Document:

Filed by Avantafile.com - Exhibit 10.1 - Himalaya Technologies Inc.

	 	
        THIS NOTE AND THE COMMON STOCK ISSUABLE UPON CONVERSION OF THIS NOTE HAVE NOT BEEN AND WILL NOT BE REGISTERED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND THE RULES AND REGULATIONS PROMULGATED THEREUNDER (THE "1933 ACT”) 
	 

 

US $151,500.00

 

HOMELAND RESOURCES LTD. a/k/a HIMALAYA TECHNOLOGIES, INC.10% 

CONVERTIBLE REDEEMABLE NOTE 

DUE JUNE 29, 2022 

 

FOR VALUE RECEIVED, HOMELAND RESOURCES LTD. a/k/a HIMALAYA TECHNOLOGIES, INC. (the “Company”) promises to pay to the order of GS CAPITAL PARTNERS, LLC and its authorized successors and Permitted Assigns, defined below, ("Holder"), the aggregate principal face amount One Hundred Fifty One Thousand Five Hundred Dollars exactly (U.S. $151,500.00) on June 29, 2022 ("Maturity Date") and to pay interest on the principal amount outstanding hereunder at the rate of 10% per annum commencing on June 29, 2021 ("Issuance Date"). The Company acknowledges this Note was issued with a $20,000 original issue discount and as such the purchase price was $131,500.00. The interest will be paid to the Holder in whose name this Note is registered on the records of the Company regarding registration and transfers of this Note. The principal of, and interest on, this Note are payable at 30 Washington Street, Suite 5L, Brooklyn, NY 11201, initially, and if changed, last appearing on the records of the Company as designated in writing by the Holder hereof from time to time. The Company will pay each interest payment and the outstanding principal due upon this Note before or on the Maturity Date, less any amounts required by law to be deducted or withheld, to the Holder of this Note by check or wire transfer addressed to such Holder at the last address appearing on the records of the Company. The forwarding of such check or wire transfer shall constitute a payment of outstanding principal hereunder and shall satisfy and discharge the liability for principal on this Note to the extent of the sum represented by such check or wire transfer. Interest shall be payable in Common Stock (as defined below) pursuant to paragraph 4(b) herein. Permitted Assigns means any Holder assignment, transfer or sale of all or a portion of this Note accompanied by an Opinion of Counsel as provided for in Section 2(f) of the Securities Purchase Agreement. 

 

This Note is subject to the following additional provisions:

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1. This Note is exchangeable for an equal aggregate principal amount of Notes of different authorized denominations, as requested by the Holder surrendering the same. No service charge will be made for such registration or transfer or exchange, except that Holder shall pay any tax or other governmental charges payable in connection therewith. To the extent that Holder subsequently transfers, assigns, sells or exchanges any of the multiple lesser denomination notes, Holder acknowledges that it will provide the Company with Opinions of Counsel as provided for in Section 2(f) of the Securities Purchase Agreement. 

 

2. The Company shall be entitled to withhold from all payments any amounts required to be withheld under applicable laws. 

 

3. This Note may be transferred or exchanged only in compliance with the Securities Act of 1933, as amended ("Act") and applicable state securities laws. Any attempted transfer to a non-qualifying party shall be treated by the Company as void. Prior to due presentment for transfer of this Note, the Company and any agent of the Company may treat the person in whose name this Note is duly registered on the Company's records as the owner hereof for all other purposes, whether or not this Note be overdue, and neither the Company nor any such agent shall be affected or bound by notice to the contrary. Any Holder of this Note electing to exercise the right of conversion set forth in Section 4(a) hereof, in addition to the requirements set forth in Section 4(a), and any prequalified prospective transferee of this Note, also is required to give the Company written confirmation that this Note is being converted ("Notice of Conversion") in the form annexed hereto as Exhibit A. The date of receipt (including receipt by telecopy) of such Notice of Conversion shall be the Conversion Date. All notices of conversion will be accompanied by an Opinion of Counsel. 

