Document:

Employment Agreement, dated November 19, 2007

 Exhibit 10.1 
 EMPLOYMENT AGREEMENT 
 This Employment
Agreement (“Agreement”) is made as of the 19th day of November, 2007, between Mercury Computer Systems, Inc., a Massachusetts corporation (the
“Company”), and Mark Aslett (the “Executive”). 
 WHEREAS, the Company desires to employ the Executive and the
Executive desires to be employed by the Company on the terms contained herein. 
 NOW, THEREFORE, in consideration of the mutual covenants
and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 
 1. Employment. The term (the “Term”) of this Agreement shall extend from November 19, 2007 (the “Commencement Date”) until the 18-month anniversary of the Commencement Date and shall be
renewed automatically for periods of one (1) year commencing at the 18-month anniversary of the Commencement Date and each anniversary thereafter, unless written notice is given by either party to the other not less than 180 days prior to any
such anniversary of such party’s election not to extend the Term. The provisions of the Confidentiality and Non-Competition Agreement (as defined below) and Sections 6, 7, and 8 of this Agreement shall survive any termination of this Agreement
or the termination of the Executive’s employment hereunder. 
 2. Position and Duties. During the Term, the Executive shall serve
as the President and Chief Executive Officer of the Company, and shall have supervision and control over and responsibility for the day-to-day business and affairs of the Company and shall have such other powers and duties as may from time to time
be prescribed by the Board of Directors of the Company (the “Board”), provided that such duties are consistent with the Executive’s position or other positions that he may hold from time to time. The Executive shall also be appointed
to the Board as a Class II director. The Executive shall devote his full working time and efforts to the business and affairs of the Company. Notwithstanding the foregoing, the Executive may serve on other boards of directors, with the approval of
the Board, or engage in religious, charitable or other community activities as long as such services and activities are disclosed to the Board and do not materially interfere with the Executive’s performance of his duties to the Company as
provided in this Agreement. 
 3. Compensation and Related Matters. 
 (a) Base Salary. The Executive’s initial annual base salary shall be $500,000. The Executive’s base salary shall be redetermined annually
in the Company’s first fiscal quarter by the Board. The base salary in effect at any given time is referred to herein as “Base Salary.” The Base Salary shall be payable in accordance with the Company’s normal payroll practices.

 (b) Incentive Compensation. The Executive shall be eligible to receive the following incentive compensation, which shall be
reviewed and modified from time to time by the Board: 
 (i) Annual Bonus. The Executive shall be eligible to participate in the
Company’s Annual Bonus Plan (the “Bonus Plan”) in an amount determined by the Board in accordance with the terms of the Bonus Plan. The Executive’s target bonus under the Bonus Plan for fiscal year 2008 shall be 70% of Base
Salary (the “Target Bonus”). Sixty percent of the Executive’s potential bonus for each fiscal year shall be determined based upon the Company’s attainment of its annual operating plans and targets for revenue and earnings per
share. The remaining 40% of the Executive’s bonus under the Bonus Plan shall be determined based on achievement of other objectives to be determined by the Board. The Executive’s bonus under the Bonus Plan shall be paid in the first fiscal
quarter of the fiscal year following the fiscal year in which such bonus was earned. Awards under the Bonus Plan shall be prorated for partial years of employment. 

 (ii) Long Term Incentive Plan. The Executive shall be eligible to participate in the
Company’s Long Term Incentive Plan (the “LTIP”) in an amount determined by the Compensation Committee of the Board (the “Compensation Committee”) based on the Company’s attainment of certain financial thresholds
established annually by the Compensation Committee (the “Annual Performance Threshold”), payable (x) 50% in cash and (y) 50% in shares of restricted stock which shall vest with respect to 25% of such shares of restricted stock on
each of the first four (4) anniversaries of the grant date thereof, subject to the terms of the Company’s 2005 Stock Incentive Plan (the “Stock Incentive Plan”) and any award agreement thereunder relating to such award. If the
Company achieves the Annual Performance Threshold, the Executive shall receive a bonus under the LTIP equal to the Target Bonus. Should the Company exceed the Annual Performance Threshold, the Executive shall be eligible to receive a bonus under the
LTIP of up to 1.75 times the Target Bonus. The Executive’s bonus under the LTIP shall be paid in the first fiscal quarter of the fiscal year following the fiscal year in which such bonus was earned. Awards under the LTIP shall be prorated for
partial years of employment. 
 (c) Equity Awards. As soon as practicable following the Commencement Date, the Executive shall receive
an award of (x) the option to purchase 200,000 shares of the Company’s common stock and (y) 114,285 shares of restricted stock (the “Equity Grant”) under the Stock Incentive Plan. The Equity Grant shall be subject to the
approval of the Compensation Committee and the Board and the terms and provisions of the Stock Incentive Plan and any award agreement(s) thereunder relating to the Equity Grant. The Equity Grant shall vest with respect to 25% of the Equity Grant on
each of the first four (4) anniversaries of the grant date thereof. The Executive shall also be eligible to receive additional grants of equity based awards under the Stock Incentive Plan in the discretion of the Compensation Committee and the
Board of Directors on an annual basis in the first fiscal quarter of each year, beginning in the first quarter of the Company’s 2009 fiscal year. It is anticipated that the annual option grant for the Executive in the Company’s 2009 and
2010 fiscal years will be between 50,000 and 75,000 shares each year, based on performance. 
 (d) Change in Control Severance
Agreement. The Company and the Executive shall enter into the Change in Control Severance Agreement annexed hereto as Exhibit A (the “Change in Control Agreement”). 
  

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 (e) Expenses. The Executive shall be entitled to receive prompt reimbursement for all reasonable
expenses incurred by him in performing services hereunder during the Term, in accordance with the policies and procedures then in effect and established by the Company for its senior executive officers. 
 (f) Other Benefits. During the Term, the Executive shall be entitled to continue to participate in or receive benefits under all of the
Company’s Employee Benefit Plans in effect on the date hereof, or under plans or arrangements that provide the Executive with benefits at least substantially equivalent to those provided under such Employee Benefit Plans. As used herein, the
term “Employee Benefit Plans” includes, without limitation, each pension and retirement plan; supplemental pension, retirement and deferred compensation plan; savings and profit-sharing plan; stock purchase plan; stock option plan; life
insurance plan; medical insurance plan; disability plan; and health and accident plan or arrangement established and maintained by the Company on the date hereof for employees of the same status within the hierarchy of the Company. During the Term,
the Executive shall be entitled to participate in or receive benefits under any employee benefit plan or arrangement which may, in the future, be made available by the Company to its executives and key management employees, subject to and on a basis
consistent with the terms, conditions and overall administration of such plan or arrangement. Any payments or benefits payable to the Executive under a plan or arrangement referred to in this Section 3(f) in respect of any calendar year during
which the Executive is employed by the Company for less than the whole of such year shall, unless otherwise provided in the applicable plan or arrangement, be prorated in accordance with the number of days in such calendar year during which he is so
employed. Should any such payments or benefits accrue on a fiscal (rather than calendar) year, then the proration in the preceding sentence shall be on the basis of a fiscal year rather than calendar year. 
 (g) Vacations. The Executive shall be entitled to 20 paid vacation days in each calendar year, which shall be accrued ratably during the calendar
year. The Executive shall also be entitled to all paid holidays given by the Company to its executives. 
 4. Termination. The
Executive’s employment hereunder may be terminated without any breach of this Agreement under the following circumstances: 
 (a)
Death. The Executive’s employment hereunder shall terminate upon his death. 
 (b) Disability. The Company may terminate
the Executive’s employment if he is disabled and unable to perform the essential functions of the Executive’s then existing position or positions under this Agreement with or without reasonable accommodation for a period of 180 days (which
need not be consecutive) in any 12-month period. If any question shall arise as to whether during any period the Executive is disabled so as to be unable to perform the essential functions of the Executive’s then existing position or positions
with or without reasonable accommodation, the Executive may, and at the request of the Company shall, submit to the Company a certification in reasonable detail by a physician selected by the Company to whom the Executive or the Executive’s
guardian has no reasonable objection as to whether the Executive is so disabled or how long such disability is expected to continue, and such certification shall for the purposes of this Agreement be conclusive of the issue. The 

  

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Executive shall cooperate with any reasonable request of the physician in connection with such certification. If such question shall arise and the Executive
shall fail to submit such certification, the Company’s determination of such issue shall be binding on the Executive. Nothing in this Section 4(b) shall be construed to waive the Executive’s rights, if any, under existing law
including, without limitation, the Family and Medical Leave Act of 1993, 29 U.S.C. §2601 et seq. and the Americans with Disabilities Act, 42 U.S.C. §12101 et seq. 
 (c) Termination by Company for Cause. At any time during the Term, the Company may terminate the Executive’s employment hereunder for Cause
if at a meeting of the Board called and held for such purpose, a majority of the Board determines in good faith that the Executive is guilty of conduct that constitutes “Cause” as defined herein. For purposes of this Agreement,
“Cause” shall mean: (i) conduct by the Executive constituting a material act of willful misconduct in connection with the performance of his duties, including, without limitation, misappropriation of funds or property of the Company
or any of its subsidiaries or affiliates other than the occasional, customary and de minimis use of Company property for personal purposes; (ii) the Executive’s conviction of, or plea of “guilty” or “no contest” to, any
felony or any conduct by the Executive that would reasonably be expected to result in material injury to the Company or any of its subsidiaries and affiliates if he were retained in his position; (iii) continued, willful and deliberate
non-performance by the Executive of his duties hereunder (other than by reason of the Executive’s physical or mental illness, incapacity or disability) which has continued for more than 30 days following written notice of such non-performance
from the Board; (iv) a breach by the Executive of any of the provisions contained in the Non-Competition Agreement or Section 6 of this Agreement; (v) a violation by the Executive of the Company’s employment policies which has
continued following written notice of such violation from the Board, or (vi) willful failure to cooperate with a bona fide internal investigation or an investigation by regulatory or law enforcement authorities, after being instructed by the
Company to cooperate, or the willful destruction or failure to preserve documents or other materials known to be relevant to such investigation or the willful inducement of others to fail to cooperate or to produce documents or other materials in
connection with such investigation. For purposes of clauses (i), (iii) or (vi) hereof, no act, or failure to act, on the Executive’s part shall be deemed “willful” unless done, or omitted to be done, by the Executive without
reasonable belief that the Executive’s act or failure to act, was in the best interest of the Company and its subsidiaries and affiliates. 
 (d) Termination Without Cause. At any time during the Term, the Company may terminate the Executive’s employment hereunder without Cause if such termination is approved by a majority of the Board at a meeting of the Board called
and held for such purpose. Any termination by the Company of the Executive’s employment under this Agreement which does not constitute a termination for Cause under Section 4(c) or result from the death or disability of the Executive under
Section 4(a) or (b) shall be deemed a termination of employment without Cause. 
 (e) Termination by the Executive. At any
time during the Term, the Executive may terminate his employment hereunder for any reason, including but not limited to Good Reason. For purposes of this Agreement, “Good Reason” shall mean that the Executive has complied with the
“Good Reason Process” (hereinafter defined) following the occurrence of any of the following events: (i) a material diminution in the Executive’s responsibilities, 

  

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authority or duties; (ii) a material diminution in the Executive’s Base Salary except for across-the-board salary reductions based on the
Company’s financial performance similarly affecting all or substantially all senior management employees of the Company; (iii) a material change in the geographic location at which the Executive provides services to the Company; or
(iv) the material breach of this Agreement by the Company. “Good Reason Process” shall mean that (i) the Executive reasonably determines in good faith that a “Good Reason” event has occurred; (ii) the Executive
notifies the Company in writing of the occurrence of the Good Reason event within 60 days of the occurrence of such event; (iii) the Executive cooperates in good faith with the Company’s efforts, for a period not less than 30 days
following such notice (the “Cure Period”), to modify the Executive’s employment situation in a manner acceptable to the Executive and Company; (iv) notwithstanding such efforts, one or more of the Good Reason events continues to
exist and has not been modified in a manner acceptable to the Executive; and (v) the Executive terminates his employment for Good Reason within 60 days after the end of the Cure Period. If the Company cures the Good Reason event in a manner
acceptable to the Executive during the Cure Period, Good Reason shall be deemed not to have occurred. 
 (f) Notice of Termination.
Except for termination as specified in Section 4(a), any termination of the Executive’s employment by the Company or any such termination by the Executive shall be communicated by written Notice of Termination to the other party hereto.
For purposes of this Agreement, a “Notice of Termination” shall mean a notice which shall indicate the specific termination provision in this Agreement relied upon. 
 (g) Date of Termination. “Date of Termination” shall mean: (i) if the Executive’s employment is terminated by his death, the
date of his death; (ii) if the Executive’s employment is terminated on account of disability under Section 4(b) or by the Company for Cause under Section 4(c), the date on which Notice of Termination is given; (iii) if the
Executive’s employment is terminated by the Company under Section 4(d), 30 days after the date on which a Notice of Termination is given; and (iv) if the Executive’s employment is terminated by the Executive under
Section 4(e), 30 days after the date on which a Notice of Termination is given. Notwithstanding the foregoing, in the event that the Executive gives a Notice of Termination to the Company, the Company may unilaterally accelerate the Date of
Termination and such acceleration shall not result in a termination by the Company for purposes of this Agreement. 
 5. Compensation Upon
Termination. 
 (a) Termination Generally. If the Executive’s employment with the Company is terminated for any reason during
the Term, the Company shall pay or provide to the Executive (or to his authorized representative or estate) any earned but unpaid base salary, incentive compensation earned but not yet paid, unpaid expense reimbursements, accrued but unused vacation
and any vested benefits the Executive may have under any employee benefit plan of the Company (the “Accrued Benefit”) within 30 days of the Executive’s Date of Termination. 
 (b) Termination by the Company Without Cause or by the Executive with Good Reason. If the Executive’s employment is terminated by the Company
without Cause as provided in Section 4(d), or the Executive terminates his employment for Good Reason as provided in Section 4(e), then the Company shall, through the Date of Termination, pay the 

  

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Executive his Accrued Benefit. If the Executive signs a general release of claims in substantially the same form as attached hereto as Exhibit B (the
“Release”) within 21 days of the receipt of the Release and does not revoke such Release during the seven day revocation period, 
 (i) the Company shall pay the Executive an amount equal to the sum of (x) the Executive’s Base Salary and (y) the Executive’s Target Bonus under the Annual Bonus Plan (the “Severance Amount”). The Severance
Amount shall be paid out on a salary continuation basis over a 12-month period beginning with the first payroll date after the Date of Termination or expiration of the seven-day revocation period for the Release, if later. Solely for purposes of
Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), each installment payment is considered a separate payment. Notwithstanding the foregoing, if the Executive breaches any of the provisions contained in the
Non-Competition Agreement or Section 6 of this Agreement, all payments of the Severance Amount shall immediately cease; and 
 (ii)
upon the Date of Termination that occurs on or before the 18-month anniversary of the Commencement Date, any stock option and restricted stock award held by the Executive that would have vested in the next 12-month period shall vest and become
exercisable, and 
 (iii) upon the Date of Termination, any unvested shares of restricted stock issued to the Executive pursuant to
Section 3(b)(ii) shall immediately vest; provided, however, that to the extent the Company is prohibited by the terms of the Stock Incentive Plan to fully vest the Executive in all such shares of restricted stock, the Company shall pay the
Executive in a lump sum the cash equivalent value of such shares; and 
 (iv) subject to the Executive’s copayment of premium amounts
at the active employees’ rate, the Executive shall continue to participate in the Company’s group health, dental and vision program for 18 months; provided, however, that the continuation of health benefits under this Section shall reduce
and count against the Executive’s rights under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”). 
 (v) Anything in this Agreement to the contrary notwithstanding, if at the time of the Executive’s termination of employment, the Company determines the Executive is “specified employee” within the meaning of
Section 409A(a)(2)(B)(i) of the Code, and if any payment that the Executive becomes entitled to under this Agreement would be considered deferred compensation subject to interest and additional tax imposed pursuant to Section 409A(a) of
the Code as a result of the application of Section 409A(a)(2)(B)(i) of the Code, then no such payment shall be payable prior to the date that is the earlier of (A) six months after the Executive’s separation from service, or
(B) the Executive’s death, and the initial payment shall include a catch-up amount covering amounts that would otherwise have been paid during the first six-month period but for the application of this Section 5(b)(v). The parties
intend that this Agreement will be administered in accordance with Section 409A of the Code. The parties agree that this Agreement may be amended, as reasonably requested by either party, and as may be necessary to fully comply with
Section 409A of the Code and all related rules and regulations in order to preserve the payments and benefits provided hereunder without additional cost to either party. 
  

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 6. Confidential Information, Noncompetition and Cooperation. 
 (a) Confidentiality and Non-Competition Agreement. The Executive shall execute and deliver to the Company the Confidentiality and Non-Competition
Agreement annexed hereto as Exhibit C (the “Confidentiality and Non-Competition Agreement”). 
 (b) Third-Party
Agreements and Rights. The Executive hereby confirms that the Executive is not bound by the terms of any agreement with any previous employer or other party which restricts in any way the Executive’s use or disclosure of information or the
Executive’s engagement in any business. The Executive represents to the Company that the Executive’s execution of this Agreement and the Non-Competition Agreement, the Executive’s employment with the Company and the performance of the
Executive’s proposed duties for the Company will not violate any obligations the Executive may have to any such previous employer or other party. In the Executive’s work for the Company, the Executive will not disclose or make use of any
information in violation of any agreements with or rights of any such previous employer or other party, and the Executive will not bring to the premises of the Company any copies or other tangible embodiments of non-public information belonging to
or obtained from any such previous employment or other party. 
 (c) Litigation and Regulatory Cooperation. During and after the
Executive’s employment, the Executive shall cooperate fully with the Company in the defense or prosecution of any claims or actions now in existence or which may be brought in the future against or on behalf of the Company which relate to
events or occurrences that transpired while the Executive was employed by the Company. The Executive’s full cooperation in connection with such claims or actions shall include, but not be limited to, being available to meet with counsel to
prepare for discovery or trial and to act as a witness on behalf of the Company at mutually convenient times. During and after the Executive’s employment, the Executive also shall cooperate fully with the Company in connection with any
investigation or review of any federal, state or local regulatory authority as any such investigation or review relates to events or occurrences that transpired while the Executive was employed by the Company. The Company shall reimburse the
Executive for any reasonable out-of-pocket expenses incurred in connection with the Executive’s performance of obligations pursuant to this Section 6(c), and reimburse the Executive for the time devoted to the performance of such
obligations above a de minimus amount at a mutually agreeable rate; and, to the extent reasonably necessary to assist the Executive in carrying out the provisions of this Section 6(c), pay the reasonable attorney’s fees of counsel
reasonably selected by the Executive in connection with the foregoing, provided that the Executive provides the Company with reasonable notice prior to retaining such counsel. 
 (d) Injunction. The Executive agrees that it would be difficult to measure any damages caused to the Company which might result from any breach by
the Executive of the promises set forth in the Non-Competition Agreement and in this Section 6, and that in any event money damages would be an inadequate remedy for any such breach. Accordingly, subject to Section 8 of this Agreement, the
Executive agrees that if the Executive breaches, or proposes to breach, any portion of this Agreement, the Company shall be entitled, in addition to all other remedies that it may have, to an injunction or other appropriate equitable relief to
restrain any such breach without showing or proving any actual damage to the Company. 
  

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 7. Indemnification. Subject to the terms and conditions of the Company’s By-Laws, the Company
agrees to indemnify and hold the Executive harmless to the full extent permitted by the laws of the Commonwealth of Massachusetts, as in effect of the time of the subject act or omission. In connection therewith, the Executive shall be entitled to
the protection of insurance policies, which the Company shall maintain at commercially reasonable levels, for the benefit of the Company’s directors and officers, against all costs, charges and expenses incurred or sustained by the Executive in
connection with any action, suit or proceeding to which he may be made a party by reason of his being or having been a director, officer or employee of the Company. 
 8. Arbitration of Disputes. Any controversy or claim arising out of or relating to this Agreement or the breach thereof or otherwise arising out of the Executive’s employment or the termination of that
employment (including, without limitation, any claims of unlawful employment discrimination whether based on age or otherwise) shall, to the fullest extent permitted by law, be settled by arbitration in any forum and form agreed upon by the parties
or, in the absence of such an agreement, under the auspices of the American Arbitration Association (“AAA”) in Boston, Massachusetts in accordance with the Employment Dispute Resolution Rules of the AAA, including, but not limited to, the
rules and procedures applicable to the selection of arbitrators. In the event that any person or entity other than the Executive or the Company may be a party with regard to any such controversy or claim, such controversy or claim shall be submitted
to arbitration subject to such other person or entity’s agreement. Judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. This Section 8 shall be specifically enforceable.
Notwithstanding the foregoing, this Section 8 shall not preclude either party from pursuing a court action for the sole purpose of obtaining a temporary restraining order or a preliminary injunction in circumstances in which such relief is
appropriate; provided that any other relief shall be pursued through an arbitration proceeding pursuant to this Section 8. 
 9.
Consent to Jurisdiction. To the extent that any court action is permitted consistent with or to enforce Section 8 of this Agreement, the parties hereby consent to the jurisdiction of the Superior Court of the Commonwealth of
Massachusetts and the United States District Court for the District of Massachusetts. Accordingly, with respect to any such court action, the Executive (a) submits to the personal jurisdiction of such courts; (b) consents to service of
process; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or service of process. 
 10. Integration. This Agreement, the Change in Control Agreement and the Confidentiality and Non-Competition Agreement constitute the entire agreement between the parties with respect to the subject matter
hereof and thereof and supersede all prior agreements between the parties concerning such subject matters. 
 11. Successor to the
Executive. This Agreement shall inure to the benefit of and be enforceable by the Executive’s personal representatives, executors, administrators, heirs, distributees, devisees and legatees. In the event of the Executive’s death after
his termination of employment but prior to the completion by the Company of all payments due him under this Agreement, the Company shall continue such payments to the Executive’s beneficiary designated in writing to the Company prior to his
death (or to his estate, if the Executive fails to make such designation). 
  

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 12. Enforceability. If any portion or provision of this Agreement (including, without limitation,
any portion or provision of any section of this Agreement) shall to any extent be declared illegal or unenforceable by a court of competent jurisdiction, then the remainder of this Agreement, or the application of such portion or provision in
circumstances other than those as to which it is so declared illegal or unenforceable, shall not be affected thereby, and each portion and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 

13. Waiver. No waiver of any provision hereof shall be effective unless made in writing and signed by the waiving party. The failure of any
party to require the performance of any term or obligation of this Agreement, or the waiver by any party of any breach of this Agreement, shall not prevent any subsequent enforcement of such term or obligation or be deemed a waiver of any subsequent
breach. 
 14. Notices. Any notices, requests, demands and other communications provided for by this Agreement shall be sufficient if
in writing and delivered in person or sent by a nationally recognized overnight courier service or by registered or certified mail, postage prepaid, return receipt requested, to the Executive at the last address the Executive has filed in writing
with the Company or, in the case of the Company, at its main offices, attention of the Board. 
 15. Amendment. This Agreement may be
amended or modified only by a written instrument signed by the Executive and by a duly authorized representative of the Company. 
 16.
Governing Law. This is a Massachusetts contract and shall be construed under and be governed in all respects by the laws of the Commonwealth of Massachusetts, without giving effect to the conflict of laws principles of such Commonwealth. With
respect to any disputes concerning federal law, such disputes shall be determined in accordance with the law as it would be interpreted and applied by the United States Court of Appeals for the First Circuit. 
 17. Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be taken to be
an original; but such counterparts shall together constitute one and the same document. 
 18. Successor to Company. The Company shall
require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business or assets of the Company expressly to assume and agree to perform this Agreement to the same extent that
the Company would be required to perform it if no succession had taken place. Failure of the Company to obtain an assumption of this Agreement at or prior to the effectiveness of any succession shall be a breach of this Agreement and shall
constitute Good Reason if the Executive elects to terminate employment. 
 19. Gender Neutral. Wherever used herein, a pronoun in the
masculine gender shall be considered as including the feminine gender unless the context clearly indicates otherwise. 
  

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 IN WITNESS WHEREOF, the parties have executed this Agreement effective on the date and year first above
written. 
  

			
	MERCURY COMPUTER SYSTEMS, INC.
		
	By:	 	 /s/ James R. Bertelli

		 	James R. Bertelli
		 	Chairman of the Board
	
	EXECUTIVE
		
		 	 /s/ Mark Aslett

		 	Mark Aslett

  

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 EXHIBIT A 
 CHANGE IN CONTROL SEVERANCE AGREEMENT 
 THIS AGREEMENT, dated November 19, 2007, is made by and
between Mercury Computer Systems, Inc., a Massachusetts corporation with its principal offices at 199 Riverneck Road, Chelmsford, Massachusetts 01824 (the “Company”), and Mark Aslett (the “Executive”). 
 WHEREAS, the Company considers the establishment and maintenance of a sound and vital management to be essential to protecting and enhancing the best
interests of the Company and its shareholders; and 
 WHEREAS, the Executive has made and is expected to make, due to the Executive’s
intimate knowledge of the business and affairs of the Company, its policies, methods, personnel, and problems, a significant contribution to the profitability, growth, and financial strength of the Company; and 
 WHEREAS, the Company, as a publicly-held corporation, recognizes that the possibility of a Change in Control may exist, and that such possibility and the
uncertainty and questions which it may raise among management may result in the departure or distraction of the Executive in the performance of the Executive’s duties, to the detriment of the Company and its shareholders; and 
 WHEREAS, it is in the best interests of the Company and its shareholders to reinforce and encourage the continued attention and dedication of management
personnel, including the Executive, to their assigned duties without distraction and to ensure the continued availability to the Company of the Executive in the event of a Change in Control; 
 NOW, THEREFORE, in consideration of the foregoing and other respective covenants and agreements of the parties herein contained, the parties hereto agree
as follows: 
 1. Defined Terms. The definitions of capitalized terms used in this Agreement are provided in Section 18.

 2. Term of Agreement. The term of this Agreement (the “Term”)
shall commence on the date hereof and shall continue in effect through June 30, 2009; provided , however , that commencing on July 1, 2009 and each July 1 thereafter, the Term shall automatically be extended for one additional year
unless, not later than September 30 of the preceding year, the Company or the Executive shall have given notice not to extend the Term; and further provided , however , that if a Change in Control shall have occurred during the Term, the Term
shall expire on the last day of the twelfth (12th) month following the month in which such Change in Control occurred. 
 3. Company’s Covenants Summarized. In order to induce the Executive to remain in the employ of the Company and in consideration of the
Executive’s covenants in Section 4, the Company, under the conditions described herein, shall pay the Executive the Severance 

  

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Payments and the other payments and benefits described herein. Except as provided in Section 9.1, no Severance Payments shall be payable under this
Agreement unless there shall have been a Terminating Event following a Change in Control (or during a Potential Change in Control Period) and during the Term. This Agreement shall not be construed as creating an express or implied contract of
employment and, except as otherwise agreed in writing between the Executive and the Company, the Executive shall not have any right to be retained in the employ of the Company. 
 4. The Executive’s Covenants. Subject to the terms and conditions of this Agreement, in the event of a Potential Change in Control, the
Executive shall remain in the employ of the Company until the earliest of (i) a date which is six (6) months from the date of the first occurrence of a Potential Change in Control, (ii) the date of a Change in Control, (iii) the
date of termination by the Executive of the Executive’s employment for Good Reason or by reason of death, Disability or Retirement, or (iv) the termination by the Company of the Executive’s employment for any reason. 
 5. Termination Following a Change in Control for Disability; Other Reasons. 
 5.1 If the Executive fails to perform the Executive’s full-time duties with the Company following a Change in Control as a result of incapacity due
to physical or mental illness, during any period when the Executive so fails to perform the Company shall pay the Base Salary to the Executive, together with all compensation and benefits payable to the Executive under the terms of any compensation
or benefit plan, program or arrangement (other than the Company’s short- or long-term disability plan, as applicable, but including any bonus or incentive plan) maintained by the Company during such period, until the Executive resumes the full
time performance of such duties or the Executive’s employment is terminated by the Company for Disability. 
 5.2 If the
Executive’s employment shall be terminated for any reason following a Change in Control, the Company shall pay the Base Salary to the Executive through the Date of Termination, together with all compensation and benefits payable to the
Executive through the Date of Termination under the terms of the Company’s compensation and benefit plans, programs or arrangements as in effect immediately prior to the Date of Termination or, if more favorable to the Executive, as in effect
immediately prior to the first occurrence of an event or circumstance constituting Good Reason. 
 5.3 Except as expressly provided herein,
if the Executive’s employment shall be terminated for any reason following a Change in Control, the Company shall pay to the Executive the Executive’s normal post-termination compensation and benefits as such payments become due. Such
post-termination compensation and benefits shall be determined under, and paid in accordance with, the Company’s retirement, insurance and other compensation or benefit plans, programs and arrangements as in effect immediately prior to the Date
of Termination or, if more favorable to the Executive, as in effect immediately prior to the occurrence of the first event or circumstance constituting Good Reason. 
 6. Vesting of Stock Awards; Severance Payments and Benefits. Provided the Executive is then employed by the Company or one of its subsidiaries, upon the occurrence of a 

  

 12 

 
Change in Control, anything contained in any applicable option agreement or stock-based award agreement to the contrary notwithstanding, vesting of all stock
options and other stock-based awards granted to the Executive by the Company and outstanding immediately prior to such Change in Control shall immediately accelerate and all such awards shall become exercisable or non-forfeitable as of the effective
date of such Change in Control. Further, subject to the Executive’s execution of and the effectiveness of a General Release in a form identical to or substantially the same as the release attached as Exhibit A hereto, the Company shall provide
the following compensation and benefits: 
 6.1 If a Terminating Event occurs within twelve (12) months following a Change in Control (or
during a Potential Change in Control Period) and during the Term, then the Company shall pay the Executive the amounts, and provide the Executive the benefits, described in this Section 6.1 (“Severance Payments”), in addition to any
payments and benefits to which the Executive is entitled under Section 5. Except as described above or in Section 9.1, the Executive shall not be entitled to benefits pursuant to this Section 6.1 unless a Change in Control shall have
occurred during the Term. 
 (A) The Company shall pay to the Executive a lump sum severance payment, in cash, equal to one (1) times
the sum of (i) the Base Salary, and (ii) the target annual bonus available to the Executive pursuant to the Company’s annual executive bonus plan or any successor plan (including, without limitation, the cash component of any target
award under the Company’s Long Term Incentive Plan) in respect of the fiscal year in which the Date of Termination occurs (without giving effect to any event or circumstance constituting Good Reason), assuming for this purpose attainment of
100% of any applicable target; provided, however, that if the applicable target bonus would have been pro-rated for a partial fiscal year, such target bonus shall be recalculated for purposes of this Section 6.1(A) to equal the amount that for
which the Executive would have been eligible for the entire fiscal year. 
 (B) For the eighteen (18) month period immediately
following the Date of Termination, the Company shall arrange to provide the Executive and his dependents health and dental insurance benefits on the same terms and conditions as though the Executive had remained an active employee. The cost of
providing the benefits set forth in this Section 6.1(B) shall be in addition to (and shall not reduce) the Severance Payments. Benefits otherwise receivable by the Executive pursuant to this Section 6.1(B) shall be reduced to the extent
the Executive becomes eligible to receive comparable benefits from a new employer or pursuant to a government-sponsored health insurance or health care program. 
 (C) The Company shall pay the cost of providing the Executive with outplacement services up to a maximum of $30,000, provided that (i) the Executive begins to utilize such services within six months following the
Date of Termination and (ii) such services are provided by an outplacement provider approved by the Company (which approval shall not be unreasonably withheld, delayed or conditioned). Such payment shall be made by the Company directly to the
service provider promptly following the provision of such services and the presentation to the Company of documentation of the provision of such services. 
  

