiveness of such registration whether or not any Holder has elected to include securities in such registration.
(e) Amendments and Waivers.  The provisions of this Agreement, including the provisions of this Section 6(e), may not be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given, unless the same shall be in writing and signed by the Company and the Holders of no less than a majority in interest of the then outstanding Registrable Securities, and any amendment to any provision of this Agreement made in accordance with this Section shall be binding on all Investors and Holders, as applicable.  Notwithstanding the foregoing, a waiver or consent to depart from the provisions hereof with respect to a matter that relates exclusively to the rights of certain Holders and that does not directly or indirectly affect the rights of other Holders may be given by Holders of at 

13

least a majority of the Registrable Securities to which such waiver or consent relates; provided, further that no amendment or waiver to any provision of this Agreement relating to naming any Holder or requiring the naming of any Holder as an underwriter may be effected in any manner without such Holder’s prior written consent.  Section 2(a) may not be amended or waived except by written consent of each Holder affected by such amendment or waiver.  
(f) Notices.  Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall be in writing and shall be deemed given and effective on the earliest of (a) the date of transmission, if such notice or communication is delivered via facsimile (provided the sender receives a machine-generated confirmation of successful transmission) at the facsimile number specified in this Section or electronic mail prior to 5:30 p.m. (New York City time) on a Trading Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered via facsimile at the facsimile number specified in this Section or electronic mail on a day that is not a Trading Day or later than 5:30 p.m. (New York City time) on any Trading Day, (c) the Trading Day following the date of mailing, if sent by U.S. nationally recognized overnight courier service, or (d) upon actual receipt by the party to whom such notice is required to be given.  The address for such notices and communications shall be as follows:
		
	If to the Company:
	Farmer Bros. Co.  
13601 North Freeway, Suite 200 

Fort Worth, Texas 76177
Attn: Chief Executive Officer
Facsimile: 682-730-9755
Email: mkeown@farmerbros.com

		
	With a copy to:
	Farmer Bros. Co.  
13601 North Freeway, Suite 200 

Fort Worth, Texas 76177
Attn: General Counsel
Facsimile: 682-730-9755
Email: tmattei@farmerbros.com

		
	If to an Investor: 
	To the address set forth under such Investor's name on the     signature pages hereto.

If to any other Person who is then the registered Holder:
To the address of such Holder as it appears in the stock     transfer books of the Company
or such other address as may be designated in writing hereafter, in the same manner, by such Person.
(g) Successors and Assigns.  This Agreement shall inure to the benefit of and be binding upon the successors and permitted assigns of each of the parties and shall inure to the 

14

benefit of each Holder.  The Company may not assign (other than by operation by law) its rights or obligations hereunder without the prior written consent of the Holders of no less than a majority in interest of the then outstanding Registrable Securities.  No Investor may assign its rights and obligations hereunder (other than by operation of law); provided that an Investor may assign its rights and obligations hereunder to a controlled Affiliate of such Investor.
(h) Execution and Counterparts.  This Agreement may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and, all of which taken together shall constitute one and the same Agreement.  In the event that any signature is delivered by facsimile or electronic mail transmission, such signature shall create a valid binding obligation of the party executing (or on whose behalf such signature is executed) the same with the same force and effect as if such signature delivered by facsimile or electronic mail transmission were the original thereof.
(i) Governing Law.  All questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the principles of conflicts of law thereof.  Each party agrees that all Proceedings concerning the interpretations, enforcement and defense of the transactions contemplated by this Agreement (whether brought against a party hereto or its respective Affiliates, employees or agents) will be commenced in the New York Courts.  Each party hereto hereby irrevocably submits to the exclusive jurisdiction of the New York Courts for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any Proceeding, any claim that it is not personally subject to the jurisdiction of any New York Court, or that such Proceeding has been commenced in an improper or inconvenient forum.  Each party hereto hereby irrevocably waives personal service of process and consents to process being served in any such Proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof.  Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law.  
(j) Cumulative Remedies.  The remedies provided herein are cumulative and not exclusive of any remedies provided by law.
(k) Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision, covenant or restriction.  It is hereby stipulated and declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared invalid, illegal, void or unenforceable.

