Document:

Master Sale and Purchase Agreement

 EXHIBIT 10.1 
 MASTER SALE AND PURCHASE AGREEMENT 
 THIS MASTER SALE AND PURCHASE AGREEMENT (this
“Agreement”) is entered into as of July 31, 2008, by and between W.C. Heraeus GmbH, a German corporation (the “Purchaser”), and Kulicke and Soffa Industries, Inc., a Pennsylvania corporation (the
“Seller”). Certain other capitalized terms used in this Agreement are defined in Exhibit A hereto. 
 BACKGROUND

 Kulicke & Soffa Global Holding Corporation, a company organized and existing under the laws of the Federal Territory
of Labuan, Malaysia (“GHC”), Kulicke & Soffa (S.E.A.) Pte. Ltd., a corporation organized and existing under the laws of Singapore (“SEA”), and Müller Feindraht, AG, a company organized under the laws
of Switzerland (“Müller”), are wholly-owned subsidiaries of the Seller. GHC, SEA, and Müller are collectively referred to herein as the “Subsidiaries” and, together with the Seller, as the “Seller
Parties.” 
 The Seller Parties are engaged in the manufacturing and marketing of gold, aluminum and copper wire (gold,
aluminum and copper including alloyed and doped metals, wires including the wires themselves, ribbons and foils) used in the wire bonding process for semiconductor and microelectronic devices (the “Business”). This Agreement and the
other Transaction Agreements contemplate the sale and transfer or contract or license by the Seller Parties to the Purchaser at Closing of all of the assets and certain identified liabilities relating to the Business. 
 In consideration of the foregoing, and the mutual representations, warranties and covenants set forth in this Agreement, and for other good and valuable
consideration, and intending to be legally bound hereby, the parties agree as follows: 
 ARTICLE 1 
 THE TRANSACTIONS 
 1.1 Purchase and
Sale of Assets and Assumption of Certain Liabilities. 
 (a) Subject to and upon the terms and conditions set forth in this Agreement, at
the Closing, the Seller Parties shall sell, convey, assign, transfer and deliver to the Purchaser, and the Purchaser shall purchase, acquire and accept from the Seller Parties, assets which together with the rights acquired by the Purchaser pursuant
to the other Transaction Agreements, constitute all of the assets and services necessary to operate the Business immediately after the Closing in the same manner as was operated by the Seller Parties as of the date of this Agreement and, subject to
changes occurring in the Ordinary Course or pursuant to Section 5.1(a) or as otherwise disclosed on Section 2.5 of the Disclosure Schedules, as of the Closing Date (the “Acquired Assets”), free and clear of
any Encumbrances (other than Permitted Encumbrances) , as the same may exist at Closing, included but not limited to: 
 (i)
all Inventory and all furniture, fixtures, improvements, equipment (including office equipment), machinery, parts, computer hardware 

 
and software, tools and all other tangible personal property that is used or held for use in the Business and listed on Schedule 1.1(a)(i), including,
without limitation, all of the Seller Parties’ marketing documentation (sales brochures, flyers, pamphlets, advertising, etc) related to the Acquired Assets; 
 (ii) all Intellectual Property that is used in the Business and listed on Schedule 1.1(a)(ii); 
 (iii) all claims and rights (and benefits arising therefrom) relating to the Acquired Assets with or against all persons, including all
express or implied warranties from any supplier of the Seller Parties with respect to the Acquired Assets, in each case to the extent such transfer is permitted by law; 
 (iv) all Accounts Receivable that relate to the Business, in each case to the extent not paid as of the Closing; 
 (v) all contracts, agreements, Leases, and purchase and sales orders that relate to the Business, in each case to the extent transferable
by the Seller Parties and listed on Schedule 1.1(a)(v) (the “Assumed Contracts”); 
 (vi) all Permits
that are used in the Business, in each case to the extent transferable and listed on Schedule 1.1(a)(vi); 
 (vii)
all insurance proceeds paid or payable to the Seller Parties in respect of any damages to or destruction or loss of any Acquired Assets, other than Inventory or other current assets of the Business; 
 (viii) subject to proration as described in Section 1.5, all Prepaids relating primarily to the Business; 
 (ix) all goodwill of the Business, together with the right to represent to third parties that the Purchaser is the successor to or
acquirer of the Business; 
 (x) the customer lists, Books and Records of the Business; 
 (xi) right, title and interest to the names “Müller Feindraht AG” and “American Fine Wire” or any other
derivations or related subsets of such names; and 
 (xii) all other assets, if any, listed on Schedule 1.1(a)(x)(ii).

 (b) Notwithstanding anything to the contrary contained in Section 1.1(a) or elsewhere in this Agreement, the Seller Parties
shall not sell, convey, assign, transfer or deliver to the Purchaser, and the Purchaser shall not acquire from the Seller Parties, any other assets of the Seller Parties that do not constitute Acquired Assets, including, without limitation, the
following (collectively, the “Excluded Assets”): 
 (i) all cash and cash equivalents and short term
investments of the Seller Parties; 
  

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 (ii) all assets and Books and Records of the Seller Parties not related to the Business
or the Acquired Assets, including, without limitation, all records relating to the Excluded Assets; 
 (iii) all rights and
obligations of the Seller Parties pursuant to contracts or agreements, other than the Assumed Contracts and any Accounts Receivable; 
 (iv) all rights to refunds of any premiums under insurance policies not otherwise included among the Acquired Assets and cancelled by the Seller Parties; 
 (v) all life insurance policies owned by the Seller Parties, and all rights thereunder, including, without limitation, the accumulated
cash value and all other incidents of ownership; 
 (vi) all personnel records and other records that the Seller Parties are
required by law to retain in its possession; provided, however, that the Seller Parties shall provide the Purchaser with a copy of such records pertaining to the Business upon request unless expressly prohibited by law; 
 (vii) all rights, title and interest in and to prepaid Taxes and any claims for refund, credit, rebate or abatement of Taxes and other
governmental charges regarding the Business of whatever nature for periods through the Closing Date, except to the extent included in the calculation of Working Capital; and 
 (viii) all rights of the Seller Parties under this Agreement and the Transaction Agreements. 
 (c) Upon the terms and conditions set forth in this Agreement, at the Closing, the Purchaser shall assume and thereafter satisfy or perform when due
(i) all Liabilities listed as a current liability of the Business to the extent set forth on the unaudited combined balance sheet of the Business at March 29, 2008 prepared in accordance with GAAP (the “Reference Balance
Sheet”) as such Liabilities are adjusted and finalized in the Closing Statements, (ii) all obligations of performance by the Purchaser under this Agreement and (iii) all other liabilities and obligations, if any, expressly set
forth on Schedule 1.1(c) (collectively, the “Assumed Liabilities”). The Purchaser shall not assume, and shall have no responsibility for, any Liabilities of the Business including, without limitation, historic employee
obligations and environmental liabilities, incurred through the Closing, other than the Assumed Liabilities (the “Retained Liabilities”). 
 (d) The purchase price for the Acquired Assets is ONE HUNDRED AND FIFTY FIVE MILLION DOLLARS ($155,000,000), payable in cash at the Closing, plus the assumption of the Assumed Liabilities, as adjusted pursuant to
Section 1.4 (the “Purchase Price”). 
  

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 1.2 Closing. The parties shall conduct the closing (the “Closing”) of the
transactions contemplated hereby (such transactions, the “Contemplated Transactions”) at the offices of Drinker Biddle & Reath LLP, Philadelphia, Pennsylvania on September 29, 2008, provided that if the conditions set
forth in Article 6 are not met on such date, the Closing shall occur on the business day immediately preceding the last Saturday of the month in which the conditions set forth in Article 6 have been satisfied or waived, or at such other time and
place as the Seller and the Purchaser may agree in writing (such date of the Closing, the “Closing Date”). 
 1.3 Closing
Deliveries. At the Closing: 
 (a) the Seller shall deliver, or shall cause to be delivered, to the Purchaser (i) duly executed
counterparts of the Transaction Agreements and (ii) the certificates, authorizations and approvals as set forth in Section 6.2; and 
 (b) the Purchaser shall deliver to the Seller (i) duly executed counterparts of the Transaction Agreements, (ii) the cash portion of the Purchase Price by wire transfer of immediately available funds, and
(iii) the certificates, authorizations and approvals as set forth in Section 6.1. 
 1.4 Payment of Purchase Price;
Working Capital Adjustment. 
 (a) At least three business days before the Closing Date, the Seller shall prepare or cause to be
prepared, in accordance with GAAP and those principles identified on Schedule 1.4, and shall deliver to the Purchaser its good faith estimate of Working Capital (the “Estimated Working Capital”). At the Closing, the Purchaser
shall pay to the Seller the Purchase Price, plus (or minus) the amount (if any) by which the Estimated Working Capital exceeds (or is less than) $93,964,837, which is the level of Working Capital as at March 29, 2008 as set forth in the
preliminary statement of Working Capital included on Schedule 1.4 (the “Target Working Capital”). The Seller agrees to prepare, together with Purchaser within 20 business days after the date of this Agreement, supporting
documentation for the figures of said Target Working Capital on the basis of (i) the general ledger trial balances with respect to SEA and Müller, and (ii) other documentation, i.e. the A/R trial balance with respect to Seller and an
account listing with account balances with respect to GHC. 
 (b) The Target Working Capital of $93,964,837 includes an amount of
$19,513,708 for Inventory. This amount may be adjusted as a result of the verification process which shall be completed not later than twenty (20) business days after signing of this Agreement. In the case that either the Seller or the
Purchaser requests an adjustment of the amount of Inventory included in the Target Working Capital, the Seller and the Purchaser shall attempt in good faith to reach an agreement as to the nature and amount of said adjustment. If the Seller and the
Purchaser cannot resolve this matter within five (5) business days, such dispute shall be resolved pursuant to Section 1.4(d). 
 (c) Within 30 days following the Closing Date, the Seller shall prepare and deliver to the Purchaser a closing date balance sheet and a calculation of Working Capital derived thereof as of the Closing Date, prepared in accordance with GAAP
and those principles identified on Schedule 1.4 and in a manner consistent with the methodology used by the Seller in 

  

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preparing the Estimated Working Capital and the Target Working Capital included as a part of Schedule 1.4 and the Reference Balance Sheet (the
“Closing Statement”). For the purposes of such review, the Seller should afford the Purchaser or its accountants and Representatives the rights to inspect the Seller’s records related to the Closing Statement. If the Purchaser
does not give the Seller notice of the Purchaser’s objection to the Closing Statement, with such notice containing a statement of the basis of the Purchaser’s objection, within 30 days of receipt of the Closing Statement, then the Closing
Statement shall be final for all purposes following the end of such 30 day period. 
 (d) If the Purchaser shall have any objections to the
Closing Statement within 30 days following receipt of the Closing Statement, the Purchaser and the Seller shall attempt in good faith to reach an agreement as to the matter in dispute. If the Purchaser and the Seller shall have failed to resolve
such disputed matter within ten business days (or such longer period as mutually agreed by the Purchaser and the Seller) after receipt of written notice of such objection, which notice shall contain a statement of the basis of the disputing
party’s objection, then any such disputed matter may at any time thereafter be referred by either party for resolution by a nationally recognized independent accounting firm acceptable to the Seller and the Purchaser (the “Independent
Accounting Firm”). The Purchaser and the Seller shall take, or cause to be taken, all actions and do, or cause to be done, all things necessary to cooperate with the Independent Accounting Firm in its resolution of the dispute. The
determination of the Independent Accounting Firm will be made as promptly as practicable but in no event later than 30 days following referral of the disputed matter to the Independent Accounting Firm. The fees and expenses of the Independent
Accounting Firm incurred in resolving the disputed matter shall be allocated equally between the Purchaser and the Seller. The definitive Closing Statement and calculation of Working Capital (the “Certified Statement”), after
resolution of any disputes pursuant to this Section 1.4, shall be verified by the Independent Accounting Firm in accordance with the requirements of this Section 1.4 and shall be final, binding and conclusive on all parties
hereto. 
 (e) On or before the third business day following the final determination of the Certified Statement or agreement between the
Purchaser and the Seller on the Closing Statement pursuant to Section 1.4(c) above, the Purchaser or the Seller, as the case may be, shall pay to the other party an amount such that following such payment, and taking into account the
payments made on the Closing Date, the Purchaser shall have paid to the Seller the Purchase Price, plus (or minus) 100% of the amount by which the amount of Working Capital set forth on the Certified Statement or on the Closing Statement exceeds (or
is less than) the Target Working Capital. 
 1.5 Credits, Prorations and Prorated Credits. The Seller and the Purchaser shall prorate
all Prepaids, including any payments due or advanced under any lease (and all other similar customary adjustments, including Taxes), as of the Closing Date. With respect to any amounts (including Taxes) that have not yet been billed or otherwise
determined, the Seller and the Purchaser shall prorate such amounts based on the most recent ascertainable bill, based on when such Taxes, Prepaids and other assessments are due and payable. The Prepaids and such prorations (including Taxes) shall
be included in the calculation of Working Capital, to the extent assumed by the Purchaser. 
  

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 1.6 Payments and Computations. All payments under this Agreement shall be made in U.S. dollars.
Each party shall make any payment due to the other party to this Agreement not later than 5:00 p.m., New York City time, on the day when due. All payments shall be made by wire transfer in immediately available funds to the account or accounts
designated in writing by the party receiving such payment, together with interest, if applicable, as provided below. All computations of interest shall be made on the basis of a year of 360 days, in each case for the actual number of days elapsed
(beginning on the Closing Date, and in the case of payments made pursuant to Section 1.4(e), up to but excluding the date on which payment is received, and otherwise, including the date on which payment is received). Whenever any payment
under this Section 1.6 shall be due on a day other than a business day, such payment shall be made on the next succeeding business day, and such extension of time shall be included in the computation of payment of interest. Any payment
as an adjustment to the Purchase Price pursuant to Section 1.4(e) shall be made within three business days of the date the Certified Statement, together with interest thereon from the Closing Date to the date the payment is made in full
at the three-month London Interbank Offered Rate (LIBOR) as reported on the Closing Date in The Wall Street Journal, plus 3.0%. 
 ARTICLE 2 
 REPRESENTATIONS AND WARRANTIES OF THE SELLER 
 WITH RESPECT TO THE SUBSIDIARIES AND THE BUSINESS 
 Except as set forth on the
disclosure schedule attached as Exhibit B (the “Disclosure Schedules”) (it being agreed that disclosure of an item shall not be deemed an admission by Seller that such item so disclosed is material (regardless of whether
required by the accompanying representation in this Agreement) and that an item included on a particular section of the Disclosure Schedules referenced in any section or subsection of this Article 2 is deemed to relate to each other section
or subsection of this Article 2 to the extent such relationship is reasonably apparent on the face of such disclosure) each Seller Party, jointly and severally, represents and warrants to the Purchaser that the statements set forth in this
Article 2 are true and complete as of the date of this Agreement and as of the Closing Date. 
 2.1 Corporate Organization.
Each of the Seller Parties is a corporation duly incorporated and validly existing under the laws of the jurisdiction of its incorporation and is duly qualified to conduct business under the laws of each jurisdiction in which such qualification is
required, except where the failure to be so qualified would not reasonably be expected to have a Material Adverse Effect. Each Seller Party has all corporate power and authority it needs to carry on its operations and own its assets. 
 2.2 Authorization. Each of the Seller Parties has, or prior to the Closing will have, all corporate power and authority to execute, deliver and
perform its obligations under this Agreement and each of the other Transaction Agreements to which it is a party. Each of the Seller Parties has duly and validly executed and delivered this Agreement and, on or before the Closing will have duly and
validly executed and delivered the other Transaction Agreements to which it is a party. Assuming the due authorization, execution and delivery of the Transaction Agreements by the Purchaser, this Agreement is, and at Closing each other Transaction
Agreement will be, a valid and binding obligation of each Seller Party which is a party thereto, 

  

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enforceable against such Seller Party in accordance with its terms, subject to (a) laws of general application relating to bankruptcy, insolvency and
the relief of debtors, and (b) rules of law governing specific performance, injunctive relief and other equitable remedies. 
 2.3 No
Conflict. Except as set forth in Section 2.3 of the Disclosure Schedules, the execution, delivery and performance by a Seller Party of the Transaction Agreements to which it is party and the consummation by a Seller Party of the
Contemplated Transactions do not (a) conflict with or violate any provision of such Seller Party’s articles of incorporation or bylaws, each as amended to date, (b) require a Seller Party to make any filing with, or obtain any permit,
authorization, consent or approval of, any Governmental Entity or any other person, except for any filings required to be made under any applicable anti-trust or competition law, (c) conflict with, result in a breach of, constitute a default
under, result in the acceleration of, create in any person the right to accelerate, terminate, modify, or cancel, or require any notice under any Material Contract, (d) result in the imposition of any Encumbrance upon any Acquired Asset (other
than Permitted Encumbrances), or (e) violate any law, order, writ, or injunction applicable to the Seller or any of its assets, except in the case of clauses (b)-(e), as would not reasonably be expected to have, either individually or in the
aggregate, a Material Adverse Effect. 
 2.4 Financial Matters. 
 (a) Attached as Section 2.4(a) of the Disclosure Schedules are (i) a listing of the net book value of each fixed asset of the Business
as March 29, 2008, (ii) the Reference Balance Sheet, and (iii) the unaudited balance sheets of the Business as of September 30, 2006, September 29, 2007 and June 28, 2008, and the unaudited income statements of the
Business for the fiscal years ended September 30, 2006 and September 29, 2007 and the nine months ended June 28, 2008 (collectively with the Reference Balance Sheet, the “Financial Statements”). The Financial
Statements have been prepared in accordance with GAAP on a consistent basis for the period stated thereon, fairly present in all material respects the results of operations of the Business for the period stated thereon, except that such Financial
Statements are subject to normal year-end adjustments and do not contain all footnotes or other presentation items required by applicable accounting standards, and are complete and correct in all material respects and consistent with the Books and
Records. The data in the Financial Statements is derived from the figures of the Packaging Materials Division as reported in the applicable 10-K or 10-Q reports of the Seller for the purposes of presenting the data of the Business on a stand-alone
basis, using good faith estimates for allocations as necessary. 
 (b) Since the date of the Reference Balance Sheet, the Seller Parties
have operated the Business in the Ordinary Course and there has not occurred any event or development that would be reasonably likely to result in a Material Adverse Change before the Closing Date. 
 2.5 Assets. Except as set forth in Section 2.5 of the Disclosure Schedules: (i) the Seller Parties have valid title to, or a
valid leasehold interest in, the Acquired Assets, free and clear of any Encumbrances, except for Permitted Encumbrances and Encumbrances created by or through the Purchaser or any of its Affiliates; and (ii) the Acquired Assets, together with
the assets of the Seller Parties to be licensed or contracted to the Purchaser on the Closing Date pursuant to the other Transaction Agreements, are sufficient for the conduct of the Business as conducted by the Seller Parties on the date of this
Agreement and as an independent concern. 
  

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 2.6 Absence of Undisclosed Liabilities. The Business does not have any Liabilities except for
(i) Liabilities set forth on the Financial Statements, (ii) Liabilities incurred in connection with this transaction, (iii) Assumed Liabilities and (iv) Liabilities incurred in the Ordinary Course since the date of the Reference
Balance Sheet. 
 2.7 Intellectual Property. 
 (a) Section 2.7(a) of the Disclosure Schedules sets forth all of the Intellectual Property owned or used by the Seller Parties as of the date of this Agreement and used in the Business as of the date of
this Agreement. 
 (b) None of the Business activities currently conducted by the Seller Parties infringes or violates, or constitutes a
misappropriation of, any valid Intellectual Property rights of any person. To the knowledge of the Seller, there is no actual, threatened or suspected unauthorized use, interference, disclosure, infringement, misappropriation, or violation by any
person of any Intellectual Property rights of the Seller Parties. 
 (c) The attached Section 2.7(c) of the Disclosure Schedules
contains a complete and accurate list of (A) all agreements, licenses, royalty agreements, and other rights granted by the Seller Parties (with regard to the Business) to any third party with respect to any Intellectual Property, (B) all
licenses, agreements, and other rights granted by any third party to the Seller Parties (with regard to the Business) with respect to any Intellectual Property of such third party (other than “shrink-wrapped” or “off-the-shelf”
software licenses licensed by the Seller Parties (with regard to the Business)) and (C) all agreements, licenses, royalty agreements, and other rights granted by a Seller Party (with regard to the Business) to another Seller Party with respect
to any Intellectual Property, in each case identifying the subject Intellectual Property. All agreements, licenses, royalty agreements, and other rights set forth on Section 2.7(c) of the Disclosure Schedules are in full force and
effect, and there is no default thereunder by the Seller Parties (with regard to the Business), nor to the knowledge of the Seller, by any other party thereto. The Seller Parties are not making any unlicensed use of any Intellectual Property granted
to the Seller Parties under such agreements, licenses, royalty agreements, and other rights set forth on Section 2.7(c) of the Disclosure Schedules. 
 (d) There is no Legal Proceeding pending or, to the knowledge of the Seller, threatened in writing against the Seller Parties involving a claim by any person that the Business activities presently conducted by the
Seller Parties infringes or violates, or constitutes a misappropriation of, any Intellectual Property rights of any person. 
 (e) No
current or former employee, independent contractor or consultant of the Seller Parties has or has asserted any continued interest in any Intellectual Property used by the Seller Parties in connection with the Business. All current or former
professional and technical employees, independent contractors or consultants of the Business have signed a non-disclosure and assignment of inventions agreement with the Seller Parties in the form previously delivered to Purchaser, and such
employees are the only employees of the Business with access to Intellectual Property of the Business. 
  

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 2.8 Legal Compliance. The conduct and operations of the Business by the Seller Parties are, and
during the last three years have been, in compliance with each law that (a) affects or relates to this Agreement or the consummation of the Contemplated Transactions, or (b) is applicable to the Seller Parties or the Business. 

2.9 Material Contracts. Section 2.9 of the Disclosure Schedule lists all of the contracts, agreements and instruments of the
Business as presently conducted (collectively, the “Material Contracts”). All Material Contracts are valid, binding and enforceable by and against any of the Seller Parties as applicable, in accordance with their terms (subject to
applicable bankruptcy, solvency and similar laws and general principles of equity) and are in full force and effect. None of the Seller Parties are, and to the knowledge of the Seller, none of the other parties to any Material Contact are, in
default of any Material Contract that is included in the Assumed Contracts (the “Included Material Contracts”). 
 2.10
Customers. Section 2.10(i) of the Disclosure Schedules sets forth the six (6) largest customers of the Business (the “Material Customers”) and the amounts for which the Seller Parties invoiced such Material
Customers during the nine months ended June 28, 2008 (the “2008 Fiscal Period”). Except as set forth on Section 2.10(i) of the Disclosure Schedules, (i) no Material Customer has terminated its relationship or refused
to do business with the Seller Parties or, to the knowledge of the Seller, threatened to do so; (ii) to the knowledge of the Seller, no Material Customer has stated its intention not to continue to do business with, or substantially reduce its
purchases as a result of, the Contemplated Transactions; and (iii) the Seller Parties are not involved in any claim, dispute or controversy with any Material Customer other than in the Ordinary Course. To the knowledge of the Seller, as of the
date of this Agreement, none of the customers set forth on Section 2.10(ii) of the Disclosure Schedules has reduced, or stated its intention to reduce, its purchases by an amount equal to 15% or more of its respective purchases from the
Business compared to the 2008 Fiscal Period levels. 
 2.11 Suppliers. Section 2.11 of the Disclosure Schedules sets forth
all of the copper and aluminum suppliers of the Business during the fiscal year ended September 29, 2007 (the “2007 Fiscal Year”) and 2008 Fiscal Period (the “Suppliers”). Except as set forth on
Section 2.11 of the Disclosure Schedules, (i) no Supplier has terminated its relationship or refused to do business with the Seller Parties or, to the knowledge of the Seller, threatened to do so; (ii) no Supplier has stated
its intention not to continue to do business with, or reduce its business relationship as a result of, the Contemplated Transactions; and (iii) the Seller Parties are not involved in any claim, dispute or controversy with any Supplier other
than in the Ordinary Course. 
 2.12 Legal Proceedings. Other than with respect to Intellectual Property, employee and Environmental
law matters (which are exclusively addressed in Section 2.7, Section 2.13 and Section 2.14, respectively), there is no Legal Proceeding with respect to the Business pending or, to the knowledge of the Seller,
threatened against any Seller Party or any Affiliate of any Seller Party before any court, arbitrator, mediator or other Governmental Entity. The Seller Parties are not with respect to the Business subject to any outstanding judgment, injunction or
other order or ruling of, or settlement issued or approved by, any court or other Governmental Entity. 
  

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 2.13 Employees. 
 (a) Except as set forth on Section 2.13(a) of the Disclosure Schedules, (i) there are no collective bargaining agreements applicable to any Active Employees and (ii) each of the Seller Parties
have complied in all material respects with all applicable laws relating to the Active Employees arising from statutes relating to wages, hours, leave, collective bargaining, unemployment insurance, worker’s compensation, equal employment
opportunity, age and disability discrimination, social security, immigration control and the payment and withholding of Taxes. Except as set forth on Section 2.13(a) of the Disclosure Schedules, no Active Employee has given the Seller
Parties written notice of intention to terminate employment or, to the Knowledge of Seller, oral notice that he or she intends to terminate employment with any such Seller Party. 
 (b) There is no employment-related Legal Proceeding currently pending or, to the knowledge of the Seller, threatened against any Seller Party by any
Active Employee alleging a violation or breach by such Seller Party of any law, regulation or contract, including any claim relating to worker’s compensation, employee disability or similar matters, other than routine claims for benefits
arising in the Ordinary Course. 
 (c) Section 2.13(c) of the Disclosure Schedules contains a complete and accurate list of the
following information for each Active Employee, including each employee on leave of absence or layoff status: job title and the current and the prior year’s compensation or remuneration (including any bonus). Except as set forth on
Section 2.13(c) of the Disclosure Schedules, none of the Seller Parties has agreed to the payment of any bonuses, backpay or other remuneration to any employees, contractors or other Persons outside of the Ordinary Course. The Seller has
previously provided the information set forth in Section 2.13(c) of the Disclosure Schedules to the Purchaser, which information included the names of the Active Employees, and such information is true and correct as of the date of this
Agreement and as of the Closing Date. 
 (d) Section 2.13(d) of the Disclosure Schedules identifies each Employee Benefit Plan
relating to the Active Employees. None of the Employee Benefit Plans relating to the Active Employees are underfunded. 
 2.14
Environmental Matters. Except as set forth in Section 2.14 of the Disclosure Schedules, each Subsidiary is in compliance with all applicable Environmental laws and all Environmental Permits. No Legal Proceeding is currently
pending or, to the knowledge of the Seller, threatened, alleging a breach or violation by any Subsidiary under any Environmental laws. No property, facility or premises currently owned, leased, operated, used or controlled by any Subsidiary and used
in the Business is, to the knowledge of the Seller, subject to any current or proposed assessment or other remediation obligation arising under any Environmental laws. 
  

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 2.15 Inventory; Accounts Receivable. 
 (a) Except as has been reserved against in the Reference Balance Sheet (or as adjusted after the date thereof for operations and transactions through the
Closing Date in the Ordinary Course), the Inventory of the Business included as an Acquired Asset is of a quality usable or saleable in the Ordinary Course and is free and clear of any Encumbrances other than Permitted Encumbrances. All Accounts
Receivable as of the date hereof arise from bona-fide transactions with customers. 
 (b) Section 2.15(b)(i) of the Disclosure
Schedules sets forth all of the agreements between the Seller Parties and customers which provide a fixed purchase price for any precious metal materials. Section 2.15(b)(ii) of the Disclosure Schedules sets forth the supply agreements
the Seller Parties have in place with institutional counterparties that enable the Seller Parties to acquire precious metal materials, and with respect to those agreements set forth on Section 2.15(b)(ii) of the Disclosure Schedules,
except as set forth in such Schedule, the purchase price of the precious metal materials does not exceed the selling price of such material, and to the extent the Seller Parties have committed to purchase more of the materials than is required
pursuant to existing customer obligations pursuant to the agreements set forth on Section 2.15(b)(i) of the Disclosure Schedules, the Seller Parties have arrangements in place to sell or dispose of such excess material to the customer at
the purchase price paid by the Seller Parties for the purchase thereof. 
 2.16 Real Property. The Seller Parties do not own any real
property that is included in the Acquired Assets. Section 2.16 of the Disclosure Schedules sets forth the all leased real properties used by the Seller Parties in connection with the operation of the Business, each of which is leased
pursuant to a Lease (the “Leased Real Property”). Except for the Leased Real Property or as described in Section 2.16 of the Disclosure Schedules, there is no other real property or improvements that are used by the
Seller Parties in connection with the operation of the Business. The Seller Parties are the holders of valid and enforceable leasehold estates, as lessee, of the Leased Real Property, for the terms set forth in and pursuant to the terms of Leases
for the Leased Real Property. True and complete copies (including amendments, if any) of the Leases have been made available to the Purchaser. The Leases are in full force and effect and the Seller Parties have not exercised any option to purchase
thereunder. The Seller Parties are not in default or breach under the Leases and have not received written notice of any default or breach by the Seller Parties relating to the Leases. None of the Seller Parties has provided a written notice of any
default or breach to any lessor under the Leases, and, to the knowledge of the Seller, no lessor is in default or breach under any Lease. 
 2.17 Licenses and Permits. Section 2.17 of the Disclosure Schedules contains a complete list of each license, permit, certificate, approval, exemption, registration or authorization, including any pending applications
therefor, used by the Seller Parties (with respect to the conduct of the Business) (collectively, the “Licenses and Permits”), which constitute all licenses, permits, certificates, approvals, exemptions, registrations or
authorizations necessary for the conduct of the Business as presently conducted. The Business is and, to the knowledge of the Seller, has been in compliance with all Licenses and Permits. The Licenses and Permits are valid and in full force and
effect and there are no pending nor, to the knowledge of the Seller, threatened proceedings which would reasonably be expected to result in the termination, revocation, 

  

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limitation or impairment of any License or Permit. The execution of this Agreement and the consummation of the Contemplated Transactions will not alter or
result in the termination or modification of any License or Permit except as stated in Section 2.17 of the Disclosure Schedules. 
 2.18 Product Warranty. Section 2.18 of the Disclosure Schedules sets forth a complete list of all products of the Business sold from January 1, 2007 through the date hereof (the “Products”) and shall
be updated by the Seller Parties as of the Closing Date, as well as all outstanding product and service warranties and guaranties on any of the Products. Each Product has been in conformity with all applicable contractual commitments and all express
and implied warranties, and none of the Seller Parties has Liability for replacement or repair thereof, except as has been reserved for in the June 28, 2008 balance sheet included in the Financial Statements or as will be reserved for in the
Closing Statement. 
 2.19 Yield. Section 2.19 of the Disclosure Schedules sets forth a true and complete statement
regarding the methodology for the calculation of the yield of the Business. 
 2.20 Brokers’ Fees. Except for Credit Suisse
Securities (USA) LLC, the Seller Parties are not obligated to pay any fees or commissions to any broker, finder or agent with respect to the Contemplated Transactions. 
 2.21 Improper Payments. None of the Seller Parties or any of their respective officers, directors or employees have made, with respect to the Seller Parties’ conduct of the Business, (a) any illegal
bribes or kickbacks, illegal political contributions, or payments from corporate funds not recorded on the books and records of the Seller Parties, (b) payments from corporate funds to governmental officials, in their individual capacities, for
the purpose of affecting their action or the action of the government they represent, to obtain favorable treatment in securing business or licenses or to obtain special concessions, or (c) illegal payments from corporate funds to obtain or
retain business. 
 2.22 Related Party Transactions. Section 2.22 of the Disclosure Schedules describes each arrangement
pursuant to which, immediately prior to Closing, any of the Seller Parties or its Affiliates provided any other Seller Party with any products or services material to the conduct of the Business. 
 2.23 Disclaimer of Other Representations and Warranties. EXCEPT AS EXPRESSLY SET FORTH IN THIS ARTICLE 2, THE SELLER DOES NOT MAKE ANY
REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, AT LAW OR IN EQUITY, IN RESPECT TO THE BUSINESS, THE ACQUIRED ASSETS, THE ASSUMED LIABILITIES, THE SELLER PARTIES, OR ANY OF THEIR RESPECTIVE OTHER ASSETS, LIABILITIES OR OPERATIONS, INCLUDING WITH
RESPECT TO MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE, AND ANY SUCH OTHER REPRESENTATIONS OR WARRANTIES ARE HEREBY EXPRESSLY DISCLAIMED. 
 2.24 Disclosure. None of the representations of the Seller Parties contained in this Agreement or in any other document, certificate or written statement furnished or delivered to Purchaser at the Closing or pursuant to
Section 1.4 by or on behalf of the Seller Parties in 

  

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connection with the transactions contemplated hereby contain any untrue statement of material fact or intentionally omits to state any material fact
necessary to make any such representations, in light of the circumstances under which they were made, not misleading. 
 ARTICLE 3 

 REPRESENTATIONS AND WARRANTIES OF THE SELLER WITH 
 RESPECT TO ITSELF 
 The Seller represents and warrants to the Purchaser that the statements contained
in this Article 3 are true and complete as of the date of this Agreement and as of the Closing Date. 
 3.1 Corporate
Organization. The Seller is a corporation duly organized, validly existing, and in good standing under the laws of the Commonwealth of Pennsylvania and has full corporate power and authority to carry on its business as now conducted. 

3.2 Authorization. The Seller has, or prior to the Closing will have, all corporate power and authority it requires to execute, deliver and
perform its obligations under the Transaction Agreements to which it is a party. The Seller has duly and validly executed and delivered this Agreement and, on or before the Closing, the Seller will have duly and validly executed and delivered the
other Transaction Agreements to which it is a party. Assuming the due authorization, execution and delivery of the Transaction Agreements by the Purchaser, this Agreement is, and at the Closing each other Transaction Agreement will be, a valid and
binding obligation of the Seller, enforceable against the Seller in accordance with its terms, subject to (a) laws of general application relating to bankruptcy, insolvency and the relief of debtors, and (b) rules of law governing specific
performance, injunctive relief and other equitable remedies. 
 3.3 No Conflict. Except as set forth in Section 3.3 of the
Disclosure Schedules, the execution, delivery and performance by the Seller of the Transaction Agreements to which it is party and the consummation by the Seller of the Contemplated Transactions do not (a) conflict with or violate any provision
of the Seller’s articles of incorporation or bylaws, each as amended to date, (b) require the Seller to make any filing with, or obtain any permit, authorization, consent or approval of, any Governmental Entity or any other person, except
for any filings required to be made under any applicable anti-trust or competition law, or (c) violate any law, order, writ, or injunction applicable to the Seller or any of its assets, except in the case of clauses (b)-(c), as would not
reasonably be expected to have, either individually or in the aggregate, a Material Adverse Effect. 
 3.4 Litigation. There is no
Legal Proceeding pending or, to the Seller’s knowledge, threatened against the Seller that questions or challenges the validity of this Agreement or the ability of the Seller to consummate any of the Contemplated Transactions. 
 3.5 Brokers’ Fees. Except with respect to Credit Suisse Securities (USA) LLC, the Seller is not obligated to pay any fees or commissions to
any broker, finder or agent with respect to the Contemplated Transactions. 
  

