Document:

Loan and Security Agreement

 Exhibit 10.18 
 LOAN AND SECURITY AGREEMENT 
 THIS LOAN AND SECURITY AGREEMENT (this
“Agreement”) dated as of July 18, 2008 (the “Effective Date”) between SILICON VALLEY BANK, a California corporation and with a loan production office located at One Newton Executive Park,
Suite 200, 2221 Washington Street, Newton, Massachusetts 02462 (“Bank”), and DEMANDWARE, INC., a Delaware corporation (“Borrower”), provides the terms on which Bank shall lend to Borrower and
Borrower shall repay Bank. The parties agree as follows: 
  

	 	1	ACCOUNTING AND OTHER TERMS 

 Accounting terms not defined in this Agreement shall be construed following GAAP. Calculations and determinations must be made following GAAP. Capitalized terms not otherwise defined in this Agreement
shall have the meanings set forth in Section 13. All other terms contained in this Agreement, unless otherwise indicated, shall have the meaning provided by the Code to the extent such terms are defined therein. 

 

	 	2	LOAN AND TERMS OF PAYMENT 

 2.1 Promise to Pay. Borrower hereby unconditionally promises to pay Bank the outstanding principal amount of all Credit Extensions and accrued and unpaid interest thereon as and when due in
accordance with this Agreement. 
 2.1.1 Revolving Advances. 

(a) Availability. Subject to the terms and conditions of this Agreement, Bank shall make Advances not exceeding the
Availability Amount. Amounts borrowed under the Revolving Line may be repaid and, prior to the Revolving Line Maturity Date, reborrowed, subject to the applicable terms and conditions precedent herein. 

(b) Termination; Repayment. The Revolving Line terminates on the Revolving Line Maturity Date, when the principal
amount of all Advances, the unpaid interest thereon, and all other Obligations relating to the Revolving Line shall be immediately due and payable. 
 2.1.2 Letters of Credit Sublimit. 
 (a) As part of the
Revolving Line, Bank shall issue or have issued Letters of Credit for Borrower’s account. The aggregate undrawn amounts of the Letters of Credit issued and outstanding hereunder shall at all times reduce the amount otherwise available for
Advances under the Revolving Line. The face amount of outstanding Letters of Credit (including drawn but unreirmbursed Letters of Credit and any Letter of Credit Reserve) may not exceed $3,000,000, inclusive of Credit Extensions relating to Sections
2.1.3 and 2.1.4 The aggregate amount available to be used for the issuance of Letters of Credit may not exceed the Availability Amount. If, on the Revolving Line Maturity Date, there are any outstanding Letters of Credit, then on such date Borrower
shall provide to Bank cash collateral in an amount equal to 105% of the face amount of all such Letters of Credit plus all interest, fees, and costs due or to become due in connection therewith (as estimated by Bank in its good faith business
judgment), to secure all of the Obligations relating to said Letters of Credit. All Letters of Credit shall be in form and substance acceptable to Bank in its sole discretion and shall be subject to the terms and conditions of Bank’s standard
Application and Letter of Credit Agreement (the “Letter of Credit Application”). Borrower agrees to execute any further documentation in connection with the Letters of Credit as Bank may reasonably request. Borrower further agrees
to be bound by the regulations and interpretations of the issuer of any Letters of Credit guarantied by Bank and opened for Borrower’s account or by Bank’s interpretations of any Letter of Credit issued by Bank for Borrower’s account,
and Borrower understands and agrees that Bank shall not be liable for any error, negligence, or mistake, whether of omission or commission, in following Borrower’s instructions or those contained in the Letters of Credit or any modifications,
amendments, or supplements thereto except Bank’s gross negligence or willful misconduct. 

 (b) The obligation of Borrower to immediately reimburse Bank for drawings
made under Letters of Credit shall be absolute, unconditional, and irrevocable, and shall be performed strictly in accordance with the terms of this Agreement, such Letters of Credit, and the Letter of Credit Application. 

(c) Borrower may request that Bank issue a Letter of Credit payable in a Foreign Currency. If a demand for payment is made
under any such Letter of Credit, Bank shall treat such demand as an Advance to Borrower of the equivalent of the amount thereof (plus fees and charges in connection therewith such as wire, cable, SWIFT or similar charges) in Dollars at the
then-prevailing rate of exchange in San Francisco, California, for sales of the Foreign Currency for transfer to the country issuing such Foreign Currency. 
 (d) To guard against fluctuations in currency exchange rates, upon the issuance of any Letter of Credit payable in a Foreign Currency, Bank shall create a reserve (the “Letter of Credit
Reserve”) under the Revolving Line in an amount equal to ten percent (10%) of the face amount of such Letter of Credit. The amount of the Letter of Credit Reserve may be adjusted by Bank from time to time to account for
fluctuations in the exchange rate. The availability of funds under the Revolving Line shall be reduced by the amount of such Letter of Credit Reserve for as long as such Letter of Credit remains outstanding. 

2.1.3 Foreign Exchange Sublimit. As part of the Revolving Line, Borrower may enter into foreign exchange contracts with
Bank under which Borrower commits to purchase from or sell to Bank a specific amount of Foreign Currency (each, a “FX Forward Contract”) on a specified date (the “Settlement Date”). FX Forward Contracts shall
have a Settlement Date of at least one (1) FX Business Day after the contract date and shall be subject to a reserve of ten percent (10%) of each outstanding FX Forward Contract (such maximum shall be the “FX
Reserve”). The aggregate amount of FX Forward Contracts at any one time may not exceed ten (10) times the amount of the FX Reserve. The amount otherwise available for Credit Extensions under the Revolving Line shall be reduced
by an amount equal to ten percent (10%) of each outstanding FX Forward Contract (the “FX Reduction Amount”). Any amounts needed to fully reimburse Bank will be treated as Advances under the Revolving Line and will accrue
interest at the interest rate applicable to Advances. 
 2.1.4 Cash Management Services Sublimit. Borrower may use
up to $3,000,000, inclusive of Credit Extensions relating to Sections 2.1.2 and 2.1.3, of the Revolving Line for Bank’s cash management services which may include merchant services, direct deposit of payroll, business credit card, and check
cashing services identified in Bank’s various cash management services agreements (collectively, the “Cash Management Services”). Any amounts Bank pays on behalf of Borrower for any Cash Management Services will
be treated as Advances under the Revolving Line and will accrue interest at the interest rate applicable to Advances. 

2.2 Overadvances. If, at any time the sum of (a) the outstanding principal amount of any Advances (including any
amounts used for Cash Management Services), plus (b) the face amount of any outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit and any Letter of Credit Reserve), plus (c) the FX Reduction Amount exceeds the
lesser of either the (i) Revolving Line or (ii) the aggregate of (A) Borrowing Base, plus (B) One Million Two Hundred Fifty Thousand Dollars ($1,250,000), Borrower shall immediately pay to Bank in cash such excess. 

2.3 Payment of Interest on the Credit Extensions. 

(a) Interest Rate. Subject to Section 2.3(b), the principal amount outstanding under the Revolving Line shall
accrue interest at a floating per annum rate equal to the greater of: (i) seven percent (7.0%), and (ii) one and one-quarter of one percentage point (1.25%) above the Prime Rate, which interest shall be payable monthly in accordance
with Section 2.3(f) below. 
 (b) Default Rate. Immediately upon the occurrence and during the
continuance of an Event of Default. Obligations shall bear interest at a rate per annum which is four (4%) percentage points above the rate that is otherwise applicable thereto (the “Default Rate”). Payment or acceptance of the
increased interest rate provided in this Section 2.3(b) is not a permitted alternative to timely payment and shall not constitute a waiver of any Event of Default or otherwise prejudice or limit any rights or remedies of Bank. 

(c) Adjustment to Interest Rate. Changes to the interest rate of any Credit Extension based on changes to the Prime
Rate shall be effective on the effective date of any change to the Prime Rate and to the extent of any such change. 

  
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 (d) 360-Day Year. Interest shall be computed on the basis of a
360-day year for the actual number of days elapsed. 
 (e) Debit of Accounts. Bank may debit any of
Borrower’s deposit accounts, including the Designated Deposit Account, for principal and interest payments or any other amounts Borrower owes Bank when due. These debits shall not constitute a set-off. 

(f) Payments. Unless otherwise provided, interest is payable monthly on the Payment Date of each month. Payments of
principal and/or interest received after 3:00 p.m. Eastern time are considered received at the opening of business on the next Business Day. When a payment is due on a day that is not a Business Day, the payment is due the next Business Day and
additional fees or interest, as applicable, shall continue to accrue. 
 2.4 Fees. Borrower shall pay to Bank:

 (a) Commitment Fee. A fully earned, non-refundable commitment fee of Thirty Thousand Dollars ($30,000),
on the Effective Date; 
 (b) Letter of Credit Fee. Bank’s customary fees and expenses for the
issuance or renewal of Letters of Credit, upon the issuance, each anniversary of the issuance, and the renewal of such Letter of Credit by Bank; 
 (c) Unused Revolving Line Facility Fee. A fee (the “Unused Revolving Line Facility Fee”), payable quarterly, in arrears, on a calendar year basis, in an amount equal to
0.25% per annum of the average unused portion of the Revolving Line, as reasonably calculated by Bank. The unused portion of the Revolving Line, for the purposes of this calculation, shall include amounts reserved under the Cash Management
Services Sublimit for products provided and under the Foreign Exchange Sublimit for FX Forward Contracts. Borrower shall not be entitled to any credit, rebate or repayment of any Unused Revolving Line Facility Fee previously earned by Bank pursuant
to this Section notwithstanding any termination of the Agreement or the suspension or termination of Bank’s obligation to make loans and advances hereunder; and 

(d) Bank Expenses. All Bank Expenses incurred through and after the Effective Date, when due. 

 

	 	3	CONDITIONS OF LOANS 

 3.1 Conditions Precedent to Initial Credit Extension. Bank’s obligation to make the initial Credit Extension is subject to the condition precedent that Borrower shall consent to or shall have
delivered, in form and substance satisfactory to Bank, such documents, and completion of such other matters, as Bank may reasonably deem necessary or appropriate, including, without limitation: 

(a) duly executed original signatures to the Loan Documents to which it is a party; 

(b) duly executed original signatures to the Control Agreement[s]; 

(c) its Operating Documents and a good standing certificate of Borrower certified by the Secretary of State of the State
of Delaware as of a date no earlier than thirty (30) days prior to the Effective Date; 
 (d) duly executed
original signatures to the completed Borrowing Resolutions for Borrower; 
 (e) certified copies, dated as of a
recent date, of financing statement searches, as Bank shall request, accompanied by written evidence (including any UCC termination statements) that the Liens indicated in any such financing statements either constitute Permitted Liens or have been
or, in connection with the initial Credit Extension, will be terminated or released; 
 (f) the Perfection
Certificate executed by Borrower and Guarantor; 
 (g) duly executed guaranty and security agreement by
Guarantor; 

  
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 (h) a legal opinion of Borrower’s counsel dated as of the Effective
Date together with the duly executed original signatures thereto; 
 (i) a copy of its Registration Rights
Agreement/Investors’ Rights Agreement and any amendments thereto; 
 (j) evidence satisfactory to Bank that
the insurance policies required by Section 6.5 hereof are in full force and effect, together with appropriate evidence showing lender loss payable and/or additional insured clauses or endorsements in favor of Bank; 

(k) payment of the fees and Bank Expenses then due as specified in Section 2.4 hereof; and 

(l) duly executed Warrant. 
 3.2 Conditions Precedent to all Credit Extensions. Bank’s obligations to make each Credit Extension, including the initial Credit Extension, is subject to the following: 

(a) except as otherwise provided in Section 3.4, timely receipt of an executed Payment/Advance Form; 

(b) the representations and warranties in Section 5 shall be true in all material respects on the date of the
Payment/Advance Form and on the Funding Date of each Credit Extension: provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text
thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date, and no Event of Default shall have occurred and be
continuing or result from the Credit Extension. Each Credit Extension is Borrower’s representation and warranty on that date that the representations and warranties in Section 5 remain true in all material respects: provided, however, that
such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof: and provided, further that those representations and warranties expressly referring
to a specific date shall be true, accurate and complete in all material respects as of such date; and 
 (c) in
Bank’s reasonable discretion, there has not been a Material Adverse Change or there has not been any material adverse deviation by Borrower from the most recent business plan of Borrower presented to and accepted by Bank. 

3.3 Covenant to Deliver. Borrower agrees to deliver to Bank each item required to be delivered to Bank under this Agreement as a
condition to any Credit Extension. Borrower expressly agrees that a Credit Extension made prior to the receipt by Bank of any such item shall not constitute a waiver by Bank of Borrower’s obligation to deliver such item, and any such Credit
Extension in the absence of a required item shall be made in Bank’s sole discretion. 
 3.4 Procedures for
Borrowing. Subject to the prior satisfaction of all other applicable conditions to the making of an Advance set forth in this Agreement, to obtain an Advance (other than Advances under Sections 2.1.2 or 2.1.4), Borrower shall notify Bank (which
notice shall be irrevocable) by electronic mail, facsimile, or telephone by 3:00 P.M. Eastern time on the Funding Date of the Advance. Together with any such electronic or facsimile notification, Borrower shall deliver to Bank by electronic mail or
facsimile a completed Payment/Advance Form executed by a Responsible Officer or his or her designee. Bank may rely on any telephone notice given by a person whom Bank reasonably believes is a Responsible Officer or designee. Bank shall credit
Advances to the Designated Deposit Account. Bank may make Advances under this Agreement based on instructions from a Responsible Officer or his or her designee or without instructions if the Advances are necessary to meet Obligations which have
become due. 
 4 CREATION OF SECURITY INTEREST 

4.1 Grant of Security Interest. Borrower hereby grants Bank, to secure the payment and performance in full of all of the
Obligations, a continuing security interest in, and pledges to Bank, the Collateral wherever located, whether now owned or hereafter acquired or arising, and all proceeds and products thereof. Borrower represents, warrants, and covenants that the
security interest granted herein is and shall at all times 

  
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continue to be a first priority perfected security interest in the Collateral (subject only to Permitted Liens that may have superior priority to Bank’s Lien under this Agreement). If
Borrower shall acquire a commercial tort claim. in excess of $100,000, in the aggregate, Borrower shall promptly notify Bank in a writing signed by Borrower of the general details thereof and grant to Bank in such writing a security interest therein
and in the proceeds thereof, all upon the terms of this Agreement, with such writing to be in form and substance reasonably satisfactory to Bank. 
 If this Agreement is terminated. Bank’s Lien in the Collateral shall continue until the Obligations (other than inchoate indemnity obligations) are repaid in full in cash. Upon payment in full in
cash of the Obligations and at such time as Bank’s obligation to make Credit Extensions has terminated, Bank shall, at Borrower’s sole cost and expense, release its Liens in the Collateral and all rights therein shall revert to Borrower.

 4.2 Authorization to File Financing Statements. Borrower hereby authorizes Bank to file financing statements, without
notice to Borrower, with all appropriate jurisdictions to perfect or protect Bank’s interest or rights hereunder, including a notice that any disposition of the Collateral, by either Borrower or any other Person, shall be deemed to violate the
rights of Bank under the Code. Such financing statements may indicate the Collateral as “all assets of the Debtor” or words of similar effect, or as being of an equal or lesser scope, or with greater detail, all in Bank’s discretion.

 5 REPRESENTATIONS AND WARRANTIES 

Borrower represents and warrants as follows: 
 5.1 Due Organization, Authorization; Power and Authority. Borrower and each of its Subsidiaries are duly existing and in good standing as Registered Organizations in their respective jurisdictions
of formation and are qualified and licensed to do business and are in good standing in any jurisdiction in which the conduct of their business or their ownership of property requires that they be qualified except where the failure to do so could not
reasonably be expected to have a material adverse effect on Borrower’s business. In connection with this Agreement, Borrower has delivered to Bank completed certificates each signed by Borrower and Guarantor respectively, entitled
“Perfection Certificate”. Borrower represents and warrants to Bank that (a) Borrower’s exact legal name is that indicated on the Perfection Certificate and on the signature page hereof; (b) Borrower is an organization of the
type and is organized in the jurisdiction set forth in the Perfection Certificate; (c) the Perfection Certificate accurately sets forth Borrower’s organizational identification number or accurately states that Borrower has none;
(d) the Perfection Certificate accurately sets forth, as of the Effective Date, Borrower’s place of business, or. if more than one. its chief executive office as well as Borrower’s mailing address (if different than its chief
executive office); (e) Borrower (and each of its predecessors) has not, in the past five (5) years, changed its jurisdiction of formation, organizational structure or type, or any organizational number assigned by its jurisdiction; and
(f) all other information set forth on the Perfection Certificate pertaining to Borrower and each of its Subsidiaries is accurate and complete in all material respects (it being understood and agreed that Borrower may from time to time update
certain information in the Perfection Certificate after the Effective Date to the extent permitted by one or more specific provisions in this Agreement). If Borrower is not now a Registered Organization but later becomes one. Borrower shall promptly
notify Bank of such occurrence and provide Bank with Borrower’s organizational identification number. 
 The execution,
delivery and performance by Borrower of the Loan Documents to which it is a party have been duly authorized, and do not (i) conflict with any of Borrower’s organizational documents, (ii) contravene, conflict with, constitute a default
under or violate any material Requirement of Law, (iii) contravene, conflict or violate any applicable order, writ, judgment, injunction, decree, determination or award of any Governmental Authority by which Borrower or any its Subsidiaries or
any of their property or assets may be bound or affected, which could reasonably be expected to have a material adverse effect on Borrower’s business, (iv) require any action by, filing, registration, or qualification with, or Governmental
Approval from, any Governmental Authority (except such Governmental Approvals which have already been obtained and are in full force and effect) or are being obtained pursuant to Section 6.1(b) or filings to perfect liens or (v) constitute
an event of default under any material agreement by which Borrower is bound. Borrower is not in default under any agreement to which it is a party or by which it is bound in which the default could reasonably be expected to have a material adverse
effect on Borrower’s business. 
 5.2 Collateral. Borrower has good title to. has rights in, and the power to
transfer each item of the Collateral upon which it purports to grant a Lien hereunder, free and clear of any and all Liens except Permitted Liens. Borrower has no deposit accounts other than the deposit accounts with Bank, the deposit accounts, if
any, 

  
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described in the Perfection Certificate delivered to Bank in connection herewith, or of which Borrower has given Bank notice and taken such actions as are necessary to give Bank a perfected
security interest therein. The Accounts are bona fide, existing obligations of the Account Debtors. 
 The Collateral is not in
the possession of any third party bailee (such as a warehouse) except as otherwise provided in the Perfection Certificate. None of the components of the Collateral shall be maintained at locations other than as provided in the Perfection Certificate
or as permitted pursuant to Section 7.2. In the event that Borrower, after the date hereof, intends to store or otherwise deliver any portion of the Collateral to a bailee, then Borrower will first receive the written consent of Bank and such
bailee must execute and deliver a bailee agreement in form and substance satisfactory to Bank in its sole discretion. All Inventory is in all material respects of good and marketable quality, free from material defects. 

Except as noted on the Perfection Certificate. Borrower is not a party to, nor is bound by, any material license or
other material agreement with respect to which Borrower is the licensee (a) that prohibits or otherwise restricts Borrower from granting a security interest in Borrower’s interest in such license or agreement or any other property, or
(b) for which a default under or termination of could interfere with the Bank’s right to sell any Collateral. Borrower shall provide written notice to Bank within thirty (30) days of entering or becoming bound by any such license or
agreement (other than over-the-counter software that is commercially available to the public). Borrower shall take such steps as Bank reasonably requests to obtain the consent of, or waiver by, any person whose consent or waiver is necessary for
(x) all such material licenses or material agreements to be deemed “Collateral” and for Bank to have a security interest in it that might otherwise be restricted or prohibited by law: or by the terms of any such material license or material agreement,
whether now existing or entered into in the future, and (y) Bank to have the ability in the event of a liquidation of any Collateral to dispose of such Collateral in accordance with Bank’s rights and remedies under this Agreement and the
other Loan Documents. 
 5.3 Accounts Receivable. For any Eligible Account in any Borrowing Base Certificate, all
statements made and all unpaid balances appearing in all invoices, instruments and other documents evidencing such Eligible Accounts are and shall be true and correct and all such invoices, instruments and other documents, and all of Borrower’s
Books are genuine and in all respects what they purport to be. All sales and other transactions underlying or giving rise to each Eligible Account shall comply in all material respects with all applicable laws and governmental rules and regulations.
Borrower has no knowledge of any actual or imminent Insolvency Proceeding of any Account Debtor whose accounts are Eligible Accounts in any Borrowing Base Certificate. To the best of Borrower’s knowledge, all signatures and endorsements on all
documents, instruments, and agreements relating to all Eligible Accounts are genuine, and all such documents, instruments and agreements are legally enforceable in accordance with their terms. 

5.4 Litigation. Except as set forth in the Perfection Certificate, there are no actions or proceedings pending or, to the
knowledge of the Responsible Officers, threatened in writing by or against Borrower or any of its Subsidiaries involving more than Two Hundred Thousand Dollars ($200,000). 
 5.5 No Material Deviation in Financial Statements. All consolidated financial statements for Borrower and any of its Subsidiaries delivered to Bank fairly present in all material respects
Borrower’s consolidated financial condition and Borrower’s consolidated results of operations. There has not been any material deterioration in Borrower’s consolidated financial condition since the date of the most recent financial
statements submitted to Bank. 
 5.6 Solvency. The fair salable value of Borrower’s assets (including goodwill minus
disposition costs) exceeds the fair value of its liabilities; Borrower is not left with unreasonably small capital after the transactions in this Agreement; and Borrower is able to pay its debts (including trade debts) as they mature. 

5.7 Regulatory Compliance. Borrower is not an “investment company” or a company “controlled” by an
“investment company” under the Investment Company Act of 1940, as amended. Borrower is not engaged as one of its important activities in extending credit for margin stock (under Regulations X, T and U of the Federal Reserve Board of
Governors). Borrower has complied in all material respects with the Federal Fair Labor Standards Act. Neither Borrower nor any of its Subsidiaries is a “holding company” or an “affiliate” of a “holding company” or a
“subsidiary company” of a “holding company” as each term is defined and used in the Public Utility Holding Company Act of 2005. Borrower has not violated any laws, ordinances or rules, the violation of which could reasonably be
expected to have a material adverse effect on its business. None of Borrower’s or any of its Subsidiaries’ properties or assets has been used by Borrower or any Subsidiary or, to the best of Borrower’s

  
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knowledge, by previous Persons, in disposing, producing, storing, treating, or transporting any hazardous substance other than legally or which could not reasonably be expected to have a material
adverse effect on Borrower’s business. Borrower and each of its Subsidiaries have obtained all consents, approvals and authorizations of, made all declarations or filings with, and given all notices to, all Government Authorities that are
necessary to continue their respective businesses as currently conducted. 
 5.8 Subsidiaries; Investments. Borrower does
not own any stock, partnership interest or other equity securities except for Permitted Investments and the following wholly-owned subsidiaries: (i) Demandware GmbH, (ii) Demandware UK Limited, and (iii) Demandware Securities Corp.

 5.9 Tax Returns and Payments; Pension Contributions. Borrower has timely filed all required tax returns and reports
(except such returns or reports related to taxes as may be due or owing in an amount less than $25,000 in the aggregate, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by
Borrower (except such returns or reports related to taxes as may be due or owing in an amount less than $25,000 in the aggregate). Borrower may defer payment of any contested taxes, provided that Borrower (a) in good faith contests its
obligation to pay the taxes by appropriate proceedings promptly and diligently instituted and conducted, (b) notifies Bank in writing of the commencement of, and any material development in, the proceedings, (c) posts bonds or takes any
other steps required to prevent the governmental authority levying such contested taxes from obtaining a Lien upon any of the Collateral that is other than a “Permitted Lien”. Borrower is unaware of any claims or adjustments proposed for
any of Borrower’s prior tax years which could result in additional taxes becoming due and payable by Borrower. Borrower has paid all amounts necessary to fund all present pension, profit sharing and deferred compensation plans in accordance
with their terms, and Borrower has not withdrawn from participation in, and has not permitted partial or complete termination of, or permitted the occurrence of any other event with respect to. any such plan which could reasonably be expected to
result in any liability of Borrower, including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency. 
 5.10 Use of Proceeds. Borrower shall use the proceeds of the Credit Extensions solely as working capital and to fund its general business requirements and not for personal, family, household or
agricultural purposes. 
 5.11 Full Disclosure. No written representation, warranty or other statement of Borrower in any
certificate or written statement given to Bank, as of the date such representation, warranty, or other statement was made, taken together with all such written certificates and written statements given to Bank, contains any untrue statement of a
material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements not misleading (it being recognized by Bank that the projections and forecasts provided by Borrower in good faith and based
upon reasonable assumptions are not viewed as facts and that actual results during the period or periods covered by such projections and forecasts may differ from the projected or forecasted results). 

6 AFFIRMATIVE COVENANTS 
 Borrower shall do all of the following:  
 6.1 Government
Compliance. 
 (a) Maintain its and all its Subsidiaries’ legal existence and good standing in their
respective jurisdictions of formation and maintain qualification in each jurisdiction in which the failure to so qualify would reasonably be expected to have a material adverse effect on Borrower’s business or operations. Borrower shall comply,
and have each Subsidiary comply, with all laws, ordinances and regulations to which it is subject, noncompliance with which could have a material adverse effect on Borrower’s business. 

(b) Obtain all of the Governmental Approvals necessary for the performance by Borrower of its obligations under the Loan
Documents to which it is a party and the grant of a security interest to Bank in the Collateral. Borrower shall promptly provide copies of any such obtained Governmental Approvals to Bank. 

6.2 Financial Statements, Reports, Certificates. 

(a) Deliver to Bank: (i) as soon as available, but no later than thirty (30) days after the last day of each
month, a company prepared consolidated balance sheet and income statement covering Borrower’s 

  
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consolidated operations for such month certified by a Responsible Officer and in a form acceptable to Bank; (ii) as soon as available, but no later than two hundred ten (210) days after
the last day of Borrower’s fiscal year, audited consolidated financial statements prepared under GAAP, consistently applied, together with an unqualified opinion on the financial statements from an independent certified public accounting firm
acceptable to Bank in its reasonable discretion; (iii) within Five (5) days of delivery, copies of all statements, reports and notices made available to Borrower’s security holders or to any holders of Subordinated Debt; (iv) in
the event that Borrower becomes subject to the reporting requirements under the Securities Exchange Act of 1934, as amended, within five (5) days of filing, all reports on Form 10-K. 10-Q and 8-K filed with the Securities and Exchange
Commission or a link thereto on Borrower’s or another website on the Internet; (v) a prompt report of any legal actions pending or threatened against Borrower or any of its Subsidiaries that could reasonably be expected to result in
damages or costs to Borrower or any of its Subsidiaries of One Hundred Thousand Dollars ($100,000) or more; (vi) annually, or more frequently as updated. Board-approved projections and any subsequent amendments thereto within ten (10) days
of Board approval; and (vii) other financial information reasonably requested by Bank. 
 (b) Within thirty
(30) days after the last day of each month in which Credit Extensions in an amount greater than $1,250,000 were outstanding, deliver to Bank a duly completed Borrowing Base Certificate signed by a Responsible Officer, with aged listings of
accounts receivable (by invoice date). 
 (c) Within thirty (30) days after the last day of each month,
deliver to Bank with the monthly financial statements, a duly completed Compliance Certificate signed by a Responsible Officer setting forth calculations showing compliance with the financial covenants set forth in this Agreement. 

(d) Allow Bank to audit Borrower’s Collateral at Borrower’s expense; provided that such audits shall be
conducted no more often than once every twelve (12) months unless an Event of Default has occurred and is continuing. 
 6.3
Inventory; Returns. Keep all Inventory in good and marketable condition, free from material defects. Returns and allowances between Borrower and its Account Debtors shall follow Borrower’s customary practices as they exist at the Effective
Date. Borrower must promptly notify Bank of all returns, recoveries, disputes and claims that involve more than One Hundred Thousand Dollars ($100,000). 
 6.4 Taxes; Pensions. Timely file, and require each of its Subsidiaries to timely file, all required tax returns and reports and timely pay. and require each of its Subsidiaries to timely file, all
foreign, federal, stare and local taxes, assessments, deposits and contributions owed by Borrower and each of its Subsidiaries, except for deferred payment of any taxes contested pursuant to the terms of Section 5.9 hereof, and shall deliver to
Bank, on demand, appropriate certificates attesting to such payments, and pay all amounts necessary to fund all present pension, profit sharing and deferred compensation plans in accordance with their terms. 

6.5 Insurance. Keep its business and the Collateral insured for risks and in amounts standard for companies in Borrower’s
industry and location and as Bank may reasonably request. Insurance policies shall be in a form, with companies, and in amounts that are reasonably satisfactory to Bank. All property policies shall have a loss payable endorsement showing Bank as an
additional loss payee and waive subrogation against Bank, and all liability policies shall show, or have endorsements showing, Bank as an additional insured. All policies (or the loss payable and additional insured endorsements) shall provide that
the insurer must give Bank at least twenty (20) days notice before canceling, amending, or declining to renew its policy. At Bank’s request, Borrower shall deliver certified copies of policies and evidence of all premium payments. Proceeds
payable under any policy shall, at Bank’s option, be payable to Bank on account of the Obligations. Notwithstanding the foregoing, (a) so long as no Event of Default has occurred and is continuing. Borrower shall have the option of
applying the proceeds of any casualty policy up to Fifty Thousand Dollars ($50,000) with respect to any loss, but not exceeding One Hundred Thousand Dollars ($100,000) in the aggregate for all losses under all casualty policies in any one year,
toward the replacement or repair of destroyed or damaged property; provided that any such replaced or repaired property (i) shall be of equal or like value as the replaced or repaired Collateral and (ii) shall be deemed Collateral in which
Bank has been granted a first priority security interest, and (b) after the occurrence and during the continuance of an Event of Default, all proceeds payable under such casualty policy shall, at the option of Bank, be payable to Bank on
account of the Obligations. If Borrower fails to obtain insurance as required under this Section 6.5 or to pay any amount or furnish any required proof of payment to third persons and Bank. Bank may make all or part of such payment or obtain
such insurance policies required in this Section 6.5. and take any action under the policies Bank deems prudent. 

  
 -8-

 6.6 Operating Accounts. 

(a) Maintain all of its and all of its U.S. Subsidiaries’ operating and other deposit accounts and securities
accounts with Bank and Bank’s Affiliates. Guarantor shall maintain all depository, operating and securities accounts with Bank, or Bank’s Affiliates. 
 (b) Provide Bank five (5) days prior written notice before establishing any Collateral Account at or with any bank or financial institution other than Bank or Bank’s Affiliates. For each
Collateral Account that Borrower at any time maintains. Borrower shall cause the applicable bank or financial institution (other than Bank) at or with which any Collateral Account is maintained to execute and deliver a Control Agreement or other
appropriate instrument with respect to such Collateral Account to perfect Bank’s Lien in such Collateral Account in accordance with the terms hereunder, which Control Agreement may not be terminated without the prior written consent of the
Bank. The provisions of the previous sentence shall not apply to deposit accounts exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Bank by
Borrower as such. 
 6.7 Financial Covenants. 

Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 

(a) Quick Ratio. Commencing as of the month ending [May 31], 2008, as of the last day of each month thereafter, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.50 to 1.0 (with the exception of the months ending September 30, 2008, October 31, 2008, and November 30, 2008, which shall be at least 1.20 to
1.0). 
 6.8 Protection of Intellectual Property Rights. Borrower shall, to the extent commercially
reasonable: (a) protect, defend and maintain the validity and enforceability of its intellectual property; (b) promptly advise Bank in writing of material infringements of its intellectual property; and (c) not allow any intellectual
property material to Borrower’s business to be abandoned, forfeited or dedicated to the public without Bank’s written consent. 
 6.9 Litigation Cooperation. From the date hereof and continuing through the termination of this Agreement, make available to Bank, without expense to Bank, Borrower and its officers, employees and
agents and Borrower’s books and records, to the extent that Bank may deem them reasonably necessary to prosecute or defend any third-party (not including Borrower or an Affiliate of Borrower) suit or proceeding instituted by or against Bank
with respect to any Collateral or relating to Borrower. 
 6.10 Further Assurances. Execute any further instruments and
take further action as Bank reasonably requests to perfect or continue Bank’s Lien in the Collateral or to effect the purposes of this Agreement. Deliver to Bank, within five (5) days after the same are sent or received, copies of all
correspondence, reports, documents and other filings with any Governmental Authority regarding compliance with or maintenance of Governmental Approvals or Requirements of Law or that could reasonably be expected to have a material effect on any of
the Governmental Approvals or otherwise on the operations of Borrower or any of its Subsidiaries. 
 7 NEGATIVE
COVENANTS 
 Borrower shall not do any of the following without Bank’s prior written consent: 

7.1 Dispositions. Convey, sell, lease, transfer or otherwise dispose of (collectively, “Transfer”), or permit any
of its Subsidiaries to Transfer, all or any part of its business or property, except for Transfers (a) of Inventory in the ordinary course of business; (b) of worn-out or obsolete Equipment: (c) in connection with Permitted Liens and
Permitted Investments; and (d) of non-exclusive licenses for the use of the property of Borrower or its Subsidiaries in the ordinary course of business. 

  
 -9-

 7.2 Changes in Business, Management, Ownership, or Business Locations.
(a) Engage in or permit any of its Subsidiaries to engage in any business other than the businesses currently engaged in by Borrower and such Subsidiary, as applicable, or reasonably related thereto; (b) liquidate or dissolve; or
(c) (i) have a change in senior management such that any one (1) out of the three (3) Key Persons resigns, is terminated, or is not longer actively involved in the management of the Borrower in his current position and a
replacement reasonably satisfactory to Bank for such Key Person is not made, within ninety (90) days after departure from Borrower; or (iii) enter into any transaction or series of related transactions in which the stockholders of Borrower
who were not stockholders immediately prior to the first such transaction own more than 49% of the voting stock of Borrower immediately after giving effect to such transaction or related series of such transactions (other than by the sale of
Borrower’s equity securities in a public offering or to venture capital investors so long as Borrower identifies to Bank the venture capital investors prior to the closing of the transaction). Borrower shall not, without at least thirty
(30) days prior written notice to Bank: (1) add any new offices or business locations, including warehouses (unless such new offices or business locations contain less than Ten Thousand Dollars ($10,000) in Borrower’s assets or
property), (2) change its jurisdiction of organization, (3) change its organizational structure or type, (4) change its legal name, or (5) change any organizational number (if any) assigned by its jurisdiction of organization.

 7.3 Mergers or Acquisitions. Merge or consolidate, or permit any of its Subsidiaries to merge or consolidate, with any
other Person, or acquire, or permit any of its Subsidiaries to acquire, all or substantially all of the capital stock or property of another Person. A Subsidiary may merge or consolidate into another Subsidiary or into Borrower. 

7.4 Indebtedness. Create, incur, assume, or be liable for any Indebtedness, or permit any Subsidiary to do so, other than
Permitted Indebtedness. 
 7.5 Encumbrance. Create, incur, allow, or suffer any Lien on any of its property, or assign or
convey any right to receive income, including the sale of any Accounts, or permit any of its Subsidiaries to do so, except for Permitted Liens, permit any Collateral not to be subject to the first priority security interest granted herein (subject
to Permitted Liens which are permitted to have priority over the Bank’s security interest herein), or enter into any agreement, document, instrument or other arrangement (except with or in favor of Bank) with any Person which directly or
indirectly prohibits or has the effect of prohibiting Borrower or any Subsidiary from assigning, mortgaging, pledging, granting a security interest in or upon, or encumbering any of Borrower’s or any Subsidiary’s intellectual property,
except as is otherwise permitted in Section 7.1 hereof and the definition of “Permitted Lien” herein. 
 7.6
Maintenance of Collateral Accounts. Maintain any Collateral Account except pursuant to the terms of Section 6.6.(b) hereof. 
 7.7 Distributions; Investments. (a) Pay any dividends or make any distribution or payment or redeem, retire or purchase any capital stock provided that (i) Borrower may convert any of its
convertible securities into other securities pursuant to the terms of such convertible securities or otherwise in exchange thereof, (ii) Borrower may pay dividends solely in common stock; and (iii) Borrower may repurchase the stock of
former employees or consultants pursuant to stock repurchase agreements so long as an Event of Default does not exist at the time of such repurchase and would not exist after giving effect to such repurchase, provided such repurchase does not exceed
in the aggregate of Fifty Thousand Dollars ($50,000) per fiscal year; or (b) directly or indirectly make any Investment other than Permitted Investments, or permit any of its Subsidiaries to do so. 

7.8 Transactions with Affiliates. Directly or indirectly enter into or permit to exist any material transaction with any Affiliate
of Borrower, except for transactions that are in the ordinary course of Borrower’s business, upon fair and reasonable terms that are no less favorable to Borrower than would be obtained in an arm’s length transaction with a non-affiliated
Person. 
 7.9 Subordinated Debt. (a) Make or permit any payment on any Subordinated Debt, except under the terms of
the subordination, intercreditor, or other similar agreement to which such Subordinated Debt is subject, or (b) amend any provision in any document relating to the Subordinated Debt which would increase the amount thereof or adversely affect
the subordination thereof to Obligations owed to Bank. 
 7.10 Compliance. Become an “investment company” or a
company controlled by an “investment company”, under the Investment Company Act of 1940, as amended, or undertake as one of its important activities extending credit to purchase or carry margin stock (as defined in Regulation U of the
Board of Governors of the 

  
 -10-

 
Federal Reserve System), or use the proceeds of any Credit Extension for that purpose; fail to meet the minimum funding requirements of ERISA, permit a Reportable Event or Prohibited Transaction,
as defined in ERISA, to occur; fail to comply with the Federal Fair Labor Standards Act or violate any other law or regulation, if the violation could reasonably be expected to have a material adverse effect on Borrower’s business, or permit
any of its Subsidiaries to do so; withdraw or permit any Subsidiary to withdraw from participation in, permit partial or complete termination of or permit the occurrence of any other event with respect to, any present pension, profit sharing and
deferred compensation plan which could reasonably be expected to result in any liability of Borrower, including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency. 

8 EVENTS OF DEFAULT 
 Any one of the following shall constitute an event of default (an “Event of Default”) under this Agreement: 
 8.1 Payment Default. Borrower fails to (a) make any payment of principal or interest on any Credit Extension on its due date, or (b) pay any other Obligations within three
(3) Business Days after such Obligations are due and payable (which three (3) Business Day grace period shall not apply to payments due on the Maturity Date). During the cure period, the failure to cure the payment default is not an Event
of Default (but no Credit Extension will be made during the cure period); 
 8.2 Covenant Default. 

(a) Borrower fails or neglects to perform any obligation in Sections 6.2, 6.4, 6.5, 6.6, 6.7, or violates any covenant in
Section 7; or 
 (b) Borrower fails or neglects to perform, keep, or observe any other term, provision,
condition, covenant or agreement contained in this Agreement or any Loan Documents, and as to any default (other than those specified in this Section 8) under such other term, provision, condition, covenant or agreement that can be cured, has
failed to cure the default within ten (10) days after the occurrence thereof: provided, however, that if the default cannot by its nature be cured within the ten (10) day period or cannot after diligent attempts by Borrower be cured within
such ten (10) day period, and such default is likely to be cured within a reasonable time, then Borrower shall have an additional period (which shall not in any case exceed thirty (30) days) to attempt to cure such default, and within such
reasonable time period the failure to cure the default shall not be deemed an Event of Default (but no Credit Extensions shall be made during such cure period). Grace periods provided under this section shall not apply, among other things, to
financial covenants or any other covenants set forth in subsection (a) above: 
 8.3 Material Adverse Change. A
Material Adverse Change occurs; 
 8.4 Attachment; Levy; Restraint on Business. 

