Document:

Form of Amended and Restated Executive Severance Agreement

 Exhibit 10.7 
 EXECUTIVE SEVERANCE AGREEMENT 
 (Amended and Restated as of
            , 2008) 
 THIS EXECUTIVE SEVERANCE AGREEMENT, which is amended and
restated and entered into effective as of
                                        
 (the “Agreement”), is by and between BJ SERVICES COMPANY, a Delaware corporation (the “Company”), and
                                        
(the “Employee”). 
 WITNESSETH; 
 WHEREAS, Employee has rendered outstanding service to the Company, and Employee’s experience and knowledge of the affairs of the Company and Employee’s reputation and contacts are extremely valuable to the Company; and 

WHEREAS, in recognition of Employee’s service to the Company and as an inducement to Employee to continue in the employ of the Company, the Company has offered
Employee, among other things, this Agreement, and Employee has accepted the Company’s offer; 
 NOW, THEREFORE, for and in consideration of the premises
and the mutual covenants and agreements herein contained, the Company and Employee hereby agree as follows. 
 1. Term. This Agreement shall commence
on the date hereof and shall continue until December 31,         ; provided, however, that commencing on January 1,          and on each
January 1st thereafter, the term of this Agreement shall automatically be extended for one additional year unless at least one year prior to such January 1st date the Company shall have given written notice to Employee that the term of
this Agreement shall cease to be so extended; provided further that, this Agreement shall automatically terminate in all events upon the termination of the Employee’s employment for any reason prior to the commencement of the Protected Period,
except as set forth in Section 2. Notwithstanding anything in this Agreement to the contrary however, this Agreement may not be terminated and shall remain in full force and effect for at least two (2) years following a Change in Control,
and such additional time as may be necessary to give effect to its terms. 
 2. Termination of Employment Following a Change in Control. Employee
shall be entitled to the benefits specified in Sections 3(iii) and 4 if (i) a Change in Control occurs while Employee is employed by the Company, and this Agreement is in effect, and (ii) during the Protected Period Employee’s
employment is terminated without Cause by the Company, for Good Reason by Employee, or by Employee without Good Reason with the consent of the Company’s Board of Directors (“Board”). If Employee’s employment is terminated due to
Disability or death, or for Cause, then Employee shall not be entitled to any benefits under this Agreement except as specified in Sections 3(i) and 3(ii). No benefits hereunder are payable prior to the date on which a Change in Control occurs
unless otherwise approved by the Board of Directors of the Company. For purposes of this Agreement, the “Protected Period” shall mean the period of time beginning with the Change in Control and ending on the second anniversary of such
Change in Control; provided, however, if Employee’s employment with the Company terminates prior to, but within six months of, the date on which a Change in Control occurs, and it is reasonably demonstrated by Employee that such termination of
employment was (i) by the 

  

 1 

 
Company in connection with or in anticipation of the Change in Control or (ii) by Employee under circumstances which would have constituted Good Reason
if the circumstances arose on or after the Change in Control, then for all purposes of this Agreement the Change in Control shall be deemed to have occurred, and the Protected Period shall be deemed to have commenced, on the date immediately prior
to the date of such termination of Employee’s employment. 
 (i) Disability. If, as a result of Employee’s incapacity due to
physical or mental illness, Employee shall have been absent from Employee’s duties with the Company on a full-time basis for 180 consecutive calendar days, and within 30 days after written Notice of Termination (as defined hereinafter) Employee
shall not have returned to the full-time performance of Employee’s duties, the Company may thereafter notify Employee of termination, which notice shall, for purposes of this Agreement, constitute termination of Employee’s employment for
“Disability”; provided, however, a termination of Employee’s employment for Disability under this Agreement shall not by itself alter or impair (A) Employee’s rights as a “disabled employee” or otherwise under any
of the Company’s employee benefit plans or (B) Employee’s status as an “employee” for any other purpose, except as otherwise provided in this Agreement. 
 (ii) Cause. The Company may terminate Employee’s employment for Cause. For the purposes of this Agreement, the Company shall have
“Cause” to terminate Employee’s employment hereunder only (A) upon the willful and continued failure by Employee to perform substantially Employee’s duties with the Company, other than any such failure resulting from
Employee’s incapacity due to physical or mental illness, which failure continues unabated after a demand for substantial performance is delivered to Employee by the Board that specifically identified the manner in which the Board believes that
Employee has not substantially performed Employee’s duties, (B) if Employee willfully engages in gross misconduct materially and demonstrably injurious to the Company or (C) upon fraud, misappropriation or embezzlement related to the
business of the Company on the part of Employee. For purposes of this paragraph, an act or failure to act on Employee’s part shall be considered “willful” if done or omitted to be done by Employee otherwise than in good faith and
without reasonable belief that Employee’s action or omission was in the best interest of the Company. Notwithstanding the foregoing, Employee shall not be deemed to have been terminated by the Company for Cause unless and until the Company
shall have delivered to Employee a copy of a resolution duly adopted by the affirmative vote of not less than three-quarters of the entire membership of the Board, at a meeting of the Board called and held for the purpose (after reasonable notice to
Employee and an opportunity for Employee, together with Employee’s counsel, to be heard before the Board), finding that in the good-faith opinion of the Board Employee was guilty of conduct constituting Cause hereunder and specifying the
particulars thereof in reasonable detail. 
 (iii) Good Reason. Employee may terminate Employee’s employment for Good Reason. For
purposes of this Agreement “Good Reason” shall mean any of the following: 
 (A) Employee is assigned any duties materially
inconsistent with Employee’s positions, duties, responsibilities and status with the Company immediately prior to a Change in Control, or Employee’s reporting responsibilities, titles or offices are materially changed in an adverse manner
from those in effect immediately prior to such Change in Control (as an illustration, a change from an officer of a publicly traded company to an officer of a subsidiary of another company would be considered a material change in the Employee’s
reporting 

  

 2 

 
responsibility, title and office) or Employee is removed from or is not re-elected or appointed to any of such material responsibilities, titles, offices or
positions, except in each case in connection with the termination of Employee’s employment for Cause, or Disability, or as a result of Employee’s death, or by Employee for other than Good Reason and excluding an isolated, insubstantial and
inadvertent action not taken in bad faith and which is remedied by the Company promptly after receipt of notice thereof given by Employee; provided, however, that if the Executive Compensation Committee of the Board of Directors of the Company makes
a determination, prior to a Change in Control, that the Change in Control is a “merger of equals” for purposes of this Section 2(iii)(A), and delivers written notice to the Employee that the transaction has been designated a
“merger of equals” for purposes of this Section 2(iii)(A), and that shorter time periods may apply under this section, then the following additional provisions shall apply: In the event that (x) Employee remains employed as an
officer of a publicly-traded company following the Change in Control but (y) an event or events occur within the first six months of the Protected Period which constitute Good Reason and Employee chooses to terminate his or her employment for
Good Reason, then Employee must deliver his or her Notice of Termination (as defined in paragraph (iv) below) on or before the date which is six months after the event that constituted Good Reason, or else lose the right to terminate for Good
Reason based on such event or events and provided, further, that if, during the final eighteen months of the Protected Period, additional events occur which also constitute Good Reason, then Employee shall be entitled to terminate his or her
employment for Good Reason at any time pursuant to the terms of this Agreement; or 
 (B) Employee’s annual rate of base salary is
reduced from that in effect immediately prior to a Change in Control or as the same may be increased from time to time thereafter (such annual rate of base salary, as so increased (if applicable) but prior to such reduction, is referred to
hereinafter as the “Base Salary”); or 
 (C) the Company fails to continue the Company’s annual cash bonus plan for executives
as the same may be modified from time to time, but substantially in the form in effect prior to the date of the Change in Control (the “Bonus Plan”), (unless the Bonus Plan is replaced within a reasonable time with a substantively similar
plan (the “Substitute Plan”)) or fails to continue Employee as a participant in the Bonus Plan or the Substitute Plan, or reduces Employee’s “Entry Level,” “Expected Value,” or “Over-Achievement”
guideline percentages under the Bonus Plan or the Substitute Plan from that in effect immediately prior to a Change in Control or as increased thereafter with respect to Employee; or 
 (D) the Company fails to continue in effect any material benefit or compensation plan, including, but not limited to, the Company’s: 1995 Incentive
Plan, 1997 Incentive Plan, 2000 Incentive Plan, 2003 Incentive Plan, qualified retirement plan, executive life insurance plan, perquisite plan, and/or health and accident plan, in which Employee is participating immediately prior to a Change in
Control, or plans providing Employee with substantially similar benefits, or the Company takes any action that would materially adversely affect Employee’s participation in or reduce Employee’s benefits under any of such plans (excluding
any such action by the Company that is required by law); or 
 (E) the Employee is required to relocate to a location more than 50 miles from
where his office was located on the date of the Change in Control (except for required travel on company business to an extent substantially consistent with Employee’s past business travel obligations to the Company); or 
  

 3 

 (F) the Company fails to obtain the assumption of the obligation to perform this Agreement by any
successor as contemplated in Section 6 hereof; or 
 (G) any purported termination of Employee’s employment by the Company that is
not effected pursuant to a Notice of Termination satisfying the requirements of subparagraph (iv) below and, if applicable, the procedures described in subparagraph (ii) above; and for purposes of this Agreement, no such purported
termination shall be effective; or 
 (H) the amendment, modification or repeal of any provision of the Articles of Incorporation or Bylaws
of the Company that was in effect immediately prior to such Change in Control, if such amendment, modification or repeal would materially adversely affect Employee’s rights to indemnification by the Company; or 
 (I) the Company shall violate or breach any obligation of the Company in effect immediately prior to such Change in Control, regardless whether such
obligation be set forth in the Bylaws of the Company and/or in a separate agreement entered into between the Company and Employee, to indemnify Employee against any claim, loss, expense or liability sustained or incurred by Employee by reason, in
whole or in part, of the fact that Employee is or was an officer or director of the Company. 
 (iv) Notice of Termination. Any
termination by the Company pursuant to subparagraphs (i) or (ii) above or by Employee pursuant to subparagraph (iii) above shall be communicated by written Notice of Termination to the other party hereto. For purposes of this
Agreement, a “Notice of Termination” shall mean a notice that shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis
for termination of Employee’s employment under the provision so indicated. 
 (v) Date of Termination. “Date of
Termination” shall mean the date Employee terminates employment with the Company. For all purposes of this Agreement, Employee shall be considered to have terminated employment with the Company when Employee incurs a “separation from
service” with the Company within the meaning of Section 409A(a)(2)(A)(i) of the Internal Revenue Code of 1986, as amended (the “Code”) and applicable administrative guidance issued thereunder. 
 3. Compensation During Disability or Upon Termination. 
 (i) If during the Protected Period Employee fails to perform Employee’s normal duties as a result of incapacity due to physical or mental illness, Employee shall continue during the period of disability to receive Employee’s full
Base Salary at the rate then in effect and any awards, deferred and non-deferred, payable during such period of disability under the Bonus Plan, less any amounts paid to Employee during such period of disability pursuant to the Company’s
sick-leave or disability program until Employee’s employment is terminated for Disability pursuant to Section 2(i) hereof. Notwithstanding the foregoing, any amount of earned but unpaid Base Salary that is scheduled to be deferred under a
Company-sponsored deferred 

