Document:

EX-10.28

 IMAX CORPORATION 

Exhibit 10.28 
 Published CUSIP Number: C4548VAA7 
 Revolving Loan CUSIP Number: C4548VAB5

 Term Loan CUSIP Number: C4548VAC3 
 THIRD AMENDED AND RESTATED CREDIT AGREEMENT 
 by and between 

IMAX CORPORATION 
 as Borrower 
 - and - 

THE GUARANTORS REFERRED TO HEREIN 
 as Guarantors 
 - and - 

THE LENDERS REFERRED TO HEREIN 
 as Lenders 
 - and - 

WELLS FARGO BANK, NATIONAL ASSOCIATION 
 as Agent and Issuing Lender 
 - and - 

WELLS FARGO SECURITIES, LLC, 
 as Sole Lead Arranger and Sole Bookrunner 
 Dated: February 7, 2013 

 TABLE OF CONTENTS 

 

					
	 ARTICLE 1 DEFINITIONS
	  	 	2	  
		
	 ARTICLE 2 CREDIT FACILITIES
	  	 	20	  
		
	 2.1        Revolving Loans
	  	 	20	  
	 2.2        Letter of Credit Accommodations
	  	 	21	  
	 2.3        Term Loans
	  	 	23	  
	 2.4        Prepayments of Loans/Cancellation of Unused Revolving Loan
Commitments
	  	 	24	  
	 2.5        Hedge Transactions
	  	 	26	  
		
	 ARTICLE 3 INTEREST, INCREASED COSTS AND FEES
	  	 	26	  
		
	 3.1        Interest
	  	 	26	  
	 3.2        Increased Costs and Changes in Law
	  	 	29	  
	 3.3        Commitment Fee
	  	 	33	  
		
	 ARTICLE 4 CONDITIONS PRECEDENT
	  	 	33	  
		
	 4.1        Conditions Precedent to the Availability of Loans and Letter of Credit
Accommodations
	  	 	33	  
	 4.2        Conditions Precedent to the Availability of All Loans and Letter of Credit
Accommodations
	  	 	34	  
		
	 ARTICLE 5 COLLECTION AND ADMINISTRATION
	  	 	35	  
		
	 5.1        Borrower’s Loan Account
	  	 	35	  
	 5.2        Statements
	  	 	35	  
	 5.3        Payments
	  	 	35	  
	 5.4        Authorization to Make Loans and Letter of Credit
Accommodations
	  	 	36	  
	 5.5        Use of Proceeds
	  	 	37	  
	 5.6        Pro Rata Treatment
	  	 	37	  
	 5.7        Obligations Several; Independent Nature of Lenders’
Rights
	  	 	37	  
		
	 ARTICLE 6 REPRESENTATIONS AND WARRANTIES
	  	 	37	  
		
	 6.1        Corporate Existence, Power and Authority; Subsidiaries;
Solvency
	  	 	38	  
	 6.2        Financial Statements; No Material Adverse Change
	  	 	38	  
	 6.3        Chief Executive Office; Collateral Locations
	  	 	38	  
	 6.4        Priority of Liens; Title to Properties; Intellectual Property
Matters
	  	 	38	  
	 6.5        Tax Returns
	  	 	39	  
	 6.6        Litigation
	  	 	39	  
	 6.7        Compliance with Other Agreements and Applicable Laws;
Approvals
	  	 	39	  
	 6.8        Bank Accounts
	  	 	40	  
	 6.9        Accuracy and Completeness of Information, Significant
Contracts
	  	 	40	  
	 6.10      Status of Pension Plans and ERISA
	  	 	41	  
	 6.11      Environmental Compliance
	  	 	42	  
	 6.12      Survival of Warranties; Cumulative
	  	 	43	  
	 6.13      U.S. Legislation
	  	 	43	  
	 6.14      Material Operating Subsidiaries
	  	 	45	  

					
	 6.15      Employee Relations
	  	 	45	  
	 6.16      Burdensome Provisions
	  	 	45	  
	 6.17      Absence of Defaults
	  	 	45	  
	 6.18      Senior Indebtedness Status
	  	 	45	  
		
	 ARTICLE 7 AFFIRMATIVE COVENANTS
	  	 	45	  
		
	 7.1        Maintenance of Existence
	  	 	45	  
	 7.2        New Collateral Locations
	  	 	46	  
	 7.3        Compliance with Laws, Regulations, Etc.
	  	 	46	  
	 7.4        Payment of Taxes and Claims
	  	 	47	  
	 7.5        Insurance
	  	 	49	  
	 7.6        Financial Statements and Other Information
	  	 	50	  
	 7.7        Intellectual Property
	  	 	52	  
	 7.8        Operation of Pension Plans
	  	 	52	  
	 7.9        ERISA
	  	 	53	  
	 7.10      IP Collateral
	  	 	53	  
	 7.11      Visits and Inspections
	  	 	55	  
	 7.12      Material Subsidiaries and Key Man Insurance
	  	 	56	  
	 7.13      Grant of Equitable Mortgage by IMAX Barbados
	  	 	57	  
		
	 ARTICLE 8 NEGATIVE COVENANTS
	  	 	57	  
		
	 8.1        Sale of Assets, Consolidation, Amalgamation, Dissolution, Etc.
	  	 	57	  
	 8.2        Liens
	  	 	58	  
	 8.3        Indebtedness
	  	 	60	  
	 8.4        Loans, Investments, Guarantees, Etc.
	  	 	62	  
	 8.5        Dividends and Redemptions
	  	 	64	  
	 8.6        Transactions with Affiliates
	  	 	65	  
	 8.7        Applications under the CCAA
	  	 	65	  
	 8.8        Supplemental Executive Retirement Plan
	  	 	65	  
	 8.9        No Material Changes
	  	 	65	  
	 8.10      No Further Negative Pledges; Restrictive Agreements
	  	 	66	  
		
	 ARTICLE 9 FINANCIAL COVENANTS
	  	 	67	  
		
	 9.1        Fixed Charge Coverage Ratio
	  	 	67	  
	 9.2        Minimum EBITDA
	  	 	67	  
	 9.3        Maximum Total Leverage Ratio
	  	 	67	  
		
	 ARTICLE 10 EVENTS OF DEFAULT AND REMEDIES
	  	 	68	  
		
	 10.1      Events of Default
	  	 	68	  
	 10.2      Remedies
	  	 	71	  
		
	 ARTICLE 11 ASSIGNMENT AND PARTICIPATIONS: APPOINTMENT OF AGENT
	  	 	76	  
		
	 11.1      Assignment and Participations
	  	 	76	  
	 11.2      Appointment of Agent
	  	 	78	  
	 11.3      Agent’s Reliance, Etc.
	  	 	79	  
	 11.4      Agent and Affiliates
	  	 	79	  

  
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	 11.5      Lender Credit Decision
	  	 	80	  
	 11.6      Indemnification
	  	 	80	  
	 11.7      Failure to Act
	  	 	80	  
	 11.8      Concerning the Collateral and the Related Financing Agreements
	  	 	80	  
	 11.9      Reports and other Information; Disclaimer by Lenders
	  	 	81	  
	 11.10    Collateral Matters
	  	 	81	  
	 11.11    Successor Agent
	  	 	82	  
	 11.12    Setoff and Sharing of Payments
	  	 	83	  
	 11.13    Advances; Payments; Non-Funding Lenders; Information; Actions in Concert
	  	 	83	  
	 11.14    Approval of Lenders and Agent
	  	 	86	  
		
	 ARTICLE 12 JURY TRIAL WAIVER; OTHER WAIVERS AND CONSENTS; GOVERNING LAW
	  	 	87	  
		
	 12.1      Governing Law; Choice of Forum; Service of Process; Jury Trial Waiver
	  	 	87	  
	 12.2      Waiver of Notices
	  	 	89	  
	 12.3      Amendments and Waivers
	  	 	89	  
	 12.4      Waiver of Counterclaim
	  	 	89	  
	 12.5      Indemnification
	  	 	90	  
	 12.6      Costs and Expenses
	  	 	90	  
	 12.7      Further Assurances
	  	 	91	  
		
	 ARTICLE 13 TERM OF AGREEMENT; MISCELLANEOUS
	  	 	91	  
		
	 13.1      Term
	  	 	91	  
	 13.2      Notice
	  	 	92	  
	 13.3      Partial Invalidity
	  	 	92	  
	 13.4      Successors
	  	 	92	  
	 13.5      Entire Agreement
	  	 	92	  
	 13.6      Headings
	  	 	92	  
	 13.7      Judgment Currency
	  	 	93	  
	 13.8      Counterparts and Facsimile
	  	 	93	  
	 13.9      Patriot Act Notice
	  	 	93	  
		
	 ARTICLE 14 ACKNOWLEDGMENT AND RESTATEMENT
	  	 	93	  
		
	 14.1      Existing Obligations
	  	 	93	  
	 14.2      Acknowledgment of Security Interests
	  	 	94	  
	 14.3      Second Amended and Restated Credit Agreement
	  	 	94	  
	 14.4      Restatement
	  	 	94	  

  
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 INDEX TO 
 EXHIBITS AND SCHEDULES 
  

			
	 Exhibit A
	  	Assignment and Assumption Agreement
	 Exhibit B
	  	Form of Compliance Certificate
	 Exhibit C
	  	Information Certificates
	 Exhibit D
	  	Form of Notice of Borrowing
	 Exhibit E
	  	Form of Notice of Conversion/Continuation
	 Exhibit F
	  	Form of Notice of Prepayment
	 Exhibit G
	  	Revolving Loan Commitments
	 Exhibit H
	  	Closing Agenda
	 Schedule 6.1
	  	Corporate Structure Chart
	 Schedule 6.9
	  	Restrictions on Assignability in Significant Contracts
	 Schedule 8.2
	  	Existing Liens
	 Schedule 8.3
	  	Existing Indebtedness
	 Schedule 8.4A
	  	Guarantees
	 Schedule 8.4B
	  	Existing Loans, Advances and Guarantees

  
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 THIRD AMENDED AND RESTATED CREDIT AGREEMENT 

This Third Amended and Restated Credit Agreement dated February 7, 2013 is entered into by and between IMAX Corporation, a corporation incorporated
pursuant to the laws of Canada, as Borrower, the guarantors who are a party to this Agreement and who may become a party hereto pursuant to the terms hereof, as Guarantors, the lenders who are a party to this Agreement and who may become a party
hereto pursuant to the terms hereof, as Lenders, and Wells Fargo Bank, National Association, a national banking association, as Agent for the Secured Parties. 
 W I T N E S S E T H: 
 WHEREAS Borrower and Congress Financial Corporation (Canada)
(“Original Lender”) entered into a loan agreement dated February 6, 2004 which was amended pursuant to: 
  

	 	(a)	a first amendment to the Loan Agreement dated June 30, 2005; 

  

	 	(b)	a second amendment to the Loan Agreement dated May 16, 2006; 

  

	 	(c)	a second amendment to the Loan Agreement dated May 16, 2006 (which amended, restated and replaced in its entirety the second amendment to the Loan Agreement
referred to in clause (b) above); 

  

	 	(d)	a third amendment to the Loan Agreement dated September 30, 2007; 

  

	 	(e)	a fourth amendment to the Loan Agreement dated December 5, 2007; and 

  

	 	(f)	a fifth amendment to the Loan Agreement dated May 5, 2008, 

 (collectively, the “Original Loan Agreement”); 
 WHEREAS Wachovia Capital
Finance Corporation (Canada) (formerly known as Congress Financial Corporation (Canada)) as agent (the “Original Agent”) and lender, Borrower and Export Development Canada (“EDC”), as lender, amended and restated
the Original Loan Agreement pursuant to an amended and restated credit agreement dated November 16, 2009 as amended by a first amendment to the amended and restated credit agreement dated January 21, 2011 (as amended, modified,
supplemented, extended, renewed, restated or replaced from time to time, the “First Amended and Restated Credit Agreement”); 

WHEREAS Wells Fargo Capital Finance Corporation Canada (formerly known as Wachovia Capital Finance Corporation (Canada)), as Original Agent and
lender, Borrower and EDC, as lender, amended and restated the First Amended and Restated Credit Agreement pursuant to a second amended and restated credit agreement dated June 2, 2011 (as amended, modified, supplemented, extended, renewed,
restated or replaced from time to time, the “Second Amended and Restated Credit Agreement”); 
 WHEREAS Agent (as
successor agent to the Original Agent), Borrower and Lenders desire to amend and restate the Second Amended and Restated Credit Agreement as set forth herein; and 

 WHEREAS each Lender is willing to (severally and not jointly) make loans and provide such financial
accommodations to Borrower on a pro rata basis according to their Revolving Loan Commitment to Borrower on the terms and conditions set forth herein and Agent is willing to act as agent for Secured Parties on the terms and conditions set
forth herein and the other Financing Agreements; 
 NOW, THEREFORE, in consideration of the mutual conditions and agreements set forth
herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 
 ARTICLE 1 
 DEFINITIONS 

All terms used herein which are defined in the PPSA (as defined below) shall have the meanings given therein unless otherwise defined in this Agreement.
All references to the plural herein shall also mean the singular and to the singular shall also mean the plural unless the context otherwise requires. All references to Borrower, Credit Parties, Guarantors, Lenders, Issuing Lender and Agent pursuant
to the definitions set forth in the recitals hereto, or to any other person herein, shall include their respective successors and assigns. The words “hereof”, “herein”, “hereunder”, “this
Agreement” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not any particular provision of this Agreement and as this Agreement now exists or may hereafter be amended, modified,
supplemented, extended, renewed, restated or replaced. The word “including” when used in this Agreement shall mean “including, without limitation”. References herein to any statute or any provision thereof include
such statute or provision as amended, revised, re-enacted, and/or consolidated from time to time and any successor statute thereto. An Event of Default shall exist or continue or be continuing until such Event of Default is waived in accordance with
Section 12.3 or, without derogating from the cure rights, if any, provided to Credit Parties in Article 10 hereof, is cured in a manner satisfactory to Agent, if such Event of Default is capable of being cured as determined by
Agent. Any accounting term used herein unless otherwise defined in this Agreement shall have the meanings customarily given to such term in accordance with GAAP. If, after the Closing Date, there shall be any change in the application of the
accounting principles used in preparation of Borrower’s financial statements as a result of any changes in GAAP including International Financial Reporting Standards becoming applicable to Borrower, which changes (a) result in a change in
the method of calculation of, or (b) impact on, financial covenants or other covenants applicable to Borrower found in this Agreement or the other Financing Agreements, Borrower and Agent shall promptly enter into negotiations in good faith in
order to amend such financial covenants or other covenants so as to reflect equitably such changes with the desired result that the evaluations of Borrower’s financial condition shall be the same after such changes as if such changes had not
been made. Canadian Dollars and the sign “CDN$” mean lawful money of Canada. “US Dollars” and the sign “$” mean lawful money of the United States of America. All monetary amounts referred to in this
Agreement are in US Dollars unless otherwise stated. For purposes of this Agreement, the following terms shall have the respective meanings given to them below: 

  
 -2-

 “Accounts” means all present and future rights of any Credit Party to payment for goods
sold or leased or for services rendered, which are not evidenced by instruments or chattel paper, and whether or not earned by performance. 
 “Adjusted Euro Dollar Rate” means, with respect to each Interest Period for any Euro Dollar Rate Loan, the rate per annum (rounded upwards, if necessary, to the next 1/16th of 1%) determined by dividing: 

 

	 	(a)	the Euro Dollar Rate for such Interest Period by: 

  

	 	(b)	a percentage equal to: 

  

	 	(i)	one (1) minus 

  

	 	(ii)	the Reserve Percentage. 

 For purposes hereof,
“Reserve Percentage” shall mean the reserve percentage, expressed as a decimal, prescribed by any United States or foreign banking authority for determining the reserve requirement which is or would be applicable to deposits of US
Dollars in a non-United States or an international banking office of the US Reference Bank used to fund a Euro Dollar Rate Loan or any Euro Dollar Rate Loan made with the proceeds of such deposit, whether or not US Reference Bank actually holds or
has made any such deposits or loans. The Adjusted Euro Dollar Rate shall be adjusted on and as of the effective day of any change in the Reserve Percentage. 
 “Affiliate” or “affiliate” shall have the meaning ascribed thereto in the Business Corporations Act (Canada). 

“Agent” means Wells Fargo, in its capacity as administrative and collateral agent hereunder, and any successor thereto appointed
pursuant to Section 11.11. 
 “Agreed Currency” shall have the meaning set forth in Section 13.7
hereof. 
 “Aggregate Amount” shall have the meaning set forth in Section 2.3(a) hereof. 

“Applicable Margin” means the corresponding percentages per annum as set forth below based on the Total Leverage Ratio:

  
 -3-

											
	 Pricing
 Level
	  	 Total Leverage Ratio
	  	Applicable Margin for
Eurodollar Rate Loans
and Letter of
Credit
Accommodations	 	 	Applicable Margin for
Commitment Fees	 
	 I
	  	Less than 1.00:1.00	  	 	1.50	% 	 	 	0.25	% 
	 II
	  	Greater than or equal to 1.00:1.00 but less than 2.00:1.00	  	 	1.75	% 	 	 	0.375	% 
	 III
	  	Greater than or equal to 2.00:1.00	  	 	2.00	% 	 	 	0.50	% 

 The Applicable Margin shall be determined and adjusted quarterly on the date (each an “AM Calculation
Date”) 10 Business Days after the day by which Borrower is required to provide a Compliance Certificate pursuant to Section 7.6(a) for the most recently ended Fiscal Quarter; provided that (a) the Applicable
Margin shall be based on Pricing Level I until the first AM Calculation Date occurring after the Closing Date and, thereafter the Pricing Level shall be determined by reference to the Total Leverage Ratio as of the last day of the most recently
ended Fiscal Quarter preceding the applicable AM Calculation Date, and (b) if Borrower fails to provide the Compliance Certificate as required by Section 7.6(a) for the most recently ended Fiscal Quarter preceding the applicable AM
Calculation Date, the Applicable Margin from such AM Calculation Date shall be based on Pricing Level III until such time as an appropriate Compliance Certificate is provided, at which time the Pricing Level shall be determined by reference to the
Total Leverage Ratio as of the last day of the most recently ended Fiscal Quarter preceding such AM Calculation Date. The Applicable Margin shall be effective from one AM Calculation Date until the next AM Calculation Date. Any adjustment in the
Applicable Margin shall be applicable to all Loans or Letter of Credit Accommodations then existing or subsequently made or issued. 

Notwithstanding the foregoing, in the event that any financial statement or Compliance Certificate delivered pursuant to Section 7.6(a) is
shown to be inaccurate (regardless of whether (i) this Agreement is in effect, (ii) the Revolving Loan Commitment is in effect, or (iii) any Loan or Letter of Credit Accommodation is outstanding when such inaccuracy is discovered or
such financial statement or Compliance Certificate was delivered), and such inaccuracy, if corrected, would have led to the application of a higher Applicable Margin for any period (an “Applicable Period”) than the Applicable Margin
applied for such Applicable Period, then (A) Borrower shall immediately deliver to Agent a corrected Compliance Certificate for such Applicable Period, (B) the Applicable Margin for such Applicable Period shall be determined as if the
Total Leverage Ratio in the corrected Compliance Certificate were applicable for such Applicable Period, and (C) Borrower shall immediately and retroactively be obligated to pay to Agent the accrued additional interest and fees owing as a
result of such increased Applicable Margin for such Applicable Period, which payment shall be promptly applied by Agent in accordance with Section 5.3. Borrower’s obligations under this paragraph shall survive the termination of the
Revolving Loan Commitments and the repayment of all other Obligations hereunder. 
 “Arranger” means Wells Fargo Securities,
LLC, in its role hereunder as sole lead arranger and sole bookrunner. 

  
 -4-

 “Asset Disposition” means (a) the disposition of any or all of the assets of any
Credit Party thereof whether by sale, lease, transfer or otherwise and (b) any issuance of Capital Stock by any Subsidiary of Borrower to any Person that is not a Credit Party or any Subsidiary thereof. 

“Assignment and Assumption Agreement” means an assignment and assumption agreement entered into by a Lender and an assignee (with the
consent of any party whose consent is required by Section 11.1), and accepted by Agent, in substantially the form attached hereto as Exhibit A or any other form approved by Agent. 

“BIA” means the Bankruptcy and Insolvency Act (Canada). 
 “BMO” means Bank of Montreal. 
 “BMO Term Sheet” means the term
sheet dated January 4, 2013 between Borrower and BMO with respect to the issuance of: 
  

	 	(a)	a $10,000,000 Demand, Revolving Letter of Credit Facility by BMO in favour of Borrower (the “BMO LC Facility”); 

 

	 	(b)	a CDN$175,000 Mastercard Businesscard Facility by BMO in favour of Borrower (the “Mastercard Facility”); and 

 

	 	(c)	a $4,000,000 Directline for Business – Foreign Exchange Settlement Facility by BMO in favour of Borrower (the “F/X Facility”).

 “Borrower” means IMAX Corporation, a corporation incorporated pursuant to the laws of Canada. 

“Business Day” means a day (other than a Saturday, Sunday or statutory holiday in Ontario or New York) on which Agent’s Toronto
office and banks in New York City are open for business in the normal course. 
 “Calculation Date” shall have the meaning set
forth in Section 2.3(a) hereof. 
 “Capital Expenditures” means, with respect to Borrower and its Subsidiaries,
capital expenditures as determined in accordance with GAAP, excluding capital expenditures made with respect to (a) the land and construction costs of the Santa Monica Facility and (b) Borrower’s, IMAX China Multimedia’s and IMAX
China Theatre’s operations in China funded by the proceeds of the IMAX China Capital Raise in Section 8.3(k)(iii) such capital expenditure exclusion amount in this clause (b) not to exceed $40,000,000. 

“Capital Lease Obligations” means all monetary obligations of Borrower and its Subsidiaries under a capital lease and, for the purposes
of this Agreement, the amount of such obligations shall be the capitalized amount thereof determined in accordance with GAAP. 

“Capital Stock” means (a) in the case of a corporation or company, capital stock or shares (b) in the case of an association
or business entity, any and all shares, interests, participations, rights or other equivalents (however designated) of capital stock, (c) in the case of a partnership, 

  
 -5-

 
partnership interests (whether general or limited), (d) in the case of a limited liability company, membership interests, (e) any other interest or participation that confers on a
Person the right to receive a share of the profits and losses of, or distributions of assets of, the issuing Person and (f) any and all warrants, rights or options to purchase any of the foregoing. 

“Cash Compensation” means cash compensation to senior management and directors of Credit Parties and any Subsidiary thereof (including
payments made pursuant to the USERP) not captured under GAAP in their respective income statements but captured under GAAP in their respective cash flow statements. 
 “Cash Equivalents” means (a) marketable direct obligations issued or unconditionally guaranteed by the Canadian or U.S. federal government and backed by the full faith and credit of
such government, as applicable; (b) domestic and euro dollar certificates of deposit and time deposits, bankers’ acceptances and floating rate certificates of deposit issued by any commercial bank organized under the laws of Canada or the
United States, any province or state thereof, any foreign bank, or its branches or agencies, the long-term indebtedness of which institution at the time of acquisition is rated A—(or better) by Standard & Poor’s Rating Services
(“S&P”) or A3 (or better) by Moody’s Investors Service, Inc. (“Moody’s”), and which deposits are fully protected against currency fluctuations for any such deposits with a term of more than 90 days;
(c) shares of money market, mutual or similar funds having assets in excess of $100,000,000 and the investments of which are limited to (i) investment grade securities (i.e., securities rated at least BBB by S&P or rated at least Baa
by Moody’s) and (ii) commercial paper of Canadian, U.S. and foreign banks and bank holding companies and their subsidiaries and Canadian, U.S. and foreign finance, commercial industrial or utility companies which, at the time of
acquisition, are rated A-1 (or better) by S&P or P-1 (or better) by Moody’s (all such institutions being, “Qualified Institutions”); (d) commercial paper of Qualified Institutions; and (e) auction rate securities
(long-term, variable rate bonds tied to short-term interest rates) that are rated AAA by S&P and Aaa by Moody’s; provided that the maturities of such Cash Equivalents shall not exceed 365 days from the date of acquisition.

 “Cash Management Agreement” means any agreement to provide cash management services, including treasury, depository,
overdraft, credit or debit card, electronic funds transfer and other cash management arrangements. 
 “Cash Management Bank”
means any Person that, at the time it enters into a Cash Management Agreement, is a Lender, an Affiliate of a Lender, Agent or an Affiliate of Agent, in its capacity as a party to such Cash Management Agreement. 

“CCAA” means the Companies’ Creditors Arrangement Act (Canada). 
 “CCAA Plan” shall have the meaning set forth in Section 8.7 hereof. 

“Closing Date” means February 7, 2013. 
 “Code” means the United States Internal Revenue Code of 1986, as amended from time to time, and the rules and regulations promulgated thereunder from time to time. 

  
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 “Collateral” means, collectively, all of the undertaking, property and assets, real or
personal, tangible or intangible, now existing or hereafter acquired by any Credit Party that may at any time be or become subject to a Lien in favour of Agent to secure any or all of the Obligations; provided that, for greater
certainty, any and all assets of IMAX China Multimedia and IMAC China Theatre shall be excluded from, and not form part of, the Collateral. 

“Compliance Certificate” means the compliance certificate substantially in the form attached hereto as Exhibit B. 

“Credit Parties” means, collectively, Borrower and Guarantors. 
 “Default” means an event, circumstance or omission which, with any of the giving of notice or a lapse of time or both would constitute an Event of Default. 

“EBITDA” means, for any period with respect to Borrower, an amount equal to the consolidated net income or net loss before interest,
taxes, depreciation, amortization and any other non-cash and non-operating charges or other impairments as approved by Agent. For purposes of calculating compliance with the financial covenants in Sections 9.1, 9.2 and 9.3
hereof, EBITDA shall be calculated without taking into account any contribution to consolidated net income or net loss with respect to (i) any Future Permitted Transaction and (ii) non-cash equity income or loss from joint ventures.

 “EDC Indemnity Agreement” means the indemnity agreement dated May 3, 2010 given by Borrower in favour of EDC.

 “Eligible Transferee” means 
  

	 	(a)	any Lender; 

  

	 	(b)	the parent company of any Lender and/or any Affiliate of such Lender; 

  

	 	(c)	any Person that is engaged in the business of making, purchasing, holding or otherwise investing in commercial loans and similar extensions of credit in the ordinary
course of its business and is administered or managed by a Lender or with respect to any Lender that is a fund which invests in commercial loans and similar extensions of credit, any other fund that invests in commercial loans and similar extensions
of credit and is managed by the same investment advisor as such Lender or by an Affiliate of such investment advisor; and 

  

	 	(d)	any other commercial bank, financial institution or “accredited investor” (as defined under Ontario Securities Commission Rule 45-106) approved by
Agent and, unless an Event of Default has occurred and is continuing, Borrower (each such approval not to be unreasonably withheld or delayed), 

 provided, however, that, 
  

	 	(i)	neither Borrower nor any Affiliate of Borrower; 

  
 -7-

	 	(ii)	nor any Person to whom any indebtedness (other than the Obligations) is owed by any Credit Party; 

 

	 	(iii)	nor any natural person; 

  

	 	(iv)	nor any Person that is a competitor of Borrower, 

in each case of the foregoing clauses (i), (ii) and (iii), and (iv), shall qualify as an Eligible Transferee (each, a
“Prohibited Transferee”). 
 “Environmental Laws” means with respect to any Person all federal (United States
of America and Canada), state, provincial, district, local, municipal and foreign laws, statutes, rules, regulations, ordinances, orders, directives, permits, licenses and consent decrees relating to health, safety, hazardous, dangerous or toxic
substances, waste or material, pollution and environmental matters, as now or at any time hereafter in effect, applicable to such Person and/or its business and facilities (whether or not owned by it), including laws relating to emissions,
discharges, releases or threatened releases of pollutants, contamination, chemicals, or hazardous, toxic or dangerous substances, materials or wastes into the environment (including, ambient air, surface water, ground water, land surface or
subsurface strata) or otherwise relating to the generation, manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of pollutants, contaminants, chemicals, or hazardous, toxic or dangerous substances,
materials or wastes. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, together with all rules,
regulations and interpretations thereunder or related thereto. 
 “ERISA Affiliate” means any person required to be aggregated
with any Credit Party or any of its Subsidiaries under Sections 414(b), 414(c), 414(m) or 414(o) of the Code. 

“ERISA Event” means 
  

	 	(a)	any “reportable event” as defined in Section 4043(c) of ERISA or the regulations issued thereunder, with respect to a US Pension Plan,
other than events as to which the requirement of notice has been waived in regulations by the Pension Benefit Guaranty Corporation; 

  

	 	(b)	the adoption of any amendment to a US Pension Plan that would require the provision of security pursuant to Section 401(a)(29) of the Code or
Section 307 of ERISA; 

  

	 	(c)	a complete or partial withdrawal by any Credit Party or any ERISA Affiliate from a Multiemployer Plan or a cessation of operations which is treated as such a withdrawal
or notification that a Multiemployer Plan is in reorganization; 

  

	 	(d)	the filing of a notice of intent to terminate a US Pension Plan under Section 4041 or 4041A of ERISA, or the commencement of proceedings by the
Pension Benefit Guaranty Corporation to terminate a US Pension Plan; 

  
 -8-

	 	(e)	an event or condition which would reasonably be expected to constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a
trustee to administer, any Plan; 

  

	 	(f)	the imposition of any liability under Title IV of ERISA, other than the Pension Benefit Guaranty Corporation premiums due but not delinquent under
Section 4007 of ERISA, upon any Credit Party or any ERISA Affiliate in excess of $500,000; and 

  

	 	(g)	any other event or condition with respect to any US Pension Plan subject to Title IV of ERISA maintained, or contributed to, by any ERISA Affiliate that
could reasonably be expected to result in liability of any Credit Party in excess of $500,000. 

“Euro Dollar Rate” means the rate of interest, based on a 360 day year, appearing on Reuters Screen LIBOR01 Page
(or on any successor or substitute page of such service or any successor to or substitute for such service as determined by Agent) as the London interbank offered rate for deposits in US Dollars for a term comparable to the applicable Interest
Period as selected by Borrower (but if more than one rate is specified on such page, the rate will be an arithmetic average of all such rates rounded upwards, in Agent’s discretion, to the nearest 1/100th of one 1%) on or about 9:00 a.m. New York time 3 Business Days prior
to the commencement of such Interest Period. 
 “Euro Dollar Rate Loans” means any Loans or portion thereof denominated in US
Dollars and on which interest is payable based on the Adjusted Euro Dollar Rate in accordance with the terms hereof. 
 “Event of
Default” shall have the meaning set forth in Section 10.1 hereof. 
 “Fee Letter” means the separate fee
letter agreement dated December 10, 2012 among Borrower, Agent and Arranger. 
 “Film Fund Subsidiary” means any special
purpose vehicle Subsidiary of Borrower (other than a Credit Party) that Borrower establishes for the purpose of producing, marketing and owning new IMAX documentaries and films. 
 “Financing Agreements” means, collectively, this Agreement, the Original Loan Agreement, the First Amended and Restated Credit Agreement, the Second Amended and Restated Credit Agreement,
the Fee Letter and all notes, guarantees, security agreements and other agreements, documents and instruments previously, now or at any time hereafter executed and/or delivered by any Credit Party in connection with this Agreement, the Original Loan
Agreement, the First Amended and Restated Credit Agreement and the Second Amended and Restated Credit Agreement, in each case, as the same now exist or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced, but
excluding any Secured Hedge Agreement and Secured Cash Management Agreement. 
 “Financing Receivables” means financing
receivables determined in accordance with GAAP and presented on the consolidated balance sheet of Borrower. 

  
 -9-

 “Fiscal Quarter” means each of the following 3 month periods in any Fiscal Year of
Borrower: January 1 to March 31, April 1 to June 30, July 1 to September 30 and October 1 to December 31. 
 “Fiscal Year” means the fiscal year of Borrower being the 12 month period of January 1 to December 31. 
 “Fixed Charge Coverage Ratio” means, with respect to Borrower and its Subsidiaries on a consolidated basis for any applicable period, determined in accordance with GAAP, the quotient of,
for each applicable period: 
  

	 	(a)	EBITDA minus Capital Expenditures minus the sum of federal, provincial, state, local and foreign taxes paid in cash in the period (less tax refunds in
cash received by Borrower and its Subsidiaries in the period) minus the sum of payments made pursuant to Section 8.4(i)(c), (e) and (i) (but excluding any such payments to the extent funded through
issuances of Capital Stock of Borrower) minus Cash Compensation not included in EBITDA (but excluding up to $2,500,000 in severance costs up to December 31, 2013) minus increases in Financing Receivables; divided by:

  

	 	(b)	interest paid and interest due within the period that the test is being done but which has not been paid at the time of the test plus any principal due
plus payments under Section 8.5 (but excluding any principal and interest paid and due with respect to indebtedness incurred pursuant to Section 8.3(h)). For the avoidance of doubt, any computations under this
clause (b) shall not include any principal payments or repayments in respect of Loans (as defined in the Second Amended and Restated Credit Agreement) under the Second Amended and Restated Credit Agreement made on the Closing Date to
give effect to the terms of this Agreement. 

 “Funding Bank” shall have the meaning set forth in
Section 3.2(a)(i) hereof. 
 “Future Permitted Transaction” means any infrequent or unusual transaction requested
by Borrower to be designated as such to the extent any such transaction has been pre-approved in writing by Agent and Required Lenders. 

“GAAP” means generally accepted accounting principles in the United States of America as in effect from time to time as set forth in the
opinions and pronouncements of the relevant U.S. public and private accounting boards and institutes which are applicable to the circumstances as of the date of determination consistently applied. 

“General Restricted Payment Basket” shall have the meaning set forth in Section 8.5(e)(ii) hereof. 

“General Security Agreement” shall mean the amended and restated general security agreement dated November 16, 2009 given by
Borrower in favour of Agent as security for payment and performance of the Obligations, as the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 

  
 -10-

 “Governmental Authority” means any government, parliament, legislature, municipal or local
government, or any regulatory authority, agency, commission or board of any government, parliament or legislature, or any court or (without limitation to the foregoing) any other law, regulation or rule-making entity (including any central bank,
fiscal or monetary authority regulating banks), having or purporting to have jurisdiction in the relevant circumstances, or any Person acting or purporting to act under the authority of any of the foregoing (including any arbitrator). 

“Guarantors” means, other than Borrower, any guarantor, endorser, acceptor, surety or other person liable on or with respect to the
Obligations or who is the owner of any property which is security for the Obligations, including: 
  

	 	(a)	IMAX U.S.A. Inc., a Delaware corporation; 

  

	 	(b)	1329507 Ontario Inc., an Ontario corporation; 

  

	 	(c)	IMAX II U.S.A. Inc., a Delaware corporation; 

  

	 	(d)	David Keighley Productions 70 MM Inc., a Delaware corporation; and 

  

	 	(e)	IMAX Barbados. 

 “Hazardous
Materials” means any hazardous, toxic or dangerous substances, materials and wastes, including hydrocarbons (including naturally occurring or man-made petroleum and hydrocarbons), flammable explosives, asbestos, urea formaldehyde
insulation, radioactive materials, biological substances, polychlorinated biphenyls, pesticides, herbicides and any other kind and/or type of pollutants or contaminants (including materials which include hazardous constituents), sewage, sludge,
industrial slag, solvents and/or any other similar substances, materials, or wastes and including any other substances, materials or wastes that are or become regulated under any Environmental Law (including any that are or become classified as
hazardous or toxic under any Environmental Law). 
 “Hedge Agreement” means (a) any and all rate swap transactions, basis
swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward
bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency rate swap transactions, currency
options, spot contracts, or any other similar transactions or any combination of any of the foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master agreement,
and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc.,
any International Foreign Exchange Master Agreement, or any other master agreement, all as amended, modified, supplemented, extended, renewed, restated or replaced from time to time. 

  
 -11-

 “Hedge Bank” means any Person that at the time it enters into a Hedge Agreement is a
Lender, an Affiliate of a Lender, Agent or an Affiliate of Agent, in its capacity as a party to such Hedge Agreement. 
 “IMAX
Barbados” means IMAX (Barbados) Holding, Inc., a Barbados corporation. 
 “IMAX Cayman” means IMAX China Holding,
Inc., a Cayman Islands exempted company. 
 “IMAX China Capital Raise” shall have the meaning set forth in
Section 8.3(k). 
 “IMAX China Multimedia” means IMAX (Shanghai) Multimedia Technology Co., Ltd., a
People’s Republic of China corporation.  
 “IMAX China Theatre” means IMAX (Shanghai) Theatre Technology Services
Co., Ltd., a People’s Republic of China corporation. 
 “IMAX Japan” means IMAX Japan Inc., a Japanese corporation.

 “Information Certificates” means, collectively, the Information Certificates of each Credit Party constituting Exhibit C
hereto containing material information with respect to each Credit Party and its business and assets provided by or on behalf of each Credit Party to Agent in connection with the preparation of the Financing Agreements and the financing arrangements
provided for herein. 
 “Insurance and Condemnation Event” means the receipt by any Credit Party of any cash insurance proceeds
or condemnation award payable by reason of theft, loss, physical destruction or damage, taking or similar event with respect to any of its properties or assets. 
 “Interest Period” means, with respect to each Euro Dollar Rate Loan, a period of 1, 2, 3 or 6 months duration as Borrower may elect, the exact duration to be determined in accordance with
customary practice in the applicable Euro Dollar Rate market or customary practice of Agent; provided that: 
  

	 	(a)	Borrower may not elect an Interest Period which will end after the Maturity Date; and 

 

	 	(b)	Interest Periods shall be selected by Borrower so as to permit Borrower to make the quarterly principal installment payments pursuant to Section 2.3(b)
without payment of any amounts pursuant to Article 3. 

 “Interest Rate” means: 

 

	 	(a)	as to Euro Dollar Rate Loans, the Adjusted Euro Dollar Rate plus the Applicable Margin per annum; or 

 

	 	(b)	as to US Prime Rate Loans, the US Prime Rate plus 0.50% per annum; or 

  
 -12-

	 	(c)	notwithstanding the rates described in clause (a) and (b) above, the rate of 3% per annum in excess of the applicable Interest Rate
described above and all fees payable in connection herewith shall apply (and shall be payable on demand by Agent): 

  

	 	(i)	automatically upon the occurrence and continuation of an Event of Default under Section 10.1(a)(i)(A), 10.1(e)(i), 10.1(i) or 10.1(j);
and 

  

	 	(ii)	at the election of Required Lenders (or Agent at the direction of Required Lenders) upon the occurrence and continuation of any other Event of Default.

 “Inventory” means all of a Credit Party’s now owned and hereafter existing or acquired raw materials,
work in process, finished goods and all other inventory of whatsoever kind or nature, wherever located. 
 “Investment Amount”
shall have the meaning set forth in Section 9.1(b) hereof. 
 “IP Collateral” means all of the Intellectual
Property as such term is defined in the General Security Agreement. 
 “IP Collateral License Agreement” means the amended and
restated intellectual property license agreement dated November 16, 2009 granting Agent and its successors, transferees and assignees, a non-exclusive, royalty free perpetual license to the IP Collateral, but effective only upon the occurrence
and continuance of an IP Grace Period, as the same now exists or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced. 
 “IP Grace Period” means the period commencing the date upon which Agent exercises its remedies pursuant to Sections 10.2(a) and/or Section 10.2(b) hereof and ending 120
days thereafter. 
 “Issuing Lender” means with respect to Letter of Credit Accommodations issued hereunder on or after the
Closing Date, Wells Fargo, in its capacity as issuer thereof, or any successor thereto. 
 “Lenders” means each Person
executing this Agreement as a Lender (including Revolving Lenders and Term Lenders) on the Closing Date and any other Person that shall have become a party to this Agreement as a Lender (including Revolving Lenders and Term Lenders) pursuant to an
Assignment and Assumption, other than any Person that ceases to be a party hereto as a Lender pursuant to an Assignment and Assumption. 

“Letter of Credit Accommodations” means the letters of credit, merchandise purchase or other guarantees denominated in US Dollars which
are from time to time either (a) issued or opened by Issuing Lender for the account of any Credit Party or (b) with respect to which Issuing Lender has agreed to indemnify the issuer or guaranteed to the issuer the performance by any
Credit Party of its obligations to such issuer, and shall include the existing letters of credit, merchandise purchase and other guarantees issued and currently outstanding under the Second Amended and Restated Credit Agreement. 

  
 -13-

 “License Agreements” shall have the meaning set forth in the General Security Agreement.

 “Lien” means any security interest, mortgage, pledge, hypothec, lien, charge or other lien of any nature whatsoever
(including those created by statute). 
 “Loans” means, collectively, the Revolving Loans and the Term Loans. 