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 ARTICLE 4 
 REPRESENTATIONS AND WARRANTIES OF THE PURCHASER 
 The Purchaser represents and warrants to the Seller
Parties that the statements contained in this Article 4 are true and complete as of the date of this Agreement and as of the Closing Date. 
 4.1 Organization and Good Standing. The Purchaser is a Business Entity duly organized, validly existing and in good standing under the laws of Germany and has full corporate power and authority to carry on its business as now
conducted. 
 4.2 Authorization of Transaction. The Purchaser has, or prior to the Closing will have, all corporate power and
corporate authority it requires to execute, deliver and perform its obligations under the Transaction Agreements to which it is a party. The Purchaser has duly and validly executed and delivered this Agreement and, on or before the Closing, the
Purchaser will have duly and validly executed and delivered the other Transaction Agreements to which it is a party. Assuming the due authorization, execution and delivery of the Transaction Agreements by each Seller Party that is a party thereto,
this Agreement is, and at Closing each other Transaction Agreement will be, a valid and binding obligation of the Purchaser, as applicable, enforceable against the Purchaser in accordance with their respective terms, subject to (a) laws of
general application relating to bankruptcy, insolvency and the relief of debtors, and (b) rules of law governing specific performance, injunctive relief and other equitable remedies. 
 4.3 No Conflict. The execution, delivery and performance by the Purchaser of the Transaction Agreements to which it is a party and the
consummation by the Purchaser of the Contemplated Transactions do not (a) conflict with or violate any provision of the Purchaser’s articles of incorporation, bylaws or other constituent documents, each as amended to date, (b) require
the Purchaser to make any filing with, or obtain any permit, authorization, consent or approval of, any Governmental Entity or any other person, except for any filings required to be made under any applicable anti-trust or competition law,
(c) result in a breach or default under, create in any person the right to accelerate, terminate, modify or cancel, or require any notice, consent or waiver under any material agreement or instrument to which the Purchaser is a party, in any
case with or without notice or lapse of time or both, or (d) violate any law, order, writ, injunction, or decree applicable to the Purchaser, except in the case of clauses (b)-(d), as would not reasonably be expected to have, either
individually or in the aggregate, a Material Adverse Effect. 
 4.4 Litigation. There is no Legal Proceeding pending or, to the
Purchaser’s knowledge, threatened against the Purchaser that questions or challenges the validity of this Agreement or the ability of the Purchaser to consummate any of the Contemplated Transactions. 
 4.5 Brokers’ Fees. Except as with respect to Citigroup Inc. the Purchaser is not obligated to pay any fees or commissions to any broker,
finder or agent with respect to the Contemplated Transactions. 
  

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 4.6 Adequacy of Funds. The Purchaser has adequate financial resources to satisfy its monetary and
other obligations under this Agreement, including the obligation to pay the Purchase Price at the Closing. 
 4.7 Investigation. The
Purchaser acknowledges and agrees that (a) it is an informed and sophisticated buyer and has engaged expert advisors, experienced in the evaluation and purchase of businesses such as the Business, (b) it has made its own inquiry and
investigation into and, based thereon, has formed an independent judgment concerning, the Acquired Assets, the Assumed Liabilities and the Business, (c) it has been furnished with or given adequate access to such information about the Acquired
Assets, the Assumed Liabilities, the Seller Parties and the Business as it has requested and (d) it and its Representatives have had a full opportunity to meet with management of the Seller Parties to discuss the business and assets of the
Business. The Purchaser acknowledges that the Business has not been operated on a stand alone basis and further acknowledges and agrees that, except as expressly provided in this Agreement and the Transaction Agreements, neither the Seller Parties
nor any of their Affiliates makes any express or implied representation or warranty with respect to the Business, the Acquired Assets or the Seller Parties or otherwise or with respect to any other written or oral information provided by the Seller
Parties, their Affiliates or Representatives, including as to merchantability or fitness for any particular purpose. Except as expressly set forth in this Agreement and the Transaction Agreements, the Purchaser has not relied upon any
representations or other information made or supplied by or on behalf of the Seller Parties or by any of their Affiliates or Representatives, including information provided by management of the Business, information in certain management
presentations made by or on behalf of the Seller Parties to the Purchaser, or in any other materials provided by the Seller Parties or by any of their Affiliates or Representatives or in discussions with any of the foregoing. 
 4.8 Disclaimer Regarding Projections. In connection with the Purchaser’s investigation of the Business, the Purchaser has received from the
Seller Parties certain projections, estimates and other forecasts and certain business plan information. The Purchaser acknowledges that there are uncertainties inherent in attempting to make such projections, estimates and other forecasts and
plans, that it is familiar with such uncertainties, that it is taking full responsibility for making its own evaluation of the adequacy and accuracy of all projections, estimates and other forecasts and plans so furnished to it and any use of, or
reliance by, it on such projections, estimates and other forecasts and plans shall be at its sole risk, and without limiting any other provisions herein, that it shall have no claim against any person with respect thereto. Accordingly, the Purchaser
acknowledges, agrees and confirms that the Seller Parties and each of their respective Affiliates and Representatives do not make, have not made nor shall be deemed to make or have made any representation or warranty to the Purchaser, express or
implied, at law or in equity, with respect to any such projections, estimates, forecasts or plans, except that such projections, estimates, forecasts and plans were prepared in good faith based upon assumptions that the Seller Parties believed to be
reasonable when made. 
  

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 ARTICLE 5 
 PRECLOSING COVENANTS 
 5.1 Covenants of the Seller Parties. 
 (a) Conduct of Business. Except as otherwise required or contemplated by this Agreement, during the period from the date of this Agreement to the
Closing Date, the Seller Parties shall conduct the Business in the Ordinary Course. Without limiting the generality of the foregoing and except as required or contemplated by this Agreement or any other Transaction Agreement, before the Closing
Date, the Seller Parties shall not take any of the following actions in relation to the Business, without the written consent of the Purchaser (such consent not to be unreasonably withheld, conditioned or delayed). 
 (i) other than in the Ordinary Course or in connection with the performance or consummation of the Contemplated Transactions, voluntarily
incur any Liability that would be an Assumed Liability; 
 (ii) fail to maintain and service the Business and the Acquired
Assets, in each case, other than with respect to the Retained Liabilities, and the goodwill of those having business relationships with the Business and the Acquired Assets; 
 (iii) fail to effect any capital expenditures consistent with the operation of the Business in the Ordinary Course; 
 (iv) enter into any contract that would be breached by, or require the consent of any third party, in order to continue in full force
following the consummation of the Contemplated Transactions; 
 (v) make any changes in financial accounting methods,
principles or practices (or change an annual accounting period), except insofar as may be required by a change in GAAP or applicable law; 
 (vi) lease, license, sell, transfer, encumber or permit to be encumbered any Acquired Asset or other property associated with the Business, except for (A) licenses granted and products sold or otherwise disposed
of in the Ordinary Course, and (B) cash applied in payment of Liabilities in the Ordinary Course; 
 (vii) waive or
release any material right or claim that would otherwise be an Acquired Asset, except in the Ordinary Course; 
 (viii)
terminate or materially amend any of the Assumed Contracts, including the Included Material Contracts and Leases, other than in the Ordinary Course; 
  

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 (ix) dismiss any Active Employee (other than for cause) or change the remuneration or
terms of employment of any Active Employee other than (A) in the Ordinary Course, (B) as required by law, or (C) pursuant to a any Employee Benefit Plan (to the extent such change is generally applicable to all employees of the Seller
Parties); 
 (x) employ, other than in the Ordinary Course, any additional employees in the Business other than the Active
Employees; 
 (xi) take any action that would reasonably be expected to cause a Material Adverse Change; or 
 (xii) agree to do any of the things described in the preceding clauses (i) through (xi) of this Section 5.1(a).

 (b) Access To Information. 
 (i) Subject to the confidentiality obligations set forth in the Nondisclosure Agreement, until the Closing, the Seller shall allow the Purchaser and its Representatives, at the Purchaser’s sole expense, access
upon reasonable notice and during normal working hours to (i) such materials and information about the Business as the Purchaser may reasonably request (including monthly trial balances and P & L reports on the Business), and
(ii) specified members of management of the Business as the parties may reasonably agree. Notwithstanding the foregoing clause (ii), the Purchaser expressly acknowledges and agrees that it shall not, and shall cause its Affiliates and
Representatives to not, contact or otherwise communicate with, either orally or in writing, any employee, officer, director, customer or supplier of the Business without the prior written consent of the Seller, which consent shall not be
unreasonably withheld. Until the Closing, the Seller Parties shall cause their accountants, at the Purchaser’s sole expense, to cooperate with the reasonable requests of the Purchaser and its Representatives in making available the financial
information of the Business and any property tax information relating to any Lease. 
 (ii) From and after the Closing Date,
in connection with any reasonable business purpose with respect to the Acquired Assets or the Assumed Liabilities, upon reasonable prior notice, and except as reasonably necessary to ensure compliance with any applicable laws, privileges (including
the attorney-client privilege) and contractual confidentiality obligations, the Seller Parties shall, and shall cause its respective Representatives to, (A) afford the Representatives of the Purchaser reasonable access, during normal business
hours, to the books and records (to the extent not included in the Books and Records) of the Seller and its Affiliates in respect of the Acquired Assets and the Assumed Liabilities, (B) furnish to the Representatives of the Purchaser such
additional financial and other information regarding the Business, the Acquired Assets and the Assumed Liabilities as the Purchaser or its Representatives may from time to time reasonably request and (C) make reasonably available to the
Representatives of 

  

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the Purchaser the employees of the Seller and its Affiliates whose assistance, expertise, testimony, notes and recollections or presence is reasonably
necessary to assist the Purchaser in connection with its inquiries for any of the purposes referred to above, including the presence of such persons as witnesses in hearings or trials for such purposes. Such investigation shall not unreasonably
interfere with the business or operations of the Seller or any of its Affiliates, and the auditors and accountants of the Seller or its Affiliates shall not be obligated to make any work papers available to any person unless and until such person
has signed a customary agreement relating to such access to work papers in form and substance reasonably acceptable to such auditors or accountants. 
 (iii) From and after the Closing Date, in connection with any reasonable business purpose, including the preparation of Tax Returns and the determination of any matter relating to the rights or obligations of the
Seller Parties under any of the Transaction Agreements, upon reasonable prior notice, and except as reasonably necessary to ensure compliance with any applicable laws, privileges (including the attorney-client privilege) and contractual
confidentiality obligations, the Purchaser shall, and shall cause its Affiliates and its Representatives to, (i) afford the Representatives of the Seller Parties and their Affiliates reasonable access, during normal business hours, to the Books
and Records, (ii) furnish to the Representatives of the Seller Parties and their Affiliates such additional financial and other information regarding the Business, the Acquired Assets and the Assumed Liabilities as the Seller Parties or their
Representatives may from time to time reasonably request and (iii) make available to the Representatives of the Seller Parties and their Affiliates the employees of the Purchaser and its Affiliates in respect of the Business, the Acquired
Assets and the Assumed Liabilities whose assistance, expertise, testimony, notes and recollections or presence is necessary to assist the Seller Parties in connection with their inquiries for any of the purposes referred to above, including the
presence of such persons as witnesses in hearings or trials for such purposes. Such investigation shall not unreasonably interfere with the business or operations of the Purchaser or any of its Affiliates, and the auditors and accountants of the
Purchaser or its Affiliates shall not be obligated to make any work papers available to any person unless and until such person has signed a customary agreement relating to such access to work papers in form and substance reasonably acceptable to
such auditors or accountants. 
 (iv) Notwithstanding anything in this Agreement to the contrary, the Seller Parties shall not
be required, before the Closing, to disclose, or cause to be disclosed, to the Purchaser or its Affiliates or Representatives (or provide access to any offices, properties, books or records of the Seller Parties or any of their Affiliates that could
result in the disclosure to such persons or others) any information relating to employee data and records, any information with respect to Tax Returns as provided in Article 9 or any other information to the extent disclosure of such
information is not permitted by law or any agreement to which any member of the Seller Parties is a party and set forth on Schedule 5.1(b), nor shall the Seller Parties be required to permit or cause others to permit the Purchaser or its
Affiliates or Representatives to have access to or to copy or remove from the offices or properties of the Seller Parties or any of their Affiliates any documents, drawings or other materials that might reveal any such confidential information.

  

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 (c) Exclusivity. Each of the Seller Parties hereby agrees that it will not, and it will cause its
respective subsidiaries, affiliates, directors, officers, employees, representatives and agents (including any financial advisors) not to, directly or indirectly, solicit or initiate or enter into discussions with, or encourage, or provide any
information to, or continue any discussions or negotiations which have been undertaken heretofore with, any individual or entity (other than the Purchaser) concerning any merger, sale of stock, or sale of all or substantially all of the assets or
any similar transaction related to the Business (a “Possible Transaction”); provided, however, that the Seller Parties may notify those other individuals and entities with which it has been having discussions regarding a
Possible Transaction that it is required to discontinue such discussions pursuant to this Agreement. Further, each Seller Party shall promptly notify the Purchaser if it becomes aware of any inquiry or other contact (whether or not made to such
Seller Party) from any such other person or entity pertaining to a Possible Transaction. 
 5.2 Mutual Covenants. 
 (a) Confidentiality. 
 (i) No party hereto shall issue any press release or make any other public announcement or disclosure relating to this Agreement or the transactions contemplated hereby without the prior written approval of the other party, except that each
of the Seller and the Purchaser reserves the right, without the other party’s prior consent, to make any disclosure it believes in good faith is required by applicable securities laws or securities listing standards (in which case the
disclosing party agrees to use reasonable efforts to advise and consult with the other party as to content before making the disclosure). 
 (ii) Each party shall continue to abide by that certain confidentiality letter agreement dated as of March 6, 2008 (the “Nondisclosure Agreement”), by and between the Seller and W.C. Heraeus
GmbH, Hanau, Germany, the terms of which are incorporated by reference in this Agreement, and which terms shall survive until the Closing, at which time the Nondisclosure Agreement shall terminate; provided, however, that if this
Agreement is, for any reason, terminated before the Closing, the Nondisclosure Agreement shall continue in full force and effect. Except as contemplated by subsection (i), the existence of this Agreement and the terms hereof shall be deemed
“Evaluation Material” for purposes of the Nondisclosure Agreement. 
 (iii) For the avoidance of doubt, nothing in
this Section 5.2(a) shall prohibit the Purchaser from disclosing information relating to this Agreement to any of its Representatives; provided, however, that such persons are subject to nondisclosure obligations in favor
of the Purchaser that are no less favorable to the Seller than the Nondisclosure Agreement, and which the Purchaser shall enforce to the fullest extent. 
  

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 (b) Regulatory Filings; Consents. 
 (i) Subject to the terms and conditions of this Agreement, the parties shall use their respective Best Efforts to (i) make all
necessary and appropriate filings with all applicable Governmental Entities and obtain all required approvals and clearances with respect thereto, which filings, approvals and clearances are set forth in Schedule 5.2(b), (ii) obtain all
consents, waivers, approvals, authorizations and orders required of all other persons in connection with the authorization, execution and delivery of this Agreement and the consummation of the Contemplated Transactions, and (iii) take, or cause
to be taken, all appropriate action, and do, or cause to be done, all things necessary, proper or advisable to consummate and make effective the Contemplated Transactions as promptly as practicable. 
 (ii) The parties shall use their respective Best Efforts to file or cause to be filed all requisite documents and notifications in
connection with the transaction contemplated by this Agreement required to be filed with any Governmental Entities pursuant to any antitrust or competition law within ten (10) business days after the date hereof, and in any event shall do so as
soon as practicable. The parties shall equally pay any filing fees required in connection with such notifications, filings or submissions. The parties shall promptly respond to any inquiry or requests for additional information from any Governmental
Entities in connection with such notifications, filings or submissions and shall promptly provide any supplemental information requested in connection with the notifications, filings and/or submissions. 
 (iii) Subject to such confidentiality restrictions as may be reasonably requested, the Purchaser and the Seller will coordinate and
cooperate with one another in exchanging such information and each will render such assistance as the other may reasonably request in connection with the foregoing, including acting as if all notifications, filings, and submissions are required to
be filed jointly by the Purchaser and the Seller even if formally made by only one Party. In particular, each party shall promptly provide drafts to the other party, allow reasonably adequate time for comment and consult with the other party with
respect to the contents of such notifications, filings, submissions, further documentation and evidence to be submitted to all relevant Governmental Entities. Each party shall promptly disclose to the other all correspondence received from or sent
to any relevant Governmental Entities in connection therewith (including providing copies of filings made at the time such filings are made) and shall keep the other fully informed of any other related communication in whatever form with any of the
relevant Governmental Entities. Each party shall, in each such case, where permitted by the relevant Governmental Entities, allow persons nominated by the other party to attend all meetings with Governmental Entities, and where appropriate make oral
submissions at such meetings. 
  

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 (c) Satisfaction of Conditions Precedent. 
 (i) Each party shall use its respective Best Efforts to satisfy or cause to be satisfied all the conditions precedent that are set forth
in Article 6, and the parties shall use their respective Best Efforts to cause the Contemplated Transactions to be consummated. 
 (ii) Subject to the terms and conditions of this Agreement, each of the parties hereto agrees to use its Best Efforts to take, or cause to be taken, all reasonable actions and to do, or cause to be done, all things
reasonably necessary and appropriate to consummate and make effective, in the most expeditious manner practicable, the transaction contemplated by this Agreement, including obtaining all necessary approvals, waivers, and consents from and avoiding
all actions, objections or proceedings by Governmental Entities and the taking of all reasonable steps as may be necessary to obtain any necessary approval, waiver or consent from, or to avoid any action, objection or proceeding by any Governmental
Entity. Notwithstanding the foregoing, the Purchaser shall not be required to take any actions in connection with, or agree to, any divestiture, license, hold separate, or other remedy pursuant to this Section 5.2(c). 
 (d) Further Assurances. Prior to and following the Closing, each party shall cooperate fully with the other parties, shall execute such further
instruments, documents and agreements and shall give such further written assurances, as may be reasonably requested by any other party to evidence the Contemplated Transactions and to carry into effect the intents and purposes of this Agreement.

 (e) Third Party Consents. Notwithstanding any other provision of this Agreement, this Agreement does not effect an assignment of
any contract, instrument or other right otherwise included in the Acquired Assets, which does not by its terms expressly permit assignment or for which the Seller has not obtained a required consent to assignment or given a required notice as of the
Closing. As to any of those agreements so designated in writing by the Purchaser and listed on Schedule 5.2(e) of this Agreement, the Seller shall use its Best Efforts to assist Purchaser in obtaining any required consent(s) promptly after
the Closing. 
 (f) Customer Visits. The Seller shall arrange meetings between the Purchaser, the Seller and each Material Customer
within 20 business days following the date of this Agreement. The Seller and the Purchaser shall promptly (but in any event within three (3) business days) notify the other party of its receipt from a Material Customer of such Material
Customer’s intention to terminate or substantially reduce its purchases (compared to the 2008 Fiscal Period levels). 
 (g) Supplier
Visits. The Seller shall arrange meetings between the Purchaser, the Seller and each Supplier within 20 business days following the date of this Agreement. The Seller and the Purchaser shall promptly (but in any event within three (3)

  

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business days) notify the other party of its receipt from a Supplier of such Supplier’s intention to terminate or substantially reduce its business
relationship with the Business (compared to the 2007 Fiscal Year and 2008 Fiscal Period levels, on an average aggregate basis). 
 5.3
Preservation of Books and Records. The Purchaser shall preserve and keep, or cause to be preserved and kept, all Books and Records in respect of the Business for the longer of (i) any applicable statute of limitations, (ii) any
specified period of time required under any Included Material Contract to keep or preserve such Included Material Contract and the books and records relating thereto and (iii) a period of seven years from the Closing Date. After such seven year
or longer period, before the Purchaser or any Affiliate shall dispose of any of such Books and Records, the Purchaser shall give not less than 90 days’ prior written notice of such intention to dispose to the Seller, and the Seller shall be
given the opportunity, at its cost and expense, to remove and retain all or any part of such Books and Records as it may elect. 
 5.4 Tax
Identification Numbers. Each of the Purchaser and the Seller Parties shall furnish to the other at the Closing their respective tax identification numbers and such other numbers or certificates reasonably requested by the other to file any Tax
Return. 
 5.5 Bulk Sales. The Seller Parties will have complied with any applicable bulk sales statutes at the time of Closing.

 5.6 Release of Assumed Liabilities. In addition to assuming the Assumed Liabilities at the Closing, the Purchaser shall cooperate
with the Seller Parties and its Affiliates so, that on or before the Closing, the Seller Parties and its Affiliates are absolutely and unconditionally released as of the Closing from each Assumed Liability. The Purchaser shall use its Best Efforts
to assist the Seller Parties after the Closing to the extent the Seller Parties and its Affiliates seek to be relieved of any of the Assumed Liabilities that are not released or otherwise discharged before the Closing. 
 5.7 Notification of Certain Matters. Each party shall give notice to the other promptly after becoming aware of (i) the occurrence or
non-occurrence of any event whose occurrence or non-occurrence would be likely to cause any condition set forth in Article 5 to be unsatisfied at the Closing Date and (ii) any material failure of any party to comply with or satisfy any
covenant, condition or agreement to be complied with or satisfied by it hereunder; provided, however, that (x) the delivery of any notice pursuant to this Section 5.7 shall not limit or otherwise affect the remedies available
hereunder to the party receiving such notice and (y) the obligation to give such notice shall not be required from and after the time the party to whom such notice is to be given has actual knowledge of the information required to be included
in such notice. 
 5.8 Joinder by Subsidiaries. Within twenty (20) business days after the date of this Agreement, the
Seller shall cause each of GHC, SEA and Müller to take all appropriate corporate or other actions and to execute any and all necessary documents to become a party to this Agreement and at such time each of GHC, SEA and Müller shall be
deemed to have been a party to this Agreement effective on the date hereof. 
 5.9 Collective Bargaining Agreement. The Seller
Parties shall promptly deliver to the Purchaser copies of any written materials delivered or received relating to the Collective 

  

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Bargaining Agreement, and the Seller Parties shall consult with the Purchaser as to any negotiations or discussions related to the Collective Bargaining
Agreement and shall keep the Purchaser updated with respect to the status of any negotiations or discussions with respect thereto. 
 5.10
Environmental Reports. The Seller Parties shall address, to the reasonable satisfaction of the Purchaser, the matters set forth in Section 2.14 of the Disclosure Schedules; provided, however, that the Seller Parties
shall not be responsible for more than $25,000 of aggregate costs and expenses in connection with Item 3 set forth in Section 2.14 of the Disclosure Schedules. 
 5.11 Financing Covenant. In the event that the Seller Parties have opportunities to expand the Business which, but for the existing limitations
under both the Seller Parties’ Citibank Letter of Credit and available Working Capital as deployed in the Ordinary Course consistent with current working capital levels, the Seller Parties would pursue, the Seller Parties shall promptly inform
the Purchaser and the Seller Parties and the Purchaser shall use their respective Best Efforts to enter into an arms-length, market agreement for a loan or other credit arrangement of up to $20.0 million USD from the Purchaser to the Seller Parties
for the purchase of gold, to the fullest extent permitted by governmental regulations. 
 ARTICLE 6 
 CONDITIONS PRECEDENT TO THE CLOSING 
 6.1 Conditions to the Obligations of the Seller Parties. The obligations of the Seller Parties to close the Contemplated Transactions are subject to the fulfillment or satisfaction on and as of the Closing of each of the following
conditions (any one or more of which may be waived by the Seller, but only in a writing signed by the Seller). 
 (a) Accuracy of
Representations and Warranties. The representations and warranties of the Purchaser in Article 4 shall be accurate in all material respects as of the Closing (except to the extent any such representation or warranty expressly speaks as of
the date of this Agreement or any other specific date, in which case such representation or warranty shall have been accurate in all material respects as of such date). 
 (b) Covenants. The Purchaser shall have performed or complied in all material respects with its agreements and covenants required to be performed or complied with under this Agreement as of or before the
Closing Date. 
 (c) Authorizations. The Seller shall have received from the Purchaser written evidence that the execution, delivery
and performance of the Purchaser’s obligations under this Agreement have been duly and validly approved and authorized and that all necessary corporate or organizational approvals of the Purchaser have been obtained. 
 (d) No Litigation. No judgment, writ or order of any Governmental Entity or other legal restraint or prohibition shall be in effect, and no Legal
Proceeding shall be pending or threatened that in any case would (i) prevent the Contemplated Transactions, or (ii) cause the Contemplated Transactions to be rescinded. 
  

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 (e) Government Approvals. All consents, waivers and approvals of any Governmental Entity required
to be obtained before consummation of the Contemplated Transactions shall have been obtained. 
 (f) Other Transaction Agreements and
Related Instruments. The Purchaser shall have executed and delivered the Transaction Agreements to which it is party and, assuming due execution and delivery by the applicable members of the Seller Parties of each such agreement, such other
Transaction Agreements shall be in full force and effect. In addition, the Purchaser shall have executed and delivered to the Seller the applicable Acquired Assets Transfer Documents. 
 (g) Officer’s Certificate. The Purchaser shall have delivered to the Seller a certificate signed by an officer of the Purchaser to the
effect that each of the conditions specified in this Agreement (insofar as Section 6.1(d) relates to Legal Proceedings involving the Purchaser) is satisfied in all respects. 
 (h) Employee Matters. The Purchaser shall have made the offers of employment to each of the Active Employees or shall have informed the Active
Employees both in compliance with Section 10.1(c). 
 6.2 Conditions to the Purchaser’s Obligations. The obligations
of the Purchaser to close the Contemplated Transactions are subject to the fulfillment or satisfaction on and as of the Closing of each of the following conditions (any one or more of which may be waived by the Purchaser, but only in a writing
signed by the Purchaser): 
 (a) Accuracy of Representations and Warranties. 
 (i) The representations and warranties of the Seller Parties in Article 2 shall be accurate in all respects as of the Closing
(except to the extent any such representation or warranty expressly speaks as of the date of this Agreement or any other specific date, in which case such representation or warranty shall have been accurate in all respects as of such date) (it being
understood for purposes of determining the accuracy of the representations or warranties, such representations and warranties shall be read without reference to materiality or knowledge qualifications and any update of or modification to the
Disclosure Schedules made or purported to be made on or after the date of this Agreement shall be disregarded, other than any updates to reflect changes in the Business after the date of this Agreement in the Ordinary Course), except that,
notwithstanding the foregoing, any inaccuracies in such representations and warranties shall be disregarded for purposes of this Section 6.2(a) if such inaccuracies, considered collectively, do not have a Material Adverse Effect as of
the Closing Date. 
 (ii) The representations and warranties of the Seller in Article 3 shall be accurate in all
respects as of the Closing (except to the extent any such representation or warranty expressly speaks as of the date of this Agreement or any other specific date, in which case such representation or warranty shall have 

  

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been accurate in all respects as of such date) (it being understood for purposes of determining the accuracy of the representations or warranties, such
representations and warranties shall be read without reference to materiality or knowledge qualifications and any update of or modification to the Disclosure Schedules made or purported to be made on or after the date of this Agreement shall be
disregarded, other than any updates to reflect changes in the Business after the date of this Agreement in the Ordinary Course), except that, notwithstanding the foregoing, any inaccuracies in such representations and warranties shall be disregarded
for purposes of this Section 6.2(a) if such inaccuracies, considered collectively, do not have a Material Adverse Effect as of the Closing Date. 
 (b) Covenants. The Seller Parties shall have performed or complied in all respects with their agreements and covenants required to be performed or complied with under this Agreement as of or before the Closing
Date, except that any failure to perform or comply with such agreements or covenants shall be disregarded for purposes of this Section 6.2(b) if such failures, considered collectively, do not have a Material Adverse Effect as of the
Closing Date. 
 (c) Authorizations. The Purchaser shall have received from the Seller Parties written evidence that the execution,
delivery and performance of their obligations under this Agreement have been duly and validly approved and authorized and that all necessary corporate or organizational approvals of the Seller Parties have been obtained, including without limitation
written evidence that each of GHC, SEA and Müller has taken all necessary corporate or other actions and has become a party to this Agreement pursuant to Section 5.8. 
 (d) No Litigation. No judgment, writ or order of any Governmental Entity or other legal restraint or prohibition shall be in effect, and no Legal
Proceeding shall be pending or threatened, that in any case would (i) prevent the Contemplated Transactions, or (ii) cause the Contemplated Transactions to be rescinded. 
 (e) Government Approvals. All consents, waivers and approvals of any Governmental Entity required to be obtained before consummation of the
Contemplated Transactions shall have been obtained. 
 (f) Payoff Letters. The Seller Parties shall have delivered, or caused to be
delivered, payoff letters from creditors of the Seller Parties terminating all liens or encumbrances on any of the Acquired Assets (the “Payoff Letters”). 
 (g) Release of Encumbrances. The Seller Parties shall have delivered, or caused to be delivered, such documents as are necessary to terminate and
release all Encumbrances in the Acquired Assets (other than Permitted Encumbrances). 
 (h) Consents. The Seller Parties shall have
delivered, or caused to be delivered, the consents or approvals set forth on Section 6.2(h) of the Disclosure Schedules attached hereto of such parties identified by the Purchaser to be required with respect to certain Material Contracts
and the Licenses and Permits in connection with the consummation of the Contemplated Transactions. 
  

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 (i) Inventory. Prior to the Closing Date, the Seller Parties shall cause a complete physical
inventory of the Inventory including consignment inventory at customer locations to be taken jointly by the Seller Parties and the Purchaser as of the Closing Date. The results of such inventory shall be used to determine the amount of Inventory of
the Business on the Closing Date to be included in the Closing Statement. 
 (j) No Material Adverse Change. Since the date of this
Agreement, there shall not have been any Material Adverse Change. 
 (k) Continuing Employees. No more than twenty percent
(20%) of the Active Employees shall have indicated that they will not continue employment with the Purchaser following the Closing. 
 (l) Key Employment Agreements. Each of the employees of the Business listed on Section 6.2(l)(i) of the Disclosure Schedules as Level 1 Key Employees shall have entered into an employment agreement with the Purchaser and
at least seven of the employees of the Business listed on Section 6.2(l)(ii) of the Disclosure Schedules as Level 2 Key Employees shall have entered into an employment agreement with the Purchaser. 
 (m) Opinion. An opinion of counsel to the Seller Parties addressed to the Purchaser and dated as of the Closing Date, in form and substance
acceptable to the Purchaser. 
 (n) Other Transaction Agreements and Related Instruments. The Seller Parties shall have executed and
delivered the other Transaction Agreements and, assuming due execution and delivery by the Purchaser of each such agreement to which they are parties, such Transaction Agreements shall be in full force and effect. In addition, the Seller Parties
shall have executed and delivered to the Purchaser the applicable Acquired Assets Transfer Documents. 
 (o) Officer’s
Certificate. The Seller shall have delivered to the Purchaser a certificate signed by an officer of each of the Seller Parties to the effect that each of the conditions specified in this Agreement (insofar as Section 6.2(d) relates
to Legal Proceedings involving the Seller Parties) is satisfied in all respects. 
 ARTICLE 7 
 TERMINATION OF AGREEMENT 
 7.1
Termination. This Agreement may be terminated at any time before the Closing: 
 (a) By the mutual consent of the Purchaser and the
Seller; 
 (b) By either the Purchaser or the Seller for any reason if the Closing has not occurred by the date that is 120 days following
the date of this Agreement, unless otherwise 

  

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mutually agreed in writing by the parties, or such later date as the parties may agree in writing; provided, however, that such 120-day period
shall be automatically be extended for an additional 50 days in the event that the Closing has not occurred solely because of the failure to obtain the approvals or clearances of the applicable Governmental Entities in the countries set forth in
Schedule 5.2(b) that are necessary to satisfy Section 6.2(e); and provided further, however, that a party shall not have the right to terminate this Agreement under this provision as a result of such party’s
failure to perform any of its obligations hereunder (except the failure on the part of such party to satisfy a closing condition over which such party has no control); 
 (c) By either the Purchaser or the Seller if any Governmental Entity has issued an order, injunction, decree or ruling or taken any other action enjoining, restraining or otherwise prohibiting the Contemplated
Transactions; 
 (d) By the Purchaser, if, with respect to each landlord for each Leased Real Property, if neither the Purchaser or any
Affiliate of the Purchaser has entered into and accepted a binding letter of intent or letter of offer, as applicable, with such landlord on market terms and conditions, unless a Seller Party has entered into a lease with such landlord on market
terms and conditions which the Seller Parties may novate to the Purchaser or may transfer to the Purchaser according to Article 263 of the CO, which lease includes, in each case, a three-year extension and a three-year option to renew; provided,
however, that the Purchaser’s right to terminate this Agreement pursuant to this Section 7.2(d) shall be exercisable only within 20 business days after the date of this Agreement; 
 (e) By the Purchaser, if the Purchaser has not entered into a contract on market terms and conditions with AGR Matthey for the supply of gold; provided,
however, that the Purchaser’s right to terminate this Agreement pursuant to this Section 7.2(e) shall be exercisable only within 20 business days after the date of this Agreement; and provided, further, that the Purchaser’s
right to terminate this Agreement pursuant to this Section 7.2(e) shall be exercisable beyond such 20 business day period, but in any event not to exceed an additional 20 business day period, if the Purchaser has not entered into such
contract despite the Purchaser’s good faith and diligent efforts and the Purchaser diligently and in good faith continues to pursue such contract; 
 (f) By the Purchaser, if Material Customers provide notice to the Purchaser or the Seller of their intention to terminate or substantially reduce their purchases solely as a result of the Contemplated Transactions,
which terminations or substantial reductions represent in the aggregate 15% or more of the consolidated sales of the Business (based on 2008 Fiscal Period levels); provided, however, that such intention of the Material Customers to terminate or
substantially reduce their purchases is not attributable to any action or inaction of the Purchaser (provided that the Purchaser’s communication of its willingness to continue the business relationship with a Material Customer on substantially
the same terms and conditions as currently existing for the 2008 Fiscal Period with the Seller Parties shall not be deemed such an action or inaction); and provided, further, that the Purchaser’s right to terminate this Agreement pursuant to
this Section 7.2(f) shall be exercisable only within five (5) business days of the Purchaser’s receipt of any such notices from Material Customers; or 
  

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 (g) By the Purchaser, if any Supplier provides notice to the Purchaser or the Seller of its intention to
terminate or substantially reduce its business relationship with the Business (compared to 2007 Fiscal Year and 2008 Fiscal Period levels, on an average aggregate basis) solely as a result of the Contemplated Transactions; provided, however, that
such intention of a Supplier to terminate or substantially reduce its business relationship is not attributable to any action or inaction of the Purchaser (provided that the Purchaser’s communication of its willingness to continue the business
relationship with a Supplier on substantially the same terms and conditions as currently existing for the 2008 Fiscal Period with the Seller Parties shall not be deemed such an action or inaction); and provided, further, that the Purchaser’s
right to terminate this Agreement pursuant to this Section 7.2(g) shall be exercisable only within five (5) business days of the Purchaser’s receipt of any such notices from a Supplier. 
 Any termination of this Agreement under this Section 7.1 shall be effected by the delivery of notice by the terminating party to the other party. 

