Document:

Addendum No. 1 to Sub-Sublease Agreement

 EXHIBIT 10.10 
 ADDENDUM NO. 1. TO SUB-SUBLEASE AGREEMENT 
 THIS ADDENDUM TO SUB-SUBLEASE AGREEMENT is entered into this
17th day of January, 2011, but effective as of
July 14, 2008, by Opportunity Finance, LLC (the “Sublessee” or “Assignor”), and GWG Life, LLC (the “Assignee”). 
 RECITALS: 
  

	 	A.	 Ernst & Young U.S. LLP, a Delaware limited liability partnership (“E&Y”), entered into that certain Lease dated May 25,
2000 (the “Prime Lease”) with First Minneapolis—Hines Company, a Minnesota general partnership (the “Landlord”). 

  

	 	B.	 The Prime Lease relates to Leased Premises (as defined in the Prime Lease) in the building commonly known as US Bank Plaza (formerly known as
Pillsbury Center)(South Tower), 220 South Sixth Street, Minneapolis, Minnesota (the “Building”). 

  

	 	C.	 E&Y sublet 20,951 rentable square feet on the 12th floor of the Building to Sublessor pursuant to that certain Sublease dated May 23, 2000
(as amended by that certain Amendment One to Sublease, the Prime Sublease”). 

  

	 	D.	 Sublessor sublet the Subleased Premises (as defined in the Sub-Sublease Agreement) to SubSublessee on July 14, 2008, attached hereto in
Appendix 1. 

  

	 	E.	 Sublessee desires to assign all of its rights and obligations under the Sub-Sublease Agreement to Assignee through the Expiration Date of the
Sub-Sublease on April 20, 2012. Assignee desires to assume all rights and obligations under the Sub-Sublease through the Expiration Date of the Sub-Sublease on April 20, 2012. 

NOW THEREFORE, the parties agree as follows: 

 

	 	1.	 Assignment. The Assignor hereby assigns to the Assignee, and the Assignee hereby assumes from the Assignor, that interest in and to all of
the Assignor’s rights and obligations under the Sub-Sublease Agreement as of the date hereof, with all of its outstanding rights and obligations under the Sub-Sublease Agreement, including, without limitation, all rights and obligations.

  

	 	2.	 Representations and Warranties of Assignor. The Assignor (i) represents and warrants that it is the legal and beneficial owner of the
interest being assigned by it hereunder and that such interest is free and clear of any liens or security interests; and (ii) makes no representation or warranty and assumes no responsibility with respect to any statements, representations or
warranties made in or in connection with the Sub-Sublease Agreement or the execution, legality, validity, enforceability, genuineness, sufficiency 

	 	 
or value of the Sub-Sublease Agreement or any other instrument or document furnished pursuant thereto. 

 

	 	3.	 Representations and Warranties of Assignee. The Assignee (i) represents and warrants that it is authorized to enter into and perform the
terms of this Agreement, the Sub-Sublease Agreement to which it will become a party pursuant to this Agreement; (ii) confirms that it has received a copy of the Sub-Sublease Agreement; (iii) agrees that it will, independently and without
reliance upon the Assignor make its own credit decisions in taking or not taking action under the Sub-Sublease Agreement; (iv) agrees that it will perform in accordance with their terms all of the obligations which by the terms of the
Sub-Sublease Agreement. 

  

	 	4.	 Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF MINNESOTA.

 IN WITNESS WHEREOF, the parties have executed this assignment as of the day and year first
above written. This Agreement may be executed in separate counterparts, which together shall constitute a single instrument. 
  

			
	SUBLESSEE:
	
	OPPORTUNITY FINANCE, LLC
	
	A Delaware limited liability company
		
	By:	 	    /s/
		
	Its:	 	     Secretary

	
	ASSIGNEE:
	
	GWG LIFE, LLC
	
	A Delaware limited liability company
		
	By:	 	    /s/
		
	Its:	 	     CEO

 Appendix I 
 Sub-Sublease Agreement 

 SUB-SUBLEASE AGREEMENT 

THIS SUB-SUBLEASE AGREEMENT (the “Sublease”) is made as of July 2008 by and between Capgemini U.S. LLC,
a Delaware limited liability company (the “Sublessor”), and Opportunity Finance, LLC, a Delaware limited liability company (the “Sublessee”). 
 RECITALS: 
 A. Ernst & Young U.S. LLP, a
Delaware limited liability partnership (“E&Y”), entered into that certain Lease dated May 25, 2000 (the “Prime Lease”) with First Minneapolis—Hines Company, a Minnesota general partnership (the
“Landlord”). 
 B. The Prime Lease relates to the Leased Premises (as defined in the Prime
Lease) in the building commonly known as US Bank Plaza (formerly known as Pillsbury Center)(South Tower), 220 South Sixth Street, Minneapolis, Minnesota (the “Building”). 

C. E&Y sublet 20,951 rentable square feet on the 12th floor of the Building to Sublessor pursuant to that certain
Sublease dated May 23, 2000 (as amended by that certain Amendment One to Sublease, the “Prime Sublease”). 
 D. Sublessor desires to sub-sublet the Subleased Premises (as defined herein) located in the Building to Sublessee, and Sublessee desires to sub-sublease the Subleased Premises from Sublessor, for the
term and upon the conditions set forth herein. 
 NOW, THEREFORE, in consideration of the rent and other
payments hereinafter set forth, the covenants and agreements of the parties contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereby agree as follows: 

1. Demise. Subject to Section 24 hereof, Sublessor does hereby agree to sublease the Subleased
Premises to Sublessee, and Sublessee does hereby accept and sublease the Subleased Premises from Sublessor, for the term and upon the conditions set forth herein. 

2. Term. The term of the sublease hereunder of the Subleased Premises shall commence on the date which Sublessor
receives the written consent of Landlord and E&Y to this Sublease pursuant to Section 24 hereof (such date being hereinafter referred to as the “Commencement Date”). This Sublease shall expire at 5:00 p.m. on
April 20, 2012 (“Expiration Date”), unless sooner terminated in accordance with the provisions of this Sublease, but in no event later than the expiration date of the Prime Lease. 

3. Subleased Premises. The “Subleased Premises” shall mean approximately 11,695 rentable square
feet on the 12th floor of the Building, as more specifically depicted on Exhibit A, to be defined as Suite 1200, attached hereto and made a part hereof. 

 4. Use. The Sublessee may use the Subleased Premises solely for
general offices, in accordance with all applicable laws, ordinances and regulations and subject to the requirements of the Prime Lease, the Prime Sublease and this Sublease. 

5. Payment of Rent. 
 (a) Subject to Section 5(c) below, beginning on the Commencement Date, Sublessee shall pay base rent as follows (the “Base Rent”): 

 

					
	 	 	 
	Dates	    	Monthly Base Rent            	    	Annual Base Rent Per RSF    
    
	 	 	 
	
Commencement Date – July 31, 2009

 
	    	
$7,309.38            

 
	    	
$7.50/RSF        

 

	 	 	 
	
August 1, 2009 – July 31, 2010

 
	    	
$7,796.67            

 
	    	
$8.00/RSF        

 

	 	 	 
	
August 1, 2010 – July 31, 2011

 
	    	
$8,283.96            

 
	    	
$8.50/RSF        

 

	 	 	 
	
August 1, 2011 – April 30, 2012

 
	    	
$8,771.25            

 
	    	
$9.00/RSF        

 

 Base Rent shall be due and payable in advance, in equal monthly installments, on or
before the first day of each and every calendar month during the term hereof. Sublessor hereby directs Sublessee, and Sublessee does hereby agree, that such payment of Base Rent and payment of all other amounts due and payable to Sublessor under
this Sublease shall be made to (and to the order of) Capgemini U.S. LLC, Corporate Real Estate Services, One Panorama Center, 7701 Las Colinas Ridge, Suite 600, Irving, Texas 75063 (or at such other place as the Sublessor subsequently shall
designate in writing) and shall be paid in lawful money of the United States of America without notice or demand, and without abatement, deduction, counter-claim or setoff. Any installment of Base Rent that is received by Sublessor after the tenth
(10th) day on which it is due shall, at Sublessor’s option, be subject to a late charge of seven percent (7%) Annual Percentage Rate of the amount thereof and such charge shall be paid by Sublessee upon demand by Sublessor, it being
understood that the late fee described herein shall not be deemed a liquidated damages calculation and shall not preclude any other remedy of Sublessor under this Sublease or at law. To the extent that this Sublease shall commence on a day other
than the first day of any calendar month, or terminate on a day other than the last day of any calendar month, the Base Rent under this Sublease shall be prorated on a per diem basis for that particular month. 

(b) In addition to payment of Base Rent as aforesaid, beginning on the Commencement Date, Sublessee shall pay to
Sublessor Operating Costs, as such term is defined in the Prime Sublease, with respect to the Subleased Premises, currently estimated at Ten Dollars and Seventy-Two Cents ($10.72) per rentable square feet. Furthermore, to the extent that Landlord
charges Sublessor for any service, act or utility provided to the Subleased Premises beyond the basic services, acts and utilities that are required to be supplied by the Prime Sublease without charge, including, without limitation, heating, air
conditioning, utilities and additional cleaning, Sublessee shall pay for such charges as additional rent, immediately upon 

 
demand therefore to the extent such charges relate to the Subleased Premises (the “Additional Rent”). 

(c) Provided Sublessee is not in default of the terms of this Sublease, monthly Base Rent and Additional Rent shall be
abated for the first month of Sublease (the “Abated Rent”). For purposes of clarification, Base Rent and Additional Rent shall be due and owing by Sublessee no later than September 1, 2008, provided, however, that if the
Commencement Date begins on a date which is later than August 1, 2008 solely as a result of a delay by either Landlord or E&Y in providing its respective consent pursuant to Section 24 below, the Base Rent and Additional Rent
due and owing under this Sublease shall be prorated on a per diem basis for the particular month in which the Commencement Date occurs, and provided, further, however, that there shall be a pro rata reduction on a per diem basis on any Abated Rent
for each day Sublessee has not provided its written consent to this Sublease after the passage of three (3) business days following receipt of such consent for signature, and Sublessee shall thereafter be liable for any Base Rent and Additional
Rent due and owing as a result of such reduction. In the event of a default by Sublessee under the terms of this Sublease which results in either early termination of this Sublease and/or Sublessee vacating and/or being evicted from the Subleased
Premises, then as part of the recovery permitted Sublessor under this Sublease, Sublessor shall be entitled to a recovery of the Abated Rent which was abated under this Section 5(c), i.e., such Abated Rent shall not be deemed to have
been forgiven or abated, but shall become immediately due and payable as unpaid rent which had been earned at the date of default. 
 (d) All payments referenced in this Section 5, including, without limitation, Base Rent and Additional Rent are hereinafter referred to collectively as “Rent”. 

6. Certain Provisions of Lease Incorporated. The following provisions of the Prime Sublease (the
“Incorporated Provisions”) are explicitly incorporated herein by reference and made a part hereof. Paragraphs 5.1 (excluding the amount payable as Base Rent thereunder), 5.2, 5.3, 6, 7, 8, 9, 11, 13, 14, 15, 16, 17, 18, 19, 20, 21,
23, 24, 25, 26, 27, 28 and 31. No consent, waiver, amendment, or other change by E&Y of Sublessor’s obligations and liabilities as tenant under the Prime Sublease shall reduce or limit Sublessor’s obligations and liabilities to
Sublessor hereunder unless Sublessor shall have agreed in writing that such consent, waiver, amendment or change shall be effective hereunder. Unless the context requires otherwise, for the period during the term of this Sublease only,
(i) references in the Incorporated Provisions to Sublandlord shall refer to Sublessor (subject to the provisions of this Sublease which relieve Sublessor of any obligation or responsibility for the performance of the obligations of Sublandlord
under the Prime Sublease), (ii) references in such provisions to Subtenant shall refer to Sublessee, and (iii) references in such provisions to the Sublease Premises shall refer to the Subleased Premises hereunder. Sublessee expressly
assumes toward Sublessor and agrees to perform all of the obligations, responsibilities and covenants that Sublessor has assumed as Subtenant under the Incorporated Provisions in respect of the Subleased Premises. Sublessee acknowledges that it has
received a copy of the Prime Lease and the Prime Sublease, and agrees not to do, or cause to be done, any act (whether of omission or commission) which would result in a default under or breach of any term, covenant, provision or condition of the
Prime Lease or the Prime Sublease. 
 Notwithstanding the incorporation herein of the Incorporated Provisions or
anything otherwise contained in this Sublease to the contrary, 

 (a) Sublessor shall not be obligated to render or provide any of the
services required to be provided by Landlord or E&Y under the Prime Lease or the Incorporated Provisions, respectively, and Sublessor shall not be obligated to satisfy any obligations of the Landlord or E&Y thereunder, however Sublessor will
support Sublessee in any reasonable request to the Landlord or E&Y; 
 (b) Sublessor shall not have any
responsibility or liability to Sublessee (i) on account of any act or omission of Landlord or E&Y, any default by Landlord or E&Y, or breach by Landlord or E&Y of any term, covenant or condition of the Prime Lease or the Prime
Sublease, respectively, or any failure by Landlord or MY to perform any of its obligations under the Prime Lease or the Prime Sublease, respectively, or (ii) by reason of any condition of or in the Building or the Subleased Premises now or
hereafter existing; and 
 (c) Except as otherwise set forth in the Incorporated Provisions, Sublessee shall not
have any responsibility or liability to Sublessor (i) on account of any act or omission of Landlord or E&Y, any default by Landlord or E&Y, or breach by Landlord or E&Y of any term, covenant or condition of the Prime Lease or the
Prime Sublease, respectively, or any failure by Landlord or E&Y to perform any of its obligations under the Prime Lease or the Prime Sublease, respectively, or (ii) by reason of any condition of or in the Building or the Subleased Premises
now or hereafter existing, except to the extent such condition was caused by Sublessee or any person or entity acting on behalf of Sublessee. 
 provided, however, that Sublessor shall, at Sublessee’s request and expense, take all such reasonable actions as Sublessee shall direct to enforce Sublessor’s rights and remedies under the Prime
Sublease with respect to the Subleased Premises or, at Sublessor’s option, authorize Sublessee to enforce the same in Sublessors name. Sublessee shall indemnify and hold harmless Sublessor against any loss, liability, claim, cost or expense
arising out of or in connection with any actions taken pursuant to the preceding sentence, and Sublessee shall be entitled to receive and retain any recovery allocable to the Subleased Premises during the term of this Sublease resulting from such
actions, after recovery by Sublessor of all loss, liability, claim, cost and expense due to Sublessor by Sublessee hereunder. 
 7. Net Return. The payments of Sublessee hereunder to Sublessor are intended to constitute an absolutely net return to Sublessor with respect to the Subleased Premises, and, except to the extent of
(i) the difference between the Base Rent payable hereunder and the Base Rent payable under the Prime Sublease, and (ii) all costs of any kind relating to the Incorporated Provisions (with respect to the Subleased Premises), this Sublease,
or the use and operation of the Subleased Premises shall be the responsibility of the Sublessee. Without limiting the generality of the foregoing, (i) whenever Sublessee requires Landlord or E&Y to furnish any service or perform any act for
which Landlord or E&Y is entitled to make a separate charge under the Prime Lease or the Prime Sublease, including, without limitation, heating, air conditioning and utilities, Sublessee shall pay the same, and (ii) Sublessee shall pay to
Sublessor any charges billed to Sublessor for services provided to the Subleased Premises. 
 8. Property
Located in or about the Subleased Premises. All improvements, fixtures, equipment and personal property in or about the Subleased Premises shall be in or about the Subleased Premises at the sole risk of Sublessee. The improvements, fixtures,

 
equipment and personal property in or about the Subleased Premises as of the Commencement Date (as more particularly described on Exhibit B attached hereto and made a part hereof, as may
be modified by the parties in writing, the “Sublessor’s Property”) shall be and remain the property of Sublessor and shall be kept by Sublessee in good condition and repair (subject to normal wear and tear) and shall not be
removed from the Subleased Premises. Sublessor makes no warranties of any kind or nature, whether express or implied (including without limitation warranties of merchantability or fitness for a particular purpose), with respect to the
Sublessor’s Property, and Sublessee accepts the Sublessor’s Property for use during the term hereof in its “as is” and “where is” condition. Sublessee shall insure the Sublessor’s Property in the name of Sublessor
as part of the property insurance required hereunder. Sublessor shall have the right to enter the Subleased Premises at all reasonable times and after giving Sublessee reasonable notice, for the purpose of, among other things, inspecting the
Subleased Premises and the Sublessor’s Property. In consideration of the Rent and the additional sum of $1 payable to Sublessor, and provided that Sublessee shall not have defaulted under this Sublease, upon the end of the term of this
Sublease, Sublessor shall transfer the Sublessor’s Property to Sublessee in its “as is” and “where is” condition, with all representations and warranties (including without limitation warranties of merchantability or fitness
for a particular purpose) hereby waived by Sublessee. 
 9. Taxes. If any taxes or fees of any kind are
payable by Sublessor with respect to the foregoing transfer of the Sublessor’s Property to Sublessee, then Sublessee shall be solely responsible for the payment of such taxes and fees. Sublessee shall reimburse Sublessor for the amount of
any such taxes and fees within ten (10) days after delivery of notice to Sublessee of the amount of such taxes and fees. Sublessee’s obligations to pay any such taxes and fees shall survive the expiration of the term of this
Sublease. 
 10. Waiver of Claims. Sublessee hereby acknowledges that it has inspected the
Sublessor’s Property and waives any and all claims against Sublessor arising out of any damage, defect or condition relating to the Sublessor’s Property. 