  

 4 

 
compensation arrangement shall be deferred and paid in accordance with the provisions of such arrangement. This Section 3(i) shall not reduce or impair
Employee’s rights to terminate his employment for Good Reason (to the extent such rights existed prior to such Disability) or with the consent of the Board as otherwise provided herein. 
 (ii) If during the Protected Period Employee’s employment shall be terminated for Cause, the Company shall pay Employee’s earned but unpaid
Base Salary through the Date of Termination at the rate in effect at the time Notice of Termination is given, and the Company shall have no further obligations to Employee under this Agreement, except those arising hereunder or under the terms of
any Company benefit plans, prior to the Date of Termination. Notwithstanding the foregoing, any amount of earned but unpaid Base Salary that is scheduled to be deferred under a Company-sponsored deferred compensation arrangement shall be deferred
and paid in accordance with the provisions of such arrangement. 
 (iii) If during the
Protected Period the Company shall terminate Employee other than pursuant to Section 2(i) or 2(ii) hereof, or if during the Protected Period Employee shall terminate Employee’s employment either for Good Reason or with the consent of the
Board, then, subject to Section 3(iv), Section 4, and Section 16 (to the extent applicable), the Company shall pay to Employee, in a single lump sum by certified or bank cashier’s check on the 60th day following such Date of Termination (or the next business day thereafter), the sum of the amounts specified in subparagraphs (A) through
(E) below and also shall provide Employee the continued employee welfare benefits as provided in subparagraph (F) and the benefits in subparagraph (G) below: 
 (A) an amount equal three times the sum of (i) Employee’s Base Salary and (ii) the bonus that Employee would receive using the Expected
Value guideline percentage under the Bonus Plan (the “EV Bonus Amount”); 
 (B) an amount equal to the product of (i) the
higher of (a) the EV Bonus Amount or (b) the bonus that the Employee would receive under the Bonus Plan based on the performance of the Company for the then current fiscal year, as of the date of the Change in Control and (ii) a
fraction, the numerator of which is the number of days in the current fiscal year under the Bonus Plan that have elapsed on the Date of Termination and the denominator of which is 365; 
 (C) an amount equal to that portion of Employee’s Base Salary earned, but not paid, and vacation earned, but not taken, in each case, to the Date of
Termination; provided, however, that any amount of earned but unpaid Base Salary that is scheduled to be deferred under a Company-sponsored deferred compensation arrangement shall be deferred and paid in accordance with the provisions of such
arrangement; 
 (D) an amount, with respect to all outstanding unvested and unexercisable awards that have been granted Employee after a
Change in Control under the Company’s 1990 Stock Incentive Plan, 1995 Incentive Plan, 1997 Incentive Plan, 2000 Incentive Plan, 2003 Incentive Plan, or any successor or similar stock compensation plan, equal to the sum of (i) the value of
all such unvested (or unearned) shares of Performance Stock and Performance Units (determined as if all restrictions had lapsed and all performance goals had been achieved to the fullest extent) 

  

 5 

 
and (ii) the excess of the exercise price of each such unexercisable option and appreciation right over the closing price of the common shares of the
Company stock on the Date of Termination, as reported on the New York Stock Exchange; 
 (E) an amount equal to three times the value of the
largest annual long term incentive grant or grants made to Employee during the three years prior to the Date of Termination. For purposes of this section, “long term incentive grant” shall mean an award of stock options, performance units,
or other long term incentive awards and shall refer to the initial grant, not the vesting of the award. The value of such awards shall be the value as of the date they were granted. The Black-Scholes method of valuation shall be used in the case of
stock options. The value of the other awards shall be their present value on the date of grant. The Executive Compensation Committee of the Board of Directors of the Company shall have the authority to determine the value of all such awards prior to
the date of the Change in Control, and any determination by them shall be final and binding; 
 (F) the Company shall at all times during the
three year period following the Date of Termination (the “Continuation Period”) maintain in full force and effect for the continued benefit of Employee and Employee’s eligible dependents all group life and/or executive life (to the
extent permitted under Section 409A of the Code and applicable administrative guidance issued thereunder), accidental death and dismemberment, and medical and dental insurance benefits available to Employee and Employee’s eligible
dependents by virtue of being an employee of the Company immediately prior to such termination, provided that Employee’s continued participation is possible under the general terms and provisions of such plans and programs (or any successor
thereto); provided, however, if Employee retires (as such term is defined in the BJ Services Company Retirement Thrift Plan), on the Date of Termination or if Employee would have been eligible to retire within five years of the Date of Termination,
Employee shall be permitted to continue coverage following the Continuation Period in such group plans and programs to the extent such group plans and programs provide benefits for retirees. In the event that participation by Employee in any such
plan or program after the Date of Termination is barred pursuant to the terms thereof, the Company shall use its best efforts to obtain at the Company’s expense, and without any additional cost or liability beyond the cost or liability that
similarly situated employees incur under the terms of such group plans and programs (and with respect to the benefits for retirees described in the preceding sentence, the Employee’s cost or liability may not exceed the cost or liability that
similarly situated employees incur under the terms of such group plans and programs providing benefits for retirees as in effect on the date of the Change of Control (or reasonable annual increases thereto)), to the Employee comparable coverage
under individual policies for Employee (and Employee’s dependents). For purposes of the preceding sentence, “reasonable annual increases” shall be limited to annual increases that are no greater than the lesser of (1) five
percent per annum; or (2) any increases to the cost that similarly situated individuals must pay to obtain such insurance benefits under group plans and programs made available to retirees of the Company (including any successor plans or
programs thereto). The medical, dental, and accidental death and dismemberment coverage described in the preceding sentences of this Section 3(iii)(F) shall be provided through arrangements that satisfy the requirements of Sections 105 and 106
of the Code such that the benefits or reimbursements under such arrangements are not includible in Employee’s income (and, if continued coverage under Company’s plans does not satisfy this requirement, then Company shall arrange, upon
comparable terms, for coverage providing 

  

 6 

 
substantially equivalent benefits to be provided under one or more insurance policies that will satisfy this requirement. At the end of the Continuation
Period (except as otherwise provided in this Section 3(iii)(F) with respect to COBRA benefits or retiree medical benefits, if either is elected by Employee), the Company shall arrange to make available to Employee and his eligible dependents
comparable insurance coverage by enabling Employee to convert Employee’s coverage under the Company’s group plans or programs to an individual policy for the benefit of Employee and Employee’s eligible dependents, or to assume any
individual policies obtained by the Company for Employee’s benefit, with Employee paying the full premiums after the end of the Continuation Period. Nothing in this subparagraph (F) shall operate to reduce, or be construed as reducing,
Employee’s (or a beneficiary’s) group health plan continuation rights under COBRA in any manner and upon the end of the Continuation Period Employee (or Employee’s beneficiary(ies)), if otherwise eligible, will be entitled to elect
COBRA continuation coverage for the full period applicable as if that were Employee’s termination date. In the event Employee becomes covered by another employer’s group plan or programs as a result of Employee’s employment during the
Continuation Period, the Company’s plans or programs shall be liable for benefits only to the extent such benefits are not covered by the subsequent employer’s plans or programs; and 
 (G) the Company shall, at its sole expense as incurred, provide the Employee with reasonable outplacement services the scope and provider of which shall
be selected by the Employee in his or her sole discretion; provided, however, that such outplacement services shall in no event be provided beyond the last day of the second taxable year of Employee following the taxable year of Employee in which
Employee’s Date of Termination occurred. 
 (iv) As a condition to the receipt of any benefit under this Agreement, Employee must first
execute and deliver to the Company a release, substantially in the form attached hereto as Attachment A, releasing the Company, its officers, directors, employees and agents from any and all claims and from any and all causes of action of any kind
or character that Employee may have arising out of Employee’s employment with the Company or the termination of such employment, but excluding (A) any claims and causes of action that Employee may have arising under or based upon this
Agreement, (B) rights under stock-based incentive plans arising in connection with a change in control, (C) rights under directors’ and officers’ indemnification insurance, and (D) rights of indemnity under articles of
incorporation, bylaws, contracts, law, or otherwise, (E) rights under Company-sponsored retirement plans, including, without limitation “401(k)” plans and “Rabbi trusts,” and (F) rights under the Company’s
“KEYSOP” (Key Executive Stock Option Plan) and arrangements for deferred compensation. The release described in this Section 3(iv) hereof must be effective and irrevocable within 50 days after the date of termination of
Employee’s employment with the Company. 
 4. Gross-Up of Parachute Payments. 
 (i) To provide Employee with adequate protection in connection with his ongoing employment with the Company, this Agreement provides Employee with various
benefits in the event of termination of Employee’s employment with the Company during the Protected Period. If Employee’s employment is terminated following a “change in control” of the Company, within the meaning of
Section 280G of the Code, a portion of those benefits could be characterized as “excess parachute payments” within the meaning of Section 280G of the Code. 

