Document:

exhibit_10-1.htm

EXHIBIT 10.1

 

KEY EMPLOYEES’ DEFERRED COMPENSATION PROGRAM OF

 

THE BRINK’S COMPANY

 

(Amended and Restated as of July 10, 2014)

 

 

 

PREAMBLE

 

The Key Employees’ Deferred Compensation Program of The Brink’s Company, as amended and restated (the “Program”), provides an opportunity to certain employees to defer receipt of (a) up to 90% of their cash incentive payments awarded under the Key Employees Incentive Plan of The Brink’s Company; (b) up to 50% of their base salary; (c) any or all amounts that are prevented from being deferred as a matched contribution under The Brink’s Company 401(k) Plan as a result of limitations imposed by Sections 401(a)(17), 401(k)(3), 402(g) and 415 of the Internal Revenue Code of 1986, as amended (the “Code”); (d) all or part of their amounts payable under The Brink’s Company Management Performance Improvement Plan; and (e) any and all other amounts that the Committee (as defined below), in its sole discretion, shall allow.

 

In order to align the interests of participants more closely to the long term interests of The Brink’s Company (the “Company”) and its shareholders, the Program also (a) provides matching contributions with respect to certain cash incentive awards and salary deferrals for certain participants designated by the Committee and (b) allocates under the Program an amount equivalent to matching contributions that are not eligible to be made under The Brink’s Company 401(k) Plan as a result of limitations imposed by Code Section 401(m)(2).

 

The Program is an unfunded plan maintained primarily for the purpose of providing deferred compensation for a select group of management or highly compensated employees, within the meaning of Section 201(2) of the Employee Retirement Income Security Act of 1974, as amended.

 

ARTICLE 1 

 

Definitions

 

Section 1.01. Definitions.

 

Wherever used in the Program, the following terms shall have the meanings indicated:

 

“409A Change in Control” A Change in Control that also constitutes a “change in the ownership of the Company”, “change in the effective control of the Company”, and/or a “change in the ownership of a substantial portion of the Company’s assets”, in each case, within the meaning of Treasury Regulation Section 1.409A-3(i)(5) or such other regulation or guidance issued under Code Section 409A.

 

“Board”  The Board of Directors of the Company.

 

 

  

 

  

 

“Brink’s Stock”  The Brink’s Company Common Stock, par value $1.00 per share.

 

“Cause”  (a) Embezzlement, theft or misappropriation by the Employee of any property of the Company, (b) the Employee’s willful breach of any fiduciary duty to the Company, (c) the Employee’s willful failure or refusal to comply with laws or regulations applicable to the Company and its business or the policies of the Company governing the conduct of its employees, (d) the Employee’s gross incompetence in the performance of the Employee’s job duties, (e) commission by the Employee of a felony or of any crime involving moral turpitude, fraud or misrepresentation, (f) the failure of the Employee to perform duties consistent with a commercially reasonable standard of care or (g) any gross negligence or willful misconduct of the Employee resulting in a loss to the Company.

 

“Change in Control”  The occurrence of:

 

(a) (i) any consolidation or merger of the Company in which the Company is not the continuing or surviving corporation or pursuant to which the shares of Brink’s Stock would be converted into cash, securities or other property other than a consolidation or merger in which holders of the total voting power in the election of directors of the Company of Brink’s Stock outstanding (exclusive of shares held by the Company’s affiliates) (the “Total Voting Power”) immediately prior to the consolidation or merger will have the same proportionate ownership of the total voting power in the election of directors of the surviving corporation immediately after the consolidation or merger, or (ii) any sale, lease, exchange or other transfer (in one transaction or a series of transactions) of all or substantially all the assets of the Company; provided, however, that with respect to any Units credited to an Employee’s Pre-2015 Stock Incentive Account as of November 16, 2007 that are attributable to Matching Incentive Contributions, Matching Salary Contributions or dividends related thereto, a “Change in Control” shall be deemed to occur upon the approval of the shareholders of the Company (or if such approval is not required, the approval of the Board) of any of the transactions set forth in clauses (i) or (ii) of this sub-paragraph (a);

 

(b) any “person” (as defined in Section 13(d) of the Securities Exchange Act of 1934, as amended (the “Act”)) other than the Company, its affiliates or an employee benefit plan or trust maintained by the Company or its affiliates, becomes the “beneficial owner” (as defined in Rule 13d-3 under the Act), directly or indirectly, of more than 20% of the Total Voting Power; or

 

(c) at any time during a period of two consecutive years, individuals who at the beginning of such period constituted the Board cease for any reason to constitute at least a majority thereof, unless the election by the Company’s shareholders of each new director during such two-year period was approved by a vote of at least two-thirds of the directors then still in office who were directors at the beginning of such two-year period.

 

  

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 “Committee”  The Compensation and Benefits Committee of the Board   or such other committee as may be designated by the Board.

 

 “Disability”  Unless otherwise required by Code Section 409A and the regulations or guidance thereunder, an Employee shall be deemed to be disabled if the Employee meets at least one of the following requirements: (a) the Employee is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months or (b) the Employee is, by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than three months under a disability benefit plan covering employees of the Company.

 

“Employee”  Any individual who is in the employ of the Company or a Subsidiary who is designated by the Committee to participate in the Program.

 

“Equity Incentive Plan”  The Brink’s Company 2013 Equity Incentive Plan, as the same may be amended from time to time, and any predecessor or successor plan thereto.

 

“Foreign Subsidiary”  Any corporation that is not incorporated in the United States of America of which more than 80% of the outstanding voting stock is owned directly or indirectly by the Company, by the Company and one or more Subsidiaries and/or Foreign Subsidiaries or by one or more Subsidiaries and/or Foreign Subsidiaries.

 

“Incentive Accounts”  An Employee’s Incentive Accounts refers to an Employee’s Cash Incentive Account and Stock Incentive Accounts (each as defined in Section 2.03).

 

 “Retirement”  With respect to any Employee, any Termination of Employment of such Employee on or after the date on which the Employee has (i) attained age 65 and completed at least five years of service with the Company or any of its Subsidiaries or (ii) attained age 55 and completed at least ten years of service with the Company or any of its Subsidiaries; provided that the Employee’s employment is not terminated for Cause.

 

“Salary”  The base salary, as in effect from time to time, paid to an Employee by the Company, a Subsidiary or a Foreign Subsidiary for personal services determined prior to giving effect to any salary reduction pursuant to an employee benefit plan as defined in Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended (i) to which Code Section 125 or 402(e)(3) applies or (ii) which provides for the elective deferral of compensation (including, but not limited to, reductions for contributions to the Savings Plan (as defined in Section 5.01)).

 

“Shares”  Brink’s Stock.

 

  

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“Subsidiary”  Any corporation incorporated in the United States of America of which more than 80% of the outstanding voting stock is owned directly or indirectly by the Company, by the Company and one or more Subsidiaries or by one or more Subsidiaries.

 

“Termination of Employment”  An Employee’s “Termination of Employment” under the Program shall occur when the Employee ceases to provide services to the Company or any of its affiliates in any capacity or when the Employee continues to provide services to the Company or any of its affiliates whether as an employee or independent contractor, but such continued services in the aggregate do not exceed 49% of the level of services the Employee provided to the Company and its affiliates prior to such decrease in the level of services provided by the Employee to the Company and its affiliates, all as determined in accordance with the Treasury Regulations under Code Section 409A; provided, however, no employee of any Subsidiary shall be considered to experience a Termination of Employment as a result of a spinoff of such Subsidiary from the Company, except as may be permitted under Code Section 409A.

 

“Unforeseeable Emergency”  A severe financial hardship of an Employee resulting from (a) an illness or accident of the Employee, the Employee’s spouse, the Employee’s beneficiary or the Employee’s dependent (as defined in Code Section 152 without regard to paragraphs (b)(1), (b)(2) and (d)(1)(b) thereof), (b) loss of the Employee’s property due to casualty or (c) other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Employee, all as determined by the Committee based on the relevant facts and circumstances in a manner consistent with Treasury Regulation Section 1.409A-3(i)(3).

 

“Unit”  The equivalent of one share of Brink’s Stock credited to an Employee’s Stock Incentive Accounts.

 

“Year”  With respect to the benefits provided pursuant to Articles 3, 4, 5 and 6, the calendar year; provided, however that if a newly-hired Employee becomes eligible to participate in the benefits provided pursuant to Articles 4 and/or 5, on a day other than the first day of the Year, the Year for purposes of Articles 4 and 5 shall be the portion of the calendar year during which the Employee is first eligible to participate in the benefits provided thereunder.

 

ARTICLE 2        

 

Available shares; Administration; Accounts; Other Deferrals

 

Section 2.01. Available Shares.  The maximum number of Shares available for issuance under the Program is subject to, and shall be counted against, the maximum number of Shares available for issuance under the Equity Incentive Plan.  Each Unit standing to the credit of an Employee’s Stock Incentive Accounts shall be counted against the maximum Share limit under the Equity Incentive Plan in the manner set forth under the Equity Incentive Plan.  Notwithstanding the foregoing, this Section 2.01 shall

 

  

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only apply to Units credited to an Employee’s Stock Incentive Accounts on or after May 7, 2010.

 

Section 2.02. Administration.  The Committee is authorized to construe the provisions of the Program and to make all determinations in connection with the administration of the Program including, but not limited to, the Employees who are eligible to participate in the benefits provided under Articles 3, 4 or 5.  All such determinations made by the Committee shall be final, conclusive and binding on all parties, including Employees participating in the Program.  All authority of the Committee provided for in, or pursuant to, the Program may also be exercised by the Board.  In the event of any conflict or inconsistency between determinations, orders, resolutions or other actions of the Committee and the Board taken in connection with the Program, the actions of the Board shall control.  In addition, other than with respect to the Share counting provision addressed by Section 2.01 above, in the event of any conflict or inconsistency between the provisions of the Program and the provisions of the Equity Incentive Plan, the provisions of the Program shall control.

 

Section 2.03. Accounts.  Effective July 10, 2014, the Company shall maintain a Pre-2015 Stock Incentive Account and, once established pursuant to Article 3, 4 or 5, a Post-2014 Stock Incentive Account for each Employee selected for participation in the Program (together, the “Stock Incentive Accounts”).  An Employee’s Pre-2015 Stock Incentive Account shall document the amounts deferred under the Program by such Employee and any other amounts credited hereunder that are converted into or credited as Units, with respect to which a deferral election was made by the applicable Employee prior to January 1, 2014.  An Employee’s Post-2014 Stock Incentive Account shall document the amounts deferred under the Program by such Employee and any other amounts credited hereunder that are converted into and credited as Units with respect to which a deferral election was made by the applicable Employee on or after July 10, 2014.  Effective July 10, 2014, the Company shall maintain, once established pursuant to Article 3, 4 or 5, a Cash Incentive Account for each Employee selected for participation in the Program (the “Cash Incentive Account”).  An Employee’s Cash Incentive Account shall document the amounts deferred under the Program by such Employee and any other amounts credited hereunder, with respect to which a deferral election was made by the applicable Employee on or after July 10, 2014, other than amounts converted to Units and credited to such Employee’s Post-2014 Stock Incentive Account.

 

Section 2.04. Deferral of Other Amounts.  In addition to the deferral opportunities provided for in Articles 3, 4, 5 and 6 below, an Employee may also defer any and all other amounts that the Committee, in its sole discretion, shall allow.  The terms and conditions applicable to deferrals of such amounts shall be set forth in the applicable agreement between the Employee and the Company providing for such deferrals.

 

  

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ARTICLE 3       

 

Deferral of Cash Incentive Payments

 

Section 3.01. Definitions.  Whenever used in the Program, the following terms shall have the meanings indicated:

 

“Cash Incentive Payment”  A cash incentive payment awarded to an Employee for any Year under the Incentive Plan.  Notwithstanding anything contained herein to the contrary, any compensation, bonuses or incentive payments approved by the Committee payable pursuant to The Brink’s Company Management Performance Improvement Plan, and any special recognition bonus payable to any highly compensated employees, shall be excluded for purposes of defining or determining the Cash Incentive Payment for which an Employee may make an elective deferral, and for which Matching Incentive Contributions (as defined below) are made, pursuant to the terms of the Program.

 

“Incentive Plan”  The Key Employees Incentive Plan of The Brink’s Company, as in effect from time to time or any successor thereto.

 

“Matching Incentive Contributions”  Matching contributions allocated to an Employee’s Stock Incentive Accounts pursuant to Section 3.04.

 

Section 3.02. Eligibility.  The Committee shall determine on an annual basis for each Year which Employees (a) may participate in the benefits provided pursuant to this Article 3 and (b) shall be eligible to receive a Matching Incentive Contribution benefit provided pursuant to this Article 3.

 

Section 3.03. Deferral of Cash Incentive Payments.  Each Employee whom the Committee has selected to be eligible to defer a Cash Incentive Payment for any Year pursuant to this Article 3 may make an election to defer an amount, expressed as a percentage from 10% to 90%, of such Cash Incentive Payment which may be made to him or her for such Year.  Such Employee’s election for such Year shall be made prior to the beginning of the Year with respect to which the Cash Incentive Payment is earned (and as otherwise permitted under Treasury Regulation Section 1.409A-2(a)) by filing a deferral election form with the Company.  Such deferral election form shall include the Employee’s written election as to time and form of distribution of such deferred amounts in accordance with Article 8.  A Cash Incentive Account and/or Post-2014 Stock Incentive Account (which may be the same such accounts established pursuant to Articles 4 and/or 5) shall be established for each Employee making such election, and cash and/or Units, as applicable, in respect of such deferred amounts shall be credited to such accounts as provided in Section 3.05 below.

 

Section 3.04. Matching Incentive Contributions.  Each Employee who has been designated by the Committee as eligible to receive Matching Incentive Contributions for any Year pursuant to Section 3.02, and who has deferred a percentage of his or her Cash Incentive Payment for such Year pursuant to Section 3.03, shall have a Matching Incentive Contribution allocated to his or her Post-2014 Stock Incentive Account for

 

  

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such Year.  The amount of such Matching Incentive Contribution for any Year shall be equal to the portion of his or her Cash Incentive Payment that he or she has elected to defer for such Year but not in excess of 10% of his or her Cash Incentive Payment.  The dollar amount of each Employee’s Matching Incentive Contributions deferred to his or her Post-2014 Stock Incentive Account shall be converted into Units and credited to such Post-2014 Stock Incentive Account as provided in Section 3.05 below.

