Document:

EX-10.1

 Exhibit 10.1 

PAR PACIFIC HOLDINGS, INC. 

$52,500,000 Convertible Subordinated Bridge Notes 

COMMITMENT FOR BRIDGE NOTES 
  

	 Issuer/Company 
	Par Pacific Holdings, Inc., a Delaware corporation (“PPH”). 

  

	 Guarantors 
	None. 

  

	 Notes 
	$52,500,000 principal amount of 2.50% Convertible Subordinated Bridge Notes due 90 days following issuance (the “Bridge Notes”); provided, however, that the amount of the Bridge Notes shall be reduced on a dollar
for dollar basis in the amount of any net proceeds received by PPH from the Rights Offering (as hereinafter defined) in the event that the Rights Offering is consummated prior to the Acquisition (as hereinafter defined). 

 

	 Maturity 
	90 days following issuance, unless earlier prepaid or converted; provided, however, that in the event that the Rights Offering (as hereinafter defined) has not been consummated on the maturity date, then PPH may elect to extend the
maturity for a period of an additional 30 days (the “Extension Period”) in order to facilitate the closing of the Rights Offering in consideration for the payment of 0.25% of the aggregate principal amount of the outstanding
Bridge Notes (the “Extension Fee”). 

  

	 Interest 
	2.50% per year (calculated on a 360-day basis). Interest will accrue from the issue date and will be due and payable at maturity. 

  

	 Principal 
	Principal due at maturity, unless earlier prepaid or converted. 

  

	 Conversion 
	The Bridge Notes shall be convertible into shares of PPH common stock, par value $0.01 per share (“Common Stock”) at the Subscription Price (as hereinafter defined). 

 

	 Commitment of Bridge Lenders for Bridge Notes 
	Each of EGI Investors, L.L.C. and Highbridge International LLC, and Highbridge Tactical Credit & Convertibles Master Fund, L.P., severally and not jointly agrees to purchase the Bridge Notes in the respective amounts set forth opposite their
name on Schedule A hereto for the amounts set forth on Schedule A. 

  

	 Use of Proceeds 
	To finance the purchase of all of the equity interests of Hermes Consolidated, LLC, a Delaware limited liability company (d/b/a Wyoming Refining Company) (the “Acquisition”). 

 

	 Mandatory Conversion 
	The Bridge Notes shall be mandatorily convertible into Common Stock, upon the earlier of (i) closing of the Rights Offering (as hereinafter defined) or (ii) maturity of the Bridge Notes. In the event that the Rights Offering closes prior to the
issuance of the Bridge Notes, then the amount of the Bridge Notes issued will be reduced by the amount of the net proceeds of the Rights Offering and any remaining Bridge Notes will be automatically converted into shares of Common Stock at the
Subscription Price. 

  

	 	The conversion rate for the Bridge Notes shall initially be equal to the Subscription Price (as hereinafter defined) for the Rights (as hereinafter defined), subject to customary adjustments, including, without
limitation, any stock dividends or stock splits. 

	 	Upon conversion, PPH shall deliver shares of Common Stock to the Bridge Lenders. 

  

	 Rights Offering 
	The issuance of the Bridge Notes is intended to provide PPH with immediate liquidity pending the commencement and closing of a pro rata registered rights offering (the “Rights Offering”) of rights (the
“Rights”) to purchase an aggregate of approximately $50.00 million of newly-issued shares of Common Stock. The exercise price for the Common Stock in the Rights Offering shall be determined by the PPH board of directors;
provided, however, that such exercise price will be (i) not greater than $15.00 per whole share and (ii) at a discount to the market price of the Common Stock at the close of trading on the date such exercise price is determined (the
“Subscription Price”); and the total number of shares of Common Stock to be offered will be approximately 3.33 million, subject to adjustment based upon the Subscription Price. 

 

	 	The Rights shall be issued to each stockholder (including, without limitation, to the Bridge Lenders) on a pro rata basis (the “Basic Subscription Right”) at a rate per outstanding share of
Common Stock to be determined by the PPH board of directors. The Rights shall be transferable, provided that such transfer is not restricted by the Transfer Restrictions. Any Rights holder that fully exercises such holder’s Basic Subscription
Right shall also be entitled, but shall not be obliged, to subscribe for any shares of Common Stock offered in the Rights Offering and not purchased by other stockholders, subject to proration (in proportion to the number of shares of Common Stock
held by a stockholder including the number of shares of Common Stock a stockholder has subscribed for pursuant to the Basic Subscription Right) if the oversubscribed shares exceed the number of shares of Common Stock available (the
“Oversubscription Right”). Exercise of the Basic Subscription Right and the Oversubscription Right shall be subject, in each instance, to the restrictions contained in Article 11 of PPH’s Restated Certificate of
Incorporation (the “PPH Charter”) and such other transfer restrictions and/or stock certificate escrow protection mechanisms as may be imposed by PPH to ensure compliance with Article 11 of the PPH Charter (the
“Transfer Restrictions”). 

  

	 Rights Offering Proceeds 
	PPH covenants and agrees that all net proceeds from the Rights Offering shall be used to reduce the amount of Bridge Notes to be issued if consummated prior to the issuance of the Bridge Notes, or to prepay or pay, as the case may be, the Bridge
Notes following issuance. For the avoidance of doubt, any unpaid amounts on the Bridge Notes (including accrued but unpaid interest) after payment of all net proceeds from the Rights Offering shall be satisfied through the conversion of the Bridge
Notes into Common Stock at the Subscription Price. 

  

	 Registration of Rights and Registration of Rights for Resale 
	 Within three business days following the execution of this Commitment for Bridge Notes (this “Commitment”), PPH shall file a
registration statement or prospectus supplement, as the case may be, to register the issuance of the Rights and the resale of all Rights issued to affiliates of PPH to enable such affiliates to freely transfer and sell such Rights upon issuance and
prior to the exercise of such Rights (the “Rights Offering 

  
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and Resale Registration”). PPH shall use its commercially reasonable best efforts to have the Rights Offering and Resale Registration declared effective as promptly as
practicable after filing thereof and shall not withdraw such Rights Offering and Resale Registration without the consent of the Bridge Lenders. 

  

	 Transfer Restrictions 
	Issuance of any Common Stock upon conversion of the Bridge Notes shall be subject in each instance, to the Transfer Restrictions contained in Article 11 of the PPH Charter and such other transfer restrictions and/or stock certificate escrow
protection mechanisms as may be imposed by PPH to ensure compliance with Article 11 of the PPH Charter. Further, each of the Bridge Lenders agrees that it will not sell, pledge or otherwise transfer any shares of Common Stock prior to the closing of
the Rights Offering. 

  

	 Board Approval 
	The PPH Board of Directors shall have authorized and approved the (i) issuance of the Bridge Notes and the conversion of the Bridge Notes into Common Stock, (ii) acquisition, exercise and/or Transfer of Rights, and (iii) acquisition of shares of
Common Stock upon the exercise of Rights by any Bridge Lender or any of its affiliates or associates; and shall not require any Bridge Lender or any of its affiliates or associates to provide an opinion of counsel that the Transfer will not result
in the application of any section 382 limitation on the use of the Tax Benefits (as defined in the PPH Charter) as a condition or term of such granting such approval. For the avoidance of doubt, the parties hereto acknowledge the continued
availability without modification or adjustment of the prior approvals of the Board of Directors of PPH, having authorized and approved on a prospective basis, Transfers pursuant to the Allocation Agreement, after issuance of the Bridge Notes and/or
the consummation of the Rights Offering. 

