Document:

AMENDED AND RESTATED TAX MATTERS AGREEMENT

 Exhibit 10.7 
  
 AMENDED AND RESTATED TAX MATTERS AGREEMENT 
  
 THIS AMENDED AND RESTATED TAX MATTERS AGREEMENT (the “Agreement”), dated as of June 18, 2004, is
entered into between Viacom Inc., a Delaware corporation (“Viacom”), and Blockbuster Inc., a Delaware corporation (“Blockbuster”). This Agreement is effective as of the first day after the earlier of (i) the closing of any
exchange offer by Viacom pursuant to an effective Form S-4 to exchange stock of Blockbuster for stock of Viacom or (ii) a distribution of stock of Blockbuster described in Section 355 of the Code (as defined below) (the “Effective Date”).
Notwithstanding the preceding sentence, Sections 11(b)(iii) and 11(f) are effective as of the date of this Agreement. 
  
 R E C I T A L S 
  
 A. Viacom is the common parent corporation of an affiliated group of corporations which, together with any other corporations which may become members of
such affiliated group, is referred to as the “Viacom Consolidated Group”. 
  
 B. Blockbuster, if it were not included in the Viacom Consolidated Group on the date hereof, would be the common parent corporation of an affiliated group of corporations within the meaning of Section 1504 of the
Internal Revenue Code of 1986, as amended (the “Code”), which, together with any other corporations which may become members of such affiliated group, is referred to as the “Blockbuster Consolidated Group”. 
  
 C. Viacom and Blockbuster entered into a Tax Matters Agreement (the
“Prior Agreement”) dated as of August 16, 1999 (the “IPO Date”) which set forth their agreement as to certain matters relating to the inclusion of the Blockbuster Consolidated Group in the Viacom Consolidated Group, including the
allocation of tax liabilities for years in which the Blockbuster Consolidated Group is so included, and certain other matters relating to taxes. 
  
 D. Viacom and Blockbuster desire to amend and restate the Prior Agreement. 
  
 The parties agree as follows: 
  
 1. Filing of Consolidated Returns and Payment of Consolidated Tax Liability. 
  
 For all taxable years in which Viacom files consolidated federal income tax returns (any such return of the Viacom
Consolidated Group for any taxable year, a “Viacom Consolidated Return”) and is entitled to include the Blockbuster Consolidated Group in such returns under Sections 1501-1504, or successor provisions, of the Code, Viacom shall include the
Blockbuster Consolidated Group in the consolidated federal income tax returns it files as the common parent corporation of the Viacom Consolidated Group. Viacom, Blockbuster, and the other members of the Viacom Consolidated Group shall file any and
all consents, elections or other documents and take any other actions necessary or appropriate to effect the filing of such federal income tax returns. For all taxable years in which the Blockbuster Consolidated Group is included in the Viacom
Consolidated Group, Viacom shall pay the entire federal income tax liability of the Viacom Consolidated Group and shall indemnify and hold 
  

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 harmless Blockbuster against any such liability; provided, however, that Blockbuster shall make payments to
Viacom or receive payments from Viacom as provided in the Agreement in settlement of the Blockbuster Consolidated Group’s share of the entire federal income tax liability of the Viacom Consolidated Group for any taxable year (which term shall
throughout the Agreement include any short taxable year) beginning on or after the IPO Date during which the Blockbuster Consolidated Group is included in the Viacom Consolidated Group (any such taxable year, an “Agreement Year” and any
taxable year ending on or before the IPO Date, a “pre-Agreement Year”). For purposes of this Agreement, the Blockbuster Consolidated Group shall be deemed to have a taxable year beginning on January 1, 1999 and ending on the IPO Date
(which year shall be treated as a pre-Agreement Year), and the Blockbuster Consolidated Group shall be deemed to have a taxable year beginning on the day after the IPO Date and ending on December 31, 1999 (or, if earlier, the date on which the
Blockbuster Consolidated Group’s actual taxable year beginning January 1, 1999 ends) which year shall be treated as an Agreement Year. 
  
 2. Pro Forma Blockbuster Return. 
  
 For each Agreement Year, Viacom shall prepare a pro forma consolidated federal income tax return for the Blockbuster Consolidated Group (a “Pro Forma
Blockbuster Return”). Except as otherwise provided herein, the Pro Forma Blockbuster Return for each Agreement Year shall be prepared as if Blockbuster filed a consolidated return on behalf of the Blockbuster Consolidated Group for such taxable
year; provided, however, that the Pro Forma Blockbuster Return shall not include any deduction or other tax benefit attributable to the exercise of an option to purchase Viacom stock by an employee of Blockbuster (or its affiliates).
The Pro Forma Blockbuster Return shall reflect any carryovers of net operating losses, net capital losses, excess tax credits, or other tax attributes from prior Agreement Years’ Pro Forma Blockbuster Returns which could have been utilized by
the Blockbuster Consolidated Group (excluding those attributes carried back pursuant to Section 5 herein) if the Blockbuster Consolidated Group had never been included in the Viacom Consolidated Group and all Pro Forma Blockbuster Returns had been
actual returns, but otherwise shall not reflect any tax benefits that arise from any adjustment to a pre-Agreement Year or carryovers of any other tax attributes from a pre-Agreement Year, regardless of whether such attributes were utilized (on
audit or otherwise) on a tax return of Viacom in a pre-Agreement Year. The Pro Forma Blockbuster Return shall be prepared in a manner that reflects all elections, positions, and methods used in the Viacom Consolidated Return that must be applied on
a consolidated basis and otherwise shall be prepared in a manner consistent with the Viacom Consolidated Return. The provisions of the Code that require consolidated computations, such as Sections 861, 1201-1212, and 1231, shall be applied
separately to the Blockbuster Consolidated Group. Section 1.1502-13 of the Income Tax Regulations shall be applied as if the Blockbuster Consolidated Group and the Viacom Consolidated Group (excluding the members of the Blockbuster Group) were
separate affiliated groups, except that the Pro Forma Blockbuster Return shall also include any gains or losses of the members of the Blockbuster Consolidated Group on transactions within the Blockbuster Consolidated Group (including in years prior
to the first Agreement Year) which must be taken into account pursuant to Section 1.1502-13 of the Income Tax Regulations and reflected on the Viacom Consolidated Return if the Blockbuster Consolidated Group ceases to be included in the Viacom
Consolidated Group. For purposes of the Agreement, all determinations made as if the Blockbuster Consolidated Group had never been included in the Viacom Consolidated Group and as 
  

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 if all Pro Forma Blockbuster Returns were actual returns shall reflect any actual short taxable years resulting from the
Blockbuster Consolidated Group joining or leaving the Viacom Consolidated Group. 
  
