Document:

Exhibit 104 Bannon-Jones Release Agreement

		

			Exhibit 10.4

		

		
			General Release Agreement
		

		
			﻿
		

		
			THIS GENERAL RELEASE AGREEMENT (this “Release Agreement”) is entered into by and between Elisa Bannon-Jones (“Executive”) and Frontier Communications Corporation, and its subsidiary and affiliate corporations (collectively, the “Company”), with reference to the following facts:
		

		
			﻿
		

		
			1.    Separation from Service. Executive and the Company hereby acknowledge and agree that Executive’s employment with the Company terminated on August 15, 2020 (the “Separation Date”). The Separation Date shall be deemed to be the date of separation from service, and the date that employment ends, for purposes of the letter agreement, dated as of August 5, 2019 (the “Letter Agreement”), by and between Executive and the Company, and any applicable employee benefit plans or programs. Executive further acknowledges and agrees that, effective on the Separation Date and by virtue of executing this Release Agreement, and without any further action by Executive, Executive hereby resigns Executive’s position as Chief Human Resources Officer of the Company and as a director, manager, officer, or any other position with, the Company or any of its affiliates. In addition, the Company and Executive each hereby waive the requirement under the Letter Agreement that any termination of employment be communicated with 60 days’ advance notice.
		

		
			﻿
		

		
			2.    Separation Payments. In full satisfaction of the Company’s obligations under the Letter Agreement and any applicable employee benefit plans or programs and subject to Section 3, the Company will pay or provide to Executive the following:
		

		
			﻿
		

		
			(a)    (i) Executive’s base salary through the Separation Date, with any unpaid portion payable in cash as soon as practicable following the Separation Date; and (ii) any accrued but unpaid vacation of Executive as of the Separation Date (payable in accordance with the terms of the Company’s vacation policy).
		

		
			﻿
		

		
			(b)    An amount in cash equal to $400,000, of which (i) $194,610 shall be paid on September 30, 2020 (or, if the Revocation Period (as defined below) has not ended by such date, then the first regularly scheduled payroll date following the end of the Revocation Period); and (ii) $205,390 shall be paid on the Company’s first regularly scheduled payroll date following the effective date of the Company’s Plan of Reorganization. For purposes hereof, “Plan of Reorganization” means the Fifth Amended Joint Plan of Reorganization of Frontier Communications Corporation and its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code [Docket No. 984] (as modified, amended, or supplemented from time to time).
		

		
			﻿
		

		
			(c)    Upon the expiration of the Revocation Period, the repayment provisions with respect to Executive’s (i) 2019 and 2020 prepaid retention awards, (ii) 2019 performance awards, and (iii) 2020 performance-based incentive plan awards paid to date shall, in accordance with the applicable agreements, cease to be in effect as a result of Executive’s termination without “cause” (as defined in the applicable agreement) and no repayment of such awards will be required.
		

		
			﻿
		

		 

		

			 

		

 

		
			(d)    An amount in cash equal to $107,043.34, representing the deferred portion of Executive’s performance-based incentive plan awards for the first and second quarters of 2020, which amount shall be paid in cash in a lump sum on September 30, 2020 (or, if the Revocation Period has not ended by such date, then the first regularly scheduled payroll date following the end of the Revocation Period).
		

		
			﻿
		

		
			(e)    Subject to Executive’s (i) timely election of continuation coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), and (ii) continued copayment of premiums at the same level and cost to Executive as if Executive were an employee of the Company (excluding, for purposes of calculating cost, an employee’s ability to pay premiums with pre-tax dollars), continued participation in the Company’s group health plan (to the extent permitted under applicable law and the terms of such plan) that covers Executive and Executive’s eligible dependents for a period of three months at the Company’s expense; provided that the Company may modify such continuation coverage to the extent reasonably necessary to avoid the imposition of any excise taxes on the Company for failure to comply with the nondiscrimination requirements of the Patient Protection and Affordable Care Act of 2010, as amended, and/or the Health Care and Education Reconciliation Act of 2010, as amended (to the extent applicable).
		

		
			﻿
		

		
			Any unvested restricted stock awards and long-term incentive program awards held by Executive will be forfeited in accordance with their terms.
		

		
			﻿
		

		
			3.    Payment Contingent upon Release.
		

		
			﻿
		

		
			Executive understands that the Company’s obligation to make the payments provided for in Sections 2(b) through 2(e) is conditioned upon Executive’s execution of this Release Agreement within 45 days after the Separation Date and non-revocation of this Release Agreement in accordance with the terms hereof.
		

		
			﻿
		

		
			4.    General Releases.
		

		
			﻿
		

		
			In consideration of the Company’s execution of this Release Agreement and of the payments and benefits provided for in Sections 2(b) through 2(e), which Executive acknowledges is adequate consideration, Executive, on behalf of Executive’s heirs, successors, assigns, executors, and representatives of any kind, releases and forever discharges the Company, its subsidiaries, affiliates, and divisions, and all their past, present, and future employees, directors, officers, agents, stockholders, insurers, attorneys, employee benefit plans and plan fiduciaries, executors, successors, assigns, and other representatives of any kind in their capacities as such (referred to in this Release Agreement collectively as “Released Parties”) from any and all claims, charges, demands, liabilities, or causes of action of any kind, known or unknown, arising through the date Executive executes this Release Agreement, including, but not limited to, any claims, liabilities, or causes of action of any kind arising in connection with Executive’s employment or termination of employment with the Company. Executive also releases and waives any claim or right to further compensation, benefits, damages, penalties, attorneys’ fees, costs, or expenses of any kind from the Company or any of the other Released Parties, except that nothing in this Release Agreement shall affect any rights Executive may have under: (a) this Release Agreement; or 
		

		 

		

			2

		

 