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 6.2 Best Net Benefit Limitation. 
 (A) Anything contained in this Agreement to the contrary notwithstanding, if any of the payments or benefits received or to be received by the Executive
(whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement with the Company, any Person whose actions result in a Change in Control or any Person affiliated with the Company or such Person) (all such payments and
benefits being hereinafter referred to as the “Total Payments”) will be subject to the Excise Tax, the following provisions shall apply: 
 (i) If the Total Payments, reduced by the sum of (a) the Excise Tax and (b) the total of the Federal, state, and local income and employment taxes payable by the Executive on the amount of the Total Payments which are in excess of
the Threshold Amount, are greater than or equal to the Threshold Amount, the Executive shall be entitled to the full benefits payable under this Agreement. 
 (ii) If the Threshold Amount is less than (a) the Total Payments, but greater than (b) the Total Payments reduced by the sum of (1) the Excise Tax and (2) the total of the Federal, state and local
income and employment taxes on the amount of the Total Payments which are in excess of the Threshold Amount, then the benefits payable under this Agreement shall be reduced (but not below zero) to the extent necessary so that the maximum Total
Payments shall not exceed the Threshold Amount. To the extent that there is more than one method of reducing the payments or benefits to bring them within the Threshold Amount, the Executive shall determine which method shall be followed; provided
that if the Executive fails to make such determination within fifteen (15) days after the Company has sent the Executive written notice of the need for such reduction, the Company may determine the amount of such reduction in its sole
discretion. 
 (B) The determination as to which of the alternative provisions of subsection (A) above shall apply to the Executive
shall be made by a nationally recognized accounting firm selected by the Company (the “Accounting Firm”), which shall provide detailed supporting calculations both to the Company and the Executive within fifteen (15) business days of
the Date of Termination, if applicable, or at such earlier time as is reasonably requested by the Company or the Executive. For purposes of determining which of the alternative provisions of subsection (A) above shall apply, the Executive shall
be deemed to pay Federal income taxes at the highest marginal rate of Federal income taxation applicable to individuals for the calendar year in which the determination is to be made, and state and local income taxes at the highest marginal rates of
individual taxation in the state and locality of the Executive’s residence on the Date of Termination, net of the maximum reduction in Federal income taxes which could be obtained from deduction of such state and local taxes. Any determination
by the Accounting Firm shall be binding upon the Company and the Executive. 
 6.3 The payments provided in subsection (A) of
Section 6.1 shall be made not later than the fifth day following the Date of Termination. If the Executive is considered a “specified employee,” within the meaning of Section 409A of the Code on his Date of Termination and
severance payable hereunder is considered deferred compensation subject to Section 409A of the Code, no severance payments will be paid during the six-month period 

  

 14 

 
following the Executive’s termination of employment. Any severance amount that would have been paid during such six-month period but for the provisions
of the preceding sentence shall be paid in a lump sum within the first five (5) days of the seventh month following the Executive’s termination of employment. 
 7. Termination Procedures and Compensation During Dispute. 
 7.1 Notice of Termination. After a
Change in Control, any purported termination of the Executive’s employment (other than by reason of death) shall be communicated by written Notice of Termination from one party hereto to the other party hereto in accordance with
Section 10. For purposes of this Agreement, a “Notice of Termination” shall mean a notice which shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail any facts and
circumstances claimed to provide a basis for termination of the Executive’s employment under the provision so indicated. Further, a Notice of Termination for Cause is required to include a copy of a resolution duly adopted by the affirmative
vote of not less than two-thirds (2/3) of the entire membership of the Board at a meeting of the Board which was called and held for the purpose of considering such termination (after reasonable notice to the Executive and an opportunity for
the Executive, together with the Executive’s counsel, to be heard before the Board) finding that, in the good faith opinion of the Board, the Executive was guilty of conduct set forth in clause (i), (ii) or (iii) of the definition of
Cause herein, and specifying the particulars thereof in detail. 
 7.2 Date of Termination. “Date of Termination,” with
respect to any purported termination of the Executive’s employment after a Change in Control, shall mean (i) if the Executive’s employment is terminated for Disability, thirty (30) days after Notice of Termination is given
(provided that the Executive shall not have returned to the full-time performance of the Executive’s duties during such thirty (30) day period), and (ii) if the Executive’s employment is terminated for any other reason, the date
specified in the Notice of Termination (which, in the case of a termination by the Company, shall not be less than fifteen (15) days (except in the case of a termination for Cause) and, in the case of a termination by the Executive, shall not
be less than fifteen (15) days, respectively, from the date such Notice of Termination is given). Notwithstanding the foregoing, if the Executive gives a Notice of Termination to the Company, the Company may unilaterally accelerate the Date of
Termination and such acceleration shall not result in a “Termination by the Company” for purposes of this Agreement. 
 7.3
Dispute Concerning Termination. If within ten (10) days after any Notice of Termination is given, or, if later, prior to the Date of Termination (as determined without regard to this Section 7.3), the party receiving such Notice of
Termination notifies the other party that a dispute exists concerning the termination, the Date of Termination shall be extended until the earlier of (i) the date on which the Term ends or (ii) the date on which the dispute is finally
resolved, either by mutual written agreement of the parties or by a final judgment, order or decree of an arbitrator or a court of competent jurisdiction (which is not appealable or with respect to which the time for appeal therefrom has expired and
no appeal has been perfected); provided , however , that the Date of Termination shall be extended by a notice of dispute given by the Executive only if such notice is given in good faith and the Executive pursues the resolution of such dispute with
reasonable diligence. 
  

 15 

 7.4 Compensation During Dispute. If the Date of Termination is extended in accordance with
Section 7.3, the Company shall continue to pay the Executive the full compensation in effect when the notice giving rise to the dispute was given (including, but not limited to, the Base Salary) and continue the Executive as a participant in
all compensation, benefit and insurance plans in which the Executive was participating when the notice giving rise to the dispute was given, until the Date of Termination, as determined in accordance with Section 7.3. Amounts paid under this
Section 7.4 are in addition to all other amounts due under this Agreement (other than those due under Section 5.2) and shall not be offset against or reduce any other amounts due under this Agreement. 
 7.5 Legal Fees and Expenses. The Company shall pay to the Executive all legal fees and expenses incurred by the Executive in disputing in good
faith any issue hereunder relating to the termination of the Executive’s employment, in seeking in good faith to obtain or enforce any benefit or right provided by this Agreement or in connection with any tax audit or proceeding to the extent
attributable to the application of section 4999 of the Code to any payment or benefit provided hereunder. Such payments shall be made within five (5) business days after delivery of the Executive’s written requests for payment accompanied
with such evidence of fees and expenses incurred as the Company reasonably may require. 
 8. No Mitigation. If the Executive’s
employment with the Company terminates following a Change in Control, the Executive is not required to seek other employment or to attempt in any way to reduce any amounts payable to the Executive by the Company pursuant to Section 6 or
Section 7.4. Except as set forth in Section 6.1(B), the amount of any payment or benefit provided for in this Agreement shall not be reduced by any compensation earned by the Executive as the result of employment by another employer, by
retirement benefits, by offset against any amount claimed to be owed by the Executive to the Company, or otherwise. 
 9. Successors;
Binding Agreement. 
 9.1 In addition to any obligations imposed by law upon any successor to the Company, the Company shall require any
successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to expressly assume and agree to perform this Agreement in the same manner and to the
same extent that the Company would be required to perform it if no such succession had taken place. Failure of the Company to obtain such assumption and agreement prior to the effectiveness of any such succession shall be a breach of this Agreement
and shall entitle the Executive to compensation from the Company in the same amount and on the same terms as the Executive would be entitled to hereunder if the Executive were to terminate the Executive’s employment for Good Reason after a
Change in Control and during the Term, except that, for purposes of implementing the foregoing, the date on which any such succession becomes effective shall be deemed the Date of Termination. 
 9.2 This Agreement shall inure to the benefit of and be enforceable by the Executive’s personal or legal representatives, executors, administrators,
successors, heirs, distributees, devisees and legatees. If the Executive shall die while any amount would still be payable to the Executive hereunder (other than amounts which, by their terms, terminate upon the death of the Executive) if the
Executive had continued to live, all such amounts, unless 

  

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otherwise provided herein, shall be paid in accordance with the terms of this Agreement to the Executive’s beneficiary designated in writing to the
Company prior to his death (or to the executors, personal representatives or administrators of the Executive’s estate, if the Executive fails to make such designation). 
 10. Notices. For the purpose of this Agreement, notices and all other communications provided for in the Agreement shall be in writing and shall
be deemed to have been duly given when delivered or mailed by United States registered or certified mail, return receipt requested, postage prepaid, addressed to the last known residence address of the Executive or in the case of the Company, to its
principal office to the attention of the Chief Executive Officer of the Company with a copy to its Secretary, or to such other address as either party may have furnished to the other in writing in accordance herewith, except that notice of change of
address shall be effective only upon receipt. 
 11. Effect on Other Plans. An election by the Executive to resign after a Change in
Control under the provisions of this Agreement shall not be deemed a voluntary termination of employment by the Executive for the purpose of interpreting the provisions of any of the Company’s benefit plans, programs or policies. Nothing in
this Agreement shall be construed to limit the rights of the Executive under the Company’s benefit plans, programs or policies except as otherwise provided in Section 6.2 hereof, and except that the Executive shall have no rights to any
severance benefits under any Company severance pay plan or arrangement (other than this Agreement) in connection with the occurrence of a Terminating Event within twelve (12) months following a Change in Control (or during a Potential Change in
Control Period) and during the Term. If the Executive is party to an employment agreement with the Company providing for severance payments and benefits (whether or not related to a Change in Control), in the event the Executive becomes entitled to
receive payments and benefits under this Agreement and the employment agreement after a Change in Control, the payments and benefits will be payable only under this Agreement and not under the employment agreement. 
 12. No Offset. The Company’s obligation to make the payments provided for in this Agreement and otherwise perform its obligations hereunder
shall not be affected by any circumstances, including, without limitation, any set-off, counterclaim, recoupment, defense or other right which the Company or any of its affiliates may have against the Executive or others whether by reason of the
Executive’s breach of this Agreement, subsequent employment of the Executive, or otherwise. 
 13. Miscellaneous. No provision of
this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing and signed by the Executive and such officer as may be specifically designated by the Board. No waiver by either party hereto
at any time of any breach by the other party hereto of, or of any lack of compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at
the same or at any prior or subsequent time. This Agreement supersedes any other agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof which have been made by either party; provided, however,
that this Agreement shall not supersede any agreement setting forth the terms and conditions of the Executive’s employment with the Company or any subsidiary of the Company, except as expressly agreed to by the 

  

 17 

 
Executive and the Company in writing. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the
Commonwealth of Massachusetts. All references to sections of the Exchange Act or the Code shall be deemed also to refer to any successor provisions to such sections. Any payments provided for hereunder shall be paid net of any applicable withholding
required under federal, state or local law and any additional withholding to which the Executive has agreed. The obligations of the Company under this Agreement which by their nature may require either partial or total performance after the
expiration of the Term (including, without limitation, those under Sections 6 and 7) shall survive such expiration. 
 14. Validity.
The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect. 
 15. Counterparts. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which
together will constitute one and the same instrument. 
 16. Settlement of Disputes; Arbitration. 
 16.1 All claims by the Executive for payments and benefits under this Agreement shall be directed to and determined by the Board and shall be in writing.
Any denial by the Board of a claim for benefits under this Agreement shall be delivered to the Executive in writing and shall set forth the specific reasons for the denial and the specific provisions of this Agreement relied upon. The Board shall
afford a reasonable opportunity to the Executive for a review of the decision denying a claim and shall further allow the Executive to appeal to the Board a decision of the Board within sixty (60) days after notification by the Board that the
Executive’s claim has been denied. 
 16.2 Any further dispute or controversy arising under or in connection with this Agreement shall
be settled exclusively by arbitration in Boston, Massachusetts in accordance with the rules of the American Arbitration Association then in effect; provided, however, that the evidentiary standards set forth in this Agreement shall apply. Judgment
may be entered on the arbitrator’s award in any court having jurisdiction. Notwithstanding any provision of this Agreement to the contrary, the Executive shall be entitled to seek specific performance of the Executive’s right to be paid
until the Date of Termination during the pendency of any dispute or controversy arising under or in connection with this Agreement. 
 17.
Litigation and Regulatory Cooperation. During and after the Executive’s employment, the Executive shall cooperate fully with the Company in the defense or prosecution of any claims or actions now in existence or which may be brought in
the future against or on behalf of the Company which relate to events or occurrences that transpired while the Executive was employed by the Company. The Executive’s full cooperation in connection with such claims or actions shall include, but
not be limited to, being available to meet with counsel to prepare for discovery or trial, to act as a witness on behalf of the Company, and if called to testify, to testify truthfully and in good faith about events that happened during the
Executive’s employment. During and after the Executive’s employment, the Executive also shall cooperate 

  

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fully with the Company in connection with any investigation or review of any federal, state or local regulatory authority as any such investigation or review
relates to events or occurrences that transpired while the Executive was employed by the Company. The Company shall make reasonable efforts to schedule any cooperation required pursuant to this Section 17 at such times that will not
unreasonably interfere with the Executive’s search for other employment or performance of other employment services. The Company shall reimburse the Executive for reasonable expenses incurred in connection with the Executive’s performance
of obligations pursuant to this Section 17 based on the standards and procedures applicable to expense reimbursement for the Company’s employees. 
 18. Definitions. For purposes of this Agreement, the following terms shall have the meanings indicated below: 
 18.1 “Base Salary” shall mean the annual base salary in effect for the Executive immediately prior to a Change in Control, as such salary may be increased from time to time during the Term (in which case such increased amount
shall be the Base Salary for purposes hereof), but without giving effect to any reduction thereto. 
 18.2 “Board” shall mean the
Board of Directors of the Company. 
 18.3 “Cause” for termination by the Company of the Executive’s employment shall mean
(i) the willful and continued failure by the Executive (other than any such failure resulting from (A) the Executive’s incapacity due to physical or mental illness, (B) any such actual or anticipated failure after the issuance of
a Notice of Termination by the Executive for Good Reason or (C) the Company’s active or passive obstruction of the performance of the Executive’s duties and responsibilities) to perform substantially the duties and responsibilities of
the Executive’s position with the Company after a written demand for substantial performance is delivered to the Executive by the Board, which demand specifically identifies the manner in which the Board believes that the Executive has not
substantially performed such duties or responsibilities; (ii) the conviction of the Executive by a court of competent jurisdiction for felony criminal conduct or a plea of nolo contendere to a felony; or (iii) the willful engaging by the
Executive in fraud, dishonesty or other misconduct which is demonstrably and materially injurious to the Company or its reputation, monetarily or otherwise. No act, or failure to act, on the Executive’s part shall be deemed “willful”
unless committed, or omitted by the Executive in bad faith and without reasonable belief that the Executive’s act or failure to act was in, or not opposed to, the best interest of the Company. 
 18.4 A “Change in Control” shall be deemed to have occurred if any of the events set forth in any one of the following paragraphs shall have
occurred: 
 (A) any Person, together with all “affiliates” and “associates” (as such terms are defined in Rule 12b-2
under the Exchange Act) of such Person, shall become the “beneficial owner” (as such term is defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more
of the combined voting power of the Company’s then outstanding securities having the right to vote in an election of the Company’s Board (“Voting Securities”) (in such case other than as a result of an acquisition of securities
directly from the Company or an acquisition of securities involving a Corporate Transaction of the type described in the exclusion set forth in subsection (C) below); or 
  

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 (B) persons who, as of the date hereof, constitute the Board (the “Incumbent Directors”) cease
for any reason, including, without limitation, as a result of a tender offer, proxy contest, merger or similar transaction, to constitute at least a majority of the Board, provided that any person becoming a director of the Company subsequent to the
date hereof shall be considered an Incumbent Director if such person’s election was approved by or such person was nominated for election by either (i) a vote of at least a majority of the Incumbent Directors or (ii) a vote of at
least a majority of the Incumbent Directors who are members of a nominating committee comprised, in the majority, of Incumbent Directors; but provided further, that any such person whose initial assumption of office is in connection with an actual
or threatened election contest relating to the election of members of the Board or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board, including by reason of agreement intended to avoid or
settle any such actual or threatened contest or solicitation, shall not be considered an Incumbent Director; or 
 (C) the consummation of a
consolidation, merger or consolidation or sale or other disposition of all or substantially all of the assets of the Company (a “Corporate Transaction”); excluding, however, a Corporate Transaction in which the stockholders of the Company
immediately prior to the Corporate Transaction, would, immediately after the Corporate Transaction, beneficially own (as such term is defined in Rule 13d-3 under the Exchange Act), directly or indirectly, shares representing in the aggregate more
than fifty percent (50%) of the voting shares of the corporation issuing cash or securities in the Corporate Transaction (or of its ultimate parent corporation, if any). 
 Notwithstanding the foregoing, a “Change in Control” of the Company shall not be deemed to have occurred for purposes of the foregoing
subsection (A) solely as the result of an acquisition of securities by the Company that, by reducing the number of shares of Voting Securities outstanding, increases the proportionate number of shares of Voting Securities beneficially owned by
any Person to fifty percent (50%) or more of the combined voting power of all then outstanding Voting Securities; provided, however, that if any Person referred to in this sentence shall thereafter become the beneficial owner of any additional
shares of Voting Securities (other than pursuant to a stock split, stock dividend, or similar transaction or as a result of an acquisition of securities directly from the Company) and immediately thereafter beneficially owns fifty percent
(50%) or more of the combined voting power of all then outstanding Voting Securities, then a Change in Control of the Company shall be deemed to have occurred for purposes of the foregoing subsection (A). 
 Anything contained in this Agreement to the contrary notwithstanding, no Change in Control shall be deemed to have occurred for purposes of this
Agreement by virtue of any transaction which results in the Executive, or a “group” (as such term is used in Section 13(d)(3) of the Exchange Act) which includes the Executive, becoming the “beneficial owner” (as such term
is defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the combined voting power of the Company’s then outstanding securities. 
  

 20 

 18.5 “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.

 18.6 “Company” shall mean Mercury Computer Systems, Inc. and, except in determining under Section 18.4 whether or not any
Change in Control of the Company has occurred, shall include any successor to its business and/or assets which assumes and agrees to perform this Agreement by operation of law, or otherwise. 
 18.7 “Date of Termination” shall have the meaning set forth in Section 7.2. 
 18.8 “Disability” shall be deemed the reason for the termination by the Company of the Executive’s employment, if, as a result of the
Executive’s incapacity due to physical or mental illness, the Executive shall have been absent from the full-time performance of the Executive’s duties with the Company for a period of one hundred eighty (180) calendar days in the
aggregate in any twelve (12) month period, the Company shall have given the Executive a Notice of Termination for Disability, and, within thirty (30) days after such Notice of Termination is given, the Executive shall not have returned to
the full-time performance of the Executive’s duties. Any question as to the existence of the Executive’s Disability upon which the Executive and the Company cannot agree shall be determined by a qualified independent physician selected by
the Executive (or, if the Executive is unable to make such selection, it shall be made by any adult member of the Executive’s immediate family), and approved by the Company. The determination of such physician made in writing to the Company and
to the Executive shall be final and conclusive for all purposes of this Agreement, absent fraud. 
 18.9 “Exchange Act” shall mean
the Securities Exchange Act of 1934, as amended from time to time. 
 18.10 “Excise Tax” shall mean any excise tax imposed under
section 4999 of the Code, and any interest or penalties incurred by the Executive with respect to such excise tax. 
 18.11
“Executive” shall mean the individual named in the first paragraph of this Agreement. 
 18.12 “Good Reason” for
termination by the Executive of the Executive’s employment shall mean the occurrence (without the Executive’s express written consent) after any Change in Control, or during a Potential Change in Control Period (treating all references in
subsections (A) through (F) below to a “Change in Control” as references to a “Potential Change in Control”), of any one of the following acts by the Company, or failures by the Company to act, unless, in the case of
any act or failure to act described in subsection (A), (B), (C), (D) or (E) below, such act or failure to act is corrected prior to the Date of Termination specified in the Notice of Termination given in respect thereof: 
 (A) an adverse change in the Executive’s status or position with the Company as in effect immediately prior to the Change in Control, including,
without limitation, any adverse change in the Executive’s status or position as a result of a diminution of the Executive’s duties or responsibilities or the assignment to the Executive of any duties or responsibilities which are
inconsistent with such status or position(s), or any removal of the Executive from, or any failure to reappoint or reelect the Executive to, such position(s); 
  

 21 

 (B) a reduction in the Executive’s Base Salary; 
 (C) the failure of the Company to maintain the Executive’s participation in a bonus or incentive plan that provides for an annual target bonus not
lower than the Executive’s target bonus (at a payout factor of one) for the fiscal year in which the Change in Control occurs; 
 (D)
the failure by the Company to maintain the Executive’s participation in any thrift, pension, profit sharing, medical, health, disability, accident, life insurance and vacation plan or policy on terms not less favorable than those provided by
the Company to other peer executives of the Company; 
 (E) the Company requiring the Executive to be based at an office that is greater
than 50 miles from where the Executive’s office is located immediately prior to the Change in Control except for required travel on the Company’s business to an extent substantially consistent with the business travel obligations which the
Executive undertook on behalf of the Company prior to the Change in Control; 
 (F) any purported termination of the Executive’s
employment which is not effected pursuant to a Notice of Termination satisfying the requirements of Section 7.1; for purposes of this Agreement, no such purported termination shall be effective. 
 The Executive’s right to terminate the Executive’s employment for Good Reason shall not be affected by the Executive’s incapacity due to
physical or mental illness. The Executive’s continued employment shall not constitute consent to, or a waiver of rights with respect to, any act or failure to act constituting Good Reason hereunder. 
 For purposes of any determination regarding the existence of Good Reason, any claim by the Executive that Good Reason exists shall be presumed to be
correct unless the Company establishes to the Board by clear and convincing evidence that Good Reason does not exist. 
 18.13 “Notice
of Termination” shall have the meaning set forth in Section 7.1. 
 18.14 “Person” shall have the meaning given in
Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof, except that such term shall not include (i) the Company or any of its subsidiaries, or (ii) any trustee, fiduciary or other person or
entity holding securities under any employee benefit plan or trustee of the Company or any of its subsidiaries. 
 18.15 “Potential
Change in Control” shall be deemed to have occurred if the event set forth in any one of the following subsections shall have occurred: 
 (A) the Company enters into an agreement, the consummation of which would result in the occurrence of a Change in Control; 
 (B)
the Company or any Person publicly announces an intention to take or to consider taking actions which, if consummated, would constitute a Change in Control; 
  

 22 

 (C) any Person becomes the beneficial owner (as such term is defined in Rule 13d-3 under the Exchange
Act), directly or indirectly, of securities of the Company representing 15% or more of the combined voting power of the Company’s then outstanding securities; or 
 (D) the Board adopts a resolution to the effect that, for purposes of this Agreement, a Potential Change in Control has occurred. 
 18.16 “Potential Change in Control Period” shall commence upon the occurrence of a Potential Change in Control and shall lapse upon the occurrence of a Change in Control or, if earlier (i) with respect
to a Potential Change in Control occurring pursuant to Section 18.15(A), immediately upon the abandonment or termination of the applicable agreement, (ii) with respect to a Potential Change in Control occurring pursuant to
Section 18.15(B), immediately upon a public announcement by the applicable party that such party has abandoned its intention to take or consider taking actions which if consummated would result in a Change in Control or (iii) with respect
to a Potential Change in Control occurring pursuant to Section 18.15(C) or (D), upon the one year anniversary of the occurrence of a Potential Change in Control (or such earlier date as may be determined by the Board). 
 18.17 “Retirement” shall be deemed the reason for the termination by the Executive of the Executive’s employment if such employment is
terminated because of the Executive’s retirement on or after attaining the minimum age, completing the minimum number of years of service and satisfying all other conditions specified for retirement status under the Company’s Retirement
Policy Statement. 
 18.18 “Severance Payments” shall have the meaning set forth in Section 6.1. 
 18.19 “Term” shall mean the period of time described in Section 2 (including any extension, continuation or termination described
therein). 
 18.20 “Terminating Event” shall mean termination of the Executive’s employment with the Company, other than
(a) by the Company for Cause, (b) by reason of death or Disability, or (c) by the Executive without Good Reason. 
 18.21
“Threshold Amount” shall mean three times the Executive’s “base amount” within the meaning of Section 280G(b)(3) of the Code and the regulations promulgated thereunder, less one dollar ($1.00). 
 18.22 “Total Payments” shall mean those payments so described in Section 6.2. 
  

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 IN WITNESS WHEREOF, the undersigned officer, on behalf of Mercury Computer Systems, Inc., and the
Executive have hereunto set their hands as an agreement under seal, all as of the date first above written. 
  

			
	 MERCURY COMPUTER SYSTEMS, INC.

		
	 By:
	 	  

		 	James R. Bertelli
		 	Chairman of the Board
	
	 EXECUTIVE:

	
	  

	 Mark Aslett

  

 24 

 Exhibit A 
 General Release of Claims 
 In exchange for and as a condition to Mercury Computer Systems, Inc.’s (“the
Company”) promises to me contained in the Change in Control Severance Agreement between the Company and me (the “Agreement), I agree as follows: 
 I hereby irrevocably and unconditionally release, acquit and forever discharge the Company, its predecessors, successors, affiliates, other related entities and assigns, and the directors, officers, employees, shareholders, and
representatives of any of the foregoing, and any persons acting on behalf or through any of the foregoing (any and all of whom or which are hereinafter referred to as the “Company”), from any and all charges, complaints, claims,
liabilities, obligations, promises, agreements, controversies, damages, actions, causes of action, suits, rights, demands, costs, losses, debts and expenses (including attorney’s fees and costs actually incurred), of any nature whatsoever,
known or unknown (collectively, “Claims”), that I now have, own, or hold, or claim to have, own, or hold, or that I at any time had, owned, or held, or claimed to have had, owned or held against the Company. This general release of Claims
includes, without implication of limitation, the complete release of all Claims of breach of express or implied contract, including, without limitation, all Claims arising from any employment offer letter from the Company; all Claims of wrongful
termination of employment whether in contract or tort; all Claims based on actions or omissions leading to this General Release of Claims; all Claims of intentional, reckless, or negligent infliction of emotional distress; all Claims of breach of
any express or implied covenant of employment, including the covenant of good faith and fair dealing; all Claims of interference with contractual or advantageous relations, whether those relations are prospective or existing; all Claims of deceit or
misrepresentation; all Claims of discrimination under state or federal law, including, without implication of limitation, Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq. , as amended, the Age Discrimination in Employment
Act of 1967, 29 U.S.C. § 621 et seq. , as amended, and Chapter 151B of the Massachusetts General Laws; all Claims of defamation or damage to reputation; all Claims for reinstatement; all Claims for punitive or emotional distress damages; all
Claims for wages, bonuses, severance, back or front pay or other forms of compensation; and all Claims for attorney’s fees and costs. This General Release of Claims shall not be construed to include a release of Claims that arise from the
Company’s obligations under the Agreement. 
 I acknowledge that I have been advised to consult with an attorney before signing this General Release.

 I further understand that I have been given an adequate opportunity, if I so desired, to consider this General Release for up to twenty-one (21) days
before deciding whether to sign it. If I signed this General Release before the expiration of that twenty-one (21) day period, I acknowledge that such decision was entirely voluntary. I understand that for a period of seven (7) days after
I execute this General Release I have the right to revoke it by a written notice to be received by the Director, Human Resources of the Company by the end of that period. I also understand that this General Release shall not be effective or
enforceable until the expiration of that period. 
  

 25 

 Notwithstanding the foregoing, I agree that nothing in this General Release of Claims is intended to affect any of my
obligations that continue after the termination of my employment contained in the Agreement or in any written agreement entered into between the Company and myself with respect to confidentiality, ownership of inventions, non-competition and/or
non-solicitation. 
 I represent and agree that I have carefully read and fully understand all of the provisions of this General Release and that I am
voluntarily agreeing to such provisions. 
  

	
	  

	 Mark Aslett

	  

	 Date

  

 26 

 EXHIBIT B 
 GENERAL RELEASE OF CLAIMS 
 In exchange for and as a condition to Mercury Computer Systems, Inc.’s (“the
Company”) promises to me contained in the Employment Agreement between the Company and me (the “Agreement), I agree as follows: 
 I hereby
irrevocably and unconditionally release, acquit and forever discharge the Company, its predecessors, successors, affiliates, other related entities and assigns, and the directors, officers, employees, shareholders, and representatives of any of the
foregoing, and any persons acting on behalf or through any of the foregoing (any and all of whom or which are hereinafter referred to as the “Company”), from any and all charges, complaints, claims, liabilities, obligations, promises,
agreements, controversies, damages, actions, causes of action, suits, rights, demands, costs, losses, debts and expenses (including attorney’s fees and costs actually incurred), of any nature whatsoever, known or unknown (collectively,
“Claims”), that I now have, own, or hold, or claim to have, own, or hold, or that I at any time had, owned, or held, or claimed to have had, owned or held against the Company. This general release of Claims includes, without implication of
limitation, the complete release of all Claims of breach of express or implied contract, including, without limitation, all Claims arising from any employment offer letter from the Company; all Claims of wrongful termination of employment whether in
contract or tort; all Claims based on actions or omissions leading to this General Release of Claims; all Claims of intentional, reckless, or negligent infliction of emotional distress; all Claims of breach of any express or implied covenant of
employment, including the covenant of good faith and fair dealing; all Claims of interference with contractual or advantageous relations, whether those relations are prospective or existing; all Claims of deceit or misrepresentation; all Claims of
discrimination under state or federal law, including, without implication of limitation, Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq. , as amended, the Age Discrimination in Employment Act of 1967, 29 U.S.C. § 621
et seq. , as amended, and Chapter 151B of the Massachusetts General Laws; all Claims of defamation or damage to reputation; all Claims for reinstatement; all Claims for punitive or emotional distress damages; all Claims for wages, bonuses,
severance, back or front pay or other forms of compensation; and all Claims for attorney’s fees and costs. This General Release of Claims shall not be construed to include a release of Claims that arise from the Company’s obligations under
the Agreement. 
 I acknowledge that I have been advised to consult with an attorney before signing this General Release. 
 I further understand that I have been given an adequate opportunity, if I so desired, to consider this General Release for up to twenty-one (21) days before
deciding whether to sign it. If I signed this General Release before the expiration of that twenty-one (21) day period, I acknowledge that such decision was entirely voluntary. I understand that for a period of seven (7) days after I
execute this General Release I have the right to revoke it by a written notice to be received by the Director, Human Resources of the Company by the end of that period. I also understand that this General Release shall not be effective or
enforceable until the expiration of that period. 
  

 27 

 Notwithstanding the foregoing, I agree that nothing in this General Release of Claims is intended to affect any of my
obligations that continue after the termination of my employment contained in the Agreement or in any written agreement entered into between the Company and myself with respect to confidentiality, ownership of inventions, non-competition and/or
non-solicitation. 
 I represent and agree that I have carefully read and fully understand all of the provisions of this General Release and that I am
voluntarily agreeing to such provisions. 
  

