Document:

exhibit10a

 Exhibit 10(a)                                                                             Wells Fargo & Company                                                                            wellsfargo.com     November 20, 2019    Scott Powell   4 High Point Circle   Chappaqua, NY 10514   scottpowel@aol.com     Subject: Offer of Employment    Dear Scott,    Congratulations!  I am pleased to extend you an offer of employment for the Senior Executive Vice President,   Chief Operating Officer position with Wells Fargo Bank, N. A. (“Wells Fargo” or “the Company”) reporting   directly to me.  Your employment is subject to a prior written determination of no supervisory objection from   the Office of the Comptroller of the Currency. Pending that supervisory non-objection, your start date will be a   date mutually agreed upon, and your office will be at our location in New York, New York.    At Wells Fargo, you will have the opportunity to develop your career and take advantage of programs and   resources that will help you realize your full personal, financial, and professional potential as we work together   to serve our customers and our communities.   Please review all of the details related to this offer summarized   below.    BACKGROUND CHECK  This offer is contingent upon successful completion of a background investigation as described in the Conditions  of Employment at Wells Fargo section of this letter. Your start date may be affected by the time it takes to  complete this process.    ANNUAL COMPENSATION   As we discussed, your annual base salary rate will be $1,750,000.  You will receive your base salary every two   weeks, on the Friday following the end of each two-week pay period.  Your base salary compensates you for all   hours worked in any given week and your biweekly base salary will be calculated based on the exact number of   business days within each calendar year.       Starting with the 2020 plan year, you will be eligible for an annual bonus under the Wells Fargo Bonus Plan   (“Bonus Plan”), which is generally payable in March of the year following the performance period, based on the   successful completion of performance objectives and subject to the terms and conditions of the Bonus Plan. Your   bonus eligibility will be a range from 0% to 150% of your annual base salary, with a target bonus of 100%.  You   will play a part in setting your business objectives once you start.  Final determination of your earned award   under the Bonus Plan will be at the discretion of the Human Resources Committee (“HRC”) of the Board of   Directors. Payments may be in the form of cash, long-term equity, long-term cash or a combination, as   discretionarily determined by the HRC.     The determination and payment of bonus compensation also are subject to the conditions and restrictions   imposed under applicable laws, rules, regulations, and orders.  Your rights to, or receipt of, compensation  pursuant to this offer may be limited, modified, cancelled or recovered to ensure compliance with all such  applicable laws, rules, regulations, orders, and guidance that may be issued thereunder.    As an important component of your annual compensation, you are also eligible to receive annual long term   incentive awards, beginning with performance year 2020 in the form of performance shares, restricted stock or   other forms of long term awards.  As we discussed, this award is at the Company's discretion but a reasonable   expectation for this grant would be $5,500,000 in estimated target value, subject to the vesting period outlined   in the plan.      Page 1 of 6 

 

  Equity awards will be made under the Wells Fargo & Company Long Term Incentive Compensation Plan    (“LTICP”). Awards under the LTICP are conditioned upon and subject to the approval of the HRC and are   subject to such terms and conditions as approved by the HRC in accordance with the provisions of the LTICP as   reflected in the applicable award agreement.  To align the recipient's interests with the interests of stockholders   generally equity awards at Wells Fargo are subject to a stock ownership obligation.  You will receive specific   detailed grant terms and information once the award has been approved by the HRC.  You must remain actively   employed through March 2021 to receive the annual bonus and/or annual long term incentive award.        UP-FRONT BONUS     You will receive an advance of a signing bonus in the amount of $3,200,000 (the “Up-Front Bonus”), subject to    applicable taxes and withholdings. The Up-Front bonus advance is subject to your continued employment and   good standing on the pay date, and upon on completion of one full year of employment as described below.         Although you acknowledge that you are an at-will employee and not being employed for any particular length of   time, you understand that this Up-Front Bonus will be advanced in anticipation of your remaining with Wells   Fargo for at least 12 months.  You understand this payment will be advanced no later than the second regularly   scheduled payroll date following your first day of employment with the Company. However, you understand and   agree that your eligibility to earn this Up-Front Bonus is contingent on completion of one full year of employment.   Therefore, in consideration of this offer of employment and the Up-Front Bonus, you agree to reimburse the   Company for all or a portion of the Up-Front Bonus (subject to applicable taxes and withholdings) if, during your   first year of employment, your employment is either voluntarily terminated by you for any reason, or involuntarily   terminated by the Company for Cause1 as follows:           •  If you voluntarily terminate your employment for any reason during your first year of employment, you agree        to reimburse the Company 100% of the Up-Front Bonus.       •  If you are involuntarily terminated by the Company for  Cause, you agree to reimburse the Company        according to the following schedule:                    Less than 3 Months in the position:       % of Up-Front Bonus Owed to the Company:  75%                  3 but less than 6 Months in the position:  % of Up-Front Bonus Owed to the Company:  50%                 6 but less than 12 Months in the position : % of Up-Front Bonus Owed to the Company:  25%      You agree to repay the Company the amount it computes to be due under this agreement on or before the last day    of your employment at the Company. To the fullest extent permitted under applicable law, you authorize the    Company to deduct up to the entire amount due from any amount owed to you by the Company or any of its    subsidiaries or affiliates. Amounts owed to you include, but are not limited to wages, bonuses, incentives or any    other form of compensation. If no such deductions are made, or if the deductions made are insufficient to repay    the entire amount owed by you, you understand and agree your obligation to pay the Company will continue until    you have fully paid all amounts owed pursuant to this agreement.   You also specifically agree that the terms of    this agreement may not be modified except in writing and no waiver, release or forgiveness of your indebtedness    will be valid unless in writing and signed by an officer of the Company.         In the event that you are involuntarily terminated by the Company for reasons other than for Cause, you will not    be required to reimburse the Up-Front Bonus.         WELLS FARGO RESTRICTED SHARE RIGHTS (RSRS)    We would also like to offer you a one-time equity award in the form of $7,500,000 worth of Wells Fargo    Restricted Share Rights (RSRs).  The number of RSRs granted will be based on the award value of $7,500,000    and the closing price per share of Wells Fargo common stock on the date of grant. These RSRs are subject to    approval by the Human Resources Committee of the Board of Directors, your active employment with Wells    Fargo on the grant date, and your provision to us of sufficient documentation regarding the amount and vesting    terms of forfeited compensation from your prior employer. We will submit the recommendation to the HRC                                                              1 For purposes of this agreement, Cause means (i) your receipt of notice of termination by the Company arising from (1) the continued failure by you to  substantially perform your duties after receipt of written notice from the Company of such failure and your failure to reasonably cure such failure within 30  days after receipt of such written notice; (2) your conviction of a crime involving dishonesty or breach of trust, conviction of a felony, or commission of any  act that makes you ineligible for coverage under Wells Fargo's fidelity bond or otherwise makes you ineligible for continued employment; or (3) your  violation of the Company’s policies, including but not limited to the Wells Fargo Code of Ethics and Business Conduct; or   (ii) your violation of any securities or commodities laws, any rules or regulations pursuant to such laws, or the rules and regulations of any securities or  commodities exchange or association of which the Company is a member, or violation of any similar federal, state or local law, regulation, ordinance or  licensing requirement applicable to employees of financial institutions; or conduct that may reasonably be expected to have a material adverse effect on the  financial interest or business reputation of the Company or its affiliates.   Page 2 of 6   