7.2 Effect of Termination. Upon termination of this Agreement pursuant to this Article 7, this Agreement and the rights and obligations
of the parties under this Agreement shall automatically end without any Liability against any party or its Affiliates, except that nothing in this Section 7.2 shall relieve any party from Liability for the breach of any provisions of
this Agreement before termination and further provided that the provisions of Section 5.2(a) [Confidentiality], this Section 7.2, Section 7.3 [Certain Effects of Termination],
Section 11.1 [Governing Laws and Forum], Section 11.2 [Limitation on Liability] and Section 11.7 [Expenses] shall remain in force and survive any termination of this Agreement. 
 7.3 Certain Effects of Termination. If the Purchaser or the Seller terminates this Agreement pursuant to this Article 7, each party shall
comply with the Nondisclosure Agreement, including the provisions regarding the return and/or destruction of any documents furnished to the other parties in connection with this Agreement. 
 ARTICLE 8 
 INDEMNIFICATION 
 8.1 Indemnification by the Seller. If the Closing occurs, and subject to the limitations set forth in this Article 8, the Seller Parties
shall, jointly and severally, during the Indemnification Period, indemnify, defend and hold harmless the Purchaser and its stockholders, directors, officers, employees, agents and Affiliates (collectively, the “Purchaser
Indemnitees”) from and against any and all Damages (other than Damages with respect to Taxes, for which the provisions of Section 9.1 shall govern exclusively) incurred or suffered by the Purchaser Indemnitees to the extent
arising or resulting from the following: 
 (a) any breach of any representation or warranty set forth in Article 2 or Article
3; 
 (b) any breach of any covenant of the Seller Parties set forth in this Agreement; 
  

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 (c) any Retained Liability or other Liability relating to or arising out of the operation of the
Business by the Seller Parties before the Closing Date other than the Assumed Liabilities; and 
 (d) any claim (i) arising from or in
connection with the employment of the Continuing Employees or other employees of the Seller Parties before the Closing Date, or (ii) arising from participation by the Continuing Employees in any equity compensation plan or program of the Seller
before the Closing Date. 
 8.2 Indemnification by the Purchaser. If the Closing occurs, the Purchaser shall indemnify, defend and
hold harmless the Seller Parties and its stockholders, directors, officers, employees, agents and Affiliates (collectively, the “Seller Indemnitees”) from and against any and all Damages (other than Damages with respect to Taxes,
for which the provisions of Section 9.1 shall govern exclusively) incurred or suffered by the Seller Indemnitees to the extent arising or resulting from the following: 
 (a) any breach of any representation or warranty set forth in Article 4; 
 (b) any breach of any covenant of the Purchaser set forth in this Agreement; 
 (c) any Assumed Liability; 
 (d) the
conduct of the Business and ownership of the Acquired Assets by the Purchaser (or its assignees or transferees) following the Closing; and 
 (e) any claim (i) arising from or in connection with the employment of the Continuing Employees or any other employees on or after the Closing Date, including without limitation any change in the terms of employment or employment
benefits or any termination of employment and subject that the basis for such claim was not constituted before the Closing Date, or (ii) from or in connection with a change in the working conditions of a Continuing Employee made or proposed to
be made by the Purchaser on or after the Closing Date. 
 8.3 Claim Procedure. 
 (a) Claim Notice. A party that seeks indemnity under this Article 8 (an “Indemnified Party”) shall give written notice (a
“Claim Notice”) to the party from whom indemnification is sought (an “Indemnifying Party”) promptly upon becoming aware of the matters forming the basis of such claim, whether the Damages sought arise from matters
solely between the parties or from third party claims described in Section 8.3(d). The Claim Notice shall contain (i) a description and, if known, estimated amount (the “Claimed Amount”) of any Damages incurred or
reasonably expected to be incurred by the Indemnified Party, (ii) a reasonable explanation of the basis for the Claim Notice to the extent of facts then known by the Indemnified Party, and (iii) a demand for payment of those Damages.

 (b) Response to Claim Notice. Within 60 days after delivery of a Claim Notice, the Indemnifying Party shall deliver to the
Indemnified Party a written response (the “Response”) in which the Indemnifying Party shall either: 
 (i)
agree that the Indemnified Party is entitled to receive all of the Claimed Amount, and the Indemnifying Party shall pay the Claimed Amount in accordance with a payment and distribution method reasonably acceptable to the Indemnified Party; or

  

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 (ii) dispute that the Indemnified Party is entitled to receive all of the Claimed Amount
(in such an event, the Response shall be referred to as an “Objection Notice”). 
 (c) Contested Claims. If the
Indemnifying Party disputes its obligation to pay the Claimed Amount, the Indemnified Party shall submit the matter to binding arbitration as set forth below prior to the expiration of the relevant Indemnification Period set forth in
Section 8.4. 
 (i) General. The arbitration shall be conducted in accordance with the provisions of the
rules of the United Nations Commission on International Law (“UNCITRAL”) and shall be administered by the International Center for Dispute Resolutions of the American Arbitration Association as appointing authority. In the event of
any conflict between such rules and this Section 8.3(c), the provisions of this Section 8.3(c) shall govern. 
 (ii) Appointment of Arbitrators. Each party shall select an arbitrator of its choice within twenty (20) days of the giving or receipt of notice of arbitration. The two appointed arbitrators shall, in turn, select a third
presiding arbitrator. If the two appointed arbitrators shall be unable to agree upon the presiding arbitrator or if any party fails or refuses to appoint an arbitrator, the appointing authority shall have the power to make the appointment.

 (iii) Place of Proceedings. The arbitration, including the rendering of the award, shall take place in New York, New
York. 
 (iv) Award. The award of the arbitrators shall be reasoned and in writing and furnished within thirty
(30) days of the last day of the hearing, and shall be final and binding upon the parties. Neither party shall appeal the award to any court. Judgment for enforcement of the award of the arbitrators may be entered in any court having
jurisdiction thereof. 
 (v) Expenses. The costs and fees of the arbitrators and the arbitration proceedings shall be
borne by the non-prevailing party. 
 (d) Third Party Claims. 
 (i) If an Indemnified Party receives notice or otherwise learns of the assertion by a person other than a Purchaser Indemnitee or Seller
Indemnitee of any claim with respect to which the Indemnifying Party may be obligated to provide indemnification under this Article 8, the Indemnified Party shall give written notification to the Indemnifying Party within five days
thereafter. Such notice shall be accompanied by reasonable supporting documentation submitted 

  

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by such third party (to the extent then in the possession of the Indemnified Party) and shall describe in reasonable detail (to the extent known by the
Indemnified Party) the facts constituting the basis for such suit or proceeding and the amount of the claimed damages; provided, however, that no delay or deficiency on the part of the Indemnified Party in so notifying the Indemnifying
Party shall relieve the Indemnifying Party of any Liability or obligation hereunder except to the extent of any Damage or Liability caused by or arising out of such failure or to the extent such delay or deficiency prejudices or otherwise adversely
affects the rights of the Indemnifying Party with respect thereto. Within 20 days after delivery of such notification, the Indemnifying Party may, upon written notice to the Indemnified Party, assume control of the defense of such suit or proceeding
with counsel reasonably satisfactory to the Indemnified Party; provided, however, that the Indemnifying Party may not assume control of the defense of a suit or proceeding involving criminal liability. If the Indemnifying Party does
not so assume control of such defense, the Indemnified Party shall control such defense. 
 (ii) The party not controlling
such defense (the “Non-controlling Party”) may participate therein at its own expense; provided, however, that if the Indemnifying Party assumes control of such defense and the Indemnified Party concludes, upon the
written opinion of counsel, that the Indemnifying Party and the Indemnified Party have conflicting interests or different defenses available with respect to such suit or proceeding, the reasonable fees and expenses of counsel to the Indemnified
Party shall be considered “Damages” for purposes of this Agreement. The Indemnified Party shall be entitled to participate in the defense with counsel of its own choosing at the Indemnified Party’s own cost and expense. The party
controlling such defense (the “Controlling Party”) shall keep the Non-controlling Party reasonably advised of the status of such suit or proceeding and the defense thereof and shall consider in good faith recommendations made by the
Non-controlling Party with respect thereto. The Non-controlling Party shall furnish the Controlling Party with such information as it may have with respect to such suit or proceeding (including copies of any summons, complaint or other pleading that
may have been served on such party and any written claim, demand, invoice, billing or other document evidencing or asserting the same) and shall otherwise cooperate with and assist the Controlling Party in the defense of such suit or proceeding.

 (iii) The Indemnifying Party shall not agree to any settlement of, or the entry of any judgment arising from, any such suit
or proceeding without the prior written consent of the Indemnified Party, which shall not be unreasonably withheld, conditioned or delayed; provided, however, that the consent of the Indemnified Party shall not be required if the
Indemnifying Party agrees to pay any amounts payable pursuant to such settlement or judgment and such settlement or judgment includes a full, complete and unconditional release of the Indemnified Party from further Liability. The Indemnified Party
shall not agree to any settlement of, or the entry of any judgment arising from, any such suit or proceeding without the prior written consent of the Indemnifying Party. 
  

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 8.4 Survival of Representations and Warranties and Covenants. The representations and warranties
and covenants contained in this Agreement shall (i) survive the Closing and (ii) expire as follows (the period through the relevant expiration date being referred to as the “Indemnification Period” in this Agreement):

 (a) the representations and warranties set forth in Section 2.13 (Environmental Matters) shall expire on the five-year
anniversary of the Closing Date; 
 (b) the representations and warranties set forth in Section 2.1 and 3.1 (Corporate
Organization), Section 2.2 and 3.2 (Authorization), and Section 2.17 (Licenses and Permits) shall survive the Closing indefinitely; 
 (c) other than the representations and warranties described in Section 8.4(a) and
(b), the representations and warranties set forth in Articles 2, 3 and 4 shall expire on the 366th day following the
Closing Date; and 
 (d) the Seller Parties’ covenants and the Purchaser’s covenants shall survive the Closing indefinitely unless
expressly limited to a specific time period. 
 Notwithstanding the foregoing, claims for indemnification pursuant to this Article 8 for
(i) breaches of any representations and warranties arising from fraud or intentional misrepresentation or willful breach, (ii) liability of the Seller Parties for the Retained Liabilities or (iii) liability of the Purchaser for the
Assumed Liabilities, shall survive indefinitely. 
 If an Indemnified Party delivers to an Indemnifying Party, before expiration of the
Indemnification Period, a Claim Notice that the Indemnified Party reasonably expects to incur Damages as a result of a breach of a representation and warranty set forth herein, which notice shall describe such breach and Damages in reasonable detail
(an “Expected Claim Notice”), then the applicable representation or warranty shall survive until, but only for purposes of, the resolution of the matter covered by such notice; provided, however, that the Indemnified
Party is actively pursuing the resolution of such matter. If the legal proceeding with respect to which an Expected Claim Notice has been given is definitively withdrawn or resolved in favor of the Indemnified Party, the Indemnified Party shall
promptly so notify the Indemnifying Party. 
 8.5 Limitations. 
 (a) Seller’s Liability. 
 (i) In no event shall the Seller’s Liability or the Purchaser’s Liability under this Agreement (whether under this Article 8 or otherwise) exceed fifteen percent (15%) of the Purchase Price (the “Indemnity
Cap”); provided, however, that the Indemnity Cap shall not apply to (A) any Damages arising under Section 9.1(a), (B) any intentional misrepresentation or willful breach of any matter contained herein or
fraud; (C) breaches of the representations and warranties described in Sections 8.4(a) and (b); (D) any Retained Liability or Assumed Liability; or (E) breaches of any of Seller Parties’ or Purchaser’s 

  

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covenants herein. With respect to breaches of the representations and warranties described in Sections 8.4(a) and (b), in no event shall the
Seller’s Liability under this Agreement (whether under this Article 8 or otherwise) exceed one hundred percent (100%) of the Purchase Price. 
 (ii) Notwithstanding anything to the contrary in this Agreement, neither the Purchaser Indemnitees nor the Seller Indemnitees shall be
entitled to assert any claims for indemnification under this Article 8 or Article 9 unless and until the aggregate Damages are in excess of $1,600,000 (the “Aggregate Basket Amount”) and, in such event, for the amount
of all such Damages, subject to Section 8.5(a)(i); provided, however, that the Aggregate Basket Amount shall not apply to (A) any Damages arising under Section 9.1(a), (B) any intentional
misrepresentation or willful breach of any matter contained herein or fraud; (C) any Retained Liability or Assumed Liability; or (D) breaches of any of Seller Parties’ or Purchaser’s covenants herein. Neither the Purchaser
Indemnitees or Seller Indemnitees shall be entitled to assert any claims for indemnification under this Article 8 or Article 9 in an amount less than $25,000 (the “Individual Basket Amount”); provided, however, that the Individual
Basket Amount shall not apply to (A) any Damages arising under Section 9.1(a); (B) any intentional misrepresentation or willful breach of any matter contained herein or fraud; (C) any Retained Liability or Assumed
Liability; or (D) breaches of any of Seller Parties’ or Purchaser’s covenants herein. 
 (iii) The parties
acknowledge that, except as expressly provided in Article 2 or Article 3, (A) the Seller Parties have not made nor are making any representations and warranties whatsoever regarding the subject matter of this Agreement, express or
implied, and (B) the Purchaser is not relying and has not relied on, any representations, warranties or commitments whatsoever regarding the subject matter of this Agreement, express or implied. 
 (iv) Without limiting the effect of any other limitation contained in this Article 8, for purposes hereof, no representation or
warranty of the Seller Parties in Article 2 or Article 3 is deemed to be or to have been inaccurate if (I) the Purchaser (including any of the Purchaser’s Representatives) obtained actual knowledge of the inaccuracy of such
representation or warranty before the Closing and (II) the Purchaser elected nonetheless to proceed with the Closing. 
 (v)
Except as set forth in Section 8.5(a)(iv), the representations, warranties and covenants of the Seller Parties shall not be affected or deemed waived by reason of any investigation made by or on behalf of the Purchaser (including any of
the Purchaser’s Representations) or by reasons of any facts or circumstances that the Purchaser or any of the Purchaser’s Representatives should have known but did not actually know. 
 (b) Other Benefits. The amount of any and all Damages for which indemnification is provided pursuant to this Article 8 or Article 9
shall be net of (i) any Tax benefit or Tax Attribute (net of any associated Tax cost) to which an Indemnified Party is entitled by 

  

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reason of (A) payment by such Indemnified Party of such Damages, (B) the receipt of any indemnification payment hereunder, or (C) any
adjustment of any Tax item which gives rise to any Damages and (ii) the amount of any insurance proceeds, indemnification payments from third parties, contribution payments or reimbursements actually received by the Indemnified Party with
respect to such Damages. 
 8.6 Exclusive Remedy. Except for the remedy of specific performance prior to the Closing or pursuant to
Section 10.3(b) and except as otherwise provided in Article 9, the Seller and the Purchaser acknowledge and agree that, following the Closing, the indemnification provisions of Sections 8.1 and 8.2 shall, in the
absence of fraud, be the sole and exclusive remedies of the Seller and the Purchaser, respectively, for any breach of the representations or warranties in this Agreement and for any failure to perform or comply with any covenants or agreements
contained herein. In furtherance of, and subject to, the foregoing, each party hereto hereby waives, on behalf of itself and, as applicable, the Purchaser Indemnitees or the Seller Indemnitees, from and after the Closing, any and all rights, claims
and causes of action it may have against the Indemnifying Parties arising under or based upon any applicable law (including Environmental laws) or otherwise (except pursuant to the indemnification provisions set forth in this Article 8).

 8.7 Additional Indemnification Provisions. In any case where an Indemnified Party recovers from a third person any amount in
respect of a matter for which an Indemnifying Party has previously indemnified it pursuant to this Article 8, the Indemnified Party shall promptly pay over to the Indemnifying Party the amount so recovered (after deducting therefrom the
amount of expenses incurred by it in procuring such recovery), but not in excess of the sum of (i) any amount previously paid by the Indemnifying Party to or on behalf of the Indemnified Party in respect of such claim and (ii) any amount
expended by the Indemnifying Party in pursuing or defending any claim arising out of such matter. Upon payment in full of any such amounts recovered, the Indemnifying Party shall be subrogated to the extent of such payment to the rights of the
Indemnified Party against any person (other than an Indemnified Party) with respect to the subject matter of such claim. Any Indemnified Party shall assign or otherwise reasonably cooperate with the Indemnifying Party to pursue any claims against,
or otherwise recover amounts from, any person liable or responsible for any Damages for which indemnification has been received pursuant to this Agreement. The obligations of the Seller to indemnify and hold harmless any Purchaser Indemnitees
under this Article 8 shall terminate when the applicable representation, warranty or covenant terminates pursuant to Section 8.4. No Purchaser Indemnitee shall have the right to assert any claim for indemnification against the
Seller unless such claim has been made with reasonable specificity pursuant to Section 8.3 within the time periods provided in Section 8.4. The obligations of the Purchaser to indemnify and hold harmless any Seller
Indemnitees under this Article 8 shall terminate when the applicable representation, warranty or covenant terminates pursuant to Section 8.4. No Seller Indemnitee shall have the right to assert any claim for indemnification
against the Purchaser unless such claim has been made with reasonable specificity pursuant to Section 8.3 within the time periods provided in Section 8.4. 
 8.8 Mitigation. Each of the parties shall take all reasonable steps to mitigate their respective actual damages upon and after becoming aware of
any event or condition that would reasonably be expected to give rise to any actual Damages that are indemnifiable hereunder. 
  

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 8.9 Characterization of Payments. Except as otherwise required by applicable law, the parties
shall treat any indemnification payment made under this Agreement as an adjustment to the Purchase Price. 
 8.10 Exercise of Remedies by
Purchaser Indemnitees Other than the Purchaser. No Purchaser Indemnitee (other than the Purchaser or any successor or assignee of the Purchaser) is entitled to assert any indemnification claim or exercise any other remedy under this Agreement
unless the Purchaser (or any successor or assignee of the Purchaser) consents to the assertion of the indemnification claim or the exercise of the other remedy. No Purchaser Indemnitee is entitled to assert any indemnification claim or exercise any
other remedy under this Agreement against any Affiliate of the Seller Parties. 
 ARTICLE 9 
 CERTAIN TAX MATTERS 
 9.1 Liability
and Indemnification for Taxes. 
 (a) The Seller shall indemnify the Purchaser against all Damages for Taxes assessed against the
Purchaser with respect to the Business that are attributable to the Pre-Closing Tax Period. 
 (b) The Purchaser shall indemnify the Seller
Parties and any of their Affiliates against all Damages for Taxes assessed against the Seller Parties that are attributable to the Purchaser’s conduct of the Business during any Post-Closing Tax Period. 
 (c) With respect to any Straddle Period, any Damages for Taxes shall be allocated between the Pre-Closing Tax Period and the Post-Closing Tax Period by
closing the books at the end of the Closing Date, except that Tax items of a periodic nature, such as property taxes or depreciation allowances calculated on an annual basis, shall be allocated by apportioning a pro-rata portion of such Taxes to
each day in the relevant Straddle Period. 
 (d) The Purchase Price shall be exclusive of any goods and services tax, sales, use,
value-added, transfer or similar Taxes (collectively, “GST”). The parties shall use their respective Best Efforts to satisfy the requirements of the Singapore tax authorities so that the supply or transfer of the Acquired Assets is
regarded as a transfer of a business as a going concern for purposes of the Goods and Services Tax Act (Cap 117A) (the “GST Act”), including without limitation each Party ensuring that it is a registered taxable person for purposes
of the GST Act and the Purchaser providing written confirmations as required by any of the Seller Parties. The parties shall use their respective Best Efforts to satisfy any similar requirement of the Swiss tax authorities so that the supply or
transfer of the Acquired Assets is regarded as a transfer of a business as a going concern for purposes of Swiss GST law. Following the Closing Date, the Purchaser shall conduct the Business as a going concern and the Acquired Assets will be used
for the purposes of the Business. In the event that it is determined that any GST is payable for the supply or transfer of the Acquired Assets, the relevant Seller Parties shall immediately issue a valid tax invoice for GST purposes to the
Purchaser, and after receipt of the valid tax invoice for GST purposes the Purchaser shall promptly pay to the Seller an amount equal to such GST. 
  

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 (e) The Purchaser shall be responsible for paying any stamp duty or stamp tax required in connection
with the transfer of the Acquired Assets. 
 9.2 Apportionment and Allocation of Purchase Price. The total consideration provided by
the Purchaser, including the Purchase Price and the aggregate amount of Assumed Liabilities, shall be apportioned among the Seller Parties and Purchaser parties in accordance with Schedule 9.2 (a), and shall be allocated among the Acquired
Assets in accordance with Schedule 9.2 (b). For all tax and accounting purposes, each party to the transactions under this Agreement shall report the effects of such transactions consistently with such allocation. 
 9.3 Cooperation. Each of the Seller Parties and the Purchaser shall: 
 (a) Provide assistance to the other party as reasonably requested in preparing and filing Tax Returns, including filing the necessary documents in
connection with the transfer of assets (reporting procedures), responding to Tax Contests and recovering any GST; 
 (b) Make available to
the other party as reasonably requested all information, records and documents relating to Taxes concerning the Business; and 
 (c) Retain
any books and records that could reasonably be expected to be necessary or useful in connection with any preparation by any other party of any Tax Returns, for any audit, examination or proceeding relating to Taxes. Such books and records shall be
retained until the expiration of the applicable statute of limitations (including extensions thereof). 
 ARTICLE 10 
 OTHER AGREEMENTS 
 10.1 Employee
Benefits. 
 (a) Except as otherwise provided in this Agreement, the Seller shall be responsible for all obligations owed to the
employees of the Business who are employed by the Seller Parties as of the date hereof (the “Active Employees”) for all periods through the close of business on the Closing Date, including all wages and other remuneration due to all
Active Employees with respect to their services as employees of the Seller Parties as of and through the close of business on the Closing Date, including all vacation pay and severance pay, if any, earned and payable through the Closing Date.

 (b) The Purchaser shall not assume, honor or accept any Employee Benefit Plan. For all employees being transferred under article 333 CO,
the Purchaser will provide an employment benefit plan in accordance with their employment agreements. The Seller shall be solely liable and responsible for satisfying all obligations (whether arising under federal, state or local law, or pursuant to
contract or otherwise) that may arise or that may have arisen on or before the Closing Date in connection with (i) the employment by the Seller Parties of their respective employees (or the termination thereof), (ii) the engagement of
consultants, agents or other non-employee service providers, (iii) the creation, funding or operation of any of the Seller Parties’ respective Employee Benefit Plans that cover any of the Seller Parties’ 

  

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respective employees, consultants, agents or non-employee service providers, or (iv) the transactions described in this Agreement, including but not
limited to compliance with the health care continuation requirements under ERISA and the Code for current or former employees of the Seller Parties (or their eligible dependents). At or prior to Closing, the Seller Parties agree to pay to their
employees amounts owing to such employees for the pro-rata portion, if any, of amounts payable under any incentive program for the portion of the current fiscal year ending on the Closing Date. 
 (c) The Purchaser shall offer to employ each of the Active Employees listed on Section 10.1(c) of the Disclosure Schedules (each, upon
acceptance of such offer, a “Continuing Employee”) either, in relation to employees covered under the Employment Act of Singapore (the “EA”), by way of transfer under Section 18A of the EA, or pursuant to a new
employment agreement, effective as of the close of business on the Closing Date, at such employee’s salary, annual leave and other terms and conditions substantially comparable in the aggregate to those provided to such employee by the Seller
as of the Closing Date, including credit for prior years of service and applicable severance benefits; provided, however, that the Purchaser shall interview the Level 1 Key Employees and Level 2 Key Employees within 15 business days
after the date of this Agreement, which interviews shall include a discussion of the terms of employment with the Purchaser, and shall make offers to such employees within 25 business days after the date of this Agreement. The Seller Parties shall
inform Active Employees covered by the CO according to article 333 et seq. CO, and such Active Employees who do not reject the transfer of their working contract within allowed time shall become Continuing Employees (because their employment
agreement will be transferred at their terms and conditions by operation of law in accordance with article 333 CO) and the employment relationships with respect to the Continuing Employees are transferred to the Purchaser including all rights and
obligations as of the date of the transfer and, as between Seller and Purchaser, the Purchaser shall be responsible for all obligations owed to the Continuing Employees arising after the Closing Date (close of business). 
 (d) The Purchaser shall have the right to offer to employ each of the employees listed on Section 10.1(d) of the Disclosure Schedules. If
such employees do not accept such offers of employment on or prior to the Closing Date, the Seller shall provide to the Purchaser the services previously provided by such employees to the Seller, at the Purchaser’s sole cost and expense, for a
period of up to twelve months following the Closing Date. 
 (e) If, at any time within 12 months of the Closing Date, the Purchaser makes
an offer of employment to, and it is accepted by, any Active Employee who is not a Continuing Employee, the Purchaser shall promptly reimburse the Seller for any and all severance or termination payments that the Seller made to such employee as a
result of the action taken in contemplation of this Agreement. 
 10.2 Seller’s Information. In no event shall the Purchaser or
any Affiliate of the Purchaser involved in the operation of the Business hold itself out as the Seller or any Affiliate of the Seller after the Closing Date; provided, however, that nothing in this Section 10.2 shall restrict the
Purchaser’s use of the names “Müller Feindraht AG,” “American Fine Wire” or any derivations thereof. In addition, the Purchaser shall, within three (3) months of the Closing Date, re-label, at the Purchaser’s
sole expense, or discard all marketing documentation acquired pursuant to Section 1.1(a)(i) bearing the name “Kulicke and Soffa,” “K&S” or any derivation thereof. 
  

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 10.3 Certain Covenants. 
 (a) Nonsolicitation. 
 (i) Unless otherwise agreed to in writing by the Seller or as otherwise permitted in the Sales Representative Agreement, for a period commencing on the Closing Date and ending on the second anniversary of the Closing Date (the
“Nonsolicitation Period”), the Purchaser shall not, directly or indirectly, for itself or on behalf of or in conjunction with any other person nor shall it permit any of its subsidiaries, Affiliates or Representatives to, directly
or indirectly, call upon any person who is, at the time the person is called upon, an employee of the Seller Parties or any Affiliate of the Seller Parties, for the purpose or with the intent of soliciting such employee away from or out of the
employ of the Seller, or employ or offer employment to any person who was or is employed by the Seller unless such person shall have ceased to be employed by the Seller for a period of at least six months. 
 (ii) Unless otherwise agreed to in writing by the Purchaser or as otherwise permitted in the Sales Representative Agreement, during the
Nonsolicitation Period, the Seller shall not, directly or indirectly, for itself or on behalf of or in conjunction with any other person, nor shall it permit any of its subsidiaries, Affiliates or Representatives to, directly or indirectly, call
upon any Continuing Employee or any person who is, at the time the person is called upon, an employee of the Purchaser for the purpose or with the intent of soliciting such employee away from or out of the employ of the Purchaser, or employ or offer
employment to any person who was or is employed by the Purchaser unless such person shall have ceased to be employed by the Purchaser for a period of at least six months. 
 (iii) This Section 10.3 shall not be deemed to prohibit the Purchaser or the Seller from engaging in general media advertising
or solicitation that may be targeted to a particular geographic or technical area but that is not targeted towards current employees of the Seller (in the case of the Purchaser ) or the Purchaser (in the case of the Seller). 
 (iv) For purposes of this Section 10.3, references to the “Seller” or the “Seller Parties” includes the
Seller and the Seller Parties, as the case may be, and each of its subsidiaries, and references to the “Purchaser” include each subsidiary of the Purchaser. 
 (b) Noncompetition. 
 (i) For a period of five years after the Closing, the Seller
shall not, and shall cause its Affiliates to not, engage, directly or indirectly, whether as an officer, director, employee, consultant, owner, member, manager, partner, 

  

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shareholder, advisor, consultant or otherwise in any business that competes anywhere in the world with the Business as conducted on the Closing Date,
including, without limitation, manufacturing or distributing any products in competition with the Business (the “Restricted Business”); provided, however, that the foregoing shall not limit or otherwise restrict
(i) any activities expressly permitted under the Joint Development and Engineering Services Agreement, the Sales Representative Agreement or the Transition Services Agreement, or (ii) any acquisition of the Seller or any of its Affiliates
by any person, including by means of a business combination, merger, consolidation, issuance of securities, acquisition of securities, tender offer, exchange offer or otherwise, in which a person or “group” (as defined in the Securities
Exchange Act of 1934, as amended, and the rules promulgated thereunder) of persons directly or indirectly acquires beneficial or record ownership or voting power of securities representing more than 50% of the outstanding securities of any class of
voting securities of the Seller or its Affiliates or in which such transaction constitutes or accounts for 50% or more of the consolidated net revenues, net income or assets of such acquiring person. 
 (ii) In addition to the foregoing, for a period of five years after the Closing, the Seller shall not, and shall cause its Affiliates to
not, acquire (whether by acquisition of assets, merger or otherwise) any Business Entity for whom revenues from the Restricted Business represented an amount greater than 5% of such entity’s aggregate revenues during such entity’s last
fiscal year, or is reasonably projected to represent an amount greater than 5% of such entity’s aggregate projected revenues during such entity’s next fiscal year (a “Relevant Acquisition”); provided,
however, that the Seller or its Affiliates may make a Relevant Acquisition if within nine months of the consummation of such Relevant Acquisition, the Seller or its Affiliate has disposed of (or ceased operating) that portion of the Business
Entity conducting the Restricted Business. 
 (iii) If any provision contained in this Section 10.3(b) shall for
any reason be held invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Section 10.3(b), but this Section 10.3(b) shall be construed
as if such invalid, illegal or unenforceable provision had never been contained herein. It is the intention of the parties that if any of the restrictions or covenants contained herein is held to cover a geographic area or to be for a length of time
that is not permitted by applicable law, or in any way construed to be too broad or to any extent invalid, such provision shall not be construed to be null, void and of no effect, but to the extent such provision would be valid or enforceable under
applicable law, a court of competent jurisdiction shall construe and interpret or reform this Section 10.3(b) to provide for a covenant having the maximum enforceable geographic area, time period and other provisions (not greater than
those contained herein) as shall be valid and enforceable under such applicable law. The Seller and the Purchaser acknowledge that the other could be irreparably harmed by any breach of this Section 10.3(b) and that there would be no
adequate remedy at law or in damages to compensate the Purchaser or the Seller, as applicable, for any such breach. The Seller or the Purchaser, as applicable, agrees that the Purchaser shall be entitled to seek injunctive relief requiring specific
performance by the other party of this Section 10.3(b). 
  

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 10.4 Wrong Pocket. 
 (a) If the Seller Parties receive any payment (i) in respect of any Accounts Receivable included in the Acquired Assets or (ii) for any product or service sold by or on behalf of Purchaser after the Closing,
the Seller Parties shall promptly remit such funds to the Purchaser. 
 (b) If the Purchaser receives any payment for any product or service
sold by or on behalf of the Seller Parties after the Closing, the Purchaser shall promptly remit such funds to the Seller. 
 (c) In
furtherance of the foregoing, if any party receives a payment from a third party that, pursuant to the terms hereof, should have been paid to the other party hereto, the party who receives the payment agrees to hold in trust and promptly remit such
payment to the party entitled thereto. If either party receives a payment from a customer that cannot be identified to a specific invoice or obligation, the recipient shall, if reasonable under the circumstances, inquire of the customer as to the
intended application thereof and, lacking a response, the payment shall be applied to the oldest outstanding undisputed invoice relating to the payor. 
 10.5 Accounts Receivable. 
 (a) The Purchaser shall use its Best Efforts to collect the Accounts
Receivable included in the Acquired Assets for the 120 calendar day period immediately following the Closing Date (“Accounts Receivable Collection Period”). Within ten (10) business days following the end of the Accounts
Receivable Collection Period, the Purchaser shall prepare, or cause to be prepared, and deliver to the Seller a report (the “Accounts Receivable Report”) setting forth the amount of such Accounts Receivable that has not been
collected by the Purchaser by the end of the Accounts Receivable Collection Period, net of the reserves that have been provided for Accounts Receivable in the Closing Statement (the “Uncollected Accounts Receivable”). 
 (b) The Seller shall have ten (10) business days from the receipt of the Accounts Receivable Report to review the same (the “Accounts
Receivable Review Period”). For the purpose of such review, the Purchaser shall afford the Seller or its accountants and Representatives the right to inspect the Purchaser’s records related to the Accounts Receivable. In the event the
Seller disputes the Uncollected Accounts Receivable, the Seller shall provide written notice to the Purchaser within the Accounts Receivable Review Period, setting forth the basis of such dispute (the “Accounts Receivable Dispute
Notice”). If the Seller and the Purchaser cannot resolve such dispute, if any, within five (5) business days after the end of the Accounts Receivable Review Period, such dispute shall be resolved pursuant to Section 1.4(d).
If the Seller does not give the Purchaser the Accounts Receivable Dispute Notice within ten (10) business days of receipt of the Accounts Receivable Report, then the Accounts Receivable Report and the Uncollected Accounts Receivable shall be
final for all purposes. 
  

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 (c) Within fifteen (15) business days after delivery of the Accounts Receivables Report or, in the
event of a dispute, within five (5) business days after the resolution of the dispute by mutual agreement of the Seller and the Purchaser or the determination of the Independent Accounting Firm, as applicable, the Purchaser shall transfer the
Uncollected Accounts Receivable to the Seller and the Seller shall transfer to the Purchaser, by wire transfer of immediately available funds, an amount equal to the amount of such Uncollected Accounts Receivable, net of reserves that have been
provided for Accounts Receivable in the Closing Statement, together with interest thereon from the Closing Date to the date of the payment at the three-month London Interbank Offered Rate (LIBOR) as reported on the Closing Date in The Wall Street
Journal. If any Accounts Receivable that are transferred to the Seller are subsequently collected by the Purchaser, the Purchaser shall promptly remit such amounts to the Seller. 
 10.6 Name Change. After the Closing Date, the Seller Parties shall refrain from using the names “Müller Feindraht AG” and the
“American Fine Wire” and, within ten (10) business days after the Closing Date, Müller shall take all necessary corporate action to effect a change of its corporate name to a name other than “Müller Feindraht AG”
or any derivation thereof. 
 10.7 Redirection of Email, Website and Documents. Following the Closing Date, the Seller Parties
and the Purchaser shall cooperate and use commercially reasonable efforts to redirect to (i) the Purchaser all email correspondence, website traffic, contracts, production orders and other similar items that the Seller Parties receive related
to the Business (ii) the Seller Parties all email correspondence, website traffic, contracts, production orders and other similar items that the Purchaser receives that are not related to the Business. 
 ARTICLE 11 
 MISCELLANEOUS

 11.1 Governing Laws and Forum. Except as expressly provided in this Agreement (including Article 8, Article 9 and
any exhibit or schedule to this Agreement), the internal laws of the State of New York (without reference to its principles of conflicts of law), and federal laws to the extent applicable, shall govern the construction, interpretation and other
matters arising out of or in connection with this Agreement and its exhibits and schedules (whether arising in contract, tort, equity or otherwise). With respect to any action or other Legal Proceeding arising out of or in connection with this
Agreement (whether arising in contract, tort, equity or otherwise) other than pursuant to Article 8 or Article 9, the parties irrevocably (a) consent and submit to binding arbitration under the UNCITRAL rules, with such
arbitration, including the rendering of the award, to take place in New York, New York (except to the extent Section 1.4(d) or another provision of this Agreement specifies a different forum or procedure for a particular matter), and
(b) waive any objection to that choice of forum based on venue or to the effect that the forum is not convenient. The decision of the arbitrator shall be delivered in English and in writing and shall explain the basis therefor. Such decision
shall be based solely on the terms and conditions of this Agreement, shall constitute a conclusive determination of the issue in question, binding on the parties, and shall not be contested by any party. Such decision may be used in a court of law
only for the purpose of seeking enforcement of the arbitrator’s award. 
  

