Document:

EX-10.4

 

EXHIBIT 10.4

KING PHARMACEUTICALS, INC.

INCENTIVE PLAN

LONG-TERM PERFORMANCE UNIT AWARD CERTIFICATE

(THREE YEAR PERFORMANCE CYCLE)

     This Certificate, when executed by a duly authorized officer of King Pharmaceuticals, Inc.
(the “Company”), evidences the grant by the Company to the Participant named below of a Long-Term
Performance Unit Award.

	 	 	 	 	 
	1.

	 	Name and Address of Participant:	 	 
	 

	 	 	 	 
	 
	 

	 	 	 	 
	 
	 

	 	 	 	 
	 
	 	 	 	 
	2.

	 	Date of Grant:	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	3.

	 	Type of Grant:
	 	Long-Term Performance Unit Award
	 
	 	 	 	 
	4.

	 	Target Number of	 	 
	 

	 	Long-Term Performance Units:	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	5.

	 	Performance Cycle:
	 	The Performance Cycle shall being on
___, 200___and end on ___, 200_.
	 
	 	 	 	 
	6.

	 	Vesting Date:
	 	___, 200___, except as otherwise
set forth in the Long-Term Performance
Unit Award Agreement.
	 
	 	 	 	 
	7.

	 	Date of Payment:
	 	___ ___, 200___, except as otherwise
set forth in the Long-Term Performance
Unit Award Agreement.
	 
	 	 	 	 
	8.

	 	Performance Goals:
	 	The number of Long-Term Performance Units earned by the Participant
shall be determined in accordance with the following grid. If the actual performance results fall
between two of the categories listed below, straight-line interpolation will be used to determine
the amount earned. Total Shareholder Return shall be calculated in the manner set forth in Exhibit
1 hereto and compared to the peer group identified in Exhibit 1.

 

	 	 	 
	King Pharmaceuticals, Inc. Percentile in 

Total Shareholder Return vs. companies 

included in the Dow 

Jones U.S. Pharmaceuticals Index 

During the Performance Cycle
	 	Payout—Percent of Target

Long-Term Performance

Units Granted

	 	 	 
	70th percentile +
	 	200%
	70th percentile
	 	200%
	50th percentile
	 	100%
	30th percentile
	 	50%
	<30th percentile
	 	0% (no payout)

 

 

     This Long-Term Performance Unit Award is subject to and governed by the terms of this
Long-Term Performance Unit Award Certificate, the Long-Term Performance Unit Award Agreement
attached hereto and incorporated by reference herein and the Company’s Incentive Plan.

	 	 	 	 	 
	 	KING PHARMACEUTICALS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	____________________________ 	 
	 	 	Title:  	_____________________________ 	 

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LONG-TERM PERFORMANCE UNIT AWARD AGREEMENT

(THREE YEAR PERFORMANCE CYCLE)

PURSUANT TO THE KING PHARMACEUTICALS, INC.

INCENTIVE PLAN

     This Long-Term Performance Unit Award Agreement (the “Agreement”) is made as of the date set
forth on the Long-Term Performance Unit Award Certificate attached hereto (the “Grant Date”) by
King Pharmaceuticals, Inc. (the “Company”) and the individual identified on the Long-Term
Performance Unit Award Certificate (the “Participant”) to grant a Long-Term Performance Unit Award
by the Company to the Participant on the terms and conditions set forth below:

     1. LONG-TERM PERFORMANCE UNIT AWARD.

     As of the Grant Date, subject to the terms, conditions and restrictions set forth herein, the
Company grants and issues to the Participant a Long-Term Performance Unit Award for such number of
Long-Term Performance Units as indicated on the Long-Term Performance Unit Award Certificate (the
“Long-Term Performance Units”) which may be earned during the Performance Cycle as indicated on the
Long-Term Performance Unit Award Certificate if the Performance Goals set forth on the Long-Term
Performance Unit Award Certificate are met.

     2. GOVERNING PLAN.

     The Long-Term Performance Unit Award shall be granted pursuant to and (except as specifically
set forth herein) subject in all respects to the applicable provisions of the King Pharmaceuticals,
Inc. Incentive Plan (“Plan”), which are incorporated herein by reference. Terms not otherwise
defined in this Agreement have the meanings ascribed to them in the Plan.

     3. CALCULATION OF EARNED LONG-TERM PERFORMANCE UNITS.

     The Committee, in its sole discretion, will determine the number of Long-Term
Performance Units earned by the Participant at the end of the Performance Cycle based on the
attainment of the Performance Goals as set forth on the Long-Term Performance Unit Award
Certificate. The number of shares of Common Stock ultimately earned and paid, if any, for such
Long-Term Performance Units will be determined based on the number of Long-Term Performance Units
actually earned and vested at the end of the Performance Cycle as set forth in Section 4 below,
with one share of Common Stock granted to the Participant for every earned and vested Long-Term
Performance Unit.

     4. VESTING OF LONG-TERM PERFORMANCE UNITS. 

     Long-Term Performance Units earned will vest as set forth below:

          (a) Provided the Participant has continued employment through the end of the Performance
Cycle, one hundred percent (100%) of the earned Long-Term Performance Units will vest on the last
day of the Performance Cycle as set forth in the Long-Term Performance Unit Award Certificate; or

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          (b) In the event of the Participant’s Separation from Service by reason of death, Disability,
Approved Retirement, Cause, resignation or any other reason during the Performance Cycle, the
vesting, forfeiture and payment of Long-Term Performance Units shall be determined according to
Section 9.2 and Section 13.5 of the Plan, which requires that all payments comply with Section 409A
of the Code.

     5. FORM AND TIMING OF PAYMENT. 

     All payments of vested Long-Term Performance Units pursuant to this Agreement will
be made in the form of shares of Common Stock. Except as otherwise provided in this Agreement,
payment will be made by the Date of Payment set forth in the Long-Term Performance Unit Award
Certificate; provided, however, if, the Participant is a “specified employee” (as defined under
Section 409A of the Code) then such payment, if required by Section 409A of the Code, will be made
six months after the date of such Separation from Service.

     6. VOTING AND DIVIDEND RIGHTS.

     Except as specifically set forth in this Agreement, the Participant shall not have
voting or any other rights as a shareholder of the Company with respect to Long-Term Performance
Units. The Participant will obtain full voting and other rights as a shareholder of the Company
upon the payment of the Long-Term Performance Units in shares of Common Stock as provided in
Section 5 above.

     7. ADDITIONAL AGREEMENTS.

          (a) Tax Matters. The Long-Term Performance Units granted are subject to
appropriate income tax withholding and other deductions required by applicable laws or regulations,
and Participant and his successors will be responsible for all income and other taxes payable as a
result of a payout under the Long-Term Performance Units or otherwise in connection with this
Agreement. The Company will have the power and the right to deduct or withhold, or require the
Participant or the Participant’s beneficiary to remit to the Company, the minimum necessary amount
to satisfy federal, state, and local taxes, domestic or foreign, required by law or regulation to
be withheld with respect to any taxable event arising as a result of this Agreement. The Company
is not required to provide any gross-up or other tax assistance. With respect to withholding
required upon any taxable event arising as a result of the Long-Term Performance Units granted
hereunder, the Company, unless notified otherwise by the Participant in writing within thirty (30)
days prior to the taxable event, will satisfy the tax withholding requirement by withholding shares
of Common Stock having a Fair Market Value, equal to the total minimum statutory tax required to be
withheld on the transaction. The Participant agrees to pay to the Company and/or its Subsidiaries
any amount of tax that the Company, its and/or its Subsidiaries may be required to withhold as a
result of the Participant’s participation in the Plan that cannot be satisfied by the means
previously described.

          (b) Independent Advice; No Representations. Participant acknowledges that (i) (s)he
was free to use professional advisors of her/his choice in connection with this Agreement, has
received advice from her/his professional advisors in connection with this Agreement, understands
its meaning and import, and is entering into this Agreement freely and

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without coercion or duress; and (ii) (s)he has not received and is not relying upon any advice,
representations or assurances made by or on behalf of the Company or any Company affiliate or any
employee of or counsel to the Company regarding any tax or other effects or implications of the
Long-Term Performance Units or other matters contemplated by this Agreement.

          (c) Value of Long-Term Performance Units. No representations or promises are made to
Participant regarding the value of the Long-Term Performance Units or Company’s business prospects.
Participant acknowledges that information about investment in Company stock, including financial
information and related risks, is contained in Company’s SEC reports which have been made available
for Participant’s review at any time before Participant’s acceptance of this Agreement. Further,
Participant understands that the Company does not provide tax or investment advice and acknowledges
Company’s recommendation that Participant consult with independent specialists regarding such
matters. Sale or other transfer of the Company stock may be limited by and subject to Company
policies as well as applicable securities laws and regulations.