 

 within the first three months following commencement of your employment.  Once awarded, these RSRs will   vest in annual installments over 4 years as follows:                    40% near the first anniversary of Grant Date, but not earlier than January 1, 2021                20% near the second anniversary of Grant Date, but not earlier than January 1, 2022                20% near the third anniversary of Grant Date, but not earlier than January 1, 2023                20% near the fourth anniversary of Grant Date, but not earlier than January 1, 2024                   The RSRs will be subject to the terms of Wells Fargo’s standard form of equity award agreements for executive   officers to the extent not inconsistent with this offer letter. You will receive specific detailed grant terms and   information once the award has been granted.       DEFERRED COMPENSATION   You may also be eligible to participate in Wells Fargo's non-qualified deferred compensation plan for highly   compensated team members.  Under this plan you may elect to defer up to 80% of your base salary and   incentive/bonus compensation.  If you are interested in participating in this plan, please let me know, and I will   confirm the details including enrollment and election timing.  You will have 30 days from your start date to   enroll for the current plan year, otherwise, you will need to wait until the next enrollment period.                  BENEFITS PACKAGE   Wells Fargo provides a comprehensive benefits package to help team members maintain their overall health and   wellness and to achieve financial security. Your benefits coverage will take effect the first of the month following   the completion of one full calendar month of employment. We'll provide you with more detailed information   soon. If you haven't received your benefits materials by the end of your first work week, call the Wells Fargo's   dedicated support center for team members, at 1-877-HRWELLS (1-877-479-3557) to order a benefits   enrollment kit. If you don’t enroll during your initial benefits enrollment period, your next annual enrollment   opportunity will be for benefits effective the following year.      Some positions at Wells Fargo are identified as sensitive positions. This requires a team member in one of these   positions to complete a two week or 10 consecutive working days required absence from the position   responsibilities each calendar year to meet regulatory requirements.  Please note that the position you are being   offered is a sensitive position subject to this requirement.      You'll quickly discover that key values at Wells Fargo include accountability, integrity, customer focus, and   diversity.  As a financial services institution, we are entrusted with confidential information and the resources of   our customers - a trust we take very seriously.  We also have a responsibility as an employer to share with you   some basic conditions of employment at Wells Fargo - you'll find those within this letter; please read them   carefully.      NEXT STEPS  Once again, I'd like to warmly welcome you to Wells Fargo! Once you have completed your review of the offer  letter and Conditions of Employment, as an indication of your acceptance of our offer, please sign the last page  of this document.       When you start work, you'll receive access to the Handbook for Wells Fargo Team Members, tax forms, and   additional paperwork that you will need to get started in your new career.  On your first day, please be sure to   bring acceptable documents for establishing your employment eligibility as outlined in the Conditions of   Employment at the end of this letter.  You will need these documents in order to complete your new hire   paperwork.     Sincerely,    Charles W. Scharf  Chief Executive Officer and President  Wells Fargo Bank, N. A.  MAC J0193-610  500 W 33rd Street, 61st Floor  New York, NY 10001-1301  212-214-2900  Cs1852@wellsfargo.com   Page 3 of 6              

 

