Document:

EX-10.3

 Exhibit 10.3 

EMPLOYEE MATTERS AGREEMENT 
 By
and Between 
 XEROX CORPORATION 

and 
 CONDUENT INCORPORATED 

Dated as of             , 2016 

 TABLE OF CONTENTS 
  

							
			
	 	 	 	  	Page	 
	
	ARTICLE I	  
	
	Definitions	  
			
	 SECTION 1.01.
	 	 Definitions
	  	 	1	  
	
	ARTICLE II	  
	
	General Principles	  
			
	 SECTION 2.01.
	 	 Conduent Employees
	  	 	9	  
	 SECTION 2.02.
	 	 Transferred Employees
	  	 	9	  
	 SECTION 2.03.
	 	 Collectively Bargained Employees
	  	 	11	  
	 SECTION 2.04.
	 	 Employee Liabilities Generally
	  	 	11	  
	 SECTION 2.05.
	 	 Service Providers
	  	 	11	  
	 SECTION 2.06.
	 	 Employee Benefits Generally
	  	 	11	  
	 SECTION 2.07.
	 	 Payroll Services
	  	 	12	  
	 SECTION 2.08.
	 	 Assumed Individual Agreements
	  	 	12	  
	 SECTION 2.09.
	 	 No Change in Control
	  	 	13	  
	 SECTION 2.10.
	 	 Non-Termination of Employment or Benefits
	  	 	13	  
	 SECTION 2.11.
	 	 No Right to Continued Employment
	  	 	13	  
	
	ARTICLE III	  
	
	Annual Performance Incentive Plan; Incentive Awards	  
			
	 SECTION 3.01.
	 	 Conduent Annual Incentives
	  	 	14	  
	 SECTION 3.02.
	 	 Annual Incentive Reimbursements
	  	 	14	  
	 SECTION 3.03.
	 	 Separation Incentive Awards
	  	 	15	  
	 SECTION 3.04.
	 	 No Transfer of Assets Pertaining to Incentive Awards
	  	 	15	  
	
	ARTICLE IV	  
	
	Service Credit	  
			
	 SECTION 4.01.
	 	 Xerox Benefit Plans
	  	 	15	  
	 SECTION 4.02.
	 	 Conduent Benefit Plans
	  	 	16	  

  
 i 

							
	
	ARTICLE V	  
	
	Certain Welfare Benefit Plan Matters	  
			
	 SECTION 5.01.
	 	 Participation in Welfare Plans
	  	 	16	  
	 SECTION 5.02.
	 	 Allocation of Welfare Benefit Claims
	  	 	17	  
	 SECTION 5.03.
	 	 Workers’ Compensation Claims
	  	 	17	  
	 SECTION 5.04.
	 	 COBRA
	  	 	18	  
	 SECTION 5.05.
	 	 Health Savings and Flexible Spending Accounts
	  	 	19	  
	 SECTION 5.06.
	 	 HSA Premium Contribution Reimbursements
	  	 	19	  
	 SECTION 5.07.
	 	 No Transfer of Assets Pertaining to Welfare Plans
	  	 	20	  
	
	ARTICLE VI	  
	
	Defined Benefit Pension Plans	  
			
	 SECTION 6.01.
	 	 Xerox Defined Benefit Pension Plan
	  	 	20	  
	 SECTION 6.02.
	 	 Bridge to Early Retirement
	  	 	21	  
	 SECTION 6.03.
	 	 Miscellaneous
	  	 	21	  
	 SECTION 6.04.
	 	 Xerox UK Pension Plan
	  	 	21	  
	 SECTION 6.05.
	 	 No Distributions
	  	 	21	  
	 SECTION 6.06.
	 	 Tax Reporting
	  	 	21	  
	 SECTION 6.07.
	 	 No Transfer of Assets Pertaining to Pension Plans
	  	 	21	  
	
	ARTICLE VII	  
	
	Defined Contribution Plans	  
			
	 SECTION 7.01.
	 	 Conduent 401(k) Plan
	  	 	22	  
	 SECTION 7.02.
	 	 401(k) Rollover
	  	 	22	  
	 SECTION 7.03.
	 	 Stock Considerations
	  	 	22	  
	 SECTION 7.04.
	 	 Defined Contribution Plans
	  	 	23	  
	 SECTION 7.05.
	 	 Employer Contributions
	  	 	24	  
	 SECTION 7.06.
	 	 Cooperation
	  	 	24	  
	 SECTION 7.07.
	 	 No Distributions
	  	 	24	  
	 SECTION 7.08.
	 	 No Transfer of Assets Pertaining to Defined Contribution Plans
	  	 	24	  
	 SECTION 7.09.
	 	 Limitation of Liability
	  	 	25	  
	
	ARTICLE VIII	  
	
	Nonqualified Deferred Compensation	  
			
	 SECTION 8.01.
	 	 Xerox Nonqualified Deferred Compensation Plans
	  	 	25	  
	 SECTION 8.02.
	 	 Conduent Nonqualified Deferred Compensation Plans
	  	 	25	  
	 SECTION 8.03.
	 	 Cooperation
	  	 	26	  
	 SECTION 8.04.
	 	 No Distributions
	  	 	26	  

  
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	 SECTION 8.05.
	 	 No Transfer of Assets Pertaining to Nonqualified Deferred Compensation Plans
	  	 	26	  
	 SECTION 8.06.
	 	 Limitation of Liability
	  	 	26	  
	
	ARTICLE IX	  
	
	Xerox Equity Compensation Awards	  
			
	 SECTION 9.01.
	 	 Adoption of the Conduent Equity Incentive Plan
	  	 	27	  
	 SECTION 9.02.
	 	 Treatment of Outstanding Awards
	  	 	27	  
	 SECTION 9.03.
	 	 Employer Tax Obligations; Tax Deductions
	  	 	28	  
	 SECTION 9.04.
	 	 Compliance with Applicable Law
	  	 	29	  
	 SECTION 9.05.
	 	 Equity Award Administration
	  	 	29	  
	
	ARTICLE X	  
	
	Cooperation; Production of Witnesses; Compensation Deductions	  
			
	 SECTION 10.01.
	 	 Cooperation
	  	 	29	  
	 SECTION 10.02.
	 	 Production of Witnesses; Records
	  	 	30	  
	 SECTION 10.03.
	 	 Compensation Deductions
	  	 	30	  
	
	ARTICLE XI	  
	
	Termination	  
			
	 SECTION 11.01.
	 	 Termination
	  	 	30	  
	 SECTION 11.02.
	 	 Effect of Termination
	  	 	30	  
	
	ARTICLE XII	  
	
	Indemnification	  
			
	 SECTION 12.01.
	 	 Incorporation of Indemnification Provisions of Separation Agreement
	  	 	31	  
	
	ARTICLE XIII	  
	
	Further Assurances and Additional Covenants	  
			
	 SECTION 13.01.
	 	 Further Assurances
	  	 	31	  

  
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	ARTICLE XIV	  
	
	Miscellaneous	  
			
	 SECTION 14.01.
	 	 Data Privacy
	  	 	31	  
	 SECTION 14.02.
	 	 Section 409A
	  	 	31	  
	 SECTION 14.03.
	 	 Confidentiality
	  	 	31	  
	 SECTION 14.04.
	 	 Counterparts; Entire Agreement; Corporate Power
	  	 	32	  
	 SECTION 14.05.
	 	 Governing Law; Jurisdiction
	  	 	32	  
	 SECTION 14.06.
	 	 Assignability
	  	 	32	  
	 SECTION 14.07.
	 	 No Third-Party Beneficiaries
	  	 	32	  
	 SECTION 14.08.
	 	 Employment Tax Reporting Responsibility
	  	 	32	  
	 SECTION 14.09.
	 	 Notices
	  	 	32	  
	 SECTION 14.10.
	 	 Severability
	  	 	33	  
	 SECTION 14.11.
	 	 Headings
	  	 	34	  
	 SECTION 14.12.
	 	 Survival of Covenants
	  	 	34	  
	 SECTION 14.13.
	 	 Waivers of Default
	  	 	34	  
	 SECTION 14.14.
	 	 Specific Performance
	  	 	34	  
	 SECTION 14.15.
	 	 Amendments
	  	 	34	  
	 SECTION 14.16.
	 	 Interpretation
	  	 	34	  
		
	 SCHEDULE 1.01(a): Delayed Inactive Transferred to Conduent Employees
	  	 	S-1	  
	 SCHEDULE 1.01(b): Delayed Active Transferred to Conduent Employees
	  	 	S-2	  
	 SCHEDULE 1.01(c): Delayed Inactive Transferred to Xerox Employees
	  	 	S-3	  
	 SCHEDULE 1.01(d): Delayed Active Transferred to Xerox Employees
	  	 	S-4	  
	 SCHEDULE 1.01(e): Local Agreements
	  	 	S-5	  
	 SCHEDULE 2.08: Certain Individual Agreements
	  	 	S-6	  
	 SCHEDULE 6.03: Miscellaneous
	  	 	S-7	  

  
 iv 

 EMPLOYEE MATTERS AGREEMENT (this “Agreement”), dated as of
            , 2016, by and between XEROX CORPORATION, a New York corporation (“Xerox”), and CONDUENT INCORPORATED, a New York corporation, and a wholly owned subsidiary of
Xerox (“Conduent”, and together with Xerox, the “Parties”). 
 R E C I T A L S 

WHEREAS the Parties are entering into the Separation and Distribution Agreement (the “Separation Agreement”) concurrently
herewith, pursuant to which Xerox intends to distribute its entire interest in its wholly owned Subsidiary, Conduent, by way of a dividend of stock to be made to holders of shares of Xerox Common Stock; and 

WHEREAS the Parties wish to set forth their agreements as to certain matters regarding employment, compensation, employee benefits and
arrangements with non-employee service providers. 
 NOW, THEREFORE, in consideration of the mutual agreements, provisions and covenants
contained in this Agreement, the Parties, intending to be legally bound, hereby agree as follows: 
 ARTICLE I  

Definitions 
 SECTION
1.01. Definitions. For purposes of this Agreement, the following terms shall have the following meanings. All capitalized terms used but not defined herein shall have the meanings assigned to them in the Separation Agreement
unless otherwise indicated. 
 “Ancillary Agreements” shall have the meaning set forth in the Separation Agreement. 

“APIP” shall have the meaning set forth in Section 3.01. 

“Applicable Exchange” shall mean the New York Stock Exchange, or such other securities exchange as may, at the applicable
time, be the principal market for the Xerox Common Stock or the Conduent Common Stock, as the case may be. 
 “Asset” shall
have the meaning set forth in the Separation Agreement. 
 “Benefit Plan” shall mean any plan, program, policy, agreement,
arrangement or understanding that is an employment, consulting, deferred compensation, executive compensation, incentive bonus or other bonus, employee pension, profit sharing, savings, retirement, supplemental retirement, stock option, performance
share, 

  
 1 

 
stock purchase, stock appreciation right, restricted stock, restricted stock unit, deferred stock unit, other equity-based compensation, severance pay, retention, change in control, salary
continuation, life insurance, death benefit, health, hospitalization, sick leave, vacation pay, workers’ compensation, disability or accident insurance or other employee benefit plan, program, agreement or arrangement, including any
“employee benefit plan” (as defined in Section 3(3) of ERISA) (whether or not subject to ERISA). 
 “COBRA”
shall mean the U.S. Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. 
 “Code” shall mean the U.S.
Internal Revenue Code of 1986, as amended. 
 “Collective Bargaining Agreement” shall mean each collective bargaining,
works council or other labor union contract or labor arrangement (including any national, sector or local collective bargaining agreement). 

“Conduent” shall have the meaning set forth in the preamble. 

“Conduent 401(k) Plan” shall have the meaning set forth in Section 7.01. 

“Conduent Benefit Plan” shall mean any Benefit Plan sponsored, maintained or, unless such Benefit Plan is sponsored or
maintained by a member of the Xerox Group, contributed to by any member of the Conduent Group. 
 “Conduent Common Stock”
shall have the meaning set forth in the Separation Agreement. 
 “Conduent Employee” shall mean (a) each individual
employed by a member of the Conduent Group as of immediately prior to the Distribution, including any individual who is not actively at work due to a leave of absence (including vacation, holiday, illness, injury, short-term disability or long-term
disability) from which such employee is permitted to return to active employment in accordance with the Conduent Group’s personnel policies, as in effect from time to time, or applicable Law and (b) each individual who becomes an active
employee of a member of the Conduent Group following the Distribution; provided that, except as otherwise expressly provided herein, “Conduent Employees” shall (i) include Delayed Transferred to Conduent Employees who transfer
to or accept an offer of employment from a member of the Conduent Group as described in Section 2.02(b) and (ii) exclude Delayed Transferred to Xerox Employees who transfer to or accept an offer of employment from a member of the Xerox
Group as described in Section 2.02(c). 
 “Conduent Equity Award Conversion Ratio” shall mean the quotient
obtained by dividing (a) the Xerox Pre-Distribution Stock Value by (b) the Conduent Post-Distribution Stock Value. 
 “Conduent
Germany Pension Plan” shall mean the Conduent Benefit Plan that is a defined benefit pension plan maintained for the benefit of employees in Germany. 

  
 2 

 “Conduent Group” shall have the meaning set forth in the Separation Agreement.

 “Conduent Health Savings Account” shall mean each health savings account under a Conduent Benefit Plan that is a health
savings account plan. 
 “Conduent HSA Premium Contribution” shall have the meaning set forth in Section 5.05. 

“Conduent Indemnitees” shall have the meaning set forth in the Separation Agreement. 

“Conduent Nonqualified Deferred Compensation Plan” shall mean each nonqualified Conduent Benefit Plan that provides employees
or non-employee directors an opportunity to defer compensation, excluding any Conduent DC Plan or Conduent Benefit Plan that provides defined benefit pension benefits. 

“Conduent Option” shall have the meaning set forth in Section 9.02(a). 

“Conduent RSU” shall have the meaning set forth in Section 9.02(b). 

“Conduent Post-Distribution Stock Value” shall mean the volume weighted average price of Conduent Common Stock trading on the
Applicable Exchange on the first Trading Day immediately following the Distribution Date, as reported by The Wall Street Journal or, if not reported therein, in another authoritative source selected by Xerox in its sole discretion.

“Conduent Reimbursement Bonuses” shall have the meaning set forth in Section 3.02(b). 

“Conduent Savings Plan” shall mean the Xerox Business Services Savings Plan, as amended from time to time. 

“Conduent DC Plan” shall have the meaning set forth in Section 7.04. 

“Conduent Welfare Plan” shall mean each Conduent Benefit Plan that is a Welfare Plan. 

“Conduent Workers’ Compensation Plan” shall have the meaning set forth in Section 5.03. 

“Consent” shall have the meaning set forth in the Separation Agreement. 