(a) (i) The service of process seeking to attach, by trustee or similar process, any funds in excess of
$100,000 in the aggregate of Borrower or of any entity under control of Borrower (including a Subsidiary) on deposit with Bank or any Bank Affiliate, or (ii) a notice of lien, levy, or assessment is filed against any of Borrower’s assets
by any government agency, and the same under subclauses (i) and (ii) hereof are not, within ten (10) days after the occurrence thereof, discharged or stayed (whether through the posting of a bond or otherwise); provided, however, no
Credit Extensions shall be made during any ten (10) day cure period: and 
 (b) (i) any material portion of
Borrower’s assets is attached, seized, levied on, or comes into possession of a trustee or receiver, or (ii) any court order enjoins, restrains, or prevents Borrower from conducting any part of its business; 

8.5 Insolvency (a) Borrower is unable to pay its debts (including trade debts) as they become due or otherwise becomes
insolvent; (b) Borrower begins an Insolvency Proceeding; or (c) an Insolvency Proceeding is begun against Borrower and not dismissed or stayed within thirty (30) days (but no Credit Extensions shall be made while of any of the
conditions described in clause (a) exist and/or until any Insolvency Proceeding is dismissed); 
 8.6 Other
Agreements. There is a default in any agreement to which Borrower is a party with a third party or parties resulting in a right by such third party or parties, whether or not exercised, to accelerate the maturity

  
 -11-

 
of any Indebtedness in an amount in excess of One Hundred Thousand Dollars ($100,000) or that could have a material adverse effect on Borrower’s business; 

8.7 Judgments. One or more judgments, orders, or decrees for the payment of money in an amount, individually or in the aggregate,
of at least One Hundred Thousand Dollars ($100,000) (not covered by independent third-party insurance as to which liability has been accepted by such insurance carrier) shall be rendered against Borrower and shall remain unsatisfied, unvacated, or
unstayed for a period of ten (10) days after the entry thereof (provided that no Credit Extensions will be made prior to the satisfaction, vacation, or stay of such judgment, order, or decree); 

8.8 Misrepresentations. Borrower or any Person acting for Borrower makes any representation, warranty, or other statement now or
later in this Agreement, any Loan Document or in any writing delivered to Bank or to induce Bank to enter this Agreement or any Loan Document, and such representation, warranty, or other statement is incorrect in any material respect when made;

 8.9 Subordinated Debt. A default or breach occurs under any agreement between Borrower and any creditor of Borrower
that signed a subordination, intercreditor, or other similar agreement with Bank, or any creditor that has signed such an agreement with Bank breaches any terms of such agreement, in each case, which permits the acceleration of Subordinated Debt in
excess of One Hundred Thousand Dollars ($100,000); or 
 8.11 Governmental Approvals. Any Governmental Approval which is
required for the operation of the Borrower’s business shall have been (a) revoked, rescinded, suspended, modified in an adverse manner or not renewed in the ordinary course for a full term (and the Borrower shall have exhausted any right
to appeal such decision) or (b) subject to any decision by a Governmental Authority that designates a hearing with respect to any applications for renewal of any of such Governmental Approval or that could result in the Governmental Authority
taking any of the actions described in clause (a) above, and such decision or such revocation, rescission, suspension, modification or non-renewal (i) has, or could reasonably be expected to have, a Material Adverse Change, or (iii)
adversely affects the legal qualifications of Borrower or any of its Subsidiaries to hold such Governmental Approval in any applicable jurisdiction and such revocation, rescission, suspension, modification or non-renewal could reasonably be expected
to affect the status of or legal qualifications of Borrower or any of its Subsidiaries to hold any Governmental Approval which is required for the operation of the Borrower’s business in any other jurisdiction. 

8.12 Guaranty. (a) Any guaranty of any Obligations terminates or ceases for any reason to be in full force and effect;
(b) any Guarantor does not perform any obligation or covenant under any guaranty of the Obligations; (c) any circumstance described in Sections 8.3, 8.4, 8.5, 8.7, or 8.8, occurs with respect to any Guarantor, or (d) the liquidation,
winding up, or termination of existence of any Guarantor; or (e) a material impairment in the perfection or priority of Bank’s Lien in the collateral provided by Guarantor or in the value of such collateral. 

9 BANK’S RIGHTS AND REMEDIES 
 9.1 Rights and Remedies. While an Event of Default occurs and continues Bank may, without notice or demand, do any or all of the following: 

(a) declare all Obligations immediately due and payable (but if an Event of Default described in Section 8.5 occurs
all Obligations are immediately due and payable without any action by Bank); 
 (b) stop advancing money or
extending credit for Borrower’s benefit under this Agreement or under any other agreement between Borrower and Bank; 
 (c) demand that Borrower (i) deposits cash with Bank in an amount equal to the aggregate amount of any Letters of Credit remaining undrawn, as collateral security for the repayment of any future drawings
under such Letters of Credit, and Borrower shall forthwith deposit and pay such amounts, and (ii) pay in advance all Letter of Credit fees scheduled to be paid or payable over the remaining term of any Letters of Credit; 

(d) terminate any FX Forward Contracts: 

  
 -12-

 (e) settle or adjust disputes and claims directly with Account Debtors for
amounts on terms and in any order that Bank considers advisable, notify any Person owing Borrower money of Bank’s security interest in such funds, and verify the amount of such account; 

(f) make any payments and do any acts it considers necessary or reasonable to protect the Collateral and/or its security
interest in the Collateral. Borrower shall assemble the Collateral if Bank requests and make it available as Bank designates. Bank may enter premises where the Collateral is located, take and maintain possession of any part of the Collateral, and
pay, purchase, contest, or compromise any Lien which appears to be prior or superior to its security interest and pay all expenses incurred. Borrower grants Bank a license to enter and occupy any of its premises, without charge, to exercise any of
Bank’s rights or remedies; 
 (g) apply to the Obligations any (i) balances and deposits of Borrower it
holds, or (ii) any amount held by Bank owing to or for the credit or the account of Borrower; 
 (h) ship,
reclaim, recover, store, finish, maintain, repair, prepare for sale, advertise for sale, and sell the Collateral. Bank is hereby granted, solely pursuant to the provisions of this Section 9.1, a nonexclusive, royalty-free license or other right
to use, without charge, Borrower’s labels, patents, copyrights, mask works, rights of use of any name, trade secrets, trade names, trademarks, service marks, and advertising matter, or any similar property as it pertains to the Collateral, to
the extent reasonably necessary to complete production of, advertising for sale, and selling any Collateral and, in connection with Bank’s exercise of its rights under this Section. Borrower’s rights under all licenses and all franchise
agreements inure to Bank’s benefit; 
 (i) place a “hold” on any account maintained with Bank
and/or deliver a notice of exclusive control, any entitlement order, or other directions or instructions pursuant to any Control Agreement or similar agreements providing control of any Collateral; 

(j) demand and receive possession of Borrower’s Books; and 

(k) exercise all rights and remedies available to Bank under the Loan Documents or at law or equity, including all
remedies provided under the Code (including disposal of the Collateral pursuant to the terms thereof). 
 9.2 Power of
Attorney. Borrower hereby irrevocably appoints Bank as its lawful attorney-in-fact, exercisable upon the occurrence and during the continuance of an Event of Default, to: (a) endorse Borrower’s name on any checks or other forms of
payment or security; (b) sign Borrower’s name on any invoice or bill of lading for any Account or drafts against Account Debtors: (c) settle and adjust disputes and claims about the Accounts directly with Account Debtors, for amounts
and on terms Bank determines reasonable; (d) make, settle, and adjust all claims under Borrower’s insurance policies; (e) pay, contest or settle any Lien, charge, encumbrance, security interest, and adverse claim in or to the
Collateral, or any judgment based thereon, or otherwise take any action to terminate or discharge the same; and (f) transfer the Collateral into the name of Bank or a third party as the Code permits. Borrower hereby appoints Bank as its lawful
attorney-in-fact to sign Borrower’s name on any documents necessary to perfect or continue the perfection of Bank’s security interest in the Collateral regardless of whether an Event of Default has occurred until all Obligations have been
satisfied in full and Bank is under no further obligation to make Credit Extensions hereunder. Bank’s foregoing appointment as Borrower’s attorney in fact, and all of Bank’s rights and powers, coupled with an interest, are irrevocable
until all Obligations have been fully repaid and performed and Bank’s obligation to provide Credit Extensions terminates. 

9.3 Protective Payments. If Borrower fails to obtain the insurance called for by Section 6.5 or fails to pay any premium
thereon or fails to pay any other amount which Borrower is obligated to pay under this Agreement or any other Loan Document. Bank may obtain such insurance or make such payment, and all amounts so paid by Bank are Bank Expenses and immediately due
and payable, bearing interest at the then highest applicable rate charged by Bank hereunder, and secured by the Collateral, Bank will make reasonable efforts to provide Borrower with notice of Bank obtaining such insurance at the time it is obtained
or within a reasonable time thereafter. No payments by Bank are deemed an agreement to make similar payments in the future or Bank’s waiver of any Event of Default. 
 9.4 Application of Payments and Proceeds. Borrower shall have no right to specify the order or the accounts to which Bank shall allocate or apply any payments required to be made by Borrower to
Bank or otherwise received by Bank under this Agreement when any such allocation or application is not specified elsewhere in this 

  
 -13-

 
Agreement. If an Event of Default has occurred and is continuing, Bank may apply any funds in its possession, whether from Borrower account balances, payments, proceeds realized as the result of
any collection of Accounts or other disposition of the Collateral, or otherwise, to the Obligations in such order as Bank shall determine in its sole discretion. Any surplus shall be paid to Borrower or other Persons legally entitled thereto;
Borrower shall remain liable to Bank for any deficiency. If Bank, in its good faith business judgment, directly or indirectly enters into a deferred payment or other credit transaction with any purchaser at any sale of Collateral, Bank shall have
the option, exercisable at any time, of either reducing the Obligations by the principal amount of the purchase price or deferring the reduction of the Obligations until the actual receipt by Bank of cash therefor. 

9.5 Bank’s Liability for Collateral. So long as Bank complies with reasonable banking practices regarding the safekeeping of
the Collateral in the possession or under the control of Bank, Bank shall not be liable or responsible for: (a) the safekeeping of the Collateral; (b) any loss or damage to the Collateral; (c) any diminution in the value of the
Collateral; or (d) any act or default of any carrier, warehouseman, bailee, or other Person. Borrower bears all risk of loss, damage or destruction of the Collateral. 
 9.6 No Waiver; Remedies Cumulative. Bank’s failure, at any time or times, to require strict performance by Borrower of any provision of this Agreement or any other Loan Document shall not
waive, affect, or diminish any right of Bank thereafter to demand strict performance and compliance herewith or therewith. No waiver hereunder shall be effective unless signed by Bank and then is only effective for the specific instance and purpose
for which it is given. Bank’s rights and remedies under this Agreement and the other Loan Documents are cumulative. Bank has all rights and remedies provided under the Code, by law, or in equity. Bank’s exercise of one right or remedy is
not an election, and Bank’s waiver of any Event of Default is not a continuing waiver. Bank’s delay in exercising any remedy is not a waiver, election, or acquiescence. 

9.7 Demand Waiver. Borrower waives demand, notice of default or dishonor, notice of payment and nonpayment, notice of any default,
nonpayment at maturity, release, compromise, settlement, extension, or renewal of accounts, documents, instruments, chattel paper, and guarantees held by Bank on which Borrower is liable. 

10 NOTICES 
 All notices, consents, requests, approvals, demands, or other communication by any party to this Agreement or any other Loan Document must be in writing and shall be deemed to have been validly served,
given, or delivered: (a) upon the earlier of actual receipt and three (3) Business Days after deposit in the U.S. mail, first class, registered or certified mail return receipt requested, with proper postage prepaid; (b) upon
transmission, when sent by electronic mail or facsimile transmission; (c) one (1) Business Day after deposit with a reputable overnight courier with all charges prepaid; or (d) when delivered, if hand-delivered by messenger, all of
which shall be addressed to the party to be notified and sent to the address, facsimile number, or email address indicated below. Bank or Borrower may change its mailing or electronic mail address or facsimile number by giving the other party
written notice thereof in accordance with the terms of this Section 10. 

  
 -14-

			
	If to Borrower:	  	Demandware, Inc.
		  	10 Presidential Way, 2nd Floor
		  	Woburn, Massachusetts 01801
		  	Attn:
                                         
                                   
		  	Fax:
                                         
                                   
		  	Email:
                                         
                               
		
	with a copy to:	  	Wilmer Cutler Pickering Hale and Dorr LLP
		  	60 State Street
		  	Boston, Massachusetts 02109
		  	Attn:      Mitchel Appelbaum, Esquire
		  	Fax:       (617) 526-5000
		  	Email:    mitchel.appelbaum@wilmerhale.com
		
	If to Bank:	  	Silicon Valley Bank
		  	One Newton Executive Park, Suite 200,
		  	2221 Washington Street
		  	Newton, Massachusetts 02464
		  	Attn: Mr. Mark Gallagher
		  	Fax: (617) 969-5973
		  	Email: MGallagher@svb.com
		
	with a copy to:	  	Riemer & Braunstein, LLP
		  	Three Center Plaza
		  	Boston, Massachusetts 02108
		  	Attn:       David A. Ephraim, Esquire
		  	Fax:        (617)880-3456
		  	Email:    DEphraim@riemerlaw.com

 11 CHOICE OF LAW, VENUE, JURY TRIAL WAIVER. 

Massachusetts law governs the Loan Documents without regard to principles of conflicts of law. Borrower and Bank each submit to the
exclusive jurisdiction of the State and Federal courts in Massachusetts; provided, however, that nothing in this Agreement shall be deemed to operate to preclude Bank from bringing suit or taking other legal action in any other jurisdiction to
realize on the Collateral or any other security for the Obligations, or to enforce a judgment or other court order in favor of Bank. Borrower expressly submits and consents in advance to such jurisdiction in any action or suit commenced in any such
court, and Borrower hereby waives any objection that it may have based upon lack of personal jurisdiction, improper venue, or forum non conveniens and hereby consents to the granting of such legal or equitable relief as is deemed appropriate by such
court. Borrower hereby waives personal service of the summons, complaints, and other process issued in such action or suit and agrees that service of such summons, complaints, and other process may be made by registered or certified mail addressed
to Borrower at the address set forth in Section 10 of this Agreement and that service so made shall be deemed completed upon the earlier to occur of Borrower’s actual receipt thereof or three (3) days after deposit in the U.S. mails,
proper postage prepaid. 
 TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, BORROWER AND BANK EACH WAIVE THEIR RIGHT TO A
JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE LOAN DOCUMENTS OR ANY CONTEMPLATED TRANSACTION, INCLUDING CONTRACT, TORT, BREACH OF DUTY AND ALL OTHER CLAIMS. THIS WAIVER IS A MATERIAL INDUCEMENT FOR BOTH
PARTIES TO ENTER INTO THIS AGREEMENT. EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL. 
 12 GENERAL
PROVISIONS 
 12.1 Successors and Assigns. This Agreement binds and is for the benefit of the successors and
permitted assigns of each party. Borrower may not assign this Agreement or any rights or obligations under it without Bank’s prior written consent (which may be granted or withheld in Bank’s discretion). Bank has the right,

  
 -15-

 
without the consent of or notice to Borrower, to sell, transfer, negotiate, or grant participation in all or any part of, or any interest in, Bank’s obligations, rights, and benefits under
this Agreement and the other Loan Documents. 
 12.2 Indemnification. Borrower agrees to indemnify, defend and hold Bank
and its directors, officers, employees, agents, attorneys, or any other Person affiliated with or representing Bank (each, an “Indemnified Person”) harmless against: (a) all obligations, demands, claims, and liabilities
(collectively, “Claims”) asserted by any other party in connection with the transactions contemplated by the Loan Documents; and (b) all losses or Bank Expenses incurred, or paid by such Indemnified Person from, following, or
arising from transactions between Bank and Borrower (including reasonable attorneys’ fees and expenses), except for Claims and/or losses directly caused by such Indemnified Person’s gross negligence or willful misconduct. 

12.3 Time of Essence. Time is of the essence for the performance of all Obligations in this Agreement. 

12.4 Severability of Provisions. Each provision of this Agreement is severable from every other provision in determining the
enforceability of any provision. 
 12.5 Correction of Loan Documents. Bank may correct patent errors and fill in any
blanks in this Agreement and the other Loan Documents consistent with the agreement of the parties. 
 12.6 Amendments in
Writing; Integration. All amendments to this Agreement must be in writing and signed by both Bank and Borrower. This Agreement and the Loan Documents represent the entire agreement about this subject matter and supersede prior negotiations or
agreements. All prior agreements, understandings, representations, warranties, and negotiations between the parties about the subject matter of this Agreement and the Loan Documents merge into this Agreement and the Loan Documents. 

12.7 Counterparts. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts,
each of which, when executed and delivered, are an original, and all taken together, constitute one Agreement. 
 12.8
Survival. All covenants, representations and warranties made in this Agreement continue in full force until this Agreement has terminated pursuant to its terms and all Obligations (other than inchoate indemnity obligations and any other
obligations which, by their terms, are to survive the termination of this Agreement) have been satisfied. The obligation of Borrower in Section 12.2 to indemnify Bank snail survive until the statute of limitations with respect to such claim or
cause of action shall have run. 
 12.9 Confidentiality. In handling any confidential information. Bank shall exercise
the same degree of care that it exercises for its own proprietary information, but disclosure of information may be made: (a) to Bank’s Subsidiaries or Affiliates; (b) to prospective transferees or purchasers of any interest in the
Credit Extensions (provided, however, Bank shall use commercially reasonable efforts to obtain such prospective transferee’s or purchaser’s agreement to the terms of this provision); (c) as required by law, regulation, subpoena, or
other order; (d) to Bank’s regulators or as otherwise required in connection with Bank’s examination or audit; (e) as Bank considers appropriate in exercising remedies under the Loan Documents; and (f) to third-party service
providers of Bank so long as such service providers have executed a confidentiality agreement with Bank with terms no less restrictive than those contained herein. Confidential information does not include information that either; (i) is in the
public domain or in Bank’s possession when disclosed to Bank, or becomes part of the public domain after disclosure to Bank; or (ii) is disclosed to Bank by a third party, if Bank does not know that the third party is prohibited from
disclosing the information. 
 Bank may use confidential information for any purpose, including, without limitation, for the
development of client databases, reporting purposes, and market analysis, so long as Bank does not disclose Borrower’s identity or the identity of any person associated with Borrower unless otherwise expressly permitted by this Agreement. The
provisions of the immediately preceding sentence shall survive the termination of this Agreement. 
 12.10 Right of Set
Off. Borrower hereby grants to Bank, a lien, security interest and right of set off as security for all Obligations to Bank, whether now existing or hereafter arising upon and against all deposits, credits, collateral and property, now or
hereafter in the possession, custody, safekeeping or control of Bank or any entity under the control of Bank (including a Bank subsidiary) or in transit to any of them. At any time after the occurrence and during the continuance of an Event of
Default, without demand or notice, Bank may set off the same 

  
 -16-

 
or any part thereof and apply the same to any liability or obligation of Borrower even though unmatured and regardless of the adequacy of any other collateral securing the Obligations. ANY AND
ALL RIGHTS TO REQUIRE BANK TO EXERCISE ITS RIGHTS OR REMEDIES WITH RESPECT TO ANY OTHER COLLATERAL WHICH SECURES THE OBLIGATIONS, PRIOR TO EXERCISING ITS RIGHT OF SETOFF WITH RESPECT TO SUCH DEPOSITS, CREDITS OR OTHER PROPERTY OF BORROWER ARE HEREBY
KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVED. 
 12.11 Termination Prior to Maturity Date. This Agreement may be
terminated prior to the Revolving Line Maturity Date by Borrower, effective three (3) Business Days after written notice of termination is given to Bank. Notwithstanding any such termination. Bank’s lien and security interest in the
Collateral shall continue until Borrower fully satisfies its Obligations. 
 13 DEFINITIONS 

13.1 Definitions. As used in this Agreement, the following terms have the following meanings: 

“Account” is any “account” as defined in the Code with such additions to such term as may hereafter be made,
and includes, without limitation, all accounts receivable and other sums owing to Borrower. 
 “Account Debtor”
is any “account debtor” as defined in the Code with such additions to such term as may hereafter be made. 

“Advance” or “Advances” means an advance (or advances) under the Revolving Line. 

“Affiliate” of any Person is a Person that owns or controls directly or indirectly the Person, any Person that controls
or is controlled by or is under common control with the Person, and each of that Person’s senior executive officers, directors, partners and, for any Person that is a limited liability company, that Person’s managers and members.

 “Agreement” is defined in the preamble hereof. 

“Availability Amount” is (i) the lesser of (A) the Revolving Line or (B) the aggregate of (1) the
amount available under the Borrowing Base, plus (2) One Million Two Hundred Fifty Thousand Dollars ($1,250,000) minus (ii) the amount of all outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit) plus an amount
equal to the Letter of Credit Reserve, minus (iii) the FX Reduction Amount, minus (iv) any amounts used for Cash Management Services, and minus (v) the outstanding principal balance of any Advances. 

“Bank” is defined in the preamble hereof. 
 “Bank Expenses” are all audit fees and expenses, costs, and expenses (including reasonable attorneys’ fees and expenses) for preparing, amending, negotiating, administering,
defending and enforcing the Loan Documents (including, without limitation, those incurred in connection with appeals or Insolvency Proceedings). 
 “Board” is Borrower’s Board of Directors. 

“Borrower” is defined in the preamble hereof 
 “Borrower’s Books” are all Borrower’s books and records including ledgers, federal and state tax returns, records regarding Borrower’s assets or liabilities, the
Collateral, business operations or financial condition, and all computer programs or storage or any equipment containing such information. 
 “Borrowing Base” is eighty percent (80.0%) of Eligible Accounts, as determined by Bank from Borrower’s most recent Borrowing Base Certificate; provided, however, that Bank may
decrease the foregoing percentage in its good faith business judgment based on events, conditions, contingencies, or risks which, as determined by Bank, may adversely affect Collateral. 

“Borrowing Base Certificate” is that certain certificate in the form attached hereto as Exhibit C. 

  
 -17-

 “Borrowing Resolutions” are, with respect to any Person, those resolutions
adopted by such Person’s Board and delivered by such Person to Bank approving the Loan Documents to which such Person is a party and the transactions contemplated thereby, together with a certificate executed by its secretary on behalf of such
Person certifying that (a) such Person has the authority to execute, deliver, and perform its obligations under each of the Loan Documents to which it is a party, (b) that attached as Exhibit A to such certificate is a true, correct, and
complete copy of the resolutions then in full force and effect authorizing and ratifying the execution, delivery, and performance by such Person of the Loan Documents to which it is a party, (c) the name(s) of the Person(s) authorized to
execute the Loan Documents on behalf of such Person, together with a sample of the true signature(s) of such Person(s), and (d) that Bank may conclusively rely on such certificate unless and until such Person shall have delivered to Bank a
further certificate canceling or amending such prior certificate. 
 “Business Day” is any day that is not a
Saturday. Sunday or a day on which Bank is closed. 
 “Cash Equivalents” means (a) marketable direct
obligations issued or unconditionally guaranteed by the United States or any agency or any State thereof having maturities of not more than one (1) year from the date of acquisition; (b) commercial paper maturing no more than one
(1) year after its creation and having the highest rating from either Standard & Poor’s Ratings Group or Moody’s Investors Service, Inc.; and (c) Bank’s certificates of deposit issued maturing no more than one
(1) year after issue. 
 “Cash Management Services” is defined in Section 2.1.4. 

“Code” is the Uniform Commercial Code, as the same may, from time to time, be enacted and in effect in the Commonwealth
of Massachusetts; provided, that, to the extent that the Code is used to define any term herein or in any Loan Document and such term is defined differently in different Articles or Divisions of the Code, the definition of such term contained in
Article or Division 9 shall govern; provided further, that in the event that, by reason of mandatory provisions of law, any or all of the attachment, perfection, or priority of, or remedies with respect to, Bank’s Lien on any Collateral is
governed by the Uniform Commercial Code in effect in a jurisdiction other than the Commonwealth of Massachusetts, the term “Code” shall mean the Uniform Commercial Code as enacted and in effect in such other jurisdiction solely for
purposes on the provisions thereof relating to such attachment, perfection, priority, or remedies and for purposes of definitions relating to such provisions. 
 “Collateral” is any and all properties, rights and assets of Borrower described on Exhibit A. 
 “Collateral Account” is any Deposit Account. Securities Account, or Commodity Account. 
 “Commodity Account” is any “commodity account” as defined in the Code with such additions to such term as may hereafter be made. 

“Compliance Certificate” is that certain certificate in the form attached hereto as Exhibit D. 

“Contingent Obligation” is, for any Person, any direct or indirect liability, contingent or not, of that Person for
(a) any indebtedness, lease, dividend, letter of credit or other obligation of another such as an obligation directly or indirectly guaranteed, endorsed, co-made, discounted or sold with recourse by that Person, or for which that Person is
directly or indirectly liable; (b) any obligations for undrawn letters of credit for the account of that Person; and (c) all obligations from any interest rate, currency or commodity swap agreement, interest rate cap or collar agreement,
or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange rates or commodity prices; but “Contingent Obligation” does not include endorsements in the ordinary course of
business. The amount of a Contingent Obligation is the stated or determined amount of the primary obligation for which the Contingent Obligation is made or, if not determinate, the maximum reasonably anticipated liability for it determined by the
Person in good faith; but the amount may not exceed the maximum of the obligations under any guarantee or other support arrangement. 
 “Control Agreement” is any control agreement entered into among the depository institution at which Borrower maintains a Deposit Account or the securities intermediary or commodity
intermediary at which Borrower maintains a Securities Account or a Commodity Account, Borrower, and Bank pursuant to which Bank obtains control (within the meaning of the Code) over such Deposit Account, Securities Account, or Commodity Account.

 “Credit Extension” is any Advance. Letter of Credit, FX Forward Contract, amount utilized for Cash
Management Services. Bridge Loan Advance, or any other extension of credit by Bank for Borrower’s benefit. 

  
 -18-

 “Current Liabilities” are all obligations and liabilities of Borrower to
Bank, plus, without duplication, the aggregate amount of Borrower’s Total Liabilities that mature within one (1) year. 
 “Default Rate” is defined in Section 2.3(b). 

“Deferred Revenue” is all amounts received or invoiced in advance of performance under contracts and not yet recognized
as revenue. 
 “Deposit Account” is any “deposit account” as defined in the Code with such additions
to such term as may hereafter be made. 
 “Designated Deposit Account” is Borrower’s deposit account,
account number                         , maintained with Bank. 

“Dollars.” “dollars” and “$” each mean lawful money of the United States.  

“Effective Date” is defined in the preamble hereof. 

“Eligible Accounts” means Accounts which arise in the ordinary course of Borrower’s business that meet all
Borrower’s representations and warranties in Section 5.3. Bank reserves the right, at any time after the Effective Date to adjust any of the criteria set forth below and to establish new criteria in its good faith business judgment. Unless
Bank agrees otherwise in writing, Eligible Accounts shall not include: 
 (a) Accounts that the Account Debtor has not paid
within ninety (90) days of invoice date regardless of invoice payment period terms; 
 (b) Accounts owing from an Account
Debtor, fifty percent (50%) or more of whose Accounts have not been paid within ninety (90) days of invoice date; 

(c) Accounts owing from an Account Debtor which does not have its principal place of business in the United States, unless such Accounts
are otherwise Eligible Accounts and provided that the total Advances relating thereto do not exceed One Million Dollars ($1,000,000.00); 
 (d) Accounts billed and/or payable outside of the United States: 
 (e) Accounts
owing from an Account Debtor to the extent that Borrower is indebted or obligated in any manner to the Account Debtor (as creditor, lessor, supplier or otherwise - sometimes called “contra” accounts, accounts payable, customer deposits or
credit accounts), with the exception of customary credits, adjustments and/or discounts given to an Account Debtor by Borrower in the ordinary course of its business; 
 (f) Accounts for which the Account Debtor is Borrower’s Affiliate, officer, employee, or agent; 
 (g) Accounts with credit balances over ninety (90) days from invoice date; 

(h) Accounts owing from an Account Debtor, including Affiliates, whose total obligations to Borrower exceed twenty-five (25%) of all
Accounts, for the amounts that exceed that percentage, unless Bank approves in writing; 
 (i) Accounts owing from an Account
Debtor which is a United States government entity or any department, agency, or instrumentality thereof unless Borrower has assigned its payment rights to Bank and the assignment has been acknowledged under the Federal Assignment of Claims Act of
1940, as amended; 
 (j) Accounts for demonstration or promotional equipment, or in which goods are consigned, or sold on a
“sale guaranteed”, “sale or return”, “sale on approval”, or other terms if Account Debtor’s payment may be conditional; 
 (k) Accounts owing from an Account Debtor that has not been invoiced or where goods or services have not yet been rendered to the Account Debtor (sometimes called memo billings or pre-billings);

  
 -19-

 (l) Accounts subject to contractual arrangements between Borrower and an Account Debtor
where payments shall be scheduled or due according to completion or fulfillment requirements where the Account Debtor has a right of offset for damages suffered as a result of Borrower’s failure to perform in accordance with the contract
(sometimes called contracts accounts receivable, progress billings, milestone billings, or fulfillment contracts); 
 (m)
Accounts owing from an Account Debtor the amount of which may be subject to withholding based on the Account Debtor’s satisfaction of Borrower’s complete performance (but only to the extent of the amount withheld; sometimes called
retainage billings); 
 (n) Accounts subject to trust provisions, subrogation rights of a bonding company, or a statutory trust;

 (o) Accounts owing from an Account Debtor that has been invoiced for goods that have not been shipped to the Account Debtor
unless Bank, Borrower, and the Account Debtor have entered into an agreement acceptable to Bank in its sole discretion wherein the Account Debtor acknowledges that (i) it has title to and has ownership of the goods wherever located, (ii) a
bona fide sale of the goods has occurred, and (iii) it owes payment for such goods in accordance with invoices from Borrower (sometimes called “bill and hold” accounts); 

(p) Accounts for which the Account Debtor has not been invoiced; 

(q) Accounts that represent non-trade receivables or that are derived by means other than in the ordinary course of Borrower’s
business; 
 (r) Accounts for which Borrower has permitted Account Debtor’s payment to extend beyond 90 days; 

(s) Accounts subject to chargebacks or others payment deductions taken by an Account Debtor (but only to the extent the chargeback is
determined invalid and subsequently collected by Borrower); 
 (t) Accounts in which the Account Debtor disputes liability or
makes any claim (but only up to the disputed or claimed amount), or if the Account Debtor is subject to an Insolvency Proceeding, or becomes insolvent, or goes out of business; 

(u) Accounts owing from an Account Debtor with respect to which Borrower has received deferred revenue (but only to the extent of such
deferred revenue): 
 (v) Accounts for which Bank in its good faith business judgment determines collection to be doubtful; and

 (w) other Accounts Bank deems ineligible in the exercise of its good faith business judgment. 

“Equipment” is all “equipment” as defined in the Code with such additions to such term as may hereafter be
made, and includes without limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing. 
 “ERISA” is the Employee Retirement Income Security Act of 1974, and its regulations.  
 “Event of Default” is defined in Section 8.  

“Foreign Currency” means lawful money of a country other than the United States. 

“Funding Date” is any date on which a Credit Extension is made to or on account of Borrower which shall be a Business
Day. 
 “FX Business Day” is any day when (a) Bank’s Foreign Exchange Department is conducting its
normal business and (b) the Foreign Currency being purchased or sold by Borrower is available to Bank from the entity from which Bank shall buy or sell such Foreign Currency. 

“FX Forward Contract” is defined in Section 2.1.3. 

“FX Reduction Amount” is defined in Section 2.1.3. 

  
 -20-

 “FX Reserve” is defined in Section 2.1.3. 

“GAAP” is generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting
Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other Person as may be approved by a significant segment of
the accounting profession, which are applicable to the circumstances as of the date of determination. 
 “General
Intangibles” is all “general intangibles” as defined in the Code in effect on the date hereof with such additions to such term as may hereafter be made, and includes without limitation, all copyright rights, copyright
applications, copyright registrations and like protections in each work of authorship and derivative work, whether published or unpublished, any patents, trademarks, service marks and, to the extent permitted under applicable law, any applications
therefor, whether registered or not, any trade secret rights, including any rights to unpatented inventions, payment intangibles, royalties, contract rights, goodwill, franchise agreements, purchase orders, customer lists, route lists, telephone
numbers, domain names, claims, income and other tax refunds, security and other deposits, options to purchase or sell real or personal property, rights in all litigation presently or hereafter pending (whether in contract, tort or otherwise),
insurance policies (including without limitation key man, property damage, and business interruption insurance), payments of insurance and rights to payment of any kind. 
 “Governmental Approval” is any consent, authorization, approval, order, license, franchise, permit, certificate, accreditation, registration, filing or notice, of, issued by, from or to,
or other act by or in respect of, any Governmental Authority. 
 “Governmental Authority” is any nation or
government, any state or other political subdivision thereof, any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative functions of
or pertaining to government, any securities exchange and any self-regulatory organization. 
 “Guarantor” is
any present or future guarantor of the Obligations, including Demandware Securities Corp. 
 “Indebtedness” is
(a) indebtedness for borrowed money or the deferred price of property or services, such as reimbursement and other obligations for surety bonds and letters of credit, (b) obligations evidenced by notes, bonds, debentures or
similar instruments, (c) capital lease obligations, and (d) Contingent Obligations. 
 “Indemnified
Person” is defined in Section 12.2. 
 “Insolvency Proceeding” is any proceeding by or against
any Person under the United States Bankruptcy Code, or any other bankruptcy or insolvency law, including assignments for the benefit of creditors, compositions, extensions generally with its creditors, or proceedings seeking reorganization,
arrangement, or other relief. 
 “Intershop License Agreement” is that certain License Agreement by and between
the Borrower and Intershop, dated June 30, 2004, as amended by Amendment #1, dated September 27, 2004 and Amendment # 2 dated February 28, 2005. 
 “Inventory” is all “inventory” as defined in the Code in effect on the date hereof with such additions to such term as may hereafter be made, and includes without limitation all
merchandise, raw materials, parts, supplies, packing and shipping materials, work in process and finished products, including without limitation such inventory as is temporarily out of Borrower’s custody or possession or in transit and
including any returned goods and any documents of title representing any of the above. 
 “Investment” is any
beneficial ownership interest in any Person (including stock, partnership interest or other securities), and any loan, advance or capital contribution to any Person. 
 “Key Persons” means Borrower’s Chief Executive Officer (who is John Pearce, as of the Effective Date), Executive Chairman (who is Stephan Schambach as of the Effective Date), and
President of Worldwide Sales (who is Jeff Barnett as of the Effective Date). 
 “Letter of Credit” means a
standby letter of credit issued by Bank or another institution based upon an application, guarantee, indemnity or similar agreement on the part of Bank as set forth in Section 2.1.2. 

  
 -21-

 “Letter of Credit Application” is defined in Section 2.1.2(a).

 “Letter of Credit Reserve” has the meaning set forth in Section 2.l.2(d). 

“Lien” is a claim, mortgage, deed of trust, levy, charge, pledge, security interest or other encumbrance of any kind,
whether voluntarily incurred or arising by operation of law or otherwise against any property. 
 “Loan Documents”
are, collectively, this Agreement, the Perfection Certificate, any note, or notes or guaranties executed by Borrower or any Guarantor, and any other present or future agreement between Borrower any Guarantor and/or for the benefit of Bank in
connection with this Agreement, all as amended, restated, or otherwise modified. 
 “Material Adverse Change”
is (a) a material impairment in the perfection or priority of Bank’s Lien in the Collateral or in the value of such Collateral; (b) a material adverse change in the business, operations, or condition (financial or otherwise) of
Borrower; (c) a material impairment of the prospect of repayment of any portion of the Obligations; or (d) Bank determines, based upon information available to it and in its judgment, that there is a substantial likelihood that Borrower
shall fail to comply with one or more of the financial covenants in Section 6 during the next succeeding financial reporting period. 
 “Maturity Date” is, the Revolving Line Maturity Date. 

“Obligations’” are Borrower’s obligation to pay when due any debts, principal, interest, Bank Expenses and
other amounts Borrower owes Bank now or later, whether under this Agreement, or any of the Loan Documents, including, without limitation, all obligations relating to letters of credit (including reimbursement obligations for drawn and undrawn
letters of credit), cash management services, and foreign exchange contracts, if any and including interest accruing after Insolvency, and the performance of Borrower’s duties under the Loan Documents. 

“Operating Documents” are, for any Person, such Person’s formation documents, as certified with the Secretary of
State of such Person’s state of formation on a date that is no earlier than 30 days prior to the Effective Date, and, (a) if such Person is a corporation, its bylaws in current form, (b) if such Person is a limited liability-company,
its limited liability company agreement (or similar agreement), and (c) if such Person is a partnership, its partnership agreement (or similar agreement), each of the foregoing with all current amendments or modifications thereto. 

“Payment/Advance Form” is that certain form attached hereto as Exhibit B.  

“Payment Date” is the first calendar day of each calendar month. 

“Perfection Certificate” is defined in Section 5.1.  

“Permitted Indebtedness” is: 
 (a) Borrower’s Indebtedness to Bank under this Agreement and the other Loan Documents; 
 (b) Indebtedness existing on the Effective Date and shown on the Perfection Certificate; 
 (c) Subordinated Debt; 
 (d) unsecured Indebtedness to trade creditors incurred in
the ordinary course of business; 
 (e) Indebtedness incurred as a result of endorsing negotiable instruments received in the
ordinary course of business; 
 (f) Indebtedness secured by Permitted Liens; 

(g) Indebtedness relating to reimbursement obligations for Letters of Credit issued by Bank; and 

  
 -22-

 (g) extensions, refinancings, modifications, amendments and restatements of any items of
Permitted Indebtedness (a) through (f) above, provided that the principal amount thereof is not increased or the terms thereof are not modified to impose more burdensome terms upon Borrower or its Subsidiary, as the case may be.

 “Permitted Investments” are: 
 (a) Investments shown on the Perfection Certificate and existing on the Effective Date; 
 (b) Cash Equivalents; 
 (c) Investments consisting of the endorsement of
negotiable instruments for deposit or collection or similar transactions in the ordinary course of Borrower; 
 (d) Investments
consisting of (i) travel advances and employee relocation loans and other employee loans and advances in the ordinary course of business, and (ii) loans to employees, officers of directors relating to the purchase of equity securities of
Borrower or its Subsidiaries pursuant to employee stock purchase plans or agreements approved by Borrower’s Board of Directors; 
 (e) Investments (including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers and in settlement of delinquent obligations of, and other disputes with,
customers or suppliers arising in the ordinary course of business; 
 (f) Investments consisting of notes receivable of, or
prepaid royalties and other credit extensions, to customers and suppliers who are not Affiliates, in the ordinary course of business; provided that this paragraph (h) shall not apply to Investments of Borrower in any Subsidiary; 

(g) Investments of Borrower in Demandware GmbH for ordinary and necessary operating expenses, not to exceed $250,000.00 in the aggregate
per calendar month; 
 (h) Investments in Demandware Securities Corp.; and 

(i) Investments of other Subsidiaries in or to other Subsidiaries or Borrower and Investments by Borrower in Subsidiaries not to exceed
$100,000 in the aggregate in any fiscal year. 
 “Permitted Liens” are: 

(a) Liens existing on the Effective Date and shown on the Perfection Certificate or arising under this Agreement and the other Loan
Documents; 
 (b) Liens for taxes, fees, assessments or other government charges or levies, either not delinquent or being
contested in good faith and for which Borrower maintains adequate reserves on its Books, provided that no notice of any such Lien has been filed or recorded under the Internal Revenue Code of 1986; as amended, and the Treasury Regulations
adopted thereunder; 
 (c) purchase money Liens (i) on Equipment acquired or held by Borrower incurred for financing the
acquisition of the Equipment securing no more than One Million Five Hundred Dollars ($1,500.000.00) in the aggregate amount outstanding, or (ii) existing on Equipment when acquired, if the Lien is confined to the property and
improvements and the proceeds of the Equipment; 
 (d) Liens of carriers, warehousemen, suppliers, or other Persons that are
possessory in nature arising in the ordinary course of business so long as such Liens attach only to Inventory, securing liabilities in the aggregate amount not to exceed $50,000 and which are not delinquent or remain payable without penalty or
which are being contested in good faith and by appropriate proceedings which proceedings have the effect of preventing the forfeiture or sale of the property subject thereto; 
 (e) Liens to secure payment of workers’ compensation, employment insurance, old-age pensions, social security and other like obligations incurred in the ordinary course of business (other than Liens
imposed by ERISA); 

  
 -23-

 (f) Liens incurred in the extension, renewal or refinancing of the indebtedness secured by
Liens described in (a) through (c), but any extension, renewal or replacement Lien must be limited to the property encumbered by the existing Lien and the principal amount of the indebtedness may not increase; 

(g) leases or subleases of real property granted in the ordinary course of business, and leases, subleases, non-exclusive licenses or
sublicensee of property (other than real property) granted in the ordinary course of Borrower’s business, if the leases, subleases, licenses and sublicenses do not prohibit granting Bank a security interest; 

(h) Liens in favor of other financial institutions arising in connection with Borrower’s deposit and/or securities accounts held at
such institutions, provided that Bank has a first perfected security interest in the amounts held in such deposit and/or securities accounts; 
 (i) Liens arising from judgments, decrees, or attachments in circumstances not constituting an Event of Default under Sections 8.4 and 8.7; 

(j) Liens securing indebtedness relating to reimbursement obligations for Letters of Credit issued by Bank; and 

(k) non-exclusive license of intellectual property granted to third parties in the ordinary course of business. 

“Person” is any individual, sole proprietorship, partnership, limited liability company, joint venture, company, trust,
unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency. 
 “Prime Rate” is Bank’s most recently announced “prime rate,” even if it is not Bank’s lowest rate.  

