Document:

Computer Services Agreement, dated as of November 5, 2003

 Exhibit 10.5 
  
 TAX ALLOCATION AGREEMENT 
  
 BY AND AMONG 
  
 UNION PACIFIC CORPORATION, 
  
 OVERNITE CORPORATION 
  
 AND 
  
 SUBSIDIARIES 
  
 DATED AS OF NOVEMBER 5, 2003 

 TAX ALLOCATION AGREEMENT 
  
 THIS AGREEMENT is entered into as of November 5, 2003, between Union Pacific Corporation (“UPC”), a Utah
corporation, on behalf of itself and the other members of the UPC Consolidated Group and the UPC Unitary Group (both as hereinafter defined), and Overnite Corporation, a Virginia corporation, on behalf of itself and the other members of the Overnite
Consolidated Group and the Overnite Unitary Group (both as hereinafter defined), which includes Overnite Holding, Inc. (“OHI”), a Delaware corporation. 
  
 WHEREAS, UPC and OHI were parties to that certain Tax Allocation Agreement between them dated as of January 1, 1991
(the “1991 Agreement”) setting forth and confirming: certain matters relating to the inclusion of OHI and certain other companies in the UPC consolidated Federal Income Tax returns and Unitary Income Tax returns; the allocation of Tax
liabilities for periods during which OHI and other companies were or would be Subsidiaries of UPC; the administration of Tax audits and proceedings; and the principles embodied in Tax allocation policies then in effect between UPC and OHI; and

  
 WHEREAS, the 1991 Agreement provides that it may be
amended only by written agreement of UPC and OHI; and 
  
 WHEREAS, in connection with the Acquisition and the Offering (both as hereinafter defined), OHI will become a wholly-owned subsidiary of Overnite Corporation, and Overnite Corporation and its Subsidiaries will cease to be members of
the UPC Consolidated Group and the UPC Unitary Group; and 
  
 WHEREAS, the members of the Overall Consolidated Group (as defined below) desire to amend and restate the 1991 Agreement to reflect the Offering and for other reasons; 
  
 NOW, THEREFORE, the parties hereto, intending to be legally bound, agree that the 1991 Agreement is amended and
restated in full as follows: 
  
 ARTICLE I 
  
 DEFINITIONS AND OTHER PROVISIONS 
  
 For purposes of this Agreement, the following terms shall have the meanings
ascribed to them. Each such term may be used in either the singular or the plural. 
  
 Section 1.1. 1991 Agreement. The term “1991 Agreement” has the meaning ascribed to such term in the first premise of this Agreement. 
  
 Section 1.2. 2001 Motor Cargo Merger Agreement. The term
“2001 Motor Cargo Merger Agreement” means the Agreement and Plan of Merger By and Among Motor Cargo Industries, Inc., Union Pacific Corporation and Motor Merger Co. dated as of October 15, 2001. 
  
 Section 1.3. 2003 Pre-Offering Period. The term “2003
Pre-Offering Period” means the Pre-Offering Period beginning January 1, 2003. 
  
 Section 1.4. Acquisition. The term “Acquisition” means UPC’s transfer of all the issued and outstanding shares of common stock of OHI to Overnite Corporation in exchange for all of the
issued and outstanding stock of Overnite Corporation and a promissory note, as contemplated in the Stock Purchase and Indemnification Agreement. 
  

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 Section 1.5. Actual Loss. The term “Actual Loss” means the amount of all Taxes
actually incurred or Tax Benefits lost (in either case based upon the Tax law in effect at the time of loss and discounted at the Applicable Federal Rate using monthly compounding) by a Party as a result of an action (or failure to act) by another
Party with respect to matters described in this Agreement. Such Tax or lost Tax Benefit resulting from such action (or failure to act) shall be calculated using the allocated Tax liability for the appropriate Tax jurisdiction, net of the present
value of any reasonably anticipated related offsetting Tax Benefit (based upon the Tax law in effect at the time of computation) discounted at the Applicable Federal Rate using monthly compounding. 
  
 Section 1.6. Additional Shares. The term “Additional
Shares” has the same meaning as in the Underwriting Agreement. 
  
 Section 1.7. Aggregate Deemed Sales Price. The term “Aggregate Deemed Sales Price” means the Aggregate Deemed Sales Price as determined under Code Section 338 and the Treasury regulations thereunder and the
corresponding provisions of state or local law. 
  
 Section
1.8. Applicable Federal Rate. The term “Applicable Federal Rate” means the Federal short-term rate, with monthly compounding, as determined under Code Section 1274(d). 
  
 Section 1.9. Business Day. The term “Business Day”
means a day of the year on which banks are not required or authorized to close in New York City. 
  
 Section 1.10. Code. The term “Code” means the Internal Revenue Code of 1986, as amended, and any successor statute. 
  
 Section 1.11. Federal Income Tax. The term “Federal Income
Tax” means the Income Taxes imposed under the Code. 
  
 Section 1.12. Income Tax. The term “Income Tax” means any domestic Tax (whether denominated as “income tax,” a “franchise tax” or otherwise), based upon taxable income of an entity or group of
entities. 
  
 Section 1.13. Item. The term
“Item” means a Tax attribute, item of income, loss, deduction, preference, or credit attributable to the assets or activities of a Party. 
  
 Section 1.14. Miscellaneous Tax. The term “Miscellaneous Tax” means any Tax other than Federal Income Tax, Unitary Income Tax, and
Separate Return Income Tax (including but not limited to excise Taxes, windfall profits Taxes, value added Taxes, franchise Taxes based on net worth, real property Taxes, personal property Taxes, severance Taxes, single business Taxes, gross
receipts Taxes, state or local sales or use Taxes, employment and payroll Taxes and premiums, and all foreign Taxes). 
  
 Section 1.15. Motor Cargo. The term “Motor Cargo” means, collectively, Motor Cargo Industries, Inc., a Utah corporation, as that
corporation existed before the transactions consummated pursuant to the 2001 Motor Cargo Merger Agreement, Motor Cargo Industries, Inc., a Utah corporation, as that corporation has existed since such transactions and all Subsidiaries (whether or not
currently in existence) of either such corporation. 
  
 Section
1.16. Motor Cargo Pre-Consolidation Income Taxes. The term “Motor Cargo Pre-Consolidation Income Taxes” means all Income Taxes imposed on or payable by Motor Cargo for any taxable period beginning before the date Motor Cargo
joined the Overall Consolidated Group. 
  

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 Section 1.17. Negotiation Period. The term “Negotiation Period” means the period
beginning with receipt of notice of a dispute and ending with receipt of notice by one Party that the other Party wishes to end the Negotiation Period, as described in Section 8.1 of this Agreement. 
  
 Section 1.18. Nexus. The term “Nexus” means the level
of activity that must be established in a Taxing jurisdiction to enable it to impose an Income Tax. 
  
 Section 1.19. Offering. The term “Offering” means UPC’s sale of Overnite Corporation stock through a public offering as
contemplated in the Stock Purchase and Indemnification Agreement. 
  
 Section 1.20. Offering Date. The term “Offering Date” means the date on which OHI ceases to be a member of the Overall Consolidated Group. 
  
 Section 1.21. Overall Consolidated Group. The term “Overall Consolidated Group” means the group of
corporations composed of the Overnite Consolidated Group and the UPC Consolidated Group (both as defined below). 
  
 Section 1.22. Overall Unitary Group. The term “Overall Unitary Group” means the group of corporations composed of the Overnite
Unitary Group and the UPC Unitary Group (both as defined below). 
  
 Section 1.23. Overnite Consolidated Group. For all periods through the date that OHI becomes a wholly-owned Subsidiary of Overnite Corporation, the term “Overnite Consolidated Group” means OHI and all other
corporations that, but for UPC’s ownership of the stock of OHI, would be members of an affiliated group of corporations (within the meaning of Section 1504(a) of the Code) having OHI as its common parent, (including disregarded entities, within
the meaning of Treasury Regulation Section 301.7701-3(b)(1)(ii) owned by such members). For all periods thereafter, the term “Overnite Consolidated Group” means Overnite Corporation and all other corporations that are members of the
affiliated group of corporations (within the meaning of Section 1504(a) of the Code) of which Overnite Corporation is (or, but for UPC’s ownership of the stock of Overnite Corporation, would be) the common parent, (including disregarded
entities within the meaning of Treasury Regulation Section 301.7701-3(b)(1)(ii) owned by such members), together with any other corporations which may become members of such affiliated group and any passthrough entities in which Overnite Corporation
or any member of such affiliated group may become a member. 
  