 

Section 3.05. Crediting of Cash and Stock Incentive Accounts.  The amount of an Employee’s deferred Cash Incentive Payment for any Year shall be credited to such Employee’s Cash Incentive Account as of the last day of the month in which the non-deferred portion of the Cash Incentive Payment was made, and each Employee may, in a manner compliant with Treasury Regulation Section 1.409A-1(o), elect one or more investment options selected by the Company, in its sole discretion, for the purpose of crediting or debiting additional amounts to such deferred amount (each such investment option, an “Eligible Investment Option”); provided, however, if such Employee elects to invest his or her deferred Cash Incentive Payment for any Year in Units, or fails to make a timely investment election (as prescribed by the Committee) with respect to such deferred Cash Incentive Payment, the portion of the Employee’s deferred Cash Incentive Payment so invested in Units or with respect to which a timely investment election was not made shall instead be converted to Units and credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which the Cash Incentive Payment was made. The amount of an Employee’s Matching Incentive Contributions for any Year shall be converted to Units and credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which the non-deferred portion of the applicable Cash Incentive Payment was made.

 

The number (computed to at least the second decimal place) of Units credited to an Employee’s Post-2014 Stock Incentive Account for any Year shall be determined by dividing the aggregate amount of the Cash Incentive Payment deferred to such Employee’s Post-2014 Stock Incentive Account for such Year under this Section 3.05 or the Matching Incentive Contributions for such Year, as applicable, by the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day of the month in which the Cash Incentive Payment was made.

 

Section 3.06. Adjustments.  The Committee shall determine such equitable adjustments in the Units credited to each Stock Incentive Account as may be appropriate to reflect any stock split, stock dividend, recapitalization, merger, consolidation, reorganization, combination, or exchange of shares, split-up, split-off, spin-off, liquidation or other similar change in capitalization or any distribution to shareholders other than cash dividends.

 

Section 3.07. Dividends and Distributions.  Whenever a cash dividend or any other distribution is paid with respect to shares of Brink’s Stock, the Stock Incentive Accounts of each Employee will be credited with an additional number of Units, equal to the number of shares of Brink’s Stock, including fractional shares (computed to at least the second decimal place), that could have been purchased had such dividend or other 

 

  

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distribution been paid to the applicable Stock Incentive Account on the payment date for such dividend or distribution based on the number of Shares represented by Units in such Stock Incentive Account as of such date and assuming the amount of such dividend or value of such distribution had been used to acquire additional Units.  Such additional Units shall be deemed to be purchased: (1) at the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the payment date for the dividend or other distribution for Units credited on or after January 1, 2015; and (2) at the average of the high and low per share quoted sale prices of Brink’s Stock, as reported on the New York Stock Exchange Composite Transaction Tape on the payment date for the dividend or other distribution for Units credited prior to January 1, 2015.  The value of any distribution in property will be determined by the Committee.

 

Section 3.08. Minimum Distribution.  Distributions shall be made in accordance with Article 8; provided, however, that the aggregate value of the Brink’s Stock distributed to an Employee (or his or her beneficiaries) attributable to deferrals of Cash Incentive Payments otherwise payable in respect to services rendered prior to January 1, 2007 (including dividends relating to such Units but not Matching Incentive Contributions) shall not be less than the aggregate amount of Cash Incentive Payments and dividends (credited to his or her Pre-2015 Stock Incentive Account pursuant to Section 3.07) in respect of which such Units were initially so credited.  The value of the Brink’s Stock, so distributed shall be considered equal to the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution.

 

ARTICLE 4     

 

Deferral of Salary

 

Section 4.01. Definitions.  Wherever used in the Program, the following term shall have the meaning indicated:

 

“Matching Salary Contributions”  Matching contributions allocated to an Employee’s Incentive Accounts pursuant to Section 4.04.

 

Section 4.02. Eligibility.  The Committee shall determine on an annual basis for each Year which Employees (a) may participate in the benefits provided pursuant to this Article 4 and (b) shall be eligible to receive a Matching Salary Contribution benefit provided for pursuant to this Article 4.

 

Section 4.03. Deferral of Salary.  Each Employee who is eligible to defer Salary for any Year pursuant to this Article 4 may elect to defer an amount, expressed as a percentage, from 5% to 50% of his or her Salary for such Year; provided, however, that in the case of an Employee who first becomes eligible to participate in this portion of the Program after January 1 of such Year, only Salary earned (from 5% to 50%) after he or she files a deferral election with the Company may be deferred.  Such Employee’s election hereunder for any Year shall be made prior to the later of (a) the first day of such Year or (b) the expiration of the 30 day period following (and including) his or her 

 

  

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initial date of becoming eligible to participate in the Plan, or as otherwise required under Treasury Regulation Section 1.409A-2(a), by filing a deferral election form with the Company.  Such deferral election form shall include the Employee’s written election as to time and form of distribution of such deferred amount in accordance with Article 8.  A Cash Incentive Account and/or Post-2014 Stock Incentive Account (which may be the same such accounts established pursuant to Articles 3 and/or 5) shall be established for each Employee making such election, and cash and/or Units, as applicable, in respect of such deferred amounts shall be credited to such accounts as provided in Section 4.05 below.

 

Section 4.04. Matching Salary Contributions.  Each Employee who has been designated by the Committee as eligible to receive Matching Salary Contributions for a Year pursuant to Section 4.02 and who has deferred a percentage of his or her Salary for such Year pursuant to Section 4.03 shall have Matching Salary Contributions allocated to his or her Post-2014 Stock Incentive Account for such Year.  The amount of such Matching Salary Contributions for any Year shall be equal to 100% of the first 10% of his or her Salary that he or she has elected to defer for the Year pursuant to Section 4.03.  The dollar amount of each Employee’s Matching Salary Contributions deferred to his or her Post-2014 Stock Incentive Account shall be converted into Units and credited to such Post-2014 Stock Incentive Account as provided in Section 4.05 below.

 

Section 4.05. Crediting of Cash and Stock Incentive Accounts.  The amount of an Employee’s deferred Salary for any Year shall be credited to such Employee’s Cash Incentive Account as of the last business day of the month in which such Salary was earned and payable, and each Employee may, in a manner compliant with Treasury Regulation Section 1.409A-1(o), elect one or more Eligible Investment Options for the purpose of crediting or debiting additional amounts to such deferred amount; provided, however, if such Employee elects to invest his or her deferred Salary for any Year in Units, or fails to make a timely investment election (as prescribed by the Committee) with respect to such deferred Salary, the portion of the Employee’s deferred Salary so invested in Units or with respect to which a timely investment election was not made shall instead be converted to Units and credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which Salary was earned and payable.  The amount of an Employee’s Matching Salary Contributions for any Year shall be converted to Units and shall be credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which the applicable Salary would have been payable.

 

The number (computed to at least the second decimal place) of Units credited to an Employee’s Post-2014 Stock Incentive Account for any month shall be determined by dividing the aggregate amount of the Salary deferred to such Employee’s Post-2014 Stock Incentive Account for such month under this Section 4.05 or the Matching Salary Contributions for such month, as applicable, by the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day of the month in which the applicable Salary would have been payable.

 

  

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Section 4.06. Adjustments.  The Committee shall determine such equitable adjustments in the Units credited to each Stock Incentive Account as may be appropriate to reflect any stock split, stock dividend, recapitalization, merger, consolidation, reorganization, combination, or exchange of shares, split up, split-off, spin-off, liquidation or other similar change in capitalization or any distribution to shareholders other than cash dividends.

 

Section 4.07. Dividends and Distributions.  Whenever a cash dividend or any other distribution is paid with respect to shares of Brink’s Stock, the Stock Incentive Accounts of each Employee will be credited with an additional number of Units equal to the number of shares of Brink’s Stock, including fractional shares (computed to at least the second decimal place), that could have been purchased had such dividend or other distribution been paid to the applicable Stock Incentive Account on the payment date for such dividend or distribution based on the number of Shares represented by the Units in such Stock Incentive Account as of such date and assuming the amount of such dividend or value of such distribution had been used to acquire additional Units.  Such additional Units shall be deemed to be purchased: (1) at the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the payment date for the dividend or other distribution for Units credited on or after January 1, 2015; and (2) at the average of the high and low per share quoted sale prices of Brink’s Stock, as reported on the New York Stock Exchange Composite Transaction Tape on the payment date for the dividend or other distribution for Units credited prior to January 1, 2015.  The value of any distribution in property will be determined by the Committee.

 

Section 4.08. Minimum Distribution.  Distributions shall be made in accordance with Article 8; provided, however, the aggregate value of the Brink’s Stock distributed to an Employee (or his or her beneficiaries) attributable to the deferral of Salary otherwise payable for services rendered prior to January 1, 2007 (including dividends relating to such Units but not Matching Salary Contributions) shall not be less than the aggregate amount of Salary and dividends (credited to his or her Pre-2015 Stock Incentive Account pursuant to Section 4.07) in respect of which Units were initially so credited.  The value of the Brink’s Stock so distributed shall be considered equal to the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution.

 

ARTICLE 5  

 

Supplemental Savings Plan

 

Section 5.01. Definitions.  Whenever used in the Program, the following terms shall have the meanings indicated:

 

“Compensation”  The regular wages received during any pay period by an Employee while a participant in the Savings Plan for services rendered to the Company or any Subsidiary that participates in the Savings Plan, including any commissions or bonuses, but excluding any overtime or premium pay, living or other expense allowances, or contributions by the Company or such Subsidiaries to any plan of deferred compensation, and determined without regard to the application of any salary

 

 

  

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reduction election under the Savings Plan.  Bonuses paid pursuant to the Incentive Plan shall be considered received in the Year in which they are payable whether or not such bonus is deferred pursuant to Article 3 hereof.

 

 “Matching Supplemental Savings Plan Contributions”  Amounts allocated to an Employee’s Incentive Accounts pursuant to Section 5.04.

 

“Post-2014 Matching Supplemental Savings Plan Contributions”  Matching Supplemental Savings Plan Contributions allocated to an Employee’s Incentive Accounts pursuant to elections made on or after July 10, 2014.

 

“Savings Plan”  The Brink’s Company 401(k) Plan, as in effect from time to time.

 

Section 5.02. Eligibility. The Committee shall determine on an annual basis for each Year which Employees (a) may participate in the benefits provided pursuant to this Article 5 and (b) shall be eligible to receive a Matching Supplemental Savings Plan Contribution benefit provided pursuant to this Article 5.

 

Section 5.03. Deferral of Compensation.  Each eligible Employee who is not permitted to defer the maximum amount of his or her Compensation that may be contributed under the Savings Plan for any Year as a result of limitations imposed by Code Sections 401(a)(17), 401(k)(3), 402(g) and/or 415 may elect to defer the excess of (a) the maximum percentage of his or her Compensation for such Year (without regard to any limitation on such amount imposed by Code Section 401(a)(17)) with respect to which he or she could have received a matching contribution under the Savings Plan (based on the rate at which matching contributions are credited under the Savings Plan as of January 1 of such Year) over (b) the amount actually deferred as a matched contribution under the Savings Plan for such Year.  In order to be permitted to defer any portion of his or her Compensation pursuant to this Section 5.03, the Employee must elect to defer the maximum amount permitted as a matched contribution for the Year under the Savings Plan.  Such Employee’s election hereunder for any Year shall be made prior to the first day of such Year or, if later, within 30 days after his or her initial date of becoming eligible to participate in the Plan (and as otherwise permitted under Treasury Regulation Section 1.409A-2(a)), but only with respect to Compensation for services performed after the date of such election, by filing a deferral election form with the Company.  Such deferral election form shall include the Employee’s written election as to time and form of distribution of such deferred amounts in accordance with Article 8.  A Cash Incentive Account and/or Post-2014 Stock Incentive Account (which may be the same such accounts established pursuant to Articles 3 and/or 4) shall be established for each Employee making such election, and cash and/or Units, as applicable, in respect of such deferred payment shall be credited to such accounts as provided in Section 5.05 below; provided, however, that in the event an Employee is not permitted to defer the maximum amount of his or her Compensation that may be contributed under the Savings Plan for any year as a result of the limitation imposed by Code Section 401(k)(3), such excess contribution to the Savings Plan  shall be distributed to the Employee, his or her Compensation paid after the date of the

 

  

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distribution shall be reduced by that amount and such amount shall be allocated to his or her accounts as of the first business day following the January 1 next following the Year for which the excess contribution was made under the Savings Plan and credited as provided in Section 5.05 below.

 

Section 5.04. Matching Supplemental Savings Plan Contributions.  Each Employee who has been designated by the Committee as eligible to receive Matching Supplemental Savings Plan Contributions for a Year pursuant to Section 5.02 and who has deferred a portion of his or her Compensation for such Year pursuant to Section 5.03 shall have a Matching Supplemental Savings Plan Contribution allocated to his or her Post-2014 Stock Incentive Account equal to the amount elected to be deferred pursuant to Section 5.03 above for each month.  The dollar amount of each Employee’s Matching Supplemental Savings Plan Contribution deferred to his or her Post-2014 Stock Incentive Account shall be converted into Units and credited to such Post-2014 Stock Incentive Account as provided in Section 5.05 below.

 

If an Employee is participating in this portion of the Program pursuant to Sections 5.02 and 5.03 and his or her matching contribution under the Savings Plan for any Year will be reduced as a result of the nondiscrimination test contained in Code Section 401(m)(2), (a) to the extent such matching contribution under the Savings Plan is forfeitable, it shall be forfeited and that amount shall be allocated to his or her Post-2014 Stock Incentive Account as a Matching Contribution or (b) to the extent such matching contribution is not forfeitable, it shall be distributed to the Employee, his or her Compensation paid after the date of the distribution shall be reduced by that amount and such amount shall be allocated to his or her Post-2014 Stock Incentive Account as a Matching Contribution.  The dollar amount of such Matching Contribution shall be allocated to the Employee’s Post-2014 Stock Incentive Account as of the first business day following the January 1 next following the Year for which the matching contribution was made under the Savings Plan.  Units in respect of such contribution shall be credited to the Employee’s Post-2014 Stock Incentive Account as provided in Section 5.05 below.

