Document:

Salona Global Medical Device Corp.: Exhibit 10.3 - Filed by newsfilecorp.com

    

    EXHIBIT 10.3

    CONTRIBUTION AND EXCHANGE AGREEMENT

    THIS CONTRIBUTION AND EXCHANGE AGREEMENT (this "Agreement") is dated as of November 29, 2021 (the "Effective Date"), by and between Adam Harmon ("Harmon") and Salona Global Medical Device Corporation, a corporation existing under the laws of British Columbia, Canada ("Pubco"). 

    RECITALS

    WHEREAS, Harmon is a party to that certain that certain Limited Liability Company Agreement of even date herewith, a copy of which is attached hereto and incorporated by reference hereby as Exhibit A to this Agreement (the "LLC Agreement").  Capitalized terms not otherwise defined in this Agreement shall have the respective meanings specified in the LLC Agreement.

    WHEREAS, pursuant to the LLC Agreement, Harmon was issued Class B Units and Class C Units, respectively;

    WHEREAS, from time to time, in accordance with and expressly subject to compliance with the Exchange Rights contained in the LLC Agreement, the Class B Member and the Class C Member may exchange their Class B Units and Class C Units, respectively, as a contribution to the capital of Pubco in exchange for the Pubco Special Shares (as defined below), the rights, privileges, restrictions and conditions of which Pubco Special Shares are as set forth on Exhibit B to this Agreement, and, following such election, ‎Pubco shall accept such contribution from the Class B Member and the Class C Member, as the case may be, upon the terms and subject ‎to the conditions of this Agreement;‎

    WHEREAS, in accordance with and expressly subject to compliance with the Exchange Rights, Pubco will issue Class "A" non-voting common shares in the capital of Pubco ‎‎(the "Pubco Special Shares"), to the Class B Member and the Class C Member, respectively, in exchange for the ‎contribution by each of the Class B Units and the Class C Units; ‎

    WHEREAS, the Pubco Special Shares shall have the same attributes as the common shares in the capital of Pubco that are currently listed for trading on the TSX Venture Exchange (the "Listed Shares"), except that the Pubco Special Shares will not carry the right to vote and ‎shall be convertible, subject to certain terms and conditions, into Listed Shares on a one for one basis ("Conversion"), the terms and provisions of which Listed Shares are set out in Exhibit A hereto; and

    WHEREAS, the Conversion of the Pubco Special Shares into Listed Shares shall be subject to the conversion limitations contained in this Agreement and the LLC Agreement;

    NOW, THEREFORE, in consideration of the foregoing premises and the respective representations, warranties, covenants and agreements contained herein, and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:

    1. Contribution of the Class B Units and Class C Units.

    (a) At any time and from time to time in accordance with and expressly subject to compliance with the Exchange Rights, the Class B Member and the Class C Member  may, at his, her or its option, contribute the Class B Units and the Class C Units, respectively, to Pubco and, upon such election, Pubco shall accept from the Class B Member and the Class C Member such Class B Units and Class C Units as are contributed (the "Contribution").  The Contribution shall occur within three (3) business days following the receipt of the Exchange Notice by the Pubco (the "Contribution Date").

    

    (b) Pubco may, in its discretion, require that a Contribution of all or a portion of a Class B Member's or Class C Member's Pubco Special Shares to be made:

    (i) If either a Class B Member or Class C Member holds Pubco Special Shares on or following the Expiration Date; or

    (ii) upon the occurrence of a Change of Control.

    (c) No fractional Pubco Special Shares will be issued in connection with a Contribution and all issuances of Pubco Special Shares will be rounded down to the nearest whole share.

    2. Investment Representations. Each Class B Member and Class C Member makes the following representations, warranties, acknowledgments and agreements to Pubco, jointly and severally, as a material inducement to  Pubco's consummation of the transactions contemplated hereby as of the date of this Agreement:

    (a) On the Effective Date, the Class B Member and Class C Member will not be under any binding obligation or other commitment, arrangement or understanding to sell, transfer or otherwise dispose of any portion of the Pubco Special Shares to any other person, nor does the Class B Member or the Class C Member have any current plan, intention or agreement to sell, transfer or otherwise dispose of any portion of the Pubco Special Shares to any other person.

    (b) Each of the Class B Member and the Class C Member is acquiring the Pubco Special Shares for investment for his or her own account, not as a nominee or agent, and not with the view to, or for resale in connection with, any distribution thereof. Such Class B Member and Class C Member understands that the Pubco Special Shares have not been, and will not be, registered under the Securities Act of 1933, as amended, by reason of a specific exemption from the registration provisions of the Securities Act, the availability of which depends upon, among other things, the bona fide nature of the investment intent and the accuracy of such Class B Member's and Class C Member's representations as expressed herein. Each of the Class B Member and Class C Member is an "accredited investor" as such term is defined in Rule 501(a) of Regulation D under the Securities Act of 1933.

    (c) Each of the Class B Member and the Class C Member further acknowledges and agrees that the ability to dispose of the Pubco Special Shares may be subject to certain restrictions contained in the articles and other constating documents of Pubco. Such Class B Member and Class C Member recognizes that there will not be any public trading market for the Pubco Special Shares and, as a result, each of the Class B Member and the Class C Member may be unable to sell or dispose of the Pubco Special Shares. Each of the Class B Member and the Class C Member further acknowledges and agrees that Pubco shall have no obligation to register the Pubco Special Shares or listing them for trading.

    (d) Each of the Class B Member and the Class C Member has had the opportunity to consult his, her or its own tax advisors with respect to the tax consequences to him, her or it of the transfer, receipt and ownership of the Pubco Special Shares, including the tax consequences under the tax laws of any state, local, U.S. federal or non-U.S. jurisdiction and the possible effects of changes in such tax laws. Each of the Class B Member and the Class C Member acknowledges that none of Pubco or its subsidiaries or affiliates or any of their successors, beneficiaries, and assigns or their past and present directors, managers, shareholders, members, partners, officers, employees, and agents (including, without limitation, their attorneys) makes or has made any representations or warranties to such Class B Member or Class C Member regarding the tax consequences to such Class B Member or Class C Member of the transfer, receipt or ownership of the Pubco Special Shares, including the tax consequences under the tax laws of any state, local, U.S. federal or non-U.S. jurisdiction and the possible effects of changes in such tax laws. Nothing in this Section 2(d) shall limit the liability of the parties hereto in connection with any breach of the provisions of this Agreement.

    
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    (e) Each of the Class B Member and the Class C Member is aware that the Pubco Special Shares will not be listed or quoted on any exchange or market and on any other exchange, and the Class B Member and the Class C Member acknowledges and agrees that Pubco has no obligation to list the Pubco Special Shares on any exchange or market.

    (f) Each of the Class B Member and the Class C Member acknowledges that (i) Pubco has made available information concerning Pubco sufficient for such Class B Member and Class C Member to make an informed decision regarding an investment in Pubco and an opportunity to ask questions and receive answers concerning the Pubco Special Shares, and (ii) Pubco has made available the opportunity to obtain any additional information that Pubco possesses or can acquire without unreasonable effort or expense deemed necessary by such Class B Member and Class C Member to verify the accuracy of the information provided, and such Class B Member and Class C Member has received all such additional information requested.