	
	  

	 Mark Aslett

	  

	 Date

  

 28 

 EXHIBIT C 
 CONFIDENTIALITY AND NON-COMPETITION AGREEMENT 
 MERCURY Computer Systems, Inc. has developed and uses commercially
valuable technical and non-technical (business) information. In order to guard the legitimate interests of MERCURY (as defined below), it is necessary for MERCURY to protect the information either by patents or by holding it confidential or secret.
The ASSOCIATE may become familiar with this information during the course of his/her employment with MERCURY, and may contribute to or develop some of this type of information. The ASSOCIATE recognizes that the information is the property of
MERCURY, and that it is vital to the success of MERCURY’s business. 
 PROPRIETARY INFORMATION means all information, whether or not in writing,
concerning MERCURY’s business, technology, business relationships or financial affairs which MERCURY has not released to the general public. By way of illustration, PROPRIETARY INFORMATION may include information or material which has not been
made generally available to the public, such as: (a) corporate information, including plans, strategies, methods, policies, resolutions, negotiations or litigation; (b) marketing information, including strategies, methods, customer
identities or other information about customers, prospect identities or other information about prospects, or market analyses or projections; (c) financial information, including cost and performance data, debt arrangements, equity structure,
investors and holdings, purchasing and sales data and price lists; and (d) operational and technological information, including plans, specifications, manuals, forms, templates, software, designs, procedures, formulas, discoveries, INVENTIONS,
improvements, concepts and ideas; and (e) personnel information, including personnel lists, reporting or organizational structure, resumes, personnel data, compensation structure, performance evaluations and termination arrangements or
documents. PROPRIETARY INFORMATION includes MERCURY’s TRADE SECRETS and all information received in confidence by MERCURY from its customers or suppliers or other third parties. 
 INVENTIONS, are defined to be all inventions, discoveries, designs, developments, methods, modifications, improvements, processes, algorithms, databases, computer programs, formulae, techniques, trade secrets,
graphics or images, audio or visual works, and other works of authorship, and include any of the foregoing conceived or made by the ASSOCIATE solely or jointly with others during or outside working hours while in the employ of MERCURY, but excluding
any invention conceived or made by the ASSOCIATE solely or jointly with others prior to his/her employment by MERCURY and listed below, and further excluding any invention conceived or made after termination of employment with MERCURY, provided the
invention does not contain or is not based upon MERCURY’s PROPRIETARY INFORMATION. 
 TRADE SECRETS are generally defined to be any formula, pattern,
drawings, data, device or compilation of information which is used in one’s business and which gives one an opportunity to obtain any advantage over competitors who do not know and use it. TRADE SECRETS include results that can be achieved by
the use of a known process or technique. 
  

 29 

 THEREFORE, in consideration of my employment and the compensation received by me from MERCURY or if now employed, the
continuation of my employment with MERCURY, I hereby agree as follows: 
  

	1.	I agree that I will not, during the course of my employment or at any time thereafter (a) use or make use of any PROPRIETARY INFORMATION of MERCURY other than in the
performance of my work for MERCURY, and (b) disclose to any person any such PROPRIETARY INFORMATION of MERCURY. I also agree to this with respect to PROPRIETARY INFORMATION that MERCURY receives from third parties (such as, by way of
non-limiting example, customers and suppliers) for use in connection with MERCURY business. I will deliver promptly to MERCURY on termination of my employment, or at any time it may so request, all memoranda, notes, records, manuals, drawings,
programs, software, firmware, plans, models, blueprints and any other documents of a proprietary nature belonging to MERCURY and/or any third party including all copies or reproductions of such materials which I may possess or have under my control.
I also agree to abide by MERCURY’s policies and procedures which were communicated to me and provided to me at the time of my hiring. 

  

	2.	I will fully and promptly disclose to MERCURY or its designees any and all INVENTIONS or PROPRIETARY INFORMATION whether or not patentable or copyrightable, conceived or developed
by me solely or jointly with others during my employment with MERCURY. 

  

	3.	I acknowledge that all work performed by me is on a work-for-hire basis. I hereby assign and agree, at the request of MERCURY, to assign to MERCURY or its successor in interest all
of my entire rights, title and interest in all of said INVENTIONS and in MERCURY’s PROPRIETARY INFORMATION that (a) relate to MERCURY’s business or any customer of MERCURY or any of the products or services being researched,
developed, manufactured or sold by MERCURY or which may be used with such products or services; or (b) result from tasks assigned to me by MERCURY; or (c) result from the use of premises or personal property (whether tangible or
intangible) owned, leased or contracted for by MERCURY (collectively, “Company-Related Inventions”), and all related patents, patent applications, trademarks and trademark applications, copyrights and copyright applications, and other
intellectual property rights in all countries and territories worldwide and under any international conventions. I will, either during my employment or after my employment, without further compensation, do all lawful things, including rendering
assistance and executing and delivering appropriate documents, as requested by MERCURY, to obtain and maintain patents, design patents, copyrights, trade names and trademarks in the United States and in all foreign countries on any of said
INVENTIONS, PROPRIETARY INFORMATION and intellectual property rights. Any modifications to the rights and obligations established under this paragraph must be authorized in writing by an authorized officer of the corporation.

 In the event MERCURY is unable, after reasonable effort, to secure my signature on any document needed to apply for or to
prosecute any patent, copyright, trademark, trade name, trade secret, or other right of protection relating to a Company-Related Invention, whether because of my physical or mental incapacity or for any other reason whatsoever, 

  

 30 

 
I hereby irrevocably designate and appoint MERCURY and its duly authorized officers and agents as my agent and attorney-in-fact, to act in my behalf to
execute and file any such application of applications and to do all other lawfully permitted acts to further prosecution and issuance of patents, copyrights, trademarks, trade names, trade secrets, or similar rights of protection thereon with the
same legal force and effect as if executed by me. 
  

	4.	At no time during my employment with MERCURY will I be employed by, render services for, or act on behalf of any other person, company or firm which is engaged in a business or
activity similar to, or competitive with, that of MERCURY, nor with any business that is a supplier to or a customer of MERCURY unless such employment or services have been approved by an officer of MERCURY in writing. I further agree that during my
employment and for one year thereafter I will not, directly or indirectly, (a) recruit, solicit for employment, or induce or divert any ASSOCIATE of MERCURY to terminate their employment with MERCURY, nor shall I do any act to assist another to
so recruit, solicit, induce or divert any such ASSOCIATE, and/or (b) call upon, solicit, divert or take away any of the customers, business or prospective customers of MERCURY or any of its suppliers. 

 I agree that, for a period of six months after I leave the employment of MERCURY, I shall not accept a position with or otherwise become affiliated with
any other person, firm or corporation that has the intent to or does compete with MERCURY or with any of MERCURY’s lines of business, including, without limitation, which competes with MERCURY in the high-speed, digital signal processing or
imaging markets. 
 I acknowledge that the activities carried on by MERCURY and its affiliates have worldwide business and commercial
implications for MERCURY, without geographic limit. I understand and agree that this non-competition provision is necessary for the protection and benefit of MERCURY, because of (i) my position with MERCURY, (ii) the training that I have
received at MERCURY’s expense, and (iii) my access to MERCURY PROPRIETARY INFORMATION. I further agree that MERCURY would be irreparably harmed in the event of a breach of this provision, and that money damages would not be an adequate
remedy. Accordingly, in addition to any other remedies available at law or in equity, MERCURY shall be entitled to obtain injunctive relief against any such breach or threatened breach. 
  

	5.	At no time during my employment with MERCURY will I own more than one (1) percent of the stock; or be a partner; or derive any financial benefit, direct or indirect, other than
from ownership of less than one (1) percent of any corporation, partnership or other business organization engaged in activities similar to or competitive with those of MERCURY or with any supplier to or customer of MERCURY unless such
ownership or interest has first been approved by an officer of MERCURY in writing. I understand and agree that I will abide by any policies that MERCURY may adopt regarding conflict of interest, whether consistent with or in replacement of the
above, and that I will be subject to and abide by all other policies of MERCURY. 

  

 31 

	6.	It is further understood that this Agreement does not constitute, and shall not be deemed to constitute a contract of employment, and that this Agreement not to use or disclose
PROPRIETARY INFORMATION of MERCURY and to protect MERCURY’s property and interest in any INVENTIONS and/or PROPRIETARY INFORMATION, shall survive the termination of my employment regardless of the manner of such termination and will be binding
upon my heirs, executors and administrators. My employment with MERCURY is at will and may be terminated by me or by MERCURY at any time, without cause, upon two (2) weeks prior written notice. MERCURY can terminate my employment for cause at
any time without prior notice. 

  

	7.	Any reference to MERCURY herein shall include MERCURY Computer Systems, Inc., its subsidiaries and affiliates, and their respective successors and assigns. This Agreement may be
modified only by an agreement in writing by a duly authorized officer of MERCURY. This entire Agreement shall be binding upon my heirs, executors or other legal representatives or assigns. This Agreement shall be governed by the laws of the
Commonwealth of Massachusetts. All discoveries owned or controlled by me, in whole or in part, at the time of entering this employment, are listed below. (If not applicable, check “NONE”. If additional space is required, use a separate
sheet.) 

                      (Check if None). 
  

	8.	I agree not to disclose to MERCURY or use in my work at MERCURY (unless otherwise agreed in writing by MERCURY) any TRADE SECRETS of any of my prior employers or other third-party
(except those third parties who have supplied TRADE SECRETS to MERCURY for use in connection with its business). And, I agree not to bring on to MERCURY premises any documents, items or other material containing TRADE SECRETS of any of my prior
employers or other third-party (again, except those third-parties who have supplied TRADE SECRETS to MERCURY for use in connection with its business. 

  

	9.	I hereby represent, except as I have fully disclosed previously in writing to MERCURY, that my employment by MERCURY will not conflict with and will not be constrained by any prior
employment agreement, consulting agreement or other business arrangement to which I am (or was) a party. I understand that this includes (by way of non-limiting example) agreements or arrangements which, though terminated, have ongoing obligations
of confidentiality or noncompetition. 

  

	10.	I agree that, in the event of a breach or threatened breach of the provisions of this Agreement, MERCURY’s remedies at law would be inadequate, and MERCURY shall be entitled to
an injunction to enforce such provisions (without any bond or other security being required), but nothing herein shall be construed to preclude MERCURY from pursuing any remedy at law or in equity for any breach or threatened breach.

  

	11.	If any provision of this Agreement is wholly or partially unenforceable for any reason, such unenforceability shall not affect the enforceability of the balance of this Agreement,
and all remaining provisions shall continue in full force and effect. 

  

 32 

	12.	MERCURY’s waiver of any default of the terms of this Agreement shall not constitute a waiver of its rights under this Agreement with respect to any subsequent default.

  

	13.	I agree to abide by the requirements of the U.S. Government with regard to export regulations as implemented by MERCURY in its export compliance program, including any obligations
required therein for foreign nationals as applicable, to the extent that I am trained and involved in any products, design, services or documentation exported or considered a deemed export, from MERCURY. 

  

	14.	I agree to provide a copy of this Agreement to any prospective employer, partner or coventurer prior to entering into any employment, partnership or other business relationship with
such person or entity. 

  

							
	  
	 	Date:	 	  
	  	
	 Mark Aslett
	 		 		  	

  

 33Stock Purchase Agreement

 Exhibit 10.1 
 EXECUTION COPY 
 STOCK PURCHASE AGREEMENT 
 AMONG 
 IMG WORLDWIDE, INC., 
 B.R. HOLDING,
INC. 
 AND 
 TRIPLE CROWN MEDIA, INC. 
 NOVEMBER 8, 2007 

 TABLE OF CONTENTS 
  

							
	 §1.
	  	Definitions	  	1
			
	 §2.
	  	Purchase and Sale of HOST Shares	  	10
		  	(a)	  	Basic Transaction	  	10
		  	(b)	  	[Intentionally Omitted]	  	10
		  	(c)	  	Closing	  	10
		  	(d)	  	Deliveries by Seller to Buyer at Closing	  	11
		  	(e)	  	Deliveries by Buyer to Seller at Closing	  	11
		  	(f)	  	Withholding Taxes	  	11
		  	(g)	  	Adjustments to Purchase Price	  	11
			
	 §3.
	  	Representations and Warranties Concerning Transaction	  	13
		  	(a)	  	Parent’s and Seller’s Representations and Warranties	  	13
		  	(b)	  	Buyer’s Representations and Warranties	  	14
			
	 §4.
	  	Representations and Warranties Concerning HOST and Its Subsidiaries	  	15
		  	(a)	  	Organization, Qualification, and Corporate Power	  	15
		  	(b)	  	Capitalization	  	15
		  	(c)	  	Non-contravention	  	16
		  	(d)	  	Brokers’ Fees	  	16
		  	(e)	  	Title to Assets	  	16
		  	(f)	  	Subsidiaries	  	16
		  	(g)	  	Financial Statements; Books and Records	  	17
		  	(h)	  	Events Subsequent to Most Recent Fiscal Year End	  	18
		  	(i)	  	Undisclosed Liabilities; Indebtedness	  	20
		  	(j)	  	Legal Compliance; Permits	  	20
		  	(k)	  	Tax Matters	  	21
		  	(l)	  	Real Property	  	24
		  	(m)	  	Intellectual Property	  	27
		  	(n)	  	Assets	  	29
		  	(o)	  	Clients and Licensees	  	29
		  	(p)	  	Contracts	  	30
		  	(q)	  	Notes and Accounts Receivable	  	33
		  	(r)	  	[Intentionally Omitted]	  	33
		  	(s)	  	Insurance	  	33
		  	(t)	  	Litigation	  	33
		  	(u)	  	Employees	  	34
		  	(v)	  	Employee Benefits	  	34
		  	(w)	  	Guaranties	  	36
		  	(x)	  	Environmental, Health, and Safety Matters	  	36
		  	(y)	  	Business Continuity	  	37
		  	(z)	  	Certain Business Relationships With HOST and Its Subsidiaries	  	38
		  	(aa)	  	Bank Accounts	  	38
		  	(bb)	  	Parent SEC Filings	  	38
		  	(cc)	  	Solvency of Parent	  	38
			
	 §5.
	  	Pre-Closing Covenants	  	38
		  	(a)	  	General	  	38
		  	(b)	  	Notices and Consents	  	39

  

 1 

							
		  	(c)	  	Operation of Business	  	40
		  	(d)	  	Preservation of Business	  	41
		  	(e)	  	Full Access	  	41
		  	(f)	  	Notice of Developments	  	42
		  	(g)	  	Exclusivity	  	42
		  	(h)	  	Maintenance of Real Property	  	42
		  	(i)	  	Leases	  	43
		  	(j)	  	Title Insurance and Surveys	  	43
		  	(k)	  	Stockholder Suit	  	43
		  	(l)	  	Updated Financial Information	  	44
		  	(m)	  	Parent Guaranties	  	44
		  	(n)	  	Termination of Affiliate Transactions	  	44
			
	 §6.
	  	Post-Closing Covenants	  	44
		  	(a)	  	General	  	44
		  	(b)	  	Litigation Support	  	44
		  	(c)	  	Transition	  	44
		  	(d)	  	Confidentiality	  	45
		  	(e)	  	Covenant Not to Compete and Not to Solicit	  	45
		  	(f)	  	Employee Matters	  	47
		  	(h)	  	Employee Benefit Plans	  	48
		  	(i)	  	Further Assurances	  	48
			
	 §7.
	  	Conditions to Obligation to Close	  	48
		  	(a)	  	Conditions to Buyer’s Obligation	  	48
		  	(b)	  	Conditions to Seller’s Obligation	  	52
			
	 §8.
	  	Indemnification	  	53
		  	(a)	  	Survival of Representations and Warranties	  	53
		  	(b)	  	General Indemnification	  	54
			
	 §9.
	  	Tax Matters	  	58
		  	(a)	  	Tax Returns	  	58
		  	(b)	  	Cooperation regarding Tax Matters	  	58
		  	(c)	  	Audits, Refunds	  	59
		  	(d)	  	Tax-Sharing Agreements	  	59
		  	(e)	  	Certain Taxes and Fees	  	59
		  	(f)	  	Returns for Periods Through the Closing Date	  	59
		  	(g)	  	Section 338(h)(10) Election	  	59
		  	(h)	  	Allocation of Purchase Price	  	60
		  	(i)	  	Final Determination	  	60
			
	 §10.
	  	Termination	  	60
		  	(a)	  	Termination of Agreement	  	60
		  	(b)	  	Effect of Termination	  	61
		  	(c)	  	Fees	  	61
			
	 §11.
	  	Miscellaneous	  	62
		  	(a)	  	Press Releases and Public Announcements	  	62
		  	(b)	  	No Third-Party Beneficiaries	  	62
		  	(c)	  	Entire Agreement	  	62
		  	(d)	  	Succession and Assignment	  	62

  

 2 

							
		  	(e)	  	Counterparts	  	62
		  	 (f)
	  	Headings	  	62
		  	 (g)
	  	Notices	  	62
		  	 (h)
	  	Governing Law	  	63
		  	 (i)
	  	WAIVER OF JURY TRIAL	  	64
		  	 (j)
	  	Jurisdiction	  	64
		  	 (k)
	  	Specific Performance	  	64
		  	 (l)
	  	Amendments and Waivers	  	64
		  	 (m)
	  	Severability	  	64
		  	 (n)
	  	Expenses	  	64
		  	 (o)
	  	Construction	  	65
		  	 (p)
	  	Incorporation of Exhibits and Schedules	  	65
		  	 (q)
	  	Governing Language	  	65

  

 3 

 Disclosure Schedule 
 Exhibit A—Net Working
Capital 
 Exhibit B—Form of Adjustment Escrow Agreement 
 Exhibit C—Form of
Indemnification Escrow Agreement 
 Exhibit D—Form of Transition Services Agreement 
  

 4 

 STOCK PURCHASE AGREEMENT 
 This Stock Purchase Agreement (this “Agreement”) is entered into on November 8, 2007, by and among IMG Worldwide, Inc., an Ohio corporation (“Buyer”), B.R. Holding, Inc., a
Georgia corporation, (“Seller”) and Triple Crown Media, Inc., a Delaware corporation (“Parent”). Buyer, Seller and Parent are referred to collectively herein as the “Parties.”

 Seller owns all of the outstanding capital stock of Host Communications, Inc., a Kentucky corporation (“HOST”). HOST and
Seller are wholly-owned indirect Subsidiaries of Parent. 
 This Agreement contemplates a transaction in which Buyer will purchase from Seller, and
Seller will sell to Buyer, all of the outstanding capital stock of HOST in return for cash (the “Stock Purchase”). 
 Now,
therefore, in consideration of the premises and the mutual promises herein made, and in consideration of the representations, warranties, and covenants herein contained, the Parties agree as follows. 
  

	 	§1.	Definitions. 

 “Adjustment Escrow Agreement” has
the meaning set forth in §7(a)(xxi) below. 
 “Adjustment Escrow Amount” means $1,400,000.00. 
 “Adjustment Escrow Fund” means the Adjustment Escrow Amount, as adjusted, from time to time pursuant to the terms of the Adjustment Escrow
Agreement, together with interest earned thereon. 
 “Association Property” means, with respect to each association which is a
party to an association management agreement with HOST or any of its Subsidiaries, all of the rights of HOST and its Subsidiaries under such association management agreement. 
 “Assumed Plan” has the meaning set forth in §4(v)(i) below. 
 “Affiliate” has the meaning set forth in Rule 12b-2 of the regulations promulgated under the Securities Exchange Act. 
 “Affiliated Group” means any affiliated group within the meaning of Code §1504(a) or any similar group defined under a similar
provision of state, local, or foreign law. 
 “Balance Sheet” means the unaudited consolidated balance sheet of HOST and its
Subsidiaries as of June 30, 2007 delivered to Buyer as part of the Financial Statements pursuant to this Agreement. 
 “Base Purchase
Price” has the meaning set forth in §2(a) below. 
 “Business” means the operation of the collegiate
sports marketing and association management services heretofore provided by HOST and its Subsidiaries, including, without limitation: (A) the provision of sports and marketing services for a number of universities and athletic conferences
through multi-media rights agreements which provide rights to items such as: (i) the production of radio and television broadcasts of certain athletic events and coaches’ shows; (ii) the sale of advertising during radio and television
broadcasts of games and coaches’ shows; (iii) the sale of media advertising and venue signage; (iv) the sale of official sponsorship rights; (v) publishing, printing and vending of game-day and other programs; (vi) creative
design of materials, video production, and construction and management of 

  

 1 

 
Internet web sites; and (vi) coaches’ endorsements and pay-per-view telecasts; and (B) the provision of association management services such as
financial reporting, accounting, marketing, publishing, government lobbying, education, event management, Internet website management and membership growth activities. 
 “Buyer” has the meaning set forth in the preface above. 
 “Buyer Election” has
the meaning set forth in §5(k)(iv)(A) below. 
 “Buyer Expenses” has the meaning set forth in §10(c)
below. 
 “Buyer Indemnified Parties” has the meaning set forth in §8(b)(i) below. 
 “Buyer Welfare Plans” has the meaning set forth in §6(f)(iii) below. 
 “Cap” has the meaning set forth in §8(b)(iii) below. 
 “CERCLA” has the meaning set forth in §4(x) below. 
 “Change of Control Payments” means the payments, if any, payable by HOST or its Affiliates to certain employees of HOST and its
Subsidiaries in connection with the consummation of the transactions contemplated hereby. 
 “Closing” has the meaning set
forth in §2(b) below. 
 “Closing Date” has the meaning set forth in §2(b) below. 
 “Closing Indebtedness” means the Indebtedness as of the close of business on the Closing Date. 
 “Closing Net Working Capital” means the Net Working Capital as of the open of business on the Closing Date. 
 “Code” means the Internal Revenue Code of 1986, as amended. 
 “Collegiate Property” means, with respect to each university or athletic conference which is a party to a rights or licensing agreement with HOST or any of its Subsidiaries and with respect to NCAA
Football USA, Inc., all of the rights of HOST and its Subsidiaries under rights or licensing agreement with such university, athletic conference or NCAA Football USA, Inc. 
 “Competing Business” has the meaning set forth in §6(e) below. 
 “Confidential Information” means any information concerning the business and affairs of HOST and its Subsidiaries that is not already
generally available to the public. 
 “Credit Agreements” means, collectively, (i) the First Lien Senior Secured Credit
Agreement, dated as of December 30, 2005 and as amended, by and among Parent, Triple Crown Media, LLC, the subsidiary guarantors named therein, Wachovia Bank, National Association, and the other parties thereto, and (ii) the Second Lien
Senior Secured Credit Agreement, dated as of December 30, 2005 and as amended, by and among Parent, Triple Crown Media, LLC, the subsidiary guarantors named therein, Wachovia Bank, National Association, and the other parties thereto.

 “Deficit Payment” has the meaning set forth in §2(g)(vi) below. 
  

 2 

 “Disclosure Schedule” means the disclosure schedule delivered by the Seller to Buyer on the
date hereof and attached to this Agreement. 
 “Draft Closing Balance Sheet” means the consolidated balance sheet of HOST and
its Subsidiaries of the close of business on the Closing Date, prepared in accordance with GAAP and in a manner consistent with the preparation of the Balance Sheet. 
 “Employee Benefit Plan” means any “employee benefit plan” (as such term is defined in ERISA §3(3)) and any other material employee benefit plan, program, agreement or arrangement of any
kind. 
 “Employee” has the meaning set forth in §6(e)(ii) below. 
 “Employee Pension Benefit Plan” has the meaning set forth in ERISA §3(2). 
 “Employee Welfare Benefit Plan” has the meaning set forth in ERISA §3(1). 
 “Environmental, Health, and Safety Requirements” means all federal, state, local, and foreign statutes, regulations, ordinances, and
similar provisions having the force or effect of law, all judicial and administrative orders and determinations, and all common law concerning public health and safety, worker health and safety, pollution, or protection of the environment, including
all those relating to the presence, use, production, generation, handling, transportation, treatment, storage, disposal, distribution, labeling, testing, processing, discharge, release, threatened release, control, or cleanup of any hazardous
materials, substances, or wastes, chemical substances, or mixtures, pesticides, pollutants, contaminants, toxic chemicals, petroleum products or byproducts, asbestos, polychlorinated biphenyls, noise, or radiation. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended.
 “ERISA Affiliate” means each entity that is treated as a single employer with HOST for purposes of Code §414. 
 “Escrow Agent” means SunTrust Bank. 
 “Final Indebtedness” means the Closing Indebtedness as shown in the Final Statement. 
 “Final Purchase
Price” has the meaning set forth in §2(g)(v) below. 
 “Final Statement” has the meaning set forth in
§2(g)(v) below. 
 “Final Net Working Capital” means the Closing Net Working Capital as shown in the Final
Statement. 
 “Financial Statements” has the meaning set forth in §4(g)(i) below. 
 “GAAP” means United States generally accepted accounting principles as in effect from time to time, consistently applied. 
 “Government Entity” means individually, and “Government Entities” means collectively, the United States of America
or any other nation, any state or other political subdivision thereof, or any entity exercising executive, legislative, judicial, regulatory or administrative functions of government, including any court, in each case having jurisdiction over HOST.

  

 3 

 “Hart-Scott-Rodino Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as
amended. 
 “HOST” has the meaning set forth in the preface above. 
 “HOST Account” meaning set forth in §4(aa) below. 
 “HOST Intellectual Property” means all Intellectual Property owned, used or held for use by HOST and its Subsidiaries in the operation of
their business. 
 “HOST Share” means any share of the no par preferred or no par common stock of HOST. 
 “Income Tax” means any federal, state, local, or foreign income tax, including any interest, penalty, or addition thereto, whether disputed
or not. 
 “Income Tax Return” means any return, declaration, report, claim for refund, or information return or statement
relating to Income Taxes, including any schedule or attachment thereto, and including any amendment thereof. 
 “Indebtedness”
means at a particular time, without duplication, (i) all obligations under any indebtedness for borrowed money (including, without limitation, all obligations for principal, interest premiums, penalties, fees, expenses, breakage costs and bank
overdrafts thereunder), (ii) all indebtedness evidenced by any note, bond, debenture or other debt security, (iii) all commitments by which a Person assures a creditor against loss (including contingent reimbursement obligations with
respect to letters of credit), (iv) all indebtedness pursuant to a guarantee, (v) all obligations under capitalized leases in excess of $2,687,000 or with respect to which a Person is liable, contingently or otherwise, as obligor,
guarantor or otherwise, or with respect to which obligations a Person assures a creditor against loss, (vi) all indebtedness secured by a Lien on a Person’s assets, (vii) all obligations for the deferred and unpaid purchase price of
property or services (other than trade payables and accrued expenses incurred in the Ordinary Course of Business), (viii) the mark to market effect (positive or negative) of all interest rate, foreign exchange or other derivative instruments
and any amounts payable on the termination of such arrangements if they are to be actually terminated upon Closing; (ix) all amounts owed by HOST or any of its Subsidiaries, or obligations of HOST or any of its Subsidiaries, to Parent, Seller,
any of their respective Affiliates, or any officer, director, shareholder or employee of such Persons, (x) Seller Expenses, (xi) Change of Control Payments, and (xii) any expenses incurred by Buyer, any of its Affiliates, HOST or any
of its Subsidiaries as a result of, in connection with, relating or incidental to or by virtue of any Stockholder Suit; provided, that Indebtedness as of the Closing Date shall not include any borrowings by Buyer to finance the transactions
contemplated hereby, and provided further, that such term shall not include (A) any trade payables or accrued expenses incurred in the Ordinary Course of Business so long as such amounts are not overdue, (B) guaranteed rights payments
required to be made following the Closing under any contract or agreement entered into in the Ordinary Course of Business so long as such obligations are not overdue, (C) any obligation or liability with respect to that certain agreement
between WVLT-TV, Inc. and HOST dated as of May 31, 2007, pursuant to which WVLT-TV has prepaid certain rights fees for services to be performed following the Closing, or (D) any Indebtedness taken into account in connection with the
calculation of Net Working Capital. 
 “Indemnification Escrow Agreement” has the meaning set forth in §7(a)(xx)
below. 
 “Indemnification Escrow Amount” means $5,000,000.00. 
 “Indemnified Party” has the meaning set forth in §8(b)(v) below. 
  

 4 

 “Indemnifying Party” has the meaning set forth in §8(b)(v) below. 

“Independent Auditor” has the meaning set forth in §2(g)(iv) below. 
 “Intellectual Property” means any and all of the following in any jurisdiction throughout the world: (a) all patents, patent
applications, and patent disclosures, together with all reissuances, continuations, continuations-in-part, revisions, divisionals, extensions, reexaminations and counterparts thereof; (b) all trademarks, service marks, designs, trade dress,
logos, slogans, trade names, business names, corporate names, and Internet domain names, together with all translations, adaptations, derivations, and combinations thereof, all applications, registrations, and renewals in connection therewith, and
all goodwill associated with any of the foregoing; (c) all works of authorship (whether or not copyrightable) and rights associated therewith, all copyrights, and moral rights, and all applications, registrations, and renewals in connection
therewith; (d) all trade secrets, know-how and confidential, business or proprietary information (including all inventions (whether or not patentable or reduced to practice), improvements, technologies, processes, techniques, methods, formulas,
algorithms, layouts, designs, drawings, charts, manuals, specifications, methodologies, data, customer and supplier lists, pricing and cost information, and business and marketing plans, reports and proposals); (e) all software (including
source code and object code) data, databases, firmware and related documentation; (f) all other proprietary and intellectual property rights; and (h) all copies and tangible embodiments or descriptions of any of the foregoing (in whatever
form or medium). 
 “J. Host Employment Agreement” means the Employment Agreement dated March 1, 1994 between HOST and W.
James Host, as amended and extended. 
 “Jarvie Employment Agreement” means the Employment Agreement dated March 1, 1994
between HOST and Charles L. Jarvie, as amended and extended. 
 “Knowledge” means knowledge after reasonable investigation of
Tom Stultz, Mark Meikle, Steven Cornwell and Lawton Logan. 
 “Laws” means all statutes, laws, codes, ordinances, regulations,
rules, orders, judgments, writs, injunctions, acts or decrees of any Government Entity. 
 “Leased Real Property” means all
leasehold or subleasehold estates and other rights to use or occupy any land, buildings, structures, improvements, fixtures, or other interest in real property that is used in HOST’s or any of its Subsidiaries’ business. 
 “Lease Consents” has the meaning set forth in §7(a)(x) below. 
 “Leases” means all leases, subleases, licenses, concessions and other agreements (written or oral), including all amendments, extensions,
renewals, guaranties, and other agreements with respect thereto, pursuant to which HOST or any of its Subsidiaries holds any Leased Real Property, including the right to all security deposits and other amounts and instruments deposited by or on
behalf of HOST or any of its Subsidiaries. 
 “Lenders’ Consent” means the consent of the lenders to the transactions
contemplated hereby pursuant to each Credit Agreements, which shall include (i) a full release of any Liens imposed under the Credit Agreements on the HOST Shares or the assets and properties of HOST and its Subsidiaries, and (ii) a full
release of HOST and its Subsidiaries from any liability or obligation under the Credit Agreements. 
  

 5 

 “Liability” means any liability or obligation of whatever kind or nature (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), including any liability for Taxes. 
 “Lien” means any mortgage, pledge, lien, encumbrance, charge, or other security interest, other than (a) liens for Taxes not yet due
and payable, and (b) purchase money liens and liens securing rental payments under capital lease arrangements. 
 “Losses”
has the meaning set forth in §8(b)(i) below. 
 “Material Adverse Effect” or “Material Adverse
Change” means any effect or change that would be materially adverse to the business, operations, properties, assets, liabilities, condition (financial or otherwise) or operating results of HOST and its Subsidiaries, taken as a whole, or
to the ability of Seller, Parent or HOST and its Subsidiaries to consummate timely the transactions contemplated hereby pursuant to the terms and conditions hereof; provided that none of the following shall be deemed to constitute, and none of the
following shall be taken into account in determining whether there has been, a Material Adverse Effect or Material Adverse Change: any adverse change, event, development, or effect (in each case to the extent not disproportionately affecting HOST
and its Subsidiaries) arising from or relating to (1) general business or economic conditions, including such conditions related to the business of HOST and its Subsidiaries, (2) national or international political or social conditions,
including the engagement by the United States in hostilities, whether or not pursuant to the declaration of a national emergency or war, or the occurrence of any military or terrorist attack upon the United States, or any of its territories,
possessions, or diplomatic or consular offices or upon any military installation, equipment or personnel of the United States, (3) financial, banking, or securities markets (including any disruption thereof and any decline in the price of any
security or any market index), (4) changes in GAAP, (5) changes in Law or (6) the taking of any action expressly contemplated by this Agreement and the other agreements contemplated hereby. 
 “Material Contract” has the meaning set forth in §4(p) below. 
 “Most Recent Fiscal Month End” has the meaning set forth in §4(g)(i) below. 
 “Most Recent Fiscal Year End” has the meaning set forth in §4(g)(i) below. 
 “Multiemployer Plan” has the meaning set forth in ERISA §3(37) or §4001(a)(3). 
 “Net Working Capital” means, as of a particular date, the aggregate amount of the current assets of HOST and its Subsidiaries minus the
aggregate amount of the liabilities of the HOST and its Subsidiaries, in each case as determined in accordance with GAAP and in a manner consistent with the methodology used in the preparation of the Balance Sheet; provided, that any calculation of
Net Working Capital shall be made in accordance with the schedule and principles and example set forth on Exhibit A attached hereto. 
 “New York Leases” means, collectively, (i) the Lease dated September 20, 2000 between HOST and 535 Owners LLC covering the entire 22nd floor of 535 Fifth Avenue, New York, New York and
(ii) the Sublease dated April 7, 2005 between HOST and Softek Storage Solutions Corporation for said premises. 
 “Non
Compete Period” has the meaning set forth in §6(e)(i) below. 
 “Non Solicit Period” has the meaning
set forth in §6(e)(ii) below. 
  

