Document:

EX-10.1

 Exhibit 10.1 

EMPLOYMENT AGREEMENT 

This Employment Agreement (the “Agreement”) is made effective as of February 3, 2016 (“Effective
Date”), by and between Viavi Solutions Inc., a Delaware corporation (hereinafter “Viavi” or the “Company”), and Oleg Khaykin (“Executive”) (either party
individually, a “Party”; collectively, the “Parties”). 
 WHEREAS, the Company
desires to retain the services of Executive as Chief Executive Officer and to appoint Executive as a member of the Company’s Board of Directors; 

WHEREAS, the Parties desire to enter into this Agreement to set forth the terms and conditions of Executive’s employment by the
Company and to address certain matters related to Executive’s employment with the Company; 
 NOW, THEREFORE, in consideration
of the foregoing and the mutual provisions contained herein, and for other good and valuable consideration, the Parties hereto agree as follows: 

1. Employment. The Company hereby employs Executive as a full-time exempt employee, and Executive hereby accepts such employment
commencing on the Effective Date, upon the terms and conditions set forth herein. 
 2. Duties. 

2.1 Position. Executive will be employed as the Chief Executive Officer of the Company (the “Position”), and
shall have the duties and responsibilities as may be reasonably assigned from time to time by the Company’s Board of Directors (the “Board”). Executive shall perform faithfully and diligently all those duties assigned to
Executive. 
 2.2 Standard of Conduct/Full-time. During the term of this Agreement, Executive will act loyally and in good faith to
discharge the duties of the Position, and will abide by the Company’s code of conduct and workplace policies, as well as all applicable laws, regulations or ordinances. Executive shall devote his full business time and efforts to the
performance of his duties for the Company, except as set forth below: 
 (a) Notwithstanding the foregoing, Executive may serve as a member
of the Board of Directors of one or more for-profit or charitable organizations, provided that such services do not materially interfere with Executive’s performance of his duties and responsibilities to the Company. The Board of Directors
acknowledges and approves Executive’s current service on the board of directors at Newport Corporation and agrees that he may serve on one additional public company Board after one year as long as it does not conflict with his duties to Viavi.
If Executive leaves the board of directors of Newport Corporation, he may serve on a public company board of directors in replacement of such service, subject to prior approval of the Board, which will not be unreasonably withheld. 

(b) Any service by Executive on any additional outside boards of directors or committees thereof (i.e., beyond Newport Corporation or a
replacement for Newport Corporation), whether for public or private companies, will require the prior approval of the Board, which will not be unreasonably withheld. 

(c) In addition, the Board acknowledges and approves Executive’s continued affiliation with two private companies in which he currently
holds substantial investments, so long as those companies are not competitors to Viavi. Executive represents that he has disclosed all material investments in privately held companies to Viavi. 

 2.3 Work Location. Executive’s principal place of work shall be located at the
Company’s office in Milpitas, California. 
 3. At-Will Employment. Executive’s employment with Viavi is voluntarily
entered into and is for no specified period. As a result Executive will be free to resign at any time, for any reason, or for no reason at all. Similarly, the Company will be free to conclude its at-will employment relationship with Executive at any
time, with or without notice or cause. 
 4. Compensation. 

4.1 Base Salary. As compensation for Executive’s performance of Executive’s duties hereunder, the Company shall pay to
Executive a salary at the annual rate of seven hundred fifty thousand dollars ($750,000) per year (the “Base Salary”), payable in equal bi-weekly installments and in accordance with the normal payroll practices of the
Company, less required deductions for state and federal withholding tax, social security and all other employment taxes and authorized payroll deductions. 

4.2 Cash Incentive Compensation. Executive will be eligible to participate in and earn a bonus (“Annual
Bonus”) under the Company’s Variable Pay Plan, as such plan is approved by the Board from time to time. Actual bonus payments are calculated based upon eligible earnings during each applicable fiscal half year period (the
first and second halves of our fiscal year), which include base salary only, and exclude special payments such as bonuses, benefits, etc. All incentive compensation opportunity payments are subject to the terms and conditions of the applicable
plan(s) as approved by the Board, and Executive’s eligibility for incentive payments will be contingent upon Executive remaining an employee of the Company on the bonus payment date selected by the Company. 

(a) For the second half of Fiscal Year 2016 (“H2”), Executive will receive a bonus equal to no less than 100% of
Executive’s actual base salary earned during H2 (“H2 Target Bonus”). Executive will be eligible to earn a bonus for H2 of up to 150% of H2 Target Bonus determined on a proportional basis to the extent that actual H2
Operating Income exceeds 100% of H2 target Operating Income as set forth in the Company’s Annual Operating Plan. The H2 bonus earned by Executive will be paid at the same time H2 bonuses are paid to all other participants in the Variable Pay
Plan. 
 (b) For Fiscal Year 2017, the target Annual Bonus will equal 100% of Base Salary. Executive will earn the target Annual Bonus if
baseline revenue and operating income targets are achieved. Executive will earn 125% of the target Annual Bonus if both revenue of 3% above baseline and operating income of 7% above baseline are achieved. Executive will earn 150% of target Annual
Bonus if both revenue of 7% or more above baseline and operating income of 10% or more above baseline are achieved. If revenue and operating income are achieved in excess of the levels required to earn 125% of target Annual Bonus but less than the
levels required to earn 150% of target Annual Bonus, the Compensation Committee will award a prorated bonus between 125% and 150% of target Annual Bonus. The Annual Bonus will be paid no later than March 1st in the year following the
performance year. 
 4.3 Initial Equity Awards. On or about February 15, 2016, Executive shall be granted the following equity
awards (“Initial Equity Awards”), subject in each case to the terms and conditions of the Company’s 2003 Equity Incentive Plan (or its successor) and the applicable form of award agreement, execution of which shall
be a condition to the award: 

  
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 (a) Stock Option. Executive shall be granted an option (“Initial
Option”) for a number of shares of the Company common stock determined by dividing the sum of $2,750,000 by the per share fair value of such option determined using the Black-Scholes option pricing model applied on the same basis
used by the Company to determine such option’s cost for financial accounting purposes. The Initial Option shall have a per share exercise price equal to the market closing price of a share of the Company common stock on the grant date, a term
of eight (8) years and shall, subject to Executive’s continued employment with the Company except as otherwise provided by this Agreement, vest over a period of four years at the rate of 25% upon the first anniversary of Executive’s
employment commencement date and 25% on each successive annual anniversary thereafter for the next three years. 
 (b) Restricted
Stock Units. Executive shall be granted an award of restricted stock units (“Initial RSU Award”) for a number of shares of Company common stock determined by dividing the sum of $2,062,500 by the market closing price
of a share of Company common stock on the last trading day prior to the grant date. Subject to Executive’s continued employment with the Company except as otherwise provided by this Agreement, the Initial RSU Award shall vest over a period of
four years at the rate of 25% upon the first anniversary of Executive’s employment commencement date and 25% on each successive annual anniversary thereafter for the next three years. 

(c) Performance Units. Executive shall be granted an award of performance units (“Initial PSU Award”) for
a target number of shares of Company common stock determined by dividing the sum of $687,500 by the market closing price of a share of Company common stock on the last trading day prior to the grant date. Subject to Executive’s continued
employment with the Company, except as otherwise described by this Agreement, the Initial PSU Award shall be earned upon the achievement of such performance goal(s) and shall vest over such periods as described in the Company’s Current Report,
dated August 18, 2015, on Form 8-K, including Exhibit 10.1 thereto, filed with the Securities and Exchange Commission; provided, however, that the “Base Measurement Period” (as such term is used in the applicable award agreement)
shall be the period of 45 calendar days commencing on January 29, 2016 and ending on March 13, 2016. 
 (d) Special One-Time
Restricted Stock Unit Award. Executive shall be granted a special, one-time award of restricted stock units (“Special RSU Award”) for 100,000 shares of Company common stock. Subject to Executive’s continued
employment with the Company except as otherwise provided by this Agreement, the Special RSU Award shall vest as to 66.6% on the first anniversary of Executive’s employment commencement date and 16.7% after each of the first two periods of three
(3) months thereafter provided, however, that any such units that have otherwise vested and/or shares of Company common stock that have been issued to Executive in settlement of such vested units or gross proceeds of the sale or transfer
thereof shall be forfeited to and recouped by the Company if either (i) Executive terminates his employment with the Company other than for “Good Reason” (as defined below) prior to the first anniversary of Effective Date or
(ii) Executive does not relocate his residence to the San Francisco Bay area within the first eighteen (18) months following the Effective Date. 

4.4 Subsequent Equity Awards. Executive shall be eligible to be granted additional equity awards by the Compensation Committee of the
Board on an annual basis (“Subsequent Equity Awards”), commencing with the first grant of annual equity awards to executive officers of the Company generally. The Compensation Committee shall generally determine the size of
Subsequent Equity Awards taking into account the Executive’s performance and commensurate with grants made to chief executive officers of companies in the Company’s compensation peer group, as determined by the Compensation
Committee’s independent compensation consultant. Prior to proration, as described below, the number of shares of Company common stock subject to the first such Subsequent Equity Awards (the “Initial Subsequent Equity
Awards”) shall be established by dividing a specified dollar 

  
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amount by the market closing price of a share of Company common stock on the last trading day prior to the grant date. Such specified dollar amount shall be (a) $1,625,000 if the Company has
achieved 100% of its annual operating plan and Executive has achieved 100% of his personal target objectives established by the Board, (b) $2,000,000 if the Company has achieved 125% of its annual operating plan and Executive has achieved 125%
of his personal target objectives established by the Board, and (c) $2,500,000 if the Company has achieved 150% of its annual operating plan and Executive has achieved 150% of his personal target objectives established by the Board. The
Compensation Committee may consider a larger specified dollar amount if the foregoing annual operating plan and personal objectives are exceeded. However, the number of shares of Company common stock subject to the Initial Subsequent Equity Awards
so determined shall be prorated to reflect a period of service less than one full year between Executive’s commencement of employment and the date of grant of the Initial Subsequent Equity Awards. Such Initial Subsequent Equity Awards shall be
comprised of 50% restricted stock units and 50% performance units. Except as otherwise provided by this Agreement, all Subsequent Equity Awards shall be subject to the terms and conditions applicable to annual equity awards granted to executive
officers of the Company generally and the terms and conditions of the Company’s 2003 Equity Incentive Plan (or its successor) and the applicable form of award agreement, execution of which shall be a condition to the award. 

4.5 Equity Award Transfer Restrictions. In addition to any other restrictions or conditions set forth in the Company’s 2003 Equity
Incentive Plan (or its successor) and the award agreement evidencing any equity award granted to Executive, such awards shall be subject to (a) the Company’s Insider Trading Policy and all provisions contained therein, including
Anti-Hedging and (b) the Company’s Share Ownership and Retention Policy as set forth in the Company’s 2015 Proxy Statement, pursuant to which Executive will be required to retain at least fifty percent (50%) of the net after-tax
shares received upon the vesting of restricted stock, settlement of share equivalent awards (such as restricted stock units and performance units) and exercise of stock options until Executive holds vested shares of the Company’s common
stock having a fair market value equal to at least 300% of Base Salary, and such ownership level must be achieved within five (5) years of the Effective Date. With the consent of the Board, which shall not be unreasonably withheld, Executive
will be permitted to transfer shares and vested equity awards for purposes of tax or estate planning. 
 5. Recoupment. Annual Bonus,
Initial Equity Awards, Subsequent Equity Awards and other cash or equity incentive compensation paid or provided to Executive, whether pursuant to this Agreement or otherwise, shall be subject to the terms and conditions of the Company’s
Clawback Compensation Policy (the “Recoupment Policy”) and any other policy of recoupment of compensation as shall be adopted from time to time by the Board or its Compensation Committee as it deems necessary or
appropriate to comply with the requirements of Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (providing for recovery of erroneously awarded incentive compensation), Section 304 of the Sarbanes-Oxley Act of
2002 (providing for forfeiture of certain bonuses and profits), and any implementing rules and regulations of the U.S. Securities and Exchange Commission and applicable listing standards of a national securities exchange adopted in accordance
with any such Act. The terms and conditions of the Recoupment Policy, including any changes to the Recoupment Policy adopted after the date of this Agreement, are hereby incorporated by reference into this Agreement. 

6. Customary Fringe Benefits and Facilities. Executive will be eligible for all customary and usual fringe benefits generally available
to executives of the Company and its subsidiaries, subject to satisfying the applicable eligibility requirements contained in the Company’s benefit plan documents. The Company reserves the right to change or eliminate the fringe benefits on a
prospective basis, at any time, effective upon notice to Executive. During his employment with the Company and thereafter Executive will be provided indemnification and directors and officers liability insurance coverage under the Company’s
form of indemnification agreement as in effect for other senior executives of the Company. 

