Document:

ISDA Schedule to the 2002 Master Agreement dated as of December 14, 2009

 Exhibit 10.16 

 ISDA® 

International Swaps and Derivatives Association, Inc. 
 SCHEDULE 
 to the 

2002 Master Agreement 
 dated as of December 14, 2009 
 between 

MORGAN STANLEY & CO. INTERNATIONAL PLC 
 (“Party A”) 
 and 

ARCOS DORADOS B.V. 
 (“Party B”) 
 Part 1. Termination Provisions. 

 

	(a)	“Specified Entity” means in relation to Party A for the purpose of: 

Section 5(a)(v), Affiliates 
 Section 5(a)(vi), Not Applicable 
 Section 5(a)(vii), Not Applicable

 Section 5(b)(v), Not Applicable 
 and in relation to Party B for the purpose of: 
 Section 5(a)(v), Not
Applicable 
 Section 5(a)(vi), Not Applicable 
 Section 5(a)(vii), Not Applicable 
 Section 5(b)(v), Not Applicable

  

	(b)	“Specified Transaction” will have the meaning specified in Section 14. 

 

	(c)	The “Cross Default” provisions of Section 5(a)(vi) will apply to Party A and Party B. 

“Specified Indebtedness” will have the meaning specified in Section 14. 

“Threshold Amount” means in relation to Party A, an amount equal to 3% of the total shareholders’ equity of Party A
as specified from time to time in the most recently published audited financial statements of Party A or its equivalent in any other currency and, in relation to Party B, USD 25,000,000 or its equivalent in any other currency. 

 

	(d)	The “Bankruptcy” provisions of Section 5(a)(vii) will apply to Party A and will apply to Party B; provided that such provisions shall be
amended by deleting “15” and substituting “30” in clauses (4)(B) and (7) thereof. 

  

	(e)	The “Credit Event Upon Merger” provisions of Section 5(b)(v) will apply to Party A and Party B. 

  
 2 

	(f)	The “Automatic Early Termination” provision of Section 6(a)(iv) will not apply to Party A or to Party B; provided, however, that with
respect to a party, where the Event of Default specified in Section 5(a)(vii)(1), (3), (4), (5), (6) or, to the extent analogous thereto, (8) is governed by a system of law which does not permit termination to take place after the
occurrence of the relevant Event of Default, then the Automatic Early Termination provisions of Section 6(a) will apply. 

  

	(g)	“Termination Currency” means United States Dollars. 

 Part 2. Tax Representations. 
  

	(a)	Payer Tax Representations. For the purpose of Section 3(e), Party A and Party B will make the following representation:- 

It is not required by any applicable law, as modified by the practice of any relevant governmental revenue authority, of any Relevant
Jurisdiction to make any deduction or withholding for or on account of any Tax from any payment (other than interest under Section 9(h) of this Agreement) to be made by it to the other party under this Agreement. In making this representation,
it may rely on (i) the accuracy of any representations made by the other party pursuant to Section 3(f) of this Agreement, (ii) the satisfaction of the agreement contained in Section 4(a)(i) or 4(a)(iii) of this Agreement and the
accuracy and effectiveness of any document provided by the other party pursuant to Section 4(a)(i) or 4(a)(iii) of this Agreement and (iii) the satisfaction of the agreement of the other party contained in Section 4(d) of this
Agreement, except that it will not be a breach of this representation where reliance is placed on clause (ii) above and the other party does not deliver a form or document under Section 4(a)(iii) by reason of material prejudice to its
legal or commercial position. 
  

	(b)	Party A Payee Representation. For the purpose of Section 3(f) of this Agreement, Party A makes the following representation: 

It is a “non-U.S. branch of a foreign person” within the meaning of Section 1.1441-4(a)(3)(ii) of the United States
Treasury Regulations and a “foreign person” within the meaning of Section 1.6041-4(a)(4) of the United States Treasury Regulations. 
  

	(c)	Party B Payee Representation. For the purpose of Section 3(f) of this Agreement, Party B makes the following representations: 

It is a “non-U.S. branch of a foreign person” within the meaning of Section 1.1441-4(a)(3)(ii) of the United States
Treasury Regulations and a “foreign person” within the meaning of Section 1.6041-4(a)(4) of the United States Treasury Regulations. 
 It is not (1) a bank that has entered into this Agreement in the ordinary course of its trade or business of making loans, as described in Section 881(c)(3)(A) of the Internal Revenue Code of
1986, as amended (the “Code”), (2) a 10-percent shareholder of Party A within the meaning of Code Section 871(h)(3)(B), or (3) a controlled foreign corporation related to Party A within the meaning of Code
Section 881(c)(3)(C). 
 Part 3. Agreement to Deliver Documents. 
 For the purpose of Sections 4(a)(i) and 4(a)(ii), each party agrees to deliver the following documents, as applicable:- 

