Document:

Exhibit
10.12

 

 

 

KEY EMPLOYEE

TRANSITION COMPENSATION PLAN

AND SUMMARY PLAN DESCRIPTION

Effective June 2, 2003

(Amended September 20, 2004)

 

 

KEY EMPLOYEE

TRANSITION COMPENSATION PLAN

AND SUMMARY PLAN DESCRIPTION

 

 

Introduction

 

Westaff (USA), Inc. and
its wholly-owned subsidiary, Westaff Support, Inc. (the “Company”), have
established the Westaff®  Key
Employee Transition Compensation Plan (the “KETC Plan”) to provide transition
compensation to select regular employees whose positions have been eliminated.
This document constitutes both the formal plan document and the summary plan
description of the KETC Plan.

 

Eligible Employees

 

“Eligible Employees” are
active regular employees (or regular employees on an approved leave of absence
of no more than six (6) months in the twelve (12) month period prior to the
time of position elimination) who:

 

(a)                                  have
been designated as a “key employee” by senior management of the Company;

 

(b)                                 are
participants in the Salary Reduction Initiative of June 2003 effective
the pay period beginning June 30, 2003;

 

(c)                                  are
not dismissed for “Cause” or “Performance-related Issues” as further explained
below; and

 

(d)                                 have
not voluntarily terminated employment (quit) prior to the elimination of their
position.

 

Such employees become
eligible for transition compensation under the KETC Plan for (a) up to one year
following a “Change in Control” as defined below, or (b) in the event of job
elimination when they have not been offered a “Comparable Position.”  A Comparable Position is defined as follows:

 

•                  A position
similar in responsibility, skill requirements and work schedule as the
employee’s current position; and

 

•                  A position for
which the salary offered would require no more than a 10% reduction in the
employee’s then current pay; and

 

•                  A position that
does not require the employee to travel more than 30 miles from his or her
current primary place of work.

 

1

 

Change in Control

 

A “Change in Control” means:

 

•                  The sale, lease or disposition of
substantially all of the assets of the Company (directly or indirectly) and its
parent, Westaff, Inc. (“the Parent”);

 

•                  Any consolidation or merger of the
Company and the Parent with or into any other corporation or other entity or
person, or any other corporate reorganization, in which the stockholders of the
Company and the Parent immediately prior to such consolidation, merger or
reorganization, own less than 50% of the Company’s and the Parent’s voting
power immediately after such consolidation, merger or reorganization; or

 

•                  A change in ownership or control of the Company or the
Parent effected through any of the following transactions:

 

(i)                                     any transaction or series of related transactions
as a result of which any person or related group of persons initially becomes
the beneficial owner (within the meaning of Rule 13d-3 of the Securities
Exchange Act of 1934), directly or indirectly, of securities possessing more
than fifty percent (50%) of the total combined voting power of the Company’s or
the Parent’s then outstanding voting securities.  For purposes of this sub-paragraph, the term “person”
shall exclude (i) a trustee or other fiduciary holding securities under an
employee benefit plan of the Parent or of a subsidiary and (ii) a corporation
owned directly or indirectly by the stockholders of the Parent in substantially
the same proportions as their ownership of the common stock of the Parent;

 

(ii)                                  or a change in the composition of the Board of the
Parent over a period of thirty-six (36) consecutive months or less such
that a majority of the Board members ceases, by reason of one or more elections
for Board membership, to be comprised of individuals who either (A) have
been Board members continuously since the beginning of such period or (B) have been elected or
nominated for election as Board members during such period by at least a
majority of the Board members described in clause (A) who were still in
office at the time such election or nomination was approved by the Board.

 

A transaction shall not
constitute a Change in Control if its sole purpose is to create a holding
company that will be owned, directly or indirectly, in substantially the same
proportions by the persons who held the Parent’s securities immediately before
such transaction.

