Document:

Exhibit
10.27

 

CHANGE IN CONTROL
SEVERANCE AGREEMENT

 

This CHANGE IN CONTROL
SEVERANCE AGREEMENT (this “Agreement”) is made as of the       
day of                   ,
2005, between Under Armour, Inc., a corporation organized under the laws of the
State of Maryland (together with its affiliates, the “Company”), and                           
(“Executive”).

 

WITNESSETH THAT:

 

WHEREAS, should Under
Armour, Inc. or shareholders of Under Armour, Inc. receive any proposal from a
third person regarding a possible Change in Control, the Board of Directors of
Under Armour, Inc. (the “Board”) believes it is important that the Company be
able to rely upon the Executive to continue in his position until after such
Change in Control and that Under Armour, Inc. be able to receive and rely upon
the Executive’s advice, if requested, as to the best interest of Under Armour,
Inc. and its shareholders in connection with any such Change in Control,
without concern that the Executive might be distracted or his advice affected
by the personal uncertainties and risks created by such a Change in Control.

 

NOW THEREFORE, in order
to provide an incentive to the Executive for the continued dedication of
Executive and the availability of his advice and counsel notwithstanding the
possibility of a Change in Control, and to encourage Executive to remain in the
employ of the Company, and for other good and valuable consideration, the
Company and Executive hereby agree as follows:

 

1.                                       Definitions.

 

(i)                                     “AAA”
shall have the meaning set forth in Section 7(ii).

 

(ii)                                  “Accrued
Obligations” shall mean the sum of the following: (a) the full base salary
earned by the Executive through the Termination Date and unpaid as of the
Termination Date, calculated at the highest rate of base salary in effect at
any time during the twelve (12) months immediately preceding the Termination
Date; (b) the amount of any base salary attributable to vacation earned by the
Executive but not taken before the Termination Date; (c) any Bonus accrued to
the Executive with respect to the calendar year preceding the termination of
employment and unpaid as of the Termination Date; (d) a pro-rata Bonus for the
year in which the Change in Control occurs, equal to the Bonus times a
fraction, the numerator of which is the number of days during the calendar year
preceding the Termination Date and the denominator of which is 365; and (e) all
other amounts earned by the Executive and unpaid as of the Termination Date.

 

(iii)                               “Arbitration
Rules” shall have the meaning set forth in Section 7(ii).

 

(iv)                              “Bonus”
shall mean the greater of: (a) the annual average of the Executive’s bonus paid
to the Executive with respect to the two (2) calendar years prior to Executive’s
termination of employment with the Company or (b) the Executive’s target bonus
for the year of such termination of employment.

 

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(v)                                 “Cause”
shall mean the occurrence of any of the following: (a) the Executive’s material
misconduct or neglect in the performance of his duties; (b) the Executive’s
commission of any felony; offense punishable by imprisonment in a state or
federal penitentiary; any offense, civil or criminal, involving material
dishonesty, fraud, moral turpitude or immoral conduct; or any crime of
sufficient import to potentially discredit or adversely affect the Company’s
ability to conduct its business in the normal course; (c) the Executive’s use
of illegal drugs or abusive use of prescription drugs; (d) the Executive's
material breach of the Company's written Code of Conduct, as in effect from
time to time; (e) the Executive's commission of any act that results in
severe harm to the Company excluding any act taken by the Executive in good
faith that he reasonably believed was in the best interests of the Company; or
(f) the Executive’s material breach of this Agreement, including, but not
limited to, a material breach of the Employee Confidentiality, Non-Competition
and Non-Solicitation Agreement attached hereto as Attachment A.

 

(vi)                              “Change
in Control” shall mean the occurrence of any of the following:

 

a.               Any ‘person’
(as such term is used in Sections 13(d) and 14(d) of the Securities Exchange
Act of 1934, as amended) becomes the ‘beneficial owner’ (as defined in Rule
13d-3 under said Act), directly or indirectly, of securities of Under Armour,
Inc. representing fifty percent (50%) or more of the total voting power
represented by Under Armour Inc.’s then-outstanding voting securities, provided,
however that a Change in Control shall not be deemed to occur if an employee
benefit plan (or a trust forming a part thereof) maintained by Under Armour,
Inc., and/or by Kevin Plank and/or his immediate family members, directly or
indirectly, become the beneficial owner, of more than fifty percent (50%) of
the then-outstanding voting securities of Under Armour, Inc. after such
acquisition;

 

b.              A
change in the composition of the Board occurring within a two-year period, as a
result of which fewer than a majority of the directors are Incumbent
Directors.  ‘Incumbent Directors’ shall
mean directors who either (A) are directors of Under Armour, Inc. as of the
date hereof, or (B) are elected, or nominated for election, to the Board with
the affirmative votes of at least a majority of the Incumbent Directors at the
time of such election or nomination (but shall not include an individual whose
election or nomination is in connection with an actual or threatened proxy
contest relating to the election of directors to Under Armour, Inc.);

 

c.               The
consummation of a merger or consolidation of Under Armour, Inc. with any other
corporation, other than a merger or consolidation which would result in (a) the
voting securities of Under Armour, Inc. outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or being converted
into voting securities of the surviving entity) at least fifty percent (50%) of
the total voting power represented by the voting securities of Under Armour,
Inc. or such surviving entity outstanding immediately after such merger or consolidation
in substantially the same proportion as
prior to such merger or consolidation; or (b) the directors of Under
Armour, Inc.

 

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immediately
prior thereto continuing to represent at least fifty percent (50%) of the
directors of Under Armour, Inc. or such surviving entity immediately after such
merger or consolidation; or

 

d.              The
consummation of the sale or disposition by Under Armour, Inc. of all or
substantially all of Under Armour Inc.’s assets.

 

(vii)                           “Code”
shall mean the Internal Revenue Code of 1986, as amended from time to time.

 

(viii)                        “Contract
Period” shall mean the period staring on the date hereof and ending on the
second anniversary of the date hereof. 
The Company, in its sole discretion, shall have the right to extend the
Contract Period.

 

(ix)                                “Disability”
shall mean a physical or mental incapacity of the Executive which entitles the
Executive to benefits at least as favorable as the benefits provided under the
long term disability plan applicable to and maintained by the Company as in
effect immediately prior to the Change in Control.

 

(x)                                   “Good
Reason,” shall mean the occurrence of any of the following events: (a) a
diminishment in the scope of the Executive’s duties or responsibilities with
the Company; (b) a reduction in the Executive’s current base salary, bonus
opportunity or a material reduction in the aggregate benefits or perquisites;
(c) a requirement that the Executive relocate more than fifty (50) miles from
his primary place of business as of the date of a Change in Control, or a
significant increase in required travel as part of the Executive’s duties and
responsibilities with the Company; (d) a failure by any successor to the
Company to assume this Agreement pursuant to Section 5(a) hereof; or (e) a
material breach by the Company of any of the terms of this Agreement.

 

(xi)                                “Protection
Period” shall mean the twelve (12) month period following a Change in Control.

 

(xii)                             “Termination
Date” shall mean the effective date as provided hereunder of the termination of
Executive’s Employment.

 

(xiii)                          “Without
Cause” shall mean the termination of the Executive’s employment by the Company
other than for Cause, death or Disability.

 

2.                                       Application
of this Agreement.  This Agreement
shall apply if and only if: (a) the Executive’s employment terminates during
the Protection Period and (b) the Change in Control occurs during the Contract
Period.  This Agreement shall not apply
to any termination of the Executive’s employment other than what is described
in the preceding sentence. Notwithstanding the foregoing, if three (3) months
prior to the date on which a Change in Control occurs, the Executive’s
employment with the Company is terminated by the Company other than by reason
of the Executive’s death, Disability or circumstances that would constitute
Cause or the terms and conditions of the Executive’s employment are adversely
changed in a manner which would constitute grounds for a termination of employment
by the Executive for

 

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Good Reason, and it is
reasonably demonstrated that such termination of employment or adverse change
(i) was at the request of a third party who has taken steps reasonably
calculated to effect the Change in Control, or (ii) otherwise arose in
connection with or in anticipation of the Change in Control, then for all
purposes of this Agreement such termination of employment shall be deemed to
have occurred during the Protection Period and shall be considered either
termination of the Executive’s employment Without Cause by the Company or
termination of the Executive’s employment by the Executive for Good Reason, as
the case may be.

 

3.                                       Termination
of Employment of Executive. The Executive’s employment may be terminated by
following the procedures specified in this Section 3.

 

(i)                                     Cause.
The Executive may not be terminated for Cause unless and until a notice of
intent to terminate the Executive’s employment for Cause, specifying the
particulars of the conduct of the Executive forming the basis for such
termination, is given to the Executive by the Company and, subsequently, a
majority of the Board finds, after reasonable notice to the Executive (but in
no event less than fifteen (15) days prior notice) and an opportunity for the Executive
and his counsel to be heard by the Board, that termination of the Executive’s
employment for Cause is justified. 
Termination of the Executive’s employment for Cause shall become
effective after such finding has been made by the Board and five (5) business
days after the Board gives to the Executive notice thereof, specifying in
detail the particulars of the conduct of the Executive found by the Board to
justify termination for Cause. It shall not constitute Good Reason to the
Executive to the extent the Executive is relieved of any duties and
responsibilities during the period the Board is considering whether such
termination for Cause is justified.

 

(ii)                                  Disability.
Termination of the Executive’s employment for Disability shall become effective
thirty (30) days after a notice of intent to terminate the Executive’s
employment, specifying Disability as the basis for such termination, is given
to the Executive by the Company.

 

(iii)                               Termination
Without Cause. At all times, the Company shall have the right by notice to
the Executive of the Company’s intention to terminate Executive’s employment
Without Cause.  Termination of Executive’s
employment by the Company Without Cause shall become effective immediately upon
the receipt by the Executive of such notice.