 Section 1.24. Overnite Miscellaneous Tax. The term “Overnite Miscellaneous Tax” means any Miscellaneous Tax for which any member of the Overnite Consolidated Group or Overnite Unitary Group is liable under applicable
law. 
  
 Section 1.25. Overnite Separate Return Income
Tax. The term “Overnite Separate Return Income Tax” means a Separate Return Income Tax for which any member of the Overnite Consolidated Group or Overnite Unitary Group is liable under applicable law. States and local jurisdictions
where members of the Overnite Consolidated Group and Overnite Unitary Group file on a separate company basis are identified in Appendix I. 
  
 Section 1.26. Overnite Unitary Group. For all periods through the date that OHI becomes a wholly-owned Subsidiary of Overnite Corporation,
the term “Overnite Unitary Group” means OHI and all other entities that, but for UPC’s ownership of the stock of OHI, would be identified by a state or local Taxing Authority as the basis for the Unitary Income Tax assessment and
Unitary Income Tax Return of OHI. For all periods thereafter, the term “Overnite Unitary Group” means Overnite Corporation and all other entities identified by a state or local Taxing Authority as the basis for the Unitary Income Tax
assessment and Unitary Income Tax Return of Overnite Corporation. 
  

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 Section 1.27. Party. The term “Party” means either the members of the UPC
Consolidated Group or of the Overnite Consolidated Group as the context requires. 
  
 Section 1.28. Post-Offering Period. The term “Post-Offering Period” means any taxable period beginning after the Offering Date. 
  
 Section 1.29. Pre-Offering Period. The term “Pre-Offering Period” means any taxable period ending on
or prior to the Offering Date. 
  
 Section 1.30. Section
338(h)(10) Defense Cost. The term “Section 338(h)(10) Defense Cost” means an out-of-pocket cost actually and reasonably incurred by a Party in defending the validity of the Section 338(h)(10) Elections (or any of them) to the Internal
Revenue Service or other Taxing Authority, in connection with any administrative proceedings (including but not limited to examination, claim for refund, amended return, request for ruling, technical advice or other internal procedure, appeal or
alternative dispute resolution procedure) or litigation. 
  
 Section 1.31. Section 338(h)(10) Election. The term “Section 338(h)(10) Election” means an election under Section 338(h)(10) of the Code and the regulations thereunder and any similar elections available under any
applicable state or local law with respect to (a) the Acquisition, and (b) each of the deemed acquisitions of the stock of all the direct and indirect Subsidiaries of OHI except Motor Cargo. 
  
 Section 1.32. Separate Return Income Tax. The term
“Separate Return Income Tax” means any state or local Income Tax, other than a Unitary Income Tax, incurred by any member of the Overall Consolidated Group. 
  
 Section 1.33. Stock Purchase and Indemnification Agreement. The term “Stock Purchase and Indemnification
Agreement” means the Stock Purchase and Indemnification Agreement dated November 5, 2003, among UPC, Overnite Corporation, OHI, Overnite Transportation Company, and Motor Cargo Industries, Inc. 
  
 Section 1.34. Subsidiary. A “Subsidiary” of a
corporation is a business entity (including, but not limited to, a corporation, partnership, limited partnership, limited liability company, limited partnership or business trust) of which such corporation owns more than 50% of the issued and
outstanding equity interests (as the case may be, including but not limited to, stock or partnership membership or beneficial interests). 
  
 Section 1.35. Tax. The term “Tax” means any federal, state, territorial, local, foreign and other net income, gross income, gross
receipts, sales, use, value added, ad valorem, transfer, franchise, profits, license, lease, service, service use, withholding, payroll, employment, unemployment insurance, workers compensation, social security, excise, severance, stamp, business
license, occupation, premium, property, environmental, windfall profits, customs, duties, alternative minimum, estimated or other Tax, fee, premium, assessment or charge of any kind whatever imposed or collected by any governmental entity or
political subdivision thereof, which any member of the UPC Consolidated Group, UPC Unitary Group, Overnite Consolidated Group or Overnite Unitary Group is required to pay, collect or withhold, together with any interest, penalties, additions to Tax,
or additional amounts with respect thereof, in each case through date of payment. 
  

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 Section 1.36. Tax Benefit. The term “Tax Benefit” means (a) any refund, credit,
carryover, carryback or other reduction in otherwise required Tax payments; and (b) any decrease in any Tax in one Tax period that results from an adjustment to liability for Tax in another Tax period, such as an increase in a deduction for
depreciation that results from a determination that, in a previous Tax period, an expenditure is capitalized and not deducted, or that an item of gain is recognized. 
  
 Section 1.37. Taxing Authority. The term “Taxing Authority” means any governmental authority
(whether United States or non-United States, and including any state, municipality, political subdivision or governmental agency) responsible for the imposition or administration of any Tax. 
  
 Section 1.38. Underwriting Agreement. The term
“Underwriting Agreement” means the Underwriting Agreement dated October 30, 2003, among: UPC, Overnite Corporation, OHI, and Credit Suisse First Boston, LLC, and Morgan Stanley & Co. Incorporated as representatives of the several
underwriters. 
  
 Section 1.39. Unitary Income Tax.
The term “Unitary Income Tax” means a state or local Income Tax which reflects the combined or consolidated reporting (either on a domestic or worldwide basis) of any of the Parties and their respective affiliates for a state or local
jurisdiction which either (a) imposes its Income Tax on its apportioned and/or allocable share of the taxable income of a taxpayer and its domestic affiliates that are engaged in a “unitary business”, part of which is conducted in the
state or (b) imposes its Income Tax on its apportioned and/or allocable share of the taxable income of a taxpayer and its affiliates – both domestic and foreign – that are engaged in a unitary business. States and local jurisdictions where
UPC and affiliates file on a unitary basis are identified in Appendix I. 
  
 Section 1.40. Unitary Group. The term “Unitary Group” means one of: the Overnite Unitary Group, the UPC Unitary Group or the Overall Unitary Group. 
  
 Section 1.41. UPC Consolidated Group. The term “UPC
Consolidated Group” means the affiliated group of corporations (within the meaning of Section 1504(a) of the Code) of which UPC is the common parent (including disregarded entities within the meaning of Treasury Regulation Section
301.7701-3(b)(1)(ii) owned by such members), including corporations (and their disregarded entities) that were but no longer are part of such affiliated group, but excluding the members of the Overnite Consolidated Group. 
  
 Section 1.42. UPC Separate Return Income Tax. The term
“UPC Separate Return Income Tax” means a Separate Return Income Tax for which any member of the UPC Consolidated Group is liable under applicable law. 
  

Section 1.43. UPC Miscellaneous Tax. The term “UPC Miscellaneous Tax” means any Miscellaneous Tax for which any member of the
UPC Consolidated Group is liable under applicable law. 
  
 Section 1.44. UPC Unitary Group. The term “UPC Unitary Group” means UPC and all other entities identified by a state or local Taxing jurisdiction as the basis for the Unitary Income Tax assessment and Unitary Income
Tax Returns of UPC, but excluding the members of the Overnite Unitary Group. 
  

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 ARTICLE II 
  
 FILING OF CONSOLIDATED RETURNS AND ELECTIONS 
  
 Section 2.1. Consolidated and Unitary Returns. For the 2003 Pre-Offering Period, UPC shall, to the extent
permitted by law, include (a) the Overnite Consolidated Group in its Federal Income Tax return for the Overall Consolidated Group and (b) the Overnite Unitary Group in its Unitary Income Tax returns for the Overall Unitary Group. UPC shall have the
right to obtain extensions of time to file these returns as it deems necessary in its sole discretion. These returns shall be prepared by UPC and shall be filed in a timely manner. UPC shall have sole responsibility and control with respect to
determining Tax return positions for the Overnite Consolidated Group Items and the Overnite Unitary Group Items for the 2003 Pre-Offering Period; provided, however, UPC shall use for the Overnite Consolidated Group and Overnite Unitary Group any Tax
return positions that are requested by Overnite Corporation and both Parties agree are appropriate under applicable law (including regulations), if the effect of doing so would be to produce a Tax Benefit of $50,000 or more in the aggregate with
respect to any Income Taxes allocated to Overnite Corporation under this Agreement or any Overnite Separate Return Income Tax without producing an Actual Loss with respect to Income Taxes allocated to UPC under this Agreement. 
  