 

Section 5.05. Crediting of Cash and Stock Incentive Accounts.  The amount of an Employee’s deferred Compensation for any Year shall be credited to such Employee’s Cash Incentive Account as of the last business day of the month in which such Compensation was earned, and each Employee may, in a manner compliant with Treasury Regulation Section 1.409A-1(o), elect one or more Eligible Investment Options for the purpose of crediting or debiting additional amounts to such deferred amount; provided, however, if such Employee elects to invest his or her deferred Compensation for any Year in Units, or fails to make a timely investment election (as prescribed by the Committee) with respect to such deferred Compensation, the portion of the Employee’s deferred Compensation so invested in Units or with respect to which a timely investment election was not made shall instead be converted to Units and credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which the Compensation was earned.  The amount of an Employee’s Matching Supplemental Savings Plan Contribution (representing amounts that cannot be contributed to the Savings Plan in respect of employee contributions due to applicable

 

  

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limits on such employee contributions) for any Year shall be converted to Units and shall be credited to such Employee’s Post-2014 Stock Incentive Account as of the last business day of the month in which the matching contribution was made under the Savings Plan.

 

The number (computed to at least the second decimal place) of Units credited to an Employee’s Post-2014 Stock Incentive Account for any month shall be determined by dividing the aggregate amount of the Compensation deferred to such Employee’s Post-2014 Stock Incentive Account for such month under this Section 5.05 or the Matching Supplemental Savings Plan Contributions for such month, as applicable, by the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day of the month in which the matching contribution was made under the Savings Plan.

 

Section 5.06. Adjustments.  The Committee shall determine such equitable adjustments in the Units credited to each Stock Incentive Account as may be appropriate to reflect any stock split, stock dividend, recapitalization, merger, consolidation, reorganization, combination, or exchange of shares, split up, split-off, spin-off, liquidation or other similar change in capitalization or any distribution to shareholders other than cash dividends.

 

Section 5.07. Dividends and Distributions.  Whenever a cash dividend or any other distribution is paid with respect to shares of Brink’s Stock, the Stock Incentive Accounts of each Employee will be credited with an additional number of Units equal to the number of shares of Brink’s Stock, including fractional shares (computed to at least the second decimal place), that could have been purchased had such dividend or other distribution been paid to the applicable Stock Incentive Account on the payment date for such dividend or distribution based on the number of Shares represented by the Units in such Stock Incentive Account as of such date and assuming that the amount of such dividend or value of such distribution had been used to acquire additional Units of the class giving rise to the dividend or other distribution.  Such additional Units shall be deemed to be purchased: (1) at the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the payment date for the dividend or other distribution for Units credited on or after January 1, 2015; and (2) at the average of the high and low per share quoted sale prices of Brink’s Stock, as reported on the New York Stock Exchange Composite Transaction Tape on the payment date for the dividend or other distribution for Units credited prior to January 1, 2015.  The value of any distribution in property will be determined by the Committee.

 

ARTICLE 6      

 

Deferral of Performance Awards

 

Section 6.01. Definitions.  Whenever used in the Program, the following terms shall have the meanings indicated:

 

“Cash Performance Payment” A cash incentive payment due to an Employee in any year under the Management Performance Improvement Plan.

 

  

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“Management Performance Improvement Plan”  The Brink’s Company Management Performance Improvement Plan, as in effect from time to time or any successor thereto.

 

“Performance Measurement Period”  A performance cycle of one or more fiscal years of the Company under the Management Performance Improvement Plan.

 

Section 6.02. Deferrals of Cash Performance Payments.  Effective as of January 1, 2014, no further deferral elections made by with respect to Cash Performance Payments under the Management Performance Improvement Plan.  Cash Performance Payments deferred in accordance with this Program pursuant to deferral elections made prior to January 1, 2014 shall continue to be credited to each applicable Employee’s Pre-2015 Stock Incentive Account and subject to the terms and conditions of this Program.

 

Section 6.03. Adjustments.  The Committee shall determine such equitable adjustments in the Units credited to each Stock Incentive Account as may be appropriate to reflect any stock split, stock dividend, recapitalization, merger, consolidation, reorganization, combination, or exchange of shares, split up, split-off, spin-off, liquidation or other similar change in capitalization or any distribution to shareholders other than cash dividends.

 

Section 6.04. Dividends and Distributions.  Whenever a cash dividend or any other distribution is paid with respect to shares of Brink’s Stock, the Stock Incentive Accounts of each Employee will be credited with an additional number of Units equal to the number of shares of Brink’s Stock, including fractional shares (computed to at least the second decimal place), that could have been purchased had such dividend or other distribution been paid to the applicable Stock Incentive Account on the payment date for such dividend or distribution based on the number of Shares represented by the Units in such Stock Incentive Account as of such date and assuming the amount of such dividend or value of such distribution had been used to acquire additional Units.  Such additional Units shall be deemed to be purchased: (1) at the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the payment date for the dividend or other distribution for Units credited on or after January 1, 2015; and (2) at the average of the high and low per share quoted sale prices of Brink’s Stock, as reported on the New York Stock Exchange Composite Transaction Tape on the payment date for the dividend or other distribution  for Units credited prior to January 1, 2015.  The value of any distribution in property will be determined by the Committee.

 

Section 6.05. Minimum Distribution.  Distributions shall be made in accordance with Article 8; provided, however, that the aggregate value of the Brink’s Stock distributed to an Employee (and his or her beneficiaries) attributable to deferrals of Cash Performance Payments otherwise payable with respect to Performance Measurement Periods ending prior to January 1, 2007 (including dividends relating to such Units) shall not be less than the aggregate amount of Cash Performance Payments and dividends (credited to his or her Pre-2015 Stock Incentive Account pursuant to Section 6.04) in respect of which such Units were initially so credited.  The 

 

 

  

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value of the Brink’s Stock, so distributed shall be considered equal to the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution.

 

ARTICLE 7      

 

Reallocations; Unconverted Amounts

 

Section 7.01. Reallocations Between Cash Incentive Accounts and Stock Incentive Accounts.  Notwithstanding anything in the Program to the contrary, and for the avoidance of doubt, no Employee may be permitted at any time to allocate amounts deferred into the Employee's Cash Incentive Account to such Employee's Stock Incentive Accounts or allocate Units credited to such Employee's Stock Incentive Accounts to such Employee's Cash Incentive Account.

 

Section 7.02. Reallocations Among Investment Options.  At any time after amounts have been credited to an Employee’s Cash Incentive Account in accordance with the Program, such Employee may, in a manner compliant with Treasury Regulation Section 1.409A-1(o), elect to change the allocation of amounts credited to an Employee’s Cash Incentive Account between Eligible Investment Options.

 

Section 7.03. Unconverted Amounts Upon Termination of Employment.  Upon any Employee’s Termination of Employment, any cash amounts that are required to be converted into Units pursuant to any provision of the Program but have not been so converted as of the date of such Termination of Employment shall, not withstanding anything herein to the contrary, be converted into Units and credited to such Employee’s Post-2014 Stock Incentive Account immediately prior to any distributions pursuant to Article 8 based on the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of termination.

 

Section 7.04. Removal of Investment Option.  Notwithstanding anything herein to the contrary, nothing in the Program shall require the Company to offer or continue to offer any particular investment option.  In the event that the Company ceases to offer a particular investment option, each Employee will be permitted to allocate amounts previously allocated to such discontinued investment option to one or more available Eligible Investment Options.

 

ARTICLE 8       

 

Distributions; Changes to and Cancelations of Deferral Elections

 

Section 8.01. In Service Distributions.  (a)  In connection with each deferral election made by an Employee under the Program, the Employee may (but shall not be required to) elect to receive distributions in cash and/or Brink’s Stock in respect of all or a portion of the amounts and/or Units covered by such deferral election (other than Units attributable to Matching Incentive Contributions, Matching Salary Contributions, Matching Supplemental Savings Plan Contributions and dividends related thereto) standing to the credit of such Employee’s Cash Incentive Account and Post-2014 Stock 

 

 

  

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Incentive Account, as applicable, prior to such Employee’s Termination of Employment.  Such Employee may elect to receive (i) such cash amounts in a single-lump sum distribution on or in equal annual installments (at least two and not more than five) beginning on a nondiscretionary and objectively determinable calendar date (within the meaning of Treasury Regulation Section 1.409A-3(i)(1)); provided, however, that if the aggregate value of the applicable portion of amounts credited to such Employee’s Cash Incentive Account at the time any such installment is due, is less than or equal to the lesser of $25,000 and the limitation calculated in accordance with Treasury Regulation Section 1.409A-3(j)(4)(v)(B), then such amounts shall be distributed to such Employee in a single-lump sum distribution in a manner that shall comply with Treasury Regulation Section 1.409A-3(j)(4)(v) and (ii) such Units in a single-lump sum distribution on a nondiscretionary and objectively determinable calendar date (within the meaning of Treasury Regulation Section 1.409A-3(i)(1)).  The distribution election(s) described in this Section 8.01 shall be made no later than the corresponding deferral election.  After making such a distribution election, an Employee may subsequently change, at least 12 months prior to the first scheduled distribution under such Employee’s current election (such, date the “Initial Distribution”), his or her distribution election under this Section 8.01, but such Employee shall not be permitted to change his or her distribution election subsequent to the second such change.  Distributions pursuant to any such subsequent election shall not commence earlier than the fifth anniversary of the Initial Distribution and any such subsequent election shall not become effective prior to the 12-month anniversary of the date such subsequent election is made and shall otherwise comply with Treasury Regulation Section 1.409A-2(b).  For the avoidance of doubt, any such subsequent election shall be void and without effect with respect to any payment that would otherwise occur during the 12-month period following the date that such subsequent election is made, and the Employee's election in effect at the time that the subsequent election is made shall instead be applicable with respect to any such payment; provided, however, that, for the avoidance of doubt, a subsequent election shall be applicable with respect to installment payments that are payable after the 12-month period following the date that a such subsequent election is made provided that the Employee specifies that the subsequent election is applicable to each such installment payment.  If an Employee experiences a Disability or dies prior to receiving all such distributions elected pursuant to this Section 8.01, such amounts and/or Units that have not been distributed shall be treated in accordance with Section 8.02 below.

 

(b) The amount of cash to be included in each installment pursuant to this Section 8.01, if applicable, shall be a fraction, the numerator of which is equal to the applicable portion of such Employee’s remaining Cash Incentive Account balance subject to such distribution election (i.e., the original amounts deferred under such election together with the amounts credited or debited to such Cash Incentive Account, reduced by the amounts subject to any prior installments) and the denominator of which is equal to the number of remaining installments (including the current installment).

 

(c) Any fractional Units distributed pursuant to this Section 8.01 shall be converted to cash based on the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution and shall be paid in cash.

 

 

  

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(d) Notwithstanding the foregoing, in the event that Section 8.02, 8.03 or 8.05 becomes applicable (whether or not distribution has commenced) prior to the date of the first scheduled distribution of any deferred amounts and/or Units under this Section 8.01, such provision shall apply instead of this Section 8.01; provided, however, that this Section 8.01 shall continue to apply to any deferred amounts and/or Units after the commencement of distributions hereunder without regard to the potential subsequent application of Section 8.03 or 8.05.  Section 8.02 shall apply in all events notwithstanding this Section 8.01.

 

Section 8.02. Certain Distributions on Death or Disability.  (a)  Each Employee shall receive a distribution in cash and/or Brink’s Stock in respect of all amounts and/or Units (other than Units attributable to Matching Incentive Contributions, Matching Salary Contributions, Matching Supplemental Savings Plan Contributions and dividends related thereto) standing to the credit of such Employee’s Cash Incentive Account and Stock Incentive Accounts, as applicable, as of the date of such Employee’s death or Disability (whether or not distribution shall have previously commenced pursuant to Section 8.01, 8.03 or 8.05), in a single-lump sum distribution as soon as practicable, but no later than 45 days, after the date of such Employee’s death or Disability, as applicable.

 

(b) Any fractional Units distributed pursuant to this Section 8.02 shall be converted to cash based on the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution and shall be paid in cash.

 

(c) In the event of an Employee’s death or Disability after the provisions of Section 8.01, 8.03 or 8.05 have become applicable (whether or not distribution has commenced), this Section 8.02 shall apply in lieu of such Sections with respect to any amounts and/or Units that remain standing to the credit of such Employee’s Incentive Accounts as provided in Section 8.02(a).

 

Section 8.03. Certain Distributions on Termination of Employment.  (a)   In connection with each deferral under the Program made after July 10, 2014, each Employee shall elect to receive (i) distributions in cash in respect of all amounts covered by such deferral election standing to the credit of such Employee’s Cash Incentive Account as of the date of such Employee’s Termination of Employment, in a single-lump sum distribution on the first day that is more than six months after the date of the Employee’s Termination of Employment or in equal annual installments (at least two and not more than five) commencing on the first day that is more than six months after the date of the Employee’s Termination of Employment, and with each subsequent installment being paid on each anniversary of such date that is more than six months after the date of the Employee’s Termination of Employment and (ii) distributions in Brink’s Stock in respect of all Units covered by such deferral election (other than Units attributable to Matching Incentive Contributions, Matching Salary Contributions, Post-2014 Matching Supplemental Savings Plan Contributions and dividends related thereto) standing to the credit of such Employee’s Post-2014 Stock Incentive Account as of the date of such Employee’s Termination of Employment, in a single-lump sum distribution on the first day that is more than six months after the date of the Employee’s 

 

  

17

  

 

Termination of Employment.  The distribution election described in this Section 8.03 shall be made no later than the corresponding deferral election.  An Employee may subsequently change, at least 12 months prior to his or her Termination of Employment, such distribution election, but such an Employee shall not be permitted to change his or her distribution election subsequent to the second such change.  Distributions pursuant to any such subsequent election shall not commence earlier than the fifth anniversary of when distributions would have commenced under such Employee’s current election and any such subsequent election shall not become effective prior to the 12-month anniversary of the date the subsequent election is made and shall otherwise comply with Treasury Regulation Section 1.409A-2(b).  For the avoidance of doubt, any such subsequent election made during the 12-month period prior to an Employee's Termination of Employment shall be void and without effect with respect to any payment that would otherwise occur during the 12-month period following the date that such subsequent election is made, and the Employee's election in effect at the time that the subsequent election is made shall instead remain applicable with respect to any such payment; provided, however, for the avoidance of doubt, a subsequent election shall be applicable with respect to installment payments that are payable after the 12-month period following the date that a such subsequent election is made provided that the Employee specifies that the subsequent election is applicable to each such installment payment.  In the event that an Employee fails to clearly and unambiguously elect a form of distribution under this Section 8.03(a) with respect to all or a portion of any amounts standing to the credit of (or to be credited to) such Employee’s Incentive Accounts, such Employee will be deemed to have elected to receive a single-lump sum distribution as provided for pursuant to this Section 8.03(a) with respect thereto.

