Document:

Exhibit

Exhibit 10.35
SEPARATION AGREEMENT AND RELEASE
THIS SEPARATION AGREEMENT AND RELEASE (this “Agreement”) is entered into on February 1, 2018, by and between Armstrong Flooring, Inc., a Delaware corporation (the “Company”) and Joseph N. Bondi (“Executive”).  The Company and Executive may be referred to herein individually as a “Party” and collectively as the “Parties.”
WITNESSETH: 
WHEREAS, Executive notified the Company of his intent to resign his position as Senior Vice President and Chief Product Officer, effective May 31, 2018 (the “Separation Date”), and the Company wishes to accept such resignation; 
WHEREAS, for the purpose of transferring and transitioning Executive’s knowledge pertaining to the Company and its business solely and exclusively to others at the Company and/or its affiliated entities, the Parties desire that Executive serve in the employ of the Company for the employment transition period as set forth herein; and
WHEREAS, the Parties wish to enter into the arrangement set forth exclusively in this Agreement.
NOW, THEREFORE, in consideration of the promises and the releases, representations, covenants and obligations herein contained, the Company and Executive, intending to be legally bound, hereby agree as follows:
1.Resignation.  Executive hereby irrevocably resigns from all positions he holds with the Company (including Senior Vice President and Chief Product Officer) and Executive agrees to execute any additional documents required by the Company to effectuate such resignations.  
2.    Employment Transition Period.  The Company agrees to maintain Executive as an employee of the Company from February 1, 2018 through May 31, 2018 (the “Employment Transition Period”) and the Parties further agree as follows:
(a)    During the Employment Transition Period, Executive will continue to receive his monthly base pay at the rate in effect as of February 1, 2018 (US $28,600.00) and applicable perquisites, less applicable deductions and withholdings in accordance with Company’s usual payroll practices and procedures.  During the Employment Transition Period, Executive will continue in a full time non-executive, non-officer employment role reporting to the Company’s President and Chief Executive Officer, Donald R. Maier (the “CEO”), or the CEO’s designee. Executive agrees that he will devote his full working time and effort to the performance of his duties hereunder during the Employment Transition Period.    
(b)    During the Employment Transition Period, Executive will be eligible to participate in the Company’s standard employee benefit plans in which Executive participated as of the date of this Agreement, including medical, dental, and vision care as elected by Executive for calendar year 2018; vacation; and sick pay, as such plans shall be in effect from time to time. During the Employment Transition Period, Executive will also receive his 2017 annual bonus, to the extent earned under the Company’s Annual Incentive Plan, when such bonuses are customarily paid.  

 (c)    Executive’s employment remains at-will during the Employment Transition Period.  Executive acknowledges and agrees that on May 31, 2018, Executive’s employment with the Company will terminate unless earlier terminated by reason of Executive’s death or terminated by the Company due to a breach of this Agreement by Executive or for “Cause”.  The term “Cause” shall mean any of the following conduct by Executive, as determined in the sole reasonable discretion of the CEO: (a) conviction of a felony or a crime involving moral turpitude; (b) fraud, dishonesty, misrepresentation, theft or misappropriation of funds with respect to the Company; (c) violation of the Company’s Code of Conduct or employment policies; or (d) gross misconduct in the performance of the Executive’s job duties. At the end of the Employment Transition Period, Executive will have incurred a separation of service within the meaning of Section 409A of the Internal Revenue Code, including for purposes of the Company’s Nonqualified Deferred Compensation Plan.
(d)    Except as specifically provided herein, Executive shall not be entitled to any other compensation during the Employment Transition Period.  Without limiting the generality of the forgoing, Executive shall not be eligible for any award under the Company’s Annual Incentive Plan in respect of 2018 or any grant of long-term incentive awards during or following the Employment Transition Period.  Company matching credits under the Company’s Nonqualified Deferred Compensation Plan that are unvested as of the Separation Date and all earnings on such credited amounts as of the Separation Date shall be forfeited in their entirety on the Separation Date. Executive shall be entitled to: (i) continue to vest in his award of restricted stock units granted on February 24, 2015, subject to his continued employment on the vesting date and otherwise in accordance with its terms, and (ii) continue to exercise his vested and exercisable stock options granted on May 19, 2014 for thirty (30) days following the expiration of any securities trading prohibition based on Executive’s involvement in any confidential Company project, which expiration shall occur no earlier than the first day of the Company’s first open trading window that occurs on or after the Separation Date, after which any stock options that remain unexercised shall terminate and the Company shall have no further obligation or responsibility with respect thereto.  Executive acknowledges that compliance with applicable securities laws is his responsibility.  All other awards, if any, held by Executive that are outstanding on the Separation Date, including the performance stock awards granted on April 11, 2016 and March 7, 2017 and the time-based restricted stock units granted on January 5, 2018, shall terminate and be forfeited in their entirety, as of the Separation Date.
3.    Payments.  
(a)    Provided that this Agreement becomes effective pursuant to its terms and Executive remains in compliance with this Agreement at all times, the Company shall pay Executive his monthly base pay through February 28, 2018, less all applicable withholding, commencing with the first payroll period following the date this Agreement becomes effective.
(b)    Provided the conditions in Section 3(a) hereof are satisfied and Executive executes the ADEA Release provided in Section 10 hereof on or within twenty-one (21) days following the date of this Agreement and does not thereafter timely revoke his consent to it, (i) the Company shall pay Executive his monthly base pay from March 1, 2018 through May 31, 2018, less all applicable withholding, commencing with the first payroll period following March 1, 2018, and (ii) Employee shall also continue to receive all applicable perquisites through May 31, 2018, including, but not limited to, reimbursement of his expenses.   
(c)    Provided Executive is employed by the Company through May 31, 2018 or such employment was previously terminated by the Company other than for Executive’s breach of this Agreement and other than for Cause, the conditions in Section 3(b) hereof are satisfied and Executive executes the release attached hereto as Appendix A, Section 1 (the “Supplemental Release”) on or within twenty-one (21) days following the Separation Date and does not thereafter timely revoke his consent to it, the Company shall pay Executive a lump sum payment in 

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the amount of $250,000), less all applicable withholding, in the first payroll period following the Supplemental Release Effective Date.  
(d)    If Executive dies before any applicable payment required hereunder is made, the Company shall make such payment(s) to Executive’s estate.   
4.    No Other Payments or Benefits.  Executive acknowledges and agrees that, except for the entitlements set forth herein, he has received all payments and benefits to which he is entitled from the Company and is not entitled to any other compensation, benefits, or payments from the Company or any other Company Parties (as defined below). 
5.    Return of Property.  Executive agrees that within five (5) business days of the Separation Date, he will deliver, without retaining any copies, all documents and other material in Executive’s possession relating, directly or indirectly, to any Confidential Information (as defined in Section 6 below) or other proprietary information of the Company, or Confidential Information or other proprietary information regarding third parties, learned as an employee of the Company, including, but not limited to, any and all documents, contracts, agreements, plans, books, notes, including electronically stored data and any copies of the foregoing, as well as all materials or equipment supplied by the Company, such as credit cards, laptop or other computer equipment.  Executive represents that the Company has returned to him all personal effects which were located at the Company’s premises.  
6.    Confidentiality and Confidential Information.  
(a)    Executive represents that he has held, and Executive agrees that he will at all times hold, in the strictest confidence and has not and will not make any unauthorized disclosure, directly or indirectly, of any Confidential Information of the Company, or third parties, or make any use thereof, directly or indirectly, except in working for the Company or as required by law, court order or regulation, provided Executive provides reasonable advance notice of any such required disclosure to the Company.  Executive assigns to the Company any rights he may have or acquire in such Confidential Information and recognizes that all such information shall be the sole property of the Company and its successors or assigns.
(b)    “Confidential Information” means and includes the Company’s confidential and/or proprietary information and/or trade secrets, including those that have been and/or will be developed or used and that cannot be obtained readily by third parties from outside sources.  Confidential Information includes, but is not limited to, the following:  information regarding past, current and prospective customers and investors and business affiliates, employees, contractors, and the industry not generally known to the public; strategies, methods, books, records, and documents; technical information concerning products, equipment, services and processes; procurement procedures, pricing, and pricing techniques; including contact names, services provided, pricing, type and amount of services used, financial and sales data; trading methodologies and terms; communications information; evaluations, opinions and interpretations of information and data; marketing and merchandising techniques; electronic databases; models; specifications; computer programs; contracts; bids or proposals; technologies and methods; training methods and processes; organizational structure; personnel information; payments or rates paid to consultants or other service providers; and other such confidential or proprietary information.  Executive acknowledges that the Company’s business is highly competitive, that this Confidential Information constitutes a valuable, special and unique asset used by the Company in its business, and that protection of such Confidential Information against unauthorized disclosure and use is of critical importance to the Company.  Confidential Information shall not include information that (i) was already in Executive’s possession prior to disclosure by the Company but not developed by Executive; (ii) was independently 

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developed by Executive without reference to the Company’s Confidential Information; (iii) is obtained from a third party who is not prohibited from transmitting the information to Executive by a contractual, legal or fiduciary obligation to the Company; or (iv) is or becomes generally available to the public other than as a result of an improper disclosure by Executive.  
7.    Permitted Disclosures.  Pursuant to 18 U.S.C. § 1833(b), Executive will not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret of the Company that (i) is made (A) in confidence to a Federal, State, or local government official, either directly or indirectly, or to his attorney and (B) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding.  If Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, Executive may disclose the trade secret to his attorney and use the trade secret information in the court proceeding, if Executive (i) files any document containing the trade secret under seal, and (ii) does not disclose the trade secret, except pursuant to court order.  Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create liability for disclosures of trade secrets that are expressly allowed by such section.  Further, nothing in this Agreement or any other agreement that Executive has with the Company shall prohibit or restrict Executive from making any voluntary disclosure of information or documents concerning possible violations of law to, or seek a whistleblower award from, any governmental agency or legislative body, or any self-regulatory organization, in each case, without advance notice to the Company.
8.    Release. 
(a)    Executive hereby releases, discharges and forever acquits the Company, and its affiliates and subsidiaries and the past, present and future stockholders, members, partners, directors, managers, employees, agents, attorneys, heirs, legal representatives, successors and assigns of the foregoing, in their personal and representative capacities (individually, “Company Party,” and collectively, the “Company Parties”), from liability for, and hereby waives, any and all employment-related claims, charges, liabilities, causes of action, rights, complaints, sums of money, suits, debts, covenants, contracts, agreements, promises, benefits, obligations, damages, demands or liabilities of every nature, kind and description, in law, equity or otherwise, whether known or unknown, suspected or unsuspected (collectively, “Claims”) which Executive or Executive’s heirs, executors, administrators, spouse, relatives, successors or assigns ever had, now has or may hereafter claim to have by reason of any matter, cause or thing whatsoever: (i) arising from the beginning of time through the date upon which Executive signs this Agreement including, but not limited to (A) any such Claims relating in any way to Executive’s employment relationship with the Company or any other Company Parties, and (B) any such Claims arising under any federal, state, local or foreign statute or regulation, including, without limitation, Title VII of the Civil Rights Act of 1964, the Americans with Disabilities Act of 1990, the Employee Retirement Income Security Act of 1974 and any other federal, state, local or foreign law (statutory, regulatory or otherwise) that may be legally waived and released; (ii) relating to wrongful employment termination; or (iii) arising under or relating to any policy, agreement, understanding or promise, written or oral, formal or informal, between the Company or any of the other Company Parties and Executive, including, without limitation, the Amended and Restated Change in Control Severance Agreement between Executive and the Company, effective December 1, 2017 (“Change in Control Agreement”), the Company’s Severance Pay Plan for Executive Employees and any incentive compensation plan or stock option plan with any Company Party; provided, however, that nothing in this Release shall release or impair any rights that cannot be waived under applicable law or, subject to the last sentence of Section 2(d) of this Agreement, any direct or indirect holdings of equity or any vested awards (or awards which may vest) which Executive has under any equity, equity based, stock option or similar plan, agreement or program which equity and awards shall be subject to all the terms and conditions of such documents, any rights to accrued and vested benefits 

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under any of the Company’s employee retirement and welfare benefit plans, any claims to require the Company to honor its commitments set forth in this Agreement or to interpret this Agreement, or any rights to defense or indemnification based on Executive’s past conduct within the course and scope of his duties for the Company that Executive is otherwise entitled to receive under the Company’s certificate of incorporation or bylaws, state law or insurance policies pursuant to Executive’s Indemnification Agreement with the Company, dated as of March 30, 2016 (the “Excluded Claims”).  
(b)    Executive represents that Executive has not brought or joined any lawsuit or filed any charge or claim against any Company Party in any court or before any government agency and has made no assignment of any rights Executive has asserted or may have against any of the Company Parties to any person or entity, in each case, with respect to any released Claims.
(c)    Executive further acknowledges and agrees that, except with respect to Excluded Claims, the Company Parties have fully satisfied any and all obligations whatsoever owed to him arising out of his employment with the Company or any other Company Party, and that no further payments or benefits are owed to him by the Company or any other Company Party.
9.    Review.  By executing and delivering this Agreement, Executive acknowledges that Executive has carefully read this Agreement, and specifically, the release in Section 8 (the “Release”).  Executive has been and hereby is advised in writing that Executive may, at Executive’s option, discuss the Release with an attorney of Executive’s choice and that Executive has had adequate opportunity to do so.  Executive fully understands the final and binding effect of the Release; the only promises made to Executive to sign this Release are those stated herein; and Executive is signing this Release voluntarily and of Executive’s own free will.
10.    ADEA Release; Review and Revocation Period.  
(a)    Executive hereby releases, discharges and forever acquits the Company and each Company Party from liability for, and hereby waives, any and all Claims which Executive or Executive’s heirs, executors, administrators, spouse, relatives, successors or assigns ever had, now has or may hereafter claim to have by reason of any matter, cause or thing whatsoever, arising under the Age Discrimination in Employment Act of 1967, as amended by the Older Workers Benefit Protection Act (the “ADEA”).
(b)    By executing this Agreement in the signature block designated for the ADEA Release in the signature page hereto, Executive acknowledges that Executive has carefully read the release in this Section 10(a) (the “ADEA Release”); Executive has had at least twenty-one (21) days to consider the ADEA Release before execution and delivery hereof to the Company; and Executive has been and hereby is advised in writing that Executive may, at Executive’s option, discuss the ADEA Release with an attorney of Executive’s choice and that Executive has had adequate opportunity to do so.  Executive fully understands the final and binding effect of the ADEA Release; the only promises made to Executive to sign this ADEA Release are those stated herein; and Executive is signing this ADEA Release voluntarily and of Executive’s own free will.
(b)    Notwithstanding the initial effectiveness of the ADEA Release, Executive may revoke the execution and delivery (and therefore the effectiveness) of Executive’s ADEA Release within the seven (7) day period beginning on the date Executive delivers the execution to the Company (such seven (7) day period being referred to herein as the “ADEA Release Revocation Period”). To be effective, such revocation must be in writing 