 6 

 “Notice of Disagreement” has the meaning set forth in §2(g)(ii) below.

 “Order” means any order, judgment, writ, stipulation, settlement, award, injunction, decree, arbitration award or finding of
any Government Entity. 
 “Ordinary Course of Business” means the ordinary course of business consistent with past custom and
practice (including with respect to quantity and frequency). 
 “Owned Real Property” means all land, together with all
buildings, structures, improvements, and fixtures located thereon, and all easements and other rights and interests appurtenant thereto, owned by HOST and its Subsidiaries. 
 “Parent” has the meaning set forth in the preface above. 
 “Parent Board” means the Board of Directors of Parent. 
 “Parent Common Stock”
means the Common Stock of the Parent, par value $.001 per share. 
 “Parent Election” has the meaning set forth in
§5(k)(iv)(B) below. 
 “Parent 401(k) Plan” has the meaning set forth in §6(f)(iv) below. 

“Parent Guaranties” means all guarantees entered into by Parent or its Subsidiaries which guarantee obligations of HOST or any of its
Subsidiaries as set forth on §1 of the Disclosure Schedule attached hereto. 
 “Parent SEC Filings” has the meaning set
forth in §4(bb) below. 
 “Parent Welfare Plans” has the meaning set forth in §6(f)(iii) below.

 “Party” has the meaning set forth in the preface above. 
 “Permitted Encumbrances” means with respect to each parcel of Owned Real Property: (a) real estate taxes, assessments and other
governmental levies, fees, or charges imposed with respect to such Owned Real Property that are not due and payable as of the Closing Date; (b) mechanics liens and similar liens for labor, materials, or supplies provided with respect to such
Owned Real Property incurred in the Ordinary Course of Business for amounts that are (i) not delinquent and would not, in the aggregate, have a Material Adverse Effect or (ii) being contested in good faith by appropriate proceedings and
for which appropriate reserves have been established; (c) zoning, building codes, and other land use laws regulating the use or occupancy of such Owned Real Property or the activities conducted thereon that are imposed by any governmental
authority having jurisdiction over such Owned Real Property which are not violated by the current use or occupancy of such Owned Real Property or the operation of the Business thereon; (d) liens for any financing secured by such Owned Real
Property that is an obligation of HOST or any of its Subsidiaries that will not be paid off at Closing; and (e) easements, covenants, conditions, restrictions, and other similar matters affecting title to such Owned Real Property and other
title defects that do not or would not materially impair the use or occupancy of such Owned Real Property in the operation of the business of HOST and its Subsidiaries taken as a whole. 
 “Person” means an individual, a partnership, a corporation, a limited liability company, an association, a joint stock company, a trust, a
joint venture, an unincorporated organization, any other business entity, or a governmental entity (or any department, agency, or political subdivision thereof). 
  

 7 

 “Potential Transaction” means (i) any direct or indirect acquisition or purchase of
any capital stock or other equity interest in, or any of the businesses of, HOST (including by the direct or indirect purchase of equity interest in any entity to which the Business is contributed), (ii) any merger, consolidation business
combination, share exchange, reorganization, recapitalization or similar transaction involving HOST, or (iii) any transfer, sale, exchange, license or lease of any of the assets of HOST (other than in the Ordinary Course of Business), except
for any such actions outlined in clauses (i) - (iii) above which are expressly consented to by Buyer. 
 “Pre-Closing Period”
means any taxable period or portion thereof ending on or before the Closing Date. If a taxable period begins on or before the Closing Date and ends after the Closing Date, then the portion of the taxable period through the end of the Closing Date
shall constitute a Pre-Closing Period. 
 “Pre-Closing Taxes” means (i) all Taxes (or the non-payment thereof) of HOST or
its Subsidiaries for all Pre-Closing Periods, (ii) all Taxes of any members of any Affiliated Group of which HOST or any of its Subsidiaries (or any predecessor) is or was a member on or prior to the Closing Date pursuant to Treasury Regulation
Section 1.1502-6 or any analogous state, local or foreign law; and (iii) any and all Taxes of any other Person (other than HOST and its Subsidiaries) imposed on HOST or any of its Subsidiaries as transferee or successor, by contract or
otherwise, which Taxes relate to an event or arrangement in the Pre-Closing Period. In the case of any taxable period that includes (but does not end on) the Closing Date, the amount of any Taxes based on or measured by income or receipts of HOST
and its Subsidiaries for the Pre-Closing Period shall be determined based on an interim closing of the books as of the close of business on the Closing Date (and for such purpose, the taxable period of any partnership or other pass-through entity in
which HOST or any of its Subsidiaries holds a beneficial interest shall be deemed to terminate at such time) and the amount of other Taxes of HOST and its Subsidiaries that relates to the Pre-Closing Period shall be deemed to be the amount of such
Tax for the entire taxable period multiplied by a fraction, the numerator of which is the number of days in the taxable period ending on and including the Closing Date, and the denominator of which is the number of days in such period. 

“Proceeding” has the meaning set forth in §8(b)(v) below. 
 “Purchase Price Allocation” has the meaning set forth in §9(h) below. 
 “Real Property” has the meaning set forth in §5(g)(i) below. 
 “Representatives” has the meaning set forth in §5(g)(i) below. 
 “SEC” means the United States Securities and Exchange Commission. 
 “Section 338(h)(10) Election” has the meaning set forth in §9(g) below. 
 “Securities Act” means the Securities Act of 1933, as amended. 
 “Securities Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 “Seller” has the meaning set forth in the preface above. 
 “Seller Expenses” has the meaning set forth in §11(n) below. 
 “Seller Indemnified Parties” has the meaning set forth in §8(b)(ii) below. 
  

 8 

 “Solvent” means, with respect to any Person on a particular date, that on a consolidated
basis on such date (a) the fair value of the property of such Person is greater than the total amount of liabilities, including contingent liabilities, of such Person; (b) the present fair salable value of the assets of such Person is not
less than the amount that will be required to pay the probable liability of such Person on its debts as they become absolute and matured; (c) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond
such Person’s ability to pay as such debts and liabilities mature; and (d) such Person is not engaged in a business or transaction, and is not about to engage in a business or transaction, for which such Person’s property would
constitute an unreasonably small capital. The amount of contingent liabilities (such as litigation, guaranties and pension plan liabilities) at any time shall be computed as the amount that, in light of all the facts and circumstances existing at
the time, represents the amount that can be reasonably be expected to become an actual or matured liability. 
 “Statement” has
the meaning set forth in §2(g)(i) below. 
 “Stock Purchase” has the meaning set forth in the preface above.

 “Stockholder Approval” means the affirmative vote of holders of at least a majority of outstanding shares of Parent Common
Stock to approve the Stock Purchase and the transactions provided for herein. 
 “Stockholder Suit” means any lawsuit by a
stockholder of Parent against Parent or HOST seeking to enjoin, prevent or delay Parent or HOST from consummating the Stock Purchase. 
 “Subsidiary” means, with respect to any Person, any corporation, limited liability company, partnership, association, or other business entity of which (i) if a corporation, a majority of the total voting power
of shares of stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers, or trustees thereof is at the time owned or controlled, directly or indirectly, by that Person or one or more of the
other Subsidiaries of that Person or a combination thereof or (ii) if a limited liability company, partnership, association, or other business entity (other than a corporation), a majority the of partnership or other similar ownership interests
thereof is at the time owned or controlled, directly or indirectly, by that Person or one or more Subsidiaries of that Person or a combination thereof and for this purpose, a Person or Persons own a majority ownership interest in such a business
entity (other than a corporation) if such Person or Persons shall be allocated a majority of such business entity’s gains or losses or shall be or control any managing director or general partner of such business entity (other than a
corporation). The term “Subsidiary” shall include all Subsidiaries of such Subsidiary. For purposes of this Agreement, Pinnacle Sports LLC shall be deemed to be a Subsidiary of HOST. 
 “Surplus Payment” has the meaning set forth in §2(g)(vi) below. 
 “Surveys” has the meaning set forth in §7(a)(xxvi) below. 
 “SWDA” has the meaning set forth in §4(x) below. 
 “Systems” has the meaning set forth in §4(y) below. 
 “Target Net Working
Capital” shall mean $375,000.00. 
 “Tax” or “Taxes” means all (i) United States
federal, state or local or non-United States taxes, assessments, charges, duties, levies or other similar governmental charges of any nature, including all income, franchise, profits, capital gains, capital stock, transfer, sales, use, occupation,
premium, property, excise, severance, windfall profits, stamp, stamp duty reserve, license, payroll, withholding, ad valorem, 

  

 9 

 
value added, alternative minimum, environmental (including taxes under Code § 59A), customs, social security (or similar), unemployment, disability,
estimated, registration and other taxes, assessments, charges, duties, fees, levies or other similar governmental charges of any kind whatsoever, whether disputed or not, together with all estimated taxes, deficiency assessments, additions to tax,
penalties and interest; (ii) any liability for the payment of any amount of a type described in clause (i) arising as a result of being or having been a member of any consolidated, combined, unitary or other group or being or having been
included or required to be included in any Tax Return related thereto; and (iii) any liability for the payment of any amount of a type described in clause (i) or clause (ii) as a result of any obligation to indemnify or otherwise
assume or succeed to the liability of any other Person. 
 “Tax Return” means any return, declaration, report, claim for
refund, or information return or statement relating to Taxes, including any schedule or attachment thereto, and including any amendment thereof. 
 “Termination Date” has the meaning set forth in §10(a)(ii)(C) below. 
 “Title
Commitments” has the meaning set forth in §7(a)(xxv) below. 
 “Title Company” has the meaning set
forth in §7(a)(xxv) below. 
 “Title Policies” has the meaning set forth in §7(a)(xxv) below.

 “Transferred Employees” has the meaning set forth in §6(f)(i) below. 
 “Transition Services Agreement” has the meaning set forth in §7(a)(xxviii) below. 
 “Wage Claims” has the meaning set forth in §8(b)(i)(F) below. 
 “WARN Act” has the meaning set forth in §4(u) below. 
 “Working Capital Deficit” has the meaning set forth in §2(g)(vi) below. 
 “Working Capital Surplus” has the meaning set forth in §2(g)(vi) below. 
  

	 	§2.	Purchase and Sale of HOST Shares. 

  

	 	(a)	Basic Transaction. On and subject to the terms and conditions of this Agreement, Buyer agrees to purchase from Seller, and Seller agrees to sell to Buyer, all of its HOST Shares free
and clear of all Liens for $74,313,000.00 (the “Base Purchase Price”, and as the Base Purchase Price is adjusted pursuant to §2(g), the “Final Purchase Price”) by delivery of cash payable
by wire transfer or delivery of other immediately available funds. 

  

	 	(b)	[Intentionally Omitted]. 

  

	 	(c)	Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall take place at the offices of Dinsmore & Shohl, LLP, in
Lexington, Kentucky commencing at 9:00 a.m. local time November 15, 2007 or on the second 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 will take at the Closing itself) or such other date as Buyer and Seller may mutually determine (the “Closing Date”). 

  

 10 

	 	(d)	Deliveries by Seller to Buyer at Closing. At the Closing, Seller shall deliver to Buyer (i) the various certificates, instruments, and documents referred to in §7(a)
below, and (ii) stock certificates representing all of its HOST Shares, free and clear of all Liens, endorsed in blank or accompanied by duly executed assignment documents. 

  

	 	(e)	Deliveries by Buyer to Seller at Closing. At the Closing, Buyer (or its assigns) shall deliver or pay (or cause to be paid) to Seller (i) the various certificates, instruments,
and documents referred to in §7(b) below, and (ii) Buyer (or its assigns) shall pay (or cause to be paid) to Seller an amount equal to the sum of the Base Purchase Price, minus (x) the Indemnification Escrow Amount, minus
(y) the Adjustment Escrow Amount, by wire transfer of immediately available funds to one or more accounts as designated by Seller, such account or accounts to be designated by written notice to Buyer not less than two business days prior to the
Closing Date. 

  

	 	(f)	Withholding Taxes. Buyer, HOST and its Subsidiaries shall be entitled to deduct and withhold any Taxes required to be deducted and withheld under applicable law from any payments made
hereunder. To the extent that amounts are so withheld, such withheld amounts shall be treated for all purposes of this Agreement as having been paid to Seller in respect of the HOST Shares.  

  

	 	(g)	Adjustments to Purchase Price. 

  

	 	(i)	Promptly after the Closing Date, but in any event within 60 days after the Closing Date, Buyer shall deliver to Seller the Draft Closing Balance Sheet and a statement that sets forth
Buyer’s calculation of Closing Net Working Capital and Closing Indebtedness in accordance with Exhibit A hereto (the “Statement”). In connection with the preparation of the Draft Closing Balance Sheet, all known
arithmetic errors in the Balance Sheet shall be taken into account, and the Draft Closing Balance Sheet shall be prepared in accordance with GAAP in a manner consistent with the preparation of the Balance Sheet and using the accounting methodologies
set forth on Exhibit A hereto. 

  

	 	 (ii)
	 During the 30 days immediately following Seller’s receipt of the Statement, Seller shall be permitted to review the working
papers relating to the Statement. The Statement shall become the Final Statement and final and binding upon the Parties on the thirtieth (30th) day following receipt
thereof by Seller unless Seller gives written notice of its disagreement (a “Notice of Disagreement”) to Buyer prior to such date. Any Notice of Disagreement shall (A) specify in reasonable detail the nature and amount
of any disagreement so asserted and (B) with respect to Net Working Capital, only include disagreements based on mathematical errors or based on Closing Net Working Capital not being calculated in accordance with the definition of Net Working
Capital and as set forth in §2(g)(i) above. 

  

	 	(iii)	 If a timely Notice of Disagreement is received by Buyer, then the Draft Closing Balance Sheet and the Statement (as revised as contemplated in clause (x) or
(y) below) shall become final and binding upon the Parties on the earlier of (x) the date the Parties resolve in writing any differences they have with respect to any 

  

 11 

	 	 
matter specified in the Notice of Disagreement or (y) the date any matters properly in dispute are finally resolved in writing by the Independent Auditor;
provided, that any items that are not so disputed shall become final and binding upon the Parties on the thirtieth (30th) day following Seller’s receipt of
the Statement. During the 30 days immediately following the delivery of a Notice of Disagreement, Buyer and Seller shall seek in good faith to resolve in writing any differences which they may have with respect to any matter specified in the Notice
of Disagreement. During such period, Buyer shall be permitted to review the working papers of Seller used in connection with Seller’s preparation of the Notice of Disagreement. 

  

	 	(iv)	If, at the end of such 30-day period, any matter specified in the Notice of Disagreement has not been resolved by Seller and Buyer, Seller and Buyer shall submit to an independent auditing
firm of national recognition mutually selected by Buyer and Seller (the “Independent Auditor”) for review and resolution any such matters which remain in dispute (including such Party’s proposed resolution thereof and
resulting determination of Net Working Capital and Indebtedness) and which were properly included in the Notice of Disagreement, and the Independent Auditor shall make a final determination of the Closing Net Working Capital as of the open of
business on the Closing Date and Closing Indebtedness as of the close of business on the Closing Date based solely on presentations by Buyer and Seller (and not by independent review), which determination shall be binding on the Parties. The
Independent Auditor (i) shall be bound by the principles set forth in this §2(g), (ii) shall limit its review to matters specifically set forth in the Notice of Disagreement and (iii) shall not assign a value to any item
greater than the greatest value for such item claimed by either Party or less than the smallest value for such item claimed by either Party. 

  

	 	(v)	The Independent Auditor shall be retained to resolve such dispute promptly and, in any event, within 30 days from the date the dispute is submitted to the Independent Auditor. The fees and
expenses of the Independent Auditor acting under this §2(g) shall be borne 50% by Buyer and 50% by Seller. The determination of the Closing Net Working Capital and Closing Indebtedness as determined by agreement of the Parties or by the
Independent Auditor shall be final and binding on the Parties (the final form of the Statement, including any revisions which are made thereto pursuant to this §2(g), is referred to herein as the “Final
Statement”). 

  

	 	(vi)	The Base Purchase Price shall be: 

  

	 	(A)	reduced by the amount, if any, by which the Final Net Working Capital is less than the Target Net Working Capital; 

  

	 	(B)	increased by the amount, if any, by which the Final Net Working Capital exceeds the Target Net Working Capital; and 

  

	 	(C)	reduced by the amount, if any, of Final Indebtedness. 

  

	 	(vii)	 If the net effect pursuant to this §2(g) is a decrease in the Base Purchase Price, Seller shall pay to Buyer an amount equal to the amount of such decrease in
Base 

  

 12 

	 	 
Purchase Price (such aggregate payment being hereinafter referred to as a “Deficit Payment”). The Deficit Payment shall be paid by distributing
such amount from the Adjustment Escrow Fund and, within five (5) business days of the final determination of such amount pursuant to this §2(g), Buyer and Seller shall execute the necessary documents instructing the Escrow Agent to
(i) make the applicable payment to Buyer, and (ii) distribute the remaining balance, if any, of the Adjustment Escrow Fund to the Seller. To the extent, if any, the Deficit Payment exceeds the amount of the Adjustment Escrow Fund, Buyer
and Seller shall execute the necessary documents instructing the Escrow Agent to make a payment to Buyer from the Indemnification Escrow Fund in the amount of such excess. If the net effect pursuant to this §2(g) is an increase in the
Base Purchase Price, Buyer shall (i) pay to Seller an amount equal to the amount of such increase (such payment being hereinafter referred to as a “Surplus Payment”), and (ii) direct the Escrow Agent to distribute
the Adjustment Escrow Fund to the Seller. The Surplus Payment, if any, shall be paid by Buyer to Seller within five (5) business days of the final determination of such amount pursuant to this §2(g). Any payment to Seller pursuant
to this §2(g)(vi) shall be made by wire transfer of immediately available funds as shall have been specified in writing to Buyer by Seller on or prior to the date as of which the Surplus Payment has been determined pursuant to Section
§2(g)(v). Any adjustments pursuant to this §2(g)(vi) shall constitute adjustments to the Final Purchase Price for Tax purposes. 

  

	 	§3.	Representations and Warranties Concerning Transaction. 

  

	 	(a)	Parent’s and Seller’s Representations and Warranties. Each of Parent and Seller represents and warrants to Buyer that the statements contained in this §3(a) are
correct and complete as of the date of this Agreement and will be correct and complete as of the Closing Date (as though made then and as though the Closing Date were substituted for the date of this Agreement throughout this §3(a)))
with respect to itself, except as set forth in the Disclosure Schedule. 

  

	 	(i)	Organization of Parent and Seller. Each of Parent and Seller is a corporation duly organized, validly existing, and in good standing under the laws of the jurisdiction of its
incorporation. 

  

	 	(ii)	Authorization of Transaction. Each of Parent and Seller has full power and authority (including full corporate or other entity power and authority) to execute and deliver this
Agreement and to perform its obligations hereunder. This Agreement constitutes the valid and legally binding obligation of each of Parent and Seller, enforceable in accordance with its terms and conditions. The execution and delivery of this
Agreement by the Company and the consummation by Parent and Seller of the transactions contemplated hereby have been duly and validly authorized by all necessary corporate action and no other corporate proceedings on the part of the Company and, to
the Knowledge of the Seller, no stockholder votes are necessary to authorize this Agreement or to consummate the transactions contemplated hereby. Except as set forth in §3(a)(ii) of the Disclosure Schedule, each of Parent and Seller need not
give any notice to, make any filing with, or obtain any authorization, consent, or approval of any government or governmental agency in order to consummate the transactions contemplated by this Agreement. The execution, delivery and performance of
this Agreement and all other agreements contemplated hereby have been duly authorized by each of Parent and Seller. 

  

 13 

	 	(iii)	Non-contravention. Neither the execution and delivery of this Agreement, nor the consummation of the transactions contemplated hereby, will (A) violate any constitution, statute,
regulation, rule, injunction, judgment, order, decree, ruling, charge, or other restriction of any government, governmental agency, or court to which Parent or Seller is subject or, if Parent or Seller is an entity, any provision of its charter,
bylaws or other governing documents, (B) except as set forth in §3(a)(iii)(B) of the Disclosure Schedule, conflict with, result in a breach of, constitute a default under, result in the acceleration of, create in any party the right to
accelerate, terminate, modify, or cancel, require any notice, result in a violation of or give any third party the right to modify, terminate or accelerate any obligation under any agreement, contract, lease, license, instrument, or other
arrangement to which Parent or Seller is a party or by which it is bound or to which any of its assets are subject, and (C) except as set forth in §3(a)(iii)(C) of the Disclosure Schedule, result in the imposition or creation of a Lien
upon or with respect to HOST Shares. 

  

	 	(iv)	Brokers’ Fees. Except as set forth in §3(a)(iv) of the Disclosure Schedule, Seller has no Liability or obligation to pay any fees or commissions to any broker, finder, or
agent with respect to the transactions contemplated by this Agreement. 

  

	 	(v)	HOST Shares. Seller holds of record and owns beneficially all of the outstanding HOST Shares, free and clear of any restrictions on transfer (other than any restrictions under the
Securities Act and state securities laws), Taxes, Liens, options, warrants, purchase rights, contracts, commitments, equities, claims, and demands, except as set forth in §3(a)(v) of the Disclosure Schedule. Seller is not a party to any option,
warrant, purchase right, or other contract or commitment (other than this Agreement) that could require Seller to sell, transfer, or otherwise dispose of any HOST Shares. Seller is not a party to any voting trust, proxy, or other agreement or
understanding with respect to the voting of any HOST Shares. 

  

	 	(b)	Buyer’s Representations and Warranties. Buyer represents and warrants to Seller that the statements contained in this §3(b) are correct and complete as of the date of
this Agreement and will be correct and complete as of the Closing Date (as though made then and as though the Closing Date were substituted for the date of this Agreement throughout this §3(b)). 

  

	 	(i)	Organization of Buyer. Buyer is a corporation duly organized, validly existing, and in good standing under the laws of the jurisdiction of its incorporation. 

 

	 	(ii)	Authorization of Transaction. Buyer has full power and authority (including full corporate or other entity power and authority) to execute and deliver this Agreement and to perform its
obligations hereunder. This Agreement constitutes the valid and legally binding obligation of Buyer, enforceable in accordance with its terms and conditions. Buyer need not give any notice to, make any filing with, or obtain any authorization,
consent, or approval of any government or governmental agency in order to consummate the transactions contemplated by this Agreement. The execution, delivery and performance of this Agreement and all other agreements contemplated hereby have been
duly authorized by Buyer. 

  

 14 

	 	(iii)	Non-contravention. Neither the execution and delivery of this Agreement, nor the consummation of the transactions contemplated hereby, will (A) violate any constitution, statute,
regulation, rule, injunction, judgment, order, decree, ruling, charge, or other restriction of any government, governmental agency, or court to which Buyer is subject or any provision of its charter, bylaws, or other governing documents or
(B) conflict with, result in a breach of, constitute a default under, result in the acceleration of, create in any party the right to accelerate, terminate, modify, or cancel, require any notice, result in a violation of or give any third party
the right to modify, terminate or accelerate any obligation under any agreement, contract, lease, license, instrument, or other arrangement to which Buyer is a party or by which it is bound or to which any of its assets are subject.

  

	 	(iv)	Brokers’ Fees. Buyer has no Liability or obligation to pay any fees or commissions to any broker, finder, or agent with respect to the transactions contemplated by this Agreement.

  

	 	(v)	Investment. Buyer is not acquiring the HOST Shares with a view to or for sale in connection with any distribution thereof within the meaning of the Securities Act.

  

	 	§4.	Representations and Warranties Concerning HOST and Its Subsidiaries. 

 Each of Parent and Seller represents and warrants to Buyer that the statements contained in this §4 are correct and complete as of the date of this Agreement and will be correct and complete as of the Closing Date (as though
made then and as though the Closing Date were substituted for the date of this Agreement throughout this §4), except as set forth in the Disclosure Schedule. The Disclosure Schedule will be arranged in paragraphs corresponding to the
lettered and numbered paragraphs contained in this Agreement. 
  

	 	(a)	Organization, Qualification, and Corporate Power. Each of HOST and its Subsidiaries is a corporation or limited liability company duly organized, validly existing, and in good standing
under the laws of its jurisdiction of organization. Each of HOST and its Subsidiaries are duly authorized to conduct business and are in good standing under the laws of each jurisdiction where such qualification is required, except where the lack of
such qualification would not have a Material Adverse Effect. Each of HOST and its Subsidiaries have full corporate power and authority to carry on the business in which they are engaged and to own and use the properties owned and used by such
entity. §4(a) of the Disclosure Schedule lists the directors and officers of HOST and each of its Subsidiaries. The copies of each of HOST’s and its Subsidiary’s charter documents, bylaws or other organizational documents which
have been furnished to Buyer reflect all amendments made thereto at any time prior to the date of this Agreement and are true, complete and correct. 

  

	 	(b)	 Capitalization. The entire authorized capital stock of HOST consists of 80,000 shares of no par value preferred stock and 1,500,000 shares of no par value common
stock, of which 37,500 shares of preferred stock and 945,283 shares of common stock are issued and outstanding. All of the issued and outstanding HOST Shares have been duly authorized, are validly issued, fully paid, and non-assessable, and are held
of record by the Seller as set forth in §4(b) of the Disclosure Schedule. There are no outstanding or 

  

 15 

	 	 
authorized options, warrants, purchase rights, subscription rights, conversion rights, exchange rights, securities convertible exercisable or exchangeable for any HOST
Shares or other contracts or commitments that could require HOST to issue, sell, or otherwise cause to become outstanding any of its capital stock. There are no outstanding or authorized stock appreciation, phantom stock, profit participation, or
similar rights with respect to HOST. There are no voting trusts, proxies, stockholders’ agreements or other agreements or understandings with respect to the voting or transfer of the capital stock of HOST. Except as set forth in §4(b) of
the Disclosure Schedule, the HOST Shares are held beneficially and of record by Seller free and clear of any Liens. Upon delivery to Buyer at the Closing of certificates representing the HOST Shares, duly endorsed by Seller for transfer to Buyer,
and upon Seller’s receipt of payment therefor, valid title to the HOST Shares will pass to Buyer, free and clear of any Liens. 

  

	 	(c)	Non-contravention. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions contemplated hereby, will (i) violate any constitution,
statute, regulation, rule, injunction, judgment, order, decree, ruling, charge, or other restriction of any government, governmental agency, or court to which HOST or any of its Subsidiaries is subject or any provision of the charter or bylaws of
HOST or any of its Subsidiaries or (ii) except as set forth in §4(c) of the Disclosure Schedule conflict with, result in a breach of, constitute a default under, result in the acceleration of, create in any party the right to
accelerate, terminate, modify, or cancel, require any notice, authorization, consent or approval, result in a violation of or give any third party the right to modify, terminate or accelerate any obligation under any agreement, contract, lease,
license, instrument, or other arrangement to which HOST or any of its Subsidiaries is a party or by which it is bound or to which any of its assets is subject (or result in the imposition of any Lien upon any of its assets), except where the
violation, conflict, breach, default, acceleration, termination, modification, cancellation, failure to give notice, or Lien would not be expected to be material. Except as set forth in §4(c) of the Disclosure Schedule, neither HOST nor
any of its Subsidiaries needs to give any notice to, make any filing with, or obtain any authorization, consent, or approval of any government or governmental agency in order for the Parties to consummate the transactions contemplated by this
Agreement. 

  

	 	(d)	Brokers’ Fees. Except as set forth in §4(d) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries has any Liability or obligation to pay any fees or
commissions to any broker, finder, or agent with respect to the transactions contemplated by this Agreement. 

  

	 	(e)	Title to Assets. Except as set forth in §4(e) of the Disclosure Schedule, HOST and its Subsidiaries have good and marketable title to, or a valid leasehold interest in, the
properties and assets (tangible and intangible) used by them, located on the Real Property, and shown on the Balance Sheet or acquired after the date thereof, free and clear of all Liens, except for properties and assets disposed of in the Ordinary
Course of Business since the date of the Balance Sheet. 

  

	 	(f)	 Subsidiaries. §4(f)(i) of the Disclosure Schedule sets forth for each Subsidiary of HOST (i) its name and jurisdiction of incorporation, (ii) the
number of authorized shares for each class of its capital stock, and (iii) the number of issued and outstanding shares of each class of its capital stock, the names of the holders thereof, and the number of shares held by each such holder. All
of the issued and outstanding shares of capital stock of each Subsidiary of HOST have been duly authorized and are validly issued, fully paid, 

  

 16 

	 	 
and non-assessable. HOST and/or one or more of its Subsidiaries hold of record and own beneficially all of the outstanding shares of each Subsidiary of HOST, free and
clear of any restrictions on transfer (other than restrictions under the Securities Act and state securities laws), Taxes, Liens, options, warrants, purchase rights, contracts, commitments, equities, claims, and demands. There are no outstanding or
authorized options, warrants, purchase rights, subscription rights, conversion rights, exchange rights, or other contracts or commitments that could require HOST or any of its Subsidiaries to sell, transfer, or otherwise dispose of any capital stock
of any of its Subsidiaries or that could require any Subsidiary of HOST to issue, sell, or otherwise cause to become outstanding any of its own capital stock. There are no outstanding stock appreciation, phantom stock, profit participation, or
similar rights with respect to any Subsidiary of HOST. There are no voting trusts, proxies, stockholders’ agreements or other agreements or understandings with respect to the voting or transfer of any capital stock of any Subsidiary of HOST.
Except as set forth on §4(f)(ii) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries controls directly or indirectly or has any direct or indirect equity participation in any corporation, partnership, trust, or other
business association that is not a Subsidiary of HOST. Except for the Subsidiaries set forth in §4(f)(i) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries owns or has any right to acquire, directly or indirectly, any
outstanding capital stock of, or other equity interests in, any Person. 

  

	 	(g)	Financial Statements; Books and Records. 

  

	 	(i)	§4(g) of the Disclosure Schedule sets forth the following financial statements (collectively the “Financial Statements”): (i) audited consolidated balance
sheets and statements of income, changes in stockholders’ equity, and cash flow as of and for the fiscal year ended June 30, 2007 (the “Most Recent Fiscal Year End”) and the six-month period ended June 30, 2006
for Parent and its Subsidiaries; (ii) unaudited consolidated balance sheets and statements of income, changes in stockholders’ equity, and cash flow as of and for the three-month periods ending September 30, 2007 (the “Most
Recent Fiscal Month End”), for Parent and its Subsidiaries, and (iii) unaudited consolidated balance sheets and statements of income as of and for the fiscal year ended June 30, 2007 for HOST and its Subsidiaries (the
“HOST Financial Statements”). The Financial Statements (including the notes thereto) have been prepared in accordance with GAAP throughout the periods covered thereby and present fairly the financial condition of HOST and its
Subsidiaries on a stand alone basis as of such dates and the results of operations of HOST and its Subsidiaries for such periods; provided, however, that (i) the Financial Statements for the Most Recent Fiscal Month End are subject to quarterly
closing adjustments related to Triple Crown Media LLC and Parent and impairment charges dictated by GAAP, and (ii) the HOST Financial Statements lack any cost allocations from Parent for corporate overhead, including among other, accounting,
human resource and IT costs, lack footnotes and other presentation items. 