 

(iv)                              Voluntary
Termination by the Executive. The Executive may terminate his employment
with the Company by giving a notice of voluntary termination to the Company,
and if such termination is for Good Reason, such notice shall set forth in
reasonable detail the acts and circumstances claimed by the Executive to
constitute Good Reason.  Termination of
the Executive’s employment by the Executive without Good Reason shall be
effective five (5) business days after the Executive gives notice thereof to the
Company. The Company shall have twenty (20) days after receipt of such notice
from the Executive of claimed Good Reason to cure any Good Reason. If the
Company is unable to cure the Good Reason during such cure period, termination
of the Executive’s employment by the Executive for Good Reason shall be
effective five (5) business days after the expiration of such cure period.

 

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(v)                                 Death.  Termination of the Executive’s employment for
death shall be effective on the date of the Executive’s death.

 

4.                                       Benefits
Upon Termination of Employment.

 

(i)                                     Termination
Without Cause or by the Executive for Good Reason. Upon the termination of
the employment of Executive Without Cause by the Company or by the Executive for
Good Reason, the Company shall pay or provide to the Executive:

 

(a)                                  a
lump sum payment equal to the sum of the following:

 

1.               the
Accrued Obligations; and

 

2.               an
amount equal to the sum of the annual base salary of the Executive at the
highest rate in effect during the Protection Period and the Bonus.

 

The payment described in
this Section 4(i)(a) shall be made by the Company not later than the earlier of
the date required by applicable law or five (5) days following the Termination
Date.  Executive shall not be required to
mitigate the amount of the payment provided for in this Section 4(i)(a) by
seeking other employment or otherwise. 
The amount of the payment provided for in this Section 4(i)(a) shall not
be reduced by any compensation or other amounts paid to or earned by Executive
as the result of employment with another employer after the date on which his
employment with the Company terminates or otherwise.

 

(b)                                 the
continuance of the Executive’s life, medical, dental, prescription drug and
long and short-term disability plans, programs or arrangements, whether group
or individual, of the Company in which the Executive was entitled to
participate at any time during the twelve (12) month period prior to the
Termination Date until the earliest to occur of (1) one (1) year after the
Termination Date; (2) the Executive’s death (provided that compensation and
benefits payable to his beneficiaries shall not terminate upon his death); or
(3) with respect to any particular plan, program or arrangement, the date the
Executive is afforded a comparable benefit at a comparable cost to the
Executive by a subsequent employer. In the event that the Executive’s
participation in any such plan, program or arrangement of the Company is
prohibited, the Company shall arrange to provide the Executive with
compensation and benefits substantially similar to those which the Executive is
entitled to receive under such plan, program or arrangement for such period.

 

Notwithstanding the
foregoing, in the event the payments or benefits under this Section 4 would
result in the imposition of a tax under Section 409A of the Code, then such
payments or benefits will be paid or provided at such time when such payments
or benefits would not be subject to such tax.

 

(ii)                                  Cobra
Continuation Coverage. Upon the expiration of the provision of benefits in
Section 4(i)(b), the Executive and his dependents shall be entitled to exercise
such

 

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rights as they may have
under the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”).

 

(iii)                               Death
and Disability.                                Upon
a termination of the Executive’s employment on account of the Executive’s death
or Disability, the Company shall pay to the Executive or his estate or
beneficiary (in the event of his death), the Accrued Obligations within five
(5) days of the Termination Date and the Company shall provide to the Executive
or his estate or beneficiary (in the event of his death), such benefits that
the Company provides in the event of an employee’s death or Disability.

 

(iv)                              Cause,
Voluntary Termination by the Executive. Upon the termination of the
Executive’s employment by the Company for Cause or by the Executive without
Good Reason, the Company shall pay to the Executive the Accrued Obligations
within five (5) days of the Termination Date.

 

(v)                                 Effect
of Stock Options and Other Equity Awards. 
The terms and conditions of the Executive’s award agreements or
employment agreement (as applicable to such Executive) shall govern the effect
of termination of the Executive’s employment on equity awards granted by the
Company and held by the Executive as of the Termination Date.

 

(vi)                              Conditions
to Receiving Benefits. The benefits described in Sections 4(i)(a)(2) and
4(i)(b) shall be subject to the Executive’s execution of the Employee
Confidentiality, Non-Competition, and Non-Solicitation Agreement attached
hereto as Attachment A and the benefits described in Sections 4(i)(a)(2) and
4(i)(b) will not be paid to the Executive unless and until the Executive executes
the release attached hereto as Attachment B, and such release becomes effective
and irrevocable.

 

(vii)                           No
Further Payments due to Executive. Except as provided in this Section 4,
the Company shall have no obligation to make any other payment, in the nature
of severance or termination pay.

 

(viii)                        Exception
to Benefit Entitlements. The Executive shall not receive the payments and
benefits under this Agreement if the Executive has executed an individually
negotiated employment contract, agreement or offer letter with the Company
relating to severance benefits that is in effect on the Termination Date,
unless the Executive waives any such severance benefits under such contract,
agreement or letter.

 

(viii)                      Retirement
Payments.  No amounts paid pursuant
to this Agreement will constitute compensation for any purpose under any
retirement plan or other employee benefit plan, program, arrangement or
agreement of the Company or any of its affiliates, unless such plan, program,
arrangement or agreement specifically so provides.

 

5.                                       Successors;
Binding Agreement.

 

(a)                                  This
Agreement shall be binding upon any successor (whether direct or indirect, by
purchase, merger, consolidation, liquidation or otherwise) to all or
substantially all of the business and/or assets of Under Armour, Inc.  Additionally, Under Armour, Inc. shall
require

 

6

 

any such successor
expressly to agree to assume and to assume of the obligations of the Company
under this Agreement upon or prior to such succession taking place. A copy of
such assumption and agreement shall be delivered to the Executive promptly
after its execution by the successor.

 

(b)                                 This
Agreement is personal to the Executive and the Executive may not assign or
transfer any part of his rights or duties hereunder, or any payments due to the
Executive hereunder, to any other person, except that this Agreement shall
inure to the benefit of and be enforceable by Executive’s personal or legal
representatives, executors, administrators, heirs, distributees, devisees,
legatees or beneficiaries.  No payment
pursuant to any will or the laws of descent and distribution shall be made
hereunder unless the Company shall have been furnished with a copy of such will
and/or such other evidence as the Board may deem necessary to establish the
validity of the payment.

 

6.                                       Modification;
Waiver.  No provisions of this
Agreement may be modified, waived or discharged unless such waiver,
modification or discharge is agreed to in a writing signed by Executive and by
an officer of the Company thereunto expressly authorized by the Board.  Waiver by any party of any breach of or
failure to comply with any provision of this Agreement by the other party shall
not be construed as, or constitute, a continuing waiver of such provision, or a
waiver of any other breach of, or failure to comply with, any other provision
of this Agreement.

 

7.                                       Arbitration
of Disputes.

 

(i)                                     Any
disagreement, dispute, controversy or claim arising out of or relating to this
Agreement or the interpretation or validity hereof shall be settled exclusively
and finally by arbitration.  It is
specifically understood and agreed that any such disagreement, dispute or
controversy which cannot be resolved between the parties, including without limitation
any matter relating to interpretation of this Agreement, may be submitted to
arbitration irrespective of the magnitude thereof, the amount in controversy or
whether such disagreement, dispute or controversy would otherwise be considered
justiciable or ripe for resolution by a court or arbitral tribunal.

 

(ii)                                  The
arbitration shall be conducted in accordance with the Commercial Arbitration
Rules (the “Arbitration Rules”) of the American Arbitration Association (“AAA”).

 

(iii)                               The
arbitral tribunal shall consist of one arbitrator.  The parties to the arbitration jointly shall
directly appoint such arbitrator within thirty (30) days of initiation of the
arbitration.  If the parties shall fail
to appoint such arbitrator as provided above, such arbitrator shall be
appointed by the AAA as provided in the Arbitration Rules and shall be a person
who (a) maintains his principal place of business within thirty (30) miles of
the City of Baltimore and (b) has substantial experience in executive
compensation.  The parties shall each pay
an equal portion of the fees, if any, and expenses of such arbitrator.

 

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(iv)                              The
arbitration shall be conducted within thirty (30) miles of the City of
Baltimore or in such other city in the United States of America as the parties
to the dispute may designate by mutual written consent.

 

(v)                                 At
any oral hearing of evidence in connection with the arbitration, each party
thereto or its legal counsel shall have the right to examine its witnesses and
to cross-examine the witnesses of any opposing party.  No evidence of any witness shall be presented
unless the opposing party or parties shall have the opportunity to
cross-examine such witness, except as the parties to the dispute otherwise
agree in writing or except under extraordinary circumstances where the
interests of justice require a different procedure.

 

(vi)                              Any
decision or award of the arbitral tribunal shall be final and binding upon the
parties to the arbitration proceeding. 
The parties hereto hereby waive to the extent permitted by law any
rights to appeal or to seek review of such award by any court or tribunal.  The parties hereto agree that the arbitral
award may be enforced against the parties to the arbitration proceeding or
their assets wherever they may be found and that a judgment upon the arbitral
award may be entered in any court having jurisdiction.

 

(vii)                           Nothing
herein contained shall be deemed to give the arbitral tribunal any authority,
power, or right to alter, change, amend, modify, add to or subtract from any of
the provisions of this Agreement.

 

(viii)                        If
any dispute is not resolved within sixty (60) days from the date of the
commencement of an arbitration, then the Company shall, at its option, elect to
pay Executive either (a) within five (5) days after the end of such sixty
(60)-day period, the amount or amounts which would have been payable to
Executive had there been no dispute, subject to reimbursement to the extent
consistent with the final disposition of the dispute or (b) following final
disposition of the dispute, the amount determined in such final disposition to
have been payable, together with Interest from the date when such sums were
originally payable to the date of actual payment.  For purpose of this paragraph (viii) the term
“Interest” means interest at a rate equal to the Company’s borrowing rate per
annum, compounded monthly.

 

(ix)                                Notwithstanding
anything to the contrary in this Agreement, the arbitration provisions set
forth in this Section 7 shall be governed exclusively by the Federal
Arbitration Act, Title 9, United States Code.

 

(x)                                   If
the Executive prevails in the arbitration concerning any substantial matter of
this Agreement or the rights and duties of any party hereunder, in addition to
such other relief as may be granted, the Company shall reimburse the Executive
for the Executive’s reasonable attorneys’ fees incurred by reason of such
arbitration to the extent the attorneys’ fees relate to such substantial
matter.