  
 3 

	(a)	Tax forms, documents or certificates to be delivered are:- None 

  

	(b)	Other documents to be delivered are: 

  

							
	 Party required
 to Deliver

document
	  	 Form/Document/

Certificate
	  	 Date by which to be

delivered
	  	 Covered by

Section 3(d)

Representation

				
	Party A and Party B	  	Either (i) a signature booklet containing a secretary’s certificate and resolutions (“authorizing resolutions”) or (ii) other authority documentation, in either case,
which (x) authorizes the party to enter into derivatives transactions of the type contemplated by the parties and (y) is reasonably satisfactory in form and substance to the other party.	  	The earlier of (i) the fifth Local Business Day after the trade date of the first Transaction and (ii) upon execution of this Agreement and as deemed necessary for any further
documentation.	  	Yes
				
	Party A and Party B	  	Certified copies of documents evidencing each party’s capacity to execute this Agreement, each Confirmation and any Credit Support Document (if applicable) and to perform its
obligations hereunder and thereunder.	  	Upon the execution of this Agreement, and, with respect to a Confirmation, upon the other party’s request.	  	Yes
				
	Party A and Party B	  	A copy of the annual report of such party (in the case of Party A, in respect of Morgan Stanley) containing audited consolidated financial statements for each such fiscal year,
certified by independent certified public accountants and prepared in accordance with generally accepted accounting principles in the country in which such party is organized.	  	As soon as practicable after the execution of this Agreement and also within 120 calendar days after the end of each fiscal year while there are any obligations outstanding under
this Agreement.	  	Yes
				
	Party A and Party B	  	A duly executed copy of the Credit Support Documents specified in Part 4 of this Schedule.	  	As soon as practicable after the execution of this Agreement and promptly after execution of any additional Subsidiary Guarantees (as defined in the Indenture dated as of October 1,
2009 (the	  	No

  
 4 

							
	 Party required
 to Deliver

document
	  	 Form/Document/

Certificate
	  	 Date by which to be

delivered
	  	 Covered by

Section 3(d)

Representation

				
		  		  	“Indenture”) among Arcos Dorados B.V., as issuer, the Subsidiary Guarantors, Citibank N.A., as trustee, registrar, paying agent and transfer agent, and Dexia Banque
Internationale A Luxembourg, Societe Anonyme, as Luxembourg paying agent).	  	

 Part 4. Miscellaneous. 
  

	(a)	Addresses for Notices. For the purpose of Section 12(a) of this Agreement: 

Addresses for notice or communications to Party A: 
 For notices or communications with respect to Sections 5 or 6 only: 
  

			
	 Address:
	 	 25 Cabot Square / Canary Wharf
 London E14 4QA
 England

	Attention:	 	Close-out Notices
	With a mandatory copy to :	 	
	Facsimile No.:	 	+1 212 507 4622

 For notices or
communications with respect to all purposes other than Sections 5 or 6: 
  

			
	Address:	 	 25 Cabot Square / Canary Wharf
 London E14 4QA
 England

	Attention:	 	Miscellaneous Notices
	Facsimile No.:	 	+1 212 404 9899

 Address for
notices or communications to Party B: 
  

			
	Address:	 	 Arcos Dorados B.V.
 C/C
Arcos Dorados Argentina S.A.
 Roque Saenz Peña 432 - Olivos - Buenos Aires
 Argentina - B1636FFB

		
	Attention:	 	 Miguel Sanchez de Bustamante / Diego
 Pace / Julieta Nalband

	Facsimile No.:	 	(54-11) 4711-2236
	Telephone No.:	 	(54-11) 4711-2000

  
 5 

	(b)	Process Agent. For the purpose of Section 13(c) of this Agreement: 

 Party A appoints as its Process Agent: 
 MORGAN STANLEY CAPITAL SERVICES INC.

 1585 Broadway 
 New York, New York 10036-8293 
 Attention:
            CHIEF LEGAL OFFICER 
 Party B appoints as its Process
Agent: 
 National Registered Agents, Inc. with offices currently at 875 Avenue of the 

Americas, Suite 501, 
 New York, New York 10001 
  

	(c)	Offices. The provisions of Section 10(a) will apply to this Agreement. 

 

	(d)	Multibranch Party. For the purpose of Section 10(b) of this Agreement: 

Party A is not a Multibranch Party. 
 Party B is not a Multibranch Party. 
  