    (g) Each of the Class B Member and Class C Member is the legal and beneficial owner of the Class B Units and Class C Units, respectively, free and clear of any liens, and upon the delivery of such Class B Units and Class C Units, Pubco shall acquire good and valid title to the Class B Units and Class C Units, free and clear of all liens (other than restrictions on transfer under applicable federal and state securities laws and liens or encumbrances created by or imposed by Pubco). Other than as a result of the transactions contemplated by this Agreement and except as set forth in the articles and constating documents of Pubco, each of the Class B Member and Class C Member does not directly or indirectly own or have any right to acquire any units, membership interests, equity securities, options, warrants, convertible or exchangeable securities, subscriptions, rights (including any preemptive rights), calls or commitments of any character whatsoever relating to the equity securities of, or other equity, ownership or voting interest in, Pubco.

    (h) Each of the Class B Member and the Class C Member acknowledges that none of Pubco or any of its officers, directors, managers, shareholders, members, partners, representatives or affiliates has given him, her or it any investment advice, credit information, or opinion on whether the exchange of the Class B Units and Class C Units for the Pubco Special Shares is prudent. Neither the Class B Member nor the Class C Member has relied on Pubco to furnish or make available any documents or other information regarding the credit, affairs, financial condition or business of Pubco, or any other matter concerning Pubco. Except as set forth herein, each of the Class B Member and the Class C Member acknowledges that none of Pubco or any of its officers, directors, managers, shareholders, members, partners, representatives or affiliates has made any representation or warranty to him, her or it.

    3. Bring-Down Certificate. Prior to any Contribution being made, Pubco will have received a certificate executed by each of the Class B Member and the Class C Member in respect of which such Contribution is to be made, confirming (a) the accuracy of its representations and warranties set out in Section 2 hereof as of the Effective Date and as of the Contribution Date, and (b) the performance of and compliance with all covenants and obligations to be performed or complied with by each of the Class B Member and the Class C Member at or prior to the Contribution Date in accordance with this Agreement.

    4. Acknowledgements of the Class B Member and the Class C Member. Each of the Class B Member and the Class C Member further acknowledges and agrees as follows:

    (a) The certificates representing the Pubco Special Shares or the Listed Shares issued on Conversion thereof, as applicable, (and any replacement certificate issued prior to the expiration of the applicable hold periods), or ownership statements issued under a direct registration system or other electronic book-based or book-entry system, will bear the following legends:

    (i) a legend, only in respect of the Pubco Special Shares, as follows:

    
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    "THE TRANSFER IS ALSO RESTRICTED PURSUANT TO A CONTRIBUTION AND EXCHANGE AGREEMENT DATED NOVEMBER 29, 2021, BETWEEN THE HOLDER AND THE ISSUER."

    (ii) a legend in accordance with applicable securities laws of the United States, if required:

    "THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES ACT") OR ANY STATE SECURITIES LAWS, AND MAY BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE ISSUER (B) OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 OF REGULATIONS UNDER THE U.S. SECURITIES ACT AND IN COMPLIANCE WITH LOCAL LAWS AND REGULATIONS, (C) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BEEN DECLARED EFFECTIVE UNDER THE U.S. SECURITIES ACT AND IS AVAILABLE FOR RESALE OF THE SECURITIES, OR (D) IN COMPLIANCE WITH ANY OTHER EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT, INCLUDING RULE 144 OR RULE 144A THEREUNDER, IF AVAILABLE, AND, IN EACH CASE, IN COMPLIANCE WITH ANY APPLICABLE STATE SECURITIES LAWS. THE HOLDER FURTHER UNDERSTANDS AND AGREES THAT IN THE EVENT OF A TRANSFER."

    (b) No person has made any written or oral representations: (i) that any person will resell or repurchase the Pubco Special Shares or the Listed Shares; or (ii) as to the future price or value of the Pubco Special Shares or the Listed Shares or the ability to sell or transfer any such Pubco Special Shares or Listed Shares, as applicable.

    (c) Neither the Class B Member nor the Class C Member shall sell, assign, transfer or convey or cause to be sold, assigned, transferred or conveyed any Class B Units or Class C Units, other than to Pubco in accordance with the terms hereof.

    (d) In completing the Contribution, each of the Class B Member and the Class C Member have relied solely upon this Agreement and publicly available information relating to Pubco, not upon any verbal or written representation as to any fact or otherwise made by or on behalf of Pubco or any affiliate, associate or representative thereof or any other person associated therewith. No "Offering Memorandum" for purposes of the Securities Act (British Columbia) has been delivered to either the Class B Member or the Class C Member in connection with the transactions contemplated herein.

    (e) Each of the Class B Member and the Class C Member is solely responsible for obtaining such legal advice and tax advice as it considers appropriate in connection with the execution, delivery and performance by it of this Agreement and the completion of the transactions contemplated hereby.

    (f) Each of the Class B Member and the Class C Member hereby consents to the collection, use and disclosure by Pubco and any other of its authorized representatives of the Class B Member's and Class C Member's personal information set forth herein ("Personal Information") to enable Pubco to fulfill their respective regulatory and reporting requirements and recognizes that this disclosure may result in the disclosure of some or all of the Personal Information becoming public information and, without limiting the foregoing, consents to the disclosure of such Personal Information to Pubco and any of their respective authorized representatives; securities commissions and/or other regulatory agencies in any jurisdiction in which the rules and requirements of such body may require such reporting; stock exchanges; publication on the SEDAR website; or as may be required or permitted by law.

    
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    (g) Each of the Class B Member and Class C Member hereby acknowledges, agrees and consents to: (a) the disclosure of Personal Information to Pubco, a stock exchange or any relevant securities commission or other regulatory authority; and (b) the collection, use and disclosure of Personal Information by Pubco for corporate finance and shareholder communication purposes or such other purposes as are necessary for Pubco's business. Each of the Class B Member and Class C Member hereby acknowledges and consents to the collection, use, and disclosure of Personal Information by the provincial securities commissions in Canada (to the extent applicable), including the publishing or otherwise making available to the public Personal Information including, for individuals, their name, number and type of securities purchased, the purchase price therefor, and their insider or registrant status, if applicable, and if the Class B Member and/or Class C Member is a non-individual, the above information and their address, contact person name and telephone number and the exemption relied upon.

    (h) In order to permit Pubco to comply with the requirements of the Personal Information Protection and Electronic Documents Act (Canada) ("PIPEDA"), each of the Class B Member and Class C Member expressly consents to the disclosure by Pubco in any submission or filing that Pubco may be required to make with any applicable regulatory authority or stock exchange of any Personal Information.

    (i) Each of the Class B Member and the Class C Member hereby acknowledges and agrees that he/she/it (i) has been notified by Pubco of the delivery to the securities regulatory authority, regulator or stock exchange of the Personal Information, that the Personal Information is being collected by the securities regulatory authority, regulator or stock exchange under the authority granted in securities legislation and by its policies, as applicable, and that the Personal Information is being collected for the purposes of the administration and enforcement of the securities legislation of the local jurisdiction, and (ii) has authorized the indirect collection of the Personal Information by the regulatory authority, regulator or stock exchange.

    (j) The Personal Information will not be placed on the public file of any securities regulatory authority, regulator or stock exchange. However, freedom of information legislation may require the securities regulatory authority, regulator or stock exchange to make this information available if requested.

    (k) Each of the Class B Member and the Class C Member hereby acknowledges and agrees that he/she/it is subject to the limitation set forth in the LLC Agreement and this Agreement and further, neither the Class B Member nor the Class C Member may, directly or indirectly through one or more affiliates, hold more than Five Hundred Thousand (500,000) shares of Listed Shares (as adjusted for stock splits, stock combinations, recapitalizations and similar events) at any time.

    5. Survival. The representations, warranties and covenants contained in this Agreement shall survive the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby.