 Section 2.2. Filing Information. 
  
 (a) Overnite Corporation shall supply UPC with (i) a completed pro forma
consolidated Federal Income Tax return for the Overnite Consolidated Group for the 2003 Pre-Offering Period, together with all appropriate information necessary for the integration of such return into the consolidated Federal Income Tax return for
the Overall Consolidated Group for such period, and (ii) the data and information relating to the Overnite Unitary Group necessary to prepare the Unitary Income Tax returns to be filed by UPC under this Agreement. 
  
 (b) All the returns and information set forth in Section 2.2(a) shall be
provided pursuant to timetables and instructions as mutually agreed by UPC and Overnite Corporation. In the event that Overnite Corporation (i) either does not timely provide such information or provides information that is incomplete or otherwise
not reasonably satisfactory to UPC, and (ii) Overnite Corporation does not cure such defect within 30 Business Days after UPC gives notice thereof, UPC shall be entitled to require Overnite Corporation to engage, at Overnite Corporation’s
expense, an independent accounting firm reasonably acceptable to UPC and Overnite Corporation to gather and provide the information which Overnite Corporation is required to provide under this Section 2.2. 
  
 (c) The returns and information provided by Overnite Corporation pursuant to
Section 2.2(a) shall be consistent with all elections and accounting methods used by the Overnite Consolidated Group in previous Tax periods, except as otherwise required by applicable law (including regulations) or agreed to by UPC. In addition,
the Overnite Consolidated Group shall notify UPC of any changes to elections or accounting methods from the prior year. The Overnite Consolidated Group shall indemnify UPC for any Actual Loss suffered by the UPC Consolidated Group due to any failure
of the Overnite Consolidated Group to comply with these requirements. 
  
 Section 2.3. Section 338(h)(10) Elections. 
  
 (a) Overnite Corporation and UPC agree to make and file the Section 338(h)(10) Elections jointly and in a timely manner. 
  
 (b) As requested from time to time by UPC (whether before, at, or after the Offering Date), Overnite Corporation shall assist UPC in, and shall provide
the necessary information to UPC in 
  

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 connection with, the preparation of Internal Revenue Service Form 8023, Elections Under Section 338 For Corporations
Making Qualified Stock Purchases, and any comparable or related forms required under any applicable state or local law, and the required schedules or statements thereto (the “Section 338 Election Forms”) relating to the Section 338(h)(10)
Elections. Without limiting the generality of the preceding sentence and with respect to each Section 338 Election Form delivered by UPC to Overnite Corporation on or before the Offering Date, Overnite Corporation shall, no later than the Offering
Date, cause each such Section 338 Election Form to be duly executed by Overnite Corporation or an affiliate of Overnite Corporation, as appropriate, and shall deliver the same to UPC at the Offering Date. If UPC determines at or after the Offering
Date that any change is to be made in a Section 338 Election Form previously executed by Overnite Corporation or an affiliate of Overnite Corporation and delivered by Overnite Corporation to UPC, then UPC may prepare a new Section 338 Election Form
and deliver such new Section 338 Election Form to Overnite Corporation, and Overnite Corporation shall cause such Section 338 Election Form to be duly executed by Overnite Corporation or an affiliate of Overnite Corporation, as appropriate, and
shall promptly deliver such executed Section 338 Election Form to UPC. 
  
 (c) UPC shall timely file (or cause to be filed) the Section 338 Election Forms on behalf of UPC and Overnite Corporation, and shall provide notice of such filing to Overnite Corporation. UPC and Overnite Corporation shall thereafter take
any and all actions necessary or appropriate to effect the timely filing of any other Section 338 Election Forms required to be filed for any applicable state or local tax purposes. 
  
 (d) With respect to the filings described in Section 2.3(c) above, the members of the UPC Consolidated Group and the
Overnite Consolidated Group will (i) treat as valid the Section 338(h)(10) Elections, (ii) not take any action inconsistent with such treatment and (iii) timely file, or cause to be filed, all tax returns affected by such filings in a manner
consistent with the Section 338(h)(10) Elections (including but not limited to attaching such Section 338 Election Forms and the schedules related thereto to the appropriate tax returns in the manner prescribed by applicable regulations or other
applicable law). 
  
 (e) Within 90 Days of the Offering Date,
Overnite Corporation shall present to UPC a completed Internal Revenue Service Form 8883, Asset Allocation Statement Under Section 338, and any comparable or related forms under any applicable state or local law. Provided such allocation of the
Purchase Price is reasonable, UPC shall adopt the same allocation on its own Form 8883, and any comparable or related forms under any applicable state or local law. If UPC determines that such allocation is not reasonable, the Parties shall take
reasonable steps to come to an agreement on an allocation. 
  
 (f)
Each of the members of the UPC Consolidated Group and Overnite Consolidated Group hereby covenants to take all appropriate actions to ensure the validity and effectiveness of the Section 338(h)(10) Elections, and not to take any action which
jeopardizes their validity and effectiveness. For purposes of this Section 2.3(f), an action which jeopardizes the validity and effectiveness of the Section 338(h)(10) Elections includes, but is not limited to, the issuance by Overnite Corporation
of Overnite Corporation voting stock to a person or persons (other than UPC) who collectively would own stock constituting 70% or more of the combined voting power of all classes of Overnite Corporation stock entitled to vote immediately after any
such issuance. 
  
 (g) Overnite Corporation shall not, during the
180-day period commencing on the Offering Date, offer, pledge, sell, contract to sell, sell any option, sell any contract to purchase, grant any option, right or warrant to purchase, or issue stock in itself other than transactions described in the
Form S-1 Registration Statement filed with the United States Securities and Exchange Commission on August 4, 2003, and amended on September 12, 2003, October 14, 2003, October 23, 2003, October 30, 2003 and 
  

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 October 30, 2003, unless Overnite Corporation receives prior written consent from UPC. UPC shall respond to any request
for consent within 30 calendar days, and shall not withhold consent unless, in the opinion of UPC’s Vice President - Tax, such action by Overnite Corporation would jeopardize the validity of any of the Section 338(h)(10) Elections. UPC and all
members of the UPC Consolidated Group shall keep any request under this Section 2.3(g), and any information associated with such request, strictly confidential; shall not disclose any such information to any other party unless required by law; and
shall not use any such information in any manner that could violate any federal or state securities law. 
  
 Section 2.4. Other Elections. 
  
 (a) Overnite Corporation shall execute and file any and all consents, elections, or other similar documents and shall maintain in effect previously filed
elections, consents, or other similar documents necessary or appropriate to effect the filing of the consolidated Federal Income Tax and Unitary Income Tax returns for the Overall Consolidated Group for the 2003 Pre-Offering Period. 
  
 (b) UPC shall determine, in its sole discretion, whether an election under
either Treasury Regulation Section 1.1502-76(b)(2)(ii) (to ratably allocate a year’s items) or Section 1.1502-76(b)(2)(iii) (to ratably allocate a month’s items) should be made, and the Overnite Consolidated Group shall make such elections
if and only if instructed by UPC. 
  
 ARTICLE III

  
 TAX ALLOCATIONS 
  
 Section 3.1. Prior Tax Allocations. Except as otherwise
provided herein, all Tax payments, allocations and settlements between the Parties made prior to the Offering (including, but not limited, to those made pursuant to the 1991 Agreement) shall be final, and neither Party shall have a claim against the
other under this Agreement relating to any such Tax payment, allocation or settlement. 
  
 Section 3.2. Consolidated Federal Income Tax and Tax Benefits. 
  
 (a) Except as provided in Sections 3.6 and 3.7 and subject to Section 7.1, with respect to any Pre-Offering Period, all Federal Income Tax and Tax
Benefits relating thereto of the Overall Consolidated Group (including all Federal Income Tax and Tax Benefits in any Pre-Offering Period of the Overall Consolidated Group resulting from the Acquisition and the Offering) shall be allocated to UPC.

  
 (b) With respect to any Post-Offering Period, (i) all Federal
Income Tax and Tax Benefits relating thereto of the Overnite Consolidated Group (including all Federal Income Tax Benefits in any Post-Offering Period of the Overnite Consolidated Group resulting from the Acquisition and the Offering) shall be
allocated to Overnite Corporation, and (ii) all Federal Income Tax and Tax Benefits relating thereto of the UPC Consolidated Group shall be allocated to UPC. 
  