 

(b) In connection with each deferral election made prior to January 1, 2014 under the Program, for any Termination of Employment, each Employee shall receive distributions in Brink’s Stock in respect of all Units (other than Units attributable to Matching Incentive Contributions, Matching Salary Contributions, Matching Supplemental Savings Plan Contributions (other than Post-2014 Matching Supplemental Savings Plan Contributions) and dividends related thereto) standing to the credit of such Employee’s Pre-2015 Stock Incentive Account in a single-lump sum distribution on the first day that is more than six months after the date of the Employee’s Termination of Employment or in accordance with any applicable distribution election made by such Employee covered by such applicable deferral election prior to January 1, 2014.

 

(c) The amount of cash to be included in each installment pursuant to this Section 8.03, if applicable, shall be a fraction, the numerator of which is equal to the applicable portion of such Employee’s remaining applicable Cash Incentive Account balance subject to such distribution election (i.e., the original amounts deferred under such election together with the amounts credited or debited to such Cash Incentive Account, reduced by the amounts subject to any prior installments) and the denominator of which is equal to the number of remaining installments (including the current installment).

 

  

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(d) Any fractional Units distributed pursuant to this Section 8.03 shall be converted to cash based on the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution and shall be paid in cash.

 

(e) Notwithstanding the foregoing, in the event that Section 8.01, 8.02 or 8.05 becomes applicable (whether or not distribution has commenced) prior to the applicable Employee’s Termination of Employment, the provisions of Section 8.01, 8.02 or 8.05, as applicable, shall apply instead of this Section 8.03; provided, however, that this Section 8.03 shall continue to apply to any deferred amounts and/or Units after the occurrence of such Employee’s Termination of Employment without regard to the potential subsequent application of Section 8.01 or 8.05.  Section 8.02 shall apply in all events notwithstanding this Section 8.03.

 

Section 8.04. Distributions Attributable to Matching Incentive Contributions and Matching Salary Contributions on Termination of Employment.  In the event of an Employee’s (a) death, (b) Retirement, (c) Disability or (d) Termination of Employment for any reason within three years following a Change in Control (other than a Termination of Employment by the Company for Cause), the Employee shall receive a distribution of Brink’s Stock in respect of each Unit standing to the credit of such Employee’s Stock Incentive Accounts attributable to Matching Incentive Contributions, Matching Salary Contributions, Post-2014 Matching Supplemental Savings Plan Contributions and dividends related thereto in the same manner as provided in Section 8.02 or 8.03, as applicable, for the distribution of the applicable deferred amount that gave rise to the Matching Incentive Contribution, Matching Salary Contribution, Post-2014 Matching Supplemental Savings Plan Contribution or dividend related thereto that was converted into such Unit.

 

In the event of a Termination of Employment for a reason not described in the preceding paragraph and that is not in connection with a Termination of Employment by the Company for Cause, such Employee shall be vested in the Units standing to the credit of such Employee in his or her Stock Incentive Accounts attributable to Matching Incentive Contributions, Matching Salary Contributions, Post-2014 Matching Supplemental Savings Plan Contributions and dividends related thereto in accordance with the following schedule:

 

	
Months Since Initial Program Participation

	
Vested Percentage

	  	  
	
less than 36

	
0

	
at least 36 but less than 48

	
50%

	
at least 48 but less than 60

	
75%

	
60 or more

	
100%

An Employee shall receive credit for one “month of participation” for each calendar month subsequent to the effective date of the Employee’s initial participation in the Program (without regard to whether such Employee participates in subsequent calendar 

 

  

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years) through the date of such Employee’s Termination of Employment; provided, however, if subsequent to an Employee’s Termination of Employment for any reason, such former Employee again becomes eligible to participate in the Program, any prior credits for “months of participation” shall be disregarded.  Notwithstanding anything herein to the contrary, Brink’s Stock in respect of each vested Unit standing to the credit of such Employee attributable to Matching Incentive Contributions, Matching Salary Contributions, Matching Supplemental Savings Plan Contributions and dividends related thereto shall be distributed as provided in Section 8.02 or 8.03, as applicable, and any remaining unvested Units shall be forfeited; provided further, that any such distribution pursuant to Section 8.03 shall be pursuant to an election made by such Employee as provided for under Section 8.03 in respect of Units deferred under the Program.  For the avoidance of doubt, an Employee shall always be vested in any Matching Supplemental Savings Plan Contributions that are not Post-2014 Matching Supplemental Savings Plan Contributions.

 

Section 8.05. Distribution Following a Change in Control.  (a)  In the event of a 409A Change in Control, each Employee shall receive a single-lump sum distribution in cash and/or Brink’s Stock (or stock of the successor to the Company, if any) in respect of all amounts and/or Units (other than Units attributable to Matching Incentive Contributions, Matching Salary Contributions, Post-2014 Matching Supplemental Savings Plan Contributions and dividends related thereto) standing to the credit of such Employee’s Cash Incentive Account and Post-2014 Stock Incentive Account, as applicable, on the earlier of (i) the date that is 15 months from the 409A Change in Control and (ii) the date (the “Specified Distribution Date”) specified in any applicable deferral election of the Employee, but only to the extent that such Specified Distribution Date is within 12 months from the 409A Change in Control; provided, however, such Employee may, with respect to each deferral election under the Program made on or after July 10, 2014, elect prior to the earlier of (A) the date that is three months after the occurrence of the 409A Change in Control and (B) the date that is at least 12 months prior to the Specified Distribution Date designated by the Employee in any applicable deferral election, to receive the amounts and/or Units subject to such deferral election in a single-lump sum distribution or, in the case of amounts subject to such deferral elections only, in equal annual installments (at least two and not more than five) commencing no earlier than the fifth anniversary of the date such amounts and/or Units would have been distributed absent such election, and each such distribution election shall otherwise comply with Treasury Regulation Section 1.409A-2(b).

 

(b) Notwithstanding the foregoing, in the event that Section 8.01, 8.02 or 8.03 becomes applicable (whether or not distribution has commenced) prior to a 409A Change in Control, the provisions of Section 8.01, 8.02 or 8.03, as applicable, shall apply instead of this Section 8.05; provided, however, that this Section 8.05 shall continue to apply to any deferred amounts and/or Units after the occurrence of a 409A Change in Control without regard to the potential subsequent application of Section 8.01 or 8.03.  Section 8.02 shall apply in all events notwithstanding this Section 8.05.

 

Section 8.06. Unforeseeable Emergencies.  An Employee who experiences an Unforeseeable Emergency may petition the Company to receive a partial or full payout 

 

  

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from his or her Cash Incentive Account and/or Stock Incentive Accounts to the extent permitted by Treasury Regulation Section 1.409A-3(i)(3).  Such payout, if any, shall not exceed the amount necessary to satisfy the Unforeseeable Emergency, plus amounts necessary to pay Federal, state, local or foreign income taxes or penalties reasonably anticipated as a result of such distribution, but after taking into account any additional compensation available by canceling deferral elections as permitted under the Program or any other non-qualified deferred compensation plan in which the Employee participates.  An Employee shall not be eligible to receive a payout according to this Section 8.06 to the extent that such a payout would not be permitted by Treasury Regulation Section 1.409A-3(i)(3) or the Unforeseeable Emergency is or may be relieved (a) through reimbursement or compensation by insurance or otherwise, (b) by liquidation of the Employee’s assets, to the extent the liquidation of such assets would not itself cause severe financial hardship or (c) by cessation of deferrals under the Program.

 

Section 8.07. Changes to and Cancelations of Deferral Elections.  Any election to defer under the Program shall be irrevocable, in the case of (a) amounts under the Program for any Year, (i) on and after the first day of such Year or (ii) in the case of an election made by a newly hired Employee for his or her initial Year of employment, after the date such an election is made and (b) Cash Performance Payments under the Program for any Performance Measurement Period, after the last date for making such an election, as specified in the second or third sentence of Section 6.03, above, as applicable (it being understood that an Employee may only change any such election prior to its becoming irrevocable in accordance with procedures established by the Company).  After such election has become irrevocable, an Employee may only subsequently change such election consistent with this Article 8 and Code Section 409A but may, in compliance with Treasury Regulation Section 1.409A-3(j)(4)(viii), cancel any such election.

 

Section 8.08. Termination of Employment by the Company for Cause.  In the event of a Termination of Employment by the Company for Cause, the Employee shall forfeit all of the Units standing to the credit of the Employee’s Stock Incentive Accounts attributable to Matching Incentive Contributions, Matching Salary Contributions, Post-2014 Matching Supplemental Savings Plan Contributions and dividends related thereto.

 

Section 8.09. Installment Payments.  For purposes of Section 409A, each installment payment provided for under this Article 8 will be deemed to be a separate payment as permitted under Treasury Regulation Section 1.409A-2(b)(2)(iii).

 

ARTICLE 9    

 

Designation of Beneficiary

 

An Employee may designate in a written election filed with the Company a beneficiary or beneficiaries (which may be an entity other than a natural person) to receive all distributions and payments under the Program after the Employee’s death.  Any such designation may be revoked, and a new election may be made, at any time and from time to time, by the Employee without the consent of any beneficiary.  If the 

 

  

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Employee designates more than one beneficiary, any distributions and payments to such beneficiaries shall be made in equal percentages unless the Employee has designated otherwise, in which case the distributions and payments shall be made in the percentages designated by the Employee.  If no beneficiary has been named by the Employee or no beneficiary survives the Employee, the remaining amounts and/or Shares (including fractional Shares) in the Employee’s Cash Incentive Account and/or Stock Incentive Accounts shall be distributed or paid in a single lump-sum sum to the Employee’s estate.  All distributions from an Employee’s Stock Incentive Accounts shall be made in Shares except that fractional Shares shall be paid in cash.

 

ARTICLE 10   

 

Miscellaneous

 

Section 10.01. Nontransferability of Benefits.  Except as provided in Article 9, amounts and/or Units credited to a Cash Incentive Account and/or Stock Incentive Account shall not be transferable by an Employee or former Employee (or his or her beneficiaries) other than by will or the laws of descent and distribution or pursuant to a domestic relations order.  No Employee, no person claiming through such Employee, nor any other person shall have any right or interest under the Program, or in its continuance, in the payment of any amount or distribution of any amounts and/or Shares under the Program, unless and until all the provisions of the Program, any determination made by the Committee thereunder, and any restrictions and limitations on the payment itself have been fully complied with.  Except as provided in this Section 10.01, no rights under the Program, contingent or otherwise, shall be transferable, assignable or subject to any pledge or encumbrance of any nature, nor shall the Company or any of its Subsidiaries be obligated, except as otherwise required by law, to recognize or give effect to any such transfer, assignment, pledge or encumbrance.

 

Section 10.02. Notices.  The Company may require all elections contemplated by the Program to be made on forms provided by it.  All notices, elections and other communications pursuant to the Program shall be effective when received by the Company either, in the Company’s sole discretion, via electronic delivery through a Company email system or by reference to a location on a Company intranet or secure internet site to which the Employee has access or in writing delivered to the following address:

 

	
  

	
The Brink’s Company

	
  

	
1801 Bayberry Court

	
  

	
P. O. Box 18100

	
  

	
Richmond, VA 23226-8100

	
  

	
Attention of Vice President – Chief Human Resources Officer

 

Section 10.03. Limitation on Rights of Employee.  Nothing in the Program shall be deemed to create, on the part of any Employee, beneficiary or other person, (a) any interest of any kind in the assets of the Company or (b) any trust or fiduciary relationship in relation to the Company.  The right of an Employee to receive any amounts and/or 

 

  

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Shares shall be no greater than the right of any unsecured general creditor of the Company.

 

Section 10.04. No Contract of Employment.  The benefits provided under the Program for an Employee shall be in addition to, and in no way preclude, other forms of compensation to or in respect of such Employee.  However, the selection of any Employee for participation in the Program shall not give such Employee any right to be retained in the employ of the Company or any of its Subsidiaries for any period.  The right of the Company and of each such Subsidiary to terminate the employment of any Employee for any reason or at any time is specifically reserved.  In addition, designation of an Employee as a participant for one Year does not create any right to participation or expectation that the Committee will designate the Employee as a participant in any subsequent Year.

 

Section 10.05. Withholding.  All distributions pursuant to the Program shall be subject to withholding in respect of income and other taxes required by law to be withheld.  The Company shall establish appropriate procedures to ensure payment or withholding of such taxes.  Such procedures may include arrangements for payment or withholding of taxes by retaining Shares otherwise issuable in accordance with the provisions of the Program or by accepting already owned Shares, and by applying the fair market value of such Shares to the withholding taxes payable.  The value of the Brink’s Stock distributed to an Employee pursuant to the Program shall, for purposes of income taxes and all other applicable taxes, be considered equal to the per share reported closing price of Brink’s Stock as reported on the New York Stock Exchange on the final trading day immediately preceding the date of distribution.