“Quick Assets” is, on any date, Borrower’s unrestricted cash at Bank plus net billed accounts receivable.

 “Registered Organization” is any “registered organization” as defined in the Code with such
additions to such term as may hereafter be made 
 “Requirement of Law” is as to any Person, the organizational
or governing documents of such Person, and any law (statutory or common), treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its
property or to which such Person or any of its property is subject. 
 “Responsible Officer” is any of the
Chief Executive Officer, President, Chief Financial Officer and Controller of Borrower. 
 “Revolving Line” is
an Advance or Advances in an amount equal to Three Million Dollars ($3,000,000) in the aggregate. 
 “Revolving Line
Maturity Date” is July 17, 2009. 
 “Securities Account” is any “securities account” as
defined in the Code with such additions to such term as may hereafter be made. 
 “Settlement Date” is defined
in Section 2.1.3. 
 “Subordinated Debt” is indebtedness incurred by Borrower subordinated to all of
Borrower’s now or hereafter indebtedness to Bank (pursuant to a subordination, intercreditor, or other similar agreement in form and substance satisfactory to Bank entered into between Bank and the other creditor), on terms acceptable to Bank.

 “Subsidiary” means, with respect to any Person, any Person of which more than 50.0% of the voting stock or
other equity interests (in the case of Persons other than corporations) is owned or controlled directly or indirectly by such Person or one or more of Affiliates of such Person. 

  
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 “Total Liabilities” is on any day, obligations that should, under GAAP, be
classified as liabilities on Borrower’s consolidated balance sheet, including all Indebtedness, but excluding all other Subordinated Debt. 
 “Transfer” is defined in Section 7.1. 
 “Unused
Revolving Line Facility Fee” is defined in Section 2.4(d). 
 “Warrant” is that certain Warrant
to Purchase Stock dated as of the Effective Date executed by Borrower in favor of Bank. 
 [Signature page follows.] 

  
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 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as a
sealed instrument under the laws of the Commonwealth of Massachusetts as of the Effective Date. 
  

			
	 BORROWER:
  

DEMANDWARE. INC.

		
	By	 	/s/ John Pearce
	Name:	 	John Pearce
	Title:	 	CEO

  

			
	 BANK:
  

SILICON VALLEY BANK

		
	By	 	/s/ Mark Gallagher
	Name:	 	Mark Gallagher
	Title:	 	SVP

  
 1 

 EXHIBIT A – COLLATERAL DESCRIPTION 

The Collateral consists of all of Borrower’s right, title and interest in and to the following personal property: 

All goods, Accounts (including health-care receivables), Equipment, Inventory, contract rights or rights to payment of money, leases,
license agreements, franchise agreements, General Intangibles (except as provided below), commercial tort claims, documents, instruments (including any promissory notes), chattel paper (whether tangible or electronic), cash, deposit accounts,
fixtures, letters of credit lights (whether or not the letter of credit is evidenced by a writing), securities, and all other investment property, supporting obligations, and financial assets, whether now owned or hereafter acquired, wherever
located; and 
 all Borrower’s Books relating to the foregoing, and any and all claims, rights and interests in any of the
above and all substitutions for, additions, attachments, accessories, accessions and improvements to and replacements, products, proceeds and insurance proceeds of any or all of the foregoing. 

Notwithstanding the foregoing, the Collateral does not include any of the following, whether now owned or hereafter acquired
(a) more than 65% of the presently existing and hereafter arising issued and outstanding shares of capital stock owned by Borrower of any foreign Subsidiary which shares entitle the holder thereof to vote for directors or any other matter,
(b) the Intershop License Agreement; or (c) any copyright rights, copyright applications, copyright registrations and like protections in each work of authorship and derivative work, whether published or unpublished, any patents, patent
applications and like protections, including improvements, divisions, continuations, renewals, reissues, extensions, and continuations-in-part of the same, trademarks, service marks and. to the extent permitted under applicable law, any applications
therefor, whether registered or not, and the goodwill of the business of Borrower connected with and symbolized thereby, know-how, operating manuals, trade secret rights, rights to unparented inventions, and any claims for damage by way of any past,
present, or future infringement of any of the foregoing; provided, however, the Collateral shall include all Accounts, license and royalty fees and other revenues, proceeds, or income arising out of or relating to any of the foregoing 

Pursuant to the terms of a certain negative pledge arrangement with Bank. Borrower has agreed not to encumber any of its copyright
rights, copyright applications, copyright registrations and like protections in each work of authorship and derivative work, whether published or unpublished, any patents, patent applications and like protections, including improvements, divisions,
continuations, renewals, reissues, extensions, and continuations-in-part of the same, trademarks, service marks and to the extent permitted under applicable law, any applications therefor, whether registered or not, and the goodwill of the business
of Borrower connected with and symbolized thereby, know-how, operating manuals, trade secret rights, rights to unpatented inventions, and any claims for damage by way of any past, present, or future infringement of any of the foregoing, without
Bank’s prior written consent. 

  
 1 

 EXHIBIT B – LOAN PAYMENT/ADVANCE REQUEST FORM 

DEADLINE FOR SAME DAY PROCESSING IS
NOON E.S.T.* 
  

			
	Fax To:	  	Date:                         

  

					
	LOAN PAYMENT:	  	 	  	 
	DEMANDWARE. INC.
	 		 
	From Account
#                                         
                           	  	To Account	  	 
	#                  
                                         
                                         
        	  	 
	(Deposit Account #)	  		  	(Loan Account #)
	Principal
$                                         
                                   	  	and/or Interest	  	 
	$                  
                                         
                                         
        	  	 
	 	 
	Authorized
Signature:                            	  	Phone Number:
                                         
                       
	 Print Name/Title:
                                      

 
	  	 	  	 

 

					
	LOAN ADVANCE:	  	  	  	  
	 
	 Complete
Outgoing Wire Request section below if all or a portion of the funds from this loan advance are for an outgoing wire.

	 		 
	From Account
#                                         
                           	  	To Account	  	 
	#                  
                                         
                                         
        	  	 
	(Loan Account #)	  		  	 (Deposit Account #)

	 		 
	 Amount of Advance
$                                         
                         
	  		  	 
	 
	All Borrower’s representations and warranties in the Loan
and Security Agreement are true, correct and complete in all material respects on the date of the request for an advance; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already
are qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such
date:
	 	 
	Authorized
Signature:                            	  	Phone Number:
                                         
                       
	 Print Name/Title:
                                      

 
	  	 	  	 

 

					
	OUTGOING WIRE REQUEST:	  	 	  	 
	Complete only if all or a portion of funds from the loan
advance above is to be wired.
	Deadline for same day processing is noon, E.S.T.	  		  	 
	 	 
	Beneficiary Name:
                                         
                           	  	Amount
	of Wire:
$                                         
                       	  		  	 
	Beneficiary Bank:
                                         
                             	  	Account
	Number:
                                         
                         	  		  	 
	City and State:
                                         
               	  		  	 
	 		 
	Beneficiary Bank Transit (ABA)
#:                        	  	 Beneficiary Bank Code (Swift, Sort, Chip, etc.):
                    
 (For International Wire Only)
	  	 
	 		 
	Intermediary
Bank:                                    	  	Transit (ABA) #:
                                         
                           	  	 
	For Further Credit to:
                                         
                                         
                                         
                                 	  	 
	 	 
	 Special Instruction:
                                         
                                         
                                         
                                     

 
	  	 

  

	*	Unless otherwise provided for an Advance bearing interest at LIBOR. 

  
 2 

			
	By signing below, the undersigned acknowledges and agrees that the funds transfer request by the Borrower shall be processed in accordance with and subject to the
terms and conditions set forth in the agreements(s) covering funds transfer service(s), which agreements(s) were previously received and executed by me (us).
	
	DEMANDWARE, INC.
		
	Authorized Signature:
                                         
                             	  	 2nd Signature (if required):

	_________________________________________	  	
	Print Name/Title:
                                         
                                     	  	 Print Name/Title:

	_____________________________________________________
	Telephone #:
                                         
   	  	Telephone #:
                                         
           

  
 3 

 EXHIBIT C - BORROWING BASE CERTIFICATE 

 
  
 Borrower: Demandware. Inc. 
 Lender: Silicon Valley Bank 

Commitment Amount: $1,750,000 
  

							
	ACCOUNTS RECEIVABLE	  			
	1.	  	Accounts Receivable (invoiced) Book Value as of
                                	  	$	                        	  
	2.	  	Additions (please explain on reverse)	  	$	                        	  
	3.	  	TOTAL ACCOUNTS RECEIVABLE	  	$	                        	  
		
	ACCOUNTS RECEIVABLE DEDUCTIONS (without duplication)	  			
	4.	  	Amounts over 90 days due	  	$	                        	  
	5.	  	Balance of 50% over 90 day accounts	  	$	                        	  
	6.	  	Foreign Accounts (in excess of $1,000,000)	  	$	                        	  
	7.	  	Ineligible Foreign Invoiced Accounts	  	$	                        	  
	8.	  	Contra/Customer Deposit Accounts	  	$	                        	  
	9.	  	Intercompany/Employee Accounts	  	$	                        	  
	10.	  	Credit balances over 90 days	  	$	                        	  
	11.	  	Concentration Limits	  	$	                        	  
	12.	  	Ineligible U.S. Governmental Accounts	  	$	                        	  
	13.	  	Promotion or Demo Accounts; Guaranteed Sale or Consignment Sale Accounts	  	$	                        	  
	14.	  	Accounts with Progress/Milestone/Pre-billings; Contract Accounts	  	$	                        	  
	15.	  	Accounts for Retainage Billings	  	$	                        	  
	16.	  	Trust Accounts	  	$	                        	  
	17.	  	Bill and Hold Accounts	  	$	                        	  
	18	  	Unbilled Accounts	  	$	                        	  
	19.	  	Non-Trade Accounts	  	$	                        	  
	20.	  	Accounts with Extended Term Invoices	  	$	                        	  
	21.	  	Accounts subject to Chargebacks	  	$	                        	  
	22.	  	Disputed Accounts	  	$	                        	  
	23.	  	Other (please explain on reverse)	  	$	                        	  
	24.	  	Deferred Revenue	  	$	                        	  
	25.	  	TOTAL ACCOUNTS RECEIVABLE DEDUCTIONS	  	$	                        	  
	26.	  	Eligible Accounts (#3 minus #25)	  	$	                        	  
	27.	  	ELIGIBLE AMOUNT OF ACCOUNTS (80% of #26)	  	$	                        	  
	28.	  	Maximum Loan Amount	  	$	                        	  
	29.	  	Total Funds Available (Lesser of #28 or #27)	  	$	                        	  
	30.	  	Present balance owing on Line of Credit	  	$	                        	  
	31.	  	Outstanding under Sublimits	  	$	                        	  
	32.	  	RESERVE POSITION (#28 minus #30 and #31)	  	$	                        	  

 [Continued on following page.] 

  
 1 

 The undersigned Borrower represents and warrants that this is true, complete and correct in all material
respects, and that the information in this Borrowing Base Certificate complies with the representations and warranties in the Loan and Security Agreement between the undersigned Borrower and Silicon Valley Bank. 

 

									
		  		  	BANK USE ONLY	  	 	 	 
	COMMENTS:	  		  	Received by:
                                         
   	  			 
		  		  	AUTHORIZED SIGNER	  			 
	DEMANDWARE. INC.	  		  	Date:
                                         
               	  			 
		  		  	 Verified:
                                         
         
	  			 
	By:
                                         
                   	  		  	AUTHORIZED SIGNER	  			 
	 Authorized Signer
	  		  	Date:
                                         
               	  			 
	Date:
                                         
                   	  		  	Compliance Status:            Yes        No	  			 
		  		  	 	  	 	 	 

  
 2 

 EXHIBIT D - COMPLIANCE CERTIFICATE 

 

			
	TO:        SILICON VALLEY BANK	  	Date:
                                    
	FROM:        DEMANDWARE, INC,	  	

 The undersigned authorized officer of Demandware, Inc. (“Borrower”) certifies in such capacity
that under the terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”). (1) Borrower is in complete compliance for the period ending
                         with all required covenants except as noted below, (2) there are no Events of Default,
(3) all representations and warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and
warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material
respects as of such date, (4) Borrower, and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed
by Borrower except as otherwise permitted pursuant to the terms of Section 5.9 of the Agreement, and (5) no Liens have been levied or claims made against Borrower or any of its Subsidiaries relating to unpaid employee payroll or benefits
of which Borrower has not previously provided written notification to Bank. Attached are the required documents supporting the certification. The undersigned certifies, in the capacity as an authorized officer of the Borrower, that these are
prepared in accordance with GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges, in the capacity as an authorized officer of the Borrower, that no borrowings
may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not
otherwise defined herein shall have the meanings given them in the Agreement. 
 Please indicate compliance status by circling Yes/No under
“Complies” column. 
  

					
	 Reporting Covenant
	  	 Required
	  	 Complies

	Monthly financial statements with Compliance Certificate	  	Monthly within 30 days	  	Yes    No        
	Annual financial statement (CPA Audited)	  	FYE within 210 days	  	Yes    No        
	Board Approved Projections	  	Annually, within 10 days of approval	  	Yes    No        
	Borrowing Base Certificate A/R Agings	  	Monthly within 30 days (in which Credit Extensions greater than $1,250,000 are outstanding)	  	Yes    No        

  

											
	 Financial Covenant
	  	 Required
	  	Actual	 	  	Complies	 
	 Maintain on a monthly basis (after the Equity Event) :
	  		  				  			
	 Minimum Adjusted Quick Ratio
	  	1.50:1.0 (except for 9/30/08; 10/31/08, and 11/30/08 which shall be 1.20:1.0)	  	 	          :1.0	  	  	 	        Yes  No	  

  
 3 

 The following financial covenant analysis and information set forth in Schedule 1 attached
hereto are true and accurate as of the date of this Certificate. 
 The following are the exceptions with respect to the
certification above: (If no exceptions exist, state “No exceptions to note.”) 
  

					
	
	 
	
	 
	
	 

  

									
	DEMANDWARE. INC	 		 	BANK USE ONLY
		 		 	
				
		 		 	Received by:	 	 
	By:	 	 	 		 		 	AUTHORIZED SIGNER
	Name:	 	 	 		 	Date:	 	 
	Title:	 	 	 		 		 	
		 		 		 	Verified:	 	 
		 		 		 		 	AUTHORIZED SIGNER
		 		 		 	Date:	 	 
		 		 		 	Compliance Status:            Yes    No

  
 4 

 Schedule 1 to Compliance Certificate 

Financial Covenants of Borrower 
 In the event of a conflict between this Schedule and the Loan Agreement, the terms of the Loan Agreement shall govern. 
 Dated:                              

 

	1.	Adjusted Quick Ratio (Section 6.7(a)) 

Required:             1.50:1.00 (with the exception of 9/30/08, 10/31/08 and 11/30/08, which
is 1.20:1.0) 
 Actual: 
  

							
	 A.
	  	Aggregate value of the unrestricted cash of Borrower at Bank	  	$	               
 	  
	
B.
	  	Aggregate value of the net billed accounts receivable of Borrower	  	 	 	 
	
C.
	  	Quick Assets (the sum of lines A and B)	  	 	 	 
	
D.
	  	Aggregate value of Obligations to Bank	  	 	 	 
	
E.
	  	Aggregate value of liabilities of Borrower (including all Indebtedness) that matures within one (1) year	  	 	 	 
	
F.
	  	Current Liabilities (the sum of lines D and E)	  	 	 	 
	
G.
	  	Aggregate value of ail amounts received or invoiced by Borrower in advance of performance under contracts and not yet recognized as
revenue	  	$	                	  
	
H.
	  	Line F minus G	  	$	                	  
	
I.
	  	Adjusted Quick Ratio (line C divided by line H)	  	 	 	 

  

					
	Is Line I equal to or greater than 1.50 to 1.0	  			
		
	         No. not in compliance	  	 	           Yes, in compliance	  

  
 5 

 CONSENT AND FIRST AMENDMENT TO LOAN AGREEMENT 

This Consent (this “Consent”) is entered into this 23 day of December, 2008 by and between SILICON VALLEY BANK
(“Bank”) and DEMANDWARE, INC., a Delaware corporation (“Borrower”). 
 RECITALS

 A. Bank and Borrower have entered into that certain Loan and Security Agreement dated as of July 18, 2008 (as
amended, the “Loan Agreement”). Bank has extended credit to Borrower for the purposes permitted in the Loan Agreement. 
 B. Borrower contemplates consummating a bridge financing with North Bridge Venture Partners V-A, L.P., North Bridge Venture Partners V-B, L.P., General Catalyst Group III, L.P., and GC
Entrepreneurs Fund III, L.P. (individually and collectively, the “Investor”) in an aggregate amount of up to One Million Five Hundred Thousand Dollars ($1,500,000.00) pursuant to certain Secured Demand Promissory Note and a certain Secured
Demand Note Purchase Agreement each dated as of December __, 2008, which shall be secured by a lien on all assets (including intellectual property) of Borrower (the “Financing”). Borrower has requested that Bank consent to the Financing.

 C. Bank has agreed to so consent to the Financing, but only to the extent, in accordance with the terms, subject to
the conditions and in reliance upon the representations and warranties set forth below. 
 AGREEMENT

 NOW, THEREFORE, in consideration of the foregoing recitals and other good and
valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending to be legally bound, the parties hereto agree as follows: 
 1. Definitions. Capitalized terms used but not defined in this Consent shall have the meanings given to them in the Loan Agreement. 

2. Credit Extensions. Borrower acknowledges, confirms, and agrees that no additional Credit Extensions shall be made under the
Loan Agreement until: (i) all outstanding obligations of Borrower to Investor have been paid in full in cash, and (ii) all liens in favor of Investor have been released; and provided that no Event of Default has occurred and is continuing.

 3. Consent. Subject to the terms of Section 8 below, Bank hereby consents to the
Financing and agrees that (a) the Financing shall be considered Permitted Indebtedness, and (b) the Financing shall not, in and of itself, constitute an Event of Default under Section 7.4, Section 7.5, or Section 7.8 of the
Loan Agreement. 
 4. Representations and Warranties. To induce Bank to enter into this Consent, Borrower hereby
represents and warrants to Bank as follows: 
 4.1 Immediately after giving effect to this Consent
(a) the representations and warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties relate to an earlier date, in which
case they are true and correct as of such date), and (b) no Event of Default has occurred and is continuing; 
 4.2 Borrower has the power and due authority to execute and deliver this Consent; and 
 4.3 The organizational documents of Borrower previously delivered to Bank remain true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full
force and effect. 
 5. Integration. This Consent and the Loan Documents represent the entire agreement about this
subject matter and supersede prior negotiations or agreements. All prior agreements, understandings, representations, warranties, and negotiations between the parties about the subject matter of the Loan Documents merge into this Consent and the
Loan Documents. 
 6. Prior Agreement. The Loan Documents are hereby ratified and reaffirmed and shall remain in full
force and effect. This Consent is not a novation and the terms and conditions of this Consent shall be in addition to and supplemental to all terms and conditions set forth in the Loan Documents. In the event of any conflict or inconsistency between
this Consent and the terms of such documents, the terms of this Consent shall be controlling, but such document shall not otherwise be affected or the rights therein impaired. 
 7. Counterparts. This Consent may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument. 

8. Effectiveness. This Consent shall be deemed effective upon (a) the due execution and delivery to Bank of this Consent by each
party hereto, and (b) Bank’s receipt of a Subordination Agreement from each Investor substantially in the form attached hereto as Exhibit A, duly executed and delivered by the applicable Investor and Borrower. 

9. Governing Law. This Consent and the rights and obligations of the parties hereto shall be governed by and construed in
accordance with the laws of the Commonwealth of Massachusetts. 

 IN WITNESS WHEREOF, the
parties hereto have caused this Consent to be duly executed and delivered as of the date first written above. 
  

									
	BANK	 		 	BORROWER
			
	Silicon Valley Bank	 		 	Demandware, Inc.
					
	By:	 	/s/ Jane A. Braun	 		 	By:	 	/s/ Scott J. Dussault
	Name:	 	Jane Braun	 		 	Name:	 	Scott J. Dussault
	Title:	 	 SVP
	 		 	Title:	 	 CFO

 Exhibit A 

 SECOND AMENDMENT TO LOAN AGREEMENT 

This Second Amendment to Loan Agreement (this “Amendment”) is entered into as of June 26, 2009, by and
between SILICON VALLEY BANK, a California corporation, with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 and with a loan production office located at One Newton Executive Park, Suite 200, 2221 Washington
Street, Newton, Massachusetts 02462 (“Bank”) and DEMANDWARE, INC., a Delaware corporation with its chief executive office located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 (“Borrower”). 
 1. DESCRIPTION OF EXISTING INDEBTEDNESS AND OBLIGATIONS. Borrower is indebted to Bank pursuant to a certain Loan and Security Agreement dated as of July 18, 2008, between Borrower and Bank, as
amended by that certain Consent and First Amendment to Loan Agreement between Borrower and Bank dated December 23, 2008 (as amended, the “Loan Agreement”). The parties desire to amend the Loan Agreement as set forth herein.
Capitalized terms used but not otherwise defined herein shall have the same meaning as in the Loan Agreement. 
 2. DESCRIPTION OF CHANGE IN
TERMS. 
  

	 	A.	Modifications to Loan Agreement. 

  

	 	1	Borrower acknowledges, confirms and agrees that, on and after the 2009 Closing Date, no Credit Extensions shall be made under the Revolving Line.

  

	 	2	The Loan Agreement shall be amended by adding the following new Section 2.1.5 entitled “Equipment Advances” appearing immediately after
Section 2.1.4 thereof: 

 “2.1.5 Equipment Advances 

(a) Availability. Subject to the terms and conditions of this Agreement, during the Draw Period, Bank shall make
advances (each, an “Equipment Advance” and, collectively, “Equipment Advances”) not exceeding the Equipment Line. Equipment Advances may only be used to finance Eligible Equipment purchased within ninety
(90) days (determined based upon the applicable invoice date of such Eligible Equipment) before the date of each Equipment Advance. Notwithstanding the foregoing, the initial Equipment Advance (the “Initial Equipment Advance”)
must be requested within thirty (30) days after the 2009 Closing Date, and may be used to reimburse Borrower for Eligible Equipment purchased on or after January 1, 2009. All Eligible Equipment must have been new when purchased by
Borrower, except for such Eligible Equipment that is disclosed in writing to Bank by Borrower, and that Bank in its sole discretion has agreed to finance, prior to being financed by Bank. No Equipment Advance may exceed one hundred percent
(100%) of the total invoice for Eligible Equipment (excluding taxes, shipping, warranty charges, freight discounts and installation expenses relating to such Eligible Equipment except to the extent such are allowed to be financed pursuant
hereto as Other Equipment). Unless otherwise agreed to by Bank, not more than twenty-five percent (25%) of the proceeds of the Equipment Line shall be used to finance Other Equipment. Borrower may only request four (4) Equipment Advances
hereunder. After repayment, no Equipment Advance may be reborrowed. 
 (b) Repayment. Each Equipment
Advance shall immediately amortize and be payable in (i) thirty-six (36) equal payments of principal, plus (ii) accrued interest thereon at the rate set forth in Section 2.3(a), beginning on

 
the first Payment Date following such Equipment Advance and continuing on the Payment Date of each month thereafter. Notwithstanding the foregoing, all unpaid principal and interest on each
Equipment Advance shall be due on the applicable Equipment Maturity Date. 
 (c) Prepayment Upon an Event of
Loss. Borrower shall bear the risk of any loss, theft, destruction, or damage of or to the Financed Equipment. If, during the term of this Agreement, any item of Financed Equipment becomes obsolete or is lost, stolen, destroyed, damaged beyond
repair, rendered permanently unfit for use, or seized by a governmental authority for any reason for a period ending beyond the Equipment Maturity Date with respect to such Financed Equipment (an “Event of Loss”), then, within ten
(10) days following such Event of Loss, Borrower shall (i) pay to Bank on account of the Obligations all accrued, unpaid interest to the date of the prepayment, plus all outstanding principal owing with respect to the Financed Equipment
subject to the Event of Loss; or (ii) if no Event of Default has occurred and is continuing, at Borrower’s option, repair or replace any Financed Equipment subject to an Event of Loss provided the repaired or replaced Financed Equipment is of
equal or like value to the Financed Equipment subject to an Event of Loss and provided further that Bank has a first priority perfected security interest in such repaired or replaced Financed Equipment. Any partial prepayment of an Equipment Advance
paid by Borrower on account of an Event of Loss shall be applied to prepay amounts owing for such Equipment Advance in inverse order of maturity.” 
  

	 	3	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.3(a) thereof: 

“ (a) Interest Rate. Subject to Section 2.3(b), the principal amount outstanding under the Revolving Line shall accrue
interest at a floating per annum rate equal to the greater of: (i) seven percent (7.0%), and (ii) one and one-quarter of one percentage point (1.25%) above the Prime Rate, which interest shall be payable monthly in accordance with
Section 2.3(f) below.” 
 and inserting in lieu thereof the following: 

“(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the Revolving Line shall
accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, and (ii) the principal amount of each Equipment
Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.” 

 

	 	4	The Loan Agreement shall be amended by deleting the following text appearing in Section 3.4 thereof: 

“3.4 Procedures for Borrowing. Subject to the prior satisfaction of all other applicable conditions to the making of an
Advance set forth in this Agreement, to obtain an Advance (other than Advances under Sections 2.1.2 or 2.1.4), Borrower shall notify Bank (which notice shall be irrevocable) by electronic mail, facsimile, or telephone by 3:00 P.M. Eastern time on
the Funding Date of the Advance. Together with any such electronic or facsimile notification, Borrower shall deliver to Bank by electronic mail or facsimile a completed Payment/Advance Form executed by a Responsible Officer or his or

 
her designee. Bank may rely on any telephone notice given by a person whom Bank reasonably believes is a Responsible Officer or designee. Bank shall credit Advances to the Designated Deposit
Account. Bank may make Advances under this Agreement based on instructions from a Responsible Officer or his or her designee or without instructions if the Advances are necessary to meet Obligations which have become due.” 

and inserting in lieu thereof the following: 
 “3.4 Procedures for Borrowing 
 (a) Advances.
Subject to the prior satisfaction of all other applicable conditions to the making of an Advance set forth in this Agreement, to obtain an Advance (other than Advances under Sections 2.1.2 or 2.1.4), Borrower shall notify Bank (which notice shall be
irrevocable) by electronic mail, facsimile, or telephone by 3:00 P.M. Eastern time on the Funding Date of the Advance. Together with any such electronic or facsimile notification, Borrower shall deliver to Bank by electronic mail or facsimile a
completed Payment/Advance Form executed by a Responsible Officer or his or her designee. Bank may rely on any telephone notice given by a person whom Bank reasonably believes is a Responsible Officer or designee. Bank shall credit Advances to the
Designated Deposit Account. Bank may make Advances under this Agreement based on instructions from a Responsible Officer or his or her designee or without instructions if the Advances are necessary to meet Obligations which have become due.

 (b) Equipment Advances. Subject to the prior satisfaction of all other applicable conditions to the
making of an Equipment Advance set forth in this Agreement, to obtain an Equipment Advance, Borrower must notify Bank (which notice shall be irrevocable) by electronic mail or facsimile no later than 12:00 p.m. Eastern time one (1) Business Day
before the proposed Funding Date. The notice shall be a Payment/Advance Form, must be signed by a Responsible Officer or designee, and shall include a copy of the invoice for the Equipment being financed. If Borrower satisfies the conditions of each
Equipment Advance, Bank shall disburse such Equipment Advance by transfer to the Designated Deposit Account.” 
  

	 	5	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(a)(vi) thereof: 

“(vi) annually, or more frequently as updated, Board-approved projections and any subsequent amendments thereto
within ten (10) days of Board approval;” 
 and inserting in lieu thereof the following: 

“(vi) annually, or more frequently as updated, Board-approved projections and any subsequent amendments thereto
within ten (10) days of Board approval. Notwithstanding the foregoing, Borrower shall deliver to Bank on or before the earlier of (A) March 15 of each calendar year (commencing with March 15, 2010), and (B) within ten
(10) days of Board approval, Borrower’s Board approved revenue forecasts and projections for such year, and any amendments thereto (the “FYE Forecast”).” 

	 	6	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(b) thereof: 

“(b) Within thirty (30) days after the last day of each month in which Credit Extensions in an amount greater
than $1,250,000 were outstanding, deliver to Bank a duly completed Borrowing Base Certificate signed by a Responsible Officer, with aged listings of accounts receivable (by invoice date).” 

and inserting in lieu thereof the following: 
 “(b) Within thirty (30) days after the last day of each month in which Advances were outstanding, deliver to Bank a duly completed Borrowing Base Certificate signed by a Responsible
Officer.” 
  

	 	7	The Loan Agreement shall be amended by adding the following text appearing immediately after Section 6.2(d) thereof: 

“(e) At any time during which Borrower may make Advance requests under the Revolving Line, within thirty
(30) days after the last day of each month, deliver to Bank (i) aged listings of accounts receivable and accounts payable (by invoice date), and (ii) a report of Borrower’s Deferred Revenue.” 

 

	 	8	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.7 thereof: 

“6.7 Financial Covenants. 

Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 

(a) Quick Ratio. Commencing as of the month ending [May 31], 2008, as of the last day of each month thereafter, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.50 to 1.0 (with the exception of the months ending September 30, 2008, October 31, 2008, and November 30, 2008, which shall be at least 1.20 to
1.0).” 
 and inserting in lieu thereof the following: 

“6.7 Financial Covenants. 

Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 

(a) Quick Ratio. Commencing with (i) the quarter ending June 30, 2009, and each quarter thereafter, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.00 to 1.0, tested as of the last day of each quarter, and (ii) the month ending June 30, 2009, and each month thereafter (other than the last month of each
calendar quarter), a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 0.85 to 1.0. 
 (b) Minimum Revenue. Commencing with the quarter ending June 30, 2009, and as of the last day of each quarter thereafter, minimum 

 
revenue (as defined under GAAP) of at least: (i) Three Million Three Hundred Ninety Thousand Dollars ($3,390,000), for the quarter ending June 30, 2009, (ii) Four Million One
Hundred Seventy Thousand ($4,170,000), for the quarter ending September 30, 2009, (iii) Six Million Four Hundred Ninety Thousand Dollars ($6,490,000), for the quarter ending December 31, 2009, and (iv) with respect to the quarter
ending March 31, 2010 and each quarter thereafter, the greater of (x) Six Million Dollars ($6,000,000), and (y) eighty-five percent (85%) of the FYE Forecast.” 

 

	 	9	The Loan Agreement shall be amended by deleting the following text appearing in Section 7.2(c)(i) thereof: 

“(c) (i) have a change in senior management such that any one (1) out of the three (3) Key Persons
resigns, is terminated, or is not longer actively involved in the management of the Borrower in his current position and a replacement reasonably satisfactory to Bank for such Key Person is not made within ninety (90) days after departure from
Borrower:” 
 and inserting in lieu thereof the following: 

“(c) (i) have a change in senior management such that any two (2) out of the three (3) Key Persons resign,
are terminated, or are not longer actively involved in the management of the Borrower in their current positions and replacements reasonably satisfactory to Bank for such Key Persons are not made within ninety (90) days after departure from
Borrower;” 
  

	 	10	The Loan Agreement shall be amended by deleting the following definitions appearing in Section 13.1 thereof: 

““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash Management
Services, Bridge Loan Advance, or any other extension of credit by Bank for Borrower’s benefit.” 
 ““Key
Persons” means Borrower’s Chief Executive Officer (who is John Pearce, as of the Effective Date), Executive Chairman (who is Stephan Schambach as of the Effective Date), and President of Worldwide Sales (who is Jeff Barnett as of the
Effective Date).” 
 ““Maturity Date” is, the Revolving Line Maturity Date.” 

and inserting in lieu thereof the following: 
 ““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash Management Services, Equipment Advance, or any other extension of credit by Bank
for Borrower’s benefit.” 
 ““Key Persons” means Borrower’s Chief Executive Officer (who is
John Pearce, as of the 2009 Closing Date), Executive Chairman (who is Stephan Schambach as of the 2009 Closing Date), and Chief Financial Officer (who is Scott Dussault as of the 2009 Closing Date).” 

““Maturity Date” is, the Revolving Line Maturity Date or the Equipment Maturity Date.” 

	 	11	The Loan Agreement shall be amended by inserting the following definitions alphabetically in Section 13.1 thereof: 

““2009 Closing Date” is June 26, 2009.” 

““Draw Period” is the period of time from the Effective Date through the earlier to occur of
(a) December 31, 2009, or (b) an Event of Default.” 
 ““Eligible
Equipment” is the following to the extent it complies with all of Borrower’s representations and warranties to Bank, is acceptable to Bank in all respects, is located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 or such other location as
Borrower shall advise Bank of in writing pursuant to this Agreement, and is subject to a first priority Lien in favor of Bank: (a) general purpose equipment, and (b) Other Equipment.” 

““Equipment Advance” or “Equipment Advances” is defined in Section 2.1.5(a).”

 ““Equipment Line” is an Equipment Advance or Equipment Advances in an aggregate amount of up to Two
Million Dollars ($2,000,000).” 
 ““Equipment Maturity Date” is, for each Equipment Advance, the date
which is thirty-five (35) months after the initial Payment Date with respect to such Equipment Advance.” 

“Event of Loss” is defined in Section 2.1.5(c).” 

“ “Financed Equipment” is all present and future Eligible Equipment in which Borrower has any interest which is
financed by an Equipment Advance.” 
 ““FYE Forecast” is defined in Section 6.2
(a).” 
 ““Initial Equipment Advance” is defined in Section 2.1.5(a).” 

““Other Equipment” is computer software and soft costs approved by Bank, including taxes, shipping, warranty
charges, freight discounts and installation expenses.” 
  

	 	12	The Compliance Certificate appearing as Exhibit D to the Loan Agreement is hereby replaced with the Compliance Certificate attached as Exhibit A hereto.

  

	 	B.	Waivers. 

  

	 	1	Bank hereby waives Borrower’s existing defaults under the Loan Agreement by virtue of Borrower’s failure to comply with the financial covenant set forth in
Section 6.7(a) thereof for each month from October 31, 2008 to March 31, 2009. Bank’s waiver of Borrower’s compliance of said affirmative covenant shall apply only to the foregoing specific periods. 

3. FEES. Borrower shall pay to Bank a commitment fee equal to Twenty Thousand Dollars ($20,000), which fee shall be due on the date hereof and
shall be deemed fully earned as of the date hereof. Borrower shall also reimburse Bank for all legal fees and expenses incurred in connection with this Amendment. 
 4. CONSISTENT CHANGES. The Loan Documents are hereby amended wherever necessary to reflect the changes described above. 

 5. RATIFICATION OF LOAN DOCUMENTS. Borrower hereby ratifies, confirms, and reaffirms all terms and
conditions of all security or other collateral granted to the Bank, and confirms that the indebtedness secured thereby includes, without limitation, the Obligations. 
 6. NO DEFENSES OF BORROWER. Borrower hereby acknowledges and agrees that Borrower has no offsets, defenses, claims, or counterclaims against Bank with respect to the Obligations, or otherwise, and
that if Borrower now has, or ever did have, any offsets, defenses, claims, or counterclaims against Bank, whether known or unknown, at law or in equity, all of them are hereby expressly WAIVED and Borrower hereby RELEASES Bank from any liability
thereunder. 
 7. CONTINUING VALIDITY. Borrower understands and agrees that in modifying the existing Obligations, Bank is relying upon
Borrower’s representations, warranties, and agreements, as set forth in the Loan Agreement and the other Loan Documents. Except as expressly modified pursuant to this Amendment, the terms of the Loan Agreement and the other Loan Documents
remain unchanged and in full force and effect. Bank’s agreement to modifications to the existing Obligations pursuant to this Amendment in no way shall obligate Bank to make any future modifications to the Obligations. Nothing in this Amendment
shall constitute a satisfaction of the Obligations. It is the intention of Bank and Borrower to retain as liable parties all makers of the Loan Agreement and the other Loan Documents, unless the party is expressly released by Bank in writing. No
maker will be released by virtue of this Amendment. 
 8. CONF1DENTIALITY. Bank may use confidential information for the development of
databases, reporting purposes, and market analysis, so long as such confidential information is aggregated and anonymized prior to distribution unless otherwise expressly permitted by Borrower. The provisions of the immediately preceding sentence
shall survive the termination of the Loan Agreement. 
 9. COUNTERSIGNATURE. This Amendment shall become effective only when it shall
have been executed by Borrower and Bank. 
 [The remainder of this page is intentionally left blank] 

 This Amendment is executed as a sealed instrument under the laws of the Commonwealth of
Massachusetts as of the date first written above. 
  

									
	BORROWER:	 		 	BANK:
			
	DEMANDWARE lNC.	 		 	SILICON VALLEY BANK
					
	By:	 	/s/ Scott J. Dussault	 		 	By:	 	Jane A. Braun
					
	Name:	 	Scott J. Dussault	 		 	Name:	 	Jane A. Braun
					
	Title:	 	Chief Financial Officer	 		 	Title:	 	S.V.P.

 The undersigned, Demandware Securities Corp., ratifies, confirms and reaffirms, all and singular, the
terms and conditions of a (i) certain Unconditional Guaranty dated July 18, 2008 (the “Guaranty”), and (ii) certain Security Agreement dated July 18, 2008 (the “Security Agreement”), and acknowledges, confirms
and agrees that each of the Guaranty and the Security Agreement shall remain in full force and effect and shall in no way be limited by the execution of this Amendment, or any other documents, instruments and/or agreements executed and/or delivered
in connection herewith. 
  

			
	DEMANDWARE SECURITIES CORP.
		
	By:	 	/s/ Dean J. Breda
	Name:	 	Dean J. Breda
	Title:	 	Asst. Secretary

 EXHIBIT A  

EXHIBIT D - COMPLIANCE CERTIFICATE 
  

					
	TO:	  	SILICON VALLEY BANK	  	Date:________________________
	FROM:	  	DEMANDWARE, INC.	  	

 The undersigned authorized officer of Demand ware. Inc. (“Borrower”) certifies in such capacity that under the
terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”), (1) Borrower is in complete compliance for the period ending
                         with all required covenants except as noted below, (2) there are no Events of Default,
(3) all representations and warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and
warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material
respects as of such date, (4) Borrower, and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed
by Borrower except as otherwise permitted pursuant to the terms of Section 5.9 of the Agreement, and (5) no Liens have been levied or claims made against Borrower or any of its Subsidiaries relating to unpaid employee payroll or benefits
of which Borrower has not previously provided written notification to Bank. Attached are the required documents supporting the certification. The undersigned certifies, in the capacity as an authorized officer of the Borrower, that these are
prepared in accordance with GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges, in the capacity as an authorized officer of the Borrower, that no borrowings
may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not
otherwise defined herein shall have the meanings given them in the Agreement. 
 Please indicate compliance status by circling Yes/No under
“Complies” column. 
  

					
	Reporting Covenant	  	Required	  	Complies
	Monthly financial statements with Compliance Certificate	  	Monthly within 30 days	  	Yes     No
	 	 	 
	Annual financial statement (CPA Audited)	  	FYE within 210 days	  	Yes     No
	 	 	 
	Borrowing Base Certificate	  	Monthly within 30 days (in which Credit Extensions are made under the Revolving Line)	  	Yes     No
	 	 	 
	FYE Forecast and amendments thereto	  	Annually, on or before the earlier of March 15, and 10 days of Board Approval	  	Yes     No
	 	 	 
	A/R Agings, A/P Agings, and Deferred Revenue Report	  	At any time during which Borrower may make Advance requests under the Revolving Line, monthly within 30 days	  	Yes     No

  

											
	Financial Covenant	  	Required	 	 	Actual	 	  	Complies
	 Maintain on a monthly
basis:
	  	 	 	 	 	 	 	 	  	 
	 Minimum Adjusted Quick
Ratio
	  	 	0.85:1.0	  	 	 	      :1.0	  	  	Yes     No
	 Maintain on a quarterly
basis:
	  	 	 	 	 	 	 	 	  	 
	 Minimum Adjusted Quick
Ratio
	  	 	1.0:1.0	  	 	 	      :1.0	  	  	Yes     No
	 Minimum Revenue
	  	$	            	* 	 	$	            	  	  	Yes     No

  

	*	See Section 6.7(b) of the Agreement 

 The following financial covenant analysis and information set forth in Schedule I attached
hereto are true and accurate as of the date of this Certificate. 
 The following are the exceptions with respect to the
certification above: (If no exceptions exist, state “No exceptions to note.”) 