  
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 7. Business Expenses. Executive will be reimbursed for all reasonable, out-of-pocket
business expenses incurred in the performance of Executive’s duties on behalf of the Company consistent with the Company policies as in effect from time to time. To obtain reimbursement, expenses must be submitted promptly with appropriate
supporting documentation in accordance with the Company’s policies. 
 8. Relocation Expenses. The Company will pay to Executive
on the Company’s first regular payroll date following his commencement of employment a lump sum relocation bonus of $200,000, which will be treated as a taxable benefit. If and when Executive sells his current residential property and moves his
primary residence to the San Francisco Bay area, which is expected to occur within twelve (12) months from the Effective Date, the Company will pay to Executive an additional relocation bonus equal to the amount of the sale commission, not in
excess of 6%, born by Executive on his sale of his current residential property. Such additional relocation bonus shall be paid to Executive within thirty (30) days following the later of the closing date of Executive’s sale of his current
residential property and the date of his relocation of his primary residence to the San Francisco Bay area. This payment will not be grossed up. Executive will be responsible for relocation expenses other than the foregoing commission payment,
including but not limited to temporary housing, household moving expenses and transportation for family members. If Executive terminates his employment with the Company other than for “Good Reason” (as defined below) prior to the
first anniversary of the Effective Date or if Executive does not relocate his residence to the San Francisco Bay area within the first eighteen (18) months following the Effective Date, Executive shall repay the relocation bonus of $200,000 in
full to the Company within sixty (60) days from the earlier of: (i) Executive’s employment termination date or (ii) the last day of the eighteenth (18th) month of failure
to relocate, as applicable. 
 9. Termination of Executive’s Employment. 

9.1 Termination for Cause. The Company may terminate Executive’s employment immediately at any time for Cause (as defined below).
In the event that Executive’s employment is terminated in accordance with this Section, Executive shall be entitled to receive only the Base Salary then in effect, prorated to the date of Executive’s termination of employment (the
“Termination Date”), any Annual Bonus that has been earned as a result of the Company’s performance for its immediately preceding fiscal year but is unpaid as of the Termination Date, and any amounts, including payment
for any accrued unused vacation, to which Executive is entitled pursuant to Section 6 (Customary Fringe Benefits) and Section 7 (Business Expenses) of this Agreement (“Accrued Amounts”). Upon the effective
date of such termination for Cause, all unvested equity awards, including the Initial Equity Awards and Subsequent Equity Awards, shall terminate immediately and Executive shall not be entitled to any compensation therefore, and all other Company
obligations to Executive pursuant to this Agreement shall be automatically terminated and completely extinguished. Executive shall not be entitled to receive the Severance Benefits described in Section 9.2 below or under any other plan or
program of the Company. 
 9.2 Involuntary Termination. The Company may terminate Executive’s employment with the Company
without Cause at any time on thirty (30) days’ advance written notice to Executive. Executive may voluntary terminate his employment with the Company for Good Reason provided that Executive gives the Company written notice of the condition
alleged to constitute Good Reason within thirty (30) days after the condition’s initial existence, the Company fails to remedy the condition within thirty (30) days after receiving such written notice, and Executive’s termination
of employment is effective no later than ninety (90) days after the condition’s initial existence. In the event of Executive’s 

  
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Involuntary Termination, Executive shall be entitled to receive his Accrued Amounts. In addition, subject to Section 9.6 and Section 19, the Company shall provide Executive with the
following benefits (the “Severance Benefits”), and all other Company obligations to Executive pursuant to this Agreement shall be automatically terminated and completely extinguished: 

(a) Cash Severance Not in Connection with a Change of Control. In the event of any Involuntary Termination that occurs other than
within a period beginning three months prior to and ending on the first anniversary of a Change of Control, Executive shall receive the following cash severance payments: 

(i) an amount equal to the Annual Bonus for the Company fiscal year in which the Termination Date occurs, determined upon completion of such
fiscal year based on the Company’s actual performance during such fiscal year in the manner that would apply pursuant to this Agreement had Executive remained employed through the end of such fiscal year but prorated for the period of
Executive’s actual employment during such fiscal year through the Termination Date, shall be paid at the same time that annual bonuses are paid to the Company’s executives generally, subject to the Delayed Payment Date described in
Section 18.1, if applicable; and 
 (ii) an amount equal to the sum of (i) 150% of the Base Salary and (ii) 150% of the
target Annual Bonus shall, subject to the Delayed Payment Date described in Section 18.1, if applicable, be apportioned into installments and paid on the Company’s regular payroll dates over a period of eighteen (18) months commencing
with the first regular payroll date of the Company occurring at least sixty (60) days following the Termination Date. 
 (b) Equity
Severance Not in Connection with a Change of Control. In the event of any Involuntary Termination that occurs other than within a period beginning upon and ending on the first anniversary of a Change of Control, the vesting of all Initial Equity
Awards and Subsequent Equity Awards outstanding immediately prior to the Termination Date shall be accelerated effective as of the Termination Date to such extent as they would have vested during the period of eighteen (18) months following the
termination date had Executive’s employment with the Company continued throughout such period. For the purposes of this subsection, performance unit awards shall be treated as earned during such eighteen (18) month period had the target
level of performance been achieved. 
 (c) Cash Severance in Connection with a Change of Control. In the event of any Involuntary
Termination that occurs within a period beginning upon and ending on the first anniversary of a Change of Control, Executive shall receive the following cash severance payments, as applicable: 

(i) if the Termination Date occurs on or before the second anniversary of the Effective Date, an amount equal to the sum of (i) 200% of
the Base Salary and (ii) 300% of the target Annual Bonus shall be paid in a lump sum within ninety (90) days following the Termination Date, subject to the Delayed Payment Date described in Section 18.1, if applicable, and provided
that if such ninety-day period begins in one calendar year and ends in a second calendar year, such payment shall be made in the second calendar year; or 

(ii) if the Termination Date occurs after the second anniversary of the Effective Date, an amount equal to the sum of (i) 150% of the
Base Salary and (ii) 225% of the target Annual Bonus shall be paid in a lump sum within ninety (90) days following the Termination Date, subject to the Delayed Payment Date described in Section 18.1, if applicable, and provided that
if such ninety-day period begins in one calendar year and ends in a second calendar year, such payment shall be made in the second calendar year. 

  
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 (d) Equity Severance in Connection with a Change of Control. In the event of any
Involuntary Termination that occurs within a period beginning upon and ending on the first anniversary of a Change of Control, the vesting of all Initial Equity Awards and Subsequent Equity Awards outstanding immediately prior to the Termination
Date shall be accelerated in full effective as of the Termination Date. For the purposes of this subsection, performance unit awards shall be treated as earned at the greater of (i) the target level performance achievement or (ii) the
level of performance achievement actually attained as of the Termination Date if such performance is measurable against the applicable performance goal(s) as of the Termination Date in accordance with the terms of the award. 

(e) Payments for Continued Healthcare. In the event of any Involuntary Termination (whether or not within a one-year period following
a Change of Control), for a period of eighteen (18) months following the Termination Date or such lesser period as Executive remains eligible (the “COBRA Payment Period”) under the Consolidated Omnibus Budget
Reconciliation Act of 1985, as amended (“COBRA”), the Company shall reimburse Executive each month for an amount equal to the difference between (i) the monthly cost of COBRA health and dental benefits for Executive
(assuming that Executive would be eligible for such coverage), less (ii) the monthly amount that Executive would be required to contribute for health and dental coverage if Executive were an active employee of the Company (the “COBRA
Premium Subsidy”). Notwithstanding the foregoing, if the Company determines, in its sole discretion, that the reimbursement of such COBRA Premium Subsidy would result in a violation of the nondiscrimination rules of
Section 105(h)(2) of the Code or any statute or regulation of similar effect (including but not limited to the 2010 Patient Protection and Affordable Care Act, as amended by the 2010 Health Care and Education Reconciliation Act), then in
lieu of providing such COBRA Premium Subsidy, the Company, in its sole discretion, may elect to instead pay to Executive on the first day of each month of the COBRA Payment Period, a fully taxable cash payment equal to the COBRA Premium Subsidy for
that month, subject to applicable tax withholdings if any, for the remainder of the COBRA Payment Period. Executive may, but is not obligated to, use such taxable cash payment toward the cost of COBRA premiums. 

(f) Involuntary Terminations Within Three Months Prior to Change of Control. In the event of any Involuntary Termination that occurs
within a period beginning three months prior to and ending immediately prior to a Change of Control, Executive shall receive (i) the accelerated vesting of all Initial Equity Awards and Subsequent Equity Awards outstanding immediately prior to
the Termination Date as described in Section 9.2(d) and (ii) the applicable cash severance payment amounts determined in accordance with Section 9.2(c); provided, however, that such cash severance payment amounts shall subject to the
Delayed Payment Date described in Section 18.1, if applicable, be apportioned into installments and paid on the Company’s regular payroll dates over a period of eighteen (18) months commencing with the first regular payroll date of
the Company occurring at least sixty (60) days following the Termination Date in the manner described in Section 9.2(a)(ii). 

9.3 Termination upon Disability. The Company may terminate Executive’s employment with the Company at any time following
Executive’s Disability. Upon termination following Disability, Executive shall be entitled to receive his Accrued Amounts. In addition, subject to Section 9.6 and Section 18, the Company shall provide Executive the same Severance
Benefits to which Executive would be entitled upon Involuntary Termination that does not occur within a period beginning upon and ending on the first anniversary of a Change of Control (i.e., Severance Benefits not in connection with a Change of
Control). Such Severance Benefit shall be paid at the same times and upon the same terms and conditions described in the applicable provisions of Section 9.2. All other Company obligations to Executive pursuant to this Agreement shall be
automatically terminated and completely extinguished. 

  
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 9.4 Termination upon Death. Executive’s employment shall terminate automatically upon
Executive’s death. Upon termination as a result of Executive’s death, Executive’s estate or designated beneficiaries shall be entitled to receive the Accrued Amounts. In addition, subject to Section 9.6 and Section 18, the
Company shall provide Executive’s estate or designated beneficiaries the same Severance Benefits (excluding payments for continued healthcare under Section 9.2(e)) to which Executive would be entitled upon Involuntary Termination that
does not occur within a period beginning upon and ending on the first anniversary of a Change of Control (i.e., Severance Benefits not in connection with a Change of Control). Such Severance Benefit shall be paid at the same times and upon the same
terms and conditions described in the applicable provisions of Section 9.2. All other Company obligations to Executive pursuant to this Agreement shall be automatically terminated and completely extinguished. 

9.5 Voluntary Resignation by Executive without Good Reason. Executive may voluntarily resign from employment with the Company for any
reason, at any time, on thirty (30) days’ advance written notice. In the event of Executive’s resignation which is not for Good Reason, Executive will be entitled to receive only his Accrued Amounts. All other Company obligations to
Executive pursuant to this Agreement shall be automatically terminated and completely extinguished. Executive shall not be entitled to receive the Severance Benefits described in Section 9.2 above. 

9.6 Release and Forfeiture of Severance Benefits. The right of Executive to receive or to retain Severance Benefits pursuant to
Section 9.2 or Section 9.3 shall be in consideration for, and subject to, (a) execution of and delivery to the Company of a Separation Agreement and General Release of claims substantially in the form attached as Exhibit A
to this Agreement, amended as necessary to comply with applicable law (the “Release”) and lapse of the period for revocation, if any, of the Release without the Release having been revoked no later than 60 days after the
Termination Date, and (b) Executive’s continued compliance with the Covenants (as defined in Sections 12, 13 and 14 of this Agreement). The right of Executive’s estate or designated beneficiaries to receive or to retain Severance
Benefits pursuant to Section 9.4 shall be in consideration for, and subject to execution and deliver to the Company of the Release. The Release will not include a waiver of (i) Executive’s existing rights of indemnification or
Directors and Officers liability insurance coverage, (ii) Executive’s existing rights under any outstanding equity awards, (iii) Executive’s rights as a stockholder in the Company or (iv) claims for accrued vested benefits
under any employee benefit plan or pension plan. In the event that Executive breaches any of the Covenants, the Company shall have the right to (1) terminate any further provision of Severance Benefits not yet paid or provided, (2) recover
from Executive all shares of stock of the Company the vesting of which, or the option to purchase, was accelerated by reason of the Severance Benefits (or the proceeds therefrom, reduced by any exercise or purchase price paid to acquire such
shares), and (3) to immediately cancel all Equity Awards the vesting of which was accelerated by reason of the Severance Benefits. 

9.7 Definitions of Certain Terms. Certain capitalized terms not otherwise defined by this Agreement shall have the following meanings:

 (a) “Cause” means any of the following events: (i) Executive’s willful failure substantially to
perform his duties and responsibilities to the Company; (ii) Executive’s willful breach of any obligation under any written agreement with the Company that is not cured within 30 days of written notice to Executive;
(iii) Executive’s deliberate violation of a Company policy, or commission of any felony or any act of fraud, embezzlement or dishonesty; (iv) any willful misconduct by Executive that has caused or is reasonably expected to result in
material injury to the Company; or (v) material unauthorized use, disclosure or misappropriation by Executive of any proprietary information, trade secret or other asset of the Company or entrusted to the Company by a third party. 