 

4. (a) The Holder of this Note is entitled, at its option, at any time after cash payment, to convert all or any amount of the principal face amount of this Note then out-standing into shares of the Company's common stock (the "Common Stock") at a price ("Conversion Price") for each share of Common Stock equal to 60% of the lowest trading price of the Common Stock as reported on the National Quotations Bureau OTC Marketplace exchange which the Company’s shares are traded or any exchange upon which the Common Stock may be traded in the future ("Exchange"), for the twenty prior trading days including the day upon which a Notice of Conversion is received by the Company or its transfer agent (provided such Notice of Conversion is delivered by fax or other electronic method of communication to the Company or its transfer agent after 4 P.M. Eastern Standard or Daylight Savings Time if the Holder wishes to include the same day closing price). If the shares have not been delivered within 3 business days, the Notice of Conversion may be rescinded. Such conversion shall be effectuated by the Company delivering the shares of Common Stock to the Holder within 3 business days of receipt by the Company of the Notice of Conversion. Accrued but unpaid interest shall be subject to conversion. No fractional shares or scrip representing fractions of shares will be issued on conversion, but the number of shares issuable shall be rounded to the nearest whole share. To the extent the Conversion Price of the Company’s Common Stock closes below the par value per share, the Company will take all steps necessary to solicit the consent of the stockholders to reduce the par value to the lowest value possible under law. The Company agrees to honor all conversions submitted pending this increase. In the event the Company experiences a DTC “Chill” on its shares, the Conversion Price shall be decreased to 50% instead of 60% while that “Chill” is in effect. In no event shall the Holder be 

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allowed to effect a conversion if such conversion, along with all other shares of Company Common Stock beneficially owned by the Holder and its affiliates would exceed 4.99% of the outstanding shares of the Common Stock of the Company (which may be increased up to 9.9% upon 60 days’ prior written notice by the Investor). The conversion discount, look back period and other terms will be adjusted on a ratchet basis if the Company offers a more favorable conversion discount, prepayment rate, interest rate, (whether through a straight discount or in combination with an orig-inal issue discount), look back period or other more favorable term to another party for any fi-nancings while this Note is in effect, including but not limited to defaults, penalties and the remedy for such defaults or penalties. 

 

(b) Interest on any unpaid principal balance of this Note shall be paid at the rate of 10% per annum. Interest shall be paid by the Company in Common Stock ("Interest Shares"). Holder may, at any time, send in a Notice of Conversion to the Company for Interest Shares based on the formula provided in Section 4(a) above. The dollar amount converted into Interest Shares shall be all or a portion of the accrued interest calculated on the unpaid principal balance of this Note to the date of such notice. (c) The Notes may be prepaid or assigned with the following penalties/premiums:

 

(c) The Notes may be prepaid or assigned with the following penalties/premiums:

	PREPAY DATE	PREPAY AMOUNT
	≤ 60 days	115% of principal plus accrued interest
	61- 120 days	125% of principal plus accrued interest
	121-180 days	135% of principal plus accrued interest

This Note may not be prepaid after the 180th day. Such redemption must be closed and funded within 3 days of giving notice of redemption of the right to redeem shall be null and void. Any partial prepayments will be made in accordance with the formula set forth in the chart above with respect to principal, premium and interest. 

 

(d) Upon (i) a transfer of all or substantially all of the assets of the Company to any person in a single transaction or series of related transactions, (ii) a reclassification, capital reorganization (excluding an increase in authorized capital) or other change or exchange of out-standing shares of the Common Stock, other than a forward or reverse stock split or stock dividend, or (iii) any consolidation or merger of the Company with or into another person or entity in which the Company is not the surviving entity (other than a merger which is effected solely to change the jurisdiction of incorporation of the Company and results in a reclassification, conversion or exchange of outstanding shares of Common Stock solely into shares of Common Stock) (each of items (i), (ii) and (iii) being referred to as a "Sale Event"), then, in each case, the Company shall, upon request of the Holder, redeem this Note in cash for 150% of the principal amount, plus ac-crued but unpaid interest through the date of redemption, or at the election of the Holder, such Holder may convert the unpaid principal amount of this Note (together with the amount of accrued but unpaid interest) into shares of Common Stock immediately prior to such Sale Event at the Conversion Price. 