		(b) any funded retirement or 401(k) plan of the Company. Without limitation, Executive waives any right or claim to reinstatement of Executive’s employment with the Company, although Executive may be reemployed by mutual agreement of the parties hereto. The claims that Executive is releasing include, but are not limited to: claims for wrongful discharge; constructive discharge; breach of contract; tortious interference with contract; unlawful terms and conditions of employment; retaliation; defamation; invasion of privacy; unlawful conspiracy; discrimination and/or harassment, including any discrimination and/or harassment claim arising under the Age Discrimination In Employment Act of 1967, 29 U.S.C. § 621 et seq. (“ADEA”); Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq.; the Federal Rehabilitation Act of 1973, 29 U.S.C. § 701 et seq.; the Americans with Disabilities Act of 1990, 42 U.S.C. § 12101 et seq.; the Family and Medical Leave Act of 1993, 29 U.S.C. § 2601 et seq.; the Fair Labor Standards Act of 1938, 29 U.S.C. § 201 et seq.; the Equal Pay Act of 1963, 29 U.S.C. § 206(d) et seq.; the Employee Retirement Income Security Act of 1974, 29 U.S.C. § 301 et seq.; the Worker Adjustment and Retraining Notification Act, 29 U.S.C. § 2101 et seq.; the Connecticut Human Rights & Opportunities Law, Conn. Gen. Stat. § 46a-60 et seq.; Connecticut Wage and Hour Laws, the Connecticut Wage Payment Law, Conn. Gen. Stat. §§ 31-71a et seq.; and the Connecticut Family and Medical Leave Act, Conn. Gen. Stat. §§ 31-51kk et seq., all as amended; any other federal, state, or local constitutional provision, statute, executive order, and/or ordinance relating to employment, or other civil rights violations; and, except as expressly set forth in Section 2, any claim for any severance and/or other benefits, any bonus for any year; any rights or benefits under the Company’s long-term incentive programs, including, without limitation, all shares of unvested restricted stock and all performance shares that would or might, absent Executive’s termination, have vested or become issuable to Executive at dates after the Separation Date; and any other claims whether based on contract or tort.
		

		
			﻿
		

		
			Executive hereby expressly waives any rights Executive may have under any statute or common law principle concerning the release of claims and potential claims that Executive does not know or suspect to exist in Executive’s favor at the time of executing this Release Agreement, which if known to Executive must or might have materially affected Executive’s settlement with the Company. Furthermore, Executive acknowledges that Executive intends these consequences even as to claims for damages that may exist as of the date of this Release Agreement but which Executive does not know exist, and which, if known, would materially affect Executive’s decision to execute this Release Agreement, regardless of whether Executive’s lack of knowledge is the result of ignorance, oversight, error, negligence, or any other cause. Executive acknowledges that if any fact with respect to any matter covered by the Release Agreement is later found to be other than or different from the facts now believed by Executive to be true, the Release Agreement will be and remain in effect, notwithstanding such different facts.
		

		

		

		 

		

			3

		

 

		
		

		
			5.    No Other Proceedings.
		

		
			﻿
		

		
			Executive represents and covenants that Executive has not and will not file or join in any action, charge, claim, complaint, lawsuit, or proceeding of any kind against the Company or any of the other Released Parties (other than pursuing a claim for unemployment compensation benefits to which Executive may be entitled) with respect to any claim that is released in this Release Agreement, including any matter arising out of or in connection with Executive’s employment with the Company or the termination of that employment. Executive covenants and agrees that this Section 5 may be raised as a complete bar to any such action, charge, claim, complaint, lawsuit, or proceeding.
		

		
			﻿
		

		
			Should Executive file or join (or have filed or have joined) in any action, claim, complaint, lawsuit, or proceeding of any kind against the Company or any of the other Released Parties, based on any claim that Executive has released, or should such an action, claim, complaint, lawsuit, or proceeding be filed on Executive’s behalf, Executive agrees to withdraw, dismiss, or cause to be withdrawn or dismissed, with prejudice, any such action, claim, complaint, lawsuit, or proceeding of any kind that is pending in any federal, state, or local agency or court. If Executive breaks this promise and files or joins (or has filed or has joined) in any action, claim, complaint, lawsuit, or proceeding based on any claim that Executive has released, then Executive will pay for all costs the Company or any of the other Released Parties incurs in defending against Executive’s claim, including reasonable attorneys’ fees, unless prohibited by law.
		

		
			﻿
		

		
			For the avoidance of doubt, this Release Agreement does not affect or limit any claims that, under controlling law, may not be released by private agreement, including, without limitation, (a) any claims under workers’ compensation laws; or (b) the right to file a charge with the Equal Employment Opportunity Commission (“EEOC”) or similar state or local agency, or with the National Labor Relations Board, or to provide information to or assist such agency in any proceeding; provided,  however, that Executive agrees that by signing this Release Agreement, Executive specifically waives Executive’s right to recover any damages or other relief in any claim or suit brought by or through the EEOC or any other state or local agency under Title VII of the Civil Rights Act of 1964, the American with Disabilities Act, or any other federal, state, or local discrimination law, regardless of whether such claim or suit is brought by Executive or on Executive’s behalf, except where prohibited by law. In addition, nothing in this Release Agreement is intended to prohibit Executive from reporting possible violations of federal law or regulation to any governmental agency or entity, including, but not limited to, the Department of Justice, the Securities and Exchange Commission, Congress, and any agency Inspector General, or making other disclosures that are protected under the whistleblower provisions of federal law or regulation. Executive does not need the prior authorization of the Company to make any such reports or disclosures, nor is Executive required to notify the Company that Executive has made such reports or disclosures.
		