 (c) All Tax Benefits from eliminating interest on overlapping periods of Federal Income Tax overpayments and underpayments under Section 6621 of the Code
that in any way involve Federal Income Taxes for any Pre-Offering Period shall remain with UPC, and any claims or requests to apply this provision to Federal Income Taxes that in any way involve Federal Income Taxes for any Pre-Offering Period shall
remain the sole responsibility of UPC. The Overnite Consolidated Group shall not file any claim or request to eliminate interest on overlapping periods of Tax overpayments and underpayments that in any way involves Federal Income Taxes for any
Pre-Offering Period. 
  

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 Section 3.3. Unitary Income Tax and Tax Benefits. 
  
 (a) Except as provided in Sections 3.6 and 3.7 and subject to Section 7.1,
with respect to any Pre-Offering Period, all Unitary Income Tax and Tax Benefits due to or receivable from a Taxing Authority by any member of the Overall Unitary Group (including all Unitary Income Tax and Tax Benefits in any Pre-Offering Period of
the Overall Unitary Group resulting from the Acquisition and the Offering) shall be allocated to UPC. Nexus for purposes of the determination of the Unitary Income Tax Liability in a particular jurisdiction shall be determined solely by UPC. Should
a Taxing Authority subsequently determine Nexus differently from a determination previously made, the Unitary Income Tax liability shall be governed by such Tax authority’s sustained or agreed upon final determination, and any additional
Unitary Income Tax liabilities arising therefrom shall be allocated to UPC with respect to any Pre-Offering Period. 
  
 (b) With respect to any Post-Offering Period, (i) all Unitary Income Tax for which any member of the Overnite Unitary Group is liable, and any Tax Benefit
relating to Unitary Income Tax to which any member of the Overnite Unitary Group is entitled (including all Unitary Income Tax Benefits in any Post-Offering Period of the Overnite Unitary Group resulting from the Acquisition and the Offering), shall
be allocated to Overnite Corporation, and (ii) all Unitary Income Tax for which any member of the UPC Unitary Group is liable, and any Tax Benefit relating to Unitary Income Tax to which any member of the UPC Unitary Group is entitled, shall be
allocated to UPC. 
  
 Section 3.4. Separate Return
Income Taxes and Tax Benefits. Except as otherwise provided in Section 3.7, all liabilities for Separate Return Income Taxes shall remain the sole responsibility of the particular entity which incurred or whose predecessor incurred the liability
or whose activities (or predecessors’ activities) resulted in the liability. Likewise, any Tax Benefits relating to Separate Return Income Tax (including but not limited to refunds received as a result of audits, claims or amended returns)
shall be the sole property of the entity which is entitled to the refund or claim under applicable law. Nexus for purposes of the determination of Overnite Separate Return Income Tax liability in any jurisdiction shall be determined by Overnite
Corporation. Should a Taxing Authority subsequently determine Nexus differently from a determination previously used, the Overnite Separate Return Income Tax liability shall be governed by such Taxing Authority’s sustained or agreed upon final
determination, and any additional Overnite Separate Return Income Tax arising therefrom shall remain the liability of the particular entity which incurred or whose predecessor incurred the liability or whose activities (or predecessors’
activities) resulted in the liability. 
  
 Section 3.5.
Miscellaneous Taxes and Tax Benefits. All liabilities for Miscellaneous Taxes shall remain the sole responsibility of the particular entity which incurred or whose predecessor incurred the liability or whose activities (or
predecessors’ activities) resulted in the liability. Likewise, any Tax Benefits relating to any Miscellaneous Taxes (including but not limited to refunds received as a result of audits, claims or amended returns) shall be the sole property of
the entity which is entitled to the refund or claim by operation of law or under the terms of this Agreement. 
  
 Section 3.6. Adjustments for Liabilities. If (i) any liability (including but not limited to a contingent liability) of any member of the
Overnite Consolidated Group or the Overnite Unitary Group becomes payable or accrues at or after the Offering Date, and (ii) such event results in a net increase in the Aggregate Deemed Sales Price, then any Income Tax resulting therefrom shall be
allocated to the Overnite Consolidated Group; provided, however, that such Income Tax shall be allocated to UPC to the extent that either (x) the UPC Consolidated Group receives a corresponding and offsetting Tax Benefit in any Post-Offering Period,
or (y) the Overall Consolidated Group receives such Tax Benefit relating to such liability in any Pre-Offering Period. The members of the UPC Consolidated Group and the Overall Consolidated Group shall claim all deductions to which they are entitled
under the Tax law with respect to any liability giving rise to the application of this Section 3.6. 
  

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 Section 3.7. Motor Cargo Pre-Consolidation Income Taxes. All Motor Cargo Pre-Consolidation
Income Taxes and Tax Benefits relating thereto, shall be allocated to Overnite Corporation. 
  
 ARTICLE IV 
  
 TAX
PAYMENTS AND SETTLEMENTS 
  
 Section 4.1.
Notice. UPC shall give Overnite Corporation notice within 30 Business Days of assessments, refund claims, or amended returns associated with any Pre-Offering Period so that Overnite Corporation may determine any effect such items may have
on its Overnite Separate Return Income Taxes and on its Taxes with respect to any Post-Offering Period. 
  
 Section 4.2. Actions by Taxing Authorities. Where a Taxing Authority has made or makes assessments, abatements, credits, refunds, or similar
items; or posts payments, assessments, abatements, credits, refunds, or similar items on or against one Party’s Tax account which are properly attributable hereunder to the other Party, the Party receiving such item shall provide notice to the
other Party within 30 Business Days of discovering such action and the Parties shall cooperate with each other and work together to resolve the matter with the appropriate Taxing Authority. Where the matter cannot be resolved with the appropriate
Taxing Authority, the Parties shall make each other whole as if the Taxing Authority had posted the item to the responsible Party. 
  
 Section 4.3. Payments/Refunds. Payments under this Agreement shall be made not later than 11:00 a.m. EST on the day when due in U.S. dollars
by wire transfer of immediately available funds to the account designated for that purpose by UPC or Overnite Corporation. Unless a different time is specified for payment hereunder, such payments shall be due fifteen (15) days after appropriate
notice is given that such payment is due. Whenever such payments would be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day. If an amount due hereunder has not been paid when due, such amount
shall bear interest from the date such payment was due, up to but excluding the date of payment of such amount, at the Applicable Federal Rate, compounded monthly. 
  
 ARTICLE V 
  
 AUDITS, AMENDED RETURNS, AND LITIGATION 
  
 Section 5.1. Conduct of Examinations; Amended Returns; Protests; Litigations. 
  
 (a) Except as otherwise provided in this Article V, UPC shall have sole responsibility and control with respect to:
determining Tax positions; the conduct of examinations; the filing of administrative refund claims or amended returns; any administrative proceedings (including but not limited to requests for rulings, technical advice memoranda, administrative
appeals and alternative dispute resolution procedures); and litigation (including the decision to litigate, the choice of forum and the overall conduct of the litigation) for the Overall Consolidated Group and any member thereof (and for any
passthrough entity in which members of the Overall Consolidated Group have a controlling interest) for consolidated Federal Income Taxes and Unitary Income Taxes for any Pre-Offering Period. With respect to any matter that could result in an
increase of $50,000 or more in the aggregate in any Overnite Separate Return Income Tax or any Income Tax allocated to Overnite Corporation (or for which Overnite 
  

 11 

 Corporation is responsible) under this Agreement, UPC shall consult with Overnite Corporation, keep Overnite Corporation
fully informed, and request Overnite Corporation’s approval for any final settlement. Overnite Corporation shall not unreasonably withhold such approval and shall respond to any such request within 30 calendar days. 
  
 (b) Overnite Corporation shall have sole responsibility and control with
respect to: the conduct of examinations; the filing of administrative refund claims or amended returns; any administrative proceedings; and litigation for Motor Cargo for all tax periods beginning before the date Motor Cargo joined the Overall
Consolidated Group. 
  
 (c) The Parties shall cause all members of
the Overall Consolidated Group, and (to the extent within their control) any passthrough entities, to cooperate fully with each other during the course of any examination, refund claim, amended return, administrative proceeding, or litigation. UPC
shall keep Overnite Corporation advised of, and shall provide within 30 Business Days to Overnite Corporation any documents relating to any examination, preparation of refund claims or amended returns, administrative proceedings and litigation to
the extent Overnite Consolidated Group Items or issues are involved. 
  