 

Section 10.06. Amendment and Termination.  The Committee may from time to time amend any of the provisions of the Program, or may at any time terminate the Program.  No amendment or termination shall adversely affect any Units (or distributions in respect thereof) which shall theretofore have been credited to any Employee’s Cash Incentive Account and/or Stock Incentive Accounts.  On the termination of the Program, distributions from an Employee’s Cash Incentive Account and/or Stock Incentive Accounts shall be made in compliance with Code Section 409A and Treasury Regulations issued thereunder.

 

  

23Exhibit 10.4

 

REGISTRATION
RIGHTS AGREEMENT

 

This REGISTRATION RIGHTS AGREEMENT (this
“Agreement”) dated as of October 27, 2014 is entered into by and among Green Brick Partners, Inc.,
a Delaware corporation (the “Company”), and certain holders of securities of the Company party to this
Agreement (collectively, the “Investor Parties”).

 

WHEREAS, the Investor Parties own shares
of common stock, par value $0.01 per share, of the Company (the “Common Stock”);

 

WHEREAS, the Company and certain of the
Investor Parties are party to that certain Transaction Agreement, dated as of June 10, 2014 (the “Transaction Agreement”)
pursuant to which the Company has agreed to provide such Investor Parties with registration rights with respect to the Common Stock
held from time to time by such Investor Parties, their Affiliates or their permitted transferees as specified herein, including
the shares of Common Stock to be acquired by the Investor Parties pursuant to the transactions contemplated by the Transaction
Agreement; and

 

WHEREAS, in connection with the Transaction
Agreement, the Company and certain other Investor Parties entered into that certain Commitment Agreement, dated as of July 15,
2014 (the “Commitment Agreement”) pursuant to which such Investor Parties will receive Common Stock as
part of the rights offering described therein and which Common Stock is intended to receive the benefits of this Agreement.

 

AGREEMENT

 

NOW, THEREFORE, in consideration of the
foregoing recitals and the mutual promises hereinafter set forth, the parties hereto agree, as follows:

 

ARTICLE
I

CERTAIN DEFINED TERMS

 

Section
1.1           Definitions.
For purposes of this Agreement:

 

(a)          “Affiliate”
means, with respect to any Person, (i) any other Person of which securities or other ownership interests representing more than
fifty percent (50%) of the voting interests are, at the time such determination is being made, owned, Controlled or held, directly
or indirectly, by such Person or (ii) any other Person which, at the time such determination is being made, is Controlling, Controlled
by or under common Control with, such Person. As used herein, “Control”, whether used as a noun or verb,
refers to the possession, directly or indirectly, of the power to direct, or cause the direction of, the management or policies
of a Person, whether through the ownership of voting securities or otherwise.

 

(b)          “Backstop
Registration Rights Agreement” means the registration rights agreements entered into on the date hereof between the
Company and certain affiliates of Third Point LLC.

 

    	 

    	 

    

  

(c)          “Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations of the SEC promulgated
thereunder.

 

(d)          “FINRA”
means the Financial Industry Regulatory Authority, Inc.

 

(e)          “Holder”
means a Person that (i) is a party to this Agreement (or a permitted transferee thereof under Section 2.12 hereof) and (ii) owns
Registrable Securities.

 

(f)          “Participating
Holders” means Holders participating, or electing to participate, in an offering of Registrable Securities.

 

(g)          “Person”
means any individual, firm, corporation, company, partnership, trust, incorporated or unincorporated association, limited liability
company, joint venture, joint stock company, government (or an agency or political subdivision thereof) or other entity of any
kind, and shall include any successor (by merger or otherwise) of any such entity.

 

(h)          “Registrable
Securities” means shares of Common Stock held by Holders; provided, however, that shares of Common Stock shall
cease to be Registrable Securities (A) upon the sale thereof pursuant to an effective registration statement, (B) upon the sale
thereof pursuant to Rule 144 (or successor rule under the Securities Act), (C) when such securities cease to be outstanding
or (D) when all such securities become eligible for immediate sale under Rule 144 (or successor rule under the Securities Act),
without any time or volume limitations under such Rule.

 

(i)          “Registration
Expenses” mean all expenses (other than underwriting discounts and commissions) arising from or incident to the performance
of, or compliance with, this Agreement, including, without limitation, (i) SEC, stock exchange, FINRA and other registration and
filing fees, (ii) all fees and expenses incurred in connection with complying with any securities or blue sky laws (including fees,
charges and disbursements of counsel in connection with blue sky qualifications of the Registrable Securities), (iii) all printing,
messenger and delivery expenses, (iv) the fees, charges and disbursements of counsel to the Company and of its independent public
accountants and any other accounting and legal fees, charges and expenses incurred by the Company (including any expenses arising
from any special audits or “comfort letters” required in connection with or incident to any registration), (v) the
fees, charges and disbursements of any special experts retained by the Company in connection with any registration pursuant to
the terms of this Agreement, (vi) all internal expenses of the Company (including all salaries and expenses of its officers and
employees performing legal or accounting duties), (vii) the fees and expenses incurred in connection with the listing of the Registrable
Securities on any securities exchange and (viii) Securities Act liability insurance (if the Company elects to obtain such insurance),
regardless of whether any Registration Statement filed in connection with such registration is declared effective. “Registration
Expenses” shall also include fees, charges and disbursements of one (1) firm of counsel to all of the Participating
Holders participating in any underwritten public offering pursuant to Article II hereof (which shall be selected by the Participating
Holders holding a majority of the Registrable Securities to be sold in such offering).

 

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(j)          “Registration
Statement” means any Registration Statement of the Company filed with the SEC on the appropriate form pursuant to
the Securities Act which covers any of the Registrable Securities pursuant to the provisions of this Agreement and all amendments
and supplements to any such Registration Statement, including post-effective amendments, in each case including the prospectus
contained therein, all exhibits thereto and all materials incorporated by reference therein.

 

(k)          “SEC”
means the United States Securities and Exchange Commission.

 

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

 

(m)          “Selling
Expenses” means the underwriting fees, discounts, selling commissions and stock transfer taxes applicable to all
Registrable Securities registered by the Participating Holders.

 

(n)          “WKSI”
means a well-known seasoned issuer as defined in Rule 405 under the Securities Act.

 

ARTICLE
II

REGISTRATION RIGHTS

 

Section
2.1           Demand
Registration.

 

(a)          Request
by Holders.  Upon receipt of a written request from one or more Holders (the “Requesting Holders”)
that the Company register Registrable Securities held by Requesting Holders (a “Demand Request”), then
the Company shall, within ten (10) days after receipt of such Demand Request, give written notice of such request (a “Request
Notice”) to all Holders. Each Demand Request shall (x) specify the number of Registrable Securities that the Requesting
Holders intend to sell or dispose of, (y) state the intended method or methods of sale or disposition of the Registrable Securities
and (z) specify the expected price range (net of underwriting discounts and commissions) acceptable to the Requesting Holders to
be received for such Registrable Securities; provided that any Demand Request must relate to Registrable Securities having
a fair market value equal to or greater than $5,000,000 based on the average closing price of the Common Stock on the NASDAQ Capital
Market (or such other exchange on which the Common Stock may then be listed) for the five business days immediately prior to the
Demand Request (the “Minimum Amount”).  Following receipt of a Demand Request, the Company shall:

 

(i)          cause
to be filed, as soon as practicable, but within sixty (60) days of the date of delivery to the Company of the Demand Request, a
Registration Statement covering such Registrable Securities which the Company has been so requested to register by the Requesting
Holders and other Holders who request to the Company that their Registrable Securities be registered within ten (10) days of the
mailing of the Request Notice, providing for the registration under the Securities Act of such Registrable Securities to the extent
necessary to permit the disposition of such Registrable Securities in accordance with the intended method of distribution specified
in such Demand Request;

 

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(ii)         use
its reasonable best efforts to have such Registration Statement declared effective by the SEC as soon as practicable thereafter;
and refrain from filing any other Registration Statements, other than pursuant to a Registration Statement on Form S-4 or S-8 (or
similar or successor forms), with respect to any other securities of the Company until such date which is ninety (90) days following
effectiveness of the Registration Statement filed in response to the Demand Request.

 

(b)          Effective
Registration Statement. A registration requested pursuant to this Section 2.1 shall not be deemed to have been effected unless
(i) a Registration Statement with respect thereto has become effective and remained effective in compliance with the provisions
of the Securities Act with respect to the disposition of all Registrable Securities covered by such Registration Statement until
such time as all of such Registrable Securities have been disposed of in accordance with the intended methods of disposition by
the Holders thereof set forth in such Registration Statement or (ii) such Registration Statement has been effective for 180 days;
provided that if, after it has become effective, such registration is interfered with by any stop order, injunction or other
order or requirement of the SEC or other governmental agency or court, such period shall be extended for any period during which
the Registration Statement was not in effect.

 

(c)          Limitation
on Demand Registrations. The Company shall only be obligated to effect two (2) Demand Requests in any twelve-month period pursuant
to this Section 2.1. The right of any Holder to make a Demand Request shall be suspended at any time when a Shelf Registration
Statement is available for use by the Holders.

 

(d)          Cancellation
of Registration. The Requesting Holders shall have the right to cancel a proposed registration of Registrable Securities pursuant
to this Section 2.1 at any time prior to the effective date of the Registration Statement filed or to be filed in response to such
Demand Request. Such cancellation of a registration shall not be counted as one of two (2) Demand Requests for the applicable twelve-month
period and, notwithstanding anything to the contrary in this Agreement, the Company shall be responsible for the expenses of the
Participating Holders incurred in connection with the registration prior to the time of cancellation. Upon receipt of notice of
any such cancellation, the Company shall revise, abandon or withdraw such the relevant Registration Statement, as applicable.

 

Section
2.2           Piggyback
Registrations.

 

(a)          Right
to Include Registrable Securities. Each time that the Company proposes for any reason to register any of its equity interests
under the Securities Act, either for its own account or otherwise, other than a rights offering or pursuant to a Registration Statement
on Form S-4 or S-8 (or similar or successor forms) (a “Proposed Registration”), the Company shall promptly
give written notice of such Proposed Registration to all of the Holders (which notice shall be given not less than fifteen (15)
days prior to the expected filing date of the Company’s Registration Statement) and shall offer such Holders the right to
request inclusion of any of such Holder’s Registrable Securities in the Proposed Registration. No registration pursuant to
this Section 2.2 shall relieve the Company of its obligation to register Registrable Securities pursuant to a Demand Request, as
contemplated by Section 2.1 hereof. The rights to piggyback registration may be exercised on an unlimited number of occasions.

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(b)          Piggyback
Procedure. Each Holder shall have ten (10) days from the date of receipt of the Company’s notice referred to in Section
2.2(a) above to deliver to the Company a written request specifying the number of Registrable Securities such Holder intends to
sell and such Holder’s intended method of disposition. Any Holder shall have the right to withdraw such Holder’s request
for inclusion of such Holder’s Registrable Securities in any Registration Statement pursuant to this Section 2.2 by giving
written notice to the Company of such withdrawal; provided, however, that the Company may ignore a notice of withdrawal
made within twenty-four (24) hours of the time the Registration Statement is to become effective. Subject to Section 2.5(c) below,
the Company shall use its commercially reasonable efforts to include in such Registration Statement all such Registrable Securities
so requested to be included therein; provided, however, that the Company may at any time withdraw or cease proceeding with
any such Proposed Registration if it shall at the same time withdraw or cease proceeding with the registration of all other Registrable
Securities originally proposed to be registered (including if Requesting Holders cancel such Proposed Registration pursuant to
Section 2.1(d) hereof).

 

(c)          Underwritten
Offering. In the event that the Proposed Registration by the Company is, in whole or in part, an underwritten public offering
of securities of the Company, any request under this Section 2.2 shall specify that the Registrable Securities be included in the
underwriting on the same terms and conditions as the securities, if any, otherwise being sold through underwriters under such registration.

 

Section
2.3           SHELF
REGISTRATION.

 

(a)          At
any time that the Company is eligible to file a Registration Statement on Form S-3 in accordance with Rule 415 under the Securities
Act or any similar rule that may be adopted by the SEC (a “Shelf Registration Statement”), any one or
more of the Holders shall have the right to request in writing (which request shall specify the Registrable Securities intended
to be registered, the transaction to be registered and, to the extent applicable, the intended methods of disposition thereof)
that the Company register any or all of such Holders’ Registrable Securities, in an amount not to be less than the Minimum
Amount, by filing with the SEC a Shelf Registration Statement, including if the Company is at any time a WKSI, an automatic shelf
registration statement, covering such Registrable Securities (a “Shelf Request”). Within ten (10) days
of the Company’s receipt of a Shelf Request, the Company shall give written notice to each Holder informing such Holder of
the Company’s intent to file such Shelf Registration Statement and of such Holder’s right to request the registration
of the Registrable Securities held by such Holder. The Company shall, subject to the provisions of this Section 2.3(a), include
in such registration all Registrable Securities of each Holder with respect to which the Company receives a written request for
inclusion therein together with all duly completed and executed questionnaires and other documents reasonably requested by the
Company and necessary to enable it to include such Holder as a selling stockholder) within five (5) business days after the notice
contemplated by the immediately preceding sentence is given to the Holders. A Shelf Request shall not count as a Demand Request.

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(b)          The
Holders may at any time and from time to time request in writing (a “Shelf Takedown Notice”) (which request
shall specify the Registrable Securities intended to be disposed of by Holders and the intended method of distribution thereof)
to sell pursuant to a prospectus supplement (a “Shelf Takedown Prospectus Supplement”) Registrable Securities
of such Holders available for sale pursuant to an effective Shelf Registration Statement. The Company shall use its commercially
reasonable efforts to, not later than the second (2nd) business day after the receipt of the Shelf Takedown Notice cause
to be filed the Shelf Takedown Prospectus Supplement, unless such sale involves an underwritten offering, which is the subject
of Section 2.3(c) below. A request for a Shelf Takedown Prospectus Supplement may be withdrawn by the initiating Holder prior
to the filing thereof pursuant to Section 2.1(d) hereof. A Shelf Takedown Notice shall count as a Demand Request.