	(e)	Calculation Agent. The Calculation Agent is Party A unless (i) otherwise specified in a Confirmation in relation to the relevant Transaction, or
(ii) Party A is a Defaulting Party or Affected Party, in which case the Calculation Agent shall be Party B. 

  

	(f)	Credit Support Document. Details of any Credit Support Document: 

 In relation to Party A: The guarantee of Morgan Stanley, a Delaware Company. 
 In
relation to Party B: The Subsidiary Guarantees. 
  

	(g)	Credit Support Provider. Credit Support Provider means: 

 In relation to Party A: Morgan Stanley. 
 In relation to Party B: The Subsidiary
Guarantors (as defined in the Indenture). 
  

	(h)	Local Business Day. Notwithstanding anything to the contrary in the definition of Local Business Day in Section 14 of this Agreement, the parties hereby
agree that for all purposes hereunder a Local Business Day shall occur only on a General Business Day in both New York, New York and Buenos Aires, Argentina. 

 

	(i)	Governing Law. This Agreement and all matters arising out of or in any way connected thereto will be governed by and construed in accordance with the laws of the
State of New York (without reference to the choice of law doctrine). Section 13(b) is amended by: (1) deleting “non-” from the second line of clause (i); and (2) deleting the final paragraph. 

 

	(j)	Netting of Payments. “Multiple Transaction Payment Netting” will apply for the purpose of Section 2(c) of this Agreement to all Transactions,
starting from the date of this Agreement. 

  
 6 

	(k)	Absence of Litigation. For the purpose of Section 3(c): 

 “Specified Entity” means in relation to Party A, Affiliates. 

“Specified Entity” means in relation to Party B, Affiliates. 

 

	(l)	“Affiliate” has the meaning specified in Section 14 of this Agreement, but excludes Morgan Stanley Derivative Products Inc. 

 

	(m)	No Agency. The provisions of Section 3(g) will apply to this Agreement. 

 

	(n)	Additional Representation will apply. For the purpose of Section 3 of this Agreement, the following will constitute Additional Representations and each
party will be deemed to represent to the other party on the date on which it enters into a Transaction that (absent a written agreement between the parties that expressly imposes affirmative obligations to the contrary for that Transaction):

  

	 	1)	Non-Reliance. It is acting for its own account, and it has made its own independent decisions to enter into that Transaction and as to whether that
Transaction is appropriate or proper for it based upon its own judgment and upon advice from such advisers as it has deemed necessary. It is not relying on any communication (written or oral) of the other party as investment advice or as a
recommendation to enter into that Transaction, it being understood that information and explanations related to the terms and conditions of a Transaction shall not be considered investment advice or a recommendation to enter into that Transaction.
No communication (written or oral) received from the other party shall be deemed to be an assurance or guarantee as to the expected results of that Transaction. 

 

	 	2)	Assessment and Understanding. It is capable of assessing the merits of and understanding (on its own behalf or through independent professional advice),
and understands and accepts, the terms, conditions and risks of that Transaction. It is also capable of assuming, and assumes, the risks of that Transaction. 

 

	 	3)	Status of Parties. The other party is not acting as a fiduciary for or an adviser to it in respect of that Transaction.” 

 

	(o)	Recording of Conversations. Each party (i) consents to the recording of telephone conversations between the trading, marketing and other relevant personnel
of the parties in connection with this Agreement or any potential Transaction, (ii) agrees to obtain any necessary consent of, and give any necessary notice of such recording to, its relevant personnel and (iii) agrees, to the extent
permitted by applicable law, that the recordings may be submitted in evidence in any Proceedings. 

  

	(p)	Pari Passu. All payment and delivery obligations of each party under this Agreement will rank at least pari passu in all respects with all of that
party’s other unsecured and unsubordinated obligations (except for those which are mandatorily preferred by the operation of law). 

  

	Part	5. Other Provisions. 

  

	(a)	 ISDA Definitions. Reference is hereby made to the 2006 ISDA Definitions (the “2006 Definitions”) and the 1998 FX and
Currency Option Definitions (the “FX Definitions”) (collectively the “ISDA Definitions”) each as published by the International Swaps and Derivatives Association, Inc., which are hereby incorporated by
reference herein. Any terms used and not otherwise defined herein, which are contained in the 2006 Definitions 

  
 7 

	 	 
shall have the meaning set forth therein. In the event of any inconsistency between the 2006 Definitions and the FX Definitions, the FX Definitions shall prevail with respect to an FX Transaction
or a Currency Option Transaction. In the event of any inconsistency between the provisions of this Agreement and the 2006 Definitions, the provisions of this Agreement shall prevail. For the purpose of this Agreement, the expression “Swap
Transaction” as used in the 2006 Definitions shall be read to mean “Transactions”. 