 

(e) In case of any Sale Event (not to include a sale of all or substantially all of the Company’s assets) in connection with which this Note is not redeemed or converted, the Com-pany shall cause effective provision to be made so that the Holder of this Note shall have the right

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thereafter, by converting this Note, to purchase or convert this Note into the kind and number of shares of stock or other securities or property (including cash) receivable upon such reclassification, capital reorganization or other change, consolidation or merger by a holder of the number of shares of Common Stock that could have been purchased upon exercise of the Note and at the same Conversion Price, as defined in this Note, immediately prior to such Sale Event. The forego-ing provisions shall similarly apply to successive Sale Events. If the consideration received by the holders of Common Stock is other than cash, the value shall be as determined by the Board of Directors of the Company or successor person or entity acting in good faith. 

 

5. No provision of this Note shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of, and interest on, this Note at the time, place, and rate, and in the form, herein prescribed.

 

6. The Company hereby expressly waives demand and presentment for payment, notice of non-payment, protest, notice of protest, notice of dishonor, notice of acceleration or intent to accelerate, and diligence in taking any action to collect amounts called for hereunder and shall be directly and primarily liable for the payment of all sums owing and to be owing hereto. 

 

7. The Company agrees to pay all costs and expenses, including reasonable attorneys' fees and expenses, which may be incurred by the Holder in collecting any amount due under this Note. 

 

8. If one or more of the following described "Events of Default" shall occur: 

 

(a) The Company shall default in the payment of principal or interest on this Note or any other note issued to the Holder by the Company; or 

 

(b) Any of the representations or warranties made by the Company herein or in any agreement entered into by the Company in connection with the execution and delivery of this Note, shall be false or misleading in any respect; or 

 

(c) The Company shall fail to perform or observe, in any respect, any covenant, term, provision, condition, agreement or obligation of the Company under this Note or any other note issued to the Holder; or 

 

(d) The Company shall (1) become insolvent (which does not include a “going concern opinion); (2) admit in writing its inability to pay its debts generally as they mature; (3) make an assignment for the benefit of creditors or commence proceedings for its dissolution; (4) apply for or consent to the appointment of a trustee, liquidator or receiver for its or for a substantial part of its property or business; (5) file a petition for bankruptcy relief, consent to the filing of such petition or have filed against it an involuntary petition for bankruptcy relief, all under federal or state laws as applicable; or 

 

(e) A trustee, liquidator or receiver shall be appointed for the Company or for a substantial part of its property or business without its consent and shall not be discharged within sixty (60) days after such appointment; or 

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(f) Any governmental agency or any court of competent jurisdiction at the in-stance of any governmental agency shall assume custody or control of the whole or any substantial portion of the properties or assets of the Company; or 

 

(g) One or more money judgments, writs or warrants of attachment, or similar process, in excess of fifty thousand dollars ($50,000) in the aggregate, shall be entered or filed against the Company or any of its properties or other assets and shall remain unpaid, unvacated, unbonded or unstayed for a period of fifteen (15) days or in any event later than five (5) days prior to the date of any proposed sale thereunder; or 

 

(h) Defaulted on or breached any term of any other purchase agreement or note or similar debt instrument into which the Company has entered and failed to cure such default within the appropriate grace period; or 

 

(i) The Company shall have its Common Stock delisted from an exchange (including the OTC Markets exchange) or, if the Common Stock trades on an exchange, then trading in the Common Stock shall be suspended for more than 10 consecutive days or ceases to file its 1934 act reports with the SEC; 

 

(j) If a majority of the members of the Board of Directors of the Company on the date hereof are no longer serving as members of the Board; 

 

(k) The Company shall not deliver to the Holder the Common Stock pursuant to paragraph 4 herein without restrictive legend within 3 business days of its receipt of a Notice of Conversion which includes an Opinion of Counsel expressing an opinion which supports the removal of a restrictive legend; or 

 

(l) The Company shall not replenish the reserve set forth in Section 12, within 3 business days of the request of the Holder. 