 

2

 

Termination for Cause or for Performance-related Issues

 

A Termination for “Cause”
or for “Performance-related Issues” means the employee:

 

•                  acts in bad faith, or in breach of
trust, to the detriment of the Company;

 

•                  intentionally refuses or fails to act
in a way that constitutes a material violation of Company policy;

 

•                  exhibits, in regard to his/her
employment, unfitness or unavailability for service, unsatisfactory performance
of the duties required of their employment, provided that the Company has given
him/her written notice of the unsatisfactory performance and the action
required by the employee to make such performance satisfactory, and the
employee has not improved his/her performance to a satisfactory level;

 

•                  exhibits habitual or willful
misconduct in the performance of his/her duties;

 

•                  is convicted of a crime involving
dishonesty; or

 

•                  materially breaches his/her
Employment Contract

 

Benefits

 

Each Eligible Employee
who is entitled to benefits under the KETC Plan shall receive transition
compensation in the form of a single lump sum cash payment equivalent to 26
weeks of his or her then current pay less appropriate withholdings.  “Current pay” means the employee’s base
salary rate in effect on the date the employee’s position is eliminated.  This payment is in addition to other
compensation which may be provided by the Company’s current Transition
Compensation Plan (TCP) in effect at that time, or specific provisions of the
employee’s Employment Contract related to severance pay.

 

Entitlement to Benefits

 

The KETC Plan’s benefits
will be provided only to an Eligible Employee who signs and returns a Release
as described below.  Benefits are paid
when employment is terminated and the Release is irrevocable, except as
otherwise provided by Older Worker Protection Act’s revocation clause.

 

Release

 

To receive transition
compensation under the KETC Plan, an Eligible Employee must sign a Release in
the form and within the time established by the Company.

 

3

 

Withholding for Taxes

 

Notwithstanding any other
provision of the KETC Plan, all transition compensation shall be reduced by
applicable federal, state, or local tax withholding.

 

No Other Similar Compensation and Right of Setoff

 

Other than pursuant to
the terms of the KETC Plan, the Company’s separation pay in lieu of notice
policy, and any specific provisions of the employee’s Employment Contract, the
Company has no prior or other obligation, whether by express or implied
contract or otherwise, to provide any transition or other severance benefit to
employees who are discharged by the Company other than in accordance
with the Transition Compensation Plan (TCP.)

 

Any payment made under
the KETC Plan is a voluntary payment made by the Company, which payment
employees are not entitled to receive except according to the terms of the KETC
Plan.  In the event that the Company is or
becomes obligated to provide payment under any other plan or by reason of any
applicable law, settlement or decision, the amount of any payment made to an
employee under the KETC Plan shall be set off against the amount that the
Company is liable to pay that employee, if any, under such other plan, law,
settlement or decision.

 

Source of Benefits

 

The benefits provided
under the KETC Plan shall be unfunded and payable solely from the general
assets of the Company.

 

Expenses

 

The expenses of operating
and administering the KETC Plan shall be borne entirely by the Company.

 

KETC Plan Sponsor and Administrator

 

The Company shall be the
“KETC Plan Sponsor” and the “Administrator” of the KETC Plan, as such terms are
defined in the Employee Retirement Income Security Act of 1974, as amended
(“ERISA”).  The Administrator shall make
any and all determinations required to be made in connection with the
operations and administration of the KETC Plan, including (without limitation)
the determination of whether an employee is an eligible employee and the amount
of any benefit payable hereunder.  The
Administrator shall have the discretionary power to interpret the provisions of
the KETC Plan as it may determine is necessary or appropriate for the
operations and administration of the KETC Plan.

 

4

 

Named Fiduciary

 

The Company is the “named
fiduciary” of the KETC Plan within the meaning of ERISA, including the “named
fiduciary” with the power to act with respect to the review of claims for
compensation under the KETC Plan that are denied.

 

Allocation and Delegation of Responsibilities

 

The Company may allocate
any of its responsibilities for the operation and administration of the KETC
Plan to any officer or employee of the Company.  It may also delegate any of its responsibilities under the KETC
Plan by designating, in writing, another person to carry out such
responsibilities.  Any person so
designated shall then be responsible for carrying out the responsibilities
described in such writing.

 

No Individual Liability

 

It is the express purpose
and intention of the Company that no individual liability whatsoever shall
attach to, or be incurred by, any director, officer, employee, representative
or agent of the Company under, or by reason of the operation of, the KETC Plan.

 

No Amendment or Termination of the KETC Plan

 

The Company affirms that
this June 2, 2003 KETC Plan will remain in full force and effect with regard to
the Eligible Employees and will continue for up to one year after a Change in
Control during which time it will not be subject to amendment or termination
with regard to the Eligible Employees unless both the Company and the Eligible
Employee agree in writing.

 

Claims and Review Procedures

 

Any employee who believes
that the employee has not received the proper compensation under the KETC Plan
must file a written claim with the Administrator.  The Administrator will review the claim and notify the employee
of its decision in writing within 60 days after the claim is received.

