Document:

RIGHTS AGREEMENT

 

BY AND BETWEEN

 

SWK HOLDINGS CORPORATION

 

AND

 

COMPUTERSHARE TRUST COMPANY,
N.A.,

 

AS RIGHTS AGENT

 

DATED AS OF APRIL 8, 2016

 

    	 

     

    

Table of Contents

 

	 	 	Page
	1.	Certain Definitions	3
	2.	Appointment of Rights Agent	7
	3.	Issuance of Right Certificates	8
	4.	Form of Right Certificates	10
	5.	Countersignature and Registration	10
	6.	Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right Certificates	11
	7.	Exercise of Rights; Purchase Price; Expiration Date of Rights	12
	8.	Cancellation and Destruction of Right Certificates	13
	9.	Company Covenants Concerning Securities and Rights	14
	10.	Record Date	15
	11.	Adjustment of Purchase Price, Number and Kind of Securities or Number of Rights	16
	12.	Certificate of Adjusted Purchase Price or Number of Securities	23
	13.	Consolidation, Merger or Sale or Transfer of Assets or Fanning Power	23
	14.	Fractional Rights and Fractional Securities	26
	15.	Rights of Action	28
	16.	Agreement of Rights Holders	28
	17.	Right Certificate Holder Not Deemed a Stockholder	29
	18.	Concerning the Rights Agent	29
	19.	Merger or Consolidation or Change of Name of Rights Agent	30
	20.	Duties of Rights Agent	30
	21.	Change of Rights Agent	33
	22.	Issuance of New Right Certificates	34
	23.	Redemption	34
	24.	Exchange	35
	25.	Notice of Certain Events	37
	26.	Notices	37
	27.	Supplements and Amendments	38
	28.	Successors: Certain Covenants	39
	29.	Benefits of This Agreement	39
	30.	Governing Law	39
	31.	Severability	39
	32.	Descriptive Headings	39
	33.	Determinations and Actions by the Board	39
	34.	Counterparts	40
	35.	Force Majeure	40

 

Exhibits

 

	EXHIBIT A  	-	Form of Certificate of Designation of Series A Junior Participating Preferred Stock 
	EXHIBIT B	-	Form of Right Certificate
	EXHIBIT C	-	Summary of Rights to Purchase Preferred Stock

 

    	 

     

    

RIGHTS AGREEMENT

 

This RIGHTS AGREEMENT,
dated as of April 8, 2016 (this “Agreement”), is made and entered into by and between SWK Holdings Corporation,
a Delaware corporation, and Computershare Trust Company, N.A., a federally chartered trust company, as Rights Agent.

 

RECITAL

 

WHEREAS, as of April
8, 2016, the Board of Directors of the Company authorized and declared a dividend distribution of one right (a “Right”)
for each share of Common Stock, par value $0.001 per share, of the Company (a “Common Share”) outstanding
as of the Close of Business (as hereinafter defined) on April 18, 2016 (the “Record Date”), each Right
initially representing the right to purchase one one-hundredth of a Preferred Share (as hereinafter defined), on the terms and
subject to the conditions herein set forth, and further authorized and directed the issuance of one Right (subject to adjustment
as provided herein) with respect to each Common Share issued or delivered by the Company (whether originally issued or delivered
from the Company’s treasury) after the Record Date but prior to the earlier of the Distribution Date (as hereinafter defined)
and the third anniversary of the Record Date or as provided in Section 22;

 

NOW, THEREFORE, in consideration
of the mutual agreements herein set forth, the parties hereto hereby agree as follows:

 

1.      
Certain Definitions. For purposes of this Agreement, the following terms have the meanings
indicated:

 

(a)       
“Acquiring Person” means any Person (other than the Company, any
Related Person or any Exempt Person) who or which, together with all Affiliates and Associates of such Person, the Board of Directors
of the Company knows to be the Beneficial Owner of 4.9% or more (but less than 50%) of the then-outstanding Common Shares;
provided, however, that (i) any Person who would otherwise qualify as an Acquiring Person as of the Close of Business
on April 8, 2016 or any Person who has ceased to be an Exempt Person as of a particular date by determination of the Company’s
Board of Directors will not be deemed to be an Acquiring Person for any purpose of this Agreement on and after such date unless
and until such time as (A) such Person or any Affiliate or Associate of such Person thereafter becomes, to the knowledge of the
Board, the Beneficial Owner of any additional Common Shares, other than as a result of a stock dividend, stock split or similar
transaction effected by the Company in which all holders of Common Shares are treated equally, or (B) any other Person who the
Board of Directors of the Company knows to be the Beneficial Owner of any Common Shares thereafter becomes, to the knowledge of
the Board of Directors of the Company, an Affiliate or Associate of such Person (such percentage subject to downward adjustment
if the Company’s Board of Directors, in its sole discretion, determines that such percentage increase will jeopardize or
endanger the availability to the Company of its NOLs), provided that the foregoing exclusion shall cease to apply with respect
to any Person at such time as such Person, together with all Affiliates and Associates of such Person, ceases to Beneficially Own
4.9% or more of the then-outstanding Common Shares and (ii) a Person will not be deemed to have become an Acquiring Person solely
as a result of a reduction in the number of Common Shares outstanding unless and until such time as (A) such Person or any Affiliate
or Associate of such Person thereafter becomes, to the knowledge of the Board of Directors of the Company, the Beneficial Owner
of any additional Common Shares, other than as a result of a stock dividend, stock split or similar transaction effected by the
Company in which all holders of Common Shares are treated equally, or (B) any other Person who is the Beneficial Owner of any Common
Shares thereafter becomes, to the knowledge of the Board of Directors, an Affiliate or Associate of such Person. Notwithstanding
the foregoing, the Board of Directors of the Company may, in its discretion, determine that a Person shall not be deemed to be
an Acquiring Person for purposes hereof for a period of up to five Business Days after the Board of Directors of the Company shall
have first received actual notice of the change of Beneficial Ownership described in the preceding sentence. Any knowledge of the
Board of Directors of the Company referred to in this paragraph as to the Beneficial Ownership of any Person may be based on filings
with the SEC and other public statements or disclosures by such Person, and the Board of Directors shall not have any duty to make
any further inquiry into the accuracy of such filings, statements and disclosures.

 

    	 	3	 

     

    

(b)      
“Affiliate” and “Associate” will have
the respective meanings ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under the Exchange Act, as in
effect on the date of this Agreement, and to the extent not included within the foregoing clause of this Section 1(b), shall also
include, with respect to any Person, any other Person (other than a Related Person or an Exempt Person) whose Common Shares would
be deemed constructively owned by such first Person pursuant to the provisions of Section 382 of the Internal Revenue Code of 1986,
as amended (the “Code”), or any successor provision or replacement provision, provided, however,
that a Person will not be deemed to be the Affiliate or Associate of another Person solely because either or both Persons are or
were Directors of the Company.

 

(c)      
A Person will be deemed the “Beneficial Owner” of, and to “Beneficially
Own,” any securities:

 

(i)      
the beneficial ownership of which such Person or any of such Person’s Affiliates or
Associates, directly or indirectly, has the right to acquire (whether such right is exercisable immediately or only after the passage
of time) pursuant to any agreement, arrangement or understanding (whether or not in writing), or upon the exercise of conversion
rights, exchange rights, warrants, options or other rights (in each case, other than upon exercise or exchange of the Rights);
provided, however, that a Person will not be deemed the Beneficial Owner of, or to Beneficially Own, securities tendered
pursuant to a tender or exchange offer made by or on behalf of such Person or any of such Person’s Affiliates or Associates
until such tendered securities are accepted for purchase or exchange; or

 

(ii)      
which such Person or any of such Person’s Affiliates or Associates, directly or indirectly,
has or shares the right to vote or dispose of, including pursuant to any agreement, arrangement or understanding (whether or not
in writing); or

 

    	 	4	 

     

    

(iii)      
of which any other Person is the Beneficial Owner, if such Person or any of such Person’s
Affiliates or Associates has any agreement, arrangement or understanding (whether or not in writing) with such other Person (or
any of such other Person’s Affiliates or Associates) with respect to acquiring, holding, voting or disposing of any securities
of the Company; provided, however, that a Person will not be deemed the Beneficial Owner of, or to Beneficially
Own, any security (A) if such Person has the right to vote such security pursuant to an agreement, arrangement or understanding
(whether or not in writing) which (1) arises solely from a revocable proxy given to such Person in response to a public proxy or
consent solicitation made pursuant to, and in accordance with, the applicable rules and regulations of the Exchange Act and (2)
is not also then reportable on Schedule 13D under the Exchange Act (or any comparable or successor report), or (B) if such beneficial
ownership arises solely as a result of such Person’s status as a “clearing agency,” as defined in Section 3(a)(23)
of the Exchange Act; provided further, however, that nothing in this Section 1(c) will cause a Person
engaged in business as an underwriter of securities to be the Beneficial Owner of, or to Beneficially Own, any securities acquired
through such Person’s participation in good faith in an underwriting syndicate until the expiration of 40 calendar days after
the date of such acquisition, or such later date as the Directors of the Company may determine in any specific case. Notwithstanding
anything herein to the contrary, to the extent not within the foregoing provisions of this Section 1(c), a Person shall be deemed
the “Beneficial Owner” of and shall be deemed to “beneficially own” or have “beneficial ownership”
of, and securities which such Person would be deemed to constructively own pursuant to Section 382 of the Code, or any successor
provision or replacement provision.

 

(d)      
“Business Day” means any day other than a Saturday, Sunday or a
day on which banking institutions in the States of New York or New Jersey are authorized or obligated by law or executive order
to close.

 

(e)       
“Carlson” shall mean Carlson Capital, L.P., a Delaware limited partnership.

 

(f)       
“Close of Business” on any given date means 5:00 p.m., Eastern time,
on such date; provided, however, that if such date is not a Business Day it means 5:00 p.m., Eastern time, on
the next succeeding Business Day.

 

(g)       
“Common Shares” when used with reference to the Company means the
shares of Common Stock, par value $0.001 per share, of the Company; provided, however, that if the Company is
the continuing or surviving corporation in a transaction described in Section 13(a)(ii), “Common Shares” when used
with reference to the Company means shares of the capital stock or units of the equity interests with the greatest aggregate voting
power of the Company. “Common Shares” when used with reference to any corporation or other legal entity other than
the Company, including an Issuer, means shares of the capital stock or units of the equity interests with the greatest aggregate
voting power of such corporation or other legal entity.

 

		(h)	“Company” means SWK Holdings Corporation,
a Delaware corporation.

 

(i)       
“Distribution Date” means the Close of Business on the tenth calendar
day following the Share Acquisition Date.

 

    	 	5	 

     

    

 

		(j)	“Exchange Act” means the Securities Exchange
Act of 1934, as amended.

 

(k)      
“Exempt Person” means a Person whose Beneficial Ownership (together
with all Affiliates and Associates of such Person) of 4.9% or more of the then-outstanding Common Shares will not, as determined
by the Company’s Board of Directors in its sole discretion, jeopardize or endanger the availability to the Company of its
NOLs, provided, however, that such a Person will cease to be an “Exempt Person” if the Board of Directors
makes a contrary determination with respect to the effect of such Person’s Beneficial Ownership (together with all Affiliates
and Associates of such Person) upon the availability to the Company of its NOLs; and provided further that Carlson
and its Affiliates and Associates shall each be considered an Exempt Person at all times, unless and until their collective Beneficial
Ownership of the then-outstanding Common Shares constitutes more than 76% of the then-outstanding Common Shares (with the definition
of Common Shares for purposes of this proviso being deemed to include Common Shares that a Person has the right to acquire, whether
or not such right is exercisable immediately).

 

(l)      
“Expiration Date” means the earliest of (i) the Close of Business
on the Final Expiration Date, (ii) the time at which the Rights are redeemed as provided in Section 23 and (iii) the time at which
all exercisable Rights are exchanged as provided in Section 24.

 

		(m)	“Final Expiration Date” means April 8,
2019.

 

		(n)	“Flip-in Event” means any Person becoming
an Acquiring Person.

 

(o)      
“Flip-over Event” means any event described in clauses (i), (ii)
or (iii) of Section 13(a).

 

		(p)	“Issuer” has the meaning set forth in Section
13(b).

 

		(q)	“Nasdaq” means The Nasdaq Stock Market.

 

		(r)	“NOLs” means the Company’s net operating
loss carryforwards.

 

(s)      
“Person” means any individual, firm, corporation or other legal
entity, and includes any successor (by merger or otherwise) of such entity.

 

(t)      
“Preferred Shares” means shares of Series A Junior Participating
Preferred Stock, par value $0.001 per share, of the Company having the rights and preferences set forth in the form of Certificate
of Designation of Series A Junior Participating Preferred Stock attached as Exhibit A. 

 

(u)      
“Purchase Price” means initially $50.00 per one one-hundredth of
a Preferred Share, subject to adjustment from time to time as provided in this Agreement. 

 

		(v)	“Record Date” has the meaning set forth
in the Recital to this Agreement.

 

    	 	6	 

     

    

(w)       
“Redemption Price” means $0.0001 per Right, subject to adjustment
by resolution of the Board of Directors of the Company to reflect any stock split, stock dividend or similar transaction occurring
after the Record Date.

 

(x)       
“Related Person” means (i) any Subsidiary of the Company or (ii)
any employee benefit or stock ownership plan of the Company or of any Subsidiary of the Company or any entity holding Common Shares
for or pursuant to the terms of any such plan.

 

		(y)	“Right” has the meaning set forth in the
Recitals to this Agreement.

 

(z)        
“Right Certificates” means certificates evidencing the Rights, in
substantially the form attached as Exhibit B.

 

(aa)      
“Rights Agent” means Computershare Trust Company, N.A., a federally
chartered trust company, unless and until a successor Rights Agent has become such pursuant to the terms of this Agreement, and
thereafter, “Rights Agent” means such successor Rights Agent.

 

(aa)      “Securities Act”
means the Securities Act of 1933, as amended.

 

(bb)      “Share
Acquisition Date” means the first date of public announcement by the Company (by press release, filing made with
the Securities and Exchange Commission or otherwise) that an Acquiring Person has become such.

 

(cc)      “Subsidiary”
when used with reference to any Person means any corporation or other legal entity of which a majority of the voting power of the
voting equity securities or equity interests is owned, directly or indirectly, by such Person; provided, however,
that for purposes of Section 13(b), “Subsidiary” when used with reference to any Person means any corporation or other
legal entity of which at least 20% of the voting power of the voting equity securities or equity interests is owned, directly or
indirectly, by such Person.

 

(dd)      “Trading
Day” means any day on which the principal national securities exchange on which the Common Shares are listed or admitted
to trading is open for the transaction of business or, if the Common Shares are not listed or admitted to trading on any national
securities exchange, a Business Day.

 

(ee)      “Triggering Event”
means any Flip-in Event or Flip-over Event.

 

2.      
Appointment of Rights Agent. The Company hereby appoints the Rights Agent to act as
agent for the Company in accordance with the express terms and conditions hereof (and no implied terms and conditions), and the
Rights Agent hereby accepts such appointment. The Company may from time to time appoint Co-Rights Agents as it may deem necessary
or desirable, upon ten (10) days’ prior written notice to the Rights Agent. Prior to the appointment of a Co-Rights Agent,
the specific duties and obligations of each such Co-Rights Agents shall be set forth in writing and delivered to the Rights Agent
and the proposed Co-Rights Agent. Any actions which may be taken by the Rights Agent pursuant to the terms of this Agreement may
be taken by any such Co-Rights Agent. To the extent that any Co-Rights Agent takes any action pursuant to this Agreement, such
Co-Rights Agent will be entitled to all of the rights and protections of, and subject to all of the applicable duties and obligations
imposed upon, the Rights Agent pursuant to the terms of this Agreement. The Rights Agent shall have no duty to supervise, and in
no event shall be liable for, the acts or omissions of any such Co-Rights Agent.

 

    	 	7	 

     

    

 

		3.	Issuance of Right Certificates.

 

(a)      
Until the Distribution Date, (i) the Rights will be evidenced by the certificates representing
Common Shares registered in the names of the record holders thereof, which certificates representing Common Shares will also be
deemed to be Right Certificates (or, in the case of uncertificated Common Shares registered in book entry form, by notation in
accounts reflecting the ownership of such Common Shares), (ii) the Rights will be transferable only in connection with the transfer
of the underlying Common Shares and (iii) the surrender for transfer of any certificates evidencing Common Shares in respect of
which Rights have been issued will also constitute the transfer of the Rights associated with the Common Shares evidenced by such
certificates. On or as promptly as practicable after the Record Date, the Company will send by first class, postage prepaid mail,
to each record holder of Common Shares as of the Close of Business on the Record Date, at the address of such holder shown on the
records of the Company as of such date, a copy of a Summary of Rights to Purchase Preferred Stock in substantially the form attached
as Exhibit C.

 

(b)      
Rights will be issued by the Company in respect of all Common Shares (other than Common Shares
issued upon the exercise or exchange of any Right) issued or delivered by the Company (whether originally issued or delivered from
the Company’s treasury) after the Record Date but prior to the earlier of the Distribution Date and the Expiration Date.
Certificates evidencing such Common Shares will have stamped on, impressed on, printed on, written on, or otherwise affixed to
them the following legend, or such similar legend as the Company may deem appropriate and as is not inconsistent with the provisions
of this Agreement, or as may be required to comply with any applicable law or with any rule or regulation made pursuant thereto
or with any rule or regulation of any stock exchange or transaction reporting system on which the Common Shares may from time to
time be listed or quoted, or to conform to usage:

 

This Certificate also evidences and entitles
the holder hereof to certain Rights as set forth in a Rights Agreement between SWK Holdings Corporation and Computershare Trust
Company, N.A., (or any Successor Rights Agent) dated as of April 8, 2016 (as the same may be amended, modified or supplemented
from time to time, the “Rights Agreement”), the terms of which are hereby incorporated herein by reference
and a copy of which is on file at the principal executive offices of SWK Holdings Corporation. The Rights are not exercisable prior
to the occurrence of certain events specified in the Rights Agreement. Under certain circumstances, as set forth in the Rights
Agreement, such Rights may be redeemed, may be exchanged, may expire, may be amended or may be evidenced by separate certificates
and no longer be evidenced by this Certificate. SWK Holdings Corporation will mail to the holder of this Certificate a copy of
the Rights Agreement, as in effect on the date of mailing, without charge promptly after receipt of a written request therefor.
Under certain circumstances as set forth in the Rights Agreement, Rights that are or were beneficially owned by an Acquiring Person
or any Affiliate or Associate of an Acquiring Person (as such terms are defined in the Rights Agreement) may become null and void.

 

    	 	8	 

     

    

(c)      
Any Right Certificate issued pursuant to this Section 3 that represents Rights beneficially
owned by an Acquiring Person or any Associate or Affiliate thereof and any Right Certificate issued at any time upon the transfer
of any Rights to an Acquiring Person or any Associate or Affiliate thereof or to any nominee of such Acquiring Person, Associate
or Affiliate and any Right Certificate issued pursuant to Section 6 or 11 hereof upon transfer, exchange, replacement or adjustment
of any other Right Certificate referred to in this sentence, shall be subject to and contain the following legend (except that
Certificates issued after the date of this Amended and Restated Rights Agreement shall refer to this Agreement as amended and restated),
or such similar legend as the Company may deem appropriate and as is not inconsistent with the provisions of this Agreement, or
as may be required to comply with any applicable law or with any rule or regulation made pursuant thereto or with any rule or regulation
of any stock exchange on which the Rights may from time to time be listed, or to conform to usage:

 

The Rights represented by this Right Certificate
are or were beneficially owned by a Person who was an Acquiring Person or an Affiliate or an Associate of an Acquiring Person (as
such terms are defined in the Rights Agreement). This Right Certificate and the Rights represented hereby may become null and void
in the circumstances specified in Section 11(a)(ii) or Section 13 of the Rights Agreement.

 

(d)       
On or as promptly as practicable after the Distribution Date, the Company will prepare and
execute, the Rights Agent will countersign and the Company will send or cause to be sent (and the Rights Agent will, if requested
in writing by the Company and if provided with all necessary and relevant information and documentation, send), by first class,
insured, postage prepaid mail, to each record holder of Common Shares as of the Close of Business on the Distribution Date, at
the address of such holder shown on the records of the Company, a Right Certificate evidencing one Right for each Common Share
so held, subject to adjustment as provided herein. As of and after the Distribution Date, the Rights will be evidenced solely by
such Right Certificates. The Company shall promptly notify the Rights Agent in writing upon the occurrence of the Distribution
Date and, if such notification is given orally, the Company shall confirm same in writing on or prior to the Business Day next
following. Until such notice is received by the Rights Agent, the Rights Agent may presume conclusively that the Distribution Date
has not occurred.

 

(e)      
In the event that the Company purchases or otherwise acquires any Common Shares after the
Record Date but prior to the Distribution Date, any Rights associated with such Common Shares will be deemed canceled and retired
so that the Company will not be entitled to exercise any Rights associated with the Common Shares so purchased or acquired.

 

    	 	9	 

     

    

(f)       
The Company shall give written notice to the Rights Agent promptly after it becomes aware
of the existence of any Acquiring Person, and until such written notice is received by the Rights Agent, the Rights Agent may presume
for all purposes that no such Acquiring Person exists.

 

4.      
Form of Right Certificates. The Right Certificates (and the form of election to purchase
and the form of assignment to be printed on the reverse thereof) will be substantially in the form attached as Exhibit B with such
changes and marks of identification or designation, and such legends, summaries or endorsements printed thereon, as the Company
may deem appropriate (but which do not affect the rights, duties, liabilities, protections or responsibilities of the Rights Agent)
and as are not inconsistent with the provisions of this Agreement, or as may be required to comply with any applicable law or with
any rule or regulation made pursuant thereto or with any rule or regulation of any stock exchange or transaction reporting system
on which the Rights may from time to time be listed or quoted, or to conform to usage. Subject to the provisions of Section 22,
the Right Certificates, whenever issued, on their face will entitle the holders thereof to purchase such number of one one-hundredths
of a Preferred Share as are set forth therein at the Purchase Price set forth therein, but the Purchase Price, the number and kind
of securities issuable upon exercise of each Right and the number of Rights outstanding will be subject to adjustment as provided
herein.

 

		5.	Countersignature and Registration.

 

(a)      
The Right Certificates will be executed on behalf of the Company by its Chairman of the Board
of Directors, its Chief Executive Officer, President or any Vice President, either manually or by facsimile signature, and will
have affixed thereto the Company’s seal or a facsimile thereof which will be attested by the Secretary or an Assistant Secretary
of the Company, either manually or by facsimile signature. The Right Certificates will be countersigned by the Rights Agent, either
manually or by facsimile signature, and will not be valid for any purpose unless so countersigned. In case any officer of the Company
who signed any of the Right Certificates ceases to be such officer of the Company before countersignature by the Rights Agent and
issuance and delivery by the Company, such Right Certificates, nevertheless, may be countersigned by the Rights Agent, and issued
and delivered by the Company with the same force and effect as though the person who signed such Right Certificates had not ceased
to be such officer of the Company; and any Right Certificate may be signed on behalf of the Company by any person who, at
the actual date of the execution of such Right Certificate, is a proper officer of the Company to sign such Right Certificate,
although at the date of the execution of this Rights Agreement any such person was not such officer.

 

    	 	10	 

     

    

(b)      
On or after the Distribution Date, receipt by the Rights Agent of notice to that effect and
all other relevant information referred to in Section 3(d), the Rights Agent will keep or cause to be kept, at the office of the
Rights Agent designated for such purpose and at such other offices as may be required to comply with any applicable law or with
any rule or regulation made pursuant thereto or with any rule or regulation of any stock exchange or any transaction reporting
system on which the Rights may from time to time be listed or quoted, books for registration and transfer of the Right Certificates
issued hereunder. Such books will show the names and addresses of the respective holders of the Right Certificates, the number
of Rights evidenced on its face by each of the Right Certificates and the date of each of the Right Certificates.

 

		6.	Transfer, Split Up, Combination and Exchange of Right Certificates;
Mutilated, Destroyed, Lost or Stolen Right Certificates.

 

(a)      
Subject to the provisions of Sections 7(d) and 14, at any time on or after the Distribution
Date and prior to the Expiration Date, any Right Certificate or Right Certificates representing exercisable Rights may be transferred,
split up, combined or exchanged for another Right Certificate or Right Certificates, entitling the registered holder to purchase
a like number of one one-hundredths of a Preferred Share (or other securities, as the case may be) as the Right Certificate or
Right Certificates surrendered then entitled such holder (or former holder in the case of a transfer) to purchase. Any registered
holder desiring to transfer, split up, combine or exchange any such Right Certificate or Rights Certificates must make such request
in a writing delivered to the Rights Agent and must surrender the Right Certificate or Right Certificates to be transferred, split
up, combined or exchanged at the office of the Rights Agent designated for such purpose. The Right Certificates are transferable
only on the registry books of the Rights Agent. Neither the Rights Agent nor the Company shall be obligated to take any action
whatsoever with respect to the transfer of any such surrendered Right Certificate or Certificates until the registered holder thereof
shall have (i) completed and signed the certificate contained in the form of assignment set forth on the reverse side of each such
Right Certificate, (ii) provided such additional evidence of the identity of the Beneficial Owner (or former Beneficial Owner)
thereof and of the Rights evidenced thereby and the Affiliates and Associates of such Beneficial Owner (or former Beneficial Owner)
as the Company or the Rights Agent shall reasonably request and (iii) paid a sum sufficient to cover any tax or charge that may
be imposed in connection with any transfer, split up, combination or exchange of Right Certificates as required by Section 9(d)
hereof. Thereupon the Rights Agent shall countersign and deliver to the Person entitled thereto a Right Certificate or Right Certificates,
as the case may be, as so requested, registered in such name or names as may be designated by the surrendering registered holder.
The Rights Agent shall promptly forward any such sum collected by it to the Company or to such Persons as the Company shall specify
by written notice. The Rights Agent will not have any duty or obligation to take any action pursuant to any Section of this Agreement
that requires the payment of taxes or charges or related to the issuance or delivery of Rights Certificates unless and until it
is satisfied that all such taxes and/or governmental charges have been paid.

 

(b)      
Upon receipt by the Company and the Rights Agent of evidence reasonably satisfactory to them
of the loss, theft, destruction or mutilation of a Right Certificate and, in case of loss, theft or destruction, of indemnity or
security satisfactory to them, and, if requested by the Company, reimbursement to the Company and the Rights Agent of all reasonable
expenses incidental thereto, and upon surrender to the Rights Agent and cancellation of the Right Certificate if mutilated, the
Company will prepare, execute and deliver a new Right Certificate of like tenor to the Rights Agent and the Rights Agent will countersign
and deliver such new Right Certificate to the registered holder in lieu of the Right Certificate so lost, stolen, destroyed or
mutilated.