“Material Adverse Effect” means, with respect to Borrower and its Subsidiaries, (a) a material adverse effect on the properties,
business, operations or condition (financial or otherwise) of any such Persons, taken as a whole, (b) a material impairment of the ability of any such Person to perform its obligations under the Financing Agreements to which it is a party,
(c) a material impairment of the rights and remedies of Agent or any Lender under any Financing Agreement or (d) a material impairment of the legality, validity, binding effect or enforceability against any Credit Party of any Financing
Agreement to which it is a party. 
 “Material Subsidiary” means any Subsidiary of any Credit Party that accounts for greater
than 10% of the revenues of Borrower on a consolidated basis other than IMAX China Multimedia, IMAX China Theatre and IMAX Japan. 

“Maturity Date” means the earlier of: 
  

	 	(a)	demand for payment under Section 10.2; and 

  

	 	(b)	the 5th anniversary of the Closing Date. 

“Maximum Credit” means the amount of $200,000,000. 
 “Maximum Revolving Credit” means the amount of $200,000,000 as reduced from time to time pursuant to the terms of Section 2.3 hereof. 

“Maximum Term Credit” shall have the meaning set forth in Section 2.3(a)(ii)(C) hereof. 

“Multiemployer Plan” means a “multi-employer plan” as defined in Section 4001(a)(3) of ERISA which is or
was at any time during the current year or the immediately preceding 6 years contributed to by Borrower or any ERISA Affiliate or with respect to which Borrower or any ERISA Affiliate may incur any liability. 

“Net Cash Proceeds” means, as applicable, (a) with respect to any Asset Disposition or Insurance and Condemnation Event, the gross
proceeds received by any Credit Party or Subsidiary thereof therefrom (including any cash, cash equivalents, deferred payment pursuant to, or by monetization of, a note receivable or otherwise, as and when received) less the sum of
(i) all income taxes and other taxes imposed by a Governmental Authority as a result of such transaction or event, (ii) all reasonable and customary out-of-pocket fees and expenses incurred in connection with such transaction or event and
(iii) the principal amount of, premium, if any, and interest on any indebtedness secured by a Lien on the asset (or a portion thereof) disposed of, which indebtedness is required to be repaid in connection with such transaction or event, and
(b) with respect to any incurrence of indebtedness, the gross cash proceeds received by any Credit 

  
 -14-

 
Party or any Subsidiary thereof therefrom less all reasonable and customary out-of-pocket legal, underwriting and other fees and expenses incurred in connection therewith. 

“Non-Funding Lender” shall have the meaning set forth in Section 11.13(a)(iii) hereof. 

“Non-Recourse Debt” means indebtedness of a Subsidiary of Borrower (other than a Credit Party) that (a) has not been guaranteed by
any Credit Party or other Subsidiary thereof, (b) no Credit Party or other Subsidiary thereof has provided security or other financial assistance or accommodations with respect thereto and (c) the applicable creditor has no other recourse
to any Credit Party or other Subsidiary thereof for payment including by means of demand, action or proceeding. 
 “Notice of
Borrowing” means a notice of borrowing substantially in the form attached as Exhibit D hereto. 
 Notice of
Conversion/Continuation” means a notice of conversion/continuation substantially in the form attached as Exhibit E hereto. 

“Notice of Prepayment” means a notice of prepayment substantially in the form attached as Exhibit F hereto. 

“Obligations” means any and all Loans, Letter of Credit Accommodations and all other obligations, liabilities and indebtedness of every
kind, nature and description owing by any Credit Party to Agent, Lenders and their respective Affiliates including principal, interest, charges, indemnifications for Letter of Credit Accommodations or otherwise, fees, costs and expenses, however
evidenced, whether as principal or otherwise, arising under or in connection with the Financing Agreements, Secured Hedge Agreements and Secured Cash Management Agreements, as amended, supplemented, restated or superseded, in whole or in part, from
time to time and/or applicable laws, whether now existing or hereafter arising, whether arising before, during or after the initial or any renewal term of this Agreement or after the commencement of any proceeding with respect to any Credit Party
under the BIA, the CCAA, or any similar statute in any jurisdiction (including the payment of interest and other amounts which would accrue and become due but for the commencement of such proceeding, whether or not such amounts are allowed or
allowable in whole or in part in such proceeding), whether direct or indirect, absolute or contingent, joint or several, due or not due, primary or secondary, liquidated or unliquidated, secured or unsecured. For greater certainty, the obligations,
liabilities and indebtedness owing under or in connection with the BMO Term Sheet are not included in “Obligations”. 

“OFAC” means the U.S. Department of the Treasury’s Office of Foreign Assets Control. 

“Other Currency” shall have the meaning set forth in Section 13.7 hereof. 

“Other Lender” shall have the meaning set forth in Section 11.13(d) hereof. 

“Patriot Act” means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism
Act of 2001, Pub. L. 107-56, signed into law October 26, 2001. 

  
 -15-

 “Pension Plans” means each of the pension plans, if any, that are registered in accordance
with the Income Tax Act (Canada) which any Credit Party sponsors or administers or into which any Credit Party makes contributions. 

“Permitted Liens” means, collectively, the Liens permitted pursuant to Section 8.2(a) through (m) (inclusive).

 “Person” or “person” means any individual, sole proprietorship, partnership, limited partnership,
corporation, limited liability company, business trust, unincorporated association, joint stock corporation, trust, joint venture or other entity or any government or any agency or instrumentality or political subdivision thereof. 

“Plan” means an employee benefit plan (as defined in Section 3(3) of ERISA) which Borrower sponsors, maintains, or to which
it makes, is making, or is obligated to make contributions or, in the case of a Multiemployer Plan, has made contributions at any time during the immediately preceding 6 plan years or with respect to which Borrower may incur liability. For greater
certainty, “Plan” does not include a Pension Plan that is not a US Pension Plan. 
 “PPSA” means the
Personal Property Security Act (Ontario); provided that, if the attachment, perfection or priority of Agent’s security in respect of any Collateral is governed by the laws of any jurisdiction other than Ontario, PPSA shall mean
those other laws for the purposes hereof relating to attachment, perfection or priority. 
 “Pro Rata Share” means with respect
to a Lender (a) with respect to all Revolving Loans, the percentage obtained by dividing (i) the aggregate Revolving Loan Commitments of such Lender by (ii) the aggregate Revolving Loan Commitments of all Lenders; (b) with
respect to all Term Loans, the percentage obtained by dividing (i) the aggregate outstanding principal balance of the Term Loans held by such Lender by (ii) the outstanding principal balance of the Term Loans held by all Lenders; and
(c) with respect to all Loans on and after the Maturity Date, the percentage obtained by dividing (i) the aggregate outstanding principal balance of the Loans held by such Lender by (ii) the outstanding principal balance of the Loans
held by all Lenders. 
 “Real Property” means the property known as 2525 Speakman Drive, Mississauga, Ontario L5K 1B1 legally
owned by 1329507 Ontario Inc. and beneficially owned by Borrower. 
 “Receiver” shall have the meaning set forth in
Section 10.2(g) hereof. 
 “Records” means all of each Credit Party’s present and future books of account of
every kind or nature, purchase and sale agreements, invoices, ledger cards, bills of lading and other shipping evidence, statements, correspondence, memoranda, credit files and other data relating to the Collateral or any account debtor, together
with the tapes, disks, diskettes and other data and software storage media and devices, file cabinets or containers in or on which the foregoing are stored (including any rights of a Credit Party with respect to the foregoing maintained with or by
any other person). 
 “Report” shall have the meaning set forth in Section 11.9(a) hereof. 

  
 -16-

 “Required Lenders” means, on any date of determination, (a) Lenders holding more than
50% of the Revolving Loan Commitments and the outstanding Term Loans or (b) on and after the Maturity Date, Lenders holding more than 50% of the outstanding Loans. The Revolving Loan Commitments and outstanding Loans of Non-Funding Lenders
shall be excluded from the calculation of Required Lenders. 
 “Revolving Loan Commitment” means (a) as to any Lender with
respect to Revolving Loans, the aggregate of such Lender’s Revolving Loan Commitment as set forth beside such Lender’s name on Exhibit G hereto or, if such Lender’s name does not appear on Exhibit G hereto, in the most
recent Assignment and Assumption Agreement executed by such Lender, and (b) as to all Lenders, the aggregate of all Lenders’ Revolving Loan Commitments to Borrower, which aggregate commitment is $200,000,000 as of the Closing Date as
reduced from time to time pursuant to Section 2.3 hereof. 
 “Revolving Loans” means US Prime Rate Loans and/or
Euro Dollar Rate Loans, as the case may be, now or hereafter made by Revolving Lenders to or for the benefit of Borrower on a revolving basis (involving advances, repayments and re-advances) as set forth in Section 2.1 hereof.

 “Revolving Lenders” means, collectively, all Lenders with a Revolving Loan Commitment or Revolving Loan. 

“Revolving Loan Exposure” means, as to any Revolving Lender at any time, the aggregate principal amount at such time of its outstanding
Revolving Loans and such Revolving Lender’s participation in the Letter of Credit Accommodations at such time. 
 “Revolving Loan
Outstandings” means the sum of on any date (a) the aggregate outstanding principal amount of Revolving Loans after giving effect to any borrowings and prepayments or repayments of Revolving Loans occurring on such date;
plus (b) the aggregate outstanding amount of all Letter of Credit Accommodations after giving effect to any changes in the aggregate amount of the Letter of Credit Accommodations as of such date. 

“Sanctioned Entity” means (a) an agency of the government of, (b) an organization directly or indirectly controlled by, or
(c) a person resident in, in each case, a country that is subject to a sanctions program identified on the list maintained and published by OFAC and available at http://www.treas.gov/offices/enforcement/ofac/programs, or as otherwise published
from time to time as such program may be applicable to such agency, organization or person. 
 “Sanctioned Person” means a
person named on the list of Specially Designated Nationals or Blocked Persons maintained by OFAC available at http://www.treas.gov/offices/enforcement/fac/sdn/index.html, or as otherwise published from time to time. 

“Santa Monica Facility” means a potential office and support facility of Borrower to be located in the Los Angeles, California
metropolitan area. 
 “Santa Monica Facility Borrower” shall have the meaning set forth in Section 8.3(g)
hereof. 

  
 -17-

 “Secured Cash Management Agreement” means any Cash Management Agreement that is entered
into by and between any Credit Party and any Cash Management Bank. 
 “Secured Hedge Agreement” means any Hedge Agreement that
is entered into by and between any Credit Party and any Hedge Bank. 
 “Secured Parties” shall collectively mean Agent,
Lenders, and their respective Affiliates, (including Hedge Banks under any Secured Hedge Agreements and Cash Management Banks under Secured Cash Management Agreements) and any other person to which Obligations are owed or who is the beneficiary of
or under a guarantee of the Obligations (and, for greater certainty, if such person ceases to be an Agent or a Lender then for any transaction entered into under a Secured Hedge Agreement or Secured Cash Management Agreement with that Agent or
Lender or any of its Affiliates prior to the date that person ceases to be an Agent or Lender, that person or any of its Affiliates shall continue to be a Secured Party hereunder with respect to Borrower’s obligations relating to any such
transaction). 
 “Settlement Date” shall have the meaning set forth in Section 11.13(a)(iii) hereof. 

“Significant Contract” means (a) any contract or other agreement, written or oral, of any Credit Party involving monetary liability
of or to any such Person in an amount in excess of (i) $10,000,000 per annum for purpose of the representation and warranty made pursuant to Section 6.9(b) on the Closing Date only and (ii) $15,000,000 per annum
in all other instances or (b) any other contract or agreement, written or oral, of any Credit Party the failure to comply with which could reasonably be expected to have a Material Adverse Effect but excluding, in the case of clause
(a) and (b), such contracts or agreements between Borrower and its Subsidiaries or between such Subsidiaries. 

“Solvent” means, with respect to any Person on any date of determination, that on such date (a) the fair value of the assets
(including contingent assets) of such Person is greater than the total amount of liabilities (including contingent liabilities) of such Person, (b) the present fair salable value of the assets of such Person is not less than the amount that
will be required to pay the probable liability of such Person on its debts as they become absolute and matured, (c) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s ability
to pay such debts and liabilities as they mature, (d) such Person is not engaged in business or a transaction, and is not about to engage in business or a transaction, for which such Person’s property would constitute an unreasonably small
capital, and (e) such Person is able to pay its debts and liabilities, contingent obligations and other commitments as they mature in the ordinary course of business. The amount of contingent assets or liabilities at any time shall be computed
as the amount that, in the light of all of the facts and circumstances existing at such time, represents the amount that can reasonably be expected to become an actual or matured assets or liability, as the case may be. 

“Stock Buyback/Dividend Amount” shall have the meaning set forth in Section 2.3(a) hereof. 

“Subsidiary” means, with respect to any Person, any corporation, partnership or other entity of which at least a majority of the
securities or other ownership interests having by the terms thereof ordinary voting power to elect a majority of the board of directors or other persons 

  
 -18-

 
performing similar functions of such corporation, partnership or other entity (irrespective of whether or not at the time securities or other ownership interests of any other class or classes of
such corporation, partnership or other entity shall have or might have voting power by reason of the happening of any contingency) is at the time directly or indirectly owned or controlled by such Person or one or more Subsidiaries of such Person.

 “Term Loans” means US Prime Rate Loans and/or Euro Dollar Rate Loans, as the case may be, now or hereafter made by Term
Lenders to or for the benefit of Borrower on a term basis as set forth in Section 2.3 hereof 
 “Term Lenders”
means, collectively, all Lenders with a Term Loan hereunder. 
 “Total Debt” means, at any time, with respect to Borrower and
its Subsidiaries on a consolidated basis (without duplication): 
  

	 	(a)	all obligations for the deferred purchase price of property or services (other than current trade payables incurred in the ordinary course of business);

  

	 	(b)	all obligations evidence by notes, bonds, debentures or similar instruments; 

 

	 	(c)	Capital Lease Obligations (as defined in accordance with GAAP as of the Closing Date); 

 

	 	(d)	the aggregate outstanding amount of all Obligations; 

  

	 	(e)	the drawn and unreimbursed amount of all issued letters of credit (including Letter of Credit Accommodations and letters of credit issued under the BMO LC Facility);

  

	 	(f)	the principal amount of all indebtedness with respect to purchase money security interests; 

 

	 	(g)	the principal amount of any other indebtedness for borrowed money; and 

  

	 	(h)	guarantees of items referenced in subsections (a) through to (g) of this definition, 

but excluding indebtedness incurred pursuant to Section 8.3(g)(i), (h), (i) and (k). 

“Total Leverage Ratio” means, as of any date of determination, the ratio of (a) Total Debt on such date to (b) EBITDA for the
period of 4 consecutive Fiscal Quarters ending on or immediately prior to such date. 
 “UCC” means the Uniform Commercial
Code. 
 “USERP” means the unregistered supplemental executive retirement plan dated July 12, 2000, as amended and
restated as of January 1, 2006, made by Borrower in favour of its former Co-Chief Executive Officer and current Chairman of the Board, Bradley J. Wechsler, and its current Chief Executive Officer, Richard L. Gelfond. 

  
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 “US First Rate” shall have the meaning set forth in Section 3.1(c) hereof.

 “US Pension Plan” means a pension plan (as defined in Section 3(2) of ERISA) subject to Title IV of ERISA
which any Credit Party sponsors, maintains, or to which any Credit Party or any ERISA Affiliate makes, is making, or is obligated to make contributions, other than a Multiemployer Plan. 
 “US Prime Rate” means the rate announced publicly by US Reference Bank from time to time as its prime rate in effect for US Dollar denominated commercial loans, whether or not such
announced rate is the best rate available at such bank. 
 “US Prime Rate Loans” means any Loans or portions thereof
denominated in US Dollars and on which interest is payable based on the US Prime Rate in accordance with the terms hereof. 
 “US
Reference Bank” means Wells Fargo or any successor thereto, or such other major bank in the United States as Agent may from time to time designate, in its discretion, after consultation with Borrower. 

“Wells Fargo” means Wells Fargo Bank, National Association, a national banking association, and its successors. 

ARTICLE 2 

CREDIT FACILITIES 
  

	2.1	Revolving Loans 

  

	 	(a)	Availability and Repayment. Subject to, and upon the terms and conditions contained herein, each Lender severally (and not jointly) agrees to make its Pro Rata
Share of Revolving Loans by way of Euro Dollar Rate Loans and US Prime Rate Loans to Borrower from time to time from the Closing Date through, but not including, the Maturity Date in amounts requested by Borrower in accordance with
Section 3.1(h); provided, that (a) after the Closing Date, the Revolving Loan Outstandings shall not exceed the Revolving Loan Commitment and (b) the Revolving Loan Exposure of any Revolving Lender shall not at
any time exceed such Revolving Lender’s Revolving Loan Commitment. Subject to the terms and conditions hereof, Borrower at any time may borrow, repay and reborrow Revolving Loans hereunder until the Maturity Date. On the Maturity Date, the
outstanding balance of the Revolving Loans (including principal, accrued and unpaid interest and other amounts due and payable with respect thereto) shall be due and be payable and the Revolving Loan Commitment shall terminate.

  

	 	(b)	 Maximum Amounts. In the event that (i) the Revolving Loan Outstandings exceed the Revolving Loan Commitment, (ii) the Revolving Loan
Exposure of any Revolving Lender exceeds such Revolving Lender’s Revolving Loan Commitment, (iii) the aggregate outstanding amount of the Letter of Credit Accommodations exceeds the sub-limit for Letter of Credit Accommodations set forth
in Section 2.2(c), (iv) the aggregate amount of the Revolving Loan Outstandings and the Term Loans exceed the Maximum Credit or (v) the 

  
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aggregate amount of the Term Loans exceed the Maximum Term Credit, such event shall not limit, waive or otherwise affect any rights of Agent or Lenders in that circumstance or on any future
occasions and Borrower shall, upon demand by Agent, which may be made at any time or from time to time, immediately repay to Agent the entire amount of any such excess(es) for which payment is demanded. 

 

	2.2	Letter of Credit Accommodations 

  

	 	(a)	 Letter of Credit Accommodations. Subject to, and upon the terms and conditions contained herein, at the irrevocable request of Borrower pursuant
to a Notice of Borrowing given by Borrower to Agent no later than 12:00 noon (Eastern Time) at least 3 Business Days prior to the requested issuance date, Issuing Lender agrees to provide or arrange for Letter of Credit Accommodations for the
account of Borrower in US Dollars containing terms and conditions reasonably acceptable to Issuing Lender. Any payments made by Issuing Lender in connection with the Letter of Credit Accommodations shall constitute additional Revolving Loans to
Borrower pursuant to this Article 2. Each Lender agrees to purchase an irrevocable and unconditional participation in each Letter of Credit Accommodation issued hereunder based on its Pro Rata Share. Each Letter of Credit Accommodation shall
expire on a date no more than 12 months after the date of issuance or last renewal of such Letter of Credit Accommodations (subject to (a) such longer periods agreed to by Issuing Lender and (b) automatic renewal for additional 1 year
periods pursuant to the terms of the letter of credit application or other documentation acceptable to Issuing Lender), which date shall be no later than the 5th Business Day prior to the Maturity Date unless Issuing Lender is satisfied that Borrower will cash collateralize the
Letter of Credit Accommodations that extend beyond the 5th
Business Day prior to the Maturity Date on terms acceptable to Issuing Lender. 

  

	 	(b)	Fees and Expenses. In addition to any charges, fees or expenses charged by Issuing Bank in connection with the Letter of Credit Accommodations, Borrower shall
pay to Agent a letter of credit fee at a rate equal to the Applicable Margin per annum on the daily outstanding balance of the Letter of Credit Accommodations for the immediately preceding Fiscal Quarter (or part thereof), payable in arrears
as of the last Business Day of each Fiscal Quarter. Such letter of credit fee shall be calculated on the basis of a 360 day year and actual days elapsed and the obligation of Borrower to pay such fee shall survive the maturity or termination of this
Agreement. This letter of credit fee shall not be payable to a Lender during the period it is a Non-Funding Lender. 

  

	 	(c)	 Maximum Amount. The amount of all outstanding Letter of Credit Accommodations and all other commitments and obligations made or incurred by
Issuing Lender in connection therewith (including charges, fees and expenses with respect thereto) shall not at any time exceed $25,000,000 (less the face amount of all letters of credit issued pursuant to the BMO LC Facility). At any time an Event
of Default exists or has occurred and is continuing, upon Agent’s 

  
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request, Borrower will furnish Agent with cash collateral to secure the reimbursement obligations of the Issuing Lender in connection with any Letter of Credit Accommodations.

  

	 	(d)	Indemnification. Borrower shall indemnify and hold Agent, Issuing Lender and each Lender harmless from and against any and all losses, claims, damages,
liabilities, costs and expenses which Agent, Issuing Lender and each Lender may suffer or incur in connection with any Letter of Credit Accommodations and any documents, drafts or acceptances relating thereto, including, but not limited to, any
losses, claims, damages, liabilities, costs and expenses due to any action taken by any issuer or correspondent with respect to any Letter of Credit Accommodation. Borrower assumes all risks with respect to the acts or omissions of the drawer under
or beneficiary of any Letter of Credit Accommodation and for such purposes the drawer or beneficiary shall be deemed Borrower’s agent. Borrower assumes all risks for, and agrees to pay, all foreign, federal, provincial and local taxes, duties
and levies relating to any goods subject to any Letter of Credit Accommodations or any documents, drafts or acceptances thereunder. Borrower hereby releases and holds Agent, Issuing Lender and each Lender harmless from and against any acts, waivers,
errors, delays or omissions, whether caused by Borrower or otherwise (other than acts, waivers, errors, delays or omissions caused by the gross negligence or wilful misconduct of Agent, Issuing Lender or a Lender as determined by a final and
non-appealable judgment or court order binding on such Person) with respect to or relating to any Letter of Credit Accommodation. The provisions of this Section 2.2(d) shall survive the payment of the Obligations and the termination of
this Agreement. 

  

	 	(e)	 Rights of Issuing Lender. Nothing contained herein shall be deemed or construed to grant Borrower any right or authority to pledge the credit of
Agent, Issuing Lender or a Lender in any manner. Except as a result of Issuing Lender’s own gross negligence or wilful misconduct as determined by a final and non-appealable judgment or court order binding on Issuing Lender, Borrower shall be
bound by any interpretation made by Issuing Lender under or in connection with any Letter of Credit Accommodation or any documents, drafts or acceptances thereunder, notwithstanding that such interpretation may be inconsistent with any instructions
of Borrower. At any time an Event of Default exists or has occurred and is continuing, Issuing Lender, in its own name or in Borrower’s name, shall have the sole and exclusive right and authority to, and Borrower shall not: (i) approve or
resolve any questions of non-compliance of documents, (ii) give any instructions as to acceptance or rejection of any documents or goods, or (iii) execute any and all applications for steamship or airway guaranties, indemnities or delivery
orders. At all times other than when an Event of Default exists or has occurred and is continuing, Borrower shall be permitted, with the prior written consent of Issuing Lender to: (i) grant any extensions of the maturity of, time of payment
for, or time of presentation of, any drafts, acceptances, or documents, and (ii) to agree to any amendments, renewals, extensions, modifications, changes or cancellations of any of the terms or conditions of any of the applications, Letter

  
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of Credit Accommodations, or documents, drafts or acceptances thereunder or any letters of credit included in the Collateral. 

 

	2.3	Term Loans 

  

	 	(a)	Conversion of Revolving Loans into Term Loans. On July 15 and January 15 of each year starting with July 15, 2013 (each, a “Calculation
Date”), the amount of the dividends, redemptions, retirements, defeasances, purchases, acquisitions or distributions with respect to Borrower’s Capital Stock and the Investment Amount in each case made by Borrower since the previous
Calculation Date (the “Stock Buyback/Dividend Amount”) together with any Stock Buyback/Dividend Amount carried forward pursuant to the terms hereof and not otherwise converted to Term Loans pursuant to the terms hereof (the
“Aggregate Amount”) shall be calculated by Borrower and provided to Agent and: 

  

	 	(i)	in the event there are no outstanding Revolving Loans on such Calculation Date, such Stock Buyback/Dividend Amount shall be carried forward to the next Calculation Date
and added to the existing Aggregate Amount; 

  

	 	(ii)	in the event that there are outstanding Revolving Loans on such Calculation Date: 

 

	 	(A)	the outstanding Revolving Loans shall be converted to a term loan (each, a “Term Loan”) in a minimum amount of not less than $20,000,000 or an integral
multiple of $5,000,000 in excess thereof but not to exceed the Aggregate Amount; 

  

	 	(B)	the aggregate Revolving Loan Commitment shall be reduced by the amount of such Term Loan; 

 

	 	(C)	such conversions and reductions shall not exceed $75,000,000 (the “Maximum Term Credit”) in the aggregate over the term of this Agreement; and

  

	 	(D)	each Lender shall be deemed to hold each Term Loan to the extent of its Pro Rata Share of the converted Revolving Loans. 

 

	 	(b)	Availability and Repayment. The Term Loans shall be available by way of Euro Dollar Rate Loans and US Prime Rate Loans. Borrower shall repay to Agent the
aggregate outstanding principal amount of each Term Loan in consecutive quarterly installments of 5% of the initial principal amount thereof on the last Business Day of each Fiscal Quarter commencing with the first such Business Day following
conversion. On the Maturity Date, the outstanding balance of the Term Loans (including principal, accrued and unpaid interest and other amounts due and payable with respect thereto) shall be due and be payable. 

  
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	2.4	Prepayments of Loans/Cancellation of Unused Revolving Loan Commitments 

 

	 	(a)	Optional Prepayments. Borrower shall have the right at any time and from time to time, without premium or penalty, to prepay the Term Loans, in whole or in part,
with irrevocable prior written notice to Agent pursuant to a Notice of Prepayment given not later than 12:00 noon (Eastern Time) (i) on the same Business Day as each US Prime Rate Loan and (ii) at least 3 Business Days before each Euro
Dollar Rate Loan, specifying the date and amount of repayment, whether the repayment is of Euro Dollar Rate Loan or US Prime Rate Loan or a combination thereof, and if a combination thereof, the amount allocable to each. Each optional partial
prepayment of the Term Loans hereunder shall be in an aggregate principal amount of at least $5,000,000 or any whole multiple of $1,000,000 in excess thereof and shall be applied to reduce the remaining scheduled principal installments of the Term
Loans due in the next 4 Fiscal Quarters and thereafter on a pro rata basis. Each repayment shall be accompanied by any amount required to be paid pursuant to Article 3 hereof. A Notice of Prepayment received after 12:00 noon (Eastern
Time) shall be deemed received on the next Business Day. Agent shall promptly notify Term Lenders of each Notice of Prepayment. 

  

	 	(b)	Optional Cancellation of Unused Revolving Loan Commitments. Borrower shall have the right at any time and from time to time, without premium or penalty, to
cancel the unused Revolving Loan Commitments, in whole or in part, with irrevocable prior written notice to Agent pursuant to a Notice of Prepayment given not later than 12:00 noon (Eastern Time) on a Business Day specifying the date and amount of
cancellation. Each optional partial cancellation hereunder shall be in an aggregate principal amount of at least $5,000,000 or any whole multiple of $1,000,000 in excess thereof. A Notice of Prepayment received after 12:00 noon (Eastern Time) shall
be deemed received on the next Business Day. Agent shall promptly notify Revolving Lenders of each Notice of Prepayment. 

  

	 	(c)	Mandatory Prepayments. 

  

	 	(i)	Debt Issuances. Borrower shall make mandatory principal prepayments of the Loans and/or cash collateralize the Letter of Credit Accommodations in the manner set
forth in clause (iv) below in an amount equal to 100% of the aggregate Net Cash Proceeds from any issuance of indebtedness for borrowed money by any Credit Party or Subsidiary thereof not permitted pursuant to Section 8.3 and
50% of the aggregate Net Cash Proceeds from any issuance of indebtedness pursuant to Section 8.3(k). Such prepayment shall be made within 10 Business Days after the date of receipt of the Net Cash Proceeds of any such indebtedness.

  

	 	(ii)	 Asset Dispositions. Borrower shall make mandatory principal prepayments of the Loans and/or cash collateralize the Letter of Credit
Accommodations in the manner set forth in clause (iv) below in amounts equal to (A) 100% of the aggregate Net Cash Proceeds from any (1) Asset 

  
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Disposition permitted pursuant to Section 8.1(b)(iii), (iv) and (v), (2) Asset Disposition not permitted pursuant to this Agreement or (3) Asset
Disposition described in clause (b) of the definition of Asset Disposition (other than that described in this next clause (B)) and (B) 50% of the aggregate Net Cash Proceeds from any Asset Disposition or sale of Capital Stock
permitted pursuant to Section 8.3(k) . Such prepayments shall be made within 10 Business Days after the date of receipt of the Net Cash Proceeds of any such Asset Disposition; provided that, so long as no Default or Event of
Default has occurred and is continuing, no prepayment shall be required under this Section 2.4(c)(ii)(A) to the extent that: 

  

	 	(A)	the Net Cash Proceeds of such Asset Disposition is equal to or less than $50,000 provided that the aggregate amount hereunder shall not exceed $1,000,000 per Fiscal
Year; 

  

	 	(B)	the Net Cash Proceeds of such Asset Disposition is greater than $50,000 but equal to or less than $250,000 until such time as the aggregate of such Net Cash Proceeds
exceeds $1,000,000 and then such aggregate amount shall be used to prepay the Loans and/or cash collateralize the Letter of Credit Accommodations in the manner set forth in clause (iv) below; and 

 

	 	(C)	(1) within 10 Business Days after the date of receipt of such Net Cash Proceeds, Borrower notifies Agent that Borrower shall reinvest such Net Cash Proceeds in assets
used or useful in the business of a Credit Party and (2) such Net Cash Proceeds are reinvested in such assets within 180 days after receipt of such Net Cash Proceeds by such Credit Party and such Credit Party shall provide written evidence to
Agent of such reinvestment; provided further that any portion of such Net Cash Proceeds not actually so reinvested within such 180 day period shall be prepaid in accordance with this Section 2.4(c)(ii) on or before
the last day of such 180 day period. 

  

	 	(iii)	Insurance and Condemnation Events. Subject to Section 7.5(d), Borrower shall make mandatory principal prepayments of the Loans and/or cash
collateralize the Letter of Credit Accommodations in the manner set forth in clause (iv) below in an amount equal to 100% of the aggregate Net Cash Proceeds from any Insurance and Condemnation Event. Subject to
Section 7.5(d), such prepayments shall be made within 10 Business Days after the date of receipt of Net Cash Proceeds of any such Insurance and Condemnation Event by such Credit Party; provided further that any portion of
the Net Cash Proceeds not used to repair or replace the Collateral in accordance with the time periods set forth in Section 7.5(d) shall be prepaid in accordance with this Section 2.4(c)(iii) on or before the last day of such
time period. 

  
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	 	(iv)	Notice; Manner of Payment. Upon the occurrence of any event triggering the prepayment requirement under clauses (i) through and including
(iii) above, Borrower shall promptly deliver a Notice of Prepayment to Agent and upon receipt of such notice, Agent shall promptly so notify Lenders. Each prepayment of the Loans under this Section shall be applied as follows:
first, to reduce the remaining scheduled principal installments of the Term Loans due in the next 4 Fiscal Quarters and thereafter on a pro rata basis and (ii) second, to the extent of any excess, to repay the Revolving
Loans or cash collateralize the Letter of Credit Accommodations without a corresponding reduction in the Revolving Loan Commitment. 

  

	2.5	Hedge Transactions 

  

	 	(a)	Agent or a Lender (or their respective Affiliates) may offer to make available Hedge Agreements to Borrower from time to time (it being understood that nothing
contained herein shall be construed to commit any person to enter into any Hedge Agreement) upon terms mutually acceptable to Agent or such Lender or such Affiliate and Borrower. On or before January 1, 2015, Borrower will obtain interest rate
protection from one or more of Agent or Lenders (or their respective Affiliates) or other Persons reasonably acceptable to Required Lenders in respect of not less than 50% of the principal amount of the then outstanding Term Loans, and on terms
acceptable to Required Lenders. 

 ARTICLE 3 

INTEREST, INCREASED COSTS AND FEES 
  

	3.1	Interest 

  

	 	(a)	Interest Rate. Borrower shall pay to Agent interest on the outstanding principal amount of the Loans at the applicable Interest Rate. 

 

	 	(b)	 Payment and Calculation. Interest shall be payable by Borrower to Agent (i) in the case of US Prime Rate Loans, quarterly in arrears on the
last Business Day of each Fiscal Quarter and (ii) in the case of Euro Dollar Rate Loans, on the last day of each Interest Period (and in the case of an Interest Period of greater than 3 months, on the last day of the 3 month period from the
first day of such Interest Period and on the last day of the Interest Period) and, in each case, shall be calculated on the basis of a 360 day year and actual days elapsed. The interest rate applicable to US Prime Rate Loans shall increase or
decrease by an amount equal to each increase or decrease in the US Prime Rate after any change in such rate is announced. All interest accruing hereunder on and after an Event of Default or maturity or termination hereof shall be payable on demand.
In no event shall charges constituting interest payable by Borrower to Agent or Lenders exceed the maximum amount or the rate permitted under any applicable law or regulation, and if any part or provision of this Agreement is in contravention of

  
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any such law or regulation, such part or provision shall be deemed amended to conform thereto. 

  

	 	(c)	Interest Act (Canada). For purposes of disclosure under the Interest Act (Canada), where interest is calculated pursuant hereto at a rate based
upon a 360 day year (the “US First Rate”), it is hereby agreed that the rate or percentage of interest on a yearly basis is equivalent to such US First Rate multiplied by the actual number of days in the year divided by 360.

  

	 	(d)	Criminal Code (Canada). Notwithstanding the provisions of this Article 3 or any other provision of this Agreement, in no event shall the aggregate
“interest” (as that term is defined in Section 347 of the Criminal Code (Canada)) exceed the effective annual rate of interest on the “credit advanced” (as defined therein) lawfully permitted
under Section 347 of the Criminal Code (Canada). The effective annual rate of interest shall be determined in accordance with generally accepted actuarial practices and principles over the term of the Loans, and in the event of a
dispute, a certificate of a Fellow of the Canadian Institute of Actuaries appointed by Agent will be conclusive for the purposes of such determination. 

  

	 	(e)	Agent Certificate. A certificate of an authorized signing officer of Agent as to each amount and/or each rate of interest payable hereunder from time to time
shall be conclusive evidence of such amount and of such rate, absent manifest error. 

  

	 	(f)	No deemed reinvestment principle/effective yield method. For greater certainty, whenever any amount is payable under any Financing Agreement by Borrower as
interest or as a fee which requires the calculation of an amount using a percentage per annum, each party to this Agreement acknowledges and agrees that such amount shall be calculated as of the date payment is due without application of the
“deemed reinvestment principle” or the “effective yield method”. As an example, when interest is calculated and payable monthly, the rate of interest payable per month is 1/12 of the stated rate of interest per
annum. 

  

	 	(g)	 Conversion/Continuation of Euro Dollar Rate Loans. Any Euro Dollar Rate Loan shall automatically, at Agent’s option, either
(i) convert to US Prime Rate Loans upon the last day of the applicable Interest Period or (ii) be rolled over for a further 1 month Interest Period, unless Agent has received and approved a Notice of Conversion/Continuation to continue
such Euro Dollar Rate Loan for an Interest Period chosen by Borrower at least 3 Business Days prior to such last day in accordance with the terms hereof. Any Euro Dollar Rate Loan shall, at Agent’s option, upon notice by Agent to Borrower, be
subsequently converted to US Prime Rate Loans upon the occurrence of any Default or Event of Default which is continuing and otherwise upon the Maturity Date. Borrower shall pay to Agent, upon demand by Agent, any amounts required to compensate
Agent and Lenders for any loss, costs or expense incurred by Agent and Lenders as a result of the conversion of Euro Dollar Rate Loans to US Prime Rate Loans pursuant to any of the foregoing. Upon the occurrence of a Default or an Event of Default

  
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that is continuing, or if Borrower repays or prepays a Euro Dollar Rate Loan on a day other than the last day of the applicable Interest Period, Borrower shall indemnify Agent and Lenders for any
loss or expense suffered or incurred by Agent or Lenders including any loss of profit or expenses Agent or Lenders incur by reason of the liquidation or redeployment of deposits or other funds acquired by it to effect or maintain any and all Euro
Dollar Rate Loans or any interest or other charges payable to lenders of funds borrowed by Agent and Lenders in order to maintain such Euro Dollar Rate Loans together with any other charges, costs or expenses incurred by Agent and Lenders relative
thereto. 

  

	 	(h)	Requests for Loans. So long as no Default or Event of Default shall have occurred and be continuing and the circumstances in Section 3.2(b) and
3.2(c) do not exist, Borrower may from time to time request in writing Euro Dollar Rate Loans pursuant to a Notice of Borrowing or may request in writing that US Prime Rate Loans be converted to Euro Dollar Rate Loans pursuant to a Notice of
Conversion/Continuation or that any existing Euro Dollar Rate Loans continue for an additional Interest Period pursuant to a Notice of Conversion/Continuation. Each Notice of Borrowing or Notice of Continuation/Conversion, as applicable, from
Borrower shall specify the amount of the Euro Dollar Rate Loans or the amount of the US Prime Rate Loans to be converted to Euro Dollar Rate Loans or the amount of the Euro Dollar Rate Loans to be continued (subject to the limits set forth below)
and the Interest Period to be applicable to such Euro Dollar Rate Loans. Subject to the terms and conditions contained herein, 3 Business Days after receipt by Agent of such a Notice of Borrowing or Notice of Continuation/Conversion, as the case may
be, from Borrower, such Euro Dollar Rate Loans shall be made or US Prime Rate Loans shall be converted to Euro Dollar Rate Loans or such Euro Dollar Rate Loans shall continue, as applicable; provided, that: 

 

	 	(i)	no Default or Event of Default shall exist or have occurred and be continuing; 

 

	 	(ii)	no party hereto shall have sent any notice of termination of this Agreement; 

 

	 	(iii)	Borrower shall have complied with such customary procedures as are generally established by Agent and Lenders for all customers and specified by Agent and Lenders to
Borrower from time to time for requests by Borrower for Euro Dollar Rate Loans; 

  

	 	(iv)	no more than 6 Interest Periods (for all outstanding Euro Dollar Rate Loans) may be in effect at any one time; 

 

	 	(v)	the aggregate amount of the Euro Dollar Rate Loans must be in an amount not less than $5,000,000 or an integral multiple of $1,000,000 in excess thereof; and

  
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	 	(vi)	Agent and Lenders shall have determined that the Interest Period or Adjusted Euro Dollar Rate is available to Agent and Lenders and can be readily determined as of the
date of the request for such Euro Dollar Rate Loan by Borrower. 

 Subject to the terms and conditions contained
herein, any request by Borrower to Agent pursuant to a Notice of Borrowing or Notice of Continuation/Conversion shall be irrevocable. Notwithstanding anything to the contrary contained herein, Agent and Lenders shall not be required to purchase US
Dollar deposits in the London interbank market to fund any Euro Dollar Rate Loans, but the provisions hereof shall be deemed to apply as if Agent or Lenders had purchased such deposits to fund the Euro Dollar Rate Loans. Subject to the terms and
conditions contained herein, any request by Borrower to Agent for a US Prime Rate Loan shall be in writing pursuant to a Notice of Borrowing, shall be irrevocable, shall be in an amount not less than $1,000,000 or an integral multiple of $500,000 in
excess thereof and shall be given to Agent no later than 12:00 noon (Eastern Time) on the Business Day upon which Borrower requires such US Prime Rate Loan to be advanced to Borrower and if such request is provided after 12:00 noon (Eastern Time) on
a Business Day then such US Prime Rate Loan shall be advanced on the next following Business Day. 
  