 

(m) The Company shall be delinquent in its periodic report filings with the Securities and Exchange Commission; or 

 

(n) The Company shall cause to lose the “bid” price for its stock in a market (including the OTC marketplace or other exchange). 

 

Then, or at any time thereafter, unless cured within 5 days, and in each and every such case, unless such Event of Default shall have been waived in writing by the Holder (which waiver shall not be deemed to be a waiver of any subsequent default) at the option of the Holder and in the Holder's sole discretion, the Holder may consider this Note immediately due and payable, without presentment, demand, protest or (further) notice of any kind (other than notice of acceleration), all of which are hereby expressly waived, anything herein or in any note or other instruments contained to the contrary notwithstanding, and the Holder may immediately, and without expiration of any period of grace, enforce any and all of the Holder's rights and remedies provided herein or any other rights or remedies afforded by law. Upon an Event of Default, interest shall   

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accrue at a default interest rate of 24% per annum or, if such rate is usurious or not permitted by current law, then at the highest rate of interest permitted by law. In the event of a breach of Section 8(k) the penalty shall be $250 per day the shares are not issued beginning on the 4th day after the conversion notice was delivered to the Company. This penalty shall increase to $500 per day beginning on the 10th day. In an event of a breach of Section 8(h) the Holder may elect to utilize the same remedy available under the defaulted interest and such remedy shall be incorporated by reference into the terms of this Note. The penalty for a breach of Section 8(n) shall be an increase of the outstanding principal amounts by 20%. Further, if a breach of Section 8(m) occurs or is continuing after the 6 month anniversary of the Note, then the Holder shall be entitled to use the lowest closing bid price during the delinquency period as a base price for the conversion. For example, if the lowest closing bid price during the delinquency period is $0.01 per share and the conversion discount is 50% the Holder may elect to convert future conversions at $0.005 per share. 

 

If the Holder shall commence an action or proceeding to enforce any provisions of this Note, including, without limitation, engaging an attorney, then if the Holder prevails in such action, the Holder shall be reimbursed by the Company for its attorneys’ fees and other costs and expenses incurred in the investigation, preparation and prosecution of such action or proceeding. 

 

The Company must pay the Failure to Deliver Loss by cash payment, and any such cash payment must be made by the third business day from the time of the Holder’s written notice to the Company. 

 

9. In case any provision of this Note is held by a court of competent jurisdiction to be excessive in scope or otherwise invalid or unenforceable, such provision shall be adjusted rather than voided, if possible, so that it is enforceable to the maximum extent possible, and the validity and enforceability of the remaining provisions of this Note will not in any way be affected or impaired thereby. 

 

10. Neither this Note nor any term hereof may be amended, waived, discharged or terminated other than by a written instrument signed by the Company and the Holder. 

 

11. The Company represents that it is not a “shell” issuer and has never been a “shell” issuer or that if it previously has been a “shell” issuer that at least 12 months have passed since the Company has reported form 10 type information indicating it is no longer a “shell” issuer. Further. The Company will instruct its counsel to either (i) write a 144 opinion to allow for salability of the conversion shares or (ii) accept such opinion from Holder’s counsel. 

 

12. The Company shall issue irrevocable transfer agent instructions reserving 91,818,000 shares of its Common Stock for conversions under this Note (the “Share Reserve”). Upon full conversion of this Note, any shares remaining in the Share Reserve shall be cancelled. The Company shall pay all transfer agent costs associated with issuing and delivering the share certificates to Holder. If such amounts are to be paid by the Holder, it may deduct such amounts from the Conversion Price. The Company should at all times reserve a minimum of four times the amount of shares required if the note would be fully converted. The Holder may reasonably re-quest increases from time to time to reserve such amounts. The Company will instruct its transfer  

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agent to provide the outstanding share information to the Holder in connection with its conversions. 

 

13. The Company will give the Holder direct notice of any corporate actions, including but not limited to name changes, stock splits, recapitalizations etc. This notice shall be given to the Holder as soon as possible under law. 