  

	 Registration Rights for Common Stock Issued upon Conversion of Bridge Notes 
	PPH and the Bridge Lenders shall enter into a registration rights agreement (the “Registration Rights Agreement”) providing the Bridge Lenders with demand and piggyback registration rights (subject to the priorities of
stockholders under registration rights agreements with the Company in existence as of the date hereof) with respect to all shares of Common Stock issued to the Bridge Lenders and its assigns pursuant to this Commitment and the Bridge Notes issued in
connection herewith (“Registrable Securities”). In addition, as soon as reasonably practicable, PPH shall file a Form S-3 resale shelf registration statement (“Resale Shelf S-3”) to register for resale
the Registrable Securities, but in any event no later than 60 calendar days after the closing of the Rights Offering. 

  

	 	 PPH shall use its commercially reasonable efforts to (i) have the Resale Shelf S-3 declared effective as promptly as
practicable after filing thereof, but in no event later than (a) 60 days after the closing of the Rights Offering, or (b) if earlier, 5 business days after the date on which the SEC informs PPH (I) that the SEC will not review the Resale Shelf S-3
or (II) that PPH may request the acceleration of the effectiveness of the Resale Shelf S-3 and PPH makes such request and (ii) cause the Resale Shelf S-3 to continue to be effective until the earlier to occur of the following (a) the Bridge Lenders
have sold all of the Registrable Securities, (b) all of the Registrable Securities covered by such Resale Shelf S-3 may be sold by the Bridge Lenders without volume restrictions pursuant to Rule 144 of the Securities Act or (c) the third

  
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anniversary of the effectiveness of the Resale Shelf S-3 (the “Effectiveness Period”). As to any particular Registrable Securities, such securities shall cease to be
Registrable Securities when (i) the SEC has declared a registration statement covering such securities effective and such securities have been disposed of pursuant to such effective registration statement, (ii) such securities are sold under
circumstances in which all of the applicable conditions of Rule 144 under the Securities Act are met, (iii) such securities become eligible for sale pursuant to Rule 144 without (x) notice or current information requirements, (y) manner of sale
restrictions, or (z) volume restrictions, or (iv) such securities have ceased to be outstanding. 

  

	 	If the Resale Shelf S-3 (i) is not filed, (ii) is not declared effective, or (iii) does not remain effective, by or for the respective dates set forth above, then, from such date, for each day that PPH is not in
compliance with its obligations under the registration rights agreement, PPH shall pay to the Bridge Lenders with respect to such failure, as liquidated damages and not as a penalty, an amount in cash equal to 1.00% of the amount of each Bridge
Lenders’ (and its assigns, if any) purchase of Common Stock pursuant to this Commitment (collectively, the “Bridge Lenders Purchase Proceeds”) per calendar month or portion thereof that noncompliance persists up to a
maximum amount of 5.00% of the Bridge Lenders Purchase Proceeds. 

  

	 Note Purchase Agreement 
	The purchase of the Bridge Notes under this Commitment will be made pursuant to a Note Purchase Agreement (the “Purchase Agreement”) and Registration Rights Agreement to be drafted by counsel for the Bridge Lenders and
customary for such transactions. The Purchase Agreement shall contain, among other things, customary representations and warranties, customary covenants and conditions to Closing. 

 

	 Amount Payable to Bridge Lenders 
	In consideration of the Bridge Lender’s Commitment hereunder: 

  

	 	(a) Upon PPH and the Bridge Lenders signing this Commitment (such date being referred to as the “Execution Date”), each of the Bridge Lenders shall earn the following commitment fees (the
“Commitment Fees”) equal to 5.0% of its respective Commitment to purchase the Bridge Notes through August 1, 2016 whether or not such Bridge Notes are issued. In the event that the Bridge Notes are issued, then the Commitment
Fees shall be payable in the form of reduced proceeds to PPH upon issuance of the Bridge Notes. 

  

	 	(b) In the event that (i) the Bridge Notes have been issued, (ii) the Rights Offering has not been consummated upon the maturity of the Bridge Notes and (iii) PPH has elected to extend the maturity of the Bridge Notes
for the Extension Period in consideration for the payment the Extension Fee, then such Extension fee shall be payable in cash upon exercise of such Extension Period. 

 

	 	(c) In the event that the Bridge Notes are not issued, then the Commitment Fees shall be payable in cash within five business days following the August 1, 2016 expiration of this Commitment. 

 

	 Conditions to the Obligations of the Bridge Lenders 
	The obligations of the Bridge Lenders described herein shall be subject to the following conditions (which may be waived by each of the Bridge Lenders in its sole and absolute discretion); 

  
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	 	(i) PPH files the Rights Offering and Resale Registration with the Securities and Exchange Commission no later than June 17, 2016 and the Rights Offering and Resale Registration shall not have been withdrawn;

  

	 	(ii) The representations and warranties of PPH set forth on Exhibit A hereto being true and correct in all material respects as of the date hereof and as of the date of the issuance of the Bridge Notes;

  

	 	(iii) All conditions to the consummation of the Acquisition have been satisfied or waived and the net proceeds of the Bridge Notes are used to pay a portion of the purchase price for the Acquisition; 

 

	 	(iv) The parties have entered into the Purchase Agreement for the issuance of the Bridge Notes, the Registration Rights Agreement and such other financing documentation as reasonably requested by the Bridge Lenders; and

  

	 	(v) The parties hereto acknowledge the prior approvals of the Board of Directors of PPH having authorized and approved on a prospective basis, in accordance with Section 11.3 of the PPH Charter, one or more Transfers
(as defined in the PPH Charter) of shares of Common Stock by the Bridge Lenders pursuant to that certain Allocation Agreement among Remaining Emergence 5% Shareholders, dated as of November 10, 2014 (the “Allocation
Agreement”), after the consummation of the Rights Offering. 

	 	

  

	 Fundamental Change 
	The conversion rate shall be equitably adjusted in the event of a “Fundamental Change.” For purposes of this Commitment “Fundamental Change” means: 

 

	 	(i) a “person” or “group” within the meaning of Section 13(d) of the Securities Exchange Act of 1934 (the “Exchange Act”), other than PPH, its wholly-owned subsidiaries and the employee benefit plans
of PPH and its subsidiaries, has become the direct or indirect “beneficial owner,” as defined in Rule 13d-3 under the Exchange Act, of PPH common equity representing more than 50% of the voting power of the PPH common equity; and

  

	 	(ii) the consummation of (A) any recapitalization, reclassification or change of the Common Stock (other than changes resulting from a subdivision or combination) as a result of which the Common Stock would be converted into, or exchanged for,
stock, other securities, other property or assets; (B) any share exchange, consolidation or merger of us pursuant to which the Common Stock will be converted into cash, securities or other property or assets; or (C) any sale, lease or other transfer
in one transaction or a series of transactions of all or substantially all of the consolidated assets of us and our subsidiaries, taken as a whole, to any person other than a wholly-owned subsidiary of PPH; provided, however, that a
transaction described in clause (B) in which the owners of all classes of the PPH common equity immediately prior to such transaction own, directly or indirectly, more than 50% of all classes of common equity of the continuing or surviving
corporation or transferee or the parent thereof immediately after such transaction in 

  
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substantially the same proportions as such ownership immediately prior to such transaction shall not be a fundamental change pursuant to this clause (ii). 