_____________________________________________________________________________________________________

_____________________________________________________________________________________________________ 

_____________________________________________________________________________________________________ 

 

									
	DEMANDWARE, INC	 		 	BANK USE ONLY
					
	By:	 	 	 		 	Received by:	 	 
	Name:	 	 	 		 		 	AUTHORIZED SIGNER
	Title:	 	 	 		 	Date:	 	 
					
		 		 		 	Verified:	 	 
		 		 		 		 	AUTHORIZED SIGNER
					
		 		 		 	Date:	 	 
		 		 		 		 	
		 		 		 	Compliance Status:    Yes     No

 Schedule 1 to Compliance Certificate 

Financial Covenants of Borrower 
 In the event of a conflict between this Schedule and the Loan Agreement, the terms of the Loan Agreement shall govern. 
 Dated: __________________ 
  

	I.	Adjusted Quick Ratio (Section 6.7(a)) 

  

			
	Required:	  	0.85:1.0 (monthly)
		  	1.0:1.0 (quarterly)
	Actual:	  	

  

					
	A.	  	Aggregate value of the unrestricted cash of Borrower at Bank	  	$____
	 		 
	B.	  	Aggregate value of the net billed accounts receivable of Borrower	  	 
	 		 
	C.	  	Quick Assets (the sum of lines A and B)	  	 
	 		 
	D.	  	Aggregate value of Obligations lo Bank	  	 
	 		 
	E.	  	Aggregate value of liabilities of Borrower (including all Indebtedness) that matures within one (l) year	  	 
	 		 
	F.	  	Current Liabilities (the sum of lines D and E)	  	 
	 		 
	G.	  	Aggregate value of all amounts received or invoiced by Borrower in advance of performance under contracts and not yet recognized as
revenue	  	$___
	 		 
	H.	  	Line F minus G	  	$___
	 		 
	I.	  	Adjusted Quick Ratio (line C divided by line H)	  	____

 Is Line I equal to or greater than [0.85:1.0 (monthly)] [1.0:1.0 (quarterly)] to 1.0 

 

							
	______ No. not in compliance	  	______Yes, in compliance

  

	II.	Minimum Revenue (Section 6.7(b) 

			
	Required:	  	

 See chart below: 
  

			
	
Quarter
 Ended
	  	 Minimum Revenue

	June 30, 2009	  	$3,390,000
	September 30, 2009	  	$4,170,000
	December 31, 2009	  	$6,490,000
	Each quarter end thereafter	  	the greater of (x) Six Million Dollars ($6,000,000), and (y) eighty-five percent (85%)
of the FYE Forecast

 Actual: minimum revenues (as defined under GAAP) $______________________________________ 

 

							
	______ No. not in compliance	  	______ Yes, in compliance

 

 
 ASSISTANT SECRETARY’S CORPORATE BORROWING CERTIFICATE 

 

											
	BORROWER:	  	Demandware, Inc.	  	 	DATE:	  	  	 	6/26/09	  
	BANK:	  	Silicon Valley Bank	  				  			

 I hereby certify as follows, as of the date set forth above: 

1. I am the Assistant Secretary of the Borrower. 
 2. Borrower’s exact legal name is set forth above. Borrower is a corporation duly organized, existing and in good standing under the laws of the State of Delaware. 

3. Attached as Exhibit A hereto is a true, correct and complete copy of Borrower’s Certificate of Incorporation (including amendments), as
filed with the Secretary of State of the state in which Borrower is incorporated as set forth in paragraph 2 above. Such Certificate of Incorporation has not been amended, annulled, rescinded, revoked or supplemented, and remains in full force and
effect as of the date hereof. 
 4. Borrower’s By-Laws (including amendments) previously delivered to Bank on June 30, 2008 have not
been amended, annulled, rescinded, revoked or supplemented, and remain in full force and effect as of the date hereof. 
 5. The persons named
below are now and have been duly qualified and acting officers of Borrower, duly elected to the office as set forth opposite their respective names and the signatures set forth opposite their respective names and offices are their respective genuine
signatures: 
  

					
	 Name
	  	 Title
	  	 Signature

			
	 John Pearce
	  	Chief Executive Officer and President	  	 /s/ John Pearce

			
	Stephan Schambach	  	Secretary	  	 /s/ Stephan Schambach

			
	Scott J. Dussault	  	Chief Financial Officer and Assistant Secretary	  	 /s/ Scott J. Dussault

 6. The following resolutions were duly and validly adopted by Borrower’s Board of Directors at a duly held meeting
of such directors (or pursuant to a unanimous written consent or other authorized corporate action). Such resolutions are in full force and effect as of the date hereof and have not been in any way modified, repealed, rescinded, amended or revoked,
and Bank may rely on them until Bank receives written notice of revocation of same from Borrower. 
 BE IT RESOLVED, that
any one (1) of the above named officers or employees of Borrower, acting for and on behalf of Borrower, are authorized and empowered: 
 Borrow Money. To borrow from time to time from Silicon Valley Bank (“Bank”), on such terms as may be agreed upon between the officers of Borrower and Bank, such sum or sums of money as in
their judgment should be borrowed. 

  
 -1-

 Execute Loan Documents. To execute and deliver to Bank the loan documents of Borrower
at such rates of interest and on such terms as may be agreed upon, evidencing the sums of money so borrowed or any indebtedness of Borrower to Bank, and also to execute and deliver to Bank one or more renewals, extensions, modifications,
refinancings, consolidations, or substitutions for one or more of the loan documents, or any portion of the loan documents. 

Grant Security. To grant a security interest to Bank in any of Borrower’s assets, which security interest shall secure all of
Borrower’s obligations to Bank 
 Negotiate Items. To draw, endorse, and discount with Bank all drafts, trade
acceptances, promissory notes, or other evidences of indebtedness payable to or belonging to Borrower or in which Borrower may have an interest, and either to receive cash for the same or to cause such proceeds to be credited to the account of
Borrower with Bank, or to cause such other disposition of the proceeds derived therefrom as they may deem advisable. 

Letters of Credit. To execute letter of credit applications and other related documents pertaining to Bank’s issuance of
letters of credit. 
 Foreign Exchange Contracts. To execute and deliver foreign exchange contracts, either spot or
forward, from time to time, in such amount as, in the judgment of the officer or officers herein authorized. 
 Issue
Warrants. To issue warrants to purchase Borrower’s capital stock, for such class, series and number, and on such terms, as an officer of Borrower shall deem appropriate. Upon such issuance the requisite number of shares of Borrower’s
capital stock will be automatically reserved for the exercise of such Warrants. 
 Further Acts. In the case of lines of
credit, to designate additional or alternate individuals as being authorized to request advances thereunder, and in all cases, to do and perform such other acts and things, to pay any and all fees and costs, and to execute and deliver such other
documents and agreements, including agreements waiving the right to a trial by jury, as they may in their discretion deem reasonably necessary or proper in order to carry into effect the provisions of these Resolutions. 

BE IT FURTHER RESOLVED, that any and all acts authorized pursuant to these resolutions and performed prior to the passage of these
resolutions are hereby ratified and approved, that these resolutions shall remain in full force and effect and Bank may rely on these resolutions until written notice of their revocation shall have been delivered to and received by Bank. Any such
notice shall not affect any of Borrower’s agreements or commitments in effect at the time notice is given. 

  
 -2-

 IN WITNESS WHEREOF, I have executed this Certificate on behalf of
Borrower in my capacity as Secretary as of the 26th day of
June, 2009. 
  

			
	CERTIFIED TO AND ATTESTED BY:
		
	By:	 	/s/ Scott J. Dussault
		 	Scott J. Dussault, Assistant Secretary

 *** If the Secretary, Assistant Secretary or other certifying officer executing above is designated
by the resolutions set forth in paragraph 5 as one of the authorized signing officers, this Certificate must also be signed by a second authorized officer or director of Borrower. 

I, the Chief Executive Officer of Borrower, hereby certify as to paragraphs 1 through 6 above, as of the date set forth above, as of the
date set forth above. 
  

			
	By:	 	/s/ John Pearce
		 	John Pearce, Chief Executive Officer

  
 -3-

 EXHIBIT A 
 See Attached Fifth Amended and Restated Certificate of Incorporation 

  
 -4-

 THIRD AMENDMENT TO LOAN AGREEMENT 

This Third Amendment to Loan Agreement (this “Amendment”) is entered into as of March 2, 2010, by and
between SILICON VALLEY BANK, a California corporation, with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 and with a loan production office located at One Newton Executive Park, Suite 200, 2221 Washington
Street, Newton, Massachusetts 02462 (“Bank”) and DEMANDWARE, INC., a Delaware corporation with its chief executive office located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 (“Borrower”). 
 1. DESCRIPTION OF EXISTING INDEBTEDNESS AND OBLIGATIONS. Borrower is indebted to Bank pursuant to a certain Loan and Security Agreement dated as of July 18, 2008, between Borrower and Bank, as
amended by that certain Consent and First Amendment to Loan Agreement between Borrower and Bank dated December 23, 2008, and as further amended by that certain Second Amendment to Loan Agreement between Borrower and Bank dated as of June 26,
2009 (as amended, the “Loan Agreement”). The parties desire to amend the Loan Agreement as set forth herein. Capitalized terms used but not otherwise defined herein shall have the same meaning as in the Loan Agreement. 

2. DESCRIPTION OF CHANGE IN TERMS. 
  

	 	A.	Modifications to Loan Agreement 

  

	 	1	The Loan Agreement shall be amended by deleting the following text appearing in Section 7.2(c)(i) thereof: 

“(c) (i) have a change in senior management such that any two (2) out of the three (3) Key Persons
resign, are terminated, or are not longer actively involved in the management of the Borrower in their current positions and replacements reasonably satisfactory to Bank for such Key Persons are not made within ninety (90) days after departure from
Borrower:” 
 and inserting in lieu thereof the following: 

“(c) (i) have a change in senior management such that both Key Persons resign, are terminated, or are no longer
actively involved in the management of the Borrower in their current positions and replacements reasonably satisfactory to Bank for such Key Persons are not made within ninety (90) days after departure from Borrower.” 

 

	 	2	The Loan Agreement shall be amended by deleting the following definition appearing in Section 13.1 thereof. 

“ “Key Persons” means Borrower’s Chief Executive Officer (who is John Pearce, as of the 2009
Closing Date). Executive Chairman (who is Stephan Schambach as of the 2009 Closing Date), and Chief Financial Officer (who is Scott Dussault as of the 2009 Closing Date)” 

and inserting in lieu thereof the following. 

“ “Key Persons” means Borrower’s Chief Executive Officer (who is Tom Ebling as of the 2010
Closing Date) and Chief Financial Officer (who is Scott Dussault as of the 2010 Closing Date).” 

	 	3	The Loan Agreement shall be amended by inserting the following definition to appear alphabetically in Section 13. 1 thereof:  

“ “2010 Closing Date” is March 2, 2010” 

3. FEES. Borrower shall reimburse Bank for all legal fees and expenses incurred in connection with this Amendment. 

4. CONSISTENT CHANGES. The Loan Documents are hereby amended wherever necessary to reflect the changes described above. 

5 RATIFICATION OF LOAN DOCUMENTS. Borrower hereby ratifies, confirms, and reaffirms all terms and conditions of all security or other collateral
granted to the Bank, and confirms that the indebtedness secured thereby includes, without limitation, the Obligations. 
 6. NO DEFENSES OF
BORROWER. Borrower hereby acknowledges and agrees that Borrower has no offsets, defenses, claims, or counterclaims against Bank with respect to the Obligations, or otherwise, and that if Borrower now has, or ever did have, any offsets, defenses,
claims, or counterclaims against Bank, whether known or unknown, at law or in equity, all of them are hereby expressly WAIVED and Borrower hereby RELEASES Bank from any liability thereunder. 
 7. CONTINUING VALIDITY. Borrower understands and agrees that in modifying the existing Obligations, Bank is relying upon Borrower’s representations, warranties, and agreements, as set forth in
the Loan Agreement and the other Loan Documents. Except as expressly modified pursuant to this Amendment, the terms of the Loan Agreement and the other loan Documents remain unchanged and in full force and effect. Bank’s agreement to
modifications to the existing Obligations pursuant to this Amendment in no way shall obligate Bank to make any future modifications to the Obligations. Nothing in this Amendment shall constitute a satisfaction of the Obligations. It is the intention
of Bank and Borrower to retain as liable parties all makers of the Loan Agreement and the other Loan Documents, unless the party is expressly released by Bank in writing. No maker will be released by virtue of this Amendment. 

8 CONFIDENTIALITY. Bank may use confidential information for the development of databases, reporting purposes, and market analysis, so long as
such confidential information is aggregated and anonymized prior to distribution unless otherwise expressly permitted by Borrower. The provisions of the immediately preceding sentence shall survive the termination of the Loan Agreement. 

9 COUNTERSIGNATURE. This Amendment shall become effective only when it shall have been executed by Borrower and Bank. 

[The remainder of this page is intentionally left blank] 

 This Amendment is executed as a sealed instrument under the laws of the Common wealth of
Massachusetts as of the date first written above. 
  

									
	BORROWER:	 		 	BANK:
			
	DEMANDWARE, INC.	 		 	SILICON VALLEY BANK
					
	By:	 	 /s/ Scott J. Dussault
	 		 	By:	 	/s/ Jane A. Braun
	Name:	 	 Scott J. Dussault
	 		 	Name:	 	Jane A. Braun
	Title:	 	CFO	 		 	Title:	 	SVP

 The undersigned, Demandware Securities Corp., ratifies, confirms and reaffirms, all and singular, the
terms and conditions of a (i) certain Unconditional Guaranty dated July 18, 2008 (the “Guaranty”), and (ii) certain Security Agreement dated July 18, 2008 (the “Security Agreement”), and acknowledges, confirms
and agrees that each of the Guaranty and the Security Agreement shall remain in full force and effect and shall in no way be limited by the execution of this Amendment, or any other documents, instruments and or agreements executed and or delivered
in connection herewith. 
  

			
	DEMANDWARE SECURITIES CORP.
		
	By:	 	 /s/ Dean J. Breda

		
	Name:	 	 Dean J. Breda

		
	Title:	 	Vice President

 FOURTH AMENDMENT TO LOAN AGREEMENT 

This Fourth Amendment to Loan Agreement (this “Amendment”) is entered into as of April 28, 2010, by
and between SILICON VALLEY BANK, a California corporation, with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 and with a loan production office located at One Newton Executive Park, Suite 200, 2221 Washington
Street, Newton, Massachusetts 02462 (“Bank”) and DEMANDWARE, INC., a Delaware corporation with its chief executive office located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 (“Borrower”). 
 1. DESCRIPTION OF EXISTING INDEBTEDNESS AND OBLIGATIONS. Borrower is indebted to Bank pursuant to a certain Loan and Security Agreement dated as of July 18, 2008, between Borrower and Bank, as
amended by that certain Consent and First Amendment to Loan Agreement between Borrower and Bank dated December 23, 2008, as amended by that certain Second Amendment to Loan Agreement between Borrower and Bank dated as of June 26, 2009, and
as further amended by that certain Third Amendment to Loan Agreement between Borrower and Bank dated as of March 2, 2010 (as amended, the “Loan Agreement”). The parties desire to amend the Loan Agreement as set forth herein.
Capitalized terms used but not otherwise defined herein shall have the same meaning as in the Loan Agreement. 
 2. DESCRIPTION OF CHANGE IN
TERMS. 
  

	 	A.	Modifications to Loan Agreement. 

  

	 	1	The Loan Agreement shall be amended by adding the following new Section 2.1.6 entitled “2010 Equipment Advances” appearing immediately after
Section 2.1.5 thereof: 

 “2.1.6 2010 Equipment Advances. 

(a) Availability. Subject to the terms and conditions of this Agreement, during the 2010 Equipment Line Draw
Period, Bank shall make advances (each, a “2010 Equipment Advance” and, collectively, “2010 Equipment Advances”) not exceeding the 2010 Equipment Line. 2010 Equipment Advances may only be used to finance Eligible
Equipment purchased within ninety (90) days (determined based upon the applicable invoice date of such Eligible Equipment) before the date of each 2010 Equipment Advance. Notwithstanding the foregoing, the initial 2010 Equipment Advance may be
used to reimburse Borrower for Eligible Equipment purchased on or after January 1, 2010. All Eligible Equipment must have been new when purchased by Borrower, except for such Eligible Equipment that is disclosed in writing to Bank by Borrower,
and that Bank in its sole discretion has agreed to finance, prior to being financed by Bank. No 2010 Equipment Advance may exceed one hundred percent (100%) of the total invoice for Eligible Equipment (excluding taxes, shipping, warranty
charges, freight discounts and installation expenses relating to such Eligible Equipment except to the extent such are allowed to be financed pursuant hereto as Other Equipment). Unless otherwise agreed to by Bank, not more than twenty-five percent
(25%) of the proceeds of the 2010 Equipment Line shall be used to finance Other Equipment. Borrower may only request four (4) 2010 Equipment Advances hereunder. After repayment, no 2010 Equipment Advance may be reborrowed. 

(b) Repayment. Each 2010 Equipment Advance shall immediately amortize and be payable in (i) thirty-six
(36) equal payments of principal, plus (ii) accrued interest thereon at the rate set forth in Section 2.3(a), beginning on the first Payment Date following such 2010 Equipment Advance and continuing on the Payment Date of each month
thereafter. Notwithstanding 

 
the foregoing, all unpaid principal and interest on each 2010 Equipment Advance shall be due on the applicable 2010 Equipment Maturity Date.” 

2 The Loan Agreement shall be amended by deleting the following text appearing in Section 2.3(a) thereof: 

“(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the
Revolving Line shall accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, and (ii) the principal amount
of each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.”

 and inserting in lieu thereof the following: 

“(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the
Revolving Line shall accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, (ii) the principal amount of
each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), and (iii) the principal amount of each 2010 Equipment Advance shall accrue interest at a fixed per annum rate
equal to seven and one quarter of one percentage points (7.25%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.” 
 3 The Loan Agreement shall be amended by adding the following new Section 3.4(c) appearing immediately after 3.4(b) thereof: 

“(c) 2010 Equipment Advances. Subject to the prior satisfaction of all other applicable conditions to the
making of a 2010 Equipment Advance set forth in this Agreement, to obtain a 2010 Equipment Advance, Borrower must notify Bank (which notice shall be irrevocable) by electronic mail or facsimile no later than 12:00 p.m. Eastern time one
(1) Business Day before the proposed Funding Date. The notice shall be a Payment/Advance Form, must be signed by a Responsible Officer or designee, and shall include a copy of the invoice for the Equipment being financed. If Borrower satisfies
the conditions of each 2010 Equipment Advance, Bank shall disburse such 2010 Equipment Advance by transfer to the Designated Deposit Account.” 
 4 The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(a)(vi) thereof: 
 “(vi) annually, or more frequently as updated, Board-approved projections and any subsequent amendments thereto within ten (10) days of Board approval. Notwithstanding the foregoing, Borrower
shall deliver to Bank on or before the earlier of (A) March 15 of each calendar year (commencing with March 15, 2010), and (B) within ten (10) days of Board approval, Borrower’s Board approved revenue forecasts and
projections for such year, and any amendments thereto (the “FYE Forecast”).” 

  
 2 

 
and inserting in lieu thereof the following: 
 “(vi)
annually, or more frequently as updated, Board-approved projections and any subsequent amendments thereto within ten (10) days of Board approval. Notwithstanding the foregoing, Borrower shall deliver to Bank on or before the earlier of
(A) March 15 of each calendar year (commencing with March 15, 2010), and (B) within ten (10) days of Board approval, Borrower’s Board approved revenue forecasts and projections for such year (broken down by each
quarter), and any amendments thereto (the “FYE Forecast”).” 
 5 The Loan Agreement shall be amended by deleting the
following text appearing in Section 6.7 thereof: 
 “6.7 Financial Covenants. 

Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 

(a) Quick Ratio. Commencing with (i) the quarter ending June 30, 2009, and each quarter thereafter, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.00 to 1.0, tested as of the last day of each quarter, and (ii) the month ending June 30, 2009, and each month thereafter (other than the last month of each
calendar quarter), a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 0.85 to 1.0. 
 (b) Minimum Revenue. Commencing with the quarter ending June 30, 2009, and as of the last day of each quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Three
Million Three Hundred Ninety Thousand Dollars ($3,390,000), for the quarter ending June 30, 2009, (ii) Four Million One Hundred Seventy Thousand Dollars ($4,170,000), for the quarter ending September 30, 2009, (iii) Six Million
Four Hundred Ninety Thousand Dollars ($6,490,000), for the quarter ending December 31, 2009, and (iv) with respect to the quarter ending March 31, 2010 and each quarter thereafter, the greater of (x) Six Million Dollars
($6,000,000), and (y) eighty-five percent (85%) of the FYE Forecast.” 
 and inserting in lieu thereof the
following: 
 “6.7 Financial Covenants. 

Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 

(a) Quick Ratio. Commencing with (i) the quarter ending June 30, 2009 and as of the last day of each
subsequent quarter through and including the quarter ended December 31, 2009, a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.00 to 1.0, tested as of the last day of each quarter, (ii) the month ending
June 30, 2009 and as of the last day of each subsequent month through and including the month ended February 28, 2010 (other than the last month of each calendar quarter), a ratio of

  
 3 

 
Quick Assets to Current Liabilities minus Deferred Revenue of at least 0.85 to 1.0, and (iii) the month ended March 31, 2010, and as of the last day of each subsequent month thereafter,
a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.25 to 1.0. 
 (b) Minimum
Revenue. Commencing with the quarter ended March 31, 2010, and as of the last day of each quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Four Million Eight Hundred Thousand Dollars ($4,800,000) for the
quarter ended March 31, 2010, (ii) Five Million Five Hundred Thousand Dollars ($5,500,000), for the quarter ending June 30, 2010, (iii) Six Million Three Hundred Thousand Dollars ($6,300,000), for the quarter ending
September 30, 2010, (iv) Eight Million Dollars ($8,000,000) for the quarter ending December 31, 2010, and (v) with respect to the quarter ending March 31, 2011 and as of the last day of each subsequent quarter thereafter,
the greater of (x) Eight Million Dollars ($8,000,000), and (y) eighty-five percent (85%) of the FYE Forecast for such quarter period.” 
 6 The Loan Agreement shall be amended by deleting the following definitions appearing in Section 13.1 thereof: 
 ““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash Management Services, Equipment Advance, or any other extension of credit by Bank
for Borrower’s benefit.” 
 ““Eligible Equipment” is the following to the
extent it complies with all of Borrower’s representations and warranties to Bank, is acceptable to Bank in all respects, is located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 or such other location as Borrower shall advise Bank of in writing pursuant to this
Agreement, and is subject to a first priority Lien in favor of Bank: (a) general purpose equipment, and (b) Other Equipment.” 
 ““Financed Equipment” is all present and future Eligible Equipment in which Borrower has any interest which is financed by an Equipment Advance.” 

““Maturity Date” is the Revolving Line Maturity Date or the Equipment Maturity Date.” 

and inserting in lieu thereof the following: 
 ““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash Management Services, Equipment Advance, 2010 Equipment Advance or any other
extension of credit by Bank for Borrower’s benefit.” 
 ““Eligible Equipment”
is the following to the extent it complies with all of Borrower’s representations and warranties to Bank, is acceptable to Bank in all respects, is located at 10 Presidential Way, 2nd Floor, Woburn, Massachusetts 01801 or such other locations as Borrower shall advise Bank of in writing pursuant to
this Agreement, and is subject to a first priority Lien in favor of Bank: (a) general purpose equipment, and (b) Other Equipment.” 

  
 4 

 “ “Financed Equipment” is all present and future Eligible Equipment in
which Borrower has any interest which is financed by an Equipment Advance and/or 2010 Equipment Advance.” 
 “
“Maturity Date” is the Revolving Line Maturity Date, the Equipment Maturity Date, or the 2010 Equipment Maturity Date.” 
 7
The Loan Agreement shall be amended by inserting the following definitions alphabetically in Section 13.1 thereof: 
 “
“2010 Effective Date” is April 28, 2010.” 
 “ “2010 Equipment Line Draw Period”
is the period of time from the 2010 Effective Date through the earlier to occur of (a) December 31, 2010, or (b) an Event of Default.” 
 “ “2010 Equipment Advance” or “2010 Equipment Advances” is defined in Section 2.1.6(a).” 

“ “2010 Equipment Line” is a 2010 Equipment Advance or 2010 Equipment Advances in an aggregate amount of up to Four
Million Dollars ($4,000,000).” 
 “ “2010 Equipment Maturity Date” is for each 2010 Equipment Advance,
the date which is thirty-five (35) months after the initial Payment Date with respect to such 2010 Equipment Advance.” 
 8 The
Compliance Certificate appearing as Exhibit D to the Loan Agreement is hereby replaced with the Compliance Certificate attached as Exhibit A hereto. 
 3. FEES. Borrower shall pay to Bank a commitment fee equal to Thirty Thousand Dollars ($30,000), which fee shall be due on the date hereof and shall be deemed fully earned as of the date hereof.
Borrower shall also reimburse Bank for all legal fees and expenses incurred in connection with this Amendment. 
 4. CONSISTENT CHANGES.
The Loan Documents are hereby amended wherever necessary to reflect the changes described above. 
 5. RATIFICATION OF LOAN DOCUMENTS.
Borrower hereby ratifies, confirms, and reaffirms all terms and conditions of all security or other collateral granted to the Bank, and confirms that the indebtedness secured thereby includes, without limitation, the Obligations. 

6. NO DEFENSES OF BORROWER. Borrower hereby acknowledges and agrees that Borrower has no offsets, defenses, claims, or counterclaims against Bank
with respect to the Obligations, or otherwise, and that if Borrower now has, or ever did have, any offsets, defenses, claims, or counterclaims against Bank, whether known or unknown, at law or in equity, all of them are hereby expressly WAIVED and
Borrower hereby RELEASES Bank from any liability thereunder. 
 7. CONTINUING VALIDITY. Borrower understands and agrees that in modifying
the existing Obligations, Bank is relying upon Borrower’s representations, warranties, and agreements, as set forth in the Loan Agreement and the other Loan Documents. Except as expressly modified pursuant to this Amendment, the terms of the
Loan Agreement and the other Loan Documents remain unchanged and in full force and effect. Bank’s agreement to modifications to the existing Obligations pursuant to this Amendment in no way shall obligate Bank to make any

  
 5 

 
future modifications to the Obligations. Nothing in this Amendment shall constitute a satisfaction of the Obligations. It is the intention of Bank and Borrower to retain as liable parties all
makers of the Loan Agreement and the other Loan Documents, unless the party is expressly released by Bank in writing. No maker will be released by virtue of this Amendment. 
 8. CONFIDENTIALITY. Bank may use confidential information for the development of databases, reporting purposes, and market analysis, so long as such confidential information is aggregated and
anonymized prior to distribution unless otherwise expressly permitted by Borrower. The provisions of the immediately preceding sentence shall survive the termination of the Loan Agreement. 
 9. COUNTERSIGNATURE. This Amendment shall become effective only when it shall have been executed by Borrower and Bank. 
 [The remainder of this page is intentionally left blank] 

  
 6 

 This Amendment is executed as a sealed instrument under the laws of the Commonwealth of
Massachusetts as of the date first written above. 
  

									
	BORROWER:	 		 	BANK:
			
	DEMANDWARE, INC.	 		 	SILICON VALLEY BANK
					
	By:	 	/s/ Scott J. Dussault	 		 	By:	 	/s/ Jane A. Braun
	Name:	 	Scott J. Dussault	 		 	Name:	 	Jane A. Braun
	Title:	 	CFO	 		 	Title:	 	Senior Vice President

 The undersigned, Demandware Securities Corp., ratifies, confirms and reaffirms, all and singular, the
terms and conditions of a (i) certain Unconditional Guaranty dated July 18, 2008 (the “Guaranty”), and (ii) certain Security Agreement dated July 18, 2008 (the “Security Agreement”), and acknowledges, confirms
and agrees that each of the Guaranty and the Security Agreement shall remain in full force and effect and shall in no way be limited by the execution of this Amendment, or any other documents, instruments and/or agreements executed and/or delivered
in connection herewith. 
  

			
	DEMANDWARE SECURITIES CORP.
		
	By:	 	/s/ Dean J. Breda
	Name:	 	Dean J. Breda
	Title:	 	Vice President

 EXHIBIT A  

EXHIBIT D - COMPLIANCE CERTIFICATE 
  

							
	TO:	 	SILICON VALLEY BANK	  	Date:  	  	  
	FROM:	 	DEMANDWARE, INC.	  		  	

 The undersigned authorized officer of Demandware, Inc. (“Borrower”) certifies in such capacity that under the
terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”), (1) Borrower is in complete compliance for the period ending
                     with all required covenants except as noted below, (2) there are no Events of Default, (3) all representations
and warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are
qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date,
(4) Borrower, and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower except as
otherwise permitted pursuant to the terms of Section 5.9 of the Agreement, and (5) no Liens have been levied or claims made against Borrower or any of its Subsidiaries relating to unpaid employee payroll or benefits of which Borrower has
not previously provided written notification to Bank. Attached are the required documents supporting the certification. The undersigned certifies, in the capacity as an authorized officer of the Borrower, that these are prepared in accordance with
GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges, in the capacity as an authorized officer of the Borrower, that no borrowings may be requested at any time
or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not otherwise defined herein shall
have the meanings given them in the Agreement.  
 Please indicate compliance status by circling Yes/No under “Complies”
column. 
  

					
	Reporting Covenant	 	Required	 	Complies
	 	 	 
	Monthly financial statements with Compliance
Certificate	 	Monthly within 30 days	 	Yes    No
	 	 	 
	Annual financial statement (CPA Audited)	 	FYE within 210 days	 	Yes    No
	 	 	 
	Borrowing Base Certificate	 	Monthly within 30 days (in which Credit Extensions are made under the Revolving Line)	 	Yes    No
	 	 	 
	FYE Forecast and amendments thereto	 	Annually, on or before the earlier of March 15, and 10 days of Board Approval	 	Yes    No
	 	 	 
	A/R Agings, A/P Agings, and Deferred Revenue
Report	 	At any time during which Borrower may make Advance requests under the Revolving Line, monthly within 30
days	 	Yes    No

  

													
	Financial Covenant	  	Required	 	  	Actual	 	  	Complies	 
	 Maintain
on a monthly basis:
	  	 	 	 	  	 	 	 	  	 	 	 
	 Minimum
Adjusted Quick Ratio
	  	 	1.25:1.0	  	  	 	        :1.0	  	  	 	Yes    No	  
	 Maintain on a quarterly
basis:
	  	 	 	 	  	 	 	 	  	 	 	 
	 Minimum
Revenue
	  	$	            *	  	  	 	$            	  	  	 	Yes    No	  

  

	*See	Section 6.7(b) of the Agreement 

 The following financial covenant analysis and information set forth in Schedule 1 attached
hereto are true and accurate as of the date of this Certificate. 
 The following are the exceptions with respect to the
certification above: (If no exceptions exist, state “No exceptions to note.”) 

	
	  
	  
	  
	  
	  
	  

  

									
	DEMANDWARE, INC.	 		 	BANK USE ONLY
					
		 		 		 	Received by:	 	 
		 		 		 		 	AUTHORIZED SIGNER
	 By:
	 	 	 		 	Date:	 	 
	 Name:
	 	 	 		 	Verified:	 	 
	 Title:
	 	 	 		 		 	AUTHORIZED SIGNER
		 		 		 	Date:	 	 
				
		 		 		 	 Compliance Status:     Yes     No

 Schedule 1 to Compliance Certificate 

Financial Covenants of Borrower 
 In the event of a conflict between this Schedule and the Loan Agreement, the terms of the Loan Agreement shall govern. 
 Dated:                              

I. Adjusted Quick Ratio (Section 6.7(a)) 
 Required: 1.25:1.0 (monthly) 
 Actual: 

 

							
	A.	  	Aggregate value of the unrestricted cash of Borrower at Bank	  	$	            	  
	 		 
	B.	  	Aggregate value of the net billed accounts receivable of Borrower	  	$	            	  
	 		 
	C.	  	Quick Assets (the sum of lines A and B)	  	$	            	  
	 		 
	D.	  	Aggregate value of Obligations to Bank	  	$	            	  
	 		 
	E.	  	Aggregate value of liabilities of Borrower (including all Indebtedness) that matures within one (1) year	  	$	            	  
	 		 
	F.	  	Current Liabilities (the sum of lines D and E)	  	$	            	  
	 		 
	G.	  	Aggregate value of all amounts received or invoiced by Borrower in advance of performance under contracts and not yet recognized as
revenue	  	$	            	  
	 		 
	H.	  	Line F minus G	  	$	            	  
	 		 
	I.	  	Adjusted Quick Ratio (line C divided by line H)	  	 	______	  

 Is Line I equal to or greater than 1.25:1.0? 

 

			
	          No, not in compliance
	  	             Yes, in compliance

 II. Minimum Revenue (Section 6.7(b) 
 Required: 
 See chart below: 

 

			
	
Quarter Ended
	  	 Minimum Revenue

	 March 31, 2010
	  	$4,800,000
	 June 30, 2010
	  	$5,500,000
	 September 30, 2010
	  	$6,300,000
	 December 31, 2010
	  	$8,000,000
	 Each quarter end
thereafter
	  	the greater of (x) Eight Million Dollars ($8,000,000), and (y) eighty-five percent
(85%) of the FYE Forecast

 Actual: minimum revenues (as defined under GAAP)
$                             

 

			
	          No, not in compliance
	  	             Yes, in compliance

 FIFTH AMENDMENT TO LOAN AGREEMENT 

This Fifth Amendment to Loan Agreement (this “Amendment”) is entered into as of June 23, 2011, by and between
SILICON VALLEY BANK, a California corporation, with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 and with a loan production office located at 275 Grove Street, Suite 2-200, Newton, Massachusetts
02466 (“Bank”) and DEMANDWARE, INC., a Delaware corporation with its chief executive office located at 5 Wall Street, Burlington, MA 01803 (“Borrower”). 
 1. DESCRIPTION OF EXISTING INDEBTEDNESS AND OBLIGATIONS. Borrower is indebted to Bank pursuant to a certain Loan and Security Agreement dated as of July 18, 2008, between Borrower and Bank, as
amended by that certain Consent and First Amendment to Loan Agreement between Borrower and Bank dated December 23, 2008, as amended by that certain Second Amendment to Loan Agreement between Borrower and Bank dated as of June 26, 2009, as
amended by that certain Third Amendment to Loan Agreement between Borrower and Bank dated as of March 2, 2010, and as further amended by that certain Fourth Amendment to Loan Agreement between Borrower and Bank dated as of April 28, 2010
(as amended, the “Loan Agreement”). The parties desire to amend the Loan Agreement as set forth herein. Capitalized terms used but not otherwise defined herein shall have the same meaning as in the Loan Agreement. 

2. DESCRIPTION OF CHANGE IN TERMS. 
 A. Modifications to Loan Agreement. 
  

	 	1	The Loan Agreement shall be amended by adding the following new Section 2.1.7 entitled “2011 Equipment Advances” appearing immediately after
Section 2.1.6 thereof: 

 “2.1.7        2011 Equipment
Advances. 
 (a) Availability. Subject to the terms and conditions of this Agreement, during the 2011
Equipment Line Draw Period, Bank shall make advances (each, a “2011 Equipment Advance” and, collectively, “2011 Equipment Advances”) not exceeding the 2011 Equipment Line. 2011 Equipment Advances may only be used to
finance Eligible Equipment purchased within ninety (90) days (determined based upon the applicable invoice date of such Eligible Equipment) before the date of each 2011 Equipment Advance. Notwithstanding the foregoing, the initial 2011
Equipment Advance may be used to reimburse Borrower for Eligible Equipment purchased on or after January 1, 2011. All Eligible Equipment must have been new when purchased by Borrower, except for such Eligible Equipment that is disclosed in
writing to Bank by Borrower, and that Bank in its sole discretion has agreed to finance, prior to being financed by Bank. No 2011 Equipment Advance may exceed one hundred percent (100%) of the total invoice for Eligible Equipment (excluding
taxes, shipping, warranty charges, freight discounts and installation expenses relating to such Eligible Equipment except to the extent such are allowed to be financed pursuant hereto as Other Equipment). Unless otherwise agreed to by Bank, not more
than twenty-five percent (25%) of the proceeds of the 2011 Equipment Line shall be used to finance Other Equipment. Borrower may only request up to four (4) 2011 Equipment Advances hereunder. After repayment, no 2011 Equipment Advance may
be reborrowed. 
 (b) Repayment. Each 2011 Equipment Advance shall immediately amortize and be payable in
(i) thirty-six (36) equal payments of principal, plus (ii) accrued interest thereon at the rate set forth in Section 2.3(a), beginning on the first Payment Date following such 2011 Equipment Advance

 
and continuing on the Payment Date of each month thereafter. Notwithstanding the foregoing, all unpaid principal and interest on each 2011 Equipment Advance shall be due on the applicable 2011
Equipment Maturity Date.” 
  

	 	2	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.3(a) thereof: 

“(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the
Revolving Line shall accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, (ii) the principal amount of
each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), and (iii) the principal amount of each 2010 Equipment Advance shall accrue interest at a fixed per annum rate
equal to seven and one quarter of one percentage points (7.25%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.” 
 and inserting in lieu thereof the following: 
 “(a)
Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the Revolving Line shall accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and
one-quarter of one percentage point (1.25%) above the Prime Rate, (ii) the principal amount of each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%),
(iii) the principal amount of each 2010 Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one quarter of one percentage points (7.25%), and (iv) the principal amount of each 2011 Equipment Advance shall
accrue interest at a fixed per annum rate equal to six percentage points (6.0%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.” 

 

	 	3	The Loan Agreement shall be amended by adding the following new Section 3.4(d) appearing immediately after 3.4(c) thereof: 

“(d) 2011 Equipment Advances. Subject to the prior satisfaction of all other applicable conditions to the
making of a 2011 Equipment Advance set forth in this Agreement, to obtain a 2011 Equipment Advance, Borrower must notify Bank (which notice shall be irrevocable) by electronic mail or facsimile no later than 12:00 p.m. Eastern time one
(1) Business Day before the proposed Funding Date. The notice shall be a Payment/Advance Form, must be signed by a Responsible Officer or designee, and shall include a copy of the invoice for the Equipment being financed. If Borrower satisfies
the conditions of each 2011 Equipment Advance, Bank shall disburse such 2011 Equipment Advance by transfer to the Designated Deposit Account.” 
  

	 	4	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(a)(i) thereof: 

“(i) as soon as available, but no later than thirty (30) days after the last day of each month, a company prepared
consolidated balance sheet and income statement covering Borrower’s consolidated operations for such month certified by a Responsible Officer and in a form acceptable to Bank;” 

and inserting in lieu thereof the following: 
 “(i) as soon as available, but no later than thirty (30) days after the last day of each month, (x) a company prepared consolidated balance sheet and income statement covering Borrower’s
consolidated operations for such month certified by a Responsible Officer and in a form acceptable to Bank, and (y) a company prepared consolidating balance sheet and income statement covering Borrower’s and each of its Subsidiary’s
operations for such month certified by a Responsible Officer and in a form acceptable to Bank;” 
  

 

	 	5	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(b) thereof: 

  
 2 

 “(b) Within thirty (30) days after the last day of each month in
which Advances were outstanding, deliver to Bank a duly completed Borrowing Base Certificate signed by a Responsible Officer.” 
 and inserting in lieu thereof the following: 
 “(b)
Intentionally omitted.” 
  

	 	6	The Loan Agreement shall be amended by deleting the text appearing in Section 6.2(e) thereof: 

“(e) At any time during which Borrower may make Advance requests under the Revolving Line, within thirty
(30) days after the last day of each month, deliver to Bank (i) aged listings of accounts receivable and accounts payable (by invoice date), and (ii) a report of Borrower’s Deferred Revenue.” 

and inserting in lieu thereof the following: 
 “(e) Intentionally omitted.” 
  

	 	7	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.7(b) thereof: 

“(b) Minimum Revenue. Commencing with the quarter ended March 31, 2010, and as of the last day of each
quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Four Million Eight Hundred Thousand Dollars ($4,800,000) for the quarter ended March 31, 2010, (ii) Five Million Five Hundred Thousand Dollars ($5,500,000),
for the quarter ending June 30, 2010, (iii) Six Million Three Hundred Thousand Dollars ($6,300,000), for the quarter ending September 30, 2010, (iv) Eight Million Dollars ($8,000,000) for the quarter ending December 31,
2010, and (v) with respect to the quarter ending March 31, 2011 and as of the last day of each subsequent quarter thereafter, the greater of (x) Eight Million Dollars ($8,000,000), and (y) eighty-five percent (85%) of the
FYE Forecast for such quarter period.” 
 and inserting in lieu thereof the following: 

“(b) Minimum Revenue. Commencing with the quarter ended March 31, 2010, and as of the last day of each
quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Four Million Eight Hundred Thousand Dollars ($4,800,000) for the quarter ended March 31, 2010, (ii) Five Million Five Hundred Thousand Dollars ($5,500,000),
for the quarter ended June 30, 2010, (iii) Six Million Three Hundred Thousand Dollars ($6,300,000), for the quarter ended September 30, 2010, (iv) Eight Million Dollars ($8,000,000) for the quarter ended December 31, 2010,
(v) Eight Million Dollars ($8,000,000), for the quarter ended March 31, 2011, (vi) Nine Million Dollars ($9,000,000), for the quarter ending June 30, 2011, (vii) Nine Million Seven Hundred Fifty Thousand Dollars
($9,750,000), for the quarter ending September 30, 2011, (viii) Eleven Million Five Hundred Thousand Dollars ($11,500,000) for the quarter ending December 31, 2011, and (ix) with respect to the quarter ending March 31, 2012
and as of the last day of each subsequent 

  
 3 

 
quarter thereafter, the greater of (y) Eleven Million Dollars ($11,000,000), and (z) eighty-five percent (85%) of the FYE Forecast for such quarter period.” 