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(l) Headings.  The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof.
(m) Entire Agreement. This Agreement constitutes the entire agreement between the parties hereto pertaining to the subject matter hereof, and supersedes all other prior agreements and understandings, both written and oral, between the parties, with respect to the subject matter hereof.
(n) Termination of Registration Rights. For the avoidance of doubt, it is expressly agreed and understood that (i) in the event that there are no Registrable Securities outstanding as of a Filing Date, then the Company shall have no obligation to file, caused to be  declared effective or to keep effective any Registration Statement hereunder (including any Registration Statement previously filed pursuant to this Agreement) and (ii) all registration rights granted to the Holders hereunder (including the rights set forth in Section 7(d)), shall terminate in their entirety effective on the first date on which there shall cease to be any Registrable Securities outstanding. If not previously terminated pursuant to the foregoing sentence, it is expressly agreed and understood that all registration rights granted to the Holder pursuant to this Agreement shall terminate as to the Holder on the date that is two (2) years following the date of this Agreement. 
(o) Independent Nature of Investors' Obligations and Rights.  The obligations of each Investor under this Agreement are several and not joint with the obligations of each other Investor, and no Investor shall be responsible in any way for the performance of the obligations of any other Investor under this Agreement.  Nothing contained herein , and no action taken by any Investor pursuant hereto, shall be deemed to constitute the Investors as a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the Investors are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by this Agreement.  Each Investor acknowledges that no other Investor will be acting as agent of such Investor in enforcing its rights under this Agreement.  Each Investor shall be entitled to independently protect and enforce its rights, including without limitation the rights arising out of this Agreement, and it shall not be necessary for any other Investor to be joined as an additional party in any Proceeding for such purpose.  The Company acknowledges that each of the Investors has been provided with the same Registration Rights Agreement for the purpose of closing a transaction with multiple Investors and not because it was required or requested to do so by any Investor.
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SIGNATURE PAGES TO FOLLOW]

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IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the date first written above.
FARMER BROS. CO.

By:  /s/ Michael H. Keown
Michael H. Keown 
President and Chief Executive Officer
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SIGNATURE PAGES OF INVESTORS TO FOLLOW]

IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the date first written above.

NAME OF INVESTING ENTITY

Park West Investors Master Fund, Limited
By:     Park West Asset Management LLC
Its: Investment Manager
By: /s/ Grace Jimenez
Name: Grace Jimenez
Title: CFO

ADDRESS FOR NOTICE

c/o: Park West Asset Management LLC

Street: 900 Larkspur Landing Circle, Suite165

City/State/Zip: Larkspur, CA 94939

Attention: Grace Jimenez

Tel:    415-524-2900

Fax:        

Email:    operations@parkwestllc.com

            

18

IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the date first written above.

NAME OF INVESTING ENTITY

Park West International, Limited
By:     Park West Asset Management LLC
Its: Investment Manager
By: /s/ Grace Jimenez
Name: Grace Jimenez
Title: CFO

ADDRESS FOR NOTICE

c/o: Park West Asset Management LLC

Street: 900 Larkspur Landing Circle, Suite165

City/State/Zip: Larkspur, CA 94939

Attention: Grace Jimenez

Tel:    415-524-2900

Fax:        

Email:    operations@parkwestllc.com

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IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the date first written above.

NAME OF INVESTING ENTITY

Polar Asset Management Partners Inc. as IA to 
Polar Long/Short Fund

By:     /s/ Greg Lemaich
Name: Greg Lemaich
Title: GC & CCO, Polar Asset
             Management Partners Inc.

ADDRESS FOR NOTICE

c/o: Polar Asset Management Partners Inc

Street: 401 Bay St. Ste. 1900, P.O. Box 19

City/State/Zip: Toronto, ON, M5H2Y4

Attention: Greg Lemaich

Tel:    416-367-4364

Fax:    716-367-0564

Email:    glemaich@polaramp.com

            

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IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the date first written above.

NAME OF INVESTING ENTITY

Polar Asset Management Partners Inc. as IA to 
Polar Multi-Strategy Master Fund

By:     /s/ Greg Lemaich
Name: Greg Lemaich
Title: GC & CCO, Polar Asset
             Management Partners Inc.

ADDRESS FOR NOTICE

c/o: Polar Asset Management Partners Inc

Street: 401 Bay St. Ste. 1900, P.O. Box 19

City/State/Zip: Toronto, ON, M5H2Y4

Attention: Greg Lemaich

Tel:    416-367-4364

Fax:    716-367-0564

Email:    glemaich@polaramp.com

21

Annex A
Plan of Distribution
The Selling Stockholders and any of their pledgees, donees, transferees, assignees and successors-in-interest may, from time to time, sell any or all of their shares of Common Stock on any stock exchange, market or trading facility on which the shares are traded or quoted or in private transactions.  These sales may be at fixed or negotiated prices.  The Selling Stockholders may use any one or more of the following methods when selling shares:
		
	•
	ordinary brokerage transactions and transactions in which the broker‐dealer solicits purchasers;

		
	•
	block trades in which the broker‐dealer will attempt to sell the shares as agent but may position and resell a portion of the block as principal to facilitate the transaction;

		
	•
	purchases by a broker‐dealer as principal and resale by the broker‐dealer for its account;

		
	•
	an exchange distribution in accordance with the rules of the applicable exchange;

		
	•
	privately negotiated transactions;

		
	•
	to cover short sales made after the date that this Registration Statement is declared effective by the Commission; 

		
	•
	broker‐dealers may agree with the Selling Stockholders to sell a specified number of such shares at a stipulated price per share;

		
	•
	a combination of any such methods of sale; and

		
	•
	any other method permitted pursuant to applicable law.

