Document:

Distribution Agreement

 Exhibit 10.49 
 [***] Information has been omitted and filed separately with the Securities and Exchange Commission. Confidential Treatment has been requested with respect to the omitted portions. 

DISTRIBUTION AGREEMENT 
 between 
 ZELTIQ AESTHETICS, INC. 

And 

ADVANCE Medical, Inc 
  

					
	ZELTIQ AESTHETICS, INC.	  		 	
	 Address:
	  		 	
	 4698 Willow Road
	  	 Attention:
	 	 John Howe

	 Pleasanton, CA 94588
	  		 	 Chief Financial Officer

			
	ADVANCE MEDICAL, INC.	  		 	
	 Address:
	  		 	
	 530 Fifth Avenue, 22nd Floor,
	  	 Attention:
	 	 Fred Aslan

	 New York, NY 10036
	  		 	   Chief Executive Officer

		
	EFFECTIVE DATE:	  	 March 18, 2011
  

  

  
 ZELTIQ
CONFIDENTIAL 
  

 DISTRIBUTION AGREEMENT 

This DISTRIBUTION AGREEMENT is hereby made and entered into as of the Effective Date (as
specified on the cover page of this Agreement) by and between Zeltiq Aesthetics, Inc., a company incorporated under the laws of Delaware with an office located at 4698 Willow Road, Pleasanton, CA, 94588, USA (“Zeltiq”) and ADVANCE
Medical, Inc , a company incorporated under the laws of Delaware with an office located at 530 Fifth Avenue, 22nd Floor, New York, NY 10036 (“Distributor”). 

WHEREAS, Zeltiq has developed and manufactures, markets and sells medical devices and related items.

 WHEREAS, Distributor is experienced in the importation, distribution, marketing, sale and
support of such equipment and desires to promote and distribute certain Zeltiq products in the Territory, as defined below. 
 NOW, THEREFORE, in consideration of the mutual covenants and conditions herein contained, and intending to be legally bound by this Agreement, the parties agree as follows:

  

	1.	SCOPE OF THE AGREEMENT 

 (a) Appointment. Subject to the terms and conditions of this Agreement, including the requirements set forth in Section 2, Zeltiq hereby appoints Distributor as the authorized distributor of
the Zeltiq products (“Products”) listed in Exhibit A, Section 2 and in the territory set forth on Exhibit A, Section 1 (“Territory”) and Distributor accepts such appointment. Furthermore, Distributor may have the
opportunity to be appointed an exclusive territory that shall be defined in Exhibit A, Section 1. The term “exclusive” as used herein means that as long as Distributor is complying with this Agreement Zeltiq shall not appoint another
third party distributor to sell Products in the Territory. 
 (b) Sole Supplier. Distributor shall not
obtain the Products for resale from any person or entity other than Zeltiq. Notwithstanding the longer duration of the Agreement, this exclusive purchase obligation applies for a maximum period of five (5) years from the Effective Date and is
contingent upon the continued duration of the Agreement for such period of time. Distributor may not sell the Products to customers in another territory where Zeltiq has exclusively reserved such territory for itself or another distributor,
Distributor shall be prevented from directly or indirectly (including through its affiliates), actively searching and filling orders for any of the Products in that other territory. However, Distributor shall not be prevented from accepting and
filling unsolicited orders for the Products from a customer located outside the Territory. 
 (c) Authorized
Supplies. Distributor shall sell, offer for sale and promote only the supplies, spare parts, Procedure Cards (as defined in Section 5(a)) and other peripheral equipment listed on Exhibit A, Section 2 (collectively “Supplies”)
for use in conjunction with the Control Unit and Applicator (as such terms are defined below). Distributor shall not sell, offer for sale or promote the use of expired or reprocessed Procedure Cards . For clarity, Supplies are “Products”
for purposes of this Agreement. 
 (d) Products. Zeltiq reserves the right to discontinue or modify the
Products, modify the Product specifications, or replace the Products with other Zeltiq or third party products in its sole discretion, provided that, except as required by law, any such discontinuations, modifications, or replacements will not apply
to Products that are subject to an outstanding purchase order accepted by Zeltiq pursuant to Section 4. 

  
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ZELTIQ CONFIDENTIAL 

 (e) Competitive Products. During the Term, the Distributor shall not
promote or sell, directly or indirectly, any products or treatments manufactured or offered for sale by another person or entity, which product or treatment serves the purpose of localized fat removal or body sculpting for esthetic purposes [by
freezing] (the “Field”) (each, a “Competing Product”). Distributor warrants that it does not promote or sell, directly or indirectly, any Competing Products as of the Effective Date. During the Term (as defined below),
Distributor shall disclose to Zeltiq any new products or treatments for use in the aesthetic improvement field that Distributor intends to promote or sell, as well as the manufacturer of such products or treatments, prior to promoting or selling
such products or treatments and Distributor will have the right to promote and sell such products as long as they are not reasonably deemed by Zeltiq to be Competing Products. 

(f) Certain Entities. Zeltiq may prohibit Distributor from providing Products to any entity or person that it
reasonably believes is using the Products in violation of: (i) the terms of this Agreement or any Customer Agreement (as defined below), or (ii) any law, regulation, policy, guideline, order, or similar authority issued by a federal, state
or local government or any agency, board or commission thereof. 
 (g) Independent Contractors. The
relationship of Zeltiq and Distributor established by this Agreement is that of independent contractors and nothing contained herein shall be construed to: (i) give either party the power to direct and control the day-to-day activities of the
other, (ii) constitute the parties as partners, joint ventures, co-owners or otherwise as participants in a joint or common undertaking, or (iii) allow Distributor to create or assume any obligation on behalf of Zeltiq. All financial
obligations associated with Distributor’s business and its performance under this Agreement are the sole responsibility of Distributor. All sales and other agreements between Distributor and its Customers are Distributor’s exclusive
responsibility and shall have no effect on Distributor’s or Zeltiq’s obligations under this Agreement. 
 (h) Subdistributors. Notwithstanding anything to the contrary herein, Distributor shall have the ability to appoint and use (i) its parent and any of its subsidiaries and affiliates
(collectively “Affiliates”) and (ii) TransUniversal (“TU”) (through its affiliate, United Medical Ltda. (“UM”)) to market, sell and distribute the Products. Distributor shall ensure that each of the
foregoing entities are bound to the terms and conditions of this Agreement as if original signatories hereto, exception made to the term and any other specific provisions that may be described in the relevant subdistribution agreement. Distributor
shall not appoint or use any additional third parties to market, sell or distribute the Products unless such subdistributors, and Distributor’s written agreement authorizing such subdistributor to market, sell or distribute Products, has been
expressly approved by Zeltiq in writing. Distributor shall be liable for, and shall indemnify Zeltiq against, any damages or losses caused to Zeltiq by any subdistributors appointed by Distributor pursuant to this Section 1(h). Furthermore,
Distributor warrants that the authorized subdistributors may only market, sell and distribute the Products if they have the proper permits before the relevant Brazilian regulatory authorities to do so, including, but not limited to, the Brazilian
National Health Surveillance Agency (“ANVISA”). Distributor agrees that its agreement with TU and UM shall be in the form previously provided to Zeltiq, and Distributor agrees that it will not amend or remove any provisions from
such agreement that affect Zeltiq’s rights without Zeltiq’s prior written consent. Distributor agrees that Zeltiq may, in its sole discretion, at any time following the date that is 180 days after the date of this Agreement, revoke the
ability of Distributor to appoint and use any subdistributor to market, sell and distribute the Products. 
  

	2.	RESPONSIBILITIES OF DISTRIBUTOR 

 (a) Marketing and Promotion Generally. Distributor shall use its commercially reasonably efforts to promote and sell the Products in the Territory, and shall at its cost and expense:
(i) devote part of its own work force, in a sufficient number of specialized, trained, and qualified personnel 

  
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ZELTIQ CONFIDENTIAL 

 
to promote and sell the Products in the Territory; (ii) maintain, within its existing structure, a dedicated professional sales and service organization as necessary to install the Product
at Customer locations and to provide training and Customer service for the Product in the Territory; and (iii) otherwise operate its business in a professional and ethical manner, in each case in accordance with this Agreement. For avoidance of
doubts, the Distributor warrants that (i) no relevant operational infrastructure investment (e.g. office, sales personnel) is necessary for the performance of this Agreement and (ii) in the same sense, the authorized subdistributors have
the necessary structure to perform all obligations in connection with the market, sale and distribution of the Products. 
 (b) Marketing Plan. Distributor shall provide a twelve (12) month sales and marketing plan (“Annual Marketing Plan”) for Zeltiq’s review and approval within sixty
(60) days of the Effective Date of this Agreement, which plan shall (i) list sales goals for the following twelve (12) month period for each Product, (ii) specify Distributor’s planned media activities in support of each
Product, (iii) identify key opinion leaders on which sales and marketing efforts will be focused, and (iv) establish an audit plan for Customer accounts to assess (A) procedure expectation management, (B) patient selection, and
(C) Product usage. Distributor shall update the Annual Marketing Plan and provide such updated plan to Zeltiq at least sixty (60) days prior to each anniversary of the date the first Annual Marketing Plan was approved by Zeltiq. Upon
Zeltiq’s approval, Distributor shall implement the Annual Marketing Plan. 
 (c) Monthly Forecasts;
Sales and Marketing Reports. During the first week of each calendar month, Distributor will provide to Zeltiq a Product purchase forecast and a sales and marketing report in the form and format set forth on Exhibit F (“Monthly Forecast,
Sales and Marketing Report”). Each Forecast, Sales and Marketing Report shall contain a forecast that specifies the number of Products Distributor intends to purchase during the ninety (90) day period beginning on the date of the report
(“Forecast”). 
 (d) Quarterly System Quota. Upon execution of this Agreement Distributor will
purchase an “Initial Order” of Products as set forth on Exhibit A, Section 3. Each calendar quarter during the Term, Distributor shall purchase a minimum quantity of Products set forth on Exhibit A, Section 3 (the “Quarterly
System Quota”). The Quarterly System Quotas for the first calendar year are set forth on Exhibit A, Section 3. Zeltiq and Distributor shall establish a Quarterly System Quota for the four quarters of each calendar year within sixty
(60) days prior to the start of such calendar year. If Distributor fails to meet the Quarterly System Quota for any calendar quarter, Zeltiq may, upon written notice to Distributor, at Zeltiq’s option either convert Distributor’s
exclusive rights in the Territory to non exclusive rights for the remainder of the Term or terminate this Agreement in accordance with Section 6 (b). 
 (e) General Performance Standards. Distributor agrees that the continued maintenance of an image of excellence and ethical marketing of the Products is essential to the continued success of both
parties. Accordingly, Distributor: 
 (1) shall not engage in deceptive, misleading, or unethical practices that
are or might be detrimental to Zeltiq, the Products, or the public, including any such practices directed at Competing Products; 
 (2) shall make no false, misleading or deceptive statements or representations, either orally or in any written materials, with regard to Zeltiq, Distributor or the Products; 

(3) shall make no representations, warranties, or guarantees to Customers or to the trade with respect to the
specifications, indications, capabilities, or features of the Product that are inconsistent with the literature provided to Distributor by Zeltiq for marketing purposes; and 

(4) shall not promote the Products other than for use with their labeled indications. 

  
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ZELTIQ CONFIDENTIAL 

 (f) Legal Compliance. Distributor shall comply at its expense with
all laws governing the distribution, promotion, marketing, training and sale of the Products in the Territory. Without limiting the foregoing, Distributor: 
 (1) shall, except for Zeltiq’s obligation with respect to maintenance of quality systems in accordance with Section 3(c), obtain, directly or through its Affiliates or subdistributors, all
governmental authorizations, licenses, filings, approvals and similar requirements, such as medical device approvals, export/import licenses and foreign exchange permits, necessary or advisable to import, distribute and sell the Products in the
Territory (collectively, “Approvals”). To the fullest extent allowed under applicable law, all Approvals shall be obtained in the name of Zeltiq alone. Distributor shall provide copies of all Approvals to Zeltiq promptly after they are
obtained. Distributor represents and warrants that all Approvals Distributor (or its Affiliates or subdistributors) has not obtained prior to the Effective Date shall be obtained by the Distributor (or its Affiliates or subdistributors) prior to the
importation, distribution or sale of Products in the Territory. Nothing in this Agreement shall limit Zeltiq’s right in its sole discretion to obtain for itself any Approval. Zeltiq shall have the option to acquire any Approval obtained by
Distributor (or its Affiliates or subdistributors), or any application for such an Approval, including all related documentation and any documents required to facilitate and execute the transfer of such Approval or application to Zeltiq or its
nominee, by (i) providing 90 days prior written notice at any time during the Term or within 90 days after termination of this Agreement, and (ii) paying Distributor an amount for such Approval not to exceed US$5,000 for each country to
which the Approval applies. 
 (2) shall keep Zeltiq informed in writing of regulatory requirements, and any
changes thereto, imposed by the laws of the Territory applicable to the Products and on any and all efforts made by Distributor to comply therewith; 
 (3) shall comply promptly with any recalls of the Product issued by Zeltiq or by any applicable regulatory authorities; 

(4) shall comply with the obligations specified in Exhibit B and shall otherwise accept notifications from Customers or
any physician or user of the Product in the Territory regarding complaints and adverse events with respect to the Products, including: alleged or actual Product malfunctions; alleged or actual injury to patients or operators (even if caused by use
error); alleged or actual counterfeiting; non-routine servicing or installation, e.g., repairs of an unexpected nature, replacement of parts earlier than their normal life expectancy, or identical repairs or replacements of multiple units of a
device are not routine servicing (collectively, “Complaints”). Distributor shall notify Zeltiq of any Complaints within twenty four (24) hours of the Distributor becoming aware of the complaint, meaning that an employee or contractor
of the Distributor has acquired information that suggests a Complaint may have occurred; 
 (5) shall maintain a
detailed tracking system that enables Distributor to track Products by Customer, physician or recipient name and address, part number(s) shipped, serial number(s) shipped, quantity shipped and dates of shipment, and shall provide such information
within twenty four (24) hours upon request by Zeltiq; 
 (6) at the request of Zeltiq, shall forward to
physicians and any other recipients of the Product in the Territory communications or notifications originated by Zeltiq and shall provide written confirmation of having delivered such requested communications or notifications to such recipients
within five (5) days after delivery to Distributor, provided that Zeltiq will be responsible for any additional costs incurred to meet this obligation above and beyond normal post or next day document delivery charges; 

(7) shall designate an employee of Distributor as regulatory liaison to Zeltiq and shall notify Zeltiq of the identity
and contact details of such employee; 

  
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ZELTIQ CONFIDENTIAL 

 (8) shall promptly advise Zeltiq of any laws, rules or regulations in the
Territory that may require Zeltiq to modify a Product otherwise take any action in connection with the Products or this Agreement; 
 (9) shall maintain records as necessary to comply with, and to demonstrate its compliance with, all applicable laws, rules and regulations with respect to the sale of the Products in the Territory; and

 (10) shall comply with the laws of the Territory, the United States and any other applicable jurisdiction
(including the U.S. Foreign Corrupt Practices Act) that address payments to governments or related persons for the purpose of obtaining or retaining business for or with, or directing business to, any person, or otherwise affecting the actions of
any government personnel. 
 (g) Translation of Product Materials. Unless otherwise directed by Zeltiq in
its sole discretion, Distributor: 
 (1) shall, at its expense using language experts reasonably familiar with
aesthetic products and medical device terminology in the Territory for the Products (“Translators”), timely review all technical, labeling, advertising, marketing and training materials and all notices or other materials supplied by or on
behalf of Zeltiq (collectively, “Product Materials”) as previously translated into one or more languages appropriate for the Territory, specially Portuguese. Distributor shall provide written feedback (“Translation Feedback”)
regarding its review of the translated Product Materials to Zeltiq and/or its designate within forty-five (45) days of its receipt of translated Product Materials. Translation Feedback shall contain, at a minimum: (A) suggestions for
corrections to the translated Product Materials consistent with the original English versions so as to maintain their accuracy and so as not to alter their content or meaning, consistent with the idioms and customs of the Territory (collectively or
individually, a “Conforming Translation”), (B) copies of translated Product Materials as so corrected, (C) explanation of suggested corrections, or, in the case no corrections are suggested, (D) confirmation that the
translated Product Materials suffice as Conforming Translations. 
 (2) alternatively, as may be directed by
Zeltiq in its sole discretion, Distributor shall translate, at its expense using Translators, all English versions of Product Materials into one or more languages appropriate for the Territory, specially Portuguese, to produce Conforming
Translations. At least forty-five (45) days prior to distributing Products or using such translations in commerce, Distributor shall provide Zeltiq and/or its designate with copies of all translations for review and approval. Distributor shall
make any changes to the translated Product Materials requested by Zeltiq and/or its designate in connection with a review of such materials. 
 Distributor shall not distribute any translated Product Materials until Zeltiq has finally approved such materials in writing. Distributor hereby assigns all its rights in the translated Product Materials
to Zeltiq and Zeltiq hereby grants Distributor a non-exclusive, non-transferable license during the Term to reproduce and distribute the translated Product Materials solely in connection with the distribution of the Products in accordance with this
Agreement. 
 (h) Customer Support, Training, Certification and Product Service 

(1) Distributor shall have the sole responsibility for (A) obtaining orders for Products from Customers,
(B) installing the Products at Customer locations, (C) providing First-Level Support to Customers, (D) training Customers with respect to the Products sold by Distributor, and (E) handling all other interactions with Customers in
the Territory with respect to the Products. Without limiting Distributor’s other obligations in this subsection (h), Distributor shall at all times maintain a sufficient level of understanding of the Products to enable Distributor to provide
basic technical information to Customers regarding the Products, to effectively sell and service the Products, and to obtain Customer orders and provide assistance to Customers in determining and fulfilling their requirements with respect to the
Products. For clarity, Zeltiq shall have no obligation hereunder to respond to or otherwise interact 

  
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ZELTIQ CONFIDENTIAL 

 
with any Customers in the Territory. The term “First-Level Support” means a level of support at least at the level that Certified Personnel are trained to provide in accordance with the
Zeltiq Training Program (as such terms are defined below). 
 (2) Distributor personnel shall participate in
Zeltiq’s standard training program applicable to the Products (“Zeltiq Training Program”) before selling any Products. The training will be provided at Zeltiq’s facilities unless another location is agreed by the parties.
Distributor shall be responsible for the travel-related costs and expenses of its personnel that attend the Zeltiq Training Program. Zeltiq and Distributor shall mutually agree to the number of Distributor personnel that must attend the Zeltiq
Training Program based on the size of the Territory, the number of potential customers in the Territory, and Distributor’s actual or potential sales of Products. 

(3) Distributor shall train all Customers with respect to the use of the Products in accordance with the then-current
requirements of the Zeltiq Training Program. Distributor shall only use training documentation provided by Zeltiq in performing Customer training. Distributor shall create and maintain a record of training for each Customer trained by Distributor
with respect to the Products substantially in the form attached hereto as Exhibit C (“Installation Record”).  
 (4) Distributor shall agree to participate and comply with the professional programs provided by Zeltiq (“Certified Partnership Program”). Zeltiq shall present the Certified Partnership
Programs within sixty (60) days of the Effective Date of this Agreement or within thirty (30) days of Distributor’s participation of the Zeltiq Training Program; whichever is earlier. 

(5) Distributor shall perform all Product service in accordance with the requirements set forth in the Zeltiq Training
Program and otherwise provided by Zeltiq to Distributor in writing from time to time during the Term, including requirements regarding Customer service response times, the provision of loaner Products, and similar matters. Distributor shall document
and maintain records of all Product service (“Service Records”) in accordance with the Zeltiq requirements identified in Exhibit D. Distributor shall offer and provide Product service (for Products in and out of warranty) to all Customers
in the Territory. With respect to out-of-warranty service, Distributor shall warrant its workmanship with respect to Product service for at least ninety (90) days after completion thereof. Distributor shall, within five (5) days after
Zeltiq’s request, provide Zeltiq with any or all Service Records. 
 (6) Zeltiq may in its sole discretion
provide Distributor with software enhancements and new features compatible with the Products (“New Features”). Distributor shall at its expense distribute the New Features to Customers in accordance with Zeltiq’s
instructions and shall support Customer installation thereof, unless Zeltiq provides written notice to Distributor that Zeltiq wishes to directly install or support such New Features, in which case Distributor shall provide Zeltiq with all
assistance reasonably requested by Zeltiq. Distributor shall create and maintain a record of each New Feature installation performed by Distributor as part of the Service Records. 

(i) Inventory. Distributor at a minimum shall purchase one (1) Service Unit at the time of the Initial Order
(as defined above “Minimum System Quota”). Distributor will purchase Service Units at a ratio of one (1) Zeltiq System for every fifteen (15) customer installations. Therefore, upon the 16th Customer installation, Distributor
shall purchase at a minimum its second Service Unit. Distributor shall not be required to purchase Consumables when securing Service Units. Distributor shall also purchase and maintain, without right of return (except as specified in
Section 5), an adequate inventory of Zeltiq Products for use in repairing Control Units and Applicators (as such terms are defined below) (“Spare Parts”), the adequacy of which shall be mutually determined by Zeltiq and Distributor.
Distributor may use such inventory for all repairs and replacements, whether or not covered under the Zeltiq warranty described in Section 5. If Distributor uses a Spare Part to service a claim under the Warranty, Zeltiq shall replace that part
in Distributor’s inventory upon return of a failed part to Zeltiq and after Zeltiq’s receipt of the Service Record applicable to such repair or replacement. Distributor shall report in writing the status of its inventory of Service Units
and Spare Parts to Zeltiq on each Forecast, Sales and Marketing Report. 

  
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ZELTIQ CONFIDENTIAL 

 (j) Insurance. Distributor shall maintain during the term insurance
coverage consistent with industry standards for businesses engaged in the distribution of medical devices, including product liability, transportation (even by third parties) and product recall insurance. Upon Zeltiq’s request Distributor shall
provide certificate of insurance. 
 (k) Structure and Resources. Distributor undertakes that it has the
necessary structure and resources to support all the obligations contained herein and that no material investment shall be necessary for that purpose. 
  

	3.	RESPONSIBILITIES OF ZELTIQ 

 (a) Fulfillment of Product Orders; Warranty. Zeltiq shall fulfill orders for Products in accordance with Section 4 and shall replace or repair defective Products that are under warranty in
accordance with Section 5. 
 (b) Product Materials. Zeltiq shall provide Distributor the Product
Materials that Zeltiq generally provides to other distributors of the Products. All such materials shall be provided in the English language. Upon reasonable request by Distributor, Zeltiq agrees to supply all necessary documentation to enable
Distributor to comply with Government regulations in the Territory, including but not limited to safety testing documentation, clinical trial results, hazard and risk analysis documents and copies of Zeltiq’s technical file with respect to the
Products. 
 (c) Quality Systems. Zeltiq shall establish and maintain an ISO
13485 compliant quality system for the design and manufacture of the Products and shall comply with the obligations listed in Exhibit B of this Agreement. 

(d) New Products. The Products purchased by Distributor from Zeltiq under this Agreement shall be new unless
indicated otherwise by Zeltiq on a purchase order accepted by Zeltiq in accordance with this Agreement, provided that such Products may contain components that have been previously used in other Zeltiq product units. Products that contain such
previously used components shall meet or exceed Zeltiq’s written specifications for such Products. 
 (e)
Product Field Actions. From time to time Zeltiq may be required to effect a Product correction (e.g., a Field Safety Corrective Action) that requires removal of the Product from Customer premises or the provision of an advisory notice to
Customers, which correction is intended to reduce a risk of death or deterioration in the state of health associated with the use of a Product (each, a “Product Field Action”). If Zeltiq determines in its sole discretion that an
investigation by a government office or agency, regulatory authority or any other third party requires a Product Field Action, Zeltiq shall notify Distributor of such Product Field Action and Zeltiq shall perform such Product Field Action.
Distributor shall cooperate with, and provide assistance to, Zeltiq in connection with such Product Field Action, including locating and retrieving the Products, if necessary, and complying with the reasonable instructions of Zeltiq. Zeltiq shall
reimburse Distributor for all reasonable, documented third party out-of-pocket expenses incurred by Distributor in performing cooperation and assistance requested by Zeltiq in connection with Product Field Actions. 

  
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ZELTIQ CONFIDENTIAL 

	4.	TERMS OF PURCHASE OF PRODUCTS BY DISTRIBUTOR 

 (a) Terms of Purchase of Products. All purchases of Products by Distributor from Zeltiq will be governed exclusively by the terms and conditions set forth in this Agreement and further defined in this
Section 4. 
 (b) Order, Acceptance and Cancellation. Distributor shall order Products by providing
written documentation “Purchase Orders” and shall reference the then current Product Prices (“Purchase Price”) as set forth in Exhibit A, Section 2. Zeltiq shall have the right to modify the Purchase Price at its sole
discretion upon forty-five (45) days written notice to Distributor. Zeltiq will notify Distributor of the acceptance of an order by written confirmation. Distributor may cancel product orders by providing written notice prior to Zeltiq’s
scheduled shipment of the Product(s) or within ten (10) business days of acceptance of Purchase Order, whichever is later. 
 (c) Taxes. The Purchase Prices do not include national, state or local excise, sales, use, value added or other taxes (“Taxes”) now or hereafter levied by any governmental
authority on the sale, purchase, transport or delivery of the Products. Distributor is responsible for all taxes associated with the order at the (time of the sale or thereafter). Distributor shall be responsible for reimbursement of any and all
Taxes paid by Zeltiq within thirty (30) days of shipment. 
 (f) Payment. All orders will be
prepaid prior to shipment via wire transfer or letter of credit. 
 (g) Shipping. Terms of transportation
and delivery of product is EX-WORKS at Zeltiq’s facility. In addition to Distributor’s responsibility to pay for all costs associated with insurance, freight, import/export charges, and similar costs and expenses related to the shipment or
the Products; Distributor shall pay a packaging fee to Zeltiq totaling Five Hundred U.S. Dollars (US $500) for each Control Unit that is purchased. Zeltiq shall select a freight forwarder or carrier (“Carrier”) unless Distributor
designates Carrier within the Purchase Order. Upon delivery of each Product to the Carrier, the title will transfer to Distributor, and deemed accepted by the Distributor without right of return. Zeltiq will have no further obligation or liability
with respect to the delivery of such Product. 
  

	5.	PRODUCT WARRANTY 

 (a) Control Unit Warranty. The warranty period for the control unit (“Control Unit”) shall be three (3) years following the earlier of (i) the date on which Distributor has
installed the Control Unit and (ii) the date that is sixty (60) days after the date Zeltiq ships the Control Unit to Distributor (or to Customer, if the Control Unit is drop shipped) pursuant to a Purchase Order (“Standard Control
Unit Warranty Period”). Zeltiq warrants to Distributor during the Standard Control Unit Warranty Period, and subject to the provisions of this Section 5 (Product Warranty), that the Control Unit will be free from material defects in
materials and workmanship and will substantially conform to Zeltiq’s written specifications applicable to the Control Unit as such specifications exist on the date of shipment (“Control Unit Warranty”). 