 

If the Administrator denies
a claim, in whole or in part, the Administrator’s notice will set forth:

 

1.                                       The
specific reason(s) for denial;

 

2.                                       The
KETC Plan provision(s) on which the denial is based;

 

3.                                       A
description of any material or information necessary for the claimant to
perfect the claim, and an explanation of any such material or information is
necessary and;

 

5

 

4.                                       Information
concerning the steps to be taken if the claimant wishes to submit the claim for
further review.

 

If the claimant feels the
denial of the claim is improper, the claimant, or the claimant’s duly
authorized representative, must file a written request for a full review of the
claim.  A request for review must be filed
with the Administrator within 90 days after the claimant receives the notice of
denial and should set forth all of the grounds upon which it is based, all
facts in support of the request and any other matters the claimant (or the
claimant’s representative) deems pertinent. 
The Administrator will furnish the claimant with a final written
decision within 60 days after receipt of the request for review.

 

Questions Regarding the KETC Plan

 

An employee having
questions regarding the KETC Plan or its application should direct them to the
Company’s Human Resources Department.

 

6

 

TO EVIDENCE THE ADOPTION OF THE WESTAFF® KEY
EMPLOYEE TRANSITION COMPENSATION PLAN effective as of June 2, 2003 and amended
as of September 20, 2004 this document has been executed by an authorized
officer of the Company.

 

	
   

  	
   

  	
  Westaff (USA), Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   Dated: September 20, 2004

  	
   

  	
  By: /s/ Dwight S.
  Pedersen

  	
   

  
	
   

  	
   

  	
  Dwight S. Pedersen

  
	
   

  	
   

  	
  President and Chief
  Executive Officer

  

 

 

By signing below, the employee acknowledges receipt and
agreement to the terms of the June 2, 2003 Key Employee Transition Compensation
Plan and amended September 20, 2004:

 

 

	
  By:

  	
   

  	
   

  	
  Date:

  	
   

  	
   

  
	
   

  	
   

  
	
  Name:

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
   

  
								

 

 

Note:  A copy of this
signed document is to be maintained in the employee’s personnel file.

 

7

 

EMPLOYEE RIGHTS UNDER ERISA

 

As a participant in the
KETC Plan, employees are entitled to certain rights and protections under
ERISA.  All participants are entitled
under ERISA to:

 

1.                                       Examine,
without charge, at the office of the Administrator of the KETC Plan, copies of
all documents filed by the KETC Plan with the U.S. Department of Labor, such as
detailed annual reports; and

 

2.                                       Obtain
copies of other KETC Plan information upon written request to the
Administrator.  The Administrator may
make a reasonable charge for the copies.

 

In addition to creating
rights for KETC Plan participants, ERISA imposes duties upon the people who are
responsible for the operation of the KETC Plan.  The people who operate the KETC Plan, called “fiduciaries” of the
KETC Plan, have a duty to do so prudently and in the interest of the employee
and the other KETC Plan participants and their beneficiaries.

 

No one, including the
employer or any other person, may discriminate against an employee in any way
to prevent the employee from obtaining a benefit or exercising his/her rights
under ERISA. If an employee’s claim for benefits is denied, in whole or in
part, the employee must receive a written explanation of the reason for the
denial, and the employee has the right to have the Administrator review and
reconsider the claim.  (See Claims
and Review Procedures above.)

 

Under ERISA, there are
steps an employee can take to enforce his/her rights. For instance, if the
employee requests materials from the Administrator and does not receive them
within 30 days, the employee may file suit in a federal court.  In such a case, the court may require the
Administrator to provide the materials and pay the employee up to $110 a day
until the materials are received, unless the materials were not sent because of
reasons beyond the Administrator’s control. If the employee has a claim for
benefits which is denied or ignored, in whole or in part, he/she may file suit
in state or federal court.

 

If it should happen that
the employee is discriminated against for asserting his/her rights under ERISA,
the employee may seek assistance from the U.S. Department of Labor, or may file
suit in a federal court. The court will decide who should pay court costs and
legal fees.  If the employee is
successful, the court may order the person being sued to pay these costs and
fees.  If the employee loses, the court
may order the employee to pay these costs and fees, for example, if it finds
the employee’s claim is frivolous.