The Selling Stockholders may also sell shares under Rule 144 under the Securities Act, if available, rather than under this prospectus.
Broker‐dealers engaged by the Selling Stockholders may arrange for other brokers‐dealers to participate in sales.  Broker‐dealers may receive commissions or discounts from the Selling Stockholders (or, if any broker‐dealer acts as agent for the purchaser of shares, from the purchaser) in amounts to be negotiated.  The Selling Stockholders do not expect these commissions and discounts to exceed what is customary in the types of transactions involved.
The Selling Stockholders may from time to time pledge or grant a security interest in some or all of the Shares owned by them and, if they default in the performance of their secured obligations, the pledgees or secured parties may offer and sell shares of Common Stock from time to time under this prospectus, or under an amendment to this prospectus under Rule 424(b)(3) or other applicable provision of the Securities Act of 1933 amending the list of selling stockholders to include the pledgee, transferee or other successors in interest as selling stockholders under this prospectus.

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Upon the Company being notified in writing by a Selling Stockholder that any material arrangement has been entered into with a broker-dealer for the sale of Common Stock through a block trade, special offering, exchange distribution or secondary distribution or a purchase by a broker or dealer, a supplement to this prospectus will be filed, if required, pursuant to Rule 424(b) under the Securities Act, disclosing (i) the name of each such Selling Stockholder and of the participating broker-dealer(s), (ii) the number of shares involved, (iii) the price at which such the shares of Common Stock were sold, (iv)the commissions paid or discounts or concessions allowed to such broker-dealer(s), where applicable, (v) that such broker-dealer(s) did not conduct any investigation to verify the information set out or incorporated by reference in this prospectus, and (vi) other facts material to the transaction.  In addition, upon the Company being notified in writing by a Selling Stockholder that a donee or pledgee intends to sell more than 500 shares of Common Stock, a supplement to this prospectus will be filed if then required in accordance with applicable securities law.
The Selling Stockholders also may transfer the shares of Common Stock in other circumstances, in which case the transferees, pledgees or other successors in interest will be the selling beneficial owners for purposes of this prospectus.
The Selling Stockholders and any broker‐dealers or agents that are involved in selling the shares may be deemed to be "underwriters" within the meaning of the Securities Act in connection with such sales.  In such event, any commissions received by such broker‐dealers or agents and any profit on the resale of the shares purchased by them may be deemed to be underwriting commissions or discounts under the Securities Act.  Discounts, concessions, commissions and similar selling expenses, if any, that can be attributed to the sale of Securities will be paid by the Selling Stockholder and/or the purchasers.  Each Selling Stockholder has represented and warranted to the Company that it acquired the securities subject to this Registration Statement in the ordinary course of such Selling Stockholder’s business and, at the time of its purchase of such securities such Selling Stockholder had no agreements or understandings, directly or indirectly, with any person to distribute any such securities.  
The Company has advised each Selling Stockholder that it is the view of the Commission that it may not use shares registered on this Registration Statement to cover short sales of Common Stock made prior to the date on which this Registration Statement shall have been declared effective by the Commission.  If a Selling Stockholder uses this prospectus for any sale of the Common Stock, it will be subject to the prospectus delivery requirements of the Securities Act.  The Selling Stockholders will be responsible to comply with the applicable provisions of the Securities Act and Exchange Act, and the rules and regulations thereunder promulgated, including, without limitation, Regulation M, as applicable to such Selling Stockholders in connection with resales of their respective shares under this Registration Statement.
The Company is required to pay all fees and expenses incident to the registration of the shares, but the Company will not receive any proceeds from the sale of the Common Stock.  The Company has agreed to indemnify the Selling Stockholders against certain losses, claims, damages and liabilities, including liabilities under the Securities Act. 