 

(c)          If
a sale of Registrable Securities pursuant to this Section 2.3 involves an underwritten offering and the applicable securities are
to be distributed on a firm commitment basis by or through one or more underwriters of recognized standing under underwriting terms
appropriate for such transaction, then, within three (3) business days of the Company’s receipt of a Shelf Takedown Notice
pursuant to Section 2.3(b), the Company shall give written notice to each Holder who has elected to be included in the Shelf Registration
Statement informing such Holder of the Company’s intent to file such Shelf Takedown Prospectus Supplement and of such Holder’s
right to request the addition of such Holder’s Registrable Securities to such Shelf Takedown Prospectus Supplement. The Company
shall, subject to the provisions of Section 2.5(b) and this Section 2.3(c), include in such Shelf Takedown Prospectus Supplement
all Registrable Securities of each such Holder with respect to which the Company receives a written request for inclusion therein
within three (3) business days after the notice contemplated by the immediately preceding sentence is given to the Holders.

 

Section
2.4           SELECTION
OF UNDERWRITERS. In the event that the Company is required to file a Registration Statement covering any
Registrable Securities and the proposed public offering is to be an underwritten public offering, the managing underwriter shall
be one or more reputable nationally recognized investment banks selected by Participating Holders holding a majority of the Registrable
Securities to be sold in such offering and reasonably acceptable to the Company, which consent shall not be unreasonably withheld,
delayed or conditioned; provided that the managing underwriter for any registration initiated by the Company for its own
account shall be a reputable national recognized investment bank selected by the Company in its sole discretion.

 

Section
2.5           Priority
for Registration.

 

(a)          General.
Notwithstanding any other provision of this Agreement and subject to Section 2.5(b) and Section 2.5(c) below, if the managing underwriter
of an underwritten public offering determines in good faith and advises the Participating Holders and the Company in writing that
the inclusion of all Registrable Securities proposed to be included by the Company and any other Holders in the underwritten public
offering would materially and adversely interfere with the successful marketing of the Registrable Securities of Requesting Holders
or Holders that provided a Shelf Takedown Notice at the desired offering price, then the Company will be obligated to include in
such Registration Statement, as to each Holder, only a portion of the Registrable Securities such Holder has requested be registered
equal to the ratio which such Holder’s requested Registrable Securities bears to the total number of Registrable Securities
requested to be included in such Registration Statement by all Holders who have requested that their Registrable Securities be
included in such Registration Statement.

 

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(b)          Demand
or Shelf Takedown. It is acknowledged by the parties hereto that pursuant to Section 2.5(a) above, the securities to be included
in a registration requested by the Requesting Holders pursuant to Section 2.1 or in a Shelf Takedown Prospectus Supplement pursuant
to Section 2.3 shall be allocated: (i) first, to the Requesting Holders or Holders who have provided a Shelf Takedown Notice, (ii)
second, to any other Holders (other than those in clause (i)) and the holders under the Backstop Registration Rights Agreement,
(iii) third, to the Company and (iv) fourth, to any other holders of equity interests of the Company requesting registration of
securities of the Company; provided that in the case of a demand by any Holder(s) with respect to which one or more other
Holders has exercised its piggyback rights pursuant to Section 2.2 hereof, any such Holder may convert its piggyback election to
a Demand Request, such that such Holder will be included in subclause (i) above in the event of any cutback pursuant to this Section
2.5.

 

(c)          Piggyback.
It is acknowledged by the parties hereto that pursuant to Section 2.5(a) above, the securities to be included in a registration
initiated by the Company, including with respect to a Shelf Takedown Prospectus Supplement, shall be allocated: (i) first, to the
Company; (ii) second, pro rata to the Holders and the holders under the Backstop Registration Rights Agreement; and (iii)
third, to any others requesting registration of securities of the Company.

 

(d)          Other
registrations. It is acknowledged by the parties hereto that pursuant to Section 2.5(a) above, the securities to be included
in a registration initiated by holders of equity securities other than the Company or the Holders shall be allocated: (i) first,
to such initiating holders; (ii) second, pro rata to the Holders and the holders under the Backstop Registration Rights
Agreement; and (iii) third, to the Company.

 

Section
2.6           REGISTRATION
PROCEDURES.

 

(a)          Obligations
of the Company. Whenever registration of Registrable Securities is required pursuant to this Agreement, the Company shall use
its reasonable best efforts to effect the registration and sale of such Registrable Securities in accordance with the intended
method of distribution thereof as promptly as possible, and in connection with any such request, the Company shall, as expeditiously
as possible:

 

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(i)          Preparation
of Registration Statement; Effectiveness. Prepare and file with the SEC (in any event not later than sixty (60) days after
receipt of a Demand Request or a Shelf Request, as applicable, to file a Registration Statement with respect to Registrable Securities),
a Registration Statement on any form on which the Company then qualifies, which counsel for the Company shall deem appropriate
and pursuant to which such offering may be made in accordance with the intended method of distribution thereof for a Demand Request
and on Form S-3 or any successor form for a Shelf Request (except that the Registration Statement shall contain such information
as may reasonably be requested for marketing or other purposes by the managing underwriter), and use its reasonable best efforts
to cause any registration required hereunder to become effective as soon as practicable after the initial filing thereof (and within
ninety (90) days of such filing for a Shelf Registration Statement) and remain effective for a period of not less than one hundred
and eighty (180) days (or such shorter period in which all Registrable Securities have been sold in accordance with the methods
of distribution set forth in the Registration Statement); provided, however, that, in the case of any Shelf Registration
Statement, such one hundred and eighty (180) day period shall be extended, if necessary, to keep the Registration Statement effective
until all such Registrable Securities are sold, provided that Rule 415, or any successor rule under the Securities Act, permits
an offering on a continuous or delayed basis. Notwithstanding the foregoing, the Company may (A) with respect to a Demand Request,
defer the filing of a Registration Statement for a period of not more than 60 days (but not more than once in any six-month period);
provided that such deferral shall be the shortest possible period of time determined in good faith by the Company or (B)
suspend the use of a prospectus under a Registration Statement on Form S-3 for a period not to exceed 60 days in succession or
120 days in the aggregate in any twelve-month period, in each case if the Board of Directors of the Company determines in good
faith that because of bona fide business reasons (not including the avoidance of the Company’s obligations hereunder), including
the acquisition or divestiture of assets, pending corporate developments and similar events, it is in the best interests of the
Company to delay the filing of such Registration Statement or to suspend the use of such prospectus, and prior to delaying such
filing or suspending such use, the Company provides the Participating Holders with written notice of such delay or suspension,
which notice need not specify the nature of the event giving rise to such delay or suspension;

 

(ii)         Participation
in Preparation. Provide any Participating Holder, any underwriter participating in any disposition pursuant to a Registration
Statement, and any attorney, accountant or other agent retained by any Participating Holder or underwriter (each, an “Inspector”
and, collectively, the “Inspectors”), the opportunity to participate (including, but not limited to,
reviewing, commenting on and attending all meetings) in the preparation of such Registration Statement, each prospectus included
therein or filed with the SEC and each amendment or supplement thereto;

 

(iii)        Due
Diligence. For a reasonable period prior to the filing of any Registration Statement pursuant to this Agreement, make available
for inspection and copying by the Inspectors such financial and other information and books and records, pertinent corporate documents
and properties of the Company and its subsidiaries and cause the officers, directors, employees, counsel and independent certified
public accountants of the Company and its subsidiaries to respond to such inquiries and to supply all information reasonably requested
by any such Inspector in connection with such Registration Statement, as shall be reasonably necessary, in the judgment of the
respective counsel referred to in Section 2.6(a)(ii), to conduct a reasonable investigation within the meaning of the Securities
Act;

 

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(iv)        General
Notifications. Promptly notify in writing the Participating Holders, the sales or placement agent, if any, therefor and the
managing underwriter of the securities being sold, (A) when such Registration Statement or the prospectus included therein or any
prospectus amendment or supplement or post-effective amendment has been filed, and, with respect to any such Registration Statement
or any post-effective amendment, when the same has become effective, (B) when the SEC notifies the Company whether there will be
a “review” of such Registration Statement, (C) of any comments (oral or written) by the SEC and by the blue sky or
securities commissioner or regulator of any state with respect thereto and (D) of any request by the SEC for any amendments or
supplements to such Registration Statement or the prospectus or for additional information;

 

(v)         10b-5
Notification. Promptly notify in writing the Participating Holders, the sales or placement agent, if any, therefor and the
managing underwriter of the securities being sold pursuant to any Registration Statement at any time when a prospectus relating
thereto is required to be delivered under the Securities Act upon discovery that, or upon the happening of any event as a result
of which, any prospectus included in such Registration Statement (or amendment or supplement thereto) contains an untrue statement
of a material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein
not misleading in light of the circumstances under which they were made, and the Company shall promptly prepare a supplement or
amendment to such prospectus and file it with the SEC (in any event no later than ten (10) days following notice of the occurrence
of such event to each Participating Holder, the sales or placement agent and the managing underwriter) so that after delivery of
such prospectus, as so amended or supplemented, to the purchasers of such Registrable Securities, such prospectus, as so amended
or supplemented, shall not contain an untrue statement of a material fact or omit to state any material fact required to be stated
therein or necessary to make the statements therein not misleading in light of the circumstances under which they were made;

 

(vi)        Notification
of Stop Orders; Suspensions of Qualifications and Exemptions. Promptly notify in writing the Participating Holders, the sales
or placement agent, if any, therefor and the managing underwriter of the securities being sold of the issuance by the SEC of (A)
any stop order issued or threatened to be issued by the SEC or (B) any notification with respect to the suspension of the qualification
or exemption from qualification of any of the Registrable Securities for sale in any jurisdiction or the initiation or threatening
of any proceeding for such purpose, and the Company agrees to use its reasonable best efforts to (x) prevent the issuance of any
such stop order, and in the event of such issuance, to obtain the withdrawal of any such stop order and (y) obtain the withdrawal
of any order suspending or preventing the use of any related prospectus or suspending the qualification of any Registrable Securities
included in such Registration Statement for sale in any jurisdiction at the earliest practicable date;

 

(vii)       Amendments
and Supplements; Acceleration. Prepare and file with the SEC such amendments, including post-effective amendments to each Registration
Statement as may be necessary to keep such Registration Statement continuously effective for the applicable time period required
hereunder and, if applicable, file any Registration Statements pursuant to Rule 462(b) under the Securities Act; cause the related
prospectus to be supplemented by any required prospectus supplement, and as so supplemented to be filed pursuant to Rule 424 (or
any similar provisions then in force) promulgated under the Securities Act; and comply with the provisions of the Securities Act
and the Exchange Act with respect to the disposition of all securities covered by such Registration Statement during such period
in accordance with the intended methods of disposition by the sellers thereof set forth in such Registration Statement as so amended
or in such prospectus as so supplemented. If a majority in interest of the Participating Holders so request, request acceleration
of effectiveness of the Registration Statement from the SEC and any post-effective amendments thereto, if any are filed; provided
that at the time of such request, the Company does not in good faith believe that it is necessary to amend further the Registration
Statement in order to comply with the provisions of this subparagraph. If the Company wishes to further amend the Registration
Statement prior to requesting acceleration, it shall have five (5) days to so amend prior to requesting acceleration;

 

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(viii)      Copies.
Furnish as promptly as practicable to each Participating Holder and Inspector prior to filing a Registration Statement or any supplement
or amendment thereto, copies of such Registration Statement, supplement or amendment as it is proposed to be filed, and after such
filing such number of copies of such Registration Statement, each amendment and supplement thereto (in each case including all
exhibits thereto), the prospectus included in such Registration Statement (including each preliminary prospectus) and such other
documents as each such Participating Holder or underwriter may reasonably request in order to facilitate the disposition of the
Registrable Securities owned by such Participating Holder;

 

(ix)         Blue
Sky. Use its reasonable best efforts to, prior to any public offering of the Registrable Securities, register or qualify (or
seek an exemption from registration or qualifications) such Registrable Securities under such other securities or blue sky laws
of such jurisdictions as any Participating Holder or underwriter may request, and to continue such qualification in effect in each
such jurisdiction for as long as is permissible pursuant to the laws of such jurisdiction, or for as long as a Participating Holder
or underwriter requests or until all of such Registrable Securities are sold, whichever is shortest, and do any and all other acts
and things which may be reasonably necessary or advisable to enable any Participating Holder to consummate the disposition in such
jurisdictions of the Registrable Securities;

 

(x)          Other
Approvals. Use its reasonable best efforts to obtain all other approvals, consents, exemptions or authorizations from such
governmental agencies or authorities as may be necessary to enable the Participating Holders and underwriters to consummate the
disposition of Registrable Securities;

 

(xi)         Agreements.
Enter into customary agreements (including any underwriting agreements in customary form), and take such other actions as may be
reasonably required in order to expedite or facilitate the disposition of Registrable Securities;

 

(xii)        “Cold
Comfort” Letter. Obtain a “cold comfort” letter from the Company’s independent public accountants in
customary form and covering such matters of the type customarily covered by “cold comfort” letters as the managing
underwriter may reasonably request, and reasonably satisfactory to a majority in interest of the Participating Holders;

 

(xiii)       Legal
Opinion. Furnish, at the request of any underwriter of Registrable Securities on the date such securities are delivered to
the underwriters for sale pursuant to such registration, an opinion, dated such date, of counsel representing the Company for the
purposes of such registration, addressed to the Holders, and the placement agent or sales agent, if any, thereof and the underwriters,
if any, thereof, covering such legal matters with respect to the registration in respect of which such opinion is being given as
such underwriter may reasonably request and as are customarily included in such opinions, and reasonably satisfactory to a majority
in interest of the Participating Holders;

 

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(xiv)      SEC
Compliance; Earnings Statement. Use its reasonable best efforts to comply with all applicable rules and regulations of the
SEC and make available to its shareholders, as soon as reasonably practicable, but no later than fifteen (15) months after the
effective date of any Registration Statement, an earnings statement covering a period of twelve (12) months beginning after the
effective date of such Registration Statement, in a manner which satisfies the provisions of Section 11(a) of the Securities Act
and Rule 158 thereunder;

 

(xv)       Certificates;
Closing. Provide officers’ certificates and other customary closing documents;

 

(xvi)      FINRA.
Cooperate with each Participating Holder and each underwriter participating in the disposition of such Registrable Securities and
underwriters’ counsel in connection with any filings required to be made with FINRA;

 

(xvii)     Road
Show. Cause appropriate officers as are requested by a managing underwriter to participate in a “road show” or
similar marketing effort being conducted by such underwriter with respect to an underwritten public offering;

 

(xviii)    Listing.
Use its reasonable best efforts to cause all such Registrable Securities to be listed on each securities exchange on which similar
securities issued by the Company are then listed and if not so listed, to be listed on the NASDAQ automated quotation system;

 

(xix)      Transfer
Agent, Registrar and CUSIP. Provide a transfer agent and registrar for all Registrable Securities registered pursuant hereto
and a CUSIP number for all such Registrable Securities, in each case, no later than the effective date of such registration;

 

(xx)        Private
Sales. Use its reasonable best efforts to assist a Holder in facilitating private sales of Registrable Securities by, among
other things, providing officers’ certificates and other customary closing documents reasonably requested by a Holder; and

 

(xxi)       Reasonable
Best Efforts. Use its reasonable best efforts to take all other actions necessary to effect the registration of the Registrable
Securities contemplated hereby.