    6. Further Assurances. Each of the Class B Member and the Class C Member and Pubco agree to execute such documents and other instruments and take such further actions as may reasonably be required or desirable to carry out the provisions hereof and consummate the transactions contemplated by this Agreement. Upon the terms and subject to the conditions hereof, each of the Class B Member and the Class C Member and Pubco shall use their respective commercially reasonable efforts to take or cause to be taken all actions, and to do or cause to be done all other things, necessary, proper or advisable to consummate the transactions contemplated by this Agreement as promptly as practicable.

    7. Amendments and Waivers. No addition or modification to this Agreement shall be valid unless made by written amendment signed by the parties hereto. No failure or delay by any party in exercising any right or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any other right, power or privilege.

    
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    8. Successors and Assigns. All of the terms and provisions of this Agreement shall inure to the benefit of and be binding upon the parties and their respective successors and permitted assigns.

    9. Governing Law. This Agreement and any related dispute shall be governed by and interpreted and enforced in accordance with the laws of the State of Delaware, without giving effect to any choice of law or conflict of laws rules or provisions that would cause the application of the laws of any jurisdiction other than the State of Delaware.

    10. Counterparts. This Agreement may be executed simultaneously in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. This Agreement and each other agreement or instrument entered into in connection herewith or contemplated hereby, and any amendments hereto, to the extent signed and delivered by means of a facsimile machine, electronic transmission of a .tiff, .pdf, JPEG or similar file, shall be treated in all manner and respects and for all purposes as an original agreement or instrument and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person. At the request of any party hereto or to any such agreement or instrument, each other party hereto shall re-execute original forms thereof and deliver them to all other parties, except that the failure of any party to comply with such a request shall not render this Agreement invalid or unenforceable. No party hereto or to any such agreement or instrument shall raise the use of a facsimile machine, electronic transmission of a .tiff, .pdf, JPEG or similar file, to deliver a signature or the fact that any signature or agreement or instrument was transmitted or communicated through the use of a facsimile machine, electronic transmission of a .tiff, .pdf, JPEG or similar file, as a defense to the formation or enforceability of a contract and each such party forever waives any such defense.

    11. No Inducement. Each of the Class B Member and the Class C Member hereby represents and warrants that he, she or it has not been induced to agree to and execute this Agreement by any statement, act or representation of any kind or character by anyone, except as contained herein. Each of the Class B Member and the Class C Member further represents that he, she or it has fully reviewed this Agreement and has full knowledge of its terms, and executes this Agreement of his, her or its own choice and free will, after having received the advice of its attorney(s) and financial and tax advisor(s).

    12. Notice. Notices to be provided pursuant to this Agreement shall be given in accordance with the terms of the LLC Agreement.

    [Signature page follows]

    
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    IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed by their respective authorized officers as of the date first above written.

    	 	SALONA GLOBAL MEDICAL DEVICE CORPORATION
	 	 
	 	 
	 	By:	/s/ Les Cross
	 	Name:  Les Cross
	 	Its: President
	 	 
	 	 
	 	/s/ Adam Harmon
	 	Adam Harmon

     

    
        [Signature page to Contribution and Exchange Agreement]

    

    

    EXHIBIT A

    LIMITED LIABILITY COMPANY AGREEMENT 

    OF

    ALG HEALTH PLUS, LLC

    

    EXHIBIT B

    RIGHTS, PRIVILEGES, RESTRICTIONS AND CONDITIONS

    ATTACHING TO THE COMPANY SHARES

     ‎

    1. COMMON SHARES‎.  Subject to the rights of any class of shares that are expressed to rank prior to them, the ‎common shares (the "Common Shares") will have the following rights, privileges, restrictions and conditions:‎

    (a) ‎Voting.  The holders of the Common Shares will be entitled to receive notice of, ‎attend and vote at all meetings of shareholders, except meetings at which only holders of a ‎specified class of shares are entitled to vote.  Each Common Share will entitle its holder ‎to one (1) vote.‎

    (b) ‎Dividends.  The holders of Common Shares shall be entitled to receive such dividends payable in cash or ‎property of the Company as may be declared thereon by the directors from time to time. The ‎directors may declare no dividend payable in cash or property on the Common Shares unless the ‎directors simultaneously declare a dividend payable in cash or property on the Class "A" Shares, in an amount per Class "A" Share equal to the amount of the dividend declared ‎per Common Share.‎

    (c) ‎Liquidation.  In the event of the liquidation, dissolution or winding-up of the Company, whether voluntary or ‎involuntary, or in the event of any other distribution of assets of the Company to its shareholders ‎for the purposes of winding up its affairs, the holders of the Common Shares shall be entitled to ‎participate pari passu with the holders of Class "A" non-voting ‎Common Shares, ‎with the amount of such distribution per Common Share equal to the amount of such ‎distribution per Class "A" Share.‎

    (d) ‎Subdivision or Consolidation. The Common Shares shall not be consolidated or subdivided unless the Class "A" Shares ‎ are simultaneously consolidated or subdivided utilizing the same ‎divisor or multiplier.‎

    2. ‎ CLASS "A" NON-VOTING COMMON SHARES‎

    Subject to the rights of any class of shares that are expressed to rank prior to them, the Class "A" non-voting common shares (the "Class "A" Shares") will have the following rights, privileges, restrictions and conditions:‎

    (a) ‎Voting.  Except as required under the Act, the holders of the Class "A" Shares will not ‎be entitled to receive notice of nor to attend meetings of the Company's shareholders and will ‎have no voting rights.‎ The holders of the Class "A" Shares shall, however, be entitled to notice of ‎meetings of the shareholders called for the purpose of authorizing the dissolution of the ‎Company or the sale of its undertaking or a substantial part thereof.‎

    (b) ‎Dividends.  The holders of Class "A" Shares shall be entitled to receive such dividends payable in cash or ‎property of the Company as may be declared thereon by the directors from time to time. The ‎directors may declare no dividend payable in cash or property on the Class "A" Shares unless the ‎directors simultaneously declare a dividend payable in cash or property on the ‎Common Shares, in an amount per ‎Common Share equal to the amount of the dividend declared ‎per Class "A" Shares.‎

    (c) ‎Liquidation.  In the event of the liquidation, dissolution or winding-up of the Company, whether voluntary or ‎involuntary, or in the event of any other distribution of assets of the Company to its shareholders ‎for the purposes of winding up its affairs, the holders of the Class "A" Share shall be entitled to ‎participate pari passu with the holders of ‎Common Shares, ‎with the amount of such distribution per Class "A" Share equal to the amount of such ‎distribution per ‎Common Share.‎

    

    (d) ‎Subdivision or Consolidation. The Class "A" Shares shall not be consolidated or subdivided unless the ‎Common Shares ‎ are simultaneously consolidated or subdivided utilizing the same ‎divisor or multiplier.‎

    (e) ‎Transfer. No Class "A" Share may be sold, transferred, assigned, pledged or otherwise disposed of, ‎other than: (i) in connection with the conversion of Class "A" Shares into Common Shares; (ii) to an immediate family member of the holder; or (iii) a transfer for purposes of estate ‎or tax planning to a company or person that is wholly beneficially owned by the holder or ‎immediate family members of the holder or which the holder or immediate family members of ‎the holder are the sole beneficiaries thereof.‎

    (f) ‎Voluntary Conversion. Subject to the Beneficial Ownership Limitation (as defined below) set forth in herein, holders of Class "A" Shares shall have the following rights of conversion (the ‎‎"Share Conversion Right"):‎

    (i) Right to Convert. Subject to the Beneficial Ownership Limitation, each Class "A" Share shall be ‎convertible at the option of the holder into such number of Common Shares as is ‎determined by multiplying the number of Class "A" Shares in respect of which the ‎Share Conversion Right is exercised by one.