  

	 	(ii)	The books of account, minute books and other records of HOST and its Subsidiaries, all of which have been made available to Buyer, are correct and complete in all material respects. At the
Closing, all of those books and records will be in the possession of HOST and its Subsidiaries. 

  

 17 

	 	(iii)	HOST and its Subsidiaries maintain internal accounting controls which, in Parent’s reasonable judgment, provide reasonable assurance that (1) transactions are executed in accordance
with management’s authorization, and (2) transactions are recorded as necessary to permit preparation of reliable financial statements and to maintain accountability for earnings and assets. 

  

	 	(h)	Events Subsequent to Most Recent Fiscal Year End. Since the Most Recent Fiscal Year End, there has not been any Material Adverse Change. Without limiting the generality of the
foregoing, since that date and except as stated in §4(h) of the Disclosure Schedule HOST and its Subsidiaries have conducted their business in the Ordinary Course of Business and HOST or any of its Subsidiaries have not:

  

	 	(i)	sold, leased, transferred, or assigned any material assets, tangible or intangible, outside the Ordinary Course of Business; 

  

	 	(ii)	entered into any material agreement, contract, lease, or license outside the Ordinary Course of Business; 

  

	 	(iii)	accelerated, terminated, made material modifications to, or canceled (or has notified the other party of its intention to do any of the foregoing) any material agreement, contract, lease, or
license to which HOST or any of its Subsidiaries is a party or by which any of them is bound; 

  

	 	(iv)	imposed any Lien (other than a Permitted Encumbrance) upon any of its assets, tangible or intangible; 

  

	 	(v)	discharged or satisfied any Lien, or paid any obligation or Liability, other than Liens discharged or satisfied, and Liabilities paid, in the Ordinary Course of Business;

  

	 	(vi)	made any capital expenditures in excess of $75,000.00 outside the Ordinary Course of Business; 

  

	 	(vii)	made any material capital investment in, or any loan or advance to, any other Person in excess of $75,000.00; 

  

	 	(viii)	created, incurred, assumed, or guaranteed more than $75,000.00 in aggregate indebtedness for borrowed money (other than indebtedness incurred under the Credit Agreements) and capitalized
lease obligations; 

  

	 	(ix)	transferred, assigned, abandoned, permitted to lapse, granted any license or sublicense or otherwise disposed of any rights under or with respect to any Intellectual Property outside the
Ordinary Course of Business; 

  

	 	(x)	made or authorized an amendment to the charter or bylaws of HOST or any of its Subsidiaries; 

  

	 	(xi)	issued, sold, or otherwise disposed of any notes, bonds or other debt securities of its capital stock, or granted any options, warrants, or other rights to purchase or obtain (including upon
conversion, exchange, or exercise) any of its capital stock; 

  

 18 

	 	(xii)	declared, set aside, or paid any dividend or made any distribution with respect to its capital stock (whether in cash or in kind) or redeemed, purchased, or otherwise acquired any of its
capital stock; 

  

	 	(xiii)	experienced any damage, destruction, or loss (whether or not covered by insurance) to its property in excess of $75,000.00; 

  

	 	(xiv)	made any loan to, or entered into any other transaction with, any of its directors, officers, and employees; 

  

	 	(xv)	entered into or terminated any employment contract or collective bargaining agreement, written or oral, or modified the terms of any existing such contract or agreement;

  

	 	(xvi)	granted (a) any increase in the base compensation, bonus or other benefits of any of its current or former directors, officers, and employees or (b) any type of compensation or
benefits to any of its current or former directors, officers or employees not previously receiving or entitled to receive such compensation or benefit, in each case outside of periodic pay increases in the Ordinary Course of Business;

  

	 	(xvii)	adopted, amended, modified, or terminated any bonus, profit sharing, incentive, severance, or other plan, contract, commitment or award for the benefit of any of its current or former
directors, officers, and employees (or taken any such action with respect to any other Employee Benefit Plan); 

  

	 	(xviii)	made any other change in employment terms for any of its directors, officers, and employees outside the Ordinary Course of Business; 

  

	 	(xix)	made any change in its cash management practices or policies or in any method of accounting or accounting policies, or made any write down in the value of its accounts receivable that is
material or outside of the Ordinary Course of Business; 

  

	 	(xx)	made any material change in the policies with respect to the payment of accounts payable or accrued expenses or the collection of accounts receivable or other receivables, including any
acceleration or deferral of the payment or collection thereof, as applicable; 

  

	 	(xxi)	delayed, postponed or canceled the payment of accounts payable or any other Liability other than in the Ordinary Course of Business; 

  

	 	(xxii)	taken any action or omitted to take any action which act or omission would reasonably be expected to have a Material Adverse Effect; 

  

	 	(xxiii)	entered into any new line of business, or incurred or committed to incur any capital expenditures, obligations or Liabilities in connection therewith other than in the Ordinary Course of
Business; 

  

 19 

	 	(xxiv)	entered into any acquisition agreement or agreement to acquire by merger, consolidation or otherwise, or agreement to acquire a substantial portion of the assets of, or in any other manner,
any business of any other Person; 

  

	 	(xxv)	cancelled or waived (i) any right material to the operation of its business or (ii) any debts or claims against any of its Affiliates; 

  

	 	(xxvi)	made or changed any election related to Taxes, adopted or changed any accounting method or changed any accounting period for Tax purposes, filed any amended Tax Return, entered into any
closing agreement, settled any Tax claim or assessment relating to any of HOST or its Subsidiaries, surrendered any right to claim a refund of Taxes, consented to any extension or waiver of the limitation period applicable to any Tax claim or
assessment relating to any of HOST or its Subsidiaries, or taken any other similar action relating to the filing of any Tax Return or the payment of any Tax, if such election, adoption, change, amendment, agreement, settlement, surrender, consent or
other action would have the effect of increasing the Tax liability of any of HOST or its Subsidiaries for any period ending after the Closing Date or decreasing any Tax attribute of any of HOST Companies or its Subsidiaries existing on the Closing
Date; or 

  

	 	(xxvii)	committed to any of the foregoing. 

  

	 	(i)	Undisclosed Liabilities; Indebtedness 

  

	 	(i)	Except as set forth in §4(i)(i) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries has 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, including any liability for Taxes), except for (i) Liabilities set forth on the liabilities side of the Balance
Sheet (rather than in any notes thereto) and (ii) Liabilities that have arisen after the Most Recent Fiscal Year End in the Ordinary Course of Business (none of which is a Liability resulting from breach of contract, breach of warranty, tort,
infringement, claim, lawsuit, violation of law or environmental Liability or clean up obligation). 

  

	 	(ii)	Except as set forth on §4(i)(ii)(A) of the Disclosure Schedule attached hereto and except for Indebtedness reflected or reserved against in the Financial Statements or
Indebtedness incurred in the Ordinary Course of Business after the Most Recent Fiscal Year End, neither HOST nor any of its Subsidiaries has any Indebtedness outstanding at the date hereof. Except as set forth on §4(i)(ii)(B) of the
Disclosure Schedule, following the Closing, neither HOST nor any of its Subsidiaries will have any Indebtedness outstanding (other than Indebtedness that HOST or its Subsidiaries may incur following the Closing). 

  

	 	(j)	Legal Compliance; Permits. 

  

	 	(i)	Each of HOST and its Subsidiaries have complied with all applicable Laws (including the Foreign Corrupt Practices Act, 15 U.S.C. 78dd-1 et seq.), and no action, suit, proceeding, hearing,
investigation, charge, complaint, claim, demand, or notice has been delivered to, filed or commenced against any of them alleging any failure so to comply, except where the failure to comply would not have a Material Adverse Effect.

  

 20 

	 	(ii)	Except with respect to permits relating to Environmental, Health and Safety Requirements which are addressed in §4(x)(ii), HOST and its Subsidiaries hold all permits, licenses,
certificates, accreditation and other authorizations of all Government Entities required for the conduct of its business and the ownership of its properties. No notices have been received by HOST or any of its Subsidiaries alleging the failure to
hold any permit, license, certificate, accreditation or other authorization of any Government Entity. HOST and its Subsidiaries are in material compliance with all terms and conditions of all permits, licenses, accreditations and authorizations
which it holds. Except as disclosed in §4(j)(ii) of the Disclosure Schedule attached hereto, all of such permits, licenses, accreditations and authorizations will be available for use by HOST and its Subsidiaries immediately after the
Closing. 

  

	 	(k)	Tax Matters. 

  

	 	(i)	Except as set forth on §4(k)(i) of the Disclosure Schedule, each of HOST and its Subsidiaries (and any Affiliated Group of which it is or was a member) has filed all Tax Returns that it
is or was required to file. All such Tax Returns were correct and complete in all material respects and were prepared in compliance with all applicable Laws and regulations. Except as set forth on §4(k)(i) of the Disclosure Schedule, all Taxes
due and owing by HOST or any of its Subsidiaries (and any Affiliated Group of which HOST or any of its Subsidiaries is or was a member) (whether or not shown on any Tax Return) have been paid. Except as set forth on §4(k)(i) of the Disclosure
Schedule, neither HOST nor any of its Subsidiaries (nor any Affiliated Group of which HOST or any of its Subsidiaries is or was a member) currently is the beneficiary of any extension of time within which to file any Tax Return. There are no Liens
for Taxes upon any of the assets of HOST or any of its Subsidiaries. 

  

	 	(ii)	Except as set forth in §4(k)(ii) of the Disclosure Schedule, there is no dispute or claim concerning any Tax liability of HOST or any of its Subsidiaries in an amount greater than
$75,000.00 (in the aggregate) claimed or raised by any authority. Except as set forth in §4(k)(ii) of the Disclosure Schedule or except as would not reasonably be expected to be material to HOST and its Subsidiaries, no claim has ever
been made by an authority in a jurisdiction where HOST or any of its Subsidiaries does not file Tax Returns that HOST or any of its Subsidiaries is or may be subject to taxation by that jurisdiction. No director or officer (or employee responsible
for Tax matters) of Parent, Seller, HOST or any of its Subsidiaries expect any authority to assess any additional Taxes for any period for which Tax Returns have been filed. Except as set forth in §4(k)(ii) of the Disclosure Schedule, no
foreign, federal, state, or local Tax audits or administrative or judicial Tax proceedings are pending or being conducted with respect to HOST or any of its Subsidiaries. 

  

	 	(iii)	Each of HOST and its Subsidiaries has withheld and paid all Taxes required to have been withheld and paid in connection with any amounts paid or owing to any employee, independent contractor,
creditor, stockholder or other third party, and all Forms W-2 and 1099 required with respect thereto have been properly completed and timely filed. 

  

 21 

	 	(iv)	Neither HOST nor any of its Subsidiaries (nor any Affiliated Group of which HOST or any of its Subsidiaries is or was a member) has waived any statute of limitations in respect of Taxes or
agreed to any extension of time with respect to a Tax assessment or deficiency. 

  

	 	(v)	Neither HOST, any of its Subsidiaries, or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member is a party to any agreement, contract, arrangement, or plan that has
resulted or could result, separately or in the aggregate, in the payment of any “excess parachute payment” within the meaning of Code §280G (or any corresponding provision of state, local, or foreign Tax law), and no individual is
entitled to receive any additional payment (e.g. a tax gross-up or other payment) from HOST, any of its Subsidiaries, or any other person in the event that the excise tax required by § 4999 of the Code is imposed on such individual.
Neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member is party to any agreement, contract, arrangement, or plan that has resulted or could result, separately or in the aggregate, in
any amount that will not be fully deductible as a result of Code §162(m) (or any corresponding provision of state, local or foreign Tax law). 

  

	 	(vi)	The unpaid Taxes of HOST, its Subsidiaries and any Affiliated Group of which HOST or any of its Subsidiaries is or was a member (A) did not, as of the Most Recent Fiscal Month End,
exceed the reserve for Tax liability (rather than any reserve for deferred Taxes established to reflect timing differences between book and Tax income) set forth on the face of the balance sheet for the Most Recent Fiscal Month End and (B) will
not exceed that reserve as adjusted for operations and transactions through the Closing Date in accordance with the past custom and practice of HOST and its Subsidiaries in filing their Tax Returns. Since the Most Recent Fiscal Month End, neither
HOST nor any of its Subsidiaries has incurred any liability for Taxes arising from extraordinary gains or losses, as that term is used in GAAP, outside the Ordinary Course of Business, consistent with past custom and practice.

  

	 	(vii)	Except as set forth in §4(k)(vii) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries has any liability for Taxes of any other Person other than HOST and its
Subsidiaries under Reg. §1.1502-6 (or any similar provision of state, local, or foreign law). 

  

	 	(viii)	Neither HOST nor any of its Subsidiaries has been a United States real property holding corporation within the meaning of Code §897(c)(2) during the applicable period specified in Code
§897(c)(1)(A)(ii). Each of HOST and its Subsidiaries has disclosed on its federal income Tax Returns all positions taken therein that could give rise to a substantial understatement of federal income Tax within the meaning of Code §6662.
Except as set forth in §4(k)(viii) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries is a party to or bound by any Tax allocation or sharing agreement. 

  

 22 

	 	(ix)	Except as set forth in §4(k)(ix) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries will be required to include any item of income in, or to exclude any item of
deduction from, taxable income for any taxable period (or portion thereof) ending after the Closing Date as a result of any: 

  

	 	(A)	change in method of accounting for a taxable period ending on or prior to the Closing Date; 

  

	 	(B)	“closing agreement” as described in Code §7121 (or any corresponding or similar provision of state, local or foreign income Tax law) executed on or prior to the Closing Date;

  

	 	(C)	intercompany transaction or excess loss account described in Treasury Regulations under Code §1502 (or any corresponding or similar provision of state, local or foreign income Tax law);

  

	 	(D)	installment sale or open transaction disposition made on or prior to the Closing Date; or 

  

	 	(E)	prepaid amount received on or prior to the Closing Date. 

  

	 	(x)	Since December 31, 2000, neither HOST nor any of its Subsidiaries has distributed stock of another Person, or has had its stock distributed by another Person, in a transaction that was
purported or intended to be governed in whole or in part by Code §355 or Code §361. 

  

	 	(xi)	Neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member has engaged in any “listed transaction,” or any reportable
transaction entered into with a primary purpose of tax avoidance, as described in the Treasury Regulations promulgated under Code §6011 and Code §6012. 

  

	 	(xii)	Since December 31, 2003, neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member is, or at any time has been, subject to
(i) the dual consolidated loss provisions of Code §1503(d), (ii) the overall foreign loss provisions of Code §904(f) or (iii) the recharacterization provisions of Code §952(c)(2). 

  

	 	(xiii)	None of the assets of HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member constitutes tax exempt bond financed property or tax
exempt use property, within the meaning of Code §168. Neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member is a party to any “long term contract” within the meaning
of Code §460. Neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member has participated in or cooperated with an international boycott within the meaning of Code §999.
Neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its Subsidiaries is or was a member has any “non-recaptured net Section 1231 losses” within the meaning of Code §1231(c)(2).

  

 23 

	 	(xiv)	Since December 31, 2005 and except as set forth in §4(k)(xiv) of the Disclosure Schedule, neither HOST, any of its Subsidiaries or any Affiliated Group of which HOST or any of its
Subsidiaries is or was a member have made or changed any election, changed an annual accounting period for Tax purposes, adopted or changed any accounting method for Tax purposes, filed any amended Tax Return, entered into any closing agreement,
settled any Tax claim or assessment, surrendered any right to claim a refund of Taxes, consented to any extension or waiver of the limitation period applicable to any Tax claim or assessment or taken any other similar action relating to the filing
of any Tax Return or the payment of any Tax. 

  

	 	(xv)	HOST and each of its Subsidiaries are members of an Affiliated Group, the common parent of which is Parent, for United States federal income tax purposes, and Parent is eligible to make a
§ 338(h)(10) election with respect to the transaction contemplated hereby. 

  

	 	(l)	Real Property. 

  

	 	(i)	§4(l)(i) of the Disclosure Schedule sets forth the address and description of each parcel of Owned Real Property. With respect to each parcel of Owned Real Property:

  

	 	(A)	except as set forth in §4(l)(i)(A) of the Disclosure Schedule, HOST or one of its Subsidiaries has good and marketable fee simple title, free and clear of all Liens, except
Permitted Encumbrances; 

  

	 	(B)	except as set forth in §4(l)(i)(B) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries has leased or otherwise granted to any Person the right to use or occupy
such Owned Real Property or any portion thereof; and 

  

	 	(C)	except as set forth in §4(l)(i)(C) of the Disclosure Schedule, there are no outstanding options, rights of first offer or rights of first refusal to purchase such Owned Real
Property or any portion thereof or interest therein. 

  

	 	(ii)	§4(l)(ii) of the Disclosure Schedule sets forth the address of each parcel of Leased Real Property, and a true and complete list of all Leases for each such Leased Real Property
(including the date and name of the parties to such Lease document). Seller has made available to Buyer a true and complete copy of each such Lease document, and in the case of any oral Lease, a written summary of the material terms of such Lease.
Except as set forth in §4(l)(ii) of the Disclosure Schedule, with respect to each of the Leases: 

  

	 	(A)	such Lease is legal, valid, binding, enforceable and in full force and effect; 

  

	 	(B)	the transactions contemplated by this Agreement do not require the consent of any other party to such Lease (except for those Leases for which Lease Consents (as hereinafter defined) are
obtained), will not result in a breach of or default under such Lease, and will not otherwise cause such Lease to cease to be legal, valid, binding, enforceable and in full force and effect on identical terms following the Closing;

  

 24 

	 	(C)	none of HOST’s or any of its Subsidiaries’ possession and quiet enjoyment of the Leased Real Property under such Lease has been disturbed and, to the Knowledge of Seller and the
directors and officers of HOST and its Subsidiaries, there are no disputes with respect to such Lease; 

  

	 	(D)	to the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, neither HOST, nor any of its Subsidiaries nor any other party to the Lease is in breach of or default
under such Lease, and, to the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, no event has occurred or circumstance exists that, with the delivery of notice, the passage of time or both, would constitute such a
breach or default, or permit the termination, modification or acceleration of rent under such Lease; 

  

	 	(E)	no security deposit or portion thereof deposited with respect to such Lease has been applied in respect of a breach of or default under such Lease that has not been redeposited in full;

  

	 	(F)	neither HOST nor any of its Subsidiaries owes, or will owe in the future, any brokerage commissions or finder’s fees with respect to such Lease; 

  

	 	(G)	the other party to such Lease is not an affiliate of, and otherwise does not have any economic interest in, HOST or any of its Subsidiaries; 

  

	 	(H)	neither HOST nor any of its Subsidiaries has subleased, licensed or otherwise granted any Person the right to use or occupy the Leased Real Property or any portion thereof; and

  

	 	(I)	neither HOST nor any of its Subsidiaries has collaterally assigned or granted any other Lien in such Lease or any interest therein. 

  

	 	(iii)	The Owned Real Property identified in §4(l)(i) of the Disclosure Schedule, and the Leased Real Property identified in §4(l)(ii) of the Disclosure Schedule
(collectively, the “Real Property”) comprise all of the real property used or intended to be used in the business of HOST and its Subsidiaries; and neither HOST nor any of its Subsidiaries is a party to any agreement or
option to purchase any real property or interest therein. 

  

	 	(iv)	All buildings, structures, fixtures, building systems and equipment, and all components thereof, included in the Real Property (the “Improvements”) are in good
condition and repair and sufficient for the operation of the business of HOST and its Subsidiaries. There are no facts or conditions affecting any of the Improvements that would, individually or in the aggregate, interfere in any material respect
with the use or occupancy of the Improvements or any portion thereof in the operation of the business of HOST and its Subsidiaries as currently conducted thereon. 

  

 25 

	 	(v)	Neither HOST nor any of its Subsidiaries has received written notice of any condemnation, expropriation or other proceeding in eminent domain affecting any parcel of Owned Real Property or
any portion thereof or interest therein. There is no injunction, decree, order, writ or judgment outstanding, or any claim, litigation, administrative action or similar proceeding, pending or, to the Knowledge of Seller and the directors and
officers of HOST and its Subsidiaries’, threatened, relating to the ownership, lease, use or occupancy of the Owned Real Property or any portion thereof, or the operation of the business of HOST and its Subsidiaries as currently conducted
thereon. 

  

	 	(vi)	Except as set forth in §4(l)(vi) of the Disclosure Schedule, the Real Property is in material compliance with all applicable building, zoning, subdivision, health and safety and other
land use Laws, including The Americans with Disabilities Act of 1990, as amended, and all insurance requirements affecting the Real Property (collectively, the “Real Property Laws”). Neither HOST nor any of its Subsidiaries
has received any notice of violation of any Real Property Law and, to the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, there is no basis for the issuance of any such notice or the taking of any action for such
violation. 

  

	 	(vii)	Each parcel of Real Property has direct access to a public street adjoining the Real Property or has access to a public street via insurable easements benefiting such parcel of Real Property,
and such access is not dependent on any land or other real property interest that is not included in the Real Property. None of the Improvements or any portion thereof is dependent for its access, use or operation on any land, building, improvement
or other real property interest that is not included in the Real Property. 

  

	 	(viii)	All water, oil, gas, electrical, steam, compressed air, telecommunications, sewer, storm and waste water systems and other utility services or systems for the Real Property have been
installed and are operational and sufficient for the operation of the business of HOST and its Subsidiaries as currently conducted thereon. 

  

	 	(ix)	Except as set forth in §4(l)(ix) of the Disclosure Schedule, HOST’s and its Subsidiaries’ use or occupancy of the Real Property or any portion thereof and the operation of the
business of HOST and its Subsidiaries as currently conducted thereon is not dependent on a “permitted non-conforming use” or “permitted non-conforming structure” or similar variance, exemption or approval from any governmental
authority. 

  

	 	(x)	The current use and occupancy of the Owned Real Property and the operation of the business of HOST and its Subsidiaries as currently conducted thereon does not violate in any material respect
any easement, covenant, condition, restriction or similar provision in any instrument of record or other unrecorded agreement affecting such Owned Real Property. 

  

	 	(xi)	None of the Real Property or any portion thereof is located in a flood hazard area (as defined by the Federal Emergency Management Agency). 

  

 26 

	 	(m)	Intellectual Property. 

  

	 	(i)	Except as set forth in §4(m)(i) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries has interfered with, infringed upon, misappropriated, or violated, and the
operation of the respective business of HOST and any of its Subsidiaries as currently conducted does not interfere with, infringe, misappropriate or violate, any Intellectual Property rights of third parties , and none of Seller or HOST or any of
its Subsidiaries, or any of their respective directors and officers, have ever received any charge, complaint, claim, demand, or notice alleging any such interference, infringement, misappropriation, or violation (including any claim that HOST or
any of its Subsidiaries must license or refrain from using any Intellectual Property rights of any third party). Except as set forth in §4(m)(i) of the Disclosure Schedule, to the Knowledge of any of Seller or HOST or any of its Subsidiaries,
or any of their respective directors and officers, no third party has interfered with, infringed upon, misappropriated, or violated any HOST Intellectual Property. Except as set forth in §4(m)(i) of the Disclosure Schedule, the transactions
contemplated by this Agreement shall not impair the right, title or interest of HOST or any of its Subsidiaries in or to the HOST Intellectual Property and the Systems, and all of HOST Intellectual Property and the Systems shall be owned or
available for use by HOST or any of its Subsidiaries immediately after the Closing on terms and conditions identical to those under which HOST or any of its Subsidiaries owned or used the HOST Intellectual Property and Systems immediately prior to
the Closing. 

  

	 	(ii)	§4(m)(ii) of the Disclosure Schedule sets forth a complete and accurate list of each patent or registration which has been issued to or made to HOST or any of its Subsidiaries
with respect to any Intellectual Property, identifies each pending patent application or application for registration that HOST or any of its Subsidiaries has made with respect to any of its Intellectual Property, and identifies each license,
sublicense, agreement, or other permission that HOST or any of its Subsidiaries has granted to any third party with respect to any HOST Intellectual Property (together with any exceptions). Seller has made available to Buyer correct and complete
copies of all such patents, registrations, applications, licenses, sublicenses, agreements, and permissions (as amended to date). §4(m)(ii) of the Disclosure Schedule also sets forth a complete and accurate list of each trade name,
material unregistered trademark, corporate name, Internet domain name, and computer software item (other than off-the-shelf software available on non-discriminatory terms with a replacement cost and/or annual license fee of less than $10,000) owned
or used by HOST or any of its Subsidiaries in connection with its business. With respect to each item of HOST Intellectual Property, except as set forth in §4(m)(ii) of the Disclosure Schedule: 

  

	 	(A)	HOST and its Subsidiaries own and possess all right, title, and interest in and to, or have a valid license to use, the item, free and clear of any Lien, license, or other restriction;

  

	 	(B)	the item is not subject to any outstanding injunction, judgment, order, decree, ruling, settlement or charge restricting the use thereof; 

  

	 	(C)	no action, suit, proceeding, hearing, investigation, charge, complaint, claim, or demand is pending, was made in the past six (6) years or, to the Knowledge of Seller or HOST or any of
its Subsidiaries or any of their respective directors and officers, is threatened that challenges the legality, validity, enforceability, registrability, use, or ownership of the item; 

  

 27 

	 	(D)	neither HOST nor any of its Subsidiaries has ever agreed to indemnify any Person for or against any interference, infringement, misappropriation, or other conflict with respect to the item;
and 

  

	 	(E)	the item is valid, subsisting and enforceable, and no loss or expiration of the item is threatened, pending, or reasonably foreseeable, except for patents expiring at the end of their
statutory terms (and not as a result of any act or omission by Seller, HOST or its Subsidiaries, including a failure by Parent, Seller, HOST or its Subsidiaries to pay any required maintenance fees). 

  

	 	(iii)	§4(m)(iii) of the Disclosure Schedule sets forth each item of Intellectual Property that any third party owns and that HOST or any of its Subsidiaries uses pursuant to license,
sublicense, agreement, or permission (other than off-the-shelf software available on non-discriminatory terms with a replacement cost and/or annual license fee of less than $10,000). Seller has made available to Buyer correct and complete copies of
all such licenses, sublicenses, agreements, and permissions (as amended to date). With respect to each item of Intellectual Property set forth in §4(m)(iii) of the Disclosure Schedule or item of Intellectual Property that is subject to a
license, sublicense, agreement, or other permission required to be identified in §4(m)(ii) of the Disclosure Schedule: 

  

	 	(A)	the license, sublicense, agreement, or permission covering the item is legal, valid, binding, enforceable, and in full force and effect; 

  

	 	(B)	to the Knowledge of Seller or HOST or any of its Subsidiaries, or any of their respective directors and officers, no party to the license, sublicense, agreement, or permission is in breach or
default, and no event has occurred that with notice or lapse of time would constitute a breach or default or permit termination, modification, or acceleration thereunder; 

  

	 	(C)	no party to the license, sublicense, agreement, or permission has repudiated any provision thereof; 

  

	 	(D)	except in the Ordinary Course of Business, neither HOST nor any of its Subsidiaries has granted any sublicense or similar right with respect to the license, sublicense, agreement, or
permission; and 

  

	 	(E)	no loss or expiration of the item is threatened, pending, or reasonably foreseeable, except for patents expiring at the end of their statutory terms (and not as a result of any act or
omission by Seller, HOST or its Subsidiaries, including a failure by Seller, HOST or its Subsidiaries to pay any required maintenance fees). 

  

	 	(iv)	 Each of HOST and its Subsidiaries has taken all actions commercially reasonable or necessary to protect, maintain and enforce the HOST Intellectual Property which is material
to the operation of the business. HOST or any of its Subsidiaries owns all right, title and interest in and to such Intellectual Property 

  

 28 

	 	 
created by any present or former employee, director or independent contractor in the course of his, her or its employment or other relationship with HOST or any of its
Subsidiaries. 

  

	 	(v)	HOST and its Subsidiaries are each in material compliance with its and any other applicable privacy policies and with all applicable laws governing the collection, use, storage, disclosure,
distribution and transfer from any place in the world to any other place in the world, electronically or otherwise, of any personal information. There has not been any notice to, complaint against, or audit, proceeding or investigation conducted or
claim asserted with respect to HOST or any of its Subsidiaries by any Person (including any governmental authority) regarding the collection, use, storage or disclosure of personal information, and to the Knowledge of Seller and the directors and
officers of HOST and its Subsidiaries, none has been threatened. 

  

	 	(vi)	To the Knowledge of the Seller or HOST or any of its Subsidiaries, or any of their respective directors and officers, the universities, associations and other Persons that license to HOST or
any of its Subsidiaries Intellectual Property for the purpose of sublicensing or otherwise granting permissions with respect to such Intellectual Property by HOST or any of its Subsidiaries to other Persons, own all right, title and interest in and
to all such Intellectual Property and have the right to grant all rights granted to HOST or any of its Subsidiaries. 

  

	 	(vii)	No software owned by HOST or any of its Subsidiaries (“HOST Software”) is subject to any copyleft or other obligation or condition (including any obligation or
condition under any “open source” license) that could (A) require, or condition the use or distribution of, or access to, the HOST Software, on the disclosure, licensing, or distribution of any source code for any portion of the HOST
Software or (B) otherwise impose any limitation, restriction, or condition on the right or ability of HOST or any of its Subsidiaries to use, license, sell or distribute any HOST Software. No source code for any HOST Software has been
delivered, licensed, or made available to any escrow agent or other Person who is not, as of the date of this Agreement, an employee of HOST or any of its Subsidiaries. Neither HOST nor any of its Subsidiaries has any duty or obligation (whether
present, contingent, or otherwise) to deliver, license, or make available the source code for any HOST Software to any escrow agent or other Person who is not, as of the date of this Agreement, an employee of HOST or any of its Subsidiaries.

  

	 	(n)	Assets. The buildings, machinery, equipment, and other tangible assets that HOST and its Subsidiaries own and lease are free from material defects (patent and latent), have been
maintained in accordance with normal industry practice, are in good operating condition and repair (subject to normal wear and tear) and is suitable for the purposes for which they are presently used. 

  

	 	(o)	 Clients and Licensees. §4(o)(i) of the Disclosure Schedule attached hereto sets forth (by dollar volume) (i) a list of the sponsors, advertisers and
licensees of HOST and its Subsidiaries that represent fifty percent (50%) of the annual revenues of HOST and its Subsidiaries for the fiscal year ended June 30, 2007, and (ii) a list of those parties (who are parties to any agreement
with respect to a Collegiate Property or Association Property) which, in the aggregate, represent eighty-five percent (85%) of the annual 

  

 29 

	 	 
payments made by HOST and its Subsidiaries for the fiscal year ended June 30, 2007, under rights or licensing agreements relating to its Collegiate Properties or
association management agreements with respect to its Association Properties, and such lists are complete and accurate in all material respects. Since June 30, 2007, HOST has not received any written (or to the Knowledge of Seller, oral) notice
from any client to the effect that any client will stop, materially decrease the rate of, or materially change the terms (whether related to payment, price or otherwise) with respect to, granting agency or license rights, including with respect to
Intellectual Property rights, to HOST and its Subsidiaries (whether as a result of the consummation of the transactions contemplated hereby or otherwise). Except as set forth on §4(o)(ii) of the Disclosure Schedule, (i) HOST and its
Subsidiaries have not received any written (or to the Knowledge of Seller, oral) notice from any of its licensees to the effect that such licensee will stop, or materially decrease the rate of licensing (including with respect to Intellectual
Property rights) from Host and its Subsidiaries (whether as a result of the consummation of the transactions contemplated hereby or otherwise) by an amount in excess of $150,000.00, and (ii) to the Knowledge of Seller, HOST and its Subsidiaries
have not received any written (or oral) notice from any of its licensees to the effect that such licensee will stop, or materially decrease the rate of licensing (including with respect to Intellectual Property rights) from HOST and its Subsidiaries
(whether as a result of the consummation of the transactions contemplated hereby or otherwise) by an amount less than $150,000.00 per annum. All of the contracts, agreements and instruments with the parties set forth or required to be set forth on
§4(o)(i) of the Disclosure Schedule attached hereto are valid, binding and enforceable in accordance with their respective terms. 