	3.2	Increased Costs and Changes in Law 

  

	 	(a)	If after the Closing Date, either: 

  

	 	(i)	any change in (other than any change by way of imposition or increase of reserve requirements included in the Reserve Percentage), or in the interpretation of, any law
or regulation is introduced, including with respect to reserve requirements, applicable to a Lender or any banking or financial institution from whom a Lender borrows funds or obtains credit (a “Funding Bank”); or

  

	 	(ii)	a Funding Bank or a Lender complies with any future guideline or request from any central bank or other Governmental Authority; or 

 

	 	(iii)	 a Funding Bank or a Lender determines that the adoption of any applicable law, rule or regulation regarding capital adequacy, or any change therein, or
any change in the interpretation or administration thereof by any Governmental Authority, central bank or comparable agency charged with the interpretation or administration thereof has or would have the effect described below, or a Funding Bank or
a Lender complies with any request or directive regarding capital adequacy (whether or not having the force of law where customarily complied with by responsible financial institutions) of any such authority, central bank or comparable agency, and
in the case of any event set forth in this clause (iii), such adoption, change or compliance has or would have the direct or indirect effect of reducing the rate of return on a Lender’s capital as a consequence of its obligations

  
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hereunder to a level below that which Lender could have achieved but for such adoption, change or compliance (taking into consideration the Funding Bank’s or Lender’s policies with
respect to capital adequacy) by an amount deemed by such Lender to be material, 

 and the result of any of the
foregoing events described in clauses (i), (ii) or (iii) is or results in an increase in the cost to a Lender of funding or maintaining the Loans, or its Revolving Loan Commitment, then Borrower shall from time to time
upon demand by Agent pay to Agent additional amounts sufficient to indemnify Lenders against such increased cost on an after-tax basis (subject to Section 7.4 and after taking into account applicable deductions and credits in respect of
the amount indemnified); provided that a Lender claiming additional amounts under this Section 3.2(a) agrees to use reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to designate a
different applicable lending office if the making of such a designation would avoid the need for, or reduce the amount of, such increased cost that may thereafter accrue and would not, in the reasonable judgment of such Lender, be otherwise
disadvantageous to such Lender. A certificate as to the amount of such increased cost shall be submitted to Borrower by Agent and shall be conclusive, absent manifest error. The obligations imposed pursuant to this Section 3.2(a) are
without duplication of the obligations imposed pursuant to Section 7.4. 
  

	 	(b)	If prior to the first day of any Interest Period: 

  

	 	(i)	Agent shall have determined (which determination shall be conclusive and binding upon Borrower) that, by reason of circumstances affecting the relevant market, adequate
and reasonable means do not exist for ascertaining the Adjusted Euro Dollar Rate for such Interest Period; 

  

	 	(ii)	Agent has received notice from a Lender that that Adjusted Euro Dollar Rate determined or to be determined for such Interest Period will not adequately and fairly
reflect the cost to such Lender of making or maintaining Euro Dollar Rate Loans during such Interest Period; or 

  

	 	(iii)	US Dollar deposits in the principal amounts of the Euro Dollar Rate Loans to which such Interest Period is to be applicable are not generally available in the London
interbank market, 

 Agent shall give notice thereof to Borrower as soon as practicable thereafter (which notice
shall be withdrawn whenever such circumstances no longer exist). If such notice is given (A) any Euro Dollar Rate Loans requested to be made on the first day of such Interest Period shall be made as a US Prime Rate Loan, (B) any Loans that
were to have been converted on the first day of such Interest Period to or continue as Euro Dollar Rate Loans shall be converted to or continued as US Prime Rate Loans and (C) each outstanding Euro Dollar Rate Loan shall be converted, on the
last day of the then-current Interest Period thereof, to US Prime Rate Loans. Until such notice has been withdrawn by 

  
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Agent, no further Euro Dollar Rate Loans shall be made or continued as such, nor shall Borrower have the right to convert U.S. Prime Rate Loans to Euro Dollar Rate Loans. 

 

	 	(c)	Notwithstanding any other provision herein, if the adoption of or any change in any law, treaty, rule or regulation or final, non-appealable determination of an
arbitrator or a court or other Governmental Authority or in the interpretation or application thereof occurring after the Closing Date shall make it unlawful for Agent or any Lender to make or maintain Euro Dollar Rate Loans as contemplated by this
Agreement: 

  

	 	(i)	Agent shall promptly give written notice of such circumstances to Borrower (which notice shall be withdrawn whenever such circumstances no longer exist);
provided, however, that, before making any such demand, such Lender agrees to use reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to designate a different Euro Dollar lending office
if the making of such a designation would allow such Lender or its Euro dollar lending office to continue to perform its obligations to make Euro Dollar Rate Loans or to continue to fund or maintain Euro Dollar Rate Loans and would not, in the
judgment of such Lender, be otherwise disadvantageous to such Lender; 

  

	 	(ii)	the commitment of each Lender hereunder to make Euro Dollar Rate Loans, continue Euro Dollar Rate Loans as such and convert US Prime Rate Loans to Euro Dollar Rate
Loans shall forthwith be cancelled and, until such time as it shall no longer be unlawful for such Lender to make or maintain Euro Dollar Rate Loans, such Lender shall then have a commitment only to make a US Prime Rate Loan when a Euro Dollar Rate
Loan is requested; and 

  

	 	(iii)	such Lender’s Loans then outstanding as Euro Dollar Rate Loans, if any, shall be converted automatically to US Prime Rate Loans on the respective last days of the
then current Interest Periods with respect to such Loans or within such earlier period as required by law. If any such conversion of a Euro Dollar Rate Loan occurs on a day which is not the last day of the then current Interest Period with respect
thereto, Borrower shall pay to such Lender such amounts, if any, as may be required pursuant to Section 3.2(d) below. 

  

	 	(d)	Borrower shall indemnify Agent and each Lender and shall hold Agent and each Lender harmless from any loss or expense which Agent or such Lender may sustain or incur as
a consequence of: 

  

	 	(i)	 default by Borrower in making a borrowing of, conversion into or extension of an Euro Dollar Rate Loan after Borrower has given a Notice of Borrowing
or Notice of Conversion/Continuation, as the case may be, 

  
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requesting the same in accordance with the provisions of this Agreement; and 

  

	 	(ii)	the making of a prepayment of Euro Dollar Rate Loans on a day which is not the last day of an Interest Period with respect thereto. 

With respect to Euro Dollar Rate Loans, such indemnification may include an amount equal to the greater of (i) the excess, if any, of
(1) the amount of interest which would have accrued on the amount so prepaid, or not so borrowed, converted or extended, for the period from the date of such prepayment or of such failure to borrow, convert or extend to the last day of the
applicable Interest Period (or, in the case of a failure to borrow, convert or extend, the Interest Period that would have commenced on the date of such failure) in each case at the applicable rate of interest for such Euro Dollar Rate Loans
provided for herein over (2) the amount of interest (as determined by such Agent or such Lender) which would have accrued to Agent or such Lender on such amount by placing such amount on deposit for a comparable period with leading banks
in the interbank Euro Dollar market; and (ii) an amount equal to the interest that would have been payable if the Euro Dollar Rate Loan had been a US Prime Rate Loan. This covenant shall survive the termination or non-renewal of this Agreement
and the payment of the Obligations. 
  

	 	(e)	In the event that Borrower has hedged a Euro Dollar Rate Loan with an interest rate swap with Agent, a Lender or any of its Affiliates under which Borrower is to make
its payments based on a fixed rate and Agent, such Lender or any of its Affiliates is to make its payments based on a rate equal to the Adjusted Euro Dollar Rate, then the fallback rate (being the US Prime Rate in the circumstances described in this
Section 3.2) on any given day while the swap with Agent, such Lender or any of its Affiliates is in effect will be the sum of (i) the fallback floating rate payable by Agent, such Lender or any of its Affiliates that is in effect
under the interest rate swap for that day (without regard to any interest rate spread added thereto under the terms of the interest rate swap) plus (ii) the Applicable Margin applicable to Euro Dollar Rate Loans. 

 

	 	(f)	 In the event any Lender demands payment of costs or additional amounts pursuant to this Section 3.2 or Section 7.4 or asserts,
pursuant to Section 3.2(c), that it is unlawful for such Lender to make Euro Dollar Rate Loans or becomes a Non-Funding Lender then (subject to such Lender’s right to rescind such demand or assertion within 10 Business Days after
the notice from Borrower referred to below) Borrower may, upon 20 Business Days’ prior written notice to such Lender and Agent, elect to cause such Lender to assign its Loans and Revolving Loan Commitments in full to one or more Persons
selected by Borrower so long as (i) each such Person satisfies the criteria of an Eligible Transferee and is satisfactory to Agent, (ii) such Lender receives payment in full in cash of the outstanding principal amount of all Loans made by
it and all accrued and unpaid interest thereon and all other amounts due and payable to such Lender as of the date of such assignment and (iii) each such assignee agrees to accept such

  
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assignment and to assume all obligations of such Lender hereunder in accordance with Section 11.1. 

 

	3.3	Commitment Fee 

  

	 	(a)	Borrower shall pay to Agent a commitment fee (i) initially after the Closing Date at a rate equal to 0.25% per annum and (ii) after the first AM
Calculation Date at the Applicable Margin, in each case calculated on the basis of a 360 day year and actual days elapsed and upon the amount by which the then applicable Revolving Loan Commitment exceeds the sum of (i) the average daily
principal balance of the outstanding Revolving Loans and (ii) the average daily face amount of the Letter of Credit Accommodations during the immediately preceding Fiscal Quarter (or part thereof) while this Agreement is in effect and for so
long thereafter as any of the Obligations are outstanding, which commitment fee shall be payable on the last Business Day of each of Fiscal Quarter in arrears. For further clarity, no Obligations will be outstanding once this Agreement has been
terminated and all non-contingent Obligations have been fully and indefeasibly satisfied and cash collateral has been posted in the full amount then outstanding of any Letter of Credit Accommodations and Secured Hedge Agreement, if any. This
commitment fee shall not be payable to a Lender during the period it is a Non-Funding Lender. 

 ARTICLE 4

 CONDITIONS PRECEDENT 
  

	4.1	Conditions Precedent to the Availability of Loans and Letter of Credit Accommodations 

 Each of the following is a condition precedent to Lenders making available the Loans and making available the Letter of Credit Accommodations hereunder on the Closing Date: 

 

	 	(a)	Agent and Lenders shall have received the Financing Agreements, agreements, instruments and documents listed on the Closing Agenda attached hereto as Exhibit H,
all in form and substance satisfactory to Agent and Lenders; 

  

	 	(b)	no event or circumstance shall have occurred which has had or could be reasonably expected to have a material adverse change in the assets or business of Credit
Parties, taken as a whole, since the date of the most recent audited financial statements of Credit Parties received by Agent and no change or event shall have occurred which would materially impair the ability of Credit Parties, taken as a whole,
to perform their obligations under any of the Financing Agreements to which they are a party or of Agent to enforce the Obligations or realize upon the Collateral; 

 

	 	(c)	other than what a Credit Party has disclosed in its Information Certificate, there shall exist no material pending or threatened litigation, proceeding, bankruptcy or
insolvency, injunction, order or claims with respect to any Credit Party or this Agreement; 

  
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	 	(d)	Agent and Lenders and their respective counsel shall have completed their business and legal due diligence with results satisfactory to Agent and Lenders; and

  

	 	(e)	Agent shall have received evidence, in form and substance reasonably satisfactory to Agent, or be satisfied that there exists no material misstatements in or material
omissions from the financial and other materials, taken as a whole, furnished to Agent by any Credit Party. 

  

	4.2	Conditions Precedent to the Availability of All Loans and Letter of Credit Accommodations 

 Each of the following is an additional condition precedent to Lenders making available the Loans and/or making available Letter of Credit Accommodations to Borrower, including the initial Loans and Letter
of Credit Accommodations and any future Loans and Letter of Credit Accommodations: 
  

	 	(a)	all steps required with respect to notice and request for the making available of the Loans and/or making available Letter of Credit Accommodations to Borrower set out
or contemplated herein have been completed; 

  

	 	(b)	all representations and warranties contained in the Financing Agreements shall be true and correct (i) in all material respects if not subject to materiality or
Material Adverse Effect qualifications or (ii) in all respects if subject to materiality or Material Adverse Effect qualifications with the same effect as though such representations and warranties had been made on and as of the date of the
making of each such Loan or providing each such Letter of Credit Accommodation and after giving effect thereto; 

  

	 	(c)	no Event of Default or Default shall exist or have occurred and be continuing on and as of the date of the making of such Loan or providing, amending or extending each
such Letter of Credit Accommodation and after giving effect thereto; and 

  

	 	(d)	after giving effect to each Loan and Letter of Credit Accommodation, (i) the Revolving Loan Outstandings shall not exceed the Revolving Loan Commitment,
(ii) the Revolving Loan Exposure of any Revolving Lender shall not exceed such Revolving Lender’s Revolving Loan Commitment, (iii) the aggregate outstanding amount of the Letter of Credit Accommodations shall not exceed the sub-limit
for Letter of Credit Accommodations set forth in Section 2.2(c), (iv) the aggregate amount of the Revolving Outstandings and the Term Loans shall not exceed the Maximum Credit and (v) the aggregate amount of the Term Loans
shall not exceed the Maximum Term Credit. 

  
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 ARTICLE 5 
 COLLECTION AND ADMINISTRATION 
  

	5.1	Borrower’s Loan Account 

 Agent shall
maintain one or more loan account(s) on its books in which shall be recorded: (a) all Loans, Letter of Credit Accommodations and other Obligations and the Collateral; (b) all payments made by or on behalf of Borrower; and (c) all
other appropriate debits and credits as provided in this Agreement, including fees, charges, costs, expenses and interest. All entries in the loan account(s) shall be made in accordance with Agent’s customary practices as in effect from time to
time. 
  

	5.2	Statements 

 Agent shall render to
Borrower within a reasonable time following the end of each Fiscal Quarter statements setting forth the balance in Borrower’s loan account(s) maintained by Agent for Borrower pursuant to the provisions of this Agreement, including principal,
interest, fees, costs and expenses. Each such statement shall be subject to subsequent adjustment by Agent but shall, absent manifest errors or omissions, be considered correct and deemed accepted by Borrower and conclusively binding upon Borrower
as an account stated except to the extent that Agent receives a written notice from Borrower of any specific exceptions of Borrower thereto within 30 days after the date such statement has been mailed by Agent. Until such time as Agent shall have
rendered to Borrower a written statement as provided above, the balance in Borrower’s loan account(s) shall be presumptive evidence of the amounts due and owing to Agent and Lenders by Borrower. 

 

	5.3	Payments 

  

	 	(a)	All Obligations (other than obligations, liabilities and indebtedness in connection with any Secured Hedge Agreement (which shall be paid in accordance with the terms
thereof)) shall be payable to Agent as it may designate from time to time. 

  

	 	(b)	Agent shall apply payments received or collected from Credit Parties or for the account of Credit Parties (including the monetary proceeds of collections or of
realization upon any Collateral) as follows: 

  

	 	(i)	first, to pay any fees, indemnities or expense reimbursements then due to Agent or Lenders from Credit Parties; 

 

	 	(ii)	second, to pay interest then due in respect of any Loans; 

  

	 	(iii)	third, to pay principal then due in respect of the Loans and outstanding obligations due under Secured Hedge Agreements and Secured Cash Management Agreements;
and 

  

	 	(iv)	 fourth, to pay the outstanding Loans and cash collateralize outstanding Letter of Credit Accommodations and Secured Hedge Agreements, and after
the occurrence of and during the continuance of an Event of Default, 

  
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to pay or pre-pay such of the Obligations, whether or not then due, in such order and manner as Agent determines. 

 

	 	(c)	Notwithstanding clause (b) above, Obligations arising under Secured Hedge Agreements and Secured Cash Management Agreements shall be excluded from the
application described above if Agent has not received written notice thereof, together with such supporting documentation as Agent may request, from the applicable Hedge Bank or Cash Management Bank, as the case may be. Each Hedge Bank or Cash
Management Bank not a party to this Agreement that has given the notice contemplated by the preceding sentence shall, by such notice, be deemed to have acknowledged and accepted the appointment of Agent pursuant to the terms of Article 11 for
itself and its Affiliates as if a “Lender” party hereto. 

  

	 	(d)	Payments and collections received in any currency other than US Dollars will be accepted and/or applied at the sole discretion of Agent. At Agent’s option, all
principal, interest, fees, costs, expenses and other charges provided for in the Financing Agreements, the Secured Hedge Agreements or the Secured Cash Management Agreements may be charged directly to the loan account(s) of Borrower. Borrower shall
make all payments to Agent on the Obligations free and clear of, and without deduction or withholding for or on account of, any set-off, counterclaim, defence, duties, taxes, levies, imposts, fees, deductions, withholding, restrictions or conditions
of any kind except as required by applicable law. Subject to Section 7.4 and the exclusions in Section 7.4(b), if applicable law requires that Borrower deduct or withhold any amount on account of taxes, then Borrower shall
pay such additional amount as may be required so that the payment received by Agent is equal to the amount that would have been received if the deduction or withholding had not been made. If after receipt of any payment of, or proceeds of Collateral
applied to the payment of, any of the Obligations, Agent is required to surrender or return such payment or proceeds to any Person for any reason, then the Obligations intended to be satisfied by such payment or proceeds shall be reinstated and
continue and this Agreement shall continue in full force and effect as if such payment or proceeds had not been received by Agent. Borrower shall be liable to pay to Agent, and does hereby indemnify and hold Agent harmless for the amount of any
payments or proceeds surrendered or returned. This Section 5.3 shall remain effective notwithstanding any contrary action which may be taken by Agent in reliance upon such payment or proceeds. The indemnification in the second preceding
sentence shall survive the payment of the Obligations and the termination of this Agreement. 

  

	5.4	Authorization to Make Loans and Letter of Credit Accommodations 

 Each Lender is authorized to make the Loans and provide the Letter of Credit Accommodations based upon written instructions received by Agent from the persons authorized by Borrower as notified in writing
by Borrower to Agent from time to time or, at the discretion of Lenders, if such Loans are necessary to satisfy any Obligations. All requests for Loans or Letter of Credit Accommodations hereunder shall specify the date on which the requested
advance is to be made or Letter of Credit Accommodations established (which day shall be a Business Day) and the 

  
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amount of the requested Loan. Requests received after 12:00 noon (Eastern Time) on any day shall be deemed to have been made as of the opening of business on the immediately following Business
Day. All Loans and Letter of Credit Accommodations under this Agreement shall be conclusively presumed to have been made to, and at the request of and for the benefit of, Borrower when deposited to the credit of Borrower or otherwise disbursed or
established in accordance with the instructions of Borrower or in accordance with the terms and conditions of this Agreement. 
  

	5.5	Use of Proceeds 

 Borrower shall use the
proceeds of the Loans provided by Lenders to Borrower hereunder for (a) costs, expenses and fees in connection with the preparation, negotiation, execution and delivery of the Financing Agreements and (b) any remaining proceeds and all
other Loans made or Letter of Credit Accommodations provided by Lenders to Borrower pursuant to the provisions hereof shall be used by Borrower only for general operating, working capital and other proper corporate purposes of Borrower and its
Subsidiaries not otherwise prohibited by the terms hereof 
  

	5.6	Pro Rata Treatment 

 Except to the extent otherwise provided in this Agreement, (a) the making and conversion of Loans shall be made by Lenders based on their respective Pro Rata Shares as to the Loans and (b) each
payment on account of any Obligations to or for the account of one or more of Lenders or their respective Affiliates in respect of any Obligations due on a particular day shall be allocated among the Lenders and their respective Affiliates, as
applicable, entitled to such payments based on their respective Pro Rata Shares or Obligations, as the case may be, and shall be distributed accordingly by Agent. 
  

	5.7	Obligations Several; Independent Nature of Lenders’ Rights 

 The obligations of each Lender hereunder are several, and no Lender shall be responsible for the obligations or commitment of any other Lender hereunder. Nothing contained in this Agreement or any of the
other Financing Agreements and no action taken by the Lenders pursuant hereto or thereto shall be deemed to constitute the Lenders to be a partnership, as association, a joint venture or any other kind of entity. The amounts payable at any time
hereunder to each Lender shall be a separate and independent debt, and subject to Section 11.13(f) hereof, each Lender shall be entitled to protect and enforce its rights arising out of this Agreement and it shall not be necessary for
any other Lender to be joined as an additional party in any proceeding for such purpose. 
 ARTICLE 6 

REPRESENTATIONS AND WARRANTIES 
 Each Credit Party hereby represents and warrants to Agent and each Lender the following (which shall survive the execution and delivery of this Agreement), the truth and accuracy of which are a continuing
condition of the making of Loans and providing Letter of Credit Accommodations by Lenders to Borrower: 

  
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	6.1	Corporate Existence, Power and Authority; Subsidiaries; Solvency 

 Each Credit Party and each Subsidiary thereof is a corporation duly incorporated, validly existing and duly organized under the laws of its jurisdiction of incorporation and is duly qualified or
registered as a foreign or extra-provincial corporation in all provinces, states or other jurisdictions where the nature and extent of the business transacted by it or the ownership of assets makes such qualification necessary, except for those
jurisdictions in which the failure to so qualify would not have a Material Adverse Effect. The execution, delivery and performance of the Financing Agreements and the transactions contemplated thereunder are all within each Credit Party’s and
each of its Subsidiaries’ corporate powers, have been duly authorized and are not in contravention of law or the terms of its certificate of incorporation, by-laws, or other organizational documentation, or any indenture, agreement or
undertaking to which it is a party or by which it or its property are bound. The Financing Agreements constitute legal, valid and binding obligations of each Credit Party and each Subsidiary thereof which is a party thereto enforceable in accordance
with their respective terms. As of the Closing Date, each Credit Party and each Subsidiary thereof does not have any Subsidiaries except as set forth on the Information Certificate and on the corporate structure chart attached as Schedule
6.1. Credit Parties and their Subsidiaries, taken as a whole, are Solvent. 
  

	6.2	Financial Statements; No Material Adverse Change 

 All financial statements relating to Borrower which have been delivered by Borrower to Agent or may hereafter be delivered by Borrower to Agent pursuant to Section 7.6(a)(i) and
(ii) have been prepared in accordance with GAAP and fairly present its financial condition and the results of its operation as at the dates and for the periods set forth therein. Except as disclosed in any interim financial statements
furnished by each Credit Party and each Subsidiary thereof to Agent prior to the date of this Agreement, there has been no material adverse change in its assets, liabilities, properties and condition, financial or otherwise, since the date of the
most recent audited financial statements furnished by it to Agent prior to the date of this Agreement. 
  

	6.3	Chief Executive Office; Collateral Locations 

 As of the Closing Date, the chief executive office of each Credit Party is located only at the address set forth on its signature page below and its only other places of business and the only other
locations of Collateral, if any, are the addresses set forth in its Information Certificate, subject to its right to establish new locations in accordance with Section 7.2 below. As of the Closing Date, each Credit Party’s
Information Certificate correctly identifies any of such locations which are not owned by such Credit Party and sets forth the owners and/or operators thereof and to the best of its knowledge, the holders of any mortgages on such locations.

  

	6.4	Priority of Liens; Title to Properties; Intellectual Property Matters 

 The Liens granted to Agent under the Financing Agreements constitute valid and perfected first priority Liens in and upon the Collateral subject only to Permitted Liens. Each Credit Party and each
Subsidiary thereof has good and marketable title to all of its properties and assets subject to no Liens, except Permitted Liens. Each Credit Party and each Subsidiary thereof owns or possesses rights to use all material franchises, licenses,
copyrights, copyright applications, 

  
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patents, patent rights or licenses, patent applications, trademarks, trademark rights, service mark, service mark rights, trade names, trade name rights, copyrights and other rights with respect
to the foregoing which are reasonably necessary to conduct its business. To the knowledge of each Credit Party, no event has occurred which permits, or after notice or lapse of time or both would permit, the revocation or termination of any such
rights. No Credit Party nor any Subsidiary thereof is liable to any Person for infringement under any applicable law, regulation, rule, license, permit, approval or order with respect to any such rights as a result of its business operations except
as could not reasonably be expected to have a Material Adverse Effect. 
  

	6.5	Tax Returns 

 Each Credit Party and each
Subsidiary thereof has filed, or caused to be filed, in a timely manner (with extensions) all tax returns, reports and declarations which are required to be filed by it (except those in respect of taxes the calculation or payment of which are being
contested in good faith by appropriate proceedings diligently pursued and available to it and except for those returns for those jurisdictions in which failure to do so would not have a Material Adverse Effect). All information in such tax returns,
reports and declarations is complete and accurate in all material respects. Each Credit Party and each Subsidiary thereof has paid or caused to be paid all taxes due and payable or claimed due and payable in any assessment received by it, except
taxes (a) the validity of which are being contested in good faith by appropriate proceedings diligently pursued and available to it and with respect to which adequate reserves have been set aside on its books or (b) for which the failure
to pay would not have a Material Adverse Effect. Adequate provision has been made by each Credit Party and each Subsidiary thereof for the payment of all accrued and unpaid federal, provincial, municipal, local, foreign and other taxes whether or
not yet due and payable and whether or not disputed. 
  

	6.6	Litigation 

 Except as set forth on each
Credit Party’s Information Certificate, (a) to its knowledge, there is no present investigation by any Governmental Authority pending or threatened against or affecting such Credit Party and each Subsidiary thereof, its assets or business
and (b) to its knowledge, there is no action, suit, proceeding or claim by any Person pending or threatened against such Credit Party and each Subsidiary thereof or its assets or business, or against or affecting any transactions contemplated
by this Agreement, which in each of the foregoing cases, can reasonably be expected to result in any material adverse change in the assets or business of Credit Parties and their Subsidiaries, taken as a whole, or would materially impair the ability
of such Credit Party and each Subsidiary thereof to perform its obligations under any of the Financing Agreements to which it is a party or of Agent to enforce any Obligations or realize upon any Collateral. 

 

	6.7	Compliance with Other Agreements and Applicable Laws; Approvals 

 Each Credit Party and each Subsidiary thereof is not in default in any respect under, or in violation in any respect of any of the terms of, any agreement, contract, instrument, lease or other commitment
to which it is a party or by which it or any of its assets are bound and each Credit Party and each Subsidiary thereof is in compliance in all respects with all applicable provisions of laws, rules, regulations, licenses, permits, approvals and
orders of any foreign, federal, 

  
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provincial or local governmental authority except for any default or lack of compliance that would not reasonably be expected to have a Material Adverse Effect. The execution, delivery and
performance by each Credit Party and each Subsidiary thereof of the Financing Agreements to which it is a party do not and will not (a) require any governmental approval where the failure to obtain such approval could reasonably be expected to
have a Material Adverse Effect or (b) require any consent or authorization of, filing with, or other act in respect of, a Governmental Authority and no consent of any other Person is required in connection with such execution, delivery and
performance other than consents, authorizations, filings or other acts or consents for which the failure to obtain or make could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect and notices and filings
made in connection with the security interests granted under the Financing Agreements. 
  

	6.8	Bank Accounts 

 As of the Closing Date,
all of the deposit accounts, investment accounts or other accounts in the name of or used by any Credit Party maintained at any bank or other financial institution are set forth in its Information Certificate. 

 

	6.9	Accuracy and Completeness of Information, Significant Contracts 

  

	 	(a)	The information, taken as a whole, furnished by or on behalf of each Credit Party and each Subsidiary thereof in writing to Agent or a Lender in connection with any of
the Financing Agreements or any transaction contemplated hereby or thereby, including all information in the Information Certificates, is true and correct in all material respects on the date as of which such information is dated or certified and
does not omit any material fact necessary in order to make such information not misleading. 

  

	 	(b)	To the knowledge of each Credit Party, the Information Certificates set forth a complete and accurate list of all Significant Contracts of each Credit Party and each
Subsidiary thereof in effect as of the Closing Date. Other than as set forth in the Information Certificates, to the knowledge of such Credit Party, such Significant Contract is, and after giving effect to the consummation of the transactions
contemplated by the Financing Agreements will be, in full force and effect in accordance with the terms thereof. To the extent requested by Agent, each Credit Party and each Subsidiary thereof has delivered to the Agent a true and complete copy of
each Significant Contract required to be listed on the Information Certificates. No Credit Party or Subsidiary thereof (nor, to the knowledge of Borrower, any other party thereto) is in breach of, or in default under, any Significant Contract or
judgment, decree or order to which it or its properties are bound in any material respect. Each Credit Party represents and warrants that none of its or its Subsidiaries’ Significant Contracts include contractual provisions restricting the
assignability thereof to Agent or to an assignee thereof upon exercise of the Financing Agreements, with the exception of those restrictive provisions set out on Schedule 6.9 hereof. 

  
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	 	(c)	No event or circumstance has occurred which has had or could reasonably be expected to have a material adverse affect on the business or assets of Credit Parties and
their Subsidiaries, taken as a whole, which has not been fully and accurately disclosed to Agent in writing. 

  

	6.10	Status of Pension Plans and ERISA 

 To the
best knowledge of each Credit Party: 
  

	 	(a)	The Pension Plans are duly registered under all applicable provincial pension benefits legislation and there are no other Canadian pension plans of any Credit Party or
any Subsidiary thereof other than the Pension Plans. 

  

	 	(b)	All obligations of each Credit Party and each Subsidiary thereof (including fiduciary, funding, investment and administration obligations) required to be performed in
connection with the Pension Plans or the funding agreements therefor have been performed in a timely fashion. There are no outstanding disputes concerning the assets held pursuant to any such funding agreement. 

 

	 	(c)	All contributions or premiums required to be made by any Credit Party and any Subsidiary thereof to the Pension Plans have been made in a timely fashion in accordance
with the terms of the Pension Plans and applicable laws and regulations. 

  

	 	(d)	All employee contributions to the Pension Plans required to be made by way of authorized payroll deduction have been properly withheld by each Credit Party and each
Subsidiary thereof and fully paid into the Pension Plans in a timely fashion. 

  

	 	(e)	All reports and disclosures relating to the Pension Plans required by any applicable laws or regulations have been filed or distributed in a timely fashion.

  

	 	(f)	There have been no improper withdrawals, or applications of, the assets of any of the Pension Plans. 

 

	 	(g)	No amount is owing by any of the Pension Plans under the Income Tax Act (Canada) or any provincial taxation statute. 

 

	 	(h)	None of the Pension Plans is a defined benefit registered pension plan or contains any defined benefit provision. 

 

	 	(i)	Each Credit Party, after diligent enquiry, has neither any knowledge, nor any grounds for believing, that any of the Pension Plans is the subject of an investigation or
any other proceeding, action or claim. There exists no state of facts which after notice or lapse of time or both could reasonably be expected to give rise to any such proceeding, action or claim. 

  
 -41-

	 	(j)	Each Plan is in compliance in all material respects with the applicable provisions of ERISA, the Code and other Federal or State law. Each Plan which is intended to
qualify under Section 401(a) of the Code has received a favorable determination letter from the Internal Revenue Service and to the best of each Credit Party’s knowledge, nothing has occurred which would cause the loss of such
qualification where such loss, when combined with other such occurrences or failures to comply, has or could reasonably be expected to have a Material Adverse Effect. Each Credit Party and its ERISA Affiliates have made all required contributions to
any Plan subject to Section 412 of the Code, and no application for a funding waiver has been made with respect to any Plan. 

  

	 	(k)	Except as set forth in the Information Certificates, there are no pending, or to the best of each Credit Party’s knowledge, threatened claims, actions or lawsuits,
or action by any Governmental Authority, with respect to any Plan. Except as set forth in the Information Certificates, there has been no prohibited transaction or violation of the fiduciary responsibility rules that would reasonably be expected to
result in a material liability to the Plan. 

  

	 	(l)	Except as set forth in the Information Certificates, (i) no ERISA Event has occurred or is reasonably expected to occur that would reasonably be expected to result
in a material liability to the Plan; (ii) each Credit Party and its ERISA Affiliates have not incurred and do not reasonably expect to incur, any liability under Title IV of ERISA with respect to any Plan (other than premiums due and not
delinquent under Section 4007 of ERISA); (iii) each Credit Party and its ERISA Affiliates have not incurred and do not reasonably expect to incur any liability (and no event has occurred which, with the giving of notice under
Section 4219 of ERISA, would result in such liability) under Section 4201 or 4243 of ERISA with respect to a Multiemployer Plan; and (iv) each Credit Party and its ERISA Affiliates have not engaged in a
transaction that would be subject to Section 4069 or 4212(c) of ERISA. 

  

	6.11	Environmental Compliance 

  

	 	(a)	Each Credit Party and each Subsidiary thereof has not generated, used, stored, treated, transported, manufactured, handled, produced or disposed of any Hazardous
Materials, on or off its premises (whether or not owned by it) in any manner which at any time violates any applicable Environmental Law or any license, permit, certificate, approval or similar authorization thereunder which may be expected to have
a Material Adverse Effect and the operations of each Credit Party and each Subsidiary thereof comply in all material respects with all Environmental Laws and all licenses, permits, certificates, approvals and similar authorizations thereunder.

  

	 	(b)	 There is no investigation, proceeding, complaint, order, directive, claim, citation or notice by any Governmental Authority or any other person nor is
any pending or to the best of each Credit Party’s knowledge threatened, with respect to any non-compliance with or violation of the requirements of any Environmental Law

  
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by such Credit Party and each Subsidiary thereof or the release, spill or discharge, threatened or actual, of any Hazardous Material or the generation, use, storage, treatment, transportation,
manufacture, handling, production or disposal of any Hazardous Materials or any other environmental, health or safety matter, which affects such Credit Party and each Subsidiary thereof or its business, operations or assets or any properties at
which any Credit Party or any Subsidiary thereof has transported, stored or disposed of any Hazardous Materials. 

  

	 	(c)	Each Credit Party and each Subsidiary thereof has no material liability (contingent or otherwise) in connection with a release, spill or discharge, threatened or
actual, of any Hazardous Materials or the generation, use, storage, treatment, transportation, manufacture, handling, production or disposal of any Hazardous Materials. 

 

	 	(d)	Each Credit Party and each Subsidiary thereof has all licenses, permits, certificates, approvals or similar authorizations required to be obtained or filed in
connection with its operations under any Environmental Law and all of such licenses, permits, certificates, approvals or similar authorizations are valid and in full force and effect. 

 

	 	(e)	Each Credit Party and each Subsidiary thereof does not maintain and is not required by applicable law or otherwise to establish and maintain a system to assure and
monitor its continued compliance with all Environmental Laws in all of its operations. In the event a Credit Party or a Subsidiary thereof establishes such a system it shall include annual reviews of such compliance by its employees or agents who
are familiar with the requirements of the Environmental Laws and copies of all environmental surveys, audits, assessments, feasibility studies and results of remedial investigations shall be promptly furnished, or caused to be furnished, by such
Credit Party to Agent all at such Credit Party’s expense. 

  

	6.12	Survival of Warranties; Cumulative 

 All
representations and warranties contained in any of the Financing Agreements shall survive the execution and delivery of this Agreement and shall be deemed to have been made again to Agent and each Lender on the date of each additional borrowing or
other credit accommodation hereunder and shall be conclusively presumed to have been relied on by Agent and each Lender regardless of any investigation made or information possessed by Agent or any Lender. The representations and warranties set
forth herein shall be cumulative and in addition to any other representations or warranties which any Credit Party or any Subsidiary thereof shall now or hereafter give, or cause to be given, to Agent or any Lender. 

 

	6.13	U.S. Legislation 

  

	 	(a)	 No Credit Party or any Subsidiary or Affiliate thereof is in violation of any of the country or list-based economic and trade sanctions administered
and enforced by OFAC. No Credit Party or any Subsidiary or Affiliate thereof (i) is a Sanctioned Person or a Sanctioned Entity, (ii) has any of its assets in Sanctioned Entities, or

  
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(iii) derives any of its operating income from investments in, or transactions with, Sanctioned Persons or Sanctioned Entities. The proceeds of the Loans and other financial accommodation
hereunder will not be used and have not been used to fund any operations in, finance any investments or activities in, or make any payments to, a Sanctioned Person or a Sanctioned Entity. 

 

	 	(b)	None of the requesting or borrowing of the Loans or the requesting or issuance, extension or renewal of any Letter of Credit Accommodations or the use of the proceeds
of any thereof will violate the Trading With the Enemy Act (50 USC §1 et seq., as amended) (the “Trading With the Enemy Act”) or any of the foreign assets control regulations of the United States Treasury Department (31
C.F.R., Subtitle B, Chapter V, as amended) (the “Foreign Assets Control Regulations”) or any enabling legislation or executive order relating thereto (including, but not limited to, (i) Executive order 13224 of
September 21, 2001 Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism (66 Fed. Reg. 49079 (2001)) (the “Executive Order”) and (ii) the Patriot Act. Neither
any Credit Party nor any of its Subsidiaries or Affiliates is or will become a “blocked person” as described in the Executive Order, the Trading with the Enemy Act or the Foreign Assets Control Regulations or engages or will engage
in any dealings or transactions, or be otherwise associated, with any such “blocked person”. 

  

	 	(c)	No part of the proceeds of the Loans will be used for any purpose that violates the provisions of any of Regulation T, U or X of the Board of Governors of the Federal
Reserve System of the United States of America or any other regulation of such Board of Governors, no Credit Party or Subsidiary thereof is engaged in the business of extending credit for the purpose of purchasing or carrying margin stock within the
meaning of Regulation U of the Board of Governors of the Federal Reserve System and Borrower does not own any such “margin stock”. 

  

	 	(d)	No part of the proceeds of the Loans or other financial accommodations made or provided hereunder will be used by any Credit Party or any Subsidiary or Affiliate
thereof, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or
direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as amended. 

  

	 	(e)	No Credit Party or Subsidiary thereof is an “investment company” or a company “controlled” by an “investment company” (as each such term
is defined or used in the Investment Company Act of 1940, as amended) and no Credit Party and Subsidiary thereof is, or after giving effect to any extension of loans will be, a regulated entity under the Interstate Commerce Act, as amended,
or any other applicable law which limits its ability to incur or consummate the transactions contemplated hereby. 

  
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	6.14	Material Operating Subsidiaries 

 As of
the Closing Date, Guarantors are the only Material Subsidiaries of Borrower other than IMAC China Multimedia, IMAX China Theatre and IMAX Japan. 
  

	6.15	Employee Relations 

 As of the Closing
Date, no Credit Party or Subsidiary thereof is party to any collective bargaining agreement and no labor union has been recognized as the representative of its employees except as set forth on the Information Certificates. Each Credit Party knows of
no pending, threatened or contemplated strikes, work stoppage or other collective labor disputes involving its employees or those of its Subsidiaries which could reasonably be expected to have a Material Adverse Effect. 

 

	6.16	Burdensome Provisions 

 No Credit Party or
Subsidiary thereof is party to any agreement or instrument or otherwise subject to any restriction or encumbrance that restricts or limits its ability to make dividend payments or other distributions in respect of its Capital Stock to Borrower or
any Subsidiary thereof or to transfer any of its assets or properties to Borrower or any other Subsidiary thereof in each case other than existing under or by reason of the Financing Agreements, applicable law or pursuant to any document or
instrument governing indebtedness incurred pursuant to Section 8.3(c), (g), (h), (i) and (k). 
  

	6.17	Absence of Defaults 

 No event,
circumstance or omission has occurred or is continuing which constitutes a Default or an Event of Default. 
  

	6.18	Senior Indebtedness Status 

 The
Obligations rank and shall continue to rank senior in priority of payment to all subordinated indebtedness of each Credit Party and shall be designated as “Senior Indebtedness” under all instruments and documents, now or in the future,
relating to all subordinated indebtedness of such Credit Party. 
 ARTICLE 7 

AFFIRMATIVE COVENANTS 
 Until all of the non-contingent Obligations have been paid and satisfied in full in cash, all Letters of Credit Accommodations have been terminated or expired (or been cash collateralized on terms
satisfactory to Agent) and the Revolving Loan Commitment terminated, each Credit Party will, and will cause each of its Subsidiaries to: 
  

	7.1	Maintenance of Existence 

 Except to the
extent otherwise permitted herein, preserve, renew and keep in full, force and effect its corporate existence and rights and franchises with respect thereto and maintain in full 

  
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force and effect all permits, licenses, trademarks, tradenames, approvals, authorizations, leases and contracts necessary to carry on the business as presently or proposed to be conducted. Each
Credit Party shall give Agent 15 days prior written notice of any proposed change in its or any of its Subsidiaries’ corporate name, which notice shall set forth the new name and it shall deliver to Agent a certified copy of the articles of
amendment providing for the name change immediately following its filing. 
  

	7.2	New Collateral Locations 

 Give Agent 30
days prior written notice if it intends to do business or have assets located in a Province of Canada not set forth in the Information Certificates as of the Closing Date and execute and deliver, or cause to be executed and delivered, to Agent such
agreements, documents, and instruments as Agent may deem necessary or desirable to protect its interests in the Collateral in such Province, including PPSA and other financing statements and such other evidence as Agent may require of the perfection
of Agent’s first priority Liens where required by Agent. If any Lender determines, acting reasonably, that any applicable law has made it unlawful, or that any Governmental Authority has asserted that it is unlawful, for such Lender to hold or
benefit from a Lien over real property, such Lender may notify Agent and disclaim any benefit of such Lien to the extent of such illegality; provided, that such determination or disclaimer shall not invalidate or render unenforceable
such Lien for the benefit of Agent, any other Lender or Secured Party. 
  

	7.3	Compliance with Laws, Regulations, Etc. 

  

	 	(a)	Comply in all respects with all laws, rules, regulations, licenses, permits, approvals and orders applicable to it and duly observe all requirements of any Governmental
Authority, including all statutes, rules, regulations, orders, permits and stipulations relating to environmental pollution and employee health and safety, including all of the Environmental Laws except for any matter (i) that it is contesting
in good faith by appropriate proceedings diligently pursued or (ii) which is not reasonably expected to have a Material Adverse Effect. 