    (ii) Beneficial Ownership Limitation. A holder of the Class "A" Shares shall not have the right to convert any Class "A" Share, to the extent that, after giving effect to such conversion, the holder (together with such holder's affiliates, and any other persons acting as a group together with the holder or any of the holder's affiliates (such persons, "Attribution Parties")), would beneficially own in excess of the Beneficial Ownership Limitation (as defined below). For purposes of the foregoing sentence, the number of Common Shares beneficially owned by the holder of the Class "A" Shares and his, her or its affiliates and Attribution Parties shall include the number of Common Shares issuable upon conversion of a Class "A" Share with respect to which such determination is being made, but shall exclude the number of Common Shares that would be issuable upon (i) conversion of the remaining, non-converted portion of a Class "A" Shares beneficially owned by the holder or any of his, her or its affiliates or Attribution Parties, and (ii) exercise or conversion of the unexercised or unconverted portion of any other securities of the Company, subject to a limitation on conversion or exercise analogous to the limitation contained herein, beneficially owned by the holder or any of his, her or its affiliates or Attribution Parties. Except as set forth in the preceding sentence, for purposes of this Section 2(f)(ii), beneficial ownership shall be calculated in accordance with each of National Instrument 55-104 - Insider Reporting Requirements and Exemptions and 62-104 - Take-Over Bids and Issuer Bids, it being acknowledged by the holder of the Class "A" Shares that the Company is not representing to the holder that any such calculation is in compliance with such instruments. To the extent that the limitation contained in this Section 2(f)(ii) applies, the determination of whether a Class "A" Share of a holder is convertible (in relation to other securities owned by the holder together with any affiliates and Attribution Parties) and of which number of Class "A" Shares is convertible shall be in the sole discretion and at the sole responsibility of the holder, and the submission of a Conversion Notice (as defined below) shall be deemed to be the holder's determination of whether a Class "A" Share is convertible (in relation to other securities owned by the holder together with any affiliates and Attribution Parties) and of which number of Class "A" Shares is convertible, in each case subject to the Beneficial Ownership Limitation, and the Company shall not have any obligation to verify or confirm the accuracy of such determination. For purposes of this Section 2(f)(ii), in determining the number of outstanding Common Shares, a holder of Class "A" Shares may rely on the number of outstanding Common Shares as reflected in (A) the Company's most recent interim report or annual financial statements filed on SEDAR, as the case may be, (B) a more recent public announcement by the Company, or (C) a more recent written notice by the Company or the Company's transfer agent setting forth the number of Common Shares outstanding. Upon the written request of a holder of Class "A" Shares, the Company shall, within two business days, confirm orally and in writing to the holder the number of Common Shares then outstanding. In any case, the number of outstanding Common Shares shall be determined after giving effect to the conversion or exercise of securities of the Company, including the Class "A" Shares being converted, by the Class "A" holder or his, her or its affiliates or Attribution Parties since the date as of which such number of outstanding Common Shares was reported. The "Beneficial Ownership Limitation" shall be 9.99% of the number of Common Shares outstanding immediately after giving effect to the issuance of Common Shares issuable upon conversion of the Class "A" Shares in question.

    

    (iii) Mechanics of Conversion. Before any holder of Class "A" Shares shall be entitled to voluntarily convert Class "A" Shares into Common Shares in accordance with the terms hereof, the holder shall surrender the certificate or certificates representing the Class "A" Shares to be converted at the head office ‎of the Company, or the office of any transfer agent for the Class "A" Shares, and shall give written notice to the Company at its head office ‎of his or her election to convert such Class "A" Shares and shall state therein the name or names in which the certificate or certificates ‎representing the Common Shares are to be issued (a "Conversion Notice"). ‎The Company shall (or shall cause its transfer agent to) as soon as practicable thereafter, ‎issue to such holder or his or her nominee, a certificate or certificates or direct registration ‎statement representing the number of Common Shares to which such holder is ‎entitled upon conversion. Such conversion shall be deemed to have taken place ‎immediately prior to the close of business on the day on which the certificate or ‎certificates representing the Class "A" Shares to be ‎converted is surrendered and the Conversion Notice is delivered, and the person or ‎persons entitled to receive the Common Shares issuable upon such conversion ‎shall be treated for all purposes as the holder or holders of record of such Common Shares as of such date.‎

    (g) Mandatory Conversion. Notwithstanding anything to the contrary contained herein, upon the occurrence of a Change of Control Event, ‎each issued and outstanding Class "A" Share shall be automatically converted into such number of Common Shares as is ‎determined by multiplying the number of Class "A" Shares by one.

    For the purposes of the Class "A" Share rights:

    (a) "Change of Control Event" means:‎

    (i) a Take Over Bid is made in respect of the shares in the Company and both of the following have ‎occurred:‎

    A. the holders of at least 50% of the shares in respect of which the Take over bid is ‎made that are not subject to escrow have accepted the offer made under ‎the Take over bid; and‎

    B. the Take Over Bid becomes unconditional;

    (ii) an Arrangement is proposed in respect of the Company and both of the following have ‎occurred:‎

    A. the Arrangement has become unconditional; and

    B. the Arrangement has been approved by the court for implementation.‎

    

    (iii) the acquisition of voting securities of the Company or any reorganization, amalgamation, merger, consolidation or share exchange in a single transaction (or series ‎of related transactions) as a result of which the holders of the voting securities of ‎the Company prior to the transaction (or series of related transactions) hold, ‎immediately after such transaction (or series of related transactions), directly or ‎indirectly, securities to which are attached 50% or less of the voting power with ‎respect to the Company; or

    (iv) a single transaction (or series of related transactions) resulting in the acquisition of the Company by another entity that results in the sale of all or substantially all of the assets of the Company.‎

    (b) ‎"Arrangement" means an arrangement under the Business Corporations Act (British Columbia) pursuant to which a person and its ‎associates will acquire 50% or more of the issued and outstanding capital of the Company.‎

    (c) "Take Over Bid" has the meaning ascribed thereto in the Securities Act (British Columbia).Supplemental Indenture Series December-149th