 3. Pro Forma Blockbuster Return Payments. 
  
 For each Agreement Year, Blockbuster shall make periodic payments (“Periodic Payments”) to Viacom in such amounts as determined by Viacom based upon the estimated tax payments that would be due from the
Blockbuster Consolidated Group if it were not included in the Viacom Consolidated Group no later than the dates on which payments of estimated tax would be due from the Blockbuster Consolidated Group if it were not included in the Viacom
Consolidated Group. The balance of the tax due for an Agreement Year shall be paid to Viacom no later than March 15 of the following year (the “Balance Payment”). Blockbuster shall pay to Viacom no later than the date on which a Viacom
Consolidated Return for any Agreement Year is filed an amount equal to the sum of (i) the federal income tax liability shown on the corresponding Pro Forma Blockbuster Return prepared for the Agreement Year and (ii) the additions to tax, if any,
under Section 6655 of the Code that would have been imposed on Blockbuster (treating the amount due to Viacom under (i) above as its federal income tax liability and treating any periodic payments to Viacom pursuant to the first sentence of this
Section 3 as estimated payments under Section 6655 of the Code) and which result from the inaccuracy of any information provided by Blockbuster to Viacom pursuant to Section 5 hereof or from the failure of Blockbuster to provide any requested
information, reduced by (iii) the sum of the amount of the Periodic Payments and the Balance Payment (collectively, the “Total Periodic Payments”), plus (iv) any interest and additions to tax (other than under Section 6655 of the Code)
that would be due under the Code if the Total Periodic Payments were actual payments of tax. If Blockbuster’s Total Periodic Payments to Viacom for any Agreement Year exceed the amount of its liability under the preceding sentence, Viacom shall
refund such excess to Blockbuster within 30 days after filing the Viacom Consolidated Return. For purposes of the Agreement, the term “federal income tax liability” includes the tax imposed by Sections 11, 55 and 59A of the Code, or any
successor provisions to such Sections. Viacom shall notify Blockbuster of any amounts due from Blockbuster to Viacom pursuant to this Section 3 no later than 5 business days prior to the date such payments are due and such payments shall not be
considered due until the later of the due date described above or the fifth day from the notice from Viacom. 
  
 4. Payments for Taxable Years in the Event of Deconsolidation. 
  
 (a) Payments by Blockbuster to Viacom. If for any taxable year after the Blockbuster Consolidated Group ceases to be
included in the Viacom Consolidated Group (a “Post-Consolidation Year”), (i) the federal income tax liability of the Blockbuster Consolidated Group is less than (ii) the federal income tax liability that would have been imposed with
respect to the same period if the Blockbuster Consolidated Group had not been included in the Viacom Consolidated Group for any Agreement Year, all Pro Forma Blockbuster Returns had been actual returns for such years, and no carryovers of
Blockbuster attributes from pre-Agreement years were permitted, then Blockbuster shall pay to Viacom the excess of (ii) over (i) within 10 days of the filing of the Blockbuster Post-Consolidation Year return. 
  
 (b) Payments by Viacom to Blockbuster. If for any Post-Consolidation
Year (i) the federal income tax liability of the Blockbuster Consolidated Group is greater than (ii) 
  

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 the federal income tax liability that would have been imposed with respect to the same period if the Blockbuster
Consolidated Group had not been included in the Viacom Consolidated Group for any Agreement Year, all Pro Forma Blockbuster Returns had been actual returns for such years, and no carryovers of Blockbuster attributes from pre-Agreement Years were
permitted, then Viacom shall pay to Blockbuster the excess of (i) over (ii) within 10 days of notification by Blockbuster to Viacom of the filing of the Blockbuster Post-Consolidation Year return. 
  
 (c) Documentation. Prior to the payment of any amounts due pursuant to
this Section 4, the parties shall exchange such information and documentation as is reasonably satisfactory to each of them in order to substantiate the amounts due pursuant to this Section 4. Any disputes as to such amounts and documentation which
cannot be resolved prior to the date a payment is due shall be referred to an independent accounting firm whose fees shall paid one half by Blockbuster and one half by Viacom. 
  
 (d) No Post-Consolidation Year Carrybacks. If a Blockbuster federal income tax return with respect to a
Post-Consolidation Year reflects a net operating loss, net capital loss, excess tax credits, or any other tax attribute, such attribute may not be carried back to a Viacom tax return. 
  
 5. Carrybacks. 
  
 If a Pro Forma Blockbuster Return reflects a net operating loss, net capital loss, excess tax credit or other tax attribute (a “Pro Forma Blockbuster
Attribute”), which is actually utilized in a Viacom Consolidated Return (including any amendments thereto), then, within 30 days after the later of (i) the due date for the Viacom Consolidated Return (taking into account any extensions thereof)
or (ii) the date such Pro Forma Blockbuster Attribute is actually realized in cash (whether directly or by offset), Viacom shall pay to Blockbuster an amount equal to the lesser of (x) the refund which the Blockbuster Consolidated Group would have
received as a result of the carryback of such Pro Forma Blockbuster Attribute to a Pro Forma Blockbuster Return for any prior Agreement Year or Years (determined as if the first Agreement Year were the earliest taxable year to which such attributes
could be carried back) or (y) the tax savings or tax benefit realized by Viacom with respect to the use of such Pro Forma Blockbuster Attribute in a Viacom Consolidated Return. All calculations of deemed refunds pursuant to this Section 5 shall
include interest computed as if Blockbuster had filed a claim for refund or an application for a tentative carryback adjustment pursuant to Section 6411(a) of the Code on the date on which the Viacom Consolidated Return is filed. 
  
 6. Preparation of Tax Package and Other Financial Reporting
Information. 
  
 Blockbuster shall provide to Viacom in a
format determined by Viacom all information requested by Viacom as necessary to prepare the Viacom Consolidated Return and the Pro Forma Blockbuster Return (the “Viacom Tax Package”). The Viacom Tax Package with respect to any taxable year
shall be provided to Viacom on a basis consistent with current practices of the Viacom Consolidated Group no later than April 1 of the following year. Blockbuster shall also provide to Viacom information required to determine the Total Periodic
Payments, current federal taxable income, current and deferred tax liabilities, tax reserve items, and any additional current or prior information required by Viacom on a timely basis consistent with current practices of the Viacom Consolidated
Group. 
  

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 7. Returns, Audits, Refunds, Amended Returns, Litigation, Adjustments and Rulings. 
  
 (a) Returns. Viacom shall have exclusive and sole responsibility for
the preparation and filing of the Viacom Consolidated Returns (including requests for extensions thereof) and any other returns, amended returns and other documents or statements required to be filed with the Internal Revenue Service (the
“IRS”) in connection with the determination of the federal income tax liability of the Viacom Consolidated Group. 
  
 (b) Audits; Refund Claims. Viacom will have exclusive and sole responsibility and control with respect to the conduct of IRS examinations of the
returns filed by the Viacom Consolidated Group and any refund claims with respect thereto. Blockbuster shall assist and cooperate with Viacom during the course of any such proceeding. Viacom shall give Blockbuster notice of and consult with
Blockbuster with respect to any issues relating to items of income, gain, loss, deduction or credit of any member of the Blockbuster Consolidated Group (any such items, “Blockbuster Consolidated Return Items”). Viacom shall not settle or
otherwise compromise any Blockbuster Consolidated Return Item that would result in additional liability for Blockbuster under this Agreement without the written consent of Blockbuster, which consent shall not be unreasonably withheld. If Blockbuster
does not respond to Viacom’s request for consent within 30 days, Blockbuster shall be deemed to have consented. Notwithstanding the foregoing, Viacom shall have the right in its sole discretion to pay any disputed taxes and sue for a refund in
the forum of its choice. In the case of any audit or litigation with respect to a Blockbuster return for a Post-Consolidation Year, Blockbuster shall not settle or otherwise compromise any matter relating to the treatment of any item arising in an
Agreement Year or a pre-Agreement Year in a manner which would affect the liability of Viacom to Blockbuster or Blockbuster to Viacom pursuant to Section 4 without the consent of Viacom, which consent shall not be unreasonably withheld. 

 
 (c) Litigation. If the federal income tax liability of the Viacom
Consolidated Group becomes the subject of litigation in any court, the conduct of the litigation shall be controlled exclusively by Viacom. Blockbuster shall assist and cooperate with Viacom during the course of litigation, and Viacom shall consult
with Blockbuster regarding any issues relating to Blockbuster Consolidated Return Items. 
  