  
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 (b) “Change of Control” means a Change of Control as defined by the
Company’s 2015 Change of Control Benefits Plan or its successor; provided, however, that to the extent any amount constituting deferred compensation subject to Section 409A of the Code would become payable to Executive by reason of a
Change of Control, such amount shall become payable only if the event constituting the Change of Control would also constitute a change in ownership or effective control of the Company or a change in the ownership of a substantial portion of the
assets of the Company within the meaning of Section 409A of the Code. 
 (c) “Code” means the United States
Internal Revenue Code of 1986, as amended, or any successor thereto and any applicable regulations promulgated thereunder. 
 (d)
“Disability” means a disability as defined by the group long-term disability insurance policy maintained by the Company for the benefit of its employees. In the absence of such a policy, “Disability” means that, as
a result of Executive’s mental or physical illness, Executive is unable to perform (with or without reasonable accommodation in accordance with the Americans with Disabilities Act) the duties of Executive’s position pursuant to this
Agreement for a continuous period of three (3) months. A determination of Disability shall be made by a physician satisfactory to both Executive and the Company, which physician’s determination as to Disability shall be made within ten
(10) days of the request therefor and shall be binding on all parties; provided, however, that if Executive and the Company do not agree on a physician, Executive and the Company shall each select a physician and these two together shall select
a third physician, which third physician’s determination as to Disability shall be binding on all parties. 
 (e) “Good
Reason” means the occurrence of any of the following conditions: (i) a material reduction of Executive’s Base Salary; (ii) a material reduction of Executive’s target Annual Bonus as set forth herein or as increased
during the course of Executive’s employment with the Company; (iii) a material reduction in Executive’s duties, authority, reporting relationship or responsibilities, including not being the chief executive officer of a publicly
reporting company after a Change of Control; (iv) a requirement that Executive relocate to a location outside of California that is not mutually agreed upon by Executive and the Board; (v) a material violation by the Company of a material
term of any employment, severance or change of control agreement between Executive and the Company; or (vi) a failure by any successor entity to the Company to assume this Agreement; provided, however, that Executive’s voluntary
termination of employment shall not be for Good Reason unless Executive gives the Company written notice of the condition alleged to constitute Good Reason within thirty (30) days after the condition’s initial existence, the Company fails
to remedy the condition within thirty (30) days after receiving such written notice, and Executive’s termination of employment is effective no later than ninety (90) days after the condition’s initial existence. 

(f) “Involuntary Termination” means the occurrence of either (i) termination by the Company of Executive’s
employment with Company for any reason other than Cause or (ii) Executive’s termination of employment with the Company for Good Reason; provided, however that Involuntary Termination shall not include any termination of Executive’s
employment which is (x) for Cause, (y) a result of Executive’s death or Disability, or (z) a result of Executive’s voluntary termination of employment which is not for Good Reason. 

10. Golden Parachute Payments. 

10.1 In the event that any of the severance payments and other benefits provided by this Agreement or otherwise payable to Executive
(i) constitute “parachute payments” within the meaning of Section 280G of the Code and (ii) but for this Section, would be subject to the excise tax imposed by Section 4999 of the Code (“Excise
Tax”), then Executive’s severance payments and benefits under this Agreement or otherwise shall be payable either: 

  
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 (a) in full, or 

(b) in such lesser amount which would result in no portion of such severance payments or benefits being subject to the Excise Tax, whichever
of the foregoing amounts, taking into account the applicable federal, state and local income taxes and the Excise Tax, results in the receipt by Executive, on an after-tax basis, of the greatest amount of severance payments and benefits under this
Agreement or otherwise, notwithstanding that all or some portion of such severance payments or benefits may be taxable under Section 4999 of the Code. Any reduction in the severance payments and benefits required by this Section will made in
the following order: (i) reduction of cash payments; (ii) reduction of accelerated vesting of equity awards other than stock options; (iii) reduction of accelerated vesting of stock options; and (iv) reduction of other benefits
paid or provided to Executive. 
 10.2 The professional firm engaged by the Company for general tax purposes as of the day prior to the date
of the event that might reasonably be anticipated to result in severance payments and benefits that would otherwise be subject to the Excise Tax will perform the foregoing calculations. If the tax firm so engaged by the Company is serving as
accountant or auditor for the acquiring company, the Company will appoint a nationally recognized tax firm to make the determinations required by this Section. The Company will bear all expenses with respect to the determinations by such firm
required to be made by this Section. The Company and Executive shall furnish such tax firm such information and documents as the tax firm may reasonably request in order to make its required determination. The tax firm will provide its calculations,
together with detailed supporting documentation, to the Company and Executive as soon as practicable following its engagement. Any good faith determinations of the tax firm made hereunder will be final, binding and conclusive upon the Company and
Executive. 
 11. No Conflict of Interest. During the term of Executive’s employment with the Company, Executive must not engage
in any work, paid or unpaid, that creates an actual or potential conflict of interest with the Company. If the Board reasonably believes such a conflict exists during the term of this Agreement, the Board may ask Executive to choose to discontinue
the other work or resign employment with the Company. 
 12. Post-Termination Restrictions. 

12.1 Executive understands that: (a) the Company has expended, and will continue to expend, substantial time, money and effort in
developing its proprietary information; (b) Executive will in the course of Executive’s employment develop, be personally entrusted with and exposed to the Company’s proprietary information and will benefit therefrom; (c) both
during and after the term of Executive’s employment, the Company will be engaged in activities in the same sector as the entities listed on Exhibit B hereto (the “Restricted Companies”); (d) the Company provides
products and services nationally and internationally; and (e) the Company will suffer great loss and irreparable harm if Executive were to misappropriate, or otherwise use, the Company’s proprietary information on behalf of certain
competing entities. 
 12.2 Executive will execute and abide by Viavi’s Employee Proprietary Information and Inventions Agreement
(“Agreement”) in the form attached hereto as Exhibit C. If Executive breaches the non-solicitation or confidentiality covenants within (i) six months following termination of employment resulting from a Change of Control and
Executive’s Termination without Cause or Resignation for Good Reason or (ii) one year following termination of employment resulting from Termination with Cause or Resignation without Good Reason, then the Board of Directors may recover or
require reimbursement of any future equity awards and may stop all future severance payments. 

  
 10 

 12.3 Executive will be deemed to breach his obligations to the Company with respect to
Confidential Information or trade secrets if he works or perform services (including consulting or advisory services) for any of the Restricted Companies in any position in which he uses or threatens to use, disclose or otherwise misappropriate
any Confidential Information obtained during employment with the Company. He agrees that a threat to misuse Confidential Information exists if manifested by words or conduct and if he has taken Confidential Information or holds a position with an
entity in the Restricted Sector of such a nature that the evidence indicates imminent misuse. 
 13. Non-solicitation of Company’s
Employees. Executive agrees that during the term of this Agreement and for one year thereafter, Executive will not, either directly or indirectly, separately or in association with others, solicit, encourage or attempt to hire any individual
employed by the Company during his employment or causing others to solicit or encourage any of the Company’s employees to discontinue their employment with the Company. 

14. Injunctive Relief. Executive acknowledges that Executive’s breach of the covenants contained in Section 12 (collectively
“Covenants”) may cause irreparable injury to the Company and agrees that in the event of any such breach, the Company shall, in addition to the action it is authorized to take pursuant to Section 9.6, be entitled to
seek temporary, preliminary and permanent injunctive relief without the necessity of proving actual damages or posting any bond or other security. 

15. Agreement to Arbitrate. In the event a dispute arises in connection with this Agreement, the Company and Executive agree to submit
the dispute to binding arbitration before a single neutral arbitrator of the American Arbitration Association (“AAA”) using the AAA Rules for the Arbitration of Employment Disputes, available at www.adr.org or from the
Company’s Human Resources Department. Executive and the Company agree to arbitrate any controversy, claim or dispute between them arising out of or in any way related to this Agreement, the employment relationship between the Company and
Executive and any disputes upon termination of employment, including any claims for violation of any local, state or federal law, statute, regulation or ordinance or common law. Claims for breach of the Company’s Employee Innovations and
Proprietary Rights Agreement, workers’ compensation, unemployment insurance benefits and the Company’s right to obtain injunctive relief pursuant to Section 14 above are excluded. For the purpose of this agreement to arbitrate,
references to “Company” include all parent, subsidiary or related entities and their employees, supervisors, officers, directors, agents, pension or benefit plans, pension or benefit plan sponsors, fiduciaries, administrators, affiliates
and all successors and assigns of any of them, and this Agreement shall apply to them to the extent Executive’s claims arise out of or relate to their actions on behalf of the Company. The Company shall bear the cost of the arbitration filing
and hearing fees, and the cost of the arbitrator. 
 16. Successors. 

16.1 Company’s Successors. Any successor to the Company (whether direct or indirect and whether by purchase, merger,
consolidation, liquidation or otherwise) to all or substantially all of the Company’s business and/or assets (a “Successor”) shall assume the obligations under this Agreement and agree expressly to perform the
obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” shall include
any Successor becomes bound by the terms of this Agreement by operation of law. 

  
 11 

 16.2 Executive’s Successors. The terms of this Agreement and all rights of Executive
hereunder shall inure to the benefit of, and be enforceable by, Executive’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. 

17. Notice. 
 17.1
General. Notices and all other communications contemplated by this Agreement shall be in writing and shall be deemed to have been duly given when personally delivered or one day following mailing via Federal Express or similar overnight
courier service. In the case of Executive, mailed notices shall be addressed to Executive at Executive’s home address that the Company has on file for Executive. In the case of the Company, mailed notices shall be addressed to its corporate
headquarters, and all notices shall be directed to the attention of its General Counsel. 
 17.2 Notice of Termination. Any
termination by the Company for Cause or by Executive pursuant to a Resignation for Good Reason shall be communicated by a notice of termination to the other Party hereto given in accordance with Section 17.1 of this Agreement. Such notice shall
indicate the specific termination provision in this Agreement relied upon, shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and shall specify the
termination date, consistent with the requirements of this Agreement. 
 18. Compliance with Section 409A of the Code. The
Parties intend that all payments and benefits to be provided under this Agreement that constitute nonqualified deferred compensation within the meaning of Section 409A of the Code and the regulations and ruling issued thereunder (collectively
“Section 409A”) shall comply with the deferral, payout and other limitations and restrictions imposed under Section 409A so that no additional taxation is imposed under Section 409A. Notwithstanding any other
provision of this Agreement to the contrary, this Agreement shall be interpreted, operated and administered in a manner consistent with such intent. Without limiting the generality of the foregoing, and notwithstanding any other provision of this
Agreement to the contrary: 
 18.1 No amount payable pursuant to this Agreement on account of the Executive’s termination of employment
with the Company which constitutes a “deferral of compensation” within the meaning of Section 409A shall be paid unless and until Executive has incurred a “separation from service” within the meaning of Section 409A.
Furthermore, to the extent that Executive is a “specified employee” within the meaning of Section 409A (determined using the identification methodology selected by the Company from time to time, or if none, the default
methodology) as of the date of Executive’s separation from service, no amount that constitutes a deferral of compensation which is payable on account of Executive’s separation from service shall paid to Executive before the date (the
“Delayed Payment Date”) which is first day of the seventh month after the date of Executive’s separation from service or, if earlier, the date of Executive’s death following such separation from service. All
such amounts that would, but for this Section, become payable prior to the Delayed Payment Date will be accumulated and paid on the Delayed Payment Date. 

18.2 Each payment made under this Agreement shall be treated as a separate payment and the right to a series of installment payments under
this Agreement shall be treated as a right to a series of separate payments. 
 18.3 With regard to any provision in this Agreement that
provides for reimbursement of expenses or in-kind benefits, except for any expense, reimbursement or in-kind benefit provided pursuant to this Agreement that does not constitute a “deferral of compensation,” within the meaning of
Section 409A, (i) the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, (ii) the amount of expenses eligible for reimbursement, or in-kind benefits

  
 12 

 provided, during any taxable year shall not affect the expenses eligible for reimbursement, or in-kind benefits
to be provided, in any other taxable year, provided that the foregoing clause (ii) shall not be deemed to be violated with regard to expenses reimbursed under any arrangement covered by Section 105(b) of the Code solely because such
expenses are subject to a limit related to the period the arrangement is in effect, and (iii) such payments shall be made on or before the last day of Executive’s taxable year following the taxable year in which the expense occurred. 

18.4 Notwithstanding any provision of this Agreement to the contrary, in no event shall the timing of Executive’s execution of the
Release, directly or indirectly, result in Executive designating the calendar year of payment, and if a payment that is subject to execution of the Release could be made in more than one taxable year of Executive, payment shall be made in
Executive’s later taxable year. 
 18.5 The Company intends that income provided to Executive pursuant to this Agreement will not be
subject to taxation under Section 409A. However, the Company does not guarantee any particular tax effect for income provided to Executive pursuant to this Agreement. In any event, except for the Company’s responsibility to withhold
applicable income and employment taxes from compensation paid or provided to Executive, the Company shall not be responsible for the payment of any applicable taxes on compensation paid or provided to Executive pursuant to this Agreement. 

19. General Provisions. 

19.1 Waiver. No provision of this Agreement shall be modified, waived or discharged unless the modification, waiver or discharge is
agreed to in writing and signed by Executive and by an authorized officer of the Company (other than Executive). No waiver by either Party of any breach of, or of compliance with, any condition or provision of this Agreement by the other Party shall
be considered a waiver of any other condition or provision or of the same condition or provision at another time. 
 19.2 Attorneys’
Fees. In any dispute relating to this Agreement, each Party shall pay its own attorneys’ fees. The Company shall pay or reimburse all reasonable attorneys’ fees incurred by Executive to negotiate this Agreement, but in no event to
exceed the sum of $17,000. 
 19.3 Tax Withholding. All payments made pursuant to this Agreement will be subject to withholding of
applicable taxes. 
 19.4 Choice of Law; Venue. The validity, interpretation, construction and performance of this Agreement shall be
governed by the laws of the State of California without giving effect to any conflict of law principles. For purposes of litigating any dispute that arises directly or indirectly from the relationship of the Parties that is not subject to
arbitration pursuant to Section 15, the Parties hereby submit to and consent to the jurisdiction of the State of California and agree that such litigation shall be conducted only in the courts of Santa Clara County, California, or the federal
courts of the United States for the Northern District of California, and no other courts. 
 19.5 Severability. In the event any
provision of this Agreement is found to be unenforceable by an arbitrator or court of competent jurisdiction, such provision shall be deemed modified to the extent necessary to allow enforceability of the provision as so limited, it being intended
that the Parties shall receive the benefit contemplated herein to the fullest extent permitted by law. If a deemed modification is not satisfactory in the judgment of such arbitrator or court, the unenforceable provision shall be deemed deleted, and
the validity and enforceability of the remaining provisions shall not be affected thereby. 