 

8.                                       Notice.  All notices, requests, demands and other
communications required or permitted to be given by either party to the other
party to this Agreement (including, without limitation, any notice of
termination of employment and any notice of an intention to arbitrate) shall be
in writing and shall be deemed to have been duly given when delivered

 

8

 

personally or received by
certified or registered mail, return receipt requested, postage prepaid, at the
address of the other party, as follows:

 

If to the Company, to:

 

Under Armour, Inc.

Attn:
J. Scott Plank

Chief
Administrative Officer

Under
Armour, Inc.

1020 Hull
Street, 3rd Floor

Baltimore,
Maryland  21230

 

With a copy to:

 

A.
Richard Susko, Esq.

Cleary Gottlieb Steen & Hamilton LLP

One
Liberty Plaza

New
York, NY  10006

 

If
to the Executive, to:

 

 

With
a copy to:

 

Either party hereto may
change its address for purposes of this Section 8 by giving fifteen (15) days’
prior notice to the other party hereto.

 

9.                                       Severability.  If any term or provision of this Agreement or
the application thereof to any person or circumstance shall to any extent be
invalid or unenforceable, the remainder of this Agreement or the application of
such term or provision to persons or circumstances other than those as to which
it is held invalid or unenforceable shall not be affected thereby, and each
term and provision of this Agreement shall be valid and enforceable to the
fullest extent permitted by law.

 

10.                                 Headings.  The headings in this Agreement are inserted
for convenience of reference only and shall not be a part of or control or
affect the meaning of this Agreement.

 

11.                                 Counterparts.  This Agreement may be executed in several
counterparts, each of which shall be deemed an original.

 

12.                                 Governing
Law.  This Agreement has been
executed and delivered in the State of Maryland and shall in all respects be
governed by, and construed and enforced in accordance with, the laws of the
State of Maryland without reference to its principles of conflicts of law.

 

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13.                                 Certain
Withholdings.  The Company shall
withhold from any amounts payable to Executive hereunder all federal, state,
city and other taxes and withholdings that the Company determines are required
to be withheld pursuant to any applicable law or regulation.

 

14.                                 Entire
Agreement.  This Agreement supersedes
any and all other oral or written agreements heretofore made relating to the
subject matter hereof and constitutes the entire agreement relating to the
subject matter hereof[,  Reserved for listing of any exceptions such as
existing employment agreements]

 

IN WITNESS WHEREOF, the
parties have executed this Agreement as of the date first written above.

 

	
   

  	
  UNDER ARMOUR, INC.

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  
	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  EXECUTIVE:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
				

 

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ATTACHMENT
A

 

EMPLOYEE
CONFIDENTIALITY, NON-COMPETION, AND

NON-SOLICIATION
AGREEMENT 

 

This Confidentiality,
Non-Competition, and Non-Solicitation Agreement (“Agreement”) is entered into
this          day of                 ,
2005, by and between Under Armour, Inc.
(together with its affiliates, the “Company”) and                             
(“Employee”).

 

EXPLANATORY
NOTE

 

The Employee recognizes
that the Employee has had and will continue to have access to confidential
proprietary information during the course of his or her employment and that the
Employee’s subsequent employment by a competitor would inevitably result in the
disclosure of that information and, thereby, create unfair competition and
would likely to cause substantial loss and harm to the Company.  The Employee further acknowledges that
employment with the Company is based on the Employee’s agreement to abide by
the covenants contained herein.

 

NOW THEREFORE, for good
and valuable consideration, the sufficiency and receipt of which are hereby
acknowledged, the parties agree as follows:

 

1.                                       Confidentiality. 
Employee acknowledges Employee’s fiduciary duty and duty of loyalty to
the Company.  Further, Employee acknowledges
that the Company, in reliance of this Agreement, will provide Employee access
to trade secrets, customers, proprietary data and other confidential
information.  Employee agrees to retain
said information as confidential and not to use said information for self or
disclose same to any third party, except when required to do so to properly
perform duties to the Company.  Further,
as a condition of employment, during the time Employee is employed by the
Company and continuing after any termination of the Employee’s employment with
the Company, Employee agrees to protect and hold in a fiduciary capacity for
the benefit of the Company all Confidential Information, as defined below,
unless the Employee is required to disclose Confidential Information pursuant
to the terms of a valid and effective order issued by a court of competent
jurisdiction or a governmental authority. 
The Employee shall use Confidential Information solely for the purpose
of carrying out those duties assigned Employee as an employee of the Company
and not for any other purpose.  The
disclosure of Confidential Information to the Employee shall not be construed
as granting to the Employee any license under any copyright, trade secret, or
any right of ownership or right to use the Confidential Information
whatsoever.  In the event that Employee
is compelled, pursuant to a subpoena or order of a court or other body having
jurisdiction over such matter, to produce any Confidential Information or other
information relevant to the Company, Employee agrees to promptly provide the
Company with written notice of such subpoena or order so that the Company may
timely move to quash if appropriate.

 

(a)                                  For
the purposes of this Agreement, “Confidential Information” shall mean all
information related to the Company’s business that is not generally known to
the public. Confidential Information shall include, but shall not be limited
to: any financial (whether historical, projections or forecasts), pricing,
cost, business, planning, operations, services,

 

 

potential services,
products, potential products, technical information, intellectual property,
trade secrets and/or know-how, formulas, production, purchasing, marketing,
sales, personnel, customer, supplier, or other information of the Company; any
papers, data, records, processes, methods, techniques, systems, models,
samples, devices, equipment, compilations, invoices, customer lists, or
documents of the Company; any confidential information or trade secrets of any
third party provided to the Company in confidence or subject to other use or
disclosure restrictions or limitations; this Agreement and its terms; and any
other information, written, oral or electronic, whether existing now or at some
time in the future, whether pertaining to current or future developments or
prospects, and whether accessed prior to the Employee’s tenure with the Company
or to be accessed during Employee’s future employment or association with the
Company, which pertains to the Company’s affairs or interests or with whom or how
the Company does business.  The Company
acknowledges and agrees that Confidential Information shall not include
information which is or becomes publicly available other than as a result of a
disclosure by the Employee.

 

(b)                                 The Employee shall promptly notify the
Company if he has reason to believe that the unauthorized use, possession, or
disclosure of any Confidential Information has occurred or may occur.

 

(c)                                  All physical items containing
Confidential Information, including, but not limited to, the business plan,
know-how, collection methods and procedures, advertising techniques, marketing
plans and methods, sales techniques, documentation, contracts, reports,
letters, notes, any computer media, customer lists and all other information
and materials of the Company’s business and operations, shall remain the
exclusive and confidential property of the Company and shall be returned, along
with any copies or notes that the Employee made thereof or therefrom, to the
Company when the Employee ceases employment with the Company.  The Employee further agrees to return copies
of any Confidential Information contained on Employee’s home computer, portable
computer or other similar device. 
Employee also agrees to allow the Company, upon reasonable belief and
with appropriate notice, access to any home computer, portable computer or
other similar device maintained by Employee, including but not limited to, for
the purpose of determining whether said Confidential Information has been
misappropriated.  The Employee further
agrees to promptly return all other property belonging to the Company upon the
termination of Employee’s employment.

 

2.                                       Non-Competition.  Except as otherwise provided in this
Agreement, without the prior written consent of the Company, the Employee
hereby covenants and agrees that at no time during the Employee’s employment
with Company and for a period of one (1) year immediately following termination
of Employee’s employment with the Company, whether voluntary or involuntary,
shall the Employee:

 

(a)                                  directly or indirectly work for or engage
in any capacity in any activities or provide strategic advice to Competitor
Businesses.  Competitor Businesses shall
be defined as (i) any business that is involved in the manufacture, sale,
development of fabrications or manufacturing methods, or marketing of: athletic
apparel or footwear (e.g., Reebok, Nike, Adidas); sporting goods; tactical
(military and/or law enforcement) apparel; hunting and fishing

 

12

 

apparel; mountain sports
apparel; accessories of such industries; or any business substantially similar
to the present business of the Company or such other business activity in which
the Company may substantially engage; and (ii) retail enterprises which sell
products that compete with the Company’s products;

 

(b)                                 act in any way, directly or indirectly,
with the purpose or effect of soliciting, diverting or taking away any
business, customer, client or any supplier of the Company; or

 

(c)                                  otherwise compete with Company in the
sale or licensing, directly or indirectly, as principal, agent or otherwise, of
any products competitive with the products, or services competitive with the
services, developed or marketed by Company.

 

Written request for
consent to be released from the Non-Competition provisions of this Agreement
may be submitted by the Employee to the Company following the termination of
Employee’s employment and must include all available information described in
Section 4 below.  The Company will respond
to the request for such consent within two (2) weeks of the request, except as
provided in Section 4.  In the Company’s
sole discretion, it may release Employee from the Non-Competition provisions of
this Agreement, or reduce the non-competition period from a period of one (1)
year immediately following Employee’s termination (“Non-Competition Period”) to
a shorter duration.  In the event the
Company does not release the Employee from the Non-Competition provision, for
the duration of the Non-Competition period, the Company will pay Employee an
amount equal to sixty percent (60%) of Employee’s base salary as of the date of
the termination of Employee’s employment, in accordance with the Company’s
customary pay practices in effect at the time each payment is made.  This amount shall be reduced by (a) the
amount of any severance Employee receives from the Company; and (b) the amount
of any salary received during the Non-Competition period from employment in any
capacity with an entity that is not a Competitor Business.