 

14. If it shall be found that any interest or other amount deemed interest due hereunder violates the applicable law governing usury, the applicable provision shall automatically be revised to equal the maximum rate of interest or other amount deemed interest permitted under applicable law. The Company covenants (to the extent that it may lawfully do so) that it will not seek to claim or take advantage of any law that would prohibit or forgive the Company from paying all or a portion of the principal or interest on this Note. 

 

15. This Note shall be governed by and construed in accordance with the laws of New York applicable to contracts made and wholly to be performed within the State of New York and shall be binding upon the successors and assigns of each party hereto. The Holder and the Company hereby mutually waive trial by jury and consent to exclusive jurisdiction and venue in the courts of the State of New York or in the Federal courts sitting in the county or city of New York. This Agreement may be executed in counterparts, and the facsimile transmission of an executed counterpart to this Agreement shall be effective as an original.

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IN WITNESS WHEREOF, the Company has caused this Note to be duly executed by an officer thereunto duly authorized. 

 

Dated: 06-29-2021

 

	 	
        HOMELAND RESOURCES LTD.  

        a/k/a HIMALAYA TECHNOLOGIES, INC.

        

         

        By: Vikram Grover 

         

        Title: CEO 

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EXHIBIT A 

 

NOTICE OF CONVERSION

 

(To be Executed by the Registered Holder in order to Convert the Note) 

 

The undersigned hereby irrevocably elects to convert $___________ of the above Note into _________ Shares of Common Stock of HOMELAND RESOURCES LTD. (“Shares”) according to the conditions set forth in such Note, as of the date written below.

 

If Shares are to be issued in the name of a person other than the undersigned, the undersigned will pay all transfer and other taxes and charges payable with respect thereto. 

 

Date of Conversion: __________________________________________________________________________________ 

Applicable Conversion Price:  __________________________________________________________________________

Signature:  __________________________________________________________________________________________

                                                                        [Print Name of Holder and Title of Signer] 

Address:  ___________________________________________________________________________________________

                 ___________________________________________________________________________________________ 

 

SSN or EIN: __________________________

Shares are to be registered in the following name: _______________________________________________________________________

 

Name:  ____________________________________________________________________________________

Address:  __________________________________________________________________________________

Tel:  __________________________________________________________

Fax:  __________________________________________________________

SSN or EIN:  ___________________________________________________

 

Shares are to be sent or delivered to the following account: 

 

Account Name:  __________________________________________________________________________________

Address:  ________________________________________________________________________________________

 

9EX-10.2

 Exhibit 10.2 

Sterling Check Corp. 
 Non-Employee Director Compensation Policy 
 (Adopted September 22, 2021) 

Purpose 
 The purpose of this Non-Employee Director Compensation Policy (this “Policy”) is to establish the cash and equity compensation for non-employee members of the Board of Directors
(the “Board”) of Sterling Ultimate Parent Corp. (the “Company”) in a manner that aligns their interests with those of the Company’s shareholders and is competitive with comparable companies. 

The cash and equity compensation described in this Policy shall be paid or be made, as applicable, automatically and without further action of the Board, or
any committee or subcommittee thereof, to each member of the Board who is not an employee of the Company or any parent or subsidiary of the Company and who is not employed by Goldman Sachs Group Inc., Caisse de dépôt et placement du
Québec, or any of their respective subsidiaries or affiliates (each, a “Non-Employee Director”) who may be eligible to receive such cash or equity compensation, unless such Non-Employee Director declines the receipt of such cash or equity compensation by written notice to the Company. 

Effective Date 
 This Policy shall become effective upon
the closing date of the Company’s initial public offering (the “Effective Date”), and shall remain in effect until it is revised or rescinded by further action of the Board. 

Compensation 
  

	1.	 Cash Compensation. 

 
  

	 	a.	 Annual Retainers. Each Non-Employee Director shall receive an
annual retainer of $50,000 for service on the Board. 