  

	 	(p)	Contracts. §4(p) of the Disclosure Schedule lists the following contracts and other agreements (whether written or oral) to which HOST or any of its Subsidiaries is a
party: 

  

	 	(i)	any agreement (or group of related agreements) for the lease of personal property to or from any Person providing for lease payments in excess of $75,000.00 per annum;

  

							
	(ii)	  		  	(A)	  	all rights or licensing agreements with, and all publishing agreements with, universities, athletic conferences and athletic associations (including NCAA Football USA, Inc.);

  

	 	(B)	all association management agreements; 

  

	 	(C)	all Internet website development, management or hosting agreements; 

  

	 	(D)	with respect to each Collegiate Property, all television or radio flagship agreements and all national or regional television or radio distribution agreements; 

  

	 	(E)	with respect to each Association Property, all association sponsorship and association publishing agreements; 

  

	 	(F)	with respect to each Collegiate Property, all Internet distribution agreements; 

  

	 	(G)	 with respect to each Collegiate Property and each Association Property, those sponsors and advertisers listed which have entered into sponsorship 

  

 30 

	 	 
or adspace agreements with HOST or any of its Subsidiaries and which constitute the top ten (10) revenue generating sponsors or advertisers of HOST and its
Subsidiaries for such Collegiate Property or Association Property for that portion of the fiscal year ending June 30, 2008 ending prior to the date of execution of this Agreement; 

  

	 	(H)	with respect to each Collegiate Property, all talent agreements which require HOST or any of its Subsidiaries to make payments of annual compensation in an amount greater than $50,000.00 per
year; 

  

	 	(I)	with respect to each Collegiate Property, all endorsement agreements or other agreements granting any rights of publicity with any coach or athletic director or affiliate which agreement is
not otherwise included in any sponsorship or adspace or related agreement; 

  

	 	(J)	except for the types of agreements otherwise described in §4(p)(ii)(A)-(I) above (determined without regard to any limitation on the scope of such agreements required to be listed
on §4(p) of the Disclosure Schedule), any agreement (or group of related agreements) for the purchase or sale of materials, commodities, supplies, products, or other personal property, or for the furnishing or receipt of services (A) the
performance of which will extend over a period of more than 1 year, (B) is not terminable by HOST or its Subsidiaries upon 90 days’ or less notice without penalty, or (C) involves consideration in excess of $75,000.00 per annum;

  

	 	(iii)	any agreement concerning a partnership or joint venture; 

  

	 	(iv)	any agreement (or group of related agreements) under which it has created, incurred, assumed, or guaranteed any Indebtedness in excess of $75,000.00 or under which it has imposed a Lien
(other than a Permitted Encumbrance) on any of its assets, tangible or intangible; 

  

	 	(v)	any material agreement concerning confidentiality or non-competition; 

  

	 	(vi)	any material agreement with any of Parent, Seller and their respective Affiliates (other than HOST and its Subsidiaries); 

  

	 	(vii)	any pension, phantom stock, profit sharing, stock option, stock purchase, stock appreciation, deferred compensation, severance, or other material plan or arrangement for the benefit of its
current or former directors, officers, and employees; 

  

	 	(viii)	any collective bargaining agreement or any other contract with any labor union; 

  

	 	(ix)	any agreement for the employment of any individual on a full-time, part-time, consulting, or other basis (A) providing annual compensation in excess of $75,000.00 or providing material
severance benefits, (B) providing for the payment of any cash or other compensation or benefits upon the consummation of the transactions contemplated hereby, or (C) otherwise restricting its ability to terminate the employment of any
employee at any time for any lawful reason or for no reason without penalty or Liability; 

  

 31 

	 	(x)	any agreement under which it has advanced or loaned any amount to any of its directors, officers, and employees outside the Ordinary Course of Business; 

  

	 	(xi)	any agreement under which it has granted any Person any registration rights (including, without limitation, demand and piggyback registration rights); 

  

	 	(xii)	any settlement, conciliation or similar agreement, the performance of which will involve payment after the Closing Date of consideration in excess of $75,000.00; 

  

	 	(xiii)	any agreement under which HOST or any of its Subsidiaries has advanced or loaned any other Person amounts in the aggregate exceeding $75,000.00; 

  

	 	(xiv)	license, royalty, or other agreement with respect to Intellectual Property rights, other than licenses (x) obtaining any right to use any intellectual property of any university or other
educational institution entered into the Ordinary Course of Business, (y) granting (on a non-exclusive basis) any rights to use any intellectual property of any university or other education institution entered into the Ordinary Course of
Business, and (z) for commercially available, off the shelf software with a replacement cost and/or annual license fee of less than $10,000; 

  

	 	(xv)	contract that contains any provision pursuant to which HOST or any of its Subsidiaries is obligated to indemnify or make any indemnification payments to any Person other than contracts
entered into in the Ordinary Course of Business; 

  

	 	(xvi)	agent, sales representative, sales or distribution agreement; 

  

	 	(xvii)	power of attorney or other similar agreement or grant of agency; 

  

	 	(xviii)	contract under which any of HOST or its Subsidiaries guarantees any sales or performance; 

  

	 	(xix)	any other agreement (or group of related agreements) the performance of which involves consideration in excess of $75,000.00 per annum. 

 The contracts, agreements and instruments set forth or required to be set forth on §4(p) of the Disclosure Schedule attached hereto are defined herein, collectively,
as the “Material Contracts”. As of the Closing Date, Seller has made available to Buyer a correct and complete copy of each written Material Contract and a written summary setting forth the material terms and conditions of
each oral Material Contract together with all amendments, waivers or other changes thereto (all of which amendments, waivers or other changes thereto are described on §4(p) of the Disclosure Schedule). With respect to each Material
Contract: (A) such Material Contract is legal, valid, binding, enforceable, and in full force and effect; (B) neither HOST nor its Subsidiaries is in breach or default (C) to the knowledge of Seller and the directors and officers of
HOST and its Subsidiaries, no third party is in material breach or default; and (D) no event has occurred that with notice or lapse of time would constitute a material breach or default, or permit termination, modification, or acceleration,
under such Material Contract; and (E) no party has repudiated any material provision of such Material Contract. There is no existing or, to the Knowledge of Seller, threatened breach or cancellation by the other parties to any Material Contract
to which any of HOST or any of its Subsidiaries is a party. Except as set forth in §4(c) of the Disclosure Schedule, each Material Contract will continue to be in full force and effect on identical terms immediately following the Closing.

  

 32 

	 	(q)	Notes and Accounts Receivable. All notes and accounts receivable of HOST and its Subsidiaries are reflected properly on their books and records, are valid receivables subject to no
setoffs or counterclaims, are current and, to the Knowledge of Seller, collectible, and will be collected in accordance with their terms at their recorded amounts, subject only to the reserve for bad debts set forth on the face of the Balance Sheet
(rather than in any notes thereto) as adjusted for operations and transactions through the Closing Date in accordance with the past custom and practice of HOST and its Subsidiaries. §4(q)(i) of the Disclosure Schedule attached hereto
contains a true, correct and complete list of all invoiced accounts receivable as of the date of the Balance Sheet, which list sets forth the aging of such invoiced accounts receivable. §4(q)(ii) of the Disclosure Schedule sets forth a
list of all accrued accounts receivable as of the date of the Balance Sheet. 

  

	 	(r)	[Intentionally Omitted]. 

  

	 	(s)	Insurance. §4(s) of the Disclosure Schedule sets forth the following information with respect to each material insurance policy (including policies providing property,
casualty, liability, and workers’ compensation coverage and bond and surety arrangements) with respect to which HOST or any of its Subsidiaries is a party, a named insured, or otherwise the beneficiary of coverage: 

  

	 	(i)	the name, address, and telephone number of the agent; 

  

	 	(ii)	the name of the insurer, the name of the policyholder, and the name of each covered insured; 

  

	 	(iii)	the policy number and the period of coverage; 

  

	 	(iv)	the scope (including an indication of whether the coverage is on a claims made, occurrence, or other basis) and amount (including a description of how deductibles and ceilings are calculated
and operate) of coverage; and 

  

	 	(v)	a description of any retroactive premium adjustments or other material loss-sharing arrangements. 

 With respect to each such insurance policy: (A) the policy is legal, valid, binding, enforceable, and in full force and effect in all material respects; (B) neither HOST, nor any of its Subsidiaries, nor any other party to the
policy is in material breach or default (including with respect to the payment of premiums or the giving of notices), and no event has occurred that, with notice or the lapse of time, would constitute such a material breach or default, or permit
termination, modification, or acceleration, under the policy; and (C) no party to the policy has repudiated any material provision thereof. §4(s) of the Disclosure Schedule describes any material self-insurance arrangements
affecting HOST or any of its Subsidiaries. 
  

	 	(t)	Litigation. §4(t) of the Disclosure Schedule sets forth each instance in which HOST or any of its Subsidiaries (i) is subject to any outstanding injunction, judgment,
order, decree, ruling, or charge or (ii) is a party or, to the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, is threatened to be made a party to any action, suit, proceeding, hearing, or investigation of, in,
or before any court or quasi-judicial or administrative agency of any federal, state, local, or foreign jurisdiction or before any arbitrator. 

  

 33 

	 	(u)	Employees. 

  

	 	(i)	§4(u)(i) of the Disclosure Schedule sets forth a complete and accurate list of all the employees of HOST and its Subsidiaries as of the date hereof (the “Employees”), together
with the following information for each such Employee: name, position held, and current salary. 

  

	 	(ii)	To the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, no executive, key employee, or significant group of employees plans to terminate employment with HOST
or any of its Subsidiaries during the next 12 months. Neither HOST nor any of its Subsidiaries is a party to or bound by any collective bargaining agreement, nor has any of them experienced any strike or material grievance, claim of unfair labor
practices, or other collective bargaining dispute within the past 3 years. Neither HOST nor any of its Subsidiaries has committed any material unfair labor practice. Neither Seller nor any of the directors and officers of HOST and its Subsidiaries
has any Knowledge of any organizational effort presently being made or threatened by or on behalf of any labor union with respect to employees of HOST or any of its Subsidiaries. Within the past 3 years, neither HOST nor any of its Subsidiaries has
implemented any plant closing or layoff of employees that could implicate the Worker Adjustment and Retaining Notification Act of 1998, as amended, or any similar foreign, state, or local law, regulation, or ordinance (collectively, the
“WARN Act”), and no such action will be implemented without advance notification to Buyer. 

  

	 	(v)	Employee Benefits. 

  

	 	(i)	§4(v)(i) of the Disclosure Schedule lists each Employee Benefit Plan that HOST or any of its Subsidiaries maintains or to which HOST or any of its Subsidiaries contributes or has
any obligation to contribute or has any Liability or potential Liability. §4(v)(i) of the Disclosure Schedule also identifies each Employee Benefit Plan that is sponsored and maintained by HOST or to which HOST shall assume or have any
liability on or following the Closing Date as an “Assumed Plan”. Neither HOST nor any of its Subsidiaries has scheduled or agreed (i) to establish any plan, program, policy or arrangement that would be considered to be an Employee
Benefit Plan or (ii) to increase benefit levels (or to create new benefits) with respect to any Employee Benefit Plan. 

  

	 	(A)	Each Employee Benefit Plan (and each related trust, insurance contract, or fund) has been maintained, funded and administered in accordance with the terms of such Employee Benefit Plan and
the terms of any applicable collective bargaining agreement and complies in form and in operation in all respects with the applicable requirements of ERISA, the Code, and other applicable laws, except where such failure would not result in Liability
to Buyer or HOST. 

  

	 	(B)	All required reports and descriptions (including Form 5500 annual reports, summary annual reports, and summary plan descriptions) have been timely filed and/or distributed in accordance with
the applicable requirements of ERISA and the Code with respect to each such Employee Benefit Plan. The requirements of COBRA have been met in all material respects with respect to each such Employee Benefit Plan and each Employee Benefit Plan
maintained by an ERISA Affiliate that is an Employee Welfare Benefit Plan subject to COBRA. 

  

 34 

	 	(C)	All contributions (including all employer contributions and employee salary reduction contributions) that are due have been made within the time periods prescribed by ERISA and the Code to
each such Employee Benefit Plan that is an Employee Pension Benefit Plan and all contributions for any period ending on or before the Closing Date that are not yet due have been made to each such Employee Pension Benefit Plan or accrued in
accordance with the past custom and practice of HOST and its Subsidiaries. All premiums or other payments for all periods ending on or before the Closing Date have been paid with respect to each such Employee Benefit Plan that is an Employee Welfare
Benefit Plan. No Assumed Plan has any material unfunded liability not accurately reflected on the Balance Sheet. 

  

	 	(D)	Each such Employee Benefit Plan that is intended to meet the requirements of a “qualified plan” under Code §401(a) has received a determination from the Internal Revenue
Service that such Employee Benefit Plan is so qualified, and Seller is not aware of any facts or circumstances that could adversely affect the qualified status of any such Employee Benefit Plan. Each such Employee Benefit Plan has been timely
amended to comply with the provisions of recent legislation commonly referred to as “GUST” and “EGTRRA” and has been submitted to the IRS for a determination or opinion letter that takes the GUST amendments into account within
the applicable remedial amendment period specified by Section 401(b) of the Code. 

  

	 	(E)	There have been no Prohibited Transactions with respect to any such Employee Benefit Plan or any Employee Benefit Plan maintained by an ERISA Affiliate. No Fiduciary has any liability for
material breach of fiduciary duty or any other material failure to act or comply in connection with the administration or investment of the assets of any such Employee Benefit Plan. Except as set forth in §4(w)(i)(E) of the Disclosure Schedule,
no action, suit, proceeding, hearing, or investigation with respect to the administration or the investment of the assets of any such Employee Benefit Plan (other than routine claims for benefits) is pending or, to the Knowledge of Seller and the
directors and officers of HOST and its Subsidiaries, threatened. 

  

	 	(F)	Seller has delivered to Buyer correct and complete copies of the plan documents and summary plan descriptions, the most recent determination letter received from the Internal Revenue Service,
the most recent annual report (Form 5500, with all applicable attachments), and all related trust agreements, insurance contracts, and other funding arrangements which implement each such Employee Benefit Plan. 

  

	 	(ii)	Neither HOST, nor any of its Subsidiaries, nor any ERISA Affiliate contributes to, has any obligation to contribute to, or has any Liability under or with respect to any Employee Pension
Benefit Plan that is a “defined benefit plan” (as defined in ERISA §3(35)). 

  

 35 

	 	(iii)	Neither HOST, nor any of its Subsidiaries, nor any ERISA Affiliate contributes to, has any obligation to contribute to, or has any Liability (including withdrawal liability as defined in
ERISA §4201) under or with respect to any Multiemployer Plan. 

  

	 	(iv)	Except as set forth on §4(v)(iv) of the Disclosure Schedule, neither HOST nor any of its Subsidiaries maintains, contributes to or has an obligation to contribute to, or has any
Liability or potential Liability with respect to, any Employee Welfare Benefit Plan providing health or life insurance or other welfare-type benefits for current or future retired or terminated employees (or any spouse or other dependent thereof) of
HOST or any of its Subsidiaries or of any other Person other than in accordance with COBRA. 

  

	 	(v)	Except as set forth on §4(v)(v) of the Disclosure Schedule, none of the Assumed Plans provides any separation, severance, termination or similar benefit or accelerate any vesting
schedule or alter any benefit structure solely as a result of a change in control of ownership within the meaning of any Assumed Plan or §280G of the Code. 

  

	 	(vi)	Each deferred compensation arrangement subject to the provisions of Code §409A and with respect to which HOST or any of its Subsidiaries is a “service recipient” (within the
meaning of Code §409A) is in compliance with the applicable provisions of Code §409A and neither HOST nor any of its Subsidiaries has been required to withhold any taxes due as a result of a failure to comply with Code §409A.

  

	 	(w)	Guaranties. Neither HOST nor any of its Subsidiaries is a guarantor or otherwise is responsible for any liability or obligation (including indebtedness) of any other Person.

  

	 	(x)	Environmental, Health, and Safety Matters. 

  

	 	(i)	Each of HOST, its Subsidiaries, and their respective predecessors and Affiliates have complied and are in compliance, in each case in all material respects, with all Environmental, Health,
and Safety Requirements. 

  

	 	(ii)	Without limiting the generality of the foregoing, each of HOST, its Subsidiaries, and their respective Affiliates have obtained, have complied, and are in compliance with, in each case in all
material respects, all material permits, licenses and other authorizations that are required pursuant to Environmental, Health, and Safety Requirements for the occupation of their facilities and the operation of their business; and a list of all
such material permits, licenses and other authorizations is set forth on §4(x) of the Disclosure Schedule. 

  

	 	(iii)	Neither HOST, nor any of its Subsidiaries, nor their respective Affiliates has received any written or oral notice, report or other information regarding any actual or alleged material
violation of Environmental, Health, and Safety Requirements, or any material liabilities or potential material liabilities (whether accrued, absolute, contingent, unliquidated or otherwise), including any material investigatory, remedial or
corrective obligations, relating to any of them or their facilities arising under Environmental, Health, and Safety Requirements. 

  

 36 

	 	(iv)	Without limitation upon any other subsection hereof and to the Knowledge of Seller and the directors and officers of HOST and its Subsidiaries, except as set forth on §4(x) of the
Disclosure Schedule, none of the following exists at any property or facility owned or operated by HOST or its Subsidiaries: (1) underground storage tanks, (2) asbestos-containing material in any friable and damaged form or condition,
(3) materials or equipment containing polychlorinated biphenyls, or (4) landfills, surface impoundments, or disposal areas. 

  

	 	(v)	Neither HOST nor any of its Subsidiaries, nor any of their respective predecessors or Affiliates have treated, stored, disposed of, arranged for or permitted the disposal of, transported,
handled, manufactured, distributed, released or exposed any Person to any substance, including without limitation any hazardous substance, or owned or operated any property or facility (and no such property or facility is contaminated by any such
substance) so as to give rise to any current or future material liabilities, including any material liability for fines, penalties, response costs, corrective action costs, personal injury, property damage, natural resources damages or
attorneys’ fees, pursuant to the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (“CERCLA”) or the Solid Waste Disposal Act, as amended (“SWDA”) or any
other Environmental, Health, and Safety Requirements. 

  

	 	(vi)	Neither this Agreement nor the consummation of the transactions that are the subject of this Agreement will result in any material obligations for site investigation or cleanup, or
notification to or consent of government agencies or third parties, pursuant to any of the so-called “transaction-triggered” or “responsible property transfer” Environmental, Health, and Safety Requirements.

  

	 	(vii)	Neither HOST nor any of its Subsidiaries, nor their respective predecessors or Affiliates has designed, manufactured, sold, marketed, installed, or distributed products or other items
containing asbestos and none of such entities is or will become subject to any Liabilities arising from, relating to, or based on exposure of any Person to asbestos or asbestos-containing materials. 

  

	 	(viii)	Seller, HOST, and its Subsidiaries have made available to Buyer all environmental audits, reports and other material environmental documents relating to HOST’s, its Subsidiaries’,
or their respective predecessors’ or Affiliates’ past or current properties, facilities, or operations that are in their possession or under their reasonable control. 

  

	 	(y)	Business Continuity. None of the computer software, computer hardware (whether general or special purpose), telecommunications capabilities (including all voice, data and video
networks) and other similar or related items of automated, computerized, and/or software systems and any other networks or systems and related services that are used by or relied on by HOST and/or its Subsidiaries in the conduct of their business
(collectively, the “Systems”) have experienced bugs, failures, breakdowns, or continued substandard performance in the past twelve (12) months that has caused any substantial disruption or interruption in or to the use
of any such Systems by HOST or its Subsidiaries. HOST and each of its Subsidiaries take commercially reasonable steps to safeguard and maintain the Systems and to prevent and guard against any unauthorized access or use thereto. The Systems are
sufficient for the immediate and anticipated future needs of HOST and its Subsidiaries (including as to capacity and ability to process current and anticipated peak volumes in a timely manner). 

  

 37 

	 	(z)	Certain Business Relationships With HOST and Its Subsidiaries. Except as set forth on §4(z) of the Disclosure Schedule attached hereto, none of Parent, Seller, HOST, or
their respective Affiliates, directors, officers, employees and shareholders, any individual related by blood, marriage or and or adoption to any such individual, or any entity in which any such Person or individuals owns any beneficial interest has
been involved in any material business arrangement or relationship with HOST or any of its Subsidiaries within the past 12 months, and none of Parent, Seller, HOST or their respective Affiliates, directors, officers, employees and shareholders, any
individual related by blood, marriage or and or adoption to any such individual, or any entity in which any such Person or individuals owns any beneficial interest, owns any material asset, tangible or intangible, that is used in the business of
HOST or any of its Subsidiaries. 

  

	 	(aa)	Bank Accounts. §4(aa) of the Disclosure Schedule attached hereto contains an accurate and complete list of each bank, checking, money market, investment or similar account,
excluding individual store deposit accounts (each, a “HOST Account”), owned by or used for the business and operations of HOST or any of its Subsidiaries and each individual authorized to have access to and make transactions
under each HOST Account. 

  

	 	(bb)	Parent SEC Filings. Parent has timely filed or furnished all forms, reports and other documents required to be filed by it under the Securities Act or the Securities Exchange Act, as
the case may be, since January 1, 2005 (collectively, the “Parent SEC Filings”). With respect to the business of HOST and its Subsidiaries, each Parent SEC Filing (i) as of its date, complied in all material
respects with the applicable requirements of the Securities Act or the Securities Exchange Act, as the case may be, and (ii) did not, at the time it was filed (or, if amended, at the time of such amendment), 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 made therein, in the light of the circumstances under which they were made, not misleading. No Company Subsidiary is subject to
the periodic reporting requirements of the Securities Exchange Act. Parent has made available to Buyer correct and complete copies of all material correspondence between the SEC, on the one hand, and Parent and any of its Subsidiaries, on the other
hand, occurring since January 1, 2005 and prior to the date hereof. None of the Parent SEC Filings is the subject of ongoing SEC review, outstanding SEC comment or outstanding SEC investigation. 

  

	 	(cc)	Solvency of Parent. After giving effect to Stock Purchase and the transactions contemplated hereby, including the payment of the Final Purchase Price, any other repayment or
refinancing of existing Indebtedness of Parent, payment of all amounts required to be paid in connection with the consummation of the transactions contemplated hereby, and payment of all related fees and expenses, Parent will be Solvent.

  

	 	§5.	Pre-Closing Covenants. The Parties agree as follows with respect to the period between the execution of this Agreement and the Closing: 

  

	 	(a)	General. Each of the Parties will use his, her, or its reasonable efforts to take all action and to do all things necessary in order to consummate and make effective the transactions
contemplated by this Agreement (including satisfaction, but not waiver, of the Closing conditions set forth in §7 below). 

  

 38 

	 	(b)	Notices and Consents. 

  

	 	(i)	Parent and Seller will cause each of HOST and its Subsidiaries to give any notices to third parties, and will cause each of HOST and its Subsidiaries to use their commercially reasonable
efforts to obtain (i) any third-party consents referred to in §4(c) above, (ii) the Lease Consents, and (iii) the Lenders’ Consent, and (except for any filing fees required to be paid in connection with any notice or
filing required under the Hart-Scott-Rodino Act, which cost shall be equally divided between the Buyer and Seller) Seller shall be responsible for the cost of obtaining such consents. Each of the Parties will (and Seller will cause each of HOST and
its Subsidiaries to) give any notices to, make any filings with, and use its commercially reasonable efforts to obtain any authorizations, consents, and approvals of governments and governmental agencies in connection with the matters referred to in
§3(a)(ii), §3(b)(ii), and §4(c) above. Without limiting the generality of the foregoing, each of the Parties will file (and Seller will cause each of HOST and its Subsidiaries to file) any Notification and Report
Forms and related material that he, she, or it may be required to file with the Federal Trade Commission and the Antitrust Division of the United States Department of Justice under the Hart-Scott-Rodino Act, will use its commercially reasonable
efforts to obtain (and Seller will cause each of HOST and its Subsidiaries to use their commercially reasonable efforts to obtain) a waiver of the applicable waiting period, and will make (and Seller will cause each of HOST and its Subsidiaries to
make) any further filings pursuant thereto that may be necessary in connection therewith. Each Party agrees to bear its own costs and expenses in connection with any notice or filing required under the Hart-Scott-Rodino Act and the applicable filing
fee under the Hart-Scott-Rodino Act shall be equally divided between, and paid by, the Buyer and Seller. Subject to the terms and conditions provided in this Agreement, each of the Parties agrees to use 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 advisable to consummate and make effective as promptly as practicable the transactions contemplated by this Agreement, and to cooperate with each of the
other Parties in connection with the foregoing, including to furnish to each other such information and assistance and to consult with respect to the terms of any registration, filing, application or undertaking as may be reasonably requested in
connection with the filings described in the foregoing sentence. 

  

	 	(ii)	Parent or Seller shall advise Buyer promptly in writing with respect to (i) any third-party consents referred to in §4(c) above and (ii) the Lease Consents, that Parent
or Seller knows or has reason to believe will not be obtained prior to Closing. Without in any way limiting the foregoing or waiving any condition to Buyer’s obligations to consummate the transactions contemplated by this Agreement, if any such
third-party consent referred to in §4(c) or Lease Consent is not obtained and the Closing is consummated, after the Closing, Parent and Seller shall continue to use their reasonable best efforts to obtain such third-party consent
referred to in §4(c) or Lease Consent, and shall cooperate with Buyer in any reasonable arrangement designed to provide Buyer with the rights and benefits (subject to the obligations) under the applicable contract or lease.

  

 39 

	 	(c)	Operation of Business. Neither Parent nor Seller will cause or permit HOST or any of its Subsidiaries to engage in any practice, take any action, or enter into any transaction outside
the Ordinary Course of Business. Without limiting the generality of the foregoing, neither Parent nor Seller will cause or permit HOST or any of its Subsidiaries to: 

  

	 	(i)	except as expressly set forth herein, declare, set aside, or pay any dividend or make any distribution with respect to its capital stock or redeem, purchase, or otherwise acquire any of its
capital stock; 

  

	 	(ii)	otherwise engage in any practice, take any action, or enter into any transaction of the sort described in §4(h) above; 

  

	 	(iii)	acquire (by merger, exchange, consolidation, acquisition of stock or assets or otherwise) any corporation, partnership, joint venture or other business organization or division or material
assets thereof; or adopt a plan of complete or partial liquidation, dissolution, merger, consolidation, restructuring, recapitalization or other reorganization of HOST or any of its Subsidiaries; 

  

	 	(iv)	cancel or terminate any of insurance policies or permit any of the coverage thereunder to lapse, unless simultaneously with such termination, cancellation or lapse, replacement policies
providing coverage equal to or greater than the coverage under such canceled, terminated or lapsed insurance policies are in full force and effect; 

  

	 	(v)	license, transfer, assign, abandon, fail to maintain or otherwise dispose of any Intellectual Property rights, other than non-exclusive licenses granted in the Ordinary Course of Business; or
take any action (or fail to take any action) that would reasonably be likely to result in the loss, lapse, abandonment, invalidity or unenforceability of any of its Intellectual Property rights; 

  

	 	(vi)	fail to maintain the material assets of HOST or any of its Subsidiaries in their current conditions, except for ordinary wear and tear; 

  

	 	(vii)	fail to file (or cause to be filed), on or prior to the due date thereof, all Tax Returns required to be filed for all Tax periods ending on or before the Closing Date;

  

	 	(viii)	enter into any lease of personal or real property or any renewals or amendments thereof involving a rental obligation exceeding $75,000.00 per annum in the aggregate;

  

	 	(ix)	make any new commitment or increase any previous commitment for capital expenditures; 

  

	 	(x)	enter into any contract which would have been required to be set forth on the Disclosure Schedule hereto if in effect on the date hereof, amend any Material Contract, waive or permit the loss
of any right of substantial value, cancel any debt, or voluntarily suffer any extraordinary loss; 

  

 40 

	 	(xi)	engage in any plant closing or employee layoff activities that would implicate the WARN Act or any similar state or local plant closing or mass layoff statute, rule or regulation;

  

	 	(xii)	take any action that would be expected to result in a need for Stockholder Approval; 

  

	 	(xiii)	take any action or omit to take any action which act or omission would reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect; 

 

	 	(xiv)	make or change any election related to Taxes, change an annual accounting period, adopt or change any accounting method, adopt or change any accounting period for Tax purposes, file any
amended Tax Return, enter into any closing agreement, settle any Tax claim or assessment relating to HOST or any of its Subsidiaries, surrender any right to claim a refund of Taxes, consent to any extension or waiver of the limitation period
applicable to any Tax claim or assessment relating to HOST or any of its Subsidiaries, or take any other similar action relating to the filing of any Tax Return or the payment of any Tax; if such election, adoption change, amendment, agreement,
settlement, surrender, consent or other action would have the effect of increasing the Tax liability of Buyer or HOST or any of its Subsidiaries for any period after the Closing Date or decreasing any Tax attribute of Buyer or HOST or any of its
Subsidiaries for any period after the Closing Date; or 

  

	 	(xv)	enter into any contract or arrangement with respect to any of the foregoing. 

  

	 	(d)	Preservation of Business. Parent and Seller will cause each of HOST and its Subsidiaries to keep their business and properties substantially intact, including their present operations,
physical facilities, working conditions, insurance policies, and relationships with lessors, licensors, licensees, sponsors, associations, suppliers, customers, and employees. 

  

	 	(e)	Full Access. Parent and Seller will permit, and Parent and Seller will cause each of HOST and its Subsidiaries to permit, representatives of Buyer (including legal counsel and
accountants) to have full access at all reasonable times to all the Real Property, properties, personnel, books, records (including Tax and accounting records), contracts, and documents of or pertaining to each of HOST and its Subsidiaries;
provided, that Buyer agrees to use commercially reasonable efforts to limit the interference with the normal business operations of HOST and its Subsidiaries. Prior to Closing, Buyer will treat and hold as such any Confidential Information it
receives from any of Seller, HOST, and its Subsidiaries in the course of the reviews contemplated by this §5(e), will not use any of the Confidential Information except in connection with this Agreement, and, if this Agreement is
terminated for any reason whatsoever, will return to Seller, HOST, and its Subsidiaries all tangible embodiments (and all copies) of the Confidential Information which are in its possession. Except as otherwise stated herein, the investigation
contemplated by this §5(e) shall not affect or otherwise diminish or obviate in any respect, or affect the Buyer’s right to rely upon, any of the representations, warranties or covenants contained in this Agreement or the
indemnification rights of the Buyer Indemnified Parties contained in this Agreement. 

  

 41 

	 	(f)	Notice of Developments. Each Party hereto agrees to promptly notify the other Party, in writing, of the development or discovery of any fact or circumstance which that Party believes
would cause or constitute a breach of any representation or warranty set forth in this Agreement. For purposes of determining the accuracy of the representations and warranties of Parent and Seller contained in §3(a) and §4,
and for purposes of determining satisfaction of the conditions set forth in §7(a)(i), the Disclosure Schedules delivered by Parent and Seller shall be deemed to include only that information contained therein on the date of this
Agreement and shall be deemed to exclude any information contained in any subsequent supplement or amendment thereto; provided, however, in the event Buyer shall close the transaction contemplated hereby, Buyer will be deemed to have waived any and
all breaches of representations, warranties and covenants of this Agreement expressly disclosed pursuant to the supplements or amendments to the Disclosure Schedule provided under this §5(f) including, without limitation, for purposes of
indemnification pursuant to §8. 