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signed by Executive and must be delivered to Company before 11:59 p.m., Eastern Standard time, on the last day of the ADEA Release Revocation Period.
(c)    In the event of such revocation of the ADEA Release by Executive, this Agreement shall remain in full force and effect, except that Executive’s ADEA Release shall be of no force or effect, and Executive shall not have any rights, and the Company shall not have any obligations, under Sections 2 or 3 of this Agreement, except to pay Executive his monthly base pay through February 28, 2018.  Provided that Executive does not revoke his consent to the ADEA Release within the ADEA Release Revocation Period, the ADEA Release shall become effective on the eighth (8th) calendar day after the date upon which Executive executes this Agreement in the signature block designated for the ADEA Release in the signature page hereto.  
(d)    Executive represents that Executive has not brought or joined any lawsuit or filed any charge or claim against any Company Party in any court or before any government agency and has made no assignment of any rights Executive has asserted or may have against any of the Company Parties to any person or entity, in each case, with respect to any released Claims under the ADEA.
11.    Restrictive Covenants.  Executive acknowledges and agrees that the restrictive covenants and agreements set forth in Section 8 of the Change in Control Agreement and any other written restrictive covenants and agreements in effect with the Company are incorporated herein by reference and fully made a part hereof for all purposes and remain in full force and effect.
12.    No Admission.  Nothing herein shall be deemed to constitute an admission of wrongdoing by Executive or any of the Company Parties.  Neither this Agreement nor any of its terms may be used as an admission or introduced as evidence as to any issue of law or fact in any proceeding, suit or action, other than an action to enforce this Agreement. 
13.    Counterparts.  This Agreement may be executed in counterparts, and each counterpart, when so executed and delivered, shall be deemed to be an original and both counterparts, taken together, shall constitute one and the same Agreement.  A faxed or .pdf-ed signature shall operate the same as an original signature.
14.    Successors and Assigns.  This Agreement shall inure to the benefit of and be binding upon the Company and any successor organization which shall succeed to the Company by acquisition, merger, consolidation or operation of law, or by acquisition of assets of the Company and any assigns.  The Company shall require any successor or assign to assume and agree to perform under this Agreement in the same manner and to the same extent that the Company would have been required to perform it if no such succession or assignment had taken place, except under circumstance in which such assumption occurs by operation of law.  As used in this Agreement, “Company” shall mean both the Company as defined above and any successor or assign that assumes and agrees to perform this agreement, by operation of law or otherwise.  Executive may not assign this Agreement, except with respect to the rights provided under Section 3 of this Agreement, which shall inure to the benefit of Executive’ heirs, executors and administrators. 
15.    Section 409A.    The intent of the parties is that payments and benefits under this Agreement comply with section 409A of the Code to the extent subject thereto or be exempt therefrom, and, accordingly, to the maximum extent permitted, this Agreement shall be interpreted and administered to be in compliance therewith.  Notwithstanding anything contained herein to the contrary, to the extent required to avoid the application of an accelerated or additional tax under Section 409A of the Code, the Executive shall not be considered to have terminated 

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employment with the Company for purposes of this Agreement until such time as the Executive is considered to have incurred a “separation from service” from the Company within the meaning of Section 409A of the Code.  Each amount to be paid or benefit to be provided under this Agreement shall be construed as a separately identified payment for purposes of Section 409A of the Code, and any payments that are due within the “short term deferral period” as defined by Section 409A of the Code shall not be treated as deferred compensation unless applicable law requires otherwise.   
16.    Severability; Blue-Penciling.  The provisions of this Agreement are severable and the invalidity of any one or more provisions shall not affect the validity of any other provision.  In the event that a court of competent jurisdiction shall determine that any provision of this Agreement or the application thereof is unenforceable in whole or in part because of the scope thereof, the Parties hereto agree that said court in making such determination shall have the power to reduce the scope of such provision to the extent necessary to make it enforceable, and that this Agreement in its reduced form shall be valid and enforceable to the full extent permitted by law. 
17.    Governing Law.  This Agreement will be governed by and construed in accordance with the laws of the Commonwealth of Pennsylvania, without regard to any conflict of law principles thereof that would give rise to the application of the laws of any other jurisdiction.
18.    Entire Agreement/No Oral Modifications.  This Agreement constitutes the entire agreement between Executive and any of the Company Parties with respect to the subject matter hereof and supersedes all prior negotiations, representations, arrangements or agreements relating thereto, whether written or oral, including but not limited to the Change in Control Agreement, provided, however, that Section 8 of the Change in Control Agreement shall remain in effect.  Executive represents that in executing this Agreement, Executive has not relied on any representation or statement not set forth herein.  No amendment or modification of this Agreement shall be valid or binding on the Parties unless in writing and signed by both Parties. 
*        *        *

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IN WITNESS WHEREOF, the Parties have signed this Agreement as of the date first above written.
	
		
	Armstrong Flooring, Inc.
	Joseph N. Bondi

	 
	 

	By:

/s/ John C. Bassett                                                      
John C. Bassett
SVP, Human Resources
	/s/ Joseph N. Bondi                                                         
Joseph N. Bondi

 

EXECUTION FOR 
PURPOSES OF THE ADEA RELEASE

/s/ Joseph N. Bondi                                            
Joseph N. Bondi

Date:  February 1, 2018                                      

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APPENDIX A: SUPPLEMENTAL RELEASE
1.     Release.  
(a)    For good and valuable consideration, including the Company’s provision of a certain payment to Executive in accordance with Section 3(c) of the Separation Agreement and Release, dated February 1, 2018 (the “Separation Agreement”), Executive releases, discharges and forever acquits the Company, and its affiliates and subsidiaries and the past, present and future stockholders, members, partners, directors, managers, employees, agents, attorneys, heirs, legal representatives, successors and assigns of the foregoing, in their personal and representative capacities (individually, “Company Party,” and collectively, the “Company Parties”), from liability for, and hereby waives, any and all employment-related claims, charges, liabilities, causes of action, rights, complaints, sums of money, suits, debts, covenants, contracts, agreements, promises, benefits, obligations, damages, demands or liabilities of every nature, kind and description, in law, equity or otherwise, whether known or unknown, suspected or unsuspected (collectively, “Claims”) which Executive or Executive’s heirs, executors, administrators, spouse, relatives, successors or assigns ever had, now has or may hereafter claim to have by reason of any matter, cause or thing whatsoever: (i) arising from the beginning of time through the date upon which Executive signs this Agreement including, but not limited to (A) any such Claims relating in any way to Executive’s employment relationship with the Company or any other Company Parties, and (B) any such Claims arising under any federal, state, local or foreign statute or regulation, including, without limitation, the Age Discrimination in Employment Act of 1967, as amended by the Older Workers Benefit Protection Act, Title VII of the Civil Rights Act of 1964, the Americans with Disabilities Act of 1990, the Employee Retirement Income Security Act of 1974 and any other federal, state, local or foreign law (statutory, regulatory or otherwise) that may be legally waived and released; (ii) relating to wrongful employment termination; or (iii) arising under or relating to any policy, agreement, understanding or promise, written or oral, formal or informal, between the Company or any of the other Company Parties and Executive, including, without limitation, the Amended and Restated Change in Control Severance Agreement between Executive and the Company, effective December 1, 2017, the Company’s Severance Pay Plan for Executive Employees and any incentive compensation plan or stock option plan with any Company Party; provided, however, that nothing in this Release shall release or impair any rights that cannot be waived under applicable law or, subject to the last sentence of Section 2(d) of the Separation Agreement, any direct or indirect holdings of equity or any vested awards (or awards which may vest) which Executive has under any equity, equity based, stock option or similar plan, agreement or program which equity and awards shall be subject to all the terms and conditions of such documents, any rights to accrued and vested benefits under any of the Company’s employee retirement and welfare benefit plans, any claims to require the Company to honor its commitments set forth in the Separation Agreement or to interpret that Agreement or this Supplemental Release, or any rights to defense or indemnification based on Executive’s past conduct within the course and scope of his duties for the Company that Executive is otherwise entitled to receive under the Company’s certificate of incorporation or bylaws, state law or insurance policies [pursuant to Executive’s Indemnification Agreement with the Company, dated as of March 30, 2016 (the “Excluded Claims”).  
(b)    Executive represents that Executive has not brought or joined any lawsuit or filed any charge or claim against any Company Party in any court or before any government agency and has made no assignment of any rights Executive has asserted or may have against any of the Company Parties to any person or entity, in each case, with respect to any released Claims.
(c)    Executive further acknowledges and agrees that, except with respect to Excluded Claims, the Company Parties have fully satisfied any and all obligations whatsoever owed to him arising out of his 

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employment with the Company or any other Company Party, and that no further payments or benefits are owed to him by the Company or any other Company Party.
2.    Review and Revocation Period.  
(a)    By executing and delivering this Supplemental Release, Executive acknowledges that Executive has carefully read this Supplemental Release; Executive has had at least twenty-one (21) days to consider this Supplemental Release before execution and delivery hereof to the Company; and Executive has been and hereby is advised in writing that Executive may, at Executive’s option, discuss this Supplemental Release with an attorney of Executive’s choice and that Executive has had adequate opportunity to do so.  Executive fully understands the final and binding effect of this Supplemental Release; the only promises made to Executive to sign this Supplemental Release are those stated herein; and Executive is signing this Supplemental Release voluntarily and of Executive’s own free will.
(b)    Notwithstanding the initial effectiveness of this Supplemental Release, Executive may revoke the execution and delivery (and therefore the effectiveness) of this Supplemental Release within the seven day period beginning on the date Executive delivers the re-execution to the Company (such seven day period being referred to herein as the “Release Revocation Period”). To be effective, such revocation must be in writing signed by Executive and must be delivered to Company before 11:59 p.m., Eastern Standard time, on the last day of the Release Revocation Period.
(c)    In the event of such revocation by Executive, this Supplemental Release shall be of no force or effect, and Executive shall not have any rights and the Company shall not have any obligations under Section 3(c) of the Separation Agreement.  Provided that Executive does not revoke his consent to this Supplemental Release within the Release Revocation Period, this Supplemental Release shall become effective on the eighth (8th) calendar day after the date upon which he executes this Supplemental Release (the “Supplemental Release Effective Date”). 

______________________________________
Joseph N. Bondi

Date:  _________________________________

10Exhibit 4.1

 

Execution Version

 

 

 

 

 

WESTROCK COMPANY

 

as Issuer

 

and

 

WESTROCK MWV, LLC

 

and

 

WESTROCK RKT COMPANY

 

as Guarantors

 

_________________

 

SECOND SUPPLEMENTAL INDENTURE

 

Dated as of March 6, 2018

 

to

 

INDENTURE

 

Dated as of August 24, 2017

 

_________________

 

THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A.

 

as Trustee

 

 

 

 

3.750% Senior Notes due 2025

4.000% Senior Notes due 2028

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

TABLE OF CONTENTS

 

Page

	ARTICLE I

                                                                                 

                                                                                Definitions

	SECTION 1.1. Definition of Terms.	2
	SECTION 1.2. Other Definitions.	6
	SECTION 1.3. Rules of Construction.	7
	ARTICLE II

                                                                                 

                                                                                General Terms and Conditions of the Notes

	SECTION 2.1. Designation and Principal Amount.	8
	SECTION 2.2. Further Issues.	8
	SECTION 2.3. Maturity.	9
	SECTION 2.4. Interest.	9
	SECTION 2.5. Form of Notes.	9
	SECTION 2.6. Special Transfer Provisions.	11
	SECTION 2.7. Optional Redemption.	14
	SECTION 2.8. Mandatory Redemption.	15
	SECTION 2.9. Appointment of Depositary.	15
	SECTION 2.10. Change of Control.	15
	SECTION 2.11. Defeasance.	17
	ARTICLE III

                                                                                 

                                                                                Amendments to Base Indenture

	SECTION 3.1. Consolidation, Merger and Sale of Assets.	17
	SECTION 3.2. Events of Default.	17
	ARTICLE IV

                                                                                 

                                                                                Miscellaneous

	SECTION 4.1. Ratification of Base Indenture.	17
	SECTION 4.2. Trustee Not Responsible for Recitals, etc.	17
	SECTION 4.3. Governing Law; Waiver of Jury Trial.	18
	SECTION 4.4. Severability.	18
	SECTION 4.5. Counterpart Originals.	18

 

	EXHIBIT A-1 	Form of 2025 Notes
	EXHIBIT A-2	Form of 2028 Notes

 

    	 	i	 

     

    

 

 

	EXHIBIT B-1	Form of Certificate to be Delivered in Connection with Transfers Pursuant to Rule 144A — 2025 Notes
	EXHIBIT B-2	Form of Certificate to be Delivered in Connection with Transfers Pursuant to Rule 144A — 2028 Notes
	EXHIBIT C-1	Form of Certificate to be Delivered in Connection with Transfers Pursuant to Regulation S — 2025 Notes
	EXHIBIT C-2	Form of Certificate to be Delivered in Connection with Transfers Pursuant to Regulation S — 2028 Notes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	ii	 

     

    

 

Second SUPPLEMENTAL
INDENTURE, dated as of March 6, 2018 (this “Supplemental Indenture”), by and among WestRock Company, a Delaware
corporation (the “Issuer”), WestRock MWV, LLC, a Delaware limited liability company (“WRK MWV”),
WestRock RKT Company, a Georgia corporation (“WRK RKT” and, together with WRK MWV, the “Guarantors”),
and The Bank of New York Mellon Trust Company, N.A., a national banking association organized under the laws of the United States
of America, as trustee (the “Trustee”).