 (d) Procedural Protections. In addition to any other procedural protection provided to Blockbuster in this Section 7, (i) Viacom shall use reasonable efforts to provide Blockbuster with the opportunity to be
present or otherwise participate in all meetings and conversations with the IRS and state taxing authorities on issues specifically related to any Blockbuster Entity (as defined below); (ii) Viacom shall provide Blockbuster with copies of any and
all Information Data Requests and similar state requests for information (each an “IDR”) that specifically relate to any Blockbuster Entity as soon as reasonably practicable following receipt of an IDR by Viacom; (iii) Blockbuster shall
have 10 days from the date it receives an IDR from Viacom to review, provide comments on, and deliver all documents and other information necessary to support the responses to the IDR; (iv) Blockbuster shall have the right to review each response to
an IDR that specifically relates to any Blockbuster Entity before it is submitted to the IRS or state taxing authority; and (v) Blockbuster shall have the right to review all positions taken that specifically relate to or affect any Blockbuster
Entity in resolving audits and litigation prior to Viacom executing or taking the position. The 
  

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 parties agree that the provisions of this Section 7(d) are merely procedural and that any deviation therefrom does not
affect the application and validity of the other provisions of this Agreement, including without limitation, Section 3 and Section 4. 
  
 (e) Expenses. Blockbuster shall reimburse Viacom for all reasonable out-of-pocket expenses (including, without limitation, legal, consulting and
accounting fees) in the course of proceedings (i) described in paragraphs (b) and (c) of this Section to the extent such expenses are reasonably attributable to Blockbuster Consolidated Return Items for any Agreement Year or (ii) relating to any
assertion of liability attributable in whole or in part to actions or events covered by Section 11. 
  
 (f) Recalculation of Payments to Reflect Adjustments. To the extent that any audit, litigation or claim for refund with respect to a Viacom
Consolidated Return or a Blockbuster return for a Post-Consolidation Year results in an additional payment of tax (including a payment of tax made preliminary to commencing a refund claim or litigation) or a refund of tax (any such additional
payment or refund, an “Adjustment”) relating to the treatment of a Blockbuster Consolidated Return Item for an Agreement Year, a corresponding adjustment shall be made to the corresponding Pro Forma Blockbuster Return. 
  
 All calculations of payments made pursuant to Sections 3, 4, and 5 of the
Agreement shall be recomputed to reflect the effect of any Adjustments on the relevant Pro Forma Blockbuster Return or on the liability of the Blockbuster Consolidated Group for a Post-Consolidation Year. Within 5 days after any such Adjustment,
Blockbuster or Viacom, as appropriate, shall make additional payments or refund payments to the other party reflecting such Adjustment, plus interest pursuant to Section 8 of the Agreement calculated as if payments by and to Blockbuster pursuant to
Sections 3, 4, and 5 of the Agreement and this Section 7 were payments and refunds of federal income taxes. Blockbuster shall further pay to Viacom the amount of any penalties or additions to tax incurred by the Viacom Consolidated Group as a result
of an adjustment to any Blockbuster Consolidated Return Item for an Agreement Year. 
  
 (g) Rulings. Blockbuster shall assist and cooperate with Viacom and take all actions requested by Viacom in connection with any ruling requests submitted by Viacom to the IRS, including rulings unrelated to the
Distributions (defined in Section 11(a) below). 
  
 (h)
Applicability with Respect to All Consolidated Returns. The provisions of Section 7(a), (b) and (c) above shall apply to Viacom Consolidated Returns and Blockbuster Consolidated Return Items for all taxable years in which the Blockbuster
Consolidated Group (or any member thereof) is includable in the Viacom Consolidated Group. 
  
 (i) Document Retention, Access to Records & Use of Personnel. Until the expiration of the relevant statute of limitations (including extensions), each of Blockbuster and Viacom shall (i) retain records,
documents, accounting data, computer data and other information that each party knowingly has in its possession and control necessary for the preparation, filing, review, audit or defense of all tax returns relevant to an obligation, right or
liability of either party under the Agreement (the “Records”); and (ii) give the other party reasonable access to such Records and to its personnel (insuring their cooperation) and premises during regular business hours to the extent
relevant to an obligation, right or liability of either party under the Agreement. Prior to 
  

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 disposing of any Records, each of Blockbuster and Viacom shall notify the other party in writing of such intention and
afford the other party the opportunity to take possession or make copies of such Records. 
  
 8. Interest. 
  
 Interest
required to be paid by or to Blockbuster pursuant to the Agreement shall, unless otherwise specified, be computed at the rate and in the manner provided in the Code for interest on underpayments and overpayments, respectively, of federal income tax
for the relevant period. Any payments required pursuant to the Agreement which are not made within the time period specified in the Agreement shall bear interest at a rate equal to two hundred basis points above the average interest rate on the
senior bank debt of Blockbuster. 
  
 9. Foreign, State and
Local Income Taxes. 
  
 In the case of foreign, state or local
taxes based on or measured by the net income of the Viacom Consolidated Group, or any combination of members thereof (other than solely with respect to members which are members of the Blockbuster Consolidated Group or which are members of the
Viacom Consolidated Group but not the Blockbuster Consolidated Group) on a combined, consolidated or unitary basis, the provisions of the Agreement shall apply with equal force to such foreign, state or local tax for each Agreement Year whether or
not the Blockbuster Consolidated Group is included in the Viacom Consolidated Group for federal income tax purposes; provided, however, that interest pursuant to the first sentence of Section 8 of the Agreement shall be computed at the
rate and in the manner provided under such foreign, state or local law for interest on underpayments and overpayments of such tax for the relevant period and references to provisions of the Code throughout the Agreement shall be deemed to be
references to analogous provisions of state, local, and foreign law. 
  
 For any Agreement Year or pre-Agreement Year, Viacom shall have the sole and exclusive control of (a) the determination of whether a combined, consolidated or unitary tax return should be filed for any foreign, state or local tax purpose
and (b) all foreign, state or local income tax audits and litigation with respect to any member of the Blockbuster Consolidated Group. Blockbuster shall reimburse Viacom for all reasonable out-of-pocket expenses (including, without limitation,
legal, consulting and accounting fees) in the course of proceedings described in the preceding sentence to the extent such expenses are reasonably attributable to Blockbuster or any member of the Blockbuster Consolidated Group. 
  
 Blockbuster shall provide to Viacom separate legal entity reporting
information with respect to any member of the Blockbuster Consolidated Group as requested by Viacom on a timely basis. 
  
 Viacom will provide notice of and consult with Blockbuster with respect to any issue relating to such audits and litigation and Blockbuster will provide
to Viacom any information necessary to conduct such audits and litigation. Viacom shall not settle or otherwise compromise any audits or litigation that would result in additional liability for Blockbuster under this Section 9 without the written
consent of Blockbuster, which consent shall not be unreasonably withheld. If Blockbuster does not respond to Viacom’s request for consent within 30 days, Blockbuster shall be deemed to have consented. Notwithstanding the foregoing, Viacom shall
have the right in its sole 
  

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 discretion to have Blockbuster pay any disputed taxes and sue for a refund in the forum of Viacom’s choice.
Blockbuster shall be responsible for filing tax returns relating to payroll, sales and use, property, withholding and similar taxes and shall be responsible for the payment of such taxes. 
  
 For all taxable years prior to and including the taxable years that Blockbuster is a member of the Viacom Consolidated
Group, Blockbuster shall have the sole and exclusive responsibility for all taxes based on or measured by net income which are determined solely by the income of the Blockbuster Consolidated Group (or any combination of the members thereof including
the predecessors of such members) on a combined, consolidated, unitary or separate company basis (the “Separate Blockbuster Taxes”). Viacom, in consultation with the Chief Financial Officer of Blockbuster, shall have sole and exclusive
responsibility for the preparation of returns relating to such taxes and the control of audits, controversies and proceedings with respect thereto. Notwithstanding the immediately preceding paragraph, in the case of New York State and New York City
taxes based on or measured by net income which are determined solely by the income of the Blockbuster Consolidated Group (or any combination of the members thereof including the predecessors of such members) on a combined, consolidated, unitary or
separate company basis, Viacom shall have the sole and exclusive responsibility for such taxes and for the return preparation and the control of audits, controversies and proceedings with respect thereto. 
  