11. Surrender. At the termination of this Sublease, by lapse of time or otherwise, Sublessee shall surrender
possession of the Subleased Premises to Sublessor and deliver all keys to the Subleased Premises and all locks therein to Sublessor and make known to Sublessor the combination of all combination locks in the Subleased Premises and shall return the
Subleased Premises and the Sublessor’s Property (to the extent the Sublessor’s Property has not been transferred to Sublessee pursuant to the terns of Section 8 of this Sublease) to Sublessor in broom clean condition and in as
good condition as Sublessee originally took possession, normal wear and tear excepted, failing which Sublessor may restore the Subleased Premises and the Sublessor’s Property to such condition and the Sublessee shall pay the cost thereof to
Sublessor on demand. Prior to such termination of this Sublease, Sublessee shall remove all of Sublessee’s personal property (but not Landlord’s or E&Y’s personnel property or Sublessor’s Property) and only those
improvements, alterations and additions, which as a condition to Sublessee’s, E&Y’s or Landlord’s consent to the installation thereof, are required to be removed and restored upon termination hereof. 

12. Assignment and Subletting. Sublessee shall have no right to sublet the Subleased Premises (in whole or in
part) or any portion thereof or assign or otherwise transfer its interest in 

 
this Sublease, whether expressly or by operation of law, without the prior written consent of Sublessor, which shall not be unreasonably withheld, conditioned or delayed, and all other consents
and approvals that may be required under the Prime Lease and the Prime Sublease. 
 13. Indemnification.
Sublessee agrees, to the extent not expressly prohibited by law, to pay, and to protect, defend, indemnify and save harmless Sublessor, E&Y and Landlord, and their respective past, present and future employees, officers and agents (each an
“Indemnified Party” and collectively, the “Indemnified Parties”), from and against any liabilities, losses, damages, costs or expenses (including, but not limited to, attorneys’ fees and expenses) of any nature
whatsoever, which may be imposed upon, incurred by, or asserted against any Indemnified Party by reason of or in connection with (i) any accident, injury to, or death of any person or any damage to property or any other events occurring on or
about the Subleased Premises, or (ii) any breach by Sublessee of any term or condition of the Incorporated Provisions or the Prime Lease, with respect to the Subleased Premises, or this Sublease or any failure by Sublessee to perform or comply
with (x) any of the terms of the Incorporated Provisions, with respect to the Subleased Premises or (y) this Sublease, or (z) any restrictions, statutes, laws, ordinances or regulations affecting the Subleased Premises or any part
thereof or Sublessee’s use of the Subleased Premises, (iii) the use or occupancy of the Subleased Premises, (iv) any act or omission of the Sublessee, its employees, agents, contractors, licensees, visitors, guests, officers, and
representatives, or (v) any indemnity obligation of the Sublessor with respect to the Subleased Premises. 

14. Insurance. As pursuant to the Incorporated Provisions, Sublessee shall obtain all insurance policies (and in
such amounts) required under the Prime Sublease, including, but not limited to, personal property insurance covering the Sublessee’s personal property. Sublessee shall include Sublessor, Landlord and MY as additional insureds. under all
liability related and other insurance policies required under the terms of the Prime Lease and Prime Sublease and under all insurance policies which Sublessee may carry with respect to the Subleased Premises, any property located thereon, or with
respect to any claim or accident arising on or about the Subleased Premises. Prior to the commencement of the term of this Sublease or any occupancy of or access to the Subleased Premises by Sublessee, Sublessee shall deliver to Sublessor
certificates of insurance showing such policies to be valid and in effect. Any rights of settlement allocated to Sublessor as tenant under the Prime Sublease shall continue to be the rights of Sublessor hereunder. 

15. Subleased Premises Claim. Sublessee hereby releases Sublessor, Landlord and E&Y, and their respective
officers, employees, agents and representatives, from any and all claims or demands of damage, liability, loss, expense or injury to the Subleased Premises or to the furnishings, fixtures, equipment, inventory or other property of Sublessee in,
about or upon the Subleased Premises, which is caused by or results from perils, events or happenings which are the subject of insurance carried by Sublessee which is required under this Sublease or otherwise in force at the time of any such loss,
whether or not due to the negligence of Sublessor, Landlord or E&Y or their respective officers, employees, agents and representatives, and regardless of cause or origin. Any insurance carried by Sublessee with respect to the Building or the
Subleased Premises (or property therein or occurrences thereon) shall include a clause or endorsement denying to the insurer rights of subrogation against Sublessor, Landlord and MY and their respective officers, employees, agents and
representatives. 

 16. Defaults. It shall be an Event of Default hereunder if:

 (a) Sublessee shall fail to pay Rent when due; or 

(b) Sublessee shall fail to pay when due any payments required to be made by Sublessee as described in this Sublease
other than Rent; or 
 (c) Sublessee shall fail to keep or perform any one or more of the other terms,
conditions, covenants or agreements of this Sublease or the Incorporated Provisions, and such failure shall continue for fifteen (15) days after notice of such failure to Sublessee; or 

(d) Sublessee shall cause or permit to occur a default under the Incorporated Provisions which is not cured prior to five
(5) days before the expiration of any cure period applicable thereto pursuant to the Incorporated Provisions or the Prime Lease. 
 17. Remedies. In the event of an Event of Default by Sublessee hereunder, Sublessor may exercise any remedies available to E&Y under the Incorporated Provisions, and, in addition to or, at its
option, in lieu of, any or all other remedies provided for herein or in the Incorporated Provisions or available to Sublessor at law or in equity, Sublessor shall be entitled to enjoin such breach or a threatened breach, or to perform such
obligation or cure such breach on behalf of Sublessee and recover the cost of such performance or cure from Sublessee upon demand. Notwithstanding anything to the contrary contained in the Prime Sublease, Sublessor shall have the right to terminate
this Sublease at any time following the tenth (10th) day after an Event of Default by Sublessee and, at Sublessor’s sole option, excluding Sublessee’s personal property, Sublessor shall have the right to retain all personal property,
equipment and fixtures located on the Subleased Premises as security for the outstanding obligations of Sublessee. 
 18. Tenant Improvements. Sublessor has not made any warranty or representation as to the condition of the Subleased Premises or any agreement or promise to decorate, alter, repair or improve the
Subleased Premises and Sublessee hereby waives any and all rights it may have, express or implied, against Sublessor in connection therewith. The Subleased Premises are to be leased to Sublessee in “as-is” condition. 

19. Alterations. Sublessee shall not make or have made on its behalf any alterations or improvements to the
Subleased Premises (“Sublessee Improvements”) except in accordance with the requirements of the Prime Lease and Prime Sublease with the prior written consent and approval of Sublessor, such consent not to be unreasonably withheld,
conditioned, or delayed provided such alternations or improvements are consistent with existing Subleased Premised space design and incorporates building standard materials and, to the extent such consents and approvals are required under the Prime
Lease and Prime Sublease, the prior written consent and approval of Landlord and E&Y, respectively (the “Approved Alterations”). Such Sublessee Improvements shall be completed in accordance with a schedule and plans and
specifications submitted to and approved by the Landlord, E&Y and Sublessor. Provided Sublessee is not in default of its obligations under this Sublease, Sublessee shall have the right to an allowance for Sublessee Improvements that comply with
the terms hereof in the amount of Sixty-Three Thousand, Five Hundred Sixty Dollars and 00/100 ($63,560.00) Dollars (the “Allowance”). Sublessor shall, within forty five (45) days after Sublessee presents a request for
reimbursement 

 
under this Allowance, reimburse Sublessee for the costs of the Approved Alterations up to the amount of the Allowance, provided Sublessee first delivers to Sublessor all of the following:
(i) copies of invoices for such Approved Alterations, (ii) executed lien waivers from all contractors and subcontractors who performed work in connection with said invoices, and (iii) updated “as-built” AutoCAD files. Upon
execution of this Sublease, Sublessor shall provide Sublessee with any files and/or plans in Sublessor’s possession pertaining to the Subleased Premises, it being understood that Sublessor’s delivery of such files and/or plans to Sublessee
shall not in any way be deemed a warranty or representation about the accuracy thereof Sublessee shall be permitted to use any reputable architect, engineer, contractor or subcontractor to perform the Approved Alterations, provided Landlord and
E&Y consent to Sublessee’s use of such party. The Allowance shall apply to all Approved Alterations, as well as the cost of shampooing carpet and cleaning vinyl flooring throughout the Subleased Premises, painting walls, computer wiring,
electrical and lighting work, space re-design (including conference room) and furniture re-configuration (e.g. workstations) due to the construction of the demising wall and other furnishings of the Subleased Premises in connection with
Sublessee’s intended use of the Subleased Premises. Sublessee shall reimburse Sublessor for (i) any costs charged by the Landlord and E&Y for (A) their review of any schedule and plans and specifications setting forth such
Approved Alterations or (B) otherwise in connection with the Approved Alterations and (ii) fees for the review or approval of any schedule and plans and specifications for future Alterations. Sublessee hereby indemnifies and holds harmless
Sublessor against any loss, liability, cost, damage or claim arising out of or relating to any Sublessee Improvements, whether or not approved by Sublessor. 
 20. Notices. All notices and demands hereunder shall be in writing and shall be served in person, by prepaid certified United States Mail, return receipt requested, or by nationally recognized
overnight courier, as follows: 
 If to Sublessor: 

Corporate Real Estate Services 
 Capgemini U.S. LLC 
 One Panorama Center 

7701 Las Colinas Ridge, Suite 600 

Irving, Texas 75063 
 With a copy to: 
 Office of the General Counsel 

Capgemini U.S. LLC 
 623 Fifth Avenue, 33rd Floor 
 New York, New York 10022

 If to Sublessee: 
 Steve Sabes & Jon Sabes 
 220 South Sixth Street, Suite
1200 
 Minneapolis, MN 55402 

Tel: (612) 339-8921 

 Fax: (612) 339-8922 

Attn: Steve Sabes 
 With a courtesy copy to: 
 Gregory Stecher 

220 South Sixth Street, Suite 1200 

Minneapolis, MN 55402 
 Tel: (612) 339-8921 
 Fax: (612) 339-8922 

Attn: Greg Stecher 
 Such notices shall be deemed served when delivered, if served in person, or by certified mail, or on the next business day after delivery to a nationally recognized overnight courier service. Any party
may change the address for notices to it by a notice given as described herein. 
 21. Brokers. Sublessor
and Sublessee represent and warrant that they have not dealt with any brokers in connection with the sublease of the Subleased Premises other than Staubach Midwest LLC and Global One Commercial, LLC. Sublessor and Sublessee do hereby indemnify,
defend and agree to hold each other harmless from and against any and all loss, cost, liability or obligations (including reasonable attorneys’ fees) related to any fees or commissions claimed by any parties, to the extent such claims are based
on the acts or agreements of the indemnifying party. 
 22. Guarantee. Upon execution of this Sublease,
Sublessee shall provide Sublessor with a guaranty executed by R.W. Sabes Investment, LLC in the form attached hereto as Exhibit C (the “Guaranty”) and such Guaranty shall guarantee all of the obligations of Sublessee hereunder as
set forth in such Guaranty. 
 23. Miscellaneous. 

(a) Sublessor, E&Y and Landlord and their agents shall have the right of access to the Subleased Premises at all
reasonable times on reasonable notice to Sublessee (except in the event of an emergency, in which case no notice is necessary) in order to inspect or exhibit the Subleased Premises. 

(b) This Sublease contains the entire agreement between the parties hereto, and shall not be modified in any manner
except by a writing signed by the party against which such modification is sought to be enforced. 
 (c) The
agreements, terms, covenants, and conditions herein shall bind and inure to the benefit of Sublessor and Sublessee and their respective heirs, personal representatives, successors, and permitted assigns. 

(d) Each of the indemnifications contained in this Sublease shall survive the expiration or earlier termination of this
Sublease. In addition, Section 25 shall survive the expiration or earlier termination of this Sublease. 

 24. Landlord’s Consent. Sublessor and Sublessee acknowledge that
this Sublease is subject to Sublessor’s receipt of the written approval of and consent by the Landlord and E&Y to the sublease transaction described herein. 

25. Limitation on Liability of Sublessor. Sublessor’s obligations under this Sublease shall be payable only
out of Sublessor’s interest in the Subleased Premises and no personal liability shall be asserted or enforceable against Sublessor because of or in respect of this Sublease or any document executed or delivered in connection herewith, all such
liability, if any, being expressly waived and Sublessee shall look solely to Sublessor’s interest in the Subleased Premises. In no event will Sublessor be liable for consequential, incidental, indirect, punitive or special damages (including
loss of profits or business) regardless of whether such liability is based on breach of contract, tort, strict liability, breach of warranties, failure of essential purpose or otherwise, and even if advised of the likelihood of such damages.

 26. Security. Sublessee shall contract directly with security providers for any services it deems
reasonably appropriate, and Sublessee acknowledges that Sublessor shall have no liability or responsibility for security of the Subleased Premises. Sublessor shall provide Sublessee with the technical and contact information for the card access
reader at the main door to the Subleased Premises. 
 27. Parking. Subject to the terms of the Prime
Sublease, Sublessor shall offer to give up any lease rights it may have to up to five (5) parking spaces in the parking lot(s) in or adjacent to the Building, based on availability at time of request, provided that (i) Sublessor shall not
be a party to any lease of parking spaces by Sublessee, as any lease shall be solely between Sublessee and Landlord (or its parking garage operators), and Sublessor shall not have any responsibility (or make any warranty) to Sublessee with respect
to such spaces, (ii) any such lease of parking spaces shall be at Sublessee’s sole cost and expense, which shall be paid in accordance with the prevailing parking rates charged by the Landlord (or its parking garage operators),
(iii) any relinquishment of rights to any parking spaces shall be conditioned on Sublessee’s agreement to lease such spaces from Landlord (or its parking garage operators), and (iv) Sublessor shall not be required to give up any
parking spaces to the extent Sublessor would continue to have any payment or other obligations to the Landlord (or its parking garage operators) relating to any such spaces, unless Sublessee fully assumes in writing all such payment or other
obligations and responsibilities. Sublessee agrees to indemnify and save harmless Sublessor from and against any liabilities, losses, damages, costs or expenses (including, but not limited to, attorneys’ fees and expenses) of any nature
whatsoever which may be imposed upon, incurred by, or asserted against Sublessor by reason of or in connection with Sublessee’s use of the parking garage or parking spaces. 

28. Subordination and Attornment. This Sublease shall be subject and subordinate to the Prime Sublease, the Prime
Lease and all mortgages, deeds of trust, ground leases and security agreements now or hereafter encumbering the Building. 
 29. Choice of Law. This Sublease shall be governed by and construed in accordance with the laws of the State of Minnesota. 

 30. No Presumption Against Draftor. Each of Sublessor and Sublessee
acknowledges that it is a sophisticated party and is fully aware of the contents of this Sublease. 
 [Signature Page Follows]

 IN WITNESS WHEREOF, the parties have executed this Sublease as of the day
and year first above written. This Sublease may be executed in separate counterparts, which together shall constitute a single instrument. 
  