  

 7 

 
The parties hereto acknowledge that the protections set forth in this Section 4 are important, and it is agreed that Employee should not have to bear
the burden of any excise tax that might be levied under Section 4999 of the Code, in the event that a portion of the benefits payable to Employee pursuant to this Agreement are treated as an excess parachute payment. The parties, therefore,
have agreed as set forth in this Section 4. 
 (ii) Anything in this Agreement to the contrary notwithstanding, if it shall be
determined that any payment or distribution by the Company or any other person to or for the benefit of Employee (whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise, but determined without
regard to any additional payments required under this Section 4) (including, without limitation, any cost associated with any continued welfare plan coverage, welfare benefits, or any reimbursements of any arbitration or litigation costs and
expenses under Section 15) (a “Payment”) would be subject to the excise tax imposed by Section 4999 of the Code or any interest or penalties are incurred by the Employee with respect to such excise tax (such excise tax, together
with any such interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), then the Company shall pay, in accordance with Section 4(iii), an additional payment (a “Gross-Up Payment”) in an amount
such that after payment by Employee of all taxes (including any interest or penalties imposed with respect to such taxes), including, without limitation, any income or other taxes (and any interest and penalties imposed with respect thereto) and
Excise Tax imposed upon the Gross-Up Payment, Employee retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments. 
 (iii) Subject to the provisions of Section 4(iv), all determinations required to be made under this Section 4, including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions
to be utilized in arriving at such determination, shall be made by an independent public accounting firm with a national reputation that is selected by Employee (the “Accounting Firm”) which shall provide detailed preliminary calculations
both to the Company and to Employee within 15 business days after the receipt of notice from the Company that there has been a Payment, or such earlier time as is requested by the Employee and shall provide the actual amount of the Gross-Up Payment
each year. In the event that the Accounting Firm is serving as accountant or auditor for the individual, entity or group effecting the Change in Control of the Company, Employee shall appoint another nationally recognized accounting firm to make the
determinations required hereunder (which accounting firm shall then be referred to as the Accounting Firm hereunder). All fees and expenses of the Accounting Firm shall be borne solely by the Company. (The Company shall indemnify and hold harmless
Employee, on an after-tax basis, for any Excise Tax or income or other tax (including interest and penalties with respect thereto) imposed on Employee as a result of such payment of fees and expenses.) Any Gross-Up Payment, as determined pursuant to
this Section 4, shall be paid by the Company on behalf of Employee to the applicable tax authorities prior to the time any such payments are due to be paid to the Internal Revenue Service. If the Accounting Firm determines that no Excise Tax is
payable by Employee, it shall furnish Employee with a written opinion that failure to report the Excise Tax on Employee’s applicable federal income tax return would not result in the imposition of a negligence or similar penalty. Any
determination by the Accounting Firm shall be binding upon the Company and Employee; provided, however, that such determination may be changed to reflect the outcome of a dispute under Section 4(iv). As a result of the uncertainty in the
application of Section 4999 of the Code 

  

 8 

 
at the time of the initial determination by the Accounting Firm hereunder, it is possible that Gross-Up Payments which will not have been made by the Company
should have been made (“Underpayment”), consistent with the calculations required to be made hereunder. If the Company exhausts its remedies pursuant to Section 4(iv) and Employee thereafter is required to make a payment of any Excise
Tax, the Accounting Firm shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by the Company to or for the benefit of Employee. Notwithstanding the foregoing, in no event shall any
Gross-Up Payment (including any Underpayment) be made later than the end of Employee’s taxable year next following Employee’s taxable year in which Employee remits the related taxes. 
 (iv) Employee shall notify the Company in writing of any claim (including any threatened tax lien related to or based upon any such claim) by the
Internal Revenue Service that, if successful, would require the payment by the Company of the Gross-Up Payment. Such notification shall apprise the Company of the nature of such claim and the date on which such claim is requested to be paid.
Employee shall not pay such claim prior to the expiration of the 30-day period following the date on which Employee gives such notice to the Company (or such shorter period ending on the date that any payment of taxes with respect to such claim is
due or such tax lien would be imposed). If the Company notifies Employee in writing prior to the expiration of such period that it desires to contest such claim (or threatened lien), Employee shall: 
 (A) give the Company any information reasonably requested by the Company relating to such claim (or threatened lien); 
 (B) take such action in connection with contesting such claim (or threatened lien) as the Company shall reasonably request in writing from time to time,
including, without limitation, accepting legal representation with respect to such claim by an attorney reasonably selected by the Company; 
 (C) cooperate with the Company in good faith in order effectively to contest such claim (or threatened lien); and 
 (D) permit the
Company to participate in any proceedings relating to such claim (or threatened lien); 
 provided, however, that the Company shall bear and pay directly all
costs and expenses (including additional interest and penalties) incurred in connection with such contest and shall indemnify and hold Employee harmless, on an after-tax basis, for any Excise Tax or income or other tax (including interest and
penalties with respect thereto) imposed as a result of such representation and payment of costs and expenses. Without limitation on the foregoing provisions of this Section 4(iv), the Company shall control all proceedings taken in connection
with such contest and, at its sole option, may pursue or forego any and all administrative appeals, proceedings, hearings and conferences with the taxing authority in respect of such claim and may, at its sole option, either direct Employee to pay
the tax claimed and sue for a refund or contest the claim in any permissible manner, and Employee agrees to prosecute such contest to a determination before any administrative tribunal, in a court of initial jurisdiction and in one or more appellate
courts, as Employee shall determine (but in no event shall the Company permit or 

  

 9 

 
direct Employee to allow a tax lien to be imposed on Employee’s property); provided, that if the Company directs Employee to pay such claim and sue for
a refund, the Company shall advance the amount of such payment to Employee, on an interest-free basis, and shall indemnify and hold Employee harmless on an after-tax basis, from any Excise Tax or income or other tax (including interest or penalties
with respect thereto) imposed with respect to such advance or with respect to any imputed income with respect to such advance; and further provided that any extension of the statute of limitations relating to payment of taxes for the taxable year of
Employee with respect to which such contested amount is claimed to be due is limited solely to such contested amount. In addition, the Company’s control of the contest shall be limited to issues with respect to which a Gross-Up Payment would be
payable hereunder and Employee shall be entitled to settle or contest, as the case may be, any other issue raised by the Internal Revenue Service or any other taxing authority. 
 (v) If, after the receipt by Employee of an amount advanced by the Company pursuant to Section 4(iv), Employee becomes entitled to receive any
refund with respect to such claim, Employee shall (subject to the Company’s complying with the requirements of Section 4(iv)) promptly pay to the Company the amount of such refund (together with any interest paid or credited thereon after
taxes applicable thereto). If after the receipt by Employee of an amount advanced by the Company pursuant to Section 4(iv), a determination is made that Employee shall not be entitled to any refund with respect to such claim and the Company
does not notify Employee in writing of its intent to contest such denial of refund prior to the expiration of 30 days after such determination, then such advance shall be forgiven and shall not be required to be repaid and the amount of such advance
shall offset, to the extent thereof, the amount of Gross-Up Payment required to be paid. 
 5. No Mitigation of Damages and Expenses. 
 (i) The provisions of this Agreement are not intended to, nor shall they be construed to, require that Employee seek or accept other employment following
a termination of employment and, except to the extent provided in Section 3(iii)(F) of this Agreement, amounts payable and welfare benefits provided under this Agreement to Employee shall not be reduced by Employee’s acceptance of (or
failure to seek or accept) employment with another person. The Company’s obligations to make the payments and provide the welfare benefits required for in this Agreement and otherwise to perform its obligations hereunder shall not be affected
by any set off, counterclaim, recoupment, defense or other claim, rights or action that the Company may have against the Employee or others. 
 (ii) If any contest or dispute (including, without limitation, in accordance with Section 15) shall arise under this Agreement involving termination of Employee’s employment with the Company or involving the validity or
enforceability of, or liability under, any provision of this Agreement, then (regardless of the outcome thereof, unless it shall be determined by a court of competent jurisdiction in a final, non-appealable decision or by an arbitrator in an
arbitration proceeding in a final, non-appealable decision that Employee’s employment was properly terminated for Cause within the meaning of and in accordance with Section 2(ii) hereof), the Company shall reimburse Employee, on a current
basis, for all legal fees and expenses, if any, incurred by Employee in connection with such contest or dispute, together with interest in an amount equal to the three-month U. S. Treasury bill rate, from time to time in effect but in no 

  

 10 

 
event higher than the maximum legal rate permissible under applicable law, such interest to accrue from the date such payment(s) become due through the date
of payment thereof. Any reimbursement of reasonable attorneys’ fees and disbursements required under this Section 5(ii) shall be made not later than the close of Employee’s taxable year following the taxable year in which Employee
incurs the expense; provided, however, that, upon Employee’s termination of employment with the Company, in no event shall any additional reimbursement be made prior to the date that is six months after the date of Employee’s termination
of employment to the extent such payment delay is required under Section 409A(a)(2)(B)(i) of the Code. In no event shall any reimbursement be made to Employee for such fees and disbursements incurred after the later of (A) Employee’s
death or (B) the date that is 10 years after the date of Employee’s termination of employment with the Company. 
 6. Successors; Binding
Agreement. 
 (i) The Company will require any successor, whether direct or indirect, by purchase, merger, consolidation or otherwise, of
all or substantially all of the business and/or assets of the Company, expressly to assume and agree to perform this Agreement in the same manner and to the same extent as the Company would have been required if no such succession had taken place.
Failure of the Company to obtain such agreement prior to the effectiveness of any such succession shall be a breach of this Agreement and shall entitle Employee to terminate employment for Good Reason. As used in this Agreement, “Company”
shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid that executes and delivers the agreement provided for in this Section 6 or which otherwise becomes bound by all the terms and provisions
of this Agreement by operation of law. 
 (ii) This Agreement shall inure to the benefit of and be enforceable by Employee’s personal or
legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. If Employee should die while any amounts would still be payable or benefits provided to Employee hereunder if Employee had continued to live,
all such amounts and benefits, unless otherwise provided herein, shall be paid and continue to be provided in accordance with the terms of this Agreement to Employee’s beneficiary. 
 7. Notice. For the purpose of this Agreement, notices and all other communications provided for herein shall be in writing and shall be deemed to have been duly given when delivered or five days after deposit
in the United States mail, registered and return receipt requested, postage prepaid, addressed to the respective addresses set forth on the last page of this Agreement, provided that all notices to the Company shall be directed to the office of
corporate secretary of the Company, with a copy to the Secretary of the Company, or to such other address as either party shall have furnished to the other in writing in accordance herewith, except that notices of change of address shall be
effective only upon receipt. 
 8. Change in Control. For purposes of this Agreement, a Change in Control shall be deemed to have occurred upon, and
shall mean: 
 (i) The acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the
Securities Exchange Act of 1934, as amended (the Exchange Act”)) (a “Person”) of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the 

  