 (d) If Overnite Corporation shall determine that it is desirable for UPC, Overnite Corporation, or a member of the Overnite Consolidated Group to file a claim for refund or an amended return that in any way involves Federal Income Taxes or
Unitary Income Taxes for any Pre-Offering Period, Overnite Corporation shall prepare and submit such proposed claim to UPC, together with a reasoned analysis of the merits of the proposed claim and a statement setting forth when the statute of
limitations on filing such claim will expire, in sufficient time for UPC to act on such proposed claim. UPC shall reasonably consider and act on any such claim, provided either (i) such claim does not adversely affect UPC, or (ii) Overnite
Corporation agrees, in a manner reasonably satisfactory in form and substance to UPC, to indemnify UPC from and against any Actual Loss that UPC may sustain as a result of the filing of such claim or amended return, the conduct of proceedings
relating thereto and the allowance or disallowance (in whole or in part) thereof. 
  
 (e) To the extent Overnite Corporation’s obligations to indemnify UPC under Section 7.1(e) are involved, Overnite Corporation shall have the right to participate in any proceedings controlled by UPC related to
the Section 338(h)(10) Elections, and to review all correspondence with the Taxing Authority relating to such proceedings. 
  
 Section 5.2. Cost of Examinations, Amended Returns, Protests and Litigations. Each Party shall bear all of its own costs incurred in
connection with examinations, refund claims, amended returns, administrative proceedings and litigation. 
  
 ARTICLE VI 
  
 COOPERATION ON RECORDS 
  
 Section 6.1.
Furnishing of Information and Cooperation. 
  
 (a) The
Parties shall furnish or cause to be furnished to each other upon request, within 30 Business Days from the date of the request for such information (and in any event within a reasonable time of such request), such information and assistance as are
reasonably necessary for the filing of any return, for the preparation for or conduct of any examination, administrative proceeding or litigation relating to Taxes, and for the prosecution or defense of any claim, suit, or proceeding relating to

  

 12 

 any proposed adjustment to or refund of Tax. The Parties shall cooperate with each other in the conduct of any
examination, claim, amended return, administrative proceeding or litigation and each shall execute and deliver (or cause to be executed and delivered) such documents (including but not limited to powers of attorney, returns, elections, and consents)
as are necessary to carry out the intent of this Agreement. 
  
 (b) If, any change (including but not limited to change in applicable law or regulations or their interpretation by any court of law or other governing body having jurisdiction subsequent to the date of this Agreement) occurs that requires
additional information, the Parties shall furnish or cause to be furnished to each other such information and assistance as are reasonable necessary due to the change. 
  
 Section 6.2. Notice of Examinations, Amended Returns, Protests and Litigations. Each Party shall promptly give
notice to the other of any examination, inquiry, litigation, or proposed or actual assessment by a federal, state, local or foreign Taxing Authority covering any potential Tax liability where one Party may have a right to demand payment for such Tax
from, or be indemnified by, the other Party. 
  
 Section 6.3.
Record Retention. The UPC and Overnite Consolidated Groups shall comply with the record retention provisions of the Code, as interpreted by Treasury Regulations and relevant administrative rulings of the Internal Revenue Service. Neither
the UPC nor the Overnite Consolidated Groups shall destroy, or permit the destruction of, any records that may relate to any Tax liability of the Overall Consolidated Group without the other’s written consent. 
  
 Section 6.4. Remedies. 
  
 (a) In recognition of the fact that most records pertaining to the Overnite
Consolidate Group are in the possession of the Overnite Consolidate Group, Overnite Corporation hereby acknowledges and agrees that the failure of any member of the Overnite Consolidated Group or Overnite Unitary Group to comply with the provisions
of this Section 6 may result in substantial harm to the UPC Consolidated Group, including the inability to determine or appropriately substantiate a Tax (or a position in respect thereof) for which the UPC Consolidated Group (or a member thereof)
would be responsible under this Agreement or appropriately defend against an adjustment thereto by a Taxing Authority, and 
  
 (b) In addition to the indemnification provisions of Section 7.4, if any Party fails to provide (i) any cooperation or information requested pursuant to
Section 6.1 by the date reasonably specified by the other Party or (ii) any other information requested pursuant to this Agreement within a reasonable period, as determined in good faith by the requesting Party, then, without limiting any other
remedy available to the requesting Party for breach of the obligations under this Agreement, the requesting Party shall have the right to engage an accounting firm of its choice to gather such information. Each Party agrees to permit such accounting
firm full access to all appropriate records or other information in the possession of any member of such Party’s consolidated group or unitary group during normal business hours, and promptly to reimburse or pay directly all costs and expenses
in connection with the engagement of such accountants. 
  
 Section 6.5. Cost of Producing Records. Each Party shall bear all of its own costs reasonably incurred in connection with producing any records for the other Party under this Agreement. 
  

 13 

 ARTICLE VII 
  
 INDEMNIFICATIONS 
  
 Section 7.1. Federal Income Taxes and Unitary Income Taxes; 2001 Motor Cargo Merger Agreement; Section 338(h)(10) Elections. 
  
 (a) Except as provided to the contrary in Sections 7.1(c) and 7.1(e), the
members of the UPC Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the Overnite Consolidated Group and Overnite Unitary Group harmless from and against Federal Income Tax and Unitary Income
Taxes for any Pre-Offering Period, including the Federal Income Tax and Unitary Income Tax related to Section 338(h)(10) Elections as determined under Article III hereof, but excluding any Motor Cargo Pre-Consolidation Income Taxes. 
  
 (b) The members of the Overnite Consolidated Group and Overnite Unitary Group
shall be jointly and severally liable for and shall indemnify and hold the members of the UPC Consolidated Group harmless from and against all Taxes for any Post-Offering Period allocated to Overnite Corporation under Article III hereof and all
Motor Cargo Pre-Consolidation Income Taxes. 
  
 (c) The members of
the Overnite Consolidated Group and Overnite Unitary Group shall be jointly and severally liable for and shall indemnify and hold the members of the UPC Consolidated Group harmless from and against (i) any payment relating to Taxes required to be
made by UPC under the 2001 Motor Cargo Merger Agreement and (ii) any Actual Loss suffered by UPC, in either case if such payment or Actual Loss is caused by any action taken or failure to act, in either case before or after the Offering Date, by the
Overnite Consolidated Group or Overnite Unitary Group that is inconsistent with the treatment of the merger consummated under the 2001 Motor Cargo Merger Agreement as a reorganization within the meaning of Sections 368(a)(1)(A) and 368(a)(2)(D) of
the Code; provided, however, that, for purposes of this Section 7.1(c), neither the Acquisition, the Offering, nor any Section 338(h)(10) Election under this Agreement shall be considered an action taken by the Overnite Consolidated Group or the
Overnite Unitary Group. The members of the UPC Consolidated Group shall be jointly and severally liable for and shall indemnify and hold Overnite Corporation and its Subsidiaries (including Motor Cargo) harmless from and against any Actual Loss
suffered or other liability incurred as a result of the nonqualification of the merger consummated under the 2001 Motor Cargo Merger Agreement as a reorganization within the meaning of Section 368(a)(1)(A) and 368(a)(2)(D) of the Code for any reason
other than an action taken or failure to act, in either case before or after the Offering Date, by the Overnite Consolidated Group or Overnite Unitary Group. 
  
 (d) The members of the UPC Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the Overnite
Consolidated Group harmless from and against any Actual Loss and any Section 338(h)(10) Defense Cost suffered or incurred as a result of the invalidity or ineffectiveness (in whole or in part) of any of the Section 338(h)(10) Elections, if such
invalidity or ineffectiveness is caused by an action or failure to act by a member of the UPC Consolidated Group (and not by an action or failure to act by any member of the Overnite Consolidated Group). For purposes of this Section 7.1(d), the
retention by UPC of any of the Additional Shares shall not be considered an action or failure to act by a member of the UPC Consolidated Group. 
  
 (e) The members of the Overnite Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the UPC
Consolidated Group harmless from and against any Actual Loss and any Section 338(h)(10) Defense Cost suffered or incurred as a result of the invalidity or ineffectiveness (in whole or in part) of any of the Section 338(h)(10) Elections, if such
invalidity or ineffectiveness is caused by an action or failure to act by a member of the Overnite Consolidated Group (and not by an action or failure to act by any member of the UPC Consolidated Group). 
  

 14 

 (f) For purposes of this Article VII, the planning of the structure of the Acquisition and the Offering
shall not be considered an action (or failure to act) by either Party. 
  
 Section 7.2. Separate Return Income Taxes. 
  