			
	SUBLESSOR:
	
	 CAPGEMINI U.S., LLC,

a Delaware limited liability company

		
	By:	 	(illegible)
		
	Its:	 	CFO
	
	SUBLESSEE:
	
	 OPPORTUNITY FINANCE, LLC,
 a Delaware limited liability company

		
	By:	 	Steven F. Sabes
		
	Its:	 	SecretaryRights Agreement

 Exhibit 4.1 
 EXECUTION COPY 
  

 
 DSP GROUP, INC.

 and 

AMERICAN STOCK 

TRANSFER & TRUST 
 COMPANY, LLC 
 Rights Agreement 

Dated as of July 26, 2011 
  

 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page
Number	 
			
	 Section 1.
	 	Definitions	  	 	1	  
			
	 Section 2.
	 	Appointment of Rights Agent	  	 	8	  
			
	 Section 3.
	 	Issue of Right Certificates	  	 	9	  
			
	 Section 4.
	 	Form of Right Certificates	  	 	11	  
			
	 Section 5.
	 	Countersignature and Registration	  	 	11	  
			
	 Section 6.
	 	Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right Certificates	  	 	12	  
			
	 Section 7.
	 	Exercise of Rights; Purchase Price; Expiration Date of Rights	  	 	13	  
			
	 Section 8.
	 	Cancellation and Destruction of Right Certificates	  	 	15	  
			
	 Section 9.
	 	Availability of Preferred Shares	  	 	16	  
			
	 Section 10.
	 	Preferred Shares Record Date	  	 	16	  
			
	 Section 11.
	 	Adjustment of Purchase Price, Number of Shares or Number of Rights	  	 	17	  
			
	 Section 12.
	 	Certificate of Adjusted Purchase Price or Number of Shares	  	 	29	  
			
	 Section 13.
	 	Consolidation, Merger or Sale or Transfer of Assets or Earning Power	  	 	29	  
			
	 Section 14.
	 	Fractional Rights and Fractional Shares	  	 	31	  
			
	 Section 15.
	 	Rights of Action	  	 	33	  
			
	 Section 16.
	 	Agreement of Right Holders	  	 	33	  
			
	 Section 17.
	 	Right Certificate Holder Not Deemed a Stockholder	  	 	34	  
			
	 Section 18.
	 	Concerning the Rights Agent	  	 	35	  
			
	 Section 19.
	 	Merger or Consolidation or Change of Name of Rights Agent	  	 	35	  

  
 -i-

							
	 	 	 	  	Page
Number	 
			
	 Section 20.
	 	Duties of Rights Agent	  	 	36	  
			
	 Section 21.
	 	Change of Rights Agent	  	 	39	  
			
	 Section 22.
	 	Issuance of New Right Certificates	  	 	41	  
			
	 Section 23.
	 	Redemption	  	 	41	  
			
	 Section 24.
	 	Exchange	  	 	42	  
			
	 Section 25.
	 	Notice of Certain Events	  	 	44	  
			
	 Section 26.
	 	Notices	  	 	46	  
			
	 Section 27.
	 	Supplements and Amendments	  	 	47	  
			
	 Section 28.
	 	Successors	  	 	47	  
			
	 Section 29.
	 	Benefits of this Agreement	  	 	47	  
			
	 Section 30.
	 	Severability	  	 	48	  
			
	 Section 31.
	 	Governing Law	  	 	48	  
			
	 Section 32.
	 	Counterparts	  	 	48	  
			
	 Section 33.
	 	Descriptive Headings	  	 	48	  
			
	 Section 34.
	 	Force Majeure	  	 	49	  
		
	 Signatures
	  	 	50	  

  

							
	 Exhibit A
	  	 	-	  	  	    Form of Certificate of Designations
			
	 Exhibit B
	  	 	-	  	  	    Form of Right Certificate
			
	 Exhibit C
	  	 	-	  	  	    Summary of Rights to Purchase Preferred Shares

  
 -ii-

 Agreement, dated as of July 26, 2011, between DSP GROUP, INC., a Delaware corporation
(the “Company”), and AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC, a New York limited liability trust company, as rights agent (the “Rights Agent”). 

The Board of Directors of the Company has authorized and declared a dividend of one preferred share purchase right (a
“Right”) for each Common Share (as hereinafter defined) of the Company outstanding on August 5, 2011 (the “Record Date”), each Right representing the right to purchase one one-thousandth of a Preferred Share
(as hereinafter defined), upon the terms and subject to the conditions herein set forth, and has further authorized and directed the issuance of one Right with respect to each Common Share that shall become outstanding between the Record Date and
the earliest of the Distribution Date, the Redemption Date and the Final Expiration Date (as such terms are hereinafter defined). 
 Accordingly, in consideration of the premises and the mutual agreements herein set forth, the parties hereby agree as follows: 
 Section 1. Definitions. For purposes of this Agreement, the following terms have the meanings indicated: 
 (a) “Acquiring Person” shall mean any Person who or which, together with all Affiliates and Associates of such Person, shall be the Beneficial Owner of 10% or more of the Common Shares of
the Company then outstanding, but shall not include the Company, any Subsidiary of the Company, any employee benefit plan of the Company or any Subsidiary of the Company, or any entity holding Common Shares for or pursuant to the terms of any such
plan; provided, however, that no Person who Beneficially Owns, as of the time of the public announcement of this Agreement, 10% or more of the Common Shares of the Company then 

  

 
outstanding shall become an Acquiring Person unless such Person shall, after the time of the public announcement of this Agreement, increase its Beneficial Ownership of the then outstanding
Common Shares (other than as a result of an acquisition of Common Shares by the Company) to an amount equal to or greater than the greater of (x) 10% or (y) the sum of (i) the lowest Beneficial Ownership of such Person as a percentage
of the outstanding Common Shares as of any date on or after the date of the public announcement of this Agreement plus (ii) 0.001%. Notwithstanding the foregoing, no Person shall become an “Acquiring Person” as the result of an
acquisition of Common Shares by the Company which, by reducing the number of Common Shares of the Company outstanding, increases the proportionate number of Common Shares of the Company Beneficially Owned by such Person to 10% or more of the Common
Shares of the Company then outstanding; provided, however, that, if a Person shall become the Beneficial Owner of 10% or more of the Common Shares of the Company then outstanding by reason of share purchases by the Company and shall,
after such share purchases by the Company, become the Beneficial Owner of any additional Common Shares of the Company, then such Person shall be deemed to be an “Acquiring Person.” Notwithstanding the foregoing, if the Board of Directors
of the Company determines in good faith that a Person who would otherwise be an “Acquiring Person,” as defined pursuant to the foregoing provisions of this paragraph (a), has become such inadvertently, and such Person divests as promptly
as practicable a sufficient number of Common Shares so that such Person would no longer be an “Acquiring Person,” as defined pursuant to the foregoing provisions of this paragraph (a), then such Person shall not be deemed to be an
“Acquiring Person” for any purposes of this Agreement. Notwithstanding the foregoing, if a bona fide swaps dealer who would otherwise be an “Acquiring Person” has become so as a result of its actions in the ordinary course of its
business 

  
 -2-

 
that the Board of Directors of the Company determines, in its sole discretion, were taken without the intent or effect of evading or assisting any other Person to evade the purposes and intent of
this Agreement, or otherwise seeking to control or influence the management or policies of the Company, then, and unless and until the Board of Directors shall otherwise determine, such Person shall not be deemed to be an “Acquiring
Person” for any purposes of this Agreement. 
 (b) “Affiliate” shall have the meaning ascribed to such
term in Rule 12b-2 of the General Rules and Regulations under the Exchange Act as in effect on the date of this Agreement. 

(c) “Associate” shall have the meaning ascribed to such term in Rule 12b-2 of the General Rules and Regulations under
the Exchange Act as in effect on the date of this Agreement. 
 (d) A Person shall be deemed the “Beneficial
Owner” of and shall be deemed to “Beneficially Own” any securities: 
 (i) which such
Person or any of such Person’s Affiliates or Associates beneficially owns, directly or indirectly; 
 (ii)
which such Person or any of such Person’s Affiliates or Associates has (A) the right or the obligation to acquire (whether such right is exercisable, or such obligation is required to be performed, immediately or only after the passage of
time) pursuant to any agreement, arrangement or understanding (other than customary agreements with and between underwriters and selling group members with respect to a bona fide public offering of securities), or upon the exercise of
conversion rights, 

  
 -3-

 
exchange rights, rights (other than these Rights), warrants or options, or otherwise; provided, however, that a Person shall not be deemed the Beneficial Owner of, or to
Beneficially Own, securities tendered pursuant to a tender or exchange offer made by or on behalf of such Person or any of such Person’s Affiliates or Associates until such tendered securities are accepted for purchase or exchange; or
(B) the right to vote pursuant to any agreement, arrangement or understanding; provided, however, that a Person shall not be deemed the Beneficial Owner of, or to Beneficially Own, any security if the agreement, arrangement or
understanding to vote such security (1) arises solely from a revocable proxy or consent given to such Person in response to a public proxy or consent solicitation made pursuant to, and in accordance with, the applicable rules and regulations
promulgated under the Exchange Act and (2) is not also then reportable on Schedule 13D under the Exchange Act (or any comparable or successor report); 
 (iii) which are beneficially owned, directly or indirectly, by any other Person with which such Person or any of such Person’s Affiliates or Associates has any agreement, arrangement or understanding
(other than customary agreements with and between underwriters and selling group members with respect to a bona fide public offering of securities) for the purpose of acquiring, holding, voting (except to the extent contemplated by the
proviso to Section 1(d)(ii)(B) hereof) or disposing of any securities of the Company; or 
 (iv) which are
beneficially owned, directly or indirectly, by a Counterparty (or any of such Counterparty’s Affiliates or Associates) under any Derivatives Contract (without regard to any short or similar position under the same or any other Derivatives
Contract) to which such Person or any of such Person’s Affiliates 

  
 -4-

 
or Associates is a Receiving Party (as such terms are defined in the immediately following paragraph); provided, however, that the number of Common Shares that a Person is deemed to
Beneficially Own pursuant to this clause (iv) in connection with a particular Derivatives Contract shall not exceed the number of Notional Common Shares with respect to such Derivatives Contract; provided, further, that the number
of securities beneficially owned by each Counterparty (including its Affiliates and Associates) under a Derivatives Contract shall for purposes of this clause (iv) be deemed to include all securities that are beneficially owned, directly or
indirectly, by any other Counterparty(or any of such other Counterparty’s Affiliates or Associates) under any Derivatives Contract to which such first Counterparty (or any of such first Counterparty’s Affiliates or Associates) is a
Receiving Party, with this proviso being applied to successive Counterparties as appropriate. 
 A
“Derivatives Contract” is a contract between two parties (the “Receiving Party” and the “Counterparty”) that is designed to produce economic benefits and risks to the Receiving Party that correspond
substantially to the ownership by the Receiving Party of a number of Common Shares specified or referenced in such contract (the number corresponding to such economic benefits and risks, the “Notional Common Shares”), regardless of
whether obligations under such contract are required or permitted to be settled through the delivery of cash, Common Shares or other property, without regard to any short position under the same or any other Derivative Contract. For the avoidance of
doubt, interests in broad-based index options, broad-based index futures and broad-based publicly traded market baskets of stocks approved for trading by the appropriate federal governmental authority shall not be deemed to be Derivatives Contracts.

  
 -5-

 Notwithstanding anything in this definition of Beneficial Ownership to the contrary, the
phrase “then outstanding,” when used with reference to a Person’s Beneficial Ownership of securities of the Company, shall mean the number of such securities then issued and outstanding together with the number of such securities not
then actually issued and outstanding which are issuable by the Company and which such Person would be deemed to Beneficially Own hereunder. 
 (e) “Business Day” shall mean any day other than a Saturday, a Sunday, or a day on which banking institutions in the City of New York, New York are authorized or obligated by law or
executive order to close. 
 (f) “Close of Business” on any given date shall mean 5:00 P.M., New York City
time, on such date; provided, however, that, if such date is not a Business Day, it shall mean 5:00 P.M., New York City time, on the next succeeding Business Day. 

(g) “Common Shares” when used with reference to the Company shall mean the shares of common stock, par value $0.001 per
share, of the Company. “Common Shares” when used with reference to any Person other than the Company shall mean the capital stock (or equity interest) with the greatest voting power of such other Person or, if such other Person is a
Subsidiary of another Person, the Person or Persons which ultimately control such first-mentioned Person. 

  
 -6-

 (h) “Distribution Date” shall have the meaning set forth in
Section 3(a) hereof. 
 (i) “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.

 (j) “Exchange Ratio” shall have the meaning set forth in Section 24(a) hereof. 

(k) “Final Expiration Date” shall have the meaning set forth in Section 7(a) hereof. 

(l) “NASDAQ” shall mean The NASDAQ Stock Market LLC. 

(m) “Person” shall mean any individual, partnership, firm, corporation, limited liability company, association, trust,
unincorporated organization or other entity, and shall include any successor (by merger or otherwise) of such entity, as well as any group under Rule 13d-5(b)(1) of the Exchange Act. 

(n) “Preferred Shares” shall mean shares of Series B Junior Participating Preferred Stock, par value $0.001 per share,
of the Company having the rights and preferences set forth in the Form of Certificate of Designations attached to this Agreement as Exhibit A. 
 (o) “Purchase Price” shall have the meaning set forth in Section 4 hereof. 
 (p) “Record Date” shall have the meaning set forth in the second paragraph hereof. 
 (q) “Redemption Date” shall have the meaning set forth in Section 7(a) hereof. 

  
 -7-

 (r) “Redemption Price” shall have the meaning set forth in
Section 23(a) hereof. 
 (s) “Right” shall have the meaning set forth in the second paragraph hereof.

 (t) “Right Certificate” shall have the meaning set forth in Section 3(a) hereof. 

(u) “Shares Acquisition Date” shall mean the first date of public announcement by the Company or an Acquiring Person
that an Acquiring Person has become such. 
 (v) “Subsidiary” of any Person shall mean any corporation or other
entity of which a majority of the voting power of the voting equity securities or equity interest is owned, directly or indirectly, by such Person. 
 (w) “Summary of Rights” shall have the meaning set forth in Section 3(b) hereof. 
 (x) “Trading Day” shall have the meaning set forth in Section 11(d) hereof. 
 Section 2. Appointment of Rights Agent. The Company hereby appoints the Rights Agent to act as agent for the Company in accordance with the terms and conditions hereof, and the Rights Agent
hereby accepts such appointment. The Company may from time to time appoint such co-Rights Agents as it may deem necessary or desirable, upon ten (10) days’ prior written notice to the Rights Agent. The Rights Agent shall have no duty to
supervise, and shall in no event be liable for the acts or omissions of any such co-Rights Agent. 

  
 -8-

 Section 3. Issue of Right Certificates. (a) Until the tenth day after the
Shares Acquisition Date (including any such date which is after the date of this Agreement and prior to the issuance of the Rights; the “Distribution Date”), (x) the Rights will be evidenced (subject to the provisions of
Section 3(b) hereof) by the certificates for Common Shares of the Company registered in the names of the holders thereof (which certificates shall also be deemed to be Right Certificates) and not by separate Right Certificates, and (y) the
right to receive Right Certificates will be transferable only in connection with the transfer of Common Shares of the Company. As soon as practicable after the Distribution Date, the Company will prepare and execute, the Rights Agent will
countersign, and the Company will send or cause to be sent (and the Rights Agent will, if requested, send) by first-class, insured, postage-prepaid mail, to each record holder of Common Shares of the Company as of the Close of Business on the
Distribution Date, at the address of such holder shown on the records of the Company, a Right Certificate, in substantially the form of Exhibit B hereto (a “Right Certificate”), evidencing one Right for each Common Share so held,
subject to adjustment as provided herein. As of the Distribution Date, the Rights will be evidenced solely by such Right Certificates. 
 (b) On the Record Date, or as soon as practicable thereafter, the Company will send a copy of a Summary of Rights to Purchase Preferred Shares, in substantially the form of Exhibit C hereto (the
“Summary of Rights”), by first-class, postage-prepaid mail, to each record holder of Common Shares as of the Close of Business on the Record Date, at the address of such holder shown on the records of the Company. With respect to
certificates for Common Shares of the Company outstanding as of the Record Date, until the Distribution Date, the Rights will be evidenced by such certificates registered in the names of the holders thereof together with a copy of the Summary of
Rights attached thereto. Until the Distribution Date (or the earlier of the 

  
 -9-

 
Redemption Date or the Final Expiration Date), the surrender for transfer of any certificate for Common Shares of the Company outstanding on the Record Date, with or without a copy of the Summary
of Rights attached thereto, shall also constitute the transfer of the Rights associated with the Common Shares of the Company represented thereby. 
 (c) Certificates for Common Shares which become outstanding (including, without limitation, reacquired Common Shares referred to in the last sentence of this paragraph (c)) after the Record Date but prior
to the earliest of the Distribution Date, the Redemption Date or the Final Expiration Date shall have impressed on, printed on, written on or otherwise affixed to them the following legend: 