 

RECITALS

 

WHEREAS, the Issuer and the Guarantors previously executed and delivered
an indenture, dated as of August 24, 2017, among the Issuer, the Guarantors and the Trustee (the “Base Indenture”
and, as supplemented by this Supplemental Indenture with respect to the Notes (as defined below), the “Indenture”)
to provide for the issuance from time to time of the Issuer’s unsecured debentures, notes or other evidences of indebtedness
(the “Securities”), to be issued in one or more series and guaranteed by the Guarantors on the terms set forth
therein;

 

WHEREAS, pursuant to the terms of the Base Indenture, the Issuer desires
to provide for the establishment of two new series of Securities under the Base Indenture to be known as its “3.750% Senior
Notes due 2025” (the “2025 Notes”) and its “4.000% Senior Notes due 2028” (the “2028
Notes” and, together with the 2025 Notes, the “Notes”), the form and substance of such series and
the terms, provisions and conditions thereof to be set forth as provided in the Base Indenture and this Supplemental Indenture;

 

WHEREAS, the Board of Directors of the Issuer, has duly authorized
the issuance of the Notes, and has authorized the proper officers of the Issuer to execute any and all appropriate documents necessary
or appropriate to effect such issuance;

 

WHEREAS, this Supplemental Indenture is being entered into pursuant
to the provisions of Sections 2.1 and 9.1(xi) of the Base Indenture;

 

WHEREAS, the Issuer has requested that the Trustee execute and deliver
this Supplemental Indenture;

 

AND WHEREAS, all acts and things necessary to make this Supplemental
Indenture a valid agreement according to its terms, and to make the Notes, when executed by the Issuer and authenticated and delivered
by the Trustee, the valid obligations of the Issuer and the Guarantees the valid obligations of the Guarantors, have been done
and performed, and the execution of this Supplemental Indenture and the issue hereunder of the Notes has been duly authorized in
all respects;

 

NOW THEREFORE, in consideration of the premises and the purchase of
the Notes by the Holders thereof, and for the purpose of setting forth, as provided in the Base Indenture, the forms and terms
of the Notes, each of the Issuer and the Guarantors covenants and agrees with the Trustee, as follows:

 

     

    	 	2

    

 

ARTICLE I

Definitions

 

SECTION 1.1. Definition of Terms. For all purposes
of this Supplemental Indenture, except as otherwise expressly provided or unless the context otherwise requires, the following
terms shall have the following meanings:

 

(i)                
“Additional Interest” means all additional interest then owing on Notes pursuant to a Registration
Rights Agreement.

 

(ii)              
“Additional 2025 Notes” means notes issued pursuant to Section 2.2 hereof and having identical terms
as the Initial 2025 Notes, other than as expressly permitted by Section 2.2.

 

(iii)            
“Additional 2028 Notes” means notes issued pursuant to Section 2.2 hereof and having identical terms
as the Initial 2028 Notes, other than as expressly permitted by Section 2.2.

 

(iv)            
“Change of Control” means the occurrence of any one of the following:

 

(1) the direct or indirect sale, lease, transfer, conveyance
or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially
all of the assets of the Issuer and its Subsidiaries taken as a whole to any “person” (as that term is used in Section
13(d)(3) of the Exchange Act) other than to the Issuer or one of its Subsidiaries;

 

(2) the consummation of any transaction (including without
limitation, any merger or consolidation) the result of which is that any “person” (as that term is used in Section
13(d)(3) of the Exchange Act) becomes the ultimate “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the
Exchange Act), directly or indirectly, of more than 50% of the outstanding Voting Stock of the Issuer, measured by voting power
rather than number of shares;

 

(3) the Issuer consolidates with, or merges with or into,
any Person, or any Person consolidates with, or merges with or into, the Issuer, in any such event pursuant to a transaction in
which any of the outstanding Voting Stock of the Issuer or such other Person is converted into or exchanged for cash, securities
or other property, other than any such transaction where the shares of the Voting Stock of the Issuer outstanding immediately prior
to such transaction constitute, or are converted into or exchanged for, a majority of the Voting Stock of the surviving Person
or any direct or indirect parent company of the surviving Person immediately after giving effect to such transaction;

 

     

    	 	3

    

 

(4) the first day on which the majority of the members
of the Board of Directors of the Issuer cease to be Continuing Directors; or

 

(5) the adoption of a plan relating to the liquidation
or dissolution of the Issuer.

 

For the avoidance of doubt, the KapStone Acquisition and
the Issuer’s related corporate reorganization shall not constitute a Change of Control.

 

(v)              
“Change of Control Triggering Event” means the Notes of the applicable series cease to be rated Investment
Grade by both Rating Agencies on any date during the period (the “Trigger Period”) commencing sixty (60) days
prior to the first public announcement of the intention to effect any Change of Control (or pending Change of Control) and ending
sixty (60) days following consummation of such Change of Control (which Trigger Period will be extended following consummation
of a Change of Control for so long as either Rating Agency has publicly announced that it is considering a possible ratings change),
provided that in making the relevant decision(s) referred to above to downgrade or withdraw such ratings, as applicable,
the relevant Rating Agency announces publicly or confirms in writing to the Issuer that such decisions(s) resulted, in whole or
in part, from any event or circumstance comprising part of or arising as a result of, or in respect of, such Change of Control
or the first public announcement of the intention to effect such Change of Control (whether or not such Change of Control has occurred
at the time of the downgrade or withdrawal in ratings). If a Rating Agency (including any successor to, or replacement Rating Agency
for, a Rating Agency) is not providing a rating for the Notes of such series at the commencement of any Trigger Period, the Notes
of such series will be deemed to have ceased to be rated Investment Grade by such Rating Agency during that Trigger Period. Notwithstanding
the foregoing, no Change of Control Triggering Event will be deemed to have occurred in connection with any particular Change of
Control unless and until such Change of Control has actually been consummated.

 

(vi)            
“Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment
Banker as having a maturity comparable to the remaining term of the Notes of the applicable series to be redeemed that would be
utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt
securities of comparable maturity to the remaining term of the Notes of the applicable series.

 

(vii)          
“Comparable Treasury Price” means, as determined by the Issuer, with respect to any Redemption Date,
(1) the average of the Reference Treasury Dealer Quotations for such Redemption Date, after excluding the highest and lowest such
Reference Treasury Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than five such Reference Treasury
Dealer Quotations, the average of all such Reference Treasury Dealer Quotations.

 

     

    	 	4

    

 

(viii)        
“Continuing Directors” means, as of any date of determination, any member of the Board of Directors of
the Issuer who:

 

(1) was a member of such Board of Directors on the date
of this Supplemental Indenture; or

 

(2) was nominated for election or elected to such Board
of Directors with the approval of a majority of the Continuing Directors who were members of such Board of Directors at the time
of such nomination or election.

 

(ix)            
“Exchange Notes” means notes registered by the Issuer under the Securities Act and issued in exchange
for, and having terms substantially identical to, Initial Notes of a series, pursuant to a Registration Rights Agreement.

 

(x)              
“Exchange Offer” means an offer that may be made by the Issuer and the Guarantors pursuant to a Registration
Rights Agreement to exchange Notes bearing the Restricted Notes Legend for Exchange Notes.

 

(xi)            
“Independent Investment Banker” means an independent investment banking institution of national standing
appointed by the Issuer.

 

(xii)          
“Initial 2025 Notes” means notes issued under this Supplemental Indenture on the date hereof that contain
the restrictive legend on Exhibit A-1.

 

(xiii)        
“Initial 2028 Notes” means notes issued under this Supplemental Indenture on the date hereof that contain
the restrictive legend on Exhibit A-2.

 

(xiv)        
“Initial Notes” means collectively the Initial 2025 Notes and Initial 2028 Notes.

 

(xv)          
“Investment Grade” means a rating of Baa3 or better by Moody’s (or its equivalent under any successor
rating category of Moody’s) and a rating of BBB- or better by S&P (or its equivalent under any successor rating category
of S&P) and the equivalent investment grade credit rating from any replacement Rating Agency or Rating Agencies selected by
the Issuer under the circumstances permitting the Issuer to select a replacement agency and in the manner for selecting a replacement
agency, in each case as set forth in the definition of “Rating Agency.”

 

(xvi)        
“KapStone Acquisition” means the acquisition by the Issuer, through Whiskey Holdco, Inc., a Delaware
corporation and a wholly owned subsidiary of the Issuer (“Holdco”), of all of the outstanding equity interests in KapStone
Paper and Packaging Corporation, a Delaware corporation (“KapStone”), pursuant to the Merger Agreement.

 

     

    	 	5

    

 

(xvii)      
“Merger Agreement” means the Agreement and Plan of Merger dated as of January 28, 2018, among the Issuer,
Holdco, Whiskey Merger Sub, Inc., a Delaware corporation and a wholly owned subsidiary of Holdco, Kola Merger Sub, Inc., a Delaware
corporation and a wholly owned subsidiary of Holdco, and KapStone, as such agreement may be amended, supplemented or otherwise
modified from time to time.

 

(xviii)    
“Moody’s” means Moody’s Investors Service, Inc., a subsidiary of Moody’s Corporation,
and its successors.

 

(xix)        
“Rating Agency” means each of Moody’s and S&P; provided, that if either of Moody’s
or S&P ceases to provide rating services to issuers or investors, the Issuer may appoint a replacement for such Rating Agency.

 

(xx)          
“Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any
Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable
Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Independent Investment
Banker by such Reference Treasury Dealer at 5:00 p.m. (New York City time) on the third Business Day preceding such Redemption
Date (or, in the case of discharge or defeasance prior to a Redemption Date, on the third Business Day preceding the date of the
deposit of funds with the Trustee).

 

(xxi)        
“Reference Treasury Dealers” means Wells Fargo Securities, LLC, Merrill Lynch, Pierce, Fenner & Smith
Incorporated, Mizuho Securities USA LLC, a primary U.S. government securities dealer selected by MUFG Securities Americas Inc.
(or its respective successors or affiliates which are Primary Treasury Dealers), Scotia Capital (USA) Inc., a primary U.S. government
securities dealer selected by SMBC Nikko Securities America, Inc. (or its respective successors or affiliates which are Primary
Treasury Dealers) and SunTrust Robinson Humphrey, Inc. and their respective successors; provided, however, that if
any of the foregoing shall cease to be a primary U.S. Government securities dealer in the United States (a “Primary Treasury
Dealer”), the Issuer shall substitute therefor another Primary Treasury Dealer.

 

(xxii)      
“Registration Rights Agreement” means the Registration Rights Agreement, dated as of the date of this
Supplemental Indenture, among the Issuer, the Guarantors and Wells Fargo Securities, LLC, Merrill Lynch, Pierce, Fenner & Smith
Incorporated, Mizuho Securities USA LLC, MUFG Securities Americas Inc., Scotia Capital (USA) Inc., SMBC Nikko Securities America,
Inc. and SunTrust Robinson Humphrey, Inc., as representatives of the initial purchasers of the Notes, and any similar agreement
entered into in connection with any additional Notes.

 

     

    	 	6

    

 

(xxiii)    
“Restricted Note” has the meaning set forth in Rule 144(a)(3) under the Securities Act for the term “restricted
securities”. Restricted Notes are required to bear the Restricted Notes Legend.

 

(xxiv)    
“Restricted Notes Legend” means the legend identified as such in Section 2.5(d).

 

(xxv)      
“S&P” means S&P Global Ratings, a division of S&P Global Inc., and its successors.

 

(xxvi)    
“Treasury Rate” means, with respect to any Redemption Date, (1) the yield, which represents the
average for the immediately preceding week, appearing in the most recently published statistical release designated “H.15”
or any successor publication which is published weekly by the Board of Governors of the Federal Reserve System and which establishes
yields on actively traded United States Treasury securities adjusted to constant maturity for the maturity corresponding to the
Comparable Treasury Issue (or if no maturity is within three months before or after the maturity date of the Notes of the applicable
series, yields for the two published maturities most closely corresponding to the Comparable Treasury Issue shall be determined
and the Treasury Rate shall be interpolated or extrapolated from such yields on a straight-line basis, rounded to the nearest month)
or (2) if such release (or any successor release) is not published during the week preceding the calculation date or does
not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue,
calculated using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable
Treasury Price for such Redemption Date. The Treasury Rate shall be calculated by the Independent Investment Banker on the third
Business Day preceding such Redemption Date (or in the case of discharge or defeasance prior to a Redemption Date, on the third
Business Day preceding the date of deposit of funds with the Trustee).

 

(xxvii)   “Unrestricted
Notes” means one or more Notes that do not and are not required to bear the Restricted Notes Legend including, without
limitation, the Exchange Notes and any Notes registered under the Securities Act pursuant to and in accordance with a Registration
Rights Agreement.

 

SECTION 1.2. Other Definitions.