  
 13 

 19.6 Benefits Not Assignable. Except as otherwise provided herein or by law, no right or
interest of Executive or Company under this Agreement shall be assignable or transferable, in whole or in part, either directly or by operation of law or otherwise, including, without limitation, by execution, levy, garnishment, attachment, pledge
or in any other manner, and no attempted transfer or assignment thereof shall be effective. 
 19.7 Further Assurances. From time to
time, at the Company’s request and without further consideration, Executive shall execute and deliver such additional documents and take all such further action as reasonably requested by the Company to be necessary or desirable to make
effective, in the most expeditious manner possible, the terms of this Agreement and the Release, and to provide adequate assurance of Executive’s due performance thereunder. 

19.8 Interpretation; Construction. The headings set forth in this Agreement are for convenience only and shall not be used in
interpreting this Agreement. This Agreement has been drafted by legal counsel representing the Company, but Executive has participated in the negotiation of its terms. Furthermore, Executive acknowledges that Executive has had an opportunity to
review and revise the Agreement and have it reviewed by legal counsel, if desired, and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the
interpretation of this Agreement. 
 19.9 Survival. Sections 11 (“No Conflict of Interest”), 12
(“Post-Termination Restrictions”), 13 (“Non-solicitation of Company’s Employees”), 14 (“Injunctive Relief”), 15 (“Agreement to Arbitrate”), 16 (“Successors”), 19 (“General
Provisions”) and 21 (“Entire Agreement”) of this Agreement shall survive Executive’s employment by the Company. 

20. Cooperation. During and after employment, Executive will reasonably cooperate with the Company and its affiliates and
representatives in connection with any action, investigation, proceeding, litigation or otherwise with regard to matters in which Executive has knowledge as a result of his employment. The Company will use its reasonable business efforts, whenever
possible, to provide Executive with reasonable advance notice of its need for assistance and will attempt to coordinate with Executive the time and place at which such assistance is provided to minimize the impact of such assistance on any other
material and pre-scheduled business commitment that Executive may have. The Company will reimburse Executive for the reasonable out-of-pocket expenses incurred in connection with such cooperation. Executive’s cooperation will be subject to his
indemnification rights under the Company’s bylaws, his indemnification agreement and Directors and Officers liability insurance coverage. 

21. Entire Agreement. This Agreement, together with the exhibits attached hereto or incorporated herein by reference, constitutes the
entire agreement between the Parties relating to this subject matter and supersedes all prior or simultaneous representations, discussions, negotiations, and agreements, whether written or oral. This Agreement may be amended or modified only with
the written consent of Executive and an individual designated by the Board. No oral waiver, amendment or modification will be effective under any circumstances whatsoever. 

[Remainder of page intentionally left blank.] 

  
 14 

 THE PARTIES TO THIS AGREEMENT HAVE READ THE FOREGOING AGREEMENT AND FULLY UNDERSTAND EACH AND EVERY PROVISION
CONTAINED HEREIN. WHEREFORE, THE PARTIES HAVE EXECUTED THIS AGREEMENT ON THE DATES SHOWN BELOW. 
  

							
	 	 	 	 	EXECUTIVE
			
	Dated: January 27, 2016	 		 	 /s/ Oleg Khaykin

		 		 	Oleg Khaykin
			
		 		 	COMPANY
				
	Dated: January 28, 2016	 		 	By:	 	 /s/ Richard Belluzzo

		 		 	Name:	 	Richard Belluzzo
		 		 	Title:	 	Interim CEO

 [Signature Page to Executive Employment Agreement] 

  
 15Exhibit 4.1

 

Execution Version

 

REGISTRATION RIGHTS AGREEMENT

 

among

 

PLAINS ALL AMERICAN PIPELINE, L.P.

 

and

 

THE PURCHASERS NAMED ON SCHEDULE A HERETO

 

 

TABLE OF CONTENTS

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
ARTICLE I   DEFINITIONS
    	
1
    
	
 
    	
 
    	
 
    
	
Section 1.01
    	
Definitions
    	
1
    
	
Section 1.02
    	
Registrable Securities
    	
4
    
	
 
    	
 
    	
 
    
	
ARTICLE II   REGISTRATION RIGHTS
    	
4
    
	
 
    	
 
    	
 
    
	
Section 2.01
    	
Shelf Registration
    	
4
    
	
Section 2.02
    	
Piggyback Registration
    	
6
    
	
Section 2.03
    	
Underwritten Offering
    	
8
    
	
Section 2.04
    	
Further Obligations
    	
9
    
	
Section 2.05
    	
Cooperation by Holders
    	
12
    
	
Section 2.06
    	
Restrictions on Public Sale by   Holders of Registrable Securities
    	
13
    
	
Section 2.07
    	
Expenses
    	
13
    
	
Section 2.08
    	
Indemnification
    	
14
    
	
Section 2.09
    	
Rule 144 Reporting
    	
16
    
	
Section 2.10
    	
Transfer or Assignment of   Registration Rights
    	
16
    
	
Section 2.11
    	
Limitation on Subsequent   Registration Rights
    	
17
    
	
 
    	
 
    	
 
    
	
ARTICLE III   MISCELLANEOUS
    	
17
    
	
 
    	
 
    	
 
    
	
Section 3.01
    	
Communications
    	
17
    
	
Section 3.02
    	
Binding Effect
    	
18
    
	
Section 3.03
    	
Assignment of Rights
    	
18
    
	
Section 3.04
    	
Recapitalization, Exchanges, Etc.
    	
18
    
	
Section 3.05
    	
Aggregation of Registrable   Securities
    	
18
    
	
Section 3.06
    	
Specific Performance
    	
18
    
	
Section 3.07
    	
Counterparts
    	
19
    
	
Section 3.08
    	
Governing Law, Submission to Jurisdiction
    	
19
    
	
Section 3.09
    	
Waiver of Jury Trial
    	
19
    
	
Section 3.10
    	
Entire Agreement
    	
19
    
	
Section 3.11
    	
Amendment
    	
20
    
	
Section 3.12
    	
No Presumption
    	
20
    
	
Section 3.13
    	
Obligations Limited to Parties to   Agreement
    	
20
    
	
Section 3.14
    	
Interpretation
    	
20
    
	
 
    	
 
    	
 
    
	
SCHEDULE   A — Purchaser Name; Notice and Contact Information
    	
 
    

 

i

 

REGISTRATION RIGHTS AGREEMENT

 

This REGISTRATION RIGHTS AGREEMENT, dated as of January 28, 2016 (this “Agreement”) is entered into by and among PLAINS ALL AMERICAN PIPELINE, L.P., a Delaware limited partnership (the “Partnership”), and each of the Persons set forth on Schedule A hereto (the “Purchasers”).

 

WHEREAS, this Agreement is made in connection with the closing of the issuance and sale of the Purchased Units pursuant to the Series A Preferred Unit Purchase Agreement, dated as of January 12, 2016, as amended by Amendment No. 1 thereto dated as of January 21, 2016 (the date of such closing, the “Closing Date”), by and among the Partnership and the Purchasers (as amended, the “Purchase Agreement”); and

 

WHEREAS, the Partnership has agreed to provide the registration and other rights set forth in this Agreement for the benefit of the Purchasers pursuant to the Purchase Agreement.

 

NOW THEREFORE, in consideration of the mutual covenants and agreements set forth herein and for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereby agree as follows:

 

ARTICLE I
 DEFINITIONS

 

Section 1.01                             Definitions.  As used in this Agreement, the following terms have the meanings indicated:

 

“Affiliate” means, with respect to any Person, any other Person that directly or indirectly through one or more intermediaries controls, is controlled by or is under common control with, the Person in question. As used herein, the term “control” (including, with correlative meanings, “controlled by” and “under common control with”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of voting securities, by contract or otherwise. For the avoidance of doubt, for purposes of this Agreement, (a) the GP Entities or the Plains Entities, on the one hand, and any Purchaser, on the other, shall not be considered Affiliates and (b) any fund or account managed, advised or subadvised, directly or indirectly, by a Purchaser or its Affiliates, shall be considered an Affiliate of such Purchaser.

 

“Agreement” has the meaning set forth in the introductory paragraph of this Agreement.

 

“Business Day” means any day other than a Saturday, Sunday, any federal legal holiday or day on which banking institutions in the State of New York or State of Texas are authorized or required by law or other governmental action to close.

 

“Closing Date” has the meaning set forth in the Recitals of this Agreement.

 

“Commission” means the United States Securities and Exchange Commission.

 

1

 

“Common Units” means the common units representing limited partner interests in the Partnership and having the rights and obligations specified in the Partnership Agreement.

 

“Effective Date” means the date of effectiveness of any Registration Statement.

 

“Effectiveness Period” has the meaning specified in Section 2.01(a).

 

“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, and the rules and regulations of the Commission promulgated thereunder.

 

“General Partner” means PAA GP LLC, a Delaware limited liability company and the general partner of the Partnership.

 

“GP Entities” means, collectively, the General Partner, GP LLC and Plains AAP.

 

“GP LLC” means Plains All American GP LLC, a Delaware limited liability company and the general partner of Plains AAP.

 

“Holder” means the record holder of any Registrable Securities.

 

“Holder Underwriter Registration Statement” has the meaning specified in Section 2.04(q).

 

“Included Registrable Securities” has the meaning specified in Section 2.02(a).

 

“Initial Distribution Period” has the meaning specified in the Partnership Agreement.

 

“Liquidated Damages” has the meaning specified therefor in Section 2.01(b).

 

“Liquidated Damages Multiplier” means the product of (i) the Purchased Unit Price and (ii) the number of Registrable Securities then held by the applicable Holder and included on the applicable Registration Statement.

 

“Losses” has the meaning specified in Section 2.08(a).

 

“Managing Underwriter” means, with respect to any Underwritten Offering, the book running lead manager of such Underwritten Offering.

 

“NYSE” means the New York Stock Exchange.

 

“Other Holder” has the meaning specified in Section 2.02(a).

 

“Partnership” has the meaning set forth in the introductory paragraph of this Agreement.

 

“Partnership Agreement” means the Fifth Amended and Restated Agreement of Limited Partnership of the Partnership, dated as of the date hereof, as amended.

 

“Person” means any individual, corporation, company, voluntary association, partnership, joint venture, trust, limited liability company, unincorporated organization,

 

2

 

government or any agency, instrumentality or political subdivision thereof or any other form of entity.

 

“Piggyback Notice” has the meaning specified in Section 2.02(a).

 

“Piggyback Opt-Out Notice” has the meaning specified in Section 2.02(a).

 

“Piggyback Registration” has the meaning specified in Section 2.02(a).

 

“PIK Units” means additional Series A Preferred Units issued by the Partnership to the Purchasers as in-kind distributions pursuant to the terms of the Partnership Agreement.

 

“Plains AAP” means Plains AAP, L.P., a Delaware limited partnership, which owns a 100% membership interest in the General Partner.

 

“Purchase Agreement” has the meaning set forth in the Recitals of this Agreement.

 

“Purchased Units” means the Series A Preferred Units to be issued and sold to the Purchasers pursuant to the Purchase Agreement.

 

“Purchased Unit Price” means $26.25 per unit.

 

“Purchasers” has the meaning set forth in the introductory paragraph of this Agreement.

 

“Quarter” has the meaning specified in the Partnership Agreement.

 

“Record Date” has the meaning specified in the Partnership Agreement.

 

“Registration” means any registration pursuant to this Agreement, including pursuant to a Registration Statement or a Piggyback Registration.

 

“Registrable Securities” means the Common Units issuable upon conversion of the Purchased Units and the PIK Units, all of which are subject to the rights provided herein until such time as such securities cease to be Registrable Securities pursuant to Section 1.02.

 

“Registration Expenses” has the meaning specified in Section 2.07(a).

 

“Registration Statement” has the meaning specified in Section 2.01(a).

 

“Securities Act” means the Securities Act of 1933, as amended from time to time, and the rules and regulations of the Commission promulgated thereunder.

 

“Selling Expenses” has the meaning specified in Section 2.07(a).

 

“Selling Holder” means a Holder who is selling Registrable Securities pursuant to a registration statement.

 

“Selling Holder Indemnified Persons” has the meaning specified in Section 2.08(a).

 

3

 

“Series A Conversion Date” means the date on which all of the Purchased Units are convertible into Common Units pursuant to the terms of the Partnership Agreement.

 

“Series A Conversion Rate” has the meaning specified in the Partnership Agreement.

 

“Series A Preferred Units” means the Series A Preferred Units representing limited partner interests in the Partnership and having the rights and obligations specified in the Partnership Agreement.