  

	 	b.	 Additional Annual Retainers. In addition to the annual retainer in Section 1(a), each Non-Employee Director serving as the Non-Executive Board Chair, or as a committee member or chair, as applicable, shall receive an additional annual retainer for such service
as follows: 

  

					
	 Non-Executive Chair:
	  	$	35,000	 
	 Audit Committee Chair:
	  	$	20,000	 
	 Audit Committee Member:
	  	$	10,000	 
	 Compensation Committee Chair:
	  	$	15,000	 
	 Compensation Committee Member:
	  	$	7,500	 
	 Nominating and Corporate Governance Chair:
	  	$	10,000	 
	 Nominating and Corporate Governance Member:
	  	$	5,000	 

	 	c.	 Payment of Retainers. The annual retainers described in Section 1(a) and
Section 1(b) (collectively, the “Annual Retainer”) shall be earned on a quarterly basis based on a calendar quarter and, except as provided in Section 1(d), shall be paid in cash by the Company in arrears not later
than the fifteenth day following the end of each calendar quarter. In the event a member of the Board does not serve as a Non-Employee Director, or in the applicable positions described in
Section 1(b), for an entire calendar quarter, such Non-Employee Director shall receive a prorated portion of the Annual Retainer otherwise payable to such
Non-Employee Director for such calendar quarter pursuant to Section 1(a) and Section 1(b), as applicable, with such prorated portion determined by multiplying such otherwise payable
portion of the Annual Retainer by a fraction, the numerator of which is the number of days during which the member of the Board serves as a Non-Employee Director and in the applicable positions described in
Section 1(b) during the applicable calendar quarter and the denominator of which is the number of days in the applicable calendar quarter. 

  

	 	d.	 Election to Receive Annual Retainer in Shares. A Non-Employee
Director may elect to receive 50% or 100% of his or her Annual Retainer, in lieu of cash, in the form of shares of common stock of the Company (“Shares”), provided that such election is timely made in accordance with the procedures
described in Section 1(e). Any such Shares shall be issued on the last day of the applicable calendar quarter in respect of which a portion of the Annual Retainer (such portion, the “Applicable Amount”) would otherwise have
been paid in cash (or if such day is not a trading day, on the next trading day) . The number of Shares to be issued will equal the Applicable Amount divided by the closing price of a Company Share on the last trading day prior to the date of
issuance, rounded to the nearest whole Share. Any Shares issued in lieu of a Non-Employee Director’s Annual Retainer shall be issued pursuant to the Plan and shall be deemed to be issued as an “Other
Share-Based Award” (as defined in the Plan). 

  

	 	e.	 Election Procedures. An election with respect to a Non-Employee
Director’s Annual Retainer payable to such Non-Employee Director in the following calendar year to receive 50% or 100% in the form of Shares (a “Retainer Share Election”) must comply with
the following timing requirements: 

 i. Elections. A Retainer Share Election must be submitted
to the Company’s Executive Vice President, Secretary and Chief Legal & Risk Officer within the Company’s fourth quarter open trading window (the “Fourth Quarter Trading Window”) of the calendar year immediately
preceding the calendar year to which the Annual Retainer relates (the last day of such trading window, the “Annual Election Deadline”), and the Retainer Share Election shall become irrevocable effective as of the Annual Election
Deadline, provided that if such calendar year does not contain a Fourth Quarter Trading Window, Non-Employee Directors will not be eligible to make a Retainer Share Election in such calendar year. A Retainer
Share Election, once made, will remain in effect for all subsequent calendar years until revoked or revised in accordance with Section 1(e)(ii). 

ii. Revocation/Revision. A Non-Employee Director may revoke or revise his
or her existing Retainer Share Election during a Fourth Quarter Trading Window by such calendar year’s Annual Election Deadline with respect to Annual Retainers related to future calendar years. If a calendar year does not contain a Fourth
Quarter Trading Window, Non-Employee Directors will not be eligible to revoke or revise a Retainer Share Election in such calendar year.
  

	 	f.	 Reimbursement of Expenses. The Company shall reimburse each
non-employee member of the Board for all reasonable and documented travel and lodging expenses associated with attendance at Board and committee meetings, provided, that such individual timely submits to the
Company appropriate documentation substantiating such expenses in accordance with the Company’s travel and expense policy as in effect from time to time. 