 

If an employee has
questions about this statement or about individual rights under ERISA, the
employee should contact the U.S. Department
of Labor Employee Benefits Security Administration.

 

8

 

ERISA INFORMATION

 

KETC PLAN NAME:

 

Westaff®  Key Employee Transition Compensation Plan

 

KETC PLAN IDENTIFICATION NUMBER:

 

502

 

KETC PLAN SPONSOR:

 

Westaff (USA), Inc.

P.O. Box 9280

Walnut Creek, CA  94598-0980

Telephone:  (925) 930-5300

 

KETC PLAN ADMINISTRATOR:

 

Westaff (USA), Inc.

P.O. Box 9280

Walnut Creek, CA  94598-0980

Telephone:  (925) 930-5300

 

KETC PLAN SPONSOR’S FEDERAL EMPLOYER IDENTIFICATION NUMBER:

 

68-0095781

 

AGENT FOR SERVICE OF LEGAL PROCESS:

 

KETC
Plan Administrator

 

KETC PLAN YEAR:

 

Calendar Year

 

TYPE OF PLAN:

 

Employee Welfare Benefit
Plan

 

9Exhibit 10.1

 

SEVENTEENTH AMENDMENT

TO

SECOND AMENDED AND RESTATED

LIMITED PARTNERSHIP AGREEMENT

OF

CORPORATE OFFICE PROPERTIES, L.P.

 

THIS SEVENTEENTH AMENDMENT (the “Amendment”) to the Second Amended and
Restated Limited Partnership Agreement of Corporate Office Properties, L.P., a
Delaware limited partnership (the “Partnership”) is made and entered into as of
September 23, 2004, by and among the undersigned parties.

 

Recitals

 

A.                                   The
Partnership is a limited partnership organized under the Delaware Revised
Uniform Limited Partnership Act and governed by that certain Second Amended and
Restated Limited Partnership Agreement dated as of December 7, 1999, as
amended to the date hereof (as amended, the “Partnership Agreement”).

 

B.                                     The
sole general partner of the Partnership is Corporate Office Properties Trust, a
real estate investment trust formed under the laws of the State of Maryland
(the “General Partner”).

 

C.                                     The
Partnership and the General Partner have entered into a certain Contribution
Agreement (the “Contribution Agreement”) dated as of August 26, 2004 with
The Rubenstein Company, L.P., a Delaware limited partnership (“TRCLP”).

 

D.                                    The following assignments and other
transactions were effected prior to closing under the Contribution Agreement:
(1) pursuant to a certain Assignment, Distribution and Assumption Agreement
dated as of September 23, 2004, TRCLP has assigned, transferred and
distributed to TRC Associates Limited Partnership, a Delaware limited
partnership (“TRCALP”), and TRCALP has assumed and accepted from TRCLP, all of
TRCLP’s membership interest as sole member of TRC Pinnacle Towers, L.L.C., a
Virginia limited liability company (the “Company”), and TRCALP has thereupon
become (and has been admitted as) the sole member and the managing member of
the Company in place of TRCLP; and (2) pursuant to a certain Assignment and
Assumption Agreement dated as of September 23, 2004, TRCLP has assigned
and delegated to TRCALP, and TRCALP has assumed and accepted from TRCLP, all of
TRCLP’s rights and obligations in, to and under the Contribution Agreement, and
TRCALP has thereupon succeeded to and is deemed to be the “Contributor” under
the Contribution Agreement for all purposes thereof.

 

E.                                      As
contemplated by Section 2.1 of the Contribution Agreement, TRCALP intends
to transfer all of the issued and outstanding membership interests in the
Company (the “Contributed Interests”), to the Partnership in exchange for
partnership interests in the Partnership having designations, rights and
preferences as set forth herein (the “Series I Preferred Units”).

 

F.                                      The
parties desire to amend the Partnership Agreement to provide for the
contribution of the Contributed Interests by TRCALP to the Partnership in
exchange for the Series I Preferred Units in accordance with Section 2.2
of the Contribution Agreement.

 

G.                                     The
parties signatory to this Seventeenth Amendment, other than the General
Partner, are referred to herein as the “Series I Preferred Unit
Recipients”.  Pursuant to the
Contribution Agreement, the Series I Preferred Units are to be issued to the
Series I Preferred Unit Recipients.

 

Unless otherwise defined herein, all capitalized terms used in this
Amendment shall have the same meanings as set forth in the Partnership
Agreement.