  

	 	(b)	Take prompt and appropriate action to respond to any non-compliance with any of the Environmental Laws and shall regularly report to Agent on such response.

  

	 	(c)	 Give both oral and written notice to Agent promptly upon its receipt of any notice of, or it otherwise obtaining knowledge of: (i) the occurrence
of any event involving the actual release, spill or discharge of any Hazardous Material that would be in violation of Environmental Laws; or (ii) any investigation, proceeding, complaint, order, directive, claims, citation or notice with
respect to: (A) any non-compliance with or violation of any Environmental Law by any Credit Party or Subsidiary thereof, or (B) the release, spill or discharge, threatened or actual, of any Hazardous Material, or (C) the generation,
use, storage, treatment, transportation, manufacture, handling, production or disposal of any Hazardous Materials, or (D) any other environmental, health or safety matter, which affects any Credit Party or any Subsidiary thereof or its
business, 

  
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operations or assets or any properties at which it transported, stored or disposed of any Hazardous Materials. 

 

	 	(d)	Without limiting the generality of the foregoing, whenever Agent determines that there is non-compliance, or any condition which requires any action by or on behalf of
any Credit Party or any Subsidiary thereof in order to avoid any material non-compliance, with any Environmental Law, such Credit Party shall, at Agent’s request and such Credit Party’s expense: (i) cause an independent environmental
engineer acceptable to Agent to conduct such tests of the site where such Credit Party’s or Subsidiary’s non-compliance or alleged non-compliance with such Environmental Laws has occurred as to such non-compliance and prepare and deliver
to Agent a report as to such non-compliance setting forth the results of such tests, a proposed plan for responding to any environmental problems described therein, and an estimate of the costs thereof; and (ii) provide to Agent a supplemental
report of such engineer whenever the scope of such non-compliance, or such Credit Party’s or Subsidiary’s response thereto or the estimated costs thereof, shall change in any material respect. 

 

	 	(e)	Indemnify and hold harmless Agent and each Lender and their respective directors, officers, employees, agents, invitees, representatives, successors and assigns, from
and against any and all losses, claims, damages, liabilities, costs, and expenses (including reasonable legal fees and expenses) directly or indirectly arising out of or attributable to the use, generation, manufacture, reproduction, storage,
release, threatened release, spill, discharge, disposal or presence of a Hazardous Material, including the costs of any required or necessary repair, cleanup or other remedial work with respect to any property of any Credit Party or any Subsidiary
thereof and the preparation and implementation of any closure, remedial or other required plans. All representations, warranties, covenants and indemnifications in this Section 7.3 shall survive the payment of the Obligations and the
termination of this Agreement. 

  

	7.4	Payment of Taxes and Claims 

  

	 	(a)	Duly pay and discharge all taxes, assessments, contributions and governmental charges upon or against it or its properties or assets, except for (a) taxes,
assessments, contributions and governmental charges the validity of which are being contested in good faith by appropriate proceedings diligently pursued and available to it and with respect to which adequate reserves have been set aside on its
books or (b) taxes, assessments, contributions and governmental charges for which the failure to pay (i) is not reasonably expected to have a Material Adverse Effect and (ii) does not, and could not, have a trust (including a
statutory trust) imposed to provide for payment or Lien ranking or capable of ranking senior to or pari passu with the Liens securing the Obligations on any of the Collateral under federal, provincial, state, county, municipal or local law.

  

	 	(b)	 Pay or be liable for any tax imposed on Agent or a Lender as a result of the financing arrangements provided for herein and indemnify and hold Agent
and 

  
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each Lender harmless with respect to the foregoing, and to repay to Agent and/or a Lender, as the case may be, on demand the amount thereof, and until paid such amount shall be added and deemed
part of the Obligations; provided, that nothing contained herein shall result in any Credit Party or any Subsidiary thereof being obligated to pay, indemnify or be liable for any (i) income, capital, financial institution or
franchise taxes (including such taxes imposed by way of withholding) imposed by the jurisdiction in which Agent or a Lender is organized or maintains its principal office or applicable lending office or with which Agent or such Lender has a present
or former connection (other than a connection as a result of the financing arrangements contemplated herein or relating thereto) and is attributable to the income of Agent or Lenders from any amounts charged or paid hereunder to Agent or Lenders or
(ii) taxes resulting from Agent’s or a Lender’s failure to comply with Section 7.4(c); provided, further that any Lender claiming any additional amounts hereunder agrees to use reasonable efforts (consistent
with its internal policy and legal and regulatory restrictions) to change its applicable lending office if the making of such a change would avoid the need for, or reduce the amount of any such additional amount that may thereafter accrue and would
not, in the reasonable judgment of such Lender, be otherwise disadvantageous to such Lender. The foregoing indemnity shall survive the payment of the Obligations and the termination of this Agreement. Reference to taxes in this Section shall include
all related interest and/or penalties. 

  

	 	(c)	Any Lender that is entitled to an exemption from or reduction of withholding tax with respect to payments made on the Obligations shall deliver to Borrower and Agent,
at the time or times reasonably requested by Borrower or Agent, such properly completed and executed documentation reasonably requested by Borrower or Agent as will permit such payments to be made without withholding or at a reduced rate of
withholding. In addition, any Lender, if reasonably requested by Borrower or Agent, shall deliver such other documentation prescribed by applicable law or reasonably requested by Borrower or Agent as will enable Borrower or Agent to determine
whether or not such Lender is subject to withholding, backup withholding or information reporting requirements. 

  

	 	(d)	 If any Person determines, in its sole discretion exercised in good faith, that is has received a refund of any taxes as to which it has been
indemnified pursuant to Section 5.3 or this Section 7.4 (including by the payment of additional amounts pursuant to Section 5.3 or this Section 7.4), it shall pay to indemnifying Credit Party an amount
equal to such refund (but only to the extent of indemnity payments made with respect to the taxes giving rise to such refund) net of all out-of-pocket expenses (including taxes) of such indemnified Person and without interest (other than any
interest paid by the relevant Governmental Authority with respect to such refund). Such indemnifying Credit Party, upon the request of such indemnified Person, shall repay to such indemnified Person the amount paid over pursuant to this clause
(d) (plus any penalties, interest or charges imposed by the relevant Governmental Authority) in the event that such indemnified Person is required to repay such refund to such Governmental Authority. Notwithstanding anything to the contrary
in this clause (d), in no event will the indemnified Person 

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

  

	7.5	Insurance 

  

	 	(a)	Maintain with financially sound and reputable insurers insurance with respect to the Collateral against loss or damage and all other insurance of the kinds and in the
amounts customarily insured against or carried by corporations of established reputation engaged in the same or similar businesses and similarly situated. Said policies of insurance shall be satisfactory to Agent, acting in good faith, as to form,
amount and insurer. 

  

	 	(b)	Furnish certificates, policies or endorsements to Agent as Agent shall require as proof of such insurance, and, if such Credit Party or Subsidiary fails to do so Agent
is authorized, but not required, to obtain such insurance at the expense of such Credit Party. All policies shall provide for at least 30 days prior written notice to Agent of any cancellation or reduction of coverage and that Agent may act as
attorney for such Person in obtaining, and at any time an Event of Default exists or has occurred and is continuing, adjusting, settling, amending and cancelling such insurance. 

 

	 	(c)	Cause Agent to be named as a loss payee and/or an additional insured, as applicable (but without any liability for any premiums) under such insurance policies and
obtain non-contributory lender’s loss payable endorsements to all insurance policies (other than third party liability policies) in form and substance satisfactory to Agent. Such lender’s loss payable endorsements shall specify that at any
time an Event of Default exists or has occurred and is continuing, the proceeds of such insurance shall all be payable to Agent as its interests may appear and at all other times in accordance with Section 7.5(d) and 2.4(c)(iii).

  

	 	(d)	Subject to Section 7.5(c) hereof, the proceeds of such insurance: 

 

	 	(i)	which are equal to or less than $2,000,000 per occurrence shall be payable to applicable Credit Party; 

 

	 	(ii)	 which are greater than $2,000,000 and less than $10,000,000 per occurrence, shall be payable to applicable Credit Party and applicable Credit Party
shall provide Agent with evidence, satisfactory to Agent in its discretion, that such Collateral can be repaired and/or replaced within 180 days from the date applicable Credit Party receives such proceeds. Such

  
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Credit Party shall forthwith apply such proceeds to the costs of repairing and/or replacing the Collateral within such 180 day period otherwise such Credit Party shall remit all such proceeds
(including such proceeds not used within such 180 day period) directly to Agent to be dealt with in accordance with Section 2.4(c)(iii) hereof; or 

 

	 	(iii)	which are greater than $10,000,000 per occurrence, shall be payable directly to Agent and in the event that such Collateral can be repaired and/or replaced within 180
days from the date Agent receives such proceeds, such Credit Party shall provide evidence, within 10 Business Days from the date Agent receives such proceeds, to Agent that such Collateral can be repaired and/or replaced within such 180 days and if
such evidence is satisfactory to Agent, in its discretion, Agent shall release such insurance proceeds to such Credit Party. Such Credit Party shall forthwith apply such proceeds to the costs of repairing and/or replacing the Collateral within such
180 days. In the event such Credit Party does not provide Agent with the evidence required within 10 Business Days from the date Agent receives such proceeds, Agent shall forthwith apply such proceeds in accordance with
Section 2.4(c)(iii) and such Credit Party shall remit all such proceeds not used within such 180 day period directly to Agent to be dealt with in accordance with Section 2.4(c)(iii) hereof. 

 

	 	(e)	Notwithstanding anything to the contrary contained in Section 7.5(d) hereof, insurance proceeds received in respect of: 

 

	 	(i)	Collateral comprised of real property shall be payable directly to Agent and dealt with in accordance with Section 2.4(c)(iii) hereof;

  

	 	(ii)	proceeds of any keyman insurance policies, or cash surrender value thereof, assigned to Agent, shall be payable to Agent and dealt with in accordance with
Section 2.4(c)(iii) hereof; and 

  

	 	(iii)	proceeds of business interruption insurance assigned to Agent, shall be payable to Agent and dealt with in accordance with Section 2.4(c)(iii) hereof.

  

	7.6	Financial Statements and Other Information 

  

	 	(a)	Keep proper books and records in which true and complete entries shall be made of all dealings or transactions of or in relation to the Collateral and its business in
accordance with GAAP and Borrower shall furnish or cause to be furnished to Agent, all to be in form, scope and substance satisfactory to Agent: 

  

	 	(i)	 within 45 days after the end of each of the first 3 Fiscal Quarters, quarterly unaudited consolidated financial statements (including in each case
balance sheets, statements of income and loss, statements of cash flow and statements of shareholders’ equity with comparisons to projections and same period in previous Fiscal Year), all in reasonable detail, fairly

  
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presenting the financial position and the results of the operations of Borrower and its Subsidiaries as of the end of and through such Fiscal Quarter together with a management discussion of such
financial position and results in form acceptable to Agent and a Compliance Certificate duly executed by the chief financial officer of Borrower; 

  

	 	(ii)	within 90 days after the end of each Fiscal Year, audited consolidated financial statements of Borrower and its Subsidiaries (including in each case balance sheets,
statements of income and loss, statements of changes in financial position and statements of shareholders’ equity), and the accompanying notes thereto, including any consolidating worksheets prepared on a quarterly basis in connection
therewith, all in reasonable detail, fairly presenting the financial position and the results of the operations of Borrower and its Subsidiaries as of the end of and for such Fiscal Year, together with a Compliance Certificate duly executed by the
chief financial officer of Borrower and the unqualified opinion of independent chartered accountants, which accountants shall be an independent accounting firm selected by Borrower and acceptable to Agent, that such financial statements have been
prepared in accordance with GAAP, and present fairly the results of operations and financial condition of Borrower and its Subsidiaries as of the end of and for the Fiscal Year then ended; 

 

	 	(iii)	by February 28 of each Fiscal Year or earlier if and when available (including in draft form), projections for such Fiscal Year; and 

 

	 	(iv)	as Agent may from time to time reasonably request, and provided that Borrower prepares such information in the ordinary course of business, budgets, management letters,
forecasts, business plans, cash flows and other information respecting the Collateral and the business of each Credit Party. 

  

	 	(b)	Notify Agent in writing of the details of (i) any loss, damage, investigation, action, suit, proceeding or claim relating to the Collateral or any other property
which is security for the Obligations and which would result in any Material Adverse Effect; and (ii) the occurrence of any Event of Default or Default or other event that could reasonably be expected to have a Material Adverse Effect.

  

	 	(c)	Promptly after the sending or filing thereof furnish or cause to be furnished to Agent copies of all reports which it sends to its shareholders generally and copies of
all reports and registration statements which it files with any securities commission or securities exchange. 

  

	 	(d)	 Authorize and direct, at any time an Event of Default exists or has occurred and is continuing, all accountants or auditors to deliver to Agent, at
such Credit Party’s expense, copies of the financial statements of such Credit Party and each Subsidiary thereof and any reports or management letters prepared by such 

  
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accountants or auditors on behalf of such Credit Party or any Subsidiary thereof and to disclose to Agent such information as they may have regarding the business of such Credit Party or
Subsidiary. Any documents, schedules, invoices or other papers delivered to Agent may be destroyed or otherwise disposed of by Agent 1 year after the same are delivered to Agent, except as otherwise designated by such Credit Party to Agent in
writing. 

  

	 	(e)	Furnish to Agent all material notices or demands in connection with any default under indebtedness permitted to be incurred hereunder either received by it or on its
behalf, promptly after the receipt thereof, or sent by it or on its behalf, concurrently with the sending thereof, as the case may be. 

  

	7.7	Intellectual Property 

  

	 	(a)	Promptly notify Agent in the event any Credit Party or any Subsidiary thereof obtains or applies for any material intellectual property rights or obtains any material
licenses with respect thereto and provide to Agent copies of all written materials including, but not limited to, applications and licenses with respect to such intellectual property rights. 

 

	 	(b)	At Agent’s request, promptly execute and deliver to Agent an intellectual property security agreement granting to Agent a perfected security interest in such
intellectual property rights of a Credit Party in form and substance satisfactory to Agent. 

  

	7.8	Operation of Pension Plans 

  

	 	(a)	Administer the Pension Plans in accordance with the requirements of the applicable pension plan texts, funding agreements, the Income Tax Act (Canada) and
applicable provincial pension benefits legislation. 

  

	 	(b)	Use commercially reasonable efforts to obtain and to deliver to Agent, upon Agent’s request, an undertaking of the funding agent for each of the Pension Plans
stating that the funding agent will notify Agent within 30 days of such Credit Party’s or a Subsidiary thereof’s failure to make any required contribution to the applicable Pension Plan. 

 

	 	(c)	Not accept payment of any amount from any of the Pension Plans without the prior written consent of Agent other than payments for forfeitures in connection with
terminated employees to be set-off against future contribution obligations. 

  

	 	(d)	Not terminate, or cause to be terminated, any of the Pension Plans, if such plan would have a solvency deficiency on termination. 

 

	 	(e)	Promptly provide Agent with any documentation relating to any of the Pension Plans as Agent may request. 

  
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	 	(f)	Promptly notify Agent within 30 days of: (i) a material increase in the liabilities of any of the Pension Plans; (ii) the establishment of a new registered
pension plan; (iii) commencing payment of contributions to a Pension Plan to which a Credit Party or any Subsidiary thereof had not previously been contributing; and (iv) any failure to make any required contribution to a Pension Plan when
due. 

  

	7.9	ERISA 

 (a) Maintain each Plan in
compliance in all material respects with the applicable provisions of ERISA, the Code and other Federal and State law, (b) cause each Plan which is qualified under Section 401(a) of the Code to maintain such qualification,
(c) not terminate any US Pension Plan so as to incur any liability to the Pension Benefit Guaranty Corporation, (d) not allow or suffer to exist any prohibited transaction involving any Plan or any trust created thereunder which would
subject such Credit Party or such ERISA Affiliate to a tax or other liability on prohibited transactions imposed under Section 4975 of the Code or ERISA in an aggregate amount in excess of $500,000, (e) make all required
contributions to any Plan which it is obligated to pay under Section 302 of ERISA, Section 412 of the Code or the terms of such Plan, (f) not allow or suffer to exist any accumulated funding deficiency, whether or not
waived, with respect to any such US Pension Plan, (g) not engage in a transaction that could be subject to Section 4069 or 4212(c) of ERISA, or (g) not allow or suffer to exist any occurrence of a reportable event or any
other event or condition which presents a risk of termination by the Pension Benefit Guaranty Corporation of any Plan that is a single employer plan, which termination could result in any liability to the Pension Benefit Guaranty Corporation.

  

	7.10	IP Collateral 

 With respect to the IP
Collateral: 
  

	 	(a)	notify Agent forthwith in writing: 

  

	 	(i)	of the failure of any licensee, if any, to pay or perform any material obligations due to Borrower in respect of the License Agreements; 

 

	 	(ii)	of any reason any patent, patent application, patent registration, trademark, trademark application, trademark registration, copyright, copyright application, copyright
registration, industrial design application or industrial design registration forming part of the material IP Collateral or any other application, registration or proceeding relating to any of the material IP Collateral may become barred, abandoned,
refused, rejected, forfeited, withdrawn, expired, lapsed, cancelled, expunged, opposed or dedicated or of any adverse determination or development (including the institution of any proceeding in any Intellectual Property Office or any court or
tribunal) regarding Borrower’s ownership of or rights in any of the material IP Collateral, its right to register or otherwise protect the same, or to keep and maintain the exclusive rights in same, or the validity of same; or

  
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	 	(iii)	of any action, proceeding, or allegation that the IP Collateral infringes upon, misappropriates, violates, or otherwise interferes with the rights of any Person;

  

	 	(b)	do everything commercially necessary or desirable to preserve and maintain the material IP Collateral including (unless Borrower receives the prior written consent of
Agent): 

  

	 	(i)	perform all obligations pursuant to the License Agreements; 

  

	 	(ii)	commence and prosecute such suits, proceedings or other actions for infringement, passing off, unfair competition, dilution or other damage as are, in its reasonable
business judgment, necessary to protect the IP Collateral; 

  

	 	(iii)	enforce its rights under any agreements (including the License Agreements) which materially enhance the value of and/or protect the material IP Collateral;

  

	 	(iv)	make all necessary filings and recordings in the Intellectual Property Offices and elsewhere necessary to protect its interest in the material IP Collateral or any new
material IP Collateral, including making, maintaining and pursuing (including proceedings before Intellectual Property Offices) each application and registration with respect thereto; and 

 

	 	(v)	promptly notify Agent in writing when it commences any steps referred to in Sections 7.10(b)(ii) hereof and provide Agent with such information with respect
thereto as Agent may request; 

  

	 	(c)	not, other than in the ordinary course of its business prior to an Event of Default that is continuing, without the prior written consent of Agent, terminate, amend,
enter into or renew any agreement, oral or written, or any indenture, instrument or undertaking relating to the material IP Collateral, including the License Agreements or any other license agreements and/or sub-license agreements; provided
however that Borrower may, at any time except during the continuance of an Event of Default, terminate, amend, enter into or renew any agreement, oral or written, or any indenture, instrument, undertaking or license (other than exclusive
licenses) relating to the IP Collateral, in the ordinary course of its business; it being understood and agreed hereunder that for the purposes of this Section 7.10(c) the “ordinary course of business” shall be deemed to
include the entry into license arrangements in connection with new business opportunities by Borrower which would not reasonably be expected to have a Material Adverse Effect; 

 

	 	(d)	 perform, at Borrower’s sole cost and expense, all acts and execute all documents, including grants of security interests or assignments in forms
suitable for filing with the Intellectual Property Offices in Canada and the United States, as may be 

  
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requested by Agent at any time and from time to time to evidence, perfect, maintain, record and enforce Agent’s Liens in the IP Collateral, or otherwise in furtherance of the provisions of
this Agreement; 

  

	 	(e)	unless Agent consents in writing otherwise, not do any act or omit to do any act, other than in the ordinary course of its business, whereby any of the IP Collateral,
may lapse, become abandoned or dedicated to the public, enter the public domain, lose its quality of confidence, become indistinct, or become unenforceable; 

 

	 	(f)	unless Agent consents in writing otherwise, or unless the failure to so act would not reasonably be expected to have a Material Adverse Effect, with respect to any
Trade-mark forming part of the Collateral: 

  

	 	(i)	continue the use of any such Trade-marks in order to maintain all of the Trade-marks in full force free from any claim of abandonment; 

 

	 	(ii)	maintain as in the past the character and quality of the wares and services offered in association with such Trade-marks, and use its reasonable best efforts to require
its licensees to maintain as in the past the character and quality of the wares and services offered in association with such Trade-marks; and 

  

	 	(g)	require that all use by any Person of any such Trade-marks shall be pursuant to a license that provides it with the requisite control and other provisions to maintain
the distinctiveness of such Trade-marks. 

  

	7.11	Visits and Inspections 

  

	 	(a)	From time to time as requested by Agent, at the cost and expense of Borrower: (i) provide Agent, any Lender or its designee complete access to all of its premises
during normal business hours and after reasonable notice to such Person, or at any time if an Event of Default exists or has occurred and is continuing, for the purposes of inspecting, verifying and auditing the Collateral and all of such
Person’s books and records, including the Records; and (ii) promptly furnish to Agent and such Lender such copies of such books and records or extracts therefrom as Agent or such Lender may reasonably request, and (iii) permit Agent,
any Lender or its designee to use during normal business hours such of such Person’s personnel, equipment, supplies and premises as may be reasonably necessary for the foregoing and if an Event of Default exists or has occurred and is
continuing for the realization of the Collateral. 

  

	 	(b)	 Agent and each Lender shall use all reasonable efforts to keep confidential, in accordance with its customary procedures for handling confidential
information and safe and sound lending practices, any non-public information made available to Agent or such Lender pursuant to Section 7.6 or Section 7.11(a), and all copies thereof; provided that nothing in
this Section shall limit the disclosure of any such information: (i) to the extent required by statute, rule, regulation, subpoena or court order (and Agent and each Lender shall provide Borrower with prior notice

  
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of such required disclosure to the extent permitted by applicable law but with no liability for failure to do so); (ii) to bank examiners and other regulators, auditors and/or accountants;
(iii) in connection with any litigation to which Agent or a Lender is a party; (iv) to any assignee or participant (or prospective assignee or participant) so long as such assignee or participant (or prospective assignee or participant),
as applicable, shall have first agreed in writing to treat such information as confidential in accordance with this Section; (v) to counsel for Agent or any Lender or any participant or assignee (or prospective participant or assignee); and
(vi) to any Person with the prior written consent of Borrower. In no event shall this Section, or any other provision of this Agreement or any applicable law be deemed to: (i) apply to or restrict disclosure of information that has been or
is made public by any Credit Party or Subsidiary thereof or any third party without breach by Agent or any Lender of this Section or otherwise becomes generally available to the public other than as a result of a disclosure in violation hereof;
(ii) apply to or restrict disclosure of information that was or becomes available to Agent or any Lender on a non-confidential basis from a person other than a Credit Party of a Subsidiary thereof; (iii) require Agent or any Lender to
return any materials furnished by any Credit Party or Subsidiary thereof to Agent; or (iv) prevent Agent from responding to routine informational requests in accordance with applicable industry standards relating to the exchange of credit
information. 

  

	7.12	Material Subsidiaries and Key Man Insurance 

  

	 	(a)	Notify Agent of the existence of a Material Subsidiary and promptly thereafter (and in any event within 30 days after such notice), cause such Material Subsidiary to
(i) become a Guarantor hereunder by delivering to Agent such agreements as Agent shall deem appropriate for such purpose, (ii) grant a perfected first priority Lien in favour of Agent in all its assets and properties (subject to Permitted
Liens) by delivering to Agent such agreements as Agent shall deem appropriate for such purpose and making such registrations and filings in connection therewith as Agent shall deem necessary or desirable to preserve, protect or perfect such first
priority Lien, (iii) subject to Section 7.13, deliver to Agent such original Capital Stock or other certificates and stock or other transfer powers evidencing the Capital Stock of such Person, (iv) deliver to Agent such updated
schedules to the Financing Agreements as requested by Agent with respect to such Person, and (v) deliver to Agent such other documents as may be reasonably requested by Agent, all in form and substance reasonably satisfactory to Agent.

  

	 	(b)	Grant a perfected first priority Lien in favour of Agent in any key man insurance obtained by any Credit Party after the Closing Date by delivering to Agent such
agreements as Agent shall deem appropriate for such purpose and making such registrations and filings in connection therewith as Agent shall deem necessary or desirable to preserve, protect or perfect such first priority Lien.

  
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	7.13	Grant of Equitable Mortgage by IMAX Barbados 

 In the case of IMAX Barbados, at all times (i) mortgage or pledge in favour of Agent, and deliver (but only to the extent such original Capital Stock is in certificated form) to Agent such original
Capital Stock or other certificates and stock or other transfer powers evidencing the grant of a mortgage or pledge over, not less than 75% of the issued and outstanding Capital Stock of IMAX Cayman (excluding up to 10% of the issued and outstanding
Capital Stock of IMAX Cayman in the form of Class B non-voting shares issued pursuant to IMAX Cayman’s Long-Term Incentive Plan dated October, 2012) and (ii) grant a perfected first priority Lien in favour of Agent in such mortgaged or
pledged Capital Stock by delivering to Agent such other agreements as Agent shall deem appropriate for such purpose and making such registrations and filings in connection therewith as Agent shall deem necessary or desirable to preserve, protect or
perfect such first priority Lien. 
 ARTICLE 8 
 NEGATIVE COVENANTS 
 Until all of the non-contingent Obligations have been paid and
satisfied in full in cash, all Letters of Credit Accommodations have been terminated or expired (or been cash collateralized on terms satisfactory to Agent) and the Revolving Loan Commitments terminated, the Credit Parties will not, and will not
permit any of their respective Subsidiaries to: 
  

	8.1	Sale of Assets, Consolidation, Amalgamation, Dissolution, Etc. 

  

	 	(a)	Directly or indirectly, without the prior written consent of Required Lenders which is not to be unreasonably withheld or unless otherwise permitted herein:
(i) amalgamate with any other Person or permit any other Person to amalgamate with it, or (ii) sell, assign, lease, transfer, abandon or otherwise dispose of any Collateral, assets or property to any other Person, or (iii) form or
acquire any Subsidiaries, or (d) wind up, liquidate or dissolve or (iv) agree to do any of the foregoing. 

  

	 	(b)	Notwithstanding Section 8.1(a) hereof and provided that an Event of Default does not then exist, each Credit Party or any Subsidiary thereof shall be
permitted to: 

  

	 	(i)	sell Inventory in the ordinary course of business; 

  

	 	(ii)	sell equipment at fair market value in the ordinary course of business; 

  

	 	(iii)	dispose of worn-out or obsolete property or property no longer used in its business; 

 

	 	(iv)	sell assets at fair market value provided that such assets are not the Real Property or IP Collateral; 

 

	 	(v)	 sell assets which include intellectual property as an incidental component of such asset, provided such sale does not materially diminish or impair the
IP Collateral to be retained by Borrower hereunder; provided that the 

  
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aggregate amount of sales or disposals made pursuant to the foregoing clauses (ii), (iii), (iv) and (v) shall not exceed $20,000,000 over the term of this
Agreement; 

  

	 	(vi)	amalgamate with an Affiliate; provided that prior to the completion of such amalgamation Agent shall be entitled to obtain and perfect a Lien from such
Affiliate and/or amalgamated entity, in form and substance substantially similar to that obtained from Credit Parties existing as at the Closing Date, and such amalgamated entity shall accede hereto as a “Guarantor”;

  

	 	(vii)	form or acquire (but subject to Section 8.4) any Subsidiary; provided that Agent shall be provided with 30 days prior written notice of same
and Agent shall be entitled to obtain and perfect a Lien from such Subsidiary, in form and substance substantially similar to that obtained from Credit Parties existing as at the Closing Date, and such Subsidiary shall accede hereto as a
“Guarantor”; 

  

	 	(viii)	form or acquire any single purpose Subsidiaries for the purpose of entering into the joint ventures and the third party productions permitted pursuant to
Section 8.4(e) and (i) hereof; 

  

	 	(ix)	transfer all of its property to another Credit Party prior to such first Credit Party’s liquidation, winding-up or dissolution provided that such transferred
property is subject to all then existing first priority Liens of Agent (subject to Permitted Liens); 

  

	 	(x)	sell, assign, lease, transfer, or otherwise dispose of property to another Credit Party provided that such sold, assigned, leased, transferred or disposed property is
subject to all then existing first priority Liens of Agent (subject to Permitted Liens); 

  

	 	(xi)	sell or facilitate the further issue of the Capital Stock of IMAX Cayman pursuant to Section 8.3(k); and 

 

	 	(xii)	transfer assets or property if such transfer is a permitted investment pursuant to Section 8.4(e), (i) or (k). 

 

	8.2	Liens 

 Create, incur, assume or suffer to
exist any Lien on any of its assets or properties, including the Collateral and Real Property, except: 
  

	 	(a)	Liens of Agent; 

  

	 	(b)	 liens securing the payment of taxes, either not yet overdue or the validity of which are being contested in good faith by appropriate proceedings
diligently pursued 

  
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and available to such Credit Party or Subsidiary and with respect to which adequate reserves have been set aside on its books; 

 

	 	(c)	non-consensual statutory liens (other than liens securing the payment of taxes) arising in the ordinary course of its business to the extent: (i) such liens secure
indebtedness which is not overdue or (ii) such liens secure indebtedness relating to claims or liabilities which are fully insured and being defended at the sole cost and expense and at the sole risk of the insurer or being contested in good
faith by appropriate proceedings diligently pursued and available to it, in each case prior to the commencement of foreclosure or other similar proceedings and with respect to which adequate reserves have been set aside on its books;

  

	 	(d)	zoning restrictions, rights-of-way, easements, licenses, covenants and other restrictions affecting the use of real property which do not interfere in any material
respect with the use of such real property or ordinary conduct of its business as presently conducted thereon or materially impair the appraised value of the real property which may be subject thereto; 

 

	 	(e)	purchase money security interests in equipment (including capital leases) and purchase money mortgages on real estate not to exceed, in the case of such purchase money
security interests and purchase money mortgages, $500,000 in the aggregate for all Credit Parties and Subsidiaries thereof at any time outstanding so long as such security interests and mortgages do not apply to any property of a Credit Party or
Subsidiary thereof other than the equipment or real estate so acquired, and the indebtedness secured thereby does not exceed the cost of the equipment or real estate so acquired, as the case may be; 

 

	 	(f)	Liens set forth on Schedule 8.2 hereto; 

  

	 	(g)	liens securing performance of bids, contracts, statutory obligations, surety, performance and appeal bonds and other like obligations incurred in the ordinary course of
business; 

  

	 	(h)	pledges or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security
legislation; 

  

	 	(i)	liens securing indebtedness of a person acquired by or amalgamated with a Credit Party or Subsidiary thereof or liens securing indebtedness incurred in connection with
an acquisition, provided in all such cases that such acquisition or amalgamation, as the case may be, is not prohibited hereunder and provided further that such liens were in existence prior to the date of such acquisition or amalgamation, as the
case may be, and were not incurred in anticipation thereof and do not extend to assets other than those acquired; 

  

	 	(j)	liens granted over the assets and properties of the Santa Monica Facility Borrower to secure the indebtedness in Section 8.3(g); 

  
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	 	(k)	liens granted over the assets and properties of a Film Fund Subsidiary to secure the indebtedness in Section 8.3(h); 

 

	 	(l)	liens granted over the assets and properties of IMAX China Multimedia to secure the indebtedness in Section 8.3(i); and 

 

	 	(m)	liens in favour of EDC over deposits of collateral given by Borrower in favour of EDC pursuant to the terms of the EDC Indemnity Agreement; provided
however that (i) the Liens and interest of EDC in such collateral shall at all times be subject to and subordinate to any and all interests and Liens of Agent in such collateral and (ii) Agent shall have provided its prior
written consent to Borrower to make such deposit of collateral with EDC. 

  

	8.3	Indebtedness 

 Incur, create, assume,
become or be liable in any manner with respect to, or permit to exist, any obligations, liabilities or indebtedness (including under or in connection with capital leases), except: 

 

	 	(a)	the Obligations including obligations, liabilities and indebtedness under or in connection with Secured Hedge Agreements and the Secured Cash Management Agreements;

  

	 	(b)	trade obligations and normal accruals in the ordinary course of business not yet due and payable, or with respect to which such Credit Party is contesting in good faith
the amount or validity thereof by appropriate proceedings diligently pursued and available to it, and with respect to which adequate reserves have been set aside on its books; 

 

	 	(c)	purchase money indebtedness (including capital leases) to the extent not incurred or secured by Liens (including capital leases) in violation of any other provision of
this Agreement; 

  

	 	(d)	the indebtedness set forth on Schedule 8.3 hereto; 

  

	 	(e)	the indebtedness incurred pursuant to the BMO Term Sheet; provided however that the indebtedness of Borrower under (i) the BMO LC Facility
shall not exceed $10,000,000 and may be replaced by Borrower, (ii) the Mastercard Facility shall not exceed CDN$175,000 and (iii) the FX Facility shall not exceed $4,000,000; 

 

	 	(f)	the indebtedness and indemnity obligations incurred pursuant to the EDC Indemnity Agreement; provided that such indebtedness and indemnity obligations
shall relate solely to Indemnity Bonding Products (as defined in the EDC Indemnity Agreement) issued by EDC in support of the BMO LC Facility and not to exceed $10,000,000 in the aggregate; 

  
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	 	(g)	the indebtedness of a Subsidiary of Borrower (other than a Credit Party) that owns the Santa Monica Facility (the “Santa Monica Facility Borrower”) not
to exceed $50,000,000; provided that: 

  

	 	(i)	if such indebtedness is Non-Recourse Debt, such indebtedness shall not be included in the calculation of Total Debt for purposes of the Total Leverage Ratio; and

  

	 	(ii)	if such indebtedness is not Non-Recourse Debt, such indebtedness shall be included in the calculation of Total Debt for purposes of the Total Leverage Ratio;

  

	 	(h)	the Non-Recourse Debt of a Film Fund Subsidiary not to exceed $25,000,000 in the aggregate; 

 

	 	(i)	the Non-Recourse Debt of IMAX China Multimedia with respect to a letter of credit or working capital facility not to exceed $5,000,000; 

 

	 	(j)	the indebtedness of a Credit Party to another Credit Party as a result of loans made pursuant to Section 8.4(i)(iii) or 8.4(j); and

  

	 	(k)	the indebtedness of IMAX Cayman or the issuance by IMAX Cayman or sale by IMAX Barbados of up to 25% of the Capital Stock of IMAX Cayman to arm’s length Persons
(the “IMAX China Capital Raise”); provided that: 

  

	 	(i)	any indebtedness of IMAX Cayman with respect to the IMAX China Capital Raise shall not exceed $80,000,000; 

 

	 	(ii)	IMAX Cayman or IMAX Barbados (as the case may be) shall distribute 50% of the Net Cash Proceeds of the IMAX China Capital Raise to Borrower and Borrower shall apply
such Net Cash Proceeds in accordance with Section 2.4(c); 

  

	 	(iii)	IMAX Cayman or IMAX Barbados (as the case may be) shall use the other 50% of the Net Cash Proceeds of the IMAX China Capital Raise to fund (by way of capital
contributions or intercompany loans) Borrower’s, IMAX China Multimedia’s and IMAX China Theatre’s operations in China; 

  

	 	(iv)	no cash principal, interest, dividends or similar payments shall be permitted with respect to the IMAX China Capital Raise until at least 91 days after the Maturity
Date; and 

  

	 	(v)	the IMAX China Capital Raise shall: 

  

	 	(A)	not have a maturity date or redemption date until at least 91 days after the Maturity Date; 

  
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	 	(B)	if indebtedness, be unsecured and have the terms applicable to “Non-Recourse Debt”; and 

 

	 	(C)	if indebtedness, be subordinated and postponed on terms and conditions satisfactory to Required Lenders. 

 

	8.4	Loans, Investments, Guarantees, Etc. 

Directly or indirectly, without the prior written consent of Required Lenders which is not to be unreasonably withheld, make any loans or advance money or
property to any person, or invest in (by capital contribution, dividend or otherwise) or purchase or repurchase the shares or indebtedness or all or a substantial part of the assets or property of any person, or guarantee, assume, endorse, or
otherwise become responsible for (directly or indirectly) the indebtedness, performance, obligations or dividends of any Person or agree to do any of the foregoing, except for: 

 

	 	(a)	the endorsement of instruments for collection or deposit in the ordinary course of business; 

 

	 	(b)	investments in Cash Equivalents; provided, that, unless waived in writing by Agent, such Credit Party shall take such actions as are deemed necessary by
Agent to perfect the first priority Liens of Agent in such Cash Equivalents; 

  

	 	(c)	financial guarantees and letters of credit to support Borrower’s operations in China and other financial guarantees in an aggregate amount not to exceed
$25,000,000 (less all amounts incurred pursuant to Section 8.3(i)) and payments made in connection therewith; 

  

	 	(d)	the guarantees by Borrower of the real property lease obligations of the obligors and in the amounts set forth on Schedule 8.4A hereto (and any renewals or
replacements thereof not to exceed in the aggregate the amounts set forth on Schedule 8.4A hereto) and the loans, advances and guarantees set forth on Schedule 8.4B hereto; provided, that, as to such loans, advances and guarantees set
forth on Schedule 8.4B hereto, (i) Borrower shall not, directly or indirectly, (A) amend, modify, alter or change the terms of such loans, advances or guarantees or any agreement, document or instrument related thereto, or (B) as to
such guarantees, redeem, retire, defease, purchase or otherwise acquire the obligations arising pursuant to such guarantees, or set aside or otherwise deposit or invest any sums for such purpose, and (ii) Borrower shall furnish to Agent all
notices or demands in connection with such loans, advances or guarantees or other indebtedness subject to such guarantees either received by Borrower or on its behalf, promptly after the receipt thereof, or sent by Borrower or on its behalf,
concurrently with the sending thereof, as the case may be. Borrower shall pay, or shall cause the obligors listed in Schedule 8.4A hereto to pay, all amounts due and owing under the leases that Borrower has guaranteed as set out in Schedule 8.4A
hereto; 

  
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	 	(e)	investments in joint ventures, acting as a prudent investor, with strategic partners for the purpose of advancing Borrower’s business; provided that
such investments in such joint ventures, whether direct or indirect, shall not, at any time and in the aggregate, exceed $25,000,000; 

  

	 	(f)	loans or advances of money to affiliates in the ordinary course of Borrower’s business with the proceeds of issuance of Capital Stock of Borrower, provided such
proceeds are used in the ordinary course of business and shall not, for further clarity, be subject to any other restrictions on use contained herein; 

  

	 	(g)	payments to employees in connection with the repurchase of phantom stock (including stock appreciation rights) in the ordinary course of business; provided
that such payments with respect to the repurchase of phantom stock (including stock appreciation rights) not in existence on the Closing Date shall not exceed, together with amounts paid under Section 8.5(c), $1,000,000 per
annum; 

  

	 	(h)	payments to counterparties under or in connection with Hedge Agreements; 

  

	 	(i)	loans, investments, purchases of shares (other than its own shares), indebtedness, assets or properties of an arm’s length third party and guarantees;
provided that: 

  

	 	(i)	such loans, investments, purchases and guarantees shall not exceed an aggregate amount of $35,000,000; 

 

	 	(ii)	such loans, investments and purchases (and the assets resulting therefrom) shall be subject to the first priority Liens of Agent (subject to Permitted Liens);

  

	 	(iii)	such loans shall only be made to Credit Parties whose assets and properties are subject to the first priority Liens of Agent (subject to Permitted Liens) or by Credit
Parties to IMAX China Multimedia or IMAX China Theatre; 

  

	 	(iv)	such guarantees shall not be secured by any Liens on the assets or properties of any Credit Party; 

 

	 	(v)	both before and after giving effect thereto, each Credit Party is in compliance with all terms of the Financing Agreements including the financial covenants set forth
in Sections 9.1, 9.2 and 9.3 hereof and no Default or Event of Default exists and is continuing or would occur as a result thereof; 

  

	 	(j)	loans or advances of money from a Credit Party to another Credit Party whose assets and properties are subject to the first priority Liens of Agent (subject to
Permitted Liens); 

  

	 	(k)	investments in a Credit Party by another Credit Party provided such investments are subject to the first priority Liens of Agent (subject to Permitted Liens); and

  
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	 	(l)	capital contributions and intercompany loans pursuant to Section 8.3(k)(iii). 