  

	(b)	Waiver of Jury Trial. To the extent permitted by applicable law, each party waives any right it may have to a trial by jury in respect of any Proceedings
relating to this Agreement or any Transaction. 

  

	(c)	Illegality. For the purpose of Section 5(b)(i), the obligation of a party to comply with any directive issued or given by any government agency or authority
with competent jurisdiction which has the result referred to in Section 5(b)(i) will be deemed to be an “Illegality”. 

  

	(d)	 2002 Master Agreement Protocol. The parties agree that the definitions and provisions contained in Annexes 1 to 18 of the 2002 Master Agreement
Protocol published by the International Swaps and Derivatives Association, Inc. on July 15th, 2003 (the “2002 Protocol”) are incorporated into and apply to this Agreement. As used in this Agreement (including in all Confirmations related to it), any reference to any ISDA
Definitions Booklet and/or Credit Support Provisions shall mean that ISDA Definitions Booklet and/or those Credit Support Provisions as deemed amended in accordance with the terms of the 2002 Protocol. 

 

	(e)	Confirmation Procedures. On or promptly following the Trade Date of a Transaction, Party A will send in writing to Party B by facsimile and email a Confirmation.
Party B agrees to respond to such Confirmation within three (3) Local Business Days after receipt of that Confirmation, either by confirming agreement thereto or requesting a correction of any error(s) contained therein. Failure by Party B to
respond within such period shall not affect the validity or enforceability of such Transaction. 

  

	(f)	Scope of Agreement. Notwithstanding anything contained in this Agreement to the contrary, any transaction which may otherwise constitute a “Specified
Transaction” (other than a repurchase transaction, reverse repurchase transaction, buy/sell-back transaction or securities lending transaction) for the purposes of this Agreement which has been or will be entered into between the parties shall
constitute a “Transaction” which is subject to, governed by and construed in accordance with the terms of this Agreement, unless the Confirmation with respect to a Transaction entered into after the execution of this Agreement expressly
provides otherwise. 

 Part 6. FX Transactions and Currency Option Transactions 

 

	(a)	Confirmations. Any FX Transaction or Currency Option Transaction into which the parties may before the date of this Agreement have entered, or may in the future
enter, where the relevant Confirmation on its face does not expressly exclude the application of this Agreement, shall (to the extent not otherwise provided for in this Agreement) be subject to, governed by and construed in accordance with this
Agreement (in substitution for any existing terms, if any, whether express or implied). Each such FX Transaction and Currency Option Transaction shall be a Transaction, and the documents and other confirming evidence (including electronic messages
on an electronic messaging service) exchanged between the parties confirming such FX Transaction or Currency Option Transaction shall each be a Confirmation (even where not so specified therein), for the purposes of this Agreement.

  
 8 

	(b)	Payment Instructions. All payments to be made in respect of FX Transactions and Currency Option Transactions shall be made in accordance with standing payment
instructions provided by the parties (or as otherwise specified in a Confirmation). 

  

	(c)	Currency Option Transaction Discharge and Termination. 

  

	 	(i)	Automatic Discharge and Termination of Offsetting Options. Unless otherwise agreed, any Call or any Put written by a party will automatically be terminated and
discharged, in whole or in part, as applicable, against a Call or a Put, respectively, written by the other party, such termination and discharge to occur automatically upon the payment in full of the last Premium payable in respect of such Currency
Option Transactions; provided that such termination and discharge may only occur in respect of Currency Option Transactions: 

 (a) each being with respect to the same Put Currency and the same Call Currency; 

(b) each having the same Expiration Date and Expiration Time; 
 (c) each being of the same style, i.e. either both being American Style Options or both being European Style Options; 
 (d) each having the same Strike Price; 
 (e) neither of which shall have been
exercised by delivery of a Notice of Exercise; 
 (f) which are otherwise identical in terms that are material for the purposes
of offset and discharge; 
 and, upon occurrence of such termination and discharge, neither party shall have any further
obligation to the other party in respect of the relevant Currency Option Transactions or, as the case may be, parts thereof so terminated and discharged. In the case of a partial termination and discharge (i.e. where the relevant Currency Option
Transactions are for different amounts of the Currency Pair), the remaining portion of the Currency Option Transaction which is partially discharged and terminated shall continue to be a Currency Option Transaction for all purposes of this
Agreement. This provision shall apply notwithstanding that either party (i) may fail to send out a Confirmation in respect of any such discharge and termination, or (ii) may fail to make changes in any of its books as a result of any such
discharge and termination. 
  