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 11.2 Limitation on Liability. NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT TO THE
CONTRARY, IN NO EVENT SHALL ANY PARTY OR ANY OF ITS AFFILIATES BE LIABLE FOR ANY SPECIAL, INCIDENTAL, INDIRECT, COLLATERAL, CONSEQUENTIAL OR PUNITIVE DAMAGES OR LOST PROFITS IN CONNECTION WITH ANY CLAIMS, LOSSES, DAMAGES, OR INJURIES ARISING OUT OF
THE CONDUCT OF SUCH PARTY PURSUANT TO THIS AGREEMENT. 
 11.3 Binding Effect and Assignment. This Agreement binds and benefits the
parties and their respective successors and assignees. No Party may assign either this Agreement or any of its rights, interests, or obligations hereunder without the prior written approval of the other Party; provided, however, that
(A) the Purchaser may (i) assign any or all of it rights and interests hereunder to one or more of its Affiliates and (ii) designate one or more of its Affiliates to (1) perform its obligations hereunder (in any or all of which
cases the Purchaser nonetheless shall remain responsible for the performance of all of its obligations hereunder) or (2) receive specific assets to be acquired hereunder; provided, further, that the Purchaser remains responsible for the
performance of all of its obligations under this Agreement. 
 11.4 Severability. If any provision of this Agreement is determined to
be invalid, illegal or unenforceable, the remaining provisions of this Agreement remain in full force, if the essential terms and conditions of this Agreement for each party remain valid, binding and enforceable. 
 11.5 Entire Agreement. This Agreement, together with the other Transaction Agreements and all of the exhibits and schedules appended hereto and
thereto, constitutes the final agreement between the parties, and is the complete and exclusive statement of the parties’ agreement on the matters contained in this Agreement. All prior and contemporaneous negotiations and agreements between
the parties on the matters contained in this Agreement are superseded by this Agreement. 
 11.6 Counterparts. The parties may execute
this Agreement in multiple counterparts, each of which constitutes an original as against the party that signed it, and all of which together constitute one agreement. This Agreement is effective upon delivery of one executed counterpart from each
party to the other parties. The signatures of all parties need not appear on the same counterpart. The delivery of signed counterparts by facsimile or email transmission that includes a copy of the sending party’s signature(s) is as effective
as signing and delivering the counterpart in person. 
 11.7 Expenses. Except to the extent specified otherwise in this Agreement,
each party shall pay its own professional fees and other expenses incurred by it in connection with this Agreement and the Contemplated Transactions. 
 11.8 Amendment. The parties may amend this Agreement only by a written agreement signed by the Seller and the Purchaser to be bound by the amendment and that identifies itself as an amendment to this Agreement.

 11.9 Waiver. The parties may waive a provision of this Agreement only by a writing signed by the party intended to be bound by the
waiver. A party is not prevented from enforcing 

  

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any right, remedy or condition in the party’s favor because of any failure or delay in exercising any right or remedy or in requiring satisfaction of
any condition, except to the extent that the party specifically waives the same in writing. A written waiver given for one matter or occasion is effective only in that instance and only for the purpose stated. A waiver once given is not to be
construed as a waiver for any other matter or occasion. Any enumeration of a party’s rights and remedies in this Agreement is not intended to be exclusive, and a party’s rights and remedies are intended to be cumulative to the extent
permitted by law and include any rights and remedies authorized in law or in equity. 
 11.10 Notices. Each party giving any notice
required or permitted under this Agreement shall give the notice in writing, and use one of the following methods of delivery to the party to be notified, at the address set forth below or another address of which the sending party has been notified
in accordance with this Section 11.10: (a) personal delivery; (b) facsimile or telecopy transmission with a reasonable method of confirming transmission; (c) commercial overnight courier with a reasonable method of
confirming delivery; or (d) pre-paid, United States of America certified or registered mail, return receipt requested. Notice to a party is effective for purposes of this Agreement only if given as provided in this Section 11.10 and
if the intended addressee has actually received the notice. 
  

			
	If to the Seller Parties:	    	 Kulicke and Soffa Industries, Inc.
 1005 Virginia
Drive
 Ft. Washington, PA 19034
 Facsimile: (215)
784-6483
 Attention: General Counsel

		
	With a copy to (which shall not constitute notice):	    	 Drinker Biddle & Reath LLP
 105 College Road East

 Princeton, NJ 08542-0627
 Facsimile: (609) 799-7000

Attention: John E. Stoddard III

		
	If to the Purchaser:	    	 Heraeus Holding GmbH
 Heraeusstr. 12 - 14

63450 Hanau, Germany
 Facsimile: 0049 6181 35 4174
 Attention: Head of Gesellschaftsrecht/Konzernstruktur

		
	With a copy to (which shall not constitute notice):	    	 McDermott Will Emery, Boston
 28 State
Street
 Boston, MA 02109
 Facsimile: (617) 535-3800
 Attention: Christopher Donovan

  

 - 43 - 

 11.11 Construction of Agreement. 
 (a) In the negotiation of this Agreement, each party has received advice from its own attorney. This Agreement is not to be construed for or against any
party based on which party drafted any of the provisions of this Agreement. 
 (b) The captions, titles and headings, and table of contents,
included in this Agreement are for convenience only, and do not affect this Agreement’s construction or interpretation. 
 (c) This
Agreement does not, and is not intended to, confer any rights or remedies in favor of any person other than the parties signing this Agreement, except as may be specifically set forth in other provisions of this Agreement. 
 (d) The words “including,” “includes,” or “include” are to be read as listing non-exclusive examples
of the matters referred to, whether or not words such as “without limitation” or “but not limited to” are used in each instance. 
 (e) Any reference in this Agreement to wire transfers or other payments requires payment in dollars of the United States of America unless some other currency is expressly stated in that reference. 
 (f) Any reference in this Agreement to the singular includes the plural where appropriate. Any reference in this Agreement to the masculine, feminine or
neuter gender includes the other genders where appropriate. 
 (g) Any reference in any Transaction Agreement to the terms Article, Section,
paragraph, Exhibit and Schedule are references to the Articles, Sections, paragraphs, Exhibits and Schedules of the Transaction Agreement in which such words are used, unless otherwise specified. 
 (h) Any provisions in the Transaction Agreements shall apply, when appropriate, to successive events and transactions. 
 11.12 No Joint Venture. Nothing in this Agreement creates a joint venture or partnership between the parties. This Agreement does not authorize
any party (a) to bind or commit, or to act as an agent, employee or legal representative of, another party, except as may be specifically set forth in other provisions of this Agreement, or (b) to have the power to control the activities
and operations of another party. The parties are independent contractors with respect to each other under this Agreement. Each party agrees not to hold itself out as having any authority or relationship contrary to this Section 11.12.

 [Remainder of page intentionally left blank] 
  

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 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first set forth above.

  

									
	 PURCHASER
 W.C. HERAEUS
GMBH
	  		  	 SELLER
 KULICKE AND SOFFA
INDUSTRIES, INC.

					
	By:	 	 /s/    Peter Koehler
	  	            	  	By:	 	 /s/    C. Scott Kulicke

	Name:	 	Peter Koehler	  		  	Name:	 	C. Scott Kulicke
	Title:	 	Managing Director	  		  	Title:	 	Chief Executive Officer
					
	By:	 	 /s/    Roland Gerner
	  		  		 	
	Name:	 	Roland Gerner	  		  		 	
	Title:	 	Managing Director	  		  		 	

  

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 EXHIBIT A 
 Certain Definitions 
 For purposes of the Agreement (including this Exhibit A): 
 “Accounts Receivable” means all accounts receivable, billed or unbilled, notes receivable, negotiable instruments and chattel paper, but
excluding all inter-company accounts receivable and notes receivable. 
 “Accounts Receivable Collection Period” has the
meaning set forth in Section 10.5(a). 
 “Accounts Receivable Dispute Notice” has the meaning set forth in
Section 10.5(b). 
 “Accounts Receivable Report” has the meaning set forth in Section 10.5(a).

 “Accounts Receivable Review Period” has the meaning set forth in Section 10.5(b). 
 “Acquired Assets” has the meaning set forth in Section 1.1(a). 
 “Acquired Assets Transfer Documents” means any documents or instruments required under applicable law to effect the transfer of the
Acquired Assets to the Purchaser and the assumption of the Assumed Liabilities by the Purchaser, including bills of sale, assignment agreements and assumption agreements. 
 “Active Employees” has the meaning set forth in Section 10.1(a). 
 “Affiliate” means (a) in the case of an individual, the members of the immediate family (including parents, siblings and children) of (i) the individual, (ii) the individual’s spouse, and (iii) any
Business Entity that directly or indirectly, through one or more intermediaries controls, or is controlled by, or is under common control with any of the foregoing individuals, or (b) in the case of a Business Entity, another Business Entity or
a person that directly or indirectly, through one or more intermediaries controls, or is controlled by, or is under common control with the Business Entity. 
 “Agreement” has the meaning set forth in the introductory paragraph. 
 “Asset
List” has the meaning set forth in Section 2.4(a)(i). 
 “Assumed Contracts” has the meaning set forth
in Section 1.1(a)(v). 
 “Assumed Liabilities” has the meaning set forth in Section 1.1(c).

 “Best Efforts” means the efforts that a prudent person desirous of achieving a result would use in similar circumstances
to ensure that such result is achieved as expeditiously as is reasonable; provided, however, that an obligation to use Best Efforts under this Agreement does not require the person subject to that obligation to take actions that would
involve commencement of legal proceedings against a third person or result in a Material Adverse Change or a significant diminution of the benefits to such person of the Contemplated Transactions. 
  

 A - 1 

 “Books and Records” means the books and records (or copies thereof) of the Seller
Parties to the extent relating to the Business and the Acquired Assets, including Included Material Contract files (which may be in electronic form), warranty information (including with respect to component parts), insurance records, maintenance
and repair history for the Acquired Assets (which may be in electronic form), sales and purchase correspondence, lists of present and former suppliers, lists of present and former customers, personnel and employment records. For the avoidance of
doubt, the Books and Records shall exclude any and all income tax returns of the Seller Parties and its Affiliates. 
 “Business” has the meaning set forth in the recitals following the introductory paragraph. 
 “business
day” means any day other than Saturday, Sunday or any day on which banking institutions in the Commonwealth of Pennsylvania are authorized or obligated to be closed either under applicable law or action of any Governmental Entity.

 “Business Entity” means any corporation (including any non-profit corporation), general partnership, limited partnership,
limited liability partnership, joint venture, estate, trust, company (including any limited liability company or joint stock company), firm or other enterprise, association, organization or entity. 
 “BVG” shall mean the Swiss act on the corporate retirement arrangements (Bundesgesetz vom 25. Juni 1982 über die berufliche
Alters-, Hinterlassenen- und Invalidenvorsorge (BVG)) 
 “Certified Statement” has the meaning set forth in
Section 1.4(d). 
 “Claimed Amount” has the meaning set forth in Section 8.3(a). 
 “Claim Notice” has the meaning set forth in Section 8.3(a). 
 “Closing” has the meaning set forth in Section 1.2. 
 “Closing Date” has the meaning set forth in Section 1.2. 
 “Closing Statement” has the meaning set forth in Section 1.4(c). 
 “CO” means the Swiss Code of Obligations (Bundesgesetz vom 30. März 1911 betreffend die Ergänzung des Schweizerischen
Zivilgesetzbuches (Fünfter Teil: Obligationenrecht) 
 “Code” means the Internal Revenue Code of 1986, as amended.

 “Collective Bargaining Agreement” shall mean the Employees’ Agreement of 2003 of Kulicke & Soffa (S.E.A.)
Pte. Ltd. 
 “Contemplated Transactions” has the meaning set forth in Section 1.2. 
  

 A - 2 

 “Continuing Employee” has the meaning set forth in Section 10.1(c).

 “Controlling Party” has the meaning set forth in Section 8.3(d)(ii). 
 “Damages” includes any Liabilities (including any Liabilities for Taxes), damages, settlements, judgments, awards, penalties, fines,
costs or expenses (including reasonable legal, expert and consultant fees and expenses) but excluding (i) any special, indirect, consequential, exemplary and punitive Damages and also excluding any Damages associated with any lost profits or
lost opportunities, and (ii) any legal fees incurred in connection with the dispute resolution process described in Section 8.3(c). 
 “Disclosure Schedule” has the meaning set forth in the introductory paragraph to Article 2. 
 “EA” has the meaning set forth in Section 10.1(b). 
 “Employee Benefit Plan” shall
mean any “employee pension benefit plan” (as defined in Section 3(2) of ERISA), any “employee welfare benefit plan” (as defined in Section 3(1) of ERISA), and any other written or oral plan, program,
policy, agreement or arrangement involving direct or indirect compensation or benefits, including, without limitation, insurance coverage, severance benefits, change of control, retention, performance, holiday pay, vacation pay, paid time off,
fringe benefit, disability benefits, pension, retirement plans, profit sharing, deferred compensation, bonuses, stock options, stock purchase, phantom stock, stock appreciation or other forms of incentive compensation or post-retirement
compensation, that any Seller Party maintains, or to which any Seller Party contributes, or under which any Seller Party has or may have any Liability. With respect to employees employed in Switzerland “Employee Benefit Plan” shall mean
any corporate pension plan according to the BVG or any mandatory or non-mandatory insurances or contractual agreements regarding any payments or fringe benefits in addition to the salary. 
 “Encumbrances” means any security interests, liens, pledges, escrows, options, rights of first refusal, mortgages, charges, indentures,
deed of trust, right of way, restrictions on the use of real property, security agreements, easements, encroachments, or similar encumbrances, restrictions or limitations on the use of real or personal property, whether written or oral and whether
or not relating in any way to credit or the borrowing of money. 
 “Environmental law” means any law of any Governmental
Entity relating to the environment or public health and safety, including any statute, regulation or order pertaining to any of the following: (i) treatment, storage, disposal, generation and transportation of toxic or hazardous substances or
solid or hazardous waste; (ii) air, water and noise pollution; (iii) groundwater and soil contamination; (iv) the release or threatened release into the environment of toxic or hazardous substances, or solid or hazardous waste,
including emissions, discharges, injections, spills, escapes or dumping of pollutants, contaminants or chemicals; (v) the protection of wild life, marine sanctuaries and wetlands, including all endangered and threatened species;
(vi) storage tanks, vessels and containers; (vii) underground and other storage tanks or vessels, abandoned, disposed or discarded barrels, containers and other closed receptacles; (viii) public health and safety; and
(ix) manufacture, processing, use, distribution, 

  

 A - 3 

 
treatment, storage, disposal, transportation or handling of pollutants, contaminants, chemicals or industrial, toxic or hazardous substances or oil or
petroleum products or solid or hazardous waste. As used above, the terms “release” and “environment” has the meaning set forth in the Federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as
amended. 
 “Environmental Permits” means all Permits required of the Seller Parties under Environmental laws to conduct or
occupy the Business, properties or facilities, as conducted or occupied on or before the Closing Date. 
 “ERISA” means the
Employee Retirement Income Security Act of 1974, as amended and the rules and regulations promulgated thereunder. 
 “Estimated
Working Capital” has the meaning set forth in Section 1.4(a). 
 “Excluded Assets” has the meaning set
forth in Section 1.1(b). 
 “Expected Claim Notice” has the meaning set forth in Section 8.4.

 “Financial Statements” has the meaning set forth in Section 2.4(a). 
 “GAAP” means generally accepted accounting principles in the United States, consistently applied. 
 “GHC” has the meaning set forth in the recitals following the introductory paragraph. 
 “Governmental Entity” means any of the following: (i) nation, state, commonwealth, province, territory, county, municipality,
district or other jurisdiction of any nature; (ii) federal, state, local, municipal, foreign or other government; or (iii) governmental or quasi-governmental authority of any nature (including any governmental division, department, agency,
commission, instrumentality, official, organization, unit, body or entity and any court or other tribunal). 
 “GST” has the
meaning set forth in Section 9.1(e). 
 “Included Material Contracts” has the meaning set forth in
Section 2.9. 
 “Indemnification Period” has the meaning set forth in Section 8.4. 
 “Indemnified Party” has the meaning set forth in Section 8.3(a). 
 “Indemnifying Party” has the meaning set forth in Section 8.3(a). 
 “Indemnity Cap” has the meaning set forth in Section 8.5(a)(i). 
 “Independent Accounting Firm” has the meaning set forth in Section 1.4(d). 
 “Individual Basket Amount” has the meaning set forth in Section 8.5(a)(ii). 
  

 A - 4 

 “Intellectual Property” means,
with respect to the Business, all of the following anywhere in the world and all legal rights, title, or interest in the following arising under the laws of any Governmental Entity or international treaty regime, whether or not filed, perfected,
registered or recorded and whether now or later existing, filed, issued or acquired, including all renewals: 
  

	 	(i)	all patents and applications for patents and all related reissues, reexaminations, divisions, renewals, extensions, provisionals, continuations and continuations in part, all
industrial designs, industrial models, utility models, certificates of invention and other indices of invention ownership, and any related registrations and applications; 

  

	 	(ii)	all copyrights, copyright registrations and copyright applications, copyrightable works and all other corresponding rights; 

  

	 	(iii)	all mask works, mask work registrations and mask work applications, and all other rights relating to semiconductor design and topography; 

  

	 	(iv)	all trade dress and trade names, logos, Internet addresses and domain names, trademarks and service marks and related registrations and applications, including any intent to use
applications, supplemental registrations and any renewals or extensions, all other indicia of commercial source or origin and all goodwill associated with any of the foregoing; 

  

	 	(v)	all inventions (whether patentable or not and whether or not reduced to practice), invention disclosures, invention notebooks, file histories, know how, technology, technical data,
trade secrets, confidential business information, manufacturing and production processes and techniques, research and development information, financial, marketing and business data, pricing and cost information, business and marketing plans, and
customer, distributor, reseller and supplier lists and information, correspondence, records and other documentation, and other proprietary information of every kind; 

  

	 	(vii)	all computer software, including all source code, object or executable code, firmware, software compilations, software implementations of algorithms, software tool sets, compilers,
software models and methodologies, development tools, files, records, technical drawings and data relating to the foregoing; 

  

	 	(viii)	all databases and data collections and all rights in the same; 

  

	 	(ix)	all rights of paternity, integrity, disclosure and withdrawal, and any other rights that may be known or referred to as “moral rights,” in any of the foregoing;

  

	 	(x)	any rights analogous to those set forth in the preceding clauses and any other proprietary rights relating to intangible property; 

  

	 	(xi)	all tangible embodiments of any of the foregoing, in any form and in any media, in the possession of the person (or other persons engaged or retained by the person);

  

 A - 5 

	 	(xii)	all versions, releases, upgrades, derivatives, enhancements and improvements of any of the foregoing; and 

  

	 	(xiii)	all statutory, contractual and other claims, demands and causes of action for royalties, fees or other income from, or infringement, misappropriation or violation of, any of the
foregoing, and all of the proceeds from the foregoing that are accrued and unpaid as of, or accruing after, the date of this Agreement. 

 “Inventory” means all inventory, as determined in accordance with GAAP, including precious metals, raw materials, work in process, finished goods, service parts and spare parts, and production,
maintenance and office supplies. 
 “Joint Development and Engineering Services Agreement” means that certain Joint
Development and Engineering Services Agreement to be entered into at the Closing by and between the Seller and the Purchaser, substantially in the form of Exhibit D. 
 “knowledge” means, with respect to a Seller Party, the actual knowledge of the employees listed on Schedule A-6, as well as the
constructive knowledge of any facts or events which such employees could reasonably have discovered or otherwise become aware of in the course of conducting an inquiry of the employees of such Seller Party who, in the course of performing the duties
of such employment may reasonably be expected to have actual awareness of such fact or other matter. 
 “law” means any
foreign, federal, state or local statute, ordinance, regulation, rule, code, treaty, common law or other form of law. 
 “Lease” means any real property lease or any lease or rental agreement, license, right to use or installment and conditional sale agreement to which any member of the Seller Parties is a party to the extent related to the
Business. 
 “Leased Real Property” has the meaning set forth in Section 2.15. 
 “Legal Proceeding” means any action, suit, litigation, arbitration proceeding (including any civil, criminal, administrative,
investigative or appellate proceeding), hearing, inquiry, audit, examination or investigation commenced, brought, conducted or heard by or before, or otherwise involving any court or other Governmental Entity or any arbitrator or arbitration panel.

 “Liability” means any liability (whether known or unknown, whether asserted or unasserted, whether absolute or
contingent, whether accrued or unaccrued, whether liquidated or unliquidated, and whether due or to become due). 
 “Licenses and
Permits” has the meaning set forth in Section 2.16. 
 “Material Adverse Change” means a change that
would have a Material Adverse Effect. 
 “Material Adverse Effect” means with respect to any violation or other matter
(i) any violation or other matter that would have a material adverse effect on the ability of Purchaser to perform its obligations under this Agreement or on the ability of Purchaser to consummate the 

  

 A - 6 

 
Contemplated Transactions, (ii) any violation or other matter would have a material adverse effect on the ability of the Seller to perform its
obligations under this Agreement or on the ability of the Seller to consummate the Contemplated Transactions, (iii) any violation or other matter that either individually or in the aggregate with all other circumstances, changes or effects, has
a material adverse effect on the business, assets, financial condition, results or operations of the Business, taken as a whole, or (iv) any violation or other matter that either individually or in the aggregate with all other circumstances,
changes or effects, has a material adverse effect on the Business, but excluding (t) the termination or substantial reduction by customers of purchases, or notice of intention with respect thereto, which terminations and reductions represent an
amount equal to less than 15% of the aggregate sales of the Business (compared to the 2008 Fiscal Period levels), (u) natural disasters, acts of war, sabotage, terrorism, hostilities, military action or any escalation or worsening thereof,
(v) effects or changes that are generally applicable to the semiconductor industry, (w) changes in the United States or world financial markets or general economic conditions (including without limitation changes in the price of gold or
other commodities), (x) changes in laws, GAAP or in any interpretation thereof, (y) any actions or failures to act by the Purchaser or its Affiliates, or (z) effects directly or primarily arising out of the execution or delivery of
this Agreement, the consummation of the Contemplated Transactions or the public announcement thereof. 
 “Material Contract”
has the meaning set forth in Section 2.9. 
 “Müller” has the meaning set forth in the recitals following
the introductory paragraph. 
 “Non-controlling Party” has the meaning set forth in Section 8.3(d)(ii).

 “Nondisclosure Agreement” has the meaning set forth in Section 5.2(a)(ii). 
 “Nonsolicitation Period” has the meaning set forth in Section 10.3(a)(i). 
 “Objection Notice” has the meaning set forth in Section 8.3(b)(ii). 
 “Ordinary Course” means the ordinary course of business consistent in all material respects with past practice of the Business.

 “Payoff Letters” has the meaning set forth in Section 6.2(f). 
 “Permits” means all permits, licenses, certificates, approvals and other similar authorizations of Governmental Entities. 
 “Permitted Acquisition” has the meaning set forth in Section 10.3(b)(ii). 
 “Permitted Encumbrances” means (i) Encumbrances for taxes not yet due and payable, (ii) statutory liens of lessors, liens of
carriers, warehousemen, mechanics and materialmen incurred in the ordinary course of business for sums not yet due and which are not, individually or in the aggregate, material to the Business, (iii) Encumbrances incurred or deposits made in
the Ordinary Course in connection with workers’ compensation, unemployment insurance and other types of social security, or to secure the performance of statutory obligations (none of which are individually or in the aggregate material to the
Business), and (iv) easements, covenants, or 

  

 A - 7 

 
similar matters of record affecting title which do not materially impair the occupancy or use of the Acquired Assets for the purpose for which it is
currently used in connection with the Business. 
 “person” means any individual, Business Entity or Governmental Entity.

 “Possible Transaction” has the meaning set forth in Section 5.1(c). 
 “Post-Closing Tax Period” means any taxable period or portion of a period that begins after the Closing Date. 
 “Pre-Closing Tax Period” means any taxable period or portion of a period that begins on or before the Closing Date and ends on or before
the Closing Date. 
 “Prepaids” means, subject to proration as described in Section 1.5, all prepaid
expenses, advances and all other prepaid items, credits and discounts made by the Seller Parties for or toward the purchase of goods, services and Inventory relating to the Business, which have not as of the Closing Date been received in full by the
Business, to the extent the corresponding contracts, services or orders are transferable. 
 “Products” has the
meaning set forth in Section 2.17. 
 “Purchaser” has the meaning set forth in the introductory paragraph.

 “Purchaser Indemnitee” has the meaning set forth in Section 8.1. 
 “Purchase Price” has the meaning set forth in Section 1.1(d). 
 “Reference Balance Sheet” has the meaning set forth in Section 1.1 (c). 
 “Relevant Acquisition” has the meaning set forth in Section 10.3(b)(ii). 
 “Representative” of a person means the directors, officers, employees, advisors, agents, stockholders, consultants, lawyers,
accountants, investment bankers or other representatives of such person. 
 “Response” has the meaning set forth in
Section 8.3(b). 
 “Restricted Business” has the meaning set forth in Section 10.3(b)(i).

 “Retained Liabilities” has the meaning set forth in Section 1.1(c). 
 “Sales Representative Agreement” means that certain Sales Representative Agreement to be entered into at the Closing by and between GHC
and the Purchaser, substantially in the form of Exhibit E. 
 “SEA” has the meaning set forth in the recitals
following the introductory paragraph. 
 “SEC” has the meaning set forth in Section 3.3. 
  

 A - 8 

 “Seller” has the meaning set forth in the introductory paragraph. 
 “Seller Parties” has the meaning set forth in the recitals following the introductory paragraph. 
 “Seller Indemnitees” has the meaning set forth in Section 8.2. 
 “Straddle Period” means any taxable period that begins before and ends after the Closing Date. 
 “Subsidiaries” has the meaning set forth in the recitals following the introductory paragraph. 
 “Target Working Capital” has the meaning set forth in Section 1.4(a). 
 “Tax” means all taxes, including all federal, state, local, foreign income, gross receipts, ad valorem, value-added, excise, real
property, personal property, sales, use, transfer, goods and services, registration, payroll/wage withholding, employment, unemployment, disability, insurance, social security (or similar), business license, business organization, environmental,
workers compensation, profits, license, lease, service, service use, severance, stamp, occupation, premium, windfall profits, customs, duties, capital stock, franchise, alternative, add-on minimum, estimated and other taxes imposed by any
Governmental Entity, and any interest, penalties, assessments or additions to tax resulting from, attributable to or incurred in connection with any tax or any contest or dispute thereof, and including any Liability for the Taxes of another person.

 “Tax Attributes” means any net operating loss, net capital loss, investment tax credit, foreign credit, charitable
deduction or any other credit or tax attribute that could be carried forward or back to reduce Taxes (including deductions and credits relating to alternative minimum Taxes) and any additional items described in Section 381 of the Code,
without reference to the conditions and limitations described therein. 
 “Tax Contest” means an audit, claim, dispute or
controversy relating to Taxes. 
 “Tax Returns” means all reports, returns, declarations, claims for refund, statements or
other information required to be supplied to a taxing authority in connection with Taxes, including any schedules or attachments thereto and any amendments thereof. 
 “Transaction Agreements” means this Agreement, the Acquired Assets Transfer Documents, the Joint Development and Engineering Services Agreement, the Sales Representative Agreement, and the Transition
Services Agreement. 
 “Transition Services Agreement” means that certain Transition Services Agreement to be entered into
at the Closing by and between the Seller and the Purchaser, substantially in the form of Exhibit C. 
 “UNCITRAL” has
the meaning set forth in Section 8.3(c). 
 “Uncollected Accounts Receivable” has the meaning set forth in
Section 10.5(a). 
  

 A - 9 

 “Working Capital” means (i) the Accounts Receivable, Inventory, Prepaids, and other
current assets included in the Acquired Assets as of the Closing Date, less (ii) all Liabilities listed as a current liability of the Business on the Reference Balance Sheet and adjusted as of the Closing Date; provided, however, that
“Working Capital” shall not include any assets or liabilities related to the gold leased from AGR Matthey. 
  

 A - 10Asset Purchase Agreement

 EXHIBIT 10.2 
 ASSET PURCHASE AGREEMENT 
 BY AND BETWEEN 
 ORTHODYNE ELECTRONICS CORPORATION 
 as Seller 
 AND 
 KULICKE AND SOFFA INDUSTRIES, INC. 
 DATED AS OF JULY 31, 2008 

 ASSET PURCHASE AGREEMENT 
 THIS ASSET PURCHASE AGREEMENT (this “Agreement”), dated as of July 31, 2008, is made by and between Orthodyne Electronics
Corporation, a California corporation (“Seller”), and Kulicke and Soffa Industries, Inc., a Pennsylvania corporation (“Buyer”). Seller and Buyer are sometimes referred to herein collectively as the
“Parties” and individually as a “Party.” 
 RECITALS 
 WHEREAS, Seller is engaged in the business of designing, manufacturing and selling equipment for the semiconductor and microelectronics industries (the
“Business”); and 
 WHEREAS, subject to the terms and conditions set forth in this Agreement, Seller desires to sell to
Buyer, and Buyer desires to purchase from Seller, substantially all of the assets that are related to or used in connection with the Business, and in connection therewith, Buyer desires to assume certain obligations and liabilities associated with
the assets so purchased. 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the foregoing premises, the mutual representations, warranties, covenants and agreements hereinafter set forth, and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 Section 1.1.
Definitions. In addition to the terms defined above and elsewhere in this Agreement, the following terms used in this Agreement shall be construed to have the meanings set forth or referenced below: 
 “Accountant” means McGladrey & Pullen LLP. 
 “Accounts Receivable” means all accounts receivable, notes receivable and other rights to payment of any Seller Entity to the extent related to the Business, together with any unpaid interest or fees
accrued thereon or other amounts due with respect thereto, and any claim, remedy or other right related to any of the foregoing. 
 “Acquisition Proposal” shall have the meaning ascribed to it in Section 7.5. 
 “Affiliate” of any Person means any other Person controlling, controlled by, or under common control with such particular Person, where “control” means the possession, directly or indirectly, of the power to
direct the management and policies of a Person whether through the ownership of voting securities, contract, or otherwise. 
 “Affiliate Transaction” shall have the meaning ascribed to it in Section 5.20. 
 “Agreement” shall have the meaning ascribed to it in the preamble. 

 “Alternative Upfront Consideration” means 19,572,954 Shares. 
 “Ancillary Agreements” means the Assignment and Assumption Agreement, Bill of Sale, Earnout Agreement, Employment Agreements, Escrow
Agreement, Real Property Lease Agreement, Subsidiary Asset Purchase Agreements and each other document and instrument required to be delivered in connection with the transactions contemplated by this Agreement, including the Shareholder’s
Agreements in the event the Wire Business Transaction is not consummated on or before the Target Closing Date. 
 “Antitrust
Division” shall mean the Antitrust Division of the United States Department of Justice. 
 “Antitrust Law” and
“Antitrust Laws” shall have the meaning ascribed to them in Section 7.4(a). 
 “Assigned
Contracts” shall have the meaning ascribed to it in Section 2.1(a). 
 “Assignment and Assumption
Agreement” shall have the meaning ascribed to it in Section 8.1(g). 
 “Assumed Liabilities” shall have
the meaning ascribed to it in Section 2.3. 
 “Bill of Sale” shall have the meaning ascribed to it in
Section 8.1(f). 
 “Business” shall have the meaning ascribed to it in the preamble. 
 “Business Day” means each day other than a Saturday, Sunday or other day on which commercial banks in California are authorized or
required by Law to close. 
 “Buyer” shall have the meaning ascribed to it in the preamble. 
 “Buyer Common Stock” means the common stock of Buyer, no par value. 
 “Buyer Fairness Opinion” shall have the meaning ascribed to it in Section 6.15. 
 “Buyer Form 8-K” shall have the meaning ascribed to it in Section 7.18. 
 “Buyer Indemnified Party” shall have the meaning ascribed to it in Section 10.2(a). 
 “Buyer Plan” shall have the meaning ascribed to it in Section 7.7(a). 
 “Buyer Representatives” shall have the meaning ascribed to it in Section 7.3(a). 
 “Buyer Requisite Regulatory Approvals” shall have the meaning ascribed to it in Section 6.3(a). 
 “Buyer Shareholder Approval” means the approval of the issuance of the Alternative Upfront Consideration by Buyer to Seller by the
affirmative vote of the holders of a majority of the shares of Buyer Common Stock present and voting (in person or by proxy) at the Buyer Shareholders’ Meeting (as defined in Section 7.10), to the extent required. 
  

 2 

 “Buyer Shareholders” shall mean the holders of the shares of Buyer Common Stock.

 “Buyer Shareholders’ Meeting” shall have the meaning ascribed to it in Section 7.10. 
 “Buyer Threshold” shall have the meaning ascribed to it in Section 10.3(b). 
 “Certified Working Capital” shall have the meaning ascribed to it in Section 3.3(b)(iii). 
 “Closing” shall have the meaning ascribed to it in Section 4.1. 
 “Closing Date” shall have the meaning ascribed to it in Section 4.1. 
 “Closing Working Capital” shall have the meaning ascribed to it in Section 3.3(b)(i). 
 “Closing Working Capital Statement” shall have the meaning ascribed to it in Section 3.3(b)(i). 
 “Code” means the Internal Revenue Code of 1986, as amended, and any reference to any particular Code section shall be interpreted to
include any revision of or successor to that section regardless of how numbered or classified. 
 “Competing Business” shall
have the meaning ascribed to it in Section 7.6(a). 
 “Confidential Information” shall have the meaning ascribed
to it in Section 7.6(c). 
 “Consent” means any consent, approval, authorization, clearance, exemption, waiver,
ratification or similar affirmation by, or filing with or notification to, any Governmental Entity or other Person. 
 “Contract” means any written or oral agreement, arrangement, commitment, contract, indenture, instrument, lease, promise, undertaking or other obligation of any kind or character, or other obligation that is binding on any
Person or its properties or business. 
 “Customs and International Trade Laws” means any Law concerning the importation of
merchandise, the export or re-export of products (including technology and services), the terms and conduct of international transactions, and making or receiving international payments, including the Tariff Act of 1930, as amended, and other laws
and programs administered or enforced by the United States Customs Service and its successor agencies, the Export Administration Act of 1979, as amended, the Export Administration Regulations, the International Emergency Economic Powers Act, as
amended, any other export controls administered by the U.S. Department of Commerce or the U.S. Department of Treasury, the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001,
executive orders of the President regarding embargoes and restrictions on transactions with designated entities (including countries, terrorists, organizations and individuals), the embargoes and restrictions administered by the United States Office
of Foreign Assets Control, the Money Laundering Control Act of 1986, as amended, prohibitions or restrictions on the importation of merchandise made with the use of slave or child labor, the Foreign Corrupt Practices Act, as amended, the antiboycott
regulations administered by the United States Department of Commerce, the antiboycott regulations administered by the United States Department of Treasury, legislation and regulations of the United States and other countries implementing the North
American Free Trade Agreement, antidumping and countervailing duty 

  

 3 

 
Laws, and Laws adopted by the Governmental Entities of other countries concerning the ability of United States Persons to own businesses or conduct business
in those countries, restrictions by other countries on holding foreign currency or repatriating funds, or otherwise relating to the same subject matter as the United States statutes and regulations described above. 
 “Designated Shareholders” shall mean Gregg S. Kelly, William S. Larkin, Jason M. Livingston and the Orthodyne Electronics Corporation
Employee Stock Ownership Plan. 
 “Direct Claim” shall have the meaning ascribed to it in Section 10.4(a).

 “Disclosure Schedule” shall have the meaning ascribed to it in the preamble to Article V. 
 “Earnout Agreement” means that certain Earnout Agreement by and between Seller and Buyer dated as of the date hereof. 
 “Employment Agreements” shall have the meaning ascribed to it in Section 8.1(k). 
 “Environmental and Safety Laws” shall have the meaning ascribed to it in Section 5.21. 
 “ERISA” shall have the meaning ascribed to it in Section 5.18(a). 
 “Escrow Account” shall have the meaning ascribed to it in Section 3.2. 
 “Escrow Agent” shall have the meaning ascribed to it in Section 3.2. 
 “Escrow Agreement” shall have the meaning ascribed to it in Section 3.2. 
 “Escrow Amount” shall have the meaning ascribed to it in Section 3.2. 
 “Estimated Closing Date Working Capital” shall have the meaning ascribed to it in Section 3.3(a)(i). 
 “Estimated Closing Date Working Capital Statement” shall have the meaning ascribed to it in Section 3.3(a)(i). 