(b) Applicator Warranty. The warranty period for the applicator (“Applicator”, excluding the associated
replaceable Procedure Cards “Procedure Cards”) shall be one (1) year following the earlier of (i) the date on which Distributor has installed the Applicator and (ii) the date that is sixty (60) days after the date
Zeltiq ships the Applicator to Distributor (or to Customer, if the Applicator is drop shipped) pursuant to a Purchase Order (“Standard Applicator Warranty Period”). Zeltiq warrants to Distributor during the Standard Applicator Warranty
Period, and subject to the provisions of this Section 5 (Product Warranty), that the Applicator will be free from material defects in materials and workmanship and will substantially conform to Zeltiq’s written specifications applicable to
the Applicator as such specifications exist on the date of shipment (“Applicator Warranty”). 
 (c)
Procedure Card Warranty. The warranty period for the Procedure Cards shall be for the useful life of Procedure Cards, which period shall begin on the date Zeltiq ships the applicable 

  
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ZELTIQ CONFIDENTIAL 

 
Procedure Cards to Distributor (or to Customer, if the Procedure Cards are drop shipped) pursuant to a Purchase Order (the “Procedure Card Warranty Period”). Zeltiq warrants to
Distributor during the Procedure Card Warranty Period and subject to the provisions of this Section 5 that the applicable Procedure Cards will be free from material defects in materials and workmanship and will substantially conform to
Zeltiq’s written specifications applicable to the Procedure Cards as such specifications exist on the date of shipment (“Procedure Card Warranty”). 

(d) Software Updates. During the Control Unit and Applicator Warranty Period, Zeltiq shall make available to
Distributor, at no additional charge, all bug fixes and error corrections for the software for the Control Units and Applicators subject to such warranties that Zeltiq makes available at no additional charge to other customers in the Territory
receiving such warranty services. 
 (e) RMA Procedure. In the event of a breach of the Control Unit and
Applicator Warranty, or the Procedure Card Warranty, Zeltiq shall, at its option and expense, either: (i) accept return of the defective Product and repair or have repaired the defective Product, or (ii) accept return of the defective
Product and provide a replacement Product to Distributor. Distributor must obtain a Return Material Authorization (“RMA”) number from Zeltiq prior to returning any Product to Zeltiq and must otherwise follow Zeltiq’s then-current RMA
procedure in connection with any such return. If Zeltiq determines in its reasonable discretion that any Product returned by Distributor conforms to the applicable warranty (“Non-Defective Products”), Zeltiq will notify the Distributor of
such and will return the applicable Product to Distributor at Distributor’s expense. In addition, Zeltiq may assess Distributor a charge for testing and examination of Non-Defective Products. The repair or replacement of Products in accordance
with this Section 5(e) shall be Zeltiq’s entire liability and Distributor’s sole and exclusive remedy for Zeltiq’s breach of the Control Unit Applicator Warranty and the Procedure Card Warranty. 

(f) Labor and Shipping Costs. Distributor shall be responsible for and shall perform all labor required in
connection with the warranty services described in this Section 5 (excluding labor associated with the repair or replacement of Products at Zeltiq’s facilities), including labor required to inspect Products on Customers’ premises and
to ship Products to Zeltiq. Distributor shall be responsible for and pay all freight, insurance, import/export and other shipping-related charges to Zeltiq for all warranty repairs. Products returned to Zeltiq by Distributor must be shipped D.D.P.
(Incoterms 2000) Zeltiq’s facility or such other location as Zeltiq may designate. Zeltiq shall be responsible for and pay all freight, insurance, import/export and other shipping-related charges to return repaired Products to Distributor,
provided that if Zeltiq determines that any Product returned for warranty repair is not defective, Distributor shall pay such charges. 
 (g) No Contact with Customers. The Control Unit and Applicator Warranty and the Procedure Card Warranty (collectively, “Warranties”) are solely for the benefit of Distributor. Nothing in
this Section 5 or elsewhere in this Agreement obligates Zeltiq to accept Product returns directly from Customers or otherwise provide warranty or other services to any Customers. Unless otherwise directed by Zeltiq, Distributor shall handle all
interactions with Customers regarding warranty services and Products in connection with this Agreement. Distributor shall make no warranties, representations, guarantees or statements to Customer or other third parties that suggest that Zeltiq has
any warranty or service obligation to, or any contractual privity with, any recipient of a Product. 
 (h)
Limitations. The Warranties are the only warranties made by Zeltiq with respect to the Products. Distributor shall not make any warranties, representations, guarantees or statements regarding the Products that exceed the scope of the
Warranties, and Distributor shall be exclusively responsible for any obligations or other liability arising from any such warranties, representations, guarantees or statements made by Distributor or its agents. The Warranties are not transferable to
any third party. The Warranties do not apply and will be void if the conditions set forth in this Section 5 are not met, or if the Control Unit, Applicator or Procedure Card has been subjected to improper operation, has had unauthorized repair
or modification (including the installed or provided software), or has been subjected 

  
 10 

ZELTIQ CONFIDENTIAL 

 
to neglect or abuse (including mechanical shocks, failure to maintain the Control Unit, Applicator or Procedure Card, use with expired or unauthorized Supplies, improper transport, mechanical or
electrical shock, operation outside of its environmental specifications and otherwise), willful damage, negligence, abnormal working conditions, failure to follow Zeltiq’s instructions (whether oral or in writing), misuse or alteration or
repair of the Products without Zeltiq’s written approval. Zeltiq shall not be obligated under the Warranties with respect to Products located outside the Territory or for any claims made after the expiration of the applicable warranty period.

 (i) Disclaimer. EXCEPT FOR THE WARRANTIES,
ZELTIQ MAKES NO WARRANTIES OR REPRESENTATIONS WITH RESPECT TO THE PRODUCTS,
ANY TRAINING, AND ANY SERVICES PROVIDED UNDER THIS AGREEMENT, AND ZELTIQ
HEREBY DISCLAIMS ALL OTHER WARRANTIES AND REPRESENTATIONS OF ANY NATURE, EXPRESS
OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR
PURPOSE, AND NON-INFRINGEMENT. THE WARRANTIES ARE EXCLUSIVE AND IN LIEU
OF ALL OTHER WARRANTIES, EXPRESS, IMPLIED, STATUTORY OR OTHERWISE. 

 

	6.	TERM AND TERMINATION 

 (a) Term. The Term shall commence on the Effective Date and shall continue for three (3) years thereafter, unless terminated earlier under the provisions of this Section 6 (the
“Initial Term”). This Agreement may be extended for renewal terms by a written agreement executed by both parties (each, a “Renewal Term”). The Initial Term together with any Renewal Terms agreed by the
parties constitute the “Term.” Upon Zeltiq’s request, Distributor shall provide a copy of its most recent year-to-date income statement, balance sheet, and cash-flow statement. The effective date of any expiration or
termination of this Agreement under this Section 6 is referred to as the “Termination Date.” 
 (b) Termination for Cause. If either party materially defaults in the performance of any provision of this Agreement including, but not limited to Sections 1(b), 1(e), 1(h), 2(d), 2(e), 2(f), and
8, the non-defaulting party may give written notice to the defaulting party that if the default is not cured within thirty (30) days of such notice, the non-defaulting party may terminate the Agreement. If the non-defaulting party gives such
notice and the default is not cured during the thirty (30) day period, this Agreement shall automatically terminate at the end of such period without further action by the non-defaulting party, unless, in the case of a default by Distributor,
Zeltiq notifies Distributor of a specific effective date for termination in which case such date shall be the Termination Date. 
 (c) Termination for Insolvency. Zeltiq may terminate this Agreement effective upon written notice to Distributor (i) upon the institution by or against Distributor of insolvency, receivership,
liquidation, moratorium, bankruptcy or similar proceedings or any other proceedings for the settlement of Distributor’s debts, (ii) upon Distributor’s making an assignment or compromise for the benefit of creditors or a similar
proceeding, or (iii) upon Distributor’s dissolution or ceasing to do business. Distributor shall notify Zeltiq of any event described in clauses (i) through (ii) above no later than ten (10) days after the occurrence of such
an event. 
 (d) Termination upon a Change of Control of Zeltiq. If Zeltiq undergoes a Change of Control
(as defined below) at any time on or following the two (2) year anniversary of the date of this Agreement, then Zeltiq may terminate this Agreement by giving at least six (6) months written notice (the “Change of Control Notice”)
of the Termination Date to Distributor. In the event of a termination pursuant to this Section 6(d), then until the earlier of (i) the expiration of the Term of the Agreement pursuant to Section 6(a) above, or (ii) the end of the
six (6) month period following the Termination Date, Distributor and Zeltiq, including Zeltiq’s successors and assigns, shall be co-exclusive distributors of the Products during such period; provided that Zeltiq and its successors or
assigns shall not sell Products to existing accounts of Distributor during the remaining months of the Initial Term. The term “Change of 

  
 11 

ZELTIQ CONFIDENTIAL 

 
Control” shall mean, with respect to any party, such party’s direct or indirect acquisition by, or merger with, a third party, the sale of all or substantially all of the assets of such
party, or a transaction pursuant to which the owners or shareholders of such party that hold more than fifty percent (50%) of such party’s equity or other ownership interest prior to the transaction cease to own at least fifty percent
(50%) of such interest after the transaction; provided that a Change of Control shall not include any transaction or series of transactions principally for bona fide equity financing purposes in which cash is received by such party or any
successor or indebtedness of such party is cancelled or converted or a combination thereof. 
 (e)
Termination for Change of Control of Distributor. If Distributor undergoes a Change of Control, Distributor shall promptly notify Zeltiq of such event and Zeltiq may terminate this Agreement by giving at least sixty (60) days written
notice of the Termination Date to Distributor. Distributor shall notify Zeltiq of any Change of Control or potential Change of Control as soon as legally possible, and in no event later than ten (10) days after the closing of such an event.

 (f) Fulfillment of Orders upon Termination. After the Termination Date Zeltiq shall be obligated to
fulfill only those orders that were accepted by Zeltiq prior to the Termination Date, provided that Zeltiq shall have no such obligation if Zeltiq terminates this Agreement pursuant to Sections 6(b) through (e). 

(g) Records, Products, and Zeltiq Marks. Within ten (10) days after the Termination Date, Distributor shall
provide to Zeltiq all of the most current versions of the following documents: Sales Records, Training Records, Service Records, Update Reports, Warranty Service Reports, and Customer Agreements. Zeltiq shall also have the right, but not the
obligation, to (a) purchase or (b) broker the transfer to a distributor of Zeltiq’s choosing any inventory of Products in Distributor’s possession on the Termination Date at the Purchase Prices paid by Distributor for such
Products (“Remaining Inventory”). Distributor shall have the right for ninety (90) days after the Termination Date to sell all or a portion of the Remaining Inventory Zeltiq chooses not to so purchase or broker. Any Remaining
Inventory that (x) Zeltiq chooses to purchase or to broker or (y) Distributor has not sold within such ninety (90)-day period shall be shipped by Distributor at Zeltiq’s direction and reasonable expense to a location designated by
Zeltiq. Effective upon the Termination Date, Distributor shall cease its use of all applications/registrations of the Products (if applicable), trademarks, service marks, trade names, URLs, domain names, and other brand identifiers of Zeltiq and
shall cease representing to any third party that it is affiliated in any way with Zeltiq. Notwithstanding the foregoing, the Distributor shall be entitled to retain copies of materials described in this section and to continue to use such materials
and trademarks solely as necessary to fulfill its obligations under Section 6(h). 
 (h) Service
Responsibility after Termination Date. To the extent reasonably requested by Zeltiq in writing, Distributor shall continue to provide installation, warranty and other Product service to existing Customers with respect to the Products for a
period designated by Zeltiq of up to two (2) months after the Termination Date. Any such installation, warranty and other service rights will be on a non-exclusive basis and may be extended upon written agreement by Zeltiq and Distributor.
Except as set forth in this Section 6(h), Distributor shall cease providing service or otherwise interacting with Customers with respect to the Products as of the Termination Date. Distributor shall assign to Zeltiq any Customer Agreements
designated by Zeltiq promptly upon Zeltiq’s request in connection with any termination or expiration of this Agreement. 
 (i) Limitation on Liability Upon Termination. IN NO EVENT SHALL ZELTIQ BE LIABLE
TO DISTRIBUTOR FOR ANY COMPENSATION, REIMBURSEMENT, DAMAGES OR OTHER LIABILITY
ARISING FROM THE EXPIRATION OR TERMINATION OF THIS AGREEMENT IN ACCORDANCE
WITH THIS SECTION 6, INCLUDING LOSS OF PROSPECTIVE PROFITS OR ANTICIPATED SALES
OR ON ACCOUNT OF EXPENDITURES, INVENTORY, INVESTMENTS, LEASES OR COMMITMENTS IN
CONNECTION WITH THE BUSINESS OR GOODWILL. FOR CLARITY, ANY TERMINATION OR
EXPIRATION SHALL NOT RELIEVE EITHER PARTY OF OBLIGATIONS INCURRED PRIOR TO
THE TERMINATION DATE. 

  
 12 

ZELTIQ CONFIDENTIAL 

 (j) Survival of Certain Terms. All definitions and the provisions of
Sections 2-6, 8, 10 and 11 shall survive the termination or expiration of this Agreement for any reason. All other rights and obligations of the parties shall cease upon termination of this Agreement; provided however, the terms of the Customer
Agreements shall survive in accordance with their own terms. 
 7. LIMITED LIABILITY. IN NO
EVENT WILL ZELTIQ OR ITS LICENSORS OR SUPPLIERS BE LIABLE FOR LOST
PROFITS OR SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES ARISING OUT OF OR
RELATED TO THIS AGREEMENT (WHETHER FROM BREACH OF CONTRACT, BREACH OF
WARRANTY, OR FROM NEGLIGENCE, STRICT LIABILITY, OR ANY OTHER FORM OF
ACTION), EVEN IF ZELTIQ HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH
DAMAGES, OTHER THAN FOR FRAUD OR WILLFUL MISCONDUCT. THIS LIMITATION OF LIABILITY
SHALL APPLY NOTWITHSTANDING THE FAILURE OF ESSENTIAL PURPOSE OF ANY LIMITED
REMEDY HEREIN. OTHER THAN WITH RESPECT TO ANY LIABILITY FOR FRAUD OR
WILLFUL MISCONDUCT, IN NO EVENT WILL ZELTIQ’S AGGREGATE, CUMULATIVE LIABILITY
ARISING OUT OF OR RELATED TO THIS AGREEMENT EXCEED THE SUM OF
ALL FEES ACTUALLY PAID TO ZELTIQ BY DISTRIBUTOR PURSUANT TO SECTION 4
DURING THE ONE (1) YEAR PERIOD IMMEDIATELY PRECEDING THE FIRST EVENT GIVING
RISE TO LIABILITY. THIS LIMITATION OF LIABILITY IS CUMULATIVE, WITH ALL
PAYMENTS BEING AGGREGATED TO DETERMINE SATISFACTION OF THE LIMIT. THE EXISTENCE
OF TWO OR MORE CLAIMS OR SUITS WILL NOT ENLARGE THIS LIMIT.
IN NO EVENT WILL ZELTIQ HAVE ANY LIABILITY WHATSOEVER UNDER THIS
AGREEMENT TO CUSTOMERS. THE PARTIES ACKNOWLEDGE THAT THE PRICES SPECIFIED IN
THIS AGREEMENT REFLECT THE ALLOCATION OF RISK SET FORTH IN THIS
AGREEMENT AND THAT ZELTIQ WOULD NOT ENTER INTO THIS AGREEMENT WITHOUT
THE FOREGOING LIMITATIONS OF ITS LIABILITY AND THE WARRANTY DISCLAIMERS CONTAINED
HEREIN. 
  

	8.	PROPRIETARY RIGHTS AND CONFIDENTIALITY 

 (a) Proprietary Rights. Distributor agrees that Zeltiq owns all right, title, and interest in the Products and in all of Zeltiq’s patents, registrations, filings, applications, trademarks,
trade names, inventions, copyrights, know-how, trade secrets and other intellectual property relating to the design, manufacture, operation or service of the Products. Zeltiq grants Distributor a license to sell the Products and to use the Products
solely as necessary to perform its obligations under this Agreement. Except for the foregoing license, the sale of the Products hereunder to Distributor does not and will not be deemed to confer upon Distributor any right, interest or license in any
patents or patent applications, or copyrights or other proprietary rights that Zeltiq or any third party may have in the Products or otherwise and shall not confer on Distributor any right to manufacture or have manufactured, duplicated or otherwise
copied or reproduced any of the Products or any part or component thereof. Zeltiq shall retain exclusive ownership of all proprietary rights in and to all documentation and other data and materials pertaining to any Products. All rights not
expressly granted to Distributor in this Agreement are reserved by Zeltiq. 
 (b) Software. As between
the parties, Zeltiq owns and shall retain all right, title and interest in the software and firmware contained in the Products (“Software”). Notwithstanding any other provision of this Agreement, the Software is licensed to, and not sold
to Distributor, pursuant to the license set forth below. Any references to “sale” or “purchase” in this Agreement with respect to the Software mean the sale or purchase of such license to the Software, and not that the Software
itself is sold or purchased. Subject to Distributor’s compliance with this Agreement, Zeltiq grants Distributor a non-exclusive, non-transferable license to reproduce and distribute the Software solely as necessary for Distributor to distribute
and service the Products in accordance with this Agreement. 

  
 13 

ZELTIQ CONFIDENTIAL 

 (c) Reverse Engineering. Except where such restriction is expressly
prohibited by law, Distributor will not reverse engineer or otherwise attempt to derive or obtain information about the functioning, manufacture or operation of the Products, including the Software therein. 

(d) Confidentiality. Zeltiq may disclose certain Confidential Information (as defined below) to Distributor to
permit Distributor to perform its obligations under this Agreement. Distributor shall not use any Confidential Information for any purposes or activities other than those specifically authorized in this Agreement, and shall not disclose any
Confidential Information to third parties without Zeltiq’s prior written approval. The foregoing use and disclosure restrictions with respect to Confidential Information shall apply during the Term and for a period of three (3) years after
the Termination Date. “Confidential Information” means all non-public data and information of Zeltiq, including any proprietary information, technical data, trade secrets or know how, including research, product plans, products, services,
customers, customer lists, markets, software, developments, inventions, processes, formulas, technology, designs, drawings, engineering, hardware configuration information, marketing, finances or other business information of Zeltiq communicated,
orally, electronically, or in writing, to Distributor. The foregoing provisions shall not apply, or shall cease to apply, to Confidential Information if such information that: (i) is known to Distributor at the time of disclosure to Distributor
by Company as evidenced by written records; (ii) becomes public knowledge without a breach of confidence by Distributor or any third party; (iii) is disclosed to Distributor by a third party lawfully entitled to make such disclosure;
(iv) is independently developed by Distributor; or (v) is required to be disclosed pursuant to any statutory or regulatory provision or court order (provided that Distributor promptly notifies Zeltiq of such potential required disclosure
and assists Zeltiq in preventing or limiting such disclosure). The Distributor shall have the burden of establishing any of the foregoing exceptions by clear and convincing evidence. Without limiting the foregoing, Distributor shall not publish any
technical description of the Products beyond the descriptions published publicly by Zeltiq. Distributor shall return or destroy all Confidential Information in Distributor’s possession within ten (10) days after the Termination Date
(except as required to perform Distributor’s obligations under Section 6(h)) and, upon Zeltiq’s request, shall certify in a writing signed by an officer of Distributor that it has done so. 

 

	9.	TRADEMARKS AND TRADE NAMES 

 (a) Use. During the Term, and subject to the terms and conditions of this Agreement, Distributor shall have the right in the Territory to indicate to the public that it is an authorized distributor
of the Products and to advertise the Products in the Territory under the trademarks, marks, and trade names specified on Exhibit E (“Zeltiq Trade-names”). Distributor shall not use any of Zeltiq Trade-names as part of its business name or
as part of prominent signage displaying Distributor’s business name. Distributor shall not create new service or trademarks or trade-names based in whole or in part on the Zeltiq Trade-names. Distributor shall not alter or remove any of Zeltiq
Trade-names applied to the Products by Zeltiq. Nothing herein shall grant to Distributor any right, title or interest in Zeltiq Trade-names. Distributor acknowledges Zeltiq’s ownership of and rights in the Zeltiq Trade-names and the validity of
all registrations therefore, and agrees to take no action contrary to such ownership and rights during the Term and thereafter. Distributor will assist Zeltiq, if requested, by providing documentation of use of the Zeltiq Trade-names in connection
with any trademark or service mark application. Distributor shall not attempt to register the Zeltiq Trade-names without prior written approval from Zeltiq. In the event that any infringement of any of Zeltiq Trade-names shall come to
Distributor’s attention, Distributor shall promptly inform Zeltiq thereof. Zeltiq, in its sole discretion, shall determine whether or not to initiate or pursue proceedings against any such infringer. Nothing in this Section 9 is to be
construed as a representation or guarantee by Zeltiq that Distributor’s use of Zeltiq Trade-names in the Territory will not infringe the rights of others. At any time during this Agreement should Distributor challenge or assist others to
challenge Zeltiq Trade-names or the registration thereof or attempt to register any trade marks, or trade names confusingly similar to those of Zeltiq Trade-names, Zeltiq shall have the right to terminate this Agreement upon written notice to
Distributor. 

  
 14 

ZELTIQ CONFIDENTIAL 

 (1) Customer Use. Upon completion of training by Distributor to
Customer, Customer shall become an authorized provider of Zeltiq Products and authorized to use the Zeltiq Marks solely in its promotion and delivery of services utilizing Zeltiq Products. Customer acknowledges Zeltiq’s exclusive ownership of
the Zeltiq Marks and that its use thereof inures solely to Zeltiq’s benefit. Customer shall not attempt to obtain registration of any Zeltiq Mark, and shall not debrand, rebrand or private label any Zeltiq Product or service. Distributor shall
have sole responsibility to notify Customer in writting of these terms upon Sale of Zeltiq Products. Distributor is required to notify Zeltiq immediately of any misuse or violation of Zeltiq Marks and its Products as defined within this Section. Any
misuse or violation of this section may result in termination of Sale and/or forfeit of Product. 
 (b) Approval. All
representations of Zeltiq Trade-names that Distributor intends to use or publish shall (i) use the appropriate trademark symbol and legends in conjunction therewith, (ii) shall first be submitted to Zeltiq for approval (which shall not be
unreasonably withheld) of design, color, and other details, or shall be exact copies of Zeltiq Trade-names, and (iii) shall otherwise comply with Zeltiq’s then-current trademark guidelines provided to Distributor from time to time during
the Term. Distributor agrees to provide to Zeltiq copies, in English and any language into which the materials have been translated in accordance with this Agreement, prior to any public use of the materials. Distributor shall modify any such
materials and activities to ensure compliance with this Agreement upon Zeltiq’s request. 
  

	10.	INDEMNIFICATION 

 (a) By Zeltiq. Notwithstanding anything to the contrary herein, subject to Distributor’s obligations set forth below in Section 10(c) (“Indemnification Procedure”), Zeltiq
hereby agrees to indemnify, defend and hold harmless Distributor from and against all third party claims, damages, losses, costs and expenses, including reasonable attorneys’ fees (“Claims”), arising out of or relating to injury,
illness, or death of any person, or damage to any property, to the extent arising out of or resulting from (A) a material defect in, material malfunction of, or undocumented or insufficiently or incorrectly documented risks resulting from usage
of, the Products in the form provided by Zeltiq and pursuant to their prescribed use and nonprescribed use (for so long as Distributor does not market the products for nonprescribed use) or (B) Zeltiq’s negligence or willful misconduct; or
(C) any third party claim that Products, as supplied hereunder, infringe or misappropriate any third party patents; provided that Zeltiq will have no obligation under subsection (C) above for any such Claim that arises out of (i) the
modification of the Products by any party other than Zeltiq, (ii) the combination of the Products with any other hardware, device, or software not supplied by Zeltiq where the Claim is directed at the combination, or (iii) infringement of
patent claims covering completed equipment or any assembly, circuit, combination, method or process in which any of the Products may be used but not covering the Products standing alone. Zeltiq shall pay any damages, costs, and expenses finally
awarded to a third party by a court or in a settlement agreed to by Zeltiq arising from such Claims. If the Products become, or in Zeltiq’s opinion are likely to become, the subject of any infringement claim, Zeltiq may, at its option and
expense, either (x) procure for Distributor the right to continue using the Products; (y) replace or modify the Products so they become non-infringing; or (z) accept return of the Products and remove the infringing Products from
Exhibit A, Section 2. The foregoing indemnification obligations are Distributor’s sole and exclusive remedy, and Zeltiq’s entire liability, for any claims of intellectual property infringement by the Products. 

  
 15 

ZELTIQ CONFIDENTIAL 

 (b) By Distributor. Subject to the Indemnification Procedures,
Distributor will defend Zeltiq with respect to any Claim brought against Zeltiq by a third party to the extent that such Claim arises from or is related to (i) Distributor’s use, marketing, resale, or distribution of the Products
(excluding any Claims covered under the indemnity in Section 10(a)), (ii) a breach by Distributor of Section 2, (iii) translations of Zeltiq marketing, technical and other materials (to the extent liability is caused by the
translation and not the material in their original form), or (iv) Distributor’s sale or distribution of Products outside the Territory. Distributor will pay any damages, costs, and expenses finally awarded to a third party by a court or in
a settlement agreed to by Distributor arising from such Claims. 
 (c) Indemnification Procedure. The
party seeking indemnification (the “Indemnified Party”) shall: (i) give the indemnifying party (the “Indemnifying Party”) notice of any Claim subject to indemnification under this Section 10; (ii) cooperate with
the Indemnifying Party, at the Indemnifying Party’s expense, in the defense of such Claim; (iii) shall provide the Indemnifying Party with reasonable access to information about the Indemnified Party and such Claim and the reasonable
assistance of the officers and employees of the Indemnified Party for purposes of exercising the rights under this Section 10; and (iv) give the Indemnifying Party the right to control the defense and settlement of any such claim. The
Indemnified Party will have the right to participate in the defense with counsel of its choice at its own expense, provided that the Indemnifying Party will have the right to make final decisions regarding the defense of a Claim as long as the
Indemnifying Party actively maintains the defense of such Claim. 
  

	11.	GENERAL PROVISIONS 

 (a) Governing Law. This Agreement will be governed in all respects by the laws of the State of California, U.S.A. without regarding to conflicts of law principles that would require the application
of the laws or any other jurisdiction. Both parties consent to the personal jurisdiction of the courts located in Alameda County, California and further agree that any cause of action arising out of or relating to this Agreement shall be brought
exclusively in a U.S. federal or California state court located in Alameda County, California; provided that Zeltiq may bring an action in any jurisdiction in order to enforce its intellectual property rights, rights of exclusivity, and other rights
and remedies under this Agreement. The United Nations Convention on Contracts for the International Sale of Goods does not apply to this Agreement. 
 (b) Severability; Waiver. If any provision of this Agreement is held to be invalid or unenforceable for any reason for a court of competent jurisdiction, the remaining provisions will continue in
full force without being impaired or invalidated in any way. The failure of either party to insist upon strict performance of any provision of this Agreement, or to exercise any right provided for herein, shall not be deemed to be a waiver for the
future of such provision or right, and no waiver of any provision or right shall affect the right of the waiving party to enforce any other provision or right herein. 

(c) Notices. Any notice or communication permitted or required hereunder will be in writing and will be delivered
by facsimile transmission with confirmation of receipt, in person or by courier, or mailed by certified or registered mail, postage prepaid, return receipt requested (“Mail”), and addressed as set forth in the preamble to this Agreement or
to such other facsimile number or address as either party may provide from time to time to the other. If notice is given in person, by courier, by facsimile or by electronic mail (email), it will be effective upon receipt; and if notice is given by
Mail, it will be effective three (3) business days after deposit in the Mail. 
 (d) Force Majeure.
If performance of this Agreement, or any obligation hereunder (other than the obligation to pay) is prevented, restricted, or interfered with by any act or condition whatsoever beyond the reasonable control of the affected party (including the
failure of any suppliers to perform), the party so affected, upon giving prompt notice to the non-affected party, will be excused from such performance to the extent of such prevention, restriction, or interference. 