		
			﻿
		

		
			Additionally, nothing in this Release Agreement shall limit or restrict Executive’s right under the ADEA to challenge the validity of this Release Agreement in a court of law. However, Executive nevertheless understands that in any suit brought solely under the ADEA, Executive will not be entitled to any damages or other relief unless this Release Agreement and the waivers contained in it were deemed to be unlawful or otherwise invalid.
		

		

		

		 

		

			4

		

 

		﻿
		

		
			6.    No Sale of Claim.
		

		
			﻿
		

		
			Executive represents that Executive has not given or sold any portion of any claim discussed in this Release Agreement to anyone else.
		

		
			﻿
		

		
			7.    Cooperation.
		

		
			﻿
		

		
			From and after the Separation Date, Executive agrees to reasonably cooperate with the Company and its financial and legal advisors when and as the Company requests in connection with any claims, investigations, or other proceedings involving the Company with respect to matters occurring while Executive was employed by the Company; provided,  however, that Executive shall have no such obligation with respect to claims, investigations, or other proceedings commenced after the second anniversary of the Separation Date. Executive shall receive no additional compensation for rendering such services pursuant to this Section 7, except that the Company will reimburse Executive at Executive’s then-prevailing hourly rate for the time expended by Executive in rendering such services and for reasonable expenses incurred in connection with such cooperation.
		

		
			﻿
		

		
			8.    Mutual Non-disparagement.
		

		
			﻿
		

		
			Executive acknowledges and agrees that she is subject to the Non-Competition/Non-Solicitation/Non-Disparagement terms in the Letter Agreement. The Company acknowledges and agrees that it is subject to the Non-Disparagement terms in the Letter Agreement and agrees to inform in writing Bernie Han and Mark Nielsen of the Company’s obligations thereunder.
		

		
			﻿
		

		
			9.    Effect of Breach.
		

		
			﻿
		

		
			If Executive breaches any of Executive’s material promises or obligations contained in the Letter Agreement or this Release Agreement, then the Company has the right to immediately stop making the payments described in the Letter Agreement and to seek repayment of payments already made pursuant to the Letter Agreement (except to the extent, if any, prohibited by applicable law). Absent a contrary finding in Arbitration or in an appropriate administrative tribunal, if the Company exercises its rights under this Section 9 to stop making the payments described in the Letter Agreement, then Executive will continue to be obligated to comply with all Executive’s promises and obligations contained in the Letter Agreement and in this Release Agreement. Additionally, if the Company exercises its rights under this Section 9 to stop making the payments described in the Letter Agreement, then the Company will also have the right to pursue all additional rights it has against Executive pursuant to the Letter Agreement or this Release Agreement, as well as any and all other legal rights it may have against Executive for breaching any of Executive’s promises or obligations in the Letter Agreement or this Release Agreement. Absent a contrary finding in Arbitration or in an appropriate administrative tribunal, if the Company breaches any of its material promises or obligations contained in the Letter Agreement or this Release Agreement, Executive will be permitted to retain all payments paid or due to be paid to her and the Company will continue to be obligated to comply with all the 
		

		 

		

			5

		

 

		Company’s promises and obligations contained in the Letter Agreement and in the Release Agreement. In such case, Executive shall have the right to pursue any legal rights she may have against the Company for the known breach, and shall otherwise continue to be obligated to comply with Executive’s promises and obligations contained in the Letter Agreement and in this Release Agreement. 
		

		
			﻿
		

		
			10.    Arbitration.
		

		
			﻿
		

		
			The parties agree that any disputes regarding any rights or obligations pursuant to the Letter Agreement or this Release Agreement shall be resolved by final and binding arbitration pursuant to the Employment Rules of the American Arbitration Association, except that the Company may seek injunctive relief to enforce any restrictive covenants in the Letter Agreement or this Release Agreement in any court of competent jurisdiction. Any arbitration hearing must be conducted in Fairfield County, Connecticut, and shall be a confidential and private proceeding.
		

		
			﻿
		

		
			11.    Enforcement 
		

		
			﻿
		

		
			If any arbitrator or court of competent jurisdiction determines that Executive or the Company has violated any of Executive’s or the Company’s respective promises or obligations contained in the Letter Agreement or this Release Agreement, then the injured party shall be entitled to recover, in addition to its damages, all costs and expenses incurred in its enforcement efforts, including actual attorneys’ fees, from the violating party. In addition, the parties acknowledge and agree that a breach by a party of any of its promises or obligations contained in the Letter Agreement or this Release Agreement shall cause the other party irreparable harm and that the other party and its affiliates shall be entitled to seek injunctive relief, in addition to damages, for any such breach.
		

		
			﻿
		

		
			12.    Taxes.
		

		
			﻿
		

		
			Executive recognizes that the payments and benefits provided under this Release Agreement will result in taxable income to Executive that the Company will report to appropriate taxing authorities. The Company shall have the right to deduct from any payment made under this Release Agreement any federal, state, local, or other income, employment, Social Security, Medicare, or other taxes it determines are required by law to be withheld with respect to such payments and benefits, as well as any applicable payroll deductions.
		

		
			﻿
		

		
			It is intended that this Release Agreement comply with the provisions of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and the Treasury Regulations relating thereto, or an exemption to Section 409A of the Code. Any payments that qualify for the “short-term deferral” exception or “separation pay” exception shall be paid under such exception. For purposes of Section 409A of the Code, each payment under this Release Agreement shall be treated as a separate payment for purposes of the exclusion for certain short-term deferral amounts. In no event may Executive, directly or indirectly, designate the calendar year of any payment under this Release Agreement.
		