Conditions of Employment at Wells Fargo    The offer letter, including these Conditions of Employment, the Trade Secrets Agreement, and the Arbitration  Agreement, constitutes the entire agreement between you and Wells Fargo. No other guarantees or promises of  any kind have been made concerning the terms of your employment. Only an officer of Wells Fargo, at the level  of executive vice president or higher, who is authorized by the senior Human Resources manager for your region  or line of business may change or modify these terms.     Your employment with Wells Fargo has no specified term or length. Both you and Wells Fargo have the right to  terminate your employment at any time, with or without advance notice and with or without cause. This is called  "employment at will."    This offer is contingent upon your ability to provide, on or before the first day of employment, documentation  that verifies your identification and eligibility to work in the United States, as outlined by the Immigration  Reform and Control Act of 1986. As a result of federal legislation, and because Wells Fargo is a federal  contractor, this offer is also contingent upon your ability to successfully pass the federal E-Verify system check  within the requisite period of time permitted by the E-Verify rules. Further, it does not include an offer by Wells  Fargo for visa sponsorship.    As part of the process to verify your identity and eligibility to work in the United States, you should take the  following steps to be prepared on your first day of employment:   1.     Access the electronic Form I-9, Employment Eligibility Verification, using the Cisive system.   2.     Follow the instructions for completing section 1 of Form I-9.     3.     Determine which acceptable document(s) you will provide on your first day of employment to verify your  identity and eligibility to work in the United States. The lists of acceptable documents are on Form I-9. Verify  that the documents meet the unexpired date(s) requirement under Form I-9 rules.   4.     Bring the original document(s) (including a picture ID for E-Verify identification purposes) on your first day  and each day thereafter until your manager (or manager's designee) completes the review and verification  process.      Additionally, all new hires and rehires are required to complete a Team Member Acknowledgment. The form  outlines your responsibilities to adhere to the provisions set forth in the Wells Fargo Team Member Handbook,  Code of Ethics and Business Conduct, Risk Management Accountability Policy, Information Security Policy  overview and the Electronic Human Resources systems authorization. The Code of Ethics policies include  restrictions on Personal Conflict of Interest activities, including certain outside activities and a prohibition from  engaging in derivative and hedging transactions involving Wells Fargo securities. If you need more information  about the policies to understand the impact of these restrictions, please discuss with the hiring manager before  accepting this offer.    Section 19 of the Federal Deposit Insurance Act prohibits Wells Fargo from hiring any person who has been  convicted of a criminal act involving dishonesty, breach of trust, or money laundering (including distribution,  manufacturing, or trafficking in controlled substances), unless the person has received prior written consent  from the FDIC or the offense meets the FDIC’s de minimis criteria. Under Section 19, disqualifying criminal  records include convictions that have not otherwise been completely expunged as well as entry into pre-trial  diversion or similar programs with respect to such crimes. Information regarding Section 19 as well as the FDIC  waiver process can be found on the FDIC’s website  (https://www.fdic.gov/regulations/laws/FORMS/section19.html). All team members must also meet Wells  Fargo’s fidelity bond requirements. Therefore, this offer is contingent on the results of your background  investigation (both domestic and international, if applicable) which includes fingerprinting, required regulatory  reviews and any ongoing screening for continued employment.    To protect Wells Fargo’s intellectual property and human capital, all new hires are required to complete a  corporate Trade Secrets Agreement. The Trade Secrets Agreement contains an agreement not to disclose Wells  Fargo trade secrets and confidential and proprietary information, an agreement for non-solicitation, and  assignment of inventions to Wells Fargo if the inventions were made or conceived while you were employed by  Wells Fargo.   Page 4 of 6              

 

  In addition, when employment disputes cannot be resolved internally, it is helpful to do so through private  arbitration instead of court. All new hires are required to complete an Arbitration Agreement in which you and  Wells Fargo mutually agree to final and binding arbitration of your employment disputes when they cannot be  resolved internally.        Page 5 of 6              

 

By signing and submitting this offer letter you accept and agree to all terms and conditions of this offer of  employment effective upon the effectiveness of your resignation from Santander.     Accepted and agreed to by:               ____________________                                                _____  Signature for Scott Powell                                          Date         Page 6 of 6Exhibit 10.1

 

EXECUTION VERSION

 

COOPERATION AGREEMENT

 

This Cooperation Agreement (this “Agreement”) is made and entered into as of December 1, 2019 by and among Tribune Publishing Company, a Delaware corporation (the “Company”), Alden Global Opportunities Master Fund, L.P., a Cayman Islands limited partnership (“AGOMF”) and Alden Global Value Recovery Master Fund, L.P., a Cayman Islands limited partnership (“AGVRF,” and together with AGOMF, the “Alden Funds”).  The Company and the Alden Funds are referred to in this Agreement, collectively, as the “Parties,” and each a “Party”).

 

RECITALS

 

WHEREAS, as of the date hereof, the Alden Funds are deemed to beneficially own shares of Common Stock, par value $0.01 per share, of the Company (the “Common Stock”) totaling, in the aggregate, 11,544,213 shares of Common Stock (the “Shares”), or approximately 32%, of the Common Stock issued and outstanding on the date hereof;

 

WHEREAS, as of the date hereof, the Compensation, Nominating and Corporate Governance Committee of the Board of Directors of the Company (the “CNCG Committee”) and the Board of Directors of the Company (the “Board”) have considered the qualifications of the Alden Designees (as defined below) and conducted such review as they have deemed appropriate, including reviewing materials provided by the Alden Designees and the Alden Funds; and

 

WHEREAS, as of the date hereof, the Company and the Alden Funds have come to an agreement with respect to matters relating to the composition of the Board and certain other matters, as provided in this Agreement.

 

NOW, THEREFORE, in consideration of and reliance on the foregoing premises and the mutual covenants, representations, warranties and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto, intending to be legally bound hereby, agree as follows:

 

1.                                      Nomination and Election of Directors and Related Agreements; Annual Meeting.

 

a.                                      In connection with the execution of this Agreement, the Board and all applicable committees of the Board shall take all necessary actions to: (1) promptly set the size of the Board at eight (8) members, and (2) promptly appoint each Alden Designee as a director of the Company, which appointment will be effective immediately.  The size of the Board shall not be increased above eight (8) members during the Cooperation Period.

