Document:

EX-4.1

 Exhibit 4.1 

Execution Copy 
  

 
  

PARSONS CORPORATION 
 AND 

U.S. BANK NATIONAL ASSOCIATION, 

as Trustee 
 INDENTURE 

Dated as of August 20, 2020 

0.25% Convertible Senior Notes due 2025 
  

 
  

 TABLE OF CONTENTS 

 

							
	 	 	 	  	PAGE	 
	ARTICLE 1	  

	DEFINITIONS	 

			
	 Section 1.01.
	 	 Definitions
	  	 	1	
	 Section 1.02.
	 	 References to Interest
	  	 	14	
	
	ARTICLE 2	  

	ISSUE, DESCRIPTION, EXECUTION, REGISTRATION AND EXCHANGE OF NOTES	

			
	 Section 2.01.
	 	 Designation and Amount
	  	 	14	
	 Section 2.02. 
	 	 Form of Notes
	  	 	14	
	 Section 2.03.
	 	 Date and Denomination of Notes; Payments of Interest and Defaulted Amounts
	  	 	15	
	 Section 2.04.
	 	 Execution, Authentication and Delivery of Notes
	  	 	17	
	 Section 2.05.
	 	 Exchange and Registration of Transfer of Notes; Restrictions on Transfer;
Depositary
	  	 	17	
	 Section 2.06.
	 	 Mutilated, Destroyed, Lost or Stolen Notes
	  	 	25	
	 Section 2.07.
	 	 Temporary Notes
	  	 	26	
	 Section 2.08. 
	 	 Cancellation of Notes Paid, Converted, Etc
	  	 	26	
	 Section 2.09.
	 	 CUSIP Numbers
	  	 	26	
	 Section 2.10.
	 	 Additional Notes; Repurchases
	  	 	27	
	
	ARTICLE 3	  

	SATISFACTION AND DISCHARGE	 

			
	 Section 3.01.
	 	 Satisfaction and Discharge
	  	 	27	
	
	ARTICLE 4	  

	PARTICULAR COVENANTS OF THE COMPANY	 

			
	 Section 4.01.
	 	 Payment of Principal and Interest
	  	 	28	
	 Section 4.02. 
	 	 Maintenance of Office or Agency
	  	 	28	
	 Section 4.03.
	 	 Appointments to Fill Vacancies in Trustee’s Office
	  	 	29	
	 Section 4.04.
	 	 Provisions as to Paying Agent
	  	 	29	
	 Section 4.05.
	 	 Existence
	  	 	30	
	 Section 4.06.
	 	 Rule 144A Information Requirement and Annual Reports
	  	 	30	
	 Section 4.07.
	 	 Stay, Extension and Usury Laws
	  	 	32	
	 Section 4.08.
	 	 Compliance Certificate; Statements as to Defaults
	  	 	32	
	 Section 4.09.
	 	 Further Instruments and Acts
	  	 	33	

  
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	ARTICLE 5	  

	LISTS OF HOLDERS AND REPORTS BY THE COMPANY AND THE
TRUSTEE	

			
	 Section 5.01.
	 	 Lists of Holders
	  	 	33	
	 Section 5.02.
	 	 Preservation and Disclosure of Lists
	  	 	33	
	
	ARTICLE 6	  

	DEFAULTS AND REMEDIES	 

			
	 Section 6.01.
	 	 Events of Default
	  	 	33	
	 Section 6.02.
	 	 Acceleration; Rescission and Annulment
	  	 	35	
	 Section 6.03.
	 	 Additional Interest
	  	 	36	
	 Section 6.04.
	 	 Payments of Notes on Default; Suit Therefor
	  	 	37	
	 Section 6.05.
	 	 Application of Monies Collected by Trustee
	  	 	38	
	 Section 6.06.
	 	 Proceedings by Holders
	  	 	39	
	 Section 6.07.
	 	 Proceedings by Trustee
	  	 	40	
	 Section 6.08.
	 	 Remedies Cumulative and Continuing
	  	 	40	
	 Section 6.09.
	 	 Direction of Proceedings and Waiver of Defaults by Majority of Holders
	  	 	41	
	 Section 6.10.
	 	 Notice of Defaults
	  	 	41	
	 Section 6.11.
	 	 Undertaking to Pay Costs
	  	 	41	
	
	ARTICLE 7	  

	CONCERNING THE TRUSTEE	 

			
	 Section 7.01.
	 	 Duties and Responsibilities of Trustee
	  	 	42	
	 Section 7.02.
	 	 Reliance on Documents, Opinions, Etc
	  	 	44	
	 Section 7.03.
	 	 No Responsibility for Recitals, Etc
	  	 	46	
	 Section 7.04.
	 	 Trustee, Paying Agents, Conversion Agents, Bid Solicitation Agent or Note Registrar May Own
Notes
	  	 	46	
	 Section 7.05.
	 	 Monies and Shares of Common Stock to Be Held in Trust
	  	 	46	
	 Section 7.06.
	 	 Compensation and Expenses of Trustee
	  	 	46	
	 Section 7.07.
	 	 Officer’s Certificate and Opinion of Counsel as Evidence
	  	 	47	
	 Section 7.08.
	 	 Eligibility of Trustee
	  	 	47	
	 Section 7.09.
	 	 Resignation or Removal of Trustee
	  	 	47	
	 Section 7.10.
	 	 Acceptance by Successor Trustee
	  	 	48	
	 Section 7.11.
	 	 Succession by Merger, Etc
	  	 	49	
	 Section 7.12.
	 	 Trustee’s Application for Instructions from the Company
	  	 	50	
	
	ARTICLE 8	  

	CONCERNING THE HOLDERS	 

			
	 Section 8.01.
	 	 Action by Holders
	  	 	50	
	 Section 8.02.
	 	 Proof of Execution by Holders
	  	 	50	
	 Section 8.03.
	 	 Who Are Deemed Absolute Owners
	  	 	50	
	 Section 8.04.
	 	 Company-Owned Notes Disregarded
	  	 	51	
	 Section 8.05.
	 	 Revocation of Consents; Future Holders Bound
	  	 	51	

  
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	ARTICLE 9	  

	HOLDERS’ MEETINGS	 

			
	 Section 9.01.
	 	 Purpose of Meetings
	  	 	52	
	 Section 9.02.
	 	 Call of Meetings by Trustee
	  	 	52	
	 Section 9.03. 
	 	 Call of Meetings by Company or Holders
	  	 	52	
	 Section 9.04.
	 	 Qualifications for Voting
	  	 	52	
	 Section 9.05.
	 	 Regulations
	  	 	53	
	 Section 9.06.
	 	 Voting
	  	 	53	
	 Section 9.07.
	 	 No Delay of Rights by Meeting
	  	 	54	
	
	ARTICLE 10	  

	SUPPLEMENTAL INDENTURES	 

			
	 Section 10.01.
	 	 Supplemental Indentures Without Consent of Holders
	  	 	54	
	 Section 10.02.
	 	 Supplemental Indentures with Consent of Holders
	  	 	55	
	 Section 10.03.
	 	 Effect of Supplemental Indentures
	  	 	56	
	 Section 10.04.
	 	 Notation on Notes
	  	 	56	
	 Section 10.05.
	 	 Evidence of Compliance of Supplemental Indenture to Be Furnished Trustee
	  	 	56	
	
	ARTICLE 11	  

	CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE	 

			
	 Section 11.01.
	 	 Company May Consolidate, Etc. on Certain Terms
	  	 	57	
	 Section 11.02.
	 	 Successor Corporation to Be Substituted
	  	 	57	
	 Section 11.03.
	 	 Officer’s Certificate and Opinion of Counsel to Be Given to Trustee
	  	 	58	
	
	ARTICLE 12	  

	IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS	

			
	 Section 12.01.
	 	 Indenture and Notes Solely Corporate Obligations
	  	 	58	
	
	ARTICLE 13	  

	[INTENTIONALLY OMITTED]	 

	
	ARTICLE 14	  

	CONVERSION OF NOTES	 

			
	 Section 14.01. 
	 	 Conversion Privilege
	  	 	59	
	 Section 14.02.
	 	 Conversion Procedure; Settlement Upon Conversion
	  	 	62	
	 Section 14.03.
	 	 Increased Conversion Rate Applicable to Certain Notes Surrendered in Connection with
Make-Whole Fundamental Changes or Redemption Notice
	  	 	67	
	 Section 14.04.
	 	 Adjustment of Conversion Rate
	  	 	70	
	 Section 14.05.
	 	 Adjustments of Prices
	  	 	80	
	 Section 14.06.
	 	 Shares to Be Fully Paid
	  	 	80	

  
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	 Section 14.07.
	 	 Effect of Recapitalizations, Reclassifications and Changes of the Common Stock
	  	 	81	
	 Section 14.08.
	 	 Certain Covenants
	  	 	83	
	 Section 14.09.
	 	 Responsibility of Trustee
	  	 	83	
	 Section 14.10.
	 	 [Reserved]
	  	 	84	
	 Section 14.11.
	 	 Stockholder Rights Plans
	  	 	84	
	 Section 14.12.
	 	 Exchange in Lieu of Conversion
	  	 	84	
	
	ARTICLE 15	  

	REPURCHASE OF NOTES AT OPTION OF HOLDERS	

			
	 Section 15.01.
	 	 [Intentionally Omitted]
	  	 	85	
	 Section 15.02.
	 	 Repurchase at Option of Holders Upon a Fundamental Change
	  	 	85	
	 Section 15.03.
	 	 Withdrawal of Fundamental Change Repurchase Notice
	  	 	88	
	 Section 15.04.
	 	 Deposit of Fundamental Change Repurchase Price
	  	 	88	
	 Section 15.05.
	 	 Covenant to Comply with Applicable Laws Upon Repurchase of Notes
	  	 	89	
	
	ARTICLE 16	  

	OPTIONAL REDEMPTION	 

			
	 Section 16.01.
	 	 Optional Redemption
	  	 	90	
	 Section 16.02.
	 	 Notice of Optional Redemption; Selection of Notes
	  	 	90	
	 Section 16.03.
	 	 Payment of Notes Called for Redemption
	  	 	91	
	 Section 16.04.
	 	 Restrictions on Redemption
	  	 	92	
	
	ARTICLE 17	  

	MISCELLANEOUS PROVISIONS	 

			
	 Section 17.01.
	 	 Provisions Binding on Company’s Successors
	  	 	92	
	 Section 17.02.
	 	 Official Acts by Successor Corporation
	  	 	92	
	 Section 17.03.
	 	 Addresses for Notices, Etc
	  	 	92	
	 Section 17.04.
	 	 Governing Law; Jurisdiction
	  	 	93	
	 Section 17.05.
	 	 Evidence of Compliance with Conditions Precedent; Certificates and Opinions of
Counsel to Trustee 
	  	 	93	
	 Section 17.06.
	 	 Legal Holidays
	  	 	94	
	 Section 17.07.
	 	 No Security Interest Created
	  	 	94	
	 Section 17.08.
	 	 Benefits of Indenture
	  	 	94	
	 Section 17.09.
	 	 Table of Contents, Headings, Etc
	  	 	94	
	 Section 17.10.
	 	 Authenticating Agent
	  	 	95	
	 Section 17.11.
	 	 Execution in Counterparts
	  	 	96	
	 Section 17.12.
	 	 Severability
	  	 	96	
	 Section 17.13.
	 	 Waiver of Jury Trial
	  	 	96	
	 Section 17.14.
	 	 Force Majeure
	  	 	97	
	 Section 17.15.
	 	 Calculations
	  	 	97	
	 Section 17.16.
	 	 USA PATRIOT Act
	  	 	97	
	 Section 17.17.
	 	 Withholding Taxes
	  	 	97	 

  
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	EXHIBIT
			
	 Exhibit A
	  	Form of Note	  	A-1

  
 v 

 INDENTURE dated as of August 20, 2020 between PARSONS CORPORATION, a Delaware
corporation, as issuer (the “Company,” as more fully set forth in Section 1.01) and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as trustee (the “Trustee,” as more fully set forth in
Section 1.01). 
 W I T N E S S E T H: 

WHEREAS, for its lawful corporate purposes, the Company has duly authorized the issuance of its 0.25% Convertible Senior Notes due 2025 (the
“Notes”), initially in an aggregate principal amount not to exceed $400,000,000, and in order to provide the terms and conditions upon which the Notes are to be authenticated, issued and delivered, the Company has duly authorized
the execution and delivery of this Indenture; and 
 WHEREAS, the Form of Note, the certificate of authentication to be borne by each Note,
the Form of Notice of Conversion, the Form of Fundamental Change Repurchase Notice and the Form of Assignment and Transfer to be borne by the Notes are to be substantially in the forms hereinafter provided; and 

WHEREAS, all acts and things necessary to make the Notes, when executed by the Company and authenticated and delivered by the Trustee or a
duly authorized authenticating agent, as in this Indenture provided, the valid, binding and legal obligations of the Company, and this Indenture a valid agreement according to its terms, have been done and performed, and the execution of this
Indenture and the issuance hereunder of the Notes have in all respects been duly authorized. 
 NOW, THEREFORE, THIS INDENTURE WITNESSETH:

 That in order to declare the terms and conditions upon which the Notes are, and are to be, authenticated, issued and delivered, and in
consideration of the premises and of the purchase and acceptance of the Notes by the Holders thereof, the Company covenants and agrees with the Trustee for the equal and proportionate benefit of the respective Holders from time to time of the Notes
(except as otherwise provided below), as follows: 
 ARTICLE 1 

DEFINITIONS 

Section 1.01. Definitions. The terms defined in this Section 1.01 (except as herein otherwise expressly provided or
unless the context otherwise requires) for all purposes of this Indenture and of any indenture supplemental hereto shall have the respective meanings specified in this Section 1.01. The words “herein,” “hereof,”
“hereunder” and words of similar import refer to this Indenture as a whole and not to any particular Article, Section or other subdivision. The terms defined in this Article include the plural as well as the singular. 

“1% Exception” means the provisions set forth in Section 14.04(k). 

 “Additional Interest” means all amounts, if any, payable pursuant to
Section 4.06(d), Section 4.06(e) and Section 6.03, as applicable. 
 “Additional Shares” shall have the
meaning specified in Section 14.03(a). 
 “Affiliate” of any specified Person means any other Person directly or
indirectly controlling or controlled by or under direct or indirect common control with such specified Person. For the purposes of this definition, “control,” when used with respect to any specified Person means the power to direct or
cause the direction of the management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and the terms “controlling” and “controlled” have meanings
correlative to the foregoing. Notwithstanding anything to the contrary herein, the determination of whether one Person is an “Affiliate” of another Person for purposes of this Indenture shall be made based on the facts at the time
such determination is made or required to be made, as the case may be, hereunder. 
 “Agent” means any Bid Solicitation
Agent, Custodian, Conversion Agent, Note Registrar, Paying Agent or co-Note registrar. 

“Authorized Denomination” shall have the meaning specified in Section 2.03(a). 

“Bid Solicitation Agent” means the Company or the Person appointed by the Company to solicit bids for the Trading Price of
the Notes in accordance with Section 14.01(b)(i). The Company shall initially act as the Bid Solicitation Agent. The Company may, however, appoint another Person to act as Bid Solicitation Agent at any time without prior notice to Holders. 

“Board of Directors” means the board of directors of the Company or a committee of such board duly authorized to act for it
hereunder. 
 “Board Resolution” means a copy of a resolution certified by the Secretary or an Assistant Secretary of the
Company to have been duly adopted by the Board of Directors, and to be in full force and effect on the date of such certification, and delivered to the Trustee. 

“Business Day” means, with respect to any Note, any day other than a Saturday, a Sunday or a day on which the Federal Reserve
Bank of New York is authorized or required by law or executive order to close or be closed. 
 “Capital Stock” means, for
any entity, any and all shares, interests, rights to purchase, warrants, options, participations or other equivalents of or interests in (however designated) stock issued by that entity; provided that debt securities that are convertible into
or exchangeable for Capital Stock shall not constitute Capital Stock prior to their conversion or exchange, as the case may be. 

“Cash Settlement” shall have the meaning specified in Section 14.02(a). 

“Clause A Distribution” shall have the meaning specified in Section 14.04(c). 

  
 2 

 “Clause B Distribution” shall have the meaning specified in
Section 14.04(c). 
 “Clause C Distribution” shall have the meaning specified in Section 14.04(c). 

“close of business” means 5:00 p.m. (New York City time). 

“Combination Settlement” shall have the meaning specified in Section 14.02(a). 

“Commission” means the U.S. Securities and Exchange Commission. 

“Common Equity” of any Person means Capital Stock of such Person that is generally entitled (a) to vote on the election
of directors of such Person or (b) if such Person is not a corporation, to vote or otherwise participate in the selection of the governing body, partners, managers or others that will control the management or policies of such Person. 

“Common Stock” means the common stock of the Company, par value $1.00 per share, at the date of this Indenture, subject to
Section 14.07. 
 “Company” shall have the meaning specified in the first paragraph of this Indenture, and subject to
the provisions of Article 11, shall include its successors and assigns. 
 “Company Order” means a written order of the
Company, signed by the Company’s Chief Executive Officer, Chief Accounting Officer, Chief Financial Officer, President, Executive or Senior Vice President or any Vice President (whether or not designated by a number or numbers or word or words
added before or after the title “Vice President”), Treasurer or Assistant Treasurer or Secretary or any Assistant Secretary, and delivered to the Trustee. 

“Conversion Agent” shall have the meaning specified in Section 4.02. 

“Conversion Date” shall have the meaning specified in Section 14.02(c). 

“Conversion Obligation” shall have the meaning specified in Section 14.01(a). 

“Conversion Price” means as of any time, $1,000, divided by the Conversion Rate as of such time. 

“Conversion Rate” shall have the meaning specified in Section 14.01(a). 

“Corporate Event” shall have the meaning specified in Section 14.01(b)(iii). 

“Corporate Trust Office” means the principal office of the Trustee at which at any time this Indenture shall be administered,
which office at the date hereof is located at 633 West Fifth Street, 24th Floor, Los Angeles, California 90071, Attention: Bradley E. Scarbrough (Parsons Corporation), or such other address as the
Trustee may designate from time to time by notice to the Holders and the Company, or the principal corporate trust office of any successor trustee (or such other address as such successor trustee may designate from time to time by notice to the
Holders and the Company). 

  
 3 

 “Custodian” means the Trustee, as custodian for The Depository Trust
Company, with respect to the Global Notes, or any successor entity thereto. 
 “Daily Conversion Value” means, for each of
the 50 consecutive Trading Days during the Observation Period, one-fiftieth (1/50th) of the product of (a) the Conversion Rate in effect immediately
after the close business on such Trading Day and (b) the Daily VWAP for such Trading Day. 
 “Daily Measurement Value”
means the Specified Dollar Amount (if any), divided by 50. 
 “Daily Settlement Amount,” for each of the 50
consecutive Trading Days during the Observation Period, shall consist of: 
 (a)    cash in an amount
equal to the lesser of (i) the Daily Measurement Value and (ii) the Daily Conversion Value on such Trading Day; and 

(b)    if the Daily Conversion Value exceeds the Daily Measurement Value, a number of shares of Common
Stock equal to (i) the difference between the Daily Conversion Value and the Daily Measurement Value, divided by (ii) the Daily VWAP for such Trading Day. 

“Daily VWAP” means, for each of the 50 consecutive Trading Days during the relevant Observation Period, the per share
volume-weighted average price as displayed under the heading “Bloomberg VWAP” on Bloomberg page “PSN <equity> AQR” (or its equivalent successor if such page is not available) in respect of the period from the scheduled open
of trading until the scheduled close of trading of the primary trading session on such Trading Day (or if such volume-weighted average price is unavailable, the market value of one share of the Common Stock on such Trading Day determined, using a
volume-weighted average method, by a nationally recognized independent investment banking firm retained for this purpose by the Company). The “Daily VWAP” shall be determined without regard to after-hours trading or any other
trading outside of the regular trading session trading hours. 
 “De-Legending Deadline
Date” means, with respect to any Note, the 15th day after the Free Trade Date of such Note; provided that if such 15th day is
after a Regular Record Date and on or before the next Interest Payment Date, then the De-Legending Deadline Date for such Note will instead be the Business Day immediately after such Interest Payment Date.

 “Default” means any event that is, or after notice or passage of time, or both, would be, an Event of Default. 

“Defaulted Amounts” means any amounts on any Note (including, without limitation, the Redemption Price, the Fundamental
Change Repurchase Price, principal and interest) that are payable but are not punctually paid or duly provided for. 

  
 4 

 “Depositary” means, with respect to each Global Note, the Person specified
in Section 2.05(c) as the Depositary with respect to such Notes, until a successor shall have been appointed and become such pursuant to the applicable provisions of this Indenture, and thereafter, “Depositary” means or include
such successor. 
 “Distributed Property” shall have the meaning specified in Section 14.04(c). 

“Effective Date” shall have the meaning specified in Section 14.03(c), except that, as used in Section 14.04 and
Section 14.05, “Effective Date” means the first date on which shares of the Common Stock trade on the applicable exchange or in the applicable market, regular way, reflecting the relevant share split or share combination, as
applicable. 
 “Event of Default” shall have the meaning specified in Section 6.01. 

“Ex-Dividend Date” means the first date on which shares of the Common Stock trade on
the applicable exchange or in the applicable market, regular way, without the right to receive the issuance, dividend or distribution in question, from the Company or, if applicable, from the seller of Common Stock on such exchange or market (in the
form of due bills or otherwise) as determined by such exchange or market. 
 “Exchange Act” means the Securities Exchange
Act of 1934, as amended, and the rules and regulations promulgated thereunder. 
 “Exchange in Lieu of Conversion” shall
have the meaning specified in Section 14.12(a). 
 “Form of Assignment and Transfer” means the “Form of
Assignment and Transfer” attached as Attachment 3 to the Form of Note attached hereto as Exhibit A. 
 “Form of Fundamental
Change Repurchase Notice” means the “Form of Fundamental Change Repurchase Notice” attached as Attachment 2 to the Form of Note attached hereto as Exhibit A. 

“Form of Note” means the “Form of Note” attached hereto as Exhibit A. 

“Form of Notice of Conversion” means the “Form of Notice of Conversion” attached as Attachment 1 to the Form of
Note attached hereto as Exhibit A. 
 “Free Trade Date” means, with respect to any Note, the date that is one year after
the Last Original Issue Date of such Note. 
 “Fundamental Change” shall be deemed to have occurred at the time after the
Notes are originally issued if any of the following occurs: 
 (a)    (A) a “person” or
“group” within the meaning of Section 13(d) of the Exchange Act, other than the Company, its Wholly Owned Subsidiaries and the employee benefit plans of the Company and its Wholly Owned Subsidiaries, files a

  
 5 

 
Schedule TO or any schedule, form or report under the Exchange Act disclosing that such person or group has become the direct or indirect “beneficial owner,” as defined in Rule 13d-3 under the Exchange Act, of the Common Stock representing more than 50% of the voting power of the Common Stock; or (B) any employee benefit plans of the Company or its Wholly Owned Subsidiaries files a
Schedule TO or any schedule, form or report under the Exchange Act disclosing that such employee benefit plan has become the direct or indirect “beneficial owner,” as defined in Rule 13d-3 under the
Exchange Act, of the Common Stock representing more than 85% of the voting power of the Common Stock; provided that for purposes of clause (B), in calculating the beneficial ownership percentage of the Common Stock held by any such employee
benefit plan, any Common Stock issued or issuable by the Company to any such employee benefit plan after the date of this Indenture, including pursuant to rights attached to, or a dividend or other distribution on, any such Common Stock or other
securities so owned on the date of this Indenture (or any Common Stock into which they may convert or be exchanged or exercised), shall be excluded from both the numerator and denominator in calculating such percentage; 

(b)    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 the Company 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 the Company and its Subsidiaries, taken as a whole, to any Person other than one of the Company’s Wholly Owned Subsidiaries; provided, however, that a transaction described in clause (A) or (B) in which the
holders of all classes of the 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 (relative to each other) as such ownership immediately prior to such transaction shall not be a Fundamental Change pursuant to this clause (b); 

(c)    the stockholders of the Company approve any plan or proposal for the liquidation or dissolution of
the Company; or 
 (d)    the Common Stock (or other common stock underlying the Notes) ceases to be
listed or quoted on any of The New York Stock Exchange, The Nasdaq Global Select Market or The Nasdaq Global Market (or any of their respective successors); 

provided, however, that a transaction or transactions described in clause (a) or clause (b) above shall not constitute a Fundamental
Change, if at least 90% of the consideration received or to be received by the common stockholders of the Company, excluding cash payments for fractional shares and cash payments made pursuant to dissenters’ appraisal rights, in connection with
such transaction or transactions consists of shares of common stock that are listed or quoted on any of 

  
 6 

 
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 Notes become convertible into such consideration, excluding cash payments for fractional shares and cash payments made pursuant to
dissenters’ appraisal rights (subject to the provisions of Section 14.02(a)). If any transaction in which the 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 proviso immediately following clause (d) of this definition, following the effective date of such
transaction) references to the Company in this definition shall instead be references to such other entity. 
 Solely for the purposes of
this definition (but, for the avoidance of doubt, not for purposes of the definition of Make-Whole Fundamental Change), (x) any transaction or event described in both clause (a) and in clause (b)(A) or (B) above (without regard to the
proviso in clause (b)) shall be deemed to occur solely pursuant to clause (b) above (subject to such proviso). 

“Fundamental Change Company Notice” shall have the meaning specified in Section 15.02(c). 

“Fundamental Change Repurchase Date” shall have the meaning specified in Section 15.02(a). 

“Fundamental Change Repurchase Notice” shall have the meaning specified in Section 15.02(b)(i). 

“Fundamental Change Repurchase Price” shall have the meaning specified in Section 15.02(a). 

“given,” with respect to any notice to be given to a Holder pursuant to this Indenture, shall mean notice (x) given to
the Depositary (or its designee) pursuant to the standing instructions from the Depositary or its designee, including by electronic mail in accordance with accepted practices or procedures at the Depositary (in the case of a Global Note) or
(x) mailed to such Holder by first class mail, postage prepaid, at its address as it appears on the Note Register (in the case of a Physical Note), in each case, in accordance with Section 17.03. Notice so “given” shall be deemed
to include any notice to be “mailed” or “delivered,” as applicable, under this Indenture. 
 “Global
Note” shall have the meaning specified in Section 2.05(b). 
 “Holder,” as applied to any Note, or other
similar terms (but excluding the term “beneficial holder”), means any Person in whose name at the time a particular Note is registered on the Note Register. 

“Indenture” means this instrument as originally executed or, if amended or supplemented as herein provided, as so amended or
supplemented. 

  
 7 

 “Initial Purchasers” means BofA Securities, Inc., Morgan
Stanley & Co. LLC, J.P. Morgan Securities LLC, MUFG Securities America Inc., Truist Securities, Inc., BNP Paribas Securities Corp., Scotia Capital (USA) Inc., U.S. Bancorp Investments, Inc., Drexel Hamilton, LLC and Mischler Financial
Group, Inc. 
 “Interest Payment Date” means each February 15 and August 15 of each year, beginning on
February 15, 2021. 
 “Last Original Issue Date” means (a) with respect to any Notes issued pursuant to the
Purchase Agreement, and any Notes issued in exchange therefor or in substitution thereof, the date of this Indenture; and (b) with respect to any Notes issued pursuant to Section 2.10, and any Notes issued in exchange therefor or in
substitution thereof, either (i) the later of (x) the date such Notes are originally issued and (y) the last date any such Notes are originally issued as part of the same offering pursuant to the exercise of an option granted to the
initial purchaser(s) of such Notes to purchase additional Notes; or (ii) such other date as is specified in an Officer’s Certificate delivered to the Trustee before the original issuance of such Notes. 

“Last Reported Sale Price” of the Common Stock (or other security for which a closing sale price must be determined) on any
date means the closing sale price (or if no closing sale price is reported, the average of the bid and ask prices or, if more than one in either case, the average of the average bid and the average ask prices) per share of Common Stock on that date
as reported in composite transactions for the principal U.S. national or regional securities exchange on which the Common Stock (or such other security) is traded. If the Common Stock (or such other security) is not listed for trading on a U.S.
national or regional securities exchange on the relevant date, the “Last Reported Sale Price” shall be the last quoted bid price per share of Common Stock (or such other security) in the over-the-counter market on the relevant date as reported by OTC Markets Group Inc. or a similar organization. If the Common Stock (or such other security) is not so quoted, the “Last Reported Sale
Price” shall be the average of the mid-point of the last bid and ask prices per share of Common Stock (or such other security) on the relevant date from each of at least three nationally recognized
independent investment banking firms selected by the Company for this purpose. The “Last Reported Sale Price” shall be determined without regard to after-hours trading or any other trading outside of the regular trading session
trading hours. 
 “Make-Whole Fundamental Change” means any transaction or event that constitutes a “Fundamental
Change” as defined above and determined after giving effect to any exceptions to or exclusions from such definition, but without regard to the proviso in clause (b) of the definition thereof. 

“Make-Whole Fundamental Change Period” shall have the meaning specified in Section 14.03(a). 

“Market Disruption Event” means (a) a failure by the primary U.S. national or regional securities exchange or market on
which the Common Stock is listed or admitted for trading to open for trading during its regular trading session or (b) the occurrence or existence prior to 1:00 p.m., 

  
 8 

 
New York City time, on any Scheduled Trading Day for the Common Stock for more than one half-hour period in the aggregate during regular trading hours of any suspension or limitation imposed on
trading (by reason of movements in price exceeding limits permitted by the relevant stock exchange or otherwise) in the Common Stock or in any options contracts or futures contracts relating to the Common Stock. 

“Material Subsidiary” means a Subsidiary of the Company that, when consolidated with the Subsidiaries, if any, of such
Subsidiary, either (i) generated 10% or more of the consolidated revenues of the Company and its Subsidiaries, taken as a whole or (ii) owns 10% or more of the consolidated total assets of the Company and its Subsidiaries, taken as a
whole, in each case as measured pursuant to the Company’s financial statements for the most recently ended fiscal quarter or fiscal year included in the reports filed (or deemed filed) with the Trustee pursuant to Section 4.06(b). 

“Maturity Date” means August 15, 2025. 

“Measurement Period” shall have the meaning specified in Section 14.01(b)(i). 

“Note” or “Notes” shall have the meaning specified in the first paragraph of the recitals of this Indenture.

 “Note Register” shall have the meaning specified in Section 2.05(a). 

“Note Registrar” shall have the meaning specified in Section 2.05(a). 

“Notice of Conversion” shall have the meaning specified in Section 14.02(b). 

“Observation Period” with respect to any Note surrendered for conversion means: (i) subject to clause (ii) below,
if the relevant Conversion Date occurs prior to March 15, 2025, the 50 consecutive Trading Day period beginning on, and including, the second Trading Day immediately succeeding such Conversion Date; (ii) with respect to any Notes called
for redemption (or deemed called for redemption pursuant to Section 14.01(b)(v)), if the relevant Conversion Date occurs during a Redemption Period with respect to such Notes, the 50 consecutive Trading Days beginning on, and including, the
51st Scheduled Trading Day immediately preceding the related Redemption Date; and (iii) subject to clause (ii) above, if the relevant Conversion Date occurs on or after March 15, 2025, the 50 consecutive Trading Days beginning on, and
including, the 51st Scheduled Trading Day immediately preceding the Maturity Date. 
 “Offering Memorandum” means the
preliminary offering memorandum dated August 17, 2020, as supplemented by the related pricing term sheet dated August 17, 2020, relating to the offering and sale of the Notes. 

“Officer” means, with respect to the Company, the President, the Chief Executive Officer, the Chief Financial Officer, the
Chief Accounting Officer, the Treasurer, the Secretary, any assistant Treasurer, any assistant Secretary, any Executive or Senior Vice President or any Vice President (whether or not designated by a number or numbers or word or words added before or
after the title “Vice President”). 

  
 9 

 “Officer’s Certificate,” when used with respect to the Company, means
a certificate that is delivered to the Trustee and that is signed on behalf of the Company by an Officer of the Company. Each such certificate shall include the statements provided for in Section 17.05 if and to the extent required by the
provisions of such Section. 
 “open of business” means 9:00 a.m. (New York City time). 

“Opinion of Counsel” means an opinion in writing signed by legal counsel, who may be an employee of or counsel to the
Company, who is reasonably acceptable to the Trustee that is delivered to the Trustee. Each such opinion shall include the statements provided for in Section 17.05 if and to the extent required by the provisions of such Section 17.05. 

“Optional Redemption” shall have the meaning specified in Section 16.01. 

“outstanding,” when used with reference to Notes, shall, subject to the provisions of Section 8.04, mean, as of any
particular time, all Notes authenticated and delivered by the Trustee under this Indenture, except: 

(a)    Notes theretofore canceled by the Trustee or accepted by the Trustee for cancellation; 

(b)    Notes, or portions thereof, that have become due and payable and in respect of which monies in the
necessary amount shall have been deposited in trust with the Trustee or with any Paying Agent (other than the Company) or shall have been set aside and segregated in trust by the Company (if the Company shall act as its own Paying Agent); 

(c)    Notes that have been paid pursuant to Section 2.06 or Notes in lieu of which, or in
substitution for which, other Notes shall have been authenticated and delivered pursuant to the terms of Section 2.06 unless proof satisfactory to the Trustee is presented that any such Notes are held by protected purchasers in due course; 

(d)    Notes converted pursuant to Article 14 and required to be cancelled pursuant to Section 2.08;

 (e)    Notes redeemed pursuant to Article 16; and 

(f)    Notes repurchased by the Company pursuant to the penultimate sentence of Section 2.10 to the
extent the Company surrenders such Notes to the Trustee for cancellation in accordance with Section 2.08. 
 “Partial
Redemption Limitation” shall have the meaning specified in Section 16.02(d). 

  
 10 

 “Paying Agent” shall have the meaning specified in Section 4.02. 

“Person” means an individual, a corporation, a limited liability company, an association, a partnership, a joint venture, a
joint stock company, a trust, an unincorporated organization or a government or an agency or a political subdivision thereof. 

“Physical Notes” means permanent certificated Notes in registered form issued in Authorized Denominations. 

“Physical Settlement” shall have the meaning specified in Section 14.02(a). 

“Predecessor Note” of any particular Note means every previous Note evidencing all or a portion of the same debt as that
evidenced by such particular Note; and, for the purposes of this definition, any Note authenticated and delivered under Section 2.06 in lieu of or in exchange for a mutilated, lost, destroyed or stolen Note shall be deemed to evidence the same
debt as the mutilated, lost, destroyed or stolen Note that it replaces. 
 “Purchase Agreement” means that certain Purchase
Agreement, dated as of August 17, 2020, among the Company and the Initial Purchasers. 
 “Record Date” means, with
respect to any dividend, distribution or other transaction or event in which the holders of Common Stock (or other applicable security) have the right to receive any cash, securities or other property or in which the Common Stock (or such other
security) is exchanged for or converted into any combination of cash, securities or other property, the date fixed for determination of holders of the Common Stock (or such other security) entitled to receive such cash, securities or other property
(whether such date is fixed by the Board of Directors, by statute, by contract or otherwise). 
 “Redemption Date” shall
have the meaning specified in Section 16.02(a). 
 “Redemption Notice” shall have the meaning specified in
Section 16.02(a). 
 “Redemption Period” means, with respect to any Optional Redemption, the period from, and
including, the date the Company delivers the Redemption Notice for such Optional Redemption until the close of business on the Scheduled Trading Day immediately preceding the related Redemption Date. 

“Redemption Price” means, for any Notes to be redeemed pursuant to Section 16.01, 100% of the principal amount of such
Notes, plus accrued and unpaid interest, if any, to, but excluding, the applicable Redemption Date (unless such Redemption Date falls after a Regular Record Date but on or prior to the immediately succeeding Interest Payment Date, in which
case interest accrued on such Notes to the Interest Payment Date will be paid to Holders of record of such Notes as of the close of business on such Regular Record Date, and the Redemption Price will be equal to 100% of the principal amount of such
Notes). 
 “Reference Property” shall have the meaning specified in Section 14.07(a). 

  
 11 

 “Regular Record Date,” with respect to any Interest Payment Date, means the
February 1 or August 1 (whether or not such day is a Business Day) immediately preceding the applicable February 15 or August 15 Interest Payment Date, respectively. 

“Resale Restriction Termination Date” shall have the meaning specified in Section 2.05(c). 

“Responsible Officer” means, when used with respect to the Trustee, any officer within the corporate trust department of the
Trustee, including any vice president, assistant vice president, assistant secretary, assistant treasurer, trust officer or any other officer of the Trustee who customarily performs functions similar to those performed by the Persons who at the time
shall be such officers, respectively, or to whom any corporate trust matter relating to this Indenture is referred because of such person’s knowledge of and familiarity with the particular subject and, in each case, who shall have direct
responsibility for the administration of this Indenture. 
 “Restricted Securities” shall have the meaning specified in
Section 2.05(c). 
 “Rule 144” means Rule 144 as promulgated under the Securities Act. 

“Rule 144A” means Rule 144A as promulgated under the Securities Act. 

“Scheduled Trading Day” means a day that is scheduled to be a Trading Day on the principal U.S. national or regional
securities exchange or market on which the Common Stock is listed or admitted for trading. If the Common Stock is not so listed or admitted for trading, “Scheduled Trading Day” means a Business Day. 

“Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder. 

“Settlement Amount” has the meaning specified in Section 14.02(a)(iv). 

“Settlement Method” means, with respect to any conversion of Notes, Physical Settlement, Cash Settlement or Combination
Settlement, as elected (or deemed to have been elected) by the Company. 
 “Settlement Notice” has the meaning specified in
Section 14.02(a)(iii). 
 “Share Exchange Event” has the meaning specified in Section 14.07(a). 

“Specified Dollar Amount” means, in respect of the conversion of any Note, the maximum cash amount (excluding cash in lieu of
any fractional share) per $1,000 principal amount of such Notes to be received upon conversion as specified in the Settlement Notice related to any converted Notes (or as the Company is otherwise deemed to have elected). 

“Spin-Off” shall have the meaning specified in Section 14.04(c). 

  
 12 

 “Stock Price” shall have the meaning specified in Section 14.03(c).

 “Subsidiary” means, with respect to any Person, any corporation, association, partnership or other business entity of
which more than 50% of the total voting power of shares of Capital Stock or other interests (including partnership interests) entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers, general
partners or trustees thereof is at the time owned or controlled, directly or indirectly, by (i) such Person; (ii) such Person and one or more Subsidiaries of such Person; or (iii) one or more Subsidiaries of such Person. 

“Successor Company” shall have the meaning specified in Section 11.01(a). 

“Trading Day” means a day on which (i) trading in the Common Stock (or other security for which a closing sale price
must be determined) generally occurs on The New York Stock Exchange or, if the Common Stock (or such other security) is not then listed on The New York Stock Exchange, on the principal other U.S. national or regional securities exchange on which the
Common Stock (or such other security) is then listed or, if the Common Stock (or such other security) is not then listed on a U.S. national or regional securities exchange, on the principal other market on which the Common Stock (or such other
security) is then traded and (ii) a Last Reported Sale Price for the Common Stock (or such other security) is available on such securities exchange or market; provided that if the Common Stock (or such other security) is not so listed or
traded, “Trading Day” means a Business Day; and provided, further, that for purposes of determining amounts due upon conversion of a Note only, “Trading Day” means a day on which (x) there is no
Market Disruption Event and (y) trading in the Common Stock generally occurs on The New York Stock Exchange or, if the Common Stock is not then listed on The New York Stock Exchange, on the principal other U.S. national or regional securities
exchange on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional securities exchange, on the principal other market on which the Common Stock is then listed or admitted for trading, except
that if the Common Stock is not so listed or admitted for trading, “Trading Day” means a Business Day. 
 “Trading
Price” of the Notes on any date of determination means the average of the secondary market bid quotations obtained by the Bid Solicitation Agent for $5,000,000 principal amount of Notes at approximately 3:30 p.m., New York City time, on
such determination date from three independent nationally recognized securities dealers the Company selects for this purpose; provided that if three such bids cannot reasonably be obtained by the Bid Solicitation Agent but two such bids are
obtained, then the average of the two bids shall be used as the Trading Price, and if only one such bid can reasonably be obtained by the Bid Solicitation Agent, that one bid shall be used as the Trading Price. If the Bid Solicitation Agent cannot
reasonably obtain at least one bid for $5,000,000 principal amount of Notes from a nationally recognized securities dealer on any determination date, then the Trading Price per $1,000 principal amount of Notes on such determination date shall be
deemed to be less than 98% of the product of the Last Reported Sale Price of the Common Stock and the Conversion Rate on such date of determination. 

  
 13 

 “transfer” shall have the meaning specified in Section 2.05(c). 

“Trigger Event” shall have the meaning specified in Section 14.04(c). 

“Trust Indenture Act” means the Trust Indenture Act of 1939, as amended. 

“Trustee” means the Person named as the “Trustee” in the first paragraph of this Indenture until a successor
trustee shall have become such pursuant to the applicable provisions of this Indenture, and thereafter “Trustee” shall mean or include each Person who is then a Trustee hereunder. 

“unit of Reference Property” shall have the meaning specified in Section 14.07(a). 

“Valuation Period” shall have the meaning specified in Section 14.04(c). 

“Wholly Owned Subsidiary” means, with respect to any Person, any Subsidiary of such Person, except that, solely for purposes
of this definition, the reference to “more than 50%” in the definition of “Subsidiary” shall be deemed replaced by a reference to “100%”. 

Section 1.02. References to Interest. Unless the context otherwise requires, any reference to interest on, or in respect of, any
Note in this Indenture shall be deemed to include Additional Interest if, in such context, Additional Interest is, was or would be payable pursuant to any of Section 4.06(d), Section 4.06(e) and Section 6.03. Unless the context
otherwise requires, any express mention of Additional Interest in any provision hereof shall not be construed as excluding Additional Interest in those provisions hereof where such express mention is not made. 

ARTICLE 2 
 ISSUE,
DESCRIPTION, EXECUTION, REGISTRATION AND EXCHANGE OF NOTES 

Section 2.01. Designation and Amount. The Notes shall be designated as the “0.25% Convertible Senior Notes due 2025.”
The aggregate principal amount of Notes that may be authenticated and delivered under this Indenture is initially limited to $400,000,000, subject to Section 2.10 and except for Notes authenticated and delivered upon registration or transfer
of, or in exchange for, or in lieu of other Notes to the extent expressly permitted hereunder. 
 Section 2.02. Form of Notes.
The Notes and the Trustee’s certificate of authentication to be borne by such Notes shall be substantially in the respective forms set forth in Exhibit A, the terms and provisions of which shall constitute, and are hereby expressly incorporated
in and made a part of this Indenture. To the extent applicable, the Company and the Trustee, by their execution and delivery of this Indenture, expressly agree to such terms and provisions and to be bound thereby. In the case of any conflict between
this Indenture and a Note, the provisions of this Indenture shall govern and control to the extent of such conflict. 
 Any Global Note may
be endorsed with or have incorporated in the text thereof such legends or recitals or changes not inconsistent with the provisions of this Indenture as may be 

  
 14 

 
required by the Custodian or the Depositary, or as may be required to comply with any applicable law or any regulation thereunder or with the rules and regulations of any securities exchange or
automated quotation system upon which the Notes may be listed or traded or designated for issuance or to conform with any usage with respect thereto, or to indicate any special limitations or restrictions to which any particular Notes are subject.

 Any of the Notes may have such letters, numbers or other marks of identification and such notations, legends or endorsements as the
Officer executing the same may approve (execution thereof to be conclusive evidence of such approval) and as are not inconsistent with the provisions of this Indenture, or as may be required to comply with any law or with any rule or regulation made
pursuant thereto or with any rule or regulation of any securities exchange or automated quotation system on which the Notes may be listed or designated for issuance, or to conform to usage or to indicate any special limitations or restrictions to
which any particular Notes are subject. 
 Each Global Note shall represent such principal amount of the outstanding Notes as shall be
specified therein and shall provide that it shall represent the aggregate principal amount of outstanding Notes from time to time endorsed thereon and that the aggregate principal amount of outstanding Notes represented thereby may from time to time
be increased or reduced to reflect redemptions, repurchases, cancellations, conversions, transfers or exchanges permitted hereby. Any endorsement of a Global Note to reflect the amount of any increase or decrease in the amount of outstanding Notes
represented thereby shall be made by the Trustee or the Custodian, at the direction of the Trustee, in such manner and upon instructions given by the Holder of such Notes in accordance with this Indenture. Payment of principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, and accrued and unpaid interest on, a Global Note shall be made to the Holder of such Note on the date of payment, unless a record date or other means of determining
Holders eligible to receive payment is provided for herein. 
 Section 2.03. Date and Denomination of Notes; Payments of Interest
and Defaulted Amounts. (a) The Notes shall be issuable in registered form without coupons in denominations of $1,000 principal amount and in integral multiples of $1,000 in excess thereof (an “Authorized Denomination”).
Each Note shall be dated the date of its authentication and shall bear interest from the date specified on the face of such Note. Accrued interest on the Notes shall be computed on the basis of a 360-day year
composed of twelve 30-day months and, for partial months, on the basis of the number of days actually elapsed in a 30-day month. 

(b)    The Person in whose name any Note (or its Predecessor Note) is registered on the Note Register at the close of
business on any Regular Record Date with respect to any Interest Payment Date shall be entitled to receive the interest payable on such Interest Payment Date. The principal amount of any Note (x) in the case of any Physical Note, shall be
payable at the office or agency of the Company maintained by the Company for such purposes in the continental United States, which shall initially be the Corporate Trust Office and (y) in the case of any Global Note, shall be payable by wire
transfer of immediately available funds to the account of the Depositary or its nominee. The Company shall pay or cause the Paying Agent to 

  
 15 

 
pay interest (i) on any Physical Notes (A) to Holders holding Physical Notes having an aggregate principal amount of $5,000,000 or less, by check mailed to the Holders of these Notes at
their address as it appears in the Note Register and (B) to Holders holding Physical Notes having an aggregate principal amount of more than $5,000,000, either by check mailed to each Holder or, upon application by such a Holder to the Note
Registrar not later than the relevant Regular Record Date, by wire transfer in immediately available funds to that Holder’s account within the United States if such Holder has provided the Company, the Trustee or the Paying Agent with the
requisite information necessary to make such wire transfer, which application shall remain in effect until the Holder notifies, in writing, the Note Registrar to the contrary or (ii) on any Global Note by wire transfer of immediately available
funds to the account of the Depositary or its nominee. 
 (c)    Any Defaulted Amounts shall forthwith cease to be
payable to the Holder on the relevant payment date but shall accrue interest per annum at the rate borne by the Notes, subject to the enforceability thereof under applicable law, from, and including, such relevant payment date, and such Defaulted
Amounts together with such interest thereon shall be paid by the Company, at its election in each case, as provided in clause (i) or (ii) below: 

(i)    The Company may elect to make payment of any Defaulted Amounts to the Persons in whose names the
Notes (or their respective Predecessor Notes) are registered at the close of business on a special record date for the payment of such Defaulted Amounts, which shall be fixed in the manner set forth in the remainder of this Section 2.03(c)(i).
The Company shall notify the Trustee in writing of the amount of the Defaulted Amounts proposed to be paid on each Note and the date of the proposed payment (which shall be not less than 25 days after the receipt by the Trustee of such notice,
unless the Trustee shall consent to an earlier date), and at the same time the Company shall deposit with the Trustee an amount of money equal to the aggregate amount to be paid in respect of such Defaulted Amounts or shall make arrangements
satisfactory to the Trustee for such deposit on or prior to the date of the proposed payment, such money when deposited to be held in trust for the benefit of the Persons entitled to such Defaulted Amounts pursuant to this Section 2.03(c)(i).
Thereupon the Company shall fix a special record date for the payment of such Defaulted Amounts which shall be not more than 15 days and not less than 10 days prior to the date of the proposed payment, and not less than 10 days after the receipt by
the Trustee of the notice of the proposed payment (unless the Trustee shall consent to an earlier date). The Company shall promptly notify the Trustee in writing of such special record date and the Company, or the Trustee at the request of and in
the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Amounts and the special record date therefor to be delivered to each Holder not less than 10 days prior to such special record date. Notice of
the proposed payment of such Defaulted Amounts and the special record date therefor having been so delivered, such Defaulted Amounts shall be paid to the Persons in whose names the Notes (or their respective Predecessor Notes) are registered at the
close of business on such special record date and shall no longer be payable pursuant to the following clause (ii) of this Section 2.03(c). The Trustee shall have no responsibility whatsoever for the calculation of the Defaulted Amounts.

  
 16 

 (ii)    The Company may make payment of any Defaulted
Amounts in any other lawful manner not inconsistent with the requirements of any securities exchange or automated quotation system on which the Notes may be listed or designated for issuance, and upon such notice as may be required by such exchange
or automated quotation system, if, after notice given by the Company to the Trustee of the proposed payment pursuant to this clause, in such manner of payment as it may be deemed practicable by the Trustee. 

Section 2.04. Execution, Authentication and Delivery of Notes. The Notes shall be signed in the name and on behalf of the
Company by the manual, facsimile or other electronic signature of its Chief Executive Officer, President, Chief Financial Officer, Chief Accounting Officer, Treasurer, Secretary, any assistant Secretary or any of its Executive or Senior Vice
Presidents. 
 At any time and from time to time after the execution and delivery of this Indenture, the Company may deliver Notes executed
by the Company to the Trustee for authentication, together with a Company Order for the authentication and delivery of such Notes, and the Trustee in accordance with such Company Order shall authenticate and deliver such Notes, without any further
action by the Company hereunder; provided that the Trustee shall be entitled to receive an Officer’s Certificate and an Opinion of Counsel of the Company with respect to the issuance, authentication and delivery of such Notes. 

Only such Notes as shall bear thereon a certificate of authentication substantially in the form set forth on the Form of Note attached as
Exhibit A hereto, executed manually by an authorized officer of the Trustee (or an authenticating agent appointed by the Trustee as provided by Section 17.10), shall be entitled to the benefits of this Indenture or be valid or obligatory for
any purpose. Such certificate by the Trustee (or such an authenticating agent) upon any Note executed by the Company shall be conclusive evidence that the Note so authenticated has been duly authenticated and delivered hereunder and that the Holder
is entitled to the benefits of this Indenture. 
 In case any Officer of the Company who shall have signed any of the Notes shall cease to
be such Officer before the Notes so signed shall have been authenticated and delivered by the Trustee, or disposed of by the Company, such Notes nevertheless may be authenticated and delivered or disposed of as though the person who signed such
Notes had not ceased to be such Officer of the Company; and any Note may be signed on behalf of the Company by such persons as, at the actual date of the execution of such Note, shall be the Officers of the Company, although at the date of the
execution of this Indenture any such person was not such an Officer. 
 Section 2.05. Exchange and Registration of Transfer of
Notes; Restrictions on Transfer; Depositary. (a) The Company shall cause to be kept at the Corporate Trust Office a register (the register maintained in such office or in any other office or agency of the Company designated

  
 17 

 
pursuant to Section 4.02, the “Note Register”) in which, subject to such reasonable regulations as it may prescribe, the Company shall provide for the registration of Notes
and of transfers of Notes. Such register shall be in written form or in any form capable of being converted into written form within a reasonable period of time. The Trustee is hereby initially appointed the “Note Registrar” for the
purpose of registering Notes and transfers of Notes as herein provided. The Company may appoint one or more co-Note Registrars in accordance with Section 4.02. 

Upon surrender for registration of transfer of any Note to the Note Registrar or any co-Note
Registrar, and satisfaction of the requirements for such transfer set forth in this Section 2.05, the Company shall execute, and the Trustee shall authenticate and deliver, in the name of the designated transferee or transferees, one or more
new Notes of any Authorized Denominations and of a like aggregate principal amount and bearing such restrictive legends as may be required by this Indenture. 

Notes may be exchanged for other Notes of any Authorized Denominations and of a like aggregate principal amount, upon surrender of the Notes
to be exchanged at any such office or agency maintained by the Company pursuant to Section 4.02. Whenever any Notes are so surrendered for exchange, the Company shall execute, and the Trustee shall authenticate and deliver, the Notes that the
Holder making the exchange is entitled to receive, bearing registration numbers not contemporaneously outstanding. 
 All Notes presented or
surrendered for registration of transfer or for exchange, repurchase or conversion shall (if so required by the Company, the Trustee, the Note Registrar or any co-Note Registrar) be duly endorsed, or be accompanied by a written instrument or
instruments of transfer in form satisfactory to the Company and duly executed, by the Holder thereof or its attorney-in-fact duly authorized in writing. 

No service charge shall be imposed by the Company, the Trustee, the Note Registrar, any co-Note
Registrar or the Paying Agent for any exchange or registration of transfer of Notes, but the Company may require a Holder to pay a sum sufficient to cover any documentary, stamp or similar issue or transfer tax required in connection therewith as a
result of the name of the Holder of new Notes issued upon such exchange or registration of transfer being different from the name of the Holder of the old Notes surrendered for exchange or registration of transfer. 

None of the Company, the Trustee, the Note Registrar or any co-Note Registrar shall be required to
exchange or register a transfer of (i) any Notes surrendered for conversion or, if a portion of any Note is surrendered for conversion, such portion thereof surrendered for conversion, (ii) any Notes, or a portion of any Note, surrendered
for repurchase (and not withdrawn) in accordance with Article 15 or (iii) any Notes selected for redemption in accordance with Article 16, except the unredeemed portion of any Note being redeemed in part. 

All Notes issued upon any registration of transfer or exchange of Notes in accordance with this Indenture shall be the valid obligations of
the Company, evidencing the same debt, and entitled to the same benefits under this Indenture as the Notes surrendered upon such registration of transfer or exchange. 

  
 18 

 The Trustee shall have no obligation or duty to monitor, determine or inquire as to
compliance with any restrictions on transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note other than to require delivery of such certificates and other documentation or evidence as are
expressly required by, and to do so if and when expressly required by the terms of, this Indenture, and to examine the same to determine substantial compliance as to form with the express requirements hereof. 

(b)    So long as the Notes are eligible for book-entry settlement with the Depositary, unless otherwise required by law,
subject to the fourth paragraph from the end of Section 2.05(c) all Notes shall be represented by one or more Notes in global form (each, a “Global Note”) registered in the name of the Depositary or the nominee of the
Depositary. The transfer and exchange of beneficial interests in a Global Note that does not involve the issuance of a Physical Note shall be effected through the Depositary (but not the Trustee or the Custodian) in accordance with this Indenture
(including the restrictions on transfer set forth herein) and the procedures of the Depositary therefor. 
 (c)    Every
Note that bears or is required under this Section 2.05(c) to bear the legend set forth in this Section 2.05(c) (together with any Common Stock issued upon conversion of the Notes that is required to bear the legend set forth in
Section 2.05(d), collectively, the “Restricted Securities”) shall be subject to the restrictions on transfer set forth in this Section 2.05(c) (including the legend set forth below), unless such restrictions on transfer
shall be eliminated or otherwise waived by written consent of the Company, and the Holder of each such Restricted Security, by such Holder’s acceptance thereof, agrees to be bound by all such restrictions on transfer. As used in this
Section 2.05(c) and Section 2.05(d), the term “transfer” encompasses any sale, pledge, transfer or other disposition whatsoever of any Restricted Security (or any voting or economic rights thereto or any beneficial
interest therein). 
 Until the date (the “Resale Restriction Termination Date”) that is the later of (1) the date
that is one year after the Last Original Issue Date of the Notes, or such shorter period of time as permitted by Rule 144 or any successor provision thereto, and (2) such later date, if any, as may be required by applicable law, any certificate
evidencing such Note (and all securities issued in exchange therefor or substitution thereof, other than Common Stock, if any, issued upon conversion thereof, which shall bear the legend set forth in Section 2.05(d), if applicable) shall bear a
legend in substantially the following form (unless such Notes have been transferred pursuant to a registration statement that has become or been declared effective under the Securities Act and that continues to be effective at the time of such
transfer, or sold pursuant to the exemption from registration provided by Rule 144 or any similar provision then in force under the Securities Act, or unless otherwise agreed by the Company in writing, with written notice thereof to the Trustee):

 THIS SECURITY AND THE COMMON STOCK, IF ANY, ISSUABLE UPON CONVERSION OF THIS SECURITY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN 

  
 19 

 
ACCORDANCE WITH THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER: 

(1)    REPRESENTS THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL
BUYER” (WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT, AND 

(2)    AGREES FOR THE BENEFIT OF PARSONS CORPORATION (THE “COMPANY”) THAT IT WILL NOT
OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS SECURITY OR ANY BENEFICIAL INTEREST HEREIN PRIOR TO THE DATE THAT IS THE LATER OF (X) ONE YEAR AFTER THE LAST ORIGINAL ISSUE DATE HEREOF OR SUCH SHORTER PERIOD OF TIME AS PERMITTED BY RULE 144
UNDER THE SECURITIES ACT OR ANY SUCCESSOR PROVISION THERETO AND (Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED BY APPLICABLE LAW, EXCEPT: 

(A)    TO THE COMPANY OR ANY SUBSIDIARY THEREOF, OR 

(B)    PURSUANT TO A REGISTRATION STATEMENT THAT HAS BECOME EFFECTIVE UNDER THE SECURITIES ACT, OR 

(C)    TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, OR 

(D)    PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT OR ANY
OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 
 PRIOR TO THE REGISTRATION OF ANY TRANSFER IN
ACCORDANCE WITH CLAUSE (2)(D) ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED
TRANSFER IS BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 

No transfer of any Note prior to the Resale Restriction Termination Date will be registered by the Note Registrar unless the applicable box on
the Form of Assignment and Transfer has been checked. 
 Any Note (or security issued in exchange or substitution therefor) (i) as to
which such restrictions on transfer shall have expired in accordance with their terms, (ii) that has been transferred pursuant to a registration statement that has become effective or been declared

  
 20 

 
effective under the Securities Act and that continues to be effective at the time of such transfer or (iii) that has been sold pursuant to the exemption from registration provided by Rule
144 or any similar provision then in force under the Securities Act, may, upon surrender of such Note for exchange to the Note Registrar in accordance with the provisions of this Section 2.05, be exchanged for a new Note or Notes, of like tenor
and aggregate principal amount, which shall not bear the restrictive legend required by this Section 2.05(c) and shall not be assigned a restricted CUSIP number. The Company shall be entitled to instruct the Custodian in writing to so surrender
any Global Note as to which any of the conditions set forth in clause (i) through (iii) of the immediately preceding sentence have been satisfied, and, upon such instruction, the Custodian shall so surrender such Global Note for exchange; and
any new Global Note so exchanged therefor shall not bear the restrictive legend specified in this Section 2.05(c) and shall not be assigned a restricted CUSIP number. 

Without limiting the generality of any other provision of this Indenture, the restrictive legend required by this Section 2.05(c) affixed
to any Note will be deemed, pursuant to this Section 2.05(c) and the footnote to such legend in such Note, to be removed therefrom upon the Company’s delivery to the Trustee of notice, signed on behalf of the Company by one (1) of its
Officers, to such effect (and, for the avoidance of doubt, such notice need not be accompanied by an Officer’s Certificate or an Opinion of Counsel in order to be effective to cause such legend to be deemed to be removed from such Note). If
such Note bears a “restricted” CUSIP or ISIN number at the time of such delivery, then, upon such delivery, such Note will be deemed, pursuant to this Section 2.05(c) and the footnotes to the CUSIP and ISIN numbers set forth on the
face of the certificate representing such Note, to thereafter bear the “unrestricted” CUSIP and ISIN numbers identified in such footnotes; provided, however, that if such Note is a Global Note and the Depositary thereof
requires a mandatory exchange or other procedure to cause such Global Note to be identified by “unrestricted” CUSIP and ISIN numbers in the facilities of such Depositary, then (i) the Company will effect such exchange or procedure as
soon as reasonably practicable; and (ii) for purposes of Section 4.06, such Global Note will not be deemed to be identified by unrestricted CUSIP and ISIN numbers until such time as such exchange or procedure is effected. 

Notwithstanding any other provisions of this Indenture (other than the provisions set forth in this Section 2.05(c)), a Global Note may
not be transferred as a whole or in part except (i) by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or by the Depositary or any such nominee to a
successor Depositary or a nominee of such successor Depositary and (ii) for exchange of a Global Note or a portion thereof for one or more Physical Notes in accordance with the second immediately succeeding paragraph. 

The Depositary shall be a clearing agency registered under the Exchange Act. The Company initially appoints The Depository Trust Company to
act as Depositary with respect to each Global Note. Initially, each Global Note shall be issued to the Depositary, registered in the name of Cede & Co., as the nominee of the Depositary, and deposited with the Trustee as custodian for
Cede & Co. 