This certificate also evidences and entitles the holder hereof to certain rights as set forth in an Agreement between DSP Group, Inc. and
American Stock Transfer & Trust Company, LLC, dated as of July 26, 2011, as it may be amended from time to time (the “Agreement”), the terms of which are hereby incorporated herein by reference and a copy of which is on file
at the principal executive offices of DSP Group, Inc. Under certain circumstances, as set forth in the Agreement, such Rights (as defined in the Agreement) will be evidenced by separate certificates and will no longer be evidenced by this
certificate. DSP Group, Inc. will mail to the holder of this certificate a copy of the Agreement without charge after receipt of a written request therefor. As set forth in the Agreement, Rights Beneficially Owned by any Person (as defined in the
Agreement) who becomes an Acquiring Person (as defined in the Agreement) become null and void. 
 With respect to such certificates containing
the foregoing legend, until the Distribution Date, the Rights associated with the Common Shares of the Company represented by such certificates shall be evidenced by such certificates alone, and the surrender for transfer of any such certificate
shall also constitute the transfer of the Rights associated with the Common Shares of the Company represented thereby. In the event that the Company purchases or acquires any Common Shares of the Company after the Record Date but prior to the
Distribution Date, any Rights associated with such Common Shares of the Company shall be deemed cancelled and retired so that the Company shall not be entitled to exercise any Rights associated with the

  
 -10-

 
Common Shares of the Company which are no longer outstanding. Notwithstanding this Section 3(c), the omission of a legend shall not affect the enforceability of any part of this Rights
Agreement or the rights of any holder of the Rights. 
 Section 4. Form of Right Certificates. The Right
Certificates (and the forms of election to purchase Preferred Shares and of assignment to be printed on the reverse thereof) shall be substantially the same as Exhibit B hereto, and may have such marks of identification or designation and such
legends, summaries or endorsements printed thereon as the Company may deem appropriate and as are not inconsistent with the provisions of this Agreement, or as may be required to comply with any applicable law or with any applicable rule or
regulation made pursuant thereto or with any applicable rule or regulation of any stock exchange or the Financial Industry Regulatory Authority, or to conform to usage. Subject to the provisions of Section 22 hereof, the Right Certificates
shall entitle the holders thereof to purchase such number of one one-thousandths of a Preferred Share as shall be set forth therein at the price per one one-thousandth of a Preferred Share set forth therein (the “Purchase Price”),
but the number of such one one-thousandths of a Preferred Share and the Purchase Price shall be subject to adjustment as provided herein. 
 Section 5. Countersignature and Registration. The Right Certificates shall be executed on behalf of the Company by its Chairman of the Board, its Chief Executive Officer, its President, any of
its Vice Presidents or its Treasurer, either manually or by facsimile signature, shall have affixed thereto the Company’s seal or a facsimile thereof, and shall be attested by the Secretary or an Assistant Secretary of the Company, either
manually or by facsimile signature. The Right Certificates shall be countersigned, either manually or by facsimile signature, by the Rights Agent and shall not be valid for any purpose unless countersigned. In case any officer of

  
 -11-

 
the Company who shall have signed any of the Right Certificates shall cease to be such officer of the Company before countersignature by the Rights Agent and issuance and delivery by the Company,
such Right Certificates, nevertheless, may be countersigned by the Rights Agent and issued and delivered by the Company with the same force and effect as though the individual who signed such Right Certificates had not ceased to be such officer of
the Company; and any Right Certificate may be signed on behalf of the Company by any individual who, at the actual date of the execution of such Right Certificate, shall be a proper officer of the Company to sign such Right Certificate, although at
the date of the execution of this Agreement any such individual was not such an officer. 
 Following the Distribution Date, the
Rights Agent will keep or cause to be kept, at its principal office, books for registration and transfer of the Right Certificates issued hereunder. Such books shall show the names and addresses of the respective holders of the Right Certificates,
the number of Rights evidenced on its face by each of the Right Certificates and the date of each of the Right Certificates. 

Section 6. Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right
Certificates. Subject to the provisions of Section 14 hereof, at any time after the Close of Business on the Distribution Date, and at or prior to the Close of Business on the earlier of the Redemption Date or the Final Expiration Date, any
Right Certificate or Right Certificates (other than Right Certificates representing Rights that have become void pursuant to Section 11(a)(ii) hereof or that have been exchanged pursuant to Section 24 hereof) may be transferred, split up,
combined or exchanged for another Right Certificate or Right Certificates entitling the registered holder to purchase a like number of one one-thousandths of a Preferred Share as the Right Certificate or Right Certificates surrendered

  
 -12-

 
then entitled such holder to purchase. Any registered holder desiring to transfer, split up, combine or exchange any Right Certificate or Right Certificates shall make such request in writing
delivered to the Rights Agent, and shall surrender the Right Certificate or Right Certificates to be transferred, split up, combined or exchanged at the principal office of the Rights Agent. Thereupon the Rights Agent shall countersign and deliver
to the Person entitled thereto a Right Certificate or Right Certificates, as the case may be, as so requested. The Company may require payment of a sum sufficient to cover any tax or charge that may be imposed in connection with any transfer, split
up, combination or exchange of Right Certificates. 
 Upon receipt by the Company and the Rights Agent of evidence reasonably
satisfactory to them of the loss, theft, destruction or mutilation of a Right Certificate, and, in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to them, and, at the Company’s request, reimbursement to the
Company and the Rights Agent of all reasonable expenses incidental thereto, and upon surrender to the Rights Agent and cancellation of the Right Certificate if mutilated, the Company will make and deliver a new Right Certificate of like tenor to the
Rights Agent for delivery to the registered holder in lieu of the Right Certificate so lost, stolen, destroyed or mutilated. 

Notwithstanding any other provisions hereof, the Company and the Rights Agent may amend this Rights Agreement to provide for
uncertificated Rights in addition to or in place of Rights evidenced by Rights Certificates. 
 Section 7. Exercise of
Rights; Purchase Price; Expiration Date of Rights. (a) The registered holder of any Right Certificate may exercise the Rights evidenced thereby (except as otherwise provided herein), in whole or in part, at any time after the Distribution
Date, 

  
 -13-

 
upon surrender of the Right Certificate, with the form of election to purchase on the reverse side thereof duly executed, to the Rights Agent at the principal office of the Rights Agent, together
with payment of the Purchase Price for each one one-thousandth of a Preferred Share as to which the Rights are exercised, at or prior to the earliest of (i) the Close of Business on July 25, 2012 (the “Final Expiration
Date”), (ii) the time at which the Rights are redeemed as provided in Section 23 hereof (the “Redemption Date”), or (iii) the time at which such Rights are exchanged as provided in Section 24 hereof.

 (b) The Purchase Price for each one one-thousandth of a Preferred Share purchasable pursuant to the exercise of a Right shall
initially be $45, and shall be subject to adjustment from time to time as provided in Section 11 or 13 hereof, and shall be payable in lawful money of the United States of America in accordance with paragraph (c) below. 

(c) Upon receipt of a Right Certificate representing exercisable Rights, with the form of election to purchase duly executed, accompanied
by payment of the Purchase Price for the shares to be purchased and an amount equal to any applicable transfer tax required to be paid by the holder of such Right Certificate in accordance with Section 9 hereof by cash or by certified check,
cashier’s check or money order payable to the order of the Company, the Rights Agent shall thereupon promptly (i) (A) requisition from any transfer agent of the Preferred Shares certificates for the number of Preferred Shares to be
purchased and the Company hereby irrevocably authorizes any such transfer agent to comply with all such requests, or (B) requisition from the depositary agent depositary receipts representing such number of one one-thousandths of a Preferred
Share as are to be purchased (in which case certificates for the Preferred Shares represented by such receipts shall be deposited by the transfer agent of the Preferred Shares with such depositary agent) and the Company hereby directs such
depositary 

  
 -14-

 
agent to comply with such request; (ii) when appropriate, requisition from the Company the amount of cash to be paid in lieu of issuance of fractional shares in accordance with
Section 14 hereof; (iii) after receipt of such certificates or depositary receipts, cause the same to be delivered to or upon the order of the registered holder of such Right Certificate, registered in such name or names as may be
designated by such holder; and (iv) when appropriate, after receipt, deliver such cash to or upon the order of the registered holder of such Right Certificate. 
 (d) In case the registered holder of any Right Certificate shall exercise less than all the Rights evidenced thereby, a new Right Certificate evidencing Rights equivalent to the Rights remaining
unexercised shall be issued by the Rights Agent to the registered holder of such Right Certificate or to such holder’s duly authorized assigns, subject to the provisions of Section 14 hereof. 

Section 8. Cancellation and Destruction of Right Certificates. All Right Certificates surrendered for the purpose of
exercise, transfer, split up, combination or exchange shall, if surrendered to the Company or to any of its agents, be delivered to the Rights Agent for cancellation or in cancelled form, or, if surrendered to the Rights Agent, shall be cancelled by
it, and no Right Certificates shall be issued in lieu thereof except as expressly permitted by any of the provisions of this Agreement. The Company shall deliver to the Rights Agent for cancellation and retirement, and the Rights Agent shall so
cancel and retire, any other Right Certificate purchased or acquired by the Company otherwise than upon the exercise thereof. The Rights Agent shall deliver all cancelled Right Certificates to the Company, or shall, at the written request of the
Company, destroy such cancelled Right Certificates, and, in such case, shall deliver a certificate of destruction thereof to the Company. 

  
 -15-

 Section 9. Availability of Preferred Shares. The Company covenants and agrees
that it will cause to be reserved and kept available out of its authorized and unissued Preferred Shares or any Preferred Shares held in its treasury the number of Preferred Shares that will be sufficient to permit the exercise in full of all
outstanding Rights in accordance with Section 7 hereof. The Company covenants and agrees that it will take all such action as may be necessary to ensure that all Preferred Shares delivered upon exercise of Rights shall, at the time of delivery
of the certificates for such Preferred Shares (subject to payment of the Purchase Price), be duly and validly authorized and issued and fully paid and nonassessable shares. 
 The Company further covenants and agrees that it will pay when due and payable any and all federal and state transfer taxes and charges which may be payable in respect of the issuance or delivery of the
Right Certificates or of any Preferred Shares upon the exercise of Rights. The Company shall not, however, be required to pay any transfer tax which may be payable in respect of any transfer or delivery of Right Certificates to a Person other than,
or the issuance or delivery of certificates or depositary receipts for the Preferred Shares in a name other than that of, the registered holder of the Right Certificate evidencing Rights surrendered for exercise or to issue or to deliver any
certificates or depositary receipts for Preferred Shares upon the exercise of any Rights until any such tax shall have been paid (any such tax being payable by the holder of such Right Certificate at the time of surrender) or until it has been
established to the Company’s reasonable satisfaction that no such tax is due. 
 Section 10. Preferred Shares
Record Date. Each Person in whose name any certificate for Preferred Shares is issued upon the exercise of Rights shall for all purposes be deemed to have become the holder of record of the Preferred Shares represented thereby on, and such
certificate shall be dated, the date upon which the Right Certificate evidencing such Rights 

  
 -16-

 
was duly surrendered and payment of the Purchase Price (and any applicable transfer taxes) was made; provided, however, that, if the date of such surrender and payment is a date
upon which the Preferred Shares transfer books of the Company are closed, such Person shall be deemed to have become the record holder of such shares on, and such certificate shall be dated, the next succeeding Business Day on which the Preferred
Shares transfer books of the Company are open. Prior to the exercise of the Rights evidenced thereby, the holder of a Right Certificate shall not be entitled to any rights of a holder of Preferred Shares for which the Rights shall be exercisable,
including, without limitation, the right to vote, to receive dividends or other distributions or to exercise any preemptive rights, and shall not be entitled to receive any notice of any proceedings of the Company, except as provided herein.

 Section 11. Adjustment of Purchase Price, Number of Shares or Number of Rights. The Purchase Price, the number of
Preferred Shares covered by each Right and the number of Rights outstanding are subject to adjustment from time to time as provided in this Section 11. 
 (a)(i) In the event the Company shall at any time after the date of this Agreement (A) declare a dividend on the Preferred Shares payable in Preferred Shares, (B) subdivide the outstanding
Preferred Shares, (C) combine the outstanding Preferred Shares into a smaller number of Preferred Shares or (D) issue any shares of its capital stock in a reclassification of the Preferred Shares (including any such reclassification in
connection with a share exchange, consolidation or merger in which the Company is the continuing or surviving corporation), except as otherwise provided in this Section 11(a), the Purchase Price in effect at the time of the record date for such
dividend or of the effective date of such subdivision, combination or reclassification, and 

  
 -17-

 
the number and kind of shares of capital stock issuable on such date, shall be proportionately adjusted so that the holder of any Right exercised after such time shall be entitled to receive the
aggregate number and kind of shares of capital stock which, if such Right had been exercised immediately prior to such date and at a time when the Preferred Shares transfer books of the Company were open, such holder would have owned upon such
exercise and been entitled to receive by virtue of such dividend, subdivision, combination or reclassification; provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the
aggregate par value of the shares of capital stock of the Company issuable upon exercise of one Right. 
 (ii)
Subject to Section 24 hereof, in the event any Person becomes an Acquiring Person, each holder of a Right shall thereafter have a right to receive, upon exercise thereof at a price equal to the then current Purchase Price multiplied by the
number of one one-thousandths of a Preferred Share for which a Right is then exercisable, in accordance with the terms of this Agreement and in lieu of Preferred Shares, such number of Common Shares of the Company as shall equal the result obtained
by (A) multiplying the then current Purchase Price by the number of one one-thousandths of a Preferred Share for which a Right is then exercisable and dividing that product by (B) 50% of the then current per share market price of the
Common Shares of the Company (determined pursuant to Section 11(d) hereof) on the date of the occurrence of such event. In the event that any Person shall become an Acquiring Person and the Rights shall then be outstanding, the Company shall
not take any action which would eliminate or diminish the benefits intended to be afforded by the Rights. 

  
 -18-

 From and after the occurrence of such event, any Rights that are or were
acquired or Beneficially Owned by any Acquiring Person (or any Associate or Affiliate of such Acquiring Person) shall be null and void without any further action, and any holder of such Rights shall thereafter have no right to exercise such Rights
under any provision of this Agreement or otherwise. Neither the Company nor the Rights Agent shall have liability to any holder of Right Certificates or other Person as a result of its failure to make any determinations with respect to an Acquiring
Person or its Affiliates, Associates or transferees hereunder. No Right Certificate shall be issued pursuant to Section 3 hereof that represents Rights Beneficially Owned by an Acquiring Person whose Rights would be void pursuant to the
preceding sentence or any Associate or Affiliate thereof; no Right Certificate shall be issued at any time upon the transfer of any Rights to an Acquiring Person whose Rights would be void pursuant to the preceding sentence or any Associate or
Affiliate thereof or to any nominee of such Acquiring Person, Associate or Affiliate or with respect to any Common Shares otherwise deemed to be Beneficially Owned by any of the foregoing; and any Right Certificate delivered to the Rights Agent for
transfer to an Acquiring Person or other Person whose Rights would be void pursuant to the preceding sentence shall be cancelled. 
 (iii) In the event that there shall not be sufficient Common Shares issued but not outstanding or authorized but unissued to permit the exercise in full of the Rights in accordance with subparagraph
(ii) above, the Company shall take all such action as may be necessary to authorize additional Common Shares for issuance upon exercise of the Rights. In the event the Company shall, after good faith effort, be unable to take all such action as
may be necessary to authorize such additional Common Shares, 

  
 -19-

 
the Company shall substitute, for each Common Share that would otherwise be issuable upon exercise of a Right, a number of Preferred Shares or fraction thereof such that the current per share
market price of one Preferred Share multiplied by such number or fraction is equal to the current per share market price of one Common Share as of the date of issuance of such Preferred Shares or fraction thereof. 

(b) In case the Company shall fix a record date for the issuance of rights, options or warrants to all holders of
Preferred Shares entitling them (for a period expiring within 45 calendar days after such record date) to subscribe for or purchase Preferred Shares (or shares having the same rights, privileges and preferences as the Preferred Shares
(“equivalent preferred shares”)) or securities convertible into Preferred Shares or equivalent preferred shares at a price per Preferred Share or equivalent preferred share (or having a conversion price per share, if a security
convertible into Preferred Shares or equivalent preferred shares) less than the then current per share market price of the Preferred Shares (as defined in Section 11(d)) on such record date, the Purchase Price to be in effect after such record
date shall be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the number of Preferred Shares outstanding on such record date plus the number of Preferred
Shares which the aggregate offering price of the total number of Preferred Shares and/or equivalent preferred shares so to be offered (and/or the aggregate initial conversion price of the convertible securities so to be offered) would purchase at
such current market price and the denominator of which shall be the number of Preferred Shares outstanding on such record date plus the number of additional Preferred Shares and/or equivalent preferred shares to be offered for subscription or

  
 -20-

 
purchase (or into which the convertible securities so to be offered are initially convertible); provided, however, that in no event shall the consideration to be paid upon the
exercise of one Right be less than the aggregate par value of the shares of capital stock of the Company issuable upon exercise of one Right. In case such subscription price may be paid in a consideration part or all of which shall be in a form
other than cash, the value of such consideration shall be as determined in good faith by the Board of Directors of the Company, whose determination shall be described in a statement filed with the Rights Agent and shall be binding on the Rights
Agent and holders of the Rights. Preferred Shares owned by or held for the account of the Company or any Subsidiary of the Company shall not be deemed outstanding for the purpose of any such computation. Such adjustment shall be made successively
whenever such a record date is fixed; and, in the event that such rights, options or warrants are not so issued, the Purchase Price shall be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed.