 

3.                                       Non-Solicitation
and Non-Interference.  The Employee hereby covenants and agrees that at no time during the
Employee’s employment with Company and for a period of one (1) year immediately
following termination of Employee’s employment with the Company, whether
voluntary or involuntary, shall the Employee:

 

(a)                                  solicit (other than on behalf of the
Company) business or contracts for any products or services of the type
provided, developed or under development by the Company during the Employee’s
employment by the Company, from or with any person or entity which was a
customer of the Company for such products or services, or any prospective
customer which the Company had solicited as of, or within one year prior to,
the Employee’s termination of employment with the Company; or directly or
indirectly contract with any such customer or prospective customer for any
product or service of the type provided, developed or which was under
development by the Company during the Employee’s employment with the Company;
or

 

(b)                                 knowingly interfere or attempt to
interfere with any transaction, agreement or business relationship in which the
Company was involved during the Employee’s employment with the Company, nor
will the Employee act in any way with the purpose or effect of hiring

 

13

 

anyone who has been an
employee of the Company, its divisions or subsidiaries; or soliciting,
recruiting or encouraging, directly or indirectly, any of the Company’s
employees to leave the employ of the Company, its divisions or its
subsidiaries.

 

4.                                       Notification of New Employment.  Employee
acknowledges and agrees that for a period of one (1) year following the date of
termination of Employee’s employment with the Company, Employee will inform the
Company, prior to the acceptance of any job or any work as an independent
contractor, of the identify of any new employer or other entity to which
Employee is providing consulting or other services, along with Employee’s
starting date, title, job description, salary, and any other information which
the Company may reasonably request to confirm Employee’s compliance with the
terms of this Agreement.  If Employee
does not provide all information reasonably requested by the Company as provided
in this Section, the Company’s time to respond to a request for release from
the Non-Competition provision under Section 2 will be extended to six (6)
weeks, or until such time as the information is provided for the Company to
make an informed decision.

 

5.                                       Reasonableness of Restrictions.  Employee acknowledges and agrees that the
restrictions imposed by this Agreement are fair and reasonably required for the
protection of the Company, and will not preclude Employee from becoming
gainfully employed following the termination, for any reason, of employment
with the Company.  The Employee
acknowledges that employee will provide unique services to the Company and that
this covenant has unique, substantial, and immeasurable value to the
Company.  In the event that the
provisions of this Agreement should ever be deemed to exceed the limitations
permitted by applicable laws, Employee and the Company agree that such
provisions shall be reformed to the maximum limitations permitted by the
applicable laws.  The Employee further
acknowledges that the decision whether to consent to release Employee from the
provisions of this Agreement is within the sole discretion of the Company.

 

6.                                       Injunctive Relief. 
Employee acknowledges and agrees that in the event of a violation or
threatened violation of any provision of this Agreement, the Company will
sustain irreparable harm and will have the full right to seek injunctive
relief, in addition to any other legal remedies available, without the
requirement of posting bond.

 

7.                                       Survivability. 
This Agreement shall remain binding in the event of the termination, for
any reason, of employment with the Company.

 

8.                                       Governing Law. 
The formation, construction and interpretation of this Agreement shall
at all times and in all respects be governed by the laws of the State of
Maryland.

 

9.                                       Severable Provisions.  The provisions of this Agreement are
severable, and if any court determines that any provision of this Agreement is
invalid or unenforceable, in whole or in part, any invalidity or
unenforceability shall affect only that provision, and shall not make any other
provision of this Agreement invalid or unenforceable; and this Agreement shall
be narrowed by the court to the extent required to be valid and enforceable.

 

14

 

10.                                 Entire
Agreement.  This Agreement,
together with a separate Stock Option Grant Agreement and Buy-Sell Agreement
entered into between the parties, constitutes the entire agreement between the
parties with respect to the subject matter contained herein, and may not be
modified except in a written document signed by each of the parties
hereto.  No waiver of any breach of any
provision of this Agreement shall constitute a waiver of any other breach of
that or any other provision hereof.

 

IN WITNESS WHEREOF,
the parties have executed the Agreement as of the date first above written.

 

 

	
   

  	
   

  	
  UNDER ARMOUR, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name: J. Scott Plank

  
	
   

  	
   

  	
  Title: Chief
  Administrative Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  WITNESS:

  	
   

  	
  EMPLOYEE

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  [Full Name]

  
						

 

15

 

ATTACHMENT
B

 

RELEASE
AGREEMENT

 

I understand and agree
completely to the terms set forth in the Under Armour, Inc Change in Control
Severance Agreement (the “Agreement”).

 

I understand that this
Release, together with the Agreement, constitutes the complete, final and
exclusive embodiment of the entire agreement between the Company and me with
regard to the subject matter hereof.  I
am not relying on any promise or representation by the Company that is not
expressly stated therein.  Certain
capitalized terms used in this Release are defined in the Agreement.

 

I hereby confirm my
obligations under the Company’s Employee Confidentiality, Non-Competition and
Non-Solicitation Agreement.

 

Except as otherwise set
forth in this Release, I hereby generally and completely release the Company
and its parents, subsidiaries, successors, predecessors and affiliates, and its
and their partners, members, directors, officers, employees, stockholders,
shareholders, agents, attorneys, predecessors, insurers, affiliates and
assigns, from any and all claims, liabilities and obligations, both known and
unknown, that arise out of or are in any way related to events, acts, conduct,
or omissions occurring at any time prior to and including the date I sign this
Release.  This general release includes,
but is not limited to:  (a) all claims
arising out of or in any way related to my employment with the Company or the
termination of that employment; (b) all claims related to my compensation or
benefits, including salary, bonuses, commissions, vacation pay, expense
reimbursements, severance pay, fringe benefits, stock, stock options, or any
other ownership interests in the Company (other than compensation and benefits
accrued before any termination of employment or any rights you may have under
stock option grants); (c) all claims for breach of contract, wrongful
termination, and breach of the implied covenant of good faith and fair dealing;
(d) all tort claims, including claims for fraud, defamation, emotional
distress, and discharge in violation of public policy; and (e) all federal,
state, and local statutory claims, including claims for discrimination,
harassment, retaliation, attorneys’ fees, or other claims arising under the
federal Civil Rights Act of 1964 (as amended), the federal Americans with
Disabilities Act of 1990 (as amended), the federal Age Discrimination in
Employment Act (as amended), and the federal Employee Retirement Income
Security Act of 1974 (as amended).

 

I understand that I may
consider whether to agree to the terms contained herein for a period of
twenty-one days after the date hereof. 
Accordingly, I will sign and return the acknowledgment copy of this
Release to acknowledge my understanding of and agreement with the
foregoing.  Prior to my signing this
Release, I was advised to consult with an attorney.

 

This Release will become
effective, enforceable and irrevocable seven days after the date on which I
sign it. During the seven-day period prior to this date, I may revoke this
Release to accept the terms hereof by indicating in writing to the Company my
intention to revoke.  I understand that
if I exercise my right to revoke hereunder, I will forfeit my right to receive
any of the special benefits offered to me under the Agreement, and to the
extent such payments have

 

16

 

already been made, I
agree that I will immediately reimburse the Company for the amounts of such
payment.

 

	
   

  	
  EMPLOYEE

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  [Full Name]

  
	
   

  	
   

  
	
  Date:

  	
   

  	
   

  	
   

  
					

 

17Exhibit 10.29

 

EXECUTION COPY

 

 

REGISTRATION RIGHTS AGREEMENT

 

AMONG

 

KP SPORTS, INC.

(d/b/a UNDER ARMOUR PERFORMANCE APPAREL),

 

ROSEWOOD CAPITAL IV, L.P.,

 

ROSEWOOD CAPITAL IV ASSOCIATES, L.P.

 

AND

 

THE OTHER HOLDERS NAMED HEREIN

 

 

September 30, 2003

 

 

REGISTRATION RIGHTS AGREEMENT

 

THIS REGISTRATION RIGHTS AGREEMENT (this “Agreement”)
is entered into as of September 30, 2003 by and between (i) KP Sports, Inc.,
a Maryland corporation doing business as “Under Armour Performance Apparel”
(the “Company”), (ii) the existing stockholders of the Company listed on
the signature pages hereto (each individually an “Existing Stockholder”
and collectively, the “Existing Stockholders”), and (iii) Rosewood Capital
IV, L.P., a Delaware limited partnership, and Rosewood Capital IV Associates,
L.P., a Delaware limited partnership (collectively referred to hereinafter as
the “Investors” and individually as an “Investor”).  The Investors and the Existing Stockholders,
together with any other persons who shall hereafter acquire Registrable
Securities (as hereinafter defined) and execute a counterpart hereto pursuant
to the provisions of, and subject to the restrictions and rights set forth in,
this Agreement, are referred to herein collectively as the “Holders” and
individually as a “Holder.”

 

WHEREAS, on the date hereof, the Existing Stockholders
own an aggregate of 10,400,000 shares of the Company’s Class A Common
Stock, par value $.001 per share (the “Common Stock”).

 

WHEREAS, on the date hereof, the Investors have
acquired an aggregate of 1,200,000 shares of Series A Preferred Stock,
$.001 par value per share (the “Series A Stock”) and an aggregate of
1,208,055 shares of Class B Common Stock, $.001 par value per share (the “Class B
Common Stock”) from the Company pursuant to a Stock Purchase Agreement dated as
of the date hereof among the Company and the Investors (the “Purchase Agreement”);

 

WHEREAS, it is a condition to the obligations of the
Investors under the Purchase Agreement that the Company and the Investors enter
into this Agreement in order to provide the Investors with certain rights with
respect to the registration of the Common Stock issuable upon conversion of the
Class B Common Stock; and

 

WHEREAS capitalized terms used in this Agreement shall
have the meanings ascribed to them in Section 2
hereof.

 

NOW, THEREFORE, for and in consideration of the
foregoing and of the mutual covenants and agreements hereinafter set forth, the
parties hereto agree as follows:

 

 

1.              REGISTRATION
RIGHTS

 

1.1.                            Demand Registration Rights
of Initiating Holders

 

1.1.1.                  Request

 

At any time six (6) months after the closing of
the Company’s IPO, the Initiating Holders may request registration for sale
under the Act of all or part of the Registrable Securities then held by them,
provided that the reasonably anticipated aggregate price to the public of such
Registrable Securities in any such registration are at least $10,000,000, and
upon such request the Company will promptly take the actions specified in Section 1.1.2.