 11 

 
Exchange Act) of 25% or more of either (1) the then outstanding shares of Common Stock of the Company (the “Outstanding Company Common Stock”)
or (2) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting Securities”); provided, however, that the following
acquisitions shall not constitute a Change in Control: (v) any acquisition directly from the Company (excluding an acquisition by virtue of the exercise of a conversion privilege, (w) any acquisition by the Company, (x) any
acquisition by any employee benefit plan(s) (or related trust(s)) sponsored or maintained by the Company or any corporation controlled by the Company or (y) any acquisition by any corporation pursuant to a reorganization, merger or
consolidation, if, immediately following such reorganization, merger or consolidation, the conditions described in clauses (1), (2) and (3) of subparagraph (iii) of this Section 8 are satisfied, or (z) any such acquisition
if the Board of Directors of the Company determines in good faith that a Person which has acquired more than a 25% interest in the Outstanding Company Common Stock or the Outstanding Company Voting Securities has done so inadvertently (including,
without limitation, because such person was unaware that it beneficially owned a 25% interest) and without any intention of changing or influencing control of the Company, and such Person, as promptly as practicable (but no longer than ninety days)
after being advised of such determination divested or divests himself or itself of beneficial ownership of a sufficient amount such that such Person no longer has beneficial ownership of 25% or more of either the Outstanding Company Common Stock or
the Outstanding Company Voting Securities; or 
 (ii) Individuals who, as of the date hereof, constitute the Company’s Board of
Directors (the “Incumbent Board”), cease for any reason to constitute at least a majority of the Company’s Board of Directors; provided, however, that any individual becoming a director subsequent to the date hereof whose election, or
nomination for election by the Company’s stockholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of either (1) an actual or threatened election contest (as such terms are used in Rule 14a-11 of Regulation 14A promulgated under the
Exchange Act), or an actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Company’s Board of Directors or (2) a plan or agreement to replace a majority of the members of the Company’s
Board of Directors then comprising the Incumbent Board; or 
 (iii) Approval by the stockholders of the Company of a reorganization, merger
or consolidation, in each case unless, immediately following such reorganization, merger or consolidation, (1) more than 60% of, respectively, the then outstanding shares of common stock of the corporation resulting from such reorganization,
merger or consolidation (including, without limitation, a corporation which as a result of such transaction owns the Company through one or more subsidiaries) and the combined voting power of the then outstanding voting securities of such
corporation entitled to vote generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding
Company Common Stock and Outstanding Company Voting Securities immediately prior to such reorganization, merger or consolidation in substantially the same proportions as their ownership, immediately prior to such reorganization, merger or
consolidation, of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be, (2) no Person (excluding the 

  

 12 

 
Company, any employee benefit plan(s) (or related trust(s)) of the Company and/or its subsidiaries or any Person beneficially owning, immediately prior to
such reorganization, merger or consolidation, directly or indirectly, 25% or more of the Outstanding Company Common Stock or Outstanding Company Voting Securities, as the case may be) beneficially owns, directly or indirectly 25% or more of,
respectively, the then outstanding shares of common stock of the corporation resulting from such reorganization, merger or consolidation or the combined voting power of the then outstanding voting securities of such corporation entitled to vote
generally in the election of directors and (3) at least a majority of the members of the board of directors of the corporation resulting from such reorganization, merger or consolidation were members of the Incumbent Board at the time of the
execution of the initial agreement providing for such reorganization, merger or consolidation; or 
 (iv) Approval by the stockholders of the
Company of (1) a complete liquidation or dissolution of the Company or (2) the sale or other disposition of all or substantially all of the assets of the Company, other than to a corporation, with respect to which immediately following
such sale or other disposition, (A) more than 60% of, respectively, the then outstanding shares of common stock of such corporation and the combined voting power of the then outstanding voting securities of such corporation entitled to vote
generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and
Outstanding Company Voting Securities immediately prior to such sale or other disposition in substantially the same proportion as their ownership, immediately prior to such sale or other disposition, of the Outstanding Company Common Stock and
Outstanding Company Voting Securities, as the case may be, (B) no Person (excluding the Company and any employee benefit plan (or related trust) of the Company and/or its subsidiaries or such corporation and any Person beneficially owning,
immediately prior to such sale or other disposition, directly or indirectly, 25% or more of the Outstanding Company Stock or Outstanding Company Voting Securities, as the case may be) beneficially owns, directly or indirectly, 25% or more of,
respectively, the then outstanding shares of common stock of such corporation or the combined voting power of the then outstanding voting securities of such corporation entitled to vote generally in the election of directors and (C) at least a
majority of the members of the board of directors of such corporation were members of the Incumbent Board at the time of the execution of the initial agreement or action of the Company’s Board of Directors providing for such sale or other
disposition of assets of the Company. 
 9. Employment with Affiliates. Employment with the Company for purposes of this Agreement includes employment
with any entity in which the Company has a direct or indirect ownership interest of 50% or more of the total combined voting power of all outstanding equity interests, and employment with any entity which has a direct or indirect interest of 50% or
more of the total combined voting power of all outstanding equity interests of the Company, it being understood that for purposes of Section 2(iii)(A) hereof, “Good Reason” shall be construed to refer to the Employee’s positions,
duties, responsibilities (reporting and other), status, title, and office in the position or positions in which the Employee serves immediately before the Change in Control, but shall not include titles or positions with subsidiaries and affiliates
of the Company that are held primarily for administrative convenience. 
  

 13 

 10. Miscellaneous. No provisions of this Agreement may be modified, waived or discharged unless such waiver,
modification or discharge is agreed to in writing signed by Employee and by the President or other authorized officer of the Company. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any
condition or provisions of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. 
 11. Validity. The interpretation, construction and performance of this Agreement shall be governed by and construed and enforced in accordance with the laws of
the State of Texas without regard to the principle of conflicts of laws. The invalidity or unenforceability of any provisions of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement, each of which
shall remain in full force and effect. 
 12. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed
to be an original but all of which together shall constitute one and the same instrument. 
 13. Descriptive Headings. Descriptive headings are for
convenience only and shall not control or affect the meaning or construction of any provision of this Agreement. 
 14. Corporate Approval. This
Agreement has been approved by the Board, and has been duly executed and delivered by Employee and on behalf of the Company by its duly authorized representative. 
 15. Arbitration. 
 (i) Except as otherwise provided in subparagraph (ii) below, any dispute or controversy arising out
of or in connection with this Agreement as to the existence, construction, validity, interpretation or meaning, performance, non-performance, enforcement, operation, breach, continuance or termination thereof shall be submitted to arbitration
pursuant to the following procedure: 
 (A) Either party may demand such arbitration in writing after the controversy arises, which demand
shall include the name of the arbitrator appointed by the party demanding arbitration, together with a statement of the matter in controversy. 
 (B) Within 15 days after such demand, the other party shall name an arbitrator, or in default thereof, such arbitrator shall be named by the Arbitration Committee of the American Arbitration Association, and the two arbitrators so selected
shall name a third arbitrator within 15 days or, in lieu of such agreement on a third arbitrator by the two arbitrators so appointed, a third arbitrator shall be appointed by the Arbitration Committee of the American Arbitration Association.

 (C) The Company shall bear all arbitration costs and expenses. 
 (D) The arbitration hearing shall be held at a site in Houston, Texas, to be agreed to by a majority of the arbitrators on 10 business days prior written
notice to the parties. 
  

 14 

 (E) The arbitration hearing shall be concluded within 10 days unless otherwise ordered by a majority of
the arbitrators, and the award thereon shall be made within 10 days after the close of the submission of evidence. An award rendered by a majority of the arbitrators appointed pursuant to this Agreement shall be final and binding on all parties to
the proceeding during the period of this Agreement, and judgment on such award may be entered by either party in the highest court, state or federal, having jurisdiction 
 (ii) During the pendency of any dispute or controversy pursuant to this Section 15, the Company will continue to pay Employee Employee’s Base Salary as in effect preceding the date the Notice of Termination
giving rise to the dispute was given or, if Employee’s employment was terminated prior to a Change in Control, the date of such termination of employment (whichever date is applicable being the “Dispute Date”) and continue Employee as
a participant in all compensation and employee benefit plans in which Employee was participating preceding the Dispute Date, until the dispute is finally resolved; provided, however, that the continued payment of such Base Salary shall be made in
accordance with the established payroll practices of the Company as in effect on the effective date of this Agreement. Notwithstanding the foregoing, the Employee shall be entitled to specific performance of Employee’s right to be paid during
the pendency of any dispute or controversy arising under or in connection with this Agreement and the Employee’s right to receive legal fees on a current basis as provided in Section 5(ii) of this Agreement, and Employee may commence a
legal action to enforce such right. The Company shall promptly (and in no event later than ten (10) business days after demand) reimburse Employee for any expenses reasonably incurred for attorneys’ fees and disbursements in bringing such
action. 
 Amounts paid under this Section 15 are in addition to all other amounts due under this Agreement and shall not be offset,
against or reduce any other amounts due under this Agreement. 
 (iii) Except as otherwise provided, the parties stipulate that the
provisions hereof shall be a complete defense to any suit, action or proceeding instituted in any federal, state or local court or before any administrative tribunal with respect to any controversy or dispute arising during the period of this
Agreement and which is arbitrable as herein set forth. The arbitration provisions hereof shall, with respect to such controversy or dispute, survive the termination of this Agreement. 
 (iv) Notwithstanding anything to the contrary provided herein, any reimbursement of attorneys’ fees and related expenses required under this
Section 15 shall be made by the Company upon or as soon as practicable following receipt of supporting documentation reasonably satisfactory to the Company (but in any event not later than the close of Employee’s taxable year following the
taxable year in which the fee or expense is incurred by Employee); provided, however, that upon Employee’s termination of employment with the Company, in no event shall any additional reimbursement be made prior to the date that is six months
after the date of Employee’s termination of employment to the extent such payment delay is required under Section 409A(a)(2)(B)(i) of the Code. In no event shall any reimbursement be made to Employee for such fees and disbursements
incurred after the later of (i) Employee’s death or (ii) the date that is ten years after the date of Employee’s termination of employment with the Company. 
  

 15 

 16. 409A Payment Date. Notwithstanding anything to the contrary provided herein, if the payment of any amount or
benefit under this Agreement would be subject to additional taxes and interest under Section 409A of the Code because the timing of such payment is not delayed as provided in Section 409A(a)(2)(B)(i) of the Code and the regulations
thereunder, then any such payment or benefit that Employee would otherwise be entitled to during the first six months following the date of Employee’ s termination of employment shall be accumulated and paid or provided, as applicable, on the
date that is six months after the date of Employee’s termination of employment (or if such date does not fall on a business day of the Company, the next following business day of the Company), or such earlier date upon which such amount can be
paid or provided under Section 409A of the Code without being subject to such additional taxes and interest. Employee hereby agrees to be bound by the Company’s determination of its “specified employees” (as such term is defined
in Section 409A of the Code) in accordance with any of the methods permitted under the regulations issued under Section 409A of the Code. 
 17.
Withholding. The Company may, to the extent required by law, withhold applicable federal, state and local income and other taxes from any payments due to the Employee hereunder. 
 18. Entire Agreement. This Agreement constitutes the entire agreement between the parties and supersedes all other prior agreements concerning the effect of a Change in Control on the relationship between the
Company and Employee (including, without limitation that certain Executive Severance Agreement between BJ Services Company and Employee that was entered into as of
                                        ).

