Document:

EX-10.1

 Exhibit 10.1 

Execution Version 
  

 
  

$750,000,000 
 CREDIT AGREEMENT

 among 
 HENRY SCHEIN, INC.,

 as Borrower, 
 The Several
Lenders Parties Hereto, 
 JPMORGAN CHASE BANK, N.A., 

as Administrative Agent, 
 U.S.
BANK NATIONAL ASSOCIATION, 
 as Syndication Agent, 

Dated as of April 18, 2017 
  

 
  

JPMORGAN CHASE BANK, N.A., 
 and

 U.S. BANK NATIONAL ASSOCIATION, 

as Joint Lead Arrangers and Joint Bookrunners 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	 Section 1.  
	 	DEFINITIONS	  	 	1	 
			
	 1.1  
	 	Defined Terms	  	 	1	 
			
	 1.2  
	 	Other Definitional Provisions	  	 	26	 
			
	 1.3  
	 	Rounding	  	 	27	 
			
	 1.4  
	 	References to Agreements and Laws	  	 	27	 
			
	 Section 2.  
	 	AMOUNT AND TERMS OF COMMITMENTS	  	 	28	 
			
	 2.1  
	 	Revolving Credit Commitments	  	 	28	 
			
	 2.2  
	 	Procedure for Revolving Credit Borrowing	  	 	28	 
			
	 2.3  
	 	[Reserved]	  	 	29	 
			
	 2.4  
	 	[Reserved]	  	 	29	 
			
	 2.5  
	 	Fees	  	 	29	 
			
	 2.6  
	 	Termination or Reduction of Commitments	  	 	30	 
			
	 2.7  
	 	Increase in Commitments	  	 	30	 
			
	 2.8  
	 	Repayment of Revolving Credit Loans	  	 	32	 
			
	 Section 3.  
	 	CERTAIN PROVISIONS APPLICABLE TO THE LOANS	  	 	32	 
			
	 3.1  
	 	Optional and Mandatory Prepayments	  	 	32	 
			
	 3.2  
	 	Conversion and Continuation Options	  	 	33	 
			
	 3.3  
	 	Maximum Number of Tranches	  	 	33	 
			
	 3.4  
	 	Interest Rates and Payment Dates	  	 	33	 
			
	 3.5  
	 	Computation of Interest and Fees	  	 	34	 
			
	 3.6  
	 	Inability to Determine Interest Rate	  	 	35	 
			
	 3.7  
	 	Pro Rata Treatment and Payments	  	 	35	 
			
	 3.8  
	 	Illegality	  	 	37	 
			
	 3.9  
	 	Requirements of Law	  	 	37	 
			
	 3.10
	 	Taxes	  	 	39	 
			
	 3.11
	 	Break Funding Payments	  	 	43	 
			
	 3.12
	 	Change of Lending Office	  	 	44	 
			
	 3.13
	 	Replacement of Lenders	  	 	44	 
			
	 3.14
	 	Defaulting Lenders	  	 	44	 
			
	 3.15
	 	Evidence of Debt	  	 	46	 

  
 i 

							
	 Section 4.  
	 	LETTERS OF CREDIT	  	 	47	 
			
	 4.1  
	 	L/C Commitment	  	 	47	 
			
	 4.2  
	 	Procedure for Issuance of Letter of Credit	  	 	47	 
			
	 4.3  
	 	Fees and Other Charges	  	 	48	 
			
	 4.4  
	 	L/C Participations	  	 	48	 
			
	 4.5  
	 	Reimbursement Obligation of the Borrower	  	 	49	 
			
	 4.6  
	 	Obligations Absolute	  	 	50	 
			
	 4.7  
	 	Letter of Credit Payments	  	 	50	 
			
	 4.8  
	 	Cash Collateralization	  	 	51	 
			
	 4.9  
	 	Letter of Credit Rules	  	 	51	 
			
	 Section 5.  
	 	REPRESENTATIONS AND WARRANTIES	  	 	52	 
			
	 5.1  
	 	Financial Condition	  	 	52	 
			
	 5.2  
	 	No Material Adverse Change	  	 	52	 
			
	 5.3  
	 	Organization; Powers	  	 	52	 
			
	 5.4  
	 	Authorization; Enforceability	  	 	53	 
			
	 5.5  
	 	Governmental Approvals; No Conflicts	  	 	53	 
			
	 5.6  
	 	No Material Litigation	  	 	53	 
			
	 5.7  
	 	Compliance with Laws and Agreements	  	 	54	 
			
	 5.8  
	 	Taxes	  	 	54	 
			
	 5.9  
	 	Purpose of Loans	  	 	54	 
			
	 5.10
	 	Environmental Matters	  	 	54	 
			
	 5.11
	 	Disclosure	  	 	54	 
			
	 5.12
	 	Ownership of Property: Liens	  	 	55	 
			
	 5.13
	 	ERISA	  	 	55	 
			
	 5.14
	 	[Reserved]	  	 	55	 
			
	 5.15
	 	Investment and Holding Company Status	  	 	55	 
			
	 5.16
	 	Guarantors	  	 	55	 
			
	 5.17
	 	Anti-Corruption Laws and Sanctions	  	 	56	 
			
	 5.18
	 	EEA Financial Institutions	  	 	56	 

  
 ii 

							
			
	 Section 6.  
	 	CONDITIONS PRECEDENT	  	 	56	 
			
	 6.1  
	 	Conditions to Initial Loans and Letters of Credit	  	 	56	 
			
	 6.2  
	 	Conditions to Each Loan and Letter of Credit	  	 	58	 
			
	 Section 7.  
	 	AFFIRMATIVE COVENANTS	  	 	58	 
			
	 7.1  
	 	Financial Statements	  	 	58	 
			
	 7.2  
	 	Certificates; Other Information	  	 	59	 
			
	 7.3  
	 	Conduct of Business and Maintenance of Existence	  	 	60	 
			
	 7.4  
	 	Payment of Obligations	  	 	60	 
			
	 7.5  
	 	Maintenance of Properties	  	 	61	 
			
	 7.6  
	 	Maintenance of Insurance	  	 	61	 
			
	 7.7  
	 	Books and Records	  	 	61	 
			
	 7.8  
	 	Inspection Rights	  	 	61	 
			
	 7.9  
	 	Compliance with Laws	  	 	62	 
			
	 7.10
	 	Use of Proceeds	  	 	62	 
			
	 7.11
	 	Notices	  	 	62	 
			
	 7.12
	 	Guarantors	  	 	63	 
			
	 Section 8.  
	 	NEGATIVE COVENANTS	  	 	63	 
			
	 8.1  
	 	Financial Covenant	  	 	63	 
			
	 8.2  
	 	Limitation on Liens	  	 	63	 
			
	 8.3  
	 	Limitation on Indebtedness	  	 	65	 
			
	 8.4  
	 	Fundamental Changes	  	 	66	 
			
	 8.5  
	 	Dispositions	  	 	67	 
			
	 8.6  
	 	ERISA	  	 	67	 
			
	 8.7  
	 	Transactions with Affiliates	  	 	68	 
			
	 8.8  
	 	Restrictive Agreements	  	 	68	 
			
	 8.9  
	 	Use of Proceeds	  	 	69	 
			
	 Section 9.  
	 	EVENTS OF DEFAULT	  	 	69	 
			
	 Section 10.  
	 	THE ADMINISTRATIVE AGENT	  	 	71	 
			
	 10.1
	 	Appointment	  	 	71	 
			
	 10.2
	 	Delegation of Duties	  	 	72	 

  
 iii 

							
			
	 10.3  
	 	Exculpatory Provisions	  	 	72	 
			
	 10.4  
	 	Reliance by Administrative Agent	  	 	72	 
			
	 10.5  
	 	Notice of Default	  	 	73	 
			
	 10.6  
	 	Non-Reliance on Administrative Agent and Other Lenders	  	 	74	 
			
	 10.7  
	 	Indemnification	  	 	74	 
			
	 10.8  
	 	Administrative Agent in Its Individual Capacity	  	 	75	 
			
	 10.9  
	 	Successor Administrative Agent	  	 	75	 
			
	 10.10
	 	The Joint Lead Arrangers and the Syndication Agent	  	 	75	 
			
	 Section 11.  
	 	MISCELLANEOUS	  	 	76	 
			
	 11.1  
	 	Amendments and Waivers	  	 	76	 
			
	 11.2  
	 	Notices	  	 	77	 
			
	 11.3  
	 	No Waiver; Cumulative Remedies	  	 	78	 
			
	 11.4  
	 	Survival of Representations and Warranties	  	 	78	 
			
	 11.5  
	 	Payment of Expenses and Taxes	  	 	78	 
			
	 11.6  
	 	Successors and Assigns; Participations and Assignments	  	 	79	 
			
	 11.7  
	 	Adjustments; Set-off	  	 	83	 
			
	 11.8  
	 	Counterparts	  	 	84	 
			
	 11.9  
	 	Severability	  	 	84	 
			
	 11.10
	 	Integration	  	 	85	 
			
	 11.11
	 	GOVERNING LAW	  	 	85	 
			
	 11.12
	 	Submission To Jurisdiction; Waivers	  	 	85	 
			
	 11.13
	 	Acknowledgements	  	 	85	 
			
	 11.14
	 	Confidentiality	  	 	86	 
			
	 11.15
	 	USA Patriot Act	  	 	87	 
			
	 11.16
	 	Judgment	  	 	87	 
			
	 11.17
	 	WAIVERS OF JURY TRIAL	  	 	87	 
			
	 11.18
	 	No Fiduciary Duty	  	 	87	 
			
	 11.19
	 	Acknowledgement and Consent to Bail-In of EEA Financial Institutions	  	 	88	 

  
 iv 

 SCHEDULES 
  

			
	Schedule I	  	Names and Revolving Credit Commitments of Lenders
	Schedule II	  	Existing Letters of Credit
	Schedule 5.10	  	Disclosed Matters
	Schedule 8.2	  	Liens
	Schedule 8.3	  	Subsidiary Indebtedness
	Schedule 8.8	  	Restrictive Agreements

 EXHIBITS 

 

			
	Exhibit A	  	Form of Revolving Credit Loan Borrowing Notice
	Exhibit B	  	[Reserved]
	Exhibit C	  	Form of Assumption Agreement
	Exhibit D	  	[Reserved]
	Exhibit E	  	Form of Note
	Exhibit F	  	[Reserved]
	Exhibit G	  	Form of Compliance Certificate
	Exhibit H	  	Form of Assignment and Acceptance
	Exhibit I	  	Form of Guarantee
	Exhibit J	  	Form of U.S. Tax Compliance Certificate

  
 vi 

 CREDIT AGREEMENT, dated as of April 18, 2017, among (i) Henry Schein, Inc., a Delaware
corporation (the “Borrower”), (ii) the several Lenders party hereto (the “Lenders”), (iii) JPMorgan Chase Bank, N.A., as administrative agent and (iv) U.S. Bank National Association, as syndication
agent (in such capacity, the “Syndication Agent”). 
 The parties hereto hereby agree as follows: 

SECTION 1. DEFINITIONS 
 1.1
Defined Terms. 
 As used in this Agreement, the following terms shall have the following meanings: 

“ABR”: for any day, a rate per annum (rounded upwards, if necessary, to the next 1/100 of 1%) equal to the greatest of
(a) the Prime Rate in effect on such day, (b) the NYFRB Rate in effect on such day plus 0.50% and (c) the Adjusted LIBO Rate for a LIBOR Loan with a one-month Interest Period commencing on such day plus 1.0%; provided that, for
the avoidance of doubt, the Adjusted LIBO Rate for any day shall be based on the LIBO Screen Rate at approximately 11:00 a.m. London time on such day. For purposes hereof: “Prime Rate” shall mean the rate of interest per annum
publicly announced from time to time by JPMCB as its prime rate in effect at its principal office in New York City (the Prime Rate not being intended to be the lowest rate of interest charged by JPMCB in connection with extensions of credit to
debtors). Any change in the ABR due to a change in the Prime Rate, the NYFRB Rate or such Adjusted LIBO Rate shall be effective as of the opening of business on the effective day of such change in the Prime Rate, the NYFRB Rate or such Adjusted LIBO
Rate, respectively. 
 “ABR Loans”: Revolving Credit Loans bearing interest at a rate per annum determined by reference to
the ABR. 
 “Act”: as defined in subsection 11.15. 

“Adjusted LIBO Rate”: with respect to any LIBOR Loan for any Interest Period, an interest rate per annum (rounded
upwards, if necessary, to the next 1/16 of 1%) equal to (a) the LIBO Rate for such Interest Period multiplied by (b) the Statutory Reserve Rate. 

“Administrative Agent”: JPMCB and any of its Affiliates, as the Administrative Agent for the Lenders under this Agreement and
the other Loan Documents. 
 “Administrative Questionnaire”: an administrative questionnaire in a form supplied by the
Administrative Agent. 
 “Affiliate”: as to any Person, any other Person (other than a Subsidiary) which, directly or
indirectly, is in control of, is controlled by, or is under common control with, such Person. For purposes of this definition, “control” of a Person means the power, directly or indirectly, either to (a) vote 25% or more of the
securities having ordinary voting power for the election of directors of (or persons performing similar functions for) such Person or (b) direct or cause the direction of the management and policies of such Person, whether by contract or
otherwise. 

 “Agents”: the collective reference to the Administrative Agent, the Joint Lead
Arrangers and the Syndication Agent. 
 “Aggregate Available Multicurrency Commitments”: as at any time of determination,
an amount in Dollars equal to the sum of the Available Multicurrency Commitments of all Lenders at such time. 
 “Aggregate
Available Revolving Credit Commitments”: as at any time of determination with respect to all Lenders, an amount in Dollars equal to the sum of the Available Revolving Credit Commitments of all Lenders at such time. 

“Aggregate Multicurrency Commitments”: the obligations of the Lenders to make Multicurrency Loans hereunder in an aggregate
principal amount at any one time outstanding not to exceed $500,000,000. 
 “Aggregate Multicurrency Outstandings”: as at
any time of determination with respect to any Lender, the Dollar Equivalent of the principal amount of such Lender’s outstanding Multicurrency Loans at such time. 

“Aggregate Revolving Credit Commitments”: as at any time of determination, the aggregate amount of the Revolving Credit
Commitments of all of the Lenders at such time. The amount of the Aggregate Revolving Credit Commitments hereunder on the Closing Date is $750,000,000. 

“Aggregate Revolving Credit Outstandings”: as at any time of determination with respect to any Lender, an amount in Dollars
equal to the sum of (a) the aggregate unpaid principal amount of such Lender’s Revolving Credit Loans (in the case of outstanding Multicurrency Loans, Aggregate Multicurrency Outstandings) on such date plus (b) such Lender’s
Revolving Credit Commitment Percentage of the L/C Obligations. 
 “Agreement”: this Credit Agreement, as amended,
supplemented or otherwise modified from time to time. 
 “Anti-Corruption Laws”: all laws, rules, and regulations of any
jurisdiction applicable to the Borrower or any of its Affiliates from time to time concerning or relating to bribery or corruption. 

  
 2 

 “Applicable Margin”: with respect to each day for LIBOR Loans, and with respect
to each ABR Loan, a rate per annum equal to (a) until delivery of financial statements for the second full fiscal quarter commencing on or after the Closing Date pursuant to subsection 7.1, 0.795% with respect to LIBOR Loans and 0% with respect
to ABR Loans, and (b) at any time thereafter, the applicable rate per annum based on the Consolidated Leverage Ratio for such day, as set forth under the relevant column heading below: 

 

							
	
        Tier      
  
	  	 Consolidated

Leverage Ratio
	  	
Applicable Margin
for LIBOR Loans (bps)
	  	
Applicable Margin
for ABR Loans (bps)

	I	  	>2.75:1.00	  	107.5	  	7.5
	II	  	£2.75:1.00 but >2.25:1.00	  	100.0	  	0
	III	  	£2.25:1.00 but >1.75:1.00	  	90.0	  	0
	IV	  	£1.75:1.00 but >0.75:1.00	  	79.5	  	0
	V	  	£0.75:1.00	  	69.0	  	0

 The Applicable Margin for the purpose of paragraph (b) above will be set on the day which is five
Business Days following the receipt by the Administrative Agent of the financial statements referenced in subsection 7.1(a) or subsection 7.1(b), as the case may be, and shall apply to all ABR Loans and LIBOR Loans (i.e., existing, new or additional
Loans, or Loans which are continuations or conversions) then outstanding (i.e., subject to the below provisions, outstanding ABR Loans and LIBOR Loans shall bear interest at the new Applicable Margin from and after the date any such margin is reset
in accordance with the provisions hereof; prior to such time, such ABR Loans and LIBOR Loans shall accrue interest based on the Applicable Margin relating to the period immediately prior to the time such margin is reset in accordance with the
provisions hereof) or to be made on or after such date until, but not including, the next date on which the Applicable Margin is reset in accordance with the provisions hereof; provided, however, that notwithstanding the foregoing, if any
financial statements are not received by the Administrative Agent within the time period relating to such financial statements as provided in subsection 7.1(a) or subsection 7.1(b) as the case may be, the Applicable Margin on all ABR Loans and LIBOR
Loans then outstanding or to be made on or after the date the Applicable Margin should have been reset in accordance with the foregoing provisions (i.e., assuming timely delivery of the requisite financial statements), until the day which is five
Business Days following the receipt by the Administrative Agent of such financial statements, will be 1.075% for LIBOR Loans and 0.075% for ABR Loans; and further provided, however, that the Lenders shall not in any way be deemed to have waived any
Event of Default or any remedies hereunder (including, without limitation, remedies provided in Section 9) in connection with the provisions of the foregoing proviso. 

“Applicable Payment Office”: the office specified from time to time by the Administrative Agent as its Applicable Payment
Office by notice to the Borrower and the relevant Lenders (it being understood that such Applicable Payment Office shall mean (i) with respect to Loans denominated in Dollars, the office of the Administrative Agent specified in subsection 11.2
or such other office as may be specified from time to time by the Administrative Agent to the Borrower and each Lender and (ii) with respect to Loans denominated in an Available Foreign Currency, the office, branch, affiliate or correspondent
bank of the Administrative Agent for such currency as specified from time to time by the Administrative Agent to the Borrower and each Lender, until otherwise notified by the Administrative Agent. 

“Application”: an application, in such form as each Issuing Lender may specify from time to time, requesting the Issuing
Lender to issue a Letter of Credit. 

  
 3 

 “Approved Fund”: as defined in subsection 11.6(b). 

“Assignee”: as defined in subsection 11.6(b)(i). 

“Assignment and Acceptance”: as defined in subsection 11.6(b)(ii)(A). 

“Assuming Lenders”: as defined in subsection 2.7(a). 

“Assumption Agreement”: as defined in subsection 2.7(b)(ii). 

“Attorney Costs”: all reasonable fees and disbursements of any law firm or other external counsel. 

“AUD Screen Rate”: with respect to any Interest Period for any Loans in Australian Dollars, the average bid reference rate as
administered by the Australian Financial Markets Association (or any other Person that takes over the administration of that rate) for AUD bills of exchange with a tenor equal in length to such Interest Period, as displayed on page BBSY of the
Reuters screen or, in the event such rate does not appear on such Reuters page, on any successor or substitute page on such screen that displays such rate, or on the appropriate page of such other information service that publishes such rate as
selected by the Administrative Agent from time to time in its reasonable discretion. 
 “Australian Dollars”: the lawful
currency of Australia. 
 “Available Foreign Currencies”: Euro, Japanese Yen, Australian Dollars, Canadian Dollars, Pounds
Sterling, Swiss Francs, Hong Kong Dollars, Singapore Dollars and any other available and freely-convertible non-Dollar currency in which dealings in deposits are carried out in the London interbank market which are selected by the Borrower and
approved by the Administrative Agent and each of the Lenders. 
 “Available Multicurrency Commitment”: as at any time of
determination with respect to any Lender, an amount in Dollars equal to the excess, if any, of (a) the amount of such Lender’s Multicurrency Commitment in effect at such time over (b) the Dollar Equivalent of the Aggregate
Multicurrency Outstandings of such Lender at such time. 
 “Available Revolving Credit Commitment”: as at any time of
determination with respect to any Lender, an amount in Dollars equal to the excess, if any, of (a) the amount of such Lender’s Revolving Credit Commitment in effect at such time over (b) the Aggregate Revolving Credit
Outstandings of such Lender at such time. 
 “Bail-In Action”: the exercise of any Write-Down and Conversion Powers by the
applicable EEA Resolution Authority in respect of any liability of an EEA Financial Institution. 
 “Bail-In Legislation”:
with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law for such EEA Member Country from time to time which is described in the
EU Bail-In Legislation Schedule. 

  
 4 

 “Bankruptcy Event”: with respect to any Person, such Person becomes the subject
of a bankruptcy or insolvency proceeding, or has had a receiver, conservator, trustee, administrator, custodian, assignee for the benefit of creditors or similar Person charged with the reorganization or liquidation of its business appointed for it,
or, in the good faith determination of the Administrative Agent, has taken any action in furtherance of, or indicating its consent to, approval of, or acquiescence in, any such proceeding or appointment, provided that, for the avoidance of doubt, a
Bankruptcy Event shall not result solely by virtue of (a) any ownership interest, or the acquisition of any ownership interest, in such Person by a Governmental Authority or instrumentality thereof or (b) in the case of a solvent Person,
the precautionary appointment of an administrator, guardian, custodian or other similar official by a Governmental Authority under or based on the law of the country where such Person is subject to home jurisdiction supervision if the applicable law
of such jurisdiction requires that such appointment not be publicly disclosed, provided, further that, in any such case, such ownership interest or action, as applicable, does not result in or provide such Person with immunity from the jurisdiction
of courts within the United States or from the enforcement of judgments or writs of attachment on its assets or permit such Person (or such Governmental Authority or instrumentality) to reject, repudiate, disavow or disaffirm any contracts or
agreements made by such Person. 
 “Borrower”: as defined in the preamble hereto. 

“Borrowing”: any extension of credit under this Agreement. 

“Borrowing Date”: any Business Day specified in a notice pursuant to Section 2 or Section 4 as a date on which the
Borrower requests the Lenders to extend credit, make Loans or issue Letters of Credit hereunder. 
 “British Pounds Sterling”
and “Pounds Sterling”: the lawful currency of the United Kingdom of Great Britain and Northern Ireland. 
 “Business
Day”: a day other than a Saturday, Sunday or other day on which commercial banks in New York City are authorized or required by law to close; provided, that (a) if such day relates to any Multicurrency Loan denominated in a
currency other than Euro, such term shall also mean any such day on which dealings in deposits in the relevant currency are conducted by and between banks in the applicable foreign currency or foreign exchange interbank market but shall exclude any
day on which banks are not open for general business in the principal financial center of the country of that currency, (b) if such day relates to any Multicurrency Loan denominated in Euro, such term shall also mean a Target Operating Day that
is also a London Business Day, and (c) if such day relates to any LIBOR Loan in Dollars, such term shall mean a day other than a Saturday, Sunday or other day on which commercial banks in New York City are authorized or required by law to close
which is also a London Business Day. 
 “Calculation Date”: the last Business Day of each calendar month and such other
date as may be reasonably determined by the Administrative Agent. 
 “Canadian Dollars”: the lawful currency of Canada.

  
 5 

 “Capital Lease Obligations”: as to any Person, the obligations of such Person to
pay rent or other amounts under any lease of (or other arrangement conveying the right to use) real or personal property, or a combination thereof, which obligations are required to be classified and accounted for as capital leases on a balance
sheet of such Person under GAAP and, for the purposes of this Agreement, the amount of such obligations at any time shall be the capitalized amount thereof at such time determined in accordance with GAAP (without giving effect to any subsequent
changes in GAAP arising out of a change described in the Proposed Accounting Standards Update to Leases (Topic 840) dated August 17, 2010, or a substantially similar pronouncement, in each case, if such change would require treating any lease
(or similar arrangement conveying the right to use) as a capital lease where such lease (or similar arrangement) would not have been required to be so treated under GAAP as in effect on the date hereof). 

“CDOR Screen Rate”: with respect to any Interest Period for any Loans in Canadian Dollars, the average rate for bankers
acceptances as administered by the Investment Industry Regulatory Organization of Canada (or any other Person that takes over the administration of that rate) with a tenor equal in length to such Interest Period, as displayed on CDOR page of the
Reuters screen or, in the event such rate does not appear on such Reuters page, on any successor or substitute page on such screen or service that displays such rate, or on the appropriate page of such other information service that publishes such
rate as shall be selected from time to time by the Administrative Agent in its reasonable discretion. 
 “Change in
Control”: any Person or “group” (within the meaning of Section 13(d) or 14(d) of the Securities Exchange Act of 1934, as amended) (A) shall have acquired beneficial ownership of 50% or more of any outstanding class of
equity interests having ordinary voting power in the election of the directors of the Borrower (other than the aggregate beneficial ownership of the Persons who are officers or directors of the Borrower on the Closing Date) or (B) shall obtain
(i) the power (whether or not exercised) to elect a majority of the Borrower’s directors or (ii) the board of directors of the Borrower shall not consist of a majority of Continuing Directors. 

“CLO”: as defined in subsection 11.6(b). 

“Closing Date”: the date on which the conditions precedent set forth in subsection 6.1 shall be satisfied (or waived in
accordance with subsection 11.1). 
 “Code”: the Internal Revenue Code of 1986, as amended from time to time. 

  
 6 

 “Commitment Fee Rate”: for each day during each calculation period, a rate per
annum equal to (a) until delivery of financial statements for the second full fiscal quarter commencing on or after the Closing Date pursuant to subsection 7.1, 0.08%, and (b) at any time thereafter, the rate per annum based on the
Consolidated Leverage Ratio for such day, as set forth below: 
  

					
	 Tier
	  	 Consolidated Leverage Ratio
	  	Commitment
Fee Rate (bps)
	I	  	>2.75:1.00	  	17.5
	II	  	<2.75:1.00 but >2.25:1.00	  	12.5
	III	  	<2.25:1.00 but >1.75:1.00	  	10.0
	IV	  	<1.75:1.00 but >0.75:1.00	  	8.0
	V	  	<0.75:1.00	  	6.0

 The applicable Commitment Fee Rate for the purpose of paragraph (b) above will be set on the day which is five Business
Days following the receipt by the Administrative Agent of the financial statements referenced in subsection 7.1(a) or subsection 7.1(b), as the case may be, and shall apply until, but not including, the next date on which the applicable Commitment
Fee Rate is reset in accordance with the provisions hereof; provided, however, that notwithstanding the foregoing, if any financial statements are not received by the Administrative Agent within the time period relating to such financial statements
as provided in subsection 7.1(a) or subsection 7.1(b), as the case may be, the applicable Commitment Fee Rate will be 0.175% until the day which is five Business Days following the receipt by the Administrative Agent of such financial statements;
and further provided, however, that the Lenders shall not in any way be deemed to have waived any Event of Default or any remedies hereunder (including, without limitation, remedies provided in Section 9) in connection with the provisions of
the foregoing proviso. 
 “Commitment Increase Date”: as defined in subsection 2.7(a). 

“Commitment Period”: the period from and including the Closing Date to but not including the Termination Date. 

“Commitments”: the collective reference to the Revolving Credit Commitments, Multicurrency Commitments and L/C Commitment.

 “Commodity Exchange Act”: the Commodity Exchange Act (7 U.S.C. § 1 et seq.), as amended from time to time, and any
successor statute. 
 “Confidential Information Memorandum”: the Confidential Information Memorandum dated March, 2017
relating to the Borrower and this Agreement. 
 “Consolidated EBITDA”: for any period, Consolidated Operating Income plus,
without duplication, (a) Consolidated Interest Income, (b) depreciation, (c) amortization and (d) the Designated Charges of the Borrower and its Subsidiaries for such period, determined on a consolidated basis and as calculated
consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended December 31, 2016. 

“Consolidated Gross Profit”: for any period, net sales less cost of sales of the Borrower and its Subsidiaries for such
period, determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended December 31, 2016. 

  
 7 

 “Consolidated Interest Income”: for any period, the interest income of the
Borrower and its Subsidiaries for such period, determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended
December 31, 2016. 
 “Consolidated Leverage Ratio”: at any date of determination, the ratio of (a) Consolidated
Total Debt on such date to (b) Consolidated EBITDA for the period of the four fiscal quarters ending on (or most recently ended prior to) such date. 

“Consolidated Operating Expenses”: for any period, total expenses related to salaries, employee benefits and general and
administrative expenses of the Borrower and its Subsidiaries determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year
ended December 31, 2016. 
 “Consolidated Operating Income”: for any period, Consolidated Gross Profit less
Consolidated Operating Expenses of the Borrower and its Subsidiaries determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal
year ended December 31, 2016. 
 “Consolidated Total Assets”: at any date of determination, the net book value of all
assets of the Borrower and its Subsidiaries determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended
December 31, 2016. 
 “Consolidated Total Debt”: at any date of determination, the aggregate amount of all
Indebtedness of the Borrower and its Subsidiaries determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended
December 31, 2016. For the avoidance of doubt, Indebtedness permitted pursuant to subsection 8.3(b)(ix) shall not be included in Consolidated Total Debt. 

“Continuing Directors”: as to the Borrower, the directors of the Borrower on the Closing Date and each other director of the
Borrower whose nomination for election to the Board of Directors of Borrower is recommended by a majority of the then Continuing Directors. 

“Contractual Obligation”: as to any Person, any provision of any security issued by such Person or of any agreement,
instrument or other undertaking to which such Person is a party or by which it or any of its property is bound. 
 “Credit
Party”: the Administrative Agent, the Issuing Lenders or any other Lender. 
 “Default”: any event or circumstance
that, with the giving of any notice, the passage of time, or both, would be an Event of Default. 
 “Defaulting Lender”:
any Lender that (a) has failed, within two Business Days of the date required to be funded or paid, to (i) fund any portion of its Loans, (ii) fund any portion of its participations in Letters of Credit or (iii) pay over to any
Credit Party any other amount required 

  
 8 

 
to be paid by it hereunder, unless, in the case of clause (i) above, such Lender notifies the Administrative Agent in writing that such failure is the result of such Lender’s good
faith determination that a condition precedent to funding (specifically identified and including the particular default, if any) has not been satisfied, (b) has notified the Borrower or any Credit Party in writing, or has made a public
statement to the effect, that it does not intend or expect to comply with any of its funding obligations under this Agreement (unless such writing or public statement indicates that such position is based on such Lender’s good faith
determination that a condition precedent (specifically identified and including the particular default, if any) to funding a loan under this Agreement cannot be satisfied) or generally under other agreements in which it commits to extend credit,
(c) has failed, within three Business Days after request by a Credit Party, acting in good faith, to provide a certification in writing from an authorized officer of such Lender that it will comply with its obligations (and is financially able
to meet such obligations) to fund prospective Loans and participations in then outstanding Letters of Credit under this Agreement, provided that such Lender shall cease to be a Defaulting Lender pursuant to this clause (c) upon such Credit
Party’s receipt of such certification in form and substance satisfactory to it and the Administrative Agent, (d) has become the subject of a Bankruptcy Event or (e) has become the subject of a Bail-In Action. 

“Designated Charges”: for any period, to the extent deducted in computing Consolidated Operating Income, the aggregate of
total (a) extraordinary, unusual or non-recurring charges and expenses and (b) restructuring, consolidation, transaction, integration or other similar charges and expenses; provided that the aggregate amount under this clause
(b) for any applicable period shall not exceed 10% of Consolidated EBITDA for such period; in each case, determined on a consolidated basis in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its
Annual Report on Form 10-K for the fiscal year ended December 31, 2016. 
 “Disclosed Matters”: the actions, suits and
proceedings and the environmental matters disclosed in Schedule 5.10. 
 “Disposition” or “Dispose”: the sale,
transfer, license or other disposition (including any sale and leaseback transaction) of any property by any Person, including any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable or any
rights and claims associated therewith. 
 “Disposition Value”: (a) in the case of property that does not constitute
Subsidiary Stock, the book value thereof, valued at the time of such Disposition in good faith by the Borrower, and (b) in the case of property that constitutes Subsidiary Stock, an amount equal to that percentage of book value of the assets of
the Subsidiary that issued such stock as is equal to the percentage that the book value of such Subsidiary Stock represents of the book value of all of the outstanding Equity Interests of such Subsidiary (assuming, in making such calculations, that
all securities convertible into such Equity Interests are so converted and giving full effect to all transactions that would occur or be required in connection with such conversion) determined at the time of the Disposition thereof, in good faith by
the Borrower. 

  
 9 

 “Dollar Equivalent”: with respect to an amount denominated in any currency other
than Dollars, the equivalent in Dollars of such amount determined at the Exchange Rate on the date of determination of such equivalent in accordance with the provisions of the next sentence. In making any determination of the Dollar Equivalent for
purposes of calculating the amount of Loans to be borrowed from the respective Lenders on any Borrowing Date, the Administrative Agent shall use the relevant Exchange Rate in effect on the date on which the interest rate for such Loans is determined
pursuant to the provisions of this Agreement and the other Loan Documents. 
 “Dollars” and “$”: lawful
currency of the United States of America. 
 “Domestic Subsidiary”: any Subsidiary other than a Foreign Subsidiary. 

“EEA Financial Institution”: (a) any institution established in any EEA Member Country which is subject to the
supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any institution established in an EEA Member
Country which is a subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent. 

“EEA Member Country”: any of the member states of the European Union, Iceland, Liechtenstein, and Norway. 

“EEA Resolution Authority”: any public administrative authority or any Person entrusted with public administrative authority
of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution. 

“EMU”: the economic and monetary union in accordance with the Treaty of Rome 1957, as amended by the Single European Act
1986, the Maastricht Treaty of 1992, the Amsterdam Treaty of 1998, the Treaty of Nice of 2001, and the Treaty of Lisbon of 2007. 

“EMU Legislation”: the legislative measures of the European Council for the introduction of, changeover to or operation of a
single or unified European currency. 
 “Environmental Laws”: all laws (including common law), rules, regulations, codes,
ordinances, orders, decrees, judgments, injunctions, written notices or written and binding agreements issued, promulgated or entered into by any Governmental Authority, relating to the pollution or the protection of the environment, preservation or
reclamation of natural resources, the management, release or threatened release of any explosive or radioactive substances or wastes or any hazardous or toxic substances, pollutants or wastes or workers health and safety requirements. 

“Environmental Liability”: any liability, contingent or otherwise (including any liability for damages, costs of
environmental remediation, fines, penalties or indemnities), of the Borrower or any Subsidiary directly or indirectly resulting from or based upon (a) violation of any Environmental Law, (b) the generation, use, handling, transportation,
storage, treatment or disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the release or threatened release of any Hazardous Materials into the environment or (e) a claim made pursuant to any written
contract, agreement or other written and binding consensual arrangement pursuant to which liability is assumed or imposed by or on Borrower or any of its Subsidiaries with respect to any of the foregoing. 

  
 10 

 “Equity Interests”: any and all shares of capital stock, partnership interests,
membership interests in a limited liability company, beneficial interests in a trust or other equity ownership interests in a Person, and any warrants, options or other rights entitling the holder thereof to purchase or acquire any such equity
interests. 
 “ERISA”: the Employee Retirement Income Security Act of 1974, as amended from time to time. 

“ERISA Affiliate”: any Person, trade or business (whether or not incorporated) that, together with the Borrower, is treated
as a single employer under Section 4001(b)(1) of ERISA or under Section 414(b) or (c) of the Code or, solely for purposes of Section 302 of ERISA and Section 412 of the Code, is treated as a single employer under
Section 414(b), (c), (m) or (o) of the Code. 
 “ERISA Event”: (a) any “reportable event”, as
defined in Section 4043 of ERISA or the regulations issued thereunder with respect to a Plan (other than an event for which the 30 day notice period is waived); (b) the existence with respect to any Plan of an “accumulated funding
deficiency” (as defined in Section 412 of the Code or Section 302 of ERISA), whether or not waived; (c) prior to January 1, 2017, any failure by any Plan to satisfy the minimum funding standards (within the meaning of
Section 412 of the code or Section 302 of ERISA) applicable to such Plan; (d) the filing pursuant to Section 412(d) of the Code or Section 303(d) of ERISA of an application for a waiver of the minimum funding standard with
respect to any Plan; (e) the incurrence by the Borrower or any of its ERISA Affiliates of any liability under Title IV of ERISA with respect to the termination of any Plan; (f) a determination that any Plan is in “at risk”
status (within the meaning of Section 430 of the Code or Title IV of ERISA; (g) the receipt by the Borrower or any of its ERISA Affiliates from the PBGC or a plan administrator of any notice relating to an intention to terminate any Plan
or Plans or to appoint a trustee to administer any Plan under Section 4042 of ERISA; (h) the incurrence by the Borrower or any of its ERISA Affiliates of any liability with respect to the withdrawal or partial withdrawal from any
Multiemployer Plan; or (i) the receipt by the Borrower or any ERISA Affiliate of any notice (x) imposing withdrawal liability under Title IV of ERISA or (y) stating that a Multiemployer Plan is, or is reasonably expected to be,
Insolvent (within the meaning of Title IV of ERISA). 
 “EU Bail-In Legislation Schedule”: the EU Bail-In Legislation
Schedule published by the Loan Market Association (or any successor Person), as in effect from time to time. 
 “Euro”: the
single currency of Participating Member States of the European Union. 
 “Eurocurrency Borrowing”: a Borrowing with respect
to which the rate of interest is determined by reference to the Adjusted LIBO Rate. 
 “Event of Default”: any of the
events specified in Section 9. 

  
 11 

 “Exchange Rate”: with respect to any non-Dollar currency on any date, the rate
at which such currency may be exchanged into Dollars, as set forth on such date on the relevant Reuters currency page at or about 11:00 A.M., Local Time, on such date. In the event that such rate does not appear on any Reuters currency page, the
“Exchange Rate” with respect to such non-Dollar currency shall be determined by reference to such other publicly available service for displaying exchange rates as may be agreed upon by the Administrative Agent and the Borrower or, in the
absence of such agreement, such “Exchange Rate” shall instead be the Spot Rate of exchange in the interbank market where its foreign currency exchange operations in respect of such non-Dollar currency are then being conducted, at or about
11:00 A.M., local time, on such date for the purchase of Dollars with such non-Dollar currency, for delivery two Business Days later; provided, that if at the time of any such determination, no such Spot Rate can reasonably be quoted, the
Administrative Agent after consultation with the Borrower may use any reasonable method as the Administrative Agent deems applicable to determine such rate, and such determination shall be conclusive absent manifest error. The Administrative Agent
shall determine the Exchange Rate on each Calculation Date. The Exchange Rates so determined shall become effective on the first Business Day immediately following the relevant Calculation Date (a “Reset Date”) or other
determination, shall remain effective until the next succeeding Reset Date, and shall for all purposes of this Agreement (other than subsection 11.16 or any other provision expressly requiring the use of a current Exchange Rate) be the Exchange
Rates employed in converting any amounts between US Dollars and Available Foreign Currencies. 
 “Excluded Swap
Obligation”: with respect to any Guarantor, (a) any Swap Obligation if, and to the extent that, and only for so long as, all or a portion of the guarantee of such Guarantor of, or the grant by such Guarantor of a security interest to
secure, as applicable, such Swap Obligation (or any guarantee thereof) is or becomes illegal under the Commodity Exchange Act or any rule, regulation or order of the Commodity Futures Trading Commission (or the application or official interpretation
of any thereof) by virtue of such Guarantor’s failure to constitute an “eligible contract participant,” as defined in the Commodity Exchange Act and the regulations thereunder, at the time the guarantee of (or grant of such security
interest by, as applicable) such Guarantor becomes or would become effective with respect to such Swap Obligation or (b) any other Swap Obligation designated as an “Excluded Swap Obligation” of such Guarantor as specified in any
agreement between the relevant Loan Parties and counterparty applicable to such Swap Obligations, and agreed by the Administrative Agent. If a Swap Obligation arises under a master agreement governing more than one Swap, such exclusion shall apply
only to the portion of such Swap Obligation that is attributable to Swaps for which such guarantee or security interest is or becomes illegal. 

“Existing Facility”: the Credit Agreement, dated as of September 12, 2012, as amended by that certain First Amendment,
dated as of September 22, 2014, among the Borrower, the several banks and other financial institutions or entities from time to time parties thereto as lenders, JPMCB, as administrative agent for the lenders thereunder, HSBC Bank USA, National
Association, as syndication agent and U.S. Bank, The Bank of Tokyo-Mitsubishi UFJ, Ltd., UniCredit Bank AG and The Bank of New York Mellon, as co-documentation agents and J.P. Morgan Securities LLC, as lead arranger and bookrunner. 

  
 12 

 “Existing Letters of Credit”: those letters of credit which are individually
described on Schedule II. 
 “Fair Market Value”: at any time and with respect to any property, the sale value of such
property that would be realized in an arm’s-length sale at such time between an informed and willing buyer and an informed and willing seller (neither being under a compulsion to buy or sell). 

“FATCA”: Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version that
is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof and any agreements entered into pursuant to Section 1471(b)(1) of the Code and any law,
regulation, rule, promulgation, guidance notes, practices or official agreement implementing an official government agreement with respect to the foregoing. 

“Federal Funds Effective Rate”: for any day, the rate calculated by the NY FRB based on such day’s federal funds
transactions by depositary institutions, as determined in such manner as the NYFRB shall set forth on its public website from time to time, and published on the next succeeding Business Day by the NYFRB as the federal funds effective rate, provided
that if the Federal Funds Effective Rate shall be less than zero, such rate shall be deemed to zero for the purposes of this Agreement. 

“Federal Reserve Bank”: any bank in the Federal Reserve System of the United States of America. 

“Federal Reserve Board”: the Board of Governors of the Federal Reserve System. 

“Fee Commencement Date”: the Closing Date. 

“Financing Lease”: any lease of property, real or personal, the obligations of the lessee in respect of which are Capital
Lease Obligations on a balance sheet of the lessee. 
 “Foreign Lender” any Lender or Issuing Lender that is not a
“United States person” as defined by section 7701(a)(30) of the Code. 
 “Foreign Subsidiary”: any Subsidiary
incorporated or otherwise organized in any jurisdiction outside the United States of America, its territories and possessions. 

“Funding Commitment Percentage”: as at any date of determination, with respect to any Lender, that percentage which the
Available Revolving Credit Commitment of such Lender then constitutes of the Aggregate Available Revolving Credit Commitments. 

“GAAP”: generally accepted accounting principles in the United States of America consistently applied with respect to those
utilized in preparing the audited financial statements referred to in subsection 5.1. 
 “Governmental Authority”: any
nation or government, any state or other political subdivision thereof and any entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government, including any supranational bodies (such as the
European Union or the European Central Bank). 

  
 13 

 “Guarantee Obligation”: as to any Person (the “guaranteeing
person”), any obligation of (a) the guaranteeing person or (b) another Person (including, without limitation, any bank under any letter of credit) to induce the creation of which the guaranteeing person has issued a reimbursement,
counterindemnity or similar obligation, in either case guaranteeing or in effect guaranteeing any Indebtedness, leases, dividends or other obligations (the “primary obligations”) of any other unrelated third Person (the
“primary obligor”) in any manner, whether directly or indirectly, including, without limitation, any obligation of the guaranteeing person, whether or not contingent, (i) to purchase any such primary obligation or any property
constituting direct or indirect security therefor, (ii) to advance or supply funds (1) for the purchase or payment of any such primary obligation or (2) to maintain working capital or equity capital of the primary obligor or otherwise
to maintain the net worth or solvency of the primary obligor, (iii) to purchase property, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to make
payment of such primary obligation or (iv) otherwise to assure or hold harmless the owner of any such primary obligation against loss in respect thereof; provided, however, that the term Guarantee Obligation shall not include
endorsements of instruments for deposit or collection in the ordinary course of business. The amount of any Guarantee Obligation shall be deemed to be an amount equal to the stated or determinable amount of the related primary obligation, or portion
thereof, in respect of which such Guarantee Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in good faith. 

“Guarantors”: any Subsidiary of the Borrower which guarantees any of the Indebtedness or other obligations incurred under the
Note Purchase Agreements, as amended, or any other debt securities or bank debt issued by the Borrower in an aggregate principal amount exceeding $200,000,000 (it being understood that undrawn commitments in respect of bank credit facilities shall
not constitute “bank debt” for purposes of this definition) and has entered into a Guarantee in the form of Exhibit I (or such other agreement in form and substance reasonably acceptable to the Majority Lenders). 

“Hazardous Material”: all explosive or radioactive substances or wastes and all hazardous or toxic substances, wastes or
other pollutants, including petroleum or petroleum distillates, asbestos or asbestos containing materials, polychlorinated biphenyls, radon gas, infectious or medical wastes and all other substances or wastes of any nature, to the extent regulated
pursuant to any Environmental Law. 
 “Hedging Agreement”: any interest rate protection agreement, foreign currency
exchange agreement, currency swap agreement, commodity price protection agreement or other interest or currency exchange rate or commodity price hedging arrangement. 

“HKD Screen Rate”: with respect to any Interest Period for any Loans in Hong Kong Dollars, the percentage rate per annum for
deposits in Hong Kong Dollars for a period beginning on the first day of such Interest Period and ending on the last day of such Interest Period, displayed under the heading “HKAB HKD Interest Settlement Rates” on the Reuters Screen
HKABHIBOR Page or, in the event such rate does not appear on such Reuters page, on any successor or substitute page on such screen that displays such rate, or on the appropriate page of such other information service that publishes such rate as
selected by the Administrative Agent from time to time in its reasonable discretion. 

  
 14 

 “Hong Kong Dollars”: the lawful currency of Hong Kong. 

“Impacted Interest Period” has the meaning assigned to it in the definition of “LIBO Rate.” 

“Increasing Lenders”: as defined in subsection 2.7(a). 

“Indebtedness”: of any Person at any date, without duplication, (a) all indebtedness of such Person for borrowed money,
(b) all obligations of such Person for the deferred purchase price of property or services, (c) all obligations of such Person evidenced by notes, bonds, debentures or other similar instruments, (d) all obligations of such person
created or arising under any conditional sale or other title retention agreement with respect to property acquired by such Person, (e) all Capital Lease Obligations of such Person, (f) all obligations of such Person, contingent or
otherwise, as an account party or applicant under or in respect of bankers’ acceptances, letters of credit, surety bonds or similar arrangements, (g) all indebtedness of such Person, determined in accordance with GAAP, arising out of a
Receivables Transaction, (h) all Guarantee Obligations of such Person; (i) all obligations of such Person secured by (or for which the holder of such obligation has an existing right, contingent or otherwise, to be secured by) any Lien on
property (including accounts and contract rights) owned by such Person, whether or not such Person has assumed or become liable for the payment of such obligation; provided, however, that in the event that liability of such Person is
non-recourse to such Person and is recourse only to specified property owned by such Person, the amount of Indebtedness attributed thereto shall not exceed the greater of the Fair Market Value of such property or the net book value of such property,
and (j) for the purposes of the definition of “Material Indebtedness” only (except to the extent otherwise included above), all obligations of such Person in respect of Swap Agreements; provided that for the purposes of the definition
of “Material Indebtedness,” the “principal amount” of the obligations of such Person in respect of any Swap Agreement at any time shall be the maximum aggregate amount (giving effect to any netting agreements) that such Person
would be required to pay if such Swap Agreement were terminated at such time. The Indebtedness of any Person shall include the Indebtedness of any other entity (including any partnership in which such Person is a general partner) to the extent such
Person is actually liable therefor as a result of such Person’s ownership interest in or other relationship with such entity, except to the extent the terms of such Indebtedness expressly provide that such Person is not actually liable
therefor. 
 “Insolvency”: with respect to any Multiemployer Plan, the condition that such Plan is insolvent within the
meaning of Section 4245 of ERISA. 
 “Insolvent”: pertaining to a condition of Insolvency. 

“Interest Payment Date”: (a) as to any ABR Loan, the last day of each March, June, September and December; (b) as
to any LIBOR Loan having an Interest Period of three months or less, the last day of such Interest Period; and (c) as to any LIBOR Loan having an Interest Period longer than three months, each day which is three months, or a whole multiple
thereof, after the first day of such Interest Period and the last day of such Interest Period. 

  
 15 

 “Interest Period”: with respect to any LIBOR Loan: 

(i) initially, the period commencing on the Borrowing Date or conversion date, as the case may be, with respect to such LIBOR Loan and ending
seven days or, one, two, three or six months (or, with respect to any Eurocurrency Borrowing other than a Eurocurrency Borrowing in Australian Dollars, if available to all Lenders, twelve months) thereafter, as selected by the Borrower in its notice
of borrowing or notice of conversion, as the case may be, given with respect thereto; and 
 (ii) thereafter, each period commencing on the
last day of the next preceding Interest Period applicable to such LIBOR Loan and ending seven days or, one, two, three or six months (or, with respect to any Eurocurrency Borrowing other than a Eurocurrency Borrowing in Australian Dollars, if
available to all Lenders, twelve months) thereafter, as selected by the Borrower by irrevocable notice to the Administrative Agent not less than three Business Days, in the case of LIBOR Loans in Dollars, and four Business Days, in the case of LIBOR
Loans in Available Foreign Currencies, prior to the last day of the then current Interest Period with respect thereto; provided that, all of the foregoing provisions relating to Interest Periods are subject to the following: 

(1) if any Interest Period would otherwise end on a day that is not a Business Day, such Interest Period shall be extended to the next
succeeding Business Day unless the result of such extension would be to carry such Interest Period into another calendar month in which event such Interest Period shall end on the immediately preceding Business Day; 

(2) any Interest Period in respect of any Loan made by any Lender that would otherwise extend beyond the Termination Date applicable to such
Lender shall end on such Termination Date; and 
 (3) any Interest Period that begins on the last Business Day of a calendar month (or on a
day for which there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last Business Day of a calendar month. 

“Interpolated Rate”: at any time, for any Interest Period, the rate per annum (rounded to the same number of decimal places
as the relevant Screen Rates) determined by the Administrative Agent (which determination shall be conclusive and binding absent manifest error) to be equal to the rate that results from interpolating on a linear basis between: (a) the
applicable Screen Rate for the longest period (for which the applicable Screen Rate is available for the applicable currency) that is shorter than the Impacted Interest Period; and (b) the applicable Screen Rate for the shortest period (for
which the applicable Screen Rate is available for the applicable currency) that exceeds the Impacted Interest Period, in each case, at such time. When determining the rate for a period which is less than the shortest period for which the relevant
Screen Rate is available, the applicable Screen Rate for purposes of paragraph (a) above shall be deemed to be the overnight screen rate where “overnight screen rate” means, in relation to any currency, the overnight rate for such
currency determined by the Administrative Agent from such service as the Administrative Agent may select. 

  
 16 

 “IRS”: The United States Internal Revenue Service and any successor governmental
agency performing a similar function. 
 “Issuing Lender”: each of JPMCB and U.S. Bank, each in its capacity as issuer of
any Letter of Credit, and their respective successors. An Issuing Lender may, in its discretion, arrange for one or more Letters of Credit to be issued by Affiliates of such Issuing Lender, in which case the term “Issuing Lender” shall
include any such Affiliate with respect to Letters of Credit issued by such Affiliate. 
 “Japanese Yen”: the official
legal currency of Japan. 
 “Joint Lead Arrangers”: collectively, JPMCB and U.S. Bank, in their capacities as joint lead
arrangers and joint bookrunners. 
 “JPMCB”: JPMorgan Chase Bank, N.A. 

“Judgment Currency”: as defined in subsection 11.16. 

“L/C Commitment”: the obligation of the Issuing Lenders to issue Letters of Credit pursuant to Section 4 with respect to
which the resulting L/C Obligations at any one time outstanding shall not exceed $30,000,000. 
 “L/C Exposure”: of any
Revolving Lender at any time, the Revolving Credit Commitment Percentage of the L/C Obligations at such time. 
 “L/C Fee Payment
Date”: the last day of each March, June, September and December and the last day of the Commitment Period. 
 “L/C
Obligations”: at any time, an amount equal to the sum of (a) the aggregate then undrawn and unexpired amount of the then outstanding Letters of Credit and (b) the aggregate amount of drawings under Letters of Credit that have not
then been reimbursed pursuant to subsection 4.5. 
 “L/C Participants”: the collective reference to all the Lenders other
than the Issuing Lenders. 
 “Lender Parent”: with respect to any Lender, any Person as to which such Lender is, directly
or indirectly, a Subsidiary. 
 “Lenders”: as defined in the preamble hereto, and any other Person that shall have become a
party hereto pursuant to an Assignment and Acceptance, other than any such Person that ceases to be a party hereto pursuant to an Assignment and Acceptance; provided, that unless the context otherwise requires, each reference herein to the
Lenders shall be deemed to include any Approved Fund. 

  
 17 

 “Letters of Credit”: as defined in subsection 4.1(a). 

“LIBO Rate”: (A) with respect to any Eurocurrency Borrowing for any applicable currency (other than a Non-Quoted
Currency) and for any Interest Period, the London interbank offered rate as administered by ICE Benchmark Administration (or any other Person that takes over the administration of such rate for U.S. Dollars/the relevant currency for a period equal
in length to such Interest Period as displayed on pages LIBOR01 or LIBOR02 of the Reuters screen that displays such rate (or, in the event such rate does not appear on a Reuters page or screen, on any successor or substitute page on such screen that
displays such rate, or on the appropriate page of such other information service that publishes such rate from time to time as selected by the Administrative Agent in its reasonable discretion; in each case the “LIBO Screen Rate”)
at approximately 11:00 a.m., London time, two Business Days prior to the commencement of such Interest Period and (B) with respect to any Eurocurrency Borrowing for a Non-Quoted Currency and for any Interest Period, the applicable Local Screen
Rate for such Non-Quoted Currency as of the Specified Time and on the Quotation Day for such Non-Quoted Currency and Interest Period; provided that if the LIBO Screen Rate or a Local Screen Rate, as applicable, shall be less than zero, such
rate shall be deemed to be zero for the purposes of this Agreement; provided further that if the LIBO Screen Rate or a Local Screen Rate, as applicable, shall not be available at such time for such Interest Period (an “Impacted
Interest Period”) with respect to the applicable currency then the LIBO Rate shall be the Interpolated Rate (provided that if any Interpolated Rate shall be less than zero, such rate shall be deemed to be zero for purposes of this
Agreement). 
 “LIBO Screen Rate”: the meaning assigned to it in the definition of “LIBO Rate.” 

“LIBOR Loans”: Revolving Credit Loans with respect to which the rate of interest is based upon the Adjusted LIBO Rate. 

“Lien”: any mortgage, pledge, hypothecation, assignment, deposit arrangement, encumbrance, lien (statutory or other), charge
or other security interest or any preference, priority or other security agreement or preferential arrangement of any kind or nature whatsoever (including, without limitation, any conditional sale or other title retention agreement and any Financing
Lease having substantially the same economic effect as any of the foregoing). 
 “Loan”: any Revolving Credit Loan or
extension of credit under or pursuant to Section 4, as the case may be. 
 “Loan Documents”: this Agreement, any
Notes, the JPM Fee Letter (as defined in subsection 2.5(b)), the U.S. Bank Fee Letter (as defined in subsection 2.5(b)), each Application, any Guarantee executed and delivered pursuant to subsection 7.12 and all other instruments and documents
heretofore or hereafter executed or delivered to or in favor of any Lender or the Administrative Agent in connection with the Loans made and transactions contemplated by this Agreement. 

“Local Screen Rates”: the AUD Screen Rate, the CDOR Screen Rate, the HKD Screen Rate and the SGD Screen Rate. 