 

1.1.2.                  Demand Procedures

 

Within ten (10) Business Days after receipt by
the Company of a written registration request under Section 1.1.1
(which request shall specify the number of shares proposed to be
registered and sold and the manner in which such sale is proposed to be
effected), the Company shall promptly give written notice to all other Holders
of the proposed demand registration, and such other Holders shall have the
right to join in the proposed registration and sale with respect to the
Registrable Securities held by them, upon written request to the Company (which
request shall specify the number of shares proposed to be registered and sold)
within ten (10) Business Days after receipt of such notice from the
Company.  The Company shall thereafter,
as expeditiously as practicable, use commercially reasonable efforts to (i) file
with the SEC under the Act a registration statement on the appropriate form
concerning all Registrable Securities specified in the demand request and all
Registrable Securities with respect to which the Company has received the
written request to participate in such demand registration from the other
Holders and (ii)  cause the registration statement to be declared
effective.  At the request of the
Initiating Holders requesting registration, the Company shall use its
commercially reasonable efforts to cause each offering pursuant to Section 1.1.1 to be managed, on a firm commitment
basis, by a recognized regional or national underwriter selected by the Company
and approved by the Initiating Holders, such approval not to be unreasonably
withheld.  All Holders proposing to
distribute their securities through such underwriting shall enter into an
underwriting agreement in customary form. 
The Company shall not be obligated to effect more than two (2) registrations
requested by Initiating Holders under Section 1.1.1,
provided, however, that each such request shall be deemed satisfied only when a
registration statement covering not less than seventy-five percent (75%) of the
Registrable Securities specified in notices received as aforesaid from the
Initiating Holders, for

 

 

2

 

sale in accordance with the method of disposition
specified by the Initiating Holders, has become effective for a period of at least
ninety (90) days (or such shorter period as all securities thereunder have been
sold).

 

1.1.3.                  Delay by Company

 

The Company shall not be required to proceed to effect
a demand registration under the Act pursuant to Section 1.1.1
above if (i) the Company receives a request for registration under Section 1.1.1 less than ninety (90) days preceding the
anticipated effective date of a proposed underwritten public offering of
securities of the Company approved by the Company’s Board of Directors prior to
the Company’s receipt of the request and in such event the Company shall not be
required to effect any such requested registration until one hundred eighty
(180) days after the effective date of such proposed underwritten public
offering; (ii) within 180 days prior to any such request for registration,
a registration of securities of the Company has been effected in which the
Initiating Holders had the right to participate pursuant to this Section 1.1 or Section 1.2
hereof; or (iii) the Board of Directors of the Company reasonably
determines in good faith that effecting such a demand registration at such time
would have a material adverse effect upon a proposed sale of all (or
substantially all) of the assets of the Company, or a merger, share exchange,
reorganization, recapitalization, or any other form of business combination or
transaction materially affecting the capital structure, or equity ownership of
the Company, or would otherwise be seriously detrimental to the Company because
the Company was then in the process of raising capital in the public or private
markets; provided, however, that the Company may only delay a demand
registration pursuant to this Section 1.1.3 for
a period not exceeding one hundred eighty (180) days (or until such earlier
time as such transaction is consummated or no longer proposed) and may only
defer any such filing pursuant to this Section 1.1.3
once per calendar year.  The Company
shall promptly notify in writing the Holders requesting registration of any
decision not to effect any such request for registration pursuant to this Section 1.1.3, which notice shall set forth in
reasonable detail the reason for such decision and shall include an undertaking
by the Company promptly to notify such Holders as soon as a demand registration
may be effected.

 

1.1.4.                  Reduction

 

If a demand registration is an underwritten
registration and the managing underwriters advise the Company and the Holders
participating in the demand registration in writing that in their opinion the
number of shares of Common Stock requested to be included in such registration
exceeds the number

 

3

 

which can be sold in such offering, then the Company
shall include in such registration (i) first the shares proposed to be
sold by the Investors, allocated pro rata among such Investors in proportion to
the number of Registrable Securities owned by them and (ii) second, the
shares of any other Holders participating in the demand registration, allocated
pro rata among such Holders in proportion to the number of shares of
Registrable Securities owned by them.

 

1.1.5.                  Withdrawal

 

Holders participating in any demand registration
pursuant to this Section 1.1 may withdraw at
any time before a registration statement is declared effective, and the Company
may withdraw such registration statement if no Registrable Securities are then
proposed to be included (and if withdrawn by the Company the Holders shall not
be deemed to have requested a demand registration for purposes of Section 1.1.1 hereof). 
If the Company withdraws a registration statement under this Section 1.1.5 in respect of a registration for which
the Company would otherwise be required to pay expenses under Section 1.6.2 hereof, the Holders that shall have
withdrawn shall reimburse the Company for all expenses of such registration in
proportion to the number of shares each such withdrawing Holder shall have
requested to be registered. 
Notwithstanding the foregoing, however, if (i) at the time of the
withdrawal, the Holders have learned of a material adverse change in the
condition, business or prospects of the Company from that known to the Holders
at the time of their request or (ii) a majority of the Initiating Holders
agree to forgo one demand right, then the Holders shall not be required to pay
any of said registration expenses and in connection with (i) the Company
shall be deemed not to have effected a registration pursuant to Section 1.1.2 of this Agreement.

 

1.2.                            Piggyback Registration Rights

 

1.2.1.                  Request

 

If at any time or times after the date of this
Agreement the Company proposes to file a registration statement covering any of
its securities under the Act (whether to be sold by it or by one or more
selling stockholders), other than an offering pursuant to a demand registration
under Section 1.1.1 or Section 1.3 hereof or an offering registered on Form S-8
or Form S-4, or successor forms relating to employee stock plans and
business combinations, the Company shall, not less than ten (10) Business
Days prior to the proposed filing date of the registration statement, give
written notice of the proposed registration to all Holders specifying in
reasonable detail the proposed transaction to be covered by the registration

 

4

 

statement, and at the written request of any Holder
delivered to the Company within five (5) Business Days after giving such
notice, shall include in such registration and offering, and in any
underwriting of such offering, all Registrable Securities as may have been
designated in the Holder’s request.  The
Company shall have no obligation to include shares of Common Stock owned by any
Holder in a registration statement pursuant to this Section 1.2,
unless and until such Holder (a) in connection with any underwritten
offering, agrees to enter into an underwriting agreement, a custody agreement
and power of attorney and any other customary documents required in an
underwritten offering all in customary form and containing customary provisions
and (b) shall have furnished the Company with all information and
statements about or pertaining to such Holder in such reasonable detail and on
such timely basis as is reasonably deemed by the Company to be legally required
with respect to the preparation of the registration statement.

 

1.2.2.                  Reduction

 

If a registration in which any Holder has the right to
participate pursuant to this Section 1.2
is (i) the Company’s IPO, the Company may limit, to the extent so advised
by the underwriters, the amount of securities (including Registrable
Securities) to be included in the registration by the Company’s stockholders
(including the Holders), or may exclude, to the extent so advised by the
underwriters, such securities (including Registrable Securities) entirely from
the Company’s IPO, or (ii) an underwritten registration subsequent to the
IPO and the managing underwriters advise the Company that in their opinion the
number of securities requested to be included in such registration exceeds the
number which can be sold in such offering, the Company shall include in such
registration (i) first, the securities of the Company proposed to be sold
by the Company, (ii) second, the shares proposed to be sold by Holders
exercising rights under Section 1.2.1,
allocated pro rata among such Holders in proportion to the number of
Registrable Securities owned by them and (iii) third, the shares held by
any other stockholders proposing to sell shares of Common Stock pursuant to
such registration.

 

1.3.                            Registration on Form S-3

 

Subject to the limitations set forth in Section 1.1.3, if at any time the Company is eligible
to use Form S-3 (or any successor form) for secondary sales Initiating
Holders may request (by written notice to the Company stating the number of
Registrable Securities proposed to be sold and the intended method of
disposition) that the Company file a registration statement on Form S-3
(or any successor form) for a public sale of all or any portion of the
Registrable Securities beneficially owned by them (which may include a “shelf”
registration under Rule

 

5

 

415 under the Act, or any successor rule), provided
that the reasonably anticipated aggregate price to the public of such
Registrable Securities in any such registration shall be at least
$2,000,000.  Upon receiving such request,
the Company shall use its commercially reasonable efforts to promptly file a
registration statement on Form S-3 (or any successor form) to register
under the Act for public sale in accordance with the method of disposition
specified in such request, the number of shares of Registrable Securities
specified in such request and shall otherwise carry out the actions specified
in Section 1.1.2 and 1.4.  The Company
shall not be obligated to file more than one registration statement on Form S-3
(or any successor form) pursuant to this Section 1.3
within any twelve (12) month period.

 

1.4.                            Registration Procedures

 

Whenever any Holder has requested that any Registrable
Securities be registered pursuant to Sections
1.1, 1.2 or 1.3 hereof, the Company shall:

 

(1)           prepare and file with the SEC a
registration statement with respect to such shares and use commercially
reasonable efforts to cause such registration statement to become effective as
soon as reasonably practicable thereafter (provided that before filing a
registration statement or prospectus or any amendments or supplements thereto,
the Company shall furnish counsel for such Holder with copies of all such
documents proposed to be filed) and to cause such registration statement to
comply as to form and content in all material respects with the SEC’s forms, rules and
regulations;

 

(2)           prepare and file with the SEC such
amendments and supplements to such registration statement and prospectus used
in connection therewith as may be necessary to keep such registration statement
effective for a period of not less than 90 days (two (2) years in the case
of a registration pursuant to Section 1.3
hereof) or until such Holder has completed the distribution described in such
registration statement, whichever occurs first;

 

(3)           furnish to such Holder such number of
copies of such registration statement, each amendment and supplement thereto,
the prospectus included in such registration statement (including each preliminary
prospectus), and such other documents as such Holder may reasonably request;

 

(4)           use commercially reasonable efforts
to register or qualify such shares under such other securities or blue sky laws
of such jurisdictions as such Holder requests (and to maintain such
registrations and qualifications effective for the applicable period of time
set forth in Section 1.4(2) hereof),
and to do any and

 