  
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 If (i) the Depositary notifies the Company at any time that the Depositary is unwilling
or unable to continue as depositary for the Global Notes and a successor depositary is not appointed within 90 days, (ii) the Depositary ceases to be registered as a clearing agency under the Exchange Act and a successor depositary is not
appointed within 90 days or (iii) an Event of Default with respect to the Notes has occurred and is continuing and a beneficial owner of any Note requests that its beneficial interest therein be issued as a Physical Note, the Company shall
execute, and the Trustee, upon receipt of an Officer’s Certificate, an Opinion of Counsel and a Company Order for the authentication and delivery of Notes, shall authenticate and deliver (x) in the case of clause (iii), a Physical Note to
such beneficial owner in a principal amount equal to the principal amount of such Note corresponding to such beneficial owner’s beneficial interest and (y) in the case of clause (i) or (ii), Physical Notes to each beneficial owner of
the related Global Notes (or a portion thereof) in an aggregate principal amount equal to the aggregate principal amount of such Global Notes in exchange for such Global Notes, and upon delivery of the interests in the Global Notes to the Trustee
such interests in the Global Notes shall be canceled. 
 Physical Notes issued in exchange for all or a part of the Global Note pursuant to
this Section 2.05(c) shall be registered in such names and in such Authorized Denominations as the Depositary, pursuant to instructions from its direct or indirect participants or otherwise, or, in the case of clause (iii) of the
immediately preceding paragraph, the relevant beneficial owner, shall instruct the Trustee. Upon execution and authentication, the Trustee shall deliver such Physical Notes to the Persons in whose names such Physical Notes are so registered. 

At such time as all interests in a Global Note have been converted, canceled, repurchased, redeemed or transferred, such Global Note shall be,
upon receipt thereof, canceled by the Trustee in accordance with standing procedures and existing instructions between the Depositary and the Custodian. At any time prior to such cancellation, if any interest in a Global Note is exchanged for
Physical Notes, converted, canceled, repurchased, redeemed or transferred to a transferee who receives Physical Notes therefor or any Physical Note is exchanged or transferred for part of such Global Note, the principal amount of such Global Note
shall, in accordance with the standing procedures and instructions existing between the Depositary and the Custodian, be appropriately reduced or increased, as the case may be, and an endorsement shall be made on such Global Note, by the Trustee or
the Custodian, at the direction of the Trustee, to reflect such reduction or increase. 
 None of the Company, the Trustee (including in its
capacity as Paying Agent) or any agent of the Company or the Trustee shall have any responsibility or liability for the payment of amounts to owners of a beneficial interest in a Global Note, for any aspect of the records relating to or payments
made on account of beneficial ownership interests of a Global Note or maintaining, supervising or reviewing any records relating to such beneficial ownership interests. 

Neither the Company nor the Trustee shall have any responsibility or liability for any act or omission of the Depositary. All notices and
communications to be given to the Holders and all payments to be made to Holders in respect of the Notes shall be given or made only to, or upon the order of, the registered Holder(s) (which shall be the Depositary or its nominee in the case of a
Global Note). 

  
 22 

 The rights of beneficial owners in any Global Note shall be exercised only through the
Depositary subject to the applicable procedures of the Depositary. The Trustee may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its members, participants and any beneficial owners. 

(d)    Until the Resale Restriction Termination Date, any stock certificate representing Common Stock issued upon
conversion of a Note shall bear a legend in substantially the following form (unless such Common Stock has been transferred pursuant to a registration statement that has become or been declared effective under the Securities Act and that continues
to be effective at the time of such transfer, or pursuant to the exemption from registration provided by Rule 144 or any similar provision then in force under the Securities Act, or such Common Stock has been issued upon conversion of a Note that
has been transferred pursuant to a registration statement that has become or been declared effective under the Securities Act and that continues to be effective at the time of such transfer, or pursuant to the exemption from registration provided by
Rule 144 or any similar provision then in force under the Securities Act, or unless otherwise agreed by the Company with written notice thereof to the Trustee and any transfer agent for the Common Stock): 

THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE
OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER: 

(1)    REPRESENTS THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL
BUYER” (WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT, AND 

(2)    AGREES FOR THE BENEFIT OF PARSONS CORPORATION (THE “COMPANY”) THAT IT WILL NOT
OFFER, SELL, PLEDGE OR OTHERWISE TRANSFER THIS SECURITY OR ANY BENEFICIAL INTEREST HEREIN PRIOR TO THE DATE THAT IS THE LATER OF (X) ONE YEAR AFTER THE LAST ORIGINAL ISSUE DATE OF THE SERIES OF NOTES UPON THE CONVERSION OF WHICH THIS SECURITY
WAS ISSUED OR SUCH SHORTER PERIOD OF TIME AS PERMITTED BY RULE 144 UNDER THE SECURITIES ACT OR ANY SUCCESSOR PROVISION THERETO AND (Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED BY APPLICABLE LAW, EXCEPT: 

(A)    TO THE COMPANY OR ANY SUBSIDIARY THEREOF, OR 

(B)    PURSUANT TO A REGISTRATION STATEMENT THAT HAS BECOME EFFECTIVE UNDER THE SECURITIES ACT, OR 

  
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 (C)    TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE
WITH RULE 144A UNDER THE SECURITIES ACT, OR 
 (D)    PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED
BY RULE 144 UNDER THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 
 PRIOR TO
THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH CLAUSE (2)(D) ABOVE, THE COMPANY AND THE TRANSFER AGENT FOR THE COMPANY’S COMMON STOCK RESERVE THE RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS MAY
REASONABLY BE REQUIRED IN ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS BEING MADE IN COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM
THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 
 Any such Common Stock (i) as to which such restrictions on transfer shall have
expired in accordance with their terms, (ii) that has been transferred pursuant to a registration statement that has become or been declared effective under the Securities Act and that continues to be effective at the time of such transfer or
(iii) that has been sold pursuant to the exemption from registration provided by Rule 144 or any similar provision then in force under the Securities Act, may, upon surrender of the certificates representing such shares of Common Stock for
exchange in accordance with the procedures of the transfer agent for the Common Stock, be exchanged for a new certificate or certificates for a like aggregate number of shares of Common Stock, which shall not bear the restrictive legend required by
this Section 2.05(d). 
 (e)    Any Note or Common Stock issued upon the conversion or exchange of a Note that is
repurchased or owned by any Affiliate of the Company (or any Person who was an Affiliate of the Company at any time during the three months immediately preceding) may not be resold by such Affiliate (or such Person, as the case may be) unless
registered under the Securities Act or resold pursuant to an exemption from the registration requirements of the Securities Act in a transaction that results in such Note or Common Stock, as the case may be, no longer being a “restricted
security” (as defined under Rule 144). The Company shall cause any Note that is repurchased or owned by it to be surrendered to the Trustee for cancellation in accordance with Section 2.08. 

(f)    Notwithstanding anything contained herein to the contrary, neither the Trustee nor the Note Registrar shall be
responsible for ascertaining whether any transfer complies with the registration provisions of, or exemptions from, the Securities Act, applicable state securities laws or other applicable law. 

  
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 (g)    Neither the Trustee nor any agent shall have any responsibility
or liability for any actions taken or not taken by the Depositary, and may assume performance absent written notice to the contrary. 

Section 2.06. Mutilated, Destroyed, Lost or Stolen Notes. In case any Note shall become mutilated or be destroyed, lost or stolen,
the Company in its discretion may execute, and upon receipt of a Company Order, the Trustee or an authenticating agent appointed by the Trustee shall authenticate and deliver, a new Note, bearing a registration number not contemporaneously
outstanding, in exchange and substitution for the mutilated Note, or in lieu of and in substitution for the Note so destroyed, lost or stolen. In every case the applicant for a substituted Note shall furnish to the Company, to the Trustee and, if
applicable, to such authenticating agent such security or indemnity as may be required by them to save each of them harmless from any loss, liability, cost or expense caused by or connected with such substitution, and, in every case of destruction,
loss or theft, the applicant shall also furnish to the Company, to the Trustee and, if applicable, to such authenticating agent evidence to their satisfaction of the destruction, loss or theft of such Note and of the ownership thereof. 

The Trustee or such authenticating agent may authenticate any such substituted Note and deliver the same upon the receipt of such security or
indemnity as the Trustee, the Company and, if applicable, such authenticating agent may require. No service charge shall be imposed by the Company, the Trustee, the Note Registrar, any co-Note Registrar or the
Paying Agent upon the issuance of any substitute Note, but the Company may require a Holder to pay a sum sufficient to cover any documentary, stamp or similar issue or transfer tax required in connection therewith as a result of the name of the
Holder of the new substitute Note being different from the name of the Holder of the old Note that became mutilated or was destroyed, lost or stolen. In case any Note that has matured or is about to mature or has been surrendered for required
repurchase or is about to be converted in accordance with Article 14 shall become mutilated or be destroyed, lost or stolen, the Company may, in its sole discretion, instead of issuing a substitute Note, pay or authorize the payment of or convert or
authorize the conversion of the same (without surrender thereof except in the case of a mutilated Note), as the case may be, if the applicant for such payment or conversion shall furnish to the Company, to the Trustee and, if applicable, to such
authenticating agent such security or indemnity as may be required by them to save each of them harmless for any loss, liability, cost or expense caused by or connected with such substitution, and, in every case of destruction, loss or theft,
evidence satisfactory to the Company, the Trustee and, if applicable, any Paying Agent or Conversion Agent evidence of their satisfaction of the destruction, loss or theft of such Note and of the ownership thereof. 

Every substitute Note issued pursuant to the provisions of this Section 2.06 by virtue of the fact that any Note is destroyed, lost or
stolen shall constitute an additional contractual obligation of the Company, whether or not the destroyed, lost or stolen Note shall be found at any time, and shall be entitled to all the benefits of (but shall be subject to all the limitations set
forth in) this Indenture equally and proportionately with any and all other Notes duly issued hereunder. To the extent permitted by law, all Notes shall be held and owned upon the express condition that the foregoing provisions are exclusive with
respect to the replacement, payment, redemption, conversion or repurchase of mutilated, destroyed, lost or stolen Notes and shall 

  
 25 

 
preclude any and all other rights or remedies notwithstanding any law or statute existing or hereafter enacted to the contrary with respect to the replacement, payment, redemption, conversion or
repurchase of negotiable instruments or other securities without their surrender. 
 Section 2.07. Temporary Notes. Pending the
preparation of Physical Notes, the Company may execute and the Trustee or an authenticating agent appointed by the Trustee shall, upon receipt of a Company Order, authenticate and deliver temporary Notes (printed or lithographed). Temporary Notes
shall be issuable in any Authorized Denomination, and substantially in the form of the Physical Notes but with such omissions, insertions and variations as may be appropriate for temporary Notes, all as may be determined by the Company. Every such
temporary Note shall be executed by the Company and authenticated by the Trustee or such authenticating agent upon the same conditions and in substantially the same manner, and with the same effect, as the Physical Notes. Without unreasonable delay,
the Company shall execute and deliver to the Trustee or such authenticating agent Physical Notes (other than any Global Note) and thereupon any or all temporary Notes (other than any Global Note) may be surrendered in exchange therefor, at each
office or agency maintained by the Company pursuant to Section 4.02 and the Trustee or such authenticating agent shall authenticate and deliver in exchange for such temporary Notes an equal aggregate principal amount of Physical Notes. Such
exchange shall be made by the Company at its own expense and without any charge therefor. Until so exchanged, the temporary Notes shall in all respects be entitled to the same benefits and subject to the same limitations under this Indenture as
Physical Notes authenticated and delivered hereunder. 
 Section 2.08. Cancellation of Notes Paid, Converted, Etc. The Company
shall cause all Notes surrendered for the purpose of payment, repurchase, redemption, registration of transfer or exchange or conversion, if surrendered to any Person other than the Trustee (including any of the Company’s agents, Subsidiaries
or Affiliates), to be surrendered to the Trustee for cancellation. Concurrently with surrendering such Notes to the Trustee, the Company shall deliver a cancellation order to the Trustee. All Notes delivered to the Trustee in accordance with this
Section 2.08 shall be canceled promptly by it in accordance with its customary procedures upon receipt of a written cancellation order from the Company. Except for any Notes surrendered for registration of transfer or exchange, or as otherwise
expressly permitted by any of the provisions of this Indenture, no Notes shall be authenticated in exchange for any Notes surrendered to the Trustee for cancellation. The Trustee shall dispose of canceled Notes in accordance with its customary
procedures and, after such disposition, shall deliver a certificate of such disposition to the Company, at the Company’s written request in a Company Order. 

Section 2.09. CUSIP Numbers. The Company in issuing the Notes may use CUSIP numbers (if then generally in use), and, if so, the
Company and/or the Trustee shall use CUSIP numbers in all notices issued to Holders as a convenience to such Holders; provided that any such notice may state that no representation is made as to the correctness of such numbers either as
printed on the Notes or on such notice and that reliance may be placed only on the other identification numbers printed on the Notes. The Company shall promptly notify the Trustee in writing of any change in the CUSIP numbers. 

  
 26 

 Section 2.10. Additional Notes; Repurchases. The Company may, without the
consent of the Holders and notwithstanding Section 2.01, reopen this Indenture and issue additional Notes hereunder with the same terms as the Notes initially issued hereunder (other than differences in the issue date, the issue price and
interest accrued prior to the issue date of such additional Notes) in an unlimited aggregate principal amount; provided that if any such additional Notes are not fungible with the Notes initially issued hereunder for U.S. federal income tax
or securities law purposes, such additional Notes shall have a separate CUSIP number. For the avoidance of doubt, notwithstanding any other provision of this Indenture to the contrary, for purposes of Section 4.06(d) and Section 4.06(e),
in the event additional Notes are issued pursuant to this Section 2.10, references to the “Last Original Issue Date” of the Notes with respect to such additional Notes shall refer only to such additional Notes. Prior to the issuance
of any such additional Notes, the Company shall deliver to the Trustee a Company Order, an Officer’s Certificate and an Opinion of Counsel which such Opinion of Counsel shall state that such Notes, when authenticated and delivered by the
Trustee and issued by the Company in the manner and subject to any conditions specified in such Opinion of Counsel, will constitute valid and legally binding obligations of the Company, enforceable in accordance with their terms, subject to
bankruptcy, insolvency, reorganization and other laws of general applicability relating to or affecting the enforcement of creditors’ rights and to general equity principles. 

In addition, the Company may, to the extent permitted by law, and directly or indirectly (regardless of whether such Notes are surrendered to
the Company), repurchase Notes in the open market or otherwise, whether by the Company or its Subsidiaries or through a private or public tender or exchange offer or through counterparties to private agreements, including by cash-settled swaps or
other cash-settled derivatives, in each case, without prior notice to the Holders. The Company shall cause any Notes so repurchased (other than Notes repurchased pursuant to cash-settled swaps or other cash-settled derivatives) to be surrendered to
the Trustee for cancellation in accordance with Section 2.08 and such Notes shall no longer be considered outstanding under this Indenture upon their cancellation, and the Trustee, upon receipt of a cancellation order, shall cancel all Notes so
surrendered. 
 ARTICLE 3 

SATISFACTION AND DISCHARGE 

Section 3.01. Satisfaction and Discharge. This Indenture shall upon request of the Company contained in an Officer’s
Certificate cease to be of further effect, and the Trustee, at the expense of the Company, shall execute such instruments reasonably requested by the Company acknowledging satisfaction and discharge of this Indenture, when (a) (i) all Notes
theretofore authenticated and delivered (other than Notes which have been destroyed, lost or stolen and which have been replaced, paid or converted as provided in Section 2.06) have been delivered to the Trustee for cancellation; or
(ii) the Company has deposited with the Trustee or, in the case of shares of Common Stock, the Company has delivered to Holders, as applicable, after the Notes have become due and payable, whether on the Maturity Date, any Redemption Date, any
Fundamental Change Repurchase Date, upon conversion or otherwise, cash (or cash, shares of Common Stock (or other Reference Property) or a combination thereof, as applicable, 

  
 27 

 
solely to satisfy the Company’s Conversion Obligation) sufficient to pay all of the outstanding Notes and all other sums due and payable under this Indenture by the Company; and (b) the
Company has delivered to the Trustee an Officer’s Certificate and an Opinion of Counsel, each stating that all conditions precedent herein provided for relating to the satisfaction and discharge of this Indenture have been complied with.
Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the Company to the Trustee under Article 7 shall survive in accordance with the terms thereof. 

ARTICLE 4 

PARTICULAR COVENANTS OF THE COMPANY 

Section 4.01. Payment of Principal and Interest. The Company covenants and agrees that it will cause to be paid the principal
(including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, and accrued and unpaid interest on, each of the Notes at the places, at the respective times and in the manner provided herein and in the Notes. 

Section 4.02. Maintenance of Office or Agency. The Company will maintain in the continental United States, an office or agency
where the Notes may be surrendered for registration of transfer or exchange or for presentation for payment or repurchase (“Paying Agent”) or for conversion (“Conversion Agent”) and where notices and demands to or
upon the Company in respect of the Notes and this Indenture may be made. The Company will give prompt written notice to the Trustee of the location, and any change in the location, of such office or agency. If at any time the Company shall fail to
maintain any such required office or agency or shall fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices and demands may be made or served at the Corporate Trust Office or the office or agency of the Trustee
in the continental United States. 
 The Company may also from time to time designate as co-Note
Registrars one or more other offices or agencies where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations; provided that no such designation or rescission shall in any
manner relieve the Company of its obligation to maintain an office or agency in the continental United States, for such purposes. The Company will give prompt written notice to the Trustee of any such designation or rescission and of any change in
the location of any such other office or agency. The terms “Paying Agent” and “Conversion Agent” include any such additional or other offices or agencies, as applicable. 

The Company hereby initially designates the Trustee as the Paying Agent, Note Registrar, Custodian and Conversion Agent and the Corporate
Trust Office as the office or agency in the continental United States, where Notes may be surrendered for registration of transfer or exchange or for presentation for payment or repurchase or for conversion and where notices and demands in respect
of the Notes and this Indenture may be made; provided that the Corporate Trust Office shall not be a place for service of legal process on the Company. 

  
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 Section 4.03. Appointments to Fill Vacancies in Trustee’s
Office. The Company, whenever necessary to avoid or fill a vacancy in the office of Trustee, will appoint, in the manner provided in Section 7.09, a Trustee, so that there shall at all times be a Trustee hereunder. 

Section 4.04. Provisions as to Paying Agent. (a) If the Company shall appoint a Paying Agent other than the Trustee, the
Company will cause such Paying Agent to execute and deliver to the Trustee an instrument in which such agent shall agree with the Trustee, subject to the provisions of this Section 4.04: 

(i)    that it will hold all sums held by it as such agent for the payment of the principal (including the
Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, and accrued and unpaid interest on, the Notes in trust for the benefit of the Holders of the Notes; 

(ii)    that it will give the Trustee prompt written notice of any failure by the Company to make any
payment of the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, and accrued and unpaid interest on, the Notes when the same shall be due and payable; and 

(iii)    that at any time during the continuance of an Event of Default, upon request of the Trustee, it
will forthwith pay to the Trustee all sums so held in trust. 
 The Company shall, on or before each due date of the principal (including
the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, or accrued and unpaid interest on, the Notes, deposit with the Paying Agent a sum in immediately available U.S. Dollars sufficient to pay such principal (including
the Redemption Price and the Fundamental Change Repurchase Price, if applicable) or accrued and unpaid interest, and (unless such Paying Agent is the Trustee) the Company will promptly notify the Trustee in writing of any failure to take such
action; provided that if such deposit is made on the due date, such deposit must be received by the Paying Agent by 11:00 a.m., New York City time, on such date. 

(b)    If the Company shall act as its own Paying Agent, it will, on or before each due date of the principal (including
the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, and accrued and unpaid interest on, the Notes, set aside, segregate and hold in trust for the benefit of the Holders of the Notes a sum sufficient to pay such
principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) and accrued and unpaid interest so becoming due and will promptly notify the Trustee in writing of any failure to take such action and of any
failure by the Company to make any payment of the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, or accrued and unpaid interest on, the Notes when the same shall become due and payable. 

(c)    Anything in this Section 4.04 to the contrary notwithstanding, the Company may, at any time, for the purpose
of obtaining a satisfaction and discharge of this Indenture, or for any other reason, pay, cause to be paid or deliver to the Trustee all sums or amounts held in trust by the Company or any Paying Agent hereunder as required by this
Section 4.04, such sums or 

  
 29 

 
amounts to be held by the Trustee upon the trusts herein contained and upon such payment or delivery by the Company or any Paying Agent to the Trustee, the Company or such Paying Agent shall be
released from all further liability but only with respect to such sums or amounts. Upon the occurrence of any event specified in Section 6.01(i) or Section 6.01(j), the Trustee shall automatically become the Paying Agent. 

(d)    Subject to applicable law, any money or property deposited with the Trustee, the Conversion Agent or any Paying
Agent, or any money and shares of Common Stock then held by the Company, in trust for the payment of the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, accrued and unpaid interest on and the
consideration due upon conversion of any Note and remaining unclaimed for two years after such principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable), interest or consideration due upon conversion has
become due and payable shall be paid to the Company on request of the Company contained in an Officer’s Certificate, or (if then held by the Company) shall be discharged from such trust and the Trustee shall have no further liability with
respect to such fund or property; and the Holder of such Note shall thereafter, as an unsecured general creditor, look only to the Company for payment thereof, and all liability of the Trustee, the Conversion Agent or such Paying Agent with respect
to such trust money, and all liability of the Company as trustee thereof, shall thereupon cease; provided, however, that the Trustee, the Conversion Agent or such Paying Agent, before being required to make any such repayment, shall at
the expense of the Company cause to be published once, in a newspaper published in the English language, customarily published on each Business Day and of general circulation in The Borough of Manhattan, The City of New York, notice that such money
and shares of Common Stock remains unclaimed and that, after a date specified therein, which shall not be less than 30 days from the date of such publication, any unclaimed balance of such money and shares of Common Stock then remaining will be
repaid or delivered to the Company. 
 Section 4.05. Existence. Subject to Article 11, the Company shall do or cause to be done
all things necessary to preserve and keep in full force and effect its corporate existence. 
 Section 4.06. Rule 144A Information
Requirement and Annual Reports. (a) At any time the Company is not subject to Section 13 or 15(d) of the Exchange Act, the Company shall, so long as any of the Notes or any shares of Common Stock issuable upon conversion thereof shall,
at such time, constitute “restricted securities” within the meaning of Rule 144(a)(3) under the Securities Act, promptly provide to the Trustee and, upon written request, any Holder, beneficial owner or prospective purchaser of such Notes
or any shares of Common Stock issuable upon conversion of such Notes, the information required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act to facilitate the resale of such Notes or shares of Common Stock pursuant to Rule
144A. 
 (b)    The Company shall deliver to the Trustee, within 15 days after the same are required to be filed with
the Commission (after giving effect to any grace period provided by Rule 12b-25 under the Exchange Act), copies of any documents or reports that the Company is required to file with the Commission pursuant to
Section 13 or 15(d) of the Exchange Act 

  
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(excluding any such information, documents or reports, or portions thereof, subject to, or with respect to which the Company is actively seeking, confidential treatment and any correspondence
with the Commission). Any such document or report that the Company files with the Commission via the Commission’s EDGAR system shall be deemed to be delivered to the Trustee for purposes of this Section 4.06(b) at the time such documents
are filed via the EDGAR system (or any successor thereto), it being understood that the Trustee shall not be responsible for determining whether such filings have been made. 

(c)    Delivery of the reports and documents described in subsection (b) above to the Trustee is for informational
purposes only, and the Trustee’s receipt of such shall not constitute constructive notice of any information contained therein or determinable from information contained therein, including the Company’s compliance with any of its covenants
hereunder (as to which the Trustee is entitled to conclusively rely on Officer’s Certificates). The Trustee shall have no liability or responsibility for the filing, timeliness or content of any such report or document. 

(d)    If, at any time during the six-month period beginning on, and including,
the date that is six months after the Last Original Issue Date of any Notes, the Company fails to timely file any document or report that it is required to file with the Commission pursuant to Section 13 or 15(d) of the Exchange Act, as
applicable (after giving effect to all applicable grace periods thereunder and other than reports on Form 8-K), or such Notes are not otherwise freely tradable pursuant to Rule 144 by Holders other than the
Company’s Affiliates or Holders that were the Company’s Affiliates at any time during the three months immediately preceding (as a result of restrictions pursuant to U.S. securities laws or the terms of this Indenture or such Notes (other
than any restrictive legends on the Notes issued on the date hereof)), the Company shall pay Additional Interest on such Notes. Such Additional Interest shall accrue on the Notes at the rate of 0.50% per annum of the principal amount of such Notes
outstanding for each day during such period for which the Company’s failure to file has occurred and is continuing or such Notes are not otherwise freely tradable pursuant to Rule 144 by Holders other than the Company’s Affiliates (or
Holders that were the Company’s Affiliates at any time during the three months immediately preceding). As used in this Section 4.06(d), documents or reports that the Company is required to “file” with the Commission pursuant to
Section 13 or 15(d) of the Exchange Act does not include documents or reports that the Company furnishes to the Commission pursuant to Section 13 or 15(d) of the Exchange Act. 

(e)    If, and for so long as, the restrictive legend on any Notes specified in Section 2.05(c) has not been removed,
such Notes are assigned a restricted CUSIP or such Notes are not otherwise freely tradable pursuant to Rule 144 by Holders other than the Company’s Affiliates or Holders that were the Company’s Affiliates at any time during the three
months immediately preceding (without restrictions pursuant to U.S. securities laws or the terms of this Indenture or the Notes) as of the De-Legending Deadline Date for such Notes, the Company shall pay
Additional Interest on such Notes at a rate equal to 0.50% per annum of the principal amount of such Notes outstanding until the restrictive legend on such Notes has been removed in accordance with Section 2.05(c), such Notes are assigned an
unrestricted CUSIP and such Notes are freely tradable pursuant to Rule 144 by Holders other than the Company’s Affiliates (or Holders that were the Company’s Affiliates at any time during the three months immediately preceding) without
restrictions pursuant to U.S. securities laws or the terms of this Indenture or the Notes. 

  
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 (f)    Additional Interest will be payable in arrears on each Interest
Payment Date following accrual in the same manner as regular interest on the Notes. 
 (g)    The Additional Interest
that is payable in accordance with Section 4.06(d) or Section 4.06(e) shall be in addition to, and not in lieu of, any Additional Interest that may be payable as a result of the Company’s election pursuant to Section 6.03.
However, in no event shall any Additional Interest that may accrue as a result of the Company’s failure to timely file any document or report that it is required to file with the Commission pursuant to Section 13 or 15(d) of the Exchange
Act, as applicable, after giving effect to all applicable grace periods thereunder and other than reports on Form 8-K), as described in Section 4.06(d), together with any Additional Interest payable at
the Company’s election as the remedy for an Event of Default relating to the Company’s failure to comply with its obligations as set forth in Section 4.06(b), accrue at a rate in excess of 0.50% per annum pursuant to this Indenture,
regardless of the number of events or circumstances giving rise to the requirement to pay such Additional Interest. 

(h)    If Additional Interest is payable by the Company pursuant to Section 4.06(d) or Section 4.06(e), the
Company shall deliver to the Trustee, no later than five Business Days prior to the applicable payment date, an Officer’s Certificate to that effect stating (i) the amount of such Additional Interest that is payable and (ii) the date
on which such Additional Interest is payable. Unless and until a Responsible Officer of the Trustee receives at the Corporate Trust Office such a certificate, the Trustee may assume without inquiry that no such Additional Interest is payable and the
Trustee shall not have any duty to verify the Company’s calculation of Additional Interest. If the Company has paid Additional Interest directly to the Persons entitled to it, the Company shall deliver to the Trustee an Officer’s
Certificate setting forth the particulars of such payment. 
 Section 4.07. Stay, Extension and Usury Laws. The Company
covenants (to the extent that it may lawfully do so) that it shall not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law or other law that would prohibit or
forgive the Company from paying all or any portion of the principal of or interest on the Notes as contemplated herein, wherever enacted, now or at any time hereafter in force, or that may affect the covenants or the performance of this Indenture;
and the Company (to the extent it may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and covenants that it will not, by resort to any such law, hinder, delay or impede the execution of any power herein granted to
the Trustee, but will suffer and permit the execution of every such power as though no such law had been enacted. 
 Section 4.08.
Compliance Certificate; Statements as to Defaults. The Company shall deliver to the Trustee at its Corporate Trust Office, within 120 days after the end of each fiscal year of the Company (beginning with the fiscal year ending on
December 31, 2020) an Officer’s Certificate stating whether the signers thereof have knowledge of any Event of Default or Default that occurred during the previous year and, if so, specifying each such Event of Default or Default and the
nature thereof. 

  
 32 

 In addition, the Company shall deliver to the Trustee at its Corporate Trust Office, within
30 days after the occurrence of any Event of Default or Default, an Officer’s Certificate setting forth the details of such Event of Default or Default, its status and the action that the Company is taking or proposing to take in respect
thereof. 
 Section 4.09. Further Instruments and Acts. Upon request of the Trustee, Paying Agent, or Conversion Agent, the
Company will execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purposes of this Indenture. 

ARTICLE 5 
 LISTS
OF HOLDERS AND REPORTS BY THE COMPANY AND THE TRUSTEE 

Section 5.01. Lists of Holders. The Company covenants and agrees that it will furnish or cause to be furnished to the Trustee,
semi-annually, not more than 15 days after each February 1 and August 1 in each year beginning with February 1, 2021, and at such other times as the Trustee may request in writing, within 30 days after receipt by the Company of any
such request (or such lesser time as the Trustee may reasonably request in order to enable it to timely provide any notice to be provided by it hereunder), a list in such form as the Trustee may reasonably require of the names and addresses of the
Holders as of a date not more than 15 days (or such other date as the Trustee may reasonably request in order to so provide any such notices) prior to the time such information is furnished, except that no such list need be furnished so long as the
Trustee is acting as Note Registrar. 
 Section 5.02. Preservation and Disclosure of Lists. The Trustee shall preserve, in as
current a form as is reasonably practicable, all information as to the names and addresses of the Holders contained in the most recent list furnished to it as provided in Section 5.01 or maintained by the Trustee in its capacity as Note
Registrar, if so acting. The Trustee may destroy any list furnished to it as provided in Section 5.01 upon receipt of a new list so furnished. 

ARTICLE 6 
 DEFAULTS
AND REMEDIES 
 Section 6.01. Events of Default. Each of the following events shall be an
“Event of Default” with respect to the Notes: 
 (a)    default in any payment of interest on any Note
when due and payable, and the default continues for a period of 30 days; 
 (b)    default in the payment of principal
of any Note when due and payable on the Maturity Date, upon Optional Redemption, upon any required repurchase, upon declaration of acceleration or otherwise; 

  
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 (c)    failure by the Company to comply with its obligation to convert
the Notes in accordance with this Indenture upon exercise of a Holder’s conversion right and such failure continues for a period of three Business Days; 

(d)    failure by the Company to issue (i) a Fundamental Change Company Notice in accordance with
Section 15.02(c) or notice of a specified corporate transaction in accordance with Section 14.01(b)(iii), in each case when due and such failure continues for a period of five Business Days or (ii) notice of a specified corporate
transaction in accordance with Section 14.01(b)(ii) when due; 
 (e)    failure by the Company to comply with its
obligations under Article 11; 
 (f)    failure by the Company for 60 days after written notice from the Trustee or the
Holders of at least 25% in principal amount of the Notes then outstanding has been received by the Company to comply with any of its other agreements contained in the Notes or this Indenture; 

(g)    default by the Company or any Material Subsidiary 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 $25,000,000 (or its foreign currency equivalent) in the aggregate of the Company and/or any such Material Subsidiary,
whether such indebtedness now exists or shall hereafter be created (i) resulting in such indebtedness becoming or being declared due and payable or (ii) constituting a failure to pay the principal or interest of any such indebtedness when
due and payable at its stated maturity, upon required repurchase, upon declaration of acceleration or otherwise, in each case where such default is not cured or waived within 30 days after notice to the Company by the Trustee or to the Company and
the Trustee by Holders of at least 25% of the aggregate principal amount of Notes then outstanding; 
 (h)    a final
judgment or judgments for the payment of $40,000,000 (or its foreign currency equivalent) or more (excluding any amounts covered by insurance) in the aggregate rendered against the Company or any Material Subsidiary, which judgment is not
discharged, bonded, paid, waived or stayed within 60 days after (i) the date on which the right to appeal thereof has expired if no such appeal has commenced, or (ii) the date on which all rights to appeal have been extinguished; 

(i)    the Company or any Material Subsidiary shall commence a voluntary case or other proceeding seeking liquidation,
reorganization or other relief with respect to the Company or any such Material Subsidiary or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect or seeking the appointment of a trustee, receiver, liquidator,
custodian or other similar official of the Company or any such Material Subsidiary or any substantial part of its property, or shall consent to any such relief or to the appointment of or taking possession by any such official in an involuntary case
or other proceeding commenced against it, or shall make a general assignment for the benefit of creditors, or shall fail generally to pay its debts as they become due; or 

  
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 (j)    an involuntary case or other proceeding shall be commenced
against the Company or any Material Subsidiary seeking liquidation, reorganization or other relief with respect to the Company or such Material Subsidiary or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect
or seeking the appointment of a trustee, receiver, liquidator, custodian or other similar official of the Company or such Material Subsidiary or any substantial part of its property, and such involuntary case or other proceeding shall remain
undismissed and unstayed for a period of 60 consecutive days. 
 Section 6.02. Acceleration; Rescission and Annulment. If one or
more Events of Default shall have occurred and be continuing (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court
or any order, rule or regulation of any administrative or governmental body), then, and in each and every such case (other than an Event of Default specified in Section 6.01(i) or Section 6.01(j) with respect to the Company), unless the
principal of all of the Notes shall have already become due and payable, either the Trustee or the Holders of at least 25% in aggregate principal amount of the Notes then outstanding determined in accordance with Section 8.04, by notice in
writing to the Company (and to the Trustee if given by Holders), may declare 100% of the principal of, and accrued and unpaid interest on, all the Notes to be due and payable immediately, and upon any such declaration the same shall become and shall
automatically be immediately due and payable, anything contained in this Indenture or in the Notes to the contrary notwithstanding. If an Event of Default specified in Section 6.01(i) or Section 6.01(j) with respect to the Company (and not
involving solely one or more of its Material Subsidiaries) occurs and is continuing, 100% of the principal of, and accrued and unpaid interest, if any, on, all Notes shall become and shall automatically be immediately due and payable. 

The immediately preceding paragraph, however, is subject to the conditions that if, at any time after the principal of the Notes shall have
been so declared due and payable, and before any judgment or decree for the payment of the monies due shall have been obtained or entered as hereinafter provided, the Company shall pay or shall deposit with the Trustee a sum sufficient to pay
installments of accrued and unpaid interest upon all Notes and the principal of any and all Notes that shall have become due otherwise than by acceleration (with interest on overdue installments of accrued and unpaid interest to the extent that
payment of such interest is enforceable under applicable law, and on such principal at the rate borne by the Notes at such time) and amounts due to the Trustee pursuant to Section 7.06, and if (1) rescission would not conflict with any
judgment or decree of a court of competent jurisdiction and (2) any and all existing Events of Default, other than the nonpayment of the principal of and accrued and unpaid interest, if any, on Notes that shall have become due solely by such
acceleration, shall have been cured or waived pursuant to Section 6.09, then and in every such case (except as provided in the immediately succeeding sentence) the Holders of a majority in aggregate principal amount of the Notes then
outstanding, by written notice to the Company and to the Trustee, may waive all Defaults or Events of Default with respect to the Notes and rescind and annul such declaration and its consequences and such Default shall cease to exist, and any Event
of Default arising therefrom shall be deemed to have been cured for every purpose of this Indenture; but no such waiver or rescission and annulment shall extend to or shall affect any subsequent Default or

  
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Event of Default, or shall impair any right consequent thereon. Notwithstanding anything to the contrary herein, no such waiver or rescission and annulment shall extend to or shall affect any
Default or Event of Default resulting from (i) the nonpayment of the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, or accrued and unpaid interest on, any Notes, (ii) a failure to
repurchase any Notes when required or (iii) a failure to pay or deliver, as the case may be, the consideration due upon conversion of the Notes. 

Section 6.03. Additional Interest. Notwithstanding anything in this Indenture or in the Notes to the contrary, to the extent the
Company elects, the sole remedy for an Event of Default relating to the Company’s failure to comply with its obligations as set forth in Section 4.06(b) shall after the occurrence of such an Event of Default consist exclusively of the
right to receive Additional Interest on the Notes at a rate equal to: (i) 0.25% per annum of the principal amount of the Notes outstanding for each day during the period beginning on, and including, the date on which such Event of Default first
occurs and ending on the earlier of (x) the date on which such Event of Default is cured or validly waived in accordance with this Article 6 and (y) the 180th day immediately following, and including, the date on which such Event of
Default first occurs and (ii) if such Event of Default has not been cured or validly waived prior to the 181st day immediately following, and including, the date on which such Event of Default first occurs, 0.50% per annum of the principal
amount of Notes outstanding for each day during the period beginning on, and including, the 181st day immediately following, and including, the date on which such Event of Default first occurs and ending on the earlier of (x) the date on which
the Event of Default is cured or validly waived in accordance with this Article 6 and (y) the 360th day immediately following, and including, the date on which such event of default first occurs. Additional Interest payable pursuant to this
Section 6.03 shall be in addition to, not in lieu of, any Additional Interest payable pursuant to Section 4.06(d) or Section 4.06(e), subject to the second immediately succeeding paragraph. If the Company so elects, such Additional
Interest shall be payable in the same manner and on the same dates as the stated interest payable on the Notes. On the 361st day after such Event of Default (if the Event of Default relating to the Company’s failure to file is not cured or
waived prior to such 361st day), the Notes shall be immediately subject to acceleration as provided in Section 6.02. The provisions of this paragraph will not affect the rights of Holders of Notes in the event of the occurrence of any Event of
Default other than the Company’s failure to comply with its obligations as set forth in Section 4.06(b). In the event the Company does not elect to pay Additional Interest following an Event of Default in accordance with this
Section 6.03 or the Company elected to make such payment but does not pay the Additional Interest when due, the Notes shall be immediately subject to acceleration as provided in Section 6.02. 

In order to elect to pay Additional Interest as the sole remedy during the first 360 days after the occurrence of any Event of Default
described in the immediately preceding paragraph, the Company must notify all Holders of the Notes, the Trustee and the Paying Agent in writing of such election prior to the beginning of such 360-day period.
Upon the failure to timely give such notice, the Notes shall be immediately subject to acceleration as provided in Section 6.02. 
 In
no event shall Additional Interest payable at the Company’s election as the remedy for an Event of Default relating to the Company’s failure to comply with its obligations as set forth 

  
 36 

 
in Section 4.06(b), together with any Additional Interest that may accrue as a result of the Company’s failure to timely file any document or report that it is required to file with the
Commission pursuant to Section 13 or 15(d) of the Exchange Act, as applicable (after giving effect to all applicable grace periods thereunder and other than reports on Form 8-K), pursuant to
Section 4.06(d), accrue at a rate in excess of 0.50% per annum pursuant to this Indenture, regardless of the number of events or circumstances giving rise to the requirement to pay such Additional Interest. The Trustee shall have no duty to
calculate or verify the calculation of Additional Interest. The Company shall send written notice to the Holder of each Note and the Trustee of the commencement and termination of any period on which Additional Interest accrues on such Note under
any provision of this Indenture. 
 Section 6.04. Payments of Notes on Default; Suit Therefor. If an Event of Default described
in clause (a) or (b) of Section 6.01 shall have occurred, the Company shall, upon demand of the Trustee, pay to the Trustee, for the benefit of the Holders of the Notes, the whole amount then due and payable on the Notes for principal and
interest, if any, with interest on any overdue principal and interest, if any, at the rate borne by the Notes at such time, and, in addition thereto, such further amount as shall be sufficient to cover any amounts due to the Trustee under
Section 7.06. If the Company shall fail to pay such amounts forthwith upon such demand, the Trustee, in its own name and as trustee of an express trust, may institute a judicial proceeding for the collection of the sums so due and unpaid, may
prosecute such proceeding to judgment or final decree and may enforce the same against the Company or any other obligor upon the Notes and collect the moneys adjudged or decreed to be payable in the manner provided by law out of the property of the
Company or any other obligor upon the Notes, wherever situated. 
 In the event there shall be pending proceedings for the bankruptcy or for
the reorganization of the Company or any other obligor on the Notes under Title 11 of the United States Code, or any other applicable law, or in case a receiver, assignee or trustee in bankruptcy or reorganization, liquidator, sequestrator or
similar official shall have been appointed for or taken possession of the Company or such other obligor, the property of the Company or such other obligor, or in the event of any other judicial proceedings relative to the Company or such other
obligor upon the Notes, or to the creditors or property of the Company or such other obligor, the Trustee, irrespective of whether the principal of the Notes shall then be due and payable as therein expressed or by declaration or otherwise and
irrespective of whether the Trustee shall have made any demand pursuant to the provisions of this Section 6.04, shall be entitled and empowered, by intervention in such proceedings or otherwise, to file and prove a claim or claims for the whole
amount of principal and accrued and unpaid interest, if any, in respect of the Notes, and, in case of any judicial proceedings, to file such proofs of claim and other papers or documents and to take such other actions as it may deem necessary or
advisable in order to have the claims of the Trustee (including any claim for the compensation, expenses, disbursements and advances of the Trustee, its agents and counsel) and of the Holders allowed in such judicial proceedings relative to the
Company or any other obligor on the Notes, its or their creditors, or its or their property, and to collect and receive any monies or other property payable or deliverable on any such claims, and to distribute the same after the deduction of any
amounts due to the Trustee under Section 7.06; and any receiver, assignee or trustee in bankruptcy or reorganization, liquidator, custodian or similar official is hereby authorized by each of the

  
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Holders to make such payments to the Trustee, as administrative expenses, and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the
Trustee any amount due it for reasonable compensation, expenses, advances and disbursements, including reasonable agents and counsel fees, and including any other amounts due to the Trustee under Section 7.06, incurred by it up to the date of
such distribution. To the extent that such payment of compensation, expenses, advances and disbursements out of the estate in any such proceedings shall be denied for any reason, payment of the same shall be secured by a lien on, and shall be paid
out of, any and all distributions, dividends, monies, securities and other property that the Holders of the Notes may be entitled to receive in such proceedings, whether in liquidation or under any plan of reorganization or arrangement or otherwise.

 Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any Holder
any plan of reorganization, arrangement, adjustment or composition affecting such Holder or the rights of any Holder thereof, or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding. 

All rights of action and of asserting claims under this Indenture, or under any of the Notes, may be enforced by the Trustee without the
possession of any of the Notes, or the production thereof at any trial or other proceeding relative thereto, and any such suit or proceeding instituted by the Trustee shall be brought in its own name as trustee of an express trust, and any recovery
of judgment shall, after provision for the payment of the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel, be for the ratable benefit of the Holders of the Notes. 

In any proceedings brought by the Trustee (and in any proceedings involving the interpretation of any provision of this Indenture to which the
Trustee shall be a party) the Trustee shall be held to represent all the Holders of the Notes, and it shall not be necessary to make any Holders of the Notes parties to any such proceedings. 

In case the Trustee shall have proceeded to enforce any right under this Indenture and such proceedings shall have been discontinued or
abandoned because of any waiver pursuant to Section 6.09 or any rescission and annulment pursuant to Section 6.02 or for any other reason or shall have been determined adversely to the Trustee, then and in every such case the Company, the
Holders and the Trustee shall, subject to any determination in such proceeding, be restored respectively to their several positions and rights hereunder, and all rights, remedies and powers of the Company, the Holders and the Trustee shall continue
as though no such proceeding had been instituted. 
 Section 6.05. Application of Monies Collected by Trustee. Any monies or
property collected by the Trustee pursuant to this Article 6 with respect to the Notes shall be applied in the following order, at the date or dates fixed by the Trustee for the distribution of such monies or property, upon presentation of the
several Notes, and stamping thereon the payment, if only partially paid, and upon surrender thereof, if fully paid: 
 First, to the
payment of all amounts due the Trustee and the Agents hereunder; 

  
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 Second, in case the principal of the outstanding Notes shall not have become due and
be unpaid, to the payment of interest on, and any cash due upon conversion of, the Notes in default in the order of the date due of the payments of such interest and cash due upon conversion, as the case may be, with interest (to the extent that
such interest has been collected by the Trustee) upon such overdue payments at the rate borne by the Notes at such time, such payments to be made ratably to the Persons entitled thereto; 

Third, in case the principal of the outstanding Notes shall have become due, by declaration or otherwise, and be unpaid to the payment
of the whole amount (including, if applicable, the payment of the Redemption Price and the Fundamental Change Repurchase Price and any cash due upon conversion) then owing and unpaid upon the Notes for principal and interest, if any, with interest
on the overdue principal and, to the extent that such interest has been collected by the Trustee, upon overdue installments of interest at the rate borne by the Notes at such time, and in case such monies shall be insufficient to pay in full the
whole amounts so due and unpaid upon the Notes, then to the payment of such principal (including, if applicable, the Redemption Price and the Fundamental Change Repurchase Price and any cash due upon conversion) and interest without preference or
priority of principal over interest, or of interest over principal or of any installment of interest over any other installment of interest, or of any Note over any other Note, ratably to the aggregate of such principal (including, if applicable,
the Redemption Price and the Fundamental Change Repurchase Price and any cash due upon conversion) and accrued and unpaid interest; and 

Fourth, to the payment of the remainder, if any, to the Company. 

Section 6.06. Proceedings by Holders. Except to enforce the right to receive payment of principal (including, if applicable, the
Redemption Price and the Fundamental Change Repurchase Price) or interest when due, or the right to receive payment or delivery of the consideration due upon conversion, no Holder of any Note shall have any right by virtue of or by availing of any
provision of this Indenture to institute any suit, action or proceeding in equity or at law upon or under or with respect to this Indenture, or for the appointment of a receiver, trustee, liquidator, custodian or other similar official, or for any
other remedy hereunder, unless: 
 (a)    such Holder previously shall have given to the Trustee written notice of an
Event of Default and of the continuance thereof, as herein provided; 
 (b)    Holders of at least 25% in aggregate
principal amount of the Notes then outstanding shall have made written request upon the Trustee to institute such action, suit or proceeding in its own name as Trustee hereunder; 

(c)    such Holders shall have offered to the Trustee such security or indemnity satisfactory to the Trustee against any
loss, liability or expense to be incurred therein or thereby; 
 (d)    the Trustee has not complied with such request
within 60 days after receipt of the request and the offer of such security or indemnity; and 

  
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 (e)    no direction that, in the opinion of the Trustee, is inconsistent
with such written request shall have been given to the Trustee by the Holders of a majority of the aggregate principal amount of the Notes then outstanding within such 60-day period pursuant to
Section 6.09, 
 it being understood and intended, and being expressly covenanted by the taker and Holder of every Note with every other taker and
Holder and the Trustee that no one or more Holders shall have any right in any manner whatever by virtue of or by availing of any provision of this Indenture to affect, disturb or prejudice the rights of any other Holder, or to obtain or seek to
obtain priority over or preference to any other such Holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal, ratable and common benefit of all Holders (except as otherwise provided herein) (it
being understood that the Trustee shall have no obligation to determine whether any such action or inaction would unduly prejudice the rights of another Holder). For the protection and enforcement of this Section 6.06, each and every Holder and
the Trustee shall be entitled to such relief as can be given either at law or in equity. 
 Notwithstanding any other provision of this
Indenture and any provision of any Note, each Holder shall have the right to institute suit for the enforcement of its right to receive payment or delivery, as the case may be, of (x) the principal (including the Redemption Price and the
Fundamental Change Repurchase Price, if applicable) of, (y) accrued and unpaid interest, if any, on, and (z) the consideration due upon conversion of, such Note, on or after the respective due dates expressed or provided for in such Note
or in this Indenture. 
 Section 6.07. Proceedings by Trustee. In case of an Event of Default, the Trustee may in its discretion
proceed to protect and enforce the rights vested in it by this Indenture by such appropriate judicial proceedings as are necessary to protect and enforce any of such rights, either by suit in equity or by action at law or by proceeding in bankruptcy
or otherwise, whether for the specific enforcement of any covenant or agreement contained in this Indenture or in aid of the exercise of any power granted in this Indenture, or to enforce any other legal or equitable right vested in the Trustee by
this Indenture or by law. 
 Section 6.08. Remedies Cumulative and Continuing. Except as provided in the last paragraph of
Section 2.06, all powers and remedies given by this Article 6 to the Trustee or to the Holders shall, to the extent permitted by law, be deemed cumulative and not exclusive of any thereof or of any other powers and remedies available to the
Trustee or the Holders of the Notes, by judicial proceedings or otherwise, to enforce the performance or observance of the covenants and agreements contained in this Indenture, and no delay or omission of the Trustee or of any Holder of any of the
Notes to exercise any right or power accruing upon any Default or Event of Default shall impair any such right or power, or shall be construed to be a waiver of any such Default or Event of Default or any acquiescence therein; and, subject to the
provisions of Section 6.06, every power and remedy given by this Article 6 or by law to the Trustee or to the Holders may be exercised from time to time, and as often as shall be deemed expedient, by the Trustee or by the Holders. 

  
 40 

 Section 6.09. Direction of Proceedings and Waiver of Defaults by Majority of
Holders. The Holders of a majority of the aggregate principal amount of the Notes at the time outstanding determined in accordance with Section 8.04 shall have the right to direct the time, method and place of conducting any proceeding for
any remedy available to the Trustee or exercising any trust or power conferred on the Trustee with respect to the Notes; provided, however, that (a) such direction shall not be in conflict with any rule of law or with this
Indenture, and (b) the Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such direction. The Trustee may refuse to follow any direction that it determines is unduly prejudicial to the rights of any
other Holder or that would involve the Trustee in personal liability (it being understood that the Trustee shall not have an affirmative duty to ascertain whether or not any such direction is unduly prejudicial to any other Holder) or for which it
has not received indemnity or security satisfactory to the Trustee against any loss, liability or expense. The Holders of a majority in aggregate principal amount of the Notes at the time outstanding determined in accordance with Section 8.04
may on behalf of the Holders of all of the Notes waive any past Default or Event of Default hereunder and its consequences except (i) a default in the payment of accrued and unpaid interest, if any, on, or the principal (including any
Redemption Price and any Fundamental Change Repurchase Price) of, the Notes when due that has not been cured pursuant to the provisions of Section 6.01, (ii) a failure by the Company to repurchase any Notes when required or to pay or deliver,
as the case may be, the consideration due upon conversion of the Notes or (iii) a default in respect of a covenant or provision hereof which under Article 10 cannot be modified or amended without the consent of each Holder of an outstanding
Note affected. Upon any such waiver the Company, the Trustee and the Holders of the Notes shall be restored to their former positions and rights hereunder; but no such waiver shall extend to any subsequent or other Default or Event of Default or
impair any right consequent thereon. Whenever any Default or Event of Default hereunder shall have been waived as permitted by this Section 6.09, said Default or Event of Default shall for all purposes of the Notes and this Indenture be deemed
to have been cured and to be not continuing; but no such waiver shall extend to any subsequent or other Default or Event of Default or impair any right consequent thereon. 

Section 6.10. Notice of Defaults. The Trustee shall, within 90 days after the Trustee has received written notice of the
occurrence and continuance of a Default of which a Responsible Officer has actual knowledge, deliver to all Holders notice of all such Defaults, unless such Defaults shall have been cured or waived before the giving of such notice; provided
that, except in the case of a Default in the payment of the principal of (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable), or accrued and unpaid interest on, any of the Notes or a Default in the payment or
delivery of the consideration due upon conversion, the Trustee shall be protected in withholding such notice if and so long as the Trustee in good faith determines that the withholding of such notice is in the interests of the Holders. 

Section 6.11. Undertaking to Pay Costs. All parties to this Indenture agree, and each Holder of any Note by its acceptance thereof
shall be deemed to have agreed, that any court may, in its discretion, require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee for any action taken or omitted by it as Trustee, the
filing by any party litigant in such suit of an undertaking to pay the costs of such suit and that 

  
 41 

 
such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees and expenses, against any party litigant in such suit, having due regard to the merits and good
faith of the claims or defenses made by such party litigant; provided that the provisions of this Section 6.11 (to the extent permitted by law) shall not apply to any suit instituted by the Trustee, to any suit instituted by any Holder,
or group of Holders, holding in the aggregate more than 10% in principal amount of the Notes at the time outstanding determined in accordance with Section 8.04, or to any suit instituted by any Holder for the enforcement of the payment of the
principal of or accrued and unpaid interest, if any, on any Note (including, but not limited to, the Redemption Price and the Fundamental Change Repurchase Price, if applicable) on or after the due date expressed or provided for in such Note or to
any suit for the enforcement of the right to convert any Note, or receive the consideration due upon conversion, in accordance with the provisions of Article 14. 

ARTICLE 7 

CONCERNING THE TRUSTEE 

Section 7.01. Duties and Responsibilities of Trustee. The Trustee, prior to the occurrence of an Event of Default and after the
curing or waiver of all Events of Default that may have occurred, undertakes to perform such duties and only such duties as are specifically set forth in this Indenture. In the event an Event of Default has occurred and is continuing, the Trustee
shall exercise such of the rights and powers vested in it by this Indenture, and use the same degree of care and skill in its exercise, as a prudent person would exercise or use under the circumstances in the conduct of such person’s own
affairs; provided that the Trustee will be under no obligation to exercise any of the rights or powers under this Indenture at the request or direction of any of the Holders unless such Holders have offered, and, if requested, provided to the
Trustee indemnity or security satisfactory to the Trustee against any loss, liability or expense that might be incurred by it in compliance with such request or direction. 

No provision of this Indenture shall be construed to relieve the Trustee from liability for its own grossly negligent action, its own grossly
negligent failure to act or its own willful misconduct, except that: 
 (a)    prior to the occurrence of an Event of
Default and after the curing or waiving of all Events of Default that may have occurred: 
 (i)    the
duties and obligations of the Trustee shall be determined solely by the express provisions of this Indenture, and the Trustee shall not be liable except for the performance of such duties and obligations as are specifically set forth in this
Indenture and no implied covenants or obligations shall be read into this Indenture against the Trustee; and 

(ii)    in the absence of bad faith or willful misconduct on the part of the Trustee, the Trustee may
conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture; but, in the case of any such

  
 42 

 
certificates or opinions that by any provisions hereof are specifically required to be furnished to the Trustee, the Trustee shall be under a duty to examine the same to determine whether or not
they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of any mathematical calculations or other facts stated therein); 

(b)    the Trustee shall not be liable for any error of judgment made in good faith by a Responsible Officer or Officers
of the Trustee, unless it shall be proved that the Trustee was grossly negligent in ascertaining the pertinent facts; 

(c)    the Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in
accordance with the direction of the Holders of not less than a majority of the aggregate principal amount of the Notes at the time outstanding determined as provided in Section 8.04 relating to the time, method and place of conducting any
proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, under this Indenture; 

(d)    whether or not therein provided, every provision of this Indenture relating to the conduct or affecting the
liability of, or affording protection to, the Trustee shall be subject to the provisions of this Section; 
 (e)    the
Trustee shall not be liable in respect of any payment (as to the correctness of amount, entitlement to receive or any other matters relating to payment) or notice effected by the Company or any Paying Agent or any records maintained by any co-Note Registrar with respect to the Notes; 
 (f)    if any party fails to deliver a
notice relating to an event the fact of which, pursuant to this Indenture, requires notice to be sent to the Trustee, the Trustee may conclusively rely on its failure to receive such notice as reason to act as if no such event occurred, unless a
Responsible Officer of the Trustee had actual knowledge of such event; 
 (g)    all cash received by the Trustee shall
be held in cash and the Trustee shall have no obligation to invest any amounts held hereunder; 
 (h)    in the event
that the Trustee is also acting as Custodian, Note Registrar, Paying Agent, Conversion Agent, Bid Solicitation Agent or transfer agent hereunder, the rights and protections afforded to the Trustee pursuant to this Article 7 shall also be afforded to
such Custodian, Note Registrar, Paying Agent, Conversion Agent, Bid Solicitation Agent or transfer agent; and 

(i)    under no circumstances shall the Trustee be liable in its individual capacity for the obligations evidenced by the
Notes. 
 None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur
personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers. 

  
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 Section 7.02. Reliance on Documents, Opinions, Etc. Except as otherwise provided
in Section 7.01: 
 (a)    the Trustee and Agents may conclusively rely and shall be fully protected in acting or
refraining from acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, judgment, order, bond, note, coupon, debenture or other paper or document (whether in its original or facsimile
form) believed by it in good faith to be genuine and to have been signed or presented by the proper party or parties; 

(b)    any request, direction, order or demand of the Company mentioned herein shall be sufficiently evidenced by an
Officer’s Certificate or an Opinion of Counsel (or both) (unless other evidence in respect thereof be herein specifically prescribed); and any Board Resolution may be evidenced to the Trustee by a copy thereof certified by the Secretary or an
Assistant Secretary of the Company. Before the Trustee acts or refrains from acting, it may require an Officer’s Certificate or an Opinion of Counsel or both. The Trustee will not be liable for any action it takes or omits to take in good faith
reliance on such Officer’s Certificate or Opinion of Counsel; 
 (c)    the Trustee may consult with counsel and
require an Opinion of Counsel and any advice of such counsel or Opinion of Counsel shall be full and complete authorization and protection from liability in respect of any action taken or omitted by it hereunder in good faith and in accordance with
such advice or Opinion of Counsel; 
 (d)    the Trustee shall not be bound to make any investigation into the facts or
matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, direction, consent, judgment, order, bond, note, coupon, debenture or other paper or document, but the Trustee, in its discretion, may make such
further inquiry or investigation into such facts or matters as it may see fit, and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company,
personally or by agent or attorney at the expense of the Company and shall incur no liability of any kind by reason of such inquiry or investigation; 

(e)    the Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by
or through agents, custodians, nominees or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent, custodian, nominee or attorney appointed by it with due care hereunder; 

(f)    the rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation,
its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and each agent (including the Agents), Custodian and other Person employed to act hereunder; 

(g)    the Trustee shall not be required to give any bond or surety in respect of the performance of its powers and duties
hereunder; 

  
 44 

 (h)    the permissive rights of the Trustee or an Agent enumerated
herein shall not be construed as duties and, with respect to such permissive rights, neither the Trustee nor any Agent shall be answerable for other than its gross negligence or willful misconduct; 

(i)    The Trustee may request that the Company deliver an Officer’s Certificate setting forth the names of
individuals and/or titles of officers authorized at such time to take specified actions pursuant to this Indenture, which Officer’s Certificate may be signed by any Person authorized to sign an Officer’s Certificate, including any Person
specified as so authorized in any such certificate previously delivered and not superseded; 
 (j)    The Trustee shall
be not be deemed to have notice of any Default or Event of Default (except in the case of a Default or Event of Default in payment of scheduled principal of, premium, if any, or interest on, any Note) unless a Responsible Officer of the Trustee has
actual knowledge thereof or unless written notice of any event which is in fact such a Default or Event of Default (and stating the occurrence of a Default or Event of Default) is received by the Trustee at the Corporate Trust Office of the Trustee,
and such notice references the Notes and this Indenture; 
 (k)    The Trustee shall not be responsible or liable for
any action it takes or omits to take in good faith which it reasonably believes to be authorized or within its rights or powers; 

(l)    The Trustee shall not be responsible or liable for any action taken or omitted by it in good faith at the direction
of the holders of not less than a majority in principal amount of the Notes as to the time, method and place of conducting any proceedings for any remedy available to the Trustee or the exercising of any power conferred by this Indenture; 

(m)    Neither the Trustee nor any of its directors, officers, employees, agents or affiliates shall be responsible for
nor have any duty to monitor the performance or any action of the Company, or any of their respective directors, members, officers, agents, affiliates or employee, nor shall it have any liability in connection with the malfeasance or nonfeasance by
such party. The Trustee shall not be responsible for any inaccuracy in the information obtained from the Company or for any inaccuracy or omission in the records which may result from such information or any failure by the Trustee to perform its
duties as set forth herein as a result of any inaccuracy or incompleteness; and 
 (n)    In no event shall the Trustee
be liable for any punitive, indirect, incidental, special or consequential loss or damage of any kind whatsoever (including but not limited to lost profits), even if the Trustee has been advised of the likelihood of such loss or damage and
regardless of the form of action. The Trustee shall not be charged with knowledge of any Default or Event of Default with respect to the Notes, unless either (1) a Responsible Officer shall have actual knowledge of such Default or Event of
Default or (2) written notice of such Default or Event of Default shall have been given to a Responsible Officer of the Trustee at its Corporate Trust Office by the Company or by any Holder of the Notes, and such notice references the Notes and
this Indenture. 

  
 45 

 Section 7.03. No Responsibility for Recitals, Etc. The recitals contained herein
and in the Notes (except in the Trustee’s certificate of authentication) shall be taken as the statements of the Company, and the Trustee assumes no responsibility for the correctness of the same. The Trustee makes no representations as to the
validity or sufficiency of this Indenture or of the Notes. The Trustee shall not be accountable for the use or application by the Company of any Notes or the proceeds of any Notes authenticated and delivered by the Trustee in conformity with the
provisions of this Indenture or any money paid to the Company or upon the Company’s direction under any provision of the Indenture. The Trustee shall have no responsibility or liability with respect to any information, statement or recital in
the Offering Memorandum or other disclosure material prepared or distributed with respect to the issuance of the Notes. 