 

    	 	11	 

     

    

 

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

 

(a)      
The registered holder of any Right Certificate may exercise the Rights evidenced thereby (except
as otherwise provided herein) in whole or in part at any time on or after the Distribution Date and prior to the Expiration Date,
upon surrender of the Right Certificate, with the form of election to purchase on the reverse side thereof duly executed, to the
Rights Agent at the office or offices of the Rights Agent designated for such purpose, together with payment in cash, in lawful
money of the United States of America by certified check or bank draft payable to the order of the Company, equal to the sum of
(i) the Purchase Price for the total number of securities as to which such surrendered Rights are exercised and (ii) an amount
equal to any applicable tax or charge required to be paid by the holder of such Right Certificate in accordance with the provisions
of Section 9(d). Except for those provisions herein that expressly survive the termination of this Agreement, this Agreement shall
terminate upon the earlier of the Expiration Date and such time as all outstanding Rights have been exercised, redeemed or exchanged
hereunder.

 

(b)      
Upon receipt of a Right Certificate representing exercisable Rights with the form of election
to purchase duly and properly executed, accompanied by payment of the Purchase Price for the shares to be purchased and an amount
equal to any applicable tax or charge required to be paid under Section 9(d) hereof by certified check, cashier’s check,
bank draft or money order payable to the order of the Company, the Rights Agent will promptly (i) (A) requisition from any transfer
agent of the Preferred Shares certificates representing the number of one one-hundredths of a Preferred Share to be purchased (and
the Company hereby irrevocably authorizes and directs its transfer agent to comply with all such requests) or (B), if the Company
elects to deposit Preferred Shares issuable upon exercise of the Rights hereunder with a depositary agent, requisition from the
depositary agent depositary receipts representing such number of one one-hundredths of a Preferred Share as are to be purchased
(and the Company hereby irrevocably authorizes and directs such depositary agent to comply with all such requests), (ii) after
receipt of such certificates (or depositary receipts, as the case may be), cause the same to be delivered to or upon the order
of the registered holder of such Right Certificate, registered in such name or names as may be designated by such holder, (iii)
when necessary to comply with this Agreement, requisition from the Company or any transfer agent therefor certificates representing
the number of equivalent common shares to be issued in lieu of the issuance of Common Shares in accordance with the provisions
of Section 11 (a)(iii), (iv) when necessary to comply with this Agreement, after receipt of such certificates, cause the same to
be delivered to or upon the order of the registered holder of such Right Certificate, registered in such name or names as may be
designated by such holder, (v) when necessary to comply with this Agreement, requisition from the Company the amount of cash to
be paid in lieu of the issuance of fractional shares in accordance with the provisions of Section 14 or in lieu of the issuance
of Common Shares in accordance with the provisions of Section 11 (a)(iii), (vi) when necessary to comply with this Agreement, after
receipt, deliver such cash to or upon the order of the registered holder of such Right Certificate and (vii) when necessary to
comply with this Agreement, deliver any due bill or other instrument provided to the Rights Agent by the Company for delivery to
the registered holder of such Right Certificate as provided by Section 11(1).

 

    	 	12	 

     

    

(c)      
In case the registered holder of any Right Certificate exercises less than all the Rights
evidenced thereby, the Rights Agent will prepare, execute and deliver a new Right Certificate evidencing Rights equivalent to the
Rights remaining unexercised to the registered holder of such Right Certificate or to his duly authorized assigns, subject to the
provisions of Section 14 hereof.

 

(d)       
The Rights will expire on Final Expiration Date unless earlier redeemed or exchanged.

 

(e)      
Notwithstanding anything to the contrary in this Agreement or in the Rights, in no event shall
any Person be entitled to exercise any Rights to the extent (but only to the extent) that such Rights, or the exercise thereof,
would result in such Person being or becoming an Acquiring Person (in which event such Rights may, if then exercisable, be exercised
to purchase a number of shares as is one less than the number that would result in such Person being or becoming an Acquiring Person).

 

(f)      
Notwithstanding anything in this Agreement to the contrary, neither the Rights Agent nor the
Company will be obligated to undertake any action with respect to any purported transfer, split up, combination or exchange of
any Right Certificate pursuant to Section 6 or exercise of a Right Certificate as set forth in this Section 7 unless the registered
holder of such Right Certificate has (i) duly and properly completed and signed the certificate following the form of assignment
or the form of election to purchase, as applicable, set forth on the reverse side of the Right Certificate surrendered for such
transfer, split up, combination, exchange or exercise and (ii) provided such additional evidence of the identity of the Beneficial
Owner (or former Beneficial Owner) thereof and of the Rights evidenced thereby and Affiliates and Associates thereof as the Company
or the Rights Agent may reasonably request.

 

8.      
Cancellation and Destruction of Right Certificates. All Right Certificates surrendered
for the purpose of exercise, transfer, split up, combination or exchange will, if surrendered to the Company or to any of its stock
transfer agents, be delivered to the Rights Agent for cancellation or in canceled form, or, if surrendered to the Rights Agent,
will be canceled by it, and no Right Certificates will be issued in lieu thereof except as expressly permitted by the provisions
of this Agreement. The Company will deliver to the Rights Agent for cancellation and retirement, and the Rights Agent will so cancel
and retire, any other Right Certificate purchased or acquired by the Company otherwise than upon the exercise thereof. The Rights
Agent will deliver all canceled Right Certificates to the Company, or will, at the written request of the Company, destroy such
canceled Right Certificates, and in such case will deliver a certificate of destruction thereof to the Company.

 

    	 	13	 

     

    

9.         
Company Covenants Concerning Securities and Rights. The Company covenants and agrees
that:

 

(a)      
It will cause to be reserved and kept available out of its authorized and unissued Preferred
Shares or any Preferred Shares held in its treasury, a number of Preferred Shares that will be sufficient to permit the exercise
in full of all outstanding Rights in accordance with Section 7.

 

(b)      
So long as the Preferred Shares (and, following the occurrence of a Triggering Event, Common
Shares and/or other securities) issuable upon the exercise of the Rights may be listed on a national securities exchange, or quoted
on Nasdaq, it will endeavor to cause, from and after such time as the Rights become exercisable, all securities reserved for issuance
upon the exercise of Rights to be listed on such exchange, or quoted on Nasdaq, upon official notice of issuance upon such exercise.

 

(c)      
It will take all such action as may be necessary to ensure that all Preferred Shares (and,
following the occurrence of a Triggering Event, Common Shares and/or other securities) delivered upon exercise of Rights, at the
time of delivery of the certificates for such securities, will be (subject to payment of the Purchase Price) duly authorized, validly
issued, fully paid and non-assessable securities.

 

(d)      
It will pay when due and payable any and all taxes and charges that may be payable in respect
of the issuance or delivery of the Right Certificates and of any certificates representing securities issued upon the exercise
of Rights; provided, however, that the Company will not be required to pay any tax or charge which may be payable in respect
of any transfer or delivery of Right Certificates to a person other than, or the issuance or delivery of certificates or depositary
receipts representing securities issued upon the exercise of Rights in a name other than that of, the registered holder of the
Right Certificate evidencing Rights surrendered for exercise, or to issue or deliver any certificates or depositary receipts representing
securities issued upon the exercise of any Rights until any such tax or charge has been paid (any such tax or charge being payable
by the holder of such Right Certificate at the time of surrender) or until it has been established to the Company’s and the
Rights Agent’s reasonable satisfaction that no such tax is due.

 

(e)      
If the Company determines that registration under the Securities Act is required, then the
Company shall use its best efforts (i) to file, as soon as practicable following the later of the Share Acquisition Date and the
Distribution Date, on an appropriate form, a registration statement under the Securities Act with respect to the securities issuable
upon exercise of the Rights, (ii) to cause such registration statement to become effective as soon as practicable after such filing
and (iii) to cause such registration statement to remain effective (with a prospectus at all times meeting the requirements of
the Securities Act) until the earlier of (A) the date as of which the Rights are no longer exercisable for such securities and
(B) the Expiration Date. The Company will also take such action as may be appropriate under, or to ensure compliance with, the
securities or “blue sky” laws of the various states in connection with the exercisability of the Rights. The Company
may suspend the exercisability of the Rights in order to prepare and file such registration statement and to permit it to become
effective or to qualify the Rights, the exercise thereof or the issuance of Company Common Shares upon the exercise thereof under
state securities or “blue sky” laws. Upon any such suspension, the Company will issue a public announcement stating
that the exercisability of the Rights has been suspended, as well as a public announcement at such time as the suspension is no
longer in effect. The Company shall notify the Rights Agent in writing whenever it makes a public announcement pursuant to this
Section 9(e) and give the Rights Agent a copy of such announcement. In addition, if the Company determines that a registration
statement or other document should be filed under the Securities Act or any state securities laws following the Distribution Date,
the Company may suspend the exercisability of the Rights in each relevant jurisdiction until such time as a registration statement
has been declared effective or any such other document filed and, if required, approved, and, upon any such suspension, the Company
will issue a public announcement stating that the exercisability of the Rights has been suspended, as well as a public announcement
at such time as the suspension is no longer in effect and the Company shall notify the Rights Agent in writing whenever it makes
such public announcements. Notwithstanding anything in this Agreement to the contrary, the Rights will not be exercisable in any
jurisdiction if the requisite registration or qualification in such jurisdiction has not been effected or the exercise of the Rights
is not permitted under applicable law.

 

    	 	14	 

     

    

(f)      
Notwithstanding anything in this Agreement to the contrary, after the later of the Share Acquisition
Date and the Distribution Date, the Company will not take (or permit any Subsidiary to take) any action if at the time such action
is taken it is reasonably foreseeable that such action will eliminate or otherwise diminish the benefits intended to be afforded
by the Rights.

 

(g)      
In the event that the Company is obligated to issue other securities of the Company and/or
pay cash pursuant to Section 11, 13, 14 or 24 it will make all arrangements necessary so that such other securities and/or cash
are available for distribution by the Rights Agent, if and when necessary to comply with this Agreement.

 

10.      
Record Date. Each Person in whose name any certificate representing Preferred Shares
(or Common Shares and/or other securities, as the case may be) is issued upon the exercise of Rights will for all purposes be deemed
to have become the holder of record of the Preferred Shares (or Common Shares and/or other securities, as the case may be) represented
thereby on, and such certificate will be dated, the date upon which the Right Certificate evidencing such Rights was duly surrendered
and payment of the Purchase Price (and all applicable transfer taxes) was made; provided, however, that if the
date of such surrender and payment is a date upon which the transfer books of the Company for the Preferred Shares (or Common Shares
and/or other securities, as the case may be) are closed, such Person will be deemed to have become the record holder of such securities
on, and such certificate will be dated, the next succeeding Business Day on which the transfer books of the Company for the Preferred
Shares (or Common Shares and/or other securities, as the case may be) are open. Prior to the exercise of the Rights evidenced thereby,
the holder of a Right Certificate will not be entitled to any rights of a holder of any security for which the Rights are or may
become exercisable, including, without limitation, the right to vote, to receive dividends or other distributions, or to exercise
any preemptive rights, and will not be entitled to receive any notice of any proceedings of the Company, except as provided herein.

 

    	 	15	 

     

    

11.       
Adjustment of Purchase Price, Number and Kind of Securities or Number of Rights. The
Purchase Price, the number and kind of securities issuable upon exercise of each Right and the number of Rights outstanding are
subject to adjustment from time to time as provided in this Section 11.

 

(a)      
(i)      In the event that the Company at any time after the Record Date (A) declares a dividend
on the Preferred Shares payable in Preferred Shares, (B) subdivides the outstanding Preferred Shares, (C) combines the outstanding
Preferred Shares into a smaller number of Preferred Shares or (D) issues any shares of its capital stock in a reclassification
of the Preferred Shares (including any such reclassification in connection with a consolidation or merger in which the Company
is the continuing or surviving corporation), except as otherwise provided in this Section 11(a), the Purchase Price in effect at
the time of the record date for such dividend or of the effective date of such subdivision, combination or reclassification and/or
the number and/or kind of shares of capital stock issuable on such date upon exercise of a Right, will be proportionately adjusted
so that the holder of any Right exercised after such time is entitled to receive upon payment of the Purchase Price then in effect
the aggregate number and kind of shares of capital stock which, if such Right had been exercised immediately prior to such date
and at a time when the transfer books of the Company for the Preferred Shares were open, the holder of such Right would have owned
upon such exercise (and, in the case of a reclassification, would have retained after giving effect to such reclassification )
and would have been entitled to receive by virtue of such dividend, subdivision, combination or reclassification; provided,
however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par
value of the shares of capital stock issuable upon exercise of one Right. If an event occurs which would require an adjustment
under both this Section 11 (a)(i) and Section 11(a)(ii) or Section 13, the adjustment provided for in this Section 11 (a)(i) will
be in addition to, and will be made prior to, any adjustment required pursuant to Section 11 (a)(ii) or Section 13.

 

    	 	16	 

     

    

(ii)      
Subject to the provisions of Section 24, if any Person becomes an Acquiring Person, then,
and in each such case, from and after the Distribution Date, proper provision will be made so that each holder of a Right, except
as provided below, will thereafter have the right to receive, upon exercise thereof in accordance with the terms of this Agreement
at an exercise price per Right equal to the product of the then-current Purchase Price multiplied by the number of one one-hundredths
of a Preferred Share for which a Right was exercisable immediately prior to the date of the occurrence of such Flip-in Event (or,
if any other Flip-in Event shall have previously occurred, the product of the then-current Purchase Price multiplied by the number
of one one-hundredths of a Preferred Share for which a Right was exercisable immediately prior to the date of the first occurrence
of a Flip-in Event), in lieu of Preferred Shares, such number of Common Shares as equals the result obtained by (x) multiplying
the then-current Purchase Price by the number of one one-hundredths of a Preferred Share for which a Right was exercisable immediately
prior to the date of the occurrence of such Flip-in Event (or, if any other Flip-in Event shall have previously occurred, multiplying
the then-current Purchase Price by the number of one one-hundredths of a Preferred Share for which a Right was exercisable immediately
prior to the date of the first occurrence of a Flip-in Event), and dividing that product by (y) 50% of the current per share market
price of the Common Shares (determined pursuant to Section 11(d)) on the date of the occurrence of such Flip-in Event. Notwithstanding
anything in this Agreement to the contrary, from and after the first occurrence of a Flip-in Event, any Rights that are Beneficially
Owned by (A) any Acquiring Person (or any Affiliate or Associate of any Acquiring Person), (B) a transferee of any Acquiring Person
(or any such Affiliate or Associate) who becomes a transferee after the occurrence of a Flip-in Event, or (C) a transferee of any
Acquiring Person (or any such Affiliate or Associate) who became a transferee prior to or concurrently with the occurrence of a
Flip-in Event pursuant to either (1) a transfer from an Acquiring Person to holders of its equity securities or to any Person with
whom it has any continuing agreement, arrangement or understanding regarding the transferred Rights or (2) a transfer which the
Directors of the Company have determined is part of a plan, arrangement or understanding which has the purpose or effect of avoiding
the provisions of this Section 11 (a)(ii), and subsequent transferees of any of such Persons, will be null and void without any
further action and any holder of such Rights will thereafter have no rights whatsoever with respect to such Rights under any provision
of this Agreement. The Company will use all reasonable efforts to ensure that the provisions of this Section 11 (a)(ii) are complied
with, but will have no liability to any holder of Right Certificates or any other Person as a result of its failure to make any
determinations with respect to an Acquiring Person or its Affiliates, Associates or transferees hereunder. Upon the occurrence
of a Flip-in Event, no Right Certificate that represents Rights that are or have become null and void pursuant to the provisions
of this Section 11 (a)(ii) will thereafter be issued pursuant to Section 3 or Section 6, and any Right Certificate delivered to
the Rights Agent that represents Rights that are or have become null and void pursuant to the provisions of this Section 11 (a)(ii)
will be canceled. Upon the occurrence of a Flip-over Event, any Rights that shall not have been previously exercised pursuant to
this Section 11 (a)(ii) shall thereafter be exercisable only pursuant to Section 13 and not pursuant to this Section 11(a)(ii).

 

    	 	17	 

     

    

(iii)      
Upon the occurrence of a Flip-in Event, if there are not sufficient Common Shares authorized
but unissued or issued but not outstanding to permit the issuance of all the Common Shares issuable in accordance with Section
11(a)(ii) upon the exercise of a Right, the Board of Directors of the Company will use its best efforts promptly to authorize and,
subject to the provisions of Section 9(e), make available for issuance additional Common Shares or other equity securities of the
Company having equivalent voting rights and an equivalent value (as determined in good faith by the Board of Directors of the Company)
to the Common Shares (for purposes of this Section 11 (a)(iii), “Equivalent Common Shares”). In the event
that Equivalent Common Shares are so authorized, upon the exercise of a Right in accordance with the provisions of Section 7, the
registered holder will be entitled to receive (A) Common Shares, to the extent any are available, and (B) a number of equivalent
common shares, which the Board of Directors of the Company has determined in good faith to have a value equivalent to the excess
of (x) the aggregate current per share market value on the date of the occurrence of the most recent Flip-in Event of all the Common
Shares issuable in accordance with Section 11 (a)(ii) upon the exercise of a Right (the “Exercise Value”)
over (y) the aggregate current per share market value on the date of the occurrence of the most recent Flip-in Event of any Common
Shares available for issuance upon the exercise of such Right; provided, however, that if at any time after
90 calendar days after the latest of the Share Acquisition Date, the Distribution Date and the date of the occurrence of the most
recent Flip-in Event, there are not sufficient Common Shares and/or equivalent common shares available for issuance upon the exercise
of a Right, then the Company will be obligated to deliver, upon the surrender of such Right and without requiring payment of the
Purchase Price, Common Shares (to the extent available), equivalent common shares (to the extent available) and then cash (to the
extent permitted by applicable law and any agreements or instruments to which the Company is a party in effect immediately prior
to the Share Acquisition Date), which securities and cash have an aggregate value equal to the excess of (1) the Exercise Value
over (2) the product of the then-current Purchase Price multiplied by the number of one one-hundredths of a Preferred Share for
which a Right was exercisable immediately prior to the date of the occurrence of the most recent Flip-in Event (or, if any other
Flip-in Event shall have previously occurred, the product of the then-current Purchase Price multiplied by the number of one one-hundredths
of a Preferred Share for which a Right would have been exercisable immediately prior to the date of the occurrence of such Flip-in
Event if no other Flip-in Event had previously occurred). To the extent that any legal or contractual restrictions prevent the
Company from paying the full amount of cash payable in accordance with the foregoing sentence, the Company will pay to holders
of the Rights as to which such payments are being made all amounts which are not then restricted on a pro rata basis and will continue
to make payments on a pro rata basis as promptly as funds become available until the full amount due to each such Rights holder
has been paid.

 

    	 	18	 

     

    

(b)      
In the event that the Company fixes a record date for the issuance of rights, options or warrants
to all holders of Preferred Shares entitling them (for a period expiring within 45 calendar days after such record date) to subscribe
for or purchase Preferred Shares (or securities having equivalent rights, privileges and preferences as the Preferred Shares (for
purposes of this Section 11(b), “Equivalent Preferred Shares”)) or securities convertible into Preferred
Shares or Equivalent Preferred Shares at a price per Preferred Share or Equivalent Preferred Share (or having a conversion price
per share, if a security convertible into Preferred Shares or Equivalent Preferred Shares) less than the current per share market
price of the Preferred Shares (determined pursuant to Section 11(d))on such record date, the Purchase Price to be in effect after
such record date will be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction,
the numerator of which is the number of Preferred Shares outstanding on such record date plus the number of Preferred Shares which
the aggregate offering price of the total number of Preferred Shares and/or Equivalent Preferred Shares so to be offered (and/or
the aggregate initial conversion price of the convertible securities so to be offered) would purchase at such current per share
market price and the denominator of which is the number of Preferred Shares outstanding on such record date plus the number of
additional Preferred Shares and/or equivalent preferred shares to be offered for subscription or purchase (or into which the convertible
securities so to be offered are initially convertible); provided, however, that in no event shall the consideration to be
paid upon the exercise of one Right be less than the aggregate par value of the shares of capital stock issuable upon exercise
of one Right. In case such subscription price may be paid in a consideration part or all of which is in a form other than cash,
the value of such consideration will be as determined in good faith by the Board of Directors of the Company, whose determination
will be described in a written statement filed with the Rights Agent. Preferred Shares owned by or held for the account of the
Company will not be deemed outstanding for the purpose of any such computation. Such adjustment will be made successively whenever
such a record date is fixed, and in the event that such rights, options or warrants are not so issued, the Purchase Price will
be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed.

 

(c)      
In the event that the Company fixes a record date for the making of a distribution to all
holders of Preferred Shares (including any such distribution made in connection with a consolidation or merger in which the Company
is the continuing or surviving corporation) of evidences of indebtedness, cash (other than a regular periodic cash dividend), assets,
stock (other than a dividend payable in Preferred Shares) or subscription rights, options or warrants (excluding those referred
to in Section 11(b)), the Purchase Price to be in effect after such record date will be determined by multiplying the Purchase
Price in effect immediately prior to such record date by a fraction, the numerator of which is the current per share market price
of the Preferred Shares (as determined pursuant to Section 11(d)) on such record date or, if earlier, the date on which Preferred
Shares begin to trade on an ex-dividend or when issued basis for such distribution, less the fair market value (as determined in
good faith by the Board of Directors of the Company, whose determination will be described in a written statement filed with the
Rights Agent) of the portion of the evidences of indebtedness, cash, assets or stock so to be distributed or of such subscription
rights, options or warrants applicable to one Preferred Share, and the denominator of which is such current per share market price
of the Preferred Shares; provided, however that in no event shall the consideration to be paid upon the exercise
of one Right be less than the aggregate par value of the shares of capital stock issuable upon exercise of one Right. Such adjustments
will be made successively whenever such a record date is fixed; and in the event that such distribution is not so made, the
Purchase Price will again be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed.

 

    	 	19	 

     

    

(d)      
(i)      For the purpose of any computation hereunder, the “Current Per Share Market
Price of Common Shares” on any date will be deemed to be the average of the daily closing prices per share of such
Common Shares for the 30 consecutive Trading Days immediately prior to but not including such date; provided, however,
that in the event that the Current Per Share Market Price of Common Shares is determined during a period following the announcement
by the issuer of such Common Shares of (A) a dividend or distribution on such Common Shares payable in such Common Shares or securities
convertible into such Common Shares (other than the Rights) or (B) any subdivision, combination or reclassification of such Common
Shares, and prior to the expiration of 30 Trading Days after but not including the ex-dividend date for such dividend or distribution,
or the record date for such subdivision, combination or reclassification, then, and in each such case, the current per share market
price will be appropriately adjusted to take into account ex-dividend trading or to reflect the current per share market price
per Common Share equivalent. The closing price for each day will be the last sale price, regular way, or, in case no such sale
takes place on such day, the average of the closing bid and asked prices, regular way, in either case as reported in the principal
consolidated transaction reporting system with respect to securities listed or admitted to trading on Nasdaq or, if the Common
Shares are not listed or admitted to trading on Nasdaq, as reported in the principal consolidated transaction reporting system
with respect to securities listed on the principal national securities exchange on which the Common Shares are listed or admitted
to trading or, if the Common Shares are not listed or admitted to trading on any national securities exchange, the last quoted
price or, if not so quoted, the average of the high bid and low asked prices in the over-the-counter market, as reported by Nasdaq
or such other system then in use, or, if on any such date the Common Shares are not quoted by any such organization, the average
of the closing bid and asked prices as furnished by a professional market maker making a market in the Common Shares selected by
the Board of Directors of the Company. If the Common Shares are not publicly held or not so listed or traded, or are not the subject
of available bid and asked quotes, the Current Per Share Market Price of Common Shares will mean the fair value per share as determined
in good faith by the Board of Directors of the Company, whose determination will be described in a written statement filed with
the Rights Agent.

 

(ii)      For the purpose
of any computation hereunder, the “Current Per Share Market Price of Preferred Shares” will be determined
in the same manner as set forth above for Common Shares in Section 11(d)(i), other than the last sentence thereof. If the Current
Per Share Market Price of Preferred Shares cannot be determined in the manner provided above, it will be conclusively deemed to
be an amount equal to the current per share market price of the Common Shares multiplied by one hundred (as such number may be
appropriately adjusted to reflect events such as stock splits, stock dividends, recapitalizations or similar transactions relating
to the Common Shares occurring after the date of this Agreement). If neither the Common Shares nor the Preferred Shares are publicly
held or so listed or traded, or the subject of available bid and asked quotes, “current per share market price” of
the Preferred Shares will mean the fair value per share as determined in good faith by the Board of Directors of the Company, whose
determination will be described in a written statement filed with the Rights Agent. For all purposes of this Agreement, the current
per share market price of one one-hundredth of a Preferred Share will be equal to the current per share market price of one Preferred
Share divided by one hundred.

 

(e)      
Except as set forth below, no adjustment in the Purchase Price will be required unless such
adjustment would require an increase or decrease of at least 1% in such price; provided, however, that any adjustments
which by reason of this Section 11(e) are not required to be made will be carried forward and taken into account in any subsequent
adjustment. All calculations under this Section 11 will be made to the nearest cent or to the nearest one one-millionth of a Preferred
Share or one ten-thousandth of a Common Share or other security, as the case may be. Notwithstanding the first sentence of this
Section 11(e), any adjustment required by this Section 11 will be made no later than the earlier of (i) three years from the date
of the transaction which requires such adjustment and (ii) the Expiration Date.

 

    	 	20	 

     

    

(f)      
If as a result of an adjustment made pursuant to Section 11(a), the holder of any Right thereafter
exercised becomes entitled to receive any securities of the Company other than Preferred Shares, thereafter the number and/or kind
of such other securities so receivable upon exercise of any Right (and/or the Purchase Price in respect thereof) will be subject
to adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions with respect to
the Preferred Shares (and the Purchase Price in respect thereof) contained in this Section 11, and the provisions of Sections 7,
9, 10, 13 and 14 with respect to the Preferred Shares (and the Purchase Price in respect thereof) will apply on like terms to any
such other securities (and the Purchase Price in respect thereof).

 

(g)      
All Rights originally issued by the Company subsequent to any adjustment made to the Purchase
Price hereunder will evidence the right to purchase, at the adjusted Purchase Price, the number of one one-hundredths of a Preferred
Share issuable from time to time hereunder upon exercise of the Rights, all subject to further adjustment as provided herein.

 

(h)      
Unless the Company has exercised its election as provided in Section 11(i), upon each adjustment
of the Purchase Price pursuant to Section 11(b) or Section 11(c), each Right outstanding immediately prior to the making of such
adjustment will thereafter evidence the right to purchase, at the adjusted Purchase Price, that number of one one-hundredths of
a Preferred Share (calculated to the nearest one one-millionth of a Preferred Share) obtained by (i) multiplying (x) the number
of one one-hundredths of a Preferred Share issuable upon exercise of a Right immediately prior to such adjustment of the Purchase
Price by (y) the Purchase Price in effect immediately prior to such adjustment of the Purchase Price and (ii) dividing the product
so obtained by the Purchase Price in effect immediately after such adjustment of the Purchase Price.