Exhibit 4.1

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ONE HUNDRED FORTY-NINTH
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SUPPLEMENTAL INDENTURE
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Southern California Edison Company
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to
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The Bank of New York Mellon Trust Company, N.A.
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and
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D. G. Donovan,
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Trustees
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DATED AS OF DECEMBER 2, 2021
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This One Hundred Forty-Ninth Supplemental Indenture, dated as of the 2nd day of December 2021, is entered into by and between Southern California Edison Company (between 1930 and 1947 named “Southern California Edison Company Ltd.”), a corporation duly organized and existing under and by virtue of the laws of the State of California and having its principal office and mailing address at 2244 Walnut Grove Avenue, in the City of Rosemead, County of Los Angeles, State of California 91770, and qualified to do business in the States of Arizona, New Mexico, and Nevada (hereinafter sometimes termed the “Company”), and The Bank of New York Mellon Trust Company, N.A., a national banking association having its mailing address at 2 North LaSalle Street, in the City of Chicago, State of Illinois 60602 (formerly named The Bank of New York Trust Company, N.A., successor Trustee to The Bank of New York, which was successor Trustee to Harris Trust and Savings Bank), and D. G. Donovan of 2 North LaSalle Street, in the City of Chicago, State of Illinois 60602 (successor Trustee to R. G. Mason, who was successor Trustee to Wells Fargo Bank, National Association, which was successor Trustee to Security Pacific National Bank, formerly named Security First National Bank and Security-First National Bank of Los Angeles, successor, by consolidation and merger, to Pacific-Southwest Trust & Savings Bank), as Trustees (hereinafter sometimes termed the “Trustees”);
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WITNESSETH:
​
WHEREAS, the Company heretofore executed and delivered to said Harris Trust and Savings Bank and said Pacific-Southwest Trust & Savings Bank, Trustees, a certain Indenture of Mortgage or Deed of Trust dated as of October 1, 1923, which said Indenture was duly filed for record and recorded in the offices of the respective recorders of the following counties:  in the State of California-Fresno County, Volume 397 of Official Records, page 1; Imperial County, Book 1174 of Official Records, page 966; Inyo County, Volume 154 of Official Records, page 417; Kern County, Book 379 of Trust Deeds, page 196; Kings County, Volume 84 of Deeds, page 1; Los Angeles County, Book 2963 of Official Records, page 1; Madera County, Volume 9 of Official Records, page 63; Merced County, Volume 363 of Official Records, page 1; Modoc County, Volume 230 of Official Records, page 119 et seq.; Mono County, Volume 64 of Official Records, page 29; Orange County, Book 496 of Deeds, page 1; Riverside County, Book 594 of Deeds, page 252; San Bernardino County, Book 825 of Deeds, page 1; San Diego County, Series 5 Book 1964, page 84061; Santa Barbara County, Book 229 of Deeds, page 30; Stanislaus County, Volume 465 of Official Records, page 370; Tulare County, Volume 50 of Official Records, page 1; Tuolumne County, Volume 274 of Official Records, page 568; and Ventura County, Volume 33 of Official Records, page 1; in the State of Nevada-Clark County, Book 8 of Mortgages; Churchill County, Book 40 of Official Records, page 235; Lyon County, Book 39 of Mortgages, page 1; Mineral County, Book 13 of Official Records, page 794; Pershing County, Book 15 of Official Records, page 612; and Washoe County, Book 83 of Mortgages, page 301; in the State of Arizona-La Paz County, Instrument No. 83-000212 of Official Records; Mohave County, Book 11 of Realty Mortgages; Maricopa County, Docket 4349 of Official Records, page 197; and Yuma County, Docket 369, page 310, (hereinafter referred to as the “Original Indenture”), to secure the payment of the principal of and interest on all bonds of the Company at any time outstanding thereunder, and (as to certain such filings or recordings) the principal of and interest on all Debentures of 1919 (referred to in the Original Indenture and now retired) outstanding; and
​
WHEREAS, the Company has heretofore executed and delivered to the Trustees one hundred forty-eight certain supplemental indentures, dated, respectively, as of March 1, 1927, April 25, 1935, June 24, 1935, September 1, 1935, August 15, 1939, September 1, 1940, January 15, 1948, August 15, 1948, February 15, 1951, August 15, 1951, August 15, 1953, August 15, 1954, April 15, 1956, February 15, 1957, July 1, 1957, August 15, 1957, August 15, 1958, January 15, 1960, August 15, 1960, April 1, 1961, May 1, 1962, October 15, 1962, May 15, 1963, February 15, 1964, February 1, 1965, May 1, 1966, August 15, 1966, May 1, 1967, February 1, 1968, January 15, 1969, October 1, 1969, December 1, 1970, September 15, 1971, August 15, 1972, February 1, 1974, July 1, 1974, November 1, 1974, March 1, 1975, March 15, 1976, July 1, 1977, November 1, 1978, June 15, 1979, September 15, 1979, October 1, 1979, April 1, 1980, November 15, 1980, May 15, 1981, August 1, 1981, December 1, 1981, January 16, 1982, April 15, 1982, November 1, 1982, November 1, 1982, January 1, 1983, May 1, 1983, December 1, 1984, March 15, 1985, October 1, 1985, October 15, 1985, March 1, 1986, March 15, 1986, April 15, 1986, April 15, 1986, July 1, 1986, September 1, 1986, September 1, 1986, December 1, 1986, July 1, 1987, October 15, 1987, November 1, 1987, February 15, 1988, April 15, 1988, July 1, 1988, August 15, 1988, September 15, 1988, January 15, 1989, May 1, 1990, June 15, 1990, August 15, 1990, December 1, 1990, 

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April 1, 1991, May 1, 1991, June 1, 1991, December 1, 1991, February 1, 1992, April 1, 1992, July 1, 1992, July 15, 1992, December 1, 1992, January 15, 1993, March 1, 1993, June 1, 1993, June 15, 1993, July 15, 1993, September 1, 1993, October 1, 1993, February 21, 2002, February 15, 2003, October 15, 2003, December 15, 2003, January 7, 2004, February 26, 2004, March 23, 2004, December 6, 2004, January 11, 2005, January 27, 2005, March 17, 2005, June 1, 2005, June 20, 2005, August 24, 2005, December 12, 2005, January 24, 2006, April 4, 2006, December 4, 2006, January 14, 2008, August 13, 2008, October 9, 2008, March 18, 2009, March 9, 2010, August 26, 2010, September 15, 2010, December 13, 2010, May 12, 2011, May 17, 2011, August 30, 2011, October 7, 2011, November 18, 2011, March 9, 2012, March 5, 2013, September 27, 2013, January 22, 2014, May 7, 2014, November 5, 2014, January 14, 2015, March 22, 2017, March 31, 2018, May 31, 2018, July 31, 2018,  March 13, 2019, August 2, 2019, January 7, 2020, March 5, 2020, September 29, 2020, December 2, 2020, January 6, 2021, March 29, 2021, June 10, 2021 and August 6, 2021 which modify, amend and supplement the Original Indenture, such Original Indenture, as so modified, amended and supplemented, being hereinafter referred to as the “Amended Indenture”; and 
​
WHEREAS, there have been issued and are now outstanding and entitled to the benefits of the Amended Indenture, First and Refunding Mortgage Bonds as follows:
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	​