  
 18 

 “Local Time”: (a) in the case of a Loan, Borrowing or Letter of Credit
disbursement denominated in Dollars, New York City time or (b) in the case of a Loan or Borrowing denominated in an Available Foreign Currency, local time at the place of funding (it being understood that such local time shall mean London,
England time unless otherwise notified by the Administrative Agent). 
 “London Business Day”: any day on which banks in
London are open for general banking business, including dealings in foreign currency and exchange. 
 “Majority Lenders”:
(a) at any time prior to the termination of the Revolving Credit Commitments, Lenders whose Revolving Credit Commitment Percentages aggregate more than 50%; and (b) notwithstanding the foregoing, for purposes of declaring the Loans to be
due and payable pursuant to Section 9, and at any time after the termination of the Revolving Credit Commitments, Lenders whose Aggregate Revolving Credit Outstandings aggregate more than 50% of the Aggregate Revolving Credit Outstandings of
all Lenders. 
 “Material Adverse Effect”: a material adverse effect on (i) the business, assets, property or
condition (financial or otherwise) of the Borrower and its Subsidiaries, taken as a whole, or (ii) the validity or enforceability of any of the Loan Documents or the rights or remedies of the Administrative Agent and the Lenders thereunder,
provided that events, developments or circumstances (“Changes”) (including general economic or political conditions) generally affecting the Borrower’s industry which are not reasonably likely to have a material adverse effect
on (x) the business, assets, property or condition (financial or otherwise) of the Borrower and its Subsidiaries, taken as a whole, or (y) the validity or enforceability of any of the Loan Documents or the rights or remedies of the
Administrative Agent or Lenders thereunder, will not be deemed Changes for purposes of determining whether a Material Adverse Effect shall have occurred. 

“Material Indebtedness”: Indebtedness (other than the Loans and Letters of Credit) of any one or more of the Borrower and its
Subsidiaries in an aggregate principal amount exceeding $200,000,000. 
 “Multicurrency Commitment”: as to any Lender, the
obligation of such Lender to make Multicurrency Loans to the Borrower hereunder in an aggregate principal amount at any one time outstanding not to exceed the amount set forth opposite such Lender’s name on Schedule IA under the heading
“Multicurrency Commitment,” and that such amount may be modified from time to time in accordance with the provisions of this Agreement. 

“Multicurrency Commitment Percentage”: as to any Lender at any time, the percentage which such Lender’s Multicurrency
Commitment at such time constitutes of the Aggregate Multicurrency Commitments at such time. 
 “Multicurrency Funding Commitment
Percentage”: as at any date of determination, with respect to any Lender, that percentage which the Available Multicurrency Commitment of such Lender then constitutes of the Aggregate Available Multicurrency Commitments. 

“Multicurrency Loans”: Revolving Credit Loans made in Available Foreign Currencies. 

  
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 “Multiemployer Plan”: a Plan which is a multiemployer plan as defined in
Section 4001(a)(3) of ERISA. 
 “Non-Excluded Taxes”: any present or future income, stamp or other Taxes, levies,
imposts, duties, charges, fees, deductions or withholdings, now or hereafter imposed, levied, collected, withheld or assessed by any Governmental Authority (including any interest, addition to Tax or penalties applicable thereto), excluding net
income Taxes (however denominated), franchise Taxes and branch profits Taxes, in each case, (A) imposed as a result of the Administrative Agent or any Lender being organized under the laws of, or having its principal office or, in the case of
any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (B) imposed on the Administrative Agent or any Lender as a result of a present or former connection between the
Administrative Agent or such Lender and the jurisdiction of the Governmental Authority imposing such Tax or any political subdivision or taxing authority thereof or therein (other than any such connection arising solely from the Administrative Agent
or such Lender having executed, delivered or performed its obligations or received a payment under, or enforced, any Loan Document). 

“Non-Quoted Currency”: Australian Dollars, Canadian Dollars, Hong Kong Dollars and Singapore Dollars. 

“Note”: as defined in subsection 3.15(d). 

“Note Purchase Agreements”: (a) the Master Note Facility, dated as of August 9, 2010, by and among Henry Schein,
Inc., New York Life Investment Management LLC (“New York Life”), and each New York Life affiliate party thereto, (b) the Private Shelf Agreement, dated as of August 9, 2010, by and among Henry Schein, Inc., Prudential
Investment Management, Inc. (“Prudential”) and each Prudential affiliate party thereto and (c) the Master Note Purchase Agreement, dated as of April 27, 2012, by and among Henry Schein, Inc., Metropolitan Life Insurance
Company, MetLife Investment Advisors Company, LLC (together, “Metlife”) and each MetLife affiliate party thereto, each as amended. 

“NYFRB”: the Federal Reserve Bank of New York. 

“NYFRB Rate”: for any day, the greater of (a) the Federal Funds Effective Rate in effect on such day and (b) the
Overnight Bank Funding Rate (as defined below) in effect on such day (or for any day that is not a banking day, for the immediately preceding banking day); provided that if none of such rates are published for any day that is a Business Day,
the term “NYFRB Rate” means the rate for a federal funds transaction quoted at 11:00 a.m. on such day received by the Administrative Agent from a Federal funds broker of recognized standing selected by it; provided, further, that if any of
the aforesaid rates shall be less than zero, such rate shall be deemed to be zero. 
 “Obligations”: collectively, the
unpaid principal of and interest on the Loans and all other obligations and liabilities of the Borrower under this Agreement and the other Loan Documents to which it is a party (including, without limitation, interest accruing at the then applicable
rate provided in this Agreement or any other applicable Loan Document after the maturity of the Loans and interest accruing at the then applicable rate provided in this Agreement 

  
 20 

 
or any other applicable Loan Document after the filing of any petition in bankruptcy, or the commencement of any insolvency, reorganization or like proceeding, relating to the Borrower, whether
or not a claim for post-filing or post-petition interest is allowed in such proceeding), whether direct or indirect, absolute or contingent, due or to become due, or now existing or hereafter incurred, which may arise under, out of, or in connection
with, this Agreement, the Notes, the other Loan Documents, Swap Agreements entered into with Lenders or their Affiliates or any other document made, delivered or given in connection therewith, in each case whether on account of principal, interest,
reimbursement obligations, fees, indemnities, costs, expenses or otherwise (including, without limitation, all Attorney Costs of counsel to the Administrative Agent or to the Lenders that are required to be paid by the Borrower pursuant to the terms
of this Agreement or any other Loan Document). 
 “Other Taxes”: any and all present or future stamp or documentary Taxes
or any other excise or property Taxes, charges or similar levies arising from any payment made hereunder or from the execution, delivery or enforcement of, or otherwise with respect to, this Agreement or any other Loan Document including any
interest, additions to Tax or penalties applicable thereto, except any such Taxes that are, with respect to the Administrative Agent or any Lender, Taxes imposed as a result of a present or former connection between the Administrative Agent or such
Lender and the jurisdiction imposing such Tax (other than connections arising from the Administrative Agent or such Lender, as applicable, having executed, delivered, become a party to, performed its obligations under, received payments under,
received or perfected a security interest under, engaged in any other transaction pursuant to, or enforced, any Loan Document, or sold or assigned an interest in any Loan or Loan Document) imposed with respect to an assignment (other than an
assignment made pursuant to subsection 3.13). 
 “Overnight Bank Funding Rate”: for any day, the rate comprised of both
overnight federal funds and overnight Eurocurrency borrowings by U.S. managed banking offices of depository institutions (as such composite rate shall be determined by the NYFRB as set forth on its public website from time to time) and published on
the next succeeding Business Day by the NYFRB as an overnight bank funding rate (from and after such date as the NYFRB shall commence to publish such composite rate). 

“Participant”: as defined in subsection 11.6(c). 

“Participant Register”: as defined in subsection 11.6(c). 

“Participating Member State”: each state so described in any EMU Legislation. 

“PBGC”: the Pension Benefit Guaranty Corporation referred to and defined in ERISA and any successor entity performing similar
functions. 
 “Person”: an individual, partnership, corporation, business trust, limited liability company, joint stock
company, trust, unincorporated association, joint venture, Governmental Authority or other entity of whatever nature. 

  
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 “Plan”: at a particular time, any “employee pension benefit plan,” as
such term is defined in Section 3(2) of ERISA and which is subject to Title IV of ERISA and/or Section 412 of the Code or Section 302 of ERISA, other than a Multiemployer Plan, and in respect of which the Borrower or an ERISA
Affiliate is (or, if such plan were terminated at such time, would under Section 4069 of ERISA be deemed to be) an “employer” as defined in Section 3(5) of ERISA or to which the Borrower or an ERISA Affiliate contributes or has
an obligation to contribute. 
 “Prime Rate”: as defined in the definition of “ABR” in this subsection 1.1. 

“Public-Sider”: a Lender whose representatives may trade in securities of the Borrower or any of its Subsidiaries while in
possession of the financial statements provided by the Borrower under the terms of this Agreement. 
 “Quotation Day”: with
respect to any Eurocurrency Borrowing for any Interest Period, (i) if the currency is Australian Dollars, Canadian Dollars or Hong Kong Dollars, the first day of such Interest Period, (ii) if the currency is Euro, two Target Operating Days
before the first day of such Interest Period, (iii) for any other currency, two Business Days prior to the commencement of such Interest Period (unless, in each case, market practice differs in the relevant market where the LIBO Rate for such
currency is to be determined, in which case the Quotation Day will be determined by the Administrative Agent in accordance with market practice in such market (and if quotations would normally be given on more than one day, then the Quotation Day
will be the last of those days)). 
 “Receivables”: any accounts receivable of any Person, including, without limitation,
any thereof constituting or evidenced by chattel paper, instruments or general intangibles, and all proceeds thereof and rights (contractual and other) and collateral related thereto. 

“Receivables Subsidiary”: any special purpose, bankruptcy-remote Subsidiary that purchases Receivables generated by the
Borrower or any of its Subsidiaries. 
 “Receivables Transaction”: any transaction or series of transactions providing for
the financing of Receivables of the Borrower or any of its Subsidiaries, involving one or more sales, contributions or other conveyances by the Borrower or any of its Subsidiaries of its/their Receivables to Receivables Subsidiaries which finance
the purchase thereof by means of the incurrence of Indebtedness or otherwise. Notwithstanding anything contained in the foregoing to the contrary: (a) no portion of the Indebtedness (contingent or otherwise) with respect to any Receivables
Transactions shall (i) be guaranteed by the Borrower or any of its Subsidiaries, (ii) involve recourse to the Borrower or any of its Subsidiaries (other than the relevant Receivables Subsidiary), or (iii) require or involve any credit
support or credit enhancement from the Borrower or any of its Subsidiaries (other than the relevant Receivables Subsidiary), provided that the Borrower and its Subsidiaries will be permitted to agree to representations, warranties, covenants and
indemnities that are reasonably customary in accounts receivable securitization transactions of the type contemplated (none of which representations, warranties, covenants or indemnities will result in recourse to the Borrower or any of its
Subsidiaries (other than the relevant Receivables Subsidiary) beyond the limited recourse that is reasonably customary in accounts receivable securitization transactions of the type contemplated); and (b) the securitization facility and
structure relating to such Receivables Transactions shall be on market terms and conditions customary for Receivables transactions of the type contemplated. 

  
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 “Register”: as defined in subsection 11.6(b)(iv). 

“Reimbursement Obligation”: the obligation of the Borrower to reimburse the Issuing Lenders pursuant to subsection 4.5 for
amounts drawn under Letters of Credit. 
 “Related Parties”: with respect to any specified Person, such Person’s
Affiliates and the respective directors, officers, employees, and agents of such Person or such Person’s Affiliates. 

“Requirement of Law”: as to any Person, the certificate of incorporation and by-laws
or other organizational or governing documents of such Person, and any law, treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its
property or to which such Person or any of its property is subject. 
 “Responsible Officer”: with respect to any Person,
the chief executive officer and the president of such Person as well as, in the case of the Borrower, the Vice President, the Senior Vice President and General Counsel, the Chief Financial Officer and the Treasurer, and in the case of any Guarantor
(if any), a duly elected Vice President of such Guarantor (if any), or, with respect to financial matters, the chief financial officer and the treasurer of such Person. 

“Revolving Credit Commitment”: as to any Lender, the obligation of such Lender to make Revolving Credit Loans to the Borrower
and to acquire participations in Letters of Credit hereunder in an aggregate principal amount at any one time outstanding not to exceed the amount set forth opposite such Lender’s name on Schedule I under the heading “Revolving
Credit Commitment,” as such amount may be modified from time to time in accordance with the provisions of this Agreement. 

“Revolving Credit Commitment Percentage”: as to any Lender at any time, the percentage which such Lender’s Revolving
Credit Commitment at such time constitutes of the Aggregate Revolving Credit Commitments at such time (or, if the Revolving Credit Commitments have terminated or expired, the percentage which (a) the Aggregate Revolving Credit Outstandings of
such Lender at such time then constitutes of (b) the Aggregate Revolving Credit Outstandings of all Lenders at such time). 

“Revolving Credit Loans”: as defined in subsection 2.1. 

“Revolving Extensions of Credit”: as to any Revolving Lender at any time, an amount equal to the sum of (a) the
aggregate principal amount of all Revolving Credit Loans held by such Lender then outstanding and (b) such Lender’s Revolving Credit Commitment Percentage of the L/C Obligations then outstanding. 

“Revolving Lender”: each Lender that has a Revolving Credit Commitment hereunder or that holds Revolving Credit Loans. 

“Sanctioned Country”: at any time, a country, region or territory which is itself the subject or target of any Sanctions (at
the time of this Agreement, the Crimea region of Ukraine, Cuba, Iran, North Korea, Sudan and Syria). 

  
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 “Sanctioned Person”: at any time, (a) any Person listed in any
Sanctions-related list of designated Persons maintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury, the U.S. Department of State, or by the United Nations Security Council, the European Union or any EU member
state, Her Majesty’s Treasury of the United Kingdom or other relevant sanctions authority (b) any Person operating, organized or resident in a Sanctioned Country or (c) any Person owned or controlled by any such Person or Persons
described in the foregoing clauses (a) or (b). 
 “Sanctions”: economic or financial sanctions or trade embargoes
imposed, administered or enforced from time to time by (a) the U.S. government, including those administered by the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Department of State, or (b) the United
Nations Security Council, the European Union, any European Union member state or Her Majesty’s Treasury of the United Kingdom or other relevant sanctions authority. 

“Screen Rate”: the LIBO Screen Rate and the Local Screen Rates collectively and individually as the context may require. 

“SGD Screen Rate”: with respect to any Interest Period for any Loans in Singapore Dollars, the rate of interest determined on
the basis of the rate for deposits in Singapore Dollars for a period equal to such Interest Period commencing on the first day of such Interest Period appearing on page “ABSIRFIX01” of the Reuters screen as the “Swap Offer Rate”
or, in the event such rate does not appear on such Reuters page, on any successor or substitute page on such screen that displays such rate, or on the appropriate page of such other information service that publishes such rate as selected by the
Administrative Agent from time to time in its reasonable discretion. 
 “Significant Subsidiary”: 

(a) each domestic (i.e., incorporated or organized in the United States or any state or territory thereof; hereinafter, “domestic”)
wholly-owned Subsidiary or other entity formed or acquired by the Borrower or any direct or indirect Subsidiary (whether existing at the date hereof, or formed or acquired after the date hereof), if such Subsidiary or entity, after giving effect to
the formation/acquisition of the same, has total assets that exceed five percent of the domestic “Consolidated Total Assets,” valued as of the occurrence/closing of such formation/acquisition or as of the last day of any fiscal year
thereafter; and 
 (b) each domestic Subsidiary or entity (whether existing at the date hereof, or formed or acquired after the date hereof)
in which the Borrower or any Guarantor (if any) has, directly or indirectly, a 66.67% or greater but less than 100% ownership interest which becomes or is a Subsidiary if such Subsidiary or entity, after giving effect to the formation/acquisition of
the same, has total assets that exceed five percent of the domestic “Consolidated Total Assets,” valued as of the occurrence/closing of such formation/acquisition or as of the last day of any fiscal year thereafter. 

“Singapore Dollars”: the lawful currency of Singapore. 

  
 24 

 “Single Employer Plan”: any Plan which is covered by Title IV of ERISA, but
which is not a Multiemployer Plan. 
 “Specified Time”: (i) in relation to a Loan in Australian Dollars, as of 11:00
a.m., Sydney, Australia time, (ii) in relation to a Loan in Canadian Dollars, as of 11:00 a.m. Toronto, Ontario time, (iii) in relation to a Loan in Hong Kong Dollars, as of 11:30 a.m., Hong Kong time and (iv) in relation to a Loan in
Singapore Dollars, as of 11:00 a.m., Singapore time. 
 “Spot Rate”: for a currency means the rate quoted by JPMCB as the
spot rate for the purchase by JPMCB of such currency with another currency through its principal foreign exchange trading office at approximately 11:00 a.m., New York time, on the date two Business Days prior to the date on which the foreign
exchange transaction is made. 
 “Statutory Reserve Rate”: a fraction (expressed as a decimal), the numerator of which is
the number one and the denominator of which is the number one minus the aggregate of the maximum reserve percentages (including any marginal, special, emergency or supplemental reserves) expressed as a decimal established by the Federal Reserve
Board to which the Administrative Agent is subject with respect to the Adjusted LIBO Rate, for eurocurrency funding (currently referred to as “Eurocurrency Liabilities” in Regulation D of the Federal Reserve Board). Such reserve
percentages shall include those imposed pursuant to such Regulation D. LIBOR Loans shall be deemed to constitute eurocurrency funding and to be subject to such reserve requirements without benefit of or credit for proration, exemptions or offsets
that may be available from time to time to any Lender under such Regulation D or any comparable regulation. The Statutory Reserve Rate shall be adjusted automatically on and as of the effective date of any change in any reserve percentage. 

“Subsidiary”: as to any Person (“parent”), a corporation, partnership or other entity of which shares of stock or
other ownership interests having ordinary voting power (other than stock or such other ownership interests having such power only by reason of the happening of a contingency) to elect a majority of the board of directors or other managers of such
corporation, partnership or other entity are at the time owned, or the management of which is otherwise controlled, directly or indirectly through one or more intermediaries, or both, by such Person. Unless otherwise qualified, all references to a
“Subsidiary” or to “Subsidiaries” in this Agreement shall refer to a direct or indirect Subsidiary or Subsidiaries of the Borrower. 

“Subsidiary Stock”: with respect to any Person, the Equity Interests of any Subsidiary of such Person. 

“Swap”: any agreement, contract, or transaction that constitutes a “swap” within the meaning of section 1a(47) of
the Commodity Exchange Act. 
 “Swap Agreement”: any agreement with respect to any swap, forward, future or derivative
transaction or option or similar agreement involving, or settled by reference to, one or more rates, currencies, commodities, equity or debt instruments or securities, or economic, financial or pricing indices or measures of economic, financial or
pricing risk or value or any similar transaction or any combination of these transactions; provided that no phantom stock or similar plan providing for payments only on account of services provided by current or former directors, officers,
employees or consultants of the Borrower or any of its Subsidiaries shall be a Swap Agreement. 

  
 25 

 “Swap Obligation”: with respect to any person, any obligation to pay or perform
under any Swap. 
 “Swiss Francs”: the lawful currency of Switzerland. 

“Syndication Agent”: as defined in the preamble hereto. 

“Target Operating Day”: any day that is not (a) a Saturday or Sunday, (b) Christmas Day or New Year’s Day,
(c) any day banks are otherwise not open for dealings in deposits in Euro in the London interbank market or (d) any other day on which the Trans-European Real-time Gross Settlement Operating System (or any successor settlement system) is
not operating (as determined in good faith by the Administrative Agent). 
 “Taxes”: any and all taxes, levies, imposts,
duties, fees, assessments or other charges of whatever nature imposed by any jurisdiction or by any political subdivision or taxing authority thereon or therein and all interest, penalties or similar liabilities with respect thereto. 

“Termination Date”: (a) April 18, 2022, or (b) such earlier date upon which the Aggregate Revolving Credit
Commitments may be terminated in accordance with the terms hereof. 
 “Transferee”: as defined in subsection 11.6(e). 

“Type”: as to any Revolving Credit Loan, its nature as an ABR Loan or a LIBOR Loan. 

“Withholding Agent”: the Borrower and the Administrative Agent. 

“Write-Down and Conversion Powers” means, with respect to any EEA Resolution Authority, the write-down and conversion powers
of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule. 

1.2 Other Definitional Provisions 

(a) Unless otherwise specified therein, all terms defined in this Agreement shall have the defined meanings when used in any Notes or any
other Loan Documents delivered pursuant hereto. 
 (b) As used herein or in any of the other Loan Documents, accounting terms relating to
the Borrower and its Subsidiaries not defined in subsection 1.1, and accounting terms partly defined in subsection 1.1, but only to the extent not so defined, shall have the respective meanings given to them under GAAP. If at any time any change in
GAAP or in the manner in which the Borrower shall be required or permitted to disclose its financial results in its filings with the Securities and Exchange Commission (i.e., a change which is inconsistent with the manner disclosed by the Borrower
in its Annual Report on Form 10-K for the fiscal year ended 

  
 26 

 
December 31, 2016) would affect the computation of any financial ratio or requirement set forth in any Loan Document, and either the Borrower or the Majority Lenders shall so request, the
Administrative Agent, the Lenders and the Borrower shall negotiate in good faith to amend such ratio or requirement to preserve the original intent thereof in light of such change (subject to the approval of the Majority Lenders); provided that,
until so amended, (i) such ratio or requirement shall continue to be computed in accordance with GAAP and as calculated consistent with the manner disclosed by the Borrower in its Annual Report on Form 10-K for the fiscal year ended
December 31, 2016 prior to such change therein and (ii) the Borrower shall provide to the Administrative Agent and the Lenders financial statements and other documents required under this Agreement or as reasonably requested hereunder
setting forth a reconciliation between calculations of such ratio or requirement made before and after giving effect to such change. 
 (c)
The words “hereof”, “herein” and “hereunder” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement, and Section,
subsection, Schedule and Exhibit references are to this Agreement unless otherwise specified. In the computation of periods of time from a specified date to a later specified date, the word “from” means “from and including;” the
words “to” and “until” each mean “to but excluding;” and the word “through” means “to and including.” Each reference to “basis points” or “bps” shall be interpreted in accordance
with the convention that 100 bps = 1.0%. 
 (d) The meanings given to terms defined herein shall be equally applicable to both the singular
and plural forms of such terms. 
 1.3 Rounding 

Any financial ratios required to be maintained by the Borrower pursuant to this Agreement shall be calculated by dividing the appropriate
component by the other component, carrying the result to one place more than the number of places by which such ratio is expressed herein and rounding the result up or down to the nearest number (with a rounding-up if there is no nearest number).

 1.4 References to Agreements and Laws 

Unless otherwise expressly provided herein, (a) references to agreements (including the Loan Documents) and other contractual instruments
shall be deemed to include all subsequent amendments, restatements, extensions, supplements and other modifications thereto, but only to the extent that such amendments, restatements, extensions, supplements and other modifications are not
prohibited by any Loan Document; and (b) references to any Law shall include all statutory and regulatory provisions consolidating, amending, replacing, supplementing or interpreting such Law. 

  
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 SECTION 2. AMOUNT AND TERMS OF COMMITMENTS 

2.1 Revolving Credit Commitments 

(a) Subject to the terms and conditions hereof, each Lender severally agrees to make revolving credit loans (“Revolving Credit
Loans”) in Dollars or in any Available Foreign Currency to the Borrower from time to time during the Commitment Period so long as after giving effect thereto (and after giving effect to any application of proceeds of such Borrowing pursuant
to subsection 2.8) (i) the Available Revolving Credit Commitment of each Lender is greater than or equal to zero, (ii) the Aggregate Revolving Credit Outstandings of all Lenders do not exceed the Aggregate Revolving Credit Commitments and
(iii) the Aggregate Multicurrency Outstandings of all Lenders do not exceed the Aggregate Multicurrency Commitments. All Revolving Credit Loans shall be made by the Lenders on a pro-rata basis in accordance with their respective Revolving
Credit Commitment Percentages (or in accordance with their Multicurrency Commitment Percentage for Multicurrency Loans). During the Commitment Period, the Borrower may use the Revolving Credit Commitments by borrowing, prepaying the Revolving Credit
Loans in whole or in part, and reborrowing, all in accordance with the terms and conditions hereof. Any Lender may cause its Multicurrency Loans to be made by any branch, affiliate or international banking facility of such Lender, provided,
that such Lender shall remain responsible for all of its obligations hereunder and no additional Taxes, costs or other burdens shall be imposed upon the Borrower or the Administrative Agent as a result thereof. 

(b) The Revolving Credit Loans may from time to time be (i) LIBOR Loans, (ii) ABR Loans or (iii) a combination thereof, as
determined by the Borrower and notified to the Administrative Agent in accordance with subsections 2.2 and 3.2, provided that (x) each Multicurrency Loan shall be a LIBOR Loan and (y) no Revolving Credit Loan shall be made as a
LIBOR Loan after the day that is one month prior to the Termination Date. 
 2.2 Procedure for Revolving Credit Borrowing 

(a) The Borrower may request a Revolving Credit Loan during the Commitment Period on any Business Day, provided that the Borrower shall
give the Administrative Agent irrevocable notice prior to (a) 12:00 Noon, New York City time, three Business Days prior to the requested Borrowing Date, if all or any part of the requested Revolving Credit Loans are to be LIBOR Loans in
Dollars, (b) 11:00 A.M., Local Time, four Business Days prior to the requested Borrowing Date, if all or any part of the requested Revolving Credit Loans are to be LIBOR Loans in Available Foreign Currencies, or (c) 12:00 Noon, New York
City time, on the requested Borrowing Date, with respect to ABR Loans. Each such borrowing request may be given (i) in the case of a Loan other than a Multicurrency Loan, by telephone or by delivery of a written borrowing request and
(ii) in the case of a Multicurrency Loan, by delivery of a written borrowing request. Any such written borrowing request shall be substantially in the form of Exhibit A, duly completed and executed by the Borrower. Any such telephonic
borrowing request shall be confirmed promptly by hand delivery or telecopy to the Administrative Agent of a written borrowing request which shall be substantially in the form of Exhibit A, duly completed and executed by the Borrower. 

(b) Each Borrowing request shall specify (i) the amount to be borrowed, (ii) the requested Borrowing Date, (iii) whether the
borrowing is to be comprised of LIBOR Loans, ABR Loans or a combination thereof, (iv) if the borrowing is to be entirely or partly comprised of LIBOR Loans, the amount of such LIBOR Loan and the length of the initial Interest Period therefor,
(v) if the borrowing is to be entirely or partly comprised of Multicurrency Loans, the requested Available Foreign Currency and the amount of such borrowing, and (vi) the account into which the amount is to be paid. 

  
 28 

 (c) Each borrowing under the Revolving Credit Commitments (other than a borrowing under
subsection 4.2) shall be in an amount equal to (x) in the case of ABR Loans, $1,000,000 or a whole multiple of $1,000,000 in excess thereof (or, if the Aggregate Available Revolving Credit Commitments are less than $1,000,000, such lesser
amount) and (y) in the case of LIBOR Loans, $5,000,000 or a whole multiple of $1,000,000 in excess thereof. Upon receipt of any such notice from the Borrower, the Administrative Agent shall promptly notify each Lender thereof. Prior to
(a) 11:00 A.M. New York City time in the case of LIBOR Loans denominated in Dollars, (b) 12:00 Noon, Local Time in the case of each Multicurrency Loan (other than Swiss Francs) and 8:00 A.M., Local Time in the case of each Loan denominated
in Swiss Francs, (c) 2:00 P.M. New York City time in the case of ABR Loans, on the Borrowing Date requested by the Borrower in accordance with the provisions hereof, each Lender will make an amount equal to its Funding Commitment Percentage (or
Multicurrency Funding Commitment Percentage in the case of Multicurrency Loans) of the principal amount of the Revolving Credit Loans requested to be made on such Borrowing Date available to the Administrative Agent for the account of the Borrower
at the New York office of the Administrative Agent specified in subsection 11.2 or, in the case of any Multicurrency Loan, in the city of the Administrative Agent’s Applicable Payment Office for such currency and at such Applicable Payment
Office for such currency (or such other funding office or bank as specified from time to time by the Administrative Agent by notice to the Borrower and the Lenders) in funds immediately available (in the relevant Available Foreign Currency for
Multicurrency Loans), to the Administrative Agent. Such borrowing will then be made available to the Borrower by the Administrative Agent crediting the account of the Borrower on the books of such office with the aggregate of the amounts made
available to the Administrative Agent by the Lenders and in like funds as received by the Administrative Agent. 
 2.3 [Reserved]

 2.4 [Reserved] 
 2.5
Fees 
 (a) Commitment Fee. The Borrower agrees to pay to the Administrative Agent for the account of each Lender a commitment
fee for the period from and including the Fee Commencement Date to the Termination Date, computed at the Commitment Fee Rate on the average daily amount of the Revolving Credit Commitment of such Lender (regardless of usage) during the period for
which payment is made, payable quarterly in arrears on the last day of each March, June, September and December and on the Termination Date, commencing on the first of such dates to occur after the date hereof. 

(b) Arrangement and Agency Fees. The Borrower shall pay (i) an arrangement fee to JPMCB, and shall pay an agency fee to the
Administrative Agent for the Administrative Agent’s own account, in the amounts and at the times specified in the letter agreement, dated March 6, 2017 (the “JPM Fee Letter”), between the Borrower and JPMCB and
(ii) an arrangement fee to U.S. Bank, in the amount specified in the letter agreement, dated March 6, 2017 (the “U.S. Bank Fee Letter”), between the Borrower and U.S. Bank. Such fees shall be fully earned when paid and
shall be nonrefundable for any reason whatsoever. 

  
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 2.6 Termination or Reduction of Commitments 

The Borrower shall have the right, upon not less than five Business Days’ notice to the Administrative Agent, to terminate the Aggregate
Revolving Credit Commitments or, from time to time, to reduce the amount of the Aggregate Revolving Credit Commitments; provided that no such termination or reduction shall be permitted if, after giving effect thereto and to any prepayments
of the Loans made on the effective date thereof, either (a) the Aggregate Available Revolving Credit Commitments would not be greater than or equal to zero, (b) the Available Revolving Credit Commitments of any Lender would not be greater
than or equal to zero, or (c) the Available Multicurrency Commitments of any Lender would not be greater than or equal to zero. Any such reduction shall be in an amount equal to $5,000,000 or if greater, a whole multiple of $1,000,000 in excess
thereof, and shall reduce permanently the Aggregate Revolving Credit Commitments then in effect. The Administrative Agent shall give each Lender prompt notice of any notice received from the Borrower pursuant to this subsection 2.6. Simultaneously
with any such reduction, a pro-rata reduction in the Aggregate Multicurrency Commitments shall be deemed to have occurred. 
 2.7
Increase in Commitments 
 (a) The Borrower may at any time propose that the Aggregate Revolving Credit Commitments hereunder be
increased (each such proposed increase being a “Commitment Increase”), by notice to the Administrative Agent specifying the existing Lender(s) (the “Increasing Lender(s)”) and/or the additional lenders reasonably
satisfactory to the Administrative Agent (the “Assuming Lender(s)”) that will be providing the additional Commitment(s) and the date on which such increase is to be effective (the “Commitment Increase Date”), which
shall be a Business Day at least three Business Days after delivery of such notice and prior to the Termination Date; provided that: 

(i) the minimum aggregate amount of each proposed Commitment Increase shall be $5,000,000 in the case of an Assuming Lender or
an Increasing Lender; 
 (ii) immediately after giving effect to such Commitment Increase, the Aggregate Revolving Credit
Commitments hereunder shall not exceed $1,000,000,000; 
 (iii) no Event of Default shall have occurred and be continuing on
such Commitment Increase Date or shall result from the proposed Commitment Increase; and 
 (iv) the representations and
warranties contained in Section 5 and in the other Loan Documents shall be true correct in all material respects on and as of the Commitment Increase Date as if made on and as of such date (or, if any such representation and warranty is
expressly stated to have been made as of a specific date, as of such specific date). 

  
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 (b) Any Assuming Lender shall become a Lender hereunder as of such Commitment Increase Date and
the Commitment of any Increasing Lender and any such Assuming Lender shall be increased as of such Commitment Increase Date; provided that: 

(i) the Administrative Agent shall have received on or prior to 9:00 a.m., New York City time, on such Commitment Increase
Date a certificate of a duly authorized officer of the Borrower stating that each of the applicable conditions to such Commitment Increase set forth in clause (a) of this subsection has been satisfied; 

(ii) with respect to each Assuming Lender, the Administrative Agent shall have received, on or prior to 9:00 a.m., New
York City time, on such Commitment Increase Date, an assumption agreement in substantially the form of Exhibit C (an “Assumption Agreement”) duly executed by such Assuming Lender and the Borrower and acknowledged by the
Administrative Agent; and 
 (iii) each Increasing Lender shall have delivered to the Administrative Agent, on or prior to
9:00 a.m., New York City time, on such Commitment Increase Date, confirmation in writing satisfactory to the Administrative Agent as to its increased Commitment, with a copy of such confirmation to the Borrower. 

(c) Upon its receipt of confirmation from a Lender that it is increasing its Commitment hereunder, together with the certificate referred to
in clause (b)(i) above, the Administrative Agent shall (A) record the information contained therein in the Register and (B) give prompt notice thereof to the Borrower; provided that absent such Lender’s confirmation of such a
Commitment Increase as aforesaid, such Lender will be under no obligation to increase its Commitment hereunder. Upon its receipt of an Assumption Agreement executed by an Assuming Lender, together with the certificate referred to in clause (b)(i)
above, the Administrative Agent shall, if such Assumption Agreement has been completed and is in substantially the form of Exhibit C, (x) accept such Assumption Agreement, (y) record the information contained therein in the Register
and (z) give prompt notice thereof to the Borrower. 
 (d) In the event that the Administrative Agent shall have received notice from
the Borrower as to any agreement with respect to a Commitment Increase on or prior to the relevant Commitment Increase Date and the actions provided for in clause (b) above shall have occurred by 9:00 a.m., New York City time, on such
Commitment Increase Date, the Administrative Agent shall notify the Lenders (including any Assuming Lenders) of the occurrence of such Commitment Increase promptly on such date by facsimile transmission or electronic messaging system. On the date of
such Commitment Increase, the Borrower shall (i) prepay the outstanding Revolving Credit Loans (if any) in full, (ii) simultaneously borrow new Revolving Credit Loans hereunder in an amount equal to such prepayment, so that, after giving
effect thereto, the Revolving Credit Loans are held ratably by the Lenders in accordance with the respective Revolving Credit Commitments of such Lenders (after giving effect to such Commitment Increase) and (iii) pay to the Lenders the
amounts, if any, payable under subsection 3.11. 

  
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 2.8 Repayment of Revolving Credit Loans 

The Borrower hereby unconditionally promises to pay to the Administrative Agent for the account of each Lender the then unpaid principal
amount of each Revolving Credit Loan of such Lender on the Termination Date (or such earlier date on which the Revolving Credit Loans become due and payable pursuant to Section 9 or otherwise). The Borrower hereby further agrees to pay interest
on the unpaid principal amount of the Revolving Credit Loans from time to time outstanding from the date hereof until payment in full thereof at the rates per annum, and on the dates, set forth in subsection 3.4. 

SECTION 3. CERTAIN PROVISIONS APPLICABLE TO THE LOANS 

3.1 Optional and Mandatory Prepayments 

(a) The Borrower may at any time and from time to time prepay outstanding Revolving Credit Loans, in whole or in part, without premium or
penalty (other than any amounts payable pursuant to subsection 3.11 if such prepayment is of LIBOR Loans and is made on a day other than the last day of the Interest Period with respect thereto), upon at least four Business Days’ irrevocable
notice to the Administrative Agent, specifying the date and amount of prepayment and whether the prepayment is of LIBOR Loans, ABR Loans, a combination thereof, if of a combination thereof, the amount allocable to each. Upon receipt of any such
notice the Administrative Agent shall promptly notify each Lender thereof. If any such notice is given, the amount specified in such notice shall be due and payable by the Borrower on the date specified therein. Partial prepayments of Multicurrency
Loans shall be in an aggregate principal amount the Dollar Equivalent of which is at least $5,000,000 or an integral multiple of $1,000,000 in excess thereof. Partial prepayments of Revolving Credit Loans denominated in Dollars shall be in an
aggregate principal amount of at least $5,000,000 or an integral multiple of $1,000,000 in excess thereof. 
 (b) (i) If, at any time during
the Commitment Period, for any reason the Aggregate Revolving Credit Outstandings of all Lenders exceed the Aggregate Revolving Credit Commitments then in effect, the Borrower shall, without notice or demand, immediately prepay the Loans in an
amount that equals or exceeds the amount of such excess (or, in the case of L/C Obligations after all Loans have been prepaid, cash collateralize such L/C Obligations in accordance with the provisions of subsection 4.8). 

(ii) If, at the end of any month during the Commitment Period, for any reason either (A) the Aggregate Multicurrency
Outstandings exceed 105% of the Aggregate Multicurrency Commitments or (B) the L/C Obligations exceed the L/C Commitment, the Borrower shall, without notice or demand, immediately prepay the Multicurrency Loans and/or cash collateralize the L/C
Obligations in accordance with the provisions of subsection 4.8, as the case may be, in amounts such that any such excess is eliminated. 

(iii) Each prepayment of Loans pursuant to this subsection 3.1(b) shall be accompanied by any amounts payable under subsection
3.11 in connection with such prepayment. 

  
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 3.2 Conversion and Continuation Options 

(a) The Borrower may elect from time to time to convert LIBOR Loans to ABR Loans by giving the Administrative Agent at least two Business
Days’ prior irrevocable notice of such election. The Borrower may elect from time to time to convert ABR Loans to LIBOR Loans by giving the Administrative Agent at least three Business Days’ prior irrevocable notice of such election in the
case of LIBOR Loans in Dollars and at least four Business Days’ prior irrevocable notice of such election in the case of LIBOR Loans in Available Foreign Currencies. Any such notice of conversion to LIBOR Loans shall specify the length of the
initial Interest Period therefor. Upon receipt of any such notice the Administrative Agent shall promptly notify each Lender thereof. All or any part of outstanding LIBOR Loans and ABR Loans may be converted as provided herein, provided that
(i) no Multicurrency Loan may be converted to an ABR Loan, (ii) no Loan may be converted into a LIBOR Loan when any Event of Default has occurred and is continuing and the Administrative Agent has or the Majority Lenders have determined
that such a conversion is not appropriate, (iii) no Loan may be converted into a LIBOR Loan after the date that is one month prior to the Termination Date and (iv) no Loan may be converted from one currency to another currency. 

(b) Any LIBOR Loans may be continued as such upon the expiration of the then current Interest Period with respect thereto by the Borrower
giving notice to the Administrative Agent, in accordance with the applicable provisions of the term “Interest Period” set forth in subsection 1.1, of the length of the next Interest Period to be applicable to such Loans, provided
that no LIBOR Loan may, except as provided in the following proviso, be continued as such (A) when any Event of Default has occurred and is continuing and the Administrative Agent has or the Majority Lenders have determined that such a
continuation is not appropriate or (B) after the date that is one month prior to the Termination Date, and provided, further, that if the Borrower shall fail to give such notice or if such continuation is not permitted,
(x) with respect to any such Loans which are Multicurrency Loans, the Borrower shall be deemed to have specified an Interest Period of one month and (y) all such other Loans shall be automatically converted to ABR Loans on the last day of
such then expiring Interest Period. Upon receipt of any notice pursuant to this subsection 3.2(b), the Administrative Agent shall promptly notify each Lender thereof. 

3.3 Maximum Number of Tranches 

Notwithstanding anything contained herein to the contrary, after giving effect to any Borrowing, unless consented to by the Administrative
Agent in its sole discretion, (a) there shall not be more than twelve different Interest Periods in effect in respect of all Revolving Credit Loans at any one time outstanding, and (b) there shall not be more than eight different
Multicurrency Loans in respect of all Revolving Credit Loans at any one time outstanding. 
 3.4 Interest Rates and Payment Dates

 (a) Each LIBOR Loan shall bear interest for each day during each Interest Period with respect thereto at a rate per annum equal to the
Adjusted LIBO Rate determined for such Interest Period plus the Applicable Margin in effect for such day. 

  
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 (b) Each ABR Loan shall bear interest at a rate per annum equal to the ABR plus the Applicable
Margin. 
 (c) Each Multicurrency Loan shall be a LIBOR Loan. 

(d) If all or a portion of (i) any principal of any Loan, (ii) any interest payable thereon, (iii) any commitment fee or
(iv) any other amount payable hereunder shall not be paid when due (whether at the stated maturity, by acceleration or otherwise), the overdue principal of the Loans and any such overdue interest, commitment fee or other amount shall bear
interest at a rate per annum which is (x) in the case of principal, the rate that would otherwise be applicable thereto pursuant to the foregoing provisions of this subsection plus 2% or (y) in the case of any such overdue interest,
commitment fee or other amount, the rate described in paragraph (b) of this subsection plus 2%, in each case from the date of such non-payment until such overdue principal, interest, commitment fee or
other amount is paid in full (as well after as before judgment). 
 (e) Interest pursuant to this subsection shall be payable in arrears on
each Interest Payment Date provided that interest accruing pursuant to paragraph (e) of this subsection shall be payable from time to time on demand. 

3.5 Computation of Interest and Fees 

(a) (i) Whenever interest and fees are calculated on the basis of the Prime Rate, interest shall be calculated on the basis of a 365 (or 366,
as the case may be) day year for the actual days elapsed, (ii) whenever Multicurrency Loans are denominated in British Pounds Sterling, interest and fees with respect to such Multicurrency Loans shall be calculated on the basis of a 365-day
year for the actual days elapsed and (iii) whenever Multicurrency Loans are denominated in Australian Dollars, Canadian Dollars, Singapore Dollars or Hong Kong Dollars, interest and fees with respect to such Multicurrency Loans shall be
calculated on the basis of a 365-day year (or 366 days in a leap year) for the actual days elapsed; and, otherwise, interest and fees shall be calculated on the basis of a 360-day year for the actual days elapsed. The Administrative Agent shall as
soon as practicable notify the Borrower and the Lenders of each determination of an Adjusted LIBO Rate with respect to a LIBOR Loan. Any change in the interest rate on a Loan resulting from a change in the ABR or the Statutory Reserve Rate, shall
become effective as of the opening of business on the day on which such change becomes effective. The Administrative Agent shall as soon as practicable notify the Borrower and the Lenders of the effective date and the amount of each such change in
interest rate. 
 (b) Each determination of an interest rate by the Administrative Agent pursuant to any provision of this Agreement shall
be conclusive and binding on the Borrower and the Lenders in the absence of manifest error. The Administrative Agent shall, at the request of the Borrower, deliver to the Borrower a statement showing the quotations used by the Administrative Agent
in determining any interest rate pursuant to subsection 3.4(a), (b) or (c). 

  
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 3.6 Inability to Determine Interest Rate. If prior to the first day of any Interest
Period: 
 (a) the Administrative Agent shall have determined in good faith (which determination shall be conclusive and binding absent
manifest error) that adequate and reasonable means do not exist for ascertaining the LIBO Rate or the Adjusted LIBO Rate, as applicable, for such Interest Period, or 

(b) the Administrative Agent shall have received notice from the Majority Lenders that the LIBO Rate or the Adjusted LIBO Rate, as applicable,
determined or to be determined for such Interest Period will not adequately and fairly reflect the cost to such Lenders (as given in good faith and conclusively certified by such Lenders) of making or maintaining their affected Loans during such
Interest Period, 
 the Administrative Agent shall give telecopy or telephonic notice thereof to the Borrower and the Lenders as soon as practicable
thereafter. If such notice is given, (w) any LIBOR Loans (excluding Multicurrency Loans) requested to be made on the first day of such Interest Period shall be made as ABR Loans, provided, that, notwithstanding the provisions of
subsection 2.2, the Borrower may cancel the request for such LIBOR Loan (including Multicurrency Loans) by written notice to the Administrative Agent one Business Day prior to the first day of such Interest Period and the Borrower shall not be
subject to any liability pursuant to subsection 3.11 with respect to such cancelled request, (x) any Loans that were to have been converted on the first day of such Interest Period to LIBOR Loans (excluding Multicurrency Loans) shall be
continued as ABR Loans, and (y) any outstanding LIBOR Loans (excluding Multicurrency Loans) shall be converted, on the first day of such Interest Period, to ABR Loans, and (z) any Multicurrency Loans to which such Interest Period relates
shall be repaid on the first day of such Interest Period. Until such notice has been withdrawn by the Administrative Agent, no further LIBOR Loans shall be made or continued as such, nor shall the Borrower have the right to convert ABR Loans to
LIBOR Loans. 
 3.7 Pro Rata Treatment and Payments 

(a) Except to the extent provided elsewhere in this Agreement to the contrary, each payment of principal or interest in respect of the Loans
shall be made pro rata according to the amounts then due and owing to the respective Lenders. 
 (b) Each Borrowing by the
Borrower of Revolving Credit Loans from the Lenders hereunder shall be made pro rata according to the Funding Commitment Percentages of the Lenders in effect on the date of such Borrowing (or Multicurrency Funding Commitment Percentages in
the case of Multicurrency Loans). Each payment by the Borrower on account of any commitment fee hereunder and any reduction of the Revolving Credit Commitments of the Lenders shall be allocated by the Administrative Agent among the Lenders
pro rata according to the Revolving Credit Commitment Percentages of the Lenders (or Multicurrency Commitment Percentages in the case of Multicurrency Loans). Each payment (including each prepayment) by the Borrower on account of
principal of and interest on the Revolving Credit Loans shall be made pro rata according to the respective outstanding principal amounts of the Revolving Credit Loans then due and owing to the Lenders. All payments (including prepayments) to be made
by the Borrower hereunder in respect of amounts denominated in Dollars, whether on account of principal, interest, fees or otherwise, shall be made without set off or counterclaim and shall be made prior to 12:00 Noon, New York City time, on the due
date thereof to the Administrative 

  
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Agent, for the account of the Lenders, at the Administrative Agent’s office specified in subsection 11.2, in Dollars and in immediately available funds. All payments (including prepayments)
to be made by the Borrower hereunder with respect to principal and interest on Multicurrency Loans shall be made without set off or counterclaim and shall be made prior to 12:00 Noon, Local Time (or, with respect to each Loan denominated in Swiss
Francs, 8:00 A.M., Local Time), on the due date thereof, to the Administrative Agent, for the account of the Lenders, in the city of the Administrative Agent’s Applicable Payment Office for the applicable currency, in the Available Foreign
Currency with respect to which such Multicurrency Loan is denominated and in immediately available funds. The Administrative Agent shall distribute such payments to the Lenders promptly upon receipt in like funds as received. If any payment
hereunder (other than payments on the LIBOR Loans) becomes due and payable on a day other than a Business Day, such payment shall be extended to the next succeeding Business Day, and, with respect to payments of principal, interest thereon shall be
payable at the then applicable rate during such extension. If any payment on a LIBOR Loan becomes due and payable on a day other than a Business Day, the maturity of such payment shall be extended to the next succeeding Business Day (and, with
respect to payments of principal, interest thereon shall be payable at the then applicable rate during such extension) unless the result of such extension would be to extend such payment into another calendar month, in which event such payment shall
be made on the immediately preceding Business Day. 
 (c) Unless the Administrative Agent shall have been notified in writing by any Lender
prior to a borrowing that such Lender will not make the amount that would constitute its share of such borrowing available to the Administrative Agent, the Administrative Agent may assume that such Lender is making such amount available to the
Administrative Agent, and the Administrative Agent may, in reliance upon such assumption, make available to the Borrower a corresponding amount. If such amount is not made available to the Administrative Agent by the required time on the Borrowing
Date therefor, such Lender shall pay to the Administrative Agent, on demand, such amount with interest thereon at a rate equal to (i) the daily average of the greater of (A) the Federal Funds Effective Rate and (B) a rate determined
by the Administrative Agent in accordance with banking industry rates on interbank compensation (in the case of a borrowing of Revolving Credit Loans denominated in Dollars) and (ii) the greater of (A) the daily average of the greater of
(1) the Federal Funds Effective Rate and (2) a rate determined by the Administrative Agent in accordance with banking industry rates on interbank compensation or (B) the Administrative Agent’s reasonable estimate of its average
daily cost of funds (in the case of a borrowing of Multicurrency Loans), in each case for the period until such Lender makes such amount immediately available to the Administrative Agent. A certificate of the Administrative Agent submitted to any
Lender with respect to any amounts owing under this subsection shall be conclusive in the absence of manifest error. If such Lender’s share of such borrowing is not made available to the Administrative Agent by such Lender within three Business
Days of such Borrowing Date, the Administrative Agent shall also be entitled to recover such amount with interest thereon equal to (x) the rate per annum applicable to ABR Loans hereunder (in the case of a borrowing of Revolving Credit Loans
denominated in Dollars) and (y) the greater of (1) the rate per annum applicable to ABR Loans hereunder or (2) the Administrative Agent’s reasonable estimate of its average daily cost of funds plus the Applicable Margin
applicable to Multicurrency Loans (in the case of a borrowing of Multicurrency Loans), on demand, from the Borrower (without prejudice to any rights Borrower may have against any such Lender). 

  
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 3.8 Illegality 

Notwithstanding any other provision herein, if any Lender determines that the adoption of or any change in any Requirement of Law or any
change in the interpretation or application thereof after the date hereof shall make it unlawful for such Lender to make or maintain LIBOR Loans or Multicurrency Loans as contemplated by this Agreement, then, on notice thereof by such Lender to the
Borrower through the Administrative Agent, (a) the commitment of such Lender hereunder to make LIBOR Loans or Multicurrency Loans, continue LIBOR Loans or Multicurrency Loans as such and convert ABR Loans to LIBOR Loans shall forthwith be
suspended until such Lender notifies the Administrative Agent and the Borrower that the circumstances giving rise to such determination no longer exists (which notification shall be promptly given to Borrower after the Administrative Agent receives
actual knowledge thereof), (b) such Lender’s Loans then outstanding as LIBOR Loans (excluding Multicurrency Loans), if any, shall be converted automatically to ABR Loans on the respective last days of the then current Interest Periods with
respect to such Loans or within such earlier period as required by law and (c) such Lender’s Multicurrency Loans shall be prepaid on the last day of the then current Interest Period with respect thereto or within such earlier period as
required by law. If any such conversion or prepayment of a LIBOR Loan occurs on a day which is not the last day of the then current Interest Period with respect thereto, the Borrower shall pay to such Lender such amounts, if any, as may be required
pursuant to subsection 3.11. 
 3.9 Requirements of Law 

(a) If the adoption of or any change in any Requirement of Law or any change in the interpretation or application thereof or compliance by any
Lender or any other Credit Party with any request or directive (whether or not having the force of law) from any central bank or other Governmental Authority made subsequent to the date hereof: 

(i) shall subject any Credit Party to any Tax of any kind whatsoever with respect to this Agreement, any Note, any Letter of
Credit, any Application, any LIBOR Loan, or any Multicurrency Loan made by it, or change the basis of taxation of payments to such Lender in respect thereof (other than (A) Non-Excluded Taxes, (B) U.S. federal withholding Tax imposed on
amounts payable to or for the account of such Lender with respect to an applicable interest in a Loan or Commitment pursuant to a law in effect on the date on which (I) such Lender acquires such interest in the Loan or Commitment (other than
pursuant to an assignment request by the Borrower under subsection 3.13) or (II) such Lender changes its lending office, except in each case to the extent that, pursuant to subsection 3.10, amounts with respect to such Tax was payable either to such
Lender’s assignor immediately before such Lender became a party hereto or to such Lender immediately before it changed its lending office, (C) Tax attributable to such Lender’s failure to comply with section 3.10(d) or section
3.10(e), or (D) any U.S. federal withholding Tax imposed under FATCA); 

  
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 (ii) shall impose, modify or hold applicable any reserve, special deposit,
compulsory loan, liquidity or similar requirement against assets held by, deposits or other liabilities in or for the account of, advances, loans or other extensions of credit by, or any other acquisition of funds by, any office of such Lender
(which is not otherwise included in the determination of the Adjusted LIBO Rate) or the Issuing Lenders; or 
 (iii) shall impose on such
Lender any other condition; 
 and the result of any of the foregoing is to increase the cost to such Lender, by an amount which such Lender deems to be
material, of making, converting into, continuing or maintaining LIBOR Loans or Multicurrency Loans, or issuing or participating in Letters of Credit or to reduce any amount receivable hereunder in respect thereof, then, in any such case, the
Borrower shall promptly pay such Lender such additional amount or amounts as will compensate such Lender for such increased cost or reduced amount receivable. 

(b) If any Lender shall have determined that after the date hereof the adoption of or any change in any Requirement of Law regarding capital
or liquidity requirements or any change in the interpretation or application thereof or compliance by such Lender or any corporation controlling such Lender with any request or directive regarding capital or liquidity requirements (whether or not
having the force of law) from any Governmental Authority made subsequent to the date hereof shall have the effect of reducing the rate of return on such Lender’s or such corporation’s capital as a consequence of its obligations hereunder
or under any Letter of Credit to a level below that which such Lender or such corporation could have achieved but for such adoption, change or compliance (taking into consideration such Lender’s or such corporation’s policies with respect
to capital adequacy or liquidity) by an amount deemed by such Lender to be material, then from time to time, the Borrower shall promptly pay to such Lender such additional amount or amounts as will compensate such Lender or such corporation for such
reduction. 
 (c) Notwithstanding anything herein to the contrary, (i) all requests, rules, guidelines, requirements and directives
promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or by United States or foreign regulatory authorities, in each case pursuant to Basel III, and (ii) the
Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, guidelines, requirements and directives thereunder or issued in connection therewith or in implementation thereof, shall in each case be deemed to be a change in law,
regardless of the date enacted, adopted, issued or implemented. 
 (d) If any Lender becomes entitled to claim any additional amounts
pursuant to this subsection, it shall notify the Borrower (with a copy to the Administrative Agent) of the event by reason of which it has become so entitled; provided that if such Lender fails to notify the Borrower that such Lender intends to
claim any such reimbursement or compensation within 120 days after such Lender has knowledge of its claim therefor, the Borrower shall not be obligated to compensate such Lender for the amount of such Lender’s claim accruing prior to the date
which is 120 days before the date on which such Lender first notifies the Borrower that it intends to make such claim; it being understood that the calculation of the actual amounts may not be practicable within such period and such Lender may
provide such calculation as soon as 

  
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reasonably practicable thereafter without affecting or limiting the Borrower’s payment obligations hereunder. A certificate as to any additional amounts payable pursuant to this subsection
submitted by such Lender to the Borrower (with a copy to the Administrative Agent) shall be conclusive in the absence of manifest error. The agreements in this subsection shall survive the termination of this Agreement and each other Loan Document
and the payment of the Loans and all other amounts payable hereunder and thereunder. 
 3.10 Taxes 

(a) All payments made by or on account of any obligation of the Borrower under any Loan Document (including, for the avoidance of doubt, any
such payment made by the Administrative Agent on behalf of the Borrower) shall be made free and clear of, and without deduction or withholding for or on account of, any Taxes, except under any Requirement of Law; provided that, if under any
Requirement of Law any Taxes are required to be withheld from any amounts payable to the Administrative Agent or any Lender hereunder or under any other Loan Document as determined in good faith by the applicable Withholding Agent, (i) such
amounts shall be paid to the relevant Governmental Authority in accordance with applicable law and (ii) if such Tax is a Non-Excluded Tax, the amounts so payable by the Borrower to the Administrative Agent or such Lender shall be increased to
the extent necessary to yield to the Administrative Agent or such Lender (after payment of all Non-Excluded Taxes) interest or any such other amounts payable hereunder at the rates or in the amounts specified in such Loan Document as if such
withholding or deduction had not been made, provided further, however, that the Borrower shall not be required to increase any such amounts payable to any Lender, or indemnify any Lender pursuant to this subsection 3.10(a) for any amounts of
Tax, that (i) are attributable to such Lender’s failure to comply with the requirements of subsection 3.10(d) or subsection 3.10(e) or (ii) are United States withholding taxes resulting from any Requirement of Law in effect (including
FATCA) on the date such Lender becomes a Party to this Agreement or changes lending offices, except to the extent such Lender’s assignor (if any) was entitled at the time of assignment, or such Lender was entitled at the time of the change in
lending office, to receive additional amounts from the Borrower pursuant to this subsection 3.10(a). Whenever any Taxes are payable by the Borrower with respect to any payment under any Loan Document or pursuant to this subsection 3.10(a), as
promptly as possible thereafter the Borrower shall send to the Administrative Agent for its own account or for the account of such Lender, as the case may be, a certified copy of an original official receipt received by the Borrower showing payment
thereof. 
 (b) In addition, the Borrower shall timely pay to the relevant Governmental Authority in accordance with applicable law, or at
the option of the Administrative Agent timely reimburse it for, Other Taxes. 
 (c) If (i) the Borrower fails to pay any Non-Excluded
Taxes or Other Taxes when due to the appropriate taxing authority, (ii) fails to remit to the Administrative Agent the required receipts or other required documentary evidence or (iii) any Non-Excluded Taxes or Other Taxes are imposed
directly upon the Administrative Agent or any Lender, the Borrower shall indemnify the Administrative Agent and the Lenders for such amounts, any incremental Taxes, interest or penalties that may become payable by the Administrative Agent or any
Lender as a result of any such failure, in the case of (i) or (ii), or any such direct imposition, in the case of (iii); provided, however, that no indemnity in respect of clause (iii) will be required if the Borrower was not
required to increase any amounts in respect of such Non-Excluded Tax under the second proviso to subsection 3.10(a). 