 

 

	Term	Defined in Section
	“2025 Notes Interest Payment Date”	2.4(a)
	“2028 Notes Interest Payment Date”	2.4(b)
	“2025 Notes”	Recitals
	“2028 Notes”	Recitals
	“2025 Par Call Date”	2.7(a)
	“2028 Par Call Date”	2.7(b)
	“Base Indenture”	Preamble

 

     

    	 	7

    

 

	Term	Defined in Section
	“Change of Control Offer”	2.10(a)
	“Change of Control Payment Date”	2.10(a)
	“Guarantors”	Preamble
	“Indenture”	Recitals
	“Issuer”	Preamble
	“Notes”	Recitals
	“Primary Treasury Dealer”	1.1(xxi)
	“QIB Global Security”	2.5(c)
	“QIBs”	2.5(c)
	“Regulation S Global Security”	2.5(c)
	“Regulation S”	2.5(c)
	“Rule 144A”	2.5(c)
	“Supplemental Indenture”	Preamble
	“Trustee”	Preamble

 

 

SECTION 1.3. Rules of Construction. Unless the context
otherwise requires:

 

(i)                
each term defined in the Base Indenture has the same meaning when used in this Supplemental Indenture;

 

(ii)              
a term has the meaning assigned to it;

 

(iii)            
an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP;

 

(iv)            
“or” is not exclusive;

 

(v)              
words in the singular include the plural, and in the plural include the singular;

 

(vi)            
unless the context otherwise requires, any reference to an “Article” or a “Section” refers to an
Article or a Section, as the case may be, of this Supplemental Indenture;

 

(vii)          
the words “herein,” “hereof” and “hereunder” and other words of similar import refer
to this Supplemental Indenture as a whole and not to any particular Article, Section or other subdivision; and

 

(viii)        
for the avoidance of doubt, any references to “interest” shall include any Additional Interest that may be payable
on a particular Note or Notes.

 

     

    	 	8

    

 

ARTICLE II

General Terms and Conditions of the Notes

 

SECTION 2.1. Designation and Principal Amount. There are
hereby authorized and established two series of Securities under the Base Indenture, designated as the “3.750% Senior Notes
due 2025” which is not limited in aggregate principal amount and the “4.000% Senior Notes due 2028” which is
not limited in aggregate principal amount. The aggregate principal amount of the 2025 Notes to be issued as of the date hereof
shall be $600,000,000. The aggregate principal amount of the 2028 Notes to be issued as of the date hereof shall be $600,000,000.

 

SECTION 2.2. Further Issues.

 

(a) 2025 Notes. So long as no Default or Event of Default shall
have occurred and be continuing with respect to the 2025 Notes at the time of such issuance, the Issuer may from time to time,
without the consent of the Holders of the 2025 Notes, issue Additional 2025 Notes. Any such Additional 2025 Notes subsequently
issued under this Supplemental Indenture will have the same interest rate, maturity date and other terms as the Initial 2025 Notes,
other than, as determined by the Issuer, the date of issuance, issue price, initial Interest Payment Date and amount of interest
payable on the initial Interest Payment Date applicable thereto (and, if such Additional 2025 Notes shall be issued in the form
of Restricted Notes and the 2025 Notes then outstanding are no longer Restricted Notes at the time of such issuance, other than
with respect to transfer restrictions, any Registration Rights Agreement and Additional Interest provisions with respect thereto).
The Initial 2025 Notes and any Additional 2025 Notes subsequently issued under this Supplemental Indenture will constitute a single
series of 2025 Notes under the Indenture; provided that if any such Additional 2025 Notes would not be fungible with the
outstanding 2025 Notes for U.S. federal income tax purposes, the Issuer shall cause such Additional 2025 Notes to be issued with
a separate CUSIP number. Unless the context otherwise requires, for all purposes of the Indenture, references to the 2025 Notes
shall include any Additional 2025 Notes actually issued.

 

(b) 2028 Notes. So long as no Default or Event of Default shall
have occurred and be continuing with respect to the 2028 Notes at the time of such issuance, the Issuer may from time to time,
without the consent of the Holders of the 2028 Notes, issue Additional 2028 Notes. Any such Additional 2028 Notes subsequently
issued under this Supplemental Indenture will have the same interest rate, maturity date and other terms as the Initial 2028 Notes,
other than, as determined by the Issuer, the date of issuance, issue price, initial Interest Payment Date and amount of interest
payable on the initial Interest Payment Date applicable thereto (and, if such Additional 2028 Notes shall be issued in the form
of Restricted Notes and the 2028 Notes then outstanding are no longer Restricted Notes at the time of such issuance, other than
with respect to transfer restrictions, any Registration Rights Agreement and Additional Interest provisions with respect thereto).
The Initial 2028 Notes and any Additional 2028 Notes subsequently issued under this Supplemental Indenture will constitute a single
series of 2028 Notes under the Indenture; provided that if any such Additional 2028 Notes would not be fungible with the
outstanding 2028 Notes for U.S. federal income tax purposes, the Issuer shall cause such Additional 2028 Notes to be issued with
a separate CUSIP number. Unless the context otherwise requires, for all purposes of the Indenture, references to the 2028 Notes
shall include any Additional 2028 Notes actually issued.

 

     

    	 	9

    

 

SECTION 2.3. Maturity. The 2025 Notes will mature on March
15, 2025 and the 2028 Notes will mature on March 15, 2028.

 

SECTION 2.4. Interest.

 

(a) 2025 Notes. Interest on the 2025 Notes will be payable in
Dollars semi-annually in arrears on March 15 and September 15 of each year, commencing on September 15, 2018 (each a “2025
Notes Interest Payment Date”). Interest on the 2025 Notes shall accrue (computed on the basis of a 360-day year comprised
of twelve 30-day months) from the most recent date to which interest has been paid or, if no interest has been paid, from and including
March 6, 2018. The Issuer will pay interest on the 2025 Notes on the applicable 2025 Notes Interest Payment Date to the Persons
who are registered Holders of the 2025 Notes at the close of business on the March 1 and September 1 (whether or not any such date
is a Business Day) immediately preceding the relevant 2025 Notes Interest Payment Date. The interest rate on the 2025 Notes will
in no event be higher than the maximum rate permitted by New York law as the same may be modified by United States law of general
application.

 

(b) 2028 Notes. Interest on the 2028 Notes will be payable in
Dollars semi-annually in arrears on March 15 and September 15 of each year, commencing on September 15, 2018 (each a “2028
Notes Interest Payment Date”). Interest on the 2028 Notes shall accrue (computed on the basis of a 360-day year comprised
of twelve 30-day months) from the most recent date to which interest has been paid or, if no interest has been paid, from and including
March 6, 2018. The Issuer will pay interest on the 2028 Notes on the applicable 2028 Interest Payment Date to the Persons who are
registered Holders of the 2028 Notes at the close of business on the March 1 and September 1 (whether or not any such date is a
Business Day) immediately preceding the relevant 2028 Interest Payment Date. The interest rate on the 2028 Notes will in no event
be higher than the maximum rate permitted by New York law as the same may be modified by United States law of general application.

 

(c) In any case where any Interest Payment Date shall not be a Business
Day at any place of payment, then (notwithstanding any other provision of the Indenture or of the applicable series of Notes) payment
of interest need not be made at such place of payment on such date, but may be made on the next succeeding Business Day at such
place of payment with the same force and effect as if made on the Interest Payment Date; and no interest shall accrue on such amount
for the period from and after such Interest Payment Date if payment is made on the next succeeding Business Day.

 

SECTION 2.5. Form of Notes.

 

     

    	 	10

    

 

(a) The 2025 Notes shall be substantially in the form of Exhibit A-1
attached hereto, which is incorporated by reference herein. The 2028 Notes shall be substantially in the form of Exhibit A-2 attached
hereto, which is incorporated by reference herein.

 

(b) On the date hereof, the Issuer shall execute and the Trustee shall
authenticate and deliver the Initial Notes in the form of Global Securities that (i) shall be registered in the name of the
Depositary or the nominee of the Depositary and (ii) shall be delivered by the Trustee to the Depositary, pursuant to the
Depositary’s instructions, or held by the Trustee as Global Security Custodian.

 

(c) The Initial Notes are being issued by the Issuer only (i) to
“qualified institutional buyers” (as defined in Rule 144A under the Securities Act (“Rule 144A”))
(“QIBs”) and (ii) in reliance on Regulation S under the Securities Act (“Regulation S”).
Initial Notes that are offered in reliance on Rule 144A shall be issued in the form of one or more permanent Global Securities
substantially in the form set forth in Exhibit A-1 (in the case of the 2025 Notes) hereto or Exhibit A-2 (in the case of the 2028
Notes) hereto (each, a “QIB Global Security”) bearing the Restricted Notes Legend and the Global Security Legend
and deposited with the Trustee, as Global Security Custodian. Initial Notes that are offered in offshore transactions in reliance
on Regulation S shall be issued in the form of one or more permanent Global Securities substantially in the form set forth in Exhibit
A-1 (in the case of the 2025 Notes) hereto or Exhibit A-2 (in the case of the 2028 Notes) hereto (each, a “Regulation
S Global Security”) bearing the Restricted Notes Legend and the Global Security Legend and deposited with the Trustee,
as Global Security Custodian. The QIB Global Security and the Regulation S Global Security shall be issued with separate CUSIP
numbers. The aggregate principal amount of each Global Security may from time to time be increased or decreased by adjustments
made on the records of the Trustee, as Global Security Custodian. Transfers of Notes between QIBs and to or by purchasers pursuant
to Regulation S shall be represented by appropriate increases and decreases to the respective amounts of the appropriate Global
Securities, as more fully provided in Section 2.6 below.

 

(d) Restricted Notes Legend. Unless and until (i) a Restricted
Note is exchanged for an Exchange Note or sold in connection with an effective shelf registration statement or (ii) the Issuer
determines and there is delivered to the Trustee an Opinion of Counsel and an Officers’ Certificate to the effect that the
following legend and the related restrictions on transfer are not required in order to maintain compliance with the provisions
of the Securities Act, each Global Security and each Definitive Security (and all Notes issued in exchange therefor or substitution
therefor) shall bear the legend in substantially the following form:

 

     

    	 	11

    

 

“THE SECURITY (OR ITS PREDECESSOR) EVIDENCED HEREBY WAS
ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER SECTION 5 OF THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED
(THE “SECURITIES ACT”), AND THE SECURITY EVIDENCED HEREBY MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE
ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THE SECURITY EVIDENCED HEREBY IS HEREBY NOTIFIED
THAT THE SELLER MAY BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE 144A THEREUNDER.
THE HOLDER OF THE SECURITY EVIDENCED HEREBY AGREES FOR THE BENEFIT OF THE ISSUER THAT (A) SUCH SECURITY MAY BE RESOLD, PLEDGED
OR OTHERWISE TRANSFERRED ONLY (i)(a) TO A PERSON WHO THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS DEFINED
IN RULE 144A UNDER THE SECURITIES ACT) PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER IN
A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A UNDER THE SECURITIES ACT, (b) IN A TRANSACTION MEETING THE REQUIREMENTS OF
RULE 144 UNDER THE SECURITIES ACT, (c) OUTSIDE THE UNITED STATES TO A NON-U.S. PERSON IN A TRANSACTION MEETING THE REQUIREMENTS
OF RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR (d) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT (AND BASED UPON AN OPINION OF COUNSEL IF THE ISSUER SO REQUESTS), (ii) TO THE ISSUER OR (iii)
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT AND, IN EACH CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE
OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION, AND (B) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO,
NOTIFY ANY PURCHASER OF THE SECURITY EVIDENCED HEREBY OF THE RESALE RESTRICTIONS SET FORTH IN CLAUSE (A) ABOVE. NO REPRESENTATION
CAN BE MADE AS TO THE AVAILABILITY OF THE EXEMPTION PROVIDED BY RULE 144 FOR RESALE OF THE SECURITY EVIDENCED HEREBY.

 

CANADIAN RESALE LEGEND: THIS SECURITY HAS NOT BEEN QUALIFIED
BY PROSPECTUS OR OTHERWISE PURSUANT TO CANADIAN SECURITIES LAWS. UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS
SECURITY MUST NOT TRADE THIS SECURITY IN CANADA OR TO CANADIAN RESIDENTS BEFORE THE DATE THAT IS FOUR MONTHS AND A DAY AFTER MARCH
6, 2018.”

 

SECTION 2.6. Special Transfer Provisions. Unless and until
(i) a Restricted Note is exchanged for an Exchange Note or sold in connection with an effective shelf registration statement
or (ii) the Restricted Notes Legend is no longer required pursuant to Section 2.5(d), the following provisions shall apply:

 

     

    	 	12

    

 

(a) Transfers to QIBs. The following provisions shall apply
with respect to the registration of any proposed transfer of a Restricted Note (other than pursuant to Regulation S):

 

(i)       The Registrar shall register
the transfer of a Restricted Note by a Holder to a QIB if such transfer is being made by a proposed transferor who has provided
the Registrar with (1) an appropriately completed certificate of transfer in the form attached to the Note and (2) a letter substantially
in the form set forth in Exhibit B-1 (in the case of the 2025 Notes) hereto or Exhibit B-2 (in the case of the 2028 Notes) hereto.

 

(ii)       If the proposed transferee
is an Agent Member and the Restricted Note to be transferred consists of an interest in the Regulation S Global Security, upon
receipt by the Registrar of (1) the items required by paragraph (i) above and (2) instructions given in accordance with the Depositary’s
and the Registrar’s procedures therefor, the Registrar shall reflect on its books and records the date and an increase in
the principal amount of the QIB Global Security in an amount equal to the principal amount of the beneficial interest in the Regulation
S Global Security to be so transferred, and the Registrar shall reflect on its books and records the date and an appropriate decrease
in the principal amount of such Regulation S Global Security.

 

(b) Transfers Pursuant to Regulation S. The following provisions
shall apply with respect to registration of any proposed transfer of a Restricted Note pursuant to Regulation S:

 

(i)       The Registrar shall register
any proposed transfer of a Restricted Note pursuant to Regulation S by a Holder upon receipt of (1) an appropriately completed
certificate of transfer in the form attached to the Note and (2) a letter substantially in the form set forth in Exhibit C-1
(in the case of the 2025 Notes) hereto or Exhibit C-2 (in the case of the 2028 Notes) hereto from the proposed transferor.

 

(ii)       If the proposed transferee
is an Agent Member and the Restricted Note to be transferred consists of an interest in a QIB Global Security, upon receipt by
the Registrar of (1) the letter required by paragraph (i) above and (2) instructions in accordance with the Depositary’s
and the Registrar’s procedures therefor, the Registrar shall reflect on its books and records the date and an increase in
the principal amount of the Regulation S Global Security in an amount equal to the principal amount of the beneficial interest
in the QIB Global Security to be transferred, and the Registrar shall reflect on its books and records the date and an appropriate
decrease in the principal amount of the QIB Global Security.