 

(b)          Seller
Information. The Company may require each Participating Holder as to which any registration of such Holder’s Registrable
Securities is being effected to furnish to the Company such information regarding such Holder and such Holder’s method of
distribution of such Registrable Securities as the Company may from time to time reasonably request in writing. If a Holder refuses
to provide the Company with any of such information on the grounds that it is not necessary to include such information in the
Registration Statement, the Company may exclude such Participating Holder’s Registrable Securities from the Registration
Statement if the Company provides such Participating Holder with an opinion of counsel to the effect that such information must
be included in the Registration Statement and such Participating Holder continues thereafter to withhold such information. The
exclusion of a Participating Holder’s Registrable Securities shall not affect the registration of the other Registrable Securities
to be included in the Registration Statement.

 

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(c)          Notice
to Discontinue. Each Participating Holder whose Registrable Securities are covered by a Registration Statement filed pursuant
to this Agreement agrees that, upon receipt of written notice from the Company of the happening of any event of the kind described
in Section 2.6(a)(v), such Participating Holder shall forthwith discontinue the disposition of Registrable Securities until such
Participating Holder’s receipt of the copies of the supplemented or amended prospectus contemplated by Section 2.6(a)(v)
or until it is advised in writing by the Company that the use of the prospectus may be resumed and has received copies of any additional
or supplemental filings which are incorporated by reference into the prospectus, and, if so directed by the Company in the case
of an event described in Section 2.6(a)(v), such Participating Holder shall deliver to the Company (at the Company’s expense)
all copies, other than permanent file copies then in such Participating Holder’s possession, of the prospectus covering such
Registrable Securities which is current at the time of receipt of such notice. If the Company shall give any such notice, the Company
shall extend the period during which such Registration Statement is to be maintained effective by the number of days during the
period from and including the date of the giving of such notice pursuant to Section 2.6(a)(v) to and including the date when the
Participating Holder shall have received the copies of the supplemented or amended prospectus contemplated by, and meeting the
requirements of, Section 2.6(a)(v).

 

Section
2.7           REGISTRATION
EXPENSES. Except as otherwise provided herein, all Registration Expenses shall be borne by the Company. All Selling
Expenses relating to Registrable Securities registered shall be borne by the Participating Holders of such Registrable Securities
pro rata on the basis of the number of Registrable Securities so registered.

 

Section
2.8           INDEMNIFICATION.

 

(a)          Indemnification
by the Company. The Company agrees, notwithstanding termination of this Agreement, to indemnify and hold harmless to the fullest
extent permitted by law, each Holder, each of their directors, officers, employees, advisors, agents and general or limited partners
(and the directors, officers, employees, advisors and agents thereof), their respective Affiliates and each Person who controls
(within the meaning of the Securities Act or the Exchange Act) any of such Persons, and each underwriter and each Person who controls
(within the meaning of the Securities Act or the Exchange Act) any underwriter (collectively, “Holder Indemnified Parties”)
from and against any and all losses, claims, damages, expenses (including, without limitation, reasonable costs of investigation
and fees, disbursements and other charges of counsel, any amounts paid in settlement effected with the Company’s consent,
which consent shall not be unreasonably withheld or delayed and any costs incurred in enforcing the Company’s indemnification
obligations hereunder) or other liabilities (collectively, “Losses”) to which any such Holder Indemnified
Party may become subject under the Securities Act, Exchange Act, any other federal law, any state or common law or any rule or
regulation promulgated thereunder or otherwise, insofar as such Losses (or actions or proceedings, whether commenced or threatened,
in respect thereof) are resulting from or arising out of or based upon (i) any untrue, or alleged untrue, statement of a material
fact contained in any Registration Statement, prospectus or preliminary prospectus (as amended or supplemented) or any document
incorporated by reference in any of the foregoing or resulting from or arising out of or based upon any omission or alleged omission
to state therein a material fact required to be stated therein or necessary to make the statements therein (in the case of a prospectus,
in light of the circumstances under which they were made), not misleading or (ii) any violation by the Company of the Securities
Act, Exchange Act, any other federal law, any state or common law or any rule or regulation promulgated thereunder or otherwise
incident to any registration, qualification or compliance and in any such case, the Company will promptly reimburse each such Holder
Indemnified Party for any legal expenses and any other Losses reasonably incurred in connection with investigating, preparing or
defending any such claim, loss, damage, liability, action or investigation or proceeding (collectively, a “Claim”).
Such indemnity obligation shall remain in full force and effect regardless of any investigation made by or on behalf of the Holder
Indemnified Parties and shall survive the transfer of Registrable Securities by such Holder Indemnified Parties.

 

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(b)          Indemnification
by Holders. In connection with any proposed registration in which a Holder is participating pursuant to this Agreement, each
such Holder shall furnish to the Company in writing such information with respect to such Holder as the Company may reasonably
request or as may be required by law for use in connection with any Registration Statement or prospectus or preliminary prospectus
to be used in connection with such registration and each Holder agrees, severally and not jointly, to indemnify and hold harmless
the Company, any underwriter retained by the Company and their respective directors, officers, partners, employees, advisors and
agents, their respective Affiliates and each Person who controls (within the meaning of the Securities Act or the Exchange Act)
any of such Persons to the same extent as the foregoing indemnity from the Company to the Holder Indemnified Parties as set forth
in Section 2.8(a) (subject to the exceptions set forth in the foregoing indemnity, the proviso to this sentence and applicable
law), but only with respect to any such information furnished in writing by such Holder expressly for use therein; provided,
however, that the liability of any Holder under this Section 2.8(b) shall be limited to the amount of the net proceeds received
by such Holder in the offering giving rise to such liability. Such indemnity obligation shall remain in full force and effect regardless
of any investigation made by or on behalf of the Holder Indemnified Parties (except as provided above) and shall survive the transfer
of Registrable Securities by such Holder.

 

(c)          Conduct
of Indemnification Proceedings. Any Person entitled to indemnification hereunder (the “Indemnified Party”)
agrees to give prompt written notice to the indemnifying party (the “Indemnifying Party”) after the receipt
by the Indemnified Party of any written notice of the commencement of any action, suit, proceeding or investigation or threat thereof
made in writing for which the Indemnified Party intends to claim indemnification or contribution pursuant to this Agreement; provided,
however, that, the failure so to notify the Indemnifying Party shall not relieve the Indemnifying Party of any liability that
it may have to the Indemnified Party hereunder unless and to the extent such Indemnifying Party is materially prejudiced by such
failure. If notice of commencement of any such action is given to the Indemnifying Party as above provided, the Indemnifying Party
shall be entitled to participate in and, to the extent it may wish, jointly with any other Indemnifying Party similarly notified,
to assume the defense of such action at its own expense, with counsel chosen by it and reasonably satisfactory to such Indemnified
Party. The Indemnified Party shall have the right to employ separate counsel in any such action and participate in the defense
thereof, but the fees and expenses of such counsel shall be paid by the Indemnified Party unless (i) the Indemnifying Party agrees
to pay the same, (ii) the Indemnifying Party fails to assume the defense of such action with counsel satisfactory to the Indemnified
Party in its reasonable judgment or (iii) the named parties to any such action (including, but not limited to, any impleaded parties)
reasonably believe that the representation of such Indemnified Party and the Indemnifying Party by the same counsel would be inappropriate
under applicable standards of professional conduct. In the case of clauses (ii) and (iii) above, the Indemnifying Party shall not
have the right to assume the defense of such action on behalf of such Indemnified Party. No Indemnifying Party shall be liable
for any settlement entered into without its written consent, which consent shall not be unreasonably withheld. No Indemnifying
Party shall, without the written consent of the Indemnified Party, effect the settlement or compromise of, or consent to the entry
of any judgment with respect to, any pending or threatened action or claim in respect of which indemnification or contribution
may be sought hereunder (whether or not the Indemnified Party is an actual or potential party to such action or claim) unless such
settlement, compromise or judgment (A) includes an unconditional release of the Indemnified Party from all liability arising out
of such action or claim and (B) does not include a statement as to, or an admission of, fault, culpability or a failure to act
by or on behalf of any Indemnified Party. The rights afforded to any Indemnified Party hereunder shall be in addition to any rights
that such Indemnified Party may have at common law, by separate agreement or otherwise.

 

    	13

    	 

    

  

(d)          Contribution.
If the indemnification provided for in this Section 2.8 from the Indemnifying Party is unavailable or insufficient to hold harmless
an Indemnified Party in respect of any Losses referred to herein, then the Indemnifying Party, in lieu of indemnifying the Indemnified
Party, shall contribute to the amount paid or payable by the Indemnified Party as a result of such Losses in such proportion as
is appropriate to reflect the relative fault of the Indemnifying Party and the Indemnified Party, as well as any other relevant
equitable considerations. The relative faults of the Indemnifying Party and Indemnified Party shall be determined by reference
to, among other things, whether any action in question, including any untrue or alleged untrue statement of a material fact or
omission or alleged omission to state a material fact, was made by, or relates to information supplied by, such Indemnifying Party
or Indemnified Party, and the Indemnifying Party’s and Indemnified Party’s relative intent, knowledge, access to information
and opportunity to correct or prevent such action; provided, however, that the liability of any Holder under this Section 2.8(d)
shall be limited to the amount of the net proceeds received by such Holder in the offering giving rise to such liability. The amount
paid or payable by a party as a result of the Losses or other liabilities referred to above shall be deemed to include, subject
to the limitations set forth in clauses (a), (b) and (c) of this Section 2.8, any legal or other fees, charges or expenses reasonably
incurred by such party in connection with any investigation or proceeding.  The parties hereto agree that it would not be
just and equitable if contribution pursuant to this Section 2.8(d) were determined by pro rata allocation or by any other method
of allocation which does not take account of the equitable considerations referred to in the immediately preceding paragraph. No
person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution pursuant to this Section 2.8(d).

 

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Section
2.9           RULE
144; OTHER EXEMPTIONS. With a view to making available to the Holders the benefits of Rule 144 promulgated under
the Securities Act and other rules and regulations of the SEC that may at any time permit a Holder to sell securities of the Company
to the public without registration, the Company covenants that it shall (i) file in a timely manner all reports and other documents
required to be filed by it under the Securities Act and the Exchange Act and the rules and regulations adopted by the SEC thereunder
and (ii) take such further action as each Holder may reasonably request (including, but not limited to, providing any information
necessary to comply with Rule 144, if available with respect to resales of the Registrable Securities under the Securities Act),
at all times from and after the date hereof, all to the extent required from time to time to enable such Holder to sell Registrable
Securities without registration under the Securities Act within the limitation of the exemptions provided by (x) Rule 144 (if available
with respect to resales of the Registrable Securities) under the Securities Act, as such rule may be amended from time to time
or (y) any other rules or regulations now existing or hereafter adopted by the SEC. Upon the written request of a Holder, the Company
shall deliver to the Holder a written statement as to whether it has complied with such requirements.

 

Section
2.10         CERTAIN
LIMITATIONS ON REGISTRATION RIGHTS. No Holder may participate in any Registration Statement hereunder unless
such Holder completes and executes all questionnaires, powers of attorney, indemnities, underwriting agreements, and other documents
reasonably required under the terms of such underwriting arrangements, and agrees to sell such Holder’s Registrable Securities
on the basis provided in any underwriting agreement approved by the Holder or Holders entitled hereunder to approve such arrangements;
provided, however, that no such Holder shall be required to make any representations or warranties to the Company or the
underwriters in connection with any such registration other than representations and warranties as to (i) such Holder’s ownership
of its Registrable Securities to be sold or transferred, (ii) such Holder’s power and authority to effect such transfer and
(iii) such matters pertaining to compliance with applicable securities laws as may be reasonably requested. Such Holders of Registrable
Securities to be sold by such underwriters may, at their option, require that any or all of the representations and warranties
by, and the other agreements on the part of the Company to and for the benefit of such underwriters, shall also be made to and
for the benefit of such Holders and that any or all of the conditions precedent to the obligations of the underwriters under the
underwriting agreement be conditions precedent to the obligations of the Holders.

 

Section
2.11         LIMITATIONS
ON SUBSEQUENT REGISTRATION RIGHTS. The Company represents and warrants that other than pursuant to the Backstop
Registration Rights Agreement, it has not granted registration rights on or prior to the date hereof and agrees that from and after
the date hereof, it shall not, without the prior written consent of the Holders of at least fifty percent (50%) of the Registrable
Securities then outstanding, enter into any agreement (or amendment or waiver of the provisions of any agreement) with any holder
or prospective holder of any securities of the Company that would grant such holder registration rights that are more favorable,
pari passu or senior to those granted to the Investor Parties hereunder.