 (a) The members of the Overnite Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the UPC Consolidated Group harmless from and against all Overnite Separate Return Income Taxes of the
Overnite Consolidated Group for all periods, as determined under Section 3.4 hereof.  
  
 (b) The members of the UPC Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the Overnite Consolidated Group harmless from and against all UPC Separate Return
Income Taxes for all periods, as determined under Section 3.4 hereof. 
  
 Section 7.3. Miscellaneous Taxes. 
  
 (a) The members of the Overnite Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the UPC Consolidated Group harmless from and against all Overnite Miscellaneous
Taxes for all periods, as determined under Section 3.5 hereof. 
  
 (b) The members of the UPC Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the Overnite Consolidated Group harmless from and against all UPC Miscellaneous Taxes for all periods, as
determined under Section 3.5 hereof. 
  
 Section 7.4.
Failure to Cooperate on Records. The members of the Overnite Consolidated Group shall be jointly and severally liable for and shall indemnify and hold the members of the UPC Consolidated Group harmless from and against any Actual Loss
suffered by the UPC Consolidated Group due to any failure of the Overnite Consolidated Group to comply with the requirements of Article VI of this Agreement. The members of the UPC Consolidated Group shall be jointly and severally liable for and
shall indemnify and hold the members of the Overnite Consolidated Group harmless from and against any Actual Loss suffered by the Overnite Consolidated Group due to any failure of the UPC Consolidated Group to comply with the requirements of Article
VI of this Agreement. 
  
 Section 7.5. Indemnity
Payments. Any indemnity payment made under this Article VII shall be reduced to account for Tax Benefits realized by the indemnified Party by reason of the facts and circumstances giving rise to the indemnity payment and increased to account for
Taxes incurred on the receipt of the indemnity payment, such that the indemnity payment made to the indemnified Party, when adjusted to take into account such Tax Benefits and Taxes, is equal to the amount required to be indemnified under the
relevant section of this Article VII (for example, Actual Losses plus Section 338(h)(10) Defense Costs in the case of a Section 7.1(d) or 7.1(e) indemnity). 
  

 15 

 ARTICLE VIII 
  
 DISPUTES 
  
 Section 8.1. Negotiation. UPC and Overnite Corporation shall attempt in good faith promptly to resolve any dispute arising in connection
with this Agreement. In the event of any such dispute, either Party may deliver a notice of dispute to the other Party explaining the issue in dispute and beginning the Negotiation Period. Within 90 Business Days of the receipt of such notice, the
appropriate representatives of UPC and Overnite Corporation shall meet to attempt to resolve the dispute. If, within a reasonable time thereafter, the dispute is not resolved by agreement of the Parties, or if one of the Parties fails or refuses to
negotiate the dispute, the issue shall be settled by arbitration pursuant to this Article VIII. Either Party may terminate the Negotiation Period at any time after 120 Business Days have elapsed since the beginning of the Negotiation Period by
giving notice to the other Party. Nothing in this Article VIII shall be construed to extend the time periods set forth in this Agreement during which any Party may make a payment, deliver a notice, provide information, grant or withhold approval or
consent or take any other action. 
  
 Section 8.2.
Arbitration Procedure. Either Party may initiate arbitration by giving the other Party written notice within one year following the end of the Negotiation Period. The place of arbitration shall be St. Louis, Missouri, but not at the
offices of any Party. Any time period or deadline specified in this Article VIII may be extended by mutual agreement of the Parties. 
  
 Section 8.3. Selection of Arbitrators. UPC and Overnite shall make every reasonable effort to jointly select the arbitrator. If UPC and
Overnite are unable to agree on the designated arbitrator within 20 Business Days after either Party gives notice of arbitration, then the arbitration shall be by a panel of three arbitrators. UPC and Overnite shall each appoint one arbitrator. The
two arbitrators so appointed shall appoint the third arbitrator. If either UPC or Overnite shall fail to appoint an arbitrator within such 20 Business Day period, the arbitration shall be by the sole arbitrator appointed by the other Party. Whether
jointly selected by UPC and Overnite or otherwise, each arbitrator shall be an attorney or accountant who is generally recognized in the Tax community as a qualified and competent Tax practitioner. 
  
 Section 8.4. Settlement Proposals. Each Party shall present an
overall settlement proposal to the arbitrator or arbitrators which shall encompass all issues to be resolved. The proposals from each Party shall set the outer limits of the range within which the arbitrator or arbitrators may make a determination
as to the appropriate settlement result. If such appropriate settlement result is less than $250,000 in amount, it shall be deemed to be zero, unless the arbitrator or arbitrators determine that there was not a reasonable basis for the position of
the non-prevailing Party. If such appropriate settlement result is not less than $250,000 in amount, $250,000 shall be subtracted from such appropriate settlement result by the arbitrator or arbitrators in reaching their determination of the amount
to be awarded one of the Parties, unless the arbitrator or arbitrators determine that there was not a reasonable basis for the position of the non-prevailing Party. 
  
 Section 8.5. Arbitrator’s Determination Final. The determination made by the arbitrator or arbitrators
shall be conclusive and binding upon the Parties and shall not be subject to appeal, except in the case of manifest factual or mathematical error, or fraud or bias on the part of the arbitrator or arbitrators. The arbitrator or arbitrators shall
also determine which Party shall bear the costs of the arbitration process, including counsel fees, and may allocate such costs between the Parties in any manner. 
  

 16 

 ARTICLE IX 
  
 MISCELLANEOUS 
  
 Section 9.1. Sharing of Information. Each Party shall provide the other Party with all relevant Tax accounting information and portions of
returns, elections, amended returns, claims for refund, consents, and extensions of the statute of limitations which each files on behalf of the Overall Consolidated Group (or any members thereof) for any periods which are reasonably requested. Such
information shall be provided to the other Party within 30 Business Days of the request. 
  
 Section 9.2. Confidentiality. The Parties agree that, except as otherwise expressly agreed in writing, any information furnished to the other Party pursuant to this Agreement is confidential. Except to
the extent required for the proper filing of returns or resolving a dispute, audit, or litigation, the Parties covenant not to disclose, and not to permit disclosure of, such information to persons other than their own auditors or Tax advisors. Such
auditors or Tax advisors shall be instructed to maintain a level of confidentiality with respect to the information as if the furnishing Party were their client. Notwithstanding anything herein or in the Stock Purchase and Indemnification Agreement
to the contrary, any Party (and any employee, representative, or other agent of any Party) may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of the Acquisition, the Offering, and any other
transaction contemplated by this Agreement and all materials of any kind (including opinions or other tax analyses) that are provided to it relating to such tax treatment and tax structure; provided, however, that any such information is required to
be kept confidential to the extent necessary to comply with any applicable federal and state securities laws. For purposes of this paragraph, the tax treatment of any transaction is the purported or claimed Federal Income Tax treatment of the
transaction, and the tax structure of any transaction includes any fact that may be relevant to understanding the purported or claimed Federal Income Tax treatment. 
  
 Section 9.3. Successors. This Agreement is being entered into by the Parties on behalf of themselves and each
member of the UPC Consolidated Group and the Overnite Consolidated Group, respectively. This Agreement shall bind each member of the UPC Consolidated Group and the Overnite Consolidated Group, and shall continue to bind each such member whether or
not it remains affiliated with UPC or Overnite Corporation, as the case may be, and shall be deemed to have been readopted and affirmed on behalf of any corporation which, subsequent to the date hereof, becomes a member of the UPC Consolidated Group
or the Overnite Consolidated Group. This Agreement shall be binding upon and inure to the benefit of any successor to the Parties (by merger, consolidation, liquidation, acquisition of all or substantially all of a Party’s assets, or otherwise)
to the same extent as if the successor had been an original party to this Agreement. 
  
 Section 9.4. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware, without regard to the conflict-of-laws principles thereof. 

 
 Section 9.5. Headings. The headings in this Agreement are
for convenience only and shall not be deemed for any purpose to constitute a part of or to affect the interpretation of this Agreement. 
  