 

(c) Exchange Offer. Upon the occurrence of an Exchange Offer,
the Issuer shall issue, and, upon receipt of an authentication order in accordance with Section 2.3 of the Base Indenture, the
Trustee shall authenticate, one or more Global Securities not bearing the Restricted Notes Legend in an aggregate principal amount
equal to the principal amount of the beneficial interests in the Global Securities that are Restricted Notes tendered for acceptance
in accordance with the Exchange Offer and accepted for exchange in the Exchange Offer. Concurrently with the issuance of such Global
Securities, the Registrar shall cause the aggregate principal amount of the applicable Restricted Notes to be reduced accordingly,
and the Registrar shall cause to be delivered to the Persons designated by the Holders of Restricted Notes so accepted Global Securities
not bearing the Restricted Notes Legend in the appropriate principal amount.

 

     

    	 	13

    

 

(d) Restricted Notes Legend. Upon the transfer, exchange or
replacement of Unrestricted Notes, the Registrar shall deliver Unrestricted Notes that do not bear the Restricted Notes Legend.
Upon the transfer, exchange or replacement of Restricted Notes, other than in exchange for Exchange Notes pursuant to an Exchange
Offer, the Registrar shall cause to be delivered only Restricted Notes that bear the Restricted Notes Legend unless the Restricted
Notes Legend is no longer required by Section 2.5(d), and there is delivered to the Trustee an Opinion of Counsel and an Officers’
Certificate of the Issuer, each to the effect that neither such legend nor the related restrictions on transfer are required or
appropriate in order to ensure that subsequent transfers of the Notes are effected in compliance with the Securities Act. Upon
receipt of such Opinion of Counsel and Officers’ Certificate of the Issuer, the Trustee shall direct the Registrar to exchange
the Restricted Notes for Unrestricted Notes with such exchange to occur in accordance with Section 2.6(e) (in the case of Global
Securities).

 

(e) Acknowledgement of Transfer Restrictions. By its acceptance
of any Note bearing the Restricted Notes Legend, each Holder of such a Note acknowledges receipt of a Restricted Note with the
restrictions on transfer of such Note set forth in this Supplemental Indenture and in the Restricted Notes Legend and agrees that
it shall transfer such Note only as provided in this Supplemental Indenture until such time as the Restricted Notes Legend is no
longer required pursuant to Section 2.5(d) and such Holder transfers such a Restricted Note to an Unrestricted Note. The Registrar
shall not register a transfer of any Note unless such transfer complies with the restrictions on transfer of such Note set forth
in this Supplemental Indenture. In connection with any transfer of Notes, each Holder agrees by its acceptance of the Notes to
furnish the Trustee, the Registrar or the Issuer such certifications, legal opinions or other information as either of them may
reasonably require to confirm that such transfer is being made pursuant to an exemption from, or a transaction not subject to,
the registration requirements of the Securities Act until such time as the Restricted Notes Legend is no longer required pursuant
to Section 2.5(d) and such Holder transfers such a Restricted Note to an Unrestricted Note; provided that the Registrar
shall not be required to determine (but may rely on a determination made by the Issuer with respect to) the sufficiency of any
such certifications, legal opinions or other information.

 

The Registrar shall retain copies of all letters, notices and other
written communications received pursuant to this Section 2.6 in accordance with its customary procedures.

 

None of the Trustee, the Registrar or any other Agent shall have
any obligation or duty to monitor, determine or inquire as to compliance with any restrictions on transfer imposed under the Base
Indenture, this Supplemental Indenture or under applicable law with respect to any transfer of any interest in any Note (including
any transfers between or among Agent Members or beneficial owners of interests in any Global Security) other than to require delivery
of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required
by the terms of, the Base Indenture or this Supplemental Indenture, and to examine the same to determine substantial compliance
as to form with the express requirements thereof or hereof.

 

     

    	 	14

    

 

SECTION 2.7. Optional Redemption.

 

(a) 2025 Notes. At any time before January 15, 2025 (the “2025
Par Call Date”), the Issuer may redeem the 2025 Notes in whole or in part at a Redemption Price equal to the greater of:

 

(i)100% of the principal amount of the 2025 Notes
being redeemed; and

 

(ii)       the sum of
the present values of the remaining scheduled payments of principal and interest in respect of the 2025 Notes being redeemed that
would be due if the 2025 Notes being redeemed matured on the 2025 Par Call Date (exclusive of interest accrued to the Redemption
Date and assuming that the maturity date for the 2025 Notes and the last Interest Payment Date in respect thereof is January 15,
2025) discounted to the Redemption Date on a semi-annual basis (assuming 360-day year consisting of twelve 30-day months) at the
Treasury Rate plus 20 basis points;

 

plus, in each case, accrued and unpaid interest to, but not including, the
Redemption Date.

 

At any time on or after the 2025 Par Call Date, the Issuer may redeem
the 2025 Notes in whole or in part at a Redemption Price equal to 100% of the principal amount of the 2025 Notes being redeemed,
plus accrued and unpaid interest to, but not including, the Redemption Date.

 

(b) 2028 Notes. At any time before December 15, 2027 (the “2028
Par Call Date”), the Issuer may redeem the 2028 Notes in whole or in part at a Redemption Price equal to the greater of:

 

(i)100% of the principal amount of the 2028 Notes
being redeemed; and

 

(ii)       the sum of
the present values of the remaining scheduled payments of principal and interest in respect of the 2028 Notes being redeemed that
would be due if the 2028 Notes being redeemed matured on the 2028 Par Call Date (exclusive of interest accrued to the Redemption
Date and assuming that the maturity date for the 2028 Notes and the last Interest Payment Date in respect thereof is December 15,
2027) discounted to the Redemption Date on a semi-annual basis (assuming 360-day year consisting of twelve 30-day months) at the
Treasury Rate plus 20 basis points;

 

     

    	 	15

    

 

plus, in each case, accrued and unpaid interest to, but not including, the
Redemption Date.

 

At any time on or after the 2028 Par Call Date, the Issuer may redeem
the 2028 Notes in whole or in part at a Redemption Price equal to 100% of the principal amount of the 2028 Notes being redeemed,
plus accrued and unpaid interest to, but not including, the Redemption Date.

 

(c) At least fifteen (15) days but not more than sixty (60) days before
a Redemption Date, the Issuer shall give or cause to be given a notice of redemption to each Holder whose Notes are to be redeemed,
in accordance with the provisions of Section 3.4 of the Base Indenture. Notice of any redemption of Notes in connection with a
corporate transaction (including, but not limited to, any equity offering, an incurrence of indebtedness or a change of control)
may, at the Issuer’s discretion, be given prior to the completion thereof and any such redemption may, at the Issuer’s
discretion, be subject to one or more conditions precedent, including, but not limited to, completion of the related transaction.
If such redemption is so subject to satisfaction of one or more conditions precedent, such notice shall describe each such condition
and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied by the Redemption Date.
If any such condition precedent has not been satisfied, the Issuer will provide written notice to the Trustee prior to the close
of business two (2) Business Days prior to the Redemption Date. Upon receipt of such notice, the notice of redemption shall be
rescinded and the redemption of the Notes shall not occur. Upon receipt, the Trustee shall give such notice to each Holder of the
Notes in the same manner in which the notice of redemption was given. Except as set forth in this paragraph (c), the terms
of Article III of the Base Indenture shall govern any redemption of the Notes.

 

SECTION 2.8. Mandatory Redemption. The Issuer is
not required to make any mandatory redemption or sinking fund payments with respect to the Notes.

 

SECTION 2.9. Appointment of Depositary. DTC will
initially be the Depositary with respect to the Notes.

 

SECTION 2.10. Change of Control. (a) If a Change
of Control Triggering Event with respect to a series of Notes occurs, unless the Issuer has exercised its right to redeem the Notes
of such series in accordance with Section 2.7, each Holder of the Notes of such series will have the right to require the Issuer
to purchase all or a portion (equal to $2,000 principal amount and any integral multiples of $1,000 in excess thereof) of such
Holder’s Notes of such series pursuant to the offer described below (a “Change of Control Offer”) at a
purchase price equal to 101% of the principal amount of the Notes of the applicable series repurchased, plus accrued and unpaid
interest, if any, to, but not including, the date of repurchase, subject to the rights of Holders of Notes of such series on the
relevant record date to receive interest due on the relevant Interest Payment Date.

 

     

    	 	16

    

 

(b) The Issuer shall give a notice to each Holder of the Notes of the
applicable series, with a copy to the Trustee, within thirty (30) days following the date upon which any Change of Control Triggering
Event occurred, or at its option, prior to any Change of Control but after the public announcement of the pending Change of Control.
The notice will govern the terms of the Change of Control Offer and will describe, among other things, the transaction that constitutes
or may constitute the Change of Control Triggering Event and the purchase date. The purchase date will be at least thirty (30)
days but no more than sixty (60) days from the date such notice is given, other than as may be required by law (a “Change
of Control Payment Date”). If the notice is given prior to the date of consummation of the Change of Control, the notice
will state that the Change of Control Offer is conditioned on the Change of Control being consummated on or prior to the Change
of Control Payment Date. Holders electing to have their Notes purchased pursuant to a Change of Control Offer will be required
to surrender their Notes, with the form entitled “Option of Holder to Elect Purchase” on the reverse completed, to
the Paying Agent at the address specified in the notice, or transfer their Notes to the Paying Agent by book-entry transfer pursuant
to the applicable procedures of the Paying Agent, prior to the close of business on the third Business Day prior to the Change
of Control Payment Date.

 

(c) On the Change of Control Payment Date, the Issuer will, to the
extent lawful: (i) accept for payment all properly tendered Notes or portions of Notes of the applicable series that have not been
validly withdrawn; (ii) deposit with the Paying Agent the required payment for all properly tendered Notes or portions of Notes
of such series that have not been validly withdrawn; and (iii) deliver or cause to be delivered to the Trustee the repurchased
Notes of such series, accompanied by an Officers’ Certificate stating the aggregate principal amount of repurchased Notes
of such series.

 

(d) The Issuer will comply with the requirements of Rule 14e-1 under
the Exchange Act, and any other securities laws and regulations thereunder, to the extent those laws and regulations are applicable,
in connection with the repurchase of Notes as a result of a Change of Control Triggering Event. To the extent that the provisions
of any such securities laws or regulations conflict with this Section 2.10, the Issuer will comply with those securities laws
and regulations and will not be deemed to have breached its obligations under this Section 2.10 by virtue of any such conflict.

 

(e) The Issuer will not be required to make a Change of Control Offer
if a third party makes such an offer in the manner, at the times and otherwise in compliance with the requirements set forth in
this Section 2.10 and such third party purchases all of the Notes properly tendered and not withdrawn under such offer.

 

(f) If 90% or more in principal amount of any series of Notes then
outstanding has been redeemed or purchased hereunder pursuant to a Change of Control Offer, the Issuer may, at its option, on not
less than thirty (30) or more than sixty (60) days’ notice to the Holders of such series of Notes given within thirty (30)
days after the relevant Change of Control Payment Date, redeem or purchase (or procure the purchase of) the remaining outstanding
Notes of such series at 101% of their principal amount plus interest accrued to, but excluding, the date of such redemption or
purchase.

 

     

    	 	17

    

 

SECTION 2.11. Defeasance. The provisions of Article VIII
of the Base Indenture will apply to the Notes. If the Issuer exercises its covenant defeasance option pursuant to Section 8.1 and
8.3 of the Base Indenture, in addition to the provisions of the Base Indenture set forth in Section 8.3 of the Base Indenture,
the Issuer also shall be released from its obligations under Section 2.10 of this Supplemental Indenture.

 

ARTICLE III

Amendments to Base Indenture

 

With respect to the Notes, the Base Indenture shall be amended as follows:

 

SECTION 3.1. Consolidation, Merger and Sale of Assets. The
lead-in to Section 5.1 of the Base Indenture shall be amended to read as follows: “Other than the merger of Whiskey Merger
Sub, Inc., a Delaware corporation, with and into the Issuer in connection with the KapStone Acquisition, the Issuer will not consolidate
with or merge with or into any other Person or sell, convey, transfer or lease its properties and assets substantially as an entirety
to any Person, unless:”.

 

SECTION 3.2. Events of Default. Sections 6.1(iv) and (v)
of the Base Indenture shall be amended by replacing each reference therein to “$150.0 million” to “$200.0 million”.

 

For the avoidance of doubt, the foregoing amendments to the Base Indenture
shall apply only with respect to the Notes and not to any other series of Securities issued and outstanding under the Base Indenture.

 

ARTICLE IV

Miscellaneous

 

SECTION 4.1. Ratification of Base Indenture. The Base Indenture,
as supplemented by this Supplemental Indenture, is in all respects ratified and confirmed, and this Supplemental Indenture shall
be deemed part of the Base Indenture in the manner and to the extent herein and therein provided; provided that the provisions
of this Supplemental Indenture apply solely with respect to the Notes.

 

SECTION 4.2. Trustee Not Responsible for Recitals, etc.
The recitals contained herein and in the Notes (except in the certificate of authentication) shall be taken as the statements of
the Issuer, and the Trustee assumes no responsibility for the correctness of the same. The Trustee makes no representations as
to and shall not be responsible for the validity or sufficiency of this Supplemental Indenture or of the Notes. The Trustee shall
not be accountable for the use or application by the Issuer of the Notes or the proceeds of the Notes authenticated and delivered
by the Trustee in conformity with the provisions of this Supplemental Indenture or for any money paid to the Issuer or upon the
Issuer’s directions under any provision of this Supplemental Indenture. The Trustee shall not be bound to ascertain or inquire
as to the performance, observance, or breach of any covenants, conditions, representations, warranties or agreements on the part
of the Issuer, and shall not be responsible for any statement in any document used in connection with the sale of any Notes. Neither
the Trustee nor any Paying Agent shall be responsible for monitoring the Issuer’s rating status, making any request upon
any Rating Agency or determining whether any rating event has occurred. All of the provisions contained in the Base Indenture in
respect of the rights, privileges, protections, immunities, powers and duties of the Trustee shall be applicable in respect of
this Supplemental Indenture as fully and with like force and effect as though fully set forth in full herein.