 

Section
2.12         TRANSFER
OF REGISTRATION RIGHTS. The rights of a Holder hereunder may be transferred or assigned in connection with
a transfer of Registrable Securities to (i) any Affiliate of a Holder, (ii) any subsidiary, parent, partner, retired partner, limited
partner, shareholder or member of a Holder, (iii) any family member or trust for the benefit of any Holder or (iv) any transferee
who, after such transfer, holds at least one thousand (1,000) Registrable Securities (as adjusted for any stock dividends, stock
splits, combinations and reorganizations and similar events). Notwithstanding the foregoing, such rights may only be transferred
or assigned provided that all of the following additional conditions are satisfied: (a) such transfer or assignment is effected
in accordance with applicable securities laws; (b) such transferee or assignee agrees in writing to become subject to the terms
of this Agreement; and (c) the Company is given written notice by such Holder of such transfer or assignment, stating the
name and address of the transferee or assignee and identifying the Registrable Securities with respect to which such rights are
being transferred or assigned.

 

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ARTICLE
III

GENERAL PROVISIONS

 

Section
3.1           ENTIRE
AGREEMENT. This Agreement and any certificates, documents, instruments and writings that are delivered pursuant
hereto, constitutes the entire agreement and understanding of the parties in respect of the subject matter hereof and supersedes
all prior understandings, agreements or representations by or among the parties, written or oral, to the extent they relate in
any way to the subject matter hereof.

 

Section
3.2           ASSIGNMENT;
BINDING EFFECT. Except as otherwise provided in Section 2.12, no party may assign either this Agreement or any of
its rights, interests or obligations hereunder without the prior written approval of the other parties. All of the terms, agreements,
covenants, representations, warranties and conditions of this Agreement are binding upon, and inure to the benefit of and are enforceable
by, the parties and their respective successors and permitted assigns.

 

Section
3.3           NOTICES.
All notices, requests and other communications provided for or permitted to be given under this Agreement must be in writing and
shall be given by personal delivery, by certified or registered United States mail (postage prepaid, return receipt requested),
by a nationally recognized overnight delivery service for next day delivery, or by facsimile transmission, to the address listed
for each party in the Transaction Agreement or the Commitment Agreement, as applicable (or to such other address as any party may
give in a notice given in accordance with the provisions hereof). All notices, requests or other communications will be effective
and deemed given only as follows: (i) if given by personal delivery, upon such personal delivery, (ii) if sent by certified or
registered mail, on the fifth business day after being deposited in the United States mail, (iii) if sent for next day delivery
by overnight delivery service, on the date of delivery as confirmed by written confirmation of delivery, (iv) if sent by facsimile,
upon the transmitter’s confirmation of receipt of such facsimile transmission, except that if such confirmation is received
after 5:00 p.m. (in the recipient’s time zone) on a business day, or is received on a day that is not a business day, then
such notice, request or communication will not be deemed effective or given until the next succeeding business day. Notices, requests
and other communications sent in any other manner, including by electronic mail, will not be effective.

 

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Section
3.4           SPECIFIC
PERFORMANCE; REMEDIES. Each party acknowledges and agrees that the other parties would be damaged irreparably if
any provision of this Agreement were not performed in accordance with its specific terms or were otherwise breached. Accordingly,
the parties will be entitled to an injunction or injunctions to prevent breaches of the provisions of this Agreement and to enforce
specifically this Agreement and its provisions in any action or proceeding instituted in any state or federal court sitting in
New York City, New York having jurisdiction over the parties and the matter, in addition to any other remedy to which they may
be entitled, at law or in equity. Except as expressly provided herein, the rights, obligations and remedies created by this Agreement
are cumulative and in addition to any other rights, obligations or remedies otherwise available at law or in equity. Except as
expressly provided herein, nothing herein will be considered an election of remedies.

 

Section
3.5           SUBMISSION
TO JURISDICTION; WAIVER OF JURY TRIAL.

 

(a)          Submission
to Jurisdiction. Any action, suit or proceeding seeking to enforce any provision of, or based on any matter arising out of
or in connection with, this Agreement or the transactions contemplated hereby shall only be brought in any state or federal court
sitting in New York City, New York, and each party consents to the exclusive jurisdiction and venue of such courts (and of the
appropriate appellate courts therefrom) in any such action, suit or proceeding and irrevocably waives, to the fullest extent permitted
by law, any objection that it may now or hereafter have to the laying of the venue of any such, action, suit or proceeding in any
such court or that any such action, suit or proceeding brought in any such court has been brought in an inconvenient forum. Process
in any such action, suit or proceeding may be served on any party anywhere in the world, whether within or without the jurisdiction
of any such court. Without limiting the foregoing, service of process on such party as provided in Section 3.5 shall be deemed
effective service of process on such party.

 

(b)          Waiver
of Jury Trial. EACH PARTY ACKNOWLEDGES THAT ANY DISPUTE THAT MAY ARISE OUT OF OR RELATING TO THIS AGREEMENT IS LIKELY TO INVOLVE
COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE SUCH PARTY HEREBY EXPRESSLY WAIVES ITS RIGHT TO JURY TRIAL OF ANY DISPUTE BASED
UPON OR ARISING OUT OF THIS AGREEMENT OR ANY OTHER AGREEMENTS RELATING HERETO OR ANY DEALINGS AMONG THEM RELATING TO THE TRANSACTIONS
CONTEMPLATED HEREBY. THE SCOPE OF THIS WAIVER IS INTENDED TO ENCOMPASS ANY AND ALL ACTIONS, SUITS AND PROCEEDINGS THAT RELATE TO
THE SUBJECT MATTER OF THE TRANSACTIONS CONTEMPLATED HEREBY, INCLUDING CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS, AND
ALL OTHER COMMON LAW AND STATUTORY CLAIMS. EACH PARTY REPRESENTS THAT (i) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY
HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT IN THE EVENT OF ANY ACTION, SUIT OR PROCEEDING, SEEK TO
ENFORCE THE FOREGOING WAIVER, (ii) SUCH PARTY UNDERSTANDS AND WITH THE ADVICE OF COUNSEL HAS  CONSIDERED THE IMPLICATIONS
OF THIS WAIVER, (iii) SUCH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (iv) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT
BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND REPRESENTATIONS IN THIS SECTION 3.5(b).

 

Section
3.6           GOVERNING
LAW. This Agreement will be governed by and construed in accordance with the laws of the State of New York,
without giving effect to any choice of law principles.

 

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Section
3.7           HEADINGS.
The article and section headings contained in this Agreement are inserted for convenience only and will not affect in any way the
meaning or interpretation of this Agreement.

 

Section
3.8           AMENDMENTS.
This Agreement may not be amended or modified without the written consent of the Company and the Holders of at least fifty percent
(50%) of the Registrable Securities then outstanding; provided, however, that any amendment or modification that adversely
affects the rights of one or more Holders of Registrable Securities under this Agreement, in their capacity as such, in a manner
that is materially different from the manner in which such amendment or modification affects the rights of other Holders of Registrable
Securities under this Agreement, in their capacity as such, shall require the consent of each such adversely affected Holder.

 

Section
3.9           EXTENSIONS;
WAIVERS. Any party may, for itself only, (a) extend the time for the performance of any of the obligations of any
other party under this Agreement, (b) waive any inaccuracies in the representations and warranties of any other party contained
herein or in any document delivered pursuant hereto and (c) waive compliance with any of the agreements or conditions for the benefit
of such party contained herein. Any such extension or waiver will be valid only if set forth in a writing signed by the party to
be bound thereby. No waiver by any party of any default, misrepresentation or breach of warranty or covenant hereunder, whether
intentional or not, may be deemed to extend to any prior or subsequent default, misrepresentation or breach of warranty or covenant
hereunder or affect in any way any rights arising because of any prior or subsequent such occurrence. Neither the failure nor any
delay on the part of any party to exercise any right or remedy under this Agreement shall operate as a waiver thereof, nor shall
any single or partial exercise of any right or remedy preclude any other or further exercise of the same or of any other right
or remedy.

 

Section
3.10         SEVERABILITY.
The provisions of this Agreement will be deemed severable and the invalidity or unenforceability of any provision will not affect
the validity or enforceability of the other provisions hereof; provided that if any provision of this Agreement, as applied
to any party or to any circumstance, is judicially determined not to be enforceable in accordance with its terms, the parties agree
that the court judicially making such determination may modify the provision in a manner consistent with its objectives such that
it is enforceable, and/or to delete specific words or phrases, and in its modified form, such provision will then be enforceable
and will be enforced.

 

Section
3.11         COUNTERPARTS;
EFFECTIVENESS. This Agreement may be executed in two or more counterparts, each of which will be deemed an
original but all of which together will constitute one and the same instrument. This Agreement will become effective when one or
more counterparts have been signed by each of the parties and delivered to the other parties. For purposes of determining whether
a party has signed this Agreement or any document contemplated hereby or any amendment or waiver hereof, only a handwritten original
signature on a paper document or a facsimile copy of such a handwritten original signature shall constitute a signature, notwithstanding
any law relating to or enabling the creation, execution or delivery of any contract or signature by electronic means.

 

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Section
3.12         CONSTRUCTION.
This Agreement has been freely and fairly negotiated among the parties. If an ambiguity or question of intent or interpretation
arises, this Agreement will be construed as if drafted jointly by the parties and no presumption or burden of proof will arise
favoring or disfavoring any party because of the authorship of any provision of this Agreement. Any reference to any law will be
deemed to refer to such law as in effect on the date hereof and all rules and regulations promulgated thereunder, unless the context
requires otherwise. The words “include,” “includes,” and “including” will be deemed to be followed
by “without limitation.” Pronouns in masculine, feminine, and neuter genders will be construed to include any other
gender, and words in the singular form will be construed to include the plural and vice versa, unless the context otherwise requires.
The words “this Agreement,” “herein,” “hereof,” “hereby,” “hereunder,”
and words of similar import refer to this Agreement as a whole and not to any particular subdivision unless expressly so limited.
The parties intend that each representation, warranty, and covenant contained herein will have independent significance. If any
party has breached any covenant contained herein in any respect, the fact that there exists another covenant relating to the same
subject matter (regardless of the relative levels of specificity) which the party has not breached will not detract from or mitigate
the fact that the party is in breach of the first covenant. Time is of the essence in the performance of this Agreement.

 

Section
3.13         ATTORNEYS’
FEES. If any dispute among any parties arises in connection with this Agreement, the prevailing party in the resolution
of such dispute in any action or proceeding will be entitled to an order awarding full recovery of reasonable attorneys’
fees and expenses, costs and expenses (including experts’ fees and expenses and the costs of enforcing this Section 3.13)
incurred in connection therewith, including court costs, from the non-prevailing party.

 

Section
3.14         ADJUSTMENTS
FOR STOCK SPLITS, ETC.. Wherever in this Agreement there is a reference to a specific number of shares of the Company’s
capital stock of any class or series, then, upon the occurrence of any subdivision, combination or stock dividend of such class
or series of stock, the specific number of shares so referenced in this Agreement will automatically be proportionally adjusted
to reflect the effect of such subdivision, combination or stock dividend on the outstanding shares of such class or series of stock.

 

[SIGNATURE PAGES FOLLOW]

 

    	19

    	 

    

 

IN WITNESS WHEREOF, the parties hereto have
executed this Agreement as of the date first above written.

 

	 	JBGL EXCHANGE (OFFSHORE), LLC,
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL WILLOW CREST (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL HAWTHORNE (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL INWOOD (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL CHATEAU (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	JBGL CASTLE PINES (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL MUSTANG (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL KITTYHAWK (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL LAKESIDE (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories
	 	 	 
	 	JBGL BUILDER FINANCE (OFFSHORE), LLC
	 	By:	Greenlight APE, LLC, its Manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	 	Name:	Daniel Roitman/Harry Brandler
	 	 	Title:	Authorized Signatories

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	GREENLIGHT CAPITAL QUALIFIED, LP
	 	By:	Greenlight Capital, Inc., its investment manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer
	 	 	 
	 	GREENLIGHT CAPITAL, LP
	 	By:	Greenlight Capital, Inc., its investment manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer
	 	 	 
	 	GREENLIGHT CAPITAL OFFSHORE PARTNERS
	 	By:	Greenlight Capital, Inc., its investment advisor
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer
	 	 	 
	 	GREENLIGHT REINSURANCE, LTD.
	 	By:	DME Advisors, LP, its investment advisor
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	GREENLIGHT CAPITAL (GOLD), LP
	 	By:	DME Capital Management, LP, its investment manager
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer
	 	 	 
	 	GREENLIGHT CAPITAL OFFSHORE MASTER (GOLD), LTD.
	 	By:	DME Capital Management, LP, its investment advisor
	 	 	 
	 	By:	/s/ Daniel Roitman/Harry Brandler
	 	Name:	Daniel Roitman/Harry Brandler
	 	Title:	Chief Operating Officer/Chief Financial Officer

 

    	 

    	 

    

 

	 	By:	/s/ Scott L. Roberts
	 	Name:	Scott L. Roberts

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

 

	 	L. LORAINE BRICKMAN REVOCABLE TRUST
	 	 	 
	 	By:	/s/ James R. Brickman
	 	Name: James R. Brickman
	 	Title: Trustee

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	ROGER E. BRICKMAN GST MARITAL TRUST
	 	 
	 	By:	/s/ James R. Brickman
	 	Name: James R. Brickman
	 	Title: Trustee

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	By:	/s/ James R. Brickman
	 	Name: James R. Brickman

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

 

	 	By:	/s/ Blake Brickman
	 	Name: Blake Brickman

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	By:	/s/ Jennifer Brickman Roberts
	 	Name: Jennifer Brickman Roberts

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	By:	/s/ Trevor Brickman
	 	Name: Trevor Brickman

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

  

	 	By:	/s/ Natalie Brickman
	 	Name: Natalie Brickman

 

Signature Page to Registration Rights
Agreement

 

    	 

    	 

    

 

	 	GREEN BRICK PARTNERS, INC.
	 	 	 
	 	By:	/s/ James R. Brickman
	 	 	Name:	James R. Brickman
	 	 	Title:	Authorized Signatory

 

Signature Page to Registration Rights
Agreement

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}]]