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	​

	Series
	Due Date
	Principal Amount

	2004B
	2034
	$525,000,000

	2004D
	2035
	$79,400,000

	2004E
	2035
	$65,000,000

	2004G
	2035
	$350,000,000

	2005B
	2036
	$250,000,000

	2005D
	2029
	$203,460,000

	2005E
	2035
	$350,000,000

	2006A
	2036
	$350,000,000

	2006C
	2028
	$38,500,000

	2006D
	2033
	$135,000,000

	2006E
	2037
	$400,000,000

	2008A
	2038
	$600,000,000

	2009A
	2039
	$500,000,000

	2010A
	2040
	$500,000,000

	2010B
	2040
	$500,000,000

	2010C
	2029
	$100,000,000

	2010D
	2031
	$75,000,000

	2011B
	2029
	$55,540,000

	2011E
	2041
	$250,000,000

	2012A
	2042
	$400,000,000

	2013A
	2043
	$400,000,000

	2013C
	2023
	$600,000,000

	2013D
	2043
	$800,000,000

	2015A
	2022
	$78,571,000

	2015B
	2022
	$325,000,000

	2015C
	2045
	$425,000,000

	2017A
	2047
	$1,800,000,000

	2018B
	2028
	$400,000,000

	2018C
	2048
	$1,300,000,000

	2018D
	2023
	$300,000,000

	2018E
	2025
	$900,000,000

	2019A
2019B
2019C
	2029
2049
2029
	$500,000,000
$600,000,000
$500,000,000

	2020A
2020B
2020C
	2050
2030
2026
	$1,200,000,000
$550,000,000
$350,000,000

	2020D
	2021
	$900,000,000

	2021A
	2051
	$750,000,000

	2021B
	2023
	$400,000,000

	2021C
	2024
	$400,000,000

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	2021D
	2023
	$350,000,000

	2021E
	2024
	$700,000,000

	2021F
	2022
	$475,000,000

	2021G
	2031
	$450,000,000

	2021H 
	2051
	$450,000,000

	2021J
	2023
	$400,000,000

	2021K
	2024
	$450,000,000

​
​
WHEREAS, the Company proposes presently to issue in fully registered form only, without coupons, one new series of the Company’s First and Refunding Mortgage Bonds, pursuant to resolutions of the Audit and Finance Committee of the Board of Directors or the Executive Committee of the Board of Directors of the Company, or actions by one or more officers of the Company, said new series to be designated as Series 2021L, Due 2022 (referred to herein as the “Bonds”), and the Company’s authorized bonded indebtedness has been increased to provide for the issuance of the Bonds; and
WHEREAS, the Company has acquired real and personal property since the execution and delivery of the One Hundred Forty-Eighth Supplemental Indenture which, with certain exceptions, is subject to the lien of the Amended Indenture by virtue of the after-acquired property clauses and other clauses thereof, and the Company now desires in this One Hundred Forty-Ninth Supplemental Indenture (hereinafter sometimes referred to as this “Supplemental Indenture”) expressly to convey and confirm unto the Trustees all properties, whether real, personal or mixed, now owned by the Company (with the exceptions hereinafter noted); and 
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WHEREAS, for the purpose of further safeguarding the rights and interests of the holders of bonds under the Amended Indenture, the Company desires, in addition to such conveyance, to enter into certain covenants with the Trustees; and
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WHEREAS, the making, executing, acknowledging, delivering and recording of this Supplemental Indenture have been duly authorized by proper corporate action of the Company;
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NOW, THEREFORE, in order further to secure the payment of the principal of and interest on all of the bonds of the Company at any time outstanding under the Amended Indenture, as from time to time amended and supplemented, including specifically, but without limitation, the First and Refunding Mortgage Bonds, Series 2004B, Series 2004D, Series 2004E, Series 2004G,Series 2005B, Series 2005D, Series 2005E, Series 2006A, Series 2006D, Series 2006E, Series 2008A, Series 2008B, Series 2009A, Series 2010A, Series 2010B, Series 2010C, Series 2010D, Series 2011A, Series 2011B, Series 2011E, Series 2012A, Series 2013A, Series 2013C, Series 2013D, Series 2015A, Series 2015B, Series 2015C, Series 2017A, Series 2018A, Series 2018B, Series 2018C, Series 2018D, Series 2018E, Series 2019A, Series 2019B, Series 2019C, Series 2020A, Series 2020B, Series 2020C, Series 2020D, Series 2021A, Series 2021B, Series 2021C, Series 2021D, Series 2021E, Series 2021F, Series 2021G,Series 2021H, Series 2021J and Series 2021K referred to above, all of said bonds having been heretofore issued and being now outstanding, and the Bonds, in the initial aggregate principal amount of $550,000,000, to be presently issued and outstanding; and to secure the performance and observance of each and every of the covenants and agreements contained in the Amended Indenture, and without in any way limiting (except as hereinafter specifically provided) the generality or effect of the Original Indenture or any of said supplemental indentures executed and delivered prior to the execution and delivery of this Supplemental Indenture insofar as by any provision of any said Indenture any of the properties hereinafter referred to are subject to the lien and operation thereof, but to such extent (except as hereinafter specifically provided) confirming such lien and operation, and for and in consideration of the premises, and of the sum of One Dollar ($1.00) to the Company duly paid by the Trustees, at or upon the ensealing and delivery of these presents (the receipt whereof is hereby acknowledged), the Company has executed and delivered this Supplemental Indenture and has granted, bargained, sold, aliened, released, conveyed, assigned, transferred, warranted, mortgaged, and pledged, and by these presents does grant, bargain, sell, alien, 

4

release, convey, assign, transfer, warrant, mortgage, and pledge unto the Trustees, their successors in trust and their assigns forever, in trust, with power of sale, all of the following:
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All and singular the plants, properties (including goods which are or are to become fixtures), equipment, and generating, transmission, feeding, storing, and distributing systems, and facilities and utilities of the Company in the Counties of Fresno, Imperial, Inyo, Kern, Kings, Los Angeles, Madera, Merced, Modoc, Mono, Orange, Riverside, San Bernardino, San Diego, Santa Barbara, Stanislaus, Tulare, Tuolumne, and Ventura, in the State of California, Churchill, Clark, Lyon, Mineral, Pershing, and Washoe, in the State of Nevada, La Paz and Maricopa, in the State of Arizona and elsewhere either within or without said States, with all and singular the franchises, ordinances, grants, easements, rights-of-way, permits, privileges, contracts, appurtenances, tenements, and other rights and property thereunto appertaining or belonging, as the same now exist and as the same or any and all parts thereof may hereafter exist or be improved, added to, enlarged, extended or acquired in said Counties, or elsewhere either within or without said States;
​
Together with, to the extent permitted by law, all other properties, real, personal, and mixed (including goods which are or are to become fixtures), except as herein expressly excepted, of every kind, nature, and description, including those kinds and classes of property described or referred to (whether specifically or generally or otherwise) in the Original Indenture and/or in any one or more of the indentures supplemental thereto, now or hereafter owned, possessed, acquired or enjoyed by or in any manner appertaining to the Company, and the reversion and reversions, remainder and remainders, tolls, incomes, revenues, rents, issues, and profits thereof; it being hereby intended and expressly agreed that all the business, franchises, and properties, real, personal, and mixed (except as herein expressly excepted), of every kind and nature whatsoever and wherever situated, now owned, possessed, or enjoyed, and which may hereafter be in anywise owned, possessed, acquired, or enjoyed by the Company, shall be as fully embraced within the provisions hereof and be subject to the lien created hereby and by the Original Indenture and said supplemental indentures executed and delivered prior to the execution and delivery of this Supplemental Indenture, as if said properties were particularly described herein;
​
Saving and excepting, however, anything contained herein or in the granting clauses of the Original Indenture, or of the above mentioned indentures supplemental thereto, or elsewhere contained in the Original Indenture or said supplemental indentures, to the contrary notwithstanding, from the property hereby or thereby mortgaged and pledged, all of the following property (whether now owned by the Company or hereafter acquired by it):  all bills, notes, warrants, customers' service and extension deposits, accounts receivable, cash on hand or deposited in banks or with any governmental agency, contracts, choses in action, operating agreements and leases to others (as distinct from the property leased and without limiting any rights of the Trustees with respect thereto under any of the provisions of the Amended Indenture), all bonds, obligations, evidences of indebtedness, shares of stock and other securities, and certificates or evidences of interest therein, all office furniture and office equipment, motor vehicles and tools therefor, all materials, goods, merchandise, and supplies acquired for the purpose of sale in the ordinary course of business or for consumption in the operation of any property of the Company, and all electrical energy and other materials or products produced by the Company for sale, distribution, or use in the ordinary conduct of its business--other than any of the foregoing which has been or may be specifically transferred or assigned to or pledged or deposited with the Trustees, or any of them, under the Amended Indenture, or required by the provisions of the Amended Indenture, so to be; provided, however, that if, upon the occurrence of a default under the Amended Indenture, the Trustees, or any of them, or any receiver appointed under the Amended Indenture, shall enter upon and take possession of the mortgaged and pledged property, the Trustees, or such Trustee or such receiver may, to the extent permitted by law, at the same time likewise take possession of any and all of the property excepted by this paragraph then on hand which is used or useful in connection with the business of the Company, and collect, impound, use, and administer the same to the same extent as if such property were part of the mortgaged and pledged property and had been specifically mortgaged and pledged hereunder, unless and until such default shall be remedied or waived and possession of the mortgaged and pledged property restored to the Company, its successors or assigns, and provided further, that upon the taking of such possession and until possession shall be restored as aforesaid, all such excepted property of which the Trustees, or such Trustee or such receiver shall have so taken possession, shall be and become subject to the lien hereof, subject, however, to any liens then existing on such excepted property.