 

     

    	 	18

    

 

SECTION 4.3. Governing Law; Waiver of Jury Trial.
THE LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE THE BASE INDENTURE, THIS SUPPLEMENTAL INDENTURE, THE NOTES
AND THE GUARANTEES. EACH HOLDER OF A NOTE AND EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THE BASE INDENTURE,
THIS SUPPLEMENTAL INDENTURE, THE NOTES, THE GUARANTEES OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

SECTION 4.4. Severability. In case any provision in this
Supplemental Indenture or in the Notes shall be invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions shall not in any way be affected or impaired thereby.

 

SECTION 4.5. Counterpart Originals. The parties may sign
any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all of them together represent
the same agreement. The exchange of copies of this Supplemental Indenture and of signature pages by facsimile or PDF transmission
shall constitute effective execution and delivery of this Supplemental Indenture as to the parties hereto and may be used in lieu
of the original Supplemental Indenture for all purposes. Signatures of the parties hereto transmitted by facsimile or PDF transmission
shall be deemed to be their original signatures for all purposes.

 

 

 

 

 

 

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto have caused this Supplemental
Indenture to be duly executed, all as of the day and year first above written.

 

 

	 	WESTROCK COMPANY	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Robert B. McIntosh	 
	 	 	Name:	Robert B. McIntosh	 
	 	 	Title:	Executive Vice President, General Counsel and Secretary	 
	 	 	 	 
	 	Westrock mwv, llc	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Robert B. McIntosh	 
	 	 	Name:	Robert B. McIntosh	 
	 	 	Title:	Executive Vice President, General Counsel and Secretary	 
	 	 	 	 
	 	Westrock rkt company	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Robert B. McIntosh	 
	 	 	Name:	Robert B. McIntosh	 
	 	 	Title:	Executive Vice President, General Counsel and Secretary	 

 

 

 

 

 

    	[Signature page to Second Supplemental Indenture]

     

    

 

	 	The Bank of New York
    MelLon Trust Company, N.A., as Trustee	 
	 	 	 	 	 
	 	By:	/s/ Karen Yu	 
	 	 	Name: 	Karen Yu	 
	 	 	Title: 	Vice President	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	[Signature page to Second Supplemental Indenture]

     

    

 

EXHIBIT A-1

 

 

FORM OF NOTE

 

3.750% Senior Notes due 2025

 

[Insert the Global Security Legend, if applicable]

 

[Insert the Restricted Notes Legend, if applicable]

 

 

WESTROCK COMPANY

3.750% SENIOR NOTES DUE 2025

 

 

	No. ____	144A CUSIP:  96145D AE5
	 	144A ISIN:  US96145DAE58
	 	 
	 	REG S CUSIP:  U96200 AC1
	 	REG S ISIN:  USU96200AC13
	 	 
	 	Unrestricted CUSIP: 96145D AF2
	 	Unrestricted ISIN: US96145DAF24

 

 

 

WestRock Company promises to pay to [             ] [insert if Global Note: Cede
& Co.], or registered assigns, the principal sum of [              Dollars
($          )] / [insert if Global Note: the principal amount set forth on the
Schedule of Exchanges of Interests in Global Note attached hereto, which principal amount may from time to time be reduced or increased,
as appropriate, in accordance with the within mentioned Indenture and as reflected in the Schedule of Exchanges of Interests in
the Global Note attached hereto, to reflect exchanges, purchases, retirements or redemptions of the Notes represented hereby] on
March 15, 2025.

 

Interest Payment Dates:  March 15 and September 15, beginning
September 15, 2018

 

Record Dates:  March 1 and September 1

 

Reference is made to further provisions of this Note set forth on
the reverse hereof, which further provisions shall for all purposes have the same effect as set forth at this place.

 

     

     

    

 

Unless the certificate of authentication hereon has been executed
by the Trustee referred to on the reverse hereof by manual signature, this Note shall not be entitled to any benefits under the
Indenture referred to on the reverse hereof or be valid or obligatory for any purpose.

 

 

IN WITNESS HEREOF, the Issuer has caused this instrument to be duly executed.

 

 

Dated:

 

	 	WESTROCK COMPANY	 
	 	 	 	 
	 	 	 	 
	 	By:	 	 
	 	 	Name:	 	 
	 	 	Title:	 	 

 

 

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes

referred to in the within-mentioned Indenture:

Dated:  

 

	 	The Bank of New York
    MelLon Trust Company, N.A., as Trustee	 
	 	 	 	 	 
	 	By:	 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 

 

 

 

 

 

     

     

    

 

(Reverse of Note)

3.750% Senior Notes due 2025

WESTROCK COMPANY

 

Capitalized terms used herein shall have the meanings assigned to
them in the Indenture referred to below unless otherwise indicated.

 

(1)           Interest.

 

(a)           WestRock
Company, a Delaware corporation (the “Issuer”), promises to pay interest on the principal amount of this Note
at the rate of 3.750% per annum, and at the same rate on any overdue principal or overdue installment of interest to the extent
lawful. The Issuer will pay interest in Dollars (except as otherwise provided herein) semi-annually in arrears on March 15 and
September 15 of each year, commencing on September 15, 2018 (each an “Interest Payment Date”). Interest on the
Notes shall accrue from the most recent date to which interest has been paid or, if no interest has been paid, from and including
March 6, 2018. Interest shall be computed on the basis of a 360-day year comprised of twelve 30-day months. The interest rate on
the Notes (including, for the avoidance of doubt, any Additional Interest) will in no event be higher than the maximum rate permitted
by New York law as the same may be modified by United States law of general application.

 

[(b)           Registration
Rights Agreement. The Holder of this Note is entitled to the benefits of the Registration Rights Agreement, dated as of March
6, 2018, among the Issuer, the Guarantors party thereto and the Initial Purchasers and will be entitled to the payment of Additional
Interest under the circumstances provided therein.]1

 

(2)           Method
of Payment. The Issuer will pay interest on the Notes on the applicable Interest Payment Date to the Persons who are registered
Holders of the Notes at the close of business on the March 1 and September 1 preceding the Interest Payment Date. The Notes shall
be payable as to principal, premium and interest at the office or agency of the Issuer maintained for such purpose within or without
the City and State of New York; provided that payment by wire transfer of immediately available funds shall be required
with respect to principal of, premium, if any, and interest on, all Global Securities and all other Notes the Holders of which
shall have provided written wire transfer instructions with respect to a bank in the continental United States to the Issuer and
the Paying Agent. Such payment shall be in such coin or currency of the United States of America as at the time of payment is legal
tender for payment of public and private debts.

 

If any Interest Payment Date, Stated Maturity date, repurchase date
or Redemption Date is not a Business Day, the payment otherwise required to be made on such date will be made on the next Business
Day without any additional payment as a result of such delay.

 

__________________________

1
To be included only in the Initial Notes on the Issue Date and any Additional Notes that bear the Restricted Notes Legend

 

     

     

    

 

The amount due and payable at the maturity of this Note shall be
payable only upon presentation and surrender of this Note at an office of the Trustee or the Trustee’s agent appointed for
such purposes.

 

(3)           Paying
Agent and Registrar. Initially, The Bank of New York Mellon Trust Company, N.A., the Trustee under the Indenture, shall act
as Paying Agent and Registrar. The Issuer may change any Paying Agent or Registrar without notice to any Holder. The Issuer or
any of its Subsidiaries may act in any such capacity.

 

(4)           Indenture.
The Issuer issued the Notes under an indenture dated as of August 24, 2017, among the Issuer, the Guarantors and the Trustee (the
“Base Indenture”), as supplemented by the Second Supplemental Indenture dated as of March 6, 2018, among the
Issuer, the Guarantors and the Trustee (the “Supplemental Indenture” and, together with the Base Indenture,
the “Indenture”). The terms of the Notes include those stated in the Indenture and those made a part of the
Indenture by reference to the Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb) (the “TIA”).
To the extent the provisions of this Note are inconsistent with the provisions of the Indenture, the Indenture shall govern. The
Notes are subject to all such terms, and Holders are referred to the Indenture and such Act for a statement of such terms.

 

(5)          Guarantees.
The payment of principal and interest on the Notes is unconditionally guaranteed on an unsubordinated basis by the Guarantors as
set forth in the Indenture.

 

(6)           Optional
Redemption. The Notes are redeemable at the option of the Issuer as provided in, and subject to the terms of, Section 2.7 of
the Supplemental Indenture.

 

(7)           Mandatory
Redemption. The Issuer shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes.

 

(8)           Change
of Control Triggering Event. If a Change of Control Triggering Event occurs, each Holder of the Notes will have the right to
require the Issuer to purchase all or a portion (equal to $2,000 principal amount and any integral multiples of $1,000 in excess
thereof) of such Holder’s Notes pursuant to the offer described below at a purchase price equal to 101% of the principal
amount of the Notes repurchased, plus accrued and unpaid interest, if any, to, but not including, the date of repurchase, subject
to the rights of Holders of Notes on the relevant record date to receive interest due on the relevant Interest Payment Date, as
provided in, and subject to the terms of, Section 2.10 of the Supplemental Indenture.

 

(9)           Denominations,
Transfer, Exchange. The Notes are in registered form without coupons in initial denominations of $2,000 and integral multiples
of $1,000 in excess thereof. The transfer of the Notes may be registered and the Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements and transfer documents
and the Issuer may require a Holder to pay any taxes and fees required by law or permitted by the Indenture. The Issuer need not
exchange or register the transfer of any Note or portion of a Note selected for redemption, except for the unredeemed portion of
any Note being redeemed in part. Also, it need not exchange or register the transfer of any Notes for a period of fifteen (15)
days before a selection of Notes to be redeemed or during the period between a record date and the corresponding Interest Payment
Date.

 

     

     

    

 

(10)           Persons
Deemed Owners. The registered Holder of a Note may be treated as its owner for all purposes.

 

(11)           Amendment,
Supplement and Waiver. The Indenture or the Notes may be amended or supplemented, as provided in, and subject to the terms
of, Article IX of the Base Indenture.

 

(12)           Defaults
and Remedies. If an Event of Default with respect to the Notes at the time outstanding (other than an Event of Default related
to certain events of bankruptcy , insolvency or reorganization of the Issuer or any Significant Subsidiary) occurs and is continuing,
then and in every such case the Trustee or the Holders of not less than 25% in aggregate principal amount of the then outstanding
Notes may declare the principal of all of the outstanding Notes and any accrued interest on the Notes to be due and payable immediately
by a notice in writing to the Issuer (and to the Trustee if given by the Holders). If an Event of Default specified in clause (vi)
of Section 6.1 of the Base Indenture occurs with respect to the Issuer, the principal of and any accrued interest on the Notes
then outstanding shall ipso facto become immediately due and payable without any declaration or other act on the part of the Trustee
or any Holder.

 

Under certain circumstances, the Holders of a majority in principal
amount of the Notes then outstanding, by written notice to the Issuer and the Trustee, may rescind and annul such declaration and
its consequences, as provided in, and subject to the terms of, Article VI of the Base Indenture.

 

(13)           Trustee
Dealings with the Issuer. The Trustee, in its individual or any other capacity, may make loans to, accept deposits from, and
perform services for the Issuer, the Guarantors or their respective Affiliates, and may otherwise deal with the Issuer, the Guarantors
or their respective Affiliates, as if it were not the Trustee.

 

(14)           No
Recourse Against Others. No director, officer, employee, stockholder, general or limited partner or incorporator, past, present
or future, of the Issuer or any of its Subsidiaries, as such or in such capacity, shall have any personal liability for any obligations
of the Issuer under the Notes, any Guarantee or the Indenture by reason of his, her or its status as such director, officer, employee,
stockholder, general or limited partner or incorporator.

 

No recourse may, to the full extent permitted by applicable law,
be taken, directly or indirectly, with respect to the obligations of the Issuer or the Guarantors on the Notes or under the Indenture
or any related documents, any certificate or other writing delivered in connection therewith, against (i) the Trustee in its individual
capacity, or (ii) any partner, owner, beneficiary, agent, officer, director, employee, agent, successor or assign of the Trustee,
each in its individual capacity, or (iii) any holder of equity in the Trustee.

 

     

     

    

 

Each Holder of Notes by accepting a Note waives and releases all
such liability. The waiver and release are part of the consideration for the issuance of the Notes.

 

(15)           Authentication.
This Note shall not be valid until authenticated by the manual signature of the Trustee or an authenticating agent.

 

(16)           Abbreviations.
Customary abbreviations may be used in the name of a Holder or an assignee, such as:  TEN COM (= tenants in common),
TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in common), CUST (=
Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

 

(17)           CUSIP,
ISIN Numbers. Pursuant to a recommendation promulgated by the Committee on Uniform Security Identification Procedures, the
Issuer has caused CUSIP numbers to be printed on the Notes and the Trustee may use CUSIP, ISIN or other similar numbers in notices
of redemption as a convenience to the Holders.  No representation is made as to the accuracy of such numbers either as
printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers
placed thereon.

 

(18)         Governing Law.
THE LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE THE INDENTURE, THE SUPPLEMENTAL INDENTURE, THE NOTES AND
THE GUARANTEES. EACH HOLDER OF A NOTE AND EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THE INDENTURE,
THE SUPPLEMENTAL INDENTURE, THE NOTES, THE GUARANTEES OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

(19)         Notices. The
Issuer shall furnish to any Holder upon written request and without charge a copy of the Indentures.  Requests may be
made to:

 

If to the Issuer or any Guarantor:

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Facsimile: (770) 263-3582

Attention: General Counsel

 

If to the Trustee:

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

     

     

    

 

ASSIGNMENT FORM

 

To assign this Note, fill in the form below:  (I) or (we)
assign and transfer this Note to

 

________________________

(Insert assignee’s soc. sec. or tax I.D. no.)

________________________

________________________

________________________

(Print or type assignee’s name, address and zip code)

 

and irrevocably appoint _________________________________________________________

to transfer this Note on the books of the Issuer.  The agent may substitute
another to act for him.