  
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 (d) (i) Any Lender that is entitled to an exemption from or reduction of any applicable
withholding Tax with respect to payments hereunder or under any other Loan Document shall deliver to the relevant Borrower (with a copy to the Administrative Agent), at the time or times reasonably requested by the Borrower or the Administrative
Agent, such properly completed and executed documentation prescribed by applicable law as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, any Lender, if reasonably requested by the Borrower
or the Administrative Agent, shall deliver such other documentation prescribed by applicable law or reasonably requested by the Borrower or the Administrative Agent as will enable the Borrower or the Administrative Agent to determine whether or not
such Lender is subject to backup withholding or information reporting requirements. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentations (other than such
documentation set forth in subsection 3.10(d)(ii)(A), (ii)(B) and (ii)(D) below) shall not be required if in the Lender’s reasonable judgment such completion, execution or submission would subject such Lender to any material unreimbursed cost
or expense or would materially prejudice the legal or commercial position of such Lender. 
 (ii) Without limiting the generality of the
foregoing, 
 (A) any Lender that is a “United States person” as defined by section 7701(a)(30) of the Code shall
deliver to the Borrower and the Administrative Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Lender becomes a Lender under this Agreement (and from time to time thereafter upon the
reasonable request of the Borrower or the Administrative Agent), duly completed copies of IRS Form W-9 certifying that such Lender is exempt from U.S. federal backup withholding Tax; 

(B) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to the Borrower and the Administrative
Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of the Borrower or the
Administrative Agent), whichever of the following is applicable: 
 (1) in the case of a Foreign Lender claiming the benefits
of an income tax treaty to which the United States is a party (x) with respect to payments of interest under any Loan Document, executed originals of IRS Form W-8BEN or IRS Form W-8BEN-E establishing an exemption from, or reduction of, U.S.
federal withholding Tax pursuant to the “interest” article of such tax treaty and (y) with respect to any other applicable payments under any Loan Document, duly completed copies IRS Form W-8BEN or IRS Form W-8BEN-E establishing an
exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “business profits” or “other income” article of such tax treaty; 

  
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 (2) executed originals of IRS Form W-8ECI; 

(3) in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under section 881(c) of the
Code, (x) a certificate substantially in the Form of Exhibit J-1 to the effect that such Foreign Lender is not (A) a “bank” within the meaning of section 881(c)(3)(A) of the Code, (B) a “10 percent
shareholder” of the Borrower within the meaning of section 881(c)(3)(B) of the Code and (C) a “controlled foreign corporation” described in section 881(c)(3)(C) of the Code (a “U.S. Tax Compliance Certificate”) and
(y) executed originals of IRS Form W-8BEN or IRS Form W-8BEN-E; or 
 (4) to the extent a Foreign Lender is not the
beneficial owner (for example, where the Foreign Lender is a partnership or participating Lender granting a typical participation), executed originals of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN, IRS Form W-8BEN-E, U.S. Tax
Compliance Certificate substantially in the form of Exhibit J-2 or Exhibit J-3, IRS Form W-9, and/or other certification documents from each beneficial owner, as applicable; provided that, if the Foreign Lender is a partnership (and
not a participating Lender) and one or more beneficial owners of such Foreign Lender are claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate substantially in the form of Exhibit J-4 on
behalf of each such beneficial owner; 
 (C) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver
to the Borrower and the Administrative Agent (in such number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the
reasonable request of the Borrower or the Administrative Agent), any other form prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax duly completed together with such supplementary
documentation as may be prescribed by applicable law to permit the Borrower to determine the withholding or deduction required to be made; 

(D) if a payment made to a Lender under any Loan Document would be subject to U.S. federal withholding Tax imposed by FATCA if
such Lender were to fail to comply with the applicable reporting requirements of FATCA (including those contained in section 1471(b) or 1472(b) of the Code, as applicable), such Lender shall deliver to the Borrower and the Administrative Agent at
the time or times prescribed by law and at such time or times reasonably requested by the Borrower or the Administrative Agent such documentation prescribed by applicable law (including as prescribed by section 1471(b)(3)(C)(i) of the Code) and such
additional documentation reasonably requested by the Borrower or the Administrative Agent as may be necessary for the 

  
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Borrower and the Administrative Agent to comply with their obligations under FATCA and to determine that such Lender has complied with such Lender’s obligations under FATCA or to determine
the amount to deduct and withhold from such payment. Solely for purposes of this clause (D), “FATCA” shall include any amendments made to FATCA after the date of this Agreement. 

Each Lender agrees that if any form or certification it previously delivered by it expires or becomes obsolete or inaccurate in any respect,
it shall promptly update such form or certification or promptly notify Borrower and the Administrative Agent in writing of its legal inability to do so. 

(e) A Lender that is entitled to an exemption from or reduction of non-U.S. withholding Tax under the law of the jurisdiction in which the
Borrower is located, or any treaty to which such jurisdiction is a party, with respect to payments under this Agreement shall deliver to the Borrower (with a copy to the Administrative Agent), at the time or times prescribed by applicable law or
reasonably requested by the Borrower, such properly completed and executed documentation prescribed by applicable law as will permit such payments to be made without withholding or at a reduced rate, provided that such Lender is legally
entitled to complete, execute and deliver such documentation and in such Lender’s reasonable judgment such completion, execution or submission would not materially prejudice the legal position of such Lender. 

(f) Each Lender shall indemnify the Administrative Agent within 10 days after demand therefor, for (i) the full amount of any Taxes
attributable to such Lender and (ii) any Taxes attributable to such Lender’s failure to comply with the provisions of subsection 11.6(c) relating to the maintenance of a Participant Register, in either case, that are payable or paid by the
Administrative Agent, and reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment
or liability delivered to any Lender by the Administrative Agent shall be conclusive absent manifest error. Each Lender hereby authorizes the Administrative Agent to set off and apply any and all amounts at any time owing to such Lender under any
Loan Document or otherwise payable by the Administrative Agent to the Lender from any other source against any amount due to the Administrative Agent under this paragraph (d). 

(g) If any Lender or the Administrative Agent determines, in its sole discretion that it has received a refund or credit in respect of any
amounts paid by the Borrower pursuant to this subsection 3.10, it shall pay an amount equal to such refund or credit to the Borrower (but only to the extent of amounts paid by the Borrower pursuant to this subsection 3.10) net of all out-of-pocket
expenses of such Lender or the Administrative Agent and without interest (other than any interest paid by the relevant Governmental Authority with respect to such refund); provided, however, that the Borrower, upon the request of such Lender or the
Administrative Agent, agrees to repay the amount paid over to the Borrower pursuant to this paragraph (g) (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) to such Lender or the Administrative Agent
in the event such Lender or the Administrative Agent is required to repay such refund or credit. Notwithstanding anything to the contrary in this paragraph (g), in no event will the indemnified party be required to pay

  
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any amount to an indemnifying party pursuant to this paragraph (g) the payment of which would place the indemnified party in a less favorable net after-Tax position than the indemnified
party would have been in if the Tax subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Tax had never been paid.
This paragraph shall not be construed to require the Administrative Agent or any Lender to make available its tax returns (or any other information relating to its taxes which it deems confidential) to the Borrower or any other Person. 

(h) The agreements in this subsection 3.10 shall survive the termination of this Agreement and each other Loan Document and the payment of the
Loans and all other amounts payable hereunder and thereunder. 
 (i) For purposes of this subsection 3.10, the term “Lender”
includes the Issuing Lenders and the term “applicable law” includes FATCA. 
 3.11 Break Funding Payments 

The Borrower agrees to indemnify each Lender and to hold each Lender harmless from any loss or expense which such Lender may sustain or incur,
including, to the extent any of the Loans are denominated in any Available Foreign Currency, the losses and expenses of such Lender attributable to the premature unwinding of any Hedging Agreement entered into by such Lender in respect of the
foreign currency exposure attributable to such Loan, as a consequence of (a) default by the Borrower in making a conversion into or continuation of LIBOR Loans, after the Borrower has given a notice requesting the same in accordance with the
provisions of this Agreement, (b) default by the Borrower in making any prepayment after the Borrower has given a notice thereof in accordance with the provisions of this Agreement or any other Loan Document, or (c) the making of a
prepayment of LIBOR Loans, or the conversion of LIBOR Loans to ABR Loans, on a day which is not the last day of an Interest Period with respect thereto or (d) any assignment as a result of a request by the Borrower pursuant to subsection 3.12
of any LIBOR Loan. Such indemnification may include an amount equal to the excess, if any, of (i) the amount of interest which would have accrued on the amount so prepaid or converted, or not so borrowed, prepaid, converted or continued, for
the period from the date of such prepayment or conversion or of such failure to borrow, prepay, convert or continue to the last day of such Interest Period (or, in the case of a failure to borrow, convert or continue, the Interest Period that would
have commenced on the date of such failure) at the applicable rate of interest for such Loans provided for herein over (ii) the amount of interest (as reasonably determined by such Lender) which would have accrued to such Lender on such amount
by placing such amount on deposit for a comparable period with leading banks in the interbank eurodollar market. This covenant shall survive the termination of this Agreement and each other Loan Document and the payment of the Loans and all other
amounts payable hereunder and thereunder. A certificate as to any additional amounts payable pursuant to this subsection submitted by such Lender to the Borrower (with a copy to the Administrative Agent) shall be conclusive in the absence of
manifest error. 

  
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 3.12 Change of Lending Office 

If any Lender requests compensation under subsection 3.9, or requires the Borrower to pay any amounts to any Lender or any Governmental
Authority for the account of any Lender pursuant to subsection 3.10(a), then such Lender shall (at the request of the Borrower) use reasonable efforts to designate a different lending office for funding or booking its Loans hereunder or to
assign its rights and obligations hereunder to another of its offices, branches or affiliates, if, in the judgment of such Lender, such designation or assignment (i) would eliminate or reduce amounts payable pursuant to subsection 3.9 or
3.10(a), as the case may be, in the future, and (ii) would not subject such Lender to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender. The Borrower hereby agrees to pay all reasonable costs and
expenses incurred by any Lender in connection with any such designation or assignment. 
 3.13 Replacement of Lenders. 

The Borrower shall be permitted to replace any Lender that (a) requests reimbursement for amounts owing pursuant to subsection 3.9 or
3.10(a), (b) becomes a Defaulting Lender, or (c) does not consent to any proposed amendment, supplement, modification, consent or waiver of any provision of this Agreement or any other Loan Document that requires the consent of each of the
Lenders or each of the Lenders affected thereby (so long as the consent of the Majority Lenders has been obtained) with a replacement financial institution; provided that (i) such replacement does not conflict with any Requirement of
Law, (ii) no Event of Default shall have occurred and be continuing at the time of such replacement, (iii) the replacement financial institution shall purchase, at par, all Loans and other amounts owing to such replaced Lender on or prior
to the date of replacement, (iv) the Borrower shall be liable to such replaced Lender under subsection 3.11 if any LIBOR Loan owing to such replaced Lender shall be purchased other than on the last day of the Interest Period relating thereto,
(v) the replacement financial institution shall be reasonably satisfactory to the Administrative Agent, (vi) the replaced Lender shall be obligated to make such replacement in accordance with the provisions of subsection 11.6 (provided
that the replacement financial institution or the Borrower shall be obligated to pay the registration and processing fee referred to therein), (vii) until such time as such replacement shall be consummated, the Borrower shall pay all additional
amounts (if any) required pursuant to subsection 3.9 or 3.10(a), as the case may be, and (viii) any such replacement shall not be deemed to be a waiver of any rights that the Borrower, the Administrative Agent or any other Lender shall have
against the replaced Lender. Each party hereto agrees that an assignment required pursuant to this paragraph may be effected pursuant to an Assignment and Acceptance executed by the Borrower, the Administrative Agent and the assignee, and that the
Lender required to make such assignment need not be a party thereto in order for such assignment to be effective. A Lender shall not be required to make any such assignment if, prior thereto, as a result of a waiver by such Lender or otherwise
(including as a result of any action taken by such Lender under subsection 3.12), the circumstances entitling the Borrower to require such assignment cease to apply. 

3.14 Defaulting Lenders. Notwithstanding any provision of this Agreement to the contrary, if any Lender becomes a Defaulting Lender,
then the following provisions shall apply for so long as such Lender is a Defaulting Lender: 
 (a) fees shall cease to accrue on the
unfunded portion of the Revolving Credit Commitment of such Defaulting Lender pursuant to subsection 2.5(a); 

  
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 (b) the Revolving Credit Commitment Percentage of such Defaulting Lender shall not be included in
determining whether the Majority Lenders have taken or may take any action hereunder (including any consent to any amendment, waiver or other modification pursuant to subsection 11.1); provided, that this clause (b) shall not apply to the vote
of a Defaulting Lender in the case of an amendment, waiver or other modification requiring the consent of such Lender or each Lender affected thereby; 

(c) if any L/C Exposure exists at the time such Lender becomes a Defaulting Lender then: 

(i) all or any part of the L/C Exposure of such Defaulting Lender shall be reallocated among the non-Defaulting Lenders in
accordance with their respective Revolving Credit Commitment Percentages (excluding from determination thereof the Revolving Credit Commitment of such Defaulting Lender) but only to the extent the sum of all non-Defaulting Lenders’ Revolving
Extensions of Credit plus such Defaulting Lender’s L/C Exposure does not exceed the total of all non-Defaulting Lenders’ Revolving Credit Commitments; 

(ii) if the reallocation described in clause (i) above cannot, or can only partially, be effected, the Borrower shall
within two Business Days following notice by the Administrative Agent, cash collateralize for the benefit of the Issuing Lenders, only the Borrower’s obligations corresponding to such Defaulting Lender’s L/C Exposure (after giving effect
to any partial reallocation pursuant to clause (i) above) in accordance with the procedures set forth in subsection 4.8 for so long as such L/C Exposure is outstanding; 

(iii) if the Borrower cash collateralizes any portion of such Defaulting Lender’s L/C Exposure pursuant to clause
(ii) above, the Borrower shall not be required to pay any fees to such Defaulting Lender pursuant to subsection 4.3(a) with respect to such Defaulting Lender’s L/C Exposure during the period such Defaulting Lender’s L/C Exposure is
cash collateralized; 
 (iv) if the L/C Exposure of the non-Defaulting Lenders is reallocated pursuant to clause
(i) above, then the fees payable to the Lenders pursuant to subsection 2.5(a) and subsection 4.3(a) shall be adjusted in accordance with such non-Defaulting Lenders’ Revolving Credit Commitment Percentages (excluding from determination
thereof the Revolving Credit Commitment of such Defaulting Lender); and 
 (v) if all or any portion of such Defaulting
Lender’s L/C Exposure is neither reallocated nor cash collateralized pursuant to clause (i) or (ii) above, then, without prejudice to any rights or remedies of the Issuing Lenders or any other Lender hereunder, all letter of credit
fees (including fronting fees) payable under subsection 4.3(a) with respect to such Defaulting Lender’s L/C Exposure shall be payable to the applicable Issuing Lender until and to the extent that such L/C Exposure is reallocated and/or cash
collateralized; and 

  
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 (d) so long as such Lender is a Defaulting Lender, no Issuing Lender shall be required to issue,
amend or increase any Letter of Credit, unless it is satisfied that the related exposure and the Defaulting Lender’s then outstanding L/C Exposure will be 100% covered by the Revolving Credit Commitments of the non-Defaulting Lenders and/or
cash collateral will be provided by the Borrower in accordance with subsection 3.14(c), and L/C Exposure related to any newly issued or increased Letter of Credit shall be allocated among non-Defaulting Lenders in a manner consistent with subsection
3.14(c)(i) (and such Defaulting Lender shall not participate therein). 
 If (i) a Bankruptcy Event or a Bail-In Action with respect to
a Lender Parent of any Lender shall occur following the date hereof and for so long as such event shall continue or (ii) any Issuing Lender has a good faith belief that any Lender has defaulted in fulfilling its obligations under one or more
other agreements in which such Lender commits to extend credit, no Issuing Lender shall be required to issue, amend or increase any Letter of Credit, unless the Issuing Lenders shall have entered into arrangements with the Borrower or such Lender,
satisfactory to each Issuing Lender, to defease any risk to it in respect of such Lender hereunder. 
 In the event that the Administrative
Agent, the Borrower, and each Issuing Lender each agrees that a Defaulting Lender has adequately remedied all matters that caused such Lender to be a Defaulting Lender, then the L/C Exposure of the Lenders shall be readjusted to reflect the
inclusion of such Lender’s Revolving Credit Commitment and on such date such Lender shall purchase at par such of the Loans of the other Lenders as the Administrative Agent shall determine may be necessary in order for such Lender to hold such
Loans in accordance with its Revolving Credit Commitment Percentage. 
 3.15 Evidence of Debt 

(a) Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing indebtedness of the Borrower to such
Lender resulting from each Loan of such Lender from time to time, including the amounts of principal and interest payable and paid to such Lender from time to time under this Agreement. 

(b) The Administrative Agent shall maintain the Register pursuant to subsection 11.6(b), and a subaccount therein for each Lender, in which
shall be recorded (i) in the case of Revolving Credit Loans, the amount of each Revolving Credit Loan made hereunder, the Type thereof and each Interest Period applicable thereto, (ii) in the case of Multicurrency Loans, the amount and
currency of each Multicurrency Loans and each Interest Period applicable thereto, (iii) the amount of any principal or interest due and payable or to become due and payable from the Borrower to each Lender hereunder and (iv) both the
amount of any sum received by the Administrative Agent hereunder from the Borrower and each Lender’s share thereof. 

  
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 (c) The entries made in the Register and the accounts of each Lender maintained pursuant to
subsection 3.15 shall, to the extent permitted by applicable law, be prima facie evidence of the existence and amounts of the obligations of the Borrower therein recorded; provided, however, that the failure of any Lender or the
Administrative Agent to maintain the Register or any such account, or any error therein, shall not in any manner affect the obligation of the Borrower to repay (with applicable interest) the Loans made to such Borrower by such Lender in accordance
with the terms of this Agreement. 
 (d) The Borrower agrees that, upon the request to the Administrative Agent by any Lender, the Borrower
will execute and deliver to such Lender a promissory note of the Borrower evidencing the Revolving Credit Loans of such Lender, substantially in the form of Exhibit E with appropriate insertions as to date and principal amount (a
“Note”). 
 SECTION 4. LETTERS OF CREDIT 

4.1 L/C Commitment 
 (a)
Subject to the terms and conditions hereof, each Issuing Lender, in reliance on the agreements of the other Lenders set forth in subsection 4.4(a), agrees to issue standby letters of credit (“Letters of Credit”) for the account of
the Borrower on any Business Day during the Commitment Period in such form as may be approved from time to time by the applicable Issuing Lender; provided that an Issuing Lender shall have no obligation to issue any Letter of Credit if, after
giving effect to such issuance, (i) the L/C Obligations would exceed the L/C Commitment, (ii) such Issuing Lender’s Revolving Extensions of Credit shall exceed its Revolving Credit Commitment or (iii) the Aggregate Revolving
Credit Outstandings would exceed the Aggregate Revolving Credit Commitments. Each Letter of Credit shall (i) be denominated in Dollars and (ii) expire no later than the date that is one Business Day prior to the Termination Date, unless
all the Lenders have approved the expiry date of such Letter of Credit or such Letter of Credit shall have been cash collateralized in a manner acceptable to the applicable Issuing Lender. The Existing Letters of Credit will be deemed Letters of
Credit issued on the Closing Date for all purposes hereunder. 
 (b) No Issuing Lender shall at any time be obligated to issue any Letter of
Credit if such issuance would conflict with, or cause such Issuing Lender or any L/C Participant to exceed any limits imposed by, any applicable Requirement of Law. 

4.2 Procedure for Issuance of Letter of Credit 

The Borrower may from time to time request that an Issuing Lender issue a Letter of Credit by delivering to such Issuing Lender at its address
for notices specified herein an Application therefor, completed to the satisfaction of such Issuing Lender, and such other certificates, documents and other papers and information as such Issuing Lender may reasonably request. Upon receipt of any
Application, the applicable Issuing Lender will process such Application and the certificates, documents and other papers and information delivered to it in connection therewith in accordance with its customary procedures, provided that if the
Borrower furnishes to the Issuing Lender all of the foregoing documentation by no later than 12:00 P.M. on the day which is at least two Business Days prior to the proposed date of issuance, such issuance shall occur by no later than 5:00 P.M. on
the proposed date of issuance. The applicable Issuing Lender shall furnish a copy of such Letter of Credit to the Borrower promptly following the 

  
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issuance thereof and shall deliver the original thereof in accordance with the relevant Application. The applicable Issuing Lender shall promptly furnish to the Administrative Agent, which shall
in turn promptly furnish to the Lenders, notice of the issuance of each Letter of Credit (including the amount thereof). 
 4.3 Fees and
Other Charges 
 (a) The Borrower will pay a fee on all outstanding Letters of Credit at a per annum rate equal to the Applicable Margin
in effect from time to time with respect to LIBOR Loans, shared ratably among the Revolving Lenders and payable quarterly in arrears on each L/C Fee Payment Date after the issuance date (it being understood that with respect to the Existing Letters
of Credit, the issuance date shall be deemed to be the Closing Date). In addition, the Borrower shall pay to each Issuing Lender for its own account a fronting fee of 0.125% per annum on the undrawn and unexpired amount of each Letter of Credit
issued by it, payable quarterly in arrears on each L/C Fee Payment Date after the issuance date (it being understood that with respect to the Existing Letters of Credit, the issuance date shall be deemed to be the Closing Date). 

(b) In addition to the foregoing fees, the Borrower shall pay or reimburse each Issuing Lender for such normal and customary costs and
expenses as are incurred or charged by the Issuing Lender in issuing, negotiating, effecting payment under, amending or otherwise administering any Letter of Credit. 

4.4 L/C Participations 

(a) Each Issuing Lender irrevocably agrees to grant and hereby grants to each L/C Participant, and, to induce each Issuing Lender to issue
Letters of Credit, each L/C Participant irrevocably agrees to accept and purchase and hereby accepts and purchases from the Issuing Lenders, on the terms and conditions set forth below, for such L/C Participant’s own account and risk an
undivided interest equal to such L/C Participant’s Revolving Credit Commitment Percentage in each Issuing Lender’s obligations and rights under and in respect of each Letter of Credit and the amount of each draft paid by the Issuing Lender
thereunder. Each L/C Participant unconditionally and irrevocably agrees with each Issuing Lender that, if a draft is paid under any Letter of Credit for which the applicable Issuing Lender is not reimbursed in full by the Borrower in accordance with
the terms of this Agreement, such L/C Participant shall pay to such Issuing Lender upon demand at such Issuing Lender’s address for notices specified herein an amount equal to such L/C Participant’s Revolving Credit Commitment Percentage
of the amount of such draft, or any part thereof, that is not so reimbursed; provided, however, that subject to subsection 4.4(b) hereof, notwithstanding anything in this Agreement to the contrary, in respect of each drawing under any Letter of
Credit, the maximum amount that shall be payable by any L/C Participant, whether as a Revolving Credit Loan pursuant to subsection 4.5 and/or as a participation pursuant to this subsection 4.4(a), shall not exceed such L/C Participant’s
Revolving Credit Commitment Percentage of the amount of such draft, or any part thereof, that is not so reimbursed by the Borrower. Each L/C Participant’s obligation to pay such amount shall be absolute and unconditional and shall not be
affected by any circumstance, including (i) any setoff, counterclaim, recoupment, defense or other right that such L/C Participant may have against the applicable Issuing Lender, the Borrower or any other Person for any reason

  
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whatsoever, (ii) the occurrence or continuance of a Default or an Event of Default or the failure to satisfy any of the other conditions specified in Section 6, (iii) any adverse
change in the condition (financial or otherwise) of the Borrower, (iv) any breach of this Agreement or any other Loan Document by the Borrower or any other L/C Participant or (v) any other circumstance, happening or event whatsoever,
whether or not similar to any of the foregoing. 
 (b) If any amount required to be paid by any L/C Participant to an Issuing Lender
pursuant to subsection 4.4(a) in respect of any unreimbursed portion of any payment made by such Issuing Lender under any Letter of Credit is not paid to such Issuing Lender on the date such payment is due, but is paid to such Issuing Lender within
three Business Days after the date such payment is due, such L/C Participant shall pay to such Issuing Lender on demand an amount equal to the product of (i) such amount, times (ii) the daily average of the greater of (A) the Federal
Funds Effective Rate and (B) a rate determined by the Administrative Agent in accordance with banking industry rates on interbank compensation during the period from and including the date such payment is required to the date on which such
payment is immediately available to such Issuing Lender, times (iii) a fraction the numerator of which is the number of days that elapse during such period and the denominator of which is 360. If any such amount required to be paid by any L/C
Participant pursuant to subsection 4.4(a) is not made available to the applicable Issuing Lender by such L/C Participant within three Business Days after the date such payment is due, such Issuing Lender shall be entitled to recover from such L/C
Participant, on demand, such amount with interest thereon calculated from such due date at the rate per annum applicable to ABR Loans. A certificate of an Issuing Lender submitted to any L/C Participant with respect to any amounts owing under this
subsection shall be conclusive in the absence of manifest error. Notwithstanding anything contained herein to the contrary, until a L/C Participant funds any amount required to be paid by such L/C Participant to an Issuing Lender pursuant to
subsection 4.4(a), interest allocable to or in respect of such amount shall be solely for the account of such Issuing Lender. 
 (c)
Whenever, at any time after an Issuing Lender has made payment under any Letter of Credit and has received from any L/C Participant its pro rata share of such payment in accordance with subsection 4.4(a), such Issuing Lender receives
any payment related to such Letter of Credit (whether directly from the Borrower or otherwise, including proceeds of collateral applied thereto by the applicable Issuing Lender), or any payment of interest on account thereof, such Issuing Lender
will distribute to such L/C Participant its pro rata share thereof; provided, however, that in the event that any such payment received by such Issuing Lender shall be required to be returned by the applicable Issuing
Lender, such L/C Participant shall return to such Issuing Lender the portion thereof previously distributed by the applicable Issuing Lender to it. 

4.5 Reimbursement Obligation of the Borrower 

The Borrower agrees to reimburse any Issuing Lender on the Business Day next succeeding the Business Day on which such Issuing Lender notifies
the Borrower of the date and amount of a draft presented under any Letter of Credit and paid by such Issuing Lender for the amount of (a) such draft so paid and (b) any Taxes, fees, charges or other costs or expenses incurred by such
Issuing Lender in connection with such payment. Each such payment shall be made to the applicable Issuing Lender in Dollars and in immediately available funds. Interest 

  
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shall be payable on any such amounts from the date on which the relevant draft is paid until payment in full at the rate per annum applicable to ABR Loans set forth in (i) until the Business
Day next succeeding the date of the relevant notice, subsection 3.4(b) and (ii) thereafter, subsection 3.4(d). Each drawing under any Letter of Credit shall (unless an event of the type described in subsection 9(c) or (h) shall have
occurred and be continuing with respect to the Borrower, in which case the procedures specified in subsection 4.4 for funding by L/C Participants shall apply) constitute a request by the Borrower to the Administrative Agent for a borrowing pursuant
to subsection 2.2 of ABR Loans in the amount of such drawing (and the minimum borrowing amount in such subsection shall not apply to such borrowing). The Borrowing Date with respect to such borrowing shall be the first date on which a borrowing of
Revolving Credit Loans could be made, pursuant to subsection 2.2, if the Administrative Agent had received a notice of such borrowing at the time the Administrative Agent receives notice from the relevant Issuing Lender of such drawing under such
Letter of Credit. 
 4.6 Obligations Absolute 

The Borrower’s obligations under this Section 4 shall be absolute and unconditional under any and all circumstances and irrespective
of any setoff, counterclaim or defense to payment that the Borrower may have or have had against any Issuing Lender, any L/C Participant, any beneficiary of a Letter of Credit or any other Person. The Borrower also agrees with the Issuing Lenders
and the L/C Participants that the Issuing Lenders and the L/C Participants shall not be responsible for, and the Borrower’s Reimbursement Obligations under subsection 4.5 shall not be affected by, among other things, the validity or genuineness
of documents or of any endorsements thereon, even though such documents shall in fact prove to be invalid, fraudulent or forged, or any dispute between or among the Borrower and any beneficiary of any Letter of Credit or any other party to which
such Letter of Credit may be transferred or any claims whatsoever of the Borrower against any beneficiary of such Letter of Credit or any such transferee. The Issuing Lenders and the L/C Participants shall not be liable for, and the Borrower’s
Reimbursement Obligations under subsection 4.5 shall not be affected by, any error, omission, interruption or delay in transmission, dispatch or delivery of any message or advice, however transmitted, in connection with any Letter of Credit, except
for errors or omissions found by a final and nonappealable decision of a court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of the applicable Issuing Lender. The Borrower agrees that any action taken or
omitted by an Issuing Lender under or in connection with any Letter of Credit or the related drafts or documents, if done in the absence of gross negligence or willful misconduct and in accordance with the standards of care specified in the Uniform
Commercial Code of the State of New York, shall be binding on the Borrower and shall not result in any liability of any Issuing Lender or any L/C Participant to the Borrower. 

4.7 Letter of Credit Payments 

If any draft shall be presented for payment under any Letter of Credit, the applicable Issuing Lender shall promptly notify the Borrower of
the date and amount thereof. The responsibility of any Issuing Lender to the Borrower in connection with any draft presented for payment under any Letter of Credit shall, in addition to any payment obligation expressly provided for in such Letter of
Credit, be limited to determining that the documents (including each draft) delivered under such Letter of Credit in connection with such presentment are substantially in conformity with such Letter of Credit. 

  
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 4.8 Cash Collateralization 

If an Event of Default shall occur and be continuing and the Borrower receives notice from the Administrative Agent or the Majority Lenders
demanding the deposit of cash collateral pursuant to this paragraph, the Borrower shall immediately deposit into an account established and maintained on the books and records of the Administrative Agent, which account may be a “securities
account” (within the meaning of Section 8-501 of the Uniform Commercial Code as in effect in the State of New York), in the name of the Administrative Agent and for the benefit of the Lenders, an
amount in cash equal to the L/C Obligations as of such date plus any accrued and unpaid interest thereon; provided that the obligation to deposit such cash collateral shall become effective immediately, and such deposit shall become
immediately due and payable, without demand or other notice of any kind, upon the occurrence of any Event of Default with respect to the Borrower described in paragraph (e) or (i) of Section 9. Such deposit shall be held by the
Administrative Agent as collateral for the L/C Obligations under this Agreement, and for this purpose the Borrower hereby grants a security interest to the Administrative Agent for the benefit of the Lenders in such collateral account and in any
financial assets (as defined in the Uniform Commercial Code as in effect in the State of New York) or other property held therein. The Administrative Agent shall have exclusive dominion and control, including the exclusive right of withdrawal, over
such account. Other than any interest earned on the investment of such deposits, which investments shall be made at the option and sole discretion of the Administrative Agent and at the Borrower’s risk and expense, such deposits shall not bear
interest. Interest or profits, if any, on such investments shall accumulate in such account. Moneys in such account shall be applied by the Administrative Agent to reimburse an Issuing Lender for L/C Obligations for which it has not been reimbursed
and, to the extent not so applied, shall be held for the satisfaction of the reimbursement obligations of the Borrower in respect of the other L/C Obligations at such time or, if the maturity of the Loans has been accelerated but subject to the
consent of the applicable Issuing Lender, be applied to satisfy other Obligations; provided, however, that the Borrower shall be entitled to all deposits in such account at such time as no Event of Default shall then exist. 

4.9 Letter of Credit Rules 

Unless otherwise expressly agreed by the applicable Issuing Lender and the Borrower, when a Letter of Credit is issued (including any such
agreement applicable to an Existing Letter of Credit), the rules of the “International Standby Practices 1998” published by the Institute of International Banking Law & Practice (or such later version thereof as may be in effect
at the time of issuance) shall apply to such Letter of Credit. 

  
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 SECTION 5. REPRESENTATIONS AND WARRANTIES 

To induce the Administrative Agent and the Lenders to enter into this Agreement and to make the Loans and issue or participate in the Letters
of Credit, the Borrower hereby represents and warrants to the Administrative Agent and each Lender that: 
 5.1 Financial Condition

 (a) The consolidated and consolidating balance sheets of the Borrower and its consolidated Subsidiaries as at December 31, 2016 and
December 31, 2015, respectively, and the related consolidated and consolidating statements of operations and of cash flows for the fiscal years ended on such dates, reported on by BDO USA, LLP, copies of which have heretofore been furnished to
each Lender, present fairly, in all material respects, the consolidated and consolidating financial condition of the Borrower and its consolidated Subsidiaries as at such dates, and the consolidated and consolidating results of their operations and
of their cash flows for the fiscal years then ended. All such financial statements, including the related schedules and notes thereto, were, as of the date prepared, prepared in accordance with GAAP applied consistently throughout the periods
involved (except as otherwise expressly noted therein, and show all material Indebtedness and other liabilities, direct or contingent, of the Borrower and each of its Subsidiaries as of the dates thereof, including liabilities for Taxes, material
commitments and Indebtedness. Neither the Borrower nor any of its consolidated Subsidiaries had, at the date of the most recent balance sheets referred to above, any material Guarantee Obligation, material contingent liability or material liability
for Taxes, or any material long-term lease or material forward or long-term commitment, including, without limitation, any interest rate or foreign currency swap or
exchange transaction, which is not reflected in the foregoing statements or in the notes thereto. 
 (b) As of the date hereof, there are no
material liabilities or obligations of the Borrower or any of its Subsidiaries, whether direct or indirect, absolute or contingent, or matured or unmatured, other than (i) as disclosed or provided for in the financial statements and notes
thereto which are referred to above, or (ii) which are disclosed elsewhere in this Agreement or in the Schedules hereto, or (iii) arising in the ordinary course of business since December 31, 2016 or (iv) created by this
Agreement. As of the date hereof, the written information, exhibits and reports furnished by the Borrower to the Lenders in connection with the negotiation of this Agreement, taken as a whole, are complete and correct in all material respects. 

5.2 No Material Adverse Change 

Since December 31, 2016, there has been no development or event which has had or could reasonably be expected to have a Material Adverse
Effect. 
 5.3 Organization; Powers 

Each of the Borrower and its Subsidiaries (a) is duly organized, validly existing and in good standing under the laws of the jurisdiction
of its organization, (b) has the requisite corporate or other applicable power and authority, and the legal right, to own and operate its property, to lease the property it operates as lessee and to conduct the business in which it is currently
engaged, (c) is duly qualified as a foreign corporation or other applicable entity and in good standing (or equivalent status) under the laws of each jurisdiction where its ownership, lease or operation of property or the conduct of its
business requires such qualification and (d) is in compliance with all Requirements of Law (provided that no representation or warranty is made in this subsection 5.3(d) with respect to Requirements of Law referred to in subsections 5.8, 5.10,
5.13 or 5.15), except to the extent that the failure of the foregoing clauses (a) (only with respect to Subsidiaries of the Borrower which are not Guarantors), (c) and (d) to be true and correct could not, in the aggregate, reasonably
be expected to have a Material Adverse Effect. 

  
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 5.4 Authorization; Enforceability 

Each of the Borrower and its Subsidiaries has the requisite corporate or other applicable power and authority, and the legal right, to make,
deliver and perform the Loan Documents to which it is a party, if any, and, in the case of the Borrower, to borrow hereunder and has taken all necessary corporate action to authorize (in the case of the Borrower) the borrowings on the terms and
conditions of this Agreement, any Notes and any Applications and to authorize the execution, delivery and performance of the Loan Documents to which it is a party. No consent or authorization of, filing with, notice to or other act by or in respect
of, any Governmental Authority or any other Person is required with respect to the Borrower or any of its Subsidiaries in connection with the borrowings hereunder or with the execution, delivery, performance, validity or enforceability of the Loan
Documents to which the Borrower or any Guarantor (if any) is a party. This Agreement and each other Loan Document to which the Borrower or any Guarantor (if any) is, or is to become, a party has been or will be, duly executed and delivered on behalf
of the Borrower or such Guarantor (if any). This Agreement and each other Loan Document to which the Borrower or any Guarantor (if any) is, or is to become, a party constitutes or will constitute, a legal, valid and binding obligation of the
Borrower or such Guarantor (if any), as the case may be, enforceable against the Borrower or such Guarantor (if any), as the case may be, in accordance with its terms, subject to the effects of bankruptcy, insolvency, fraudulent conveyance,
reorganization, moratorium and other similar laws relating to or affecting creditors’ rights generally, general equitable principles (whether considered in a proceeding in equity or at law) and an implied covenant of good faith and fair
dealing. 
 5.5 Governmental Approvals; No Conflicts 

The execution, delivery and performance of the Loan Documents, the borrowings hereunder and the use of the proceeds thereof will not violate
any Requirement of Law or Contractual Obligation of the Borrower or of any of its Subsidiaries which could reasonably be expected to have a Material Adverse Effect and will not result in, or require, the creation or imposition of any Lien on any of
its or their respective properties or revenues pursuant to any such Requirement of Law or Contractual Obligation which could reasonably be expected to have a Material Adverse Effect. 

5.6 No Material Litigation 

No litigations, investigations or proceedings of or before any arbitrator or Governmental Authority are pending or, to the knowledge of the
Borrower, threatened by or against the Borrower or any of its Subsidiaries or against any of its or their respective properties (a) with respect to any of the Loan Documents or any of the transactions contemplated hereby or thereby, or
(b) as to which (i) there is a reasonable likelihood of an adverse determination and (ii) that, if adversely determined, would, individually or in the aggregate, have a Material Adverse Effect. 

  
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 5.7 Compliance with Laws and Agreements 

Each of the Borrower and its Subsidiaries is in compliance with all laws, regulations and orders of any Governmental Authority applicable to
it or its property and all Contractual Obligations binding upon it or its property, except where the failure to do so, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect. No Default has occurred
and is continuing. 
 5.8 Taxes 

Each of the Borrower and its Subsidiaries has timely filed or caused to be filed all Federal, state and other material Tax returns and reports
required to have been filed and has paid or caused to be paid all such Taxes required to have been paid by it, except (a) Taxes that are being contested in good faith by appropriate proceedings and for which the Borrower or such Subsidiary, as
applicable, has set aside on its books adequate reserves in accordance with GAAP or (b) to the extent that the failure to do so could not individually or in the aggregate reasonably be expected to result in a Material Adverse Effect. 

5.9 Purpose of Loans 

The purpose of the Loans is to finance the working capital and general corporate needs of the Borrower and each of its Subsidiaries and
Affiliates, including, but not limited to, acquisitions and the refinancing of any indebtedness of the Borrower outstanding on the Closing Date. 

5.10 Environmental Matters 

(a) Except for the Disclosed Matters and except with respect to any other matters that, individually or in the aggregate, could not reasonably
be expected to result in a Material Adverse Effect, neither the Borrower nor any of its Subsidiaries (i) has failed to comply with any Environmental Law or to obtain, maintain or comply with any permit, license or other approval required under
any Environmental Law, (ii) has become subject to any Environmental Liability or has actual knowledge of a potential claim that is reasonably likely to result in Environmental Liability to the Borrower or any of its Subsidiaries or
(iii) has received written notice of any claim with respect to any Environmental Liability. 
 (b) Since the date of this Agreement,
with respect to any Environmental Liability, there has been no change in the status of the Disclosed Matters that, individually or in the aggregate, has resulted in, or materially increased the likelihood of, a Material Adverse Effect. 

5.11 Disclosure 
 Any of
the information provided to the Administrative Agent or the Lenders in writing (other than financial projections) in connection with or pursuant to this Agreement, taken as a whole, as of the date such information was furnished to the Administrative
Agent or Lenders and as of the Closing Date, did not contain any untrue statement of any material fact or omit to state a 

  
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fact necessary in order to make such statements or information not misleading in any material respect, in each case in light of the circumstances under which such statements were made or
information provided. Any financial projections contained in the Confidential Information Memorandum that have been furnished to the Administrative Agent and the Lenders in writing in connection with this Agreement, have been prepared in good faith
based upon assumptions which were in the Borrower’s judgment reasonable when such projections were made, it being acknowledged that such projections are subject to the uncertainty inherent in all projections of future results and that there can
be no assurance that the results set forth in such projections will in fact be realized. 
 5.12 Ownership of Property: Liens 

Each of the Borrower and its Subsidiaries has good record and marketable title in fee simple to, or valid leasehold interests in, all real
property necessary or used in the ordinary conduct of its business, except for such defects in title as could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

5.13 ERISA 
 No ERISA
Event has occurred or is reasonably expected to occur that, when taken together with all other such ERISA Events for which liability is reasonably expected to occur, could reasonably be expected to result in a Material Adverse Effect. The present
value of all accumulated benefit obligations under each Plan (based on the assumptions used for purposes of Statement of Financial Accounting Standards No. 87) did not, as of the date of the most recent financial statements reflecting such
amounts, exceed by more than $20,000,000 the fair market value of the assets of such Plan, and the present value of all accumulated benefit obligations of all underfunded Plans (based on the assumptions used for purposes of Statement of Financial
Accounting Standards No. 87) did not, as of the date of the most recent financial statements reflecting such amounts, exceed by more than $20,000,000 the fair market value of the assets of all such underfunded Plans. 

5.14 [Reserved] 
 5.15
Investment and Holding Company Status 
 Neither the Borrower nor any of its Subsidiaries is an “investment company” as
defined in, or subject to regulation under, the Investment Company Act of 1940. 
 5.16 Guarantors 

As of the Closing Date and after giving effect to the transactions contemplated hereby, no Subsidiary has issued or is subject to any
Guarantee Obligation in respect of any debt securities or bank debt of the Borrower. 

  
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 5.17 Anti-Corruption Laws and Sanctions 

The Borrower has implemented and maintains in effect policies and procedures designed to ensure compliance by the Borrower, its Subsidiaries
and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions, and the Borrower, its Subsidiaries and their respective officers and employees and to the knowledge of the Borrower its directors and
agents, are in compliance with Anti-Corruption Laws and applicable Sanctions in all material respects. None of (a) the Borrower, any Subsidiary of the Borrower or any of their respective directors, officers or employees, or (b) to the
knowledge of the Borrower, any agent of the Borrower or any Subsidiary of the Borrower that will act in any capacity in connection with or benefit from the credit facility established hereby, is a Sanctioned Person. No Borrowing or Letter of Credit,
use of proceeds or other transaction contemplated by the Credit Agreement will violate Anti-Corruption Laws or applicable Sanctions. 
 5.18
EEA Financial Institutions. Neither the Borrower nor any Guarantor (if any) is an EEA Financial Institution. 
 SECTION 6.
CONDITIONS PRECEDENT 
 6.1 Conditions to Initial Loans and Letters of Credit 

The agreement of each Lender to make the initial Loan requested to be made by it, or each Issuing Lender to issue, amend, renew or extend any
Letter of Credit, is subject to the satisfaction on the Closing Date of the following conditions precedent: 
 (a) Unless waived by all the
Lenders, the Administrative Agent’s receipt of the following, each properly executed by a Responsible Officer of the Borrower or a Guarantor, as the case may be (to the extent there are any Guarantors as of the Closing Date), each dated the
Closing Date (or, in the case of certificates of governmental officials, a recent date before the Closing Date) and each in form and substance reasonably satisfactory to the Administrative Agent and its legal counsel: 

(i) executed counterparts of this Agreement, sufficient in number for distribution to the Administrative Agent, each Lender,
the Borrower and each Guarantor (to the extent there are any Guarantors as of the Closing Date); 
 (ii) Notes executed by
the Borrower in favor of each Lender requesting such a Note, each in a principal amount equal to such Lender’s Commitment; 

(iii) such certificates of resolutions or other action, incumbency certificates and/or other certificates of Responsible
Officers of the Borrower and/or any of the Guarantors (to the extent there are any Guarantors as of the Closing Date) as the Administrative Agent may require to evidence the identities, authority and capacity of each Responsible Officer thereof
authorized to act as a Responsible Officer in connection with this Agreement and the other Loan Documents; 
 (iv) such
documents and certifications as the Administrative Agent may reasonably require to evidence that each of the Borrower and each Guarantor (to the extent there are any Guarantors as of the Closing Date) is duly organized or formed, validly existing
and in good standing, including certified copies of the organization documents and certificates of good standing with respect to the Borrower and the Guarantors (to the extent there are any Guarantors as of the Closing Date); 

  
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 (v) a certificate signed by a Responsible Officer of the Borrower certifying that
the conditions specified in subsections 6.2(a) and (b) have been satisfied as of the Closing Date (including, solely for purposes of this subsection 6.1, the representations made in subsections 5.2 and 5.6); 

(vi) an opinion of counsel to the Borrower and the Guarantors (to the extent there are any Guarantors as of the Closing Date)
in form and substance reasonably satisfactory to the Administrative Agent; 
 (vii) evidence that the Existing Facility has
been or concurrently with the Closing Date is being terminated, all Indebtedness and obligations of the Borrower incurred thereunder have been, or with the initial Revolving Credit Loans hereunder on the Closing Date will be, repaid and the Borrower
and its Subsidiaries released from all liability thereunder (except such as by their express terms survive such repayment and termination), and all Liens, if any, securing obligations under the Existing Facility have been or concurrently with the
Closing Date are being released; 
 (viii) a compliance certificate substantially in the form attached hereto as Exhibit
G, signed by a Responsible Officer of the Borrower dated as of the Closing Date demonstrating compliance with the financial covenant contained in subsection 8.1 as of the end of the fiscal quarter most recently ended prior to the Closing Date;

 (ix) audited financial statements of the Borrower for fiscal years 2015 and 2016 (which the Administrative Agent
acknowledges it has received); and 
 (x) such other assurances, certificates, documents, consents or opinions as the
Administrative Agent or the Majority Lenders may reasonably require. 
 (b) Any fees required to be paid on or before the Closing Date shall
have been paid. 
 (c) The Borrower shall have paid all Attorney Costs of the Administrative Agent to the extent invoiced prior to or on the
Closing Date. 
 (d) In the good faith judgment of the Administrative Agent and the Lenders: 

(i) there shall not have occurred or become known to the Administrative Agent or any of the Lenders any event, condition,
situation or status since the date of the information contained in any financial and business projections, budgets, pro forma data and forecasts concerning the Borrower and its Subsidiaries delivered to the Administrative Agent and the Lenders prior
to the Closing Date that has had or could reasonably be expected to result in a Material Adverse Effect; 
 (ii) no
litigation, action, suit, investigation or other arbitral, administrative or judicial proceeding shall be pending or threatened against the Borrower or any of its Subsidiaries or against any of its or their respective properties as to which there is
a reasonable likelihood of an adverse determination and that, if adversely determined, would, individually or in the aggregate, have a Material Adverse Effect; and 

  
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 (iii) the Borrower shall have received all approvals, consents and waivers, and
shall have made or given all necessary filings and notices, as shall be required to consummate the transactions contemplated hereby without the occurrence of any material default under, conflict with or violation of (A) any applicable law,
rule, regulation, order or decree of any Governmental Authority or arbitral authority or (B) any agreement, document or instrument to which the Borrower or any Subsidiary is a party or by which any of them or their properties is bound. 

6.2 Conditions to Each Loan and Letter of Credit 

The agreement of each Lender to make any Loan requested to be made by it on any date, or each Issuing Lender to issue, amend, renew or extend
any Letter of Credit (including, without limitation, its initial Loan) is subject to the satisfaction of the following conditions precedent: 

(a) Each of the representations and warranties made by the Borrower in or pursuant to the Loan Documents (excluding the representations made
in subsections 5.2 and 5.6) shall be true and correct in all material respects on and as of such date as if made on and as of such date (or, if such representation or warranty is expressly stated to have been made as of a specific date, as of such
specific date). 
 (b) No Default or Event of Default shall have occurred and be continuing on such date or after giving effect to the Loans
requested to be made or the Letter(s) of Credit requested to be issued, amended, renewed or extended. 
 Each Borrowing (and request for the same) by the
Borrower hereunder shall constitute a representation and warranty by the Borrower as of the date hereof that the conditions contained in this subsection have been satisfied. 

SECTION 7. AFFIRMATIVE COVENANTS 

The Borrower hereby agrees that, so long as the Commitments (or any of them) remain in effect, any Letter of Credit is outstanding or any
amount is owing to any Lender or the Administrative Agent hereunder or under any other Loan Document, the Borrower shall, and (except in the case of delivery of financial information, reports and notices) shall cause each of its Subsidiaries to:

 7.1 Financial Statements. 

Furnish to each Lender (the delivery of which shall be deemed made on the date on which the Borrower provides written notice to the
Administrative Agent that such information has been posted on the Borrower’s website on the Internet at http://www.henryschein.com or is available on the website of the U.S. Securities and Exchange Commission at http://www.sec.gov (to the
extent such information has been posted or is available as described in such notice)): 

  
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 (a) as soon as available, but in any event within 90 days (or, to the extent the Borrower is
a reporting company under the Securities Act of 1933, as amended, such shorter period as shall be required under the applicable rules of the Securities and Exchange Commission for the filing of its annual report on Form 10-K) after the end of each
fiscal year of the Borrower, a copy of the audited consolidated and consolidating balance sheets of the Borrower and its consolidated Subsidiaries as at the end of such year and the related consolidated and consolidating statements of operations and
stockholders’ equity and of cash flows for such year, setting forth in each case in comparative form the figures as of the end of and for the previous year, reported on without a qualification arising out of the scope of the audit, by BDO USA,
LLP or any other independent certified public accountants of nationally recognized standing reasonably acceptable to the Majority Lenders, including an executive summary of the management letter prepared by such accountants; provided, however, that
if a Default or Event of Default shall have occurred and shall be continuing, the full text of such management letter shall be provided to the Administrative Agent; and 

(b) as soon as available, but in any event not later than 45 days (or, to the extent the Borrower is a reporting company under the Securities
Act of 1933, as amended, such shorter period as shall be required under the applicable rules of the Securities and Exchange Commission for the filing of its quarterly report on Form 10-Q) after the end of each of the first three quarterly periods of
each fiscal year of the Borrower, the unaudited consolidated and consolidating balance sheets of the Borrower and its consolidated Subsidiaries as at the end of each such quarter and the related unaudited consolidated and consolidating statements of
operations and of cash flows for such quarter and the portion of the fiscal year through the end of such quarter, setting forth in each case in comparative form the figures as of the end of and for the corresponding period or periods in the previous
year, all certified by a Responsible Officer of the Borrower as being fairly stated in all material respects (subject to normal, recurring, year-end audit adjustments and the absence of GAAP notes thereto). 

(c) All such financial statements shall be prepared in reasonable detail and in accordance with GAAP applied consistently throughout the
periods reflected therein and with prior periods (subject, in the case of the aforesaid quarterly financial statements, to normal, recurring, year-end audit adjustments and the absence of GAAP notes thereto). 

7.2 Certificates; Other Information 

Furnish to the Administrative Agent and, except under paragraph (a) below, each of the Lenders: 

(a) simultaneously with the delivery of the financial statements referred to in subsections 7.1(a) and (b), a certificate of the chief
financial officer or treasurer of the Borrower, certifying that to the best of his knowledge (i) no Default or Event of Default has occurred and is continuing or, if a Default or Event of Default has occurred and is continuing, a statement as
to the nature thereof and the action which is proposed to be taken with respect thereto, with computations demonstrating compliance (or non-compliance, as the case may be) with the covenant contained in subsection 8.1, and (ii) such financial
statements have been prepared in accordance with GAAP (subject in the case of subsection 7.1(b) to normal, recurring, year-end adjustments and except for the absence of GAAP notes thereto); 

  
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 (b) promptly, such additional financial and other information as the Administrative Agent or any
Lender through the Administrative Agent may from time to time reasonably request; 
 (c) promptly after the same are available (which shall
be deemed available on the date on which the Borrower provides written notice to the Administrative Agent that such information has been posted on the Borrower’s website on the Internet at http://www.henryschein.com or is available on the
website of the U.S. Securities and Exchange Commission at http://www.sec.gov (to the extent such information has been posted or is available as described in such notice)), and in any event within five (5) Business Days after the sending or
filing thereof, copies of all proxy statements, financial statements and reports which the Borrower or any of its Subsidiaries sends to its stockholders, and copies of all regular, periodic and special reports and all registration statements which
the Borrower or any such Subsidiary files with the Securities and Exchange Commission or any governmental authority which may be substituted therefor, or with any national securities exchange or state securities administration; and 

(d) upon the reasonable request of Administrative Agent, copies of documents described in Sections 101(k) or 101(l) of ERISA that the Borrower
or any ERISA Affiliate has received from any Multiemployer Plan with respect to such Multiemployer Plan. 
 7.3 Conduct of Business and
Maintenance of Existence 
 (a) Preserve, renew and keep in full force and effect its corporate existence and good standing under the
laws of its jurisdiction of organization (except as could not in the aggregate be reasonably expected to have a Material Adverse Effect or as otherwise permitted hereunder), (b) take all reasonable action to maintain all rights, privileges and
franchises necessary in the normal conduct of its business, and (c) comply with all Contractual Obligations and Requirements of Law, except to the extent that failure to comply therewith could not, in the aggregate, be reasonably expected to
have a Material Adverse Effect. 
 7.4 Payment of Obligations 

Pay and discharge all of its obligations and liabilities as the same shall become due and payable, including (a) all Taxes upon it or its
properties or assets, unless the same are being contested in good faith by appropriate proceedings diligently conducted and adequate reserves in accordance with GAAP are being maintained by the Borrower or such Subsidiary, except to the extent that
the failure to do so could not individually or in the aggregate reasonably be expected to result in a Material Adverse Effect, (b) all lawful claims which, if unpaid, would by law become a Lien upon its property (other than Liens permitted by
subsection 8.2); and (c) all Indebtedness (other than Indebtedness permitted under subsection 8.3(b)(viii)), as and when due and payable (after giving effect to any applicable grace periods), (i) but subject to any subordination provisions
contained in any instrument or agreement evidencing such Indebtedness and (ii) unless the same are being contested in good faith by appropriate proceedings diligently conducted and adequate reserves in accordance with GAAP are being maintained
by the Borrower or such Subsidiary. 

  
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 7.5 Maintenance of Properties 

(a) Maintain, preserve and protect all of its material properties and equipment necessary in the operation of its business in good working
order and condition, ordinary wear and tear excepted, and (b) make all necessary repairs thereto and renewals and replacements thereof except where the failure to do so could not reasonably be expected to have a Material Adverse Effect. 

7.6 Maintenance of Insurance 

Maintain, with financially sound and reputable insurance companies, insurance in such amounts and against such risks as are maintained by
companies engaged in the same or similar businesses operating in the same or similar locations. 
 7.7 Books and Records 

Maintain (a) proper books of record and account in conformity with GAAP consistently applied in which all entries required by GAAP shall
be made of all financial transactions and matters involving the assets and business of the Borrower and its Subsidiaries, and (b) such books of record and account in conformity with all applicable requirements of any Governmental Authority
having regulatory jurisdiction over the Borrower or any of its Subsidiaries, except where the failure to so comply would not result in a Material Adverse Effect. 