“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 “Excluded Assets” shall have the meaning ascribed to it in Section 2.2. 
 “Financial Statements” shall have the meaning ascribed to it in Section 5.7(a). 
 “FTC” means the United States Federal Trade Commission. 
 “GAAP” means generally accepted accounting principles of the United States, consistently applied. 
 “Governmental Entity” shall mean any United States or foreign court, administrative or regulatory agency or commission or other United States or foreign, federal, state, county or local governmental authority,
instrumentality, agency or commission. 
  

 4 

 “HSR Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended,
and the rules and regulations promulgated thereunder. 
 “Indebtedness” of any Person means, without duplication:
(a) indebtedness for borrowed money or for the deferred purchase price of property or services in respect of which such Person is liable, contingently or otherwise, as obligor or otherwise (other than trade payables incurred in the Ordinary
Course of Business), including accrued interest and prepayment penalties and any commitment by which such Person assures a creditor against loss, including contingent reimbursement obligations with respect to letters of credit; (b) indebtedness
guaranteed in any manner by such Person, including a guarantee in the form of an agreement to repurchase or reimburse; and (c) obligations under capitalized leases in respect of which such Person is liable, contingently or otherwise, as
obligor, guarantor or otherwise, or in respect of which obligations such Person assures a creditor against loss. 
 “Indemnification
Cap” means 15% of the aggregate value of the Upfront Consideration as of the Closing. 
 “Indemnification
Threshold” means 1% of the aggregate value of the Upfront Consideration as of the Closing. 
 “Indemnified Party”
shall have the meaning ascribed to it in Section 10.4(a). 
 “Indemnifying Party” shall have the meaning
ascribed to it in Section 10.4(a). 
 “Insider” means any officer, director, executive employee, shareholder,
partner or Affiliate, as applicable, of any party at issue or any spouse or descendant (whether natural or adopted) of any such individual or any entity in which any of the foregoing persons owns a 5% or greater direct or indirect beneficial
interest. 
 “Inventory” means all inventories of the Seller Entities, wherever located, including all finished goods, work
in process, raw materials, spare parts and all other materials and supplies to be used or consumed by such Seller Entities in the production of finished goods for the Business. 
 “Knowledge” means, with respect to a Person, the knowledge of such Person (and if such Person is an entity, this means the knowledge of
the individuals serving as officers, managers, directors and executive employees of such Person with substantial responsibility for the relevant fact or matter). For purposes of the foregoing, the “Knowledge” of Seller shall be deemed to
be the knowledge of the Named Individuals, Shannon Biggs, Kerri Brechbiel, Jim Pisa, Brian Eid, Vartan Babayan or Val Taruntaev. For purposes of this Agreement, an individual will be deemed to have “Knowledge” of a particular fact or other
matter if a prudent individual could be expected to discover or otherwise become aware of that fact or matter in the course of conducting a reasonably comprehensive investigation regarding the accuracy of any representation or warranty contained in
this Agreement. 
 “Latest Balance Sheet” shall have the meaning ascribed to it in Section 5.7(a). 

“Law” means any federal, state, local or foreign law, statute, ordinance, rule, regulation, order, judgment or decree, administrative
or judicial decision, and any other executive or legislative proclamation. 
  

 5 

 “Leased Real Property” means all land, building, fixtures or other real property in
which any Seller Entity has a leasehold, subleasehold, license, concession or other real property right or interest under the Real Property Leases. 
 “Leasehold Improvements” means all buildings, fixtures and other improvements which are owned by any Seller Entity and located on Leased Real Property, regardless of whether such improvements are subject to reversion to the
landlord or other third party upon the expiration or termination of the Real Property Lease for such Leased Real Property. 
 “Liability” means, with respect to any Person, any liability or obligation of any kind, whether known or unknown, absolute or contingent, asserted or unasserted, accrued or unaccrued, disputed or undisputed, liquidated or
unliquidated, secured or unsecured, joint or several, due or to become due, vested or unvested, executory, determined or determinable and regardless of whether the same is required to be disclosed on the financial statements of such Person.

 “Lien” means, with respect to any asset or other property interest, any conditional sale agreement, default of title,
easement, encroachment, encumbrance, hypothecation, infringement, lien, mortgage, option, pledge, reservation, restriction, security interest, title retention or other security arrangement in respect of such asset or property interest. 

“Litigation” means any suit, action, arbitration, cause of action, claim, complaint, criminal prosecution, investigation, demand
letter, governmental or other administrative proceeding, whether at law or at equity. 
 “Losses” means any and all actual
losses, liabilities, costs, penalties, fines and expenses (including reasonable attorneys’ fees and costs of investigation). 
 “Material Adverse Effect” means, with respect to any Person, any change, effect, or circumstance that (a) has or would reasonably be expected to have a material adverse effect on the business, operations, prospects,
assets, results of operations or condition (financial or other) of such Person and its Subsidiaries, taken as a whole, other than such changes, effects or circumstances demonstrably attributable to: (i) economic conditions generally in the
United States, or conditions in general in the industry and markets in which such Person conducts its businesses, except to the extent such changes materially and disproportionately affect, in an adverse manner, such Person and its Subsidiaries
considered as a whole, (ii) any change in the laws or regulations generally applicable to the industry or markets in which such Person and its Subsidiaries operate, except to the extent such changes materially and disproportionately affect, in
an adverse manner, such Person and its Subsidiaries considered as a whole, or (iii) the entry into and consummation of this Agreement or any of the Ancillary Agreements; or (b) prevents Seller or Buyer, as applicable, from consummating the
transactions contemplated hereby in spite of the use of all commercially reasonable efforts to consummate such transactions. 
 “Named Individuals” shall mean Gregg S. Kelly, William S. Larkin and Jason M. Livingston. 
 “NASDAQ” shall mean The Nasdaq Global Market. 
 “NASDAQ Notification Form” shall have the meaning
ascribed to it in Section 7.12. 
 “Nonpartisan Accountants” shall have the meaning ascribed to it in
Section 3.3(b)(ii). 
  

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 “Notice of Objection” shall have the meaning ascribed to it in
Section 3.3(b)(ii). 
 “Observer” shall have the meaning ascribed to it in Section 7.17. 

“Order” means any administrative decision or award, decree, injunction, judgment, order, quasi-judicial decision or award, ruling, or
writ of any federal, state, local or foreign or other court, arbitrator, mediator, tribunal, administrative agency or authority. 
 “Ordinary Course of Business” means actions that are consistent in nature, scope and magnitude with the past practices of such Party, taken in the ordinary course of the normal day-to-day operations of such Party.

 “OSHA” shall have the meaning ascribed to it in Section 5.25(b). 
 “Owned Real Property” shall have the meaning ascribed to it in Section 5.5(a). 
 “Party” shall have the meaning ascribed to it in the preamble. 
 “Permit” means all permits, licenses, franchises, approvals, certificates, consents, waivers, concessions, exemptions, orders,
registrations, notices or other authorizations of any Governmental Entity necessary for the ownership, lease and/or operation of the Purchased Assets and the carrying on of the Business as currently conducted by Seller. 
 “Permitted Liens” means (i) Liens for Taxes or governmental assessments, charges or claims not yet due or which are being contested
in good faith, and for which adequate reserves or other appropriate provisions have been established in financial statements in accordance with GAAP, (ii) statutory Liens of landlords and Liens of carriers, warehousemen, mechanics, materialmen
and other similar Persons and other Liens imposed by applicable Law incurred in the Ordinary Course of Business which are either for sums not yet delinquent, or being contested in good faith, (iii) zoning, entitlement, building and other land
use and similar Laws or regulations imposed by any Governmental Entity having jurisdiction over such parcel which are not violated by the current use and operation thereof; and (iv) liens or encumbrances placed by a landlord or other third
party with respect to any Leased Real Property. 
 “Person” means any individual, partnership, joint venture, limited
liability company, corporation, trust, unincorporated organization, group, or government or other department or agency thereof, or other entity. 
 “Property Tax Returns” shall have the meaning ascribed to it in Section 7.8(a). 
 “Proprietary
Rights” means all registered and unregistered intellectual property rights, including, without limitation, all of the following items along with all income, royalties, damages, equitable relief and payments due or payable prior to or at the
Closing or thereafter (including, without limitation, damages, equitable relief and payments for past, present or future infringements or misappropriations thereof, the right to sue and recover for past infringements or misappropriations thereof and
any and all corresponding rights that, now or hereafter, may be secured throughout the world): (i) patents, patent applications, patent disclosures and inventions (whether or not patentable and whether or not reduced to practice) and any
reissue, continuation, continuation-in-part, division, revision, extension or reexamination thereof; (ii) trademarks, service marks, industrial designs, trade dress, internet domain names and web sites, logos, topographies, trade names and
corporate names, 

  

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including the name “Orthodyne,” together with all goodwill associated therewith; (iii) registered and unregistered copyrights, copyrightable
works and mask works; (iv) all registrations, applications and renewals for any of the foregoing; (v) trade secrets and confidential or proprietary information (including, without limitation, ideas, formulae, compositions, know-how,
manufacturing and production processes and techniques, research and development information, drawings, specifications, designs, plans, proposals, technical data, financial, business and marketing plans, and customer and supplier lists and related
information); (vi) computer software and software systems (including, without limitation, data, databases and related documentation) owned and/or used by a party other than commercially available “off-the-shelf” software with a
license fee of less than $20,000 in the aggregate for all copies of a particular software application; (vii) licenses or other agreements to or from third parties regarding the foregoing; and (viii) all copies and tangible embodiments of
the foregoing (in whatever form or medium). 
 “Proprietary Rights Assignment” shall have the meaning ascribed to it in
Section 8.1(h). 
 “Purchase Price” means the Upfront Consideration, subject to adjustment pursuant to
Section 3.3 hereof. 
 “Purchased Assets” shall have the meaning ascribed to it in Section 2.1.

 “Real Property Leases” means all leases, subleases, licenses, concessions and other agreements (written or oral),
including, without limitation, all amendments, extensions, renewals, guaranties and other agreements with respect thereto, together with all security deposits thereunder, for the use and occupancy of any real property. 
 “Real Property Lease Agreement” shall have the meaning ascribed to it in Section 8.1(l). 
 “Registration Statement” shall have the meaning ascribed to it in Section 7.11. 
 “Retained Liabilities” shall have the meaning ascribed to it in Section 2.4. 
 “S-3 Registration Statement” shall have the meaning ascribed to it in Section 7.11(b). 
 “S-4 Registration Statement” shall have the meaning ascribed to it in Section 7.11(a). 
 “SEC” shall mean the U.S. Securities and Exchange Commission. 
 “SEC Reports” shall have the meaning ascribed to it in Section 6.9. 
 “Securities Act” shall mean the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder. 
 “Seller Entity” shall mean any of Seller or its Subsidiaries, individually; and “Seller Entities” shall mean Seller and
its Subsidiaries, collectively, or any of them individually, as the context requires. 
 “Seller Indemnified Party” shall
have the meaning ascribed to it in Section 10.3(a). 
 “Seller Plans” shall have the meaning ascribed to it in
Section 5.18(a). 
  

 8 

 “Seller Requisite Regulatory Approvals” shall have the meaning ascribed to it in
Section 5.3(a). 
 “Seller SEC Financial Statements” shall have the meaning ascribed to it in
Section 7.13. 
 “Seller Shareholders” shall mean the holders of the shares of capital stock of Seller.

 “Shareholder’s Agreement” shall have the meaning ascribed to it in Section 8.1(m)(ii). 
 “Shares” means the shares of Buyer Common Stock to be issued to Seller pursuant to the terms of this Agreement. 
 “Straddle Period” shall have the meaning ascribed to it in Section 7.8(a). 
 “Subsidiary” means, with respect to any Person, any corporation, limited liability company or other entity as to which more than fifty
percent (50%) of the outstanding securities having ordinary voting rights or power (and excluding securities having voting rights only upon the occurrence of a contingency unless and until such contingency occurs and such rights may be
exercised) is owned or controlled, directly or indirectly, by such Person and/or by one or more of such Person’s direct or indirect Subsidiaries. 
 “Subsidiary Asset Purchase Agreements” has the meaning ascribed to it in Section 8.1(n). 
 “Survival Limitation” has the meaning ascribed to it in Section 10.1. 
 “Target Closing Date” means October 31, 2008, or such other date as mutually agreed to in writing by the Parties. 
 “Target Working Capital” shall have the meaning ascribed to it in Section 3.3(a)(ii)(A). 
 “Tax” or “Taxes” means all taxes, including all federal, state, local, foreign income, gross receipts, ad valorem, value-added, excise, real or personal property (tangible or intangible), sales, use,
transfer, capital stock, franchise, goods and services, registration, payroll/wage withholding, employment, unemployment, disability, insurance, social security (or similar), business license, business organization, environmental, workers
compensation, profits, license, lease, service, service use, severance, stamp, occupation, premium, windfall profits, customs, duties, escheat obligation, alternative, add-on minimum, estimated and other taxes imposed by any Governmental Entity, and
any interest, penalties, assessments or additions to tax resulting from, attributable to or incurred in connection with any tax or any contest or dispute thereof, and including any Liability for the Taxes of another person. 
 “Tax Return” means returns, declarations, reports, claims for refund, information returns or other documents (including any related or
supporting schedules, statements, or information) filed or required to be filed in connection with the determination, assessment, or collection of Taxes of any Person or the administration of any laws, regulations, or administrative requirements
relating to any Taxes. 
 “Third Party” shall have the meaning ascribed to it in Section 10.4(c)(i). 

“Third Party Claim” shall have the meaning ascribed to it in Section 10.4(a). 
  

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 “Transaction Taxes” shall have the meaning ascribed to it in Section 7.8(b).

 “Transferred Employees” shall have the meaning ascribed to it in Section 7.7(a). 
 “Treasury Regulations” means the United States Treasury Regulations promulgated pursuant to the Code. 
 “Upfront Consideration” means 7,117,438 Shares plus $80 million in cash; provided, however, that if the Wire Business Transaction is not
consummated on or before the Target Closing Date, the Upfront Consideration shall be the Alternative Upfront Consideration. 
 “WARN
Act” means the Worker Adjustment and Retraining Notification Act of 1988, as amended. 
 “Wire Business
Transaction” means the proposed disposition by Buyer of its business of manufacturing and marketing gold, aluminum and copper wire used in the wire bonding process for semiconductor and microelectronic devices. 
 “Working Capital” shall have the meaning ascribed to it in Section 3.3(a)(i). 
 ARTICLE II 
 SALE AND PURCHASE OF
ASSETS 
 Section 2.1. Purchased Assets. Subject to the terms and conditions of this Agreement, Buyer shall purchase from
Seller, and Seller shall sell, transfer and assign to Buyer, on the Closing Date (as hereinafter defined), all of Seller’s assets related to or used in connection with the operation of the Business, other than the Excluded Assets (as
hereinafter defined), (collectively referred to herein as the “Purchased Assets”), free and clear of any and all Liens, other than Permitted Liens, which shall include the following: 
 (a) All of Seller’s rights and obligations under the Contracts identified on Schedule 2.1(a) attached hereto (collectively the
“Assigned Contracts”); 
 (b) All of Seller’s Accounts Receivable that are identified on Schedule 2.1(b)
attached hereto, and all schedules, records and other documentation related to such Accounts Receivable, including, without limitation, all license fees and maintenance fees owing or to become owing under Assigned Contracts, advance payments, claims
for refunds and deposits and other prepaid items existing on the Closing Date, and all notes, chattel paper or other documents or instruments evidencing the payment obligations of the account or note debtors; 
 (c) All tangible personal property owned by Seller, including the tangible personal property identified in the fixed asset schedule attached hereto as
Schedule 2.1(c); 
 (d) With the exception of confidential personnel records regarding employees (except as may be waived in
writing by any affected employee), all of Seller’s records related to or used in connection with the operation of the Business or pertaining to the Purchased Assets; 
 (e) To the extent transferable, the Permits required under any Laws applicable to or affecting the Business, all of which are set forth on Schedule 2.1(e); 
  

 10 

 (f) All Real Property Leases, Leased Real Property and Leasehold Improvements identified in the real
property schedule attached hereto as Schedule 2.1(f); 
 (g) All Inventory of Seller; 
 (h) All Proprietary Rights of Seller; 
 (i)
All insurance benefits, including rights and proceeds, arising from or relating to the Purchased Assets or the Assumed Liabilities prior to the Closing Date; 
 (j) All claims of Seller against third parties relating to the Purchased Assets, whether choate or inchoate, known or unknown, contingent or non-contingent; and 
 (k) The goodwill associated with the Purchased Assets and the Business. 
 Section 2.2. Excluded Assets. Notwithstanding anything contained in Section 2.1 to the contrary, Schedule 2.2 contains a list of all of the assets relating to, and used in
connection with, the operation of the Business that shall not be included in the Purchased Assets being sold to Buyer (the “Excluded Assets”), all of which shall be retained by Seller. 
 Section 2.3. Assumed Liabilities. Buyer hereby agrees to assume, pay, perform, fulfill and discharge only the following Liabilities
(collectively, the “Assumed Liabilities”): 
 (a) All Liabilities set forth in Schedule 2.3 attached hereto;

 (b) All Liabilities first incurred after the Closing Date under or arising out of the Assigned Contracts; and 
 (c) All Liabilities incurred in the operation of the Business or the ownership or use of the Purchased Assets after the Closing Date (excluding any
amounts due or earned prior to the Closing Date such as commissions on account of sales made prior to the Closing Date). 
 Section 2.4. Retained Liabilities. Buyer shall not assume any Liabilities of Seller that are not Assumed Liabilities, including any Liabilities relating to the Excluded Assets (collectively, the “Retained
Liabilities”). Seller shall retain all Retained Liabilities and Buyer shall have no obligation to pay, perform, fulfill or discharge any Retained Liabilities. Seller shall pay, perform, and discharge as and when due all of the Retained
Liabilities. 
 Section 2.5. Buyer Designees. Buyer, in its sole and unreviewable discretion, may designate one or more of its
Affiliates to receive and hold some or all of the Purchased Assets and to assume some or all of the Assumed Liabilities. Notwithstanding anything to the contrary contained in this Section 2.5, Buyer shall remain liable for any and all of
Buyer’s obligations arising under, or in connection with, this Agreement. 
 ARTICLE III 
 CONSIDERATION 
 Section 3.1.
Purchase Price. In consideration of the transfer of the Purchased Assets and the assumption of the Assumed Liabilities, at the Closing, Buyer shall pay, or cause to be paid, to 

  

 11 

 
Seller eighty-five percent (85%) of the Upfront Consideration, which amount shall be paid in the amount of cash and the amount of Buyer Common Stock
that is in the same proportion as the proportion of cash to Buyer Common Stock in the Upfront Consideration; provided, that, if the Wire Business Transaction is not consummated on or before the Target Closing Date, such amount shall be paid entirely
in Buyer Common Stock. The Purchase Price shall be adjusted as set forth in Section 3.3. As additional consideration for the Purchased Assets, Buyer shall enter into the Earnout Agreement referenced in Sections 8.1(o) and
8.2(k) and shall make the Earnout Payments (as defined therein). 
 Section 3.2. Escrow Amount. 
 (a) At the Closing, Buyer shall deposit a portion of the Purchase Price equal to fifteen percent (15%) of the aggregate amount of the Upfront
Consideration as of the Closing (the “Escrow Amount”) into an escrow account with a third party escrow agent to be mutually agreed upon by the Parties (the “Escrow Agent”) pursuant to the terms of an Escrow
Agreement, substantially in the form attached hereto as Exhibit A (the “Escrow Agreement”). Buyer shall deposit the Escrow Amount in cash and Shares that is in the same proportion as the proportion of cash to Buyer Common
Stock in the Upfront Consideration; provided, that, if the Wire Business Transaction is not consummated on or before the Target Closing Date, such deposit shall be made entirely in Buyer Common Stock. The Escrow Amount shall be held in escrow by the
Escrow Agent for a period of eighteen (18) months following the Closing as security for the indemnification obligations of Seller pursuant to Section 10.2(a) herein and distributed by the Escrow Agent in accordance with the terms
and conditions of the Escrow Agreement. 
 (b) Within ten (10) calendar days after the termination of the Escrow Account, Buyer shall
pay to Seller an amount of cash equal to the product of (i) the total Tax Distributions (as defined in the Escrow Agreement) and (ii) the fraction where the numerator is the total amount of distributions made to Seller (or its assigns) out
of the Escrow Account, and the denominator is the sum of (A) the total amount of distributions made to Seller (or its assigns) out of the Escrow Account and (B) the total amount of Claims (as defined in the Escrow Agreement) paid to Buyer
out of the Escrow Account. 
 Section 3.3. Working Capital Adjustment. 
 (a) Closing Working Capital Adjustment. 
 (i) Three Business Days prior to the Closing Date, Seller shall deliver to Buyer, a written statement setting forth Seller’s good faith estimate (after consultation with Buyer) of the current assets of Seller that are included in the
Purchased Assets (which, for the sake of clarity, does not include cash, cash equivalents, marketable securities and other investments, including those available for sale and held to maturity), less the current liabilities that are included in the
Assumed Liabilities, in each case as determined in accordance with GAAP but subject to those GAAP exceptions set forth on Exhibit 3.3(a) (the “Working Capital”) as of 12:01 a.m. on the Closing Date (the “Estimated
Closing Date Working Capital Statement“), which statement shall include a detailed computation of the estimated Working Capital (the “Estimated Closing Date Working Capital”) and shall be prepared in good faith in
accordance with GAAP but subject to those GAAP exceptions set forth on Exhibit 3.3(a). 
 (ii) If the Estimated Closing Date Working
Capital is: 
 (A) greater than $37,000,000 (the “Target Working Capital”), the Upfront Consideration shall be increased by
a dollar amount equal to the difference between the Estimated Closing Date Working Capital and the Target Working Capital, with such increase being in the form of additional cash; or 
  

 12 

 (B) less than the Target Working Capital, the Upfront Consideration shall be decreased by a dollar
amount equal to the difference between the Target Working Capital and the Estimated Closing Date Working Capital, with such decrease being in the form of less cash; or 
 (C) equal to the Target Working Capital, the Closing Payment shall not be adjusted in respect of the Estimated Closing Date Working Capital. 
 (b) Initial Post-Closing Working Capital Adjustment. 
 (i) Not later than 60 days after the Closing Date, Buyer shall prepare and deliver, or cause to be prepared and delivered, to Seller a statement (the “Closing Working Capital Statement“), setting
forth any proposed adjustments to the Estimated Working Capital (the “Closing Working Capital“). The Closing Working Capital Statement shall include a computation of the Closing Working Capital. 
 (ii) Unless Seller, within 30 days after receipt of the Closing Working Capital Statement, gives Buyer a notice objecting thereto and specifying in
reasonable detail the basis for such objection and the amount in dispute (“Notice of Objection“), such Closing Working Capital Statement shall be considered accepted and binding upon Seller and Buyer. If within 30 days after the
receipt of the Closing Working Capital Statement, Seller gives a Notice of Objection to Buyer, Seller and Buyer shall negotiate in good faith with a view to resolving any differences. If such negotiations fail to resolve all disputed items within 15
days after Notice of Objection was first given by Seller, the remaining disputed items shall be submitted to Ernst & Young LLP (the “Nonpartisan Accountants”) for final resolution. After affording Buyer and its
representatives and Seller and its representatives the opportunity to present their positions as to the disputed items (which opportunity shall not extend for more than 30 days), the Nonpartisan Accountants shall resolve all disputed items in
writing. The Parties shall instruct the Nonpartisan Accountants to limit their review and determination to only those items in dispute and the Nonpartisan Accountants shall be authorized to choose either Buyer’s or Seller’s positions based
solely on such presentations or determine that the disputed items are between such positions. Such resolution shall be final and binding upon the Parties and shall be reflected in any necessary revisions to the Closing Working Capital Statement. The
fees, costs and expenses of the Nonpartisan Accountants in connection with any such determination shall be apportioned between Seller and Buyer based upon the inverse proportion of the disputed amounts resolved in favor of such Party (i.e., so that
the prevailing Party bears a lesser amount of such fees, costs and expenses). Otherwise, Seller and Buyer shall each pay its costs in connection with this Section 3.3, including the fees and expenses of their respective attorneys and
accountants, if any. 
 (iii) If the Closing Working Capital as conclusively determined as provided in Section 3.3(b) (such
conclusive determination is referred to herein as “Certified Working Capital“), is: 
 (A) less than the Estimated Closing
Date Working Capital, then Seller shall pay, or cause to be paid, to Buyer a dollar amount equal to the difference between the Estimated Closing Date Working Capital and the Certified Working Capital, with such payment being in the form of cash;

  

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 (B) greater than Estimated Closing Date Working Capital, then Buyer shall pay, or cause to be paid, to
Seller a dollar amount equal to the difference between the Certified Working Capital and the Estimated Closing Date Working Capital, with such payment being in the form of cash; or 
 (C) equal to Estimated Closing Date Working Capital, no payment shall be required to be made pursuant to this Section 3.3(b). 
 Section 3.4. Allocation of Purchase Price. As promptly as practicable after the Closing, and in any event within 30 days after the Closing,
Seller shall have prepared a schedule allocating the Purchase Price among the Purchased Assets and the non-competition agreement contained in Section 7.6(a) in accordance with Section 1060 of the Code and the Treasury Regulations
thereunder (and any similar provisions of state, local or foreign Law, as appropriate) and deliver such schedule to Buyer. Buyer shall then have not more than 30 days to notify Seller in writing of Buyer’s acceptance and adoption of the
allocation schedule for its Tax Returns or specify the nature of any reasonable objections Buyer may have. Buyer and Seller shall attempt in good faith to resolve any such Buyer objections to Seller’s allocation schedule. Any issues with
respect to the allocation that have not been finally resolved within 90 days following the Closing shall be referred to a nationally recognized firm of independent public accountants to which Seller and Buyer mutually agree, whose determination
shall be final and binding upon the Parties. Any costs incurred for the services of such firm shall be split equally between Buyer and Seller. Buyer shall timely and properly prepare, execute, file and deliver all such documents, forms and other
information as Seller may reasonably request to prepare such allocation. Unless otherwise required under applicable Law, each Party shall report the purchase and sale of the Purchased Assets on all Tax Returns, including timely filed Internal
Revenue Service Forms 8594, in accordance with the allocation prepared and accepted in accordance with this Section 3.3, and no Party will take any position (whether in audits, Tax Returns or otherwise) that is inconsistent with such
allocation. For purposes of clarity, an amount included in the Tax basis of the Purchased Assets by Buyer shall not be required to be taken into account or reported by Seller (including for purposes of Internal Revenue Service Form 8594) to the
extent such amount is not required to be treated as an amount realized by Seller for Tax purposes. 
 ARTICLE IV 
 CLOSING AND CLOSING DELIVERIES 
 Section 4.1. Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall take place at the offices of Stradling Yocca Carlson & Rauth, 660 Newport Center Drive, Suite
1600, Newport Beach, California 92660, commencing at 10:00 a.m. local time on the third Business Day following the satisfaction or waiver of all conditions to the obligations of the Parties to consummate the transactions contemplated hereby (other
than conditions with respect to actions the respective Parties shall take at the Closing itself), or at such other place or on such other date as may be mutually agreeable to Buyer and Seller. The date on which the Closing takes place is referred to
herein as the “Closing Date.” 
  

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 Section 4.2. Buyer Deliveries. At the Closing, Buyer shall deliver or cause to be delivered
the Upfront Consideration to Seller and (unless previously delivered) the documents and instruments set forth in Section 8.2 below, in form and substance reasonably satisfactory to Seller and its counsel. 
 Section 4.3. Seller Deliveries. At the Closing, Seller shall deliver or cause to be delivered (unless previously delivered) to Buyer the
documents and instruments set forth in Section 8.1 below, in form and substance reasonably satisfactory to Buyer and its counsel. 
 Section 4.4. No Control of Other Party’s Business; Other Actions. Nothing contained in this Agreement is intended to give Buyer, directly or indirectly, the right to control or direct Seller’s or its Subsidiaries’
operations prior to the Closing Date. Prior to the Closing Date, Seller and its Subsidiaries shall exercise, consistent with the terms and conditions of this Agreement, complete control and supervision over their respective businesses, assets and
operations. 
 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES OF SELLER 
 As a material inducement to Buyer to enter into this Agreement, except as
qualified by any exceptions or disclosures set forth in the disclosure schedule attached hereto as Exhibit B (the “Disclosure Schedule”), which identifies exceptions by specific Section references, Seller represents and
warrants to Buyer, as of the date of this Agreement and as of the Closing Date, that: 
 Section 5.1. Corporate Organization, Good
Standing and Qualification. Section 5.1 of the Disclosure Schedule contains a complete and accurate list of Seller’s and its Subsidiaries’ respective jurisdictions of incorporation and any other jurisdictions in which each
of them is qualified to do business as a foreign corporation. Seller is a corporation duly organized, validly existing and in good standing under the Laws of the State of California. Each of Seller’s Subsidiaries is a corporation duly
organized, validly existing and in good standing under the Laws of the jurisdiction of its incorporation. Each of the Seller Entities is qualified and in good standing as a foreign corporation in each jurisdiction where the properties owned, leased
or operated by it, or the business conducted by it, requires such qualification, except where the failure to be so qualified or in good standing would not, individually or in the aggregate, have a Material Adverse Effect on Seller. Each of the
Seller Entities has all requisite corporate power and authority to conduct its business as presently conducted and to own, lease and operate the properties and assets used in such business. 
 Section 5.2. Authority, Validity and Effect. Seller has all requisite corporate power and authority to execute, deliver and perform its
obligations under this Agreement and the Ancillary Agreements to which it is a party and to consummate the transactions contemplated hereby and thereby. This Agreement has been, and when executed at the Closing, the Ancillary Agreements to which it
is a party will have been, duly and validly executed by Seller and, assuming the due execution and delivery of this Agreement and the Ancillary Agreements to which it is a party by Buyer, will constitute legal, valid and binding agreements of
Seller, enforceable against it in accordance with their respective terms, except as limited by (i) applicable bankruptcy, reorganization, insolvency, moratorium or other similar Laws affecting the enforcement of creditors’ rights generally
from time to time in effect, (ii) general principles of equity (regardless of whether enforceability is considered in a proceeding in equity or at law). 
  

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 Section 5.3. No Conflict; Required Filings and Consents. 
 (a) Except for any filings required to be made under the HSR Act, no notices to, Consents or approvals of, or filings or registrations with, any
Governmental Entity are necessary in connection with the execution and delivery by Seller of this Agreement and the Ancillary Agreements to which it is a party, and the consummation by it of the transactions contemplated hereby and thereby. The
notices, Consents, or approvals, filings or registrations, and expirations or terminations of waiting periods referred to above are hereinafter referred to as the “Seller Requisite Regulatory Approvals.” 
 (b) The execution, delivery and performance by Seller of this Agreement and the Ancillary Agreements to which it is a party, and the consummation by it
of the transactions contemplated hereby and thereby, does not and will not (i) conflict with the charter or bylaws of Seller or any of its Subsidiaries, (ii) require any consent or notice under, conflict with, result in a violation or
breach of, or constitute a default (or give rise to any right of termination, cancellation or acceleration) under, any of the terms, conditions or provisions of any note, bond, mortgage, Contract or other instrument or obligation to which Seller or
any of its Subsidiaries is a party or by which Seller’s or any of its Subsidiaries’ properties or assets may be bound, (iii) conflict with, result in a violation or breach of, or constitute a default (or give rise to any right of
termination, cancellation or acceleration) under, any of the terms, conditions or provisions of any Permit, or (iv) subject to obtaining the Seller Requisite Regulatory Approvals referred to in Section 5.3(a) above, conflict with or
violate any Order or Law applicable to Seller or any of its Subsidiaries or any of Seller’s or its Subsidiaries’ properties or assets. 
 Section 5.4. Subsidiaries. Seller has no Subsidiaries other than those listed in Section 5.4 of the Disclosure Schedule, and there are no Subsidiaries of such Subsidiaries. Seller owns all of the issued and
outstanding capital stock of each of its Subsidiaries, free and clear of any Liens, and does not own any shares of capital stock or other securities of any other Person. All of the issued and outstanding shares of capital stock of each of
Seller’s Subsidiaries have been validly issued and are fully paid and non-assessable. There are no outstanding contractual obligations of Seller or any of its Subsidiaries to make any investment in any of its Subsidiaries or any other Person.

 Section 5.5. Leased Real Property. 
 (a) Section 5.5(a) of the Disclosure Schedule contains a correct legal description for the facility located at 16700 Red Hill Avenue and the street address for each Leased Real Property and a list of all
Real Property Leases (including, without limitation, all amendments, extensions, renewals, guaranties and other agreements with respect thereto) for each Leased Real Property. Seller has delivered to Buyer a true and complete copy of the most recent
property tax bill for the facility located at 16700 Red Hill Avenue and has delivered to Buyer a true and complete copy of each written Real Property Lease, and in the case of any oral Real Property Leases, a written summary of the terms thereof.
With respect to each of the Real Property Leases: (i) the Real Property Lease is legal, valid, binding, enforceable and in full force and effect; (ii) neither the transactions contemplated under this Agreement nor any of the Ancillary
Agreements shall result in a breach of or default under the Real Property Lease or otherwise cause the Real Property Lease to cease to be legal, valid, binding, enforceable and in full force and effect on identical terms following the Closing;
(iii) none of the Seller Entities nor, to the Knowledge of Seller, any other party to any Real Property Lease is in material breach or default under such Real Property Lease, and no event has occurred or circumstance exists which, with the
delivery of notice, passage of time or both, 

  

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would constitute a material breach or default or permit the termination, modification or acceleration of rent under such Real Property Lease; (iv) no
party to any Real Property Lease has repudiated any term thereof, and there are no material disputes, oral agreements or forbearance programs in effect with respect to any such Real Property Lease; and (v) no Seller Entity has assigned,
subleased, mortgaged, deeded in trust or otherwise transferred or encumbered any Real Property Lease or any interest therein. 
 (b) The
Seller Entities have good title to the Leasehold Improvements, which shall be free and clear of all Liens as of the Closing Date, except Permitted Liens. 
 Section 5.6. Purchased Assets 
 (a) Seller or its Subsidiaries, as the case may be, owns good and
marketable title to, or a valid leasehold interest in all of the Purchased Assets, free and clear of all Liens, other than Permitted Liens, and all tangible personal property used in the Business is in the possession of Seller. There are no
agreements affecting the right of Seller to convey the Purchased Assets to Buyer or any other right of Seller with respect to the Purchased Assets, and Seller has the absolute right, authority, power, and capacity to sell, assign, and transfer the
Purchased Assets to Buyer free and clear of any Lien. Upon execution and delivery to Buyer of the Assignment and Assumption Agreement and Bill of Sale, Buyer will acquire good and valid title to the Purchased Assets, free and clear of any Lien.