          (d) Adjustment in Capitalization. In the event of an Adjustment Event that is a
merger, consolidation, reorganization, liquidation, dissolution or other similar transaction, then
the Award pursuant to Section 1 of this Agreement shall be deemed to pertain to the securities and
other property, including cash, to which a holder of the number of Long-Term Performance Units
would have been entitled to receive in connection with such Adjustment Event.

          (e) Change of Control. Upon a Change of Control, vesting, forfeiture and payment
shall occur with respect to the Long Term Performance Units in accordance with Article 11 of the
Plan.

          (f) No Right to Continued Employment. This Agreement does not confer upon Participant
any right to continue as an employee of the Company or its subsidiary or to any particular
employment tenure, nor does it limit in any way the right of Company or its subsidiary to terminate
Participant’s services to the Company or its subsidiary at any time, with or without cause.

          (g) Nontransferability. Long-Term Performance Units awarded pursuant to this
Agreement may not be sold, transferred, pledged, assigned or otherwise alienated or hypothecated (a
“Transfer”) other than by will or by the laws of descent and distribution, except as provided in
the Plan. If any Transfer, whether voluntary or involuntary, of Long-Term Performance Units is
made, or if any attachment, execution, garnishment, or lien will be issued against or placed upon
the Long-Term Performance Units, the Participant’s right to such Long-Term Performance Units will
be immediately forfeited to the Company, and this Agreement will lapse.

     8. GENERAL.

          (a) Successors and Assigns. This Agreement is personal in its nature and
Participant may not assign or transfer his/her rights under this Agreement.

          (b) Notices. Any notices, demands or other communications required or desired to be
given by any party shall be in writing and shall be validly given to another party if

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served either personally or if deposited in the United States mail, certified or registered,
postage prepaid, return receipt requested. If such notice, demand or other communication shall be
served personally, service shall be conclusively deemed made at the time of such personal service.
If such notice, demand or other communication is given by mail, such notice shall be conclusively
deemed given forty-eight (48) hours after the deposit thereof in the United States mail addressed
to the party to whom such notice, demand or other communication is to be given as hereinafter set
forth:

	 	 	 
	To the Company:
	 	King Pharmaceuticals, Inc.

	 	 	501 Fifth Street

	 	 	Bristol, TN 37620

	 	 	Attention: _________

     To Participant: At his/her address of record as maintained in the Company’s files.

Any party may change its address for the purpose of receiving notices, demands and other
communications by providing written notice to the other party in the manner described in this
paragraph.

          (c) Entire Agreement. Except as this Agreement may expressly provide otherwise, this
Agreement, the Long-Term Performance Unit Award Certificate and the Plan constitute the entire
agreement and understanding of the Company and Participant with respect to the subject matter
hereof and thereof, and supersede all prior written or verbal agreements and understandings between
Participant and the Company relating to such subject matter. This Agreement may only be amended by
written instrument signed by Participant and an authorized officer of the Company.

          (d) Governing Law; Severability. This Agreement will be construed and interpreted
under the laws of the State of Tennessee applicable to agreements executed and to be wholly
performed within the State of Tennessee. If any provision of this Agreement as applied to any
party or to any circumstance is adjudged by a court of competent jurisdiction to be void or
unenforceable for any reason, the invalidity of that provision shall in no way affect (to the
maximum extent permissible by law) the application of such provision under circumstances different
from those adjudicated by the court, the application of any other provision of this Agreement, or
the enforceability or invalidity of this Agreement as a whole. If any provision of this Agreement
becomes or is deemed invalid, illegal or unenforceable in any jurisdiction by reason of the scope,
extent or duration of its coverage, then such provision shall be deemed amended to the extent
necessary to conform to applicable law so as to be valid and enforceable or, if such provision
cannot be so amended without materially altering the intention of the parties, then such provision
will be stricken and the remainder of this Agreement shall continue in full force and effect.

          (e) Remedies. All rights and remedies provided pursuant to this Agreement or by law
shall be cumulative, and no such right or remedy shall be exclusive of any other. A party may
pursue any one or more rights or remedies hereunder or may seek damages or specific performance in
the event of another party’s breach hereunder or may pursue any other remedy by law or equity,
whether or not stated in this Agreement.

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          (f) Interpretation. Headings herein are for convenience of reference only, do not
constitute a part of this Agreement, and will not affect the meaning or interpretation of this
Agreement. References herein to Sections are references to the referenced Section hereof, unless
otherwise specified.

          (g) Waivers; Amendments. The waiver by either party of a breach of any provision of
this Agreement shall not operate or be construed as a waiver of any later breach of that provision.
This Agreement may be modified only by written agreement signed by Participant and the Company.

5EX-4.8 Amended and Restated Warrant Agreement

 

Exhibit 4.8

AMENDED AND RESTATED WARRANT AGREEMENT

     This Amended and Restated Warrant Agreement (this “Agreement”) is made as of December
21, 2006, by and between Freedom Acquisition Holdings, Inc., a Delaware corporation, with offices
at 1114 Avenue of the Americas, 41st Floor, New York, New York 10036 (the
“Company”) and Continental Stock Transfer & Trust Company, a New York corporation, with
offices at 17 Battery Place, New York, New York 10004 (the “Warrant Agent”).

     WHEREAS, the Company and the Warrant Agent entered into that certain Warrant Agreement dated
as of July 20, 2006, as amended on each of November 9, 2006 and November 30, 2006 (as amended, the
“Original Agreement”);

     WHEREAS, On July 20, 2006, the Company engaged in a private offering of units
(“Units”), each consisting of one share of common stock, par value $0.0001 per share, of
the Company (“Common Stock”) and one warrant to purchase one share of Common Stock for
$6.00, subject to adjustment as described in the Original Agreement, to Berggruen Holdings North
America Ltd. (“Berggruen Holdings”), Marlin Equities II, LLC (“Marlin Equities”),
Herbert A. Morey, William P. Lauder and James N. Hauslein (each a “Founder” and
collectively, the “Founders”) and initially determined to issue and deliver an aggregate of
9,375,000 warrants (the “Founders’ Warrants”) to be included in units issued to the
Founders; and

     WHEREAS, the Company effected a (i) a four-fifths (4/5) reverse stock split on November 29,
2006, (ii) a 1-for-3 stock dividend on December 14, 2006 and (iii) a 1-for-5 stock dividend on the
date hereof (collectively, the “Stock Split and Stock Dividends”), the effect of which was
to increase or decrease, as the case may be, the number of Units and Common Stock outstanding prior
to the Company’s Initial Public Offering (as defined below) in order for the Founders to maintain
20% of the outstanding equity on a post-Initial Public Offering basis;

     WHEREAS, the Company and the Warrant Agent desire to amend and restate the Warrant Agreement
to clarify that the number of Founders’ Warrants, after giving effect to the Stock Split and Stock
Dividends, decreased and increased accordingly and that 12,000,003 Founders’ Warrants are
outstanding on the date hereof on the terms and conditions set forth herein;

     WHEREAS, the Company may engage in an initial public offering (“Initial Public
Offering”) of Units and, in connection therewith, may issue and deliver up to 48,000,000
underlying warrants to the public investors (“Public Warrants”), each of such Public
Warrants evidencing the right of the holder thereof to purchase one share of Common Stock for
$7.50, subject to adjustment as described herein; and

     WHEREAS, the Company has filed with the Securities and Exchange Commission a Registration
Statement on Form S-1 (“Registration Statement”) for the registration under the Securities
Act of 1933, as amended (“Act”) of, among other securities, the Units, the Common Stock and
the Public Warrants; and

     WHEREAS, if the Company consummates an Initial Public Offering, the Company will
contemporaneously consummate a private offering of Units to Berggruen Holdings and Marlin Equities
(each a “Sponsor” and collectively, the “Sponsors”) and, in connection therewith,
will sell an aggregate of (i) 4,500,000 additional warrants for $1.00 per warrant, each evidencing
the right of the holder thereof to purchase one share of the Company’s Common Stock for $7.50,
subject to adjustment as described herein (the “Sponsors’ Warrants”) and (iii) 5,000,000
co-investment warrants for $1.00 per warrant, each evidencing the right of the holder thereof to
purchase one share of the Company’s Common Stock for $7.50, subject to adjustment as described
herein (the “Co-Investment Warrants” and together with the Founders’ Warrants and the
Sponsors’ Warrants, the “Private Warrants”); and