  
 16 

ZELTIQ CONFIDENTIAL 
  

 (e) Construction. Section headings are provided solely for reference
purposes and in no way define, limit, interpret, or describe the scope or extent of such section or in any way affect this Agreement. When used in this Agreement, the term “including” means “including without limitation” unless
expressly stated to the contrary. 
 (f) Privacy Authority. Distributor irrevocably authorizes Zeltiq,
its employees and agents to make such inquiries as it deems necessary to investigate the credit worthiness or other information requirements of Distributor from time to time including the making of inquiries of persons that are trade references, the
bankers of Distributor or any other credit providers (collectively the “Information Sources”) and Distributor hereby authorizes the Information Sources to disclose to Zeltiq such information concerning Distributor. 

(g) Assignment. Distributor may not assign, delegate or otherwise transfer any right or obligation of Distributor
under this Agreement whether by agreement, operation of law, or otherwise, without the express prior written consent of Zeltiq; provided, however, that Distributor may assign, delegate or otherwise transfer any right or obligation hereunder to its
parent and any of its subsidiaries or affiliates. Any purported assignment, delegation, or transfer in violation of the previous sentence will be null and void. Subject to the foregoing, this Agreement in its entirety will bind each party and its
permitted successors and assigns. 
 (h) Amendments. Any amendments, modifications, supplements, or other
changes to this Agreement must be in writing and signed by duly authorized representatives of each party. 
 (i)
Entire Agreement. This Agreement and the exhibits hereto constitute the entire agreement between the parties with respect to the subject matter hereof, and supersedes all prior or contemporaneous representations, understandings, agreements,
or communications between the parties, whether written or oral, relating to the subject matter hereof. 
 (j)
Counterparts. This Agreement may be executed in any number of counterparts, each of which will be deemed to be an original, and all of which together will constitute one instrument. 

  
 17 

ZELTIQ CONFIDENTIAL 
  

 IN WITNESS
WHEREOF, the parties have caused their duly authorized representatives to execute this Distribution Agreement as of the Effective Date. 

 

					
	“Zeltiq”	    	“Distributor”	 	
			
	ZELTIQ AESTHETICS, INC.	    	 ADVANCE Medical, Inc
	 	
			
	 /s/ John Howe
	    	 /s/ Fred Aslan
	 	
	 By
	    	 By
	 	
			
	 John Howe
	    	 Fred Aslan
	 	
	 Chief Financial Officer
	    	 Chief Executive Officer
	 	

  
 18 

ZELTIQ CONFIDENTIAL 
  

 EXHIBIT A 

 

	1.	TERRITORY 

Exclusive: Brazil 
 Non-Exclusive: N/A 
  

	2.	PRODUCTS & PRICES 

  

									
	 Product Name
	  	 Catalog Number
	  	Distributor
Price	 	 	 Additional Details

	Control Unit & county Kit
				
	Zeltiq Breeze Control Unit	  	BRZ-CG1-CUB-1 10V	  	$	[***	] 	 	 [***]

				
	Zeltiq Breeze County Kit – Brazil	  	BRZ-RP1-KIT-BR	  	$	[***	] 	 	 [***]

	
	Applicators
				
	eZ App 6.2	  	BRZ-AP1-062-000	  	$	[***	] 	 	[***]
	eZ App 6.3	  	BRZ-AP1-063-000	  	$	[***	] 	 	[***]
	eZ App 8.0*	  	BRZ-AP1-080-000	  	$	[***	] 	 	[***]
	
	Consumables
	
	6 Series
				
	Zeltiq eZ Card 6 Starter Pack – 12 Cycle	  	BRZ-SP2-06X-012	  	$	[***	] 	 	 [***]

	Zeltiq eZ Liner 6 – Pack, 24 Cycle	  	BRZ-SP2-06X-024	  	$	[***	] 	 	 [***]

	Zeltiq eZ Liner 6 – Qty 16	  	BRZ-LN1-06X-016	  	$	[***	] 	 	 [***]

	Zeltiq eZ Liner 6 – Qty 12	  	BRZ-LN1-06X-016	  	$	[***	] 	 	 [***]

	
	8 Series*
				
	Zeltiq eZ Card 8 Starter Pack – 8 Cycle	  	BRZ-SP2-08X-080	  	$	[***	] 	 	 [***]

	Zeltiq eZ Card 8 – Pack, 16 Cycle	  	BRZ-RP2-08X-016	  	$	[***	] 	 	 [***]

	Zeltiq eZ Pad 8 – Qty 8	  	BRZ-PD1-08X-008	  	$	[***	] 	 	 [***]

	Zeltiq eZ Liner 8 – Qty 8	  	BRZ-LN1-08X-008	  	$	[***	] 	 	 [***]

	
	Accessory Packs and Brochures
				
	Applicator Cable Support Arm	  	BRZ-RP1-ARM-001	  	$	[***	] 	 	 [***]

	Patient Brochure - Female	  	BRZ-RP1-BRO-001	  	$	[***	] 	 	 [***]

	Patient Brochure - Male	  	BRZ-RP1-BRO-002	  	$	[***	] 	 	 [***]

	Support Pack	  	BRZ-SUP-PCK-001	  	$	[***	] 	 	 [***]

	Practice Enhancement Pack	  	BRZ-PEP-PCK-001	  	$	[***	] 	 	 [***]

	Photography Pack	  	BRZ-PHO-PCK-001	  	$	[***	] 	 	 [***]

	Tripod	  	BRZ-TRI-PCK-001	  	$	[***	] 	 	 [***]

  
 19 

ZELTIQ CONFIDENTIAL 

[***] Information has been omitted and filed separately with the Securities and Exchange Commission. Confidential Treatment has been requested with
respect to the omitted portions. 

	3.	QUARTERLY SYSTEM QUOTA 

  

																							
	 Calendar Year
	  	 	 	  	Q1	  	Q2	 	  	Q3	 	  	Q4	 	  	Total	 
	 First Year Quota (2011) (including Initial Order)
	  	 	7	  	  		  	 	3	  	  	 	5	  	  	 	5	  	  	 	20	  
	 Second Year Quota (2012)*
	  				  		  				  				  				  	 	20	  
	 Third Year Quota (2013)*
	  				  		  				  				  				  	 	20	  
	 Remaining Term of Agreement (2014)*
	  				  		  				  				  				  			

  

	*	Second and Third Year Quotas are estimates with commitments established for these years 60 days prior to the start of each calendar year. 

  
 20 

ZELTIQ CONFIDENTIAL 

 EXHIBIT B 
 Quality and Regulatory Roles and Responsibilities of Zeltiq and Distributor 
  

					
	 (a) Element
	  	 (b) Responsibility

	  	 Zeltiq
	  	 Distributor

	 Maintain an ISO 13485 compliant Quality System
	  	X	  	
			
	 Maintain Certificate of Exportability from FDA (if applicable)
	  	X	  	
			
	 Provide to Distributor and maintain any design dossiers or technical files necessary to support licensing and distribution within the Territory.
	  	X	  	
			
	 File for and maintain appropriate licenses to permit legal distribution within the Territory. Provide copies of said licensing to Zeltiq.
	  		  	X
			
	 Handling, Storage and Distribution: Maintain adequate storage facilities to prevent adverse impact to product such as deterioration.
	  		  	 X
  

In transit from Zeltiq to local warehouse and during transit to end customer

			
	 Maintain distribution records that contain the following information:

 

•    The name and address of the initial consignee;

 
 •    The
identification and quantity of devices shipped;
  
 •    The date shipped; and
  

•    Serial and/or lot number shipped.
	  	 X
  

Consignee is Distributor
	  	 X
  

Consignee is the end-customer

			
	 Provide distribution and installation records (including the results of any required testing) to Zeltiq on a quarterly basis.
	  		  	X
			
	 Notify Zeltiq within 24 hours of the occurrence of any complaint. A complaint, includes, but is not limited to the
following events:
  

•    Alleged or actual Product malfunction;

 
 •    Alleged or
actual injury to patients or operators (even if caused by use error);
  
 •    Potential counterfeiting;
  

•    Non-routine servicing or installation.

 
 This notification shall include the following information:

 

•    The name of the device

 
 •    The date the
complaint was received;
  

•    The date the event occurred;

 
 •    The serial
number and/or lot number of the device;
  
 •    The name, address, and phone number of the physician;
  

•    Description of the complaint (What happened?);

 
 •    Whether or not
the patient or operator experienced an injury and, if so, the nature of the injury.
	  		  	X

  
 21 

ZELTIQ CONFIDENTIAL 
  

 EXHIBIT C 
 INSTALLATION RECORD 

  
 22 

ZELTIQ CONFIDENTIAL 
  

 Zeltiq Aesthetics – Confidential and Proprietary 

 

							
	 Part Number: FM10798
	  	 Revision: H
	  	 Page 1 of 1
	  	 
	 Title: Form, Device
Installation

	 
	Note: Check with Document
Control for current revisions of all referenced documents.

ZELTIQ Aesthetics Device Installation Form 
  

											
	 	 	 	 
	Account/Practice Name: _____________________	  		  		  	Main Contact: _________________________
	Physician Name: ___________________________	  		  		  	Telephone #: __________________________
	Address 1: _______________________________	  		  		  	Website: _____________________________
	Address 2: _______________________________	  		  		  	Email: ________________________________
	City: ____________	  	State/Province: ____________	  		  		  	Installer Name: _________________________
	Zip/Postal Code: ____________	  	Country: _________________	  		  		  	Installation Date: ________________________
	 	  		  		  		  		  	 
	Shipment
Information	  	 	  	 	  	Installation Check List
	 	 		 
	 Was the shipment/delivery made on-time?

 ̈ YES  ̈ NO

Comments:
	  	 	  		  	Record Serial numbers below:  

Upper

	 	  	 	  		  	Module: UPM  _________________________
	_________________________	  	 	  		  	 
	 	 		 
	 All items on packing list included with shipment?

 ̈ YES  ̈ NO
	  	 	  		  	Base
 Module:
BAM  _________________________

	Comments:	  		  	 	  		  	  
 Applicator:
V0 _________________________

	_________________________	  	 	  		  	 
	 Any visible damage to the shipping crate?

 ̈ YES  ̈ NO

Comments:

_________________________
	  	 	  		  	Applicaton V0 _________________________  

Applicator: V0 _________________________
  

 ̈ Support arm attached
  ̈ PIace protective pad on top of control unit.

	Any visible damage or evidence of tampering to the System?	  	 	  		  	 ̈ Inspect and make sure all cables running from the

Base Module to the Upper Module are secure.

	 ̈ YES  ̈
NO	  	 	  		  	             ̈ Unpack
and attach Applicator
	Comments:	  	 	  		  	             ̈ Attach
power cord
	_________________________	  	 	  		  	             ̈ Add
Coolant via Chiller inlet.
	  
 Quick Check Profile Test
  
 This test is to be conducted by an authorized ZELTIQ Representative only. Upon successful completion of the Installation Check List, proceed with:
  ̈ Select and run Quick Check Profile
  ̈ Test Vacuum / Massage Settings
  ̈ No errors occurs
during profile run
 Comments:
	  	 	  		  	 ̈ Power on system and insert EZ Card.

             ̈ Applicator Detect

             ̈ EZ Card Detect

             ̈ Liner Detect

 ̈ Record system configuration/version string that appears on the lower left hand corner of the
display
  
 __________________________________

 ̈ Confirm Vacuum start/stop via display and Applicator touch pad.

	_________________________	  	 	  		  	 ̈ Attach Patient Call cord and test Pager (if applicable)
	 	  	 	  	 	  	 	  	 	  	 
	 					 
	 ___________________
	  	 _____________
	  		  		  	 ___________________
	  	 _____________

	 					 
	 Customer Signature
	  	 Date
	  	 	  	 	  	 Installer Signature
	  	 Date

 EXHIBIT D 
 SERVICE RECORD 

  
 24 

ZELTIQ CONFIDENTIAL 
  

 

 
 4698 Willow Road, Pleasanton, CA 94588 USA 

T (925) 474 2500 / F (925) 474 2599 
 Toll Free (888) 935 8471 
 Distributor Service Report

  

																									
		 	 RMA #
	 	 Service Call #

	
    
 D
 I

S

T

R

I

B

U

T

O

R

    
	 	Name	 	 S

E

R

V

I

C

E
	 	Technician Name
	 	 	 	 	 
	 	 Street
	 	
STE/Dept        
	 	 	 Street
	 	
STE/Dept    

	 	 	 	 	 	 	 	 	 
	 	 City
	 	 State    
	 	
Postal/Zip Code        
	 	 	 City
	 	 	 	 State    
	 	
Postal/Zip Code        

	 	 	 	 	 	 	 	 	 	 		 	 	 	 
	 	 Phone
	 	 Country
	 	 	 Phone
	 	
Country

	 	 Email
	 	 	 	 	 Email
	 	 
	 Date/s Issue

Reported to
 Distributor:
	 	 
	
Zeltiq Product Serial #

(UPM, BAM or APP)
	 	Description	 	 Software Revision – current
 (lower left of GUI)
	 	 Software Revision – post
 upgrade (if applicable)

	  
     
	 	 	 	 	 	 
	  
     
	 	 	 	 	 	 
	  
     
	 	 	 	 	 	 
	  
     
	 	 	 	 	 	 
	  
     
	 	 	 	 	 	 
	 Issue
Report:
  

	
Analysis:
  

	 Action
Taken:
  
  

 Zeltiq Authorized Distributor Service Report – Zeltiq Part # FM10903-B 

  
  
  

 

 
 4698 Willow Road, Pleasanton, CA 94588 USA 

T (925) 474 2500 / F (925) 474 2599 
 Toll Free (888) 935 8471 
  

							
	 Service

Parts Used,
 Part#
	 	 Lot /

Serial #
	 	Description	 	QTY
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 		 	 	 	 
	     
	 	 	 	 	 	 
	Service Technician
Signature:
	 Date Service Completed:

  

 

			
	 Comments:
	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 
	 	  	 

 Zeltiq Authorized Distributor Service Report – Zeltiq Part # FM10903-B 

 EXHIBIT E 
 ZELTIQ TRADE-NAMES 
  

			
		
	 COOL SCULPT
  
	 	 EZcard
  

		
	 COOL SCULPTING

 
	 	 ZELTIQ
  

		
	 CRYOLIPOLYSIS

 
	 	

		
	 SERIOUSLY COOL

 
	 	

  
 27 

ZELTIQ CONFIDENTIAL 
  

 EXHIBIT F 
 MONTHLY FORECAST, SALES, AND MARKETING REPORT 
 Distributor shall complete
the following form and submit it to Zeltiq in accordance with Section 2(b) of the Agreement. 
  

			
	 Date:                     
	 	 Distributor Name:
                                        

 Product Purchase Forecast. Distributor intends to purchase the following number of Products during the ninety
(90) day period following the date of this Sales and Marketing Report: 
 — Number of Control Units:
                     
 — Number of Applicators:                      

— Number of Procedure Cards:
                     
 Product
Purchase History. Distributor sold the following number of Products during the ninety (90) day period immediately preceding the date of this report (“Quarterly Sales”): 

— Number of Control Units:
                     
 — Number of Applicators:                      

— Number of Procedure Cards:
                     
 Specify the
following for each Product sold by utilizing the chart below as part of the Quarterly Sales: (i) Customer’s name and address and primary medical specialty (e.g., dermatologist, plastic surgeon), (ii) date of installation of the Zeltiq
Control Unit (as defined below), and (iii) the instrument model, serial number for all Products sold. 
  

									
	 Products
	  	 Customer Name/Address
	  	 Medical
Specialty
	  	 Date of
Installation
	  	 Serial Number

					
	 Control Unit

Applicator
 Procedure Cards
	  		  		  		  	
					
	 Control Unit

Applicator
 Procedure Cards
	  		  		  		  	
					
	 Control Unit

Applicator
 Procedure Cards
	  		  		  		  	
					
	 Control Unit

Applicator
 Procedure Cards
	  		  		  		  	

  
 28 

ZELTIQ CONFIDENTIAL 
  

 Inventory. The level of inventory of Service Units and Spare Parts (as defined below); and
(vii) any other information reasonably requested by Zeltiq. 
 Potential New Customers. List all new potential customers that
Distributor intends to contact, including company and individual names and contact information. 
 Key Customer Status. Describe the
status of all key customer accounts, including any contacts by Distributor and such Customers’ usage of Procedure Cards. 
 Marketing
Activity. Describe all sales and marketing activity undertaken by Distributor in connection with the Products, including all trade shows attended by Distributor and all media activity, and Distributor’s plan to undertake such activity
Distributor in the next ninety (90) days. 
 Competitive Activity Update. Describe any marketing or related activity of which
Distributor is aware by manufacturers, distributors, or other third party sellers of products and treatments that compete with the Products. 

  
 29 

ZELTIQ CONFIDENTIALTax Benefit Preservation Plan

 Exhibit 4.1 

 
  
 EXECUTION COPY 
 MODUSLINK GLOBAL SOLUTIONS, INC. 

and 
 AMERICAN
STOCK TRANSFER & TRUST COMPANY, LLC 
 as Rights Agent 

Tax Benefit Preservation Plan 
 Dated as of October 17, 2011 
  

 

 TAX BENEFIT PRESERVATION PLAN 

Tax Benefit Preservation Plan, dated as of October 17, 2011 (this “Plan”), between MODUSLINK GLOBAL SOLUTIONS,
INC., a Delaware corporation (the “Company”), and AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC, a New York limited liability trust company, as Rights Agent (the “Rights Agent”). 

RECITALS 

WHEREAS, on October 17, 2011, the Board of Directors (the “Board”) of the Company adopted this Plan, and has
authorized and declared a dividend of one preferred stock purchase right (a “Right”) for each share of Common Stock (as defined in Section 1.6) of the Company outstanding at the close of business on October 28, 2011
(the “Record Date”) and has authorized and directed the issuance of one Right (subject to adjustment as provided herein) with respect to each share of Common Stock that shall become outstanding between the Record Date and the
earliest of the Distribution Date and the Expiration Date (as such terms are defined in Sections 3.1 and 7.1, respectively), each Right initially representing the right to purchase one ten-thousandth (subject to adjustment) of a share
of Series A Junior Participating Preferred Stock, par value $.01 per share (the “Series A Preferred”), of the Company having the rights, powers and preferences set forth in the form of Certificate of Designations of Series A Junior
Participating Preferred Stock attached hereto as Exhibit A (as amended from time to time), upon the terms and subject to the conditions hereinafter set forth; provided, however, that Rights may be issued with respect to Common Stock
that shall become outstanding after the Distribution Date and prior to the Expiration Date in accordance with Section 22; 
 WHEREAS, if the Company experiences an “ownership change,” as defined in Section 382 of the Internal Revenue Code of 1986, as amended, or any successor statute (the
“Code”), its ability to use Tax Benefits (as defined herein) for income tax purposes could be substantially limited or lost altogether; and 
 WHEREAS, the Company views the Tax Benefits as highly valuable assets of the Company, which are likely to inure to the benefit of the Company and its stockholders, and the Company believes that it is in
the best interests of the Company and its stockholders that the Company provide for the protection of the Tax Benefits on the terms and conditions set forth herein. 
 NOW, THEREFORE, in consideration of the premises and the mutual agreements herein set forth, the parties hereby agree as follows: 
 Section 1. Certain Definitions. 
 For purposes of this Plan, the following
terms have the meanings indicated: 
 1.1. “Acquiring Person” shall mean any Person who or which, from and
after the date of this Plan, shall be the Beneficial Owner of 4.99% or more of the Common Stock then outstanding, but shall not include (i) an Exempt Person or (ii) any Existing Holder, unless and until such time as such Existing Holder
shall become the Beneficial Owner of one or more additional shares of Common Stock (other than pursuant to a dividend or distribution paid or 

 
made by the Company on the outstanding Common Stock in Common Stock or pursuant to a split or subdivision of the outstanding Common Stock), unless upon acquiring such Beneficial Ownership, such
Existing Holder does not Beneficially Own 4.99% or more of the Common Stock then outstanding. Notwithstanding the foregoing, no Person shall become an “Acquiring Person” as the result of an acquisition of Common Stock by the Company which,
by reducing the number of shares outstanding, increases the proportionate number of shares Beneficially Owned by such Person to 4.99% or more of the Common Stock then outstanding; provided, however, that if a Person shall become the
Beneficial Owner of 4.99% or more of the Common Stock then outstanding solely by reason of share purchases by the Company and shall, after such share purchases by the Company, become the Beneficial Owner of one or more additional shares of Common
Stock (other than pursuant to a dividend or distribution paid or made by the Company on the outstanding Common Stock in Common Stock or pursuant to a split or subdivision of the outstanding Common Stock), then such Person shall be deemed to be an
“Acquiring Person” unless, upon becoming the Beneficial Owner of such additional Common Stock, such Person does not Beneficially Own 4.99% or more of the Common Stock then outstanding. Notwithstanding the foregoing, if the Board determines
in good faith that a Person who would otherwise be an “Acquiring Person,” as defined pursuant to the foregoing provisions of this Section 1.1, has become such inadvertently (including, without limitation, because (A) such
Person was unaware that it Beneficially Owned a percentage of Common Stock that would otherwise cause such Person to be an “Acquiring Person” or (B) such Person was aware of the extent of its Beneficial Ownership of Common Stock but
had no actual knowledge of the consequences of such Beneficial Ownership under this Plan), and such Person divests as promptly as practicable a sufficient number of shares of Common Stock so that such Person would no longer be an Acquiring Person,
as defined pursuant to the foregoing provisions of this Section 1.1, then such Person shall not be deemed to be or have become an “Acquiring Person” at any time for any purposes of this Plan. For all purposes of this Plan, any
calculation of the number of shares of Common Stock outstanding at any particular time, including for purposes of determining the particular percentage of such outstanding Common Stock of which any Person is the Beneficial Owner, shall be made
pursuant to and in accordance with Section 382 and the Treasury Regulations promulgated thereunder. 
 1.2.
“Affiliate” and “Associate” shall have the respective meanings ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under the Securities Exchange Act of 1934, as amended (the “Exchange
Act”), as in effect on the date of this Plan and, to the extent not included within the foregoing, shall also include, with respect to any Person, any other Person whose Stock or other securities (i) would be deemed constructively
owned by such first Person for purposes of Section 382, (ii) would be deemed owned by a single “entity” as defined in Treasury Regulation § 1.382-3(a)(1) in which both such first Person and such other Person are included or
(iii) otherwise would be deemed aggregated with the Stock or other securities owned by such first Person pursuant to the provisions of Section 382. 
 1.3. A Person shall be deemed the “Beneficial Owner” of and shall be deemed to “Beneficially Own” or have “Beneficial Ownership” of any securities:

 1.3.1. which such Person, directly or indirectly, has the Right to Acquire; provided, however, that a Person
shall not be deemed the Beneficial Owner of, or to Beneficially 

  
 2 

 
Own (i) securities (including rights, options or warrants) which are convertible or exchangeable into or exercisable for Common Stock until such time as such securities are converted or
exchanged into or exercised for Common Stock except to the extent the acquisition or transfer of securities (including rights, options or warrants) would be treated as exercised on the date of its acquisition or transfer under
Section 1.382-4(d) of the Treasury Regulations promulgated under Section 382; (ii) securities tendered pursuant to a tender or exchange offer made by or on behalf of such Person, until such tendered securities are accepted for
purchase or exchange; (iii) securities which such Person has a Right to Acquire upon the exercise of Rights at any time prior to the time that any Person becomes an Acquiring Person or (iv) securities issuable upon the exercise of Rights
from and after the time that any Person becomes an Acquiring Person if such Rights were acquired by such Person prior to the Distribution Date or pursuant to Section 3.1 or Section 22 (“Original Rights”) or
pursuant to Section 11.9 or Section 11.15 with respect to an adjustment to Original Rights; 
 1.3.2.
which such Person, directly or indirectly, has or shares the right to vote or dispose of, or otherwise has “beneficial ownership” of (as defined under Rule 13d-3 of the General Rules and Regulations under the Exchange Act);
provided, however, that Beneficial Ownership arising solely as a result of any such Person’s participation in a “group” (within the meaning of Rule 13d-5(b) of the General Rules and Regulations under the Exchange Act)
shall be determined under Section 1.3.3 of this Plan and not under this Section 1.3.2; or 
 1.3.3. of
which any other Person is the Beneficial Owner, if such Person has any agreement, arrangement or understanding (whether or not in writing) with such other Person with respect to acquiring, holding, voting or disposing of such securities of the
Company, but only if the effect of such agreement, arrangement or understanding is to treat such Persons as an “entity” under Section 1.382-3(a)(1) of the Treasury Regulations; provided, however, that a Person shall not
be deemed the Beneficial Owner of, or to Beneficially Own, any security (A) if such Person has the right to vote such security pursuant to an agreement, arrangement or understanding (whether or not in writing) which (1) arises solely from
a revocable proxy given to such Person in response to a public proxy or consent solicitation made pursuant to, and in accordance with, the applicable rules and regulations of the Exchange Act and (2) is not also then reportable on
Schedule 13D or Schedule 13G under the Exchange Act (or any comparable or successor report), or (B) if such beneficial ownership arises solely as a result of such Person’s status as a “clearing agency,” as defined in
Section 3(a)(23) of the Exchange Act; provided, further, that nothing in this Section 1.3.3 shall cause a Person engaged in business as an underwriter of securities or member of a selling group to be the Beneficial
Owner of, or to Beneficially Own, any securities acquired through such Person’s participation in good faith in an underwriting syndicate until the expiration of 40 calendar days after the date of such acquisition, and then only if such
securities continue to be owned by such Person at the expiration of such 40 calendar days, or such later date as the Board of the Company may determine in any specific case. 
 Notwithstanding anything herein to the contrary, to the extent not within the foregoing provisions of this Section 1.3, a Person shall be deemed the Beneficial Owner of, and shall be deemed to
Beneficially Own, Stock held by any other Person that such Person would be deemed to constructively own or that otherwise would be aggregated with Stock owned by such Person pursuant to Section 382, or any successor provision or replacement
provision and the Treasury Regulations thereunder. 

  
 3 

 No Person who is an officer, director or employee of an Exempt Person shall be deemed,
solely by reason of such Person’s status or authority as such, to be the “Beneficial Owner” of, to have “Beneficial Ownership” of or to “Beneficially Own” any securities that are “Beneficially Owned” (as
defined in this Section 1.3), including, without limitation, in a fiduciary capacity, by an Exempt Person or by any other such officer, director or employee of an Exempt Person. 

1.4. “Business Day” shall mean any day other than a Saturday, Sunday, or a day on which banking institutions in the
State of New York are authorized or obligated by law or executive order to close. 
 1.5. “close of business”
on any given date shall mean 5:00 p.m., New York time, on such date; provided, however, that if such date is not a Business Day it shall mean 5:00 p.m., New York time, on the next succeeding Business Day. 

1.6. “Common Stock” when used with reference to the Company shall mean the Common Stock, par value $.01 per share, of
the Company. “Common Stock” when used with reference to any Person other than the Company shall mean the capital stock with the greatest voting power, or the equity securities or other equity interest having power to control or direct the
management of, such other Person or, if such Person is a Subsidiary of another Person, the Person or Persons which ultimately control such first-mentioned Person, and which has issued and outstanding such capital stock, equity securities or equity
interest. 
 1.7. “Exempt Person” shall mean (i) the Company, any Subsidiary of the Company, in each case
including, without limitation, the officers and members of the boards of directors thereof acting in their fiduciary capacities, or any employee benefit plan of the Company or of any Subsidiary of the Company or any entity or trustee holding shares
of capital stock of the Company for or pursuant to the terms of any such plan, or for the purpose of funding other employee benefits for employees of the Company or any Subsidiary of the Company, and (ii) any Person deemed to be an “Exempt
Person” in accordance with Section 28 or Section 29. 
 1.8. “Existing Holder”
shall mean any Person who, immediately prior to the first public announcement of the adoption of this Plan, is the Beneficial Owner of 4.99% or more of the Common Stock then outstanding. 