	(d)	Netting of Payments. Notwithstanding Part 4(j) of this Schedule to this Agreement, “Multiple Transaction Payment Netting” will apply for the purpose of
Section 2(c) of this Agreement to all Transactions under this Agreement, provided, however, that (i) obligations to make payments pursuant to FX Transactions shall only be netted, satisfied and discharged against obligations
to make payments arising out of the same or other FX Transactions and obligations to make payments pursuant to Currency Option Transactions shall only be netted, satisfied and discharged against obligations to make payments arising out of the same
or other Currency Option Transactions and (ii) Premiums in respect of Currency Option Transactions shall be netted, satisfied and discharged only against other Premiums in respect of Currency Option Transactions. The Calculation Agent shall
notify the parties of the amounts of any such netted payments (which notice may be by telephone). 

  

	(e)	Amendments to the FX and Currency Option Definitions. The following amendments are made to the FX and Currency Option Definitions: 

  
 9 

	 	(i)	Section 3.4 of the FX and Currency Option Definitions is hereby amended by the addition of the following as new Sections 3.4(c) and (d) of the FX and Currency
Option Definitions: 

  

	 	“(c)	Unless otherwise agreed in writing by the parties, the Premium related to a Currency Option Transaction shall be paid on its Premium Payment Date in immediately
available funds. 

  

	 	(d)	If any Premium is not received on the Premium Payment Date, the Seller may elect: (i) to accept a late payment of such Premium; (ii) to give written notice of
such non-payment and, if such payment shall not be received within three (3) Local Business Days of such notice, treat the related Currency Option Transaction as void; or (iii) to give written notice of such non-payment and, if such
payment shall not be not received within three (3) Local Business Days, treat such non-payment as an Event of Default under Section 5(a)(i) of this Agreement. If the Seller elects to act under either clause (i) or (ii) of the
preceding sentence, the Buyer shall pay all out-of-pocket costs and actual damages incurred in connection with such unpaid or late Premium or void Currency Option Transaction, including, without limitation, interest on such Premium from and
including the Premium Payment Date to but excluding the date of actual payment in the same currency as such Premium at the Default Rate and any other losses, costs or expenses incurred by the Seller in connection with such terminated Currency Option
Transaction, for the cost of its funding, or the loss incurred as a result of terminating, liquidating, obtaining or re-establishing a delta hedge or related trading position with respect to such Currency Option Transaction,”

  
 10 

 IN WITNESS WHEREOF, the parties have executed this Schedule by their duly authorized
representative(s) as of the date hereof. 

									
			
	 MORGAN STANLEY & CO.
 INTERNATIONAL PLC
	 	 	 	ARCOS DORADOS B.V.
					
	By:	 	 /s/ Barbara De Calonje
	 		 	By:	 	 /s/ Miguel Sanchez de Bustamante

		 	Name:  Barbara De Calonje	 		 		 	Name:  Miguel Sanchez de Bustamante
		 	Title:    Authorised Signatory	 		 		 	Title:    Corporate Finance Director
					
		 		 		 	By:	 	 /s/ Diego Pace

		 		 		 		 	Name:  Diego Pace
		 		 		 		 	Title:    Corporate Finance Manager

  
 11Confirmation of Interest Rate Swap

 Exhibit 10.17 

 

 

  

							
	Date:	  	30 December 2009	 		  	
				
	To:	  	Areas Dorados B.V.	 	From:	  	Morgan Stanley & Co. International Plc
				
		  	Account Number: 0617SAV70	 		  	 20, Cabot Square
 Canary
Wharf
 London E14 4QW

				
	Attn:	  	Julieta Nalband	 	Contact:	  	Baltimore Derivative Dealer Services Group
				
	Email:	  	julieta.nalband@ar.mcd.com	 	Fax:	  	212 404 4762
				
	Tel:	  		 	Tel:	  	212 761 2630

 Re: Non-Deliverable Interest Rate Swap MSIL
Ref. YRZQC 
 The purpose of this letter agreement is to set forth the terms and conditions of the Transaction entered into
between us on the Trade Date referred to below. This letter constitutes a “Confirmation” as referred to in the Agreement specified below. 
 The definitions and provisions contained in the 2006 ISDA Definitions (the “2006 Definitions”), as published by the International Swaps and Derivatives Association, Inc. (“ISDA”), and
the 1998 FX and Currency Option Definitions (the “FX Definitions”) as published by ISDA, the Emerging Markets Traders Association and The Foreign Exchange Committee (together, the “Definitions”) are incorporated into this
Confirmation. In the event of any inconsistency between the 2006 Definitions and the FX Definitions, the 2006 Definitions shall govern, except that the FX Definitions shall govern for the purposes of the Settlement Provisions set out below. In the
event of any inconsistency between the Definitions and this Confirmation, this Confirmation will govern. References herein to a “Transaction” shall be deemed to be references to a “Swap Transaction” for the purposes of the 2006
Definitions. 
 1. This Confirmation supplements, forms a part of, and is subject to, the Master Agreement dated as of
14 December 2009, as amended and supplemented from time to time (the “Agreement”), between you and us. All provisions contained in the Agreement shall govern this Confirmation except as expressly modified below. 