 IN WITNESS WHEREOF, the Company and Employee have entered into this Agreement as of the day and year first above written. 
  

			
	 BJ SERVICES COMPANY

		
	By:	 	  

		 	J. W. Stewart
		 	President, Chairman and
		 	Chief Executive Officer
	
	 EMPLOYEE

	
	  

	Employee Name

  

 16 

	
	If to the Company:
	
	BJ Services Company
	4601 Westway Park Boulevard
	Houston, Texas 77041
	Attention: Secretary and General Counsel
	
	
	If to the Employee:
	
	  

	
	  

	
	  

  

 17 

 Attachment A 
 WAIVER AND RELEASE AGREEMENT 
 By this Waiver and Release Agreement (“Release”), except as
provided below with respect to the Executive Severance Agreement, I,
                                        ,
waive and release all rights, claims, charges, demands and causes of action against BJ Services Company (the “Company”), its subsidiaries and affiliates (collectively, the “Employer”), and their officers, directors, employees and
agents, of any kind or character, both past and present, known or unknown, including those arising under any state or federal statute, regulation or the common law (contract, tort or other), which relate to my employment or termination of employment
with the Employer, including any alleged discriminatory employment practices, including age discrimination claims, or which relate to any other matter whatsoever, except as set out below. 
 In exchange for this Release, I acknowledge the right to good and sufficient consideration in the form of benefits under the Executive Severance
Agreement between the Company and myself, dated
                                        ,
which provides, inter alia, for a lump sum payment, the continuation of certain welfare benefits and outplacement services. I understand that I am not entitled to receive any benefits under the Executive Severance Agreement except in return for this
Release. However, this Release shall not serve to waive or release any rights or claims that I may have under the Executive Severance Agreement or that may arise after the date this Release is executed. In addition, this release shall not serve to
waive or release any rights or claims that I may have with respect to (i) rights under stock-based incentive plans arising in connection with a change in control, (ii) rights under directors’ and officers’ indemnification
insurance, (iii) rights of indemnity under articles of incorporation, bylaws, contracts, law, or otherwise, (iv) rights under Company-sponsored retirement plans, including, without limitation “401(k)” plans and “Rabbi
trusts,” and (v) rights under the Company’s “KEYSOP” (Key Executive Stock Option Plan) and arrangements for deferred compensation. 
 I acknowledge that the Employer has advised me to consult with an attorney prior to executing this Release. I understand that anyone who succeeds to my rights and responsibilities, such as my heirs or the executor of
my estate, shall also be bound by the terms of this Release. 
 This Release shall be interpreted and construed in accordance with and shall
be governed by the laws of the State of Texas, except to the extent that Federal law may apply. 
 I acknowledge that I have carefully read
this Release, that I have had the opportunity to review it with my attorney, that I fully understand the provisions and their final and binding effect, that the only promises made to me to sign this Release are those stated herein, that this Release
is the only agreement of its kind arising out of my employment relationship with the Employer and that I am signing this Release knowingly and voluntarily. 
 After having the opportunity to consider this Release as stated above, I hereby accept the terms and conditions stated in it. 
  

 18Warrant to Purchase up to 949,571 shares of Common Stock

 Exhibit 4.1 
 WARRANT TO PURCHASE COMMON STOCK 
 THE SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT WHILE A REGISTRATION STATEMENT RELATING THERETO IS IN EFFECT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS
OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT OR SUCH LAWS. THIS INSTRUMENT IS ISSUED SUBJECT TO THE RESTRICTIONS ON TRANSFER AND OTHER PROVISIONS OF A SECURITIES PURCHASE AGREEMENT BETWEEN THE ISSUER OF THESE SECURITIES AND THE
INVESTOR REFERRED TO THEREIN, A COPY OF WHICH IS ON FILE WITH THE ISSUER. THE SECURITIES REPRESENTED BY THIS INSTRUMENT MAY NOT BE SOLD OR OTHERWISE TRANSFERRED EXCEPT IN COMPLIANCE WITH SAID AGREEMENT. ANY SALE OR OTHER TRANSFER NOT IN COMPLIANCE
WITH SAID AGREEMENT WILL BE VOID. 
 WARRANT 
 To Purchase 
         949,571         
 Shares of
Common Stock 
 of Lakeland Bancorp, Inc. 
 Issue Date: February 6, 2009 
 1. Definitions. Unless the context otherwise requires,
when used herein the following terms shall have the meanings indicated. 
 “Affiliate” has the meaning ascribed to it in the
Purchase Agreement. 
 “Appraisal Procedure” means a procedure whereby two independent appraisers, one chosen by the Company
and one by the Original Warrantholder, shall mutually agree upon the determinations then the subject of appraisal. Each party shall deliver a notice to the other appointing its appraiser within 15 days after the Appraisal Procedure is invoked. If
within 30 days after appointment of the two appraisers they are unable to agree upon the amount in question, a third independent appraiser shall be chosen within 10 days thereafter by the mutual consent of such first two appraisers. The decision of
the third appraiser so appointed and chosen shall be given within 30 days after the selection of such third appraiser. If three appraisers shall be appointed and the determination of one appraiser is disparate from the middle determination by more
than twice the amount by which the other determination is disparate from the middle determination, then the determination of such appraiser shall be excluded, the remaining two determinations shall be averaged and such average shall be binding and
conclusive upon the Company and the Original Warrantholder; otherwise, the average of all three determinations shall be binding upon the Company and the Original Warrantholder. The costs of conducting any Appraisal Procedure shall be borne by the
Company. 
 “Board of Directors” means the board of directors of the Company, including any duly authorized committee
thereof. 
 “Business Combination” means a merger, consolidation, statutory share exchange or similar transaction that
requires the approval of the Company’s stockholders. 

 “business day” means any day except Saturday, Sunday and any day on which banking
institutions in the State of New York generally are authorized or required by law or other governmental actions to close. 
 “Capital
Stock” means (A) with respect to any Person that is a corporation or company, any and all shares, interests, participations or other equivalents (however designated) of capital or capital stock of such Person and (B) with respect
to any Person that is not a corporation or company, any and all partnership or other equity interests of such Person. 
 “Charter” means, with respect to any Person, its certificate or articles of incorporation, articles of association, or similar organizational document. 
 “Common Stock” has the meaning ascribed to it in the Purchase Agreement. 
 “Company” means the Person whose name, corporate or other organizational form and jurisdiction of organization is set forth in
Item 1 of Schedule A hereto. 
 “conversion” has the meaning set forth in Section 13(B). 
 “convertible securities” has the meaning set forth in Section 13(B). 
 “CPP” has the meaning ascribed to it in the Purchase Agreement. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended, or any successor statute, and the rules and regulations
promulgated thereunder. 
 “Exercise Price” means the amount set forth in Item 2 of Schedule A hereto. 
 “Expiration Time” has the meaning set forth in Section 3. 
 “Fair Market Value” means, with respect to any security or other property, the fair market value of such security or other property as
determined by the Board of Directors, acting in good faith or, with respect to Section 14, as determined by the Original Warrantholder acting in good faith. For so long as the Original Warrantholder holds this Warrant or any portion thereof, it
may object in writing to the Board of Director’s calculation of fair market value within 10 days of receipt of written notice thereof. If the Original Warrantholder and the Company are unable to agree on fair market value during the 10-day
period following the delivery of the Original Warrantholder’s objection, the Appraisal Procedure may be invoked by either party to determine Fair Market Value by delivering written notification thereof not later than the 30th day after delivery
of the Original Warrantholder’s objection. 
 “Governmental Entities” has the meaning ascribed to it in the Purchase
Agreement. 
 “Initial Number” has the meaning set forth in Section 13(B). 
 “Issue Date” means the date set forth in Item 3 of Schedule A hereto. 
 “Market Price” means, with respect to a particular security, on any given day, the last reported sale price regular way or, in case no
such reported sale takes place on such day, the average of the last closing bid and ask prices regular way, in either case on the principal national securities exchange on which the applicable securities are listed or admitted to trading, or if not
listed or admitted to trading on any national securities exchange, the average of the closing bid and ask prices as furnished by two 

 
members of the Financial Industry Regulatory Authority, Inc. selected from time to time by the Company for that purpose. “Market Price” shall be
determined without reference to after hours or extended hours trading. If such security is not listed and traded in a manner that the quotations referred to above are available for the period required hereunder, the Market Price per share of Common
Stock shall be deemed to be (i) in the event that any portion of the Warrant is held by the Original Warrantholder, the fair market value per share of such security as determined in good faith by the Original Warrantholder or (ii) in all
other circumstances, the fair market value per share of such security as determined in good faith by the Board of Directors in reliance on an opinion of a nationally recognized independent investment banking corporation retained by the Company for
this purpose and certified in a resolution to the Warrantholder. For the purposes of determining the Market Price of the Common Stock on the “trading day” preceding, on or following the occurrence of an event, (i) that trading day
shall be deemed to commence immediately after the regular scheduled closing time of trading on the New York Stock Exchange or, if trading is closed at an earlier time, such earlier time and (ii) that trading day shall end at the next regular
scheduled closing time, or if trading is closed at an earlier time, such earlier time (for the avoidance of doubt, and as an example, if the Market Price is to be determined as of the last trading day preceding a specified event and the closing time
of trading on a particular day is 4:00 p.m. and the specified event occurs at 5:00 p.m. on that day, the Market Price would be determined by reference to such 4:00 p.m. closing price). 
 “Ordinary Cash Dividends” means a regular quarterly cash dividend on shares of Common Stock out of surplus or net profits legally
available therefor (determined in accordance with generally accepted accounting principles in effect from time to time), provided that Ordinary Cash Dividends shall not include any cash dividends paid subsequent to the Issue Date to the extent the
aggregate per share dividends paid on the outstanding Common Stock in any quarter exceed the amount set forth in Item 4 of Schedule A hereto, as adjusted for any stock split, stock dividend, reverse stock split, reclassification or similar
transaction. 
 “Original Warrantholder” means the United States Department of the Treasury. Any actions specified to be
taken by the Original Warrantholder hereunder may only be taken by such Person and not by any other Warrantholder. 
 “Permitted
Transactions” has the meaning set forth in Section 13(B). 
 “Person” has the meaning given to it in
Section 3(a)(9) of the Exchange Act and as used in Sections 13(d)(3) and 14(d)(2) of the Exchange Act. 
 “Per Share Fair Market
Value” has the meaning set forth in Section 13(C). 
 “Preferred Shares” means the perpetual preferred stock
issued to the Original Warrantholder on the Issue Date pursuant to the Purchase Agreement. 
 “Pro Rata Repurchases” means
any purchase of shares of Common Stock by the Company or any Affiliate thereof pursuant to (A) any tender offer or exchange offer subject to Section 13(e) or 14(e) of the Exchange Act or Regulation 14E promulgated thereunder or
(B) any other offer available to substantially all holders of Common Stock, in the case of both (A) or (B), whether for cash, shares of Capital Stock of the Company, other securities of the Company, evidences of indebtedness of the Company
or any other Person or any other property (including, without limitation, shares of Capital Stock, other securities or evidences of indebtedness of a subsidiary), or any combination thereof, effected while this Warrant is outstanding. The
“Effective Date” of a Pro Rata Repurchase shall mean the date of acceptance of shares for purchase or exchange by the Company under any tender or exchange offer which is a Pro Rata Repurchase or the date of purchase with respect to any Pro
Rata Repurchase that is not a tender or exchange offer. 