 

(i)      
The Company may elect, on or after the date of any adjustment of the Purchase Price, to adjust
the number of Rights in substitution for any adjustment in the number of one one-hundredths of a Preferred Share issuable upon
the exercise of a Right. Each of the Rights outstanding after such adjustment of the number of Rights will be exercisable for the
number of one one-hundredths of a Preferred Share for which a Right was exercisable immediately prior to such adjustment. Each
Right held of record prior to such adjustment of the number of Rights will become that number of Rights (calculated to the nearest
one ten- thousandth) obtained by dividing the Purchase Price in effect immediately prior to adjustment of the Purchase Price by
the Purchase Price in effect immediately after adjustment of the Purchase Price. The Company will make a public announcement of
its election to adjust the number of Rights, indicating the record date for the adjustment, and, if known at the time, the amount
of the adjustment to be made. The Company will also notify the Rights Agent in writing of same pursuant to Section 9(e) hereof
and give the Rights Agent a copy of such announcement. Such record date may be the date on which the Purchase Price is adjusted
or any day thereafter, but, if the Right Certificates have been issued, such record date will be at least 10 calendar days later
than the date of the public announcement. If Right Certificates have been issued, upon each adjustment of the number of Rights
pursuant to this Section 11(i), the Company will, as promptly as practicable, cause to be distributed to holders of record of Right
Certificates on such record date Right Certificates evidencing, subject to the provisions of Section 14, the additional Rights
to which such holders are entitled as a result of such adjustment, or, at the option of the Company, will cause to be distributed
to such holders of record in substitution and replacement for the Right Certificates held by such holders prior to the date of
adjustment, and upon surrender thereof if required by the Company, new Right Certificates evidencing all the Rights to which such
holders are entitled after such adjustment. Right Certificates so to be distributed will be issued, executed, and countersigned
in the manner provided for herein (and may bear, at the option of the Company, the adjusted Purchase Price) and will be registered
in the names of the holders of record of Right Certificates on the record date specified in the public announcement.

 

    	 	21	 

     

    

(j)      
Without respect to any adjustment or change in the Purchase Price and/or the number and/or
kind of securities issuable upon the exercise of the Rights, the Right Certificates theretofore and thereafter issued may continue
to express the Purchase Price and the number and kind of securities which were expressed in the initial Right Certificate issued
hereunder.

 

(k)      
Before taking any action that would cause an adjustment reducing the Purchase Price below
one one-hundredth of the then par value, if any, of the Preferred Shares or below the then par value, if any, of any other securities
of the Company issuable upon exercise of the Rights, the Company will take any corporate action which may, in the opinion of its
counsel, be necessary in order that the Company may validly and legally issue fully paid and non-assessable Preferred Shares or
such other securities, as the case may be, at such adjusted Purchase Price.

 

(l)      
In any case in which this Section 11 otherwise requires that an adjustment in the Purchase
Price be made effective as of a record date for a specified event, the Company may elect to defer (with prompt written notice to
the Rights Agent) until the occurrence of such event the issuance to the holder of any Right exercised after such record date the
number of Preferred Shares or other securities of the Company, if any, issuable upon such exercise over and above the number of
Preferred Shares or other securities of the Company, if any, issuable upon such exercise on the basis of the Purchase Price in
effect prior to such adjustment; provided, however, that the Company delivers to such holder a due bill or other
appropriate instrument evidencing such holder’s right to receive such additional Preferred Shares or other securities upon
the occurrence of the event requiring such adjustment.

 

(m)      
Notwithstanding anything in this Agreement to the contrary, the Company will be entitled to
make such reductions in the Purchase Price, in addition to those adjustments expressly required by this Section 11, as and to the
extent that in its good faith judgment the Board of Directors of the Company determines to be advisable in order that any (i) consolidation
or subdivision of the Preferred Shares, (ii) issuance wholly for cash of Preferred Shares at less than the current per share market
price therefor, (iii) issuance wholly for cash of Preferred Shares or securities which by their terms are convertible into or exchangeable
for Preferred Shares, (iv) stock dividends or (v) issuance of rights, options or warrants referred to in this Section 11, hereafter
made by the Company to holders of its Preferred Shares is not taxable to such stockholders.

 

    	 	22	 

     

    

(n)      
Notwithstanding anything in this Agreement to the contrary, in the event that the Company
at any time after the Record Date prior to the Distribution Date (i) pays a dividend on the outstanding Common Shares payable in
Common Shares, (ii) subdivides the outstanding Common Shares, (iii) combines the outstanding Common Shares into a smaller number
of shares or (iv) issues any shares of its capital stock in a reclassification of the outstanding Common Shares (including any
such reclassification in connection with a consolidation or merger in which the Company is the continuing or surviving corporation),
the number of Rights associated with each Common Share then outstanding, or issued or delivered thereafter but prior to the Distribution
Date, will be proportionately adjusted so that the number of Rights thereafter associated with each Common Share following any
such event equals the result obtained by multiplying the number of Rights associated with each Common Share immediately prior to
such event by a fraction the numerator of which is the total number of Common Shares outstanding immediately prior to the occurrence
of the event and the denominator of which is the total number of Common Shares outstanding immediately following the occurrence
of such event. The adjustments provided for in this Section 11(n) will be made successively whenever such a dividend is paid or
such a subdivision, combination or reclassification is effected.

 

12.      
Certificate of Adjusted Purchase Price or Number of Securities. Whenever an adjustment
is made or any event affecting the Rights or their exercisability (including without limitation an event which causes Rights to
become null and void) occurs as provided in Section 11 or Section 13 hereof, the Company will promptly (a) prepare a certificate
setting forth such adjustment and a brief, reasonably detailed statement of the facts, computations and methodology accounting
for such adjustment, (b) file with the Rights Agent and with each transfer agent for the Preferred Shares and the Common Shares
a copy of such certificate and (c) mail a brief summary of such adjustment to each holder of a Right Certificate in accordance
with Sections 25 and 26 hereof. The Rights Agent shall be fully protected in relying on any such certificate and on any adjustment
or statement therein contained and shall have no duty or liability with respect to, and shall not be deemed to have knowledge of,
any adjustment or any such event unless and until it shall have received such a certificate.

 

		13.	Consolidation, Merger or Sale or Transfer of Assets.

 

(a)      
In the event that:

 

(i)      
at any time after a Person has become an Acquiring Person, the Company consolidates with,
or merges with or into, any other Person and the Company is not the continuing or surviving corporation of such consolidation or
merger; or

 

(ii)      
at any time after a Person has become an Acquiring Person, any Person consolidates with the
Company, or merges with or into the Company, and the Company is the continuing or surviving corporation of such merger or consolidation
and, in connection with such merger or consolidation, all or part of the Common Shares is changed into or exchanged for stock or
other securities of any other Person or cash or any other property; or

 

    	 	23	 

     

    

(iii)      
at any time after a Person has become an Acquiring Person, the Company, directly or indirectly,
sells or otherwise transfers (or one or more of its Subsidiaries sells or otherwise transfers), in one or more transactions, assets
or earning power (including without limitation securities creating any obligation on the part of the Company and/or any of its
Subsidiaries) representing in the aggregate more than 50% of the assets or earning power of the Company and its Subsidiaries (taken
as a whole) to any Person or Persons (other than the Company or one or more of its wholly owned Subsidiaries.); then, and
in each such case, proper provision will be made so that from and after the latest of the Distribution Date and the date of the
occurrence of such Flip-over Event (A) each holder of a Right thereafter has the right to receive, upon the exercise thereof in
accordance with the terms of this Agreement at an exercise price per Right equal to the product of the then-current Purchase Price
multiplied by the number of one one-hundredths of a Preferred Share for which a Right was exercisable immediately prior to the
Share Acquisition Date, such number of duly authorized, validly issued, fully paid, non-assessable and freely tradeable Common
Shares of the Issuer, free and clear of any liens, encumbrances and other adverse claims and not subject to any rights of call
or first refusal, as equals the result obtained by (x) multiplying the then-current Purchase Price by the number of one one-hundredths
of a Preferred Share for which a Right is exercisable immediately prior to the Share Acquisition Date and dividing that product
by (y) 50% of the current per share market price of the Common Shares of the Issuer (determined pursuant to Section 11(d)), on
the date of the occurrence of such Flip-over Event; (B) the Issuer will thereafter be liable for, and will assume, by virtue
of the occurrence of such Flip-over Event, all the obligations and duties of the Company pursuant to this Agreement; (C) the
term “Company” will thereafter be deemed to refer to the Issuer; and (D) the Issuer will take such
steps (including without limitation the reservation of a sufficient number of its Common Shares to permit the exercise of all outstanding
Rights) in connection with such consummation as may be necessary to assure that the provisions hereof are thereafter applicable,
as nearly as reasonably may be possible, in relation to its Common Shares thereafter deliverable upon the exercise of the Rights.

 

(b)      
For purposes of this Section 13, “Issuer” means (i) in the case
of any Flip-over Event described in Sections 13(a)(i) or (ii) above, the Person that is the continuing, surviving, resulting or
acquiring Person (including the Company as the continuing or surviving corporation of a transaction described in Section 13(a)(ii)
above), and (ii) in the case of any Flip-over Event described in Section 13(a)(iii) above, the Person that is the party receiving
the greatest portion of the assets or earning power (including without limitation securities creating any obligation on the part
of the Company and/or any of its Subsidiaries) transferred pursuant to such transaction or transactions; provided,
however, that, in any such case, (A) if (1) no class of equity security of such Person is, at the time of such merger, consolidation
or transaction and has been continuously over the preceding 12-month period, registered pursuant to Section 12 of the Exchange
Act, and (2) such Person is a Subsidiary, directly or indirectly, of another Person, a class of equity security of which is and
has been so registered, the term “Issuer” means such other Person; and (B) in case such Person is a Subsidiary,
directly or indirectly, of more than one Person, a class of equity security of two or more of which are and have been so registered,
the term “Issuer” means whichever of such Persons is the issuer of the equity security having the greatest aggregate
market value. Notwithstanding the foregoing, if the Issuer in any of the Flip over Events listed above is not a corporation or
other legal entity having outstanding equity securities, then, and in each such case, (x) if the Issuer is directly or indirectly
wholly owned by a corporation or other legal entity having outstanding equity securities, then all references to Common Shares
of the Issuer will be deemed to be references to the Common Shares of the corporation or other legal entity having outstanding
equity securities which ultimately controls the Issuer, and (y) if there is no such corporation or other legal entity having outstanding
equity securities, (1) proper provision will be made so that the Issuer creates or otherwise makes available for purposes of the
exercise of the Rights in accordance with the terms of this Agreement, a kind or kinds of security or securities having a fair
market value at least equal to the economic value of the Common Shares which each holder of a Right would have been entitled to
receive if the Issuer had been a corporation or other legal entity having outstanding equity securities; and (2) all other
provisions of this Agreement will apply to the issuer of such securities as if such securities were Common Shares.

 

    	 	24	 

     

    

(c)      
The Company will not consummate any Flip-over Event if, (i) at the time of or immediately
after such Flip-over Event, there are or would be any rights, warrants, instruments or securities outstanding or any agreements
or arrangements in effect which would eliminate or substantially diminish the benefits intended to be afforded by the Rights, (ii)
prior to, simultaneously with or immediately after such Flip-over Event, the stockholders of the Person who constitutes, or would
constitute, the Issuer for purposes of Section 13(a) shall have received a distribution of Rights previously owned by such Person
or any of its Affiliates or Associates or (iii) the form or nature of the organization of the Issuer would preclude or limit the
exercisability of the Rights. In addition, the Company will not consummate any Flip-over Event unless the Issuer has a sufficient
number of authorized Common Shares (or other securities as contemplated in Section 13(b) above) which have not been issued or reserved
for issuance to permit the exercise in full of the Rights in accordance with this Section 13 and unless prior to such consummation
the Company and the Issuer have executed and delivered to the Rights Agent a supplemental agreement providing for the terms set
forth in subsections (a) and (b) of this Section 13 and further providing that as promptly as practicable after the consummation
of any Flip-over Event, the Issuer will:

 

(i)      
prepare and file a registration statement under the Securities Act with respect to the Rights
and the securities issuable upon exercise of the Rights on an appropriate form, and use its best efforts to cause such registration
statement to (1) become effective as soon as practicable after such filing and (2) remain effective (with a prospectus at all times
meeting the requirements of the Securities Act) until the Expiration Date;

 

(ii)      
take all such action as may be appropriate under, or to ensure compliance with, the securities
or “blue sky” laws of the various states in connection with the exercisability of the Rights; and

 

(iii)      
deliver to holders of the Rights historical financial statements for the Issuer and each of
its Affiliates which comply in all respects with the requirements for registration on Form 10 under the Exchange Act.

 

    	 	25	 

     

    

(d)      
The provisions
of this Section 13 will similarly apply to successive mergers or consolidations or sales or other transfers. In the event that
a Flip-over Event occurs at any time after the occurrence of a Flip-in Event, except for Rights that have become null and void
pursuant to Section 11 (a)(ii), Rights that shall not have been previously exercised will cease to be exercisable in the manner
provided in Section 11 (a)(ii) and will thereafter be exercisable in the manner provided in Section 13(a).

 

		14.	Fractional Rights and Fractional Securities.

 

(a)      
The Company will not be required to issue fractions of Rights or to distribute Right Certificates
which evidence fractional Rights. In lieu of such fractional Rights, the Company will pay as promptly as practicable to the registered
holders of the Right Certificates with regard to which such fractional Rights otherwise would be issuable, an amount in cash equal
to the same fraction of the current market value of one Right. For the purposes of this Section 14(a), the current market value
of one Right is the closing price of the Rights for the Trading Day immediately prior to the date on which such fractional Rights
otherwise would have been issuable. The closing price for any day is the last sale price, regular way, or, in case no such sale
takes place on such day, the average of the closing bid and asked prices, regular way, in either case as reported in the principal
consolidated transaction reporting system with respect to securities listed or admitted to trading on Nasdaq or, if the Rights
are not listed or admitted to trading on Nasdaq, as reported in the principal consolidated transaction reporting system with respect
to securities listed on the principal national securities exchange on which the Rights are listed or admitted to trading or, if
the Rights are not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted,
the average of the high bid and low asked prices in the over-the-counter market, as reported by Nasdaq or such other system then
in use, or, if on any such date the Rights are not quoted by any such organization, the average of the closing bid and asked prices
as furnished by a professional market maker making a market in the Rights selected by the Board of Directors of the Company. If
the Rights are not publicly held or are not so listed or traded, or are not the subject of available bid and asked quotes, the
current market value of one Right will mean the fair value thereof as determined in good faith by the Board of Directors of the
Company, whose determination will be described in a written statement filed with the Rights Agent.

 

(b)      
The Company will not be required to issue fractions of Preferred Shares (other than fractions
which are integral multiples of one one-hundredth of a Preferred Share) upon exercise of the Rights or to distribute certificates
which evidence fractional Preferred Shares (other than fractions which are integral multiples of one one-hundredth of a Preferred
Share). Fractions of Preferred Shares in integral multiples of one one-hundredth of a Preferred Share may, at the election of the
Company, be evidenced by depositary receipts pursuant to an appropriate agreement between the Company and a depositary selected
by it, provided that such agreement provides that the holders of such depositary receipts have all the rights, privileges and preferences
to which they are entitled as beneficial owners of the Preferred Shares represented by such depositary receipts. In lieu of fractional
Preferred Shares that are not integral multiples of one one-hundredth of a Preferred Share, the Company may pay to any Person to
whom or which such fractional Preferred Shares would otherwise be issuable an amount in cash equal to the same fraction of the
current market value of one Preferred Share. For purposes of this Section 14(b), the current market value of one Preferred Share
is the closing price of the Preferred Shares (as determined in the same manner as set forth for Common Shares in the second sentence
of Section 11 (d)(i)) for the Trading Day immediately prior to the date of such exercise; provided, however,
that if the closing price of the Preferred Shares cannot be so determined, the closing price of the Preferred Shares for such Trading
Day will be conclusively deemed to be an amount equal to the closing price of the Common Shares (determined pursuant to the second
sentence of Section 11 (d)(i)) for such Trading Day multiplied by one hundred (as such number may be appropriately adjusted to
reflect events such as stock splits, stock dividends, recapitalizations or similar transactions relating to the Common Shares
occurring after the date of this Agreement); provided further, however, that if neither the Common Shares
nor the Preferred Shares are publicly held or listed or admitted to trading on any national securities exchange, or the subject
of available bid and asked quotes, the current market value of one Preferred Share will mean the fair value thereof as determined
in good faith by the Board of Directors of the Company, whose determination will be described in a written statement filed with
the Rights Agent.

 

    	 	26	 

     

    

(c)      
Following the occurrence of a Triggering Event, the Company will not be required to issue
fractions of Common Shares or other securities issuable upon exercise or exchange of the Rights or to distribute certificates which
evidence any such fractional securities. In lieu of issuing any such fractional securities, the Company may pay to any Person to
whom or which such fractional securities would otherwise be issuable an amount in cash equal to the same fraction of the current
market value of one such security. For purposes of this Section 14(c), the current market value of one Common Share or other security
issuable upon the exercise or exchange of Rights is the closing price thereof (as determined in the same manner as set forth for
Common Shares in the second sentence of Section 11 (d)(i)) for the Trading Day immediately prior to the date of such exercise or
exchange; provided, however, that if neither the Common Shares nor any such other securities are publicly held
or listed or admitted to trading on any national securities exchange, or the subject of available bid and asked quotes, the current
market value of one Common Share or such other security will mean the fair value thereof as determined in good faith by the Board
of Directors of the Company, whose determination will mean the fair value thereof as will be described in a written statement filed
with the Rights Agent.

 

(d)       
Whenever a payment for fractional Rights or fractional shares is to be made by the Rights
Agent, the Company shall (i) promptly prepare and deliver to the Rights Agent a certificate setting forth in reasonable detail
the facts related to such payments and the prices and formulas utilized in calculating such payments, and (ii) provide sufficient
monies to the Rights Agent in the form of fully collected funds to make such payments. The Rights Agent shall be fully protected
in relying upon such a certificate and shall have no duty with respect to, and shall not be deemed to have knowledge of, any payment
for fractional Rights or fractional shares under any section of this Agreement relating to the payment of fractional Rights or
fractional shares unless and until the Rights Agent shall have received such a certificate and sufficient monies.

 

    	 	27	 

     

    

 

		15.	Rights of Action.

 

(a)      
All rights of action in respect of this Agreement, excepting the rights of action given to
the Rights Agent hereunder, are vested in the respective registered holders of the Right Certificates (and, prior to the Distribution
Date, the registered holders of the Common Shares); and any registered holder of any Right Certificate (or, prior to the Distribution
Date, of the Common Shares), without the consent of the Rights Agent or of the holder of any other Right Certificate (or, prior
to the Distribution Date, of the holder of any Common Shares), may in his own behalf and for his own benefit enforce, and may institute
and maintain any suit, action or proceeding against the Company to enforce, or otherwise act in respect of, his right to exercise
the Rights evidenced by such Right Certificate in the manner provided in such Right Certificate and in this Agreement. Without
limiting the foregoing or any remedies available to the holders of Rights, it is specifically acknowledged that the holders of
Rights would not have an adequate remedy at law for any breach of this Agreement and will be entitled to specific performance of
the obligations under this Agreement, and injunctive relief against actual or threatened violations of the obligations of any Person
subject to this Agreement.

 

(b)      
Notwithstanding anything in this Agreement to the contrary, neither the Company nor the Rights
Agent will have any liability to any holder of a Right or other Person as a result of its inability to perform any of its obligations
under this Agreement by reason of any preliminary or permanent injunction or other order, decree or ruling issued by a court of
competent jurisdiction or by a governmental, regulatory, self-regulatory or administrative agency or commission, or any statute,
rule, regulation or executive order promulgated or enacted by any governmental authority, prohibiting or otherwise restraining
performance of such obligation; provided, however that the Company will use its best efforts to have any such
order, decree or ruling lifted or otherwise overturned as soon as possible.

 

16.      
Agreement of Rights Holders. Every holder of a Right by accepting the same consents
and agrees with the Company and the Rights Agent and with every other holder of a Right that:

 

(a)      
Prior to the Distribution Date, the Rights are transferable only in connection with the transfer
of the Common Shares;

 

(b)      
On or after the Distribution Date, the Right Certificates are transferable only on the registry
books of the Rights Agent if surrendered at the office of the Rights Agent designated for such purpose, duly endorsed or accompanied
by a proper instrument of transfer;

 

(c)      
The Company and the Rights Agent may deem and treat the person in whose name the Right Certificate
(or, prior to the Distribution Date, the associated Common Share certificate) is registered as the absolute owner thereof and of
the Rights evidenced thereby (notwithstanding any notations of ownership or writing on the Right Certificate or the associated
Common Share certificate made by anyone other than the Company or the Rights Agent) for all purposes whatsoever, and neither the
Company nor the Rights Agent will be affected by any notice to the contrary; and

 

    	 	28	 

     

    

(d)      
Such holder expressly waives any right to receive any fractional Rights and any fractional
securities upon exercise or exchange of a Right, except as otherwise provided in Section 14.

 

17.      
Right Certificate Holder Not Deemed a Stockholder. No holder, as such, of any Right
Certificate will be entitled to vote, receive dividends, or be deemed for any purpose the holder of Preferred Shares or any other
securities of the Company which may at any time be issuable upon the exercise of the Rights represented thereby, nor will anything
contained herein or in any Right Certificate be construed to confer upon the holder of any Right Certificate, as such, any of the
rights of a stockholder of the Company or any right to vote for the election of Directors or upon any matter submitted to stockholders
at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions
affecting stockholders (except as provided in Section 25), or to receive dividends or subscription rights, or otherwise, until
the Right or Rights evidenced by such Right Certificate shall have been exercised in accordance with the provisions of this Agreement
or exchanged pursuant to the provisions of Section 24.

 

		18.	Concerning the Rights Agent.

 

(a)     
The Company will pay to the Rights Agent reasonable compensation for all services rendered
by it hereunder and, from time to time, on demand of the Rights Agent, its reasonable expenses and counsel fees and other disbursements
incurred in the preparation, negotiation, delivery, amendment, administration and execution of this Agreement and the exercise
and performance of its duties hereunder. The Company will also indemnify the Rights Agent and its affiliates, director, employees.
representatives and advisors for, and hold them harmless against, any loss, liability, damage, judgment, fine, penalty, claim,
demand, settlement suit, action, proceeding or expense (including without limitation the reasonable fees and expenses of legal
counsel), incurred without gross negligence, bad faith, or willful misconduct on the part of the Rights Agent (which gross negligence,
bad faith or willful misconduct must be determined by a final, non-appealable judgment of a court of competent jurisdiction), for
any action taken, suffered or omitted to be taken by the Rights Agent in connection with the acceptance, administration, exercise
and performance of its duties under this Agreement. The costs and expenses of defending against any claim of liability arising
therefrom, directly or indirectly, shall be paid by the Company. The provisions of this Section 18 and Section 20 below shall survive
the termination of this Agreement, the exercise or expiration of the Rights and the resignation, replacement or removal of the
Rights Agent. The costs and expenses incurred in enforcing this right of indemnification shall be paid by the Company. 

 

(b)      
The Rights Agent will be authorized and protected and will incur no liability for or in respect
of any action taken, suffered, or omitted to be taken by it in connection with its acceptance and administration of this Agreement
and the exercise and performance of its duties hereunder, in reliance upon any Right Certificate or certificate evidencing Preferred
Shares or Common Shares or other securities of the Company, instrument of assignment or transfer, power of attorney, endorsement,
affidavit, letter, notice, direction, consent, certificate, statement or other paper or document believed by it to be genuine and
to be signed, executed, and, where necessary, verified or acknowledged, by the proper Person or Persons. The Rights Agent shall
not be deemed to have knowledge of any event of which it was supposed to receive notice thereof hereunder, and the Rights Agent
shall be fully protected and shall incur no liability for failing to take any action in connection therewith, unless and until
it has received such notice in writing. 

 

    	 	29	 

     

    

 

		19.	Merger or Consolidation or Change of Name of Rights Agent.

 

(a)      
Any Person into which the Rights Agent or any successor Rights Agent may be merged or with
which it may be consolidated, or any Person resulting from any merger or consolidation to which the Rights Agent or any successor
Rights Agent is a party, will be the successor to the Rights Agent under this Agreement without the execution or filing of any
paper or any further act on the part of any of the parties hereto, provided that such Person would be eligible for appointment
as a successor Rights Agent under the provisions of Section 21. If at the time such successor Rights Agent succeeds to the agency
created by this Agreement any of the Right Certificates shall have been countersigned but not delivered, any such successor Rights
Agent may adopt the countersignature of the predecessor Rights Agent and deliver such Right Certificates so countersigned;
and if at that time any of the Right Certificates shall not have been countersigned, any successor Rights Agent may countersign
such Right Certificates either in the name of the predecessor Rights Agent or in the name of the successor Rights Agent; and
in all such cases such Right Certificates will have the full force provided in the Right Certificates and in this Agreement.

 

(b)      
If at any time the name of the Rights Agent changes and at such time any of the Right Certificates
have been countersigned but not delivered, the Rights Agent may adopt the countersignature under its prior name and deliver Right
Certificates so countersigned; and if at that time any of the Right Certificates have not been countersigned, the Rights Agent
may countersign such Right Certificates either in its prior name or in its changed name; and in all such cases such Right
Certificates will have the full force provided in the Right Certificates and in this Agreement.

 

20.      
Duties of Rights Agent. The Rights Agent undertakes to perform only the duties and
obligations expressly imposed by this Agreement (and no implied duties and obligations) upon the following terms and conditions,
by all of which the Company and the holders of Right Certificates, by their acceptance thereof, will be bound:

 

(a)     
The Rights Agent may consult with legal counsel (who may be legal counsel for the Company
or an employee of the Rights Agent), and the advice or opinion of such counsel will be full and complete authorization and protection
to the Rights Agent and the Rights Agent shall incur no liability for or in respect of any action taken or omitted to be taken
in accordance with such advice or opinion.

 

(b)      
Whenever in the performance of its duties under this Agreement the Rights Agent deems it necessary
or desirable that any fact or matter (including, without limitation, the identity of an Acquiring Person and the determination
of the current per share market price of any security) be proved or established by the Company prior to taking, omitting or suffering
any action hereunder, such fact or matter (unless other evidence in respect thereof be herein specifically prescribed) may be deemed
to be conclusively proved and established by a certificate signed by any one of the Chairman of the Board of Directors, the Chief
Executive Officer, the President, any Vice President, the Secretary or the Treasurer of the Company and delivered to the Rights
Agent, and such certificate will be full and complete authorization to the Rights Agent for any action taken, omitted to be taken
or suffered by it under the provisions of this Agreement in reliance upon such certificate.