Section 7.04. Trustee, Paying Agents, Conversion Agents, Bid Solicitation Agent or Note Registrar May Own Notes. The Trustee, any
Paying Agent, any Conversion Agent, Bid Solicitation Agent (if other than the Company or any Affiliate thereof) or Note Registrar, in its individual or any other capacity, may become the owner or pledgee of Notes with the same rights it would have
if it were not the Trustee, Paying Agent, Conversion Agent, Bid Solicitation Agent or Note Registrar. The rights protections and indemnities afforded the Trustee hereunder shall apply to the Agents and each agent of the Trustee acting hereunder.

 Section 7.05. Monies to Be Held in Trust. All monies received by the Trustee shall, until used or applied as herein provided,
be held in trust for the purposes for which they were received. Money held by the Trustee in trust hereunder need not be segregated from other funds except to the extent required by law. The Trustee shall be under no liability for interest on any
money received by it hereunder except as may be agreed from time to time by the Company and the Trustee. 
 Section 7.06.
Compensation and Expenses of Trustee. The Company covenants and agrees to pay to the Trustee in any capacity under this Indenture, from time to time, and the Trustee shall be entitled to, compensation for all services rendered by it hereunder in
any capacity (which shall not be limited by any provision of law in regard to the compensation of a trustee of an express trust) as mutually agreed to in writing between the Trustee and the Company, and the Company will pay or reimburse the Trustee
upon its request for all reasonable expenses, disbursements and advances reasonably incurred or made by the Trustee in accordance with any of the provisions of this Indenture in any capacity thereunder (including the compensation and the reasonable
expenses and disbursements of its agents and counsel and of all Persons not regularly in its employ) except any such expense, disbursement or advance as shall have been caused by its gross negligence or willful misconduct. The Company also covenants
to indemnify the Trustee in any capacity under this Indenture and any other document or transaction entered into in connection herewith and its agents and any authenticating agent for, and to hold them harmless against, any loss, claim, damage,
liability or expense incurred without gross negligence or willful misconduct on the part of the Trustee, its officers, directors, agents or employees, or such agent or authenticating agent, as the case may be, and arising out of or in connection
with the acceptance or administration of this Indenture or in any other capacity hereunder, including the costs and expenses of defending themselves against any claim of liability. The obligations of the Company under this Section 7.06 to
compensate or indemnify 

  
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the Trustee and to pay or reimburse the Trustee for expenses, disbursements and advances shall be secured by a senior lien and claim to which the Notes are hereby made subordinate on all money or
property held or collected by the Trustee, except, subject to the effect of Section 6.05, funds held in trust herewith for the benefit of the Holders of particular Notes. The Trustee’s right to receive payment of any amounts due under this
Section 7.06 shall not be subordinate to any other liability or indebtedness of the Company. The obligation of the Company under this Article 7 shall survive the satisfaction and discharge of this Indenture and the earlier resignation or
removal of the Trustee. The Company need not pay for any settlement made without its consent, which consent shall not be unreasonably withheld. The indemnification provided in this Section 7.06 shall extend to the officers, directors, agents
and employees of the Trustee. 
 Without prejudice to any other rights available to the Trustee under applicable law, when the Trustee and
its agents and any authenticating agent incur expenses or render services after an Event of Default specified in Section 6.01(i) or Section 6.01(j) occurs, the expenses and the compensation for the services are intended to constitute
expenses of administration under any bankruptcy, insolvency or similar laws. 
 Section 7.07. Officer’s
Certificate and Opinion of Counsel as Evidence. Except as otherwise provided in Section 7.01, whenever in the administration of the provisions of this Indenture the Trustee shall deem it necessary or desirable that a matter be proved or
established prior to taking or omitting any action hereunder, such matter (unless other evidence in respect thereof be herein specifically prescribed) may be deemed to be conclusively proved and established by an Officer’s Certificate and
Opinion of Counsel delivered to the Trustee, and such Officer’s Certificate and Opinion of Counsel shall be full warrant to the Trustee for any action taken or omitted by it under the provisions of this Indenture upon the faith thereof. 

Section 7.08. Eligibility of Trustee. There shall at all times be a Trustee hereunder which shall be a Person that is eligible
pursuant to the Trust Indenture Act (as if the Trust Indenture Act were applicable hereto) to act as such and has a combined capital and surplus of at least $50,000,000. If such Person publishes reports of condition at least annually, pursuant to
law or to the requirements of any supervising or examining authority, then for the purposes of this Section, the combined capital and surplus of such Person shall be deemed to be its combined capital and surplus as set forth in its most recent
report of condition so published. If at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section, it shall resign immediately in the manner and with the effect hereinafter specified in this Article. 

Section 7.09. Resignation or Removal of Trustee. (a) The Trustee may at any time resign by giving 30 days’ written
notice of such resignation to the Company and by delivering notice thereof to the Holders. Upon receiving such notice of resignation, the Company shall promptly appoint a successor trustee by written instrument, in duplicate, executed by order of
the Board of Directors, one copy of which instrument shall be delivered to the resigning Trustee and one copy to the successor trustee. If no successor trustee shall have been so appointed and have accepted appointment within 30 days after the
giving of such notice of resignation to the Holders, the resigning Trustee may, upon ten Business Days’ notice to the Company and the Holders, petition any court of competent jurisdiction for the appointment of a successor trustee, or any
Holder who 

  
 47 

 
has been a bona fide holder of a Note or Notes for at least six months (or since the date of this Indenture) may, subject to the provisions of Section 6.11, on behalf of himself or herself
and all others similarly situated, petition any such court for the appointment of a successor trustee at the cost of the Company. Such court may thereupon, after such notice, if any, as it may deem proper and prescribe, appoint a successor trustee.

 (b)    In case at any time any of the following shall occur: 

(i)    the Trustee shall cease to be eligible in accordance with the provisions of Section 7.08 and
shall fail to resign after written request therefor by the Company or by any such Holder, or 

(ii)    the Trustee shall become incapable of acting, or shall be adjudged a bankrupt or insolvent, or a
receiver of the Trustee or of its property shall be appointed, or any public officer shall take charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or liquidation, 

then, in either case, the Company may, upon 30 days’ written notice to the Trustee, by a Board Resolution, remove the Trustee and appoint a successor
trustee by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which instrument shall be delivered to the Trustee so removed and one copy to the successor trustee, or, subject to the provisions of
Section 6.11, any Holder who has been a bona fide holder of a Note or Notes for at least six months (or since the date of this Indenture) may, on behalf of himself or herself and all others similarly situated, petition any court of competent
jurisdiction for the removal of the Trustee and the appointment of a successor trustee. Such court may thereupon, after such notice, if any, as it may deem proper and prescribe, remove the Trustee and appoint a successor trustee. 

(c)    The Holders of a majority in aggregate principal amount of the Notes at the time outstanding, as determined in
accordance with Section 8.04, may, upon 30 days’ written notice to the Trustee, remove the Trustee and nominate a successor trustee that shall be deemed appointed as successor trustee unless within ten days after notice to the Company of
such nomination the Company objects thereto (and no Event of Default shall have occurred and be continuing), in which case the Trustee so removed or any Holder, upon the terms and conditions and otherwise as in Section 7.09(a) provided, may
petition any court of competent jurisdiction for an appointment of a successor trustee at the cost of the Company. 

(d)    Any resignation or removal of the Trustee and appointment of a successor trustee pursuant to any of the provisions
of this Section 7.09 shall become effective upon acceptance of appointment by the successor trustee as provided in Section 7.10. 

Section 7.10. Acceptance by Successor Trustee. Any successor trustee appointed as provided in Section 7.09 shall execute,
acknowledge and deliver to the Company and to its predecessor trustee an instrument accepting such appointment hereunder, and thereupon the resignation or removal of the predecessor trustee shall become effective and such successor trustee, without
any further act, deed or conveyance, shall become vested with all the rights, powers, duties and obligations of its predecessor hereunder, with like effect as if originally 

  
 48 

 
named as Trustee herein; but, nevertheless, on the written request of the Company or of the successor trustee, the trustee ceasing to act shall, upon payment of any amounts then due it pursuant
to the provisions of Section 7.06, execute and deliver an instrument transferring to such successor trustee all the rights and powers of the trustee so ceasing to act. Upon request of any such successor trustee, the Company shall execute any
and all instruments in writing for more fully and certainly vesting in and confirming to such successor trustee all such rights and powers. Any trustee ceasing to act shall, nevertheless, retain a senior lien and claim to which the Notes are hereby
made subordinate on all money or property held or collected by such trustee as such, except for funds held in trust for the benefit of Holders of particular Notes, to secure any amounts then due it pursuant to the provisions of Section 7.06.

 No successor trustee shall accept appointment as provided in this Section 7.10 unless at the time of such acceptance such successor
trustee shall be eligible under the provisions of Section 7.08. 
 Upon acceptance of appointment by a successor trustee as provided in
this Section 7.10, each of the Company and the successor trustee, at the written direction and at the expense of the Company shall deliver or cause to be delivered notice of the succession of such trustee hereunder to the Holders. If the
Company fails to deliver such notice within ten days after acceptance of appointment by the successor trustee, the successor trustee shall cause such notice to be delivered at the expense of the Company. 

Section 7.11. Succession by Merger, Etc. Any corporation or other entity into which the Trustee may be merged or converted or with
which it may be consolidated, or any corporation or other entity resulting from any merger, conversion or consolidation to which the Trustee shall be a party, or any corporation or other entity succeeding to all or substantially all of the corporate
trust business of the Trustee (including the administration of this Indenture), shall be the successor to the Trustee hereunder without the execution or filing of any paper or any further act on the part of any of the parties hereto; provided
that in the case of any corporation or other entity succeeding to all or substantially all of the corporate trust business of the Trustee such corporation or other entity shall be eligible under the provisions of Section 7.08. 

In case at the time such successor to the Trustee shall succeed to the trusts created by this Indenture, any of the Notes shall have been
authenticated but not delivered, any such successor to the Trustee may adopt the certificate of authentication of any predecessor trustee or authenticating agent appointed by such predecessor trustee, and deliver such Notes so authenticated; and in
case at that time any of the Notes shall not have been authenticated, any successor to the Trustee or an authenticating agent appointed by such successor trustee may authenticate such Notes either in the name of any predecessor trustee hereunder or
in the name of the successor trustee; and in all such cases such certificates shall have the full force which it is anywhere in the Notes or in this Indenture provided that the certificate of the Trustee shall have; provided, however,
that the right to adopt the certificate of authentication of any predecessor trustee or to authenticate Notes in the name of any predecessor trustee shall apply only to its successor or successors by merger, conversion or consolidation. 

  
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 Section 7.12. Trustee’s Application for Instructions from the Company. Any
application by the Trustee for written instructions from the Company (other than with regard to any action proposed to be taken or omitted to be taken by the Trustee that affects the rights of the Holders of the Notes under this Indenture) may, at
the option of the Trustee, set forth in writing any action proposed to be taken or omitted by the Trustee under this Indenture and the date on and/or after which such action shall be taken or such omission shall be effective. The Trustee shall not
be liable to the Company for any action taken by, or omission of, the Trustee in accordance with a proposal included in such application on or after the date specified in such application (which date shall not be less than three Business Days after
notice that the Company has been deemed to have been given pursuant to Section 17.03, unless any such officer shall have consented in writing to any earlier date), unless, prior to taking any such action (or the effective date in the case of
any omission), the Trustee shall have received written instructions in accordance with this Indenture in response to such application specifying the action to be taken or omitted. 

ARTICLE 8 

CONCERNING THE HOLDERS 

Section 8.01. Action by Holders. Whenever in this Indenture it is provided that the Holders of a specified percentage of the
aggregate principal amount of the Notes may take any action (including the making of any demand or request, the giving of any notice, consent or waiver or the taking of any other action), the fact that at the time of taking any such action, the
Holders of such specified percentage have joined therein may be evidenced (a) by any instrument or any number of instruments of similar tenor executed by Holders in person or by agent or proxy appointed in writing, or (b) by the record of
the Holders voting in favor thereof at any meeting of Holders duly called and held in accordance with the provisions of Article 9, or (c) by a combination of such instrument or instruments and any such record of such a meeting of Holders.
Whenever the Company or the Trustee solicits the taking of any action by the Holders of the Notes, the Company or the Trustee may, but shall not be required to, fix in advance of such solicitation, a date as the record date for determining Holders
entitled to take such action. The record date if one is selected shall be not more than fifteen days prior to the date of commencement of solicitation of such action. 

Section 8.02. Proof of Execution by Holders. Subject to the provisions of Section 7.01, Section 7.02 and
Section 9.05, proof of the execution of any instrument by a Holder or its agent or proxy shall be sufficient if made in accordance with such reasonable rules and regulations as may be prescribed by the Trustee or in such manner as shall be
satisfactory to the Trustee. The holding of Notes shall be proved by the Note Register or by a certificate of the Note Registrar. The record of any Holders’ meeting shall be proved in the manner provided in Section 9.06. 

Section 8.03. Who Are Deemed Absolute Owners. The Company, the Trustee, any authenticating agent, any Paying Agent, any Conversion
Agent and any Note Registrar may deem the Person in whose name a Note shall be registered upon the Note Register to be, and may treat it as, the absolute owner of such Note (whether or not such Note shall be overdue and notwithstanding any notation
of ownership or other writing thereon made by any Person other than the Company or any Note Registrar) for the purpose of receiving payment of or on account 

  
 50 

 
of the principal (including any Redemption Price and any Fundamental Change Repurchase Price) of and (subject to Section 2.03) accrued and unpaid interest on such Note, for conversion of
such Note and for all other purposes; and neither the Company nor the Trustee nor any Paying Agent nor any Conversion Agent nor any Note Registrar shall be affected by any notice to the contrary. The sole registered holder of a Global Note shall be
the Depositary or its nominee. All such payments or deliveries so made to any Holder for the time being, or upon its order, shall be valid, and, to the extent of the sums or shares of Common Stock so paid or delivered, effectual to satisfy and
discharge the liability for monies payable or shares deliverable upon any such Note. Notwithstanding anything to the contrary in this Indenture or the Notes following an Event of Default, any holder of a beneficial interest in a Global Note may
directly enforce against the Company, without the consent, solicitation, proxy, authorization or any other action of the Depositary or any other Person, such holder’s right to exchange such beneficial interest for a Note in certificated form in
accordance with the provisions of this Indenture. 
 Section 8.04. Company-Owned Notes Disregarded. In determining whether the
Holders of the requisite aggregate principal amount of Notes have concurred in any direction, consent, waiver or other action under this Indenture, Notes that are owned by the Company, by any Subsidiary thereof or by any Affiliate of the Company or
any Subsidiary thereof shall be disregarded and deemed not to be outstanding for the purpose of any such determination; provided that for the purposes of determining whether the Trustee shall be protected in relying on any such direction,
consent, waiver or other action only Notes that a Responsible Officer knows are so owned shall be so disregarded. Notes so owned that have been pledged in good faith may be regarded as outstanding for the purposes of this Section 8.04 if the
pledgee shall establish to the satisfaction of the Trustee the pledgee’s right to so act with respect to such Notes and that the pledgee is not the Company, a Subsidiary thereof or an Affiliate of the Company or a Subsidiary thereof. In the
case of a dispute as to such right, any decision by the Trustee taken upon the advice of counsel shall be full protection to the Trustee. Upon request of the Trustee, the Company shall furnish to the Trustee promptly an Officer’s Certificate
listing and identifying all Notes, if any, known by the Company to be owned or held by or for the account of any of the above described Persons; and, subject to Section 7.01, the Trustee shall be entitled to accept such Officer’s
Certificate as conclusive evidence of the facts therein set forth and of the fact that all Notes not listed therein are outstanding for the purpose of any such determination. 

Section 8.05. Revocation of Consents; Future Holders Bound. At any time prior to (but not after) the evidencing to the Trustee, as
provided in Section 8.01, of the taking of any action by the Holders of the percentage of the aggregate principal amount of the Notes specified in this Indenture in connection with such action, any Holder of a Note that is shown by the evidence
to be included in the Notes the Holders of which have consented to such action may, by filing written notice with the Trustee at its Corporate Trust Office and upon proof of holding as provided in Section 8.02, revoke such action so far as
concerns such Note. Except as aforesaid, any such action taken by the Holder of any Note shall be conclusive and binding upon such Holder and upon all future Holders and owners of such Note and of any Notes issued in exchange or substitution
therefor or upon registration of transfer thereof, irrespective of whether any notation in regard thereto is made upon such Note or any Note issued in exchange or substitution therefor or upon registration of transfer thereof. 

  
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 ARTICLE 9 

HOLDERS’ MEETINGS 

Section 9.01. Purpose of Meetings. A meeting of Holders may be called at any time and from time to time pursuant to the provisions
of this Article 9 for any of the following purposes: 
 (a)    to give any notice to the Company or to the Trustee or to
give any directions to the Trustee permitted under this Indenture, or to consent to the waiving of any Default or Event of Default hereunder (in each case, as permitted under this Indenture) and its consequences, or to take any other action
authorized to be taken by Holders pursuant to any of the provisions of Article 6; 
 (b)    to remove the Trustee and
nominate a successor trustee pursuant to the provisions of Article 7; 
 (c)    to consent to the execution of an
indenture or indentures supplemental hereto pursuant to the provisions of Section 10.02; or 
 (d)    to take any
other action authorized to be taken by or on behalf of the Holders of any specified aggregate principal amount of the Notes under any other provision of this Indenture or under applicable law. 

Section 9.02. Call of Meetings by Trustee. The Trustee may at any time call a meeting of Holders to take any action specified in
Section 9.01, to be held at such time and at such place as the Trustee shall determine. Notice of every meeting of the Holders, setting forth the time and the place of such meeting and in general terms the action proposed to be taken at such
meeting and the establishment of any record date pursuant to Section 8.01, shall be delivered to Holders of such Notes. Such notice shall also be delivered to the Company. Such notices shall be delivered not less than 20 nor more than 90 days
prior to the date fixed for the meeting. 
 Any meeting of Holders shall be valid without notice if the Holders of all Notes then
outstanding are present in person or by proxy or if notice is waived before or after the meeting by the Holders of all Notes then outstanding, and if the Company and the Trustee are either present by duly authorized representatives or have, before
or after the meeting, waived notice. 
 Section 9.03. Call of Meetings by Company or Holders. In case at any time the Company,
pursuant to a Board Resolution, or the Holders of at least 10% of the aggregate principal amount of the Notes then outstanding, shall have requested the Trustee to call a meeting of Holders, by written request setting forth in reasonable detail the
action proposed to be taken at the meeting, and the Trustee shall not have delivered the notice of such meeting within 20 days after receipt of such request, then the Company or such Holders may determine the time and the place for such meeting and
may call such meeting to take any action authorized in Section 9.01, by delivering notice thereof as provided in Section 9.02. 

Section 9.04. Qualifications for Voting. To be entitled to vote at any meeting of Holders a Person shall (a) be a Holder of
one or more Notes on the record date pertaining to such meeting 

  
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or (b) be a Person appointed by an instrument in writing as proxy by a Holder of one or more Notes on the record date pertaining to such meeting. The only Persons who shall be entitled to be
present or to speak at any meeting of Holders shall be the Persons entitled to vote at such meeting and their counsel and any representatives of the Trustee and its counsel and any representatives of the Company and its counsel. 

Section 9.05. Regulations. Notwithstanding any other provisions of this Indenture, the Trustee may make such reasonable
regulations as it may deem advisable for any meeting of Holders, in regard to proof of the holding of Notes and of the appointment of proxies, and in regard to the appointment and duties of inspectors of votes, the submission and examination of
proxies, certificates and other evidence of the right to vote, and such other matters concerning the conduct of the meeting as it shall think fit. 

The Trustee shall, by an instrument in writing, appoint a temporary chairman of the meeting, unless the meeting shall have been called by the
Company or by Holders as provided in Section 9.03, in which case the Company or the Holders calling the meeting, as the case may be, shall in like manner appoint a temporary chairman. A permanent chairman and a permanent secretary of the
meeting shall be elected by vote of the Holders of a majority in aggregate principal amount of the Notes represented at the meeting and entitled to vote at the meeting. 

Subject to the provisions of Section 8.04, at any meeting of Holders each Holder or proxyholder shall be entitled to one vote for each
$1,000 principal amount of Notes held or represented by him, her or it; provided, however, that no vote shall be cast or counted at any meeting in respect of any Note challenged as not outstanding and ruled by the chairman of the
meeting to be not outstanding. The chairman of the meeting shall have no right to vote other than by virtue of Notes held by him, her or it or instruments in writing as aforesaid duly designating him, her or it as the proxy to vote on behalf of
other Holders. Any meeting of Holders duly called pursuant to the provisions of Section 9.02 or Section 9.03 may be adjourned from time to time by the Holders of a majority of the aggregate principal amount of Notes represented at the
meeting, whether or not constituting a quorum, and the meeting may be held as so adjourned without further notice. 
 Section 9.06.
Voting. The vote upon any resolution submitted to any meeting of Holders shall be by written ballot on which shall be subscribed the signatures of the Holders or of their representatives by proxy and the outstanding aggregate principal amount of
the Notes held or represented by them. The permanent chairman of the meeting shall appoint two inspectors of votes who shall count all votes cast at the meeting for or against any resolution and who shall make and file with the secretary of the
meeting their verified written reports in duplicate of all votes cast at the meeting. A record in duplicate of the proceedings of each meeting of Holders shall be prepared by the secretary of the meeting and there shall be attached to said record
the original reports of the inspectors of votes on any vote by ballot taken thereat and affidavits by one or more Persons having knowledge of the facts setting forth a copy of the notice of the meeting and showing that said notice was delivered as
provided in Section 9.02. The record shall show the aggregate principal amount of the Notes voting in favor of or against any resolution. The record shall be signed and verified by the affidavits of the permanent chairman

  
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and secretary of the meeting and one of the duplicates shall be delivered to the Company and the other to the Trustee to be preserved by the Trustee, the latter to have attached thereto the
ballots voted at the meeting. 
 Any record so signed and verified shall be conclusive evidence of the matters therein stated. 

Section 9.07. No Delay of Rights by Meeting. Nothing contained in this Article 9 shall be deemed or construed to authorize or
permit, by reason of any call of a meeting of Holders or any rights expressly or impliedly conferred hereunder to make such call, any hindrance or delay in the exercise of any right or rights conferred upon or reserved to the Trustee or to the
Holders under any of the provisions of this Indenture or of the Notes. 
 ARTICLE 10 

SUPPLEMENTAL INDENTURES 

Section 10.01. Supplemental Indentures Without Consent of Holders. Notwithstanding anything to the contrary in Section 10.02,
the Company, when authorized by the resolutions of the Board of Directors, and the Trustee, at the Company’s expense, may from time to time and at any time enter into an indenture or indentures supplemental hereto for one or more of the
following purposes: 
 (a)    to cure any ambiguity, omission, defect or inconsistency; 

(b)    to provide for the assumption by a Successor Company of the obligations of the Company under this Indenture
pursuant to Article 11; 
 (c)    to add guarantees with respect to the Notes; 

(d)    to secure the Notes; 

(e)    to add to the covenants or Events of Default of the Company for the benefit of the Holders or surrender any right
or power conferred upon the Company; 
 (f)    to make any change that does not adversely affect the rights of any
Holder; 
 (g)    to irrevocably elect a Settlement Method and/or Specified Dollar Amount (or a minimum Specified Dollar
Amount) or eliminate the Company’s right to elect a Settlement Method; provided, however, that no such election or elimination shall affect any Settlement Method theretofore elected (or deemed to be elected) with respect to any Note
pursuant to Section 14.02; 
 (h)    in connection with any Share Exchange Event, to provide that the Notes are
convertible into units of Reference Property, subject to the provisions of Section 14.02, and make such related changes to the terms of the Notes to the extent expressly required by Section 14.07; 

  
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 (i)    to conform the provisions of this Indenture or the Notes to the
“Description of Notes” section of the Offering Memorandum; or 
 (j)    to comply with the rules of the
Depositary. 
 Upon the written request of the Company, the Trustee is hereby authorized to join with the Company in the execution of any
such supplemental indenture, but the Trustee shall not be obligated to, but may in its discretion, enter into any supplemental indenture that affects the Trustee’s own rights, duties or immunities under this Indenture or otherwise. 

Any supplemental indenture authorized by the provisions of this Section 10.01 may be executed by the Company and the Trustee without the
consent of the Holders of any of the Notes at the time outstanding, notwithstanding any of the provisions of Section 10.02. 

Section 10.02. Supplemental Indentures with Consent of Holders. With the consent (evidenced as provided in Article 8) of the
Holders of at least a majority of the aggregate principal amount of the Notes then outstanding (determined in accordance with Article 8 and including, without limitation, consents obtained in connection with a repurchase of, or tender or exchange
offer for, Notes), the Company, when authorized by the resolutions of the Board of Directors and the Trustee, at the Company’s expense, may from time to time and at any time enter into an indenture or indentures supplemental hereto for the
purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture or any supplemental indenture or of modifying in any manner the rights of the Holders; provided, however, that,
without the consent of each Holder of an outstanding Note affected, no such supplemental indenture shall: 

(a)    reduce the amount of Notes whose Holders must consent to an amendment; 

(b)    reduce the rate of or extend the stated time for payment of interest on any Note; 

(c)    reduce the principal of or extend the Maturity Date of any Note; 

(d)    make any change that adversely affects the conversion rights of any Notes; 

(e)    reduce the Redemption Price or the Fundamental Change Repurchase Price of any Note or amend or modify in any manner
adverse to the Holders the Company’s obligation to make such payments, or the Company’s right to redeem the Notes, whether through an amendment or waiver of provisions in the covenants, definitions or otherwise; 

(f)    make any Note payable in a currency, or at a place of payment, other than that stated in the Note; 

(g)    change the ranking of the Notes; 

  
 55 

 (h)    impair the right of any Holder to receive payment of principal
and interest on such Holder’s Notes on or after the due dates therefor or to institute suit for the enforcement of any payment on or with respect to such Holder’s Notes; or 

(i)    make any change in this Article 10 that requires each Holder’s consent or in the waiver provisions in
Section 6.02 or Section 6.09. 
 Upon the written request of the Company, and upon the filing with the Trustee of evidence of the
consent of Holders as aforesaid and subject to Section 10.05, the Trustee shall join with the Company in the execution of such supplemental indenture unless such supplemental indenture affects the Trustee’s own rights, duties or immunities
under this Indenture or otherwise, in which case the Trustee may in its discretion, but shall not be obligated to, enter into such supplemental indenture. 

Holders do not need under this Section 10.02 to approve the particular form of any proposed supplemental indenture. It shall be
sufficient if such Holders approve the substance thereof. After any such supplemental indenture becomes effective, the Company shall give to the Holders (with a copy to the Trustee) a notice briefly describing such supplemental indenture. However,
the failure to give such notice to all the Holders, or any defect in the notice, will not impair or affect the validity of the supplemental indenture. 

Section 10.03. Effect of Supplemental Indentures. Upon the execution of any supplemental indenture pursuant to the provisions of
this Article 10, this Indenture shall be and be deemed to be modified and amended in accordance therewith and the respective rights, limitation of rights, obligations, duties and immunities under this Indenture of the Trustee, the Company and the
Holders shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and amendments and all the terms and conditions of any such supplemental indenture shall be and be deemed to be part of the terms
and conditions of this Indenture for any and all purposes. 
 Section 10.04. Notation on Notes. Notes authenticated and
delivered after the execution of any supplemental indenture pursuant to the provisions of this Article 10 may, at the Company’s expense, bear a notation in form reasonably acceptable to the Company and the Trustee as to any matter provided
for in such supplemental indenture. If the Company or the Trustee shall so determine, new Notes so modified as to conform, in the opinion of the Trustee and the Board of Directors, to any modification of this Indenture contained in any such
supplemental indenture may, at the Company’s expense, be prepared and executed by the Company, authenticated, upon receipt of a Company Order, by the Trustee (or an authenticating agent duly appointed by the Trustee pursuant to
Section 17.10) and delivered in exchange for the Notes then outstanding, upon surrender of such Notes then outstanding. 

Section 10.05. Evidence of Compliance of Supplemental Indenture to Be Furnished Trustee. In addition to the documents required by
Section 17.05, the Trustee shall receive an Officer’s Certificate and an Opinion of Counsel as conclusive evidence that any supplemental indenture executed pursuant hereto complies with the requirements of this Article 10 and is

  
 56 

 
permitted or authorized by this Indenture, and an Opinion of Counsel stating that such supplemental indenture is a valid and binding obligation of the Company, enforceable against the Company and
any guarantors, as applicable, in accordance with its terms, subject to bankruptcy, insolvency, reorganization and other laws of general applicability relating to or affecting the enforcement of creditors’ rights and to general equity
principles. 
 ARTICLE 11 

CONSOLIDATION, MERGER, SALE, CONVEYANCE AND LEASE 

Section 11.01. Company May Consolidate, Etc. on Certain Terms. Subject to the provisions of Section 11.02, the Company shall
not consolidate with, merge with or into, or sell, convey, transfer or lease all or substantially all of its properties and assets to another Person, unless: 

(a)    the resulting, surviving or transferee Person (the “Successor Company”), if not the Company, shall
be a corporation organized and existing under the laws of the United States of America, any State thereof or the District of Columbia, and the Successor Company (if not the Company) shall expressly assume, by supplemental indenture all of the
obligations of the Company under the Notes and this Indenture; and 
 (b)    immediately after giving effect to such
transaction, no Default or Event of Default shall have occurred and be continuing under this Indenture. 
 For purposes of this
Section 11.01, the sale, conveyance, transfer or lease of all or substantially all of the properties and assets of one or more Subsidiaries of the Company to another Person, which properties and assets, if held by the Company instead of such
Subsidiaries, would constitute all or substantially all of the properties and assets of the Company on a consolidated basis, shall be deemed to be the sale, conveyance, transfer or lease of all or substantially all of the properties and assets of
the Company to another Person. 
 Section 11.02. Successor Corporation to Be Substituted. In case of any such consolidation,
merger, sale, conveyance, transfer or lease and upon the assumption by the Successor Company, by supplemental indenture, executed and delivered to the Trustee, of the due and punctual payment of the principal of and accrued and unpaid interest on
all of the Notes, the due and punctual delivery or payment, as the case may be, of any consideration due upon conversion of the Notes and the due and punctual performance of all of the covenants and conditions of this Indenture to be performed by
the Company, such Successor Company (if not the Company) shall succeed to and, except in the case of a lease of all or substantially all of the Company’s properties and assets, shall be substituted for the Company, with the same effect as if it
had been named herein as the party of the first part. Such Successor Company thereupon may cause to be signed, and may issue either in its own name or in the name of the Company any or all of the Notes issuable hereunder which theretofore shall not
have been signed by the Company and delivered to the Trustee; and, upon the order of such Successor Company instead of the Company and subject to all the terms, conditions and limitations in this Indenture prescribed, the Trustee shall authenticate
and shall deliver, or cause to be authenticated and delivered, any Notes 

  
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that previously shall have been signed and delivered by the Officers of the Company to the Trustee for authentication, and any Notes that such Successor Company thereafter shall cause to be
signed and delivered to the Trustee for that purpose. All the Notes so issued shall in all respects have the same legal rank and benefit under this Indenture as the Notes theretofore or thereafter issued in accordance with the terms of this
Indenture as though all of such Notes had been issued at the date of the execution hereof. In the event of any such consolidation, merger, sale, conveyance or transfer (but not in the case of a lease), upon compliance with this Article 11 the Person
named as the “Company” in the first paragraph of this Indenture (or any successor that shall thereafter have become such in the manner prescribed in this Article 11) may be dissolved, wound up and liquidated at any time thereafter and,
except in the case of a lease, such Person shall be released from its liabilities as obligor and maker of the Notes and from its obligations under this Indenture and the Notes. 

In case of any such consolidation, merger, sale, conveyance, transfer or lease, such changes in phraseology and form (but not in substance)
may be made in the Notes thereafter to be issued as may be appropriate. 
 Section 11.03. Officer’s Certificate
and Opinion of Counsel to Be Given to Trustee. If such Successor Company is not the Company, no such consolidation, merger, sale, conveyance, transfer or lease shall be effective unless the Trustee shall receive an Officer’s Certificate and
an Opinion of Counsel as conclusive evidence that any such consolidation, merger, sale, conveyance, transfer or lease and any such assumption and, if a supplemental indenture is required in connection with such transaction, such supplemental
indenture, complies with the provisions of this Article 11. 
 ARTICLE 12 

IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND
DIRECTORS 
 Section 12.01. Indenture and Notes Solely Corporate Obligations. No recourse for the payment of the
principal of or accrued and unpaid interest on, or the payment or delivery of any Common Stock or cash due upon conversion of, any Note, nor for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any obligation,
covenant or agreement of the Company in this Indenture or in any supplemental indenture or in any Note, nor because of the creation of any indebtedness represented thereby, shall be had against any incorporator, stockholder, employee, agent, Officer
or director or Subsidiary, as such, past, present or future, of the Company or of any successor corporation, either directly or through the Company or any successor corporation, whether by virtue of any constitution, statute or rule of law, or by
the enforcement of any assessment or penalty or otherwise; it being expressly understood that all such liability is hereby expressly waived and released as a condition of, and as a consideration for, the execution of this Indenture and the issue of
the Notes. 

  
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 ARTICLE 13 

[INTENTIONALLY OMITTED] 

ARTICLE 14 

CONVERSION OF NOTES 

Section 14.01. Conversion Privilege. (a) Subject to and upon compliance with the provisions of this Article 14, each Holder
of a Note shall have the right, at such Holder’s option, to convert all or any portion (if the portion to be converted is a minimum of $1,000 principal amount or an integral multiple thereof) of such Note (i) subject to satisfaction of the
conditions described in Section 14.01(b), at any time prior to the close of business on the Business Day immediately preceding March 15, 2025 under the circumstances and during the periods set forth in Section 14.01(b), and
(ii) regardless of the conditions described in Section 14.01(b), on or after March 15, 2025 and prior to the close of business on the second Scheduled Trading Day immediately preceding the Maturity Date, in each case, based on an
initial conversion rate of 22.2913 shares of Common Stock (subject to adjustment as provided in this Article 14, the “Conversion Rate”) per $1,000 principal amount of Notes (subject to, and in accordance with, the settlement
provisions of Section 14.02, the “Conversion Obligation”). 
 (b)    (i) Prior to the close of
business on the Business Day immediately preceding March 15, 2025, a Holder may surrender all or any portion of its Notes for conversion at any time during the five Business Day period immediately after any five consecutive Trading Day period
(the “Measurement Period”) in which the Trading Price per $1,000 principal amount of Notes, as determined following a request by a Holder of Notes in accordance with this subsection (b)(i), for each Trading Day of the Measurement
Period was less than 98% of the product of the Last Reported Sale Price of the Common Stock and the Conversion Rate on each such Trading Day. The Trading Prices shall be determined by the Bid Solicitation Agent pursuant to this subsection (b)(i) and
the definition of Trading Price set forth in Section 1.01. At such time as the Company directs the Bid Solicitation Agent (if other than the Company) in writing to solicit bid quotations, the Company shall provide written notice to the Bid
Solicitation Agent (if other than the Company) of the three independent nationally recognized securities dealers selected by the Company pursuant to the definition of Trading Price, along with appropriate contact information for each, and the
Company shall direct those securities dealers to provide bids to the Bid Solicitation Agent in accordance with the definition of Trading Price. The Bid Solicitation Agent (if other than the Company) shall have no obligation to determine the Trading
Price per $1,000 principal amount of Notes unless the Company has requested such determination in writing, and the Company shall have no obligation to make such request (or, if the Company is acting as Bid Solicitation Agent, the Company shall have
no obligation to determine the Trading Price per $1,000 principal amount of Notes) unless a Holder provides the Company with reasonable evidence that the Trading Price per $1,000 principal amount of Notes on any Trading Day would be less than 98% of
the product of the Last Reported Sale Price of the Common Stock on such Trading Day and the Conversion Rate on such Trading Day, at which time the Company shall instruct the Bid Solicitation Agent (if other than the Company) to determine, or if the
Company is acting as Bid Solicitation Agent, the Company shall determine, the Trading Price per $1,000 principal amount of Notes beginning on the next Trading Day and on each successive 

  
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Trading Day until the Trading Price per $1,000 principal amount of Notes is greater than or equal to 98% of the product of the Last Reported Sale Price of the Common Stock and the Conversion
Rate. If (x) the Company is not acting as Bid Solicitation Agent, and the Company does not instruct the Bid Solicitation Agent in writing to determine the Trading Price per $1,000 principal amount of Notes when obligated as provided in the
preceding sentence, or if the Company instructs the Bid Solicitation Agent in writing to obtain bids and the Bid Solicitation Agent fails to make such determination, or (y) the Company is acting as Bid Solicitation Agent and the Company fails
to make such determination when obligated as provided in the preceding sentence, then, in either case, the Trading Price per $1,000 principal amount of Notes shall be deemed to be less than 98% of the product of the Last Reported Sale Price of the
Common Stock and the Conversion Rate on each Trading Day of such failure. If the Trading Price condition set forth above has been met, the Company shall so notify the Holders, the Trustee and the Conversion Agent (if other than the Trustee) in
writing. If, at any time after the Trading Price condition set forth above has been met, the Trading Price per $1,000 principal amount of Notes is greater than or equal to 98% of the product of the Last Reported Sale Price of the Common Stock and
the Conversion Rate for such date, the Company shall so notify the Holders of the Notes, the Trustee and the Conversion Agent (if other than the Trustee) in writing. 

(ii)    If, prior to the close of business on the Business Day immediately preceding March 15, 2025,
the Company elects to: 
 (A)    issue to all or substantially all holders of the Common Stock any
rights, options or warrants (other than in connection with a stockholder rights plan prior to separation of such rights from the Common Stock) entitling them, for a period of not more than 45 calendar days after the announcement date of such
issuance, to subscribe for or purchase shares of the Common Stock at a price per share that is less than the average of the Last Reported Sale Prices of the Common Stock for the 10 consecutive Trading Day period ending on, and including, the Trading
Day immediately preceding the date of announcement of such issuance; or 
 (B)    distribute to all or
substantially all holders of the Common Stock the Company’s assets, securities or rights to purchase securities of the Company, which distribution has a per share value, as determined by the Company in good faith and in a commercially
reasonable manner, exceeding 10% of the Last Reported Sale Price of the Common Stock on the Trading Day immediately preceding the date of announcement for such distribution, 

then, in either case, the Company shall notify all Holders of the Notes, the Trustee and the Conversion Agent (if other than the Trustee) in writing at least
60 Scheduled Trading Days prior to the Ex-Dividend Date for such issuance or distribution (or, if later in the case of any separation of rights issued pursuant to a stockholder rights plan, as soon as
reasonably practicable after the Company becomes aware that such separation has occurred or will occur). Notwithstanding anything to the contrary in the preceding sentence, if the Company is then otherwise permitted to settle conversions by Physical
Settlement (and, for the avoidance of 

  
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doubt, the Company has not elected another Settlement Method to apply), then the Company may instead elect to provide such notice at least 10 Scheduled Trading Days before such Ex-Dividend Date, in which case the Company shall be required to settle all conversions with a Conversion Date occurring on or after the date the Company provides such notice and on or before the Business Day
immediately preceding the Ex-Dividend Date for such issuance or distribution (or any earlier announcement by the Company that such issuance or distribution shall not take place) by Physical Settlement, and the
Company shall describe the same in the notice. Once the Company has given such notice, a Holder may surrender all or any portion of its Notes for conversion at any time until the earlier of (1) the close of business on the Business Day
immediately preceding the Ex-Dividend Date for such issuance or distribution and (2) the Company’s announcement that such issuance or distribution will not take place, in each case, even if the Notes
are not otherwise convertible at such time. 
 Notwithstanding the foregoing, the Notes shall not become convertible on account of such
issuance or distribution pursuant to this Section 14.01(b)(ii) (provided that the Company shall still be required to send notice of such issuance or distribution as described in the preceding paragraph) if each Holder participates, at
the same time and on the same terms as holders of the Common Stock, and solely by virtue of being a Holder of a Note, in such issuance or distribution without having to convert such Notes held by such Holder as if such Holder held a number of shares
of Common Stock equal to the product of (i) the Conversion Rate in effect on the Record Date for such issuance or distribution and (ii) the aggregate principal amount (expressed in thousands) of Notes held by such Holder on such date. 

(iii)    If a transaction or event that constitutes a Fundamental Change or a Make-Whole Fundamental Change
occurs prior to the close of business on the Business Day immediately preceding March 15, 2025, regardless of whether a Holder has the right to require the Company to repurchase the Notes pursuant to Section 15.02, or if the Company is a
party to a Share Exchange Event that occurs prior to the close of business on the Business Day immediately preceding March 15, 2025 (each such Fundamental Change, Make-Whole Fundamental Change or Share Exchange Event, a “Corporate
Event”), then, in each case, all or any portion of a Holder’s Notes may be surrendered for conversion at any time from or after the effective date of such Corporate Event until the 35th Trading Day after such effective date or, if such
Corporate Event also constitutes a Fundamental Change, until the related Fundamental Change Repurchase Date. The Company shall notify Holders, the Trustee and the Conversion Agent (if other than the Trustee) of such Corporate Event and the related
conversion right within two Business Days following the effective date of such Corporate Event. If the Company does not provide such notice by the second Business Day after such effective date, then the last day on which the Notes are convertible
pursuant to this Section 14.01(b)(iii) as a result of such Corporate Event shall be extended by the number of Business Days from, and including, the second Business Day after such effective date to, but excluding, the date on which the Company
provides the notice. 
 (iv)    Prior to the close of business on the Business Day immediately preceding
March 15, 2025, a Holder may surrender all or any portion of its Notes for conversion at 

  
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any time during any calendar quarter commencing after the calendar quarter ending on December 31, 2020 (and only during such calendar quarter), if the Last Reported Sale Price of the Common
Stock for at least 20 Trading Days (whether or not consecutive) during the period of 30 consecutive Trading Days ending on, and including, the last Trading Day of the immediately preceding calendar quarter is greater than or equal to 130% of the
Conversion Price on each applicable Trading Day. The Company shall determine at the beginning of each calendar quarter commencing after December 31, 2020 whether the Notes may be surrendered for conversion in accordance with this clause
(iv) and shall notify the Holders, the Conversion Agent and the Trustee in writing if the Notes become convertible in accordance with this clause (iv). Neither the Trustee nor the Conversion Agent shall have any duty to determine or verify the
Company’s determination of whether the conditions to conversion set forth in this Section 14.01(b)(iv) have been met. 

(v)    If the Company calls any or all of the Notes for redemption pursuant to Article 16, Holders may
surrender for conversion Notes that have been so called (or deemed called in accordance with the last sentence of this clause (v)) for redemption at any time prior to the close of business on the Scheduled Trading Day immediately prior to the
Redemption Date, even if such Notes are not otherwise convertible at such time. After that time, the right to convert such Notes on account of such Redemption Notice shall expire, unless the Company defaults in the payment of the Redemption Price,
in which case a Holder of Notes called (or deemed called in accordance with the last sentence of this clause (v)) for redemption may convert all or any portion of such Notes called (or deemed called in accordance with the last sentence of this
clause (v)) for redemption until the Redemption Price has been paid or duly provided for. If the Company elects to redeem less than all of the outstanding Notes pursuant to Article 16, and the Holder of any Note (or any owner of a beneficial
interest in any Global Note) is reasonably not able to determine, before the close of business on the 52nd Scheduled Trading Day immediately before the relevant Redemption Date, whether such Note or beneficial interest, as applicable, is to be
redeemed pursuant to such redemption, then, notwithstanding anything to the contrary in this Indenture or the Notes, such Holder or owner, as applicable, shall be entitled to convert such Note or beneficial interest, as applicable, at any time
before the close of business on the Scheduled Trading Day immediately prior to such Redemption Date, unless the Company defaults in the payment of the Redemption Price, in which case such Holder or owner, as applicable, shall be entitled to convert
such Note or beneficial interest, as applicable, until the Redemption Price has been paid or duly provided for, and in each case each such conversion shall be deemed to be of a Note called for redemption (including, without limitation, for purposes
of Section 14.03). 
 Section 14.02. Conversion Procedure; Settlement Upon Conversion. 

(a)    Subject to this Section 14.02, Section 14.03(b) and Section 14.07(a), upon conversion of any Note,
the Company shall pay or deliver, as the case may be, to the converting Holder, in respect of each $1,000 principal amount of Notes being converted, cash (“Cash 

  
 62 

 
Settlement”), shares of Common Stock, together, if applicable, with cash in lieu of delivering any fractional share of Common Stock in accordance with subsection (j) of this
Section 14.02 (“Physical Settlement”) or a combination of cash and shares of Common Stock, together with cash, if applicable, in lieu of delivering any fractional share of Common Stock in accordance with subsection (j) of
this Section 14.02 (“Combination Settlement”), at its election, as set forth in this Section 14.02. 

(i)    All conversions of Notes called for redemption (or deemed called for redemption pursuant to
Section 14.01(b)(v)) for which the relevant Conversion Date occurs during the related Redemption Period, and all conversions for which the relevant Conversion Date occurs on or after March 15, 2025, shall be settled using the same
Settlement Method. 
 (ii)    Except for any conversions referred to in Section 14.02(a)(i) for
which the relevant Conversion Date occurs during a Redemption Period, and any conversions for which the relevant Conversion Date occurs on or after March 15, 2025, the Company shall use the same Settlement Method for all conversions with the
same Conversion Date, but the Company shall not have any obligation to use the same Settlement Method with respect to conversions with different Conversion Dates. 

(iii)    If, in respect of any Conversion Date (or the period described in the fourth immediately
succeeding set of parentheses, as the case may be), the Company elects to deliver a notice (the “Settlement Notice”) of the relevant Settlement Method in respect of such Conversion Date (or such period, as the case may be), the
Company shall deliver such Settlement Notice in writing to converting Holders (with a written copy to the Trustee and the Conversion Agent (if other than the Trustee)) no later than the close of business on the Trading Day immediately following the
relevant Conversion Date (or, in the case of (x) any conversions of Notes called for redemption (or deemed called for redemption pursuant to Section 14.01(b)(v)) for which the relevant Conversion Date occurs during a related Redemption
Period, in the relevant Redemption Notice, or (y) any conversions of Notes for which the relevant Conversion Date occurs on or after March 15, 2025, no later than March 15, 2025). If the Company calls all or any Notes for redemption
and the related Redemption Date is on or after March 15, 2025, then the Settlement Method that the Company elects to apply for conversions pursuant to Section 14.01(b)(v) with a Conversion Date occurring during the related Redemption
Period must be the same Settlement Method that applies to all conversions with a Conversion Date that occurs on or after March 15, 2025. If the Company does not elect a Settlement Method with respect to a conversion prior to the deadline set
forth in the second immediately preceding sentence, then the Company shall no longer have the right to elect Cash Settlement or Physical Settlement for such conversion and the Company shall be deemed to have elected Combination Settlement in respect
of its Conversion Obligation, and the Specified Dollar Amount per $1,000 principal amount of Notes shall be equal to $1,000, for such conversion. Such Settlement Notice shall specify the relevant Settlement Method and in the case of an election of
Combination Settlement, the relevant Settlement Notice shall indicate the Specified Dollar Amount per $1,000 principal 

  
 63 

 
amount of Notes. If the Company delivers a Settlement Notice to Holders (with a written copy to the Trustee and the Conversion Agent (if other than the Trustee)) electing Combination Settlement
in respect of its Conversion Obligation but does not indicate a Specified Dollar Amount per $1,000 principal amount of Notes in such Settlement Notice, the Specified Dollar Amount per $1,000 principal amount of Notes shall be deemed to be $1,000.

 By notice to Holders of the Notes, the Trustee and the Conversion Agent (if other than the Trustee), the Company may,
prior to March 15, 2025, at its option, irrevocably elect to satisfy its Conversion Obligation with respect to the Notes through any Settlement Method that the Company is then permitted to elect for all Conversion Dates occurring subsequent to
delivery of such notice. Notwithstanding the foregoing, no such irrevocable election shall affect any Settlement Method theretofore elected (or deemed to be elected) with respect to any Note pursuant to this Section 14.02. For the avoidance of
doubt, such an irrevocable election, if made, shall be effective without the need to amend this Indenture or the Notes, including pursuant to Section 10.01(g). However, the Company may nonetheless choose to execute such an amendment at the
Company’s option. 
 If the Company irrevocably fixes the Settlement Method pursuant to the immediately preceding
paragraph, then the Company shall either post the fixed Settlement Method on its website or disclose the same in a current report on Form 8-K (or any successor form) that is filed with the Commission. 

(iv)    The cash, shares of Common Stock or combination of cash and shares of Common Stock in respect of
any conversion of Notes (the “Settlement Amount”) shall be computed as follows: 

(A)    if the Company elects to satisfy its Conversion Obligation in respect of such conversion by Physical
Settlement, the Company shall deliver to the converting Holder in respect of each $1,000 principal amount of Notes being converted a number of shares of Common Stock equal to the Conversion Rate in effect immediately after the close of business on
the relevant Conversion Date; 
 (B)    if the Company elects to satisfy its Conversion Obligation in
respect of such conversion by Cash Settlement, the Company shall pay to the converting Holder in respect of each $1,000 principal amount of Notes being converted cash in an amount equal to the sum of the Daily Conversion Values for each of the 50
consecutive Trading Days during the related Observation Period; and 
 (C)    if the Company elects (or
is deemed to have elected) to satisfy its Conversion Obligation in respect of such conversion by Combination Settlement, the Company shall pay or deliver, as the case may be, in respect of each $1,000 principal amount of Notes being converted, a
Settlement Amount equal to the sum of the Daily Settlement Amounts for each of the 50 consecutive Trading Days during the related Observation Period. 

  
 64 

 (v)    The Daily Settlement Amounts (if applicable) and
the Daily Conversion Values (if applicable) shall be determined by the Company as soon as reasonably practicable following the last day of the Observation Period. Following such determination of the Daily Settlement Amounts or the Daily Conversion
Values, as the case may be, and the amount of cash payable in lieu of delivering any fractional share of Common Stock, the Company shall notify the Trustee and the Conversion Agent (if other than the Trustee) of the Daily Settlement Amounts or the
Daily Conversion Values, as the case may be, and the amount of cash payable in lieu of delivering fractional shares of Common Stock. The Trustee and the Conversion Agent (if other than the Trustee) shall have no responsibility for any such
determination. 
 (b)    Subject to Section 14.02(e), before any Holder of a Note shall be entitled to convert a
Note as set forth above, such Holder shall (i) in the case of a Global Note, comply with the procedures of the Depositary in effect at that time and, if required, pay to the Company funds equal to interest payable on the next Interest Payment
Date as set forth in Section 14.02(h) and (ii) in the case of a Physical Note (1) complete, manually sign and deliver a medallion-stamped guaranteed irrevocable notice to the Conversion Agent as set forth in the Form of Notice of
Conversion (a “Notice of Conversion”) at the office of the Conversion Agent and state in writing therein the principal amount of Notes to be converted and the name or names (with addresses) in which such Holder wishes the
certificate or certificates for any shares of Common Stock to be delivered upon settlement of the Conversion Obligation to be registered, (2) surrender such Notes, duly endorsed to the Company or in blank (and accompanied by appropriate
endorsement and transfer documents), at the office of the Conversion Agent, (3) if required, furnish appropriate endorsements and transfer documents and (4) if required, pay to the Company funds equal to interest payable on the next
Interest Payment Date as set forth in Section 14.02(h). The Trustee (and if different, the Conversion Agent) shall notify the Company of any conversion pursuant to this Article 14 on the Conversion Date for such conversion. No Notice of
Conversion with respect to any Notes may be surrendered by a Holder thereof if such Holder has also delivered a Fundamental Change Repurchase Notice to the Company in respect of such Notes and has not validly withdrawn such Fundamental Change
Repurchase Notice in accordance with Section 15.03. 
 Subject to any procedures or requirements of the applicable Depositary in the
case of any Global Note, if more than one Note shall be surrendered for conversion at one time by the same Holder, the Conversion Obligation with respect to such Notes shall be computed on the basis of the aggregate principal amount of the Notes (or
specified portions thereof to the extent permitted thereby) so surrendered. 
 (c)    A Note shall be deemed to have
been converted immediately prior to the close of business on the date (the “Conversion Date”) that the Holder has complied with the requirements set forth in subsection (b) above. Except as set forth in Section 14.03(b)
and Section 14.07(a), the Company shall pay or deliver, as the case may be, the consideration due in 

  
 65 

 
respect of the Conversion Obligation on the second Business Day immediately following the relevant Conversion Date, if the Company elects Physical Settlement (provided that, with respect
to any Conversion Date occurring after the Regular Record Date immediately preceding the Maturity Date, the Company shall settle the related conversion on the Maturity Date), or on the second Business Day immediately following the last Trading Day
of the Observation Period, in the case of any other Settlement Method. If any shares of Common Stock are due to a converting Holder, the Company shall issue and deliver (or otherwise cause to be issued and delivered) to such Holder, or such
Holder’s nominee or nominees, the full number of shares of Common Stock to which such Holder shall be entitled, in book-entry format through the Depositary, in satisfaction of the Company’s Conversion Obligation. 

(d)    In case any Note shall be surrendered for partial conversion, the Company shall execute and the Trustee shall
authenticate and deliver to or upon the written order of the Holder of the Note so surrendered a new Note or Notes in Authorized Denominations in an aggregate principal amount equal to the unconverted portion of the surrendered Note, without payment
of any service charge by the converting Holder but, if required by the Company or Trustee, with payment of a sum sufficient to cover any documentary, stamp or similar issue or transfer tax or similar governmental charge required by law or that may
be imposed in connection therewith as a result of the name of the Holder of the new Notes issued upon such conversion being different from the name of the Holder of the old Notes surrendered for such conversion. 

(e)    If a Holder submits a Note for conversion, the Company shall pay any documentary, stamp or similar issue or
transfer tax due on the issue or delivery of any shares of Common Stock upon conversion, unless the tax is due because the Holder requests such shares to be issued in a name other than the Holder’s name, in which case the Holder shall pay that
tax. The Company may refuse to deliver the certificates (or book-entry evidence) representing the shares of Common Stock being issued in a name other than the Holder’s name until the Company receives a sum sufficient to pay any tax that is due
by such Holder in accordance with the immediately preceding sentence. 
 (f)    Except as provided in
Section 14.04, no adjustment shall be made for dividends on any shares of Common Stock issued upon the conversion of any Note as provided in this Article 14. 

(g)    Upon the conversion of an interest in a Global Note, the Trustee, or the Custodian at the direction of the Trustee,
shall make a notation on such Global Note as to the reduction in the principal amount represented thereby. The Company shall notify the Trustee in writing of any conversion of Notes effected through any Conversion Agent other than the Trustee. 

(h)    Upon conversion, a Holder shall not receive any separate cash payment for accrued and unpaid interest, if any,
except as set forth below. The Company’s settlement of the full Conversion Obligation shall be deemed to satisfy in full its obligation to pay the principal amount of the Note and accrued and unpaid interest, if any, to, but not including, the
relevant Conversion Date. As a result, accrued and unpaid interest, if any, to, but not including, the relevant Conversion Date shall be deemed to be paid in full rather than cancelled, extinguished 

  
 66 

 
or forfeited. Upon a conversion of Notes into a combination of cash and shares of Common Stock, accrued and unpaid interest will be deemed to be paid first out of the cash paid upon such
conversion. Notwithstanding the foregoing, if Notes are converted after the close of business on a Regular Record Date, Holders of such Notes as of the close of business on such Regular Record Date will receive the full amount of interest payable on
such Notes on the corresponding Interest Payment Date notwithstanding the conversion. Notes surrendered for conversion during the period from the close of business on any Regular Record Date to the open of business on the immediately following
Interest Payment Date must be accompanied by funds equal to the amount of interest payable on the Notes so converted; provided, however, that no such payment shall be required (1) for conversions following the Regular Record Date
immediately preceding the Maturity Date; (2) if the Company has specified a Redemption Date that is after a Regular Record Date and on or prior to the Business Day immediately following the corresponding Interest Payment Date; (3) if the
Company has specified a Fundamental Change Repurchase Date that is after a Regular Record Date and on or prior to the Business Day immediately following the corresponding Interest Payment Date; or (4) to the extent of any Defaulted Amounts, if
any Defaulted Amounts exists at the time of conversion with respect to such Note. Therefore, for the avoidance of doubt, all Holders of record as of the close of business on the Regular Record Date immediately preceding the Maturity Date shall
receive the full interest payment due on the Maturity Date in cash regardless of whether their Notes have been converted following such Regular Record Date, and the converting Holder shall not be required to make a corresponding payment. 

(i)    The Person in whose name any shares of Common Stock shall be issuable upon conversion shall be treated as a
stockholder of record of such shares as of the close of business on the relevant Conversion Date (if the Company elects to satisfy the related Conversion Obligation by Physical Settlement) or the last Trading Day of the relevant Observation Period
(if the Company elects to satisfy the related Conversion Obligation by Combination Settlement), as the case may be. Upon a conversion of Notes, such Person shall no longer be a Holder of such Notes surrendered for conversion. 

(j)    The Company shall not issue any fractional share of Common Stock upon conversion of the Notes and shall instead pay
cash in lieu of delivering any fractional share of Common Stock issuable upon conversion based on the Daily VWAP for the relevant Conversion Date (in the case of Physical Settlement) or based on the Daily VWAP for the last Trading Day of the
relevant Observation Period (in the case of Combination Settlement). Subject to any procedures or requirements of the applicable Depositary in the case of any Global Note, for each Note surrendered for conversion, if the Company has elected
Combination Settlement, the full number of shares that shall be issued upon conversion thereof shall be computed on the basis of the aggregate Daily Settlement Amounts for the relevant Observation Period and any fractional shares remaining after
such computation shall be paid in cash. 
 Section 14.03. Increased Conversion Rate Applicable to Certain Notes Surrendered in
Connection with Make-Whole Fundamental Changes or Redemption Notice. (a) If (x) the Effective Date of a Make-Whole Fundamental Change occurs prior to the Maturity Date or (y) the Company gives a Redemption Notice with respect to any or
all of the Notes in accordance 

  
 67 

 
with Section 16.02 and, in each case, a Holder elects to convert any Note in connection with such Make-Whole Fundamental Change or Redemption Notice, as the case may be, then the Company
shall, under the circumstances set forth below, increase the Conversion Rate for the Notes so surrendered for conversion by a number of additional shares of Common Stock (the “Additional Shares”), as set forth below. A conversion of
Notes shall be deemed for these purposes to be “in connection with” such Make-Whole Fundamental Change if the relevant Notice of Conversion is received by the Conversion Agent from, and including, the Effective Date of such Make-Whole
Fundamental Change up to, and including, the Business Day immediately prior to the related Fundamental Change Repurchase Date (or, in the case of a Make-Whole Fundamental Change that would have been a Fundamental Change but for the proviso in
clause (b) of the definition thereof, the 35th Trading Day immediately following the Effective Date of such Make-Whole Fundamental Change) (such period, the “Make-Whole Fundamental Change Period”). A conversion of Notes called
for redemption (or deemed called for redemption pursuant to Section 14.01(b)(v)) shall be deemed for these purposes to be “in connection with” a Redemption Notice if the relevant Conversion Date occurs during the related Redemption
Period. For the avoidance of doubt, the Company shall increase the Conversion Rate in connection with a Redemption Notice only with respect to conversions of Notes called (or deemed called) for redemption, and not for Notes not called (or deemed
called) for redemption. Accordingly, if the Company elects to redeem less than all of the outstanding Notes pursuant to Article 16, Holders of the Notes not called for redemption shall not be entitled to convert such Notes on account of the
Redemption Notice and shall not be entitled to an increased Conversion Rate for conversions of such Notes on account of the Redemption Notice during the related Redemption Period if such Notes are otherwise convertible, except in the limited
circumstances set forth under Section 14.01(b)(v). 
 (b)    Upon surrender of Notes for conversion in connection
with a Make-Whole Fundamental Change or Redemption Notice, the Company shall, at its option, satisfy the related Conversion Obligation by Physical Settlement, Cash Settlement or Combination Settlement in accordance with Section 14.02;
provided, however, that if, at the effective time of a Make-Whole Fundamental Change described in clause (b) of the definition of Fundamental Change that constitutes a Share Exchange Event, the Reference Property of which is
composed entirely of cash, for any conversion of Notes following the Effective Date of such Make-Whole Fundamental Change, the Conversion Obligation shall be calculated based solely on the Stock Price for the transaction and shall be deemed to be an
amount of cash per $1,000 principal amount of converted Notes equal to the Conversion Rate (including any adjustment for Additional Shares), multiplied by such Stock Price. In such event, the Conversion Obligation shall be paid to Holders in
cash on the second Business Day following the Conversion Date. The Company shall notify the Holders, the Trustee and the Conversion Agent (if other than the Trustee) in writing of the Effective Date of any Make-Whole Fundamental Change no later than
five Business Days after such Effective Date. 
 (c)    The number of Additional Shares, if any, by which the Conversion
Rate shall be increased shall be determined by reference to the table below, based on the date on which the Make-Whole Fundamental Change occurs or becomes effective or the date of the Redemption Notice, as the case may be (in each case, the
“Effective Date”), and the price (the “Stock Price”) paid (or deemed to be paid) per share of the Common Stock in the Make-Whole 

  
 68 

 
Fundamental Change or with respect to the Optional Redemption, as the case may be. If the holders of the Common Stock receive in exchange for their Common Stock only cash in a Make-Whole
Fundamental Change described in clause (b) of the definition of Fundamental Change, the Stock Price shall be the cash amount paid per share. Otherwise, the Stock Price shall be the average of the Last Reported Sale Prices of the Common Stock
over the five Trading Day period ending on, and including, the Trading Day immediately preceding the Effective Date of the Make-Whole Fundamental Change or the date the Company sends the Redemption Notice, as the case may be. The Company shall make
appropriate adjustments to the Stock Price, in its good faith determination and in a commercially reasonable manner, to account for any adjustment to the Conversion Rate that becomes effective, or any event requiring an adjustment to the Conversion
Rate where the Ex-Dividend Date, Effective Date (as such term is used in Section 14.04) or expiration date of the event occurs during such five consecutive Trading Day period. 