 Section 9.6. Notices. Except as otherwise specifically provided in this Agreement or agreed to in writing by UPC and Overnite Corporation,
all notices, claims, requests, demands and other communications under this Agreement shall be in writing and shall be deemed to have been duly given either (i) when transmitted by fax or electronic mail, receipt of which is acknowledged by fax or
electronic mail, provided a confirming copy is simultaneously mailed (registered or certified mail, 
  

 17 

 postage prepaid, return receipt requested) or (ii) three days after being mailed (registered or certified mail, postage
prepaid, return receipt requested), addressed as follows: 
  

					
	(a)	  	If to UPC:	  	 Vice President-Tax

	 	  	 	  	 Union Pacific Corporation

	 	  	 	  	 1416 Dodge Street – Room 738

	 	  	 	  	 Omaha, NE 68179

	 	  	 	  	 Fax No: (402) 271-5972

			
	(b)	  	If to Overnite Corporation:	  	 Chief Financial Officer

	 	  	 	  	 Overnite Corporation

	 	  	 	  	 1000 Semmes Avenue

	 	  	 	  	 Richmond, VA 23224-2246

	 	  	 	  	 Fax No.: (804)-231-8500

  
 or to such other person or address as
the Party to whom the communication is to be given may have most recently furnished by notice to the other Party. 
  
 Section 9.7. Changes in Law. 
  
 (a) Any reference to a provision of the Code or a law of another jurisdiction shall include a reference to any applicable successor provision or law.

  
 (b) If, due to any change in applicable law or regulations or
their interpretation by any court of law or other governing body having jurisdiction subsequent to the date of this Agreement, performance of any provision of this Agreement or any transaction contemplated thereby shall become impracticable or
impossible, the parties hereto shall use their commercially reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such provision. 
  
 Section 9.8. Severability. If any provision of this Agreement
is held to be unenforceable for any reason, it shall be adjusted rather than voided, if possible, in order to achieve the intent of the Parties to the maximum extent practicable. In any event, all other provisions of this Agreement shall be deemed
valid, binding, and enforceable to their full extent. 
  
 Section 9.9. Effective Date. This Agreement shall become effective upon the Offering Date. 
  
 Section 9.10. Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed shall be deemed an
original but all of which shall together constitute but one and the same instrument. 
  
 Section 9.11. Entire Agreement; Termination of Prior Agreements. This Agreement constitutes the entire agreement between the Parties concerning the subject matter hereof and supersedes all prior
agreements, written or oral, between or among any members of the UPC Consolidated Group, on the one hand, and any members of the Overnite Consolidated Group, on the other hand, with respect to any Taxes (including but not limited to the 1991
Agreement). Any such prior agreements are hereby terminated and canceled to the extent not incorporated herein, and any rights or obligations existing thereunder are hereby fully and finally settled without any payment by any party thereto. This
Agreement may not be terminated or amended except by written agreement executed by the Parties. 
  

 18 

 IN WITNESS WHEREOF, each of the parties to this Agreement, intending to be legally bound, has
caused this Agreement to be executed by its duly authorized officer as of the date first above written. 
  

			
	 UNION PACIFIC CORPORATION,

		
	 by
	 	 /s/ James R. Young

	 Name:
	 	 James R. Young

	 Title:
	 	 Executive Vice President-Finance

	
	 OVERNITE CORPORATION,

		
	 by
	 	 /s/ Patrick D. Hanley

	 Name:
	 	 Patrick D. Hanley

	 Title:
	 	 Senior Vice President and Chief Financial Officer

	
	 OVERNITE HOLDING, INC.,

		
	 by
	 	 /s/ Patrick D. Hanley

	 Name:
	 	 Patrick D. Hanley

	 Title:
	 	 Vice President and Treasurer

  

 19 

 APPENDIX I 
  
 STATE/LOCAL INCOME TAX RETURNS 
  
 UNITARY JURISDICTIONS 
  
 Pursuant to Section 3.3, all Unitary Income Tax and Tax Benefit (either as determined on returns as originally filed or as adjusted upon examination,
amended return, claim for refund, ultimate settlement, or otherwise), for any Pre-Offering Period in the following jurisdictions shall be allocated to UPC: 
  

					
	 Arizona
	 	 Kansas
	 	 North Dakota

	 California
	 	 Minnesota
	 	 Oklahoma

	 Colorado
	 	 Missouri
	 	 Oregon

	 Idaho
	 	 Montana
	 	 Portland, Oregon

	 Illinois
	 	 Nebraska
	 	 Multnomah County, Oregon

	 Iowa
	 	 New Mexico
	 	 Utah

  
 SEPARATE RETURN JURISDICTIONS 
  
 Pursuant to
Section 3.4, all Overnite Separate Return Income Tax and Tax Benefit (either as determined on returns as originally filed or as adjusted upon examination, amended return, claim for refund, ultimate settlement, or otherwise), for all Tax periods in
the following jurisdictions shall be allocated to the Overnite Consolidated Group: 
  

					
	 Alabama
	 	 Warren County Schools,
	 	 Dayton, Ohio

	 Alaska
	 	           Kentucky
	 	 Sharonville, Ohio

	 Arkansas
	 	 Louisiana
	 	 Toledo, Ohio

	 Connecticut
	 	 Maine
	 	 Pennsylvania

	 Delaware
	 	 Maryland
	 	 Puerto Rico

	 Florida
	 	 Massachusetts
	 	 Guaynabo, Puerto Rico

	 Georgia
	 	 Michigan
	 	 Rhode Island

	 Hawaii
	 	 Grand Rapids, Michigan
	 	 South Carolina

	 Indiana
	 	 Mississippi
	 	 Tennessee

	 Kentucky
	 	 New Hampshire
	 	 Texas

	 Bowling Green, Kentucky
	 	 New Jersey
	 	 Vermont

	 Lexington, Kentucky
	 	 New York
	 	 Virginia

	 Board of Education -
	 	 North Carolina
	 	 West Virginia

	       Lexington, Kentucky
	 	 Ohio
	 	 Wisconsin

	 Louisville, Kentucky
	 	 Cleveland, Ohio
	 	 

  

 20Tax Allocation Agreement, dated as of November 5, 2003

 Exhibit 10.6 
  
 COMPENSATION ARRANGEMENT AGREEMENT 
  
 THIS COMPENSATION ARRANGEMENT AGREEMENT (this “Agreement”) is made this 5th day of November, 2003 (the “Effective Date”), by and between UNION PACIFIC CORPORATION, a Utah corporation
(“Union Pacific”), OVERNITE CORPORATION, a Virginia corporation (“Overnite”), and OVERNITE TRANSPORTATION COMPANY, a Virginia corporation (“OTC”). 
  
 BACKGROUND 
  
 WHEREAS, Union Pacific announced its intention to sell its entire interest in Overnite Holding, Inc. by an initial public offering of Overnite
common stock; 
  
 WHEREAS, Union Pacific and Overnite
desire to enter into this Agreement evidencing their understanding and obligations with respect to various Union Pacific employee benefit, incentive and deferred compensation plans; and 
  
 WHEREAS, Union Pacific and Overnite agree that certain special terms should apply to individuals who are employed by
Overnite or an affiliate of Overnite on the Effective Date and who participate in certain employee benefit, incentive and deferred compensation plans of Union Pacific on the Effective Date (“Employees”) 
  
 NOW THEREFORE, in consideration of the mutual agreements, provisions,
and covenants contained in this Agreement and in order to facilitate the initial public offering of the Overnite common stock, Union Pacific and Overnite, intending to be bound hereby, agree as follows: 
  
 1. Stock Options 
  
 (a) This Section 1 applies to the Union Pacific Stock Options. The term
“Union Pacific Stock Options” means an option (whether vested or nonvested) to purchase Union Pacific common stock granted under a Union Pacific stock option plan and that, on the Effective Date, is held by an Employee. 
  
 (b) Each Union Pacific Stock Option that is intended to be an incentive stock
option under Section 422 of the Internal Revenue Code of 1986, as amended (the “Code”), and that was granted before 1996 shall remain outstanding and shall continue to vest (or become exercisable) in accordance with its original terms as
if the Employee’s employment with Overnite or an affiliate after the Effective Date was employment with Union Pacific; provided, however, that such options shall expire and shall not be exercisable after the earlier of (i) the original
expiration date of such option and (ii) the date that is three months after the Effective Date. 
  
 (c) Each Union Pacific Stock Option that is intended to be an incentive stock option under Section 422 of the Code, and that was granted after 1995 shall
remain outstanding and shall continue to vest (or become exercisable) in accordance with its original terms as if the Employee’s employment with Overnite or an affiliate after the Effective Date was employment with Union Pacific; provided,
however, that such options shall expire and shall not be exercisable after the earlier of (i) the original expiration date of such option and (ii) the fifth anniversary of the Effective Date and shall by virtue of this Section 1(c) become
nonqualified options under the Code. 
  