 (c) In case the Company shall fix a record date for the making of a distribution to all holders of the
Preferred Shares (including any such distribution made in connection with a share exchange, consolidation or merger in which the Company is the continuing or surviving corporation) of evidences of indebtedness or assets (other than a regular
quarterly cash dividend or a dividend payable in Preferred Shares) or subscription rights or warrants (excluding those referred to in Section 11(b) hereof), the Purchase Price to be in effect after such record date shall be determined by
multiplying the Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the then-current per share market price of the Preferred 

  
 -21-

 
Shares on such record date, less the fair market value (as determined in good faith by the Board of Directors of the Company, whose determination shall be described in a statement filed with the
Rights Agent and shall be binding on the Rights Agent and holders of the Rights) of the portion of the assets or evidences of indebtedness so to be distributed or of such subscription rights or warrants applicable to one Preferred Share and the
denominator of which shall be such then-current per share market price of the Preferred Shares on such record date; provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the
aggregate par value of the shares of capital stock of the Company to be issued upon exercise of one Right. Such adjustments shall be made successively whenever such a record date is fixed; and, in the event that such distribution is not so made, the
Purchase Price shall again be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed. 
 (d)(i) For the purpose of any computation hereunder, the “current per share market price” of any security (a “Security” for the purpose of this Section 11(d)(i)) on any
date shall be deemed to be the average of the daily closing prices per share of such Security for the 30 consecutive Trading Days immediately prior to such date; provided, however, that, in the event that the current per share market
price of the Security is determined during a period following the announcement by the issuer of such Security of (A) a dividend or distribution on such Security payable in shares of such Security or Securities convertible into such shares, or
(B) any subdivision, combination or reclassification of such Security and prior to the expiration of 30 Trading Days after the ex-dividend date for such dividend or distribution, or the record date for such

  
 -22-

 
subdivision, combination or reclassification, then, and in each such case, the current per share market price shall be appropriately adjusted to reflect the current market price per share
equivalent of such Security. The closing price for each day shall be the last sale price, regular way, reported at or prior to 4:00 P.M. Eastern time or, in case no such sale takes place on such day, the average of the bid and asked prices, regular
way, reported as of 4:00 P.M. Eastern time, in either case, as reported in the principal consolidated transaction reporting system with respect to securities listed or admitted to trading on the New York Stock Exchange or, if the Security is not
listed or admitted to trading on the New York Stock Exchange, as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national securities exchange on which the Security is listed or
admitted to trading or, if the Security is not listed or admitted to trading on any national securities exchange, the last quoted price reported at or prior to 4:00 P.M. Eastern time or, if not so quoted, the average of the high bid and low asked
prices in the over-the-counter market, as reported as of 4:00 P.M. Eastern time by NASDAQ or such other system then in use, or, if on any such date the Security is not quoted by any such organization, the average of the closing bid and asked prices
as furnished by a professional market maker making a market in the Security selected by the Board of Directors of the Company. The term “Trading Day” shall mean a day on which the principal national securities exchange on which the
Security is listed or admitted to trading is open for the transaction of business, or, if the Security is not listed or admitted to trading on any national securities exchange, a Business Day. 

(ii) For the purpose of any computation hereunder, the “current per share market price” of the Preferred Shares
shall be determined in accordance with 

  
 -23-

 
the method set forth in Section 11(d)(i). If the Preferred Shares are not publicly traded, the “current per share market price” of the Preferred Shares shall be conclusively deemed
to be the current per share market price of the Common Shares as determined pursuant to Section 11(d)(i) hereof (appropriately adjusted to reflect any stock split, stock dividend or similar transaction occurring after the date hereof),
multiplied by one thousand. If neither the Common Shares nor the Preferred Shares are publicly held or so listed or traded, “current per share market price” shall mean the fair value per share as determined in good faith by the Board of
Directors of the Company, whose determination shall be described in a statement filed with the Rights Agent. 

(e) No adjustment in the Purchase Price shall be required unless such adjustment would require an increase or decrease of
at least 1% in the Purchase Price; provided, however, that any adjustments which by reason of this Section 11(e) are not required to be made shall be carried forward and taken into account in any subsequent adjustment. All
calculations under this Section 11 shall be made to the nearest cent or to the nearest one ten-millionth of a Preferred Share or one ten-thousandth of any other share or security as the case may be. Notwithstanding the first sentence of this
Section 11(e), any adjustment required by this Section 11 shall be made no later than the earlier of (i) three years from the date of the transaction which requires such adjustment or (ii) the date of the expiration of the right
to exercise any Rights. 
 (f) If, as a result of an adjustment made pursuant to Section 11(a) hereof, the
holder of any Right thereafter exercised shall become entitled to receive any shares of capital stock of the Company other than Preferred Shares, thereafter the number of such other shares so receivable upon exercise of any Right shall be subject to

  
 -24-

 
adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions with respect to the Preferred Shares contained in Section 11(a) through
(c) hereof, inclusive, and the provisions of Sections 7, 9, 10 and 13 hereof with respect to the Preferred Shares shall apply on like terms to any such other shares. 

(g) All Rights originally issued by the Company subsequent to any adjustment made to the Purchase Price hereunder shall
evidence the right to purchase, at the adjusted Purchase Price, the number of one one-thousandths of a Preferred Share purchasable from time to time hereunder upon exercise of the Rights, all subject to further adjustment as provided herein.

 (h) Unless the Company shall have exercised its election as provided in Section 11(i) hereof, upon each
adjustment of the Purchase Price as a result of the calculations made in Sections 11(b) and (c) hereof, each Right outstanding immediately prior to the making of such adjustment shall thereafter evidence the right to purchase, at the adjusted
Purchase Price, that number of one one-thousandths of a Preferred Share (calculated to the nearest one ten-millionth of a Preferred Share) obtained by (A) multiplying (x) the number of one one-thousandths of a share covered by a Right
immediately prior to this adjustment by (y) the Purchase Price in effect immediately prior to such adjustment of the Purchase Price and (B) dividing the product so obtained by the Purchase Price in effect immediately after such adjustment
of the Purchase Price. 
 (i) The Company may elect, on or after the date of any adjustment of the Purchase
Price, to adjust the number of Rights in substitution for any adjustment in the number of one one-thousandths of a Preferred Share purchasable upon the exercise of 

  
 -25-

 
a Right. Each of the Rights outstanding after such adjustment of the number of Rights shall be exercisable for the number of one one-thousandths of a Preferred Share for which a Right was
exercisable immediately prior to such adjustment. Each Right held of record prior to such adjustment of the number of Rights shall become that number of Rights (calculated to the nearest one ten-thousandth) obtained by dividing the Purchase Price in
effect immediately prior to adjustment of the Purchase Price by the Purchase Price in effect immediately after adjustment of the Purchase Price. The Company shall make a public announcement of its election to adjust the number of Rights, indicating
the record date for the adjustment, and, if known at the time, the amount of the adjustment to be made. This record date may be the date on which the Purchase Price is adjusted or any day thereafter, but, if the Right Certificates have been issued,
shall be at least 10 days later than the date of the public announcement. If Right Certificates have been issued, upon each adjustment of the number of Rights pursuant to this Section 11(i), the Company shall, as promptly as practicable, cause
to be distributed to holders of record of Right Certificates on such record date Right Certificates evidencing, subject to Section 14 hereof, the additional Rights to which such holders shall be entitled as a result of such adjustment, or, at
the option of the Company, shall cause to be distributed to such holders of record in substitution and replacement for the Right Certificates held by such holders prior to the date of adjustment, and upon surrender thereof, if required by the
Company, new Right Certificates evidencing all the Rights to which such holders shall be entitled after such adjustment. Right Certificates so to be distributed shall be issued, executed and countersigned in the manner provided for herein, and shall
be registered in the names of the holders of record of Right Certificates on the record date specified in the public announcement. 

  
 -26-

 (j) Irrespective of any adjustment or change in the Purchase Price or in the
number of one one-thousandths of a Preferred Share issuable upon the exercise of the Rights, the Right Certificates theretofore and thereafter issued may continue to express the Purchase Price and the number of one one-thousandths of a Preferred
Share which were expressed in the initial Right Certificates issued hereunder. 
 (k) Before taking any action
that would cause an adjustment reducing the Purchase Price below one one-thousandth of the then par value, if any, of the Preferred Shares issuable upon exercise of the Rights, the Company shall take any corporate action which may, in the opinion of
its counsel, be necessary in order that the Company may validly and legally issue fully paid and nonassessable Preferred Shares at such adjusted Purchase Price. 
 (l) In any case in which this Section 11 shall require that an adjustment in the Purchase Price be made effective as of a record date for a specified event, the Company may elect to defer until the
occurrence of such event the issuing to the holder of any Right exercised after such record date of the Preferred Shares and other capital stock or securities of the Company, if any, issuable upon such exercise over and above the Preferred Shares
and other capital stock or securities of the Company, if any, issuable upon such exercise on the basis of the Purchase Price in effect prior to such adjustment; provided, however, that the Company shall deliver to such holder a due
bill or other appropriate instrument evidencing such holder’s right to receive such additional shares upon the occurrence of the event requiring such adjustment. 

  
 -27-

 (m) Anything in this Section 11 to the contrary notwithstanding, the
Company shall be entitled to make such reductions in the Purchase Price, in addition to those adjustments expressly required by this Section 11, as and to the extent that it, in its sole discretion, shall determine to be advisable in order that
any consolidation or subdivision of the Preferred Shares, issuance wholly for cash of any Preferred Shares at less than the current market price, issuance wholly for cash of Preferred Shares or securities which by their terms are convertible into or
exchangeable for Preferred Shares, dividends on Preferred Shares payable in Preferred Shares or issuance of rights, options or warrants referred to in Section 11(b) hereof, hereafter made by the Company to holders of the Preferred Shares shall
not be taxable to such stockholders. 
 (n) In the event that, at any time after the date of this Agreement and
prior to the Distribution Date, the Company shall (i) declare or pay any dividend on the Common Shares payable in Common Shares, or (ii) effect a subdivision, combination or consolidation of the Common Shares (by reclassification or
otherwise than by payment of dividends in Common Shares) into a greater or lesser number of Common Shares, then, in any such case, (A) the number of one one-thousandths of a Preferred Share purchasable after such event upon proper exercise of
each Right shall be determined by multiplying the number of one one-thousandths of a Preferred Share so purchasable immediately prior to such event by a fraction, the numerator of which is the number of Common Shares outstanding immediately before
such event and the denominator of which is the number of Common Shares outstanding immediately after such event, and 

  
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(B) each Common Share outstanding immediately after such event shall have issued with respect to it that number of Rights which each Common Share outstanding immediately prior to such event had
issued with respect to it. The adjustments provided for in this Section 11(n) shall be made successively whenever such a dividend is declared or paid or such a subdivision, combination or consolidation is effected. 

Section 12. Certificate of Adjusted Purchase Price or Number of Shares. Whenever an adjustment is made as provided in
Section 11 or 13 hereof, the Company shall promptly (a) prepare a certificate setting forth such adjustment or describing such event and a brief statement of the facts accounting for such adjustment or describing such event, (b) file
with the Rights Agent and with each transfer agent for the Common Shares or the Preferred Shares a copy of such certificate and (c) if such adjustment occurs at any time after the Distribution Date, mail a brief summary thereof to each holder
of a Right Certificate in accordance with Section 25 hereof. 
 Section 13. Consolidation, Merger or Sale or
Transfer of Assets or Earning Power. In the event, directly or indirectly, at any time after a Person has become an Acquiring Person, (a) the Company shall effect a share exchange, consolidate with, or merge with and into, any other Person,
(b) any Person shall effect a share exchange, consolidate with the Company, or merge with and into the Company and the Company shall be the continuing or surviving corporation of such share exchange or merger and, in connection with such
merger, all or part of the Common Shares shall be changed into or exchanged for stock or other securities of any other Person (or the Company) or cash or any other property, or (c) the Company shall sell or otherwise transfer (or one or more of
its Subsidiaries shall sell or otherwise transfer), in one or more transactions, assets or earning power aggregating 50% or more of the assets or earning 

  
 -29-

 
power of the Company and its Subsidiaries (taken as a whole) to any other Person other than the Company or one or more of its wholly-owned Subsidiaries, then, and in each such case, proper
provision shall be made so that (i) each holder of a Right (except as otherwise provided herein) shall thereafter have the right to receive, upon the exercise thereof at a price equal to the then current Purchase Price multiplied by the number
of one one-thousandths of a Preferred Share for which a Right is then exercisable, in accordance with the terms of this Agreement and in lieu of Preferred Shares, such number of Common Shares of such other Person (including the Company as successor
thereto or as the surviving corporation) as shall equal the result obtained by (A) multiplying the then current Purchase Price by the number of one one-thousandths of a Preferred Share for which a Right is then exercisable and dividing that
product by (B) 50% of the then current per share market price of the Common Shares of such other Person (determined pursuant to Section 11(d) hereof) on the date of consummation of such consolidation, merger, sale or transfer;
(ii) the issuer of such Common Shares shall thereafter be liable for, and shall assume, by virtue of such consolidation, merger, sale or transfer, all the obligations and duties of the Company pursuant to this Agreement; (iii) the term
“Company” shall thereafter be deemed to refer to such issuer; and (iv) such issuer shall take such steps (including, but not limited to, the reservation of a sufficient number of its Common Shares in accordance with Section 9
hereof) in connection with such consummation as may be necessary to assure that the provisions hereof shall thereafter be applicable, as nearly as reasonably may be, in relation to the Common Shares of the Company thereafter deliverable upon the
exercise of the Rights. The Company shall not consummate any such consolidation, merger, sale or transfer unless, prior thereto, the Company and such issuer shall have executed and delivered to the Rights Agent a supplemental agreement so providing.
The Company shall not enter into any transaction of the kind referred to in this 

  
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Section 13 if at the time of such transaction there are any rights, warrants, instruments or securities outstanding or any agreements or arrangements which, as a result of the consummation
of such transaction, would eliminate or substantially diminish the benefits intended to be afforded by the Rights. The provisions of this Section 13 shall similarly apply to successive mergers, share exchanges, or consolidations or sales or
other transfers. 
 Section 14. Fractional Rights and Fractional Shares. (a) The Company shall not be required
to issue fractions of Rights or to distribute Right Certificates which evidence fractional Rights. In lieu of such fractional Rights, there shall be paid to the registered holders of the Right Certificates with regard to which such fractional Rights
would otherwise be issuable, an amount in cash equal to the same fraction of the current market value of a whole Right. For the purposes of this Section 14(a), the current market value of a whole Right shall be the closing price of the Rights
for the Trading Day immediately prior to the date on which such fractional Rights would have been otherwise issuable. The closing price for any day shall be the last sale price, regular way, or, in case no such sale takes place on such day, the
average of the closing bid and asked prices, regular way, in either case, as reported in the principal consolidated transaction reporting system with respect to securities listed or admitted to trading on the New York Stock Exchange or, if the
Rights are not listed or admitted to trading on the New York Stock Exchange, as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national securities exchange on which the Rights
are listed or admitted to trading or, if the Rights are not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted, the average of the high bid and low asked prices in the over-the-counter
market, as reported by the NASDAQ or such other system then in use or, if on any such date the Rights are not quoted by any such organization, the average of the closing bid 

  
 -31-

 
and asked prices as furnished by a professional market maker making a market in the Rights selected by the Board of Directors of the Company. If on any such date no such market maker is making a
market in the Rights, the fair value of the Rights on such date as determined in good faith by the Board of Directors of the Company shall be used. 
 (b) The Company shall not be required to issue fractions of Preferred Shares (other than fractions which are integral multiples of one one-thousandth of a Preferred Share) upon exercise of the Rights or
to distribute certificates which evidence fractional Preferred Shares (other than fractions which are integral multiples of one one-thousandth of a Preferred Share). Fractions of Preferred Shares in integral multiples of one one-thousandth of a
Preferred Share may, at the election of the Company, be evidenced by depositary receipts, pursuant to an appropriate agreement between the Company and a depositary selected by it; provided that such agreement shall provide that the holders of
such depositary receipts shall have all the rights, privileges and preferences to which they are entitled as Beneficial Owners of the Preferred Shares represented by such depositary receipts. In lieu of fractional Preferred Shares that are not
integral multiples of one one-thousandth of a Preferred Share, the Company shall pay to the registered holders of Right Certificates at the time such Rights are exercised as herein provided an amount in cash equal to the same fraction of the current
market value of one Preferred Share. For the purposes of this Section 14(b), the current market value of a Preferred Share shall be the closing price of a Preferred Share (as determined pursuant to the second sentence of Section 11(d)(i)
hereof) for the Trading Day immediately prior to the date of such exercise. 
 (c) The holder of a Right, by the acceptance of
the Right, expressly waives such holder’s right to receive any fractional Rights or any fractional shares upon exercise of a Right (except as provided above). 