 From and after the Effective Date Blockbuster shall have sole control of any
audit of or litigation involving any Separate Blockbuster Taxes, and Viacom shall deliver to Blockbuster all documentation (or copies thereof) related to each such audit or litigation that is in the possession of Viacom. Blockbuster will not take
any position in any audit, litigation or other proceeding related to Separate Blockbuster Taxes that could reasonably be expected to adversely impact the federal income tax consequences of the Distributions to Viacom or its shareholders. Each party
shall cooperate with the other to facilitate the transition of the applicable audit and litigation matters from Viacom to Blockbuster. 
  
 10. UK Tax Surrenders. 
  
 If requested to do so by Viacom UK Limited (“VUKL”), Blockbuster agrees that it will cause any of its direct or indirect subsidiaries which,
under the tax laws of the United Kingdom, are or have been regarded as resident in the United Kingdom to consent under provisions of Chapter IV of Part X of TA 1988 to the surrender of all or any part of their available tax losses to VUKL or to any
member of the United Kingdom tax group of which VUKL is the principal member. This agreement is made in respect of all accounting periods ended on or before December 31, 1998, and Blockbuster agrees to take or cause to be taken all actions necessary
to effect the loss surrender. 
  
 11. Taxes Attributable to the
Distributions. 
  
 (a) Actions Inconsistent with the
Rulings. In the event that stock of Blockbuster (or any successor thereto) is distributed to any or all of Viacom’s shareholders pursuant to transactions intended to qualify under Section 355 of the Code, including a distribution of
Blockbuster stock from Viacom International Inc. to Viacom (any such transaction, a “Distribution” and collectively, the “Distributions”), Blockbuster shall not take or fail to take, and shall not permit any other member of the
Blockbuster Consolidated Group or any other corporation or other entity that is directly or indirectly 
  

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 more than 50 percent (by vote or value) owned by any member of the Blockbuster Consolidated Group (any such entity,
together with the Blockbuster Consolidated Group, the “Blockbuster Entities”) to take or fail to take, any action if such act or failure to act would be inconsistent (i) with any ruling, including for all purposes of the Agreement any
supplemental rulings (collectively, the “Rulings”) issued by the IRS in connection with the Distributions or any representation, covenant or information included in any submission to the IRS in connection with the Rulings (the
“Submissions,” and together with the Rulings, the “Rulings and Submissions”) or (ii) with any representation or covenant made by Blockbuster in connection with any opinion of counsel obtained by Viacom with respect to the
qualification of the Distributions under Section 355 of the Code (the “Tax Opinion”). Viacom shall deliver copies of each of the Rulings and Submissions and the Tax Opinion to Blockbuster promptly as each becomes available. For purposes of
this Section 11(a), the Rulings do not include the private letter rulings issued to Viacom by the IRS in August 1999 and May 2000. 
  
 (b) Liability. Notwithstanding anything to the contrary in the Agreement, each of the Blockbuster Entities shall be jointly and severally liable
for, and shall indemnify and hold harmless Viacom and each member of the Viacom Consolidated Group (other than members of the Blockbuster Consolidated Group) from and against, on an after-tax basis, any and all taxes (including interest, penalties
and additions to tax) resulting from the Distributions to the extent such taxes result from (i) any event or transaction after the Distributions that involves the stock, assets, and/or business of Blockbuster or the other Blockbuster Entities,
whether or not such event or transaction is the result of direct actions of, or within the control of, Blockbuster or any of the other Blockbuster Entities; (ii) any act or failure to act on the part of Blockbuster or any of the other Blockbuster
Entities after the Distributions; (iii) the breach of any representation or covenant made by Blockbuster or by Viacom with the written agreement of Blockbuster pursuant to Section 11(f), or the inaccuracy of any information provided by Blockbuster
or by Viacom with the written agreement of Blockbuster pursuant to Section 11(f), regarding the Blockbuster Entities included in the Rulings and Submissions; (iv) the breach of any representation or covenant made by Blockbuster in connection with
the Tax Opinion; (v) any actions contemplated by Section 11(c) below, regardless of whether such actions are permitted pursuant to Section 11(d) below; or (vi) Blockbuster’s failure to respond to Viacom pursuant to Section 11(f).
Notwithstanding the foregoing, Blockbuster and the other Blockbuster Entities will not have any indemnification obligation pursuant to this Section 11(b) for any taxes (including interest, penalties and additions to tax) resulting from the
Distributions to the extent such taxes are solely attributable to any action or inaction by Viacom (or any member of the Viacom Consolidated Group other than any member of the Blockbuster Consolidated Group); provided, however, that any discussions
and negotiations between Viacom and one or more third parties concerning a possible transaction that involves the stock, assets, and/or business of Blockbuster or the other Blockbuster Entities that occur prior to the Distributions shall not be
deemed an action or inaction by Viacom. 
  
 (c) Covenants.
Blockbuster agrees that, until the second anniversary of the latest to occur of any of the Distributions, Blockbuster will not and will cause the other Blockbuster Entities not to: 
  
 (i) sell, exchange, distribute or otherwise transfer outside of the Blockbuster Consolidated Group any of
the assets of Blockbuster or any of the other Blockbuster Entities, or any stock or other equity interest in any of the other Blockbuster Entities, 
  

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 if such transaction would result in the disposition (individually or in the aggregate) of assets, stock
or other equity interests having an aggregate fair market value (as measured as of the date of the respective sale, exchange, distribution or other transfer) of more than 30% of the sum of the Aggregate Equity Value (defined in Section 11(c)(v)
below) plus $1 billion; provided, however, that $1 billion will not be added to the Aggregate Equity Value if the Special Distribution referred to in the Amended and Restated Initial Public Offering and Split-Off Agreement, of even
date herewith, among Viacom, Viacom International Inc. and Blockbuster (the “Amended IPO Agreement”), is not paid. 
  
 (ii) liquidate Blockbuster or merge Blockbuster with any person; provided, however, such a merger will be permitted if (x)
such merger is not taxable in whole or in part to Blockbuster or any of its shareholders (except with respect to cash received in lieu of fractional shares), (y) the sole consideration received by shareholders of Blockbuster (other than cash
received in lieu of fractional shares) is stock of the acquiring corporation or its parent corporation and (z) there was no agreement, understanding, arrangement or substantial negotiations regarding the merger transaction or any similar acquisition
(within the meaning of Temporary Treasury Regulation Section 1.355-7T) at any time during the Restricted Period. For purposes of this Section 11, the “Restricted Period” means the period that begins two years before the Effective Date and
ends on the latest to occur of any Distribution, 
  
 (iii) discontinue or otherwise fail to maintain the active trade or business relied upon in connection with the Rulings and Submissions and the Tax Opinion, 
  
 (iv) purchase any of its outstanding stock other than through stock purchases meeting the requirements of
Section 4.05(1)(b) of Rev. Proc. 96-30 (as in effect prior to its modification by Rev. Proc. 2003-48) (and as may be modified or amended from time to time); provided, however, that no shares of Blockbuster Class B common stock may be
purchased or otherwise acquired by Blockbuster or any of the other Blockbuster Entities, 
  