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     WHEREAS, if the Company consummates an Initial Public Offering, the Sponsors would pay for,
and the Company would issue and deliver, the Sponsors’ Warrants immediately prior to the
consummation of the Initial Public Offering; and

     WHEREAS, if the Company consummates an Initial Public Offering and consummates a merger,
capital stock exchange, asset acquisition or other similar business combination (“Business
Combination”), the Sponsors would pay for, and the Company would issue and deliver, the
Co-Investment Warrants immediately prior to the consummation of the Business Combination; and

     WHEREAS, the Public Warrants and the Private Warrants are sometimes collectively referred to
herein as the “Warrants”; and

     WHEREAS, the Company desires the Warrant Agent to act on behalf of the Company, and the
Warrant Agent is willing to so act, in connection with the issuance, registration, transfer,
exchange, redemption and exercise of the Warrants; and

     WHEREAS, the Company desires to provide for the form and provisions of the Warrants, the terms
upon which they shall be issued and exercised, and the respective rights, limitation of rights, and
immunities of the Company, the Warrant Agent, and the holders of the Warrants; and

     WHEREAS, all acts and things have been done and performed which are necessary to make the
Warrants, when executed on behalf of the Company and countersigned by or on behalf of the Warrant
Agent, as provided herein, the valid, binding and legal obligations of the Company, and to
authorize the execution and delivery of this Agreement.

     NOW, THEREFORE, in consideration of the mutual agreements herein contained, the parties hereto
agree as follows:

     1. Appointment of Warrant Agent. The Company hereby appoints the Warrant Agent to act
as agent for the Company for the Warrants, and the Warrant Agent hereby accepts such appointment
and agrees to perform the same in accordance with the terms and conditions set forth in this
Agreement.

     2. Warrants.

          2.1 Form of Warrant. Each (i) Public Warrant shall be issued in registered form only
in substantially the form of Exhibit A hereto and (ii) Private Warrant shall be issued in
registered form only in substantially the form of Exhibit B hereto, in each case, the
provisions of which are incorporated herein and shall be signed by, or bear the facsimile signature
of, the Chairman of the board of directors (the “Board”) or Chief Executive Officer and
Treasurer, Secretary or Assistant Secretary of the Company. In the event the person whose
facsimile signature has been placed upon any Warrant shall have ceased to serve in the capacity in
which such person signed the Warrant before such Warrant is issued, it may be issued with the same
effect as if he or she had not ceased to be such at the date of issuance.

          2.2 Effect of Countersignature. Unless and until countersigned by the Warrant Agent
pursuant to this Agreement, a Warrant shall be invalid and of no effect and may not be exercised by
the holder thereof.

          2.3 Registration. 

               2.3.1 Warrant Register. The Warrant Agent shall maintain books (the “Warrant
Register”) for the registration of original issuance and the registration of transfer of the

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Warrants. Upon the initial issuance of the Warrants, the Warrant Agent shall issue and
register the Warrants in the names of the respective holders thereof in such denominations and
otherwise in accordance with instructions delivered to the Warrant Agent by the Company.

               2.3.2 Registered Holder. Prior to due presentment for registration of transfer of any
Warrant, the Company and the Warrant Agent may deem and treat the person in whose name such Warrant
shall be registered upon the Warrant Register (“registered holder”), as the absolute owner
of such Warrant and of each Warrant represented thereby (notwithstanding any notation of ownership
or other writing on the Warrant Certificate made by anyone other than the Company or the Warrant
Agent), for the purpose of any exercise thereof, and for all other purposes, and neither the
Company nor the Warrant Agent shall be affected by any notice to the contrary.

          2.4 Detachability of Warrants. The securities comprising the Units will not be
separately transferable until five business days (or as soon as practicable thereafter) following
the earlier to occur of expiration of the underwriters’ over-allotment option or their exercise in
full, subject to the Company having filed a Current Report on Form 8-K, which includes an audited
balance sheet reflecting the receipt by the Company of the gross proceeds of the Initial Public
Offering including the proceeds received by the Company from the exercise of the underwriters’
over-allotment option, and having issued a press release announcing when such separate trading will
begin.

          2.5 Public Warrants and Private Warrants. The Private Warrants shall have the same
terms and be in the same form as the Public Warrants, except that (i) the Founders’ Warrants will
become exercisable after consummation of a Business Combination if and when the last sales price of
the Common Stock exceeds $14.25 per share (the “Floor Price”) for any 20 trading days
within a 30 trading day period beginning 90 days after such Business Combination and (ii) (A) the
Founders’ Warrants will be non-redeemable so long as they are held by the Founders or their
Permitted Transferees (as defined below) and (B) the Sponsors’ Warrants will be non-redeemable so
long as they are held by the Sponsors or their Permitted Transferees. “Permitted
Transferees” shall mean any of the Company’s officers, directors or employees, or other persons
or entities associated with such Founder or Sponsor (as the case may be) who agree to become
subject to the same transfer restrictions as such Founder or Sponsor upon receiving such Private
Warrants.

     3. Terms and Exercise of Warrants.

          3.1 Warrant Price. Each Warrant shall, when countersigned by the Warrant Agent,
entitle the registered holder thereof, subject to the provisions of such Warrant and of this
Warrant Agreement, to purchase from the Company the number of shares of Common Stock stated
therein, at the price of $7.50 per whole share, subject to the adjustments provided in Section
4 hereof and in the last sentence of this Section 3.1. The term “Warrant
Price” as used in this Warrant Agreement refers to the price per share at which Common Stock
may be purchased at the time a Warrant is exercised. The Company in its sole discretion may lower
the Warrant Price at any time prior to the Expiration Date for a period of not less than 10
business days; provided, however, that any such reduction shall be identical in percentage terms
among all of the Warrants.

          3.2 Duration of Warrants. A Warrant may be exercised only during the period (the
“Exercise Period”) commencing on the later of the consummation by the Company of a Business
Combination or the first anniversary of the Initial Public Offering consummation date, and
terminating at 5:00 p.m., New York City time on the earlier to occur of (i) the fifth anniversary
of the Initial Public Offering consummation date; or (ii) the date fixed for redemption of the
Warrants as provided in Section 6 of this Agreement (“Expiration Date”); provided,
however that, (i) the Warrants shall not be exercisable and the Company shall not be obligated to
issue Common Stock unless, at the time a holder seeks to

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exercise the Warrants, a prospectus relating to Common Stock issuable upon exercise of the
Warrants is current and the Common Stock has been registered or qualified or deemed to be exempt
under the securities laws of the state of residence of the holder of the Warrants and (ii) in
addition to the exercise conditions set forth in this Section 3.2, the Founders’ Warrants
may only become exercisable following the Company’s completion of a Business Combination if and
when the last sales price of the Common Stock exceeds the Floor Price for any 20 trading days
within a 30 trading day period beginning 90 days after such Business Combination. Except with
respect to the right to receive the Redemption Price (as set forth in Section 6 hereunder),
each Warrant not exercised on or before the Expiration Date shall become void, and all rights
thereunder and all rights in respect thereof under this Agreement shall cease at the close of
business on the Expiration Date.

          3.3 Exercise of Warrants.

               3.3.1 Payment. Subject to the provisions of the Warrant and this Warrant Agreement, a
Warrant, when countersigned by the Warrant Agent, may be exercised by the registered holder thereof
by surrendering it, at the office of the Warrant Agent, or at the office of its successor as
Warrant Agent, in the Borough of Manhattan, City and State of New York, with the subscription form,
as set forth in the Warrant, duly executed, and by paying in full, in lawful money of the United
States, in cash, good certified check or good bank draft payable to the order of the Company, the
Warrant Price for each full share of Common Stock as to which the Warrant is exercised and any and
all applicable taxes due in connection with the exercise of the Warrant, the exchange of the
Warrant for the Common Stock, and the issuance of the Common Stock.

               3.3.2 Issuance of Certificates. As soon as practicable after the exercise of any
Warrant and the clearance of the funds in payment of the Warrant Price, the Company shall issue to
the registered holder of such Warrant a certificate or certificates for the number of full shares
of Common Stock to which he is entitled, registered in such name or names as may be directed by
him, and if such Warrant shall not have been exercised in full, a new countersigned Warrant for the
number of shares as to which such Warrant shall not have been exercised. Subject to Section
7.4 of this Agreement, and notwithstanding the foregoing, the Company shall not be obligated to
deliver any securities pursuant to the exercise of a Warrant unless (i) a registration statement
under the Act with respect to the Common Stock is effective or (ii) in the opinion of counsel to
the Company, the exercise of the Warrants is exempt from the registration requirements of the Act
and such securities are qualified for sale or exempt from qualification under applicable securities
laws of the states or other jurisdictions in which the registered holders reside. Warrants may not
be exercised by, or securities issued to, any registered holder in any state in which such exercise
would be unlawful.