6

 

all other acts and things which may be reasonably necessary
or advisable to enable such Holder to consummate the disposition in such
jurisdictions of such shares (provided that the Company will not be required to
(i) qualify generally to do business in any jurisdiction where it would
not be required but for this subsection (4), (ii) subject itself to
taxation in any such jurisdiction, or (iii) file any general consent to
service of process in any such jurisdiction); provided that, notwithstanding
anything to the contrary in this Agreement with respect to the bearing of
expenses, if any such jurisdiction shall require that expenses incurred in
connection with the qualification of such shares in that jurisdiction be borne
in part or full by such Holder, then such Holder shall pay such expenses to the
extent required by such jurisdiction;

 

(5)           notify such Holder, at any time when
a prospectus relating thereto is required to be delivered under the Act within
the period that the Company is required to keep the registration statement
effective, of the happening of any event as a result of which the prospectus
included in any such registration statement contains an untrue statement of a
material fact or omits any fact necessary to make the statements therein not
misleading, and promptly prepare, file and furnish to the Holder a supplement
or amendment to such prospectus so that, as thereafter delivered to the
purchasers of such shares, such prospectus will not contain an untrue statement
of a material fact or omit to state a material fact required to be stated
therein or, in light of the circumstances then existing, necessary to make the
statements therein not misleading;

 

(6)           cause all such shares to be listed on
securities exchanges, if any, on which similar securities issued by the Company
are then listed;

 

(7)           provide a transfer agent and
registrar for all such shares not later than the effective date of such
registration statement;

 

(8)           enter into such customary agreements
and take all such other customary actions as such Holder reasonably requests
(and subject to its reasonable approval) in order to expedite or facilitate the
disposition of such shares;

 

(9)           make available for inspection by such
Holder, by any underwriter participating in any distribution pursuant to such
registration statement, and by any attorney, accountant or other agent retained
by such Holder or by any such underwriter, all financial and other records,
pertinent corporate documents, and properties of the Company (other than
confidential intellectual property or other property or information that is
subject to legal confidentiality obligations);

 

7

 

(10)         in
connection with an underwritten offering pursuant to a registration statement
filed pursuant to Section 1.1
hereof, enter into an underwriting agreement in customary form and containing
customary provisions, including provisions for indemnification of underwriters
and contribution, if so requested by any underwriter.

 

1.5.                            Holdback Agreement

 

(a)           Notwithstanding
anything in this Agreement to the contrary, if after any registration statement
to which the rights hereunder apply becomes effective (and prior to completion
of any sales thereunder), the Company’s Board of Directors determines in good
faith that the failure of the Company to (i) suspend sales of stock under
the registration statement or (ii) amend or supplement the registration
statement, would have a material adverse effect on the Company, the Company
shall so notify each Holder participating in such registration and each Holder
shall suspend any further sales under such registration statement until the
Company advises the Holder that the registration statement has been amended or
that conditions no longer exist which would require such suspension, provided
that the Company may impose any such suspension for no more than thirty (30)
days and no more than two (2) times during any twelve (12) month period.

 

(b)           In
the event that the Company effects a registration of any securities under the
Act in an underwritten public offering, each Holder agrees not to effect any
sale, transfer, disposition or distribution, including any sale pursuant to Rule 144
under the Act, of any Equity Securities (except as part of such offering)
during the 180-day period commencing with the effective date of the registration
statement for the IPO and, for so long as each Holder owns 5% or more of the
Company’s outstanding voting securities, the 90-day period commencing with the
effective date of the registration statement for any subsequent public
offering, provided that all officers, directors and holders of 5% or more of
the Company’s outstanding voting securities enter into agreements providing for
similar restrictions on sales.

 

1.6.                            Registration Expenses

 

1.6.1.                  Holder Expenses

 

If, pursuant to Sections 1.1, 1.2 or
1.3 hereof, Registrable Securities are
included in a registration statement, then the Holder thereof shall pay all
transfer taxes, if any, relating to the sale of its shares, and any
underwriting

 

8

 

discounts or commissions or the equivalent thereof
applicable to the sale of its shares and such expenses as may be payable under Section 1.4(4) hereof.

 

1.6.2.                  Company Expenses

 

Except for the fees and expenses specified in Section 1.6.1 hereof and except as provided below in
this Section 1.6.2, the Company shall
pay all expenses incident to the registration of shares by the Company and any
Holders pursuant to Sections 1.1, 1.2
or 1.3 hereof, and to the Company’s
performance of or compliance with this Agreement, including, without
limitation, all registration and filing fees, fees and expenses of compliance
with securities or blue sky laws, underwriting discounts, fees and expenses
(other than any Holder’s portion of any underwriting discounts or commissions
or the equivalent thereof), printing expenses, messenger and delivery expenses,
the fees and expenses of counsel for the Company and the reasonable fees and
expenses of a single counsel for all Holders selling shares and all independent
certified public accountants and other persons retained by the Company.

 

1.6.3.                  Indemnity and Contribution

 

(a)           In
the event that any shares owned by a Holder are proposed to be offered by means
of a registration statement pursuant to Sections 1.1, 1.2 or 1.3 hereof, to the extent permitted by law, the Company
agrees to indemnify and hold harmless such Holder, any underwriter
participating in such offering, each officer, partner, manager and director of
such person, each person, if any, who controls or may control such Holder or underwriter
within the meaning of the Act and each representative of any Holder serving on
the Board of Directors of the Company (such Holder or underwriter, its
officers, partners, managers, directors and representatives, and any such other
persons being hereinafter referred to individually as a “Holder Indemnified
Person” and collectively as “Holder Indemnified Persons”) from and against all
demands, claims, actions or causes of action, assessments, losses, damages,
liabilities, costs, and expenses, including, without limitation, interest,
penalties, and reasonable attorneys’ fees and disbursements, asserted against,
resulting to, imposed upon or incurred by such Holder Indemnified Person,
directly or indirectly (hereinafter referred to in this Section 1.6.3
in the singular as a “claim” and in the plural as “claims”), based upon,
arising out of or resulting from any breach of representation or warranty made
by the Company in any underwriting agreement or any untrue statement or alleged
untrue statement of a material fact contained in the registration statement or
any omission or alleged omission to state therein a material fact necessary to
make the statements made therein, in the light of the circumstances under which

 

9

 

they were made, not misleading, except insofar as such
claim is based upon, arises out of or results from information furnished to the
Company in writing by or on behalf of such Holder Indemnified Person
specifically for use in connection with the registration statement.

 

(b)           In
the event that any shares owned by a Holder are proposed to be offered by means
of a registration statement pursuant to Sections 1.1, 1.2 or 1.3
hereof, each such Holder agrees, severally and not jointly, to indemnify and
hold harmless the Company, each officer of the Company who signs the
Registration Statement, each director of the Company, any underwriter
participating in such offering, and each person, if any, who controls or may
control the Company or such underwriter within the meaning of the Act (the
Company, such officers and directors of the Company, such underwriter, and any
such other persons also being hereinafter referred to individually as a “Company
Indemnified Person” and collectively as “Company Indemnified Persons”) from and
against all claims based upon, arising out of or resulting from any untrue
statement or alleged untrue statement of a material fact contained in the
registration statement or any omission or alleged omission to state therein a
material fact necessary in order to make the statement made therein, in the
light of the circumstances under which they were made, not misleading, but only
to the extent that such claim is based upon, arises out of or results from
information furnished to the Company in writing by or on behalf of such Holder
explicitly for use in connection with the registration statement;
provided, however, that a Holder shall be under no obligation to indemnify or
hold harmless any Company Indemnified Persons with respect to any amount in
excess of the net proceeds received by such Holder in connection with any sales
of securities effected under such registration statement.

 

(c)           The
indemnification provisions set forth herein shall be in addition to any
liability the Company or any Holder may otherwise have to the Holder
Indemnified Persons or Company Indemnified Persons.  The Company Indemnified Persons and the
Holder Indemnified Persons are hereinafter referred to as “Indemnified Persons.”  Promptly after receiving notice of any claim
in respect of which an Indemnified Person may seek indemnification under this Section 1.6.3, such Indemnified Person shall submit
written notice thereof to either the Company or the Holders, as the case may be
(sometimes being hereinafter referred to as an “Indemnifying Person”).  The failure of the Indemnified Person so to
notify the Indemnifying Person of any such claim shall not relieve the
Indemnifying Person from any liability it may have hereunder except to the
extent that (a) such liability was caused or increased by such failure, or
(b) the ability of the Indemnifying Person to reduce such liability was
materially adversely affected by such failure. 
The Indemnifying Person shall have the right to undertake, by counsel or

 

10

 

representatives of its own choosing, the defense,
compromise or settlement (without admitting liability of the Indemnified
Person) of any such claim asserted, such defense, compromise or settlement to
be undertaken at the expense and risk of the Indemnifying Person, and the
Indemnified Person shall have the right to engage separate counsel, at its own
expense, whom counsel for the Indemnifying Person shall keep informed and
consult with in a reasonable manner; provided, however, if the defendants in
any such action include both the Indemnified Person and the Indemnifying Person
and the Indemnified Person shall have reasonably concluded that there may be a
conflict between the positions of the Indemnifying Person and the Indemnified
Person in conducting the defense of any such action or that there may be legal
defenses available to it and/or other Indemnified Persons which are different
from or additional to those available to the Indemnifying Person, the
Indemnified Person shall have the right to select separate counsel to assume
such legal defenses and to otherwise participate in the defense of such action
on behalf of the Indemnified Person at the expense of the Indemnifying Person,
it being understood, however, that the Indemnifying Person shall not be liable
for the fees and expenses of more than one separate counsel for all Indemnified
Persons.  In the event the Indemnifying
Person shall elect not to undertake such defense by its own representatives,
the Indemnifying Person shall give prompt written notice of such election to
the Indemnified Person, and the Indemnified Person shall undertake the defense,
compromise or settlement (without admitting liability of the Indemnified
Person) thereof on behalf of and for the account and risk of the Indemnifying
Person by counsel or other representatives designated by the Indemnified
Person.  Notwithstanding the foregoing, (i) no
Indemnifying Person shall be obligated hereunder with respect to amounts paid
in settlement of any claim if such settlement is effected without the consent
of such Indemnifying Person (such consent not to be unreasonably withheld) and (ii) no
Indemnifying Person shall, without the consent of such Indemnified Person,
effect any settlement of any pending or threatened proceeding in respect of
which such Indemnified Person is a party and indemnity has been sought
hereunder by such Indemnified Person, unless such settlement includes an
unconditional release of such Indemnified Person from all liability for claims
that are the subject matter of such proceeding.