 

 

NOW THEREFORE, in consideration of the foregoing and of the mutual
premises set forth herein, the parties hereto, intending to be legally bound
hereby, hereby amend the Partnership Agreement as follows, effective as of the
date set forth above:

 

1.                                       The
foregoing recitals to this Amendment are hereby incorporated in and made a part
of this Amendment.

 

2.                                       Upon
closing of the transactions contemplated by the Contribution Agreement, TRCALP
shall contribute the Contributed Interests to the Partnership.

 

3.                                       Upon
the contribution of the Contributed Interests to the Partnership by TRCALP, and
in accordance with Section 2.2 of the Contribution Agreement, the Partnership shall issue 352,000 Series I
Preferred Units, which Series I Preferred Units shall constitute Senior
Preferred Units, to TRCALP.

 

4.                                       The
Series I Preferred Units shall have the following terms and other
characteristics: (1) an issuance value of $25.00 per unit; (2) a liquidation
preference of $25.00 per unit plus all accrued and unpaid distributions thereon
(the “Liquidation Preference”) (in determining the Liquidation Preference,
unpaid distributions shall accrue and be compounded on a quarterly basis); and
(3) an annual cumulative preferred return thereon (the “Priority Return
Percentage”) as described in this Section 4.

 

4.1.                              The
Priority Return Percentage for the period commencing on the Closing Date (as
such term is defined in the Contribution Agreement) and expiring on the day
immediately preceding the fifteenth (15th) anniversary of the Closing Date
shall be 7.50% per year (i.e., $1.875 per unit per year).

 

4.2.                              The
Priority Return Percentage for the period commencing on the fifteenth (15th)
anniversary of the Closing Date and expiring on the day immediately preceding
the twentieth (20th) anniversary of the Closing Date shall be the greater of
(a) the Adjusted Treasury Yield (as defined below) as of the fifteenth (15th)
anniversary of the Closing Date and (b) 10.0% per year; provided, in no event
will the Priority Return Percentage for such 5-year period exceed 12.0% per year.

 

4.3.                              The
Priority Return Percentage for the period commencing on the twentieth (20th)
anniversary of the Closing Date and expiring on the day immediately preceding
the twenty-fifth (25th) anniversary of the Closing Date shall be the greater of
(a) the Adjusted Treasury Yield as of such twentieth (20th) anniversary of the
Closing Date and (b) 12.0% per year (the “Priority Return Percentage Floor”);
provided, in no event will the Priority Return Percentage for such 5-year
period exceed 14.0% per year (the “Priority Return Percentage Ceiling”).

 

4.4.                              The
Priority Return Percentage for each 5-year period subsequent to the
twenty-fifth (25th) anniversary of the Closing Date shall be the greater of (a)
the Adjusted Treasury Yield as of the commencement of such 5-year period and
(b) the Priority Return Percentage Floor for the preceding 5-year period plus
200 basis points; provided, in no event will the Priority Return Percentage for
such 5-year period exceed the Priority Return Percentage Ceiling for the preceding
5-year period plus 200 basis points.

 

4.5.                              The
term “Adjusted Treasury Yield” shall mean the Treasury Yield plus 325 basis
points.

 

4.6.                              The
term “Treasury Yield” shall mean the annual percentage yield on 10-year United
States Treasury issues which are issued on the date as of which the Adjusted
Treasury Yield is to be measured; or, if no such 10-year United States Treasury
issues are issued on such date, then the 10-year United States Treasury issues
prior to and nearest the date as of which the Adjusted Treasury Yield is to be
determined.

 

5.                                       Each
Series I Preferred Unit shall be convertible at any time and from time to time
by the holder thereof into common Partnership Units on the basis of 0.50 common
Partnership Units for each Series I Preferred Unit so presented for conversion.