 Any Future Permitted Transaction by Borrower and any investment, license, purchase or other transaction reasonably related thereto and in furtherance thereof shall be permitted hereunder and the
amount of any such investment, license, purchase or other transaction shall not be included in (or count against) any of the foregoing basket amounts described in this Section 8.4. 

 

	8.5	Dividends and Redemptions 

 Directly or
indirectly, declare or pay any dividends on account of any of its Capital Stock now or hereafter outstanding, or set aside or otherwise deposit or invest any sums for such purpose, or redeem, retire, defease, purchase or otherwise acquire any
Capital Stock (or set aside or otherwise deposit or invest any sums for such purpose) or apply or set apart any sum, or make any other distribution (by reduction of capital or otherwise) in respect of any such Capital Stock or agree to do any of the
foregoing with the exception that: 
  

	 	(a)	wholly-owned Subsidiaries of a Credit Party may pay cash dividends or distributions to such Credit Party; 

 

	 	(b)	non wholly-owned Subsidiaries of a Credit Party may pay cash dividends or distributions to such Credit Party and its other shareholders provided such Credit Party
receives its ratable share of such dividends or distributions; 

  

	 	(c)	Credit Parties and their Subsidiaries may redeem or purchase their respective Capital Stock which are held by officers, directors or employees of such Person not to
exceed, together with amounts paid under Section 8.4(g), $1,000,000 per annum; 

  

	 	(d)	Credit Parties and their Subsidiaries may pay such dividends or redeem, retire, defease, purchase or otherwise acquire or make a distribution on its Capital Stock if
made by way of common shares only; and 

  

	 	(e)	Borrower may pay such dividends or redeem, retire, defease, purchase or otherwise acquire or make a distribution on its Capital Stock if: 

 

	 	(i)	Borrower provides evidence satisfactory to Agent that Borrower will have minimum availability of Revolving Loans hereunder of at least $25,000,000 for 30 days before
and 30 days after the closing date of such payment; 

  

	 	(ii)	Borrower provides evidence satisfactory to Agent that Borrower is in pro forma compliance with the Fixed Charge Coverage Ratio after giving effect to such
payment; provided that Borrower shall be permitted to make up to, but not exceeding, $75,000,000 (the “General Restricted Payment Basket”) in aggregate of such payments up to and including the Fiscal Year ending
December 31, 2014 that will be excluded when determining pro forma compliance with the Fixed Charge Coverage Ratio; 

  
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	 	(iii)	the aggregate amount of such payments shall not exceed $150,000,000 (inclusive of the General Restricted Payment Basket) in the aggregate; 

 

	 	(iv)	both before and after giving effect to such payment, no Default or Event of Default exists and is continuing or would occur as a result thereof; and

  

	 	(f)	distributions made to comply with Section 8.3(k)(ii) are permitted. 

 

	8.6	Transactions with Affiliates 

 Directly or
indirectly, (a) purchase, acquire or lease any property from, or sell, transfer or lease any property to, any officer, director, agent or other person affiliated with it, except in the ordinary course of and pursuant to the reasonable
requirements of its business and upon fair and reasonable terms no less favorable to it than it would obtain in a comparable arm’s length transaction with an unaffiliated person or (b) make any payments of management, consulting or other
fees for management or similar services, or of any indebtedness (including under the USERP) owing to any officer, employee, shareholder, director or other person affiliated with it except (i) reasonable compensation to officers, employees and
directors for services rendered to it in the ordinary course of business and (ii) payments to Bradley J. Wechsler and Richard L. Gelfond in accordance with the USERP. 

 

	8.7	Applications under the CCAA 

 File any
plan of arrangement under the CCAA or other similar statute or law (“CCAA Plan”) which provides for, or would permit directly or indirectly, Agent or any Lender to be classified with any other creditor of such Credit Party or any
Subsidiary thereof for purposes of such CCAA Plan or otherwise 
  

	8.8	Supplemental Executive Retirement Plan 

Directly or indirectly, in respect of the USERP: (i) pay or declare any payments thereunder other than those required to be paid and due pursuant to
the terms thereof; (ii) commence payment of contributions which such Credit Party or Subsidiary had not previously been contributing; (iii) amend, modify, alter or otherwise change the terms thereof except for the purpose of reducing the
pension benefit to the applicable executive; or (iv) register the USERP or otherwise establish a new similar registered plan. 
  

	8.9	No Material Changes 

 (a) Change its
Fiscal Quarters or its Fiscal Year, (b) make any material change to its business or the conduct thereof from that existing or being conducted as of the Closing Date, other than changes that would not be reasonably expected to have a Material
Adverse Effect, (c) make any material changes to its accounting policies in effect as of the Closing Date, except as required or permitted by GAAP, (d) make any material amendments to its organizational documents or Significant Contracts
other than amendments that would not be reasonably expected to have a Material Adverse Effect or (e) amend any of its Significant Contracts to add contractual provisions restricting the assignability thereof to Agent or to an assignee thereof
upon exercise of the Financing Agreements. 

  
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	8.10	No Further Negative Pledges; Restrictive Agreements 

  

	 	(a)	Enter into, assume or be subject to any agreement prohibiting or otherwise restricting the creation or assumption of any Lien upon its properties or assets (including
contractual provisions restricting the assignability thereof to Agent or to an assignee thereof upon exercise by Agent of any rights or remedies set forth in the Financing Agreements or at law) or requiring the grant of any security for such
obligation if security is given for some other obligation, except (i) pursuant to this Agreement and the other Financing Agreements, (ii) pursuant to any document or instrument governing indebtedness incurred pursuant to
Section 8.3(c); provided, that any such restriction contained therein relates only to the asset, properties or interests acquired in connection therewith, (iii) restrictions in connection with any Permitted Lien or any
document or instrument governing any Permitted Lien (provided, that any such restriction contained therein relates only to the asset or properties subject to such Permitted Lien); or (iv) pursuant to any document or instrument
governing indebtedness incurred pursuant to Section 8.3(g), (h), (i) and (k). 

  

	 	(b)	Create or otherwise cause or suffer to exist or become effective any consensual encumbrance or restriction on the ability of any Credit Party or any Subsidiary thereof
to (i) pay dividends or make any other distributions to any Credit Party or any Subsidiary on its Capital Stock, (ii) pay any obligations, liabilities and indebtedness owed to any Credit Party, (iii) make loans or advances to any
Credit Party, (iv) sell, lease or transfer any of its properties or assets to any Credit Party or (v) act as a Guarantor pursuant to the Financing Agreements, except (in respect of any of the matters referred to in clauses
(i) through (v) above) for such encumbrances or restrictions existing under or by reason of (A) this Agreement and the other Financing Agreements, (B) applicable law, (C) any document or instrument governing
indebtedness incurred pursuant to Section 8.3(c) (provided, that any such restriction contained therein relates only to the asset or properties acquired in connection therewith), (D) any Permitted Lien or any document
or instrument governing any Permitted Lien (provided, that any such restriction contained therein relates only to the asset or properties subject to such Permitted Lien), (E) obligations that are binding on a Subsidiary at the time such
Subsidiary first becomes a Subsidiary of a Credit Party, so long as such obligations are not entered into in contemplation of such Person becoming a Subsidiary, and (F) any document or instrument governing indebtedness incurred pursuant to
Section 8.3(g), (h), (i) and (k). 

  
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 ARTICLE 9 
 FINANCIAL COVENANTS 
  

	9.1	Fixed Charge Coverage Ratio 

  

	 	(a)	Borrower shall maintain at all times a Fixed Charge Coverage Ratio of not less than 1.1:1.0 calculated at the end of each Fiscal Quarter on a trailing 4 Fiscal Quarter
consolidated basis. 

  

	 	(b)	Amounts paid by Borrower under the General Restricted Payment Basket shall be excluded from the Fixed Charge Coverage Ratio calculation and Borrower may elect that
amounts paid under Section 8.4(i) before December 31, 2014 be excluded from the Fixed Charge Coverage Ratio calculation (such amount so elected to be excluded, the “Investment Amount”); provided that
the amount so excluded under this clause (b) shall not exceed $75,000,000 in the aggregate. 

  

	9.2	Minimum EBITDA 

 Borrower shall not permit
EBITDA at any time to be less than the corresponding amount set forth below, which shall be calculated and tested at the end of each Fiscal Quarter on a trailing 4 Fiscal Quarter basis. 

 

					
	 Period
	  	EBITDA	 
	 Closing Date through December 30, 2013
	  	$	70,000,000	  
	 December 31, 2013 through December 30, 2014
	  	$	80,000,000	  
	 December 31, 2014 through December 30, 2015
	  	$	90,000,000	  
	 December 31, 2015 and thereafter
	  	$	100,000,000	  

  

	9.3	Maximum Total Leverage Ratio 

 Borrower
shall not permit the Total Leverage Ratio at any time to be greater than the corresponding ratio set forth below, which shall be calculated and tested at the end of each Fiscal Quarter on a trailing 4 Fiscal Quarter basis. Indebtedness incurred
pursuant to Section 8.3(g)(i), (h), (i) and (k) shall be excluded from the Total Leverage Ratio calculation. 

  
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	 Period
	  	Maximum Ratio	 
	 Closing Date through December 30, 2013
	  	 	2.50:1.00	  
	 December 31, 2013 through December 30, 2014
	  	 	2.25:1.00	  
	 December 31, 2014 through December 30, 2015
	  	 	2.00:1.00	  
	 December 31, 2015 and thereafter
	  	 	1.75:1.00	  

 ARTICLE 10 
 EVENTS OF DEFAULT AND REMEDIES 
  

	10.1	Events of Default 

 The occurrence or
existence of any one or more of the following events are referred to herein individually as an “Event of Default”, and collectively as “Events of Default”: 

 

	 	(a)	Borrower fails to: 

  

	 	(i)	(A) pay any principal due and payable hereunder or (B) perform any of the covenants contained in Sections 8.7, 9.1, 9.2 and 9.3 of this
Agreement; 

  

	 	(b)	any Credit Party or any Subsidiary thereof fails to: 

  

	 	(i)	perform any of the covenants contained in Sections 5.5, 7.1, 7.5, 8.1, 8.2, 8.3, 8.4, 8.5, 8.6, or
8.8 of this Agreement, where such failure to perform is not remedied to the satisfaction of Agent, in its sole discretion, within 3 days of such failure to perform; or 

 

	 	(ii)	perform any other terms, covenants, conditions or provisions contained in this Agreement or any of the other Financing Agreements, where such failure to perform is not
remedied to the satisfaction of Agent, in its sole discretion, within 15 days from notice by Agent; 

  

	 	(c)	any representation or warranty made by or on behalf of any Credit Party or any Subsidiary thereof hereunder or under any other Financing Agreement proves to be false or
inaccurate (i) in any material respect when made if not subject to materiality or Material Adverse Effect qualifications or (ii) in any respect if subject to materiality or Material Adverse Effect qualifications, and in each case same is
not remedied to the satisfaction of Agent, in its sole discretion, within 15 days from notice by Agent; 

  
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	 	(d)	any Credit Party or Subsidiary thereof revokes or terminates any of the terms, covenants, conditions or provisions of any Financing Agreement; 

 

	 	(e)	any Credit Party: 

  

	 	(i)	fails to pay principal required pursuant to the terms, covenants, conditions or provisions of any Financing Agreement; or 

 

	 	(ii)	fails to pay Obligations (other than principal) required pursuant to the terms, covenants, conditions or provisions of any Financing Agreement where such failure to pay
is not remedied to the satisfaction of Agent, in its sole discretion, within 3 days of the original date on which such payment was to be made; 

  

	 	(f)	(i) any final non-appealable judgment for the payment of money is rendered against any Credit Party or any Subsidiary thereof in excess of $2,500,000 in any one case or
in excess of $10,000,000 in the aggregate and (A) shall remain undischarged or unvacated for a period in excess of 60 days or (B) execution shall at any time not be effectively stayed; provided that no Event of Default shall
occur if the applicable judgment is covered by third-party insurance as to which the insurer has been notified of such judgment and has not denied full coverage thereof in writing to such Credit Party or Subsidiary; or (ii) any final
non-appealable judgment other than for the payment of money, or injunction, attachment, garnishment or execution is rendered against any Credit Party or any Subsidiary thereof or any of their assets that could reasonably be expected to have a
Material Adverse Effect and (A) shall remain undischarged or unvacated for a period in excess of 60 days or (B) execution shall at any time not be effectively stayed; 

 

	 	(g)	any Credit Party or Subsidiary thereof (or its general partner) dissolves, suspends or discontinues doing business (except as permitted hereunder) or any Guarantor or
Subsidiary thereof and of Borrower (who is a natural person) dies; 

  

	 	(h)	any Credit Party or Subsidiary thereof becomes insolvent, makes an assignment for the benefit of creditors, proposes to make, makes or sends notice of a bulk sale;

  

	 	(i)	 a petition, case or proceeding under the bankruptcy laws of Canada or similar laws of any foreign jurisdiction now or hereafter in effect or under any
insolvency, arrangement, reorganization, moratorium, receivership, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction now or hereafter in effect (whether at law or in equity) is filed or commenced against any Credit
Party or Subsidiary thereof or all or any part of its properties and (i) such petition, case or proceeding is not dismissed within 60 days after the date of its filing, or (ii) any Credit Party or Subsidiary thereof shall file any answer
admitting or not contesting such petition, case or proceeding or indicates its 

  
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consent to, acquiescence in or approval of, any such petition, case or proceeding or (iii) the relief requested is granted sooner; 

 

	 	(j)	a petition, case or proceeding under the bankruptcy laws of Canada or similar laws of any foreign jurisdiction now or hereafter in effect or under any insolvency,
arrangement, reorganization, moratorium, receivership, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction now or hereafter in effect (whether at a law or equity) is filed or commenced by any Credit Party or
Subsidiary thereof for all or any part of its property including if any Credit Party or Subsidiary shall: 

  

	 	(i)	apply for or consent to the appointment of a receiver, trustee or liquidator of it or of all or a substantial part of its property and assets; 

 

	 	(ii)	be unable, or admit in writing its inability, to pay its debts as they mature, or commit any other act of bankruptcy; 

 

	 	(iii)	make a general assignment for the benefit of creditors; 

  

	 	(iv)	file a voluntary petition or assignment in bankruptcy or a proposal seeking a reorganization, compromise, moratorium or arrangement with its creditors;

  

	 	(v)	take advantage of any insolvency or other similar law pertaining to arrangements, moratoriums, compromises or reorganizations, or admit the material allegations of a
petition or application filed in respect of it in any bankruptcy, reorganization or insolvency proceeding; or 

  

	 	(vi)	take any corporate action for the purpose of effecting any of the foregoing; 

 

	 	(k)	any default by any Credit Party or any Subsidiary thereof under any agreement, document or instrument relating to any indebtedness for borrowed money owing to any
person other than Agent or Lenders, contingent indebtedness in connection with any guarantee, letter of credit, indemnity or similar type of instrument in favour of any person other than Agent or Lenders, in any case in an amount in excess of
$2,000,000, which default continues for more than the applicable cure period, if any, with respect thereto; 

  

	 	(l)	any material default by any Credit Party or any Subsidiary thereof under any Significant Contract, or any default by any Credit Party or any Subsidiary thereof under
any lease, license or other obligation with or owing to any person other than Agent or Lenders, in any case in which the damages reasonably likely to be suffered by such Credit Party or Subsidiary would be in excess of $2,000,000, and in each case
which default continues for more than the applicable cure period, if any, with respect thereto; 

  

	 	(m)	 any default by any Credit Party or any Subsidiary thereof under any Secured Hedge Agreement, in any case if the mark-to-market damages reasonably
likely to 

  
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be suffered by such Credit Party or Subsidiary would be in excess of $2,000,000, which default continues for more than the applicable cure period, if any, with respect thereto;

  

	 	(n)	any acquisition of control or change in the controlling ownership of Borrower, if any, which may reasonably be expected to have a Material Adverse Effect;

  

	 	(o)	there shall be a change in the business or assets of any Credit Party or any Subsidiary thereof after the Closing Date which is reasonably expected to have a Material
Adverse Effect; 

  

	 	(p)	a requirement from the Minister of National Revenue for payment pursuant to Section 224 or any successor section of the Income Tax Act (Canada) or
Section 317 or any successor section of the Excise Tax Act (Canada) or any comparable provision of similar legislation shall have been received by Agent or any other Person in respect of Borrower or otherwise issued in respect of
Borrower; 

  

	 	(q)	any Lien created by a Financing Agreement shall cease to be a valid and perfected first priority Lien (except as permitted herein or therein) in any material amount of
the collateral purported to be covered thereby (including the Collateral); or 

  

	 	(r)	an ERISA Event shall occur which results in or could reasonably be expected to result in liability of any Credit Party or any Subsidiary thereof in an aggregated amount
in excess of $500,000. 

  

	10.2	Remedies 

  

	 	(a)	At any time an Event of Default exists or has occurred and is continuing, Agent shall have all rights and remedies provided in the Financing Agreements, the PPSA, UCC
and other applicable law, all of which rights and remedies may be exercised without notice to or consent by any Credit Party (and shall be exercised if directed by Required Lenders), except as such notice or consent is expressly provided for
hereunder or required by applicable law. All rights, remedies and powers granted to Agent and Lenders under any of the Financing Agreements, the PPSA, UCC or other applicable law, are cumulative, not exclusive and enforceable, in Agent’s or
Lenders’ discretion, alternatively, successively, or concurrently on any one or more occasions, and shall include the right to apply to a court of equity for an injunction to restrain a breach or threatened breach by any Credit Party of any of
the Financing Agreements. Agent may, (and shall upon the instruction of Required Lenders) at any time or times, proceed directly against any Credit Party to collect the Obligations (except under or in connection with Secured Hedge Agreements (which
shall be collected in accordance with the terms thereof)) without prior recourse to the Collateral. 

  

	 	(b)	 Without limiting the foregoing and subject to Section 10.2(c) hereof, at any time an Event of Default exists or has occurred and is
continuing, Agent may in its discretion (and shall upon the instruction of Required Lenders): (i) accelerate the payment of all outstanding Obligations (other than Obligations in connection with

  
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Secured Hedge Agreements which may be terminated in accordance with their own terms) and demand immediate payment thereof to Agent (provided, that, upon the occurrence of any Event
of Default described in Sections 10.1(i) and 10.1(j), all outstanding Obligations (other than Obligations in connection with Secured Hedge Agreements which may be terminated in accordance with their own terms) shall automatically
become immediately due and payable); (ii) with or without judicial process or the aid or assistance of others, enter upon any premises on or in which any of the Collateral may be located and take possession of the Collateral or complete
processing, manufacturing and repair of all or any portion of the Collateral and carry on the business of any Credit Party; (iii) require each Credit Party, at such Credit Party’s expense, to assemble and make available to Agent any part
or all of the Collateral at any place and time designated by Agent; (iv) collect, foreclose, receive, appropriate, set-off and realize upon any and all Collateral; (v) remove any or all of the Collateral from any premises on or in which
the same may be located for the purpose of effecting the sale, foreclosure or other disposition thereof or for any other purpose; (vi) sell, lease, transfer, assign, deliver or otherwise dispose of any and all Collateral (including entering
into contracts with respect thereto, public or private sales at any exchange, broker’s board, at any office of Agent or elsewhere) at such prices or terms as Agent may deem reasonable, for cash, upon credit or for future delivery, with Agent
having the right to purchase the whole or any part of the Collateral at any such public sale, all of the foregoing being free from any right or equity of redemption of any Credit Party, which right or equity of redemption is hereby expressly waived
and released by each Credit Party; (vii) without limiting clause (vi), grant a general, special or other license in respect of any aspect of the Collateral on an exclusive or non-exclusive basis to any person throughout the world or any
part of it and on such terms and on such conditions as Agent may consider appropriate; (viii) enforce against any licensee or other person all rights and remedies of each Credit Party with respect to all or any part of the Collateral, and take
or refrain from taking any action that any Credit Party might take with respect to any of those rights and remedies, and for this purpose Agent shall have the exclusive right to enforce or refrain from enforcing those rights and remedies, and may in
the name of any Credit Party and at its expense retain and instruct counsel and initiate any court or other proceeding that Agent considers necessary or expedient; (ix) take any step necessary to preserve, maintain or insure the whole or any
part of the Collateral or to realize upon any of it or to put it in vendable condition, and any amount paid as a result of any taking any such steps shall be a cost the payment of which is secured by the Financing Agreements; (x) borrow money
and use the Collateral directly or indirectly in carrying on any Credit Party’s business or as security for loans or advances for any such purposes; (xi) require each Credit Party to immediately begin using commercially reasonable efforts
to obtain all consents and to provide all notices which may be required to permit Agent to assign any agreement or contract; (xii) grant extensions of time and other indulgences, take and give up security, accept compositions, grant releases
and discharges, and otherwise deal with any Credit Party, debtors of any Credit Party, sureties and others as Agent may see fit 

  
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	 	without prejudice to the liability of any Credit Party or Agent’s right to hold and realize the security interest created under any Financing Agreement; and/or
(xiii) terminate this Agreement. If any of the Collateral is sold or leased by Agent upon credit terms or for future delivery, the Obligations shall not be reduced as a result thereof until payment therefor is finally collected by Agent. If
notice of disposition of Collateral is required by law, 5 days prior notice by Agent to Borrower designating the time and place of any public sale or the time after which any private sale or other intended disposition of Collateral is to be made,
shall be deemed to be reasonable notice thereof and each Credit Party waives any other notice. In the event Agent institutes an action to recover any Collateral or seeks recovery of any Collateral by way of prejudgment remedy, each Credit Party
waives the posting of any bond which might otherwise be required. 

  

	 	(c)	Notwithstanding anything to the contrary contained in this Section 10.2: 

 

	 	(i)	for the duration of the IP Grace Period, Agent shall not be permitted to enforce its security interest against the IP Collateral, or to exercise its rights under
Section 10.2(b) with respect to the IP Collateral hereof except as permitted pursuant to the IP Collateral License Agreement; 

  

	 	(ii)	for the duration of the IP Grace Period, Borrower shall be permitted to use the IMAX name to carry on business; 

 

	 	(iii)	upon the commencement of the IP Grace Period, Agent shall have, pursuant to the IP Collateral License Agreement, a royalty-free, freely assignable perpetual license to
use the IP Collateral required to enable Agent to perform the obligations of Borrower under any contract or agreement; 

  

	 	(iv)	upon the commencement of the IP Grace Period, Agent may sell, transfer, assign and/or otherwise dispose of the Collateral, other than the IP Collateral, to any
transferee or assignee, and 

  

	 	(v)	subsequent to the expiry of the IP Grace Period, provided that an Event of Default is then continuing, Agent may sell, transfer, assign and/or otherwise dispose of any
of the IP Collateral up to a maximum amount equal to the outstanding Obligations together with all costs, charges and expenses incurred by Agent as a result of enforcing against the IP Collateral and Borrower hereby irrevocably designates and
appoints Agent (and all persons designated by Agent) as Borrower’s true and lawful attorney-in-fact and authorizes Agent (and all persons designated by Agent) to effect the foregoing. 

 

	 	(d)	Agent may apply the cash proceeds of Collateral actually received by Agent from any sale, lease, foreclosure or other disposition of the Collateral to payment of the
Obligations in the order set forth in Section 5.3(b). 

  
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	 	(e)	Each Credit Party shall remain liable to Agent for the payment of any deficiency with interest at the highest rate provided for herein and all costs and expenses of
enforcement including legal costs and expenses. 

  

	 	(f)	Without limiting the foregoing, upon the occurrence of an Event of Default that is continuing, Agent or Lenders may, at their option, without notice, (i) cease
making Loans or arranging Letter of Credit Accommodations and/or (ii) terminate any provision of this Agreement providing for any future Loans or Letter of Credit Accommodations to be made by Lenders to Borrower. 

 

	 	(g)	Agent may appoint, remove and reappoint any person or persons, including an employee or agent of Agent or a Lender to be a receiver (the “Receiver”)
which term shall include a receiver and manager of, or agent for, all or any part of the Collateral. Any such Receiver shall, as far as concerns responsibility for his acts, be deemed to be the agent of Credit Parties and not of Agent or Lenders,
and Agent and Lenders shall not in any way be responsible for any misconduct, negligence or non-feasance of such Receiver, his employees or agents. Except as otherwise directed by Agent, all money received by such Receiver shall be received in trust
for and paid to Agent. Such Receiver shall have all of the powers and rights of Agent described in this Section 10.2. Agent may, either directly or through its agents or nominees, exercise any or all powers and rights of a Receiver.

  

	 	(h)	Where Agent realizes upon any of the Collateral, and in particular upon any of the IP Collateral, each Credit Party shall provide without charge its know-how and
expertise relating to the use and application of the Collateral, and in particular shall instruct Agent, and any purchaser of the Collateral designated by Agent, concerning any IP Collateral including any confidential information or trade secrets of
such Credit Party. For greater certainty, the parties agree that unless such confidential information or trade secrets form part of the Collateral being realized upon, such confidential information or trade secrets shall be provided for use only
subject to any agreement regarding the confidentiality thereof or for the protection thereof as may be reasonably requested by a Credit Party. 

  

	 	(i)	Each Credit Party shall pay all reasonable costs, charges and expenses incurred by Agent or Lenders or any Receiver or any nominee or agent of Agent or Lenders, whether
directly or for services rendered (including solicitor’s costs on a solicitor and his own client basis, auditor’s costs, other legal expenses and Receiver remuneration) in enforcing any Financing Agreement and in enforcing or collecting
Obligations and all such expenses together with any money owing as a result of any borrowing permitted hereby shall be a charge on the proceeds of realization and shall be secured by the Financing Agreements. 

 

	 	(j)	 Each Credit Party hereby irrevocably designates and appoints Agent (and all persons designated by Agent) as such Credit Party’s true and lawful
attorney-in-fact, and authorizes Agent, in such Credit Party’s or Agent’s name, to: (a) at any time an Event of Default exists or has occurred and is continuing: (i) demand

  
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payment on Accounts or other proceeds of the Collateral, (ii) enforce payment of Accounts by legal proceedings or otherwise, (iii) exercise all of such Credit Party’s rights and
remedies to collect any Account or other Collateral, (iv) sell or assign any Account upon such terms, for such amount and at such time or times as Agent deems advisable, (v) settle, adjust, compromise, extend or renew an Account,
(vi) discharge and release any Account, (vii) prepare, file and sign such Credit Party’s name on any proof of claim in bankruptcy or other similar document against an account debtor, (viii) notify the post office authorities to
change the address for delivery of such Credit Party’s mail to an address designated by Agent, and open and dispose of all mail addressed to such Credit Party, (ix) do all acts and things which are necessary, in Agent’s determination,
to fulfill such Credit Party’s obligations under the Financing Agreements, (x) have access to any lockbox or postal box into which such Credit Party’s mail is deposited, (xi) endorse such Credit Party’s name upon any chattel
paper, document, instrument, invoice, or similar document or agreement relating to any Account or any goods pertaining thereto or any other Collateral, (xii) sign such Credit Party’s name on any verification of Accounts and notices thereof
to account debtors, (xiii) endorse such Credit Party’s name upon any items of payment or proceeds thereof and deposit the same in Agent’s account for application to the Obligations; and (xiv) take control in any manner of any
item of payment or proceeds thereof; and (b) at any time, to execute in such Credit Party’s name and file any PPSA, UCC or other financing statements or amendments thereto in respect of the security interests granted to Agent pursuant to
any of the Financing Agreements if such Credit Party has not done so within 2 days from Agent’s request. Each Credit Party hereby releases Agent and its officers, employees and designees from any liabilities arising from any act or acts under
this power of attorney and in furtherance thereof, whether of omission or commission, except as a result of Agent’s own gross negligence or wilful misconduct as determined pursuant to a final non-appealable order of a court of competent
jurisdiction. 

  

	 	(k)	Agent may, at any time or times that an Event of Default exists or has occurred and is continuing, at its option: (a) cure any default by any Credit Party or any
Subsidiary thereof under any agreement with a third party or pay or bond on appeal any judgment entered against any Credit Party or any Subsidiary thereof; (b) discharge taxes and Liens at any time levied on or existing with respect to the
Collateral; and (c) pay any amount, incur any expense or perform any act which, in Agent’s good faith judgment, is necessary or appropriate to preserve, protect, insure or maintain the Collateral and the rights of Agent with respect
thereto. Agent may add any amounts so expended to the Obligations and charge Borrower’s account therefor, such amounts to be repayable by each Credit Party on demand. Agent shall be under no obligation to effect such cure, payment or bonding
and shall not, by doing so, be deemed to have assumed any obligation or liability of any Credit Party or any Subsidiary thereof. Any payment made or other action taken by Agent under this Section shall be without prejudice to any right to assert an
Event of Default hereunder and to proceed accordingly. 

  
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 ARTICLE 11 
 ASSIGNMENT AND PARTICIPATIONS: APPOINTMENT OF AGENT 
  

	11.1	Assignment and Participations 

  

	 	(a)	Subject to the terms of this Section 11.1, any Lender may make an assignment or a sale of participations in, at any time or times, the Financing Agreements,
Loans and any Revolving Loan Commitment or any portion thereof or interest therein, including any Lender’s rights, title, interests, remedies, powers or duties thereunder. Any assignment by a Lender shall: 

 

	 	(i)	be in a minimum amount of $5,000,000 with respect to Revolving Loans and $1,000,000 with respect to Term Loans; 

 

	 	(ii)	require the consent of Agent, Issuing Lender and Borrower; provided that: 

 

	 	(A)	such consent is not to be unreasonably withheld, conditioned or delayed; 

  

	 	(B)	the consent of Issuing Lender shall not be required if such assignment is in respect of a Term Loan; 

 

	 	(C)	the consent of Borrower shall not be required if: 

  

	 	(1)	an Event of Default or Default shall have occurred and be continuing; 

  

	 	(2)	such assignment is to an Eligible Transferee; or 

  

	 	(3)	Borrower does not object to such assignment within 10 Business Days of receipt of notice of such assignment; 

 

	 	(iii)	not be to a Prohibited Transferee; 

  

	 	(iv)	be effected by the execution of an Assignment and Assumption Agreement; 

  

	 	(v)	be conditioned on such assignee Lender representing to the assigning Lender and Agent that it is purchasing the applicable Loans to be assigned to it for its own
account, for investment purposes and not with a view to the distribution thereof; and 

  

	 	(vi)	include a payment to Agent of an assignment fee of $3,500. 

 In the case of an assignment by a Lender under this Section 11.1, the assignee shall have, to the extent of such assignment, the same rights, benefits and obligations as all other Lenders
hereunder. The assigning Lender shall be relieved of its obligations hereunder with respect to its Revolving Loan Commitment or assigned portion thereof from and after the date of such 

  
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assignment. Borrower hereby acknowledges and agrees that any assignment shall give rise to a direct obligation of Borrower to the assignee and that the assignee shall be considered to be a
“Lender” hereunder. In all instances, each Lender’s liability to make Loans hereunder shall be several and not joint and shall be limited to such Lender’s Pro Rata Share of the Revolving Loan Commitment. In the event any
Lender assigns or otherwise transfers all or any part of the Obligations, such Lender shall so notify Borrower and Borrower shall, upon the request of Agent or such Lender, execute new notes in exchange for the notes, if any, being assigned.
Borrower agrees from time to time to execute notes (in form and substance satisfactory to Agent, acting reasonably) evidencing the Loans if requested by Agent. Notwithstanding the foregoing provisions of this Section 11.1(a), any Lender
may at any time pledge the Obligations held by it and such Lender’s rights under this Agreement and the other Financing Agreements to the Bank of Canada or the Canada Deposit Insurance Corporation or foreign equivalent; provided,
that no such pledge shall release such Lender from such Lender’s obligations hereunder or under any other Financing Agreement. 
  

	 	(b)	Any sale of a participation by a Lender of all or any part of its Revolving Loan Commitment or Loans shall be made with the understanding that all amounts payable by
Borrower hereunder shall be determined as if that Lender had not sold such participation, and that the holder of any such participation shall not be entitled to require such Lender to take or omit to take any action hereunder except actions directly
affecting (i) any reduction in the principal amount of, or interest rate or fees payable with respect to any Loan in which such holder participates, (ii) any extension of the scheduled amortization of the principal amount of any Loan in
which such holder participates or the final maturity date thereof, and (iii) any release of all or substantially all of the Collateral (other than in accordance with the terms of this Agreement or the other Financing Agreements). Neither Agent
nor any Lender (other than a Lender selling a participation) shall have any duty to any participant and may continue to deal solely with Lenders selling a participation as if no such sale had occurred. No consent of Borrower, Agent or Issuing Lender
is required with respect to the sale of a participation by a Lender of all or any part of its Revolving Loan Commitment or Loans. No sale of a participation by a Lender of all or any part of its Revolving Loan Commitment or Loans shall be made to a
Prohibited Transferee. 

  

	 	(c)	Each Credit Party shall assist any Lender permitted to sell assignments or participations under this Section 11.1 as reasonably required to enable the
assigning or selling Lender to effect any such assignment or participation, including the execution and delivery of any and all agreements, notes and other documents and instruments as shall be requested, the preparation of informational materials
for, and the participation of management in meetings with, potential assignees or participants. Each Credit Party shall certify the correctness, completeness and accuracy of all descriptions of it and its respective affairs contained in any selling
materials provided by it and all other information provided by it and included in such materials. 

  
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	 	(d)	A Lender may furnish any information concerning a Credit Party in the possession of such Lender from time to time to assignees and participants (including prospective
assignees and participants) provided such Persons agree to maintain the confidentiality of such information. 

  

	 	(e)	No Credit Party may assign its rights under the Financing Agreements and any other document referred to herein or therein without the prior written consent of Agent and
all Lenders. 

  

	11.2	Appointment of Agent 

  

	 	(a)	Agent is hereby appointed to act on behalf of Secured Parties as Agent under this Agreement and the other Financing Agreements. The provisions of this
Section 11.2 are solely for the benefit of Agent and Lenders and neither any Credit Party nor any other Person shall have any rights as a third party beneficiary of any of the provisions hereof. In performing its functions and duties
under this Agreement and the other Financing Agreements, Agent shall act solely as an agent of Secured Parties and does not assume and shall not be deemed to have assumed any obligation toward or relationship of agency or trust with or for any
Credit Party or any Person other than Secured Parties. Agent shall have no duties or responsibilities except for those expressly set forth in this Agreement and the other Financing Agreements. The duties of Agent shall be mechanical and
administrative in nature and Agent shall not have, or be deemed to have, by reason of this Agreement, any other Financing Agreement or otherwise a fiduciary relationship in respect of any Secured Party. Except as expressly set forth in this
Agreement and the other Financing Agreements, Agent shall not have any duty to disclose, and shall not be liable for failure to disclose, any information relating to any Credit Party or any of their respective Subsidiaries that is communicated to or
obtained by Agent or any of its affiliates in any capacity. Neither Agent nor any of its affiliates nor any of their respective officers, directors, employees, agents or representatives shall be liable to any Secured Party for any action taken or
omitted to be taken by it hereunder or under any other Financing Agreement, or in connection herewith or therewith, except for damages caused by its or their own gross negligence or wilful misconduct as determined by a final and non-appealable
judgment or court order binding on them. 

  

	 	(b)	 If Agent shall request instructions from all Lenders, all affected Lenders or Required Lenders, as the case may be, with respect to any act or action
(including failure to act) in connection with this Agreement or any other Financing Agreement, then Agent shall be entitled to refrain from such act or taking such action unless and until Agent shall have received instructions from all Lenders, all
affected Lenders or Required Lenders, as the case may be, and Agent shall not incur liability to any Person by reason of so refraining. Agent shall be fully justified in failing or refusing to take any action hereunder or under any other Financing
Agreement (i) if such action would, in the opinion of Agent, be contrary to law or the terms of this Agreement or any other Financing Agreement; 

  
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(ii) if such action would, in the opinion of Agent, expose Agent to liabilities under Environmental Laws; or (iii) if Agent shall not first be indemnified to its satisfaction against any and
all liability and expense which may be incurred by it by reason of taking or continuing to take any such action. Without limiting the foregoing, no Secured Party shall have any right of action whatsoever against Agent as a result of Agent acting or
refraining from acting hereunder or under any other Financing Agreement in accordance with the instructions of all Lenders, all affected Lenders or Required Lenders, as the case may be. 

 

	11.3	Agent’s Reliance, Etc. 

 Neither
Agent nor any of its affiliates nor any of their respective officers, directors, employees, agents or representatives shall be liable for any action taken or omitted to be taken by it or them under or in connection with this Agreement or the other
Financing Agreements, except for damages caused by its or their own gross negligence or wilful misconduct as determined by a final and non-appealable judgment or court order binding on them. Without limiting the generality of the foregoing, Agent:
(i) may treat the payee of any note as the holder thereof until Agent receives written notice of the assignment or transfer thereof signed by such payee and in form reasonably satisfactory to Agent; (ii) may consult with legal counsel,
independent public accountants and other experts selected by it and shall not be liable for any action taken or omitted to be taken by it in good faith in accordance with the advice of such counsel, accountants or experts; (iii) makes no
warranty or representation to any Secured Party and shall not be responsible to any Secured Party for any statements, warranties or representations made in or in connection with this Agreement or the other Financing Agreements; (iv) shall not
have any duty to ascertain or to inquire as to the performance or observance of any of the terms, covenants or conditions of this Agreement or the other Financing Agreements on the part of any Credit Party or to inspect the Collateral (including the
books and records) of any Credit Party; (v) shall not be responsible to any Secured Party for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement or the other Financing Agreements or any
other instrument or document furnished pursuant hereto or thereto; and (vi) shall incur no liability under or in respect of this Agreement or the other Financing Agreements by acting upon any notice, consent, certificate or other instrument or
writing (which may be by telecopy, telegram, cable or telex) believed by it to be genuine and signed or sent by the proper party or parties. 
  

	11.4	Agent and Affiliates 

 With respect to its
Revolving Loan Commitment and Loans hereunder, Agent shall have the same rights and powers under this Agreement and the other Financing Agreements as any other Lender and may exercise the same as though it were not Agent; and the term
“Lender” or “Lenders” hereunder shall, unless otherwise expressly indicated, include Agent in its individual capacity. Agent and its affiliates may lend money to, invest in, and generally engage in any kind of
business with any Credit Party, any of its affiliates and any Person who may do business with or own securities of any Credit Party or any such affiliate, all as if Agent were not Agent and without any duty to account therefore to Secured Parties.
Agent and its affiliates may accept fees and other consideration from any Credit Party for services in connection with this Agreement or otherwise without having to account for the same to Secured Parties. Each Secured Party

  
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acknowledges the potential conflict of interest between Agent as a Lender and Agent as agent hereunder. 
  

	11.5	Lender Credit Decision 

 Each Lender
acknowledges that it has, independently and without reliance upon Agent or any other Lender and based on the Information Certificates and such other documents and information as it has deemed appropriate, made its own credit and financial analysis
of each Credit Party and its own decision to enter into this Agreement. Each Lender also acknowledges that it will, independently and without reliance upon Agent or any other Lender and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement. Each Lender acknowledges the potential conflict of interest of each other Lender as a result of Lenders holding disproportionate
interests in the Revolving Loan Commitment and the Loans, and expressly consents to, and waives any claim based upon, such conflict of interest. 
  

	11.6	Indemnification 

 Lenders agree to
indemnify Agent (to the extent not reimbursed by Credit Parties and without limiting the obligations of Credit Parties hereunder), rateably according to their respective Pro Rata Shares, from and against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever that may be imposed on, incurred by, or asserted against Agent in any way relating to or arising out of this Agreement or any other
Financing Agreement or any action taken or omitted to be taken by Agent in connection therewith; provided, that no Lender shall be liable for any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments,
suits, costs, expenses or disbursements resulting from Agent’s gross negligence or wilful misconduct as determined by a final and non-appealable judgment or court order binding on Agent. Without limiting the foregoing, each Lender agrees to
reimburse Agent promptly upon demand for its rateable share according to its Pro Rata Share of any out-of-pocket expenses (including reasonable fees of counsel) incurred by Agent in connection with the preparation, execution, delivery,
administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this Agreement and each other Financing Agreement, to the
extent that Agent is not reimbursed for such expenses by Credit Parties. 
  

	11.7	Failure to Act 

 Except for action
expressly required of Agent hereunder and under the other Financing Agreements, Agent shall in all cases be fully justified in failing or refusing to act hereunder and thereunder unless it shall receive further assurances to its satisfaction from
Lenders of their indemnification obligations under Section 11.6 hereof against any and all liability and expense that may be incurred by it by reason of taking or continuing to take any such action. 

 

	11.8	Concerning the Collateral and the Related Financing Agreements 

 Each Lender authorizes and directs Agent to enter into this Agreement and the other Financing Agreements. Each Lender agrees that any action taken by Agent in accordance with the terms of

  
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this Agreement or the other Financing Agreements and the exercise by Agent of its powers set forth therein or herein, together with such other powers that are reasonably incidental thereto, shall
be binding upon Lenders. 
  