		

		

		 

		

			6

		

 

		
		

		
			13.    Consultation with Counsel.
		

		
			﻿
		

		
			Executive acknowledges that Executive has been advised, in this writing, to consult with an attorney of Executive’s choice prior to signing this Release Agreement and that Executive has signed this Release Agreement knowingly, voluntarily, and freely, and with such counsel (if any) as Executive deemed appropriate. Executive understands, however, that whether or not to consult with an attorney is Executive’s decision. Executive agrees that, except as set forth in the paragraph entitled “Indemnification” under the Letter Agreement, the Company shall not be required to pay any of Executive’s attorneys’ fees in this or any related matter or lawsuit, now or later, and that the amounts payable under this Release Agreement are in full and complete payment of all matters between Executive and the Company, including, without limitation, attorneys’ fees and costs.
		

		
			﻿
		

		
			14.    Right to Revoke Release 
		

		
			﻿
		

		
			Agreement.Executive acknowledges that Executive has been provided with a period of up to 45 days in which to consider whether or not to enter into this Release Agreement. Executive further acknowledges that Executive has been advised of Executive’s right to revoke this Release Agreement during the seven-day period following execution of this Release Agreement (the “Revocation Period”). To revoke, Executive must give the Company written notice of Executive’s revocation within the Revocation Period. Any revocation must state “I hereby revoke my acceptance of my Release Agreement.” The revocation must be emailed to the Company representative noted in Section 18 and received by such Company representative prior to the expiration of the Revocation Period. If the last day of the Revocation Period is a Saturday, Sunday, or legal holiday in Connecticut, then the Revocation Period shall not expire until the next following day that is not a Saturday, Sunday, or legal holiday. This Release Agreement shall not become effective or enforceable, and the consideration described in the Letter Agreement shall not be payable, until the Revocation Period has expired without such revocation having been given.
		

		
			﻿
		

		
			15.    Effective Date of Release Agreement.
		

		
			﻿
		

		
			This Release Agreement becomes effective on the day immediately following the day on which the Revocation Period ends; provided that Executive has not revoked this Release Agreement pursuant to Section 14. After Executive signs and dates the Release Agreement, Executive must return the Release Agreement to the Company representative noted in Section 18.
		

		
			﻿
		

		
			16.    No Reliance.
		

		
			﻿
		

		
			The parties acknowledge that they execute this Release Agreement in reliance on their own personal knowledge, and are not relying on any representation or promise made by any other party that is not contained in this Release Agreement.
		

		
			﻿
		

		
			17.    Entire Agreement.
		

		
			﻿
		

		
			This Release Agreement contains the entire agreement between the parties concerning the subject matter of this Release Agreement and supersedes all prior negotiations, 
		

		 

		

			7

		

 

		agreements, or understandings between the parties, except that any obligations of Executive to the Company under the Letter Agreement shall survive the execution of this Release Agreement and continue in full force and effect. No promises or oral or written statements have been made to Executive other than those in the Letter Agreement and this Release Agreement. If any portion of this Release Agreement is found to be unenforceable, all other portions that can be separated from it, or appropriately limited in scope, shall remain fully valid and enforceable. Executive agrees that the Company is entitled to cease severance payments and any other benefit set forth in this Release Agreement, and recover its prior payment of the same if an arbitrator or court of competent jurisdiction determines that any portion of the release contained in this Release Agreement is unenforceable.
		

		
			﻿
		

		
			18.    Notice.
		

		
			﻿
		

		
			Notices and all other communications contemplated by this Agreement shall be in writing and shall be deemed to have been duly given when personally delivered or one day following mailing via Federal Express or similar overnight courier service or by email. In the case of Executive, mailed notices shall be addressed to Executive at Executive’s home address that the Company has on file for Executive, or to her personal email address at ebannonjones1@gmail.com. In the case of the Company, mailed notices shall be addressed to its corporate headquarters, and all notices shall be directed to the attention of its Chief Financial Officer and Chief Legal Officer (with any such notices delivered via email being sent to the office email addresses of the Chief Financial Officer or Chief Legal Officer). Any party may serve process in any matter relating to this Release Agreement in the same manner to the extent permitted by applicable law.
		

		
			﻿
		

		
			19.    Governing Law.
		

		
			﻿
		

		
			This Release Agreement shall be governed by the substantive laws of the State of Connecticut without regard to conflicts of law principles.
		

		
			﻿
		

		
			20.    Counterpart and Electronic Signatures.
		

		
			﻿
		

		
			If the Company and Executive sign this Release Agreement in counterparts, each will be deemed the original but all counterparts taken together will constitute one instrument. Electronic or facsimile signatures will be regarded as original signatures.
		

		
			﻿
		

		
			21.    Headings.
		

		
			﻿
		

		
			All descriptive headings of sections in this Release Agreement are intended solely for convenience, and no provision of this Release Agreement is to be construed by reference to any such heading.
		

		
			﻿
		

		
			22.    Inducement.
		

		
			﻿
		

		
			To induce the Company to provide Executive the consideration recited in this Release Agreement, Executive voluntarily executes this Release Agreement, acknowledges that 
		

		 

		

			8

		

 

		the only consideration for executing this Release Agreement is that recited in this Release Agreement, and that no other promise, inducement, threat, agreement, or understanding of any kind has been made by anyone to cause Executive to execute this Release Agreement. Executive acknowledges and agrees that the consideration recited in this Release Agreement is more than the Company is required to deliver under its policies and procedures, and that any additional consideration is delivered in consideration for Executive signing this Release Agreement.
		

		
			﻿
		

		
			Executive agrees that Executive has read and understands this Release Agreement, including the release of claims, and fully understands its terms.
		

		
			﻿
		

		
			Executive understands this Release Agreement contains a final release of all known and unknown claims and that Executive can make no further claim of any kind against the Company or any of the other released parties arising out of actions occurring through the date that Executive executes this Release Agreement.
		

		
			﻿
		

		
			Executive acknowledges that Executive has been advised to consult with an attorney prior to signing this Release Agreement and has had an opportunity to review this Release Agreement with an attorney.
		