 (v) issue any stock (including, without limitation, restricted stock) or other equity interests (including, without limitation, stock
options) in Blockbuster in one or more transactions representing (individually or in the aggregate) more than 30% of the Aggregate Equity Value or 30% of the Aggregate Voting Power, except (A) pursuant to the exercise of employee stock options, (B)
to a person in connection with the performance of services (including, without limitation, the exchange of restricted stock for stock options), or (C) in connection with a transaction with respect to which there was no agreement, understanding,
arrangement or substantial negotiations (within the meaning of Temporary Treasury Regulation Section 1.355-7T) at any time during the Restricted Period; provided, however, that any such stock or equity interests must be issued in
exchange for property, services or cash of approximately equivalent value. For purposes of this Section 11(c), the “Aggregate Equity Value” is the amount equal to the sum of (X) the product of (I) the fair market value of one share of
Blockbuster Class A common stock multiplied by (II) the number of outstanding shares of Blockbuster Class A common stock plus (Y) the product of (I) the fair market value of one share of Blockbuster Class B common stock
multiplied by (II) the number of outstanding shares of Blockbuster Class B common stock, in each case as of the close of business on the Effective Date. For 
  

 10 

 purposes of this Section 11(c), the “fair market value” of a share of stock of a class will
equal the average of the high and low trading prices for a share of such class on the New York Stock Exchange on the Effective Date. For purposes of this Section 11(c), the “Aggregate Voting Power” is the amount equal to the sum of (X) the
product of (I) the number of votes per share multiplied by (II) the number of outstanding shares of Blockbuster Class A common stock plus (Y) the product of (I) the number of votes per share multiplied by (II) the
number of outstanding shares of Blockbuster Class B common stock, in each case as of the close of business on the latest to occur of any of the Distributions. For purposes of this Section 11(c), the “number of votes per share” of a class
of stock will be determined with respect to the rights of the holders of such class of shares to elect the directors of Blockbuster. 
  
 (vi) enter into any agreement for the sale or other disposition of Blockbuster stock or other equity interests in Blockbuster;
provided, however, such a sale or other disposition will be permitted if (x) such sale or other disposition is not taxable in whole or in part to Blockbuster or any of its shareholders (except with respect to cash received in lieu of
fractional shares), (y) the sole consideration received by shareholders of Blockbuster (other than cash received in lieu of fractional shares) is stock of the acquiring corporation or its parent corporation and (z) there was no agreement,
understanding, arrangement or substantial negotiations (within the meaning of Temporary Treasury Regulation Section 1.355-7T) at any time during the Restricted Period, 
  
 (vii) except as contemplated by the Amended IPO Agreement, amend its certificate of incorporation (or other
organizational documents) or take any other action through a shareholder vote or otherwise, in a manner that affects the relative voting or economic rights of the Blockbuster Class B common stock (including, without limitation, through any
conversion of one class of Blockbuster stock into another class of Blockbuster stock, recapitalization, reclassification, non pro rata stock dividends, or otherwise); provided, however, that the issuance of Blockbuster Class A common
stock in exchange for property, services or cash of approximately equivalent value will not be deemed to affect the relative voting or economic rights of the Blockbuster Class B common stock, 
  
 (viii) take any action inconsistent with the information,
representations or covenants included in the Rulings and Submissions or the representations or covenants made by Blockbuster in connection with the Tax Opinion, 
  
 (ix) fail to use best efforts to maintain the listing of the Blockbuster Class B common stock on the New
York Stock Exchange or, if such shares are not eligible for listing on the NYSE, the American Stock Exchange or NASDAQ, or 
  
 (x) fail to respect the Blockbuster Class B common stock (including fractional shares, if any) as outstanding securities for all
corporate, legal, regulatory and other purposes, including, without limitation, voting and dividend rights, or fail to round up to the nearest whole cent dividends paid with respect to such fractional shares, if any. 
  
 (d) Exceptions to Covenants. Notwithstanding Section 11(c) above,
Blockbuster and the other Blockbuster Entities may take actions inconsistent with the covenants contained in such Section 11(c), if Viacom consents in writing to such actions, such 
  

 11 

 consent to be determined by Viacom in its sole discretion taking into account solely the preservation of the tax-free
status of the Distributions; provided, however, that if such consent is not given, Blockbuster may request, which request may not be unreasonably denied, that Viacom (or Blockbuster, if appropriate) either: 
  
 (i) seek to obtain a ruling from the IRS that the actions in
question (the “Restricted Actions”) will not result in the Distributions being taxable to the Viacom Consolidated Group or Viacom’s shareholders (an “Additional Ruling”); provided, however, that Viacom shall
not be obligated to request such a ruling if it determines in good faith that such request could have an adverse effect on the Viacom Consolidated Group or Viacom’s shareholders; or 
  
 (ii) seek an unqualified opinion of counsel from counsel chosen by Viacom that the Restricted Actions will
not result in the Distributions being taxable to the Viacom Consolidated Group or Viacom’s shareholders (an “Unqualified Opinion”). 
  
 If either an Additional Ruling or Unqualified Opinion is obtained in form and substance acceptable to Viacom, the Blockbuster Entities may engage in such Restricted
Actions. 
  
 Blockbuster and the other Blockbuster Entities agree that Viacom (and
the other member of the Viacom Consolidated Group other than any member of the Blockbuster Consolidated Group) is to have no liability for any tax resulting from any Restricted Actions permitted pursuant to this Section 11(d) and agrees to indemnify
and hold harmless Viacom and each member of the Viacom Consolidated Group (other than members of the Blockbuster Consolidated Group) against any such tax. Blockbuster shall also bear all costs incurred by it or Viacom in connection with requesting
and/or obtaining any Additional Ruling or Unqualified Opinion. 
  
 (e) Additional Rulings. Blockbuster and the other Blockbuster Entities, on the one hand, and Viacom, on the other hand, shall cooperate with each other in connection with obtaining any Additional Rulings; provided,
however, that Viacom shall not be obligated to request an Additional Ruling if Viacom determines in good faith that such request could have an adverse effect on the Viacom Consolidated Group or Viacom’s shareholders. 
  
 (f) Blockbuster Review of Rulings and Submissions. With respect to any
Submission to be filed with the IRS by Viacom on or after the date of this Agreement, (A) Viacom shall deliver to Blockbuster any written correspondence regarding the Blockbuster Entities received by Viacom from the IRS so as to be received by
Blockbuster no later than one business day after the date upon which Viacom receives such correspondence and shall specify the date by which Viacom reasonably expects in good faith to respond to such correspondence (the “Response Date”),
(B) Viacom shall furnish a draft of any such Submission to Blockbuster so as to be received by Blockbuster no later than four business days prior to the Response Date, (C) Blockbuster shall review such draft Submission and provide written notice, to
be received by Viacom no later than two business days prior to the Response Date, which shall either (i) state that Blockbuster is in agreement with the representations, covenants or information regarding the Blockbuster Entities contained in such
Submission; (ii) state that certain representations, covenants or information regarding the Blockbuster Entities contained in such Submission is inaccurate and provide proposed revisions to the existing language and/or provide corrected information
that if incorporated by Viacom in the Submission in the manner suggested by Blockbuster will 
  

 12 

 cause such representations, covenants or information to be accurate, then Blockbuster will be deemed to have agreed to
such representations, covenants or information; or (iii) advise Viacom that, because of the complexity of the covenants, representations or information regarding the Blockbuster Entities, or the inaccessibility to Blockbuster of certain information,
Blockbuster in good faith reasonably requires an additional number of business days to respond to the Submission and that Blockbuster will respond in accordance with either clause (i) or (ii) above within such additional business days.
Notwithstanding the immediately preceding clause (C), if Viacom notifies Blockbuster that Viacom would like to respond quicker than the time allotted in clause (C), then Blockbuster will use reasonable efforts to perform actions to satisfy
Viacom’s request to expedite its response. Blockbuster has received from Viacom the Request for Rulings Under Section 355, dated April 23, 2004, submitted to the IRS on Viacom’s behalf by Cravath, Swaine & Moore LLP, and has or will
provide a notice to Viacom with respect to such Submission no later than June 25, 2004 that (i) states that Blockbuster is in agreement with the representations, covenants and information regarding the Blockbuster Entities contained in such
Submission or (ii) states that certain representations, covenants or information regarding the Blockbuster Entities contained in such Submission is inaccurate and provides proposed revisions to the existing language and/or provides corrected
information that if incorporated by Viacom in a subsequent Submission in the manner suggested by Blockbuster will then be accurate and to which Blockbuster will then be deemed to have agreed. 
  