1.9. “Person” shall mean any individual, partnership, joint venture, limited liability company, firm, corporation,
unincorporated association or organization, trust or other entity, or any group of such “Persons” having a formal or informal understanding among themselves to make a “coordinated acquisition” of shares within the meaning of
Treasury Regulation § 1.382-3(a)(1) or who are otherwise treated as an “entity” within the meaning of Treasury Regulation § 1.382-3(a)(1), and shall include any successor (by merger or otherwise) of any such entity or group.

 1.10. “Right to Acquire” shall mean a legal, equitable or contractual right to acquire (whether directly or
indirectly and whether exercisable immediately, or only after the passage of time, compliance with regulatory requirements, fulfillment of a condition or otherwise), pursuant to any agreement, arrangement or

  
 4 

 
understanding, whether or not in writing (excluding customary agreements entered into in good faith with and between an underwriter and selling group members in connection with a firm commitment
underwriting registered under the Securities Act of 1933, as amended (the “Securities Act”)), or upon the exercise of any option, warrant or right, through conversion of a security, pursuant to the power to revoke a trust,
discretionary account or similar arrangement, pursuant to the power to terminate a repurchase or similar so-called “stock borrowing” agreement or arrangement, or pursuant to the automatic termination of a trust, discretionary account or
similar arrangement. 
 1.11. “Section 382” means Section 382 of the Code or any successor or replacement
provisions and the Treasury Regulation promulgated thereunder. 
 1.12. “Stock” means with respect to any
Person, such Person’s (i) common stock, (ii) preferred shares (other than preferred shares described in Section 1504(a)(4) of the Code) and (iii) any other interest that would be treated as “stock” of such Person
pursuant to Treasury Regulation § 1.382-2T(f)(18). 
 1.13. “Stock Acquisition Date” shall mean the first
date of public announcement (which, for purposes of this definition, shall include the filing of a report pursuant to Section 13(d) of the Exchange Act or pursuant to a comparable successor statute) by the Company or an Acquiring Person that an
Acquiring Person has become such or that discloses information which reveals the existence of an Acquiring Person or such earlier date as a majority of the Board shall become aware of the existence of an Acquiring Person. 

1.14. “Subsidiary” of any Person shall mean any partnership, joint venture, limited liability company, firm,
corporation, unincorporated association, trust or other entity of which a majority of the voting power of the voting equity securities or equity interests is owned, of record or beneficially, directly or indirectly, by such Person. 

1.15. “Shareholder Approval” shall mean the approval of this Plan by the affirmative vote of the holders of a majority
of the voting power of the outstanding shares of Common Stock (or other shares that vote together with the Common Stock as one class for purposes of such an approval) that are present in person or by proxy at a Shareholder Meeting and entitled to
vote on the proposal to approve this Plan. 
 1.16. “Shareholder Meeting” shall mean the annual meeting of
shareholders of the Company, or any adjournment thereof, duly held in accordance with the Third Amended and Restated Bylaws of the Company, as amended from time to time, the Restated Certificate of Incorporation of the Company, as amended from time
to time, and applicable law. 
 1.17. “Tax Benefits” shall mean net operating losses, capital loss carryovers,
general business credit carryovers, alternative minimum tax credit carryovers, foreign tax credit carryovers, any loss or deduction attributable to a “net unrealized built-in loss” within the meaning of Section 382, of the Company or
any of its Subsidiaries and any other tax attribute the benefit of which is subject to possible limitation under Section 382. 

  
 5 

 1.18. “Treasury Regulations” means the final and temporary regulations
promulgated by the United States Department of the Treasury under the Code as amended or superseded from time to time. 
 1.19.
A “Trigger Event” shall be deemed to have occurred upon any Person becoming an Acquiring Person. 
 1.20. The
following terms shall have the meanings defined for such terms in the Sections set forth below: 
  

			
	 Term
	  	Section
	 Adjustment Shares
	  	11.1.2
	 Board
	  	Recitals
	 Book Entry Shares
	  	3.1
	 Code
	  	Recitals
	 common stock equivalent
	  	11.1.3
	 Company
	  	Preamble
	 current per share market price
	  	11.4.1
	 Current Value
	  	11.1.3
	 Distribution Date
	  	3.1
	 equivalent preferred stock
	  	11.2
	 Exchange Act
	  	1.2
	 Exchange Consideration
	  	27.1
	 Exemption Request
	  	28
	 Expiration Date
	  	7.1
	 Final Expiration Date
	  	7.1
	 NASDAQ
	  	9
	 Original Rights
	  	1.3.2
	 Plan
	  	Preamble
	 Principal Party
	  	13.2
	 Purchase Price
	  	4
	 Record Date
	  	Recitals
	 Redemption Price
	  	23.1
	 Requesting Person
	  	28
	 Right
	  	Recitals
	 Right Certificate
	  	3.1
	 Rights Agent
	  	Preamble
	 Securities Act
	  	1.10
	 Security
	  	11.4.1
	 Series A Preferred
	  	Recitals
	 Spread
	  	11.1.3
	 Substitution Period
	  	11.1.3
	 Summary of Rights
	  	3.2
	 Trading Day
	  	11.4.1
	 Trust
	  	27.1
	 Trust Agreement
	  	27.1
	 Waiver Request
	  	29

  
 6 

 Section 2. Appointment of Rights Agent. 

The Company hereby appoints the Rights Agent to act as rights agent for the Company and the holders of the Rights (who, in accordance
with Section 3, shall prior to the Distribution Date, also be the holders of the Common Stock) in accordance with the terms and conditions hereof, and the Rights Agent hereby accepts such appointment. The Company may from time to time
appoint such co-rights agents as it may deem necessary or desirable. In the event the Company appoints one or more co-rights agents, the respective duties of the Rights Agent and any such other rights agents shall be as the Company shall determine.
Contemporaneously with such appointment, if any, the Company shall notify the Rights Agent thereof. 
 Section 3. Issuance of
Right Certificates. 
 3.1. Rights Evidenced by Stock Certificates. Until the earlier of
(i) the close of business on the tenth
(10th) Business Day after the Stock Acquisition Date
or (ii) the close of business on the tenth
(10th) Business Day after the date of the
commencement of, or first public announcement of the intent of any Person (other than an Exempt Person) to commence, a tender or exchange offer the consummation of which would result in any Person (other than an Exempt Person) becoming the
Beneficial Owner of Common Stock aggregating 4.99% or more of the then outstanding Common Stock (the earlier of (i) and (ii) being herein referred to as the “Distribution Date”), (x) the Rights (unless earlier
expired, redeemed or terminated) will be evidenced (subject to the provisions of Section 3.2) by the certificates for Common Stock registered in the names of the holders thereof or, in the case of uncertificated Common Stock registered
in book entry form (“Book Entry Shares”), by notation in book entry (which certificates for Common Stock and Book Entry Shares shall also be deemed to be Right Certificates) and not by separate certificates, and (y) the Rights
(and the right to receive certificates therefor) will be transferable only in connection with the transfer of the underlying Common Stock. The preceding sentence notwithstanding, (A) prior to the occurrence of a Distribution Date specified as a
result of an event described in clauses (i) or (ii) (or such later Distribution Date as the Board may select pursuant to this sentence), the Board may postpone, one or more times, the Distribution Date in order to make a determination
pursuant to Sections 7.1(v), 7.1(vi), 29 or 30 or (B) prior to the occurrence of a Distribution Date specified as a result of an event described in clause (ii) (or such later Distribution Date as the Board may
select pursuant to this sentence), the Board may postpone, one or more times, the Distribution Date which would occur as a result of an event described in clause (ii) beyond the date set forth in such clause (ii). As soon as practicable after
the Distribution Date, the Company will prepare and execute, the Rights Agent will countersign and the Company (or, if requested, the Rights Agent) will send, by first-class, postage-prepaid mail, to each record holder of Common Stock as of the
close of business on the Distribution Date (other than any Acquiring Person or any Affiliate or Associate of an Acquiring Person), at the address of such holder shown on the records of the Company or the transfer agent or registrar for the Common
Stock, one or more certificates for Rights, in substantially the form of Exhibit B hereto (a “Right Certificate”), evidencing one Right (subject to adjustment as provided herein) for each share of Common Stock so held. As of
the Distribution Date, the Rights will be evidenced solely by such Right Certificates. 

  
 7 

 3.2. Summary of Rights. On the Record Date or as soon as practicable thereafter, the
Company will send or cause to be sent a copy of a Summary of Rights to Purchase Series A Preferred, in substantially the form attached hereto as Exhibit C (the “Summary of Rights”), by first-class, postage-prepaid mail, to
each record holder of Common Stock as of the close of business on the Record Date (other than any Acquiring Person or any Affiliate or Associate of any Acquiring Person) at the address of such holder shown on the records of the Company or the
transfer agent or registrar for the Common Stock. Any failure to send a copy of the Summary of Rights shall not invalidate the Rights or affect their transfer with the Common Stock. With respect to certificates representing Common Stock and Book
Entry Shares outstanding as of the close of business on the Record Date, until the Distribution Date (or the earlier Expiration Date), the Rights will be evidenced by such certificates for Common Stock registered in the names of the holders thereof
or Book Entry Shares, as applicable, together with a copy of the Summary of Rights and the registered holders of the Common Stock shall also be registered holders of the associated Rights. Until the Distribution Date (or the earlier Expiration
Date), the surrender for transfer of any certificate for Common Stock or Book Entry Shares outstanding at the close of business on the Record Date, with or without a copy of the Summary of Rights, shall also constitute the transfer of the Rights
associated with the Common Stock represented thereby and the Book Entry Shares, as applicable. 
 3.3. New Certificates and
Uncertificated Shares After Record Date. Certificates for Common Stock that become outstanding (whether upon issuance out of authorized but unissued Common Stock, disposition out of treasury or transfer or exchange of outstanding Common Stock)
after the Record Date but prior to the earliest of the Distribution Date or the Expiration Date, shall have impressed, printed, stamped, written or otherwise affixed onto them a legend in substantially the following form: 

This certificate also evidences and entitles the holder hereof to certain rights as set forth in a Tax Benefit Preservation Plan between
ModusLink Global Solutions, Inc. (the “Company”) and American Stock Transfer & Trust Company, LLC, as Rights Agent, dated as of October 17, 2011 as the same may be amended from time to time (the
“Plan”), the terms of which are hereby incorporated herein by reference and a copy of which is on file at the principal executive offices of the Company. Under certain circumstances, as set forth in the Plan, such Rights (as defined
in the Plan) will be evidenced by separate certificates and will no longer be evidenced by this certificate. The Company will mail to the holder of this certificate a copy of the Plan without charge after receipt of a written request therefor.
As described in the Plan, Rights which are owned by, transferred to or have been owned by Acquiring Persons (as defined in the Plan) or any Affiliate or Associate (as defined in the Plan) of any Acquiring Person shall become null and void and
will no longer be transferable. 

  
 8 

 With respect to any Book Entry Shares, such legend shall be included in a notice to the record holder of
such shares in accordance with applicable law. Until the Distribution Date (or the earlier Expiration Date), the Rights associated with the Common Stock represented by such certificates and such Book Entry Shares shall be evidenced solely by such
certificates or the Book Entry Shares alone, and the surrender for transfer of any such certificates or Book Entry Shares, except as otherwise provided herein, shall also constitute the transfer of the Rights associated with the Common Stock
represented thereby. In the event that the Company purchases or otherwise acquires any Common Stock after the Record Date but prior to the Distribution Date, any Rights associated with such Common Stock shall be deemed canceled and retired so that
the Company shall not be entitled to exercise any Rights associated with the Common Stock that are no longer outstanding. 

Notwithstanding this Section 3.3, neither the omission of the legend required hereby, nor the failure to provide the notice
thereof, shall affect the enforceability of any part of this Plan or the rights of any holder of the Rights. 
 Section 4.
Form of Right Certificates. The Right Certificates (and the forms of election to purchase shares and assignment, including the certifications therein, to be printed on the reverse thereof) shall each be substantially in the form set forth in
Exhibit B hereto and may have such marks of identification or designation and such legends, summaries or endorsements printed thereon as the Company may deem appropriate and as are not inconsistent with the provisions of this Plan, or as may
be required to comply with any applicable law or with any rule or regulation made pursuant thereto or with any rule or regulation of any stock exchange or trading system on which the Rights may from time to time be listed or quoted, or to conform to
usage. Subject to the terms and conditions hereof, the Right Certificates, whenever issued, shall be dated as of the Record Date, and shall show the date of countersignature by the Rights Agent, and on their face shall entitle the holders thereof to
purchase such number of one ten-thousandths of a share of Series A Preferred as shall be set forth therein at the price per one ten-thousandth of a share of Series A Preferred set forth therein (the “Purchase Price”), but the number
of such one ten-thousandths of a share of Series A Preferred and the Purchase Price shall be subject to adjustment as provided herein. 
 Section 5. Countersignature and Registration. The Right Certificates shall be executed on behalf of the Company by the Chairman, President and Chief Executive Officer, the Chief Financial Officer
or the Executive Vice President and General Counsel of the Company, either manually or by facsimile signature, and shall have affixed thereto the Company’s seal or a facsimile thereof which shall be attested by the Secretary or any Assistant
Secretary of the Company or by such officers as the Board may designate, either manually or by facsimile signature. The Right Certificates shall be countersigned, either manually or by facsimile signature, by an authorized signatory of the Rights
Agent, but it shall not be necessary for the same signatory to countersign all of the Right Certificates hereunder. No Right Certificate shall be valid for any purpose unless so countersigned. In case any officer of the Company who shall have signed
any of the Right Certificates shall cease to be such officer of the Company before countersignature by the Rights Agent and issuance and delivery by the Company, such Right Certificates, nevertheless, may be countersigned by the Rights Agent, and
issued and delivered by the Company with the same force and effect as though the Person who signed such Right Certificates had not ceased to be such officer of the Company; and any Right Certificate may be

  
 9 

 
signed on behalf of the Company by any Person who, at the actual date of the execution of such Right Certificate, shall be a proper officer of the Company to sign such Right Certificate, although
at the date of the execution of this Plan any such Person was not such an officer. 
 Following the Distribution Date, the
Rights Agent will keep or cause to be kept, at its principal office, books for registration and transfer of the Right Certificates issued hereunder. Such books shall show the names and addresses of the respective holders of the Right Certificates,
the number of Rights evidenced on its face by each of the Right Certificates, the certificate number of each of the Right Certificates and the date of each of the Right Certificates. 

Section 6. Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right
Certificates. Subject to the provisions of this Plan, including, but not limited to, Section 11.1.2 and Section 14, at any time after the close of business on the Distribution Date, and at or prior to the close of
business on the Expiration Date, any Right Certificate or Right Certificates (other than Right Certificates representing Rights that have become null and void pursuant to Section 11.1.2 or that have been exchanged pursuant to
Section 27) may be transferred, split up, combined or exchanged for another Right Certificate or Right Certificates, entitling the registered holder to purchase a like number of one ten-thousandths of a share of Series A Preferred as the
Right Certificate or Right Certificates surrendered then entitled such holder to purchase. Any registered holder desiring to transfer, split up, combine or exchange any Right Certificate shall make such request in writing delivered to the Rights
Agent, and shall surrender, together with any required form of assignment and certificate duly executed and properly completed, the Right Certificate or Right Certificates to be transferred, split up or combined or exchanged at the office of the
Rights Agent designated for such purpose. Neither the Rights Agent nor the Company shall be obligated to take any action whatsoever with respect to the transfer of any such surrendered Right Certificate or Right Certificates until the registered
holder shall have properly completed and duly executed the certificate contained in the form of assignment on the reverse side of such Right Certificate or Right Certificates and shall have provided such additional evidence of the identity of the
Beneficial Owner (or former Beneficial Owner) thereof or any Affiliate or Associate of such registered holder or such Beneficial Owner (or such former Beneficial Owner), in each case, as the Company shall reasonably request. Thereupon, the Rights
Agent shall countersign and deliver to the Person entitled thereto a Right Certificate or Right Certificates, as the case may be, as so requested. The Company may require payment from the holders of Right Certificates of a sum sufficient to cover
any tax or charge that may be imposed in connection with any transfer, split up or combination or exchange of such Right Certificates. 
 Subject to the provisions of Section 11.1.2, at any time after the Distribution Date and prior to the Expiration Date, upon receipt by the Company and the Rights Agent of evidence reasonably
satisfactory to them of the loss, theft, destruction or mutilation of a Right Certificate, and, in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to them, and, at the Company’s request, reimbursement to the
Company and the Rights Agent of all reasonable expenses incidental thereto, and upon surrender to the Rights Agent and cancellation of the Right Certificate if mutilated, the Company will make and deliver a new Right Certificate of like tenor to the
Rights Agent for countersignature and delivery to the registered owner in lieu of the Right Certificate so lost, stolen, destroyed or mutilated. 

  
 10 

 Section 7. Exercise of Rights; Purchase Price; Expiration Date of Rights. 

7.1. Exercise of Rights. Subject to Section 11.1.2 and except as otherwise provided herein, the registered holder of
any Right Certificate may exercise the Rights evidenced thereby in whole or in part at any time after the Distribution Date upon surrender of the Right Certificate, with the form of election to purchase and certification on the reverse side thereof
properly completed and duly executed, to the Rights Agent at the office of the Rights Agent designated for such purpose, together with payment of the aggregate Purchase Price for the total number of one ten-thousandths of a share of Series A
Preferred (or other securities, cash or other assets) as to which the Rights are exercised, at or prior to the time (the “Expiration Date”) that is the earliest of (i) the close of business on October 17, 2014 (the
“Final Expiration Date”), (ii) the time at which the Rights are redeemed as provided in Section 23, (iii) the closing of any merger or other acquisition transaction involving the Company pursuant to an
agreement of the type described in Section 13.3 at which time the Rights are deemed terminated, (iv) the time at which the Rights are exchanged as provided in Section 27, (v) if Shareholder Approval is not obtained
at the Shareholder Meeting, the close of business on the date of such Shareholder Meeting, or the close of business on February 28, 2012, if Shareholder Approval has not otherwise been obtained by that date, (vi) the close of business on
the effective date of the repeal of Section 382 if the Board determines that this Plan is no longer necessary or desirable for the preservation of the Tax Benefits, or (vii) the time at which the Board determines that the Tax Benefits are
fully utilized or no longer available under Section 382 or that an ownership change under Section 382 would not adversely impact in any material respect the time period in which the Company could use the Tax Benefits, or materially impair
the amount of the Tax Benefits that could be used by the Company in any particular time period, for applicable tax purposes. 

7.2. Purchase. The Purchase Price for each one ten-thousandth of a share of Series A Preferred pursuant to the exercise of a Right
shall be initially $20.00, shall be subject to adjustment from time to time as provided in Sections 11, 13 and 26 and shall be payable in lawful money of the United States of America in accordance with Section 7.3.

 7.3. Payment Procedures. Except as otherwise provided herein, upon receipt of a Right Certificate representing
exercisable Rights, with the form of election to purchase and certification properly completed and duly executed, accompanied by payment of the aggregate Purchase Price for the total number of one ten-thousandths of a share of Series A Preferred to
be purchased and an amount equal to any applicable tax or charge required to be paid by the holder of such Right Certificate in accordance with Section 9, in cash or by certified or cashier’s check or money order payable to the
order of the Company, the Rights Agent shall thereupon promptly (i)(A) requisition from any transfer agent of the Series A Preferred (or make available, if the Rights Agent is the transfer agent) certificates for the number of shares of Series A
Preferred to be purchased and the Company hereby irrevocably authorizes its transfer agent to comply with all such requests, or (B) if the Company shall have elected to deposit the total number of shares of Series A Preferred issuable upon
exercise of the Rights hereunder with a depositary agent, requisition from such depositary agent depositary receipts representing interests in such number of one ten-thousandths of a share of Series A Preferred as are to be purchased (in which case
certificates for the Series A Preferred represented by such receipts shall be deposited by the transfer agent with such depositary agent) and the Company hereby directs such depositary agent to comply with all such requests; (ii) when
appropriate, requisition from the Company the 

  
 11 

 
amount of cash to be paid in lieu of the issuance of fractional shares in accordance with Section 14 or otherwise in accordance with Section 11.1.3; (iii) promptly
after receipt of such certificates or depositary receipts, cause the same to be delivered to the registered holder of such Right Certificate, or upon the order of the registered holder of such Right Certificate, registered in such name or names as
may be designated by such holder and (iv) when appropriate, after receipt, promptly deliver such cash to the registered holder of such Right Certificate, or upon the order of the registered holder of such Right Certificate, to such other Person
as designated by such holder. In the event that the Company is obligated to issue other securities of the Company, pay cash and/or distribute other property pursuant to Section 11.1.3, the Company will make all arrangements necessary so
that such other securities, cash and/or other property are available for distribution by the Rights Agent, if and when appropriate. 
 7.4. Partial Exercise. In case the registered holder of any Right Certificate shall exercise less than all the Rights evidenced thereby, a new Right Certificate evidencing Rights equivalent to the
Rights remaining unexercised shall be issued by the Rights Agent and delivered to the registered holder of such Right Certificate or to his or her duly authorized assigns, subject to the provisions of Section 14. 

7.5. Full Information Concerning Ownership. Notwithstanding anything in this Plan to the contrary, neither the Rights Agent nor
the Company shall be obligated to undertake any action with respect to a registered holder of Rights upon the occurrence of any purported transfer or exercise of Rights pursuant to Section 6 or as set forth in this Section 7
unless the certification contained in the form of election to purchase set forth on the reverse side of the Right Certificate surrendered for such exercise shall have been properly completed and duly executed by the registered holder thereof and the
Company shall have been provided with such additional evidence of the identity of the Beneficial Owner (or former Beneficial Owner) thereof or any Affiliate or Associate of such registered holder or such Beneficial Owner (or such former Beneficial
Owner), in each case, as the Company shall reasonably request. 
 Section 8. Cancellation and Destruction of Right
Certificates. All Right Certificates surrendered for the purpose of exercise, transfer, split up, combination or exchange shall, if surrendered to the Company or to any of its agents, be delivered to the Rights Agent for cancellation or in
canceled form, or, if surrendered to the Rights Agent, shall be canceled by it, and no Right Certificates shall be issued in lieu thereof except as expressly permitted by any of the provisions of this Plan. The Company shall deliver to the Rights
Agent for cancellation and retirement, and the Rights Agent shall so cancel and retire, any other Right Certificate purchased or acquired by the Company otherwise than upon the exercise thereof. Subject to applicable law and regulation, the Rights
Agent shall maintain in a retrievable database electronic records or physical records of all cancelled or destroyed Rights Certificates which have been cancelled or destroyed by the Rights Agent. The Rights Agent shall maintain such electronic
records or physical records for the time period required by applicable law and regulation. Upon written request of the Company (and at the expense of the Company), the Rights Agent shall provide to the Company or its designee copies of such
electronic records or physical records relating to Rights Certificates cancelled or destroyed by the Rights Agent.

  
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 Section 9. Reservation and Availability of Capital Stock. The Company covenants and
agrees that, from and after the Distribution Date, it will cause to be reserved and kept available out of its authorized and unissued Series A Preferred (and, following the occurrence of a Trigger Event, out of its authorized and unissued Common
Stock or other securities or out of its shares held in its treasury) the number of shares of Series A Preferred (and, following the occurrence of a Trigger Event, Common Stock and/or other securities) that will be sufficient to permit the exercise
in full of all outstanding Rights. 
 So long as the Series A Preferred (and, following the occurrence of a Trigger Event,
Common Stock and/or other securities) issuable upon the exercise of Rights may be listed on The NASDAQ Global Select Market (“NASDAQ”) or any other national securities exchange or traded in the over-the-counter market, the Company
shall use its best efforts to cause, from and after such time as the Rights become exercisable, all shares reserved for such issuance to be listed or admitted to trading on the NASDAQ or such other exchange or market upon official notice of issuance
upon such exercise. 
 The Company covenants and agrees that it will take all such action as may be necessary to ensure that all
Series A Preferred (and, following the occurrence of a Trigger Event, Common Stock and/or other securities) delivered upon exercise of Rights shall, at the time of delivery of the certificates for such shares (subject to payment of the Purchase
Price), be duly and validly authorized and issued and fully paid and nonassessable shares. 
 From and after such time as the
Rights become exercisable, the Company shall use its best efforts, if then necessary, to permit the issuance of Series A Preferred upon the exercise of Rights, to register and qualify such Series A Preferred under the Securities Act and any
applicable state securities or “Blue Sky” laws (to the extent exemptions therefrom are not available), cause such registration statement and qualifications to become effective as soon as possible after such filing and keep such
registration and qualifications effective until the earlier of the date as of which the Rights are no longer exercisable for such securities and the Expiration Date. The Company may temporarily suspend, from time to time for a period of time not to
exceed one hundred twenty (120) days in any particular instance, the exercisability of the Rights in order to prepare and file a registration statement under the Securities Act and permit it to become effective or in order to prepare and file
any supplement or amendment to such registration statement that the Board determines to be necessary and appropriate under applicable law. Upon any such suspension, the Company shall issue a public announcement stating that the exercisability of the
Rights has been temporarily suspended, as well as a public announcement at such time as the suspension is no longer in effect. Notwithstanding any provision of this Plan to the contrary, the Rights shall not be exercisable in any jurisdiction unless
the requisite qualification or exemption in such jurisdiction shall have been obtained and until a registration statement under the Securities Act (if required) shall have been declared effective. 

The Company further covenants and agrees that it will pay when due and payable any and all taxes and charges which may be payable in
respect of the issuance or delivery of the Right Certificates or of any Series A Preferred (or Common Stock and/or other securities, as the case may be) upon the exercise of Rights. The Company shall not, however, be required to pay any tax or
charge which may be payable in respect of any transfer or delivery of Right Certificates to a Person other than, or the issuance or delivery of certificates for the Series A Preferred (or Common Stock and/or other securities, as the case may be) in
a name other than that of, the registered holder of the Right Certificate evidencing Rights surrendered for exercise 

  
 13 

 
or to issue or deliver any certificates for Series A Preferred (or Common Stock and/or other securities, as the case may be) in a name other than that of the registered holder upon the exercise
of any Rights until any such tax or charge shall have been paid (any such tax or charge being payable by the registered holder of such Right Certificate at the time of surrender) or until it has been established to the Company’s satisfaction
that no such tax or charge is due. 
 Section 10. Series A Preferred Record Date. Each Person in whose name any
certificate for Series A Preferred (or Common Stock and/or other securities, as the case may be) is issued upon the exercise of Rights shall for all purposes be deemed to have become the holder of record of the Series A Preferred (or Common Stock
and/or other securities, as the case may be) represented thereby on, and such certificate shall be dated, the date upon which the Right Certificate evidencing such Rights was duly surrendered and payment of the Purchase Price (and any applicable
taxes or charges) was duly made; provided, however, that if the date of such surrender and payment is a date upon which the Series A Preferred (or Common Stock and/or other securities, as the case may be) transfer books of the Company are
closed, such Person shall be deemed to have become the record holder of such shares (fractional or otherwise) on, and such certificate shall be dated, the next succeeding Business Day on which the Series A Preferred (or Common Stock and/or other
securities, as the case may be) transfer books of the Company are open. Prior to the exercise of the Rights evidenced thereby (or an exchange pursuant to Section 27), the holder of a Right Certificate shall not be entitled to any rights
of a holder of Series A Preferred (or Common Stock or other securities, as the case may be) for which the Rights shall be exercisable, including, without limitation, the right to vote or to receive dividends or other distributions, and shall not be
entitled to receive any notice of any proceedings of the Company, except as provided herein. 
 Section 11. Adjustment of
Purchase Price, Number of Shares or Number of Rights. The Purchase Price, the number of shares of Series A Preferred or other securities or property purchasable upon exercise of each Right and the number of Rights outstanding are subject to
adjustment from time to time as provided in this Section 11. 
 11.1. Post-Execution Events. 