(d)    The Stock Prices set forth in the column headings of the table below shall be adjusted as of any date on which the
Conversion Rate of the Notes is otherwise adjusted. The adjusted Stock Prices shall equal the Stock Prices applicable immediately prior to such adjustment, multiplied by a fraction, the numerator of which is the Conversion Rate immediately
prior to such adjustment giving rise to the Stock Price adjustment and the denominator of which is the Conversion Rate as so adjusted. The number of Additional Shares set forth in the table below shall be adjusted in the same manner and at the same
time as the Conversion Rate as set forth in Section 14.04. 
 (e)    The following table sets forth the number of
Additional Shares of Common Stock by which the Conversion Rate shall be increased per $1,000 principal amount of Notes pursuant to this Section 14.03 for each Stock Price and Effective Date set forth below: 

 

																																																									
	 	 	Stock Price	 	 	  
	 
	 Effective Date
	 	$33.23	 	 	$35.00	 	 	$40.00	 	 	$44.86	 	 	$45.00	 	 	$50.00	 	 	$55.00	 	 	$58.32	 	 	$60.00	 	 	$70.00	 	 	$80.00	 	 	$100.00	 	 	$125.00	 	 	$150.00	 
	 August 20, 2020
	 	 	7.8019	 	 	 	7.1797	 	 	 	5.1648	 	 	 	3.8018	 	 	 	3.7689	 	 	 	2.7802	 	 	 	2.0669	 	 	 	1.7027	 	 	 	1.5445	 	 	 	0.8670	 	 	 	0.4815	 	 	 	0.1277	 	 	 	0.0063	 	 	 	0.0000	 
	 August 15, 2021
	 	 	7.8019	 	 	 	7.0994	 	 	 	5.0038	 	 	 	3.6043	 	 	 	3.5709	 	 	 	2.5718	 	 	 	1.8640	 	 	 	1.5087	 	 	 	1.3562	 	 	 	0.7174	 	 	 	0.3713	 	 	 	0.0777	 	 	 	0.0000	 	 	 	0.0000	 
	 August 15, 2022
	 	 	7.8019	 	 	 	6.9460	 	 	 	4.7523	 	 	 	3.3136	 	 	 	3.2798	 	 	 	2.2772	 	 	 	1.5867	 	 	 	1.2493	 	 	 	1.1068	 	 	 	0.5323	 	 	 	0.2443	 	 	 	0.0311	 	 	 	0.0000	 	 	 	0.0000	 
	 August 15, 2023
	 	 	7.8019	 	 	 	6.7057	 	 	 	4.3708	 	 	 	2.8825	 	 	 	2.8480	 	 	 	1.8540	 	 	 	1.2038	 	 	 	0.9016	 	 	 	0.7780	 	 	 	0.3134	 	 	 	0.1126	 	 	 	0.0020	 	 	 	0.0000	 	 	 	0.0000	 
	 August 15, 2024
	 	 	7.8019	 	 	 	6.3700	 	 	 	3.7623	 	 	 	2.1864	 	 	 	2.1518	 	 	 	1.2002	 	 	 	0.6564	 	 	 	0.4348	 	 	 	0.3517	 	 	 	0.0883	 	 	 	0.0121	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 
	 August 15, 2025
	 	 	7.8019	 	 	 	6.2801	 	 	 	2.7088	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 	 	 	0.0000	 

  
 69 

 The exact Stock Price and Effective Date may not be set forth in the table above, in which
case: 
 (i)    if the Stock Price is between two Stock Prices in the table above or the Effective Date
is between two Effective Dates in the table, the number of Additional Shares by which the Conversion Rate will be increased shall be determined by a straight-line interpolation between the number of Additional Shares set forth for the higher and
lower Stock Prices and the earlier and later Effective Dates, as applicable, based on a 365-day year; 

(ii)    if the Stock Price is greater than $150.00 per share (subject to adjustment in the same manner as
the Stock Prices set forth in the column headings of the table above pursuant to subsection (d) above), no Additional Shares shall be added to the Conversion Rate; and 

(iii)    if the Stock Price is less than $33.23 per share (subject to adjustment in the same manner as the
Stock Prices set forth in the column headings of the table above pursuant to subsection (d) above), no Additional Shares shall be added to the Conversion Rate. 

Notwithstanding the foregoing, in no event shall the Conversion Rate per $1,000 principal amount of Notes exceed 30.0932 shares of Common Stock, subject to
adjustment in the same manner as the Conversion Rate pursuant to Section 14.04. 
 (f)    Nothing in this
Section 14.03 shall prevent an adjustment to the Conversion Rate pursuant to Section 14.04 in respect of a Make-Whole Fundamental Change. 

Section 14.04. Adjustment of Conversion Rate. The Conversion Rate shall be adjusted from time to time by the Company if any of the
following events occurs, except that the Company shall not make any adjustments to the Conversion Rate if each Holder of the Notes participates (other than in the case of (x) a share split or share combination or (y) a tender or exchange
offer), at the same time and upon the same terms as holders of the Common Stock and solely as a result of holding the Notes, in any of the transactions described in this Section 14.04, without having to convert such Holder’s Notes, as if
such Holder held a number of shares of Common Stock equal to the Conversion Rate, multiplied by the principal amount (expressed in thousands) of Notes held by such Holder. 

(a)    If the Company exclusively issues shares of Common Stock as a dividend or distribution on all or substantially all
outstanding shares of the Common Stock, or if the Company effects a share split or share combination, the Conversion Rate shall be adjusted based on the following formula: 

 

									
		 	CR’	 	=	 	CR0  ×  	 	 OS’
	 	 OS0

  
 70 

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the open of business on the Ex-Dividend Date of such dividend or distribution, or immediately prior to the open of business on the Effective
Date of such share split or share combination, as applicable;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the open of business on such Ex-Dividend Date or Effective Date;
			
	OS0	  	=	  	the number of shares of Common Stock outstanding immediately prior to the open of business on such Ex-Dividend Date or Effective Date (before giving effect to such dividend, distribution,
split or combination); and
			
	OS’	  	=	  	the number of shares of Common Stock outstanding immediately after giving effect to such dividend, distribution, share split or share combination.

 Any adjustment made under this Section 14.04(a) shall become effective immediately after the open of business on the Ex-Dividend Date for such dividend or distribution, or immediately after the open of business on the Effective Date for such share split or share combination, as applicable. If any dividend or distribution of the
type described in this Section 14.04(a) is declared but not so paid or made, the Conversion Rate shall be immediately readjusted, effective as of the date the Board of Directors determines not to pay such dividend or distribution, to the
Conversion Rate that would then be in effect if such dividend or distribution had not been declared. 
 (b)    If the
Company issues to all or substantially all holders of the Common Stock any rights, options or warrants (other than in connection with a stockholders’ rights plan) entitling them, for a period of not more than 45 calendar days after the
announcement date of such issuance, to subscribe for or purchase shares of the Common Stock at a price per share that is less than the average of the Last Reported Sale Prices of the Common Stock for the 10 consecutive Trading Day period ending on,
and including, the Trading Day immediately preceding the date of announcement of such issuance, the Conversion Rate shall be increased based on the following formula: 

 

									
		 	CR’	 	=	 	CR0  ×  	 	 OS0  +  X
	 	 OS0  +  Y

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the open of business on the Ex-Dividend Date for such issuance;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the open of business on such Ex-Dividend Date;

  
 71 

					
	OS0	  	=	  	the number of shares of Common Stock outstanding immediately prior to the open of business on such Ex-Dividend Date;
			
	X	  	=	  	the total number of shares of Common Stock issuable pursuant to such rights, options or warrants; and
			
	Y	  	=	  	the number of shares of Common Stock equal to the aggregate price payable to exercise such rights, options or warrants, divided by the average of the Last Reported Sale Prices of the Common Stock over the 10 consecutive Trading Day
period ending on, and including, the Trading Day immediately preceding the date of announcement of the issuance of such rights, options or warrants.

 Any increase made under this Section 14.04(b) shall be made successively whenever any such rights, options or warrants
are issued and shall become effective immediately after the open of business on the Ex-Dividend Date for such issuance. To the extent that shares of the Common Stock are not delivered after the expiration of
such rights, options or warrants, the Conversion Rate shall be decreased to the Conversion Rate that would then be in effect had the increase with respect to the issuance of such rights, options or warrants been made on the basis of delivery of only
the number of shares of Common Stock actually delivered. If such rights, options or warrants are not so issued, the Conversion Rate shall be decreased to the Conversion Rate that would then be in effect if such
Ex-Dividend Date for such issuance had not occurred. 
 For purposes of this Section 14.04(b)
and for the purpose of Section 14.01(b)(ii)(A), in determining whether any rights, options or warrants entitle the holders to subscribe for or purchase shares of the Common Stock at less than such average of the Last Reported Sale Prices of the
Common Stock for the 10 consecutive Trading Day period ending on, and including, the Trading Day immediately preceding the date of announcement for such issuance, and in determining the aggregate offering price of such shares of Common Stock, there
shall be taken into account any consideration received by the Company for such rights, options or warrants and any amount payable on exercise or conversion thereof, the value of such consideration, if other than cash, to be determined by the Company
in good faith and in a commercially reasonable manner. 
 (c)    If the Company distributes shares of its Capital Stock,
evidences of its indebtedness, other assets or property of the Company or rights, options or warrants to acquire its Capital Stock or other securities, to all or substantially all holders of the Common Stock, excluding (i) dividends,
distributions or issuances as to which an adjustment was effected (or would have been effected but for the 1% Exception) pursuant to Section 14.04(a) or Section 14.04(b), (ii) dividends or distributions paid exclusively in cash as to which
the provisions set forth in Section 14.04(d) shall apply, (iii) rights issued pursuant to a rights plan, except to the extent set forth in Section 14.11, (iv) any distributions of Reference Property in exchange for the Common Stock in
connection with a Share Exchange Event, (v) tender offers and exchange offers as to which an adjustment is effected (or would have been effected but for the 1% Exception) pursuant to Section 14.04(e), and (vi) Spin-Offs as to which
the provisions set forth below in this Section 14.04(c) shall apply (any of such shares of Capital Stock, evidences of 

  
 72 

 
indebtedness, other assets or property or rights, options or warrants to acquire Capital Stock or other securities, the “Distributed Property”), then the Conversion Rate shall be
increased based on the following formula: 
  

									
		 	CR’	 	=	 	CR0  ×  	 	        SP0        
	 	 SP0  –  FMV

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the open of business on the Ex-Dividend Date for such distribution;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the open of business on such Ex-Dividend Date;
			
	SP0	  	=	  	the average of the Last Reported Sale Prices of the Common Stock over the 10 consecutive Trading Day period ending on, and including, the Trading Day immediately preceding the Ex-Dividend Date
for such distribution; and
			
	FMV	  	=	  	the fair market value (as determined by the Company in good faith and in a commercially reasonable manner) of the Distributed Property with respect to each outstanding share of the Common Stock on the
Ex-Dividend Date for such distribution.

 Any increase made under the portion of this Section 14.04(c) above shall become effective immediately after the open of
business on the Ex-Dividend Date for such distribution. If such distribution is not so paid or made, the Conversion Rate shall be decreased to the Conversion Rate that would then be in effect if such
distribution had not been declared. Notwithstanding the foregoing, if “FMV” (as defined above) is equal to or greater than “SP0” (as defined above), in lieu of the foregoing
increase, each Holder of a Note shall receive, in respect of each $1,000 principal amount thereof, at the same time and upon the same terms as holders of the Common Stock receive the Distributed Property, the amount and kind of Distributed Property
such Holder would have received if such Holder owned a number of shares of Common Stock equal to the Conversion Rate in effect on the Ex-Dividend Date for the distribution. If the Company determines the
“FMV” (as defined above) of any distribution for purposes of this Section 14.04(c) by reference to the actual or when-issued trading market for any securities, it shall in doing so consider the prices in such market over the same
period used in computing the Last Reported Sale Prices of the Common Stock over the 10 consecutive Trading Day period ending on, and including, the Trading Day immediately preceding the Ex-Dividend Date for
such distribution. 
 With respect to an adjustment pursuant to this Section 14.04(c) where there has been a payment of a dividend or
other distribution on the Common Stock of shares of Capital Stock of any class or series, or similar equity interest, of or relating to a Subsidiary or other business unit of the Company, that are, or, when issued, will be, listed or admitted for
trading on a U.S. 

  
 73 

 
national securities exchange (a “Spin-Off”), the Conversion Rate shall be increased based on the following formula: 

 

									
		 	CR’	  	=	  	CR0  ×  	  	 FMV0  +  MP0
	  	         MP0

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the end of the Valuation Period;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the end of the Valuation Period;
			
	FMV0	  	=	  	the average of the Last Reported Sale Prices of the Capital Stock or similar equity interest distributed to holders of the Common Stock applicable to one share of the Common Stock (determined by reference to the definitions of Last
Reported Sale Price, Trading Day and Market Disruption Event as set forth in Section 1.01 as if references therein to Common Stock were to such Capital Stock or similar equity interest) over the first 10 consecutive Trading Day period after,
and including, the Ex-Dividend Date of the Spin-Off (the “Valuation Period”); and
			
	MP0	  	=	  	the average of the Last Reported Sale Prices of the Common Stock over the Valuation Period.

 The increase to the Conversion Rate under the preceding paragraph shall occur at the close of business on the
last Trading Day of the Valuation Period; provided that (x) in respect of any conversion of Notes for which Physical Settlement is applicable, if the relevant Conversion Date occurs during the Valuation Period, references to
“10” in the preceding paragraph shall be deemed to be replaced with such lesser number of Trading Days as have elapsed between the Ex-Dividend Date of such
Spin-Off and the Conversion Date in determining the Conversion Rate and (y) in respect of any conversion of Notes for which Cash Settlement or Combination Settlement is applicable, for any Trading Day
that falls within the relevant Observation Period for such conversion and within the Valuation Period, references to “10” in the preceding paragraph shall be deemed to be replaced with such lesser number of Trading Days as have elapsed
between the Ex-Dividend Date of such Spin-Off and such Trading Day in determining the Conversion Rate as of such Trading Day. In addition, if the Ex-Dividend Date of the Spin-Off is after the 10th Trading Day immediately preceding, and including, the end of any Observation Period in respect of a conversion of Notes,
references to “10” or “10th” in the preceding paragraph and this paragraph shall be deemed to be replaced, solely in respect of that conversion of Notes, with such lesser number of Trading Days as have elapsed from, and
including, the Ex-Dividend Date for the Spin-Off to, and including, the last Trading Day of such Observation Period. 

For purposes of this Section 14.04(c) (and subject in all respect to Section 14.11), rights, options or warrants distributed by the
Company to all holders of the Common Stock entitling them to subscribe for or purchase shares of the Company’s Capital Stock, including Common 

  
 74 

 
Stock (either initially or under certain circumstances), which rights, options or warrants, until the occurrence of a specified event or events (“Trigger Event”): (i) are deemed
to be transferred with such shares of the Common Stock; (ii) are not exercisable; and (iii) are also issued in respect of future issuances of the Common Stock, shall be deemed not to have been distributed for purposes of this
Section 14.04(c) (and no adjustment to the Conversion Rate under this Section 14.04(c) will be required) until the occurrence of the earliest Trigger Event, whereupon such rights, options or warrants shall be deemed to have been
distributed and an appropriate adjustment (if any is required) to the Conversion Rate shall be made under this Section 14.04(c). If any such right, option or warrant, including any such existing rights, options or warrants distributed prior to
the date of this Indenture, are subject to events, upon the occurrence of which such rights, options or warrants become exercisable to purchase different securities, evidences of indebtedness or other assets, then the date of the occurrence of any
and each such event shall be deemed to be the date of distribution and Ex-Dividend Date with respect to new rights, options or warrants with such rights (in which case the existing rights, options or warrants
shall be deemed to terminate and expire on such date without exercise by any of the holders thereof). In addition, in the event of any distribution (or deemed distribution) of rights, options or warrants, or any Trigger Event or other event (of the
type described in the immediately preceding sentence) with respect thereto that was counted for purposes of calculating a distribution amount for which an adjustment to the Conversion Rate under this Section 14.04(c) was made, (1) in the
case of any such rights, options or warrants that shall all have been redeemed or purchased without exercise by any holders thereof, upon such final redemption or purchase (x) the Conversion Rate shall be readjusted as if such rights, options
or warrants had not been issued and (y) the Conversion Rate shall then again be readjusted to give effect to such distribution, deemed distribution or Trigger Event, as the case may be, as though it were a cash distribution, equal to the per
share redemption or purchase price received by a holder or holders of Common Stock with respect to such rights, options or warrants (assuming such holder had retained such rights, options or warrants), made to all holders of Common Stock as of the
date of such redemption or purchase, and (2) in the case of such rights, options or warrants that shall have expired or been terminated without exercise by any holders thereof, the Conversion Rate shall be readjusted as if such rights, options
and warrants had not been issued. 
 For purposes of Section 14.04(a), Section 14.04(b) and this Section 14.04(c), if any
dividend or distribution to which this Section 14.04(c) is applicable also includes one or both of: 
 (A)    a
dividend or distribution of shares of Common Stock to which Section 14.04(a) is applicable (the “Clause A Distribution”); or 

(B)    a dividend or distribution of rights, options or warrants to which Section 14.04(b) is applicable (the
“Clause B Distribution”), 
 then, in either case, (1) such dividend or distribution, other than the Clause A Distribution and the
Clause B Distribution, shall be deemed to be a dividend or distribution to which this Section 14.04(c) is applicable (the “Clause C Distribution”) and any Conversion Rate adjustment required by this Section 14.04(c) with
respect to such Clause C Distribution shall then be made, and (2) the Clause A Distribution and Clause B Distribution shall be deemed to immediately 

  
 75 

 
follow the Clause C Distribution and any Conversion Rate adjustment required by Section 14.04(a) and Section 14.04(b) with respect thereto shall then be made, except that, if determined
by the Company (I) the “Ex-Dividend Date” of the Clause A Distribution and the Clause B Distribution shall be deemed to be the Ex-Dividend Date of the
Clause C Distribution and (II) any shares of Common Stock included in the Clause A Distribution or Clause B Distribution shall be deemed not to be “outstanding immediately prior to the open of business on such Ex-Dividend Date or Effective Date” within the meaning of Section 14.04(a) or “outstanding immediately prior to the open of business on such Ex-Dividend
Date” within the meaning of Section 14.04(b). 
 (d)    If any cash dividend or distribution is made to all or
substantially all holders of the Common Stock, the Conversion Rate shall be adjusted based on the following formula: 
  

									
		 	CR’	 	=	 	CR0  ×  	 	     SP0    
	 	 SP0  –  C

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the open of business on the Ex-Dividend Date for such dividend or distribution;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the open of business on the Ex-Dividend Date for such dividend or distribution;
			
	SP0	  	=	  	the Last Reported Sale Price of the Common Stock on the Trading Day immediately preceding the Ex-Dividend Date for such dividend or distribution; and
			
	C	  	=	  	the amount in cash per share the Company distributes to all or substantially all holders of the Common Stock.

 Any increase pursuant to this Section 14.04(d) shall become effective immediately after the open of business on the Ex-Dividend Date for such dividend or distribution. If such dividend or distribution is not so paid, the Conversion Rate shall be decreased, effective as of the date the Board of Directors determines not to make or
pay such dividend or distribution, to be the Conversion Rate that would then be in effect if such dividend or distribution had not been declared. Notwithstanding the foregoing, if “C” (as defined above) is equal to or greater than “SP0” (as defined above), then, in lieu of the foregoing increase, each Holder of a Note shall receive, for each $1,000 principal amount of Notes, at the same time and upon the same terms as
holders of shares of the Common Stock, the amount of cash that such Holder would have received if such Holder owned a number of shares of Common Stock equal to the Conversion Rate on the Ex-Dividend Date for
such cash dividend or distribution. 
 (e)    If the Company or any of its Subsidiaries makes a payment in respect of a
tender or exchange offer for the Common Stock (other than an odd-lot tender offer pursuant to Rule 13e-4(h)(5) under the Exchange Act or any successor rule), to the
extent that the cash and value of 

  
 76 

 
any other consideration included in the payment per share of the Common Stock exceeds the average of the Last Reported Sale Prices of the Common Stock over the 10 consecutive Trading Day period
commencing on, and including, the Trading Day next succeeding the last date on which tenders or exchanges may be made pursuant to such tender or exchange offer, the Conversion Rate shall be increased based on the following formula: 

 

									
		 	CR’	 	=	 	CR0  ×  	 	 AC+(SP’×OS’)
	 	     OS0  ×  SP’

 where, 
  

					
	CR0	  	=	  	the Conversion Rate in effect immediately prior to the close of business on the 10th Trading Day immediately following, and including, the Trading Day next succeeding the date such tender or exchange offer expires;
			
	CR’	  	=	  	the Conversion Rate in effect immediately after the close of business on the 10th Trading Day immediately following, and including, the Trading Day next succeeding the date such tender or exchange offer expires;
			
	AC	  	=	  	the aggregate value of all cash and any other consideration (as determined by the Company in good faith and in a commercially reasonable manner) paid or payable for shares of Common Stock purchased in such tender or exchange
offer;
			
	OS0	  	=	  	the number of shares of Common Stock outstanding immediately prior to the date such tender or exchange offer expires (prior to giving effect to the purchase of all shares of Common Stock accepted for purchase or exchange in such
tender or exchange offer);
			
	OS’	  	=	  	the number of shares of Common Stock outstanding immediately after the date such tender or exchange offer expires (after giving effect to the purchase of all shares of Common Stock accepted for purchase or exchange in such tender or
exchange offer); and
			
	SP’	  	=	  	the average of the Last Reported Sale Prices of the Common Stock over the 10 consecutive Trading Day period commencing on, and including, the Trading Day next succeeding the date such tender or exchange offer expires.

 The increase to the Conversion Rate under this Section 14.04(e) shall occur at the close of business on
the 10th Trading Day immediately following, and including, the Trading Day next succeeding the date such tender or exchange offer expires; provided that (x) in respect of any conversion of Notes for which Physical Settlement is
applicable, if the relevant Conversion Date occurs during the 10 Trading Days immediately following, and including, the Trading Day next succeeding the expiration date of any tender or exchange offer, references to “10” or “10th”
in the preceding paragraph shall be deemed replaced with such lesser number of Trading Days as have elapsed between the date that such tender or exchange offer expires and the Conversion 

  
 77 

 
Date in determining the Conversion Rate and (y) in respect of any conversion of Notes for which Cash Settlement or Combination Settlement is applicable, for any Trading Day that falls within
the relevant Observation Period for such conversion and within the 10 Trading Days immediately following, and including, the Trading Day next succeeding the expiration date of any tender or exchange offer, references to “10” or
“10th” in the preceding paragraph shall be deemed replaced with such lesser number of Trading Days as have elapsed between the expiration date of such tender or exchange offer and such Trading Day in determining the Conversion Rate as of
such Trading Day. In addition, if the Trading Day next succeeding the date such tender or exchange offer expires is after the 10th Trading Day immediately preceding, and including, the end of any Observation Period in respect of a conversion of
Notes, references to “10” or “10th” in the preceding paragraph and this paragraph shall be deemed to be replaced, solely in respect of that conversion of Notes, with such lesser number of Trading Days as have elapsed from, and
including, the Trading Day next succeeding the date such tender or exchange offer expires to, and including, the last Trading Day of such Observation Period. 

(f)    Notwithstanding this Section 14.04 or any other provision of this Indenture or the Notes, if (i) a
Conversion Rate adjustment for any dividend or distribution becomes effective on any Ex-Dividend Date pursuant to the provisions in this Section 14.04, (ii) a Note is to be converted pursuant to Physical
Settlement or Combination Settlement, (iii) the Conversion Date for such conversion (in the case of Physical Settlement) or any Trading Day in the Observation Period for such conversion (in the case of Combination Settlement) occurs on or after
such Ex-Dividend Date and on or before the related Record Date, (iv) the consideration due upon such conversion includes any whole shares of Common Stock (in the case of Physical Settlement) or due in
respect of such Trading Day includes any whole or fractional shares of Common Stock (in the case of Combination Settlement), in each case based on a Conversion Rate that is adjusted for such dividend or distribution, and (v) such shares of
Common Stock would be entitled to participate in such dividend or distribution, then, (x) in the case of Physical Settlement, such Conversion Rate adjustment shall not be given effect for such conversion and the shares of Common Stock issuable
upon such conversion based on such unadjusted Conversion Rate shall not be entitled to participate in such dividend or distribution, provided that there shall be added, to the consideration otherwise due upon such conversion, the same kind
and amount of consideration that would have been delivered in such dividend or distribution with respect to such shares of Common Stock had such shares of Common Stock been entitled to participate in such dividend or distribution, and (y) in
the case of Combination Settlement, the Conversion Rate adjustment relating to such Ex-Dividend Date shall be made for such conversion in respect of such Trading Day, provided that the shares of Common
Stock issuable with respect to such Trading Day based on such adjusted Conversion Rate shall not be entitled to participate in such dividend or distribution. 

(g)    Except as stated herein, the Company shall not adjust the Conversion Rate for the issuance of shares of the Common
Stock or any securities convertible into or exchangeable for shares of the Common Stock or the right to purchase shares of the Common Stock or such convertible or exchangeable securities. 

  
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 (h)    In addition to those adjustments required by clauses (a), (b),
(c), (d) and (e) of this Section 14.04, and to the extent permitted by applicable law and subject to the applicable rules of any exchange on which any of the Company’s securities are then listed, the Company from time to time may
increase the Conversion Rate by any amount for a period of at least 20 Business Days if the Board of Directors determines that such increase would be in the Company’s best interest. In addition, to the extent permitted by applicable law and
subject to the applicable rules of any exchange on which any of the Company’s securities are then listed, the Company may (but is not required to) increase the Conversion Rate to avoid or diminish any income tax to holders of Common Stock or
rights to purchase Common Stock in connection with a dividend or distribution of shares of Common Stock (or rights to acquire shares of Common Stock) or similar event. Whenever the Conversion Rate is increased pursuant to either of the preceding two
sentences, the Company shall deliver to the Holder of each Note a notice of the increase at least 15 days prior to the date the increased Conversion Rate takes effect, and such notice shall state the increased Conversion Rate and the period during
which it will be in effect. 
 (i)    Notwithstanding anything to the contrary in this Article 14, the Conversion Rate
shall not be adjusted: 
 (i)    upon the issuance of any shares of Common Stock pursuant to any present
or future plan providing for the reinvestment of dividends or interest payable on the Company’s securities and the investment of additional optional amounts in shares of Common Stock under any plan; 

(ii)    upon the issuance of any shares of Common Stock or options or rights to purchase those shares
pursuant to any present or future employee, director or consultant benefit plan or program of or assumed by the Company or any of the Company’s Subsidiaries; 

(iii)    upon the issuance of any shares of the Common Stock pursuant to any option, warrant, right or
exercisable, exchangeable or convertible security not described in clause (ii) of this subsection and outstanding as of the date the Notes were first issued; 

(iv)    upon the repurchase of any shares of Common Stock pursuant to an open market share repurchase
program or other buy-back transaction that is not a tender offer or exchange offer of the nature described under Section 14.04(e); 

(v)    solely for a change in the par value of the Common Stock; or 

(vi)    for accrued and unpaid interest, if any. 

(j)    All calculations and other determinations under this Article 14 shall be made by the Company and shall be made to
the nearest one-ten thousandth (1/10,000th) of a share. 
 (k)    The Company
shall not be required to make an adjustment to the Conversion Rate unless the adjustment would require a change of at least 1% in the Conversion Rate; provided that the Company shall carry forward any adjustments that are less than 1% of the
Conversion 

  
 79 

 
Rate and make such carried-forward adjustments, regardless of whether the aggregate adjustment is at least 1%, (i) on the effective date for any Make-Whole Fundamental Change and/or Fundamental
Change, (ii) prior to the close of business on the Conversion Date for any Note as to which Physical Settlement applies or in respect of any conversion following a replacement of the Common Stock by Reference Property consisting solely of cash,
(iii) prior to the open of business on each Trading Day of any Observation Period in respect of the conversion of any Note as to which Cash Settlement or Combination Settlement applies (other than as set forth in clause (ii) above), (iv)
on the date the Company sends a Redemption Notice for all or any Notes; (v) on the date on which all such deferred adjustments would result in an aggregate change to the Conversion Rate of at least 1% and (vi) on March 15, 2025. 

(l)    Whenever the Conversion Rate is adjusted as herein provided, the Company shall promptly file with the Trustee (and
the Conversion Agent if not the Trustee) an Officer’s Certificate setting forth the Conversion Rate after such adjustment and setting forth a brief statement of the facts requiring such adjustment. Unless and until a Responsible Officer of the
Trustee shall have received such Officer’s Certificate, the Trustee shall not be deemed to have knowledge of any adjustment of the Conversion Rate and may assume without inquiry that the last Conversion Rate of which it has knowledge is still
in effect. Promptly after delivery of such certificate, the Company shall prepare a notice of such adjustment of the Conversion Rate setting forth the adjusted Conversion Rate and the date on which each adjustment becomes effective and shall deliver
such notice of such adjustment of the Conversion Rate to each Holder. Failure to deliver such notice shall not affect the legality or validity of any such adjustment. 

(m)    For purposes of this Section 14.04, the number of shares of Common Stock at any time outstanding shall not
include shares of Common Stock held in the treasury of the Company so long as the Company does not pay any dividend or make any distribution on shares of Common Stock held in the treasury of the Company, but shall include shares of Common Stock
issuable in respect of scrip certificates issued in lieu of fractions of shares of Common Stock. 
 Section 14.05. Adjustments of
Prices. Whenever any provision of this Indenture requires the Company to calculate the Last Reported Sale Prices, the Daily VWAPs, the Daily Conversion Values or the Daily Settlement Amounts over a span of multiple days (including, without
limitation, an Observation Period and the period for determining the Stock Price for purposes of a Make-Whole Fundamental Change or Optional Redemption), the Company shall make appropriate adjustments to each in good faith and in a commercially
reasonable manner to account for any adjustment to the Conversion Rate that becomes effective, or any event requiring an adjustment to the Conversion Rate where the Ex-Dividend Date, Effective Date or
expiration date, as the case may be, of the event occurs, at any time during the period when the Last Reported Sale Prices, the Daily VWAPs, the Daily Conversion Values or the Daily Settlement Amounts are to be calculated. 

Section 14.06. Shares to Be Fully Paid. The Company shall provide, free from preemptive rights, out of its authorized but unissued
shares or shares held in treasury, sufficient shares of Common Stock to provide for conversion of the Notes from time to time as such Notes are presented for conversion (assuming delivery of the maximum number of Additional Shares pursuant to
Section 14.03 and that at the time of computation of such number of shares, all such Notes would be converted by a single Holder and that Physical Settlement were applicable). 

  
 80 

 Section 14.07. Effect of Recapitalizations, Reclassifications and Changes of the
Common Stock. 
 (a)    In the case of: 

(i)    any recapitalization, reclassification or change of the Common Stock (other than changes resulting
from a subdivision or combination), 
 (ii)    any consolidation, merger, combination or similar
transaction involving the Company, 
 (iii)    any sale, lease or other transfer to a third party of the
consolidated assets of the Company and the Company’s Subsidiaries substantially as an entirety or 

(iv)    any statutory share exchange, 

in each case, as a result of which the Common Stock would be converted into, or exchanged for, stock, other securities, other property or assets (including
cash or any combination thereof) (any such event, a “Share Exchange Event”), then, at and after the effective time of such Share Exchange Event, the right to convert each $1,000 principal amount of Notes shall be changed into a
right to convert such principal amount of Notes into the kind and amount of shares of stock, other securities or other property or assets (including cash or any combination thereof) that a holder of a number of shares of Common Stock equal to the
Conversion Rate immediately prior to such Share Exchange Event would have owned or been entitled to receive (the “Reference Property,” with each “unit of Reference Property” meaning the kind and amount of Reference
Property that a holder of one share of Common Stock is entitled to receive) upon such Share Exchange Event and, prior to or at the effective time of such Share Exchange Event, the Company or the successor or purchasing Person, as the case may be,
shall execute with the Trustee a supplemental indenture permitted under Section 10.01(g) providing for such change in the right to convert each $1,000 principal amount of Notes; provided, however, that at and after the effective
time of the Share Exchange Event (A) the Company shall continue to have the right to determine the form of consideration to be paid or delivered, as the case may be, upon conversion of Notes in accordance with Section 14.02 and
(B) (I) any amount payable in cash upon conversion of the Notes in accordance with Section 14.02 shall continue to be payable in cash, (II) any shares of Common Stock that the Company would have been required to deliver upon
conversion of the Notes in accordance with Section 14.02 shall instead be deliverable in the amount and type of Reference Property that a holder of that number of shares of Common Stock would have been entitled to receive in such Share Exchange
Event and (III) the Daily VWAP and the Last Reported Sale Price (including, without limitation, for purposes of Article 16) shall be calculated based on the value (as determined by, or in the manner proscribed by, the Board of Directors) of a
unit of Reference Property. 

  
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 If the Share Exchange Event causes the Common Stock to be converted into, or exchanged for,
the right to receive more than a single type of consideration (determined based in part upon any form of stockholder election), then (i) the Reference Property into which the Notes will be convertible shall be deemed to be the types and amounts
of consideration actually received by the holders of Common Stock, and (ii) the unit of Reference Property for purposes of the immediately preceding paragraph shall refer to the weighted average of the consideration referred to in clause
(i) attributable to one share of Common Stock. If the holders of the Common Stock receive only cash in such Share Exchange Event, then for all conversions for which the relevant Conversion Date occurs after the effective date of such Share
Exchange Event (A) the consideration due upon conversion of each $1,000 principal amount of Notes shall be solely cash in an amount equal to the Conversion Rate in effect on the Conversion Date (as may be increased by any Additional Shares
pursuant to Section 14.03), multiplied by the price paid per share of Common Stock in such Share Exchange Event and (B) the Company shall satisfy the Conversion Obligation by paying cash to converting Holders on the second Business
Day immediately following the relevant Conversion Date. The Company shall notify Holders, the Trustee and the Conversion Agent (if other than the Trustee) of such weighted average as soon as practicable after such determination is made. 

Such supplemental indenture described in the second immediately preceding paragraph shall provide for anti-dilution and other adjustments that
shall be as nearly equivalent as is possible to the adjustments provided for in this Article 14. If, in the case of any Share Exchange Event, the Reference Property includes shares of stock, securities or other property or assets (including cash or
any combination thereof) of a Person other than the successor or purchasing corporation, as the case may be, in such Share Exchange Event, then such supplemental indenture shall also be executed by such other Person and shall contain such additional
provisions to protect the interests of the Holders of the Notes as the Board of Directors shall consider in good faith necessary by reason of the foregoing, including the provisions providing for the purchase rights set forth in Article 15. 

(b)    When the Company executes a supplemental indenture pursuant to subsection (a) of this Section 14.07, the
Company shall promptly file with the Trustee an Officer’s Certificate briefly stating the reasons therefor, the kind or amount of cash, securities or property or asset that will comprise a unit of Reference Property after any such Share
Exchange Event, any adjustment to be made with respect thereto and that all conditions precedent have been complied with, and shall promptly deliver notice thereof to all Holders. The Company shall cause notice of the execution of such supplemental
indenture to be delivered to each Holder within 20 days after execution thereof. Failure to deliver such notice shall not affect the legality or validity of such supplemental indenture. 

(c)    The Company shall not become a party to any Share Exchange Event unless its terms are consistent with this
Section 14.07. None of the foregoing provisions shall affect the right of a holder of Notes to convert its Notes, as set forth in Section 14.01 and Section 14.02 prior to the effective date of such Share Exchange Event. 

  
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 (d)    The above provisions of this Section shall similarly apply to
successive Share Exchange Events. 
 Section 14.08. Certain Covenants. (a) The Company covenants that all shares of Common
Stock issued upon conversion of Notes will be fully paid and non-assessable by the Company and free from all taxes, liens and charges with respect to the issue thereof. 

(b)    The Company further covenants that, if any shares of Common Stock to be provided for the purpose of conversion of
Notes hereunder require registration with or approval of any governmental authority under any federal or state law before such shares of Common Stock may be validly issued upon conversion, the Company will, to the extent then permitted by the rules
and interpretations of the Commission, secure such registration or approval, as the case may be. 
 (c)    The Company
further covenants that if at any time the Common Stock shall be listed on any national securities exchange or automated quotation system the Company will use its reasonable best efforts to list and keep listed, so long as the Common Stock shall be
so listed on such exchange or automated quotation system, any Common Stock issuable upon conversion of the Notes. 
 Section 14.09.
Responsibility of Trustee. The Trustee and any other Conversion Agent shall not at any time be under any duty or responsibility to any Holder to determine the Conversion Rate (or any adjustment thereto) or whether any facts exist that may
require any adjustment (including any increase) of the Conversion Rate, or with respect to the nature or extent or calculation of any such adjustment when made, or with respect to the method employed, or herein or in any supplemental indenture
provided to be employed, in making the same. The Trustee and any other Conversion Agent shall not be accountable with respect to the validity or value (or the kind or amount) of any shares of Common Stock, or of any securities, property or cash that
may at any time be issued or delivered upon the conversion of any Note; and the Trustee and any other Conversion Agent make no representations with respect thereto. Neither the Trustee nor any Conversion Agent shall be responsible for any failure of
the Company to issue, transfer or deliver any shares of Common Stock or stock certificates or other securities or property or cash upon the surrender of any Note for the purpose of conversion or to comply with any of the duties, responsibilities or
covenants of the Company contained in this Article. Without limiting the generality of the foregoing, neither the Trustee nor any Conversion Agent shall be under any responsibility to determine the correctness of any provisions contained in any
supplemental indenture entered into pursuant to Section 14.07 relating either to the kind or amount of shares of stock or securities or property (including cash) receivable by Holders upon the conversion of their Notes after any event referred
to in such Section 14.07 or to any adjustment to be made with respect thereto, but, subject to the provisions of Section 7.01, may accept (without any independent investigation) as conclusive evidence of the correctness of any such
provisions, and shall be protected in relying upon, the Officer’s Certificate (which the Company shall be obligated to file with the Trustee prior to the execution of any such supplemental indenture) with respect thereto. Neither the Trustee
nor the Conversion Agent shall be responsible for determining whether any event contemplated by Section 14.01(b) has 

  
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occurred that makes the Notes eligible for conversion or no longer eligible therefor until the Company has delivered to the Trustee and the Conversion Agent the notices referred to in
Section 14.01(b) with respect to the commencement or termination of such conversion rights, on which notices the Trustee and the Conversion Agent may conclusively rely, and the Company agrees to deliver such notices to the Trustee and the
Conversion Agent immediately after the occurrence of any such event or at such other times as shall be provided for in Section 14.01(b). Except as otherwise expressly provided herein, neither the Trustee nor any other agent acting under this
Indenture (other than the Company, if acting in such capacity) shall have any obligation to make any calculation or to determine whether the Notes may be surrendered for conversion pursuant to this Indenture, or to notify the Company or the
Depositary or any of the Holders if the Notes have become convertible pursuant to the terms of this Indenture. 
 Section 14.10.
[Reserved].  
 Section 14.11. Stockholder Rights Plans. If the Company has a stockholder rights plan
in effect upon conversion of the Notes, each share of Common Stock, if any, issued upon such conversion shall be entitled to receive the appropriate number of rights, if any, and the certificates representing the Common Stock issued upon such
conversion shall bear such legends, if any, in each case as may be provided by the terms of any such stockholder rights plan, as the same may be amended from time to time. However, if, prior to any conversion of Notes, the rights have separated from
the shares of Common Stock in accordance with the provisions of the applicable stockholder rights plan, the Conversion Rate shall be adjusted at the time of separation as if the Company distributed to all or substantially all holders of the Common
Stock Distributed Property as provided in Section 14.04(c), subject to readjustment in the event of the expiration, termination or redemption of such rights. 

Section 14.12. Exchange in Lieu of Conversion. (a) When a Holder surrenders Notes for conversion, the Company may, at its
election, direct the Conversion Agent to surrender, on or prior to the Scheduled Trading Day immediately preceding the first Trading Day of the applicable Observation Period (or, if the Company has elected Physical Settlement, on or prior to the
Business Day immediately following the relevant Conversion Date), such Notes to a financial institution designated by the Company for exchange in lieu of conversion (each, an “Exchange in Lieu of Conversion”). The Conversion Agent
shall be entitled to conclusively rely upon the Company’s instruction in connection with effecting such exchange election and shall have no liability in respect of such exchange election. In order to accept any Notes surrendered for conversion,
the designated financial institution must agree to pay and/or deliver, as the case may be, in exchange for such Notes, all of the cash, shares of Common Stock or a combination thereof due upon conversion, all in accordance with Section 14.02.
By the close of business on the Scheduled Trading Day immediately preceding the first Trading Day of the applicable Observation Period (or, if the Company has elected Physical Settlement, by the close of business on the Business Day immediately
following the relevant Conversion Date), the Company shall notify the Holder surrendering Notes for conversion, the Trustee and the Conversion Agent (if other than the Trustee) in writing that the Company has directed the designated financial
institution to make an Exchange in Lieu of Conversion. 

  
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 (b)    If the designated financial institution accepts any such Notes,
it shall pay and/or deliver, as the case may be, the cash, shares of Common Stock or a combination thereof due upon conversion to such Holder on the second Business Day immediately following the last Trading Day of the applicable Observation Period
(or, if the Company has elected Physical Settlement, on the second Business Day immediately following the relevant Conversion Date). Any Notes exchanged by the designated institution shall remain outstanding. If the designated financial institution
agrees to accept any Notes for exchange but does not timely pay and/or deliver the related cash, shares of Common Stock or a combination thereof, as the case may be, or if such designated financial institution does not accept the Notes for exchange,
the Company shall convert the Notes and pay and/or deliver, as the case may be, the cash, shares of Common Stock or a combination thereof due upon conversion on the second Business Day immediately following the last Trading Day of the applicable
Observation Period (or, if the Company has elected Physical Settlement, on the second Business Day immediately following the relevant Conversion Date) in accordance with Section 14.02. 

(c)    The Company’s designation of a financial institution to which the Notes may be submitted for exchange does not
require the financial institution to accept any Notes (unless the financial institution has separately made an agreement with the Company). The Company may, but shall not be obligated to, enter into a separate agreement with any designated financial
institution that would compensate the Company for any such transaction. 
 ARTICLE 15 

REPURCHASE OF NOTES AT OPTION OF
HOLDERS 
 Section 15.01. [Intentionally Omitted].  

Section 15.02. Repurchase at Option of Holders Upon a Fundamental Change. (a) If a Fundamental Change occurs at any
time, each Holder shall have the right, at such Holder’s option, to require the Company to repurchase for cash all of such Holder’s Notes, or any portion thereof that is equal to $1,000 or an integral multiple of $1,000, on the date (the
“Fundamental Change Repurchase Date”) specified by the Company that is not less than 20 calendar days or more than 35 calendar days following the date of the Fundamental Change Company Notice at a repurchase price equal to 100% of
the principal amount thereof, plus accrued and unpaid interest thereon to, but excluding, the Fundamental Change Repurchase Date (the “Fundamental Change Repurchase Price”), unless the Fundamental Change Repurchase Date falls
after a Regular Record Date but on or prior to the Interest Payment Date to which such Regular Record Date relates, in which case the Company shall instead pay the full amount of accrued and unpaid interest to Holders of record as of such Regular
Record Date, and the Fundamental Change Repurchase Price shall be equal to 100% of the principal amount of Notes to be repurchased pursuant to this Article 15. The Fundamental Change Repurchase Date shall be subject to postponement in order to allow
the Company to comply with applicable law. 

  
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 (b)    Repurchases of Notes under this Section 15.02 shall be made,
at the option of the Holder thereof, upon: 
 (i)    delivery to the applicable Paying Agent by a Holder
of a duly completed notice (the “Fundamental Change Repurchase Notice”) in the form set forth in Attachment 2 to the Form of Note attached hereto as Exhibit A, if the Notes are Physical Notes, or in compliance with the
Depositary’s procedures for surrendering interests in Global Notes, if the Notes are Global Notes, in each case on or before the close of business on the Business Day immediately preceding the Fundamental Change Repurchase Date; and 

(ii)    delivery of the Notes, if the Notes are Physical Notes, to the applicable Paying Agent at any time
after delivery of the Fundamental Change Repurchase Notice (together with all necessary endorsements for transfer) at the Corporate Trust Office of the applicable Paying Agent, or book-entry transfer of the Notes, if the Notes are Global Notes, in
compliance with the procedures of the Depositary, in each case such delivery being a condition to receipt by the Holder of the Fundamental Change Repurchase Price therefor. 

The Fundamental Change Repurchase Notice in respect of any Notes to be repurchased shall state: 

(i)    in the case of Physical Notes, the certificate numbers of the Notes to be delivered for repurchase;

 (ii)    the portion of the principal amount of Notes to be repurchased, which must be in an Authorized
Denomination; and 
 (iii)    that the Notes are to be repurchased by the Company pursuant to the
applicable provisions of the Notes and this Indenture; 
 provided, however, that if the Notes are Global Notes, the Fundamental Change
Repurchase Notice must comply with appropriate Depositary procedures. 
 Notwithstanding anything herein to the contrary, any Holder
delivering to the applicable Paying Agent the Fundamental Change Repurchase Notice contemplated by this Section 15.02 shall have the right to withdraw, in whole or in part, such Fundamental Change Repurchase Notice at any time prior to the
close of business on the Business Day immediately preceding the Fundamental Change Repurchase Date by delivery of a written notice of withdrawal to the applicable Paying Agent in accordance with Section 15.03. 

The applicable Paying Agent shall promptly notify the Company of the receipt by it of any Fundamental Change Repurchase Notice or written
notice of withdrawal thereof. 
 (c)    On or before the 20th calendar day after the occurrence of the effective date of
a Fundamental Change, the Company shall provide to all Holders of Notes, the Trustee, the Conversion Agent (if other than the Trustee) and the applicable Paying Agent (in the case of a Paying Agent other than the Trustee or the Paying Agent for the
Notes as defined in Section 4.02) a written notice (the “Fundamental Change Company Notice”) of the occurrence of the 

  
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effective date of the Fundamental Change and of the repurchase right at the option of the Holders arising as a result thereof. In the case of Physical Notes, such notice shall be by first class
mail or, in the case of Global Notes, such notice shall be delivered in accordance with the applicable procedures of the Depositary. Simultaneously with providing such notice, the Company shall publish a notice containing the information set forth
in the Fundamental Change Company Notice on the Company’s website or through such other public medium as the Company may use at that time. Each Fundamental Change Company Notice shall specify: 

(i)    the events causing the Fundamental Change; 

(ii)    the date of the Fundamental Change; 

(iii)    the last date on which a Holder may exercise the repurchase right pursuant to this Article 15;

 (iv)    the Fundamental Change Repurchase Price; 

(v)    the Fundamental Change Repurchase Date; 

(vi)    the name and address of the Paying Agent and the Conversion Agent, if applicable; 

(vii)    if applicable, the Conversion Rate and any adjustments to the Conversion Rate; 

(viii)    that the Notes with respect to which a Fundamental Change Repurchase Notice has been delivered by
a Holder may be converted only if the Holder withdraws the Fundamental Change Repurchase Notice in accordance with the terms of this Indenture; and 

(ix)    the procedures that Holders must follow to require the Company to repurchase their Notes. 

No failure of the Company to give the foregoing notices and no defect therein shall limit the Holders’ repurchase rights or affect the
validity of the proceedings for the repurchase of the Notes pursuant to this Section 15.02. 
 At the Company’s request, given at
least five days prior to the date the Fundamental Change Company Notice is to be sent to the Holders (or such shorter period as agreed by the Paying Agent), the Paying Agent shall give such notice in the Company’s name and at the Company’s
expense; provided, however, that, in all cases, the text of such Fundamental Change Company Notice shall be prepared by the Company. 

(d)    Notwithstanding the foregoing, no Notes may be repurchased by the Company on any date at the option of the Holders
upon a Fundamental Change if the principal amount of the Notes has been accelerated, and such acceleration has not been rescinded, on or prior to such 

  
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date (except in the case of an acceleration resulting from a Default by the Company in the payment of the Fundamental Change Repurchase Price with respect to such Notes). The applicable Paying
Agent will promptly return to the respective Holders thereof any Physical Notes held by it during the acceleration of the Notes (except in the case of an acceleration resulting from a Default by the Company in the payment of the Fundamental Change
Repurchase Price with respect to such Notes), or any instructions for book-entry transfer of the Notes in compliance with the procedures of the Depositary shall be deemed to have been cancelled, and, upon such return or cancellation, as the case may
be, the Fundamental Change Repurchase Notice with respect thereto shall be deemed to have been withdrawn. 

(e)    Notwithstanding anything to the contrary in this Article 15, the Company shall not be required to repurchase or
make an offer to repurchase Notes upon the occurrence of a Fundamental Change if a third party makes such an offer in the same manner, at the same time and otherwise in compliance with the requirements set forth in this Article 15, and such third
party repurchases all Notes properly surrendered and not validly withdrawn upon such offer in compliance with the requirements set forth in this Article 15 for repurchase upon such Fundamental Change by the Company. 

(f)    For purposes of this Article 15, the Paying Agent may be any agent, depositary, tender agent, paying agent or other
agent appointed by the Company to accomplish the purposes set forth herein. 
 Section 15.03. Withdrawal of Fundamental Change
Repurchase Notice. (a) A Fundamental Change Repurchase Notice may be withdrawn (in whole or in part) by means of a written notice of withdrawal delivered to the Corporate Trust Office of the applicable Paying Agent in accordance with this
Section 15.03 at any time prior to the close of business on the Business Day immediately preceding the Fundamental Change Repurchase Date, specifying: 

(i)    the aggregate principal amount of the Notes with respect to which such notice of withdrawal is being
submitted, 
 (ii)    if Physical Notes have been issued, the certificate number of the Note in respect
of which such notice of withdrawal is being submitted, and 
 (iii)    the aggregate principal amount, if
any, of such Note that remains subject to the original Fundamental Change Repurchase Notice, which portion must be in an Authorized Denomination; 

provided, however, that if the Notes are Global Notes, the notice must comply with appropriate procedures of the Depositary. 

Section 15.04. Deposit of Fundamental Change Repurchase Price. (a) The Company will deposit with the Trustee (or other Paying
Agent appointed by the Company, or if the Company is acting as its own Paying Agent, set aside, segregate and hold in trust as provided in Section 4.04) on or prior to 11:00 a.m., New York City time, on the Fundamental Change Repurchase Date an
amount of money sufficient to repurchase all of the Notes to be repurchased 

  
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at the appropriate Fundamental Change Repurchase Price. Subject to receipt of funds and/or Notes by the Trustee (or other Paying Agent appointed by the Company), payment for Notes surrendered for
repurchase (and not withdrawn prior to the close of business on the Business Day immediately preceding the Fundamental Change Repurchase Date) will be made on the later of (i) the Fundamental Change Repurchase Date (provided the Holder
has satisfied the conditions in Section 15.02) and (ii) the time of book-entry transfer or the delivery of such Note to the Trustee (or other Paying Agent appointed by the Company) by the Holder thereof in the manner required by
Section 15.02 by mailing checks for the amount payable to the Holders of such Notes entitled thereto as they shall appear in the Note Register; provided, however, that payments to the Depositary shall be made by wire transfer of
immediately available funds to the account of the Depositary or its nominee. The Trustee or applicable Paying Agent shall, promptly after such payment and upon written demand by the Company, return to the Company any funds in excess of the
Fundamental Change Repurchase Price. 
 (b)    If by 11:00 a.m. New York City time, on the Fundamental Change Repurchase
Date, the Trustee (or other Paying Agent appointed by the Company) holds money sufficient to make payment on all the Notes or portions thereof that are to be repurchased on such Fundamental Change Repurchase Date, then, with respect to the Notes
that have been properly surrendered for repurchase and have not been validly withdrawn, (i) such Notes will cease to be outstanding, (ii) interest will cease to accrue on such Notes (whether or not book-entry transfer of the Notes has been
made or the Notes have been delivered to the Trustee or Paying Agent) and (iii) all other rights of the Holders of such Notes will terminate (other than the right to receive the Fundamental Change Repurchase Price and, if applicable, accrued
and unpaid interest). 
 (c)    Upon surrender of a Physical Note that is to be repurchased in part pursuant to
Section 15.02, the Company shall execute and the Trustee shall authenticate and deliver to the Holder a new Physical Note in an Authorized Denomination equal in principal amount to the unrepurchased portion of the Physical Note surrendered.

 Section 15.05. Covenant to Comply with Applicable Laws Upon Repurchase of Notes. In connection with any repurchase offer, the
Company will, if required: 
 (a)    comply with the provisions of Rule 13e-4,
Rule 14e-1 and any other tender offer rules under the Exchange Act; 

(b)    file a Schedule TO or any other required schedule under the Exchange Act; and 

(c)    otherwise comply with all federal and state securities laws in connection with any offer by the Company to
repurchase the Notes; 
 in each case, so as to permit the rights and obligations under this Article 15 to be exercised in the time and in the manner
specified in this Article 15. 

  
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 ARTICLE 16 

OPTIONAL REDEMPTION 

Section 16.01. Optional Redemption. No sinking fund is provided for the Notes. The Notes shall not be redeemable by the Company
prior to August 21, 2023. On or after August 21, 2023, the Company may redeem (an “Optional Redemption”) for cash all or any portion of the Notes (subject to the Partial Redemption Limitation), at the Redemption Price, if
the Last Reported Sale Price of the Common Stock has been at least 130% of the Conversion Price then in effect 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 the Redemption Notice in accordance with Section 16.02. 

Section 16.02. Notice of Optional Redemption; Selection of Notes. (a) In case the Company exercises its Optional Redemption
right to redeem all or, as the case may be, any part of the Notes pursuant to Section 16.01, it shall fix a date for redemption (each, a “Redemption Date”) and the Company (or, at the Company’s written request (with such
request including an Officer’s Certificate requesting that the Trustee give such Redemption Notice, setting forth the information to be stated in such Redemption Notice as provided in Section 16.02(c), and stating that all conditions
precedent to the delivery of such Redemption Notice have been or will be complied with) received by the Trustee at least five Business Days prior to the date of giving the Redemption Notice (or such shorter period of time as may be acceptable to the
Trustee), the Trustee, in the name of and at the expense of the Company) shall deliver or cause to be delivered a written notice of such Optional Redemption (a “Redemption Notice”) not less than 60 nor more than 75 Scheduled Trading
Days prior to the Redemption Date to each Holder of Notes so to be redeemed as a whole or in part (provided that if, in accordance with Section 14.02, the Company elects to settle all conversions of Notes called for redemption (or deemed
called for redemption pursuant to Section 14.01(b)(v)) with a Conversion Date that occurs during the related Redemption Period by Physical Settlement, then the Company shall provide such written notice not less than 15 nor more than 60 calendar
days before the Redemption Date) to the Trustee, the Conversion Agent (if other than the Trustee), the Paying Agent and each Holder of Notes. The Redemption Date must be a Business Day, and the Company shall not specify a Redemption Date that falls
on or after the 51st Scheduled Trading Day immediately preceding the Maturity Date. 
 (b)    The Redemption Notice, if
delivered in the manner herein provided, shall be conclusively presumed to have been duly given, whether or not the Holder receives such notice. In any case, failure to duly give such Redemption Notice or any defect in the Redemption Notice to the
Holder of any Note designated for redemption as a whole or in part shall not affect the validity of the proceedings for the redemption of any other Note. 

(c)    Each Redemption Notice shall specify: 

(i)    the Redemption Date; 

  
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 (ii)    the Redemption Price; 

(iii)    that on the Redemption Date, the Redemption Price will become due and payable upon each Note to be
redeemed, and that interest thereon, if any, shall cease to accrue on and after the Redemption Date (except as provided in the parenthetical of the definition of Redemption Price); 

(iv)    the place or places where such Notes are to be surrendered for payment of the Redemption Price;

 (v)    that Holders may surrender their Notes called (or deemed called) for redemption for conversion
at any time prior to the close of business on the Scheduled Trading Day immediately preceding the Redemption Date; 

(vi)    the procedures a converting Holder must follow to convert its Notes and the Settlement Method and
Specified Dollar Amount, if applicable; 
 (vii)    the Conversion Rate and, if applicable, the number of
Additional Shares added to the Conversion Rate in accordance with Section 14.03; 
 (viii)    the
CUSIP, ISIN or other similar numbers, if any, assigned to such Notes; and 
 (ix)    in case any Physical
Note is to be redeemed in part only, the portion of the principal amount thereof to be redeemed and on and after the Redemption Date, upon surrender of such Physical Note, a new Physical Note in principal amount equal to the unredeemed portion
thereof shall be issued. 
 Each Redemption Notice shall be irrevocable. 

(d)    If the Company elects to redeem fewer than all of the outstanding Notes, at least $75.0 million aggregate
principal amount of Notes must be outstanding and not subject to redemption as of the date of the relevant Redemption Notice (such requirement, the “Partial Redemption Limitation”). If the Company decides to redeem fewer than all of
the outstanding Notes and the Notes to be redeemed are Global Notes, the Notes to be redeemed shall be selected by the Depositary in accordance with the applicable procedures of the Depositary. If the Company decides to redeem fewer than all of the
outstanding Notes and the Notes to be redeemed are not Global Notes then held by the Depositary, the Trustee shall select the Notes or portions thereof to be redeemed (in Authorized Denominations) by lot, on a pro rata basis or by another
method the Trustee considers to be fair and appropriate. If any Note selected for partial redemption is submitted for conversion in part after such selection, the portion of the Note submitted for conversion shall be deemed (so far as may be
possible) to be the portion selected for redemption. 
 Section 16.03. Payment of Notes Called for Redemption. (a) If any
Redemption Notice has been given in respect of the Notes in accordance with Section 16.02, the Notes shall become 

  
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due and payable on the Redemption Date at the place or places stated in the Redemption Notice and at the applicable Redemption Price. On presentation and surrender of the Notes at the place or
places stated in the Redemption Notice, the Notes shall be paid and redeemed by the Company at the applicable Redemption Price. 

(b)    Prior to the open of business on the Redemption Date, the Company shall deposit with the Paying Agent or, if the
Company or a Subsidiary of the Company is acting as the Paying Agent, shall segregate and hold in trust as provided in Section 7.05 an amount of cash (in immediately available funds if deposited on the Redemption Date), sufficient to pay the
Redemption Price of all of the Notes to be redeemed on such Redemption Date. Subject to receipt of funds by the Paying Agent, payment for the Notes to be redeemed shall be made on the Redemption Date for such Notes. The Paying Agent shall, promptly
after such payment and upon written demand by the Company, return to the Company any funds in excess of the Redemption Price. 

Section 16.04. Restrictions on Redemption. The Company may not redeem any Notes on any date if the principal amount of the Notes
has been accelerated in accordance with the terms of this Indenture, and such acceleration has not been rescinded, on or prior to the Redemption Date (except in the case of an acceleration resulting from a Default by the Company in the payment of
the Redemption Price with respect to such Notes). 
 ARTICLE 17 

MISCELLANEOUS PROVISIONS 

Section 17.01. Provisions Binding on Company’s Successors. All the covenants, stipulations, promises and
agreements of the Company contained in this Indenture shall bind its successors and assigns whether so expressed or not. 

Section 17.02. Official Acts by Successor Corporation. Any act or proceeding by any provision of this Indenture authorized or
required to be done or performed by any board, committee or Officer of the Company shall and may be done and performed with like force and effect by the like board, committee or officer of any corporation or other entity that shall at the time be
the lawful sole successor of the Company. 
 Section 17.03. Addresses for Notices, Etc. Any notice or demand that by any
provision of this Indenture is required or permitted to be given or served by the Trustee or by the Holders on the Company shall be deemed to have been sufficiently given or made, for all purposes if given or served by being deposited postage
prepaid by registered or certified mail in a post office letter box addressed (until another address is filed by the Company with the Trustee) to Parsons Corporation, 5875 Trinity Parkway, #300, Centreville, VA, Attention: General Counsel. Any
notice, direction, request or demand hereunder to or upon the Trustee shall be deemed to have been sufficiently given or made, for all purposes, if given or served by being deposited postage prepaid by registered or certified mail in a post office
letter box addressed to the Corporate Trust Office or sent electronically in PDF format, whether sent by mail or electronically, upon actual receipt by the Trustee 

  
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 The Trustee, by notice to the Company, may designate additional or different addresses for
subsequent notices or communications. 
 Any notice or communication delivered or to be delivered to a Holder of Physical Notes shall be
mailed to it by first class mail, postage prepaid, at its address as it appears on the Note Register and shall be sufficiently given to it if so mailed within the time prescribed. Any notice or communication delivered or to be delivered to a Holder
of Global Notes shall be delivered in accordance with the applicable procedures of the Depositary and shall be sufficiently given to it if so delivered within the time prescribed (and if given in such manner, will be deemed to have been given in
writing). 
 Failure to mail or deliver a notice or communication to a Holder or any defect in it shall not affect its sufficiency with
respect to other Holders. If a notice or communication is mailed or delivered, as the case may be, in the manner provided above, it is duly given, whether or not the addressee receives it. 