 

“Target Effective Date” has the meaning specified therefor in Section 2.01(a).

 

“Underwritten Offering” means an offering (including an offering pursuant to a Registration Statement) in which Common Units are sold to an underwriter on a firm commitment basis for reoffering to the public or an offering that is a “bought deal” with one or more investment banks.

 

“WKSI” means a well-known seasoned issuer (as defined in the rules and regulations of the Commission).

 

Section 1.02                             Registrable Securities.  Any Registrable Security will cease to be a Registrable Security upon the earliest to occur of the following:  (a) when a registration statement covering such Registrable Security becomes or has been declared effective by the Commission and such Registrable Security has been sold or disposed of pursuant to such effective registration statement, (b) when such Registrable Security has been disposed of (excluding transfers or assignments by a Holder to an Affiliate or to another Holder or any of its Affiliates or to any assignee or transferee to whom the rights under this Agreement have been transferred pursuant to Section 2.10) pursuant to any section of Rule 144 (or any similar provision then in effect) under the Securities Act, (c) when such Registrable Security is held by the Partnership or one of its direct or indirect subsidiaries and (d) when such Registrable Security has been sold or disposed of in a private transaction in which the transferor’s rights under this Agreement are not assigned to the transferee of such securities pursuant to Section 2.10. In addition, a Holder will cease to have rights to require registration of any Registrable Securities held by that Holder under this Agreement on the later of (i) the fourth anniversary of the date on which all Series A Preferred Units have been converted into Common Units pursuant to Article V of the Partnership Agreement and (ii) the earlier of (x) the date on which such Holder is no longer an “affiliate” as such term is defined in Rule 144 promulgated under the Securities Act and (y) the tenth anniversary of the date hereof.

 

ARTICLE II
 REGISTRATION RIGHTS

 

Section 2.01                             Shelf Registration.

 

(a)                                 Shelf Registration.  The Partnership shall use its commercially reasonable efforts to (i) prepare and file an initial registration statement under the Securities Act to permit the public resale of Registrable Securities from time to time as permitted by Rule 415 (or any similar provision adopted by the Commission then in effect) of the Securities Act (a “Registration Statement”) and (ii) cause such initial Registration Statement to become effective no later than

 

4

 

the earlier of (A) the Record Date with respect to the Quarter ending on the last day of the Initial Distribution Period and (B) the second anniversary of the date hereof (the “Target Effective Date”). The Partnership will use its commercially reasonable efforts to cause such initial Registration Statement filed pursuant to this Section 2.01(a) to be continuously effective under the Securities Act, with respect to any Holder, until the earliest to occur of the following: (A) the date on which all Registrable Securities covered by the Registration Statement have been distributed in the manner set forth and as contemplated in such Registration Statement, (B) the date on which there are no longer any Registrable Securities outstanding and (C) the later of (1) the fourth anniversary of the date on which all Series A Preferred Units have been converted into Common Units pursuant to Article V of the Partnership Agreement and (2) if and only if the Holder is an “affiliate” (as such term is defined in Rule 144 promulgated under the Securities Act) of the Partnership, the earlier of (x) the date on which such Holder is no longer an “affiliate” (as such term is defined in Rule 144 promulgated under the Securities Act) of the Partnership and (y) the tenth anniversary of the date hereof (in each case of clause (A), (B) or (C), the “Effectiveness Period”). A Registration Statement filed pursuant to this Section 2.01(a) shall be on such appropriate registration form of the Commission as shall be selected by the Partnership; provided that, if the Partnership is then eligible, it shall file such Registration Statement on Form S-3. A Registration Statement when declared effective (including the documents incorporated therein by reference) will comply as to form in all material respects with all applicable requirements of the Securities Act and the Exchange Act and will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading (and, in the case of any prospectus contained in such Registration Statement, in the light of the circumstances under which a statement is made). As soon as practicable following the date that a Registration Statement becomes effective, but in any event within three (3) Business Days of such date, the Partnership shall provide the Holders with written notice of the effectiveness of a Registration Statement.

 

(b)                                 Failure to Become Effective.  If a Registration Statement required by Section 2.01(a) does not become or is not declared effective by the Target Effective Date, then each Holder shall be entitled to a payment (with respect to each of the Holder’s Registrable Securities which are included in such Registration Statement), as liquidated damages and not as a penalty, (i) for each non-overlapping 30-day period for the first 60 days following the Target Effective Date, an amount equal to 0.25% of the Liquidated Damages Multiplier, which shall accrue daily, and (ii) for each non-overlapping 30-day period beginning on the 61st day following the Target Effective Date, an amount equal to the amount set forth in clause (i) plus an additional 0.25% of the Liquidated Damages Multiplier for each subsequent 60 days (i.e., 0.5% for 61-120 days, 0.75% for 121-180 days, and 1.0% thereafter), which shall accrue daily, up to a maximum amount equal to 1.0% of the Liquidated Damages Multiplier per non-overlapping 30 day period (the “Liquidated Damages”), until such time as such Registration Statement is declared or becomes effective or there are no longer any Registrable Securities outstanding. The Liquidated Damages shall be payable within 10 Business Days after the end of each such 30 day period in immediately available funds to the account or accounts specified by the applicable Holders. Any amount of Liquidated Damages shall be prorated for any period of less than 30 days accruing during any period for which a Holder is entitled to Liquidated Damages hereunder.

 

(c)                                  Waiver of Liquidated Damages.  If the Partnership is unable to cause a Registration Statement to become effective on or before the Target Effective Date, then the

 

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Partnership may request a waiver of the Liquidated Damages, which may be granted by the consent of the Holders of 75% of the outstanding Registrable Securities that have been included on such Registration Statement, in their sole discretion, and which such waiver shall apply to all the Holders of Registrable Securities included on such Registration Statement.

 

(d)                                 Delay Rights.  Notwithstanding anything to the contrary contained herein, the Partnership may, upon written notice to any Selling Holder whose Registrable Securities are included in a Registration Statement, suspend such Selling Holder’s use of any prospectus which is a part of such Registration Statement (in which event the Selling Holder shall suspend sales of the Registrable Securities pursuant to such Registration Statement) if (i) the Partnership is pursuing an acquisition, merger, reorganization, disposition or other similar transaction and the Partnership determines in good faith that the Partnership’s ability to pursue or consummate such a transaction would be materially and adversely affected by any required disclosure of such transaction in such Registration Statement or (ii) the Partnership has experienced some other material non-public event, the disclosure of which at such time, in the good faith judgment of the Partnership, would materially and adversely affect the Partnership; provided, however, that in no event shall the Selling Holders be suspended from selling Registrable Securities pursuant to such Registration Statement for a period that exceeds an aggregate of sixty (60) days in any 180-day period or ninety (90) days in any 365-day period.  Upon disclosure of such information or the termination of the condition described above, the Partnership shall provide prompt notice to the Selling Holders whose Registrable Securities are included in such Registration Statement, and shall promptly terminate any suspension of sales it has put into effect and shall take such other actions necessary or appropriate to permit registered sales of Registrable Securities as contemplated in this Agreement.

 

Section 2.02                             Piggyback Registration.

 

(a)                                 Participation.  If at any time the Partnership proposes to file (i) a Registration Statement (other than a Registration Statement contemplated by Section 2.01(a)) on behalf of any other Persons who have or have been granted registration rights (the “Other Holders”) or (ii) following the Series A Conversion Date, a prospectus supplement relating to the sale of Common Units by any Other Holders to an effective “automatic” registration statement, so long as the Partnership is a WKSI at such time or, whether or not the Partnership is a WKSI, so long as the Registrable Securities were previously included in the underlying shelf Registration Statement or are included on an effective Registration Statement, or in any case in which Holders may participate in such offering without the filing of a post-effective amendment, in each case, for the sale of Common Units by Other Holders in an Underwritten Offering (including an Underwritten Offering undertaken pursuant to Section 2.03), then the Partnership shall give not less than three Business Days’ notice (including, but not limited to, notification by electronic mail) (the “Piggyback Notice”) of such proposed Underwritten Offering to each Holder (together with its Affiliates) owning more than $100 million of Common Units, calculated on the basis of the Purchased Unit Price, and such Piggyback Notice shall offer such Holder the opportunity to include in such Underwritten Offering for Other Holders such number of Registrable Securities (the “Included Registrable Securities”) as such Holder may request in writing (a “Piggyback Registration”); provided, however, that the Partnership shall not be required to offer such opportunity (A) to such Holders if the Holders, together with their Affiliates, do not offer a minimum of $50 million of Registrable Securities, in the aggregate

 

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(determined by multiplying the number of Registrable Securities owned by the average of the closing price on the NYSE for the Common Units for the ten trading days preceding the date of such notice), or (B) to such Holders if and to the extent that the Partnership has been advised by the Managing Underwriter that the inclusion of Registrable Securities for sale for the benefit of such Holders will have an adverse effect on the price, timing or distribution of the Common Units in such Underwritten Offering, then the amount of Registrable Securities to be offered for the accounts of Holders shall be determined based on the provisions of Section 2.02(b).  Each Piggyback Notice shall be provided to Holders on a Business Day pursuant to Section 3.01.  Each such Holder will have two Business Days (or one Business Day in connection with any overnight or bought Underwritten Offering) after such Piggyback Notice has been delivered to request in writing the inclusion of Registrable Securities in the Underwritten Offering for Other Holders.  If no request for inclusion from a Holder is received within the specified time, such Holder shall have no further right to participate in such Underwritten Offering.  If, at any time after giving written notice of its intention to undertake an Underwritten Offering for Other Holders and prior to the closing of such Underwritten Offering, the Partnership shall determine for any reason not to undertake or to delay such Underwritten Offering, the Partnership may, at its election, give written notice of such determination to the Selling Holders and, (1) in the case of a determination not to undertake such Underwritten Offering, shall be relieved of its obligation to sell any Included Registrable Securities in connection with such terminated Underwritten Offering for Other Holders, and (2) in the case of a determination to delay such Underwritten Offering, shall be permitted to delay offering any Included Registrable Securities for the same period as the delay in the Underwritten Offering for Other Holders.  Any Selling Holder shall have the right to withdraw such Selling Holder’s request for inclusion of such Selling Holder’s Registrable Securities in such Underwritten Offering by giving written notice to the Partnership of such withdrawal at least one Business Day prior to the time of pricing of such Underwritten Offering.  Any Holder may deliver written notice (a “Piggyback Opt-Out Notice”) to the Partnership requesting that such Holder not receive notice from the Partnership of any proposed Underwritten Offering for Other Holders; provided, however, that such Holder may later revoke any such Piggyback Opt-Out Notice in writing.  Following receipt of a Piggyback Opt-Out Notice from a Holder (unless subsequently revoked), the Partnership shall not be required to deliver any notice to such Holder pursuant to this Section 2.02(a) and such Holder shall no longer be entitled to participate in Underwritten Offerings for Other Holders pursuant to this Section 2.02(a), unless such Piggyback Opt-Out Notice is revoked by such Holder.

 

(b)                                 Priority of Piggyback Registration.  If the Managing Underwriter or Underwriters of any proposed Underwritten Offering for Other Holders advise the Partnership that the total amount of Registrable Securities that the Selling Holders and any Other Holders intend to include in such offering exceeds the number that can be sold in such offering without being likely to have an adverse effect on the price, timing or distribution of the Common Units offered or the market for the Common Units, then the Common Units to be included in such Underwritten Offering shall include the number of Registrable Securities that such Managing Underwriter or Underwriters advise the Partnership can be sold without having such adverse effect, with such number to be allocated pro rata among the Selling Holders and the Other Holders who have requested such Underwritten Offering or participation in the Piggyback Registration (based, for each such Selling Holder or Other Holder, on the percentage derived by dividing (A) the number of Common Units proposed to be sold by such Selling Holder or such

 

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Other Holder in such offering by (B) the aggregate number of Common Units proposed to be sold by all Selling Holders and all Other Holders in the Piggyback Registration).

 

Section 2.03                             Underwritten Offering.

 

(a)                                 S-3 Registration.  In the event that any of (i) EnCap Investments L.P. and its Affiliates (which, for purposes of this Section 2.03 includes EnCap Flatrock Midstream Fund III, L.P.), (ii) The Energy Minerals Group and its Affiliates or (iii) Kayne Anderson Capital Advisors and its Affiliates (which, for purposes of this Section 2.03 includes FR KA Plains Holdings LLC) elect to dispose of Registrable Securities under a Registration Statement pursuant to an Underwritten Offering and reasonably expect gross proceeds of at least $150 million from such Underwritten Offering (together with any Registrable Securities to be disposed of by a Selling Holder who has elected to participate in such Underwritten Offering pursuant to Section 2.02), the Partnership shall, at the request of such Selling Holder(s), enter into an underwriting agreement in a form as is customary in Underwritten Offerings of securities by the Partnership with the Managing Underwriter or Underwriters selected by the Partnership, which shall include, among other provisions, indemnities to the effect and to the extent provided in Section 2.08, and shall take all such other reasonable actions as are requested by the Managing Underwriter in order to expedite or facilitate the disposition of such Registrable Securities; provided, however, that the Partnership shall have no obligation to facilitate or participate in, including entering into any underwriting agreement, more than three (3) Underwritten Offerings requested by each of (i) EnCap Investments L.P. and its Affiliates (which, for purposes of this Section 2.03 includes EnCap Flatrock Midstream Fund III, L.P.), (ii) The Energy Minerals Group and its Affiliates and (iii) Kayne Anderson Capital Advisors and its Affiliates (which, for purposes of this Section 2.03 includes FR KA Plains Holdings LLC); provided, further, that if the Partnership is conducting or actively pursuing a securities offering with anticipated offering proceeds of at least $150 million (other than in connection with any at-the-market offering or similar continuous offering program), then the Partnership may suspend such Selling Holder’s right to require the Partnership to conduct an Underwritten Offering on such Selling Holder’s behalf pursuant to this Section 2.03; provided, however, that the Partnership may only suspend such Selling Holder’s right to require the Partnership to conduct an Underwritten Offering pursuant to this Section 2.03 once in any six month period.