 

	 Ranking - Unsecured 
	The Bridge Notes will be senior unsecured obligations of PPH and will rank: 

  

	 	(i) subordinated in right of payment to any of PPH’s secured indebtedness; and 

  

	 	(ii) senior in right of payment to any indebtedness of PPH that is expressly subordinated in right of payment to the Bridge Notes; 

  

	 	(iii) equal in right of payment to any of PPH’s unsecured indebtedness that is not so subordinated; and 

  

	 	(iv) structurally junior to all indebtedness and other liabilites of any PPH subsidiaries. 

	 	

  

	 Representations and Warranties 
	PPH makes the representations and warranties set forth on Exhibit A attached hereto to each of the Bridge Lenders and each of the Bridge Lenders, severally and not jointly, make the representations and warranties set forth on
Exhibit B attached hereto to PPH. The Purchase Agreement shall contain customary representations and warranties associated with the issuance of the Bridge Notes. 

 

	 Affirmative/Negative Covenants  
	Affirmative covenants to include use of proceeds; payment of taxes and other obligations; continuation of business and maintenance of existence and rights and privileges; necessary consents, approvals, licenses and permits; compliance
with laws and regulations; maintenance of books and records; financial reporting (including annual audited and quarterly unaudited financial statements); continued listing of the Common Stock on any of the NYSE MKT, The New York Stock Exchange, The
NASDAQ Global Select Market or The NASDAQ Global Market (or any of their respective successors). 

  

	 	The Purchase Agreement will not restrict: (i) the amount of debt that PPH or any of its subsidiaries may incur, (ii) any liens or encumbrances on PPH’s properties or any of PPH’s subsidiaries’ properties, and (iii) any dividends
or restricted payments declared or made in cash or stock to PPH’s stockholders. 

  

	 Financial Covenants 
	None. 

  

	 Events of Default 
	Each of the following is an event of default with respect to the Bridge Notes: 

  

	 	(i) default in the payment of principal of any Bridge Note when due and payable at its stated maturity, upon any required repayment, or upon declaration of acceleration or otherwise; 

 

	 	(ii) failure to comply with the obligation to convert the Bridge Notes in accordance with the Purchase Agreement; 

  

	 	(iii) failure to give notice of a Fundamental Change when required; 

  
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	 	(iv) default by PPH or any of its subsidiaries with respect to any mortgage, agreement or other instrument under which there may be outstanding, or by which there may be secured or evidenced, any indebtedness for money
borrowed in excess of $20,000,000 (or its foreign currency equivalent) in the aggregate of us and/or any such subsidiary beyond any applicable grace period, whether such indebtedness now exists or shall hereafter be created (x) resulting in such
indebtedness becoming or being declared due and payable or (y) constituting a failure to pay the principal or interest of any such debt when due and payable at its stated maturity, upon required repurchase, upon declaration of acceleration or
otherwise; 

  

	 	(v) certain events of bankruptcy, insolvency, or reorganization of PPH or any of its significant subsidiaries, as defined in Article 1, Rule 1-02 of Regulation S-X; or 

 

	 	(vi) a final judgment or judgments for the payment of $20,000,000 (or its foreign currency equivalent) or more (excluding any amounts covered by insurance) in the aggregate rendered against PPH or any of its
subsidiaries, which judgment is not discharged, stayed or bonded within 60 days after (x) the date on which the right to appeal thereof has expired if no such appeal has commenced, or (y) the date on which all rights to appeal have been
extinguished. 

  

	 Amendments and Waivers 
	Amendments and waivers of the provisions of the Purchase Agreement or related financing documentation will require the approval of the Bridge Lenders. 

  

	 Indemnification 
	PPH will indemnify the purchasers and their respective affiliates, partners, directors, officers, agents and advisors and hold them harmless from and against all liabilities, damages, claims, costs, expenses (including reasonable fees,
disbursements, settlement costs and other charges of counsel) (collectively, “Losses”) relating to the Bridge Notes and PPH’s use of proceeds of the Bridge Notes and the Rights Offering. 

 

	 	Each of the Bridge Lenders agrees to severally, and not jointly, indemnify and hold PPH, its affiliates, any of its or their affiliates, and any of its or their respective officers, directors, employees, agents,
representatives, successors, members, stockholders, partners, lenders and capital sources (each, a “PPH Indemnitee”) harmless from and against any and all Losses to which any PPH Indemnitee may become subject insofar as such
Losses arise out of or are based upon (i) any inaccuracy in, breach of or failure to comply with, any representation, warranty, or covenant made by such Bridge Lenders in this Commitment or (ii) information furnished in writing to PPH by each Bridge
Lender, respectively, expressly for use in the preliminary prospectus, registration statement or the prospectus relating to the Rights Offering and Resale Registration or any amendment or supplement thereto. 

 

	 Expense Reimbursement 
	PPH shall reimburse the Bridge Lenders, whether or not the Bridge Notes are issued or the Rights Offering is consummated, for all of the costs and expenses incurred by the Bridge Lenders in connection herewith, including the reasonable fees and
disbursements of legal counsel to Bridge Lenders. 

  
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	 Binding Commitment 
	This Commitment made by the Bridge Lenders represents the binding commitment by, on the one hand, PPH and, on the other hand, the Bridge Lenders, with respect to the subject matter hereof. Each party executing this Commitment intends to be
legally bound hereby. 

  

	 Waiver of Jury Trial and Punitive and Consequential Damages 
	All parties to the financing documentation waive the right to trial by jury and the right to claim punitive or consequential damages. 

  

	 Governing Law 
	New York 

  

	 Absence of a Public Market for the Bridge Notes 
	PPH does not intend to apply for a listing of the Bridge Notes on any securities exchange or any automated dealer quotation system. 

  

	 Public Announcement 
	PPH and the Bridge Lenders shall agree (such consent not to be reasonably withheld) as to the content and timing of any press release or other document disclosing the existence of the Bridge Notes, Rights Offering, the Commitment, and any
related transactions, provided that any such press release is initially prepared by, and finally approved by, legal counsel to PPH prior to public release. 

  

	 Closing Date 
	Subject to the terms and conditions set forth in this Commitment and the Purchase Agreement, simultaneous with the closing of the Acquisition, but in any event on or before August 1, 2016, unless extended for the Extension Period.

  

	 Miscellaneous 
	This Commitment is made solely for the benefit of the Bridge Lenders, the affiliates of the Bridge Lenders, and PPH and its affiliates, and no other person, partnership, association or corporation shall acquire or have any right under or by
virtue of this Commitment. 