 (b) The Purchased Assets are in good condition and repair, reasonable wear and tear excepted consistent with the age of the assets and
properties, and are suitable for immediate use in the Ordinary Course of Business and, to the Knowledge of Seller, free from latent and patent defects. None of the Purchased Assets are in need of repair or replacement other than as part of routine
maintenance in the Ordinary Course of Business. The Purchased Assets constitute all of the rights, properties and assets necessary for Buyer to operate the Business in the same manner operated by Seller prior to Closing. 
 Section 5.7. Financial Information. 
 (a) Seller has delivered to Buyer true and complete copies of the following financial statements: (i) the audited consolidated balance sheet of Seller as of December 31, 2007, and the related statements of income and cash flows
(or the equivalent) for the 12 month period then ended; and (ii) the unaudited consolidated balance sheet of Seller as of June 30, 2008 (the “Latest Balance Sheet”), and the related statements of income and cash flows (or
the equivalent) for the six month period then ended. Each of the foregoing financial statements (the “Financial Statements”) presents fairly Seller’s consolidated financial condition and results of operations as of the times
and for the periods referred to therein, and has been prepared in accordance with GAAP. The Financial Statements reflect the consistent application of such accounting principles throughout the periods involved, except as disclosed in the notes to
such Financial Statements. The Financial Statements are correct and complete in all respects and are consistent with the books and records of Seller. Seller has also delivered to Buyer copies of all letters from Seller’s auditors to
Seller’s board of directors or the audit committee thereof during the thirty-six months preceding the execution of this Agreement, together with copies of all responses thereto. 
 (b) Seller does not have any Liabilities, or obligations of any nature (whether accrued, absolute, contingent or otherwise), and which have not been
reflected in the Financial Statements, other than (i) those Liabilities arising in the Ordinary Course of Business that are not material to the Business, and (ii) those Liabilities incurred since the date of the Latest Balance Sheet in the
Ordinary Course of Business. 
  

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 Section 5.8. Absence of Certain Changes and Events. Except as set forth in
Section 5.8 of the Disclosure Schedule, since the date of the Balance Sheet, Seller has conducted its business only in the Ordinary Course of Business and there has not been any: 
 (a) discharge or satisfaction of any Lien or payment of any Liability, other than current Liabilities paid in the Ordinary Course of Business; 

(b) sale (other than sales of Inventory in the Ordinary Course of Business), licensing, lease, transfer, assignment or other disposition of any of the
Purchased Assets, or any mortgage, pledge, or imposition of a Lien on any of the Purchased Assets; 
 (c) change in Seller’s authorized
or issued capital stock, grant of any stock option or right to purchase shares of capital stock of Seller, or issuance of any security convertible into such capital stock; 
 (d) amendment to the charter or bylaws of Seller or any of its Subsidiaries; 
 (e) payment (except in the Ordinary Course of Business) or increase by Seller of any bonuses, salaries, or other compensation to any shareholder,
director, officer, or employee or entry into any employment, severance, or similar Contract with any director, officer, or employee; 
 (f)
adoption of, amendment to, or increase in the payments to or benefits under, any employee benefits plan; 
 (g) damage to or destruction or
loss of any Purchased Asset, whether or not covered by insurance; 
 (h) entry into, termination of, or receipt of notice of termination of
(i) any license, distributorship, dealer, sales representative, joint venture, credit, or similar Contract to which Seller is a party, or (ii) any Contract or transaction involving a total remaining commitment by Seller of at least
$100,000; 
 (i) sale (other than sales of Inventories in the Ordinary Course of Business), lease, or other disposition of any Purchased
Asset or property of Seller or the creation of any Lien on any Asset; 
 (j) cancellation or waiver of any claims or rights with a value to
Seller in excess of $100,000; 
 (k) indication by any customer or supplier of an intention to discontinue or change the terms of its
relationship with Seller; 
 (l) material change in the accounting methods used by Seller; or 
 (m) Contract by Seller to do any of the foregoing. 
  

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 Section 5.9. Inventory. The Inventory of the Seller Entities is in good and marketable
condition, constitutes a sufficient quantity for the normal operation of the Business in accordance with past practice, and is saleable in the Ordinary Course of Business (other than what is reserved for obsolescence on the Financial Statements).
Adequate reserves have been reflected in the Latest Balance Sheet for obsolete, excess, damaged, slow-moving, or otherwise unusable Inventory, which reserves were calculated in a manner consistent with past practice and in accordance with GAAP
consistently applied. Since the date of the Latest Balance Sheet, each of the Seller Entities has maintained Inventory at levels consistent with its past practices in the Ordinary Course of Business. Seller Entities are not in possession of any
inventory not owned by them, including goods already sold. The quantities of each item of Inventories (whether raw materials, work-in-process, or finished goods) are not excessive, but are reasonable in the present circumstances of Seller. None of
the agreements of the Seller Entities as of the date hereof (including purchase orders) to purchase any raw materials, spare parts and other materials and supplies are excessive. Each such agreement is reasonable in the present circumstances of
Seller and is listed on Section 5.9 of the Disclosure Schedule, together with a description of each item to be purchased and the quantity and price thereof. 
 Section 5.10. Accounts Receivable. All of the Accounts Receivable set forth on Section 5.10 of the Disclosure Schedule represent valid obligations and arose from sales actually made or services
actually performed by Seller in the Ordinary Course of Business. No such Accounts Receivable has been pledged or assigned to any other Person. There is no contest, claim, defense or right of set off with any account debtor of any Account Receivable,
in excess of the reserves taken into account in the calculation of Closing Working Capital, relating to the amount or validity of such Account Receivable. Section 5.10 of the Disclosure Schedule contains a complete and accurate list of
all Accounts Receivable as of the date of the Latest Balance Sheet, which list sets forth the aging of each Account Receivable. 
 Section 5.11. Assigned Contracts. 
 (a) Each of the Assigned Contracts is valid, binding and enforceable in accordance
with its terms, except as limited by (i) applicable bankruptcy, insolvency, reorganization, moratorium or other laws of general application affecting enforcement of creditors’ rights; and (ii) general principles of equity (regardless
of whether enforceability is considered in a proceeding in equity or at law). Each Seller Entity has performed all material obligations required to be performed by it and is not in default under or in breach of nor in receipt of any claim of default
or breach under any such Assigned Contract to which it is a party. No event has occurred which with the passage of time or the giving of notice or both would be reasonably expected to result in a material default, breach or event of noncompliance by
a Seller Entity nor, to the Knowledge of Seller, any other party under any Assigned Contract. No Seller Entity has received written notice of the intention of any party to cancel or terminate any such Assigned Contract, and, to the Knowledge of
Seller, there has not been any breach or anticipated breach by the other parties to any such Assigned Contract. 
 (b) Seller has provided
Buyer with a true and correct copy of all Assigned Contracts, in each case together with all amendments, waivers, or other changes thereto. 
 Section 5.12. Litigation. There are no, and during the last five years there have not been any, claims, actions, suits, proceedings (arbitration or otherwise), or, to the Knowledge of Seller, investigations involving or
affecting Seller, its Subsidiaries, or their respective business or assets, or Seller’s directors or officers in their capacities as such, before or by any court or other Governmental Entity, or before an arbitrator of any kind; and no pending
claim, action, suit, proceeding, or, to the 

  

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Knowledge of Seller, investigation, if determined adversely, could either individually or in the aggregate have a Material Adverse Effect on Seller or the
Purchased Assets. To the Knowledge of Seller, no such claim, action, suit, proceeding or investigation is presently threatened or contemplated and there are no facts that could reasonably serve as a basis for any such claim, action, suit,
proceeding, or investigation. There are no unsatisfied judgments, penalties, or awards against Seller or, to the Knowledge of Seller, affecting Seller or any of its businesses, properties, or assets, including the Purchased Assets. All claims made
during the last five years under Seller’s general liability insurance or worker’s compensation policies are disclosed in Section 5.12 of the Disclosure Schedule and all open claims are fully described therein. To the Knowledge
of Seller, there is no pending or threatened legal proceeding that challenges, or that may have the effect of preventing, delaying, making illegal or otherwise interfering with, any of the transactions contemplated in this Agreement or the Ancillary
Agreements. 
 Section 5.13. Proprietary Rights. 
 (a) Section 5.13 of the Disclosure Schedule contains a complete and accurate list of all registered Proprietary Rights of the Seller Entities. Section 5.13 of the Disclosure Schedule also
contains a complete and accurate list of all material licenses granted by each of the Seller Entities to any third party and all licenses granted by any third party to any of the Seller Entities, in each case identifying the subject Proprietary
Rights. Seller has provided to Buyer correct and complete copies of all documents embodying such licenses. 
 (b) (i) Seller or
Seller’s Subsidiaries, as applicable, own and possess free and clear of all Liens, other than Permitted Liens, all right, title, and interest in and to, or has the right to use pursuant to a valid and enforceable license, the Proprietary Rights
necessary for the operation of the Business as currently operated and as proposed to be conducted; (ii) no Seller Entity has received any warning, inquiry, communication or notice, written or otherwise, of invalidity, infringement, or
misappropriation from any third party with respect to any such Proprietary Rights; (iii) no Seller Entity has interfered with, infringed upon, misappropriated, or otherwise come into conflict with any Proprietary Rights of any third parties;
and (iv) no third party has interfered with, infringed upon, misappropriated, or otherwise come into conflict with any Proprietary Rights of the Seller Entities. 
 (c) All current and former employees, independent contractors and consultants of each Seller Entity have entered into confidentiality, invention assignment and proprietary information agreements with such Seller
Entity in substantially the form attached to Section 5.13 of the Disclosure Schedule. To the Knowledge of Seller, no such employee, independent contractor or consultant of any Seller Entity is obligated under any Contract or subject to
any Order of any court or administrative agency, or is subject to any other restriction that would interfere with his or her duties for and to such Seller Entity, nor has any such employee, independent contractor or consultant failed to comply with
his or her corresponding confidentiality, invention assignment and proprietary information agreement or failed to cooperate with Seller on the assignment of inventions to Seller pursuant to such agreement. To the Knowledge of Seller, the carrying on
of the Business by the employees, independent contractors and consultants of the Seller Entities and the conduct of the Business as presently conducted will not conflict with or result in a breach of the terms, conditions or provisions of, or
constitute a default under, any Contract under which any of such employees, independent contractors or consultants is now obligated. To the Knowledge of Seller, at no time during the conception of or reduction to practice of any of the Proprietary
Rights of any of the Seller Entities was any developer, inventor or other contributor to such Proprietary Rights operating under any grants from any Governmental Entity or private source, performing research sponsored by any 

  

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Governmental Entity or private source or subject to any employment agreement or invention assignment or nondisclosure agreement or other obligation with any
other third party that could materially adversely affect the rights of such Seller Entities in such Proprietary Rights. 
 Section 5.14. Taxes. 
 (a) Seller is an S Corporation as defined in Section 1361 of the Code and has been an S
Corporation without interruption since January 1, 2005. 
 (b) Except for Property Tax Returns, each of the Seller Entities has filed,
or has caused to be filed, on a timely basis, all Tax Returns required to be filed by or with respect to such Seller Entity, and all Taxes shown to be payable on such Tax Returns or on subsequent assessments with respect thereto have been paid in
full. All Tax Returns and reports filed by Seller are true, correct and complete. The unpaid Taxes of the Seller Entities (i) did not, as of the most recent fiscal month end, exceed the reserve for Tax liability set forth on the Latest Balance
Sheet, and (ii) do not exceed that reserve as adjusted for the passage of time through the Closing Date in accordance with the past custom and practice of each of the Seller Entities in filing its Tax Returns. The Seller Entities have timely
withheld and paid over all Taxes required to have been withheld and paid over, and complied with all information reporting and backup withholding requirements, including maintenance of required records with respect thereto, in connection with
amounts paid or owing to any employee, creditor, independent contractor, stockholder or other third party. There are no Liens on any of the assets of the Seller Entities with respect to Taxes, other than Liens for Taxes not yet due and payable. The
Seller Entities have furnished or made available to Buyer true and complete copies of all Tax Returns for all periods ending on or after January 1, 2004. 
 (c) No Tax Return of any Seller Entity is currently under audit, and there are no disputes pending in respect of, or claims asserted for, Taxes on any Seller Entity, nor are there any pending or, to Seller’s
Knowledge, threatened, audits or investigations or outstanding matters under discussion with any taxing authorities with respect to the payment of Taxes by the Seller Entities, nor has any Seller Entity given or been requested by any taxing
authority to give any waivers extending the statutory period of limitations applicable to any Tax Return for any Taxes of such Seller Entity. None of the Seller Entities has requested any extension of time within which to file any Tax Return, which
Tax Return has not since been filed. 
 (d) None of the Seller Entities has any Liability for the Taxes of any Person under Treasury
Regulations Section 1.1502-6 of the income tax regulations (or any similar provision of state, local or foreign Law). 
 (e) None of the
Seller Entities is a party to or bound by any closing agreement or offer in compromise with any taxing authority. 
 (f) None of the Seller
Entities has engaged in a transaction that is the same or substantially similar to one of the types of transactions that the Internal Revenue Service has determined to be reportable transaction, as set forth in Treasury Regulation
Section 1.6011-4(b). 
 (g) No Seller Entity is a party to or has any obligation under any Tax sharing, indemnity or allocation
agreement or arrangement. 
  

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 (h) During the five-year period ending on the date hereof, no Seller Entity was a distributing
corporation or a controlled corporation in a transaction intended to be governed by Section 355 of the Code. 
 Section 5.15.
Brokers’ Fees. Except for fees payable to Houlihan Lokey Howard & Zukin, there are no claims for brokerage commissions, finders’ fees, or similar compensation in connection with the transactions contemplated by this Agreement
or the Ancillary Agreements based on any arrangement or agreement made by or on behalf of Seller. 
 Section 5.16. Governmental
Permits. Section 5.16 of the Disclosure Schedule contains a complete and accurate listing of all material Permits owned or possessed by each of the Seller Entities or used by such Seller Entities in the operation of the Business.
Seller has delivered to Buyer copies of all such Permits. Seller or Seller’s Subsidiaries, as applicable, own or possess such right in and to all Permits which are necessary to conduct the Business as presently conducted, except where the
failure to do so would not have a Material Adverse Effect on Seller. Seller is in material compliance with all of the terms and requirements of each such Permit and no loss or expiration of any Permit is pending or, to the Knowledge of Seller,
threatened or reasonably foreseeable (including, without limitation, as a result of the transactions contemplated hereby) other than expiration in accordance with the terms thereof. Each Permit listed or required to be listed in
Section 5.16 of the Disclosure Schedule is valid and in full force and effect. All applications required to have been filed for the renewal of such Permits have been duly filed on a timely basis. 
 Section 5.17. Employees. 
 (a)
Seller has provided to Buyer a true, correct and complete schedule setting forth the number of employees, directors, or officers at the facilities of each Seller Entity and the following information for all employees of each of the Seller Entities
and for each consultant and independent contractor regularly retained (including each such Person on leave or layoff status): (i) employee name and job title; (ii) current annual rate of compensation (identifying bonuses separately) and
any change in compensation since January 1, 2007; (iii) vacation accrued and service credited for purposes of vesting and eligibility to participate in any employee benefit plans (as defined in Section 3(3) of ERISA); and
(iv) any automobile leased or owned by Seller primarily for use by any of the foregoing Persons. 
 (b) To the Knowledge of Seller, none
of Seller’s employees, directors, or officers is a party to, or is otherwise bound by, any agreement or arrangement with any Person or entity other than Seller that limits or adversely affects the performance of his or her duties, the ability
of Seller to conduct its business, or his or her freedom to engage in any of the businesses conducted by Seller (including any confidentiality, non-competition, or proprietary rights agreements). 
 (c) Section 5.17 of the Disclosure Schedule describes each employment, severance, change of control, consulting, commission, agency, and
representative agreement or arrangement to which Seller is a party or is otherwise bound, including all agreements and commitments relating to wages, hours, or other terms or conditions of employment (other than unwritten employment arrangements
terminable at will without payment of any contractual severance or other amount). All employees of Seller are “employees at will.” Seller has not made any commitments to any of its employees respecting any possible employment or pay
increases by Buyer following the Closing. Seller has complied in all material respects with all Laws related to the employment of employees, including those relating to hours, wages, immigration, equal employment opportunity, employment
discrimination, and employee safety. 
  

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 (d) To the Knowledge of Seller, no employee and no group of employees or independent contractors of any
of the Seller Entities has any plans to terminate his, her, or their employment or relationship with any such Seller Entity. 
 (e) Each
Person who has received compensation for the performance of services on behalf of a Seller Entity has been properly classified as an employee or independent contractor in accordance with applicable Laws. 
 (f) Each Seller Entity does not now have nor has at any time since inception of such Seller Entity had any union-represented employees. 
 Section 5.18. Employee Benefit Plans. 
 (a) Section 5.18(a) of the Disclosure Schedule identifies all “employee benefit plans” (as defined in Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”)) and
all other benefit arrangements and commitments whether or not employee benefit plans, including, but not limited to, bonus, deferred or incentive compensation, profit sharing, retirement, vacation, sick leave, educational assistance, disability,
medical, dental, life insurance or severance plans, and material fringe benefit plans sponsored, maintained or contributed to by each Seller Entity or with respect to which such Seller Entity has any Liability (collectively, the “Seller
Plans”). None of the Seller Plans is subject to Title IV of ERISA nor provide for medical or life insurance benefits to retired or former employees of any Seller Entity (other than as required under Code Section 4980B, or similar state
Law). No Seller Entity is a participating or contributing employer in any “multiemployer plan” (as defined in Section 3(37) of ERISA) with respect to employees of such Seller Entity, nor has any Seller Entity incurred any withdrawal
Liability with respect to any multiemployer plan or any Liability in connection with the termination or reorganization of any multiemployer plan. 
 (b) Seller has delivered to Buyer, with respect to all Seller Plans, true, complete and correct copies of the following: all plan documents, handbooks, manuals, collective bargaining agreements and similar documents governing employment
policies, practices and procedures; the most recent summary plan descriptions and any subsequent summaries of material modifications; Form 5500 series as filed for the three most recent plan years; nondiscrimination testing for the most recent three
years for any plan qualified under Code section 401(a); all trust agreements; plan contracts with service providers or with insurers providing benefits for participants or liability insurance for fiduciaries and other parties in interest or bonding;
and the most recent IRS determination letter, and any current pending application to the IRS for a determination letter, for all plans qualified under Code section 401(a). 
 (c) Each Seller Plan is in compliance, and has been administered in accordance with its terms and the applicable provisions of ERISA and the Code and all
other applicable Laws. 
 (d) All contributions, premiums or payments under or with respect to each Seller Plan which are due on or before
the Closing Date have been paid and all contributions required under the terms of such plans have been made within the time required by applicable Law. 
  

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 (e) Each Seller Plan which is intended to be qualified under Section 401(a) of the Code is so
qualified and has received from the Internal Revenue Service a favorable determination letter with respect to all plan document qualification requirements for which the applicable remedial amendment period under Section 401(b) of the Code has
closed, any amendments required by such letter were made as and when required by such determination letter and no event has occurred and no condition exists which could reasonably be expected to result in the loss of such qualification. 

(f) No Seller Entity has incurred, and has no reason to expect that it shall incur, any liability attributable to any employee benefit plan covering
employees of any entity, that together with such Seller Entity is or was treated as a single employer under Section 414 of the Code. 
 (g) Except as set forth on Section 5.18(g) of the Disclosure Schedule, the consummation of the transactions contemplated by this Agreement and the Ancillary Agreements, either alone or in combination with any other event, will
not result in (i) any payment (including, without limitation, severance, unemployment compensation, golden parachute, bonus payments or otherwise) becoming due to any current or former director, officer, employee or consultant of each Seller
Entity, (ii) any increase in the amount of compensation or benefits payable to any director, officer, employee or consultant of each Seller Entity, or (iii) any acceleration of the vesting or timing of payment of any benefits or
compensation payable to any current or former director, officer, employee or consultant of Seller. 
 (h) Each Seller Plan that is a
“nonqualified deferred compensation plan,” within the meaning of Section 409A of the Code, has been operated and administered since the latter of inception or January 1, 2005 in good faith compliance with Section 409A of the
Code, to the extent Section 409A of the Code is applicable to such plan. 
 (i) There are currently no, and during the past three years
there have been no, inquiries, claims, actions, suits or proceedings pending or, to Seller’s Knowledge, threatened by any governmental authority or by any participant or beneficiary against (i) any Seller Plan, (ii) the assets of any
of the trusts under any Seller Plan, (iii) the sponsor or administrator of any Seller Plan, or (iv) any fiduciary of any Seller Plan with respect to the design or operation of such Seller Plan, other than routine claims for benefits, nor
are there any facts which could form the basis for any such claim or lawsuit. 
 (j) All reports and information required to be filed with
the U.S. Department of Labor, the Pension Benefit Guaranty Corporation or any other governmental authority or to be furnished to plan participants and their beneficiaries with respect to each Seller Plan have been so filed and/or furnished, all
annual reports (including Form 5500 series) of each Seller Plan for which such reports were required to be filed were filed in a timely manner and no material change has occurred with respect to the matters covered by the most recent Form 5500 since
the date thereof. 
 (k) Neither the Seller Entities nor any “party in interest” (as defined in section 3(14) of ERISA) or
“disqualified person” (as defined in section 4975(e)(2) of the Code) with respect to any Seller Plan has engaged in a “prohibited transaction” within the meaning of Part 4 of Subtitle B of Title I of ERISA or section 4975 of the
Code for which a statutory, administrative or regulatory exemption was not available. 
 Section 5.19. Insurance. Seller has
delivered to Buyer true and correct copies of all policies of fire, general liability, worker’s compensation, errors and omissions, malpractice, 

  

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environmental and other forms of insurance maintained by or on behalf of each of the Seller Entities in connection with the Business. Taken together, all
such policies provide adequate insurance coverage for the assets and the operations of Seller for all risks to which Seller is normally exposed. All such policies are now in full force and effect and are issued by an insurer that is financially
sound and reputable. No Seller Entity has received any notice of cancellation or material amendment of any such policies or any refusal of coverage or any notice that a defense will be afforded with reservation of rights. No coverage under such
policies is being disputed. Seller has paid all premiums when due, and has otherwise performed all of its obligations, under each policy of insurance to which it is a party or that provides coverage to Seller, and all material claims thereunder have
been filed in a timely fashion. 
 Section 5.20. Affiliate Transactions. No Insider or Affiliate of Seller (i) is a party to
any Contract or transaction with any Seller Entity that is material to the Business or has any interest in any property, whether real or personal or mixed, tangible or intangible, used in or pertaining to the Business (each, an “Affiliate
Transaction”) or (ii) to the Knowledge of Seller, owns an interest in, or (in the case of individuals) serves as an officer or director of, any Competing Business. Each Affiliate Transaction is upon terms no less favorable to the
Seller Entity party thereto than the terms such Seller Entity would have obtained had it entered into the same transaction with an un-Affiliated third party, in an “arms-length” transaction, after good faith negotiations. 
 Section 5.21. Environmental and Safety Matters. Except as set forth in Section 5.21 of the Disclosure Schedule, each of the
Seller Entities is, and at all times has been, in full compliance with, and the operation of the Business and the use and ownership of the Purchased Assets and the Excluded Assets, are in material compliance with all applicable Laws relating to the
protection of human health and safety, natural resources or the environment, including, but not limited to, air pollution, water pollution, noise control, on site or off site hazardous substance presence, release, discharge, disposal or recovery,
toxic or hazardous substances, training, information and warning provisions relating to toxic or hazardous substances, and employee safety relating to the Business, the Purchased Assets and the Excluded Assets (collectively the
“Environmental and Safety Laws”); and no notice of violation of any Environmental and Safety Laws or of any permit, license or other authorization relating thereto has been received or threatened against any Seller Entity in
connection with the operation of the Business, and to the Knowledge of Seller, there is no factual basis for the giving of any such notice. No Seller Entity has received any notice or claim to the effect that such Seller Entity is or may be liable
to any Governmental Entity or private party as a result of the release or threatened release of any toxic or hazardous substances in connection with the conduct or operation of the Business or the use of ownership of the Purchased Assets or the
Excluded Assets, and to Seller’s Knowledge, there are no facts or circumstances that would reasonably be expected to give rise to such a claim. Neither the operation of the Business nor the use and ownership of the Purchased Assets or the
Excluded Assets is the subject of any federal, state or local investigation evaluating whether any remedial action is needed to respond to a release or a threatened release of any toxic or hazardous substances at any real property owned, leased,
used or operated by a Seller Entity in connection with the Business. 
 Section 5.22. Compliance with Laws. Each of the Seller
Entities has complied in all material respects with and is in material compliance with all Laws which are applicable to the Business, and no claims have been filed against any such Seller Entity alleging a violation of any such Laws, and no such
Seller Entity has received notice of any such violations. The Seller Entities have no basis to expect, and have not received during the last five years, any notice, order, or other communication from any Governmental Entity of any alleged, actual,
or potential violation of or failure to comply with any Law. 
  

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 Section 5.23. Sales Representatives and Distributors. Set forth in Section 5.23
of the Disclosure Schedule is a correct and current list of the names of and Contracts with Seller’s sales representatives and distributors. To the Knowledge of Seller, none of such sales representatives or distributors has given notice,
written or otherwise, to Seller that it intends to cease doing business with Seller or materially adversely change its price or terms to Seller of any products or services. There are no and during the last five years there have not been any material
disputes or controversies between Seller and any sales representatives or distributors that has not been fully resolved to Seller’s satisfaction. To the Knowledge of Seller, Seller enjoys good working relationships under all arrangements and
agreements with its sales representatives and distributors with respect to the Business. 
 Section 5.24. Customers and
Suppliers. Set forth in Section 5.24 of the Disclosure Schedule is a correct and current list of (i) Seller’s ten largest customers in terms of the revenues generated from the sale of products and services of Seller and its
Subsidiaries (collectively) to such customers during the twelve-month periods ended December 31, 2007 and December 31, 2006, respectively, showing the approximate aggregate dollar amount of revenues from each such customer during such
periods; and (ii) Seller’s ten largest suppliers in terms of purchases made by Seller and its Subsidiaries (collectively) during the twelve-month periods ended December 31, 2007 and December 31, 2006, respectively, showing the
approximate aggregate dollar amounts of purchases by Seller from each such supplier during such periods. To the Knowledge of Seller, since the date of the Latest Balance Sheet, none of such customers or suppliers has given notice to Seller that it
intends to cease doing business with Seller or, in the case of suppliers, materially adversely change its price or terms to Seller of any products or services. There are no and during the last five years there have not been any material disputes or
controversies between Seller and any customer, supplier, or any other Person regarding the quality, merchantability, or safety of, or involving a claim of breach of warranty that has not been fully resolved. To the Knowledge of Seller, Seller enjoys
good working relationships under all arrangements and agreements with its customers and suppliers with respect to the Business. Except as set forth in Section 5.24 of the Disclosure Schedule, alternative sources of supply, on
substantially similar terms and condition, exist for all material goods or services purchased or supplied to Seller with respect to the Business. 
 Section 5.25. Labor Matters. 
 (a) (i) No application or petition for certification of a collective bargaining agent is
pending; (ii) none of the employees of Seller are, or have been, represented by any union or other bargaining representative; (iii) to the Knowledge of Seller, no union has attempted to organize any group of Seller’s employees, and,
to the Knowledge of Seller, no group of Seller’s employees has sought to organize themselves into a union or similar organization for the purpose of collective bargaining; (iv) there has not been and there is not currently pending any
labor arbitration or proceeding in respect of the grievance of any employee, any application, charge, or complaint filed by any employee or union with the National Labor Relations Board or any comparable state or local agency, any strike, slowdown,
picketing, or work stoppage by any employees at any facility of Seller, any lockout of any such employees or any labor trouble or other labor-related controversy, occurrence, or condition; (v) no agreement restricts Seller from relocating,
closing, or terminating any of its operations or facilities or any portion thereof, or from subcontracting or contracting out any work; and (vi) to the Knowledge of Seller, no such agreement, action, proceeding, or occurrence is threatened or
contemplated by any Person. 
  

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 (b) Seller has not during the past five years been cited for violations of Occupational Safety and Health
Act of 1970, 29 U.S.C. sec. 651 et seq. (“OSHA”), any regulation promulgated pursuant to OSHA, or any other statute, ordinance, rule, or regulation establishing standards of workplace safety, or paid any fines or penalties with
respect to any such citation. During the past five years: (i) there have not been any inspections of any of the facilities of the Business by representatives of the Occupational Safety and Health Administration or any other Governmental Entity
vested with authority to enforce any statute, ordinance, rule, or regulation establishing standards of workplace safety; (ii) no representative of any such Governmental Entity has attempted to conduct any such inspection or sought entry to any
of such facilities for that purpose; (iii) Seller has not been notified of any complaint or charge filed by any employee of the Business or employee representative with any such Governmental Entity that alleges that Seller has violated OSHA or
any other statute, ordinance, rule, or regulation establishing standards of workplace safety; (iv) Seller has not been notified that any employee of the Business or employee representative has requested that any such Governmental Entity conduct
an inspection of any facilities of Seller to determine whether violations of OSHA or any other such statute, ordinance, rule, or regulation may exist; and (v) Seller does not maintain any condition, process, practice, or procedure at any of its
respective facilities that violate OSHA or any other Law establishing standards or workplace safety. 
 (c) Each of the Seller Entities has
complied with all applicable Laws relating to the employment of personnel and labor, except where the failure to do so would not have a Material Adverse Effect on Seller. 
 (d) To the Knowledge of Seller, none of the Seller Entities has engaged in any unfair labor practice. 
 Section 5.26. Product Liability. Seller has not made any warranties or guaranties or other similar undertaking to third parties with respect to any products created, manufactured, sold, distributed, or licensed, or any services
rendered by Seller other than as set forth in Seller’s standard terms and conditions attached to Section 5.26 of the Disclosure Schedule. To the Knowledge of Seller, there are no manufacturing, or other defects, latent or otherwise,
with respect to any such products. There is no recall (voluntary or otherwise) of any of Seller’s products pending, or any other action under consideration by Seller or, to the Knowledge of Seller, any Governmental Entity that might result in
such a recall of all or a part of any of Seller’s products. Seller has not agreed to become or otherwise be responsible for consequential damages or made any express warranties to third parties with respect to any products sold or distributed
by Seller related to the Business. There are no warranties (express or implied) outstanding with respect to any such products other than any such implied by law pursuant to Sections 2-312 and 2-314 of the Uniform Commercial Code. There have been no
incidents of product tampering or threatened incidents of product tampering involving the Business. 
 Section 5.27. Compliance with
the Foreign Corrupt Practices Act and Export Control and Anti-Boycott Laws. 
 (a) Seller and, to Seller’s Knowledge, its
representatives and distributors, have not, to obtain or retain business, directly or indirectly offered, paid, or promised to pay, or authorized 

  

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the payment of, any money or other thing of value (including any fee, gift, sample, travel expense, or entertainment with a value in excess of one hundred
dollars ($100.00) in the aggregate to any one individual in any year), to: 
 (i) any person who is an official, officer, agent, employee or
representative of any Governmental Entity, or of any existing or prospective customer (whether government-owned or non-government-owned); 
 (ii) any political party or official thereof; 
 (iii) any candidate for political or political party office; or 
 (iv) any other individual or entity; 
 while knowing or
having reason to believe that all or any portion of such money or thing of value would be offered, given, or promised, directly or indirectly, to any such official, officer, agent, employee, representative, political party, political party official,
candidate, individual or any entity affiliated with such customer, political party or official, or political office. 
 (b) Except as set
forth in Section 5.27(b) of the Disclosure Schedule, Seller has made all payments to third parties by check mailed to such third parties’ principal place of business or by wire transfer to a bank located in the same jurisdiction as
such party’s principal place of business. 
 (c) Each transaction is properly and accurately recorded on the books and records of
Seller, and each document on which entries in Seller’s books and records are based is complete and accurate in all material respects. Seller maintains a system of internal accounting controls adequate to insure that Seller maintains no
off-the-books accounts and that Seller’s assets are used only in accordance with Seller’s management directives. 
 Section 5.28. Compliance with Customs and International Trade Laws. 
 (a) Seller is in compliance with all applicable
Customs and International Trade Laws, and at no time in the past five years has Seller violated any Customs and International Trade Laws in any material respect. 
 (b) Seller is not subject to any civil or criminal proceeding, liquidated damages proceeding or claim, forfeiture or forfeiture action, assessment of additional duty for failure to properly mark imported merchandise,
notice to properly mark merchandise or return merchandise to United States Customs Service’s custody, claim for additional customs duties or fees, denial order, suspension of export privileges, government sanction, or any other proceeding or
claim by a Governmental Entity involving or otherwise relating to any alleged or actual violation of the Customs and International Trade Laws or relating to any alleged or actual underpayment of customs duties, fees, taxes or other amounts owed
pursuant to the Customs and International Trade Laws, and Seller has paid all customs duties and fees and brokerage fees owed for merchandise imported by them or imported on their behalf into the United States. 
 (c) Seller has not made or provided any material false statement or omission to any Governmental Entity or to any purchaser of products, in connection
with the importation of 

  

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merchandise, the valuation or classification of imported merchandise, the duty treatment of imported merchandise, the eligibility of imported merchandise for
favorable duty rates or other special treatment, country-of-origin marking, NAFTA Certificates, other statements or certificates concerning origin, quota or visa rights, export licenses or other export authorizations, United States-content
requirements, licenses or other approvals required by any Governmental Entity, or any other requirement relating to the Customs and International Trade Laws. 
 Section 5.29. Solvency. 
 (a) Seller is not now insolvent, and will not be rendered insolvent by
any of the transaction contemplated in this Agreement or the Ancillary Agreements. As used in this Section, “insolvent” means that the sum of the present fair saleable value of Seller’s assets does not and will not exceed its debts
and other probable Liabilities. 
 (b) Immediately after giving effect to the consummation of the transactions contemplated in this Agreement
and the Ancillary Agreements, (i) Seller will be able to pay its Liabilities as they become due in the usual course of its business, (ii) Seller will not have unreasonably small capital with which to conduct its present or proposed
business, (iii) Seller will have assets (calculated at fair market value) that exceed its Liabilities and (iv) taking into account all pending and threatened litigation, final judgments against Seller in actions for money damages are not
reasonably anticipated to be rendered at a time when, or in amounts such that, Seller will be unable to satisfy any such judgments promptly in accordance with their terms (taking into account the maximum probable amount of such judgments in any such
actions and the earliest reasonable time at which such judgments might be rendered) as well as all other obligations of Seller. The cash available to Seller, after taking into account all other anticipated uses of the cash, will be sufficient to pay
all such debts and judgments promptly in accordance with their terms. 
 Section 5.30. No Material Adverse Effect. Since the date
of the Latest Balance Sheet, there has not been any Material Adverse Effect on Seller, and no event has occurred or circumstance exists that may result in such a Material Adverse Effect. 
 Section 5.31. Books and Records. The books and records of Seller included in the Purchased Assets accurately and fairly reflect in all
material respects its income, expenses, assets, and liabilities and Seller maintains internal accounting controls that provide reasonable assurance that: (a) transactions are executed in accordance with management’s authorization;
(b) transactions are recorded as necessary to permit preparation of reliable financial statements and to maintain accountability for earnings and assets; (c) the recorded accountability of all assets is compared with existing assets at
reasonable intervals; and (d) all inter-company transactions, charges, and expenses among or between Seller and/or its Affiliates are accurately reflected at fair arms-length value in the Financial Statements. 
 Section 5.32. Full Disclosure. All documents and other papers delivered by or on behalf of Seller pursuant to this Agreement or any Ancillary
Agreement or referenced in the Disclosure Schedule are accurate and complete and are authentic. No representation or warranty of Seller contained in this Agreement or the Disclosure Schedule contains any untrue statement of a material fact or omits
to state a material fact necessary in order to make the statements herein or therein, in light of the circumstances under which they were made, not misleading in any material respect. 
  