In case by reason of the suspension of regular mail service or by reason of any other cause it shall be impracticable to give such notice to
Holders by mail, then such notification as shall be made with the approval of the Trustee shall constitute a sufficient notification for every purpose hereunder. 

Section 17.04. Governing Law; Jurisdiction. THIS INDENTURE AND EACH NOTE, AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR
RELATED TO THIS INDENTURE AND EACH NOTE, SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 
 The
Company irrevocably consents and agrees, for the benefit of the Holders from time to time of the Notes and the Trustee, that any legal action, suit or proceeding against it with respect to obligations, liabilities or any other matter arising out of
or in connection with this Indenture or the Notes may be brought in the courts of the State of New York or the courts of the United States located in the Borough of Manhattan, New York City, New York and, until amounts due and to become due in
respect of the Notes have been paid, hereby irrevocably consents and submits to the non-exclusive jurisdiction of each such court in personam, generally and unconditionally with respect to any action,
suit or proceeding for itself in respect of its properties, assets and revenues. 
 The Company irrevocably and unconditionally waives, to
the fullest extent permitted by law, any objection which it may now or hereafter have to the laying of venue of any of the aforesaid actions, suits or proceedings arising out of or in connection with this Indenture brought in the courts of the State
of New York or the courts of the United States located in the Borough of Manhattan, New York City, New York and hereby further irrevocably and unconditionally waives and agrees not to plead or claim in any such court that any such action, suit or
proceeding brought in any such court has been brought in an inconvenient forum. 
 Section 17.05. Evidence of Compliance with
Conditions Precedent; Certificates and Opinions of Counsel to Trustee. Upon any application or demand by the Company to the Trustee 

  
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to take any action under any of the provisions of this Indenture, the Company shall, if requested by the Trustee, furnish to the Trustee an Officer’s Certificate and an Opinion of Counsel
stating such action is permitted by the terms of this Indenture and that all conditions precedent including any covenants, compliance with such which constitutes a condition precedent to such action have been complied with. 

Each Officer’s Certificate and Opinion of Counsel provided for, by or on behalf of the Company in this Indenture and delivered to the
Trustee with respect to compliance with this Indenture (other than the Officer’s Certificates provided for in Section 4.08) shall include (a) a statement that the person signing such certificate is familiar with the requested action
and this Indenture; (b) a brief statement as to the nature and scope of the examination or investigation upon which the statement contained in such certificate is based; (c) a statement that, in the judgment of such person, he or she has
made such examination or investigation as is necessary to enable him or her to express an informed judgment as to whether or not such action is permitted by this Indenture; and (d) a statement as to whether or not, in the judgment of such
person, such action is permitted by this Indenture and that all conditions precedent to such action have been complied with. 

Notwithstanding anything to the contrary in this Section 17.05, if any provision in this Indenture specifically provides that the Trustee
shall or may receive an Opinion of Counsel in connection with any action to be taken by the Trustee or the Company hereunder, the Trustee shall be entitled to, or entitled to request, such Opinion of Counsel. 

Section 17.06. Legal Holidays. In any case where any Interest Payment Date, any Redemption Date, any Fundamental Change Repurchase
Date or the Maturity Date is not a Business Day, then any action to be taken on such date need not be taken on such date, but may be taken on the next succeeding Business Day with the same force and effect as if taken on such date, and no interest
shall accrue in respect of the delay. For purposes of the foregoing sentence, a day on which the applicable place of payment is authorized or required by law or executive order to close or be closed will be deemed not to be a Business Day. 

Section 17.07. No Security Interest Created. Nothing in this Indenture or in the Notes, expressed or implied, shall be construed
to constitute a security interest under the Uniform Commercial Code or similar legislation, as now or hereafter enacted and in effect, in any jurisdiction. 

Section 17.08. Benefits of Indenture. Nothing in this Indenture or in the Notes, expressed or implied, shall give to any Person,
other than the Holders, the parties hereto, any Paying Agent, any Conversion Agent, any authenticating agent, any Note Registrar and their successors hereunder, any benefit or any legal or equitable right, remedy or claim under this Indenture. 

Section 17.09. Table of Contents, Headings, Etc. The table of contents and the titles and headings of the articles and sections of
this Indenture have been inserted for convenience of reference only, are not to be considered a part hereof, and shall in no way modify or restrict any of the terms or provisions hereof. 

  
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 Section 17.10. Authenticating Agent. The Trustee may appoint an authenticating
agent that shall be authorized to act on its behalf and subject to its direction in the authentication and delivery of Notes in connection with the original issuance thereof and transfers and exchanges of Notes hereunder, including under
Section 2.04, Section 2.05, Section 2.06, Section 2.07, Section 10.04 and Section 15.04 as fully to all intents and purposes as though the authenticating agent had been expressly authorized by this Indenture and those
Sections to authenticate and deliver Notes. For all purposes of this Indenture, the authentication and delivery of Notes by the authenticating agent shall be deemed to be authentication and delivery of such Notes “by the Trustee” and a
certificate of authentication executed on behalf of the Trustee by an authenticating agent shall be deemed to satisfy any requirement hereunder or in the Notes for the Trustee’s certificate of authentication. Such authenticating agent shall at
all times be a Person eligible to serve as trustee hereunder pursuant to Section 7.08. 
 Any corporation or other entity into which
any authenticating agent may be merged or converted or with which it may be consolidated, or any corporation or other entity resulting from any merger, consolidation or conversion to which any authenticating agent shall be a party, or any
corporation or other entity succeeding to the corporate trust business of any authenticating agent, shall be the successor of the authenticating agent hereunder, if such successor corporation or other entity is otherwise eligible under this
Section 17.10, without the execution or filing of any paper or any further act on the part of the parties hereto or the authenticating agent or such successor corporation or other entity. 

Any authenticating agent may at any time resign by giving written notice of resignation to the Trustee and to the Company. The Trustee may at
any time terminate the agency of any authenticating agent by giving written notice of termination to such authenticating agent and to the Company. Upon receiving such a notice of resignation or upon such a termination, or in case at any time any
authenticating agent shall cease to be eligible under this Section, the Trustee may appoint a successor authenticating agent (which may be the Trustee), shall give written notice of such appointment to the Company and shall deliver notice of such
appointment to all Holders. 
 The Company agrees to pay to the authenticating agent from time to time reasonable compensation for its
services although the Company may terminate the authenticating agent, if it determines such agent’s fees to be unreasonable. 
 The
provisions of Section 7.02, Section 7.03, Section 7.04, Section 8.03 and this Section 17.10 shall be applicable to any authenticating agent. 

  
 95 

 If an authenticating agent is appointed pursuant to this Section 17.10, the Notes may
have endorsed thereon, in addition to the Trustee’s certificate of authentication, an alternative certificate of authentication in the following form: 
  

			
	                                    
            ,
	as Authenticating Agent, certifies that this is one of the Notes described in the within-named Indenture.
		
	By:	 	  

	Authorized Officer

 Section 17.11. Execution in Counterparts. This Indenture may be executed in any number of
counterparts, each of which shall be an original, but such counterparts shall together constitute but one and the same instrument. The exchange of copies of this Indenture and of signature pages by facsimile, PDF or other electronic transmission
shall constitute effective execution and delivery of this Indenture as to the parties hereto and may be used in lieu of the original Indenture for all purposes. Signatures of the parties hereto transmitted by facsimile, PDF or other electronic
methods shall be deemed to be their original signatures for all purposes. All notices, approvals, consents, requests and any communications hereunder must be in writing (provided that any such communication sent to the Trustee hereunder must be in
the form of a document that is signed manually or by way of a digital signature provided by DocuSign or other electronic signature provider that the Company plans to use (or such other digital signature provider as specified in writing to the
Trustee by the authorized representative), in English. The Company agrees to assume all risks arising out of the use of using digital signatures and electronic methods to submit communications to Trustee, including without limitation the risk of
Trustee acting on unauthorized instructions, and the risk of interception and misuse by third parties. Unless otherwise provided in this Indenture or in any Note, the words “execute”, “execution”, “signed”, and
“signature” and words of similar import used in or related to any document to be signed in connection with this Indenture, any Note or any of the transactions contemplated hereby (including amendments, waivers, consents and other
modifications) shall be deemed to include electronic signatures and the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature in ink or the use of a
paper-based recordkeeping system, as applicable, to the fullest extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records
Act, and any other similar state laws based on the Uniform Electronic Transactions Act. 
 Section 17.12. Severability. In the
event any provision of this Indenture or in the Notes shall be invalid, illegal or unenforceable, then (to the extent permitted by law) the validity, legality or enforceability of the remaining provisions shall not in any way be affected or
impaired. 
 Section 17.13. Waiver of Jury Trial. EACH OF THE COMPANY AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST
EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES OR THE TRANSACTIONS CONTEMPLATED HEREBY. 

  
 96 

 Section 17.14. Force Majeure. In no event shall the Trustee be responsible or
liable for any failure or delay in the performance of its obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or
terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, epidemics, pandemics, and interruptions, loss or malfunctions of utilities, communications or computer (software and hardware) services, or the unavailability
of the Federal Reserve Bank wire or telex or other wire or communication facility; it being understood that the Trustee shall use reasonable efforts that are consistent with accepted practices in the banking industry to resume performance as soon as
practicable under the circumstances. 
 Section 17.15. Calculations. Except as otherwise provided herein, the Company shall be
responsible for making all calculations called for under the Indenture and the Notes. These calculations include, but are not limited to, determinations of the Stock Price in connection with a Make-Whole Fundamental Change, the Last Reported Sale
Prices of the Common Stock, the Trading Price (for purposes of determining whether the Notes are convertible under this Indenture), the Daily VWAPs, the Daily Conversion Values, the Daily Settlement Amounts, accrued interest payable on the Notes and
the Conversion Rate of the Notes. The Company shall make all these calculations in good faith and, absent manifest error, the Company’s calculations shall be final and binding on Holders of Notes. The Company shall provide a schedule of its
calculations to each of the Trustee, Paying Agent and the Conversion Agent, and each of the Trustee, Paying Agent and Conversion Agent is entitled to rely conclusively upon the accuracy of the Company’s calculations without independent
verification. The Company will forward the Company’s calculations to any registered Holder of Notes upon the request of that registered Holder at the sole cost and expense of the Company. 

Section 17.16. USA PATRIOT Act. The parties hereto acknowledge that in accordance with Section 326 of the USA PATRIOT Act,
the Trustee, like all financial institutions and in order to help fight the funding of terrorism and money laundering, is required to obtain, verify, and record information that identifies each person or legal entity that establishes a relationship
or opens an account with the Trustee. The parties to this Indenture agree that they will provide the Trustee with such information as it may request in order for the Trustee to satisfy the requirements of the USA PATRIOT Act. 

Section 17.17. Withholding Taxes. If a beneficial owner of a Note is deemed to have received a distribution subject to U.S.
federal income tax as a result of an adjustment or the nonoccurrence of an adjustment to the Conversion Rate, any resulting applicable withholding taxes (including backup withholding) may be withheld from interest and payments upon conversion,
repurchase or maturity of the Notes, or if any withholding taxes (including backup withholding) are paid on behalf of a Holder or beneficial owner of Notes, those withholding taxes may be withheld from payments of cash or Common Stock, if any,
payable on the Notes (or any payments on the Common Stock) or sales proceeds received by or other funds or assets of the Holder or beneficial owner of the Note. 

[Remainder of page intentionally left blank] 

  
 97 

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

					
	PARSONS CORPORATION
		
	By:	 	 /s/ Michael R. Kolloway

		 	Name:	 	Michael R. Kolloway
		 	Title:	 	Chief Legal Officer
	
	 U.S. BANK NATIONAL

ASSOCIATION, as Trustee

		
	By:	 	 /s/ Bradley E. Scarbrough

		 	Name:	 	Bradley E. Scarbrough
		 	Title:	 	Vice President

  
 98 

 EXHIBIT A 

FORM OF NOTE 
 [FORM OF FACE OF
NOTE] 
 [INCLUDE FOLLOWING LEGEND IF A GLOBAL NOTE] 

[UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION
(“DTC”), TO PARSONS CORPORATION OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT HEREUNDER IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.] 
 [INCLUDE FOLLOWING LEGEND IF A RESTRICTED
SECURITY] 
 [THIS SECURITY AND THE COMMON STOCK, IF ANY, ISSUABLE UPON CONVERSION OF THIS SECURITY HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE
ACQUIRER: 
 (1) REPRESENTS THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL BUYER”
(WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT, AND 

(2) AGREES FOR THE BENEFIT OF PARSONS CORPORATION (THE “COMPANY”) THAT IT WILL NOT OFFER, SELL, PLEDGE OR OTHERWISE
TRANSFER THIS SECURITY OR ANY BENEFICIAL INTEREST HEREIN PRIOR TO THE DATE THAT IS THE LATER OF (X) ONE YEAR AFTER THE LAST ORIGINAL ISSUE DATE HEREOF OR SUCH SHORTER PERIOD OF TIME AS PERMITTED BY RULE 144 UNDER THE SECURITIES ACT OR ANY
SUCCESSOR PROVISION THERETO AND (Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED BY APPLICABLE LAW, EXCEPT: 
 (A) TO THE
COMPANY OR ANY SUBSIDIARY THEREOF, OR 

  
 A-1 

 (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BECOME EFFECTIVE UNDER THE
SECURITIES ACT, OR 
 (C) TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, OR 

(D) PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 
 PRIOR TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH CLAUSE (2)(D)
ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE RIGHT TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS BEING MADE IN
COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT.1] 
 NO AFFILIATE (AS DEFINED IN RULE 144 UNDER THE SECURITIES ACT) OF PARSONS
CORPORATION OR PERSON THAT HAS BEEN AN AFFILIATE (AS DEFINED IN RULE 144 UNDER THE SECURITIES ACT) OF PARSONS CORPORATION DURING THE IMMEDIATELY PRECEDING THREE MONTHS MAY PURCHASE, OTHERWISE ACQUIRE OR HOLD THIS SECURITY OR A BENEFICIAL INTEREST
HEREIN. 
  
  

	1 	 This paragraph and the immediately preceding paragraph will be deemed to be removed from the face of this Note
at such time when the Company delivers written notice to the Trustee of such deemed removal pursuant to Section 2.05(c) of the within-mentioned Indenture. 

  
 A-2 

 Parsons Corporation 

0.25% Convertible Senior Note due 2025 
  

			
	No. [                    ]	  	[Initially]2 $[            ]
		
	CUSIP No. [                    ]3	  	            

 Parsons Corporation, a corporation duly organized and validly existing under the laws of the State of Delaware
(the “Company,” which term includes any successor corporation or other entity under the Indenture referred to on the reverse hereof), for value received hereby promises to pay to [CEDE & CO.]4 [        ]5, or registered assigns, the principal sum [as set forth in the “Schedule of Exchanges of
Notes” attached hereto]6 [of $[        ]]7, which amount, taken together with the principal
amounts of all other outstanding Notes, shall not, unless permitted by the Indenture, exceed $400,000,000 in aggregate at any time, in accordance with the rules and procedures of the Depositary, on August 15, 2025, and interest thereon as set
forth below. 
 This Note shall bear interest at the rate of 0.25% per year from August 20, 2020, or from the most recent date to which
interest had been paid or provided for to, but excluding, the next scheduled Interest Payment Date until August 15, 2025. Accrued interest on this Note shall be computed on the basis of a 360-day year
composed of twelve 30-day months and, for partial months, on the basis of the number of days actually elapsed in a 30-day month. Interest is payable semi-annually in
arrears on each February 15 and August 15, commencing on February 15, 2021, to Holders of record at the close of business on the preceding February 1 and August 1 (whether or not such day is a Business Day), respectively.
Additional Interest will be payable as set forth in Section 4.06(d), Section 4.06(e) and Section 6.03 of the within-mentioned Indenture, and any reference to interest on, or in respect of, any Note therein shall be deemed to include
Additional Interest if, in such context, Additional Interest is, was or would be payable pursuant to any of such Section 4.06(d), Section 4.06(e) or Section 6.03, and any express mention of the payment of Additional Interest in any
provision therein shall not be construed as excluding Additional Interest in those provisions thereof where such express mention is not made. 

Any Defaulted Amounts shall accrue interest per annum at the rate borne by the Notes, subject to the enforceability thereof under applicable
law, from, and including, the relevant payment date to, but excluding, the date on which such Defaulted Amounts shall have been paid by the Company, at its election, in accordance with Section 2.03(c) of the Indenture. 

 
  

	2 	 Include if a global note. 

	3 	 This Note will be deemed to be identified by CUSIP No.
[                    ] from and after such time when (i) the Company delivers, pursuant to Section 2.05(c) of the within-mentioned Indenture, written
notice to the Trustee of the removal of the restrictive legend affixed to this Note and (ii) this Note is identified by such CUSIP number in accordance with the applicable procedures of the Depositary. 

	4 	 Include if a global note. 

	5 	 Include if a physical note. 

	6 	 Include if a global note. 

	7 	 Include if a physical note. 

  
 A-3 

 The Company shall pay or cause a Paying Agent to pay the principal of and interest on this
Note, if and so long as such Note is a Global Note, in immediately available funds to the Depositary or its nominee, as the case may be, as the registered Holder of such Note. As provided in and subject to the provisions of the Indenture, the
Company shall pay or cause a Paying Agent to pay the principal of any Notes (other than Notes that are Global Notes) at the office or agency designated by the Company for that purpose. The Company has initially designated the Trustee as its Paying
Agent and Note Registrar in respect of the Notes and its agency in the continental United States, as a place where Notes may be presented for payment or for registration of transfer and exchange. 

Reference is made to the further provisions of this Note set forth on the reverse hereof, including, without limitation, provisions giving the
Holder of this Note the right to convert this Note into cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, on the terms and subject to the limitations set forth in the Indenture. Such further provisions
shall for all purposes have the same effect as though fully set forth at this place. 
 This Note, and any claim, controversy or dispute
arising under or related to this Note, shall be construed in accordance with and governed by the laws of the State of New York. 
 In
the case of any conflict between this Note and the Indenture, the provisions of the Indenture shall control and govern. 
 This Note shall
not be valid or become obligatory for any purpose until the certificate of authentication hereon shall have been signed manually by the Trustee or a duly authorized authenticating agent under the Indenture. 

[Remainder of page intentionally left blank] 

  
 A-4 

 IN WITNESS WHEREOF, the Company has caused this Note to be duly executed. 

 

					
	PARSONS CORPORATION
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

 Dated: 
  

			
	TRUSTEE’S CERTIFICATE OF AUTHENTICATION
	
	U.S. BANK NATIONAL ASSOCIATION
	as Trustee, certifies that this is one of the Notes described in the within-named Indenture.
		
	By:	 	  

		 	Authorized Signatory

  
 A-5 

 [FORM OF REVERSE OF NOTE] 

Parsons Corporation 
 0.25%
Convertible Senior Note due 2025 
 This Note is one of a duly authorized issue of Notes of the Company, designated as its 0.25% Convertible
Senior Notes due 2025 (the “Notes”), limited to the aggregate principal amount of $400,000,000 all issued or to be issued under and pursuant to an Indenture dated as of August 20, 2020 (the “Indenture”),
between the Company and U.S. Bank National Association (the “Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a description of the rights, limitations of rights, obligations, duties
and immunities thereunder of the Trustee, the Company and the Holders of the Notes. Additional Notes may be issued in an unlimited aggregate principal amount, subject to certain conditions specified in the Indenture. Capitalized terms used in this
Note and not defined in this Note shall have the respective meanings set forth in the Indenture. 
 In case certain Events of Default shall
have occurred and be continuing, the principal of, and interest on, all Notes may be declared, by either the Trustee or Holders of at least 25% in aggregate principal amount of Notes then outstanding, and upon said declaration shall become, due and
payable, in the manner, with the effect and subject to the conditions and certain exceptions set forth in the Indenture. 
 Subject to the
terms and conditions of the Indenture, the Company will make all payments and deliveries in respect of the Fundamental Change Repurchase Price on the Fundamental Change Repurchase Date, the Redemption Price on any Redemption Date and the principal
amount on the Maturity Date, as the case may be, to the Holder who surrenders a Note to a Paying Agent to collect such payments in respect of the Note. The Company will pay cash amounts in money of the United States that at the time of payment is
legal tender for payment of public and private debts. 
 The Indenture contains provisions permitting the Company and the Trustee in certain
circumstances, without the consent of the Holders of the Notes, and in certain other circumstances, with the consent of the Holders of not less than a majority in aggregate principal amount of the Notes at the time outstanding, evidenced as in the
Indenture provided, to execute supplemental indentures modifying the terms of the Indenture and the Notes as described therein. It is also provided in the Indenture that, subject to certain exceptions, the Holders of a majority in aggregate
principal amount of the Notes at the time outstanding may on behalf of the Holders of all of the Notes waive any past Default or Event of Default under the Indenture and its consequences. 

Each Holder shall have the right to institute suit for the enforcement of its right to receive payment or delivery, as the case may be, of
(x) the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, (y) accrued and unpaid interest, if any, on, and (z) the consideration due upon conversion of, this Note at the place,
at the respective times, at the rate and in the lawful money or shares of Common Stock, as the case may be, herein prescribed. 

  
 A-6 

 The Notes are issuable in registered form without coupons in Authorized Denominations. At
the office or agency of the Company referred to on the face hereof, and in the manner and subject to the limitations provided in the Indenture, Notes may be exchanged for a like aggregate principal amount of Notes of other authorized denominations,
without payment of any service charge but, if required by the Company or Trustee, with payment of a sum sufficient to cover any transfer or similar tax that may be imposed in connection therewith as a result of the name of the Holder of the new
Notes issued upon such exchange of Notes being different from the name of the Holder of the old Notes surrendered for such exchange. 
 The
Notes shall be redeemable at the Company’s option on or after August 21, 2023 in accordance with the terms and subject to the conditions specified in the Indenture. No sinking fund is provided for the Notes. 

Upon the occurrence of a Fundamental Change, the Holder has the right, at such Holder’s option, to require the Company to repurchase for
cash all of such Holder’s Notes or any portion thereof (in principal amounts of $1,000 or integral multiples thereof) on the Fundamental Change Repurchase Date at a price equal to the Fundamental Change Repurchase Price. 

Subject to the provisions of the Indenture, the Holder hereof has the right, at its option, during certain periods and upon the occurrence of
certain conditions specified in the Indenture, prior to the close of business on the second Scheduled Trading Day immediately preceding the Maturity Date, to convert any Notes or portion thereof that is $1,000 or an integral multiple thereof, into
cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, based on the Conversion Rate specified in the Indenture, as adjusted from time to time as provided in the Indenture. 

  
 A-7 

 ABBREVIATIONS 

The following abbreviations, when used in the inscription of the face of this Note, shall be construed as though they were written out in full
according to applicable laws or regulations: 
 TEN COM = as tenants in common 

UNIF GIFT MIN ACT = Uniform Gifts to Minors Act 
 CUST =
Custodian 
 TEN ENT = as tenants by the entireties 
 JT TEN =
joint tenants with right of survivorship and not as tenants in common      
 Additional abbreviations may also be used
though not in the above list. 

  
 A-8 

 SCHEDULE A8 

SCHEDULE OF EXCHANGES OF NOTES 

Parsons Corporation 
 0.25%
Convertible Senior Notes due 2025 
 The initial principal amount of this Global Note is
                     DOLLARS ($[        ]). The following increases or decreases in this Global Note have
been made: 
  

																	
	 Date of exchange
	 	Amount of
decrease in
principal amount
of this Global Note	 	 	Amount of
increase in
principal amount
of this Global Note	 	 	Principal amount
of this Global Note
following such
decrease or
increase	 	 	Signature of
authorized
signatory of
Trustee or
Custodian	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 

  

	8 	 Include if a global note. 

  
 A-9 

 ATTACHMENT 1 

[FORM OF NOTICE OF CONVERSION] 
  

	To:	 Parsons Corporation 

5875 Trinity Parkway, #300, Centreville, VA 

Attention: General Counsel 
 U.S.
Bank National Association, as Conversion Agent 
 633 West Fifth Street, 24th Floor 

Los Angeles, California 90071 

Attention: Bradley E. Scarbrough (Parsons Corporation) 
  

	Re:	 Parsons Corporation 0.25% Convertible Senior Notes due 2025 

The undersigned registered owner of this Note hereby exercises the option to convert this Note, or the portion hereof (that is $1,000
principal amount or an integral multiple thereof) below designated, into cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, in accordance with the terms of the Indenture referred to in this Note, and
directs that any cash payable and any shares of Common Stock issuable and deliverable upon such conversion, together with any cash for any fractional share, and any Notes representing any unconverted principal amount hereof, be issued and delivered
to the registered Holder hereof unless a different name has been indicated below. If any shares of Common Stock or any portion of this Note not converted are to be issued in the name of a Person other than the undersigned, the undersigned will pay
all documentary, stamp or similar issue or transfer taxes, if any in accordance with Section 14.02(d) and Section 14.02(e) of the Indenture. Any amount required to be paid to the undersigned on account of interest accompanies this Note.
Capitalized terms used herein but not defined shall have the meanings ascribed to such terms in the Indenture. 
  

							
	Dated:                                    
                     	 		 	  
	 	
				
		 		 	  
	 	
	 	 	 	 	Signature(s)	 	 

  

	
	  
 Signature Guarantee

	
	Signature(s) must be guaranteed by an eligible Guarantor Institution (banks, stock brokers, savings and loan associations and credit unions)

  
 1 

	
	with membership in an approved signature guarantee medallion program pursuant to Securities and Exchange Commission Rule 17Ad-15 if shares of Common Stock are to be issued, or Notes are to be
delivered, other than to and in the name of the registered holder.
	
	Fill in for registration of shares if to be issued, and Notes if to be delivered, other than to and in the name of the registered holder:
	
	  

	(Name)
	
	  

	(Street Address)
	
	  

	(City, State and Zip Code)
	Please print name and address

  

			
		 	Principal amount to be converted (if less than all): $        ,000
		
		 	NOTICE: The above signature(s) of the Holder(s) hereof must correspond with the name as written upon the face of the Note in every particular without alteration or enlargement or any change whatever.
		
		 	                                      
                  
		 	Social Security or Other Taxpayer
		 	Identification Number

  
 2 

 ATTACHMENT 2 

[FORM OF FUNDAMENTAL CHANGE REPURCHASE NOTICE] 
  

	To:	 Parsons Corporation 

5875 Trinity Parkway, #300, Centreville, VA 

Attention: General Counsel 

Paying Agent 
  

	Re:	 Parsons Corporation 0.25% Convertible Senior Notes due 2025 

The undersigned registered owner of this Note hereby acknowledges receipt of a notice from Parsons Corporation (the
“Company”) as to the occurrence of a Fundamental Change with respect to the Company and specifying the Fundamental Change Repurchase Date and requests and instructs the Company to pay to the registered holder hereof in accordance
with Section 15.02 of the Indenture referred to in this Note (1) the entire principal amount of this Note, or the portion thereof (that is $1,000 principal amount or an integral multiple thereof) below designated, and (2) if such
Fundamental Change Repurchase Date does not fall during the period after a Regular Record Date and on or prior to the corresponding Interest Payment Date, accrued and unpaid interest, if any, thereon to, but excluding, such Fundamental Change
Repurchase Date. Capitalized terms used herein but not defined shall have the meanings ascribed to such terms in the Indenture. 
 In the
case of Physical Notes, the certificate numbers of the Notes to be repurchased are as set forth below: 
 Dated:
                                         
        
  

			
		 	                                      
                                         
 
		 	Signature(s)
		
		 	                                      
              
		 	Social Security or Other Taxpayer
		 	Identification Number
		
		 	Principal amount to be repaid (if less than all): $        ,000
		
		 	NOTICE: The above signature(s) of the Holder(s) hereof must correspond with the name as written upon the face of the Note in every particular without alteration or enlargement or any change whatever.

  
 1 

 ATTACHMENT 3 

[FORM OF ASSIGNMENT AND TRANSFER] 
 Re: Parsons
Corporation 0.25% Convertible Senior Notes due 2025 
 For value received
                                        
hereby sell(s), assign(s) and transfer(s) unto
                                        
(Please insert social security or Taxpayer Identification Number of assignee) the within Note, and hereby irrevocably constitutes and appoints
                                        
attorney to transfer the said Note on the books of the Company, with full power of substitution in the premises. 
 In connection with any transfer of the
within Note occurring prior to the Resale Restriction Termination Date, as defined in the Indenture governing such Note, the undersigned confirms that such Note is being transferred: 

☐    To Parsons Corporation or a subsidiary thereof; or 

☐    Pursuant to a registration statement that has become or been declared effective under the Securities Act of 1933, as amended;
or 
 ☐    Pursuant to and in compliance with Rule 144A under the Securities Act of 1933, as amended; or 

☐    Pursuant to and in compliance with Rule 144 under the Securities Act of 1933, as amended, or any other available exemption from
the registration requirements of the Securities Act of 1933, as amended. 

  
 1 

	
	Dated:
                                         
   
	
	  

	
	  

	Signature(s)
	
	  

	Signature Guarantee
	
	Signature(s) must be guaranteed by an eligible Guarantor Institution (banks, stock brokers, savings and loan associations and credit unions) with membership in an approved signature guarantee medallion program pursuant to Securities
and Exchange Commission Rule 17Ad-15 if Notes are to be delivered, other than to and in the name of the registered holder.

 NOTICE: The signature on the assignment must correspond with the name as written upon the face of the Note in every particular
without alteration or enlargement or any change whatever. 

  
 2 

 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), TO PARSONS CORPORATION OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT HEREUNDER IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
 THIS SECURITY AND THE
COMMON STOCK, IF ANY, ISSUABLE UPON CONVERSION OF THIS SECURITY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN
ACCORDANCE WITH THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE ACQUIRER: 
 (1)
REPRESENTS THAT IT AND ANY ACCOUNT FOR WHICH IT IS ACTING IS A “QUALIFIED INSTITUTIONAL BUYER” (WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT) AND THAT IT EXERCISES SOLE INVESTMENT DISCRETION WITH RESPECT TO EACH SUCH ACCOUNT,
AND 
 (2) AGREES FOR THE BENEFIT OF PARSONS CORPORATION (THE “COMPANY”) THAT IT WILL NOT OFFER, SELL, PLEDGE OR
OTHERWISE TRANSFER THIS SECURITY OR ANY BENEFICIAL INTEREST HEREIN PRIOR TO THE DATE THAT IS THE LATER OF (X) ONE YEAR AFTER THE LAST ORIGINAL ISSUE DATE HEREOF OR SUCH SHORTER PERIOD OF TIME AS PERMITTED BY RULE 144 UNDER THE SECURITIES ACT OR
ANY SUCCESSOR PROVISION THERETO AND (Y) SUCH LATER DATE, IF ANY, AS MAY BE REQUIRED BY APPLICABLE LAW, EXCEPT: 
 (A)
TO THE COMPANY OR ANY SUBSIDIARY THEREOF, OR 
 (B) PURSUANT TO A REGISTRATION STATEMENT THAT HAS BECOME EFFECTIVE UNDER THE
SECURITIES ACT, OR 
 (C) TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, OR 

(D) PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT OR ANY OTHER AVAILABLE EXEMPTION
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. 
 PRIOR TO THE REGISTRATION OF ANY TRANSFER IN ACCORDANCE WITH CLAUSE (2)(D)
ABOVE, THE COMPANY AND THE TRUSTEE RESERVE THE RIGHT 

  
 1 

 
TO REQUIRE THE DELIVERY OF SUCH LEGAL OPINIONS, CERTIFICATIONS OR OTHER EVIDENCE AS MAY REASONABLY BE REQUIRED IN ORDER FOR THE COMPANY TO DETERMINE THAT THE PROPOSED TRANSFER IS BEING MADE IN
COMPLIANCE WITH THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS. NO REPRESENTATION IS MADE AS TO THE AVAILABILITY OF ANY EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT.1 
 NO AFFILIATE (AS DEFINED IN RULE 144 UNDER THE SECURITIES ACT) OF PARSONS
CORPORATION OR PERSON THAT HAS BEEN AN AFFILIATE (AS DEFINED IN RULE 144 UNDER THE SECURITIES ACT) OF PARSONS CORPORATION DURING THE IMMEDIATELY PRECEDING THREE MONTHS MAY PURCHASE, OTHERWISE ACQUIRE OR HOLD THIS SECURITY OR A BENEFICIAL INTEREST
HEREIN. 
  
  

	1 	 This paragraph and the immediately preceding paragraph will be deemed to be removed from the face of this Note
at such time when the Company delivers written notice to the Trustee of such deemed removal pursuant to Section 2.05(c) of the within-mentioned Indenture. 

  
 2 

 Parsons Corporation 

0.25% Convertible Senior Note due 2025 
  

			
	No. RA-1	  	Initially $400,000,000
		
	CUSIP No. 70202L AA02	  	

 Parsons Corporation, a corporation duly organized and validly existing under the laws of the State of Delaware
(the “Company,” which term includes any successor corporation or other entity under the Indenture referred to on the reverse hereof), for value received hereby promises to pay to CEDE & CO., or registered assigns, the
principal sum as set forth in the “Schedule of Exchanges of Notes” attached hereto, which amount, taken together with the principal amounts of all other outstanding Notes, shall not, unless permitted by the Indenture, exceed $400,000,000
in aggregate at any time, in accordance with the rules and procedures of the Depositary, on August 15, 2025, and interest thereon as set forth below. 

This Note shall bear interest at the rate of 0.25% per year from August 20, 2020, or from the most recent date to which interest had been
paid or provided for to, but excluding, the next scheduled Interest Payment Date until August 15, 2025. Accrued interest on this Note shall be computed on the basis of a 360-day year composed of twelve 30-day months and, for partial months, on the basis of the number of days actually elapsed in a 30-day month. Interest is payable semi-annually in arrears on each
February 15 and August 15, commencing on February 15, 2021, to Holders of record at the close of business on the preceding February 1 and August 1 (whether or not such day is a Business Day), respectively. Additional
Interest will be payable as set forth in Section 4.06(d), Section 4.06(e) and Section 6.03 of the within-mentioned Indenture, and any reference to interest on, or in respect of, any Note therein shall be deemed to include Additional
Interest if, in such context, Additional Interest is, was or would be payable pursuant to any of such Section 4.06(d), Section 4.06(e) or Section 6.03, and any express mention of the payment of Additional Interest in any provision
therein shall not be construed as excluding Additional Interest in those provisions thereof where such express mention is not made. 
 Any
Defaulted Amounts shall accrue interest per annum at the rate borne by the Notes, subject to the enforceability thereof under applicable law, from, and including, the relevant payment date to, but excluding, the date on which such Defaulted Amounts
shall have been paid by the Company, at its election, in accordance with Section 2.03(c) of the Indenture. 
 The Company shall pay or
cause a Paying Agent to pay the principal of and interest on this Note, if and so long as such Note is a Global Note, in immediately available funds to the Depositary or its nominee, as the case may be, as the registered Holder of such Note. As
provided in and subject to the provisions of the Indenture, the Company shall pay or cause a 
  

	2 	 This Note will be deemed to be identified by CUSIP No. 70202L AB8 from and after such time when (i) the Company
delivers, pursuant to Section 2.05(c) of the within-mentioned Indenture, written notice to the Trustee of the removal of the restrictive legend affixed to this Note and (ii) this Note is identified by such CUSIP number in accordance with the
applicable procedures of the Depositary. 

  
 3 

 
Paying Agent to pay the principal of any Notes (other than Notes that are Global Notes) at the office or agency designated by the Company for that purpose. The Company has initially designated
the Trustee as its Paying Agent and Note Registrar in respect of the Notes and its agency in the continental United States, as a place where Notes may be presented for payment or for registration of transfer and exchange. 

Reference is made to the further provisions of this Note set forth on the reverse hereof, including, without limitation, provisions giving the
Holder of this Note the right to convert this Note into cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, on the terms and subject to the limitations set forth in the Indenture. Such further provisions
shall for all purposes have the same effect as though fully set forth at this place. 
 This Note, and any claim, controversy or dispute
arising under or related to this Note, shall be construed in accordance with and governed by the laws of the State of New York. 
 In
the case of any conflict between this Note and the Indenture, the provisions of the Indenture shall control and govern. 
 This Note shall
not be valid or become obligatory for any purpose until the certificate of authentication hereon shall have been signed manually by the Trustee or a duly authorized authenticating agent under the Indenture. 

[Remainder of page intentionally left blank] 

  
 4 

 IN WITNESS WHEREOF, the Company has caused this Note to be duly executed. 

 

			
	PARSONS CORPORATION
		
	By:	 	  

		 	Name:
		 	Title:

  

			
	Dated:
	
	TRUSTEE’S CERTIFICATE OF AUTHENTICATION
	
	 U.S. BANK NATIONAL ASSOCIATION
 as
Trustee, certifies that this is one of the Notes described in the within-named Indenture.

		
	By:	 	  

		 	Authorized Signatory

  
 [Signature Page to
Global Note No. RA-1] 

 [REVERSE OF NOTE] 

Parsons Corporation 
 0.25%
Convertible Senior Note due 2025 
 This Note is one of a duly authorized issue of Notes of the Company, designated as its 0.25% Convertible
Senior Notes due 2025 (the “Notes”), limited to the aggregate principal amount of $400,000,000 all issued or to be issued under and pursuant to an Indenture dated as of August 20, 2020 (the “Indenture”),
between the Company and U.S. Bank National Association (the “Trustee”), to which Indenture and all indentures supplemental thereto reference is hereby made for a description of the rights, limitations of rights, obligations, duties
and immunities thereunder of the Trustee, the Company and the Holders of the Notes. Additional Notes may be issued in an unlimited aggregate principal amount, subject to certain conditions specified in the Indenture. Capitalized terms used in this
Note and not defined in this Note shall have the respective meanings set forth in the Indenture. 
 In case certain Events of Default shall
have occurred and be continuing, the principal of, and interest on, all Notes may be declared, by either the Trustee or Holders of at least 25% in aggregate principal amount of Notes then outstanding, and upon said declaration shall become, due and
payable, in the manner, with the effect and subject to the conditions and certain exceptions set forth in the Indenture. 
 Subject to the
terms and conditions of the Indenture, the Company will make all payments and deliveries in respect of the Fundamental Change Repurchase Price on the Fundamental Change Repurchase Date, the Redemption Price on any Redemption Date and the principal
amount on the Maturity Date, as the case may be, to the Holder who surrenders a Note to a Paying Agent to collect such payments in respect of the Note. The Company will pay cash amounts in money of the United States that at the time of payment is
legal tender for payment of public and private debts. 
 The Indenture contains provisions permitting the Company and the Trustee in certain
circumstances, without the consent of the Holders of the Notes, and in certain other circumstances, with the consent of the Holders of not less than a majority in aggregate principal amount of the Notes at the time outstanding, evidenced as in the
Indenture provided, to execute supplemental indentures modifying the terms of the Indenture and the Notes as described therein. It is also provided in the Indenture that, subject to certain exceptions, the Holders of a majority in aggregate
principal amount of the Notes at the time outstanding may on behalf of the Holders of all of the Notes waive any past Default or Event of Default under the Indenture and its consequences. 

Each Holder shall have the right to institute suit for the enforcement of its right to receive payment or delivery, as the case may be, of
(x) the principal (including the Redemption Price and the Fundamental Change Repurchase Price, if applicable) of, (y) accrued and unpaid interest, if any, on, and (z) the consideration due upon conversion of, this Note at the place,
at the respective times, at the rate and in the lawful money or shares of Common Stock, as the case may be, herein prescribed. 

  
 R-1 

 The Notes are issuable in registered form without coupons in Authorized Denominations. At
the office or agency of the Company referred to on the face hereof, and in the manner and subject to the limitations provided in the Indenture, Notes may be exchanged for a like aggregate principal amount of Notes of other authorized denominations,
without payment of any service charge but, if required by the Company or Trustee, with payment of a sum sufficient to cover any transfer or similar tax that may be imposed in connection therewith as a result of the name of the Holder of the new
Notes issued upon such exchange of Notes being different from the name of the Holder of the old Notes surrendered for such exchange. 
 The
Notes shall be redeemable at the Company’s option on or after August 21, 2023 in accordance with the terms and subject to the conditions specified in the Indenture. No sinking fund is provided for the Notes. 

Upon the occurrence of a Fundamental Change, the Holder has the right, at such Holder’s option, to require the Company to repurchase for
cash all of such Holder’s Notes or any portion thereof (in principal amounts of $1,000 or integral multiples thereof) on the Fundamental Change Repurchase Date at a price equal to the Fundamental Change Repurchase Price. 

Subject to the provisions of the Indenture, the Holder hereof has the right, at its option, during certain periods and upon the occurrence of
certain conditions specified in the Indenture, prior to the close of business on the second Scheduled Trading Day immediately preceding the Maturity Date, to convert any Notes or portion thereof that is $1,000 or an integral multiple thereof, into
cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, based on the Conversion Rate specified in the Indenture, as adjusted from time to time as provided in the Indenture. 

  
 R-2 

 ABBREVIATIONS 

The following abbreviations, when used in the inscription of the face of this Note, shall be construed as though they were written out in full
according to applicable laws or regulations: 
 TEN COM = as tenants in common     

UNIF GIFT MIN ACT = Uniform Gifts to Minors Act 
 CUST =
Custodian 
 TEN ENT = as tenants by the entireties     

JT TEN = joint tenants with right of survivorship and not as tenants in common      

Additional abbreviations may also be used though not in the above list. 

  
 R-3 

 SCHEDULE A 

SCHEDULE OF EXCHANGES OF NOTES 

Parsons Corporation 
 0.25%
Convertible Senior Notes due 2025 
 The initial principal amount of this Global Note is FOUR HUNDRED MILLION DOLLARS ($400,000,000). The
following increases or decreases in this Global Note have been made: 
  

																	
	 Date of exchange
	 	Amount of
decrease in
principal amount
of this Global Note	 	 	Amount of
increase in
principal amount
of this Global Note	 	 	Principal amount
of this Global Note
following such
decrease or
increase	 	 	Signature of
authorized
signatory of
Trustee or
Custodian	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 
		 				 				 				 			
	  
	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 	 	  
	  
	 

  
 A-1 

 ATTACHMENT 1 

[FORM OF NOTICE OF CONVERSION] 
  

	To:	 Parsons Corporation 

5875 Trinity Parkway, #300, Centreville, VA 

Attention: General Counsel 
 U.S.
Bank National Association, as Conversion Agent 
 633 West Fifth Street, 24th Floor 

Los Angeles, California 90071 

Attention: Bradley E. Scarbrough (Parsons Corporation) 
  

	Re:	 Parsons Corporation 0.25% Convertible Senior Notes due 2025 

The undersigned registered owner of this Note hereby exercises the option to convert this Note, or the portion hereof (that is $1,000
principal amount or an integral multiple thereof) below designated, into cash, shares of Common Stock or a combination of cash and shares of Common Stock, as applicable, in accordance with the terms of the Indenture referred to in this Note, and
directs that any cash payable and any shares of Common Stock issuable and deliverable upon such conversion, together with any cash for any fractional share, and any Notes representing any unconverted principal amount hereof, be issued and delivered
to the registered Holder hereof unless a different name has been indicated below. If any shares of Common Stock or any portion of this Note not converted are to be issued in the name of a Person other than the undersigned, the undersigned will pay
all documentary, stamp or similar issue or transfer taxes, if any in accordance with Section 14.02(d) and Section 14.02(e) of the Indenture. Any amount required to be paid to the undersigned on account of interest accompanies this Note.
Capitalized terms used herein but not defined shall have the meanings ascribed to such terms in the Indenture. 
  

							
	Dated:
                                        
	 		 	  
	 	
				
		 		 	  
	 	
		 		 	Signature(s)	 	

  

	
	  

	Signature Guarantee
	
	Signature(s) must be guaranteed by an eligible Guarantor Institution (banks, stock brokers, savings and loan associations and credit unions) with membership in an approved signature guarantee medallion program pursuant to Securities
and Exchange Commission Rule 17Ad-15 if shares of Common Stock are to be issued, or Notes are to be delivered, other than to and in the name of the registered
holder.

  
 1 

	
	
	Fill in for registration of shares if to be issued, and Notes if to be delivered, other than to and in the name of the registered holder:
	
	  

	(Name)
	
	  

	(Street Address)
	
	  

	(City, State and Zip Code)
	 Please print name and address

 

	
	Principal amount to be converted (if less than all): $        ,000
	
	NOTICE: The above signature(s) of the Holder(s) hereof must correspond with the name as written upon the face of the Note in every particular without alteration or enlargement or any change whatever.
	
	  

	Social Security or Other Taxpayer
	Identification Number

  
 2 

 ATTACHMENT 2 

[FORM OF FUNDAMENTAL CHANGE REPURCHASE NOTICE] 
  

	To:	 Parsons Corporation 

5875 Trinity Parkway, #300, Centreville, VA 

Attention: General Counsel 

Paying Agent 
  

	Re:	 Parsons Corporation 0.25% Convertible Senior Notes due 2025 

The undersigned registered owner of this Note hereby acknowledges receipt of a notice from Parsons Corporation (the “Company”)
as to the occurrence of a Fundamental Change with respect to the Company and specifying the Fundamental Change Repurchase Date and requests and instructs the Company to pay to the registered holder hereof in accordance with Section 15.02 of the
Indenture referred to in this Note (1) the entire principal amount of this Note, or the portion thereof (that is $1,000 principal amount or an integral multiple thereof) below designated, and (2) if such Fundamental Change Repurchase Date
does not fall during the period after a Regular Record Date and on or prior to the corresponding Interest Payment Date, accrued and unpaid interest, if any, thereon to, but excluding, such Fundamental Change Repurchase Date. Capitalized terms used
herein but not defined shall have the meanings ascribed to such terms in the Indenture. 
 In the case of Physical Notes, the certificate
numbers of the Notes to be repurchased are as set forth below: 
 Dated:
                         
  

	
	  

	Signature(s)
	
	  

	Social Security or Other Taxpayer
	Identification Number
	
	Principal amount to be repaid (if less than all): $        ,000
	
	NOTICE: The above signature(s) of the Holder(s) hereof must correspond with the name as written upon the face of the Note in every particular without alteration or enlargement or any change whatever.

  
 1 

 ATTACHMENT 3 

[FORM OF ASSIGNMENT AND TRANSFER] 
  

	Re:	 Parsons Corporation 0.25% Convertible Senior Notes due 2025 

For value received
                                        
hereby sell(s), assign(s) and transfer(s) unto                      (Please insert social security or Taxpayer Identification Number of
assignee) the within Note, and hereby irrevocably constitutes and appoints                      attorney to transfer the said Note on the
books of the Company, with full power of substitution in the premises. 
 In connection with any transfer of the within Note occurring prior to the Resale
Restriction Termination Date, as defined in the Indenture governing such Note, the undersigned confirms that such Note is being transferred: 

☐    To Parsons Corporation or a subsidiary thereof; or 

☐    Pursuant to a registration statement that has become or been declared effective under the Securities Act of 1933, as amended;
or 
 ☐    Pursuant to and in compliance with Rule 144A under the Securities Act of 1933, as amended; or 

☐    Pursuant to and in compliance with Rule 144 under the Securities Act of 1933, as amended, or any other available exemption from
the registration requirements of the Securities Act of 1933, as amended. 

  
 1 

	
	Dated:
                                        

	
	  

	
	  

	Signature(s)
	
	  

	Signature Guarantee
	
	Signature(s) must be guaranteed by an eligible Guarantor Institution (banks, stock brokers, savings and loan associations and credit unions) with membership in an approved signature guarantee medallion program pursuant to Securities
and Exchange Commission Rule 17Ad-15 if Notes are to be delivered, other than to and in the name of the registered holder.

 NOTICE: The signature on the assignment must correspond with the name as written upon the face of the Note in every particular
without alteration or enlargement or any change whatever. 

  
 2Exhibit
10.1

 

Execution
Copy

 

LICENSE
AGREEMENT

 

BY
AND BETWEEN

 

PROCESSA
PHARMACEUTICALS, INC.

 

AND

 

YUHAN
CORPORATION

 

DATED
AS OF AUGUST 19, 2020

 

    	 

     

    

 

TABLE
OF CONTENTS 

 

	ARTICLE
    I	DEFINITIONS	1
	 	 	 
	ARTICLE
    II	GRANTS
    OF RIGHTS	13
	 	 	 
	ARTICLE
    III	DEVELOPMENT
    & GOVERNANCE	14
	 	 	 
	ARTICLE
    IV	SUPPLY	17
	 	 	 
	ARTICLE
    V	COMMERCIALIZATION	18
	 	 	 
	ARTICLE
    VI	DILIGENCE	18
	 	 	 
	ARTICLE
    VII	FINANCIAL
    PROVISIONS	19
	 	 	 
	ARTICLE
    VIII	INTELLECTUAL
    PROPERTY OWNERSHIP, PROTECTION AND RELATED MATTERS	26
	 	 	 
	ARTICLE
    IX	CONFIDENTIAL
    INFORMATION	33
	 	 	 
	ARTICLE
    X	REPRESENTATIONS,
    WARRANTIES AND COVENANTS	35
	 	 	 
	ARTICLE
    XI	INDEMNIFICATION	38
	 	 	 
	ARTICLE
    XII	TERM
    AND TERMINATION	41
	 	 	 
	ARTICLE
    XIII	MISCELLANEOUS	45

 

Schedules

 

	Schedule
    1.10	Compound
	Schedule
    1.49	Form
    of Share Issuance Agreement
	Schedule
    1.57	Yuhan
    Patent Rights

 

    	- i -

    	 

    

 

LICENSE
AGREEMENT

 

THIS
LICENSE AGREEMENT is entered into this 19th day of August 2020 (the “Effective Date”), by and between Processa
Pharmaceuticals, Inc. a company organized under the laws of Delaware, having a business address at 7380 Coca Cola Drive, Suite
106, Hanover, MD 21076 (“Processa”), and Yuhan Corporation a company in Seoul, Korea, whose principal place
of business is at 74, Noryangjin-ro, Dongjak-gu, Seoul, Korea (“Yuhan”).

 

WHEREAS,
Yuhan has developed or obtained rights to Yuhan Know-How, Yuhan Patent Rights and the Compound (each as defined below); and

 

WHEREAS,
Processa desires to obtain a license of the Yuhan Patent Rights and the Yuhan Know-How to Develop and Commercialize Compounds
and Products (each as defined below), under the terms and conditions set forth herein, and Yuhan desires to grant such a license;

 

NOW,
THEREFORE, in consideration of the foregoing premises and the mutual covenants herein contained, the Parties agree as follows:

 

ARTICLE
I

DEFINITIONS

 

The
following terms, whether used in the singular or plural, shall have the following meanings:

 

1.1       “Affiliate.”
Affiliate means any Person directly or indirectly controlled by, controlling or under common control with, a Party, but only for
so long as such control shall continue. For purposes of this definition, “control” (including, with correlative meanings,
“controlled by,” “controlling,” and “under common control with”) means, with respect to a
Person, possession, direct or indirect, of (a) the power to direct or cause direction of the management and policies of such Person
(whether through ownership of securities or partnership or other ownership interests, by contract or otherwise), or (b) at least
50% of the voting securities (whether directly or pursuant to any vested and exercisable option, warrant or other similar arrangement)
or other comparable equity interests. For clarity, neither of the Parties shall be deemed to be an “Affiliate” of
the other.

 

1.2       “Bankruptcy
Code.” Bankruptcy Code means Title 11 of the U.S. Code, as amended from time to time.

 

1.3       “Business
Day.” Business Day means a day that is not a Saturday, Sunday, or a day on which banking institutions in Baltimore,
Maryland or in South Korea are authorized by Law to remain closed.

 

1.4       “Calendar
Quarter.” Calendar Quarter means each of the periods ending on March 31, June 30, September 30, and December 31 of any
Calendar Year.

 

1.5       “Calendar
Year.” Calendar Year means each calendar year during the Term.

 

    	 	1	 

     

    

 

1.6       “Combination
Product.” Combination Product means (a) any pharmaceutical product that is a single formulation consisting of a Compound
and one or more other active compounds or active ingredients, which other active compounds or active ingredients are not Compounds
(“Other API”) or (b) any combination of a Compound sold together with any separately formulated Other API for
a single invoiced price.

 

1.7       “Commercialization”
or “Commercialize.” Commercialization or Commercialize means activities directed to obtaining pricing and reimbursement
approvals, marketing, promoting, Manufacturing commercial supplies of, distributing, importing, offering for sale, or selling
a product.

 

1.8       “Commercially
Reasonable Efforts.” Commercially Reasonable Efforts means, with respect to an objective, the reasonable, diligent,
good faith efforts of a Party (including the efforts of its Affiliates and Sublicensees) to accomplish such objective that a biopharmaceutical
company of comparable size and resources would normally use to accomplish a similar objective under similar circumstances, and,
specifically with respect to obligations hereunder relating to a Compound or Product, the carrying out of such obligations with
those efforts and resources that a biopharmaceutical company of comparable size and resources would use were it Developing, Manufacturing
or Commercializing its own pharmaceutical products that are at a similar stage of development or product life cycle and of similar
market potential as the Compound or Product, taking into account actual and potential issues of safety, efficacy or stability,
product profile (including product modality, category and mechanism of action), stage of development or life cycle status, product
labeling or anticipated labeling, the present and future market potential, past performance of the Compound or Product, actual
and projected Development, Regulatory Approval, pricing and reimbursement approval, Manufacturing and Commercialization costs,
existing or projected pricing, sales, reimbursement and financial return, medical and clinical considerations, present and future
regulatory environment, any issues regarding the ability to Manufacture the Compound or Product, the likelihood and timing of
obtaining Regulatory Approvals and pricing and reimbursement approvals, proprietary position, strength and duration of patent
protection and anticipated exclusivity, competitive Third Party products at the time and the likely competitive environment at
the time of projected entry into the market and thereafter, and any other relevant scientific, technical, operational and commercial
factors, all as measured by the facts and circumstances at the time such efforts are due. Commercially Reasonable Efforts will
be determined on a country-by-country and indication-by-indication basis for the Compound or Product, and the level of effort
is expected to change over time, reflecting changes in the status and value of the Compound or Product and the market conditions
and country(ies) involved.

 

1.9       “Clinical
Trial.” Clinical Trial shall mean any study in which human subjects are dosed with a drug, whether approved or investigational,
including any Phase 1 Clinical Trial, Phase 2 Clinical Trial, Phase 3 Clinical Trial, or any Pivotal Clinical Trial.

 

1.10       “Compound.”
Compound means YH12852, which has the chemical structure set forth on Schedule 1.10, together with all analogs, derivatives, metabolites,
stereoisomers, polymorphs, formulations, mixtures or compositions thereof, and any existing or future improved or modified versions
of the foregoing developed by or on behalf of Processa, its Affiliates or Sublicensees.

 

    	 	2	 

     

    

 

1.11       “Control”
or “Controlled.” Control or Controlled means, with respect to any tangible property or intellectual property
right or other intangible property, the possession (whether by ownership or license (other than by grant of a license to one Party
by the other Party pursuant to this Agreement or by grant of a license or sublicense to a Sublicensee by Processa pursuant to
a license or sublicense agreement)) by a Person of the ability to grant to another Person access to such tangible property or
access to or a license or sublicense to such intellectual property right or other intangible property, as provided herein without
violating the terms of any agreement with any other Person.

 

1.12       “Cover,”
“Covering” or “Covered.” Cover, Covering or Covered means, with respect to a compound, product,
technology, process or method that, in the absence of ownership of or a license granted under a Patent Right, the manufacture,
use, offer for sale, sale or importation of such compound or product or the practice of such technology, process or method would
infringe such Patent Right (or, in the case of a Patent Right that has not yet issued, would infringe such Patent Right if it
were to issue).

 

1.13       “CTA.”
CTA means (a) a clinical trial authorization application filed with a Regulatory Authority in any regulatory jurisdiction outside
the United States, the filing of which is necessary to commence or conduct clinical testing of a drug or biologic product in humans
in such jurisdiction; or (b) documentation issued by a Regulatory Authority that permits the conduct of clinical testing of a
product in humans in a regulatory jurisdiction.

 

1.14       “Development”
or “Develop.” Development or Develop means pre-clinical, non-clinical and clinical drug research, discovery
and development activities, including IND-enabling toxicology and other IND-enabling pre-clinical development efforts, stability
testing, process development, compound property optimization, formulation development, delivery system development, quality assurance
and quality control development, statistical analysis, clinical pharmacology, Manufacturing supplies of compounds and products
for pre-clinical, non-clinical and clinical use, clinical studies (including pre- and post-approval studies and investigator sponsored
clinical studies), regulatory affairs, and Regulatory Approval and clinical study regulatory activities (excluding regulatory
activities directed to obtaining pricing and reimbursement approvals).

 

1.15       “EMA.”
EMA means the European Medicines Agency and any successor agency.

 

1.16       “FDA.”
FDA means the U.S. Food and Drug Administration and any successor agency.

 

1.17       “Field.”
Field means for use in the treatment, prevention, palliation, and/or diagnosis of any and all human and/or animal diseases, disorder,
or conditions.

 

1.18       “First
Commercial Sale.” First Commercial Sale means, with respect to a Product in a country, the first sale of such Product
in such country by Processa, any of its Affiliates or any Sublicensee to the first unrelated Third Party (excluding any Sublicensee)
in such country for use or consumption of such Product in such country after receipt of the first Regulatory Approval for such
Product in such country. Sales for purposes of testing the Product and sample purposes shall not be deemed a First Commercial
Sale. For clarity, First Commercial Sale will be determined on a Product-by-Product and country-by-country basis, as applicable.

 

    	 	3	 

     

    

 

1.19       “FPFV.”
FPFV means the first patient’s first screening visit in a Clinical Trial at or prior to which such subject signs an informed
consent to participate in such Clinical Trial.

 

1.20       “Governmental
Authority.” Governmental Authority means any national, federal, state or local government, or political subdivision
thereof, or any multinational organization or authority or any authority, agency, or commission entitled to exercise any administrative,
executive, judicial, legislative, police, regulatory or taxing authority or power, any court or tribunal (or any department, bureau
or division thereof), or any governmental arbitrator or arbitral body.

 

1.21       “IND.”
IND means an investigational new drug application filed with the FDA with respect to a Compound or Product, or an equivalent application
filed with the Regulatory Authority of a country or regulatory jurisdiction in the Territory other than the United States, and
all amendments and supplements thereto.

 

1.22       “Joint
Intellectual Property.” Joint Intellectual Property means the Joint Inventions and Joint Patent Rights.

 

1.23       “Know-How.”
Know-How means all unpatented technical information, trade secrets, formulae, standards, knowledge, directions, instructions,
test protocols, procedures and results, studies, analyses, raw material sources, data, Manufacturing data, and any other confidential
or proprietary interest in information.

 

1.24       “Law”
or “Laws.” Law or Laws means all laws, statutes, rules, regulations, orders, judgments, or ordinances of any
Governmental Authority.

 

1.25       “Losses.”
Losses means any and all (a) claims, losses, liabilities, damages, fines, royalties, governmental penalties or punitive damages,
deficiencies, interest, awards, judgments, and settlement amounts (including special, indirect, incidental, and consequential
damages, lost profits, and Third Party punitive and multiple damages) payable to a Third Party, and (b) in connection with all
of the items referred to in clause (a) above, any and all costs and expenses (including reasonable counsel fees and all other
expenses reasonably incurred in investigating, preparing or defending any litigation or proceeding, commenced or threatened) payable
to a Third Party.

 

1.26       “Major
Markets.” Major Markets means, collectively, the United States, France, Germany, Italy, Spain, and the United Kingdom.

 

1.27       “Manufacture”
or “Manufacturing.” Manufacture or Manufacturing means activities directed to making, having made, producing,
manufacturing, processing, filling, finishing, packaging, labeling, quality assurance testing and release, shipping and storage
of a product.

 

    	 	4	 

     

    

 

1.28       “Marketing
Approval.” Marketing Approval means any and all approvals (including supplements, amendments, and post-marketing approvals),
licenses, registrations or authorizations of any Regulatory Authority that are necessary to market and/or sell a drug or biologic
product in a country or jurisdiction for one or more uses.

 

1.29       “NDA.”
NDA means a New Drug Application, as defined in the United States Federal Food, Drug, and Cosmetic Act (21 U.S.C. 301, et. seq.,
as it may be amended from time to time, including the rules, regulations, guidance, guidelines, and requirements promulgated or
issued thereunder), filed with the FDA with respect to a Compound or Product, or an equivalent application filed with the Regulatory
Authority of a country in the Territory other than the United States, and all amendments and supplements thereto.