11.1.1. Corporate Dividends, Reclassifications, Etc. In the event the Company shall, at any time after the date of this Plan,
(A) declare and pay a dividend on the Series A Preferred payable in Series A Preferred, (B) subdivide the outstanding Series A Preferred, (C) combine the outstanding Series A Preferred into a smaller number of shares of Series A
Preferred or (D) issue any shares of its capital stock in a reclassification of the Series A Preferred (including any such reclassification in connection with a consolidation or merger in which the Company is the continuing or surviving
corporation), except as otherwise provided in this Section 11.1.1, the Purchase Price in effect at the time of the record date for such dividend or of the effective date of such subdivision, combination or reclassification, and the
number and kind of shares of capital stock issuable on such date, shall be proportionately adjusted so that the holder of any Right exercised after such time shall be entitled to receive the aggregate number and kind of shares of capital stock
which, if such Right had been exercised immediately prior to such date and at a time when the Series A Preferred transfer books of the Company were open, such holder would have owned upon such exercise and been entitled to receive by virtue of such
dividend, subdivision, combination or reclassification; provided, however, that in no event shall 

  
 14 

 
the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the shares of capital stock of the Company issuable upon exercise of one Right. If an event
occurs which would require an adjustment under both Section 11.1.1 and Section 11.1.2, the adjustment provided for in this Section 11.1.1 shall be in addition to, and shall be made prior to, the adjustment
required pursuant to, Section 11.1.2. 
 11.1.2. Acquiring Person Events; Triggering Events. Subject to
Section 27, in the event that a Trigger Event occurs, then, from and after the first occurrence of such event, each holder of a Right, except as provided below, shall thereafter have a right to receive, upon exercise thereof at a price
per Right equal to the then current Purchase Price multiplied by the number of one ten-thousandths of a share of Series A Preferred for which a Right is then exercisable (without giving effect to this Section 11.1.2), in accordance with
the terms of this Plan and in lieu of Series A Preferred, such number of shares of Common Stock as shall equal the result obtained by (x) multiplying the then current Purchase Price by the number of one ten-thousandths of a share of Series A
Preferred for which a Right is then exercisable (without giving effect to this Section 11.1.2) and (y) dividing that product by 50% of the then-current per share market price of the Common Stock (determined pursuant to
Section 11.4) on the first of the date of the occurrence of, or the date of the first public announcement of, a Trigger Event (the “Adjustment Shares”); provided that the Purchase Price and the number of
Adjustment Shares shall thereafter be subject to further adjustment as appropriate in accordance with Section 11.6. Notwithstanding the foregoing, upon and after the occurrence of a Trigger Event, any Rights that are or were acquired or
Beneficially Owned by (1) any Acquiring Person or any Affiliate or Associate of an Acquiring Person, (2) a transferee of any Acquiring Person (or any Affiliate or Associate of an Acquiring Person) who becomes a transferee after the
Acquiring Person becomes such, or (3) a transferee of any Acquiring Person (or any Affiliate or Associate of an Acquiring Person) who becomes a transferee prior to or concurrently with the Acquiring Person becoming such and receives such Rights
pursuant to either (A) a transfer (whether or not for consideration) from the Acquiring Person to holders of equity interests in such Acquiring Person or to any Person with whom the Acquiring Person has any continuing agreement, arrangement or
understanding regarding the transferred Rights or (B) a transfer which the Board has determined is part of a plan, arrangement or understanding which has as a primary purpose or effect avoidance of this Section 11.1.2, and
subsequent transferees, shall become void without any further action, and any holder (whether or not such holder is an Acquiring Person or an Affiliate or Associate of an Acquiring Person) of such Rights shall thereafter have no right to exercise
such Rights under any provision of this Plan or otherwise. From and after the Trigger Event, no Right Certificate shall be issued pursuant to Section 3 or Section 6 that represents Rights that are or have become void pursuant
to the provisions of this paragraph, and any Right Certificate delivered to the Rights Agent that represents Rights that are or have become void pursuant to the provisions of this paragraph shall be canceled. 

The Company shall use all reasonable efforts to ensure that the provisions of this Section 11.1.2 are complied with, but
shall have no liability to any holder of Right Certificates or any other Person as a result of its failure to make any determinations with respect to any Acquiring Person or any Affiliate or Associate of an Acquiring Person or transferees hereunder.

  
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 From and after the occurrence of an event specified in Section 13.1, any Rights
that theretofore have not been exercised pursuant to this Section 11.1.2 shall thereafter be exercisable only in accordance with Section 13 and not pursuant to this Section 11.1.2. 

11.1.3. Insufficient Shares. The Company may at its option substitute for Common Stock issuable upon the exercise of Rights in
accordance with the foregoing Section 11.1.2 a number of shares of Series A Preferred or fraction thereof such that the then current per share market price of one share of Series A Preferred multiplied by such number or fraction is equal
to the then current per share market price of one share of Common Stock. In the event that upon the occurrence of a Trigger Event there shall not be sufficient Common Stock authorized but unissued, or held by the Company as treasury shares, to
permit the exercise in full of the Rights in accordance with the foregoing Section 11.1.2, the Company shall take all such action as may be necessary to authorize additional Common Stock for issuance upon exercise of the Rights,
provided, however, that if the Company determines that it is unable to cause the authorization of a sufficient number of additional shares of Common Stock, then, in the event the Rights become exercisable, the Company, with respect to each
Right and to the extent necessary and permitted by applicable law and any agreements or instruments in effect on the date hereof to which it is a party, shall: (A) determine the excess of (1) the value of the Adjustment Shares issuable
upon the exercise of a Right (the “Current Value”), over (2) the Purchase Price (such excess, the “Spread”) and (B) with respect to each Right (other than Rights which have become null and void pursuant to
Section 11.1.2), make adequate provision to substitute for the Adjustment Shares, upon payment of the applicable Purchase Price, (1) cash, (2) a reduction in the Purchase Price, (3) Series A Preferred, (4) other
equity securities of the Company (including, without limitation, shares, or fractions of shares, of preferred stock which, by virtue of having dividend, voting and liquidation rights substantially comparable to those of the Common Stock, the Board
has deemed in good faith to have substantially the same value as the Common Stock) (each such share of preferred stock or fractions of shares of preferred stock constituting a “common stock equivalent”)), (5) debt securities of
the Company, (6) other assets or (7) any combination of the foregoing having an aggregate value equal to the Current Value, where such aggregate value has been determined by the Board based upon the advice of a nationally recognized
investment banking firm selected in good faith by the Board; provided, however, that if the Company shall not have made adequate provision to deliver value pursuant to clause (B) above within thirty (30) days following the
occurrence of a Trigger Event, then the Company shall be obligated to deliver, to the extent necessary and permitted by applicable law and any agreements or instruments in effect on the date hereof to which it is a party, upon the surrender for
exercise of a Right and without requiring payment of the Purchase Price, Common Stock (to the extent available) and then, if necessary, such number or fractions of Series A Preferred (to the extent available) and then, if necessary, cash, which
shares and/or cash have an aggregate value equal to the Spread. If the Board shall determine in good faith that it is unlikely that sufficient additional Common Stock would be authorized for issuance upon exercise in full of the Rights within the
thirty (30) day period set forth above, such period may be extended and re-extended to the extent necessary, but not more than one hundred twenty (120) days following the occurrence of a Trigger Event, in order that the Company may seek
stockholder approval for the authorization of such additional shares (such period as may be extended, the “Substitution Period”). To the extent that the Company determines that some actions need be taken pursuant to the second
and/or third sentences of this Section 11.1.3, the Company (x) shall provide that such action shall apply uniformly to all outstanding Rights, and (y) may suspend the 

  
 16 

 
exercisability of the Rights until the expiration of the Substitution Period in order to seek any authorization of additional shares and/or to decide the appropriate form of distribution to be
made pursuant to such first sentence and to determine the value thereof. In the event of any such suspension, the Company shall issue a public announcement stating that the exercisability of the Rights has been temporarily suspended as well as a
public announcement at such time as the suspension is no longer in effect. For purposes of this Section 11.1.3, the value of a share of Common Stock shall be the then current per share market price (as determined pursuant to
Section 11.4) on the date of the occurrence of a Trigger Event and the value of any “common stock equivalent” shall be deemed to have the same value as the Common Stock on such date. The Board may, but shall not be required to,
establish procedures to allocate the right to receive Common Stock upon the exercise of the Rights among holders of Rights pursuant to this Section 11.1.3. 
 11.2. Dilutive Rights Offering. In case the Company shall fix a record date for the issuance of rights, options or warrants to all holders of Series A Preferred entitling them (for a period
expiring within forty-five (45) calendar days after such record date) to subscribe for or purchase Series A Preferred (or securities having the same rights, privileges and preferences as the Series A Preferred (“equivalent preferred
stock”)) or securities convertible into Series A Preferred or equivalent preferred stock at a price per share of Series A Preferred or per share of equivalent preferred stock (or having a conversion or exercise price per share, if a
security convertible into or exercisable for Series A Preferred or equivalent preferred stock) less than the then current per share market price of the Series A Preferred (as determined pursuant to Section 11.4) on such record date, the
Purchase Price to be in effect after such record date shall be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the number of shares of Series A Preferred and
shares of equivalent preferred stock outstanding on such record date plus the number of shares of Series A Preferred and shares of equivalent preferred stock which the aggregate offering price of the total number of shares of Series A Preferred
and/or shares of equivalent preferred stock to be offered (and/or the aggregate initial conversion price of the convertible securities so to be offered) would purchase at such then-current per share market price and the denominator of which shall be
the number of shares of Series A Preferred and shares of equivalent preferred stock outstanding on such record date plus the number of additional Series A Preferred and/or shares of equivalent preferred stock to be offered for subscription or
purchase (or into which the convertible securities so to be offered are initially convertible); provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the
shares of capital stock of the Company issuable upon exercise of one Right. In case such subscription price may be paid in a consideration part or all of which shall be in a form other than cash, the value of such consideration shall be as
determined in good faith by the Board, whose determination shall be described in a statement filed with the Rights Agent and shall be binding on the Rights Agent and the holders of the Rights. Series A Preferred and shares of equivalent preferred
stock owned by or held for the account of the Company or any Subsidiary of the Company shall not be deemed outstanding for the purpose of any such computation. Such adjustments shall be made successively whenever such a record date is fixed; and in
the event that such rights or warrants are not so issued, the Purchase Price shall be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed. 

  
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 11.3. Distributions. In case the Company shall fix a record date for the making of a
distribution to all holders of the Series A Preferred (including any such distribution made in connection with a consolidation or merger in which the Company is the continuing or surviving corporation) of evidences of indebtedness, cash, securities
or assets (other than a regular periodic cash dividend at a rate not in excess of 125% of the rate of the last regular periodic cash dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not
in excess of 50% of the average net income per share of the Company for the four quarters ended immediately prior to the payment of such dividend, or a dividend payable in Series A Preferred (which dividend, for purposes of this Plan, shall be
subject to the provisions of Section 11.1.1(A))) or convertible securities, or subscription rights or warrants (excluding those referred to in Section 11.2), the Purchase Price to be in effect after such record date shall be
determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the then current per share market price of the Series A Preferred (as determined pursuant to
Section 11.4) on such record date, less the fair market value (as determined in good faith by the Board, whose determination shall be described in a statement filed with the Rights Agent and shall be binding on the Rights Agent) of the
portion of the cash, assets, securities or evidences of indebtedness so to be distributed or of such subscription rights or warrants applicable to one share of Series A Preferred and the denominator of which shall be such then-current per share
market price of the Series A Preferred (as determined pursuant to Section 11.4); provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the
shares of capital stock of the Company to be issued upon exercise of one Right. Such adjustments shall be made successively whenever such a record date is fixed; and in the event that such distribution is not so made, the Purchase Price shall again
be adjusted to be the Purchase Price that would then be in effect if such record date had not been fixed. 
 11.4. Current
Per Share Market Value. 
 11.4.1. General. For the purpose of any computation hereunder, the “current per
share market price” of any security (a “Security” for the purpose of this Section 11.4.1) on any date shall be deemed to be the average of the daily closing prices per share of such Security for the thirty
(30) consecutive Trading Days (as such term is hereinafter defined) immediately prior to, but not including, such date; provided, however, that in the event that the then current per share market price of the Security is determined
during any period following the announcement by the issuer of such Security of (i) a dividend or distribution on such Security payable in shares of such Security or securities convertible into such shares or (ii) any subdivision,
combination or reclassification of such Security, and prior to the expiration of thirty (30) Trading Days after the ex-dividend date for such dividend or distribution, or the record date for such subdivision, combination or reclassification,
then, and in each such case, the “current per share market price” shall be appropriately adjusted to reflect the then current market price per share equivalent of such Security. The closing price for each day shall be the last sale price,
regular way, or, in case no such sale takes place on such day, the average of the closing bid and asked prices, regular way, in either case as reported in the principal consolidated transaction reporting system with respect to securities listed or
admitted to trading on the NASDAQ or, if the Security is not listed or admitted to trading on the NASDAQ, as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national securities
exchange on which the Security is listed or admitted to trading or, if the Security is not listed or admitted to 

  
 18 

 
trading on any national securities exchange, the last quoted price or, if on such date the Security is not so quoted, the average of the high bid and low asked prices in the over-the-counter
market, as reported thereby or such other system then in use, or, if on any such date the Security is not quoted by any such organization, the average of the closing bid and asked prices as furnished by a professional market maker making a market in
the Security selected by the Board. If on any such date no such market maker is making a market in the Security, the fair value of the Security on such date as determined in good faith by the Board shall be used. The term “Trading
Day” shall mean a day on which the principal national securities exchange on which the Security is listed or admitted to trading is open for the transaction of business or, if the Security is not listed or admitted to trading on any
national securities exchange, a Business Day. If the Security is not publicly held or not so listed or traded, or if on any such date the Security is not so quoted and no such market maker is making a market in the Security, “current per share
market price” shall mean the fair value per share as determined in good faith by the Board or, if at the time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm selected by the Board, which
shall have the duty to make such determination in a reasonable and objective manner, whose determination shall be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. 

11.4.2. Series A Preferred. Notwithstanding Section 11.4.1, for the purpose of any computation hereunder, the
“current per share market price” of the Series A Preferred shall be determined in the same manner as set forth above in Section 11.4.1 (other than the last sentence thereof). If the then-current per share market price of the
Series A Preferred cannot be determined in the manner described in Section 11.4.1, the “current per share market price” of the Series A Preferred shall be conclusively deemed to be an amount equal to 10,000 (as such number may
be appropriately adjusted for such events as stock splits, stock dividends and recapitalizations with respect to the Common Stock occurring after the date of this Plan) multiplied by the then-current per share market price of the Common Stock (as
determined pursuant to Section 11.4.1). If neither the Common Stock nor the Series A Preferred are publicly held or so listed or traded, or if on any such date neither the Common Stock nor the Series A Preferred are so quoted and no such
market maker is making a market in either the Common Stock or the Series A Preferred, “current per share market price” of the Series A Preferred shall mean the fair value per share as determined in good faith by the Board, or, if at the
time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm selected by the Board, which shall have the duty to make such determination in a reasonable and objective manner, which determination shall
be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. For purposes of this Plan, the “current per share market price” of one ten-thousandth of a share of Series A Preferred shall be equal to the
“current per share market price” of one share of Series A Preferred divided by 10,000. 
 11.5. Insignificant
Changes. No adjustment in the Purchase Price shall be required unless such adjustment would require an increase or decrease of at least 1% in the Purchase Price. Any adjustments which by reason of this Section 11.5 are not required
to be made shall be carried forward and taken into account in any subsequent adjustment. All calculations under this Section 11 shall be made to the nearest cent or to the nearest one-hundred thousandth of a share of Series A Preferred
or the nearest ten-thousandth of a share of Common Stock or other share or security, as the case may be. 

  
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 11.6. Shares Other Than Series A Preferred. If as a result of an adjustment made
pursuant to Section 11.1, the holder of any Right thereafter exercised shall become entitled to receive any shares of capital stock of the Company other than Series A Preferred, thereafter the number of such other shares so receivable
upon exercise of any Right shall be subject to adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions with respect to the Series A Preferred contained in Sections 11.1, 11.2, 11.3, 11.5, 11.8,
11.9 and 11.13, and the provisions of Sections 7, 9, 10, 13 and 14 with respect to the Series A Preferred shall apply on like terms to any such other shares. 

11.7. Rights Issued Subsequent to Adjustment. All Rights originally issued by the Company subsequent to any adjustment made to the
Purchase Price hereunder shall evidence the right to purchase, at the adjusted Purchase Price, the number of one ten-thousandths of a share of Series A Preferred and shares of other capital stock or other securities, assets or cash of the Company,
if any, purchasable from time to time hereunder upon exercise of the Rights, all subject to further adjustment as provided herein. 
 11.8. Effect of Adjustments on Existing Rights. Unless the Company shall have exercised its election as provided in Section 11.9, upon each adjustment of the Purchase Price as a result
of the calculations made in Sections 11.2 and 11.3, each Right outstanding immediately prior to the making of such adjustment shall thereafter evidence the right to purchase, at the adjusted Purchase Price, that number of one
ten-thousandths of a share of Series A Preferred (calculated to the nearest one-hundred thousandth of a share of Series A Preferred) obtained by (i) multiplying (x) the number of one ten-thousandths of a share of Series A Preferred covered
by a Right immediately prior to this adjustment by (y) the Purchase Price in effect immediately prior to such adjustment of the Purchase Price and (ii) dividing the product so obtained by the Purchase Price in effect immediately after such
adjustment of the Purchase Price. 
 11.9. Adjustment in Number of Rights. The Company may elect on or after the date of
any adjustment of the Purchase Price to adjust the number of Rights, in substitution for any adjustment in the number of one ten-thousandths of a share of Series A Preferred issuable upon the exercise of a Right. Each of the Rights outstanding after
such adjustment of the number of Rights shall be exercisable for the number of one ten-thousandths of a share of Series A Preferred for which a Right was exercisable immediately prior to such adjustment. Each Right held of record prior to such
adjustment of the number of Rights shall become that number of Rights (calculated to the nearest ten-thousandth) obtained by dividing the Purchase Price in effect immediately prior to adjustment of the Purchase Price by the Purchase Price in effect
immediately after adjustment of the Purchase Price. The Company shall make a public announcement of its election to adjust the number of Rights, indicating the record date for the adjustment, and, if known at the time, the amount of the adjustment
to be made. This record date may be the date on which the Purchase Price is adjusted or any day thereafter, but, if the Right Certificates have been issued, shall be at least ten (10) days later than the date of the public announcement. If
Right Certificates have been issued, upon each adjustment of the number of Rights pursuant to this Section 11.9, the Company may, as promptly as practicable, cause to be distributed to holders of record of Right Certificates on such
record date Right Certificates evidencing, subject to Section 14, the additional Rights to which such holders shall be entitled as a result of such adjustment, or, at the option of the Company, shall cause to be distributed to such
holders of record in substitution and replacement for the Right Certificates held by such holders 

  
 20 

 
prior to the date of adjustment, and upon surrender thereof, if required by the Company, new Right Certificates evidencing all the Rights to which such holders shall be entitled after such
adjustment. Right Certificates so to be distributed shall be issued, executed and countersigned in the manner provided for herein (and may bear, at the option of the Company, the adjusted Purchase Price) and shall be registered in the names of the
holders of record of Right Certificates on the record date specified in the public announcement. 
 11.10. Right Certificates
Unchanged. Irrespective of any adjustment or change in the Purchase Price or the number of one ten-thousandths of a share of Series A Preferred issuable upon the exercise of the Rights, the Right Certificates theretofore and thereafter issued
may continue to express the Purchase Price per share and the number of one ten-thousandths of a share of Series A Preferred which were expressed in the initial Right Certificates issued hereunder. 

11.11. Par Value Limitations. Before taking any action that would cause an adjustment reducing the Purchase Price below one
ten-thousandth of the then par value, if any, of the Series A Preferred or other shares of capital stock issuable upon exercise of the Rights, the Company shall take any corporate action which may, in the opinion of its counsel, be necessary in
order that the Company may validly and legally issue fully paid and nonassessable Series A Preferred or other such shares at such adjusted Purchase Price. 
 11.12. Deferred Issuance. In any case in which this Section 11 shall require that an adjustment in the Purchase Price be made effective as of a record date for a specified event, the
Company may elect to defer until the occurrence of such event the issuance to the holder of any Right exercised after such record date of that number of shares of Series A Preferred and shares of other capital stock or securities of the Company, if
any, issuable upon such exercise over and above the Series A Preferred and shares of other capital stock or other securities, assets or cash of the Company, if any, issuable upon such exercise on the basis of the Purchase Price in effect prior to
such adjustment; provided, however, that the Company shall deliver to such holder a due bill or other appropriate instrument evidencing such holder’s right to receive such additional shares upon the occurrence of the event requiring such
adjustment. 
 11.13. Reduction in Purchase Price. Anything in this Section 11 to the contrary
notwithstanding, the Company shall be entitled to make such reductions in the Purchase Price, in addition to those adjustments expressly required by this Section 11, as and to the extent that it in its sole discretion shall determine to
be advisable in order that any consolidation or subdivision of the Series A Preferred, issuance wholly for cash of any of the Series A Preferred at less than the then-current market price, issuance wholly for cash of Series A Preferred or securities
which by their terms are convertible into or exchangeable for Series A Preferred, dividends on Series A Preferred payable in Series A Preferred or issuance of rights, options or warrants referred to hereinabove in this Section 11,
hereafter made by the Company to holders of its Series A Preferred shall not be taxable to such stockholders. 
 11.14.
Company Not to Diminish Benefits of Rights. The Company covenants and agrees that after the earlier of the Stock Acquisition Date or Distribution Date it will not, except as permitted by Section 23, Section 26 or
Section 27, take (or permit any Subsidiary to take) any action if at the time such action is taken it is reasonably foreseeable that such action will substantially diminish or otherwise eliminate the benefits intended to be afforded by
the Rights. 

  
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 11.15. Adjustment of Rights Associated with Common Stock. Notwithstanding anything
contained in this Plan to the contrary, in the event that the Company shall at any time after the date hereof and prior to the Distribution Date (i) declare or pay any dividend on the outstanding Common Stock payable in shares of Common Stock,
(ii) effect a subdivision or consolidation of the outstanding Common Stock (by reclassification or otherwise than by the payment of dividends payable in shares of Common Stock), or (iii) combine the outstanding Common Stock into a greater
or lesser number of shares of Common Stock, then in any such case, the number of Rights associated with each share of Common Stock then outstanding, or issued or delivered thereafter but prior to the Distribution Date or in accordance with
Section 22 shall be proportionately adjusted so that the number of Rights thereafter associated with each share of Common Stock following any such event shall equal the result obtained by multiplying the number of Rights associated with
each share of Common Stock immediately prior to such event by a fraction, the numerator of which shall be the total number of shares of Common Stock outstanding immediately prior to the occurrence of the event and the denominator of which shall be
the total number of shares of Common Stock outstanding immediately following the occurrence of such event. The adjustments provided for in this Section 11.15 shall be made successively whenever such a dividend is declared or paid or such
a subdivision, combination or consolidation is effected. 
 Section 12. Certificate of Adjusted Purchase Price or Number of
Shares. Whenever an adjustment is made as provided in Sections 11 or 13, the Company shall (a) promptly prepare a certificate setting forth such adjustment, and a brief statement of the facts accounting for such adjustment,
(b) promptly file with the Rights Agent and with each transfer agent for the Common Stock or the Series A Preferred a copy of such certificate and (c) mail a brief summary thereof to each holder of a Right Certificate (or, if before the
Distribution Date, to each holder of a certificate representing shares of Common Stock or Book Entry Shares in respect thereof) in accordance with Section 25. The Rights Agent shall be fully protected in relying on any such certificate
and on any adjustment or statement therein contained and shall not be deemed to have knowledge of any such adjustment unless and until it shall have received such certificate. 
 Section 13. Consolidation, Merger or Sale or Transfer of Assets or Earning Power. 
 13.1. Certain Transactions. In the event that, from and after the first occurrence of a Trigger Event, directly or indirectly, (A) the Company shall consolidate with, or merge with and into,
any other Person and the Company shall not be the continuing or surviving corporation, (B) any Person shall consolidate with the Company, or merge with and into the Company and the Company shall be the continuing or surviving corporation of
such merger and, in connection with such merger, all or part of the Common Stock shall be changed into or exchanged for stock or other securities of the Company or any other Person or cash or any other property, or (C) the Company shall sell,
exchange, mortgage or otherwise transfer (or one or more of its Subsidiaries shall sell, exchange, mortgage or otherwise transfer), in one or more transactions, assets or earning power aggregating 50% or more of the assets or earning power of the
Company and its 

  
 22 

 
Subsidiaries (taken as a whole) to any other Person or Persons (other than the Company or one or more wholly-owned Subsidiaries of the Company in one or more transactions each of which complies
with Section 11.14), then, and in each such case, proper provision shall be made so that (i) each holder of a Right (other than Rights which have become null and void pursuant to Section 11.1.2) shall thereafter have the
right to receive, upon the exercise thereof at a price per Right equal to the then current Purchase Price multiplied by the number of one ten-thousandths of a share of Series A Preferred for which a Right was exercisable immediately prior to the
first occurrence of a Trigger Event (as subsequently adjusted pursuant to Sections 11.1.1, 11.2, 11.3, 11.8, 11.9 and 11.12), in accordance with the terms of this Plan and in lieu of Series A Preferred or Common Stock, such number of
validly authorized and issued, fully paid, non-assessable and freely tradable Common Stock of the Principal Party (as such term is hereinafter defined) not subject to any liens, encumbrances, rights of first refusal or other adverse claims, as shall
be equal to the result obtained by (x) multiplying the then current Purchase Price by the number of one ten-thousandths of a share of Series A Preferred for which a Right was exercisable immediately prior to the first occurrence of a Trigger
Event (as subsequently adjusted pursuant to Sections 11.1.1, 11.2, 11.3, 11.8, 11.9 and 11.12) and (y) dividing that product by 50% of the then current per share market price of the Common Stock of such Principal Party (determined
pursuant to Section 11.4) on the date of consummation of such consolidation, merger, sale or transfer; provided that the price per Right so payable and the number of shares of Common Stock of such Principal Party so receivable
upon exercise of a Right shall thereafter be subject to further adjustment as appropriate in accordance with Section 11.6 to reflect any events covered thereby occurring in respect of the Common Stock of such Principal Party after the
occurrence of such consolidation, merger, sale or transfer; (ii) such Principal Party shall thereafter be liable for, and shall assume, by virtue of such consolidation, merger, sale or transfer, all of the obligations and duties of the Company
pursuant to this Plan; (iii) the term “Company” shall thereafter be deemed to refer to such Principal Party; and (iv) such Principal Party shall take such steps (including, but not limited to, the reservation of a sufficient
number of shares of its Common Stock in accordance with Section 9) in connection with such consummation as may be necessary to assure that the provisions hereof shall thereafter be applicable, as nearly as reasonably may be, in relation
to its Common Stock thereafter deliverable upon the exercise of the Rights; provided that, upon the subsequent occurrence of any consolidation, merger, sale or transfer of assets or other extraordinary transaction in respect of such Principal
Party, each holder of a Right shall thereupon be entitled to receive, upon exercise of a Right and payment of the Purchase Price as provided in this Section 13.1, such cash, shares, rights, warrants and other property which such holder
would have been entitled to receive had such holder, at the time of such transaction, owned the Common Stock of the Principal Party receivable upon the exercise of a Right pursuant to this Section 13.1, and such Principal Party shall
take such steps (including, but not limited to, reservation of shares of stock) as may be necessary to permit the subsequent exercise of the Rights in accordance with the terms hereof for such cash, shares, rights, warrants and other property. The
Company shall not consummate any such consolidation, merger, sale or transfer unless prior thereto the Company and such Principal Party shall have executed and delivered to the Rights Agent a supplemental agreement confirming that the requirements
of this Section 13.1 and Section 13.2 shall promptly be performed in accordance with their terms and that such consolidation, merger, sale or transfer of assets shall not result in a default by the Principal Party under this
Plan as the same shall have been assumed by the Principal Party pursuant to this Section 13.1 and Section 13.2 and providing that, as soon as practicable after executing such agreement pursuant to this Section 13,
the Principal Party, at its own expense, shall: 
 (1) prepare and file a registration statement under the Securities Act, if
necessary, with respect to the Rights and the securities purchasable upon exercise of the Rights on an appropriate form, use its best efforts to cause such registration statement to become effective as soon as practicable after such filing and use
its best efforts to cause such registration statement to remain effective (with a prospectus at all times meeting the requirements of the Securities Act) until the Expiration Date and similarly comply with applicable state securities laws;

  
 23 

 (2) use its best efforts, if the Common Stock of the Principal Party shall be listed or
admitted to trading on the NASDAQ or on another national securities exchange, to list or admit to trading (or continue the listing of) the Rights and the securities purchasable upon exercise of the Rights on the NASDAQ or such securities exchange;

 (3) deliver to holders of the Rights historical financial statements for the Principal Party which comply in all respects
with the requirements for registration on Form 10 (or any successor form) under the Exchange Act; and 
 (4) obtain waivers of
any rights of first refusal or preemptive rights in respect of the Common Stock of the Principal Party subject to purchase upon exercise of outstanding Rights. 
 In case the Principal Party has a provision in any of its authorized securities or in its articles or certificate of incorporation or by-laws or other instrument governing its corporate affairs, which
provision would have the effect of (i) causing such Principal Party to issue (other than to holders of Rights pursuant to this Section 13), in connection with, or as a consequence of, the consummation of a transaction referred to in
this Section 13, Common Stock or common stock equivalents of such Principal Party at less than the then current market price per share thereof (determined pursuant to Section 11.4) or securities exercisable for, or
convertible into, Common Stock or common stock equivalents of such Principal Party at less than such then current market price (other than to holders of Rights pursuant to this Section 13), or (ii) providing for any special payment,
taxes, charges or similar provision in connection with the issuance of the Common Stock of such Principal Party pursuant to the provision of Section 13, then, in such event, the Company hereby agrees with each holder of Rights that it
shall not consummate any such transaction unless prior thereto the Company and such Principal Party shall have executed and delivered to the Rights Agent a supplemental agreement providing that the provision in question of such Principal Party shall
have been canceled, waived or amended, or that the authorized securities shall be redeemed, so that the applicable provision will have no effect in connection with, or as a consequence of, the consummation of the proposed transaction. 