	11.9	Reports and other Information; Disclaimer by Lenders. 

 By signing this Agreement, each Lender: 
  

	 	(a)	is deemed to have requested that Agent furnish such Lender, within a reasonable time after it becomes available to Agent, a copy of each report, Compliance Certificate
and/or other documentation (each such report, certificate or documentation being referred to herein as a “Report” and collectively, “Reports”) provided to Agent by Credit Parties pursuant to the Financing
Agreements; 

  

	 	(b)	expressly agrees and acknowledges that Agent (i) does not make any representation or warranty as to the accuracy of any Report, or (ii) shall not be liable
for any information contained in any Report; and 

  

	 	(c)	agrees to keep all Reports confidential in accordance with Section 7.11(b). 

 

	11.10 	Collateral Matters 

  

	 	(a)	Lenders (including in its or any of its Affiliate’s capacities as a potential Hedge Bank or Cash Management Bank) hereby irrevocably authorize Agent at its option
and in its discretion to release any Lien upon any of the Collateral (i) upon termination of the Revolving Loan Commitment and payment and satisfaction of all of the non-contingent Obligations and delivery of cash collateral to the extent
required under Section 13.1 below; or (ii) constituting property being sold or disposed of if applicable Credit Party certifies to Agent that the sale or disposition is made in compliance with Section 8.1 hereof (and
Agent may rely conclusively on any such certificate, without further enquiry); or (iii) constituting property in which applicable Credit Party did not own an interest at the time the Lien was granted or at any time thereafter; or (iv) if
required under the terms of any of the other Financing Agreements, including any intercreditor agreement; or (v) approved, authorized or ratified in writing in accordance with Section 11.14 hereof. Lenders hereby irrevocably
authorize Agent to subordinate its Lien upon the specific Collateral on which another Person has a Lien as permitted under Section 8.2(e) and if such Person will not permit Agent to retain its Lien on such Collateral, Lenders hereby
irrevocably authorize Agent to release its Lien upon such Collateral. Except as provided above, Agent will not release any Lien upon any of the Collateral without the prior written authorization required in accordance with Section 11.14
hereof. 

  

	 	(b)	 Without in any manner limiting Agent’s authority to act without any specific or further authorization or consent by applicable Lenders, each
Lender, as applicable, agrees to confirm in writing, upon request by Agent, the authority to release Collateral conferred upon Agent under this Section. Agent shall (and is 

  
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hereby irrevocably authorized by Lenders to) execute such documents as may be necessary to evidence the release of the Liens granted to Agent upon any Collateral to the extent set forth above;
provided, that, (i) Agent shall not be required to execute any such document on terms which, in Agent’s opinion, would expose Agent to liability or create any obligations or entail any consequence other than the release of
such Lien without recourse or warranty and (ii) such release shall not in any manner discharge, affect or impair the Obligations or any Lien upon (or obligations of any Credit Party in respect of) the Collateral retained by such Credit Party.

  

	 	(c)	Agent shall have no obligation whatsoever to any Lender or any other Person to investigate, confirm or assure that the Collateral exists or is owned by any Credit Party
or is cared for, protected or insured or has been encumbered, or that the Liens granted to Agent pursuant hereto or any of the Financing Agreements or otherwise have been properly or sufficiently or lawfully created, perfected, protected or enforced
or are entitled to any particular priority, or to exercise at all or in any particular manner or under any duty of care, disclosure or fidelity, or to continue exercising, any of the rights, authorities and powers granted or available to Agent in
this Agreement or in any of the other Financing Agreements, it being understood and agreed that in respect of Collateral, or any act, omission or event related thereto, Agent may act in any manner it may deem appropriate, in its discretion, given
Agent’s own interest in the Collateral as a Lender and that Agent shall have no duty or liability whatsoever to any other Lender. 

  

	11.11 	Successor Agent 

 Agent may resign at any
time by giving not less than 30 days’ prior written notice thereof to Lenders and Borrower. Upon any such resignation, Required Lenders shall have the right to appoint a successor Agent. If no successor Agent shall have been so appointed by
Required Lenders and shall have accepted such appointment within 30 days after the resigning Agent’s giving notice of resignation, then the resigning Agent may, on behalf of Lenders, appoint a successor Agent, which shall be a Lender, if a
Lender is willing to accept such appointment, or otherwise shall be a commercial bank or financial institution or a subsidiary of a commercial bank or financial institution if such commercial bank or financial institution or other entity whose
business includes making commercial loans, in each case, is organized under the laws of Canada or of any province thereof. If no successor Agent has been appointed pursuant to the foregoing, within 30 days after the date such notice of resignation
was given by the resigning Agent, such resignation shall become effective and Required Lenders shall thereafter perform all the duties of Agent hereunder until such time, if any, as Required Lenders appoint a successor Agent as provided above. Any
successor Agent appointed by Required Lenders hereunder shall be subject to the approval of Borrower, such approval not to be unreasonably withheld or delayed; provided, that such approval shall not be required if an Event of Default
has occurred and is continuing. Upon the acceptance of any appointment as Agent hereunder by a successor Agent, such successor Agent shall succeed to and become vested with all the rights, powers, privileges and duties of the resigning Agent. Upon
the earlier of the acceptance of any appointment as Agent hereunder by a successor Agent or the effective date of the resigning Agent’s resignation, the resigning Agent shall be discharged from its duties and obligations under

  
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this Agreement and the other Financing Agreements, except that any indemnity rights or other rights in favour of such resigning Agent shall continue. After any resigning Agent’s resignation
hereunder, the provisions of this Article 11 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was acting as Agent under this Agreement and the other Financing Agreements. 

 

	11.12 	Setoff and Sharing of Payments 

 In
addition to any rights now or hereafter granted under applicable law and not by way of limitation of any such rights, upon the occurrence and during the continuance of any Event of Default and subject to Section 11.13(f), each Lender is
hereby authorized at any time or from time to time, without notice to Borrower or to any other Person other than Agent, any such notice being hereby expressly waived, to setoff and to appropriate and to apply any and all balances held by it at any
of its offices for the account of any Credit Party (regardless of whether such balances are then due to any Credit Party) and any other properties or assets at any time held or owing by that Lender to or for the credit or for the account of any
Credit Party against and on account of any of the Obligations that are not paid when due; provided, that Lenders exercising such setoff rights shall give notice thereof to such Credit Party promptly after exercising such rights. Any
Lender exercising a right of setoff or otherwise receiving any payment on account of the Obligations in excess of its Pro Rata Share thereof shall purchase for cash (and the other Lenders shall sell) such participations in each such other
Lender’s Pro Rata Share of the Obligations as would be necessary to cause such Lender to share the amount so setoff or otherwise received with the other Lenders in accordance with their respective Pro Rata Shares. Each Credit Party agrees, to
the fullest extent permitted by law that (a) any Lender may exercise its right to setoff with respect to amounts in excess of its Pro Rata Share of the Obligations and may sell participations in such amounts so setoff to the other Lenders; and
(b) any Lender so purchasing a participation in a Loan made or other Obligations held by the other Lenders may exercise all rights of setoff, bankers’ lien, counterclaim or similar rights with respect to such participation as fully as if
such Lender were a direct holder of the Loan and the other Obligations in the amount of such participation. Notwithstanding the foregoing, if all or any portion of the setoff amount or payment otherwise received is thereafter recovered from a Lender
that has exercised the right of setoff, the purchase of participations by that Lender shall be rescinded and the purchase price restored without interest. 
  

	11.13 	Advances; Payments; Non-Funding Lenders; Information; Actions in Concert 

 

	 	(a)	Advances; Payments. 

  

	 	(i)	In each funding notice provided by Agent to a Lender hereunder, Agent shall provide such Lender with written confirmation (by telephone, telecopy or email (if such
Lender has provided email notice coordinates to Agent)) that all conditions precedent hereunder to such funding have been satisfied or waived in accordance with the terms hereof. 

 

	 	(ii)	 Each Lender shall make the amount of such Lender’s Pro Rata Share of such Loan available to Agent in same day funds by wire transfer to
Agent’s account not later than 12:00 noon (Eastern Time) (or promptly 

  
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thereafter) on the requested funding date (which must be a Business Day). After receipt of such wire transfers (or, in Agent’s sole discretion, before receipt of such wire transfers),
subject to the terms hereof, Agent shall make the requested Loan to Borrower. All payments by each Lender shall be made without setoff, counterclaim or deduction of any kind. 

 

	 	(iii)	On the 5th Business Day of each Fiscal Quarter or more frequently at Agent’s election (each, a “Settlement Date”), Agent shall advise each Lender
by telephone, telecopy or email (if such Lender has provided email notice coordinates to Agent) of the amount of such Lender’s Pro Rata Share of principal, interest and fees paid for the benefit of Lenders with respect to each applicable Loan.
Provided that each Lender has funded all payments and Loans required to be made by it and purchased all participations required to be purchased by it under this Agreement and the other Financing Agreements as of such Settlement Date, Agent shall pay
to each Lender such Lender’s Pro Rata Share of principal, interest and fees paid by Borrower since the previous Settlement Date for the benefit of such Lender on the portion of the Loans held by it. To the extent that any Lender (a
“Non-Funding Lender”) has failed to fund all such payments and Loans or failed to fund the purchase of all such participations, Agent shall be entitled to set off the funding short-fall against that Non-Funding Lender’s Pro
Rata Share of all payments received from Borrower. Such payments shall be made by wire transfer to such Lender’s account not later than 2:00 p.m. (Eastern Time) on the next Business Day following each Settlement Date. 

 

	 	(b)	Availability of Lender’s Pro Rata Share. Agent may assume that each Lender will make its Pro Rata Share of each Loan available to Agent on each funding date
(which must be a Business Day). If such Pro Rata Share is not, in fact, paid to Agent by such Lender when due, Agent will be entitled to recover such amount on demand from such Lender without setoff, counterclaim or deduction of any kind. If any
Lender fails to pay the amount of its Pro Rata Share forthwith upon Agent’s demand, Agent shall promptly notify Borrower and Borrower shall immediately repay such amount to Agent. Nothing in this Section 11.13(b) or elsewhere in
this Agreement or the other Financing Agreements shall be deemed to require Agent to advance funds on behalf of any Lender or to relieve any Lender from its obligation to fulfill its Revolving Loan Commitment hereunder or to prejudice any rights
that a Credit Party may have against any Lender as a result of any default by such Lender hereunder. To the extent that Agent advances funds to Borrower on behalf of any Lender and is not reimbursed therefore on the same Business Day as such Loan is
made, Agent shall be entitled to retain for its account all interest accrued on such advance until reimbursed by the applicable Lender. 

  

	 	(c)	Return of Payments. 

  
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	 	(i)	If Agent pays an amount to a Lender under this Agreement in the belief or expectation that a related payment has been or will be received by Agent from Borrower and
such related payment is not received by Agent, then Agent will be entitled to recover such amount from such Lender on demand without setoff, counterclaim or deduction of any kind. 

 

	 	(ii)	If Agent determines at any time that any amount received by Agent under this Agreement must be returned to Borrower or paid to any other Person pursuant to any
bankruptcy or insolvency law or otherwise, then, notwithstanding any other term or condition of this Agreement or any other Financing Agreement, Agent will not be required to distribute any portion thereof to any Lender. In addition, each Lender
will repay to Agent on demand any portion of such amount that Agent has distributed to such Lender, together with interest at such rate, if any, as Agent is required to pay to Borrower or such other Person, without setoff, counterclaim or deduction
of any kind. 

  

	 	(d)	Non-Funding Lenders. The failure of any Non-Funding Lender to make any Loan or any payment required by it hereunder on the date specified thereof, shall not
relieve the other Lenders (each such other Lender, an “Other Lender”) of its obligations to make such Loan or purchase such participation on such date, but neither any Other Lender nor Agent shall be responsible for the failure of
any Non-Funding Lender to make a Loan, purchase a participation or make any other payment required hereunder. Notwithstanding anything set forth herein to the contrary, a Non-Funding Lender shall not have any voting or consent rights under or with
respect to any Financing Agreement or constitute a “Lender” for any voting or consent rights under or with respect to any Financing Agreement. At Borrower’s request, Agent or a Person acceptable to Agent shall have the right
with Agent’s consent and in Agent’s sole discretion (but shall have no obligation) to purchase from any Non-Funding Lender, and each Non-Funding Lender agrees that it shall, at Agent’s request, sell and assign to Agent or such Person,
all of the Revolving Loan Commitments and Loans of that Non-Funding Lender for an amount equal to the principal balance of all Loans held by such Non-Funding Lender and all accrued interest and fees with respect thereto through the date of sale,
such purchase and sale to be consummated pursuant to an executed Assignment and Assumption Agreement. 

  

	 	(e)	Dissemination of Information. Agent shall use reasonable efforts to provide Lenders with (i) any notice of any Event of Default received by Agent from, or
delivered by Agent to, Borrower, (ii) notice of any Event of Default of which Agent has actually become aware, (iii) notice of any action taken by Agent following any Event of Default and (iv) any notice received from any Credit Party
pursuant to Section 7.6(b); provided, that Agent shall not be liable to any Lender for any failure to do so, except to the extent that such failure is attributable to Agent’s gross negligence or wilful misconduct as
determined by a final and non-appealable judgment or court order binding on Agent. 

  
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	 	(f)	Actions in Concert. Anything in this Agreement to the contrary notwithstanding, each Lender hereby agrees with Agent and each other Lender that no Lender shall
take any action to protect or enforce its rights arising out of this Agreement or the other Financing Agreements (excluding exercising any rights of setoff) without first obtaining the prior written consent of Agent and all other Lenders, it being
the intent of Lenders that any such action to protect or enforce rights under this Agreement and the other Financing Agreements shall be taken in concert and at the direction or with the consent of Agent, all Lenders, affected Lenders or Required
Lenders, as the case may be. 

  

	11.14 	Approval of Lenders and Agent 

  

	 	(a)	Notwithstanding any other provision of this Agreement but subject to Section 11.14(b), (c) and (d), no amendment or waiver of any
provision of this Agreement, nor consent to any departure by any Credit Party therefrom, shall in any event be effective unless the same shall be in writing and signed by Credit Parties and the Required Lenders, and then such amendment, waiver or
consent shall be effective only in the specific instance and for the specific purpose for which given; 

  

	 	(i)	provided that no amendment, waiver or consent shall, unless in writing and signed by all Lenders directly and adversely affected thereby (other than a
Non-Funding Lender) do any of the following at any time: 

  

	 	(A)	reduce the rate or amount of any principal, interest or fees payable by Borrower or alter the currency or mode of calculation or computation thereof;

  

	 	(B)	extend the time for payments required to be made by Borrower or the Maturity Date; 

 

	 	(C)	increase any Lender’s Revolving Loan Commitment; 

  

	 	(D)	change the definition of Required Lenders, any provision of this Section 11.14, amend the pro rata sharing provisions hereunder or amend the voting
percentages hereunder; or 

  

	 	(E)	change the payment waterfall in Section 5.3(b) hereof; 

  

	 	(ii)	provided further that no amendment, waiver or consent shall, unless in writing and signed by all Lenders (other than a Non-Funding Lender) do any of the
following at any time: 

  

	 	(A)	release all or substantially all of the value of the Collateral under any Financing Agreement or any guarantee of the Obligations; and 

 

	 	(B)	permit any Credit Party to assign its rights under the Financing Agreements. 

  
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	 	(b)	Notwithstanding Section 11.14(a), Agent may, without the consent of Lenders, make amendments to the Financing Agreements that are for the sole purpose of
curing any immaterial or administrative ambiguity, defect or inconsistency. Agent shall, within a reasonable time, notify Lenders or any such action. 

  

	 	(c)	Notwithstanding Section 11.14(a), no amendment, waiver or consent shall, unless in writing and signed by Agent in addition to Lenders required above to take
such action, affect the rights or duties of Agent under this Agreement or any of the other Financing Agreements. 

  

	 	(d)	Notwithstanding Section 11.14(a), no amendment, waiver or consent shall, unless in writing and signed by Issuing Lender in addition to Lenders required
above to take such action, affect the rights or duties of Issuing Lender under this Agreement or any of the other Financing Agreements. 

  

	 	(e)	No Cash Management Bank or Hedge Bank that obtains the benefits of Section 5.3 or any Collateral by virtue of the provisions hereof or of any Financing
Agreement shall have any right to notice of any action or to consent to, direct or object to any action hereunder or under any other Financing Agreement or otherwise in respect of the Collateral (including the release or impairment of any
Collateral) other than in its capacity as a Lender and, in such case, only to the extent expressly provided in the Financing Agreements. Notwithstanding any other provision of this Article 11 to the contrary, Agent shall not be required to
verify the payment of, or that other satisfactory arrangements have been made with respect to, Secured Hedge Agreements and Secured Cash Management Agreements unless Agent has received written notice of such Secured Hedge Agreements and Secured Cash
Management Agreements, together with such supporting documentation as Agent may request from the applicable Hedge Bank or Cash Management Bank, as the case may be. 

ARTICLE 12 

JURY TRIAL WAIVER; OTHER WAIVERS AND CONSENTS; GOVERNING LAW 

 

	12.1	Governing Law; Choice of Forum; Service of Process; Jury Trial Waiver 

 

	 	(a)	The validity, interpretation and enforcement of this Agreement and any dispute arising out of the relationship between the parties hereto, whether in contract, tort,
equity or otherwise, shall be governed by the laws of the Province of Ontario and the federal laws of Canada applicable therein. 

  

	 	(b)	 Credit Parties, Lenders and Agent irrevocably consent and submit to the non-exclusive jurisdiction of the Superior Court of Justice (Ontario) and waive
any objection based on venue or forum non conveniens with respect to any action instituted therein arising under any of the Financing Agreements or in any way connected with or related or incidental to the dealings of the parties hereto in
respect of any of the Financing Agreements or the transactions related hereto or thereto, in each case whether now existing or hereafter arising, and whether in contract, tort, equity or otherwise, and agree that any dispute with respect to any

  
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such matters shall be heard only in the courts described above (except that Agent and Lenders shall have the right to bring any action or proceeding against any Credit Party or its property in
the courts of any other jurisdiction which Agent or Lenders deem necessary or appropriate in order to realize on the Collateral or to otherwise enforce their respective rights against such Credit Party or its property). 

 

	 	(c)	To the extent permitted by law, each Credit Party hereby waives personal service of any and all process upon it and consents that all such service of process may be
made by registered mail (return receipt requested) directed to its address set forth on the signature pages hereof and service so made shall be deemed to be completed 5 days after the same shall have been so deposited in the Canadian mails, or, at
Agent’s option, by service upon such Credit Party in any other manner provided under the rules of any such courts. Within 30 days after such service, such Credit Party shall appear in answer to such process, failing which such Credit Party
shall be deemed in default and judgment may be entered by Agent or Lenders against such Credit Party for the amount of the claim and other relief requested. 

 

	 	(d)	TO THE EXTENT PERMITTED BY APPLICABLE LAW EACH CREDIT PARTY, LENDERS AND AGENT EACH HEREBY WAIVE ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF
ACTION (i) ARISING UNDER ANY OF THE FINANCING AGREEMENTS OR (ii) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO IN RESPECT OF ANY OF THE FINANCING AGREEMENTS OR THE TRANSACTIONS RELATED HERETO OR
THERETO IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY OR OTHERWISE. TO THE EXTENT PERMITTED BY APPLICABLE LAW, CREDIT PARTIES, AGENT AND LENDERS EACH HEREBY AGREE AND CONSENT THAT ANY SUCH CLAIM,
DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY AND THAT EACH CREDIT PARTY, AGENT OR LENDERS MAY FILE AN ORIGINAL COUNTERPART OF A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE
PARTIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 

  

	 	(e)	 Lenders and Agent shall not have any liability to any Credit Party (whether in tort, contract, equity or otherwise) for losses suffered by any Credit
Party in connection with, arising out of, or in any way related to the transactions or relationships contemplated by any Financing Agreement, or any act, omission or event occurring in connection herewith, unless it is determined by a final and
non-appealable judgment or court order binding on Agent or a Lender, that the losses were the result of acts or omissions constituting gross negligence or wilful misconduct of such Person and each Credit Party hereby waives any claims for special,
punitive, exemplary, indirect or consequential damages in respect of any breach or alleged breach by Agent or any Lender of any of the terms of this 

  
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Agreement or the other Financing Agreements except in the case of gross negligence or wilful misconduct of Agent or any Lender as determined by a final and non-appealable judgment or court order
binding on Agent or Lender. 

  

	 	(f)	Each Credit Party hereby expressly waives all rights of notice and hearing of any kind prior to the exercise of rights by Agent from and after the occurrence of an
Event of Default that is continuing to repossess the Collateral with judicial process or to replevy, attach or levy upon the Collateral or other security for the Obligations. Each Credit Party waives the posting of any bond otherwise required of
Agent in connection with any judicial process or proceeding to obtain possession of, replevy, attach or levy upon the Collateral or other security for the Obligations, to enforce any judgment or other court order entered in favour of Agent, or to
enforce by specific performance, temporary restraining order, preliminary or permanent injunction or any other Financing Agreement. 

  

	12.2	Waiver of Notices 

 Each Credit Party
hereby expressly waives demand, presentment, protest and notice of protest and notice of dishonour with respect to any and all instruments and commercial paper, included in or evidencing any of the Obligations or the Collateral, and any and all
other demands and notices of any kind or nature whatsoever with respect to the Obligations, the Collateral and this Agreement, except such as are expressly provided for herein. No notice to or demand on any Credit Party which Agent may elect to give
shall entitle any Credit Party to any other or further notice or demand in the same, similar or other circumstances. 
  

	12.3	Amendments and Waivers 

 Subject to
Section 11.14, neither this Agreement nor any provision hereof shall be amended or waived, nor consent to any departure by any Credit Party therefrom permitted, orally or by course of conduct, but only by a written agreement signed by an
authorized officer of each Lender and Agent, and as to amendments, as also signed by an authorized officer of each Credit Party. Agent shall not, by any act, delay, omission or otherwise be deemed to have expressly or impliedly waived any of its
rights, powers and/or remedies unless such waiver shall be in writing and signed by an authorized officer of Agent. Any such waiver shall be enforceable only to the extent specifically set forth therein. A waiver by Agent of any right, power and/or
remedy on any one occasion shall not be construed as a bar to or waiver of any such right, power and/or remedy which Agent would otherwise have on any future occasion, whether similar in kind or otherwise. 

 

	12.4	Waiver of Counterclaim 

 Each Credit Party
waives all rights to interpose any claims, deductions, setoffs or counterclaims of any nature (other than compulsory counterclaims) in any action or proceeding with respect to this Agreement, the Obligations, the Collateral or any matter arising
therefrom or relating hereto or thereto. 

  
 -89-

	12.5	Indemnification 

 Each Credit Party shall
indemnify and hold Arranger, Agent and each Lender, and their respective directors, officers, agents, representatives, employees and counsel, harmless from and against any and all losses, claims, damages, liabilities, costs or expenses imposed on,
incurred by or asserted against any of them in connection with any litigation, investigation, claim or proceeding commenced or threatened related to the negotiation, preparation, execution, delivery, enforcement, performance or administration of any
Financing Agreements, or any undertaking or proceeding related to any of the transactions contemplated hereby or any act, omission, event or transaction related or attendant thereto or the relationship between any Credit Party, on one hand, and
Arranger, Agent, each Lender and their respective directors, officers, agents, representatives, employees and counsel, on the other hand, including amounts paid in settlement, court costs, and the fees and expenses of counsel and others incurred in
connection with investigating, preparing to defend or defending any such litigation, investigation, claim or proceeding. Such indemnification shall not apply to losses, claims, damages, liabilities, costs or expenses resulting from the bad faith,
fraud, gross negligence or wilful misconduct of Arranger, Agent, any Lender and/or their respective directors, officers, agents, representatives, employees and counsel as determined pursuant to a final non-appealable order of a court of competent
jurisdiction or to losses, claims, damages, liabilities, costs or expenses to the extent relating to disputes among such indemnified parties or to a breach of their obligations to a Credit Party hereunder as determined pursuant to a final
non-appealable order of a court of competent jurisdiction. To the extent that the undertaking to indemnify, pay and hold harmless set forth in this Section 12.5 may be unenforceable because it violates any law or public policy, each
Credit Party shall pay the maximum portion which it is permitted to pay under applicable law to Arranger, Agent, each Lender and their respective directors, officers, agents, representatives, employees and counsel in satisfaction of indemnified
matters under this Section 12.5. The foregoing indemnity shall survive the payment of the Obligations and the termination of this Agreement. 
  

	12.6	Costs and Expenses 

 Upon demand by Agent,
each Credit Party shall pay to Arranger, Agent and Lenders all reasonable costs, expenses, filing fees and taxes paid or payable in connection with the structuring, arrangement, syndication, preparation, negotiation, execution, delivery, recording,
administration, collection, liquidation, restructuring, enforcement and defense of the Obligations, Agent and each Lender’s rights in the Collateral, the Financing Agreements and all other documents related hereto or thereto, including any
amendments, supplements or consents which may hereafter be contemplated (whether or not executed) or entered into in respect hereof and thereof, including: (a) all costs and expenses of filing or recording or searching (including PPSA and UCC
financing statement and other similar filing and recording fees and taxes, documentary taxes, intangibles taxes and mortgage recording taxes and fees, if applicable); (b) all insurance premiums and search fees; (c) reasonable costs and
expenses of remitting loan proceeds and other items of payment, together with Agent’s customary charges and fees with respect thereto; (d) costs and expenses of preserving and protecting the Collateral; (e) reasonable costs and
expenses paid or incurred in connection with obtaining payment of the Obligations, enforcing the security interests and liens of Agent, selling or otherwise realizing upon the Collateral, and otherwise enforcing the provisions of the Financing
Agreements or defending any claims made or threatened against Agent and Lenders arising out of the transactions contemplated hereby and 

  
 -90-

 
thereby (including preparations for and consultations concerning any such matters); (f) all reasonable out-of-pocket expenses including due diligence, audit and appraisal expenses and legal
fees incurred in the structuring, negotiation, arrangement, syndication, restructuring, administration and amending of this Agreement; and (g) the reasonable fees and disbursements of counsel (including legal assistants) to Arranger, Agent and
Lenders in connection with any of the foregoing. 
  

	12.7	Further Assurances 

 At the request of
Agent at any time and from time to time, each Credit Party shall, at its expense, duly execute and deliver, or cause to be duly executed and delivered, such further agreements, documents and instruments, and do or cause to be done such further acts
as may be necessary to evidence, perfect, maintain and enforce the Liens and the priority thereof in the Collateral and to otherwise effectuate the provisions or purposes of any of the Financing Agreements. Agent may at any time and from time to
time request a certificate from an officer of Borrower representing that all conditions precedent to the making of Loans and providing Letter of Credit Accommodations contained herein are satisfied. In the event of such request by Agent, Agent and
each Lender may, at its option, cease to make any further Loans or provide any further Letter of Credit Accommodations until Agent has received such certificate and, in addition, Agent has determined that such conditions are satisfied. Where
permitted by law, each Credit Party hereby authorizes Agent to execute and file one or more PPSA, UCC or other financing statements or notices signed only by Agent or Agent’s representative. 

ARTICLE 13 

TERM OF AGREEMENT; MISCELLANEOUS 
  

	13.1	Term 

  

	 	(a)	This Agreement shall continue in full force and effect for a term ending on the Maturity Date unless sooner terminated pursuant to the terms hereof. Upon the Maturity
Date or effective date of termination of this Agreement, Borrower shall pay to Agent, in full, all outstanding and unpaid non-contingent Obligations (except under or in connection with any Secured Hedge Agreement) and shall furnish cash collateral
to Agent in such amounts as Agent determines are reasonably necessary to secure Agent, Lenders and Secured Parties from loss, cost, damage or expense, including legal fees and expenses, issued and outstanding Letter of Credit Accommodations,
outstanding Secured Hedge Agreements and cheques or other payments provisionally credited to the Obligations and/or as to which Agent and Lenders have not yet received final and indefeasible payment. Such payments in respect of the Obligations and
cash collateral shall be remitted by wire transfer in US Dollars to such bank account of Agent, as Agent may, in its discretion, designate in writing to Borrower for such purpose. Interest shall be due until and including the next Business Day, if
the amounts so paid by Borrower to the bank account designated by Agent are received in such bank account later than 12:00 noon, (Eastern time). 

  
 -91-

	 	(b)	No termination of this Agreement shall relieve or discharge any Credit Party of its respective duties, obligations and covenants under the Financing Agreements until
all Obligations have been fully and finally discharged and paid, and Agent’s continuing security interest in the Collateral and the rights and remedies of Agent and Lenders, under the Financing Agreements and applicable law, shall remain in
effect until all such Obligations have been fully and finally discharged and paid. 

  

	13.2	Notice 

 All notices, requests and demands
hereunder shall be in writing and (a) made to Agent and Lenders at their respective addresses set forth below and to each Credit Party at its chief executive office set forth below, or to such other address as any party may designate by written
notice to the other in accordance with this provision, and (b) deemed to have been given or made: if delivered in person, immediately upon delivery; if by facsimile transmission, immediately upon sending and upon confirmation of receipt; if by
nationally recognized overnight courier service with instructions to deliver the next Business Day, 1 Business Day after sending; and if by registered mail, return receipt requested, 5 days after mailing. 

 

	13.3	Partial Invalidity 

 If any provision of
this Agreement is held to be invalid or unenforceable, such invalidity or unenforceability shall not invalidate this Agreement as a whole, but this Agreement shall be construed as though it did not contain the particular provision held to be invalid
or unenforceable and the rights and obligations of the parties shall be construed and enforced only to such extent as shall be permitted by applicable law. 
  

	13.4	Successors 

 The Financing Agreements and
any other document referred to herein or therein shall be binding upon and inure to the benefit of and be enforceable by Agent, Lenders and each Credit Party and their respective successors and permitted assigns. 

 

	13.5	Entire Agreement 

 The Financing
Agreements, any supplements hereto or thereto, and any instruments or documents delivered or to be delivered in connection herewith or therewith represents the entire agreement and understanding concerning the subject matter hereof and thereof
between the parties hereto, and supersede all other prior agreements, understandings, negotiations and discussions, representations, warranties, commitments, proposals, offers and contracts concerning the subject matter hereof, whether oral or
written. In the event of any inconsistency between the terms of this Agreement and any schedule or exhibit hereto, the terms of this Agreement shall govern. 
  

	13.6	Headings 

 The division of this Agreement
into sections and the insertion of headings and a table of contents are for convenience of reference only and shall not affect the construction or interpretation of this Agreement. 

  
 -92-

	13.7	Judgment Currency 

 To the extent
permitted by applicable law, the obligations of Borrower in respect of any amount due under this Agreement shall, notwithstanding any payment in any other currency (the “Other Currency”) (whether pursuant to a judgment or
otherwise), be discharged only to the extent of the amount in the currency in which it is due (the “Agreed Currency”) that Agent may, in accordance with normal banking procedures, purchase with the sum paid in the Other Currency
(after any premium and costs of exchange) on the Business Day immediately after the day on which Agent receives the payment. If the amount in the Agreed Currency that may be so purchased for any reason falls short of the amount originally due,
Borrower shall pay all additional amounts, in the Agreed Currency, as may be necessary to compensate for the shortfall. Any obligation of Borrower not discharged by that payment shall, to the extent permitted by applicable law, be due as a separate
and independent obligation and, until discharged as provided in this section, continue in full force and effect. 
  

	13.8	Counterparts and Facsimile 

 This
Agreement may be executed in any number of counterparts, each of which when executed and delivered shall be deemed to be an original, and such counterparts together shall constitute one and the same agreement. The delivery of a facsimile or pdf copy
of an executed counterpart of this Agreement shall be deemed to be valid execution and delivery of this Agreement, but the party delivering a facsimile or pdf copy shall deliver to the other party an original copy of this Agreement as soon as
possible after delivering the facsimile or pdf copy. 
  

	13.9	Patriot Act Notice 

 Agent and each Lender
which is subject to the Patriot Act hereby notifies each Credit Party that pursuant to the requirements of the Patriot Act, it is required to obtain, verify and record information that identifies each person or corporation who opens an
account and/or enters into a business relationship with it, which information includes the name and address of each Credit Party and its Subsidiaries and other information that will allow Agent and such Lender to identify such person in accordance
with the Patriot Act and any other applicable law. Each Credit Party is hereby advised that any Loans or Letter of Credit Accommodations hereunder are subject to satisfactory results of such verification. 

ARTICLE 14 

ACKNOWLEDGMENT AND RESTATEMENT 
  

	14.1	Existing Obligations 

 Borrower hereby
acknowledges, confirms and agrees that Borrower is indebted for outstanding loans, advances and letter of credit accommodations to Borrower under the Second Amended and Restated Credit Agreement together with all interest accrued and accruing
thereon (to the extent applicable), and all fees, costs, expenses and other charges relating thereto, all of which are unconditionally owing by Borrower to the extent set forth in the Second Amended and Restated Credit Agreement, without setoff,
defense or counterclaim of any kind, nature or description whatsoever. The Loans and other financial accommodations provided for in this 

  
 -93-

 
Agreement are an extension of the loans and other financial accommodations provided for under the Second Amended and Restated Credit Agreement and shall continue without novation. 

 

	14.2	Acknowledgment of Security Interests 

  

	 	(a)	Borrower hereby acknowledges, confirms and agrees that Agent, on behalf of itself and Secured Parties, shall continue to have a Lien upon the collateral heretofore
granted to Original Lender and Original Agent pursuant to and in connection with the Original Loan Agreement, the First Amended and Restated Credit Agreement and the Second Amended and Restated Credit Agreement, as the case may be, to secure the
Obligations, as well as any collateral granted under or in connection with this Agreement or under any of the other Financing Agreements or otherwise granted to or held by Agent, any Lender, Original Lender, Original Agent, any Secured Party or any
of their respective Affiliates. 

  

	 	(b)	The Liens of Agent, on behalf of itself and Secured Parties, in the Collateral shall be deemed to be continuously granted and perfected from the earliest date of the
granting and perfection of such Liens to Original Lender, Original Agent or Agent under the Financing Agreements or any Secured Hedge Agreements. 

  

	 	(c)	Notwithstanding any term of any Financing Agreement, Borrower acknowledges, confirms and agrees that all security granted by it under, or in connection with, the
Original Loan Agreement, the First Amended and Restated Credit Agreement, the Second Amended and Restated Credit Agreement and the other Financing Agreements shall be held by Agent, on behalf of itself and Secured Parties (including those under
Secured Hedge Agreements and Secured Cash Management Agreements), to secure the Obligations (including those arising under the Secured Hedge Agreements and Secured Cash Management Agreements). 

 

	14.3	Second Amended and Restated Credit Agreement 

 Borrower hereby acknowledges, confirms and agrees that: (a) the Second Amended and Restated Credit Agreement has been duly executed and delivered by Borrower and is in full force and effect as of the
Closing Date; (b) the agreements and obligations of Borrower contained in the Second Amended and Restated Credit Agreement constitutes the legal, valid and binding obligations of Borrower enforceable against Borrower in accordance with its
terms and Borrower has no valid defense to the enforcement of such obligations; and (c) Agent and Lenders are entitled to all of the rights, remedies and benefits provided for in or arising pursuant to the Second Amended and Restated Credit
Agreement. 
  

	14.4	Restatement 

  

	 	(a)	 Except as otherwise stated in Section 14.2 hereof and this Section 14.4, as of the Closing Date, the terms, conditions,
agreements, covenants, representations and warranties set forth in the Second Amended and Restated Credit Agreement are simultaneously amended and restated in their entirety, and as so amended and restated, replaced and superseded by the terms,
conditions, agreements, 

  
 -94-

	 	
covenants, representations and warranties set forth in this Agreement and the other Financing Agreements executed and/or delivered on or after the Closing Date, except that nothing herein or in
the other Financing Agreements shall impair or adversely affect the continuation of the liability of Borrower for the Obligations heretofore incurred and the Liens and other interests in the collateral heretofore granted, pledged and/or assigned by
Borrower to Agent, Original Lender, Original Agent, any Lender, any Secured Party or any of their respective Affiliates (whether directly, indirectly or otherwise). 

 

	 	(b)	The amendment and restatement contained herein shall not, in any manner, be construed to constitute payment of, or impair, limit, cancel or extinguish, or constitute a
novation in respect of, the Obligations and other obligations, liabilities and indebtedness of Borrower evidenced by or arising under the Second Amended and Restated Credit Agreement, and the Liens of Agent, on behalf of itself and Secured Parties,
securing such Obligations and other obligations, liabilities and indebtedness, which shall not in any manner be impaired, limited, terminated, waived or released, but shall continue in full force and effect in favor of Agent, for the benefit of
itself and Secured Parties. 

  

	 	(c)	All loans, advances and other financial accommodations under the Second Amended and Restated Credit Agreement and all other obligations, liabilities and indebtedness of
Borrower outstanding and unpaid as of the Closing Date pursuant to the Second Amended and Restated Credit Agreement or otherwise shall be deemed Obligations of Borrower pursuant to the terms hereof. The principal amount of the Loans and the amount
of the Letters of Credit Accommodations outstanding as of the Closing Date under the Second Amended and Restated Credit Agreement shall be allocated to the Loans and Letter of Credit Accommodations hereunder in such manner and in such amounts as
Agent shall determine in accordance with the terms hereof. 

 [The remainder of this page is intentionally left
blank] 

  
 -95-

 IN WITNESS WHEREOF, Lenders, Agent and Credit Parties have caused this Agreement to be duly executed
as of the day and year first above written. 
 AGENT: 
  

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION
		
	By:	 	/s/ Patrick M. Drum
	Name:	 	Patrick M. Drum
	Title:	 	Senior Vice President
		
	By:	 	/s/ Alan T. Prohaska
	Name:	 	Alan T. Prohaska
	Title:	 	Vice President

 Address: 
 1525
West W. T. Harris Blvd 1B1 
 Charlotte, NC 28262 
 Mail Code: D1109-019 
 Attention: Thomas Nikolic 

[Credit Agreement—Signature Page] 

			
	 ISSUING LENDER:
  

WELLS FARGO BANK, NATIONAL ASSOCIATION

		
	By:	 	/s/ Patrick M. Drum
	Name:	 	Patrick M. Drum
	Title:	 	Senior Vice President
		
	By:	 	/s/ Alan T. Prohaska
	Name:	 	Alan T. Prohaska
	Title:	 	Vice President

 Address: 
 1525
West W. T. Harris Blvd 1B1 
 Charlotte, NC 28262 
 Mail Code: D1109-019 
 Attention: Thomas Nikolic 

Fax: 704-715-0017333 

			
	LENDER:

  

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION
		
	By:	 	/s/ Patrick M. Drum
	Name:	 	Patrick M. Drum
	Title:	 	Senior Vice President
		
	By:	 	/s/ Alan T. Prohaska
	Name:	 	Alan T. Prohaska
	Title:	 	Vice President

 Address: 
 MAC
E2064-031 
 333South Grand, 3rd Floor 
 Los
Angeles, CA 90071 
 Attention: Patrick Drum (Senior Vice President) 
 and Alan Prohaska (Vice President) 
 Fax: 855-729-3712 

			
	LENDER:
	
	CANADIAN IMPERIAL BANK OF COMMERCE
		
	By:	 	/s/ Colin Sharman
	Name:	 	Colin Sharman
	Title:	 	Authorized Signatory
		
	By:	 	/s/ Michael Leroux
	Name:	 	Michael Leroux
	Title:	 	Authorized Signatory

 Address: 
 Commerce Court West, 4th Floor 
 199 Bay Street 
 Toronto, ON 
 M5L 1A2 
 Attention: Colin Sharman 
 Fax: 416-980-5352 

			
	LENDER:
	
	EXPORT DEVELOPMENT CANADA
		
	By:	 	/s/ Christopher Wilson
	Name:	 	Christopher Wilson
	Title:	 	Senior Associate
		
	By:	 	/s/ Karen Morandin
	Name:	 	Karen Morandin
	Title:	 	Senior Financing Manager

 Address: 

Export Development Canada 
 150 Slater Street

 Ottawa, Ontario 
 Canada 

K1A 1K3 
 Operations Contact: 

Attention: Loans Services 
 F: 613 598 2514

 Covenant Reporting Contact: 

Attention: Covenants Officer 
 T: 613 598 2979

 Post Signing Credit Contact: 

Attention: Assets Manager 
 F: 613 598 3186

			
	LENDER:
	
	HSBC BANK CANADA
		
	By:	 	/s/ Ambar Bansal
	Name:	 	Ambar Bansal
	Title:	 	Vice President, Regional Head-Ontario Corporate Banking
		
	By:	 	/s/ Lyndsay Thompson
	Name:	 	Lyndsay Thompson
	Title:	 	Assistant Vice President, Global Relationship Manager, Corporate Banking

			
	LENDER:
	
	ROYAL BANK OF CANADA
		
	By:	 	/s/ Thomas Paton
	Name:	 	Thomas Paton
	Title:	 	Authorized Signatory

 Address: 

National Client Group—Finance 
 Royal
Bank of Canada 
 4th Floor, North Tower, Royal Bank Plaza 
 Toronto, ON M5J 2W7 
 Attention: Thomas Paton 

Fax: 416-842-4090 
 [Credit
Agreement—Signature Page] 

			
	LENDER:
	
	NATIONAL BANK OF CANADA
		
	By:	 	/s/ James Uson
	Name:	 	James Uson
	Title:	 	Director
		
	By:	 	/s/ Russell Garrard
	Name:	 	Russell Garrard
	Title:	 	Senior Director

 Address: 

130 King Street West 
 Toronto, ON M5X 1J9

 Attention: James Uson 
 Fax:
416-864-7819 

									
	BORROWER:	 		 	GUARANTOR:
			
	IMAX CORPORATION	 		 	IMAX U.S.A. INC.
					