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 Section 5.33. Disclaimer of Warranties. EXCEPT WITH RESPECT TO THE REPRESENTATIONS AND
WARRANTIES SPECIFICALLY SET FORTH IN THIS ARTICLE V, ALL OF THE PURCHASED ASSETS ARE BEING SOLD “AS IS, WHERE IS,” AND SELLER MAKES NO REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, WHETHER OF MERCHANTABILITY, SUITABILITY, NONINFRINGEMENT
OR FITNESS FOR A PARTICULAR PURPOSE, OR QUALITY AS TO THE PURCHASED ASSETS OR ANY PART OR ITEM THEREOF, OR AS TO THE CONDITION, DESIGN, OBSOLESCENCE, WORKING ORDER OR WORKMANSHIP THEREOF, OR THE ABSENCE OF ANY DEFECTS THEREIN, WHETHER LATENT OR
OTHERWISE. 
 ARTICLE VI 
 REPRESENTATIONS AND WARRANTIES OF BUYER 
 As a material inducement to Seller to enter into this Agreement, Buyer represents
and warrants to Seller, as of the date of this Agreement and as of the Closing Date, that: 
 Section 6.1. Corporate Organization and
Qualification. Buyer is a corporation duly organized, validly existing and in good standing under the Laws of the Commonwealth of Pennsylvania. Buyer is qualified and in good standing as a foreign corporation in each jurisdiction where the
properties owned, leased, or operated by it, or the business conducted by it, requires such qualification, except where the failure to be so qualified or in good standing would not, individually or in the aggregate, result in a Material Adverse
Effect on Buyer. Buyer has all requisite corporate power and authority to conduct its business as presently conducted and to own, lease and operate the properties and assets used in such business. 
 Section 6.2. Authority, Validity and Effect. Subject to the receipt of Buyer Shareholder Approval, Buyer has all requisite corporate power
and authority to execute, deliver and perform each of their obligations under this Agreement and the Ancillary Agreements to which each is a party and to consummate the transactions contemplated hereby and thereby. This Agreement has been, and when
executed at the Closing, the Ancillary Agreements to which it is a party will have been, duly and validly executed by Buyer and, assuming the due execution and delivery of this Agreement and the Ancillary Agreements to which it is a party by Seller,
will constitute legal, valid and binding agreements of Buyer, enforceable against it accordance with their respective terms, except as limited by (i) applicable bankruptcy, reorganization, insolvency, moratorium or other similar Laws affecting
the enforcement of creditors’ rights generally from time to time in effect, (ii) general principles of equity (regardless of whether enforceability is considered in a proceeding in equity or at law). 
 Section 6.3. No Conflict; Required Filings and Consents. 
 (a) Except for any filings required to be made under the HSR Act, no notices to, Consents or approvals of, or filings or registrations with, any Governmental Entity are necessary in connection with the execution and
delivery by Buyer of this Agreement and the Ancillary Agreements to which it is a party, and the consummation by it of the transactions contemplated hereby and thereby. The notices, Consents, or approvals, filings or registrations, and expirations
or terminations of waiting periods referred to above are hereinafter referred to as the “Buyer Requisite Regulatory Approvals.” 
  

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 (b) The execution, delivery and performance by Buyer of this Agreement and the Ancillary Agreements to
which it is a party, and the consummation by it of the transactions contemplated hereby and thereby, does not and will not (i) conflict with the charter or bylaws of Buyer or any of its Subsidiaries, (ii) require any consent or notice
under, conflict with, result in a violation or breach of, or constitute a default (or give rise to any right of termination, cancellation or acceleration) under, any of the terms, conditions or provisions of any note, bond, mortgage, Contract or
other instrument or obligation to which Buyer or any of its Subsidiaries is a party or by which Buyer’s or any of its Subsidiaries’ properties or assets may be bound, (iii) conflict with, result in a violation or breach of, or
constitute a default (or give rise to any right of termination, cancellation or acceleration) under, any of the terms, conditions or provisions of any Permit, or (iv) subject to obtaining the Buyer Requisite Regulatory Approvals referred to in
Section 6.3(a) above, conflict with, violate any Order or Law applicable to Buyer or any of its Subsidiaries or any of Buyer’s or its Subsidiaries’ properties or assets, except, with respect to clauses (ii), (iii) and
(iv), for any such conflicts, violations, breaches, defaults, rights of termination, cancellation or acceleration, or other occurrences, which would not, individually or in the aggregate, have a Material Adverse Effect on Buyer. 
 Section 6.4. Litigation. There is no Litigation pending, or to the Knowledge of Buyer, threatened, which would reasonably be expected to
affect adversely Buyer’s ability to perform its obligations under this Agreement or any of the Ancillary Agreements to which it is a party or complete any of the transactions contemplated hereby or thereby. Except as disclosed in Buyer’s
SEC Reports, there is no proceeding, or, to Buyer’s Knowledge, inquiry or investigation, before or by any court, public board, government agency, self regulatory organization or body pending or, to the Knowledge of Buyer, threatened against or
affecting Buyer or any of its Subsidiaries that would, individually or in the aggregate, have a Material Adverse Effect on Buyer. 
 Section 6.5. Brokers’ Fees. There are no claims for brokerage commissions, finders’ fees, or similar compensation in connection with the transactions contemplated by this Agreement based on any arrangement or agreement
made by or on behalf of Buyer, except those for which Buyer is solely responsible. 
 Section 6.6. Sufficient Funds. Buyer has,
or will obtain prior to the Closing Date, sufficient funds to pay the cash portion of the Upfront Consideration in accordance with the terms of this Agreement. 
 Section 6.7. Accuracy of Information. No representation or warranty made by Buyer in this Agreement contains any untrue statement of a material fact or omits to state a material fact that is necessary to
make the representation or warranty made, in the light of the circumstances under which it was made, not false or misleading in any material respect. 
 Section 6.8. Capitalization. As of the date hereof, the authorized capital stock of Buyer consists of (i) 200,000,000 shares of Buyer Common Stock, of which 53,516,309 shares are issued and
outstanding, (ii) 5,000,000 shares of preferred stock, of which no shares are issued and outstanding, and (iii) 4,910,000 shares held in treasury. The Shares are duly authorized and, when so issued, will (x) be validly issued and
outstanding, fully paid and nonassessable, free and clear of all Liens and shall not be subject to preemptive or similar rights of shareholders, (y) will have been registered under the Securities Act, and (z) have been registered or
qualified or exempt from registration under the “blue sky” Laws of all jurisdictions in which such registration or qualification is so required. 
  

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 Section 6.9. SEC Reports. Buyer is obligated under the Exchange Act to file reports pursuant
to Sections 13 and 15(d) thereof (all such reports filed or required to be filed by Buyer, including all exhibits thereto or incorporated therein by reference, and all documents filed by Buyer under the Securities Act are hereinafter called the
“SEC Reports”). Buyer has filed all reports or other documents required to be filed under the Exchange Act in the 12-month period prior to the date hereof. All SEC Reports filed by Buyer (i) were prepared in all material
respects in accordance with the requirements of the Exchange Act and the Securities Act and (ii) did not at the time they were filed (or, if amended or superseded by a filing prior to the date hereof, then on the date of such filing) contain
any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. 
 Section 6.10. Proprietary Rights of Third Parties. Neither Buyer nor any of its Subsidiaries has received any written notice of invalidity,
infringement or misappropriation from any third party with respect to any Proprietary Rights of such third party, which would reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect on Buyer. 
 Section 6.11. Environmental and Safety Laws. Except as set forth in Buyer’s SEC Reports, Buyer (i) is in material compliance with
all Environmental and Safety Laws, (ii) has received all permits, licenses or other approvals required of them under applicable Environmental Laws to conduct its business and (iii) is in material compliance with all terms and conditions of
any such permit, license or approval where, in each of the three foregoing clauses, the failure to so comply would have, individually or in the aggregate, a Material Adverse Effect. 
 Section 6.12. Employment Matters. Buyer is in compliance with all federal, state, local and foreign laws and regulations respecting
employment and employment practices, terms and conditions of employment and wages and hours, except where failure to be in compliance would not, individually or in the aggregate, have a Material Adverse Effect. Except as set forth in Buyer’s
SEC Reports, Buyer is not bound by or subject to (and none of its assets or properties is bound by or subject to) any written or oral, express or implied, contract, commitment or arrangement with any labor union, and no labor union has requested or,
to Buyer’s Knowledge, has sought to represent any of the employees, representatives or agents of Buyer. There is no strike or other labor dispute involving Buyer pending, or to Buyer’s Knowledge, threatened nor is Buyer aware of any labor
organization activity involving its employees. To the actual knowledge of the Chief Executive Officer and Chief Financial Officer of Seller, without any duty of inquiry, as of the date hereof, neither the Buyer’s Chief Executive Officer nor any
of the following individuals have given notice of their intent to terminate their employment with Buyer: Maurice Carson, TC Mak, Christian Rheault, Shawn Sarbacker, Noam Shlasky or Shay Torton. 
  

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 Section 6.13. Listing and Maintenance Requirements. Buyer is in material compliance with each
of the requirements of NASDAQ for continued listing of Buyer Common Stock listed thereon (except that the foregoing representation shall be unqualified as to “materiality” with respect to NASDAQ Marketplace Rule 4310(c)(16), provided that
the reference to “material” in such rule shall remain), and has not received any notification that, and has no Knowledge that, NASDAQ is contemplating terminating such listing nor, to Buyer’s Knowledge, is there any basis therefor.
Assuming receipt of the Buyer Shareholder Approval, the issuance of the Shares does not contravene the rules and regulations of NASDAQ. Prior to the Closing, the Shares shall have been duly authorized for listing on NASDAQ. 
 Section 6.14. Application of Takeover Protections. There is no control share acquisition, business combination, poison pill (including any
distribution under a rights agreement) or other similar anti-takeover provision under Buyer’s charter documents or the Laws of its state of incorporation that is or could become applicable to Seller as a result of Seller, Buyer fulfilling its
obligations or exercising its rights under this Agreement and the Ancillary Agreements, including, without limitation, as a result of Buyer’s issuance of the Shares and Seller’s ownership of such Shares. 
 Section 6.15. Buyer Fairness Opinion. The Board of Directors of Buyer has received from Credit Suisse its opinion (the “Buyer
Fairness Opinion”) to the effect that, as of the date of such opinion, the Upfront Consideration together with the Earnout Payments (as defined in the Earnout Agreement) is fair to Buyer, from a financial point of view. 
 Section 6.16. Eligibility to Use Form S-3. As of the date hereof, Buyer meets the “registrant eligibility” requirements for the use
of Form S-3 for registration of the sale by Seller and Seller Shareholders of the shares of Buyer Common Stock being issued to Seller pursuant to the terms of this Agreement. To Buyer’s Knowledge, there is no fact or current or prior
circumstance that would be reasonably likely to cause Buyer to become ineligible to use Form S-3 as of the date hereof. 
 ARTICLE VII 

 COVENANTS 
 Section 7.1. Commercially Reasonable Efforts. Subject to the terms and conditions of this Agreement, each of Buyer and Seller agrees to use its commercially reasonable efforts to take, or cause to be taken, all actions, and to
do, or cause to be done, all things necessary, proper or desirable, or advisable under applicable Laws, so as to enable the Parties to consummate, as soon as practicable, the transactions contemplated hereby which are required to be performed prior
to or at the Closing, including the satisfaction of the conditions set forth in this Agreement, and the Parties shall cooperate fully with each other to that end. 
 Section 7.2. Operation of the Business Prior to Closing. Except as otherwise contemplated by this Agreement, or otherwise disclosed on Schedule 7.2, between the date hereof and the Closing (except
as specifically required or permitted by this Agreement or required by Law, or except as Buyer shall otherwise consent thereto), Seller shall use its commercially reasonable efforts to, and shall cause its Subsidiaries to, use their commercially
reasonable efforts to operate the Business in the ordinary course consistent with past practice, maintain relationships with the material customers and suppliers of the Business, retain the services of current officers and other key 

  

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employees and keep the tangible Purchased Assets in good repair and condition (ordinary wear and tear excepted). In furtherance of the foregoing, except as
specifically required or permitted by this Agreement or required by Law, or except as Buyer’s prior written consent to do otherwise is obtained (which consent shall not be unreasonably withheld or delayed), Seller shall not, and shall cause its
Subsidiaries not to: 
 (a) sell, transfer, license, encumber or otherwise dispose of, or subject to any Lien, any Purchased Assets or any
interest therein, other than (i) immaterial dispositions of Purchased Assets, and (ii) Inventory sold or disposed of in the Ordinary Course of Business; 
 (b) establish any new Seller Plan for the employees or former employees of the Seller Entity, or amend or modify any existing Seller Plan as to any benefit or in any other way; 
 (c) undertake any new material business opportunity outside the Ordinary Course of Business; 
 (d) grant or announce any increase in the salaries, compensation, bonuses or other benefits payable to any officers or employees, other than (i) as
required by applicable Law, (ii) pursuant to any plans, programs or agreements existing on the date hereof, as may be amended by Seller in the Ordinary Course of Business, or (iii) other ordinary increases in salaries, bonuses (including
equity-based incentives) or commissions consistent with past practices; 
 (e) except in the Ordinary Course of Business, create or incur any
Indebtedness and, even if in the Ordinary Course of Business, then not in excess of $100,000 in the aggregate; 
 (f) except in the Ordinary
Course of Business, make or commit to make any capital expenditure in amounts greater than $100,000 individually or $250,000 in the aggregate; 
 (g) except in the Ordinary Course of Business, pay, prepay or discharge any Liability or fail to pay any Liability when due; 
 (h)
make any changes in accounting methods or practices or revalue its assets, except for (i) those changes required by GAAP, and (ii) changes in its tax accounting methods or practices that may be necessitated by changes in applicable Tax
Laws; 
 (i) issue, sell, pledge, encumber, authorize the issuance of, enter into any contract to issue, sell, pledge, encumber, or authorize
the issuance of, or otherwise permit to become outstanding, any additional shares of its capital stock, or any stock appreciation rights, or any option, warrant, conversion, or other right to acquire any such stock, or any security convertible into
any such stock, or pay or declare or agree to pay or declare any dividend or other distribution with respect to any of its capital stock other than cash dividends to allow the Seller Shareholders to pay their Tax liability with respect to taxable
income attributable to their ownership interests in Seller; 
 (j) make any loan or otherwise arrange for the extension of credit to any
employee or increase the aggregate amount of any loan currently outstanding to any employee, other than in the Ordinary Course of Business; 
 (k) purchase or redeem, or agree to purchase or redeem, any of its capital stock; 
  

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 (l) transfer or license to any Person or otherwise extend, amend or modify any of the Proprietary Rights
of any Seller Entity, other than in the Ordinary Course of Business; 
 (m) acquire or agree to acquire by merging or consolidating with, or
by purchasing a substantial portion of the assets of, or by any other manner, any business or any Person or division thereof; 
 (n) (i)
enter into any new Contract material to the Business, other than in the Ordinary Course of Business, or (ii) materially modify, amend or terminate any Contract material to the Business to which Seller is a party or waive, release, or assign any
material rights or claims thereunder; 
 (o) take any actions that would have a Material Adverse Effect on Seller; 
 (p) commence a legal proceeding or threaten to commence a legal proceeding against any Person (including, without limitation, for patent infringement);

 (q) enter into any new Contract (other than purchase orders in the Ordinary Course of Business) to purchase any raw materials, spare parts
and other materials and supplies; or 
 (r) authorize any of, or commit or agree to take any of, the foregoing actions. 
 Section 7.3. Access to Information. 
 (a) Upon reasonable notice, Seller shall afford to Buyer’s officers, employees, counsel, accountants, financing sources and other authorized representatives (collectively, the “Buyer Representatives”), reasonable
access, during normal business hours throughout the period prior to the Closing Date, to its respective officers, directors, employees, accountants and other advisors, properties, books, records, Permits and Contracts for purposes of verifying the
representations and warranties made under this Agreement and to evaluate the transactions contemplated by this Agreement, and, during such period, Seller shall and shall cause each of its Subsidiaries to promptly furnish to such Buyer
Representatives all financial, operating and other data and information concerning the Seller Entities and their properties, businesses and personnel as may reasonably be requested in writing by Buyer. 
 (b) Buyer agrees that it will, and will cause its Buyer Representatives to, use any information obtained pursuant to this Section 7.3 only in
connection with the consummation of the transactions contemplated by this Agreement or the Ancillary Agreements and for no other reason or purpose whatsoever. 
 Section 7.4. Filings Under the HSR Act and Other Antitrust Laws. 
 (a) General. The
Parties acknowledge that the consummation of the transactions contemplated by this Agreement or the Ancillary Agreements may require filings with the FTC and the Antitrust Division under the HSR Act and with certain foreign jurisdictions under
applicable foreign competition or merger Laws (each an “Antitrust Law” and collectively, the “Antitrust Laws”). Subject to applicable Law relating to the exchange of information, the Parties and their respective
counsel shall collaborate and consult with each other in order to gain the necessary approval or waiver from any Governmental Entity. Notwithstanding anything to the contrary in this Section 7.4, materials provided to another Party or
its counsel may be redacted (A) to remove 

  

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references concerning the valuation of Seller and its Subsidiaries, (B) as necessary to comply with contractual arrangements and (C) as necessary
to address good faith legal privilege or confidentiality concerns. 
 (b) Consents; Approvals. 
 (i) The Parties shall use their commercially reasonable efforts to as promptly as practicable obtain and cooperate with each other in order to obtain all
consents, waivers, approvals, authorizations or orders and to make all filings (including, without limitation, the filings under the HSR Act and other Antitrust Laws and all other filings with Governmental Entities) lawfully required to be obtained
from or filed with all applicable Governmental Entities in connection with the authorization, execution and delivery of this Agreement by Seller and Buyer and the consummation of the transactions contemplated hereby. 
 (ii) Each Party shall (A) file or cause to be filed with the FTC and the Antitrust Division,
and with any other Governmental Entities, if applicable, as promptly as practicable but in no event later than the tenth (10th) Business Day
after the execution and delivery of this Agreement, all Notification and Report Forms and other documents required to be filed by such Party under the HSR Act or other applicable Antitrust Laws concerning the transactions contemplated hereby and
(B) promptly comply with or cause to be complied with any requests by any Governmental Entity for additional information concerning such transactions, in each case so that the waiting period applicable to this Agreement and the transactions
contemplated hereby shall expire as soon as practicable after the execution and delivery of this Agreement. 
 (iii) Each Party shall
furnish to the other Party’s outside counsel all information about such Party and its Affiliates, if any, required to be included in any application or other filing to be made by such other Party pursuant to the rules and regulations of any
Governmental Entity in connection with this Agreement, subject to applicable Law and privileges, including the attorney-client privilege. 
 (iv) In furtherance and not in limitation of the agreements of the Parties contained in this Section 7.4, each Party shall use its commercially reasonable efforts to resolve such objections, if any, as may be asserted by a
Governmental Entity or other Person with respect to the transactions contemplated hereby under any applicable Law. 
 (v) Buyer and Seller
shall each pay 50% of the applicable HSR Act filing fees and all other antitrust notification filing fees required in any other applicable jurisdiction. 
 (c) Divestitures; Obligation to Close. Notwithstanding anything to the contrary set forth in this Agreement, nothing in this Agreement shall be deemed to require Buyer, Seller or any of their respective
Subsidiaries to, and Seller and its Subsidiaries will not without Buyer’s prior written consent, agree to any divestiture of shares of capital stock or of any business, assets or property, or the imposition of any limitation on the ability of
any of them to conduct their businesses or to own or exercise control of such assets, properties and stock, in each case, to avoid or eliminate any impediment under Antitrust Laws. For the avoidance of doubt, nothing in this Agreement shall obligate
Buyer to consummate the transactions contemplated herein in the event that any Governmental Entity requests additional information that could reasonably be expected to cause a delay in the consummation of the transactions beyond the date set forth
in Section 9.1(b), or requires the divestiture of shares of capital stock or of any business, assets or property, or the imposition of any limitation on the ability of any of them to conduct their businesses. 
  

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 Section 7.5. Exclusivity. Until this Agreement is terminated by its terms, Seller shall not,
and shall cause each of its Subsidiaries not to, solicit, initiate, or encourage the submission of any proposal or offer from any Person relating to the acquisition of all or substantially all of the capital stock or assets of Seller or any of its
Subsidiaries, whether such transaction takes the form of a sale of stock, merger, liquidation, dissolution, reorganization, recapitalization, consolidation, sale of assets or otherwise (an “Acquisition Proposal”). The Seller
Entities and their agents and other Persons acting on their behalf (a) do not have any agreement, arrangement or understanding with respect to any Acquisition Proposal (except this Agreement), (b) shall cease and cause to be terminated any
and all discussions with any Person (other than Buyer) regarding any Acquisition Proposal and shall not provide any information to, or otherwise cooperate with, any such Person, and (c) shall promptly notify Buyer if any Acquisition Proposal,
or any inquiry or contact with any Person or entity with respect thereto, is made. 
 Section 7.6. Noncompetition, Nonsolicitation,
and Confidentiality. 
 (a) Noncompetition. During the period beginning on the Closing Date and ending on the second anniversary of
the Closing Date, the Named Individuals and Seller will not, and Seller will cause its current and future Affiliates not to, directly or indirectly, whether by itself or through an agent, employee or otherwise, or in association with any Person,
(i) engage in any business throughout the world that commercially designs, manufactures, sells or markets products, that compete, in whole or in part, with the Business (a “Competing Business”), or (ii) own, invest in the
stock, bonds or other securities of, finance, manage, operate, control, participate in the ownership, management, operation, or control of, any other Person that is engaged in a Competing Business; provided, however, neither Seller nor
any of its Affiliates will be in violation of this Section 7.6(a) solely by reason of investing in stock, bonds or other securities of any Person or entity engaged in a Competing Business if: (i) such stock, bonds or other
securities are listed on any national securities exchange or have been registered under Section 12(g) of the Exchange Act or any successor law; and (ii) such investment does not exceed, in the case of any class of the capital stock of any
one issuer, 1% of the issued and outstanding shares or such capital stock, or, in the case of bonds or other securities, 1% of the aggregate principal amount thereof issued and outstanding. The Parties hereto agree that the covenant set forth in
this Section 7.6(a) is reasonable with respect to its duration, geographical area, and scope. If the final judgment of a court of competent jurisdiction declares that any term or provision of this Section 7.6(a) is invalid or
unenforceable, the Parties agree that the court making the determination of invalidity or unenforceability shall have the power to reduce the scope, duration, or area of the term or provision, to delete specific words or phrases, or to replace any
invalid or unenforceable term or provision with a term or provision that is valid and enforceable and that comes closest to expressing the intention of the invalid or unenforceable term or provision, and this Agreement shall be enforceable as so
modified after the expiration of the time within which the judgment may be appealed. 
 (b) Nonsolicitation. During the period beginning on the Closing Date and ending on the third (3rd) anniversary of the Closing
Date, the Named Individuals and Seller will not, and Seller will cause its current and future Affiliates not to, (i) directly or indirectly contact, approach, or solicit for the purpose of offering employment to or hiring (whether as an
employee, consultant, agent, independent contractor or otherwise) or actually hire any Person employed by a Seller Entity at any time before the Closing Date, without the prior written consent of Buyer, and (ii) induce or 

  

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attempt to induce any customer, vendor or other business relation of any Seller Entity (A) to enter into any business relationship which might
materially harm Buyer or (B) to refrain from doing business with Buyer or any of its Subsidiaries. 
 (c) Confidentiality. Each
of the Named Individuals and Seller shall, and in the case of Seller shall cause its current and future Affiliates to, treat and hold as confidential any information concerning the Business of Seller Entities (including, without limitation, all
Proprietary Rights) that is not already generally available to the public (the “Confidential Information”), refrain from using any of the Confidential Information except in connection with this Agreement, and at any time upon the
request of Buyer, deliver promptly to Buyer or destroy, at the request and option of Buyer, all copies of the Confidential Information which are in its possession or under its control. In the event that any Named Individual, Seller, or any of its
Affiliates, is requested or required (by oral question or request for information or documents in any legal proceeding, interrogatory, subpoena, civil investigative demand, or similar process) to disclose any Confidential Information, Seller shall
notify Buyer promptly of the request or requirement so that Buyer may seek an appropriate protective order or waive compliance with the provisions of this Section 7.6(c). If, in the absence of a protective order or the receipt of a
waiver hereunder, a Named Individual, Seller or any of its Affiliates is, on the advice of counsel, compelled to disclose any Confidential Information to any Governmental Entity or else stand liable for contempt, such Named Individual, Seller or its
Affiliate may disclose the Confidential Information to such Governmental Entity; provided that the Named Individual or Seller shall, and shall cause each of its Affiliates to, use commercially reasonable efforts to obtain, at the request and
expense of Buyer, an order or other assurance that confidential treatment shall be accorded to such portion of the Confidential Information required to be disclosed as Buyer shall designate. 
 (d) Remedy for Breach. Seller acknowledges and agrees that in the event of a breach of any of the provisions of this Section 7.6,
monetary damages shall not constitute a sufficient remedy. Consequently, in the event of any such breach, Buyer, or its successors or assigns may, in addition to other rights and remedies existing in their favor, apply to any court of law or equity
of competent jurisdiction for specific performance or injunctive or other relief in order to enforce or prevent any violations of the provisions hereof, in each case without the requirement of posting a bond or proving actual damages. 
 Section 7.7. Employee Matters. 
 (a) Employment. Buyer shall make offers of employment, to be effective as of the Closing Date, to those employees of Seller listed on Schedule 7.7 (those employees who accept employment with Buyer are collectively referred to
herein as the “Transferred Employees”). Buyer shall provide each Transferred Employee with terms and conditions of employment that are substantially similar in the aggregate to those applicable to such Transferred Employees as of
immediately prior to the Closing Date, including providing for substantially equivalent places of employment, compensation, and responsibilities. Buyer shall also offer Transferred Employees employee benefits pursuant to its Buyer employee benefit
plans, programs or arrangements (including equity participation opportunities, severance, retirement and welfare) (each, a “Buyer Plan”) that are substantially similar to the benefits provided by Buyer to its own similarly situated
employees. Buyer shall credit each Transferred Employee with service for all periods of service prior to the Closing Date recognized by Seller or any of its Subsidiaries for purposes of determining eligibility, vesting and benefit levels, as the
case may be, under all Buyer Plans for which they are eligible following the Closing Date to the same extent recognized under comparable Seller Plans 

  

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prior to the Closing Date, provided, however, that this language shall not be construed as giving past service credit for awards that require future service
as a condition of earning any bonus, incentive or equity awards granted on or after the Closing Date. Notwithstanding anything in this Agreement to the contrary, nothing in this Agreement shall confer upon any Transferred Employee the right to
continue in employment following the Closing Date, or is intended to interfere with Buyer’s right to terminate the employment of any Transferred Employee for any reason or no reason from or following the Closing Date. Effective as of the
Closing, Seller shall waive any covenants not to compete, confidentiality provisions or other similar restrictions that may be applicable to Transferred Employees but only to the extent such covenants, provisions or restrictions relate to the
Business and would prohibit the Transferred Employees from accepting employment with Buyer or one of its Affiliates or continuing in such employment at all without violating any such covenants, provisions or restrictions; provided, however, Seller
shall not waive any confidentiality provisions or other similar restrictions to the extent applicable to the Excluded Assets or Excluded Liabilities, simply as a result of a Transferred Employee becoming an employee of Buyer or one of its
Affiliates. 
 (b) COBRA. Buyer shall have sole responsibility for “continuation coverage” benefits provided after the
Closing Date under Buyer’s group health plans to all Transferred Employees, and “qualified beneficiaries” of Transferred Employees, for whom a “qualifying event” occurs after the Closing Date. Seller shall have the sole
responsibility for “continuation coverage” benefits provided under Seller’s group health plans to all Transferred Employees, and all “qualified beneficiaries” of such Transferred Employees, for whom a “qualifying
event” has occurred on or prior to the Closing Date, or for any Seller employee or “qualified beneficiary” who is not a Transferred Employee or a “qualified beneficiary” of a Transferred Employee, regardless of when such
“qualifying event” occurs, and the obligations of Seller under this sentence are Retained Liabilities. The terms “continuation coverage,” “qualified beneficiaries” and “qualifying event” shall have the meaning
ascribed to them under Section 4980B of the Code and Sections 601-608 of ERISA. 
 (c) Employee Benefit Plans. Seller shall
retain all sponsorship, obligations, responsibilities and Liabilities with respect to any Seller Plan (as defined in Section 5.18). Notwithstanding any provision of this Agreement to the contrary, no Seller Plan shall be transferred to
or assumed by Buyer. 
 (d) WARN Act Filings. Each of Seller and Buyer agrees to cooperate in the preparation of any notices required
to be made under the WARN Act and any similar applicable Law as a result of the transactions contemplated by this Agreement. 
 (e)
Transition. Seller shall provide any transition services necessary to transfer the employment of the Transferred Employees and to cooperate with Buyer in order to effect a smooth transition for all Transferred Employees. 
 Section 7.8. Certain Tax Matters. 
 (a) Seller will be responsible for preparing and filing property (whether real or personal) and similar Tax Returns (“Property Tax Returns”) with respect to the Purchased Assets for tax periods ending on or before the
Closing Date and subject to proration of such taxes as described below, will make all payments required with respect to each such Tax Return. Buyer will be responsible for preparing and filing all Property Tax Returns for the Purchased Assets for
all periods commencing after the Closing Date and subject to proration of such taxes as described below, will 

  

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make all payments required with respect to each such Tax Return. Such ad valorem and property (whether real or personal) Taxes that are imposed on a periodic
basis and are payable for a taxable period that includes (but does not end on) the Closing Date (a “Straddle Period”), shall be prorated between Buyer and Seller by prorating the Taxes owed for the Straddle Period on a per-diem
basis (by assuming Seller held such assets through the Closing Date). Buyer and Seller shall cooperate, as and to the extent reasonably requested by a party, in connection with the filing of Tax Returns pursuant to this Agreement and any audit,
litigation or other proceeding with respect to Taxes. Such cooperation shall include the retention and (upon a party’s request) the provision of records and information which are reasonably relevant to any such audit, litigation or other
proceeding, making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder, and timely notification of receipt of any notice of an audit or notice of deficiency relating
to any Tax or Tax Return with respect to which the non-recipient may have liability hereunder. 
 (b) Buyer and Seller shall each pay 50% of
all sales or use Taxes, recording, registration and conveyance Taxes and fees, and similar transfer Taxes arising from or relating to the transactions contemplated in this Agreement (the “Transaction Taxes”). Seller shall file or
cause to be filed all necessary Tax Returns and other documentation with respect to such Transaction Taxes. If required by applicable law, Buyer shall join in the execution of any such Tax Returns or such other related documentation. 
 (c) Seller shall use its commercially reasonable efforts to deliver within 60 days of the Closing all Tax clearance certificates or tax status letters,
as applicable, necessary for Buyer to avoid any potential successor liability for the taxes of any of the Seller Entities. 
 Section 7.9. Notification of Certain Matters. The Parties shall promptly advise each other orally and in writing of (a) any representation or warranty made by it contained in this Agreement becoming untrue or inaccurate in
any material respect, (b) the failure by it to comply with or satisfy in any material respect any covenant, condition or agreement to be complied with or satisfied by it under this Agreement or (c) any change or event (i) having, or
which, insofar as can reasonably be foreseen, would have, a Material Adverse Effect on Buyer or Seller, as the case may be, or (ii) which has resulted, or which, insofar as can reasonably be foreseen, would result, in any of the conditions set
forth in Article VIII not being satisfied; provided, however, that no such notification shall affect the representations, warranties, covenants or agreements of the Parties or the conditions to the obligations of the Parties under this
Agreement. 
 Section 7.10. Meeting of Buyer Shareholders. If required under Buyer’s Amended and Restated Articles of
Incorporation, Bylaws, applicable Laws or the rules of NASDAQ, Buyer shall, promptly after the date hereof, use its commercially reasonable efforts to obtain the Buyer Shareholder Approval in accordance with the applicable provisions of Buyer’s
Amended and Restated Articles of Incorporation, Bylaws, applicable Law, the rules of NASDAQ, and this Agreement, at a duly called and noticed meeting of the Buyer Shareholders (the “Buyer Shareholders’ Meeting”). 
 Section 7.11. Preparation of Registration Statement. 
 (a) If the Wire Business Transaction is not consummated on or before the Target Closing Date, Buyer shall prepare a registration statement on Form S-4 (such registration statement, together with any amendments thereof
or supplements thereto, being the “S-4 Registration Statement”), with the assistance of Seller, in connection with the registration under the Securities Act 

  

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of the offering, sale and delivery of Buyer Common Stock to be issued in as part of the transactions contemplated by this Agreement. Buyer and Seller shall
use commercially reasonable efforts to effect such filing with the SEC pursuant to the registration provisions of the Securities Act promptly after the Target Closing Date and after receipt of the Seller SEC Financial Statements from Accountant, but
in no event later than 10 Business Days following such receipt; provided, however, that neither party shall be compelled by such undertaking to make any concession to any Governmental Entity that it in good faith regards as inappropriate.
Buyer and Seller shall use commercially reasonable efforts to have the S-4 Registration Statement become effective as promptly as practicable, and shall take any action required to be taken under any applicable federal or state securities Laws in
connection with the issuance of the Alternative Upfront Consideration. Buyer will use its commercially reasonable efforts to prevent the issuance of any stop order or other suspension of effectiveness of the S-4 Registration Statement and, if such
an order is issued, will use its commercially reasonable efforts to obtain the withdrawal of such order at the earliest possible time. 
 (b)
If the Alternative Upfront Consideration is not issued at the Closing, Buyer shall prepare and file promptly with the SEC after the Closing Date and the receipt of the Seller SEC Financial Statements a registration statement on Form S-3 under the
Securities Act (the “S-3 Registration Statement” and, together with the S-4 Registration Statement, the “Registration Statement”) for the resale by the Seller and the Seller Shareholders of the Shares, provided
that, notwithstanding anything else to the contrary contained herein, Buyer shall file the S-3 Registration Statement no later than the tenth Business Day following the filing of the Buyer Form 8-K, or amendment thereto, with the SEC pursuant to
Section 7.18 below, which includes the SEC Financial Statements. Buyer and Seller shall use commercially reasonable efforts to have the S-3 Registration Statement become effective as promptly as practicable, and shall take any action required
to be taken under any applicable federal or state securities Laws in connection with the issuance of the Shares. Buyer will use its commercially reasonable efforts to prevent the issuance of any stop order or other suspension of effectiveness of the
S-3 Registration Statement and, if such an order is issued, will use its commercially reasonable efforts to obtain the withdrawal of such order at the earliest possible time. Buyer will file all reports required to be filed by Buyer with the SEC in
a timely manner so as to preserve its eligibility for the use of Form S-3, and Buyer shall cause the S-3 Registration Statement to remain effective until the earlier of such date that Seller and each of the Seller Shareholders are eligible to sell
the Shares pursuant to Rule 144 under the Securities Act without limitation as to volume or such date that all of the Shares have been sold. 
 (c) The information supplied by each Party for inclusion in the Registration Statement shall not, at the time the Registration Statement is declared effective, contain any untrue statement of a material fact or omit to state any material
fact required to be stated therein or necessary in order to make the statements therein not misleading. If, at any time prior to the date on which the Registration Statement becomes effective, any event or circumstance relating to a Party or any of
its Affiliates, or to their respective officers or directors, should be discovered by such Party that should be set forth in an amendment to the Registration Statement, such Party shall promptly inform the other and prepare and assist Buyer in the
filing of such amendment, subject to Section 7.12(d) below. All documents that Buyer is responsible for filing with the SEC in connection with the transactions contemplated hereby shall comply as to form and substance in all material respects
with the applicable requirements of the Securities Act and the Exchange Act. 
 (d) Buyer shall permit Seller and Seller’s counsel to
review the Registration Statement and all amendments and supplements thereto a reasonable amount of time prior to their filing with the SEC, and will not file any of the foregoing without the approval of Seller, which 