 

    	 	30	 

     

    

(c)      
The Rights Agent will be liable hereunder only for its own gross negligence, bad faith or
willful misconduct (which gross negligence, bad faith or willful misconduct must be determined by a final, non-appealable judgment
of a court of competent jurisdiction). Anything to the contrary notwithstanding, in no event shall the Rights Agent be liable for
special, punitive, indirect, consequential or incidental loss or damage of any kind whatsoever (including but not limited to lost
profits), even if the Rights Agent has been advised of the likelihood of such loss or damage, and regardless of the form of the
action; and the Company agrees to indemnify the Rights Agent and its affiliates, director, employees. representatives and advisors
and to hold them harmless to the fullest extent permitted by law against any loss, liability or expense incurred as a result of
claims for special, punitive, incidental, indirect or consequential loss or damages of any kind whatsoever. Any liability of the
Rights Agent under this Agreement will be limited to the amount of annual fees paid by the Company to the Rights Agent.

 

(d)      
The Rights Agent will not be liable for or by reason of any of the statements of fact or recitals
contained in this Agreement or in the Right Certificates (except its countersignature thereof) or be required to verify the same,
but all such statements and recitals are and will be deemed to have been made by the Company only.

 

(e)      
The Rights Agent will not have any liability for or be under any responsibility or have any
liability in respect of the validity of this Agreement or the execution and delivery hereof (except the due execution and delivery
hereof by the Rights Agent) or in respect of the validity or execution of any Right Certificate (except its countersignature thereof);
nor will it be responsible for any breach by the Company of any covenant contained in this Agreement or in any Right Certificate;
nor will it be responsible for any adjustment required under the provisions of Section 11 or 13 (including any adjustment which
results in Rights becoming null and void) or responsible for the manner, method or amount of any such adjustment or the ascertaining
of the existence of facts that would require any such adjustment (except with respect to the exercise of Rights evidenced by Right
Certificates after receipt of the Certificate described in Section 12 hereof, upon which the Rights Agent may rely); nor will
it by any act hereunder be deemed to make any representation or warranty as to the authorization or reservation of any shares of
stock or other securities to be issued pursuant to this Agreement or any Right Certificate or as to whether any shares of stock
or other securities will, when issued, be duly authorized, validly issued, fully paid and non-assessable.

 

    	 	31	 

     

    

(f)      
The Company will perform, execute, acknowledge and deliver or cause to be performed, executed,
acknowledged and delivered all such further and other acts, instruments and assurances as may reasonably be required by the Rights
Agent for the carrying out or performing by the Rights Agent of the provisions of this Agreement.

 

(g)     
The Rights Agent is hereby authorized and directed to accept instructions with respect to
the performance of its duties hereunder from any one of the Chairman of the Board of Directors, the Chief Executive Officer, the
President, any Vice President, the Secretary or the Treasurer of the Company, and to apply to such officers for advice or instructions
in connection with its duties, and such instructions shall be full authorization and protection to the Rights Agent, and it will
not be liable for any action taken or suffered to be taken by it in accordance with instructions of any such officer or for any
delay in acting while waiting for those instructions. The Rights Agent shall be fully authorized and protected in relying upon
such instructions received by any such officer. The Rights Agent will not be held to have notice of any change of authority of
any person until receipt of written notice thereof from the Company. Any application by the Rights Agent for written instructions
from the Company may, at the option of the Rights Agent, set forth in writing any action proposed to be taken, suffered or omitted
to be taken by the Rights Agent under this Agreement and the date on and/or after which such action shall be taken or suffered
or such omission shall be effective. The Rights Agent shall not be liable for any action taken or suffered by, or omission of,
the Rights Agent in accordance with a proposal included in any such application on or after the date specified in such application
(which date shall not be less than five Business Days after the date any officer of the Company actually receives such application,
unless any such officer shall have consented in writing to an earlier date) unless, prior to taking any such action (or the effective
date in the case of an omission), the Rights Agent shall have received written instructions in response to such application specifying
the action to be taken, suffered or omitted.

 

(h)       
The Rights Agent and any stockholder, director, officer or employee of the Rights Agent may
buy, sell or deal in any of the Rights or other securities of the Company or become pecuniarily interested in any transaction in
which the Company may be interested, or contract with or lend money to the Company or otherwise act as fully and freely as though
it were not Rights Agent under this Agreement. Nothing herein will preclude the Rights Agent (or its shareholder, affiliate, director,
officer or employee) from acting in any other capacity for the Company or for any other Person.

 

(i)      
The Rights Agent may execute and exercise any of the rights or powers hereby vested in it
or perform any duty hereunder either itself (through its directors, officers and employees) or by or through its attorneys or agents,
and the Rights Agent will not be answerable or accountable for any act, default, neglect or misconduct of any such attorneys or
agents or for any loss to the Company resulting from any such act, default, neglect or misconduct absent gross negligence, bad
faith or willful misconduct in the selection and continued employment thereof (which gross negligence, bad faith or willful misconduct
must be determined by a final, non-appealable judgment of a court of competent jurisdiction). The Rights Agent will not be under
any duty or responsibility to ensure compliance with any applicable federal or state securities laws in connection with the issuance,
transfer or exchange of Right Certificates.

 

    	 	32	 

     

    

(j)      
If, with respect to any Right Certificate surrendered to the Rights Agent for exercise, transfer,
split up, combination or exchange, either (i) the certificate attached to the form of assignment or form of election to purchase,
as the case may be, has either not been completed or indicates an affirmative response to clause 1 or 2 thereof, or (ii) any other
actual or suspected irregularity exists, the Rights Agent will not take any further action with respect to such requested exercise,
transfer, split up, combination or exchange without first consulting with the Company, and will thereafter take further action
with respect thereto only in accordance with the Company’s written instructions.

 

(k)      
No provision of this Agreement shall require the Rights Agent to expend or risk its own funds
or otherwise incur any financial liability in the performance of any of its duties hereunder or in the exercise of its rights if
it believes that repayment of such funds or adequate indemnification against such risk or liability is not reasonably assured to
it.

 

(l)      
In the event the Rights Agent reasonably believes any ambiguity or uncertainty exists hereunder
or in any notice, instruction, direction, request or other communication, paper or document received by the Rights Agent hereunder,
the Rights Agent shall, as soon as practicable, inform the Company or such Person seeking clarification and may, in its sole discretion,
refrain from taking any action, and will be fully protected and will not be liable in any way to the Company or other Person or
entity for refraining from taking such action, unless the Rights Agent receives written instructions signed by the Company which
eliminates such ambiguity or uncertainty to the reasonable satisfaction of the Rights Agent.

 

21.      
Change of Rights Agent. The Rights Agent or any successor Rights Agent may resign and
be discharged from its duties under this Agreement upon 30 calendar days’ notice in writing mailed to the Company in accordance
with Section 26 hereof and in the event that the Rights Agent or one of its Affiliates is not also the transfer agent for the Company,
to each transfer agent of the Preferred Shares or the Common Shares known to the Rights Agent by first-class mail, postage prepaid,
or nationally recognized overnight delivery. In the event the transfer agency relationship in effect between the Company and the
Rights Agent terminates, the Rights Agent will be deemed to have resigned automatically and be discharged from its duties under
this Agreement as of the effective date of such termination, and the Company shall be responsible for sending any required notice.
The Company may remove the Rights Agent or any successor Rights Agent upon 30 calendar days’ notice in writing, mailed to
the Rights Agent or successor Rights Agent, as the case may be, and to each transfer agent of the Preferred Shares and the Common
Shares by registered or certified mail, and to the holders of the Right Certificates by first class mail. If the Rights Agent resigns
or is removed or otherwise becomes incapable of acting, the Company will appoint a successor to the Rights Agent. If the Company
fails to make such appointment within a period of 30 calendar days after giving notice of such removal or after it has been notified
in writing of such resignation or incapacity by the resigning or incapacitated Rights Agent or by the holder of a Right Certificate
(who will, with such notice, submit his Right Certificate for inspection by the Company), then the registered holder of any Right
Certificate may apply to any court of competent jurisdiction for the appointment of a new Rights Agent. Any successor Rights Agent,
whether appointed by the Company or by such a court, will be a Person organized and doing business under the laws of the United
States or of the State of New York (or of any other state of the United States), in good standing, which is authorized under such
laws to exercise shareholder service powers and is subject to supervision or examination by federal or state authority and which
has at the time of its appointment as Rights Agent a combined capital and surplus, including its Affiliates, of at least $50 million.
After appointment, the successor Rights Agent will be vested with the same powers, rights, duties and responsibilities as if it
had been originally named as Rights Agent without further act or deed; but the predecessor Rights Agent will deliver and transfer
to the successor Rights Agent any property at the time held by it hereunder, and execute and deliver any further assurance, conveyance,
act or deed necessary for the purpose. Not later than the effective date of any such appointment, the Company will file notice
thereof in writing with the predecessor Rights Agent and each transfer agent of the Preferred Shares or the Common Shares, and
mail a notice thereof in writing to the registered holders of the Right Certificates. Failure to give any notice provided for in
this Section 21, however, or any defect therein, will not affect the legality or validity of the resignation or removal of the
Rights Agent or the appointment of the successor Rights Agent, as the case may be. 

 

    	 	33	 

     

    

22.      
Issuance of New Right Certificates. Notwithstanding any of the provisions of this Agreement
or of the Rights to the contrary, the Company may, at its option, issue new Right Certificates evidencing Rights in such form as
may be approved by its Board of Directors to reflect any adjustment or change in the Purchase Price per share and the number or
kind of securities issuable upon exercise of the Rights made in accordance with the provisions of this Agreement. In addition,
in connection with the issuance or sale by the Company of Common Shares on or following the Distribution Date and prior to the
Expiration Date, the Company (a) will, with respect to Common Shares so issued or sold pursuant to the exercise, exchange or conversion
of securities (other than Rights) issued prior to the Distribution Date which are exercisable or exchangeable for, or convertible
into Common Shares and (b) may, in any other case, if deemed necessary, appropriate or desirable by the Board of Directors of the
Company, issue Right Certificates representing an equivalent number of Rights as would have been issued in respect of such Common
Shares if they had been issued or sold prior to the Distribution Date, as appropriately adjusted as provided herein as if they
had been so issued or sold; provided, however, that (i) no such Right Certificate will be issued if, and to
the extent that, in its good faith judgment the Board of Directors of the Company determines that the issuance of such Right Certificate
could have a material adverse tax consequence to the Company or to the Person to whom or which such Right Certificate otherwise
would be issued and (ii) no such Right Certificate will be issued if, and to the extent that, appropriate adjustment otherwise
has been made in lieu of the issuance thereof.

 

		23.	Redemption.

 

(a)      
Prior to the Expiration Date, the Board of Directors of the Company may, at its option, redeem
all but not less than all of the then-outstanding Rights at the Redemption Price at any time prior to the Close of Business on
the later of (i) the Distribution Date and (ii) Share Acquisition Date. Any such redemption will be effective immediately upon
the action of the Board of Directors of the Company ordering the same, unless such action of the Board of Directors of the Company
expressly provides that such redemption will be effective at a subsequent time or upon the occurrence or nonoccurrence of one or
more specified events (in which case such redemption will be effective in accordance with the provisions of such action of the
Board of Directors of the Company).

 

    	 	34	 

     

    

(b)      
Immediately upon the effectiveness of the redemption of the Rights as provided in Section
23(a), and without any further action and without any notice, the right to exercise the Rights will terminate and the only right
thereafter of the holders of Rights will be to receive the Redemption Price, without interest thereon. Promptly after the effectiveness
of the redemption of the Rights as provided in Section 23(a), the Company will publicly announce such redemption (with prompt written
notice thereof to the Rights Agent) and, within 10 calendar days thereafter, will give notice of such redemption to the holders
of the then-outstanding Rights by mailing such notice to all such holders at their last addresses as they appear upon the registry
books of the Company; provided, however, that the failure to give, or any defect in, any such notice will not
affect the validity of the redemption of the Rights. Any notice that is mailed in the manner herein provided will be deemed given,
whether or not the holder receives the notice. The notice of redemption mailed to the holders of Rights will state the method by
which the payment of the Redemption Price will be made. The Company may, at its option, pay the Redemption Price in cash, Common
Shares (based upon the current per share market price of the Common Shares (determined pursuant to Section 11(d)) at the time of
redemption), or any other form of consideration deemed appropriate by the Board of Directors of the Company (based upon the fair
market value of such other consideration, determined by the Board of Directors of the Company in good faith) or any combination
thereof. The Company may, at its option, combine the payment of the Redemption Price with any other payment being made concurrently
to holders of Common Shares and, to the extent that any such other payment is discretionary, may reduce the amount thereof on account
of the concurrent payment of the Redemption Price. If legal or contractual restrictions prevent the Company from paying the Redemption
Price (in the form of consideration deemed appropriate by the Board of Directors) at the time of redemption, the Company will pay
the Redemption Price, without interest, promptly after such time as the Company ceases to be so prevented from paying the Redemption
Price.

 

		24.	Exchange.

 

(a)      
The Board of Directors of the Company may, at its option, at any time after the earlier of
the Share Acquisition Date and the Distribution Date, exchange all or part of the then-outstanding and exercisable Rights (which
will not include Rights that have become null and void pursuant to the provisions of Section 11 (a)(ii)) for Common Shares at an
exchange ratio of one Common Share per Right, appropriately adjusted to reflect any stock split, stock dividend or similar transaction
occurring after the Record Date (such exchange ratio being hereinafter referred to as the “Exchange Ratio”).
Any such exchange will be effective immediately upon the action of the Board of Directors of the Company ordering the same, unless
such action of the Board of Directors of the Company expressly provides that such exchange will be effective at a subsequent time
or upon the occurrence or nonoccurrence of one or more specified events (in which case such exchange will be effective in accordance
with the provisions of such action of the Board of Directors of the Company). Notwithstanding the foregoing, the Board of Directors
of the Company will not be empowered to effect such exchange at any time after any Person (other than the Company, any Related
Person or any Exempt Person), who or which, together with all Affiliates and Associates of such Person, becomes the Beneficial
Owner of 50% or more of the then-outstanding Common Shares.

 

    	 	35	 

     

    

(b)        
Immediately upon the effectiveness of the exchange of any Rights as provided in Section 24(a),
and without any further action and without any notice, the right to exercise such Rights will terminate and the only right with
respect to such Rights thereafter of the holder of such Rights will be to receive that number of Common Shares equal to the number
of such Rights held by such holder multiplied by the Exchange Ratio. Promptly after the effectiveness of the exchange of any Rights
as provided in Section 24(a), the Company will publicly announce such exchange (with prompt written notice thereof to the Rights
Agent) and, within 10 calendar days thereafter, will give notice of such exchange to all of the holders of such Rights at their
last addresses as they appear upon the registry books of the Rights Agent; provided, however, that the failure
to give, or any defect in, such notice will not affect the validity of such exchange. Any notice that is mailed in the manner herein
provided will be deemed given, whether or not the holder receives the notice. Each such notice of exchange will state the method
by which the exchange of the Common Shares for Rights will be effected and, in the event of any partial exchange, the number of
Rights which will be exchanged. Any partial exchange will be effected pro rata based on the number of Rights (other than Rights
which have become null and void pursuant to the provisions of Section 11 (a)(ii)) held by each holder of Rights.

 

(c)      
In any exchange pursuant to this Section 24, the Company, at its option, may substitute for
any Common Share exchangeable for a Right (i) equivalent common shares (as such term is used in Section 11(a)(iii)), (ii) cash,
(iii) debt securities of the Company, (iv) other assets or (v) any combination of the foregoing, in any event having an aggregate
value, as determined in good faith by the Board of Directors of the Company (whose determination will be described in a written
statement filed with the Rights Agent), equal to the current market value of one Common Share (determined pursuant to Section 11(d))
on the Trading Day immediately preceding the date of the effectiveness of the exchange pursuant to this Section 24.

 

(d)     
Upon declaring an exchange pursuant to this Section 24, or as promptly as reasonably practicable
thereafter, the Board of Directors of the Company may direct the Company to enter into a Trust Agreement (the “Trust
Agreement”) in substantially the form attached hereto as Annex I, with such modifications as may be approved by the
Board of Directors of the Company, with such person, acting as trustee, as may be determined by the Board of Directors of the Company.
If the Board of Directors of the Company so directs the Company to enter into the Trust Agreement, at the Effective Time (as defined
in the Trust Agreement), the Company shall issue to the trust created by the Trust Agreement (the “Trust”)
Common Shares and other securities, if any, distributable pursuant to such exchange (which, for the avoidance of doubt, shall not
include any shares or other securities distributed pursuant to the Initial Distribution (as defined in the Trust Agreement)), along
with any dividends or distributions made on such shares or other securities after the Effective Time (as defined in the Trust Agreement),
and all stockholders entitled to distribution of such shares or other securities (and any dividends or distributions made thereon
after the Effective Time (as defined in the Trust Agreement)) shall be entitled to receive distribution of such shares or other
securities (and any dividends or distributions made thereon after the Effective Time (as defined in the Trust Agreement)) from
the Trust solely upon compliance with all relevant terms and provisions of the Trust Agreement.

 

    	 	36	 

     

    

 

		25.	Notice of Certain Events.

 

(a)      
If the Company proposes (i) to pay any dividend payable in stock of any class to the holders
of Preferred Shares or to make any other distribution to the holders of Preferred Shares (other than a regular periodic cash dividend),
(ii) to offer to the holders of Preferred Shares rights, options or warrants to subscribe for or to purchase any additional Preferred
Shares or shares of stock of any class or any other securities, rights or options, (iii) to effect any reclassification of its
Preferred Shares (other than a reclassification involving only the subdivision of outstanding Preferred Shares), (iv) to effect
the liquidation, dissolution or winding up of the Company or (v) to declare or pay any dividend on the Common Shares payable in
Common Shares or to effect a subdivision, combination or reclassification of the Common Shares then, in each such case, the Company
will give to the Rights Agent and, to the extent feasible, to each holder of a Right Certificate, in accordance with Section 26,
a notice of such proposed action, which specifies the record date for the purposes of such stock dividend, distribution or offering
of rights, options or warrants, or the date on which such reclassification, consolidation, merger, sale, transfer, liquidation,
dissolution or winding up is to take place and the date of participation therein by the holders of the Common Shares and/or Preferred
Shares, if any such date is to be fixed, and such notice will be so given, in the case of any action covered by clause (i) or (ii)
above, at least 10 calendar days prior to the record date for determining holders of the Preferred Shares for purposes of such
action, and, in the case of any such other action, at least 10 calendar days prior to the date of the taking of such proposed action
or the date of participation therein by the holders of the Common Shares and/or Preferred Shares, whichever is the earlier.

 

(b)      
In case any Triggering Event occurs, then, in any such case, the Company will as soon as practicable
thereafter give to the Rights Agent and each holder of a Right Certificate, in accordance with Section 26 hereof, a notice of the
occurrence of such event, which specifies the event and the consequences of the event to holders of Rights.

 

		26.	Notices.

 

(a)      
Notices or demands authorized by this Agreement to be given or made by the Rights Agent or
by the holder of any Right Certificate to or on the Company will be sufficiently given or made if sent in writing by first class
mail, postage prepaid and addressed (until another address is filed in writing with the Rights Agent) as follows:

 

SWK Holdings Corporation

14755 Preston Road, Suite 105

Attention: Chief Executive Officer

Facsimile: (972) 687-7255

 

    	 	37	 

     

    

(b)      
Subject to the provisions of Section 21 hereof, any notice or demand authorized by this Agreement
to be given or made by the Company or by the holder of any Right Certificate to or on the Rights Agent will be sufficiently given
or made if sent in writing by first-class mail, postage prepaid and addressed (until another address is filed in writing with the
Company) as follows:

 

Computershare Trust Company, N.A.

250 Royall Street

Canton, MA 02021

Attention: Client Services

 

(c)      
Notices or demands authorized by this Agreement to be given or made by the Company or the
Rights Agent to the holder of any Right Certificate (or, if prior the Distribution Date, to the holder of any certificate evidencing
Common Shares) will be sufficiently given or made if sent in writing by first class mail, postage prepaid and addressed to such
holder at the address of such holder as shown on the registry books of the Company.

 

27.      
Supplements and Amendments. Subject to this Section 27, the Company may in its sole
and absolute discretion, and the Rights Agent will if the Company so directs, supplement or amend any provision of this Agreement
in any respect without the approval of any holders of Rights or Common Shares, any such supplement or amendment to be evidenced
by a writing signed by the Company and the Rights Agent. From and after the time at which the Rights cease to be redeemable pursuant
to Section 23, and subject to the last sentence of this Section 27, the Company may, and the Rights Agent will if the Company so
directs, supplement or amend this Agreement without the approval of any holders of Rights or Common Shares in order (i) to cure
any ambiguity, (ii) to correct or supplement any provision contained herein which may be defective or inconsistent with any other
provisions herein, (iii) to shorten or lengthen any time period hereunder or (iv) to supplement or amend the provisions hereunder
in any manner which the Company may deem desirable; provided, however, that no such supplement or amendment
shall adversely affect the interests of the holders of Rights as such (other than an Acquiring Person or an Affiliate or Associate
of an Acquiring Person), and no such supplement or amendment shall cause the Rights again to become redeemable or cause this Agreement
again to become supplementable or amendable otherwise than in accordance with the provisions of this sentence. Without limiting
the generality or effect of the foregoing, this Agreement may be supplemented or amended to provide for such voting powers for
the Rights and such procedures for the exercise thereof, if any, as the Board of Directors of the Company may determine to be appropriate.
Upon the delivery of a certificate from an officer of the Company and, if requested by the Rights Agent, an opinion of counsel,
which states that the proposed supplement or amendment is in compliance with the terms of this Section 27, the Rights Agent will
execute such supplement or amendment. Notwithstanding anything in this Agreement to the contrary, (a) no supplement or amendment
may be made which decreases the stated Redemption Price to an amount less than $0.001 per Right; and (b) the Rights Agent
may, and shall not be obligated to, enter into any supplement or amendment that affects the Rights Agent’s own rights, duties,
obligations or immunities under this Agreement.

 

    	 	38	 

     

    

28.      
Successors: Certain Covenants. All the covenants and provisions of this Agreement by
or for the benefit of the Company or the Rights Agent will be binding on and inure to the benefit of their respective successors
and assigns hereunder.

 

29.      
Benefits of This Agreement. Nothing in this Agreement will be construed to give to
any Person other than the Company, the Rights Agent and the registered holders of the Right Certificates (and, prior to the Distribution
Date, the Common Shares) any legal or equitable right, remedy or claim under this Agreement. This Agreement will be for the sole
and exclusive benefit of the Company, the Rights Agent and the registered holders of the Right Certificates (or prior to the Distribution
Date, the Common Shares).

 

30.      
Governing Law. This Agreement, each Right and each Right Certificate issued hereunder
will be deemed to be a contract made under the internal substantive laws of the State of Delaware and for all purposes will be
governed by and construed in accordance with the internal substantive laws of such State applicable to contracts to be made and
performed entirely within such State.

 

31.      
Severability. If any term, provision, covenant or restriction of this Agreement is
held by a court of competent jurisdiction or other authority to be invalid, null and void or unenforceable, the remainder of the
terms, provisions, covenants and restrictions of this Agreement will remain in full force and effect and will in no way be affected,
impaired or invalidated; provided, however, that nothing contained in this Section 31 will affect the ability
of the Company under the provisions of Section 27 to supplement or amend this Agreement to replace such invalid, null and void
or unenforceable term, provision, covenant or restriction with a legal, valid and enforceable term, provision, covenant or restriction;
provided further, however, that if such severed provision affects the rights, immunities, duties or obligations of the Rights Agent,
then the Rights Agent will be entitled to resign immediately upon written notice to the Company.

 

32.      
Descriptive Headings. Descriptive headings of the several Sections of this Agreement
are inserted for convenience only and will not control or affect the meaning or construction of any of the provisions hereof. Unless
otherwise expressly provided, references herein to Sections and Exhibits are to Sections and Exhibits of or to this Agreement.

 

33.      
Determinations and Actions by the Board. For all purposes of this Agreement, any calculation
of the number of Common Shares outstanding at any particular time, including for purposes of determining the particular percentage
of such outstanding Common Shares of which any Person is the Beneficial Owner, will be made in accordance with, as applicable,
the last sentence of Rule 13d-3(d)(1)(i) of the General Rules and Regulations under the Exchange Act or the provisions of Section
382 of the Code, or any successor provision or replacement provision. The Board of Directors of the Company will have the exclusive
power and authority to administer this Agreement and to exercise all rights and powers specifically granted to the Board of Directors
of the Company or to the Company, or as may be necessary or advisable in the administration of this Agreement, including without
limitation the right and power to (i) interpret the provisions of this Agreement and (ii) make all determinations deemed necessary
or advisable for the administration of this Agreement (including without limitation any determination contemplated by Section 1(a)
or any determination as to whether particular Rights shall have become null and void). All such actions, calculations, interpretations
and determinations (including, for purposes of clause (y) below, any omission with respect to any of the foregoing) which are done
or made by the Board of Directors of the Company in good faith will (x) be final, conclusive and binding on the Company, the Rights
Agent, the holders of the Rights and all other parties and (y) not subject the Board of Directors of the Company to any liability
to any Person, including without limitation the Rights Agent and the holders of the Rights. The Rights Agent shall always be entitled
to assume that the Board of Directors acted in good faith and shall be fully protected and incur no liability in reliance thereon.

 

    	 	39	 

     

    

34.      
Counterparts. This Agreement may be executed in any number of counterparts and each
of such counterparts will for all purposes be deemed to be an original, and all such counterparts will together constitute but
one and the same instrument. A signature to this Agreement transmitted electronically will have the same authority, effect and
enforceability as an original signature.

 

35.      
Force Majeure. Notwithstanding anything to the contrary contained herein, the Rights
Agent shall not be liable for any delays or failures in performance resulting from acts beyond its reasonable control including,
without limitation, acts of God, terrorist acts, shortage of supply, breakdowns or malfunctions, interruptions or malfunction of
computer facilities, or loss of data due to power failures or mechanical difficulties with information storage or retrieval systems,
labor difficulties, war, or civil unrest.

 

[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]

 

    	 	40	 

     

    

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

 

	 	SWK HOLDINGS CORPORATION	 
	 	 	 	 
	 	By: 	 /s/ Winston Black	 
	 	 	Name: Winston Black	 
	 	 	Title: Chief Executive Officer 	 
	 	 	 	 
	 	 	 	 
	 	COMPUTERSHARE TRUST COMPANY, N.A.
	 	 	 