2. The terms of the particular Transaction to which this Confirmation relates are as follows: 

 

			
	General Terms:	 	
		
	    Party A:	 	Morgan Stanley & Co. International Plc
		
	    Party A Credit Support:	 	As per the Agreement
		
	    Party B:	 	Arcos Dorados B.V.
		
	    Trade Date:	 	15 December 2009
		
	    Effective Date:	 	10 November 2009
		
	    Termination Date:	 	10 November 2013, subject to adjustment in accordance with the Modified Following Business Day Convention.
		
	Floating Amounts:	 	
		
	    Floating Rate Payer:	 	Party B
		
	    Floating Rate Paver Currency Amount:	 	USD 100,000,000, amortizing according to Schedule I

 Schedule I 
 The dates below are from and including, to but excluding, and are subject to No Adjustment. 
  

							
	 From
	  	 To
	  	Amount in USD	 
	10 November 2009	  	10 February 2010	  	 	100,000,000	  
	10 February 2010	  	10 May 2010	  	 	100,000,000	  
	10 May 2010	  	10 August 2010	  	 	100,000,000	  
	10 August 2010	  	10 November 2010	  	 	100,000,000	  
	10 November 2010	  	10 February 2011	  	 	90,000,000	  
	10 February 2011	  	10 May 2011	  	 	90,000,000	  
	10 May 2011	  	10 August 2011	  	 	80,000,000	  
	10 August 2011	  	10 November 2011	  	 	80,000,000	  
	10 November 2011	  	10 February 2012	  	 	70,000,000	  
	10 February 2012	  	10 May 2012	  	 	70,000,000	  
	10 May 2012	  	10 August 2012	  	 	60,000,000	  
	10 August 2012	  	10 November 2012	  	 	60,000,000	  
	10 November 2012	  	10 February 2013	  	 	50,000,000	  
	10 February 2013	  	10 May 2013	  	 	50,000,000	  
	10 May 2013	  	10 August 2013	  	 	25,000,000	  
	10 August 2013	  	10 November 2013	  	 	25,000,000	  

  

			
	    Floating Rate Payment Dates:	  	On 10 February. 10 May, 10 August and 10 November in each year, from and including 10 February 2010 to and including 10 November 2013, subject to
adjustment in accordance with the Modified Following Business Day Convention with No Adjustment to Period End Dates
		
	    Floating Rate for initial Calculation Period:	  	0.274060 %
		
	    Floating Rate Option:	  	USD-LIBOR-BRA
		
	    Designated Maturity:	  	3 months
		
	    Reset Date:	  	The first day of each Calculation Period
		
	    Floating Rate Day Count Fraction:	  	Actual/360
		
	Fixed Amounts:	  	
		
	    Fixed Rate Payer:	  	Party A
		
	    Fixed Rate Payer Currency Amount:	  	BRL 176,000,000, amortizing according to Schedule II below

 Schedule II 
 The dates below are from and including, to but excluding, and are subject to No
Adjustment. 
  

							
	 From
	  	 To
	  	Amount in BRL	 
	10 November 2009	  	10 February 2010	  	 	176,000,000	  
	10 February 2010	  	10 May 2010	  	 	176,000,000	  
	10 May 2010	  	10 August 2010	  	 	176,000,000	  
	10 August 2010	  	10 November 2010	  	 	176,000,000	  
	10 November 2010	  	10 February 2011	  	 	158,400,000	  
	10 February 2011	  	10 May 2011	  	 	158,400,000	  
	10 May 2011	  	10 August 2011	  	 	140,800,000	  
	10 August 2011	  	10 November 2011	  	 	140,800,000	  
	10 November 2011	  	10 February 2012	  	 	123,200,000	  

  
 3 

							
	10 February 2012	  	10 May 2012	  	 	123,200,000	  
	10 May 2012	  	10 August 2012	  	 	105,600,000	  
	I0 August 2012	  	10 November 2012	  	 	105,600,000	  
	10 November 2012	  	10 February 2013	  	 	88,000,000	  
	10 February 2013	  	10 May 2013	  	 	88,000,000	  
	10 May 2013	  	10 August 2013	  	 	44,000,000	  
	10 August 2013	  	10 November 2013	  	 	44,000,000	  

  