“Delayed Transferred to Conduent Employee” shall mean each individual who (a)(i) is not actively at work as of
immediately prior to the Distribution due to a leave of absence as a result of a short-term or long-term disability from which such individual is permitted to return to active employment in accordance with the Xerox Group’s personnel policies,
as in effect from time to time, or applicable Law, (ii) was 

  
 3 

 
employed by a member of the Xerox Group as of immediately prior to the commencement of such leave and (iii) has been selected by Xerox prior to the date hereof, in its sole discretion in
connection with the Spin-Off, to be transferred to a member of the Conduent Group upon such individual’s return to active employment, or (b) is actively at work as of immediately prior to the Distribution and has been selected by Xerox prior to
the date hereof, in its sole discretion in connection with the Spin-Off, to be transferred to a member of the Conduent Group following the Distribution. Schedule 1.01(a) sets forth a list of each Delayed Transferred to Conduent Employee
described in clause (a) of the preceding sentence, and Schedule 1.01(b) sets forth a list of each Delayed Transferred to Conduent Employee described in clause (b) of the preceding sentence, in each case as of the date hereof. Xerox shall
update Schedules 1.01(a) and 1.01(b) as soon as reasonably practicable following the date hereof so that they are accurate as of immediately prior to the Distribution. In addition, the Parties may update Schedule
1.01(b) following the date hereof by mutual agreement in writing.
 “Delayed Transferred to Xerox Employees” shall mean
each individual who (a)(i) is not actively at work as of immediately prior to the Distribution due to a leave of absence as a result of a short-term or long-term disability from which such individual is permitted to return to active employment in
accordance with the Conduent Group’s personnel policies, as in effect from time to time, or applicable Law, (ii) was employed by a member of the Conduent Group as of immediately prior to the commencement of such leave and (iii) has been
selected by Xerox prior to the date hereof, in its sole discretion in connection with the Spin-Off, to be transferred to a member of the Xerox Group upon such individual’s return to active employment, or (b) is actively at work as of
immediately prior to the Distribution and has been selected by Xerox prior to the date hereof, in its sole discretion in connection with the Spin-Off, to be transferred to a member of the Xerox Group following the Distribution. Schedule
1.01(c) sets forth a list of each Delayed Transferred to Xerox Employee described in clause (a) of the preceding sentence, and Schedule 1.01(d) sets forth a list of each Delayed Transferred to Xerox Employee described in clause (b) of the
preceding sentence, in each case as of the date hereof. Xerox shall update Schedules 1.01(c) and 1.01(d) as soon as reasonably practicable following the date hereof so that they are accurate as of immediately prior to the
Distribution. In addition, the Parties may update Schedule 1.01(d) following the date hereof by mutual agreement in writing.

“Distribution” shall have the meaning set forth in the Separation Agreement. 

“Distribution Date” shall have the meaning set forth in the Separation Agreement. 

“Employing Party” shall have the meaning set forth in Section 10.03. 

“Employment Taxes” shall mean all fees, Taxes, social insurance payments or similar contributions to a fund of a Governmental
Authority with respect to wages or other compensation of an employee or other service provider. 

  
 4 

 “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as
amended. 
 “Final Determination” shall have the meaning set forth in the TMA. 

“Former Conduent Employee” shall mean each individual who is a former employee as of immediately prior to the Distribution
and who was employed by a member of the Conduent Group as of immediately prior to his or her employment termination. 
 “Former
Xerox Employee” shall mean each individual who is a former employee as of immediately prior to the Distribution and who was employed by a member of the Xerox Group as of immediately prior to his or her employment termination. 

“Germany Pension Plan Local Agreement” shall have the meaning set forth in Item 1 of Schedule 1.01(e). 

“Governmental Authority” shall have the meaning set forth in the Separation Agreement. 

“Individual Agreement” shall mean any individual employment contract or other similar agreement that specifically pertains to
any Conduent Employee, Former Conduent Employee, Xerox Employee or Former Xerox Employee. 
 “Information” shall have the
meaning set forth in the Separation Agreement. 
 “Law” shall have the meaning set forth in the Separation Agreement. 

“Liabilities” shall have the meaning set forth in the Separation Agreement. For the avoidance of doubt, for purposes of
this Agreement, “Liabilities” shall include liabilities relating to employment litigation and the employer-paid portion of any employment and payroll taxes. 

“Non-U.S. Conduent Employee” shall mean a Conduent Employee who works primarily outside of the United States. 

“RIGP” shall have the meaning set forth in Section 6.01. 

“Service Provider” shall mean any Person providing services for another Person, whether as an independent contractor or other
similar role (other than as an employee), including, for the avoidance of doubt, any non-employee member of the board of directors of Xerox. 

  
 5 

 “Specified Performance Factor” shall mean: 

(a) In the case of Xerox Performance Shares relating to the performance period beginning January 1, 2015 and ending December 31, 2017,
(i) with respect to two-thirds of the award, the actual level of achievement of all relevant performance goals through December 31, 2016, as determined by the board of directors of Xerox (or the appropriate committee thereof) as soon as reasonably
practicable following December 31, 2016, and (ii) with respect to the remaining one-third of the award, the target level achievement of all relevant performance goals; 

(b) In the case of Xerox Performance Shares relating to the performance period beginning January 1, 2014 and ending December 31, 2016 or
the performance period beginning January 1, 2016 and ending December 31, 2016, the actual level of achievement of all relevant performance goals through December 31, 2016, as determined by the board of directors of Xerox (or the appropriate
committee thereof) as soon as reasonably practicable following December 31, 2016; and 
 (c) In the case of Xerox Performance Shares
relating to the performance period beginning January 1, 2013 and ending December 31, 2015, the actual level of achievement of all relevant performance goals, as determined by the board of directors of Xerox (or the appropriate committee thereof)
prior to the date hereof. 
 “Spin-Off” shall have the meaning set forth in the Separation Agreement. 

“Subsidiary” shall have the meaning set forth in the Separation Agreement. 

“Tax Authority” shall have the meaning set forth in the TMA. 

“Tax Benefit” shall have the meaning set forth in the TMA. 

“Tax Rate” shall have the meaning set forth in Section 10.03. 

“Tax Return” shall have the meaning set forth in the TMA. 

“Taxes” shall have the meaning set forth in the TMA. 

“TMA” shall have the meaning set forth in the Separation Agreement. 

“Trading Day” shall mean the period of time during any given calendar day, commencing with the determination of the opening
price on the Applicable Exchange and ending with the determination of the closing price on the Applicable Exchange. 
 “Transfer
Time” shall mean, (i) with respect to each Transferred to Xerox Employee or Delayed Transferred to Xerox Employee, the time at which such individual commences employment with a member of the Xerox Group and (ii) with respect to each
Transferred to Conduent Employee or Delayed Transferred to Conduent Employee, the time at which such individual commences employment with a member of the Conduent Group. 

  
 6 

 “Transferred to Conduent Employee” shall have the meaning set forth in
Section 2.02(a). 
 “Transferred to Xerox Employee” shall have the meaning set forth in
Section 2.02(a). 
 “TSA” shall have the meaning set forth in the Separation Agreement. 

“UK DC Plan Local Agreement” shall have the meaning set forth in Item 2 of Schedule 1.01(e). 

“Welfare Plan” shall mean each Benefit Plan that provides life insurance, health care, dental care, accidental death and
dismemberment insurance, disability, severance, vacation, flexible spending accounts or other group welfare or fringe benefits. 

“Workers’ Compensation Event” shall have the meaning set forth in Section 5.03. 

“Xerox” shall have the meaning set forth in the preamble. 

“Xerox 401(k) Plan” shall have the meaning set forth in Section 7.02. 

“Xerox Benefit Plan” shall mean any Benefit Plan sponsored, maintained or, unless such Benefit Plan is sponsored or
maintained by a member of the Conduent Group, contributed to by any member of the Xerox Group. 
 “Xerox Common Stock”
shall have the meaning set forth in the Separation Agreement.
 “Xerox DB Pension Plans” shall have the meaning set forth
in Section 6.01. 
 “Xerox Employee” shall mean (a) each individual employed by a member of
the Xerox Group as of immediately prior to the Distribution, including any individual who is not actively at work due to a leave of absence (including vacation, holiday, illness, injury, short-term disability or long-term disability) from which such
employee is permitted to return to active employment in accordance with the Xerox Group’s personnel policies, as in effect from time to time, or applicable Law and (b) each individual who becomes an active employee of a member of the Xerox
Group following the Distribution; provided that, except as otherwise set forth herein, “Xerox Employees” shall (i) include Delayed Transferred to Xerox Employees who transfer to or accept an offer of employment from a member of the
Xerox Group as described in Section 2.02(c) and (ii) exclude Delayed Transferred to Conduent Employees who transfer to or accept an offer of employment from a member of the Conduent as described in Section 2.02(b). 

“Xerox ESOP” shall mean the Xerox Corporation Employee Stock Ownership Plan, as amended from time to time. 

  
 7 

 “Xerox Equity Awards” shall mean Xerox Options, Xerox RSUs and Xerox Performance
Shares. 
 “Xerox Flexible Spending Account” shall mean each Xerox Benefit Plan that is a flexible spending arrangement
under a cafeteria plan qualifying under Section 125 of the Code. 
 “Xerox Group” shall have the meaning set forth in
the Separation Agreement. 
 “Xerox Health Savings Account” shall mean each health savings account under a Xerox Benefit
Plan that is a health savings account plan. 
 “Xerox HSA Premium Contribution” shall have the meaning set forth in
Section 5.05. 
 “Xerox Indemnitee” shall have the meaning set forth in the Separation Agreement. 

“Xerox Nonqualified Deferred Compensation Plan” shall mean Xerox’s 2004 Equity Compensation Plan for Non-Employee
Directors, Xerox’s Deferred Compensation Plan for Directors, Xerox’s Deferred Compensation Plan for Executives, each as amended and restated, and any other nonqualified Xerox Benefit Plan that provides employees or non-employee directors
an opportunity to defer compensation, excluding any Xerox DB Pension Plan or Xerox DC Plan. 
 “Xerox Option” shall mean
each award of an option to purchase shares of Xerox Common Stock, whether granted pursuant to an equity-based incentive compensation plan or otherwise. 

“Xerox Performance Shares” shall mean each award of performance shares payable in whole or in part in shares of Xerox Common
Stock, or the value of which is determined with reference to the value of shares of Xerox Common Stock, whether granted pursuant to an equity-based incentive compensation plan or otherwise. 

“Xerox Pre-Distribution Stock Value” shall mean the closing per share price of Xerox Common Stock trading “regular way
with due bills” on the Applicable Exchange on the Distribution Date, as reported by The Wall Street Journal or, if not reported therein, in another authoritative source selected by Xerox in its sole discretion. 

“Xerox Reimbursement Bonuses” shall have the meaning set forth in Section 3.02(a). 

“Xerox RSU” shall mean each award of restricted stock units payable in whole or in part in shares of Xerox Common Stock, or
the value of which is determined with reference to the value of shares of Xerox Common Stock, whether granted pursuant to an equity-based incentive compensation plan or otherwise, but excluding any deferred stock units granted to non-employee
directors under a Xerox Nonqualified Deferred Compensation Plan. 

  
 8 

 “Xerox Savings Plan” shall mean the Xerox Corporation Savings Plan, as amended
from time to time. 
 “Xerox DC Plan” shall have the meaning set forth in Section 7.04(b). 

“Xerox Supplemental Savings Plan” shall mean the Xerox Corporation Supplemental Savings Plan, as amended from time to time.

 “Xerox UK Pension Plan” shall mean the Xerox Benefit Plan that is a defined benefit pension plan maintained for the
benefit of employees in the United Kingdom. 
 “Xerox Welfare Plan” shall mean each Xerox Benefit Plan that is a Welfare
Plan. 
 “Xerox Workers’ Compensation Plan” shall have the meaning set forth in Section 5.03. 

ARTICLE II 
 General
Principles 
 SECTION 2.01. Conduent Employees. All Conduent Employees as of immediately prior to the Distribution
shall continue to be employees of the Conduent Group immediately following the Distribution. 
 SECTION 2.02. Transferred
Employees. (a) Prior to the Distribution Date, the Parties shall, and shall cause their Subsidiaries to, use reasonable best efforts to (i) transfer or cause to be transferred (whether automatically pursuant to applicable Law or
pursuant to an offer of employment) from a member of the Xerox Group to a member of the Conduent Group the employment of each individual who has been selected by Xerox prior to the date hereof, in its sole discretion in connection with the Spin-Off,
to be so transferred (each such employee, a “Transferred to Conduent Employee”) and (ii) transfer or cause to be transferred (whether automatically pursuant to applicable Law or pursuant to an offer of employment) from a member
of the Conduent Group to a member of the Xerox Group the employment of each individual who has been selected by Xerox prior to the date hereof, in its sole discretion in connection with the Spin-Off, to be so transferred (each such employee, a
“Transferred to Xerox Employee”). 
 (b) Delayed Transferred to Conduent Employees. (i) Except as
otherwise required by applicable Law, following the Distribution, the Parties shall, and shall cause their Subsidiaries to, use reasonable best efforts to transfer or cause to be transferred (whether automatically pursuant to applicable Law or
pursuant to an offer of employment) from a member of the Xerox Group to a member of the Conduent Group 

  
 9 

 
the employment of each Delayed Transferred to Conduent Employee set forth on Schedule 1.01(a) who returns to active employment as permitted by, and in accordance with, the Xerox
Group’s personnel policies, as in effect from time to time, or applicable Law, under terms and conditions of employment that are substantially similar in the aggregate to those provided to such individual as of immediately prior to such
individual’s leave of absence and each Delayed Transferred to Conduent Employee set forth on Schedule 1.01(b) under terms and conditions of employment that are substantially similar in the aggregate to those provided to such
individual as of immediately prior to such transfer.
 (ii) Except as otherwise expressly provided in this Agreement or in
the TSA, effective as of the date of the commencement of a Delayed Transferred to Conduent Employee’s employment with a member of the Conduent Group in accordance with this Section 2.02(b), or such other time as may be
agreed in writing by the Parties, the members of the Conduent Group shall assume all Liabilities outstanding as of the date of such transfer of the type or nature that would have been assumed or retained by such members of the Conduent Group had
such Delayed Transferred to Conduent Employee been employed by a member of the Conduent Group as of the Distribution Date. 
 (c) Delayed
Transferred to Xerox Employees. (i) Except as otherwise required by applicable Law, following the Distribution, the Parties shall, and shall cause their Subsidiaries to, use reasonable best efforts to transfer or cause to be
transferred (whether automatically pursuant to applicable Law or pursuant to an offer of employment) from a member of the Conduent Group to a member of the Xerox Group the employment of each Delayed Transferred to Xerox Employee set forth on
Schedule 1.01(c) who returns to active employment as permitted by, and in accordance with, the Conduent Group’s personnel policies, as in effect from time to time, or applicable Law, under terms and conditions of employment that are
substantially similar in the aggregate to those provided to such individual as of immediately prior to such individual’s leave of absence and each Delayed Transferred to Xerox Employee set forth on Schedule 1.01(d) under terms and
conditions of employment that are substantially similar in the aggregate to those provided to such individual as of immediately prior to such transfer. 