 “Purchase Agreement” means the Securities Purchase Agreement – Standard Terms
incorporated into the Letter Agreement, dated as of the date set forth in Item 5 of Schedule A hereto, as amended from time to time, between the Company and the United States Department of the Treasury (the “Letter Agreement”),
including all annexes and schedules thereto. 
 “Qualified Equity Offering” has the meaning ascribed to it in the Purchase
Agreement. 
 “Regulatory Approvals” with respect to the Warrantholder, means, to the extent applicable and required to
permit the Warrantholder to exercise this Warrant for shares of Common Stock and to own such Common Stock without the Warrantholder being in violation of applicable law, rule or regulation, the receipt of any necessary approvals and authorizations
of, filings and registrations with, notifications to, or expiration or termination of any applicable waiting period under, the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and the rules and regulations thereunder. 
 “SEC” means the U.S. Securities and Exchange Commission. 
 “Securities Act” means the Securities Act of 1933, as amended, or any successor statute, and the rules and regulations promulgated thereunder. 
 “Shares” has the meaning set forth in Section 2. 
 “trading day” means (A) if the shares of Common Stock are not traded on any national or regional securities exchange or association or over-the-counter market, a business day or (B) if the
shares of Common Stock are traded on any national or regional securities exchange or association or over-the-counter market, a business day on which such relevant exchange or quotation system is scheduled to be open for business and on which the
shares of Common Stock (i) are not suspended from trading on any national or regional securities exchange or association or over-the-counter market for any period or periods aggregating one half hour or longer; and (ii) have traded at
least once on the national or regional securities exchange or association or over-the-counter market that is the primary market for the trading of the shares of Common Stock. 
 “U.S. GAAP” means United States generally accepted accounting principles. 
 “Warrantholder” has the meaning set forth in Section 2. 
 “Warrant” means this Warrant, issued pursuant to the Purchase Agreement. 
 2. Number of Shares; Exercise Price. This certifies that, for value received, the United States Department of the Treasury or its permitted
assigns (the “Warrantholder”) is entitled, upon the terms and subject to the conditions hereinafter set forth, to acquire from the Company, in whole or in part, after the receipt of all applicable Regulatory Approvals, if any, up to an
aggregate of the number of fully paid and nonassessable shares of Common Stock set forth in Item 7 of Schedule A hereto, at a purchase price per share of Common Stock equal to the Exercise Price. The number of shares of Common Stock (the
“Shares”) and the Exercise Price are subject to adjustment as provided herein, and all references to “Common Stock,” “Shares” and “Exercise Price” herein shall be deemed to include any such adjustment or
series of adjustments. 
 3. Exercise of Warrant; Term. Subject to Section 2, to the extent permitted by applicable laws and
regulations, the right to purchase the Shares represented by this Warrant is exercisable, in whole or in part by the Warrantholder, at any time or from time to time after the execution and delivery of this Warrant by the Company on the date hereof,
but in no event later than 5:00 p.m., New York City time on 

 
the tenth anniversary of the Issue Date (the “Expiration Time”), by (A) the surrender of this Warrant and Notice of Exercise annexed hereto,
duly completed and executed on behalf of the Warrantholder, at the principal executive office of the Company located at the address set forth in Item 8 of Schedule A hereto (or such other office or agency of the Company in the United States as
it may designate by notice in writing to the Warrantholder at the address of the Warrantholder appearing on the books of the Company), and (B) payment of the Exercise Price for the Shares thereby purchased: 
 (i) by having the Company withhold, from the shares of Common Stock that would otherwise be delivered to the Warrantholder upon such exercise, shares of
Common stock issuable upon exercise of the Warrant equal in value to the aggregate Exercise Price as to which this Warrant is so exercised based on the Market Price of the Common Stock on the trading day on which this Warrant is exercised and the
Notice of Exercise is delivered to the Company pursuant to this Section 3, or 
 (ii) with the consent of both the Company and the
Warrantholder, by tendering in cash, by certified or cashier’s check payable to the order of the Company, or by wire transfer of immediately available funds to an account designated by the Company. If the Warrantholder does not exercise this
Warrant in its entirety, the Warrantholder will be entitled to receive from the Company within a reasonable time, and in any event not exceeding three business days, a new warrant in substantially identical form for the purchase of that number of
Shares equal to the difference between the number of Shares subject to this Warrant and the number of Shares as to which this Warrant is so exercised. Notwithstanding anything in this Warrant to the contrary, the Warrantholder hereby acknowledges
and agrees that its exercise of this Warrant for Shares is subject to the condition that the Warrantholder will have first received any applicable Regulatory Approvals. 
 4. Issuance of Shares; Authorization; Listing. Certificates for Shares issued upon exercise of this Warrant will be issued in such name or names as the Warrantholder may designate and will be delivered to such
named Person or Persons within a reasonable time, not to exceed three business days after the date on which this Warrant has been duly exercised in accordance with the terms of this Warrant. The Company hereby represents and warrants that any Shares
issued upon the exercise of this Warrant in accordance with the provisions of Section 3 will be duly and validly authorized and issued, fully paid and nonassessable and free from all taxes, liens and charges (other than liens or charges created
by the Warrantholder, income and franchise taxes incurred in connection with the exercise of the Warrant or taxes in respect of any transfer occurring contemporaneously therewith). The Company agrees that the Shares so issued will be deemed to have
been issued to the Warrantholder as of the close of business on the date on which this Warrant and payment of the Exercise Price are delivered to the Company in accordance with the terms of this Warrant, notwithstanding that the stock transfer books
of the Company may then be closed or certificates representing such Shares may not be actually delivered on such date. The Company will at all times reserve and keep available, out of its authorized but unissued Common Stock, solely for the purpose
of providing for the exercise of this Warrant, the aggregate number of shares of Common Stock then issuable upon exercise of this Warrant at any time. The Company will (A) procure, at its sole expense, the listing of the Shares issuable upon
exercise of this Warrant at any time, subject to issuance or notice of issuance, on all principal stock exchanges on which the Common Stock is then listed or traded and (B) maintain such listings of such Shares at all times after issuance. The
Company will use reasonable best efforts to ensure that the Shares may be issued without violation of any applicable law or regulation or of any requirement of any securities exchange on which the Shares are listed or traded. 
 5. No Fractional Shares or Scrip. No fractional Shares or scrip representing fractional Shares shall be issued upon any exercise of this Warrant.
In lieu of any fractional Share to which the Warrantholder would otherwise be entitled, the Warrantholder shall be entitled to receive a cash payment equal to the Market Price of the Common Stock on the last trading day preceding the date of
exercise less the pro-rated Exercise Price for such fractional share. 

 6. No Rights as Stockholders; Transfer Books. This Warrant does not entitle the Warrantholder to
any voting rights or other rights as a stockholder of the Company prior to the date of exercise hereof. The Company will at no time close its transfer books against transfer of this Warrant in any manner which interferes with the timely exercise of
this Warrant. 
 7. Charges, Taxes and Expenses. Issuance of certificates for Shares to the Warrantholder upon the exercise of this
Warrant shall be made without charge to the Warrantholder for any issue or transfer tax or other incidental expense in respect of the issuance of such certificates, all of which taxes and expenses shall be paid by the Company. 
 8. Transfer/Assignment. 
 (A) Subject
to compliance with clause (B) of this Section 8, this Warrant and all rights hereunder are transferable, in whole or in part, upon the books of the Company by the registered holder hereof in person or by duly authorized attorney, and a new
warrant shall be made and delivered by the Company, of the same tenor and date as this Warrant but registered in the name of one or more transferees, upon surrender of this Warrant, duly endorsed, to the office or agency of the Company described in
Section 3. All expenses (other than stock transfer taxes) and other charges payable in connection with the preparation, execution and delivery of the new warrants pursuant to this Section 8 shall be paid by the Company. 
 (B) The transfer of the Warrant and the Shares issued upon exercise of the Warrant are subject to the restrictions set forth in Section 4.4 of the
Purchase Agreement. If and for so long as required by the Purchase Agreement, this Warrant shall contain the legends as set forth in Sections 4.2(a) and 4.2(b) of the Purchase Agreement. 
 9. Exchange and Registry of Warrant. This Warrant is exchangeable, upon the surrender hereof by the Warrantholder to the Company, for a new
warrant or warrants of like tenor and representing the right to purchase the same aggregate number of Shares. The Company shall maintain a registry showing the name and address of the Warrantholder as the registered holder of this Warrant. This
Warrant may be surrendered for exchange or exercise in accordance with its terms, at the office of the Company, and the Company shall be entitled to rely in all respects, prior to written notice to the contrary, upon such registry. 
 10. Loss, Theft, Destruction or Mutilation of Warrant. Upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft,
destruction or mutilation of this Warrant, and in the case of any such loss, theft or destruction, upon receipt of a bond, indemnity or security reasonably satisfactory to the Company, or, in the case of any such mutilation, upon surrender and
cancellation of this Warrant, the Company shall make and deliver, in lieu of such lost, stolen, destroyed or mutilated Warrant, a new Warrant of like tenor and representing the right to purchase the same aggregate number of Shares as provided for in
such lost, stolen, destroyed or mutilated Warrant. 
 11. Saturdays, Sundays, Holidays, etc. If the last or appointed day for the
taking of any action or the expiration of any right required or granted herein shall not be a business day, then such action may be taken or such right may be exercised on the next succeeding day that is a business day. 
 12. Rule 144 Information. The Company covenants that it will use its reasonable best efforts to timely file all reports and other documents
required to be filed by it under the Securities Act and the 