 12. Deductions Attributable to Options. 
  
 Viacom shall determine whether Viacom or Blockbuster shall file tax returns
claiming the deductions attributable to the exercise of (i) options to purchase stock of Viacom which are held by employees of Blockbuster (or its affiliates) after the Distributions or by employees of both Viacom (or its affiliates) and Blockbuster
(or its affiliates) after the Distributions and/or (ii) options to purchase stock of Blockbuster which were issued as a result of a conversion of Viacom options and which resulted in a charge to the earnings of Viacom at the time of such conversion
for financial reporting purposes. If it is determined that Viacom shall claim all such tax deductions, Viacom shall be entitled to any such tax deductions and the tax returns of Viacom and Blockbuster shall be prepared accordingly and Viacom shall
be responsible for the remittance of the employer’s share of FICA and similar taxes. To the extent any such deductions are disallowed because a tax authority determines that Blockbuster should have claimed such deductions, Blockbuster shall
take all actions necessary to claim such deductions and pay to Viacom an amount equal to product of (i) Blockbuster’s domestic marginal tax rate for the applicable taxable year multiplied by (ii) the excess of (X) such deductions
computed without regard to Section 162(m) and 280G of the Code over (Y) one-half of the amount that such deductions (calculated in accordance with the immediately preceding clause (X)) are reduced by reason of the application of Section 162(m) or
280G of the Code. If it is determined that Blockbuster shall claim all such tax deductions, Blockbuster shall be entitled to any such tax deductions and the tax returns of Viacom and Blockbuster shall be prepared accordingly. Blockbuster shall
notify Viacom of the amount of tax deductions it intends to claim with respect to the exercise of Viacom options and shall pay Viacom an amount equal to product of (i) Blockbuster’s domestic marginal tax rate for the applicable taxable year
multiplied by (ii) the excess of (X) such deductions computed without regard to Section 162(m) and 280G of the Code over (Y) one-half of the amount that such deductions (calculated in accordance with the 
  

 13 

 immediately preceding clause (X)) are reduced by reason of the application of Section 162(m) or 280G of the Code (less
any FICA or similar taxes paid by Blockbuster) not later than 3 days prior to the due date of the estimated tax payment immediately following when any member of the Blockbuster Consolidated Group becomes entitled to any tax savings, refund, credit
or other offset attributable to such deduction. To the extent any such deductions are disallowed because a tax authority determines that Viacom should have claimed such deductions, Viacom shall pay to Blockbuster an amount equal to the actual
benefit received by Viacom as a result of the disallowance to the extent Blockbuster has paid Viacom pursuant to the preceding sentence. For purposes of the preceding sentence, such benefit shall be considered equal to the excess of the amount of
tax that would have been payable to a tax authority (or of the refund that would have been receivable) by Viacom. 
  
 13. Confidentiality. 
  
 Each of Viacom and Blockbuster agrees that any information furnished pursuant to the Agreement is confidential and, except as and to the extent required
by law or otherwise during the course of an audit or litigation or other administrative or legal proceeding, shall not be disclosed to other persons (other than legal advisors engaged by Blockbuster). In addition, each of Viacom and Blockbuster
shall cause its employees, agents and advisors to comply with the terms of this Section 13. 
  
 14. Successors and Access to Information. 
  
 The Agreement shall be binding upon and inure to the benefit of any successor to any of the parties, by merger, acquisition of assets or otherwise, to the same extent as if the successor had been an original party to
the Agreement. If for any taxable year the Blockbuster Consolidated Group is no longer included in the Viacom Consolidated Group, Viacom and Blockbuster agree to provide to the other party any information reasonably required to complete tax returns
for taxable periods beginning after the Blockbuster Consolidated Group is no longer included in a Viacom Consolidated Return, and each of Viacom and Blockbuster will cooperate with respect to any audits or litigation relating to any Viacom
Consolidated Return. 
  
 15. Notices. 
  
 Any notice or communication required or permitted to be given under the
Agreement shall be in writing (including facsimile) and emailed, faxed or delivered via overnight delivery service to the parties at the following addresses (or at such other address as one party may specify by notice to the other party):

  
 If to Viacom to: 
  
 Viacom Inc. 
 1515 Broadway 
 New York, NY 10036 

Attention: Jack Carpenter, Vice President & General Tax Counsel 
 Fax number: (212) 846-1315; Email: Jack.Carpenter@Viacom.com 
  

 14 

 If to Blockbuster: 
  
 Blockbuster Inc. 
 1201 Elm Street, Suite 2100 
 Dallas, TX 75270 
 Attention: Bruce Lewis, Vice President of Tax 
 Fax number (214) 854-4505; Email: Bruce.Lewis@Blockbuster.com

  
 All notices and communications shall be deemed effective (i)
one business day after sending by next-day delivery service with confirmation of receipt or (ii) when confirmed by facsimile answerback, if transmitted by facsimile. For purposes of the Agreement, “business day” means any day that is not a
Saturday, Sunday or legal holiday in the State of New York. 
  
 16. Governing Law. 
  
 The Agreement shall be
governed by and construed in accordance with the laws of New York excluding (to the greatest extent permissible by law) any rule of law that would cause the application of the laws of any jurisdiction other than the State of New York. 
  
 17. Headings. 
  
 The headings in the Agreement are for convenience only and shall not be
deemed for any purpose to constitute a part or to affect the interpretation of the Agreement. 
  
 18. Counterparts. 
  
 The
Agreement may be executed simultaneously in two or more counterparts, each of which will be deemed an original, and it shall not be necessary in making proof of the Agreement to produce or account for more than one counterpart. 
  
 19. Severability. 
  
 If any provision of the Agreement is held to be unenforceable for any reason,
it shall be adjusted rather than voided, if possible, in order to achieve the intent of the parties to the maximum extent practicable. In any event, all other provisions of the Agreement shall be deemed valid, binding, and enforceable to their full
extent. 
  
 20. Termination. 
  
 The Agreement shall remain in force and be binding so long as the applicable
period of assessments (including extensions) remains unexpired for any taxes contemplated by the Agreement; provided, however, that neither Viacom nor Blockbuster shall have any liability to the other party with respect to tax
liabilities for taxable years in which the Blockbuster Consolidated Group is not included in the Viacom Consolidated Returns except as provided in Sections 4, 11, and 12 of this Agreement. 
  

 15 

 21. Successor Provisions. 
  
 Any reference herein to any provisions of the Code or Treasury Regulations shall be deemed to include any amendments or
successor provisions thereto as appropriate. 
  
 22. Compliance
by Subsidiaries. 
  
 Viacom and Blockbuster each agree to
cause all members of the Viacom Consolidated Group and the other Blockbuster Entities, respectively, including predecessors and successors to such members and Blockbuster Entities, to comply with the terms of the Agreement. 
  
 23. Entire Agreement. 
  
 As of the Effective Date, the Prior Agreement is hereby terminated and is of
no effect, and this Agreement thereafter shall constitute the entire agreement of the parties hereto with respect to the subject matter hereof and thereof and shall supersede all prior agreements and undertakings, both written and oral, between the
parties with respect to the subject matter hereof and thereof; provided, however, that the Prior Agreement shall continue to govern and be binding on the parties hereto or their respective successors or permitted assigns, with respect
to any period prior to the Effective Date. 
  