  

	 	PPH may not assign any of its rights (nor delegate any of its obligations) under this Commitment without the prior written consent of the Bridge Lenders. 

 

	 	In case any one or more of the provisions contained in this Commitment, or the application thereof in any circumstance, is held invalid, illegal or unenforceable in any respect under the laws of any jurisdiction, the
validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall not be in any way affected or impaired thereby or under the laws of any other jurisdiction. 

 

	 	The parties hereto agree that irreparable damage would occur in the event that any of the provisions of this Commitment were not performed in accordance with their specific terms or were otherwise breached. It is
accordingly agreed that the parties shall be entitled to an injunction or injunctions to prevent breaches of the provisions of this Commitment and to enforce specifically the terms and provisions hereof. 

 

	 	This Commitment may not be amended, modified or changed, in whole or in part, except by an instrument in writing signed by PPH and the Bridge Lenders. 

 

	 	 This Commitment may be executed in counterparts, each of which shall

  
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be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Commitment delivered by facsimile, e-mail or other means of electronic
transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Commitment. 

  

	 	[SIGNATURE PAGES FOLLOW] 

  
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	Agreed and Acknowledged this 14th day of June, 2016.
	PAR PACIFIC HOLDINGS, INC.
		
	By:	 	/s/ James Matthew Vaughn
	Its:	 	Sr. Vice President and General Counsel

  
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	BRIDGE LENDERS:
	
	EGI INVESTORS, L.L.C.
		
	By:	 	 /s/ Philip Tinkler

	Its:	 	

  
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	HIGHBRIDGE INTERNATIONAL LLC
		
	By:	 	Highbridge Capital Management, LLC, its trading manager
		
	By:	 	 /s/ Jonathan Segal

	Name:	 	Jonathan Segal
	Title:	 	Managing Director
	
	HIGHBRIDGE TACTICAL CREDIT & CONVERTIBLES MASTER FUND, L.P.
		
	By:	 	Highbridge Capital Management, LLC, its trading manager
		
	By:	 	 /s/ Jonathan Segal

	Name:	 	Jonathan Segal
	Title:	 	Managing Director

  
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 SCHEDULE A 

Schedule of Bridge Lenders 
  

											
	 Name of Bridge Lender
	  	 Entity Type and

State of

Organization
	  	Principal Amount
Purchased	 	  	Proceeds Payable	 
	 EGI Investors L.L.C.
	  	Delaware Limited Liability Corporation	  	$	36,750,000	  	  	$	34,912,500	  
	 Highbridge International LLC,
	  		  				  			
	 Highbridge Tactical Credit & Convertibles Master Fund, L.P
	  		  				  			
		  		  	$	15,750,000	  	  	$	14,962,500	  

  
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 Exhibit A 

PPH Representations and Warranties 

PPH represents and warrants to the Bridge Lenders, as of the date hereof, as follows: 

1. PPH has all necessary corporate power and authority to execute and deliver this Commitment, and perform its obligations hereunder. The
issuance of the Bridge Notes and the Rights Offering have each been duly and validly authorized by PPH, and all determination and consent necessary for this issuance of Common Stock in connection therewith required under Article 11 of the Restated
Certificate of Incorporation of PPH have been obtained. This Commitment is the valid and binding obligation of PPH and is enforceable against PPH by the Bridge Lenders in accordance with its terms, except as enforceability may be limited by
bankruptcy, insolvency, reorganization, moratorium and other similar laws relating to or affecting creditors’ rights generally or by general equitable principles (regardless of whether such enforceability is considered in a proceeding in equity
or at law) and except as rights to indemnity may be limited by federal or state law or principles of public policy. 
 2. The Rights and the
shares of Common Stock issuable upon conversion of the Bridge Notes and upon exercise of the Rights have been duly authorized by PPH. The Common Stock, when issued and delivered by PPH against payment therefor as provided for in the Bridge Notes and
the Rights Offering, will be validly issued, fully paid and nonassessable. No vote of the holders of any class or series of capital stock or other securities of PPH or any subsidiary of PPH is required to approve or effect this Commitment or any
transaction contemplated hereby, including, without limitation, under applicable law, applicable stock exchange rules or regulations, the Restated Certificate of Incorporation of PPH (including, without limitation, Article 11 thereof) or by-laws of
PPH or any subsidiary of PPH, or any agreement of any kind applicable to PPH, any subsidiary of PPH, or their assets. 
 3. The execution,
delivery and performance of this Commitment and the issuance of the Bridge Notes will not (i) conflict with, result in the creation or imposition of any lien, charge or encumbrance upon any of the assets of PPH or any of its subsidiary pursuant
to the terms of, or constitute a default under, any material agreement, indenture or instrument to which PPH or any of its subsidiaries is a party, or (ii) result in a violation of the Restated Certificate of Incorporation or By-laws of PPH or
any of its subsidiaries or any order, rule or regulation of any court of governmental agency having jurisdiction over PPH or any of its subsidiaries or any of their respective properties. Except as required by the Securities Act of 1933, as amended,
and the rules and regulations promulgated thereunder, the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, and applicable state securities law, or other applicable law, no consent, authorization or
order of, or filing or registration with, any court of governmental agency is required for the execution, delivery and performance of this Commitment and the Bridge Notes. 

4. The offer and sale of the Bridge Notes and the issuance of shares of Common Stock upon conversion of the Bridge Notes to each of the Bridge
Lenders shall be exempt from the registration requirements of the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder, and applicable state securities laws. 

  
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 Exhibit B 

Representation and Warranties of the Bridge Lenders 

Each Bridge Lender hereby severally and not jointly represents and warrants to PPH, as of the date hereof, as follows: 

1. Bridge Lender has all necessary corporate power and authority to execute and deliver this Commitment, and perform its obligations hereunder
up to the amount set forth opposite Bridge Lender’s name in Schedule A to this Commitment. The execution, delivery and performance by Bridge Lender of this Commitment and the transactions contemplated hereby up to the amount set forth
opposite Bridge Lender’s name on Schedule A hereto have been duly and validly authorized and approved, and no other corporate proceedings on the part of Bridge Lender are necessary to authorize such execution, delivery and performance by
Bridge Lender of the Commitment up to the amount set forth opposite Bridge Lender’s name in Schedule A hereto. This Commitment is the valid and binding obligation of Bridge Lender and is enforceable against Bridge Lender by PPH up to the
amount set forth opposite Bridge Lender’s name in Schedule A hereto in accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws relating to or
affecting creditors’ rights generally or by general equitable principles (regardless of whether such enforceability is considered in a proceeding in equity or at law) and except as rights to indemnity may be limited by federal or state law or
principles of public. 
 2. The execution, delivery and performance of this Commitment up to the amount set forth opposite Bridge
Lender’s name in Schedule A hereto will not (i) conflict with, result in the creation or imposition of any lien, charge or encumbrance upon any of its assets or any of its subsidiaries pursuant to the terms of, or constitute a
default under, any material agreement, indenture or instrument to which it or any of its subsidiaries is a party, or (ii) result in a violation of its Limited Partnership Agreement or Operating Agreement or similar document or any order, rule
or regulation of any court or governmental agency having jurisdiction over it. Except as required by the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder, the Securities Exchange Act of 1934, as amended, and
the rules and regulations promulgated thereunder, and applicable state securities law, no consent, authorization or order of, or filing or registration with, any court or governmental agency is required for the execution, delivery and performance of
this Commitment. 
 3. Bridge Lender (i) is an “accredited investor” as defined in Rule 501(a)(1), (2), (3), (5), (6),
(7) and/or (8) of Regulation D under the Securities Act of 1933, as amended; (ii) has such knowledge, sophistication and experience in business and financial matters so as to be capable of evaluating the merits and risks of this
Commitment, and has so evaluated the merits and risks of this Commitment; (iii) been given access to and an opportunity to examine such documents, materials and information concerning PPH as the Bridge Lender deems to be necessary or advisable
in order to reach an informed decision as to an investment in PPH, to the extent that PPH possesses such information, has carefully reviewed and understands these materials and has had answered to the Bridge Lender’s full satisfaction any and
all questions regarding such information; (iv) made such independent investigation of PPH, its management, and related matters as the Bridge Lender deems to be necessary or advisable in connection with