7.8 Inspection Rights 

Subject to subsection 11.14, permit representatives and independent contractors of the Administrative Agent and each Lender to visit and
inspect any of its properties, to examine its corporate, financial and operating records, and make copies thereof or abstracts therefrom, and to discuss its affairs, finances and accounts with its officers and independent public accountants, at such
reasonable times during normal business hours as may be reasonably desired, upon reasonable advance notice to a Responsible Officer of the Borrower or such Guarantor (if any), as the case may be; provided, however, that (a) the
Administrative Agent and the Lenders shall not exercise such rights more often than one time during any calendar year absent the existence of an Event of Default; (b) the Lenders shall use reasonable efforts to coordinate with the
Administrative Agent in order to minimize the number of such inspections and discussions and (c) when an Event of Default has occurred and is continuing, the Administrative Agent or any Lender (or any of their respective representatives or
independent contractors) may do any of the foregoing at the expense of the Borrower at any time during normal business hours and without advance notice. 

  
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 7.9 Compliance with Laws 

Comply with all laws, rules, regulations and orders of any Governmental Authority applicable to it or its property, including all
Environmental Laws, except where the failure to do so, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect. The Borrower will maintain in effect and enforce policies and procedures designed to
ensure compliance by the Borrower, its Subsidiaries and their respective directors, officers, employees and agents with Anti-Corruption Laws and applicable Sanctions. 

7.10 Use of Proceeds 

Use the proceeds of Loans to refinance existing Indebtedness under the Existing Facility, for working capital and general corporate purposes
of the Borrower, its Subsidiaries and its Affiliates in the ordinary course of business, including, but not limited to, acquisitions, capital expenditures and the repurchase of its capital stock. No part of the proceeds of any loans will be used,
whether directly or indirectly, for any purpose that entails violation of any of the Regulations of the Federal Reserve Board, including Regulations T, U and X. 

7.11 Notices 
 Promptly
give notice to the Administrative Agent and each Lender upon obtaining actual knowledge of: 
 (a) the occurrence of any Default or Event of
Default; 
 (b) the filing or commencement of any action, suit or proceeding by or before any arbitrator or Governmental Authority against
or affecting the Borrower or any Affiliate thereof that, if adversely determined, could reasonably be expected to have a Material Adverse Effect; 

(c) the following events, as soon as possible and in any event within 30 days after the Borrower knows thereof: (i) the occurrence or
reasonably expected occurrence of any ERISA Event with respect to any Plan, (ii) a failure to make any required contribution to a Plan within the period required by applicable law, (iii) the creation of any Lien in favor of the PBGC or a
Plan or any withdrawal from, or the termination or Insolvency of, any Multiemployer Plan or (iv) the institution of proceedings or the taking of any other similar action by the PBGC or the Borrower or any ERISA Affiliate or any Multiemployer
Plan with respect to the withdrawal from, or the terminating or Insolvency of, any Plan, other than the termination of any Single Employer Plan that is not a distress termination pursuant to Section 4041(c) of ERISA where, with respect to any
event listed above, the amount of liability the Borrower or any ERISA Affiliate could reasonably be expected to incur could reasonably be expected to have a Material Adverse Effect; and 

(d) any other development known to Borrower that results in, or could reasonably be expected to result in, a Material Adverse Effect. 

  
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 Each notice delivered pursuant to this subsection shall be accompanied by a statement of a Responsible Officer of
the Borrower setting forth details of the occurrence or development referred to therein and stating what action the Borrower proposes to take with respect thereto. 

7.12 Guarantors 
 Within
10 days of any Subsidiary becoming, but only for so long as such Subsidiary shall be, a guarantor under or with respect to any Indebtedness or other obligations under the Note Purchase Agreements or any other debt securities or bank debt in an
aggregate principal amount exceeding $200,000,000 (it being understood that undrawn commitments in respect of bank credit facilities shall not constitute “bank debt” for purposes of this definition) issued by the Borrower, cause such
Person to enter into a Guarantee in the form of Exhibit I (or such other agreement in form and substance reasonably acceptable to the Majority Lenders), and thereupon such Person shall become a Guarantor hereunder for all purposes. 

SECTION 8. NEGATIVE COVENANTS 

The Borrower hereby agrees that, so long as the Commitments (or any of them) remain in effect, any Letter of Credit remains outstanding, or
any amount is owing to any Lender or the Administrative Agent hereunder or under any other Loan Document, the Borrower shall not, and shall not permit any of its Subsidiaries to, directly or indirectly (or, in the case of subsection 8.3, the
Borrower will not permit any of its Subsidiaries to, directly or indirectly): 
 8.1 Financial Covenant. Permit the Consolidated
Leverage Ratio at any time during any period of four consecutive fiscal quarters of the Borrower to exceed 3.25 to 1.0; provided, that, to the extent the Borrower consummates an acquisition permitted by this Agreement for aggregate cash
consideration exceeding $150,000,000, the Borrower may elect, upon written notice to the Administrative Agent which shall be provided no later than the last Business Day of the fiscal quarter in which the relevant acquisition is consummated and no
more than three times during the term of the Revolving Credit Facility, to increase the maximum Consolidated Leverage Ratio required by this subsection 8.1 to 3.75 to 1.0 for the four consecutive fiscal quarters of the Borrower following such
acquisition (commencing with and including the fiscal quarter in which such acquisition was consummated). 
 8.2 Limitation on Liens

 Create, incur, assume or suffer to exist any Lien upon any of its property, assets or revenues, whether now owned or hereafter acquired,
except for: 
 (a) Liens for Taxes not yet due or which are being contested in good faith by appropriate proceedings, provided that
adequate reserves with respect thereto are maintained on the books of the Borrower or its Subsidiaries, as the case may be, in conformity with GAAP; 

  
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 (b) carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s or
other like Liens arising in the ordinary course of business which are not overdue for a period of more than 30 days or which are being contested in good faith by appropriate proceedings diligently conducted, if adequate reserves with respect thereto
are maintained on the books of the applicable Person in accordance with GAAP; 
 (c) pledges or deposits made in the ordinary course of
business in compliance with workers’ compensation, unemployment insurance and other social security legislation and deposits made in the ordinary course of business securing liability to insurance carriers under insurance or self-insurance
arrangements; 
 (d) deposits to secure the performance of bids, trade or government contracts (other than for borrowed money), leases,
statutory obligations, surety and appeal bonds, performance bonds and other obligations of a like nature incurred in the ordinary course of business; 

(e) easements, rights-of-way, restrictions, building, zoning and other similar encumbrances or restrictions, utility agreements, covenants,
reservations and encroachments and other similar encumbrances, or leases or subleases, incurred in the ordinary course of business which, in the aggregate, are not substantial in amount and which do not, in the aggregate, materially detract from the
value of the properties of the Borrower and its Subsidiaries, taken as a whole, or materially interfere with the ordinary conduct of the business of the Borrower and its Subsidiaries, taken as a whole; 

(f) Liens securing Indebtedness in respect of capital leases and purchase money obligations for fixed or capital assets; provided that
(i) such Liens do not at any time encumber any property other than the property financed by such Indebtedness, (ii) the Indebtedness secured thereby does not exceed the fair market value of the property being acquired on the date of
acquisition and (iii) such Indebtedness was not incurred in connection with, or in anticipation or contemplation of, an acquisition; 

(g) Liens on the assets of Receivable Subsidiaries created pursuant to any Receivables Transaction permitted pursuant to subsection 8.3(a);

 (h) Liens created or arising pursuant to any Loan Documents; 

(i) Liens granted by any Subsidiary in favor of the Borrower; 

(j) judgment and other similar Liens arising in connection with court proceedings in an aggregate amount not in excess of $10,000,000 (except
to the extent covered by independent third-party insurance) provided that the execution or other enforcement of such Liens is effectively stayed and the claims secured thereby are being actively contested in good faith and by appropriate
proceedings; 
 (k) any Lien on any Property of the Borrower or any Subsidiary existing on the Closing Date and set forth on Schedule 8.2 or
any extension, renewal or refinancing thereof; provided that (i) such Lien shall not apply to any other property or asset of the Borrower or any Subsidiary, (ii) such Lien shall secure only those obligations which it secures as of
the date hereof and (iii) in the case of any extension, renewal or refinancing thereof, (x) there is no increase in the obligations so secured and (y) such Lien does not secure additional assets not subject to the Lien then being
extended or renewed; 

  
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 (l) any Lien existing on any property or asset prior to the acquisition thereof by the Borrower
or any Subsidiary or existing on any property or asset of any Person that becomes a Subsidiary after the date hereof prior to the time such Person becomes a Subsidiary; provided that (i) such Lien is not created in contemplation of or in
connection with such acquisition or such Person becoming a Subsidiary, as the case may be, (ii) such Lien shall not apply to any other property or assets of the Borrower or any Subsidiary and (iii) such Lien shall secure only those
obligations which it secures on the date of such acquisition or the date such Person becomes a Subsidiary, as the case may be; 
 (m) Liens
arising from precautionary UCC financing statements regarding operating leases or consignments; 
 (n) Liens (not otherwise permitted
hereunder) which secure obligations or Indebtedness of the Borrower or any of its Subsidiaries not exceeding the greater of (x) $400,000,000 or (y) 10% of Consolidated Total Assets at the time such Indebtedness is incurred; or 

(o) Liens granted by any Subsidiary of the Borrower that are contractual rights of set-off or netting arrangements relating to pooled deposit
or sweep accounts of such Subsidiary to permit satisfaction of overdraft or similar obligations (including with respect to netting services, automatic clearinghouse arrangements, overdraft protections and similar arrangements) incurred in the
ordinary course of business of such Subsidiary. 
 8.3 Limitation on Indebtedness 

Create, issue, incur, assume, become liable in respect of or suffer to exist: 

(a) any Indebtedness pursuant to any Receivables Transaction, except for Indebtedness pursuant to all Receivables Transactions that is
(i) non-recourse with respect to the Borrower and its Subsidiaries (other than any Receivables Subsidiary) and (ii) in an aggregate principal amount at any time outstanding not exceeding 15% of Consolidated Total Assets at such time; or

 (b) any Indebtedness of any of the Subsidiaries other than (i) Indebtedness of any Receivables Subsidiary pursuant to any
Receivables Transaction permitted under subsection 8.3(a), (ii) any Indebtedness of any Subsidiary as a guarantor under or pursuant to any of those certain Note Purchase Agreements, so long as such Subsidiaries are Guarantors, (iii) any
Indebtedness of any Subsidiary existing on the Closing Date and set forth on Schedule 8.3 and any refinancing thereof; provided, that the then outstanding principal amount thereof is not increased and the weighted average maturity thereof is
not decreased, (iv) any Indebtedness of any Subsidiary which is a Guarantor, (v) any Indebtedness of any Subsidiary owed to the Borrower or any other Subsidiary, (vi) any Indebtedness arising in respect of capital leases or purchase
money obligations incurred in accordance with subsection 8.2(f), (vii) any other Indebtedness of Subsidiaries in an aggregate principal amount at any time outstanding not to 

  
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exceed the greater of (x) $600,000,000 or (y) 10% of Consolidated Total Assets at the time such Indebtedness is incurred, (viii) Indebtedness of any Subsidiary of the Borrower in
respect of netting services, automatic clearinghouse arrangements, overdraft protections and similar arrangements in each case in connection with deposit accounts in the ordinary course of business, and (ix) any Guarantee Obligation of the
Borrower in respect of Indebtedness incurred by any Subsidiary under clause (viii) hereof up to an aggregate principal amount not to exceed $300,000,000 at any time outstanding. 

8.4 Fundamental Changes 

Liquidate, windup or dissolve (or suffer any liquidation or dissolution), or merge, consolidate with or into, or convey, transfer, lease,
sell, assign or otherwise Dispose of (whether in one transaction or in a series of transactions) all or substantially all of its assets (whether now owned or hereafter acquired) to or in favor of any Person, except that, so long as no Default or
Event of Default exists or would result therefrom: 
 (a) any Subsidiary may merge with (i) the Borrower, provided that the Borrower
shall be the continuing or surviving Person, or (ii) any one or more Subsidiaries, provided that (A) when any wholly-owned Subsidiary is merging with another Subsidiary, such wholly-owned Subsidiary shall be the continuing or surviving
Person and (B) when any Foreign Subsidiary is merging with a Domestic Subsidiary, such Domestic Subsidiary shall be the continuing or surviving Person; 

(b) any (i) Subsidiary may sell, transfer, contribute, convey or otherwise Dispose of all or substantially all of its assets (upon
voluntary liquidation or otherwise), to the Borrower or to a Domestic Subsidiary; provided that if the transferor in such a transaction is a wholly-owned Subsidiary, then the transferee must also be a wholly-owned Subsidiary; or (ii) Foreign
Subsidiary may sell, transfer, contribute, convey or otherwise Dispose of all of its assets (upon voluntary liquidation or otherwise), to any other Foreign Subsidiary; 

(c) any Subsidiary formed solely for the purpose of effecting an acquisition may be merged or consolidated with any other Person; provided
that the continuing or surviving corporation of such merger or consolidation shall be a Subsidiary; 
 (d) “Inactive” or
“shell” Subsidiaries (i.e., a Person that is not engaged in any business and that has total assets of $2,000,000 or less) may be dissolved or otherwise liquidated, provided that all of the assets and properties of any such Subsidiaries are
transferred to the Borrower or another Subsidiary upon dissolution/liquidation and the aggregate total assets of all Subsidiaries permitted to be dissolved or otherwise liquidated under this clause (d) shall not exceed $40,000,000; 

(e) the Borrower may merge or consolidate with any Person, provided that the Borrower shall be the continuing or surviving Person; and 

(f) the Borrower and its Subsidiaries may make Dispositions expressly permitted by subsection 8.5. 

  
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 8.5 Dispositions 

Make any Disposition or enter into any agreement to make any Disposition, except: 

(a) Dispositions of obsolete, out-moded or worn-out property, whether now owned or hereafter acquired, in the ordinary course of business;

 (b) Dispositions of inventory and cash equivalents in connection with cash management in the ordinary course of business; 

(c) Dispositions of property by any Subsidiary to the Borrower or to any other Subsidiary; 

(d) Dispositions of Receivables pursuant to Receivables Transactions permitted under subsection 8.3(a); 

(e) the nonexclusive license of intellectual property of the Borrower or any of its Subsidiaries to third parties in the ordinary course of
business; 
 (f) without limitation to clause (a), the Borrower and its Subsidiaries may sell or exchange specific items of machinery or
equipment, so long as the proceeds of each such sale or exchange is used (or contractually committed to be used) to acquire (and results within one year of such sale or exchange in the acquisition of) replacement items of machinery or equipment of
reasonably equivalent Fair Market Value; and 
 (g) other Dispositions where (i) in the good faith opinion of the Borrower, the
Disposition is an exchange for consideration having a Fair Market Value at least equal to that of the property Disposed of and is in the best interest of the Borrower or the applicable Subsidiary, as the case may be; (ii) immediately after
giving effect to such Disposition, no Default or Event of Default would exist; and (iii) immediately after giving effect to such Disposition, the Disposition Value of all property that was the subject thereof in any fiscal four quarter period
of the Borrower plus the Fair Market Value of any other property Disposed of during such four quarter period does not equal or exceed 15% of Consolidated Total Assets as of the end of the then most recently ended fiscal quarter of Borrower. 

8.6 ERISA 
 Engage in a
transaction which could be subject to Section 4069 or 4212(c) of ERISA, or permit any Plan to (a) engage in any non-exempt “prohibited transaction” (as defined in Section 406 of ERISA or Section 4975 of the Code);
(b) fail to comply with ERISA or any other applicable Laws; or (c) incur any material “accumulated funding deficiency” (as defined in Section 412 of the Code or Section 302 of ERISA), which, with respect to any event
listed above, could reasonably be expected to have a Material Adverse Effect. 

  
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 8.7 Transactions with Affiliates 

Enter into any transaction of any kind with any Affiliate of the Borrower, other than for compensation and upon fair and reasonable terms with
Affiliates in transactions that are otherwise permitted hereunder no less favorable to the Borrower or any Subsidiary than would be obtained in a comparable arm’s-length transaction with a Person other than an Affiliate, provided, the foregoing
restriction shall not apply to (a) any transaction between the Borrower and any of its Subsidiaries or between any of its Subsidiaries, (b) reasonable and customary fees paid to members of the Boards of Directors of the Borrower and its
Subsidiaries, (c) transactions effected as part of a Receivables Transaction or (d) compensation arrangements of officers and other employees of the Borrower and its Subsidiaries entered into in the ordinary course of business. 

8.8 Restrictive Agreements 

Enter into, incur or permit to exist any agreement or other arrangement that prohibits, restricts or imposes any condition upon (a) the
ability of the Borrower or any Subsidiary to create, incur or permit to exist any Lien upon any of its property or assets, or (b) the ability of any Subsidiary to pay dividends or other distributions with respect to any shares of its capital
stock or to make or repay loans or advances to the Borrower or any other Subsidiary or to Guarantee Indebtedness of the Borrower or any other Subsidiary; provided that (i) the foregoing shall not apply to prohibitions, restrictions and
conditions (x) imposed by law or (y) contained in any of the Loan Documents, (ii) the foregoing shall not apply to restrictions and conditions existing on the date hereof identified on Schedule 8.8 (but shall apply to any extension or
renewal of, or any amendment or modification expanding the scope of, any such restriction or condition), (iii) the foregoing shall not apply to customary restrictions and conditions contained in agreements relating to the sale of a Subsidiary
pending such sale, provided such restrictions and conditions apply only to the Subsidiary that is to be sold and such sale is permitted hereunder, (iv) clause (a) of the foregoing shall not apply to restrictions or conditions imposed by
any agreement relating to secured Indebtedness permitted by this Agreement if such restrictions or conditions apply only to the property, assets or Equity Interests securing any such Indebtedness; (v) clause (a) of the foregoing shall not
apply to customary provisions in leases and other contracts restricting the assignment thereof, (vi) clauses (a) and (b) of the foregoing shall not apply to agreements governing Indebtedness not restricted by, or Indebtedness
permitted under, subsection 8.3 that contain restrictions no more materially restrictive, taken as a whole, than those contained in this Agreement and, in any event, in the case of any restriction subject to clause (a) above, include an
exception permitting this Agreement (or any refinancing or replacement thereof permitted under such agreement) to be secured on an equal and ratable basis with any such applicable Indebtedness, (vii) clause (b) shall not apply to
(x) agreements governing Indebtedness of a Subsidiary of the Borrower owed to the Borrower or (y) agreements governing Indebtedness of a Subsidiary of the Borrower that is a joint venture owed to the Borrower or any other lender under such
agreement to the extent the Borrower is the administrative agent (or equivalent role) under such agreement and such restriction applies only to the property, assets or Equity Interests of, or dividends, distributions, loans, advances, repayments or
guarantees by, such Subsidiary and (viii) clause (b) shall not apply to restrictions contained in the organizational documents of a Subsidiary that is a joint venture to the extent that such restriction applies only to the property, assets
or Equity Interests of, or dividends, distributions, loans, advances, repayments or guarantees by, such Subsidiary. 

  
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 8.9 Use of Proceeds 

The Borrower will not request any Borrowing or Letter of Credit, and the Borrower shall not use, and shall procure that its Subsidiaries and
its or their respective directors, officers, employees and agents shall not use, the proceeds of any Borrowing or Letter of Credit (A) in furtherance of an offer, payment, promise to pay, or authorization of the payment or giving of money, or
anything else of value, to any Person in violation of any Anti-Corruption Laws, (B) for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned Person, or in any Sanctioned Country, or
(C) in any manner that would result in the violation of any Sanctions applicable to any party hereto. 
 SECTION 9. EVENTS OF
DEFAULT 
 Any of the following shall constitute an Event of Default: 

(a) The Borrower shall fail to pay any principal of any Loan or any Reimbursement Obligation when due in accordance with the terms thereof or
hereof; or the Borrower shall fail to pay any interest on any Loan, or any fee or other amount payable hereunder, within five Business Days after any such interest or other amount becomes due in accordance with the terms thereof or hereof; 

(b) Any representation or warranty made or deemed made by the Borrower or any Guarantor (if any) herein or in any other Loan Document or which
is contained in any certificate, document or financial or other statement furnished by it at any time under or in connection with this Agreement shall prove to have been incorrect or misleading in any material respect when made or deemed made or
furnished; 
 (c) (i) The Borrower shall default in the observance or performance of any covenant contained in subsection 7.10, subsection
7.11(a), subsection 7.12 or Section 8; or (ii) the Borrower shall default in the observance or performance of any covenant contained in subsection 7.1, and such default shall continue unremedied for a period of 15 days; or (iii) the
Borrower shall default in the observance or performance of any other agreement contained in this Agreement (other than as provided above in this Section), and such default described in this clause (c)(iii) shall continue unremedied for a period of
30 days; provided that if any such default covered by this clause (c)(iii), (x) is not capable of being remedied within such 30-day period, (y) is capable of being remedied within an additional 30-day period and (z) the
Borrower is diligently pursuing such remedy during the period contemplated by (x) and (y) and has advised the Administrative Agent as to the remedy thereof, the first 30-day period referred to in this clause (c)(iii) shall be extended for
an additional 30-day period but only so long as (A) the Borrower continues to diligently pursue such remedy, (B) such default remains capable of being remedied within such period and (C) any such extension could not reasonably be
expected to have a Material Adverse Effect; 
 (d) The Borrower or any Subsidiary shall fail to make any payment (whether of principal
or interest and regardless of amount) in respect of any Material Indebtedness (other than Indebtedness permitted under subsection 8.3(b)(viii)), when and as the same shall become due and payable (after giving effect to all applicable grace periods,
if any); 

  
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 (e) An event or condition occurs that results in any Material Indebtedness (other than
Indebtedness permitted under subsection 8.3(b)(viii)) becoming due prior to its scheduled maturity or that enables or permits (with or without the giving of notice, the lapse of time or both) the holder or holders of any Material Indebtedness (other
than Indebtedness permitted under subsection 8.3(b)(viii)) or any trustee or agent on its or their behalf to cause any Material Indebtedness (other than Indebtedness permitted under subsection 8.3(b)(viii)) to become due, or to require the
prepayment, repurchase, redemption or defeasance thereof, prior to its scheduled maturity; provided that this clause (e) shall not apply to secured Indebtedness that becomes due as a result of the voluntary sale or transfer of the
property or assets securing such Indebtedness; 
 (f) An involuntary proceeding shall be commenced or an involuntary petition shall be filed
seeking (i) liquidation, reorganization or other relief in respect of the Borrower, any Guarantor (if any) or any Significant Subsidiary or its debts, or of a substantial part of its assets, under any Federal, state or foreign bankruptcy,
insolvency, receivership or similar law now or hereafter in effect or (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower, any Guarantor (if any) or any Significant Subsidiary
or for a substantial part of its assets, and, in any such case, such proceeding or petition shall continue undismissed for 60 days or an order or decree approving or ordering any of the foregoing shall be entered; 

(g) The Borrower, any Guarantor (if any) or any Significant Subsidiary shall (i) voluntarily commence any proceeding or file any petition
seeking liquidation, reorganization or other relief under any Federal, state or foreign bankruptcy, insolvency, receivership or similar law now or hereafter in effect, (ii) consent to the institution of, or fail to contest in a timely and
appropriate manner, any proceeding or petition described in clause (f) of this Section, (iii) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower, any
Guarantor (if any) or any Significant Subsidiary or for a substantial part of its assets, (iv) file an answer admitting the material allegations of a petition filed against it in any such proceeding, (v) make a general assignment for the
benefit of creditors, (vi) take any action for the purpose of effecting any of the foregoing or (vii) shall become unable, admit in writing its inability or fail generally to pay its debts as they become due; 

(h) An ERISA Event shall have occurred that, in the reasonable credit judgment of the Majority Lenders, when taken together with all other
ERISA Events that have occurred, could reasonably be expected to result in a Material Adverse Effect; 
 (i) Any Loan Document, at any time
after its execution and delivery and for any reason other than the agreement of all the Lenders or satisfaction in full of all the Obligations, ceases to be in full force and effect, or is declared by a court of competent jurisdiction to be null and
void, invalid or unenforceable in any respect; or the Borrower or any Guarantor (if any) denies that it has any or further liability or obligation under any Loan Document, or purports to revoke, terminate or rescind any Loan Document; one or more
judgments (to the extent not covered by insurance where insurance coverage has been acknowledged) for the payment of money in an aggregate amount in excess of $200,000,000 shall be rendered against the Borrower, any Subsidiary or any combination
thereof and the same shall remain undischarged for a period of 45 consecutive days during which execution shall not be effectively stayed, or any action shall be legally taken by a judgment creditor to attach or levy upon any assets of the
Borrower or any Subsidiary to enforce any such judgment; or 

  
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 (j) a Change in Control shall occur; 

then, and in any such event, (A) if such event is an Event of Default specified in paragraph (f) or paragraph (g) above, automatically the
Commitments shall immediately terminate and the Loans hereunder (with accrued interest thereon) and all other amounts owing under this Agreement and the other Loan Documents (including, without limitation, all amounts of L/C Obligations, whether or
not the beneficiaries of the then outstanding Letters of Credit shall have presented the documents required thereunder) shall immediately become due and payable, and (B) if such event is any other Event of Default, either or both of the
following actions may be taken: (i) with the consent of the Majority Lenders, the Administrative Agent may, or upon the request of the Majority Lenders, the Administrative Agent shall, by notice to the Borrower declare the Commitments to be
terminated forthwith, whereupon the Commitments shall immediately terminate; and (ii) with the consent of the Majority Lenders, the Administrative Agent may, or upon the request of the Majority Lenders, the Administrative Agent shall, by notice
to the Borrower, declare the Loans hereunder (with accrued interest thereon) and all other amounts owing under this Agreement and the other Loan Documents (including, without limitation, all amounts of L/C Obligations, whether or not the
beneficiaries of the then outstanding Letters of Credit shall have presented the documents required thereunder) to be due and payable forthwith, whereupon the same shall immediately become due and payable. In the case of all Letters of Credit with
respect to which presentment for honor shall not have occurred at the time of an acceleration pursuant to this paragraph, the Borrower shall at such time deposit in a cash collateral account opened by the Administrative Agent an amount equal to the
aggregate then undrawn and unexpired amount of such Letters of Credit in accordance with the provisions of subsection 4.8. Amounts held in such cash collateral account shall be applied by the Administrative Agent to the payment of drafts drawn under
such Letters of Credit, and the unused portion thereof after all such Letters of Credit shall have expired or been fully drawn upon, if any, shall be applied to repay other then due and owing Obligations. After all such Letters of Credit shall have
expired or been fully drawn upon, all Reimbursement Obligations shall have been satisfied and all other Obligations shall have been paid in full (or in the event that the acceleration that required the funding of such cash collateral account is
rescinded by the Lenders), the balance, if any, in such cash collateral account shall be returned to the Borrower (or such other Person as may be lawfully entitled thereto). The Borrower hereby expressly waives presentment, demand of payment,
protest and all notices whatsoever (other than any notices specifically required hereby). 
 SECTION 10. THE ADMINISTRATIVE AGENT 

10.1 Appointment 
 Each
Lender hereby irrevocably designates and appoints the Administrative Agent as the Administrative Agent of such Lender under this Agreement and the other Loan Documents, and each Lender irrevocably authorizes the Administrative Agent, in such
capacity, to take such action on its behalf under the provisions of this Agreement and the other Loan Documents and to exercise such powers and perform such duties as are expressly delegated to 

  
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the Administrative Agent by the terms of this Agreement and the other Loan Documents, together with such other powers as are reasonably incidental thereto. Notwithstanding any provision to the
contrary elsewhere in this Agreement, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein, or any fiduciary relationship with any Lender, and no implied covenants, functions,
responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Loan Document or otherwise exist against the Administrative Agent. 

10.2 Delegation of Duties 

The Administrative Agent may execute any of its duties under this Agreement and the other Loan Documents by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The Administrative Agent shall not be responsible for the
negligence or misconduct of any agents or attorneys in-fact selected by it with reasonable care. 

10.3 Exculpatory Provisions 

Neither the Administrative Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates shall be (i) liable for any action lawfully taken or omitted to be taken by it or such Person under or in connection with this Agreement or any other Loan Document (except
to the extent that any of the foregoing are found by a final and nonappealable decision of a court of competent jurisdiction to have resulted from its or such Person’s own gross negligence or willful misconduct) or (ii) responsible in any
manner to any of the Lenders for any recitals, statements, representations or warranties made by the Borrower or any officer thereof contained in this Agreement or any other Loan Document or in any certificate, report, statement or other document
referred to or provided for in, or received by the Administrative Agent under or in connection with, this Agreement or any other Loan Document or for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or
any other Loan Document or for any failure of the Borrower to perform its obligations hereunder or thereunder. The Administrative Agent shall not be under any obligation to any Lender to ascertain or to inquire as to the observance or performance of
any of the agreements contained in, or conditions of, this Agreement or any other Loan Document, or to inspect the properties, books or records of the Borrower. 

10.4 Reliance by Administrative Agent 

The Administrative Agent shall be entitled to rely, and shall be fully protected in relying, upon any Note, writing, resolution, notice,
consent, certificate, affidavit, letter, telecopy, telex or teletype message, statement, order or other document or conversation believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or Persons and upon
advice and statements of legal counsel (including, without limitation, counsel to the Borrower), independent accountants and other experts selected by the Administrative Agent. The Administrative Agent may deem and treat the payee of any Note as the
owner thereof for all purposes unless a written notice of assignment, negotiation or transfer thereof shall have been filed with the Administrative Agent. The Administrative Agent shall be fully justified in failing or refusing to take any action
under this Agreement or any other Loan Document unless it shall 

  
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first receive such advice or concurrence of the Majority Lenders (or, to the extent required by this Agreement, all of the Lenders) as it deems appropriate or it shall first be indemnified to its
satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any such action (other than any such liability or expense resulting from the gross negligence or willful
misconduct of the Administrative Agent). The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement and the other Loan Documents in accordance with a request of the Majority Lenders
(or, to the extent required by this Agreement, all of the Lenders), and such request and any action taken or failure to act pursuant thereto shall be binding upon all the Lenders and all future holders of the Loans. 

10.5 Notice of Default 

The Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default hereunder unless
the Administrative Agent has received notice from a Lender or the Borrower referring to this Agreement, describing such Default or Event of Default and stating that such notice is a “notice of default”. In the event that the Administrative
Agent receives such a notice, the Administrative Agent shall give notice thereof to the Lenders. The Administrative Agent shall take such action with respect to such Default or Event of Default as shall be reasonably directed by the Majority Lenders
(or, to the extent required by this Agreement, all of the Lenders); provided that unless and until the Administrative Agent shall have received such directions, the Administrative Agent may (but shall not be obligated to) take such action, or
refrain from taking such action, with respect to such Default or Event of Default as it shall deem advisable in the best interests of the Lenders. 

  
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 10.6 Non-Reliance on Administrative Agent and Other
Lenders 
 Each Lender expressly acknowledges that neither the Administrative Agent nor any of its officers, directors, employees,
agents, attorneys-in-fact or Affiliates has made any representations or warranties to it and that no act by the Administrative Agent hereafter taken, including any
review of the affairs of the Borrower, shall be deemed to constitute any representation or warranty by the Administrative Agent to any Lender. Each Lender represents to the Administrative Agent that it has, independently and without reliance upon
the Administrative Agent or any other Lender, and based on such documents and information as it has deemed appropriate, made its own appraisal of and investigation into the business, operations, property, financial and other condition and
creditworthiness of the Borrower and made its own decision to make its Loans hereunder and enter into this Agreement. Each Lender also represents that it will, independently and without reliance upon the Administrative Agent or any other Lender, and
based on such documents and information as it shall deem appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action under this Agreement and the other Loan Documents, and to make such
investigation as it deems necessary to inform itself as to the business, operations, property, financial and other condition and creditworthiness of the Borrower. Except for notices, reports and other documents expressly required to be furnished to
the Lenders by the Administrative Agent hereunder, the Administrative Agent shall not have any duty or responsibility to provide any Lender with any credit or other information concerning the business, operations, property, condition (financial or
otherwise), prospects or creditworthiness of the Borrower which may come into the possession of the Administrative Agent or any of its officers, directors, employees, agents,
attorneys-in-fact or Affiliates. 
 10.7
Indemnification 
 The Lenders agree to indemnify the Administrative Agent and its officers, directors, employees, affiliates,
agents, advisors and controlling persons (the “Agent Indemnitee”) (to the extent not reimbursed by the Borrower in accordance with the terms hereof and without limiting the obligation of the Borrower to do so), ratably according to
their respective Revolving Credit Commitment Percentages in effect on the date on which indemnification is sought (or, if indemnification is sought after the date upon which the Commitments shall have terminated and the Loans shall have been paid in
full, ratably in accordance with such percentages immediately prior to such date), from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind whatsoever
which may at any time (including, without limitation, at any time following the payment of the Loans) be imposed on, incurred by or asserted against the Administrative Agent in any way relating to or arising out of, the Commitments, this Agreement,
any of the other Loan Documents or any documents contemplated by or referred to herein or therein or the transactions contemplated hereby or thereby or any action taken or omitted by the Administrative Agent under or in connection with any of the
foregoing; provided that no Lender shall be liable for the payment of any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements which are found by a final and
non-appealable decision of a court of competent jurisdiction to have resulted from such Agent Indemnitee’s gross negligence or willful misconduct. The agreements in this subsection 

  
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shall survive the payment of the Loans and all other amounts payable hereunder. Notwithstanding anything contained herein to the contrary, the Issuing Lenders shall have all of the benefits and
immunities (a) provided to the Administrative Agent in this Section 10 with respect to any acts taken or omissions suffered by the Issuing Lenders, as fully as if the term “Administrative Agent” as used in this Section 10
included the Issuing Lenders with respect to such acts or omissions, and (b) as additionally provided herein with respect to the Issuing Lenders. 

10.8 Administrative Agent in Its Individual Capacity 

The Person serving as the Administrative Agent and its Affiliates may make loans to, accept deposits from and generally engage in any kind of
business with the Borrower as though the Person serving as the Administrative Agent were not the Administrative Agent hereunder and under the other Loan Documents. With respect to the Loans made by it and with respect to any Letter of Credit issued
or participated in by it, the Person serving as the Administrative Agent shall have the same rights and powers under this Agreement and the other Loan Documents as any Lender and may exercise the same as though it were not the Administrative Agent,
and the terms “Lender” and “Lenders” shall include the Person serving as the Administrative Agent in its individual capacity. 

10.9 Successor Administrative Agent 

The Administrative Agent may resign as Administrative Agent upon 10 days’ notice to the Lenders and the Borrower provided that any such
resignation by JPMCB shall also constitute its resignation as an Issuing Lender. If the Administrative Agent shall resign as Administrative Agent under this Agreement and the other Loan Documents, then the Majority Lenders shall appoint from among
the Lenders a successor Administrative Agent for the Lenders, which successor Administrative Agent (provided that it shall have been approved by the Borrower), shall succeed to the rights, powers and duties of the Administrative Agent hereunder.
Effective upon such appointment and approval, the term “Administrative Agent” shall mean such successor Administrative Agent, and the former Administrative Agent’s rights, powers and duties as Administrative Agent shall be terminated,
without any other or further act or deed on the part of such former Administrative Agent or any of the parties to this Agreement or any holders of the Loans. After any retiring Administrative Agent’s resignation as Administrative Agent, the
provisions of this Section 10 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement and the other Loan Documents. 

10.10 The Joint Lead Arrangers and the Syndication Agent. 

The Joint Lead Arrangers and Syndication Agent shall not have any right, power, obligation, liability, responsibility or duty under this
Agreement other than those applicable to all Lenders as such. 
 Without limiting the foregoing, none of the Agents shall have or be deemed
to have any fiduciary relationship with any Lender. Each Lender acknowledges that it has not relied, and will not rely, on any of the Agents in deciding to enter into this Agreement or in taking or not taking any action hereunder. 

  
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 SECTION 11. MISCELLANEOUS 

11.1 Amendments and Waivers 

(a) Except as provided in subsection 11.1(b), neither this Agreement nor any other Loan Document, nor any terms hereof or thereof, may be
amended, supplemented or modified except in accordance with the provisions of this subsection. The Majority Lenders may, or, with the written consent of the Majority Lenders, the Administrative Agent may, from time to time, (a) enter into with
the Borrower written amendments, supplements or modifications hereto and to the other Loan Documents for the purpose of adding any provisions to this Agreement or the other Loan Documents or changing in any manner the rights of the Lenders or of the
Borrower hereunder or thereunder or (b) waive, on such terms and conditions as the Majority Lenders or the Administrative Agent, as the case may be, may specify in such instrument, any of the requirements of this Agreement or the other Loan
Documents or any Default or Event of Default and its consequences; provided, however, that no such waiver and no such amendment, supplement or modification shall (i) reduce the amount or extend the scheduled date of maturity of
any Loan, or reduce the stated rate or amount of any interest or fee payable hereunder or extend the scheduled date of any payment thereof or increase the amount or extend the expiration date of any Lender’s Multicurrency Commitment, Revolving
Credit Commitment or L/C Commitment or reduce the amount of or extend the date of any payment required pursuant to subsection 3.1(b), in each case without the consent of each Lender affected thereby, (ii) amend, modify or waive any provision of
this subsection, reduce the percentage specified in the definitions of Majority Leaders, or amend or modify any other provision hereof specifying the number or percentage of Lenders required to waive, amend or modify any rights hereunder or make any
determination granting consent hereunder, or consent to the assignment or transfer by the Borrower or any Guarantor (if any) of any of its rights and obligations under this Agreement and the other Loan Documents, in each case without the written
consent of all the Lenders, (iii) release all or substantially all of the Guarantors (if any) (except where such release is expressly permitted elsewhere in this Agreement without such consent) without the written consent of all the Lenders, or
(iv) (A) amend, modify or waive any provision of Section 10 without the written consent of the then Administrative Agent or (B) affect the rights or duties of the Issuing Lenders under this Agreement or any other Loan Document
without the written consent of the then Issuing Lenders; and further provided, however, that no such waiver and no such amendment, supplement or modification shall amend, modify or waive any provision of any Guarantee executed and
delivered pursuant to subsection 7.12 without the written consent of the Guarantors. Any such waiver and any such amendment, supplement or modification shall apply equally to each of the Lenders and shall be binding upon the Borrower, the Guarantors
(if any), the Lenders, the Administrative Agent and all future holders of the Loans. In the case of any waiver, the Borrower, the Guarantors (if any), the Lenders and the Administrative Agent shall be restored to their former positions and rights
hereunder and under the other Loan Documents, and any Default or Event of Default waived shall be deemed to be cured and not continuing; no such waiver shall extend to any subsequent or other Default or Event of Default or impair any right
consequent thereon. 

  
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 (b) In addition to amendments effected pursuant to the foregoing paragraph (a), additional
freely-convertible eurocurrencies may be added as Available Foreign Currencies, upon execution and delivery by the Borrower, the Administrative Agent and all of the Lenders of an amendment providing for such addition. The Administrative Agent shall
give prompt written notice to each Lender of any such amendment. 
 (c) Furthermore, notwithstanding the foregoing, the Administrative
Agent, with the consent of the Borrower, may amend, modify or supplement any Loan Document without the consent of any Lender or the Majority Lenders in order to correct, amend or cure any ambiguity, inconsistency or defect or correct any
typographical error or other manifest error in any Loan Document. 
 11.2 Notices 

(a) Except in the case of notices and other communications expressly permitted to be given by telephone (and subject to paragraph
(b) below), all notices and other communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by telecopy, as follows: 

(i) if to the Borrower or any of the Guarantors (if any), to Henry Schein, Inc., 135 Duryea Road, Melville, New York, 11747,
Attention of Chief Financial Officer (Telecopy No. (631) 843-5541), with a copy to Proskauer Rose LLP, Eleven Times Square, New York, New York, 10036-8299, Attention of Ron Franklin, Esq. (Telecopy No. (212) 969-3195); 

(ii) if to the Administrative Agent, to it at JPMorgan Chase Bank, N.A., 10 S. Dearborn St. L2 floor Chicago, IL 60603,
Attention of Katy Tyler, (Email: jpm.agency.cri@jpmorgan.com) with a copy to J.P. Morgan Europe Limited, 25 Bank Street, Canary Wharf, London E14 5JP, Attention of The Manager, Loan & Agency Services (Email:
Loan_and_agency_london@jpmorgan.com); 
 (iii) if to JPMCB as Issuing Lender, to it at JPMorgan Chase Bank, N.A., 10
S. Dearborn St. L2 floor Chicago, IL 60603, Attention of Katy Tyler, (Email: chicago.lc.agency.activity.team@jpmchase.com) 

(iv) if to U.S. Bank as Issuing Lender, to it at U.S. Bank National Association, Attn: Global Documentary Services SL-MO-L2IL,
721 Locust Street, St. Louis, Missouri 63101, Attention of Debra Sansom (Phone: 314-418-2875, Email: debbie.k.sansom@usbank.com) or Richard Barth (Phone: 314-418-2883, Email: richard.barth1@usbank.com, Fax: 314-418-8078); and 

(v) if to any other Lender, to it at its address (or telecopy number) set forth in its Administrative Questionnaire and
notified to the Borrower in accordance with the provisions hereof. 

  
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 (b) Notices and other communications to the Lenders hereunder may be delivered or furnished by
electronic communications pursuant to procedures approved by the Administrative Agent and the Lenders; provided that the foregoing shall not apply to notices pursuant to Section 4 unless otherwise agreed by the Administrative Agent and the
applicable Lender. The Administrative Agent or the Borrower may, in its discretion, agree to accept notices and other communications to it hereunder by electronic communications pursuant to procedures approved by it; provided that approval of such
procedures may be limited to particular notices or communications. 
 (c) Any party hereto may change its address or telecopy number for
notices and other communications hereunder by notice to the other parties hereto. All notices and other communications given to any party hereto in accordance with the provisions of this Agreement shall be deemed to have been given on the date of
receipt. 
 11.3 No Waiver; Cumulative Remedies 

No failure to exercise and no delay in exercising, on the part of the Administrative Agent or any Lender, any right, remedy, power or
privilege hereunder or under the other Loan Documents shall operate as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of
any other right, remedy, power or privilege. The rights, remedies, powers and privileges herein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by law. 

11.4 Survival of Representations and Warranties 

All representations and warranties made hereunder, in the other Loan Documents and in any document, certificate or statement delivered
pursuant hereto or in connection herewith shall survive the execution and delivery of this Agreement and the making of the Loans hereunder. 

11.5 Payment of Expenses and Taxes 

The Borrower agrees (a) to pay or reimburse the Administrative Agent, the Syndication Agent and the Lead Arrangers for all their
reasonable and invoiced out-of-pocket costs and expenses incurred in connection with the development, preparation and execution of, and any amendment, supplement or
modification to, this Agreement and the other Loan Documents and any other documents prepared in connection herewith or therewith, and the consummation and administration of the transactions contemplated hereby and thereby, including, without
limitation, the reasonable fees and disbursements of Simpson Thacher & Bartlett LLP, counsel to the Administrative Agent, (b) to pay or reimburse each Lender and the Administrative Agent for all its reasonable and invoiced
out-of-pocket costs and expenses incurred in connection with the enforcement of any rights under this Agreement or any of the other Loan Documents, including, without limitation, the Attorney Costs of one outside counsel (unless there is an actual
or perceived conflict of interest, in which case each Lender affected thereby may retain its own counsel) and applicable local counsel of each Lender and of the Administrative Agent, (c) to pay, and indemnify and hold harmless each Lender and
each Agent and each of their affiliates and their respective officer, directors, employees, administrative agents and advisors (each, an “indemnified party”) from, any and all recording and filing fees

  
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and any and all liabilities with respect to, or resulting from any delay in paying, stamp, excise and other Taxes, if any, which may be payable or determined to be payable in connection with the
execution and delivery of, or consummation or administration of any of the transactions contemplated by, or any amendment, supplement or modification of, or any waiver or consent under or in respect of, this Agreement, the other Loan Documents and
any such other documents, provided that the Borrower shall have no obligation hereunder to any indemnified party with respect to any of the foregoing fees or liabilities which arise from the gross negligence or willful misconduct of such
indemnified party determined in a court of competent jurisdiction in a final non-appealable judgment, and (d) to pay, and indemnify and hold harmless each indemnified party from and against, any and all other liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever with respect to the execution, delivery, enforcement, performance and administration of this Agreement, the other Loan Documents and any
such other documents contemplated hereby or by any Loan Documents, including any claim, litigation, investigation or proceeding regardless of whether any indemnified person is a party thereto and whether or not the same are brought by the Borrower,
its equity holders, affiliates or creditors or any other Person, including any of the foregoing relating to the use of proceeds of the Revolving Loans or Letters of Credit (including any refusal by the Issuing Lender to honor a demand for payment
under a Letter of Credit if the documents presented in connection with such demand do not strictly comply with the terms of such Letter of Credit), and including, without limitation, any of the foregoing relating to the violation of, noncompliance
with, or liability under, any Environmental Law or any Environmental Liability applicable to the operations of the Borrower, any of its Subsidiaries or any of the properties (all the foregoing in this clause (d), collectively, the
“indemnified liabilities”), provided that the Borrower shall have no obligation hereunder to any indemnified party with respect to indemnified liabilities arising from a material breach of the obligations of such
indemnified party under any Loan Document or the bad faith, gross negligence or willful misconduct of such indemnified party, in each case, determined in a court of competent jurisdiction in a final non-appealable judgment. No indemnified party
shall be liable for any damages arising from the use by others of information or other materials obtained through electronic, telecommunications or other information transmission systems, except to the extent any such damages are found by a final
and nonappealable decision of a court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of such indemnified party. No party hereto shall be liable for any indirect, special, exemplary, punitive or
consequential damages in connection with this Agreement or the other Loan Documents or the transactions contemplated hereby or thereby. The agreements in this subsection shall survive the termination of this Agreement and each other Loan Document
and repayment of the Loans and all other amounts payable hereunder. 
 11.6 Successors and Assigns; Participations and Assignments

 (a) The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors
and assigns permitted hereby (including any Affiliate of an Issuing Lender that issues any Letter of Credit), except that (i) neither the Borrower nor any of the Guarantors (if any) may assign or otherwise transfer any of their respective
rights or obligations hereunder without the prior written consent of each Lender (and any attempted assignment or transfer by any such Person without such consent shall be null 

  
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and void) and (ii) no Lender may assign or otherwise transfer its rights or obligations hereunder except in accordance with this subsection. Nothing in this Agreement, expressed or implied,
shall be construed to confer upon any Person (other than the parties hereto, their respective successors and assigns permitted hereby (including any Affiliate of an Issuing Lender that issues any Letter of Credit), Participants (to the extent
provided in paragraph (c) of this subsection) and, to the extent expressly contemplated hereby, the Related Parties of each of the Administrative Agent, the Issuing Lenders and the Lenders) any legal or equitable right, remedy or claim under or
by reason of this Agreement. 
 (b) (i) Subject to the conditions set forth in paragraph (b)(ii) below, any Lender may assign to one or more
assignees (each, an “Assignee”) all or a portion of its rights and obligations under this Agreement (including all or a portion of its Revolving Credit Commitment and the Loans at the time owing to it) with the prior written consent
(such consent not to be unreasonably withheld) of: 
 (A) the Borrower, provided that no consent of the Borrower shall
be required for an assignment to a Lender, an Affiliate of a Lender, an “Approved Fund” (as defined below) or, if an Event of Default has occurred and is continuing, any other Assignee; and, provided, further, that the Borrower shall be
deemed to have consented to any such assignment unless the Borrower shall object thereto by written notice to the Administrative Agent within 10 Business Days after having received notice thereof; and 

(B) the Administrative Agent, provided that no consent of the Administrative Agent shall be required for an assignment
to an Assignee that is a Lender immediately prior to giving effect to such assignment, an Affiliate of a Lender or an “Approved Fund” (as defined below). 

(ii) Assignments shall be subject to the following additional conditions: 

(A) except in the case of an assignment to a Lender or an Affiliate of a Lender or an assignment of the entire remaining amount
of the assigning Lender’s Revolving Credit Commitment, the amount of the Revolving Credit Commitment of the assigning Lender subject to each such assignment (determined as of the date the Assignment and Acceptance, substantially in the form of
Exhibit H (hereinafter, an “Assignment and Acceptance”), with respect to such assignment is delivered to the Administrative Agent) shall not be less than $5,000,000 unless each of the Borrower and the Administrative Agent
otherwise consent, provided that no such consent of the Borrower shall be required if a Default or an Event of Default has occurred and is continuing; 

(B) each partial assignment shall be made as an assignment of a proportionate part of all the assigning Lender’s rights
and obligations under this Agreement: 
 (C) the parties to each assignment shall execute and deliver to the Administrative
Agent an Assignment and Acceptance, together with a processing and recordation fee of $3,500; 

  
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 (D) the Assignee, if it shall not be a Lender, shall deliver to the
Administrative Agent a duly completed Administrative Questionnaire (containing all pertinent information relating to such assignee; 

(E) in the case of an assignment to a “CLO” (as defined below), the assigning Lender shall retain the sole right to
approve any amendment, modification or waiver of any provision of this Agreement, provided that the Assignment and Acceptance between such Lender and such CLO may provide that such Lender will not, without the consent of such CLO, agree to
any amendment, modification or waiver described in the first proviso to subsection 11.1(a) that affects such CLO; and 
 (F)
the Assignee shall not be a natural person. 
 For the purposes of this subsection 11.6(b), the terms “Approved Fund” and
“CLO” have the following meanings: 
 “Approved Fund” means (a) a CLO and (b) with respect to any
Lender that is an institutional fund which invests primarily in bank loans and similar extensions of credit, any other institutional fund that invests primarily in bank loans and similar extensions of credit and is managed by the same investment
advisor as such Lender or by an Affiliate of such investment advisor. 
 “CLO” means any entity (whether a corporation,
partnership, trust or otherwise) that is engaged in making, purchasing, holding or otherwise investing in bank loans and similar extensions of credit in the ordinary course of its business and is administered or managed by a Lender or an Affiliate
of such Lender. 
 (iii) Subject to acceptance and recording thereof pursuant to paragraph (b)(iv) of this subsection,
from and after the effective date specified in each Assignment and Acceptance the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment and Acceptance, have the rights and obligations of a Lender
under this Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Acceptance, be released from its obligations under this Agreement (and, in the case of an Assignment and Acceptance
covering all of the assigning Lender’s rights and obligations under this Agreement, such Lender shall cease to be a party hereto but shall continue to be entitled to the benefits of subsections 3.8, 3.9, 3.10, 3.11 and 11.5). Any assignment or
transfer by a Lender of rights or obligations under this Agreement that does not comply with this subsection 11.6 shall be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and obligations in
accordance with paragraph (c) of this subsection. 
 (iv) The Administrative Agent, acting for this purpose as an agent
of the Borrower, shall maintain at one of its offices a copy of each Assignment and Acceptance delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Revolving Credit Commitment of, and principal
amounts of the Loans owing to, each Lender pursuant to the terms hereof from time to time (the “Register”). The entries in the Register shall be conclusive in the absence of manifest error, and the

  
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Borrower, the Administrative Agent, the Issuing Lenders and the Lenders shall treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all
purposes of this Agreement, notwithstanding notice to the contrary. The Register shall be available for inspection by the Borrower, the Issuing Lenders and any Lender, at any reasonable time and from time to time upon reasonable prior notice. 

(v) Upon its receipt of a duly completed Assignment and Acceptance executed by an assigning Lender and an Assignee, the
Assignee’s completed Administrative Questionnaire (unless the Assignee shall already be a Lender hereunder), the processing and recordation fee referred to in paragraph (b) of this subsection and any written consent to such assignment
required by paragraph (b) of this subsection, the Administrative Agent shall accept such Assignment and Acceptance and record the information contained therein in the Register. No assignment shall be effective for purposes of this Agreement
unless it has been recorded in the Register as provided in this paragraph. 
 (c) (i) Any Lender may, without the consent of the Borrower,
the Administrative Agent or the Issuing Lenders, sell participations to one or more banks or other entities (a “Participant”) in all or a portion of such Lender’s rights and obligations under this Agreement (including all or a
portion of its Revolving Credit Commitment and the Loans owing to it); provided that (A) such Lender’s obligations under this Agreement shall remain unchanged, (B) such Lender shall remain solely responsible to the other
parties hereto for the performance of such obligations and (C) the Borrower, the Administrative Agent, the Issuing Lenders and the other Lenders shall continue to deal solely and directly with such Lender in connection with such Lender’s
rights and obligations under this Agreement. Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole right to enforce this Agreement and to approve any amendment,
modification or waiver of any provision of this Agreement; provided that such agreement or instrument may provide that such Lender will not, without the consent of the Participant, agree to any amendment, modification or waiver described in
the first proviso to subsection 11.1(a) that affects such Participant. Subject to paragraph (c)(ii) of this subsection, the Borrower agrees that each Participant shall be entitled to the benefits of subsections 3.8, 3.9, 3.10 and 3.11 to the same
extent as if it were a Lender and had acquired its interest by assignment pursuant to paragraph (b) of this subsection. To the extent permitted by law, each Participant also shall be entitled to the benefits of subsection 11.7 as though it were
a Lender, provided such Participant agrees to be subject to subsection 11.7 as though it were a Lender. Each Lender that sells a participation shall, acting solely for this purpose as an agent of the Borrower, maintain a register on which it enters
the name and address of each Participant and the principal amounts (and stated interest) of each participant’s interest in the Loans or other obligations under this Agreement (the “Participant Register”). The entries in the
Participant Register shall be conclusive absent manifest error, and such Lender shall treat each person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this Agreement notwithstanding any
notice to the contrary. For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative Agent) shall have no responsibility for maintaining a Participant Register. 

  
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 (ii) A Participant shall not be entitled to receive any greater payment under
subsection 3.9, 3.10 or 3.11 than the applicable Lender would have been entitled to receive with respect to the participation sold to such Participant, unless the sale of the participation to such Participant is made with the Borrower’s prior
written consent to such greater payment. No Participant shall be entitled to the benefits of subsection 3.10 unless such Participant complies with subsection 3.10(d) and (e) as though it were a Lender and such Participant agrees to be subject
to the provisions of sections 3.11 and 3.12 as though it were a Lender. 
 (d) Any Lender may at any time pledge or assign a security
interest in all or any portion of its rights under this Agreement to secure obligations of such Lender, including any pledge or assignment to secure obligations to a Federal Reserve Bank or any Central Bank, and this subsection shall not apply to
any such pledge or assignment of a security interest; provided that no such pledge or assignment of a security interest shall release a Lender from any of its obligations hereunder or substitute any such pledgee or assignee for such Lender as
a party hereto. 
 (e) The Borrower authorizes each Lender to disclose to any Participant or Assignee (each, a
“Transferee”) and any prospective Transferee, subject to the provisions of subsection 11.14, any and all financial information in such Lender’s possession concerning the Borrower and its Subsidiaries and Affiliates which has
been delivered to such Lender by or on behalf of the Borrower pursuant to this Agreement or which has been delivered to such Lender by or on behalf of the Borrower in connection with such Lender’s credit evaluation of such Borrower and its
Subsidiaries and Affiliates prior to becoming a party to this Agreement. 
 (f) For avoidance of doubt, the parties to this Agreement
acknowledge that the provisions of this subsection concerning assignments of Loans and Notes relate only to absolute assignments and that such provisions do not prohibit assignments creating security interests, including, without limitation, any
pledge or assignment by a Lender of any Loan or Note to any Federal Reserve Bank in accordance with applicable law. 
 11.7 Adjustments;
Set-off 
 (a) If any Lender (a “benefited Lender”) shall at any time receive any payment of all or part of its Loans
or the Reimbursement Obligations owing to it then due and owing, or interest thereon, or receive any collateral in respect thereof (whether voluntarily or involuntarily, by set-off, pursuant to events or
proceedings of the nature referred to in subsections 9(f) and (g), or otherwise), in a greater proportion than any such payment to or collateral received by any other Lender (other than to the extent expressly provided herein), if any, in respect of
such other Lender’s Loans or the Reimbursement Obligations owing to it then due and owing, or interest thereon, such benefited Lender shall purchase for cash from the other Lenders a participating interest in such portion of each such other
Lender’s Loans or the Reimbursement Obligations owing to it, or shall provide such other Lenders with the benefits of any such collateral, or the proceeds thereof, as shall be necessary to cause such benefited Lender to share the excess payment
or benefits of such collateral or proceeds ratably with each of the other Lenders; provided, however, that if all or any portion of such excess payment or benefits is thereafter recovered from such benefited Lender, such purchase shall
be rescinded, and the 

  
 83 

 
purchase price and benefits returned, to the extent of such recovery, but without interest; provided further, that to the extent prohibited by applicable law as described in the
definition of “Excluded Swap Obligation,” no amounts received from, or set off with respect to, any Guarantor shall be applied to any Excluded Swap Obligations of such Guarantor. 