	 	By:	 /s/ Joseph S. Campbell 	 
	 	 	Name: Joseph S. Campbell	 
	 	 	Title: Vice President	 

 

 

[SIGNATURE PAGE TO RIGHTS AGREEMENT]

 

    	 

     

    

EXHIBIT A

 

AMENDED AND RESTATED CERTIFICATE OF DESIGNATION
OF SERIES A JUNIOR PARTICIPATING 

PREFERRED STOCK OF SWK HOLDINGS CORPORATION

 

(Pursuant to Section 151 of the General Corporation
Law of the State of Delaware)

 

SWK Holdings Corporation
(formerly known as Kana Software, Inc., the “Company”), a corporation organized and existing under the
General Corporation Law of the State of Delaware (the “DGCL”), DOES HEREBY CERTIFY:

 

That, pursuant to authority
vested in the Board of Directors of the Company by its Certificate of Incorporation, as amended (the “Certificate of
Incorporation”), and pursuant to the provisions of Section 151 of the DGCL, the Board of Directors of the Company
has adopted the following resolution providing for the issuance of a series of Preferred Stock:

 

RESOLVED, that pursuant
to the authority expressly granted to and vested in the Board of Directors of the Company (the “Board”)
by the Certificate of Incorporation of the Company, a series of Preferred Stock, par value $0.001 per share (the “Preferred
Stock”), of the Company be, and it hereby is, created, and that the designation and amount thereof and the powers,
designations, preferences and relative, participating, optional and other special rights of the shares of such series, and the
qualifications, limitations or restrictions thereof are as follows:

 

Section 1. Designation and Amount.
The shares of such series will be designated as Series A Junior Participating Preferred Stock (the “Series A Preferred”)
and the number of shares constituting the Series A Preferred is 1,000,000. Such number of shares may be increased or decreased
by resolution of the Board; provided, however, that no decrease will reduce the number of shares of Series A Preferred to
a number less than the number of shares then outstanding plus the number of shares reserved for issuance upon the exercise of outstanding
options, rights or warrants or upon the conversion of any outstanding securities issued by the Company any convertible into Series
A Preferred.

 

Section 2. Dividends and Distributions.

 

(a)      
Subject to the rights of the holders of any shares of any series of Preferred Stock ranking
prior to the Series A Preferred with respect to dividends, the holders of shares of Series A Preferred, in preference to the holders
of Common Stock, par value $0.001 per share (the “Common Stock”), of the Company, and of any other junior
stock, will be entitled to receive, when, as and if declared by the Board out of funds legally available for the purpose, dividends
payable in cash (except as otherwise provided below) on such dates as are from time to time established for the payment of dividends
on the Common Stock (each such date being referred to herein as a “Dividend Payment Date”), commencing
on the first Dividend Payment Date after the first issuance of a share or fraction of a share of Series A Preferred (the “First
Dividend Payment Date”), in an amount per share (rounded to the nearest cent) equal to, subject to the provision
for adjustment hereinafter set forth, one hundred (100) times the aggregate per share amount of all cash dividends, and one hundred
(100) times the aggregate per share amount (payable in kind) of all non-cash dividends, other than a dividend payable in shares
of Common Stock or a subdivision of the outstanding shares of Common Stock (by reclassification or otherwise), declared on the
Common Stock since the immediately preceding Dividend Payment Date or, with respect to the First Dividend Payment Date, since the
first issuance of any share or fraction of a share of Series A Preferred. In the event that the Company at any time (i) declares
a dividend on the outstanding shares of Common Stock payable in shares of Common Stock, (ii) subdivides the outstanding shares
of Common Stock, (iii) combines the outstanding shares of Common Stock into a smaller number of shares or (iv) issues any shares
of its capital stock in a reclassification of the outstanding shares of Common Stock (including any such reclassification in connection
with a consolidation or merger in which the Company is the continuing or surviving corporation), then, in each such case and regardless
of whether any shares of Series A Preferred are then issued or outstanding, the amount to which holders of shares of Series A Preferred
would otherwise be entitled immediately prior to such event under clause (ii) of the preceding sentence will be adjusted by multiplying
such amount by a fraction, (1) the numerator of which is the number of shares of Common Stock outstanding immediately after such
event and (2) the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such
event. 

 

    	 	A-1	 

     

    

(b)      
The Company will declare a dividend on the Series A Preferred as provided in paragraph (a)
of this Section 2 immediately after it declares a dividend on the Common Stock (other than a dividend payable in shares of Common
Stock). Each such dividend on the Series A Preferred will be payable immediately prior to the time at which the related dividend
on the Common Stock is payable.

 

(c)      
Dividends will accrue on outstanding shares of Series A Preferred from the Dividend Payment
Date next preceding the date of issue of such shares, unless (i) the date of issue of such shares is prior to the record date for
the First Dividend Payment Date, in which case dividends on such shares will accrue from the date of the first issuance of a share
of Series A Preferred or (ii) the date of issue is a Dividend Payment Date or is a date after the record date for the determination
of holders of shares of Series A Preferred entitled to receive a dividend and before such Dividend Payment Date, in either of which
events such dividends will accrue from such Dividend Payment Date. Accrued but unpaid dividends will cumulate from the applicable
Dividend Payment Date but will not bear interest. Dividends paid on the shares of Series A Preferred in an amount less than the
total amount of such dividends at the time accrued and payable on such shares will be allocated pro rata on a share-by-share basis
among all such shares at the time outstanding. The Board may fix a record date for the determination of holders of shares of Series
A Preferred entitled to receive payment of a dividend or distribution declared thereon, which record date will be not more than
60 calendar days prior to the date fixed for the payment thereof.

 

    	 	A-2	 

     

    

Section 3. Voting Rights. The
holders of shares of Series A Preferred will have the following voting rights:

 

(a)      
Subject to the provision for adjustment hereinafter set forth, each share of Series A Preferred
will entitle the holder thereof to one hundred (100) votes on all matters submitted to a vote of the stockholders of the Company.
In the event the Company at any time (i) declares a dividend on the outstanding shares of Common Stock payable in shares of Common
Stock, (ii) subdivides the outstanding shares of Common Stock, (iii) combines the outstanding shares of Common Stock into a smaller
number of shares or (iv) issues any shares of its capital stock in a reclassification of the outstanding shares of Common Stock
(including any such reclassification in connection with a consolidation or merger in which the Company is the continuing or surviving
corporation), then, in each such case and regardless of whether any shares of Series A Preferred are then issued or outstanding,
the number of votes per share to which holders of shares of Series A Preferred would otherwise be entitled immediately prior to
such event will be adjusted by multiplying such number by a fraction, (1) the numerator of which is the number of shares of Common
Stock outstanding immediately after such event and (2) the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event.

 

(b)      
Except as otherwise provided herein, in any other Certificate of Designations creating a series
of Preferred Stock or any similar stock, or by law, the holders of shares of Series A Preferred and the holders of shares of Common
Stock and any other capital stock of the Company having general voting rights will vote together as one class on all matters submitted
to a vote of stockholders of the Company.

 

(c)      
Except as set forth in the Amended and Restated Certificate of Incorporation or herein, or
as otherwise provided by law, holders of shares of Series A Preferred will have no voting rights.

 

Section 4. Certain Restrictions.

 

(a)      
Whenever dividends or other dividends or distributions payable on the Series A Preferred are
in arrears, thereafter and until all accrued and unpaid dividends and distributions, whether or not declared, on shares of Series
A Preferred outstanding have been paid in full, the Company will not:

 

(i)      
Declare or pay dividends, or make any other distributions, on any shares of stock ranking
junior (either as to dividends or upon liquidation, dissolution or winding up) to the shares of Series A Preferred;

 

    	 	A-3	 

     

    

(ii)      
Declare or pay dividends, or make any other distributions, on any shares of stock ranking
on a parity (either as to dividends or upon liquidation, dissolution or winding up) with the shares of Series A Preferred, except
dividends paid ratably on the shares of Series A Preferred and all such parity stock on which dividends are payable or in arrears
in proportion to the total amounts to which the holders of all such shares are then entitled;

 

(iii)      
Redeem, purchase or otherwise acquire for consideration shares of any stock ranking junior
(either as to dividends or upon liquidation, dissolution or winding up) to the shares of Series A Preferred; provided, however,
that the Company may at any time redeem, purchase or otherwise acquire shares of any such junior stock in exchange for shares of
any stock of the Company ranking junior (either as to dividends or upon dissolution, liquidation or winding up) to the shares of
Series A Preferred; or

 

(iv)      
Redeem, purchase or otherwise acquire for consideration any shares of Series A Preferred,
or any shares of stock ranking on a parity with the shares of Series A Preferred, except in accordance with a purchase offer made
in writing or by publication (as determined by the Board) to all holders of such shares upon such terms as the Board, after consideration
of the respective annual dividend rates and other relative rights and preferences of the respective series and classes, may determine
in good faith will result in fair and equitable treatment among the respective series or classes.

 

(b)      
The Company will not permit any majority-owned subsidiary of the Company to purchase or otherwise
acquire for consideration any shares of stock of the Company unless the Company could, under paragraph (a) of this Section 4, purchase
or otherwise acquire such shares at such time and in such manner.

 

Section 5. Reacquired Shares.
Any shares of Series A Preferred purchased or otherwise acquired by the Company in any manner whatsoever will be retired and canceled
promptly after the acquisition thereof. All such shares will upon their cancellation become authorized but unissued shares of Preferred
Stock and may be reissued as part of a new series of Preferred Stock subject to the conditions and restrictions on issuance set
forth herein, in the Certificate of Incorporation of the Company, or in any other Certificate of Designations creating a series
of Preferred Stock or any similar stock or as otherwise required by law.

 

Section 6. Liquidation, Dissolution or
Winding Up. Upon any liquidation, dissolution or winding up of the Company, no distribution will be made (a) to the holders
of shares of stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to the shares of Series
A Preferred unless, prior thereto, the holders of shares of Series A Preferred have received $100 per share; provided,
however, that the holders of shares of Series A Preferred will be entitled to receive an aggregate amount per share, subject
to the provision for adjustment hereinafter set forth, equal to one hundred (100) times the aggregate amount to be distributed
per share to holders of shares of Common Stock or (b) to the holders of shares of stock ranking on a parity (either as to dividends
or upon liquidation, dissolution or winding up) with the shares of Series A Preferred, except distributions made ratably on the
shares of Series A Preferred and all such parity stock in proportion to the total amounts to which the holders of all such shares
are entitled upon such liquidation, dissolution or winding up. In the event the Company at any time (i) declares a dividend on
the outstanding shares of Common Stock payable in shares of Common Stock, (ii) subdivides the outstanding shares of Common Stock,
(iii) combines the outstanding shares of Common Stock into a smaller number of shares or (iv) issues any shares of its capital
stock in a reclassification of the outstanding shares of Common Stock (including any such reclassification in connection with a
consolidation or merger in which the Company is the continuing or surviving corporation), then, in each such case and regardless
of whether any shares of Series A Preferred are then issued or outstanding, the aggregate amount to which each holder of shares
of Series A Preferred would otherwise be entitled immediately prior to such event under the proviso in clause (a) of the preceding
sentence will be adjusted by multiplying such amount by a fraction, (1) the numerator of which is the number of shares of Common
Stock outstanding immediately after such event and (2) the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event.

 

    	 	A-4	 

     

    

Section 7. Consolidation, Merger, Etc.
In the event that the Company enters into any consolidation, merger, combination or other transaction in which the shares of Common
Stock are exchanged for or changed into other stock or securities, cash and/or any other property, then, in each such case, each
share of Series A Preferred will at the same time be similarly exchanged for or changed into an amount per share, subject to the
provision for adjustment hereinafter set forth, equal to one hundred (100) times the aggregate amount of stock, securities, cash
and/or any other property (payable in kind), as the case may be, into which or for which each share of Common Stock is changed
or exchanged. In the event the Company at any time (a) declares a dividend on the outstanding shares of Common Stock payable in
shares of Common Stock, (b) subdivides the outstanding shares of Common Stock, (c) combines the outstanding shares of Common Stock
in a smaller number of shares or (d) issues any shares of its capital stock in a reclassification of the outstanding shares of
Common Stock (including any such reclassification in connection with a consolidation or merger in which the Company is the continuing
or surviving corporation), then, in each such case and regardless of whether any shares of Series A Preferred are then issued or
outstanding, the amount set forth in the preceding sentence with respect to the exchange or change of shares of Series A Preferred
will be adjusted by multiplying such amount by a fraction, (1) the numerator of which is the number of shares of Common Stock outstanding
immediately after such event and (2) the denominator of which is the number of shares of Common Stock that were outstanding immediately
prior to such event.

 

    	 	A-5	 

     

    

Section 8. Redemption. The shares
of Series A Preferred are not redeemable.

 

Section 9. Rank. The Series A
Preferred rank, with respect to the payment of dividends and the distribution of assets, junior to all other series of the Company’s
Preferred Stock.

 

Section 10. Amendment. Notwithstanding
anything contained in the Certificate of Incorporation of the Company to the contrary and in addition to any other vote required
by applicable law, the Certificate of Incorporation of the Company may not be amended in any manner that would materially alter
or change the powers, preferences or special rights of the Series A Preferred so as to affect them adversely without the affirmative
vote of the holders of at least 51% of the outstanding shares of Series A Preferred, voting together as a single series.

 

[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]

 

    	 	A-6	 

     

    

IN WITNESS WHEREOF, this Certificate of Designation
is executed on behalf of the Company by the undersigned on February 2, 2012.

 

	 	SWK HOLDING CORPORATION	 
	 	 	 	 
	 	By:	/s/ John Nemelka	 
	 	 	Name: John Nemelka	 
	 	 	Title: Interim Chief Executive Officer	 

 

    	 	A-7	 

     

    

EXHIBIT B

 

FORM OF RIGHT CERTIFICATE

 

Certificate No. R-______________ Rights

 

NOT EXERCISABLE AFTER APRIL 8, 2019 OR EARLIER
IF REDEEMED, EXCHANGED OR AMENDED. THE RIGHTS ARE SUBJECT TO REDEMPTION, EXCHANGE AND AMENDMENT AT THE OPTION OF THE COMPANY, ON
THE TERMS SET FORTH IN THE RIGHTS AGREEMENT. UNDER CERTAIN CIRCUMSTANCES SPECIFIED IN THE RIGHTS AGREEMENT, RIGHTS THAT ARE OR
WERE BENEFICIALLY OWNED BY AN ACQUIRING PERSON OR AN AFFILIATE OR AN ASSOCIATE OF AN ACQUIRING PERSON (AS SUCH TERMS ARE DEFINED
IN THE RIGHTS AGREEMENT) OR A TRANSFEREE THEREOF MAY BECOME NULL AND VOID.

 

RIGHT CERTIFICATE

 

SWK HOLDINGS CORPORATION

 

This certifies that ___________________, or registered assigns, is the registered
owner of the number of Rights set forth above, each of which entitles the owner thereof, subject to the terms, provisions, and
conditions of the Rights Agreement (as the same may be amended, modified or supplemented from time to time, the “Rights Agreement”),
by and between SWK Holdings Corporation, a Delaware corporation (the “Company”), and Computershare Trust Company, N.A.,
a federally chartered trust company (the “Rights Agent”), dated as of April 8, 2016, to purchase from the Company at
any time on or after the Distribution Date (as such term is defined in the Rights Agreement) and prior to 5:00 p.m. (Eastern time)
on the Expiration Date (as such term is defined in the Rights Agreement) at the office of the Rights Agent designated for such
purpose, one one-hundredth of a fully paid non-assessable share of Series A Junior Participating Preferred Stock, par value $0.001
per share (the “Preferred Shares”), of the Company, at a purchase price of $50.00 per one one-hundredth
of a Preferred Share (the “Purchase Price”), upon presentation and surrender of this Right Certificate
with the Form of Election to Purchase and related Certificate duly executed. If this Right Certificate is exercised in part, the
holder will be entitled to receive upon surrender hereof another Right Certificate or Right Certificates for the number of whole
Rights not exercised. The number of Rights evidenced by this Right Certificate (and the number of one one-hundredths of a Preferred
Share which may be purchased upon exercise thereof) set forth above, and the Purchase Price set forth above, are the number and
Purchase Price as of the date of the Rights Agreement, based on the Preferred Shares as constituted at such date. Terms used herein
with initial capital letters and not defined herein are used herein with the meanings ascribed thereto in the Rights Agreement.

 

As provided in the Rights
Agreement, the Purchase Price and/or the number and/or kind of securities issuable upon the exercise of the Rights evidenced by
this Right Certificate are subject to adjustment upon the occurrence of certain events.

 

    	 	B-1	 

     

    

This Right Certificate
is subject to all of the terms, provisions and conditions of the Rights Agreement, which terms, provisions and conditions are hereby
incorporated herein by reference and made apart hereof and to which Rights Agreement reference is hereby made for a full description
of the rights, limitations of rights, obligations, duties and immunities of the Rights Agent, the Company and the holders of the
Right Certificates, which limitations of rights include the temporary suspension of the exercisability of the Rights under the
circumstances specified in the Rights Agreement. Copies of the Rights Agreement are on file at the office of the Rights Agent and
can be obtained from the Company without charge upon written request therefor.

 

Pursuant to the Rights
Agreement, from and after the occurrence of a Flip-in Event, any Rights that are Beneficially Owned by (i) any Acquiring Person
(or any Affiliate or Associate of any Acquiring Person), (ii) a transferee of any Acquiring Person (or any such Affiliate or Associate)
who becomes a transferee after the occurrence of a Flip-in Event or (iii) a transferee of any Acquiring Person (or any such Affiliate
or Associate) who became a transferee prior to or concurrently with the Flip-in Event pursuant to either (a) a transfer from an
Acquiring Person to holders of its equity securities or to any Person with whom it has any continuing agreement, arrangement or
understanding regarding the transferred Rights or (b) a transfer which the Board of Directors of the Company has determined is
part of a plan, arrangement or understanding which has the purpose or effect of avoiding certain provisions of the Rights Agreement,
and subsequent transferees of any of such Persons, will be null and void without any further action and any holder of such Rights
will thereafter have no rights whatsoever with respect to such Rights under any provision of the Rights Agreement. From and after
the occurrence of a Flip-in Event, no Right Certificate will be issued that represents Rights that are or have become null and
void pursuant to the provisions of the Rights Agreement, and any Right Certificate delivered to the Rights Agent that represents
Rights that are or have become null and void pursuant to the provisions of the Rights Agreement will be canceled.

 

This Right Certificate,
with or without other Right Certificates, may be transferred, split up, combined or exchanged for another Right Certificate or
Right Certificates entitling the holder to purchase a like number of one one-hundredths of a Preferred Share (or other securities,
as the case may be) as the Right Certificate or Right Certificates surrendered entitled such holder (or former holder in the case
of a transfer) to purchase, upon presentation and surrender hereof at the office of the Rights Agent designated for such purpose,
with the Form of Assignment (if appropriate) and the related Certificate duly executed.

 

Subject to the provisions
of the Rights Agreement, the Rights evidenced by this Certificate may be redeemed by the Company at its option at a redemption
price of $0.0001 per Right or may be exchanged in whole or in part. The Rights Agreement may be supplemented and amended by the
Company, as provided therein.

 

    	 	B-2	 

     

    

The Company is not required
to issue fractions of Preferred Shares (other than fractions which are integral multiples of one one-hundredth of a Preferred Share,
which may, at the option of the Company, be evidenced by depositary receipts) or other securities issuable upon the exercise of
any Right or Rights evidenced hereby. In lieu of issuing such fractional Preferred Shares or other securities, the Company may
make a cash payment, as provided in the Rights Agreement.

 

No holder of this Right
Certificate, as such, will be entitled to vote or receive dividends or be deemed for any purpose the holder of the Preferred Shares
or of any other securities of the Company which may at any time be issuable upon the exercise of the Right or Rights represented
hereby, nor will anything contained herein or in the Rights Agreement be construed to confer upon the holder hereof, as such, any
of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any ratter submitted to
stockholders at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or
other actions affecting stockholders (except as provided in the Rights Agreement), or to receive dividends or subscription rights,
or otherwise, until the Right or Rights evidenced by this Right Certificate have been exercised in accordance with the provisions
of the Rights Agreement.

 

This Right Certificate
will not be valid or obligatory for any purpose until it has been countersigned by the Rights Agent.

 

[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]

 

    	 	B-3	 

     

    

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

 

Dated as of                          ,      .

 

	 	SWK HOLDINGS CORPORATION	 
	 	 	 	 
	 	By:  	/s/ Winston Black	 
	 	 	Name: Winston Black	 
	 	 	Title: Chief Executive Officer	 

 

 

COUNTERSIGNED:

 

COMPUTERSHARE TRUST COMPANY, N.A.

 

	By:	 	 
	 	Name:	 
	 	Title: 	 

 

[SIGNATURE PAGE TO RIGHT CERTIFICATE]

 

    	 	B-4	 

     

    

Form of Reverse Side of Right Certificate

 

FORM OF ASSIGNMENT

 

(To be executed by the
registered holder if such holder desires to transfer the Right Certificate)

 

FOR VALUE RECEIVED,
____________________ hereby sells, assigns and transfers unto this Right Certificate, together with all right, title and interest therein, and
does hereby irrevocably constitute and appoint, Attorney, to transfer the within Right Certificate on the books of the within-named
Company, with full power of substitution.

 

Dated:                              ,        

 

 

	 	 
	 	Signature

 

Signature(s) Guaranteed:                                 

 

 

Signatures must be guaranteed by an eligible
guarantor institution (a bank, stockbroker, savings and loan association or credit union with membership in an approved signature
guarantee medallion program) at a guarantee level satisfactory to the Rights Agent. A notary public is not sufficient.

 

 

The undersigned hereby certifies that the Rights
evidenced by this Right Certificate are not beneficially owned by an Acquiring Person or an Affiliate or Associate thereof (as
defined in the Rights Agreement).

 

 

	 	 
	 	Signature

 

    	 	B-5	 

     

    

CERTIFICATE

 

The undersigned hereby certifies by checking
the appropriate boxes that:

 

(1)      
the Rights evidenced by this Right Certificate are not being sold, assigned, transferred,
split up, combined or exchanged by or on behalf of a Person who is or was an Acquiring Person or an Affiliate or Associate of any
such Person (as such terms are defined in the Rights Agreement); and

 

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

 

Dated:                           ,        

 

 

	 	 
	 	Signature

 

    	 	B-6	 

     

    
CERTIFICATE

 

Form of Reverse Side of Right Certificate –
continued

 

FORM OF ELECTION TO PURCHASE

 

(To be executed if holder desires to exercise
the Right Certificate)

 

To SWK Holdings Corporation:

 

The undersigned hereby irrevocably elects to
exercise                    Rights represented by this Right Certificate to purchase the one one-hundredths of a Preferred Share or other
securities issuable upon the exercise of such Rights and requests that certificates for such securities be issued in the name of
and delivered to:

 

Please insert social security or other identifying
number:                                

 

(Please print name and address)

 

 

 

If such number of Rights is not all the Rights
evidenced by this Right Certificate, a new Right Certificate for the balance remaining of such Rights will be registered in the
name of and delivered to:

 

Please insert social security or other identifying
number:                                 

 

 

 

(Please print name and address)

 

 

 

 

Dated:                                 ,        

 

 

	 	 
	 	Signature

 

 

Signature(s) Guaranteed:                                     

 

Signatures must be guaranteed by an eligible
guarantor institution (a bank, stockbroker, savings and loan association or credit union with membership in an approved signature
guarantee medallion program) at a guarantee level satisfactory to the Rights Agent. A notary public is not sufficient.

 

 

 

 

 

The undersigned hereby certifies that the Rights
evidenced by this Right Certificate are not beneficially owned by an Acquiring Person or an Affiliate or Associate thereof (as
defined in the Rights Agreement).

 

 

	 	 
	 	Signature

 

    	 	B-7	 

     

    
CERTIFICATE

 

The undersigned hereby certifies by checking
the appropriate boxes that:

 

(1)      
the Rights evidenced by this Right Certificate ☐
are ☐ are not being exercised by or on behalf of a Person who is or was an Acquiring
Person or an Affiliate or Associate of any such Person (as such terms are defined pursuant to the Rights Agreement); and

 

(2)      
after due inquiry and to the best knowledge of the undersigned, it ☐
did ☐ did not acquire the Rights evidenced by this Right Certificate from any
Person who is, was, or became an Acquiring Person or an Affiliate or Associate of an Acquiring Person.

 

Dated:                                 ,        

 

 

	 	 
	 	Signature

 

    	 	B-8	 

     

    
CERTIFICATE

 

NOTICE

 

Signatures on the foregoing Form of Assignment
and Form of Election to Purchase and in the related Certificates must correspond to the name as written upon the face of this Right
Certificate in every particular, without alteration or enlargement or any change whatsoever.

 

In the event the certification set forth
above in the Form of Assignment or the Form of Election to Purchase, as the case may be, is not completed, the Company and the
Rights Agent will deem the beneficial owner of the Rights evidenced by this Right Certificate to be an Acquiring person or an Affiliate
or Associate thereof (as defined in the Rights Agreement) and such assignment or election purchase will not be honored.

 

    	 	B-9	 

     

    

EXHIBIT C

 

SUMMARY OF RIGHTS TO PURCHASE PREFERRED STOCK

 

Effective as of April
8, 2016, the Board of Directors (the “Board”) of SWK Holdings Corporation, Delaware corporation (“SWK”),
adopted a rights plan and declared a dividend of one preferred share purchase right for each outstanding share of common stock.
The dividend is payable to SWK’s stockholders as of the record date of April 18, 2016. The terms of the rights and the rights
plan are set forth in a Rights Agreement, by and between SWK and Computershare Trust Company, N.A., a federally chartered trust
company, as Rights Agent, dated as of April 8, 2016.

 

This summary of rights
provides only a general description of the rights plan, and thus, should be read together with the entire rights plan, which is
incorporated in this summary by reference. Upon written request, SWK will provide a copy of the rights plan free of charge to any
of its stockholder.

 

By adopting the rights
plan, SWK’s Board protects stockholder value because the rights plan protects SWK’s ability to carry forward its net
operating losses (the “NOLs”). In prior years, SWK has experienced substantial operating losses, and
under the Internal Revenue Code and rules promulgated by the Internal Revenue Service, SWK may “carry forward” these
losses in certain circumstances to offset current and future earnings and thus, reduce SWK’s federal income tax liability,
subject to certain requirements and restrictions. However, if SWK experiences an “Ownership Change,” as defined in
Section 382 of the Internal Revenue Code, SWK’s ability to use its NOLs could be substantially limited or lost altogether.

 

SWK’s rights plan
imposes a significant penalty upon any person or group that acquires 4.9% or more (but less than 50%) of its outstanding common
stock without the prior approval of SWK’s Board. Stockholders who own 4.9% or more of SWK’s outstanding common stock
as of the close of business on April 8, 2016 may not acquire any additional shares of SWK’s outstanding common stock so long
as their ownership is 4.9% or more. A person or group that the Board of Directors of the Company knows has acquired a percentage
of SWK’s common stock in excess of the above-mentioned applicable threshold but less than 50% of SWK’s common stock
is called an “Acquiring Person.” Any rights held by an Acquiring Person are null and void and may not
be exercised. SWK’s Board may exempt any person or group from being deemed an Acquiring Person for purposes of the rights
plan.

 

The Rights. SWK’s
Board authorized the issuance of one right per each outstanding share of SWK’s common stock on April 18, 2016. If the rights
become exercisable, each right would allow its holder to purchase from SWK one one-hundredth of a share of SWK’s Series A
Junior Participating Preferred Stock for a purchase price of $50.00. Each fractional share of preferred stock would give the stockholder
approximately the same dividend, voting and liquidation rights as does one share of SWK’s common stock. However, a right
does not give its holder any dividend, voting or liquidation rights prior to exercise.