 
Exchange Act and the rules and regulations promulgated by the SEC thereunder (or, if the Company is not required to file such reports, it will, upon the
request of any Warrantholder, make publicly available such information as necessary to permit sales pursuant to Rule 144 under the Securities Act), and it will use reasonable best efforts to take such further action as any Warrantholder may
reasonably request, in each case to the extent required from time to time to enable such holder to, if permitted by the terms of this Warrant and the Purchase Agreement, sell this Warrant without registration under the Securities Act within the
limitation of the exemptions provided by (A) Rule 144 under the Securities Act, as such rule may be amended from time to time, or (B) any successor rule or regulation hereafter adopted by the SEC. Upon the written request of any
Warrantholder, the Company will deliver to such Warrantholder a written statement that it has complied with such requirements. 
 13.
Adjustments and Other Rights. The Exercise Price and the number of Shares issuable upon exercise of this Warrant shall be subject to adjustment from time to time as follows; provided, that if more than one subsection of this Section 13
is applicable to a single event, the subsection shall be applied that produces the largest adjustment and no single event shall cause an adjustment under more than one subsection of this Section 13 so as to result in duplication: 
 (A) Stock Splits, Subdivisions, Reclassifications or Combinations. If the Company shall (i) declare and pay a dividend or make a distribution
on its Common Stock in shares of Common Stock, (ii) subdivide or reclassify the outstanding shares of Common Stock into a greater number of shares, or (iii) combine or reclassify the outstanding shares of Common Stock into a smaller number
of shares, the number of Shares issuable upon exercise of this Warrant at the time of the record date for such dividend or distribution or the effective date of such subdivision, combination or reclassification shall be proportionately adjusted so
that the Warrantholder after such date shall be entitled to purchase the number of shares of Common Stock which such holder would have owned or been entitled to receive in respect of the shares of Common Stock subject to this Warrant after such date
had this Warrant been exercised immediately prior to such date. In such event, the Exercise Price in effect at the time of the record date for such dividend or distribution or the effective date of such subdivision, combination or reclassification
shall be adjusted to the number obtained by dividing (x) the product of (1) the number of Shares issuable upon the exercise of this Warrant before such adjustment and (2) the Exercise Price in effect immediately prior to the record or
effective date, as the case may be, for the dividend, distribution, subdivision, combination or reclassification giving rise to this adjustment by (y) the new number of Shares issuable upon exercise of the Warrant determined pursuant to the
immediately preceding sentence. 
 (B) Certain Issuances of Common Shares or Convertible Securities. Until the earlier of (i) the
date on which the Original Warrantholder no longer holds this Warrant or any portion thereof and (ii) the third anniversary of the Issue Date, if the Company shall issue shares of Common Stock (or rights or warrants or other securities
exercisable or convertible into or exchangeable (collectively, a “conversion”) for shares of Common Stock) (collectively, “convertible securities”) (other than in Permitted Transactions (as defined below) or a transaction to
which subsection (A) of this Section 13 is applicable) without consideration or at a consideration per share (or having a conversion price per share) that is less than 90% of the Market Price on the last trading day preceding the date of
the agreement on pricing such shares (or such convertible securities) then, in such event: 
 (A) the number of Shares issuable upon the
exercise of this Warrant immediately prior to the date of the agreement on pricing of such shares (or of such convertible securities) (the “Initial Number”) shall be increased to the number obtained by multiplying the Initial Number by a
fraction (A) the numerator of which shall be the sum of (x) the number of shares of Common Stock of the Company outstanding on such date and (y) the number of additional shares of Common Stock issued (or into 

 
which convertible securities may be exercised or convert) and (B) the denominator of which shall be the sum of (I) the number of shares of Common
Stock outstanding on such date and (II) the number of shares of Common Stock which the aggregate consideration receivable by the Company for the total number of shares of Common Stock so issued (or into which convertible securities may be exercised
or convert) would purchase at the Market Price on the last trading day preceding the date of the agreement on pricing such shares (or such convertible securities); and 
 (B) the Exercise Price payable upon exercise of the Warrant shall be adjusted by multiplying such Exercise Price in effect immediately prior to the date of the agreement on pricing of such shares (or of such
convertible securities) by a fraction, the numerator of which shall be the number of shares of Common Stock issuable upon exercise of this Warrant prior to such date and the denominator of which shall be the number of shares of Common Stock issuable
upon exercise of this Warrant immediately after the adjustment described in clause (A) above. 
 For purposes of the foregoing, the
aggregate consideration receivable by the Company in connection with the issuance of such shares of Common Stock or convertible securities shall be deemed to be equal to the sum of the net offering price (including the Fair Market Value of any
non-cash consideration and after deduction of any related expenses payable to third parties) of all such securities plus the minimum aggregate amount, if any, payable upon exercise or conversion of any such convertible securities into shares of
Common Stock; and “Permitted Transactions” shall mean issuances (i) as consideration for or to fund the acquisition of businesses and/or related assets, (ii) in connection with employee benefit plans and compensation related
arrangements in the ordinary course and consistent with past practice approved by the Board of Directors, (iii) in connection with a public or broadly marketed offering and sale of Common Stock or convertible securities for cash conducted by
the Company or its affiliates pursuant to registration under the Securities Act or Rule 144A thereunder on a basis consistent with capital raising transactions by comparable financial institutions and (iv) in connection with the exercise of
preemptive rights on terms existing as of the Issue Date. Any adjustment made pursuant to this Section 13(B) shall become effective immediately upon the date of such issuance. 
 (C) Other Distributions. In case the Company shall fix a record date for the making of a distribution to all holders of shares of its Common Stock
of securities, evidences of indebtedness, assets, cash, rights or warrants (excluding Ordinary Cash Dividends, dividends of its Common Stock and other dividends or distributions referred to in Section 13(A)), in each such case, the Exercise
Price in effect prior to such record date shall be reduced immediately thereafter to the price determined by multiplying the Exercise Price in effect immediately prior to the reduction by the quotient of (x) the Market Price of the Common Stock
on the last trading day preceding the first date on which the Common Stock trades regular way on the principal national securities exchange on which the Common Stock is listed or admitted to trading without the right to receive such distribution,
minus the amount of cash and/or the Fair Market Value of the securities, evidences of indebtedness, assets, rights or warrants to be so distributed in respect of one share of Common Stock (such amount and/or Fair Market Value, the “Per Share
Fair Market Value”) divided by (y) such Market Price on such date specified in clause (x); such adjustment shall be made successively whenever such a record date is fixed. In such event, the number of Shares issuable upon the exercise of
this Warrant shall be increased to the number obtained by dividing (x) the product of (1) the number of Shares issuable upon the exercise of this Warrant before such adjustment, and (2) the Exercise Price in effect immediately prior
to the distribution giving rise to this adjustment by (y) the new Exercise Price determined in accordance with the immediately preceding sentence. In the case of adjustment for a cash dividend that is, or is coincident with, a regular quarterly

 
cash dividend, the Per Share Fair Market Value would be reduced by the per share amount of the portion of the cash dividend that would constitute an Ordinary
Cash Dividend. In the event that such distribution is not so made, the Exercise Price and the number of Shares issuable upon exercise of this Warrant then in effect shall be readjusted, effective as of the date when the Board of Directors determines
not to distribute such shares, evidences of indebtedness, assets, rights, cash or warrants, as the case may be, to the Exercise Price that would then be in effect and the number of Shares that would then be issuable upon exercise of this Warrant if
such record date had not been fixed. 
 (D) Certain Repurchases of Common Stock. In case the Company effects a Pro Rata Repurchase of
Common Stock, then the Exercise Price shall be reduced to the price determined by multiplying the Exercise Price in effect immediately prior to the Effective Date of such Pro Rata Repurchase by a fraction of which the numerator shall be (i) the
product of (x) the number of shares of Common Stock outstanding immediately before such Pro Rata Repurchase and (y) the Market Price of a share of Common Stock on the trading day immediately preceding the first public announcement by the
Company or any of its Affiliates of the intent to effect such Pro Rata Repurchase, minus (ii) the aggregate purchase price of the Pro Rata Repurchase, and of which the denominator shall be the product of (i) the number of shares of Common
Stock outstanding immediately prior to such Pro Rata Repurchase minus the number of shares of Common Stock so repurchased and (ii) the Market Price per share of Common Stock on the trading day immediately preceding the first public announcement
by the Company or any of its Affiliates of the intent to effect such Pro Rata Repurchase. In such event, the number of shares of Common Stock issuable upon the exercise of this Warrant shall be increased to the number obtained by dividing
(x) the product of (1) the number of Shares issuable upon the exercise of this Warrant before such adjustment, and (2) the Exercise Price in effect immediately prior to the Pro Rata Repurchase giving rise to this adjustment by
(y) the new Exercise Price determined in accordance with the immediately preceding sentence. For the avoidance of doubt, no increase to the Exercise Price or decrease in the number of Shares issuable upon exercise of this Warrant shall be made
pursuant to this Section 13(D). 
 (E) Business Combinations. In case of any Business Combination or reclassification of Common
Stock (other than a reclassification of Common Stock referred to in Section 13(A)), the Warrantholder’s right to receive Shares upon exercise of this Warrant shall be converted into the right to exercise this Warrant to acquire the number
of shares of stock or other securities or property (including cash) which the Common Stock issuable (at the time of such Business Combination or reclassification) upon exercise of this Warrant immediately prior to such Business Combination or
reclassification would have been entitled to receive upon consummation of such Business Combination or reclassification; and in any such case, if necessary, the provisions set forth herein with respect to the rights and interests thereafter of the
Warrantholder shall be appropriately adjusted so as to be applicable, as nearly as may reasonably be, to the Warrantholder’s right to exercise this Warrant in exchange for any shares of stock or other securities or property pursuant to this
paragraph. In determining the kind and amount of stock, securities or the property receivable upon exercise of this Warrant following the consummation of such Business Combination, if the holders of Common Stock have the right to elect the kind or
amount of consideration receivable upon consummation of such Business Combination, then the consideration that the Warrantholder shall be entitled to receive upon exercise shall be deemed to be the types and amounts of consideration received by the
majority of all holders of the shares of common stock that affirmatively make an election (or of all such holders if none make an election). 
 (F) Rounding of Calculations; Minimum Adjustments. All calculations under this Section 13 shall be made to the nearest one-tenth (1/10th) of a cent or to the nearest onehundredth (1/100th) of a share, as the case may
be. Any provision of this Section 13 to the contrary notwithstanding, no adjustment in the Exercise Price or the number of Shares into which this Warrant is exercisable shall be made if the amount of such adjustment would be less than $0.01 or
one-tenth (1/10th) of a share of Common Stock, but any such amount shall be carried forward and an adjustment with respect thereto shall be made at the time of and together with any subsequent adjustment which, together with such amount and any
other amount or amounts so carried forward, shall aggregate $0.01 or 1/10th of a share of Common Stock, or more. 