  

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approval shall not be unreasonably withheld or delayed. Buyer shall advise Seller promptly upon the occurrence of any of the following:
(i) effectiveness of the Registration Statement; (ii) the filing of an amendment to the Registration Statement; (iii) the issuance of any stop order suspending the effectiveness of the Registration Statement; (iv) the suspension
of the qualification of Buyer Common Stock issuable in connection with the transactions contemplated herein for offering or sale in any jurisdiction; (v) any request by the staff of the SEC for an amendment of the Registration Statement; and
(vi) the receipt of comments from the staff of the SEC on the Registration Statement or any amendment thereto or any request by the staff of the SEC for additional information with respect to any of the foregoing. Buyer shall promptly provide
to Seller copies of all correspondence between Buyer or any of its representatives and advisors, on the one hand, and the SEC, on the other hand, in connection with the Registration Statement and the transactions contemplated hereby. 
 (e) Buyer shall bear the fees and expenses incurred in connection with the filings and registrations contemplated by this Section 7.11;
provided, however, that Buyer shall not be responsible for fees and expenses relating to (i) the Accountant’s audit or (ii) the review by Seller, Seller’s counsel or the Accountant, as the case may be, of Seller’s SEC
Financial Statements or relating to the foregoing parties’ review of the Registration Statement or any amendments thereto. 
 Section 7.12. NASDAQ. Buyer shall file a Notification Form: Listing of Additional Shares (the “NASDAQ Notification Form”) with respect to the listing of the Shares with the Listing Qualifications Department of
the NASDAQ Stock Market at least 15 days prior to the Closing. 
 Section 7.13. Accountant SEC Audit. Seller shall use
commercially reasonable efforts to cause Accountant to (a) deliver to the Buyer audited financial statements (income statements, balance sheet, statements of shareholder equity and cash flow statements) audited by Accountant in compliance with
GAAP and the rules and regulations of the SEC, for the annual periods ending December 31, 2006 and December 31, 2007, and unaudited financial statements (income statements, balance sheet, statements of shareholder equity and cash flow
statements) reviewed by Accountant in compliance with GAAP and the rules and regulations of the SEC, for the interim periods required to be included in the Registration Statement (collectively, the “Seller SEC Financial
Statements”), in each case within thirty (30) days after the date of this Agreement; provided, that with respect to the Seller SEC Financial Statements for the period ending September 30, 2008 (to the extent that the Parties
determined that such SEC Financial Statements are required for inclusion in the Buyer Form 8-K), the Seller shall use commercially reasonable efforts to cause Accountant to deliver such SEC Financial Statements to Buyer within twenty (20) days
from the date that the Parties determine that such Financial Statements are required (it being understood, however, that such SEC Financial Statements can not be delivered prior to October 20, 2008), and (b) grant any consents required
under the Securities Act or the Exchange Act, each as amended, in connection with the filing by Buyer of reports or financial statements of the Seller audited by Accountant with the SEC. 
 Section 7.14. Further Assurances. Each of the Parties hereto shall use its commercially reasonable efforts to take or cause to be taken all
appropriate action and do, or cause to be done, all things reasonably necessary or appropriate to consummate and make effective the transactions contemplated by this Agreement, including the execution of any additional documents, instruments or
conveyances of any kind (not containing additional representations and warranties) which may be necessary or appropriate to carry out any of the provisions hereof. 
 Section 7.15. Publicity. Before the Closing Date, the Parties will consult with each other and will mutually agree upon any press releases pertaining to the transactions contemplated by this 

  

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Agreement and shall not issue any such press releases prior to such consultation and agreement, except as may be required by applicable Law, in which case
the Party proposing to issue such press release shall use its commercially reasonable efforts to consult in good faith with the other Party before issuing any such press release. 
 Section 7.16. Name Change. By the close of business on the third Business Day following the Closing Date, Seller shall file with the
California Secretary of State an amendment to its Articles of Incorporation effecting a change in the name of Seller to a name that does not include “Orthodyne.” 
 Section 7.17. Observer Rights. Commencing on the Closing Date and continuing until the third anniversary of the Closing Date, Buyer shall
invite one Named Individual (the “Observer”) to attend in a non-voting observer capacity all meetings of Buyer’s board of directors and Buyer shall give the Observer copies of all notices, minutes, consents, and other material
that it provides to its board members; provided, however, that Buyer reserves the right to exclude the Observer from access to any material or meeting or portion thereof if (a) Buyer believes that such exclusion is reasonably necessary to
preserve the attorney-client privilege, to protect confidential information or (b) such meeting or portion of a meeting is an executive session limited solely to members of the board and legal counsel; provided, further, that the rights granted
pursuant to Section 7.17 shall terminate prior to the third anniversary of the Closing Date in the event that no Named Individual is employed by Buyer or any of its Affiliates. The Observer initially will be Gregg S. Kelly. If
Mr. Kelly’s employment with Buyer or an Affiliate of Buyer terminates prior to the third anniversary of the Closing Date, he will be replaced as Observer by the Named Individual who assumes Mr. Kelly’s role as senior officer
responsible for the wedge bonding business unit of Buyer, or if no Named Individual assumes such role, by a Named Individual to be determined by the Named Individuals. 
 Section 7.18. Securities Laws Disclosure. Buyer shall file a Current Report on Form 8-K disclosing the closing of the transactions contemplated by this Agreement in accordance with SEC rules and
regulations (the “Buyer Form 8-K”). To the extent that the Seller SEC Financial Statements are available, the Buyer shall use all commercially reasonable efforts to include the Seller SEC Financial Statements and any pro forma
financial information required by such rules and regulations in the initial Buyer Form 8-K; provided, that, if the Buyer Form 8-K does not include such statements and information, then Buyer shall file an amendment to the Buyer Form 8-K in
accordance with SEC rules and regulations including such statements and information as soon as reasonably practicable thereafter. In addition, Buyer shall make such other filings and notices in the manner and time required by the Commission and
NASDAQ, as applicable. 
 ARTICLE VIII 
 CONDITIONS TO CLOSING 
 Section 8.1. Conditions to Buyer’s Obligations. The
obligation of Buyer to consummate the transactions contemplated by this Agreement is subject to the satisfaction of the following conditions as of the Closing Date: 
 (a) The representations and warranties set forth in Article V hereof shall be true and correct in all material respects (except that the representations and warranties which are qualified as to
“materiality” or “Material Adverse Effect” shall be true and correct in all respects) at and as of the Closing Date as though then made and as though the Closing Date were substituted for the date of this Agreement throughout
such representations and warranties; 
  

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 (b) Seller shall have performed and complied in all material respects with all of the covenants and
agreements required to be performed by it under this Agreement on or before the Closing; 
 (c) All third party Consents set forth on
Exhibit 8.1(c) shall have been obtained on terms reasonably satisfactory to Buyer; 
 (d) All governmental filings, authorizations,
and approvals that are required for the consummation of the transactions contemplated hereby shall have been duly made and obtained, and any notice periods required in connection therewith shall have expired, including, without limitation, any
filings or approvals required pursuant to the HSR Act or the WARN Act; 
 (e) No action, suit, or proceeding shall be pending before any
court or quasi-judicial or administrative agency of any federal, state, local, or foreign jurisdiction or before any arbitrator wherein an unfavorable judgment, decree, injunction, order, or ruling would prevent the performance of this Agreement or
any of the transactions contemplated hereby, declare unlawful the transactions contemplated by this Agreement, cause such transactions to be rescinded, or materially and adversely affect the right of Buyer to own, operate, or control the Business,
and no judgment, decree, injunction, order, or ruling shall have been entered which has or is reasonably likely to have any of the foregoing effects; 
 (f) Buyer shall have received a Bill of Sale, in a form mutually acceptable to Buyer and Seller (the “Bill of Sale”), executed by Seller in favor of Buyer; 
 (g) Seller shall have executed and delivered to Buyer an Assignment and Assumption Agreement, in a form mutually acceptable to Buyer and Seller (the
“Assignment and Assumption Agreement”); 
 (h) Seller shall have executed and delivered to Buyer assignments of all
Proprietary Rights and separate assignments of all registered marks, patents, and copyrights, each in a form mutually acceptable to Buyer and Seller (the “Proprietary Rights Assignment”); 
 (i) Seller shall have executed and delivered to Buyer the Escrow Agreement; 
 (j) Buyer shall have received an opinion of counsel from Stradling Yocca Carlson & Rauth, counsel to Seller, substantially in the form attached
hereto as Exhibit C; and 
 (k) Each of the Named Individuals shall have executed and delivered an Employment Agreement, substantially
in the form attached hereto as Exhibit D-1, Exhibit D-2 or Exhibit D-3, respectively (collectively, the “Employment Agreements”); 
 (l) Seller shall have executed and delivered to Buyer the Real Property Lease Agreement with respect to the Premises located at 16700 Red Hill Avenue and 1595 Deere Avenue, Irvine, California, substantially in the
form attached hereto as Exhibit E (the “Real Property Lease Agreement”); 
 (m) Buyer shall have consummated the Wire
Business Transaction on or prior to the Target Closing Date; provided that if the Wire Business Transaction sale is not consummated prior to the Target Closing Date, such condition shall be waived and the following shall apply: 
 (i) The Seller and each of the Designated Shareholders shall have executed and delivered to Buyer a shareholder’s agreement
substantially in the form of Exhibit F hereto (the “Shareholder’s Agreement”); and, 
  

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 (ii) Buyer Shareholder Approval shall have been obtained. 
 (n) Seller shall have executed and delivered to Buyer asset purchase agreements with respect to the Subsidiaries in a form mutually acceptable to Seller
and Buyer (the “Subsidiary Asset Purchase Agreements”). 
 (o) Seller shall have executed and delivered to Buyer the Earnout
Agreement. 
 (p) Seller shall have also delivered to Buyer each of the following: 
 (i) a certificate from the President or Chief Executive Officer of Seller in a form reasonably satisfactory to Buyer, dated as of the Closing Date,
stating that the preconditions specified in Sections 8.1(a) and (b) have been satisfied; 
 (ii) a copy of the
resolutions of the board of directors and shareholders of Seller approving the transactions contemplated by this Agreement; 
 (iii) a good
standing certificate, dated as of a date that is not more than five days prior to the Closing Date, from the California Secretary of State, for Seller; 
 (iv) copies of the Consents, filings, authorizations and approvals described in Sections 8.1(c) and (d) to the extent applicable to Seller; and 
 (v) such other documents or instruments as Buyer may reasonably request to effect the transactions contemplated hereby. 
 Any condition specified in this Section 8.1 may be waived by Buyer in its sole discretion; provided, however that no such
waiver shall be effective unless it is set forth in a writing duly executed by Buyer. 
 (q) Seller shall have delivered to Buyer all Tax
clearance certificates required pursuant to Section 7.8(c). 
 Section 8.2. Conditions to Seller’s Obligations.
The obligation of Seller to consummate the transactions contemplated by this Agreement is subject to the satisfaction of the following conditions as of the Closing Date: 
 (a) The representations and warranties set forth in Article VI hereof shall be true and correct in all material respects (except that the representations and warranties which are qualified as to
“materiality” or “Material Adverse Effect” shall be true and correct in all respects and except that the representation set forth in the last sentence of Section 6.12 need only be true and correct with respect to at
least five of the Buyer employees specified therein) at and as of the Closing Date as though then made and as though the Closing Date were substituted for the date of this Agreement throughout such representations and warranties; 
  

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 (b) Buyer shall have performed and complied in all material respects with all of the covenants and
agreements required to be performed by it under this Agreement on or before the Closing; 
 (c) All governmental filings, authorizations, and
approvals that are required for the consummation of the transactions contemplated hereby shall have been duly made and obtained, and any notice periods required in connection therewith shall have expired, including, without limitation, any filings
or approvals required pursuant to the HSR Act or the WARN Act; 
 (d) No action, suit, or proceeding shall be pending before any court or
quasi-judicial or administrative agency of any federal, state, local, or foreign jurisdiction or before any arbitrator wherein an unfavorable judgment, decree, injunction, order, or ruling would prevent the performance of this Agreement or any of
the transactions contemplated hereby, declare unlawful the transactions contemplated by this Agreement, cause such transactions to be rescinded, and no judgment, decree, injunction, order, or ruling shall have been entered which has or is reasonably
likely to have any of the foregoing effects; 
 (e) The Buyer Shareholder Approval shall have been obtained; 
 (f) Buyer shall have executed and delivered to Seller the Assignment and Assumption Agreement; 
 (g) Buyer shall have executed and delivered to Seller the Escrow Agreement; 
 (h) The Employment Agreements referenced in Section 8.1(k) shall have been fully executed and delivered by Buyer; 
 (i) Buyer shall have executed and delivered to Seller the Real Property Lease Agreement; 
 (j) Buyer shall have executed and delivered to Seller the Subsidiary Asset Purchase Agreements; 
 (k) Buyer shall have executed and delivered to Seller the Earnout Agreement; 
 (l) Buyer shall have executed and delivered to Seller a certificate from the President or Chief Executive Officer of Buyer in a form reasonably
satisfactory to Seller, dated as of the Closing Date, stating that the preconditions specified in Sections 8.2(a) and (b) have been satisfied; 
 (m) Buyer shall have delivered to Seller and the Escrow Account the payments set forth in Sections 3.1(a) and (b), respectively; 
 (n) If Buyer has not consummated the Wire Business Transaction on or prior to the Target Closing Date, then the S-4 Registration Statement covering the
Shares shall have been declared effective by the SEC and no stop order suspending the effectiveness of the Registration Statement shall have been issued and no proceedings for that purpose shall have been initiated by the SEC and not withdrawn; and

  

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 (o) Buyer shall have filed the NASDAQ Notification Form with respect to the listing of the Shares with
the Listing Qualifications Department of the NASDAQ Stock Market at least 15 days prior to the Closing, and Buyer shall have received no written or oral notice objecting to, expressing concerns about, or otherwise requesting additional information
regarding such NASDAQ Notification Form, the transactions contemplated hereby or Buyer’s compliance with the NASDAQ Marketplace Rules, which objections, concerns or requests remain uncured or unanswered, as the case may be, prior to the
Closing. 
 Any condition specified in this Section 8.2 may be waived by Seller in its sole discretion; provided,
however, that no such waiver shall be effective unless it is set forth in a writing duly executed by Seller. 
 ARTICLE IX

 TERMINATION 
 Section 9.1. Termination. Notwithstanding anything contained in this Agreement to the contrary, this Agreement may be terminated at any time prior to the Closing: 
 (a) by mutual written consent of Seller and Buyer; 
 (b) by the Buyer or by the Seller if the Closing has not occurred on or before February 19, 2009; provided, however, that no Party shall be entitled to terminate this Agreement pursuant to this Section 9.1(b) if such
Party’s breach of this Agreement has prevented the consummation of the transactions contemplated hereby on or before such date; 
 (c)
by Buyer, if there shall have been a material breach of any of the covenants or agreements or any of the representations or warranties on the part of Seller set forth in this Agreement, which breach (i) would give rise to the failure of the
conditions set forth in Sections 8.1(a) or (b) hereof, (ii) cannot be or has not been cured within 30 days but not later than the date set forth in Section 9.1(b) following the receipt by Seller of notice of such
breach from Buyer and (iii) has not been waived by Buyer; 
 (d) by Seller, if there shall have been a material breach of any of the
covenants or agreements or any of the representations or warranties on the part of Buyer set forth in this Agreement, which breach (i) would give rise to the failure of the conditions set forth in Sections 8.2(a) or
(b) hereof, (ii) cannot be or has not been cured within 30 days but not later than the date set forth in Section 9.1(b) following the receipt by Buyer of notice of such breach from Seller and (iii) has not been
waived by Seller; or 
 (e) by either Buyer or Seller, if any Governmental Entity shall have issued a final, non-appealable order, decree or
ruling or taken any other action permanently restraining, enjoining or otherwise prohibiting the transactions contemplated by this Agreement. 
 Section 9.2. Effect of Termination. In the event of termination of this Agreement as provided in Section 9.1, this Agreement shall forthwith become void and there shall be no liability on the part of any Party to any
other Party under this Agreement, except that the provisions of Sections 7.3(b), 9.2, 11.2 and 11.9 shall continue in full force and effect and except that nothing herein shall relieve any Party from Liability for any
breach of this Agreement before such termination. 
  

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 ARTICLE X 
 INDEMNIFICATION AND RELATED MATTERS 
 Section 10.1. Survival. Except as otherwise
provided in Section 10.2(b)(iii) or Section 10.2(c), the representations and warranties of the Parties made in Articles V and VI, respectively, and the respective covenants and agreements contained in this Agreement, shall
survive the Closing Date and shall expire on the eighteen (18) month anniversary of the Closing Date (provided that such expiration shall be tolled with respect to any Claim made prior to the eighteen (18) month anniversary of the Closing
Date until the final and nonappealable resolution of such Claim) (the “Survival Limitation”). 
 Section 10.2.
Seller’s Agreements to Indemnify. 
 (a) General Indemnification. Subject to the other provisions of this
Section 10.2, Seller shall defend, indemnify and hold harmless Buyer and its directors, officers, employees, agents, any parent corporation, Subsidiaries and Affiliates (each, a “Buyer Indemnified Party”), from and
against and in respect of any and all Losses incurred by a Buyer Indemnified Party which may be imposed on, sustained, incurred or suffered by or assessed against such Buyer Indemnified Party, directly or indirectly, as a result of or relating to or
to the extent arising out of any of the following: 
 (i) Any breach (and any claim that, if true, would constitute such a breach) of any
representation or warranty by Seller contained in this Agreement or in any certificate delivered pursuant hereto; 
 (ii) Any breach by
Seller of, or any failure by Seller to perform or comply with any of their covenants or other obligations contained in this Agreement; or 
 (iii) Any Retained Liabilities. 
 (b) Limitations on Seller’s General Indemnification Obligations. Except as otherwise
provided in Section 10.2(b)(iii), if any Buyer Indemnified Party becomes potentially entitled to any indemnification pursuant to Section 10.2(a)(i) of this Agreement, the amount that such Buyer Indemnified Person is entitled
to recover in connection therewith shall nevertheless be limited as follows: 
 (i) No Losses shall be payable in respect of a claim under
Section 10.2(a)(i) until the total of all such Losses exceeds the Indemnification Threshold, in which case Seller shall be responsible for all such Losses; 
 (ii) The sole and exclusive remedy for money damages and source of payment for any Losses in respect of a claim under Section 10.2(a)(i) shall be the funds held in the Escrow Account pursuant to the Escrow
Agreement; and 
 (iii) Seller’s maximum liability to Buyer in respect of all Losses indemnified under Section 10.2(a)(i)
shall be the Indemnification Cap; provided, however, that Buyer’s remedy for money damages shall not be limited to the funds held in the Escrow Account and the Indemnification Threshold, the Indemnification Cap and the Survival Limitation shall
not apply to any of the following: 
 a. in cases of fraud; 
  

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 b. representations or warranties that Seller knew were inaccurate and intentionally breached when made;

 c. representations set forth in Sections 5.1, 5.2, 5.4, 5.6, 5.15, 5.18 and 5.21 with
respect to due authority to consummate the transactions contemplated in this Agreement, ownership of the Purchased Assets, broker’s or finder’s fees and employee benefit plans, respectively; 
 d. suits by the Seller Shareholders or by any participant in the Orthodyne Electronics Corporation Employee Stock Ownership Plan, in each case in their
capacities as such; or 
 e. liabilities of Seller or any of the Seller Entities with respect to income of Seller for Taxes that are due or
accrue on or before the Closing. 
 (c) Environmental Indemnification. Seller shall defend, indemnify and hold harmless Buyer and each
Buyer Indemnified Party, from and against and in respect of any and all Losses and Liabilities arising under the Environmental and Safety Laws to the extent related to the operation of the Business and/or the use and ownership of the Purchased
Assets and the Excluded Assets prior to the Closing Date. 
 Section 10.3. Buyer’s Agreement to Indemnify. 
 (a) Indemnification. Subject to the other provisions of this Section 10.3, Buyer hereby agrees to defend, indemnify and hold harmless
Seller and its directors, officers, employees, agents, any parent corporation, Subsidiaries and Affiliates (each, a “Seller Indemnified Party”) from and against and in respect of any and all Losses incurred by a Seller Indemnified
Party which may be imposed on, sustained, incurred or suffered by or assessed against such Seller Indemnified Party, directly or indirectly, as a result of or relating to or to the extent arising out of either of the following: 
 (i) any breach (and any claim that, if true, would constitute such a breach) of any representation or warranty by Buyer contained in this Agreement; or

 (ii) any breach by Buyer of, or any failure by Buyer to perform or comply with, any of its covenants or other obligations contained in
this Agreement; or 
 (iii) any Assumed Liabilities. 
 (b) Limitations on Buyer’s Indemnification Obligations. No Losses shall be payable in respect of a claim under Section 10.3(a)(i) until the total of all such Losses exceeds the Indemnification
Threshold (the “Buyer Threshold”). The aggregate amount of all payments made by Buyer in satisfaction of claims for indemnification pursuant to Section 10.3(a)(i) shall not exceed the Cap. For the sake of clarity, the
foregoing limitations do not apply to Buyer’s obligation to pay the Purchase Price. 
  

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 Section 10.4. Procedures. 
 (a) Notice of Claim. If a Buyer Indemnified Party or a Seller Indemnified Party (collectively, the “Indemnified Party”) shall
become aware of any claim, proceeding or other matter (a “Claim”) which may give rise to a Loss, the Indemnified Party shall promptly give notice thereof to the other party from whom it seeks indemnification (the
“Indemnifying Party”). Such notice shall specify whether the Claim is asserted by a Person who is not a party to this Agreement (a “Third Party Claim”) or whether the Claim is asserted by a party to this Agreement
(a “Direct Claim”), and shall also specify with reasonable particularity (to the extent that the information is available) the factual basis for the Claim and the amount of the Claim, if known. If, through the fault of the
Indemnified Party, the Indemnifying Party does not receive notice of any Claim in time to contest effectively the determination of any Loss susceptible of being contested, the Indemnifying Party shall be entitled to set off against the amount
claimed by the Indemnified Party the amount of any Losses incurred by the Indemnifying Party resulting from the Indemnified Party’s failure to give such notice on a timely basis. 
 (b) Direct Claims. With respect to any Direct Claim, following receipt of notice from the Indemnified Party of the Claim, the Indemnifying Party
shall have 45 days to make such investigation of the Claim as is considered necessary or desirable. For the purpose of such investigation, the Indemnified Party shall make available to the Indemnifying Party the information relied upon by the
Indemnified Party to substantiate the Claim, together with all such other information as the Indemnifying Party may reasonably request. If both parties agree at or prior to the expiration of such 45-day period (or any mutually agreed upon extension
thereof) to the validity and amount of such Claim, the Indemnifying Party shall immediately pay to the Indemnified Party the full agreed upon amount of the Claim, subject to the limitations hereof. If the Indemnifying Person notifies the Indemnified
Person in writing that it disputes such claim for indemnification, or that it admits the entitlement of the Indemnified Person to indemnification under this Article X with respect thereto but disputes the amount of the Losses in connection
therewith, or if the Indemnifying Person fails to notify the Indemnified Person within such 45-day period that it either admits or disputes such claim for indemnification, then in either of such cases the indemnification Claim described in the
notice shall be a disputed indemnification claim that must be resolved by arbitration. 
 (c) Third Party Claims. 
 (i) With respect to any Third Party Claims other than claims with respect to Taxes, the Indemnifying Party shall have the right, at its expense and at
its election, to assume control of the negotiation, settlement and defense of the Claim through counsel of its choice. In such event, the Indemnifying Party shall reimburse the Indemnified Party for all the Indemnified Party’s reasonable
out-of-pocket expenses (including, without limitation, reasonable attorneys’ fees) as a result of such assumption. The election of the Indemnifying Party to assume such control shall be made within 30 days of receipt of notice of the Third
Party Claim, failing which the Indemnifying Party shall be deemed to have elected not to do so. If the Indemnifying Party elects to assume such control, the Indemnified Party shall have the right to be informed and consulted with respect to the
negotiation, settlement or defenses of such Third Party Claim and to retain counsel to act on its behalf, but the fees and disbursements of such counsel shall be paid by the Indemnified Party unless the Indemnifying Party consents to the retention
of such counsel or unless the named parties to any action or proceeding include both the Indemnifying Party and the Indemnified Party and a representation of both the Indemnifying Party and the Indemnified Party by the same counsel would be
inappropriate due to the actual or potential differing interests between them (such as the availability of different defenses). If the Indemnifying Party, having elected to assume such control, thereafter fails to defend the Third Party Claim within
a reasonable time, the Indemnified Party shall 

  

 50 

 
be entitled to assume such control, and the Indemnifying Party shall be bound by the results obtained by the Indemnified Party with respect to the Third
Party Claim. If any Third Party Claim is of a nature such that the Indemnified Party is required by applicable Law to make a payment to any Person (a “Third Party”) with respect to the Third Party Claim before the completion of
settlement negotiations or related legal proceedings, the Indemnified Party may make such payment and the Indemnifying Party shall forthwith, after demand by the Indemnified Party, reimburse the Indemnified Party for such payment. If the amount of
any liability of the Indemnified Party under the Third Party Claim in respect of which such payment was made, as finally determined, is less than the amount which was paid by the Indemnifying Party to the Indemnified Party, the Indemnified party
shall, promptly after receipt of the difference from the Third Party, pay the amount of such difference to the Indemnifying Party. 
 (ii)
If the Indemnifying Party fails to assume control of the defense of any Third Party Claim, the Indemnified Party shall have the exclusive right to consent, settle or pay the amount claimed. Whether or not the Indemnifying Party assumes control of
the negotiation, settlement or defenses of any Third Party Claim, the Indemnifying Party shall not settle any Third Party Claim without the written consent of the Indemnified Party (which consent shall not be unreasonably withheld or delayed),
except in cases where such Third Party Claim relates solely to money damages to be paid by the Indemnifying Party and includes a full release of all Liabilities in respect of such Third Party Claim in favor of the Indemnifying Party. 
 (iii) The Indemnified Party and the Indemnifying Party shall cooperate fully with each other with respect to Third Party Claims, and, regardless of
which party has control thereof as provided for herein, shall keep each other fully advised with respect thereto (including supplying copies of all relevant documentation promptly as it becomes available). 
 Section 10.5. Adjustments. In calculating any amount of Losses recoverable pursuant to this Article X, the amount of such Losses shall be
reduced by (i) any insurance proceeds actually received relating to such Loss, net of any related deductible and any expenses to obtain such proceeds, (ii) any recoveries from third parties pursuant to indemnification (or otherwise) with
respect thereto, net of any expenses incurred by the party seeking indemnification in obtaining such third party payment and (iii) the amount of any reduction of the Indemnified Person’s Tax Liability with respect to any period or portion
thereof following the Closing Date. If any of clauses (i)-(iii) is realized after the Indemnifying Party has already made any payments pursuant to this Agreement, the Indemnified Party shall pay to the Indemnifying Party the amount of such
benefit received pursuant to clauses (i)-(iii), as applicable, no later than fifteen days after the benefit is realized. 
 Section 10.6. Sole Remedy. After the Closing, and except for any non-monetary, equitable relief to which any Indemnified Party may be entitled, the rights and remedies set forth in this Article X shall constitute the sole and
exclusive rights and remedies of the Indemnified Party under or with respect to the subject matter of this Agreement. The Parties agree that nothing contained herein shall limit any Party’s rights against another Party hereto for fraud under
applicable Laws in respect of the transactions contemplated by this Agreement. 
 Section 10.7. Tax Treatment. Amounts paid to or
on behalf of Seller as indemnification shall be treated as adjustments to the Purchase Price for Tax purposes, unless otherwise required by Law. 
  

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 Section 10.8. Setoff. Upon notice to Seller specifying in reasonable detail the basis
therefor, Buyer shall, prior to seeking any amounts directly from Seller, setoff amounts otherwise currently payable by it under this Agreement against any amount to which it may be entitled under Sections 10.2(a)(ii), 10.2(a)(iii) and
10.2(b)(iii). Neither the exercise of nor the failure to exercise such right of setoff or to give a notice of a claim under this Agreement will constitute an election of remedies or limit Buyer in any manner in the enforcement of any other
remedies that may be available to it. 
 ARTICLE XI 
 MISCELLANEOUS 
 Section 11.1. Rules of Construction. 
 (a) All references in this Agreement to “dollars” or “$” shall mean United States dollars; 
 (b) When a reference is made in this Agreement to a section or article, such reference shall be to a section or article of this Agreement unless
otherwise clearly indicated to the contrary. 
 (c) Whenever the words “include”, “includes” or “including” are
used in this Agreement they shall be deemed to be followed by the words “without limitation.” 
 (d) The words “hereof”
“hereby” “herein” and “herewith” and words of similar import shall, unless otherwise stated, be construed to refer to this Agreement as a whole and not to any particular provision of this Agreement. 
 (e) The plural of any defined term shall have a meaning correlative to such defined term, and words denoting any gender shall include all genders. Where
a word or phrase is defined herein, each of its other grammatical forms shall have a corresponding meaning. 
 (f) A reference to any Party
to this Agreement or any other agreement or document shall include such Party’s permitted successors and permitted assigns. 
 (g) A
reference to any legislation or to any provision of any legislation shall include any modification or re-enactment thereof, any legislative provision substituted therefor and all regulations and statutory instruments issued thereunder or pursuant
thereto. 
 (h) The Parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or
question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the Parties, and no presumption or burden of proof shall arise favoring or disfavoring any Party by virtue of the authorship of any provisions of
this Agreement. 
 Section 11.2. Expenses. Unless otherwise specifically provided for herein, the Parties shall pay all of their
own fees, costs, and expenses (including, without limitation, fees, costs and expenses of legal counsel, investment bankers, brokers, or other representatives and consultants and appraisal 

  

 52 

 
fees, costs, and expenses) incurred in connection with the negotiation of this Agreement and the other agreements contemplated hereby, the performance of its
obligations hereunder and thereunder, and the consummation of the transactions contemplated hereby and thereby. 
 Section 11.3.
Amendment and Waiver. This Agreement may be amended and any provision of this Agreement may be waived only if such amendment or waiver is set forth in a writing executed by Buyer and Seller. No course of dealing between or among any Persons
having any interest in this Agreement shall be deemed effective to modify, amend, or discharge any part of this Agreement or any rights or obligations of any Party under or by reason of this Agreement. 
 Section 11.4. Notices. All notices, demands, and other communications given or delivered under this Agreement shall be in writing and shall
be deemed to have been given, (a) when received if given in person, (b) on the date of electronic confirmation of receipt if sent by e-mail, facsimile or other wire transmission, (c) three days after being deposited in the U.S. mail,
certified or registered mail, postage prepaid, or (d) one day after being deposited with a reputable overnight courier. Notices, demands, and communications to the Parties shall, unless another address is specified in writing, be sent to the
address or facsimile number indicated below: 
 Notices to Seller: 
 16700 Red Hill Avenue 
 Irvine, CA
92606-4802 
 Attention: Jason M. Livingston 
 Telephone: (949) 660-0440 
 Facsimile: (949) 660-8963 
 with a copy to: 
 Stradling Yocca
Carlson & Rauth 
 660 Newport Center Drive, Suite 1600 
 Newport Beach, California 92660 

			
	Attention:	 	Stephen T. Freeman, Esq.
		 	Mark L. Skaist, Esq.

 Facsimile: (949) 725-4100 
 Notices to Buyer: 
 Kulicke and
Soffa Industries, Inc. 
 1005 Virginia Drive 
 Fort Washington, Pennsylvania 19034 
 Attention: General Counsel 
 Facsimile: (215) 784-6001 
  

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 with a copy to: 
 Drinker Biddle & Reath LLP 
 Suite 300 
 1000 Westlakes Drive 
 Berwyn, PA 19312-2409

 Attn: Walter J. Mostek, Jr., Esq. 
 Phone: (610) 993-2200 
 Fax: (610) 993-8585 
 Section 11.5. Binding Agreement; Assignment. This Agreement and all of the provisions hereof shall be binding upon and inure to the benefit
of the Parties and their respective successors and permitted assigns; provided that neither this Agreement nor any of the rights, interests, or obligations hereunder may be assigned by any Party without the prior written consent of the other Party.

 Section 11.6. Severability. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be
effective and valid under applicable Law, but if any provision of this Agreement is held to be prohibited by or invalid under applicable Law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without
invalidating the remainder of such provisions or the remaining provisions of this Agreement. 
 Section 11.7. Entire Agreement.
This Agreement and the documents referred to herein contain the entire agreement between the Parties and supersede any prior understandings, agreements, or representations by or between the Parties, written or oral, which may have related to the
subject matter hereof in any way. 
 Section 11.8. Counterparts. This Agreement may be executed in two or more counterparts, and
by the different parties hereto in separate counterparts, each of which executed counterparts and any photocopies and facsimile copies thereof, shall be deemed to be an original, but all of which taken together shall constitute one and the same
agreement. 
 Section 11.9. Governing Law; Jurisdiction. All questions concerning the construction, validity, and interpretation
of this Agreement shall be governed by and construed in accordance with the domestic laws of the State of California, without giving effect to any choice of law or conflict of law provision that would cause the application of the laws of any
jurisdiction other than the State of California. Each of the Parties hereto hereby irrevocably and unconditionally consents to submit to the exclusive jurisdiction of the state or federal courts of the State of California for any Litigation arising
out of or relating to this Agreement and the transactions contemplated hereby (and agrees not to commence any litigation, proceeding or action relating thereto except in such courts). Each of the Parties hereto hereby irrevocably and unconditionally
waives any objection to the laying of venue of any Litigation arising out of this Agreement or the transactions contemplated hereby in the state or federal courts of the State of California and hereby further irrevocably and unconditionally waives
and agrees not to plead or claim in any such court that any such Litigation, proceeding or action brought in any such court has been brought in an inconvenient forum. Each Party hereto hereby consents to process being served in any such Litigation
by the mailing of a copy thereof to the address set forth in Section 11.4 hereof below its name and agrees that such service upon receipt shall constitute good and sufficient service of process or notice thereof. Nothing in this
Section 11.9 shall affect or eliminate any right to serve process in any other manner contemplated by applicable Law. 
  

 54 

 Section 11.10. Parties in Interest. Nothing in this Agreement, express or implied, is
intended to confer on any person, other than the Parties and their respective successors and assigns, any rights or remedies under or by virtue of this Agreement. 
 Section 11.11. Descriptive Headings. The descriptive headings herein are inserted for convenience of reference only and are not intended to be part of or to affect the meaning or interpretation of this
Agreement. 
 Section 11.12. Incorporation of Exhibits and Schedules. The Exhibits and Schedules identified in this Agreement are
incorporated herein by reference and made a part hereof. 
 [Signature Page Follows] 
  

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 IN WITNESS WHEREOF, the Parties have executed this Asset Purchase Agreement as of the date first written
above. 
  

			
	SELLER:
	
	ORTHODYNE ELECTRONICS CORPORATION
		
	By:	 	 /s/ Gregg S. Kelly

	Print Name:	 	Gregg S. Kelly
	Its:	 	President
	
	BUYER:
	
	KULICKE AND SOFFA INDUSTRIES, INC.
		
	By:	 	 /s/ C. Scott Kulicke

	Print Name:	 	C. Scott Kulicke
	Its:	 	Chief Executive Officer
	
	The following individuals are executing this Agreement solely for purposes of Section 7.6:
	
	 /s/ Gregg S. Kelly

	Gregg S. Kelly
	
	 /s/ William S. Larkin

	William S. Larkin
	
	 /s/ Jason M. Livingston

	Jason M. Livingston

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