 

Exercisability.
The rights will not be exercisable until 10 days after a public announcement by SWK that a person or group has become an Acquiring
Person.

 

    	 	C-1	 

     

    

SWK refers to the date
that the rights become exercisable as the “Distribution Date.” Until the Distribution Date, SWK’s common stock
certificates will evidence the rights and will contain a notation to that effect. Any transfer of shares of common stock prior
to the Distribution Date will constitute a transfer of the associated rights. On or after the Distribution Date, the rights will
separate from the common stock and will be evidenced by rights certificates, which SWK will mail to all holders of rights that
have not become null and void.

 

Flip-in Event.
On or after the Distribution Date, if a person or group already is or becomes an Acquiring Person, all holders of rights, except
the acquiring person, may exercise their rights upon payment of the purchase price to purchase shares of SWK’s common stock
(or other securities or assets as determined by SWK’s Board) with a market value of two times the purchase price.

 

Flip-over Event.
On or after the Distribution Date, if a flip-in event has already occurred and SWK is acquired in a merger or similar transaction,
all holders of rights except the Acquiring Person may exercise their rights upon payment of the purchase price, to purchase shares
of the acquiring corporation with a market value of two times the purchase price of the rights.

 

Rights may be exercised
to purchase SWK’s preferred shares only on or after the Distribution Date occurs and prior to the occurrence of a flip-in
event as described above. A Distribution Date resulting from any occurrence described above would necessarily follow the occurrence
of a flip-in event, in which case the rights could be exercised to purchase shares of common stock or other securities as described
above.

 

Expiration. The
rights will expire on April 8, 2019 unless earlier redeemed or exchanged.

 

Redemption. SWK’s
Board may redeem all (but not less than all) of the rights for a redemption price of $0.0001 per right at any time before the later
of the Distribution Date and the date of the first public announcement or disclosure by SWK that a person or group has become an
Acquiring Person. Once the rights are redeemed, the right to exercise rights will terminate, and the only right of the holders
of rights will be to receive the redemption price. The redemption price will be adjusted if SWK declares a stock split or issues
a stock dividend on its common stock.

 

Exchange. After
the earlier of the distribution date and the date of the first public announcement by SWK that a person or group has become an
Acquiring Person, but before an Acquiring Person owns 50% or more of SWK’s outstanding common stock, SWK’s Board may
exchange each right (other than rights that have become null and void) for one share of common stock or an equivalent security.

 

Anti-Dilution Provisions.
SWK’s Board may adjust the purchase price of the preferred shares, the number of preferred shares issuable and the number
of outstanding rights to prevent dilution that may occur as a result of certain events, including among others, a stock dividend,
a stock split or a reclassification of the preferred shares or SWK’s common stock. No adjustments to the purchase price of
less than 1% will be made.

 

    	 	C-2	 

     

    

Amendments. Before
the time the rights cease to be redeemable, SWK’s Board may amend or supplement the rights plan without the consent of the
holders of the rights, except that no amendment may decrease the redemption price. At any time thereafter, SWK’s Board may
amend or supplement the rights plan only to cure an ambiguity, to alter time period provisions, to correct inconsistent provisions
or to make any additional changes to the rights plan, but only to the extent that those changes do not impair or adversely affect
any rights holder and do not result in the rights again becoming redeemable.

 

    	 	C-3	 

     

    

ANNEX 1

 

 

TRUST AGREEMENT

 

TRUST AGREEMENT dated
as of [      ] (this “Trust Agreement” or this “Agreement”) dated       between SWK Holdings
Corporation, a Delaware corporation (the “Depositor”), and      as trustee (the “Trustee”).

 

W I T N E S S E T H:

 

WHEREAS, the Depositor
is a party to that certain Second Amended and Restated Rights Agreement between the Depositor and Computershare Trust Company,
N.A., as Rights Agent (as amended, amended and restated and supplemented from time to time, the “Rights Agreement”);

 

WHEREAS, capitalized terms
used but not defined herein shall have the meaning ascribed to such terms in the Rights Agreement;

 

WHEREAS, on [insert date]
of, the Board of Directors of the Depositor determined that [insert name of Acquiring Person], together with their Affiliates and
Associates (as defined in the Rights Agreement), became Acquiring Persons (as defined in the Rights Agreement) under the Rights
Agreement and further determined that such Acquiring Persons were not Exempt Persons (as defined in the Rights Agreement);

 

WHEREAS, pursuant to
Section 24 of the Rights Agreement, the Board of Directors of the Depositor declared an exchange (the “Exchange”) of
all Rights held of record as of [insert Exchange Record Date] (the “Exchange Record Date”) (other than any Rights that
became null and void pursuant to Section 11(a)(ii) of the Rights Agreement) at an exchange ratio of one share of the Depositor’s
common stock, par value $0.001 per share (the “Common Stock”), per Right; provided, however, that the Board of
Directors of the Depositor resolved that any “Person” (as defined in the Rights Agreement) (other than Acquiring Persons)
who had purchased or received a transfer of shares of Common Stock prior to the Exchange Record Date (and has not subsequently
sold, transferred or otherwise disposed of such shares), but who had not become the record holder of such shares as of the Exchange
Record Date due to the settlement of such purchase not having become effective as of the Exchange Record Date was entitled to receive,
upon such settlement, the shares issuable upon the exchange for the rights associated with the shares subject to the purchase;
provided, further, that the Review Committee further resolved that any Person who had sold shares of Common Stock prior to the
Exchange Record Date but who continued to be reflected on the books and records of the Depositor as the record holder of such shares
due to the settlement of such sale not having become effective as of the Exchange Record Date was not entitled to receive the shares
issuable upon the exchange for the rights associated with the shares subject to the sale (the Persons entitled to participate in
the Exchange being hereinafter referred to as “Exchange Participants”);

 

WHEREAS, following the
distribution of Exchange Shares on [insert date of Initial Distribution], (the “Initial Distribution”), there remained
a number of Exchange Shares distributable to Exchange Participants pursuant to the Exchange;

 

    	 	1	 

     

    

WHEREAS, to provide for
an orderly and efficient completion of the Exchange, and to ensure that only those entitled to distribution of shares of Common
Stock pursuant to the Exchange receive distribution of such shares, the Depositor desires to form a trust to hold and distribute
the remaining shares of Common Stock distributable pursuant to the Exchange in accordance with the terms of this Agreement;
and

 

WHEREAS, the Trustee
is willing to accept the duties and obligations imposed hereby on the terms and conditions set forth herein.

 

NOW, THEREFORE, in consideration
of the mutual agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

 

ARTICLE I

 

ORGANIZATION

 

SECTION 1.1 Creation
of Trust. The Depositor and the Trustee hereby create a trust (the “Trust”) on the terms and conditions set forth
herein for the benefit of the Depositor. The Trust shall be known as “SWK 20[_] Rights Exchange Trust,” in which name
the Trustee may conduct the business of the Trust, make and execute contracts, and sue and be sued. It is the intention of the
parties hereto that the Trust created hereby constitute a statutory trust under Chapter 38 of Title 12 of the Delaware Code, 12
Del. C. § 3801 et seq. (the “Delaware Statutory Trust Act”) and that this Agreement constitute the governing instrument
of the Trust. The Trustee is hereby authorized and directed to execute and file a certificate of trust with the Secretary of State
of the State of Delaware in the form attached hereto as Exhibit A.

 

SECTION 1.2 Situs
of Trust. The Trust will be located and administered in the State of Delaware. The only office of the Trust will be at the
Corporate Trust Office of the Trustee within the State of Delaware.

 

SECTION 1.3 Appointment
of Trustee. The Depositor hereby appoints the Trustee as trustee of the Trust, effective immediately following the Initial
Distribution (the “Effective Time”), to have all the rights, powers and duties set forth herein. The Trustee hereby
accepts such appointment and declares that it will hold the Trust Estate (as defined herein) upon the trusts set forth herein and
for the use and benefit of the Beneficiaries (as defined herein).

 

SECTION 1.4 Purposes
and Powers of the Trust. The purposes of the Trust are, and the Trust shall have the power and authority, to engage in the
following activities:

 

(a)         
to accept and hold the Trust Estate;

 

		(b)	to distribute the Trust Estate to the Beneficiaries pursuant to the
terms hereof; and

 

(c)        
to engage in those activities that are necessary, suitable or convenient to accomplish the
foregoing or are incidental thereto or connected therewith.

 

    	 	2	 

     

    

SECTION 1.5 Transfer
to Trust. At the Effective Time, the Depositor shall transfer and deposit into the Trust, for the purposes set forth herein,
that number of shares of Common Stock equal to (a) the total number of shares of Common Stock issued pursuant to the Exchange less
(b) that number of shares of Common Stock distributed in connection with the Initial Distribution. Such deposit, together with
any dividends or distributions thereon made after the Effective Time and all other assets or rights held from time to time by the
Trust, shall constitute the “Trust Estate.” In connection with such initial deposit, at the Effective Time, the Depositor
shall deliver, or cause to be delivered, to the Trustee written confirmation of the number of shares of Common Stock that have
been issued in the name of the Trust. In connection with each deposit made after the Effective Time, the Depositor shall deliver,
or cause to be delivered, to the Trustee a written notice describing the assets so deposited and the rights of the Beneficiaries
with respect thereto.

 

SECTION 1.6 Title
to Trust Property. Legal title to the Trust Estate shall be vested at all times in the Trust as a separate legal entity except
where applicable law in any jurisdiction requires title to any part of the Trust Estate to be vested in a trustee or trustees,
in which case title shall be deemed to be vested in the Trustee, a co-trustee and/or a separate trustee, as the case may be.

 

ARTICLE II

 

BENEFICIARIES

 

SECTION 2.1 Beneficiaries.
The Exchange Participants who have not received Exchange Shares pursuant to the Initial Distribution shall automatically, and without
any action being required of such Persons, be the beneficial owners (each, a “Beneficiary” and collectively, the “Beneficiaries”)
of the Trust, each owning the same number of Beneficial Interest Units as shares of Common Stock distributable to such Beneficiary
pursuant to the Exchange (together with any dividends and distributions thereon made after the Effective Time). For purposes of
this Trust Agreement, “Beneficial Interest Units” shall mean equal units of the undivided beneficial interest (as provided
in this Trust Agreement) of the Beneficiaries in the Trust Estate. The Beneficial Interest Units shall be uncertificated. For the
avoidance of doubt, [insert name of Acquiring Person] and any Affiliates or Associates thereof shall not be Beneficiaries of the
Trust.

 

SECTION 2.2 Transfer
of Beneficial Interest Units. Beneficial Interest Units may not be transferred in any manner whatsoever (including, without
limitation, by sale, exchange, gift, pledge or creation of a security interest) except (a) by bequest or inheritance in the case
of an individual Beneficiary, or (b) by operation of law.

 

ARTICLE III

 

DECLARATION OF TRUST

 

SECTION 3.1 Declaration
of Trust. The Trustee hereby declares that it will hold the Trust Estate and all other assets and documents delivered to it
pursuant to this Trust Agreement, in trust upon and subject to the conditions set forth herein for the use and benefit of the Beneficiaries.
The Trust is being established by the Depositor for the protection and conservation of the Trust Estate.

 

    	 	3	 

     

    

ARTICLE IV

 

DISTRIBUTIONS
OF TRUST ESTATE

 

SECTION 4.1 Distributions.
Each Beneficial Interest Unit shall entitle the holder thereof to distribution of a like number of shares of Common Stock from
the Trust upon the terms and conditions provided herein, plus any dividends or distributions on the underlying shares of Common
Stock made after the Effective Time. The Trustee shall distribute shares of Common Stock (plus any dividends or distributions on
the underlying shares of Common Stock made after the Effective Time) to a Beneficiary that has complied with Section 4.2 hereof
as promptly as practicable following the date on which such Beneficiary has provided the Trustee with the certification required
by Section 4.2 hereof. Upon receipt of the certification of a Beneficiary required by Section 4.2 hereof, the Trustee shall (i)
notify the Transfer Agent (or any successor transfer agent) and the Depositor of the name of such Beneficiary and the number of
shares of Common Stock requested by such certifying Beneficiary and (ii) submit a transfer instruction, in the form attached hereto
as Exhibit B, to the Transfer Agent such successor transfer agent, directing the transfer of the requested number of shares
of Common Stock held by the Trust to the certifying Beneficiary. Upon the distribution of shares of Common Stock (plus any dividends
or distributions on the underlying shares of Common Stock made after the Effective Time) to a Beneficiary such Beneficiary’s
Beneficial Interest Units shall be automatically terminated and such Beneficiary will cease to be a Beneficiary of the Trust thereupon.
In the event that there are insufficient shares of Common Stock or other assets held by the Trust to honor all requests for distribution
made in compliance with this Agreement and received by the Trustee, the Trustee shall notify the Depositor of such deficiency,
and the Depositor shall use its best efforts to cause to be issued or delivered to the Trust such number of shares and such other
assets as shall be necessary to satisfy such deficiency.

 

SECTION 4.2 Certification
of Beneficiary Status. As a condition to its receipt of any distribution from the Trust, each Beneficiary that is or was a
registered owner of Common Stock on the books and records of the Depositor must provide the Trustee with the certification as to
Beneficiary status in the form attached hereto as Exhibit C, and each Beneficiary that holds or held its shares beneficially
in “street name” must provide the Trustee with the certification as to Beneficiary status in the form attached hereto
as Exhibit D. The Trustee shall be fully protected in relying upon such certification and shall have no duty or obligation
to verify the status of a Beneficiary or the accuracy of such Beneficiary’s claim to its respective portion of the Trust
Estate. Notwithstanding anything to the contrary set forth herein, the Depositor, in its absolute discretion, may exempt any Beneficiary
from the requirement to provide any such certification by furnishing to the Trustee written notice specifying the identity of the
Beneficiary and the number of Beneficial Interest Units held thereby and representing that the Depositor has declared such Beneficiary
to be exempt from such requirement (and the Trustee, in making a distribution to any such Beneficiary, shall be fully protected
in relying on the Depositor’s representation that such Beneficiary is exempt from such requirement). Upon receipt of any
such notice, the Trustee shall distribute to the relevant Beneficiary that portion of the Trust Estate represented by such Beneficiary’s
Beneficial Interest Units and, upon such distribution, such Beneficiary’s Beneficial Interest Units shall be automatically
terminated and such Beneficiary shall cease to be a Beneficiary of the Trust.

 

    	 	4	 

     

    

SECTION 4.3 Dividends.

 

4.3.1      
Cash Dividends. The Trustee shall receive and hold, subject to the terms of this
Agreement, any dividends or distributions declared and paid on the shares included in the Trust Estate (which dividends or distributions
shall become part of the Trust Estate) and shall distribute such dividends or distributions to the Beneficiaries in proportion
to their respective interests therein in accordance with the terms of this Agreement, such distribution to be equivalent to the
dividends or distribution which each respective holder would have otherwise been entitled to receive had such shares not then been
included in the Trust Estate at the time of the payment of the dividend or distribution. [Payment of any such dividends or distributions
shall be made by check or wire transfer as a one-time disbursement at the time of the distribution to such Beneficiary of its respective
portion of the Trust Estate.]

 

4.3.2      
Trust Account; Money Need Not Be Segregated. (a) If the Trustee shall receive
any dividends or distributions on the Trust Estate, the Trustee shall establish and maintain with itself a non-interest bearing
trust account (the “Trust Account”), into which it shall deposit, on the same day as received, such dividends or distributions
and any future dividends or distributions received by it, for disbursement to the Beneficiaries in accordance with Section 4.3.1
above. No monies received by the Trustee need be segregated in any manner except to the extent required by law, and the Trustee
shall not be liable for any interest thereon.

 

4.3.3      
Stock Dividends. The Trustee shall receive and hold, subject to the terms of this
Agreement, any securities of the Depositor issued in respect of the shares included in the Trust Estate by reason of any capital
reorganization, stock split, combination, stock dividend or other distribution, including through any exchange of rights (which
securities shall become part of the Trust Estate), and shall deliver such securities to the Beneficiaries in proportion to their
respective interests therein in accordance with the terms of this Agreement.

 

4.3.4      
Merger, Consolidation and Dissolution. In connection with any merger, consolidation
or dissolution involving the Depositor or any shares of Common Stock of the Depositor or other voting securities held in the Trust
immediately prior to the effective time of such merger, consolidation or dissolution, such shares of Common Stock and other voting
securities, if any, shall be converted at the effective time of such merger or consolidation into shares of stock or other equity
interests of the surviving or resulting entity of such merger or consolidation on the same terms as are provided for all other
shares of Common Stock of the Depositor or voting securities under the agreement of merger or consolidation, as the case may be,
or shall be converted at the effective time of such merger or dissolution into the right to receive the consideration payable in
connection with such merger or dissolution on the same terms as are provided for all other shares of Common Stock of Depositor
or voting securities under the agreement of merger or plan of dissolution, as the case may be, and the Trustee shall hold all shares
or other equity interests of the surviving or resulting entity into which the shares of Common Stock or other voting securities
were directly converted (which shares or other equity interests shall become part of the Trust Estate), or shall take all actions
necessary to receive and hold the consideration payable in connection with any merger or dissolution (which consideration shall
become part of the Trust Estate), in each case for the benefit of the Beneficiaries, and shall deliver such shares or other equity
interests or such consideration, as the case may be, to the Beneficiaries in proportion to their respective interests therein in
accordance with the terms of this Agreement.

 

    	 	5	 

     

    

If
the Trustee shall receive cash as consideration in connection with any transaction described in this Section 4.3.4, the Trustee
shall establish and maintain with itself a non-interest bearing Trust Account into which it shall deposit, on the same day as
received, the amount received by it, for disbursement to the Beneficiaries in accordance with this Agreement.

 

ARTICLE V

 

DEPOSITOR’S AGREEMENTS

 

The Depositor acknowledges and agrees as follows:

 

SECTION 5.1 Compensation
and Indemnification of the Trustee. The Depositor hereby agrees to (i) compensate the Trustee in accordance with a separate
fee agreement with the Trustee, (ii) reimburse the Trustee for all reasonable expenses (including reasonable fees and expenses
of counsel and other experts) and (iii) indemnify, defend and hold harmless the Trustee and any of the officers, directors, employees
and agents of the Trustee (the “Indemnified Persons”) from and against any and all losses, damages, liabilities, claims,
actions, suits, costs, expenses, disbursements (including the reasonable fees and expenses of counsel), taxes and penalties of
any kind and nature whatsoever (collectively, “Liabilities”), to the extent that such Expenses arise out of or are
imposed upon or asserted at any time against such Indemnified Persons with respect to the performance of this Trust Agreement,
the creation, operation or termination of the Trust or the transactions contemplated hereby; provided, however, that the Depositor
shall not be required to indemnify any Indemnified Person for any Liabilities which are a result of the willful misconduct of such
Indemnified Person or the bad faith violation by such Indemnified Person of the implied contractual covenant of good faith and
fair dealing. To the fullest extent permitted by law, Liabilities to be incurred by an Indemnified Person shall, from time to time,
be advanced by, or on behalf of, the Depositor prior to the final disposition of any matter upon receipt by the Depositor of an
undertaking by, or on behalf of, such Indemnified Person to repay such amount if it shall be determined that the Indemnified Person
is not entitled to be indemnified under this Trust Agreement. This Section shall survive the termination of the Trust and the Trust
Agreement.

 

ARTICLE VI

 

CONCERNING THE TRUSTEE

 

SECTION 6.1 Authority of Trustee;
Voting.

 

6.1.1      
General Authority. The Trustee is hereby authorized to take all actions required
of it pursuant to this Trust Agreement, including, without limitation, executing and delivering, on behalf of the Trust, each certificate
or other document attached to this Trust Agreement as an exhibit and any other amendment or other agreement or instrument described
herein, all as approved by the Depositor, as evidenced conclusively by the Trustee’s execution thereof. In addition to the
foregoing, the Trustee is authorized, but shall not be obligated, to take such actions as the Depositor may from time to time direct
in writing.

 

    	 	6	 

     

    

6.1.2      
Voting. The Trustee shall hold any and all shares of Common Stock and any other
voting securities of the Depositor (the “voting securities”) included in the Trust Estate under the terms and conditions
of this Agreement. The Trustee shall, on behalf of the Trust, have full power and authority, and is hereby fully and exclusively
empowered, authorized and obligated: (i) to vote in person or by proxy all such voting securities at all meetings of the stockholders
of the Depositor, or (ii) to give written consents in lieu of voting such shares at a meeting of the stockholders of the Depositor,
in either case in respect of any and all matters on which such shares are entitled to vote under the certificate of incorporation
of the Depositor or applicable law, including, but not limited to, the election of directors, any merger or consolidation, the
sale of all or substantially all of the Depositor’s assets, a dissolution of the Depositor and any amendments to the Depositor’s
certificate of incorporation. The Trustee shall have no authority or obligation to exercise discretion in respect of the vote to
be cast, but instead shall vote (in person or by proxy or by written consent) such voting securities on any matter on which such
shares are so entitled to vote in the same proportion as all voting securities of the Depositor (other than the voting securities
included in the Trust Estate) are voted on such matter. The Trustee’s power and obligation to vote such voting securities
held under this Agreement and to give written consents in respect thereof pursuant to this Agreement shall be irrevocable for the
term of this Agreement. The Trustee (i) shall have the right to waive notice of any meeting of stockholders of the Depositor in
respect of such shares and (ii) may exercise any power or perform any act hereunder by an agent or attorney duly authorized and
appointed by him. In furtherance of the foregoing, the Trustee shall execute and deliver an irrevocable proxy in the form attached
hereto as Exhibit E, granting the proxy or proxies named therein to cause the voting securities of the Trust to be voted
in accordance with this Section 6.1.2.

 

SECTION 6.2 Not
Acting in Individual Capacity. Except as expressly provided herein, in accepting the trusts hereby created, the Trustee acts
solely as trustee hereunder and not in its individual capacity; and all Persons, having any claim against the Trustee by reason
of the transactions contemplated hereunder shall have recourse solely to the Trust Estate (or a part thereof, as the case may be)
for payment or satisfaction thereof. The Trustee undertakes to perform such duties and only such duties as are specifically set
forth in this Trust Agreement and no implied covenants or obligations shall be read into this Trust Agreement against the Trustee.

 

SECTION 6.3 Interpretation
of Trust Agreement. In the event that the Trustee is uncertain as to the application of any provision of this Trust Agreement
or any other agreement relating to the transactions contemplated hereby, or such provision is ambiguous as to its application or
is, or appears to be, in conflict with any other applicable provision hereof, or in the event that this Trust Agreement permits
any determination by the Trustee or is silent or incomplete as to the course of action which the Trustee is required to take with
respect to a particular set of facts, the Trustee may seek instructions from the Depositor and shall not be liable to any Person
to the extent that it acts in good faith in accordance with the instructions of the Depositor; provided, that if the
Trustee shall not have received written instructions from the Depositor pursuant to its request within 10 days after the date of
such request (or within such shorter period as may be requested and required under the circumstances), until instructed otherwise
by the Depositor, the Trustee may, but shall be under no duty to, take or refrain from taking such action as it shall deem advisable
in the best interests of the Depositor and/or the Trustee.

 

    	 	7	 

     

    

SECTION 6.4 Standard
of Care. The Trustee accepts the trusts hereby created and agrees to perform the same but only upon the terms of this Trust
Agreement. To the fullest extent permitted by law, including Section 3806 of the Delaware Statutory Trust Act, the Trustee shall
only have the express duties (including fiduciary duties) provided herein and to the extent the express provisions of this Trust
Agreement restrict or eliminate such duties (including fiduciary duties) the terms of this Trust Agreement shall prevail. The Trustee
shall have no liability to the Depositor or the Beneficiaries under any circumstances except that the Trustee shall be liable (i)
for its own willful misconduct or bad faith violation of the implied contractual covenant of good faith and fair dealing, (ii)
for liabilities that may result from any representation or warranty of the Trustee hereunder being untrue or inaccurate and (iii)
for any taxes based on or measured by any fees, commissions or compensation received by the Trustee for acting as trustee or for
services rendered in connection with the transactions contemplated hereby. In particular, but not by way of limitation:

 

(i)     
The Trustee shall not be personally liable for any error of judgment made in good faith;

 

(ii)   
The Trustee shall not be required to take any action that is inconsistent with the purposes
of the Trust set forth in Section 1.4;

 

(iii)   No provision of this Trust Agreement shall require the Trustee to expend or risk its personal
funds, or otherwise incur any financial liability in the performance of its rights or powers hereunder, if the Trustee shall have
reasonable grounds for believing that repayment of such funds or adequate indemnity against such risk or liability is not reasonably
assured or provided to it;

 

(iv)   
Under no circumstances shall the Trustee be personally liable for any indebtedness or obligation
of the Trust;

 

(v)   
The Trustee shall not be liable for the default or misconduct of the Depositor, the Transfer
Agent (or any successor transfer agent or exchange agent), the Depository Trust Company, any Beneficiary or any other Person and
shall not be liable for any act or omission taken at the direction of the Depositor;

 

(vi)  
The Trustee shall incur no liability if, by reason of any provision of any present or future
law or regulation thereunder, or by any force majeure event, including but not limited to natural disaster, war or other circumstances
beyond its control, the Trustee shall be prevented or forbidden from doing or performing any act or thing which the Terms of this
Trust Agreement provide shall or may be done or performed;

 

(vii)   In no event whatsoever shall the Trustee be liable for any representation, warranty, covenant,
agreement, indebtedness or other obligation of the Trust; 

 

(viii)  The Trustee shall not be liable for any action it takes or omits to take in good faith reliance
on the certification of a Beneficiary, or the written instruction of the Depositor; and

 

    	 	8	 

     

    

(ix)      
Every provision of this Trust Agreement relating to the Trustee shall be subject to the provisions
of this Section 6.4.

 

SECTION 6.5 Reliance
on Writings, Use of Agents, Etc. The Trustee shall not incur any liability to anyone in acting upon any signature, instrument,
notice, resolution, request, consent, telegram, order, certificate, report, opinion, bond or other document or paper (including
deliveries contemplated by Section 4.2 hereof) reasonably believed by it to be genuine and reasonably believed by it to be signed
or sent by the proper party or parties. Unless other evidence in respect thereof is specifically prescribed herein, any request,
direction, order or demand of the Depositor or a Beneficiary mentioned herein, shall be sufficiently evidenced by written instruments
signed by the Depositor or a Beneficiary. The Trustee may accept a copy of a resolution of the Board of Directors of the Depositor,
certified by the Secretary or an Assistant Secretary of the Depositor as duly adopted and in full force and effect, as conclusive
evidence that such resolution has been duly adopted by such Person and that the same is in full force and effect. As to any fact
or matter the manner of ascertainment of which is not specifically described herein, the Trustee may for all purposes hereof rely
on a certificate, signed by the Depositor or a Beneficiary, as to such fact or matter, and such certificate shall constitute full
protection to the Trustee for any action taken or omitted to be taken by it in good faith in reliance thereon. In the performance
of its duties hereunder, the Trustee may execute any of the trusts or powers hereof and perform its powers and duties hereunder
directly or, at the expense of the Depositor, through agents or attorneys and may, at the reasonable expense of the Depositor,
consult with counsel, accountants and other skilled Persons to be selected and employed by it or them, and the Trustee shall not
be liable for anything done, suffered or omitted by it, in good faith and in accordance with the advice or opinion of any such
counsel, accountants or other skilled Persons appointed with due care and the Trustee shall not be liable for the negligence of
any such agent, attorney, counsel, accountant or other skilled Person appointed by it or them, as applicable, with due care hereunder.
Notwithstanding any other provision contained herein, the Trustee shall not be required to confirm or verify that a person purporting
to be a Beneficiary is in fact a Beneficiary and shall not be required confirm or verify that such person is entitled to the shares
of Common Stock it requests.