 IN WITNESS WHEREOF,
each of the parties of the Agreement has caused the Agreement to be executed by its duly authorized officer on this date of June 18, 2004. 
  

			
	 VIACOM INC.

		
	 By:
	 	 /s/    JACK
CARPENTER        

	 Name:
	 	 Jack Carpenter

	 Title:
	 	 Vice President & General Tax Counsel

	
	 BLOCKBUSTER INC.

		
	 By:
	 	 /s/    EDWARD B.
STEAD        

	 Name:
	 	 Edward B. Stead

	 Title:
	 	 Executive Vice President and General
 Counsel

  

 16Amended and Restated 1986 Stock Option Incentive Plan of the J.M. Smucker Com.

 Exhibit 4.4 
  

AMENDED AND RESTATED 
 1986 STOCK
OPTION INCENTIVE PLAN OF 
 THE J.M. SMUCKER COMPANY 
  
 1. Purpose; Background. The purpose of the 1986 Stock Option Incentive Plan of The J.M. Smucker Company (the
“Plan”) is to enable The J.M. Smucker Company (the “Company”) and its subsidiaries to attract and retain competent officers and key employees by providing an opportunity to participate in the increased value of the Company that
the efforts and skills of such persons help produce. The Plan was initially approved by the stockholders of International Multifoods Corporation (“Multifoods”), a Delaware Corporation and the predecessor-in-interest to the Company, in
1986. On June 18, 2004, Multifoods merged with and into a subsidiary of the Company (the “Merger”) and the Company assumed the Plan. As of the date of the Merger, no further Awards shall be granted under the Plan, although outstanding
awards under the Plan continue to be exercisable. 
  
 2.
Administration. The Board of Directors of the Company shall designate a committee of Directors (the “Committee”) to administer the Plan. Each member of the Committee shall serve at the pleasure of the Board of Directors. From
time to time the Committee may grant stock options and stock appreciation rights (collectively, “Awards”) in accordance with the terms of the Plan to such eligible employees and covering such number of shares of the Common Stock of the
Company identified as such on the most recent balance sheet of the Company (“Stock”) as the Committee in its sole discretion may determine. The Committee is authorized to establish such rules and regulations and to appoint such agents as
it deems appropriate for the proper administration of the Plan, and to make any other determination and take any other action that the Committee deems necessary or desirable for administration of the Plan. Full power and authority to construe,
interpret and administer the Plan and any instrument or agreement entered into under the Plan shall be vested in the Committee, and decisions of the Committee shall be final, conclusive and binding upon all persons, including the Company, any
participant under the Plan (a “Participant”), any stockholder, and any employee. A majority of the members of the Committee may determine its actions and fix the time and place of its meetings. 
  
 3. Shares Subject to the Plan. Subject to adjustment as
provided in Section 12, an aggregate of 445,412 shares of Stock shall be available to Participants under the Plan. The grant of a stock option under Section 5 hereof shall reduce the available shares by the number of shares subjected to an option.
The grant of stock appreciation rights under Section 6 hereof shall reduce the available shares by the number of stock appreciation rights granted; provided, however, if stock appreciation rights are granted in conjunction with a stock option under
Section 5 hereof and the exercise of the option would cancel the stock appreciation rights and vice versa, then the grant of the stock appreciation rights will only reduce the amount available by the excess, if any, of the number of stock
appreciation rights granted over the number of shares subjected to the related option. The Shares of Stock deliverable upon the exercise of any Award may be made available from authorized but unissued shares or shares reacquired by the Company,
including shares purchased in the open market or in private transactions. If any Award granted under the Plan shall terminate for any reason other than pursuant to subsection (c) of Section 7, the shares of Stock subject to, but not delivered under,
such Award shall be available for other Awards. 
  
 4.
Eligibility. Officers and other key employees of the Company, who were formerly employed by Multifoods or any of its subsidiary corporations shall be eligible to participate in the Plan. The Committee may require any Participant to remain
in the employ of the Company or one of its present 

 or future subsidiary corporations (“Subsidiaries”) for a stated period or periods of time before an Award may
be exercised; provided that nothing in the Plan or in any Award Agreement (as defined in Section 8) shall confer upon any Participant any right to remain in the employ of the Company or any of its Subsidiaries, and nothing herein shall be
construed in any manner to interfere in any way with the right of the Company or its Subsidiaries to terminate such Participant’s employment at any time. 
  

5. Stock Options. (a) Subject to the provisions of subsection (e) of this Section 5, any stock option granted by the Committee may be either an
“incentive stock option” within the meaning of Section 422A of the Internal Revenue Code of 1954, as amended (the “Code”), or a nonqualified stock option, as the Committee shall determine. 
  

	 	(b)	The option price of the shares of Stock covered by each stock option shall not be less than 100% (75% in the case of nonqualified stock options) of the fair market value of
such shares on the date that such option is granted. 

  

	 	(c)	Subject to the other provisions of the Plan, any stock option may be exercised in whole or in part at such time or times, and the Participant may make payment of the option
price in such form or forms, including without limitation payment by delivery of Stock having a fair market value on the exercise date equal to the total option price, or by a combination of Stock and other consideration, as the Committee may
specify in the applicable Award Agreement. 

  

	 	(d)	No option that is an incentive stock option shall be exercisable while there is “outstanding” (within the meaning of Section 422A(c)(7) of the Code) any incentive
stock option to purchase stock of the Company, a corporation that (at the time of granting of such option) is a Subsidiary or a parent of the Company or a predecessor of any such corporation, which was granted (whether or not under this Plan) before
the granting of such incentive stock option to the Participant. 

  

	 	(e)	The aggregate fair market value (determined as of the date the option is granted) of the stock for which any Participant may be granted incentive stock options in any
calendar year under this Plan and any other plan of the Company (and any Subsidiary or any parent corporation of the Company) shall not exceed the sum of (i) $100,000 and (ii) any unused limit carryover calculated under Section 422A of the Code with
respect to such Participant. The foregoing limitations shall be modified from time to time to reflect any changes in Section 422A of the Code and any regulations promulgated thereunder setting forth such limitations. 

  

	 	(f)	Notwithstanding anything else contained herein, any stock option may be exercised at any time following the occurrence of a Designated Event (as defined in subsection (d) of
Section 6); provided that no stock option held by a person subject to the provisions of Section 16(b) of the Securities Exchange Act of 1934 (“Section 16(b)”) may be exercised earlier than six months after the date such stock option
is granted. 

  
 6. Stock Appreciation
Rights. (a) Stock appreciation rights granted under the Plan may, but need not, relate to a specific stock option granted under Section 5 hereof. Any stock appreciation right related to a nonqualified stock option may be granted at the same time
the stock option is granted or at any time thereafter before exercise or expiration of the stock option. Any stock appreciation right related to an incentive stock option must be granted at the same time the stock option is granted. Any 

 

 2 

 stock appreciation right related to any stock option shall be exercisable only to the extent the related stock option is
exercisable; provided that no stock appreciation right held by a person subject to the provisions of Section 16(b) shall be exercisable until six months after the date of its grant. 
  
 The Committee may impose such conditions or restrictions on the exercise of
stock appreciation rights as it shall deem appropriate. 
  

	 	(b)	Upon the exercise of each stock appreciation right the Company shall pay to the Participant the excess of (i) the fair market value of one share of Stock on the date of
exercise over (ii) the fair market value of one share of Stock on the date of grant (the “base value”). The Committee may, for administrative convenience, determine that any stock appreciation right (other than a stock appreciation right
related to an incentive stock option) exercised for cash during certain limited periods of time in order to satisfy the conditions of certain rules of the Securities and Exchange Commission shall be deemed for all purposes hereunder to have been
exercised on the day during such limited period on which the fair market value of the Stock was the highest. Any such payment by the Company may be made in cash, in shares of Stock (valued at fair market value on the date of exercise) or in a
combination thereof, as the Committee shall determine. 