(b) In addition to any rights and remedies of the Lenders provided by law, each Lender shall have the right, without prior notice to the
Borrower or the Guarantors (if any), any such notice being expressly waived by the Borrower and the Guarantors (if any) to the extent permitted by applicable law, upon any amount becoming due and payable by the Borrower hereunder (whether at the
stated maturity, by acceleration or otherwise) to set off and appropriate and apply against such amount any and all deposits (general or special, time or demand, provisional or final), in any currency, and any other credits, indebtedness or claims,
in any currency, in each case whether direct or indirect, absolute or contingent, matured or unmatured, at any time held or owing by such Lender or any branch or agency thereof to or for the credit or the account of the Borrower or any of the
Guarantors (if any); provided that if any Defaulting Lender shall exercise any such right of setoff, (i) all amounts so set off shall be paid over immediately to the Administrative Agent for further application in accordance with the provisions
of this Agreement and, pending such payment, shall be segregated by such Defaulting Lender from its other funds and deemed held in trust for the benefit of the Administrative Agent, the Issuing Lenders and the Lenders and (ii) the Defaulting
Lender shall provide promptly to the Administrative Agent a statement describing in reasonable detail the obligations owing to such Defaulting Lender as to which it exercised such right of set-off. Each Lender agrees promptly to notify the Borrower
or any such Guarantor (if any) and the Administrative Agent after any such set-off and application made by such Lender, provided that the failure to give such notice shall not affect the validity of
such set-off and application. 
 11.8 Counterparts 

This Agreement may be executed by one or more of the parties to this Agreement on any number of separate counterparts, and all of said
counterparts taken together shall be deemed to constitute one and the same instrument. Delivery of an executed signature page of this Agreement by email or facsimile transmission shall be effective as delivery of a manually executed counterpart
hereof. A set of the copies of this Agreement signed by all the parties shall be lodged with the Borrower and the Administrative Agent. 

11.9 Severability 
 Any
provision of this Agreement which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any
such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. 

  
 84 

 11.10 Integration 

This Agreement and the other Loan Documents represent the entire agreement of the Borrower, the Administrative Agent and the Lenders with
respect to the subject matter hereof or thereof, and there are no promises, undertakings, representations or warranties by the Administrative Agent or any Lender relative to subject matter hereof or thereof not expressly set forth or referred to
herein or in the other Loan Documents. 
 11.11 GOVERNING LAW 

THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE
WITH, THE LAW OF THE STATE OF NEW YORK. 
 11.12 Submission To Jurisdiction; Waivers 

The Borrower hereby irrevocably and unconditionally: 

(a) submits for itself and its property in any legal action or proceeding relating to this Agreement and the other Loan Documents to which it
is a party, or for recognition and enforcement of any judgment in respect thereof, to the exclusive general jurisdiction of the courts of the State of New York sitting in the Borough of Manhattan County, the courts of the United States of
America for the Southern District of New York, and appellate courts from any thereof; 
 (b) consents that any such action or
proceeding may be brought in such courts and waives any objection that it may now or hereafter have to the venue of any such action or proceeding in any such court or that such action or proceeding was brought in an inconvenient court and agrees not
to plead or claim the same; 
 (c) agrees that service of process in any such action or proceeding may be effected by mailing a copy thereof
by registered or certified mail (or any substantially similar form of mail), postage prepaid, to the Borrower at its address set forth in subsection 11.2 or at such other address of which the Administrative Agent shall have been notified pursuant
thereto; 
 (d) agrees that nothing herein shall affect the right to effect service of process in any other manner permitted by law or shall
limit the right to sue in any other jurisdiction; and 
 (e) waives, to the maximum extent not prohibited by law, any right it may have to
claim or recover in any legal action or proceeding referred to in this subsection any special, exemplary, punitive or consequential damages. 

11.13 Acknowledgements 

The Borrower hereby acknowledges that: 

(a) it has been advised by counsel in the negotiation, execution and delivery of this Agreement and the other Loan Documents; 

  
 85 

 (b) neither the Administrative Agent nor any Lender has any fiduciary relationship with or duty
to the Borrower or any of the Guarantors (if any) arising out of or in connection with this Agreement or any of the other Loan Documents, and the relationship between Administrative Agent and Lenders, on the one hand, and the Borrower and the
Guarantors (if any), on the other hand, in connection herewith or therewith is solely that of debtor and creditor; and 
 (c) no joint
venture is created hereby or by the other Loan Documents or otherwise exists by virtue of the transactions contemplated hereby among the Lenders or among the Borrower, the Guarantors (if any), and the Lenders. 

11.14 Confidentiality 

Each Lender agrees to keep confidential any written or oral information (a) provided to it by or on behalf of the Borrower or any of its
Subsidiaries pursuant to or in connection with this Agreement or any other Loan Document or (b) obtained by such Lender based on a review of the books and records of the Borrower or any of its Subsidiaries; provided that nothing herein shall
prevent any Lender from disclosing any such information (i) to the Administrative Agent, the Issuing Lender or any other Lender, (ii) to any Transferee or any prospective Transferee which receives such information having been made aware of
the confidential nature thereof and having agreed to abide by the provisions of this subsection 11.14, (iii) to its employees, directors, agents, attorneys, accountants and other professional advisors, and to employees and officers of its
Affiliates who agree to be bound by the provisions of this subsection 11.14 or are otherwise subject to a duty of confidentiality and who have a need for such information in connection with this Agreement or other transactions or proposed
transactions with the Borrower, (iv) upon the request or demand of any Governmental Authority having jurisdiction over such Lender, (v) in response to any order of any court or other Governmental Authority or as may otherwise be required
pursuant to any Requirement of Law, (vi) subject to an agreement to comply with the provisions of this subsection, to any actual or prospective counter-party (or its advisors) to any Swap Agreement, (vii) which has been publicly disclosed
other than in breach of this Agreement, (viii) in connection with the exercise of any remedy hereunder or any litigation to which such Lender is a party, or (ix) which is received by such Lender from a Person who, to such Lender’s
knowledge or reasonable belief, is not under a duty of confidentiality to the Borrower or the applicable Subsidiary, as the case may be. 

Each Lender acknowledges that information furnished to it pursuant to this Agreement or the other Loan Documents may include material
non-public information concerning the Borrower and its Affiliates and their related parties or their respective securities, and confirms that it has developed compliance procedures regarding the use of material non-public information and that it
will handle such material non-public information in accordance with those procedures and applicable law, including Federal and state securities laws. 

All information, including requests for waivers and amendments, furnished by the Borrower or the Administrative Agent pursuant to, or in the
course of administering, this Agreement or the other Loan Documents will be syndicate-level information, which may contain material non-public information about the Borrower and its Affiliates and their related parties or their respective
securities. Accordingly, each Lender represents to the Borrower and the Administrative Agent that it has identified in its Administrative Questionnaire a credit contact who may receive information that may contain material non-public information in
accordance with its compliance procedures and applicable law, including Federal and state securities laws. 

  
 86 

 11.15 USA Patriot Act 

Each Lender hereby notifies the Borrower that pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into
law October 26, 2001)) (the “Act”), it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and other information that will allow
such Lender to identify the Borrower in accordance with the Act. 
 11.16 Judgment 

The Borrower, the Administrative Agent and each Lender hereby agree that if, in the event that a judgment is given, in relation to any sum due
the Administrative Agent or any Lender hereunder, in an Available Foreign Currency (the “Judgment Currency”), the Borrower agrees to indemnify the Administrative Agent or such Lender, as the case may be, to the extent that the
Dollar Equivalent amount which could have been purchased on the Business Day following receipt of such sum is less than the sum which could have been so purchased by the Administrative Agent had such purchase been made on the day on which such
judgment was given or, if such day is not a Business Day, on the Business Day immediately preceding the giving of such judgment, and if the amount so purchased exceeds the amount which could have been so purchased had such purchase been made on the
day on which such judgment was given or, if such day is not a Business Day, on the Business Day immediately preceding such judgment, the Administrative Agent or the applicable Lender agrees to remit such excess to the Borrower. The agreements in
this subsection shall survive the termination of this Agreement and each other Loan Document and the payment of the Loans and all other Obligations. 

11.17 WAIVERS OF JURY TRIAL 

THE BORROWER, THE ADMINISTRATIVE AGENT, THE ISSUING LENDERS AND THE LENDERS HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN
ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN. 
 11.18 No
Fiduciary Duty. The Borrower hereby acknowledges and agrees that (a) no fiduciary, advisory or agency relationship between the Credit Parties, on the one hand, and the Borrower and its management, stockholders or creditors is intended
to be or has been created in respect of any of the transactions contemplated by this Agreement or the other Loan Documents, irrespective of whether the Credit Parties have advised or are advising the Loan Parties on other matters, and the
relationship between the Credit Parties, on the one hand, and the Borrower, on the other hand, in connection herewith and therewith is solely that of creditor and debtor, (b) the Credit Parties, on the one hand, and the Borrower, on the other
hand, have an arm’s length business relationship that does not directly or indirectly give rise to, nor does the Borrower rely on, any fiduciary duty to the Borrower or its affiliates on the part of the Credit Parties, (c) the Borrower is
capable of evaluating and understanding, and the Borrower 

  
 87 

 
understands and accepts, the terms, risks and conditions of the transactions contemplated by this Agreement and the other Loan Documents, (d) the Borrower has been advised that the Credit
Parties are engaged in a broad range of transactions that may involve interests that differ from the Borrower’s interests and that the Credit Parties have no obligation to disclose such interests and transactions to the Borrower, (e) the
Borrower has consulted its own legal, accounting, regulatory and tax advisors to the extent the Borrower has deemed appropriate in the negotiation, execution and delivery of this Agreement and the other Loan Documents, (f) each Credit Party has
been, is, and will be acting solely as a principal and, except as otherwise expressly agreed in writing by it and the relevant parties, has not been, is not, and will not be acting as an advisor, agent or fiduciary for the Borrower, any of their
affiliates or any other Person, (g) none of the Credit Parties has any obligation to the Borrower or its affiliates with respect to the transactions contemplated by this Agreement or the other Loan Documents except those obligations expressly
set forth herein or therein or in any other express writing executed and delivered by such Credit Party and the Borrower or any such affiliate and (h) no joint venture is created hereby or by the other Loan Documents or otherwise exists by
virtue of the transactions contemplated hereby among the Credit Parties or among the Borrower and the Credit Parties. 
 11.19
Acknowledgement and Consent to Bail-In of EEA Financial Institutions. 
 Notwithstanding anything to the contrary in any Loan
Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any EEA Financial Institution arising under any Loan Document may be subject to the write-down and
conversion powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by: 
 (a) the
application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which may be payable to it by any party hereto that is an EEA Financial Institution; and 

(b) the effects of any Bail-In Action on any such liability, including, if applicable: 

(i) a reduction in full or in part or cancellation of any such liability; 

(ii) a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial
Institution, its parent entity, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability
under this Agreement or any other Loan Document; or 
 (iii) the variation of the terms of such liability in connection with
the exercise of the Write-Down and Conversion Powers of any EEA Resolution Authority. 
 [Remainder of this page intentionally left
blank.] 

  
 88 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as
of the date first above written. 
  

			
	HENRY SCHEIN, INC.
		
	By:	 	/s/ Michael Amodio
		 	Name: Michael Amodio
		 	Title:   Vice President and Treasurer

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 JPMORGAN CHASE BANK, N.A.
 as
Administrative Agent, Issuing Lender and Lender

		
	By:	 	/s/ Anthony Galea
		 	Name: Anthony Galea
		 	Title:   Executive Director

 [Signature Page – Henry Schein Credit Agreement] 

			
	 U.S. BANK NATIONAL ASSOCIATION

as Syndication Agent, Issuing Lender and Lender

		
	By:	 	/s/ Michael West
		 	Name: Michael West
		 	Title:   Senior Vice President

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 BANK OF AMERICA, N.A.
 as
Lender 

		
	By:	 	/s/ Martha Novak
		 	Name: Martha Novak
		 	Title:   Senior Vice President

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 HSBC BANK USA, N.A.

as Lender 

		
	By:	 	/s/ Robert J. Levins
		 	Name: Robert J. Levins
		 	Title:   Portfolio Manager

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 ING BANK N.V., DUBLIN BRANCH,

as Lender 

		
	By:	 	/s/ Cormac Langford
		 	Name: Cormac Langford
		 	Title:   Director
		
	By:	 	/s/ Sean Hassett
		 	Name: Sean Hassett
		 	Title:   Director

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 THE BANK OF NEW YORK MELLON,

as Lender 

		
	By:	 	/s/ Thomas J. Tarasovich, Jr.
		 	Name: Thomas J. Tarasovich, Jr.
		 	Title:   Vice President

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.

as Lender 

		
	By:	 	/s/ Brian McNany
		 	Name: Brian McNany
		 	Title:   Director

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 UNICREDIT BANK AG, NEW YORK BRANCH

as Lender 

		
	By:	 	/s/ Kimberly Sousa
		 	Name: Kimberly Sousa
		 	Title:   Managing Director
		
	By:	 	/s/ Eleni Athanasatos
		 	Name: Eleni Athanasatos
		 	Title:   Associate Director

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED

as Lender 

		
	By:	 	/s/ Robert Grillo
		 	Name: Robert Grillo
		 	Title:   Director

 [Signature Page – Henry Schein Credit Agreement] 

 
			
	 TD BANK, N.A.,
 as
Lender 

		
	By:	 	/s/ Michele Dragonetti
		 	Name: Michele Dragonetti
		 	Title:   Senior Vice President

 [Signature Page – Henry Schein Credit Agreement] 

 SCHEDULE I 

NAMES AND REVOLVING CREDIT COMMITMENTS OF LENDERS 
  

									
	 Lender
	  	Multicurrency
Commitment	 	  	Revolving
Credit
Commitment	 
	 JPMorgan Chase Bank, N.A.
	  	$	73,333,333.32	 	  	$	110,000,000.00	 
	 U.S. Bank, N.A.
	  	 	73,333,333.32	 	  	 	110,000,000.00	 
	 HSBC Bank USA, N.A.
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 The Bank of Tokyo Mitsubishi UFJ, Ltd.
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 UniCredit Bank AG
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 The Bank of New York Mellon
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 ING Bank N.V.
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 Bank of America, N.A.
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 TD Bank, N.A.
	  	 	46,666,666.67	 	  	 	70,000,000.00	 
	 Australia and New Zealand Banking Group Limited
	  	 	26,666,666.67	 	  	 	40,000,000.00	 
		  	  
	  
	 	  	  
	  
	 
	 Total
	  	$	500,000,000.00	 	  	$	750,000,000.00	 

 SCHEDULE II 

EXISTING LETTERS OF CREDIT 
  

											
	 Description
	  	 Issued
	  	 Maturity/
Paydown
	  	 Auto-Renewal
	  	Outstanding
Liability	 
	 Travelers (T201378)
	  	9/12/12	  	9/12/17	  	Yes- 90 Day Notice	  	 	629,000	 
	 Zurich American (T213763)
	  	9/12/12	  	9/12/17	  	Yes- 30 Day Notice	  	 	350,000	 
	 ARC (Travel) (T244719)
	  	9/12/12	  	9/8/17	  	Yes- 60 Day Notice	  	 	10,000	 
	 Liberty Mutual (T397579)
	  	9/12/12	  	9/1/17	  	Yes- 45 Day Notice	  	 	11,241,001	 
	 USPS (S896648)
	  	6/24/14	  	9/11/17	  	Yes- 45 Day Notice	  	 	50,000	 
	 ADP (CPCS745840)
	  	12/29/15	  	12/29/16	  	Yes- 45 Day Notice	  	 	373,000	 
	 ADP (S-743806)
	  	1/3/17	  	9/11/17	  	Yes- 45 Day Notice	  	 	61,000	 
		  		  		  		  	  
	  
	 
	 Total Credit Used
	  	—	  	—	  	—	  	 	12,714,001	 
		  		  		  		  	  
	  
	 

 SCHEDULE 5.10 

DISCLOSED MATTERS 
 None. 

 SCHEDULE 8.2 

LIENS 
  

							
	 	  	 	  	Amount USD1	 
	 Marrodent
	  	Capital Lease	  	 	135,720	 
	 Dental Trey
	  	Capital Lease	  	 	2,844,648	 
	 Custom Milling Center
	  	Capital Lease	  	 	1,347	 
	 Dental Cremer
	  	Capital Lease	  	 	277,679	 
	 HSAH (Butler Animal Health)
	  	Capital Lease	  	 	284,836	 
	 Noviko
	  	Capital Lease	  	 	39,572	 
	 Medivet
	  	Capital Lease	  	 	173,930	 
	 Vet Quip
	  	Capital Lease	  	 	134,636	 
	 Scil France
	  	Capital Lease	  	 	731,699	 
	 Vettec
	  	Capital Lease	  	 	92,093	 
	 Henry Schein Veterinary Solutions LLC
	  	Capital Lease	  	 	15,390	 
	 HealthFirst
	  	Capital Lease	  	 	8,083	 
	 BioHorizons
	  	Capital Lease	  	 	676,796	 
	 Several Entities
	  	Security Deposits	  	 	230,490	 
	 Henry Schein Canada
	  	Int’l/LC	  	 	3,717	 
	 Henry Schein Australia/New Zealand - Dental
	  	Int’l/LC	  	 	2,622,831	 
	 Henry Schein Austria - Dental
	  	Int’l/LC	  	 	306,272	 
		  		  	  
	  
	 
	 Total
	  		  	 	8,579,739	 

  

	1 	As of December 31, 2016. 

 SCHEDULE 8.3 

SUBSIDIARY INDEBTEDNESS 
  

					
	 	  	Debt USD2	 
	 The Dental Warehouse Proprietary Ltd
	  	 	1,895,147	 
	 HSTS - Trade Business
	  	 	9,810,101	 
	 Accord Corp Ltd
	  	 	426,199	 
	 Dental Speed Graph Subsidiary
	  	 	2,804,722	 
	 Shvadent
	  	 	3,814,298	 
	 HSAH (Butler Animal Health)
	  	 	23,000,000	 
	 Vettec
	  	 	1,384,766	 
	 Granda
	  	 	1,077,040	 
	 Confidential Entity
	  	 	4,637,568	 
	 Grand Total
	  	 	48,849,841	 

  

	2 	As of December 31, 2016. 

 SCHEDULE 8.8 

RESTRICTIVE AGREEMENTS 
  

	1.	$500,000,000 Private Shelf Facility among Henry Schein, Inc., Prudential Investment Management, Inc. and each Prudential affiliate from time to time party thereto, dated August 9, 2010, as amended

  

	2.	$275,000,000 Master Note Facility among Henry Schein, Inc., New York Life Investment Management LLC and each New York Life affiliate from time to time party thereto, dated August 9, 2010, as amended

  

	3.	$200,000,000 Master Note Facility among Henry Schein, Inc., Metropolitan Life Insurance Company, Metlife Investment Advisors Company, LLC and each MetLife affiliate from time to time party thereto, dated April 27,
2012, as amended 

  

	4.	$350,000,000 receivables securitization facility among Henry Schein, Inc., HSFR, Inc. and The Bank of Tokyo-Mitsubishi UFJ, Ltd., dated April 17, 2013, as amended 

 EXHIBIT A 

FORM OF REVOLVING CREDIT LOAN BORROWING NOTICE 

                    ,
20         
 JPMorgan Chase Bank, N.A. 

as Administrative Agent 
 10 S. Dearborn St., L2
floor 
 Chicago, IL 60603 
 Attention of Katy Tyler 

Ladies and Gentlemen: 
 The undersigned, Henry
Schein, Inc., a Delaware corporation, refers to that certain Credit Agreement dated as of April 18, 2017 (as it may be amended, supplemented, restated or otherwise modified from time to time, the “Credit Agreement”) among the
undersigned, the Lenders parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent. Terms defined in the Credit Agreement and not otherwise defined herein have the same respective
meanings when used herein. Pursuant to subsection 2.2(a) of the Credit Agreement, the undersigned hereby requests Revolving Credit Loans under the Credit Agreement and in that connection sets forth below the information relating to such Revolving
Credit Loans (the “Proposed Loan”), as required by subsection 2.2(b) of the Credit Agreement. 
 1. The aggregate amount of
the Proposed Loan is [US$                ] [Available Foreign Currency amount]. 

2. The Borrowing Date of the Proposed Loan is
                , 20        . 

3. The Type of Proposed Loan will be [a LIBOR Loan] [an ABR Loan] [a combination of a LIBOR Loan in the amount of
[US$                ] [Available Foreign Currency amount] and an ABR Loan in the amount of
[US$                ] [Available Foreign Currency amount]]. 

4. [With regard to the LIBOR Loan, the length of the initial Interest Period shall be         
[months][days].] 
 5. Account information:
[                            ]1 

  
  

	1 	Loans denominated in any Available Foreign Currency must be held either at an account held by the Administrative Agent in Chicago or New York, or an account of the Borrower in the relevant jurisdiction of such Available
Foreign Currency and designated by the Borrower in this Borrowing Request. 

 The undersigned hereby certifies that the following statements are true on the date hereof and
will be true on the date of the Proposed Loan: 
 a. The representations and warranties contained in each Loan Document and
certificate or other writing delivered to the Lenders prior to, on or after the Closing Date and on or prior to the date for the Proposed Loan (excluding the representations made in subsections 5.2 and 5.6 of the Credit Agreement) are correct on and
as of the date hereof in all material respects as though made on and as of the date hereof (or, if such representation or warranty is expressly stated to have been made as of a specific date, as of such specific date); and 

b. No Default or Event of Default has occurred and is continuing or would result from the making of the Proposed Loan as of the
date hereof. 
  

			
	Very truly yours,
	
	HENRY SCHEIN, INC.
		
	By:	 	 
	Name:	 	 
	Title:	 	 

 EXHIBIT B 

[Reserved] 

 EXHIBIT C 

FORM OF ASSUMPTION AGREEMENT 

                    ,
20         
  

	To:	JPMorgan Chase Bank, N.A. as 

	 	Administrative Agent under the 

	 	Credit Agreement referred to below 

 Ladies and Gentlemen: 

Reference is made to the Credit Agreement (as amended, restated, extended, supplemented or otherwise modified in writing from time to time,
the “Credit Agreement”) dated as of April 18, 2017 between Henry Schein, Inc. (the “Borrower”), the Lenders parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National
Association, as Syndication Agent. Terms defined in the Credit Agreement are used herein as defined therein. 
 The Borrower and
[                    ] (the “Assuming Lender”) each hereby agree as follows: 

1. The Assuming Lender proposes to become an Assuming Lender pursuant to subsection 2.7 of the Credit Agreement with a
Commitment in the amount of $                     and, in that connection, hereby agrees with the Administrative Agent and the Borrower that
it shall become a Lender for all purposes of the Credit Agreement on the applicable Commitment Increase Date. 
 2. The
Assuming Lender (a) confirms that it has received a copy of the Credit Agreement, together with copies of the financial statements referred to therein and such other documents and information as it has deemed appropriate to make its own credit
analysis and decision to enter into this Assumption Agreement; (b) agrees that it will, independently and without reliance upon the Administrative Agent or any other Lender and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Credit Agreement; (c) appoints and authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such
powers and discretion under the Credit Agreement as are delegated to the Administrative Agent by the terms thereof, together with such powers and discretion as are reasonably incidental thereto; and (d) agrees that it will perform in accordance
with their terms all of the obligations that by the terms of the Credit Agreement are required to be performed by it as a Lender. 

3. Following the execution hereof, this Assumption Agreement will be delivered to the Administrative Agent for acceptance and
recording by the Administrative Agent. The effective date for this Assumption Agreement (the “Effective Date”) shall be the applicable Commitment Increase Date. 

4. Upon the satisfaction of the applicable conditions set forth in subsection 2.7 of the Credit Agreement and upon such
acceptance and recording by the Administrative Agent, as of the Effective Date, the Assuming Lender shall be a party to the Credit Agreement and have all of the rights and obligations of a Lender thereunder. 

5. This Assumption Agreement shall be governed by, and construed in accordance with, the law of the State of New York. 

 6. This Assumption Agreement may be executed in any number of counterparts and by
different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. Delivery of an executed counterpart of this Assumption
Agreement by email or facsimile transmission shall be effective as delivery of a manually executed counterpart of this Assumption Agreement. 

IN WITNESS WHEREOF, the Borrower and the Assuming Lender have caused this letter to be duly executed and delivered as of the date first above
written. 
  

					
	Very truly yours,
	
	HENRY SCHEIN, INC.
		
	By:	 	 
		 	Name:	 	
		 	Title:	 	
	
	[NAME OF ASSUMING LENDER]
		
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 Accepted this          day of
                , 20        : 

JPMORGAN CHASE BANK, N.A. 
 as Administrative Agent 

 

					
		
	By:	 	 
		 	Name:	 	
		 	Title:	 	

 EXHIBIT D 

[RESERVED] 

 EXHIBIT E 

FORM OF REVOLVING CREDIT NOTE 
 THIS NOTE MAY
NOT BE TRANSFERRED EXCEPT IN COMPLIANCE WITH THE TERMS AND PROVISIONS OF THE CREDIT AGREEMENT REFERRED TO BELOW. TRANSFERS OF THIS NOTE MUST BE RECORDED IN THE REGISTER MAINTAINED BY THE ADMINISTRATIVE AGENT PURSUANT TO THE TERMS OF SUCH CREDIT
AGREEMENT. 
 REVOLVING CREDIT NOTE 

$                     

New York, New York 
 FOR VALUE
RECEIVED, the undersigned, Henry Schein, Inc., a Delaware corporation (the “Borrower”), hereby promises to pay to the order of [            ] (the “Lender”) or its
registered assigns, in accordance with the provisions of the Credit Agreement (as defined below), in lawful money of the United States of America and in immediately available funds, on the Termination Date (as defined in the Credit Agreement (as
defined below)), the aggregate unpaid principal amount of all Revolving Credit Loans (as defined in the Credit Agreement (as defined below); capitalized terms used herein but not defined have the meanings given to them in the Credit Agreement) made
by the Lender to the Borrower pursuant to subsection 2.1 of the Credit Agreement (as defined below). The Borrower further agrees to pay interest in like money at such office on the unpaid principal amount of Revolving Credit Loans made by the Lender
from time to time outstanding at the rates and on the dates specified in subsection 3.4 of the Credit Agreement. 
 The holder of this Note
is authorized to endorse on the schedules annexed hereto and made a part hereof, or on a continuation thereof which shall be attached hereto and made a part hereof, the date, Type and amount of each Revolving Credit Loan made by the Lender and the
date and amount of each payment or prepayment of principal thereof, each conversion of all or a portion thereof to another Type, each continuation of all or a portion thereof as the same Type and, in the case of LIBOR Loans, the length of each
Interest Period and the LIBO Rate with respect thereto, provided that the failure to make any such endorsement or any error in such endorsement shall not affect the obligation of the Borrower under the Credit Agreement. 

This Note (a) is one of the Notes referred to in the Credit Agreement, dated as of April 18, 2017, among the Borrower, the Lenders
parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent (as the same may be amended, supplemented or otherwise modified from time to time, the “Credit Agreement”),
(b) is subject to the provisions of the Credit Agreement and (c) is subject to optional and mandatory prepayment in whole or in part as provided in the Credit Agreement. 

Upon the occurrence of any one or more of the Events of Default specified in the Credit Agreement, all amounts then remaining unpaid on this
Note shall become, or may be declared to be, immediately due and payable, all as provided in the Credit Agreement. All parties now and hereafter liable with respect to this Note, whether maker, principal, surety, guarantor, endorser or otherwise,
hereby waive presentment, demand, protest and all other notices of any kind (except as expressly provided in the Credit Agreement and the Loan Documents, including, without limitation, Section 9 of the Credit Agreement). 

THIS REVOLVING CREDIT NOTE SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK

  

					
	HENRY SCHEIN, INC.
		
	By:	 	 
		 	Title:	 	

 Schedule A 

to Revolving Credit Note 

LOANS, CONTINUATIONS, CONVERSIONS AND REPAYMENTS OF ABR LOANS 
  

													
	Date	  	Amount of ABR Loans	  	Amount Converted to
ABR Loans	  	Amount of Principal
of ABR Loans Repaid	  	Amount of ABR Loans
Converted to Eurodollar
Loans	  	Unpaid Principal
Balance of ABR Loans	  	Notation Made By
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 

 Schedule B 

to Revolving Credit Note 

LOANS, CONVERSIONS AND REPAYMENTS OF LIBOR LOANS 
  

															
	Date	  	Amount of LIBOR
Loans	  	Amount Converted to
or Continued as
LIBOR Loans	  	Interest Period and
LIBO Rate with
Respect Thereto	  	Amount of Principal
of LIBOR Loans
Prepaid	  	Amount of LIBOR
Loans Converted to
ABR Loans	  	 Unpaid
Principal
Balance of LIBOR
 Loans
	  	Notation Made By
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 

 EXHIBIT F 

[Reserved] 

 EXHIBIT G 

FORM OF 
 COMPLIANCE CERTIFICATE

 This Compliance Certificate is delivered pursuant to subsection 6.1(a)(viii) of the Credit Agreement, dated as of April 18, 2017 (as
amended, supplemented or otherwise modified from time to time (the “Credit Agreement”), among Henry Schein, Inc. (the “Borrower”), the Lenders parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent and
U.S. Bank National Association, as Syndication Agent. Unless otherwise defined herein, terms defined in the Credit Agreement and used herein shall have the meanings given to them in the Credit Agreement. 

1. I am the duly elected, qualified and acting [Title of Responsible Officer] of the Borrower. 

2. I have reviewed and am familiar with the contents of this Certificate. 

3. Attached hereto as Attachment 1 are the computations showing compliance with the covenant set forth in
subsection 8.1 of the Credit Agreement. 
 IN WITNESS WHEREOF, I have executed this Certificate this
[        ]th day of             , 20        , solely in my capacity as [Title of Responsible
Officer] and not in my individual capacity. 
  

					
	
	 
	Name:	 	
	Title:	 	

 Attachment 1 

to Compliance Certificate 
 The
information described herein is as of             ,             , and pertains to the period from
                ,        to
                          ,             .

 Subsection 8.1– Consolidated Leverage Ratio. 
  

															
	 A.     Consolidated EBITDA:
	       

	
	 1.      Consolidated Operating Income:
	        

	
	 a.      Consolidated Gross Profit
(“CGP”):
	        

			
	 (i)     Net sales
	  				  	 	$                    	 
			
	 (ii)    Cost of sales
	  				  	 	$                    	 
			
	 (iii)  CGP ((i) less (ii))
	  				  	 	$                    	 
			
	 b.      Consolidated Operating Expenses:
	  				  	 	$                    	 
			
	 c.      Consolidated Operating Income (Line A.1(a)(iii)
less Line A.1(b))
	  				  	 	$                    	 
			
	 2.      Consolidated Interest Income:
	  	 	$                    	 	  			
			
	 3.      Depreciation:
	  				  	 	$                    	 
			
	 4.      Amortization:
	  				  	 	$                    	 
			
	 5.      Designated Charges:
	  				  			
			
	 a.      Extraordinary, unusual or non-recurring charges
and expenses
	  				  	 	$                    	 
			
	 b.      Restructuring, consolidation, transaction,
integration or other similar charges and expenses4
	  	 	$                    	 	  			
			
	 c.      Total
	  				  	 	$                    	 

  

	4 	Not to exceed 10% of Consolidated EBITDA for the applicable period. 

													
			
	 6.      Consolidated EBITDA (Lines A.1(c)
+2+3+4+5(c)):
	  				  	 	$                    	 
			
	 B.     Consolidated Total Debt:
	  				  	 	$                    	 
			
	 C.     Consolidated Leverage Ratio (Line B to Line
A)
	  	 	             to 1.00	 	  			
			
	 Maximumpermitted:
	  				  	 	[3.25 to 1.00] 5	 

   

 

	5 	May be increased to 3.75 to 1.0 upon Borrower election pursuant to subsection 8.1 of the Credit Agreement. 

  
 2 

 EXHIBIT H 

FORM OF 
 ASSIGNMENT AND ACCEPTANCE

 Reference is made to the Credit Agreement, dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Henry Schein, Inc. (the “Borrower”), the Lenders parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and U.S. Bank National Association, as Syndication Agent.
Unless otherwise defined herein, terms defined in the Credit Agreement and used herein shall have the meanings given to them in the Credit Agreement. 

The Assignor identified on Schedule l hereto (the “Assignor”) and the Assignee identified on Schedule l hereto (the
“Assignee”) agree as follows: 
 1. For an agreed consideration, the Assignor hereby irrevocably sells and assigns to the Assignee without
recourse to the Assignor, and the Assignee hereby irrevocably purchases and assumes from the Assignor without recourse to the Assignor, as of the Effective Date (as defined below), the interest described in Schedule 1 hereto (the “Assigned
Interest”) in and to the Assignor’s rights and obligations under the Credit Agreement with respect to those credit facilities contained in the Credit Agreement as are set forth on Schedule 1 hereto (individually, an “Assigned
Facility”; collectively, the “Assigned Facilities”), in a principal amount for each Assigned Facility as set forth on Schedule 1 hereto. 

2. The Assignor (a) makes no representation or warranty and assumes no responsibility with respect to any statements, warranties or representations
made in or in connection with the Credit Agreement or with respect to the execution, legality, validity, enforceability, genuineness, sufficiency or value of the Credit Agreement, any other Loan Document or any other instrument or document furnished
pursuant thereto, other than that the Assignor has not created any adverse claim upon the interest being assigned by it hereunder and that such interest is free and clear of any such adverse claim and (b) makes no representation or warranty and
assumes no responsibility with respect to the financial condition of the Borrower, any of its Affiliates or any other obligor or the performance or observance by the Borrower, any of its Affiliates or any other obligor of any of their respective
obligations under the Credit Agreement or any other Loan Document or any other instrument or document furnished pursuant hereto or thereto. 
 3. The
Assignee (a) represents and warrants that it is legally authorized to enter into this Assignment and Acceptance; (b) confirms that it has received a copy of the Credit Agreement, together with copies of the financial statements delivered
pursuant to subsection 5.1 thereof and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment and Acceptance; (c) agrees that it will, independently and
without reliance upon the Assignor, the Agents or any Lender and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Credit Agreement,
the other Loan Documents or any other instrument or document furnished pursuant hereto or thereto; (d) appoints and authorizes the Agents to take such action as agent on its behalf and to exercise such powers and discretion under the Credit
Agreement, the other Loan Documents or any other instrument or document furnished pursuant hereto or thereto as are delegated to the Agents pursuant to the terms thereof, together with such powers as are incidental thereto; and (e) agrees that
it will be bound by the provisions of the Credit Agreement and will perform in accordance with its terms all the obligations which by the terms of the Credit Agreement are required to be performed by it as a Lender including its obligation pursuant
to subsection 3.10(d) of the Credit Agreement. 

 4. The effective date of this Assignment and Acceptance shall be the Effective Date of Assignment described
in Schedule 1 hereto (the “Effective Date”). Following the execution of this Assignment and Acceptance, it will be delivered to the Administrative Agent for acceptance by it and recording by the Administrative Agent pursuant to the
Credit Agreement, effective as of the Effective Date (which shall not, unless otherwise agreed to by the Administrative Agent, be earlier than five Business Days after the date of such acceptance and recording by the Administrative Agent). 

5. Upon such acceptance and recording, from and after the Effective Date, the Administrative Agent shall make all payments in respect of the Assigned
Interest (including payments of principal, interest, fees and other amounts) to the Assignor for amounts which have accrued to the Effective Date and to the Assignee for amounts which have accrued subsequent to the Effective Date. 

6. From and after the Effective Date, (a) the Assignee shall be a party to the Credit Agreement and, to the extent provided in this Assignment and
Acceptance, have the rights and obligations of a Lender thereunder and under the other Loan Documents and shall be bound by the provisions thereof and (b) the Assignor shall, to the extent provided in this Assignment and Acceptance, relinquish
its rights and be released from its obligations under the Credit Agreement. 
 7. The Assignee agrees to deliver to the Administrative Agent a completed
Administrative Questionnaire in which the Assignee designates one or more contacts to whom all syndicate-level information (which may contain material non-public information about the Borrower and its Affiliates and their related parties or their
respective securities,) will be made available and who may receive such information in accordance with the Assignee’s compliance procedures and applicable laws, including Federal and state securities laws. 

8. This Assignment and Acceptance shall be governed by and construed in accordance with the laws of the State of New York. 

IN WITNESS WHEREOF, the parties hereto have caused this Assignment and Acceptance to be executed as of the date first above written by their
respective duly authorized officers on Schedule 1 hereto. 

  
 2 

 Schedule 1 

to Assignment and Acceptance with respect to 

the Credit Agreement, dated as of April 18, 2017, 

among Henry Schein, Inc. (the “Borrower”), 

the Lenders parties thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and 

U.S. Bank National Association, as Syndication Agent. 

Name of Assignor:
                                 

Name of Assignee:
                                 

Effective Date of Assignment:
                        [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF
TRANSFER IN THE REGISTER THEREFOR.] 
  

					
	 Credit Facility Assigned
	  	 Principal
Amount Assigned
	  	Commitment Percentage Assigned
		  	$            	  	        .                
%

  

													
	[Name of Assignee]	 	[Name of Assignor]
					
	By:	 	 	 		 	By:	 	 
		 	Title:	 		 		 		 	Title:	 	

 Accepted for Recordation in the Register: 
  

			
	JPMORGAN CHASE BANK, N.A., as Administrative Agent
	
	By:                                   
                         
	Title:	 	

 Required Consents (if any): 

Consented to and Accepted: 
  

			
	JPMORGAN CHASE BANK, N.A., as Administrative Agent
	
	By:                                   
                         
	Title:	 	

  

			
	[HENRY SCHEIN, INC.]
	
	By:                                   
                         
	Title:	 	

  
 2 

 EXHIBIT I 
  

 
  

GUARANTEE 
 made by 

[NAMES OF SUBSIDIARIES] 
 in favor
of 
 JPMORGAN CHASE BANK, N.A., 

as Administrative Agent 
 Dated as
of                                  ,
20         
  
  

 

 TABLE OF CONTENTS 
  

							
	 	 	 	  	Page	 
	Section 1.	 	DEFINED TERMS	  	 	1	 
	1.1  	 	Definitions	  	 	1	 
	1.2  	 	Other Definitional Provisions	  	 	2	 
			
	Section 2.	 	Guarantee	  	 	2	 
	2.1  	 	Guarantee	  	 	2	 
	2.2  	 	Right of Contribution	  	 	3	 
	2.3  	 	No Subrogation	  	 	3	 
	2.4  	 	Amendments, etc. with respect to the Borrower Obligations	  	 	4	 
	2.5  	 	Guarantee Absolute and Unconditional	  	 	4	 
	2.6  	 	Reinstatement	  	 	5	 
	2.7  	 	Payments	  	 	5	 
			
	Section 3.	 	THE ADMINISTRATIVE AGENT	  	 	5	 
			
	Section 4.	 	MISCELLANEOUS	  	 	5	 
	4.1  	 	Amendments in Writing	  	 	5	 
	4.2  	 	Notices	  	 	5	 
	4.3  	 	No Waiver by Course of Conduct; Cumulative Remedies	  	 	5	 
	4.4  	 	Enforcement Expenses; Indemnification	  	 	6	 
	4.5  	 	Successors and Assigns	  	 	6	 
	4.6  	 	Set-Off	  	 	6	 
	4.7  	 	Counterparts	  	 	7	 
	4.8  	 	Severability	  	 	7	 
	4.9  	 	Section Headings	  	 	7	 
	4.10	 	Integration	  	 	7	 
	4.11	 	GOVERNING LAW	  	 	7	 
	4.12	 	Submission To Jurisdiction; Waivers	  	 	7	 
	4.13	 	Acknowledgements	  	 	8	 
	4.14	 	Additional Guarantors	  	 	8	 
	4.15	 	WAIVER OF JURY TRIAL	  	 	8	 
			
	SCHEDULES	 		  			
			
	Schedule 1	 	Notice Addresses	  			
			
	ANNEXES	 		  			
			
	Annex 1	 	Form of Assumption Agreement	  			

 GUARANTEE 

GUARANTEE, dated as of
                    , 20      , made by each of the signatories hereto (together with any other entity
that may become a party hereto as provided herein, the “Guarantors”), in favor of JPMorgan Chase Bank, N.A., as Administrative Agent (in such capacity, the “Administrative Agent”) for the banks and other financial institutions or
entities (the “Lenders”) from time to time parties to the Credit Agreement, dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”), among Henry Schein, Inc. (the
“Borrower”), the Lenders, the Administrative Agent and U.S. Bank National Association, as Syndication Agent. 
 W I
T N E S S E T H: 
 WHEREAS, pursuant to the Credit Agreement, the Lenders have
severally agreed to make extensions of credit to the Borrower upon the terms and subject to the conditions set forth therein; 
 WHEREAS,
the Borrower is a member of an affiliated group of companies that includes each Guarantor; 
 WHEREAS, the proceeds of the extensions of
credit under the Credit Agreement may be used in part to enable the Borrower to make valuable transfers to one or more of the other Guarantors in connection with the operation of their respective businesses; 

WHEREAS, the Borrower and the Guarantors are engaged in related businesses, and each Guarantor will derive substantial direct and indirect
benefit from the making of the extensions of credit under the Credit Agreement; and 
 WHEREAS, it is a requirement under Section 7.12
of the Credit Agreement that, within 10 days of any Subsidiary becoming a guarantor under any Indebtedness or other obligations under the Note Purchase Agreements or any other debt securities or bank debt in an aggregate principal amount exceeding
$200,000,000 issued by the Borrower, such Subsidiary must enter into this Guarantee and thereupon become a Guarantor under the Credit Agreement; 

NOW, THEREFORE, in consideration of the premises and to induce the Administrative Agent and the Lenders to enter into the Credit Agreement and
to induce the Lenders to make their respective extensions of credit to the Borrower thereunder, each Guarantor hereby agrees with the Administrative Agent, for the ratable benefit of the Lenders, as follows: 

SECTION 1. DEFINED TERMS 

1.1 Definitions. (a) Unless otherwise defined herein, terms defined in the Credit Agreement and used herein shall have the
meanings given to them in the Credit Agreement. 
 (b) The following terms shall have the following meanings: 

“Borrower Obligations”: collectively, the unpaid principal of and interest on the Loans and all other obligations and
liabilities of the Borrower under the Credit Agreement and the other Loan Documents to which it is a party (including, without limitation, interest accruing at the then applicable rate provided in the Credit Agreement or any other applicable Loan
Document after the maturity of the Loans and interest accruing at the then applicable rate provided in the Credit Agreement or any other 

 
applicable Loan Document after the filing of any petition in bankruptcy, or the commencement of any insolvency, reorganization or like proceeding, relating to the Borrower, whether or not a claim
for post-filing or post-petition interest is allowed in such proceeding), whether direct or indirect, absolute or contingent, due or to become due, or now existing or hereafter incurred, which may arise under, out of, or in connection with, the
Credit Agreement, the Notes, the other Loan Documents, Swap Agreements entered into with Lenders or their Affiliates or any other document made, delivered or given in connection therewith, in each case whether on account of principal, interest,
reimbursement obligations, fees, indemnities, costs, expenses or otherwise (including, without limitation, all Attorney Costs of counsel to the Administrative Agent or to the Lenders that are required to be paid by the Borrower pursuant to the terms
of the Credit Agreement or any other Loan Document); provided that for purposes of determining any Guarantor Obligations of any Guarantor under this Agreement, the definition of “Borrower Obligations” shall not create any guarantee
by any Guarantor of any Excluded Swap Obligations of such Guarantor. 
 “Guarantee”: this Guarantee, as the same may be
amended, supplemented or otherwise modified from time to time. 
 “Guarantor Obligations”: with respect to any Guarantor,
all obligations and liabilities of such Guarantor which may arise under or in connection with this Guarantee (including, without limitation, Section 2) or any other Loan Document to which such Guarantor is a party, in each case whether on
account of guarantee obligations, reimbursement obligations, fees, indemnities, costs, expenses or otherwise (including, without limitation, all reasonable fees and disbursements of counsel to the Administrative Agent or to the Lenders that are
required to be paid by such Guarantor pursuant to the terms of this Guarantee or any other Loan Document). 
 “Guarantors”:
as defined in the preamble hereto. 
 “Obligations”: (i) in the case of the Borrower, the Borrower Obligations, and
(ii) in the case of each Guarantor, its Guarantor Obligations. 
 1.2 Other Definitional Provisions. (a) The words
“hereof,” “herein”, “hereto” and “hereunder” and words of similar import when used in this Guarantee shall refer to this Guarantee as a whole and not to any particular provision of this Guarantee, and Section
and Schedule references are to this Guarantee unless otherwise specified. 
 (b) The meanings given to terms defined herein shall be equally
applicable to both the singular and plural forms of such terms. 
 SECTION 2. GUARANTEE 

2.1 Guarantee. (a) Each of the Guarantors hereby, jointly and severally, unconditionally and irrevocably, guarantees to the
Administrative Agent, for the ratable benefit of the Lenders and their respective successors, indorsees, transferees and assigns, the prompt and complete payment and performance by the Borrower when due (whether at the stated maturity, by
acceleration or otherwise) of the Borrower Obligations (other than, with respect to any Guarantor, any Excluded Swap Obligations of such Guarantor). 

(b) Anything herein or in any other Loan Document to the contrary notwithstanding, the maximum liability of each Guarantor hereunder and under
the other Loan Documents shall in no event exceed the amount which can be guaranteed by such Guarantor under applicable federal and state laws relating to the insolvency of debtors (after giving effect to the right of contribution established in
Section 2.2). 

  
 2 

 (c) Subject to Section 2(b), each Guarantor agrees that the Borrower Obligations may at any
time and from time to time exceed the amount of the liability of such Guarantor hereunder without impairing the guarantee contained in this Section 2 or affecting the rights and remedies of the Administrative Agent or any Lender hereunder. 

(d) The guarantee contained in this Section 2 shall remain in full force and effect until all the Borrower Obligations and the
obligations of each Guarantor under the guarantee contained in this Section 2 shall have been satisfied by payment in full, no Letter of Credit shall be outstanding and the Commitments shall be terminated, notwithstanding that from time to time
during the term of the Credit Agreement the Borrower may be free from any Borrower Obligations. 
 (e) No payment made by the Borrower, any
of the Guarantors, any other guarantor or any other Person or received or collected by the Administrative Agent or any Lender from the Borrower, any of the Guarantors, any other guarantor or any other Person by virtue of any action or proceeding or
any set-off or appropriation or application at any time or from time to time in reduction of or in payment of the Borrower Obligations shall be deemed to modify, reduce, release or otherwise affect the liability of any Guarantor hereunder which
shall, notwithstanding any such payment (other than any payment made by such Guarantor in respect of the Borrower Obligations or any payment received or collected from such Guarantor in respect of the Borrower Obligations), remain liable for the
Borrower Obligations up to the maximum liability of such Guarantor hereunder until the Borrower Obligations are paid in full, no Letter of Credit shall be outstanding and the Commitments are terminated. 

2.2 Right of Contribution. Each Guarantor hereby agrees that to the extent that a Guarantor shall have paid more than its proportionate
share of any payment made hereunder, such Guarantor shall be entitled to seek and receive contribution from and against any other Guarantor hereunder which has not paid its proportionate share of such payment. Each Guarantor’s right of
contribution shall be subject to the terms and conditions of Section 2.3. The provisions of this Section 2.2 shall in no respect limit the obligations and liabilities of any Guarantor to the Administrative Agent and the Lenders, and each
Guarantor shall remain liable to the Administrative Agent and the Lenders for the full amount guaranteed by such Guarantor hereunder. 
 2.3
No Subrogation. Notwithstanding any payment made by any Guarantor hereunder or any set-off or application of funds of any Guarantor by the Administrative Agent or any Lender, no Guarantor shall be entitled to be subrogated to any of the
rights of the Administrative Agent or any Lender against the Borrower or any other Guarantor or any guarantee or right of offset held by the Administrative Agent or any Lender for the payment of the Borrower Obligations, nor shall any Guarantor seek
or be entitled to seek any contribution or reimbursement from the Borrower or any other Guarantor in respect of payments made by such Guarantor hereunder, until all amounts owing to the Administrative Agent and the Lenders by the Borrower on account
of the Borrower Obligations are paid in full, no Letter of Credit shall be outstanding and the Commitments are terminated. If any amount shall be paid to any Guarantor on account of such subrogation rights at any time when all of the Borrower
Obligations shall not have been paid in full, such amount shall be held by such Guarantor in trust for the Administrative Agent and the Lenders, segregated from other funds of such Guarantor, and shall, forthwith upon receipt by such Guarantor, be
turned over to the Administrative Agent in the exact form received by such Guarantor (duly indorsed by such Guarantor to the Administrative Agent, if required), to be applied against the Borrower Obligations, whether matured or unmatured, in such
order as the Administrative Agent may determine. 

  
 3 

 2.4 Amendments, etc. with respect to the Borrower Obligations. Each Guarantor shall remain
obligated hereunder notwithstanding that, without any reservation of rights against any Guarantor and without notice to or further assent by any Guarantor, any demand for payment of any of the Borrower Obligations made by the Administrative Agent or
any Lender may be rescinded by the Administrative Agent or such Lender and any of the Borrower Obligations continued, and the Borrower Obligations, or the liability of any other Person upon or for any part thereof, or any guarantee therefor or right
of offset with respect thereto, may, from time to time, in whole or in part, be renewed, extended, amended, modified, accelerated, compromised, waived, surrendered or released by the Administrative Agent or any Lender, and the Credit Agreement and
the other Loan Documents and any other documents executed and delivered in connection therewith may be amended, modified, supplemented or terminated, in whole or in part, as the Administrative Agent (or the Majority Lenders or all Lenders, as the
case may be) may deem advisable from time to time, and any guarantee or right of offset at any time held by the Administrative Agent or any Lender for the payment of the Borrower Obligations may be sold, exchanged, waived, surrendered or released.

 2.5 Guarantee Absolute and Unconditional. Each Guarantor, to the maximum extent permitted by applicable law, waives any and all
notice of the creation, renewal, extension or accrual of any of the Borrower Obligations and notice of or proof of reliance by the Administrative Agent or any Lender upon the guarantee contained in this Section 2 or acceptance of the guarantee
contained in this Section 2; the Borrower Obligations, and any of them, shall conclusively be deemed to have been created, contracted or incurred, or renewed, extended, amended or waived, in reliance upon the guarantee contained in this
Section 2; and all dealings between the Borrower and any of the Guarantors, on the one hand, and the Administrative Agent and the Lenders, on the other hand, likewise shall be conclusively presumed to have been had or consummated in reliance
upon the guarantee contained in this Section 2. Each Guarantor, to the maximum extent permitted by applicable law, waives diligence, presentment, protest, demand for payment and notice of default or nonpayment to or upon the Borrower or any of
the Guarantors with respect to the Borrower Obligations. Each Guarantor understands and agrees that the guarantee contained in this Section 2 shall be construed as a continuing, absolute and unconditional guarantee of payment without regard to
(a) the validity or enforceability of the Credit Agreement or any other Loan Document, any of the Borrower Obligations or any other guarantee or right of offset with respect thereto at any time or from time to time held by the Administrative
Agent or any Lender, (b) any defense, set-off or counterclaim (other than a defense of payment or performance) which may at any time be available to or be asserted by the Borrower or any other Person against the Administrative Agent or any
Lender, or (c) any other circumstance whatsoever (with or without notice to or knowledge of the Borrower or such Guarantor) which constitutes, or might be construed to constitute, an equitable or legal discharge of the Borrower for the Borrower
Obligations, or of such Guarantor under the guarantee contained in this Section 2, in bankruptcy or in any other instance. When making any demand hereunder or otherwise pursuing its rights and remedies hereunder against any Guarantor, the
Administrative Agent or any Lender may, but shall be under no obligation to, make a similar demand on or otherwise pursue such rights and remedies as it may have against the Borrower, any other Guarantor or any other Person or against any guarantee
for the Borrower Obligations or any right of offset with respect thereto, and any failure by the Administrative Agent or any Lender to make any such demand, to pursue such other rights or remedies or to collect any payments from the Borrower, any
other Guarantor or any other Person or to realize upon any such guarantee or to exercise any such right of offset, or any release of the Borrower, any other Guarantor or any other Person or any such guarantee or right of offset, shall not relieve
any Guarantor of any obligation or liability hereunder, and shall not impair or affect the rights and remedies, whether express, implied or available as a matter of law, of the Administrative Agent or any Lender against any Guarantor. For the
purposes hereof, “demand” shall include the commencement and continuance of any legal proceedings. 

  
 4 

 2.6 Reinstatement. The guarantee contained in this Section 2 shall continue to be
effective, or be reinstated, as the case may be, if at any time payment, or any part thereof, of any of the Borrower Obligations is rescinded or must otherwise be restored or returned by the Administrative Agent or any Lender upon the insolvency,
bankruptcy, dissolution, liquidation or reorganization of the Borrower or any Guarantor, or upon or as a result of the appointment of a receiver, intervenor or conservator of, or trustee or similar officer for, the Borrower or any Guarantor or any
substantial part of its property, or otherwise, all as though such payments had not been made. 
 2.7 Payments. Each Guarantor hereby
guarantees that payments hereunder will be paid to the Administrative Agent without set-off or counterclaim in Dollars at the New York office of the Administrative Agent. 

SECTION 3. THE ADMINISTRATIVE AGENT 

Each Guarantor acknowledges that the rights and responsibilities of the Administrative Agent under this Guarantee with respect to any action
taken by the Administrative Agent or the exercise or non-exercise by the Administrative Agent of any option, voting right, request, judgment or other right or remedy provided for herein or resulting or arising out of this Guarantee shall, as between
the Administrative Agent and the Lenders, be governed by the Credit Agreement and by such other agreements with respect thereto as may exist from time to time among them, but, as between the Administrative Agent and the Guarantors, the
Administrative Agent shall be conclusively presumed to be acting as agent for the Lenders with full and valid authority so to act or refrain from acting, and no Guarantor shall be under any obligation, or entitlement, to make any inquiry respecting
such authority. 
 SECTION 4. MISCELLANEOUS 

4.1 Amendments in Writing. None of the terms or provisions of this Guarantee may be waived, amended, supplemented or otherwise modified
except in accordance with Section 11.1 of the Credit Agreement. 
 4.2 Notices. All notices, requests and demands to or upon the
Administrative Agent or any Guarantor hereunder shall be effected in the manner provided for in Section 11.2 of the Credit Agreement; provided that any such notice, request or demand to or upon any Guarantor shall be addressed to such Guarantor
at its notice address set forth on Schedule 1. 
 4.3 No Waiver by Course of Conduct; Cumulative Remedies. Neither the Administrative
Agent nor any Lender shall by any act (except by a written instrument pursuant to Section 4.1), delay, indulgence, omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any Default or Event of
Default. No failure to exercise, nor any delay in exercising, on the part of the Administrative Agent or any Lender, any right, power or privilege hereunder shall operate as a waiver thereof. No single or partial exercise of any right, power or
privilege hereunder shall preclude any other or further exercise thereof or the exercise of any other right, power or privilege. A waiver by the Administrative Agent or any Lender of any right or remedy hereunder on any one occasion shall not be
construed as a bar to any right or remedy which the Administrative Agent or such Lender would otherwise have on any future occasion. The rights and remedies herein provided are cumulative, may be exercised singly or concurrently and are not
exclusive of any other rights or remedies provided by law. 