 (G) Timing of Issuance of Additional Common Stock Upon Certain Adjustments. In any case in which
the provisions of this Section 13 shall require that an adjustment shall become effective immediately after a record date for an event, the Company may defer until the occurrence of such event (i) issuing to the Warrantholder of this
Warrant exercised after such record date and before the occurrence of such event the additional shares of Common Stock issuable upon such exercise by reason of the adjustment required by such event over and above the shares of Common Stock issuable
upon such exercise before giving effect to such adjustment and (ii) paying to such Warrantholder any amount of cash in lieu of a fractional share of Common Stock; provided, however, that the Company upon request shall deliver to such
Warrantholder a due bill or other appropriate instrument evidencing such Warrantholder’s right to receive such additional shares, and such cash, upon the occurrence of the event requiring such adjustment. 
 (H) Completion of Qualified Equity Offering. In the event the Company (or any successor by Business Combination) completes one or more Qualified
Equity Offerings on or prior to December 31, 2009 that result in the Company (or any such successor ) receiving aggregate gross proceeds of not less than 100% of the aggregate liquidation preference of the Preferred Shares (and any preferred
stock issued by any such successor to the Original Warrantholder under the CPP), the number of shares of Common Stock underlying the portion of this Warrant then held by the Original Warrantholder shall be thereafter reduced by a number of shares of
Common Stock equal to the product of (i) 0.5 and (ii) the number of shares underlying the Warrant on the Issue Date (adjusted to take into account all other theretofore made adjustments pursuant to this Section 13). 
 (I) Other Events. For so long as the Original Warrantholder holds this Warrant or any portion thereof, if any event occurs as to which the
provisions of this Section 13 are not strictly applicable or, if strictly applicable, would not, in the good faith judgment of the Board of Directors of the Company, fairly and adequately protect the purchase rights of the Warrants in
accordance with the essential intent and principles of such provisions, then the Board of Directors shall make such adjustments in the application of such provisions, in accordance with such essential intent and principles, as shall be reasonably
necessary, in the good faith opinion of the Board of Directors, to protect such purchase rights as aforesaid. The Exercise Price or the number of Shares into which this Warrant is exercisable shall not be adjusted in the event of a change in the par
value of the Common Stock or a change in the jurisdiction of incorporation of the Company. 
 (J) Statement Regarding Adjustments.
Whenever the Exercise Price or the number of Shares into which this Warrant is exercisable shall be adjusted as provided in Section 13, the Company shall forthwith file at the principal office of the Company a statement showing in reasonable
detail the facts requiring such adjustment and the Exercise Price that shall be in effect and the number of Shares into which this Warrant shall be exercisable after such adjustment, and the Company shall also cause a copy of such statement to be
sent by mail, first class postage prepaid, to each Warrantholder at the address appearing in the Company’s records. 
 (K) Notice of
Adjustment Event. In the event that the Company shall propose to take any action of the type described in this Section 13 (but only if the action of the type described in this Section 13 would result in an adjustment in the Exercise
Price or the number of Shares into which this Warrant is exercisable or a change in the type of securities or property to be delivered upon exercise of this Warrant), the Company shall give notice to the Warrantholder, in the manner set forth in
Section 13(J), which notice shall specify the record date, if any, with respect to any such action and the approximate date on which such action is to take place. Such notice shall also set forth the facts with respect thereto as shall be

 
reasonably necessary to indicate the effect on the Exercise Price and the number, kind or class of shares or other securities or property which shall be
deliverable upon exercise of this Warrant. In the case of any action which would require the fixing of a record date, such notice shall be given at least 10 days prior to the date so fixed, and in case of all other action, such notice shall be given
at least 15 days prior to the taking of such proposed action. Failure to give such notice, or any defect therein, shall not affect the legality or validity of any such action. 
 (L) Proceedings Prior to Any Action Requiring Adjustment. As a condition precedent to the taking of any action which would require an adjustment
pursuant to this Section 13, the Company shall take any action which may be necessary, including obtaining regulatory, New York Stock Exchange, or stockholder approvals or exemptions, in order that the Company may thereafter validly and legally
issue as fully paid and nonassessable all shares of Common Stock that the Warrantholder is entitled to receive upon exercise of this Warrant pursuant to this Section 13. 
 (M) Adjustment Rules. Any adjustments pursuant to this Section 13 shall be made successively whenever an event referred to herein shall
occur. If an adjustment in Exercise Price made hereunder would reduce the Exercise Price to an amount below par value of the Common Stock, then such adjustment in Exercise Price made hereunder shall reduce the Exercise Price to the par value of the
Common Stock. 
 14. Exchange. At any time following the date on which the shares of Common Stock of the Company are no longer listed
or admitted to trading on a national securities exchange (other than in connection with any Business Combination), the Original Warrantholder may cause the Company to exchange all or a portion of this Warrant for an economic interest (to be
determined by the Original Warrantholder after consultation with the Company) of the Company classified as permanent equity under U.S. GAAP having a value equal to the Fair Market Value of the portion of the Warrant so exchanged. The Original
Warrantholder shall calculate any Fair Market Value required to be calculated pursuant to this Section 14, which shall not be subject to the Appraisal Procedure. 
 15. No Impairment. The Company will not, by amendment of its Charter or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary
action, avoid or seek to avoid the observance or performance of any of the terms to be observed or performed hereunder by the Company, but will at all times in good faith assist in the carrying out of all the provisions of this Warrant and in taking
of all such action as may be necessary or appropriate in order to protect the rights of the Warrantholder. 
 16. Governing Law. This
Warrant will be governed by and construed in accordance with the federal law of the United States if and to the extent such law is applicable, and otherwise in accordance with the laws of the State of New York applicable to contracts made and to be
performed entirely within such State. Each of the Company and the Warrantholder agrees (a) to submit to the exclusive jurisdiction and venue of the United States District Court for the District of Columbia for any action, suit or proceeding
arising out of or relating to this Warrant or the transactions contemplated hereby, and (b) that notice may be served upon the Company at the address in Section 20 below and upon the Warrantholder at the address for the Warrantholder set
forth in the registry maintained by the Company pursuant to Section 9 hereof. To the extent permitted by applicable law, each of the Company and the Warrantholder hereby unconditionally waives trial by jury in any legal action or proceeding
relating to the Warrant or the transactions contemplated hereby or thereby. 
 17. Binding Effect. This Warrant shall be binding upon
any successors or assigns of the Company. 

 18. Amendments. This Warrant may be amended and the observance of any term of this Warrant may be
waived only with the written consent of the Company and the Warrantholder. 
 19. Prohibited Actions. The Company agrees that it will
not take any action which would entitle the Warrantholder to an adjustment of the Exercise Price if the total number of shares of Common Stock issuable after such action upon exercise of this Warrant, together with all shares of Common Stock then
outstanding and all shares of Common Stock then issuable upon the exercise of all outstanding options, warrants, conversion and other rights, would exceed the total number of shares of Common Stock then authorized by its Charter. 
 20. Notices. Any notice, request, instruction or other document to be given hereunder by any party to the other will be in writing and will be
deemed to have been duly given (a) on the date of delivery if delivered personally, or by facsimile, upon confirmation of receipt, or (b) on the second business day following the date of dispatch if delivered by a recognized next day
courier service. All notices hereunder shall be delivered as set forth in Item 9 of Schedule A hereto, or pursuant to such other instructions as may be designated in writing by the party to receive such notice. 
 21. Entire Agreement. This Warrant, the forms attached hereto and Schedule A hereto (the terms of which are incorporated by reference herein), and
the Letter Agreement (including all documents incorporated therein), contain the entire agreement between the parties with respect to the subject matter hereof and supersede all prior and contemporaneous arrangements or undertakings with respect
thereto. 
 [Remainder of page intentionally left blank] 

 [Form of Notice of Exercise] 
 Date:                      
 TO: Lakeland Bancorp, Inc. 
 RE: Election to Purchase Common Stock

 The undersigned, pursuant to the provisions set forth in the attached Warrant, hereby agrees to subscribe for and purchase the number of
shares of the Common Stock set forth below covered by such Warrant. The undersigned, in accordance with Section 3 of the Warrant, hereby agrees to pay the aggregate Exercise Price for such shares of Common Stock in the manner set forth below. A
new warrant evidencing the remaining shares of Common Stock covered by such Warrant, but not yet subscribed for and purchased, if any, should be issued in the name set forth below. 
 Number of Shares of Common Stock
                                        

 Method of Payment of Exercise Price (note if cashless exercise pursuant to Section 3(i) of the Warrant or cash exercise pursuant to
Section 3(ii) of the Warrant, with consent of the Company and the Warrantholder) 
 Aggregate Exercise Price:
                                        

  

			
	 Holder:
	 	  

			
	 By:
	 	  

			
	 Name:
	 	  

			
	 Title:
	 	  

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by a duly authorized
officer. 
 Dated: February 6, 2009 
  

			
	COMPANY: Lakeland Bancorp, Inc.
		
	By:	 	 /s/ Thomas J. Shara

	Name:	 	Thomas J. Shara
	Title:	 	President & Chief Executive Officer
		
	Attest:	 	
		
	By:	 	 /s/ Timothy J. Matteson

	Name:	 	Timothy J. Matteson, Esq.
	Title:	 	Senior Vice President & General Counsel

 [Signature Page to Warrant] 

 SCHEDULE A 
 Item 1 
 Name: Lakeland Bancorp, Inc. 
 Corporate or other organizational form: Corporation 
 Jurisdiction of organization: New Jersey 
 Item 2 
 Exercise Price: $9.321 
 Item 3 

 Issue Date: February 6, 2009 
 Item 4

 Amount of last dividend declared prior to the Issue Date: $0.10 
 Item 5 
 Date of Letter Agreement between the Company and the United States Department of the 
 Treasury: February 6, 2009 
 Item 6 
 Number of shares of Common Stock: 949,571 shares 
 Item 7

 Company’s address: 250 Oak Ridge Road, Oak Ridge, New Jersey 07438 
 Item 8 
 Notice information: 
 Thomas J. Shara 
 President & CEO 
 250 Oak
Ridge Road 
 Oak Ridge, New Jersey 07438 
 Phone:
(973) 697-2000 
 E-mail: tshara@lakelandbank.com 
  

	 1
	 Initial exercise price to be calculated based on the average of closing prices of the Common Stock on the 20 trading
days ending on the last trading day prior to the date the Company’s application for participation in the Capital Purchase Program was approved by the United States Department of the Treasury.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00152-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00152-of-00352.parquet"}]]