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Annex B
FARMER BROS. CO.
Selling Securityholder Notice and Questionnaire
The undersigned beneficial owner of common stock (the “Common Stock”), of Farmer Bros. Co., a Delaware corporation (the “Company”), understands that the Company has filed or intends to file with the Securities and Exchange Commission (the “Commission”) a Registration Statement for the registration and resale of the Registrable Securities, in accordance with the terms of the Registration Rights Agreement, dated as of June 16, 2016 (the “Registration Rights Agreement”), among the Company and the Investors named therein.  A copy of the Registration Rights Agreement is available from the Company upon request at the address set forth below.  All capitalized terms used and not otherwise defined herein shall have the meanings ascribed thereto in the Registration Rights Agreement.
The undersigned hereby provides the following information to the Company and represents and warrants that such information is accurate and complete:
QUESTIONNAIRE
		
	1.
	Name.

(a)    Full Legal Name of Selling Securityholder
	
	
	 

	 

(b)    Full Legal Name of Registered Holder (if not the same as (a) above) through which Registrable Securities Listed in Item 3 below are held:
	
	
	 

	 

(c)    Full Legal Name of Natural Control Person (which means a natural person who directly or indirectly alone or with others has power to vote or dispose of the securities covered by the questionnaire):
	
	
	 

	 

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2.  Address for Notices to Selling Securityholder:
	
	
	 

	 

	 

	Telephone:   

	Fax:   

	Contact Person:   

3.  Beneficial Ownership of Registrable Securities:
Type and Principal Amount of Registrable Securities beneficially owned:
	
	
	 

	 

	 

	 

4.  Broker-Dealer Status:
(a)    Are you a broker-dealer?
Yes    ̈     No    ̈ 
Note:    If yes, the Commission’s staff has indicated that you should be identified as an underwriter in the Registration Statement.
(b)    Are you an affiliate of a broker-dealer?
Yes    ̈     No    ̈ 
(c)    If you are an affiliate of a broker-dealer, do you certify that you bought the Registrable Securities in the ordinary course of business, and at the time of the purchase of the Registrable Securities to be resold, you had no agreements or understandings, directly or indirectly, with any person to distribute the Registrable Securities?
Yes    ̈     No    ̈ 
Note:    If no, the Commission’s staff has indicated that you should be identified as an underwriter in the Registration Statement.

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5.  Beneficial Ownership of Other Securities of the Company Owned by the Selling Securityholder.
Except as set forth below in this Item 5, the undersigned is not the beneficial or registered owner of any securities of the Company other than the Registrable Securities listed above in Item 3.
Type and Amount of Other Securities beneficially owned by the Selling Securityholder:
	
	
	 

	 

	 

6.  Relationships with the Company:
Except as set forth below, neither the undersigned nor any of its affiliates, officers, directors or principal equity holders (owners of 5% of more of the equity securities of the undersigned) has held any position or office or has had any other material relationship with the Company (or its predecessors or affiliates) during the past three years.
State any exceptions here:
	
	
	 

	 

	 

7.  Plan of Distribution:
The Selling Securityholder intends to distribute the Registrable Securities listed above in Item 3 pursuant to the Registration Statement in accordance with the Plan of Distribution attached as Annex A to the Registration Rights Agreement. The Selling Securityholder hereby represents and warrants to the Company that it acquired the securities subject to this Registration Statement in the ordinary course of such Selling Securityholder’s business and, at the time of its purchase of such securities such Selling Securityholder had no agreements or understandings, directly or indirectly, with any person to distribute any such securities.  
8.  The Company has advised each Selling Stockholder that it is the view of the Commission that it may not use shares registered on the Registration Statement to cover short sales of Common Stock made prior to the date on which the Registration Statement is declared effective by the Commission, in accordance with 1997 Securities and Exchange Commission Manual of Publicly Available Telephone Interpretations Section A.65.  If a Selling Stockholder uses the prospectus for any sale of the Common Stock, it will be subject to the prospectus delivery requirements of the Securities Act.  The Selling Stockholders will be responsible to comply with the applicable provisions of the Securities Act and Exchange Act, and the rules and regulations thereunder promulgated, including, 

26

without limitation, Regulation M, as applicable to such Selling Stockholders in connection with resales of their respective shares under the Registration Statement.
The undersigned agrees to promptly notify the Company of any inaccuracies or changes in the information provided herein that may occur subsequent to the date hereof and prior to the Effective Date for the Registration Statement.
By signing below, the undersigned consents to the disclosure of the information contained herein in its answers to Items 1 through 6 and the inclusion of such information in the Registration Statement and the related prospectus.  The undersigned understands that such information will be relied upon by the Company in connection with the preparation or amendment of the Registration Statement and the related prospectus.
IN WITNESS WHEREOF the undersigned, by authority duly given, has caused this Notice and Questionnaire to be executed and delivered either in person or by its duly authorized agent.
Dated:         Beneficial Owner:     

By:        
Name:
Title:    

PLEASE FAX A COPY OF THE COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE, AND RETURN THE ORIGINAL BY OVERNIGHT MAIL, TO:

Farmer Bros. Co.
13601 North Freeway, Suite 200 
Fort Worth, Texas 76177
Attn: General Counsel
Facsimile: 682-730-9755
Email: tmattei@farmerbros.com

27

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