 

(d)           If
the indemnification provided for in this Section 1.6
is held by a court of competent jurisdiction to be unavailable to an
Indemnified Person, then the Indemnifying Person, in lieu of indemnifying such
Indemnified Person hereunder, shall contribute to the amount paid or payable by
such Indemnified Person as a result of any losses or claims in such proportion
as is appropriate to reflect the relative fault of the Indemnified Person on
the one hand and the Indemnifying Person on the other in connection with the
statements or omissions that resulted in such losses or claims as well as any
other relevant equitable

 

11

 

considerations. 
The relative fault of the Indemnified Person and the Indemnifying Person
shall be determined by reference to, among other things, whether the untrue or
alleged untrue statement of a material fact or the omission or alleged omission
to state a material fact relates to information supplied by the Indemnifying
Person or by the Indemnified Person and the parties’ relative intent, knowledge
and access to information and opportunity to correct or prevent such statement
or omission.  In no event will the
liability of any Holder for contribution exceed the net proceeds received by
such Holder in any sale of securities to which such liability relates.

 

1.7.                            Grant and Transfer of Registration
Rights

 

Except for registration rights granted by the Company
after the date hereof (a) in connection with business acquisitions and
which relate solely to registrations on Form S-3 or (b) which are
subordinate or pari passu to the rights of the Holders hereunder, the Company
shall not grant any registration rights to any other person or entity without
the prior written consent of the Initiating Holders, which consent shall not be
unreasonably withheld or delayed. 
Holders shall have the right to transfer or assign the rights contained
in this Agreement (i) to any limited partner or affiliate of a Holder in
connection with the transfer of any Registrable Securities, (ii) to any
third party transferee acquiring at least three percent (3%) of the shares of
Common Stock then outstanding on a fully-diluted basis, (iii) in the event
that the transferring or assigning Holder owns less than three percent (3%) of
the shares of Common Stock outstanding on a fully-diluted basis, to any thirty
party transferee acquiring all (but not less than all) of the Registrable
Securities held by such Holder, or (iv) to a Holder’s Family Members;
provided: (a) such transfer of Registrable Securities is permitted under
the Stockholders’ Agreement and applicable law, (b) the Company is, within
thirty (30) days after such transfer or as soon as practicable thereafter,
furnished with written notice of the name and address of such transferee or
assignee and the securities with respect to which such registration rights are
being assigned; (c) such transferee or assignee agrees in writing to be
bound by and subject to the terms and conditions of this Agreement; and (d) such
assignment shall be effective only if immediately following such transfer the
further disposition of such securities by the transferee or assignee is
restricted under the Act.

 

1.8.                            Information from Holder

 

It shall be a condition precedent to the obligations
of the Company to take any action pursuant to this Section 1
with respect to the Registrable Securities of any selling Holder that such
Holder shall furnish to the Company such information regarding itself, the
Registrable Securities held by it, and the intended

 

12

 

method of disposition of such securities as shall be
required to effect the registration of such Holder’s Registrable Securities.

 

1.9.                            Changes in Common Stock

 

If there is any change in the Common Stock by way of a
stock split, stock dividend, combination or reclassification, or through a
merger, consolidation, reorganization or recapitalization, or by any other
means, appropriate adjustment shall be made in the provisions hereof so that
the rights and privileges granted hereby shall continue with respect to the
Common Stock as so changed.

 

1.10.                     Rule 144 Reporting

 

With a view to making available to the Holders the
benefits of certain rules and regulations of the SEC which may permit the
sale of the Registrable Securities to the public without registration, the
Company agrees to use commercially reasonable efforts to:

 

(a)           Make
and keep public information available, as those terms are understood and
defined in SEC Rule 144 or any similar or analogous rule promulgated
under the Act, at all times after the effective date of the first registration
under the Act filed by the Company for an offering of its securities to the
general public;

 

(b)           File
with the SEC, in a timely manner, all reports and other documents required of
the Company under the Act and the Exchange Act; and

 

(c)           So
long as a Holder owns any Registrable Securities, furnish to such Holder
forthwith upon request:  a written
statement by the Company as to its compliance with the reporting requirements
of said Rule 144 of the Act, and of the Exchange Act (at any time after it
has become subject to such reporting requirements); a copy of the most recent
annual or quarterly report of the Company; and such other reports and documents
as a Holder may reasonably request in availing itself of any rule or
regulation of the SEC allowing it to sell any such securities without
registration.

 

2.                                      DEFINITIONS

 

The capitalized terms contained in this Agreement
shall have the following meanings unless otherwise specifically defined:

 

13

 

“Act”
shall mean the Securities Act of 1933, as amended.

 

“Agreement”
shall mean this Registration Rights Agreement.

 

“Business Day”
shall mean Monday through Friday and shall exclude any federal or bank holidays
observed in Baltimore, Maryland.

 

“Class B Common
Stock” shall mean the Class B Common Stock of the Company,
$.001 par value per share.

 

“Common Stock”
shall mean the Class A Common Stock of the Company, $.001 par value per
share.

 

“Company”
shall mean KP Sports, Inc., a Maryland corporation doing business as “Under
Armour Performance Apparel”, or any successor thereto.

 

“Company  Indemnified Persons” or “Company Indemnified Person” shall have the
meanings ascribed to those terms in Section 1.6.3.

 

“Equity Securities”
shall mean the Common Stock, the Series A Stock, the Class B Common
Stock and any other rights to subscribe for or to purchase, or any options for
the purchase of, Common Stock, any stock or security convertible into or
exchangeable for Common Stock or any stock, security or interest in the Company
whether or not convertible into or exchangeable for Common Stock.

 

“Existing
Stockholders” or “Existing
Stockholder” shall have the meaning ascribed to those terms in the
Preamble.

 

“Family Member”
shall mean, as applied to any individual, such individual’s spouse, child
(including stepchild or an adopted child), grandchildren, parent, grandparent,
brother or sister or any spouse of any of the foregoing, each trust, family
limited partnership, retirement plan or other similar estate planning vehicle
created for the exclusive benefit of any one or more of them.  “Family Member” shall also include any of
such persons with respect to the individual’s spouse.

 

“Holders”
or “Holder” shall have the meaning
ascribed to those terms in the Preamble.

 

14

 

“Holder  Indemnified Persons” or “Holder Indemnified Person” shall have the
meanings ascribed to those terms in Section 1.6.3.

 

“Indemnified Person”
shall have the meaning ascribed to that term in Section 1.6.3.

 

“Indemnifying Person”
shall have the meaning ascribed to that term in Section 1.6.3.

 

“Initiating Holders”
shall mean Holders who in the aggregate beneficially own not less than 50% of
the shares of Common Stock issued or issuable upon the conversion of the Class B
Common Stock.

 

“Investors”
or “Investor” shall have the
meaning ascribed to those terms in the preamble.

 

“IPO”
shall mean the initial public offering of the Company’s Common Stock registered
under the Act.

 

“Purchase Agreement”
shall have the meaning ascribed to that term in the Recitals.

 

“Registrable
Securities” shall mean (i) shares of Common Stock issued upon
conversion of the Class B Common Stock, (ii) shares of Common Stock
held by the Existing Stockholders on the date hereof and (iii) any shares
of Common Stock issued as a distribution with respect to or in exchange for or
in replacement for any of the shares referred to in clauses (i) and (ii);
provided, however, that Registrable Securities shall not include any securities
that have been previously sold pursuant to a registration statement filed under
the Act or under Rule 144 promulgated under the Act, or which have otherwise
been transferred in a transaction in which the transferor’s rights under this
Agreement are not assigned, or, as to any Holder, all of such Holder’s
Registrable Securities if all such Registrable Securities are then eligible for
sale in a single transaction under Rule 144(k) promulgated under the Act.

 

“SEC”
shall mean the United States Securities and Exchange Commission.

 

“Series A Stock”
shall have the meaning ascribed to that term in the Recitals.

 

15

 

“Stockholders’
Agreement” shall mean the Stockholders’ Agreement among the Company
and other parties named therein, dated as of the date hereof.

 

3.              MISCELLANEOUS

 

3.1.                            Entire Agreement; Amendment

 

This Agreement constitutes the entire agreement among
the parties hereto with respect to the matters provided for herein, and it
supersedes all prior oral or written agreements, commitments or understandings
with respect to the matters provided for herein. This Agreement may not be
amended without the written consent of: (i) the Company, (ii) the
Initiating Holders and (iii) the Holders who beneficially own at least a
majority of the outstanding Registrable Securities then held by all Holders.

 

3.2.                            Waiver

 

No delay or failure on the part of any party hereto in
exercising any right, power or privilege under this Agreement or under any
other instruments given in connection with or pursuant to this Agreement shall
impair any such right, power or privilege or be construed as a waiver of any
default or any acquiescence therein.  No
single or partial exercise of any such right, power or privilege shall preclude
the further exercise of such right, power or privilege, or the exercise of any
other right, power or privilege.  No
waiver shall be valid against any party hereto unless made in writing and
signed by the party against whom enforcement of such waiver is sought and then
only to the extent expressly specified therein.

 

3.3.                            Termination

 

This Agreement shall forthwith become wholly void and
of no force and effect upon the earlier to occur of the following: (i) as
to any Holder (including any assignee of such Holder), at such time as the
Holder retains less than one percent (1%) of the Company’s outstanding Common
Stock (including Common Stock issuable upon conversion of the Class B
Common Stock) and all such Holder’s Registrable Securities are then eligible
for sale, during any ninety (90) day period, in a single transaction under Rule 144
promulgated under the Act (including the volume limitations thereunder), or (ii) five
(5) years from the closing of the Company’s IPO.