 

	 	8	The Loan Agreement shall be amended by deleting the following definitions appearing in Section 13.1 thereof: 

““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash
Management Services, Equipment Advance, 2010 Equipment Advance or any other extension of credit by Bank for Borrower’s benefit.” 
 ““Financed Equipment” is all present and future Eligible Equipment in which Borrower has any interest which is financed by an Equipment Advance and/or 2010 Equipment Advance.”

 ““Maturity Date” is the Revolving Line Maturity Date, the Equipment Maturity Date, or
the 2010 Equipment Maturity Date.” 
 and inserting in lieu thereof the following: 

““Credit Extension” is any Advance, Letter of Credit, FX Forward Contract, amount utilized for Cash
Management Services, Equipment Advance, 2010 Equipment Advance, 2011 Equipment Advance or any other extension of credit by Bank for Borrower’s benefit.” 

““Financed Equipment” is all present and future Eligible Equipment in which Borrower has any
interest which is financed by an Equipment Advance, 2010 Equipment Advance and/or 2011 Equipment Advance.” 

““Maturity Date” is the Revolving Line Maturity Date, the Equipment Maturity Date, the 2010
Equipment Maturity Date, or the 2011 Equipment Maturity Date.” 
  

	 	9	The Loan Agreement shall be amended by inserting the following new definitions to appear alphabetically in Section 13.1 thereof: 

““2011 Effective Date” is June 23, 2011.” 

““2011 Equipment Advance” or “2011 Equipment Advances” is defined in Section
2.1.7(a).” 
 ““2011 Equipment Line” is a 2011 Equipment Advance or 2011 Equipment
Advances in an aggregate amount of up to Four Million Dollars ($4,000,000).” 
 ““2011
Equipment Line Draw Period” is the period of time from the 2011 Effective Date through the earlier to occur of (a) March 31, 2012, or (b) an Event of Default.” 

  
 4 

 “ “2011 Equipment Maturity Date” is, for each 2011
Equipment Advance, the date which is thirty-five (35) months after the initial Payment Date with respect to such 2011 Equipment Advance.” 
  

	 	10	The Compliance Certificate appearing as Exhibit D to the Loan Agreement is hereby replaced with the Compliance Certificate attached as Exhibit A hereto.

 3. FEES. Borrower shall pay to Bank a commitment fee equal to Twenty Thousand Dollars ($20,000), which fee shall be due
on the date hereof and shall be deemed fully earned as of the date hereof. Borrower shall also reimburse Bank for all legal fees and expenses incurred in connection with this Amendment. 
 4. PERFECTION CERTIFICATE. Borrower and Guarantor have each delivered an updated Perfection Certificate in connection with this Loan Modification Agreement (individually and collectively, the
“Updated Perfection Certificate”) each dated as of June 23, 2011, which Updated Perfection Certificate shall supersede in all respects those certain Perfection Certificates dated as of July 18, 2008. Borrower and Guarantor agrees that all
references in the Loan Agreement to “Perfection Certificate” shall hereinafter be deemed to be a reference to the Updated Perfection Certificate. 
 5. CONSISTENT CHANGES. The Loan Documents are hereby amended wherever necessary to reflect the changes described above. 
 6. RATIFICATION OF LOAN DOCUMENTS. Borrower hereby ratifies, confirms, and reaffirms all terms and conditions of all security or other collateral granted to the Bank, and confirms that the
indebtedness secured thereby includes, without limitation, the Obligations. 
 7. NO DEFENSES OF BORROWER. Borrower hereby acknowledges
and agrees that Borrower has no offsets, defenses, claims, or counterclaims against Bank with respect to the Obligations, or otherwise, and that if Borrower now has, or ever did have, any offsets, defenses, claims, or counterclaims against Bank,
whether known or unknown, at law or in equity, all of them are hereby expressly WAIVED and Borrower hereby RELEASES Bank from any liability thereunder. 
 8. CONTINUING VALIDITY. Borrower understands and agrees that in modifying the existing Obligations, Bank is relying upon Borrower’s representations, warranties, and agreements, as set forth in
the Loan Agreement and the other Loan Documents. Except as expressly modified pursuant to this Amendment, the terms of the Loan Agreement and the other Loan Documents remain unchanged and in full force and effect. Bank’s agreement to
modifications to the existing Obligations pursuant to this Amendment in no way shall obligate Bank to make any future modifications to the Obligations. Nothing in this Amendment shall constitute a satisfaction of the Obligations. It is the intention
of Bank and Borrower to retain as liable parties all makers of the Loan Agreement and the other Loan Documents, unless the party is expressly released by Bank in writing. No maker will be released by virtue of this Amendment. 

9. CONFIDENTIALITY. Bank may use confidential information for the development of databases, reporting purposes, and market analysis, so long as
such confidential information is aggregated and anonymized prior to distribution unless otherwise expressly permitted by Borrower. The provisions of the immediately preceding sentence shall survive the termination of the Loan Agreement. 

10. COUNTERSIGNATURE. This Amendment shall become effective only when it shall have been executed by Borrower and Bank. 

  
 5 

 This Amendment is executed as a sealed instrument under the laws of the Commonwealth of
Massachusetts as of the date first written above. 
  

							
	BORROWER:	 	BANK:
		
	DEMANDWARE, INC.	 	SILICON VALLEY BANK
				
	By:	 	 /s/ Scott J. Dussault
	 	By:	 	 /s/ Brendan P. Quinn

				
	Name:	 	 Scott J. Dussault
	 	Name:	 	 Brendan P. Quinn

				
	Title:	 	 CFO
	 	Title:	 	 VP

 The undersigned, Demandware Securities Corp. (“Guarantor”), ratifies, confirms and reaffirms,
all and singular, the terms (i) and conditions of a certain Unconditional Guaranty dated July 18, 2008 (the “Guaranty”), (ii) and conditions of a certain Security Agreement dated July 18, 2008 (the
“Security Agreement”), and (iii) and disclosures contained in a certain Perfection Certificate dated as of July 23, 2011 (the “Perfection Certificate”), and acknowledges, confirms and agrees that (x) the
disclosures and information Guarantor provided to Bank in the Perfection Certificate have not changed, as of the date hereof, and (y)each of the Guaranty and the Security Agreement shall remain in full force and effect and shall in no way be limited
by the execution of this Amendment, or any other documents, instruments and/or agreements executed and/or delivered in connection herewith. 
  

			
	DEMANDWARE SECURITIES CORP.
		
	By:	 	 /s/ Scott J. Dussault

		
	Name:	 	 Scott J. Dussault

		
	Title:	 	 CFO

 EXHIBIT A 
 EXHIBIT D - COMPLIANCE CERTIFICATE 
  

					
	TO:       SILICON VALLEY BANK	  	Date:                    
	FROM: DEMANDWARE, INC.	  	

 The undersigned authorized officer of Demandware, Inc. (“Borrower”) certifies in such capacity that under the
terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”), (1) Borrower is in complete compliance for the period ending
                     with all required covenants except as noted below, (2) there are no Events of Default, (3) all representations
and warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are
qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date,
(4) Borrower, and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower except as
otherwise permitted pursuant to the terms of Section 5.9 of the Agreement, and (5) no Liens have been levied or claims made against Borrower or any of its Subsidiaries relating to unpaid employee payroll or benefits of which Borrower has
not previously provided written notification to Bank. Attached are the required documents supporting the certification. The undersigned certifies, in the capacity as an authorized officer of the Borrower, that these are prepared in accordance with
GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges, in the capacity as an authorized officer of the Borrower, that no borrowings may be requested at any time
or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not otherwise defined herein shall
have the meanings given them in the Agreement. 
 Please indicate compliance status by circling Yes/No under “Complies” column.

  

					
	 Reporting
Covenant
	 	 Required
	 	 Complies

	 Monthly
financial statements with Compliance Certificate
	 	Monthly within 30 days	 	Yes    No
	 Annual
financial statement (CPA Audited)
	 	FYE within 210 days	 	Yes    No
	 FYE
Forecast and amendments thereto
	 	 Annually, on or before the earlier of March 15, and
10
 days of Board Approval
	 	Yes    No

  

													
	 Financial Covenant
	  	Required	 	 	Actual	 	  	Complies	 
	 Maintain on a monthly
basis:
	  	 	 	 	 	 	 	 	  	 	 	 
	 Minimum Adjusted Quick
Ratio
	  	 	1.25:1.0	  	 	 	        :1.0	  	  	 	Yes No	  
	 Maintain on a quarterly
basis:
	  	 	 	 	 	 	 	 	  	 	 	 
	 Minimum Revenue
	  	$	                	* 	 	$	                	  	  	 	Yes No	  

  

	*	See Section 6.7(b) of the Agreement 

 The following financial covenant analysis and information set forth in Schedule 1 attached
hereto are true and accurate as of the date of this Certificate. 
 The following are the exceptions with respect to the
certification above: (If no exceptions exist, state “No exceptions to note.”) 
  

 
  

 
  

 
  

									
	DEMANDWARE, INC	 		 	BANK USE ONLY
					
	By:	 	  
	 		 	Received by:	 	  

		 		 		 		 	AUTHORIZED SIGNER
	Name:	 	  
	 		 	Date: 	 	  

		 		 		 		 	
	Title:	 	  
	 		 	Verified:	 	  

		 		 		 		 	AUTHORIZED SIGNER
		 		 		 	Date:	 	  

				
		 		 		 	Compliance Status:             Yes     No

 Schedule 1 to Compliance Certificate 

Financial Covenants of Borrower 
 In the event of a conflict between this Schedule and the Loan Agreement, the terms of the Loan Agreement shall govern. 
 Dated:                      

 

	I.	Adjusted Quick Ratio (Section 6.7(a)) 

Required:             1.25:1.0 (monthly) 

Actual: 
  

							
	A.	  	Aggregate value of the unrestricted cash of Borrower at Bank	  	$	               
 	  
	B.	  	Aggregate value of the net billed accounts receivable of Borrower	  	$	                	  
	C.	  	Quick Assets (the sum of lines A and B)	  	$	                	  
	D.	  	Aggregate value of Obligations to Bank	  	$	                	  
	E.	  	Aggregate value of liabilities of Borrower (including all Indebtedness) that matures within one (1) year	  	$	                	  
	F.	  	Current Liabilities (the sum of lines D and E)	  	$	                	  
	G.	  	 Aggregate value of all amounts received or invoiced by Borrower in advance of
performance under contracts and not yet recognized as revenue
	  	$	                	  
	H.	  	Line F minus G	  	$	                	  
	I.	  	Adjusted Quick Ratio (line C divided by line H)	  	 	                	  

 Is Line I equal to or greater than 1.25:1.0? 

 

			
	             No, not in compliance	  	             Yes, in compliance

  

	II.	Minimum Revenue (Section 6.7(b) 

Required: 
 See chart below: 

 

			
	 Quarter

Ended
	  	Minimum Revenue
	
March 31, 2011
	  	$8,000,000
	
June 30, 2011
	  	$9,000,000
	
September 30, 2011
	  	$9,750,000
	
December 31, 2011
	  	$11,500,000
	 Each
quarter end thereafter
	  	The greater of (y) Eleven Million Dollars ($11,000,000), and
(z) eighty-five percent (85%) of the FYE Forecast

 Actual: minimum revenues (as defined under GAAP)
$             
  

					
	             No, not in compliance	  	 	             Yes, in compliance	  

 SIXTH AMENDMENT TO LOAN AGREEMENT 

This Sixth Amendment to Loan Agreement (this “Amendment”) is entered into as of August 15, 2011, by and between SILICON
VALLEY BANK, a California corporation, with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 and with a loan production office located at 275 Grove Street, Suite 2-200, Newton, Massachusetts 02466
(“Bank”) and DEMANDWARE, INC., a Delaware corporation with its chief executive office located at 5 Wall Street, Burlington, Massachusetts 01803 (“Borrower”). 
 1. DESCRIPTION OF EXISTING INDEBTEDNESS AND OBLIGATIONS. Borrower is indebted to Bank pursuant to a certain Loan and Security Agreement dated as of July 18, 2008, between Borrower and Bank, as
amended by that certain Consent and First Amendment to Loan Agreement between Borrower and Bank dated December 23, 2008, as amended by that certain Second Amendment to Loan Agreement between Borrower and Bank dated as of June 26, 2009, as
amended by that certain Third Amendment to Loan Agreement between Borrower and Bank dated as of March 2, 2010, as further amended by that certain Fourth Amendment to Loan Agreement between Borrower and Bank dated as of April 28, 2010, and
as further amended by that certain Fifth Loan Modification Agreement between Borrower and Bank dated as of June 23, 2011 (as amended, the “Loan Agreement”). The parties desire to amend the Loan Agreement as set forth herein.
Capitalized terms used but not otherwise defined herein shall have the same meaning as in the Loan Agreement. 
 2. DESCRIPTION OF CHANGE IN
TERMS. 
 A. Modifications to Loan Agreement. 

 

	 	1	Notwithstanding anything to the contrary in the Loan Agreement, no Credit Extension shall be made under the Revolving Line until the completion of Bank’s
inspection of Borrower’s Accounts, the Collateral and Borrower’s Books with results satisfactory to Bank in its sole and absolute discretion. 

  

	 	2	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.1.2(a) thereof: 

“The face amount of outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit and any Letter
of Credit Reserve) may not exceed $3,000,000, inclusive of Credit Extensions relating to Sections 2.1.3 and 2.1.4” 
 and
inserting in lieu thereof the following: 
 “The aggregate Dollar Equivalent amount available to be used
for the issuance of Letters of Credit may not exceed (i) the lesser of (A) the Revolving Line or (B) the Borrowing Base, minus (ii) the sum of all outstanding principal amounts of any Advances (including any amounts used for Cash
Management Services and the Dollar Equivalent of the face amount of any outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit and any Letter of Credit Reserve), and minus (iii) the FX Reduction Amount.”

  

	 	3	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.1.3 thereof: 

“The aggregate amount of FX Forward Contracts at any one time may not exceed ten (10) times the amount of the
FX Reserve.” 
 and inserting in lieu thereof the following: 

 “The aggregate amount of FX Forward Contracts at any one time may not
exceed ten (10) times the lesser of Revolving Line or the Borrowing Base, minus (a) the sum of all outstanding principal amounts of any Advances (including any amounts used for Cash Management Services), and minus (b) the Dollar
Equivalent of the face amount of any outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit and any Letter of Credit Reserve).” 
  

	 	4	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.1.4 thereof: 

“Borrower may use up to $3,000,000, inclusive of Credit Extensions relating to Sections 2.1.2 and 2.1.3, of the
Revolving Line for Bank’s cash management services which may include merchant services, direct deposit of payroll, business credit card, and check cashing services identified in Bank’s various cash management services agreements
(collectively, the “Cash Management Services”).” 
 and inserting in lieu thereof the following:

 “Borrower may use the Revolving Line for Bank’s cash management services, which may include
merchant services, direct deposit of payroll, business credit card, and check cashing services identified in Bank’s various cash management services agreements (collectively, the “Cash Management Services”), in an aggregate
amount not to exceed the lesser of Revolving Line or the Borrowing Base, minus (a) the sum of all outstanding principal amounts of any Advances, minus (b) the Dollar Equivalent of the face amount of any outstanding Letters of Credit
(including drawn but unreimbursed Letters of Credit and any Letter of Credit Reserve), and minus (c) the FX Reduction Amount.” 
  

	 	5	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.3(a) thereof: 

“(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding under the
Revolving Line shall accrue interest at a floating per annum rate equal to the greater of: (A) seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, (ii) the principal amount of
each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), (iii) the principal amount of each 2010 Equipment Advance shall accrue interest at a fixed per annum rate equal
to seven and one quarter of one percentage points (7.25%), and (iv) the principal amount of each 2011 Equipment Advance shall accrue interest at a fixed per annum rate equal to six percentage points (6.0%), which interest shall, in each case,
be payable monthly in accordance with Section 2.3(f) below.” 
 and inserting in lieu thereof the following:

 “(a) Interest Rate. Subject to Section 2.3(b), (i) the principal amount outstanding
under the Revolving Line shall accrue interest at a floating per annum rate equal to (x) prior to the 2011 Effective Date, the greater of: (A)

  
 2 

 
seven percent (7.0%), and (B) one and one-quarter of one percentage point (1.25%) above the Prime Rate, and (y) on and after the 2011 Effective Date, three quarters of one percent
(0.75%) above the Wall Street Journal Prime Rate, (ii) the principal amount of each Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one half of one percentage points (7.50%), (iii) the principal amount
of each 2010 Equipment Advance shall accrue interest at a fixed per annum rate equal to seven and one quarter of one percentage points (7.25%), and (iv) the principal amount of each 2011 Equipment Advance shall accrue interest at a fixed per
annum rate equal to six percentage points (6.0%), which interest shall, in each case, be payable monthly in accordance with Section 2.3(f) below.” 
  

	 	6	The Loan Agreement shall be amended by deleting the following text appearing in Section 2.3(c) thereof: 

“(c) Adjustment to Interest Rate. Changes to the interest rate of any Credit Extension based on changes to
the Prime Rate shall be effective on the effective date of any change to the Prime Rate and to the extent of any such change.” 
 and inserting in lieu thereof the following: 
 “(c)
Adjustment to Interest Rate. Changes to the interest rate of any Credit Extension based on changes to the Prime Rate or Wall Street Journal Prime Rate shall be effective on the effective date of any change to the Prime Rate or Wall Street
Journal Prime Rate and to the extent of any such change.” 
  

	 	7	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.2(b) thereof: 

“(b) Intentionally omitted.” 
 and inserting in lieu thereof the following: 
 “(b) Within
thirty (30) days after the last day of each month in which Advances were outstanding, deliver to Bank a duly completed Borrowing Base Certificate signed by a Responsible Officer.” 

 

	 	8	The Loan Agreement shall be amended by deleting the text appearing in Section 6.2(e) thereof: 

“(e) Intentionally omitted.” 
 and inserting in lieu thereof the following: 
 “(e) Within
thirty (30) days after the last day of each month, deliver to Bank (i) aged listings of accounts receivable and accounts payable (by invoice date), and (ii) a report of Borrower’s Deferred Revenue.” 

 

	 	9	The Loan Agreement shall be amended by deleting the following text appearing in Section 6.7 thereof: 

  
 3 

	 	“6.7	Financial Covenants. 

 Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 
 (a) Quick Ratio. Commencing with (i) the quarter ending June 30, 2009 and as of the last day of each subsequent quarter through and including the quarter ended December 31, 2009, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.00 to 1.0, tested as of the last day of each quarter, (ii) the month ending June 30, 2009 and as of the last day of each subsequent month through and
including the month ended February 28, 2010 (other than the last month of each calendar quarter), a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 0.85 to 1.0, and (iii) the month ended March 31, 2010,
and as of the last day of each subsequent month thereafter, a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.25 to 1.0. 
 (b) Minimum Revenue. Commencing with the quarter ended March 31, 2010, and as of the last day of each quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Four
Million Eight Hundred Thousand Dollars ($4,800,000) for the quarter ended March 31, 2010, (ii) Five Million Five Hundred Thousand Dollars ($5,500,000), for the quarter ending June 30, 2010, (iii) Six Million Three Hundred
Thousand Dollars ($6,300,000), for the quarter ending September 30, 2010, (iv) Eight Million Dollars ($8,000,000) for the quarter ending December 31, 2010, and (v) with respect to the quarter ending March 31, 2011 and as of
the last day of each subsequent quarter thereafter, the greater of (x) Eight Million Dollars ($8,000,000), and (y) eighty-five percent (85%) of the FYE Forecast for such quarter period.” 

and inserting in lieu thereof the following: 
 Borrower shall maintain, at all times, to be tested as of the last day of each month, unless otherwise noted: 
 (a) Quick Ratio. Commencing with (i) the quarter ending June 30, 2009 and as of the last day of each subsequent quarter through and including the quarter ended December 31, 2009, a
ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.00 to 1.0, tested as of the last day of each quarter, (ii) the month ending June 30, 2009 and as of the last day of each subsequent month through and
including the month ended February 28, 2010 (other than the last month of each calendar quarter), a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 0.85 to 1.0, (iii) the month ended March 31, 2010, and
as of the last day of each subsequent month through and including the month ended June 30, 2011, a ratio of Quick Assets to Current Liabilities minus Deferred Revenue of at least 1.25 to 1.0, and (iv) the month ended July 31, 2011,
and as of the last day of each subsequent month thereafter, a ratio of Quick Assets to the aggregate outstanding Obligations of at least 1.75 to 1.0. 
 (b) Minimum Revenue. Commencing with the quarter ended March 31, 2010, and as of the last day of each quarter thereafter, minimum revenue (as defined under GAAP) of at least: (i) Four
Million Eight Hundred 

  
 4 

 
Thousand Dollars ($4,800,000) for the quarter ended March 31, 2010, (ii) Five Million Five Hundred Thousand Dollars ($5,500,000), for the quarter ended June 30, 2010,
(iii) Six Million Three Hundred Thousand Dollars ($6,300,000), for the quarter ended September 30, 2010, (iv) Eight Million Dollars ($8,000,000) for the quarter ended December 31, 2010, (v) Eight Million Dollars
($8,000,000), for the quarter ended March 31, 2011, (vi) Ten Million Dollars ($10,000,000), for the quarter ending June 30, 2011, (vii) Ten Million Dollars ($10,000,000), for the quarter ending September 30, 2011,
(viii) Twelve Million Dollars ($12,000,000) for the quarter ending December 31, 2011, and (ix) with respect to the quarter ending March 31, 2012 and as of the last day of each subsequent quarter thereafter, the greater of
(y) Eleven Million Dollars ($11,000,000), and (z) eighty-five percent (85%) of the FYE Forecast for such quarter period.” 
  

	 	10	The Loan Agreement shall be amended by deleting the following definitions appearing in Section 13.1 thereof: 

““Availability Amount” is (i) the lesser of (A) the Revolving Line or (B) the
aggregate of (1) the amount available under the Borrowing Base, plus (2) One Million Two Hundred Fifty Thousand Dollars ($1,250,000) minus (ii) the amount of all outstanding Letters of Credit (including drawn but unreimbursed Letters
of Credit) plus an amount equal to the Letter of Credit Reserve, minus (iii) the FX Reduction Amount, minus (iv) any amounts used for Cash Management Services, and minus (v) the outstanding principal balance of any Advances.”

 ““Quick Assets” is, on any date, Borrower’s unrestricted cash at Bank plus net
billed accounts receivable.” 
 ““Revolving Line” is an Advance or Advances in an
amount equal to Three Million Dollars ($3,000,000) in the aggregate.” 
 ““Revolving Line
Maturity Date” is July 17, 2009.” 
 and inserting in lieu thereof the following: 

““Availability Amount” is (i) the lesser of (A) the Revolving Line or the amount
available under the Borrowing Base, minus (ii) the amount of all outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit) plus an amount equal to the Letter of Credit Reserve, minus (iii) the FX Reduction Amount,
minus (iv) any amounts used for Cash Management Services, and minus (v) the outstanding principal balance of any Advances.” 
 ““Quick Assets” is, on any date, Borrower’s unrestricted cash at Bank plus net billed accounts receivable, which after the 2011 Effective Date shall be not more than ninety
(90) days past invoice date.” 
 ““Revolving Line” is an Advance or Advances in
an amount equal to Five Million Dollars ($5,000,000) in the aggregate.” 
 ““Revolving Line
Maturity Date” is August 10, 2012.” 

  
 5 

	 	11	The Loan Agreement shall be amended by deleting the following text appearing in the definition entitled “Eligible Accounts” appearing in Section 13.1
thereof: 

 “(c) Accounts owing from an Account Debtor which does not have its principal
place of business in the United States, unless such Accounts are otherwise Eligible Accounts and provided that the total Advances relating thereto do not exceed One Million Dollars ($1,000,000.00);” 

and inserting in lieu thereof the following: 
 “(c) Accounts owing from an Account Debtor which does not have its principal place of business in the United States, unless such Accounts are otherwise Eligible Accounts and provided that the total
Advances relating thereto do not at any time exceed twenty-five percent (25.0%) of the aggregate outstanding Advances;” 
  

	 	12	The Loan Agreement shall be amended by inserting the following new definitions to appear alphabetically in Section 13.1 thereof: 

““2011 Effective Date” is August 15, 2011.” 

““Dollar Equivalent” is, at any time, (a) with respect to any amount denominated in Dollars,
such amount, and (b) with respect to any amount denominated in a Foreign Currency, the equivalent amount therefor in Dollars as determined by Bank at such time on the basis of the then-prevailing rate of exchange in San Francisco, California,
for sales of the Foreign Currency for transfer to the country issuing such Foreign Currency.” 

““Wall Street Journal Prime Rate” is means the rate of interest published in the “Money
Rates” section of The Wall Street Journal, Eastern Edition as the “United States Prime Rate,” even if such rate is not the lowest or best rate available. In the event that The Wall Street Journal, Eastern Edition is not published or
such rate does not appear in The Wall Street Journal, Eastern Edition, the Wall Street Journal Prime Rate shall be determined by Bank until such time as the Wall Street Journal Prime Rate becomes available in accordance with past practices.”

  

	 	13	The Borrowing Base Certificate appearing as Exhibit C to the Loan Agreement is hereby replaced with the Borrowing Base Certificate attached as Exhibit A
hereto. All references in the Loan Agreement to the Borrowing Base Certificate shall hereinafter be deemed to refer to Exhibit A hereto. 

  

	 	14	The Compliance Certificate appearing as Exhibit D to the Loan Agreement is hereby replaced with the Compliance Certificate attached as Exhibit B hereto.
All references in the Loan Agreement to the Compliance Certificate shall hereinafter be deemed to refer to Exhibit B hereto. 

 3. FEES. Borrower shall pay to Bank a commitment fee equal to Twelve Thousand Five Hundred Dollars ($12,500.00), which fee shall be due on the date hereof and shall be deemed fully earned as of the
date hereof. Borrower shall also reimburse Bank for all legal fees and expenses incurred in connection with this Amendment. 

  
 6 

 4. RATIFICATION OF PERFECTION CERTIFICATES. Borrower hereby ratifies, confirms and reaffirms, all and
singular, the terms and disclosures contained in those certain Perfection Certificates dated as of June 23, 2011 by Borrower and Guarantor in favor of Bank (individually and collectively, the “Perfection Certificate), and acknowledges,
confirms and agrees the disclosures and information Borrower and Guarantor provided to Bank in the Perfection Certificate have not changed, as of the date hereof. 
 5. CONSISTENT CHANGES. The Loan Documents are hereby amended wherever necessary to reflect the changes described above. 
 6. RATIFICATION OF LOAN DOCUMENTS. Borrower hereby ratifies, confirms, and reaffirms all terms and conditions of all security or other collateral granted to the Bank, and confirms that the
indebtedness secured thereby includes, without limitation, the Obligations. 
 7. NO DEFENSES OF BORROWER. Borrower hereby acknowledges
and agrees that Borrower has no offsets, defenses, claims, or counterclaims against Bank with respect to the Obligations, or otherwise, and that if Borrower now has, or ever did have, any offsets, defenses, claims, or counterclaims against Bank,
whether known or unknown, at law or in equity, all of them are hereby expressly WAIVED and Borrower hereby RELEASES Bank from any liability thereunder. 
 8. CONTINUING VALIDITY. Borrower understands and agrees that in modifying the existing Obligations, Bank is relying upon Borrower’s representations, warranties, and agreements, as set forth in
the Loan Agreement and the other Loan Documents. Except as expressly modified pursuant to this Amendment, the terms of the Loan Agreement and the other Loan Documents remain unchanged and in full force and effect. Bank’s agreement to
modifications to the existing Obligations pursuant to this Amendment in no way shall obligate Bank to make any future modifications to the Obligations. Nothing in this Amendment shall constitute a satisfaction of the Obligations. It is the intention
of Bank and Borrower to retain as liable parties all makers of the Loan Agreement and the other Loan Documents, unless the party is expressly released by Bank in writing. No maker will be released by virtue of this Amendment. 

9. CONFIDENTIALITY. Bank may use confidential information for the development of databases, reporting purposes, and market analysis, so long as
such confidential information is aggregated and anonymized prior to distribution unless otherwise expressly permitted by Borrower. The provisions of the immediately preceding sentence shall survive the termination of the Loan Agreement. 

10. COUNTERSIGNATURE. This Amendment shall become effective only when it shall have been executed by Borrower and Bank. 

  
 7 

 This Amendment is executed as a sealed instrument under the laws of the Commonwealth of
Massachusetts as of the date first written above. 
  

									
	BORROWER:	 		 	BANK:
			
	DEMANDWARE, INC.	 		 	SILICON VALLEY BANK
					
	By:	 	 /s/ Thomas Ebling
	 		 	By:	 	 /s/ Brendan P. Quinn

					
	Name:	 	 Thomas Ebling
	 		 	Name:	 	 Brendan P. Quinn

					
	Title:	 	 CEO and President
	 		 	Title:	 	 VP

 The undersigned, Demandware Securities Corp. (“Guarantor”), ratifies, confirms and reaffirms,
all and singular, the terms (i) and conditions of a certain Unconditional Guaranty dated July 18, 2008 (the “Guaranty”), (ii) and conditions of a certain Security Agreement dated July 18, 2008 (the
“Security Agreement”), and (iii) and disclosures contained in a certain Perfection Certificate dated as of June 23, 2011 (the “Perfection Certificate”), and acknowledges, confirms and agrees that (x) the
disclosures and information Guarantor provided to Bank in the Perfection Certificate have not changed, as of the date hereof, and (y)each of the Guaranty and the Security Agreement shall remain in full force and effect and shall in no way be limited
by the execution of this Amendment, or any other documents, instruments and/or agreements executed and/or delivered in connection herewith. 
  

			
	DEMANDWARE SECURITIES CORP.
		
	By:	 	 /s/ Scott Dussault

		
	Name:	 	 Scott Dussault

		
	Title:	 	 President

 EXHIBIT A 

BORROWING BASE CERTIFICATE 
 Borrower: Demandware, Inc. 
 Lender: Silicon Valley Bank 

Commitment Amount: $5,000,000 
  

							
	 ACCOUNTS RECEIVABLE
	  			
	 1.
	  	Accounts Receivable (invoiced) Book Value as of
                            	  	$	                	  
	 2.
	  	Additions (please explain on reverse)	  	$	                	  
	 3.
	  	TOTAL ACCOUNTS RECEIVABLE	  	$	                	  
		
	 ACCOUNTS RECEIVABLE DEDUCTIONS (without duplication)
	  			
	 4.
	  	Amounts over 90 days due	  	$	                	  
	 5.
	  	Balance of 50% over 90 day accounts	  	$	                	  
	 6.
	  	Foreign Accounts (not to exceed 25% of outstandings)	  	$	                	  
	 7.
	  	Ineligible Foreign Invoiced Accounts	  	$	                	  
	 8.
	  	Contra/Customer Deposit Accounts	  	$	                	  
	 9.
	  	Intercompany/Employee Accounts	  	$	                	  
	 10.
	  	Credit balances over 90 days	  	$	                	  
	 11.
	  	Concentration Limits	  	$	                	  
	 12.
	  	Ineligible U.S. Governmental Accounts	  	$	                	  
	 13.
	  	Promotion or Demo Accounts; Guaranteed Sale or Consignment Sale Accounts	  	$	                	  
	 14.
	  	Accounts with Progress/Milestone/Pre-billings; Contract Accounts	  	$	                	  
	 15.
	  	Accounts for Retainage Billings	  	$	                	  
	 16.
	  	Trust Accounts	  	$	                	  
	 17.
	  	Bill and Hold Accounts	  	$	                	  
	 18.
	  	Unbilled Accounts	  	$	                	  
	 19.
	  	Non-Trade Accounts	  	$	                	  
	 20.
	  	Accounts with Extended Term Invoices	  	$	                	  
	 21.
	  	Accounts subject to Chargebacks	  	$	                	  
	 22.
	  	Disputed Accounts	  	$	                	  
	 23.
	  	Other (please explain on reverse)	  	$	                	  
	 24.
	  	Deferred Revenue	  	$	                	  
	 25.
	  	TOTAL ACCOUNTS RECEIVABLE DEDUCTIONS	  	$	                	  
	 26.
	  	Eligible Accounts (#3 minus #25)	  	$	                	  
	 27.
	  	ELIGIBLE AMOUNT OF ACCOUNTS (80% of #26)	  	$	                	  
			
	 28.
	  	Maximum Loan Amount	  	$	                	  
	 29.
	  	Total Funds Available (Lesser of #28 or #27)	  	$	                	  
	 30.
	  	Present balance owing on Line of Credit	  	$	                	  
	 31.
	  	Outstanding under Sublimits	  	$	                	  
	 32.
	  	RESERVE POSITION (#29 minus #30 and #31)	  	$	                	  

 [Continued on following page.] 

 The undersigned Borrower represents and warrants that this is true, complete and correct in all material
respects, and that the information in this Borrowing Base Certificate complies with the representations and warranties in the Loan and Security Agreement between the undersigned Borrower and Silicon Valley Bank. 

 

							
	 COMMENTS:
	 		 	BANK USE ONLY
	  
 DEMANDWARE, INC.
	 		 	Received by:
                                         
                      
		 		 		 	                   
                 AUTHORIZED SIGNER
	By:	 	  
	 		 	Date:
                                         
                                  
		 	Authorized Signer	 		 	Verified:
                                         
                            
	Date:	 	  
	 		 	                   
                 AUTHORIZED SIGNER
		 		 		 	 Date:
                                         
                                  

Compliance Status:
                        Yes        No

 

 EXHIBIT B 

COMPLIANCE CERTIFICATE 
  

									
	 TO:
	  	SILICON VALLEY BANK	  		 	 	Date:                     	  
	 FROM:
	  	DEMANDWARE, INC.	  		 			

 The undersigned authorized officer of Demandware, Inc. (“Borrower”) certifies in such capacity that under the
terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”), (1) Borrower is in complete compliance for the period ending
                     with all required covenants except as noted below, (2) there are no Events of Default, (3) all representations
and warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are
qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date,
(4) Borrower, and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower except as
otherwise permitted pursuant to the terms of Section 5.9 of the Agreement, and (5) no Liens have been levied or claims made against Borrower or any of its Subsidiaries relating to unpaid employee payroll or benefits of which Borrower has
not previously provided written notification to Bank. Attached are the required documents supporting the certification. The undersigned certifies, in the capacity as an authorized officer of the Borrower, that these are prepared in accordance with
GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges, in the capacity as an authorized officer of the Borrower, that no borrowings may be requested at any time
or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not otherwise defined herein shall
have the meanings given them in the Agreement. 
 Please indicate compliance status by circling Yes/No under “Complies” column.

  

					
	 Reporting
Covenant
	  	 Required
	  	 Complies

	  	  	  	  	  
	 Monthly
financial statements with Compliance Certificate
	  	Monthly within 30 days	  	Yes    No
	 Annual
financial statement (CPA Audited)
	  	FYE within 210 days	  	Yes    No
	
Borrowing Base Certificate
	  	Monthly within 30 days (in which Credit Extensions are made under the Revolving Line)	  	Yes    No
	 FYE
Forecast and amendments thereto
	  	Annually, on or before the earlier of March 15, and 10 days of Board Approval	  	Yes    No
	 A/R
Agings, A/P Agings, and Deferred Revenue Report
	  	Monthly within 30 days	  	Yes    No

  

							
	
Financial Covenant
	  	
Required
	  	
Actual
	  	
Complies

	
    
	  	 	  	 	  	 
	 Maintain on a monthly
basis:
	  	 	  	 	  	 
	 Minimum
Adjusted Quick Ratio
	  	  1.75:1.0	  	            
:1.0	  	Yes    No
	 Maintain on a quarterly
basis:
	  	 	  	 	  	 
	 Minimum Revenue
	  	$                *	  	$              
  	  	Yes    No

  

	*	See Section 6.7(b) of the Agreement 

 The following financial covenant analysis and information set forth in Schedule 1 attached
hereto are true and accurate as of the date of this Certificate. 
 The following are the exceptions with respect to the
certification above: (If no exceptions exist, state “No exceptions to note.”) 
  

 
  

 
  

 
  

							
	DEMANDWARE, INC	 		 	BANK USE ONLY
		 		 	  
 Received by:
                                         
                      

		 		 		 	                            
        AUTHORIZED SIGNER
	By:	 	  
	 		 	  
 Date:
                                         
                                  

	Name:	 	  
	 		 	  
 Verified:
                                         
                            

	Title:	 	  
	 		 	                            
        AUTHORIZED SIGNER
		 		 		 	  
 Date:
                                         
                                  

 
 Compliance Status:
                        Yes        No

 Schedule 1 to Compliance Certificate 

Financial Covenants of Borrower 
 In the event of a conflict between this Schedule and the Loan Agreement, the terms of the Loan Agreement shall govern. 
 Dated:                      

 

	I.	Adjusted Quick Ratio (Section 6.7(a)) 

Required:             1.25:1.0 (monthly) 

Actual: 
  

							
	A.	  	 Aggregate value of the unrestricted cash of Borrower at
Bank
	  	$	                	  
	B.	  	 Aggregate value of the
net billed accounts receivable of Borrower not more than ninety (90) days past invoice date
	  	$	               
 	  
	C.	  	 Quick Assets (the sum of lines A and B)
	  	$	                	  
	D.	  	 Aggregate outstanding
Obligations
	  	$	               
 	  
	E.	  	 Adjusted Quick Ratio (line C divided by line
D)
	  	 	                	  

 Is Line E equal to or greater than 1.25:1.0? 

 

			
	             No, not in compliance	  	             Yes, in compliance

  

	II.	Minimum Revenue (Section 6.7(b) 

Required: 
 See chart below: 

 

			
	
Quarter

Ended
	  	Minimum Revenue
	
March 31, 2011
	  	$8,000,000
	 June 30, 2011
	  	$10,000,000
	
September 30, 2011
	  	$10,000,000
	 December 31, 2011
	  	$12,000,000
	 Each
quarter end thereafter
	  	The greater of (y) Eleven Million
Dollars
($11,000,000), and
(z) eighty-five percent (85%) of
the FYE Forecast

 Actual: minimum revenues (as defined under GAAP)
$             
  

			
	             No, not in compliance	  	             Yes, in complianceRights Agreement, dated as of August 25, 2011, between Nabi Biopharmaceuticals

 Exhibit 4.1 

 
  

 
 Nabi Biopharmaceuticals

 and 
 American Stock Transfer & Trust Company, LLC 
 as Rights Agent

 Rights Agreement 
 Dated as of August 25, 2011 
  

 
  

 RIGHTS AGREEMENT 

Rights Agreement, dated as of August 25, 2011 (this “Agreement”), between Nabi Biopharmaceuticals, a Delaware
corporation (the “Company”), and American Stock Transfer & Trust Company, LLC, a New York limited liability trust company, as Rights Agent (the “Rights Agent”). 