	By:	 	/s/ Joseph Sparacio	 		 	By:	 	/s/ Joseph Sparacio
	Name:	 	Joseph Sparacio	 		 	Name:	 	Joseph Sparacio
	Title:	 	Executive Vice President	 		 	Title:	 	Vice President, Finance
		 	& Chief Financial Officer	 		 		 	
					
	By:	 	/s/ Edward MacNeil	 		 	By:	 	/s/ Edward MacNeil
	 Name:
	 	Edward MacNeil	 		 	Name:	 	Edward MacNeil
	 Title:
	 	Senior Vice President, Finance	 		 	Title:	 	Vice President
			
	 Chief Executive Office:
  

110 East 59th Street
 Suite 2100
 New York, New York, 10022
 Attention: Senior Executive Vice President and

General Counsel
 Fax:
(212) 371-7584
	 		 	 Chief Executive Office:
  

110 East 59th Street
 New York, NY
10022
 Attention: Robert D. Lister

Fax: (212) 371-7584

			
	GUARANTOR:	 		 	GUARANTOR:
			
	1329507 ONTARIO INC.	 		 	DAVID KEIGHLEY PRODUCTIONS 70 MM INC.
					
	By:	 	/s/ Joseph Sparacio	 		 	By:	 	/s/ Joseph Sparacio
	Name:	 	Joseph Sparacio	 		 	Name:	 	Joseph Sparacio
	Title:	 	Vice President, Finance	 		 	Title:	 	Vice President, Finance
					
	By:	 	/s/ Edward MacNeil	 		 	By:	 	/s/ Edward MacNeil
	Name:	 	Edward MacNeil	 		 	Name:	 	Edward MacNeil
	 Title:
	 	Vice President	 		 	Title:	 	Vice President
			
	 Chief Executive Office:
  

2525 Speakman Drive
 Mississauga, ON L5K
1B1
 Attention: Robert D. Lister
 Fax:
(212) 371-7584
	 		 	 Chief Executive Office:
  

3003 Exposition Boulevard
 Santa Monica, CA
90404
 Attention: Robert D. Lister

Fax: (212) 371-7584

  
 [Credit
Agreement—Signature Page] 

									
	GUARANTOR:	 		 	GUARANTOR:
			
	IMAX II U.S.A. INC.	 		 	IMAX (BARBADOS) HOLDING, INC.
					
	By:	 	/s/ Joseph Sparacio	 		 	By:	 	/s/ Joseph Sparacio
	Name:	 	Joseph Sparacio	 		 	Name:	 	Joseph Sparacio
	Title:	 	Vice President, Finance	 		 	Title:	 	Vice President, Finance
					
	By:	 	/s/ Edward MacNeil	 		 	By:	 	/s/ Edward MacNeil
	Name:	 	Edward MacNeil	 		 	Name:	 	Edward MacNeil
	 Title:
	 	Vice President	 		 	Title:	 	Vice President
			
	 Chief Executive Office:
  

110 East 59th Street
 New York, NY
10022
 Attention: Robert D. Lister

Fax: (212) 371-7584
	 		 	 Chief Executive Office:
  

The Phoenix Centre
 George Street,
Belleville
 St. Michael, Barbados

Attention: Robert D. Lister
 Fax: (212)
371-7584

  
 [Credit
Agreement—Signature Page] 

 EXHIBIT A 
 ASSIGNMENT AND ASSUMPTION AGREEMENT 

 EXHIBIT B 
 FORM OF COMPLIANCE CERTIFICATE 

 EXHIBIT C 
 INFORMATION CERTIFICATES 

 EXHIBIT D 
 FORM OF NOTICE OF BORROWING 

 EXHIBIT E 
 FORM OF NOTICE OF CONVERSION/CONTINUATION 

 EXHIBIT F 
 FORM OF NOTICE OF PREPAYMENT 

 EXHIBIT G 
 REVOLVING LOAN COMMITMENTS 

 EXHIBIT H 
 CLOSING AGENDA 

 SCHEDULE 6.1 
 CORPORATE STRUCTURE CHART 

 SCHEDULE 6.9 
 RESTRICTIONS ON ASSIGNABILITY IN SIGNIFICANT CONTRACTS 

 SCHEDULE 8.2 
 EXISTING LIENS 

 SCHEDULE 8.3 
 EXISTING INDEBTEDNESS 

 SCHEDULE 8.4A 
 GUARANTEES 

 SCHEDULE 8.4B 
 EXISTING LOANS, ADVANCES AND GUARANTEESEX-10.54

 Exhibit 10.54 

 
  

 
 SECURITIES PURCHASE AGREEMENT

 by and among 
 THE UNITED STATES DEPARTMENT OF THE TREASURY, 
 FIRSTMERIT CORPORATION 

and 
 CITIZENS
REPUBLIC BANCORP, INC. 
 Dated as of February 19, 2013 

 
  

 

 TABLE OF CONTENTS 

 

							
	 	  	 	  	Page	 
	 ARTICLE I
	  	DEFINITIONS	  	 	2	  
			
	 Section 1.01
	  	 Definitions of Certain Terms
	  	 	2	  
			
	 Section 1.02
	  	 Interpretation
	  	 	4	  
			
	 ARTICLE II
	  	THE SECURITIES PURCHASE	  	 	5	  
			
	 Section 2.01
	  	 The Securities Purchase and Exchange
	  	 	5	  
			
	 Section 2.02
	  	 Closing of the Securities Purchase and Exchange
	  	 	5	  
			
	 ARTICLE III
	  	REPRESENTATIONS AND WARRANTIES	  	 	6	  
			
	 Section 3.01
	  	 Representations and Warranties of the Purchaser
	  	 	6	  
			
	 Section 3.02
	  	 Representations and Warranties of the Company
	  	 	7	  
			
	 ARTICLE IV
	  	COVENANTS	  	 	8	  
			
	 Section 4.01
	  	 Forbearances of the Seller
	  	 	8	  
			
	 Section 4.02
	  	 Further Action
	  	 	8	  
			
	 Section 4.03
	  	 Merger Agreement
	  	 	8	  
			
	 Section 4.04
	  	 Merger
	  	 	8	  
			
	 Section 4.05
	  	 Remaining Certification and Disclosure Requirements
	  	 	8	  
			
	 Section 4.06
	  	 Transferability Restrictions Related to Long-Term Restricted Stock
	  	 	9	  
			
	 Section 4.07
	  	 Assumption of Obligations
	  	 	9	  
			
	 ARTICLE V
	  	CONDITIONS TO THE CLOSING	  	 	9	  
			
	 Section 5.01
	  	 Conditions to Each Party’s Obligations
	  	 	9	  
			
	 Section 5.02
	  	 Condition to Obligations of the Seller
	  	 	10	  
			
	 ARTICLE VI
	  	TERMINATION	  	 	11	  
			
	 Section 6.01
	  	 Termination Events
	  	 	11	  
			
	 Section 6.02
	  	 Effect of Termination
	  	 	12	  
			
	 ARTICLE VII
	  	MISCELLANEOUS	  	 	12	  
			
	 Section 7.01
	  	 Waiver; Amendment
	  	 	12	  
			
	 Section 7.02
	  	 Counterparts
	  	 	12	  
			
	 Section 7.03
	  	 Governing Law; Choice of Forum; Waiver of Jury Trial
	  	 	12	  
			
	 Section 7.04
	  	 Expenses
	  	 	13	  
			
	 Section 7.05
	  	 Notices
	  	 	13	  
			
	 Section 7.06
	  	 Entire Understanding; No Third Party Beneficiaries
	  	 	14	  

  
 -i-

							
	 Section 7.07
	  	 Assignment
	  	 	14	  
			
	 Section 7.08
	  	 Severability
	  	 	14	  

  
 -ii-

 SECURITIES PURCHASE AGREEMENT 

THIS SECURITIES PURCHASE AGREEMENT (as amended, supplemented or otherwise modified from time to time, this
“Agreement”) is dated as of February 19, 2013, by and between the United States Department of the Treasury (the “Seller”), FirstMerit Corporation, an Ohio corporation (the “Purchaser”), and
Citizens Republic Bancorp, Inc., a Michigan corporation (the “Company”). 
 RECITALS 

WHEREAS, the Seller is currently the owner of and holds (i) 300,000 shares of Fixed Rate Cumulative Perpetual Preferred
Stock, Series A, of the Company (the “Shares”) and (ii) a ten-year warrant to purchase 1,757,812.5 shares of Company Common Stock (the “Warrant”); 

WHEREAS, on September 12, 2012, the Purchaser and the Company entered into an Agreement and Plan of Merger (the
“Merger Agreement”), pursuant to which, among other things and subject to the terms and conditions set forth therein, (i) the Company will merge with and into the Purchaser, with the Purchaser continuing thereafter as the
surviving corporation, and (ii) each outstanding share of Company Common Stock will convert into the right to receive shares of Purchaser Common Stock (collectively, the “Merger”); 

WHEREAS, the Seller has delivered to the Company (with a copy to the Purchaser), concurrently herewith, a proxy (the
“Merger Proxy”), as holder of the Shares, approving the Merger Agreement, which proxy is subject to, and shall automatically become effective upon, the approval of the Merger Agreement by the holders of Company Common Stock at a
meeting of Company shareholders to be called by the Company for consideration thereof; and 
 WHEREAS, the Seller desires
to (i) sell to the Purchaser, and the Purchaser desires to purchase from the Seller, subject to the terms and conditions contained in this Agreement, all of the Shares and (ii) exchange the Warrant for a warrant for shares of the
Purchaser’s common stock substantially in the form attached hereto as Exhibit A (the “FirstMerit Warrant”) (the “Securities Purchase”). 

NOW, THEREFORE, in consideration of the premises, and of the various representations, warranties, covenants and other agreements
and undertakings of the parties hereto, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 

 AGREEMENT 
 ARTICLE I 
 DEFINITIONS 

Section 1.01 Definitions of Certain Terms. For purposes of this Agreement, the following terms are used with the meanings
assigned below (such definitions to be equally applicable to both the singular and plural forms of the terms herein defined): 

“Affiliate” means, with respect to any person, any person directly or indirectly controlling, controlled by or under
common control with, such other person. For purposes of this definition, “control” (including, with correlative meanings, the terms “controlled by” and “under common control with”) when used with respect to any person,
means the possession, directly or indirectly, of the power to cause the direction of management and/or policies of such person, whether through the ownership of voting securities by contract or otherwise. 

“Agreement” has the meaning set forth in the introductory paragraph of this agreement. 

“Business Day” means any day that is not a Saturday, a Sunday or other day on which banking organizations in the State
of Michigan or the State of Ohio are required or authorized by Law to be closed. 
 “Closing” has the meaning
set forth in Section 2.02(A). 
 “Closing Date” has the meaning set forth in Section 2.02(A).

 “Company” has the meaning set forth in the introductory paragraph to this Agreement. 

“Company Common Stock” means the common stock, no par value per share, of the Company. 

“Company Material Adverse Effect” means a material adverse effect on the business, results of operations or financial
condition of the Company and its consolidated Subsidiaries taken as a whole; provided, however, that Company Material Adverse Effect shall not be deemed to include the effects of (i) changes after the date hereof in general
business, economic or market conditions (including changes generally in prevailing interest rates, credit availability and liquidity, currency exchange rates and price levels or trading volumes in the United States or foreign securities or credit
markets), or any outbreak or escalation of hostilities, declared or undeclared acts of war or terrorism, in each case generally affecting the industries in which the Company and its Subsidiaries operate, (ii) changes or proposed changes after
the date hereof in United States generally accepted accounting principles or regulatory accounting requirements, or authoritative interpretations thereof, (iii) changes or proposed changes after date hereof in securities, banking and other Laws
of general applicability or related policies or interpretations of Governmental Entities (in the case of each of these clauses (i), (ii) and (iii), 

  
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other than changes or occurrences to the extent that such changes or occurrences have or would reasonably be expected to have a materially disproportionate adverse effect on the Company and its
consolidated Subsidiaries taken as a whole relative to comparable United States banking or financial services organizations), or (iv) changes in the market price or trading volume of the Company Common Stock or any other equity, equity-related
or debt securities of the Company or its consolidated Subsidiaries (it being understood and agreed that the exception set forth in this clause (iv) does not apply to the underlying reason giving rise to or contributing to any such change).

 “Compensation Regulations” means any guidance, rule or regulation, as the same shall be in effect from time
to time, promulgated pursuant to or implementing Section 111 of the Emergency Economic Stabilization Act of 2008, as amended by the American Recovery and Reinvestment Act of 2009, or otherwise from time to time. 

“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended. 

“Federal Reserve” means the Board of Governors of the Federal Reserve System or its delegees. 

“FirstMerit” means FirstMerit Corporation, an Ohio corporation. 

“FirstMerit Warrant” has the meaning set forth in the recitals to this Agreement. 

“FirstMerit Warrant Shares” means the shares of FirstMerit no par value common stock (“FirstMerit Common
Stock”) issuable upon the exercise of the FirstMerit Warrant. 
 “Governmental Entity” means any
court, administrative agency or commission or other governmental or regulatory authority or instrumentality or self-regulatory organization. 
 “Law” means any law, statute, code, ordinance, rule, regulation, judgment, order, award, writ, decree or injunction issued, promulgated or entered into by or with any Governmental Entity.

 “Liens” means any liens, licenses, pledges, charges, encumbrances, adverse rights or claims and security
interests whatsoever. 
 “Merger” has the meaning set forth in the recitals to this Agreement. 

“Merger Agreement” has the meaning set forth in the recitals to this Agreement. 

“Merger Proxy” has the meaning set forth in the recitals to this Agreement. 

“Purchase Price” has the meaning set forth in Section 2.01. 

“Purchaser” has the meaning set forth in the introductory paragraph to this Agreement. 

  
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 “Purchaser Common Stock” means the common stock, no par value per share, of
the Purchaser. 
 “Regulatory Event” means, with respect to the Company, that (i) the Federal Deposit
Insurance Corporation or any other applicable Governmental Entity shall have been appointed as conservator or receiver for the Company or any Subsidiary; (ii) the Company or any Subsidiary shall have been considered in “troubled
condition” for the purposes of 12 U.S.C. Sec. 1831i or any regulation promulgated thereunder; (iii) the Company or any Subsidiary shall qualify as “Undercapitalized,” “Significantly Undercapitalized,” or
“Critically Undercapitalized” as those terms are defined in 12 U.S.C. Sec. 1831o or other applicable Law; or (iv) the Company or any Subsidiary shall have become subject to any formal or informal regulatory action requiring the
Company or any Subsidiary to materially improve its capital, liquidity or safety and soundness. 
 “Relevant
Period” means the period in which any obligation of the Company arising from financial assistance under the Troubled Asset Relief Program remains outstanding, as it may be further described in the Compensation Regulations. 

“Securities Purchase” has the meaning set forth in the recitals in this Agreement. 

“Securities Purchase Agreement” has the meaning set forth in Section 4.08. 

“Seller” has the meaning set forth in the introductory paragraph to this Agreement. 

“Shares” has the meaning set forth in the recitals to this Agreement. 

“Subsidiary” means, with respect to any person, any bank, corporation, partnership, joint venture, limited liability
company or other organization, whether incorporated or unincorporated, (i) of which such person or a subsidiary of such person is a general partner or managing member or (ii) at least a majority of the securities or other interests of
which having by their terms ordinary voting power to elect a majority of the board of directors or persons performing similar functions with respect to such entity is directly or indirectly owned by such person and/or one or more subsidiaries
thereof. 
 “Warrant” has the meaning set forth in the recitals to this Agreement. 

Section 1.02 Interpretation. The words “hereof,” “herein” and “hereunder” and words of similar
import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement, and Section references are to this Agreement unless otherwise specified. Whenever the words “include,”
“includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation.” The term “person” as used in this Agreement shall mean any individual, corporation,
limited liability company, limited or general partnership, joint venture, government or any agency or political subdivision thereof, or any other entity or any group (as defined in Section 13(d)(3) of the Exchange Act) comprised of two or more
of the foregoing. The table of contents and headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. In this Agreement, all

  
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references to “dollars” or “$” are to United States dollars. This Agreement and any documents or instruments delivered pursuant hereto or in connection herewith shall be
construed without regard to the identity of the person who drafted the various provisions of the same. Each and every provision of this Agreement and such other documents and instruments shall be construed as though all of the parties participated
equally in the drafting of the same. Consequently, the parties acknowledge and agree that any rule of construction that a document is to be construed against the drafting party shall not be applicable either to this Agreement or such other documents
and instruments. 
 ARTICLE II 
 THE SECURITIES PURCHASE 
 Section 2.01 The Securities Purchase and
Exchange. 
 (A) Purchase and Sale of the Shares. Subject to, and on the terms and conditions of, this Agreement,
effective at the Closing, the Purchaser will purchase from the Seller, and the Seller will sell, transfer, convey, assign and deliver to the Purchaser, all of the Shares, free and clear of all Liens. The aggregate purchase price for the Shares shall
be an amount in cash equal to (a) Three Hundred Million Dollars ($300,000,000) plus (b) all of the accrued and unpaid dividends on the Shares through and including the Closing Date (together, the “Purchase Price”).

 (B) Exchange of Warrant. Subject to, and on the terms and conditions of, this Agreement, effective at the closing of
the Merger and on the same day as the Closing, the Purchaser will deliver to the Seller or its designee the executed FirstMerit Warrant substantially in the form attached hereto as Exhibit A and, in exchange, the Seller will deliver to the
Purchaser the Warrant. 
 Section 2.02 Closing of the Securities Purchase and Exchange. (A) Subject to Article
V, the closing of the Securities Purchase (the “Closing”) shall be held (1) immediately prior to the filing of the certificates of merger with the Secretary of State of the State of Ohio and the Department of Licensing and
Regulatory Affairs of the State of Michigan pursuant to which the Merger will be consummated or (2) at such other time or date that is agreed to in writing by the Seller and the Purchaser (the date on which the Closing occurs, the
“Closing Date”). The Closing shall be held at such place as the Seller and the Purchaser shall mutually agree in writing. 
 (B) At the Closing, or simultaneously therewith, the following shall occur: 
 (1) the Seller will deliver to the Purchaser certificates for the Shares and the Warrant, duly endorsed in blank or accompanied by stock powers duly endorsed in blank; 

(2) the Purchaser will pay the aggregate Purchase Price to the Seller, by wire transfer in immediately available funds, to
an account designated in writing by the Seller to the Purchaser, such designation to be made not later than two Business Days prior to the Closing Date; and 

  
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 (3) the Purchaser shall deliver to the Seller or its designee the executed
FirstMerit Warrant in the form attached hereto as Exhibit A. 
 ARTICLE III 

REPRESENTATIONS AND WARRANTIES 
 Section 3.01 Representations and Warranties of the Purchaser. The Purchaser hereby represents and warrants to the Seller as follows: 

(A) Existence and Power. The Purchaser is duly organized and validly existing as a corporation under the Laws of the State of Ohio
and has all requisite power and authority to execute and deliver this Agreement and to consummate the transactions contemplated by this Agreement. 
 (B) Authorization. The execution and delivery of this Agreement, and the consummation by the Purchaser of the transactions contemplated hereby, have been duly and validly approved by all necessary
corporate action of the Purchaser, and no other corporate or shareholder proceedings on the part of the Purchaser are necessary to approve this Agreement or to consummate the transactions contemplated hereby. This Agreement has been duly and validly
executed and delivered by the Purchaser, and (assuming the due authorization, execution and delivery of this Agreement by the Seller and the Company) this Agreement constitutes a valid and binding obligation of the Purchaser, enforceable against the
Purchaser in accordance with its terms, except as enforcement may be limited by general principles of equity whether applied in a court of law or a court of equity and by bankruptcy, insolvency and similar Laws affecting creditors’ rights and
remedies generally. 
 (C) Non-Contravention. Neither the execution and delivery of this Agreement nor the consummation
by the Purchaser of the transactions contemplated hereby, will violate any provision of the charter or bylaws or similar governing documents of the Purchaser or, assuming that the consents, approvals, filings and registrations referred to in
Section 3.01(D) are received or made (as applicable), applicable Law. 
 (D) Consents and Approvals. Except for any
consents, approvals, filings or registrations required in connection with the transactions contemplated by the Merger Agreement (including, but not limited to, approval by the Federal Reserve of the Securities Purchase), no consents or approvals of,
or filings or registrations with, any Governmental Entity or of or with any other third party by and on behalf of the Purchaser are necessary in connection with the execution and delivery by the Purchaser of this Agreement and the consummation by
the Purchaser of the transactions contemplated hereby. 
 (E) Securities Matters. The Shares are being acquired by the
Purchaser for its own account and without a view to the public distribution or sale of the Shares. 
 (F) Availability of
Funds. The Purchaser will have as of the Closing sufficient funds available to consummate the transactions contemplated hereunder. 

  
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 (G) The FirstMerit Warrant and the FirstMerit Warrant Shares. The FirstMerit Warrant
has been duly authorized and, when executed and delivered as contemplated hereby, will constitute a valid and legally binding obligation of the Purchaser enforceable against the Purchaser in accordance with its terms, except as the same may be
limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and general equitable principles, regardless of whether such enforceability is considered in a
proceeding at law or in equity. The FirstMerit Warrant Shares have been duly authorized and reserved for issuance upon exercise of the FirstMerit Warrant and when so issued in accordance with the terms of the FirstMerit Warrant will be validly
issued, fully paid and non-assessable. 
 Section 3.02 Representations and Warranties of the Company. The Company
hereby represents and warrants to the Seller as follows: 
 (A) Existence and Power. The Company is duly organized and
validly existing as a corporation under the Laws of the State of Michigan and has all requisite power and authority to execute and deliver this Agreement and to consummate the transactions contemplated by this Agreement. 

(B) Authorization. The execution and delivery of this Agreement, and the consummation by the Company of the transactions
contemplated hereby, have been duly and validly approved by all necessary corporate action of the Company, and no other corporate or shareholder proceedings on the part of the Company are necessary to approve this Agreement or to consummate the
transactions contemplated hereby. This Agreement has been duly and validly executed and delivered by the Company, and (assuming the due authorization, execution and delivery of this Agreement by the Seller and the Purchaser) this Agreement
constitutes a valid and binding obligation of the Company, enforceable against the Company in accordance with its terms, except as enforcement may be limited by general principles of equity whether applied in a court of law or a court of equity and
by bankruptcy, insolvency and similar Laws affecting creditors’ rights and remedies generally. 
 (C)
Non-Contravention. Neither the execution and delivery of this Agreement nor the consummation by the Company of the transactions contemplated hereby, will violate any provision of the charter or bylaws or similar governing documents of the
Company or, assuming that the consents, approvals, filings and registrations referred to in Section 3.02(D) are received or made (as applicable), applicable Law. 
 (D) Consents and Approvals. No consents or approvals of, or filings or registrations with, any Governmental Entity or of or with any other third party by and on behalf of the Company are necessary
in connection with the execution and delivery by the Company of this Agreement and the consummation by the Company of the transactions contemplated hereby. 

  
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 ARTICLE IV 
 COVENANTS 
 Section 4.01 Forbearances of the Seller. From the
date hereof until the Closing, without the prior written consent of the Purchaser, the Seller will not: 
 (A) directly or
indirectly transfer, sell, assign, distribute, exchange, pledge, hypothecate, mortgage, encumber or otherwise dispose of or engage in or enter into any hedging transactions with respect to, any of the Shares, the Warrant or any portion thereof or
interest therein (other than pursuant to the Securities Purchase); 
 (B) revoke or terminate, or attempt to revoke or
terminate, the Merger Proxy; or 
 (C) agree, commit to or enter into any agreement to take any of the actions referred to in
Section 4.01(A). 
 Notwithstanding the foregoing, the Seller may undertake any of the actions set forth in
Section 4.01(A) with an Affiliate of the Seller so long as this Agreement is assigned to such Affiliate in accordance with Section 7.07 of this Agreement. For the avoidance of doubt, until the Closing, except as expressly set forth in this
Section 4.01, the Seller shall continue to be able to exercise all rights and privileges with respect to the Shares and the Warrant. 
 Section 4.02 Further Action. The Seller, the Purchaser and the Company (A) shall each execute and deliver, or shall cause to be executed and delivered, such documents and other
instruments and shall take, or shall cause to be taken, such further action as may be reasonably necessary to carry out the provisions of this Agreement and give effect to the transactions contemplated by this Agreement and (B) shall refrain
from taking any actions that could reasonably be expected to impair, delay or impede the Closing or the consummation of the transactions contemplated by this Agreement (except as expressly permitted by the Merger Agreement). 

Section 4.03 Merger Agreement. The Purchaser will not agree to any amendment, modification or waiver of any provision of the
Merger Agreement (other than corrections of obvious errors, if any, or other ministerial amendments) to the extent such amendment, modification or waiver would adversely affect the Seller, without the prior written consent of the Seller. 

Section 4.04 Merger. The Purchaser shall keep the Seller reasonably apprised of its progress in obtaining necessary
regulatory approvals for the Merger and provide at least five (5) Business Days’ prior written notice of the anticipated Closing Date to the Seller. The Purchaser shall give the Seller prompt written notice of the approval of the Merger by
the Federal Reserve and the holders of the Company Common Stock and the holders of FirstMerit Common Stock. 
 Section 4.05
Remaining Certification and Disclosure Requirements. The Company and the Purchaser acknowledge, the Company agrees to comply with, and following 

  
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the Closing the Purchaser agrees to comply with, the applicable certification and disclosure requirements set forth in the Compensation Regulations, including without limitation those submissions
that are required with respect to the final portion of the Relevant Period (see, for example, Sections 30.7(c) and (d), Sections 30.11(b) and (c) and Section 30.15(a)(3) of the Compensation Regulations and FAQ-14 in the
Frequently Asked Questions to the Compensation Regulations, available at www.financialstability.gov). 
 Section 4.06
Transferability Restrictions Related to Long-Term Restricted Stock. The Company and the Purchaser acknowledge that any long-term restricted stock (as defined in Section 30.1 of the Compensation Regulations) awarded by the Company that
has otherwise vested may not become transferable, or payable in the case of a restricted stock unit, at any time earlier than as permitted under the schedule set forth in the definition of long-term restricted stock in Section 30.1 of the
Compensation Regulations. For this purpose, aggregate financial assistance received (for purposes of the definition of long-term restricted stock) includes the full original liquidation amount with respect to 300,000 Shares (see FAQ-15 in the
Frequently Asked Questions to the Compensation Regulations, available at www.financialstability.gov). Upon the sale of the Shares to the Purchaser, in the event that any long-term restricted stock awarded by the Company is not permitted to become
transferable, or payable in the case of a restricted stock unit, under the schedule set forth in the definition of long-term restricted stock in Section 30.1 of the Compensation Regulations, the Company or the Purchaser upon the Merger; shall
cancel such long-term restricted stock and/or restricted stock units. 
 Section 4.07 Assumption of Obligations.
Pursuant to Section 4.3 of the Company’s Securities Purchase Agreement, dated as of December 12, 2008, by and between the Company and the Seller (the “Securities Purchase Agreement”), effective as of the effective
date of the Merger, the Purchaser does hereby expressly assume the due and punctual performance and observance of each and every covenant, agreement and condition of such Securities Purchase Agreement and all ancillary documents to be performed and
observed by the Company solely with respect to the FirstMerit Warrant and the FirstMerit Warrant Shares. In addition, it is agreed that the term “Registrable Securities”, as defined in the Securities Purchase Agreement, shall be deemed to
include the FirstMerit Warrant and the FirstMerit Warrant Shares. 
 ARTICLE V 

CONDITIONS TO THE CLOSING 
 Section 5.01 Conditions to Each Party’s Obligations. The respective obligations of each of the Purchaser and the Seller to consummate the Securities Purchase are subject to the
fulfillment, or written waiver by the Purchaser and the Seller, prior to the Closing, of each of the following conditions: 

(A) Satisfaction of Conditions Precedent to the Merger. All conditions precedent to the Merger set forth in the Merger Agreement
(other than those conditions that by their nature are to be satisfied at the closing of the Merger) shall have been satisfied or waived. 

  
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 (B) Regulatory Approvals. All regulatory approvals required to consummate the
Securities Purchase shall have been obtained and shall remain in full force and effect and all statutory waiting periods in respect thereof shall have expired or been terminated. 

(C) No Injunctions or Restraints; Illegality. No order, injunction or decree issued by any court or agency of competent
jurisdiction or other legal restraint or prohibition preventing the consummation of the Securities Purchase shall be in effect. No Law shall have been enacted, entered, promulgated or enforced by any Governmental Entity which prohibits or makes
illegal the consummation of the Securities Purchase. 
 Section 5.02 Condition to Obligations of the Seller. The
obligation of the Seller to consummate the Securities Purchase is also subject to the fulfillment, or written waiver by the Seller, prior to the Closing, of the following conditions: 

(A) Other Events. None of the following shall have occurred since the date hereof: 

(1) the Company or any of its Subsidiaries shall have (a) dissolved (other than pursuant to a consolidation,
amalgamation or merger); (b) become insolvent or unable to pay its debts or failed or admitted in writing its inability generally to pay its debts as they become due; (c) made a general assignment, arrangement or composition with or for
the benefit of its creditors; (d) instituted or have instituted against it a proceeding seeking a judgment of insolvency or bankruptcy or any other relief under any bankruptcy or insolvency law or other similar law affecting creditors’
rights, or a petition shall have been presented for its winding-up or liquidation, and, in the case of any such proceeding or petition instituted or presented against it, such proceeding or petition shall have resulted in a judgment of insolvency or
bankruptcy or the entry of an order for relief or the making of an order for its winding-up or liquidation; (e) had a resolution passed for its winding-up, official management or liquidation (other than pursuant to a consolidation, amalgamation
or merger); (f) sought or shall have become subject to the appointment of an administrator, provisional liquidator, conservator, receiver, trustee, custodian or other similar official for it or for all or substantially all its assets;
(g) had a secured party take possession of all or substantially all its assets or had a distress, execution, attachment, sequestration or other legal process levied, enforced or sued on or against all or substantially all its assets;
(h) caused or shall have been subject to any event with respect to it, which, under the applicable laws of any jurisdiction, had an analogous effect to any of the events specified in clauses (a) to (g) (inclusive); or (i) taken
any action in furtherance of, or indicating its consent to, approval of, or acquiescence in, any of the foregoing acts; 
 (2) a Governmental Entity in any jurisdiction shall have (a) commenced an action or proceeding against the Company or any of its Subsidiaries; or (b) issued or entered a temporary restraining
order, preliminary or permanent injunction or other order binding upon the Company or any of its Subsidiaries, which in the case of (a) and (b) shall have had or shall be reasonably expected to have a Company Material Adverse Effect;

  
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 (3) any fact, circumstance, event, change, occurrence, condition or
development shall have occurred that, individually or in the aggregate, shall have had or shall be reasonably likely to have a Company Material Adverse Effect; or 
 (4) any Regulatory Event not otherwise existing on the date hereof. 
 (B)
Representations and Warranties. The representations and warranties set forth in Article III of this Agreement shall be true and correct as though made on and as of the Closing Date. 

(C) Consents and Approvals. All consents and approvals of, and filings and registrations with, all Governmental Entities and of or
with any other third party by and on behalf of the Purchaser that are necessary in connection with the execution and delivery by the Company and the Purchaser of this Agreement and the consummation by the Purchaser of the transactions contemplated
hereby shall have been obtained or made, as applicable, and shall remain in full force and effect. 
 (D) Performance
Obligations. The Purchaser shall have performed in all material respects all obligations required to be performed by it under this Agreement at or prior to the Closing. 
 (E) Closing Certificates. The Company shall provide to Purchaser and Seller, certificates as to the Company’s compliance, through Closing, with all TARP Capital Purchase Program rules,
including the Compensation Rules. Each of the Purchaser and the Company shall deliver to the Seller a certificate, dated as of the Closing Date, signed on behalf of such party by a senior executive officer thereof certifying to the effect that all
conditions precedent to the Closing of such party have been satisfied. 
 (F) Legal Opinion. The Purchaser shall deliver
to the Seller a legal opinion regarding the FirstMerit Warrant and the FirstMerit Warrant Shares, substantially in the form attached hereto as Exhibit C. 
 ARTICLE VI 
 TERMINATION 

Section 6.01 Termination Events. This Agreement may be terminated at any time prior to the Closing: 

(A) by mutual written agreement of the Purchaser and the Seller; or 

(B) by the Purchaser, upon written notice to the Seller, or by the Seller, upon written notice to the Purchaser, in the event that the
Closing Date does not occur on or before June 12, 2013; provided, however, that the respective rights to terminate this Agreement pursuant to this Section 6.01(B) shall not be available to any party whose failure to fulfill
any obligation under this Agreement shall have been the cause of, or shall have resulted in, the failure of the Closing Date to occur on or prior to such date. 

  
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 This Agreement shall automatically terminate upon the termination of the Merger Agreement in
accordance with its terms. 
 Section 6.02 Effect of Termination. In the event of termination of this Agreement as
provided in Section 6.01, this Agreement shall forthwith become void and have no effect, and none of the Seller, the Purchaser, the Company, any affiliates of the Seller, the Purchaser or the Company or any officers, directors or employees of
the Seller, the Purchaser or the Company or any of their respective affiliates shall have any liability of any nature whatsoever hereunder, or in connection with the transactions contemplated hereby, except that this Section 6.02 and
Sections 7.03, 7.04, 7.05 and 7.06 shall survive any termination of this Agreement. 
 ARTICLE VII 

MISCELLANEOUS 
 Section 7.01 Waiver; Amendment. Any provision of this Agreement may be (A) waived in writing by the Purchaser or the Seller based on the party benefiting by the provision, or
(B) amended or modified at any time by an agreement in writing signed by the Purchaser and Seller, and also by the Company solely with respect to any amendments or modifications of Sections 3.02, 4.02, 4.05, 4.06, 5.02(E) and this 7.01 that
affect the Company or its obligations hereunder. Neither any failure nor any delay by any party in exercising any right, power or privilege under this Agreement or any of the documents referred to in this Agreement will operate as a waiver of such
right, power or privilege, and no single or partial exercise of any such right, power or privilege will preclude any other or further exercise of such right, power or privilege. 

Section 7.02 Counterparts. This Agreement may be executed by facsimile or other electronic means and in counterparts, all of
which shall be considered an original and one and the same agreement and shall become effective when counterparts have been signed by each of the parties and delivered to the other parties, it being understood that all parties need not sign the same
counterpart. 
 Section 7.03 Governing Law; Choice of Forum; Waiver of Jury Trial. (A) This Agreement and any
claim, controversy or dispute arising under or related to this Agreement, the relationship of the parties, and/or the interpretation and enforcement of the rights and duties of the parties shall be enforced, governed, and construed in all respects
(whether in contract or in tort) in accordance with the federal law of the United States if and to the extent such law is applicable, and otherwise in accordance with the laws of the State of New York applicable to contracts made and to be performed
entirely within such State. Each of the parties hereto agrees (a) to submit to the exclusive jurisdictions and venue of the United States District Court of the District of Columbia and the United States Court of Federal Claims for any and all
civil actions, suits or proceedings arising out of or relating to this Agreement or the transactions contemplated hereby, and (b) that notice may be served upon (i) the Purchaser at the address and in the manner set forth for notices to
the Purchaser in Section 7.05, (ii) the Company at the address and in the manner set forth for notices to the Company in Section 7.05 and (iii) the Seller 

  
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at the address and in the manner set forth for notices to the Seller in Section 7.05, but otherwise in accordance with federal law. 

(B) To the extent permitted by applicable Law, each of the parties hereto hereby unconditionally waives trial by jury in any civil
legal action or proceeding relating to this Agreement or the transactions contemplated hereby. 
 If requested by the
Seller, the Purchaser shall pay all reasonable out of pocket and documented costs and expenses associated with this Agreement and the transactions contemplated by this Agreement, including, but not limited to, the reasonable fees, disbursements and
other charges of the Sellers’s legal counsel and financial advisors. 
 All notices and other communications hereunder
shall be in writing and shall be deemed given on the date of delivery if delivered personally or telecopied (upon telephonic confirmation of receipt), on the first Business Day following the date of dispatch if delivered by a recognized next day
courier service, or on the third Business Day following the date of mailing if delivered by registered or certified mail, return receipt requested, postage prepaid. All notices hereunder shall be delivered as set forth below or pursuant to such
other instructions as may be designated in writing by the party to receive such notice: 
 If to the Purchaser to: 

FirstMerit Corporation 
 III Cascade Plaza, 7th Floor 
 Akron, Ohio 44308 

Facsimile: (330) 384-7271 
 Attention: General Counsel 
 With a copy to: 

Jones Day 

1420 Peachtree Street, N.E. 
 Suite 800 
 Atlanta, Georgia 30309-3053 

Facsimile: (404) 581-3939 
 Attention: Ralph F. MacDonald, III 
 If to the Company to: 

Citizens Republic Bancorp, Inc. 
 328 S. Saginaw Street 
 Flint, Michigan 48502 

Facsimile: (810) 257-2570 
 Attention: General Counsel 

  
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 With a copy to: 
 Dykema Gossett PLLC 
 39577 Woodward Avenue, Suite 300 

Bloomfield Hills, MI 48304 
 Facsimile: (248) 203-0763 
 Attention: Rex E. Schlaybaugh, Jr. 

If to the Seller to: 
 United States Department of the Treasury 
 1500 Pennsylvania Avenue, NW

 Washington, D.C. 20220 
 Facsimile: (202) 927-9225 
 Attention: Chief Counsel Office of Financial
Stability 
 With a copy to: 
 Cadwalader, Wickersham & Taft LLP 
 One World Financial Center

 New York, New York 10281 
 Facsimile: (212) 504-6666 
 Attention: William P. Mills 

This Agreement (together with the documents, agreements and instruments referred to herein, including the Merger Proxy) represents the
entire understanding of the parties with respect to the subject matter hereof and supersedes any and all other oral or written agreements heretofore made with respect to the subject matter hereof. Nothing in this Agreement, expressed or implied, is
intended to confer upon any person, other than the Purchaser and the Seller hereto, any rights or remedies hereunder. 
 Neither
this Agreement nor any right, remedy, obligation or liability arising hereunder or by reason hereof shall be assignable by any party hereto without the prior written consent of the other parties, and any attempt to assign any right, remedy,
obligation or liability hereunder without such consent shall be null and void; provided, however, that the Seller may assign this Agreement to an Affiliate of the Seller. If the Seller assigns this Agreement to an Affiliate, the Seller
shall be relieved of its obligations and liabilities under this Agreement but (i) all rights, remedies, obligations and liabilities of the Seller hereunder shall continue and be enforceable by and against and assumed by such Affiliate,
(ii) the Purchaser’s obligations and liabilities hereunder shall continue to be outstanding and (iii) all references to the Seller herein shall be deemed to be references to such Affiliate. The Seller will give the Purchaser and the
Company notice of any such assignment; provided, that the failure to provide such notice shall not void any such assignment. 
 Any term or provision of this Agreement which is determined by a court of competent jurisdiction to be invalid, illegal or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective
to the extent of such invalidity or unenforceability without rendering 

  
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invalid, illegal or unenforceable the remaining terms and provisions of this Agreement. or affecting the validity, legality or enforceability of any of the terms or provisions of this Agreement
in any other jurisdiction, and if any provision of this Agreement is determined to be so broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable, in all cases so long as neither the economic nor legal
substance of the transactions contemplated hereby is affected in any manner materially adverse to any party or its shareholders. Upon any such determination, the parties shall negotiate in good faith in an effort to agree upon a suitable and
equitable substitute provision to effect the original intent of the parties. 
 [Remainder of page intentionally left blank]

  
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 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by
their respective authorized officers as of the day and year first above written. 
  