  

	 	(g)	Exclusivity. 

  

	 	(i)	Parent and HOST will not, and will not permit any of their directors, officers, employees, agents, affiliates, financing sources, accountants, counsel, financial or professional advisers
(collectively, the “Representatives”) to, directly or indirectly: (i) solicit or encourage the initiation or submission of any expression of interest, inquiry, proposal or offer from any person (other than Buyer)
relating to or in connection with a Potential Transaction or any transaction inconsistent with, or that would frustrate or render it materially more difficult to consummate, a Potential Transaction; or (ii) enter into or participate in any
discussions or negotiations or enter into any agreement with, or provide any non-public information to, any person (other than Buyer) relating to or in connection with a Potential Transaction or any transaction inconsistent with, or that would
frustrate or render it materially more difficult to consummate, a Potential Transaction; 

  

	 	(ii)	if Parent or HOST receives, or Parent or HOST learns that any of its Representatives has received, any communication (whether written, oral or otherwise) from any person or entity other than
Buyer or its Affiliates that constitutes or could reasonably lead to an indication of interest, an offer or a proposal regarding a Potential Transaction, Parent or HOST shall promptly, and in any event within 24 hours of receipt of (or learning of)
such communication, inform Buyer of the communication, including the identity of the party from whom the communication is received and all material terms of the communication, and shall thereafter keep Buyer promptly informed regarding any further
communications between Parent, HOST and its Representatives, on the one hand, and the party from whom the communication was received, on the other hand. 

  

	 	(h)	Maintenance of Real Property. Parent and Seller will cause each of HOST and of its Subsidiaries to maintain the Real Property, including all of the Improvements in substantially the
same condition as existed on the date of this Agreement, ordinary wear and tear excepted, and shall not demolish or remove any of the existing Improvements, or erect new improvements on the Real Property or any portion thereof, without the prior
written consent of Buyer. 

  

 42 

	 	(i)	Leases. Neither Parent nor Seller will cause or permit any Lease to be amended, modified, extended, renewed or terminated, nor shall HOST or its Subsidiaries enter into any new lease,
sublease, license or other agreement for the use or occupancy of any Real Property requiring rental and other payments in excess of $75,000.00 annually as averaged over the term thereof, without the prior written consent of Buyer.

  

	 	(j)	Title Insurance and Surveys. Seller shall use its commercially reasonable efforts to assist Buyer in obtaining the Title Commitments, Title Policies and Surveys in form and substance
as set forth in §7(a) of this Agreement, within the time periods set forth therein, including, without limitation, removing from title any liens or encumbrances which are not Permitted Encumbrances. Seller and the Company shall provide
the Title Company with any affidavit, indemnity or other assurances requested by the Title Company to issue the Title Policies. 

  

	 	(k)	Stockholder Suit. 

  

	 	(i)	Notice of Stockholder Suit. Parent and Seller agree to notify Buyer in writing promptly after receiving written notice of any Stockholder Suit (the “Notice of Stockholder
Suit”). Parent shall not enter into any settlement of such claim without the prior written consent of Buyer (except if pursuant to such settlement solely monetary damages are awarded and such monetary damages are paid or satisfied in
full by Parent and/or Seller). 

  

	 	(ii)	Cooperation. Subject to the terms and conditions provided in this Agreement, Buyer agrees to use commercially reasonable efforts to cooperate with Parent, Seller and their respective
counsel in the contest or defense against any Stockholder Suit, including making available its personnel, and providing such testimony and access to its books and records as shall be necessary in connection with the contest or defense, all at the
sole cost and expense of Parent or Seller; provided, that nothing shall require Buyer to provide documents subject to attorney-client privilege. 

  

	 	(iii)	Expenses. Parent and Seller shall bear all costs and expenses (including legal fees and expenses) incurred by Parent, Seller, Buyer, HOST, any of HOST’s Subsidiaries, or any of
their respective Affiliates, in connection with any Stockholder Suit. For the avoidance of doubt, none of Buyer, HOST or its Subsidiaries shall be responsible for any costs and expenses (including legal fees and expenses) incurred in connection with
any Stockholder Suit. 

  

	 	(iv)	Stockholder Approval. If a Stockholder Suit is filed, the Parties agree that: 

  

	 	(A)	upon written request thereof by Buyer, either instead of contesting and defending such Stockholder Suit or simultaneously with the contest and defense of such Stockholder Suit, Parent shall
attempt use its commercially reasonable efforts to obtain Stockholder Approval (the “Buyer Election”); and 

  

	 	(B)	upon the written notice by Parent to Buyer, Parent may elect to obtain Stockholder Approval (the “Parent Election”). In the event the Parent makes a Parent Election,
Buyer shall have the right (within ten (10) days after receipt of Parent’s notice of the Parent Election) to terminate this Agreement pursuant to §10(a)(ii)(B). 

  

 43 

	 	(l)	Updated Financial Information. Within thirty (30) days of the end of each month, Parent and/or Seller shall deliver to the Buyer a true, correct and complete copy of the unaudited
balance sheets of HOST and its Subsidiaries for such month, and the related unaudited consolidating statements of income of HOST and its Subsidiaries, in each case prepared in accordance with GAAP using principles consistent with the Financial
Statements. 

  

	 	(m)	Parent Guaranties. Buyer shall use commercially reasonable efforts to cooperate with Parent and Seller to obtain releases from the Parent Guaranties. 

  

	 	(n)	Termination of Affiliate Transactions. HOST and its Subsidiaries shall, and Parent and Seller shall cause HOST and its Subsidiaries to, take such action as may be necessary to cause
the contracts related to the affiliate transactions listed on §4(z) of the Disclosure Schedule, other than those set forth on §5(n) of the Disclosure Schedule, to be terminated in full and of no further force or effect as of
the Closing. 

  

	 	§6.	Post-Closing Covenants. The Parties agree as follows with respect to the period following the Closing: 

  

	 	(a)	General. In case at any time after the Closing any further actions are necessary to carry out the purposes of this Agreement, each of the Parties will take such further actions
(including the execution and delivery of such further instruments and documents) as any other Party may reasonably request, all at the sole cost and expense of the requesting Party (unless the requesting Party is entitled to indemnification therefor
under §8 below). Each of Parent and Seller acknowledges and agrees that from and after the Closing Buyer will be entitled to possession of all documents, books, records (including Tax records), agreements, and financial data of any sort
relating to HOST and its Subsidiaries. 

  

	 	(b)	Litigation Support. In the event and for so long as any Party actively is contesting or defending against any action, suit, proceeding, hearing, investigation, charge, complaint,
claim, or demand with third parties in connection with (i) any transaction contemplated under this Agreement or (ii) any fact, situation, circumstance, status, condition, activity, practice, plan, occurrence, event, incident, action,
failure to act, or transaction on or prior to the Closing Date involving HOST or any of its Subsidiaries, each of the other Parties will cooperate with it and its counsel in the contest or defense, make available its personnel, and provide such
testimony and access to its books and records as shall be necessary in connection with the contest or defense, all at the sole cost and expense of the contesting or defending Party; provided, that nothing shall require any Party to provide documents
subject to attorney-client privilege. 

  

	 	(c)	Transition. Neither Parent nor Seller shall take or cause to be taken any action that is intended to have the effect of discouraging , or would be reasonably anticipated to have the
effect of discouraging, any lessor, licensor, licensee, customer, supplier, sponsor, association or other business associate of HOST or any of its Subsidiaries from maintaining the same business relationships with HOST and its Subsidiaries after the
Closing as it maintained with HOST and its Subsidiaries prior to the Closing. Parent and Seller agree that after the Closing Date they shall refer all customer inquiries with respect to the business of HOST and its Subsidiaries to Buyer and HOST, as
applicable. 

  

 44 

	 	(d)	Confidentiality. Parent and Seller will treat and hold as such all of the Confidential Information, refrain from using any of the Confidential Information except in connection with
this Agreement, and deliver promptly to Buyer or destroy, at the request and option of Buyer, all tangible embodiments (and all copies) of the Confidential Information that are in its possession. In the event that Parent or Seller is requested or
required pursuant to oral or written question or request for information or documents in any legal proceeding, interrogatory, subpoena, civil investigative demand, or similar process to disclose any Confidential Information, such Party will 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 §6(d). If, in the absence of a protective order or the receipt of a waiver hereunder,
Parent or Seller is, on the advice of counsel, compelled to disclose any Confidential Information to any tribunal or else stand liable for contempt, such Party may disclose the Confidential Information to the tribunal; provided, however, that such
Party shall use its reasonable efforts to obtain, at the reasonable request of Buyer, an order or other assurance that confidential treatment will be accorded to such portion of the Confidential Information required to be disclosed as Buyer shall
designate. 

  

	 	(e)	Covenant Not to Compete and Not to Solicit. 

  

	 	(i)	Covenant Not to Compete. In furtherance of the consideration being paid by Buyer to Seller for the HOST Shares, for a period of five (5) years from and after the Closing Date (the
“Non Compete Period”), Parent and Seller will not directly or indirectly anywhere in North America (i) own any interest in, manage, control, participate in (whether as an officer, director, employee, partner, agent,
representative, or otherwise), consult, render services, organize, plan to organize, or in any manner engage, or make preparation to engage or otherwise become associated with an enterprise which is substantially the same as, or competitive in any
material respect with, the Business (a “Competing Business”) or (ii) for the purpose of conducting or engaging in a Competing Business, call upon, solicit, advise or otherwise do, or attempt to do, business with any
clients, licensees, suppliers, customers or accounts of any of HOST or its Subsidiaries. 

  

	 	(ii)	Covenant Not to Solicit. In furtherance of the consideration being paid by Buyer to Seller for the HOST Shares, for a period of five (5) years from and after the Closing Date (the
“Non Solicit Period”), neither Parent nor Seller shall directly or indirectly (i) induce or attempt to induce any officer, employee, independent contractor, representative or agent of any of HOST or its Subsidiaries (an
“Employee”) to leave the employ of HOST or any of its Subsidiaries, (ii) hire any person who was an Employee on the Closing Date, except such persons whose employment with HOST or any of its Subsidiaries was (A) involuntarily
terminated (constructively or otherwise) following the Closing, or (B) terminated at least one year prior to date of hiring, (iii) make any statement or do any act intended to cause existing or potential clients or licensees of HOST or any
of its Subsidiaries to make use of the services or purchase the products of any Competing Business, or (iii) in any other way interfere with the relationship between any of HOST or any of its Subsidiaries and any Employee.

  

	 	(iii)	 Each of Parent and Seller acknowledges and agrees that: (A) the Business has been and shall be conducted nationally and internationally (including the production,
promotion, distribution, marketing, and sale of products); (B) purchases and sales by HOST and its Subsidiaries are made and shall continue to 

  

 45 

	 	 
be made in jurisdictions foreign to HOST’s and its Subsidiaries’ state of formation, incorporation or organization, as applicable; (C) as applicable,
such Parents’ and Seller’s (1) knowledge of HOST’s and its Subsidiaries’ operations, (2) rendering of services in the Business as an employee of any HOST and its Subsidiaries, (3) financial resources,
(4) knowledge of the Business, and/or (5) customer contacts in the Business would permit Parent or Seller, but for the confidential information covenants and restrictions in §6(d) and the non-compete and non-solicitation
covenants and restrictions in this §6(e), to immediately compete with and take away substantially all of the value attributable by Buyer to the HOST Shares; and (D) the geographical restrictions and the length of the non-compete and
non-solicitation periods are reasonable and narrowly drawn to impose no greater restraint than is necessary to protect the goodwill of any of HOST and its Subsidiaries. Each of the Buyer and Seller intends that the covenants of §6(e)(i)
and §6(e)(ii) shall be deemed to be a series of separate covenants, one for each county or province of each and every state, territory or jurisdiction of each country within any geographical area in which HOST or any of its Subsidiaries
engages or plans to engage in the Business, and one for each month of the time periods covered by such covenants. 

  

	 	(iv)	If, at the time of enforcement of §6(e)(i) and §6(e)(ii), a court shall hold that the duration or scope stated herein are unreasonable under circumstances then
existing, the Parties agree that the maximum duration or scope under such circumstances shall be substituted for the stated duration or scope and that the court shall be allowed to revise the restrictions contained herein to cover the maximum period
and scope permitted by law. 

  

	 	(v)	Each of Parent and Seller recognizes and affirms that in the event of its breach of any provision of §6(e)(i) and §6(e)(ii), money damages would be inadequate and none
of HOST, its Subsidiaries or Buyer would have adequate remedy at law. If Parent or Seller breaches or threatens to commit a breach of any of the restrictive covenants set forth in this §6(e), then any of the HOST, its Subsidiaries or
Buyer shall have the following rights and remedies against Parent or Seller, as applicable, each of which shall be independent of the others and severally enforceable, and each of the following rights and remedies is in addition to, and not in lieu
of, any other rights and remedies otherwise available to any of them at Law or in equity for Parent or Seller’s actions, the right and remedy to have the restrictive covenants in this HOST, its Subsidiaries or Buyer specifically enforced
against Parent or Seller, including temporary restraining orders and injunctions by any court of competent jurisdiction, it being agreed by Parent and Seller that any breach or threatened breach by Parent of Seller of this HOST, its Subsidiaries or
Buyer would cause irreparable injury to HOST, its Subsidiaries and Buyer and that money damages would not provide an adequate remedy to HOST, its Subsidiaries or Buyer. In addition, in the event of a breach or violation of §6(e)(i) and
§6(e)(ii), the Non Solicitation Period or the Non Compete Period, respectively, shall be tolled until such breach or violation has been duly cured. 

  

	 	(vi)	Parent and Seller shall be severally responsible, and not jointly, for only its breach of this §6(e) to the extent applicable to Parent or Seller and shall not be responsible or
liable for the breach of this covenant by any other Person. 

  

 46 

	 	(f)	Employee Matters 

  

	 	(i)	Employment. Each employee who is employed by HOST or its Subsidiaries on the Closing Date shall continue to be employed by HOST or its Subsidiaries, as applicable, on and after the
Closing Date (the “Transferred Employees”); provided, however, that nothing in this §6(f)(i) or any other provision of this Agreement shall be construed to modify, amend, or establish any benefit plan, program or arrangement or in any
way affect the ability of the parties hereto or any other Person to modify, amend or terminate any of its benefit plans, programs or arrangements. This §6(f) is not intended to, and shall not be construed to, confer upon any Person other
than the parties to this Agreement any rights or remedies hereunder, including, without limitation any right of continued employment after the Closing Date. 

  

	 	(ii)	Service Credit. All past service of the Transferred Employees with HOST and/or its Subsidiaries (or any of their predecessors) shall be taken into account for purposes of eligibility
and vesting under the benefit plans provided by HOST or the Buyer for the Transferred Employee. 

  

	 	(iii)	Welfare Plans. The Buyer shall take all action necessary and appropriate to ensure that, as soon as practicable after the Closing Date, the Buyer maintains or adopts (or causes HOST or
its Subsidiaries to maintain or adopt), one or more employee welfare benefit plans as it determines in its sole discretion for the benefit of the Transferred Employees (the “Buyer Welfare Plans”). Buyer shall or shall cause
to be taken any reasonable actions necessary to ensure that any restrictions on coverage for preexisting conditions or requirements for evidence of insurability under the Buyer Welfare Plan shall be waived for the Transferred Employees to the same
extent such preexisting condition or evidence of insurability requirement has been met under the corresponding welfare benefit plans maintained by Parent on the Closing Date (the “Parent Welfare Plans”), and the Transferred Employees shall
receive credit under the Buyer Welfare Plan for co-payments and payments under a deductible limit made by them and for out-of-pocket maximums applicable to them during the plan year of the Parent Welfare Plans in accordance with the corresponding
Parent Welfare Plan. Seller and Buyer hereby agree that any Transferred Employee who (i) as of the Closing Date is receiving or entitled to receive short-term disability benefits and who subsequently becomes eligible to receive long-term
disability benefits, or (ii) as of the Closing Date is receiving or entitled to receive long-term disability benefits, shall become eligible or continue to be eligible, as applicable, to receive long-term disability benefits under a Parent
Welfare Plan that is a long-term disability plan unless and until such employee is no longer disabled. 

  

	 	(iv)	 401(k) Plans. Effective as of the Closing Date, each Transferred Employee who is a participant in the Triple Crown Media, Inc. 401(k) Profit Sharing Savings Plan (the
“Parent 401(k) Plan”) shall become fully vested in their accounts under the Parent 401(k) Plan and shall cease to be eligible for any future contributions to the Parent 401(k) Plan except with respect to compensation earned prior to
the Closing and as provided in the Parent 401(k) Plan, and the Transferred Employees shall be entitled to a distribution of their account balances under the Parent 401(k) Plan in accordance with such plan and as permitted by the Code. Transferred
Employees who receive an eligible rollover distribution (within the meaning of Code §402(c)(4), including a direct transfer of an eligible rollover distribution within the meaning of Code §401(a)(31)) from the Parent 401(k) 

  

 47 

	 	 
Plan shall, subject to the provisions of Code §402, be permitted to make a rollover contribution, including a rollover of any loans outstanding under the Parent
401(k) Plan, to a plan that is intended to meet the requirements of Code §401(k) maintained by the Buyer or, if applicable HOST. Effective as soon as practical after the Closing, Buyer shall take any actions necessary to provide for the
participation of eligible Transferred Employees on and after Closing in a defined contribution plan, the terms of such plan to be determined by Buyer in its sole discretion. 

  

	 	(h)	Employee Benefit Plans. Except as specifically set forth in this Agreement, Seller shall indemnify and hold harmless Buyer, HOST and any of their Affiliates from and against any claim
or liability arising under any Employee Benefit Plan that is not an Assumed Plan. 

  

	 	(i)	Further Assurances. Following the Closing, Seller shall execute and deliver such further instruments of conveyance and transfer and take such additional action as Buyer may reasonably
request to effect, consummate, confirm or evidence the transactions contemplated by this Agreement, including the transfer to Buyer of the HOST Shares and the conduct by HOST and its Subsidiaries of the Business (including with respect to obtaining
and maintaining all licenses, permits, authorizations, accreditations and consents necessary or desirable in connection therewith), and Seller shall execute such documents as may be necessary to assist Buyer in preserving or perfecting its rights in
the HOST Shares and its ability to conduct the business of HOST and its Subsidiaries. Parent and Seller agree to use reasonable best efforts to transfer HOST’s benefits and obligations under the New York Leases to Parent as soon as possible
following the Closing. 

  

	 	§7.	Conditions to Obligation to Close. 

  

	 	(a)	Conditions to Buyer’s Obligation. The obligation of Buyer to consummate the transactions to be performed by it in connection with the Closing is subject to satisfaction of the
following conditions: 

  

	 	(i)	the representations and warranties set forth in §3(a) and §4 above shall be true and correct in all material respects at and as of the Closing Date, except to the
extent that such representations and warranties are qualified by the term “material,” or contain terms such as “Material Adverse Effect” or “Material Adverse Change,” in which case such representations and warranties
(as so written, including the term “material” or “Material”) shall be true and correct in all respects at and as of the Closing Date; 

  

	 	(ii)	Parent and Seller shall have performed and complied with all of their covenants hereunder in all material respects through the Closing, except to the extent that such covenants are qualified
by the term “material,” or contain terms such as “Material Adverse Effect” or “Material Adverse Change,” in which case Seller shall have performed and complied with all of such covenants (as so written, including the
term “material” or “Material”) in all respects through the Closing; 

  

	 	(iii)	HOST and its Subsidiaries shall have procured all of the third-party consents specified in §4(c) above; 

  

 48 

	 	(iv)	HOST and its Subsidiaries shall have procured all of the Lease Consents; 

  

	 	(v)	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 injunction, judgment, order, decree, ruling, or charge would (A) prevent consummation of any of the transactions contemplated by this Agreement, (B) cause any of the transactions contemplated by this Agreement to be
rescinded following consummation, (C) adversely affect the right of Buyer to own HOST Shares and to control HOST and its Subsidiaries, or (D) materially and adversely affect the right of HOST or any of its Subsidiaries to own its assets
and to operate its business (and no such injunction, judgment, order, decree, ruling, or charge shall be in effect); 

  

	 	(vi)	Seller shall have delivered to Buyer a certificate to the effect that each of the conditions specified above in §7(a)(i)-(v) is satisfied in all respects;

  

	 	(vii)	all applicable waiting periods (and any extensions thereof) under the Hart-Scott-Rodino Act shall have expired or otherwise been terminated and the Parties, HOST, and its Subsidiaries shall
have received all other material authorizations, consents, and approvals of governments and governmental agencies referred to in §3(a)(ii), §3(b)(ii), and §4(c) above; 

  

	 	(viii)	Buyer shall have received the resignations, effective as of the Closing, of each director of HOST and its Subsidiaries; 

  

	 	(ix)	all actions to be taken by Seller in connection with consummation of the transactions contemplated hereby and all certificates, opinions, instruments, and other documents required to effect
the transactions contemplated hereby will be reasonably satisfactory in form and substance to Buyer; 

  

	 	(x)	HOST and its Subsidiaries shall have used reasonable efforts to have obtained and delivered to Buyer an estoppel certificate with respect to each Lease, listed on §7(a)(ix) of the
Disclosure Schedule (the “Lease Consents”), for which a Lease Consent is required, dated no more than 30 days prior to the Closing Date, from the other party to such Lease, in form and substance satisfactory to Buyer.

  

	 	(xi)	no damage or destruction or other change has occurred with respect to any of the Real Property or any portion thereof that, individually or in the aggregate, would materially impair the use
or occupancy of the Real Property or the operation of the business of HOST and its Subsidiaries; 

  

	 	(xii)	Seller shall have delivered to Buyer copies of the certificate of incorporation of Seller, HOST, and HOST Subsidiary certified on or soon before the Closing Date by the Secretary of State (or
comparable officer) of the jurisdiction of each such Person’s incorporation; 

  

	 	(xiii)	Seller shall have delivered to Buyer copies of the certificate of good standing of Seller, HOST, and HOST Subsidiary issued on or soon before the Closing Date by the Secretary of State (or
comparable officer) of the jurisdiction of each such Person’s organization and of each jurisdiction in which each such Person is qualified to do business; 

  

 49 

	 	(xiv)	Seller shall have delivered to Buyer a certificate of the secretary or an assistant secretary of Seller, dated the Closing Date, in form and substance reasonably satisfactory to Buyer, as to:
(i) no amendments to the certificate of incorporation of Seller since the date specified in clause (xv) above; (ii) the bylaws of Seller; (iii) the resolutions of the board of directors (or a duly authorized committee thereof) of
Seller authorizing the execution, delivery, and performance of this Agreement and the transactions contemplated hereby; and (iv) incumbency and signatures of the officers of Seller executing this Agreement or any other agreement contemplated by
this Agreement; 

  

	 	(xv)	Seller shall have delivered to Buyer a certificate of the secretary or an assistant secretary of each HOST and HOST Subsidiary, dated the Closing Date, in form and substance reasonably
satisfactory to Buyer, as to: (i) no amendments to the certificate of incorporation of such Person since the date specified in clause (xv) above; (ii) the bylaws of such Person; and (iii) any resolutions of the board of directors
(or a duly authorized committee thereof) of such Person relating to this Agreement and the transactions contemplated hereby; 

  

	 	(xvi)	Seller and Parent shall have delivered to Buyer a copy of an Internal Revenue Service Form 8023 (and a copy of any equivalent forms required under state or local tax law) with respect to the
sale of the stock of HOST hereunder, properly completed and duly executed by an authorized representative of Parent; 

  

	 	(xvii)	Seller shall have delivered to Buyer (a) a properly completed and duly executed IRS Form W-9, and (b) a certificate, signed under penalty of perjury, dated as of the Closing Date
and in form and substance as required under the Treasury Regulations promulgated under Code §1445, stating that Seller is not a “foreign person” within the meaning of Code §1445 and the Treasury Regulations thereunder, so that
Buyer is exempt from withholding any portion of the Final Purchase Price; 

  

	 	(xviii)	Thomas J. Stultz shall have entered into an employment and equity agreement with Buyer on terms reasonably satisfactory to Buyer, and such agreements shall be in full force and effect as of
the Closing; 

  

	 	(xix)	Since June 30, 2007, there shall have not occurred any fact, event or circumstance which has, could have or is reasonably expected to have, a Material Adverse Effect;

  

	 	(xx)	Seller, Parent, Buyer and the Escrow Agent will have executed and delivered an escrow agreement (the “Indemnification Escrow Agreement”), substantially in the form
attached hereto as Exhibit B, and such agreement shall be in full force and effect; 

  

	 	(xxi)	Seller, Parent, Buyer and the Escrow Agent will have executed and delivered an escrow agreement (the “Adjustment Escrow Agreement”), substantially in the form attached
hereto as Exhibit C, and such agreement shall be in full force and effect; 

  

 50 

	 	(xxii)	Buyer shall have received evidence of termination of and payment in full of all Change of Control Payments set forth on §7(a)(xxii) of the Disclosure Schedule, in each case in
form and substance reasonably acceptable to Buyer; 

  

	 	(xxiii)	If a Buyer Election or Parent Election has been made pursuant to and subject to the terms of §5(k)(iv)(A) and §5(k)(iv)(B), Stockholder Approval shall have been
obtained; provided, that if Parent and Buyer elect to pursue Stockholder Approval at the same time as defending any Stockholder Suit pursuant to §5(k)(iv)(B)(1), then if all Stockholder Suits are resolved favorably in favor of Parent and
Seller, this condition shall be deemed satisfied; 

  

	 	(xxiv)	Buyer shall have received satisfactory evidence of the Lenders’ Consent and a release agreement from the administrative agent under the Credit Agreements releasing HOST and its
subsidiaries from any and all obligations under the Credit Agreements and satisfactory to Buyer in its sole discretion; 

  

	 	(xxv)	Buyer shall have obtained no later than ten (10) days prior to the Closing Date, a commitment for an ALTA Owner’s Title Insurance Policy in a form reasonably acceptable to Buyer for
each Owned Real Property, issued by a title insurance company satisfactory to Buyer (the “Title Company”), together with a copy of all documents referenced therein (the “Title Commitments”). At
Closing, Purchaser shall have obtained title insurance policies in accordance with the Title Commitments, insuring HOST’s or a HOST Subsidiary’s fee simple title to each Owned Real Property as of the Closing Date (including all recorded
appurtenant easements insured as separate legal parcels) with gap coverage from the Seller through the date of recording, subject only to Permitted Encumbrances, in such amount as Buyer reasonably determines to be the value of the Real Property
insured thereunder (the “Title Policies”). Each of the Title Policies shall include all endorsements reasonably requested by Buyer, in form and substance reasonably satisfactory to Buyer. Buyer shall pay all fees, costs and
expenses with respect to the Title Commitments and Title Policies; and 

  

	 	(xxvi)	Buyer shall have obtained no later than ten (10) days prior to the Closing Date, a survey for each Owned Real Property, dated no earlier than the date of this Agreement, prepared by a
licensed surveyor satisfactory to Buyer, and conforming to such standards as the Title Company and Buyer require as a condition to the removal of any survey exceptions from the Title Policies, and certified to Buyer and the Title Company, in a form
satisfactory to each of such parties (the “Surveys”). The Surveys shall not disclose any encroachment from or onto any of the Real Property or any portion thereof or any other survey defect which has not been cured to
Buyer’s reasonable satisfaction prior to the Closing Date. Buyer shall pay all fees, costs and expenses with respect to the Surveys. 

  

	 	(xxvii)	Buyer shall have received satisfactory evidence of the transfer of HOST’s benefits and obligations under (i) the J. Host Employment Agreement, (ii) the Jarvie Employment
Agreement and (iii) the Flexible Premium Adjustable Life Insurance Policies for each of Charles L. Jarvie (Policy #C6709482) and Wilford James Host (Policy #C6709529) or the Parent and Seller shall have agreed to cause the transfer of such
benefits and to assume such obligations following the Closing. 

  

 51 

	 	(xxviii)	Parent and Buyer will have executed and delivered a transition services agreement (the “Transition Services Agreement”) substantially in the form attached hereto as
Exhibit D, and such agreement shall be in full force and effect. 

 Buyer may waive any condition specified in this §7(a) if it
executes a writing so stating at or prior to the Closing 
  

	 	(b)	Conditions to Seller’s Obligation. The Seller’s obligation to consummate the transactions to be performed by them in connection with the Closing is subject to satisfaction of
the following conditions: 

  

	 	(i)	the representations and warranties set forth in §3(b) above shall be true and correct in all material respects at and as of the Closing Date, except to the extent that such
representations and warranties are qualified by the terms “material,” or contain terms such as “Material Adverse Effect” or “Material Adverse Change,” in which case such representations and warranties (as so written,
including the term “material,” or contain terms such as “Material Adverse Effect” or “Material Adverse Change,” shall be true and correct in all respects at and as of the Closing Date; 

  

	 	(ii)	Buyer shall have performed and complied with all of its covenants hereunder in all material respects through the Closing, except to the extent that such covenants are qualified by the term
“material,” or contain terms such as “Material Adverse Effect” or “Material Adverse Change,” in which case Buyer shall have performed and complied with all of such covenants (as so written, including the term
“material” or “Material”) in all respects through the Closing; 

  

	 	(iii)	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 injunction, judgment, order, decree, ruling, or charge would (A) prevent consummation of any of the transactions contemplated by this Agreement or (B) cause any of the transactions contemplated by this Agreement to
be rescinded following consummation (and no such injunction, judgment, order, decree, ruling, or charge shall be in effect); 

  

	 	(iv)	Buyer shall have delivered to Seller a certificate to the effect that each of the conditions specified above in §7(b)(i)-(iii) is satisfied in all respects;

  

	 	(v)	all applicable waiting periods (and any extensions thereof) under the Hart-Scott-Rodino Act shall have expired or otherwise been terminated and the Parties, HOST, and its Subsidiaries shall
have received all other material authorizations, consents, and approvals of governments and governmental agencies referred to in §3(a)(ii), §3(b)(ii), and §4(c) above; 

  

	 	(vi)	Buyer shall have delivered to Seller a copy of an Internal Revenue Service Form 8023 (and a copy of any equivalent forms required under state or local tax law) with respect to the sale of the
stock of HOST hereunder, duly executed by an authorized representative of Buyer; 

  

	 	(vii)	all actions to be taken by Buyer in connection with consummation of the transactions contemplated hereby and all certificates, opinions, instruments, and other documents required to effect
the transactions contemplated hereby will be reasonably satisfactory in form and substance to Seller; 

  

 52 

	 	(viii)	Seller, Parent, Buyer and the Escrow Agent will have executed and delivered Indemnification Escrow Agreement, substantially in the form attached hereto as Exhibit B, and such agreement
shall be in full force and effect; 

  

	 	(ix)	Seller, Parent, Buyer and the Escrow Agent will have executed and delivered the Adjustment Escrow Agreement, substantially in the form attached hereto as Exhibit C, and such agreement
shall be in full force and effect; 

  

	 	(x)	Host and its Subsidiaries shall have procured all of the third party consents specified in §4(c) above (provided, however, that this shall not be a condition to Seller’s
obligation to close if the Buyer waives any breach of this Agreement arising out of the failure or inability to obtain such consents by the Closing); 

  

	 	(xi)	If a Buyer Election or Parent Election has been made pursuant to and subject to the terms of §5(k)(iv)(A) and §5(k)(iv)(B), Stockholder Approval shall have been obtained;

  

	 	(xii)	Seller shall have received satisfactory evidence of the Lenders’ Consent; 

  

	 	(xiii)	HOST’s benefits and obligations under the Flexible Premium Adjustable Life Insurance Policies for each of Charles L. Jarvie (Policy #C6709482) and Wilford James Host (Policy #C6709529)
shall have been assigned to Parent, or the Buyer shall have agreed to cause the transfer of such benefits and obligations following the Closing; and 

  

	 	(xiv)	Parent and Buyer will have executed and delivered the Transition Services Agreement substantially in the form attached hereto as Exhibit D, and such agreement shall be in full force
and effect. 