 (d) Each Union Pacific
Stock Option that is not intended to be an incentive stock option under Section 422 of the Code, shall remain outstanding and shall continue to vest (or become 

 exercisable) in accordance with its original terms as if the Employee’s employment with Overnite or an affiliate
after the Effective Date was employment with Union Pacific; provided, however, that such options shall expire and shall not be exercisable after the earlier of (i) the original expiration date of such option and (ii) the fifth anniversary of
the Effective Date. 
  
 2. Retention Shares

  
 Each Retention Share that is outstanding on the Effective
Date and that is held by an Employee shall be vested and transferable as of the Effective Date. The term “Retention Share” means a “Retention Share” as defined in the Union Pacific 2001 Stock Incentive Plan. 
  
 3. 2001 Long-Term Plan 
  
 Awards under the Union Pacific 2001 Long-Term Plan (the “LTP”),
whether denominated as retention shares, retention stock units, cash awards or otherwise, held by Employees on the Effective Date (the “LTP Awards”) shall remain outstanding, and Union Pacific waives as of the Effective Date all employment
requirements set forth in the LTP All of the LTP Awards shall be paid in accordance with the 2001 Long-Term Plan to the extent that the applicable Union Pacific performance objectives are achieved. 
  
 4. Supplemental Executive Retirement Plan 
  
 (a) Union Pacific agrees to guarantee payment of the benefit accrued under
Overnite’s Supplemental Executive Retirement Plan (“SERP”) to each of the Employees identified on Schedule I to this Agreement (and their respective beneficiaries in accordance with the applicable terms of the SERP) in the event
Overnite fails to pay all or part of the benefit payable under the SERP to such Employee or beneficiary: provided, (i) Union Pacific’s obligation under this Section 4 with respect to any Employee shall not exceed the benefit accrued under the
SERP as of December 31, 2003 and shall be determined using the terms of the SERP as of the Effective Date and (ii) the obligation of Union Pacific to make payments under this Section 4 with respect to any Employee (or their beneficiary) will be
reduced by the amount of all payments made to such Employee (or their beneficiary) directly or indirectly by Overnite pursuant to the terms and conditions of the SERP or in satisfaction thereof. Any payment made by Union Pacific pursuant to this
Section 4 shall be made directly to the Employee or their beneficiary, as appropriate. 
  
 (b) In the event that Overnite fails or refuses to pay all or any part of a benefit or benefits to any Employee (or their beneficiary) to which they are entitled under this Section 4 after any such Employee or
beneficiary has in good faith submitted a claim to Overnite for such benefit or benefits (and such Employee has not caused the failure or refusal by Overnite to make any such payment), Union Pacific shall make such payments as are required by
Section 4(a). Union Pacific, in addition to all other rights or remedies available at law, in equity or otherwise, including, without limitation, legal subrogation, shall be subrogated to the rights of any Employee (or their beneficiary) with
respect to any payments made to any Employee (or their beneficiary) pursuant to Section 4(a) such that Union Pacific may recover directly from either or both of Overnite and OTC (or their respective successors and assigns) the aggregate amount of
any such payments. 
  
 5. Supplemental 401(k) Plan

  
 (a) Union Pacific agrees to guarantee the payment of
benefits accrued under Overnite’s Supplemental 401(k) Plan (the “Supplemental Thrift Plan”) to each of the Employees identified on Schedule II to this Agreement (and their beneficiaries in accordance with the applicable provisions of
the 
  

 2 

 Supplemental Thrift Plan) in the event that Overnite fails to pay all or part of the benefit payable under such plan to
such Employee or beneficiary; provided, however, that (a) Union Pacific’s obligation under this Section 5 with respect to any individual shall not exceed the benefit that the Employee accrued under the Supplemental Thrift Plan as of the
Effective Date, as adjusted for net losses and (b) the obligation of Union Pacific to make payments under this Section 5 with respect to any Employee (or their beneficiary) will be reduced by the amount of all payments made to such Employee (or
their beneficiary) directly or indirectly by Overnite pursuant to the terms and conditions of the Supplemental Thrift Plan or in satisfaction thereof. Any payment made by Union Pacific pursuant to this Section 5, including, without limitation,
payments for in-service withdrawals or installment distributions, shall be made directly to the Employee or their beneficiary, as appropriate. 
  
 (b) In the event that Overnite fails or refuses to pay all or any part of a benefit or benefits to any Employee (or their beneficiary) to which they are
entitled under this Section 5 after any such Employee or beneficiary has in good faith submitted a claim to Overnite for such benefit or benefits (and such Employee has not caused the failure or refusal by Overnite to make any such payment), Union
Pacific shall make such payments as are required by Section 5(a). Union Pacific, in addition to all other remedies available at law, in equity or otherwise, including, without limitation, legal subrogation, shall be subrogated to the rights of any
Employee (or their beneficiary) with respect to any payments made to any Employee (or their beneficiary) pursuant to Section 5(a) such that Union Pacific may recover directly from either or both of Overnite or OTC (or their respective successors and
assigns) the aggregate amount of any such payments. 
  
 6.
Other Deferred Compensation Plans 
  
 Union Pacific
agrees that an Employee’s employment with Overnite or an affiliate will be deemed continued employment under the plans for purposes of vesting and determining the date on which distributions will commence under the nonqualified deferred
compensation plans maintained by Union Pacific; provided, however, that an Employee shall not accrue any additional benefits (except for gains or losses attributable to investments) under such plans on account of employment with Overnite or
an affiliate after the Effective Date. Union Pacific agrees that it remains liable for the payment of benefits to Employees under such nonqualified deferred compensation plans; provided, however, that the obligation of Union Pacific under
this Section 6 with respect to any individual covered under this Section 6 shall be adjusted to reflect any subsequent gains or losses attributable to investments. Notwithstanding the foregoing, Union Pacific waives as of the Effective Date all
employment requirements set forth in the plans. 
  
 7.
Cooperation 
  
 Union Pacific and Overnite agree to
cooperate and exchange such information as either party shall reasonably require in the administration of their respective employee benefit plans. 
  
 8. Third Party Beneficiaries 
  
 Union Pacific and Overnite are entering into this Agreement in order to, inter alia, provide certain assurances to Employees with respect to their
rights under various employee benefit, incentive and deferred compensation plans maintained by Union Pacific. Accordingly, each Employee is a third party beneficiary of this Agreement and each Employee has the right to enforce the terms of this
Agreement as it pertains to such Employee. 
  

 3 

 9. Implementation 
  
 Union Pacific and Overnite agree to take such actions as may be necessary or desirable to implement the provisions of this
Agreement, including the amendment of the applicable Union Pacific employee benefit, incentive and deferred compensation programs or awards thereunder. Union Pacific and Overnite also agree to communicate the applicable terms of this Agreement and
any such amendments to Employees. 
  
 10. Governing Law

  
 This Agreement shall be governed by, and interpreted in
accordance with, the laws of the Commonwealth of Virginia other than its choice of law provisions to the extent that they would require the application of the laws of a State other than the Commonwealth of Virginia. 
  
 11. Successors and Assigns 
  
 This Agreement shall be binding upon the successors and assigns of Union
Pacific and Overnite; provided, however, that neither party may assign its obligations or duties under this Agreement without the prior written consent of the other party. 
  
 12. Amendments 
  
 The terms of this Agreement may be altered or amended only by a written instrument executed on behalf of Union Pacific and Overnite. 
  
 13. Counterparts 
  
 This Agreement may be executed in two counterparts, each of which shall be
deemed an original, but such counterparts shall together constitute but one and the same Agreement. 
  

 4 

 IN WITNESS WHEREOF, Union Pacific and Overnite have caused this Compensation Arrangement Agreement to be
duly executed as of the date first set forth above. 
  

			
	 UNION PACIFIC CORPORATION,

		
	 by
	 	 /s/ Carl W. von Bernuth

	 Name:
	 	 Carl W. von Bernuth

	 Title:
	 	 Senior Vice President, Secretary and General Counsel

	
	 OVERNITE CORPORATION,

		
	 by
	 	 /s/ Patrick D. Hanley

	 Name:
	 	 Patrick D. Hanley

	 Title:
	 	 Senior Vice President and Chief Financial Officer

	
	 OVERNITE TRANSPORTATION COMPANY,

		
	 by
	 	 /s/ Patrick D. Hanley

	 Name:
	 	 Patrick D. Hanley

	 Title:
	 	 Senior Vice President and Chief Financial Officer

  

 5

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