The Company covenants and agrees that it shall not, at any time after the Trigger Event, enter into any transaction of the type described
in clauses (A) through (C) of this Section 13.1 if (i) at the time of or immediately after such consolidation, merger, sale, transfer or other transaction there are any rights, warrants or other instruments or securities
outstanding or agreements in effect which would substantially diminish or otherwise eliminate the benefits 

  
 24 

 
intended to be afforded by the Rights, (ii) prior to, simultaneously with or immediately after such consolidation, merger, sale, transfer or other transaction, the stockholders of the Person
who constitutes, or would constitute, the Principal Party for purposes of Section 13.2 shall have received a distribution of Rights previously owned by such Person or any of its Affiliates or Associates or (iii) the form or nature
of organization of the Principal Party would preclude or limit the exercisability of the Rights. The provisions of this Section 13 shall similarly apply to successive transactions of the type described in clauses (A) through
(C) of this Section 13.1. 
 13.2. Principal Party. “Principal Party” shall mean:

 (i) in the case of any transaction described in clauses (A) or (B) of the first sentence of
Section 13.1: (i) the Person that is the issuer of the securities into which the Common Stock is converted in such merger or consolidation, or, if there is more than one such issuer, the issuer the Common Stock of which has the
greatest aggregate market value of shares outstanding, or (ii) if no securities are so issued, (x) the Person that is the other party to the merger, if such Person survives said merger, or, if there is more than one such Person, the Person
the Common Stock of which has the greatest aggregate market value of shares outstanding or (y) if the Person that is the other party to the merger does not survive the merger, the Person that does survive the merger (including the Company if it
survives) or (z) the Person resulting from the consolidation; and 
 (ii) in the case of any transaction
described in clause (C) of the first sentence in Section 13.1, the Person that is the party receiving the greatest portion of the assets or earning power transferred pursuant to such transaction or transactions, or, if each Person
that is a party to such transaction or transactions receives the same portion of the assets or earning power so transferred or if the Person receiving the greatest portion of the assets or earning power cannot be determined, whichever of such
Persons is the issuer of Common Stock having the greatest aggregate market value of shares outstanding; provided, however, that in any such case described in the foregoing clause (i) or (ii) of this Section 13.2, if the
shares of Common Stock of such Person are not at such time or have not been continuously over the preceding twelve (12) month period registered under Section 12 of the Exchange Act, then (1) if such Person is a direct or indirect
Subsidiary of another Person the shares of Common Stock of which are and have been so registered, the term “Principal Party” shall refer to such other Person, or (2) if such Person is a Subsidiary, directly or indirectly, of more than
one Person, the shares of Common Stock of all of which are and have been so registered, the term “Principal Party” shall refer to whichever of such Persons is the issuer of Common Stock having the greatest aggregate market value of shares
outstanding, or (3) if such Person is owned, directly or indirectly, by a joint venture formed by two or more Persons that are not owned, directly or indirectly, by the same Person, the rules set forth in clauses (1) and (2) above
shall apply to each of the owners having an interest in the venture as if the Person owned by the joint venture was a Subsidiary of both or all of such joint venturers, and the Principal Party in each such case shall bear the obligations set forth
in this Section 13 in the same ratio as its interest in such Person bears to the total of such interests. 
 13.3.
Approved Acquisitions. Notwithstanding anything contained herein to the contrary, upon the consummation of any merger or other acquisition transaction of the type described in clause (A), (B) or (C) of Section 13.1
involving the Company pursuant to a merger or other acquisition agreement between the Company and any Person (or one or more of such Person’s Affiliates or Associates) which agreement has been approved by the Board prior to any Person becoming
an Acquiring Person, this Plan and the rights of holders of Rights hereunder shall be terminated in accordance with Section 7.1. 

  
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 Section 14. Fractional Rights and Fractional Shares. 

14.1. Cash in Lieu of Fractional Rights. The Company shall not be required to issue fractions of Rights or to distribute Right
Certificates which evidence fractional Rights (except prior to the Distribution Date in accordance with Section 11.15). In lieu of such fractional Rights, there shall be paid to the registered holders of the Right Certificates with
regard to which such fractional Rights would otherwise be issuable an amount in cash equal to the same fraction of the then-current market value of a whole Right. For the purposes of this Section 14.1, the then-current market value of a
whole Right shall be the closing price of the Rights for the Trading Day immediately prior to the date on which such fractional Rights would have been otherwise issuable. The closing price for any day shall be the last sale price, regular way, or,
in case no such sale takes place on such day, the average of the closing bid and asked prices, regular way, in either case as reported in the principal consolidated transaction reporting system with respect to securities listed or admitted to
trading on the NASDAQ or, if the Rights are not listed or admitted to trading on the NASDAQ, as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national securities exchange on
which the Rights are listed or admitted to trading or, if the Rights are not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted, the average of the high bid and low asked prices in the
over-the-counter market, as reported by the NASDAQ or such other system then in use or, if on any such date the Rights are not quoted by any such organization, the average of the closing bid and asked prices as furnished by a professional market
maker making a market in the Rights selected by the Board. If on any such date no such market maker is making a market in the Rights, the then-current market value of the Rights on such date shall be the fair value of the Rights as determined in
good faith by the Board, or, if at the time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm selected by the Board, which shall have the duty to make such determination in a reasonable and
objective manner, which determination shall be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. 
 14.2. Cash in Lieu of Fractional Shares of Series A Preferred. The Company shall not be required to issue fractions of shares of Series A Preferred (other than fractions which are integral
multiples of one ten-thousandth of a share of Series A Preferred) upon exercise or exchange of the Rights or to distribute certificates which evidence fractional shares of Series A Preferred (other than fractions which are integral multiples of one
ten-thousandth of a share of Series A Preferred). Interests in fractions of shares of Series A Preferred in integral multiples of one ten-thousandth of a share of Series A Preferred may, at the election of the Company, be evidenced by depositary
receipts, pursuant to an appropriate agreement between the Company and a depositary selected by it; provided, that such agreement shall provide that the holders of such depositary receipts shall have all the rights, privileges and preferences
to which they are entitled as Beneficial Owners of the Series A Preferred represented by such depositary receipts. In lieu of fractional shares of Series A Preferred that are not integral multiples of one ten-thousandth of a share of Series A
Preferred, the Company shall pay to the registered holders of Right Certificates at the time such Rights are exercised or exchanged as herein provided an amount in cash equal to the same fraction of the then-current per share market price of one
share of Series A Preferred (as determined in accordance with Section 14.1) for the Trading Day immediately prior to the date of such exercise or exchange. 

  
 26 

 14.3. Cash in Lieu of Fractional Shares of Common Stock. The Company shall not be
required to issue fractions of shares of Common Stock or to distribute certificates which evidence fractional shares of Common Stock upon the exercise or exchange of Rights. In lieu of such fractional shares of Common Stock, the Company shall pay to
the registered holders of the Right Certificates with regard to which such fractional shares of Common Stock would otherwise be issuable an amount in cash equal to the same fraction of the current market value of a whole share of Common Stock (as
determined in accordance with Section 14.1) for the Trading Day immediately prior to the date of such exercise or exchange. 
 14.4. Waiver of Right to Receive Fractional Rights or Shares. The holder of a Right by the acceptance of the Rights expressly waives his right to receive any fractional Rights or any fractional
shares upon exercise or exchange of a Right, except as permitted by this Section 14. 
 Section 15. Rights of
Action. All rights of action in respect of this Plan, except the rights of action given to the Rights Agent under Section 18, are vested in the respective registered holders of the Right Certificates (and, prior to the Distribution
Date, the registered holders of the Common Stock); and any registered holder of any Right Certificate (or, prior to the Distribution Date, of the Common Stock), without the consent of the Rights Agent or of the holder of any other Right Certificate
(or, prior to the Distribution Date, of the Common Stock), may, in his own behalf and for his own benefit, enforce this Plan, and may institute and maintain any suit, action or proceeding against the Company to enforce this Plan, or otherwise
enforce or act in respect of his right to exercise the Rights evidenced by such Right Certificate (or, prior to the Distribution Date, such Common Stock) in the manner provided in such Right Certificate and in this Plan. Without limiting the
foregoing or any remedies available to the holders of Rights, it is specifically acknowledged that the holders of Rights would not have an adequate remedy at law for any breach of this Plan and shall be entitled to specific performance of the
obligations under, and injunctive relief against actual or threatened violations of, the obligations of any Person (including, without limitation, the Company) subject to this Plan. 

Section 16. Agreement of Right Holders. Every holder of a Right by accepting the same consents and agrees with the Company and the
Rights Agent and with every other holder of a Right that: 
 (a) prior to the Distribution Date, the Rights will
not be evidenced by a Right Certificate and will be transferable only in connection with the transfer of the Common Stock; 
 (b) as of and after the Distribution Date, the Right Certificates are transferable only on the registry books of the Rights Agent if surrendered at the office of the Rights Agent designated for such
purpose, duly endorsed or accompanied by a proper instrument of transfer with all required certifications completed; and 

  
 27 

 (c) the Company and the Rights Agent may deem and treat the Person in whose
name the Right Certificate (or, prior to the Distribution Date, the associated Common Stock certificate or Book Entry Share) is registered as the absolute owner thereof and of the Rights evidenced thereby (notwithstanding any notations of ownership
or writing on the Right Certificates or the associated Common Stock certificate or Book Entry Share made by anyone other than the Company or the Rights Agent) for all purposes whatsoever, and neither the Company nor the Rights Agent shall be
affected by any notice to the contrary. 
 Section 17. Right Certificate Holder Not Deemed a Stockholder. No holder, as
such, of any Right Certificate shall be entitled to vote, receive dividends or be deemed for any purpose the holder of the Series A Preferred or any other securities of the Company which may at any time be issuable on the exercise of the Rights
represented thereby, nor shall anything contained herein or in any Right Certificate be construed to confer upon the holder of any Right Certificate, as such, any of the rights of a stockholder of the Company or any right to vote for the election of
directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting stockholders (except as provided in
Section 24), or to receive dividends or subscription rights, or otherwise, until the Right or Rights evidenced by such Right Certificate shall have been exercised in accordance with the provisions hereof. 

Section 18. Concerning the Rights Agent. The Company agrees to pay to the Rights Agent reasonable compensation for all services
rendered by it hereunder in accordance with a fee schedule to be mutually agreed upon and, from time to time, on demand of the Rights Agent, its reasonable expenses and counsel fees and other disbursements incurred in the administration and
execution of this Plan and the exercise and performance of its duties hereunder. The Company also agrees to indemnify the Rights Agent for, and to hold it harmless against, any loss, liability, or expense, incurred without gross negligence, bad
faith or willful misconduct on the part of the Rights Agent, for anything done or omitted by the Rights Agent in connection with the acceptance and administration of this Plan, including the costs and expenses of defending against any claim of
liability arising therefrom, directly or indirectly. 
 The Rights Agent shall be protected and shall incur no liability for or
in respect of any action taken, suffered or omitted by it in connection with its administration of this Plan in reliance upon any Right Certificate or certificate for the Series A Preferred or the Common Stock or for other securities of the Company,
instrument of assignment or transfer, power of attorney, endorsement, affidavit, letter, notice, instruction, direction, consent, certificate, statement, or other paper or document believed by it to be genuine and to be signed, executed and, where
necessary, verified or acknowledged, by the proper Person or Persons. 
 Section 19. Merger or Consolidation or Change of
Name of Rights Agent. Any corporation or limited liability company or other entity into which the Rights Agent or any successor Rights Agent may be merged or with which it may be consolidated, or any corporation or limited liability company or
other entity resulting from any merger or consolidation to which the Rights Agent or any successor Rights Agent shall be a party, or any corporation or limited liability company succeeding to the corporate trust or stock transfer business of the
Rights Agent or any successor Rights Agent, shall be the successor to the Rights Agent under this Plan without 

  
 28 

 
the execution or filing of any paper or any further act on the part of any of the parties hereto, provided that such corporation or limited liability company or other entity would be
eligible for appointment as a successor Rights Agent under the provisions of Section 21. In case at the time such successor Rights Agent shall succeed to the agency created by this Plan, any of the Right Certificates shall have been
countersigned but not delivered, any such successor Rights Agent may adopt the countersignature of the predecessor Rights Agent and deliver such Right Certificates so countersigned; and in case at that time any of the Right Certificates shall not
have been countersigned, any successor Rights Agent may countersign such Right Certificates either in the name of the predecessor Rights Agent or in the name of the successor Rights Agent; and in all such cases such Right Certificates shall have the
full force provided in the Right Certificates and in this Plan. 
 In case at any time the name of the Rights Agent shall be
changed and at such time any of the Right Certificates shall have been countersigned but not delivered, the Rights Agent may adopt the countersignature under its prior name and deliver Right Certificates so countersigned; and in case at that time
any of the Right Certificates shall not have been countersigned, the Rights Agent may countersign such Right Certificates either in its prior name or in its changed name; and in all such cases such Right Certificates shall have the full force
provided in the Right Certificates and in this Plan. 
 Section 20. Duties of Rights Agent. The Rights Agent undertakes
the duties and obligations imposed by this Plan upon the following terms and conditions, by all of which the Company and the holders of Right Certificates, by their acceptance thereof, shall be bound: 

20.1. Legal Counsel. The Rights Agent may consult with legal counsel selected by it (who may be legal counsel for the Company),
and the opinion of such counsel shall be full and complete authorization and protection to the Rights Agent as to any action taken or omitted by it in good faith and in accordance with such opinion. 

20.2. Certificates as to Facts or Matters. Whenever in the performance of its duties under this Plan the Rights Agent shall deem
it necessary or desirable that any fact 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 certificate signed by any one of the Chairman, President and Chief Executive Officer, the Chief Financial Officer or the Executive Vice President and General Counsel of the Company and delivered
to the Rights Agent; and such certificate shall be full authorization to the Rights Agent for any action taken or suffered in good faith by it under the provisions of this Plan in reliance upon such certificate. 

20.3. Standard of Care. The Rights Agent shall be liable hereunder only for its own gross negligence, bad faith or willful
misconduct. 
 20.4. Reliance on Plan and Right Certificates. The Rights Agent shall not be liable for or by reason of
any of the statements of fact or recitals contained in this Plan or in the Right Certificates (except as to its countersignature thereof) or be required to verify the same, but all such statements and recitals are and shall be deemed to have been
made by the Company only. 

  
 29 

 20.5. No Responsibility as to Certain Matters. The Rights Agent shall not be under
any responsibility in respect of the validity of this Plan or the execution and delivery hereof (except the due execution hereof by the Rights Agent) or in respect of the validity or execution of any Right Certificate (except its countersignature
thereof); nor shall it be responsible for any breach by the Company of any covenant or condition contained in this Plan or in any Right Certificate; nor shall it be responsible for any change in the exercisability of the Rights (including the Rights
becoming void pursuant to Section 11.1.2) or any adjustment required under the provisions of Sections 3, 11, 13, 23 or 27 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 (except with respect to the exercise of Rights evidenced by Right Certificates after actual notice of any such change or adjustment); nor shall it by any act hereunder be deemed to make any
representation or warranty as to the authorization or reservation of any Series A Preferred or other securities to be issued pursuant to this Plan or any Right Certificate or as to whether any Series A Preferred will, when so issued, be validly
authorized and issued, fully paid and nonassessable. 
 20.6. Further Assurance by Company. The Company agrees that it
will 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 Rights Agent for the carrying out or
performing by the Rights Agent of the provisions of this Plan. 
 20.7. Authorized Company Officers. The Rights Agent is
hereby authorized and directed to accept instructions with respect to the performance of its duties hereunder from any one of the Chairman, President and Chief Executive Officer, the Chief Financial Officer or the Executive Vice President and
General Counsel of the Company, and to apply to such officers for advice or instructions in connection with its duties under this Plan, and it shall not be liable for any action taken or suffered to be taken by it in good faith in accordance with
instructions of any such officer or for any delay in acting while waiting for these instructions. Any application by the Rights Agent for written instructions from the Company may, at the option of the Rights Agent, set forth in writing any action
proposed to be taken or omitted by the Rights Agent with respect to its duties or obligations under this Plan and the date on and/or after which such action shall be taken or such omission shall be effective. The Rights Agent shall not be liable to
the Company for any action taken by, or omission of, the Rights Agent in accordance with a proposal included in any such application on or after the date specified therein (which date shall not be less than three (3) Business Days after the
date any such officer actually receives such application, unless any such officer shall have consented in writing to an earlier date) unless, prior to taking of any such action (or the effective date in the case of omission), the Rights Agent shall
have received written instructions in response to such application specifying the action to be taken or omitted. 
 20.8.
Freedom to Trade in Company Securities. The Rights Agent and any stockholder, director, officer or employee of the Rights Agent may buy, sell or deal in any of the Rights or other securities of the Company or become pecuniarily interested in
any transaction in which the Company may be interested, or contract with or lend money to the Company or otherwise act as fully and freely as though it were not Rights Agent under this Plan. Nothing herein shall preclude the Rights Agent from acting
in any other capacity for the Company or for any other legal entity. 

  
 30 

 20.9. Reliance on Attorneys and Agents. The Rights Agent may execute and exercise any
of the rights or powers hereby vested in it or perform any duty hereunder either itself or by or through its attorneys or agents, and the Rights Agent shall not be answerable or accountable for any act, omission, default, neglect or misconduct of
any such attorneys or agents or for any loss to the Company resulting from any such act, omission, default, neglect or misconduct, provided that reasonable care was exercised in the selection and continued employment thereof. 

20.10. Incomplete Certificate. If, with respect to any Right Certificate surrendered to the Rights Agent for exercise or transfer,
the certificate contained in the form of assignment or the form of election to purchase set forth on the reverse thereof, as the case may be, has not been completed to certify the holder is not an Acquiring Person (or an Affiliate or Associate of an
Acquiring Person), the Rights Agent shall not take any further action with respect to such requested exercise or transfer without first consulting with the Company. 
 20.11. Rights Holders List. At any time and from time to time after the Distribution Date, upon the request of the Company, the Rights Agent shall promptly deliver to the Company a list, as of the
most recent practicable date (or as of such earlier date as may be specified by the Company), of the holders of record of Rights. 
 Section 21. Change of Rights Agent. The Rights Agent or any successor Rights Agent may resign and be discharged from its duties under this Plan upon thirty (30) days’ notice in writing
mailed to the Company and to each transfer agent of the Common Stock and/or Series A Preferred, as applicable, by registered or certified mail. Following the Distribution Date, the Company shall promptly notify the holders of the Right Certificates
by first-class mail of any such resignation. The Company may remove the Rights Agent or any successor Rights Agent upon thirty (30) days’ notice in writing, mailed to the Rights Agent or successor Rights Agent, as the case may be, and to
each transfer agent of the Common Stock and/or Series A Preferred, as applicable, by registered or certified mail, and to the holders of the Right Certificates by first-class mail. If the Rights Agent shall resign or be removed or shall otherwise
become incapable of acting, the resigning, removed, or incapacitated Rights Agent shall remit to the Company, or to any successor Rights Agent designated by the Company, all books, records, funds, certificates or other documents or instruments of
any kind then in its possession which were acquired by such resigning, removed or incapacitated Rights Agent in connection with its services as Rights Agent hereunder, and shall thereafter be discharged from all duties and obligations hereunder.
Following notice of such removal, resignation or incapacity, the Company shall appoint a successor to such Rights Agent. If the Company shall fail to make such appointment within a period of thirty (30) days after giving notice of such removal
or after it has been notified in writing of such resignation or incapacity by the resigning or incapacitated Rights Agent or by the holder of a Right Certificate (who shall, with such notice, submit his Right Certificate for inspection by the
Company), then the registered holder of any Right Certificate may apply to any court of competent jurisdiction for the appointment of a new Rights Agent. Any successor Rights Agent, whether appointed by the Company or by such a court, shall be a
Person organized and doing business under the laws of the State of New York or the State of 

  
 31 

 
Delaware (or any other state of the United States so long as such Person is authorized to do business as a banking institution in the State of New York or the State of Delaware) in good standing,
having an office in the State of New York or the State of Delaware, which is authorized under such laws to exercise stock transfer or corporate trust powers and is subject to supervision or examination by Federal or state authority and which has at
the time of its appointment as Rights Agent a combined capital and surplus of at least $100 million. After appointment, the successor Rights Agent shall be vested with the same powers, rights, duties and responsibilities as if it had been originally
named as Rights Agent without further act or deed; but the predecessor Rights Agent shall deliver and transfer to the successor Rights Agent any property at the time held by it hereunder, and execute and deliver any further assurance, conveyance,
act or deed necessary for the purpose. Not later than the effective date of any such appointment the Company shall file notice thereof in writing with the predecessor Rights Agent and each transfer agent of the Common Stock and/or Series A
Preferred, as applicable, and, following the Distribution Date, mail a notice thereof in writing to the registered holders of the Right Certificates. Failure to give any notice provided for in this Section 21, however, or any defect
therein, shall not affect the legality or validity of the resignation or removal of the Rights Agent or the appointment of the successor Rights Agent, as the case may be. 
 Section 22. Issuance of New Right Certificates. Notwithstanding any of the provisions of this Plan or of the Rights to the contrary, the Company may, at its option, issue new Right Certificates
evidencing Rights in such form as may be approved by its Board to reflect any adjustment or change in the Purchase Price and the number or kind or class of shares or other securities or property purchasable under the Right Certificates made in
accordance with the provisions of this Plan. In addition, in connection with the issuance or sale of Common Stock following the Distribution Date and prior to the Expiration Date, the Company shall, with respect to Common Stock so issued or sold
pursuant to the exercise of stock options or under any employee plan or arrangement, granted or awarded, or upon exercise, conversion or exchange of securities heretofore or hereinafter issued by the Company, in each case existing prior to the
Distribution Date, issue Right Certificates representing the appropriate number of Rights in connection with such issuance or sale; provided, however, that (i) no such Right Certificate shall be issued if, and to the extent that, the
Company shall be advised by counsel that such issuance would create a significant risk of material adverse tax consequences to the Company or the Person to whom such Right Certificate would be issued and (ii) no such Right Certificate shall be
issued if, and to the extent that, appropriate adjustment shall otherwise have been made in lieu of the issuance thereof. 

Section 23. Redemption. 
 23.1. Right to Redeem. The Board may, at its option, at any time prior to a Trigger Event, redeem all but not less than all of the then outstanding Rights at a redemption price of $0.0001 per
Right, appropriately adjusted to reflect any stock split, stock dividend, recapitalization or similar transaction occurring after the date hereof (such redemption price being hereinafter referred to as the “Redemption Price”), and
the Company may, at its option, pay the Redemption Price in Common Stock (based on the “current per share market price,” determined pursuant to Section 11.4, of the Common Stock at the time of redemption), cash or any other
form of consideration deemed appropriate by the Board. The redemption of the Rights by the Board may be made effective at such time, on such basis and subject to such conditions as the Board in its sole discretion may establish. 

  
 32 

 23.2. Redemption Procedures. Immediately upon the action of the Board ordering the
redemption of the Rights (or at such later time as the Board may establish for the effectiveness of such redemption), and without any further action and without any notice, the right to exercise the Rights will terminate and the only right
thereafter of the holders of Rights shall be to receive the Redemption Price for each Right so held. The Company shall promptly give public notice of such redemption; provided, however, that the failure to give, or any defect in, any such
notice shall not affect the validity of such redemption. The Company shall promptly give, or cause the Rights Agent to give, notice of such redemption to the holders of the then outstanding Rights by mailing such notice to all such holders at their
last addresses as they appear upon the registry books of the Rights Agent or, prior to the Distribution Date, on the registry books of the transfer agent for the Common Stock. Any notice which is mailed in the manner herein provided shall be deemed
given, whether or not the holder receives the notice. Each such notice of redemption shall state the method by which the payment of the Redemption Price will be made. The failure to give notice required by this Section 23.2 or any defect
therein shall not affect the validity of the action taken by the Company. Neither the Company nor any of its Affiliates or Associates may redeem, acquire or purchase for value any Rights at any time in any manner other than that specifically set
forth in this Section 23 or in Section 27, and other than in connection with the purchase, acquisition or redemption of Common Stock prior to the Distribution Date. 