  

	 	(c)	Notwithstanding anything else contained herein, any stock appreciation right may, in the sole discretion of the Committee, provide that (i) such stock appreciation right may
be exercised for cash at any time during the 30-day period immediately following the occurrence of a Designated Event (as defined in subsection (d) of this Section 6); provided that no stock appreciation right held by a person subject to the
provisions of Section 16(b) may be exercised earlier than six months after the date the stock appreciation right is granted, and (ii) upon the exercise of each such stock appreciation right, the Company shall pay to the Participant an amount
calculated in accordance with Section 6(b); provided that in the case of any stock appreciation right issued other than in connection with an incentive stock option the stock appreciation right may provide that the Company shall pay to the
Participant an amount equal to the excess of (1) the greater of (x) the highest price per share of Stock paid in any Offer (as hereinafter defined) in effect at any time during the 60-day period immediately preceding the date of exercise of the
stock appreciation right and (y) the highest fair market value per share of Stock during such 60-day period over (2) the base value. 

  

	 	(d)	For purposes of Sections 5 and 6, the following terms have the following meanings: 

  
 “Designated Event” means (i) any person (as such term is used in Section 13(d) of the Securities Exchange Act of
1934 (the “Act”)), together with its affiliates and associates (as defined in Rule 12b-2 under the Act), (other than any Participant) becoming the beneficial owner (as defined in Rule 13d-3 under the Act, modified to include, without
regard to the 60-day period referred to in such Rule, all shares that such person, affiliate or associate has the right to acquire pursuant to any agreement or arrangement, or upon exercise of conversion rights, warrants or options, or otherwise),
directly or indirectly, of 25% or more of the outstanding shares of Stock; (ii) the public disclosure of the first purchase of shares pursuant to an Offer; (iii) stockholder approval of any merger, consolidation or other business combination, or of
the sale or transfer of all or substantially all of the assets of the Company (provided that the Committee may, prior to any such stockholder approval, declare that such stockholder approval shall not constitute 
  

 3 

 a Designated Event); or (iv) a change in a majority of the Board of Directors of the Company within any
12-month period unless the election or the nomination for election by the Company’s stockholders of each new director was approved by a vote of at least two-thirds of the directors then still in office who were directors at the beginning of the
period. 
  
 “Offer” means any tender or exchange offer
by any person (other than the Company or any person controlled by the Company) to purchase 25% or more of the outstanding shares of Stock. 
  
 7. Term of Awards. The term of each Award shall be for such period of months or years from the date of its grant as may be determined by the
Committee; provided that in no event shall the term of any incentive stock option or any stock appreciation right related to any incentive stock option exceed a period of ten (10) years from the date of its grant nor shall the term of any
other Award exceed a period of ten (10) years and two (2) days from the date of its grant. Any Award shall be subject to earlier termination as follows: 
  

	 	(a)	Immediately upon termination of employment of the Participant to whom the Award is granted for any reason other than death; provided that if such termination of employment
occurs after the Participant has completed not less than one year of employment after the date the Award is granted and is voluntary on the part of the Participant, such Award shall not terminate, except by reason of the expiration of its term, for
(i) sixty (60) months after voluntary termination of employment due to normal retirement under any retirement plan of the Company or any Subsidiary, or due to early retirement with the written consent of the Company under any of such retirement
plans, or (ii) ninety (90) days (210 days for a Participant the Company deems to be subject to the provisions of Section 16(b)) after voluntary termination of employment for reasons other than retirement, with the written consent of the Company;
and, provided further, that notwithstanding the foregoing, upon termination of employment other than for Cause (as defined below), outstanding vested stock options shall be exercisable for a period of at least ninety (90) days following the date of
termination. 

  

	 	(b)	Immediately upon the death of the Participant to whom the Award is granted; provided that if the employment of the Participant has continued prior to his death for not
less than one year after the date the Award is granted and his death occurs while he is employed by the Company or any Subsidiary or during continuation of the Award following termination of his employment as above provided, such Award shall not
terminate until the earlier of one year after such death or the expiration of the term of the Award; and 

  

	 	(c)	Immediately upon the exercise of any related stock option or stock appreciation right, to the extent of such exercise. 

  
 For purposes of this Section 7, “Cause” shall mean gross and
willful misconduct during the course of employment, including, but not limited to, wrongful appropriation of funds or the commission of a gross misdemeanor or felony. 
  
 8. Award Agreement. Each Award under the Plan shall be evidenced by an award agreement (“Award Agreement”)
which shall be signed by a member of the Committee or by an officer or officers of the Company designated by the Committee and the Participant, shall contain such provisions 
  

 4 

	as	may be approved by the Commitee and may be supplemented and amended from time to time as approved by the Committee. 

  
 9. Non-Transferability of Awards. No Award shall be transferable
otherwise than by will or the laws of descent and distribution, and an Award may be exercised, during the lifetime of the Participant, only by the Participant. Any attempted assignment, transfer, pledge, hypothecation or other disposition of any
Award contrary to the provisions hereof, or the levy of any execution, attachment or similar process upon any Award shall be null and void and without effect. 
  

10. Delivery of Shares. No shares of Stock shall be delivered pursuant to any exercise of an Award hereunder until the requirements of such laws
and regulations as may be deemed by the Committee to be applicable thereto are satisfied. 
  
 11. Withholding. Prior to the delivery of certificates for shares of Stock, the Company or a Subsidiary shall have the right to require a payment from a Participant to cover any applicable withholding or other
employment taxes due upon the exercise of an Award. 
  
 12.
Adjustment of and Changes in Stock. In the event of a reorganization, recapitalization, stock split, stock dividend, combination of shares, merger, consolidation, distribution of assets, or any other changes in the corporate structure or stock
of the Company, the Committee shall make such adjustments as it deems appropriate in the number and kind of shares authorized by the Plan, in the number and kind of shares covered by the Awards granted and in the purchase price of outstanding stock
options. 
  
 13. No Rights of Stockholders. Neither a
Participant nor the Participant’s legal representative shall be, or have any of the rights and privileges of, a stockholder of the Company in respect of any shares receivable upon the exercise of any Award, in whole or in part, unless and until
certificates for such shares shall have been issued. 
  
 14.
Fair Market Value. For all purposes of the Plan, fair market value of the Common Stock on any date shall be the mean between the high and low sale price of Common Stock on The New York Stock Exchange, Inc., or its successor, for such date (or if
no sale took place on an exchange on such date, the mean between the high and low sale price on the most recent date on which a sale took place). 
  
 15. Amendments. The Plan and any Award Agreement under the Plan may be modified or amended by the Committee, as the Committee in its sole
discretion shall deem advisable at any time or from time to time; provided that the Committee may not adversely affect the rights of any Participant without the consent of such Participant and may not, without the authorization and approval
of stockholders: (i) increase the aggregate number of shares available for Awards hereunder, except as permitted by Section 12, (ii) reduce the minimum option price of any share hereunder except as permitted by Section 12, (iii) extend the maximum
period during which an Award may be exercised, (iv) change the Plan’s eligibility requirements, or (v) remove the Plan from any administration of the Committee. 
  
 16. Term of Plan. The Plan was initially approved by the stockholders of Multifoods in 1986. The Plan (but not stock
options or stock appreciation rights theretofore granted under the Plan) terminated on, and no stock options or stock appreciation rights shall be granted after, June 26, 1996. On June 18, 2004, Multifoods merged with and into a subsidiary of the
Company, and the Company assumed the Plan. Although no additional Awards may be made under the Plan, outstanding awards under the Plan continue to be exercisable. 
  

 5

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