		
			﻿
		

		
			Executive acknowledges that Executive is entering into this Release Agreement knowingly and voluntarily and without any coercion.
		

		
			﻿
		

		
			Executive further acknowledges that Executive has had 45 days to consider this Release Agreement. If Executive signs this Release Agreement prior to the expiration of the 45 days, Executive agrees that Executive does so voluntarily and of Executive’s own free will.
		

		
			﻿
		

		
			(signature page follows)
		

		
			﻿
		

		
			 
		

		

		

		 

		

			9

		

 

		

			 

		

		In witness whereof, each of the parties has executed this Release Agreement, in the case of the Company by its duly authorized officer, as of the day and year set forth below.
		

		
			﻿
		

		
			FRONTIER COMMUNICATIONS CORPORATION
		

		
			﻿
		

		
			By: _/s/ Anne C. Meyer 
		

		
			      Name:  Anne C. Meyer
		

		
			       Title:    SVP, Corporate Secretary and 
		

		
			                   Acting Head of HR
		

		
			﻿
		

		
			Date:  September 22, 2020 
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			EXECUTIVE
		

		
			﻿
		

		
			/s/ Elisa Bannon-Jones 
Elisa Bannon-Jones
		

		
			﻿
		

		
			Date: September 22, 2020 
		

		
			﻿
		

		
			﻿
		

		 

		

			[Signature Page to Release Agreement]EXHIBIT 10.4
​
Certain identified information has been excluded from the exhibit because it is both not material and would likely cause competitive harm to the registrant if publicly disclosed. Such exclusions have been marked with a [****].
​
​
​
​
​
​
​
SECOND AMENDMENT TO PRIVATE LABEL CREDIT CARD PROGRAM AGREEMENT
​
This Second Amendment (“Second Amendment”) to that certain Private Label Credit Card Program Agreement dated June 29, 2018 is made and entered into effective this 23rd day of October, 2020 (“Second Amendment Effective Date”) by and between Victoria’s Secret Stores, LLC (“Victoria’s Secret”), VS Service Company, LLC by change of name and organizational form from L Brands Direct Marketing, Inc., and L Brands Direct Fulfillment, LLC by change of organizational form from L Brands Direct Fulfillment, Inc. (collectively referred to as “Direct”), and VSPR Store Operations, LLC by change of name from Puerto Rico Store Operations, LLC (“Puerto Rico”) (“Victoria’s Secret,  Direct,  and Puerto Rico collectively hereinafter referred to as “VS”) and Comenity Bank (“Bank”) (VS and Bank are referred to collectively as  the “Parties”).
​
WHEREAS, VS and Bank entered into that certain Private Label Credit Card Program Agreement dated June 29, 2018 (the “Agreement”); 
​
WHEREAS, the Agreement provides that the Bank will convert the Credit Cards to Chip Cards once VS has completed the necessary upgrade of its POS systems to accept such cards; 
​
WHEREAS, the Parties desire to use services and network provided by Mastercard International Inc. (“Mastercard”) to facilitate Chip Card transactions and enable certain digital functionality as described herein; and
​
WHEREAS, VS and Bank desire to add and change terms to the Agreement as set forth in this Second Amendment to accommodate these Program enhancements.
​
NOW, THEREFORE, for good and valuable consideration, the sufficiency of which has been agreed upon by the parties, VS and Bank agree to supplement and amend the Agreement with the following terms applicable to the utilization of the Mastercard services and private label network to facilitate Chip Card transactions and enable certain related digital functionality:
​
1.     Definitions. Each term used herein which is not defined in this Second Amendment shall have the meaning assigned to such term in the Agreement. The following definitions shall apply for the purposes of this Second Amendment:
​
“Digital Payment Application” means an end-user mobile application for the Plan that: (a) operates with an Enabled Wallet and has been approved by VS and the applicable Enabled Wallet Provider; (b) 

​
Page 1 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

enables the Digitization Enablement Services to provision a Credit Card to the Cardholder’s mobile device; (c) can only be used to initiate contactless and DSRP Transactions payment transactions through the Plan; and (d) is in compliance with the applicable Mastercard Requirements.  
​
“Digitization Enablement Services” has the meaning set forth in Section 3. 
​
“DSRP Implementation” means a software application that (a) complies with Mastercard’s Digital Secure Remote Payment specifications; (b) is either implemented on VS’ e-commerce website or otherwise allows a Cardholder to use a Token within an Enabled Wallet to initiate a payment transaction with VS through the Plan without requiring the Enabled Wallet to interact with an NFC or RFID-enabled point-of-sale device or other physical device (a “DSRP Transaction”); and (c) enables DSRP Transactions solely with VS.
​
“DSRP Transaction” has the meaning set forth within “DSRP Implementation” above.
​
“Enabled Wallet” means any digital wallet that complies with all applicable Mastercard Requirements and is approved by Mastercard, Bank and VS for use in the Plan.
​
“Enabled Wallet Provider” means a Person to whom Mastercard has licensed the applicable documentation so that such Person may develop and provide an Enabled Wallet.
​
“M/Chip” means a payment application that Mastercard deems to be compatible with its published specifications.
​
“M/Chip Card” has the meaning set forth in Section 3. 
​
“M/Chip Digital Specifications” means the specification documents relating to the digital Services and provided or made available to VS by Bank on behalf of Mastercard from time to time.
​
“M/Chip Manuals” means the documents relating to the Services and provided or made available to VS by Bank on behalf of Mastercard from time to time.
​
“Marketing Materials” means all publicly released materials, digital or tangible, that market, promote or otherwise publicly refer to a Party or its products or services, including banner advertisements and promotional emails.
​
“Networks” means Visa Incorporated, Visa Europe, American Express Company, PayPal, Inc., JCB Co. Ltd., China Union Pay Company Ltd., Discover Financial Services, FireEye, Inc., Fair Isaac Corporation (FICO), any payment network, any financial institution which provides credit card, debit card, or payment card authentication services, any other third Person that provides credit card, debit card, or payment card authentication services, any other person or entity that Mastercard from time to time determines to be  included under this definition, and each of the foregoing Persons’ Affiliates, joint ventures, successors, and assigns.  
​
“Mastercard Property” means (a) the Digitization Enablement Services, the Mastercard Requirements, the Tokens, Mastercard’s Marketing Materials, Mastercard’s Trademarks, and Mastercard’s Confidential Information; (b) all other products, services, documentation, software, know-how, and technology owned or used by Mastercard; (c) any derivative works, improvements and 