  
 5 

 4.4 Enforcement Expenses; Indemnification. (a) Each Guarantor agrees to pay or reimburse
each Lender and the Administrative Agent for all its costs and expenses incurred in collecting against such Guarantor under the guarantee contained in Section 2 or otherwise enforcing or preserving any rights under this Guarantee and the other
Loan Documents to which such Guarantor is a party, including, without limitation, the reasonable fees and disbursements of counsel to each Lender and of counsel to the Administrative Agent. 

(b) Each Guarantor agrees to pay, and to save the Administrative Agent and the Lenders harmless from, any and all liabilities with respect to,
or resulting from any delay in paying, any and all stamp, excise, sales or other taxes which may be payable or determined to be payable in connection with any of the transactions contemplated by this Guarantee. 

(c) Each Guarantor agrees to pay, and to save the Administrative Agent and the Lenders harmless from, any and all liabilities, obligations,
losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever with respect to the execution, delivery, enforcement, performance and administration of this Guarantee, but only to the same
extent the Borrower would be required to do so pursuant to Section 11.5 of the Credit Agreement. 
 (d) The agreements in this
Section 4.4 shall survive repayment of the Obligations and all other amounts payable under the Credit Agreement and the other Loan Documents. 

4.5 Successors and Assigns. This Guarantee shall be binding upon the successors and assigns of each Guarantor and shall inure to the
benefit of the Administrative Agent and the Lenders and their successors and assigns; provided that no Guarantor may assign, transfer or delegate any of its rights or obligations under this Guarantee without the prior written consent of the
Administrative Agent. 
 4.6 Set-Off. Each Guarantor hereby irrevocably authorizes the Administrative Agent and each Lender at any
time and from time to time while an Event of Default pursuant to Section 9 of the Credit Agreement shall have occurred and be continuing, without notice to such Guarantor or any other Guarantor, any such notice being expressly waived by each
Guarantor, to set-off and appropriate and apply any and all deposits (general or special, time or demand, provisional or final), in any currency, and any other credits, indebtedness or claims, in any currency, in each case whether direct or
indirect, absolute or contingent, matured or unmatured, at any time held or owing by the Administrative Agent or such Lender to or for the credit or the account of such Guarantor, or any part thereof in such amounts as the Administrative Agent or
such Lender may elect, against and on account of the obligations and liabilities of such Guarantor to the Administrative Agent or such Lender hereunder and claims of every nature and description of the Administrative Agent or such Lender against
such Guarantor, in any currency, whether arising hereunder, under the Credit Agreement or any other Loan Document, as the Administrative Agent or such Lender may elect, whether or not the Administrative Agent or any Lender has made any demand for
payment and although such obligations, liabilities and claims may be contingent or unmatured. The Administrative Agent and each Lender shall notify such Guarantor promptly of any such set-off and the application made by the Administrative Agent or
such Lender of the proceeds thereof, provided that the failure to give such notice shall not affect the validity of such set-off and application. Notwithstanding the foregoing, to the extent prohibited by applicable law as described in the
definition of “Excluded Swap Obligation,” no amounts received from, or set off with respect to, any Guarantor shall be applied to any Excluded Swap Obligations of such Guarantor. The rights of the Administrative Agent and each Lender under
this Section 4.6 are in addition to other rights and remedies (including, without limitation, other rights of set-off) which the Administrative Agent or such Lender may have. 

  
 6 

 4.7 Counterparts. This Guarantee may be executed by one or more of the parties to this
Guarantee on any number of separate counterparts (including by telecopy), and all of said counterparts taken together shall be deemed to constitute one and the same instrument. 

4.8 Severability. Any provision of this Guarantee which is prohibited or unenforceable in any jurisdiction shall, as to such
jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable
such provision in any other jurisdiction. 
 4.9 Section Headings. The Section headings used in this Guarantee are for convenience of
reference only and are not to affect the construction hereof or be taken into consideration in the interpretation hereof. 
 4.10
Integration. This Guarantee and the other Loan Documents represent the agreement of the Guarantors, the Administrative Agent and the Lenders with respect to the subject matter hereof and thereof, and there are no promises, undertakings,
representations or warranties by the Administrative Agent or any Lender relative to subject matter hereof and thereof not expressly set forth or referred to herein or in the other Loan Documents. 

4.11 GOVERNING LAW. THIS GUARANTEE SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF
NEW YORK. 
 4.12 Submission To Jurisdiction; Waivers. Each Guarantor hereby irrevocably and unconditionally: 

(a) submits for itself and its property in any legal action or proceeding relating to this Guarantee and the other Loan Documents to which it
is a party, or for recognition and enforcement of any judgment in respect thereof, to the non-exclusive general jurisdiction of the courts of the State of New York, the courts of the United States of
America for the Southern District of New York, and appellate courts from any thereof; 
 (b) consents that any such action or
proceeding may be brought in such courts and waives any objection that it may now or hereafter have to the venue of any such action or proceeding in any such court or that such action or proceeding was brought in an inconvenient court and agrees not
to plead or claim the same; 
 (c) agrees that service of process in any such action or proceeding may be effected by mailing a copy thereof
by registered or certified mail (or any substantially similar form of mail), postage prepaid, to such Guarantor at its address referred to in Section 4.2 or at such other address of which the Administrative Agent shall have been notified
pursuant thereto; 
 (d) agrees that nothing herein shall affect the right to effect service of process in any other manner permitted by law
or shall limit the right to sue in any other jurisdiction; and 
 (e) waives, to the maximum extent not prohibited by law, any right it may
have to claim or recover in any legal action or proceeding referred to in this Section any special, exemplary, punitive or consequential damages. 

  
 7 

 4.13 Acknowledgements. Each Guarantor hereby acknowledges that: 

(a) it has been advised by counsel in the negotiation, execution and delivery of this Guarantee and the other Loan Documents to which it is a
party; 
 (b) neither the Administrative Agent nor any Lender has any fiduciary relationship with or duty to any Guarantor arising out of or
in connection with this Guarantee or any of the other Loan Documents, and the relationship between the Guarantors, on the one hand, and the Administrative Agent and Lenders, on the other hand, in connection herewith or therewith is solely that of
debtor and creditor; and 
 (c) no joint venture is created hereby or by the other Loan Documents or otherwise exists by virtue of the
transactions contemplated hereby among the Lenders or among the Guarantors and the Lenders. 
 4.14 Additional Guarantors. Each
Subsidiary of the Borrower that is required to become a party to this Guarantee pursuant to Section 7.12 of the Credit Agreement shall become a Guarantor for all purposes of this Guarantee upon execution and delivery by such Subsidiary of an
Assumption Agreement in the form of Annex 1 hereto. 
 4.15 WAIVER OF JURY TRIAL. EACH GUARANTOR HEREBY IRREVOCABLY AND
UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS GUARANTEE OR ANY OTHER LOAN DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN. 

  
 8 

 IN WITNESS WHEREOF, each of the undersigned has caused this Guarantee to be duly executed and
delivered as of the date first above written. 
  

			
	[NAME OF GUARANTOR]
		
	By:	 	 
		 	Title:

  
 9 

 Schedule 1 

NOTICE ADDRESSES OF GUARANTORS 

 Annex 1 to  

Guarantee Agreement 
 FORM
OF ASSUMPTION AGREEMENT 
 ASSUMPTION AGREEMENT, dated as of
                    , 20    , made by
                                        (the
“Additional Guarantor”), in favor of
                                , as administrative agent (in such capacity, the
“Administrative Agent”) for the banks and other financial institutions or entities (the “Lenders”) parties to the Credit Agreement referred to below. All capitalized terms not defined herein shall have the meaning
ascribed to them in such Credit Agreement. 
 W I T N E S S E T H :

 WHEREAS, Henry Schein, Inc. (the “Borrower”), the Lenders, JPMorgan Chase Bank, N.A., as Administrative Agent, and U.S.
Bank National Association, as Syndication Agent, have entered into a Credit Agreement, dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”); 

WHEREAS, in connection with the Credit Agreement, the Borrower and certain of its Affiliates (other than the Additional Guarantor) have
entered into the Guarantee, dated as of                                 ,
20     (as amended, supplemented or otherwise modified from time to time, the “Guarantee”) in favor of the Administrative Agent for the benefit of the Lenders; 

WHEREAS, the Credit Agreement requires the Additional Guarantor to become a party to the Guarantee Agreement; and 

WHEREAS, the Additional Guarantor has agreed to execute and deliver this Assumption Agreement in order to become a party to the Guarantee;

 NOW, THEREFORE, IT IS AGREED: 

1. Guarantee and Collateral Agreement. By executing and delivering this Assumption Agreement, the Additional Guarantor, as provided in
Section 4.14 of the Guarantee, hereby becomes a party to the Guarantee as a Guarantor thereunder with the same force and effect as if originally named therein as a Guarantor and, without limiting the generality of the foregoing, hereby
expressly assumes all obligations and liabilities of a Guarantor thereunder. The information set forth in Annex 1-A hereto is hereby added to the information set forth in the Schedules to the Guarantee. 

2. Governing Law. THIS ASSUMPTION AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE
STATE OF NEW YORK. 

 IN WITNESS WHEREOF, the undersigned has caused this Assumption Agreement to be duly executed and
delivered as of the date first above written. 
  

			
	[ADDITIONAL GUARANTOR]
		
	By:	 	 
		 	Name:
		 	Title:

  
 2 

 Annex 1-A to  

Assumption Agreement 

Supplement to Schedule 1 

 EXHIBIT J-1 

FORM OF 
 U.S. TAX COMPLIANCE
CERTIFICATE 
 (For Foreign Lenders That Are Not Partnerships For U.S. Federal Income Tax Purposes) 

Reference is hereby made to the Credit Agreement dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Henry Schein, Inc., a Delaware corporation (the “Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent, and each
lender from time to time party thereto. 
 Pursuant to the provisions of subsection 3.10 of the Credit Agreement, the undersigned
hereby certifies that (i) it is the sole record and beneficial owner of the Loan(s) (as well as any Note(s) evidencing such Loan(s)) in respect of which it is providing this certificate, (ii) it is not a bank within the meaning of
Section 881(c)(3)(A) of the Internal Revenue Code of 1986, as amended, (the “Code”), (iii) it is not a ten percent shareholder of the Borrower within the meaning of Code Section 871(h)(3)(B) and (iv) it is not a
controlled foreign corporation related to the Borrower as described in Section 881(c)(3)(C) of the Code. 
 The undersigned has
furnished the Administrative Agent and the Borrower with a certificate of its non-U.S. Person status on Internal Revenue Service Form W-8BEN or Internal Revenue Service Form W-8BEN-E. By executing this certificate, the undersigned agrees that
(1) if the information provided on this certificate changes, the undersigned shall promptly so inform the Borrower and the Administrative Agent and (2) the undersigned shall have at all times furnished the Borrower and the Administrative
Agent with a properly completed and currently effective certificate in either the calendar year in which each payment is to be made to the undersigned, or in either of the two calendar years preceding such payments. 

Unless otherwise defined herein, terms defined in the Credit Agreement and used herein shall have the meanings given to them in the Credit
Agreement. 
  

			
	[NAME OF LENDER]
		
	By:	 	 
		 	Name:
		 	Title:
	Date:	 	                          , 20[    ]

 EXHIBIT J-2 

FORM OF 
 U.S. TAX COMPLIANCE
CERTIFICATE 
 (For Foreign Participants That Are Not Partnerships For U.S. Federal Income Tax Purposes) 

Reference is hereby made to the Credit Agreement dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Henry Schein, Inc., a Delaware corporation (the “Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent, and each
lender from time to time party thereto. 
 Pursuant to the provisions of Section 3.10 of the Credit Agreement, the undersigned hereby
certifies that (i) it is the sole record and beneficial owner of the participation in respect of which it is providing this certificate, (ii) it is not a bank within the meaning of Section 881(c)(3)(A) of the Internal Revenue Code of
1986, as amended, (the “Code”), (iii) it is not a ten percent shareholder of the Borrower within the meaning of Code Section 871(h)(3)(B) and (iv) it is not a controlled foreign corporation related to the Borrower as
described in Section 881(c)(3)(C) of the Code. 
 The undersigned has furnished its participating Lender with a certificate of its
non-U.S. Person status on Internal Revenue Service Form W-8BEN or Internal Revenue Service Form W-8BEN-E. By executing this certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the undersigned
shall promptly so inform such Lender in writing and (2) the undersigned shall have at all times furnished such Lender with a properly completed and currently effective certificate in either the calendar year in which each payment is to be made
to the undersigned, or in either of the two calendar years preceding such payments. 
 Unless otherwise defined herein, terms defined in the
Credit Agreement and used herein shall have the meanings given to them in the Credit Agreement. 
  

			
	[NAME OF PARTICIPANT]
		
	By:	 	 
		 	Name:
		 	Title:
	Date:	 	                          , 20[    ]

 EXHIBIT J-3 

FORM OF 
 U.S. TAX COMPLIANCE
CERTIFICATE 
 (For Foreign Participants That Are Partnerships For U.S. Federal Income Tax Purposes) 

Reference is hereby made to the Credit Agreement dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Henry Schein, Inc., a Delaware corporation (the “Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent, and each
lender from time to time party thereto. 
 Pursuant to the provisions of Section 3.10 of the Credit Agreement, the undersigned hereby
certifies that (i) it is the sole record owner of the participation in respect of which it is providing this certificate, (ii) its direct or indirect partners/members are the sole beneficial owners of such participation, (iii) with
respect such participation, neither the undersigned nor any of its direct or indirect partners/members is a bank extending credit pursuant to a loan agreement entered into in the ordinary course of its trade or business within the meaning of
Section 881(c)(3)(A) of the Internal Revenue Code of 1986, as amended, (the “Code”), (iv) none of its direct or indirect partners/members is a ten percent shareholder of the Borrower within the meaning of Code
Section 871(h)(3)(B) and (v) none of its direct or indirect partners/members is a controlled foreign corporation related to the Borrower as described in Section 881(c)(3)(C) of the Code. 

The undersigned has furnished its participating Lender with Internal Revenue Service (“IRS”) Form W-8IMY accompanied by one of the
following forms from each of its partners/members that is claiming the portfolio interest exemption: (i) an IRS Form W-8BEN or IRS Form W-8BEN-E or (ii) an IRS Form W-8IMY accompanied by an IRS Form W-8BEN or IRS Form W-8BEN-E from each of
such partner’s/member’s beneficial owners that is claiming the portfolio interest exemption. By executing this certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the undersigned shall
promptly so inform such Lender and (2) the undersigned shall have at all times furnished such Lender with a properly completed and currently effective certificate in either the calendar year in which each payment is to be made to the
undersigned, or in either of the two calendar years preceding such payments. 
 Unless otherwise defined herein, terms defined in the Credit
Agreement and used herein shall have the meanings given to them in the Credit Agreement. 
  

			
	[NAME OF PARTICIPANT]
		
	By:	 	 
		 	Name:
		 	Title:
	Date:	 	                          , 20[    ]

 EXHIBIT J-4 

FORM OF 
 U.S. TAX COMPLIANCE
CERTIFICATE 
 (For Foreign Lenders That Are Partnerships For U.S. Federal Income Tax Purposes) 

Reference is hereby made to the Credit Agreement dated as of April 18, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Henry Schein, Inc., a Delaware corporation (the “Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent and U.S. Bank National Association, as Syndication Agent, and each
lender from time to time party thereto. 
 Pursuant to the provisions of Section 3.10 of the Credit Agreement, the undersigned hereby
certifies that (i) it is the sole record owner of the Loan(s) (as well as any Note(s) evidencing such Loan(s)) in respect of which it is providing this certificate, (ii) its direct or indirect partners/members are the sole beneficial
owners of such Loan(s) (as well as any Note(s) evidencing such Loan(s)), (iii) with respect to the extension of credit pursuant to this Credit Agreement or any other Loan Document, neither the undersigned nor any of its direct or indirect
partners/members is a bank extending credit pursuant to a loan agreement entered into in the ordinary course of its trade or business within the meaning of Section 881(c)(3)(A) of the Internal Revenue Code of 1986, as amended, (the
“Code”), (iv) none of its direct or indirect partners/members is a ten percent shareholder of the Borrower within the meaning of Code Section 871(h)(3)(B) and (v) none of its direct or indirect partners/members is a
controlled foreign corporation related to the Borrower as described in Section 881(c)(3)(C) of the Code. 
 The undersigned has
furnished the Administrative Agent and the Borrower with Internal Revenue Service (“IRS”) Form W-8IMY accompanied by one of the following forms from each of its partners/members that is claiming the portfolio interest exemption:
(i) an IRS Form W-8BEN or IRS Form W-8BEN-E or (ii) an IRS Form W-8IMY accompanied by an IRS Form W-8BEN or IRS Form W-8BEN-E from each of such partner’s/member’s beneficial owners that is claiming the portfolio interest
exemption. By executing this certificate, the undersigned agrees that (1) if the information provided on this certificate changes, the undersigned shall promptly so inform the Borrower and the Administrative Agent and (2) the undersigned
shall have at all times furnished the Borrower and the Administrative Agent with a properly completed and currently effective certificate in either the calendar year in which each payment is to be made to the undersigned, or in either of the two
calendar years preceding such payments. 
 Unless otherwise defined herein, terms defined in the Credit Agreement and used herein shall have
the meanings given to them in the Credit Agreement. 
  

			
	[NAME OF LENDER]
		
	By:	 	 
		 	Name:
		 	Title:
	Date:	 	                          , 20[    ]ex4-1.htm

Exhibit 4.1

 

 

 

 

 

Bear State Financial, Inc. Employees’ Savings & Profit Sharing Plan and Trust

 

(Restated January 1, 2016)

 

 

 

 

 

 

 

 

 

Table of Contents

 

Page

 

 

	
ARTICLE I

	
THE PLAN, DEFINITIONS AND CONSTRUCTION

	 
	
Section 1.01.
	
The Plan
	
1

	
Section 1.02.
	
Definitions
	
1

	
Section 1.03.
	
Construction
	
8

	 	 	 
	
ARTICLE II

	
ELIGIBILITY AND PARTICIPATION

	 
	
Section 2.01.
	
Eligible Class of Employees
	
9

	
Section 2.02.
	
Conditions of Eligibility
	
9

	
Section 2.03.
	
Commencement of Participation
	
9

	
Section 2.04.
	
Termination of Participation
	
9

	
Section 2.05.
	
Reemployment
	
9

	 	 	 
	
ARTICLE III

	
CONTRIBUTIONS AND ALLOCATIONS

	 
	
Section 3.01.
	
Contribution and Allocation Restrictions
	
10

	
Section 3.02.
	
Elective Contributions
	
10

	
Section 3.03.
	
Catch up Contributions
	
12

	
Section 3.04.
	
Roth Contributions
	
12

	
Section 3.05.
	
Matching Contributions
	
13

	
Section 3.06.
	
Employer Contributions
	
13

	
Section 3.07.
	
Allocation of Forfeitures
	
14

	
Section 3.08.
	
Top heavy Contributions
	
14

	
Section 3.09.
	
Rollovers From Other Employee Benefit Plans
	
15

	
Section 3.10.
	
Participant After tax Contributions
	
16

	
Section 3.11.
	
Determination and Form of Contributions
	
16

	
Section 3.12.
	
Time of Payment of Contributions
	
16

	
Section 3.13.
	
Return of Contributions
	
16

	 	 	 
	
ARTICLE IV

	
VALUATION

	 
	
Section 4.01.
	
Allocation of Income to Accounts
	
17

	
Section 4.02.
	
Independent Appraiser
	
17

	
Section 4.03.
	
Valuation of Participant’s Account
	
17

	 	 	 
	
ARTICLE V

	
CONTRIBUTION, ALLOCATION AND TOP HEAVY RESTRICTIONS

	 
	
Section 5.01.
	
Maximum Limits on Allocations
	
18

	
Section 5.02.
	
Top heavy Restrictions
	
21

	
Section 5.03.
	
Actual Deferral Percentage Test
	
21

	
Section 5.04.
	
Actual Contribution Percentage Test
	
24

	
Section 5.05.
	
Qualified Nonelective Contributions and Qualified Matching Contributions
	
25

 

 

 

 

 

	
Section 5.06.
	
Highly Compensated Employee
	
27

	
Section 5.07.
	
Owner Employees
	
27

	
Section 5.08.
	
Suspension of Contributions
	
27

	
Section 5.09.
	
Change From Current Year to Prior Year Testing
	
27

	
Section 5.10.
	
Highly Compensated Employee in More Than One Plan
	
28

	
Section 5.11.
	
Additional Nondiscrimination Testing Rules
	
28

	 	 	 
	
ARTICLE VI

	
VESTING

	 
	
Section 6.01.
	
Vesting
	
29

	
Section 6.02.
	
Forfeitures
	
30

	
Section 6.03.
	
Reinstatement
	
31

	 	 	 
	
ARTICLE VII

	
DISTRIBUTIONS

	 
	
Section 7.01.
	
Commencement of Retirement Benefits
	
31

	
Section 7.02.
	
Form and Method of Payment
	
33

	
Section 7.03.
	
Distribution of Company Stock
	
35

	
Section 7.04.
	
Put Option Requirements
	
35

	
Section 7.05.
	
Death Benefits
	
36

	
Section 7.06.
	
Required Minimum Distributions
	
36

	
Section 7.07.
	
Qualified Domestic Relations Orders
	
40

	
Section 7.08.
	
Participant Loans
	
41

	
Section 7.09.
	
Hardship Withdrawals
	
41

	
Section 7.10.
	
In service Distributions
	
43

	
Section 7.11.
	
Transfer Restrictions: Right of First Refusal of Trustee and Company
	
43

	
Section 7.12.
	
Distribution of Dividends
	
45

	
Section 7.13.
	
Distribution of Roth Contributions.
	
45

	 	 	 
	
ARTICLE VIII

	
ADMINISTRATION OF THE PLAN

	 
	
Section 8.01.
	
Appointment of Separate Administrator
	
46

	
Section 8.02.
	
Powers and Duties
	
46

	
Section 8.03.
	
Determination by Administrator Binding
	
47

	
Section 8.04.
	
Records and Notices
	
48

	
Section 8.05.
	
Compensation and Expenses
	
48

	
Section 8.06.
	
Limitation of Authority
	
48

	 	 	 
	
ARTICLE IX

	
ADMINISTRATION OF THE TRUST

	 
	
Section 9.01.
	
Appointment of Trustee
	
48

	
Section 9.02.
	
Authorization for Trust Agreement
	
48

	
Section 9.03.
	
Participant Direction of Investment of Account
	
48

	
Section 9.04.
	
Diversification of Investments in Company Stock
	
49

	
Section 9.05.
	
Funding Policy
	
50

 

 

ii 

 

 

	
ARTICLE X

	
CLAIMS PROCEDURE

	 
	
Section 10.01.
	
Definitions
	
50

	
Section 10.02.
	
Filing of Claim
	
50

	
Section 10.03.
	
Initial Determination of Claim
	
51

	
Section 10.04.
	
Duty of Committee Upon an Adverse Benefit Determination
	
51

	
Section 10.05.
	
Request for Review of an Adverse Benefit Determination
	
51

	
Section 10.06.
	
Decision on Review
	
52

	
Section 10.07.
	
Legal Remedy
	
52

	 	 	 
	
ARTICLE XI

	
AMENDMENT AND TERMINATION

	 
	
Section 11.01.
	
Amendment or Restatement
	
53

	
Section 11.02.
	
Termination and Discontinuance of Contributions
	
53

	
Section 11.03.
	
Distribution Upon Termination
	
53

	
Section 11.04.
	
Merger, Consolidation or Transfer of Assets and Liabilities
	
53

	
Section 11.05.
	
Successor Employer
	
54

	
Section 11.06.
	
Plan Termination/Alternate Defined Contribution Plans
	
54

	 	 	 
	
ARTICLE XII

	
GENERAL PROVISIONS

	 
	
Section 12.01.
	
Employee Stock Ownership Plan
	
54

	
Section 12.02.
	
Company Stock Acquisition Loans
	
54

	
Section 12.03.
	
Limitation on Allocation of Accounts With Respect to Shareholder Electing Gain Deferral
	
57

	
Section 12.04.
	
Voting Rights
	
57

	
Section 12.05.
	
Limitation on Liability
	
58

	
Section 12.06.
	
Indemnification
	
58

	
Section 12.07.
	
Compliance With Employee Retirement Income Security Act of 1974
	
58

	
Section 12.08.
	
Qualified Military Service
	
58

	
Section 12.09.
	
Nonalienation of Benefits
	
59

	
Section 12.10.
	
Employment Not Guaranteed by Plan
	
59

	
Section 12.11.
	
Form of Communication
	
59

	
Section 12.12.
	
Facility of Payment
	
59

	
Section 12.13.
	
Location of Participant or Beneficiary Unknown
	
60

	
Section 12.14.
	
Service in More Than One Fiduciary Capacity
	
60

	
Section 12.15.
	
Offset
	
61

 

 

iii 

 

 

ARTICLE I     

THE PLAN, DEFINITIONS AND CONSTRUCTION

 

Section 1.01.      The Plan. Effective January 1, 1996, Bear State Financial, Inc. (the “Company”), then known as First Federal Bancshares of Arkansas, Inc., adopted the First Federal Bancshares of Arkansas, Inc. Employee Stock Ownership Plan (the “Prior Plan”). The Prior Plan’s outstanding loan was repaid in its entirety as of March 31, 2006. The Company established the First Federal Bancshares of Arkansas, Inc. Employees’ Savings and Profit Sharing Plan and Trust (the “Plan”) effective June 1, 2006 as a 401(k) profit-sharing plan to benefit certain of its employees by facilitating the accumulation of funds for their retirement. Effective June 1, 2006, the Prior Plan merged into the Plan. Except to the extent specifically required to the contrary under the terms of the Plan, for terminations of employment prior to June 1, 2006, the rights and benefits of a former participant shall be determined in accordance with the provisions of the Prior Plan as in effect on the date of the former participant’s termination of employment. Effective June 3, 2014, the Plan was renamed the “Bear State Financial, Inc. Employees’ Savings & Profit Sharing Plan.”

 

The Company amended and restated the Plan effective January 1, 2011 to incorporate various Plan amendments since the date of Plan adoption and to include provisions intended to qualify the Plan as a defined contribution plan and as to the Accounts holding Company Stock as an Employee Stock Ownership Plan meeting the requirements of Sections 401(a) and 4975(e)(7) of the Internal Revenue Code of 1986, as amended (the “Code”), and applicable provisions of the Employee Retirement Income Security Act of 1986, as amended (“ERISA”). The Company now hereby amends and restates the Plan in its entirety to incorporate amendments since the last restatement and to reflect good-faith compliance with changes to the Code and other applicable law, including those items included in the 2015 annual Cumulative List of Changes in Retirement Plan Qualification Requirements published as Notice 2015-84. This restatement of the Plan is effective January 1, 2016, except for those provisions which explicitly state otherwise. The terms of the Plan in effect prior to January 1, 2016 shall control for such periods except as provided herein or as required by the Code or ERISA. The Company is a C corporation for tax purposes under the Code.

 

This introduction and the following Articles, as amended from time to time, comprise the restated Plan.

 

Section 1.02.      Definitions.

 

“Account” means the record of each Participant’s interest in the Trust Fund, divided into the following subaccounts, and such other subaccounts as the Administrator may establish, from time to time.

 

Elective Contribution Account

 

Matching Contribution Account

 

Employer Contribution Account

 

 

 

 

 

First National Security Profit Sharing Account

 

ESOP Prior Account

 

ESOP Post Account

 

QACA Matching Contribution Account

 

Rollover Account

 

Roth Contribution Account

 

“Acquired Employees” means employees who become employees as a result of a transaction under Code Section 410(b)(6)(C). Such employees will be excluded during the period beginning on the date of the transaction and ending on the last day of the first Plan Year beginning after the transaction, unless an affirmative action is taken to the contrary. A transaction under Code Section 410(b)(6)(C) is an asset or stock transaction, merger or similar transaction involving a change in the employer or employees of a trade or business.

 

“Acquisition Loan” means a loan or other extension of credit, made to the Plan by a disqualified person or guaranteed by a disqualified person. Acquisition Loan includes a direct loan of cash, a purchase-money transaction and/or an assumption of the obligation of the Plan. “Guarantee” includes an unsecured guarantee and the use of assets of a disqualified person as collateral for a loan, even though the use of assets may not be a guarantee under applicable state law. An amendment of a loan in order to qualify as an exempt loan is not a refinancing of the loan or the making of another loan. The term “Acquisition Loan” or “exempt loan” refers to a loan that satisfies the provisions of this paragraph and Section 12.02. A “nonexempt loan” is one that fails to satisfy such provisions. 

 

“Administrator” means the committee appointed by the Company pursuant to Article VIII who shall control and manage the operation and administration of the Plan as the named fiduciary.

 

“Break in Service” means a computation period during which a Participant does not complete at least 500 Hours of Service. The computation periods for measuring breaks in service shall be the same as for measuring Years of Service.

 

“Code” means the Internal Revenue Code of 1986, as amended from time to time, and as interpreted by applicable regulations and rulings.

 

“Company” means Bear State Financial, Inc., the sponsoring employer, and any successor which adopts the Plan. The board of directors of the Company, or such board members authorized by the board of directors from time to time, shall act on behalf of the Company for purposes of the Plan. In addition to the board of directors of the Company, a committee of the board of directors of the Company, the officers of the Company (as authorized by the board of directors from time to time), or the committee appointed pursuant to Article VIII (as authorized in its charter), shall act on behalf of the Company for purposes of the Plan.

 

 

2

 

 

“Company Stock” means the common stock issued by the Company (or by a corporation which is a member of the same controlled group) (i) which is readily tradable on an established securities market or (ii) if there is no common stock that meets the requirements of (i), the term Company Stock means common stock having a combination of voting power and dividend rights equal to or in excess of that class of stock of the Company (or of any such other corporation) having the greatest voting power and dividend rights, and noncallable preferred stock that is convertible into common stock described in this Section, if the conversion is at a conversion price which is reasonable as of the date the preferred stock is acquired by the Plan. Preferred stock is treated as noncallable if there is a reasonable opportunity for a conversion after the call is made, in accordance with Treasury Regulations. Any reference herein to employer securities shall refer to Company Stock. The definition of Company Stock shall be determined in accordance with this definition and in a manner consistent with the definition of “qualifying employer securities” under Code Section 409(l).

 

“Compensation” means:

 

(a)         Code Section 415 Safe Harbor in General. Except as otherwise provided, Compensation shall mean an employee’s wages, salaries and fees for professional services and other amounts received (without regard to whether or not an amount is paid in cash) for personal services actually rendered in the course of Employment to the extent the amounts are includable in gross income (including, but not limited to, commissions paid salespersons, Compensation for services on the basis of a percentage of profits, commissions or insurance premiums, tips, and bonuses), and excluding the following:

 

(i)     Employer contributions to a plan of deferred compensation which are not includable in the employee’s gross income for the taxable year in which contributed; Employer contributions to a simplified employee pension plan to the extent such contributions are excludable from the employee’s gross income; or any distributions from a plan of deferred compensation, including amounts paid from or contributed to the 2011 Omnibus Incentive Plan or the 1997 Stock Option Plan;

 

(ii)     Amounts realized from the exercise of a nonqualified stock option or when restricted stock (or property) held by the employee either becomes freely transferable or is no longer subject to a substantial risk of forfeiture;

 

(iii)     Amounts realized from the sale, exchange or other disposition of stock acquired under a qualified stock option; 

 

(iv)     Reimbursements or other expense allowances, fringe benefits (cash and noncash), moving expenses, deferred compensation (other than deferrals specified below), and welfare benefits;

 

(v)     Bona fide sick, vacation and other leave paid following a severance of employment other than differential military pay described in Section 12.08(c); and

 

 

3

 

 

(vi)      Other amounts which receive special tax benefits such as premiums for group-term life insurance (but only to the extent the premiums are not includable in the gross income of the employee); or contributions made by the Employer (whether or not under a salary reduction agreement) toward the purchase of an annuity contract described in Code Section 403(b) (whether or not the contributions are actually excludable from the employee’s gross income).

 

(b)          Inclusion of Elective Contributions. “Compensation” includes contributions made by the Employer on behalf of the employee not includable in income under a cafeteria plan (pursuant to Code Section 125), a Code Section 401(k) arrangement (pursuant to Code Section 402(a)(8)), a simplified employee pension (pursuant to Code Section 402(h)), a qualified transportation fringe benefit (pursuant to Code Section 132(f)(4)) or a tax-sheltered annuity or account (pursuant to Code Section 403(b)) and compensation deferred under an eligible deferred compensation plan of a state or local government or tax-exempt organization within the meaning of Code Section 457(b) and employee contributions under governmental plans described in Code Section 414(h)(2).

 

(c)          Inclusion of Additional Amounts. “Compensation” includes any amount includable in the gross income of an employee upon making the election described in Code Section 83(b), under the rules of Code Section 409A, 457(f)(1)(A) or because the amounts are constructively received by the employee.

 

(d)          Additional Rules.

 

(i)       Annual Compensation Limit. The annual Compensation of each Participant in any Plan Year shall not exceed the annual compensation limit pursuant to Code Section 401(a)(17). The “annual Compensation limit” is $200,000, as adjusted for cost-of-living increases in accordance with Code Section 401(a)(17)(B). Annual Compensation means Compensation during the Plan Year or such other consecutive 12-month period over which Compensation is otherwise determined under the Plan (the “determination period”). The cost-of-living adjustment in effect for a calendar year applies to annual Compensation for the determination period that begins with or within such calendar year.

  

(ii)      Received While a Plan Participant. For purposes of contributions pursuant to Article III and Sections 5.04 and 5.05 (ADP and ACP testing), the Administrator will uniformly limit the period for which Compensation shall be taken into consideration to the portion of the Plan Year in which the employee was a Participant in the Plan.

 

(iii)     Compensation Used for Testing Purposes. With respect to Section 5.04 (Actual Deferral Percentage Test) and 5.05 (Actual Contribution Percentage Test), Compensation shall mean compensation as determined under Code Section 414(s).

 

 

4

 

 

(iv)     Postseverance Compensation. Compensation shall not include any postseverance compensation unless such payment would have been paid to the employee prior to severance of Employment if the employee had continued Employment with the Employer. Postseverance compensation means amounts paid by the later of (A) two and one-half months after an employee’s severance from Employment with the Employer, or (B) the end of the limitation year that includes the date of severance from Employment with the Employer, and those amounts would have been included in the definition of Compensation if they were paid prior to the employee’s severance from Employment with the Employer.

 

“Effective Date” means June 1, 2006, the date as of which the Plan first applies to the Company. The effective date of this restatement is January 1, 2016.

 

“Elective Contributions” means Employer contributions made to the Plan on a pretax basis subject to a cash deferred election pursuant to Section 3.02 or on an after-tax basis subject to a cash deferred election pursuant to Section 3.04.

 

“Employer” means the Company, or any other entity which, consistent with authorization by the Company, has adopted the Plan and any successor thereto. By its adoption of this Plan, an Employer shall be deemed to appoint the Company, the Administrator and the Trustee as its exclusive agents to exercise on its behalf all of the power and authority conferred by this Plan upon the Employer. The authority of the Company, the Administrator and the Trustee to act as such agents shall continue until this Plan is terminated as to the adopting Employer and the relevant Trust Fund assets have been distributed by the Trustee.

 

In no event shall a self-employed individual or owner-employee (within the meaning of Code Section 401(c)) be considered an “Employer” eligible to adopt the provisions of the Plan.

 

For each Plan Year, the Plan shall deem an individual an employee of the Employer who employs the individual on the last day of the Plan Year or the last day during the Plan Year for which the individual accrues an Hour of Service.

 

The board of directors of the Employer, or such board members authorized by the board of directors from time to time, shall act on behalf of the Employer for purposes of the Plan. In addition to the board of directors of the Employer, the officers of the Employer, as authorized by the board of directors, from time to time, may act on behalf of the Employer for purposes of the Plan.

 

“Employment” means an individual’s employment with the Employer. In the event an employee is transferred between participating Employers, such employee shall not be deemed to have terminated his Employment.

 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended.

 

“Financed Shares” means Company Stock acquired by the Plan with the proceeds of an Acquisition Loan.

 

 

5

 

 

“Forfeiture” means the portion, if any, of a Participant’s Account which, pursuant to Article VI, the Participant is not entitled to receive following the earlier of a total distribution upon his termination of Employment or the date the Participant incurs five consecutive one-year Breaks in Service.

 

“Hour of Service” means:

 

(a)     Each hour for which an employee is paid or entitled to payment for the performance of service for the Employer;

 

(b)     Each hour for which an employee is paid or entitled to payment by the Employer without the performance of service (regardless of whether the Employment relationship has terminated) due to vacation, holiday, illness, incapacity (including disability), layoff, jury duty, military duty or leave of absence (pursuant to this paragraph (b), no more than 501 Hours of Service will be credited for any single continuous period—whether or not such period occurs in a single Plan Year or other computation period—and 29 C.F.R. § 2530.200b-2 and 3 shall govern the determination of an individual’s Hours of Service); and

 

(c)     Each hour for which back pay, regardless of any mitigation of damages, is either awarded or agreed to by the Employer.

 

The same Hours of Service will not be credited pursuant to paragraph (a) or (b), as the case may be, and paragraph (c).

 

Solely to avoid a Break in Service, an employee absent from work for maternity or paternity reasons shall receive credit for the Hours of Service which would otherwise have been credited to such employee but for such absence. An absence from work for maternity or paternity reasons means an absence due to (i) the pregnancy of the employee, (ii) the birth of a child of the employee, (iii) the placement of a child with the employee for adoption by the employee or (iv) the caring for such child immediately after birth or placement. The Plan shall credit Hours of Service pursuant to this paragraph first to the Plan Year in which the absence begins to the extent necessary to prevent a Break in Service in that Plan Year, then to the Plan Year following the Plan Year in which the absence begins. No more than 501 hours will be credited under this paragraph. If the hours which would have been credited but for an absence due to maternity or paternity reasons cannot be determined, the Plan shall credit eight Hours of Service for each day of the absence. The Plan shall not award Hours of Service pursuant to this paragraph unless the employee involved provides the Administrator such information as the Administrator reasonably requires to establish the purpose of the absence as consistent with this paragraph and to establish the number of days in the absence.

 

The Plan shall credit an Hour of Service to the Plan Year or other computation period to which a payment agreement or award relates rather than the year or period in which the payment, agreement or award occurs. Hours of Service shall be credited for employment with other members of an affiliated service group (under Code Section 414(m)), a controlled group of corporations (under Code Section 414(b)), a group of trades or businesses under common control (under Code Section 414(c)) of which the Employer is a member, any other entity required to be aggregated with the Employer pursuant to Code Section 414(o) and as a Leased Employee, except as provided in the definition of Leased Employee in this Section 1.02. Hours of Service shall be credited for employment with an employer who sponsored a plan merged into this Plan. For vesting and eligibility purposes, Hours of Service shall be credited for Employment with Marshfield Investment Company and Metropolitan National Bank.

 

 

6

 

 

“Income” means the net gain or loss of the Trust Fund from investments, including, but not limited to, interest, dividends, rents, profits, realized and unrealized gains and losses and expenses of the Plan or Trust Fund paid from the Trust Fund. To determine the Income of the Trust Fund for any period, the Trustee shall value the Trust Fund on the basis of its assets’ fair market value. 

 

“Key Employee” means any employee or former employee (including any deceased employee) who at any time during the Plan Year that includes the determination date was an officer of the Employer having annual Compensation greater than $130,000 (as adjusted under Code Section 416(i)(1) for Plan Years beginning after December 31, 2002), a 5% owner of the Employer, or a 1% owner of the Employer having annual Compensation of more than $150,000. For this purpose, annual Compensation means Compensation within the meaning of Code Section 415(c)(3). The determination of who is a Key Employee will be made in accordance with Code Section 416(i)(1) and the applicable regulations and other guidance of general applicability issued thereunder.

 

“Leased Employee” means any person (other than an employee of the Employer) who, pursuant to an agreement between the Employer and any other person (the “leasing organization”), has performed services for the Employer (or for the Employer and related persons determined in accordance with Code Section 414(n)(6)) on a substantially full-time basis for a period of at least one year, if such services are performed under the primary direction or control of the Employer.

 

In no event shall a Leased Employee be considered an employee of the Employer if (i) the Leased Employee is covered by a money purchase pension plan providing a nonintegrated Employer contribution rate of at least 10% of Compensation as defined in Section 5.01(c) (including amounts contributed pursuant to a salary reduction agreement under Code Section 125, 402(a)(8), 402(h) or 403(b)), immediate participation and full and immediate vesting and (ii) the Leased Employees equal no more than 20% of the Employer’s nonhighly compensated employees.

 

“Normal Retirement Age” means the day on which a Participant’s sixty-fifth birthday falls.

 

“Participant” means any individual who has satisfied the eligibility and participation requirements of the Plan as provided in Article II. Where appropriate, the term “Participant” also includes former Participants who are no longer eligible to participate under the provisions of Article II or beneficiaries of a deceased Participant or an alternate payee, as defined in Code Section 414(p)(8), for whom an Account exists which has not been distributed or forfeited in total.

 

 

7

 

 

“Plan” means the Bear State Financial, Inc. Employees’ Savings & Profit Sharing Plan and Trust, as stated herein and as amended from time to time.

 

“Plan Year” means the period on which the records of the Plan are kept. The Plan Year shall be the period commencing on January 1 and ending on the following December 31. 

 

“Roth Contributions” means Employer contributions made to the Plan pursuant to Code Section 402A on an after-tax basis subject to a cash deferred election pursuant to Sections 3.02 and 3.04.

 

“Total and Permanent Disability” occurs when a Participant separates from Employment by reason of disability expected to last in excess of 12 continuous months, provided the Participant is either (i) eligible for or receiving disability insurance benefits under the Federal Social Security Act or (ii) approved for disability under the provisions of any other benefit program or policy maintained by the Employer that is not subject to the Plan Administrator’s discretion, which policy or program is applied on a uniform and nondiscriminatory basis to all employees of the Employer. 

 

Approval of disability is conditioned upon notice to the Plan Administrator of such Participant’s disability within 13 months of the Participant’s separation from Employment. The notice of disability shall include certification that the Participant meets one of the criteria listed above. 

 

“Trustee” means the person(s) or entity holding the assets of the Plan in trust or, in the case of a Trust Fund consisting solely of insurance contracts, the insurer. The use of the term Trustee to refer to the insurer is not intended to indicate the insurer is a trustee within the meaning of state or federal statutory or common law, but merely for convenience of reference in the Plan.

 

“Trust Fund” means the assets of the Plan held in trust by a Trustee and/or the assets of the Plan which consist of insurance contracts or policies issued by an insurance company.

 

“Valuation Date” means the last day of the Plan Year or such other dates as the Administrator determines for the purpose of valuing the Trust Fund pursuant to Article IV. For purposes of the non-ESOP portion of the Plan, Valuation Date shall mean each business day of the Plan Year.

 

“Year of Service” means the applicable 12-month consecutive period during which an employee completes at least 1,000 Hours of Service.

 

Section 1.03.      Construction. Except to the extent preempted by ERISA, the laws of the State of Arkansas, as amended from time to time, shall govern the construction and application of the Plan. Words used in the masculine gender shall include the feminine, and words in the singular shall include the plural, as appropriate. The words “hereof,” “herein,” “hereunder” and other similar compounds of the word “here” shall refer to the entire Plan, not to a particular section. Any mention of “Articles,” “sections” and “subdivisions” thereof, unless stated specifically to the contrary, refers to Articles, sections or subdivisions thereof in the Plan. All references to statutory sections shall include the section so identified, as amended from time to time, or any other statute of similar import. If any provisions of the Code or ERISA render any provision of this Plan unenforceable, such provision shall be of no force and effect only to the minimum extent required by such law.

 

 

8

 

 

ARTICLE II 

ELIGIBILITY AND PARTICIPATION

 

Section 2.01.      Eligible Class of Employees. An employee eligible to participate in the Plan is any employee of an Employer who is reported on the payroll records as a common-law employee, regardless of any subsequent reclassification. However, the following are not eligible employees: (a) members of a collective-bargaining unit in relation to which retirement benefits were a subject of good-faith bargaining with the Employer, unless such collective-bargaining agreement provides for coverage of such employee under this Plan; (b) nonresident aliens who receive no earned income from the Employer which constitutes income from sources within the United States; (c) Leased Employees; and (d) Acquired Employees, except Acquired Employees who become or are made eligible (by an affirmative action) in accordance with Section 1.02.

 

Section 2.02.      Conditions of Eligibility. An employee who is eligible to participate in the Plan, as defined in Section 2.01, shall participate in the Plan as of the commencement date defined in Section 2.03 after he has attained age 21 and completed the required eligibility service. “Eligibility service” for purposes of Elective Contributions under Sections 3.02 and 3.04, matching contributions under Section 3.05 and Employer contributions under Section 3.06 shall mean one month of service commencing on the date an employee first performs an Hour of Service. If the employee was employed by a company acquired by the Employer (a “Prior Employer”), and employment with the Prior Employer is credited as Hours of Service, such service shall be treated as “eligibility service” under this Section 2.02.

 

Section 2.03.      Commencement of Participation. An employee who meets the eligibility requirements of Sections 2.01 and 2.02 shall commence participation in the Plan on the first day of the month coincident with or immediately following the date the employee satisfies such eligibility requirements. 

 

Section 2.04.      Termination of Participation. On the date a Participant’s Employment terminates or, if earlier, the date he no longer is a member of the eligible class of employees pursuant to Section 2.01, the Participant shall be deemed a former Participant. Status as a former Participant shall continue until the date the Plan has satisfied all liabilities with respect to the former Participant.

 

Section 2.05.      Reemployment.

 

(a)         Prior to a Break in Service. If a Participant terminates Employment and subsequently resumes Employment prior to his incurring a Break in Service, the rehired employee shall immediately participate in the Plan.

 

(b)         After a Break in Service. If a Participant terminates Employment with vested rights in his Account and subsequently resumes Employment after incurring a Break in Service, the rehired employee shall immediately participate in the Plan.

 

 

9

 

 

If a Participant terminates Employment with no vested rights in his Account and resumes Employment before incurring a period of Breaks in Service equaling or exceeding the greater of (i) five consecutive years or (ii) the number of Years of Service he completed prior to the Break in Service, the rehired employee shall immediately participate in the Plan.

 

If a Participant terminates Employment with no vested rights in his Account and subsequently resumes Employment after incurring a period of Breaks in Service equaling or exceeding the greater of (A) five consecutive years or (B) the number of Years of Service he completed prior to the Break in Service, the rehired employee shall be treated as a new employee for eligibility purposes and shall participate in the Plan pursuant to Sections 2.01, 2.02 and 2.03 above.

 

For purposes of this Section 2.05(b), the number of Years of Service the Participant completed prior to the Break in Service shall not include any Years of Service disregarded pursuant to this Section 2.05(b) by reason of prior Breaks in Service.

 

ARTICLE III

CONTRIBUTIONS AND ALLOCATIONS

 

Section 3.01.      Contribution and Allocation Restrictions. All contributions and allocations provided for in this Article III are subject to the limitations and restrictions set forth in Article V.

 

Section 3.02.      Elective Contributions.

 

(a)     Amount. For each Plan Year, a Participant may direct the Employer to make “Elective Contributions” on his behalf directly to the Trust Fund subject to reasonable procedures established by the Administrator. The Employer shall make Elective Contributions on behalf of a Participant in lieu of the Employer’s payment of an equal amount to the Participant as direct remuneration for the Plan Year, provided the Participant elects to defer such amounts prior to the date such amounts become currently available to the Participant. Such amounts may be contributed to the Plan only if such amounts would have been received by the Participant, but for the Participant’s election, on or before two and one-half months following the end of the Plan Year. A Participant’s Elective Contributions may not exceed the lesser of (i) 75% of the Participant’s Compensation for each pay period (or bonus payment) or (ii) for each calendar year, the $15,000 limit of Code Section 402(g) as adjusted annually for increases in the cost of living by the Secretary of the Treasury or his delegate and as in effect for such calendar year; provided, however, the limitations under this Section 3.02(a) shall not apply to amounts contributed pursuant to Section 3.03 of the Plan and Code Section 414(v).

 

(b)     Allocation. As soon as administratively practicable, the Administrator shall allocate the Elective Contributions to the Elective Contribution Accounts of the Participants for whom such contributions were made.

 

 

10

 

 

(c)     Enrollment. Participants may enroll to make Elective Contributions effective as of the first day of any Plan Year or as of the first day of the month of any Plan Year (or such other date or dates as the Employer may establish).

 

(d)     Discontinue Elective Contributions. Unless otherwise authorized pursuant to rules prescribed by the Administrator, a Participant may entirely discontinue his Elective Contributions effective as of the first day of any pay period by filing with the Administrator, within a reasonable time as determined by the Administrator prior to the effective date, a revised written election directing the Employer to discontinue his Elective Contributions. A Participant who discontinues his Elective Contributions may again enroll to make Elective Contributions for any subsequent pay period. The Participant’s subsequent enrollment will be effective only as of the dates provided and pursuant to the terms specified in subsection (c) above.

 

(e)     Increase or Decrease in Elective Contributions. Unless otherwise authorized pursuant to rules prescribed by the Administrator, a Participant may increase or decrease the amount of his Elective Contributions effective as of the first day of any pay period by filing a revised written election with the Administrator within a reasonable time, as determined by the Administrator, prior to the effective date.

 

(f)     Return of Excess Elective Contributions. If a Participant notifies the Administrator in writing by March 1 following the close of a calendar year that the Participant has made excess Elective Contributions for that year, the Administrator shall distribute to the Participant the amount of the excess Elective Contributions allocable to the Plan (plus or minus any Income or loss allocable thereto). Alternatively, the Employer may designate on behalf of the Participant excess Elective Contributions under the Plan and other plans of the Employer. Such distribution shall occur by the April 15 immediately following the close of the calendar year in which the excess Elective Contributions were contributed to the Plan. The amount of “excess Elective Contributions” for any calendar year shall equal (i) the sum of amounts contributed to the Plan as Elective Contributions on behalf of the Participant plus amounts deferred by the Participant pursuant to other arrangements described in Code Sections 401(k), 408(k) and 403(b) (the ‘total Elective Contributions’) minus (ii) the greater of the limit of Code Section 402(g), as adjusted annually for increases in the cost of living by the Secretary of the Treasury or his delegate from time to time. If a Participant made Roth Contributions for the applicable year, the Participant may designate which portion of such distribution will represent Roth Contributions, in accordance with rules prescribed by the Administrator and on such forms as the Administrator may require. A Participant who fails to make such a designation will be deemed to have elected a refund first from his Elective Contribution Account and then from his Roth Contribution Account, if necessary, to distribute the full amount required. The Participant’s written notification must contain a statement to the effect that if such excess Elective Contributions were not distributed, the Participant’s total Elective Contributions would exceed the limit specified in Code Section 402(g) for the calendar year in which such Elective Contributions were made.

 

 

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The Income or loss allocable to excess Elective Contributions shall be equal to the sum of the allocable gain or loss for the calendar year only and not for the period after the close of such calendar year. Income allocable to excess Elective Contributions shall be determined (A) under any reasonable method used for allocating Income to all Participants’ Accounts as applied consistently to all Participants for the Plan Year or (B) by multiplying Income allocable to the Participant’s Account for the calendar year by a fraction the numerator of which is such Participant’s excess Elective Contributions for the year and the denominator of which is the Participant’s Account balance attributable to Elective Contributions as of the beginning of the calendar year plus the Participant’s Elective Contributions for the calendar year.

 

To the extent required by applicable nondiscrimination regulations, any matching contribution relating to an excess Elective Contribution, which is distributed in accordance with this paragraph (f), shall be declared a Forfeiture as of the end of the Plan Year in which the excess Elective Contribution is distributed (even if the Participant is vested in such matching contributions) except to the extent the matching contribution is an excess aggregate contribution which is distributed to a highly compensated employee in accordance with Section 5.04.

 

Section 3.03.     Catch-up Contributions. All Participants eligible to make Elective Contributions under this Plan and who have attained age 50 before the close of the Plan Year shall be eligible to make catch-up contributions in accordance with, and subject to the limitations of, Code Section 414(v). Such catch-up contributions shall not be taken into account for purposes of the provisions of the Plan implementing the required limitations of Code Sections 402(g) and 415. The Plan shall not be treated as failing to satisfy the provisions of the Plan implementing the requirements of Code Section 401(k)(3), 410(b) or 416, as applicable, by reason of the making of such catch-up contributions.

 

Section 3.04.     Roth Contributions 

 

(a)       Amount. A Participant may irrevocably direct that all or a portion of his Elective Contributions under Section 3.02 be classified as Roth Contributions. A Participant’s Roth Contributions will be treated as Elective Contributions for all purposes of the Plan, except as provided below or specifically provided otherwise in the Plan. 

 

(b)       Allocation. As of the last day of each payroll period and following the allocation of Income pursuant to Article IV, the Administrator shall allocate a Participant’s Roth Contributions to his Roth Contribution Account. No contributions other than Roth Contributions and earnings (or losses or expenses) thereon will be credited to a Participant’s Roth Contribution Account.

 

(c)      Enrollment. A Participant must designate on his enrollment materials, governed under Section 3.02(c), which portion of his Elective Contributions, if any, are Roth Contributions. Such designation is irrevocable once the Roth Contributions are withheld from the Participant’s pay. A Participant may change the classification of or discontinue his Roth Contributions on a prospective basis in accordance with Section 3.02(d) or (e).

 

 

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(d)      Return of Excess Contributions. To the extent Section 3.02(f) applies to a Participant, the Participant may designate which portion of his distribution of excess Elective Contributions, if any, represents Roth Contributions in accordance with rules established by the Administrator. 

 

(e)      Catch-up Contributions. To the extent a Participant is able to make catch-up contributions pursuant to Section 3.03, he may classify all or a portion of his catch-up contributions as Roth Contributions.

 

(f)       Taxation. The Plan will treat Roth Contributions as wages subject to applicable withholding and tax reporting requirements.

 

Section 3.05.    Matching Contributions.

 

(a)      Matching Contribution. Each qualifying Participant’s Account shall be eligible for an allocation of the matching contribution, if any, as indicated below, provided the Participant directs the Employer to make Elective Contributions on his behalf. 

 

(b)      Amount. The amount of the matching contribution, if any, shall be a percentage of the employee’s Compensation for the payroll period to which the matching contribution relates.

 

(c)      Qualifying Participants. A Participant’s Account may be eligible for an allocation of a matching contribution, if any, provided the Participant directs the Employer to make Elective Contributions on his behalf for that payroll period. This Section refers to Participants whose Accounts are entitled to an allocation pursuant to this subsection (c) as “qualifying Participants.” 

 

(d)      Allocation. As of the last day of each payroll period, and following the allocation of Income pursuant to Article IV, the Administrator may choose to allocate any matching contribution to the Matching Contribution Accounts of qualifying Participants. The Administrator shall deposit any matching contributions not later than the time prescribed by law for filing the Employer’s federal income tax return for the fiscal (or taxable) year within which such Plan Year ends (including extensions thereof).

 

(e)      Catch-up. Catch-up contributions shall be treated as Elective Contributions for purposes of calculating any matching contribution under this Section. 

 

Section 3.06.   Employer Contributions.

 

(a)      Qualifying Participants. Each Participant’s Account may be eligible for an allocation of an Employer contribution, if any, made to the Trust Fund for the Plan Year, provided the Participant completed 1,000 Hours of Service during the Plan Year and is employed by the Employer on the last day of the Plan Year or terminates Employment prior to the last day of the Plan Year because of death, Total and Permanent Disability or attainment of his Normal Retirement Age. The Plan refers to Participants whose Accounts are entitled to an allocation pursuant to this Section as “qualifying Participants.”