  
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this Commitment, and is able to bear the economic and financial risk of this Commitment; (v) has not been offered the shares of PPH common stock contemplated by this Commitment by any means
of general solicitation or general advertising; and (vi) was solicited or became aware of this investment either through (1) a substantive, pre-existing relationship with PPH, (2) direct contact with PPH or its agents outside of any
public offering effort, and/or (3) through contacts by PPH not identified through any public offering. 

  
 16EX-10.2

 Exhibit 10.2 

June 14, 2016 
 Par Pacific Holdings, Inc. 

One Memorial Plaza 
 800 Gessner Road, Suite 875 

Houston, Texas 77024 

			
	Attention:	 	Chris Micklas
		 	Chief Financial Officer

 Re: $100 Million Back Up Convertible Note Commitment 

Ladies and Gentlemen: 
 Par Pacific Holdings,
Inc. (“Par”) has informed us that it intends to market and sell at least $100 million of senior unsecured convertible notes to be issued by Par (the “Offering”). To provide assurance to Par that it will be able to raise at
least $100 million of financing, whether or not the Offering is successful, the undersigned (collectively, the “Back Up Convertible Note Purchasers”) hereby commit, severally and not jointly, to acquire 5.0% senior unsecured
convertible notes due 2021 substantially on the terms and subject to the conditions set forth on the term sheet attached hereto at Schedule 1 (“Back Up 2021 Convertible Note Term Sheet”) (such convertible notes, the “Back Up
2021 Convertible Notes”), in accordance with each undersigned’s commitment set forth opposite each such undersigned’s name on Schedule 2 attached hereto (each such commitment, the “Back Up Convertible Note
Commitment” and collectively, the “Back Up Convertible Note Commitments”). The Back Up Convertible Note Commitment shall expire on July 1, 2016. 

The obligation of the Back Up Convertible Note Purchasers to acquire the Back Up 2021 Convertible Notes is conditioned upon satisfaction of
each of the conditions precedent set forth in the attached Back Up 2021 Convertible Note Term Sheet. 
 Whether or not the transactions
contemplated hereby are consummated, Par shall: (x) pay within ten (10) days of demand the reasonable and documented fees, expenses, disbursements and charges of the Back Up Convertible Note Purchasers incurred relating to the Back Up
Convertible Note Commitments or to the preparation and negotiation of this letter agreement (this “Agreement) or any necessary definitive documents relating to the terms set forth herein (and/or the attached schedules), including,
without limitation, the fees and expenses of counsel to the Back Up Convertible Note Purchasers and (y) indemnify and hold harmless each of the Back Up Convertible Note Purchasers and their respective general partners, members, managers and
equity holders, and the respective officers, employees, affiliates, advisors, agents, attorneys, financial advisors, accountants, consultants of each such entity, and to hold the Back Up Convertible Note Purchasers and such other persons and
entities (each an “Indemnified Person”) harmless from and against any and all losses, claims, damages, liabilities and expenses, joint or several, which any such person or entity may incur, have asserted against it or be involved in
as a result of or arising out of or in any way related to this Agreement, the matters referred to herein, the offering procedures, the Back Up 2021 Convertible Note Term Sheet, the use of proceeds from the Back Up 2021 Convertible Notes or any
related transaction 

 
or any claim, litigation, investigation or proceeding relating to any of the foregoing, regardless of whether any of such Indemnified Persons is a party thereto, and to reimburse each of such
Indemnified Persons upon ten (10) days of demand for any legal or other expenses incurred in connection with any of the foregoing; provided, however, that the foregoing indemnity will not, as to any Indemnified Person, apply
to losses, claims, damages, liabilities or related expenses to the extent they have resulted from the willful misconduct or gross negligence of such Indemnified Person. Notwithstanding any other provision of this Agreement, no Indemnified Person
will be liable for any special, indirect, consequential or punitive damages in connection with its activities related to the matters referred to herein, the offering procedures, or the Back Up 2021 Convertible Note Term Sheet. The terms set forth in
this paragraph survive termination of this Agreement and shall remain in full force and effect. 
 This Agreement (a) is not assignable
by Par without the prior written consent of each of the Back Up Convertible Note Purchasers (and any purported assignment without such consent shall be null and void ab initio), and (b) is intended to be solely for the benefit of the parties
hereto and is not intended to confer any benefits upon, or create any rights in favor of, any person other than the parties hereto. Notwithstanding the foregoing, the Back Up Convertible Note Purchasers may assign all or any portion of their
obligations hereunder to an affiliate of a Back Up Convertible Note Purchasers, including one or more funds or accounts affiliated with or advised or managed by a Back Up Convertible Note Purchasers or any of its affiliates, or one or more financial
institutions or entities reasonably acceptable to Par. In the event that any Back Up Convertible Note Purchaser fails to meet its obligations under this Agreement, the non-breaching Back Up Convertible Note Purchasers shall (x) have no
obligation to fund the breaching Back Up Convertible Note Purchaser’s Back Up Convertible Note Commitment and (y) have the right, but not the obligation, to assume such obligations in such manner as they may agree. 

The obligations of the Back Up Convertible Note Purchasers under this Agreement shall automatically terminate and all of the obligations of
Par (other than the obligations of Par to (i) pay the reimbursable fees and expenses and (ii) satisfy their indemnification obligations, in each case, as set forth herein) shall be of no further force or effect in the event that Par is
able to sell at least $100,000,000 of senior unsecured convertible notes on or before July 1, 2016 (“Other Notes”) provided that Par hereby agrees that the undersigned Back Up Convertible Note Purchasers affiliated with or
advised or managed by (i) Whitebox Advisors LLC (“Whitebox Funds”) shall be allocated the opportunity to purchase at least $32,500,000 of the Other Notes (or such lesser amount requested by the Whitebox Funds) if the Whitebox
Funds agree to acquire the Other Notes, in their sole and absolute discretion, and (ii) Highbridge Capital Management, LLC, (“Highbridge Funds”) shall be allocated the opportunity to purchase at least $32,500,000 of the Other
Notes (or such lesser amount so requested by the Highbridge Funds) if the Highbridge Funds agree to acquire the Other Notes, in their sole and absolute discretion (for the avoidance of doubt, this Agreement shall not constitute a commitment by the
Back Up Convertible Note Purchasers to acquire any of the Other Notes). 
 THIS AGREEMENT WILL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED
IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS. 