			
	FIRSTMERIT CORPORATION
		
	By:	 	 /s/ Terrence E. Bichsel

	Name:	 	Terrence E. Bichsel
	Title:	 	Executive Vice President and
Chief Financial Officer
	
	CITIZENS REPUBLIC BANCORP, INC.
		
	By:	 	 /s/ Cathleen H. Nash

	Name:	 	Cathleen H. Nash
	Title:	 	President and Chief Executive Officer
	
	UNITED STATES DEPARTMENT OF THE       TREASURY
		
	By:	 	 /s/ Timothy G. Massad

	Name:	 	Timothy G. Massad
	Title:	 	Assistant Secretary for Financial Stability

 [Signature Page to Securities Purchase Agreement] 

 EXHIBIT A 
 WARRANT TO PURCHASE COMMON STOCK 
 THE SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE NOT
BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT WHILE A REGISTRATION STATEMENT RELATING THERETO IS IN EFFECT UNDER SUCH ACT AND
APPLICABLE STATE SECURITIES LAWS OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT OR SUCH LAWS. THIS INSTRUMENT IS ISSUED SUBJECT TO THE RESTRICTIONS ON TRANSFER AND OTHER PROVISIONS OF THE PURCHASE AGREEMENT (AS DEFINED HEREIN), A COPY
OF WHICH IS ON FILE WITH THE ISSUER. THE SECURITIES REPRESENTED BY THIS INSTRUMENT MAY NOT BE SOLD OR OTHERWISE TRANSFERRED EXCEPT IN COMPLIANCE WITH SAID AGREEMENT. ANY SALE OR OTHER TRANSFER NOT IN COMPLIANCE WITH SAID AGREEMENT WILL BE VOID.

 WARRANT 
 to purchase 

[—] 

Shares of Common Stock 
 of FirstMerit Corporation 
 Effective Date: [—] 
 Section 7.04 Definitions. Unless the context otherwise requires,
when used herein the following terms shall have the meanings indicated. 
 “Affiliate” has the meaning ascribed
to it in the Purchase Agreement. 
 “Appraisal Procedure” means a procedure whereby two independent appraisers,
one chosen by the Company and one by the Original Warrantholder, shall mutually agree upon the determinations then the subject of appraisal. Each party shall deliver a notice to the other appointing its appraiser within 15 days after the Appraisal
Procedure is invoked. If within 30 days after appointment of the two appraisers they are unable to agree upon the amount in question, a third independent appraiser shall be chosen within 10 days thereafter by the mutual consent of such first two
appraisers. The decision of the third appraiser so appointed and chosen shall be given within 30 days after the selection of such third appraiser. If three appraisers shall be appointed and the determination of one appraiser is disparate from the
middle determination by more than twice the amount by which the other determination is disparate from the middle determination, then the determination of such appraiser shall be excluded, the remaining two determinations shall be averaged and such
average shall be binding and conclusive upon the Company and the Original Warrantholder; otherwise, the average of all three determinations 

 
shall be binding upon the Company and the Original Warrantholder. The costs of conducting any Appraisal Procedure shall be borne by the Company. 

“Board of Directors” means the board of directors of the Company, including any duly authorized committee thereof.

 “Business Combination” means a merger, consolidation, statutory share exchange or similar transaction that
requires the approval of the Company’s stockholders. 
 “business day” means any day except Saturday,
Sunday and any day on which banking institutions in the State of New York generally are authorized or required by law or other governmental actions to close. 
 “Capital Stock” means (a) with respect to any Person that is a corporation or company, any and all shares, interests, participations or other equivalents (however designated) of
capital or capital stock of such Person and (b) with respect to any Person that is not a corporation or company, any and all partnership or other equity interests of such Person. 

“Charter” means, with respect to any Person, its certificate or articles of incorporation, articles of association, or
similar organizational document. 
 “Common Stock” means the common stock, no par value per share, of
FirstMerit Corporation. 
 “Company” means the Person whose name, corporate or other organizational form and
jurisdiction of organization is set forth in Item 1 of Schedule A hereto. 
 “conversion” has the meaning
set forth in Section 13(b). 
 “convertible securities” has the meaning set forth in Section 13(b).

 “CPP” has the meaning ascribed to it in the Purchase Agreement. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended, or any successor statute, and the rules and
regulations promulgated thereunder. 
 “Exercise Price” means the amount set forth in Item 2 of Schedule A
hereto. 
 “Expiration Time” has the meaning set forth in Section 3. 

“Fair Market Value” means, with respect to any security or other property, the fair market value of such security or
other property as determined by the Board of Directors, acting in good faith or, with respect to Section 14, as determined by the Original Warrantholder acting in good faith. For so long as the Original Warrantholder holds this Warrant or any
portion thereof, it may object in writing to the Board of Director’s calculation of fair market value within 10 days of receipt of written notice thereof. If the Original Warrantholder and the Company are unable to agree on fair market value
during the 10-day period following the delivery of the Original Warrantholder’s objection, the Appraisal Procedure may be invoked by either party to 

 
determine Fair Market Value by delivering written notification thereof not later than the 30th day after delivery of the Original Warrantholder’s objection. 

“Governmental Entities” has the meaning ascribed to it in the Purchase Agreement. 

“Initial Number” has the meaning set forth in Section 13(b). 

“Issue Date” means the date set forth in Item 3 of Schedule A hereto. 

“Market Price” means, with respect to a particular security, on any given day, the last reported sale price regular way
or, in case no such reported sale takes place on such day, the average of the last closing bid and ask prices regular way, in either case on the principal national securities exchange on which the applicable securities are listed or admitted to
trading, or if not listed or admitted to trading on any national securities exchange, the average of the closing bid and ask prices as furnished by two members of the Financial Industry Regulatory Authority, Inc. selected from time to time by the
Company for that purpose. “Market Price” shall be determined without reference to after hours or extended hours trading. If such security is not listed and traded in a manner that the quotations referred to above are available for the
period required hereunder, the Market Price per share of Common Stock shall be deemed to be (i) in the event that any portion of the Warrant is held by the Original Warrantholder, the fair market value per share of such security as determined
in good faith by the Original Warrantholder or (ii) in all other circumstances, the fair market value per share of such security as determined in good faith by the Board of Directors in reliance on an opinion of a nationally recognized
independent investment banking corporation retained by the Company for this purpose and certified in a resolution to the Warrantholder. For the purposes of determining the Market Price of the Common Stock on the “trading day” preceding, on
or following the occurrence of an event, (i) that trading day shall be deemed to commence immediately after the regular scheduled closing time of trading on the New York Stock Exchange or, if trading is closed at an earlier time, such earlier
time and (ii) that trading day shall end at the next regular scheduled closing time, or if trading is closed at an earlier time, such earlier time (for the avoidance of doubt, and as an example, if the Market Price is to be determined as of the
last trading day preceding a specified event and the closing time of trading on a particular day is 4:00 p.m. and the specified event occurs at 5:00 p.m. on that day, the Market Price would be determined by reference to such 4:00 p.m. closing
price). 
 “Ordinary Cash Dividends” means a regular quarterly cash dividend on shares of Common Stock out of
surplus or net profits legally available therefor (determined in accordance with generally accepted accounting principles in effect from time to time), provided that Ordinary Cash Dividends shall not include any cash dividends paid subsequent
to the Issue Date to the extent the aggregate per share dividends paid on the outstanding Common Stock in any quarter exceed the amount set forth in Item 4 of Schedule A hereto, as adjusted for any stock split, stock dividend, reverse stock
split, reclassification or similar transaction. 
 “Original Warrantholder” means the United States Department
of the Treasury. Any actions specified to be taken by the Original Warrantholder hereunder may only be taken by such Person and not by any other Warrantholder. 

 “Permitted Transactions” has the meaning set forth in Section 13(b).

 “Person” has the meaning given to it in Section 3(a)(9) of the Exchange Act and as used in Sections
13(d)(3) and 14(d)(2) of the Exchange Act. 
 “Per Share Fair Market Value” has the meaning set forth in
Section 13(C). 
 “Pro Rata Repurchases” means any purchase of shares of Common Stock by the Company or
any Affiliate thereof pursuant to (a) any tender offer or exchange offer subject to Section 13(e) or 14(e) of the Exchange Act or Regulation 14E promulgated thereunder or (b) any other offer available to substantially all holders of
Common Stock, in the case of both (a) or (b), whether for cash, shares of Capital Stock of the Company, other securities of the Company, evidences of indebtedness of the Company or any other Person or any other property (including, without
limitation, shares of Capital Stock, other securities or evidences of indebtedness of a subsidiary), or any combination thereof, effected while this Warrant is outstanding. The “Effective Date” of a Pro Rata Repurchase shall mean
the date of acceptance of shares for purchase or exchange by the Company under any tender or exchange offer which is a Pro Rata Repurchase or the date of purchase with respect to any Pro Rata Repurchase that is not a tender or exchange offer.

 “Purchase Agreement” means the Securities Purchase Agreement – Standard Terms incorporated into the
Letter Agreement, dated as of the date set forth in Item 5 of Schedule A hereto, as amended from time to time, between Citizens Republic Bancorp, Inc. and the United States Department of the Treasury (the “Letter Agreement”),
including all annexes and schedules thereto. 
 “Regulatory Approvals” with respect to the Warrantholder,
means, to the extent applicable and required to permit the Warrantholder to exercise this Warrant for shares of Common Stock and to own such Common Stock without the Warrantholder being in violation of applicable law, rule or regulation, the receipt
of any necessary approvals and authorizations of, filings and registrations with, notifications to, or expiration or termination of any applicable waiting period under, the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and the
rules and regulations thereunder. 
 “SEC” means the U.S. Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as amended, or any successor statute, and the rules and regulations
promulgated thereunder. 
 “Shares” has the meaning set forth in Section 2. 

“trading day” means (a) if the shares of Common Stock are not traded on any national or regional securities
exchange or association or over-the-counter market, a business day or (b) if the shares of Common Stock are traded on any national or regional securities exchange or association or over-the-counter market, a business day on which such relevant
exchange or quotation system is scheduled to be open for business and on which the shares of Common Stock (i) are not suspended from trading on any national or regional securities exchange or association or over-the-counter market for any
period or periods aggregating one half hour or longer; and 

 
(ii) have traded at least once on the national or regional securities exchange or association or over-the-counter market that is the primary market for the trading of the shares of Common
Stock. 
 “U.S. GAAP” means United States generally accepted accounting principles. 

“Warrantholder” has the meaning set forth in Section 2. 

“Warrant” means this Warrant, issued pursuant to the Securities Purchase Agreement, dated as of February 19, 2013,
by and among the United States Department of the Treasury, Citizens Republic Bancorp, Inc. and FirstMerit Corporation. 

Section 7.05 Number of Shares; Exercise Price. This certifies that, for value received, the United States Department of the
Treasury or its permitted assigns (the “Warrantholder”) is entitled, upon the terms and subject to the conditions hereinafter set forth, to acquire from the Company, in whole or in part, after the receipt of all applicable
Regulatory Approvals, if any, up to an aggregate of the number of fully paid and nonassessable shares of Common Stock set forth in Item 6 of Schedule A hereto, at a purchase price per share of Common Stock equal to the Exercise Price. The
number of shares of Common Stock (the “Shares”) and the Exercise Price are subject to adjustment as provided herein, and all references to “Common Stock,” “Shares” and “Exercise Price” herein shall be
deemed to include any such adjustment or series of adjustments. 
 Section 7.06 Exercise of Warrant; Term. Subject
to Section 2, to the extent permitted by applicable laws and regulations, the right to purchase the Shares represented by this Warrant is exercisable, in whole or in part by the Warrantholder, at any time or from time to time after the
execution and delivery of this Warrant by the Company on the date hereof, but in no event later than 5:00 p.m., New York City time on the tenth anniversary of the Issue Date (the “Expiration Time”), by (a) the surrender of this
Warrant and Notice of Exercise annexed hereto, duly completed and executed on behalf of the Warrantholder, at the principal executive office of the Company located at the address set forth in Item 7 of Schedule A hereto (or such other office or
agency of the Company in the United States as it may designate by notice in writing to the Warrantholder at the address of the Warrantholder appearing on the books of the Company), and (b) payment of the Exercise Price for the Shares thereby
purchased: 
 (1) by having the Company withhold, from the shares of Common Stock that would otherwise be
delivered to the Warrantholder upon such exercise, shares of Common stock issuable upon exercise of the Warrant equal in value to the aggregate Exercise Price as to which this Warrant is so exercised based on the Market Price of the Common Stock on
the trading day on which this Warrant is exercised and the Notice of Exercise is delivered to the Company pursuant to this Section 3, or 
 (2) with the consent of both the Company and the Warrantholder, by tendering in cash, by certified or cashier’s check payable to the order of the Company, or by wire transfer of immediately available
funds to an account designated by the Company. 

 If the Warrantholder does not exercise this Warrant in its entirety, the Warrantholder will
be entitled to receive from the Company within a reasonable time, and in any event not exceeding three business days, a new warrant in substantially identical form for the purchase of that number of Shares equal to the difference between the number
of Shares subject to this Warrant and the number of Shares as to which this Warrant is so exercised. Notwithstanding anything in this Warrant to the contrary, the Warrantholder hereby acknowledges and agrees that its exercise of this Warrant for
Shares is subject to the condition that the Warrantholder will have first received any applicable Regulatory Approvals. 

Section 7.07 Issuance of Shares; Authorization; Listing. Certificates for Shares issued upon exercise of this Warrant will be
issued in such name or names as the Warrantholder may designate and will be delivered to such named Person or Persons within a reasonable time, not to exceed three business days after the date on which this Warrant has been duly exercised in
accordance with the terms of this Warrant. The Company hereby represents and warrants that any Shares issued upon the exercise of this Warrant in accordance with the provisions of Section 3 will be duly and validly authorized and issued, fully
paid and nonassessable and free from all taxes, liens and charges (other than liens or charges created by the Warrantholder, income and franchise taxes incurred in connection with the exercise of the Warrant or taxes in respect of any transfer
occurring contemporaneously therewith). The Company agrees that the Shares so issued will be deemed to have been issued to the Warrantholder as of the close of business on the date on which this Warrant and payment of the Exercise Price are
delivered to the Company in accordance with the terms of this Warrant, notwithstanding that the stock transfer books of the Company may then be closed or certificates representing such Shares may not be actually delivered on such date. The Company
will at all times reserve and keep available, out of its authorized but unissued Common Stock, solely for the purpose of providing for the exercise of this Warrant, the aggregate number of shares of Common Stock then issuable upon exercise of this
Warrant at any time. The Company will (a) procure, at its sole expense, the listing of the Shares issuable upon exercise of this Warrant at any time, subject to issuance or notice of issuance, on all principal stock exchanges on which the
Common Stock is then listed or traded and (b) maintain such listings of such Shares at all times after issuance. The Company will use reasonable best efforts to ensure that the Shares may be issued without violation of any applicable law or
regulation or of any requirement of any securities exchange on which the Shares are listed or traded. 
 Section 7.08 No
Fractional Shares or Scrip. No fractional Shares or scrip representing fractional Shares shall be issued upon any exercise of this Warrant. In lieu of any fractional Share to which the Warrantholder would otherwise be entitled, the Warrantholder
shall be entitled to receive a cash payment equal to the Market Price of the Common Stock on the last trading day preceding the date of exercise less the pro-rated Exercise Price for such fractional share. 

Section 7.09 No Rights as Stockholders; Transfer Books. This Warrant does not entitle the Warrantholder to any voting rights
or other rights as a stockholder of the Company prior to the date of exercise hereof. The Company will at no time close its transfer books against transfer of this Warrant in any manner which interferes with the timely exercise of this Warrant.

 Section 7.10 Charges, Taxes and Expenses. Issuance of certificates for Shares to
the Warrantholder upon the exercise of this Warrant shall be made without charge to the Warrantholder for any issue or transfer tax or other incidental expense in respect of the issuance of such certificates, all of which taxes and expenses shall be
paid by the Company. 
 Section 7.11 Transfer/Assignment. (A) Subject to compliance with clause (b) of
this Section 8, this Warrant and all rights hereunder are transferable, in whole or in part, upon the books of the Company by the registered holder hereof in person or by duly authorized attorney, and a new warrant shall be made and delivered
by the Company, of the same tenor and date as this Warrant but registered in the name of one or more transferees, upon surrender of this Warrant, duly endorsed, to the office or agency of the Company described in Section 3. All expenses (other
than stock transfer taxes) and other charges payable in connection with the preparation, execution and delivery of the new warrants pursuant to this Section 8 shall be paid by the Company. 

(B) The transfer of the Warrant and the Shares issued upon exercise of the Warrant are subject to the restrictions set forth in
Section 4.4 of the Purchase Agreement. If and for so long as required by the Purchase Agreement, this Warrant shall contain the legends as set forth in Sections 4.2(a) and 4.2(b) of the Purchase Agreement. 

Section 7.12 Exchange and Registry of Warrant. This Warrant is exchangeable, upon the surrender hereof by the Warrantholder
to the Company, for a new warrant or warrants of like tenor and representing the right to purchase the same aggregate number of Shares. The Company shall maintain a registry showing the name and address of the Warrantholder as the registered holder
of this Warrant. This Warrant may be surrendered for exchange or exercise in accordance with its terms, at the office of the Company, and the Company shall be entitled to rely in all respects, prior to written notice to the contrary, upon such
registry. 
 Section 7.13 Loss, Theft, Destruction or Mutilation of Warrant. Upon receipt by the Company of evidence
reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant, and in the case of any such loss, theft or destruction, upon receipt of a bond, indemnity or security reasonably satisfactory to the Company, or, in the
case of any such mutilation, upon surrender and cancellation of this Warrant, the Company shall make and deliver, in lieu of such lost, stolen, destroyed or mutilated Warrant, a new Warrant of like tenor and representing the right to purchase the
same aggregate number of Shares as provided for in such lost, stolen, destroyed or mutilated Warrant. 
 Section 7.14
Saturdays, Sundays, Holidays, etc. If the last or appointed day for the taking of any action or the expiration of any right required or granted herein shall not be a business day, then such action may be taken or such right may be exercised
on the next succeeding day that is a business day. 
 Section 7.15 Rule 144 Information. The Company covenants that
it will use its reasonable best efforts to timely file all reports and other documents required to be filed by it under the Securities Act and the Exchange Act and the rules and regulations promulgated by the SEC thereunder (or, if the Company is
not required to file such reports, it will, upon the request of any Warrantholder, make publicly available such information as necessary to permit sales 

 
pursuant to Rule 144 under the Securities Act), and it will use reasonable best efforts to take such further action as any Warrantholder may reasonably request, in each case to the extent
required from time to time to enable such holder to, if permitted by the terms of this Warrant and the Purchase Agreement, sell this Warrant without registration under the Securities Act within the limitation of the exemptions provided by
(a) Rule 144 under the Securities Act, as such rule may be amended from time to time, or (b) any successor rule or regulation hereafter adopted by the SEC. Upon the written request of any Warrantholder, the Company will deliver to such
Warrantholder a written statement that it has complied with such requirements. 
 Section 7.16 Adjustments and Other
Rights. The Exercise Price and the number of Shares issuable upon exercise of this Warrant shall be subject to adjustment from time to time as follows; provided, that if more than one subsection of this Section 13 is applicable to a
single event, the subsection shall be applied that produces the largest adjustment and no single event shall cause an adjustment under more than one subsection of this Section 13 so as to result in duplication: 

(A) Stock Splits, Subdivisions, Reclassifications or Combinations. If the Company shall (i) declare and pay a dividend or
make a distribution on its Common Stock in shares of Common Stock, (ii) subdivide or reclassify the outstanding shares of Common Stock into a greater number of shares, or (iii) combine or reclassify the outstanding shares of Common Stock
into a smaller number of shares, the number of Shares issuable upon exercise of this Warrant at the time of the record date for such dividend or distribution or the effective date of such subdivision, combination or reclassification shall be
proportionately adjusted so that the Warrantholder after such date shall be entitled to purchase the number of shares of Common Stock which such holder would have owned or been entitled to receive in respect of the shares of Common Stock subject to
this Warrant after such date had this Warrant been exercised immediately prior to such date. In such event, the Exercise Price in effect at the time of the record date for such dividend or distribution or the effective date of such subdivision,
combination or reclassification shall be adjusted to the number obtained by dividing (x) the product of (1) the number of Shares issuable upon the exercise of this Warrant before such adjustment and (2) the Exercise Price in effect
immediately prior to the record or effective date, as the case may be, for the dividend, distribution, subdivision, combination or reclassification giving rise to this adjustment by (y) the new number of Shares issuable upon exercise of the
Warrant determined pursuant to the immediately preceding sentence. 
 (B) Certain Issuances of Common Shares or Convertible
Securities. Until the earlier of (i) the date on which the Original Warrantholder no longer holds this Warrant or any portion thereof and (ii) the third anniversary of the Issue Date, if the Company shall issue shares of Common Stock
(or rights or warrants or other securities exercisable or convertible into or exchangeable (collectively, a “conversion”) for shares of Common Stock) (collectively, “convertible securities”) (other than in Permitted
Transactions (as defined below) or a transaction to which subsection (a) of this Section 13 is applicable) without consideration or at a consideration per share (or having a conversion price per share) that is less than 90% of the Market
Price on the last trading day preceding the date of the agreement on pricing such shares (or such convertible securities) then, in such event: 

 (1) the number of Shares issuable upon the exercise of this Warrant
immediately prior to the date of the agreement on pricing of such shares (or of such convertible securities) (the “Initial Number”) shall be increased to the number obtained by multiplying the Initial Number by a fraction
(a) the numerator of which shall be the sum of (x) the number of shares of Common Stock of the Company outstanding on such date and (y) the number of additional shares of Common Stock issued (or into which convertible securities may
be exercised or convert) and (b) the denominator of which shall be the sum of (I) the number of shares of Common Stock outstanding on such date and (II) the number of shares of Common Stock which the aggregate consideration receivable
by the Company for the total number of shares of Common Stock so issued (or into which convertible securities may be exercised or convert) would purchase at the Market Price on the last trading day preceding the date of the agreement on pricing such
shares (or such convertible securities); and 
 (2) the Exercise Price payable upon exercise of the Warrant shall
be adjusted by multiplying such Exercise Price in effect immediately prior to the date of the agreement on pricing of such shares (or of such convertible securities) by a fraction, the numerator of which shall be the number of shares of Common Stock
issuable upon exercise of this Warrant prior to such date and the denominator of which shall be the number of shares of Common Stock issuable upon exercise of this Warrant immediately after the adjustment described in clause (i) above.

 For purposes of the foregoing, the aggregate consideration receivable by the Company in connection with the issuance of such
shares of Common Stock or convertible securities shall be deemed to be equal to the sum of the net offering price (including the Fair Market Value of any non-cash consideration and after deduction of any related expenses payable to third parties) of
all such securities plus the minimum aggregate amount, if any, payable upon exercise or conversion of any such convertible securities into shares of Common Stock; and “Permitted Transactions” shall mean issuances (i) as
consideration for or to fund the acquisition of businesses and/or related assets, (ii) in connection with employee benefit plans and compensation related arrangements in the ordinary course and consistent with past practice approved by the
Board of Directors, (iii) in connection with a public or broadly marketed offering and sale of Common Stock or convertible securities for cash conducted by the Company or its affiliates pursuant to registration under the Securities Act or Rule
144A thereunder on a basis consistent with capital raising transactions by comparable financial institutions and (iv) in connection with the exercise of preemptive rights on terms existing as of the Issue Date. Any adjustment made pursuant to
this Section 13(b) shall become effective immediately upon the date of such issuance. 
 (C) Other Distributions. In
case the Company shall fix a record date for the making of a distribution to all holders of shares of its Common Stock of securities, evidences of indebtedness, assets, cash, rights or warrants (excluding Ordinary Cash Dividends, dividends of its
Common Stock and other dividends or distributions referred to in Section 13(a)), in each such case, the Exercise Price in effect prior to such record date shall be reduced immediately thereafter to the price determined by multiplying the
Exercise Price in effect immediately prior to the reduction by the quotient of (x) the Market Price of the Common Stock on the last trading day preceding the first date on which the Common Stock trades regular way on the principal

 
national securities exchange on which the Common Stock is listed or admitted to trading without the right to receive such distribution, minus the amount of cash and/or the Fair Market Value of
the securities, evidences of indebtedness, assets, rights or warrants to be so distributed in respect of one share of Common Stock (such amount and/or Fair Market Value, the “Per Share Fair Market Value”) divided by (y) such
Market Price on such date specified in clause (x); such adjustment shall be made successively whenever such a record date is fixed. In such event, the number of Shares issuable upon the exercise of this Warrant shall be increased to the number
obtained by dividing (x) the product of (1) the number of Shares issuable upon the exercise of this Warrant before such adjustment, and (2) the Exercise Price in effect immediately prior to the distribution giving rise to this
adjustment by (y) the new Exercise Price determined in accordance with the immediately preceding sentence. In the case of adjustment for a cash dividend that is, or is coincident with, a regular quarterly cash dividend, the Per Share Fair
Market Value would be reduced by the per share amount of the portion of the cash dividend that would constitute an Ordinary Cash Dividend. In the event that such distribution is not so made, the Exercise Price and the number of Shares issuable upon
exercise of this Warrant then in effect shall be readjusted, effective as of the date when the Board of Directors determines not to distribute such shares, evidences of indebtedness, assets, rights, cash or warrants, as the case may be, to the
Exercise Price that would then be in effect and the number of Shares that would then be issuable upon exercise of this Warrant if such record date had not been fixed. 
 (D) Certain Repurchases of Common Stock. In case the Company effects a Pro Rata Repurchase of Common Stock, then the Exercise Price shall be reduced to the price determined by multiplying the
Exercise Price in effect immediately prior to the Effective Date of such Pro Rata Repurchase by a fraction of which the numerator shall be (i) the product of (x) the number of shares of Common Stock outstanding immediately before such Pro
Rata Repurchase and (y) the Market Price of a share of Common Stock on the trading day immediately preceding the first public announcement by the Company or any of its Affiliates of the intent to effect such Pro Rata Repurchase, minus
(ii) the aggregate purchase price of the Pro Rata Repurchase, and of which the denominator shall be the product of (i) the number of shares of Common Stock outstanding immediately prior to such Pro Rata Repurchase minus the number of
shares of Common Stock so repurchased and (ii) the Market Price per share of Common Stock on the trading day immediately preceding the first public announcement by the Company or any of its Affiliates of the intent to effect such Pro Rata
Repurchase. In such event, the number of shares of Common Stock issuable upon the exercise of this Warrant shall be increased to the number obtained by dividing (x) the product of (1) the number of Shares issuable upon the exercise of this
Warrant before such adjustment, and (2) the Exercise Price in effect immediately prior to the Pro Rata Repurchase giving rise to this adjustment by (y) the new Exercise Price determined in accordance with the immediately preceding
sentence. For the avoidance of doubt, no increase to the Exercise Price or decrease in the number of Shares issuable upon exercise of this Warrant shall be made pursuant to this Section 13(D). 

(E) Business Combinations. In case of any Business Combination or reclassification of Common Stock (other than a reclassification
of Common Stock referred to in Section 13(a)), the Warrantholder’s right to receive Shares upon exercise of this Warrant shall be converted into the right to exercise this Warrant to acquire the number of shares of stock or other
securities or property (including cash) which the Common Stock issuable (at the time of such Business Combination or reclassification) upon exercise of this Warrant immediately prior to 

 
such Business Combination or reclassification would have been entitled to receive upon consummation of such Business Combination or reclassification; and in any such case, if necessary, the
provisions set forth herein with respect to the rights and interests thereafter of the Warrantholder shall be appropriately adjusted so as to be applicable, as nearly as may reasonably be, to the Warrantholder’s right to exercise this Warrant
in exchange for any shares of stock or other securities or property pursuant to this paragraph. In determining the kind and amount of stock, securities or the property receivable upon exercise of this Warrant following the consummation of such
Business Combination, if the holders of Common Stock have the right to elect the kind or amount of consideration receivable upon consummation of such Business Combination, then the consideration that the Warrantholder shall be entitled to receive
upon exercise shall be deemed to be the types and amounts of consideration received by the majority of all holders of the shares of common stock that affirmatively make an election (or of all such holders if none make an election). 

(F) Rounding of Calculations; Minimum Adjustments. All calculations under this Section 13 shall be made to the nearest
one-tenth (1/10th) of a cent or to the nearest one-hundredth (1/100th) of a share, as the case may be. Any provision of this Section 13 to the contrary notwithstanding, no adjustment in the Exercise Price or the number of Shares into
which this Warrant is exercisable shall be made if the amount of such adjustment would be less than $0.01 or one-tenth (1/10th) of a share of Common Stock, but any such amount shall be carried forward and an adjustment with respect thereto
shall be made at the time of and together with any subsequent adjustment which, together with such amount and any other amount or amounts so carried forward, shall aggregate $0.01 or 1/10th of a share of Common Stock, or more. 

(G) Timing of Issuance of Additional Common Stock Upon Certain Adjustments. In any case in which the provisions of this
Section 13 shall require that an adjustment shall become effective immediately after a record date for an event, the Company may defer until the occurrence of such event (i) issuing to the Warrantholder of this Warrant exercised after such
record date and before the occurrence of such event the additional shares of Common Stock issuable upon such exercise by reason of the adjustment required by such event over and above the shares of Common Stock issuable upon such exercise before
giving effect to such adjustment and (ii) paying to such Warrantholder any amount of cash in lieu of a fractional share of Common Stock; provided, however, that the Company upon request shall deliver to such Warrantholder a due
bill or other appropriate instrument evidencing such Warrantholder’s right to receive such additional shares, and such cash, upon the occurrence of the event requiring such adjustment. 

(H) [Intentionally Omitted]. 
 (I) Other Events. For so long as the Original Warrantholder holds this Warrant or any portion thereof, if any event occurs as to which the provisions of this Section 13 are not strictly
applicable or, if strictly applicable, would not, in the good faith judgment of the Board of Directors of the Company, fairly and adequately protect the purchase rights of the Warrants in accordance with the essential intent and principles of such
provisions, then the Board of Directors shall make such adjustments in the application of such provisions, in accordance with such essential intent and principles, as shall be reasonably necessary, in the

 
good faith opinion of the Board of Directors, to protect such purchase rights as aforesaid. The Exercise Price or the number of Shares into which this Warrant is exercisable shall not be adjusted
in the event of a change in the par value of the Common Stock or a change in the jurisdiction of incorporation of the Company. 

(J) Statement Regarding Adjustments. Whenever the Exercise Price or the number of Shares into which this Warrant is exercisable
shall be adjusted as provided in Section 13, the Company shall forthwith file at the principal office of the Company a statement showing in reasonable detail the facts requiring such adjustment and the Exercise Price that shall be in effect and
the number of Shares into which this Warrant shall be exercisable after such adjustment, and the Company shall also cause a copy of such statement to be sent by mail, first class postage prepaid, to each Warrantholder at the address appearing in the
Company’s records. 
 (K) Notice of Adjustment Event. In the event that the Company shall propose to take any action
of the type described in this Section 13 (but only if the action of the type described in this Section 13 would result in an adjustment in the Exercise Price or the number of Shares into which this Warrant is exercisable or a change in the
type of securities or property to be delivered upon exercise of this Warrant), the Company shall give notice to the Warrantholder, in the manner set forth in Section 13(J), which notice shall specify the record date, if any, with respect to any
such action and the approximate date on which such action is to take place. Such notice shall also set forth the facts with respect thereto as shall be reasonably necessary to indicate the effect on the Exercise Price and the number, kind or class
of shares or other securities or property which shall be deliverable upon exercise of this Warrant. In the case of any action which would require the fixing of a record date, such notice shall be given at least 10 days prior to the date so fixed,
and in case of all other action, such notice shall be given at least 15 days prior to the taking of such proposed action. Failure to give such notice, or any defect therein, shall not affect the legality or validity of any such action. 

(L) Proceedings Prior to Any Action Requiring Adjustment. As a condition precedent to the taking of any action which would require
an adjustment pursuant to this Section 13, the Company shall take any action which may be necessary, including obtaining regulatory, New York Stock Exchange, NASDAQ Stock Market or other applicable national securities exchange or stockholder
approvals or exemptions, in order that the Company may thereafter validly and legally issue as fully paid and nonassessable all shares of Common Stock that the Warrantholder is entitled to receive upon exercise of this Warrant pursuant to this
Section 13. 
 (M) Adjustment Rules. Any adjustments pursuant to this Section 13 shall be made successively
whenever an event referred to herein shall occur. If an adjustment in Exercise Price made hereunder would reduce the Exercise Price to an amount below par value of the Common Stock, then such adjustment in Exercise Price made hereunder shall reduce
the Exercise Price to the par value of the Common Stock. 
 Section 7.17 Exchange. At any time following the date on
which the shares of Common Stock of the Company are no longer listed or admitted to trading on a national securities exchange (other than in connection with any Business Combination), the Original Warrantholder may cause the Company to exchange all
or a portion of this Warrant for an economic interest (to be determined by the Original Warrantholder after consultation with the 

 
Company) of the Company classified as permanent equity under U.S. GAAP having a value equal to the Fair Market Value of the portion of the Warrant so exchanged. The Original Warrantholder shall
calculate any Fair Market Value required to be calculated pursuant to this Section 14, which shall not be subject to the Appraisal Procedure. 
 Section 7.18 No Impairment. The Company will not, by amendment of its Charter or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities
or any other voluntary action, avoid or seek to avoid the observance or performance of any of the terms to be observed or performed hereunder by the Company, but will at all times in good faith assist in the carrying out of all the provisions of
this Warrant and in taking of all such action as may be necessary or appropriate in order to protect the rights of the Warrantholder. 
 Section 7.19 Governing Law. This Warrant will be governed by and construed in accordance with the federal law of the United States if and to the extent such law is applicable, and otherwise
in accordance with the laws of the State of New York applicable to contracts made and to be performed entirely within such State. Each of the Company and the Warrantholder agrees (a) to submit to the exclusive jurisdiction and venue of the
United States District Court for the District of Columbia for any civil action, suit or proceeding arising out of or relating to this Warrant or the transactions contemplated hereby, and (b) that notice may be served upon the Company at the
address in Section 20 below and upon the Warrantholder at the address for the Warrantholder set forth in the registry maintained by the Company pursuant to Section 9 hereof. To the extent permitted by applicable law, each of the Company
and the Warrantholder hereby unconditionally waives trial by jury in any civil legal action or proceeding relating to the Warrant or the transactions contemplated hereby or thereby. 

Section 7.20 Binding Effect. This Warrant shall be binding upon any successors or assigns of the Company. 

Section 7.21 Amendments. This Warrant may be amended and the observance of any term of this Warrant may be waived only with
the written consent of the Company and the Warrantholder. 
 Section 7.22 Prohibited Actions. The Company agrees
that it will not take any action which would entitle the Warrantholder to an adjustment of the Exercise Price if the total number of shares of Common Stock issuable after such action upon exercise of this Warrant, together with all shares of Common
Stock then outstanding and all shares of Common Stock then issuable upon the exercise of all outstanding options, warrants, conversion and other rights, would exceed the total number of shares of Common Stock then authorized by its Charter.

 Section 7.23 Notices. Any notice, request, instruction or other document to be given hereunder by any party to
the other will be in writing and will be deemed to have been duly given (a) on the date of delivery if delivered personally, or by facsimile, upon confirmation of receipt, or (b) on the second business day following the date of dispatch if
delivered by a recognized next day courier service. All notices hereunder shall be delivered as set forth in Item 8 

 
of Schedule A hereto, or pursuant to such other instructions as may be designated in writing by the party to receive such notice. 

Section 7.24 Entire Agreement. This Warrant, the forms attached hereto and Schedule A hereto (the terms of which are
incorporated by reference herein), and the Letter Agreement (including all documents incorporated therein), contain the entire agreement between the parties with respect to the subject matter hereof and supersede all prior and contemporaneous
arrangements or undertakings with respect thereto. 
 [Remainder of page intentionally left blank] 

 [Form of Notice of Exercise] 

Date:                     

  

	To:	FirstMerit Corporation 

  

	Re:	Election to Purchase Common Stock 

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

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

  

			
	 Holder:

		
	 By:
	 	  

	 Name:
	 	
	 Title:
	 	

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by a duly
authorized officer. 
 [—] 

 

			
	
	COMPANY:
	
	FIRSTMERIT CORPORATION
		
	By:	 	  

	Name:	 	
	Title:	 	
	
	Attest:
		
	By:	 	  

	Name:	 	
	Title:	 	

 [Signature Page to Warrant] 

 Schedule A 
 Item 1 
 Name: FirstMerit Corporation 

Corporate or other organizational form: Corporation 
 Jurisdiction of organization: State of Ohio 
 Item 2 

Exercise Price: $[—] 
 Item 3 
 Issue Date: [—] 

Item 4 
 Amount of last dividend
declared prior to the Issue Date: $[—] 
 Item 5 

Date of Letter Agreement between Citizens Republic Bancorp, Inc. and the United States Department of the Treasury: December 12, 2008 

Item 6 
 Number of shares of Common
Stock: [—] 
 Item 7 
 Company’s address: 
 III Cascade Plaza, 7th Floor 

Akron, Ohio 44308 
 Item 8

 Notice information: 
 If to the
Company: 
 FirstMerit Corporation 

III Cascade Plaza, 7th Floor 
 Akron, Ohio 44308

 Facsimile: (330) 384-7271 

Attention: General Counsel 
 If to the
Warrantholder: 
 United States Department of the Treasury 
 1500 Pennsylvania Avenue, NW 
 Washington, D.C. 20220 

Facsimile: (202) 927-9225 
 Attention: Chief
Counsel Office of Financial Stability 

 EXHIBIT B 
 CITIZENS REPUBLIC BANCORP, INC. 
 PROXY 

This proxy is solicited on behalf of the Board of Directors of 

Citizens Republic Bancorp, Inc. 
 The undersigned appoints Cathleen H. Nash and James L. Wolohan, and each of them, as proxies, each with the power to appoint his substitute, and authorizes each of them to represent and to vote, as
designated below, each and all of the 300,000 shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A (the “Preferred Shares”), of Citizens Republic Bancorp, Inc. (“Citizens”) held of record by the
undersigned at the close of business as of the date of this Proxy, subject to the following conditions: 
 1. This Proxy is
subject to and shall automatically become effective immediately upon, the approval of the Agreement and Plan of Merger, dated as of September 12, 2012, by and between Citizens and FirstMerit Corporation (“FirstMerit”), by the
majority of all votes entitled to be cast by holders of Citizens common stock at any meeting of Citizens’ shareholders called by Citizens for consideration thereof, or any adjournment of such special meeting; and 

2. This Proxy shall automatically terminate upon the termination of the Securities Purchase Agreement, dated as of February 19,
2013, by and among the United States Department of the Treasury, Citizens and FirstMerit. 
 Subject to the foregoing conditions, the
undersigned directs the proxies to vote the Preferred Shares FOR the approval of the Agreement and Plan of Merger, dated as of September 12, 2012, by and between Citizens and FirstMerit, and the transactions it contemplates. 

IN WITNESS WHEREOF, the undersigned has executed this Proxy effective as of February 19, 2013. 

 

			
	U.S. DEPARTMENT OF THE TREASURY
		
	By:	 	 /s/ Timothy G. Massad

	Name:	 	Timothy G. Massad
	Title:	 	 Assistant Secretary for Financial
 Stability

 EXHIBIT C 
 FORM OF OPINION 
  

	1.	The Purchaser has been duly incorporated and is validly existing as a corporation in good standing under the laws of the state of its incorporation.

  

	2.	The FirstMerit Warrant has been duly authorized and, when executed and delivered as contemplated by the Agreement, will constitute a valid and legally binding
obligation of the Purchaser enforceable against the Purchaser in accordance with its terms, except as the same may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of
creditors’ rights generally and general equitable principles, regardless of whether such enforceability is considered in a proceeding at law or in equity. 

 

	3.	The FirstMerit Warrant Shares have been duly authorized and reserved for issuance upon exercise of the FirstMerit Warrant and when so issued in accordance with the
terms of the FirstMerit Warrant will be validly issued, fully paid and non-assessable. 

  

	4.	The Purchaser has the corporate power and authority to execute and deliver the Agreement and the FirstMerit Warrant and to carry out its obligations thereunder (which
includes the issuance of the FirstMerit Warrant and FirstMerit Warrant Shares). 

  

	5.	The execution, delivery and performance by the Purchaser of the Agreement and the FirstMerit Warrant and the consummation of the transactions contemplated thereby have
been duly authorized by all necessary corporate action on the part of the Purchaser and its stockholders, and no further approval or authorization is required on the part of the Purchaser. 

 

	6.	The Agreement is a valid and binding obligation of the Purchaser enforceable against the Purchaser in accordance with its terms, except as the same may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and general equitable principles, regardless of whether such enforceability is considered in a proceeding at
law or in equity.

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