 

16

 

3.4.                            No Third Party Beneficiaries

 

Except to the extent that the rights hereunder are
assigned in accordance with Section 1.7,
it is the explicit intention of the parties hereto that no person or entity
other than the parties hereto is or shall be entitled to bring any action to
enforce any provision of this Agreement against any of the parties hereto, and
the covenants, undertakings and agreements set forth in this Agreement shall be
solely for the benefit of, and shall be enforceable only by, the parties hereto
or their respective successors, heirs, executors, administrators, legal
representatives and permitted assigns.

 

3.5.                            Binding Effect

 

This Agreement shall be binding upon and shall inure
to the benefit of the parties hereto and their respective successors, heirs,
executors, administrators, legal representatives and permitted assigns.

 

3.6.                            Governing Law; Exclusive
Jurisdiction

 

This Agreement, the rights and obligations of the
parties hereto, and any claims or disputes relating thereto, shall be governed
by and construed in accordance with the laws of the State of Maryland
(excluding the choice of law rules thereof).  Any legal action or proceeding against the
parties with respect to this Agreement shall be brought and enforced in the
state court located in Baltimore City, Maryland or the federal District Court
for the State of Maryland located in Baltimore City, Maryland, and any
appellate courts from thereof, and by execution and delivery of this Agreement,
each of the parties hereby irrevocably accepts for itself and in respect of its
property, generally, irrevocably and unconditionally, the exclusive
jurisdiction of the aforesaid courts. 
Each of the parties agrees that a judgment, after exhaustion of all
available appeals, in any such action or proceedings shall be conclusive and
binding upon them, and may be enforced in any other jurisdiction by a suit upon
such judgment, a certified copy of which shall be conclusive evidence of such
judgment.  Each of the parties hereby
waives irrevocably, to the fullest extent permitted by law, any objection to
the laying of venue in Baltimore City, Maryland or any claim of inconvenient
forum in respect of any such action in Baltimore City, Maryland to which it
might otherwise now or hereafter be entitled in any actions arising out of or
based on this Agreement.  Each party to
this Agreement irrevocably consents to service of process in the manner
provided for notices in Section 3.7.  Nothing in this Agreement will affect the
right of any party to this Agreement to serve process in any other manner
permitted by law.

 

17

 

3.7.                            Notices

 

All notices, demands, requests, or other
communications which may be or are required to be given, served, or sent by any
party to any other party pursuant to this Agreement shall be in writing and
shall be hand-delivered, sent by overnight courier or mailed by first-class,
registered or certified mail, return receipt requested, postage prepaid, or
transmitted by telecopy, addressed as follows:

 

(i)            If
to the Company:

 

KP Sports, Inc.

1020 Hull Street, 3rd Floor

Baltimore, MD 21230

Telecopy No.: (410) 234-9824

Attention:  J.
Scott Plank

 

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

 

Hogan & Hartson L.L.P.

111 S. Calvert Street, Suite 1600

Baltimore, MD 21202

Telecopy No.: (410) 539-6981

Attention: 
Lawrence R. Seidman

 

(ii)                                  If
to either or both of the Investors:

 

Rosewood Capital

One Maritime Plaza, Suite 1330

San Francisco, California  94111

Telecopy No.: (415) 362-1192

Attention:

 

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

 

Alston & Bird L.L.P.

One Atlantic Center

Atlanta, GA 30309-3424

Telecopy No.: (404) 253-8394

Attention:  W.
Thomas Carter, III

 

If to the other Holders, then to the names and
addresses set forth on the books and records of the Company

 

18

 

Each party may designate
by notice in writing a new address to which any notice, demand, request or
communication may thereafter be so given, served or sent.  Each notice, demand, request, or
communication which shall be hand-delivered, mailed, transmitted or telecopied
in the manner described above, shall be deemed sufficiently given, served,
sent, received or delivered for all purposes at such time as it is delivered to
the addressee (with the return receipt, the delivery receipt, or (with respect
to a telecopy) the answerback or confirmation being deemed conclusive, but not
exclusive, evidence of such delivery) or at such time as delivery is refused by
the addressee upon presentation.

 

3.8.                            Execution in Counterparts;
Facsimile Signatures

 

To facilitate execution, this Agreement may be
executed in as many counterparts as may be required.  It shall not be necessary that the signatures
of, or on behalf of, each party, or that the signatures of all persons required
to bind any party, appear on each counterpart; but it shall be sufficient that
the signature of, or on behalf of, each party, or that the signatures of the
persons required to bind any party, appear on one or more of the
counterparts.  All counterparts shall
collectively constitute a single agreement. 
It shall not be necessary in making proof of this Agreement to produce
or account for more than a number of counterparts containing the respective
signatures of, or on behalf of, all of the parties hereto.  This Agreement may be executed by facsimile
signatures.

 

3.9.                            Severability

 

If any part of any provision of this Agreement shall
be invalid or unenforceable in any respect, such part shall be ineffective to
the extent of such invalidity or unenforceability only, without in any way
affecting the remaining parts of such provision or the remaining provisions of
this Agreement.

 

3.10.                     Headings

 

Section headings contained in this Agreement are
inserted for convenience of reference only, shall not be deemed to be a part of
this Agreement for any purpose, and shall not in any way define or affect the
meaning, construction or scope of any of the provisions hereof.

 

 

[Remainder of page intentionally
left blank]

 

19

 

 

IN WITNESS WHEREOF, the undersigned have duly executed
this Agreement, or have caused this Agreement to be duly executed on their
behalf, as of the day and year first hereinabove set forth.

 

	
   

  	
  KP SPORTS, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Kevin
  A. Plank

  	
   

  
	
   

  	
  Name: Kevin A. Plank

  	
   

  
	
   

  	
  Title: President and Chief Executive Officer

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  THE HOLDERS

  
	
   

  	
   

  	
   

  
	
   

  	
  ROSEWOOD CAPITAL IV, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Rosewood Capital Associates IV, LLC

  
	
   

  	
  Its:

  	
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Byron K. Adams, Jr.

  	
   

  
	
   

  	
  Name: Byron K. Adams,
  Jr.

  
	
   

  	
  Title: Managing
  Member

  
	
   

  	
   

  	
   

  
	
   

  	
  ROSEWOOD
  CAPITAL IV ASSOCIATES, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Rosewood Capital Associates IV, LLC

  
	
   

  	
  Its:

  	
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Byron
  K. Adams, Jr.

  	
   

  
	
   

  	
  Name: Byron K. Adams,
  Jr.

  
	
   

  	
  Title: Managing
  Member

  
													

 

20

 

	
  [Signature Page to Registration Rights
  Agreement]

  
	
   

  	
   

  	
   

  
	
   

  	
  THE EXISTING STOCKHOLDERS

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Kevin A. Plank

  	
   

  
	
   

  	
  Kevin Plank

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  PLANK INVESTMENTS L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jayne H. Plank, General Partner

  	
   

  
	
   

  	
  Name: Jayne Plank

  
	
   

  	
  Title: General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ J.
  Scott Plank

  	
   

  
	
   

  	
  J. Scott Plank

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Ryan
  Wood

  	
   

  
	
   

  	
  Ryan Wood

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ Kip
  Fulks

  	
   

  
	
   

  	
  Kip Fulks

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Stuart
  Plank

  	
   

  
	
   

  	
  Stuart Plank

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Ray
  Bank

  	
   

  
	
   

  	
  Ray Bank

  

 

21

 

[Signature Page to Registration Rights Agreement]

 

22

 

TABLE OF CONTENTS

 

	
  1.

  	
  REGISTRATION RIGHTS

  	
   

  
	
   

  	
  1.1.

  	
  Demand Registration Rights
  of Initiating Holders

  	
   

  
	
   

  	
   

  	
  1.1.1.

  	
  Request

  	
   

  
	
   

  	
   

  	
  1.1.2.

  	
  Demand Procedures

  	
   

  
	
   

  	
   

  	
  1.1.3.

  	
  Delay by Company

  	
   

  
	
   

  	
   

  	
  1.1.4.

  	
  Reduction

  	
   

  
	
   

  	
   

  	
  1.1.5.

  	
  Withdrawal

  	
   

  
	
   

  	
  1.2.

  	
  Piggyback Registration Rights

  	
   

  
	
   

  	
   

  	
  1.2.1.

  	
  Request

  	
   

  
	
   

  	
   

  	
  1.2.2.

  	
  Reduction

  	
   

  
	
   

  	
  1.3.

  	
  Registration on Form S-3

  	
   

  
	
   

  	
  1.4.

  	
  Registration Procedures

  	
   

  
	
   

  	
  1.5.

  	
  Holdback Agreement

  	
   

  
	
   

  	
  1.6.

  	
  Registration Expenses

  	
   

  
	
   

  	
   

  	
  1.6.1.

  	
  Holder Expenses

  	
   

  
	
   

  	
   

  	
  1.6.2.

  	
  Company Expenses

  	
   

  
	
   

  	
   

  	
  1.6.3.

  	
  Indemnity and Contribution

  	
   

  
	
   

  	
  1.7.

  	
  Grant and Transfer of
  Registration Rights

  	
   

  
	
   

  	
  1.8.

  	
  Information from Holder

  	
   

  
	
   

  	
  1.9.

  	
  Changes in Common Stock

  	
   

  
	
   

  	
  1.10.

  	
  Rule 144 Reporting

  	
   

  
	
  2.

  	
  DEFINITIONS

  	
   

  
	
  3.

  	
  MISCELLANEOUS

  	
   

  
	
   

  	
  3.1.

  	
  Entire Agreement; Amendment

  	
   

  
	
   

  	
  3.2.

  	
  Waiver

  	
   

  
	
   

  	
  3.3.

  	
  Termination

  	
   

  
	
   

  	
  3.4.

  	
  No Third Party Beneficiaries

  	
   

  
	
   

  	
  3.5.

  	
  Binding Effect

  	
   

  
	
   

  	
  3.6.

  	
  Governing Law;
  Exclusive Jurisdiction

  	
   

  
	
   

  	
  3.7.

  	
  Notices

  	
   

  
	
   

  	
  3.8.

  	
  Execution in Counterparts;
  Facsimile Signatures

  	
   

  
	
   

  	
  3.9.

  	
  Severability

  	
   

  
	
   

  	
  3.10.

  	
  Headings

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00093-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00093-of-00352.parquet"}]]