  
 2 

 This Agreement may not be amended or waived except in writing signed by (i) each of the Back
Up Convertible Note Purchasers and (ii) Par. This Agreement may be executed in any number of counterparts, each of which will be an original, and all of which, when taken together, will constitute one agreement. Delivery of an executed
counterpart of this Agreement by facsimile or portable document format (PDF) will be effective as delivery of a manually executed counterpart of this Agreement. 

Notwithstanding anything contained herein, each Back Up Convertible Note Purchaser acknowledges that its decision to enter into this Agreement
has been made by such Back Up Convertible Note Purchaser independently of any other Back Up Convertible Note Purchaser(s). 
 This Agreement
constitutes the entire understanding among the parties hereto with respect to the subject matter hereof and replaces and supersedes all prior agreements and understandings, both written and oral, among the parties hereto with respect to the subject
matter hereof and shall become effective and binding upon the mutual exchange of fully executed counterparts. 
 The undersigned represent
that they have the authority to execute and deliver this Agreement on behalf of their respective affiliate Back Up Convertible Note Purchasers (including any investment advisor clients) listed on Schedule 2 attached hereto. 

If the foregoing is in accordance with your understanding of our agreement, please sign this letter in the space indicated below and return it
to us. 
 [SIGNATURE PAGES TO FOLLOW] 

  
 3 

 
			
	Very truly yours,
	
	HIGHBRIDGE INTERNATIONAL LLC
		
	By:	 	Highbridge Capital Management, LLC, its trading manager
		
	By:	 	 /s/ Jason Hempel

	Name:	 	Jason Hempel
	Title:	 	Managing Director
	
	HIGHBRIDGE TACTICAL CREDIT & CONVERTIBLES MASTER FUND, L.P.
		
	By:	 	Highbridge Capital Management, LLC, its trading manager
		
	By:	 	 /s/ Jason Hempel

	Name:	 	Jason Hempel
	Title:	 	Managing Director

  
 [Signature Page to
Back Up Convertible Note Commitment] 

 
			
	FUNDS MANAGED ON BEHALF OF WHITEBOX ADVISORS, LLC
		
	By:	 	 /s/ Mark Strefling

	Name:	 	Mark Strefling
	Title:	 	General Counsel

  
 [Signature Page to
Back Up Convertible Note Commitment] 

 ACCEPTED AND AGREED: 
  

			
	PAR PACIFIC HOLDINGS, INC.
		
	By:	 	 /s/ James Matthew Vaughn

	Name:	 	James Matthew Vaughn
	Title:	 	Sr. Vice President and General Counsel

  
 [Signature Page to
Back Up Convertible Note Commitment] 

 Schedule 1 

Back Up 2012 Convertible Note Term Sheet 

See Attached. 

 BACK UP 2021 CONVERTIBLE NOTE TERM SHEET 

OFFERING OF SECURITIES 

The summary below describes the principal terms of the Convertible Notes (hereafter defined). Certain of the terms and conditions described
below are subject to important limitations and exceptions. 
  

	 ISSUER:  
	Par Pacific Holdings, Inc., a Delaware corporation (the “Company”). 

  

	 INVESTORS: 
	Certain funds managed on behalf of Whitebox Advisors, LLC, Highbridge International LLC and Highbridge Tactical Credit & Convertibles Master Fund, L.P. (collectively, the “Investors”) 

 

	 OFFERING PROCESS: 
	Private Placement of Securities 

  

	 SECURITIES 
	$100,000,000 principal amount of 5% Senior Unsecured Convertible Notes due 2021 (“Convertible Notes”). 

  

	 CLOSING DATE/ISSUE DATE 
	July 1, 2016 or such earlier date satisfactory to the Investors 

  

	 INTEREST 
	Five percent (5%) per annum. Interest will accrue from the issue date and will be payable semiannually in arrears on June 15 and December 15 of each year, beginning on December 15, 2016. Company shall pay additional interest,
as the sole remedy relating to the failure of the Company to comply with Company’s reporting obligations 

  

	 CONVERSION PRICE 
	20 percent (20%) in excess of closing price of Company’s common stock on the date on which the Convertible Note issuance launches but not to exceed $18 per share, subject to customary adjustments. In addition, following certain
corporate events, referred to as a Make-Whole Fundamental Change, that occur prior to the Maturity Date, the Company will decrease the conversion price for a holder who elects to convert its Convertible Notes in connection with such a corporate
event in certain circumstances. 

  

	 CONVERSION RIGHTS 
	Holders may convert all or any portion of their Convertible Notes, in multiples of $1,000 principal amount, at their option at any time prior to the close of business on the business day immediately preceding the Maturity Date.

  

	 	Upon conversion, Company will pay or deliver, as the case may be, cash, shares of Company’s common stock or a combination of cash and shares of Company’s common stock, at its election. If Company satisfies its
conversion obligation solely in cash or through payment and delivery, as the case may be, of a combination of cash and shares of Company’s common stock, the amount of cash and shares of common stock, if any, due upon conversion will be based on
a daily conversion value (as described herein) calculated on a proportionate basis for each trading day in a 30 trading day observation period (as described herein). 

 

	 	 Holders will not receive any additional cash payment or additional shares representing accrued and unpaid interest, if any,
upon conversion of its Convertible Notes, except in limited circumstances and other than the make-whole premium described below in the case of a conversion in connection with a redemption of the Convertible Notes at Company’s option (other than
an Acquisition Redemption (hereinafter defined)). Instead, interest will be deemed to be paid by the cash, shares of Company’s common stock or a combination of cash and shares of Company’s common stock paid or delivered, as the case may
be, to the applicable holder upon conversion of the applicable Convertible Notes. 

	 REDEMPTION AT COMPANY’S OPTION 
	If the unit purchase agreement relating to the pending acquisition of Hermes Consolidated, LLC, d/b/a Wyoming Refining Company by Par Wyoming, LLC terminates, Company may redeem all, but not less than all, of the outstanding Convertible Notes
for cash by delivering notice of such redemption on or prior to August 9, 2016, at a redemption price equal to 102% of the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the
redemption date (an “Acquisition Redemption”). 