  
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 Section 15. Rights of Action. All rights of action in respect of this Agreement,
excepting the rights of action given to the Rights Agent under Section 18 hereof, are vested in the respective registered holders of the Right Certificates (and, prior to the Distribution Date, the registered holders of the Common Shares); and
any registered holder of any Right Certificate (or, prior to the Distribution Date, of the Common Shares), without the consent of the Rights Agent or of the holder of any other Right Certificate (or, prior to the Distribution Date, of the Common
Shares), may, in such holder’s own behalf and for such holder’s own benefit, enforce, and may institute and maintain any suit, action or proceeding against the Company to enforce, or otherwise act in respect of, such holder’s right to
exercise the Rights evidenced by such Right Certificate in the manner provided in such Right Certificate and in this Agreement. Without limiting the foregoing or any remedies available to the holders of Rights, it is specifically acknowledged that
the holders of Rights would not have an adequate remedy at law for any breach of this Agreement, and will be entitled to specific performance of the obligations under, and injunctive relief against actual or threatened violations of the obligations
of any Person subject to, this Agreement. 
 Section 16. Agreement of Right Holders. Every holder of a Right, by
accepting the same, consents and agrees with the Company and the Rights Agent and with every other holder of a Right that: 
 (a) prior to the Distribution Date, the Rights will be transferable only in connection with the transfer of the Common Shares; 

  
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 (b) after the Distribution Date, the Right Certificates are transferable
only on the registry books of the Rights Agent if surrendered at the principal office of the Rights Agent, duly endorsed or accompanied by a proper instrument of transfer; and 

(c) the Company and the Rights Agent may deem and treat the person in whose name the Right Certificate (or, prior to the
Distribution Date, the associated Common Shares certificate) is registered as the absolute owner thereof and of the Rights evidenced thereby (notwithstanding any notations of ownership or writing on the Right Certificate or the associated Common
Shares certificate made by anyone other than the Company or the Rights Agent) for all purposes whatsoever, and neither the Company nor the Rights Agent shall be affected by any notice to the contrary. 

Section 17. Right Certificate Holder Not Deemed a Stockholder. No holder, as such, of any Right Certificate shall be entitled
to vote, receive dividends or be deemed for any purpose the holder of the Preferred Shares or any other securities of the Company which may at any time be issuable on the exercise of the Rights represented thereby, nor shall anything contained
herein or in any Right Certificate be construed to confer upon the holder of any Right Certificate, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to
stockholders at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting stockholders (except as provided in Section 25 hereof), or to receive dividends or
subscription rights, or otherwise, until the Right or Rights evidenced by such Right Certificate shall have been exercised in accordance with the provisions hereof. 

  
 -34-

 Section 18. Concerning the Rights Agent. The Company agrees to pay to the Rights
Agent reasonable compensation for all services rendered by it hereunder, and, from time to time, on demand of the Rights Agent, its reasonable expenses and counsel fees and other disbursements incurred in the administration and execution of this
Agreement and the exercise and performance of its duties hereunder. The Company also agrees to indemnify the Rights Agent for, and to hold it harmless against, any loss, liability, or expense incurred without gross negligence, bad faith or willful
misconduct on the part of the Rights Agent, for anything done or omitted by the Rights Agent in connection with the acceptance and administration of this Agreement, including the costs and expenses of defending against any claim of liability in the
premises. 
 The Rights Agent shall be protected and shall incur no liability for, or in respect of any action taken, suffered
or omitted by it in connection with, its administration of this Agreement in reliance upon any Right Certificate or certificate for the Preferred Shares or Common Shares or for other securities of the Company, instrument of assignment or transfer,
power of attorney, endorsement, affidavit, letter, notice, direction, consent, certificate, statement, or other paper or document believed by it to be genuine and to be signed, executed and, where necessary, verified or acknowledged, by the proper
person or persons, or otherwise upon the advice of counsel as set forth in Section 20 hereof. 
 Section 19. Merger
or Consolidation or Change of Name of Rights Agent. Any corporation into which the Rights Agent or any successor Rights Agent may be merged or with which it may effect a share exchange, be converted or consolidated, or any Person resulting from
any merger, share exchange, conversion or consolidation to which the Rights Agent or any successor Rights Agent shall be a party, or any Person succeeding to the stock transfer or 

  
 -35-

 
corporate trust powers of the Rights Agent or any successor Rights Agent, shall be the successor to the Rights Agent under this Agreement without the execution or filing of any paper or document
or any further act on the part of any of the parties hereto; provided that such Person would be eligible for appointment as a successor Rights Agent under the provisions of Section 21 hereof. In case at the time such successor Rights
Agent shall succeed to the agency created by this Agreement, any of the Right Certificates shall have been countersigned but not delivered, any such successor Rights Agent may adopt the countersignature of the predecessor Rights Agent and deliver
such Right Certificates so countersigned; and, in case at that time any of the Right Certificates shall not have been countersigned, any successor Rights Agent may countersign such Right Certificates either in the name of the predecessor Rights
Agent or in the name of the successor Rights Agent; and, in all such cases, such Right Certificates shall have the full force provided in the Right Certificates and in this Agreement. 

In case at any time the name of the Rights Agent shall be changed and at such time any of the Right Certificates shall have been
countersigned but not delivered, the Rights Agent may adopt the countersignature under its prior name and deliver Right Certificates so countersigned; and, in case at that time any of the Right Certificates shall not have been countersigned, the
Rights Agent may countersign such Right Certificates either in its prior name or in its changed name; and, in all such cases, such Right Certificates shall have the full force provided in the Right Certificates and in this Agreement. 

Section 20. Duties of Rights Agent. The Rights Agent undertakes the duties and obligations imposed by this Agreement upon the
following terms and conditions, by all of which the Company and the holders of Right Certificates, by their acceptance thereof, shall be bound: 
 (a) The Rights Agent may consult with legal counsel (who may be legal counsel for the Company), and the opinion of such counsel shall be full and complete authorization and protection to the Rights Agent
as to any action taken or omitted by it in good faith and in accordance with such opinion. 

  
 -36-

 (b) Whenever in the performance of its duties under this Agreement the
Rights Agent shall deem it necessary or desirable that any fact or matter be proved or established by the Company prior to taking or suffering any action hereunder, such fact or matter (unless other evidence in respect thereof be herein specifically
prescribed) may be deemed to be conclusively proved and established by a certificate signed by any one of the Chairman of the Board, the Chief Executive Officer, the President, any Vice President, the Treasurer, the Secretary or any Assistant
Secretary of the Company and delivered to the Rights Agent; and such certificate shall be full authorization to the Rights Agent for any action taken or suffered in good faith by it under the provisions of this Agreement in reliance upon such
certificate. 
 (c) The Rights Agent shall be liable hereunder to the Company and any other Person only for its
own gross negligence, bad faith or willful misconduct. 
 (d) The Rights Agent shall not be liable for or by
reason of any of the statements of fact or recitals contained in this Agreement or in the Right Certificates (except its countersignature thereof) or be required to verify the same, but all such statements and recitals are and shall be deemed to
have been made by the Company only. 
 (e) The Rights Agent shall not be under any responsibility in respect of
the validity of this Agreement or the execution and delivery hereof (except the due 

  
 -37-

 
execution hereof by the Rights Agent) or in respect of the validity or execution of any Right Certificate (except its countersignature thereof); nor shall it be responsible for any breach by the
Company of any covenant or condition contained in this Agreement or in any Right Certificate; nor shall it be responsible for any change in the exercisability of the Rights (including the Rights becoming void pursuant to Section 11(a)(ii)
hereof) or any adjustment in the terms of the Rights (including the manner, method or amount thereof) provided for in Section 3, 11, 13, 23 or 24 hereof, or the ascertaining of the existence of facts that would require any such change or
adjustment (except with respect to the exercise of Rights evidenced by Right Certificates after receipt of a certificate pursuant to Section 12 describing such change or adjustment); nor shall it by any act hereunder be deemed to make any
representation or warranty as to the authorization or reservation of any Preferred Shares to be issued pursuant to this Agreement or any Right Certificate or as to whether any Preferred Shares will, when issued, be validly authorized and issued,
fully paid and nonassessable. 
 (f) The Company agrees that it will perform, execute, acknowledge and deliver or
cause to be performed, executed, acknowledged and delivered all such further and other acts, instruments and assurances as may reasonably be required by the Rights Agent for the carrying out or performing by the Rights Agent of the provisions of
this Agreement. 
 (g) The Rights Agent is hereby authorized and directed to accept instructions with respect to
the performance of its duties hereunder from any one of the Chairman of the Board, the Chief Executive Officer, the President, any Vice President, the Secretary, any Assistant Secretary, the Treasurer or any Assistant Treasurer of the

  
 -38-

 
Company, and to apply to such officers for advice or instructions in connection with its duties, and it shall not be liable for any action taken or suffered by it in good faith in accordance with
instructions of any such officer or for any delay in acting while waiting for those instructions. 
 (h) The
Rights Agent and any stockholder, director, officer or employee of the Rights Agent may buy, sell or deal in any of the Rights or other securities of the Company or become pecuniarily interested in any transaction in which the Company may be
interested, or contract with or lend money to the Company or otherwise act as fully and freely as though it were not Rights Agent under this Agreement. Nothing herein shall preclude the Rights Agent from acting in any other capacity for the Company
or for any other Person. 
 (i) The Rights Agent may execute and exercise any of the rights or powers hereby
vested in it or perform any duty hereunder either itself or by or through its attorneys or agents, and the Rights Agent shall not be answerable or accountable for any act, default, neglect or misconduct of any such attorneys or agents or for any
loss to the Company resulting from any such act, default, neglect or misconduct, provided that reasonable care was exercised in the selection and continued employment thereof. 
 Section 21. Change of Rights Agent. The Rights Agent or any successor Rights Agent may resign and be discharged from its duties under this Agreement upon 30 days’ notice in writing mailed
to the Company and, in the event that the Rights Agent or one of its Affiliates is not also the transfer agent for the Company, to each transfer agent of the Common Shares or Preferred Shares by registered or certified mail. In the event the
transfer agency 

  
 -39-

 
relationship in effect between the Company and the Rights Agent terminates, the Rights Agent will be deemed to have resigned automatically and be discharged from its duties under this Agreement
as of the effective date of such termination, and the Company shall be responsible for sending any required notice. The Company may remove the Rights Agent or any successor Rights Agent (with or without cause) upon 30 days’ notice in writing,
mailed to the Rights Agent or successor Rights Agent, as the case may be, and to each transfer agent of the Common Shares or Preferred Shares by registered or certified mail, and to the holders of the Right Certificates by first-class mail. If the
Rights Agent shall resign or be removed or shall otherwise become incapable of acting, the Company shall appoint a successor to the Rights Agent. If the Company shall fail to make such appointment within a period of 30 days after giving notice of
such removal or after it has been notified in writing of such resignation or incapacity by the resigning or incapacitated Rights Agent or by the holder of a Right Certificate (which holder shall, with such notice, submit such holder’s Right
Certificate for inspection by the Company), then the registered holder of any Right Certificate may apply to any court of competent jurisdiction for the appointment of a new Rights Agent. Any successor Rights Agent, whether appointed by the Company
or by such a court, shall be either (a) a Person organized and doing business under the laws of the United States or of the [State of New York] (or of any other state of the United States so long as such corporation is authorized to do business
as a banking institution in such state), in good standing which is authorized under such laws to exercise corporate trust or stock transfer powers and is subject to supervision or examination by federal or state authority and which has at the time
of its appointment as Rights Agent a combined capital and surplus of at least $50 million or (b) an affiliate or direct or indirect wholly-owned Subsidiary of such Person or its wholly-owning parent. After appointment, the successor Rights
Agent shall be vested with the 

  
 -40-

 
same powers, rights, duties and responsibilities as if it had been originally named as Rights Agent without further act or deed; but the predecessor Rights Agent shall deliver and transfer to the
successor Rights Agent any property at the time held by it hereunder, and execute and deliver any further assurance, conveyance, act or deed necessary for the purpose. Not later than the effective date of any such appointment, the Company shall file
notice thereof in writing with the predecessor Rights Agent and each transfer agent of the Common Shares or Preferred Shares, and mail a notice thereof in writing to the registered holders of the Right Certificates. Failure to give any notice
provided for in this Section 21, however, or any defect therein, shall not affect the legality or validity of the resignation or removal of the Rights Agent or the appointment of the successor Rights Agent, as the case may be. 

Section 22. Issuance of New Right Certificates. Notwithstanding any of the provisions of this Agreement or of the Rights to
the contrary, the Company may, at its option, issue new Right Certificates evidencing Rights in such form as may be approved by the Board of Directors of the Company to reflect any adjustment or change in the Purchase Price and the number or kind or
class of shares or other securities or property purchasable under the Right Certificates made in accordance with the provisions of this Agreement. 
 Section 23. Redemption. (a) The Board of Directors of the Company may, at its option, at any time prior to such time as any Person becomes an Acquiring Person, redeem all but not less
than all the then outstanding Rights at a redemption price of $0.001 per Right, appropriately adjusted to reflect any stock split, stock dividend or similar transaction occurring after the date hereof (such redemption price being hereinafter
referred to as the “Redemption Price”). The redemption of the Rights by the Board of Directors of the Company may be made effective at such time, on such basis and with such conditions as the Board of Directors of the Company, in
its sole discretion, may establish. 

  
 -41-

 (b) Immediately upon the action of the Board of Directors of the Company ordering the
redemption of the Rights pursuant to paragraph (a) of this Section 23, and without any further action and without any notice, the right to exercise the Rights will terminate and the only right thereafter of the holders of Rights shall be
to receive the Redemption Price. The Company shall promptly give public notice of any such redemption; provided, however, that the failure to give, or any defect in, any such notice shall not affect the validity of such redemption.
Within 10 days after such action of the Board of Directors of the Company ordering the redemption of the Rights, the Company shall mail a notice of redemption to all the holders of the then outstanding Rights at their last addresses as they appear
upon the registry books of the Rights Agent or, prior to the Distribution Date, on the registry books of the transfer agent for the Common Shares. Any notice which is mailed in the manner herein provided shall be deemed given, whether or not the
holder receives the notice. Each such notice of redemption will state the method by which the payment of the Redemption Price will be made. Neither the Company nor any of its Affiliates or Associates may redeem, acquire or purchase for value any
Rights at any time in any manner other than that specifically set forth in this Section 23 or in Section 24 hereof, and other than in connection with the purchase of Common Shares prior to the Distribution Date. 

Section 24. Exchange. (a) The Board of Directors of the Company may, at its option, at any time after any Person becomes
an Acquiring Person, exchange all or part of the then outstanding and exercisable Rights (which shall not include Rights that have become void pursuant to the provisions of Section 11(a)(ii) hereof) for Common Shares at an exchange ratio

  
 -42-

 
of one Common Share per Right, appropriately adjusted to reflect any adjustment in the number of Rights pursuant to Section 11(i) (such exchange ratio being hereinafter referred to as the
“Exchange Ratio”). Notwithstanding the foregoing, the Board of Directors of the Company shall not be empowered to effect such exchange at any time after any Person (other than the Company, any Subsidiary of the Company, any employee
benefit plan of the Company or any such Subsidiary, or any entity holding Common Shares for or pursuant to the terms of any such plan), together with all Affiliates and Associates of such Person, becomes the Beneficial Owner of 50% or more of the
Common Shares then outstanding. 
 (b) Immediately upon the action of the Board of Directors of the Company ordering the
exchange of any Rights pursuant to paragraph (a) of this Section 24 and without any further action and without any notice, the right to exercise such Rights shall terminate and the only right thereafter of a holder of such Rights shall be
to receive that number of Common Shares equal to the number of such Rights held by such holder multiplied by the Exchange Ratio. The Company shall promptly give public notice of any such exchange; provided, however, that the failure to
give, or any defect in, such notice shall not affect the validity of such exchange. The Company promptly shall mail a notice of any such exchange to all of the holders of such Rights at their last addresses as they appear upon the registry books of
the Rights Agent. Any notice which is mailed in the manner herein provided shall be deemed given, whether or not the holder receives the notice. Each such notice of exchange will state the method by which the exchange of the Common Shares for Rights
will be effected, and, in the event of any partial exchange, the number of Rights which will be exchanged. Any partial exchange shall be effected pro rata based on the number of Rights (other than Rights which have become void pursuant
to the provisions of Section 11(a)(ii) hereof) held by each holder of Rights. 