Section 24. Notice of Certain Events. In case the Company shall propose at any time after the earlier of the Stock Acquisition
Date and the Distribution Date (a) to pay any dividend payable in stock of any class to the holders of Series A Preferred or to make any other distribution to the holders of Series A Preferred (other than a regular periodic cash dividend at a
rate not in excess of 125% of the rate of the last regular periodic cash dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not in excess of 50% of the average net income per share of the
Company for the four quarters ended immediately prior to the payment of such dividends, or a stock dividend on, or a subdivision, combination or reclassification of the Common Stock), or (b) to offer to the holders of Series A Preferred rights
or warrants to subscribe for or to purchase any additional Series A Preferred or shares of stock of any class or any other securities, rights or options, or (c) to effect any reclassification of its Series A Preferred (other than a
reclassification involving only the subdivision of outstanding Series A Preferred), or (d) to effect any consolidation or merger into or with, or to effect any sale or other transfer (or to permit one or more of its Subsidiaries to effect any
sale or other transfer), in one or more transactions, of 50% or more of the assets or earning power of the Company and its Subsidiaries (taken as a whole) to, any other Person (other than pursuant to a merger or other acquisition agreement of the
type excluded from the definition of “Beneficial Ownership” in Section 1.3), or (e) to effect the liquidation, dissolution or winding up of the Company, or (f) to declare or pay any dividend on the Common Stock
payable in Common Stock or to effect a subdivision, combination or consolidation of the Common Stock (by reclassification or otherwise than by payment of dividends in Common Stock), then, in each such case, the Company shall give to the Rights Agent
and to each holder of a Right Certificate, in accordance with Section 25, a notice of such proposed action, which shall specify the record date for the purposes of such stock dividend, distribution of rights or

  
 33 

 
warrants, or the date on which such reclassification, consolidation, merger, sale, transfer, liquidation, dissolution, or winding up is to take place and the date of participation therein by the
holders of the Series A Preferred and/or Common Stock, if any such date is to be fixed, and such notice shall be so given in the case of any action covered by clause (a) or (b) above at least ten (10) days prior to the record date for
determining holders of the Series A Preferred for purposes of such action, and in the case of any such other action, at least ten (10) days prior to the date of the taking of such proposed action or the date of participation therein by the
holders of the Series A Preferred and/or Common Stock, whichever shall be the earlier. 
 In case any event set forth in
Section 11.1.2 or Section 13 shall occur, then, in any such case, (i) the Company shall as soon as practicable thereafter give to the Rights Agent and to each holder of a Right Certificate, in accordance with
Section 25, a notice of the occurrence of such event, which notice shall describe the event and the consequences of the event to holders of Rights under Section 11.1.2 and Section 13, and (ii) all references
in this Section 24 to Series A Preferred shall be deemed thereafter to refer to Common Stock and/or, if appropriate, other securities. 
 Section 25. Notices. Notices or demands authorized by this Plan to be given or made by the Rights Agent or by the holder of any Right Certificate to or on the Company shall be sufficiently given or
made if sent by overnight delivery service or first-class mail, postage prepaid, addressed (until another address is filed in writing with the Rights Agent) as follows: 

ModusLink Global Solutions, Inc. 

1601 Trapelo Road 
 Waltham, MA 02451 
 Attention: General Counsel 

Subject to the provisions of Section 21 and Section 24, any notice or demand authorized by this Plan to be given or made by the
Company or by the holder of any Right Certificate to or on the Rights Agent shall be sufficiently given or made if sent by overnight delivery service or first-class mail, postage prepaid, addressed (until another address is filed in writing with the
Company) as follows: 
 American Stock Transfer & Trust Company, LLC 

6201 15th Avenue 
 Brooklyn, NY 11219 
 Attention: Corporate Trust Department

 With a copy to: 
 American Stock Transfer & Trust Company, LLC 
 6201 15th
Avenue 
 Brooklyn, NY 11219 

Attention: General Counsel 

  
 34 

 Notices or demands authorized by this Plan to be given or made by the Company or the Rights Agent to the
holder of any Right Certificate (or, prior to the Distribution Date, to the holder of any certificate representing Common Stock or of any Book Entry Shares) shall be sufficiently given or made if sent by first-class mail, postage prepaid, addressed
to such holder at the address of such holder as shown on the registry books of the Company or the transfer agent or registrar for the Common Stock; provided that prior to the Distribution Date a filing by the Company with the Securities and
Exchange Commission shall constitute sufficient notice to the holders of securities of the Company, including the Rights, for purposes of this Plan and no other notice need be given. 

Section 26. Supplements and Amendments. For so long as the Rights are then redeemable, the Company may in its sole and absolute
discretion, and the Rights Agent shall, if the Company so directs, supplement or amend any provision of this Plan in any respect without the approval of any holders of Rights or Common Stock. From and after the time that the Rights are no longer
redeemable, the Company may, and the Rights Agent shall, if the Company so directs, from time to time supplement or amend this Plan without the approval of any holders of Rights (i) to cure any ambiguity or to correct or supplement any
provision contained herein which may be defective or inconsistent with any other provisions herein or (ii) to make any other changes or provisions in regard to matters or questions arising hereunder which the Company may deem necessary or
desirable, including but not limited to extending the Final Expiration Date; provided, however, that no such supplement or amendment shall adversely affect the interests of the holders of Rights as such (other than an Acquiring Person or an
Affiliate or Associate of an Acquiring Person), and no such supplement or amendment may cause the Rights again to become redeemable or cause this Plan again to become amendable as to an Acquiring Person or an Affiliate or Associate of an Acquiring
Person, other than in accordance with this sentence; provided further, that the right of the Board to extend the Distribution Date shall not require any amendment or supplement hereunder. Upon the delivery of a certificate from an appropriate
officer of the Company which states that the proposed supplement or amendment is in compliance with the terms of this Section 26, the Rights Agent shall execute such supplement or amendment; provided that any supplement or
amendment that does not amend Sections 18, 19, 20 or 21 hereof or this Section 26 or any other Section of this Plan in a manner adverse to the Rights Agent shall become effective immediately upon execution by
the Company, whether or not also executed by the Rights Agent. The Company shall promptly provide the Rights Agent with written notice of such supplement or amendment. 
 Section 27. Exchange. 
 27.1. Exchange of Common Stock for Rights.
The Board may, at its option, at any time after the occurrence of a Trigger Event, exchange Common Stock for all or part of the then outstanding and exercisable Rights (which shall not include Rights that have become void pursuant to the provisions
of Section 11.1.2) by exchanging at an exchange ratio of one share of Common Stock per Right, appropriately adjusted to reflect any stock split, stock dividend or similar transaction occurring after the date hereof (such amount per Right
being hereinafter referred to as the “Exchange Consideration”). Notwithstanding the foregoing, the Board shall not be empowered to effect such exchange at any time after any Acquiring Person shall have become the Beneficial Owner of
50% or more of the Common Stock then outstanding. From and after the occurrence of an event specified in Section 13.1, any Rights that theretofore have 

  
 35 

 
not been exchanged pursuant to this Section 27.1 shall thereafter be exercisable only in accordance with Section 13 and may not be exchanged pursuant to this
Section 27.1. The exchange of the Rights by the Board may be made effective at such time, on such basis and with such conditions as the Board in its sole discretion may establish. Without limiting the foregoing, prior to effecting an
exchange pursuant to this Section 27, the Board may direct the Company to enter into a Trust Agreement in such form and with such terms as the Board shall then approve (the “Trust Agreement”). If the Board so directs,
the Company shall enter into the Trust Agreement and shall issue to the trust created by such agreement (the “Trust”) all of the Common Stock issuable pursuant to the exchange (or any portion thereof that has not theretofore been
issued in connection with the exchange). From and after the time at which such shares are issued to the Trust, all stockholders then entitled to receive shares pursuant to the exchange shall be entitled to receive such shares (and any dividends or
distributions made thereon after the date on which such shares are deposited in the Trust) only from the Trust and solely upon compliance with the relevant terms and provisions of the Trust Agreement. Any Common Stock issued at the direction of the
Board in connection herewith shall be validly issued, fully paid and nonassessable Common Stock or Series A Preferred (as the case may be), and the Company shall be deemed to have received as consideration for such issuance a benefit having a value
that is at least equal to the aggregate par value of the shares so issued. 
 27.2. Exchange Procedures. Immediately upon
the effectiveness of the action of the Board ordering the exchange for any Rights pursuant to Section 27.1 and without any further action and without any notice, the right to exercise such Rights shall terminate and the only right
thereafter of a holder of such Rights shall be to receive the Exchange Consideration. The Company shall promptly give public notice of any such exchange; provided, however, that the failure to give, or any defect in, such notice shall not
affect the validity of such exchange. The Company promptly shall mail a notice of any such exchange to all of the holders of such Rights at their last addresses as they appear upon the registry books of the Rights Agent. Any notice which is mailed
in the manner herein provided shall be deemed given, whether or not the holder receives the notice. Each such notice of exchange shall state the method by which the exchange of the Common Stock for Rights will be effected and, in the event of any
partial exchange, the number of Rights which will be exchanged. Any partial exchange shall be effected pro rata based on the number of Rights (other than the Rights that have become null and void pursuant to the provisions of
Section 11.1.2) held by each holder of Rights. 
 27.3. Insufficient Shares. The Company may at its option
substitute, and, in the event that there shall not be sufficient Common Stock issued but not outstanding or authorized but unissued to permit an exchange of Rights for Common Stock as contemplated in accordance with this Section 27, the
Company shall substitute to the extent of such insufficiency, for each share of Common Stock that would otherwise be issuable upon exchange of a Right, a number of shares of Series A Preferred or fraction thereof (or equivalent preferred stock, as
such term is defined in Section 11.2) such that the then-current per share market price (determined pursuant to Section 11.4) of one share of Series A Preferred (or equivalent preferred share) multiplied by such number or
fraction is equal to the then-current per share market price of one share of Common Stock (determined pursuant to Section 11.4) as of the date of such exchange. 

  
 36 

 Section 28. Process to Seek Exemption Prior to Trigger Event. Any Person who desires
to effect any acquisition of Common Stock that would, if consummated, result in such Person beneficially owning 4.99% or more of the then outstanding Common Stock (a “Requesting Person”) may, prior to the Stock Acquisition Date and
in accordance with this Section 28, request that the Board grant an exemption with respect to such acquisition under this Plan so that such Person would be deemed to be an “Exempt Person” under subsection (ii) of
Section 1.7 hereof for purposes of this Plan (an “Exemption Request”). An Exemption Request shall be in proper form and shall be delivered by overnight delivery service or first-class mail, postage prepaid, to the
Secretary of the Company at the principal executive office of the Company. The Exemption Request shall be deemed made upon receipt by the Secretary of the Company. To be in proper form, an Exemption Request shall set forth (i) the name and
address of the Requesting Person, (ii) the number and percentage of shares of Common Stock then Beneficially Owned by the Requesting Person, together with all Affiliates and Associates of the Requesting Person, and (iii) a reasonably
detailed description of the transaction or transactions by which the Requesting Person would propose to acquire Beneficial Ownership of Common Stock aggregating 4.99% or more of the then outstanding Common Stock and the maximum number and percentage
of shares of Common Stock that the Requesting Person proposes to acquire. The Board shall make a determination whether to grant an exemption in response to an Exemption Request as promptly as practicable (and, in any event, within ten
(10) Business Days) after receipt thereof; provided, that the failure of the Board to make a determination within such period shall be deemed to constitute the denial by the Board of the Exemption Request. The Requesting Person shall
respond promptly to reasonable and appropriate requests for additional information from the Board and its advisors to assist the Board in making its determination. For purposes of considering the Exemption Request, any calculation of the number of
shares of Common Stock outstanding at any particular time, including for purposes of determining the particular percentage of such outstanding Common Stock of which any Person is the Beneficial Owner, shall be made pursuant to and in accordance with
Section 382. The Board shall only grant an exemption in response to an Exemption Request if the Board determines in its sole discretion that the acquisition of Beneficial Ownership of Common Stock by the Requesting Person (A) will not
adversely impact in any material respect the time period in which the Company could use the Tax Benefits or limit or impair the availability to the Company of the Tax Benefits or (B) is in the best interests of the Company despite the fact that
it may adversely impact in a material respect the time period in which the Company could use the Tax Benefits or limit or impair the availability to the Company of the Tax Benefits. Any exemption granted hereunder may be granted in whole or in part,
and may be subject to limitations or conditions (including a requirement that the Requesting Person agree that it will not acquire Beneficial Ownership of shares of Common Stock in excess of the maximum number and percentage of shares approved by
the Board), in each case as and to the extent the Board shall determine necessary or desirable to provide for the protection of the Tax Benefits. Any Exemption Request may be submitted on a confidential basis and, except to the extent required by
applicable law, the Company shall maintain the confidentiality of such Exemption Request and the Board’s determination with respect thereto, unless the information contained in the Exemption Request or the Board’s determination with
respect thereto otherwise becomes publicly available. The Exemption Request shall be considered and evaluated by directors serving on the Board, or a duly constituted committee thereof, who are independent of the Company and the Requesting Person
and disinterested with respect to the Exemption Request, and the action of a majority of such independent and disinterested directors shall be deemed to be the determination of the Board for purposes of such Exemption Request. 

  
 37 

 Section 29. Waiver Subsequent to Stock Acquisition Date. The Board may, of its own
accord or upon the request of a stockholder (a “Waiver Request”), subsequent to a Stock Acquisition Date and prior to the Distribution Date, and in accordance with this Section 29, grant an exemption with respect to any
Acquiring Person under this Plan so that such Acquiring Person would be deemed to be an “Exempt Person” under subsection (ii) of Section 1.7 hereof for purposes of this Plan. A Waiver Request shall be in proper form and
shall be delivered by overnight delivery service or first-class mail, postage prepaid, to the Secretary of the Company at the principal executive office of the Company. The Waiver Request shall be deemed made upon receipt by the Secretary of the
Company. To be in proper form, a Waiver Request shall set forth (i) the name and address of the Acquiring Person, (ii) the number and percentage of shares of Common Stock then Beneficially Owned by the Acquiring Person, together with all
Affiliates and Associates of the Acquiring Person, and (iii) a reasonably detailed description of the transaction or transactions by which the Acquiring Person acquired Beneficial Ownership of Common Stock aggregating 4.99% or more of the then
outstanding Common Stock and the maximum number and percentage of shares of Common Stock that the Acquiring Person proposes to acquire. The Board shall make a determination whether to grant an exemption in response to a Waiver Request as promptly as
practicable (and, in any event, within ten (10) Business Days) after receipt thereof; provided, that the failure of the Board to make a determination within such period shall be deemed to constitute the denial by the Board of the Waiver
Request. The Acquiring Person shall respond promptly to reasonable and appropriate requests for additional information from the Board and its advisors to assist the Board in making its determination. For purposes of considering the Waiver Request,
any calculation of the number of shares of Common Stock outstanding at any particular time, including for purposes of determining the particular percentage of such outstanding Common Stock of which any Person is the Beneficial Owner, shall be made
pursuant to and in accordance with Section 382. The Board shall only grant an exemption for an Acquiring Person if the Board determines in its sole discretion that the acquisition of Beneficial Ownership of Common Stock by such Acquiring Person
does not adversely impact in any material respect the time period in which the Company could use the Tax Benefits or limit or impair the availability to the Company of the Tax Benefits. Any exemption granted hereunder may be granted in whole or in
part, and may be subject to limitations or conditions (including a requirement that such Acquiring Person agree that it will not acquire Beneficial Ownership of shares of Common Stock in excess of the maximum number and percentage of shares approved
by the Board), in each case as and to the extent the Board shall determine necessary or desirable to provide for the protection of the Company’s Tax Benefits. The facts and circumstances with respect to the Trigger Event, including whether to
grant an exemption, shall be considered and evaluated by directors serving on the Board, or a duly constituted committee thereof, who are independent of the Company and such Acquiring Person and disinterested with respect to the Trigger Event, and
the action of a majority of such independent and disinterested directors shall be deemed to be the determination of the Board for purposes of any exemption granted pursuant to this Section 29. 

Section 30. Successors. All the covenants and provisions of this Plan by or for the benefit of the Company or the Rights Agent
shall bind and inure to the benefit of their respective successors and assigns hereunder. 

  
 38 

 Section 31. Benefits of this Plan. Nothing in this Plan shall be construed to give to
any Person other than the Company, the Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution Date, the Common Stock) any legal or equitable right, remedy or claim under this Plan; but this Plan shall be
for the sole and exclusive benefit of the Company, the Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution Date, the Common Stock). 

Section 32. Determination and Actions by the Board or Committee Thereof. The Board, or a duly authorized committee thereof, shall
have the exclusive power and authority to administer this Plan and to exercise the rights and powers specifically granted to the Board or to the Company, or as may be necessary or advisable in the administration of this Plan, including, without
limitation, the right and power to (i) interpret the provisions of this Plan and (ii) make all determinations deemed necessary or advisable for the administration of this Plan (including, without limitation, a determination to redeem or
not redeem the Rights or amend this Plan). In administering this Plan and exercising the rights and powers specifically granted to the Board and to the Company hereunder, and in interpreting this Plan and making any determination hereunder, the
Board, or a duly authorized committee thereof, may consider any and all facts, circumstances or information it deems to be necessary, useful or appropriate. All such actions, calculations, interpretations and determinations that are done or made by
the Board, or a duly authorized committee thereof, in good faith shall be final, conclusive and binding on the Company, the Rights Agent, the holders of the Rights, as such, and all other parties to the fullest extent permitted by applicable law.

 Section 33. Severability. If any term, provision, covenant or restriction of this Plan is held by a court of competent
jurisdiction or other authority to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Plan shall remain in full force and effect and shall in no way be affected, impaired or invalidated.

 Section 34. Governing Law. This Plan and each Right Certificate issued hereunder shall be deemed to be a contract made
under the internal laws of the State of Delaware and for all purposes shall be governed by and construed in accordance with the laws of such State applicable to contracts to be made and performed entirely within such State. 

Section 35. Counterparts. This Plan 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. A signature to this Plan transmitted electronically shall have the same authority, effect and enforceability as an original
signature. 
 Section 36. Descriptive Headings. Descriptive headings of the several Sections of this Plan are inserted
for convenience only and shall not control or affect the meaning or construction of any of the provisions hereof. 

(Signature Page Follows) 

  
 39 

 IN WITNESS WHEREOF, the parties hereto have caused this Plan to be duly executed, as of the
day and year first above written. 
  

					
	MODUSLINK GLOBAL SOLUTIONS, INC.
		
	By:	 	/s/ Peter L. Gray
		 	Name:	 	Peter L. Gray
		 	Title:	 	Executive Vice President and General Counsel
	
	AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC
		
	By:	 	/s/ Paula Caroppoli
		 	Name:	 	Paula Caroppoli
		 	Title:	 	Senior Vice President

 (Signature Page to Tax Benefit Preservation Plan) 

 EXHIBIT A 

FORM OF CERTIFICATE OF DESIGNATIONS 
 of 
 SERIES A JUNIOR PARTICIPATING PREFERRED STOCK 

of 
 MODUSLINK
GLOBAL SOLUTIONS, INC. 
 (Pursuant to Section 151 of the 

Delaware General Corporation Law) 
  

 
 ModusLink Global
Solutions, Inc., a corporation organized and existing under the General Corporation Law of the State of Delaware (hereinafter called the “Corporation”), hereby certifies that the following resolution was adopted by the Board of
Directors of the Corporation (hereinafter called the “Board of Directors” or the “Board”) as required by Section 151 of the General Corporation Law at a meeting duly called and held on October 17, 2011.

 RESOLVED, that pursuant to the authority expressly granted to and vested in the Board in accordance with the provisions of
the Restated Certificate of Incorporation of the Corporation, the Board hereby creates a series of Preferred Stock, par value $.01 per share (the “Preferred Stock”), of the Corporation and hereby states the designation and number of
shares, and fixes the relative rights, powers and preferences, and qualifications, limitations and restrictions thereof as follows: 
 Section 1. Designation and Amount. The shares of such series shall be designated as “Series A Junior Participating Preferred Stock” (the “Series A Preferred”) and the
number of shares constituting the Series A Preferred shall be 140,000. Such number of shares may be increased or decreased by resolution of the Board of Directors; provided, that no decrease shall reduce the number of shares of
Series A Preferred to a number less than the number of shares then outstanding plus the number of shares reserved for issuance upon the exercise of outstanding options, rights or warrants or upon the conversion of any outstanding securities issued
by the Corporation convertible into Series A Preferred. 

  
 A- 1

 Section 2. Dividends and Distributions. 

(A) Subject to the prior and superior rights of the holders of any shares of any class or series of stock of this
Corporation ranking prior and superior to the Series A Preferred with respect to dividends, the holders of shares of Series A Preferred, in preference to the holders of Common Stock, par value $.01 per share (the “Common Stock”), of
the Corporation, and of any other stock ranking junior to the Series A Preferred, shall be entitled to receive, when, as and if declared by the Board of Directors out of funds legally available for the purpose, quarterly dividends payable in cash on
the first day of March, June, September and December in each year (each such date being referred to herein as a “Quarterly Dividend Payment Date”), commencing on the first Quarterly Dividend Payment Date after the first issuance of
a share or fraction of a share of Series A Preferred, in an amount per share (rounded to the nearest cent) equal to the greater of (a) $1.00 or (b) subject to the provision for adjustment hereinafter set forth, 10,000 times the aggregate
per share amount of all cash dividends, and 10,000 times the aggregate per share amount (payable in kind) of all non-cash dividends or other distributions, other than a dividend payable in shares of Common Stock or a subdivision of the outstanding
shares of Common Stock (by reclassification or otherwise), declared on the Common Stock since the immediately preceding Quarterly Dividend Payment Date or, with respect to the first Quarterly Dividend Payment Date, since the first issuance of any
share or fraction of a share of Series A Preferred. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision, combination or consolidation of the
outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the amount to which holders of shares of
Series A Preferred were entitled immediately prior to such event under clause (b) of the preceding sentence shall be adjusted by multiplying such amount by a fraction, the numerator of which is the number of shares of Common Stock outstanding
immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 
 (B) The Corporation shall declare a dividend or distribution on the Series A Preferred as provided in paragraph (A) of this Section 2 immediately after it declares a dividend or distribution on
the Common Stock (other than a dividend payable in shares of Common Stock); provided that, in the event no dividend or distribution shall have been declared on the Common Stock during the period between any Quarterly Dividend Payment Date and the
next subsequent Quarterly Dividend Payment Date, a dividend of $1.00 per share on the Series A Preferred shall nevertheless be payable on such subsequent Quarterly Dividend Payment Date. 

(C) Dividends shall begin to accrue and be cumulative on outstanding shares of Series A Preferred from the Quarterly
Dividend Payment Date next preceding the date of issue of such shares, unless the date of issue of such shares is prior to the record date for the first Quarterly Dividend Payment Date, in which case dividends on such shares shall begin to accrue
from the date of issue of such shares, or unless the date of issue is a Quarterly Dividend Payment Date or is a date after the record date for the determination 

  
 A- 2

 
of holders of shares of Series A Preferred entitled to receive a quarterly dividend and before such Quarterly Dividend Payment Date, in either of which events such dividends shall begin to accrue
and be cumulative from such Quarterly Dividend Payment Date. Accrued but unpaid dividends shall not bear interest. Dividends paid on the shares of Series A Preferred in an amount less than the total amount of such dividends at the time accrued and
payable on such shares shall be allocated pro rata on a share-by-share basis among all such shares at the time outstanding. The Board of Directors may fix a record date for the determination of holders of shares of Series A Preferred entitled to
receive payment of a dividend or distribution declared thereon, which record date shall be not more than sixty (60) days prior to the date fixed for the payment thereof. 
 Section 3. Voting Rights. The holders of shares of Series A Preferred shall have the following voting rights: 

(A) Subject to the provision for adjustment hereinafter set forth, each share of Series A Preferred shall entitle the
holder thereof to 10,000 votes on all matters submitted to a vote of the stockholders of the Corporation. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a
subdivision, combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each
such case the number of votes per share to which holders of shares of Series A Preferred were entitled immediately prior to such event shall be adjusted by multiplying such number by a fraction, the numerator of which is the number of shares of
Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 

(B) Except as otherwise provided herein, in any other Certificate of Designations creating a series of Preferred Stock or
any similar stock, or by law, the holders of shares of Series A Preferred and the holders of shares of Common Stock and any other capital stock of the Corporation having general voting rights shall vote together as one class on all matters submitted
to a vote of stockholders of the Corporation. 
 (C) Except as set forth herein, or as otherwise provided by law,
holders of Series A Preferred shall have no special voting rights and their consent shall not be required (except to the extent they are entitled to vote with holders of Common Stock as set forth herein) for taking any corporate action. 

(D) If, at the time of any annual meeting of stockholders for the election of directors, the equivalent of six quarterly
dividends (whether or not consecutive) payable on any share or shares of Series A Preferred are in default, the number of directors constituting the Board of Directors of the Corporation shall be increased by two. In addition to voting together with
the holders of Common Stock for the election of other directors of the Corporation, the holders of record of the Series A Preferred, voting separately as a class to the exclusion of the holders of Common Stock, shall be entitled at such meeting of
stockholders (and at each subsequent annual meeting of stockholders), 

  
 A- 3

 
unless all dividends in arrears on the Series A Preferred have been paid or declared and set apart for payment prior thereto, to vote for the election of two directors of the Corporation, the
holders of any Series A Preferred being entitled to cast a number of votes per share of Series A Preferred as is specified in paragraph (A) of this Section 3. Each such additional director shall serve until the next annual meeting
of stockholders for the election of directors, or until his successor shall be elected and shall qualify, or until his right to hold such office terminates pursuant to the provisions of this Section 3(D). Until the default in payments of
all dividends which permitted the election of said directors shall cease to exist, any director who shall have been so elected pursuant to the provisions of this Section 3(D) may be removed at any time, without cause, only by the
affirmative vote of the holders of the shares of Series A Preferred at the time entitled to cast a majority of the votes entitled to be cast for the election of any such director at a special meeting of such holders called for that purpose, and any
vacancy thereby created may be filled by the vote of such holders. If and when such default shall cease to exist, the holders of the Series A Preferred shall be divested of the foregoing special voting rights, subject to revesting in the event of
each and every subsequent like default in payments of dividends. Upon the termination of the foregoing special voting rights, the terms of office of all persons who may have been elected directors pursuant to said special voting rights shall
forthwith terminate, and the number of directors constituting the Board of Directors shall be reduced by two. The voting rights granted by this Section 3(D) shall be in addition to any other voting rights granted to the holders of the
Series A Preferred in this Section 3. 
 Section 4. Certain Restrictions. 

(A) Whenever quarterly dividends or other dividends or distributions payable on the Series A Preferred as provided in
Section 2 are in arrears, thereafter and until all accrued and unpaid dividends and distributions, whether or not declared, on shares of Series A Preferred outstanding shall have been paid in full, the Corporation shall not: 

(i) declare or pay dividends, or make any other distributions, on any shares of stock ranking junior (either as to
dividends or upon liquidation, dissolution or winding up) to the Series A Preferred; 
 (ii) declare or pay
dividends, or make any other distributions, on any shares of stock ranking on a parity (either as to dividends or upon liquidation, dissolution or winding up) with the Series A Preferred, except dividends paid ratably on the Series A Preferred and
all such parity stock on which dividends are payable or in arrears in proportion to the total amounts to which the holders of all such shares are then entitled; 
 (iii) redeem or purchase or otherwise acquire for consideration shares of any stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to the Series A Preferred,
provided that the Corporation may at any time redeem, purchase or otherwise acquire shares of any such junior stock in exchange for shares of any stock of the Corporation ranking junior (both as to dividends and upon dissolution, liquidation or
winding up) to the Series A Preferred; or 

  
 A- 4

 (iv) redeem or purchase or otherwise acquire for consideration any shares of
Series A Preferred, or any shares of stock ranking on a parity with the Series A Preferred, except in accordance with a purchase offer made in writing or by publication (as determined by the Board of Directors) to all holders of such shares upon
such terms as the Board of Directors, after consideration of the respective annual dividend rates and other relative rights and preferences of the respective series and classes, shall determine in good faith will result in fair and equitable
treatment among the respective series or classes. 
 (B) The Corporation shall not permit any subsidiary of the
Corporation to purchase or otherwise acquire for consideration any shares of stock of the Corporation unless the Corporation could, under paragraph (A) of this Section 4, purchase or otherwise acquire such shares at such time and in such
manner. 
 Section 5. Reacquired Shares. Any shares of Series A Preferred purchased or otherwise acquired by the
Corporation in any manner whatsoever shall be retired and canceled promptly after the acquisition thereof. All such shares shall upon their cancellation become authorized but unissued shares of Preferred Stock and may be reissued as part of a new
series of Preferred Stock subject to the conditions and restrictions on issuance set forth herein, in the Restated Certificate of Incorporation or in any other Certificate of Designations creating a series of Preferred Stock or any similar stock or
as otherwise required by law. 
 Section 6. Liquidation, Dissolution or Winding Up. 