​
Page 2 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

modifications made to any of the foregoing by Mastercard or its licensors or on its or their behalf, regardless of whether based upon feedback, information or materials provided by VS or any other Person.
​
“Mastercard Requirements” means the Mastercard Private Label Rules, M/Chip Digital Specifications and the M/Chip Manuals provided to VS by Bank on Mastercard’s behalf in connection with the services, as amended or supplemented by Mastercard in its sole discretion.
​
“PVL” Mastercard Private Label Program’s transaction authorization and settlement functionality. 
​
“Token” means a numeric value generated by the Digitization Enablement Services that, for purposes of the Plan:  (a) is a surrogate for a Credit Card; (b) is issued in compliance with the EMVCo EMV Payment Tokenization Specification Technical Framework Version 2.0, as amended from time to time; (c) passes the basic validation rules for a primary account number (PAN), including the Luhn Formula for Computing Modulus 10 Check Digit; and (d) can be used only in payment transactions initiated from an Enabled Wallet for payment through the Plan.
 ​
“Trademarks” means trademarks, service marks, trade names, trade dress, logos, corporate names, domain names, and other indicia of origin.
​
2.     2019/2020 Chip Card Reissue.  Pursuant to Section 2.1(d) of the Agreement, VS represents that it has completed the necessary upgrade of its POS systems to accept EMV-enabled Credit Cards with an embedded microchip in order to support a conversion of the Credit Cards to M/Chip Cards. For avoidance of doubt, M/Chip Cards are Credit Cards as defined in the Agreement and references to Credit Cards shall include M/Chip Cards.
​
3.     Mastercard Services and Specifications.    VS and Bank desire to use Mastercard’s services in support of the following enhancements to the Plan: i) use of the PVL; ii) developing and issuing an EMV-enabled Credit Card with an embedded microchip that is compatible with Mastercard’s specifications (“M/Chip Card”); iii) tokenization services enabling the M/Chip Card to be digitized and provisioned into a digital wallet (“Digitization Enablement Services”); and iv) enabling the ability to accept digital wallet payments within the VS mobile application (“Digital Secure Remote Payments” or “DSRP”) (M/Chip Card, Digitization Enablement Services and DSRP are collectively, the “Services”). Bank agrees to enter into a licensing and services agreement with Mastercard to obtain the necessary rights and service commitments to implement the Services. 
​
3.1     VS and Bank shall comply with the Mastercard Requirements as applicable to implement and maintain the Services.
​
3.2     VS will take the actions and implement the capabilities necessary to implement and maintain the Services.  See the VS PLCC Angel Card Embedded Chip Project – High Level Scope/Processes Review and Bank Implementation Guide attached hereto as Addendum A and incorporated herein by reference. 
 ​
4.     Digitization Enablement Services
​
4.1     The Digitization Enablement Services (as more fully described in the Mastercard Requirements) include the following: (a) routing data in support of provisioning flows for M/Chip Cards (including user identification and verification); (b) generating Tokens, designating Tokens to M/Chip Card, and 

​
Page 3 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

provisioning Tokens to Enabled Wallets; (c) managing delivery of M/Chip Card art; (d) Token mapping; (e) crypto validation; (f) customer service tools; and (g) routing instructions to Enabled Wallets based on Mastercard and Bank events (e.g., lifecycle management events, such as Token suspensions and deactivations). Notwithstanding anything to the contrary in this Second Amendment, M/Chip Cards will be enabled for provisioning into only those digital wallets approved by Bank and VS in writing.
​
4.2     Token Issuer Data. VS and Bank agree that Mastercard may deliver the following transaction-specific information to the user interfaces of Enabled Wallet Providers for payment transactions executed through the Plan, such information may include, but is not limited to, the following: recordId, transactionIdentifier, transactionType, amount, currencyCode, authorizationStatus, transactionTimestamp, merchantName, merchantType, merchantPostalCode, and tokenUniqueReference. 
​
5.     DSRP Implementation
​
5.1     VS acknowledges that in order to accept remote payment transactions initiated by a Digital Payment Application (i.e., transactions where the Credit Card or an Enabled Wallet is not physically present, such as in-app, online, and other e-commerce transactions), VS must have DSRP Implementation enabled.  
​
5.2     VS agrees to: a) use the Mastercard Requirements solely to develop DSRP Implementations for use in the Plan, and b) use such DSRP Implementations solely for the purpose of authorizing DSRP Transactions made through the Plan.  
​
6.     Plan Trademarks.  For purposes of the utilization of the Mastercard services and private label network to facilitate M/Chip Card transactions and enablement of certain related digital functionality VS hereby grants to Bank, as of the Second Amendment Effective Date, a nonexclusive, worldwide, limited, nontransferable license, to copy, distribute, display, and use VS’ Trademarks designated by VS to Bank for use in the Plan, and agrees that Bank may sub-license those rights as needed to Mastercard and Enabled Wallet Providers, solely as outlined below:
​
6.1     As described in the Mastercard Requirements, including for purposes of providing the Digitization Enablement Services, including the right to display VS Trademarks as part of images of an M/Chip Card that has been provisioned into an Enabled Wallet and on the user interface of Enabled Wallets. 
​
6.2     Solely with advance written permission from VS, for Mastercard to promote, market, or otherwise describe Mastercard’s tokenization, credentialing, and digital payments capabilities in any Marketing Materials, including for the purpose of identifying the Plan as a program that uses such technology and services.
​
VS retains all rights in and to its Trademarks and all goodwill associated with use of the Trademarks shall inure solely to VS’ benefit.  Any permitted use of VS’ Trademarks will comply with all written trademark usage guidelines provided by VS to Bank.   VS shall have the right, in its sole and absolute discretion, to refuse any proposed use of its Trademarks in or on any M/Chip Card, M/Chip Card image, Enabled Wallet, promotional or marketing materials or otherwise; provided, however, that no reasonable use consistent with this Second Amendment as required for providing the Digitization Enablement Services, as stated in Section 6.1 above, will be refused. VS acknowledges that such a refusal may preclude VS’ utilization of the Mastercard services that are the subject of this Second Amendment.  Bank shall cease all use of the Name Rights licensed pursuant to this Second Amendment upon the termination of this Second Amendment for any reason unless Bank retains the Accounts after termination of the Second Amendment, in which case Bank may use such Name Rights 