	 	2.	 Equity Compensation. Non-Employee Directors shall be granted the
equity incentive awards described below. The awards described below shall be granted under and shall be subject to the terms and provisions of the Company’s 2021 Omnibus Incentive Plan or any other applicable Company equity incentive plan then
maintained by the Company (such plan, as may be amended from time to time, the “Plan”) and shall be granted subject to the execution and delivery of applicable award agreement(s), including any exhibits attached thereto. All
applicable terms of the Plan and any award agreement thereunder shall apply to this Policy as if fully set forth herein. 

  

	 	a.	 Annual Awards. Each Non-Employee Director who (i) serves on
the Board as of the date of any annual meeting of the Company stockholders (an “Annual Meeting”) after the Effective Date and (ii) will continue to serve as a Non-Employee Director
immediately following such Annual Meeting shall be granted, on the date of such Annual Meeting, an equity award consisting of a number of shares of Restricted Stock (as defined in the Plan) with a grant date fair value of $200,000. The awards
described in this Section 2(a) shall be referred to as the “Annual Awards.” 

  

	 	b.	 Initial Awards. Each Non-Employee Director who is initially
elected or appointed to the Board after the Effective Date shall be granted, on the effective date of such Non-Employee Director’s initial election or appointment, an Option (as defined in the Plan) with
a grant date fair value of $250,000. The awards described in this Section 2(b) shall be referred to as “Initial Awards.” For the avoidance of doubt, no Non-Employee Director shall
be granted more than one Initial Award. 

  

	 	c.	 Termination of Employment of Directors. Members of the Board who are employees of the Company or any
parent or subsidiary of the Company who, following the Effective Date, terminate their employment with the Company and any parent or subsidiary of the Company and remain on the Board will not receive an Initial Award pursuant to
Section 2(b) above, but to the extent that they are otherwise eligible, will be eligible to receive, after termination from employment with the Company and any parent or subsidiary of the Company, Annual Awards as described in
Section 2(a) above. 

  

	 	d.	 Vesting of Awards Granted to Non-Employee Directors. Subject to
the Non-Employee Director continuing in service through each applicable vesting date: 

  

	 	(i)	 Annual Award. Each Annual Award shall vest on the first anniversary of the date of grant or, if earlier,
the date which is the business day immediately preceding the date of the first Annual Meeting following the date of grant. 

  

	 	(ii)	 Initial Award. Each Initial Award shall vest as to one-third of
such award on each of the first through third anniversaries of the date of grant or, if earlier and the date of grant was the date of an Annual Meeting, the date which is the business day immediately preceding the date of the Annual Meeting
preceding such anniversary date. 

  

	 	(iii)	 Termination. Except as provided below in the case of a Change in Control (as defined in the Plan), no
portion of an Annual Award or Initial Award that is unvested at the time of a Non-Employee Director’s Termination (as defined in the Plan) from the Board shall become vested thereafter.

  

	 	(iv)	 Change in Control. If a Change in Control occurs and (i) a
Non-Employee Director has not experienced a Termination (as defined in the Plan) prior thereto and immediately following the Change in Control the Non-Employee Director
is not a member of the Board or the board of directors of the ultimate parent corporation of the Company (or the Company’s successor) (such board, the “Applicable Board”) or (ii) within 24 months following such Change in
Control, the Non-Employee Director’s service on the Applicable Board Terminates other than by reason of a voluntary resignation by the Non-Employee Director, the
Initial Awards and all Annual Awards shall become fully vested and exercisable upon the date of the Non-Employee Director’s Termination. 

Compensation Limits 
 Notwithstanding anything to the
contrary in this Policy, all compensation payable under this Policy will be subject to any limits on the maximum amount of Non-Employee Director compensation set forth in the Plan, as in effect from time to
time. 

 Modifications to the Policy 

This Policy may be amended, modified or terminated at any time by action by the Board or the Compensation Committee of the Board in its sole discretion. The
terms and conditions of this Policy shall supersede any prior cash and/or equity compensation arrangements for service as a member of the Board between the Company and any of its Non-Employee Directors and
between any subsidiary of the Company and any of its Non-Employee Directors.

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