 

 

6.                                       The
then outstanding Series I Preferred Units shall be redeemable by the Operating
Partnership, in whole but not in part, at par (i.e., in an amount equal to
their Liquidation Preference) by written notice given to the holders of the
Series I Preferred Units on the fifteenth (15th) anniversary of the Closing
Date or at any time thereafter; provided, Series I Preferred Units for which a
Conversion Notice has been given to the General Partner prior to the exercise
by the Operating Partnership of such redemption option shall not be redeemable
by the Operating Partnership. In no event may the Series I Preferred Units be
redeemable by the Operating Partnership prior to the fifteenth (15th)
anniversary of the Closing Date. Each holder of a Series I Preferred Unit may,
by written notice given to the General Partner within fifteen (15) calendar
days after receipt by such holder of notice of the Operating Partnership’s
exercise of its redemption option under this Section 6, give to the
General Partner a Conversion Notice with respect to the Series I Preferred
Units held by such Series I Unit Recipient. In such event, the Operating
Partnership’s exercise of its option to redeem the Series I Preferred Units
which is the subject of such Conversion Notice shall then be automatically
revoked and such Series I Preferred Units shall then be converted to common
Partnership Units in accordance with the terms of the Partnership Agreement,
including this Amendment.

 

7.                                       For
purposes of the Partnership Agreement, including the maintenance of Capital
Accounts, TRCALP shall be treated as making a Capital Contribution of
$8,800,000.

 

8.                                       The General
Partner is hereby amending Exhibit 1 to the Partnership Agreement by adding the
Addendum to Exhibit 1 in the form attached hereto to reflect the issuance of
the Series I Preferred Units to TRCALP and the General Partner hereby confirms
certain rights attendant thereto, including, without limitation, the rights to
the Liquidation Preference and the Priority Return Percentage set forth
therein, and the right to convert such Preferred Units into Partnership Units
at the Conversion Factor set forth therein.

 

9.                                       To correct any
ambiguity with respect thereto contained in the
Partnership Agreement, the Partnership Agreement is hereby amended, pursuant to
Section 11.1(B) thereof, to reflect, consistent with the definition of
Senior Preferred Unit contained in the Partnership Agreement, that without the
Consent of each Partner adversely affected thereby, no amendment to the
Partnership Agreement may be adopted if such amendment would permit allocations
or distributions with respect to Priority Return Amounts or Liquidation
Preferences among each class or series of Senior Preferred Units on a basis
other than a pari passu basis
with each other class or series of Senior Preferred Units.

 

10.                                 This Amendment
shall take effect upon the Closing of the transactions contemplated by the
Contribution Agreement, including without limitation the contribution of the
Contributed Interests to the Partnership by TRCALP, and in the event such
Closing does not occur, this Amendment shall be of no force or effect.  Upon the Closing of the transactions
contemplated by the Contribution Agreement, the General Partner shall cause the
names of each Series I Preferred Unit Recipient to be recorded on the books of
the Partnership as a Preferred Limited Partner.

 

(Remainder
of Page Intentionally Left Blank)

 

 

IN WITNESS WHEREOF, the parties hereto have caused their duly
authorized representatives to execute this Amendment as of the day and year
first above written.

 

	
   

  	
  GENERAL
  PARTNER:

  
	
   

  	
   

  	
   

  
	
   

  	
  CORPORATE
  OFFICE PROPERTIES TRUST,

  
	
   

  	
  a Maryland Real Estate Investment Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ ROGER A. WAESCHE, JR.

  	
   

  
	
   

  	
   

  	
  Name: Roger A. Waesche, Jr.

  
	
   

  	
   

  	
  Its: Executive Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  SERIES I
  PREFERRED UNIT RECIPIENTS:

  
	
   

  	
   

  	
   

  
	
   

  	
  TRC
  ASSOCIATES LIMITED PARTNERSHIP,

  
	
   

  	
  a Delaware limited partnership

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  TRC Realty, Inc. - GP II,

  
	
   

  	
   

  	
  a Pennsylvania corporation,

  
	
   

  	
   

  	
  Its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ FRANK J. FERRO

  	
   

  
	
   

  	
   

  	
  Frank J. Ferro

  
	
   

  	
   

  	
  Executive Vice President

  
					

 

Exhibit 1

 

SCHEDULE OF PARTNERS

 

	
  General Partner

  	
   

  	
  Common Units of Partnership

  	
   

  	
  Series E

  Preferred

  Units

  	
   

  	
  Series F

  Preferred

  Units

  	
   

  	
  Series G

  Preferred

  Units

  	
   

  	
  Series H

  Preferred

  Units

  	
   

  	
  Series I

  Preferred

  Units

  	
   

  
	
  Corporate Office Properties Trust

  	
   

  	
  32,266,471

  	
   

  	
  1,150,000

  	
   

  	
  1,425,000

  	
   

  	
  2,200,000

  	
   

  	
  2,000,000

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Limited Partners and Preferred Limited
  Partners

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Jay H. Shidler

  	
   

  	
  452,878

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Shidler Equities, L.P.