 

(b)                                 General Procedures.  In connection with any Underwritten Offering contemplated by Section 2.03(a), the underwriting agreement into which each Selling Holder and the Partnership shall enter shall contain such representations, covenants, indemnities (subject to Section 2.08) and other rights and obligations as are customary in Underwritten Offerings of securities by the Partnership. No Selling Holder shall be required to make any representations or warranties to or agreements with the Partnership or the underwriters other than representations, warranties or agreements regarding such Selling Holder’s authority to enter into such underwriting agreement and to sell, and its ownership of, the securities being registered on its behalf, its intended method of distribution and any other representation required by law. If any Selling Holder disapproves of the terms of an Underwritten Offering contemplated by this Section 2.03, such Selling Holder may elect to withdraw therefrom by notice to the Partnership and the Managing Underwriter; provided, however, that such withdrawal must be made at least one Business Day prior to the time of pricing of such Underwritten Offering to be effective.  No 

 

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such withdrawal or abandonment shall affect the Partnership’s obligation to pay Registration Expenses.

 

Section 2.04                             Further Obligations.  In connection with its obligations under this Article II, the Partnership will:

 

(a)                                 promptly prepare and file with the Commission such amendments and supplements to a Registration Statement and the prospectus used in connection therewith as may be necessary to keep such Registration Statement effective for the Effectiveness Period and as may be necessary to comply with the provisions of the Securities Act with respect to the disposition of all Registrable Securities covered by such Registration Statement;

 

(b)                                 if a prospectus supplement will be used in connection with the marketing of an Underwritten Offering under a Registration Statement and the Managing Underwriter at any time shall notify the Partnership in writing that, in the sole judgment of such Managing Underwriter, inclusion of detailed information to be used in such prospectus supplement is of material importance to the success of such Underwritten Offering, the Partnership shall use its commercially reasonable efforts to include such information in such prospectus supplement;

 

(c)                                  furnish to each Selling Holder (i) as far in advance as reasonably practicable before filing a Registration Statement or any other registration statement contemplated by this Agreement or any supplement or amendment thereto, upon request, copies of reasonably complete drafts of all such documents proposed to be filed (including exhibits and each document incorporated by reference therein to the extent then required by the rules and regulations of the Commission), and provide each such Selling Holder the opportunity to object to any information pertaining to such Selling Holder and its plan of distribution that is contained therein and, to the extent timely received, make the corrections reasonably requested by such Selling Holder with respect to such information prior to filing such Registration Statement or such other registration statement and the prospectus included therein or any supplement or amendment thereto, and (ii) such number of copies of such Registration Statement or such other registration statement and the prospectus included therein and any supplements and amendments thereto as such Persons may reasonably request in order to facilitate the public sale or other disposition of the Registrable Securities covered by such Registration Statement or other registration statement;

 

(d)                                 if applicable, use its commercially reasonable efforts to promptly register or qualify the Registrable Securities covered by any Registration Statement or any other registration statement contemplated by this Agreement under the securities or blue sky laws of such jurisdictions as the Selling Holders or, in the case of an Underwritten Offering, the Managing Underwriter, shall reasonably request; provided, however, that the Partnership will not be required to qualify generally to transact business in any jurisdiction where it is not then required to so qualify or to take any action that would subject it to general service of process in any such jurisdiction where it is not then so subject;

 

(e)                                  promptly notify each Selling Holder, at any time when a prospectus relating thereto is required to be delivered by any of them under the Securities Act, of (i) the filing of a Registration Statement or any other registration statement contemplated by this Agreement or

 

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any prospectus or prospectus supplement to be used in connection therewith, or any amendment or supplement thereto, and, with respect to a Registration Statement or any other registration statement or any post-effective amendment thereto, when the same has become effective; and (ii) the receipt of any written comments from the Commission with respect to any filing referred to in clause (i) and any written request by the Commission for amendments or supplements to any such Registration Statement or any other registration statement or any prospectus or prospectus supplement thereto;

 

(f)                                   promptly notify each Selling Holder, at any time when a prospectus relating thereto is required to be delivered by any of them under the Securities Act, of (i) the happening of any event as a result of which the prospectus or prospectus supplement contained in a Registration Statement or any other registration statement contemplated by this Agreement, as then in effect, includes an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein not misleading (in the case of any prospectus contained therein, in the light of the circumstances under which a statement is made); (ii) the issuance or express threat of issuance by the Commission of any stop order suspending the effectiveness of a Registration Statement or any other registration statement contemplated by this Agreement, or the initiation of any proceedings for that purpose; or (iii) the receipt by the Partnership of any notification with respect to the suspension of the qualification of any Registrable Securities for sale under the applicable securities or blue sky laws of any jurisdiction.  Following the provision of such notice, the Partnership agrees to, as promptly as practicable, amend or supplement the prospectus or prospectus supplement or take other appropriate action so that the prospectus or prospectus supplement does not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing and to take such other action as is reasonably necessary to remove a stop order, suspension, threat thereof or proceedings related thereto;

 

(g)                                  upon request and subject to appropriate confidentiality obligations, furnish to each Selling Holder copies of any and all transmittal letters or other correspondence with the Commission or any other governmental agency or self-regulatory body or other body having jurisdiction (including any domestic or foreign securities exchange) relating to such offering of Registrable Securities;

 

(h)                                 in the case of an Underwritten Offering, furnish, or use its reasonable efforts to cause to be furnished, upon request, (i) an opinion of counsel for the Partnership addressed to the underwriters, dated the date of the closing under the applicable underwriting agreement and (ii) a “comfort” letter addressed to the underwriters, dated the pricing date of such Underwritten Offering and a letter of like kind dated the date of the closing under the applicable underwriting agreement, in each case, signed by the independent public accountants who have certified the Partnership’s financial statements included or incorporated by reference into the applicable registration statement, and each of the opinion and the “comfort” letter shall be in customary form and covering substantially the same matters with respect to such registration statement (and the prospectus and any prospectus supplement) as have been customarily covered in opinions of issuer’s counsel and in accountants’ letters delivered to the underwriters in Underwritten Offerings of securities by the Partnership and such other matters as such underwriters may reasonably request;

 

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(i)                                     otherwise use its commercially reasonable efforts to comply with all applicable rules and regulations of the Commission;

 

(j)                                    make available to the appropriate representatives of the Managing Underwriter during normal business hours access to such information and Partnership personnel as is reasonable and customary to enable such parties to establish a due diligence defense under the Securities Act; provided, however, that the Partnership need not disclose any non-public information to any such representative unless and until such representative has entered into a confidentiality agreement with the Partnership;

 

(k)                                 use its commercially reasonable efforts to cause all Registrable Securities registered pursuant to this Agreement to be listed on each securities exchange or nationally recognized quotation system on which similar securities issued by the Partnership are then listed;

 

(l)                                     use its commercially reasonable efforts to cause Registrable Securities to be registered with or approved by such other governmental agencies or authorities as may be necessary by virtue of the business and operations of the Partnership to enable the Selling Holders to consummate the disposition of such Registrable Securities;

 

(m)                             provide a transfer agent and registrar for all Registrable Securities covered by any Registration Statement not later than the Effective Date of such Registration Statement;

 

(n)                                 enter into customary agreements and take such other actions as are reasonably requested by the Selling Holders or the underwriters, if any, in order to expedite or facilitate the disposition of Registrable Securities (including making appropriate officers of GP LLC available to participate in customary marketing activities); provided, however, that the officers of GP LLC shall not be required to dedicate an unreasonably burdensome amount of time in connection with any roadshow and related marketing activities for any Underwritten Offering;

 

(o)                                 if reasonably requested by a Selling Holder, (i) incorporate in a prospectus supplement or post-effective amendment such information as such Selling Holder reasonably requests to be included therein relating to the sale and distribution of Registrable Securities, including information with respect to the number of Registrable Securities being offered or sold, the purchase price being paid therefor and any other terms of the offering of the Registrable Securities to be sold in such offering; and (ii) make all required filings of such prospectus supplement or post-effective amendment after being notified of the matters to be incorporated in such prospectus supplement or post-effective amendment;

 

(p)                                 if reasonably required by the Partnership’s transfer agent, the Partnership shall promptly deliver any authorizations, certificates and directions required by the transfer agent which authorize and direct the transfer agent to transfer such Registrable Securities without legend upon sale by the Holder of such Registrable Securities under the Registration Statement; and

 

(q)                                 if any Holder could reasonably be deemed to be an “underwriter,” as defined in Section 2(a)(11) of the Securities Act, in connection with the Registration Statement and any amendment or supplement thereof (a “Holder Underwriter Registration Statement”), then the Partnership will reasonably cooperate with such Holder in allowing such Holder to conduct

 

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customary “underwriter’s due diligence” with respect to the Partnership and satisfy its obligations in respect thereof.  In addition, at any Holder’s request, the Partnership will furnish to such Holder, on the date of the effectiveness of the Holder Underwriter Registration Statement and thereafter from time to time on such dates as such Holder may reasonably request (provided that such request shall not be more frequently than on an annual basis unless such Holder is offering Registrable Securities pursuant to a Holder Underwriter Registration Statement), (i) a “comfort” letter, dated such date, from the Partnership’s independent certified public accountants in form and substance as has been customarily given by independent certified public accountants to underwriters in Underwritten Public Offerings of securities by the Partnership, addressed to such Holder, (ii) an opinion, dated as of such date, of counsel representing the Partnership for purposes of the Holder Underwriter Registration Statement, in form, scope and substance as has been customarily given in Underwritten Public Offerings of securities by the Partnership, including standard “10b-5” negative assurance for such offerings, addressed to such Holder and (iii) a standard officer’s certificate from the chief executive officer or chief financial officer, or other officers serving such functions, of GP LLC addressed to the Holder, as has been customarily given by such officers in Underwritten Public Offerings of securities by the Partnership. The Partnership will also use its reasonable efforts to provide legal counsel to such Holder with an opportunity to review and comment upon any such Holder Underwriter Registration Statement, and any amendments and supplements thereto, prior to its filing with the Commission.

 

Notwithstanding anything to the contrary in this Section 2.04, the Partnership will not name a Holder as an underwriter (as defined in Section 2(a)(11) of the Securities Act) in any Registration Statement or Holder Underwriter Registration Statement, as applicable, without such Holder’s consent. If the staff of the Commission requires the Partnership to name any Holder as an underwriter (as defined in Section 2(a)(11) of the Securities Act), and such Holder does not consent thereto, then such Holder’s Registrable Securities shall not be included on the applicable Registration Statement and the Partnership shall have no further obligations hereunder with respect to Registrable Securities held by such Holder, unless such Holder has not had an opportunity to conduct customary underwriter’s due diligence as set forth in subsection (q) of this Section 2.04 with respect to the Partnership at the time such Holder’s consent is sought.

 

Each Selling Holder, upon receipt of notice from the Partnership of the happening of any event of the kind described in subsection (f) of this Section 2.04, shall forthwith discontinue offers and sales of the Registrable Securities by means of a prospectus or prospectus supplement until such Selling Holder’s receipt of the copies of the supplemented or amended prospectus contemplated by subsection (f) of this Section 2.04 or until it is advised in writing by the Partnership that the use of the prospectus may be resumed and has received copies of any additional or supplemental filings incorporated by reference in the prospectus, and, if so directed by the Partnership, such Selling Holder will, or will request the Managing Underwriter or Managing Underwriters, if any, to deliver to the Partnership (at the Partnership’s expense) all copies in their possession or control, other than permanent file copies then in such Selling Holder’s possession, of the prospectus covering such Registrable Securities current at the time of receipt of such notice.

 

Section 2.05                             Cooperation by Holders.  The Partnership shall have no obligation to include Registrable Securities of a Holder in a Registration Statement or in an Underwritten

 

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Offering pursuant to Section 2.03(a) who has failed to timely furnish such information that the Partnership determines, after consultation with its counsel, is reasonably required in order for any registration statement or prospectus supplement, as applicable, to comply with the Securities Act.

 

Section 2.06                             Restrictions on Public Sale by Holders of Registrable Securities.  Each Holder of Registrable Securities participating in an Underwriting Offering included in a Registration Statement agrees to enter into a customary letter agreement with underwriters providing that such Holder will not effect any public sale or distribution of Registrable Securities during the forty-five (45) calendar day period beginning on the date of a prospectus or prospectus supplement filed with the Commission with respect to the pricing of such Underwritten Offering; provided, however, that (i) the duration of the foregoing restrictions shall be no longer than the duration of the shortest restriction generally imposed by the underwriters on the Partnership or the officers, directors or any other Affiliate of the Partnership on whom a restriction is imposed and (ii) the restrictions set forth in this Section 2.06 shall not apply to any Registrable Securities that are included in such Underwritten Offering by such Holder.