RECITALS 

WHEREAS, on August 24, 2011, the Board of Directors (the “Board”) of the Company authorized and adopted this
Agreement, and has authorized and declared a dividend of one preferred stock purchase right (a “Right”) for each share of Common Stock (as defined in Section 1.6) of the Company outstanding at the close of business on
August 25, 2011 (the “Record Date”) and has authorized and directed the issuance of one Right (subject to adjustment as provided herein) with respect to each share of Common Stock that shall become outstanding between the
Record Date and the earliest of the Distribution Date and the Expiration Date (as such terms are defined in Sections 3.1 and 7.1), each Right initially representing the right to purchase one one-thousandth (subject to adjustment) of a share
of Series A Junior Participating Preferred Stock (the “Preferred Stock”) of the Company having the rights, powers and preferences set forth in the form of Certificate of Designations of Series A Junior Participating Preferred Stock
attached hereto as Exhibit A, upon the terms and subject to the conditions hereinafter set forth, provided, however, that Rights may be issued with respect to Common Stock that shall become outstanding after the Distribution Date and
prior to the Expiration Date in accordance with Section 22; 
 WHEREAS, if the Company experiences an
“ownership change,” as defined in Section 382 of the Internal Revenue Code of 1986, as amended (the “Code”), its ability to use its net operating losses and certain other tax attributes (collectively,
“NOLs”) for income tax purposes could be substantially limited or lost altogether; and 
 WHEREAS, the Company
views its NOLs as a valuable asset of the Company, which is likely to inure to the benefit of the Company and its stockholders, and the Company believes that it is in the best interests of the Company and its stockholders that the Company provide
for the protection of the Company’s NOLs on the terms and conditions set forth herein. 
 NOW, THEREFORE, in consideration
of the premises and the mutual agreements herein set forth, the parties hereby agree as follows: 
 Section 1. Certain
Definitions. For purposes of this Agreement, the following terms have the meanings indicated: 
 1.1. “Acquiring
Person” shall mean any Person who or which, together with all Affiliates and Associates of such Person, from and after the date of this Agreement shall be the Beneficial Owner of 4.99% or more of the Common Stock then outstanding, but shall
not include (i) an Exempt Person or (ii) any Existing Holder, unless and until such time as such Existing Holder shall become the Beneficial Owner of (A) a percentage of the Common Stock then outstanding that is more than the
aggregate percentage of the outstanding Common Stock that 

 
such Existing Holder Beneficially Owns immediately prior to the first public announcement of the adoption of this Agreement (such aggregate amount being the “Exempt Ownership
Percentage” ) or (B) less than 4.99% of the Common Stock then outstanding (after which time, if such Person shall be the Beneficial Owner of 4.99% or more of the Common Stock then outstanding, such Person shall be or become deemed an
“Acquiring Person”). Notwithstanding the foregoing, no Person shall become an “Acquiring Person” as the result of an acquisition of Common Stock by the Company which, by reducing the number of shares outstanding, increases the
proportionate number of shares Beneficially Owned by such Person to 4.99% (or, in the case of an Existing Holder, the Exempt Ownership Percentage) or more of the Common Stock then outstanding; provided, however, that if a Person shall become
the Beneficial Owner of 4.99% (or, in the case of an Existing Holder, the Exempt Ownership Percentage) or more of the Common Stock then outstanding solely by reason of share purchases by the Company and shall, after such share purchases by the
Company, become the Beneficial Owner of one or more additional shares of Common Stock (other than pursuant to a dividend or distribution paid or made by the Company on the outstanding Common Stock in Common Stock or pursuant to a split or
subdivision of the outstanding Common Stock), then such Person shall be deemed to be an “Acquiring Person” unless, upon becoming the Beneficial Owner of such additional Common Stock, such Person does not Beneficially Own 4.99% (or, in the
case of an Existing Holder, the Exempt Ownership Percentage) or more of the Common Stock then outstanding. Notwithstanding the foregoing, if the Board determines in good faith that a Person who would otherwise be an “Acquiring Person,” as
defined pursuant to the foregoing provisions of this Section 1.1, has become such inadvertently (including, without limitation, because (A) such Person was unaware that it Beneficially Owned a percentage of Common Stock that would
otherwise cause such Person to be an “Acquiring Person” or (B) such Person was aware of the extent of its Beneficial Ownership of Common Stock but had no actual knowledge of the consequences of such Beneficial Ownership under this
Agreement), and such Person divests as promptly as practicable a sufficient number of shares of Common Stock so that such Person would no longer be an Acquiring Person, as defined pursuant to the foregoing provisions of this Section 1.1,
then such Person shall not be deemed to be or have become an “Acquiring Person” at any time for any purposes of this Agreement. For all purposes of this Agreement, any calculation of the number of shares of Common Stock outstanding at any
particular time, for purposes of determining the particular percentage of such outstanding Common Stock of which any Person is the Beneficial Owner, shall be made pursuant to and in accordance with Section 382 of the Code and the Treasury
Regulations promulgated thereunder. 
 1.2. “Affiliate” and “Associate” shall have the
respective meanings ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), as in effect on the date of this Agreement, and to the extent
not included within the foregoing clause of this Section 1.2, shall also include, with respect to any Person, any other Person (other than an Exempt Person or an Existing Holder) whose Common Stock would be deemed constructively owned by such
first Person for purposes of Section 382 of the Code and Treasury Regulations promulgated thereunder. 

  
 2 

 1.3. A Person shall be deemed the “Beneficial Owner” of and shall be deemed
to “Beneficially Own” or have “Beneficial Ownership” of any securities: 
 1.3.1. which such
Person or any of such Person’s Affiliates or Associates directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise has or shares: (A) voting power which includes the power to vote, or to direct the
voting of, such security (except that a Person shall not be deemed to be the Beneficial Owner of any security under this clause (A) if such voting power arises solely from a revocable proxy or consent given to such Person in response to
a public proxy or consent solicitation made pursuant to, and in accordance with, Section 14(a) of the Exchange Act by means of a solicitation statement filed on Schedule 14A), and/or (B) investment power which includes the power to
dispose, or to direct the disposition of such security; 
 1.3.2. which such Person or any of such Person’s Affiliates or
Associates directly or indirectly, has the Right to Acquire; provided, however, that a Person shall not be deemed the Beneficial Owner of, or to Beneficially Own, (w) securities tendered pursuant to a tender or exchange offer made by or
on behalf of such Person or any of such Person’s Affiliates or Associates until such tendered securities are accepted for purchase or exchange, (x) securities which such Person has a Right to Acquire upon the exercise of Rights at any time
prior to the time that any Person becomes an Acquiring Person, or (y) securities issuable upon the exercise of Rights from and after the time that any Person becomes an Acquiring Person if such Rights were acquired by such Person or any of such
Person’s Affiliates or Associates prior to the Distribution Date or pursuant to Section 3.1 or Section 22 (“Original Rights”) or pursuant to Section 11.9 or Section 11.15 with
respect to an adjustment to Original Rights; 
 1.3.3. which are Beneficially Owned, directly or indirectly, by any other Person
(or any Affiliate or Associate thereof) with whom such Person or any of such Person’s Affiliates or Associates, has an agreement, arrangement or understanding to act together for the purpose of acquiring, holding, voting or disposing of any
securities of the Company (except that a Person shall not be deemed to be the Beneficial Owner of any security under this clause 1.3.3 if such voting power arises solely from a revocable proxy or consent given to such Person in response to a
public proxy or consent solicitation made pursuant to, and in accordance with, Section 14(a) of the Exchange Act by means of a solicitation statement filed on Schedule 14A); 

1.3.4. of which such Person would otherwise be deemed to be the beneficial owner pursuant to Rule 13d-3 under the Exchange Act; or

 1.3.5. which such Person would be deemed to actually or constructively own for purposes of Section 382 of the Code, or
any successor provision or replacement provision. 
 No Person shall be deemed to be the “Beneficial Owner” of, to
have “Beneficial Ownership” of or to “Beneficially Own” any securities which such Person or any of such Person’s Affiliates or Associates would otherwise be deemed to “Beneficially Own” pursuant to this
Section 1.3 (x) solely as a result of any merger or other acquisition agreement between the Company and such Person (or one or more of such Person’s Affiliates or Associates), or any tender, voting or support agreement entered
into by such Person (or one or more of such Person’s Affiliates or Associates) in connection therewith, if, prior to such Person becoming an Acquiring Person, the Board has approved such merger or other acquisition agreement, or such tender,
voting or support agreement, (y) solely as a result of the Right to Acquire such securities unless the acquisition or transfer of such Right to Acquire would be deemed, on the date of such

  
 3 

 
acquisition or transfer, to constitute the exercise of such Right to Acquire for purposes of Section 1.382-4(d) of the Treasury Regulations promulgated under Section 382 of the Code, or
(z) solely as a result of any agreement, arrangement, understanding or relationship unless the effect thereof is to treat such Person, or any of such Person’s Affiliates or Associates, as an “entity” under
Section 1.382-3(a)(1) of the Treasury Regulations promulgated under Section 382 of the Code. 
 No Person who is an
officer, director or employee of an Exempt Person shall be deemed, solely by reason of such Person’s status or authority as such, to be the “Beneficial Owner” of, to have “Beneficial Ownership” of or to “Beneficially
Own” any securities that are “Beneficially Owned” (as defined in this Section 1.3), including, without limitation, in a fiduciary capacity, by an Exempt Person or by any other such officer, director or employee of an
Exempt Person. 
 1.4. “Business Day” shall mean any day other than a Saturday, Sunday, or a day on which
banking institutions in the State of New York are authorized or obligated by law or executive order to close. 
 1.5.
“close of business” on any given date shall mean 5:00 p.m., New York time, on such date; provided, however, that if such date is not a Business Day it shall mean 5:00 p.m., New York time, on the next succeeding Business Day.

 1.6. “Common Stock” shall mean the common stock, par value $.10 per share, of the Company. 

1.7. “Exempt Person” shall mean (i) the Company, any Subsidiary of the Company, in each case including, without
limitation, the officers and board of directors thereof acting in their fiduciary capacity, or any employee benefit plan of the Company or of any Subsidiary of the Company or any entity or trustee holding shares of capital stock of the Company for
or pursuant to the terms of any such plan, or for the purpose of funding other employee benefits for employees of the Company or any Subsidiary of the Company, (ii) any Person deemed to be an “Exempt Person” in accordance with
Section 28, and (iii) any other Person whose Beneficial Ownership (together with all Affiliates and Associates of such Person) of 4.99% or more of the then-outstanding Common Stock (or, in the case of an Existing Holder, shares of
Common Stock in excess of the Exempt Ownership Percentage) will not, as determined by the Board in its sole discretion, jeopardize or endanger the availability to the Company of the NOLs; provided, however, that any Person deemed to be
an “Exempt Person” pursuant to this subclause (iii) will cease to be an “Exempt Person” if the Board makes a contrary determination with respect to the effect of such Person’s Beneficial Ownership (together with all
Affiliates and Associates of such Person) upon the availability to the Company of its NOLs. 
 1.8. “Existing
Holder” shall mean any Person who, immediately prior to the first public announcement of the adoption of this Agreement, together with any Affiliates and Associates of such Person, is the Beneficial Owner of 4.99% or more of the Common
Stock then outstanding. 

  
 4 

 1.9. “Person” shall mean any individual, partnership, joint venture,
limited liability company, firm, corporation, unincorporated association, trust or other entity, and shall include any successor (by merger or otherwise) of such entity. 
 1.10. “Right to Acquire” shall mean a legal, equitable or contractual right to acquire any securities (whether directly or indirectly and whether exercisable immediately, or only after
the passage of time, compliance with regulatory requirements, fulfillment of a condition or otherwise), pursuant to any agreement, arrangement or understanding, whether or not in writing (excluding customary agreements entered into in good faith
with and between an underwriter and selling group members in connection with a firm commitment underwriting registered under the Securities Act of 1933, as amended (the “Securities Act”)), or upon the exercise of any option, warrant
or right, through conversion of a security, pursuant to the power to revoke a trust, discretionary account or similar arrangement, pursuant to the power to terminate a repurchase or similar so-called “stock borrowing” agreement or
arrangement, or pursuant to the automatic termination of a trust, discretionary account or similar arrangement. 
 1.11.
“Stock Acquisition Date” shall mean the first date of public announcement (which, for purposes of this definition, shall include, without limitation, the filing of a report pursuant to Section 13(d) of the Exchange Act or
pursuant to a comparable successor statute) by the Company or an Acquiring Person that an Acquiring Person has become such or that discloses information which reveals the existence of an Acquiring Person or such earlier date as a majority of the
Board shall become aware of the existence of an Acquiring Person. 
 1.12. “Subsidiary” of any Person shall
mean any partnership, joint venture, limited liability company, firm, corporation, unincorporated association, trust or other entity of which a majority of the voting power of the voting equity securities or equity interests is owned, of record or
beneficially, directly or indirectly, by such Person. 
 1.13. A “Trigger Event” shall be deemed to have
occurred upon any Person becoming an Acquiring Person. 
 1.14. The following terms shall have the meanings defined for such
terms in the Sections set forth below: 
  

			
	 Term
	  	 Section

		
	Adjustment Shares	  	11.1.2
	Agreement	  	Preamble
	Board	  	Recitals
	Book Entry Shares	  	3.1
	Code	  	Recitals
	common stock equivalent	  	11.1.3
	Company	  	Preamble
	current per share market price	  	11.4.1
	Current Value	  	11.1.3
	Distribution Date	  	3.1
	equivalent preferred stock	  	11.2

  
 5 

			
	Exchange Act	  	1.2
	Exchange Consideration	  	27.1
	Exempt Ownership Percentage	  	1.1
	Exemption Request	  	28
	Expiration Date	  	7.1
	Final Expiration Date	  	7.1
	NOLs	  	Recitals
	Original Rights	  	1.3.2
	Preferred Stock	  	Recitals
	Purchase Price	  	4
	Record Date	  	Recitals
	Redemption Date	  	7.1
	Redemption Price	  	23.1
	Requesting Person	  	28
	Right	  	Recitals
	Right Certificate	  	3.1
	Rights Agent	  	Preamble
	Securities Act	  	1.10
	Security	  	11.4.1
	Spread	  	11.1.3
	Substitution Period	  	11.1.3
	Summary of Rights	  	3.2
	Trading Day	  	11.4.1
	Trust	  	27.1
	Trust Agreement	  	27.1

 Section 2. Appointment of Rights Agent. The Company hereby appoints the Rights Agent to act as
agent for the Company and the holders of the Rights (who, in accordance with Section 3, shall prior to the Distribution Date also be the holders of the Common Stock) in accordance with the terms and conditions hereof, and the Rights
Agent hereby accepts such appointment. The Company may from time to time appoint such co-Rights Agents as it may deem necessary or desirable. In the event the Company appoints one or more co-Rights Agents, the respective duties of the Rights Agent
and any co-Rights Agent shall be as the Company shall determine. Contemporaneously with such appointment, if any, the Company shall notify the Rights Agent thereof. 
 Section 3. Issuance of Right Certificates. 
 3.1.
Rights Evidenced by Stock Certificates. Until the earlier of (i) the tenth (10th) Business Day after the Stock Acquisition Date or (ii) the tenth
(10th) Business Day after the date of the
commencement of, or first public announcement of, the intent of any Person (other than an Exempt Person) to commence, a tender or exchange offer the consummation of which would result in any Person (other than an Exempt Person) becoming the
Beneficial Owner of Common Stock aggregating 4.99% or more of the then outstanding Common Stock (the earlier of (i) and (ii) being herein referred to as the “Distribution Date”), (x) the Rights (unless earlier
expired, redeemed or terminated) will be evidenced (subject to the provisions of Section 3.2) by the certificates for Common Stock registered in the names of the holders thereof or, in

  
 6 

 
the case of uncertificated shares of Common Stock registered in book entry form (“Book Entry Shares”), by notation in book entry (which certificates for Common Stock and Book Entry
Shares shall also be deemed to be Right Certificates) and not by separate certificates, and (y) the Rights (and the right to receive certificates therefor) will be transferable only in connection with the transfer of the underlying Common
Stock. The preceding sentence notwithstanding, prior to the occurrence of a Distribution Date specified as a result of an event described in clause (ii) (or such later Distribution Date as the Board may select pursuant to this sentence), the
Board may postpone, one or more times, the Distribution Date which would occur as a result of an event described in clause (ii) beyond the date set forth in such clause (ii). Nothing herein shall permit such a postponement of a Distribution
Date after a Person becomes an Acquiring Person, except as a result of the operation of the third sentence of Section 1.1. As soon as practicable after the Distribution Date, the Company will prepare and execute, the Rights Agent will
countersign and the Company (or, if requested, the Rights Agent) will send, by first-class, postage-prepaid mail, to each record holder of Common Stock as of the close of business on the Distribution Date (other than any Acquiring Person or any
Associate or Affiliate of an Acquiring Person), at the address of such holder shown on the records of the Company, one or more certificates for Rights, in substantially the form of Exhibit B hereto (a “Right Certificate”),
evidencing one Right (subject to adjustment as provided herein) for each share of Common Stock so held. As of the Distribution Date, the Rights will be evidenced solely by such Right Certificates. 

3.2. Summary of Rights. On the Record Date or as soon as practicable thereafter, the Company will send or cause to be sent a copy
of a Summary of Rights to Purchase Preferred Stock, in substantially the form attached hereto as Exhibit C (the “Summary of Rights”), by first-class, postage-prepaid mail, to each record holder of Common Stock as of the close
of business on the Record Date (other than any Acquiring Person or any Associate or Affiliate of any Acquiring Person), at the address of such holder shown on the records of the Company. With respect to certificates for Common Stock and Book Entry
Shares outstanding as of the close of business on the Record Date, until the Distribution Date (or the earlier Expiration Date), the Rights will be evidenced by such certificates for Common Stock registered in the names of the holders thereof or
Book Entry Shares, as applicable, together with a copy of the Summary of Rights and the registered holders of the Common Stock shall also be registered holders of the associated Rights. Until the Distribution Date (or the earlier Expiration Date),
the surrender for transfer of any certificate for Common Stock or Book Entry Shares outstanding at the close of business on the Record Date, with or without a copy of the Summary of Rights, shall also constitute the transfer of the Rights associated
with the Common Stock represented thereby and the Book Entry Shares, as applicable. 
 3.3. New Certificates and
Uncertificated Shares After Record Date. Certificates for Common Stock which become outstanding after the Record Date but prior to the earliest of the Distribution Date or the Expiration Date, shall have impressed, printed, stamped, written or
otherwise affixed onto them the following legend: 
 This certificate also evidences and entitles the holder hereof to certain
rights as set forth in an Agreement between Nabi Biopharmaceuticals (the “Company”) and American Stock Transfer & Trust Company, LLC, as Rights Agent, dated as of August 25, 2011, as the same may be amended from time to time
(the “Agreement”), the terms of which are hereby incorporated herein by reference and 

  
 7 

 
a copy of which is on file at the principal executive offices of the Company. Under certain circumstances, as set forth in the Agreement, such Rights will be evidenced by separate certificates
and will no longer be evidenced by this certificate. The Company will mail to the holder of this certificate a copy of the Agreement without charge after receipt of a written request therefor. As described in the Agreement, Rights which are owned
by, transferred to or have been owned by Acquiring Persons or Associates or Affiliates thereof (as defined in the Agreement) shall become null and void and will no longer be transferable. 

With respect to any Book Entry Shares, such legend shall be included in a notice to the record holder of such shares in accordance with applicable law.
Until the Distribution Date (or the earlier Expiration Date), the Rights associated with the Common Stock represented by such certificates and such Book Entry Shares shall be evidenced by such certificates and the Book Entry Shares alone, and the
surrender for transfer of any such certificates or Book Entry Shares, except as otherwise provided herein, shall also constitute the transfer of the Rights associated with the Common Stock represented thereby. In the event that the Company purchases
or acquires any Common Stock after the Record Date but prior to the Distribution Date, any Rights associated with such Common Stock shall be deemed canceled and retired so that the Company shall not be entitled to exercise any Rights associated with
the shares of Common Stock that are no longer outstanding. 
 Notwithstanding this Section 3.3, neither the omission
of the legend, nor the failure to provide the notice thereof, shall affect the enforceability of any part of this Agreement or the rights of any holder of the Rights. 
 Section 4. Form of Right Certificates. The Right Certificates (and the forms of election to purchase shares, certification and assignment to be printed on the reverse thereof) shall be
substantially the same as Exhibit B hereto and may have such marks of identification or designation and such legends, summaries or endorsements printed thereon as the Company may deem appropriate and as are not inconsistent with the
provisions of this Agreement, or as may be required to comply with any applicable law or with any rule or regulation made pursuant thereto or with any rule or regulation of any stock exchange or trading system on which the Rights may from time to
time be listed or quoted, or to conform to usage. Subject to the terms and conditions hereof, the Right Certificates, whenever issued, shall be dated as of the Record Date, and shall show the date of countersignature by the Rights Agent, and on
their face shall entitle the holders thereof to purchase such number of one one-thousandths of a share of Preferred Stock as shall be set forth therein at the price per one one-thousandth of a share of Preferred Stock set forth therein (the
“Purchase Price”), but the number of such one one-thousandths of a share of Preferred Stock and the Purchase Price shall be subject to adjustment as provided herein. 

Section 5. Countersignature and Registration. The Right Certificates shall be executed on behalf of the Company by the President,
Chief Executive Officer, the Treasurer, the Secretary or any Vice President, shall have affixed thereto the Company’s seal or a facsimile thereof, and shall be attested by the Corporate Secretary or any Assistant Secretary of the Company or by
such other officers as the Board may designate, either manually or by facsimile signature. The Right Certificates shall be countersigned, either manually or by facsimile 

  
 8 

 
signature, by an authorized signatory of the Rights Agent, but it shall not be necessary for the same signatory to countersign all of the Right Certificates hereunder. No Right Certificate shall
be valid for any purpose unless so countersigned. In case any officer of the Company who shall have signed any of the Right Certificates shall cease to be such officer of the Company before countersignature by the Rights Agent and issuance and
delivery by the Company, such Right Certificates, nevertheless, may be countersigned by the Rights Agent, and issued and delivered by the Company with the same force and effect as though the person who signed such Right Certificates had not ceased
to be such officer of the Company; and any Right Certificate may be signed on behalf of the Company by any person who, at the actual date of the execution of such Right Certificate, shall be a proper officer of the Company to sign such Right
Certificate, although at the date of the execution of this Agreement any such person was not such an officer. 
 Following the
Distribution Date, the Rights Agent will keep or cause to be kept, at its principal office, books for registration and transfer of the Right Certificates issued hereunder. Such books shall show the names and addresses of the respective holders of
the Right Certificates, the number of Rights evidenced on its face by each of the Right Certificates, the certificate number of each of the Right Certificates and the date of each of the Right Certificates. 

Section 6. Transfer, Split Up, Combination and Exchange of Right Certificates; Mutilated, Destroyed, Lost or Stolen Right
Certificates. Subject to the provisions of Section 11.1.2 and Section 14, at any time after the close of business on the Distribution Date, and at or prior to the close of business on the Expiration Date, any Right
Certificate or Right Certificates (other than Right Certificates representing Rights that have become void pursuant to Section 11.1.2 or that have been exchanged pursuant to Section 27) may be transferred, split up or
combined or exchanged for another Right Certificate or Right Certificates, entitling the registered holder to purchase a like number of one one-thousandths of a share of Preferred Stock as the Right Certificate or Right Certificates surrendered then
entitled such holder to purchase. Any registered holder desiring to transfer, split up or combine or exchange any Right Certificate shall make such request in writing delivered to the Rights Agent, and shall surrender, together with any required
form of assignment and certificate duly completed, the Right Certificate or Right Certificates to be transferred, split up or combined or exchanged at the office of the Rights Agent designated for such purpose. Neither the Rights Agent nor the
Company shall be obligated to take any action whatsoever with respect to the transfer of any such surrendered Right Certificate or Right Certificates until the registered holder shall have completed and signed the certificate contained in the form
of assignment on the reverse side of such Right Certificate or Right Certificates and shall have provided such additional evidence of the identity of the Beneficial Owner (or former Beneficial Owner) or Affiliates or Associates thereof as the
Company shall reasonably request. Thereupon, the Rights Agent shall countersign and deliver to the person entitled thereto a Right Certificate or Right Certificates, as the case may be, as so requested. The Company may require payment from the
holders of Right Certificates of a sum sufficient to cover any tax or governmental charge that may be imposed in connection with any transfer, split up or combination or exchange of such Right Certificates. 

Subject to the provisions of Section 11.1.2, at any time after the Distribution Date and prior to the Expiration Date, upon
receipt by the Company and the Rights Agent of evidence reasonably satisfactory to them of the loss, theft, destruction or mutilation of a Right Certificate, and, in case of loss, theft or destruction, of indemnity or security reasonably
satisfactory to them, 

  
 9 

 
and, at the Company’s request, reimbursement to the Company and the Rights Agent of all reasonable expenses incidental thereto, and upon surrender to the Rights Agent and cancellation of the
Right Certificate if mutilated, the Company will make and deliver a new Right Certificate of like tenor to the Rights Agent for countersignature and delivery to the registered owner in lieu of the Right Certificate so lost, stolen, destroyed or
mutilated. 
 Section 7. Exercise of Rights; Purchase Price; Expiration Date of Rights. 

7.1. Exercise of Rights. Subject to Section 11.1.2 and except as otherwise provided herein, the registered holder of
any Right Certificate may exercise the Rights evidenced thereby in whole or in part at any time after the Distribution Date upon surrender of the Right Certificate, with the form of election to purchase and certification on the reverse side thereof
duly executed, to the Rights Agent at the office of the Rights Agent designated for such purpose, together with payment of the aggregate Purchase Price for the total number of one one-thousandths of a share of Preferred Stock (or other securities,
cash or other assets) as to which the Rights are exercised, at or prior to the time (the “Expiration Date”) that is the earliest of (i) the close of business on August 24, 2014 (the “Final Expiration
Date”), (ii) the time at which the Rights are redeemed as provided in Section 23 (the “Redemption Date”), (iii) the time at which the Rights are exchanged as provided in Section 27, or
(iv) the time at which the Company’s Board of Directors determines that the NOLs are fully utilized or no longer available under Section 382 of the Code. 
 7.2. Purchase. The Purchase Price for each one one-thousandth of a share of Preferred Stock pursuant to the exercise of a Right shall be initially $7.00, shall be subject to adjustment from time to
time as provided in Sections 11 and 26 and shall be payable in lawful money of the United States of America in accordance with Section 7.3. 
 7.3. Payment Procedures. Upon receipt of a Right Certificate representing exercisable Rights, with the form of election to purchase and certification duly executed, accompanied by payment of the
aggregate Purchase Price for the total number of one one-thousandths of a share of Preferred Stock to be purchased and an amount equal to any applicable transfer tax required to be paid by the holder of such Right Certificate in accordance with
Section 9, in cash or by certified or cashier’s check or money order payable to the order of the Company, the Rights Agent shall thereupon promptly (i)(A) requisition from any transfer agent of the Preferred Stock (or make
available, if the Rights Agent is the transfer agent) certificates for the number of shares of Preferred Stock to be purchased and the Company hereby irrevocably authorizes its transfer agent to comply with all such requests, or (B) if the
Company shall have elected to deposit the total number of shares of Preferred Stock issuable upon exercise of the Rights hereunder with a depository agent, requisition from the depository agent depository receipts representing interests in such
number of one one-thousandths of a share of Preferred Stock as are to be purchased (in which case certificates for the Preferred Stock represented by such receipts shall be deposited by the transfer agent with the depository agent) and the Company
hereby directs the depository agent to comply with all such requests, (ii) when appropriate, requisition from the Company the amount of cash to be paid in lieu of the issuance of fractional shares in accordance with Section 14 or
otherwise in accordance with Section 11.1.3, (iii) promptly after receipt of such certificates or depository receipts, cause the same to be 

  
 10 

 
delivered to or upon the order of the registered holder of such Right Certificate, registered in such name or names as may be designated by such holder and (iv) when appropriate, after
receipt, promptly deliver such cash to or upon the order of the registered holder of such Right Certificate. In the event that the Company is obligated to issue other securities of the Company, pay cash and/or distribute other property pursuant to
Section 11.1.3, the Company will make all arrangements necessary so that such other securities, cash and/or other property are available for distribution by the Rights Agent, if and when appropriate. 

7.4. Partial Exercise. In case the registered holder of any Right Certificate shall exercise less than all the Rights evidenced
thereby, a new Right Certificate evidencing Rights equivalent to the Rights remaining unexercised shall be issued by the Rights Agent and delivered to the registered holder of such Right Certificate or to his or her duly authorized assigns, subject
to the provisions of Section 14. 
 7.5. Full Information Concerning Ownership. Notwithstanding anything in
this Agreement to the contrary, neither the Rights Agent nor the Company shall be obligated to undertake any action with respect to a registered holder of Rights upon the occurrence of any purported exercise as set forth in this
Section 7 unless the certificate contained in the form of election to purchase set forth on the reverse side of the Right Certificate surrendered for such exercise shall have been duly completed and executed by the registered holder
thereof and the Company shall have been provided with such additional evidence of the identity of the Beneficial Owner (or former Beneficial Owner) or Affiliates or Associates thereof as the Company shall reasonably request. 

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

Section 9. Reservation and Availability of Capital Stock. The Company covenants and agrees that, from and after the Distribution
Date, it will cause to be reserved and kept available out of its authorized and unissued Preferred Stock (and, following the occurrence of a Trigger Event, out of its authorized and unissued Common Stock or other securities or out of its shares held
in its treasury) the number of shares of Preferred Stock (and, following the occurrence of a Trigger Event, Common Stock and/or other securities) that will be sufficient to permit the exercise in full of all outstanding Rights. 

So long as the Preferred Stock (and, following the occurrence of a Trigger Event, Common Stock and/or other securities) issuable upon the
exercise of Rights may be listed on any national securities exchange or traded in the over-the-counter market, the Company shall use its 

  
 11 

 
best efforts to cause, from and after such time as the Rights become exercisable, all shares reserved for such issuance to be listed or admitted to trading on such exchange or market upon
official notice of issuance upon such exercise. 
 The Company covenants and agrees that it will take all such action as may be
necessary to ensure that all Preferred Stock (and, following the occurrence of a Trigger Event, Common Stock and/or other securities) delivered upon exercise of Rights shall, at the time of delivery of the certificates for such shares (subject to
payment of the Purchase Price), be duly and validly authorized and issued and fully paid and nonassessable shares. 
 From and
after such time as the Rights become exercisable, the Company shall use its best efforts, if then necessary to permit the issuance of Preferred Stock upon the exercise of Rights, to register and qualify such Preferred Stock under the Securities Act
and any applicable state securities or “Blue Sky” laws (to the extent exemptions therefrom are not available), cause such registration statement and qualifications to become effective as soon as possible after such filing and keep such
registration and qualifications effective until the earlier of the date as of which the Rights are no longer exercisable for such securities and the Expiration Date. The Company may temporarily suspend, for a period of time not to exceed one hundred
twenty (120) days, the exercisability of the Rights in order to prepare and file a registration statement under the Securities Act and permit it to become effective. Upon any such suspension, the Company shall issue a public announcement
stating that the exercisability of the Rights has been temporarily suspended, as well as a public announcement at such time as the suspension is no longer in effect. Notwithstanding any provision of this Agreement to the contrary, the Rights shall
not be exercisable in any jurisdiction unless the requisite qualification in such jurisdiction shall have been obtained and until a registration statement under the Securities Act (if required) shall have been declared effective. 

The Company further covenants and agrees that it will pay when due and payable any and all Federal and state transfer taxes and charges
which may be payable in respect of the issuance or delivery of the Right Certificates or of any Preferred Stock (or Common Stock and/or other securities, as the case may be) upon the exercise of Rights. The Company shall not, however, be required to
pay any transfer tax which may be payable in respect of any transfer or delivery of Right Certificates to a person other than, or the issuance or delivery of certificates for the Preferred Stock (or Common Stock and/or other securities, as the case
may be) in a name other than that of, the registered holder of the Right Certificate evidencing Rights surrendered for exercise or to issue or deliver any certificates for Preferred Stock (or Common Stock and/or other securities, as the case may be)
in a name other than that of the registered holder upon the exercise of any Rights until any such tax shall have been paid (any such tax being payable by the registered holder of such Right Certificate at the time of surrender) or until it has been
established to the Company’s satisfaction that no such tax is due. 
 Section 10. Preferred Stock Record Date. Each
person in whose name any certificate for Preferred Stock (or Common Stock and/or other securities, as the case may be) is issued upon the exercise of Rights shall for all purposes be deemed to have become the holder of record of the Preferred Stock
(or Common Stock and/or other securities, as the case may be) represented thereby on, and such certificate shall be dated, the date upon which the Right Certificate evidencing such Rights was duly surrendered and payment of the Purchase Price (and

  
 12 

 
any applicable transfer taxes) was made; provided, however, that if the date of such surrender and payment is a date upon which the Preferred Stock (or Common Stock and/or other
securities, as the case may be) transfer books of the Company are closed, such person shall be deemed to have become the record holder of such shares (fractional or otherwise) on, and such certificate shall be dated, the next succeeding Business Day
on which the Preferred Stock (or Common Stock and/or other securities, as the case may be) transfer books of the Company are open. Prior to the exercise of the Rights evidenced thereby, the holder of a Right Certificate shall not be entitled to any
rights of a holder of Preferred Stock for which the Rights shall be exercisable, including, without limitation, the right to vote or to receive dividends or other distributions, and shall not be entitled to receive any notice of any proceedings of
the Company, except as provided herein. 
 Section 11. Adjustment of Purchase Price, Number of Shares or Number of
Rights. The Purchase Price, the number of shares of Preferred Stock or other securities or property purchasable upon exercise of each Right and the number of Rights outstanding are subject to adjustment from time to time as provided in this
Section 11. 
 11.1. Post-Execution Events. 

11.1.1. Corporate Dividends, Reclassifications, Etc. In the event the Company shall, at any time after the date of this Agreement,
(A) declare and pay a dividend on the Preferred Stock payable in Preferred Stock, (B) subdivide the outstanding Preferred Stock, (C) combine the outstanding Preferred Stock into a smaller number of shares of Preferred Stock or
(D) issue any shares of its capital stock in a reclassification of the Preferred Stock (including any such reclassification in connection with a consolidation or merger in which the Company is the continuing or surviving corporation), except as
otherwise provided in this Section 11.1.1, the Purchase Price in effect at the time of the record date for such dividend or of the effective date of such subdivision, combination or reclassification, and the number and kind of shares of
capital stock issuable on such date, shall be proportionately adjusted so that the holder of any Right exercised after such time shall be entitled to receive the aggregate number and kind of shares of capital stock which, if such Right had been
exercised immediately prior to such date and at a time when the Preferred Stock transfer books of the Company were open, he would have owned upon such exercise and been entitled to receive by virtue of such dividend, subdivision, combination or
reclassification; provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the shares of capital stock of the Company issuable upon exercise of one Right. If
an event occurs which would require an adjustment under both Section 11.1.1 and Section 11.1.2, the adjustment provided for in this Section 11.1.1 shall be in addition to, and shall be made prior to, the
adjustment required pursuant to, Section 11.1.2. 
 11.1.2. Acquiring Person Events; Triggering Events.
Subject to Section 27, in the event that a Trigger Event occurs, then, from and after the first occurrence of such event, each holder of a Right, except as provided below, shall thereafter have a right to receive, upon exercise thereof
at a price per Right equal to the then current Purchase Price multiplied by the number of one one-thousandths of a share of Preferred Stock for which a Right is then exercisable (without giving effect to this Section 11.1.2), in
accordance with the terms of this Agreement and in lieu of Preferred Stock, such number of shares of Common Stock as shall 

  
 13 

 
equal the result obtained by (x) multiplying the then current Purchase Price by the then number of one one-thousandths of a share of Preferred Stock for which a Right is then exercisable
(without giving effect to this Section 11.1.2) and (y) dividing that product by 50% of the current per share market price of the Common Stock (determined pursuant to Section 11.4) on the first date of the occurrence of,
or the date of the first public announcement of, a Trigger Event (the “Adjustment Shares”); provided that the Purchase Price and the number of Adjustment Shares shall thereafter be subject to further adjustment as appropriate
in accordance with Section 11.6. Notwithstanding the foregoing, upon the occurrence of a Trigger Event, any Rights that are or were acquired or Beneficially Owned by (1) any Acquiring Person or any Associate or Affiliate thereof,
(2) a transferee of any Acquiring Person (or of any such Associate or Affiliate) who becomes a transferee after the Acquiring Person becomes such, or (3) a transferee of any Acquiring Person (or of any such Associate or Affiliate) who
becomes a transferee prior to or concurrently with the Acquiring Person becoming such and receives such Rights pursuant to either (A) a transfer (whether or not for consideration) from the Acquiring Person to holders of equity interests in such
Acquiring Person or to any Person with whom the Acquiring Person has any continuing agreement, arrangement or understanding regarding the transferred Rights or (B) a transfer which the Board has determined is part of a plan, arrangement or
understanding which has as a primary purpose or effect avoidance of this Section 11.1.2, and subsequent transferees, shall become void without any further action, and any holder (whether or not such holder is an Acquiring Person or an
Associate or Affiliate of an Acquiring Person) of such Rights shall thereafter have no right to exercise such Rights under any provision of this Agreement or otherwise. From and after the Trigger Event, no Right Certificate shall be issued pursuant
to Section 3 or Section 6 that represents Rights that are or have become void pursuant to the provisions of this paragraph, and any Right Certificate delivered to the Rights Agent that represents Rights that are or have
become void pursuant to the provisions of this paragraph shall be canceled. 
 The Company shall use all reasonable efforts to
ensure that the provisions of this Section 11.1.2 are complied with, but shall have no liability to any holder of Right Certificates or any other Person as a result of its failure to make any determinations with respect to any Acquiring
Person or its Affiliates, Associates or transferees hereunder. 
 11.1.3. Insufficient Shares. The Company may at its
option substitute for Common Stock issuable upon the exercise of Rights in accordance with the foregoing Section 11.1.2 a number of shares of Preferred Stock or fraction thereof such that the current per share market price of one share
of Preferred Stock multiplied by such number or fraction is equal to the current per share market price of one share of Common Stock. In the event that upon the occurrence of a Trigger Event there shall not be sufficient Common Stock authorized but
unissued, or held by the Company as treasury shares, to permit the exercise in full of the Rights in accordance with the foregoing Section 11.1.2, the Company shall take all such action as may be necessary to authorize additional Common
Stock for issuance upon exercise of the Rights, provided, however, that if the Company determines that it is unable to cause the authorization of a sufficient number of additional shares of Common Stock, then, in the event the Rights become
exercisable, the Company, with respect to each Right and to the extent necessary and permitted by applicable law and any agreements or instruments in effect on the date hereof to which it is a party, shall: (A) determine the excess of
(1) the value of the Adjustment Shares issuable upon the exercise of a Right (the “Current Value”), over (2) the Purchase Price (such excess, the 

  
 14 

 
“Spread”) and (B) with respect to each Right (other than Rights which have become void pursuant to Section 11.1.2), make adequate provision to substitute for the
Adjustment Shares, upon payment of the applicable Purchase Price, (1) cash, (2) a reduction in the Purchase Price, (3) Preferred Stock, (4) other equity securities of the Company (including, without limitation, shares, or
fractions of shares, of preferred stock which, by virtue of having dividend, voting and liquidation rights substantially comparable to those of the Common Stock, the Board has deemed in good faith to have substantially the same value as the Common
Stock) (each such share of preferred stock or fractions of shares of preferred stock constituting a “common stock equivalent”)), (5) debt securities of the Company, (6) other assets or (7) any combination of the
foregoing having an aggregate value equal to the Current Value, where such aggregate value has been determined by the Board based upon the advice of a nationally recognized investment banking firm selected in good faith by the Board; provided,
however, that if the Company shall not have made adequate provision to deliver value pursuant to clause (B) above within thirty (30) days following the occurrence of a Trigger Event, then the Company shall be obligated to deliver, to
the extent necessary and permitted by applicable law and any agreements or instruments in effect on the date hereof to which it is a party, upon the surrender for exercise of a Right and without requiring payment of the Purchase Price, Common Stock
(to the extent available) and then, if necessary, such number or fractions of Preferred Stock (to the extent available) and then, if necessary, cash, which shares and/or cash have an aggregate value equal to the Spread. If the Board shall determine
in good faith that it is unlikely that sufficient additional Common Stock would be authorized for issuance upon exercise in full of the Rights, the thirty (30) day period set forth above may be extended and re-extended to the extent necessary,
but not more than ninety (90) days following the occurrence of a Trigger Event, in order that the Company may seek stockholder approval for the authorization of such additional shares (such period as may be extended, the “Substitution
Period”). To the extent that the Company determines that some actions need be taken pursuant to the second and/or third sentences of this Section 11.1.3, the Company (x) shall provide that such action shall apply uniformly
to all outstanding Rights, and (y) may suspend the exercisability of the Rights until the expiration of the Substitution Period in order to seek any authorization of additional shares and/or to decide the appropriate form of distribution to be
made pursuant to such first sentence and to determine the value thereof. In the event of any such suspension, the Company shall issue a public announcement stating that the exercisability of the Rights has been temporarily suspended as well as a
public announcement at such time as the suspension is no longer in effect. For purposes of this Section 11.1.3, the value of a share of Common Stock shall be the current per share market price (as determined pursuant to
Section 11.4) on the date of the occurrence of a Trigger Event and the value of any “common stock equivalent” shall be deemed to have the same value as the Common Stock on such date. The Board may, but shall not be required to,
establish procedures to allocate the right to receive Common Stock upon the exercise of the Rights among holders of Rights pursuant to this Section 11.1.3. 
 11.2. Dilutive Rights Offering. In case the Company shall fix a record date for the issuance of rights, options or warrants to all holders of Preferred Stock entitling them (for a period expiring
within forty-five (45) calendar days after such record date) to subscribe for or purchase Preferred Stock (or securities having the same rights, privileges and preferences as the Preferred Stock (“equivalent preferred stock”))
or securities convertible into Preferred Stock or equivalent preferred stock at a price per share of Preferred Stock or per share of equivalent preferred stock (or having a conversion or exercise price per share, if a security convertible into

  
 15 

 
or exercisable for Preferred Stock or equivalent preferred stock) less than the current per share market price of the Preferred Stock (as determined pursuant to Section 11.4) on such
record date, the Purchase Price to be in effect after such record date shall be determined by multiplying the Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the number of shares of
Preferred Stock and shares of equivalent preferred stock outstanding on such record date plus the number of shares of Preferred Stock and shares of equivalent preferred stock which the aggregate offering price of the total number of shares of
Preferred Stock and/or shares of equivalent preferred stock to be offered (and/or the aggregate initial conversion price of the convertible securities so to be offered) would purchase at such current per share market price and the denominator of
which shall be the number of shares of Preferred Stock and shares of equivalent preferred stock outstanding on such record date plus the number of additional Preferred Stock and/or shares of equivalent preferred stock to be offered for subscription
or purchase (or into which the convertible securities so to be offered are initially convertible); provided, however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of
the shares of capital stock of the Company issuable upon exercise of one Right. In case such subscription price may be paid in a consideration part or all of which shall be in a form other than cash, the value of such consideration shall be as
determined in good faith by the Board, whose determination shall be described in a statement filed with the Rights Agent and shall be binding on the Rights Agent and the holders of the Rights. Preferred Stock and shares of equivalent preferred stock
owned by or held for the account of the Company or any Subsidiary of the Company shall not be deemed outstanding for the purpose of any such computation. Such adjustments shall be made successively whenever such a record date is fixed; and in the
event that such rights or warrants are not so issued, the Purchase Price shall be adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed. 