 

1.30       “Net
Sales.” Net Sales means the gross amounts billed or invoiced by Processa, or any of its Affiliates, to any Third Party
that is not a Sublicensee with respect to sales of Products in the Territory, calculated in the same manner as reported in such
Person’s audited financial statements, less the following to the extent actually incurred or allocated in accordance with
Processa’s or its Affiliates’ customary accounting practices consistently and generally applied:

 

(a)       Volume,
cash or trade discounts, credits or allowances not to exceed thirty five percent (35%) of the billed or invoiced amount, including
discounts in the form of inventory management fees paid to wholesalers and distributors all to the extent such discounts are included
in the invoices and actually granted, but excluding commissions for commercialization;

 

(b)       Credits,
refunds or allowances granted upon returns, rejections or recalls and for retroactive price reductions or billing errors;

 

(c)       Freight,
postage, shipping, and insurance costs incurred in transporting the applicable Products to the extent that such items are applicable
to such sale and are separately itemized and invoiced and actually paid as evidenced by invoices, receipts or other appropriate
documents;

 

(d)       Amounts
paid (including rebates and chargeback payments or credits or other equivalents thereof) to formularies, government or government
agency programs, trade customers, managed health care organizations and pharmacy benefit managers (or equivalents thereof) to
obtain listing or purchase of the applicable Products not to exceed thirty-five (35%) of the billed or invoiced amount;

 

(e)       Bad
debts, uncollectible amounts, and collection costs relating to the sale of Products that are actually written off; and

 

(f)       To
the extent not reimbursed by a third party, taxes, tariffs, duties or other governmental charges (other than income taxes) levied
on, absorbed, or otherwise imposed on the sales, transportation, delivery, use, exportation, or importation of the applicable
Products.

 

Sales
of Products between Processa and its Affiliates or Sublicensees for resale shall be excluded from the computation of Net Sales.
Subject to Section 7.6, all sales by a Sublicensee shall also be excluded from the computation of Processa Net Sales. Disposal
or use of Products at or below cost for regulatory, Development or charitable purposes, such as clinical trials, compassionate
use, named patient use, or indigent patient programs, shall not be deemed a sale hereunder.

 

    	 	5	 

     

    

 

With
respect to any sale of any Product in a given country for any substantive consideration other than monetary consideration on arm’s
length terms (which has the effect of reducing the invoiced amount below what it would have been in the absence of such non-monetary
consideration), for purposes of calculating the Net Sales under this Agreement, such Product shall be deemed to be sold exclusively
for cash at the average Net Sales price charged to Third Parties for cash sales in such country during the applicable reporting
period (or if there were only de minimis cash sales in such country, at the fair market value as determined in good faith
based on pricing in comparable markets).

 

If
a Product is sold as part of a Combination Product, Net Sales will be the product of (x) Net Sales of the Combination Product
calculated as above (i.e., calculated as for a non-Combination Product) and (y) the fraction (A/(A+B)), where:

 

(i)       A
is the average selling price of the Product comprising a Compound as the sole therapeutically active ingredient during the most
recently completed Calendar Quarter during which such non-Combination Product was sold in such country; and

 

(ii)       B
is the average selling price in such country of products containing the Other API contained in the Combination Product as the
sole therapeutically active ingredient when sold separately during the most recently completed Calendar Quarter during which such
products were sold in such country.

 

If
both A and B cannot be determined by reference to non-Combination Product sales as described above, then Net Sales for purposes
of determining Royalty payments will be calculated as above, but the average selling price in the above equation shall be determined
by mutual agreement reached in good faith by the Parties prior to the end of the accounting period in question based on an equitable
method of determining same that takes into account, in the applicable country, variations in dosage units and the relative fair
market value of each therapeutically active ingredient in the Combination Product. If the Parties are unable to reach such an
agreement prior to the end of the applicable accounting period, then the Parties will refer such matter to a jointly selected
Third Party with expertise in the pricing of pharmaceutical products that is not an employee, consultant, legal advisor, officer,
director or stockholder of, and does not have any conflict of interest with respect to, either Party for resolution, which will
be final and binding on the Parties.

 

1.31       “Party.”
Party means either Yuhan or Processa; “Parties” means both Yuhan and Processa.

 

1.32       “Patent
Rights.” Patent Rights means all patent applications, patents, certificates of invention, applications for certificates
of invention and priority patent filings, including any continuations, continuations-in-part, renewals, requests for continued
examination and divisions of any such patents and patent applications, any patents or certificates of invention issuing from any
of the foregoing, any extensions, reissues, reexaminations, substitutions, confirmations, registrations, revalidations, revisions,
additions or supplementary patent certificates thereto, and all foreign counterparts thereof.

 

    	 	6	 

     

    

 

1.33       “Person.”
Person means any natural person or any corporation, company, partnership, joint venture, firm, Governmental Authority, or other
entity, including a Party.

 

1.34       “Phase
1 Clinical Trial.” Phase 1 Clinical Trial means a single randomized, placebo, or active controlled human clinical trial
which provides for the first introduction into humans of a product, conducted in normal volunteers or patients to get information
on product safety, tolerability, immunogenicity, pharmacological activity, or pharmacokinetics, as more fully defined in 21 C.F.R.
§ 312.21(a) (or analogous regulations of an applicable Regulatory Authority outside the U.S.).

 

1.35       “Phase
2 Clinical Trial.” Phase 2 Clinical Trial means, a single randomized, placebo, or active controlled human clinical trial
of any product, the principal purposes of which are the evaluation of the efficacy of such product for a particular indication
in the target patient population and a determination of the common side-effects and risks associated with the product in the dosage
range to be prescribed and to obtain sufficient information about the efficacy for such pharmaceutical product in the disease
or condition being studied to permit the design and dose of such product in a Phase 2 Clinical Trial, as described in 21 C.F.R.
§ 312.21(b) (or analogous regulations of an applicable Regulatory Authority outside the U.S.). Phase 2 Clinical Trial shall
include any Phase 2a or Phase 2b Clinical Trial.

 

1.36       “Phase
3 Clinical Trial.” Phase 3 Clinical Trial means a single randomized, placebo or active controlled human clinical trial
of any product on sufficient numbers of patients that is designed to demonstrate statistically that such product is safe and efficacious
for its intended use, to evaluate the risk-benefit relationship of the product, and to define warnings, precautions and adverse
reactions that are associated with such product in the dosage range to be prescribed, as described in 21 C.F.R. § 312.21(c)
(or analogous regulations of an applicable Regulatory Authority outside the U.S.), and that is intended to support Regulatory
Approval of such product.

 

1.37       “Pivotal
Clinical Trial.” Pivotal Clinical Trial shall mean (a) a Phase 3 Clinical Trial that is intended by Company or its Affiliates
or Sublicensees to be submitted (together with any other registration trials that are prospectively planned when such Phase 3
Clinical Trial is Initiated) for Regulatory Approval in the United States or the EU, or (b) any other Clinical Trial that is intended
by Company or its Affiliates or Sublicensees to establish that a Product is safe and efficacious for its intended use, and to
determine warnings, precautions, and adverse reactions that are associated with such pharmaceutical product in the dosage range
to be prescribed, which Clinical Trial is a registration trial intended by Company or its Affiliates or Sublicensees to be sufficient
for filing an application for a Regulatory Approval for such product in the United States or another country or some or all of
an extra-national territory, solely as evidenced by the acceptance for filing for a Regulatory Approval for such Product after
completion of such Clinical Trial.

 

1.38       “Planned
Public Offering.” Planned Public Offering means Processa’s planned capital raise for the up-list to Nasdaq or
the NYSE pursuant to the sale of shares pursuant to the Form S-1 Registration Statement (File No. 333-235511), as amended.

 

    	 	7	 

     

    

 

1.39       “Processa
Intellectual Property.” Processa Intellectual Property means, collectively, Processa Know-How and Processa Patent Rights.

 

1.40       “Processa
Know-How.” Processa Know-How means all Know-How Controlled as of the Effective Date or thereafter during the Term by
Processa or any of its Affiliates (other than any Know-How included in Joint Intellectual Property) that is used by Processa or
any of its Affiliates in the Development, Manufacture or Commercialization of any Compound or Product; provided, however,
that, if Processa is acquired by a Third Party, “Processa Know-How” shall exclude any Know-How that (a) is Controlled
by such Third Party or the Affiliates of such Third Party (other than Processa and the Persons that were Processa’s Affiliates
immediately prior to the closing of such acquisition transaction (such Affiliates, “Processa Pre-Existing Affiliates”))
(“Processa Excluded Affiliates”) and (b) was not Controlled by Processa or any of the Processa Pre-Existing
Affiliates immediately prior to the closing of such acquisition transaction; provided further that, if, after the closing
of such acquisition, any such Processa Excluded Affiliate has or acquires Control of any Know-How that is necessary or useful
to Develop, Manufacture or Commercialize any Compound or Product and that is used to Develop, Manufacture or Commercialize any
such Compound or Product, such additional Know-How that is Controlled by such Processa Excluded Affiliate shall be included in
Processa Know-How.

 

1.41       “Processa
Patent Rights.” Processa Patent Rights means all Patent Rights in the Territory Controlled as of the Effective Date
or thereafter during the Term by Processa or any of its Affiliates (other than Joint Patent Rights) that Cover any Compound or
Product and are used by Processa or any of its Affiliates in the Development, Manufacture or Commercialization of any Compound
or Product; provided, however, that, if Processa is acquired by a Third Party, “Processa Patent Rights”
shall exclude any Patent Rights that (a) are Controlled by such Third Party or the Affiliates of such Third Party (other than
Processa and Processa Pre-Existing Affiliates) and (b) were not Controlled by Processa or any of the Processa Pre-Existing Affiliates
immediately prior to the closing of such acquisition transaction; provided further that, if, after the closing of such
acquisition, any such Processa Excluded Affiliate has or acquires Control of any Patent Right that Covers the Development, Manufacture
or Commercialization of any Compound or Product and that is used to Develop, Manufacture or Commercialize any such Compound or
Product, such additional Patent Right that is Controlled by such Processa Excluded Affiliate shall be included in Processa Patent
Rights.

 

1.42       “Product.”
Product means any pharmaceutical preparation containing one or more Compounds either as its only active ingredient(s) or as part
of a Combination Product. For the avoidance of doubt, nothing in this Agreement grants to Processa or Yuhan any right or license
under any Patent Rights or Know-How Controlled by Yuhan or Processa, respectively, with respect to any Other API.

 

1.43       “Regulatory
Approval.” Regulatory Approval means an approval by the applicable Regulatory Authority of an NDA and any other approval,
license, registration, permit, notification or authorizations (or waiver) of the applicable Regulatory Authority, which is necessary
for the Manufacture, use, storage, import, transport, promotion, marketing, distribution, offer for sale, sale, or other Commercialization
of pharmaceutical products in a given country or regulatory jurisdiction, other than any pricing or reimbursement approval.

 

    	 	8	 

     

    

 

1.44       “Regulatory
Authority.” Regulatory Authority means any Governmental Authority with responsibility for granting licenses or approvals
necessary for the Development, Manufacture, use, storage, import, transport, promotion, marketing, distribution, offer for sale,
sale or other Commercialization of pharmaceutical products in a country or regulatory jurisdiction, including but limited to the
FDA or EMA.

 

1.45       “Regulatory
Documentation.” Regulatory Documentation means: (i) all applications for Regulatory Approval; (ii) all Regulatory Approvals,
including INDs, CTAs and Marketing Approvals; (iii) all supporting documents created for, referenced in, submitted to or received
from an applicable Regulatory Authority relating to any of the applications or Regulatory Approvals described in clauses (i) or
(ii), including drug master files (or any equivalent thereof outside the U.S.), annual reports, regulatory drug lists, advertising
and promotion documents filed or shared with Regulatory Authorities, adverse event files, safety reports, inspection reports,
documents with regard to clinical data, complaint files and Manufacturing records and any supplements thereto; and (iv) all correspondence
made to, made with or received from any Regulatory Authority (including written and electronic mail correspondence and minutes
from meetings, discussions, or conferences (whether in person or by audio conference or videoconference)).

 

1.46       “Regulatory
Exclusivity.” Regulatory Exclusivity means exclusive marketing rights or data protection or other exclusivity rights
conferred by any Regulatory Authority with respect to a Product in a country or regulatory jurisdiction within the Territory,
other than a Patent Right, including orphan drug exclusivity, pediatric exclusivity, and rights conferred in the United States
under the Hatch-Waxman Act.

 

1.47       “Right
of Cross-Reference.” Right of Cross-Reference means an authorization that permits an applicable Regulatory Authority
in a country to rely on the relevant information (by cross-reference, incorporation by reference or otherwise) contained in Regulatory
Documentation (and any data contained therein) filed with such Regulatory Authority with respect to such Party’s compound
or product, as necessary to conduct a Clinical Trial, to support Regulatory Approval of a product, to support a label expansion,
or to support a further indication in such country or as otherwise expressly permitted or required under this Agreement to enable
a Party to exercise its rights or perform its obligations hereunder, and, without the disclosure of underlying Confidential Information
to such Party.

 

1.48       “Senior
Executive.” Senior Executive means, with respect to Yuhan, the CEO of Yuhan, or his or her designee, and, with respect
to Processa, the CEO of Processa, or his or her designee. “Senior Executives” means the applicable officers of Yuhan
and Processa.

 

1.49       “Share
Issuance Agreement.” Share Issuance Agreement means the Share Issuance Agreement entered into by Yuhan and Processa
as of August 19, 2020, a copy of which is set forth as Schedule 1.49.

 

1.50       “Sublicensee.”
Sublicensee means a Third Party that has been granted a sublicense under the rights granted to Processa pursuant to Section 2.1
of this Agreement, beyond the mere right to purchase Compound or Product Manufactured by or on behalf of Processa or its Affiliates.

 

    	 	9	 

     

    

 

1.51       “Territory.”
Territory means all countries of the world except for Manufacturing and Commercialization rights in South Korea.

 

1.52       “Third
Party.” Third Party means any Person other than Yuhan or Processa or any of their respective Affiliates.

 

1.53       “U.S.”
U.S. means the United States of America, including its territories and possessions.

 

1.54       “Valid
Claim.” Valid Claim means any claim of (a) an issued and unexpired patent within the Yuhan Patent Rights, Processa Patent
Rights, or Joint Patent Rights that has not been revoked or held unenforceable or invalid by a final decision of a court or other
Governmental Authority of competent jurisdiction, or that has not been disclaimed, denied or admitted to be invalid or unenforceable
through reissue or disclaimer or otherwise; or (b) a patent application within the Yuhan Patent Rights, Processa Patent Rights,
or Joint Patent Rights; provided that such a claim within a patent application has not been canceled, withdrawn, or abandoned
or been pending for more than seven (7) years from the date of its first priority filing in the applicable country. For clarity,
a claim of a patent that, pursuant to clause (b), had ceased to be a Valid Claim before it issued but that subsequently issues
and is otherwise described by clause (a), shall again be considered to be a Valid Claim once it issues until it is no longer considered
a Valid Claim in accordance with clause (a).

 

1.55       “Yuhan
Intellectual Property.” Yuhan Intellectual Property means the Yuhan Know-How and the Yuhan Patent Rights.

 

1.56       “Yuhan
Know-How.” Yuhan Know-How means all Know-How that is Controlled by Yuhan or any of its Affiliates as of the Effective
Date or thereafter during the Term (other than any Know-How included in Joint Intellectual Property) that is necessary or useful
to Develop, Manufacture or Commercialize any Compound or Product; provided, however, that, if Yuhan is acquired
by a Third Party, “Yuhan Know-How” shall exclude any Know-How that (a) is Controlled by such Third Party or the Affiliates
of such Third Party (other than Yuhan and the Persons that were Yuhan’s Affiliates immediately prior to the closing of such
acquisition transaction (such Affiliates, “Yuhan Pre-Existing Affiliates”)) (“Yuhan Excluded Affiliates”)
and (b) was not Controlled by Yuhan or any of the Yuhan Pre-Existing Affiliates immediately prior to the closing of such acquisition
transaction; provided further that, if, after the closing of such acquisition, any such Yuhan Excluded Affiliate has or
acquires Control of any Know-How that is necessary or useful to Develop, Manufacture or Commercialize any Compound or Product
and that is used to Develop, Manufacture or Commercialize any such Compound or Product, such additional Know-How that is Controlled
by such Yuhan Excluded Affiliate shall be included in Yuhan Know-How.

 

1.57       “Yuhan
Patent Rights.” Yuhan Patent Rights means all Patent Rights in the Territory that are Controlled by Yuhan or any of
its Affiliates as of the Effective Date or thereafter during the Term (other than Joint Patent Rights) that Cover any Compound
or Product. The Yuhan Patent Rights existing as of the Effective Date are set forth on Schedule 1.57; provided,
however, that, if Yuhan is acquired by a Third Party, “Yuhan Patent Rights” shall exclude any Patent Rights
that (a) are Controlled by such Third Party or the Affiliates of such Third Party (other than Yuhan and Yuhan Pre-Existing Affiliates)
and (b) were not Controlled by Yuhan or any of the Yuhan Pre-Existing Affiliates immediately prior to the closing of such acquisition
transaction; provided further that, if, after the closing of such acquisition, any such Yuhan Excluded Affiliate has or
acquires Control of any Patent Right that Covers the Development, Manufacture or Commercialization of any Compound or Product
and that is used to Develop, Manufacture or Commercialize any such Compound or Product, such additional Patent Right that is Controlled
by such Yuhan Excluded Affiliate shall be included in Yuhan Patent Rights.

 

    	 	10	 

     

    

 

1.58       Additional
Definitions. Each of the following definitions is set forth in the Section of this Agreement indicated below:

 

	Definition:	Section:
	Abandoned
    Patents	Section
    8.2(a)
	Agents	Section
    9.1
	Commercialization
    Plan	Section
    5.2
	Confidential
    Information	Section
    9.2
	Confidentiality
    Agreement	Section
    9.2
	Courts	Section
    13.1
	Deadlocked
    Matter	Section
    3.5(e)
	Development
    Milestone Payments	Section
    7.2
	Development
    Plan	Section
    6.1(a)
	Effective
    Date	Preamble
	Indemnified
    Party	Section
    11.3(a)
	Indemnifying
    Party	Section
    11.3(a)
	Infringement
    Claim	Section
    8.3(a)
	Joint
    Inventions	Section
    8.1(b)
	Joint
    Patent Rights	Section
    8.2(b)
	Late
    Payment Notice	Section
    7.12
	Milestone
    Shares	Section
    7.2
	Other
    API	Section
    1.6
	Paragraph
    IV Claim	Section
    8.8(a)
	PCYU
    Board	Section
    3.5(a)
	Product
    Liability Claims	Section
    11.1(b)
	Processa	Preamble
	Processa
    Excluded Affiliates	Section
    1.40
	Processa
    Parties	Section
    11.2
	Processa
    Pre-Existing Affiliates	Section
    1.40
	Processa
    Sole Inventions	Section
    8.1(a)
	ROFN
    Notice	Section
    4.2
	ROFN
    Response	Section
    4.2
	Royalties	Section
    7.5(a)
	Royalty
    Floor	Section
    7.5(d)
	Royalty
    Rate	Section
    7.5(a)
	Royalty
    Term	Section
    7.5(b)
	Sales
    Milestone Payment	Section
    7.4
	Sublicense
    Considerations	Section
    7.6(a)
	Sublicense
    Materials	Section
    2.1(c)
	Sublicense
    Payments	Section
    7.6
	Sublicensee
    Intellectual Property	Section
    2.1(c)
	Taxes	Section
    7.9
	Term	Section
    12.1
	Third
    Party Claims	Section
    11.1
	Third
    Party Patent Licenses	Section
    7.5(c)
	Upfront
    Fee	Section
    7.1
	Worldwide
    Annual Accrued Net Sales	Section
    7.4
	Yuhan	Preamble
	Yuhan
    Excluded Affiliates	Section
    1.56
	Yuhan
    Parties	Section
    11.1
	Yuhan
    Pre-Existing Affiliates	Section
    1.56
	Yuhan
    Sole Inventions	Section
    8.1(a)

 

    	 	11	 

     

    

 

1.59       Captions;
Certain Conventions; Construction. All headings and captions herein are for convenience only and shall not be interpreted
as having any substantive meaning. The Schedules to this Agreement are incorporated herein by reference and shall be deemed a
part of this Agreement. Unless otherwise expressly provided herein or the context of this Agreement otherwise requires:

 

(a)       words
of any gender include each other gender;

 

(b)       words
such as “herein,” “hereof,” and “hereunder” refer to this Agreement as a whole and not merely
to the particular provision in which such words appear;

 

(c)       words
using the singular shall include the plural, and vice versa;

 

(d)       the
words “include,” “includes” and “including” shall be deemed to be followed by the phrase “but
not limited to”, “without limitation”, “inter alia” or words of similar import;

 

(e)       the
word “or” shall be deemed to include the word “and” (i.e., shall mean “and/or”)

 

(f)       references
to “Article,” “Section,” “subsection,” “paragraph,” “clause,” or other
subdivision, or to a Schedule, without reference to a document, are to the specified provision or Schedule of this Agreement;
and

 

(g)       references
to “$” or “dollars” shall be references to U.S. Dollars.

 

This
Agreement shall be construed as if the Parties drafted it jointly.

 

    	 	12	 

     

    

 

ARTICLE
II

GRANTS OF RIGHTS

 

2.1       Licenses.

 

(a)       License.
Subject to the terms of this Agreement, Yuhan shall, and hereby does, grant to Processa an exclusive (even as to Yuhan and its
Affiliates), royalty-bearing right and license, including the right to sublicense in accordance with Section 2.1(b), under the
Yuhan Intellectual Property and Yuhan’s interest in the Joint Intellectual Property, to Develop, Manufacture, use and Commercialize,
including filing for, obtaining and maintaining Regulatory Approval for, Products in the Field in the Territory.

 

(b)       License
Back. Subject to the terms of this Agreement and in order to facilitate Yuhan’s right to Develop (solely to obtain Marketing
Approval), Manufacture and Commercialize Products in South Korea, Processa shall, and hereby does, grant to Yuhan an exclusive
(even as to Processa and its Affiliates), royalty-bearing and sublicensable right and license (i) to access and use any data generated
by or on behalf of Processa in the Development of Products for the Territory, including all data included in any regulatory submission;
and (ii) under any Processa Intellectual Property, and Processa’s interest in the Joint Intellectual Property directed to
modifications or improvements to the Yuhan Intellectual Property, in each case ((i) and (ii)) for the sole purpose of obtaining
Marketing Approval for, and Manufacturing and Commercializing the Products in South Korea only. Yuhan shall pay Processa a royalty
equal to three percent (3%) of Net Sales (by Yuhan or its Affiliates, or its or their sublicensees) of such Products Covered by
Processa Patents in South Korea (starting from the First Commercial Sale of such Product made by Yuhan in South Korea, to be calculated
in accordance with Sections 7.5(a) through 7.5(d), but without any reference to Section 7.6, applied mutatis mutandis as
if such Net Sales were made by Yuhan, and as if the Royalty Term were until the expiration or invalidation of the last Valid Claim
in the Processa Patents Covering such Patent in South Korea). Upon the expiration or invalidation of the last Valid Claim in the
Processa Patents Covering such Patent in South Korea, the licenses granted to Yuhan under this Section 2.1(b) shall become non-exclusive,
fully-paid-up, perpetual, and irrevocable.

 

(c)       Sublicenses.
From the Effective Date, Processa shall have the right to grant sublicenses under the licenses to Yuhan Intellectual Property
and Yuhan’s interest in the Joint Intellectual Property granted to Processa under Section 2.1(a) to its Affiliates and to
Third Parties, such sublicense rights being subject to Yuhan’s prior written approval (which may not be unreasonably withheld
or delayed) with respect to Third Parties; provided, however, that (i) any such sublicense shall be subject to all
applicable terms and conditions of this Agreement; (ii) any Sublicensee to whom Processa discloses Confidential Information shall
enter into an appropriate written agreement obligating such Sublicensee to be bound by obligations of confidentiality and restrictions
on use of such Confidential Information that are no less restrictive than the obligations in ARTICLE IX; (iii) Processa shall
at all times be responsible for the performance of such Sublicensee; and (iv) Processa shall, prior to granting any sublicense
to a Sublicensee under this Agreement, provide Yuhan with a copy of such sublicense agreement. Each agreement with each Sublicensee
must include grants of rights sufficient to enable Processa to grant substantially the rights set forth in Sections 12.7(b) through
12.7(f) with respect to (1) all Know-How and Patent Rights (including all applicable pre-clinical and clinical data, including
pharmacology and biology data; Manufacturing documents and materials; and Manufacturing technologies) Controlled by such Sublicensee
during the Term and used by such Sublicensee in the Development, Manufacture or Commercialization of any Compound or Product (collectively,
“Sublicensee Intellectual Property”); (2) all filings with Regulatory Authorities in the Territory relating
to Compounds and Products and Regulatory Approvals relating to Compounds and Products held by such Sublicensee, including related
correspondence with Regulatory Authorities; (3) all Manufacturing agreements to which such Sublicensee is a party that are related
to Compounds or Products; (4) all of such Sublicensee’s inventory of Compounds and Products existing as of the applicable
date; and (5) all trademarks owned by such Sublicensee and used solely in connection with the Products, along with all associated
goodwill ((1) – (5), collectively, “Sublicense Materials”).

 

    	 	13	 

     

    

 

2.2       Rights
Retained by the Parties. Any rights of Yuhan or Processa, as the case may be, not expressly granted to the other Party under
the provisions of this Agreement shall be retained by such Party.

 

2.3       Section
365(n) of the Bankruptcy Code. All rights and licenses granted under or pursuant to any section of this Agreement, including
the licenses granted under Sections 2.1 or 12.7(e) to Patent Rights and Know-How (including any data included in the Know-How),
are and will otherwise be deemed to be for purposes of Section 365(n) of the Bankruptcy Code, licenses of rights to “intellectual
property” as defined in Section 101(35A) of the Bankruptcy Code. Each Party will retain and may fully exercise all of its
respective rights and elections under the Bankruptcy Code. The Parties agree that each Party, as licensee of such rights under
this Agreement, will retain and may fully exercise all of its rights and elections under the Bankruptcy Code or any other provisions
of applicable Law outside the United States that provide similar protection for “intellectual property.”

 

2.4       Transfer
of Yuhan Material and Know-How. Within ninety (90) days after the Effective Date, Yuhan shall transition Yuhan Know-How to
Processa and provide Processa with reasonable amounts of consultation regarding the transferred Yuhan Know-How. In addition, Yuhan
will transfer all material and copies of documentation in English to Processa related to the Product including but not limited
to (a) documents including communications, reports, white papers and supporting material, lab or study notes, Manufacturing documents,
and similar material, (b) know-how related to the Development of the Product, and (c) Regulatory Approvals or clearances or submissions.

 

ARTICLE
III

DEVELOPMENT & Governance

 

3.1       General.
From the Effective Date, and subject to the terms of this Agreement, including the requirements of ARTICLE VI, with input from
the PCYU Board (defined in Section 3.5), Processa (or its Affiliates or Sublicensees) shall control and be solely responsible
for the Development of and regulatory activities with respect to Compounds and Products in the Field in the Territory, including
all costs and expenses relating thereto (excluding the costs and expenses of Yuhan appointed members of the PCYU Board). If Processa
requests Yuhan’s cooperation outside of the PCYU Board as described above, the Parties shall mutually agree in advance on
a budget therefor, and Processa shall reimburse Yuhan for any expenses incurred by Yuhan under this Section 3.1 within thirty
(30) days after receiving an invoice therefor.

 

    	 	14	 

     

    

 

3.2       Exchange
of Information Regarding Development. At least once each Calendar Year,
beginning on the Effective Date and ending on the date on which Processa obtains the first Regulatory Approval for a Product in
the United States and the first Regulatory Approval for a Product in another Major Market, Processa
shall provide Yuhan with a reasonably detailed report describing Processa’s Development activities and the summary results
thereof with respect to all Compounds and Products.

 

3.3       Right
of Cross Reference. Processa hereby grants
to Yuhan an option for an irrevocable and perpetual, fully paid-up, transferable right of access and Right of Cross-Reference
to all Regulatory Documentation and Regulatory Approvals for the Compound and Products anywhere in the Territory for purposes
of Development, Manufacture and Commercialization in South Korea. Yuhan may exercise such option and shall obtain such rights
upon giving written notice to Processa and paying a one-time fee of two hundred fifty thousand dollars ($250,000). Upon Yuhan’s
exercise of the option, Processa shall grant such rights to Yuhan and shall cooperate fully to make the benefits of such Regulatory
Documentation and Regulatory Approvals available to Yuhan or its designee, including by providing a signed statement to such effect.

 

3.4       Recalls.
In the event that any Regulatory Authority issues or requests a recall or takes a similar action in connection with a Product
in the Territory, or in the event either Party determines that an event, incident or circumstance has occurred that may result
in the need for a recall or market withdrawal in the Territory, the Party notified of such recall or similar action, or the Party
that desires such recall or similar action, shall within 24 hours, advise the other Party thereof by telephone, facsimile or email.
Processa, in consultation with Yuhan, through the PCYU Board, shall decide whether to conduct a recall in any market in the Territory
(except in the case of a government mandated recall, when Processa may act without such advance notice but, shall notify Yuhan
as soon as possible) and the manner in which any such recall shall be conducted (and in the event of any disagreement regarding
a recall in the Territory, the approach that is more conservative shall control). Each Party will make available to the other
Party, upon request, all of such Party’s (and its Affiliates’) pertinent records that such other Party may reasonably
request to assist such other Party in effecting any recall.

 

3.5       Processa
Yuhan Advisory Board.

 

(a)       General;
Responsibilities. Within thirty (30) days after the Effective Date, the
Parties will establish a Processa Yuhan Advisory Board (the “PCYU Board”) to oversee and coordinate the Parties’
activities under this Agreement to the extent provided in this Agreement. The PCYU Board shall:

 

(i)       oversee
the Development Plan to ensure that the goals and direction of the plan are identified and achieved and to advise on courses of
action to achieve the goal and direction of the plan;

 

(ii)       on
at least an annual basis, review the then-current Development Plan, and review, comment on, on approve (or reject) any proposed
amendments to the then-current Development Plan;

 

    	 	15	 

     

    

 

(iii)       not
oversee nor provide approval for the everyday operations of and decisions by Processa that are required to demonstrate the safety
and efficacy of the Compound and Products in order to obtain Regulatory Approval within any country in the Territory;

 

(iv)       not
oversee nor provide approval for the regulatory science process used by Processa for the Compound and Products in order to obtain
Regulatory Approval within any country in the Territory; and

 

(v)       perform
such other functions, in each case as expressly assigned to the PCYU and set forth in this Agreement or as mutually agreed upon
by the Parties in writing.

 

(b)       Composition.
The PCYU Board initially shall be composed of at least four (4) members, two (2) of whom shall be representatives appointed by
Processa and two (2) of whom shall be representatives appointed by Yuhan. Each PCYU Board member shall have the requisite experience
and seniority to enable such representative to make decisions on behalf of the Party who appointed such member with respect to
the issues falling within the jurisdiction of the PCYU Board. Neither Party shall appoint any representative to the PCYU Board
that is not an employee or member of the Board of Directors of such Party or its Affiliates without the prior written consent
of the other Party. Processa shall appoint one (1) of its representatives as the chairperson of the PCYU Board. The size of the
PCYU Board may be changed from time to time by written agreement of the Parties; provided that the PCYU Board shall at all times
include an equal number of representatives of each Party. Each Party may replace its PCYU Board representatives at any time upon
written notice to the other Party. An employee of Processa and not an official member of the PCYU Board may also be appointed
by Processa as Secretary to take notes and provide minutes for the Board. This Secretary shall not have any voting privileges
within the PCYU Board.

 

(c)       Meetings.
Unless otherwise agreed by the Parties, the PCYU Board shall hold meetings (a) at least once per Calendar Quarter or more often
as its members may determine until the filing of an IND for the Compound and (b) twice per Calendar Year thereafter until the
first anniversary of the First Commercial Sale in the Territory for the Product. PCYU Board meetings may be held in person or
by any means of telecommunications as the members deem necessary or appropriate, including telephone, video conference or similar
means in which each participant can hear what is said, and be heard, by the other participants. If a meeting is held in person,
PCYU Board members may, in lieu of attending in person, attend by any means of telecommunications in which each participant can
hear what is said, and be heard, by the other participants. A quorum of the PCYU Board shall exist whenever there is present at
a meeting at least one (1) representative appointed by each Party. Employees or consultants of either Party who are not members
of the PCYU Board may attend meetings of the PCYU Board; provided that: (i) such attendees shall not vote in the decision-making
process of the PCYU Board; (ii) such attendees shall be bound in writing by obligations of confidentiality and non-use equivalent
to those set forth in ARTICLE IX; and (iii) a consultant of a Party may attend a meeting only with prior notice to and consent
of the other Party, which shall not be unreasonably withheld or delayed; provided further that any PCYU Board meetings
that includes representatives of either Party who are not PCYU Board members may, at the request of any PCYU Board member, include
a closed session consisting of only PCYU Board members. Except as provided in the prior sentence, individuals who are not members
of the PCYU Board may not attend a meeting of the PCYU Board without the prior consent of both Parties. Each Party shall be responsible
for its own expenses of participating in the PCYU Board.

 

    	 	16	 

     

    

 

(d)       Minutes.
As soon as reasonably practicable and in any event no fewer than fifteen (15) Business Days prior to each meeting, Processa shall
disclose to Yuhan any proposed agenda items together with all appropriate information with respect to such proposed agenda items.
The chairperson of the PCYU Board shall prepare and circulate to all members of the PCYU Board for review draft minutes of each
PCYU Board meeting within an appropriate time after such meeting, but in no event later than the next meeting of the PCYU Board.
The Parties shall approve in writing the minutes of each meeting promptly.

 

(e)       Decision-Making.
The PCYU Board shall make decisions and take action by consensus of the members present at a meeting at which a quorum exists,
with each Party having a single vote, regardless of the number of representatives of such Party in attendance at such meeting.
If the PCYU Board does not reach consensus on any matter within its authority (a “Deadlocked Matter”), the
Deadlocked Matter will be referred to the Senior Executive of Processa or his/her designee as the final decision-making authority
with respect to such Deadlocked Matter provided that Processa shall not have any such final decision-making authority with respect
to a Deadlocked Matter that would require Yuhan to incur any additional costs or expenses, or otherwise materially adversely impact
Yuhan’s rights and obligations under this Agreement. In addition, if the PCYU Board recommends changes to the development
that require a change in budget, staffing, or external payments, the Senior Executive of Processa shall be the final decision-making
authority to approve or not approve the PCYU Board recommendation(s).

 

(f)       Authority.
The PCYU Board shall have only such powers as are specifically delegated to it under this Agreement, and for clarity the PCYU
Board shall not have any authority or ability to: (1) modify, amend, or waive the terms or conditions of this Agreement, including
the milestone payment provisions, license rights provisions and delegations of authority provisions; (2) determine whether or
not a breach of this Agreement has occurred; (3) make any decision that, under the terms of this Agreement, requires Yuhan’s
or Processa’s consent, approval or agreement or the consent, approval or agreement of both Parties; or (4) require Yuhan
or Processa to conduct any activities in contravention of, or outside the scope of, this Agreement.

 

(g)       Sublicensee;
Dissolution. If Processa grants sublicenses to Sublicensees for the Development, Manufacture, or Commercialization of the
Product in the Field in any Major Market, Processa will provide Yuhan with copies of all correspondence with such Sublicensee,
and shall invite Yuhan to attend all meetings
with such Sublicensee. Subject to the foregoing, if Processa grants sublicenses to Sublicensees for the Development, Manufacture
and Commercialization of the Product in the Field in all countries in the Territory, upon Yuhan’s written request the PCYU
Board shall dissolve. 

 

ARTICLE
IV

SUPPLY

 

4.1       Initial
Clinical Supply. Yuhan shall, upon Processa’s request, use its current inventory to supply Processa with its requirements
of the Compound and Product for all non-clinical studies, the first Phase 1 Clinical Trial, and first Phase 2 Clinical Trial to
be conducted by Processa subject to the terms and conditions set forth in a clinical supply agreement to be executed by the Parties.
The price for such initial clinical study supply shall be composed of Yuhan’s manufacturing cost. The Parties may agree
on additional activities to be performed by Yuhan for Processa in relation to the Compound and the Product under a clinical supply
agreement to be negotiated in good faith by the Parties.

 

    	 	17	 

     

    

 

4.2       ROFN
For Further Supply. Yuhan shall have an exclusive right of first negotiation for a supply agreement for any supply of the
Compound and Product to Processa for Development and Commercialization in the Territory other than as described in Section 4.1
as long as the Yuhan manufacturing site, control labs and storage facilities meet the GMP requirements of the Regulatory Authorities
for the clinical protocols or the Regulatory Authorities where the Product is commercially sold. Processa shall notify Yuhan in
writing of Processa’s intention to negotiate for such supply agreement (the “ROFN Notice”). If Yuhan
desires to negotiate for such supply agreement, Yuhan shall so notify Processa in writing (the “ROFN Response”)
within thirty (30) days of receipt of the ROFN Notice. Upon Processa’s receipt of the ROFN Response, Yuhan and Processa
shall negotiate in good faith for such supply agreement, for up to one hundred and twenty (120) calendar days from the date of
the ROFN Response (without guaranteeing success in reaching an agreement).

 

ARTICLE
V

COMMERCIALIZATION

 

5.1       General.
From the Effective Date, and subject to the terms of this Agreement, including the requirements of ARTICLE VI, Processa (or its
Affiliates or Sublicensees) shall control and be solely responsible for the Commercialization of Products in the Field in the
Territory, including all costs and expenses relating thereto.

 

5.2       Commercialization
Plans. During the Royalty Term with respect to each Product, at least thirty (30) days prior to the commencement of each Calendar
Year, Processa shall provide Yuhan, for Yuhan’s review and comments, a summary of the planned Commercialization activities
to be conducted by or on behalf of Processa and its Affiliates and Sublicensees with respect to such Product in each country in
the Territory during such Calendar Year (each such plan, a “Commercialization Plan”). Processa, its Affiliates
and Sublicensees shall consider Yuhan’s comments in good faith and shall not unreasonably decline to implement or incorporate
any comments of Yuhan regarding any aspect of the Commercialization Plan.

 

ARTICLE
VI

DILIGENCE

 

6.1       Commercially
Reasonable Efforts. During the Term, Processa shall, directly or through its Affiliates or Sublicensees, use Commercially
Reasonable Efforts, from and after the Effective Date, to Develop and obtain Regulatory Approval for one (1) Product in the Field
in the U.S. and in one (1) other Major Market, and, upon obtaining Regulatory Approval, Processa shall, directly or through its
Affiliates or Sublicensees, use Commercially Reasonable Efforts to Commercialize the Product. Without limiting or derogating from
the foregoing, Processa, by itself or through its Affiliates or Sublicensees, shall meet each of the following milestones within
the respective time periods set forth herein:

 

(a)       Prepare
a first draft of the Product Development plan (the “Development Plan”) which incorporates, in good faith, Yuhan’s
review and comment within ninety (90) days after the Effective Date;

 

    	 	18	 

     

    

 

(b)       Request
FDA pre-IND meeting for the Product within six (6) months from the Effective Date of this Agreement;

 

(c)       Dose
the first patient in a Phase 2A Clinical Trial with the Product within twenty-four (24) months from the Effective Date of this
Agreement;

 

(d)       Dose
the first patient with the Product in a Phase 2B Clinical Trial, Phase 3 Clinical Trial or other Pivotal Clinical Trial within
forty-eight (48) months from the Effective Date of this Agreement;

 

(e)       Achieve
First Commercial Sale of a Product within twelve (12) months from the date a Regulatory Approval for such Product is obtained.

 

6.2       Termination
for Failure to Meet Diligence Obligation. If, at any time during the Term, Processa fails to timely achieve any of the foregoing
milestones, or if Yuhan reasonably believes that Processa (itself and through its Affiliates and Sublicensees) has not complied
with its obligations under Section 6.1 to Develop one (1) Compound or Product in the Field in the U.S. for any consecutive nine
(9) month period following the Effective Date, Yuhan shall provide written notice to Processa specifying the nature of such reasonable
belief, and Yuhan may terminate this Agreement pursuant to Section 12.4.

 

ARTICLE
VII

FINANCIAL PROVISIONS

 

7.1       Upfront
Fee. In partial consideration for the rights granted to Processa hereunder, within ten (10) Business Days following the Effective
Date, Processa shall issue to Yuhan, for no additional consideration, the number of Processa common shares equivalent to USD $2,000,000
at a price of $8.00 per share, subject to adjustment in and otherwise in accordance with, the terms and conditions of the Share
Issuance Agreement (the “Upfront Fee”), which Upfront Fee shall be non-refundable and non-creditable. Notwithstanding
the foregoing, if Processa does not complete the Planned Public Offering before January 31, 2021, the number of shares of Processa
common stock issued in connection with the Upfront Fee will be adjusted in accordance with the Share Issuance Agreement.

 

7.2       Development
Milestone Payments. Processa shall make the following one-time, non-refundable, non-creditable development milestone payments
(the “Development Milestone Payments”) in the form of cash and issuance of Processa common shares (the “Milestone
Shares”) to Yuhan as set forth in Section 7.2(a) or 7.2(b) below. For avoidance of doubt, in no event shall both Section
7.2(a) and 7.2(b) apply.

 

(a)       The
milestones, payments and share issuances set forth in this Section 7.2(a) shall apply only in the event that (i) Yuhan and/or
its Affiliates purchase $3.0 million or more of the shares of common stock sold by Processa in the Planned Public Offering, or
(ii) if the Planned Public Offering does not occur by January 31, 2021, Yuhan and/or its Affiliates provide an amount equal to
or greater than $3.0 million of equity funding, on terms to be mutually agreed, to assist in the Development and Regulatory Approval
of the Product (for clarity, Processa shall not use such funding for any purpose other than in the Development and Regulatory
Approval of the Product):

 

	Development
    Milestone	 	Payment
	1st
    Patient Dosed in 1st Pivotal Trial	 	Milestone
    Shares Equivalent to $1,000,000*
	Last
    Patient Dosed 1st Pivotal Trial	 	Milestone
    Shares Equivalent to $1,500,000*
	1st
    NDA Approval	 	$4,000,000
	2nd
    NDA Approval	 	$3,000,000
	Ex-US
    1st Approval	 	$2,000,000
	Ex-US
    2nd Approval	 	$2,000,000

 

    	 	19	 

     

    

 

(b)       The
milestones, payments and share issuances set forth in this Section 7.2(b) shall apply only if both of the following occur: (i)
Yuhan and/or its Affiliates do not invest in the Processa Planned Public Offering or purchases less than $3.0 million of the shares
of common stock sold by Processa in the Planned Public Offering, and (ii) if the Planned Public Offering does not occur by January
31, 2021, Yuhan and/or its Affiliates do not otherwise provide equity funding, on terms to be mutually agreed to assist in the
Development and Regulatory Approval of the Product, or provide less than $3.0 million (in aggregate when combined with any amounts
invested pursuant to clause (i) above) of funding to assist in the Development and Regulatory Approval of the Product (for clarity,
Processa shall not use such funding for any purpose other than in the Development and Regulatory Approval of the Product):

 

	Development
    Milestone	 	Payment
	1st
    Patient Dosed in 1st Pivotal Trial	 	Milestone
    Shares Equivalent to $200,000
	Last
    Patient Dosed 1st Pivotal Trial 	 	Milestone
    Shares Equivalent to $200,000
	1st
    NDA Approval 	 	$2,000,000
	2nd
    NDA Approval 	 	$2,000,000
	Ex-US
    1st Approval 	 	$2,000,000
	Ex-US
    2nd Approval 	 	$2,000,000

 

*The
number of common shares of Processa issued in connection with the achievement of each milestone set forth in the Tables 7.2(a)
and 7.2(b) above shall be determined in accordance with the Share Issuance Agreement.

 

7.3       Development
and Commercialization Costs. For clarity, following the Effective Date, Processa shall be solely responsible for all costs
it incurs in Developing and Commercializing Compounds and Products, including all Manufacturing costs (excluding any compensation
or expenses incurred by the Yuhan appointed members of the PCYU Board).

 

    	 	20	 

     

    

 

7.4       Sales
Milestone Payments. Processa shall pay Yuhan the one-time, non-refundable, non-creditable sales milestone payments set forth
in the table below (the “Sales Milestone Payments”) within thirty (30) days after the end of the first Calendar
Year during which the total Net Sales accrued during such Calendar Year in the Territory (the “Worldwide Annual Accrued
Net Sales”) first reach the values indicated below. For clarity, each Sales Milestone Payment will apply once and only
once when the milestone is first achieved. Thereafter, the Sales Milestone Payment will no longer apply. In addition, if more
than one milestone is achieved in a Calendar Year, all associated Sales Milestone Payments will be paid. For illustration purposes,
if at a given Calendar Year Worldwide Annual Accrued Net Sales first reach $100,000,000 (without having reached $50,000,000 prior
to such Calendar Year); the Sales Milestone Payment for such Calendar Year will be $7,500,000 ($2,500,000 plus $5,000,000). If
in the next Calendar Year Worldwide Annual Accrued Net Sales first reach $250,000,000; the Sales Milestone Payment for such Calendar
Year will be $12,500,000 because the Milestone Payment for $50,000,000 and $100,000,000 has already been achieved and each Sales
Milestone Payment will apply once and only once. The calculation of Worldwide Annual Accrued Net Sales and the corresponding Sales
Milestone Payments shall exclude all sales made by a Sublicensee in the event that Processa receives Sublicense Consideration
on account of a specific Product in a specific Territory from such Sublicensee for which Processa is required to pay Yuhan the
applicable percentage of the Sublicense Consideration as set forth in Section 7.6.

 

	Worldwide
    Annual Accrued Net Sales	 	Payment
	≥
    $50M	 	$2,500,000
	≥
    $100M	 	$5,000,000
	≥
    $250M	 	$12,500,000
	≥
    $500M	 	$25,000,000
	≥
    $1 Billion	 	$50,000,000
	≥
    $2 Billion	 	$100,000,000
	≥
    $5 Billion	 	$200,000,000

 

7.5       Product
Royalties.

 

(a)       Royalty
Rate. Processa shall pay Yuhan royalties equal to seven percent (7%) (the “Royalty Rate”) on the aggregate
Net Sales of Products in the Territory (collectively, “Royalties”) during each Calendar Year to Yuhan on a
Product-by-Product basis. Notwithstanding the foregoing, with respect to Net Sales by Sublicensees, the Royalties shall exclude
all sales made by a Sublicensee in the event that Processa receives Sublicense Consideration on account of a specific Product
in a specific Territory from such Sublicensee for which Processa is required to pay Yuhan the applicable percentage of the Sublicense
Consideration as set forth in Section 7.6.

 

(b)       Royalty
Term and Adjustments. Processa’s Royalty obligations to Yuhan under this Section 7.5 shall commence on a country-by-country
and Product-by-Product basis on the Effective Date and shall expire on a country-by-country basis and Product-by-Product basis
on the later of (i) expiration or invalidation of the last Valid Claim Covering such Product in such country or (ii) the tenth
(10th) anniversary of the date of the First Commercial Sale by Processa or any of its Affiliates or Sublicensees (except as provided
above) to a non-Sublicensee Third Party of such Product in such country (the “Royalty Term”); provided
that, during any period within the Royalty Term remaining after the expiration of all Valid Claims Covering such Product in such
country and all Regulatory Exclusivity as to such Product in such country, the Royalties payable as to such Product in such country
under this Section 7.5 shall be reduced to fifty percent (50%) of the Royalties otherwise payable as to such Product in such country
pursuant to Section 7.5. Such Royalty reduction will be calculated by determining the portion of total Net Sales of the relevant
Product in a Calendar Quarter that is attributable to the applicable country in which such reduction applies, and by determining
the total Royalties without reduction, and then reducing to fifty percent (50%) the applicable portion (based on Net Sales) of
total Royalties attributable to the country in which such reduction applies. Upon the expiration of the Royalty Term with respect
to each Product in each country, the licenses granted to Processa under Section 2.1(a) shall become non-exclusive, fully-paid–up,
perpetual and irrevocable with respect to such Product in such country.

 

    	 	21	 

     

    

 

(c)       Third
Party Payments. If, in the opinion of patent counsel mutually acceptable to both Processa and Yuhan, in order to Develop,
Manufacture, use or Commercialize a Product in the Field in a country of the Territory without infringing any third party intellectual
property rights relating to the Yuhan Intellectual Property, Processa or its Affiliate or Sublicensee is obligated to obtain a
license or comparable grant of rights (e.g., a covenant not to sue) under any Patent Rights from a Third Party (“Third
Party Patent Licenses”) and pay a royalty under such Third Party Patent License with respect to such Product in such
country, then, subject to Section 7.5, forty percent (40%) of such royalties actually paid by Processa, its Affiliates or Sublicensees
shall be creditable against Royalties payable to Yuhan hereunder with respect to such Product in such country; provided
that, (i) if Processa is obligated to enter into any Third Party Patent License, Processa shall use Commercially Reasonable Efforts
to minimize the royalties owed by Processa under such Third Party Patent License; and (ii) for any creditable amounts permitted
under the Section 7.5(c) but that are not applied in a given Calendar Quarter as a result of the Royalty Floor set forth in Section
7.5(d), Processa may carry forward and apply such amounts against Royalties due in up to four (4) subsequent Calendar Quarters,
or until the amount of such reduction has been fully applied against Royalties due to Yuhan, whichever is earlier (in each case
subject to Section 7.5(d)).

 

(d)       Royalty
Floor. In no event shall the Royalty reductions described in Sections 7.5(b) and 7.5(c), alone or together, reduce the Royalties
payable by Processa for a given Calendar Quarter during the Royalty Term for a Product in a particular country in the Territory
to less than fifty percent (50%) of the amounts otherwise payable by Processa for such Calendar Quarter pursuant to Section 7.5(a)
(the “Royalty Floor”).

 

7.6       Sublicense.
If Processa sublicenses the Product, Yuhan shall receive the applicable percentage of any Sublicense Consideration, as described
in this Section 7.6 (the “Sublicense Payments”). The percentages described in this Section 7.6 shall apply
to all Sublicense Consideration. Notwithstanding the foregoing, in the event that Processa receives Sublicense Consideration on
account of a specific Product in a specific Territory, then in such case Processa shall be required to pay Yuhan the applicable
Sublicense Payment, but such Sublicense Consideration shall not be taken into account when calculating Development Milestone Payments
(Section 7.2) or Sales Milestone Payments (Section 7.4) or Royalties (Section 7.5). To clarify, three example scenarios are presented:

 

Example
1: If Processa Develops the Product in multiple Territories and licenses out the commercial sales to Sublicensee in all Territories
such that Processa does not sell any of the product. The financial terms of ARTICLE VII would then be the following: Sections
7.2-7.3 would apply, Sections 7.4-7.5 would no longer apply, and Section 7.6 would apply for any funds from Sublicense Consideration
for the Sublicensee Territories using the table in this Section 7.6. The percentage in the table would apply to all financial
considerations from the Sublicensee such as upfront fees, any milestones payments, and royalties.

 

    	 	22	 

     

    

 

Example
2: If Processa Develops and Commercializes the Product in US while Sublicensing the Product for Development and Commercialization
in other territories. The financial terms of ARTICLE VII would then be the following: Sections 7.2 – 7.3 would apply, Sections
7.4-7.5 would only apply to Territories in which Processa Commercializes the Product, and Section 7.6 would apply for any funds
from Sublicense Consideration for the Sublicensee Territories using the table in this Section 7.6. The percentage in the table
would apply to all financial considerations from the Sublicensee such as upfront fees, any milestones payments, and royalties.

 

Example
3: If Processa sublicenses the Product prior to Phase 3 trial and Sublicensee completes Development, obtains Regulatory Approval,
and Commercializes the Product. The financial terms of ARTICLE VII would then be the following: for Sections 7.2 – 7.3 Processa
would pay for milestones that it has completed, the remaining milestones of Sections 7.2 – 7.3 not completed by Processa
would no longer apply, Sections 7.4-7.5 would not apply, and Section 7.6 would apply for any funds from Sublicense Consideration
for the Sublicensee Territories using the table in this Section 7.6. The percentage in the table would apply to all financial
considerations from the Sublicensee such as upfront fees, any milestones payments, and royalties.

 

(a)       Sublicense
Considerations shall mean any payments or other consideration that Processa or its Affiliates receive as a direct result of
the grant of a sublicense or an option to obtain such sublicense, including without limitation license fees, license option fees,
milestone payments, license maintenance fees, equity, and royalty on Sublicensee sales, provided that in the event that Processa
or its Affiliates receive non-monetary consideration in connection with a sublicense, Sublicense Considerations shall be calculated
based on the fair market value of such consideration or transaction, assuming an arm’s length transaction made in the ordinary
course of business. Notwithstanding the foregoing, Sublicense Considerations shall not include amounts expressly dedicated to,
and actually expended by the Sublicensee to reimburse Processa and its Affiliates for, the Development of Products, up to the
sum of the actual external costs incurred by Processa and its Affiliates for such activities.

 

(b)       Processa
shall pay Yuhan the Sublicense Payments within thirty (30) days after the receipt of the Sublicense Consideration. Depending on
when the applicable sublicense agreement enters into force Processa shall pay to Yuhan the percentage defined in the following
Table:

 

	Sublicense
    Effective Date	 	Sublicense
    Payment Percentage
	Before
    1st Phase 2a Clinical Trial FPFV 	 	80%
    
	Before
    1st Phase 2b Clinical Trial FPFV	 	50%
	After
    1st Phase 2b Clinical Trial FPFV but Before 1st Phase 3 Clinical Trial FPFV	 	40%
    
	After
    1st Phase 3 Clinical Trial FPFV 	 	30%
    

 

    	 	23	 

     

    

 

7.7       Reports;
Payments. Within thirty (30) days after the end of each Calendar Quarter commencing from the earlier of (a) the First Commercial
Sale of a Product; or (b) the grant of a sublicense or receipt of Sublicense Consideration, Processa shall furnish Yuhan with
a quarterly report (“Periodic Report”) detailing, at a minimum, the following information for the applicable
Calendar Quarter, each listed by Product and by country of sale: (i) the total number of units of Product sold by Company, its
Affiliates and Sublicensees for which Royalties are owned to Yuhan hereunder, including a breakdown of the number and type of
Products sold, (ii) gross amounts received for all such sales, (iii) deductions by type taken from Net Sales as specified herein,
(iv) Net Sales, (v) Royalties, Development Milestone Payments and Sales Milestone Payments owed to Yuhan, listed by category,
(vi) Sublicense Consideration received during the preceding Calendar Quarter and sublicense fees due to Yuhan, (vii) the currency
in which the sales were made, including the computations for any applicable currency conversions, (viii) invoice dates and all
other data enabling the Royalties and sublicense fees payable to be calculated accurately and (ix) a detailed summary of progress
against each development and regulatory milestone set forth in Section 7.2 and each sales milestone set forth in Section 7.4,
and an estimate of the timing of the achievement of the next applicable milestone. Once the events set forth in sub-section (a)
or (b), above, have occurred, Periodic Reports shall be provided to Yuhan whether or not Royalties, Development Milestone Payments,
Sales Milestone Payments or sublicense fees are payable for a particular Calendar Quarter. In addition to the foregoing, upon
Yuhan’s reasonable request, Processa will provide to Yuhan such other information as may be reasonably requested by Yuhan,
and will otherwise cooperate with Yuhan as reasonably necessary, to enable Yuhan to verify Processa’s compliance with the
payment and related obligations under this Agreement, including verification of the calculation of amounts due to Yuhan under
this Agreement and of all financial information provided or required to be provided in the Periodic Reports. Concurrently with
each such report, Processa shall pay to Yuhan all amounts payable by it under Sections 7.4, 7.5, and 7.6.

 

7.8       Books
and Records; Audit Rights. Processa shall keep complete and accurate records of the underlying revenue and expense data relating
to the calculations of Net Sales and payments required by Sections 7.4, 7.5, and 7.6. Yuhan shall have the right, once annually
at its own expense, to have an independent, certified public accounting firm, selected by Yuhan and reasonably acceptable to Processa,
review any such records of Processa in the location(s) where such records are maintained by Processa upon reasonable notice (which
shall be no less than fourteen (14) days prior notice) and during regular business hours and under obligations of strict confidence,
for the sole purpose of verifying the basis and accuracy of payments made under Sections 7.4, 7.5, and 7.6 within the thirty-six
(36) month period preceding the date of the request for review. The report of such accounting firm shall be limited to a certificate
stating whether any report made or payment submitted by Processa during such period is accurate or inaccurate and the actual amounts
of Net Sales, and Royalties due, for such period. Processa shall receive a copy of each such report concurrently with receipt
by Yuhan. Should such inspection lead to the discovery of a discrepancy to Yuhan’s detriment, Processa shall pay within
five (5) Business Days after its receipt from the accounting firm of the certificate the amount of the discrepancy plus interest
calculated in accordance with Section 7.12. Yuhan shall pay the full cost of the review unless the underpayment is greater than
five percent (5%) of the amount due for any applicable Calendar Year, in which case Processa shall pay the reasonable cost charged
by such accounting firm for such review. Any overpayment by Processa revealed by an examination shall be fully creditable against
future payments.

 

    	 	24	 

     

    

 

7.9       Tax
Matters. Except as expressly provided below, no payments to be made to Yuhan by Processa hereunder shall be reduced by or
on account of any taxes, levies, imposts, duties, charges, assessments or fees (collectively, “Taxes”). Notwithstanding
the immediately preceding sentence, if any applicable Law requires (with due regard to any relief to which Yuhan may be entitled)
that Taxes be deducted and withheld from any payment made to Yuhan by Processa under this Agreement, Processa shall (a) deduct
those Taxes, together with any interest and penalties properly assessed thereon, from such payment or from any other payment owed
by Processa hereunder; (b) transmit the amounts so deducted to the proper Governmental Authority; (c) send evidence of the requirement
together with proof of due transmission of the amounts described in clause (b) to Yuhan promptly following such payment; and (d)
remit to Yuhan the net amount of such payment after taking account of such deduction. In determining whether to deduct any amount
hereunder and prior to making such deduction, Processa shall contact Yuhan and take due account of all documentation supplied
by Yuhan, and of other facts known to Processa, supporting a reduction in any Tax otherwise required to be deducted, or a credit
therefor or refund thereof. Processa will reasonably cooperate with Yuhan in respect of Tax matters relating to payments made
by Processa to Yuhan under this Agreement and any disputes with a Governmental Authority regarding such matters, including without
limitation: (y) complying with reasonable requests from Yuhan to change the form, place or other circumstances of payments to
be made to Yuhan by Processa under this Agreement so as to reduce the incidence of Taxes on such payments or recover any Taxes
imposed on such payments (any such recovery to be for the benefit of Yuhan); and (z) in connection with any official or unofficial
audit or contest relating to such payments.

 

7.10       Payment
Method and Currency Conversion. All payments shall be made in U.S. dollars in immediately available funds via either a bank
wire transfer, an ACH (automated clearing house) mechanism, or any other means of electronic funds transfer, at Processa’s
election, to Yuhan’s bank account, or to such other bank account as Yuhan shall designate in a notice at least ten (10)
days before the payment is due. For the purposes of determining the amount of any Royalties due for the relevant Calendar Quarter
under Section 7.5, the amount of Net Sales in any foreign currency shall be converted into U.S. dollars in accordance with the
average of the closing exchange rates reported in The Wall Street Journal (U.S., Eastern Edition) for the first, middle
and last Business Days of the applicable reporting period for the payment due.

 

7.11       Blocked
Payments. If by reason of applicable Laws in any country in the Territory, it becomes impossible or illegal for Processa or
its Affiliates or Sublicensees to transfer, or have transferred on its behalf Royalties or other payments to Yuhan or to Processa
or its Affiliates or Sublicensees, Processa shall promptly notify Yuhan of the conditions preventing such transfer. To the extent
any payments to Yuhan cannot be transferred pursuant to the preceding sentence, such amounts shall be deposited in local currency
in the relevant country to the credit of Yuhan in a recognized banking institution designated by Yuhan or, if none is designated
by Yuhan within a period of thirty (30) days, in a recognized banking institution selected by Processa or its Affiliate or Sublicensee,
as the case may be, and identified in a notice given to Yuhan. If so deposited in a foreign country, Processa shall provide, or
cause its Affiliate or Sublicensee to provide, reasonable cooperation to Yuhan so as to allow Yuhan to assume control over such
deposit as promptly as practicable.

 

    	 	25	 

     

    

 

7.12       Late
Payments. If a Party shall fail to make a timely payment pursuant to the terms of this Agreement, the other Party shall provide
written notice of such failure to the non-paying Party (a “Late Payment Notice”), and interest shall accrue
on the past due amount starting on the date of the Late Payment Notice at the U.S. dollar prime lending rate as reported in The
Wall Street Journal effective for the date that payment was due (as published in The Wall Street Journal) plus five percent (5%)
per annum, computed for the actual number of days after the date of the Late Payment Notice that the payment was past due.