 

Section 2.07                             Expenses.

 

(a)                                 Certain Definitions.  “Registration Expenses” shall not include Selling Expenses but otherwise means all expenses incident to the Partnership’s performance under or compliance with this Agreement to effect the registration of Registrable Securities on a Registration Statement pursuant to Section 2.01, a Piggyback Registration pursuant to Section 2.02, or an Underwritten Offering pursuant to Section 2.03, and the disposition of such Registrable Securities, including, without limitation, all registration, filing, securities exchange listing and NYSE fees, all registration, filing, qualification and other fees and expenses of complying with securities or blue sky laws, fees of the Financial Industry Regulatory Authority, fees of transfer agents and registrars, all word processing, duplicating and printing expenses, and the fees and disbursements of counsel and independent public accountants for the Partnership, including the expenses of any special audits or “cold comfort” letters required by or incident to such performance and compliance.  “Selling Expenses” means all underwriting fees, discounts and selling commissions and transfer taxes allocable to the sale of the Registrable Securities, plus any costs or expenses related to any roadshows conducted in connection with the marketing of any Underwritten Offering.

 

(b)                                 Expenses.  The Partnership will pay all reasonable Registration Expenses, as determined in good faith, in connection with a shelf Registration, a Piggyback Registration or an Underwritten Offering, whether or not any sale is made pursuant to such shelf Registration, Piggyback Registration or Underwritten Offering.  Each Selling Holder shall pay its pro rata share of all Selling Expenses in connection with any sale of its Registrable Securities hereunder.  In addition, except as otherwise provided in Section 2.08, the Partnership shall not be responsible for professional fees (including legal fees) incurred by Holders in connection with the exercise of such Holders’ rights hereunder.

 

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Section 2.08                             Indemnification.

 

(a)                                 By the Partnership.  In the event of a registration of any Registrable Securities under the Securities Act pursuant to this Agreement, the Partnership will indemnify and hold harmless each Selling Holder thereunder, its directors, officers, managers, partners, employees and agents and each Person, if any, who controls such Selling Holder within the meaning of the Securities Act and the Exchange Act, and its directors, officers, managers, partners, employees or agents (collectively, the “Selling Holder Indemnified Persons”), against any losses, claims, damages, expenses or liabilities (including reasonable attorneys’ fees and expenses) (collectively, “Losses”), joint or several, to which such Selling Holder Indemnified Person may become subject under the Securities Act, the Exchange Act or otherwise, insofar as such Losses (or actions or proceedings, whether commenced or threatened, in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact (in the case of any prospectus, in light of the circumstances under which such statement is made) contained in (which, for the avoidance of doubt, includes documents incorporated by reference in) the applicable Registration Statement or other registration statement contemplated by this Agreement, any preliminary prospectus, prospectus supplement or final prospectus contained therein, or any amendment or supplement thereof, or any free writing prospectus relating thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein (in the case of a prospectus, in light of the circumstances under which they were made) not misleading, and will reimburse each such Selling Holder Indemnified Person for any legal or other expenses reasonably incurred by them in connection with investigating, defending or resolving any such Loss or actions or proceedings; provided, however, that the Partnership will not be liable in any such case if and to the extent that any such Loss arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by such Selling Holder Indemnified Person in writing specifically for use in the applicable Registration Statement or other registration statement, or prospectus supplement, as applicable. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such Selling Holder Indemnified Person, and shall survive the transfer of such securities by such Selling Holder.

 

(b)                                 By Each Selling Holder.  Each Selling Holder agrees severally and not jointly to indemnify and hold harmless the Partnership, the General Partner, the GP Entities, GP LLC’s directors, officers, employees and agents and each Person, who, directly or indirectly, controls the Partnership within the meaning of the Securities Act or of the Exchange Act to the same extent as the foregoing indemnity from the Partnership to the Selling Holders, but only with respect to information regarding such Selling Holder furnished in writing by or on behalf of such Selling Holder expressly for inclusion in a Registration Statement or any other registration statement contemplated by this Agreement, any preliminary prospectus, prospectus supplement or final prospectus contained therein, or any amendment or supplement thereto or any free writing prospectus relating thereto; provided, however, that the liability of each Selling Holder shall not be greater in amount than the dollar amount of the proceeds (net of any Selling Expenses) received by such Selling Holder from the sale of the Registrable Securities giving rise to such indemnification.

 

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(c)                                  Notice.  Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission to so notify the indemnifying party shall not relieve it from any liability that it may have to any indemnified party other than under this Section 2.08(c) except to the extent that the indemnifying party is materially prejudiced by such failure.  In any action brought against any indemnified party, it shall notify the indemnifying party of the commencement thereof. The indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and undertake the defense thereof with counsel reasonably satisfactory to such indemnified party and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying party shall not be liable to such indemnified party under this Section 2.08 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with counsel so selected; provided, however, that, (i) if the indemnifying party has failed to assume the defense or employ counsel reasonably satisfactory to the indemnified party or (ii) if the defendants in any such action include both the indemnified party and the indemnifying party and counsel to the indemnified party shall have concluded that there may be reasonable defenses available to the indemnified party that are different from or additional to those available to the indemnifying party, or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, then the indemnified party shall have the right to select a separate counsel and to assume such legal defense and otherwise to participate in the defense of such action, with the reasonable expenses and fees of such separate counsel and other reasonable expenses related to such participation to be reimbursed by the indemnifying party as incurred. Notwithstanding any other provision of this Agreement, no indemnifying party shall settle any action brought against any indemnified party with respect to which such indemnified party may be entitled to indemnification hereunder without the consent of the indemnified party, unless the settlement thereof imposes no liability or obligation on, includes a complete and unconditional release from liability of, and does not contain any admission of wrongdoing by, the indemnified party.

 

(d)                                 Contribution.  If the indemnification provided for in this Section 2.08 is held by a court or government agency of competent jurisdiction to be unavailable to any indemnified party or is insufficient to hold them harmless in respect of any Losses, then each such indemnifying party, in lieu of indemnifying such indemnified party, shall contribute to the amount paid or payable by such indemnified party as a result of such Losses in such proportion as is appropriate to reflect the relative fault of the indemnifying party, on the one hand, and of the indemnified party, on the other hand, in connection with the statements or omissions that resulted in such Losses, as well as any other relevant equitable considerations; provided, however, that in no event shall any Selling Holder be required to contribute an aggregate amount in excess of the dollar amount of proceeds (net of Selling Expenses) received by such Selling Holder from the sale of Registrable Securities giving rise to such indemnification.  The relative fault of the indemnifying party, on the one hand, and the indemnified party, on the other, shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact has been made by, or relates to, information supplied by such party, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission.  The parties hereto agree that it would not be just and equitable if contributions pursuant to this

 

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paragraph were to be determined by pro rata allocation or by any other method of allocation that does not take account of the equitable considerations referred to herein.  The amount paid by an indemnified party as a result of the Losses referred to in the first sentence of this paragraph shall be deemed to include any legal and other expenses reasonably incurred by such indemnified party in connection with investigating, defending or resolving any Loss that is the subject of this paragraph.  No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any Person who is not guilty of such fraudulent misrepresentation.

 

(e)                                  Other Indemnification.  The provisions of this Section 2.08 shall be in addition to any other rights to indemnification or contribution that an indemnified party may have pursuant to law, equity, contract or otherwise.

 

Section 2.09                             Rule 144 Reporting.  With a view to making available the benefits of certain rules and regulations of the Commission that may permit the sale of the Registrable Securities to the public without registration, the Partnership agrees to use its commercially reasonable efforts to:

 

(a)                                 make and keep public information regarding the Partnership available, as those terms are understood and defined in Rule 144 under the Securities Act (or any similar provision then in effect), at all times from and after the date hereof;

 

(b)                                 file with the Commission in a timely manner all reports and other documents required of the Partnership under the Securities Act and the Exchange Act at all times from and after the date hereof; and

 

(c)                                  so long as a Holder owns any Registrable Securities, furnish (i) to the extent accurate, forthwith upon request, a written statement of the Partnership that it has complied with the reporting requirements of Rule 144 under the Securities Act (or any similar provision then in effect) and (ii) unless otherwise available via the Commission’s EDGAR filing system, to such Holder forthwith upon request a copy of the most recent annual or quarterly report of the Partnership, and such other reports and documents so filed as such Holder may reasonably request in availing itself of any rule or regulation of the Commission allowing such Holder to sell any such securities without registration.

 

Section 2.10                             Transfer or Assignment of Registration Rights.  The rights to cause the Partnership to register Registrable Securities under this Article II may be transferred or assigned by each Holder to one or more transferees or assignees of Registrable Securities or securities convertible into Registrable Securities; provided, however, that (a) unless any such transferee or assignee is an Affiliate of, and after such transfer or assignment continues to be an Affiliate of, such Holder, the amount of Registrable Securities or securities convertible into Registrable Securities, as applicable, transferred or assigned to such transferee or assignee shall represent at least $50 million of Registrable Securities on an as-converted basis (determined by multiplying the number of Registrable Securities (on an as-converted basis) owned by the average of the closing price on the NYSE for the Common Units for the ten (10) trading days preceding the date of such transfer or assignment), (b) the Partnership is given written notice prior to any said transfer or assignment, stating the name and address of each such transferee or assignee and

 

16

 

identifying the securities with respect to which such registration rights are being transferred or assigned and (c) each such transferee or assignee assumes in writing responsibility for its portion of the obligations of such transferring Holder under this Agreement.

 

Section 2.11                             Limitation on Subsequent Registration Rights.  From and after the date hereof, the Partnership shall not, without the prior written consent of the Holders of a majority of the outstanding Registrable Securities or securities convertible into Registrable Securities, as applicable, enter into any agreement with any current or future holder of any securities of the Partnership that would allow such current or future holder to require the Partnership to include securities in any registration statement filed by the Partnership for Other Holders on a basis other than pari passu with, or expressly subordinate to, the piggyback rights of the Holders of Registrable Securities hereunder.

 

ARTICLE III
 MISCELLANEOUS

 

Section 3.01                             Communications.  All notices and demands provided for hereunder shall be in writing and shall be given by registered or certified mail, return receipt requested, telecopy, air courier guaranteeing overnight delivery, personal delivery or (in the case of any notice given by the Partnership to the Purchasers) email to the following addresses:

 

(a)                                 If to the Purchasers, to the addresses set forth on Schedule A, with a copy to (which shall not constitute notice):

 

Baker Botts L.L.P.
 910 Louisiana St. 
 Houston, Texas 77002
 Attention: Joshua Davidson
 Facsimile: (713) 229-2727
 Email: joshua.davidson@bakerbotts.com

 

(b)                                 If to the Partnership:

 

Plains All American Pipeline, L.P.
 333 Clay Street
 Suite 1600
 Houston, Texas 77002
 Attention: Richard McGee
 Email: rkmcgee@paalp.com

 

with a copy to (which shall not constitute notice):

 

17

 

Vinson & Elkins L.L.P.
 1001 Fannin Street
 Suite 2500
 Houston TX 77002-6760
 Attention: Alan Beck
 Facsimile: (713) 615-5620
 Email: abeck@velaw.com

 

or to such other address as the Partnership or the Purchasers may designate to each other in writing from time to time or, if to a transferee or assignee of the Purchasers or any transferee or assignee thereof, to such transferee or assignee at the address provided pursuant to Section 2.10.  All notices and communications shall be deemed to have been duly given: at the time delivered by hand, if personally delivered; upon actual receipt if sent by certified or registered mail, return receipt requested, or regular mail, if mailed; upon actual receipt of the facsimile or email copy, if sent via facsimile or email; and upon actual receipt when delivered to an air courier guaranteeing overnight delivery.

 

Section 3.02                             Binding Effect.  This Agreement shall be binding upon the Partnership, each of the Purchasers and their respective successors and permitted assigns, including subsequent Holders of Registrable Securities to the extent permitted herein.  Except as expressly provided in this Agreement, this Agreement shall not be construed so as to confer any right or benefit upon any Person other than the parties to this Agreement and their respective successors and permitted assigns.

 

Section 3.03                             Assignment of Rights.  Except as provided in Section 2.10, neither this Agreement nor any of the rights, benefits or obligations hereunder may be assigned or transferred, by operation of law or otherwise, by any party hereto without the prior written consent of the other party.

 

Section 3.04                             Recapitalization, Exchanges, Etc. Affecting Units.  The provisions of this Agreement shall apply to the full extent set forth herein with respect to any and all units of the Partnership or any successor or assign of the Partnership (whether by merger, consolidation, sale of assets or otherwise) that may be issued in respect of, in exchange for or in substitution of, the Registrable Securities, and shall be appropriately adjusted for combinations, unit splits, recapitalizations, pro rata distributions of units and the like occurring after the date of this Agreement.

 

Section 3.05                             Aggregation of Registrable Securities.  All Registrable Securities held or acquired by Persons who are Affiliates of one another shall be aggregated together for the purpose of determining the availability of any rights under this Agreement.