 

b.                                      Each Alden Designee agrees that, at all times while serving as a member of the Board, he or she shall (1) qualify as “independent” pursuant to the Securities and Exchange Commission (“SEC”) rules and regulations and NASDAQ listing standards, and (2) qualify to serve as a director under the Delaware General Corporation Law; provided, however, that any determination of “independence” for purposes of this Section 1(b) shall be without regard to the ownership by the Alden Funds of the Shares owned by each of them as of the date hereof or as may be after acquired in compliance with the terms and conditions of this Agreement.  Each Alden Designee will promptly advise the CNCG Committee in writing if he or she ceases to satisfy any of the conditions identified in the previous sentence.

 

c.                                       During the Cooperation Period (as defined below), the Board shall (1) nominate promptly each of the Alden Designees for election to the Board at each meeting of stockholders at which directors are to be elected; and (2) cause the Company to file a definitive proxy statement in respect of each meeting of stockholders at which directors are to be elected and recommend that the Company’s stockholders vote directly or by proxy in favor of, and otherwise use its commercially reasonable efforts to cause, the election of each of the Alden Designees.

 

d.                                      The Company shall hold its next annual meeting of stockholders on or before June 15, 2020.

 

e.                                       In the event that the Alden Fund’s, together with their Affiliates, beneficial ownership of the Company’s then-outstanding Common Stock falls below 10.0% of the Company’s then outstanding Common Stock at

 

1

 

any time during the Cooperation Period, the Alden Designees shall immediately tender their resignation from the Board and all committees thereof, and the Alden Funds’ rights under this Section 1 shall immediately terminate.

 

f.                                        Each of the Alden Funds agrees that the Board or any committee thereof may, upon a determination based on the advice of outside counsel that it is necessary to comply with applicable fiduciary duties, recuse the Alden Designees from the portion of any Board or committee meeting at which the Board or any such committee is evaluating or taking action with respect to any matter as to which either Alden Fund or any of its respective Affiliates has a conflict of interest.

 

g.                                       The Alden Funds, on their own behalf and on behalf of each of their Affiliates, hereby renounces any interest or expectancy in, and shall not pursue outside of the Company, any opportunity that it or they become aware of through the Alden Designees by virtue of their membership on the Board or any of its committees.

 

2.                                      Voting.

 

a.                                      During the period starting on the date hereof and ending on June 30, 2020 (the “Cooperation Period”), each of the Alden Funds agrees, on its own behalf and on behalf of its Affiliates, that neither it, nor its respective Affiliates, will directly or indirectly (except with the approval of the Company): (i) make, or in any way participate in, directly or indirectly, any “solicitation” of “proxies” (as such terms are used in the rules of the Securities and Exchange Commission promulgated under Section 14 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) to vote, or seek to advise or knowingly influence any Person with respect to the voting of, any voting securities of the Company or its subsidiaries, (ii) form, join or in any way participate in a “group” (as defined in Section 13(d)(3) of the Exchange Act) (other than with each other and each other’s respective Affiliates) in connection with any voting securities of the Company or its subsidiaries, (iii) otherwise act, alone or in concert with others, to seek to control or knowingly influence the management, Board (excluding the Alden Designees) or policies of the Company (provided, however, that in each case the Alden Funds and their Affiliates will not be in breach of their obligations under this clause (iii) on account of (x) the selection, nomination or election of the Alden Designees as directors or (y) their influence or control over the Alden Designees), (iv) take any action that would reasonably be expected to cause or require the Company to make a public announcement regarding any actions prohibited by this paragraph or (v) enter into any arrangements, understandings or agreements (whether written or oral) with, or advise, knowingly assist or knowingly encourage, any other Persons in connection with any of the foregoing. None of the Alden Funds or their respective Affiliates shall directly or indirectly make, in each case to the Company or a third party, any proposal, statement or inquiry, or disclose any intention, plan or arrangement, whether written or oral, inconsistent with the foregoing.

 

b.                                      During the Cooperation Period, each of the Alden Funds and their respective Affiliates who or which now or hereafter own or have the right to vote or direct the vote of any Shares shall, in respect of any election of directors or at any meeting of the stockholders of the Company called expressly for the removal of directors, vote or cause to be voted all Shares that they are entitled to vote, whether now owned or hereafter acquired, in favor of any nominee or director designated by the CNCG Committee and against the removal of any director designated by the CNCG Committee.

 

3.                                      Standstill.  During the Cooperation Period, without the prior written approval of the Board in its sole discretion, other than with respect to compensation granted to any nominees of the Alden Funds in respect of their service as directors, each Alden Fund severally, and not jointly, hereby agrees, on its own behalf and on behalf of its Affiliates, that it and its Affiliates shall not, directly or indirectly, acquire any equity, debt or convertible securities of the Company (including any derivative, synthetic or other securities based on or related to any Company securities, including any interests that would be covered by Section 5(f) below), or any interest therein, if such acquisition results in the Alden Funds, together with their Affiliates, beneficially owning, directly or indirectly, more than thirty-three percent (33%) of the Company’s then outstanding shares of Common Stock.

 

4.                                      Representations and Warranties of the Company.  The Company represents and warrants to the Alden Funds that:

 

a.                                      the Company has the corporate power and authority to execute this Agreement and to bind it thereto;

 

2

 

b.                                      this Agreement has been duly and validly authorized, executed and delivered by the Company, constitutes a valid and binding obligation and agreement of the Company, and is enforceable against the Company in accordance with its terms, except as enforcement thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance or similar laws generally affecting the rights of creditors and subject to general equity principles;

 

c.                                       the execution of this Agreement, the consummation of any of the transactions contemplated hereby, and the fulfillment of the terms hereof, in each case in accordance with the terms hereof, will not conflict with, or result in a breach or violation of the organizational documents of the Company as currently in effect; and

 

d.                                      the execution, delivery and performance of this Agreement by the Company does not and will not (i) violate or conflict with any law, rule, regulation, order, judgment or decree applicable to the Company, or (ii) result in any breach or violation of or constitute a default (or an event which with notice or lapse of time or both could constitute such a breach, violation or default) under or pursuant to, or result in the loss of a material benefit under, or give any right of termination, amendment, acceleration or cancellation of, any organizational document, agreement, contract, commitment, understanding or arrangement to which the Company is a party or by which it is bound.