11.3. Distributions. In case the Company shall fix a record date for the making of a distribution to all holders of the Preferred
Stock (including any such distribution made in connection with a consolidation or merger in which the Company is the continuing or surviving corporation) of evidences of indebtedness, cash, securities or assets (other than a regular periodic cash
dividend at a rate not in excess of 125% of the rate of the last regular periodic cash dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not in excess of 50% of the average net income per
share of the Company for the four quarters ended immediately prior to the payment of such dividend, or a dividend payable in Preferred Stock (which dividend, for purposes of this Agreement, shall be subject to the provisions of
Section 11.1.1(A))) or convertible securities, or subscription rights or warrants (excluding those referred to in Section 11.2), the Purchase Price to be in effect after such record date shall be determined by multiplying the
Purchase Price in effect immediately prior to such record date by a fraction, the numerator of which shall be the current per share market price of the Preferred Stock (as determined pursuant to Section 11.4) on such record date, less
the fair market value (as determined in good faith by the Board, whose determination shall be described in a statement filed with the Rights Agent) of the portion of the cash, assets, securities or evidences of indebtedness so to be distributed or
of such subscription rights or warrants applicable to one share of Preferred Stock and the denominator of which shall be such current per share market price of the Preferred Stock (as determined pursuant to Section 11.4); provided,
however, that in no event shall the consideration to be paid upon the exercise of one Right be less than the aggregate par value of the shares of capital stock of the Company to be issued upon

  
 16 

 
exercise of one Right. Such adjustments shall be made successively whenever such a record date is fixed; and in the event that such distribution is not so made, the Purchase Price shall again be
adjusted to be the Purchase Price which would then be in effect if such record date had not been fixed. 
 11.4. Current Per
Share Market Value. 
 11.4.1. General. For the purpose of any computation hereunder, the “current per share
market price” of any security (a “Security” for the purpose of this Section 11.4.1) on any date shall be deemed to be the average of the daily closing prices per share of such Security for the thirty
(30) consecutive Trading Days (as such term is hereinafter defined) immediately prior to such date; provided, however, that in the event that the current per share market price of the Security is determined during any period following
the announcement by the issuer of such Security of (i) a dividend or distribution on such Security payable in shares of such Security or securities convertible into such shares or (ii) any subdivision, combination or reclassification of
such Security, and prior to the expiration of thirty (30) Trading Days after the ex-dividend date for such dividend or distribution, or the record date for such subdivision, combination or reclassification, then, and in each such case, the
“current per share market price” shall be appropriately adjusted to reflect the current market price per share equivalent of such Security. The closing price for each day shall be the last sale price, regular way, or, in case no such sale
takes place on such day, the average of the closing bid and asked prices, regular way, in either case as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national securities
exchange on which the Security is listed or admitted to trading or, if the Security is not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted, the average of the high bid and low asked
prices in the over-the-counter market, as reported thereby or such other system then in use, or, if on any such date the Security is not quoted by any such organization, the average of the closing bid and asked prices as furnished by a professional
market maker making a market in the Security selected by the Board. If on any such date no such market maker is making a market in the Security, the fair value of the Security on such date as determined in good faith by the Board shall be used. The
term “Trading Day” shall mean a day on which the principal national securities exchange on which the Security is listed or admitted to trading is open for the transaction of business or, if the Security is not listed or admitted to
trading on any national securities exchange, a Business Day. If the Security is not publicly held or not so listed or traded, or if on any such date the Security is not so quoted and no such market maker is making a market in the Security,
“current per share market price” shall mean the fair value per share as determined in good faith by the Board or, if at the time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm
selected by the Board, which shall have the duty to make such determination in a reasonable and objective manner, whose determination shall be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. 

11.4.2. Preferred Stock. Notwithstanding Section 11.4.1, for the purpose of any computation hereunder, the
“current per share market price” of the Preferred Stock shall be determined in the same manner as set forth above in Section 11.4.1 (other than the last sentence thereof). If the current per share market price of the Preferred
Stock cannot be determined in the manner described in Section 11.4.1, the “current per share market price” of the Preferred Stock 

  
 17 

 
shall be conclusively deemed to be an amount equal to 1,000 (as such number may be appropriately adjusted for such events as stock splits, stock dividends and recapitalizations with respect to
the Common Stock occurring after the date of this Agreement) multiplied by the current per share market price of the Common Stock (as determined pursuant to Section 11.4.1). If neither the Common Stock nor the Preferred Stock are
publicly held or so listed or traded, or if on any such date neither the Common Stock nor the Preferred Stock are so quoted and no such market maker is making a market in either the Common Stock or the Preferred Stock, “current per share market
price” of the Preferred Stock shall mean the fair value per share as determined in good faith by the Board, or, if at the time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm selected by
the Board, which shall have the duty to make such determination in a reasonable and objective manner, which determination shall be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. For purposes of this
Agreement, the “current per share market price” of one one-thousandth of a share of Preferred Stock shall be equal to the “current per share market price” of one share of Preferred Stock divided by 1,000. 

11.5. Insignificant Changes. No adjustment in the Purchase Price shall be required unless such adjustment would require an
increase or decrease of at least 1% in the Purchase Price. Any adjustments which by reason of this Section 11.5 are not required to be made shall be carried forward and taken into account in any subsequent adjustment. All calculations
under this Section 11 shall be made to the nearest cent or to the nearest one-hundred thousandth of a share of Preferred Stock or the nearest one-hundredth of a share of Common Stock or other share or security, as the case may be.

 11.6. Shares Other Than Preferred Stock. If as a result of an adjustment made pursuant to Section 11.1,
the holder of any Right thereafter exercised shall become entitled to receive any shares of capital stock of the Company other than Preferred Stock, thereafter the number of such other shares so receivable upon exercise of any Right shall be subject
to adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions with respect to the Preferred Stock contained in Sections 11.1, 11.2, 11.3, 11.5, 11.8, 11.9 and 11.13, and the provisions
of Sections 7, 9, 10 and 14 with respect to the Preferred Stock shall apply on like terms to any such other shares. 
 11.7. Rights Issued Prior to Adjustment. All Rights originally issued by the Company subsequent to any adjustment made to the Purchase Price hereunder shall evidence the right to purchase, at the
adjusted Purchase Price, the number of one one-thousandths of a share of Preferred Stock purchasable from time to time hereunder upon exercise of the Rights, all subject to further adjustment as provided herein. 

11.8. Effect of Adjustments. Unless the Company shall have exercised its election as provided in Section 11.9, upon
each adjustment of the Purchase Price as a result of the calculations made in Sections 11.2 and 11.3, each Right outstanding immediately prior to the making of such adjustment shall thereafter evidence the right to purchase, at the
adjusted Purchase Price, that number of one one-thousandths of a share of Preferred Stock (calculated to the nearest one-hundred thousandth of a share of Preferred Stock) obtained by (i) multiplying (x) the number of one one-thousandths of
a share of Preferred Stock covered by a Right immediately prior to this adjustment by (y) the Purchase Price in effect immediately prior to such adjustment of the Purchase Price and (ii) dividing the product so obtained by the Purchase
Price in effect immediately after such adjustment of the Purchase Price. 

  
 18 

 11.9. Adjustment in Number of Rights. The Company may elect on or after the date of
any adjustment of the Purchase Price to adjust the number of Rights, in substitution for any adjustment in the number of one one-thousandths of a share of Preferred Stock issuable upon the exercise of a Right. Each of the Rights outstanding after
such adjustment of the number of Rights shall be exercisable for the number of one one-thousandths of a share of Preferred Stock for which a Right was exercisable immediately prior to such adjustment. Each Right held of record prior to such
adjustment of the number of Rights shall become that number of Rights (calculated to the nearest ten-thousandth) obtained by dividing the Purchase Price in effect immediately prior to adjustment of the Purchase Price by the Purchase Price in effect
immediately after adjustment of the Purchase Price. The Company shall make a public announcement of its election to adjust the number of Rights, indicating the record date for the adjustment, and, if known at the time, the amount of the adjustment
to be made. This record date may be the date on which the Purchase Price is adjusted or any day thereafter, but, if the Right Certificates have been issued, shall be at least ten (10) days later than the date of the public announcement. If
Right Certificates have been issued, upon each adjustment of the number of Rights pursuant to this Section 11.9, the Company may, as promptly as practicable, cause to be distributed to holders of record of Right Certificates on such
record date Right Certificates evidencing, subject to Section 14, the additional Rights to which such holders shall be entitled as a result of such adjustment, or, at the option of the Company, shall cause to be distributed to such
holders of record in substitution and replacement for the Right Certificates held by such holders prior to the date of adjustment, and upon surrender thereof, if required by the Company, new Right Certificates evidencing all the Rights to which such
holders shall be entitled after such adjustment. Right Certificates so to be distributed shall be issued, executed and countersigned in the manner provided for herein (and may bear, at the option of the Company, the adjusted Purchase Price) and
shall be registered in the names of the holders of record of Right Certificates on the record date specified in the public announcement. 
 11.10. Right Certificates Unchanged. Irrespective of any adjustment or change in the Purchase Price or the number of one one-thousandths of a share of Preferred Stock issuable upon the exercise of
the Rights, the Right Certificates theretofore and thereafter issued may continue to express the Purchase Price per share and the number of one one-thousandths of a share of Preferred Stock which were expressed in the initial Right Certificates
issued hereunder. 
 11.11. Par Value Limitations. Before taking any action that would cause an adjustment reducing the
Purchase Price below one one-thousandth of the then par value, if any, of the Preferred Stock or other shares of capital stock issuable upon exercise of the Rights, the Company shall take any corporate action which may, in the opinion of its
counsel, be necessary in order that the Company may validly and legally issue fully paid and nonassessable Preferred Stock or other such shares at such adjusted Purchase Price. 

11.12. Deferred Issuance. In any case in which this Section 11 shall require that an adjustment in the Purchase Price
be made effective as of a record date for a specified event, the Company may elect to defer until the occurrence of such event the issuance to the holder of any Right exercised after such record date of that number of shares of Preferred Stock and
shares 

  
 19 

 
of other capital stock or securities of the Company, if any, issuable upon such exercise over and above the Preferred Stock and shares of other capital stock or other securities, assets or cash
of the Company, if any, issuable upon such exercise on the basis of the Purchase Price in effect prior to such adjustment; provided, however, that the Company shall deliver to such holder a due bill or other appropriate instrument evidencing
such holder’s right to receive such additional shares upon the occurrence of the event requiring such adjustment. 
 11.13.
Reduction in Purchase Price. Anything in this Section 11 to the contrary notwithstanding, the Company shall be entitled to make such reductions in the Purchase Price, in addition to those adjustments expressly required by this
Section 11, as and to the extent that it in its sole discretion shall determine to be advisable in order that any consolidation or subdivision of the Preferred Stock, issuance wholly for cash of any of the Preferred Stock at less than
the current market price, issuance wholly for cash of Preferred Stock or securities which by their terms are convertible into or exchangeable for Preferred Stock, dividends on Preferred Stock payable in Preferred Stock or issuance of rights, options
or warrants referred to hereinabove in this Section 11, hereafter made by the Company to holders of its Preferred Stock shall not be taxable to such stockholders. 
 11.14. Company Not to Diminish Benefits of Rights. The Company covenants and agrees that after the earlier of the Stock Acquisition Date or Distribution Date it will not, except as permitted by
Section 23, Section 26 or Section 27, take (or permit any Subsidiary to take) any action if at the time such action is taken it is reasonably foreseeable that such action will substantially diminish or otherwise
eliminate the benefits intended to be afforded by the Rights. 
 11.15. Adjustment of Rights Associated with Common
Stock. Notwithstanding anything contained in this Agreement to the contrary, in the event that the Company shall at any time after the date hereof and prior to the Distribution Date (i) declare or pay any dividend on the outstanding Common
Stock payable in shares of Common Stock, (ii) effect a subdivision or consolidation of the outstanding Common Stock (by reclassification or otherwise than by the payment of dividends payable in shares of Common Stock), or (iii) combine the
outstanding Common Stock into a greater or lesser number of shares of Common Stock, then in any such case, the number of Rights associated with each share of Common Stock then outstanding, or issued or delivered thereafter but prior to the
Distribution Date or in accordance with Section 22 shall be proportionately adjusted so that the number of Rights thereafter associated with each share of Common Stock following any such event shall equal the result obtained by
multiplying the number of Rights associated with each share of Common Stock immediately prior to such event by a fraction, the numerator of which shall be the total number of shares of Common Stock outstanding immediately prior to the occurrence of
the event and the denominator of which shall be the total number of shares of Common Stock outstanding immediately following the occurrence of such event. The adjustments provided for in this Section 11.15 shall be made successively
whenever such a dividend is declared or paid or such a subdivision, combination or consolidation is effected. 
 Section 12.
Certificate of Adjusted Purchase Price or Number of Shares. Whenever an adjustment is made as provided in Section 11, the Company shall (a) promptly prepare a certificate setting forth such adjustment, and a brief statement
of the facts accounting 

  
 20 

 
for such adjustment, (b) promptly file with the Rights Agent and with each transfer agent for the Common Stock or the Preferred Stock a copy of such certificate and (c) mail a brief
summary thereof to each holder of a Right Certificate in accordance with Section 25. The Rights Agent shall be fully protected in relying on any such certificate and on any adjustment therein contained and shall not be deemed to have
knowledge of any such adjustment unless and until it shall have received such certificate. 
 Section 13. [Reserved].

 Section 14. Fractional Rights and Fractional Shares. 

14.1. Cash in Lieu of Fractional Rights. The Company shall not be required to issue fractions of Rights or to distribute Right
Certificates which evidence fractional Rights (except prior to the Distribution Date in accordance with Section 11.15). In lieu of such fractional Rights, there shall be paid to the registered holders of the Right Certificates with
regard to which such fractional Rights would otherwise be issuable an amount in cash equal to the same fraction of the current market value of a whole Right. For the purposes of this Section 14.1, the current market value of a whole
Right shall be the closing price of the Rights for the Trading Day immediately prior to the date on which such fractional Rights would have been otherwise issuable. The closing price for any day shall be the last sale price, regular way, or, in case
no such sale takes place on such day, the average of the closing bid and asked prices, regular way, in either case, as reported in the principal consolidated transaction reporting system with respect to securities listed on the principal national
securities exchange on which the Rights are listed or admitted to trading or, if the Rights are not listed or admitted to trading on any national securities exchange, the last quoted price or, if not so quoted, the average of the high bid and low
asked prices in the over-the-counter market, as reported by such system then in use or, if on any such date the Rights are not quoted by any such organization, the average of the closing bid and asked prices as furnished by a professional market
maker making a market in the Rights selected by the Board. If on any such date no such market maker is making a market in the Rights, the current market value of the Rights on such date shall be the fair value of the Rights as determined in good
faith by the Board, or, if at the time of such determination there is an Acquiring Person, by a nationally recognized investment banking firm selected by the Board, which shall have the duty to make such determination in a reasonable and objective
manner, which determination shall be described in a statement filed with the Rights Agent and shall be conclusive for all purposes. 
 14.2. Cash in Lieu of Fractional Shares of Preferred Stock. The Company shall not be required to issue fractions of shares of Preferred Stock (other than fractions which are integral multiples of
one one-thousandth of a share of Preferred Stock) upon exercise or exchange of the Rights or to distribute certificates which evidence fractional shares of Preferred Stock (other than fractions which are integral multiples of one one-thousandth of a
share of Preferred Stock). Interests in fractions of shares of Preferred Stock in integral multiples of one one-thousandth of a share of Preferred Stock may, at the election of the Company, be evidenced by depository receipts, pursuant to an
appropriate agreement between the Company and a depository selected by it; provided, that such agreement shall provide that the holders of such depository receipts shall have all the rights, privileges and preferences to which they are
entitled as Beneficial Owners of the Preferred Stock represented by such depository receipts. In lieu of 

  
 21 

 
fractional shares of Preferred Stock that are not integral multiples of one one-thousandth of a share of Preferred Stock, the Company shall pay to the registered holders of Right Certificates at
the time such Rights are exercised or exchanged as herein provided an amount in cash equal to the same fraction of the current per share market price of one share of Preferred Stock (as determined in accordance with Section 14.1) for the
Trading Day immediately prior to the date of such exercise or exchange. 
 14.3. Cash in Lieu of Fractional Shares of Common
Stock. The Company shall not be required to issue fractions of shares of Common Stock or to distribute certificates which evidence fractional shares of Common Stock upon the exercise or exchange of Rights. In lieu of such fractional shares of
Common Stock, the Company shall pay to the registered holders of the Right Certificates with regard to which such fractional shares of Common Stock would otherwise be issuable an amount in cash equal to the same fraction of the current market value
of a whole share of Common Stock (as determined in accordance with Section 14.1) for the Trading Day immediately prior to the date of such exercise or exchange. 
 14.4. Waiver of Right to Receive Fractional Rights or Shares. The holder of a Right by the acceptance of the Rights expressly waives his right to receive any fractional Rights or any fractional
shares upon exercise or exchange of a Right, except as permitted by this Section 14. 
 Section 15. Rights of
Action. All rights of action in respect of this Agreement, except the rights of action given to the Rights Agent under Section 18, are vested in the respective registered holders of the Right Certificates (and, prior to the
Distribution Date, the registered holders of the Common Stock); and any registered holder of any Right Certificate (or, prior to the Distribution Date, of the Common Stock), without the consent of the Rights Agent or of the holder of any other Right
Certificate (or, prior to the Distribution Date, of the Common Stock), may, in his own behalf and for his own benefit, enforce this Agreement, and may institute and maintain any suit, action or proceeding against the Company to enforce this
Agreement, or otherwise enforce or act in respect of his right to exercise the Rights evidenced by such Right Certificate (or, prior to the Distribution Date, such Common Stock) in the manner provided in such Right Certificate and in this Agreement.
Without limiting the foregoing or any remedies available to the holders of Rights, it is specifically acknowledged that the holders of Rights would not have an adequate remedy at law for any breach of this Agreement and shall be entitled to specific
performance of the obligations under, and injunctive relief against actual or threatened violations of, the obligations of any Person (including, without limitation, the Company) subject to this Agreement. 

Section 16. Agreement of Right Holders. Every holder of a Right by accepting the same consents and agrees with the Company and the
Rights Agent and with every other holder of a Right that: 
 (a) prior to the Distribution Date, the Rights will
be transferable only in connection with the transfer of the Common Stock; 
 (b) as of and after the Distribution
Date, the Right Certificates are transferable only on the registry books of the Rights Agent if surrendered at the office of the Rights Agent designated for such purpose, duly endorsed or accompanied by a proper instrument of transfer with all
required certifications completed; and 

  
 22 

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

 Section 17. Right Certificate Holder Not Deemed a Stockholder. No holder, as such, of any Right Certificate shall be
entitled to vote, receive dividends or be deemed for any purpose the holder of the Preferred Stock or any other securities of the Company which may at any time be issuable on the exercise of the Rights represented thereby, nor shall anything
contained herein or in any Right Certificate be construed to confer upon the holder of any Right Certificate, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted
to stockholders at any meeting thereof, or to give or withhold consent to any corporate action, or to receive notice of meetings or other actions affecting stockholders (except as provided in Section 24), or to receive dividends or
subscription rights, or otherwise, until the Right or Rights evidenced by such Right Certificate shall have been exercised in accordance with the provisions hereof. 
 Section 18. Concerning the Rights Agent. The Company agrees to pay to the Rights Agent reasonable compensation for all services rendered by it hereunder in accordance with a fee schedule to be
mutually agreed upon and, from time to time, on demand of the Rights Agent, its reasonable expenses and counsel fees and other disbursements incurred in the administration and execution of this Agreement and the exercise and performance of its
duties hereunder. The Company also agrees to indemnify the Rights Agent for, and to hold it harmless against, any loss, liability, or expense, incurred without gross negligence, bad faith or willful misconduct on the part of the Rights Agent, for
anything done or omitted by the Rights Agent in connection with the acceptance and administration of this Agreement, including the costs and expenses of defending against any claim of liability arising therefrom, directly or indirectly. 

The Rights Agent shall be protected and shall incur no liability for or in respect of any action taken, suffered or omitted by it in
connection with its administration of this Agreement in reliance upon any Right Certificate or certificate for the Preferred Stock or the Common Stock or for other securities of the Company, instrument of assignment or transfer, power of attorney,
endorsement, affidavit, letter, notice, instruction, direction, consent, certificate, statement, or other paper or document believed by it to be genuine and to be signed, executed and, where necessary, verified or acknowledged, by the proper Person
or Persons. 
 Section 19. Merger or Consolidation or Change of Name of Rights Agent. Any corporation, limited liability
company or other entity into which the Rights Agent or any successor Rights Agent may be merged or with which it may be consolidated, or any corporation, limited liability company or other entity resulting from any merger or consolidation to which
the Rights Agent or any successor Rights Agent shall be a party, or any corporation or 

  
 23 

 
limited liability company succeeding to the corporate trust or stock transfer business of the Rights Agent or any successor Rights Agent, shall be the successor to the Rights Agent under this
Agreement without the execution or filing of any paper or any further act on the part of any of the parties hereto, provided that such corporation, limited liability company or other entity would be eligible for appointment as a successor
Rights Agent under the provisions of Section 21. In case at the time such successor Rights Agent shall succeed to the agency created by this Agreement, any of the Right Certificates shall have been countersigned but not delivered, any
such successor Rights Agent may adopt the countersignature of the predecessor Rights Agent and deliver such Right Certificates so countersigned; and in case at that time any of the Right Certificates shall not have been countersigned, any successor
Rights Agent may countersign such Right Certificates either in the name of the predecessor Rights Agent or in the name of the successor Rights Agent; and in all such cases such Right Certificates shall have the full force provided in the Right
Certificates and in this Agreement. 
 In case at any time the name of the Rights Agent shall be changed and at such time any of
the Right Certificates shall have been countersigned but not delivered, the Rights Agent may adopt the countersignature under its prior name and deliver Right Certificates so countersigned; and in case at that time any of the Right Certificates
shall not have been countersigned, the Rights Agent may countersign such Right Certificates either in its prior name or in its changed name; and in all such cases such Right Certificates shall have the full force provided in the Right Certificates
and in this Agreement. 
 Section 20. Duties of Rights Agent. The Rights Agent undertakes the duties and obligations
imposed by this Agreement upon the following terms and conditions, by all of which the Company and the holders of Right Certificates, by their acceptance thereof, shall be bound: 

20.1. Legal Counsel. The Rights Agent may consult with legal counsel selected by it (who may be legal counsel for the Company),
and the opinion of such counsel shall be full and complete authorization and protection to the Rights Agent as to any action taken or omitted by it in good faith and in accordance with such opinion. 

20.2. Certificates as to Facts or Matters. Whenever in the performance of its duties under this Agreement the Rights Agent shall
deem it necessary or desirable that any fact or matter be proved or established by the Company prior to taking or suffering any action hereunder, such fact or matter (unless other evidence in respect thereof be herein specifically prescribed) may be
deemed to be conclusively proved and established by a certificate signed by any one of the President, Chief Executive Officer, the Treasurer, the Secretary or any Vice President of the Company and delivered to the Rights Agent; and such certificate
shall be full authorization to the Rights Agent for any action taken or suffered in good faith by it under the provisions of this Agreement in reliance upon such certificate. 
 20.3. Standard of Care. The Rights Agent shall be liable hereunder only for its own gross negligence, bad faith or willful misconduct. 

20.4. Reliance on Agreement and Right Certificates. The Rights Agent shall not be liable for or by reason of any of the statements
of fact or recitals contained in this Agreement 

  
 24 

 
or in the Right Certificates (except as to its countersignature thereof) or be required to verify the same, but all such statements and recitals are and shall be deemed to have been made by the
Company only. 
 20.5. No Responsibility as to Certain Matters. The Rights Agent shall not be under any responsibility in
respect of the validity of this Agreement or the execution and delivery hereof (except the due execution hereof by the Rights Agent) or in respect of the validity or execution of any Right Certificate (except its countersignature thereof); nor shall
it be responsible for any breach by the Company of any covenant or condition contained in this Agreement or in any Right Certificate; nor shall it be responsible for any change in the exercisability of the Rights (including the Rights becoming void
pursuant to Section 11.1.2) or any adjustment required under the provisions of Sections 3, 11, 23 or 27 or responsible for the manner, method or amount of any such adjustment or the ascertaining of the existence of facts
that would require any such adjustment (except with respect to the exercise of Rights evidenced by Right Certificates after actual notice of any such change or adjustment); nor shall it by any act hereunder be deemed to make any representation or
warranty as to the authorization or reservation of any Preferred Stock or other securities to be issued pursuant to this Agreement or any Right Certificate or as to whether any Preferred Stock will, when so issued, be validly authorized and issued,
fully paid and nonassessable. 
 20.6. Further Assurance by Company. The Company agrees that it will perform, execute,
acknowledge and deliver or cause to be performed, executed, acknowledged and delivered all such further and other acts, instruments and assurances as may reasonably be required by the Rights Agent for the carrying out or performing by the Rights
Agent of the provisions of this Agreement. 
 20.7. Authorized Company Officers. The Rights Agent is hereby authorized
and directed to accept instructions with respect to the performance of its duties hereunder from any one of the President, Chief Executive Officer, the Treasurer, the Secretary or any Vice President, and to apply to such officers for advice or
instructions in connection with its duties under this Agreement, and it shall not be liable for any action taken or suffered to be taken by it in good faith in accordance with instructions of any such officer or for any delay in acting while waiting
for these instructions. Any application by the Rights Agent for written instructions from the Company may, at the option of the Rights Agent, set forth in writing any action proposed to be taken or omitted by the Rights Agent with respect to its
duties or obligations under this Agreement and the date on and/or after which such action shall be taken or such omission shall be effective. The Rights Agent shall not be liable to the Company for any action taken by, or omission of, the Rights
Agent in accordance with a proposal included in any such application on or after the date specified therein (which date shall not be less than three (3) Business Days after the date any such officer actually receives such application, unless
any such officer shall have consented in writing to an earlier date) unless, prior to taking of any such action (or the effective date in the case of omission), the Rights Agent shall have received written instructions in response to such
application specifying the action to be taken or omitted. 
 20.8. Freedom to Trade in Company Securities. The Rights
Agent and any stockholder, director, officer or employee of the Rights Agent may buy, sell or deal in any of the Rights or other securities of the Company or obtain a pecuniary interest in any transaction in

  
 25 

 
which the Company may be interested, or contract with or lend money to the Company or otherwise act as fully and freely as though it were not Rights Agent under this Agreement. Nothing herein
shall preclude the Rights Agent from acting in any other capacity for the Company or for any other legal entity. 
 20.9.
Reliance on Attorneys and Agents. The Rights Agent may execute and exercise any of the rights or powers hereby vested in it or perform any duty hereunder either itself or by or through its attorneys or agents, and the Rights Agent shall not
be answerable or accountable for any act, omission, default, neglect or misconduct of any such attorneys or agents or for any loss to the Company resulting from any such act, omission, default, neglect or misconduct, provided that reasonable
care was exercised in the selection and continued employment thereof. 
 20.10. Incomplete Certificate. If, with respect
to any Right Certificate surrendered to the Rights Agent for exercise or transfer, the certificate contained in the form of assignment or the form of election to purchase set forth on the reverse thereof, as the case may be, has not been completed
to certify the holder is not an Acquiring Person (or an Affiliate or Associate thereof), the Rights Agent shall not take any further action with respect to such requested exercise or transfer without first consulting with the Company. 

20.11. Rights Holders List. At any time and from time to time after the Distribution Date, upon the request of the Company, the
Rights Agent shall promptly deliver to the Company a list, as of the most recent practicable date (or as of such earlier date as may be specified by the Company), of the holders of record of Rights. 

Section 21. Change of Rights Agent. The Rights Agent or any successor Rights Agent may resign and be discharged from its duties
under this Agreement upon thirty (30) days’ notice in writing mailed to the Company and to each transfer agent of the Common Stock and/or Preferred Stock, as applicable, by registered or certified mail. Following the Distribution Date, the
Company shall promptly notify the holders of the Right Certificates by first-class mail of any such resignation. The Company may remove the Rights Agent or any successor Rights Agent upon thirty (30) days’ notice in writing, mailed to the
Rights Agent or successor Rights Agent, as the case may be, and to each transfer agent of the Common Stock and/or Preferred Stock, as applicable, by registered or certified mail, and to the holders of the Right Certificates by first-class mail. If
the Rights Agent shall resign or be removed or shall otherwise become incapable of acting, the resigning, removed, or incapacitated Rights Agent shall remit to the Company, or to any successor Rights Agent designated by the Company, all books,
records, funds, certificates or other documents or instruments of any kind then in its possession which were acquired by such resigning, removed or incapacitated Rights Agent in connection with its services as Rights Agent hereunder, and shall
thereafter be discharged from all duties and obligations hereunder. Following notice of such removal, resignation or incapacity, the Company shall appoint a successor to such Rights Agent. If the Company shall fail to make such appointment within a
period of thirty (30) days after giving notice of such removal or after it has been notified in writing of such resignation or incapacity by the resigning or incapacitated Rights Agent or by the holder of a Right Certificate (who shall, with
such notice, submit his Right Certificate for inspection by the Company), then the registered holder of any Right Certificate may apply to any court of competent jurisdiction for the appointment of a new Rights Agent.

  
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Any successor Rights Agent, whether appointed by the Company or by such a court, shall be a corporation organized and doing business under the laws of the State of New York or the State of
Delaware (or any other state of the United States so long as such corporation is authorized to do business as a banking institution in the State of New York or the State of Delaware) in good standing, having an office in the State of New York or the
State of Delaware, which is authorized under such laws to exercise stock transfer or corporate trust powers and is subject to supervision or examination by Federal or state authority and which has at the time of its appointment as Rights Agent a
combined capital and surplus of at least $100 million. After appointment, the successor Rights Agent shall be vested with the same powers, rights, duties and responsibilities as if it had been originally named as Rights Agent without further act or
deed; but the predecessor Rights Agent shall deliver and transfer to the successor Rights Agent any property at the time held by it hereunder, and execute and deliver any further assurance, conveyance, act or deed necessary for the purpose. Not
later than the effective date of any such appointment the Company shall file notice thereof in writing with the predecessor Rights Agent and each transfer agent of the Common Stock and/or Preferred Stock, as applicable, and, following the
Distribution Date, mail a notice thereof in writing to the registered holders of the Right Certificates. Failure to give any notice provided for in this Section 21, however, or any defect therein, shall not affect the legality or
validity of the resignation or removal of the Rights Agent or the appointment of the successor Rights Agent, as the case may be. 
 Section 22. Issuance of New Right Certificates. Notwithstanding any of the provisions of this Agreement or of the Rights to the contrary, the Company may, at its option, issue new Right
Certificates evidencing Rights in such form as may be approved by its Board to reflect any adjustment or change in the Purchase Price and the number or kind or class of shares or other securities or property purchasable under the Right Certificates
made in accordance with the provisions of this Agreement. In addition, in connection with the issuance or sale of Common Stock following the Distribution Date and prior to the Expiration Date, the Company shall, with respect to Common Stock so
issued or sold pursuant to the exercise of stock options or under any employee plan or arrangement, granted or awarded, or upon exercise, conversion or exchange of securities hereinafter issued by the Company, in each case existing prior to the
Distribution Date, issue Right Certificates representing the appropriate number of Rights in connection with such issuance or sale; provided, however, that (i) no such Right Certificate shall be issued if, and to the extent that, the
Company shall be advised by counsel that such issuance would create a significant risk of material adverse tax consequences to the Company or the Person to whom such Right Certificate would be issued and (ii) no such Right Certificate shall be
issued if, and to the extent that, appropriate adjustment shall otherwise have been made in lieu of the issuance thereof. 

Section 23. Redemption. 
 23.1. Right to Redeem. The Board may, at its option, at any time prior to a Trigger Event, redeem all but not less than all of the then outstanding Rights at a redemption price of $0.0001 per
Right, appropriately adjusted to reflect any stock split, stock dividend, recapitalization or similar transaction occurring after the date hereof (such redemption price being hereinafter referred to as the “Redemption Price”), and
the Company may, at its option, pay the Redemption Price in Common Stock (based on the “current per share market price,” determined pursuant to Section 11.4, of the Common Stock at the time of redemption), cash or

  
 27 

 
any other form of consideration deemed appropriate by the Board. The redemption of the Rights by the Board may be made effective at such time, on such basis and subject to such conditions as the
Board in its sole discretion may establish. 
 23.2. Redemption Procedures. Immediately upon the action of the Board
ordering the redemption of the Rights (or at such later time as the Board may establish for the effectiveness of such redemption), and without any further action and without any notice, the right to exercise the Rights will terminate and the only
right thereafter of the holders of Rights shall be to receive the Redemption Price for each Right so held. The Company shall promptly give public notice of such redemption; provided, however, that the failure to give, or any defect in, any
such notice shall not affect the validity of such redemption. The Company shall promptly give, or cause the Rights Agent to give, notice of such redemption to the holders of the then outstanding Rights by mailing such notice to all such holders at
their last addresses as they appear upon the registry books of the Rights Agent or, prior to the Distribution Date, on the registry books of the transfer agent for the Common Stock. Any notice which is mailed in the manner herein provided shall be
deemed given, whether or not the holder receives the notice. Each such notice of redemption shall state the method by which the payment of the Redemption Price will be made. Neither the Company nor any of its Affiliates or Associates may redeem,
acquire or purchase for value any Rights at any time in any manner other than that specifically set forth in this Section 23 or in Section 27, and other than in connection with the purchase, acquisition or redemption of
Common Stock prior to the Distribution Date. 
 Section 24. Notice of Certain Events. In case the Company shall propose
at any time after the earlier of the Stock Acquisition Date and the Distribution Date (a) to pay any dividend payable in stock of any class to the holders of Preferred Stock or to make any other distribution to the holders of Preferred Stock
(other than a regular periodic cash dividend at a rate not in excess of 125% of the rate of the last regular periodic cash dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not in excess
of 50% of the average net income per share of the Company for the four quarters ended immediately prior to the payment of such dividends, or a stock dividend on, or a subdivision, combination or reclassification of the Common Stock), or (b) to
offer to the holders of Preferred Stock rights or warrants to subscribe for or to purchase any additional Preferred Stock or shares of stock of any class or any other securities, rights or options, or (c) to effect any reclassification of its
Preferred Stock (other than a reclassification involving only the subdivision of outstanding Preferred Stock), or (d) to effect any consolidation or merger into or with, or to effect any sale or other transfer (or to permit one or more of its
Subsidiaries to effect any sale or other transfer), in one or more transactions, of 50% or more of the assets or earning power of the Company and its Subsidiaries (taken as a whole) to, any other Person (other than pursuant to a merger or other
acquisition agreement of the type excluded from the definition of “Beneficial Ownership” in Section 1.3), or (e) to effect the liquidation, dissolution or winding up of the Company, or (f) to declare or pay any
dividend on the Common Stock payable in Common Stock or to effect a subdivision, combination or consolidation of the Common Stock (by reclassification or otherwise than by payment of dividends in Common Stock), then, in each such case, the Company
shall give to the Rights Agent and to each holder of a Right Certificate, in accordance with Section 25, a notice of such proposed action, which shall specify the record date for the purposes of such stock dividend, distribution of
rights or warrants, or the date on which such reclassification, consolidation, merger, sale, transfer, liquidation, dissolution, or winding up is to take place and 

  
 28 

 
the date of participation therein by the holders of the Preferred Stock and/or Common Stock, if any such date is to be fixed, and such notice shall be so given in the case of any action covered
by clause (a) or (b) above at least ten (10) days prior to the record date for determining holders of the Preferred Stock for purposes of such action, and in the case of any such other action, at least ten (10) days prior to the
date of the taking of such proposed action or the date of participation therein by the holders of the Preferred Stock and/or Common Stock, whichever shall be the earlier. 
 In case any event set forth in Section 11.1.2 shall occur, then, in any such case, (i) the Company shall as soon as practicable thereafter give to the Rights Agent and to each holder of a
Right Certificate, in accordance with Section 25, a notice of the occurrence of such event, which notice shall describe the event and the consequences of the event to holders of Rights under Section 11.1.2, and (ii) all
references in this Section 24 to Preferred Stock shall be deemed thereafter to refer to Common Stock and/or, if appropriate, other securities. 
 Section 25. Notices. Notices or demands authorized by this Agreement to be given or made by the Rights Agent or by the holder of any Right Certificate to or on the Company shall be sufficiently
given or made if sent by first-class mail, postage prepaid, addressed (until another address is filed in writing with the Rights Agent) as follows: 
 Nabi Biopharmaceuticals 
 12276 Wilkins Avenue 

Rockville, MD 20852 
 Attn: Corporate Secretary 
 Subject to the provisions of Section 21 and
Section 24, any notice or demand authorized by this Agreement to be given or made by the Company or by the holder of any Right Certificate to or on the Rights Agent shall be sufficiently given or made if sent by first-class mail, postage
prepaid, addressed (until another address is filed in writing with the Company) as follows: 
 American Stock
Transfer & Trust Company, LLC 
 6201 15th Avenue 
 Brooklyn, NY 11219 
 Attention: Relationship Manager 

with a copy (which shall not constitute notice) to: 
 American Stock Transfer & Trust Company, LLC 
 6201
15th Avenue 

Brooklyn, NY 11219 
 Attention: General Counsel 
 Notices or demands authorized by this Agreement to be given or made
by the Company or the Rights Agent to the holder of any Right Certificate (or, prior to the Distribution Date, to the holder of any certificate representing Common Stock) shall be sufficiently given or made if sent

  
 29 

 
by first-class mail, postage prepaid, addressed to such holder at the address of such holder as shown on the registry books of the Company; provided that prior to the Distribution Date a filing
by the Company with the Securities and Exchange Commission shall constitute sufficient notice to the holders of securities of the Company, including the Rights, for purposes of this Agreement and no other notice need be given. 

Section 26. Supplements and Amendments. For so long as the Rights are then redeemable, the Company may in its sole and absolute
discretion, and the Rights Agent shall, if the Company so directs, supplement or amend any provision of this Agreement in any respect without the approval of any holders of Rights or Common Stock. From and after the time that the Rights are no
longer redeemable, the Company may, and the Rights Agent shall, if the Company so directs, from time to time supplement or amend this Agreement without the approval of any holders of Rights (i) to cure any ambiguity or to correct or supplement
any provision contained herein which may be defective or inconsistent with any other provisions herein or (ii) to make any other changes or provisions in regard to matters or questions arising hereunder which the Company may deem necessary or
desirable, including but not limited to extending the Final Expiration Date; provided, however, that no such supplement or amendment shall adversely affect the interests of the holders of Rights as such (other than an Acquiring Person or an
Affiliate or Associate of an Acquiring Person), and no such supplement or amendment may cause the Rights again to become redeemable or cause this Agreement again to become amendable as to an Acquiring Person or an Affiliate or Associate of an
Acquiring Person other than in accordance with this sentence; provided further, that the right of the Board to extend the Distribution Date shall not require any amendment or supplement hereunder. Upon the delivery of a certificate from an
appropriate officer of the Company which states that the proposed supplement or amendment is in compliance with the terms of this Section 26, the Rights Agent shall execute such supplement or amendment. 