(ii) Except as otherwise expressly provided in this Agreement or in the TSA, effective as of the date of the commencement of a
Delayed Transferred to Xerox Employee’s employment with a member of the Xerox Group in accordance with this Section 2.02(c) or such other time as may be agreed in writing by the Parties, the members of the Xerox Group
shall assume all Liabilities outstanding as of the date of such transfer of the type or nature that would have been assumed or retained by such members of the Xerox Group had such Delayed Transferred to Xerox Employee been employed by a member of
the Xerox Group as of the Distribution Date. 
 (d) Notwithstanding the foregoing, nothing in this Section 2.02 shall be interpreted
as requiring either Party nor any member of their respective Groups to provide any Transferred to Conduent Employee, Delayed Transferred to Conduent 

  
 10 

 
Employee, Transferred to Xerox Employee or Delayed Transferred to Xerox Employee with any additional compensation or benefits or to pay any consideration or grant any concession in order to
effectuate the transfers described herein.
 SECTION 2.03. Collectively Bargained Employees. Conduent hereby assumes all
Liabilities arising under each Collective Bargaining Agreement with respect to Non-U.S. Conduent Employees, and shall cause the appropriate member of the Conduent Group to, join any industrial, employer, national or similar association or federation
to the extent necessary for such Collective Bargaining Agreement to continue to apply following the Distribution Date. 
 SECTION
2.04. Employee Liabilities Generally. Except as otherwise expressly provided in this Agreement, (a) the members of the Conduent Group hereby assume or retain, and shall be responsible for paying, performing, fulfilling and
discharging in accordance with their respective terms, all actual or potential employee-related Liabilities relating to individuals who were or are employed by a member of the Conduent Group to the extent incurred with respect to periods during
which such individuals were or are so employed by such member of the Conduent Group, whether arising prior to, on or following the Distribution (and regardless of whether such employees are or were employed by a member of the Xerox Group during
other periods), and (b) the members of the Xerox Group hereby assume or retain, and shall be responsible for paying, performing, fulfilling and discharging in accordance with their respective terms, all actual or potential employee-related
Liabilities relating to individuals who were or are employed by such member of the Xerox Group to the extent incurred with respect to periods during which such individuals were or are so employed by a member of the Xerox Group, whether arising prior
to, on or following the Distribution (and regardless of whether such employees are or were employed by a member of the Conduent Group during other periods). 

SECTION 2.05. Service Providers. Except as provided in Section 8.01 with respect to nonqualified deferred compensation
benefits provided to non-employee members of the board of directors of Xerox or as otherwise expressly provided in this Agreement, the provisions of this Agreement shall not apply to Service Providers, and all actual or potential compensation and
benefits-related Liabilities relating to services provided by Service Providers to any member of the Conduent Group or any member of the Xerox Group during any period, including (i) Liabilities relating to the misclassification of any Person as
a Service Provider and not as an employee, (ii) Liabilities for Taxes (including any Employment Taxes) with respect to services provided by any Service Provider and (iii) any claims made by any Service Provider with respect to benefits under
any Benefit Plan, shall be allocated among the members of the Conduent Group and the members of the Xerox Group in accordance with the cost center to which such Service Provider’s services are or were charged and/or the method of allocating the
costs and expenses of such services as in effect as of the date hereof (or as of the date of the termination of such Service Provider’s services, if earlier). 

SECTION 2.06. Employee Benefits Generally. Except as otherwise expressly provided in this Agreement or in the TSA, effective as of
no later than the 

  
 11 

 
Distribution Date, each Conduent Employee and each Former Conduent Employee (and each of their respective dependents and beneficiaries) shall cease active participation in the Xerox Benefit
Plans, each member of the Conduent Group shall cease to be a participating employer in the Xerox Benefit Plans and the Conduent Employees shall commence participation or continue to participate in the Conduent Benefit Plans in accordance with their
terms as in effect from time to time. Except as otherwise expressly provided in this Agreement or in the TSA, effective as of no later than the Distribution Date, each Xerox Employee and each Former Xerox Employee (and each of their respective
dependents and beneficiaries) shall cease active participation in the Conduent Benefit Plans, each member of the Xerox Group shall cease to be a participating employer in the Conduent Benefit Plans and the Xerox Employees shall commence
participation or continue to participate in the Xerox Benefit Plans in accordance with their terms as in effect from time to time. Except as otherwise expressly provided in this Agreement, (a) the members of the Conduent Group hereby
assume or retain, and shall be responsible for paying, performing, fulfilling and discharging in accordance with their respective terms, all actual or potential Liabilities arising out of or relating to the Conduent Benefit Plans, including, for the
avoidance of doubt, any such Liabilities relating to Xerox Employees or Former Xerox Employees, and (b) the members of the Xerox Group hereby assume or retain, and shall be responsible for paying, performing, fulfilling and discharging in
accordance with their respective terms, all actual or potential Liabilities arising out of or relating to the Xerox Benefit Plans, including, for the avoidance of doubt, any such Liabilities relating to Conduent Employees and Former Conduent
Employees. 
 SECTION 2.07. Payroll Services. Except as otherwise expressly provided in the TSA, following
the Distribution, (a) the members of the Conduent Group shall be solely responsible for providing payroll services to the Conduent Employees and Former Conduent Employees and for any Liabilities with respect to garnishments of the salary and
wages thereof and (b) the members of the Xerox Group shall be solely responsible for providing payroll services to the Xerox Employees and Former Xerox Employees and for any Liabilities with respect to garnishments of the salary and wages
thereof, in each case including any payroll period already in progress as of immediately prior to the Distribution. 
 SECTION
2.08. Assumed Individual Agreements. (a) Effective as of the Distribution Date, each change of control, employment, severance or other Individual Agreement between a member of the Xerox Group, on the one hand, and a Conduent
Employee or Former Conduent Employee, on the other hand, including those listed on Schedule 2.08, shall be assigned by the applicable member of the Xerox Group to, and shall be assumed by, an appropriate member of the Conduent Group, with
such modifications as the applicable member of the Conduent Group deems appropriate in its sole discretion, and thereafter Conduent shall, and shall cause its Subsidiaries to, honor all obligations thereunder in accordance with its terms, subject to
the ability to amend, modify or terminate such Individual Agreement in accordance with its terms. 
 (b) Effective as of the
Distribution Date, each change of control, employment, severance or other Individual Agreement between a member of the 

  
 12 

 
Conduent Group, on the one hand, and a Xerox Employee or Former Xerox Employee, on the other hand, including those listed on Schedule 2.08, shall be assigned by the applicable member of
the Conduent Group to, and shall be assumed by, an appropriate member of the Xerox Group, and thereafter Xerox shall, and shall cause its Subsidiaries to, honor all obligations thereunder in accordance with its terms, subject to the ability to
amend, modify or terminate such Individual Agreement in accordance with its terms. 
 (c) Each of the Parties shall, and shall cause
the members of their respective Groups to, use their respective reasonable best efforts to work together in an effort to obtain any necessary Consents in order to complete the assignment and assumption of Individual Agreements pursuant to this
Section 2.08 and take all actions necessary to amend or modify any Individual Agreements to obtain such Consents; provided, however, that nothing in this Section 2.08 shall be interpreted as requiring either Party nor any
member of their respective Groups to provide any individual with any additional compensation or benefits or otherwise adjust the terms of any such Individual Agreement or to pay any consideration or grant any concession in order to obtain any such
Consent.
 SECTION 2.09. No Change in Control. The Parties hereto agree that none of the transactions contemplated by this
Agreement, the Separation Agreement or any Ancillary Agreement shall constitute a “change in control,” “change of control” or similar term within the meaning of any Xerox Benefit Plan or Conduent Benefit Plan. 

SECTION 2.10. Non-Termination of Employment or Benefits. Except as otherwise required by applicable Law or the express terms
of any Individual Agreement, neither this Agreement, the Separation Agreement nor any Ancillary Agreement shall be construed to create any right, or to accelerate any entitlement, to any compensation or benefit on the part of any Conduent Employee,
Former Conduent Employee, Xerox Employee or Former Xerox Employee. Without limiting the generality of the foregoing, except as otherwise required by applicable Law or the express terms of any Conduent Benefit Plan, Xerox Benefit Plan or
Individual Agreement, neither the Distribution, the transfers of employment contemplated by Section 2.02 nor the assignment and assumption of Individual Agreements contemplated by Section 2.08 shall cause any Conduent
Employee or Xerox Employee to be deemed to have any entitlement to any severance payments or benefits or the commencement of any other benefits under any Conduent Benefit Plan, any Xerox Benefit Plan or any Individual Agreement; provided,
however, that any Liabilities associated with any such transactions or such transfers shall be allocated to the entity that employed such individual as of immediately prior to the time such Liability is incurred. 

SECTION 2.11. No Right to Continued Employment. Nothing contained in this Agreement shall confer any right to continued
employment on any Conduent Employee or Xerox Employee. Except as otherwise expressly provided in this Agreement, this Agreement shall not limit the ability of any member of the Conduent Group or any member of the Xerox Group to change the
position, compensation or benefits of any of its employees for performance-related, business or any other reasons or require any such entity to continue the employment of any such employee for any period

  
 13 

 
of time; provided, however, that, in the event of any such termination of employment or modification of the terms and conditions of employment, any associated Liabilities shall be
allocated to the entity that employed such individual as of immediately prior to the time such Liability is incurred. 
 ARTICLE III 

Annual Performance Incentive Plan; Incentive Awards 

SECTION 3.01. Conduent Annual Incentives. Subject to the Parties’ reimbursement obligations described in
Section 3.02, the members of the Conduent Group shall be responsible for the payment of any annual bonus awards with respect to the Annual Performance Incentive Plan (the “APIP”) to Conduent Employees
(including Transferred to Conduent Employees and Delayed Transferred to Conduent Employees who have transferred prior to the end of the fiscal year in which the Distribution occurs, without proration) and Former Conduent Employees, and the members
of the Xerox Group shall be responsible for the payment of any annual bonus awards with respect to the APIP to Xerox Employees (including Transferred to Xerox Employees and Delayed Transferred to Xerox Employees who have transferred prior to the end
of the fiscal year in which the Distribution occurs, without proration) and Former Xerox Employees, in each case with respect to the fiscal year in which the Distribution occurs and each fiscal year thereafter; provided that, (i) in the case
of Transferred to Conduent Employees and Transferred to Xerox Employees, such payments shall be based on blended annual performance incentive plan factors, determined based on the relative portions of the applicable plan year in which each such
individual was employed by a member of the Conduent Group and a member of the Xerox Group, respectively, (ii) in the case of Delayed Transferred to Conduent Employees and Delayed Transferred to Xerox Employees, annual bonus awards with respect to
the APIP for the fiscal year in which the Distribution occurs (if any) shall be the responsibility of the entity that employed such individual as of immediately following the applicable Transfer Time, except as otherwise expressly provided in the
TSA, and (iii) Xerox shall be permitted in its sole discretion to designate an alternative treatment of annual bonus awards with respect to the APIP for the fiscal year in which the Distribution occurs (and allocation of Liability with respect
thereto) in the event the Distribution occurs following December 31, 2016.
 SECTION 3.02. Annual Incentive
Reimbursements. (a) As soon as reasonably practicable following the payment of one or more annual bonus awards with respect to the APIP by a member of the Conduent Group to any Transferred to Conduent Employees with respect to the
fiscal year in which the Distribution occurs (collectively, the “Xerox Reimbursement Bonuses”), Conduent shall provide Xerox with one or more invoices, in each case denominated in U.S. dollars and including reasonable substantiating
documentation, that set forth the aggregate Liabilities incurred by the members of the Conduent Group with respect to such payments (whether relating to periods prior to or following the applicable Transfer Time, without proration). Within 20
business days following the receipt by Xerox of each such invoice, Xerox shall pay Conduent an amount in cash equal to the aggregate amounts set forth thereon. In no 

  
 14 

 
event shall any member of the Xerox Group be required to reimburse any member of the Conduent Group under this Agreement for any costs for which the Conduent Group has otherwise been reimbursed
or that are charged directly to the members of the Xerox Group in the ordinary course of business. 
 (b) As soon as reasonably
practicable following the payment of one or more annual bonus awards with respect to the APIP by a member of the Xerox Group to any Transferred to Xerox Employees with respect to the fiscal year in which the Distribution occurs (the
“Conduent Reimbursement Bonuses”), Xerox shall provide Conduent with one or more invoices, in each case denominated in U.S. dollars and including reasonable substantiating documentation, that set forth the aggregate Liabilities
incurred by the members of the Xerox Group with respect to such payments (whether relating to periods prior to or following the applicable Transfer Time, without proration). Within 20 business days following the receipt by Conduent of each such
invoice, Conduent shall pay Xerox an amount in cash equal to the aggregate amounts set forth thereon. In no event shall any member of the Conduent Group be required to reimburse any member of the Xerox Group under this Agreement for any costs
for which the Xerox Group has otherwise been reimbursed or that are charged directly to the members of the Conduent Group in the ordinary course of business. 

SECTION 3.03. Separation Incentive Awards. Effective as of immediately prior to the Distribution, the members of the Conduent
Group shall assume and shall be solely responsible for all Liabilities with respect to any outstanding cash-based “separation incentive awards” held by Conduent Employees and Former Conduent Employees, and shall pay all such awards in
accordance with and at the times provided for under the applicable award agreement, subject to the ability to amend, modify or terminate such agreements in accordance with their terms. In the case of Delayed Transferred to Conduent Employees,
the members of the Conduent Group shall so assume any such outstanding awards as of the applicable Transfer Time. 
 SECTION
3.04. No Transfer of Assets Pertaining to Incentive Awards. Except as otherwise described in Section 3.02, nothing in this Agreement shall require any member of the Conduent Group to reimburse or transfer assets or reserves to any
member of the Xerox Group with respect to the Conduent annual incentive bonuses or cash-based separation incentive awards, and nothing in this Agreement shall require any member of the Xerox Group to reimburse or transfer assets or reserves to any
member of the Conduent Group with respect to the Xerox annual incentive bonuses or cash-based separation incentive awards. 
 ARTICLE IV 

Service Credit 
 SECTION
4.01. Xerox Benefit Plans. The members of the Xerox Group shall credit any service accrued by Xerox Employees with, or recognized for benefit plan purposes by, the members of the Conduent Group as of immediately prior to the
applicable Transfer Time for all purposes, including eligibility, vesting, determining the 

  
 15 

 
amount of severance payments and benefits and determining the number of vacation days to which each such employee shall be entitled following the applicable Transfer Time, in each case to the
same extent recognized by the relevant members of the Conduent Group or the corresponding Conduent Benefit Plan as of immediately prior to the applicable Transfer Time, except to the extent such credit would result in a duplication of benefits for
the same period of service. 
 SECTION 4.02. Conduent Benefit Plans. The members of the Conduent Group shall credit any
service accrued by Conduent Employees with, or otherwise recognized for benefit plan purposes by, the members of the Xerox Group as of immediately prior to the applicable Transfer Time for all purposes, including eligibility, vesting, determining
the amount of severance payments and benefits and determining the number of vacation days to which each such employee shall be entitled following the applicable Transfer Time, in each case to the same extent recognized by the relevant members of the
Xerox Group or the corresponding Xerox Benefit Plan as of immediately prior to the applicable Transfer Time, except to the extent such credit would result in a duplication of benefits for the same period of service. In addition, as of the
applicable Transfer Time, the members of the Conduent Group shall provide a one-time credit of 240 hours of sick time to each Transferred to Conduent Employee and Delayed Transferred to Conduent Employee. 