 

Section 3.06                             Specific Performance.  Damages in the event of breach of this Agreement by a party hereto may be difficult, if not impossible, to ascertain, and it is therefore agreed that each such Person, in addition to and without limiting any other remedy or right it may have, will have the right to seek an injunction or other equitable relief in any court of competent jurisdiction, enjoining any such breach, and enforcing specifically the terms and provisions hereof, and each of the parties hereto hereby waives any and all defenses it may have on the

 

18

 

ground of lack of jurisdiction or competence of the court to grant such an injunction or other equitable relief.  The existence of this right will not preclude any such Person from pursuing any other rights and remedies at law or in equity that such Person may have.

 

Section 3.07                             Counterparts.  This Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which counterparts, when so executed and delivered, shall be deemed to be an original and all of which counterparts, taken together, shall constitute but one and the same agreement.

 

Section 3.08                             Governing Law, Submission to Jurisdiction.  This Agreement, and all claims or causes of action (whether in contract or tort) that may be based upon, arise out of or relate to this Agreement or the negotiation, execution or performance of this Agreement (including any claim or cause of action based upon, arising out of or related to any representation or warranty made in or in connection with this Agreement), will be construed in accordance with and governed by the laws of the State of Delaware without regard to principles of conflicts of laws. Any action against any party relating to the foregoing shall be brought in any federal or state court of competent jurisdiction located within the State of Delaware, and the parties hereto hereby irrevocably submit to the non-exclusive jurisdiction of any federal or state court located within the State of Delaware over any such action. The parties hereby irrevocably waive, to the fullest extent permitted by applicable law, any objection which they may now or hereafter have to the laying of venue of any such dispute brought in such court or any defense of inconvenient forum for the maintenance of such dispute. Each of the parties hereto agrees that a judgment in any such dispute may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

 

Section 3.09                             Waiver of Jury Trial.  THE PARTIES TO THIS AGREEMENT EACH HEREBY WAIVE, AND AGREE TO CAUSE THEIR AFFILIATES TO WAIVE, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION (A) ARISING UNDER THIS AGREEMENT OR (B) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO IN RESPECT OF THIS AGREEMENT OR ANY OF THE TRANSACTIONS RELATED HERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY OR OTHERWISE. THE PARTIES TO THIS AGREEMENT EACH HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY AND THAT THE PARTIES TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OF A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE PARTIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

 

Section 3.10                             Entire Agreement.  This Agreement, the Purchase Agreement and the other agreements and documents referred to herein are intended by the parties as a final expression of their agreement and intended to be a complete and exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained herein and therein. There are no restrictions, promises, warranties or undertakings, other than those set forth or referred to herein or in the Purchase Agreement with respect to the rights

 

19

 

granted by the Partnership or any of its Affiliates or the Purchasers or any of their respective Affiliates set forth herein or therein. This Agreement, the Purchase Agreement and the other agreements and documents referred to herein or therein supersede all prior agreements and understandings between the parties with respect to such subject matter.

 

Section 3.11                             Amendment.  This Agreement may be amended only by means of a written amendment signed by the Partnership and the Holders of a majority of the outstanding Registrable Securities or securities convertible into Registrable Securities, as applicable; provided, however, that no such amendment shall adversely affect the rights of any Holder hereunder without the consent of such Holder.  Any amendment, supplement or modification of or to any provision of this Agreement, any waiver of any provision of this Agreement, and any consent to any departure by the Partnership or any Purchaser from the terms of any provision of this Agreement shall be effective only in the specific instance and for the specific purpose for which such amendment, supplement, modification, waiver or consent has been made or given.

 

Section 3.12                             No Presumption.  This Agreement has been reviewed and negotiated by sophisticated parties with access to legal counsel and shall not be construed against the drafter.

 

Section 3.13                             Obligations Limited to Parties to Agreement.  Each of the parties hereto covenants, agrees and acknowledges that, other than as set forth herein, no Person other than the Purchasers, the Selling Holders, their respective permitted assignees and the Partnership shall have any obligation hereunder and that, notwithstanding that one or more of such Persons may be a corporation, partnership or limited liability company, no recourse under this Agreement or under any documents or instruments delivered in connection herewith shall be had against any former, current or future director, officer, employee, agent, general or limited partner, manager, member, stockholder or Affiliate of any of such Persons or their respective permitted assignees, or any former, current or future director, officer, employee, agent, general or limited partner, manager, member, stockholder or Affiliate of any of the foregoing, whether by the enforcement of any assessment or by any legal or equitable proceeding, or by virtue of any applicable law, it being expressly agreed and acknowledged that no personal liability whatsoever shall attach to, be imposed on or otherwise be incurred by any former, current or future director, officer, employee, agent, general or limited partner, manager, member, stockholder or Affiliate of any of such Persons or any of their respective assignees, or any former, current or future director, officer, employee, agent, general or limited partner, manager, member, stockholder or Affiliate of any of the foregoing, as such, for any obligations of such Persons or their respective permitted assignees under this Agreement or any documents or instruments delivered in connection herewith or for any claim based on, in respect of or by reason of such obligation or its creation, except, in each case, for any assignee of any Purchaser or a Selling Holder hereunder.

 

Section 3.14                             Interpretation.  Article, Section and Schedule references in this Agreement are references to the corresponding Article, Section or Schedule to this Agreement, unless otherwise specified. All Schedules to this Agreement are hereby incorporated and made a part hereof as if set forth in full herein and are an integral part of this Agreement. All references to instruments, documents, contracts and agreements are references to such instruments, documents, contracts and agreements as the same may be amended, supplemented and otherwise modified from time to time, unless otherwise specified. The word “including” shall mean “including but not limited to” and shall not be construed to limit any general statement that it

 

20

 

follows to the specific or similar items or matters immediately following it. Whenever the Partnership has an obligation under this Agreement, the expense of complying with that obligation shall be an expense of the Partnership unless otherwise specified. Any reference in this Agreement to “$” shall mean U.S. dollars. Whenever any determination, consent or approval is to be made or given by a Purchaser, such action shall be in such Purchaser’s sole discretion, unless otherwise specified in this Agreement. If any provision in this Agreement is held to be illegal, invalid, not binding or unenforceable, (a) such provision shall be fully severable and this Agreement shall be construed and enforced as if such illegal, invalid, not binding or unenforceable provision had never comprised a part of this Agreement, and the remaining provisions shall remain in full force and effect, and (b) the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in an acceptable manner in order that the transactions contemplated hereby are consummated as originally contemplated to the greatest extent possible. When calculating the period of time before which, within which or following which any act is to be done or step taken pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded. If the last day of such period is a non-Business Day, the period in question shall end on the next succeeding Business Day. Any words imparting the singular number only shall include the plural and vice versa. The words such as “herein,” “hereinafter,” “hereof” and “hereunder” refer to this Agreement as a whole and not merely to a subdivision in which such words appear unless the context otherwise requires. The provision of a Table of Contents, the division of this Agreement into Articles, Sections and other subdivisions and the insertion of headings are for convenience of reference only and shall not affect or be utilized in construing or interpreting this Agreement.

 

[Remainder of Page Left Intentionally Blank]

 

21

 

IN WITNESS WHEREOF, the parties hereto execute this Agreement, effective as of the date first above written.

 

	
 
    	
PLAINS ALL AMERICAN   PIPELINE, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
PAA GP   LLC, its general partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Plains   AAP, L.P., its sole member
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Plains   All American GP LLC, its general partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Al   Swanson
    
	
 
    	
 
    	
Name:
    	
Al   Swanson
    
	
 
    	
 
    	
Title:
    	
Executive   Vice President and Chief 
    
	
 
    	
 
    	
 
    	
Financial   Officer
    

 

[Signature page to Registration Rights Agreement]

 

 

	
 
    	
ENCAP ENERGY   CAPITAL FUND X, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
EnCap   Equity Fund X GP, L.P., General
   Partner of EnCap Energy Capital Fund X,
   L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
EnCap   Investments L.P., General Partner of
   EnCap Equity Fund X GP, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
EnCap   Investments GP, L.L.C.,
    
	
 
    	
 
    	
General   Partner of EnCap Investments L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ D.   Martin Phillips
    
	
 
    	
 
    	
Name:
    	
D. Martin   Phillips
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ENCAP FLATROCK   MIDSTREAM FUND III, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
EnCap   Flatrock Midstream Fund III GP,
    
	
 
    	
 
    	
L.P.,   General Partner of EnCap Flatrock
   Midstream Fund III, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
EnCap   Flatrock Midstream Fund III GP,
    
	
 
    	
 
    	
LLC   General Partner of EnCap Flatrock 
   Midstream Fund III GP, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   William R. Lemmons, Jr.
    
	
 
    	
 
    	
Name:
    	
William   R. Lemmons, Jr.
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

[Signature page to Registration Rights Agreement]

 

 

	
 
    	
EMG FUND IV PAA   HOLDINGS, LLC
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ John   T. Raymond
    
	
 
    	
Name:
    	
John T.   Raymond
    
	
 
    	
Title:
    	
Chief Executive   Officer
    

 

[Signature page to Registration Rights Agreement]

 

 

	
 
    	
FR KA PLAINS   HOLDINGS LLC
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ James   C. Baker
    
	
 
    	
Name:
    	
James C.   Baker
    
	
 
    	
Title:
    	
Authorized   Person
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
KA Fund   Advisors, LLC, as Manager
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ James   C. Baker
    
	
 
    	
 
    	
Name:
    	
James C.   Baker
    
	
 
    	
 
    	
Title:
    	
Managing   Director
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
KAYNE SELECT MIDSTREAM RECOVERY FUND, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its General   Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
KAYNE ANDERSON MLP   FUND, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its   General Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    

 

[Signature page to Registration Rights Agreement]

 

 

	
 
    	
KAYNE ANDERSON   MIDSTREAM
   INSTITUTIONAL FUND, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its   General Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
KAYNE ANDERSON NON-TRADITIONAL
   INVESTMENTS, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its   General Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
KANTI (QP), L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its   General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
KAISER FOUNDATION HOSPITALS
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Kayne   Anderson Capital Advisors, L.P.,
    
	
 
    	
 
    	
as its   Manager
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ David   Shladovsky
    
	
 
    	
 
    	
Name:
    	
David   Shladovsky
    
	
 
    	
 
    	
Title:
    	
General   Counsel
    

 

[Signature page to Registration Rights Agreement]

 

 

	
 
    	
STONEPEAK PARTNERS LP, on behalf of STONEPEAK   INFRASTRUCTURE FUND LP and STONEPEAK INFRASTRUCTURE FUND II LP
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Stonepeak   Partners LLC, its general partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Michael Dorrell
    
	
 
    	
 
    	
Name:
    	
Michael   Dorrell
    
	
 
    	
 
    	
Title:
    	
Senior   Managing Director
    

 

[Signature page to Registration Rights Agreement]

 

 

Schedule A

 

Purchaser Name; Notice and Contact Information

 

	
Purchaser
    	
 
    	
Contact Information
    
	
EnCap Energy Capital Fund X, L.P.
    	
 
    	
1100 Louisiana, Suite 4900
    Houston, TX 77002
 Attn:   Brad Thielemann
 Email:   BThielemann@encapinvestments.com
    
	
 
    	
 
    	
 
    
	
EnCap Flatrock Midstream Fund III, L.P.
    	
 
    	
1100 Louisiana, Suite 4900
    Houston, TX 77002
 Attn:   Sam Pitts
 Email:   sp@efmidstream.com
    
	
 
    	
 
    	
 
    
	
EMG PAA Holdings, LLC
    	
 
    	
c/o The Energy & Minerals Group LP
    811 Main Street, Suite 4200
 Houston,   TX 77002
 Attn:   John T. Raymond and Laura L. Tyson
 Email:   jraymond@emgtx.com;

ltyson@emgtx.com
    
	
 
    	
 
    	
 
    
	
FR KA Plains Holdings LLC
    	
 
    	
600 Travis
    Suite 6000
 Attn:   Gary D. Reaves
 Houston,   TX 77002
 Email:   greaves@firstreserve.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Massachusetts Mutual Life Insurance Company
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Kayne Select Midstream Recovery Fund,L.P.
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    

 

Schedule A-1

 

	
Purchaser
    	
 
    	
Contact Information
    
	
Kayne Anderson MLP Fund, L.P.
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Kayne Anderson Midstream Institutional Fund, L.P.
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Kayne Anderson Non-Traditional Investments, L.P.
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Kanti (QP), L.P.
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Kaiser Foundation Hospitals
    	
 
    	
1800 Avenue of the Stars, 3rd Floor
    Attn: David Shladovsky
 Los   Angeles, CA 90067
 Email:   dshladovsky@kaynecapital.com;

jbaker@kaynecapital.com
    
	
 
    	
 
    	
 
    
	
Stonepeak Infrastructure Fund LP
    	
 
    	
717 Fifth Avenue, 25th Floor
    New York, NY 10022
 Attn:   Adrienne Saunders
 Email:   saunders@stonepeakpartners.com
 and
 Attn:   Jack Howell
 Email:   howell@stonepeakpartners.com
    

 

Schedule A-2

 

	
Purchaser
    	
 
    	
Contact Information
    
	
Stonepeak Infrastructure Fund II LP
    	
 
    	
717 Fifth Avenue, 25th Floor
    New York, NY 10022
 Attn:   Adrienne Saunders
 Email:   saunders@stonepeakpartners.com
 and
 Attn:   Jack Howell
 Email:   howell@stonepeakpartners.com
    

 

Schedule A-3

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