               3.3.3 Valid Issuance. All shares of Common Stock issued upon the proper exercise of a
Warrant in conformity with this Agreement shall be validly issued, fully paid and nonassessable.

               3.3.4 Date of Issuance. Each person in whose name any such certificate for shares of
Common Stock is issued shall for all purposes be deemed to have become the holder of record of such
shares on the date on which the Warrant was surrendered and payment of the Warrant Price was made,
irrespective of the date of delivery of such certificate, except that, if the date of such
surrender and payment is a date when the stock transfer books of the Company are closed, such
person shall be deemed to have become the holder of such shares at the close of business on the
next succeeding date on which the stock transfer books are open.

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          3.4 No Cash Settlement. Notwithstanding anything to the contrary contained in this
Agreement, under no circumstances will the Company be required to net cash settle the exercise of
the Warrants. As a result, any or all of the Warrants may expire worthless.

     4. Adjustments.Stock Dividends Split Ups. If after the date hereof, and subject
to the provisions of Section 4.6, the number of outstanding shares of Common Stock is
increased by a stock dividend payable in shares of Common Stock, or by a split up of shares of
Common Stock, or other similar event, then, on the effective date of such stock dividend, split up
or similar event, the number of shares of Common Stock issuable on exercise of each Warrant shall
be increased in proportion to such increase in outstanding shares of Common Stock.4.2
Aggregation of Shares. If after the date hereof, and subject to the provisions of
Section 4.6, the number of outstanding shares of Common Stock is decreased by a
consolidation, combination, reverse stock split or reclassification of shares of Common Stock or
other similar event, then, on the effective date of such consolidation, combination, reverse stock
split, reclassification or similar event, the number of shares of Common Stock issuable on exercise
of each Warrant shall be decreased in proportion to such decrease in outstanding shares of Common
Stock.

          4.3 Adjustments in Exercise Price. Whenever the number of shares of Common Stock
purchasable upon the exercise of the Warrants is adjusted, as provided in Sections 4.1 and
4.2 above, each of the Warrant Price and the Floor Price shall be adjusted (to the nearest
cent) by multiplying such Warrant Price and Floor Price, as the case may be, immediately prior to
such adjustment by a fraction (x) the numerator of which shall be the number of shares of Common
Stock purchasable upon the exercise of the Warrants immediately prior to such adjustment and (y)
the denominator of which shall be the number of shares of Common Stock so purchasable immediately
thereafter.

          4.4 Replacement of Securities upon Reorganization, etc. In case of any
reclassification or reorganization of the outstanding shares of Common Stock (other than a change
covered by Sections 4.1 or 4.2 hereof or that solely affects the par value of such
shares of Common Stock), or in the case of any merger or consolidation of the Company with or into
another corporation (other than a consolidation or merger in which the Company is the continuing
corporation and that does not result in any reclassification or reorganization of the outstanding
shares of Common Stock), or in the case of any sale or conveyance to another corporation or entity
of the assets or other property of the Company as an entirety or substantially as an entirety in
connection with which the Company is dissolved, the Warrant holders shall thereafter have the right
to purchase and receive, upon the basis and upon the terms and conditions specified in the Warrants
and in lieu of the shares of Common Stock of the Company immediately theretofore purchasable and
receivable upon the exercise of the rights represented thereby, the kind and amount of shares of
stock or other securities or property (including cash) receivable upon such reclassification,
reorganization, merger or consolidation, or upon a dissolution following any such sale or transfer,
by a Warrant holder of the number of shares of Common Stock of the Company obtainable upon exercise
of the Warrants immediately prior to such event; and if any reclassification also results in a
change in shares of Common Stock covered by Sections 4.1 or 4.2, then such
adjustment shall be made pursuant to Sections 4.1, 4.2, 4.3 and this
Section 4.4. The provisions of this Section 4.4 shall similarly apply to
successive reclassifications, reorganizations, mergers or consolidations, sales or other transfers.

          4.5 Notices of Changes in Warrant. Upon every adjustment of the Warrant Price or the
number of shares issuable on exercise of a Warrant, the Company shall give written notice thereof
to the Warrant Agent, which notice shall state the Warrant Price resulting from such adjustment and
the increase or decrease, if any, in the number of shares purchasable at such price upon the
exercise of a Warrant, setting forth in reasonable detail the method of calculation and the facts
upon which such calculation is based. Upon the occurrence of any event specified in Sections
4.1, 4.2, 4.3 or 4.4, then, in any such event, the Company shall give
written notice to the Warrant holder, at the last address set forth

5

 

for such holder in the warrant register, of the record date or the effective date of the
event. Failure to give such notice, or any defect therein, shall not affect the legality or
validity of such event.

          4.6 No Fractional Shares. Notwithstanding any provision contained in this Warrant
Agreement to the contrary, the Company shall not issue fractional shares upon exercise of Warrants.
If, by reason of any adjustment made pursuant to this Section 4, the holder of any Warrant
would be entitled, upon the exercise of such Warrant, to receive a fractional interest in a share,
the Company shall, upon such exercise, round up to the nearest whole number the number of the
shares of Common Stock to be issued to the Warrant holder.

          4.7 Form of Warrant. The forms of Warrants need not be changed because of any
adjustment pursuant to this Section 4, and Warrants issued after such adjustment may state
the same Warrant Price and the same number of shares as is stated in the Warrants initially issued
pursuant to this Agreement. However, the Company may at any time in its sole discretion make any
change in the form of Warrant that the Company may deem appropriate and that does not affect the
substance thereof, and any Warrant thereafter issued or countersigned, whether in exchange or
substitution for an outstanding Warrant or otherwise, may be in the form as so changed.

          4.8 Notice of Certain Transactions. In the event that the Company shall propose to
(a) offer the holders of its Common Stock rights to subscribe for or to purchase any securities
convertible into shares of Common Stock or shares of stock of any class or any other securities,
rights or options, (b) issue any rights, options or warrants entitling the holders of Common Stock
to subscribe for shares of Common Stock or (c) make a tender offer, redemption offer or exchange
offer with respect to the Common Stock, the Company shall send to the Warrant holders a notice of
such proposed action or offer. Such notice shall be mailed to the registered holders at their
addresses as they appear in the Warrant Register, which shall specify the record date for the
purposes of such dividend, distribution or rights, or the date such issuance or event is to take
place and the date of participation therein by the holders of Common Stock, if any such date is to
be fixed, and shall briefly indicate the effect of such action on the Common Stock and on the
number and kind of any other shares of stock and on other property, if any, and the number of
shares of Common Stock and other property, if any, issuable upon exercise of each Warrant and the
Warrant Price after giving effect to any adjustment pursuant to this Article 4 which would be
required as a result of such action. Such notice shall be given as promptly as practicable after
the Board has determined to take any such action and (x) in the case of any action covered by
clause (a) or (b) above at least 10 days prior to the record date for determining the holders of
the Common Stock for purposes of such action or (y) in the case of any other such action at least
20 days prior to the date of the taking of such proposed action or the date of participation
therein by the holders of Common Stock, whichever shall be the earlier.

          4.9 Other Events. If any event occurs as to which the foregoing provisions of this
Article 4 are not strictly applicable or, if strictly applicable, would not, in the good faith
judgment of the Board, fairly and adequately protect the purchase rights of the registered holders
of the Warrants in accordance with the essential intent and principles of such provisions, then the
Board shall make such adjustments in the application of such provisions, in accordance with such
essential intent and principles, as shall be reasonably necessary, in the good faith opinion of the
Board, to protect such purchase rights as aforesaid.

     5. Transfer and Exchange of Warrants.

          5.1 Registration of Transfer. Subject to Section 5.2 below, the Warrant Agent
shall register the transfer, from time to time, of any outstanding Warrant upon the Warrant
Register, upon surrender of such Warrant for transfer, properly endorsed with signatures properly
guaranteed and

6

 

accompanied by appropriate instructions for transfer. Upon any such transfer, a new Warrant
representing an equal aggregate number of Warrants shall be issued and the old Warrant shall be
cancelled by the Warrant Agent. The Warrants so cancelled shall be delivered by the Warrant Agent
to the Company from time to time upon request.