			
	    Fixed Rate:	  	2.02 %
		
	    Fixed Rate Payment Dates:	  	On 10 February, 10 May, 10 August and 10 November in each year, from and including 10 February 2010 to and including 10 November 2013, subject to adjustment in accordance with
the Modified Following Business Day Convention with No Adjustment to Period End Dates
		
	    Fixed Rate Day Count Fraction:	  	Actual/360
		
	    Fixed Amounts:	  	 On each Fixed Rate Payer Payment Date, the Fixed Amounts shall be determined in accordance with the following formula:

 
 Fixed Amounts = (Fixed Rate Payer Currency Amount x Fixed Rate x Fixed Rate Day Count
Fraction)
  
 Fixed Amounts in BRL shall be converted into USD in accordance
with the Settlement Provisions below.

		
	Settlement Provisions:	  	
		
	    Settlement:	  	Non-Deliverable, with the effect that any Reference Currency amounts payable hereunder on a Payment Date shall be converted into Settlement Currency amounts by reference to the
Settlement Rate Option on each Valuation Date. The obligations of the parties to pay the Fixed Amounts or the Floating Amounts, as the case may be, shall be replaced by an obligation of one party to pay the Settlement Amount in accordance with the
provisions of this Confirmation. The Settlement Amount shall be determined on the Valuation Date by the Calculation Agent as follows:
		
		  	

		
		  	 If the Settlement Amount is a positive number, the Floating Rate Payer shall pay the Settlement Amount to the Fixed Rate Payer on the
respective Payment Date.
  
 If the Settlement Amount is a negative number,
the Fixed Rate Payer shall pay the absolute value of the Settlement Amount to the Floating Rate Payer on the respective Payment Date.

		
	    Reference Currency:	  	BRL
		
	    Settlement Currency:	  	USD
		
	    Settlement Rate Option:	  	BRL PTAX (BRL09)

  
 4 

			
	 Valuation Date:
	  	Two Business Days prior to each Fixed Rate Payment Date (each a “Scheduled Valuation Date”), subject to adjustment in accordance with the Preceding Business Day
Convention; provided, however, that the adjustment shall be made in accordance with the Following Business Day Convention in the event of an Unscheduled Holiday. Notwithstanding the foregoing, if the parties have specified a Scheduled Valuation Date
that falls on a date that, as at the Trade Date, is not a scheduled Business Day in New York, no adjustment shall be made on account of the fact that such date is not a Business Day in New York.
		
	 Disruption Events and Fallbacks:
	  	
		
	 Disruption Events:
	  	
		
	 Price Source Disruption:
	  	Applicable
		
	 Price Materiality:
	  	Applicable
		
	 Primary Rate:
	  	BRL PTAX (BRL09)
		
	 Secondary Rate:
	  	EMTA BRL Industry Survey Rate (BRL12), or EMTA BRL Indicative Survey Rate (BRL13), as the case may be.
		
	 Price Materiality Percentage:
	  	3%, provided, however, that if there are insufficient responses on the Valuation Date to the EMTA BRL Industry Survey or the EMTA BRL Indicative Survey, as the case may be, the
Price Materiality Percentage will also be deemed to have been met.
		
	 Disruption Fallbacks:
	  	
		
	 First Fallback Reference Price:
	  	EMTA BRL Industry Survey Rate (BRL12)
		
	 Valuation Postponement
	  	
		
	 Second Fallback Reference Price:
	  	EMTA BRL Indicative Survey Rate (BRL13)
		
	 Calculation Agent Determination of Settlement Rate
	  	
		
	Other Terms:	  	
		
	Unscheduled Holiday:	  	“Unscheduled Holiday” means that a day is not a Business Day and the market was not aware of such fact (by means of a public announcement or by reference to other
publicly available information) until a time later than 9:00 am local time in the Principal Financial Center(s) of the Reference Currency two Business Days prior to the Scheduled Valuation Date.
		
	Deferral Period for Unscheduled Holiday:	  	In the event the Scheduled Valuation Date becomes subject to the Following Business Day Convention, and if the Valuation Date has not occurred on or before the 30th consecutive
day after the Scheduled Valuation Date (any such period being a “Deferral Period”), then the next day after the Deferral Period that would have been a Business Day but for the Unscheduled Holiday, shall he deemed to be the Valuation
Date.

  
 5 

			
	Valuation Postponement for Price Source Disruption:	 	“Valuation Postponement” means, for purposes of obtaining a Settlement Rate, that the Spot Rate will be determined on the Business Day first succeeding the day on which
the Price Source Disruption ceases to exist, unless the Price Source Disruption continues to exist (measured from the date, that, but for the occurrence of the Price Source Disruption, would have been the Valuation Date) for a consecutive number of
calendar days equal to the Maximum Days of Postponement. In such event, the Spot Rate will he determined on the next Business Day after the Maximum Days of Postponement in accordance with the next applicable Disruption Fallback.
		