 

Date:  ________________

 

	 	Your Signature:  ___________________
	 	(Sign exactly as your name appears on the face of this Note)

 

 

 

Signature guarantee:______________  

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

 

     

     

    

  

OPTION OF HOLDER TO ELECT PURCHASE

 

If you want to elect to have this Note purchased by the Issuer pursuant
to Section 2.10 (“Change of Control”) of the Supplemental Indenture, check the box below:

 

[   ] Section 2.10

 

If you want to elect to have only part of the Note purchased by the
Issuer pursuant to Section 2.10 of the Supplemental Indenture, state the amount you elect to have purchased:

 

$_____________________

 

 

	Date: ___________________________	Your Signature:  ________________________
	 	(Sign exactly as your name appears on the Note)
	 	 
	 	 
	 	Tax Identification Number: _________________
	 	 

 

Signature guarantee:______________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

 

     

     

    

 

[Include if Restricted Note]

 

CERTIFICATE TO BE DELIVERED UPON

EXCHANGE OR REGISTRATION OF TRANSFER

OF RESTRICTED NOTES

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

 

	 	Re:	WestRock Company 3.750% Senior Note due 2025
	 	CUSIP #

  

Reference is hereby made to that certain indenture dated August 24,
2017 (the “Base Indenture”) and that certain Second Supplemental Indenture dated March 6, 2018 (the “Supplemental
Indenture” and, together with the Base Indenture, the “Indenture”) each among WestRock Company (the
“Issuer”), the Guarantors party thereto and The Bank of New York Mellon Trust Company, N.A., as trustee (the
“Trustee”). Capitalized terms used but not defined herein shall have the meanings set forth in the Indenture.

 

This certificate relates to $               
principal amount of Notes held in (check applicable space)                
book-entry or                 definitive form
by the undersigned.

 

The undersigned                                     
(transferor) (check one box below):

 

[_] hereby requests the Registrar or Trustee to deliver in exchange
for its beneficial interest in the Global Security held by the Depositary a Definitive Note or Definitive Notes in registered form
of authorized denominations and an aggregate principal amount equal to its beneficial interest in such Global Security (or the
portion thereof indicated above), in accordance with Section 2.7 of the Base Indenture;

 

[_] hereby requests the Registrar or Trustee to exchange or register
the transfer of a Note or Notes to ______________ (transferee).

 

In connection with any transfer of any of the Notes evidenced by
this certificate, the undersigned confirms that such Notes are being transferred in accordance with the Restricted Notes Legend
as further specified below:

 

     

     

    

 

CHECK ONE BOX BELOW:

 

	(1)	[_]	to the Issuer or any of its subsidiaries; or
	 	 	 
	(2)	[_]	inside the United States to a “qualified institutional buyer” (as defined in Rule 144A under the Securities Act of 1933, as amended) that purchases for its own account or for the account of a qualified institutional buyer to whom notice is given that such transfer is being made in reliance on Rule 144A under the Securities, in each case pursuant to and in compliance with Rule 144A thereunder; or
	 	 	 
	(3)	[_]	outside the United States in an offshore transaction within the meaning of Regulation S under the Securities Act of 1933, as amended, in compliance with Rule 903 or 904 thereunder; or
	 	 	 
	(4)	[_]	pursuant to an effective registration statement under the Securities Act of 1933, as amended.

 

Unless one of the boxes is checked, the Trustee will refuse to register
any of the Notes evidenced by this certificate in the name of any person other than the registered Holder thereof.

 

 

	 	 	 
	 	Signature	 

 

Signature Guarantee:  _________________________

(Signature must be guaranteed by a participant

in a recognized signature guarantee medallion program)

 

TO BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED.

 

The undersigned represents and warrants that it is purchasing this
Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account
is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act of 1933, as amended (“Rule
144A”), and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received
such information regarding the Issuer as the undersigned has requested pursuant to Rule 144A or has determined not to request such
information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order
to claim the exemption from registration provided by Rule 144A.

 

     

     

    

 

	 	 	 	[Name of Transferee]
	 	 	 	 
	 	 	 	 
	Dated: 	 	 	 

 

 

NOTICE:  To be executed by an executive officer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

SCHEDULE A

 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE

 

The original principal amount of this Global Note is [●] DOLLARS
AND [●] CENTS ($[●]). The following exchanges of a part of this Global Security for other 3.750% Senior Notes have
been made:

 

	Date of Exchange	 	
        Amount of

        Decrease in

        Principal Amount

        of this Global Security
	 	
        Amount of

        Increase in

        Principal Amount

        of this Global Security
	 	
        Principal Amount

        of this Global Security

        Following Such

        Decrease (or

        Increase)
	 	
        Signature of

        Authorized

        Signatory of Trustee

        or Global Security Custodian

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

EXHIBIT A-2

 

 

FORM OF NOTE

 

4.000% Senior Notes due 2028

 

[Insert the Global Security Legend, if applicable]

 

[Insert the Restricted Notes Legend, if applicable]

 

 

WESTROCK COMPANY

4.000% SENIOR NOTES DUE 2028

 

 

	No. ____	144A CUSIP:  96145D AG0
	 	144A ISIN:  US96145DAG07
	 	 
	 	REG S CUSIP:  U96200 AD9
	 	REG S ISIN:  USU96200AD95
	 	 
	 	Unrestricted CUSIP: 96145D AH8
	 	Unrestricted ISIN: US96145DAH89

 

 

 

WestRock Company promises to pay to [             ] [insert if Global Note: Cede
& Co.], or registered assigns, the principal sum of [              Dollars
($          )] / [insert if Global Note: the principal amount set forth on the
Schedule of Exchanges of Interests in Global Note attached hereto, which principal amount may from time to time be reduced or increased,
as appropriate, in accordance with the within mentioned Indenture and as reflected in the Schedule of Exchanges of Interests in
the Global Note attached hereto, to reflect exchanges, purchases, retirements or redemptions of the Notes represented hereby] on
March 15, 2028.

 

Interest Payment Dates:  March 15 and September 15, beginning
September 15, 2018

 

Record Dates:  March 1 and September 1

 

Reference is made to further provisions of this Note set forth on
the reverse hereof, which further provisions shall for all purposes have the same effect as set forth at this place.

 

     

     

    

 

Unless the certificate of authentication hereon has been executed
by the Trustee referred to on the reverse hereof by manual signature, this Note shall not be entitled to any benefits under the
Indenture referred to on the reverse hereof or be valid or obligatory for any purpose.

 

 

IN WITNESS HEREOF, the Issuer has caused this instrument to be duly executed.

 

 

Dated:

 

 

	 	WESTROCK COMPANY	 
	 	 	 	 
	 	 	 	 
	 	By:	 	 
	 	 	Name:	 	 
	 	 	Title:	 	 

 

 

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

This is one of the Notes

referred to in the within-mentioned Indenture:

Dated:  

 

 

	 	The Bank of New York
    MelLon Trust Company, N.A., as Trustee	 
	 	 	 	 	 
	 	By:	 	 
	 	 	Name: 	 	 
	 	 	Title: 	 	 

 

 

 

 

 

 

     

     

    

 

(Reverse of Note)

4.000% Senior Notes due 2028

WESTROCK COMPANY

 

Capitalized terms used herein shall have the meanings assigned to
them in the Indenture referred to below unless otherwise indicated.

 

(1)           Interest.

 

(a)           WestRock
Company, a Delaware corporation (the “Issuer”), promises to pay interest on the principal amount of this Note
at the rate of 4.000% per annum, and at the same rate on any overdue principal or overdue installment of interest to the extent
lawful. The Issuer will pay interest in Dollars (except as otherwise provided herein) semi-annually in arrears on March 15 and
September 15 of each year, commencing on September 15, 2018 (each an “Interest Payment Date”). Interest on the
Notes shall accrue from the most recent date to which interest has been paid or, if no interest has been paid, from and including
March 6, 2018. Interest shall be computed on the basis of a 360-day year comprised of twelve 30-day months. The interest rate on
the Notes (including, for the avoidance of doubt, any Additional Interest) will in no event be higher than the maximum rate permitted
by New York law as the same may be modified by United States law of general application.

 

[(b)           Registration
Rights Agreement. The Holder of this Note is entitled to the benefits of the Registration Rights Agreement, dated as of March
6, 2018 among the Issuer, the Guarantors party thereto and the Initial Purchasers and will be entitled to the payment of Additional
Interest under the circumstances provided therein.]2

 

(2)           Method
of Payment. The Issuer will pay interest on the Notes on the applicable Interest Payment Date to the Persons who are registered
Holders of the Notes at the close of business on the March 1 and September 1 preceding the Interest Payment Date. The Notes shall
be payable as to principal, premium and interest at the office or agency of the Issuer maintained for such purpose within or without
the City and State of New York; provided that payment by wire transfer of immediately available funds shall be required
with respect to principal of, premium, if any, and interest on, all Global Securities and all other Notes the Holders of which
shall have provided written wire transfer instructions with respect to a bank in the continental United States to the Issuer and
the Paying Agent. Such payment shall be in such coin or currency of the United States of America as at the time of payment is legal
tender for payment of public and private debts.

 

If any Interest Payment Date, Stated Maturity date, repurchase date
or Redemption Date is not a Business Day, the payment otherwise required to be made on such date will be made on the next Business
Day without any additional payment as a result of such delay.

 

____________________

2
To be included only in the Initial Notes on the Issue Date and any Additional Notes that bear the Restricted Notes Legend

     

     

    

 

The amount due and payable at the maturity of this Note shall be
payable only upon presentation and surrender of this Note at an office of the Trustee or the Trustee’s agent appointed for
such purposes.

 

(3)           Paying
Agent and Registrar. Initially, The Bank of New York Mellon Trust Company, N.A., the Trustee under the Indenture, shall act
as Paying Agent and Registrar. The Issuer may change any Paying Agent or Registrar without notice to any Holder. The Issuer or
any of its Subsidiaries may act in any such capacity.

 

(4)           Indenture.
The Issuer issued the Notes under an indenture dated as of August 24, 2017, among the Issuer, the Guarantors and the Trustee (the
“Base Indenture”), as supplemented by the Second Supplemental Indenture dated as of March 6, 2018, among the
Issuer, the Guarantors and the Trustee (the “Supplemental Indenture” and, together with the Base Indenture,
the “Indenture”). The terms of the Notes include those stated in the Indenture and those made a part of the
Indenture by reference to the Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb) (the “TIA”).
To the extent the provisions of this Note are inconsistent with the provisions of the Indenture, the Indenture shall govern. The
Notes are subject to all such terms, and Holders are referred to the Indenture and such Act for a statement of such terms.

 

(5)         Guarantees.
The payment of principal and interest on the Notes is unconditionally guaranteed on an unsubordinated basis by the Guarantors as
set forth in the Indenture.

 

(6)           Optional
Redemption. The Notes are redeemable at the option of the Issuer as provided in, and subject to the terms of, Section 2.7 of
the Supplemental Indenture.

 

(7)           Mandatory
Redemption. The Issuer shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes.

 

(8)           Change
of Control Triggering Event. If a Change of Control Triggering Event occurs, each Holder of the Notes will have the right to
require the Issuer to purchase all or a portion (equal to $2,000 principal amount and any integral multiples of $1,000 in excess
thereof) of such Holder’s Notes pursuant to the offer described below at a purchase price equal to 101% of the principal
amount of the Notes repurchased, plus accrued and unpaid interest, if any, to, but not including, the date of repurchase, subject
to the rights of Holders of Notes on the relevant record date to receive interest due on the relevant Interest Payment Date, as
provided in, and subject to the terms of, Section 2.10 of the Supplemental Indenture.

 

(9)           Denominations,
Transfer, Exchange. The Notes are in registered form without coupons in initial denominations of $2,000 and integral multiples
of $1,000 in excess thereof. The transfer of the Notes may be registered and the Notes may be exchanged as provided in the Indenture.
The Registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements and transfer documents
and the Issuer may require a Holder to pay any taxes and fees required by law or permitted by the Indenture. The Issuer need not
exchange or register the transfer of any Note or portion of a Note selected for redemption, except for the unredeemed portion of
any Note being redeemed in part. Also, it need not exchange or register the transfer of any Notes for a period of fifteen (15)
days before a selection of Notes to be redeemed or during the period between a record date and the corresponding Interest Payment
Date.

 

     

     

    

 

(10)           Persons
Deemed Owners. The registered Holder of a Note may be treated as its owner for all purposes.

 

(11)           Amendment,
Supplement and Waiver. The Indenture or the Notes may be amended or supplemented, as provided in, and subject to the terms
of, Article IX of the Base Indenture.

 

(12)           Defaults
and Remedies. If an Event of Default with respect to the Notes at the time outstanding (other than an Event of Default
related to certain events of bankruptcy , insolvency or reorganization of the Issuer or any Significant Subsidiary) occurs and
is continuing, then and in every such case the Trustee or the Holders of not less than 25% in aggregate principal amount of the
then outstanding Notes may declare the principal of all of the outstanding Notes and any accrued interest on the Notes to be due
and payable immediately by a notice in writing to the Issuer (and to the Trustee if given by the Holders). If an Event of Default
specified in clause (vi) of Section 6.1 of the Base Indenture occurs with respect to the Issuer, the principal of and any accrued
interest on the Notes then outstanding shall ipso facto become immediately due and payable without any declaration or other act
on the part of the Trustee or any Holder.

 

Under certain circumstances, the Holders of a majority in principal
amount of the Notes then outstanding, by written notice to the Issuer and the Trustee, may rescind and annul such declaration and
its consequences, as provided in, and subject to the terms of, Article VI of the Base Indenture.

 

(13)           Trustee
Dealings with the Issuer. The Trustee, in its individual or any other capacity, may make loans to, accept deposits from, and
perform services for the Issuer, the Guarantors or their respective Affiliates, and may otherwise deal with the Issuer, the Guarantors
or their respective Affiliates, as if it were not the Trustee.

 

(14)           No
Recourse Against Others. No director, officer, employee, stockholder, general or limited partner or incorporator, past, present
or future, of the Issuer or any of its Subsidiaries, as such or in such capacity, shall have any personal liability for any obligations
of the Issuer under the Notes, any Guarantee or the Indenture by reason of his, her or its status as such director, officer, employee,
stockholder, general or limited partner or incorporator.