 

5.                                      Representations and Warranties of the Alden Funds.  Each Alden Fund, severally and not jointly, represents and warrants to the Company that:

 

a.                                      it has the necessary power and authority to execute this Agreement and to bind it thereto;

 

b.                                      this Agreement has been duly authorized, executed and delivered by the such Alden Fund, and is a valid and binding obligation of such Alden Fund, enforceable against such Alden Fund in accordance with its terms, except as enforcement thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance or similar laws generally affecting the rights of creditors and subject to general equity principles;

 

c.                                       the execution of this Agreement, the consummation of any of the transactions contemplated hereby, and the fulfillment of the terms hereof, in each case in accordance with the terms hereof, will not conflict with, or result in a breach or violation of the organizational documents of such Alden Fund as currently in effect;

 

d.                                      the execution, delivery and performance of this Agreement by such Alden Fund does not and will not violate or conflict with any law, rule, regulation, order, judgment or decree applicable to such Alden Fund;

 

e.                                       neither such Alden Fund nor any of its Affiliates beneficially own any shares of Common Stock, except that:

 

i.                                          solely by and with respect to AGOMF, as of the date of this Agreement, AGOMF is deemed to beneficially own in the aggregate 6,345,288 shares of Common Stock; and

 

ii.                                       solely by and with respect to AGVRF, as of the date of this Agreement, AGVRF is deemed to beneficially own in the aggregate 5,198,925 shares of Common Stock.

 

f.                                        as of the date hereof, he, she or it does not currently have, and does not currently have any right to acquire, any interest in any other securities of the Company (for example, any rights, options or other securities convertible into or exercisable or exchangeable (whether or not convertible, exercisable or exchangeable immediately or only after the passage of time or the occurrence of a specified event) for such securities or any obligations measured by the price or value of any securities of the Company or any of its Affiliates, including any swaps or other derivative arrangements designed to produce economic benefits and risks that correspond to the ownership of Common Stock, whether or not any of the foregoing would give rise to beneficial ownership (as determined under Rule 13d-3 promulgated under the Exchange Act), and whether or not to be settled by delivery of Common Stock, payment of cash or by other consideration, and without regard to any short position under any such contract or arrangement);

 

g.                                       neither he, she or it or nor any of his, her or its Affiliates has formed, or has any present intent to form, a group (within the meaning of Section 13(d) under the Exchange Act) with any person (other than by or among one another or any of their respective Affiliates) in relation to the Company or the securities of the Company;

 

3

 

h.                                      no person other than the Alden Funds has any rights with respect to the Shares; and

 

6.                                      Termination.  This Agreement shall remain in full force and effect until the earliest of:

 

a.                                      the end of the Cooperation Period;

 

b.                                      if (i) an Alden Designee ceases to serve on the Board, (ii) the Alden Funds thereafter designate a replacement director that meets the requirements set forth in Section 1(b), (iii) the director designee submits such background materials as reasonably requested by the Board or the CNCG Committee, and (iv) the Board has not promptly, and in any event within 10 days after such background materials are submitted, appointed such director designee to fill the resulting vacancy;

 

c.                                       if either of the Alden Designees is not nominated by the Board for election at, or is not elected at, the Company’s annual stockholder meeting held in 2020;

 

d.                                      upon the Alden Funds’ delivery of written notice of termination, which may be given only if:

 

i.                                          any Related Party Investor:

 

A.                                    makes a proposal (other than a precatory proposal under Rule 14a-8) to bring any business at a meeting of the stockholders of the Company,

 

B.                                    otherwise acts, alone or in concert with others, to seek to control or (other than as it relates to any existing agreement with any such Related Party Investor) knowingly influence the management, Board or policies of the Company;

 

C.                                    cooperates, coordinates or otherwise acts in concert with the Board to nominate or elect a director proposed or employed by, or Affiliated with, such Related Party Investor; or

 

D.                                    directly or indirectly acquires beneficial ownership of shares of Common Stock (or any securities convertible or exchange for, or other rights to acquire, Common Stock) representing an additional five percent (5%) or more of the issued and outstanding Common Stock; or

 

ii.                                       the Company enters into a material agreement, arrangement, or understanding with any Related Party Investor, other than on terms no less favorable to the Company than would otherwise be obtainable through arms’-length negotiations with a bona fide third party (a “Related Party Agreement”), or alters, amends, supplements or modifies in any way a Related Party Agreement, other than on terms no less favorable to the Company than would otherwise be obtainable through arms’-length negotiations with a hypothetically similarly situated bona fide third party, or

 

iii.                                    the Company alters, amends, modifies or supplements, or waives or fails to enforce, the terms and conditions of any voting agreement or arrangement or standstill agreement or arrangement by and between the Company or any of its subsidiaries, on the one hand, and a Related Party Investor, on the other hand (other than alternations, amendments, modifications or supplements that (x) taken as a whole, make the agreement or arrangement more restrictive on the Related Party Investor and (y) to the extent less restrictive on the Related Party Investor, are automatically applicable, mutatis mutandis,  to any corresponding provision in this Agreement with respect to the Alden Funds and their Affiliates);

 

iv.                                   the Company does not enforce prohibitions on activities described in clauses (i)(A) or (i)(B) above on the part of such Related Party Investor; or

 

e.                                       such other date established by mutual written agreement of the Parties hereto.