 

SECTION 6.6 No
Action Except Under Specified Documents or Instructions. The Trustee shall not manage, control, use, operate, lease, sell,
dispose of or otherwise deal with the Trust Estate except (i) in accordance with the terms of this Trust Agreement, (ii) in accordance
with the powers granted to, or the authority conferred upon, the Trustee pursuant to this Trust Agreement or (iii) in accordance
with written instructions from the Depositor pursuant to Section 6.1.1 or 6.3 hereof. The Trustee shall not be required to take
any action under this Trust Agreement unless the Trustee shall have been indemnified by the Depositor, in manner and form satisfactory
to the Trustee, against any liability, cost or expense (including counsel fees and disbursements) which may be incurred in connection
therewith; and if the Depositor shall have directed the Trustee to take any such action or refrain from taking any action,
the Depositor agrees to furnish such indemnity as shall be required and, in addition, to pay the reasonable compensation of the
Trustee for the services performed or to be performed by it pursuant to such direction. The Trustee shall not be required to take
any action under this Trust Agreement if the Trustee shall reasonably determine or shall have been advised by counsel that such
action is contrary to the terms of this Agreement or is otherwise contrary to law. The Trustee shall be under no obligation to
institute, conduct or defend any litigation, at the request, order or direction of the Beneficiaries or any other Person, unless
such Beneficial Owners have offered to the Trustee security or indemnity satisfactory to it against the costs, expenses and liabilities
that may be incurred by the Trustee (including, without limitation, the reasonable fees and expenses of its counsel) therein or
thereby, including such advances as the Trustee shall request.

 

    	 	9	 

     

    

SECTION 6.7 Exculpatory
Provisions. Any and all exculpatory provisions, immunities and indemnities in favor of the Trustee under this Trust Agreement
shall inure to the benefit of the Trustee in its individual capacity or as a party to any agreement referred to herein or therein.

 

SECTION 6.8 Trustee
Not Liable for Trust Estate. The recitals contained herein shall be taken as the statements of the Depositor, and the Trustee
assumes no responsibility for the correctness thereof. The Trustee makes no representations as to the validity or sufficiency of
this Trust Agreement or of any related documents. The Trustee shall at no time have any responsibility or liability for or with
respect to the genuineness, sufficiency or validity of the Trust Estate.

 

SECTION 6.9 Trustee
May Own Beneficial Unit Interests or Common Stock. The Trustee in its individual or any other capacity may become the owner
or pledgee of Beneficial Unit Interests or Common Stock of the Depositor and may deal with the Beneficiaries and the Depositor
in banking transactions with the same rights as it would have if it were not the Trustee.

 

SECTION 6.10 Certain
Rights of the Trustee. Notwithstanding anything contained herein to the contrary, the Trustee shall not be responsible for
ascertaining whether any transfer complies with the registration provisions or exemptions from the Securities Act of 1933, as amended,
the Securities Exchange Act of 1934, as amended, applicable state securities law, the Employee Retirement Income Security Act,
the Investment Company Act of 1940, any other applicable law, or the provisions of this Agreement. The Trustee shall have no duty
or obligation to prepare or file any tax returns or other filings on behalf of the Trust, all of which shall be prepared or filed
or be caused to be prepared or filed by the Depositor on behalf of the Trust. Except as expressly provided herein, the Trustee
shall have no duty to (i) see to any recording or filing of any document, (ii) see to the payment or discharge of any tax, assessment
or other governmental charge or any lien or encumbrance of any kind owing with respect to, assessed or levied against any part
of the Trust, (iii) to confirm or verify any financial statements or to inspect the Depositor’s books and records at any
time.

 

ARTICLE VII

 

RESIGNATION AND REMOVAL
OF TRUSTEE; APPOINTMENT OF SUCCESSORS; CO-TRUSTEE

 

SECTION 7.1 Resignation;
Successor Trustee. The Trustee or any successor thereto may, with respect to the Trust, resign at any time without cause by
giving at least 30 days’ prior written notice to the Depositor, such resignation to be effective upon the acceptance of
appointment of a successor trustee as hereinafter provided. In addition, the Depositor may at any time with respect to the Trust
Estate remove the Trustee without cause by an instrument in writing, delivered to the Trustee, such removal to be effective upon
the acceptance of appointment by the successor trustee as hereinafter provided. In the case of the resignation or removal of the
Trustee, the Depositor shall appoint, subject to Section 7.3 hereof, a successor Trustee or Trustees by an instrument signed by
the Depositor. If the Depositor shall not have appointed a successor Trustee or Trustees within 30 days after such resignation
or removal, the Trustee shall continue as Trustee and may apply to any court of competent jurisdiction to appoint a successor
Trustee to act until such time, if any, as a successor or successors shall have been appointed by the Depositor as above provided;
any successor Trustee so appointed by such court shall immediately and without further act be superseded by any successor Trustee
thereafter appointed by the Depositor.

 

A successor Trustee hereunder
shall be deemed a Trustee for all purposes hereof, and each reference herein to the Trustee shall thereafter be deemed to include
such successor.

 

    	 	10	 

     

    

SECTION 7.2 Acceptance
of Appointment. Any successor Trustee, whether appointed by a court, the Depositor or the Trustee, shall execute and deliver
to its predecessor Trustee an instrument reasonably satisfactory to such predecessor Trustee accepting such appointment, and thereupon
such successor Trustee, without further act, shall with respect to the Trust become vested with all the estates, properties, rights,
powers, duties and trusts of the predecessor Trustee in the trusts hereunder with like effect as if originally named as an Trustee
herein; but nevertheless upon the written request of such successor Trustee such predecessor Trustee shall execute and deliver
an instrument reasonably satisfactory to such successor Trustee transferring to such successor Trustee, upon the trusts herein
expressed, all the estates, properties, rights, powers and trusts of such predecessor Trustee, and such predecessor Trustee shall
duly assign, transfer, deliver and pay over to such successor Trustee any property or monies then held by such predecessor Trustee
upon the trusts herein expressed. Any successor Trustee shall execute and file an amendment to the certificate of trust of the
Trust with the Delaware Secretary of State changing the name and business address in the State of Delaware of the Trustee.

 

SECTION 7.3 Qualification
of Successor Trustee. Any successor to the Trustee, however appointed, shall be a bank or trust company organized under the
laws of the United States or any jurisdiction thereof having a combined capital and surplus of at least $50,000,000 and shall satisfy
the requirements of Section 3807 of the Delaware Statutory Trust Act, provided, that there exists such an institution willing,
able and legally qualified to perform the duties of the Trustee hereunder upon reasonable or customary terms.

 

SECTION 7.4 Merger
of Trustee. Any corporation into which the Trustee may be merged or converted or with which it may be consolidated, or any
corporation resulting from or surviving any merger, conversion or consolidation to which the Trustee shall be a party, or any corporation
to which all or substantially all the corporate trust business of the Trustee may be transferred, shall, subject to the terms of
this Article, succeed to the Trustee’s position as Trustee under this Trust Agreement without any further act.

 

SECTION 7.5 Status
of Successor Trustee. A successor Trustee shall have the same duties, powers and discretion conferred herein on the Trustee.
A successor Trustee may accept the assets of the Trust Estate delivered to it by its predecessor Trustee as constituting the entire
assets of the Trust Estate and shall not be required to take any action to determine what constitutes the Trust Estate or to obtain
possession of any assets thereof or to investigate any acts, omissions or misconduct of its predecessor Trustee.

 

    	 	11	 

     

    

SECTION 7.6 Co-Trustee.
At any time or times, for the purpose of meeting the legal requirements of any jurisdiction in which any part of the Trust Estate
hereunder may at the time be located, the Trustee shall have power to appoint one or more Persons (who may be officers or affiliates
of the Trustee) or institutions to act as co-Trustee, jointly with the Trustee or separately from the Trustee at the direct written
instruction of the Depositor, in either case as required by applicable state law, of all or any part of the Trust Estate hereunder,
or of any property constituting part thereof, in either case with such powers as may be provided in the instrument of appointment,
and to vest in such Person or Persons in the capacity as aforesaid, any property, title, right or power deemed necessary or desirable.
All provisions of this Trust Agreement which are for the benefit of the Trustee shall extend to and apply to each co-Trustee appointed
pursuant to the foregoing provisions of this Section.

 

ARTICLE VIII

 

DISSOLUTION AND TERMINATION OF AND AMENDMENT
TO TRUST

 

SECTION 8.1 Dissolution
of Trust; Termination of Trust Agreement. The Trust will dissolve upon the earlier of (i) the final disposition by the
Trustee of all property constituting part of the Trust Estate or (ii) the time at which all property constituting part of the Trust
Estate would otherwise escheat to any applicable governing body under any escheat laws that would otherwise apply to such property.
Promptly upon dissolution of the Trust, and after the payment or the making of reasonable provision for the payment of any claims
or obligations of the Trust in accordance with Section 3808 of the Delaware Statutory Trust Act, the Trustee shall file, at the
direction and expense of the Depositor, a certificate of cancellation with the Delaware Secretary of State and thereupon this Agreement
(except for those provisions that expressly survive) and the Trust shall terminate.

 

SECTION 8.2 Supplements
and Amendments to this Trust Agreement.

 

(a)      At any time and
from time to time (i) the Trustee, together with the Depositor, may execute and deliver an amendment or a supplement to this Trust
Agreement to the extent, but only to the extent, that it relates to the Trust for the purpose of adding provisions to or changing
or eliminating provisions of this Trust Agreement and the Trust as specified in a written request of the Depositor and (ii) upon
the written request of the Depositor, the Trustee shall enter into such written amendment of or supplement to any of the other
documents referred to herein as the Depositor may agree to (to the extent such agreement is required) and as may be specified in
such request, or execute and deliver such written waiver or modification of the terms of any such other document as may be specified
in such request.

 

(b)      Prior to executing
any document required to be executed by it pursuant to the terms of Section 8.2(a), the Trustee shall be entitled to receive an
opinion of counsel to the effect that the execution of such document is authorized hereunder and (ii) an Officer’s Certificate
of the Depositor to the effect that all conditions precedent to the execution of the amendment or supplement have been met. If,
in the reasonable opinion of the Trustee, any such document adversely affects any right, duty, immunity or indemnity in favor of
the Trustee hereunder, the Trustee may in its discretion decline to execute such document, unless the Trustee shall have been indemnified
therefor by the Depositor in manner and form satisfactory to the Trustee.

 

    	 	12	 

     

    

SECTION 8.3 Limitations
on Rights of Others. Nothing in this Trust Agreement, whether express or implied, shall be construed to give to any Person
other than the Trustee, the Beneficiaries and the Depositor any legal or equitable right, remedy or claim under or in respect of
this Trust Agreement, any covenants, conditions or provisions contained herein or in the Trust Estate, all of which are and shall
be construed to be for the sole and exclusive benefit of the Trustee, the Depositor and the Beneficiaries.

 

ARTICLE IX

 

MISCELLANEOUS

 

SECTION 9.1 Entire
Agreement. This Trust Agreement embodies the entire agreement and understanding between the Depositor and the Trustee relating
to the subject matter hereof and of the Trust created pursuant hereto, and upon execution and delivery hereof, this Trust Agreement
will supersede any prior agreements and understandings relating to the Trust created hereby.

 

SECTION 9.2 Notices.
Except as otherwise set forth herein, all notices, consents and other communications relating to this Trust Agreement shall be
given as follows:

 

(i)      
if to the Depositor, at

SWK Holdings Corporation

14755 Preston Road, Suite 105

Dallas, TX 75254

Attention: Chief Executive Officer

Facsimile: (972) 687-7255

 

and

 

(ii)      if to the Trustee, at

 

or such other address,
telephone or telecopy number or other destination as the Depositor or the Trustee may from time to time designate by notice given
in accordance with the provisions of this Section 9.2.

 

SECTION 9.3 Governing
Law. This Trust Agreement shall be governed by and construed in accordance with the laws of the State of Delaware, without
regard to principles of conflict of laws.

 

SECTION 9.4 Benefit
of Parties, Successors and Assigns. This instrument shall be binding upon, and shall inure solely to the benefit of, the Beneficiaries
and the parties hereto and their respective successors and assigns.

 

SECTION 9.5 Survival
of Representations and Warranties. All representations and warranties contained herein shall survive the execution and delivery
of this Trust Agreement and the establishment of the Trust.

 

    	 	13	 

     

    

SECTION 9.6 Severability
of Invalid Provisions. Any provision of this Trust Agreement which is prohibited or unenforceable in any jurisdiction as to
the Trust shall, as to the Trust and such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate
or render unenforceable such provision in any other jurisdiction. To the extent permitted by applicable law, the parties hereto
hereby waive with respect to the Trust any provision of law which renders any provision hereof prohibited or unenforceable in
any respect.

 

SECTION 9.7 Effect
of Waiver; Remedies Not Exclusive. Waiver of the breach of any provision hereunder shall not be deemed a waiver of any
prior or subsequent breach of the same or any other provision hereof. Pursuit of any remedy with respect to the Trust shall not
be deemed the waiver of any other remedy hereunder or at law or in equity.

 

SECTION 9.8 Representations
and Warranties. The Depositor hereby represents and warrants to the Trustee, as of the date hereof, that:

 

(a)      
Due Organization. The Depositor is a corporation duly organized and validly existing
in good standing under the laws of Delaware, and has the power and authority to enter into and perform its obligations under this
Trust Agreement.

 

(b)      
Due Authorization. The execution, delivery and performance by the Depositor of this
Trust Agreement has been duly authorized by all necessary action on the part of the Depositor and does not require the consent
or approval of its stockholders or any trustee or holder of any of its indebtedness or other obligations, except such as have been
duly obtained, given or accomplished.

 

(c)      
Execution; Enforceability. This Trust Agreement has been duly executed and delivered
by the Depositor and (assuming the due authorization, execution and delivery by the Trustee of this Trust Agreement) this Trust
Agreement constitutes the Depositor’s legal, valid and binding obligation, enforceable against it in accordance with the
terms hereof, subject to applicable bankruptcy laws and laws affecting the rights of creditors generally.

 

(d)      
No Violation; No Consent. Neither the Depositor nor the Trust is an “Investment
Company” or a company controlled by an “Investment Company” required to register as such under the Investment
Company Act of 1940, as amended and that the execution, delivery and performance of this Trust Agreement does not and will not
violate or require any consent or approval of, the withholding of objection on the part of, the giving of notice to, the filing,
registration or qualification with, or the taking of any other action under, any agreement, license indenture or instrument to
which it is a party or by which it is bound or any provision of any law, rule, regulation, judgment, order, writ, injunction or
decree of any court or governmental authority applicable to it or any of its property.

 

SECTION 9.9 References
to Agreements and Instruments. Except as otherwise indicated, all the agreements and instruments herein defined shall mean
such agreements or instruments as the same may from time to time be supplemented or amended or the terms thereof waived or modified
to the extent permitted by, and in accordance with, the terms hereof and thereof.

 

    	 	14	 

     

    

SECTION 9.10 Headings.
The division of this Trust Agreement into articles and sections and the insertion of headings are for the convenience of reference
only and shall not affect the construction or interpretation of this Trust Agreement.

 

SECTION 9.11 Counterpart
Execution and Dating. This Trust Agreement and any amendment or supplement to this Trust Agreement may be executed in any number
of counterparts and by the different parties hereto and thereto on separate counterparts, each of which, when so executed and delivered,
shall be an original, but all such counterparts shall together constitute but one and the same instrument. Fully executed sets
of counterparts shall be delivered to, and retained by, the parties hereto.

 

SECTION 9.12 Limitation
on the Depositor’s and the Beneficiaries’ Liability. The Depositor shall not have any liability for the performance
of this Trust Agreement except as expressly set forth herein. The Beneficiaries shall be entitled to the same limitation of personal
liability extended to stockholders of private corporations for profit organized under the general corporation law of the State
of Delaware.

 

[Signature Page Follows]

 

    	 	15	 

     

    

IN WITNESS WHEREOF, the
parties hereto have each caused this Trust Agreement to be duly executed by their respective officers thereunto duly authorized
as of the date first above set forth.

 

 

	 	SWK HOLDINGS CORPORATION	 
	 	 	 	 
	 	 	 	 
	 	By: 	 	 
	 	 	Name:	 
	 	 	Title:	 
	 	 	 	 
	 	 	 	, as Trustee
	 	 	 	 
	 	 	 	 
	 	By:	 	 
	 	 	Name:	 
	 	 	Title:	 

 

    	 	16	 

     

    

Exhibit
A

 

CERTIFICATE OF TRUST OF

SWK 20[ _] RIGHTS EXCHANGE TRUST

 

THIS Certificate of Trust
of SWK 20[ ] Rights Exchange Trust (the “Trust”), is being duly executed and filed by the undersigned, as trustee,
to form a statutory trust under the Delaware Statutory Trust Act (12 Del. Code, § 3801 et seq.) (the “Act”).

 

		1.	Name. The name of the statutory trust formed hereby is SWK
20[_] Rights Exchange Trust.

 

		2.	Delaware Trustee. The name and business address of the trustee
of the Trust Trustee is ______________.

 

		3.	Effective Date. This Certificate of Trust shall be effective
upon filing.

 

IN WITNESS WHEREOF, the undersigned has duly
executed this Certificate of Trust in accordance with Section 3811(a) of the Act.

 

 

	 	[      not in its individual capacity, but       solely as Trustee
	 	 	 
	 	By:  	 	 
	 	 	Name:	 
	 	 	Title:	 

 

Ex. A

 

    	 

     

    

Exhibit
B

 

CERTIFICATION FOR TRANSFER OF RECORD OWNERSHIP
OF SHARES OF SWK SOFTWARE, INC. COMMON STOCK ISSUED IN EXCHANGE FOR PREVIOUSLY OUTSTANDING RIGHTS

 

On [insert effective
date of Exchange], each right previously outstanding under Amended and Restated Rights Agreement (the “Rights Agreement”)
of SWK Holdings Corporation (the “Company”) was exchanged (the “Exchange”) at the close of business on
that date for one share of the Company’s Common Stock (the “Common Stock”). The Exchange does not apply to rights
formerly held by any Acquiring Person (defined below) at the time of the Exchange.

 

On [insert date of determination
of Stock Acquisition Date by committee], a committee of the Company’s Board of Directors determined that [insert name of
Acquiring Person] and their Affiliates and Associates, as such terms are defined in the Rights Agreement (collectively, the “Group”),
became “Acquiring Persons” as of [insert Stock Acquisition Date]. As a result, rights held by members of the Group
became null and void on that date and members of the Group are not eligible to participate in the Exchange. No other person or
group has been determined to be an Acquiring Person. In order to receive shares of Common Stock in the Exchange, an eligible stockholder
is required to certify that it is not an Acquiring Person.

 

Prior to [insert date
of Initial Distribution], eligible stockholder certifications were to be provided to the Company’s Transfer Agent, [______________]
(the “Transfer Agent”), for processing. On [insert date of Initial Distribution], the Transfer Agent transferred all
shares that were not credited to the accounts of certifying stockholders to [Trustee.] The Company has appointed [Trustee] to serve
as Trustee under a Trust Agreement dated [_____________], to hold these shares on behalf of eligible stockholders who did not received
shares of Common Stock in the Exchange pursuant to the initial distribution by the Transfer Agent (each, a “Beneficiary”
and collectively, the “Beneficiaries”), pending receipt of the required certification. For the avoidance of doubt,
members of the Group are not Beneficiaries under the Trust Agreement.

 

To receive shares
of Common Stock from the Trustee, an eligible stockholder must certify that it is not an Acquiring Person by completing this certification
form in the space provided below.

 

The Rights Agreement
defines an “Affiliate” and “Associate” as having the respective meanings ascribed to them in Rule 12b-2
of the General Rules and Regulations of the Securities Exchange Act of 1934, as in effect on [insert Exchange Record Date], and
to the extent not included within such definitions, any other person whose shares of Common Stock would be deemed constructively
owned by such first person, owned by a single “entity” as defined in Section 1.382-3(a)(1) of applicable income tax
regulations under the Internal Revenue Code of 1986, as amended (the “Code”), or otherwise aggregated with shares of
Common Stock owned by such first person pursuant to the provisions of the Code, or any successor provision or replacement provisions;
provided, however, that a person shall not be deemed to be the Affiliate or Associate of another person solely because either or
both persons are or were directors of the Company.

 

Ex. B

 

    	 

     

    
*
* To receive a distribution of shares to which your clients may be entitled,

please certify the representation set
forth below * *

 

The undersigned hereby
represents, warrants and certifies to [Trustee], as Trustee, that he/she/it (a) was the holder of record of the number of shares
specified below as of the Close of Business (as defined in the Rights Agreement) on [insert Exchange Record Date] and is entitled
to distribution of such number of shares pursuant to the Exchange, (b) is NOT, and does NOT hold shares on behalf of any beneficial
owner that is, and was NOT, and does NOT hold shares on behalf of any beneficial owner that was, immediately prior to the declaration
of the Exchange, an Acquiring Person (c) is a Beneficiary under the Trust Agreement and understands and acknowledges that upon
distribution of the shares specified below he/she/it shall cease to be a Beneficiary under the Trust Agreement.

 

Ex. B

 

    	 

     

    

 

	 	Name, address telephone and	Number of SWK Holding Corporation 	 
	 	email of Beneficiary	shares held by Beneficiary: __________	 

 

[Name]

 

[Address]

 

[Telephone]

 

[Email]

 

[Address for delivery of Shares if different from above]

 

[Tax ID Number/SSN]

 

Form of Shares: (choose one)

 

[Physical Certificate] or

 

[Book Entry (Statement)]

 

	 	 
	 	Signature
	 	 
	 	 
	 	Printed Name
	 	 
	 	 
	 	Date:
	 	 

 

Ex. B

 

    	 

     

    

Exhibit
C

 

CERTIFICATE OF EXCHANGE

 

To SWK 20[   ] Rights Exchange Trust (the “Trust”):

 

The undersigned hereby requests distribution of shares of common stock, par value
$0.001 per share (the “Common Stock”), of SWK Holdings Corporation (the “Company”), distributable to the
undersigned pursuant to the exchange declared on [insert Exchange Record Date] (the “Exchange”) pursuant to the terms
of the Rights Agreement between the Company and Computershare Trust Company, N.A. (as amended and restated, the “Rights Agreement”).
The undersigned further requests that certificates representing such shares of Common Stock be issued in the name of:

 

(Please print name and address)

 

The undersigned hereby
certifies as of the date hereof that he/she/it (a) was the holder of record of that number of shares indicated above as of the
Close of Business (as defined in the Rights Agreement) on [insert Exchange Record Date] and is entitled to distribution of such
number of shares pursuant to the Exchange, (b) is a “Beneficiary” under the Trust Agreement, dated as of [      ],
between the Company and [Trustee], as Trustee (the “Trust Agreement”), (c) is not, and immediately prior to the declaration
of the Exchange was not, an Acquiring Person or an Affiliate or Associate of an Acquiring Person (as such terms are defined in
the Rights Agreement) and (d) shall cease to be a Beneficiary of the Trust upon distribution of the shares identified herein.

 

 

	 	 
	 	Signature
	 	 
	 	 
	 	Dated:

 

[Consider adding a NOTARY SIGNATURE BLOCK]

 

Ex. C

    	 

     

    

Exhibit D

CERTIFICATE OF EXCHANGE

 

To SWK 20[   ] Rights Exchange Trust (the “Trust”):

 

The undersigned hereby requests distribution of shares of common stock, par value
$0.001 per share (the “Common Stock”), of SWK Holdings Corporation (the “Company”), distributable to the
undersigned pursuant to the exchange declared on [insert Exchange Record Date] (the “Exchange”) pursuant to the terms
of the Rights Agreement between the Company and Computershare Trust Company, N.A. (as amended and restated, the “Rights Agreement”).
[The undersigned further requests that certificates representing such shares of Common Stock be issued in the name of:

 

(Please print name and address)

 

The undersigned hereby
certifies as of the date hereof that he/she/it (a) was the beneficial owner of that number of shares indicated above as of the
Close of Business (as defined in the Rights Agreement) on [insert Exchange Record Date] and is entitled to distribution of such
number of shares pursuant to the Exchange, is a “Beneficiary” under the Trust Agreement, dated as of [      ],
between the Company and [Trustee], as Trustee (the “Trust Agreement”), (c) is not, and immediately prior to the declaration
of the Exchange was not, an Acquiring Person or an Affiliate or Associate of an Acquiring Person (as such terms are defined in
the Rights Agreement) and (d) shall cease to be a Beneficiary of the Trust upon distribution of the shares identified herein.

 

 

	 	 
	 	Signature
	 	 
	 	 
	 	Dated:

 

 

[consider adding a NOTARY SIGNATURE BLOCK]

 

Ex. D.

 

    	 

     

    

Exhibit
E

 

IRREVOCABLE PROXY

 

The undersigned, acting
solely in its capacity as trustee of the SWK 20[ ] Rights Exchange Trust (the “Trust”), which holds shares of common
stock of SWK Holdings Corporation, a Delaware corporation (the “Company”), as of the date hereof, hereby irrevocably
appoints the Secretary of the Company, any other designee of the Company’s Board of Directors, or any other person duly authorized
to serve as proxy, as the sole and exclusive attorney-in-fact and proxies of the undersigned, with full power of substitution and
resubstitution, to vote and exercise all voting and related rights (to the full extent that the undersigned is entitled to do so)
with respect to all of the shares of common stock of the Company that now are or hereafter may be owned of record by the Trust,
and any and all other shares or securities of the Company issued or issuable, or exchanged or exchangeable, in respect thereof
on or after the date hereof (collectively, the “Shares”) in accordance with the terms of the Trust Agreement, dated
as of [      ] (as the same may be amended from time to time, the “Trust Agreement”), between the Company and
[Trustee], a Delaware banking corporation, as trustee. This proxy is irrevocable and is coupled with an interest.

 

The attorneys-in-fact
and proxies named above, and each of them, are hereby authorized and empowered by the undersigned to act as the undersigned’s
attorney-in-fact and irrevocable proxy, and to exercise all voting, consent and similar rights of the undersigned with respect
to the Shares (including, without limitation, the power to execute and deliver written consents), subject to and in accordance
with the terms of the Trust Agreement.