5

​
And the Company does hereby covenant and agree with the Trustees, and the Trustees with the Company, as follows:
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PART I
​
The Trustees shall have and hold all and singular the properties conveyed, assigned, mortgaged and pledged hereby or by the Amended Indenture, including property hereafter as well as heretofore acquired, in trust for the equal and proportionate benefit and security of all present and future holders of the bonds and interest obligations issued and to be issued under the Amended Indenture, as from time to time amended and supplemented, without preference of any bond over any other bond by reason of priority in date of issuance, negotiation, time of maturity, or for any other cause whatsoever, except as otherwise in the Amended Indenture, as from time to time amended and supplemented, permitted, and to secure the payment of all bonds now or at any time hereafter outstanding under the Amended Indenture, as from time to time amended and supplemented, and the performance of and compliance with the covenants and conditions of the Amended Indenture, as from time to time amended and supplemented, and under and subject to the provisions and conditions and for the uses set forth in the Amended Indenture, as from time to time amended and supplemented.
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PART II
​
Article I to Article Twenty-One, inclusive, of the Amended Indenture are hereby incorporated by reference herein and made a part hereof as fully as though set forth at length herein.
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PART III
​
All of the terms appearing herein shall be defined as the same are now defined under the provisions of the Amended Indenture, except when expressly herein otherwise defined.
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PART IV
​
Pursuant to Section 1 of Article Five of the Original Indenture, as amended by Part IV, Subpart C, of the Sixth Supplemental Indenture, dated as of September 1, 1940, the notice to be given with respect to the redemption of the Bonds in whole or in part, shall be limited to and shall consist of the giving by the Company or The Bank of New York Mellon Trust Company, N.A., Trustee, of a notice in writing (including by facsimile transmission or by electronic mail) of such redemption, at least 30 days, but not more than 60 days, prior to the date fixed for redemption to the holder of each Bond called for redemption at the holder's last address shown on the registry books of the Company.  Failure to so provide such notice to the holder of any Bond shall not affect the validity of the redemption proceedings with respect to any other Bond. 
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PART V
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The Bonds shall be in substantially the forms set forth in a resolution of the Board of Directors or the Executive Committee of the Board of Directors of the Company, or a certificate evidencing action by an officer or officers of the Company, and may have placed thereon such letters, numbers or other marks of identification and such legends or endorsements as set forth in this Supplemental Indenture or as may be required to comply with the Securities Act of 1933, as amended (the “Securities Act”), any other laws, any other rules of the Securities and Exchange Commission or any securities exchange, or as may, consistently herewith, be determined to be necessary or appropriate by the officers executing the Bonds, as evidenced by their execution of the Bonds.
PART VI
​
The duties, responsibilities, liabilities, immunities, rights, powers, and indemnities of the Trustees, and each of them, with respect to the trust created by the Amended Indenture, are hereby assumed by each of the Company and the Trustees and given to the Trustees, and each of them, with 

6

respect to the trust hereby created, and are so assumed and given subject to all the terms and provisions with respect thereto as set forth in the Amended Indenture, as fully and to all intents and purposes as if the same were herein set forth at length; and this Supplemental Indenture is executed by the Trustees for the purpose of evidencing their consent to the foregoing.
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The recitals contained herein shall be taken as the statements of the Company, and the Trustees assume no responsibility for the correctness thereof.  The Trustees make no representations as to the validity or sufficiency of this Supplemental Indenture.
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PART VII
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The Series 2021L Bonds need not be issued at the same time and such series may be reopened at any time, without notice to or the consent of any then-existing holder or holders of any Bond, for issuances of additional Bonds in an unlimited principal amount.  Any such additional Bonds will have the same interest rate, maturity and other terms as those of that series initially issued, except for payment of interest accruing prior to the original issue date of such additional Bonds and, if applicable, for the first interest payment date following such original issue date.
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PART VIII
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​
The Company covenants and represents that neither they nor any of their affiliates, subsidiaries, nor, to the knowledge of the Company, any directors or officers are the target or subject of any sanctions enforced by the US Government, (including, the Office of Foreign Assets Control of the US Department of the Treasury (“OFAC”)), the United Nations Security Council, the European Union, Her Majesty’s Treasury, or other relevant sanctions authority (collectively “Sanctions”). 
​
The Company covenants and represents that neither they nor any of their affiliates, subsidiaries, nor, to the knowledge of the Company, any directors or officers will use any part of the proceeds received in connection with the Supplemental Indenture or any other of the transaction documents (i) to fund or facilitate any activities of or business with any person who at the time of such funding or facilitation, is the subject or target of Sanctions, (ii) to fund or facilitate any activities of or business with any country or territory that is the target or subject of Sanctions, or (iii) in any other manner that will result in a violation of Sanctions by any person.
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PART IX
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Electronic Signatures.  The words “execution”, “signed”, “signature”, “delivery” and words of like import in or relating to this Supplemental Indenture and/or any document, notice, instrument or certificate to be signed and/or delivered in connection with this Supplemental Indenture and the transactions contemplated hereby shall be deemed to include Electronic Signatures (as defined below), electronic deliveries or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature, physical delivery thereof or the use of a paper-based recordkeeping system, as the case may be. 
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“Electronic Signatures” means any electronic symbol or process attached to, or associated with, any contract or other record and adopted by a person with the intent to sign, authenticate or accept such contract or record.
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PART X
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The Trustee shall have the right to accept and act upon instructions, including funds transfer instructions (“Instructions”) given pursuant to this Supplemental Indenture  and delivered using Electronic Means; provided, however, that the Company shall provide to the Trustee an incumbency certificate listing officers with the authority to provide such Instructions (“Authorized Officers”) and containing specimen signatures of such Authorized Officers, which incumbency certificate shall be amended by the Company 