          5.2 Procedure for Surrender of Warrants. Warrants may be surrendered to the Warrant
Agent, together with a written request for exchange or transfer, and thereupon the Warrant Agent
shall issue in exchange therefor one or more new Warrants as requested by the registered holder of
the Warrants so surrendered, representing an equal aggregate number of Warrants; provided, however,
that in the event that a Warrant surrendered for transfer bears a restrictive legend, the Warrant
Agent shall not cancel such Warrant and issue new Warrants in exchange therefor until the Warrant
Agent has received an opinion of counsel for the Company stating that such transfer may be made and
indicating whether the new Warrants must also bear a restrictive legend.

          5.3 Fractional Warrants. The Warrant Agent shall not be required to effect any
registration of transfer or exchange which will result in the issuance of a warrant certificate for
a fraction of a warrant.

          5.4 Service Charges. No service charge shall be made for any exchange or registration
of transfer of Warrants.

          5.5 Warrant Execution and Countersignature. The Warrant Agent is hereby authorized to
countersign and to deliver, in accordance with the terms of this Agreement, the Warrants required
to be issued pursuant to the provisions of this Section 5, and the Company, whenever
required by the Warrant Agent, will supply the Warrant Agent with Warrants duly executed on behalf
of the Company for such purpose.

     6. Redemption.

          6.1 Redemption. Subject to Section 6.4 hereof, not less than all of the
outstanding Warrants may be redeemed, at the option of the Company, at any time after they become
exercisable and prior to their expiration, at the office of the Warrant Agent, upon the notice
referred to in Section 6.2, at the price of $.01 per Warrant (the “Redemption
Price”), provided, however, that the last sales price of the Common Stock has been equal to or
greater than the Floor Price, on each of twenty (20) trading days within any thirty (30) trading
day period ending on the third business day prior to the date on which notice of redemption is
given; and provided further, however, that with respect to the Founders’ Warrants and the Sponsors’
Warrants, such redemption right shall not be applicable so long as the Warrants are held by any of
the Founders or their Permitted Transferees.

          6.2 Date Fixed for, and Notice of, Redemption.
In the event the Company shall elect to redeem all of the Warrants permitted to be redeemed
pursuant to Section 6.1 (the “Redeemable Warrants”), the Company shall fix a date
for the redemption. Notice of redemption shall be mailed by first class mail, postage prepaid, by
the Company not less than 30 days prior to the date fixed for redemption to the registered holders
of the Redeemable Warrants at their last addresses as they shall appear on the registration books.
Any notice mailed in the manner herein provided shall be conclusively presumed to have been duly
given whether or not the registered holder received such notice.

          6.3 Exercise After Notice of Redemption. The Redeemable Warrants may be exercised,
for cash or on a “cashless basis”, in accordance with Section 3 of this Agreement at any
time after notice of redemption shall have been given by the Company pursuant to Section
6.2 hereof and prior to the time and date fixed for redemption. On and after the redemption
date, the record holder of the

7

 

Redeemable Warrants shall have no further rights except to receive the Redemption Price upon
surrender of the Redeemable Warrants.

          6.4 Outstanding Warrants Only. The Company understands that the redemption rights
provided for by this Section 6 apply only to outstanding Redeemable Warrants. To the
extent a person holds rights to purchase Redeemable Warrants, such purchase rights shall not be
extinguished by redemption. However, once such purchase rights are exercised, the Company may
redeem the Redeemable Warrants issued upon such exercise provided that the criteria for redemption
is met, including the opportunity of the Redeemable Warrant holders to exercise prior to redemption
pursuant to Section 6.3.

     7. Other Provisions Relating to Rights of Holders of Warrants.

          7.1 No Rights as Stockholder. A Warrant does not entitle the registered holder
thereof to any of the rights of a stockholder of the Company, including, without limitation, the
right to receive dividends, or other distributions, exercise any preemptive rights to vote or to
consent or to receive notice as stockholders in respect of the meetings of stockholders or the
election of directors of the Company or any other matter.

          7.2 Lost, Stolen, Mutilated, or Destroyed Warrants. If any Warrant is lost, stolen,
mutilated, or destroyed, the Company and the Warrant Agent may on such terms as to indemnity or
otherwise as they may in their discretion impose (which shall, in the case of a mutilated Warrant,
include the surrender thereof), issue a new Warrant of like denomination, tenor, and date as the
Warrant so lost, stolen, mutilated or destroyed. Any such new Warrant shall constitute a
substitute contractual obligation of the Company, whether or not the allegedly lost, stolen,
mutilated, or destroyed Warrant shall be at any time enforceable by anyone.

          7.3 Reservation of Common Stock. The Company shall at all times reserve and keep
available a number of its authorized but unissued shares of Common Stock that will be sufficient to
permit the exercise in full of all outstanding Warrants issued pursuant to this Agreement.

          7.4 Registration of Common Stock. If the Company consummates an Initial Public
Offering, the Company agrees that prior to the commencement of the Exercise Period, it shall file
with the Securities and Exchange Commission a post-effective amendment to the Registration
Statement, or a new registration statement, for the registration under the Act of, and it shall
take such action as may be necessary to qualify for sale, in those states in which the Warrants
were initially offered by the Company, the Common Stock issuable upon exercise of the Warrants. In
either case, the Company shall use its best efforts to cause the same to become effective on or
prior to the commencement of the Exercise Period and to maintain the effectiveness of such
registration statement until the expiration of the Public Warrants in accordance with the
provisions of this Agreement. The Warrants shall not be exercisable and the Company shall not be
obligated to issue Common Stock unless, at the time a holder seeks to exercise the Warrants, a
prospectus relating to Common Stock issuable upon exercise of the Warrants is current and the
Common Stock has been registered or qualified or deemed to be exempt under the securities laws of
the state of residence of the holder of the Warrants.

     8. Concerning the Warrant Agent and Other Matters.

          8.1 Payment of Taxes. The Company shall from time to time promptly pay all taxes and
charges that may be imposed upon the Company or the Warrant Agent in respect of the issuance or
delivery of shares of Common Stock upon the exercise of Warrants, but the Company shall not be

8

 

obligated to pay any transfer taxes in respect of the Warrants or such shares.8.2
Resignation, Consolidation, or Merger of Warrant Agent.

               8.2.1 Appointment of Successor Warrant Agent. The Warrant Agent, or any successor to
it hereafter appointed, may resign its duties and be discharged from all further duties and
liabilities hereunder after giving sixty (60) days’ notice in writing to the Company. If the
office of the Warrant Agent becomes vacant by resignation or incapacity to act or otherwise, the
Company shall appoint in writing a successor Warrant Agent in place of the Warrant Agent. If the
Company shall fail to make such appointment within a period of 30 days after it has been notified
in writing of such resignation or incapacity by the Warrant Agent or by the holder of the Warrant
(who shall, with such notice, submit his Warrant for inspection by the Company), then the holder of
any Warrant may apply to the Supreme Court of the State of New York for the County of New York for
the appointment of a successor Warrant Agent at the Company’s cost. Any successor Warrant Agent,
whether appointed by the Company or by such court, shall be a corporation organized and existing
under the laws of the State of New York, in good standing and having its principal office in the
Borough of Manhattan, City and State of New York, and authorized under such laws to exercise
corporate trust powers and subject to supervision or examination by federal or state authority.
After appointment, any successor Warrant Agent shall be vested with all the authority, powers,
rights, immunities, duties, and obligations of its predecessor Warrant Agent with like effect as if
originally named as Warrant Agent hereunder, without any further act or deed; but if for any reason
it becomes necessary or appropriate, the predecessor Warrant Agent shall execute and deliver, at
the expense of the Company, an instrument transferring to such successor Warrant Agent all the
authority, powers, and rights of such predecessor Warrant Agent hereunder; and upon request of any
successor Warrant Agent the Company shall make, execute, acknowledge, and deliver any and all
instruments in writing for more fully and effectually vesting in and confirming to such successor
Warrant Agent all such authority, powers, rights, immunities, duties, and obligations.

               8.2.2 Notice of Successor Warrant Agent. In the event a successor Warrant Agent shall
be appointed, the Company shall give notice thereof to the predecessor Warrant Agent and the
transfer agent for the Common Stock not later than the effective date of any such appointment.

               8.2.3 Merger or Consolidation of Warrant Agent. Any corporation into which the
Warrant Agent may be merged or with which it may be consolidated or any corporation resulting from
any merger or consolidation to which the Warrant Agent shall be a party shall be the successor
Warrant Agent under this Agreement without any further act.

          8.3 Fees and Expenses of Warrant Agent.

               8.3.1 Remuneration. The Company agrees to pay the Warrant Agent reasonable
remuneration for its services as such Warrant Agent hereunder and shall reimburse the Warrant Agent
upon demand for all expenditures that the Warrant Agent may reasonably incur in the execution of
its duties hereunder.