 

No recourse may, to the full extent permitted by applicable law,
be taken, directly or indirectly, with respect to the obligations of the Issuer or the Guarantors on the Notes or under the Indenture
or any related documents, any certificate or other writing delivered in connection therewith, against (i) the Trustee in its individual
capacity, or (ii) any partner, owner, beneficiary, agent, officer, director, employee, agent, successor or assign of the Trustee,
each in its individual capacity, or (iii) any holder of equity in the Trustee.

 

     

     

    

 

Each Holder of Notes by accepting a Note waives and releases all
such liability. The waiver and release are part of the consideration for the issuance of the Notes.

 

(15)           Authentication.
This Note shall not be valid until authenticated by the manual signature of the Trustee or an authenticating agent.

 

(16)           Abbreviations.
Customary abbreviations may be used in the name of a Holder or an assignee, such as:  TEN COM (= tenants in common),
TEN ENT (= tenants by the entireties), JT TEN (= joint tenants with right of survivorship and not as tenants in common), CUST (=
Custodian), and U/G/M/A (= Uniform Gifts to Minors Act).

 

(17)           CUSIP,
ISIN Numbers. Pursuant to a recommendation promulgated by the Committee on Uniform Security Identification Procedures, the
Issuer has caused CUSIP numbers to be printed on the Notes and the Trustee may use CUSIP, ISIN or other similar numbers in notices
of redemption as a convenience to the Holders.  No representation is made as to the accuracy of such numbers either as
printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers
placed thereon.

 

(18)       Governing Law.
THE LAW OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE THE INDENTURE, THE SUPPLEMENTAL INDENTURE, THE NOTES AND
THE GUARANTEES. EACH HOLDER OF A NOTE AND EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THE INDENTURE,
THE SUPPLEMENTAL INDENTURE, THE NOTES, THE GUARANTEES OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

(19)        Notices. The
Issuer shall furnish to any Holder upon written request and without charge a copy of the Indentures.  Requests may be
made to:

 

If to the Issuer or any Guarantor:

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Facsimile: (770) 263-3582

Attention: General Counsel

 

If to the Trustee:

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

     

     

    

 

ASSIGNMENT FORM

 

To assign this Note, fill in the form below:  (I) or (we)
assign and transfer this Note to

 

________________________

(Insert assignee’s soc. sec. or tax I.D. no.)

________________________

________________________

________________________

(Print or type assignee’s name, address and zip code)

 

and irrevocably appoint _________________________________________________________

to transfer this Note on the books of the Issuer.  The agent may substitute
another to act for him.

 

Date:  ________________

 

	 	Your Signature:  ___________________
	 	(Sign exactly as your name appears on the face of this Note)

 

 

Signature guarantee:______________  

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

 

 

     

     

    

 

OPTION OF HOLDER TO ELECT PURCHASE

 

If you want to elect to have this Note purchased by the Issuer pursuant
to Section 2.10 (“Change of Control”) of the Supplemental Indenture, check the box below:

 

[   ] Section 2.10

 

If you want to elect to have only part of the Note purchased by the
Issuer pursuant to Section 2.10 of the Supplemental Indenture, state the amount you elect to have purchased:

 

$_____________________

 

 

	Date: ___________________________	 	Your Signature:  ________________________
	 	 	(Sign exactly as your name appears on the Note)
	 	 	 
	 	 	 
	 	 	Tax Identification Number: _________________
	 	 	 

 

Signature guarantee:______________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

 

     

     

    

 

[Include if Restricted Note]

 

CERTIFICATE TO BE DELIVERED UPON

EXCHANGE OR REGISTRATION OF TRANSFER

OF RESTRICTED NOTES

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

	 	Re:	WestRock Company 4.000% Senior Note due 2028
	 	CUSIP #

  

Reference is hereby made to that certain indenture dated August 24,
2017 (the “Base Indenture”) and that certain Second Supplemental Indenture dated March 6, 2018 (the “Supplemental
Indenture” and, together with the Base Indenture, the “Indenture”) each among WestRock Company (the
“Issuer”), the Guarantors party thereto and The Bank of New York Mellon Trust Company, N.A., as trustee (the
“Trustee”). Capitalized terms used but not defined herein shall have the meanings set forth in the Indenture.

 

This certificate relates to $               
principal amount of Notes held in (check applicable space)                
book-entry or                 definitive form
by the undersigned.

 

The undersigned                                     
(transferor) (check one box below):

 

[_] hereby requests the Registrar or Trustee to deliver in exchange
for its beneficial interest in the Global Security held by the Depositary a Definitive Note or Definitive Notes in registered form
of authorized denominations and an aggregate principal amount equal to its beneficial interest in such Global Security (or the
portion thereof indicated above), in accordance with Section 2.7 of the Base Indenture;

 

[_] hereby requests the Registrar or Trustee to exchange or register
the transfer of a Note or Notes to ______________ (transferee).

 

In connection with any transfer of any of the Notes evidenced by
this certificate, the undersigned confirms that such Notes are being transferred in accordance with the Restricted Notes Legend
as further specified below:

 

 

     

     

    

 

CHECK ONE BOX BELOW:

 

	(1)	[_]	to the Issuer or any of its subsidiaries; or
	 	 	 
	(2)	[_]	inside the United States to a “qualified
institutional buyer” (as defined in Rule 144A under the Securities Act of 1933, as amended) that purchases for its own account
or for the account of a qualified institutional buyer to whom notice is given that such transfer is being made in reliance on Rule
144A under the Securities, in each case pursuant to and in compliance with Rule 144A thereunder; or
	 	 	 
	(3)	[_]	outside the United States in an offshore transaction
within the meaning of Regulation S under the Securities Act of 1933, as amended, in compliance with Rule 903 or 904 thereunder;
or
	 	 	 
	(4)	[_]	pursuant to an effective registration statement
under the Securities Act of 1933, as amended.

 

 

	 	 	 
	 	Signature	 

 

 

Signature Guarantee:  _________________________

(Signature must be guaranteed by a participant

in a recognized signature guarantee medallion program)

 

TO BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED.

 

The undersigned represents and warrants that it is purchasing this
Note for its own account or an account with respect to which it exercises sole investment discretion and that it and any such account
is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act of 1933, as amended (“Rule
144A”), and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has received
such information regarding the Issuer as the undersigned has requested pursuant to Rule 144A or has determined not to request such
information and that it is aware that the transferor is relying upon the undersigned’s foregoing representations in order
to claim the exemption from registration provided by Rule 144A.

 

     

     

    

 

 

	 	 	 	[Supplement Name of Transferee]
	 	 	 	 
	 	 	 	 
	Dated: 	 	 	 

 

 

NOTICE:  To be executed by an executive officer

 

 

 

 

 

 

 

 

 

 

     

     

    

 

SCHEDULE A

 

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL NOTE

 

The original principal amount of this Global Note is [●] DOLLARS
AND [●] CENTS ($[●]). The following exchanges of a part of this Global Security for other 4.000% Senior Notes have
been made:

 

	Date of Exchange	 	
        Amount of

        Decrease in

        Principal Amount

        of this Global Security
	 	
        Amount of

        Increase in

        Principal Amount

        of this Global Security
	 	
        Principal Amount

        of this Global Security

        Following Such

        Decrease (or

        Increase)
	 	
        Signature of

        Authorized

        Signatory of Trustee

        or Global Security Custodian

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

EXHIBIT B-1

 

[FORM OF CERTIFICATE TO BE DELIVERED

IN CONNECTION WITH TRANSFERS PURSUANT TO RULE 144A]

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

	 	Re:	WestRock Company 3.750% Senior Notes due 2025 (the “Notes”)

 

Ladies and Gentlemen:

 

In connection with our proposed sale of $________ aggregate principal
amount of the Notes, we hereby certify that such transfer is being effected pursuant to and in accordance with Rule 144A (“Rule
144A”) under the United States Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we
hereby further certify that the Notes are being transferred to a person that we reasonably believe is purchasing the Notes for
its own account, or for one or more accounts with respect to which such person exercises sole investment discretion, and such person
and each such account is a “qualified institutional buyer” within the meaning of Rule 144A in a transaction meeting
the requirements of Rule 144A and such Notes are being transferred in compliance with any applicable blue sky securities laws of
any state of the United States.

 

Each of you is entitled to rely upon this letter and is irrevocably
authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official
inquiry with respect to the matters covered hereby.

 

 

	 	Very truly yours,	 
	 	 	 	 
	 	 	 
	 	[Name of Transferor]	 
	 	 	 	 
	 	By:	 	 
	 	 	Authorized Signature	 

 

Signature guarantee: _____________________________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

     

     

    

 

EXHIBIT B-2

 

[FORM OF CERTIFICATE TO BE DELIVERED

IN CONNECTION WITH TRANSFERS PURSUANT TO RULE 144A]

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

	 	Re:	WestRock Company 4.000% Senior Notes due 2028 (the “Notes”)

 

Ladies and Gentlemen:

 

In connection with our proposed sale of $________ aggregate principal
amount of the Notes, we hereby certify that such transfer is being effected pursuant to and in accordance with Rule 144A (“Rule
144A”) under the United States Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we
hereby further certify that the Notes are being transferred to a person that we reasonably believe is purchasing the Notes for
its own account, or for one or more accounts with respect to which such person exercises sole investment discretion, and such person
and each such account is a “qualified institutional buyer” within the meaning of Rule 144A in a transaction meeting
the requirements of Rule 144A and such Notes are being transferred in compliance with any applicable blue sky securities laws of
any state of the United States.

 

Each of you is entitled to rely upon this letter and is irrevocably
authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official
inquiry with respect to the matters covered hereby.

 

 

	 	Very truly yours,	 
	 	 	 	 
	 	 	 
	 	[Name of Transferor]	 
	 	 	 	 
	 	By:	 	 
	 	 	Authorized Signature	 

 

Signature guarantee: _____________________________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

     

     

    

 

EXHIBIT C-1

 

[FORM OF CERTIFICATE TO BE DELIVERED

IN CONNECTION WITH TRANSFERS

PURSUANT TO REGULATION S]

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

	 	Re:	WestRock Company 3.750% Senior Notes due 2025 (the “Notes”)

 

Ladies and Gentlemen:

 

In connection with our proposed sale of $________ aggregate principal
amount of the Notes, we confirm that such sale has been effected pursuant to and in accordance with Regulation S under the U.S.
Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we represent that:

 

(1)           the
offer of the Notes was not made to a person in the United States;

 

(2)           either
(a) at the time the buy order was originated, the transferee was outside the United States or we and any person acting on our behalf
reasonably believed that the transferee was outside the United States or (b) the transaction was executed in, on or through the
facilities of a designated off-shore securities market and neither we nor any person acting on our behalf knows that the transaction
has been pre-arranged with a buyer in the United States;

 

(3)           no
directed selling efforts have been made in the United States in contravention of the requirements of Rule 903(b) or Rule 904(b)
of Regulation S, as applicable; and

 

(4)           the
transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act.

 

In addition, if the sale is made during a restricted period and the
provisions of Rule 903(b) or Rule 904(b) of Regulation S are applicable thereto, we confirm that such sale has been made in accordance
with the applicable provisions of Rule 903(b) or Rule 904(b), as the case may be.

 

     

     

    

 

Each of you is entitled to rely upon this letter and is irrevocably
authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official
inquiry with respect to the matters covered hereby.  Terms used in this certificate have the meanings set forth in Regulation
S.

 

	 	Very truly yours,	 
	 	 	 	 
	 	 	 
	 	[Name of Transferor]	 
	 	 	 	 
	 	By:	 	 
	 	 	Authorized Signature	 

 

Signature guarantee: _____________________________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

 

 

 

 

 

 

 

 

     

     

    

 

EXHIBIT C-2

 

[FORM OF CERTIFICATE TO BE DELIVERED

IN CONNECTION WITH TRANSFERS

PURSUANT TO REGULATION S]

 

WestRock Company

1000 Abernathy Road NE

Atlanta, Georgia 30328

Attention: General Counsel

 

The Bank of New York Mellon Trust Company, N.A.

500 Ross Street, 12th Floor

Pittsburgh, Pennsylvania 15262

Attention:  Corporate Trust Administration

Facsimile: (412) 234-8377

 

	 	Re:	WestRock Company 4.000% Senior Notes due 2028 (the “Notes”)

 

Ladies and Gentlemen:

 

In connection with our proposed sale of $________ aggregate principal
amount of the Notes, we confirm that such sale has been effected pursuant to and in accordance with Regulation S under the U.S.
Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we represent that:

 

(1)           the
offer of the Notes was not made to a person in the United States;

 

(2)           either
(a) at the time the buy order was originated, the transferee was outside the United States or we and any person acting on our behalf
reasonably believed that the transferee was outside the United States or (b) the transaction was executed in, on or through the
facilities of a designated off-shore securities market and neither we nor any person acting on our behalf knows that the transaction
has been pre-arranged with a buyer in the United States;

 

(3)           no
directed selling efforts have been made in the United States in contravention of the requirements of Rule 903(b) or Rule 904(b)
of Regulation S, as applicable; and

 

(4)           the
transaction is not part of a plan or scheme to evade the registration requirements of the Securities Act.

 

In addition, if the sale is made during a restricted period and the
provisions of Rule 903(b) or Rule 904(b) of Regulation S are applicable thereto, we confirm that such sale has been made in accordance
with the applicable provisions of Rule 903(b) or Rule 904(b), as the case may be.

 

     

     

    

 

Each of you is entitled to rely upon this letter and is irrevocably
authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official
inquiry with respect to the matters covered hereby.  Terms used in this certificate have the meanings set forth in Regulation
S.

 

	 	Very truly yours,	 
	 	 	 	 
	 	 	 
	 	[Name of Transferor]	 
	 	 	 	 
	 	By:	 	 
	 	 	Authorized Signature	 

 

Signature guarantee: _____________________________

 

(Signature must be guaranteed by a participant in a recognized signature
guarantee medallion program)

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