  

	 	Except as set forth in the immediately preceding paragraph, Company may not redeem the Convertible Notes prior to June 20, 2019. Company may redeem all or part of the Convertible Notes, at its option, on or after
June 20, 2019 if the last reported sale price of Company’s common stock has been at least 140% of the conversion price then in effect (i) on the trading day immediately preceding the date on which we provide notice of redemption and
(ii) for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which the
Company provides notice of redemption at a redemption price equal to 100% of the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date, payable in cash, plus a
“make-whole premium” payment or delivery, as the case may be, in cash, shares of Company’s common stock or a combination of cash and shares of Company’s common stock, at Company’s election, with a value equal to the present
value of the remaining scheduled payments of interest on the Convertible Notes to be redeemed through June 30, 2021 (excluding interest accrued to, but excluding, the redemption date). The present value of the remaining interest payments will
be computed using a discount rate per annum equal to the reference discount rate. Notwithstanding anything to the contrary in the foregoing, unless the Company has made a full cash settlement election for all shares to be issued on conversion, in no
event shall the Company have the right to redeem the Convertible Notes under this provision at any time the Registration Statement required to be filed under the Registration Rights Agreement is not effective or the use of such Registration
Statement is then suspended. 

  

	 	The “reference discount rate” means, for any redemption, the yield to maturity of United States Treasury securities with a constant maturity (as compiled and published in the most recent Federal Reserve
Statistical Release H.15 (519) that has become publicly available at least two business days prior to such date (or, if such Statistical Release is no longer published, any publicly available source of similar market data)) most nearly equal to
the period from the redemption date to the maturity date of the Convertible Notes; provided, however, that if the period from the redemption date to the Maturity Date is less than one year, the weekly average yield on actively traded
United States Treasury securities adjusted to a constant maturity of one year will be used. Any such reference discount rate shall be obtained by Company. 

  

	 	 If Company elects to satisfy some or all of the make-whole premium through the delivery of shares of Company’s common
stock, then the 

  
 2 

	 	 
number of shares of common stock a holder will receive will be that number of shares that have a value equal to the cash amount of the make-whole premium payment to be made to such holder in
shares, divided by the product of (1) the average of the last reported sale prices of Company’s common stock over the five trading day period ending on, and including, the third trading day immediately preceding the redemption or
conversion date, as applicable, and (2) 97%. 

  

	 	Company must make the make-whole premium payment on all Convertible Notes called for redemption (other than for an Acquisition Redemption) prior to the Maturity Date, including Convertible Notes converted after the date
Company provides the notice of redemption and prior to the related redemption date. 

  

	 	Company will give notice of any redemption not less than 40 nor more than 60 scheduled trading days before the redemption date by mail or electronic delivery to the trustee, the paying agent and each holder of
Convertible Notes. No “sinking fund” is provided for the Convertible Notes, which means that Company is not required to redeem or retire the Convertible Notes periodically. 

 

	 FUNDAMENTAL CHANGE 
	If Company undergoes a “Fundamental Change”, subject to certain conditions, holders may require Company to repurchase for cash all or part of their Convertible Notes in principal amounts of $1,000 or an integral multiple thereof. The
fundamental change repurchase price will be equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. 

 

	 	A “Fundamental Change” will be deemed to have occurred at the time after the Convertible Notes are originally issued if any of the following occurs: 

 

	 	(1) a “person” or “group” within the meaning of Section 13(d) of the Exchange Act, other than the Company, Company’s wholly owned subsidiaries and Company and their employee benefit plans,
has become the direct or indirect “beneficial owner,” as defined in Rule 13d-3 under the Exchange Act, of Company’s common equity representing more than 50% of the voting power of Company’s common equity; 

 

	 	(2) the consummation of (A) any recapitalization, reclassification or change of Company’s common stock (other than changes resulting from a subdivision or combination) as a result of which Company’s
common stock would be converted into, or exchanged for, stock, other securities, other property or assets; (B) any share exchange, consolidation or merger of the Company pursuant to which Company’s common stock will be converted into cash,
securities or other property or assets; or (C) any sale, lease or other transfer in one transaction or a series of transactions of all or substantially all of the consolidated assets of the Company and Company’s subsidiaries, taken as a
whole, to any person other than one of our wholly owned subsidiaries; provided, however, that a transaction described in clause (B) in which the holders of all classes of Company’s common equity immediately prior to such transaction own,
directly or indirectly, more than 50% of all classes of common equity of the continuing or surviving corporation or transferee or the parent thereof immediately after such transaction in substantially the same proportions as such ownership
immediately prior to such transaction shall not be a Fundamental Change pursuant to this clause (2); 

  
 3 

	 	(3) Company’s stockholders approve any plan or proposal for the liquidation or dissolution of the Company; or 

  

	 	(4) Company’s common stock (or other common stock underlying the notes) ceases to be listed or quoted on any of the NYSE MKT, The New York Stock Exchange, The NASDAQ Global Select Market or The NASDAQ Global Market
(or any of their respective successors). 

  

	 	A transaction or transactions described in clause (1) or clause (2) above will not constitute a Fundamental Change, however, if at least 90% of the consideration received or to be received by Company’s
common stockholders, excluding cash payments for fractional shares, in connection with such transaction or transactions consists of shares of common stock that are listed or quoted on any of the NYSE MKT, The New York Stock Exchange, The NASDAQ
Global Select Market or The NASDAQ Global Market (or any of their respective successors) or will be so listed or quoted when issued or exchanged in connection with such transaction or transactions and as a result of such transaction or transactions
the Convertible Notes become convertible into such consideration, excluding cash payments for fractional shares. 

  

	 	If any transaction in which Company’s common stock is replaced by the securities of another entity occurs, following completion of any related make-whole fundamental change period (or, in the case of a transaction
that would have been a fundamental change or a make-whole fundamental change but for the immediately preceding paragraph, following the effective date of such transaction), references to the Company in the definition of “Fundamental
Change” above shall instead be references to such other entity. 

  

	 RANKING 
	The Convertible Notes will be Company’s senior unsecured obligations and will rank: 

  

	 	•	 	senior in right of payment to any of Company’s indebtedness that is expressly subordinated in right of payment to the Convertible Notes; 

 

	 	•	 	equal in right of payment to any of Company’s unsecured indebtedness that is not so subordinated; 

  

	 	•	 	effectively junior in right of payment to any of Company’s secured indebtedness to the extent of the value of the assets securing such indebtedness; and 

 

	 	•	 	structurally junior to all indebtedness and other liabilities (including trade payables) of Company’s subsidiaries. 

  
 4 

	 TRANSFER RESTRICTIONS; ABSENCE OF A PUBLIC MARKET FOR THE NOTES 
	Both the Convertible Notes and any shares of Company’s common stock received upon conversion of the Convertible Notes are subject to certain transfer restrictions, which may limit the ability of 5% or 10% shareholders to transfer the
Convertible Notes or shares of Company’s common stock. 

  

	 	Holders may offer or sell the Convertible Notes only (1) to Company or one of its subsidiaries or (2) to a person the holder reasonably believes is a qualified institutional buyer that is purchasing for its
own account or for the account of another qualified institutional buyer and to whom notice is given that the transfer is being made in reliance on Rule 144A, all in compliance with Rule 144A (if available). Holders may offer or sell any shares of
Company’s common stock issuable upon conversion of the Convertible Notes only as contemplated in (1) and (2) above and otherwise in transactions exempt from the registration requirements of the Securities Act or pursuant to an
effective registration statement under the Securities Act. 