               8.3.2 Further Assurances. The Company agrees to perform, execute, acknowledge and
deliver or cause to be performed, executed, acknowledged and delivered all such further and other
acts, instruments and assurances as may reasonably be required by the Warrant Agent for the
carrying out or performing of the provisions of this Agreement.

          8.4 Liability of Warrant Agent.

               8.4.1 Reliance on Company Statement. Whenever in the performance of its duties under
this Warrant Agreement, the Warrant Agent shall deem it necessary or desirable that any fact

9

 

or matter be proved or established by the Company prior to taking or suffering any action
hereunder, such fact or matter (unless other evidence in respect thereof be herein specifically
prescribed) may be deemed to be conclusively proved and established by a statement signed by the
President or Chairman of the Board of the Company and delivered to the Warrant Agent. The Warrant
Agent may rely upon such statement for any action taken or suffered in good faith by it pursuant to
the provisions of this Agreement.

               8.4.2 Indemnity. The Warrant Agent shall be liable hereunder only for its own
negligence, willful misconduct or bad faith. The Company agrees to indemnify the Warrant Agent and
save it harmless against any and all liabilities, including judgments, costs and reasonable counsel
fees, for anything done or omitted by the Warrant Agent in the execution of this Agreement except
as a result of the Warrant Agent’s negligence, willful misconduct or bad faith.

               8.4.3 Exclusions. The Warrant Agent shall have no responsibility with respect to the
validity of this Agreement or with respect to the validity or execution of any Warrant (except its
countersignature thereof); nor shall it be responsible for any breach by the Company of any
covenant or condition contained in this Agreement or in any Warrant; nor shall it be responsible to
make any adjustments required under the provisions of Section 4 hereof or responsible for
the manner, method, or amount of any such adjustment or the ascertaining of the existence of facts
that would require any such adjustment; nor shall it by any act hereunder be deemed to make any
representation or warranty as to the authorization or reservation of any shares of Common Stock to
be issued pursuant to this Agreement or any Warrant or as to whether any shares of Common Stock
will when issued be valid and fully paid and nonassessable. 

          8.5 Acceptance of Agency. The Warrant Agent hereby accepts the agency established by
this Agreement and agrees to perform the same upon the terms and conditions herein set forth and
among other things, shall account promptly to the Company with respect to Warrants exercised and
concurrently account for, and pay to the Company, all moneys received by the Warrant Agent for the
purchase of shares of the Company’s Common Stock through the exercise of Warrants.

     9. Miscellaneous Provisions.

          9.1 Successors. All the covenants and provisions of this Agreement by or for the
benefit of the Company or the Warrant Agent shall bind and inure to the benefit of their respective
successors and assigns.

          9.2 Notices. Any notice, statement or demand authorized by this Warrant Agreement to
be given or made by the Warrant Agent or by the holder of any Warrant to or on the Company shall be
sufficiently given when so delivered if by hand or overnight delivery or if sent by certified mail
or private courier service five (5) days after deposit of such notice, postage prepaid, addressed
(until another address is filed in writing by the Company with the Warrant Agent), as follows:

Freedom Acquisition Holdings, Inc.

1114 Avenue of the Americas

41st Floor

New York, New York 10036

Attn: Nicolas Berggruen

Any notice, statement or demand authorized by this Agreement to be given or made by the holder of
any Warrant or by the Company to or on the Warrant Agent shall be sufficiently given when so
delivered if by hand or overnight delivery or if sent by certified mail or private courier service
five days after deposit of

10

 

such notice, postage prepaid, addressed (until another address is filed in writing by the Warrant
Agent with the Company), as follows:

Continental Stock Transfer & Trust Company

17 Battery Place

New York, New York 10004

Attn: Compliance Department

with a copy in each case to:

Greenberg Traurig, LLP

200 Park Avenue

New York, NY 10166

Facsimile: (212) 801-6400

Attn: Alan Annex, Esq.

and

Cleary Gottlieb Steen & Hamilton LLP

1 Liberty Plaza

New York, NY 10006

Facsimile: (212) 225-3999

Attn: Raymond B. Check, Esq.

and

Citigroup Global Markets Inc.

388 Greenwich Street

New York, NY 10014

Facsimile: (212) 723 — 8871

Attn: David Spivak

          9.3 Applicable Law. The validity, interpretation and performance of this Agreement
and of the Warrants shall be governed in all respects by the laws of the State of New York, without
giving effect to conflict of laws. The Company hereby agrees that any action, proceeding or claim
against it arising out of or relating in any way to this Agreement shall be brought and enforced in
the courts of the State of New York or the United States District Court for the Southern District
of New York, and irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive.
The Company hereby waives any objection to such exclusive jurisdiction and that such courts
represent an inconvenience forum. Any such process or summons to be served upon the Company may be
served by transmitting a copy thereof by registered or certified mail, return receipt requested,
postage prepaid, addressed to it at the address set forth in Section 9.2 hereof. Such
mailing shall be deemed personal service and shall be legal and binding upon the Company in any
action, proceeding or claim.

          9.4 Persons Having Rights under this Agreement. Nothing in this Agreement expressed
and nothing that may be implied from any of the provisions hereof is intended, or shall be
construed, to confer upon, or give to, any person or corporation other than the parties hereto and
the registered holders of the Warrants and, for the purposes of Sections 2.5, 6.1,
6.4, 7.4, 9.2 and 9.8 hereof, the Representative, any right, remedy
or claim under or by reason of this Warrant Agreement or of any covenant, condition, stipulation,
promise or agreement hereof. The Representative (on behalf of the underwriters) shall be deemed to
be a third party beneficiary of this Agreement with respect to Sections 2.5, 6.1,
6.4, 7.4, 9.2 and 9.8 hereof. All covenants, conditions,
stipulations, promises and agreements contained in this Warrant Agreement shall be for the sole and
exclusive benefit of the parties hereto (and

11

 

the Representative with respect to Sections 2.5, 6.1, 6.4,
7.4, 9.2 and 9.8 hereof) and their successors and assigns and of the
registered holders of the Warrants.

          9.5 Examination of the Warrant Agreement. A copy of this Agreement shall be available
at all reasonable times at the office of the Warrant Agent in the Borough of Manhattan, City and
State of New York, for inspection by the registered holder of any Warrant. The Warrant Agent may
require any such holder to submit his Warrant for inspection by it.

          9.6 Counterparts. This Agreement may be executed in any number of counterparts and
each of such counterparts shall for all purposes be deemed to be an original and all such
counterparts shall together constitute but one and the same instrument.

          9.7 Effect of Headings. The Section headings herein are for convenience only and are
not part of this Warrant Agreement and shall not affect the interpretation thereof.

          9.8 Amendments. This Agreement may be amended by the parties hereto without the
consent of any registered holder for the purpose of curing any ambiguity, or of curing, correcting
or supplementing any defective provision contained herein or adding or changing any other
provisions with respect to matters or questions arising under this Agreement as the parties may
deem necessary or desirable and that the parties deem shall not adversely affect the interest of
the registered holders. All other modifications or amendments, including any amendment to increase
the Warrant Price or shorten the Exercise Period, shall require the written consent of the
Representative and the registered holders of a majority of the then outstanding Warrants.
Notwithstanding the foregoing, the Company may lower the Warrant Price or extend the duration of
the Exercise Period in accordance with Sections 3.1 and 3.2, respectively, without
such consent.

          9.9 Severability. This Agreement shall be deemed severable, and the invalidity or
unenforceability of any term or provision hereof shall not affect the validity or enforceability of
this Agreement or of any other term or provision hereof. Furthermore, in lieu of any such invalid
or unenforceable term or provision, the parties hereto intend that there shall be added as a part
of this Agreement a provision as similar in terms to such invalid or unenforceable provision as may
be possible and be valid and enforceable.

          9.10 Entire Agreement. This Agreement constitutes the entire understanding of the
parties and supersedes all prior agreements, understandings, arrangements, promises and
commitments, whether written or oral, express or implied, relating to the subject matter hereof,
and all such prior agreements, understandings, arrangements, promises and commitments are hereby
canceled and terminated, including without limitation the Original Agreement.

[Signatures Appear on Following Page]

12

 

     IN WITNESS WHEREOF, this Agreement has been duly executed by the parties hereto as of the date
first above written.

 

	 	 	 	 	 
	 	Attest: 

 	 
	 	/s/ Rebecca Ortega
 	 
	 	 	 
	 	 	 
	 

	 	 	 	 	 
	 	FREEDOM ACQUISITION HOLDINGS, INC.