ARTICLE V 
 Certain Welfare
Benefit Plan Matters 
 SECTION 5.01. Participation in Welfare Plans. (a) Conduent shall cause the Conduent
Welfare Plans to (i) waive all limitations as to preexisting conditions, exclusions, service conditions and waiting period limitations and any evidence of insurability requirements applicable to any Transferred to Conduent Employees or Delayed
Transferred to Conduent Employees, other than such limitations, exclusions, conditions and requirements that were in effect with respect to such individuals as of the applicable Transfer Time under the corresponding Xerox Welfare Plan, and (ii)
honor any deductibles, out-of-pocket maximums and co-payments incurred by any Transferred to Conduent Employees or Delayed Transferred to Conduent Employees under the corresponding Xerox Welfare Plan for purposes of satisfying the applicable
deductibles, out-of-pocket maximums or co-payments under the applicable Conduent Welfare Plan for the plan year in which the applicable Transfer Time occurs. 

(b) Xerox shall cause the Xerox Welfare Plans to (i) waive all limitations as to preexisting conditions, exclusions, service conditions
and waiting period limitations and any evidence of insurability requirements applicable to any Transferred to Xerox Employees or Delayed Transferred to Xerox Employees, other than such limitations, exclusions, conditions and requirements that were
in effect with respect to such individuals as of the applicable Transfer Time under the corresponding Conduent Welfare Plan, and (ii) honor any deductibles, out-of-pocket maximums and co-payments incurred by the Transferred to Xerox Employees or
Delayed Transferred to Xerox Employees under the corresponding Conduent Welfare Plan for purposes of satisfying the applicable deductibles, out-of-pocket maximums or co-payments under the applicable Xerox Welfare Plan for the plan year in which the
applicable Transfer Time occurs. 

  
 16 

 SECTION 5.02. Allocation of Welfare Benefit Claims. (a) Notwithstanding
Section 2.06, (i) the members of the Xerox Group shall retain Liability and responsibility under and in accordance with the Xerox Welfare Plans for all reimbursement claims (such as medical and dental claims) for expenses
incurred and for all non-reimbursement claims (such as life insurance claims) incurred by Transferred to Conduent Employees and Delayed Transferred to Conduent Employees (and their dependents and beneficiaries) prior to the applicable Transfer Time
and (ii) the members of the Conduent Group shall retain Liability and responsibility under and in accordance with the Conduent Welfare Plans for all reimbursement claims (such as medical and dental claims) for expenses incurred and for all
non-reimbursement claims (such as life insurance claims) incurred by Transferred to Conduent Employees and Delayed Transferred to Conduent Employees (and their dependents and beneficiaries) on or following the applicable Transfer Time.

(b) Notwithstanding Section 2.06, (i) the members of the Conduent Group shall retain Liability and
responsibility under and in accordance with the Conduent Welfare Plans for all reimbursement claims (such as medical and dental claims) for expenses incurred and for all non-reimbursement claims (such as life insurance claims) incurred by
Transferred to Xerox Employees and Delayed Transferred to Xerox Employees (and their dependents and beneficiaries) prior to the applicable Transfer Time and (ii) the members of the Xerox Group shall retain Liability and responsibility under and in
accordance with the Xerox Welfare Plans for all reimbursement claims (such as medical and dental claims) for expenses incurred and for all non-reimbursement claims (such as life insurance claims) incurred by Transferred to Xerox Employees and
Delayed Transferred to Xerox Employees (and their dependents and beneficiaries) on or following the applicable Transfer Time.
 (c) For
purposes of this Section 5.02, a benefit claim shall be deemed to be incurred as follows: (i) health, dental, vision, employee assistance program and prescription drug benefits (including in respect of any
hospital confinement), upon provision of such services, materials or supplies; and (ii) life, accidental death and dismemberment and business travel accident insurance benefits, upon the death, cessation of employment or other event giving rise
to such benefits.
 SECTION 5.03. Workers’ Compensation Claims. Notwithstanding
Section 2.06, (a) in the case of any workers’ compensation claim of any Transferred to Conduent Employee or Delayed Transferred to Conduent Employee who is coverable under a workers’ compensation plan of a
member of the Xerox Group (a “Xerox Workers’ Compensation Plan”), such claim shall be covered under such Xerox Workers’ Compensation Plan if the event, injury or condition giving rise to such workers’
compensation claim (the applicable “Workers’ Compensation Event”) occurred or occurs prior to the applicable Transfer Time, and shall be covered under a workers’ compensation plan of a member of the Conduent
Group (each, a “Conduent Workers’ Compensation Plan”) if the applicable Workers’ Compensation Event occurs on or after 

  
 17 

 
the applicable Transfer Time, and (b) in the case of any workers’ compensation claim of any Transferred to Xerox Employee or Delayed Transferred to Xerox Employee who is coverable under a
Conduent Workers’ Compensation Plan, such claim shall be covered under such Conduent Workers’ Compensation Plan if the applicable Workers’ Compensation Event occurred prior to the applicable Transfer Time, and shall be covered under a
Xerox Workers’ Compensation Plan if the applicable Workers’ Compensation Event occurs on or after the applicable Transfer Time. If the Workers’ Compensation Event occurs over a period both preceding and following the applicable
Transfer Time, the claim shall be covered jointly under the Xerox Workers’ Compensation Plan and the Conduent Workers’ Compensation Plan and shall be equitably apportioned between them based upon the relative periods of time that the
Workers’ Compensation Event transpired preceding and following the applicable Transfer Time.
 SECTION
5.04. COBRA. (a) Notwithstanding Section 2.06(a), in the event a Transferred to Conduent Employee or Delayed Transferred to Conduent Employee (i) was receiving, or was eligible to receive, continuation
health coverage pursuant to COBRA prior to the applicable Transfer Time, the members of the Xerox Group and the Xerox Welfare Plans shall be responsible for all Liabilities to such employee (or his or her eligible dependents) in respect of such
coverage, and (ii) in the event a Transferred to Conduent Employee or Delayed Transferred to Conduent Employee becomes eligible to receive continuation health coverage pursuant to COBRA at or after the applicable Transfer Time, the members of
the Conduent Group and the Conduent Welfare Plans shall be responsible for all Liabilities to such employee (or his or her eligible dependents) in respect of such coverage. Conduent shall indemnify, defend and hold harmless the members of the
Xerox Group from and against any and all Liabilities relating to, arising out of or resulting from such coverage under COBRA provided by the members of the Conduent Group, or the failure of the members of the Conduent Group to meet their coverage
obligations under COBRA, to individuals (including Transferred to Xerox Employees and Delayed Transferred to Conduent Employees) who participated in a Conduent Welfare Plan at the time the applicable COBRA qualifying event occurred.

(b) Notwithstanding Section 2.06, in the event that a Transferred to Xerox Employee or Delayed Transferred to
Xerox Employee (i) was receiving, or was eligible to receive, continuation health coverage pursuant to COBRA prior to the applicable Transfer Time, the members of the Conduent Group and the Conduent Welfare Plans shall be responsible for all
Liabilities to such employee (or his or her eligible dependents) in respect of such coverage, and (ii) in the event a Transferred to Xerox Employee or Delayed Transferred to Xerox Employee becomes eligible to receive continuation health
coverage pursuant to COBRA at or after the applicable Transfer Time, the members of the Xerox Group and the Xerox Welfare Plans shall be responsible for all Liabilities to such employee (or his or her eligible dependents) in respect of such
coverage. Xerox shall indemnify, defend and hold harmless the members of the Conduent Group from and against any and all Liabilities relating to, arising out of or resulting from such coverage under COBRA provided by the members of the Xerox
Group, or the failure of the members of the Xerox group to meet their coverage obligations under COBRA, to individuals (including Transferred to Conduent Employees) who participated in a Xerox Welfare Plan at the time the applicable COBRA qualifying
event occurred. 

  
 18 

 SECTION 5.05. Health Savings and Flexible Spending Accounts. Without limiting
the generality of Sections 2.03 and 2.06, Conduent shall use reasonable best efforts to cooperate in administering any Xerox Health Savings Accounts and Xerox Flexible Spending Accounts in connection with the
Distribution in accordance with the terms of the applicable Xerox Benefit Plan, including by exchanging any necessary participant records and engaging recordkeepers, providers, insurers and other third parties. As soon as reasonably practicable
following the applicable Transfer Time, (i) a member of the Conduent Group shall make a one-time contribution to the Conduent Health Savings Account of each Transferred to Conduent Employee and Delayed Transferred to Conduent Employee in an amount
equal to the excess, if any, of the following, so long as such excess exceeds $300.00, calculated on an individual-by-individual basis: (A) the employee’s annual cost of medical premiums (net of any credits for wellness assessment) under the
applicable Conduent Welfare Plan for the 2017 plan year (or such later plan year in which the applicable Transfer Time occurs), over (B) the annual cost of medical premiums (net of any credits for wellness assessment) that the employee would have
incurred under the applicable Xerox Welfare Plan for such plan year (such excess, if any, the “Conduent HSA Premium Contribution”), and (ii) a member of the Xerox Group shall make a one-time contribution to the Xerox Health Savings
Account of each Transferred to Xerox Employee and Delayed Transferred to Xerox Employee in an amount equal to the excess, if any, of the following, so long as such excess exceeds $300.00, calculated on an individual-by-individual basis: (A) the
employee’s annual cost of medical premiums (net of any credits for wellness assessment) under the applicable Xerox Welfare Plan for the 2017 plan year (or such later plan year in which the applicable Transfer Time occurs), over (B) the annual
cost of medical premiums (net of any credits for wellness assessment) that the employee would have incurred under the applicable Conduent Welfare Plan for such plan year (such excess, if any, the “Xerox HSA Premium Contribution”),
in the case of each of clauses (i) and (ii), as determined by Xerox in its sole discretion. For the avoidance of doubt, in the event the applicable excess amount described in the immediately preceding sentence exceeds $300.00, the entire amount
shall be included in the applicable one-time contribution, and in the event the applicable excess amount described in the immediately preceding sentence is less than or equal to $300.00, a one-time contribution shall not be required under this
Section 5.05. 
 SECTION 5.06. HSA Premium Contribution Reimbursements. (a) As soon as reasonably
practicable following the contribution of one or more Conduent HSA Premium Contributions by a member of the Conduent Group, Conduent shall provide Xerox with one or more invoices, in each case denominated in U.S. dollars and including reasonable
substantiating documentation, that set forth the aggregate Liabilities incurred by the members of the Conduent Group with respect to such contributions. Within 20 business days following the receipt by Xerox of each such invoice, Xerox shall
pay Conduent an amount in cash equal to the aggregate amounts set forth thereon. In no event shall any member of the Xerox Group be required to reimburse any member of the Conduent Group under this Agreement for any costs for which the Conduent
Group has otherwise been reimbursed or that are charged directly to the members of the Xerox Group in the ordinary course of business. 

(b) As soon as reasonably practicable following the contribution of one or more Xerox HSA Premium Contributions by a member of the Xerox
Group, Xerox shall provide Conduent with one or more invoices, in each case denominated in U.S. dollars and including reasonable substantiating documentation, that set forth the aggregate Liabilities incurred by the members of the Xerox Group with
respect to such contributions. Within 20 business days following the receipt by Conduent of each such invoice, Conduent shall pay Xerox an amount in cash equal to the aggregate amounts set forth thereon. In no event shall any member of the
Conduent Group be required to reimburse any member of the Xerox Group under this Agreement for any costs for which the Xerox Group has otherwise been reimbursed or that are charged directly to the members of the Conduent Group in the ordinary course
of business. 

  
 19 

 SECTION 5.07. No Transfer of Assets Pertaining to Welfare Plans. Except as
otherwise expressly provided in Section 5.06, nothing in this Agreement shall require any member of the Xerox Group or any Xerox Welfare Plan to reimburse or transfer assets or reserves to any member of the Conduent Group or any Conduent
Welfare Plan with respect to the Xerox Welfare Plans, and nothing in this Agreement shall require any member of the Conduent Group or any Conduent Welfare Plan to reimburse or transfer assets or reserves to any member of the Xerox Group or any Xerox
Welfare Plan with respect to the Conduent Welfare Plans. 
 ARTICLE VI 

Defined Benefit Pension Plans 

SECTION 6.01. Xerox Defined Benefit Pension Plan. Without limiting the generality of Section 2.06, following the
Distribution, a member of the Xerox Group shall (a) retain sponsorship of the Xerox Corporation Retirement Income Guarantee Plan (the “RIGP”) and each other Xerox Benefit Plan that provides qualified or nonqualified defined benefit
pension benefits (collectively with the RIGP, the “Xerox DB Pension Plans”), (b) except as otherwise expressly provided in Schedule 6.03, Section 6.04 or in the Germany Pension Plan Local Agreement, retain all Assets
and Liabilities arising out of or relating to the Xerox DB Pension Plans (including, for the avoidance of doubt, those relating to Conduent Employees, Former Conduent Employees, Transferred to Conduent Employees and Delayed Transferred to Conduent
Employees, and regardless of when accrued, earned or vested) and (c) make payments thereunder in accordance with the terms of such plan and applicable Law; provided that unvested rights thereunder shall be treated in accordance with the terms
of such plan and applicable Law. Except as otherwise expressly provided in Schedule 6.03, the participants in such plans shall not accrue any benefits under such plans in respect of service with any member of the Conduent Group after the
Distribution Date. Notwithstanding anything in Section 2.02 to the contrary, Conduent shall not have any obligation under this Agreement to establish a tax-qualified defined benefit pension plan after the Distribution.