 

Notwithstanding the foregoing, the provisions of this Section 6, Sections 9 through 13, Section 15 through Section 17 shall survive the termination of this Agreement; provided, however, that (x) the information sharing provisions of Sections 16 and 18 shall terminate at such time as no Alden Designee remains as a director of the Company and (y)

 

4

 

the confidentiality provisions of Section 16 shall terminate when (A) the Alden Director’s confidentiality obligations would otherwise terminate and (B) all material non-public information regarding the Company that has been received by the Alden Funds and its officers, employees, and principals ceases to qualify as such for purposes of applicable securities laws, and in any event no later than the first anniversary of the termination of this Agreement.  For the avoidance of doubt, for purposes of this Section 6, the term “Related Party Investor” shall exclude the Alden Funds and their respective Affiliates and, with respect to clauses (d)(i)(A) and (d)(i)(B) above, the Board.

 

7.                                      Press Release; Communications.  Promptly following the execution of this Agreement, the Company shall issue a mutually agreeable press release, in substantially the form attached hereto as Annex A (the “Mutual Press Release”), announcing certain terms of this Agreement.  In connection with the execution of this Agreement, and subject to the terms of this Agreement, no Party (including the Company’s Board and any committee thereof) shall issue any other press release or public statement regarding this Agreement or the matters contemplated hereby without the prior written consents of the other Parties, other than a Form 8-K and proxy statement materials for the 2020 Annual Meeting to be filed by the Company and an amendment to the Schedule 13D filed by the Alden Funds or their Affiliates relating to the Company to be filed by the Alden Funds or their Affiliates, provided, that the Company may make any ordinary course communications with Company constituencies, including employees, customers, suppliers, investors and stockholders, and SEC filing disclosures consistent with, and containing no material information not contained in, the Mutual Press Release, Form 8-K and Schedule 13D.  During the Cooperation Period, no Party shall make any public announcement or statement that is inconsistent with or contrary to the statements made in the Mutual Press Release, except as required by law or the rules and regulations of any stock exchange or governmental entity with the prior written consent of the Alden Funds and the Company, as applicable, and otherwise in accordance with this Agreement.  The Company, with respect to its Form 8-K, and the Alden Funds, with respect to the amendment to the Schedule 13D, will provide the other Party, prior to each such filing, a reasonable opportunity to review and comment on such documents, and each such Party will consider any comments from the other Party in good faith.

 

8.                                      Specific Performance.  Each of the Alden Funds, on the one hand, and the Company, on the other hand, acknowledges and agrees that irreparable injury to the other Party hereto would occur in the event any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached and that such injury would not be adequately compensable by the remedies available at law (including the payment of money damages).  It is accordingly agreed that the Alden Funds, on the one hand, and the Company, on the other hand (the “Moving Party”), shall each be entitled to specific enforcement of, and injunctive relief to prevent any violation of, the terms hereof, and the other Party hereto will not take action, directly or indirectly, in opposition to the Moving Party seeking such relief on the grounds that any other remedy or relief is available at law or in equity.  Each of the Parties hereto agrees to waive any bonding requirement under any applicable law.  This Section 8 is not the exclusive remedy for any violation of this Agreement.

 

9.                                      Expenses.  Each Party shall be responsible for its own fees and expenses incurred in connection with the negotiation, execution and effectuation of this Agreement and the transactions contemplated hereby; provided, however, that the Company shall reimburse the Alden Funds for their reasonable, documented out-of-pocket fees and expenses (including legal expenses) incurred in connection with the Alden Fund’s negotiation and execution of this Agreement, including the preparation and filing of an amendment to its Schedule 13D/A and any other securities filings in relation thereto.

 

10.                               Severability.  If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated.  The Parties agree to use their commercially reasonable best efforts to agree upon and substitute a valid and enforceable term, provision, covenant or restriction for any of such that is held invalid, void or enforceable by a court of competent jurisdiction.

 

11.                               Notices.  Any notices, consents, determinations, waivers or other communications required or permitted to be given under the terms of this Agreement must be in writing and will be deemed to have been delivered:  (a) upon receipt, when delivered personally; (b) upon confirmation of receipt, when sent by email (provided such confirmation is not automatically generated); or (c) one business day after deposit with a nationally recognized overnight delivery service, in each case properly addressed to the Party to receive the same. The addresses for such communications shall be:

 

5

 

	
If to the Company:
    	
Tribune Publishing   Company 
   160 N. Stetson Ave 
   Chicago, IL 60601 
   Attention: Julie K. Xanders, EVP, General Counsel 
   Telephone: (213) 237-2968 
   Email: Julie.Xanders@tribpub.com
    
	
 
    	
 
    
	
With copies (which shall not   constitute notice) to:
    	
Winston &   Strawn, LLP 
   35 West Wacker Drive 
   Chicago, IL 60601 
   Attention: Mark A. Harris and Christina T. Roupas 
   Telephone: (312) 558-6121 
   Email: maharris@winston.com and croupas@winston.com
    
	
 
    	
 
    
	
If to the Alden Funds:
    	
c/o Alden Global   Capital LLC 
   885 Third Avenue 
   New York, NY 10022 
   Attention: Michael Monticciolo 
   Telephone: (212) 418-6867 
   Email: mmonticciolo@aldenglobal.com
    
	
 
    	
 
    
	
With copies (which shall not   constitute notice) to:
    	
Akin Gump Strauss   Hauer & Feld LLP 
   One Bryant Park 
   New York, NY 10036 
   Attention: David J. D’Urso 
   Telephone: (212) 872-1010 
   Email: ddurso@akingump.com
    