 	 
	 	By:  	/s/ Nicolas Berggruen
 	 
	 	 	Name:  	Nicolas Berggruen 	 
	 	 	Title:  	President 	 
	 

 

	 	 	 	 	 
	 	Attest:

 	 
	 	/s/ Thomas Jennings
 	 
	 	 	 
	 	 	 
	 

	 	 	 	 	 
	 	CONTINENTAL STOCK TRANSFER
& TRUST
 COMPANY

 	 
	 	By:  	/s/ Felix Orihuela
 	 
	 	 	Name:  	Felix Orihuela 	 
	 	 	Title:  	Vice President 	 
	 

13

 

Exhibit A

Form of Public Warrant

THE SECURITIES REPRESENTED BY THIS WARRANT CERTIFICATE (INCLUDING THE SECURITIES ISSUABLE UPON THE
EXERCISE OF THE WARRANT) ARE SUBJECT TO THE TERMS AND CONDITIONS SET FORTH IN THE WARRANT AGREEMENT
DATED AS OF ___, 2006, BY AND BETWEEN THE COMPANY AND THE WARRANT AGENT (THE “WARRANT
AGREEMENT”). COPIES OF SUCH AGREEMENT MAY BE OBTAINED BY THE HOLDER HEREOF AT THE COMPANY’S
PRINCIPAL PLACE OF BUSINESS WITHOUT CHARGE.]

SPECIMEN WARRANT CERTIFICATE

			
	NUMBER

___-
	 	___WARRANTS

THIS WARRANT WILL BE VOID IF NOT EXERCISED PRIOR TO 5:00 P.M.

NEW YORK CITY TIME, ON THE EXPIRATION DATE

FREEDOM ACQUISITION HOLDINGS, INC.

  CUSIP_______

WARRANT

THIS CERTIFIES THAT, for value received

is the registered holder of a Warrant or Warrants expiring on the fifth anniversary of the Initial
Public Offering consummation date (unless earlier redeemed in accordance with the terms hereof)
(the “Warrant”) to purchase one fully paid and non-assessable share of Common Stock, par
value $0.0001 per share (“Shares”), of Freedom Acquisition Holdings, Inc., a Delaware
corporation (the “Company”), for each Warrant evidenced by this Warrant Certificate. The
Warrant entitles the holder thereof to purchase from the Company, commencing on the later of (i)
the Company’s completion of a business combination with a target business or (ii) one year from the
effective date of the Registration Statement used in connection with the Initial Public Offering,
such number of Shares of the Company at the price of $7.50 per share, upon surrender of this
Warrant Certificate and payment of the Warrant Price at the office or agency of the Warrant Agent,
Continental Stock Transfer & Trust Company (such payment to be made by check made payable to the
Warrant Agent), but only subject to the conditions set forth herein and in the Warrant Agreement
between the Company and Continental Stock Transfer & Trust Company. The Warrant Agreement provides
that upon the occurrence of certain events the Warrant Price and the number of Warrant Shares
purchasable hereunder, set forth on the face hereof, may, subject to certain conditions, be
adjusted. The term Warrant Price as used in this Warrant Certificate refers to the price per Share
at which Shares may be purchased at the time the Warrant is exercised.

     No fraction of a Share will be issued upon any exercise of a Warrant. If, upon exercise of a
Warrant, a holder would be entitled to receive a fractional interest in a Share, the Company shall,
upon exercise, round up to the nearest whole number the number of Shares to be issued to the
warrant holder.

     Upon any exercise of the Warrant for less than the total number of full Shares provided for
herein, there shall be issued to the registered holder hereof or his assignee a new Warrant
Certificate covering the number of Shares for which the Warrant has not been exercised.

A-1

 

     Warrant Certificates, when surrendered at the office or agency of the Warrant Agent by the
registered holder hereof in person or by attorney duly authorized in writing, may be exchanged in
the manner and subject to the limitations provided in the Warrant Agreement, but without payment of
any service charge, for another Warrant Certificate or Warrant Certificates of like tenor and
evidencing in the aggregate a like number of Warrants.

     Upon due presentment for registration of transfer of the Warrant Certificate at the office or
agency of the Warrant Agent, a new Warrant Certificate or Warrant Certificates of like tenor and
evidencing in the aggregate a like number of Warrants shall be issued to the transferee in exchange
for this Warrant Certificate, subject to the limitations provided in the Warrant Agreement, without
charge except for any applicable tax or other governmental charge.

     The Company and the Warrant Agent may deem and treat the registered holder as the absolute
owner of this Warrant Certificate (notwithstanding any notation of ownership or other writing
hereon made by anyone), for the purpose of any exercise hereof, of any distribution to the
registered holder, and for all other purposes, and neither the Company nor the Warrant Agent shall
be affected by any notice to the contrary.

     This Warrant does not entitle the registered holder to any of the rights of a stockholder of
the Company.

     Subject to Section 6.4 of the Warrant Agreement, the Company may redeem all, but not
less than all, of the Warrants, at the option of the Company, at any time after the Warrants become
exercisable and prior to their expiration, at the office of the Warrant Agent, upon the notice
referred to in Section 6.2 of the Warrant Agreement, at the price of $0.01 per Warrant (the
“Redemption Price”), provided, however, that the last sales price of the Common
Stock has been equal to or greater than the Floor Price, on each of twenty (20) trading days within
any thirty (30) trading day period ending on the third business day prior to the date on which
notice of redemption is given; and provided further, however, that with respect to the Founders’
Warrants and the Sponsors’ Warrants, such redemption right shall not be applicable to (i) the
Founders’ Warrants, so long as such Founders’ Warrants are held by the Founder or its Permitted
Transferees and (ii) the Sponsors’ Warrants, so long as such Sponsors’ Warrants are held by the
Sponsor or its Permitted Transferee. Any Warrant either not exercised or tendered back to the
Company by the end of the date specified in the notice of redemption shall be canceled on the books
of the Company and have no further value except for the $0.01 redemption price.

     Capitalized terms used herein but not defined shall have the meaning set forth in the Warrant
Agreement.

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	Name:
	 	Name:
	 

	 	Title:
	 	Title:

A-2

 

SUBSCRIPTION FORM

To Be Executed by the Registered Holder in Order to Exercise Warrants

The
undersigned registered holder irrevocably elects to exercise
_________________ Warrants
represented by this Warrant Certificate, and to purchase the shares of Common Stock issuable upon
the exercise of such Warrants, and requests that Certificates for such shares shall be issued in
the name of

 

(PLEASE TYPE OR PRINT NAME AND ADDRESS)

 

 

 

(SOCIAL SECURITY OR TAX IDENTIFICATION NUMBER)

			
	and be delivered to	 	
 

 

(PLEASE PRINT OR TYPE NAME AND ADDRESS)

and, if such number of Warrants shall not be all the Warrants evidenced by
this Warrant Certificate, that a new Warrant Certificate for the balance of
such Warrants be registered in the name of, and delivered to, the registered
holder at the address stated below:

	 	 	 	 	 
	Dated:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	 	 	(SIGNATURE)

	 
	 	 	 	 
	 

	 	 	 	 
	 

	 	 	 	(ADDRESS)

	 
	 	 	 	 
	 

	 	 	 	 

	 
	 	 	 	 
	 

	 	 	 	 
	 

	 	 	 	(TAX IDENTIFICATION NUMBER)

A-3

 

ASSIGNMENT

To Be Executed by the Registered Holder in Order to Assign Warrants

For Value Received,   ______________________________________________________ hereby sells, assigns, and transfers unto

 

(PLEASE TYPE OR PRINT NAME AND ADDRESS)

 

 

 

(SOCIAL SECURITY OR TAX IDENTIFICATION NUMBER)

			
	and be delivered to	 	
 

 

(PLEASE PRINT OR TYPE NAME AND ADDRESS)

__________________________ of the Warrants represented by this Warrant Certificate, and hereby
irrevocably constitute and appoint ____________________________
Attorney to transfer this Warrant Certificate on the books of the Company, with full power of substitution in the premises.

	 	 	 	 	 
	Dated:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	 	 	(SIGNATURE)

THE SIGNATURE TO THE ASSIGNMENT OF THE SUBSCRIPTION FORM MUST CORRESPOND TO THE NAME WRITTEN UPON
THE FACE OF THIS WARRANT CERTIFICATE IN EVERY PARTICULAR, WITHOUT ALTERATION OR ENLARGEMENT OR ANY
CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A COMMERCIAL BANK OR TRUST COMPANY OR A MEMBER FIRM OF
THE AMERICAN STOCK EXCHANGE, NEW YORK STOCK EXCHANGE, PACIFIC STOCK EXCHANGE OR CHICAGO STOCK
EXCHANGE.