  
 20 

 SECTION 6.02. Bridge to Early Retirement. Xerox shall take all actions
reasonably necessary to provide that, in the case of each Transferred to Conduent Employee or Delayed Transferred to Conduent Employee who as of immediately prior to the Distribution is within one year of attaining age 55 or 30 years of vesting
service under the RIGP, Xerox and the RIGP shall recognize up to one year of age attained or service credit after the Distribution to the extent necessary to permit such individual to attain age 55 or 30 years of vesting service under the RIGP, as
applicable, in each case subject to continued employment with a member of the Conduent Group following the Distribution through the date (within the one-year period following the Distribution) on which such years of vesting service or age is
obtained, as applicable. 
 SECTION 6.03. Miscellaneous. The Parties agree to comply with the provisions of Schedule
6.03. 
 SECTION 6.04. Xerox UK Pension Plan. From and after the Distribution, the members of the Xerox Group shall
retain all Liabilities arising under or in connection with or relating to the Xerox UK Pension Plan; provided, however, that any debt arising under section 75 or 75A of the UK Pensions Act 1995 (or regulations promulgated thereunder)
as a result of the transactions contemplated by this Agreement, the Separation Agreement or any Ancillary Agreement shall be allocated to a member of the Conduent Group. 

SECTION 6.05. No Distributions. The Parties hereby agree that the Spin-Off will not trigger a payment or distribution of
compensation under any Xerox DB Pension Plan or any Conduent Benefit Plan that provides nonqualified defined benefit pension benefits and, consequently, the payment or distribution of any compensation to which any individual is entitled under any
such Benefit Plan shall occur upon such individual’s separation from service from the Conduent Group or the Xerox Group, as applicable, or at such other time as provided pursuant to the terms thereof. 

SECTION 6.06. Tax Reporting. Except as otherwise expressly provided in Schedule 6.03 or Section 6.04, Xerox and
its Subsidiaries shall be solely responsible for all obligations relating to reporting of Taxes to the appropriate Tax Authority and remitting the amounts of any such Taxes required to be withheld (including any Employment Taxes) to the appropriate
Tax Authority in connection with payments under the Xerox DB Pension Plans. 
 SECTION 6.07. No Transfer of Assets Pertaining to
Pension Plans. Except as otherwise expressly provided in Schedule 6.03 or in the Germany Pension Plan Local Agreement, nothing in this Agreement shall require any member of the Conduent Group to reimburse or transfer assets or
reserves to any member of the Xerox Group or any pension plan maintained by a member of the Xerox Group with respect to any Conduent Benefit Plan that provides defined benefit pension benefits, and nothing in this Agreement shall require any member
of the Xerox Group or any Xerox DB Pension Plan to reimburse or to transfer assets or reserves to any member of the Conduent Group or any Conduent Benefit Plan with respect to any Xerox DB Pension Plan.

  
 21 

 ARTICLE VII 

Defined Contribution Plans 

SECTION 7.01. Conduent 401(k) Plan. Effective as of no later than the Distribution, Conduent shall have in effect one or more
defined contribution plans that include a qualified cash or deferred arrangement within the meaning of Section 401(k) of the Code (collectively, the “Conduent 401(k) Plan”) for the benefit of Conduent Employees. 

SECTION 7.02. 401(k) Rollover. As soon as reasonably practicable following the applicable Transfer Time, (a) the members of
the Xerox Group shall permit each Conduent Employee to elect to rollover his or her account balance or balances under the Xerox Savings Plan or such other defined contribution plan or plans maintained by the members of the Xerox Group that
include a qualified cash or deferred arrangement within the meaning of Section 401(k) of the Code (collectively, the “Xerox 401(k) Plan”), and the members of the Conduent Group shall cause the Conduent 401(k) Plan to accept such
rollover (including earnings through the date of transfer and promissory notes evidencing all outstanding loans) and (b) the members of the Conduent Group shall permit each Xerox Employee to elect to rollover his or her account balance or balances
under the Conduent 401(k) Plan, and the members of the Xerox Group shall cause the Xerox 401(k) Plan to accept such rollover (including earnings through the date of transfer and promissory notes evidencing all outstanding loans), in each case in
accordance with applicable Law and the terms of the Conduent 401(k) Plan and the Xerox 401(k) Plan if such rollover is elected by such employee in accordance with applicable Law and the terms of such plans. Upon completion of a transfer of
account balances as described in this Section 7.02, the members of the Conduent Group and the Conduent 401(k) Plan shall be responsible for all Liabilities of the members of the Xerox Group under the Xerox 401(k) Plan with
respect to any Conduent Employee whose account balance is so transferred (and his or her respective dependents and beneficiaries), and the members of the Xerox Group and the Xerox 401(k) Plan shall have no obligation to provide such participants (or
any of their dependents or beneficiaries) with benefits under the Xerox 401(k) Plan, and the members of the Xerox Group and the Xerox 401(k) Plan shall be responsible for all Liabilities of the members of the Conduent Group under the Conduent 401(k)
Plan with respect to any Xerox Employee whose account balance is so transferred (and his or her respective dependents and beneficiaries), and the members of the Conduent Group and the Conduent 401(k) Plan shall have no obligation to provide such
participants (or any of their dependents or beneficiaries) with benefits under the Conduent 401(k) Plan. Xerox and Conduent shall use reasonable best efforts to cooperate to effect such transfers, including by exchanging any necessary
participant records and engaging recordkeepers, administrators and other third parties. 
 SECTION 7.03. Stock
Considerations. To the extent that any participant in the Xerox 401(k) Plan, the Xerox ESOP or the Conduent 401(k) Plan, receives shares of Conduent Common Stock in connection with the Distribution with respect to shares of Xerox Common
Stock held under the Xerox 401(k) Plan, the Xerox ESOP or the Conduent 401(k) Plan, such shares of Conduent Common Stock shall be deposited in the 

  
 22 

 
Xerox 401(k) Plan, the Xerox ESOP or the Conduent 401(k) Plan, as applicable, subject to such limitations (including the ability to dispose of such shares of Conduent Common Stock in accordance
with the terms of the applicable Xerox 401(k) Plan, the Xerox ESOP or the Conduent 401(k) Plan, as applicable), or the removal of such fund, in each case, as determined by Xerox or the applicable fiduciary of the Xerox 401(k) Plan, the Xerox ESOP or
the Conduent 401(k) Plan in its sole discretion. Following the Distribution, the participants in the Xerox 401(k) Plan and the Xerox ESOP shall not be permitted to acquire shares of Conduent Common Stock under the Xerox 401(k) Plan and the
Xerox ESOP, other than shares of Conduent Common Stock acquired in connection with the Distribution as described in the immediately preceding sentence. Without limiting the generality of Section 7.09, Xerox and Conduent shall be solely
responsible for ensuring that their respective 401(k) plans and employee stock ownership plans are maintained in compliance with applicable Law (including the fiduciary requirements under ERISA) with respect to holding shares of their respective
common stock and common stock of the other Party. 
 SECTION 7.04. Defined Contribution Plans. (a) Without limiting
the generality of Section 2.06 and except as otherwise expressly provided in Section 7.02 or in the UK DC Plan Local Agreement, from and after the Distribution, the members of the Conduent Group
shall remain responsible for all Liabilities incurred under the defined contribution plans maintained by the members of the Conduent Group (collectively, the “Conduent DC Plans”), whether relating to Conduent Employees, Former
Conduent Employees, Xerox Employees or Former Xerox Employees and regardless of when accrued, earned or vested, and shall be solely liable for all payments required to be made thereunder to such participants. Notwithstanding anything in
Section 2.03 to the contrary, except as required to comply with Section 409A of the Code, the members of the Conduent Group shall not have any obligation to allow Conduent Employees, Former Conduent Employees, Delayed Transferred to Conduent
Employees, Xerox Employees, Former Xerox Employees or Delayed Transferred to Xerox Employees to continue active participation in the Conduent DC Plans from and after the Distribution Date. 

(b) Without limiting the generality of Section 2.06 and except as otherwise expressly provided in
Section 7.02, the members of the Xerox Group shall remain responsible for all Liabilities incurred under the defined contribution plans maintained by the members of the Xerox Group (collectively, the “Xerox DC
Plans”), whether relating to Conduent Employees, Former Conduent Employees, Xerox Employees or Former Xerox Employees and regardless of when accrued, earned or vested, and shall be solely liable for all payments required to be made
thereunder to such participants. Notwithstanding Section 2.03 to the contrary, except as required to comply with Section 409A of the Code or as otherwise expressly provided in the UK DC Plan Local Agreement, the members of the Xerox
Group shall not have any obligation to allow Xerox Employees, Former Xerox Employees, Delayed Transferred to Xerox Employees, Conduent Employees, Former Conduent Employees or Delayed Transferred to Conduent Employees to continue active participation
in the Xerox DC Plans from and after the Distribution Date. 
 (c) Except as otherwise expressly provided in the UK DC Plan Local
Agreement, the members of the Conduent Group shall be solely responsible for all obligations relating to reporting of Taxes to the appropriate Tax Authority and remitting the amounts of any such Taxes required to be withheld (including any
Employment Taxes) to the appropriate Tax Authority in connection with payments under the Conduent DC Plans, and the members of the Xerox Group shall be solely responsible for all obligations relating to reporting of Taxes to the appropriate Tax
Authority and remitting the amounts of any such Taxes required to be withheld (including any Employment Taxes) to the appropriate Tax Authority in connection with payments under the Xerox DC Plans. 

  
 23 

 SECTION 7.05. Employer Contributions. (a) The members of the Xerox Group
shall remain responsible for making all required employer contributions to the accounts of Transferred to Conduent Employees and Delayed Transferred to Conduent Employees under the Xerox Savings Plan and the Xerox Supplemental Savings Plan with
respect to periods prior to the applicable Transfer Time, including the pre-Transfer Time portion of the calendar quarter in which the applicable Transfer Time occurs.

(b) The members of the Conduent Group shall remain responsible for making all required employer contributions to the accounts of
Transferred to Xerox Employees and Delayed Transferred to Xerox Employees under the Conduent Savings Plan with respect to periods prior to the applicable Transfer Time, including the pre-Transfer Time portion of the calendar quarter in which the
applicable Transfer Time occurs. 
 SECTION 7.06. Cooperation. Following the date of this Agreement, Xerox and Conduent
shall use reasonable best efforts to cooperate in administering the Xerox DC Plans and the Conduent DC Plans for purposes of satisfying any obligations relating to the participation of any Conduent Employee or Former Conduent Employee under any
Xerox DC Plan, or the participation of any Xerox Employee or Former Xerox Employee under any Conduent DC Plan, including in each case by exchanging any necessary participant records and engaging recordkeepers, administrators and other third parties.

 SECTION 7.07. No Distributions. The Parties hereby agree that, except as otherwise expressly provided in
Section 7.02 or in the UK DC Plan Local Agreement, the Spin-Off will not trigger a payment or distribution of compensation under the Conduent DC Plans or the Xerox DC Plans and, consequently, the payment or distribution of
any compensation to which any individual is entitled under any Xerox DC Plan or Conduent DC Plan will occur upon such individual’s separation from service from the Conduent Group or the Xerox Group, as applicable, or at such other time as
provided pursuant to the terms of such Xerox DC Plan or Conduent DC Plan. 
 SECTION 7.08. No Transfer of Assets Pertaining to
Defined Contribution Plans. Except as otherwise expressly provided in the UK DC Plan Local Agreement, nothing in this Agreement shall require any member of the Conduent Group or any Conduent DC Plan to reimburse or to transfer assets
or reserves to any member of the 

  
 24 

 
Xerox Group or any Xerox DC Plan with respect to any Conduent DC Plan, and nothing in this Agreement shall require any member of the Xerox Group or any Xerox DC Plan to reimburse or to transfer
assets or reserves to any member of the Conduent Group or any Conduent DC Plan with respect to any Xerox DC Plan. 
 SECTION
7.09. Limitation of Liability. Except as otherwise expressly provided in the UK DC Plan Local Agreement, the members of the Xerox Group shall have no responsibility for any failure of the Conduent 401(k) Plan or any Conduent DC Plan
to be administered in accordance with its terms and applicable Law, and the members of the Conduent Group shall have no responsibility for any failure of the Xerox 401(k) Plan or any Xerox DC Plan to be administered in accordance with its terms and
applicable Law. 
 ARTICLE VIII 

Nonqualified Deferred Compensation 

SECTION 8.01. Xerox Nonqualified Deferred Compensation Plans. Without limiting the generality of Section 2.06, from and
after the Distribution, the members of the Xerox Group shall remain responsible for all Liabilities incurred under the Xerox Nonqualified Deferred Compensation Plans, whether related to Conduent Employees (including Transferred to Conduent Employees
and Delayed Transferred to Conduent Employees), Former Conduent Employees, Xerox Employees or Former Xerox Employees or any non-employee member of the board of directors of Xerox (including, for the avoidance of doubt, any stock units granted to any
non-employee member of the board of directors of Xerox) and regardless of when accrued, earned or vested, for the avoidance of doubt, and shall be solely liable for all payments required to be made thereunder to such
participants. Notwithstanding Section 2.03 or anything in this Section 8.01 to the contrary, except as required to comply with Section 409A of the Code, the members of the Xerox Group shall not have any
obligation to allow any participant, including any Xerox Employee, Former Xerox Employee or Delayed Transferred to Xerox Employee, to accrue additional benefits under the Xerox Nonqualified Deferred Compensation Plans from and after the Distribution
Date. 
 SECTION 8.02. Conduent Nonqualified Deferred Compensation Plans. Without limiting the generality of
Section 2.06, from and after the Distribution, the members of the Conduent Group shall remain responsible for all Liabilities incurred under the Conduent Nonqualified Deferred Compensation Plan, whether related to Conduent
Employees, Former Conduent Employees, Xerox Employees (including Transferred to Xerox Employees and Delayed Transferred to Xerox Employees) or Former Xerox Employees and regardless of when accrued, earned or vested, and shall be solely liable for
all payments required to be made thereunder to such participants. Notwithstanding Section 2.03 or anything in this Section 8.01 to the contrary, except as required to comply with Section 409A of the Code, the
members of the Conduent Group shall not have any obligation to allow any participant, including any Conduent Employee, Former Conduent Employee or Delayed Transferred to Conduent Employee, to accrue additional benefits under the Conduent
Nonqualified Deferred Compensation Plans from and after the Distribution Date.

  
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 SECTION 8.03. Cooperation. Following the date of this Agreement, Xerox and
Conduent shall use reasonable best efforts to cooperate in administering the Xerox Nonqualified Deferred Compensation Plans and the Conduent Nonqualified Deferred Compensation Plans for purposes of satisfying any obligations relating to the
participation of any Conduent Employee or Former Conduent Employee under any Xerox Nonqualified Deferred Compensation Plans, or the participation of any Xerox Employee or Former Xerox Employee under any Conduent Nonqualified Deferred Compensation
Plans, including in each case by exchanging any necessary participant records and engaging recordkeepers, administrators and other third parties. 