	Cumulative Events:	 	Notwithstanding anything herein to the contrary, in no event shall the total number of consecutive calendar days during which either (i) valuation is deterred due to an
Unscheduled Holiday, or (ii) a Valuation Postponement shall occur (or any combination of (i) and (ii)), exceed 30 consecutive calendar days in the aggregate. Accordingly, (x) if, upon the lapse of any such 30 day period, an Unscheduled Holiday shall
have occurred or be continuing on the day following such period, then such days shall he deemed to be a Valuation Date, and (y) if, upon the lapse of any such 30 day period, a Price Source Disruption shall have occurred or be continuing on the day
following such period, then Valuation Postponement shall not apply and the Spot Rate shall be determined in accordance with the next Disruption Fallback.
		
	Maximum Days of Postponement:	 	Thirty (30) calendar days
		
	Business Days Applicable to the Valuation Date (as defined in the FX Definitions):	 	Any of Rio de Janeiro, São Paulo or Brasilia and New York City
		
	Business Days Applicable to the Floating Amounts & Fixed Amounts (as defined in the 2006 Definitions):	 	Rio de Janeiro, Sao Paulo or Brasilia
		
	Business Days applicable to the Payment Date (as defined in the 2006 Definitions):	 	Any of Rio de Janeiro, São Paulo or Brasilia, and New York City, provided however, that in the event of an Unscheduled Holiday following the Trade Date, then New York
only.
		
	Calculation Agent:	 	Party A

 3. Offices: 

 

			
	 a)      The Office of Party A for the Transaction is:
	 	New York
		
	 b)      The Office of Party B for the Transaction is:
	 	Please advise

 4. Each party will be deemed to represent to
the other party that (absent a written agreement between the parties that expressly imposes affirmative obligations to the contrary for this Transaction): 
  

	a)	 Non-Reliance. It is acting for its own account, and has made its own independent decisions to enter into this Transaction and as to whether this
Transaction is appropriate or proper for it based upon its own judgment and upon advice from such advisers as it has deemed necessary. It is not relying on any communication (written or oral) of the other party as investment advice or as a
recommendation to enter into this Transaction; it being understood that information and explanations related to the terms and conditions or this Transaction shall not be considered investment advice or a recommendation to enter into

  
 6 

	 	 
this Transaction. No communication (written or oral) received from the other party shall be deemed to be an assurance or guarantee as to the expected results of this Transaction.

  

	b)	Assessment and Understanding. It is capable of assessing the merits of and understanding (on its own behalf or through independent professional advice), and understands
and accepts, the terms, conditions and risks of this Transaction. It is also capable of assuming, and assumes, the risks of this Transaction. 

  

	c)	Status of Parties. The other party is not acting as a fiduciary for or an advisor to it in respect of this Transaction. 

5. Account Details 
  

					
	Payments to Party A:	 	To be provided
	Payments to Party B:	 	Please Provide
	Documentation Contacts:	 	Interbank Clients:
		 	Hotline:	 	+1 410-534-1593
		 	Facsimile:	 	+1 212-404-4762
		 	Email:	 	
		 	Derivative.Confirms.Americas@morganstanley.com
	Operations Contact:	 	Telephone:	 	212 761-4662
		 	Facsimile:	 	212 404-4726

 Please confirm that the foregoing correctly
sets forth the terms of our agreement MSCS Ref. YRZQC by executing this Confirmation and returning it to us. 
 Best regards, 

 

					
	 MORGAN STANLEY & CO. INTERNATIONAL PLC.

		
	By:	 	 /s/ Iwona Szmidt

		 	Name:	 	Iwona Szmidt
		 	Title:	 	Vice President

 Acknowledged and agreed as of the date
first written above: 
  

					
	ARCOS DORADOS B.V.
		
	By:	 	 /s/ Diego Pace

		 	Name:	 	Diego Pace
		 	Title:	 	Corporate Finance Manager

 MORGAN STANLEY & CO.
INTERNATIONAL PLC is authorised and regulated by the Financial Services Authority. 
 Our charges may comprise commission as notified to you
from rune to time and/or mark-up or mark-down. We may share charges with our Associated Firms or other third parties or receive remuneration from them in respect of transactions carried our with or for you or we may be acting on both sides of the
transaction. We or our Associate may pass on part of our or their charges to a third party as a reward for introducing your business to us or them. Details of any such arrangements will be made available to you upon written request. Time of
execution is available on request. 

  
 7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00187-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00187-of-00352.parquet"}]]