 

Any obligation of the
undersigned hereunder shall be binding upon the successors and assigns of the undersigned.

 

 

	 	[WILMINGTON TRUST COMPANY], as Trustee of the 20[  ] SWK Rights Exchange Trust
	 	 	 
	Dated: [___________________]	By: 	 
	 	 	Name:
	 	 	Title:

 

Ex. Echke_EX10_40

		
			Exhibit 10.40
		

		
			 
		

		
			SECOND AMENDMENT TO OFFICE LEASE
		

		
			 
		

		
			This SECOND AMENDMENT TO OFFICE LEASE (this “Second Amendment”) is made and entered into effective as of February 29, 2016 (the “Effective Date”), by and between KW TRICENTER, LLC, a Delaware limited liability company (“Landlord”), and CHEROKEE, INC., a Delaware corporation (“Tenant”).
		

		
			 
		

		
			R E C I T A L S  :
		

		
			 
		

		
			A.Tri-Center Plaza, LP, a California limited partnership (“Tri-Center Landlord”) and Tenant entered into that certain Office Lease dated as of September 30, 2011 (the “Original Lease”), as amended by that certain (i) First Amendment to Lease dated as of December 5, 2013 (the “First Amendment”), by and between Landlord (successor-in-interest to Tri-Center Landlord) and Tenant, and (ii) renewal exercise letter dated as of January 15, 2016 (the “Renewal Letter”) sent by Tenant. The Original Lease, the First Amendment and the Renewal Letter are collectively referred to herein as the “Lease”.
		

		
			 
		

		
			B.Pursuant to the Lease, Landlord currently leases to Tenant, and Tenant currently leases from Landlord, those certain premises consisting of approximately 11,399 rentable square feet, consisting of the following: (i) approximately 10,104 rentable square feet, commonly known as Suite 600 (the “Suite 600 Premises”) located on the sixth (6th) floor of that certain building addressed as 5990 Sepulveda Boulevard, Van Nuys, California 91411 (the “Building”), and (ii) approximately 1,295 rentable square feet, commonly known as Suite 210 (the “Suite 210 Premises”; together with the Suite 600 Premises, are hereinafter collectively referred to as, the “Premises”) located on the second (2nd) floor of the Building.
		

		
			 
		

		
			C.Except as otherwise expressly provided herein to the contrary, all capitalized terms used in this Second Amendment shall have the same meaning given such terms in the Lease.
		

		
			 
		

		
			D.Landlord and Tenant now desire to amend the Lease to (i) modify the Expiration Date (as defined in the First Amendment), and (ii) modify various terms and provisions of the Lease, all as hereinafter provided.
		

		
			 
		

		
			A G R E E M E N T  :
		

		
			 
		

		
			NOW, THEREFORE, in consideration of the foregoing Recitals and the mutual covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
		

		
			 
		

		
			1.Extension of Lease. The term of the Lease with respect to the entire Premises, which is currently scheduled to expire on October 31, 2016, is hereby extended for a period of five (5) years (the “Revised Term”) commencing as of November 1, 2016 (the “Revised Commencement Date”) and continuing until and expiring on October 31, 2021 (the “Revised Expiration Date”), unless sooner terminated in accordance with the terms of the Lease, as hereby amended.
		

		
			 
		

		
			 
		

		
			

		 

 

 
		

		
			2.Base Rent; Base Rent Abatement.
		

		
			 
		

		
			2.1.Base Rent. During the Revised Term, the Base Rent payable by Tenant for the entire Premises (i.e., the Suite 210 Premises and Suite 600 Premises) shall be as set forth in the following schedule (subject to abatement as provided in Section 2.2 below):
		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Period of
Revised Term

					
					
						 

					
					
						Annual Base Rent

					
					
						 

					
					
						Monthly Installments
of Base Rent

					
					
						 

				
	
					
						11/1/16 - 10/31/17

					
					
						 

					
					
						$

					
					
						367,959.72

					
					
						 

					
					
						$

					
					
						30,663.31

					
					
						 

				
	
					
						11/1/17 - 10/31/18

					
					
						 

					
					
						$

					
					
						378,998.52

					
					
						 

					
					
						$

					
					
						31,583.21

					
					
						 

				
	
					
						11/1/18 - 10/31/19

					
					
						 

					
					
						$

					
					
						390,368.52

					
					
						 

					
					
						$

					
					
						32,530.71

					
					
						 

				
	
					
						11/1/19 - 10/31/20

					
					
						 

					
					
						$

					
					
						402,079.56

					
					
						 

					
					
						$

					
					
						33,506.63

					
					
						 

				
	
					
						11/1/20 - 10/31/21

					
					
						 

					
					
						$

					
					
						414,141.84

					
					
						 

					
					
						$

					
					
						34,511.82

					
					
						 

				

		
			 
		

		
			Each monthly installment of Base Rent shall be due and payable, in advance, on or before the first day of each calendar month during the Revised Term.
		

		
			 
		

		
			2.2.Abatement of Base Rent. Notwithstanding anything to the contrary contained herein and provided that Tenant faithfully performs all of the terms and conditions of the Lease, as hereby amended, Landlord hereby agrees to abate Tenant’s obligation to pay the monthly installments of Base Rent otherwise payable by Tenant for the entire Premises (for a total abatement of $122,653.24) during the first four (4) months of the Revised Term (i.e., November 1, 2016 through February 28, 2017) (collectively, the “Abatement Period”) . During the Abatement Period, Tenant shall remain responsible for the payment of all of its other monetary obligations under the Lease, as hereby amended. In the event of a default by Tenant under the terms of the Lease, as hereby amended, that results in the early termination of the Lease, as hereby amended, pursuant to the provisions of Article 15 of the Original Lease, then as a part of the recovery set forth in Article 15 of the Original Lease, Landlord shall be entitled to recover the full amount of the Base Rent abated pursuant to the foregoing provisions of this Section 2.2.
		

		
			 
		

		
			3.Base Year. From and after the Revised Commencement Date, for purposes of determining increases in Operating Expenses and Property Taxes payable by Tenant under the Lease, as hereby amended, with respect to the entire Premises, the Base Year (originally set forth in Section 4.01(A) of the Original Lease, last amended by Section 4 of the First Amendment) shall be revised to be the calendar year 2016.
		

		
			 
		

		
			4.Condition of Premises. Tenant is in possession of the entire Premises and shall continue its occupancy of same in its current “AS-IS” condition as of the Effective Date and the Revised Commencement Date, without any agreements, representations, understandings or obligations on the part of Landlord to perform or pay for any alterations, repairs or improvements to any portion of the Premises.
		

		
			 
		

		
			5.Extension Option.
		

		
			 
		

		
			5.1.Extension Option. Landlord hereby grants Tenant one (1) option (the “Extension Option”) to extend the Revised Term for a period of five (5) years (the “Option
		

		
			
		

		
			

		 

		

			-2-

		

 

Term”).  Notwithstanding the foregoing, at Landlord’s option, in addition to any other remedies available to Landlord under the Lease, as amended hereby, at law and/or in equity, the Extension Option shall not be deemed properly exercised if as of the date of delivery of the Exercise Notice (as defined below) by Tenant, Tenant is in default under the Lease, as amended hereby, beyond any applicable notice and cure periods. Upon the proper exercise of the Extension Option, the Revised Term shall be extended for the Option Term. The Extension Option is personal to the original Tenant executing this Second Amendment (the “Original Tenant”) and may only be exercised by the Original Tenant (and not any assignee, sublessee or other transferee of Tenant’s interest in the Lease, as amended hereby) if the Original Tenant occupies the entire Premises as of the date of Tenant’s delivery of the Exercise Notice.
		

		
			 
		

		
			5.2.Option Rent. The Base Rent payable by Tenant during the Option Term (the “Option Rent”) shall be equal to the Fair Market Rental Rate for the entire Premises. As used herein, the “Fair Market Rental Rate” shall mean the annual base rent at which non-equity renewal tenants, as of the commencement of the Option Term, will be leasing non-sublease, unencumbered renewal space comparable in size, location and quality to the entire Premises for a comparable term as the Option Term, which comparable space is located in the Building and in other comparable first-class office buildings in Van Nuys and Sherman Oaks, California (the “Comparable Buildings”), taking into consideration all free rent and other out-of-pocket concessions generally being granted at such time for such comparable space for the Option Term (including, without limitation, any tenant improvement allowance provided for such comparable space, with the amount of such tenant improvement allowance to be provided for the Premises during the Option Term to be determined after taking into account the age, quality and layout of the tenant improvements in the entire Premises as of the commencement of the Option Term with consideration to the fact that the improvements existing in the Premises are specifically suitable to Tenant).
		

		
			 
		

		
			5.3.Exercise of Option. The Extension Option shall be exercised by Tenant, if at all, only in the following manner: (i) Tenant shall deliver written notice (“Exercise Notice”) to Landlord not more than twelve (12) months nor less than nine (9) months prior to the expiration of the Revised Term stating that Tenant is exercising the Extension Option (with the Option Rent to be determined as provided herein below); and (ii) Landlord, after receipt of Tenant’s Exercise Notice, shall deliver written notice (the “Option Rent Notice”) to Tenant not less than eight (8) months prior to the expiration of the Revised Term setting forth the Option Rent. Within fifteen (15) days after receipt of the Option Rent Notice, Tenant shall notify Landlord in writing whether Tenant accepts or disagrees with the Fair Market Rental Rate set forth in the Option Rent Notice (if Tenant fails to deliver such written notice, Tenant shall be deemed to have accepted the Fair Market Rental Rate set forth in the Option Rent Notice). Should Tenant accept (or be deemed to have accepted) the Fair Market Rental Rate set forth in the Option Rent Notice, the Option Rent for the Option Term shall be as set forth in the Option Rent Notice and the following provisions of Section 5.4 below shall not apply. Should Tenant properly and timely disagree with the Fair Market Rental Rate set forth in the Option Rent Notice, such Fair Market Rental Rate shall be determined pursuant to Section 5.4 below. Tenant’s failure to deliver the Exercise Notice on or before the delivery date therefor specified hereinabove, shall be deemed to constitute Tenant’s waiver of the Extension Option.
		

		
			
		

		
			

		 

		

			-3-

		

 

5.4.Determination of Option Rent. If Tenant timely objects to the Fair Market Rental Rate for the Option Term submitted by Landlord in the Option Rent Notice therefor, Landlord and Tenant shall thereafter attempt in good faith to agree upon such Fair Market Rental Rate for the Option Term, using their best good faith efforts. If Landlord and Tenant fail to reach agreement on such Fair Market Rental Rate for the Option Term within fifteen (15) days following Tenant’s objection thereto (the “Outside Agreement Date”), then each party shall submit to the other party a separate written determination of the Fair Market Rental Rate for the Option Term within ten (10) business days after the Outside Agreement Date, and such determinations shall be submitted to arbitration in accordance with the provisions of Sections 5.4 (a) through (g) below. The failure of Tenant or Landlord to submit a written determination of the Fair Market Rental Rate for the Option Term within such ten (10) business day period shall conclusively be deemed to be such party’s approval of the Fair Market Rental Rate for the Option Term submitted within such ten (10) business day period by the other party.
		

		
			 
		

		
			(a)         Landlord and Tenant shall each appoint one (1) “appraiser” who shall by profession be a real estate broker who shall have been active over the ten (10) year period ending on the date of such appointment in the leasing of the Building and the Comparable Buildings. The determination of the appraisers shall be limited solely to the issue of whether Landlord’s or Tenant’s submitted Fair Market Rental Rate for the Option Term is the closer to the actual Fair Market Rental Rate for the Option Term as determined by the appraisers, taking into account the requirements with respect thereto set forth in Section 5.2 above. Each such appraiser shall be appointed within fifteen (15) days after the Outside Agreement Date.
		

		
			 
		

		
			(b)         The two (2) appraisers so appointed shall, within fifteen (15) days of the date of the appointment of the last appointed appraiser, agree upon and appoint a third appraiser who shall be qualified under the same criteria set forth hereinabove for qualification of the initial two (2) appraisers.
		

		
			 
		

		
			(c)         The three (3) appraisers shall, within thirty (30) days of the appointment of the third appraiser, reach a decision as to which of Landlord’s or Tenant’s submitted Fair Market Rental Rate for the Option Term is closer to the actual Fair Market Rental Rate for the Option Term and shall select such closer determination as the Fair Market Rental Rate for the Option Term and notify Landlord and Tenant thereof.
		

		
			 
		

		
			(d)         The decision of the majority of the three (3) appraisers shall be binding upon Landlord and Tenant.
		

		
			 
		

		
			(e)         If either Landlord or Tenant fails to appoint an appraiser within the time period specified in Section 5.4(a) above, the appraiser appointed by one of them shall reach the decision described in Section 5.4(c) above, notify Landlord and Tenant thereof, and such appraiser’s decision shall be binding upon Landlord and Tenant.
		

		
			 
		

		
			(f)         If the two (2) appraisers fail to agree upon and appoint a third appraiser, a third appraiser shall be appointed by the Superior Court in and for Los Angeles County.
		

		
			
		

		
			

		 

		

			-4-

		

 

(g)         Each party shall pay the fees and expenses of the appraiser appointed by or on behalf of it, and each shall pay one-half of the fees and expenses of the third appraiser, if any.
		

		
			 
		

		
			6.Right of First Offer. During the period (the “First Offer Period”) from and after the Revised Commencement Date until the last day of the month which is twenty-four (24) months after the Revised Commencement Date (subject, however, to the limitations set forth below in this Section 6), Tenant shall have a one-time right of first offer to lease approximately 4,455 rentable square feet of space, commonly known as Suite 650, located on the sixth (6th) floor of the Building, as depicted on Exhibit A-1 attached hereto (the “First Offer Space”), when the First Offer Space becomes Available for Lease (as defined and provided hereinbelow) as determined by Landlord. For purposes hereof, the First Offer Space shall become “Available for Lease” when (i) Landlord is willing to give to, or accept from, any third party (excluding existing tenants of the First Offer Space, holders of Superior Rights [as hereinafter defined], affiliates of any such existing tenants of the First Offer Space, or affiliates of holders of such Superior Rights), a bona fide proposal to lease all or any portion of the First Offer Space, and (ii) any lease pertaining to the First Offer Space as of the Revised Commencement Date has expired or otherwise terminated (the “Initial Third Party Lease”)  (for purposes of clarification, Landlord shall have the right, without offering the First Offer Space to Tenant pursuant to the provisions of this Section 6, to renew or extend the Initial Third Party Lease, whether or not such renewal or extension is pursuant to an express written provision in such Initial Third Party Lease, and regardless of whether such renewal or extension is consummated pursuant to a lease amendment or a new lease). Notwithstanding anything in this Section 6 to the contrary, Tenant’s right of first offer set forth herein shall he subject and subordinate to all rights of expansion, renewal, extension, first refusal, first offer or similar rights for all or any portion of the First Offer Space granted to any tenants of the Building pursuant to leases which have been executed as of the Revised Commencement Date and any Initial Third Party Lease (collectively, the “Superior Rights”).
		

		
			 
		

		
			6.1.Terms of Lease of First Offer Space. Landlord shall give Tenant written notice (the “First Offer Notice”) that the First Offer Space is Available for Lease by Tenant as provided above (as such availability is determined by Landlord) pursuant to the terms of Tenant’s right of first offer, as set forth in this Section 6, provided that no holder of Superior Rights desires to lease all or any portion of such First Offer Space. Any such Landlord’s First Offer Notice delivered by Landlord in accordance with the provisions of Section 6 above shall identify and describe the First Offer Space and set forth the material, economic terms upon which Landlord would lease the First Offer Space to a third party pursuant to such bona fide proposal described in Section 6(i) above (collectively, the “Economic Terms”), which Economic Terms shall include, without limitation: (i) the anticipated commencement date for the First Offer Space; (ii) the tenant improvements and/or tenant improvement allowance to be provided by Landlord, if any, for the First Offer Space, and a schedule of construction of such tenant improvements for the First Offer Space, if any (and/or whether the First Offer Space will be delivered “AS IS”); (iii) the Base Rent payable for the First Offer Space; and (iv) the term of the lease for the First Offer Space, which shall in all events be coterminous with the Revised Term notwithstanding the lease term intended to be offered by Landlord to such third party; provided, however, if the lease term for such third party lease proposal is different than such coterminous term, then the Economic Terms as provided to Tenant in Landlord’s First Offer Notice shall be
		

		
			
		

		
			

		 

		

			-5-

		

 

adjusted and pro-rated by Landlord as reasonably appropriate taking into account such coterminous term. In addition, Landlord’s First Offer Notice shall also include an option (the “Suite 210 Termination Option”) for Tenant to elect to terminate the Lease (as amended hereby) with respect to the Suite 210 Premises only, which Suite 210 Termination Option may be exercised by Tenant in Tenant’s Election Notice (as defined below) only if Tenant elects to lease the entire First Offer Space pursuant to Section 6.2(i) below, whereby the Lease shall terminate with respect to the Suite 210 Premises, only, effective as of day immediately prior to the commencement of the term of the lease for the First Offer Space (the “Suite 210 Surrender Date”).
		

		
			 
		

		
			6.2.Procedure for Acceptance. On or before the date which is five (5) business days after Tenant’s receipt of the Landlord’s First Offer Notice (the “Election Date”), Tenant shall deliver written notice to Landlord (“Tenant’s Election Notice”) pursuant to which Tenant shall have the one-time right to elect either to: (i) lease the entire First Offer Space identified in the First Offer Notice upon the Economic Terms set forth in the First Offer Notice and the same non-Economic Terms as set forth in the Lease, as hereby amended; or (ii) not lease the First Offer Space identified in the First Offer Notice. Further, in the event that Tenant elects clause (i) above, Tenant’s Election Notice shall also provide whether or not Tenant elects to exercise the Suite 210 Termination Option. If Tenant does not deliver Tenant’s Election Notice electing one of the options set forth in clauses (i) or (ii) hereinabove by the Election Date, then Tenant shall be deemed to have elected not to lease the First Offer Space or to exercise the Suite 210 Termination Option. If Tenant elects or is deemed to have elected not to lease the First Offer Space, then Tenant’s right of first offer set forth in this Section 14 shall terminate and Landlord shall thereafter have the right to lease all or any portion of the First Offer Space to anyone to whom Landlord desires on any terms Landlord desires. Furthermore, the Suite 210 Termination Option shall be void, and the Lease, as hereby amended, shall continue in full force and effect with respect to the entire Premises. If Tenant timely delivers Tenant’s Election Notice to Landlord on or before the Election Date in accordance with clause (i) hereinabove, then Tenant shall lease the First Offer Space upon the Economic Terms contained therein and the non-Economic Terms set forth in the Lease, as hereby amended. In addition, if Tenant timely delivers Tenant’s Election Notice to Landlord on or before the Election Date in accordance with clause (i) hereinabove, and Tenant shall have properly exercised the Suite 210 Termination Option in Tenant’s Election Notice, then the Lease, as hereby amended, shall terminate with respect to the Suite 210 Premises only, as of the Suite 210 Surrender Date, whereby Tenant shall vacate and deliver exclusive possession of the Suite 210 Premises to Landlord on or prior to the Suite 210 Surrender Date in accordance with the applicable provisions of the Lease. Notwithstanding the foregoing provisions of this Section 6 to the contrary, at Landlord’s option and in addition to any and all remedies available to Landlord, the Suite 210 Termination Option shall not be deemed to be properly exercised if as of the date Tenant delivers to Landlord Tenant’s Election Notice exercising the Suite 210 Termination Option, Tenant is in default under the Lease, as amended hereby, beyond all applicable notice and cure periods. Notwithstanding anything in this Section 6 to the contrary, Tenant must elect to exercise its right of first offer herein with respect to the entire First Offer Space identified in Landlord’s First Offer Notice and may not elect to lease only a portion thereof.
		

		
			 
		

		
			6.3.Amendment to Lease. If Tenant leases the First Offer Space pursuant to this Section 6 (and, if applicable, Tenant elects to terminate the Lease with respect to the Suite
		

		
			
		

		
			

		 

		

			-6-

		

 

210 Premises), Landlord and Tenant shall promptly execute an amendment to the Lease (as hereby amended) covering the First Offer Space and the Economic Terms and non-Economic Terms thereof, and the termination of the Lease, as hereby amended, with respect to the Suite 210 Premises, if applicable.
		

		
			 
		

		
			6.4.Default; Personal. Notwithstanding anything in this Section 6 above to the contrary, at Landlord’s option, and in addition to all of Landlord’s remedies under the Lease, as hereby amended, at law or in equity, the right of first offer hereinabove granted to Tenant with respect to the First Offer Space shall not be deemed to be properly exercised if, as of the date Tenant delivers Tenant’s Election Notice to Landlord for the First Offer Space, Tenant has previously been in default under the Lease (as hereby amended) beyond the expiration of all applicable notice and cure periods. In addition, Tenant’s right of first offer to lease the First Offer Space is personal to the Original Tenant, and may not be assigned or exercised, voluntarily or involuntarily, by or to, any person or entity other than the Original Tenant, and shall only be available to and exercisable by the Original Tenant, when the Original Tenant is in actual and physical possession of the entire Premises then leased by Tenant under the Lease, as hereby amended.
		

		
			 
		

		
			7.Miscellaneous Modifications. Effective from and after the Effective Date:
		

		
			 
		

		
			7.1.The last sentence of Section 1.16 of the Original Lease is hereby deleted in its entirety.
		

		
			 
		

		
			7.2.Sections 1.18, 1.20 and 1.21 of the Original Lease shall be deleted in their entirety and of no further force or effect.
		

		
			 
		

		
			7.3.The first sentence of the last paragraph of Section 4.01(B) of the Original Lease shall be deleted in its entirety.
		

		
			 
		

		
			7.4.The phrase "and indemnify Tenant against liabilities and damages attributable to asbestos" in Section 6.03(H) of the Original Lease shall be deleted in its entirety.
		

		
			 
		

		
			7.5.The following shall be added immediately following the end of Section 12.02 of the Original Lease: “Tenant hereby waives any and all rights it might otherwise have pursuant to Section 1265.130 of the California Code of Civil Procedure”.
		

		
			 
		

		
			7.6.The following shall be added to the end of Section 10.01(B) of the Original Lease: ", but in no event shall Landlord be liable for lost profits, loss of business or other consequential damages."
		

		
			 
		

		
			7.7.The instances of the phrase "One Million Dollars ($1,000,000)" in Section 10.03(A) of the Original Lease shall each be substituted and replaced with the phrase "Three Million Dollars ($3,000,000)".
		

		
			 
		

		
			7.8.The following shall be added immediately following the end of Section 12.02 of the Original Lease: "Tenant hereby waives any and all rights it might otherwise have pursuant to Section 1265.130 of the California Code of Civil Procedure.".
		

		
			 
		

		
			
		

		
			

		 

		

			-7-

		

 

8.Landlord’s Addresses. Landlord’s addresses for notices and payment of rent are hereby revised to be:
		

		
			 
		

		
			Landlord’s Addresses for Notices:
		

		
			 
		

		
			c/o Kennedy-Wilson Properties, Ltd.
		

		
			5990 N. Sepulveda Blvd., Suite 260 
		

		
			Van Nuys, CA 91411
		

		
			Attn: Properly Manager
		

		
			 
		

		
			with a copy to:
		

		
			 
		

		
			c/o Kennedy-Wilson Properties, Ltd.
		

		
			151 S. El Camino Drive
		

		
			Beverly Hills, California 90212
		

		
			Attn: Asset Manager and KW TRICENTER, LLC
		

		
			 
		

		
			with an additional copy to:
		

		
			 
		

		
			c/o Kennedy-Wilson Properties, Ltd. 
		

		
			151 S. El Camino Drive
		

		
			Beverly Hills, California 90212 
		

		
			Attn: Kent Mouton, General Counsel
		

		
			 
		

		
			Landlord’s Address for Payment of Rent:
		

		
			 
		

		
			c/o Kennedy-Wilson Properties, Ltd. 
		

		
			5990 N. Sepulveda Blvd., Suite 260 
		

		
			Van Nuys, CA 91411
		

		
			Attn: Property Manager
		

		
			 
		

		
			9.California Accessibility Disclosure. For purposes of Section 1938 of the California Civil Code, Landlord hereby discloses to Tenant, and Tenant hereby acknowledges, that the Premises has not undergone inspection by a Certified Access Specialist (CASp).
		

		
			 
		

		
			10.Brokers. Landlord and Tenant each hereby represents and warrants to the other party that it has had no dealings with any real estate broker or agent in connection with the negotiation of this Second Amendment, other than Colliers International, representing Landlord (the “Broker”), and that it knows of no real estate broker or agent (other than the Broker) who is entitled to a commission in connection with this Second Amendment. Landlord shall pay the brokerage commissions owing to the Broker in connection with this Second Amendment pursuant to the terms of a separate written agreement between Landlord and the Broker. Each party agrees to indemnify and defend the other party against and hold the other party harmless from any and all claims, demands, losses, liabilities, lawsuits, judgments, and costs and expenses (including, without limitation, reasonable attorneys’ fees) with respect to any leasing commission or equivalent compensation alleged to be owing on account of any breach of the foregoing representation and warranty by the indemnifying party in connection with this Second Amendment.
		

		
			 
		

		
			11.No Further Modification. Except as set forth in this Second Amendment, all of the terms and provisions of the Lease shall remain unmodified and in full force and effect.
		

		
			 
		

		
			12.Counterparts. This Second Amendment may be executed in multiple counterparts, each of which is to be deemed original for all purposes, but all of which together shall constitute one and the same instrument.
		

		
			 
		

		
			[SIGNATURES ON FOLLOWING PAGE]
		

		
			 
		

		
			IN WITNESS WHEREOF, this Second Amendment has been executed as of the day and year first above written.
		

		
			 
		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						“LANDLORD”

					
					
						KW TRICENTER, LLC,

				
	
					
						 

					
					
						a Delaware limited liability company

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Nicholas V. Colonna

				
	
					
						 

					
					
						 

					
					
						Name:

					
					
						Nicholas V. Colonna

				
	
					
						 

					
					
						 

					
					
						Its:

					
					
						Authorized Signatory

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						“TENANT”

					
					
						CHEROKEE, INC.,

				
	
					
						 

					
					
						a Delaware corporation

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Howard Siegel

				
	
					
						 

					
					
						 

					
					
						Name:

					
					
						Howard Siegel

				
	
					
						 

					
					
						 

					
					
						Its:

					
					
						President & COA

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Jason Boling

				

		 

		

			-8-

		

 

	
					
						 

					
					
						 

					
					
						Name:

					
					
						Jason Boling

				
	
					
						 

					
					
						 

					
					
						Its:

					
					
						CFO

				

		
			 
		

		
			 
		

		
			

		 

		

			-9-

		

 

		

			 

		

EXHIBIT A
		

		
			 
		

		
			FIRST OFFER SPACE
		

		
			 
		

		
			
		

		 

		

			EXHIBIT A

		

		

			-1-

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