SECTION 8.04. No Distributions. The Parties hereby agree that the Spin-Off will not trigger a payment or distribution of
compensation under the Xerox Nonqualified Deferred Compensation Plans or any Conduent Nonqualified Deferred Compensation Plan and, consequently, the payment or distribution of any compensation to which any individual is entitled under the Xerox
Nonqualified Deferred Compensation Plans or any Conduent Nonqualified Deferred Compensation Plan will occur upon such individual’s separation from service from the Conduent Group or the Xerox Group, as applicable, or at such other time as
provided pursuant to the terms of the Xerox Nonqualified Deferred Compensation Plans or such Conduent Nonqualified Deferred Compensation Plan. 

SECTION 8.05. No Transfer of Assets Pertaining to Nonqualified Deferred Compensation Plans. Nothing in this Agreement shall
require any member of the Conduent Group or any Conduent Nonqualified Deferred Compensation Plan to reimburse or to transfer assets or reserves to any member of the Xerox Group or the Xerox Nonqualified Deferred Compensation Plans with respect to
such Conduent Nonqualified Deferred Compensation Plan, and nothing in this Agreement shall require any member of the Xerox Group or the Xerox Nonqualified Deferred Compensation Plans to reimburse or to transfer assets or reserves to any member of
the Conduent Group or any Conduent Nonqualified Deferred Compensation Plan with respect to the Xerox Nonqualified Deferred Compensation Plans. 

SECTION 8.06. Limitation of Liability. The members of the Xerox Group shall have no responsibility for any failure of any
Conduent Nonqualified Deferred Compensation Plan to be administered in accordance with its terms and applicable Law, and the members of the Conduent Group shall have no responsibility for any failure of the Xerox Nonqualified Deferred Compensation
Plans to be administered in accordance with their terms and applicable Law.

  
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 ARTICLE IX 

Xerox Equity Compensation Awards 

SECTION 9.01. Adoption of the Conduent Equity Incentive Plan. Effective as of no later than immediately prior to the
Distribution, Conduent shall establish or cause to be established one or more equity-based incentive compensation plans for purposes of awarding certain Conduent non-employee directors, officers and employees equity-based incentive compensation on
the terms and conditions set forth therein. 
 SECTION 9.02. Treatment of Outstanding Awards. The Parties shall use
reasonable best efforts to take all actions necessary or appropriate so that the Xerox Equity Awards held by Conduent Employees and Former Conduent Employees shall be treated as follows, in lieu of receipt of any shares of Conduent Common Stock with
respect to such Xerox Equity Awards in connection with the Distribution; provided that the provisions of this Section 9.02 shall be effected in a manner that complies with applicable Law: 

(a) Stock Options. Effective as of immediately prior to the Distribution, each Xerox Option held by a Conduent Employee or
Former Conduent Employee that is outstanding and unexercised as of immediately prior to the Distribution, whether vested or unvested, shall be assumed by Conduent and converted entirely into an option to purchase shares of Conduent Common Stock
(each, as so converted, a “Conduent Option”) and, except as otherwise expressly provided in this Section 9.02(a), shall be subject to substantially similar terms and conditions after the Distribution as
were applicable to such Xerox Option immediately prior to the Distribution; provided, however, that from and after the Distribution: 

(i) the per share exercise price of each such Conduent Option shall be equal to the quotient obtained by dividing (1) the
per share exercise price of the corresponding Xerox Option as of immediately prior to the Distribution by (2) the Conduent Equity Award Conversion Ratio, rounded up to the nearest whole cent; and 

(ii) the number of shares of Conduent Common Stock subject to each such Conduent Option shall be equal to the product
obtained by multiplying (1) the number of shares of Xerox Common Stock subject to the corresponding Xerox Option as of immediately prior to the Distribution by (2) the Conduent Equity Award Conversion Ratio, with any fractional share rounded down to
the nearest whole share. 
 The adjustments provided in this Section 9.02(a) with respect to Xerox Options are
intended to be effected in a manner that is consistent with Sections 424(a) and 409A of the Code.

  
 27 

 (b) Xerox RSUs. Effective as of immediately prior to the Distribution,
each Xerox RSU held by a Conduent Employee or Former Conduent Employee that is outstanding as of immediately prior to the Distribution, whether vested or unvested, shall be assumed and converted entirely into a restricted stock unit relating to
Conduent Common Stock (each, as so converted, a “Conduent RSU”) and, except as otherwise expressly provided in this Section 9.02(b), shall be subject to substantially similar terms and conditions (including
any terms and conditions relating to accrued cash dividends) after the Distribution as were applicable to such Xerox RSU immediately prior to the Distribution; provided, however, that from and after the Distribution the number of
shares of Conduent Common Stock subject to each such Conduent RSU shall be equal to the product obtained by multiplying (i) the number of shares of Xerox Common Stock subject to the corresponding Xerox RSU as of immediately prior to the Distribution
by (ii) the Conduent Equity Award Conversion Ratio, with any fractional share rounded to the nearest whole share. 
 (c) Xerox
Performance Shares. Effective as of immediately prior to the Distribution, each Xerox Performance Share held by a Conduent Employee or Former Conduent Employee that is outstanding as of immediately prior to the Distribution, whether vested
or unvested, shall be assumed and converted entirely into a Conduent RSU and, except as otherwise expressly provided in this Section 9.02(c), shall be subject to the substantially similar terms and conditions (including any
terms and conditions relating to accrued cash dividends) after the Distribution as were applicable to such Xerox Performance Share immediately prior to the Distribution; provided, however, that from and after the Distribution 

(i) the number of shares of Conduent Common Stock subject to each such Conduent RSU shall be equal to the product obtained
by multiplying (A) the number of shares subject to the corresponding Xerox Performance Share as of immediately prior to the Distribution, determined based on the applicable Specified Performance Factor, by (B) the Conduent Equity Award Conversion
Ratio, with any fractional share rounded to the nearest whole share; and 
 (ii) such Conduent RSUs shall be subject to
the same time-based vesting conditions as applicable to the corresponding Xerox Performance Shares as of immediately prior to the Distribution, but they shall not be subject to any performance-based vesting conditions (other than to the extent taken
into account in calculating the applicable Specified Performance Factor). 
 SECTION 9.03. Employer Tax Obligations; Tax
Deductions. Xerox and Conduent hereby acknowledge and agree that, notwithstanding any provision of this Article IX to the contrary, the members of the Conduent Group shall be solely responsible for all obligations
relating to reporting of Taxes to the appropriate Tax Authority and withholding and remitting the amounts of any such Taxes required to be withheld (including any Employment Taxes) to the appropriate Tax Authority in connection with any Conduent
Options and Conduent RSUs, and Xerox shall not have any responsibility or Liability with respect thereto. The rights and obligations of the Parties with respect to Tax deductions relating to the Equity Awards shall be governed by Section
10.03. 

  
 28 

 SECTION 9.04. Compliance with Applicable Law. The Parties shall take such
additional or alternative actions as are deemed necessary or advisable by Xerox in its sole discretion in order to effectuate the foregoing provisions of this Article IX in compliance with securities Laws and other legal
requirements associated with equity compensation awards or in order to avoid adverse legal, accounting or tax consequences for the members of the Xerox Group, the members of the Conduent Group or any award holders. 

SECTION 9.05. Equity Award Administration. Without limiting the generality of Section 10.01, following the date of
this Agreement, the Parties shall, and shall cause their respective Subsidiaries to share such information as is necessary to (a) administer equity awards pursuant to this Article IX, (b) provide any required information to holders of such
equity awards and (c) timely make any governmental filings with respect thereto. Such information shall be made available to the other Party within 10 business days following such Party’s request for the applicable information;
provided however, if such information (including the Specified Performance Factor) is needed for purposes of timely making any governmental filing, such information shall be provided no later than one business day prior to the deadline
for making such filing. 
 ARTICLE X 

Cooperation; Production of Witnesses; Compensation Deductions 

SECTION 10.01. Cooperation. Following the date of this Agreement, the Parties shall, and shall cause their respective
Subsidiaries to, use reasonable best efforts to cooperate with respect to any employee compensation or benefits matters that either Party reasonably determines require the cooperation of the other Party in order to accomplish the objectives of this
Agreement, including by exchanging any necessary participant records and engaging recordkeepers, providers, insurers and other third parties. Without limiting the generality of the preceding sentence, (a) Xerox and Conduent shall cooperate
in connection with any audits of any Benefit Plan with respect to which such Party may have Information and (b) Xerox and Conduent shall cooperate in connection with any audits of their respective payroll services (whether by a Governmental
Authority in the U.S. or otherwise) in connection with the services provided by one Party to the other Party. With respect to each Benefit Plan, the obligations of the members of the Xerox Group and the members of the Conduent Group to
cooperate pursuant to this Section 10.01 or any other provision of this Agreement shall remain in effect until the later of (i) the date all audits of such Benefit Plan with respect to which a Party may have Information
have been completed, (ii) the date the applicable statute of limitations with respect to such audits has expired and (iii) the date each Party discharges all obligations to the other Party’s employees and former employees and their respective
beneficiaries and dependents under its Benefit Plans. 

  
 29 

 SECTION 10.02. Production of Witnesses; Records. Without limiting the foregoing,
Section 7.07 of the Separation Agreement is hereby incorporated into this Agreement mutatis mutandis. 
 SECTION
10.03. Compensation Deductions. Any U.S. Federal, state and local income Tax deduction arising as a result of (i) the exercise, vesting or settlement of any Conduent Options or Conduent RSUs and (ii) the payment of annual bonuses
pursuant to Section 3.01 shall, in each case, be claimed (if and when permitted by applicable Law) by the Party (or one of its Subsidiaries) that employs the individual with respect to whom such compensation deduction arises at the time that
it arises or, if such individual is not then employed by any Party or a Subsidiary of a Party, by the Party that most recently employed such individual; provided that the Parties shall reasonably cooperate so that the Tax Benefit of any
deductions claimed by a member of the Conduent Group shall be transferred to a member of the Xerox Group in the case of the Xerox Reimbursement Bonuses and Conduent HSA Premium Payments, and the Tax Benefit of any deductions claimed by a member of
the Xerox Group shall be transferred to a member of the Conduent Group in the case of the Conduent Reimbursement Bonuses and Xerox HSA Premium Payments. If a deduction claimed by a Party (the “Employing Party”) pursuant to the
preceding sentence is disallowed pursuant to a Final Determination and is not able to be claimed by the Employing Party in any other taxable period, the other Party (or one of its Subsidiaries) will amend its applicable Tax Return to claim such
deduction to the extent it is more likely than not deductible by such other Party and such other Party shall pay to the Employing Party an amount equal to the Tax Benefit received by the other Party (or one of its Subsidiaries) as a result of such
deduction (determined by multiplying the total amount of the deduction by such other Party’s tax rate used for financial accounting purposes for the applicable tax period (the “Tax Rate”)). To the extent the other
Party’s deduction is subsequently disallowed pursuant to a Final Determination, the Employing Party shall pay to the other Party an amount equal to the lesser of (i) the amount previously paid by the other Party to the Employing Party pursuant
to this Section 10.03 and (ii) the amount of the deduction that was disallowed multiplied by the Tax Rate. Any amount required to be transferred by a Party in respect of any Tax Benefit pursuant to this Section 10.03 shall be
reduced for any Taxes and reasonable out-of-pocket expenses incurred by such Party in connection with the receipt of such Tax Benefit. 

ARTICLE XI 
 Termination

 SECTION 11.01. Termination. This Agreement may be terminated by Xerox at any time, in its sole
discretion, prior to the Distribution; provided, however, that this Agreement shall automatically terminate upon the termination of the Separation Agreement in accordance with its terms. 

SECTION 11.02. Effect of Termination. In the event of any termination of this Agreement prior to the Distribution, neither
Party (nor any member of their Group or any of their respective directors or officers) shall have any Liability or further obligation to the other Party or any member of its Group under this Agreement. 

  
 30 

 ARTICLE XII 

Indemnification 
 SECTION
12.01. Incorporation of Indemnification Provisions of Separation Agreement. In addition to the specific indemnification provisions in this Agreement, Sections 6.02 through 6.09 of the Separation Agreement are hereby
incorporated into this Agreement mutatis mutandis. 
 ARTICLE XIII 

Further Assurances and Additional Covenants 

SECTION 13.01. Further Assurances. Article IX of the Separation Agreement is hereby incorporated into this Agreement
mutatis mutandis. 
 ARTICLE XIV 

Miscellaneous 
 SECTION
14.01. Data Privacy. The Parties agree that any applicable data privacy and data protection law obligations and any other obligations of the Conduent Group and the Xerox Group to maintain the confidentiality of any employee
Information in accordance with applicable law shall govern the disclosure of employee Information among the Parties under this Agreement. Xerox and Conduent shall ensure that they each have in place appropriate technical and organizational
security measures to protect the personal data of the Conduent Employees and Former Conduent Employees. Conduent shall be responsible for ensuring that it has in place appropriate technical and organizational security measures to protect the
personal data of its Service Providers. Additionally, each Party shall sign such documentation as may be required to comply with applicable data privacy laws. 

SECTION 14.02. Section 409A. Xerox and Conduent shall cooperate in good faith so that the transactions contemplated by this
Agreement, the Separation Agreement or any of the Ancillary Agreements will not result in adverse tax consequences under Section 409A of the Code to any Conduent Employee, Former Conduent Employee, Xerox Employee or Former Xerox Employee (or
any of their respective beneficiaries), in respect of their respective benefits under any Benefit Plan. 
 SECTION
14.03. Confidentiality. Section 7.09 of the Separation Agreement is hereby incorporated into this Agreement mutatis mutandis. 

  
 31 

 SECTION 14.04. Counterparts; Entire Agreement; Corporate Power. Section 11.01 of
the Separation Agreement is hereby incorporated into this Agreement mutatis mutandis. 
 SECTION 14.05. Governing Law;
Jurisdiction. Section 11.02 of the Separation Agreement is hereby incorporated into this Agreement mutatis mutandis. 

SECTION 14.06. Assignability. Section 11.03 of the Separation Agreement is hereby incorporated into this Agreement mutatis
mutandis. 
 SECTION 14.07. No Third-Party Beneficiaries. Except for the indemnification rights under this Agreement of
any Xerox Indemnitee or Conduent Indemnitee in their respective capacities as such, (a) the provisions of this Agreement are solely for the benefit of the Parties, (b) no current or former director, officer, employee or Service Provider of any
member of the Xerox Group or any member of the Conduent Group or any other individual associated therewith (including any beneficiary or dependent thereof), or any trustee of any Benefit Plan of a Party or their respective Subsidiaries shall be
regarded for any purpose as a third-party beneficiary of this Agreement and (c) no provision of this Agreement shall create such rights in any such persons in respect of any benefits that may be provided, directly or indirectly, under any Xerox
Benefit Plan or any Conduent Benefit Plan. Furthermore, no provision of this Agreement shall constitute a limitation on the rights to amend, modify or terminate any Xerox Benefit Plan or any Conduent Benefit Plan and nothing herein shall be
construed as an amendment to any such Benefit Plan. No provision of this Agreement shall require any member of the Xerox Group or any member of the Conduent Group to continue the employment of any employee or the services of any Service
Provider of any member of either Group for any specific period of time following the Distribution. 
 SECTION 14.08. Employment Tax
Reporting Responsibility. To the extent applicable, the Parties hereby agree to follow the standard procedure for U.S. Employment Tax withholding as provided in Section 4 of Rev. Proc. 2004-53, 2004-2 C.B. 320.