  
 -43-

 (c) In the event that there shall not be sufficient Common Shares issued but not outstanding
or authorized but unissued to permit any exchange of Rights as contemplated in accordance with this Section 24, the Company shall take all such action as may be necessary to authorize additional Common Shares for issuance upon exchange of the
Rights. In the event the Company shall, after good faith effort, be unable to take all such action as may be necessary to authorize such additional Common Shares, the Company shall substitute, for each Common Share that would otherwise be issuable
upon exchange of a Right, a number of Preferred Shares or fraction thereof such that the current per share market price of one Preferred Share multiplied by such number or fraction is equal to the current per share market price of one Common Share
as of the date of issuance of such Preferred Shares or fraction thereof. 
 (d) The Company shall not be required to issue
fractions of Common Shares or to distribute certificates which evidence fractional Common Shares. In lieu of such fractional Common Shares, the Company shall pay to the registered holders of the Right Certificates with regard to which such
fractional Common Shares would otherwise be issuable an amount in cash equal to the same fraction of the current market value of a whole Common Share. For the purposes of this paragraph (d), the current market value of a whole Common Share shall be
the closing price of a Common Share (as determined pursuant to the second sentence of Section 11(d)(i) hereof) for the Trading Day immediately prior to the date of exchange pursuant to this Section 24. 

Section 25. Notice of Certain Events. (a) In case the Company shall, at any time after the Distribution Date, propose
(i) to pay any dividend payable in stock of any class to the holders of the Preferred Shares or to make any other distribution to the holders of the Preferred Shares (other than a regular quarterly cash dividend), (ii) to offer to the
holders of the 

  
 -44-

 
Preferred Shares rights or warrants to subscribe for or to purchase any additional Preferred Shares or shares of stock of any class or any other securities, rights or options, (iii) to
effect any reclassification of the Preferred Shares (other than a reclassification involving only the subdivision of outstanding Preferred Shares), (iv) to effect any share exchange, consolidation or merger into or with, or to effect any sale
or other transfer (or to permit one or more of its Subsidiaries to effect any sale or other transfer), in one or more transactions, of 50% or more of the assets or earning power of the Company and its Subsidiaries (taken as a whole) to, any other
Person, (v) to effect the liquidation, dissolution or winding up of the Company, or (vi) to declare or pay any dividend on the Common Shares payable in Common Shares or to effect a subdivision, combination or consolidation of the Common
Shares (by reclassification or otherwise than by payment of dividends in Common Shares), then, in each such case, the Company shall give to each holder of a Right Certificate, in accordance with Section 26 hereof, a notice of such proposed
action, which shall specify the record date for the purposes of such stock dividend, or distribution of rights or warrants, or the date on which such share exchange, reclassification, consolidation, merger, sale, transfer, liquidation, dissolution,
or winding up is to take place and the date of participation therein by the holders of the Common Shares and/or Preferred Shares, if any such date is to be fixed, and such notice shall be so given in the case of any action covered by clause
(i) or (ii) above at least 10 days prior to the record date for determining holders of the Preferred Shares for purposes of such action, and, in the case of any such other action, at least 10 days prior to the date of the taking of such
proposed action or the date of participation therein by the holders of the Common Shares and/or Preferred Shares, whichever shall be the earlier. 

  
 -45-

 (b) In case the event set forth in Section 11(a)(ii) hereof shall occur, then the
Company shall, as soon as practicable thereafter, give to each holder of a Right Certificate, in accordance with Section 26 hereof, a notice of the occurrence of such event, which notice shall describe such event and the consequences of such
event to holders of Rights under Section 11(a)(ii) hereof. 
 Section 26. Notices. Notices or demands
authorized by this Agreement to be given or made by the Rights Agent or by the holder of any Right Certificate to or on the Company shall be sufficiently given or made if sent by overnight delivery service or first-class mail, postage prepaid,
addressed (until another address is filed in writing with the Rights Agent) as follows: 
 DSP Group, Inc. 

2580 North First Street, Suite 460 
 San Jose, CA 95131 
 Attention: Corporate Secretary 

Subject to the provisions of Section 21 hereof, any notice or demand authorized by this Agreement to be given or made by the Company or by the
holder of any Right Certificate to or on the Rights Agent shall be sufficiently given or made if sent by overnight delivery service or first-class mail, postage prepaid, addressed (until another address is filed in writing with the Company) as
follows: 
 American Stock Transfer & Trust Company, LLC 

6201 15th Avenue 

Brooklyn, New York 11219 
 Attention: Relationship Manager 
 with copy (which shall not constitute notice)
to: 
 American Stock Transfer & Trust Company, LLC 

6201 15th Avenue 

Brooklyn, New York 11219 
 Attention: General Counsel 

  
 -46-

 Notices or demands authorized by this Agreement to be given or made by the Company or the Rights Agent to
the holder of any Right Certificate shall be sufficiently given or made if sent by first-class mail, postage prepaid, addressed to such holder at the address of such holder as shown on the registry books of the Company. 

Section 27. Supplements and Amendments. The Company may from time to time supplement or amend this Agreement without the
approval of any holders of Right Certificates in order to cure any ambiguity, to correct or supplement any provision contained herein which may be defective or inconsistent with any other provisions herein, or to make any other provisions with
respect to the Rights which the Company may deem necessary or desirable, any such supplement or amendment to be evidenced by a writing signed by the Company and the Rights Agent; provided, however, that, from and after such time as any
Person becomes an Acquiring Person, this Agreement shall not be amended in any manner which would adversely affect the interests of the holders of Rights. Upon the delivery of a certificate from an appropriate officer of the Company which states
that the proposed supplement or amendment is in compliance with the terms of this Section 27, the Rights Agent shall execute such supplement or amendment. 
 Section 28. Successors. All the covenants and provisions of this Agreement by or for the benefit of the Company or the Rights Agent shall bind and inure to the benefit of their respective
successors and assigns hereunder. 
 Section 29. Benefits of this Agreement. Nothing in this Agreement shall be
construed to give to any Person other than the Company, the Rights Agent and the registered 

  
 -47-

 
holders of the Right Certificates (and, prior to the Distribution Date, the Common Shares) any legal or equitable right, remedy or claim under this Agreement; but this Agreement shall be for the
sole and exclusive benefit of the Company, the Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution Date, the Common Shares). 
 Section 30. Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority to be invalid, void or
unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated. 

Section 31. Governing Law. This Agreement and each Right Certificate issued hereunder shall be deemed to be a contract made
under the laws of the State of Delaware and for all purposes shall be governed by and construed in accordance with the laws of such state applicable to contracts to be made and performed entirely within such state. 

Section 32. Counterparts. This Agreement may be executed in any number of counterparts and each of such counterparts shall
for all purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument. A signature to this Agreement transmitted electronically shall have the same authority, effect, and enforceability as
an original signature. 
 Section 33. Descriptive Headings. Descriptive headings of the several Sections of this
Agreement are inserted for convenience only and shall not control or affect the meaning or construction of any of the provisions hereof. 

  
 -48-

 Section 34. Force Majeure. Notwithstanding anything to the contrary contained
herein, the Rights Agent shall not be liable for any delays or failures in performance resulting from acts beyond its reasonable control including, without limitation, acts of God, terrorist acts, shortage of supply, breakdowns or malfunctions,
interruptions or malfunctions of computer facilities, or loss of data due to power failures or mechanical difficulties with information storage or retrieval systems, labor difficulties, war, or civil unrest. 

  
 -49-

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed and
attested, all as of the day and year first above written. 
  

											
	 Attest:
	 		 	DSP GROUP, INC.	 	
						
	 By
	 	 /s/ Dror Levy
	 		 	By	 	 /s/ Ofer Elyakim
	 	
						
		 	 Name: Dror Levy
	 		 		 	Name: Ofer Elyakim	 	
						
		 	 Title: Chief Financial Officer
	 		 		 	Title Chief Executive Officer	 	
				
	 Attest:
	 		 	AMERICAN STOCK TRANSFER &	 	
		 		 		 	TRUST COMPANY, LLC	 	
						
	 By
	 	 /s/ Isaac J. Kagan
	 		 	By	 	 /s/ Paula Caroppoli
	 	
						
		 	 Name: Isaac J. Kagan
	 		 		 	Name: Paula Caroppoli	 	
						
		 	 Title: Vice President
	 		 		 	Title Senior Vice President	 	

  
 -50-

 Exhibit A 
 FORM 
 of 
 CERTIFICATE OF DESIGNATIONS 
 of 

SERIES B JUNIOR PARTICIPATING PREFERRED STOCK 
 of  
 DSP GROUP, INC.  

(Pursuant to Section 151 of the 
 Delaware General Corporation Law) 
  

 
 DSP Group,
Inc., a corporation organized and existing under the General Corporation Law of the State of Delaware (hereinafter called the “Corporation”), hereby certifies that the following resolution was adopted by the Board of Directors of the
Corporation as required by Section 151 of the General Corporation Law at a meeting duly called and held on July 25, 2011: 

  
 A-1

 RESOLVED, that pursuant to the authority granted to and vested in the Board of Directors of
this Corporation (hereinafter called the “Board of Directors” or the “Board”) in accordance with the provisions of the Certificate of Incorporation, the Board of Directors hereby creates a series of Preferred Stock, par value
$0.001 per share, of the Corporation (the “Preferred Stock”), and hereby states the designation and number of shares, and fixes the relative rights, preferences, and limitations thereof as follows: 

Series B Junior Participating Preferred Stock: 
 Section 1. Designation and Amount. The shares of such series shall be designated as “Series B Junior Participating Preferred Stock” (the “Series B Preferred Stock”) and the
number of shares constituting the Series B Preferred Stock shall be 50,000. Such number of shares may be increased or decreased by resolution of the Board of Directors; provided, that no decrease shall reduce the number of shares of Series B
Preferred Stock to a number less than the number of shares then outstanding plus the number of shares reserved for issuance upon the exercise of outstanding options, rights or warrants or upon the conversion of any outstanding securities issued by
the Corporation convertible into Series B Preferred Stock. 
 Section 2. Dividends and Distributions. 

(A) Subject to the rights of the holders of any shares of any series of Preferred Stock (or any similar stock) ranking
prior and superior to the Series B Preferred Stock with respect to dividends, the holders of shares of Series B Preferred Stock, in preference to the holders of Common Stock, par value $0.001 per share (the “Common Stock”), of the
Corporation, and of any other junior stock, shall be entitled to receive, when, as and if declared by the Board of Directors out of funds legally available for the purpose, quarterly dividends payable in cash on the first day of March, June,
September and December in each year (each such date being referred to herein as a “Quarterly Dividend Payment Date”), commencing on the first Quarterly Dividend Payment Date after the first issuance of a share or fraction of a share of
Series B Preferred Stock, in an amount per share (rounded to the nearest cent) equal to the greater of (a) $1 or (b) subject to the 

  
 A-2

 
provision for adjustment hereinafter set forth, 1,000 times the aggregate per share amount of all cash dividends, and 1,000 times the aggregate per share amount (payable in kind) of all non-cash
dividends or other distributions, other than a dividend payable in shares of Common Stock or a subdivision of the outstanding shares of Common Stock (by reclassification or otherwise), declared on the Common Stock since the immediately preceding
Quarterly Dividend Payment Date or, with respect to the first Quarterly Dividend Payment Date, since the first issuance of any share or fraction of a share of Series B Preferred Stock. In the event the Corporation shall at any time declare or pay
any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision or combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common
Stock) into a greater or lesser number of shares of Common Stock, then in each such case the amount to which holders of shares of Series B Preferred Stock were entitled immediately prior to such event under clause (b) of the preceding sentence
shall be adjusted by multiplying such amount by a fraction, the numerator of which is the number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event. 
 (B) The Corporation shall declare a dividend or distribution on
the Series B Preferred Stock as provided in paragraph (A) of this Section immediately after it declares a dividend or distribution on the Common Stock (other than a dividend payable in shares of Common Stock); provided that, in the event no
dividend or distribution shall have been declared on the Common Stock during the period between any Quarterly Dividend Payment Date and the next subsequent Quarterly Dividend Payment Date, a dividend of $1 per share on the Series B Preferred Stock
shall nevertheless be payable on such subsequent Quarterly Dividend Payment Date. 
 (C) Dividends shall begin to
accrue and be cumulative on outstanding shares of Series B Preferred Stock from the Quarterly Dividend Payment Date next preceding the date of issue of such shares, unless the date of issue of such shares is prior to the record date for the first
Quarterly Dividend Payment Date, in which case dividends on such shares shall begin to accrue from the date of issue of such shares, or unless the date of issue is a Quarterly Dividend Payment Date or is a date after the record date for the
determination of holders of shares of Series B Preferred Stock entitled to receive a quarterly dividend and before such Quarterly Dividend Payment Date, in either of which events such dividends shall begin to accrue and be cumulative from such
Quarterly Dividend Payment Date. Accrued but unpaid dividends shall not bear interest. Dividends paid on the shares of Series B Preferred Stock in an amount less than the total amount of such dividends at the time accrued and payable on such shares
shall be allocated pro rata on a share-by-share basis among all such shares at the time outstanding. The Board of Directors may fix a record date for the determination of holders of shares of Series B Preferred Stock entitled to receive payment of a
dividend or distribution declared thereon, which record date shall be not more than 60 days prior to the date fixed for the payment thereof. 

  
 A-3

 Section 3. Voting Rights. The holders of shares of Series B Preferred Stock
shall have the following voting rights: 
 (A) Subject to the provision for adjustment hereinafter set forth,
each share of Series B Preferred Stock shall entitle the holder thereof to 1,000 votes on all matters submitted to a vote of the stockholders of the Corporation. In the event the Corporation shall at any time declare or pay any dividend on the
Common Stock payable in shares of Common Stock, or effect a subdivision or combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a
greater or lesser number of shares of Common Stock, then in each such case the number of votes per share to which holders of shares of Series B Preferred Stock were entitled immediately prior to such event shall be adjusted by multiplying such
number by a fraction, the numerator of which is the number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event.

 (B) Except as otherwise provided herein, in any other Certificate of Designations creating a series of
Preferred Stock or any similar stock, or by law, the holders of shares of Series B Preferred Stock and the holders of shares of Common Stock and any other capital stock of the Corporation having general voting rights shall vote together as one class
on all matters submitted to a vote of stockholders of the Corporation. 
 (C) Except as set forth herein, or as
otherwise provided by law, holders of Series B Preferred Stock shall have no special voting rights and their consent shall not be required (except to the extent they are entitled to vote with holders of Common Stock as set forth herein) for taking
any corporate action. 
 Section 4. Certain Restrictions. 

(A) Whenever quarterly dividends or other dividends or distributions payable on the Series B Preferred Stock as provided
in Section 2 are in arrears, thereafter and until all accrued and unpaid dividends and distributions, whether or not declared, on shares of Series B Preferred Stock outstanding shall have been paid in full, the Corporation shall not:

 (i) declare or pay dividends, or make any other distributions, on any shares of stock ranking junior (either
as to dividends or upon liquidation, dissolution or winding up) to the Series B Preferred Stock; 
 (ii) declare
or pay dividends, or make any other distributions, on any shares of stock ranking on a parity (either as to dividends or upon liquidation, dissolution or winding up) with the Series B Preferred Stock, except dividends

  
 A-4

 
paid ratably on the Series B Preferred Stock and all such parity stock on which dividends are payable or in arrears in proportion to the total amounts to which the holders of all such shares are
then entitled; 
 (iii) redeem or purchase or otherwise acquire for consideration shares of any stock ranking
junior (either as to dividends or upon liquidation, dissolution or winding up) to the Series B Preferred Stock, provided that the Corporation may at any time redeem, purchase or otherwise acquire shares of any such junior stock in exchange for
shares of any stock of the Corporation ranking junior (either as to dividends or upon dissolution, liquidation or winding up) to the Series B Preferred Stock; or 

(iv) redeem or purchase or otherwise acquire for consideration any shares of Series B Preferred Stock, or any shares of
stock ranking on a parity with the Series B Preferred Stock, except in accordance with a purchase offer made in writing or by publication (as determined by the Board of Directors) to all holders of such shares upon such terms as the Board of
Directors, after consideration of the respective annual dividend rates and other relative rights and preferences of the respective series and classes, shall determine in good faith will result in fair and equitable treatment among the respective
series or classes. 
 (B) The Corporation shall not permit any subsidiary of the Corporation to purchase or
otherwise acquire for consideration any shares of stock of the Corporation unless the Corporation could, under paragraph (A) of this Section 4, purchase or otherwise acquire such shares at such time and in such manner. 