A-4

 

Exhibit B

Form of Private Warrant

THE SECURITIES REPRESENTED BY THIS WARRANT CERTIFICATE (INCLUDING THE SECURITIES ISSUABLE UPON
EXERCISE OF THE WARRANT) HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“ACT”), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION, AND MAY NOT BE TRANSFERRED IN
VIOLATION OF SUCH ACT AND LAWS, OR AN EXEMPTION FROM REGISTRATION THEREFROM.

THE SECURITIES REPRESENTED BY THIS WARRANT CERTIFICATE (INCLUDING THE SECURITIES ISSUABLE UPON THE
EXERCISE OF THE WARRANT) ARE SUBJECT TO ADDITIONAL RESTRICTIONS ON TRANSFER AND THE TERMS AND
CONDITIONS SET FORTH IN THE WARRANT AGREEMENT DATED AS OF JULY 20, 2006, BY AND BETWEEN THE COMPANY
AND THE WARRANT AGENT (THE “WARRANT AGREEMENT”). COPIES OF SUCH AGREEMENT MAY BE OBTAINED BY THE
HOLDER HEREOF AT THE COMPANY’S PRINCIPAL PLACE OF BUSINESS WITHOUT CHARGE.

SPECIMEN WARRANT CERTIFICATE

			
	NUMBER

___-
	 	___WARRANTS

THIS WARRANT WILL BE VOID IF NOT EXERCISED PRIOR TO 5:00 P.M.

NEW YORK CITY TIME, ON THE EXPIRATION DATE

FREEDOM ACQUISITION HOLDINGS, INC.

CUSIP ________

WARRANT

THIS CERTIFIES THAT, for value received

is the registered holder of a Warrant or Warrants expiring on the fifth anniversary of the Initial
Public Offering consummation date (unless earlier redeemed in accordance with the terms hereof)
(the “Warrant”) to purchase one fully paid and non-assessable share of Common Stock, par
value $0.0001 per share (“Shares”), of Freedom Acquisition Holdings, Inc., a Delaware
corporation (the “Company”), for each Warrant evidenced by this Warrant Certificate. The
Warrant entitles the holder thereof to purchase from the Company, commencing on the later of (i)
the Company’s completion of a business combination with a target business or (ii) one year from the
effective date of the Registration Statement used in connection with the Initial Public Offering,
such number of Shares of the Company at the price of $7.50 per share, upon surrender of this
Warrant Certificate and payment of the Warrant Price at the office or agency of the Warrant Agent,
Continental Stock Transfer & Trust Company (such payment to be made by check made payable to the
Warrant Agent), but only subject to the conditions set forth herein and in the Warrant Agreement
between the Company and Continental Stock Transfer & Trust Company. The Warrant Agreement provides
that upon the occurrence of certain events the Warrant Price and the number of Warrant Shares
purchasable hereunder, set forth on the face hereof, may, subject to certain conditions, be
adjusted. The term Warrant Price as used in this Warrant Certificate refers to the price per Share
at which Shares may be purchased at the time the Warrant is exercised.

B-1

 

     No fraction of a Share will be issued upon any exercise of a Warrant. If, upon exercise of a
Warrant, a holder would be entitled to receive a fractional interest in a Share, the Company shall,
upon exercise, round up to the nearest whole number the number of Shares to be issued to the
warrant holder.

     Upon any exercise of the Warrant for less than the total number of full Shares provided for
herein, there shall be issued to the registered holder hereof or his assignee a new Warrant
Certificate covering the number of Shares for which the Warrant has not been exercised.

     Warrant Certificates, when surrendered at the office or agency of the Warrant Agent by the
registered holder hereof in person or by attorney duly authorized in writing, may be exchanged in
the manner and subject to the limitations provided in the Warrant Agreement, but without payment of
any service charge, for another Warrant Certificate or Warrant Certificates of like tenor and
evidencing in the aggregate a like number of Warrants.

     Upon due presentment for registration of transfer of the Warrant Certificate at the office or
agency of the Warrant Agent, a new Warrant Certificate or Warrant Certificates of like tenor and
evidencing in the aggregate a like number of Warrants shall be issued to the transferee in exchange
for this Warrant Certificate, subject to the limitations provided in the Warrant Agreement, without
charge except for any applicable tax or other governmental charge.

     The Company and the Warrant Agent may deem and treat the registered holder as the absolute
owner of this Warrant Certificate (notwithstanding any notation of ownership or other writing
hereon made by anyone), for the purpose of any exercise hereof, of any distribution to the
registered holder, and for all other purposes, and neither the Company nor the Warrant Agent shall
be affected by any notice to the contrary.

     This Warrant does not entitle the registered holder to any of the rights of a stockholder of
the Company.

     Subject to Section 6.4 of the Warrant Agreement, the Company may redeem all, but not
less than all, of the Warrants, at the option of the Company, at any time after the Warrants become
exercisable and prior to their expiration, at the office of the Warrant Agent, upon the notice
referred to in Section 6.2 of the Warrant Agreement, at the price of $0.01 per Warrant (the
“Redemption Price”), provided, however, that the last sales price of the Common
Stock has been equal to or greater than the Floor Price, on each of twenty (20) trading days within
any thirty (30) trading day period ending on the third business day prior to the date on which
notice of redemption is given; and provided further, however, that with respect to the Founders’
Warrants and the Sponsors’ Warrants, such redemption right shall not be applicable to (i) the
Founders’ Warrants, so long as such Founders’ Warrants are held by the Founder or its Permitted
Transferees and (ii) the Sponsors’ Warrants, so long as such Sponsors’ Warrants are held by the
Sponsor or its Permitted Transferee. Any Warrant either not exercised or tendered back to the
Company by the end of the date specified in the notice of redemption shall be canceled on the books
of the Company and have no further value except for the $0.01 redemption price.

     Capitalized terms used herein but not defined shall have the meaning set forth in the Warrant
Agreement.

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	Name:
	 	Name:
	 

	 	Title:
	 	Title:

B-2

 

SUBSCRIPTION FORM

To Be Executed by the Registered Holder in Order to Exercise Warrants

The
undersigned registered holder irrevocably elects to exercise
_________________ Warrants
represented by this Warrant Certificate, and to purchase the shares of Common Stock issuable upon
the exercise of such Warrants, and requests that Certificates for such shares shall be issued in
the name of

 

(PLEASE TYPE OR PRINT NAME AND ADDRESS)

 

 

 

(SOCIAL SECURITY OR TAX IDENTIFICATION NUMBER)

			
	and be delivered to	 	
 

 

(PLEASE PRINT OR TYPE NAME AND ADDRESS)

and, if such number of Warrants shall not be all the Warrants evidenced by
this Warrant Certificate, that a new Warrant Certificate for the balance of
such Warrants be registered in the name of, and delivered to, the registered
holder at the address stated below:

	 	 	 	 	 
	Dated:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	 	 	(SIGNATURE)

	 
	 	 	 	 
	 

	 	 	 	 
	 

	 	 	 	(ADDRESS)

	 
	 	 	 	 
	 

	 	 	 	 

	 
	 	 	 	 
	 

	 	 	 	 
	 

	 	 	 	(TAX IDENTIFICATION NUMBER)

B-3

 

ASSIGNMENT

To Be Executed by the Registered Holder in Order to Assign Warrants

For Value Received, ___________________________ hereby sells, assigns, and transfers unto

 

(PLEASE TYPE OR PRINT NAME AND ADDRESS)

 

 

 

(SOCIAL SECURITY OR TAX IDENTIFICATION NUMBER)

			
	and be delivered to	 	
 

 

(PLEASE PRINT OR TYPE NAME AND ADDRESS)

_____________________________ of the Warrants represented by this Warrant Certificate, and hereby
irrevocably constitute and appoint ___________________________________ Attorney to transfer this Warrant Certificate on the books of the Company,
with full power of substitution in the premises.

	 	 	 	 	 
	Dated:
	 	 	 	 
	 

	 	 
	 	 
	 

	 	 	 	(SIGNATURE)

THE SIGNATURE TO THE ASSIGNMENT OF THE SUBSCRIPTION FORM MUST CORRESPOND TO THE NAME WRITTEN UPON
THE FACE OF THIS WARRANT CERTIFICATE IN EVERY PARTICULAR, WITHOUT ALTERATION OR ENLARGEMENT OR ANY
CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A COMMERCIAL BANK OR TRUST COMPANY OR A MEMBER FIRM OF
THE AMERICAN STOCK EXCHANGE, NEW YORK STOCK EXCHANGE, PACIFIC STOCK EXCHANGE OR CHICAGO STOCK
EXCHANGE.

B-4

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