SECTION 14.09. Notices. All notices or other communications under this Agreement shall be in writing and shall be deemed to
be duly given when (a) delivered in person, (b) on the date received, if sent by a nationally recognized delivery or courier service or (c) upon the earlier of confirmed receipt or the fifth business day following the date of mailing
if sent by registered or certified mail, return receipt requested, postage prepaid, addressed as follows: 
 If to Xerox, to: 

Xerox Corporation 
 P.O. Box 4505,
45 Glover Avenue 
 Norwalk, CT 06850 

Attn: 
 email: 

Facsimile: 

  
 32 

 with a copy to: 
  

			
	Cravath, Swaine & Moore LLP
	Worldwide Plaza
	825 Eighth Avenue
	New York, NY 10019
	Attn:	  	Robert I. Townsend III
		  	Eric L. Schiele
		  	O. Keith Hallam III
	email:	  	rtownsend@cravath.com
		  	eschiele@cravath.com
		  	khallam@cravath.com
	Facsimile: 212-474-3700

 If to Conduent, to: 

Conduent Incorporated 
 Attn: 

e-mail: 
 Facsimile:

with a copy to: 
  

			
	Cravath, Swaine & Moore LLP
	Worldwide Plaza
	825 Eighth Avenue
	New York, NY 10019
	Attn:	  	Robert I. Townsend III
		  	Eric L. Schiele
		  	O. Keith Hallam III
	email:	  	rtownsend@cravath.com
		  	eschiele@cravath.com
		  	khallam@cravath.com
		  	Facsimile: 212-474-3700

 Either Party may, by notice to the other Party, change the address to which such notices are to be given. 

SECTION 14.10. Severability. If any provision of this Agreement or the application thereof to any Person or circumstance is
determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions hereof, or the application of such provision to Persons or circumstances or in jurisdictions other than those as to which it has been held
invalid or unenforceable, shall remain in full force and 

  
 33 

 
effect and shall in no way be affected, impaired or invalidated thereby, so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner
materially adverse to either Party. Upon any such determination, any such provision, to the extent determined to be invalid, void or unenforceable, shall be deemed replaced by a provision that such court determines is valid and enforceable and
that comes closest to expressing the intention of the invalid, void or unenforceable provision. 
 SECTION
14.11. Headings. The article, section and paragraph headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 

SECTION 14.12. Survival of Covenants. Except as expressly set forth in this Agreement, the covenants in this Agreement and
the Liabilities for the breach of any obligations in this Agreement shall survive the Spin-Off and shall remain in full force and effect. 

SECTION 14.13. Waivers of Default. No failure or delay of any Party (or the applicable member of its Group) in exercising any
right or remedy under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such right or power, or any course of conduct,
preclude any other or further exercise thereof or the exercise of any other right or power. Waiver by any Party of any default by the other Party of any provision of this Agreement shall not be deemed a waiver by the waiving Party of any
subsequent or other default. 
 SECTION 14.14. Specific Performance. In the event of any actual or threatened default in,
or breach of, any of the terms, conditions and provisions of this Agreement, the affected Party shall have the right to specific performance and injunctive or other equitable relief of its rights under this Agreement, in addition to any and all
other rights and remedies at Law or in equity, and all such rights and remedies shall be cumulative. The other Party shall not oppose the granting of such relief on the basis that money damages are an adequate remedy. The Parties agree
that the remedies at Law for any breach or threatened breach hereof, including monetary damages, are inadequate compensation for any loss and that any defense in any action for specific performance that a remedy at Law would be adequate is
waived. Any requirements for the securing or posting of any bond with such remedy are waived. 
 SECTION
14.15. Amendments. No provisions of this Agreement shall be deemed waived, amended, supplemented or modified by any Party, unless such waiver, amendment, supplement or modification is in writing and signed by the authorized
representative of each Party. 
 SECTION 14.16. Interpretation. Words in the singular shall be held to include the plural
and vice versa and words of one gender shall be held to include the other gender as the context requires. The terms “hereof”, “herein”, “herewith” and words of similar import, unless otherwise stated, shall be
construed to refer to this Agreement as a whole (including all of the schedules hereto) and not to any particular provision of this 

  
 34 

 
Agreement. Article, Section or Schedule references are to the articles, sections and schedules of or to this Agreement unless otherwise specified. Any definition of or reference to any
agreement, instrument or other document herein (including any reference herein to this Agreement) shall be construed as referring to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified from
time to time (subject to any restrictions on such amendments, supplements or modifications set forth herein). The word “including” and words of similar import when used in this Agreement shall mean “including, without
limitation,” unless the context otherwise requires or unless otherwise specified. The word “or” shall not be exclusive. 

[Remainder of Page Intentionally Left Blank] 

  
 35 

 IN WITNESS WHEREOF, the Parties have caused this Employee Matters Agreement to be executed by
their duly authorized representatives. 
  

							
	XEROX CORPORATION,
			
		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	
	
	CONDUENT INCORPORATED,
			
		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:Exhibit

Exhibit 4.1

EXECUTION COPY

OZ MANAGEMENT LP
UNIT DESIGNATION OF
THE PREFERENCES AND RELATIVE, PARTICIPATING,
OPTIONAL, AND OTHER SPECIAL RIGHTS, POWERS AND DUTIES
OF
CLASS A CUMULATIVE PREFERRED UNITS

OZ MANAGEMENT LP, a Delaware limited partnership (the “Partnership”), pursuant to the provisions of the Delaware Revised Uniform Limited Partnership Act and the Amended and Restated Agreement of Limited Partnership of the Partnership dated as of December 14, 2015, as amended from time to time (the “Limited Partnership Agreement”), does hereby state and certify that, pursuant to the authority expressly vested in Och-Ziff Holding Corporation, a Delaware corporation and the Partnership’s general partner (the “General Partner”), the General Partner duly adopted the following resolution, which remains in full force and effect as of the date hereof:
RESOLVED, that this Unit Designation of the Class A Cumulative Preferred Units of the Partnership dated as of October 5, 2016 (this “Unit Designation”) be and hereby is adopted as follows:
1.Designation. 
(a)    Pursuant to Section 3.2(b) of the Limited Partnership Agreement, there is hereby created a class of Units designated as the “Class A Cumulative Preferred Units” (the “Class A Preferred Units”), which shall each have a liquidation preference per Class A Preferred Unit equal to the Unit Price (the “Liquidation Preference”).  The General Partner is authorized to provide for the issuance of up to 400,000 Class A Preferred Units in one or more series (each, a “Class A Series”), each of which Class A Series shall be identical other than the date of issuance.
(b)    The Class A Preferred Units have no maturity date. Each Class A Preferred Unit shall be identical in all respects to every other Class A Preferred Unit.  Notwithstanding Section 3.1(b) of the Limited Partnership Agreement, the Preferred Units shall not be evidenced by Certificates of Ownership and a Partner’s interest in any such Units shall be reflected through appropriate entries in the books and records of the Partnership.
(c)    All Class A Preferred Units issued pursuant to, and in accordance with the requirements of this Unit Designation, shall be fully paid and non-assessable Units of the Partnership.
2.Definitions. For purposes of this Unit Designation, the following terms have the meanings ascribed to them below.  Capitalized terms used herein without definition have the meanings ascribed to such terms in the Limited Partnership Agreement.
“Change of Control Event” means the occurrence of the following:
(i)    the direct or indirect sale, 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 

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of the properties and assets of the Operating Partnerships, taken as a whole, to any “person” or “group” (as each such term is defined in Section 13(d)(3) of the Exchange Act or any successor provision), other than to a Continuing OZ Person or one or more wholly-owned subsidiaries of any of the Operating Partnerships; or 
(ii)    the consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that any “person” or “group” (as each such term is defined in Section 13(d)(3) of the Exchange Act or any successor provision), other than a Continuing OZ Person or the Company and any of its wholly-owned subsidiaries, becomes (A) the beneficial owner (within the meaning of Rule 13d-3 under the Exchange Act or any successor provision) of a percentage of voting units (or other capital stock) greater than the percentage of voting units (or other capital stock) held by DSO and his Related Parties as of the Initial Issuance Date (excluding, for the avoidance of doubt, any units or other capital stock DSO or his Related Parties are entitled to vote on behalf of other Persons), in each case, immediately after giving effect to such transaction in (i) the Company or (ii) one or more of the Operating Partnerships comprising all or substantially all of the assets of the Operating Partnerships or (B) entitled to receive a Majority Economic Interest in connection with such transaction.
“Closing Date” means, with respect to a Class A Series, the original date of issuance of such Class A Series.
“Commitment” has the meaning assigned to it in the Revolving Credit Facility.
“Company” means Och-Ziff Capital Management Group LLC, a Delaware limited liability company.
“Continuing OZ Person” means, immediately prior to and immediately following any relevant date of determination, (i) DSO, (ii) any Related Party of DSO or (iii) any “person” or “group” (as each such term is used in Section 13(d)(3) of the Exchange Act or any successor provision) of which DSO or one of his Related Parties is a member.
“Credit Party” has the meaning assigned to it in the Revolving Credit Facility.
“Designated Officers” has the meaning assigned to it in Section 9(d) hereof.
“Distribution Payment Date” has the meaning assigned to it in Section 3(a) hereof.
“Distribution Period” means a period commencing on, and including, a Distribution Payment Date, to, but not including, the following Distribution Payment Date.
“Distribution Rate” means, with respect to the periods specified below, the following rates per annum:
(i)Prior to the Step Up Date: 0%
(ii)From the Step Up Date to the day immediately prior to the sixth anniversary of the Step Up Date: 6%;
(iii)From the sixth anniversary of the Step Up Date to the day immediately prior to the seventh anniversary of the Step Up Date: 8%
(iv)From the seventh anniversary of the Step Up Date to the day immediately prior to the eighth anniversary of the Step Up Date: 9%; and
(v)From the eighth anniversary of the Step Up Date and thereafter: 10%.

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Following a Change of Control Event, the Distribution Rate for each applicable period described above shall increase by 7.0% per annum beginning on the 31st day following the consummation of such Change of Control Event in accordance with Section 6(b) hereof unless and until the Operating Partnerships redeem all Operating Group Class A Preferred Units.
“Distribution Record Date” has the meaning assigned to it in Section 3(a) hereof.
“DSO” means Daniel S. Och.
“Excess Distributable Earnings” has the meaning assigned to it in Section 6(a)(i) hereof.
“General Partner” has the meaning assigned to it in the recitals hereof.
“Holders’ Committee” has the meaning assigned to it in Section 9(a) hereof.
“Initial Issuance Date” means October 5, 2016.
“Junior Units” means Units and other equity securities in the Partnership that, with respect to distributions on such interests and distributions upon liquidation of the Partnership, rank junior to the Class A Preferred Units. “Junior Units” include Common Units and PSIs but do not include Class C Non-Equity Interests.
“Limited Partnership Agreement” has the meaning assigned to it in the recitals hereof.
“Liquidation Event” has the meaning assigned to it in Section 4(a) hereof.
“Liquidation Preference” has the meaning assigned to it in Section 1 hereof.
“Liquidation Value” has the meaning assigned to it in Section 4(a) hereof.
“Majority Economic Interest” means any right or entitlement to receive more than 50% of the equity distributions or partner allocations (whether such right or entitlement results from the ownership of partner or other equity interests, securities, instruments or agreements of any kind) made to all holders of partner or other equity interests in the Operating Partnerships (other than the Company or its Subsidiaries).
“Mandatory Change of Control Redemption” has the meaning assigned to it in Section 6(b)(i) hereof.
“Mandatory Change of Control Trigger Date” has the meaning assigned to it in Section 6(b)(i) hereof.
“Mandatory Delivery Date” has the meaning assigned to it in Section 6(a)(iii) hereof.
“Maturity Date” has the meaning assigned to it in the Revolving Credit Facility.
“New NEO Units” has the meaning assigned to it in Section 9(d) hereof.
“Nonpayment Event” has the meaning assigned to it in Section 9(d) hereof.
“Obligations” has the meaning assigned to it in the Revolving Credit Facility.