7

whenever a person is to be added or deleted from the listing.  If the Company elects to give the Trustee Instructions using Electronic Means and the Trustee in its discretion elects to act upon such Instructions, the Trustee’s understanding of such Instructions shall be deemed controlling.  The Company understands and agrees that the Trustee cannot determine the identity of the actual sender of such Instructions and that the Trustee shall conclusively presume that directions that purport to have been sent by an Authorized Officer listed on the incumbency certificate provided to the Trustee have been sent by such Authorized Officer.  The Company shall be responsible for ensuring that only Authorized Officers transmit such Instructions to the Trustee and that the Company and all Authorized Officers are solely responsible to safeguard the use and confidentiality of applicable user and authorization codes, passwords and/or authentication keys upon receipt by the Company.  The Trustee shall not be liable for any losses, costs or expenses arising directly or indirectly from the Trustee’s reliance upon and compliance with such Instructions notwithstanding such directions conflict or are inconsistent with a subsequent written instruction.  The Company agrees: (i) to assume all risks arising out of the use of Electronic Means to submit Instructions to the Trustee, including without limitation the risk of the Trustee acting on unauthorized Instructions, and the risk of interception and misuse by third parties; (ii) that it is fully informed of the protections and risks associated with the various methods of transmitting Instructions to the Trustee and that there may be more secure methods of transmitting Instructions than the method(s) selected by the Issuer; (iii) that the security procedures (if any) to be followed in connection with its transmission of Instructions provide to it a commercially reasonable degree of protection in light of its particular needs and circumstances; and (iv) to notify the Trustee immediately upon learning of any compromise or unauthorized use of the security procedures. 
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"Electronic Means" shall mean the following communications methods: e-mail, facsimile transmission, secure electronic transmission containing applicable authorization codes, passwords and/or authentication keys issued by the Trustee, or another method or system specified by the Trustee as available for use in connection with its services hereunder.
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PART XI
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As amended and supplemented by this Supplemental Indenture, the Amended Indenture is in all respects ratified and confirmed, and the Original Indenture and all said indentures supplemental thereto including this Supplemental Indenture, shall be read, taken, and considered as one instrument, and the Company agrees to conform to and comply with all and singular the terms, provisions, covenants, and conditions set forth therein and herein.
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PART XII
​
In case any one or more of the provisions contained in this Supplemental Indenture should be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provisions contained in this Supplemental Indenture, and, to the extent and only to the extent that any such provision is invalid, illegal, or unenforceable, this Supplemental Indenture shall be construed as if such provision had never been contained herein.
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PART XIII
​
This Supplemental Indenture may be simultaneously executed and delivered in any number of counterparts, each of which, when so executed and delivered, shall be deemed to be an original. 
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​

8

IN WITNESS WHEREOF, the Company has caused its corporate name and seal to be hereunto affixed and this Supplemental Indenture to be signed by its President, or one of its Vice Presidents and attested by the signature of its Secretary or one of its Assistant Secretaries, for and in its behalf; said The Bank of New York Mellon Trust Company, N.A. has caused its name to be hereunto affixed, and this Supplemental Indenture to be signed, by one of its Vice Presidents or Assistant Vice Presidents or Agents; and said D. G. Donovan has hereunto executed this Supplemental Indenture; all as of the day and year first above written.  Executed in counterparts and in multiple.
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	SOUTHERN CALIFORNIA EDISON COMPANY

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	/s/ Natalia Woodward

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	NATALIA WOODWARD

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	Vice President and Treasurer

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Attest:
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/s/ Michael A. Henry​ ​
MICHAEL A. HENRY
Assistant Secretary
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(Seal)
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THE BANK OF NEW YORK MELLON TRUST 
COMPANY, N.A., Trustee
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  /s/ Robert W. Hardy​ ​
Name:  ROBERT W. HARDY
Title:     Vice President
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 /s/ D.G. Donovan   ​ ​
D.G. DONOVAN
Trustee
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Signed in Counterpart

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	A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

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STATE OF CALIFORNIA}
}  ss.
COUNTY OF LOS ANGELES}
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On this 2nd day of December, 2021, before me, PHYLLIS GONZALEZ, a Notary Public, personally appeared NATALIA WOODWARD and MICHAEL A. HENRY, who proved to me on the basis of satisfactory evidence to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity on behalf of which the persons acted, executed the instrument.
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I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
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WITNESS my hand and official seal.
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  /s/ Phyllis Gonzalez                                             
Notary Public, State of California
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(Seal)
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My Commission expires on July 31, 2023
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	A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

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STATE OF ILLINOIS  }
  }  ss.
COUNTY OF COOK  }
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On this 2nd day of December, 2021, before me, LAWRENCE M. KUSCH, a Notary Public, personally appeared ROBERT W. HARDY, Vice President who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or entity on behalf of which the person acted, executed the instrument.
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WITNESS my hand and official seal.
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 /s/ Lawrence M. Kusch                                   ​ ​
Notary Public, State of Illinois
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(Seal)
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My Commission expires on October 24, 2022.
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STATE OF ILLINOIS}
}  ss.
COUNTY OF COOK}
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​
On this 2nd day of December, 2021, before me, LAWRENCE M. KUSCH, a Notary Public, personally appeared D.G. DONOVAN, Trustee, who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or entity on behalf of which the person acted, executed the instrument.
​
WITNESS my hand and official seal.
​
​
   /s/ Lawrence M. Kusch                                    ​ ​
Notary Public, State of Illinois
​
​
(Seal)
​
My Commission expires on October 24, 2022.
​
RECORDING REQUESTED BY
​

​

SOUTHERN CALIFORNIA EDISON COMPANY
​

​
WHEN RECORDED MAIL TO:
​
SOUTHERN CALIFORNIA EDISON COMPANY
TITLE AND REAL ESTATE SERVICES
2 INNOVATION WAY
POMONA, CA 91768
ATTENTION: CORPORATE REAL ESTATE
​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​
SPACE ABOVE THIS LINE FOR RECORDER’S USE
​
​
ONE HUNDRED FORTY-NINTH SUPPLEMENTAL INDENTURE
​

​
​
​
Southern California Edison Company
​
to
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The Bank of New York Mellon Trust Company, N.A.
​
and
​
D. G. Donovan,
​
Trustees
​

​
​
​
DATED AS OF DECEMBER 2, 2021
​
​

​

​

RECORDING DATA
​
ONE HUNDRED FORTY-NINTH SUPPLEMENTAL INDENTURE
​
The One Hundred Forty-Ninth Supplemental Indenture of Southern California Edison Company, dated as of December 2, 2021, has been recorded and/or filed as follows:
​
​
	STATE OF CALIFORNIA
	​
	​
	​
	​

	​
	​
	​
	​
	​

	County
	Filing Date
	Orig
	Copy
	Instrument Number, Book and Page

	Fresno
	​
	​
	​
	​

	Imperial
	​
	​
	​
	​

	Inyo
	​
	​
	​
	​

	Kern
	​
	​
	​
	​

	Kings
	​
	​
	​
	​

	Los Angeles
	​
	​
	​
	​

	Madera
	​
	​
	​
	​

	Merced
	​
	​
	​
	​

	Modoc
	​
	​
	​
	​

	Mono
	​
	​
	​
	​

	Orange
	​
	​
	​
	​

	Riverside
	​
	​
	​
	​

	San Bernardino
	​
	​
	​
	​

	San Diego
	​
	​
	​
	​

	Santa Barbara
	​
	​
	​
	​

	Stanislaus
	​
	​
	​
	​

	Tulare
	​
	​
	​
	​

	Tuolumne
	​
	​
	​
	​

	Ventura
	​
	​
	​
	​

	​
	​
	​
	​
	​

	STATE OF ARIZONA
	​
	​
	​
	​

	​
	​
	​
	​
	​

	County
	​
	​
	​
	​

	La Paz
	​
	​
	​
	​

	Maricopa
	​
	​
	​
	​

	​
	​
	​
	​
	​

	STATE OF NEVADA
	​
	​
	​
	​

	​
	​
	​
	​
	​

	County
	​
	​
	​
	​

	Churchill
	​
	​
	​
	​

	Clark
	​
	​
	​
	​

	Lyon
	​
	​
	​
	​

	Mineral
	​
	​
	​
	​

	Pershing
	​
	​
	​
	​

	Washoe
	​
	​
	​
	​

​

​

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