 

ARTICLE
VIII

INTELLECTUAL PROPERTY OWNERSHIP, PROTECTION

AND RELATED MATTERS

 

8.1       Ownership
of Inventions.

 

(a)       Sole
Inventions. Yuhan shall exclusively own all inventions relating to any Compound or Product or its Manufacture or use made
solely by Yuhan, its employees, agents, and consultants (“Yuhan Sole Inventions”). Processa shall exclusively
own all inventions relating to any Compound or Product or its Manufacture or use made solely by Processa, its employees, agents,
and consultants in each case independently of and without using any Yuhan Intellectual Property or Joint Inventions (“Processa
Sole Inventions”).

 

(b)       Joint
Inventions. The Parties shall jointly own all inventions relating to any Compound or Product or its Manufacture or use (i)
made jointly by employees, agents and consultants of Processa, on the one hand, and employees, agents and consultants of Yuhan,
on the other hand, or (ii) made solely by Processa, its employees, agents, and consultants by using or referencing Yuhan Intellectual
Property or Joint Inventions, in each case ((i) and (ii)) on the basis of each Party having an undivided interest in the whole
(“Joint Inventions”). Joint Inventions may only be used in accordance with and subject to the terms and conditions
of this Agreement.

 

(c)       Inventorship.
For purposes of determining whether an invention is a Processa Sole Invention, a Yuhan Sole Invention or a Joint Invention, questions
of inventorship shall be resolved in accordance with United States patent Laws.

 

8.2       Prosecution
and Maintenance of Patent Rights.

 

(a)       Prosecution
of Yuhan Patent Rights. With respect to Yuhan Patent Rights, Yuhan and Processa shall cooperate in good faith in connection
with the continued prosecution and maintenance by Processa of such Yuhan Patent Rights in any countries in the Territory (including
South Korea). Processa shall control prosecution and maintenance of such Yuhan Patent Rights. The out-of-pocket costs and expenses
incurred by Processa after the Effective Date to obtain, prosecute and maintain Yuhan Patent Rights shall be borne one hundred
percent (100%) by Processa. Processa shall file international patent applications, or designate for national filing and file,
in all countries selected by Processa taking into account, in good faith, any comments from Yuhan. Yuhan shall promptly (as soon
as commercially practicable) deliver to Processa copies of all official correspondence, on an “as-is” basis, existing
as of the Effective Date with the applicable patent and trademark offices in the Territory relating to the Yuhan Patent Rights
and, after the Effective Date Processa shall promptly provide Yuhan drafts of all proposed filings and correspondence to any patent
authority with respect to the Yuhan Patent Rights for Yuhan’s review and comment prior to the submission of such proposed
filings and correspondences. Processa shall keep Yuhan informed of the status of all pending patent applications that pertain
to any Compound or Product. Processa, its agents and attorneys shall not unreasonably decline to implement or incorporate any
comments of Yuhan regarding any aspect of such patent prosecutions. Processa shall not abandon any Yuhan Patent Rights (the “Abandoned
Patents”) without at least ninety (90) days’ prior notice to Yuhan. If Processa decides to abandon any Yuhan Patent
Rights, Yuhan shall have the option to continue to prosecute and maintain the Abandoned Patents in Yuhan’s name and at Yuhan’s
sole expense.

 

    	 	26	 

     

    

 

(b)       Prosecution
of Joint Patent Rights. Processa shall be responsible for obtaining, prosecuting, and/or maintaining patents and patent applications,
in any countries in the Territory (including South Korea), Covering Joint Inventions (“Joint Patent Rights”).
Processa shall control prosecution and maintenance of such Joint Patent Rights. The out-of-pocket costs and expenses incurred
to obtain, prosecute and maintain Joint Patent Rights shall be borne one-hundred percent (100%) by Processa. Processa shall promptly
provide Yuhan drafts of all proposed filings and correspondence to any patent authority with respect to the Joint Patent Rights
for Yuhan’s review and comment (which comments shall be considered reasonably and in good faith) prior to the submission
of such proposed filings and correspondences. Processa shall keep Yuhan informed of the status of all pending Joint Patent Rights.
Processa, its agents and attorneys shall not unreasonably decline to implement or incorporate any comments of Yuhan regarding
any aspect of such patent prosecutions. Processa shall not abandon any Joint Patent Right without at least ninety (90) days’
prior notice to Yuhan. If Processa decides to abandon any Joint Patent Right, Yuhan shall have the option to continue to prosecute
and maintain such Joint Patent Right jointly in both Parties’ names, at Yuhan’s sole expense.

 

(c)       Prosecution
of Processa Patent Rights. Processa has the sole right, but not the responsibility, to obtain, prosecute, and/or maintain
the Processa Patent Rights. Processa shall keep Yuhan informed of the status of all pending Processa Patent Rights. Processa shall
promptly provide Yuhan drafts of all proposed filings and correspondence to any patent authority with respect to the Processa
Patent Rights for Yuhan’s review and comment (which comments shall be considered reasonably and in good faith) prior to
the submission of such proposed filings and correspondences. Processa, its agents and attorneys shall not unreasonably decline
to implement or incorporate any comments of Yuhan regarding any aspect of such patent prosecutions. Processa shall not abandon
any Processa Patent Right without at least ninety (90) days’ prior notice to Yuhan. If Processa decides to abandon any Processa
Patent Right, Yuhan shall have the option to continue to prosecute and maintain such Processa Patent Right jointly in both Parties’
names, at Yuhan’s sole expense.

 

(d)       Cooperation.
Each Party agrees to cooperate fully in the preparation, filing, prosecution, and maintenance of Yuhan Patent Rights, Joint Patent
Rights, and Processa Patent Rights, pursuant to this Section 8.2 and in the obtaining and maintenance of any patent term extensions,
supplementary protection certificates, pediatric extensions, and their equivalent with respect thereto. Such cooperation includes:
(i) executing all papers and instruments, or requiring its employees or contractors, to execute such papers and instruments, so
as enable the other Party to apply for and to prosecute patent applications in any country as permitted by this Section 8.2; and
(ii) promptly informing the other Party of any matters coming to such Party’s attention that may affect the preparation,
filing, prosecution, or maintenance of any such patent applications.

 

    	 	27	 

     

    

 

8.3       Third
Party Infringement.

 

(a)       Notice.
Each Party shall promptly report in writing to the other Party during the Term any known or suspected (i) infringement of any
of the Yuhan Patent Rights, Processa Patent Rights or Joint Patent Rights, or (ii) unauthorized use or misappropriation of any
of the Yuhan Know-How, Processa Sole Invention or Joint Inventions, in the case of either clause (i) or clause (ii), that could
reasonably be expected to impact the (A) Development, Manufacture, use or Commercialization of a Compound or Product, or (B) scope
of the rights licensed to such Party under ARTICLE II (an “Infringement Claim”), of which such Party becomes
aware, and shall provide the other Party with all available evidence supporting such Infringement Claim.

 

(b)       Initial
Right to Enforce.

 

(i)       Enforcement
by Processa. Subject to Section 8.3(c)(i), Processa (itself or through its Affiliate or Sublicensee) shall have the first
right, but not the obligation, to initiate a suit, or take other appropriate action that it believes is reasonably required to
protect (i.e., prevent or abate actual or threatened infringement or misappropriation of) or otherwise enforce the Yuhan
Intellectual Property and Joint Intellectual Property with respect to an Infringement Claim anywhere in the Territory and the
Processa Intellectual Property with respect to an Infringement Claim anywhere in the world; provided, however, that
Processa shall (x) consult with Yuhan in good faith with respect to any claim that any Yuhan Patent Right, Processa Patent Right
in South Korea or Joint Patent Right is invalid or unenforceable and (y) implement any reasonable comment from Yuhan regarding
any aspect of defending against any such claim described in clause (x). Any such suit by Processa shall be brought either in the
name of Yuhan or its Affiliate, the name of Processa or its Affiliate, or the names of Processa, Yuhan and their respective Affiliates,
as may be required by the Law of the forum. For this purpose, Yuhan shall execute such legal papers and cooperate in the prosecution
of such suit, including providing full access to documents, information and witnesses as reasonably requested by Processa in connection
with such suit, as may be reasonably requested by Processa; provided that Processa shall promptly reimburse all out-of-pocket
expenses (including reasonable counsel fees and expenses) actually incurred by Yuhan in connection with such cooperation. For
clarity, as between Yuhan and Processa, (A) Yuhan shall have the sole right, but not the obligation, to protect Yuhan Intellectual
Property against any suspected misappropriation or infringement that does not constitute an Infringement Claim and (B) the Parties
shall jointly determine by mutual agreement whether and how to protect Joint Intellectual Property against any suspected misappropriation
or infringement that does not constitute an Infringement Claim, and the provisions of this ARTICLE VIII shall not apply with respect
thereto.

 

    	 	28	 

     

    

 

(ii)       Enforcement
by Yuhan. Subject to Section 8.3(c)(ii), Yuhan (itself or through its Affiliate) shall have the first right, but not the obligation,
to initiate a suit, or take other appropriate action that it believes is reasonably required to protect (i.e., prevent
or abate actual or threatened infringement or misappropriation of) or otherwise enforce the Yuhan Intellectual Property and Joint
Intellectual Property with respect to an Infringement Claim in South Korea; provided, however, that Yuhan shall
(x) consult with Processa in good faith with respect to any claim that any Yuhan Patent Right or Joint Patent Right is invalid
or unenforceable and (y) implement any reasonable comment from Processa regarding any aspect of defending against any such claim
described in clause (x). Any such suit by Yuhan shall be brought either in the name of Yuhan or its Affiliate, the name of Processa
or its Affiliate, or the names of Processa, Yuhan and their respective Affiliates, as may be required by the Law of the forum.
For this purpose, Processa shall execute such legal papers and cooperate in the prosecution of such suit, including providing
full access to documents, information and witnesses as reasonably requested by Yuhan in connection with such suit, as may be reasonably
requested by Yuhan; provided that Yuhan shall promptly reimburse all out-of-pocket expenses (including reasonable counsel
fees and expenses) actually incurred by Processa in connection with such cooperation. For clarity, as between Yuhan and Processa,
(A) Yuhan shall have the sole right, but not the obligation, to protect Yuhan Intellectual Property in the Territory and (B) the
Parties shall jointly determine by mutual agreement whether and how to protect Joint Intellectual Property against any suspected
misappropriation or infringement that does not constitute an Infringement Claim, and the provisions of this ARTICLE VIII shall
not apply with respect thereto.

 

(c)       Step-In
Right.

 

(i)       Step-In
by Yuhan. If Processa does not initiate a suit or take other appropriate action that it has the initial right to initiate
or take with respect to an Infringement Claim pursuant to Section 8.3(b)(i) related to the Yuhan Intellectual Property and Joint
Intellectual Property in the Territory or related to the Processa Intellectual Property anywhere in the world, then Yuhan may,
in its discretion, provide Processa with notice of Yuhan’s intent to initiate a suit or take other appropriate action. If
Yuhan provides such notice and Processa does not initiate a suit or take such other appropriate action within thirty (30) days
after receipt of such notice from Yuhan, then Yuhan shall have the right to initiate a suit or take other appropriate action that
it believes is reasonably required to protect the Yuhan Intellectual Property, Joint Intellectual Property or Processa Intellectual
Property. Any suit by Yuhan shall be either in the name of Yuhan or its Affiliate, the name of Processa or its Affiliate, or the
names of Processa, Yuhan, and their respective Affiliates, as may be required by the Law of the forum. For this purpose, Processa
shall execute such legal papers and cooperate in the prosecution of such suit, including providing full access to documents, information
and witnesses as reasonably requested by Yuhan in connection with such suit, as may be reasonably requested by Yuhan; provided
that Yuhan shall promptly reimburse all out-of-pocket expenses (including reasonable counsel fees and expenses) actually incurred
by Processa in connection with such cooperation.

 

(ii)       Step-In
by Processa. If Yuhan does not initiate a suit or take other appropriate action that it has the initial right to initiate
or take with respect to an Infringement Claim pursuant to Section 8.3(b)(ii), then Processa may, in its discretion, provide Yuhan
with notice of Processa’s intent to initiate a suit or take other appropriate action. If Processa provides such notice and
Yuhan does not initiate a suit or take such other appropriate action within thirty (30) days after receipt of such notice from
Processa, then Processa shall have the right to initiate a suit or take other appropriate action that it believes is reasonably
required to protect the Processa Intellectual Property and Joint Intellectual Property with respect to an Infringement Claim.
Any suit by Processa shall be either in the name of Yuhan or its Affiliate, the name of Processa or its Affiliate, or the names
of Processa, Yuhan, and their respective Affiliates, as may be required by the Law of the forum. For this purpose, Yuhan shall
execute such legal papers and cooperate in the prosecution of such suit, including providing full access to documents, information
and witnesses as reasonably requested by Processa in connection with such suit, as may be reasonably requested by Yuhan; provided
that Processa shall promptly reimburse all out-of-pocket expenses (including reasonable counsel fees and expenses) actually
incurred by Yuhan in connection with such cooperation.

 

    	 	29	 

     

    

 

(d)       Conduct
of Certain Actions; Costs. The Party initiating suit or taking other action with respect to an Infringement Claim shall have
the sole and exclusive right to select counsel for, and otherwise control, any suit or action initiated by it pursuant to Section
8.3(b) or Section 8.3(c). The initiating Party shall assume and pay all of its own out-of-pocket costs incurred in connection
with any litigation or proceedings initiated by it pursuant to Sections 8.3(b) and 8.3(c), including the fees and expenses of
the counsel selected by it. The other Party shall have the right to participate, but not control, and be represented in, any such
suit by its own counsel at its own expense.

 

(e)       Recoveries.
Except as otherwise agreed by the Parties as part of a cost-sharing arrangement, any
damages, settlements, accounts of profits, or other financial compensation recovered from a Third Party by the Party that assumes
control over enforcing any Infringement Claim shall be allocated between the Parties as follows:

 

(i)       first,
to reimburse the Parties’ actual out-of-pocket expenses (including reasonable counsel fees and expenses) incurred in pursuing
such Infringement Claim;

 

(ii)       second,
if Processa controlled the assertion of the Infringement Claim, (1) any remaining amount that represents compensatory damages
relating to any Compound or Product Commercialized in the Territory other than South Korea (including lost sales or lost profits)
shall be deemed Net Sales of Processa less an amount equal to Royalty payments to Yuhan on such deemed Net Sales in accordance
with the Royalty provisions of Section 7.5, which amount shall be paid to Yuhan, and (2) any remaining amount that represents
compensatory damages relating to any Compound or Product Commercialized in South Korea (including lost sales or lost profits)
shall be deemed Net Sales of Yuhan less an amount equal to Royalty payments to Processa on such deemed Net Sales in accordance
with the Royalty provisions of Section 2.1(b), which amount shall be paid to Processa; and any remaining amount that represents
punitive damages shall be shared equally by the Parties; and

 

(iii)       third,
if Yuhan controlled the assertion of the Infringement Claim, any remaining amount following reimbursement of expenses under clause
8.3(e)(i) shall be retained by Yuhan.

 

    	 	30	 

     

    

 

8.4       Patent
Invalidity Claim. Each of the Parties shall promptly notify the other in the event of any legal or administrative action by
any Third Party against a Yuhan Patent Right, Processa Patent Right or Joint Patent Right of which it becomes aware, including
any nullity, revocation, reexamination or compulsory license proceeding. Processa shall have the first right, but not the obligation,
to defend against any such action involving a Yuhan Patent Right, Processa Patent Right or Joint Patent Right, and the costs of
any such defense shall be at Processa’s expense. If Processa does not defend against any such action involving such Yuhan
Patent Right, Processa Patent Right or Joint Patent Right, then Yuhan shall have the right, but not the obligation, to defend
such action and any such defense shall be at Yuhan’s expense. Upon request of the Party that defends against any such action
involving a Yuhan Patent Rights, Processa Patent Right or Joint Patent Right, the other Party agrees to join in any such action
and to cooperate reasonably with the defending Party, including providing full access to documents, information and witnesses
as reasonably requested by the defending Party in connection with such action, provided that the defending Party shall
promptly reimburse all out-of-pocket expenses (including reasonable counsel fees and expenses) actually incurred by the other
Party in connection with such cooperation.

 

8.5       Claimed
Infringement. Each of the Parties shall promptly notify the other in the event a Party becomes aware that the practice by
either Party of the Yuhan Patent Rights infringes, or is suspected or alleged to infringe, the intellectual property rights of
any Third Party in the Territory, and shall promptly provide the other Party with any notice it receives or has received from
a Third Party related to such suspected, alleged or actual infringement.

 

8.6       Patent
Term Extensions. Processa shall have the exclusive right and obligation to seek patent term extensions or supplemental patent
protection, including supplementary protection certificates, in each country in the Territory in relation to the Products at Processa’s
expense. Yuhan and Processa shall cooperate in connection with all such activities, and Processa, its agents and attorneys will
give due consideration to all timely suggestions and comments of Yuhan regarding any such activities; provided that all
final decisions shall be made by Processa.

 

8.7       Patent
Marking. Processa shall comply with the patent marking statutes in each country in the Territory in which any Product is sold
by Processa, its Affiliates, or its Sublicensees. Yuhan shall comply with the patent marking statutes in South Korea for any Product
that is sold by Yuhan, its Affiliates, or its Sublicensees.

 

8.8       Certification
under Drug Price Competition and Patent Restoration Act.

 

(a)       Notice.
If a Party becomes aware of any certification filed pursuant to 21 U.S.C. § 355(b)(2)(A) or 355(j)(2)(A)(vii)(IV) or its
successor provisions, or any similar provision in any country other than the U.S., claiming that any Yuhan Patent Rights, Processa
Patent Rights or Joint Patent Rights are invalid or otherwise unenforceable, or that infringement will not arise from the manufacture,
use, import or sale of a product by a Third Party (a “Paragraph IV Claim”), such Party shall promptly notify
the other Party in writing within five (5) Business Days after its receipt thereof.

 

    	 	31	 

     

    

 

(b)       Control
of Response; Recoveries. Processa shall have the first right, but not the obligation, to initiate and control patent infringement
litigation for any Paragraph IV Claim; provided, however, that Processa shall (i) consult with Yuhan in good faith
with respect to any claim that any Yuhan Patent Right, Processa Patent Right or Joint Patent Right is invalid or unenforceable
and (ii) implement any comment from Yuhan regarding any aspect of defending against any such claim. Any suit by Processa shall
be brought either in the name of Yuhan or its Affiliate, the name of Processa or its Affiliate, or the names of Processa, Yuhan,
and their respective Affiliates, as may be required by the Law of the forum. For this purpose, Yuhan shall execute such legal
papers and cooperate in the prosecution of such suit, including providing full access to documents, information and witnesses,
as may be reasonably requested by Processa; provided that Processa shall promptly reimburse all out-of-pocket expenses
(including reasonable counsel fees and expenses) actually incurred by Yuhan in connection with such cooperation. If Processa elects
not to assume control over litigating any Paragraph IV Claim, Processa shall notify Yuhan as soon as practicable but in any event
not later than ten (10) days before the first action required to litigate such Paragraph IV Claim so that Yuhan may, but shall
not be required to, assume sole control over litigating such Paragraph IV Claim using counsel of its own choice. Any suit by Yuhan
shall be either in the name of Yuhan or its Affiliate, the name of Processa or its Affiliate, or the names of Processa, Yuhan,
and their respective Affiliates, as may be required by the Law of the forum. For this purpose, Processa shall execute such legal
papers and cooperate in the prosecution of such suit, including providing full access to documents, information and witnesses,
as may be reasonably requested by Yuhan; provided that Yuhan shall promptly reimburse all out-of-pocket expenses (including
reasonable counsel fees and expenses) actually incurred by Processa in connection with such cooperation. Any compensation recovered
as a result of such litigation shall be allocated as set forth in Section 8.3(e) above.

 

8.9       Privileged
Communications. In furtherance of this Agreement, it is expected that Processa and Yuhan will, from time to time, disclose
to one another privileged communications with counsel, including opinions, memoranda, letters, and other written, electronic and
verbal communications. Such disclosures are made with the understanding that they shall remain confidential, that they will not
be deemed to waive any applicable attorney-client or attorney work product or other privilege and that they are made in connection
with the shared community of legal interests existing between Yuhan and Processa, including the community of legal interests in
avoiding infringement of any valid, enforceable patents of Third Parties and maintaining the validity of Yuhan Patent Rights,
Processa Patent Rights and Joint Patent Rights.

 

8.10       Settlement.
Neither Party shall unilaterally enter into any settlement or compromise of any suit, action or proceeding under this ARTICLE
VIII that would in any manner alter, diminish, or be in derogation of the other Party’s rights under this Agreement without
the prior written consent of such other Party, which shall not be unreasonably withheld or delayed.

 

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ARTICLE
IX

CONFIDENTIAL INFORMATION

 

9.1       Treatment
of Confidential Information. During the Term and for five (5) years thereafter, each Party shall maintain Confidential Information
(as defined in Section 9.2) of the other Party in confidence, and shall not disclose, divulge or otherwise communicate such Confidential
Information to others (except for agents, directors, officers, employees, consultants, subcontractors, licensees, sublicensees,
partners, Affiliates, and advisers who have a need to know such information to perform obligations or exercise rights on behalf
of such Party (collectively, “Agents”) under obligations of confidentiality no less stringent than those set
forth in this ARTICLE IX) or use it for any purpose other than in connection with the Development, Manufacture, use or Commercialization
of Compounds or Products pursuant to this Agreement or otherwise to accomplish the purposes of this Agreement, including exercising
its rights or performing its obligations hereunder, and each Party shall exercise Commercially Reasonable Efforts to prevent and
restrain the unauthorized disclosure of such Confidential Information by any of its Agents, which efforts shall be at least as
diligent as those generally used by such Party in protecting its own confidential and proprietary information, and in any event
no less than reasonable efforts. Each Party will be responsible for any breach of this ARTICLE IX by its Agents. Either receiving
Party may disclose Confidential Information of the disclosing Party (a) to Governmental Authorities in order to comply with applicable
Laws, respond to inquiries, requests or investigations by Governmental Authorities, including filing, prosecuting or maintaining
Patent Rights as permitted by this Agreement; (b) to comply with the regulations or requirements of any stock exchange; (c) to
the extent useful to Develop, Manufacture, use or Commercialize any Compound or Product, including making regulatory filings for
any Compound or Product, in accordance with this Agreement; (d) to the extent necessary or useful in order to defend or prosecute
litigation; and (e) to potential and actual bona fide investors, acquirors and other financial or commercial partners solely
for the purpose of evaluating or carrying out an actual or potential investment, acquisition or collaboration; provided
that (x) with respect to any disclosure in accordance with Section 9.1(a), (b) or (d), the receiving Party shall promptly provide
prior notice of such disclosure to the disclosing Party and use Commercially Reasonable Efforts to avoid or minimize the degree
of such disclosure, (y) with respect to any disclosure in accordance with Section 9.1(a) or (d), the receiving Party will use
efforts to secure confidential treatment of such Confidential Information at least as diligent as such Party would use to protect
its own confidential information, but in no event less than reasonable efforts, and (z) with respect to any disclosure in accordance
with Section 9.1(e),the receiving Party shall obtain the same confidentiality obligations from any Third Parties to which it discloses
the Confidential Information of the disclosing Party as it obtains with respect to its own similar types of confidential information,
and in any event such obligations shall be no less stringent than those set forth in this ARTICLE IX.

 

9.2       Confidential
Information. “Confidential Information” means all trade secrets or other proprietary information, including
any proprietary data and materials (whether or not patentable or protectable as a trade secret), that is disclosed by a Party
to the other Party. All information disclosed prior to the Effective Date by Yuhan and/or Yuhan’s Affiliate to Processa
pursuant to the Confidentiality Agreement effective as of April 22, 2020, as amended through the Effective Date (the “Confidentiality
Agreement”), shall be deemed “Confidential Information” of Yuhan. Notwithstanding the foregoing, there shall
be excluded from the foregoing definition of Confidential Information any of the foregoing that:

 

(a)       either
before or after the date of the disclosure to the receiving Party is lawfully disclosed to the receiving Party by a Third Party
without any violation of any obligation to the other Party; or

 

(b)       either
before or after the date of the disclosure to the receiving Party, becomes published or generally known to the public through
no fault or omission on the part of the receiving Party or its Agents; or

 

(c)       is
independently developed by or for the receiving Party without reference to or reliance upon the disclosing Party’s Confidential
Information as demonstrated by contemporaneous written records of the receiving Party.

 

    	 	33	 

     

    

 

9.3       Publications.
The Parties recognize the desirability of publishing and publicly disclosing the results of clinical trials of pharmaceutical
products. Accordingly, subject to coordination through designated representatives of each Party, Processa shall be free to publicly
disclose the results of clinical trials involving Compounds or Products, subject to prior review by Yuhan for issues of patentability
and protection of its Confidential Information, in a manner consistent with all Laws applicable to Processa and best industry
practices. In addition, if Processa intends to publish articles in scientific or medical journals or to make presentations of
the results of clinical trials involving Compounds or Products, Processa shall provide Yuhan through the designated representatives
of each Party at its earliest opportunity with any proposed abstracts, manuscripts or summaries of presentations that cover the
results of Development of any Compound or Product. Yuhan shall respond promptly through its designated representative, and in
any event no later than thirty (30) days after receipt of such proposed publication or presentation, or such shorter period as
may be required by the publication. If timely requested by Yuhan, Processa agrees to allow a reasonable period (not to exceed
sixty (60) days) to permit filings for patent protection and to otherwise address issues of Confidential Information or related
competitive harm to the reasonable satisfaction of Yuhan. In addition, Processa will consider in good faith any comments furnished
by Yuhan to Processa during such period. Processa shall be responsible to assure that its Affiliates and licensees agree to, and
comply with, equivalent undertakings in favor of Yuhan. Yuhan and its Affiliates may make any publication or public disclosure
of any data concerning the Compounds or Products that existed as of the Effective Date, provided that Yuhan provides Processa
at least thirty (30) days (or such shorter period as may be required by the publication) to review such publication or public
disclosure, allows a reasonable period (not to exceed sixty (60) days) to permit filings for patent protection and to otherwise
address issues of Confidential Information or related competitive harm to the reasonable satisfaction of Processa, and reasonably
considers any timely comments provided by Processa with respect to such publication or public disclosure. Yuhan shall not, and
shall cause each of its Affiliates, licensees, and sublicensees not to, make any other publications or public disclosures regarding
the Compounds or Products without Processa’s prior written consent. If Processa consents to Yuhan making such publications,
Yuhan shall provide Processa a reasonable opportunity to comment on any such publications and such comments shall not be unreasonably
rejected. All publications involving Compounds or Products shall include appropriate acknowledgement consistent with standard
scientific practice of any contributions of each Party to the results being publicly disclosed.

 

9.4       Press
Releases and Other Disclosures. The Parties recognize that each Party may from time to time desire to issue press releases
and make other public statements or disclosures regarding the subject matter of this Agreement. In such event, the Party desiring
to issue a press release or make a public statement or disclosure shall provide the other Party with a copy of the proposed press
release, statement or disclosure for review and approval in advance (except that neither Party shall have any obligation to disclose
or approve the disclosure of Confidential Information except to the extent required or permitted pursuant to this ARTICLE IX).
No other public statement or disclosure concerning the existence or terms of this Agreement shall be made, either directly or
indirectly, by either Party, without first obtaining the written approval of the other Party. Once any public statement or disclosure
has been approved in accordance with this Section 9.4, then either Party may appropriately communicate information contained in
such permitted statement or disclosure. Notwithstanding the foregoing provisions of this Section 9.4 this ARTICLE IX, a Party
may (a) disclose the existence and terms of this Agreement where required, as reasonably determined by the disclosing Party, by
applicable Law, by applicable stock exchange regulation or by order or other ruling of a competent court and (b) disclose the
existence and terms of this Agreement under obligations of confidentiality no less stringent than those set forth in this ARTICLE
IX to agents, advisors, contractors, licensees, sublicensees, and bona fide investors, acquirors and other financial or
commercial partners, and to potential agents, advisors, contractors, licensees, sublicensees, and bona fide investors,
acquirors and other financial or commercial partners. To the extent a Party determines in good faith that it is required by applicable
Law to publicly file, register or notify this Agreement with a Governmental Authority, including public filings pursuant to securities
Laws, it shall provide a proposed redacted form of the Agreement to the other Party a reasonable amount of time prior to filing
for the other Party to review such draft and propose changes to such proposed redactions. The Party making such filing, registration
or notification shall incorporate any proposed changes timely requested by the other Party, absent a reasonable basis for not
making such changes, and shall use Commercially Reasonable Efforts to seek confidential treatment for any terms that the other
Party timely requests be kept confidential, to the extent such confidential treatment is reasonably available consistent with
applicable Law. Each Party shall be responsible for its own legal and other external costs in connection with any such filing,
registration, or notification.

 

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9.5       Equitable
Relief. Given the nature of the Confidential Information and the competitive damage that a Party would suffer upon unauthorized
disclosure, use, or transfer of its Confidential Information to any Third Party, the Parties agree that monetary damages would
not be a sufficient remedy for any breach of this ARTICLE IX. In addition to all other remedies, a Party shall be entitled to
seek specific performance and injunctive and other equitable relief as a remedy for any breach or threatened breach of this ARTICLE
IX.

 

ARTICLE
X

REPRESENTATIONS, WARRANTIES AND COVENANTS

 

10.1       Yuhan’s
Representations. Yuhan hereby represents and warrants as of the Effective Date as follows:

 

(a)       Yuhan
has the corporate power and authority to execute and deliver this Agreement and to perform its obligations hereunder. The execution,
delivery, and performance of this Agreement has been duly and validly authorized and approved by all necessary corporate action
on the part of Yuhan. Yuhan has taken all other action required by Law, its certificate of incorporation or by-laws, or any agreement
to which it is a party or by which it or its assets are bound, to authorize such execution, delivery, and performance. Assuming
due authorization, execution, and delivery on the part of Processa, this Agreement constitutes a legal, valid, and binding obligation
of Yuhan, enforceable against Yuhan in accordance with its terms.

 

(b)       The
execution and delivery of this Agreement by Yuhan do not require Yuhan to obtain any permit, authorization or consent from any
Governmental Authority or from any other Person which has not been obtained prior to the Effective Date, and such execution and
delivery by Yuhan will not result in the breach of or give rise to any termination of, rescission, renegotiation or acceleration
under or trigger any other rights under any agreement or contract to which Yuhan may be a party that relates to the Yuhan Patent
Rights or the Yuhan Know-How.

 

    	 	35	 

     

    

 

(c)       Schedule
1.57 is a complete and correct list of all Patent Rights owned by Yuhan as of the Effective Date that Cover any Compound or
Product. No Patent Right that covers any Compound or Product has been licensed to Yuhan.

 

(d)       Yuhan
is the legal and beneficial owner of all the Patent Rights identified on Schedule 1.57. To Yuhan’s knowledge, all
assignments to Yuhan of ownership rights relating to such Patent Rights are valid and enforceable and free and clear of any liens,
security interests or other similar encumbrances that would impair or limit the license rights granted under this Agreement. All
of the Patent Rights listed identified on Schedule 1.57 that are issued patents are in full force and effect, and all applicable
filing, maintenance and other fees required to be paid to a patent office with respect to the Patent Rights listed identified
on Schedule 1.57 have been timely paid. Yuhan has the right to grant the licenses granted by it in this Agreement and has
not previously assigned, transferred, conveyed or otherwise encumbered its right, title and interest in the Yuhan Intellectual
Property in a manner that conflicts with any rights granted to Processa hereunder.

 

(e)       There
is no action, claim, demand, suit, proceeding, arbitration, grievance, citation, summons, subpoena, inquiry, or investigation
of any nature, civil, criminal, regulatory, or otherwise, in law or in equity, pending or, to Yuhan’s knowledge, threatened
against Yuhan in connection with the Compounds or Products or any Yuhan Patent Rights, Yuhan Know-How or against or relating to
the transactions contemplated by this Agreement. Yuhan has not received any written notice from a Third Party that the Development
of any Compound or Product conducted by Yuhan has infringed or misappropriated, or that any Development or Commercialization of
any Compound or Product will infringe or misappropriate, any Patent Rights or Know-How of any Third Party.

 

(f)       No
claim or action has been brought or, to Yuhan’s knowledge, threatened by any Third Party alleging that the Yuhan Patent
Rights are invalid or unenforceable, and no Yuhan Patent Rights are the subject of any litigation, interference, post-grant review,
opposition, cancellation or other proceeding challenging the validity or enforceability of the Yuhan Patent Rights.

 

(g)       Neither
Yuhan nor, to the knowledge of Yuhan, any of its directors, officers, employees, agents or subcontractors has been convicted of
any crime or engaged in any conduct that has resulted in, or would reasonably be expected to result, in debarment by the FDA under
21 U.S.C. § 335a or any similar state or foreign Law.

 

10.2       Processa’s
Representations. Processa hereby represents and warrants as of the Effective Date as follows:

 

(a)       Processa
has the corporate power and authority to execute and deliver this Agreement and to perform its obligations hereunder. The execution,
delivery, and performance of this Agreement has been duly and validly authorized and approved by all necessary corporate action
on the part of Processa. Processa has taken all other action required by Law, its certificate of incorporation or by-laws or any
agreement to which it is a party or by which it or its assets are bound to authorize such execution, delivery and (subject to
obtaining all necessary governmental approvals with respect to the Development, Manufacture, use and Commercialization of Compounds
and Products) performance. Assuming due authorization, execution, and delivery on the part of Yuhan, this Agreement constitutes
a legal, valid, and binding obligation of Processa, enforceable against Processa in accordance with its terms.

 

    	 	36	 

     

    

 

(b)       The
execution and delivery of this Agreement by Processa will not violate any U.S. Law or, to Processa’s knowledge, any Law
of any Governmental Authority outside the U.S.

 

(c)       There
is no action, claim, demand, suit, proceeding, arbitration, grievance, citation, summons, subpoena, inquiry or investigation of
any nature, civil, criminal, regulatory or otherwise, in law or in equity, pending or, to the knowledge of Processa, threatened
against Processa in connection with or relating to the transactions contemplated by this Agreement.

 

(d)       The
execution and delivery of this Agreement do not require Processa to obtain any permit, authorization or consent from any Governmental
Authority or from any other Person, and such execution and delivery by Processa will not result in the breach of or give rise
to any termination of, rescission, renegotiation or acceleration under or trigger any other rights under any agreement or contract
to which Processa may be a party that relates to the Products, Processa Patent Rights or Processa Know-How.

 

(e)       Neither
Processa nor, to the knowledge of Processa, any of its directors, officers, employees, agents or subcontractors has been convicted
of any crime or engaged in any conduct that has resulted in, or would reasonably be expected to result, in debarment by the FDA
under 21 U.S.C. § 335a or any similar state or foreign Law.

 

10.3       Yuhan
Covenants. Yuhan covenants and agrees during the Term that, subject to Processa’s, its Affiliates’ and Sublicensees’
performance of their obligations under this Agreement:

 

(a)       Yuhan
shall not grant to any Third Party any rights that would be inconsistent or conflict with Processa’s rights hereunder.

 

(b)       Subject
to Section 13.7, Yuhan shall not assign, transfer, convey, or otherwise encumber its right, title, and interest in the Yuhan Intellectual
Property in a manner that conflicts with any rights granted to Processa hereunder.

 

10.4       Processa
Covenants.

 

(a)       Processa
shall conduct, and shall cause its contractors and consultants to conduct, all of their activities contemplated under this Agreement
in accordance with all applicable Laws of the country in which such activities are conducted, including applicable requirements
of “good laboratory practices,” “good clinical practices,” and “good manufacturing practices,”
as applicable, as defined by the FDA.

 

(b)       Subject
to Section 13.7, Processa shall not assign, transfer, convey, or otherwise encumber its right, title, and interest in the Processa
Intellectual Property in a manner that conflicts with any rights granted hereunder to Yuhan upon termination.

 

    	 	37	 

     

    

 

10.5       No
Warranty. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN THIS AGREEMENT, NEITHER PARTY MAKES ANY REPRESENTATION OR EXTENDS ANY
WARRANTY OF ANY KIND, EITHER EXPRESS OR IMPLIED. IN PARTICULAR, BUT WITHOUT LIMITATION, EXCEPT AS OTHERWISE EXPRESSLY SET FORTH
IN THIS AGREEMENT, NEITHER PARTY MAKES ANY REPRESENTATION OR EXTENDS ANY WARRANTY CONCERNING WHETHER ANY OF THE COMPOUNDS OR PRODUCTS
ARE FIT FOR ANY PARTICULAR PURPOSE OR SAFE FOR HUMAN CONSUMPTION.

 

ARTICLE
XI

INDEMNIFICATION

 

11.1       Indemnification
in Favor of Yuhan. Processa shall indemnify, defend and hold harmless the Yuhan Parties from and against any and all Losses
incurred, suffered or sustained by any of the Yuhan Parties or to which any of the Yuhan Parties becomes subject as a result of
any Third Party claim, action, suit, proceeding, liability or obligation (which in no event includes any claim by any Processa
Party or any Yuhan Party) (collectively, “Third Party Claims”) arising out of, relating to or resulting from:

 

(a)       any
misrepresentation or breach of any representation, warranty, covenant or agreement made by Processa in this Agreement; or

 

(b)       the
Development Manufacture or Commercialization of Compounds or Products by Processa, its Affiliates or Sublicensees, including all
Third Party Claims involving death or bodily injury caused or allegedly caused by the use of such a Compound or Product, and even
if such a Compound or Product is altered for use for a purpose not intended (any and all such Third Party Claims “Product
Liability Claims”); or

 

(c)       any
actual or alleged infringement of any trademark, Patent Right or other intellectual property right, or misappropriation of any
trade secret, of any Third Party as a result of the Development, Manufacture or Commercialization of Compounds or Products by
Processa, its Affiliates or Sublicensees; or

 

(d)       the
gross negligence or willful misconduct of any of the Processa Parties (as hereinafter defined) in connection with Processa’s
performance of this Agreement.

 

For
purposes of this ARTICLE XI, “Yuhan Parties” means Yuhan, its Affiliates and their respective agents, directors,
officers, licensees, sublicensees and employees.

 

The
indemnification obligations set forth in this Section 11.1 shall not apply to the extent that any Loss is the result of (i) a
breach of any representation, warranty, covenant, or agreement made by Yuhan in this Agreement or (ii) the gross negligence or
willful misconduct of any applicable Yuhan Party.

 

    	 	38	 

     

    

 

11.2       Indemnification
in Favor of Processa. Yuhan shall indemnify, defend and hold harmless the Processa Parties from and against any and all Losses
incurred, suffered or sustained by any of the Processa Parties or to which any of the Processa Parties becomes subject as a result
of any Third Party Claim arising out of, relating to or resulting from:

 

(a)       any
misrepresentation or breach of any representation, warranty, covenant or agreement made by Yuhan in this Agreement; or

 

(b)       the
Development, Manufacture or Commercialization of Compounds or Products by Yuhan, its Affiliates, licensees (excluding Processa)
or sublicensees prior to the execution of this Agreement and after any termination of this Agreement, including all Product Liability
Claims arising out of any such pre-Agreement, post-termination Development, Manufacture or Commercialization by Yuhan, its Affiliates,
licensees (excluding Processa) or sublicensees; or

 

(c)       any
actual or alleged infringement of any trademark, Patent Right or other intellectual property right, or misappropriation of any
trade secret, of any Third Party as a result of the Development, Manufacture or Commercialization of Compounds or Products by
Yuhan, its Affiliates, licensees (excluding Processa) or sublicensees prior to the execution of this Agreement and after any termination
of this Agreement; or

 

(d)       the
gross negligence or willful misconduct of any of the Yuhan Parties in connection with Yuhan’s performance of this Agreement.

 

For
purposes of this ARTICLE XI, “Processa Parties” means Processa, its Affiliates and their respective agents,
directors, officers, licensees, sublicensees and employees.

 

The
indemnification obligations set forth in this Section 11.2 shall not apply to the extent that any Loss is the result of (i) a
breach of any representation, warranty, covenant, or agreement made by Processa in this Agreement, or (ii) the gross negligence
or willful misconduct of any applicable Processa Party.

 

11.3       General
Indemnification Procedures.

 

(a)       A
Yuhan Party or Processa Party seeking indemnification pursuant to this ARTICLE XI (an “Indemnified Party”)
shall give prompt notice to the Party from whom such indemnification is sought (the “Indemnifying Party”) of
the commencement or assertion of any Third Party Claim in respect of which indemnity may be sought hereunder, shall give the Indemnifying
Party such information with respect to any indemnified matter as the Indemnifying Party may reasonably request, and shall not
make any admission concerning any Third Party Claim, unless such admission is required by applicable Law or legal process, including
in response to questions presented in depositions or interrogatories. Any admission made by the Indemnified Party or the failure
to give such notice shall relieve the Indemnifying Party of any liability hereunder only to the extent that the ability of the
Indemnifying Party to defend such Third Party Claim is prejudiced thereby (and no admission required by applicable Law or legal
process shall be deemed to result in prejudice). The Indemnifying Party shall assume and conduct the defense of such Third Party
Claim, with counsel selected by the Indemnifying Party and reasonably acceptable to the Indemnified Party. Subject to the initial
and continuing satisfaction of the terms and conditions of this ARTICLE XI by the Indemnifying Party, the Indemnifying Party shall
have full control of such Third Party Claim, including settlement negotiations and any legal proceedings. If the Indemnifying
Party does not assume the defense of such Third Party Claim in accordance with this Section 11.3, the Indemnified Party may defend
the Third Party Claim. If both Parties are Indemnifying Parties with respect to the same Third Party Claim, the Parties shall
determine by mutual agreement, within twenty (20) days following their receipt of notice of commencement or assertion of such
Third Party Claim (or such lesser period of time as may be required to respond properly to such claim), which Party shall assume
the lead role in the defense thereof. Should the Indemnifying Parties be unable to mutually agree on which of them shall assume
the lead role in the defense of such Third Party Claim, both Indemnifying Parties shall be entitled to participate in such defense
through counsel of their respective choosing.

 

    	 	39	 

     

    

 

(b)       Any
Indemnified Party or Indemnifying Party not managing the defense of a Third Party Claim shall have the right to participate in
(but not control), at its own expense (subject to the immediately succeeding sentence), the defense. The Indemnifying Party managing
the defense shall not be liable for any litigation cost or expense incurred, without its consent, by the Indemnified Party where
the action or proceeding is under the control of such Indemnifying Party; provided, however, that, if the Indemnifying
Party managing the defense fails to take reasonable steps necessary to defend such Third Party Claim, the Indemnified Party may
assume its own defense, and the Indemnifying Party managing the defense will be liable for all reasonable costs or expenses paid
or incurred in connection therewith.

 

(c)       The
Indemnifying Party shall not, except with the consent of the Indemnified Party, consent to a settlement of, or the entry of any
judgment against, an Indemnified Party arising from any Third Party Claim to the extent such settlement or judgment involves equitable
or other non-monetary relief from the Indemnified Party. No Party shall, without the prior written consent of the other Party
or the Indemnified Party, enter into any compromise or settlement that commits the other Party or the Indemnified Party to take,
or to forbear to take, any action.

 

(d)       The
Parties shall cooperate in the defense or prosecution of any Third Party Claim and shall furnish such records, information and
testimony, and attend such conferences, discovery proceedings, hearings, trials and appeals, as may be reasonably requested in
connection therewith; provided, however, that the Indemnifying Party shall reimburse the Indemnified Party for any
out-of-pocket expenses actually and reasonably incurred in connection with any such cooperation.

 

(e)       Any
indemnification hereunder shall be made net of any insurance proceeds actually recovered by the Indemnified Party from unaffiliated
Third Parties; provided, however, that if, following the payment to the Indemnified Party of any amount under this
ARTICLE XI, such Indemnified Party recovers any such insurance proceeds in respect of the claim for which such indemnification
payment was made, the Indemnified Party shall promptly pay an amount equal to the amount of such proceeds (but not exceeding the
amount of such net indemnification payment) to the Indemnifying Party.

 

(f)       The
Parties agree and acknowledge that the provisions of this ARTICLE XI represent the Indemnified Party’s exclusive recourse
with respect to any Losses for Third Party Claims for which indemnification is provided to the Indemnified Party under this ARTICLE
XI.

 

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11.4       Insurance.
During the Term, for so long as a Third Party Claim may be brought for which Processa must indemnify Yuhan pursuant to Section
11.1, Processa shall obtain and maintain, at its sole cost and expense, product liability insurance in amounts that are reasonable
and customary in the pharmaceutical industry, but in no event less than $5 million per occurrence or claim, and $10 million in
the aggregate, or a comparable program of self-insurance. Such product liability insurance shall insure against all liability,
including product liability and property damage arising out of the Development, use or Commercialization of Compounds and Products
by Processa, its Affiliates, or Sublicensees in the Territory. Without limiting the generality of the foregoing, Processa shall
maintain comprehensive general liability insurance, including product liability insurance, to cover its activities and, unless
its Affiliates and Sublicensees maintain comparable coverage, the activities of its Affiliates and Sublicensees, with respect
to Compounds and Products. Processa shall provide satisfactory evidence of adequate insurance coverage to Yuhan upon the request
of Yuhan, and upon any cancellation, non-renewal, replacement, or material change in such insurance.

 

ARTICLE
XII

TERM AND TERMINATION

 

12.1       Term.
The term of this Agreement (the “Term”) shall commence on the Effective Date and, unless earlier terminated
as provided in this ARTICLE XII, shall continue in full force and effect until the expiration of the last Royalty Term. In the
Territory, on a country-by-country and Product-by-Product basis, upon the expiration of the Royalty Term in such country with
respect to such Product, Processa shall have a fully paid-up, perpetual, irrevocable, non-exclusive license under the Yuhan Intellectual
Property and Yuhan’s interest in the Joint Intellectual Property with respect to such Product in such country.

 

12.2       Termination
for Convenience. Processa shall have the right upon sixty (60) days prior written notice to Yuhan to terminate this Agreement
in its entirety for any reason.

 

12.3       Termination
for Cause. In the event of a material breach of this Agreement by a Party, the other Party may give the Party in default notice
requiring it to cure such default, which notice shall specify the nature of the breach. If such material breach is not cured within
forty-five (45) days after receipt of such notice (or within fifteen (15) days in the case of a payment breach), the notifying
Party shall be entitled (without prejudice to any other rights conferred on it by this Agreement or under applicable Law) to terminate
this Agreement by giving written notice to the defaulting Party. The right of either Party to terminate this Agreement as set
forth in this Section 12.3 shall not be affected in any way by its waiver of, or failure to take action with respect to, any previous
default.

 

12.4       Additional
Termination by Yuhan. In the event that Yuhan has provided written notice to Processa pursuant to Section 6.2, if Processa
does not respond to Yuhan in writing within ninety (90) days of receipt of such notice from Yuhan and reasonably demonstrate in
such response compliance with Processa’s obligations under Section 6.1, Yuhan shall be entitled (without prejudice to any
other rights conferred on it by this Agreement or under applicable Law) to terminate this Agreement by giving written notice to
Processa.

 

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12.5       Termination
for Insolvency. This Agreement may be terminated by a Party upon written notice to the other Party if (a) the other Party
shall make an assignment for the benefit of its creditors, file a petition in bankruptcy, petition or apply to any tribunal for
the appointment of a custodian, receiver or trustee for it or a substantial part of its assets, or shall commence any proceeding
under any bankruptcy, reorganization, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction, whether
now or hereafter in effect; or (b) if there shall have been filed against the other Party any such bona fide petition or
application, or any such proceeding shall have been commenced against it, in which an order for relief is entered or that remains
undismissed or unstayed for a period of ninety (90) days or more; or (c) if the other Party by any act or omission shall consent
to, approve of or acquiesce in any such petition, application or proceeding or order for relief or the appointment of a custodian,
receiver or trustee for it or any substantial part of its assets, or shall suffer any such custodianship, receivership or trusteeship
to continue undischarged or unstayed for a period of ninety (90) days or more. Termination shall be effective upon the date specified
in such notice.

 

 

12.6       Termination
for Challenge of Patent Rights. If a Party or any of the Party’s Affiliates or Sublicensees commences an action in any
court or tribunal of competent jurisdiction that challenges, opposes or disputes the validity, enforceability or patentability
of any of the other Party’s Patent Rights that are the subject of this Agreement, or any of the claims thereof, or supports
or assists any Third Party that commences such an action in any such court or tribunal, the other Party shall have the right to
terminate this Agreement upon notice to the Party; provided, however, that the other Party shall not have a right
to terminate if the challenge is brought by a Sublicensee, either directly or indirectly through any Third Party, and the Party
or the Affiliate, as the case may be, terminates such Sublicensee’s sublicense rights hereunder within thirty (30) days
after becoming aware of such challenge.

 

12.7       Consequences
of Termination. If this Agreement (x) is terminated by Yuhan under Section 12.3, 12.4, 12.5 or 12.6, (y) is terminated by
Processa under Section 12.2, or (z) is terminated by Processa under Section 12.3 or 12.5, then the licenses granted to Processa
in Section 2.1 and, except as provided in this Section 12.7 and Sections 12.8 and 12.9 (and any Articles and Sections referenced
therein), all other rights and obligations of the Parties under this Agreement shall terminate. Upon a termination described in
clause (x) (but not clause (y) or (z)) of this Section 12.7, clause (a) shall apply, and, upon a termination described in clause
(x) or (y) (but not clause (z)), Processa shall grant, and shall cause any applicable Affiliate to grant, Yuhan any combination
of the following clauses (b) through (f) elected by Yuhan:

 

(a)       Sublicenses.
Yuhan hereby grants, effective automatically upon any termination of this Agreement by Yuhan pursuant to Section 12.3, 12.4, 12.5
or 12.6, a direct license to each then-existing Sublicensee, provided that (i) such Sublicensee is not in breach under the applicable
sublicense, (ii) such Sublicensee’s failure to comply with the terms of its sublicense or other actions or omissions were
not a basis for such termination, and (iii) such Sublicensee continues to satisfy all obligations under this Agreement applicable
to such sublicense, including the diligence obligations set forth in ARTICLE VI and all payment obligations under the then-existing
Sublicensee agreement (except that such payments for the sublicenses shall be made directly to Yuhan), from and after the date
that such direct license becomes effective. For clarity, Yuhan shall not be bound to any responsibility or liability of Processa
under its sublicense agreements that has already accrued at the time of such termination of this Agreement by Yuhan pursuant to
Section 12.3, 12.4, 12.5, or 12.6, or that is attributable to a period prior to such termination

 

    	 	42	 

     

    

 

(b)       Regulatory
Matters. Ownership of all filings with Regulatory Authorities in the Territory relating to Compounds and Products and Regulatory
Approvals relating to Compounds and Products held Processa or its Affiliates or applicable Sublicensees, including related correspondence
with Regulatory Authorities, and Processa shall provide copies thereof to Yuhan;

 

(c)       Pre-clinical
and Clinical Matters. Possession of all pre-clinical and clinical data, including pharmacology and biology data, within the
Processa Know-How and applicable Sublicensee Intellectual Property;

 

(d)       Manufacturing
Matters. At Yuhan’s option, to be exercised no later than the later of (x) thirty (30) days after the Effective Date
of termination or (y) thirty (30) days after Yuhan’s receipt of the applicable Manufacturing agreements,

 

(i)       use
of Commercially Reasonable Efforts by Processa and its Affiliates and applicable Sublicensees to effect the assignment of each
Manufacturing agreement specific and exclusive to Compounds or Products to Yuhan, if such agreement is then in effect and such
assignment is permitted under such agreement or by the applicable Third Party; provided that Processa and its applicable
Affiliates and applicable Sublicensees shall be released to the extent the applicable Third Party will permit from any obligation
arising out of such agreement following such assignment and Yuhan shall execute such documentation reasonably satisfactory to
Processa to effectuate such agreement; provided further that if any such agreement is specific but not exclusive to Compounds
or Products, or is not assigned to Yuhan for any reason, Processa will discuss in good faith with Yuhan terms upon which Processa
and its Affiliates and applicable Sublicensees shall use Commercially Reasonable Efforts to provide Yuhan with the benefits of
such agreement to the extent it relates to Compounds or Products for a limited period of time (not to exceed six (6) months) and
upon payment of a reasonably acceptable fee to Processa;

 

(ii)       for
a period of up to six (6) months following the Effective Date of termination, (A) cooperation with Yuhan in reasonable respects
to transfer Manufacturing documents and materials within the Processa Know-How and applicable Sublicensee Intellectual Property
that are used (at the time of the termination) by Processa or its Affiliates or applicable Sublicensees exclusively in the Manufacture
of Compounds and Products to the extent such Manufacturing documents and materials are not obtained by Yuhan pursuant to the assignment
of agreements pursuant to paragraph (i) above, and (B) cooperation with Yuhan to provide Yuhan with reasonable access to and right
to use such Manufacturing documents and materials in Processa’s or its Affiliates’ or applicable Sublicensees’
possession or Control to the extent they relate to, but are not used exclusively in, the Manufacture of Compounds and Products,
subject to appropriate confidentiality and limitation on use protections applicable to for Manufacturing documents and materials;

 

(iii)       for
a period of up to six (6) months following the Effective Date of termination, (A) cooperation with Yuhan in reasonable respects
to transfer Manufacturing technologies within the Processa Intellectual Property and applicable Sublicensee Intellectual Property
that are used (at the time of the termination) by Processa or its Affiliates or applicable Sublicensees exclusively in the Manufacture
of Compounds and Products, and (B) cooperation with Yuhan to provide Yuhan with reasonable access to and right to use such Manufacturing
technologies Controlled by Processa or its Affiliates (other than Processa Excluded Affiliates) or applicable Sublicensees to
the extent they relate to, but are not used exclusively in, the Manufacture of Compounds and Products and that Processa or such
Affiliates or Sublicensees are permitted to provide such access to Yuhan; provided that Yuhan shall reimburse Processa
for Processa’s reasonable out-of-pocket expenses to provide such requested assistance, to the extent such Manufacturing
technologies are not obtained by Yuhan pursuant to the assignment of agreements pursuant to paragraph (i) above; and

 

    	 	43	 

     

    

 

(iv)       sale
of Processa’s or its Affiliates’ or applicable Sublicensees’ then-existing inventory of Compounds and Products
to Yuhan, at Processa’s or its applicable Affiliates’ or applicable Sublicensees’ cost of Manufacture, but only
if the following conditions have been met: (A) such Compounds and Products meet the applicable release specifications; and (B)
Processa does not reasonably believe the continued use of such Compounds and Products causes safety concerns;

 

(e)       License
Grant. At Yuhan’s option, to be exercised by written notice to Processa no later than thirty (30) days after the Effective
Date of termination, a worldwide license, with the right to sublicense, under the Processa Patent Rights, Processa Know-How, Processa’s
interest in the Joint Intellectual Property, and applicable Sublicensee Intellectual Property, solely to make, have made, use,
sell, offer for sale and import Compounds and Products in the Field that were Developed or Commercialized prior to the Effective
Date of termination, which license would be, at Yuhan’s election, either (i) non-exclusive, fully paid-up, non-royalty-bearing,
irrevocable and perpetual or (ii) exclusive and royalty-bearing subject to mutual agreement by Yuhan and Processa on commercially
reasonable terms; provided that, notwithstanding the foregoing, with respect to any Processa Patent Rights or Processa
Know-How that Processa acquired from a Third Party (by license or otherwise), or any applicable Sublicensee Intellectual Property
that the applicable Sublicensee(s) acquired from a Third Party (by license or otherwise), Processa or the applicable Sublicensee(s)
shall only be required to grant to Yuhan a license to such Processa Patent Rights, Processa Know-How or Sublicensee Intellectual
Property to the extent permitted under the applicable agreement with such Third Party, and Yuhan shall pay Processa or such Sublicensee
or such Third Party, as determined by Processa, any payment due to such Third Party relating to the Compounds and Products; provided
further that Yuhan shall execute such documentation reasonably satisfactory to Processa to effectuate such agreement; and
if the license granted to Yuhan is exclusive, Yuhan shall have the same enforcement rights with respect to any Processa Patent
Rights and Patent Rights within the Sublicensee Intellectual Property that exclusively Cover Products that are licensed to Yuhan
pursuant to this Section 12.7(e) as Processa has with respect to Infringement Claims pursuant to Section 8.3 (to the extent that
Processa or the applicable Sublicensee(s) have such rights with respect to such Processa Patent Rights or Patent Rights within
the Sublicensee Intellectual Property, as applicable), provided that any enforcement of Processa Patent Rights, Joint Patent
Rights or Patent Rights within the Sublicensee Intellectual Property that Cover subject matter other than such Products shall
be performed by Yuhan only with the consultation and prior agreement of Processa or the applicable Sublicensee, which such agreement
shall not unreasonably withheld, delayed or conditioned.

 

(f)       Assignment
of Trademarks. Assign to Yuhan all of Processa’s or its applicable Sublicensees’ right, title and interest in
any trademark owned by Processa or its Affiliates or applicable Sublicensees and used solely in connection with the Products,
along with all associated goodwill.

 

    	 	44	 

     

    

 

12.8       Effect
of Termination or Expiration; Accrued Rights and Obligations. Termination or expiration of this Agreement for any reason shall
not release either Party from any liability that, at the time of such termination or expiration, has already accrued or that is
attributable to a period prior to such termination (including payment obligations accrued prior to the Effective Date of termination
or expiration pursuant to ARTICLE VII) nor preclude either Party from pursuing any right or remedy it may have hereunder or at
Law or in equity with respect to any breach of this Agreement.

 

12.9       Survival.
The rights and obligations set forth in this Agreement shall extend beyond the Term or termination or expiration of this Agreement
only to the extent expressly provided for in this Agreement or to the extent required to give effect to a termination or expiration
of this Agreement or the consequences of a termination or expiration of this Agreement as expressly provided for in this Agreement.
Without limiting the generality of the foregoing, it is agreed that the provisions of ARTICLE I, Sections 2.2, 2.3, 7.8 (only
for thirty-six (36) months after expiration or termination), 7.9, 7.10, 7.11, 7.12, 8.1, 8.9, 9.1, 9.2, 9.5, 10.5, ARTICLE XI,
and Sections 12.1 (last sentence as to any such license that became perpetual and irrevocable prior to expiration or termination),
12.7, 12.8, 12.9 and ARTICLE XIII shall survive expiration or termination of this Agreement for any reason.

 

ARTICLE
XIII

MISCELLANEOUS

 

13.1       Governing
Law; Jurisdiction. This Agreement shall be governed by and interpreted in accordance with the laws of the state of New York,
without regard to its conflicts of laws rules. Each Party (a) irrevocably submits to the exclusive jurisdiction in the state court
sitting in New York (collectively, the “Courts”), for purposes of any action, suit or other proceeding arising
out of this Agreement, and (b) agrees not to raise any objection at any time to the laying or maintaining of the venue of any
such action, suit or proceeding in any of the Courts, irrevocably waives any claim that such action, suit or other proceeding
has been brought in an inconvenient forum and further irrevocably waives the right to object, with respect to such action, suit
or other proceeding, that such Court does not have any jurisdiction over such Party. Either Party may serve any process required
by such Courts by way of notice under this Agreement. Notwithstanding anything to the contrary in this Section 13.1, each Party
shall have the right to institute judicial proceedings against the other Party or anyone acting by, through, or under such other
Party, in any court of competent jurisdiction, in order to enforce the instituting Party’s rights hereunder through reformation
of contract, specific performance, injunction, or similar equitable relief.

 

13.2       Dispute
Resolution. In the event of a dispute arising out of or relating to this Agreement, either Party shall provide written notice
of the dispute to the other, in which event the dispute shall be referred to the Senior Executives of each Party, for attempted
resolution by good faith negotiations within twenty (20) days after such notice is received. In the event the Senior Executives
do not resolve such dispute within the allotted twenty (20) days, either Party may, after the expiration of the twenty (20) day
period, seek to resolve the dispute in accordance with Section 13.1.

 

    	 	45	 

     

    

 

13.3       Waiver.
Waiver by a Party of a breach hereunder by the other Party shall not be construed as a waiver of any succeeding breach of the
same or any other provision. No delay or omission by a Party to exercise or avail itself of any right, power, or privilege that
it has or may have hereunder shall operate as a waiver of any right, power, or privilege by such Party. No waiver shall be effective
unless made in writing with specific reference to the relevant provision(s) of this Agreement and signed by a duly authorized
representative of the Party granting the waiver.

 

13.4       Notices.
All notices, instructions and other communications hereunder or in connection herewith shall be in writing, shall be sent to the
address specified in this Section 13.4 and shall be: (a) delivered personally; (b) sent by registered or certified mail, return
receipt requested, postage prepaid; (c) sent via a reputable nationwide overnight courier service; or (d) sent by facsimile or
other electronic transmission. Any such notice, instruction or communication shall be deemed to have been delivered upon receipt
if delivered by hand, three (3) Business Days after it is sent by registered or certified mail, return receipt requested, postage
prepaid, one (1) Business Day after it is sent via a reputable nationwide overnight courier service, or when transmitted with
confirmation of receipt, if transmitted by facsimile or other electronic transmission (if such transmission is on a Business Day;
otherwise, on the next Business Day following such transmission).