 

 

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(b)      Amount. The Employer may contribute an Employer contribution to the Trust Fund for each Plan Year. The amount of the contribution, if any, for a Plan Year shall equal the amount determined by the Employer.

 

(c)      Allocation. As of the last day of each Plan Year, and following the allocation of Income pursuant to Article IV, the Administrator shall allocate the Employer contribution for the year among the Employer Contribution Accounts of qualifying Participants. The amount allocated on behalf of each qualifying Participant shall bear the same proportion to the total base contribution as the Participant’s total Compensation for the Plan Year bears to the total Compensation of all qualifying Participants for the Plan Year.

 

Section 3.07.    Allocation of Forfeitures. The Administrator shall apply Forfeitures, if any, to restore Forfeitures pursuant to Section 6.03(b), to reduce Plan expenses and to reduce Employer contributions to the Plan. As of the last day of the Plan Year and following the allocation of Income pursuant to Article IV, the Administrator may apply any remaining Forfeitures as an additional Employer contribution. 

 

Forfeitures which are attributable to the ESOP shall first be made available to reinstate previously forfeited balances from ESOP Accounts to any former Participants who were participants in the ESOP prior to May 31, 2006. Any remaining ESOP Forfeitures shall be allocated among Participants who were participants in the ESOP on or prior to May 31, 2006, and employed on the last day of the Plan Year in which such amounts became Forfeitures, in the same proportion each such Participant’s Compensation for the year bears to the total Compensation of all such Participants.

 

Section 3.08.    Top-heavy Contributions.

 

(a)      Required Contribution. For each Plan Year the Plan is top-heavy within the meaning of Section 5.02 below, the Employer shall contribute to the Trust Fund such amount, if any, necessary for the allocation specified in paragraph (b) below.

 

(b)      Allocation.

 

(i)     Except as provided in paragraph (ii) below, and as of the last day of any Plan Year during which the Plan is top-heavy, the Employer contributions and Forfeitures for a Plan Year allocated on behalf of any Participant employed by the Employer on the last day of such Plan Year (without regard to the number of Hours of Service he accumulated during such Plan Year) shall not be less than the top-heavy contribution. A “top-heavy contribution” is an Employer contribution (not including Elective Contributions) equaling (when combined with Employer contributions on behalf of such Participant to this and other defined contribution plans maintained by an Employer and qualified pursuant to Code Section 401(a)) the lesser of (A) 3% of the Participant’s compensation or (B) the same percentage of the Participant’s compensation for such year as the highest percentage of a Key Employee’s compensation that the allocation of Employer contributions and Forfeitures (including allocations of Elective Contributions and matching contributions) to that Key Employee’s Account totals for such year. Compensation for purposes of this Section shall mean “compensation” as defined in Section 5.01(c) below.

 

 

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(ii)     The provision in paragraph (i) above shall not apply to any Participant who is covered under any other qualified plan(s) of the Employer and the minimum allocation or benefit requirement applicable to top-heavy plans is met in the other plan(s). Unless the Employer directs to the contrary, the top-heavy contribution on behalf of each Participant shall be made to the Plan prior to being made under another qualified plan sponsored by the Employer.

 

(c)     Matching Contributions. Notwithstanding subsection (b)(i) above, the Plan may utilize matching contributions to satisfy a required top-heavy contribution.

 

Section 3.09.    Rollovers From Other Employee Benefit Plans. Any employee of the Employer who is a member of an eligible class of employees pursuant to Section 2.01 and who (a) participated in another retirement plan and trust qualified pursuant to Code Sections 401(a) and 501(a) (“qualified plan”) or (b) is entitled to a benefit from the qualified retirement plan of a spouse or former spouse pursuant to qualified domestic relations order may deposit in the Trust Fund any portion of an eligible rollover distribution paid from another qualified plan in a direct rollover or which he received personally (either directly from such plan or as a rollover from an individual retirement account or annuity), provided that amounts not paid in a direct rollover must be deposited in the Plan within 60 days following receipt of such amounts. In addition, and in accordance with the above, the Plan will accept Participant rollover contributions and direct rollovers of an eligible rollover distribution from a qualified plan described in Code Section 403(a), an annuity contract described in Code Section 403(b), or an eligible plan under Code Section 457(b) which is maintained by a state, political subdivision of a state, any agency or instrumentality of a state or political subdivision of a state. The Plan will also accept a Participant rollover from an individual retirement account described in Code Section 408(a) or (b) that is eligible to be rolled over and would otherwise be included in gross income. The Plan will not accept a rollover of employee after-tax contributions except to the extent the contributions were made pursuant to a ‘qualified Roth contribution program,’ as defined by Code Section 402A, and only in accordance with Code Section 402A. Before accepting such a rollover, the Administrator shall require such Participant’s consent and may require such documentation and information as it deems necessary. An employee who rolled over amounts pursuant to this Section, or on whose behalf such a rollover occurred, shall always remain 100% vested in such rolled-over amounts and the Income thereon. Immediately upon receipt, the Administrator shall allocate amounts rolled over by, or on behalf of, a Participant to his Rollover Account.

 

If an individual who rolled over amounts to the Trust Fund pursuant to this Section, or on whose behalf such a rollover occurred, does not otherwise qualify to become a Participant, he shall, nonetheless, constitute a Participant only in relation to such rolled-over amounts and the Income thereon.

 

 

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Section 3.10.   Participant After-tax Contributions. The Plan does not require after-tax contributions but permits them to the extent they are Roth Contributions.

 

Section 3.11.    Determination and Form of Contributions. The Employer shall determine the amount of any contribution made by it pursuant to this Plan. The Employer’s determination of such contribution shall bind all Participants, the Trustee and the Administrator. Such determination shall be final and conclusive and shall not be subject to change as a result of a subsequent audit by the Internal Revenue Service or as a result of any subsequent adjustment of the Employer’s records.

 

Employer contributions may be made in the form of cash, Company Stock or both.

 

The Trustee shall have no right or duty to inquire into the amount of the Employer’s contribution or the method used in determining the amount of such contribution. The Trustee shall be accountable only for funds it actually receives.

 

Section 3.12.    Time of Payment of Contributions. The Employer shall pay its contribution for each of its fiscal years to the Trustee within the time prescribed by law, including extensions, for the filing of the Employer’s federal income tax return for such year or within such other period as provided in Code Section 404(a)(6). The Employer shall pay Elective Contributions to the Trustee as of the earliest date the Employer can reasonably segregate such contributions from its general assets but no later than the fifteenth day of the month immediately following the month in which such amounts would otherwise have been payable to the Participant.

 

Elective Contributions must be made after the deferral election is made and after the Participant’s performance of service with respect to which the contributions are made (or when the cash or other taxable benefit would be currently available, if earlier). Notwithstanding the foregoing, the timing of contributions will not be treated as failing to satisfy the requirements of this Section merely because contributions for a pay period are occasionally made before the services with respect to that pay period are performed, provided the contributions are made early in order to accommodate bona fide administrative considerations and are not paid early with a principal purpose of accelerating deductions. Matching contributions may not be contributed to the Plan before the cash or deferred election is made or before the Participant’s performance of services with respect to which the Elective Contributions are made (or when the cash subject to the cash or deferred elections would be currently available, if earlier). An Employer contribution is not a matching contribution made on account of an Elective Contribution if it is contributed before the Elective Contribution. However, Forfeitures may be allocated as matching contributions pursuant to this Article III.

 

Section 3.13.    Return of Contributions. The Trustee shall return Employer contributions made to the Plan in the following circumstances:

 

(a)     The Employer and the Plan hereby condition all Employer contributions to the Plan upon the Employer obtaining a deduction pursuant to Code Section 404(a) in an equal amount for the Employer’s taxable year ending with or within the Plan Year for which the contribution is made. If all or any portion of the Employer’s contribution is not deductible for such year pursuant to Code Section 404(a), the Trustee shall return the nondeductible amount to the Employer, without earnings, but reduced by any losses attributable thereto, within one year of the disallowance of the deduction by the Internal Revenue Service.

 

 

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(b)     The Trustee, at the direction of the Employer, shall return to the Employer, without earnings, but reduced by any losses attributable thereto, any contribution made due to a mistake of fact, provided the Administrator determines such mistake existed at the time of the contribution. The Trustee may only return a contribution pursuant to this subsection (b) within 12 months of the date the contribution was made.

 

(c)     The Employer and the Plan condition all Employer contributions to this Plan upon the initial qualification of the Plan pursuant to Code Section 401(a). Within one year after the date the Internal Revenue Service determines the Plan fails to qualify pursuant to Code Section 401(a), and provided the Plan’s application for determination to the Internal Revenue Service is made within the time prescribed by law, the Trustee shall return to the Employer the entire assets of the Plan attributable to all amounts contributed during the time the Plan failed to qualify.

 

(d)     Upon termination of the Plan and the allocation and distribution of the Trust Fund as provided in this Plan, any funds remaining in the Trust Fund of amounts contributed to the Plan that exceed the limitations imposed under Code Section 415(c) shall revert to the Employer as provided in Treasury Regulation Section 1.401(a)-2.

 

The Employer shall return Elective Contributions and amounts rolled over into the Plan, if any, and Income thereon to the Participant if such contributions are returned to the Employer pursuant to this Section.

 

ARTICLE IV 

VALUATION

 

Section 4.01.    Allocation of Income to Accounts. The Administrator shall value a Participant’s Account as of each Valuation Date in accordance with the income accounting applicable to each investment fund, security or other investment vehicle in which the assets of the Account are invested and adjust the Account to reflect applicable expenses and all other transactions since the preceding Valuation Date. In all events, earnings and dividends on assets attributable to the ESOP shall be credited solely to the Accounts of Participants who have assets in their Account attributable to the ESOP when such dividends and earning were paid.

 

Section 4.02.    Independent Appraiser. All valuations of Company Stock not readily tradable on an established securities market, with respect to activities carried on by the Plan, shall be made by an independent appraiser, within the meaning of Treasury Regulations prescribed under Code Section 170(a)(1).

 

Section 4.03.    Valuation of Participant’s Account. The Administrator shall determine the value of a Participant’s Account for purposes of the Plan as of the Valuation Date coincident with or immediately preceding the date the distribution occurs or commences or such interim Valuation Date as determined by the Administrator. Such valuation shall include the allocation of contributions or Forfeitures, if any, for such year if the Account otherwise qualifies for such allocation and the Valuation Date is actually the last day of a Plan Year or if the Plan otherwise requires allocation of such amounts as of such Valuation Date. With respect to any transaction between the Plan and a disqualified person as defined in Code Section 4975(e)(2), the Valuation Date shall be the date of the transaction.

 

 

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ARTICLE V 

CONTRIBUTION, ALLOCATION AND
TOP-HEAVY RESTRICTIONS

 

Section 5.01.    Maximum Limits on Allocations. This Section 5.01 shall limit contributions and allocations made pursuant to Article III. This Section 5.01 shall be interpreted and administered in accordance with Code Section 415(c) and the final Treasury Regulations issued thereunder, incorporated herein by reference.

 

(a)      Annual Addition Limitation. Except to the extent permitted in Section 3.03, the annual addition to a Participant’s Account for any limitation year shall not exceed the lesser of 100% of the Compensation (within the meaning of Code Section 415(c)(3)) paid or made available to the Participant in such year or $40,000 (as adjusted under Code Section 415(d)). If the amount the Employer otherwise would contribute to the Participant’s Account would cause the annual additions for the limitation year to exceed the limitation set forth in this Section, the Employer may reduce the amount of its contribution so the annual additions for the limitation year will equal the permissible amount. The Administrator may establish procedures limiting Elective Contributions reasonably designed to prevent excess annual additions.

 

(b)      Annual Addition Definition. “Annual addition” shall mean the sum allocated to a Participant’s Account for any year of contributions and amounts allocated to his benefit pursuant to all other defined contribution plans maintained by the Employer for the limitation year. Contributions allocated to any individual accounts which are part of a pension or annuity plan under Code Sections 415(l) and 419A(d)(2) shall be treated as annual additions to a defined contribution plan. Annual addition also includes Elective Contributions in excess of (i) Code Section 402(g) (as adjusted annually for increases in the cost of living as specified by the Secretary of the Treasury or his delegate) not distributed by the April 15 following the close of the Plan Year, or (ii) the nondiscrimination tests recited in this Article V even if corrected through distribution after the close of the Plan Year. Income attributable to a Participant’s Elective Contributions, which are distributed pursuant to Section 5.01(e) below, shall be included as an annual addition unless also distributed pursuant to Section 5.01(e) below. The annual addition shall not include the allocation to a Participant’s Account of Income pursuant to Section 4.01. In the event the proceeds of an Acquisition Loan are used to purchase Company Stock which is held in a suspense account, computation of annual additions pursuant to this Article V shall be made with respect to Company contributions used to repay the Acquisition Loan and not with respect to the amount of annual allocations from the suspense account.

 

 

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Forfeitures of Company Stock acquired solely with the proceeds of an Acquisition Loan and Company contributions that relate to interest payments on obligations of any Acquisition Loan shall not be considered an annual addition, provided no more than one-third of the Company’s contribution for the year is allocated to employees who are highly compensated as defined in Section 5.06.

 

(c)        Compensation Definition. “Compensation” for purposes of this Section 5.01, unless otherwise elected by the Administrator for a limitation year, shall mean wages, tips and other compensation within the meaning of Code Section 3401(a) actually paid or made available from the Employer, which are required to be reported on the employee’s IRS Form W-2 under Code Sections 6041(d), 6051(a)(3) and 6052 as referenced in Treasury Regulations Section 1.415(c)-2(d)(4). Compensation must be determined without regard to any rules that limit the remuneration included in wages based on the nature or location of the employment or the services performed. 

 

(i)     Inclusion of Elective Contributions. “Compensation” includes contributions made by the Employer on behalf of the employee not includable in income under a cafeteria plan (pursuant to Code Section 125), a Code Section 401(k) arrangement (pursuant to Code Section 402(e)(3)), a simplified employee pension (pursuant to Code Section 402(h)), a SIMPLE retirement account (pursuant to Code Section 402(k)), a qualified transportation fringe benefit (pursuant to Code Section 132(f)(4)) or a tax-sheltered annuity or account (pursuant to Code Section 403(b)) and compensation deferred under an eligible deferred compensation plan of a state or local government or tax-exempt organization within the meaning of Code Section 457(b) and employee contributions under governmental plans described in Code Section 414(h)(2).

 

(ii)     Exclusion of Severance Pay. “Compensation” shall not include any postseverance compensation unless such payment would have been paid to the employee prior to severance of Employment if the employee had continued Employment with the Employer. Postseverance compensation means amounts paid by the later of (A) two and one-half months after an employee’s severance from Employment with the Employer, or (B) the end of the limitation year that includes the date of severance from Employment with the Employer, and those amounts would have been included in the definition of Compensation if they were paid prior to the employee’s severance from Employment with the Employer. 

 

(d)      Limitation Year Definition. The “limitation year” shall be the Plan Year.

 

(e)      Correction of Excess Amount and Other Rules. The Administrator shall reallocate the excess of a Participant’s annual addition over the limits stated above, provided such excess is not subject to refund or reversion pursuant to Article III, in accordance with subparagraph (i) below and any one of the other following subparagraphs:

 

 

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(i)      The Plan may be eligible for self-correction using a method consistent with Rev. Proc. 2013-12, and any superseding guidance. 

 

(ii)     Restorative payments allocated to a Participant’s Account, which include payments made to restore losses to the Plan resulting from actions (or a failure to act) by a fiduciary for which there is a reasonable risk of liability under Title I of ERISA or under other applicable federal or state law, where similarly situated Participants are similarly treated, shall not give rise to an annual addition for any limitation year.

 

(iii)     The Plan’s definition of Compensation in this Section for a limitation year used for purposes of Code Section 415 may not reflect Compensation for a limitation year greater than the limit under Code Section 401(a)(17) that applies to that limitation year.

 

(iv)     Compensation shall include distributions from a nonqualified unfunded deferred compensation plan.

 

(v)     In the case of a Participant who is permanently and totally disabled (as defined in Code Section 22(e)(3)), the Participant’s Compensation shall be compensation the Participant would have received for the limitation year if the Participant had been paid at the Participant’s rate of compensation paid immediately before becoming permanently and totally disabled (if such compensation is greater than the Participant’s compensation without regard to this sentence). The preceding sentence shall apply only if (A) the Participant is not a highly compensated employee immediately before becoming disabled, and (B) the contributions made with respect to amounts treated as Compensation for such disabled Participant are nonforfeitable when made.

 

(vi)     Compensation shall include other Compensation paid by the later of: (A) two and one-half months after an employee’s severance from Employment with the Employer maintaining the Plan or (B) the end of the limitation year that includes the date of the employee’s severance from Employment with the Employer maintaining the Plan if the payment is regular Compensation for services during the employee’s regular working hours, or Compensation for services outside the employee’s regular working hours (e.g., overtime or shift differential), commissions, bonuses or other similar payments, and the payment would have been paid to the employee prior to a severance from Employment if the employee had continued in Employment with the Employer.

 

(vii)     The exclusions from Compensation for payments after severance from Employment do not apply to payments to an individual who does not currently perform services for the Employer by reason of qualified military service (as that term is used in Code Section 414(u)(1)) to the extent those payments do not exceed the amounts the individual would have received if the individual had continued to perform services for the Employer rather than entering qualified military service.

 

 

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Section 5.02.   Top-heavy Restrictions. Annually, as of each determination date, the Administrator shall apply the tests recited in Code Section 416 to determine if the Plan is top-heavy.

 

(a)     General Rule. Generally, the Plan will be “top-heavy” for any Plan Year, if, as of the determination date, the Plan’s accumulations in the Accounts of Key Employees exceed 60% of its accumulations in the Accounts of all Participants. To determine if the Plan is top-heavy, the Administrator shall (i) include in each Participant’s Account distributions made with respect to the Participant under the Plan and any plan aggregated with the Plan under Code Section 416(g)(2) during the one-year period ending on the determination date. The preceding sentence shall also apply to distributions under a terminated plan which, had it not been terminated, would have been aggregated with the Plan under Code Section 416(g)(2)(A)(i). In the case of a distribution made for a reason other than separation from service, death or disability, this provision shall be applied by substituting “five-year period” for “one-year period.” The accrued benefits and Accounts of any individual who has not performed services for the Employer during the one-year period ending on the determination date shall not be taken into account.

 

(b)     Determination Date. For the first Plan Year, the “determination date” is the last day of that Plan Year. For any other Plan Year, the “determination date” is the last day of the immediately preceding Plan Year.

 

(c)     Aggregating Plans. In determining whether the Plan is top-heavy, the Administrator shall aggregate the Plan with (i) each other plan of the Employer in which a Key Employee participated during the Plan Year containing the determination date or the four immediately preceding years (regardless of whether the Plan has terminated) and (ii) each other plan of the Employer which enables any plan in which a Key Employee participates to meet the requirements of Code Section 401(a)(4) or 410. The Administrator may, in making its determination, aggregate the Plan with one or more other plans of the Employer if such plans, as a group, would continue to meet the requirements of Code Sections 401(a)(4) and 410. In determining whether this Plan is top-heavy, the Administrator shall consider the present value of accrued benefits and the sum of account balances under all plans aggregated pursuant to Code Section 416.

 

(d)     Consequences. If the Plan is top-heavy for a year, the top-heavy contribution and allocation directions of Article III shall apply.

 

Section 5.03.    Actual Deferral Percentage Test.

 

(a)       Applying the Test. The actual deferral percentage (the “ADP”) for Participants who are highly compensated employees (“HCEs”) may not exceed the greater of:

 

(i)     1.25 times the ADP for the Plan Year for all Participants who are not HCEs; or

 

 

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(ii)     the lesser of (A) two times the ADP for the Plan Year of Participants who are not HCEs or (B) the ADP for the Plan Year of Participants who are not HCEs plus two percentage points.

 

Notwithstanding the foregoing, when applying the test in Section 5.03(a), the Employer may elect to use the ADP for the immediately preceding Plan Year for those Participants who are not HCEs; provided, however, that any such election can be made only as permitted through the adoption of an amendment to the Plan in accordance with Section 11.01 and as permitted by applicable Treasury Regulations.

 

The Administrator shall determine the Participants’ deferral percentages consistent with Code Section 401(k)(3) and applicable Treasury Regulations, which the Plan incorporates by reference. The Employer shall maintain records sufficient to demonstrate satisfaction of the ADP test and the amount of qualified nonelective contributions, if any, used in such test.

 

In the event the Employer aggregates the Plan with any other plan(s) for coverage or nondiscrimination purposes under Code Sections 410(b) and 401(a)(4), the Employer must combine the 401(k) arrangements under such plans to determine whether either plan satisfies the ADP test. Such aggregation shall apply to all Participants regardless of their classification as an HCE or a non-HCE. Such aggregation shall not apply to, and is not permitted for, plans with different plan years or plans that do not use the same ADP testing method as described in this Section.

 

(b)      ADP Defined. For each Plan Year, the Administrator shall determine the “ADP” for the Participants who are HCEs and all other Participants as follows:

 

(i)     The ADP for a group of Participants shall equal the average of the ratios, calculated separately for each Participant in the group, of (A) the allocations of Elective Contributions and qualified nonelective contributions, not including Income, which the Administrator determines for a Plan Year, to (B) the Participant’s Compensation for that Plan Year. The ADP of a Participant who makes no Elective Contributions is zero. Excess Elective Contributions attributable to Participants who are not HCEs are not taken into account for purposes of ADP testing; and

 

(ii)     The ADP for any Participant who is an HCE and eligible to have Elective Contributions allocated to his Account pursuant to two or more plans or arrangements described in Code Section 401(k) and maintained by an Employer shall be determined as if all such contributions were made pursuant to a single arrangement.

 

(c)      Excess Contributions. If, for any Plan Year, the aggregate amount of contributions to the Accounts of Participants who are HCEs exceeds the maximum amount permitted in paragraph (a) above, the Administrator may distribute such excess amount plus or minus any Income (including losses) to such excess amount to some or all of the Participants who are HCEs. Such distributions may occur during the period beginning on the first day following the close of the Plan Year in which the excess contributions arose and ending on the date that is two and one-half months from the close of such Plan Year, but in no event later than the close of the following Plan Year.

 

 

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If the ADP test is not satisfied, the following procedure shall be applied to determine the amounts returned or recharacterized. First, the total excess contributions for all HCEs as a group shall be determined by calculating the amount by which the Elective Contributions of each HCE must be reduced to equal the actual deferral ratio (as defined in Code Section 401(k)) that causes the ADP test to be satisfied. Beginning with the HCE with the highest actual deferral ratio, the ratio must be reduced until the actual deferral ratio for such HCE is reduced to the greater of (i) the actual deferral ratio that causes the ADP test to be satisfied or (ii) the actual deferral ratio of the HCE with the next highest actual deferral ratio. The calculation described in the preceding sentence shall be continued until the resulting actual deferral ratio causes the ADP test to be satisfied. The total excess contribution equals the sum of the amounts by which the HCE’s Elective Contributions must be reduced. Second, the amount of the excess contributions for each HCE shall be determined. The HCE(s) with the largest dollar amount of Elective Contributions shall have an amount returned equal to the lesser of (A) the amount that will cause the dollar amount of such HCE(s)’ Elective Contributions to equal the dollar amount of Elective Contributions of the HCE(s) with the next-highest amount of Elective Contributions or (B) the amount of the aggregate excess contribution. HCEs who have contributed the same dollar amount of Elective Contributions shall have an equal dollar amount of Elective Contributions returned. This procedure shall be repeated until the total excess contribution is exhausted. The amounts returned shall be reduced by any amounts previously returned. The amounts returned shall be adjusted to reflect any Income attributable to such contributions for the period ending with the last day of the Plan Year in which the Elective Contributions were made.

 

An HCE who will receive a distribution of excess Elective Contributions pursuant to this subsection and who made pre-tax Elective Contributions and Roth Contributions during the applicable Plan Year may designate which portion of his distribution will represent Roth Contributions, in accordance with the rules prescribed by the Administrator and on such forms the Administrator may require. An HCE who fails to make such a designation will be deemed to have elected a distribution first from his Elective Contribution Account and then from his Roth Contribution Account, if necessary, to distribute the full amount required.

 

Income allocable to excess contributions shall be determined (i) under any reasonable method used for allocating Income to all Participants’ Accounts as applied consistently to all Participants for the Plan Year or (ii) by multiplying Income allocable to the Participant’s Elective Contributions (and qualified nonelective contributions) for the Plan Year by a fraction the numerator of which equals the Participant’s excess contributions for the year and the denominator of which equals the Participant’s Account balance attributable to Elective Contributions (and qualified nonelective contributions) as of the beginning of the Plan Year plus the Participant’s Elective Contributions (and qualified nonelective contributions) for the Plan Year. The Plan may distribute excess contributions (and Income) without regard to consent otherwise required for Plan distributions.

 

 

23

 

 

Section 5.04.    Actual Contribution Percentage Test.

 

(a)       Applying the Test. The actual contribution percentage (the “ACP”) for Participants who are HCEs may not exceed the greater of:

 

(i)      1.25 times the ACP for the Plan Year for all Participants who are not HCEs; or

 

(ii)     the lesser of (A) two times the ACP for the Plan Year of Participants who are not HCEs or (B) the ACP for the Plan Year of Participants who are not HCEs plus two percentage points.

 

Notwithstanding the foregoing, when applying the test in this Section, the Employer may elect to use the ACP for the immediately preceding Plan Year for those Participants who are not HCEs; provided, however, that any such election can be changed subsequently only as permitted by applicable Treasury Regulations.

 

The Administrator shall determine the Participants’ contribution percentages consistent with Code Section 401(m)(3) and applicable Treasury Regulations, which the Plan incorporates by reference. The Employer shall maintain records sufficient to demonstrate satisfaction of the ACP test and the amount of qualified nonelective contributions and qualified matching contributions, if any, used in such test.

 

(b)       ACP Defined. For each Plan Year, the Administrator shall determine the “ACP” for the Participants who are HCEs and all other Participants as follows:

 

(i)      The “ACP” for a group of Participants shall equal the average of the ratios, calculated separately for each Participant in the group, of (A) the allocations of matching contributions (to the extent not taken into account for purposes of the ADP test) (not including Income) for a Plan Year to (B) the Participant’s Compensation for that Plan Year. Qualified nonelective contributions or qualified matching contributions, if any (to the extent not taken into account for purposes of the ADP test), may be taken into account for purposes of calculating the ACP for Participants.

 

(ii)     The “ACP” for any highly compensated Participant who is an HCE and eligible to have matching contributions, if any, allocated to his account pursuant to two or more plans or arrangements described in Code Section 401(m) and maintained by an Employer shall be determined as if all such matching were made pursuant to a single arrangement.

 

 

24

 

 

(c)      Excess Aggregate Contributions. If the ACP test is not satisfied, the following procedure shall be applied to determine the amounts returned or recharacterized. First, the total excess aggregate contributions for all HCEs as a group shall be determined in a manner similar to that described in Section 5.03(c). The Administrator shall determine the portion of such excess aggregate contributions attributable to some or all of the Participants who are HCEs on the basis of the amount of contributions made on behalf of, or by, each such HCE to the Plan for the Plan Year, and shall do so by attributing such excess aggregate contributions to Participants who are HCEs in order of the dollar amount of contributions made by or on behalf of such HCEs to the Plan for the Plan Year, beginning with the highest dollar amount of contributions, until the total amount of excess aggregate contributions is attributed.

 

The Administrator shall distribute the vested portion of such excess amount to each affected Participant plus or minus any Income (including losses) allocable to the vested portion of such excess amount. Such distributions may occur during the period beginning on the first day following the close of the Plan Year in which the excess contributions arose and ending on the date two and one half months from the close of the Plan Year, but in no event later than the close of the following Plan Year. The nonvested portion of such excess amount, plus or minus any Income allocable to such nonvested portion, shall be forfeited from each affected Participant’s Matching Contribution Account as of the last day of the Plan Year in which the vested portion of such excess amount is distributed. The Administrator shall calculate any excess pursuant to this paragraph after determining the amount of excess elective deferrals pursuant to Article III and the amount of contributions in excess of the ADP test. The amounts returned shall be adjusted to reflect any Income attributable to such contributions for the period ending with the last day of the Plan Year for which the contributions were made.

 

Income allocable to excess aggregate contributions shall be determined (i) under any reasonable method used for allocating Income to all Participants’ Accounts as applied consistently to all Participants for the Plan Year or (ii) by multiplying Income allocated to the Participant’s matching contributions for the Plan Year by a fraction the numerator of which equals the Participant’s excess aggregate contributions for the year and the denominator of which equals the Participant’s Account balance attributable to matching contributions (and qualified matching contributions, if any) as of the beginning of the Plan Year and qualified matching contributions, if any, for the Plan Year. The Plan may distribute excess aggregate contributions (and Income) without regard to consent otherwise required for Plan distributions.

 

Section 5.05.    Qualified Nonelective Contributions and Qualified Matching Contributions. Pursuant to Treasury Regulations and in lieu of distributing excess contributions or excess aggregate contributions, the Employer may elect to make qualified nonelective contributions or qualified matching contributions to the Plan on behalf of Participants.

 

(a)     Qualified Nonelective Contributions. “Qualified nonelective contributions” means contributions (other than matching contributions) made by the Employer and allocated to Participants’ Accounts that the Participants may not elect to receive in cash until distributed from the Plan; that are nonforfeitable when made; and that are distributable only in accordance with the distribution provisions applicable to Elective Contributions, all pursuant to Code Sections 401(k)(2)(B) and (C). The Administrator shall allocate qualified nonelective contributions to the Participants’ Elective Contribution Accounts in a manner that does not discriminate in favor of HCEs.

 

 

25

 

 

(b)     Qualified Matching Contributions. “Qualified matching contributions” means matching contributions made by the Employer that are nonforfeitable when made and that are distributable only in accordance with the distribution provisions applicable to Elective Contributions. The Administrator shall allocate qualified matching contributions in a uniform, nondiscriminatory manner to the Participants’ Elective Contribution Accounts.

 

(c)     Disproportionate QNECs Used in ADP and/or ACP Tests. All or part of a non-HCE’s qualified nonelective contributions may be taken into account in meeting the ADP or ACP test only to the extent such contributions are not treated as disproportionate within the meaning of Treasury Regulations Section 1.401(k)-2(a)(6) and 1.401(m)-2(a)(6), respectively. A qualified nonelective contribution shall be treated as disproportionate to the extent such contributions exceed the product of compensation and the greater of (i) 5%, or (ii) two times the Plan’s representative contribution rate. Any qualified nonelective contribution taken into account under the ACP test (including the determination of the representative contribution rate) is not permitted to be taken into account for purposes of the ADP test (including the determination of the representative contribution rate). Any qualified nonelective contribution taken into account in the ADP test (including the determination of the representative contribution rate) is not permitted to be taken into account for purposes of the ACP test (including the determination of the representative contribution rate).

 

(i)       Representative Contribution Rate. For purposes of this Section, the Plan’s representative contribution rate is the lowest applicable contribution rate of any eligible non-HCE among a group of eligible non-HCEs that consists of half of all eligible non-HCEs for the Plan Year (or, if greater, the lowest applicable contribution rate of any eligible non-HCE in the group of all eligible non-HCEs for the Plan Year and who is employed by the Employer on the last day of the Plan Year).

 

(ii)      Applicable Contribution Rate. For purposes of this Section, the applicable contribution rate for an eligible non-HCE is the sum of such employee’s qualified matching contributions taken into account in determining such employee’s actual deferral percentage rate for the Plan Year and qualified nonelective contributions made for the non-HCE during the Plan Year, divided by the eligible non-HCE’s compensation for the same period.

 

(iii)     Qualified Matching Contributions. Qualified matching contributions satisfy this Section only to the extent such qualified matching contributions are not precluded from being taken into account under the ACP test for the Plan Year under the rules of Treasury Regulations Section 1.401(m)-2(a)(5)(ii).

 

 

26

 

 

Section 5.06.   Highly Compensated Employee. For purposes of this Article V, HCE shall have the meaning required by Code Section 414(q) and applicable Treasury Regulations. An employee of an Employer shall be an HCE based on the following rules:

 

(a)       In General. For a Plan Year, HCE means any employee of an Employer who:

 

(i)      was a 5% owner of an Employer at any time during the Plan Year or the preceding Plan Year; or

 

(ii)     for the preceding Plan Year received Compensation from an Employer in excess of $80,000 (within the meaning of Code Section 415(c)(3) and as adjusted by the Secretary of the Treasury or his delegate pursuant to Code Section 415(d)).

 

(b)       5% Owner. An employee of an Employer shall be treated as a 5% owner for any Plan Year if at any time during such Plan Year the employee was a 5% owner (as defined in Code Section 416(i)(1)) of the Employer.

 

(c)       Former Employees. A former employee of an Employer shall be treated as an HCE if that individual was:

 

(i)      an HCE of the Employer when such individual separated from service with the Employer; or

 

(ii)     an HCE of the Employer at any time after attaining age 55.

 

Section 5.07.    Owner-Employees. Contributions on behalf of Participants who are owner-employees within the meaning of Code Section 401(c) will be made only with respect to the earned income of such owner-employee derived from the trade or business with respect to which the Plan is established.

 

Section 5.08.    Suspension of Contributions. Notwithstanding any provision of the Plan to the contrary, the Administrator may suspend Participant Elective Contributions and/or Employer contributions (including matching contributions) to the Plan at any time if the Administrator determines such contributions may be in excess of any limitation set forth in the Plan or imposed by law. Such limitations include, but are not limited to, the annual addition limitation of Code Section 415(c), the elective deferral dollar limitation of Code Section 402(g), the actual deferral limitation of Code Section 401(k)(3), the actual contribution limitation of Code Section 401(m)(2) or the Participant’s attainment of the annual Compensation limit described in the definition of “Compensation.”

 

Section 5.09.    Change From Current Year to Prior Year Testing. If the Company elects current year testing in accordance with Sections 5.03(a) and 5.04(a), the Company may subsequently elect prior year testing for a Plan Year only if the Plan has used current year testing for each of the preceding five Plan Years (or, if lesser, the number of Plan Years the Plan has been in existence) or if, as a result of a merger or acquisition described in Code Section 410(b)(6)(C)(i), the Company maintains both a plan using prior year testing and a plan using current year testing and the change is made within the transition period described in Code Section 410(b)(6)(C)(ii). The foregoing rules shall apply separately to the ADP and ACP tests.

 

 

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Section 5.10.    Highly Compensated Employee in More Than One Plan. If an HCE participates in two or more cash or deferred arrangements of the same Employer, all Elective Contributions and other contributions made during the Plan Year under all such arrangements (regardless of the plan year of the other plans) shall be aggregated in determining the actual deferral rate and actual contribution rate in the Plan in accordance with applicable Treasury Regulations.

 

Section 5.11.    Additional Nondiscrimination Testing Rules. 

 

(a)      Plan Coverage Change. If the Plan uses the prior year testing method for either the ADP or ACP test and is involved in a plan coverage change as defined in Treasury Regulations Section 1.401(k)-2(c)(4) and/or 1.401(m)-2(c)(4), then any adjustments to the non-HCEs’ prior year percentages will be made in accordance with such regulations.

 

(b)      Contributions Used To Satisfy the ADP/ACP Tests. The Administrator may use any Employer and/or employee contribution to meet the requirements of the ADP and ACP tests to the extent permitted by applicable Treasury Regulations.

 

(c)      Correction Methods. The Administrator may use any correction method to correct excess contributions and/or excess aggregate contributions as permitted by applicable Treasury Regulations.

 

(d)      Plans Using Differing Testing Methods. The Plan may use differing testing methods (i.e., current year/prior year) for the ADP and ACP tests. For example, the Plan may use the prior year testing method for the ADP test and the current year testing method for its ACP test for a Plan Year. If the Plan uses differing methods, the Plan may not use Elective Contributions in the ACP test and may not use qualified matching contributions in the ADP test.

 

(e)      Aggregation. The Plan may not be aggregated for testing purposes if the plans to be aggregated use differing testing methods (i.e., current year/prior year). For example, a Plan (within the meaning of Treasury Regulations Section 1.410(b)-7(b)) that applies the current year testing method may not be aggregated with another plan that applies the prior year testing method. Similarly, an Employer may not aggregate a plan (within the meaning of Treasury Regulations Section 1.410(b)-7(b)) (i) using the ADP safe-harbor provisions of Code Section 401(k)(12) and another plan using the ADP test of Code Section 401(k)(3), or (ii) using the ACP safe-harbor provisions of Code Section 401(m)(11) and another plan using the ACP test of Code Section 401(m)(2).

 

(f)      Contributions Only Used Once. Qualified nonelective contributions and qualified matching contributions shall not be taken into account under the ADP test to the extent such contributions are taken into account for purposes of satisfying any other ADP test, any other ACP test, or the requirements of Treasury Regulations Section 1.401(k)-3, 1.401(m)-3 or 1.401(k)-4. If the Plan switches from the current year testing method to the prior year testing method, qualified nonelective contributions taken into account under the current year testing method for a year may not be taken into account under the prior year testing method for the next year.

 

 

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ARTICLE VI

VESTING

 

Section 6.01.   Vesting.

 

(a)     Retirement. A Participant’s interest in his Account shall be fully vested and nonforfeitable if his Employment terminates on or after his Normal Retirement Age.

 

(b)     Death or Disability. A Participant’s interest in his Account shall be fully vested and nonforfeitable if his Employment terminates due to his death or Total and Permanent Disability.

 

(c)     Termination of Employment Prior to Retirement, Disability or Death. A Participant’s interest in his Elective Contribution, safe harbor matching contributions (as defined in Code Section 401(k)(12)(B)), Rollover Accounts, Matching Contribution Accounts and dividends paid on Company Stock shall be fully vested and nonforfeitable at all times unless the Administrator determines such contributions or amounts were made in error. If a Participant terminates Employment prior to his Normal Retirement Age, Total and Permanent Disability or death, his interest in his Employer Contribution and ESOP Post Account shall vest and be nonforfeitable in relation to his Years of Service as follows:

 

	
Years of Service
	
Vested Percentage

	 	 
	
Less than 3 years
	
0
	 
	
3 or more
	
100
	 

 

Notwithstanding the above, for ESOP contributions made for pre-2007 Plan Years, the Participant’s interest shall be allocated to his ESOP Prior Account and shall vest and be nonforfeitable in relation to his Years of Service as follows:

 

	
Years of Service
	
Vested Percentage

	 	 
	
Less than 5 years
	
0
	 
	
5 or more
	
100
	 

 

 

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Notwithstanding the above, a Participant’s First National Security 401(k) Employer contribution accounts shall be allocated to his First National Profit Sharing Account or QACA Matching Contribution Account and shall vest and be nonforfeitable in relation to his Years of Service as follows:

 

(i)      First National Profit Sharing Account

 

	
Years of Service
	
Vested Percentage
	 
	 	 	 
	
Less than 2 years
	
0
	 
	
2 years

3 years

4 years

5 years

6 or more years
	
20

40

60

80

100
	 

 

(ii)     QACA Matching Contribution 

 

	
Years of Service
	
Vested Percentage
	 
	 	 	 
	
Less than 1 year

1 year

2 or more years
	
0

50

100
	 

 

 

(d)     Change in Vesting Schedule. In no event shall a change in the Plan’s vesting schedule reduce a Participant’s vested and nonforfeitable interest in his Account. Upon a change in the Plan’s vesting schedule, a Participant who has accumulated at least three Years of Service may elect to determine the vested interest in his Account pursuant to either the revised vesting schedule or the vesting schedule without regard to such change. Such election shall be made during an election period which shall commence with the date the amendment is adopted or deemed to be made and shall end 60 days after the latest of the date the amendment is adopted or becomes effective or the Participant is issued written notice of the amendment by the Company or the Administrator.

 

(e)     Vesting of Elective Contributions. Elective Contributions shall (i) be 100% vested, (ii) be disregarded for purposes of applying Code Section 411(a)(2) to other contributions or benefits, and (iii) remain nonforfeitable even if the employee makes no additional Elective Contributions under a cash or deferred arrangement. An amount is immediately nonforfeitable if it is immediately nonforfeitable within the meaning of Code Section 411 and would be nonforfeitable under the Plan regardless of the age and service of the employee or whether the employee is employed on a specific date. The Elective Contributions shall not be subject to forfeitures or suspensions permitted by Code Section 411(a)(3).

 

Section 6.02.   Forfeitures. The nonvested portion of a Participant’s Account shall constitute a Forfeiture (be “forfeited”) as of the earlier of the date the Participant receives a total distribution from his Account following the termination of his Employment or the date the Participant incurs five consecutive one-year Breaks in Service. If a Participant’s vested Account equals zero, the Participant shall be deemed to have received a mandatory distribution of such vested Account. The Administrator shall use Forfeitures to offset future Employer contributions or to pay authorized Plan expenses pursuant to Article III. Unless otherwise directed by the Company, Forfeitures shall be invested in liquid investment vehicles such as a money market fund.

 

 

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Company Stock held in a Participant’s Account shall be forfeited after other assets held in the Participant’s Account. If more than one class of Company Stock subject to an Acquisition Loan provision has been allocated to a Participant’s Account, the same proportion of each class shall be forfeited.

 

Section 6.03.   Reinstatement.

 

(a)     Five or More Consecutive One-year Breaks in Service. If a former Participant resumes participation in the Plan after experiencing at least five consecutive one-year Breaks in Service, such Participant shall retain no right to any previously forfeited portion of his Account. Such employee’s Years of Service prior to his Breaks in Service shall affect the vesting of his Account accruing after reinstatement only if his Account was at least partially vested at the time he incurred a Break in Service or, upon his reinstatement, the number of his Years of Service prior to the Break equals or exceeds the number of his consecutive one-year Breaks in Service. Such Participant’s Years of Service after his Breaks in Service shall be disregarded for the purpose of vesting his Account balance that accrued prior to such Breaks in Service. Separate Accounts shall be maintained for the Participant’s pre-break Account balance and postbreak Account balance.

 

(b)     Before Five Consecutive One-year Breaks in Service. If a former Participant resumes participation in the Plan before experiencing five consecutive one-year Breaks in Service, the Administrator shall aggregate the Participant’s Years of Service completed prior to his Break in Service with his Years of Service completed following his reinstatement to determine his vested interest in both allocations made to his Account after reinstatement and any portion of his Account originating prior to such Break in Service. The Administrator shall restore any previously forfeited portion of such a reinstated Participant’s Account only if the Participant repays to the Plan the full amount of the distribution. The Participant must repay the full amount of the distribution prior to the end of the five-year period commencing on the Participant’s date of reinstatement. Any amount so restored shall not constitute an annual addition pursuant to Section 5.01.

 

(c)     Disregarded Years of Service. For purposes of this Section, the Years of Service the Participant completed prior to his Break in Service shall not include any Years of Service disregarded pursuant to this subsection by reason of prior Breaks in Service.

 

ARTICLE VII

DISTRIBUTIONS

 

Section 7.01.   Commencement of Retirement Benefits. 

 

(a)     Earliest Payment Date. As to any Participant, distribution shall occur no earlier than the termination of the Participant’s Employment, unless specifically authorized elsewhere in the Plan. Termination of a Participant’s Employment shall include a Participant’s severance from Employment with respect to amounts held for a Participant under the Plan.

 

 

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(b)          Payment Due to Termination of Employment.

 

(i)            Before Normal Retirement Age. If a Participant’s Employment terminates prior to his Normal Retirement Age, the distribution of his Account shall commence as follows:

 

(A)       Accounts of $1,000 or Less. The Administrator shall mandate distribution in a single lump sum of any Participant’s vested Account that equals $1,000 or less (determined immediately prior to the commencement of distributions) unless the Participant elects to have such distribution paid directly to an eligible retirement plan specified by the Participant in a direct rollover or to receive the distribution directly in a single lump sum. 

 

(B)       Accounts of More Than $1,000 But Not More Than $5,000. Effective October 1, 2016, the Administrator shall mandate distribution of any Participant’s vested Account that exceeds $1,000 but is not more than $5,000 (determined immediately prior to the commencement of distributions) unless the Participant elects to have such distribution paid directly to an eligible retirement plan specified by the Participant in a direct rollover or to receive the distribution directly in a single lump sum. The Administrator shall pay any mandatory distribution under this paragraph in a direct rollover to an individual retirement plan designated by the Administrator.

 

(C)       Accounts More Than $5,000. Effective October 1, 2016, subject to the requirements set forth below, the Administrator shall commence distribution of a Participant’s vested interest in his Account which exceeds $5,000 (determined immediately prior to the commencement of distributions) as soon as administratively feasible following the date the Participant elects in the form prescribed by the Administrator to commence distribution. Such distribution may not commence prior to the Participant’s Normal Retirement Age unless the Participant consents, in a form approved by the Administrator, to the earlier distribution of his vested Account. Such Participant consent shall not be valid unless the Administrator provides the Participant with notice of his right to defer distribution no less than 30 days and no more than 180 days before the date of distribution.

 

Notwithstanding the above, distribution may commence less than 30 days after such notice is provided if (1) the notice clearly informs the Participant that he has a right to a period of at least 30 days after receiving the notice to consider the decision of whether or not to elect a distribution, and (2) the Participant, after receiving such notice, affirmatively elects a distribution.

 

 

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A Participant may elect to further defer the distribution of his vested Account to a date no later than the April 1 following the calendar year in which he attains age 701⁄2 (or the later required beginning date pursuant to Section 7.06 below).

 

Unless a Participant elects to defer distribution, distribution shall commence no later than the sixtieth day after the close of the Plan Year (1) in which the Participant attains his Normal Retirement Age or, if later, (2) in which occurs the tenth anniversary of his commencement of participation in the Plan. A Participant who fails to complete an election form after notice of his eligibility is sent, shall be deemed to have elected to defer distribution.

 

(ii)         On or After Normal Retirement Age. The distribution of the Account of a Participant who terminates Employment on or after his Normal Retirement Age and before attainment of age 701⁄2 shall commence as soon as administratively feasible following the date the Participant’s Employment terminates. A Participant may elect to defer further the distribution of his Account to a date no later than April 1 following the calendar year in which he attains age 701⁄2 (or the later required beginning date pursuant to Section 7.06 below).

 

(c)      Payment of Company Stock Acquired With an Acquisition Loan. Notwithstanding the above, for purposes of this Article VII, a Participant’s Account shall not be considered to include Company Stock acquired with the proceeds of an Acquisition Loan until the close of the Plan Year in which such loan is repaid in full.

 

Section 7.02.   Form and Method of Payment.

 

(a)     Form of Benefits. Except as otherwise provided in Section 7.04, a Participant eligible to take a distribution may elect to receive all or any portion of his Account in a lump sum or installment form of payment. 

 

(b)     Mandatory Payments. Subject to Section 7.01, the Administrator shall direct distribution in a single lump sum of any Participant’s vested Account that does not exceed $5,000 (determined prior to the commencement of distributions). A distribution under this Section shall be directed by the Administrator even if the Participant’s vested Account exceeded $5,000 at the time of any prior distribution unless such Participant had an annuity starting date with respect to any portion of his vested Account.

 

(c)     Benefit Information. No less than 30 days and no more than 180 days prior to the date a Participant’s Account becomes payable, the Administrator shall furnish the Participant with a general description of the material features, relative values of and direct rollover rights relating to the optional forms of benefit available under the Plan.

 

 

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(d)      Direct Rollovers.

 

(i)      General. Notwithstanding any provision of the Plan to the contrary that would otherwise limit a distributee’s election under this Section, a distributee may elect, at the time and in the manner prescribed by the Administrator, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover.

 

(ii)     Eligible Rollover Distribution. An eligible rollover distribution is any distribution of all or any portion of a balance to the credit of the distributee, except that an eligible rollover distribution does not include any distribution that is one of a series of substantially equal periodic payments (no less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee’s designated beneficiary, or for a specified period of 10 years or more; any distribution to the extent such distribution is required under Code Section 401(a)(9); and the portion of any distribution not includable in gross income. For purposes of this Section, an eligible rollover distribution shall have the meaning prescribed in Code Section 402(c)(4) (incorporated herein by reference) for distributions which a Participant can elect to roll over to another plan pursuant to Code Section 401(a)(31), including the exclusion of hardship withdrawals as defined in Code Section 401(k)(2)(B)(i)(IV), which are attributable to the Participant’s Elective Contributions, and amounts treated as Elective Contributions within the meaning of Treasury Regulation Sections 1.401(k)-(1)(d)(2)(ii). Eligible rollover distribution shall include a distribution to a nonspouse beneficiary after the Participant’s death, provided the distributed amount satisfies all the requirements to be an eligible rollover distribution other than the requirement the distribution be made to the Participant or the Participant’s spouse. Such direct rollovers shall be subject to the terms and conditions of IRS Notice 2007-7 and superseding guidance, including, but not limited to, the provision in Q&A-17 regarding required minimum distributions. 

 

(iii)     Eligible Retirement Plan. An eligible retirement plan is an individual retirement account described in Code Section 408(a), an individual retirement annuity described in Code Section 408(b), an annuity plan described in Code Section 403(a) or a qualified trust described in Code Section 401(a) that accepts the distributee’s eligible rollover distribution. An eligible retirement plan shall also mean an annuity contract described in Code Section 403(b) and an eligible plan under Code Section 457(b) which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state which agrees to separately account for amounts transferred into such plan from this Plan. For purposes of a distribution to a nonspouse beneficiary, eligible retirement plan shall mean an IRA established on behalf of the designated beneficiary. For purposes of a distribution from a Participant’s Roth Contribution Account, an eligible retirement plan shall mean another qualified plan maintaining a designated Roth account that accepts such rollovers or to a Roth IRA.

 

 

34

 

 

(iv)     Distributee. A distributee includes an employee or former employee. In addition, the employee’s or former employee’s surviving spouse and the employee’s or former employee’s spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in Code Section 414(p), are distributees with regard to the interest of the spouse or former spouse. A nonspouse beneficiary who is a designated beneficiary within the meaning of Code Section 401(a)(9)(E) shall also be considered a distributee for purposes of the direct rollover rules. 

 

(v)      Direct Rollover. A direct rollover is a payment by the Plan to the eligible retirement plan specified by the distributee.

 

(vi)     Rollovers to Roth IRAs. A Participant may roll over a distribution from the Plan to a Roth IRA, provided the amount rolled over is an eligible rollover distribution (as defined in Code Section 402(c)(4)), and, pursuant to Code Section 408A(d)(3)(A), there is included in gross income any amount that would be includable if the distribution were not rolled over.

 

Section 7.03.   Distribution of Company Stock.

 

(a)     Form of Payment. The Plan will distribute a Participant’s Account attributable to the ESOP in Company Stock; provided, however, that cash will be distributed in lieu of fractional shares. Notwithstanding the foregoing, if the bylaws or charter of the Employer restrict ownership of substantially all such securities to the Employer’s employees or the Plan, as described in Code Section 409(h)(2), distribution shall be made in cash. In addition, the right to receive a distribution of assets attributable to the ESOP in the form of Company Stock shall be automatically terminated in the event of a sale or disposition by the Trustee of all shares of Company Stock attributable to the ESOP.

 

Section 7.04.   Put Option Requirements. This Section 7.04 shall apply only if the Company Stock ceases to be readily tradable on an established securities market. Notwithstanding any other provisions of the Plan regarding a Participant’s right to exercise a put option, in the case of a distribution of Company Stock which is not readily tradable on an established securities market, the Plan shall provide the Participant with a put option that complies with the requirements of Code Section 409(h). Such put option shall provide that if an employee exercises the put option, the Company, or the Plan if the Plan so elects, shall repurchase the Company Stock as follows:

 

(a)     If the distribution constitutes a total distribution, payment of the fair market value of a Participant’s Account balance shall be made in substantially equal payments not exceeding five years. The first installment shall be paid no later than 30 days after the Participant exercises the put option. The Plan will pay a reasonable rate of interest and provide adequate security on amounts not paid after 30 days.

 

 

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(b)     If the distribution does not constitute a total distribution, the Plan shall pay the Participant an amount equal to the fair market value of the Company Stock repurchased no later than 30 days after the Participant exercises the put option.

 

The put option shall be available for at least 60 days following the date the Company Stock is distributed to the Participant and, if the put option is not exercised within such 60-day period, for an additional period of at least 60 days in the Plan Year following the Plan Year of distribution.

 

Section 7.05.   Death Benefits.

 

(a)     Distribution to a Beneficiary. Each Participant may designate, in writing, on forms approved by and filed with the Administrator, one or more beneficiaries to receive payment of his Account and may, in addition, name a contingent beneficiary. Such designation shall be effective upon the Administrator’s receipt of a proper and complete form. The beneficiary as to 100% of the vested Account of a Participant married at the time of his death shall be his surviving spouse, unless his spouse consents to the designation of an alternative beneficiary or if the spouse cannot be located. Spousal consent shall be in writing, acknowledging the effect of such election and witnessed by a Plan representative or notary public. Any change in, or revocation of, a Participant’s designated beneficiary shall again require spousal consent unless the earlier consent of the spouse expressly permitted subsequent designations by the Participant without further spousal consent. The death benefit shall be made available to the beneficiary within a reasonable time after the Participant’s death and in no event later than the earliest date benefits would be payable to the Participant if his Employment terminated on the date of his death for a reason other than death.

 

The Plan shall distribute the Account of a deceased Participant to the beneficiary identified in the beneficiary designation in effect at the time of his death or, if no such designation exists, to the Participant’s surviving spouse or, if none, to his estate within a reasonable time after the Participant’s death. If, for whatever reason, there is no estate established for the member, the death benefit shall be payable to the Participant’s next-of-kin as reasonably determined by the Administrator based on objective criteria. Any payment made pursuant to this Section in good faith shall be a payment for the Account of the Participant and shall be a complete discharge from any liability of the Company, Employer, Plan, Administrator, Trust Fund or the Trustee. 

 

(b)     Form of Benefit. A Participant’s beneficiary may request, in writing, on forms approved by, and filed with, the Administrator, payment in any benefit form available under the Plan.

 

Section 7.06.   Required Minimum Distributions.

 

(a)     Scope and Precedence. All distributions required under this Section will be determined and made in accordance with Treasury Regulations under Code Section 401(a)(9). A Participant’s entire interest in the Plan will be distributed or begin to be distributed to the Participant no later than the Participant’s required beginning date. The requirements of this Section will take precedence over any inconsistent provisions of the Plan.

 

 

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(b)      Distribution During a Participant’s Lifetime. During the Participant’s lifetime, the minimum amount that will be distributed for each distribution calendar year is the lesser of:

 

(i)      the quotient obtained by dividing the Participant’s Account balance by the distribution period in the Uniform Lifetime Table set forth in Treasury Regulations Section 1.401(a)(9)-9, using the Participant’s age as of the Participant’s birthday in the distribution calendar year; or

 

(ii)     if the Participant’s sole designated beneficiary for the distribution calendar year is the Participant’s spouse, the quotient obtained by dividing the Participant’s Account balance by the number in the Joint and Last Survivor Table set forth in Treasury Regulations Section 1.401(a)(9)-9, using the Participant’s and spouse’s attained ages as of the Participant’s and spouse’s birthdays in the distribution calendar year.

 

Required minimum distributions will be determined under this Section 7.06 beginning with the first distribution calendar year and up to and including the distribution calendar year that includes the Participant’s date of death.

 

(c)       Distributions After a Participant’s Death.

 

(i)     Participant Survived by Designated Beneficiary. If the Participant dies on or after the date distributions begin and there is a designated beneficiary, the minimum amount that will be distributed for each distribution calendar year after the year of the Participant’s death is the quotient obtained by dividing the Participant’s Account balance by the longer of the remaining life expectancy of the Participant or the remaining life expectancy of the Participant’s designated beneficiary, determined as follows:

 

(A)     The Participant’s remaining life expectancy is calculated using the age of the Participant in the year of death, reduced by one for each subsequent year.