 Seller may waive any condition specified in this §7(b) on behalf of Seller if it executes a writing so stating at or prior to
the Closing. 
  

	 	§8.	Indemnification. 

  

	 	(a)	Survival of Representations and Warranties. The representations and warranties in this Agreement shall survive the Closing until March 31, 2009; provided, that any representation
or warranty in respect of which indemnity may be sought under this §8, and the indemnity with respect thereto, shall survive the time at which it would otherwise terminate pursuant to this §8(a) if notice of the inaccuracy or
breach or potential inaccuracy or breach thereof giving rise to such right or potential right of indemnity shall have been given to the party against whom such indemnity may be sought prior to such time. The representations and warranties in this
Agreement or in any writing delivered by any party hereto to another party in connection herewith shall survive for the periods set forth in this §8(a). 

  

 53 

	 	(b)	General Indemnification. 

  

	 	(i)	Indemnification Obligations of Seller. After the Closing, Parent and Seller shall indemnify Buyer, HOST and their respective Affiliates, shareholders, partners, officers, directors,
employees, agents, Representatives, successors and permitted assigns (other than Seller) (collectively, “Buyer Indemnified Parties”) and save and hold each of them harmless against and pay on behalf of or reimburse Buyer
Indemnified Parties as and when incurred for any loss, liability, action, cause of action, cost, damage, Tax or expense (exclusive of any special, incidental, punitive or consequential damages), whether or not arising out of third party claims
(including interest, penalties, reasonable attorneys’, consultants’ and experts’ fees and expenses and all amounts paid in investigation, defense or settlement of any of the foregoing and after deducting all insurance proceeds in
connection with any of the foregoing) (collectively, “Losses”, and each a “Loss”), which any Buyer Indemnified Party may suffer, sustain or become subject to, as a result of, in connection with,
relating or incidental to or by virtue of: 

  

	 	(A)	any facts or circumstances which constitute a breach of any representation or warranty of Parent or Seller under this Agreement, or in any certificate furnished by Parent or Seller pursuant
to this Agreement; provided, that for purposes of this §8, the qualifications as to materiality and Material Adverse Effect contained in such representations and warranties shall not be given effect; 

  

	 	(B)	any nonfulfillment or breach of any covenant, agreement or other provision by Seller under this Agreement; 

  

	 	(C)	any Indebtedness of HOST as of the Closing Date to the extent that such Indebtedness has not been taken into account in the calculation of the Final Purchase Price pursuant to
§2(g); 

  

	 	(D)	(i) any Pre-Closing Taxes, other than, to the extent necessary to avoid a double benefit to Buyer, accrued but unpaid non-income Taxes for the current period not yet due and payable in the
amount taken into account in connection with the calculation of Final Net Working Capital, and (ii) for the avoidance doubt, any Taxes of Parent and its Subsidiaries (other than HOST and its Subsidiaries) for all taxable periods;

  

	 	(E)	any Stockholder Suit; 

  

	 	(F)	the failure of HOST or its Subsidiaries to comply, on or prior to the Closing Date, with the Fair Labor Standards Act or any similar applicable state or local Law (“Wage
Claims”); 

  

	 	(G)	the New York Leases; 

  

	 	(H)	the J. Host Employment Agreement and the Jarvie Employment Agreement; and 

  

	 	(I)	the business of Parent and its Subsidiaries (excluding HOST and its Subsidiaries) prior to the Closing. 

  

 54 

 If and to the extent any provision of this §8(b) is unenforceable for any reason, each of Parent and Seller hereby
agrees to make the maximum contribution to the payment and satisfaction of the Loss for which indemnification is provided for in this §8(b) which is permissible under applicable Laws. Notwithstanding anything contained herein, in no
event shall HOST be required to provide indemnification or contribution for any obligation of Seller under this §8(b); provided, that this sentence shall not apply as to any proceeds a director or officer would be entitled to
pursuant to and under HOST’s director and officers insurance. 
  

	 	(ii)	Indemnification Obligations of Buyer. After the Closing, Buyer shall indemnify Parent and Seller and their respective Affiliates (other than the Company) (collectively,
“Seller Indemnified Parties”) and hold them harmless against any Losses which Seller Indemnified Parties may suffer, sustain or become subject to, as a result of, in connection with, relating or incidental to or by virtue of:

  

	 	(A)	any facts or circumstances which constitute a breach of any representation or warranty of Buyer under this Agreement or in any certificate furnished by Buyer pursuant to this Agreement;
provided, that for purposes of this §8, the qualifications as to materiality and Material Adverse Effect contained in such representations and warranties shall not be given effect; 

  

	 	(B)	any nonfulfillment or breach of any covenant, agreement or other provision by Buyer under this Agreement; or 

  

	 	(C)	any Losses arising out of the period following the Closing Date pursuant to the Parent Guaranties. 

 If and to the extent any provision of this §8(b) is unenforceable for any reason, Buyer hereby agrees to make the maximum contribution to the payment and satisfaction of the Loss for which indemnification is provided for in this
§8(b) which is permissible under applicable Laws. 
  

	 	(iii)	Limitations on Indemnification. Notwithstanding the foregoing, none of Parent, Seller or Buyer shall be required to indemnify Buyer Indemnified Parties or Seller Indemnified Parties,
as the case may be, in respect of any Losses suffered by Buyer Indemnified Parties or Seller Indemnified Parties, as the case may be, solely as a result of any facts or circumstances which constitute a breach of any representation or warranty listed
in §3 or §4 (other than breaches of representations and warranties contained in §3(a)(i), §3(a)(ii), §3(a)(iii), §3(a)(iv), §3(b)(i), §3(b)(ii),
§3(b)(iii), §3(b)(iv), §4(a), §4(b), §4(d), §4(f), §4(k) and §4(z)) unless the aggregate of all Losses suffered by Buyer Indemnified Parties or Seller
Indemnified Parties, as the case may be, exceeds $1,000,000.00 (at which point all Losses in excess of such amount shall be payable) and in no event shall Seller or Buyer be required to make indemnification payments hereunder for Losses with respect
to any breach of representation or warranty in excess of $5,000,000.00 (the “Cap”). To the extent that Buyer, HOST or any of its Subsidiaries incur Losses, on an after-tax basis, as a result of Wage Claims, any such Losses shall be
paid 100% by Parent or Seller. 

  

	 	(iv)	 Manner of Payment. Any indemnification payments to be made to any Buyer Indemnified Parties pursuant to this §8(b) shall be effected solely by offsetting
such amount against any amounts held from time to time by the Escrow Agent in the escrow account established pursuant to the Indemnification Escrow 

  

 55 

	 	 
Agreement. The Parent and Seller shall have no liability to the Buyer Indemnified Parties for any amount which exceeds the Indemnification Escrow Amount. Any
indemnification owing to Seller Indemnified Parties pursuant to this §8(b) shall be effected by wire transfer of immediately available funds from Buyer to an account designated in writing by Seller Indemnified Party. Any indemnification
payments to be made hereunder shall be made within 15 days after the determination thereof. The Buyer and the Seller shall execute the necessary documents instructing the Escrow Agent to make the applicable payments. 

  

	 	(v)	Third Party Claims. Any Person making a claim for indemnification under this §8(b) (an “Indemnified Party”) shall notify the indemnifying party (an
“Indemnifying Party”) of the claim in writing promptly after receiving written notice of any action, lawsuit, proceeding, investigation or other claim. Such notice shall describe the claim, the amount thereof (if known and
quantifiable) and the basis thereof; provided, that the failure to so notify an Indemnifying Party shall not relieve the Indemnifying Party of its obligations hereunder unless and to the extent the Indemnifying Party shall be actually prejudiced by
such failure to so notify. If such claim is based on any action, lawsuit, proceeding, investigation or other claim by a third party (a “Proceeding”) any Indemnifying Party shall be entitled to participate in the defense of
such Proceeding giving rise to an Indemnified Party’s claim for indemnification at such Indemnifying Party’s expense, and at its option (subject to the limitations set forth below) shall be entitled to assume the defense thereof (including
as it relates to the posting of any bond or the making of any guarantee in connection with such defense) by appointing a reputable counsel reasonably acceptable to the Indemnified Party to be the lead counsel in connection with such defense;
provided, that prior to the Indemnifying Party assuming control of such defense, Indemnifying Party shall first demonstrate to the Indemnified Party in writing (A) the Indemnifying Party’s financial ability to provide full indemnification
to the Indemnified Party with respect to such Proceeding and (B) that, assuming the Indemnifying Party were to become obligated to indemnify the Indemnified Party hereunder in respect of the estimated amount of the Loss relating to such
Proceeding (determined in good faith based upon all of the information pertaining to the Proceeding available at such time), the Indemnifying Party (after giving effect to the any applicable limitations on indemnification in §8(iii))
would be responsible for more of the Loss than the Indemnified Party in the event such Proceeding were determined in an adverse manner to the Indemnifying Party and the Indemnified Party and (y) unconditionally agree in writing to be fully
responsible for all Losses relating to such Proceeding (provided that such Losses are subject to the Cap); and provided further, that: 

  

	 	(A)	the Indemnified Party shall be entitled to participate in the defense of such claim and to employ counsel of its choice for such purpose; provided, that the fees and expenses of such separate
counsel shall be borne by the Indemnified Party (other than any fees and expenses of such separate counsel (x) that are incurred prior to the date the Indemnifying Party effectively assumes control of such defense or (y) retained because a
conflict of interest exists between the Indemnifying Party and the Indemnified Party, each of which, notwithstanding the foregoing, shall be borne by the Indemnifying Party); 

  

 56 

	 	(B)	the Indemnified Party shall be entitled to assume control of such defense and shall pay the fees and expenses of counsel retained by the Indemnified Party if (A) the claim for
indemnification relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation (provided, that in such event (x) the Indemnified Party shall not enter into any settlement of a claim without the
prior written consent of the Indemnifying Party (which shall not be unreasonably withheld), (y) the Indemnifying Party shall be entitled to participate in the defense of such claim and to employ counsel of its choice for such purpose (provided,
that the fees and expenses of such separate counsel shall be borne by the Indemnifying Party), and (z) the Indemnifying Party shall be entitled to review the files and record relating to such defense upon request of the Indemnifying Party);
(B) the Indemnified Party reasonably believes an adverse determination with respect to the Proceeding giving rise to such claim for indemnification would be detrimental to or injure the Indemnified Party’s reputation or future business
prospects; (C) the claim seeks an injunction or equitable relief against the Indemnified Party; (D) a conflict of interest exists between the Indemnifying Party and the Indemnified Party; or (E) the Indemnifying Party failed or is
failing to vigorously prosecute or defend such claim; provided, that in the case of subclauses (D) and (E) above, the fees and expenses of such counsel shall be borne by the Indemnifying Party; and 

  

	 	(C)	if the Indemnifying Party shall control the defense of any such claim, the Indemnifying Party shall obtain the prior written consent of the Indemnified Party before entering into any
settlement of a Proceeding or ceasing to defend such Proceeding if, pursuant to or as a result of such settlement or cessation, injunctive or other equitable relief will be imposed against the Indemnified Party or if such settlement does not
expressly and unconditionally release the Indemnified Party from all Liabilities with respect to such claim, without prejudice. 

  

	 	(vi)	Waiver. Parent and Seller each hereby agree that it shall not make any claim for indemnification hereunder against HOST by reason of the fact that Parent or Seller or one or more of
their respective officers was a shareholder, director, officer, employee or agent of HOST or was serving at the request of HOST as a partner, trustee, director, officer, employee or agent of another entity (whether such claim is for judgments,
damages, penalties, fines, costs, amounts paid in settlement, losses, expenses or otherwise) with respect to any Proceeding brought by any of Buyer Indemnified Parties against Parent or Seller or any claim against Parent or Seller in connection with
this Agreement and Parent and Seller hereby acknowledge and agree that Parent and Seller shall have no claims or right to contribution or indemnity from HOST with respect to any amounts paid by Parent or Seller pursuant to this §8(b);
provided, that this waiver shall not apply as to any proceeds such director or officer would be entitled to pursuant to and under the HOST’s director and officer insurance. 

  

	 	(vii)	Final Purchase Price Adjustment. All indemnification payments under this §8 shall be deemed adjustments to the Final Purchase Price. 

  

 57 

	 	(viii)	Sole Remedy. Indemnification hereunder shall be the sole remedy for breach of any representation, warranty or covenant under this Agreement, other than any claim of fraud, willful
misconduct or intentional misrepresentation, and other than with respect to claims for specific performance. 

  

	 	§9.	Tax Matters. 

  

	 	(a)	Tax Returns. 

  

	 	(i)	For all taxable periods ending on or before the Closing Date, Parent and Seller shall cause HOST and its Subsidiaries to join in Parent’s consolidated federal (and applicable combined,
consolidated or unitary state and local) Income Tax Returns. Parent and Seller shall prepare and file, or cause to be prepared and filed, all such Tax Returns in a manner consistent with prior practice, except as required by a change in applicable
law. 

  

	 	(ii)	Except as provided in clause (i), Buyer shall prepare or cause to be prepared and file or cause to be filed all Tax Returns for HOST and its Subsidiaries that are due after the Closing Date.
Buyer shall permit Seller to review and comment on each such Tax Return to the extent that such Tax Return includes a Pre-Closing Period of HOST and its Subsidiaries and shall make such revisions to such Tax Returns as are reasonably requested by
Seller. For any such Tax Return that includes a Pre-Closing Period, Buyer shall be entitled to indemnification as provided in §8(b)(i)(D) of this Agreement. 

  

	 	(b)	Cooperation regarding Tax Matters. 

  

	 	(i)	Buyer, HOST and its Subsidiaries and Seller shall cooperate fully, as and to the extent reasonably requested by the other Party, in connection with the filing of Tax Returns and any audit,
litigation or other proceeding with respect to Taxes. Such cooperation shall include the retention and (upon the other Party’s request) the provision of records and information that are reasonably relevant to any such audit, litigation or other
proceeding and making employees available on a mutually convenient basis to provide additional information and explanation of any material provided hereunder. HOST and its Subsidiaries and Seller agree (A) to retain all books and records with
respect to Tax matters pertinent to HOST and its Subsidiaries relating to any taxable period beginning before the Closing Date until the expiration of the statute of limitations (and, to the extent notified by Buyer or Seller, any extensions
thereof) of the respective taxable periods, and to abide by all record retention agreements entered into with any taxing authority, and (B) to give the other Party reasonable written notice prior to transferring, destroying or discarding any
such books and records and, if the other Party so requests, HOST and its Subsidiaries or Seller, as the case may be, shall allow the other Party to take possession of such books and records. 

  

	 	(ii)	Buyer and Seller further agree, upon request, to use their best efforts to obtain any certificate or other document from any governmental authority or any other Person as may be necessary to
mitigate, reduce or eliminate any Tax that could be imposed (including, but not limited to, with respect to the transactions contemplated hereby). 

  

 58 

	 	(c)	Audits, Refunds. 

  

	 	(i)	Parent shall permit HOST and its Subsidiaries to participate in any audit of Parent’s consolidated federal, state or local Income Tax Returns to the extent that such audit relates to
HOST and its Subsidiaries. Neither Parent, Seller or any their affiliates shall settle any audit in a manner that would adversely affect HOST and its Subsidiaries after the Closing Date without the prior written consent of Buyer.

  

	 	(ii)	Any refunds that are received by Parent or Seller (or any of their affiliates other than HOST or its Subsidiaries), and any amounts credited against Tax to which Parent or Seller (or any of
their affiliates other than HOST or its Subsidiaries) becomes entitled, which refunds or amounts are attributable to a carryback of tax attributes of HOST and its Subsidiaries which are generated after the Closing Date, shall be for the account of
Buyer, and Seller shall pay over to Buyer any such refund or the amount of any such credit within five (5) days after receipt or entitlement thereto, provided that this sentence shall apply only to the extent that such losses or credits are
required by law to be carried back to a period prior to the Closing Date and such carryback cannot be waived. 

  

	 	(d)	Tax-Sharing Agreements. All Tax-sharing agreements or similar agreements with respect to or involving HOST and its Subsidiaries shall be terminated as of the day before the Closing
Date and, at and after the Closing Date, HOST and its Subsidiaries shall not be bound thereby or have any liability thereunder. 

  

	 	(e)	Certain Taxes and Fees. All transfer, documentary, sales, use, stamp, registration and other such Taxes, and all conveyance fees, recording charges and other fees and charges
(including any penalties and interest) incurred in connection with the consummation of the transactions contemplated by this Agreement shall be borne 50% by Buyer and 50% by Seller. 

  

	 	(f)	Returns for Periods Through the Closing Date. Parent will include the income of HOST and its Subsidiaries (including any deferred income triggered into income by Reg.
§1.1502-13 and Reg. §1.1502-14 and any excess loss accounts taken into income under Reg. §1.1502-19) on its consolidated federal Income Tax Return for all periods through the Closing Date and will pay any Taxes attributable to such
income. The Buyer will cause HOST and its Subsidiaries to furnish the Parent with such information as Parent may reasonably require in connection with the filing of such consolidated federal income Tax Return. 

  

	 	(g)	Section 338(h)(10) Election. The Buyer shall make, and Parent and Seller will join with the Buyer in making, an election under Section 338(h)(10) of the Code (and any
corresponding elections under state, local or foreign tax law) with respect to HOST and each of its Subsidiaries (collectively, the “Section 338(h)(10) Election”), and Parent or Seller will pay any Tax attributable to the
making of such election and will indemnify the Buyer, including Host and its Subsidiaries, pursuant to §8(b)(i)(D) for any Losses incurred as a consequence of Parent or Seller’s failure to pay such Tax. An Internal Revenue Service Form
8023 shall be completed and executed at the Closing and shall be filed by the parties as promptly as practicable thereafter. 

  

 59 

	 	(h)	Allocation of Purchase Price. Buyer, HOST and its Subsidiaries and Seller agree to allocate the Final Purchase Price and the liabilities of HOST and its Subsidiaries (and all other
relevant items) to the assets of HOST and its Subsidiaries in accordance with Sections 338 and 1060 of the Code and the Treasury Regulations thereunder and in a manner consistent with §9(h) of the Disclosure Schedule. No later than sixty
(60) days after the Closing Date, Buyer shall deliver to Seller an allocation of the Final Purchase Price and the liabilities of HOST and each of its Subsidiaries (and all other relevant items) to the assets of HOST and each of its Subsidiaries
as of the Closing Date determined in a manner consistent with §9(h) of the Disclosure Schedule (the “Purchase Price Allocation”). The Purchase Price Allocation shall be binding on all Parties for all purposes.
None of the Parties will take any position on any Tax Return, before any governmental entity charged with the collection of any Tax or in any judicial proceeding that is in any way inconsistent with the Purchase Price Allocation and will cooperate
with each other in timely preparing and will timely file IRS Form 8883 consistent with such allocation with the IRS. If any adjustment is subsequently made to the Final Purchase Price pursuant to the terms of this Agreement or other relevant items,
the Parties will cooperate with each other in timely preparing an amended Form 8883 reflecting such adjustment and will timely file such amended Form 8883 with the IRS. The Parties agree to file all Tax Returns and information reports in a manner
consistent with the allocation schedule set forth in §9(h) of the Disclosure Schedule. 

  

	 	(i)	Final Determination. Except as required by a Final Determination, neither Parent nor Seller shall treat any amount deemed paid for the assets of HOST and its Subsidiaries pursuant to
the Section 338(h)(10) Election as an actual or deemed payment to Buyer for the assumption or agreement to perform any obligation or liability, or otherwise shall claim a deduction in respect of any such actual or deemed payment, for any Tax
purpose. For this purpose, “Final Determination” shall mean a determination within the meaning of Section 1313 of the Code or any similar provision of state or local tax law. 

  

	 	§10.	Termination. 

  

	 	(a)	Termination of Agreement. Certain of the Parties may terminate this Agreement as provided below: 

  

	 	(i)	Buyer and Seller may terminate this Agreement by mutual written consent at any time prior to the Closing; 

  

	 	(ii)	Buyer may terminate this Agreement by giving written notice to Seller at any time prior to the Closing: 

  

	 	(A)	in the event Seller has breached any material representation, warranty, or covenant contained in this Agreement in any material respect, Buyer has notified Seller of the breach, and the
breach has continued without cure for a period of 30 days after the notice of breach; 

  

	 	(B)	if a Parent Election is made and Buyer elects to terminate this Agreement pursuant to §5(k)(iv)(B); 

  

	 	(C)	 if the Closing shall not have occurred on or before December 15, 2007 (as may be extended pursuant to the proviso set forth below, the “Termination
Date”) by reason of the failure of any condition precedent 

  

 60 

	 	 
under §7(a) hereof (unless the failure results primarily from Buyer itself breaching any representation, warranty, or covenant contained in this
Agreement); provided, that the Termination Date shall be extended to March 15, 2008 if a Buyer Election is made pursuant to §5(k)(iv)(A) or a Parent Election is made pursuant to §5(k)(iv)(B);

  

	 	(D)	if there shall be any Order of any Government Entity enjoining Parent, Seller or HOST from consummating the Stock Purchase and no Buyer Election or Parent Election has been made pursuant to
pursuant to §5(k)(iv)(B) of this Agreement; or 

  

	 	(E)	if a Buyer Election or Parent Election has been made, and less than a majority of outstanding shares of Parent Common Stock vote to approve the Stock Purchase. 

  

	 	(iii)	Seller may terminate this Agreement by giving written notice to Buyer at any time prior to the Closing: 

  

	 	(A)	in the event Buyer has breached any material representation, warranty, or covenant contained in this Agreement in any material respect, Seller has notified Buyer of the breach, and the breach
has continued without cure for a period of 30 days after the notice of breach; or 

  

	 	(B)	if the Closing shall not have occurred on or before the Termination Date by reason of the failure of any condition precedent under §7(b) hereof (unless the failure results
primarily from Seller breaching any representation, warranty, or covenant contained in this Agreement). 

  

	 	(b)	Effect of Termination. If any Party terminates this Agreement pursuant to §10(a) above, all rights and obligations of the Parties hereunder shall terminate without any
liability of any Party to any other Party; provided, however, that (i) the covenants and agreements set forth in §5(e), §11(h), §11(i) and §11(j) shall survive termination, and (ii) such
termination shall not constitute a waiver by any Party of any claim it may have for Losses caused by reason of, or relieve any Party from Liability for, any breach of any covenant (other than the covenant set forth in §8(b)(i)(A)) set forth in
this Agreement prior to the termination of this Agreement. Notwithstanding the foregoing or any other provision of this Agreement to the contrary, in the event this Agreement is terminated by the Buyer prior to the Closing as a result of any breach
of a representation or warranty made in this Agreement by the Parent or Seller, Buyer shall have no right to recover (whether by way of indemnification or otherwise) any Losses from the Parent or Seller on account of any breach of a representation
or warranty made in this Agreement by the Parent or Seller. 

  

	 	(c)	Fees. If this Agreement is terminated by Buyer pursuant to (i) §10(a)(ii)(C) due to any failure to receive Stockholder Approval (following a Buyer Election or Parent
Election) or the Lender Consent on or before the Termination Date, (ii) §10(a)(ii)(D), or (iii) §10(a)(ii)(E), then Parent shall pay promptly Buyer’s actual and reasonably documented out-of-pocket fees and
expenses (including reasonable legal fees and expenses) actually incurred by Buyer and its Affiliates on or prior to the termination of this Agreement in connection with the transactions contemplated by this Agreement, including any expenses
incurred in connection with any Stockholder Suit (“Buyer Expenses”).

  

 61 

	 	§11.	Miscellaneous. 

  

	 	(a)	Press Releases and Public Announcements. No Party shall issue any press release or make any public announcement relating to the subject matter of this Agreement prior to the Closing
without the prior written approval of Buyer and Seller; provided, however, that any Party may make any public disclosure it believes in good faith is required by applicable law or any listing or trading agreement concerning its
publicly traded securities (in which case the disclosing Party will use its reasonable efforts to advise the other Parties prior to making the disclosure). 

  

	 	(b)	No Third-Party Beneficiaries. This Agreement shall not confer any rights or remedies upon any Person other than the Parties and their respective successors and permitted assigns.

  

	 	(c)	Entire Agreement. This Agreement (including the documents referred to herein) constitutes the entire agreement among the Parties and supersedes any prior understandings, agreements, or
representations by or among the Parties, written or oral, to the extent they relate in any way to the subject matter hereof. 

  

	 	(d)	Succession and Assignment. This Agreement shall be binding upon and inure to the benefit of the Parties named herein and their respective successors and permitted assigns. No Party may
assign either this Agreement or any of its rights, interests, or obligations hereunder without the prior written approval of Buyer and Seller; provided, however, that (i) Buyer may assign any or all of its rights and interests
hereunder to one or more of its Affiliates, any Person which provides financing to HOST, Buyer or any of their respective Affiliates, and any subsequent purchaser of all or a significant portion of Buyer, HOST or any of their respective Affiliates
(whether by merger, consolidation, sale of stock, sale of assets or otherwise), (ii) Buyer may designate one or more of its Affiliates to perform its obligations hereunder (in any or all of which cases Buyer nonetheless shall remain responsible
for the performance of all of its obligations hereunder), and (iii) Parent and Seller may assign any and all of its rights and interests hereunder (or under any related document delivered in connection herewith) to any Person which provides
financing to Parent or Seller or any of their respective Affiliates. 

  

	 	(e)	Counterparts. This Agreement may be executed in one or more counterparts (including by means of facsimile), each of which shall be deemed an original but all of which together will
constitute one and the same instrument. 

  

	 	(f)	Headings. The section headings contained in this Agreement are inserted for convenience only and shall not affect in any way the meaning or interpretation of this Agreement.

  

	 	(g)	Notices. All notices, requests, demands, claims, and other communications hereunder shall be in writing. Any notice, request, demand, claim, or other communication hereunder shall be
deemed duly given (i) when delivered personally to the recipient, (ii) 1 business day after being sent to the recipient by reputable overnight courier service (charges prepaid), (iii) 1 business day after being sent to the recipient
by facsimile transmission or electronic mail, or (iv) 4 business days after being mailed to the recipient by certified or registered mail, return receipt requested and postage prepaid, and addressed to the intended recipient as set forth below:

  

 62 

					
	If to Parent or Seller:	 	Triple Crown Media, Inc.
		 	4370 Peachtree Road NE
		 	Atlanta, GA 30319-3023
		 	Facsimile:	 	(404) 261-9607
		 	Attn:	 	Robert S. Prather, Jr.
		
		 	B.R. Holding, Inc.
		 	546 E. Main Street
		 	Lexington, KY 40508
		 	Facsimile:	 	(859) 226-4308
		 	Attention:	 	Tom Stultz
	
	Copy (which shall not constitute notice to Seller) to:
		
		 	Dinsmore & Shohl, LLP
		 	250 W. Main Street, Suite 1400
		 	Lexington, KY 40507
		 	Facsimile:	 	859-425-1099
		 	Attention:	 	Joseph H. Terry
		
	If to Buyer:	 	IMG Worldwide, Inc.
		 	IMG Center
		 	1360 East 9th Street, Suite 100
		 	Cleveland, OH 44114
		 	Facsimile:	 	(216) 522-1145
		 	Attention:	 	John Raleigh
	
	Copies (which shall not constitute notice to Buyer) to:
		
		 	Forstmann Little & Co.
		 	767 Fifth Avenue - 44th Floor
		 	New York, NY 10153
		 	Facsimile:	 	(212) 759-9059
		 	Attention:	 	Chris Davis
			
	and:	 		 	
		 	Kirkland & Ellis LLP
		 	153 East 53rd Street
		 	New York, NY 10022
		 	Facsimile:	 	(212) 446 6460
		 	Attention:	 	Stephen Fraidin
		 		 	Kimberly P. Taylor

 Any Party may change the address to which notices, requests, demands, claims, and other communications hereunder are to be
delivered by giving the other Parties notice in the manner herein set forth. 
  

	 	(h)	Governing Law. This Agreement shall be governed by and construed in accordance with the domestic laws of the State of Delaware without giving effect to any choice or conflict of law
provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware 

  

 63 

	 	(i)	WAIVER OF JURY TRIAL. EACH OF THE PARTIES WAIVES ANY RIGHT IT MAY HAVE TO TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED ON, ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS
AGREEMENT OR ANY COURSE OF CONDUCT, COURSE OF DEALING, VERBAL OR WRITTEN STATEMENT OR ACTION OF ANY PARTY HERETO. 

  

	 	(j)	Jurisdiction. Each of the Parties submits to the jurisdiction of any state or federal court sitting in New Castle County in the State of Delaware and the United States District Court
of Delaware in any action or proceeding arising out of or relating to this Agreement and agrees that all claims in respect of the action or proceeding may be heard and determined in any such court and hereby expressly submits to the personal
jurisdiction and venue of such court for the purposes hereof and expressly waives any claim of improper venue and any claim that such courts are an inconvenient forum. Each of the Parties hereby irrevocably consent to the service of process of any
of the aforementioned courts in any such suit, action or proceeding by the mailing of copies thereof by registered or certified mail, postage prepaid, to its address set forth in §11(g), such service to become effective 10 days after
such mailing. 

  

	 	(k)	Specific Performance. The Parties agree that, if any of the provisions of this Agreement or any other document contemplated by this Agreement were not performed in accordance with
their specific terms or were otherwise breached, irreparable damage would occur, no adequate remedy at Law would exist and damages would be difficult to determine, and, therefore, the Parties shall be entitled to specific performance (without
posting a bond or other security) of the terms hereof and thereof, in addition to any other remedy at Law or in equity (subject to the limitations set forth in this Agreement). 

  

	 	(l)	Amendments and Waivers. No amendment of any provision of this Agreement shall be valid unless the same shall be in writing and signed by Buyer and Seller. No waiver by any Party of any
provision of this Agreement or any default, misrepresentation, or breach of warranty or covenant hereunder, whether intentional or not, shall be valid unless the same shall be in writing and signed by the Party making such waiver nor shall such
waiver be deemed to extend to any prior or subsequent default, misrepresentation, or breach of warranty or covenant hereunder or affect in any way any rights arising by virtue of any prior or subsequent such occurrence. 

  

	 	(m)	Severability. Any term or provision of this Agreement that is invalid or unenforceable in any situation in any jurisdiction shall not affect the validity or enforceability of the
remaining terms and provisions hereof or the validity or enforceability of the offending term or provision in any other situation or in any other jurisdiction. 

  

	 	(n)	Expenses. Except as expressly set forth in this Agreement, each of Buyer, Parent, Seller, HOST, and any of HOST’s Subsidiaries will bear its own costs and expenses (including
legal fees and expenses) incurred in connection with this Agreement and the transactions contemplated hereby; provided, that (i) Parent and Seller at Closing will also bear the cost and expenses of HOST and its Subsidiaries (including all of
their legal fees and expenses and all broker’s fees and expenses, including those of Allen & Company LLC) in connection with this Agreement, the sale process and the transactions contemplated hereby in the event that the transactions
contemplated by this Agreement are consummated (“Seller Expenses”), and (ii) that following the Closing, HOST shall pay all such costs and expenses incurred by Buyer. 

  

 64 

	 	(o)	Construction. 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 of the provisions of this Agreement. Any reference to any
federal, state, local, or foreign statute or law shall be deemed also to refer to all rules and regulations promulgated thereunder, unless the context requires otherwise. The word “including” shall mean including without limitation.

  

	 	(p)	Incorporation of Exhibits and Schedules. The Exhibits and Schedules identified in this Agreement are incorporated herein by reference and made a part hereof. 

 

	 	(q)	Governing Language. This Agreement has been negotiated and executed by the Parties in English. In the event any translation of this Agreement is prepared for convenience or any other
purpose, the provisions of the English version shall prevail. 

  

 65 

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

			
	IMG WORLDWIDE, INC.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	B.R. HOLDING, INC.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	TRIPLE CROWN MEDIA, INC.
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  

 66

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