 

Notices
to Processa shall be addressed to:

 

Processa
Pharmaceuticals, Inc.

7380
Coca Cola Drive, Suite 106

Hanover,
MD 21076

Attn:
Wendy Guy, Chief Administrative Officer

Email:
wguy@processapharmaceuticals.com

 

Notices
to Yuhan shall be addressed to:

 

Yuhan
Corporation

74,
Noryangjin-ro, Dongjak-gu

Seoul,
Republic of Korea, 06927

Attention:
Taejin Yoon, Head of Global Business Development

Email:
tyoon@yuhan.co.kr

Facsimile:
82-2-828-0086

 

Yuhan
Corporation

74,
Noryangjin-ro, Dongjak-gu

Seoul,
Republic of Korea, 06927

Attention:
Han K. Kim, Head of Global Operations

Email:
hkkim@yuhan.co.kr

Facsimile:
82-2-828-0086

 

Either
Party may change its address by giving notice to the other Party in the manner provided above.

 

    	 	46	 

     

    

 

13.5       Entire
Agreement. This Agreement (including Schedules) contains the complete understanding of the Parties with respect to the subject
matter of this Agreement and supersedes all prior understandings and writings between the Parties relating to such subject matter.

 

13.6       Severability.
If any provision of this Agreement is held unenforceable by a court or tribunal of competent jurisdiction because it is invalid
or conflicts with any Law of any relevant jurisdiction, the validity of the remaining provisions shall not be affected. In such
event, the Parties shall negotiate a substitute provision that, to the extent possible, accomplishes the original business purpose.

 

13.7       Assignment.
Neither this Agreement nor any right or obligation hereunder may be assigned or otherwise transferred by any Party without the
consent of the other Party; provided, however, that any Party may, without such consent, assign this Agreement,
in whole or in part: (a) to any of its respective Affiliates, provided that such Affiliate has acknowledged and confirmed
in writing that effective as of such assignment, such Affiliate shall be bound by this Agreement to the identical extent applicable
to the assigning Party; or (b) to any successor in interest by way of merger, acquisition or sale of all or substantially all
of its business or assets relating to the subject matter of this Agreement, provided that such successor (if the applicable
Party is not the surviving entity in such transaction) agrees in writing to be bound by the terms of this Agreement to the identical
extent applicable to the assigning Party. Any purported assignment in violation of this Section 13.7 shall be void. Any permitted
assignee shall assume all obligations of its assignor under this Agreement.

 

13.8       Counterparts;
Exchange by Facsimile. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original
and that together shall constitute one and the same instrument. Such counterparts may be exchanged by facsimile or PDF (provided
that each executed counterpart is transmitted in one complete transmission or electronic mail message). Where there is an
exchange of executed counterparts by facsimile or PDF, each Party shall be bound by the Agreement notwithstanding that original
copies of the Agreement may not be exchanged immediately. The Parties shall cooperate after execution of the Agreement and exchange
by facsimile or PDF to ensure that each Party obtains an original executed copy of this Agreement with reasonable promptness.

 

13.9       Force
Majeure. No Party shall be liable for failure of or delay in performing obligations set forth in this Agreement, and no Party
shall be deemed in breach of its obligations, if such failure or delay is due to a pandemic, natural disaster, explosion, fire,
flood, tornadoes, thunderstorms, earthquake, war, terrorism, riots, embargo, losses or shortages of power, labor stoppage, substance
or material shortages, damage to or loss of product in transit not due to a failure by such Party or its Affiliates to exercise
reasonable care, events caused by reason of Laws of any Governmental Authority, events caused by acts or omissions of a Third
Party not induced or solicited by such Party or its Affiliates, or any other cause reasonably beyond the control of such Party
or its Affiliates; provided that such Party uses Commercially Reasonable Efforts to overcome the difficulties created by
such force majeure event and to resume performance of its obligations as soon as practicable.

 

    	 	47	 

     

    

 

13.10       Third
Party Beneficiaries. None of the provisions of this Agreement shall be for the benefit of or enforceable by any Third Party
other than a Yuhan Party or a Processa Party, as applicable, that is an Indemnified Party under ARTICLE XI, and no Third Party
shall obtain any right under any provision of this Agreement or shall by reason of any such provision make any claim in respect
of any debt, liability or obligation (or otherwise) against either Party.

 

13.11       Relationship
of the Parties. Each Party shall bear its own costs incurred in the performance of its obligations hereunder without charge
or expense to the other, except as expressly provided in this Agreement. Neither Party shall have any responsibility for the hiring,
termination or compensation of the other Party’s employees or for any employee compensation or benefits of the other Party’s
employees. No employee or representative of a Party shall have any authority to bind or obligate the other Party for any sum or
in any manner whatsoever, or to create or impose any contractual or other liability on the other Party without said other Party’s
approval. For all purposes and notwithstanding any other provision of this Agreement to the contrary, the legal relationship under
this Agreement of each Party to the other Party shall be that of independent contractor. Nothing in this Agreement shall be construed
to establish a relationship of partners or joint venturers between the Parties.

 

13.12       Performance
by Affiliates. To the extent that this Agreement imposes obligations on Affiliates of a Party, such Party agrees to cause
its Affiliates to perform such obligations.

 

13.13       No
Consequential or Punitive Damages. NEITHER PARTY WILL BE LIABLE FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL, EXEMPLARY,
OR PUNITIVE DAMAGES, INCLUDING LOST PROFITS, ARISING FROM OR RELATING TO THIS AGREEMENT, REGARDLESS OF ANY NOTICE OF SUCH DAMAGES.
NOTHING IN THIS SECTION 13.13 IS INTENDED TO LIMIT OR RESTRICT (A) THE INDEMNIFICATION RIGHTS OR OBLIGATIONS OF EITHER PARTY UNDER
THIS AGREEMENT WITH RESPECT TO THIRD PARTY CLAIMS, OR (B) DAMAGES TO WHICH A PARTY MAY BE ENTITLED FOR BREACH OF CONFIDENTIALITY
AND LIMITATION ON USE OBLIGATIONS SET FORTH IN THIS AGREEMENT, OR (C) DAMAGES TO WHICH A PARTY MAY BE ENTITLED FOR THE WILLFUL
MISCONDUCT, INTENTIONAL BREACH OR FRAUD OF THE OTHER PARTY.

 

[Signature
page follows]

 

    	 	48	 

     

    

 

IN
WITNESS WHEREOF, the Parties have signed this License Agreement as of the Effective Date.

 

	PROCESSA
    PHARMACEUTICALS, INC.	 	YUHAN
    CORPORATION
	 	 	 
	By:
    		 	By:
    	
	Name:	David
    Young	 	Name:	Jung
    Hee Lee
	Title:
    	CEO	 	Title:
    	CEO
    and President

 

Signature
Page to License Agreement

 

    	 	 	 

     

    

 

Schedule
1.10

Compound

 

(S)-N-(1-(2-((4-amino-3-nitrophenyl)amino)-6-propylpyrimidin-4-yl)pyrrolidin-3-yl)acetamide

 

 

    	Schedule 1.10-1

    	 

    

 

Schedule
1.49

Form of Share Issuance Agreement

 

SHARE
ISSUANCE AGREEMENT

 

THIS
SHARE ISSUANCE AGREEMENT (this “Agreement”), is made as of August 19, 2020, by and between Yuhan Corporation
(the “Yuhan”), and Processa Pharmaceuticals, Inc., a Delaware corporation (the “Company”).

 

WHEREAS,
concurrently with the entering into of this Agreement, the Company and Yuhan are entering into that certain License Agreement
(the “License Agreement”);

 

WHEREAS,
pursuant to the terms and subject to the conditions set forth in this Agreement and the License Agreement, the Company desires
to issue to Yuhan, and Yuhan desires to acquire from the Company, at the Closing (as defined below) 250,000 shares (the “Initial
Shares”) of the Company’s common stock (“Common Stock”) as the Upfront Fee (as defined
in the License Agreement);

 

WHEREAS,
pursuant to the terms and subject to the conditions set forth in this Agreement and the License Agreement, the Company will issue
to Yuhan, and Yuhan will acquire from the Company, the Milestone Shares (as defined below) and the Additional Shares (as defined
below);

 

NOW,
THEREFORE, in consideration of the foregoing recitals, the mutual representations, warranties, promises and obligations in the
License Agreement and the following mutual representations, warranties, promises and obligations, and for other good and valuable
consideration, the adequacy and sufficiency of which are hereby acknowledged, Yuhan and the Company agree as follows:

 

1.       Definitions.

 

1.1       Defined
Terms. When used in this Agreement, the following terms shall have the respective meanings specified therefor below:

 

“Affiliate”
has the meaning set forth in the License Agreement.

 

“Agreement”
means as set forth in the Preamble, including all exhibits, schedules and appendices attached hereto.

 

“Beneficially
Own” or “Beneficially Owned”, and words of similar import have the meaning assigned to
such terms pursuant to Rule 13d-3 under the Exchange Act.

 

“Business
Day” has the meaning set forth in the License Agreement.

 

“Common
Stock Equivalents” means any options, warrants or other securities or rights convertible into or exercisable or
exchangeable for, whether directly or following conversion into or exercise or exchange for other options, warrants or other securities
or rights, shares of Common Stock.

 

“Contract”
means, with respect to any Person, any written or oral contracts, agreements, deeds, mortgages, indentures, bonds, loans, leases,
subleases, licenses, sublicense, statements of work, instruments, notes, commitments, commissions, undertakings, arrangements
and understandings to which such Person is a party or by which any of its properties or assets are subject.

 

    	 	Schedule 1.49-1	 

     

    

 

“Development
Milestone Payments” has the meaning set forth in the License Agreement.

 

“Disposition”
or “Dispose of” means (a) pledge, sale, contract to sell, sale of any option or Contract to purchase,
purchase of any option or Contract to sell, grant of any option, right or warrant for the sale of, or other disposition of or
transfer of any shares of Common Stock, or any Common Stock Equivalents, including, without limitation, any “short sale”
or similar arrangement, or (b) swap, hedge, derivative instrument or any other agreement or any transaction that transfers, in
whole or in part, directly or indirectly, the economic consequence of ownership of shares of Common Stock, whether any such swap
or transaction is to be settled by delivery of securities, in cash or otherwise.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

“Governmental
Authority” has the meaning set forth in the License Agreement.

 

“IPO
Price” means the price per share at which the Company sells its Common Stock in the Planned Public Offering to the
public.

 

“Last
Round Purchase Price” means the lowest price per share at which the Company sold its capital stock in any transaction(s)
conducted with the principal purpose of raising capital that occurs after the date of this Agreement, pursuant to which the Company
issues and sells shares of its capital stock for immediate cash proceeds. For avoidance of doubt, the Last Round Purchase Price
shall not include shares issued pursuant to an equity compensation plan or in connection with a license or other transaction with
a third party.

 

“Law”
or “Laws” has the meaning set forth in the License Agreement.

 

“Material
Adverse Effect” means a material adverse effect on the business, assets (including intangible assets), liabilities,
financial condition, property or results of operations of the Company.

 

“Material
Contract” means all Contracts that are required to be filed as exhibits by the Company with the SEC pursuant to
Items 601(b)(4) and 601(b)(10) of Regulation S-K promulgated by the SEC.

 

“Milestone
Shares” has the meaning set forth in the License Agreement.

 

“Organizational
Documents” means (a) the Amended and Restated Certificate of Incorporation of the Company, as amended and restated
from time to time and as in effect as of the date of this Agreement, and (b) the Bylaws of the Company as in effect as of the
date of this Agreement.

 

“Party”
means either Yuhan or Processa; “Parties” means both Yuhan and Processa.

 

    	 	Schedule 1.49-2	 

     

    

 

“Permitted
Transferee” means an Affiliate of Yuhan; provided, however, that no such Person shall be deemed a
Permitted Transferee for any purpose under this Agreement unless: (a) the Permitted Transferee, prior to or simultaneously with
any Disposition, shall have agreed in writing to be subject to and bound by all restrictions and obligations set forth in this
Agreement as though it were Yuhan hereunder, and (b) Yuhan acknowledges that it continues to be bound by all restrictions and
obligations set forth in this Agreement.

 

“Person”
has the meaning set forth in the License Agreement.

 

“Planned
Public Offering” has the meaning set forth in the License Agreement.

 

“Prospectus”
means the prospectus (including any preliminary, final or summary prospectus) included in any Registration Statement, all amendments
and supplements to such prospectus and all other material incorporated by reference in such prospectus.

 

“Register,”
“Registered” and “Registration” means a registration effected by preparing
and filing (a) a Registration Statement in compliance with the Securities Act (and any post-effective amendments filed or required
to be filed) and the declaration or ordering of effectiveness of such Registration Statement, or (b) a Prospectus and/or Prospectus
supplement in respect of an appropriate effective Registration Statement.

 

“Registrable
Securities” means the Shares; provided, that any Shares will cease to be Registrable Securities when such
Shares (without regard to any other shares owned) (A) have been sold or otherwise Disposed of or (B) may be sold under Rule 144
without regard to volume restrictions.

 

“Registration
Statement” means a registration statement of the Company that covers the resale of any Registrable Securities pursuant
to the provisions of Appendix 1 filed with, or to be filed with, the SEC under the rules and regulations promulgated under the
Securities Act, including the related Prospectus, amendments and supplements to each such registration statement or Prospectus,
including pre- and post-effective amendments, all exhibits thereto, financial information and all other material incorporated
by reference or deemed to be incorporated by reference in such registration statement.

 

“Rule
144” means Rule 144 under the Securities Act.

 

“Second
Adjustment Target Share Amount” means a number of shares of Common Stock equal to the quotient of $2,000,000 divided
by the lowest of (a) the VWAP Purchase Price, (b) the price per share at which Common Stock is sold in the Late Public Offering,
and (c) the Last Round Purchase Price (if the Company executed a capital raising transaction in addition to the Late Public Offering),
of the period after January 31, 2021 until the Late Public Offering.

 

“Securities
Act” means the Securities Act of 1933, as amended.

 

“Shares”
means the Initial Shares, the Additional Shares, and all Milestone Shares.

 

    	 	Schedule 1.49-3	 

     

    

 

“Shelf
Registration Statement” means a “shelf” registration statement of the Company that covers all Registrable
Securities (when and if issued, but not prior to such issuance) on Form S-3 and under Rule 415 under the Securities Act or, if
the Company is not then eligible to file on Form S-3, on another eligible form under the Securities Act, such as Form S-1, or
any successor rule that may be adopted by the SEC, including without limitation any such registration statement filed pursuant
to Appendix 1 and all amendments and supplements to such “shelf” registration statement, including, post-effective
amendments, in each case, including the Prospectus contained therein, all exhibits thereto and any document incorporated by reference
therein.

 

“Subsidiary”
means any corporation, association trust, limited liability company, partnership, joint venture or other business association
or entity (a) at least 50% of the outstanding voting securities of which are at the time owned or controlled directly or indirectly
by the Company or (b) with respect to which the Company possesses, directly or indirectly, the power to direct or cause the direction
of the affairs or management of such Person.

 

“Target
Share Amount” means (i) if the Planned Public Offering has been consummated, a number of shares of Common Stock
equal to the quotient of $2,000,000 divided by the IPO Price; provided, however, that the Target Share Amount shall
be no less than 181,818 and (ii) if the Planned Public Offering has not been consummated, a number of shares of Common Stock equal
to the quotient of $2,000,000 divided by the lowest of (a) the VWAP Purchase Price, (b) the Last Round Purchase Price as of January
31, 2021 (if the Company has executed a capital raising transaction), and (c) $8.00.

 

“Tax”
or “Taxes” shall mean all federal, state, local, and foreign income, excise, gross receipts, gross income,
ad valorem, profits, gains, property, capital, sales, transfer, use, payroll, employment, severance, withholding, duties, intangibles,
franchise, backup withholding, value-added, and other taxes imposed by a Governmental Authority, together with all interest, penalties
and additions to tax imposed with respect thereto.

 

“Third
Party” means any Person other than Yuhan, the Company, or any Affiliate of Yuhan or the Company.

 

“Trading
Market” means the following markets or exchanges on which the Common Stock is listed or quoted for trading on the
date in question: the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the New York Stock Exchange
or the NYSE MKT, or, prior to consummation of the Planned Public Offering, the OTCQB® Market.

 

“Transactions”
means the issuance of the Shares by the Company, and the acquisition of the Shares by Yuhan, in accordance with the terms hereof,
and any other transactions contemplated by this Agreement and the License Agreement.

 

“Transaction
Agreements” means this Agreement and the License Agreement.

 

“Underwriter”
means, with respect any Underwritten Offering, a securities dealer(s) who purchases any Registrable Securities as a principal
in connection with a distribution of such Registrable Securities.

 

“Underwritten
Offering” means a public offering of securities Registered under the Securities Act in which an Underwriter participates
in the distribution of such securities, including on a firm commitment basis for reoffer and resale to the public, including any
such offering that is a “bought deal” or a block trade.

 

    	 	Schedule 1.49-4	 

     

    

 

“VWAP
Purchase Price” means the volume-weighted average price of a share of Common Stock (weighted by the total daily
trading volume for that day, as quoted on the electronic financial news service of Bloomberg L.P. or, if such quote is not then
available, then on the electronic financial news service of Thomson Reuters) on the Trading Market over the most recent 45 days
in which at least one share of Common Stock was traded.

 

2.       Purchase
and Sale of Common Stock. Subject to the terms and conditions of this Agreement and the License Agreement, at the Closing,
the Company shall issue to Yuhan and Yuhan shall acquire from the Company the Initial Shares.

 

3.       Closing
Date; Deliveries.

 

3.1       Closing
Date. The closing of the acquisition and issuance of the Initial Shares hereunder (the “Closing”)
shall be held by electronic exchange of signature pages on the date within ten (10) Business Days following the effective date
of the License Agreement or at such other time and date as the Parties may mutually agree in writing. The date the Closing occurs
is hereinafter referred to as the “Closing Date.”

 

3.2       Deliveries.
At the Closing, the Company shall deliver or cause to be delivered to Yuhan the Initial Shares in certificated form or maintained
in restricted book-entry form at the Company’s transfer agent (at Yuhan’s cost). At any time Additional Shares or
Milestone Shares are to be delivered pursuant to this Agreement, the Company shall deliver or cause to be delivered to Yuhan such
Shares certificated form or maintained in restricted book-entry form at the Company’s transfer agent (at Yuhan’s cost).

 

4.       Adjustments.

 

4.1       Forfeiture
of Initial Shares. In the event the Company consummates the Planned Public Offering at an IPO Price greater than $8.00, a
number of Initial Shares equal to 250,000 minus the Target Share Amount shall be automatically forfeited. In the event of such
forfeiture, Yuhan agrees to work in good faith with the Company to take any actions reasonably necessary to effect and document
such forfeiture.

 

4.2       Issuance
of Additional Shares on or before January 31, 2021. In the event the Company consummates the Planned Public Offering at an
IPO Price less than $8.00, or if the Company does not consummate the Planned Public Offering on or before January 31, 2021, the
Company shall, for no additional consideration, immediately issue a number of shares of Common Stock to Yuhan equal to the Target
Share Amount minus 250,000.

 

4.3       Issuance
of Additional Shares after January 31, 2021. In the event the Company does not consummate the Planned Public Offering on or
before January 31, 2021, but consummates a capital raise for the up-list to Nasdaq or the NYSE pursuant to the sale of shares
pursuant to the Form S-1 registration statement (the “Late Public Offering”) after January 31, 2021,
the Company shall, for no additional consideration, immediately issue a number of shares of Common Stock to Yuhan equal to the
Second Adjustment Target Share Amount minus the number of shares issued pursuant to Section 4.2 (if any) minus 250,000 (any shares
of Common Stock issued pursuant to Section 4.2 or this Section 4.3, the “Additional Shares”).

 

    	 	Schedule 1.49-5	 

     

    

 

5.       Milestone
Shares. The Company shall issue Milestone Shares to Yuhan on each date that a Development Milestone Payment is due pursuant
to the License Agreement. If the Planned Public Offering has been consummated, the number of Milestone Shares shall be equal to
the dollar amount set forth in the License Agreement applicable to the Development Milestone achieved divided by the VWAP Purchase
Price as calculated on the date the Development Milestone Payment is due. If the Planned Public Offering has not been consummated,
the number of Milestone Shares shall be equal to the dollar amount set forth in the License Agreement applicable to the Development
Milestone achieved divided by the lesser of (i) the VWAP Purchase Price as calculated on the date the Development Milestone Payment
is due and (ii) the Last Round Purchase Price (if applicable) as of the date the Development Milestone Payment is due.

 

6.       Representations
and Warranties of the Company. The Company hereby represents and warrants to Yuhan that the following representations are
true and complete as of the date hereof and as of the Closing, except as otherwise indicated herein or in a SEC Report (as defined
below):

 

6.1       Organization.
The Company is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware. The
Company has all requisite corporate power and authority to enter into this Agreement, to issue the Shares and to perform its obligations
under and to carry out the Transactions contemplated by this Agreement. The Company is duly qualified as a foreign corporation
to transact business and is in good standing in each jurisdiction in which such qualification is required, whether by reason of
the ownership or leasing of property or the conduct of business, except whether the failure to so qualify or be in good standing
would not, individually or in the aggregate, constitute a Material Adverse Effect. The Company is not in violation of, in conflict
with, or in default under its Organizational Documents in any material respect. True and correct copies of the Organizational
Documents, as in effect on the date of this Agreement, are attached as exhibits to the Company’s SEC Reports.

 

6.2       Authorization.

 

(a)       All
requisite corporate action on the part of the Company required by applicable Law for the authorization, execution and delivery
by the Company of this Agreement and the performance of all obligations of the Company hereunder and thereunder, including the
authorization, issuance and delivery of the Shares, has been taken.

 

(b)       This
Agreement has been duly executed and delivered by the Company, and upon the due execution and delivery of this Agreement by Yuhan,
it will constitute valid and legally binding obligations of the Company, enforceable against the Company in accordance with its
terms, except as limited by: (i) applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and other
Laws of general application relating to or affecting enforcement of creditors’ rights generally; and (ii) as limited by
Laws relating to the availability of specific performance, injunctive relief or other equitable remedies (the exceptions set forth
in (i) and (ii), the “Enforceability Exceptions”).

 

    	 	Schedule 1.49-6	 

     

    

 

(c)       On
or prior to the date hereof, the Board of Directors of the Company has duly adopted resolutions, among other things, authorizing
and approving each of the Transaction Agreements and the Transactions.

 

6.3       No
Conflicts. Except as set forth in a written notice provided by the Company to Yuhan prior to the execution of this Agreement
and referencing this Section 6.3, the execution, delivery and performance of this Agreement, and compliance with the provisions
hereof, and the issuance of the Shares by the Company do not and shall not: (a) subject to receipt of the Required Approvals,
violate any provision of applicable Law or any ruling, writ, injunction, order, permit, judgment or decree of any Governmental
Authority to which the Company is subject, (b) result in any encumbrance upon any of the Shares, other than restrictions on resale
pursuant to securities laws or as set forth in this Agreement, (c) result in a default, modification, acceleration of payment
or termination under, give any Person a right of termination or cancellation under, result in the loss of a benefit or imposition
of any obligation under, any Material Contract, or (d) violate or conflict with any of the provisions of the Organizational Documents,
except, in the case of subsections (a) and (c) as would not, individually or in the aggregate, constitute a Material Adverse Effect.

 

6.4       No
Approval. No consent, approval, authorization or other order of, or filing with, or notice to, any Governmental Authority
is required to be obtained or made by the Company or any of its Subsidiaries in connection with the authorization, execution and
delivery by the Company of this Agreement or with the authorization, issuance and sale by the Company of the Shares, or the consummation
of the Transactions, except (a) such filings as may be required to be made with the Securities and Exchange Commission (the “SEC”)
and with any state blue sky or securities regulatory authority, which filings shall be made in a timely manner in accordance with
all applicable Laws; and (b) those that have been made or obtained prior to the date of this Agreement (the items referred to
in clauses (a) and (b), the “Required Approvals”).

 

6.5       Valid
Issuance of Shares. When issued, sold and delivered in accordance with the terms hereof, the Shares will be duly authorized,
validly issued, fully paid and nonassessable, free from any liens, encumbrances or restrictions on transfer, including preemptive
rights, rights of first refusal, purchase option, call option, subscription right or other similar rights, other than as arising
pursuant to this Agreement, as a result of any action by Yuhan or under federal or state securities Laws. Assuming the accuracy
of the representations and warranties of Yuhan in this Agreement and subject to the Required Approvals, the Shares will be issued
in compliance with all applicable federal and state securities Laws.

 

6.6       Company
SEC Reports.

 

(a)       The
Company has filed or furnished, as applicable, all reports, schedules, forms, statements and other documents required to be filed
or furnished by it with the SEC pursuant to the reporting requirements of the Exchange Act (all of the foregoing filed prior to
the date of this Agreement and all exhibits included therein and financial statements and schedules thereto and documents (other
than exhibits) incorporated by reference therein, collectively, the “Company SEC Reports”), each of
which complied at the time of filing in all material respects with all applicable requirements of the Securities Act and the Exchange
Act, as applicable, in each case as in effect on the dates such forms reports and documents were filed. As of its respective date,
and if amended, as of the date of the last such amendment, no Company SEC Report, when filed, contained any untrue statement of
a material fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements
therein, in light of the circumstances under which they were made, not misleading. All Material Contracts to which the Company
or any Subsidiary is a party, or to which the property or assets of the Company or any Subsidiary are subject, that are required
to be included as part of or specifically identified in the Company SEC Reports, are so included or specifically identified. True
and complete copies of the Company SEC Reports are available for public access via the SEC’s EDGAR system (excluding schedules,
exhibits and any redacted information).

 

    	 	Schedule 1.49-7	 

     

    

 

(b)       As
of their respective dates, the consolidated financial statements included or incorporated in the Company SEC Reports (the “Financial
Statements”), and the related notes, complied as to form in all material respects with applicable accounting requirements
and the published rules and regulations of the SEC with respect thereto. The Financial Statements and the related notes have been
prepared, in all material respects, in accordance with accounting principles generally accepted in the United States, consistently
applied, during the periods involved (except (i) as may be otherwise indicated in the Financial Statements or the notes thereto,
or (ii) in the case of unaudited interim statements, to the extent they may not include footnotes, may be condensed or summary
statements or may conform to the SEC’s rules and instructions for Quarterly Reports on Form 10-Q) and fairly present in
all material respects the consolidated financial position and the results of the operations of the Company and its Subsidiaries,
retained earnings (loss), and cash flows, as the case may be, for the periods then ended (subject, in the case of unaudited statements,
to normal and recurring year-end audit adjustments).

 

(c)       Except
as noted in the SEC Reports, the Company has established and maintains disclosure controls and procedures (as defined in Rules
13a-15 and 15d-15 under the Exchange Act) that (i) are designed to ensure that material information relating to the Company, including
each consolidated Subsidiary, is made known to the Company’s principal executive officer and its principal financial officer
by others within those entities, particularly during the periods in which the periodic reports required under the Exchange Act
are being prepared; and (ii) have been evaluated by management of the Company for effectiveness as of the end of the Company’s
most recent fiscal quarter.

 

7.       Representations
and Warranties of Yuhan. Yuhan hereby represents and warrants to the Company as of the date hereof as follows:

 

7.1       Organization.
Yuhan is a corporation duly organized, validly existing and in good standing under the laws of the Republic of Korea. Yuhan has
all requisite power and authority to enter into this Agreement, to purchase the Shares and to perform its obligations under and
to carry out the Transactions.

 

7.2       Authorization.
All requisite corporate action on the part of Yuhan, required by applicable Law for the authorization, execution and delivery
by Yuhan of this Agreement and the performance of all of its obligations hereunder, including the acquisition of the Shares, has
been taken. This Agreement has been duly executed and delivered by Yuhan, and upon the due execution and delivery thereof by the
Company, will constitute valid and legally binding obligations of Yuhan, enforceable against Yuhan in accordance with its terms,
except as limited by the Enforceability Exceptions.

 

    	 	Schedule 1.49-8	 

     

    

 

7.3       No
Conflicts. The execution, delivery and performance of this Agreement and compliance with the provisions thereof, by Yuhan
do not and shall not: (a) violate any provision of applicable Law or any ruling, writ, injunction, order, permit, judgment or
decree of any Governmental Authority, or (b) violate or conflict with any of the provisions of Yuhan’s organizational documents
(including any articles or memoranda of organization or association, charter, by-laws or similar documents), except as would not
materially impair or affect in a material adverse manner the ability of Yuhan to consummate the Transactions and perform its obligations
under this Agreement.

 

7.4       No
Approval. No consent, approval, authorization or other order of any Governmental Authority is required to be obtained by Yuhan
in connection with the authorization, execution and delivery of any of this Agreement or with the subscription for and purchase
of the Shares.

 

7.5       Acquisition
Entirely for Own Account. The Shares shall be acquired for investment for Yuhan’s own account, not as a nominee or agent,
and not with a view to the resale or distribution of any part thereof, and as of the date hereof, Yuhan has no present intention
of selling, granting any participation or otherwise distributing the Shares. Yuhan, either alone or together with its representatives,
has such knowledge, sophistication and experience in business and financial matters so as to be capable of evaluating the merits
and risks of the prospective investment in the Shares, and has so evaluated the merits and risks of such investment. Yuhan is
able to bear the economic risk of an investment in the Shares and, at the present time, is able to afford a complete loss of such
investment.

 

7.6       Purchaser
Status. Yuhan is as of the date hereof, and as of the date any Shares are issued under this Agreement will be, an “accredited
investor” as defined in Rule 501 under the Securities Act.

 

7.7       Access
to Information. Yuhan acknowledges that it has had the opportunity to review the Transaction Agreements and the SEC Reports
and has been afforded, (i) the opportunity to ask such questions as it has deemed necessary of, and to receive answers from, representatives
of the Company concerning the terms and conditions of the offering of the Shares and the merits and risks of investing in the
Shares; (ii) access to information about the Company and its financial condition, results of operations, business, properties,
management and prospects sufficient to enable it to evaluate its investment; and (iii) the opportunity to obtain such additional
information that the Company possesses or can acquire without unreasonable effort or expense that is necessary to make an informed
investment decision with respect to the investment.

 

7.8       Restricted
Securities. Yuhan understands that the Shares, when issued, will be “restricted securities” under the federal
securities Laws inasmuch as they are being acquired from the Company in a transaction not involving a public offering and that
under such Laws the Shares may be resold without registration under the Securities Act only in certain limited circumstances.
Yuhan represents that it is familiar with Rule 144.

 

    	 	Schedule 1.49-9	 

     

    

 

7.9       Legends.
In addition to any other legend required by Law, the book-entry or certificated form of the Shares shall bear any legend required
by the “blue sky” laws of any state and a restrictive legend in substantially the following form:

 

THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED
OR HYPOTHECATED IN THE ABSENCE OF A REGISTRATION STATEMENT IN EFFECT WITH RESPECT TO THE SECURITIES UNDER SUCH ACT OR AN OPINION
OF COUNSEL SATISFACTORY TO THE ISSUER THAT SUCH REGISTRATION IS NOT REQUIRED OR UNLESS SOLD PURSUANT TO RULE 144 OF SUCH ACT.

 

7.10       Acquiring
Person. As of the date of this Agreement and immediately prior to the Closing, neither Yuhan nor any of its controlled Affiliates
(excluding directors and officers of Yuhan who may hold securities of the Company for their personal account) Beneficially Owns,
or will Beneficially Own any securities of the Company.

 

7.11       No
General Solicitation. Yuhan is not acquiring the Shares as a result of (a) any advertisement, article, notice or other communication
published in any newspaper, magazine or similar media or broadcast over television, radio or the Internet, in each case, relating
to the Company, or (ii) any seminar or meeting whose attendees, including Yuhan, have been invited by any general solicitation
or general advertising related to the Company.

 

8.       Covenants.

 

8.1       Commercially
Reasonable Best Efforts. Subject to the terms and conditions set forth in this Agreement, each Party hereto shall use its
commercially reasonable best efforts to do or cause to be done all things necessary or appropriate to satisfy the conditions to
the Closing and to consummate the Transactions as promptly as practicable. Without limiting the generality of the foregoing, unless
the License Agreement is earlier terminated by either Party in accordance with its terms, the Company and Yuhan shall use their
respective commercially reasonable best efforts to cause the Closing to occur. Each of the Company and Yuhan shall not, and shall
not permit any of their respective Affiliates to, take any action that would, or that would reasonably be expected to, result
in any of the conditions set forth in Section 9 or Section 10 not being satisfied.

 

8.2       Registration
Rights. The Company hereby provides Yuhan with the registration rights set forth on Appendix 1 attached hereto, which
is hereby incorporated in and made a part of this Agreement as if set forth in full herein.

 

8.3       Participation
Rights. The Company shall, in connection with the Planned Public Offering, reserve and offer (and cause the Underwriters to
reserve and offer) to Yuhan or an Affiliate designated by Yuhan, at least a number of shares of Common Stock having a value at
the IPO Price of at least $3,000,000.

 

    	 	Schedule 1.49-10	 

     

    

 

8.4       Facilitation
of Sales Pursuant to Rule 144. For as long as Yuhan or its Affiliates Beneficially Owns any Shares, to the extent it shall
be required to do so under the Exchange Act, the Company shall use commercially reasonable efforts to timely file the reports
required to be filed by it under the Exchange Act or the Securities Act (including the reports under Sections 13 and 15(d) of
the Exchange Act referred to in subparagraph (c)(1) of Rule 144), and shall use commercially reasonable efforts to take such further
necessary action as Yuhan may reasonably request in connection with the removal of any restrictive legend on the Shares being
sold at Yuhan’s cost, all to the extent required from time to time to enable such holder to sell the Shares without registration
under the Securities Act within the limitations of the exemption provided by Rule 144. Notwithstanding the foregoing, the Company
shall not have any obligations pursuant to this section during any time when a Registration Statement covering the Shares is effective.

 

9.       Conditions
to the Company’s Obligations. The obligations of the Company under Section 2 hereof are subject to the fulfillment
prior to or on the Closing Date (and with respect to Section 9.1, as of each date the Company is required to issue Shares to Yuhan
under this Agreement) of all of the following conditions, any of which may be waived in whole or in part by the Company.

 

9.1       Representations
and Warranties. The representations and warranties of Yuhan contained in this Agreement and in any certificate, if any, or
other writing, if any, delivered by Yuhan pursuant hereto shall be true and correct in all material respects on and as of the
Closing Date, and as of each date the Company is required to issue Shares under this Agreement, except those representations and
warranties qualified by materiality or Material Adverse Effect, which representations and warranties shall be true and correct
in all respects, with the same effect as though such representations and warranties had been made on and as of the Closing Date
or a Share issuance date, as applicable (except to the extent expressly made as of an earlier date, in which case as of such earlier
date).

 

9.2       Performance.
Yuhan shall have performed and complied in all material respects with all agreements, obligations and conditions contained in
this Agreement that are required to be performed or complied with it on or before the Closing.

 

9.3       License
Agreement. Each of the Company and Yuhan shall have executed and delivered the License Agreement, and the License Agreement
shall not have been terminated and shall be effective in accordance with its terms.

 

10.       Conditions
to Yuhan’s Obligations. The obligations of Yuhan under Section 2 hereof are subject to the fulfillment prior
to or on the Closing Date of all of the following conditions, any of which may be waived in whole or in part by Yuhan.

 

10.1       Representations
and Warranties. The representations and warranties of the Company contained in this Agreement and in any certificate, if any,
or other writing, if any, delivered by the Company pursuant hereto shall be true and correct in all material respects on and as
of the Closing Date, except those representations and warranties qualified by materiality or Material Adverse Effect, which representations
and warranties shall be true and correct in all respects, with the same effect as though such representations and warranties had
been made on and as of the Closing Date (except to the extent expressly made as of an earlier date, in which case as of such earlier
date).

 

    	 	Schedule 1.49-11	 

     

    

 

10.2       Performance.
The Company shall have performed and complied in all material respects with all agreements, obligations and conditions contained
in this Agreement that are required to be performed or complied with it on or before the Closing.

 

10.3       License
Agreement. Each of the Company and Yuhan shall have executed and delivered the License Agreement, and the License Agreement
shall not have been terminated and shall be effective in accordance with its terms.

 

10.4       No
Stockholder Approval Required. No approval on the part of the stockholders of the Company shall be required in connection
with the execution and delivery by the Company of this Agreement and the consummation of the Transactions.

 

10.5       Qualification
Under State Securities Laws. All registrations, qualifications, permits and approvals, if any, required to be obtained prior
to the Closing under applicable state securities laws shall have been obtained for the lawful execution, delivery and performance
of this Agreement or the other Transaction Agreements, including, without limitation, the offer and sale of the Shares.

 

10.6       Absence
of Litigation. No proceeding challenging the Transaction Agreements or the Transactions, or seeking to prohibit, alter, prevent
or materially delay the Closing, shall have been instituted by any Governmental Authority.

 

11.       Survival.
The representations and warranties contained in this Agreement shall survive the Closing of the Transactions until the date that
is two years following the date of this Agreement. The covenants and agreements contained in this Agreement shall survive Closing
of the Transactions. The rights and remedies that may be exercised by Yuhan shall not be limited or otherwise affected by or as
a result of any information furnished to, or any investigation made by or knowledge of, Yuhan or its representatives.

 

12.       Miscellaneous.

 

12.1       Governing
Law; Submission to Jurisdiction. This Agreement shall be governed by and interpreted in accordance with the laws of the state
of New York, without regard to its conflicts of laws rules. Each Party (a) irrevocably submits to the exclusive jurisdiction in
the state court sitting in New York (collectively, the “Courts”), for purposes of any action, suit or other
proceeding arising out of this Agreement, and (b) agrees not to raise any objection at any time to the laying or maintaining of
the venue of any such action, suit or proceeding in any of the Courts, irrevocably waives any claim that such action, suit or
other proceeding has been brought in an inconvenient forum and further irrevocably waives the right to object, with respect to
such action, suit or other proceeding, that such Court does not have any jurisdiction over such Party. Either Party may serve
any process required by such Courts by way of notice under this Agreement. Notwithstanding anything to the contrary in this Section
12.1, each Party shall have the right to institute judicial proceedings against the other Party or anyone acting by, through,
or under such other Party, in any court of competent jurisdiction, in order to enforce the instituting Party’s rights hereunder
through reformation of contract, specific performance, injunction, or similar equitable relief.

 

    	 	Schedule 1.49-12	 

     

    

 

12.2       No
Waiver, Modifications. It is agreed that no waiver by a Party hereto of any breach or default of any of the covenants or agreements
set forth herein shall be deemed a waiver as to any subsequent or similar breach or default. The failure of either Party to insist
on the performance of any obligation hereunder shall not be deemed a waiver of any such obligation. No amendment, modification,
waiver, release or discharge to this Agreement shall be binding upon the Parties unless in writing and duly executed by authorized
representatives of both Parties.

 

12.3       Notices.
All notices, instructions and other communications hereunder or in connection herewith shall be in writing, shall be sent to the
address specified in this Section 12.3 and shall be: (a) delivered personally; (b) sent by registered or certified mail,
return receipt requested, postage prepaid; (c) sent via a reputable nationwide overnight courier service; or (d) sent by facsimile
or other electronic transmission. Any such notice, instruction or communication shall be deemed to have been delivered upon receipt
if delivered by hand, three (3) Business Days after it is sent by registered or certified mail, return receipt requested, postage
prepaid, one (1) Business Day after it is sent via a reputable nationwide overnight courier service, or when transmitted with
confirmation of receipt, if transmitted by facsimile or other electronic transmission (if such transmission is on a Business Day;
otherwise, on the next Business Day following such transmission).

 

Notices
to the Company shall be addressed to:

 

Processa
Pharmaceuticals, Inc.

7380
Coca Cola Drive, Suite 106

Hanover,
MD 21076

Attn:
Wendy Guy, Chief Administrative Officer

Email:
wguy@processapharmaceuticals.com

 

Notices
to Yuhan shall be addressed to:

 

Yuhan
Corporation

74,
Noryangjin-ro, Dongjak-gu

Seoul,
Republic of Korea, 06927

Attention:
Taejin Yoon, Head of Global Business Development

Email:
tyoon@yuhan.co.kr

Facsimile:
82-2-828-0086

 

Yuhan
Corporation

74,
Noryangjin-ro, Dongjak-gu

Seoul,
Republic of Korea, 06927

Attention:
Ryan Ryou, Global Operations

Email:
ryan@yuhan.co.kr

Facsimile:
82-2-828-0086

 

Either
Party may change its address by giving notice to the other Party in the manner provided above.

 

12.4       Entire
Agreement. This Agreement (including all exhibits, schedules and annexes attached hereto) and the License Agreement contain
the entire agreement among the Parties with respect to the subject matter hereof and thereof and supersede all prior and contemporaneous
arrangements or understandings, whether written or oral, with respect hereto and thereto.

 

    	 	Schedule 1.49-13	 

     

    

 

12.5       Headings;
Nouns and Pronouns; Section References. Headings in this Agreement are for convenience of reference only and shall not be
considered in construing this Agreement. Whenever the context may require, any pronouns used herein shall include the corresponding
masculine, feminine or neuter forms, and the singular form of names and pronouns shall include the plural and vice-versa. References
in this Agreement to a section or subsection shall be deemed to refer to a section or subsection of this Agreement unless otherwise
expressly stated.

 

12.6       Severability.
If any provision of this Agreement is held to be illegal, invalid or unenforceable under any present or future Law, (a) such provision
shall be fully severable, (b) this Agreement shall be construed and enforced as if such illegal, invalid or unenforceable provision
had never comprised a part hereof, (c) the remaining provisions of this Agreement shall remain in full force and effect and shall
not be affected by the illegal, invalid or unenforceable provision or by its severance herefrom, and (d) in lieu of such illegal,
invalid or unenforceable provision, the Parties shall negotiate in good faith a substitute legal, valid and enforceable provision
as similar in terms to such illegal, invalid or unenforceable provision as possible and as reasonably acceptable to the Parties.

 

12.7       Assignment.
Except for an assignment by Yuhan of this Agreement or any rights hereunder to an Affiliate or Permitted Transferee (which assignment
will not relieve Yuhan of any obligation hereunder), neither this Agreement nor any of the rights or obligations hereunder may
be assigned by either Yuhan or the Company without (a) the prior written consent of Company in the case of any assignment by Yuhan
or (b) the prior written consent of Yuhan in the case of an assignment by the Company.

 

12.8       Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties hereto and their respective successors
and permitted assigns.

 

12.9       Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed an original but which together shall constitute
one and the same instrument. In the event that any signature is delivered by facsimile transmission or by an e-mail which contains
a portable document format (.pdf) file of an executed signature page, such executed signature page shall create a valid and binding
obligation of the Party executing it (or on whose behalf such signature page is executed) with the same force and effect as if
such executed signature page were an original thereof.

 

12.10       Third
Party Beneficiaries. None of the provisions of this Agreement shall be for the benefit of or enforceable by any Third Party,
including any creditor of any Party hereto, except that each Affiliate of Yuhan is an express third party beneficiary entitled
to enforce this Agreement directly against the Company. No Third Party shall obtain any right under any provision of this Agreement
or shall by reason of any such provision make any claim in respect of any debt, liability or obligation (or otherwise) against
any Party hereto.

 

    	 	Schedule 1.49-14	 

     

    

 

12.11       No
Strict Construction. This Agreement has been prepared jointly and will not be construed against either Party. No presumption
as to construction of this Agreement shall apply against either Party with respect to any ambiguity in the wording of any provision(s)
of this Agreement irrespective of which Party may be deemed to have authored the ambiguous provision(s).

 

12.12       Remedies.
The rights, powers and remedies of the Parties under this Agreement are cumulative and not exclusive of any other right, power
or remedy which such Parties may have under any other Contract or Law. No single or partial assertion or exercise of any right,
power or remedy of a Party hereunder shall preclude any other or further assertion or exercise thereof. The Parties hereby acknowledge
and agree that the rights of the Parties hereunder are special, unique and of extraordinary character, and that if any Party refuses
or otherwise fails to act, or to cause its Affiliates to act, in accordance with the provisions of this Agreement, such refusal
or failure would result in irreparable injury to the Company or Yuhan as the case may be, the exact amount of which would be difficult
to ascertain or estimate and the remedies at law for which would not be reasonable or adequate compensation. Accordingly, if any
Party refuses or otherwise fails to act, or to cause its Affiliates to act, in accordance with the provisions of this Agreement,
then, in addition to any other remedy which may be available to any damaged Party at law or in equity, such damaged Party will
be entitled to seek specific performance and injunctive relief, without posting bond or other security, and without the necessity
of proving actual or threatened damages, which remedy such damaged Party will be entitled to seek in any court of competent jurisdiction.

 

12.13       Expenses.
Each Party shall pay its own fees and expenses in connection with the preparation, negotiation, execution, delivery and performance
of the Transaction Agreements.

 

12.14       WAIVER
OF JURY TRIAL. IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER PARTY, THE PARTIES
EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY, IRREVOCABLY
AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY.

 

12.15       Equitable
Adjustments. The number of Shares issuable pursuant to this Agreement shall be adjusted equitably in the event of any stock
split, dividend, corporate reorganization or similar transaction.

 

[Signature
Page Follows]

 

    	 	Schedule 1.49-15	 

     

    

 

IN
WITNESS WHEREOF, the Parties have executed and delivered this Agreement as of the date first above written.

 

	 	Processa
    Pharmaceuticals, Inc.
	 	 
	 	By:	
	 	Name:	David
    Young
	 	Title:	CEO
	 	 	 
	 	Yuhan
    Corporation
	 	 	 
	 	By:	
	 	Name:	Jung
    Hee Lee
	 	Title:	CEO
    and President

 

Signature
Page to Share Issuance Agreement

 

    	 	 	 

     

    

 

Appendix
1

 

Registration
Rights

 

1.       Resale
Registration.

 

1.1       At
any time following the date that is 180 days after the Planned Public Offering, upon Yuhan’s written request following the
issuance of the Initial Shares, the Additional Shares, or the Milestone Shares, as applicable, the Company will file a Shelf Registration
Statement registering for resale the Registrable Securities under the Securities Act. The Company shall use its commercially reasonable
efforts to cause such Shelf Registration Statement to become effective as promptly as practicable after filing. Until the earlier
of such time as (i) all Registrable Securities included in such Shelf Registration Statement cease to be Registrable Securities
or (ii) the Company is no longer eligible to maintain a Shelf Registration Statement, the Company will keep current and effective
such Shelf Registration Statement and file such supplements or amendments to such Shelf Registration Statement (or file a new
Shelf Registration Statement when such preceding Shelf Registration Statement expires pursuant to the rules of the SEC) as may
be necessary or appropriate in order to keep such Shelf Registration Statement continuously effective and useable for the resale
of Registrable Securities under the Securities Act. For avoidance of doubt, this requirement to register the shares shall not
require the Company to file a registration statement for Yuhan to sell its share in an underwritten offering.

 

1.2       If
the filing, initial effectiveness or continued use of the Shelf Registration Statement at any time would require the Company to
make a public disclosure of material non-public information that the Company has a bona fide business purpose for not disclosing
publicly at such time, the Company may, upon giving prompt written notice of such action to Yuhan, delay the filing or initial
effectiveness of, or suspend use of, the Shelf Registration Statement (a “Suspension”); provided,
however, that the Company shall not be permitted to exercise a Suspension more than once during any twelve (12) month period
for a period not to exceed sixty (60) days. In the case of a Suspension, Yuhan agrees to suspend use of the applicable Prospectus
in connection with any sale or purchase, or offer to sell or purchase, Shares, upon receipt of the notice referred to above. The
Company shall immediately notify Yuhan in writing upon the termination of any Suspension, amend or supplement the Prospectus,
if necessary, so it does not contain any untrue statement or omission and furnish to Yuhan such numbers of copies of the Prospectus
as so amended or supplemented as Yuhan may reasonably request. The Company shall, if necessary, supplement or amend the Shelf
Registration Statement, if required by law or as may reasonably be requested by Yuhan.

 

2.       Information.
The Company may require Yuhan to furnish to the Company such information regarding the distribution of the Shares and such other
information relating to Yuhan and its ownership of Shares as the Company may from time to time reasonably request in writing to
the extent that such information is required to be included in the Shelf Registration Statement.

 

    	i

     

    

 

3.       Expenses.
All expenses incident to the registration of the Shares shall be paid by the Company, including (a) all registration and filing
fees, and any other fees and expenses associated with filings required to be made with the SEC or Financial Industry Regulatory
Authority, (b) all fees and expenses in connection with compliance with any securities or “Blue Sky” laws, (c) all
fees and disbursements of counsel for the Company and of all independent certified public accountants or independent auditors
of the Company and any of its Subsidiaries (including the expenses of any special audit and comfort letters required by or incident
to such performance), (d) Securities Act liability insurance or similar insurance if the Company so desires, (e) all fees and
expenses incurred in connection with the listing of the Shares on any securities exchange or quotation of the Shares on any inter-dealer
quotation system, (f) all fees and expenses of any special experts or other Persons retained by the Company in connection with
any registration, and (g) all of the Company’s internal expenses (including all salaries and expenses of its officers and
employees performing legal or accounting duties). For the avoidance of doubt, the Company shall not be required to register the
Shares for an underwritten public offering by Yuhan and will not be responsible for any underwriting discounts and commissions
and transfer Taxes, if any, attributable to the sale of the Shares.

 

4.       Notice.
The Company shall notify Yuhan immediately upon (a) any request by the SEC or any other Federal or state Governmental Authority
for amendments or supplements to a Shelf Registration Statement or for additional information that pertains to Yuhan as a selling
stockholder; (b) the issuance by the SEC of any stop order suspending the effectiveness of the Shelf Registration Statement
or any order by the SEC or any other regulatory authority preventing or suspending the use of any Prospectus or the initiation
or threatening of any proceedings for such purposes, (c) receipt by the Company of any notification with respect to the suspension
of the qualification of the Shares for offering or sale in any jurisdiction or the initiation or threatening of any proceeding
for such purpose, or (d) the Company becoming aware that the Shelf Registration Statement or the related Prospectus contains any
untrue statement of a material fact or omits to state a material fact necessary to make the statements therein (in the case of
such Prospectus, in light of the circumstances under which they were made) not misleading.

 

5.       Indemnification.

 

5.1       To
the extent permitted by Law, the Company will indemnify and hold harmless Yuhan, its officers, directors, agents, partners, members,
stockholders and employees, as applicable, and each Person who controls Yuhan (within the meaning of the Securities Act or the
Exchange Act), and the officers, directors, agents, partners, members, stockholders and employees of each such controlling Person,
from and against any and all losses, claims, liabilities, damages, deficiencies, assessments, fines, judgments, fees, costs (including,
without limitation, reasonable costs of preparation and reasonable attorneys’ fees) and expenses (collectively “Losses”)
(joint or several), as incurred, to which they may become subject under the Securities Act, the Exchange Act or other federal
or state law, insofar as such Losses (or actions in respect thereof) arise out of, relate to, or are based upon any of the following
statements, omissions or violations (collectively a “Violation”) by the Company: (a) any untrue statement
or alleged untrue statement of a material fact contained in the Shelf Registration Statement or incorporated by reference therein,
including any Prospectus contained therein or any amendments or supplements thereto, (b) the omission or alleged omission to state
therein a material fact required to be stated therein, or necessary to make the statements therein not misleading, or (c) any
violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities Law, or any rule or
regulation promulgated under the Securities Act, the Exchange Act or any state securities Law in connection with the Shelf Registration
Statement; and the Company will reimburse each such indemnified party for any legal or other expenses reasonably incurred by them
in connection with investigating or defending any such Loss or action if it is judicially determined that there was such a Yuhan
Violation; provided however, that the indemnity agreement contained in this Section 5.1 will not apply to amounts
paid in settlement of any such Loss or action if such settlement is effected without the Company’s consent, nor will the
Company be liable in any such case for any such Loss to the extent that it arises out of or is based upon a Violation which occurs
in reliance upon and in conformity with written information furnished by Yuhan and stated to be expressly for use in connection
with the Shelf Registration Statement or an applicable Prospectus.

 

    	ii

     

    

 

5.2       To
the extent permitted by Law, Yuhan will indemnify and hold harmless the Company and each of its directors and its officers against
any Losses (joint or several) to which the Company or any such director, officer, controlling Person, Underwriter or other Third
Party who may become subject under the Securities Act, the Exchange Act or other federal or state law, insofar as such Losses
(or actions in respect thereto) arise out of or are based upon any of the following statements: (a) any untrue statement or alleged
untrue statement of a material fact contained in any Registration Statement or any other document incorporated reference therein,
including any preliminary Prospectus or final Prospectus contained therein or any amendments or supplements thereto, or (b) the
omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements
therein not misleading (collectively, a “Yuhan Violation”), in each case to the extent (and only to
the extent) that such Yuhan Violation occurs in reliance upon and in conformity with written information furnished by Yuhan under
an instrument duly executed by Yuhan; and Yuhan will reimburse any legal or other expenses reasonably incurred by the Company
or any such director, officer, controlling Person, Underwriter or other Third Party in connection with investigating or defending
any such Loss or action if it is judicially determined that there was such a Yuhan Violation; provided, however,
that the indemnity agreement contained in this Section 5.2 will not apply to amounts paid in settlement of any such
Loss or action if such settlement is effected without Yuhan’s consent; provided, further that the obligations of Yuhan hereunder
shall be limited to an amount equal to the net proceeds it receives in such Registration.

 

5.3       Promptly
after receipt by an indemnified party under this Section 5 of notice of the commencement of any action (including any governmental
action), such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section
5, deliver to the indemnifying party a written notice of the commencement thereof and the indemnifying party will have the
right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly
noticed, to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that
an indemnified party will have the right to retain its own counsel, with the fees and expenses thereof to be paid by the indemnifying
party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due
to actual or potential differing interests between such indemnified party and any other party represented by such counsel in such
proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any
such action will relieve such indemnifying party of any liability to the indemnified party under this Section 5 to the
extent, and only to the extent, prejudicial to its ability to defend such action, but the omission so to deliver written notice
to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise than under
this Section 5.

 

    	iii

     

    

 

5.4       If
the indemnification provided for in this Section 5 is held by a court of competent jurisdiction to be unavailable to an
indemnified party with respect to any Losses referred to herein, the indemnifying party, in lieu of indemnifying such indemnified
party thereunder, will to the extent permitted by applicable Law contribute to the amount paid or payable by such indemnified
party as a result of such Loss in such proportion as is appropriate to reflect the relative fault of the indemnifying party, on
the one hand, and of the indemnified party, on the other, in connection with the Violation(s) or Yuhan Violation(s), as applicable,
that resulted in such Loss, as well as any other relevant equitable considerations. The relative fault of the indemnifying party
and of the indemnified party will be determined by a court of law by reference to, among other things, whether the untrue or alleged
untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying
party or by the indemnified party and the parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such statement or omission; provided, however, that the obligations of Yuhan hereunder shall
be limited to an amount equal to the net proceeds it receives in such Registration; and provided, further, that
no Person guilty of fraudulent misrepresentation within the meaning of Section 11(f) of the Securities Act, shall be entitled
to contribution from any Person who was not guilty of such fraudulent misrepresentation.

 

5.5       The
obligations of the Company and Yuhan under this Section 5 will survive termination of this Agreement and the expiration
or withdrawal of the Shelf Registration Statement. No indemnifying party, in the defense of any such claim or litigation, will,
except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement which does not
include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all
liability in respect to such claim or litigation.

 

    	iv

     

    

 

Schedule
1.57

Yuhan Patent Rights

 

Current
as of August 12, 2020

 

	Patent	 	Description	 	Country	 	Application
        No.

        (Date)
	 	Registration
        No.

        

        (Date)
	 	Status
	Compound	 	Diaminopyrimidine derivatives and
    processes for the preparation thereof	 	KR	 	10-2012-0018933

        

        (2012-02-24)
	 	10-1671348

        

        (2016-10-26)
	 	Granted
	 	 	PCT	 	PCT/KR2012/001427

        

        (2012-02-24)
	 	WO2012-115480

        

        (2012-08-30)
	 	-
	 	 	US	 	14/001,489

        

        (2012-02-24)
	 	9,890,138

        

        (2018-02-13)
	 	Granted
	 	 	US(Div)	 	15/848,760

        

        (2012-02-24)
	 	10,227,330

        

        (2019-03-12)
	 	Granted
	 	 	EP	 	12750114.6

        

        (2012-02-24)
	 	2678332

        

        (2016-05-18)
	 	Granted
	 	 	JP	 	2013-555369

        

        (2012-02-24)
	 	5890436

        

        (2016-02-26)
	 	Granted
	 	 	CN	 	201280010406.7

        

        (2012-02-24)
	 	103402997

        

        (2015-08-26)
	 	Granted
	 	 	HK	 	14101293.6

        

        (2012-02-24)
	 	1188215

        

        (2016-02-26)
	 	Granted
	 	 	AU	 	2012221927

        

        (2012-02-24)
	 	2012221927

        

        (2016-08-11)
	 	Granted
	 	 	CA	 	2,827,030

        

        (2012-02-24)
	 	2,827,030

        

        (2019-01-08)
	 	Granted
	 	 	BR	 	11
        2013 020641 1

        

        (2012-02-24)
	 	 	 	Pending
	 	 	MX	 	13/09549

        

        (2012-02-24)
	 	337477

        

        (2016-03-07)
	 	Granted

 

    	Schedule 1.57-1

    	 

    

 

	 	 	 	 	IN	 	1520/MUMNP/2013

        

        (2012-02-24)
	 	 	 	Pending
	 	 	RU	 	2013142187

        

        (2012-02-24)
	 	2587493

        

        (2016-05-25)
	 	Granted
	Compound (backup1)	 	Diaminopyrimidine derivatives and
    processes for the preparation thereof	 	KR	 	10-2012-0018926

        

        (2012-02-24)
	 	10-1671341

        

        (2016-10-26)
	 	Granted
	 	 	PCT	 	PCT/KR2012/001423

        

        (2012-02-24)
	 	WO2012-115478

        

        (2012-08-30)
	 	-
	 	 	US	 	14/001,475

        

        (2012-02-24)
	 	9,850,227

        

        (2017-12-26)
	 	Granted
	 	 	US(Div)	 	15/813,741

        

        (2012-02-24)
	 	10,640,490

        

        (2020-05-05)
	 	Granted
	 	 	EP	 	12749916.8

        

        (2012-02-24)
	 	2678331

        

        (2016-04-27)
	 	Granted
	 	 	JP	 	2013-555368

        

        (2012-02-24)
	 	5980236

        

        (2016-08-05)
	 	Granted
	 	 	CN	 	201280010354.3

        

        (2012-02-24)
	 	103391935

        

        (2015-12-23)
	 	Granted
	 	 	HK	 	14101278.5

        

        (2012-02-24)
	 	1188214

        

        (2016-11-18)
	 	Granted
	 	 	AU	 	2012221925

        

        (2012-02-24)
	 	2012221925

        

        (2016-08-18)
	 	Granted
	 	 	CA	 	2,827,072

        

        (2012-02-24)
	 	2,827,072

        

        (2019-01-08)
	 	Granted
	 	 	BR	 	11
        2013 019942 3

        

        (2012-02-24)
	 	 	 	Pending
	 	 	MX	 	13/09627

        

        (2012-02-24)
	 	336155

        

        (2016-01-07)
	 	Granted
	 	 	IN	 	1519/MUMNP/2013

        

        (2012-02-24)
	 	329365

        

        (2020-01-14)
	 	Granted
	 	 	RU	 	2013142188

        

        (2012-02-24)
	 	2587981

        

        (2016-06-02)
	 	Granted

 

    	Schedule 1.57-2

    	 

    

 

	Compound (backup2)	 	Diaminopyrimidine
    derivatives and processes for the preparation thereof	 	KR	 	10-2011-0016986

        

        (2011-02-25)
	 	10-1682417

        

        (2016-11-29)
	 	Granted
	 	 	PCT	 	PCT/KR2012/001425

        

        (2012-02-24)
	 	WO2012-115479

        

        (2012-08-30)
	 	-
	Compound (backup3)	 	Bicyclic derivatives containing
    pyrimidine ring and processes for the preparation thereof	 	KR	 	10-2013-0058843

        

        (2013-05-24)
	 	10-1657616

        

        (2016-09-08)
	 	Granted
	 	 	PCT	 	PCT/KR2014/004636

        

        (2014-05-23)
	 	WO2014-189331

        

        (2014-11-27)
	 	-
	Process	 	Novel processes for preparing a
    diaminopyrimidine derivative or acid addition salt thereof	 	KR	 	10-2018-0057088

        

        (2018-05-18)
	 		 	Pending
	 	 	PCT	 	PCT/KR2019/005859

        

        (2019-05-16)
	 	WO2019-221522

        

        (2019-11-21)
	 	-
	Formulation	 	Pharmaceutical compositions comprising a diaminopyrimidine
    derivative or pharmaceutically acceptable salt thereof and processes for preparing the same	 	KR	 	10-2020-0084595

        

        (2020-07-09)
	 	 	 	Pending

 

    	Schedule 1.57-3

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