Section 5. Reacquired Shares. Any shares of Series B Preferred Stock purchased or otherwise acquired by the Corporation in
any manner whatsoever shall be retired and cancelled promptly after the acquisition thereof. All such shares shall upon their cancellation become authorized but unissued shares of Preferred Stock and may be reissued as part of a new series of
Preferred Stock subject to the conditions and restrictions on issuance set forth herein, in the Certificate of Incorporation, or in any other Certificate of Designations creating a series of Preferred Stock or any similar stock or as otherwise
required by law. 
 Section 6. Liquidation, Dissolution or Winding Up. Upon any liquidation, dissolution or winding
up of the Corporation, no distribution shall be made (1) to the holders of shares of stock ranking junior (either as to dividends or upon liquidation, dissolution or winding 

  
 A-5

 
up) to the Series B Preferred Stock unless, prior thereto, the holders of shares of Series B Preferred Stock shall have received $1,000 per share, plus an amount equal to accrued and unpaid
dividends and distributions thereon, whether or not declared, to the date of such payment, provided that the holders of shares of Series B Preferred Stock shall be entitled to receive an aggregate amount per share, subject to the provision for
adjustment hereinafter set forth, equal to 1,000 times the aggregate amount to be distributed per share to holders of shares of Common Stock, or (2) to the holders of shares of stock ranking on a parity (either as to dividends or upon
liquidation, dissolution or winding up) with the Series B Preferred Stock, except distributions made ratably on the Series B Preferred Stock and all such parity stock in proportion to the total amounts to which the holders of all such shares are
entitled upon such liquidation, dissolution or winding up. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision or combination or consolidation of
the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the aggregate amount to which holders
of shares of Series B Preferred Stock were entitled immediately prior to such event under the proviso in clause (1) of the preceding sentence shall be adjusted by multiplying such amount by a fraction the numerator of which is the number of
shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 

Section 7. Consolidation, Merger, etc. In case the Corporation shall enter into any consolidation, merger, combination or
other transaction in which the shares of Common Stock are exchanged for or changed into other stock or securities, cash and/or any other property, 

  
 A-6

 
then in any such case each share of Series B Preferred Stock shall at the same time be similarly exchanged or changed into an amount per share, subject to the provision for adjustment hereinafter
set forth, equal to 1,000 times the aggregate amount of stock, securities, cash and/or any other property (payable in kind), as the case may be, into which or for which each share of Common Stock is changed or exchanged. In the event the Corporation
shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision or combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment
of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the amount set forth in the preceding sentence with respect to the exchange or change of shares of Series B Preferred Stock
shall be adjusted by multiplying such amount by a fraction, the numerator of which is the number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event. 
 Section 8. No Redemption. The shares of Series B Preferred Stock
shall not be redeemable. 
 Section 9. Rank. The Series B Preferred Stock shall rank, with respect to the payment of
dividends and the distribution of assets, junior to all series of any other class of the Corporation’s Preferred Stock. 

Section 10. Amendment. The Certificate of Incorporation of the Corporation shall not be amended in any manner which would
materially alter or change the powers, preferences or special rights of the Series B Preferred Stock so as to affect them adversely without the affirmative vote of the holders of at least two-thirds of the outstanding shares of Series B Preferred
Stock, voting together as a single class. 

  
 A-7

 IN WITNESS WHEREOF, this Certificate of Designations is executed on behalf of the
Corporation by its Chairman of the Board and attested by its Secretary this      day of             , 2011. 

 

	
	  

	
	Eli Ayalon, Chairman of the Board

  

	
	Attest:
	
	  

	
	Dror Levy, Secretary

  
 A-8

 Exhibit B 
 Form of Right Certificate 
  

					
	Certificate No. R-	 		 	__ Rights

 NOT EXERCISABLE AFTER JULY 25, 2012 OR EARLIER IF 

REDEMPTION OR EXCHANGE OCCURS. THE RIGHTS ARE SUB- 
 JECT TO REDEMPTION AT $0.001 PER RIGHT AND TO EXCHANGE 
 ON THE TERMS SET FORTH IN
THE AGREEMENT. 
 Right Certificate 
 DSP Group, Inc. 
 This certifies that
            , or registered assigns, is the registered owner of the number of Rights set forth above, each of which entitles the owner thereof, subject to the terms, provisions and
conditions of the Agreement, dated as of July 26, 2011 (the “Agreement”), between DSP Group, Inc., a Delaware corporation (the “Company”), and American Stock Transfer & Trust Company, LLC (the “Rights
Agent”), to purchase from the Company at any time after the Distribution Date (as such term is defined in the Agreement) and prior to 5:00 P.M., New York City time, on July 25, 2012 at the principal office of the Rights Agent, or at
the office of its successor as Rights Agent, one one-thousandth of a fully paid non-assessable share of Series B Junior Participating Preferred Stock, par value $0.001 per share, of the Company (the “Preferred Shares”), at a purchase price
of $45 per one one-thousandth of a Preferred Share (the “Purchase Price”), upon presentation and surrender of this Right Certificate with the Form of Election to Purchase duly executed. The number of Rights evidenced by this

  
 B-1

 
Right Certificate (and the number of one one-thousandths of a Preferred Share which may be purchased upon exercise hereof) set forth above, and the Purchase Price set forth above, are the number
and Purchase Price as of July 26, 2011, based on the Preferred Shares as constituted at such date. As provided in the Agreement, the Purchase Price and the number of one one-thousandths of a Preferred Share which may be purchased upon the
exercise of the Rights evidenced by this Right Certificate are subject to modification and adjustment upon the happening of certain events. 
 This Right Certificate is subject to all of the terms, provisions and conditions of the Agreement, which terms, provisions and conditions are hereby incorporated herein by reference and made a part hereof
and to which Agreement reference is hereby made for a full description of the rights, limitations of rights, obligations, duties and immunities hereunder of the Rights Agent, the Company and the holders of the Right Certificates. Copies of the
Agreement are on file at the principal executive offices of the Company and the offices of the Rights Agent. 
 This Right
Certificate, with or without other Right Certificates, upon surrender at the principal office of the Rights Agent, may be exchanged for another Right Certificate or Right Certificates of like tenor and date evidencing Rights entitling the holder to
purchase a like aggregate number of Preferred Shares as the Rights evidenced by the Right Certificate or Right Certificates surrendered shall have entitled such holder to purchase. If this Right Certificate shall be exercised in part, the holder
shall be entitled to receive upon surrender hereof another Right Certificate or Right Certificates for the number of whole Rights not exercised. 
 Subject to the provisions of the Agreement, the Rights evidenced by this Right Certificate (i) may be redeemed by the Company at a redemption price of $0.001 per Right or (ii) may be exchanged
in whole or in part for Preferred Shares or shares of the Company’s Common Stock, par value $0.001 per share. 

  
 B-2

 No fractional Preferred Shares will be issued upon the exercise of any Right or Rights
evidenced hereby (other than fractions which are integral multiples of one one-thousandth of a Preferred Share, which may, at the election of the Company, be evidenced by depositary receipts), but, in lieu thereof, a cash payment will be made, as
provided in the Agreement. 
 No holder of this Right Certificate shall be entitled to vote or receive dividends or be deemed
for any purpose the holder of the Preferred Shares or of any other securities of the Company which may at any time be issuable on the exercise hereof, nor shall anything contained in the Agreement or herein be construed to confer upon the holder
hereof, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action, or to
receive notice of meetings or other actions affecting stockholders (except as provided in the Agreement), or to receive dividends or subscription rights, or otherwise, until the Right or Rights evidenced by this Right Certificate shall have been
exercised as provided in the Agreement. 
 This Right Certificate shall not be valid or obligatory for any purpose until it
shall have been countersigned by the Rights Agent. 

  
 B-3

 WITNESS the facsimile signature of the proper officers of the Company and its corporate
seal. Dated as of             , 20    . 
  

									
	ATTEST:	 		  	DSP GROUP, INC.	  	
					
	  
	 		  	By	  	  
	  	
					
	Name:	 		  		  	Name:	  	
					
	Title:	 		  		  	Title:	  	
					
	Countersigned:	 		  		  		  	

  

			
	 AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC

		
	 By
	 	  

		
		 	 Name:

		
		 	 Title:

  
 B-4

 Form of Reverse Side of Right Certificate 

  
 B-5

 FORM OF ASSIGNMENT 

(To be executed by the registered holder if such 
 holder desires to transfer the Right Certificate.) 
 FOR VALUE RECEIVED
                     hereby sells, assigns and transfers unto
                                         
                            
  

 
 (Please print name and address of
transferee) 
  
  
 this Right Certificate, together with all right, title and interest therein, and does hereby irrevocably constitute and appoint
                     Attorney, to transfer the within Right Certificate on the books of the within-named Company, with full power of
substitution. 
 Dated:
                     
  

	
	  

	
	 Signature

 Signature Guaranteed: 

  
 B-6

 Signatures must be guaranteed by a member or participant in the Securities Transfer Agent
Medallion Program, the New York Stock Exchange Medallion Signature Program, or the Stock Exchange Medallion Program. 
 The
undersigned hereby certifies that the Rights evidenced by this Right Certificate are not Beneficially Owned by an Acquiring Person or an Affiliate or Associate thereof (as defined in the Agreement). 

 

	
	  

	
	 Signature

 Form of Reverse Side of Right Certificate – continued 

  
 B-7

 FORM OF ELECTION TO PURCHASE 

(To be executed if holder desires to exercise 
 Rights represented by the Right Certificate.) 
 To: DSP GROUP, INC. 

The undersigned hereby irrevocably elects to exercise
                     Rights represented by this Right Certificate to purchase the Preferred Shares issuable upon the exercise of such
Rights and requests that certificates for such Preferred Shares be issued in the name of: 
 Please insert social security 

or other identifying number 
  

 
 (Please print name and address)

  
  
 If such number of Rights shall not be all the Rights evidenced by this Right Certificate, a new Right Certificate for the balance remaining of such Rights shall be registered in the name of and delivered
to: 
 Please insert social security 

or other identifying number 
  

 

  
 B-8

 (Please print name and address) 

 
  
 Dated:                      

 

	
	  

	
	 Signature

 Signature Guaranteed: 
 Signatures must be guaranteed by a member or participant in the Securities Transfer Agent Medallion Program, the New York Stock Exchange Medallion Signature Program, or the Stock Exchange Medallion
Program. 
 The undersigned hereby certifies that the Rights evidenced by this Right Certificate are not Beneficially Owned by
an Acquiring Person or an Affiliate or Associate thereof (as defined in the Agreement). 
  

	
	  

	
	 Signature

  
 B-9

 NOTICE 
 The signature in the Form of Assignment or Form of Election to Purchase, as the case may be, must conform to the name as written upon the face of this Right Certificate in every particular, without
alteration or enlargement or any change whatsoever. 
 In the event the certification set forth above in the Form of Assignment
or the Form of Election to Purchase, as the case may be, is not completed, the Company and the Rights Agent will deem the Beneficial Owner of the Rights evidenced by this Right Certificate to be an Acquiring Person or an Affiliate or Associate
thereof (as defined in the Agreement) and such Assignment or Election to Purchase will not be honored. 

  
 B-10

 Exhibit C 
 SUMMARY OF RIGHTS TO PURCHASE 
 PREFERRED SHARES 

Introduction 
 On
July 26, 2011, the Board of Directors of our Company, DSP Group, Inc., a Delaware corporation, declared a dividend of one preferred share purchase right (a “Right”) for each outstanding share of common stock, par value $0.001 per
share. The dividend is payable on August 5, 2011 to the stockholders of record on August 5, 2011. 
 Our Board has
adopted this Rights Agreement to protect stockholders from coercive or otherwise unfair takeover tactics. In general terms, it works by imposing a significant penalty upon any person or group which acquires 10% or more of our outstanding common
stock without the approval of our Board. The Rights Agreement should not interfere with any merger or other business combination approved by our Board. 
 For those interested in the specific terms of the Rights Agreement as made between our Company and American Stock Transfer & Trust Company, LLC, as the Rights Agent, on July 26, 2011, we
provide the following summary description. Please note, however, that this description is only a summary, and is not complete, and should be read together with the entire Rights Agreement, which has been filed with the Securities and Exchange
Commission as an exhibit to a Registration Statement on Form 8-A dated July 26, 2011. A copy of the agreement is available free of charge from our Company. 
 The Rights. Our Board authorized the issuance of a Right with respect to each outstanding share of common stock on August 5, 2011. The Rights will initially trade with, and

 
will be inseparable from, the common stock. The Rights are evidenced only by certificates that represent shares of common stock. New Rights will accompany any new shares of common stock we issue
after August 5, 2011 until the Distribution Date described below. 
 Exercise Price. Each Right will allow its
holder to purchase from our Company one one-thousandth of a share of Series B Junior Participating Preferred Stock (“Preferred Share”) for $45, once the Rights become exercisable. This portion of a Preferred Share will give the stockholder
approximately the same dividend, voting, and liquidation rights as would one share of common stock. Prior to exercise, the Right does not give its holder any dividend, voting, or liquidation rights. 

Exercisability. The Rights will not be exercisable until 10 days after the public announcement that a person or group has become
an “Acquiring Person” by obtaining beneficial ownership of 10% or more of our outstanding common stock. 
 Certain
synthetic interests in securities created by derivative positions — whether or not such interests are considered to be ownership of the underlying common stock or are reportable for purposes of Regulation 13D of the Securities Exchange Act
— are treated as beneficial ownership of the number of shares of the company’s common stock equivalent to the economic exposure created by the derivative position, to the extent actual shares of the company’s common stock are directly
or indirectly held by counterparties to the derivatives contracts. Swaps dealers unassociated with any control intent or intent to evade the purposes of the Rights Plan are excepted from such imputed beneficial ownership. 

  
 C-2

 We refer to the date when the Rights become exercisable as the “Distribution
Date.” Until that date, the common stock certificates will also evidence the Rights, and any transfer of shares of common stock will constitute a transfer of Rights. After that date, the Rights will separate from the common stock and be
evidenced by book-entry credits or by Rights certificates that we will mail to all eligible holders of common stock. Any Rights held by an Acquiring Person are void and may not be exercised. 
 Consequences of a Person or Group Becoming an Acquiring Person. 
  

	•	 	 Flip In. If a person or group becomes an Acquiring Person, all holders of Rights except the Acquiring Person may, for $45, purchase shares of
our common stock with a market value of $90, based on the market price of the common stock prior to such acquisition. 

  

	•	 	 Flip Over. If our Company is later acquired in a merger or similar transaction after the Rights Distribution Date, all holders of Rights except
the Acquiring Person may, for $45, purchase shares of the acquiring corporation with a market value of $90 based on the market price of the acquiring corporation’s stock, prior to such merger. 

 

	•	 	 Notional Shares. Shares held by Affiliates and Associates of an Acquiring Person, and Notional Shares held by counterparties to a Derivatives
Contract with an Acquiring Person, will be deemed to be beneficially owned by the Acquiring Person. 

 Preferred Share
Provisions. 
 Each one one-thousandth of a Preferred Share, if issued: 

 

	•	 	 will not be redeemable. 

  

	•	 	 will entitle holders to quarterly dividend payments of $0.001 per share, or an amount equal to the dividend paid on one share of common stock,
whichever is greater. 

  

	•	 	 will entitle holders upon liquidation either to receive $1 per share or an amount equal to the payment made on one share of common stock, whichever is
greater. 

  

	•	 	 will have the same voting power as one share of common stock. 

 

	•	 	 if shares of our common stock are exchanged via merger, consolidation, or a similar transaction, will entitle holders to a per share payment equal to
the payment made on one share of common stock. 

 The value of one one-thousandth interest in a Preferred Share should
approximate the value of one share of common stock. 
 Expiration. The Rights will expire on July 25, 2012.

  
 C-3

 Redemption. Our Board may redeem the Rights for $0.001 per Right at any time before
any person or group becomes an Acquiring Person. If our Board redeems any Rights, it must redeem all of the Rights. Once the Rights are redeemed, the only right of the holders of Rights will be to receive the redemption price of $0.001 per Right.
The redemption price will be adjusted if we have a stock split or stock dividends of our common stock. 
 Exchange. After
a person or group becomes an Acquiring Person, but before an Acquiring Person owns 50% or more of our outstanding common stock, our Board may extinguish the Rights by exchanging one share of common stock or an equivalent security for each Right,
other than Rights held by the Acquiring Person. 
 Anti-Dilution Provisions. Our Board may adjust the purchase price of
the Preferred Shares, the number of Preferred Shares issuable and the number of outstanding Rights to prevent dilution that may occur from a stock dividend, a stock split, a reclassification of the Preferred Shares or common stock. No adjustments to
the Exercise Price of less than 1% will be made. 
 Amendments. The terms of the Rights Agreement may be amended by our
Board without the consent of the holders of the Rights. After a person or group becomes an Acquiring Person, our Board may not amend the agreement in a way that adversely affects holders of the Rights. 

  
 C-4

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