  

	 HEDGING TRANSACTIONS 
	As a condition to any purchase of Convertible Notes, each beneficial owner of the Convertible Notes must agree in writing with Company that until the earlier of (x) the date that is 10 calendar days following the pricing date for the
contemplated subscription rights offering (as described herein), if any, and (y) August 9, 2016 (such earlier date, the “cut-off date”), neither it nor any of its affiliates will, directly or indirectly: offer, pledge, sell,
short sell or contract to sell any shares of Company’s common stock; sell any option or contract to purchase any shares of Company’s common stock; purchase any option or contract to sell any shares of Company’s common stock; grant any
option, right or warrant to purchase any shares of Company’s common stock; otherwise transfer or dispose of or transfer any shares of Company’s common stock; enter into any swap or any other agreement that transfers, in whole or in part,
the economic consequence of ownership of Company’s common stock, whether any such swap or transaction is to be settled by delivery of shares or other securities, in cash or otherwise (the foregoing, the “hedging restrictions”); or
transfer any of its Convertible Notes to any other party prior to the cut-off date unless that party agrees in writing with us to be bound by the hedging restrictions and this limitation on transfers; provided, however, the foregoing hedging
restrictions shall not apply to any purchases, sales or exercises of the transferrable subscription rights issued in any subscription rights offering. 

  

	 REGISTRATION RIGHTS 
	The Company shall enter into a registration rights agreement with the initial purchasers, pursuant to which the Company will: 

  

	 	•	 	agree to file a shelf registration statement (which shall be an automatic shelf registration statement if Company is then a well-known seasoned issuer, or WKSI) with the SEC as soon as practicable following the date
hereof, and in any event, on or prior to the 90th day after the first date of original issuance of the Convertible Notes, covering resales of the shares of Company’s common stock, if any, issuable upon conversion of the Convertible Notes and in
respect of any make-whole premium; 

  
 5 

	 	•	 	if Company is not a WKSI on such 90th day, Company shall use its best efforts to cause the shelf registration statement to become effective within 180 days after the first date of original issuance of the Convertible
Notes; and 

  

	 	•	 	use Company’s best efforts to keep the shelf registration statement effective until the earlier of (1) the 120th calendar day immediately following the maturity date or (2) the date on which there are no
longer outstanding any Convertible Notes or restricted shares of Company’s common stock that have been received upon conversion of the Convertible Notes or in respect of any make-whole premium. 

 

	 	If Company does not fulfill certain of its obligations under the registration rights agreement with respect to the Convertible Notes, Company will be required to pay liquidated damages to holders of the Convertible
Notes. If a holder converts some or all of its Convertible Notes for shares of Company’s common stock or receive shares in respect of any make-whole premium, such holder will not be entitled to liquidated damages with respect to shares of
Company’s common stock. However, if a holder converts its Convertible Notes or if Company delivers any shares of its common stock in respect of any make-whole premium when there exists a registration default with respect to shares of
Company’s common stock, Company shall increase the conversion rate or the amount of such make-whole premium, as the case may be, by 3% instead of paying any liquidated damages on such shares of Company’s common stock. 

 

	 BOOK ENTRY FORM 
	Unless otherwise agreed to by an Investor, the Convertible Notes will be issued in book-entry form and will be represented by permanent global certificates deposited with, or on behalf of, The Depository Trust Company (“DTC”) and
registered in the name of a nominee of DTC. Beneficial interests in any of the Convertible Notes will be shown on, and transfers will be effected only through, records maintained by DTC or its nominee and any such interest may not be exchanged for
certificated securities, except in limited circumstances. 

  

	 TRUSTEE, PAYING AGENT AND CONVERSION AGENT 
	[TBD] 

  

	 CONDITIONS PRECEDENT 
	The obligations of the Investors to acquire the Convertible Notes is subject to the prior satisfaction of the following conditions; 

  

	 	(1)	The failure of the Company to sell at least $100,000,000 of senior unsecured convertible notes by July 1, 2016 (“Other Notes”); 

 

	 	(2)	After the date on which the letter agreement (to which this Back Up 2021 Convertible Note Term Sheet is attached) becomes effective, the Company shall not have issued any convertible notes (or any other notes) or
otherwise obtained any other financing that does not qualify as Other Notes, other than a financing contemplated by that certain Bridge Loan Term Sheet of even date herewith; 

 

	 	(3)	The parties have entered into a purchase agreement for the issuance and sale of the Convertible Notes, an indenture, and such other definitive documentation, each in form and substance satisfactory to the Investors, as
reasonably requested by the Investors to evidence the Convertible Notes; 

  
 6 

	 	(4)	Payment of all fees, costs and expenses payable to the Investors on or before the Closing Date; 

  

	 	(5)	No Fundamental Change (as customarily defined in a senior unsecured convertible note indenture) shall have occurred; 

  

	 	(6)	No event that would have resulted in a default or an event of default under a customary convertible note indenture shall have occurred and be continuing immediately before or after giving effect to the issuance of the
Convertible Notes; 

  

	 	(7)	Receipt of customary closing certificates and legal opinions in form and substance reasonably satisfactory to the Investors. 

  

	 MATURITY DATE 
	June 30, 2021, unless earlier repurchased, redeemed or converted. 

  

	 USE OF PROCEEDS 
	The proceeds of the Convertible Notes shall be used for general corporate purposes. 

  

	 COVENANTS 
	Customary limited covenants for senior unsecured convertible notes (and indentures) and, in any case, in form and substance satisfactory to the Investors 

  

	 EVENTS OF DEFAULT: 
	Customary for senior unsecured convertible notes (and indentures) and any others to be mutually agreed upon (subject to negotiated cure periods), in each case, in form and substance satisfactory to the Investors . 

 

	 NOL PROTECTION 
	To the extent that the Board of the Company determines in good faith that the issuance of common stock pursuant to the terms of the Convertible Notes, including as a result of conversion or a make-whole premium payment, could cause the Company
to undergo an “ownership change” as defined in Section 382 of the Internal Revenue Code of 1986 and the Treasury Regulations promulgated thereunder or otherwise materially and adversely affect the ability of the Company to preserve
the utilization of its Net Operating Loss Carryforwards for Federal Income Tax purposes, notwithstanding any other provision in the Indenture, the Company will be required to elect to settle such conversion or payment in cash or a combination of
cash and shares to the extent of such determination. 

  

	 SECTION 13D BLOCKER 
	Unless otherwise agreed to by the Investors, the Indenture shall contain a 5%/10% blocker in form and substance satisfactory to the Investors. 

  

	 MISCELLANEOUS: 
	New York law to govern. 

  

	 	Waiver of trial by jury. 

  

	 	Consent to jurisdiction of state and federal courts located in New York City. 

  
 7 

 Schedule 2 

Back Up Convertible Note Commitment 
  

					
	 Investor
	  	Back Up Convertible Note
Commitment	 
	 Highbridge International LLC
	  	$	39,000,000	  
	 Highbridge Tactical Credit & Convertibles Master Fund, L.P.
	  	$	11,000,000	  
	 Funds Managed on behalf of Whitebox Advisors, LLC
	  	$	50,000,000	  
		  	  
	  
	 
	 TOTAL
	  	$	100,000,000.00

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