  	
   

  	
  2,995,439

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Clay W. Hamlin, III

  	
   

  	
  566,492

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  LBCW Limited Partnership

  	
   

  	
  3,041,427

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Robert L. Denton

  	
   

  	
  414,910

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  James K. Davis

  	
   

  	
  51,589

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  John E. De B. Blockey, Trustee of the John
  E. de B. Blockey Living Trust dated 9/12/88

  	
   

  	
  300,625

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Frederick K. Ito Trust

  	
   

  	
  29,140

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  June Y. I. Ito Trust

  	
   

  	
  29,135

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  RP Investments, LLC

  	
   

  	
  200,000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Denise J. Liszewski

  	
   

  	
  30,333

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Samuel Tang

  	
   

  	
  4,389

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Lawrence J. Taff

  	
   

  	
  13,733

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Kimberly F. Acquino

  	
   

  	
  2,937

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  M.O.R. XXIX Associates Limited Partnership

  	
   

  	
  148,381

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  M.O.R. 44 Gateway Associates Limited
  Partnership

  	
   

  	
  1

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  John Parsinen

  	
   

  	
  90,000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  M.O.R. Commons Limited Partnership

  	
   

  	
  7

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  John Edward De Burgh Blockey and Sandra
  Juanita Blockey

  	
   

  	
  50,476

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Anthony Muscatello

  	
   

  	
  90,905

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Lynn Hamlin

  	
   

  	
  121,411

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  TRC Associates Limited Partnership

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  352,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  40,900,679

  	
   

  	
  1,150,000

  	
   

  	
  1,425,000

  	
   

  	
  2,200,000

  	
   

  	
  2,000,000

  	
   

  	
  352,000

  	
   

  

 

 

Exhibit 1 Addendum

 

 

	
  Series

  Preferred

  Units

  	
   

  	
  Preferred Limited

  Partner

  	
   

  	
  No. of

  Preferred

  Units

  	
   

  	
  Liquidation

  Preference

  Per

  Preferred

  Unit

  	
   

  	
  Priority

  Percentage

  Return *

  	
   

  	
  Priority

  	
   

  	
  Conversion

  Factor

  	
   

  	
  Conversion

  Commencement

  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  E

  	
   

  	
  General Partner

  	
   

  	
  1,150,000

  	
   

  	
  $

  	
  25

  	
   

  	
  2.5625

  	
  %

  	
  Senior

  	
   

  	
  None

  	
   

  	
  N/A

  	
   

  
	
  F

  	
   

  	
  General Partner

  	
   

  	
  1,425,000

  	
   

  	
  $

  	
  25

  	
   

  	
  10.25

  	
  %

  	
  Senior

  	
   

  	
  None

  	
   

  	
  N/A

  	
   

  
	
  G

  	
   

  	
  General Partner

  	
   

  	
  2,200,000

  	
   

  	
  $

  	
  25

  	
   

  	
  8

  	
  %

  	
  Senior

  	
   

  	
  None

  	
   

  	
  N/A

  	
   

  
	
  H

  	
   

  	
  General Partner

  	
   

  	
  2,000,000

  	
   

  	
  $

  	
  **25

  	
   

  	
  ***7.5

  	
  %

  	
  Senior

  	
   

  	
  None

  	
   

  	
  N/A

  	
   

  
	
  I

  	
   

  	
  TRC Associates

  Limited

  Partnership

  	
   

  	
  352,000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Senior

  	
   

  	
  .05/1

  	
   

  	
  September 23, 2004

  	
   

  

 

*                                         Priority
Return Percentage is expressed as a percentage of the Liquidation Preference
per Distribution Period.  See the Agreement for the definitions of “Priority Return
Percentage,” “Liquidation Preference” and “Distribution Period.”

 

**                                  Liquidation
Preference Per Series I Preferred Unit shall equal $25.00 plus all accrued and
unpaid distributions thereon.  In
determining the Liquidation Preference, unpaid distributions shall accrue and
be compounded on a quarterly basis.

 

***                           Priority
Return Percentage for the Series I Preferred Units shall be governed by
Section 4 of the Seventeenth Amendment.  
The Distribution Period for the Series I Preferred Units shall be each
calendar quarter ending March 31, June 30, September 30 and
December 31, of each year.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00072-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00072-of-00352.parquet"}]]