(A) Upon any liquidation, dissolution or winding up of the Corporation, voluntary or otherwise no distribution shall be
made (i) to the holders of shares of stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to the Series A Preferred unless, prior thereto, the holders of Series A Preferred shall have received an amount
per share (the “Series A Liquidation Preference”) equal to $10,000 per share, plus an amount equal to accrued and unpaid dividends and distributions thereon, whether or not declared, to the date of such payment, provided that the holders
of shares of Series A Preferred shall be entitled to receive an aggregate amount per share, subject to the provision for adjustment hereinafter set forth, equal to 10,000 times the aggregate amount to be distributed per share to holders of Common
Stock, or (ii) to the holders of shares of stock ranking on a parity (either as to dividends or upon liquidation, dissolution or winding up) with the Series A Preferred, except distributions made ratably on the Series A Preferred and all such
parity stock in proportion to the total amounts to which the holders of all such shares are entitled upon such liquidation, dissolution or winding up. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock
payable in shares of Common Stock, or effect a subdivision, combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser
number of shares of Common Stock, then in each such case the aggregate amount to which holders of Series A Preferred were entitled immediately prior to such event 

  
 A- 5

 
under the proviso in clause (i) of the preceding sentence shall be adjusted by multiplying such amount by a fraction the numerator of which is the number of shares of Common Stock
outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that are outstanding immediately prior to such event. 

(B) In the event, however, that there are not sufficient assets available to permit payment in full of the Series A
Liquidation Preference and the liquidation preferences of all other classes and series of stock of the Corporation, if any, that rank on a parity with the Series A Preferred in respect thereof, then the assets available for such distribution shall
be distributed ratably to the holders of the Series A Preferred and the holders of such parity shares in proportion to their respective liquidation preferences. 
 (C) Neither the merger or consolidation of the Corporation into or with another corporation nor the merger or consolidation of any other corporation into or with the Corporation shall be deemed to be a
liquidation, dissolution or winding up of the Corporation within the meaning of this Section 6. 
 Section 7.
Consolidation, Merger, etc. In case the Corporation shall enter into any consolidation, merger, combination or other transaction in which the shares of Common Stock are exchanged for or changed into other stock or securities, cash and/or any
other property, then in any such case each share of Series A Preferred shall at the same time be similarly exchanged or changed into an amount per share, subject to the provision for adjustment hereinafter set forth, equal to 10,000 times the
aggregate amount of stock, securities, cash and/or any other property (payable in kind), as the case may be, into which or for which each share of Common Stock is changed or exchanged. In the event the Corporation shall at any time declare or pay
any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision, combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common
Stock) into a greater or lesser number of shares of Common Stock, then in each such case the amount set forth in the preceding sentence with respect to the exchange or change of shares of Series A Preferred shall be adjusted by multiplying such
amount by a fraction, the numerator of which is the number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event.

 Section 8. No Redemption. The Series A Preferred shall not be redeemable by the Corporation. 

Section 9. Rank. The Series A Preferred shall rank, with respect to the payment of dividends and the distribution of assets upon
liquidation, dissolution or winding up, junior to all series of any other class of the Corporation’s Preferred Stock, except to the extent that any such other series specifically provides that it shall rank on a parity with or junior to the
Series A Preferred. 
 Section 10. Amendment. At any time any shares of Series A Preferred are outstanding, the Restated
Certificate of Incorporation of the Corporation shall not be further amended in any manner which would materially alter or change the powers, preferences or special rights of the Series A Preferred so as to affect them adversely without the
affirmative vote of the holders of at least two-thirds of the outstanding shares of Series A Preferred, voting separately as a single class. 

  
 A- 6

 Section 11. Fractional Shares. Series A Preferred may be issued in fractions of a
share that shall entitle the holder, in proportion to such holder’s fractional shares, to exercise voting rights, receive dividends, participate in distributions and to have the benefit of all other rights of holders of Series A Preferred.

*                    *  
                  * 

  
 A- 7

 IN WITNESS WHEREOF, MODUSLINK GLOBAL SOLUTIONS, INC. has caused this certificate to be
executed on behalf of the Corporation by the undersigned authorized officer this 17th day of October, 2011. 
  

			
		
		 	 
		 	Name:
		 	Title:

  
 A- 8

 EXHIBIT B 

[Form of Right Certificate] 
  

			
	 Certificate No. R-             
	 	             Rights

 NOT EXERCISABLE AFTER OCTOBER 17, 2014 OR EARLIER IF NOTICE OF REDEMPTION OR EXCHANGE IS GIVEN, IF
THE COMPANY IS MERGED OR ACQUIRED PURSUANT TO AN AGREEMENT OF THE TYPE DESCRIBED IN SECTION 13.3 OF THE TAX BENEFIT PRESERVATION PLAN (THE “PLAN”), IF SECTION 382 (AS DEFINED IN THE PLAN) OR ANY SUCCESSOR STATUTE IS REPEALED
AND THE BOARD OF DIRECTORS DETERMINES THAT THE PLAN IS NO LONGER NECESSARY OR DESIRABLE FOR THE PRESERVATION OF THE TAX BENEFITS (AS DEFINED IN THE PLAN) OR IF THE BOARD OF DIRECTORS DETERMINES THAT THE TAX BENEFITS ARE FULLY UTILIZED OR NO LONGER
AVAILABLE UNDER SECTION 382 (AS DEFINED IN THE PLAN) OR THAT AN OWNERSHIP CHANGE UNDER SECTION 382 WOULD NOT ADVERSELY IMPACT IN ANY MATERIAL RESPECT THE TIME PERIOD IN WHICH THE COMPANY COULD USE THE TAX BENEFITS, OR MATERIALLY IMPAIR THE AMOUNT OF
THE TAX BENEFITS THAT COULD BE USED BY THE COMPANY IN ANY PARTICULAR TIME PERIOD, FOR APPLICABLE TAX PURPOSES. THE RIGHTS ARE SUBJECT TO REDEMPTION AT $.0001 PER RIGHT, AND TO EXCHANGE ON THE TERMS SET FORTH IN THE PLAN. UNDER CERTAIN
CIRCUMSTANCES (SPECIFIED IN SECTION 11.1.2 OF THE PLAN), RIGHTS BENEFICIALLY OWNED BY OR TRANSFERRED TO AN ACQUIRING PERSON (AS DEFINED IN THE PLAN), OR ANY SUBSEQUENT HOLDER OF SUCH RIGHTS, WILL BECOME NULL AND VOID AND WILL NO LONGER BE
TRANSFERABLE. 
 Right Certificate 
 MODUSLINK GLOBAL SOLUTIONS, INC. 
 This certifies that
                    , or registered assigns, is the registered owner of the number of Rights set forth above, each of which entitles the owner
thereof, subject to the terms, provisions and conditions of the Tax Benefit Preservation Plan, dated as of October 17, 2011, as the same may be amended from time to time (the “Plan”), between ModusLink Global Solutions, Inc., a
Delaware corporation (the “Company”), and American Stock Transfer & Trust Company, LLC, a New York limited liability trust company, as Rights Agent (the “Rights Agent”), to purchase from the Company at any
time after the Distribution Date and prior to 5:00 P.M. (New York time) on October 17, 2014, at the offices of the Rights Agent, or its successors as Rights Agent, designated for such purpose, one ten-thousandth of a fully paid, nonassessable
share of Series A Junior Participating Preferred Stock, par value $.01 per share 

  
 B- 1

 
(the “Series A Preferred”), of the Company, at a purchase price of $20.00 per one ten-thousandth of a share of Series A Preferred, subject to adjustment (the “Purchase
Price”), upon presentation and surrender of this Right Certificate with the Form of Election to Purchase and certification duly executed. The number of Rights evidenced by this Right Certificate (and the number of one ten-thousandths of a
share of Series A Preferred which may be purchased upon exercise thereof) set forth above, and the Purchase Price set forth above, are the number and Purchase Price as of October 17, 2011, based on the Series A Preferred as constituted at such
date. Capitalized terms used in this Right Certificate without definition shall have the meanings ascribed to them in the Plan. As provided in the Plan, the Purchase Price and the number of shares of Series A Preferred which may be purchased upon
the exercise of the Rights evidenced by this Right Certificate are subject to modification and adjustment upon the happening of certain events. 
 This Right Certificate is subject to all of the terms, provisions and conditions of the Plan, which terms, provisions and conditions are hereby incorporated herein by reference and made a part hereof and
to which Plan reference is hereby made for a full description of the rights, limitations of rights, obligations, duties and immunities hereunder of the Rights Agent, the Company and the holders of the Right Certificates. Copies of the Plan are on
file at the principal offices of the Company and the Rights Agent. 
 This Right Certificate, with or without other Right
Certificates, upon surrender at the offices of the Rights Agent designated for such purpose, may be exchanged for another Right Certificate or Right Certificates of like tenor and date evidencing Rights entitling the holder to purchase a like
aggregate number of one ten-thousandths of a share of Series A Preferred as the Rights evidenced by the Right Certificate or Right Certificates surrendered shall have entitled such holder to purchase. If this Right Certificate shall be exercised in
part, the holder shall be entitled to receive upon surrender hereof another Right Certificate or Right Certificates for the number of whole Rights not exercised. 
 Subject to the provisions of the Plan, the Board may, at its option, (i) redeem the Rights evidenced by this Right Certificate at a redemption price of $.0001 per Right or (ii) exchange Common
Stock for the Rights evidenced by this Certificate, in whole or in part. 
 No fractional Series A Preferred will be issued upon
the exercise of any Right or Rights evidenced hereby (other than fractions of Series A Preferred which are integral multiples of one ten-thousandth of a share of Series A Preferred, which may, at the election of the Company, be evidenced by
depository receipts), but in lieu thereof a cash payment will be made, as provided in the Plan. 
 No holder of this Right
Certificate, as such, shall be entitled to vote or receive dividends or be deemed for any purpose the holder of the Series A Preferred or of any other securities of the Company which may at any time be issuable on the exercise hereof, nor shall
anything contained in the Plan or herein be construed to confer upon the holder hereof, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any
meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting stockholders (except as provided in the Plan), or to receive dividends or subscription rights, or otherwise, until
the Right or Rights evidenced by this Right Certificate shall have been exercised as provided in the Plan. 

  
 B- 2

 If any term, provision, covenant or restriction of the Plan is held by a court of competent
jurisdiction or other authority to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of the Plan shall remain in full force and effect and shall in no way be affected, impaired or invalidated.

 This Right Certificate shall not be valid or binding for any purpose until it shall have been countersigned by the Rights
Agent. 

  
 B- 3

 WITNESS the facsimile signature of the proper officer of the Company and its corporate seal.

 Dated as of                     ,
20    . 
  

			
	MODUSLINK GLOBAL SOLUTIONS, INC.
		
	By	 	 
		 	Title:

 Countersigned: 

AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC, 
 as Rights Agent 

			
		
	By	 	 
		 	Authorized Signature

  
 B- 4

 Form of Reverse Side of Right Certificate 

FORM OF ASSIGNMENT 
 (To be executed by the registered holder if such holder 
 desires to transfer the
Right Certificate.) 
 FOR VALUE RECEIVED _________________________________________________________________________________ 

hereby sells, assigns and transfers unto _______________________________________________________________________ 

_____________________________________________________________________________________________________ 

_____________________________________________________________________________________________________ 

(Please print name and address 
 of transferee) 
 Rights evidenced by this Right Certificate, together with all right, title and
interest therein, and does hereby irrevocably constitute and appoint                          Attorney, to transfer the
within Right Certificate on the books of the within-named Company, with full power of substitution. 
 Dated:
                     
  

	
	  
	Signature

  

	
	Signature Medallion Guaranteed:
	
	  

 Signatures must be guaranteed by an “eligible guarantor institution” as defined in Rule 17Ad-15
promulgated under the Securities Exchange Act of 1934, as amended, which is a member of a recognized Medallion Signature Guarantee Program. 

_____________________________________________________________________________________________________ 

  
 B- 5

 The undersigned hereby certifies that: 

(1) the Rights evidenced by this Right Certificate are not Beneficially Owned by and are not being assigned to an Acquiring Person or an
Affiliate or Associate of an Acquiring Person; and 
 (2) after due inquiry and to the best knowledge of the undersigned, the
undersigned did not acquire the Rights evidenced by this Right Certificate from any Person who is, was or subsequently became an Acquiring Person or an Affiliate or Associate of an Acquiring Person. 

Dated:                      

 

	
	  
	Signature

  
 B- 6

 FORM OF ELECTION TO PURCHASE 

(To be executed if holder desires to 
 exercise the Right Certificate.) 
 To: ModusLink Global Solutions, Inc. 

The undersigned hereby irrevocably elects to exercise
                             Rights represented by this Right Certificate to purchase the Series A
Preferred issuable upon the exercise of such Rights (or such other securities or property of the Company or of any other Person which may be issuable upon the exercise of the Rights) and requests that certificates for such stock (or such other
securities or property of the Company or of any other Person which may be issuable upon the exercise of the Rights) be issued in the name of (or to, as the case may be): 
 __________________________________________________________________ 
 (Please print name and
address) 
 __________________________________________________________________ 
 If such number of Rights shall not be all the Rights evidenced by this Right Certificate, a new Right Certificate for the balance remaining of such Rights shall be registered in the name of and delivered
to: 
 Please insert social security 

or other identifying number __________________________________________ 
 __________________________________________________________________ 

                         
   (Please print name and address) 
 __________________________________________________________________ 

Dated:                      

 

	
	  
	Signature

  

	
	Signature Medallion Guaranteed:
	
	  

 Signatures must be guaranteed by an “eligible guarantor institution” as defined in Rule 17Ad-15
promulgated under the Securities Exchange Act of 1934, as amended, which is a member of a recognized Medallion Signature Guarantee Program. 

  
 B- 7

 The undersigned hereby certifies that: 

(1) the Rights evidenced by this Right Certificate are not Beneficially Owned by and are not being assigned to an Acquiring Person or an
Affiliate or Associate of an Acquiring Person; and 
 (2) after due inquiry and to the best knowledge of the undersigned, the
undersigned did not acquire the Rights evidenced by this Right Certificate from any Person who is, was or subsequently became an Acquiring Person or an Affiliate or Associate of an Acquiring Person. 

Dated:                      

 

	
	  
	Signature

  
  

NOTICE 
 The signature in the foregoing Form of Assignment and Form of Election to Purchase must conform to the name as written upon the face of this Right Certificate in every particular, without alteration or
enlargement or any change whatsoever. 
 In the event the certification set forth above in the Form of Assignment or Form of
Election to Purchase is not completed, the Company will deem the Beneficial Owner of the Rights evidenced by this Right Certificate to be an Acquiring Person or an Affiliate or Associate of an Acquiring Person and such Assignment or Election to
Purchase will not be honored. 

  
 B- 8

 EXHIBIT C 

As described in the Tax Benefit Preservation Plan, Rights which are 

held by or have been held by an Acquiring Person or any Affiliate or Associate of an Acquiring 

Person (as defined in the Tax Benefit Preservation Plan) and certain transferees thereof shall 

become null and void and will no longer be transferable. 
 SUMMARY OF RIGHTS TO PURCHASE 
 PREFERRED STOCK 

On October 17, 2011, the Board of Directors of ModusLink Global Solutions, Inc. (the “Company”) declared a dividend
of one preferred stock purchase right (a “Right”) for each share of Common Stock, par value $.01 (the “Common Stock”), of the Company outstanding at the close of business on October 28, 2011 (the
“Record Date”). As long as the Rights are attached to the Common Stock, the Company will issue one Right (subject to adjustment) with each new share of Common Stock so that all such shares will have attached Rights. When
exercisable, each Right will entitle the registered holder to purchase from the Company one ten-thousandth of a share of Series A Junior Participating Preferred Stock (the “Series A Preferred”), par value $.01 of the Company at a
price of $20.00 per one ten-thousandth of a share of Series A Preferred, subject to adjustment (the “Purchase Price”). The description and terms of the Rights are set forth in a Tax Benefit Preservation Plan, dated as of
October 17, 2011, as the same may be amended from time to time (the “Plan”), between the Company and American Stock Transfer & Trust Company, LLC, as Rights Agent (the “Rights Agent”). 

By adopting the Plan, the Board of Directors is seeking to protect the Company’s ability to use its net operating losses, any loss
or deducting attributable to a “net unrealized built-in loss” and other tax attributes (collectively, “Tax Benefits”). The Company views its Tax Benefits as highly valuable assets of the Company, which are likely to inure
to the benefit of the Company and its stockholders. However, if the Company experiences an “ownership change,” as defined in Section 382 of the Internal Revenue Code (the “Code”), its ability to use the Tax Benefits
could be substantially limited, and the timing of the usage of the Tax Benefits could be substantially delayed, which could significantly impair the value of the Tax Benefits. Generally, an “ownership change” occurs if the percentage of
the Company’s stock owned by one or more “five percent stockholders” increases by more than fifty percentage points over the lowest percentage of stock owned by such stockholders at any time during the prior three-year period or, if
sooner, since the last “ownership change” experienced by the Company. The Plan is intended to act as a deterrent to any person acquiring 4.99% or more of the outstanding shares of Common Stock without the approval of the Board of
Directors. This would protect the Tax Benefits because changes in ownership by a person owning less than 4.99% of the Common Stock are not included in the calculation of “ownership change” for purposes of Section 382 of the Code. The
Board of Directors believes it is in the best interest of the Company and its stockholders that the Company provide for the protection of the Tax Benefits by adopting the Plan. 

Until the earlier to occur of (i) the close of business on the tenth (10th) business day following a public announcement that a
person or group has acquired, or obtained the right to acquire, beneficial ownership of 4.99% or more of the Common Stock (an “Acquiring Person”) or (ii) the close of business on the tenth (10th) business day (or such
later date as may 

  
 C-1

 
be determined by action of the Board of Directors prior to such time as any person or group becomes an Acquiring Person) following the commencement or announcement of an intention to make a
tender offer or exchange offer the consummation of which would result in the beneficial ownership by a person or group of 4.99% or more of the Common Stock (the earlier of (i) and (ii) being called the “Distribution
Date”), the Rights will be evidenced, with respect to any of the Common Stock certificates outstanding as of the Record Date, by such Common Stock certificates or, with respect to any uncertificated Common Stock registered in book entry
form, by notation in book entry, in either case together with a copy of this Summary of Rights. The Board can postpone the Distribution Date in certain circumstances. Shares held by persons participating in a group are deemed to be beneficially
owned by all persons treated as the same entity for purposes of Section 382 of the Code. The Plan provides that any person who beneficially owned 4.99% or more of the Common Stock immediately prior to the first public announcement of the
adoption of the Plan (each an “Existing Holder”), shall not be deemed to be an “Acquiring Person” for purposes of the Plan unless the Existing Holder becomes the beneficial owner of one or more additional shares of Common
Stock (other than pursuant to a dividend or distribution paid or made by the Company on the outstanding Common Stock in Common Stock or pursuant to a split or subdivision of the outstanding Common Stock). However, if upon acquiring beneficial
ownership of one or more additional shares of Common Stock, the Existing Holder does not beneficially own 4.99% or more of the Common Stock then outstanding, the Existing Holder shall not be deemed to be an “Acquiring Person” for purposes
of the Plan. The Plan includes a procedure whereby the Board of Directors will consider requests (a) to exempt certain acquisitions of Common Stock of the Company from the applicable ownership trigger if the Board determines that the
acquisition will not jeopardize or endanger the availability of the Tax Benefits to the Company and (b) solely before a person beneficially owns shares of Common Stock equal to or exceeding 4.99% of the Common Stock then outstanding, to exempt
certain acquisitions of Common Stock of the Company from the applicable ownership trigger if the Board determines that the acquisition is in the best interests of the Company even if it jeopardizes or endangers the availability of the Tax Benefits.

 The Plan provides that until the Distribution Date (or earlier redemption, exchange, termination or expiration of the
Rights), the Rights will be transferred with and only with the Common Stock. Until the Distribution Date (or earlier redemption, exchange, termination or expiration of the Rights), new Common Stock certificates issued after the close of business on
the Record Date upon transfer or new issuance of the Common Stock will contain a notation incorporating the Plan by reference, and the Company will deliver a notice to that effect upon the transfer or new issuance of book entry shares. Until the
Distribution Date (or earlier redemption, exchange, termination or expiration of the Rights), the surrender for transfer of any certificates for Common Stock, with or without such notation or a copy of this Summary of Rights, will also constitute
the transfer of the Rights associated with the Common Stock represented by such certificate or the book entry shares. As soon as practicable following the Distribution Date, separate certificates evidencing the Rights (“Right
Certificates”) will be mailed to holders of record of the Common Stock as of the close of business on the Distribution Date and such separate Right Certificates alone will evidence the Rights. 

  
 C-2

 The Rights are not exercisable until the Distribution Date. The Rights will expire, unless
earlier redeemed or exchanged by the Company or terminated, on the earliest to occur of: (i) October 17, 2014, subject to the Company’s right to extend such date (the “Final Expiration Date”), (ii) if
stockholder approval of the Plan is not obtained at the annual stockholder meeting (or any adjournment thereof), the close of business on the date of such stockholder meeting (or adjournment, if applicable), or the close of business on
February 28, 2012, if stockholder approval of the Plan has not otherwise been obtained by that date, (iii) the close of business on the effective date of the repeal of Section 382 or any successor statute if the Board determines that
the Plan is no longer necessary or desirable for the preservation of the Tax Benefits or (iv) the time at which the Board of Directors determines that the Tax Benefits are fully utilized or no longer available under Section 382 of the Code
or that an ownership change under Section 382 of the Code would not adversely impact in any material respect the time period in which the Company could use the Tax Benefits, or materially impair the amount of the Tax Benefits that could be used
by the Company in any particular time period, for applicable tax purposes. 
 Each share of Series A Preferred purchasable upon
exercise of the Rights will be entitled, when, as and if declared, to a minimum preferential quarterly dividend payment of $1.00 per share or, if greater, an aggregate dividend of 10,000 times the dividend, if any, declared per share of Common
Stock. In the event of liquidation, dissolution or winding up of the Company, the holders of the Series A Preferred will be entitled to a minimum preferential liquidation payment of $10,000 per share (plus any accrued but unpaid dividends), provided
that such holders of the Series A Preferred will be entitled to an aggregate payment of 10,000 times the payment made per share of Common Stock. Each share of Series A Preferred will have 10,000 votes and will vote together with the Common Stock.
Finally, in the event of any merger, consolidation or other transaction in which shares of Common Stock are exchanged, each share of Series A Preferred will be entitled to receive 10,000 times the amount received per share of Common Stock. Series A
Preferred will not be redeemable. These rights are protected by customary antidilution provisions. Because of the nature of the Series A Preferred’s dividend, liquidation and voting rights, the value of one ten-thousandth of a share of Series A
Preferred purchasable upon exercise of each Right should approximate the value of one share of Common Stock. 
 The Purchase
Price payable, and the number of shares of Series A Preferred or other securities or property issuable, upon exercise of the Rights are subject to adjustment from time to time to prevent dilution (i) in the event of a stock dividend on, or a
subdivision, combination or reclassification of the Series A Preferred, (ii) upon the grant to holders of the Series A Preferred of certain rights or warrants to subscribe for or purchase Series A Preferred or convertible securities at less
than the current market price of the Series A Preferred or (iii) upon the distribution to holders of the Series A Preferred of evidences of indebtedness, cash, securities or assets (excluding regular periodic cash dividends at a rate not in
excess of 125% of the rate of the last regular periodic cash dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not in excess of 50% of the average net income per share of the Company for
the four quarters ended immediately prior to the payment of such dividend, or dividends payable in Series A Preferred (which dividends will be subject to the adjustment described in clause (i) above)) or of subscription rights or warrants
(other than those referred to above). 
 In the event that a Person becomes an Acquiring Person or if the Company were the
surviving corporation in a merger with an Acquiring Person or any affiliate or associate of an Acquiring Person and shares of the Common Stock were not changed or exchanged, each holder 

  
 C-3

 
of a Right, other than Rights that are or were acquired or beneficially owned by the Acquiring Person (which Rights will thereafter be null and void), will thereafter have the right to receive
upon exercise that number of shares of Common Stock having a market value of two times the then current Purchase Price of the Right. In the event that, after a Person has become an Acquiring Person, the Company were acquired in a merger or other
business combination transaction or more than 50% of its assets or earning power were sold, proper provision shall be made so that each holder of a Right shall thereafter have the right to receive, upon the exercise thereof at the then current
Purchase Price of the Right, that number of shares of common stock of the acquiring company which at the time of such transaction would have a market value of two times the then current Purchase Price of the Right. 

At any time after a Person becomes an Acquiring Person and prior to the earlier of one of the events described in the last sentence of
the previous paragraph or the acquisition by such Acquiring Person of 50% or more of the outstanding Common Stock, the Board of Directors may cause the Company to exchange the Rights (other than Rights owned by an Acquiring Person which will have
become null and void), in whole or in part, for Common Stock at an exchange rate of one share of Common Stock per Right (subject to adjustment). 
 No adjustment in the Purchase Price will be required until cumulative adjustments require an adjustment of at least 1% in such Purchase Price. No fractional Series A Preferred or Common Stock will be
issued (other than fractions of Series A Preferred which are integral multiples of one ten-thousandth of a share of Series A Preferred, which may, at the election of the Company, be evidenced by depository receipts), and in lieu thereof, a payment
in cash will be made based on the market price of the Series A Preferred or Common Stock on the last trading date prior to the date of exercise. 
 The Rights may be redeemed in whole, but not in part, at a price of $.0001 per Right (the “Redemption Price”) by the Board of Directors at any time prior to the time that an Acquiring
Person has become such. The redemption of the Rights may be made effective at such time, on such basis and with such conditions as the Board of Directors in its sole discretion may establish. Immediately upon any redemption of the Rights, the right
to exercise the Rights will terminate and the only right of the holders of Rights will be to receive the Redemption Price. 

Until a Right is exercised, the holder thereof, as such, will have no rights as a stockholder of the Company beyond those as an existing
stockholder, including, without limitation, the right to vote or to receive dividends. 
 Any of the provisions of the Plan may
be amended by the Board of Directors, or a duly authorized committee thereof, for so long as the Rights are then redeemable, and after the Rights are no longer redeemable, the Company may amend or supplement the Plan in any manner that does not
adversely affect the interests of the holders of the Rights (other than an Acquiring Person or any affiliate or associate of an Acquiring Person). 
 A copy of the Plan has been filed with the Securities and Exchange Commission as an Exhibit to a Current Report on Form 8-K. A copy of the Plan is available free of charge from the Company. This summary
description of the Rights does not purport to be complete and is qualified in its entirety by reference to the Plan, which is incorporated herein by reference. 

  
 C-4

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