 

12.                               Applicable Law.  This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Delaware without reference to the conflict of laws principles thereof.  Each of the Parties hereto irrevocably agrees that any legal action or proceeding with respect to this Agreement and the rights and obligations arising hereunder, or for recognition and enforcement of any judgment in respect of this Agreement and the rights and obligations arising hereunder brought by the other Party hereto or its successors or assigns, shall be brought and determined exclusively in the Court of Chancery in the State of Delaware (or, if any such court declines to accept jurisdiction over a particular matter, any state or federal court located in the State of Delaware).  Each of the Parties hereto hereby irrevocably submits with regard to any such action or proceeding for itself and in respect of its property, generally and unconditionally, to the personal jurisdiction of the aforesaid courts and agrees that it will not bring any action relating to this Agreement in any court other than the aforesaid courts.  Each of the Parties hereto hereby irrevocably waives, and agrees not to assert in any action or proceeding with respect to this Agreement, (a) any claim that it is not personally subject to the jurisdiction of the above-named courts for any reason, (b) any claim that it or its property is exempt or immune from jurisdiction of any such court or from any legal process commenced in such courts (whether through service of notice, attachment prior to judgment, attachment in aid of execution of judgment, execution of judgment or otherwise) and (c) to the fullest extent permitted by applicable legal requirements, any claim that (i) the suit, action or proceeding in such court is brought in an inconvenient forum, (ii) the venue of such suit, action or proceeding is improper or (iii) this Agreement, or the subject matter hereof, may not be enforced in or by such courts.  EACH OF THE PARTIES HERETO WAIVES THE RIGHT TO TRIAL BY JURY.

 

13.                               Counterparts.  This Agreement may be executed in two or more counterparts, each of which shall be considered one and the same agreement and shall become effective when counterparts have been signed by each of the Parties and delivered to the other Party (including by means of electronic delivery).

 

14.                               Mutual Non-Disparagement.  Subject to applicable law, each of the Parties covenants and agrees that, during the Cooperation Period (unless otherwise specified in accordance with this Agreement), neither it nor any of its respective agents, subsidiaries, affiliates, successors, assigns, officers, key employees or directors, shall in any way

 

6

 

criticize, attempt to discredit, make derogatory statements with respect to, call into disrepute, defame, make or cause to be made any statement or announcement that relates to and constitutes an ad hominem attack on, or relates to and otherwise disparages (or causes to be disparaged) the other Parties or their respective officers, directors or employees.

 

15.                               Liability of the Alden Funds for their Affiliates.  For the avoidance of doubt, in each case set forth herein in which the Affiliates of the Alden Funds are obligated to act or refrain from acting, each of the Alden Funds shall be directly liable to the Company for any acts or omissions of its respective Affiliates in breach of such obligations.

 

16.                               Confidentiality.

 

a.                                      During the course of their service as directors, the Alden Designees may receive certain confidential, non-public information of or concerning the Company and its subsidiaries in their capacity as directors (collectively, “Confidential Information”).  The Alden Designees who are identified by the Alden Funds as employees or Affiliates of the Alden Funds (each, an “Alden Director”), and only such identified Alden Directors, may share, on a need to know basis, such Confidential Information with the Alden Funds and the officers, employees, and principals thereof on the condition that the Alden Funds hereby acknowledge and agree that, as a condition to receiving such Confidential Information, they and their respective officers, directors, employees and principals who receive Confidential Information, shall keep such Confidential Information confidential, not disclose such Confidential Information to any other person (other than the Alden Designees, the Alden Funds and their respective officers, directors, employees and principals) and not use or permit the use of such Confidential Information for any purpose other than (x) advising the Alden Designee in the execution of his or her duties as a director of the Company or member of a committee of the Company’s Board or (y) monitoring and evaluation of the Alden Funds’ investment in the Company; provided that the Confidential Information may not be disclosed or made available to any Affiliate of the Alden Funds, including, without limitation, any such Affiliate that has substantial operations in the print media or online publication businesses (an “Industry Affiliate”).  The term “Confidential Information” shall not include information that (a) is or becomes available to the Alden Funds, the Alden Designee or their respective Affiliates on a non-confidential basis from a source other than the Company or its Affiliates; provided that such source is not known by the recipient to be bound by a confidentiality agreement with, or other contractual, legal or fiduciary obligation to, the Company that prohibits such disclosure, (b) is or becomes generally available to the public other than as a result of a disclosure by the Alden Funds, their Affiliates or their respective officers, directors, employees or principals in violation of this letter agreement, or (c) has been or is independently developed by the Alden Funds or their Affiliates without the use of, or reference to, the Confidential Information.

 

b.                                      Notwithstanding anything to the contrary, the Parties hereto agree that the Alden Funds are not subject to any of restrictions on directors of the Company promulgated by the Board, including without limitation the Company insider trading policies; provided, however, that the Alden Funds hereby agree, on their own behalf and on behalf of their respective Affiliates, that during any period that an Alden Director is serving as a director of the Company, the Alden Funds and their Affiliates will not acquire or dispose of any securities of the Company during any “black-out” period under the Company’s insider trading policy during which directors of the Company are not permitted to acquire or dispose of securities of the Company.  Without limiting the foregoing, the Alden Funds hereby acknowledge and agree that they, and their Affiliates and their respective officers, directors, employees and principals, are aware that the Confidential Information may contain material, non-public information about the Company, and that U.S. securities laws restrict any person who has material, non-public information about a company from purchasing or selling any securities of such company while in possession of such information.