​
Page 4 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

solely in connection with the administration and collection of the balance due on the Accounts (or as otherwise provided for in the Agreement).
​
7.     Branding and Marketing.
​
7.1     VS and Bank shall ensure that no M/Chip Cards, Enabled Wallet created pursuant to Section 5 or any Digital Payment Application shall bear any Mastercard, Cirrus, Maestro, or other Trademark owned or used by Mastercard.
​
7.2.     VS and Bank shall ensure that no M/Chip Cards issued or used in the Plan pursuant to this Second Amendment shall bear the Trademark or functionality of any Networks.
​
8.     Mastercard Exclusivity for the Services.   As of the Second Amendment Effective Date and solely as it relates to the licenses granted to Bank by Mastercard for sub-license under this Second Amendment, VS: (a) shall use the Digital Payment Application only for the Plan; (b) shall not obtain any tokenization, provisioning, or similar services for the Plan from any Networks; and (c) shall not use in connection with the Plan any Trademark associated with any Networks.  The limitations and restrictions set forth in this Section 8 shall cease to apply upon expiration or termination of this Second Amendment.
​
9.     Restrictions.  Except as specifically set forth in this Second Amendment and then only for use in connection with the Plan, VS shall not, and shall not permit any Person to:  a) alter, enhance, modify, or create derivative works of any portion of the Digitization Enablement Services, Mastercard Requirements, or M/Chip Cards; b) use the Digitization Enablement Services, any Enabled Wallet created pursuant to Section 5, any Digital Payment Application, any DSRP Implementation, the Mastercard Requirements, or any component of any of the foregoing; c) use the M/Chip Cards or M/Chip Manuals without the prior written consent of Bank (after Bank obtains consent from Mastercard); or d) distribute, license, offer to sell, sell, supply, or otherwise provide, demonstrate, make, use, exploit, or otherwise transfer or disclose any portion of the Digitization Enablement Services, any Enabled Wallet created pursuant to Section 5, any Digital Payment Application, any DSRP Implementation, or Mastercard Requirements to any third Person.
​
10.     Changes to Services and Mastercard Requirements.  Mastercard may make global changes to the Digitization Enablement Services and Mastercard Requirements from time to time.  Provided that such changes are applicable to all similar network participants, Bank and/or VS may be required to implement changes to their systems in order to continue to use the Digital Payment Applications or the Digitization Enablement Services as part of the Plan.  When such changes occur, Bank will notify VS within a commercially reasonable time of Mastercard’s disclosure of the changes to Bank.  Each party shall be responsible for any costs incurred by it as a result of implementing any required changes.
​
11.     Mastercard’s Proprietary Rights.   VS acknowledges and agrees that Mastercard owns and shall retain all right, title, and interest, including all intellectual property rights, in and to the Mastercard Property.  If any right, title, or interest arises or vests at any time in VS to the Mastercard Property, VS shall irrevocably assign to Bank all such right, title and interest in the Mastercard Property (and Bank shall thereafter assign all such rights to Mastercard).  VS shall not use any Mastercard Property or other information provided by Mastercard to dispute or contest the validity of Mastercard’s intellectual property or other rights in the Mastercard Property.  
​