Section 27. Exchange. 
 27.1. Exchange of Common Stock for Rights. The Board may, at its option, at any time after the occurrence of a Trigger Event, exchange Common Stock for all or part of the then outstanding and
exercisable Rights (which shall not include Rights that have become void pursuant to the provisions of Section 11.1.2) by exchanging at an exchange ratio of one share of Common Stock per Right, appropriately adjusted to reflect any stock
split, stock dividend or similar transaction occurring after the date hereof (such amount per Right being hereinafter referred to as the “Exchange Consideration”). Notwithstanding the foregoing, the Board shall not be empowered to
effect such exchange at any time after any Acquiring Person shall have become the Beneficial Owner of 50% or more of the Common Stock then outstanding. The exchange of the Rights by the Board may be made effective at such time, on such basis and
with such conditions as the Board in its sole discretion may establish. Without limiting the foregoing, prior to effecting an exchange pursuant to this Section 27, the Board of Directors may direct the Company to enter into a Trust
Agreement in such form and with such terms as the Board of Directors shall then approve (the “Trust Agreement”). If the Board of Directors so directs, the Company shall enter into the Trust Agreement and shall issue to the trust
created by such agreement (the “Trust”) all of the shares of Common Stock issuable pursuant to the exchange (or any portion thereof that have not theretofore been issued in connection with the exchange). From and after the time at
which such shares are issued to the Trust, all stockholders then 

  
 30 

 
entitled to receive shares pursuant to the exchange shall be entitled to receive such shares (and any dividends or distributions made thereon after the date on which such shares are deposited in
the Trust) only from the Trust and solely upon compliance with the relevant terms and provisions of the Trust Agreement. Any shares of Common Stock issued at the direction of the Board in connection herewith shall be validly issued, fully paid and
nonassessable shares of Common Stock or Preferred Stock (as the case may be), and the Company shall be deemed to have received as consideration for such issuance a benefit having a value that is at least equal to the aggregate par value of the
shares so issued. 
 27.2. Exchange Procedures. Immediately upon the action of the Board ordering the exchange for any
Rights pursuant to Section 27.1 and without any further action and without any notice, the right to exercise such Rights shall terminate and the only right thereafter of a holder of such Rights shall be to receive the Exchange
Consideration. The Company shall promptly give public notice of any such exchange; provided, however, that the failure to give, or any defect in, such notice shall not affect the validity of such exchange. The Company promptly shall mail a
notice of any such exchange to all of the holders of such Rights at their last addresses as they appear upon the registry books of the Rights Agent. Any notice which is mailed in the manner herein provided shall be deemed given, whether or not the
holder receives the notice. Each such notice of exchange shall state the method by which the exchange of the Common Stock for Rights will be effected and, in the event of any partial exchange, the number of Rights which will be exchanged. Any
partial exchange shall be effected pro rata based on the number of Rights (other than the Rights that have become void pursuant to the provisions of Section 11.1.2) held by each holder of Rights. 

27.3. Insufficient Shares. The Company may at its option substitute, and, in the event that there shall not be sufficient Common
Stock issued but not outstanding or authorized but unissued to permit an exchange of Rights for Common Stock as contemplated in accordance with this Section 27, the Company shall substitute to the extent of such insufficiency, for each
share of Common Stock that would otherwise be issuable upon exchange of a Right, a number of shares of Preferred Stock or fraction thereof (or equivalent preferred stock, as such term is defined in Section 11.2) such that the current per
share market price (determined pursuant to Section 11.4) of one share of Preferred Stock (or equivalent preferred stock) multiplied by such number or fraction is equal to the current per share market price of one share of Common Stock
(determined pursuant to Section 11.4) as of the date of such exchange. 
 Section 28. Process to Seek
Exemption. Any Person who desires to effect any acquisition of Common Stock that would, if consummated, result in such Person (together with its Affiliates and Associates) beneficially owning 4.99% or more of the then outstanding Common Stock
(or, in the case of an Existing Holder, shares of Common Stock in excess of the Exempt Ownership Percentage) (a “Requesting Person”) may, prior to the Stock Acquisition Date and in accordance with this Section 28,
request that the Board grant an exemption with respect to such acquisition under this Agreement so that such Person would be deemed to be an “Exempt Person” under subsection (ii) of Section 1.7 hereof for purposes of this
Agreement (an “Exemption Request”). An Exemption Request shall be in proper form and shall be delivered by registered mail, return receipt requested, to the Secretary of the Company at the principal executive office of the Company.
To be in proper form, an Exemption Request shall set forth (i) the name and address of the Requesting Person, (ii) the number and percentage of shares of 

  
 31 

 
Common Stock then Beneficially Owned by the Requesting Person, together with all Affiliates and Associates of the Requesting Person, and (iii) a reasonably detailed description of the
transaction or transactions by which the Requesting Person would propose to acquire Beneficial Ownership of Common Stock aggregating 4.99% or more of the then outstanding Common Stock (or, in the case of an Existing Holder, shares of Common Stock in
excess of the Exempt Ownership Percentage) and the maximum number and percentage of shares of Common Stock that the Requesting Person proposes to acquire. The Board shall make a determination whether to grant an exemption in response to an Exemption
Request as promptly as practicable (and, in any event, within ten (10) Business Days) after receipt thereof; provided, that the failure of the Board to make a determination within such period shall be deemed to constitute the denial by the
Board of the Exemption Request. The Board shall only grant an exemption in response to an Exemption Request if the Board determines in its sole discretion that the acquisition of Beneficial Ownership of Common Stock by the Requesting Person will not
jeopardize or endanger the availability to the Company of the NOLs. Any exemption granted hereunder may be granted in whole or in part, and may be subject to limitations or conditions (including a requirement that the Requesting Person agree that it
will not acquire Beneficial Ownership of shares of Common Stock in excess of the maximum number and percentage of shares approved by the Board), in each case as and to the extent the Board shall determine necessary or desirable to provide for the
protection of the Company’s NOLs. Any Exemption Request may be submitted on a confidential basis and, except to the extent required by applicable law, the Company shall maintain the confidentiality of such Exemption Request and the Board’s
determination with respect thereto. 
 Section 29. Successors. All the covenants and provisions of this Agreement by or
for the benefit of the Company or the Rights Agent shall bind and inure to the benefit of their respective successors and assigns hereunder. 
 Section 30. Benefits of this Agreement. Nothing in this Agreement shall be construed to give to any Person or corporation other than the Company, the Rights Agent and the registered holders of the
Right Certificates (and, prior to the Distribution Date, the Common Stock) any legal or equitable right, remedy or claim under this Agreement; but this Agreement shall be for the sole and exclusive benefit of the Company, the Rights Agent and the
registered holders of the Right Certificates (and, prior to the Distribution Date, the Common Stock). 
 Section 31.
Determination and Actions by the Board. The Board shall have the exclusive power and authority to administer this Agreement and to exercise the rights and powers specifically granted to the Board or to the Company, or as may be necessary or
advisable in the administration of this Agreement, including, without limitation, the right and power to (i) interpret the provisions of this Agreement and (ii) make all determinations deemed necessary or advisable for the administration
of this Agreement (including, without limitation, a determination to redeem or not redeem the Rights or amend this Agreement). All such actions, calculations, interpretations and determinations that are done or made by the Board in good faith shall
be final, conclusive and binding on the Company, the Rights Agent, the holders of the Rights, as such, and all other parties. 

Section 32. Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent
jurisdiction or other authority to be invalid, void or 

  
 32 

 
unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated.

 Section 33. Governing Law. This Agreement and each Right Certificate issued hereunder shall be deemed to be a contract
made under the internal laws of the State of Delaware and for all purposes shall be governed by and construed in accordance with the laws of such State applicable to contracts to be made and performed entirely within such State. 

Section 34. Counterparts. This Agreement may be executed in any number of counterparts and each of such counterparts shall for all
purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument. 

Section 35. Descriptive Headings. Descriptive headings of the several Sections of this Agreement are inserted for convenience only
and shall not control or affect the meaning or construction of any of the provisions hereof. 
 [Signature Page Follows]

  
 33 

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

			
	NABI BIOPHARMACEUTICALS
		
	By	 	 /s/ Raafat E.F. Fahim, Ph.D.

		 	Name: Raafat E.F. Fahim, Ph.D.
		 	Title: President & Chief Executive Officer
	
	AMERICAN STOCK TRANSFER & TRUST COMPANY, LLC
		
	By	 	 /s/ Paula Caroppoli

		 	Name: Paula Caroppoli
		 	Title: Senior Vice President

 EXHIBIT A 
 FORM 
 of 
 CERTIFICATE OF DESIGNATIONS 
 of 

SERIES A JUNIOR PARTICIPATING PREFERRED STOCK 
 of 
 NABI BIOPHARMACEUTICALS 

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

 
 Nabi
Biopharmaceuticals, a corporation organized and existing under the General Corporation Law of the State of Delaware (hereinafter called the “Corporation”), hereby certifies that the following resolutions were adopted by the Board of
Directors of the Corporation as required by Section 151 of the Delaware Act at a meeting duly called and held on August 24, 2011: 
 WHEREAS, Article Four of the Company’s Restated Certificate of Incorporation (hereinafter called the “Certificate of Incorporation”) authorizes one-hundred thirty million
(130,000,000) shares of capital stock, consisting of five million (5,000,000) shares of preferred stock, $.10 par value per share (the “Preferred Stock”) issuable from time to time in one or more series, and one-hundred
twenty-five million (125,000,000) shares of common stock, $.10 par value per share (the “Common Stock”). 
 NOW,
THEREFORE, BE IT RESOLVED, in accordance with Section 151 of the General Corporation Law and pursuant to the authority granted to and vested in the Board of Directors of this Corporation (hereinafter called the “Board of Directors” or
the “Board”) pursuant to Article Four of the Certificate of Incorporation whereby the Board of Directors is authorized to fix the designations, powers, preferences and relative, participating, optional or other special rights, if any, and
qualifications, limitations or restrictions thereof, of any wholly unissued series of Preferred Stock, and to fix the number of shares constituting such series, and to increase or decrease the number of shares of any such series (but not below the
number of shares thereof then outstanding), the Board of Directors hereby creates a series of Preferred Stock and hereby states the designation and number of shares, and fixes the relative rights, preferences, and limitations thereof as follows:

 Section 1. Designation and Amount. The shares of such series shall be designated as “Series A Junior
Participating Preferred Stock” (the “Series A Preferred Stock”) and the number of shares constituting the Series A Preferred Stock shall be 125,000. Such number of shares may be increased or decreased by resolution of the Board of
Directors; provided, that no decrease shall reduce the number of shares of Series A Preferred Stock to a number less than the number of shares then outstanding plus the number of shares reserved for issuance upon the exercise of outstanding options,
rights or warrants or upon the conversion of any outstanding securities issued by the Corporation convertible into Series A Preferred Stock. 

  
 A-1

 Section 2. Dividends and Distributions. 

(A) Subject to the prior and superior rights of the holders of any shares of any class or series of stock of the
Corporation ranking prior and superior to the Series A Preferred Stock with respect to dividends, the holders of shares of Series A Preferred Stock, in preference to the holders of Common Stock and of any other stock ranking junior to the Series A
Preferred Stock, shall be entitled to receive, when, as and if declared by the Board of Directors out of funds legally available for the purpose, quarterly dividends payable in cash on the first day of March, June, September and December in each
year (each such date being referred to herein as a “Quarterly Dividend Payment Date”), commencing on the first Quarterly Dividend Payment Date after the first issuance of a share or fraction of a share of Series A Preferred Stock, in an
amount (if any) per share (rounded to the nearest cent) equal to the greater of (a) $1.00 or (b) subject to the provision for adjustment hereinafter set forth, 1,000 times the aggregate per share amount of all cash dividends, and 1,000
times the aggregate per share amount (payable in kind) of all non-cash dividends or other distributions, other than a dividend payable in shares of Common Stock or a subdivision of the outstanding shares of Common Stock (by reclassification or
otherwise), declared on the Common Stock since the immediately preceding Quarterly Dividend Payment Date or, with respect to the first Quarterly Dividend Payment Date, since the first issuance of any share or fraction of a share of Series A
Preferred Stock. In the event the Corporation shall at any time after the issuance of any share or fraction of a share of Series A Preferred Stock, declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a
subdivision, combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each
such case the amount to which holders of shares of Series A Preferred Stock were entitled immediately prior to such event under clause (b) of the preceding sentence shall be adjusted by multiplying such amount by a fraction, the numerator of
which is the number of shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 

(B) The Corporation shall declare a dividend or distribution on the Series A Preferred Stock as provided in paragraph
(A) of this Section at the same time it declares a 

  
 A-2

 
dividend or distribution on the Common Stock (other than a dividend payable in shares of Common Stock); provided that, in the event no dividend or distribution shall have been declared on the
Common Stock during the period between any Quarterly Dividend Payment Date and the next subsequent Quarterly Dividend Payment Date, a dividend of $1.00 per share on the Series A Preferred Stock shall nevertheless be payable on such subsequent
Quarterly Dividend Payment Date. No dividend or distribution (other than a dividend payable in shares of Common Stock) on the Common Stock shall be paid or set aside for payment on the Common Stock unless the dividend or distribution required as a
result thereof to be paid on the Series A Preferred Stock shall be simultaneously paid or set aside for payment on the Series A Preferred Stock. 
 (C) Dividends shall begin to accrue and be cumulative on outstanding shares of Series A Preferred Stock from the Quarterly Dividend Payment Date next preceding the date of issue of such shares, unless the
date of issue of such shares is prior to the record date for the first Quarterly Dividend Payment Date, in which case dividends on such shares shall begin to accrue from the date of issue of such shares, or unless the date of issue is a Quarterly
Dividend Payment Date or is a date after the record date for the determination of holders of shares of Series A Preferred Stock entitled to receive a quarterly dividend and before such Quarterly Dividend Payment Date, in either of which events such
dividends shall begin to accrue and be cumulative from such Quarterly Dividend Payment Date. Accrued but unpaid dividends shall not bear interest. Dividends paid on the shares of Series A Preferred Stock in an amount less than the total amount of
such dividends at the time accrued and payable on such shares shall be allocated pro rata on a share-by-share basis among all such shares at the time outstanding. The Board of Directors may fix a record date for the determination of holders of
shares of Series A Preferred Stock entitled to receive payment of a dividend or distribution declared thereon, which record date shall be not more than 60 days prior to the date fixed for the payment thereof. 

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

(A) Subject to the provision for adjustment hereinafter set forth, each share of Series A Preferred Stock shall entitle
the holder thereof to 1,000 votes on all matters submitted to a vote of the stockholders of the Corporation. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect
a subdivision, combination or consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each
such case the number of votes per share to which holders of shares of Series A Preferred Stock were entitled immediately prior to such event shall be adjusted by multiplying such number by a fraction, the numerator of which is the number of shares
of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 

  
 A-3

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

(C) Except as set forth herein, or as otherwise provided by law, holders of Series A Preferred Stock shall have no special
voting rights and their consent shall not be required (except to the extent they are entitled to vote with holders of Common Stock as set forth herein) for taking any corporate action. 

(D) If, at the time of any annual meeting of stockholders for the election of directors, the equivalent of six quarterly
dividends (whether or not consecutive) payable on any share or shares of Series A Preferred Stock are in default, the number of directors constituting the Board of Directors of the Corporation shall be increased by two. In addition to voting
together with the holders of Common Stock for the election of other directors of the Corporation, the holders of record of the Series A Preferred Stock, voting separately as a class to the exclusion of the holders of Common Stock, shall be entitled
at such meeting of stockholders (and at each subsequent annual meeting of stockholders), unless all dividends in arrears on the Series A Preferred Stock have been paid or declared and set apart for payment prior thereto, to vote for the election of
two directors of the Corporation, the holders of Series A Preferred Stock being entitled to cast a number of votes per share of Series A Preferred Stock as is specified in paragraph (A) of this Section 3. Each such additional director
shall serve until the next annual meeting of stockholders for the election of directors, or until his successor shall be elected and shall qualify, or until his right to hold such office terminates pursuant to the provisions of this
Section 3(D). Until the default in payments of all dividends which permitted the election of said directors shall cease to exist, any director who shall have been so elected pursuant to the provisions of this Section 3(D) may be removed at
any time, without cause, only by the affirmative vote of the holders of the shares of Series A Preferred Stock at the time entitled to cast a majority of the votes entitled to be cast for the election of any such director at a special meeting of
such holders called for that purpose, and any vacancy thereby created may be filled by the vote of such holders. If and when such default shall cease to exist, the holders of the Series A Preferred Stock shall be divested of the foregoing special
voting rights, subject to revesting in the event of each and every subsequent like default in payments of dividends. Upon the termination of the foregoing special voting rights, the terms of office of all persons who may have been elected directors
pursuant to said special voting rights shall forthwith terminate, and the number of directors constituting the Board of Directors shall be reduced by two. The voting rights granted by this Section 3(D) shall be in addition to any other voting
rights granted to the holders of the Series A Preferred Stock in this Section 3. 
 Section 4. Certain Restrictions.

 (A) Whenever quarterly dividends or other dividends or distributions payable on the Series A Preferred Stock
as provided in Section 2 are in arrears, thereafter and until all accrued and unpaid dividends and distributions, whether or not declared, on shares of Series A Preferred Stock outstanding shall have been paid in full, the Corporation shall
not: 
  

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

  
 A-4

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

  

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

  

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

(B) The Corporation shall not permit any subsidiary of the Corporation to purchase or otherwise acquire for consideration
any shares of stock of the Corporation unless the Corporation could, under paragraph (A) of this Section 4, purchase or otherwise acquire such shares at such time and in such manner. 

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

  
 A-5

 Section 6. Liquidation, Dissolution or Winding Up. 

(A) Upon any voluntary or involuntary liquidation, dissolution or winding up of the Corporation, no distribution shall be
made (i) to the holders of shares of stock ranking junior (either as to dividends or upon liquidation, dissolution or winding up) to the Series A Preferred Stock unless, prior thereto, the holders of shares of Series A Preferred Stock shall
have received the greater of (x) $10.00 per share plus an amount equal to any accrued and unpaid dividends and distributions thereon, whether or not declared, to the date of such payment, and (y) an aggregate amount per share, subject to
the provision for adjustment hereinafter set forth, equal to 1,000 times the aggregate amount to be distributed per share to holders of shares of Common Stock, or (ii) to the holders of shares of stock ranking on a parity (either as to
dividends or upon liquidation, dissolution or winding up) with the Series A Preferred Stock, except distributions made ratably on the Series A Preferred Stock and all such parity stock in proportion to the total amounts to which the holders of all
such shares are entitled upon such liquidation, dissolution or winding up. The amount to which holders of Series A Preferred Stock may be entitled upon liquidation, dissolution or winding up of the Corporation pursuant hereto is hereinafter referred
to as the “Series A Preferred Liquidation Preference”. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision or combination or
consolidation of the outstanding shares of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the aggregate amount
to which holders of shares of Series A Preferred Stock were entitled immediately prior to such event under clause (i) of the preceding sentence shall be adjusted by multiplying such amount by a fraction the numerator of which is the number of
shares of Common Stock outstanding immediately after such event and the denominator of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 

(B) In the event that there are not sufficient assets available to permit payment in full of the Series A Preferred
Liquidation Preference and the liquidation preferences of all other classes and series of stock of the Corporation, if any, which rank on a parity with the Series A Preferred Stock in respect thereof, then such remaining assets shall be distributed
ratably to the holders of the Series A Preferred Stock and the holders of such parity shares in proportion to their respective liquidation preferences. 
 (C) Neither the merger or consolidation of the Corporation into or with another corporation nor the merger or consolidation of any other corporation into or with the Corporation shall be deemed to be a
liquidation, dissolution or winding up of the Corporation within the meaning of this Section 6. 
 Section 7.
Consolidation, Merger, etc. In case the Corporation shall enter into any consolidation, merger, combination or other transaction in which the shares of Common Stock are exchanged for or changed into other stock or securities, cash and/or any
other property, then in any such case each share of Series A Preferred Stock shall at the same time be similarly exchanged or changed into an amount per share, subject to the provision for adjustment

  
 A-6

 
hereinafter set forth, equal to 1,000 times the aggregate amount of stock, securities, cash and/or any other property (payable in kind), as the case may be, into which or for which each share of
Common Stock is changed or exchanged. In the event the Corporation shall at any time declare or pay any dividend on the Common Stock payable in shares of Common Stock, or effect a subdivision, combination or consolidation of the outstanding shares
of Common Stock (by reclassification or otherwise than by payment of a dividend in shares of Common Stock) into a greater or lesser number of shares of Common Stock, then in each such case the amount set forth in the preceding sentence with respect
to the exchange or change of shares of Series A Preferred Stock shall be adjusted by multiplying such amount by a fraction, the numerator of which is the number of shares of Common Stock outstanding immediately after such event and the denominator
of which is the number of shares of Common Stock that were outstanding immediately prior to such event. 
 Section 8. No
Redemption. The shares of Series A Preferred Stock shall not be redeemable. 
 Section 9. Rank. The Series A
Preferred Stock shall rank, with respect to the payment of dividends and the distribution of assets upon liquidation, dissolution or winding up, junior to all series of any other class of the Corporation’s Preferred Stock, except to the extent
that any such other series specifically provides that it shall rank on a parity with or junior to the Series A Preferred Stock. 

Section 10. Amendment. At any time any shares of Series A Preferred Stock are outstanding, the Certificate of Incorporation shall
not be amended in any manner which would materially alter or change the powers, preferences or special rights of the Series A Preferred Stock so as to affect them adversely without the affirmative vote of the holders of at least two-thirds of the
outstanding shares of Series A Preferred Stock, voting together as a single class. 
 Section 11. Fractional Shares.
Series A Preferred Stock may be issued in fractions of a share that shall entitle the holder, in proportion to such holder’s fractional shares, to exercise voting rights, receive dividends, participate in distributions and to have the benefit
of all other rights of holders of Series A Preferred Stock. 
 [Signature Page Follows] 

  
 A-7

 IN WITNESS WHEREOF, this Certificate of Designations is executed on
behalf of the Corporation by the undersigned this 25th day
of August, 2011. 
  

			
	NABI BIOPHARMACEUTICALS
		
	By:	 	  

		 	Name: Raafat E.F. Fahim
		 	Title: President and Chief Executive Officer

  
 A-8

 EXHIBIT B 

Form of Right Certificate 
  

			
	Certificate No. R-            	  	            Rights

 NOT EXERCISABLE AFTER AUGUST 24, 2014 OR EARLIER IF NOTICE OF REDEMPTION OR EXCHANGE IS GIVEN, OR
IF THE BOARD OF DIRECTORS DETERMINES THAT THE NOLs (AS DEFINED IN THE AGREEMENT) ARE FULLY UTILIZED OR ARE NO LONGER AVAILABLE. THE RIGHTS ARE SUBJECT TO REDEMPTION AT $0.0001 PER RIGHT AND TO EXCHANGE ON THE TERMS SET FORTH IN THE AGREEMENT.
UNDER CERTAIN CIRCUMSTANCES (SPECIFIED IN SECTION 11.1.2 OF THE AGREEMENT), RIGHTS BENEFICIALLY OWNED BY OR TRANSFERRED TO AN ACQUIRING PERSON (AS DEFINED IN THE AGREEMENT), OR ANY SUBSEQUENT HOLDER OF SUCH RIGHTS WILL BECOME NULL AND VOID AND
WILL NO LONGER BE TRANSFERABLE. 
 Right Certificate 
 NABI BIOPHARMACEUTICALS 
 This certifies that
                    , or registered assigns, is the registered owner of the number of Rights set forth above, each of which entitles the owner
thereof, subject to the terms, provisions and conditions of the Rights Agreement, dated as of August 25, 2011, as the same may be amended from time to time (the “Agreement”), between Nabi Biopharmaceuticals, a Delaware
corporation (the “Company”), and American Stock Transfer & Trust Company, LLC, a New York limited liability trust company, as Rights Agent (the “Rights Agent”), to purchase from the Company at any time
after the Distribution Date and prior to 5:00 P.M. (New York time) on August 24, 2014, at the offices of the Rights Agent, or its successors as Rights Agent, designated for such purpose, one one-thousandth of a fully paid, nonassessable
share of Series A Junior Participating Preferred Stock, par value $.10 per share (the “Preferred Stock”), of the Company, at a purchase price of $7.00 per one one-thousandth of a share of Preferred Stock, subject to
adjustment (the “Purchase Price”), upon presentation and surrender of this Right Certificate with the Form of Election to Purchase and certification duly executed. The number of Rights evidenced by this Right Certificate (and the
number of one one-thousandths of a share of Preferred Stock which may be purchased upon exercise thereof) set forth above, and the Purchase Price set forth above, are the number and Purchase Price as of August 25, 2011 based on the Preferred
Stock as constituted at such date. Capitalized terms used in this Right Certificate without definition shall have the meanings ascribed to them in the Agreement. As provided in the Agreement, the Purchase Price and the number of shares of Preferred
Stock which may be purchased upon the exercise of the Rights evidenced by this Right Certificate are subject to modification and adjustment upon the happening of certain events. 

This Right Certificate is subject to all of the terms, provisions and conditions of the Agreement, which terms, provisions and conditions
are hereby incorporated herein by 

  
 B-1

 
reference and made a part hereof and to which Agreement reference is hereby made for a full description of the rights, limitations of rights, obligations, duties and immunities hereunder of the
Rights Agent, the Company and the holders of the Right Certificates. Copies of the Agreement are on file at the principal offices of the Company and the Rights Agent. 
 This Right Certificate, with or without other Right Certificates, upon surrender at the offices of the Rights Agent designated for such purpose, may be exchanged for another Right Certificate or Right
Certificates of like tenor and date evidencing Rights entitling the holder to purchase a like aggregate number of one one-thousandths of a share of Preferred Stock as the Rights evidenced by the Right Certificate or Right Certificates surrendered
shall have entitled such holder to purchase. If this Right Certificate shall be exercised in part, the holder shall be entitled to receive upon surrender hereof another Right Certificate or Right Certificates for the number of whole Rights not
exercised. 
 Subject to the provisions of the Agreement, the Board may, at its option, (i) redeem the Rights evidenced by
this Right Certificate at a redemption price of $0.0001 per Right or (ii) exchange Common Stock for the Rights evidenced by this Certificate, in whole or in part. 
 No fractional Preferred Stock will be issued upon the exercise of any Right or Rights evidenced hereby (other than fractions of Preferred Stock which are integral multiples of one one-thousandth of a
share of Preferred Stock, which may, at the election of the Company, be evidenced by depository receipts), but in lieu thereof a cash payment will be made, as provided in the Agreement. 

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

 If any term, provision, covenant or restriction of the Agreement is held by a court of competent jurisdiction or other
authority to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of the Agreement shall remain in full force and effect and shall in no way be affected, impaired or invalidated. 

This Right Certificate shall not be valid or binding for any purpose until it shall have been countersigned by the Rights Agent.

  
 B-2

 WITNESS the facsimile signature of the proper officers of the Company and its corporate
seal. 
 Dated as of                 ,
20    . 
  

									
	NABI BIOPHARMACEUTICALS:	 		 	Attest:
					
	By:	 	  
	 		 	By:	 	  

		 	Name:	 		 		 	Name:
		 	Title:	 		 		 	Title:
				
	Countersigned:	 		 		 	
				
	American Stock Transfer & Trust Company, LLC
as Rights Agent	 		 		 	
					
	By:	 	  
	 		 		 	
		 	Authorized Signature	 		 		 	

  
 B-3

 Form of Reverse Side of Right Certificate 

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

					
	 FOR VALUE RECEIVED
	 	  

			
	hereby sells, assigns and transfers unto	 	  

	  

	  

 (Please print name and address 
 of transferee) 
 Rights evidenced by this Right Certificate, together with all right, title and
interest therein, and does hereby irrevocably constitute and appoint                      Attorney, to transfer the within Right Certificate on the
books of the within-named Company, with full power of substitution. 

Dated:                     

 

	
	  

	Signature

  

	
	Signature Guaranteed:
	
	  

 Signatures must be guaranteed by an “eligible guarantor institution” as defined in Rule 17Ad-15
promulgated under the Securities Exchange Act of 1934, as amended. 

  
 B-4

  

The undersigned hereby certifies that: 
 (1) the Rights evidenced by this Right Certificate are not Beneficially Owned by and are not being assigned to an Acquiring Person or an Affiliate or an Associate thereof; and 

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

Dated:                     

 

	
	  

	Signature

  
 B-5

 FORM OF ELECTION TO PURCHASE 

(To be executed if holder desires to 
 exercise the Right Certificate.) 
 To Nabi Biopharmaceuticals: 

The undersigned hereby irrevocably elects to exercise
                     Rights represented by this Right Certificate to purchase the Preferred Stock issuable upon the exercise of such Rights (or such
other securities or property of the Company or of any other Person which may be issuable upon the exercise of the Rights) and requests that certificates for such stock be issued in the name of: 

	
	  

	(Please print name and address)
	
	  

 If such number of Rights shall not be all the Rights evidenced by this Right Certificate, a new Right Certificate for the
balance remaining of such Rights shall be registered in the name of and delivered to: 
 Please insert social security 

or other identifying number 

	
	  

	 (Please print name and address)

	
	  

Dated:                     

 

	
	  

	Signature

  

	
	 Signature Guaranteed:

	
	  

 Signatures must be guaranteed by an “eligible guarantor institution” as defined in Rule 17Ad-15
promulgated under the Securities Exchange Act of 1934, as amended. 

  
 B-6

 The undersigned hereby certifies that: 

(1) the Rights evidenced by this Right Certificate are not Beneficially Owned by and are not being assigned to an Acquiring Person or an
Affiliate or an Associate thereof; and 
 (2) after due inquiry and to the best knowledge of the undersigned, the undersigned
did not acquire the Rights evidenced by this Right Certificate from any person who is, was or subsequently became an Acquiring Person or an Affiliate or Associate thereof. 
 Dated:                     

 

	
	  

	Signature

  
  

NOTICE 
 The signature in the foregoing Form of Assignment and Form of Election to Purchase must conform to the name as written upon the face of this Right Certificate in every particular, without alteration or
enlargement or any change whatsoever. 
 In the event the certification set forth above in the Form of Assignment or Form of
Election to Purchase is not completed, the Company will deem the Beneficial Owner of the Rights evidenced by this Right Certificate to be an Acquiring Person or an Affiliate or Associate hereof and such Assignment or Election to Purchase will not be
honored. 

  
 B-7

 AS DESCRIBED IN THE RIGHTS AGREEMENT, UNDER CERTAIN CIRCUMSTANCES, RIGHTS WHICH ARE HELD BY
OR HAVE BEEN HELD BY AN ACQUIRING PERSON OR ASSOCIATES OR AFFILIATES THEREOF (AS DEFINED IN THE RIGHTS AGREEMENT) AND CERTAIN TRANSFEREES THEREOF SHALL BECOME NULL AND VOID AND WILL NO LONGER BE TRANSFERABLE. 

SUMMARY OF RIGHTS TO PURCHASE 
 PREFERRED SHARES 
 On August 24, 2011 the Board of Directors of Nabi
Biopharmaceuticals (the “Company”) declared a dividend of one preferred stock purchase right (a “Right”) for each share of common stock, par value $.10 per share (the “Common Stock”), of the Company
outstanding at the close of business on August 25, 2011 (the “Record Date”). As long as the Rights are attached to the Common Stock, the Company will issue one Right (subject to adjustment) with each new share of Common Stock
so that all such shares will have attached Rights. When exercisable, each Right will entitle the registered holder to purchase from the Company one one-thousandth of a share of Series A Junior Participating Preferred Stock (the “Preferred
Stock”) at a price of $7.00 per one one-thousandth of a share of Preferred Stock, subject to adjustment (the “Purchase Price”). The description and terms of the Rights are set forth in a Rights Agreement, dated as of
August 25, 2011, as the same may be amended from time to time (the “Agreement”), between the Company and American Stock Transfer and Trust Company, LLC, as Rights Agent (the “Rights Agent”). 

By adopting the rights agreement, the Board of Directors is seeking to protect the Company’s ability to carry forward its net
operating losses and certain other tax attributes (collectively, “NOLs”). The Company has experienced and may continue to experience substantial operating losses, and for federal and state income tax purposes, the Company may
“carry forward” net operating losses in certain circumstances to offset current and future taxable income, which will reduce federal and state income tax liability, subject to certain requirements and restrictions. These federal and state
NOLs can be a valuable asset of the Company, which may inure to the benefit of the Company and its stockholders. However, if the Company experiences an “ownership change,” as defined in Section 382 of the Internal Revenue Code (the
“Code”), its ability to use the NOLs could be substantially limited, and the timing of the usage of the NOLs could be substantially delayed, which could significantly impair the value of the Company’s NOL asset. Generally, an
“ownership change” occurs if the percentage of the Company’s stock owned by one or more “five percent stockholders” increases by more than fifty percentage points over the lowest percentage of stock owned by such
stockholders at any time during the prior three-year period or, if sooner, since the last “ownership change” experienced by the Company. An NOL rights agreement with a 4.99% “trigger” threshold is intended to act as a deterrent
to any person acquiring 4.99% or more of the outstanding shares of Common Stock without the approval of the Board of Directors. This would protect the Company’s NOL asset because changes in ownership by a person owning less than 4.99% of the
Common Stock are not included in the calculation of “ownership change” for purposes of Section 382 of the Code. 

  
 C-1

 Until the earlier to occur of (i) the tenth business day following a public
announcement that a person or group of affiliated or associated persons has acquired beneficial ownership of 4.99% or more of the Common Stock (an “Acquiring Person”) or (ii) ten Business Days (or such later date as may be
determined by action of the Board of Directors prior to such time as any person or group of affiliated persons becomes an Acquiring Person) following the commencement or announcement of an intention to make a tender offer or exchange offer the
consummation of which would result in the beneficial ownership by a person or group of 4.99% or more of the Common Stock (the earlier of (i) and (ii) being called the “Distribution Date”), the Rights will be evidenced,
with respect to any of the Common Stock certificates outstanding as of the Record Date, by such Common Stock certificate (or, with respect to any shares of Common Stock held in book entry form, by the notation in book entry) together with a copy of
this Summary of Rights. The Agreement provides that any person who beneficially owned 4.99% or more of the Common Stock on the date the Agreement was adopted, together with any affiliates and associates of that person (each an “Existing
Holder”), shall not be deemed to be an “Acquiring Person” for purposes of the Agreement unless the Existing Holder becomes the beneficial owner of (x) a percentage of the Common Stock then outstanding that is more than the
aggregate percentage of the outstanding Common Stock that such Existing Holder beneficially owns as of the date of the Agreement or (y) less than 4.99% of the Common Stock then outstanding (after which, if the Existing Holder becomes the
beneficial owner of 4.99% or more of the Common Stock then outstanding, the Existing Holder shall be deemed to be an “Acquiring Person”). The Agreement includes a procedure whereby the Board of Directors will consider requests to exempt
certain proposed acquisitions of Common Stock from the applicable ownership trigger if the Board determines that the requested acquisition will not jeopardize or endanger the availability of the NOLs to the Company. 

The Agreement provides that until the Distribution Date (or earlier redemption, exchange, termination or expiration of the Rights), the
Rights will be transferred with and only with the Common Stock. Until the Distribution Date (or earlier redemption, exchange, termination or expiration of the Rights), new Common Stock certificates issued after the close of business on the Record
Date upon transfer or new issuance of the Common Stock will contain a notation incorporating the Agreement by reference, and the Company will deliver a notice to that effect upon the transfer or new issuance of book entry shares. Until the
Distribution Date (or earlier redemption, exchange, termination or expiration of the Rights), the surrender for transfer of any certificates for Common Stock or any book entry shares, with or without such notation, notice or a copy of this Summary
of Rights, will also constitute the transfer of the Rights associated with the Common Stock represented by such certificate or the book entry shares. As soon as practicable following the Distribution Date, separate certificates evidencing the Rights
(“Right Certificates”) will be mailed to holders of record of the Common Stock as of the close of business on the Distribution Date and such separate Right Certificates alone will evidence the Rights. 

The Rights are not exercisable until the Distribution Date. The Rights will expire on August 24, 2014, subject to the
Company’s right to extend such date (the “Final Expiration Date”), unless earlier redeemed or exchanged by the Company or terminated. 

  
 C-2

 Each share of Preferred Stock purchasable upon exercise of the Rights will be entitled,
when, as and if declared, to a minimum preferential quarterly dividend payment of the greater of (a) $1.00 per share, or (b) an aggregate dividend of 1,000 times the dividend, if any, declared per share of Common Stock. In the event of
liquidation, dissolution or winding up of the Company, the holders of the Preferred Stock will be entitled to a minimum preferential liquidation payment of $10 per share (plus any accrued but unpaid dividends), provided that such holders of the
Preferred Stock will be entitled to an aggregate payment of 1,000 times the payment made per share of Common Stock. Each share of Preferred Stock will have 1,000 votes and will vote together with the Common Stock. Finally, in the event of any
merger, consolidation or other transaction in which Common Stock are exchanged, each share of Preferred Stock will be entitled to receive 1,000 times the amount received per share of Common Stock. Preferred Stock will not be redeemable. These rights
are protected by customary antidilution provisions. Because of the nature of the Preferred Stock’s dividend, liquidation and voting rights, the value of one one-thousandth of a share of Preferred Stock purchasable upon exercise of each Right
should approximate the value of one share of Common Stock. 
 The Purchase Price payable, and the number of shares of Preferred
Stock or other securities or property issuable, upon exercise of the Rights are subject to adjustment from time to time to prevent dilution (i) in the event of a stock dividend on, or a subdivision, combination or reclassification of the
Preferred Stock, (ii) upon the grant to holders of the Preferred Stock of certain rights or warrants to subscribe for or purchase Preferred Stock or convertible securities at less than the current market price of the Preferred Stock or
(iii) upon the distribution to holders of the Preferred Stock of evidences of indebtedness, cash, securities or assets (excluding regular periodic cash dividends at a rate not in excess of 125% of the rate of the last regular periodic cash
dividend theretofore paid or, in case regular periodic cash dividends have not theretofore been paid, at a rate not in excess of 50% of the average net income per share of the Company for the four quarters ended immediately prior to the payment of
such dividend, or dividends payable in Preferred Stock (which dividends will be subject to the adjustment described in clause (i) above)) or of subscription rights or warrants (other than those referred to above). 

In the event that a Person becomes an Acquiring Person or if the Company were the surviving corporation in a merger with an Acquiring
Person or any affiliate or associate of an Acquiring Person and the Common Stock were not changed or exchanged, each holder of a Right, other than Rights that are or were acquired or beneficially owned by the Acquiring Person (which Rights will
thereafter be void), will thereafter have the right to receive upon exercise that number of shares of Common Stock having a market value of two times the then current Purchase Price of the Right. 

At any time after a Person becomes an Acquiring Person and prior to the earlier of one of the events described in the last sentence of
the previous paragraph or the acquisition by such Acquiring Person of 50% or more of the outstanding Common Stock, the Board of Directors may cause the Company to exchange the Rights (other than Rights owned by an Acquiring Person which will have
become void), in whole or in part, for Common Stock at an exchange ratio of one share of Common Stock per Right (subject to adjustment). 

  
 C-3

 No adjustment in the Purchase Price will be required until cumulative adjustments require an
adjustment of at least 1% in such Purchase Price. No fractional Preferred Stock or Common Stock will be issued (other than fractions of Preferred Stock which are integral multiples of one one-thousandth of a share of Preferred Stock, which may, at
the election of the Company, be evidenced by depository receipts), and in lieu thereof, a payment in cash will be made based on the market price of the Preferred Stock or Common Stock on the last trading date prior to the date of exercise.

 The Rights may be redeemed in whole, but not in part, at a price of $0.0001 per Right (the “Redemption
Price”) by the Board of Directors at any time prior to the time that an Acquiring Person has become such. The redemption of the Rights may be made effective at such time, on such basis and with such conditions as the Board of Directors in
its sole discretion may establish. Immediately upon any redemption of the Rights, the right to exercise the Rights will terminate and the only right of the holders of Rights will be to receive the Redemption Price. 

Until a Right is exercised, the holder thereof, as such, will have no rights as a stockholder of the Company beyond those as an existing
stockholder, including, without limitation, the right to vote or to receive dividends. 
 Any of the provisions of the Agreement
may be amended by the Board of Directors for so long as the Rights are then redeemable, and after the Rights are no longer redeemable, the Company may amend or supplement the Agreement in any manner that does not adversely affect the interests of
the holders of the Rights (other than an Acquiring Person or an affiliate or associate of an Acquiring Person). 
 A copy of the
Agreement has been filed with the Securities and Exchange Commission as an Exhibit to a Current Report on Form 8-K. A copy of the Agreement is available free of charge from the Company. This summary description of the Rights does not purport to be
complete and is qualified in its entirety by reference to the Agreement, which is incorporated herein by reference. 

  
 C-4

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