 

(B)     If the Participant’s surviving spouse is the Participant’s sole designated beneficiary, the remaining life expectancy of the surviving spouse is calculated for each distribution calendar year after the year of the Participant’s death using the surviving spouse’s age as of the spouse’s birthday in that year. For distribution calendar years after the year of the surviving spouse’s death, the remaining life expectancy of the surviving spouse is calculated using the age of the surviving spouse as of the spouse’s birthday in the calendar year of the spouse’s death, reduced by one for each subsequent calendar year.

 

 

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(C)     If the Participant’s surviving spouse is not the Participant’s sole designated beneficiary, the designated beneficiary’s remaining life expectancy is calculated using the age of the beneficiary in the year following the year of the Participant’s death, reduced by one for each subsequent year.

 

(d)       Death Before Date Distributions Begin.

 

(i)       Participant Survived by Designated Beneficiary. If the Participant dies before the date distributions begin and there is a designated beneficiary, the minimum amount that will be distributed for each distribution calendar year after the year of the Participant’s death is the quotient obtained by dividing the Participant’s Account balance by the remaining life expectancy of the Participant’s designated beneficiary, determined as provided in subsection (c) above.

 

(ii)      No Designated Beneficiary. If the Participant dies before the date distributions begin and there is no designated beneficiary as of September 30 of the year following the year of the Participant’s death, distribution of the Participant’s entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the Participant’s death.

 

(iii)     Death of Surviving Spouse Before Distributions to Surviving Spouse Are Required To Begin. If the Participant dies before the date distributions begin, the Participant’s surviving spouse is the Participant’s sole designated beneficiary, and the surviving spouse dies before distributions are required to begin to the surviving spouse under subsection (e), this subsection (d) will apply as if the surviving spouse were the Participant.

 

(e)       Death of Participant Before Distributions Begin. If the Participant dies before distributions begin, the Participant’s entire interest will be distributed, or begin to be distributed, no later than as follows:

 

(i)       If the Participant’s surviving spouse is the Participant’s sole designated beneficiary, distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died or by December 31 of the calendar year in which the Participant would have attained age 701⁄2, if later.

 

(ii)       If the Participant’s surviving spouse is not the Participant’s sole designated beneficiary, distributions to the designated beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died.

 

(iii)      If there is no designated beneficiary as of September 30 of the year following the year of the Participant’s death, the Participant’s entire interest will be distributed by December 31 of the calendar year containing the fifth anniversary of the Participant’s death.

 

 

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(iv)     If the Participant’s surviving spouse is the Participant’s sole designated beneficiary and the surviving spouse dies after the Participant but before distributions to the surviving spouse begin, this subsection (e), other than subsection (e)(i), will apply as if the surviving spouse were the Participant.

 

(v)     For purposes of this subsection and (c) above, unless subsection (e)(iv) applies, distributions are considered to begin on the Participant’s required beginning date. If subsection (e)(iv) applies, distributions are considered to begin on the date distributions are required to begin to the surviving spouse under subsection (e)(i). If distributions under an annuity purchased from an insurance company irrevocably commence to the Participant before the Participant’s required beginning date (or to the Participant’s surviving spouse before the date distributions are required to begin to the surviving spouse under subsection (e)(i)), the date distributions are considered to begin is the date distributions actually commence.

 

(f)       Forms of Distribution. Unless the Participant’s interest is distributed in the form of an annuity purchased from an insurance company or in a single sum on or before the required beginning date, as of the first distribution calendar year, distributions will be made in accordance with this Section. If the Participant’s interest is distributed in the form of an annuity purchased from an insurance company, distributions thereunder will be made in accordance with the requirements of Code Section 401(a)(9) and the Treasury Regulations.

 

(g)       Definitions.

 

(i)      Designated Beneficiary. Designated beneficiary means the individual who is designated as the beneficiary under Section 7.05 of the Plan and is the designated beneficiary under Code Section 401(a)(9) and Treasury Regulations Section 1.401(a)(9)-1, Q&A-4. 

 

(ii)     Distribution Calendar Year. Distribution calendar year means a calendar year for which a minimum distribution is required. For distributions beginning before the Participant’s death, the first distribution calendar year is the calendar year immediately preceding the calendar year which contains the Participant’s required beginning date. For distributions beginning after the Participant’s death, the first distribution calendar year is the calendar year in which distributions are required to begin under subsection (e). The required minimum distribution for the Participant’s first distribution calendar year will be made on or before the Participant’s required beginning date. The required minimum distribution for other distribution calendar years, including the required minimum distribution for the distribution calendar year in which the Participant’s required beginning date occurs, will be made on or before December 31 of that distribution calendar year.

 

(iii)     Life Expectancy. Life expectancy is computed by use of the Single Life Table in Treasury Regulations Section 1.401(a)(9)-9.

 

 

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(iv)     Participant’s Account Balance. Participants Account balance means the Account balance as of the last Valuation Date in the calendar year immediately preceding the distribution calendar year (valuation calendar year) increased by the amount of any contributions made and allocated or Forfeitures allocated to the Account balance as of dates in the valuation calendar year after the Valuation Date and decreased by distributions made in the valuation calendar year after the Valuation Date. The Account balance for the valuation calendar year includes any amounts rolled over or transferred to the Plan either in the valuation calendar year or in the distribution calendar year if distributed or transferred in the valuation calendar year.

 

(v)     Required Beginning Date. The required beginning date means:

 

(A)     Non-5% Owner. The required beginning date of a Participant who is a 5% owner of the Employer is the April 1 following the later of the calendar year in which (1) he attains age 701⁄2 or (2) retires from Employment.

 

(B)     5% Owner. The required beginning date of a Participant who is a 5% owner of the Employer is the April 1 following the calendar year in which the Participant attains age 701⁄2.

 

For purposes of this Section, a Participant is a “5% owner,” within the meaning of Code Section 416(i), if the Participant is a 5% owner at any time during the Plan Year ending with or within the calendar year in which he attains age 661⁄2 or any subsequent Plan Year. Once distributions for the Plan have begun to a 5% owner, such distributions shall continue, even if the Participant ceases to be a 5% owner in a subsequent year.

 

Section 7.07.   Qualified Domestic Relations Orders. Upon receipt of a domestic relations order issued by a court of competent jurisdiction with respect to a Participant’s interest in the Plan, the Administrator shall determine whether such domestic relations order constitutes a qualified domestic relations order (as defined in Code Section 414(p)(1), a “QDRO”). The Administrator shall establish reasonable procedures to determine the qualified status of a domestic relations order and to administer distributions mandated by a QDRO.

 

If the Administrator determines the domestic relations order is a QDRO, an alternate payee as defined in Code Section 414(p)(8) may receive distributions as explained in Section 7.01 in a single lump sum, or direct rollover (if the alternate payee is the Participant’s former spouse) commencing as if the Participant experienced a termination of Employment as of the date of the order. Distributions made pursuant to this Section may occur without regard to the age or the employment status of the Participant. Except as provided by this Section, a distribution pursuant to a QDRO shall not include any type of benefit or payment option not otherwise payable by the Plan. If the Administrator has notice a QDRO is being or may be sought but has not received the QDRO, the Administrator shall not, unless requested in writing by the Participant, delay payment of a benefit to a Participant which would otherwise be due. If the Administrator has determined an order is not a QDRO and all comment and appeal periods have expired, the Administrator shall not, unless requested in writing by the Participant, delay payment to a Participant which otherwise would be due even if the Administrator has notice the party claiming to be an alternate payee or the Participant is attempting to correct any deficiencies in the order.

 

 

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A domestic relations order will not fail to be a QDRO solely because the domestic relations order (i) revises or is issued after another domestic relations order or QDRO, or (ii) the domestic relations order is issued after the Participant's death, divorce or annuity starting date.

 

Section 7.08.   Participant Loans. The Plan shall, pursuant to the provisions of this Section and a uniform nondiscriminatory policy applied by the Administrator, extend loans to Participants secured by the borrowing Participants’ Account. Prior to January 1, 2017, any assets under the Plan attributable to the ESOP shall not be available for loans.

 

Upon proper application, the Administrator may direct the Trustee to make a loan to a Participant subject to the requirements of this Section and any other rules as the Administrator may prescribe. The Administrator shall apply the eligibility requirements and rules for a loan uniformly to all Participants. Nothing in this Section shall require the Plan Administrator to make loans available to Participants. Loans will be made and administered in accordance with the loan policy then in effect and as amended from time to time. The duly adopted loan policy or Participant loan program is herein incorporated by reference.

 

Section 7.09.   Hardship Withdrawals. A Participant may withdraw any portion of his Elective Contributions Account attributable to Elective Contributions, but not the Income credited to such contributions, upon appropriate notice to the Administrator if the withdrawal results from a “hardship.” Prior to January 1, 2017, a Participant may not withdraw any portion of any assets under the Plan attributable to the ESOP. A hardship withdrawal is subject to the rules and restrictions of this Section and procedures established by the Administrator.

 

(a)     In General. With respect to hardship distributions from a Participant’s Elective Contribution Account, a distribution on account of hardship must be limited to the maximum distributable amount. The maximum distributable amount is equal to the Participant’s total Elective Contributions as of the date of distribution, reduced by the amount of previous distributions of Elective Contributions. Thus, the maximum distributable amount does not include earnings, qualified nonelective contributions or qualified matching contributions, unless grandfathered under Treasury Regulations Section 1.401(k)-1(d)(3)(ii)(B) as of the earliest date provided therein. In addition, a Participant must obtain all other currently available distributions (including a distribution of ESOP dividends under Code Section 404(k)) or nontaxable loans currently available to the Participant under the Plan or any other plan maintained by the Employer before receiving a hardship distribution.

 

A hardship distribution may not exceed the amount of the financial need, including any amount necessary to pay taxes or penalties reasonably anticipated to result from the distribution. Additionally, the Participant cannot make Elective Contributions and employee after-tax contributions pursuant to the Plan or any other qualified or nonqualified plan of deferred compensation (excluding health and welfare plans) maintained by the Employer for at least six months after receipt of the hardship amount.

 

 

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(b)      Safe Harbor: Deemed Immediate and Heavy Need. In determining whether a Participant has a deemed immediate and heavy financial need, the Plan shall consider the following financial needs as immediate and heavy:

 

(i)        Expenses for (or necessary to obtain) a medical care deductible under Code Section 213(d);

 

(ii)       Costs directly related to the purchase (excluding mortgage payments) of a principal residence for the Participant;

 

(iii)     The payment of tuition, related educational fees and room and board expenses for up to the next 12 months of postsecondary education for the Participant, his spouse, children or dependents (as defined in Code Section 152 and without regard to Code Section 152(b)(1), (b)(2) and (d)(1)(B));

 

(iv)     Payments necessary to prevent the eviction from, or mortgage foreclosure of, the Participant’s principal residence;

 

(v)      Payments for burial or funeral expenses for the Participant’s deceased parent, spouse, child or dependent (as defined in Code Section 152 without regard to Code Section 152(d)(1)(B));

 

(vi)     Expenses for the repair of damage to the Participant’s principal residence that would qualify for the casualty deduction under Code Section 165 (determined without regard to whether the loss exceeds 10% of adjusted gross income); or

 

(vii)     Other expenses specified by the Commission of the IRS as specified in Treasury Regulations Section 1.401(k)-1(d)(3)(v).

 

(c)       Safe Harbor: Deemed Necessary. A distribution is deemed necessary to satisfy an immediate and heavy financial need if the following requirements are satisfied:

 

(i)       The Participant has obtained all withdrawals, other than hardship distributions, and all nontaxable (at the time of the loan) loans currently available under all plans maintained by the Employer; and

 

(ii)      The Participant’s Elective Contributions are suspended for at least 6 months after receipt of the hardship distribution.

 

 

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The Participant’s Limit on Elective Contributions under Code Section 402(g) shall not be reduced solely on account of receiving a hardship distribution.

 

Section 7.10.      In-service Distributions.

 

(a)     At or After Age 591⁄2. On or after attaining age 591⁄2, a Participant may withdraw all or any portion of his Elective Contribution Account upon written notice to the Administrator. Prior to January 1, 2017, a Participant may not withdraw any portion of any assets under the Plan attributable to the ESOP prior to severance of Employment.

 

(b)     At or After Age 701/2. On or after attaining age 701⁄2, a Participant may withdraw all or any portion of his Account upon written notice to the Administrator. Prior to January 1, 2017, a Participant may not withdraw any portion of any assets under the Plan attributable to the ESOP prior to severance of Employment. However, a Participant may not receive more than one in-service withdrawal per Plan Year.

 

(c)     Rollover Account. A Participant may withdraw all or any portion of his Rollover Account upon written notice to the Administrator. However, a Participant may not receive more than one in-service withdrawal per Plan Year.

 

(d)     Qualified Reservist Distributions. A Participant may withdraw amounts attributable to Elective Contributions, provided: (i) such Participant was a member of a reserve component ordered or called to active duty for a period in excess of 179 days or for an indefinite period, (ii) such distribution is made during the period beginning on the date of such order or call and ending at the close of the active duty period, and (iii) the distribution otherwise complies with Code Section 72(t)(2)(G)(iii).

 

Section 7.11.    Transfer Restrictions: Right of First Refusal of Trustee and Company. This Section applies only if the Company Stock is not readily tradable on an established market. In such case, any and all Company Stock distributed to Participants, former Participants or beneficiaries of Participants or former Participants shall be subject to the transfer restrictions set forth in this Section.

 

(a)     General Restriction. No such securities may be offered, sold, pledged, bequeathed, given, hypothecated or otherwise disposed of by the Participant or beneficiary of the Participant, whether for value or not, unless the shares have first been offered for sale to the Trustee and the Company under the provisions of subsections (b) and (c). Any attempt to dispose of such securities without regard to this restriction shall be deemed to be an offer to the Trustee and the Company under the terms set forth in subsections (b) and (c), and in such a case the date of the offer shall be deemed to be the date on which the Trustee receives actual notice of the attempted disposition.

 

(b)     Price of Securities Offered. The securities offered to the Trustees and the Company pursuant to this Section shall be offered at their fair market value. The Trustee shall advise the offeror of the fair market value of the securities as determined by the Trustee in good faith and based on all relevant factors for determining the fair market value of securities on the date of valuation. The date of valuation shall be the Valuation Date immediately preceding the date of acceptance of the offer, including any interim Valuation Date determined by the Administrator; provided, however, that the date of valuation with respect to a transaction between the Plan and a Participant who is a disqualified person, as defined in Code Section 4975(e)(2), on the date of such transaction shall be the date of the transaction. The Trustee’s determination shall be deemed for purposes of this Section to be fair market value unless the offeror presents to the Trustee written evidence of a bona fide current offer from any person, including the Company, to purchase such securities at a higher price or on more favorable terms than those otherwise offered by the Trustee and the Company under this Section. If such written evidence is submitted, the price designated therein shall be deemed the fair market value of the securities for purposes of this Section, and the Trustee and the Company may elect, but shall not be required, to purchase such securities at such higher price or upon such terms.

 

 

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(c)     Method of Sale to Trustee or Company. The offer shall be in writing and shall provide that, if accepted in whole or in part, the purchaser shall have the right to pay the purchase price, plus interest on the unpaid balance at a reasonable commercial rate on the date of sale for prime commercial loans, in equal installments over a period not to exceed five years from the date of sale.

 

(d)     Expiration of Offer. The Trustee and the Company shall have 14 days following receipt of an offer under this Section to accept or reject the offer as to all or any part of the securities offered. Mailing of notice of acceptance to the address listed on the stock transfer books of the Company for the securities offered or for any shares of the Company owned by the offeror shall constitute acceptance as of the date of postmark of such notice. Securities not accepted by the end of the 14-day period may be sold or otherwise disposed of by the offeror. Notwithstanding the preceding sentence, if, pursuant to subsection (b), the offeror has submitted written evidence of a bona fide offer to purchase the securities at a higher price or on more favorable terms than otherwise offered by the Trustee or the Company under this Section, and the Trustee and the Company have not elected, within 14 days of the offer and submission of such evidence, to purchase the securities at such higher price or on such terms, the offeror may sell such securities only at a price no less than, and terms no less favorable to the seller than, the price and terms specified in the written evidence submitted; if the offeror attempts to sell the securities at a lower price or on less favorable terms, the provisions of this Section again apply as if no offer under this Section was ever made, and any such attempted sale shall be void.

 

(e)     Rights as Between Trustee and Company. The Trustee shall have the first right to purchase any or all securities offered under this Section. The Trustee shall notify the Company of any such offer immediately after receipt and shall notify the Company, within seven days after receipt of the offer, of the number of securities, if any, which the Trustee intends to purchase. The Company shall have the right to purchase any remaining securities.

 

(f)     Restriction To Continue. These restrictions shall be perpetual to the extent allowed by law; provided, however, that these restrictions will not apply for any period during which the securities subject thereto are publicly traded. All owners of securities distributed from the Trust Fund pursuant to the Plan shall take such securities subject to the restrictions contained in this Section.

 

 

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(g)     Closing. Closing shall occur on a date specified by the Company or Trustee, but no more than 30 days after the offer is accepted. The first annual installment is due on closing.

 

Section 7.12.   Distribution of Dividends. A Participant who is fully vested in his ESOP Accounts may elect to (i) receive a cash distribution attributable to dividends paid with respect to Company Stock held in his Account; (ii) paid to the Plan and subsequently distributed to the Participant in cash no later than 90 days after the close of the Plan Year in which the dividends are paid to the Plan; or (iii) have such dividends reinvested in Company Stock. In the absence of an election, dividends shall be reinvested in Company Stock. Dividends paid on Company Stock held in the Accounts of Participants who are not fully vested may be reinvested in accordance with the Plan Administrator’s procedures. Dividends paid on the Company Stock held in the loan suspense account described in Section 12.02 shall be used to repay any outstanding Acquisition Loans. The Administrator may establish nondiscriminatory rules and procedures pertaining to the payment and reinvestment of dividends and the process for making and changing elections. Each Participant shall be given a reasonable opportunity before a dividend is paid or distributed in which to make an election and shall have the right to change his election at least annually in accordance with the Administrator’s established procedures. Dividends that are reinvested pursuant to this Section shall be 100% vested at all times.

 

Section 7.13.   Distribution of Roth Contributions. A Participant’s Roth Contribution Account shall be subject to all distribution provisions of Article VII and the Plan except as otherwise provided in this Section.

 

(a)      Qualified Distribution. Any distribution from a Roth Contribution Account will not be included in the Participant’s gross income to the extent the distribution is a ‘qualified distribution.’ For this purpose, a ‘qualified distribution’ is a distribution within the meaning of Code Section 408A(d)(2)(A) (without regard to subsection (iv) thereof). A distribution of excess deferrals and earnings thereon under Code Section 401(k)(8) or 402(g) shall not be considered a qualified distribution.

 

(b)      Nonexclusion Period. A distribution of any portion of a Participant’s Roth Contribution Account shall not be treated as a qualified distribution if the distribution is made within the five-taxable-year period beginning with the earlier of:

 

(i)     the first taxable year for which the Participant made Roth Contributions to the Plan; or

 

(ii)     if the Participant made a direct rollover contribution to the Plan which contained amounts from a designated Roth account previously established for the Participant, the first year for which the Participant made a designated Roth Contribution to such prior account.

 

 

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ARTICLE VIII

ADMINISTRATION OF THE PLAN

 

Section 8.01.   Appointment of Separate Administrator. The Company shall serve as Administrator; however, the Company may appoint a separate Administrator. Any person, including, but not limited to, employees of the Employer, shall be eligible to serve as Administrator. Two or more persons may form a committee to serve as Administrator. Persons serving as Administrator may resign by written notice to the Company, and the Company may appoint or remove such persons. An Administrator consisting of more than one person shall act by a majority of its members at the time in office, either by vote at a meeting or in writing without a meeting. An Administrator consisting of more than one person may authorize any one or more of its members to execute any document or documents on behalf of the Administrator, in which event the Administrator shall notify the Trustee of the member or members so designated. The Trustee shall accept and rely upon any document executed by such member or members as representing action by the Administrator until the Administrator shall file with the Trustee a written revocation of such designation. No person serving as Administrator shall vote or decide upon any matter relating solely to himself or solely to any of his rights or benefits pursuant to the Plan.

 

Section 8.02.   Powers and Duties. The Administrator shall administer the Plan in accordance with its terms and shall discharge its duties with the care, skill, prudence and diligence under the circumstances then prevailing that a prudent man acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims. The Administrator shall have full and complete authority and control with respect to Plan operations and administration unless the Administrator allocates and delegates such authority or control pursuant to the procedures stated in subsection (b) or (c) below. Any decisions of the Administrator or its delegate shall be final and binding upon all persons dealing with the Plan or claiming any benefit under the Plan. The Administrator shall have all powers which are necessary to manage and control Plan operations and administration, including, but not limited to, the following:

 

(a)      To employ such accountants, counsel or other persons as it deems necessary or desirable in connection with Plan administration. The Trust Fund shall bear the costs of such services and other administrative expenses, unless paid by the Company or the Employer;

 

(b)      To designate in writing persons other than the Administrator to perform any of its powers and duties hereunder, including, but not limited to, Plan fiduciary responsibilities (other than any responsibility to manage or control the Plan assets);

 

(c)      To allocate in writing any of its powers and duties hereunder, including, but not limited to, fiduciary responsibilities (other than any responsibility to manage or control the Plan assets) to those persons who have been designated to perform Plan fiduciary responsibilities;

 

 

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(d)      To construe and interpret the Plan in a discretionary manner, including the power to construe disputed provisions;

 

(e)      Subject to Article X, to resolve all questions arising in the administration, interpretation and application of the Plan, including, but not limited to, questions regarding the eligibility or the right of any person to a benefit;

 

(f)      To adopt such bylaws, rules, regulations, forms and procedures from time to time as it deems advisable and appropriate in the proper administration of the Plan;

 

(g)      To receive from the Company or from Participants such information as shall be necessary for the proper administration of the Plan;

 

(h)      To furnish, upon request, such annual reports with respect to the administration of the Plan as are reasonable and appropriate;

 

(i)      To receive from the Trustee and review reports of the financial condition and receipts and disbursements of the Trust Fund;

 

(j)      To prescribe procedures to be followed by any person in applying for distributions pursuant to the Plan and to designate the forms or documents, evidence and such other information as the Administrator may reasonably deem necessary, desirable or convenient to support an application for such distribution;

 

(k)      To issue directions to the Trustee, and thereby bind the Trustee, concerning all benefits to be paid pursuant to the Plan; and

 

(l)      To apply consistently and uniformly its rules, regulations and determinations to all Participants and beneficiaries in similar circumstances.

 

Section 8.03.   Determination by Administrator Binding. The Administrator or, where the Administrator’s responsibility has been delegated to others, such delegates shall have complete authority to determine the standard of proof required in any case and to apply and interpret the Plan. The decisions of the Administrator or its delegates shall be final and binding.

 

All questions or controversies, of any character, whether of a factual or legal nature, arising in any manner or between any parties or persons in connection with the Plan or its operation, whether as to any claim for benefits, or as to the construction of language or meaning of the Plan or rules and regulations adopted by the Administrator, or as to any writing, decision, instrument or account in connection with the operation of the Plan or otherwise, shall be submitted to the Administrator or, where the Administrator’s responsibility has been delegated to others, to such delegates for decision. The decision of the Administrator or its delegates shall be binding upon all persons dealing with the Plan or claiming any benefit hereunder and shall be given deference in the event the determination is subject to judicial review, except to the extent such decision may be determined to be arbitrary or capricious by a court having jurisdiction over such matter.

 

 

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Section 8.04.   Records and Notices. The Administrator shall keep a record of all its proceedings and acts and shall maintain all such books of accounts, records and other data as may be necessary for proper plan administration. The Administrator shall notify the Trustee of any action taken by the Administrator which affects the Trustee’s Plan obligations or rights and, when required, shall notify any other interested parties.

 

Section 8.05.   Compensation and Expenses. The expenses incurred by the Administrator in the proper administration of the Plan shall be paid from the Trust Fund. The Employer may elect to pay such expenses directly. An Administrator who is an employee of the Employer shall not receive any fee or compensation for services rendered.

 

Section 8.06.   Limitation of Authority. The Administrator shall not add to, subtract from or modify any of the terms of the Plan, change or add to any benefits prescribed by the Plan or waive or fail to apply any Plan requirement for benefit eligibility.

 

ARTICLE IX

ADMINISTRATION OF THE TRUST

 

Section 9.01.   Appointment of Trustee. The Company shall appoint one or more Trustees to receive and hold in trust all contributions, and Income, paid into the Trust Fund. The Company may remove the Trustee or the Trustee may resign and a successor Trustee shall be appointed, all pursuant to the requirements and procedures recited in the Trust Agreement.

 

Section 9.02.   Authorization for Trust Agreement. The Company shall enter into an agreement with the Trustee to provide for the administration of the Trust Fund. In accordance with the provisions of such agreement, the Company shall have the right at any time, and from time to time, to amend the agreement.

 

Section 9.03.   Participant Direction of Investment of Account. The Company, upon written request of a Participant and in accordance with its uniform and nondiscriminatory rules, may authorize Participants to direct the investment of all or part of their Accounts in such funds or other investment vehicles as the Company may select. Such available funds or investment vehicles may include common stock issued by the Company; however, no Participant may direct more than 25% of any contributions remitted to the Plan into Company Stock or direct an investment fund transfer to Company Stock. The Participants’ directions shall bind the Trustee unless and until the Company amends or revokes the authorization for investment direction by Participants. If the Trustee acts at the direction of a Participant or the Employer, or its board of directors, officers and employees, the Administrator and the Trustee shall not be liable or responsible for any loss resulting to the Trust Fund or to any Account or for any breach of fiduciary responsibility by reason of any act done pursuant to the direction of the Participant.

 

 

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Section 9.04.   Diversification of Investments in Company Stock. Notwithstanding the provisions of the Plan to the contrary, the following shall apply:

 

(a)      Right To Divest Securities Not Readily Tradable. In Plan Years when the Company Stock is not readily tradable on an established securities market, this Section shall apply. Any Participant who has completed at least 10 years of participation in the Plan and has attained age 55 may elect within 90 days after the close of each Plan Year in the “qualified election period” (defined below) to direct the Plan as to the investment of 25% of the number of shares of Company Stock allocated to the Participant’s Account. In the sixth year of such “qualified election period,” the Participant may direct the investment of 50% of the number of shares of Company Stock allocated to the Participant’s Account. The “qualified election period” is the six Plan Year period beginning with the Plan Year in which the Participant attains age 55 (or, if later, beginning with the first Plan Year in which the Participant completes his tenth year of participation in the Plan). If such a diversification election is made, the Administrator, in its sole discretion, may satisfy the election by distributing to the Participant within 90 days after the relevant election period that portion of his Account covered by the election either (i) in Company Stock or (ii) in cash in lieu of Company Stock.

 

(b)      Right To Divest Publicly Traded Securities. In Plan Years when Company Stock is readily tradable on an established securities market, this Section shall apply. An applicable individual may elect to direct the Plan to divest Company Stock held in the applicable portion of his Account and to reinvest an equivalent amount in other investment options offered under the Plan. The investment options offered shall include no less than three investment options, other than Company Stock, to which the applicable individual may direct the proceeds of the divestment of Company Stock, and each investment option shall be diversified and have materially different risk and return characteristics. The opportunity to divest and reinvest shall be offered no less frequently than quarterly. The Plan shall not impose any restrictions or conditions with respect to the investment of Company Stock in violation of Code Section 401(a)(35)(D)(ii)(II).

 

(i)      Notice. The Administrator shall provide a notice to applicable individuals no later than 30 days before the first date on which the individuals are eligible to exercise their rights. To the extent Company Stock is readily tradable on an established securities market, the notice shall describe the diversification rights provided under Code Section 401(a)(35) and describe the importance of diversifying the investment of retirement account assets.

 

(ii)      Applicable Individual. The term “applicable individual” shall include the following:

 

(A)     With respect to Elective Contributions and employee contributions, including rollovers (and earnings thereon): any Participant; alternate payee who has an Account under the Plan; and beneficiary of a deceased Participant.

 

(B)     With respect to other Employer contributions (and earnings thereon): a Participant who has completed at least three years of service; an alternate payee who has an Account under the Plan with respect to a Participant who has completed at least three years of service; or a beneficiary of a deceased Participant.

 

 

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Section 9.05.   Funding Policy. The Company shall periodically establish and adopt procedures necessary for implementation of a funding policy which complies with ERISA. Unless the Company adopts a funding policy which explicitly provides otherwise, the funding policy for the Plan shall permit the Trustee to invest and reinvest the Trust Fund for the exclusive benefit of Plan Participants and their beneficiaries in any combination of corporate stocks, bonds, instruments of indebtedness, insurance contracts (if otherwise allowed), government securities, bank deposits and the Trustee’s common trust funds or pooled investment funds, if any, as the Trustee deems appropriate for the Plan and consistent with applicable law. Participants may be eligible to direct the investment of their Accounts in accordance with the Trust Agreement and policies and procedures established by the Administrator and the Trustee. Employer contributions may be made in the form of Company Stock.

 

ARTICLE X

CLAIMS PROCEDURE

 

Section 10.01.   Definitions. For purposes of this Article, the following terms shall have the meanings set forth below:

 

(a)     Adverse Benefit Determination. “Adverse Benefit Determination” means the denial of a claim. It does not encompass the amendment or termination of the Plan. However, it also includes any denial, reduction or termination of benefits or a failure to provide or make payment (in whole or in part) for a benefit and any denial, reduction, termination or failure to provide or make a payment based upon on a determination of a Participant’s or beneficiary’s eligibility to participate in a Plan.

 

(b)     Claimant. Claimant means either a Plan Participant or a beneficiary of a Plan Participant with respect to whom a benefits determination is being or has been made.

 

(c)     Notice, Notify or Notification. “Notice,” “Notify” or “Notification” means the delivery or furnishing of information to an individual in a manner that satisfies the standards of ERISA’s regulations on disclosure (29 C.F.R. § 2520.104b-1(b)).

 

(d)     Relevant Document. A document, record or other information is considered “relevant” to a Participant’s benefit claim if such document, record or other information was relied upon in making the benefit determination; was submitted, considered or generated in the course of making the benefit determination, without regard to whether such document, record or other information was relied upon in making the benefit determination; or demonstrates compliance with the administrative processes and safeguards required to assure consistent application of Plan provisions with respect to similarly situated Claimants.

 

Section 10.02.   Filing of Claim. Any Participant or beneficiary, or his duly authorized representative, may file a claim for a Plan benefit to which the Claimant believes he is entitled. Such a claim must be in writing and delivered to the Administrator or its delegate.

 

 

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Section 10.03.   Initial Determination of Claim.

 

(a)     Within a reasonable period of time, but no later than 90 days after receipt of such claim, the Administrator or its delegate shall Notify the Claimant of the determination on the claim, whether granting or denying, in whole or in part, unless special circumstances require an extension of time for processing the claim. In no event may the extension period exceed 90 days from the end of the initial period. If an extension is necessary, the Claimant will be given a written Notice to this effect prior to the expiration of the initial 90-day period. The Notice will explain the special circumstances requiring the extension and the date by which the Administrator or its delegate expects to render a determination on the claim.

 

(b)     The Administrator or its delegate has full discretion to deny or grant a claim in whole or in part. Such decisions shall be made in accordance with the governing Plan documents, and, where appropriate, Plan provisions will be applied consistently with respect to similarly situated Claimants. The Administrator shall have the discretion to determine which Claimants are similarly situated. If Notice regarding a claim is not furnished in accordance with this Section, the claim will be deemed denied and the Claimant will be permitted to exercise his right of review pursuant to Section 10.05.

 

Section 10.04.   Duty of Committee Upon an Adverse Benefit Determination. The Administrator or its delegate will provide to every Claimant who has received an Adverse Benefit Determination written Notice setting forth in a manner calculated to be understood by the Claimant:

 

(a)     the specific reason or reasons for the denial;

 

(b)     reference to the specific Plan provisions on which the Adverse Benefit Determination is based;

 

(c)     a description of any additional material or information necessary for the Claimant to perfect the claim and an explanation of why the material or information is necessary; and

 

(d)     an explanation of the Plan’s claim review procedures and the time limits applicable to such procedures, including a statement of the Claimant’s right to bring a civil action under Section 502(a) of ERISA following an Adverse Benefit Determination upon review.

 

Section 10.05.   Request for Review of an Adverse Benefit Determination. Within 60 days after receipt by the Claimant of written Notification of the Adverse Benefit Determination, the Claimant or his duly authorized representative, upon written application to the Administrator, may request the Administrator to review the Adverse Benefit Determination, to review relevant documents and to submit issues and comments in writing.

 

On review of an Adverse Benefit Determination, upon request and free of charge, Claimants will have reasonable access to, and copies of, all documents, records and other information relevant to a Claimant’s claim for benefits.

 

 

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Section 10.06.   Decision on Review.

 

(a)     The Administrator or its delegate shall make a prompt decision on review. The decision on review shall be written in a manner calculated to be understood by the Claimant and shall include specific reasons for the decision and references to the specific Plan provisions on which the decision is based. The decision on review shall be made no later than 60 days after the Administrator’s receipt of a request for a review, unless special circumstances require an extension of time for processing. In no event may the extension period exceed 60 days from the end of the initial period. If an extension is necessary, the Claimant will be given a written Notice to this effect prior to the expiration of the initial 60-day period. The Notice will explain the special circumstances requiring the extension and date by which the Administrator or its delegate expects to render a determination on the claim. If Notice of the decision on the review is not furnished in accordance with this Section, the claim shall be deemed to have been denied, and the Claimant shall be permitted to exercise his right to legal remedy pursuant to Section 10.07.

 

(b)     The Administrator or its delegate will perform a review of Adverse Benefit Determinations, taking into account all comments, documents, records and other information submitted regardless of whether the information was previously considered on initial review. Such decisions shall be made in accordance with the governing Plan documents, and, where appropriate, Plan provisions will be applied consistently with respect to similarly situated Claimants. The Administrator shall have the discretion to determine which Claimants are similarly situated.

 

(c)     On review of an Adverse Benefit Determination, upon request and free of charge, Claimants will have reasonable access to, and copies of, all documents, records and other information relevant to a Claimant’s claim for benefits.

 

(d)     Notice of Adverse Benefit Determination on appeal must contain the following: the specific reason or reasons for the Adverse Benefit Determination; reference to the specific Plan provisions on which the Adverse Benefit Determination is based; and a statement of the Claimant’s right to bring a civil action under Section 502(a) of ERISA following an Adverse Benefit Determination. 

 

Section 10.07.   Legal Remedy. After exhausting the claims procedure as provided under this Plan, nothing shall prevent any person from pursuing any other legal remedy. No legal action may be taken against the Company after the earlier of three years after the Company notifies the Participant of the denial of his claim or the expiration of the relevant statute of limitations in the state having jurisdiction of the claim. 

 

 

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ARTICLE XI

AMENDMENT AND TERMINATION

 

Section 11.01.    Amendment or Restatement. The Company may amend or restate the Plan at any time and from time to time. No amendment or restatement shall authorize any part of the Trust Fund, other than amounts which are necessary to pay taxes and administration expenses, to be used for or diverted to purposes other than for the exclusive benefit of the Participants or their beneficiaries or estates. No amendment or restatement shall be construed to (a) reduce a Participant’s Account balance determined as of the date immediately preceding the effective date of the amendment or restatement; (b) reduce or eliminate any benefit protected by Code Section 411(d)(6); or (c) cause or permit any portion of the Trust Fund to revert to, or become property of, the Company. No amendment which affects the rights, duties or responsibilities of the Trustee shall be effective without the Trustee’s written consent. The provisions of the Plan as in effect at the time of a Participant’s termination of Employment shall control as to that Participant unless otherwise specified in the Plan.

 

Section 11.02.    Termination and Discontinuance of Contributions. The Company reserves the right to terminate the Plan at any time with respect to any or all Participants. Any participating Employer shall be permitted to discontinue or revoke its participation in the Plan. Upon complete discontinuance of Plan contributions or full or partial termination of the Plan, the Account of each affected Participant shall become fully vested and nonforfeitable. In the event of full or partial termination, the Employer’s liability to pay Plan benefits shall be strictly limited to assets of the Trust Fund. No one shall have any claim against the Company to provide any or all of the Plan benefits regardless of the sufficiency of the Trust Fund, except as otherwise required by law. The termination of the Plan shall not result in the reduction of any benefit protected by Code Section 411(d)(6), except to the extent permitted by applicable Treasury Regulations. Upon partial termination, the Account balances of the affected Participants shall be fully vested and nonforfeitable. In determining whether a partial termination has occurred, the Administrator shall analyze the facts based on IRS Revenue Ruling 2007-43 or superseding guidance.

 

Section 11.03.    Distribution Upon Termination. If the Plan terminates pursuant to Section 11.02, and the Company does not merge the assets of the Plan with another qualified plan or continue the Plan as a “wasting trust” by satisfying all ongoing Plan qualification rules, the Company shall distribute each Participant’s Account in a lump sum; provided, however, if the Employer (or any member of a controlled group within the meaning of Code Sections 414(b), (c), (m) and (o) of which the Employer is a member) establishes or maintains at any time within the 24-month period beginning 12 months before the time of termination another defined contribution plan, other than an employee stock ownership plan or simplified employee pension (as defined in Code Section 408(k)) which covers 2% or more of the employees covered under the Plan at the time of termination, each Participant’s Account shall be transferred to such other defined contribution plan. Participant consent to such a transfer shall be required only if transfer of the Participant’s Account results in an elimination or reduction of Code Section 411(d)(6) protected benefits.

 

Participant consent shall not be required if Participants’ Accounts are to be paid in a lump sum.

 

Section 11.04.    Merger, Consolidation or Transfer of Assets and Liabilities. Upon any merger or consolidation with, or a transfer of assets or liabilities to, another plan, each Participant must be entitled to receive at least as great a benefit immediately after such event (if the Plan had terminated) as he would have been entitled to receive if the Plan terminated immediately prior to such event (if the Plan had then terminated). Any such transfer, merger or consolidation must not otherwise result in the elimination of any benefit protected by Code Section 411(d)(6).

 

 

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Section 11.05.   Successor Employer. Any successor to the business of the Employer may, with the written consent of the Company, continue the Plan and Trust. Such successor shall succeed to all the rights, powers and duties of the Employer.

 

Section 11.06.   Plan Termination/Alternate Defined Contribution Plans. A distribution of Elective Contributions may not be made upon Plan termination if the Employer establishes or maintains an alternative defined contribution plan. A plan is an alternative defined contribution plan only if it is a defined contribution plan that exists at any time during the period beginning on the date of plan termination and ending 12 months after distribution of all assets from the terminated plan. However, if at all times during the 24-month period beginning 12 months before the date of Plan termination fewer than 2% of the employees who were eligible under the defined contribution plan that includes the cash or deferred arrangement as of the date of Plan termination are eligible under the other defined contribution plan, the other plan is not an alternative defined contribution plan. In addition, a defined contribution plan is not treated as an alternative defined contribution plan if it is an employee stock ownership plan as defined in Code Section 4975(e)(7) or 409(a), a simplified employee pension as defined in Code Section 408(k), a SIMPLE IRA plan as defined in Code Section 408(p), a plan or contract that satisfies the requirements of Code Section 403(b) or a plan described in Code Section 457(b) or (f).

 

ARTICLE XII

GENERAL PROVISIONS

 

Section 12.01.   Employee Stock Ownership Plan. The Plan, or a portion of the Plan designated by the Administrator, shall constitute an Employee Stock Ownership Plan as defined in ERISA and the Code and shall be designed to invest primarily in qualifying employer securities or used to repay Acquisition Loans.

 

Section 12.02.   Company Stock Acquisition Loans. The Plan may incur Acquisition Loans from time to time to finance the acquisition of Financed Shares or to repay a prior Acquisition Loan. An installment obligation incurred in connection with the purchase of Company Stock shall constitute an Acquisition Loan.

 

An Acquisition Loan shall meet the following requirements:

 

(a)     An Acquisition Loan shall be for the primary benefit of Participants and their Beneficiaries, shall be for a specific term, shall bear a reasonable rate of interest and shall not be payable on demand except in the event of default.

 

 

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(b)     An Acquisition Loan may be secured only by a collateral pledge of the Financed Shares so acquired, provided such pledge does not violate regulations promulgated by the Federal Reserve Board or any other applicable law or regulation. No other Plan assets may be pledged as collateral for an Acquisition Loan, and no lender or other person entitled to payment under an Acquisition Loan shall have recourse against the Plan or its assets other than any Financed Shares remaining subject to pledge, contributions (other than contributions of Company Stock) made to repay the Acquisition Loan or to satisfy obligations thereunder and earnings attributable to such collateral and the investment of such contributions. Any pledge of Financed Shares must provide for the release of shares so pledged under either the General Rule or the Special Rule (as defined in subsections (f) and (g) below).

 

(c)     Within a reasonable time after receipt by the Trustee of the proceeds of an Acquisition Loan, the Trustee shall, as directed by the Administrator, apply the loan proceeds to acquire Company Stock from the Employer or existing shareholders or to repay an Acquisition Loan.

 

(d)     Payments of principal and interest on any Acquisition Loan during a Plan Year shall not exceed an amount equal to the sum of Employer contributions and Income during or prior to such Plan Year, less payments with respect to the Acquisition Loan in prior Plan Years. Such Employer contributions and Income will be accounted for separately in the books of Accounts of the Plan until the Acquisition Loan is repaid. For this purpose, Income shall include dividends on Financed Shares held in a loan suspense account, as such term is defined in subsection (e), earnings on such dividends, earnings on the proceeds of Acquisition Loans awaiting investment in Company Stock, earnings on Employer contributions and such other amounts as may be permitted by law.

 

(e)     Any Financed Shares acquired by the Trustee shall initially be credited to a “loan suspense account” and shall be allocated with respect to a Plan Year on the basis of payments on the Acquisition Loan made by the Trustee during the Plan Year. The number of Financed Shares to be released from a loan suspense account for allocation to ESOP Contribution Accounts for each Plan Year shall be determined in accordance with the General Rule or the Special Rule as defined in subsections (f) and (g) below. With respect to each Acquisition Loan, the Administrator shall determine whether the General Rule or the Special Rule is to apply.

 

(f)     The General Rule referred to above is based upon the payment of principal and interest on the Acquisition Loan. For each Plan Year during the duration of the Acquisition Loan, the Administrator shall release from the loan suspense account a number of shares equal to the total number of shares held in the loan suspense account immediately prior to the release, multiplied by a fraction in which:

 

(i)      the numerator is the amount of principal and interest paid for the Plan Year; and

 

(ii)     the denominator is the sum of the numerator plus the principal and interest to be paid for all future Plan Years.

 

 

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(g)     The Special Rule referred to above is based solely on principal payments. For each Plan Year during the duration of the Acquisition Loan, the Administrator shall release from the loan suspense account a number of shares equal to the total number of such shares held in the loan suspense account immediately prior to the release, multiplied by a fraction in which:

 

(i)      the numerator is the amount of principal paid for the Plan Year; and

 

(ii)     the denominator is the sum of the numerator plus the principal to be paid for all future Plan Years.

 

(h)     The Administrator may apply the Special Rule only if the Acquisition Loan provides for annual payments of principal and interest at a cumulative rate which is no less rapid at any time than level annual payments of such amounts for 10 years and only if the interest included in any payment is disregarded to the extent it would be determined to be interest under standard loan amortization tables. The Special Rule shall not be applicable from the time that, by reason of a renewal, extension or refinancing, the sum of the expired duration of the Acquisition Loan, the renewal period, the extension period and the duration of a new Acquisition Loan exceeds 10 years.

 

(i)     In determining the number of shares to be released for any Plan Year under either the General Rule or the Special Rule:

 

(i)      the number of future years under the Acquisition Loan must be definitely ascertainable and must be determined without taking into account any possible extensions or renewal periods; and

 

(ii)     if the Acquisition Loan provides for a variable interest rate, the interest to be paid for all future Plan Years must be computed by using the interest rate applicable as of the end of the Plan Year for which the determination is being made.

 

(j)     Company Stock may not be acquired by the Plan pursuant to a Plan obligation to acquire Company Stock from a particular holder of such stock at an indefinite time determined upon the happening of an event such as the death of the holder.

 

(k)     The interest rate and the price of Company Stock acquired with Acquisition Loan proceeds shall not result in a “drain off” as described in Treasury Regulations Section 54.4975-7(b)(3).

 

(l)     Except as provided under Section 7.04 relating to permitted put options, no securities acquired with the proceeds of an Acquisition Loan may be subject to a put, call or other option, or buy-sell or other arrangement, while held by and when distributed from the Plan, regardless of whether the Plan continues to operate as an Employee Stock Ownership Plan, to the extent required by Treasury Regulations Section 54.5975-7(b)(iv).

 

(m)     Any assets transferred in satisfaction of an Acquisition Loan must not exceed the amount of default. For a disqualified person, the assets transferred to satisfy default cannot exceed the payment schedule of an Acquisition Loan.

 

 

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(n)     The rights and protections required under Treasury Regulations Section 54.4975-7(b)(4), relating to put, call or other options, and to buy-sell or similar arrangements, and Treasury Regulations Section 54.4975-7(b)(10), (11) and (12), relating to put options, are nonterminable, even if the Acquisition Loan is repaid or the Plan ceases to be an Employee Stock Ownership Plan.

 

(o)     To the extent Company Stock acquired with the proceeds of an Acquisition Loan available for distribution consists of more than one class, a distributee must receive substantially the same proportion of each such class.

 

Section 12.03.   Limitation on Allocation of Accounts With Respect to Shareholder Electing Gain Deferral. This Section applies only if the Company Stock is not readily tradable on an established market. If a shareholder of Company Stock sells Company Stock to the Trust Fund and elects (with the consent of the Company) nonrecognition of gain under Code Section 1042, no portion of the Company Stock purchased may be allocated during the nonallocation period to the Account of (or be allocated directly or indirectly under any plan of the Company for the benefit of):

 

(a)     Any individual who makes an election under Code Section 1042 with respect to any Company Stock sold to the Plan; or

 

(b)     Such individual’s spouse, brothers or sisters (whether by whole or half blood), ancestors or lineal descendants (except as to certain lineal descendants, to the extent permitted under Code Section 409(n)(3)(A)) or any other person who bears a relationship to him that is described in Code Section 267(c)(4).

 

The “nonallocation period” is the period beginning on the date of the sale of the Company Stock to the Plan and ending on the later of the date that is 10 years from the date of that sale or the date of the Plan allocation attributable to the final payment of any loan obligation incurred by the Plan in connection with that sale.

 

In addition, no portion of the Company Stock purchased in any transaction to which Code Section 1042 applies (or any dividends or other Income attributable thereto) may thereafter be allocated to the Account of any Participant owning (as determined under Code Section 318(a) (without regard to Code Section 318(a)(2)(B)(i))), during the entire one-year period preceding the date of purchase or as of the date such Company Stock is allocated, more than 25% of any class of outstanding stock of the Company or of the total value of any class of outstanding stock of the Company.

 

Notwithstanding the foregoing, this Section shall not apply if the Company is a subchapter S corporation under the Code. In such case, Code Section 1042 will not apply and a shareholder of Company Stock may not defer the gain on a sale of Company Stock to the Plan.

 

Section 12.04.   Voting Rights. Each Participant shall direct the Trustee with respect to how to vote Company Stock allocated to the Participant’s Account. 

 

 

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In the event the Company Stock becomes a non-registration-type class of securities, each Participant shall direct the Trustee how to vote Company Stock allocated to the Participant’s Account with respect to any corporate matter which involves the voting of such shares for the approval or disapproval of any corporate merger or consolidation, recapitalization, reclassification, liquidation, dissolution or sale of substantially all assets or any similar transaction prescribed by regulations. 

 

In the event a Participant or beneficiary does not provide instructions as to how the Company Stock allocated to his Account shall be voted, then, as a general rule, the Administrator and the Trustee shall refrain from voting such shares. This position is based on the premise that a Participant who has abstained or not provided any instructions as to the voting of his Employer Stock Account has made a decision that it is in the best interests of such Participant to either abstain or not vote. If the Administrator determines that either ERISA or its fiduciary duties require it to vote the allocated shares as to which no voting instructions have been received from the respective Participants or beneficiaries, the Administrator shall vote such shares. The Administrator and the Trustee shall establish procedures with respect to voting Company Stock. 

 

Section 12.05.   Limitation on Liability. In no event shall the Company, the Employer or the Administrator or any employee, officer or director of the Company or the Employer incur any liability for any act or failure to act unless such act or failure to act constitutes a lack of good faith, willful misconduct or gross negligence with respect to the Plan or the Trust Fund.

 

Section 12.06.   Indemnification. The Trust Fund shall indemnify the Administrator and any employee, officer or director of the Employer against all liabilities arising by reason of any act or failure to act unless such act or failure to act is due to such person’s own gross negligence or willful misconduct or lack of good faith in the performance of his duties to the Plan or Trust Fund. Such indemnification shall include, but not be limited to, expenses reasonably incurred in the defense of any claim, including attorney and legal fees, and amounts paid in any settlement or compromise; provided, however, that indemnification shall not occur to the extent it is not permitted by applicable law. If Trust Fund assets are insufficient or indemnification is not permitted by applicable law, the Employer shall indemnify such person. Indemnification shall not be deemed the exclusive remedy of any person entitled to indemnification pursuant to this Section. The indemnification provided hereunder shall continue as to a person who has ceased acting as a director, officer, member, agent or employee of the Administrator or as an officer, director or employee of the Employer, and such person’s rights shall inure to the benefit of his heirs and representatives.

 

Section 12.07.   Compliance With Employee Retirement Income Security Act of 1974. Notwithstanding any other provisions of the Plan, a fiduciary or other person shall not be relieved of any responsibility or liability for any responsibility, obligation or duty imposed upon such person pursuant to the Employee Retirement Income Security Act of 1974, as amended from time to time.

 

Section 12.08.   Qualified Military Service. 

 

(a)      In General. Notwithstanding any provision of the Plan to the contrary, contributions, benefits and service credit with respect to qualified military service will be provided in accordance with Code Section 414(u).

 

 

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(b)      Death During Qualified Military Service. In the case of a Participant who dies while performing qualified military service, as described in Code Section 414(u), the surviving beneficiaries of such Participant shall be entitled to any additional benefits (other than benefit accruals relating to the period of qualified military service) provided under the Plan had the Participant resumed and then terminated employment on account of death pursuant to Code Section 401(a)(37).

 

(c)      Differential Military Pay. Pursuant to Code Section 414(u)(12), a Participant receiving differential wage payments (as defined in Code Section 3401(h)(2)) shall be treated as an employee of the Company making the payment, and the differential wage payments shall be treated as Compensation for all purposes under the Plan.

 

For purposes of Code Section 401(k)(2)(B)(i)(I), a Participant shall be treated as having terminated from Employment during any period the Participant is performing services described in Code Section 3401(h)(2)(A). If a Participant elects to receive a distribution under this paragraph, the Participant may not make an Elective Contribution during the six-month period beginning on the date of distribution.

 

Section 12.09.   Nonalienation of Benefits. Except with respect to any indebtedness owing to the Trust Fund, payments required pursuant to a qualified domestic relations order as defined by the Code, or as otherwise permitted by law, benefits payable by the Plan shall not be subject to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, charge, garnishment, execution or levy, either voluntary or involuntary. Any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, charge or otherwise dispose of any right to Plan benefits shall be void.

 

Section 12.10.   Employment Not Guaranteed by Plan. The establishment of the Plan and its amendments and the granting of a benefit pursuant to the Plan shall not give any Participant the right to continued Employment with the Employer or limit the right of the Employer to dismiss or impose penalties upon the Participant or modify the terms of Employment of any Participant.

 

Section 12.11.   Form of Communication. Any election, application, claim, notice or other communication required or permitted to be made by or to a Participant, the Administrator or the Company shall be made in such form as the Administrator or the Company shall prescribe. A communication shall be effective upon mailing if sent first-class, postage prepaid, and addressed to the Administrator or the Company at the principal office of the Administrator or the Company or to the Participant at his last-known address.

 

Section 12.12.   Facility of Payment. If a Participant’s duly qualified guardian or legal representative makes claim for any amount owing to the Participant, the Trustee shall pay the amount to which the Participant is entitled to such guardian or legal representative. In the event a distribution is to be made to a minor, the Administrator may direct such distribution be paid to the legal guardian or, if none, to a parent of such minor or an adult with whom the beneficiary maintains his residence or to the custodian for such beneficiary under the Uniform Gift to Minors Act, if permitted by the laws of the state in which the beneficiary resides. Any payment made pursuant to this Section in good faith shall be a payment for the Account of the Participant and shall be a complete discharge from any liability of the Trust Fund or the Trustee.

 

 

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Section 12.13.   Location of Participant or Beneficiary Unknown. This Section pertains to Participants and Beneficiaries that cannot be located, but are entitled to a distribution under this Plan (“Lost Participant”). The Administrator, by certified or registered mail addressed to the last-known address of the Lost Participant, shall notify the Lost Participant that he is entitled to an unclaimed amount under this Plan. To the extent possible, the Administrator will also check any other plan of the Employer or affiliated company to ensure it has the most up-to-date information. If the Lost Participant fails to claim his benefits or make his whereabouts known in writing to the Administrator, or the Administrator is otherwise unable to locate the Lost Participant after reasonable due diligence, the Administrator shall treat the unclaimed benefit of the Lost Participant as forfeited.

 

In the event of a Plan termination, any amount not already forfeited under the previous paragraph payable to Lost Participants shall be transferred at the earliest possible date to the state of the Lost Participant’s last-known address pursuant to the terms of that state’s abandoned property law or as otherwise required by applicable law. Upon transfer, the Employer, Plan, Administrator, Trust Fund, and Trustee shall have no further liability for the amount.

 

If a Lost Participant incurs a forfeiture under this Section and then makes a claim for his forfeited Account, at any time prior to termination, the Administrator shall restore the forfeited Account to the same dollar amount as the amount forfeited, unadjusted for any gains or losses occurring subsequent to the date of the forfeiture. The Administrator shall make the restoration during the Plan Year in which the Lost Participant makes the claim, first from the amount of Participant forfeitures the Administrator otherwise would use for the Plan Year, and then from the amount, or additional amount, the Employer for whom such Participant was employed shall contribute to the Plan to enable the Administrator to make the required restoration. The Administrator shall direct the Trustee to distribute the restored Account to the Lost Participant in a lump sum no later than 60 days after the close of the Plan Year in which the Administrator restores the forfeited Account.

 

The provisions of this Section are intended to provide permissible but not exclusive means for the Administrator to administer the Accounts of Lost Participants. The Administrator may utilize any other reasonable method to locate Lost Participants and to administer the Accounts of Lost Participants, including default rollover and such other methods as the IRS or the DOL may specify. The Administrator will apply this Section in a reasonable, uniform, and nondiscriminatory manner, but may, in determining a specific course of action as to a particular Account, reasonably take into account differing circumstances such as the amount of a Lost Participant’s Account, the expense in attempting to locate a Lost Participant, the Administrator’s ability to establish, and the expense of establishing, a rollover IRA, and other factors. The Administrator may charge to the Account of a Lost Participant the reasonable expenses incurred under this Section and which are associated with the Lost Participant’s Account. 

 

Section 12.14.      Service in More Than One Fiduciary Capacity. Any individual, entity or group of persons may serve in more than one fiduciary capacity with respect to the Plan and the Trust Fund.

 

 

60

 

 

Section 12.15.      Offset. In the event any payment is made by the Trustee to any individual who is not entitled to such payment, the Trustee shall have the right to reduce future payments due to such individual by the amount of any such erroneous payment. This right of offset, however, shall not limit the rights of the Trustee to recover such overpayments in any other manner.

 

 

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The foregoing is adopted this 30 day of December, 2016.

 

	
 
	
BEAR STATE FINANCIAL, INC.
	
 

	
 
	
 
	
 
	
 

	 	 	 	 
	
 
	
 
	
 
	
 

	
 
	
By: 
	
/s/ Donna Merriweather
	
 

	
 
	
Name
	
Donna Merriweather
	
 

	
 
	
Title
	
Executive Vice President - Director of Human Resources  

 

 

 

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