​
Page 5 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

12.     Interchange; Fees Assessed by Others.  Bank shall not [****] shall be responsible for any fees which may be charged by Mastercard, its acquirer or any other third parties such as third party encryption or tokenization providers (which shall not be [****]).
​
13.     Chargebacks.  Notwithstanding Sections 12.4 and 12.5 of the Operating Procedures, provided that Credit Cards are EMV chip-enabled, Bank will not charge Company back for the following reasons when an EMV chip-enabled Credit Card is properly inserted in-store at POS to process the transaction or when an M/Chip Card is properly used via an Enabled Wallet either in-store at POS or on any VS website or mobile application: [****].  Bank will not charge Company back for the [****].
​
14.     Discontinuation of PVL.  In the event Mastercard discontinues availability of PVL generally or for the parties specifically, or the parties otherwise mutually agree to discontinue utilization of PVL, prior to such discontinuation of PVL the Parties shall either implement functionality to enable utilization of Bank’s traditional method for authorization and settlement of private label purchases as originally contemplated by the Agreement or utilize another mutually agreed upon private label network.  In the event of any such discontinuation of PVL by Mastercard, each party shall bear its own costs and expenses associated with the change, except that the Parties shall [****] the Plan expenses and costs incurred and documented by Bank related to the change in the card network, including the reissuance of the Credit Cards and any related changes to Forms. Notwithstanding the foregoing, if Mastercard discontinues the availability of PVL to the Parties specifically as the result of Bank’s or VS’ negligent non-compliance with the Mastercard Requirements or the M-Chip Agreement (whether directly in the case of Bank, or through the flow-through terms as set forth in this Second Amendment in the case of VS), then the non-compliant Party shall bear all reasonable Plan expenses and costs incurred and documented by the other Party related to the change in the card etwork, due to the discontinuation of the Mastercard PVL, including the reissuance of the Credit Cards and any related changes to Forms.
​
15.     Operating Procedures.  In addition to the provisions of Section 3.2, VS shall comply with all Mastercard Requirements applicable to utilization of Mastercard’s PVL and provision of the Digitization Enablement Services, and subject to Section 13, comply with Bank’s Operating Procedures.
​
16.     Merchant Identification Numbers.  Prior to VS’s utilization of the Mastercard PVL, VS shall furnish to Bank a complete and accurate list of Merchant Identification Number(s) associated with Purchases to be made hereunder and, thereafter, VS shall provide not less than ten (10) days’ written notice to Bank prior to any changes to such Merchant Identification Numbers. To the extent VS is unable or fails to provide the Merchant Identification Numbers, Bank shall be excused from its obligation to make any payments or award any reward credits that are dependent upon an accurate accounting of Net Sales, or the identification of Purchases, associated with those Merchant Identification Numbers not provided. VS shall be solely responsible for reporting complete and accurate Merchant Identification Numbers to Bank.
​
17.     Confidentiality.  Any information that would qualify as Confidential Information of Mastercard shall be considered Bank Confidential Information pursuant to Section 10.17 of the Agreement.  The confidentiality obligations of Section 10.17 shall not apply to the extent Bank is required to report Confidential Information to a Card Network by such Card Network’s applicable rules and regulations.
​
18.     Term and Termination. This Second Amendment shall be effective as of the Effective Date and shall terminate on the earlier of: (i) the termination of the Agreement, or (ii) the termination of the Mastercard M/Chip Technology Licensing & Digital Technology and Services Agreement for Private Label 

​
Page 6 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

Issuers between Mastercard and Bank, dated [****] (the “M/Chip Agreement”) which has an initial term of [****] calendar years.   
​
19.     Subcontractors.  VS and its Participating Affiliates shall be responsible for the acts and omissions of each of its and their agents, employees, and subcontractors related to such party’s performance in connection with this Second Amendment to the same extent as if such party’s actions were those of VS or its Participating Affiliate. 
​
20.     Disclaimer of Warranties.     BANK MAKES NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE, AND NON-INFRINGEMENT WITH RESPECT TO THE MASTERCARD PROPERTY.  THE M/CHIP CARDS AND THE MASTERCARD PROPERTY, INCLUDING THE DIGITIZATION ENABLEMENT SERVICES, ARE PROVIDED BY MASTERCARD (VIA BANK) “AS IS”, WITH ALL FAULTS, KNOWN AND UNKNOWN.  EXCEPT AS SPECIFICALLY SET FORTH HEREIN TO THE CONTRARY VS ASSUMES THE ENTIRE RISK ARISING OUT OF ITS USE OF AND/OR RELIANCE ON THE MASTERCARD PROPERTY, THE M/CHIP CARDS AND ANY DSRP IMPLEMENTATION. 
​
21.     Royalties.  With regard to [****] on a daily basis each Business Day.   With regard to [****].
​
22.     Miscellaneous.
​
22.1     Except as expressly provided herein, all terms and conditions of the Agreement shall remain in full force and effect and shall apply to the subject matter of this Second Amendment. Wherever possible, the terms of this Second Amendment shall be read in such a manner as to avoid conflict with the Agreement but, in the event of an unavoidable conflict, the terms of this Second Amendment shall control over the terms and conditions of the Agreement solely with respect to the Services described in this Second Amendment. 
​
22.2     This Second Amendment may be executed in counterparts, both of which shall constitute one and the same instrument.
​
​

​
Page 7 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment in manner and form sufficient to bind them as of the date first above written.
​
	COMENITY BANK
	​
	​

	​
	​
	​

	By:  /s/ Gregory Opincar 
	​
	​

	Title: Chief Financial Officer
	​
	​

	Date: October 22, 2020
	​
	​

	​
	​
	​

	​
	​
	​

	​
	​
	​

	​
	​
	​

	VICTORIA’S SECRET STORES, LLC
	​
	VS SERVICE COMPANY, LLC

	​
	​
	​

	By:  /s/ Timothy Faber
	​
	By:  /s/ Timothy Faber

	Title: SVP, Treasurer
	​
	Title: SVP, Treasurer

	Date: October 23, 2020
	​
	Date: October 23, 2020

	​
	​
	​

	​
	​
	​

	​
	​
	​

	​
	​
	​

	VSPR STORE OPERATIONS, LLC
	​
	L BRANDS DIRECT FULFILLMENT, LLC

	​
	​
	​

	By:  /s/ Timothy Faber
	​
	By:  /s/ Timothy Faber

	Title: SVP, Treasurer
	​
	Title: SVP, Treasurer

	Date: October 23, 2020
	​
	Date: October 23, 2020

​
​
​

​
Page 8 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

LIST OF ADDENDUMS
​
	Addendum A
	VS PLCC Angel Card Embedded Chip Project – High Level Scope/Processes Review and Bank Implementation Guide

​
Page 9 of 9
​
CONFIDENTIAL AND PROPRIETARY INFORMATION
VS and Comenity Bank Second Amendment

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00316-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00316-of-00352.parquet"}]]