 

c.                                       Notwithstanding anything to the contrary herein, in the event that the Alden Funds or any of their related persons properly in possession of Confidential Information receives a request or is required by deposition, interrogatory, request for documents, subpoena, civil investigative demand or similar process or pursuant to a formal request from a regulatory examiner (any such requested or required disclosure, an “External Demand”) or otherwise pursuant to applicable law, regulation or the rules of any national securities exchange (as determined based on the advice of outside legal counsel) to disclose all or any part of the Confidential Agreement, the Alden Funds shall, except to the extent expressly prohibited by applicable law (a) promptly notify the Company in writing of the existence, terms and circumstances surrounding such External Demand or other requirement, (b) cooperate with the Company, at the Company’s request and sole expense, in seeking a protective order or other appropriate remedy to the extent available under the circumstances.  In the event that a protective order or other remedy is not obtained or not available or the Company does not request seeking a protective order or other remedy, the applicable Person may disclose only that portion of the Confidential Information which it is legally required to disclose.

 

7

 

17.                               Entire Agreement; Amendment and Waiver; Successors and Assigns; Third Party Beneficiaries.  This Agreement (including, for purposes of this Section 17, the Annexes hereto) contains the entire understanding of the Parties hereto with respect to its subject matter.  There are no restrictions, agreements, promises, representations, warranties, covenants or undertakings between the Parties other than those expressly set forth herein and incorporated pursuant thereto.  No modifications of this Agreement can be made except in writing signed by an authorized representative of each of the Company and the Alden Funds.  No failure on the part of any Party to exercise, and no delay in exercising, any right, power or remedy hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of such right, power or remedy by such Party preclude any other or further exercise thereof or the exercise of any other right, power or remedy.  All remedies hereunder are cumulative and are not exclusive of any other remedies provided by law.  The terms and conditions of this Agreement shall be binding upon, inure to the benefit of, and be enforceable by the Parties hereto and their respective successors, heirs, executors, legal representatives, and permitted assigns.  No Party shall assign this Agreement or any rights or obligations hereunder without, with respect to the Alden Funds, the prior written consent of the Company, and with respect to the Company, the prior written consent of the Alden Funds.  This Agreement is solely for the benefit of the Parties hereto and is not enforceable by any other persons.

 

18.                               Cooperation Meetings.  The Parties acknowledge and agree that newspaper and media operations are complex businesses that operate in dynamic and rapidly changing markets, and, as a result, require specialized and complicated analysis and planning to maximize business and financial performance.  Accordingly, the Parties agree that the senior managers of each of the Company and the Alden Funds’ Industry Affiliates will periodically communicate, in person and by electronic means, to exchange information, insights and best practices regarding their respective operations.  The Parties agree that, subject to appropriate confidentiality agreements and in accordance with applicable law, the participants to such communications may share relevant financial and business information to facilitate the information exchange; provided, however, that neither participant shall be obligated to disclose competitively sensitive, privileged or trade secret information to the other participant.

 

19.                               Definitions.  In addition to the various defined terms set forth elsewhere in this Agreement, the following terms used in this Agreement have the following meanings:

 

a.              “Affiliate” means, as to any Person, any other Person that, directly or indirectly, is in control of, is controlled by, or is under common control with, such Person.  For purposes of this definition, “control” of a Person means the power, directly or indirectly, to direct, or cause the direction of, the management and policies of such Person, whether by contract or otherwise.  Notwithstanding the foregoing, for purposes of this Agreement, (i) the Company and its Affiliates, on the one hand, shall not be deemed to be Affiliates of the Alden Funds or their Affiliates, on the other hand, and (ii) each of the President and principal of Alden Global Capital LLC, and each of their respective Affiliates, are “Affiliates” of the Alden Funds.

 

b.              “Alden Designees” means, initially, each of Ms. Dana Goldsmith Needleman and Mr. Christopher Minnetian and any successor designated by the Alden Funds to serve on the Board.

 

c.               “Person” means any individual, person, entity, general partnership, limited partnership, limited liability partnership, limited liability company, corporation, joint venture, trust, business trust, cooperative, association, foreign trust or foreign business organization and the heirs, executors, administrators, legal representatives, successors and assigns of the “Person” when the context so permits.

 

d.              “Related Party Investor” means any Person that, together with its Affiliates, beneficially owns more than 15% of the issued and outstanding Common Stock (or is a member of a group that beneficially owns more than 15% of the issued and outstanding Common Stock).

 

[The remainder of this page intentionally left blank]

 

8

 

IN WITNESS WHEREOF, this Agreement has been duly executed and delivered by the duly authorized signatories of the Parties as of the date hereof.

 

	
TRIBUNE PUBLISHING COMPANY
    	
 
    
	
 
    	
 
    
	
By:
    	
Timothy   P. Knight
    	
 
    
	
Name:   Timothy P. Knight
    	
 
    
	
Title:   President and CEO
    	
 
    
			

 

[Signature Page to Cooperation Agreement]

 

 

	
ALDEN GLOBAL   OPPORTUNITIES MASTER FUND, L.P.
    	
 
    
	
 
    	
 
    
	
By: Alden Global Capital, LLC,
    	
 
    
	
its Investment Advisor
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
By:
    	
Michael Monticciolo
    	
 
    
	
Name:Michael   Monticciolo
    	
 
    
	
Title: Authorized   Signatory
    	
 
    
	
 
    	
 
    
	
ALDEN GLOBAL VALUE   RECOVERY MASTER FUND, L.P.
    	
 
    
	
 
    	
 
    
	
By: Alden Global Capital, LLC,
    	
 
    
	
its Investment Advisor
    	
 
    
	
 
    	
 
    
	
By:
    	
Michael Monticciolo
    	
 
    
	
Name: Michael Monticciolo
    	
 
    
	
Title: Authorized   Signatory

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}]]