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“Offered Securities” has the meaning assigned to it in Section 13 hereof.
“Operating Group Class A Preferred Units” means the Class A Preferred Units issued by the Partnership and the Class A preferred units issued by the other Operating Partnerships.
“Operating Group Entity” has the meaning assigned to it in Section 3(b)(ii) hereof.
“Operating Partnerships” means the Partnership, OZ Advisors LP and OZ Advisors II LP.
“OZ Fund” means any investment vehicle managed (or for which investment advisory or other asset management services are provided), directly or indirectly, by an Operating Group Entity in which (a) substantially all of the capital is provided by third parties in the ordinary course (“Third Party LPs”) and (b) no Person other than the Operating Partnerships or their wholly-owned Subsidiaries has the right to receive (x) carried interest, incentive fees, promoted interest, performance fee or similar rights of participation or profit-sharing, (y) investment management fees, asset management fees, commitment-based fees, transaction fees or similar fees not based on performance (or fees payable in lieu thereof) or (z) other distributions or payments (including guaranteed payments or other similar distributions or payments but excluding distributions or redemption payments made to Third Party LPs in the ordinary course in respect of their interests in such investment vehicle) from such investment vehicle, whether or not such payments arise as a result of or are due and payable pursuant to (i) ownership of a membership interest, partnership interest or other equity interest, (ii) an employment or consulting agreement or arrangement or (iii) a contract, revenue sharing agreement, participation or other agreement.
“OZ Subsidiary” has the meaning assigned to it in the Revolving Credit Facility.
“Parity Units” means (a) any equity securities in the Partnership (or any debt or other securities convertible into equity securities of the Partnership) that the Partnership may authorize or issue, the terms of which expressly provide that such securities shall rank equally with, or senior to, the Class A Preferred Units with respect to the payment of distributions on such interests and distributions upon the occurrence of a Liquidation Event relating to the Partnership and (b) for purposes of Section 8(a) only, any equity securities in any Subsidiary of the Partnership (or any debt or other securities convertible into equity securities of any Subsidiary of the Partnership). 
“Partnership” has the meaning assigned to it in the recitals hereof.
“Partnership Interests” has the meaning assigned to it in Section 6(a)(i) hereof.
“Permitted Activities” means (i) the asset management, investment management and financial services business or any business ancillary, complementary or reasonably related thereto and reasonable extensions thereof, (ii) the businesses currently conducted by the Company, the Operating Partnerships or their Affiliates as of the Initial Issuance Date, and (iii) such other lines of business as may be consented to by the Holders’ Committee, in each of clauses (i), (ii) and (iii) only to the extent conducted by any of the Operating Partnerships and, subject to compliance with Section 3(b)(ii), an Operating Group Entity.
“Preceding Year” has the meaning assigned to it in Section 6(a)(i) hereof.
“Preferred Distributions” has the meaning assigned to it in Section 3(a) hereof.
“Redemption Multiple” means, with respect to redemptions occurring during the periods specified below, the following percentages:

4

(i)105% with respect to redemptions occurring during the period commencing on the Closing Date and ending on the day immediately prior to the Step Up Date;
(ii)103% with respect to redemptions occurring during the period commencing on the Step Up Date and ending on the day immediately prior to the first anniversary of the Step Up Date;
(iii)101% with respect to redemptions occurring during the period commencing on the first anniversary of the Step Up Date and ending on the day immediately prior to the second anniversary of the Step Up Date; and
(iv)100% with respect to redemptions occurring on or after the second anniversary of the Step Up Date. 
“Related Party” means, with respect to any Person, (i) any Person that is the spouse (including a surviving spouse) or another immediate family member of such Person, (ii) the estate and lawful heirs of such Person or (iii) any trust, family partnership, foundation, family limited liability company or other estate planning vehicle for which such Person acts as a trustee or beneficiary, provided that the investment decisions relating to any equity interests of the Operating Partnerships held by such trusts or other entities are controlled directly or indirectly by such Person.
“Reorganization Event” has the meaning assigned to it in Section 11(a) hereof.
“Revolving Credit Facility” means the $150.0 million, 5-year unsecured revolving credit facility entered into by the Partnership, among other parties, on November 20, 2014, as amended, modified or supplemented from time to time in accordance with Section 8 hereof; provided, that for purposes of any defined terms set forth herein that reference the corresponding defined terms in the Revolving Credit Facility, such defined terms shall have the respective meanings set forth in the Revolving Credit Facility as in effect as of the date hereof.
“ROFR Notice” has the meaning assigned to it in Section 13 hereof.
“Seller” has the meaning assigned to it in Section 13 hereof.
“Step Up Date” means February 19, 2020.
“Subsidiary” of a Person means any other Person as to which such Person owns, directly or indirectly, or otherwise Controls more than 50% of the voting shares or other similar interests or a general partner interest or managing member or similar interest of such Person.  A Subsidiary of the Company, its direct Subsidiaries or an Operating Group Entity does not include any OZ Fund or any of its Subsidiaries.
“Third Party Buyer” has the meaning assigned to it in Section 13 hereof.
“Transfer” means any direct, indirect or synthetic transfer, sale, assignment, pledge, conveyance, hypothecation or other encumbrance or disposition.  
“Unit Designation” has the meaning assigned to it in the recitals hereof.
“Unit Price” means $684.70, subject to appropriate adjustment in the event of any equity dividend, equity split, combination or other similar recapitalization with respect to the Class A Preferred Units.

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3.Distributions; Allocations.
(a)    Quarterly Distributions.  Each holder of Class A Preferred Units shall be entitled to receive, when, as and if declared by the General Partner in its sole discretion out of funds legally available therefor, cumulative cash distributions (“Preferred Distributions”) on each Class A Preferred Unit calculated based on the Liquidation Preference of such Class A Preferred Unit at a rate per annum equal to the Distribution Rate (taking into account the different Distribution Rates that may apply during each Distribution Period in accordance with the definition of Distribution Rate or Section 6(b) below), with such Preferred Distributions accruing from, and including, the earlier of (i) the Step Up Date and (ii) if applicable, the 31st day following the consummation of a Change of Control Event; provided, however, that the amount of the Preferred Distributions actually paid shall not exceed the sum of the cumulative Net Income and items of income and gain allocated to such holder pursuant to Section 3(d).  Any Preferred Distributions that have been declared in accordance with the foregoing sentence shall, unless waived by the Holders’ Committee in its sole discretion, be payable in arrears on the 27th day of February, May, August and November of each applicable year (each, a “Distribution Payment Date”) to the holders of record as they appear in the books and records of the Partnership for the Class A Preferred Units at the close of business on the 15th day of February, May, August and November, respectively (each, a “Distribution Record Date”); provided, that (i) if any Distribution Payment Date is not a Business Day, then the Preferred Distribution which would otherwise have been payable on that Distribution Payment Date may be paid on the next succeeding Business Day and (ii) accumulated and unpaid Preferred Distributions for any prior Distribution Period may be paid at any time.  Any Preferred Distribution payable on the Class A Preferred Units, including distributions payable for any partial Distribution Period, will be computed on the basis of a 360-day year consisting of twelve 30-day months.  Notwithstanding anything to the contrary contained herein, Preferred Distributions will accumulate whether or not the Partnership has earnings, whether or not there are funds legally available for the payment of those Preferred Distributions and whether or not those Preferred Distributions are declared.  In the event that any Preferred Distributions or other payments on the Class A Preferred Units are in arrears, or, are otherwise not payable as a result of the proviso in the first sentence of Section 3(a), such amounts shall accrue and accumulate at the Distribution Rate.  Holders of the Class A Preferred Units will not be entitled to any distributions in excess of full cumulative distributions described in this Section 3(a).  Any Preferred Distributions made on the Class A Preferred Units shall first be credited against the earliest accumulated but unpaid distribution due with respect to the Class A Preferred Units.
(b)    Funding of Distributions on Operating Group Class A Preferred Units.

(i)    Distributions on Junior Units and Parity Units.  Except as provided in Section 3(c) hereof, unless full cumulative distributions on all of the Operating Group Class A Preferred Units have been or contemporaneously are declared and paid in respect of all past Distribution Periods as provided in the corresponding terms of all Operating Group Class A Preferred Units, (i) no distributions shall be declared or paid or set apart for payment upon Junior Units or Parity Units by the Partnership, other than Tax Distributions, distributions payable in Common Units or Deferred Cash Interests, payments or distributions required under a Partner Agreement, or distributions payable in Units of any series of preferred Units that the Partnership may issue ranking junior to the Class A Preferred Units as to distributions and upon liquidation, and (ii) no Junior Units or Parity Units shall be redeemed, purchased or otherwise acquired for any consideration (or any moneys be paid to or made available for a sinking fund for the redemption of any such Units) by the Partnership (except by conversion or exchange for other Units of the Partnership that rank junior to the Class A Preferred Units as to distributions and upon liquidation or for shares of the Company (or the cash value thereof) in accordance with the Exchange Agreement or the Limited Partnership Agreement); provided, however, that the foregoing shall not prevent Expense Amount Distributions in accordance with the Expense Allocation Agreement, 

6

distributions or payments pursuant to the terms of any restricted share units of the Company, or required to facilitate exchanges of Common Units permitted under the Exchange Agreement, and distributions or transactions necessary to make any payment when due on any financing or other contractual arrangement (including, without limitation, the Limited Partnership Agreement or any Partner Agreement) in effect on the date hereof, or to which the Holders’ Committee has consented.

(ii)    Inter-Entity Loans.  If one of the other Operating Partnerships does not have legally available funds to pay in full all distributions or redemption payments required to be paid to the holders of the Operating Group Class A Preferred Units issued by such other Operating Partnership pursuant to their terms, the Partnership hereby agrees that it will lend or otherwise make available to such other Operating Partnership adequate funds in order to enable it to make the required distributions or redemption payments in full, provided that the Partnership has legally available funds to make such loans or otherwise make such funds available after giving effect to any required distributions or redemption payments that the Partnership is required to make under the terms of the Preferred Units.  The Company and the Partnership agree that it is the intention of the Company and the Partnership that all Operating Group Entities (whether existing as of the date of this Unit Designation or formed as of a later date) shall support the Partnership’s obligations in respect of the Operating Group Class A Preferred Units.  In furtherance of the foregoing, the Company and the Partnership agree that, if a Subsidiary of the Company or any of its Subsidiaries or the Operating Partnerships or any of their Subsidiaries (an “Operating Group Entity”), in each case, other than OZ Funds (as defined in the Revolving Credit Facility) and their Subsidiaries, is formed for the purpose of engaging in one or more Permitted Activities, the Company and the Partnership shall cause such new Operating Group Entity to (i) expressly agree to the due and punctual observance and performance of each and every covenant and condition of this Unit Designation to be performed and observed by the Partnership and all the obligations and liabilities hereunder (including those obligations and liabilities described in Section 3(b), Section 3(c) and Section 6) (as agreed in good faith by the Company and the Holders’ Committee), and (ii) to the extent requested by the Holders’ Committee, agree to lend or otherwise make available to the Partnership adequate funds to make any required distributions or redemption payments in full that the Partnership is required to make under the terms of the Preferred Units in the event that the Partnership does not have legally available funds to make such distributions or redemption payments, provided that such new Operating Group Entity has legally available funds to make such loans or otherwise make such funds available.  Concurrently with the formation and the commencement of operations of such Operating Group Entity, the Company shall deliver a certificate to the Holders’ Committee certifying as to its compliance with the provisions of this Section 3(b)(ii).

(c)    Distributions on Preferred Units of Equal Rank.  When distributions are not paid in full upon the Class A Preferred Units and the Units of any other series of preferred Units that rank on a parity as to distributions with the Class A Preferred Units, all distributions declared upon the Class A Preferred Units and any other series of preferred Units that the Partnership may issue that rank on a parity as to distributions with the Class A Preferred Units shall be declared pro rata so that the amount of distributions declared per Class A Preferred Unit and per Unit of such other series of preferred Units shall in all cases bear to each other the same ratio that accumulated distributions per Class A Preferred Unit and accumulated or accrued distributions per Unit of such other series of preferred Units (which shall not include any accrual in respect of unpaid distributions for prior Distribution Periods if such other series of preferred Units is non-cumulative) bear to each other. No interest, or sum of money in lieu of interest, shall be payable in respect of any distribution payment or payments on the Class A Preferred Units which may be in arrears.
(d)    Allocations.  After giving effect to the special allocations set forth in Section 6.1(d) of the Limited Partnership Agreement, and subject to Section 5.3 thereof, Net Income and Net Loss for each 

7

taxable year (and items of income, gain, loss and deduction taken into account in computing Net Income and Net Loss) shall be allocated in a manner such that the Capital Account of each holder of Class A Preferred Units attributable to ownership of Class A Preferred Units is, as nearly as possible, equal to (i) the distributions that would be made with respect to such Class A Preferred Units if the Partnership were dissolved, its affairs wound up and its assets sold for their Carrying Value, all Partnership liabilities were satisfied (limited with respect to each non-recourse liability to the Carrying Value of the assets securing such liability) and the net assets of the Partnership were distributed to the Partners, without regard to any limitations on the payment of Preferred Distributions as a result of the proviso in the first sentence of Section 3(a) minus (ii) such Partner’s share of Partnership Minimum Gain and Partner Nonrecourse Debt Minimum Gain, computed immediately prior to the hypothetical sale of assets. 
4.Liquidation Value. 
(a)    In the event of any liquidation, dissolution or winding up of the Partnership, either voluntary or involuntary (a “Liquidation Event”), after payment or provision for the liabilities of the Partnership (including the expenses of such event) and the satisfaction of any claims ranking senior to the Class A Preferred Units, the holders of the Class A Preferred Units shall be entitled to receive, out of the assets of the Partnership or proceeds thereof available for distribution to unit holders, prior to, and in preference to, any payment or distribution of any assets of the Partnership to the holders of any Junior Units, an amount equal to the Liquidation Preference per Class A Preferred Unit plus all accumulated but unpaid Preferred Distributions, taking into account any limitations on the payment of Preferred Distributions as a result of the proviso in the first sentence of Section 3(a) (collectively, the “Liquidation Value”). If the assets of the Partnership available for distribution in respect of Class A Preferred Units are less than the aggregate Liquidation Value of all outstanding Class A Preferred Units, such distributions shall be made to the holders of the Class A Preferred Units pro rata, based on the aggregate Liquidation Value to which each holder of Class A Preferred Units is entitled pursuant to this Section 4(a).  The foregoing shall not affect any rights which holders of Class A Preferred Units may have to monetary damages. 
(b)    Upon a Liquidation Event, after each holder of Class A Preferred Units receives a payment equal to the Liquidation Value of its Class A Preferred Units, such holder shall not be entitled to any further participation in any distribution of assets by the Partnership.
(c)    If the assets of the Partnership available for distribution upon a Liquidation Event are insufficient to pay in full the aggregate amount payable to the holders of all Class A Preferred Units and the holders of any other outstanding Parity Units that rank equally with the Class A Preferred Units, such assets shall be distributed to the holders of the Class A Preferred Units and the holders of such Parity Units pro rata, based on the full respective distributable amounts to which each such Unitholder is entitled pursuant to this Section 4.
(d)    Nothing in this Section 4 shall be understood to entitle the holders of Class A Preferred Units to be paid any amount upon the occurrence of a Liquidation Event until holders of any classes or series of Units ranking, as to the distribution of assets upon a Liquidation Event, senior to the Class A Preferred Units have been paid all amounts to which such classes or series of Units are entitled.
(e)    Neither the sale, conveyance, exchange or transfer, for cash, Units, securities or other consideration, of all or substantially all of the Partnership’s property or assets nor the consolidation, merger or amalgamation of the Partnership with or into any other entity or the consolidation, merger or amalgamation of any other entity with or into the Partnership shall be deemed to be a Liquidation Event, notwithstanding that for other purposes such an event may constitute a liquidation, dissolution or winding 

8

up; provided, that in the event of any such sale, conveyance, exchange, transfer, consolidation, merger, amalgamation or similar transaction (which shall include any Change of Control Event), the successor or acquiring Person (if other than the Partnership) shall expressly assume the due and punctual observance and performance of each and every covenant and condition of this Unit Designation to be performed and observed by the Partnership and all the obligations and liabilities hereunder, subject to such modifications as may be deemed appropriate (as agreed in good faith by the General Partner and the Holders’ Committee).  In addition, notwithstanding anything to the contrary in this Section 4, no payment will be made to the holders of Class A Preferred Units pursuant to this Section 4: solely (i) upon the voluntary or involuntary liquidation, dissolution or winding up of any Subsidiary of the Partnership or upon any reorganization of the Partnership into another limited liability entity pursuant to provisions of any Limited Partnership Agreement that allow the Partnership to convert, merge or convey its assets to another limited liability entity with or without Limited Partner approval or (ii) if the Partnership engages in a reorganization or other transaction in which a successor to the Partnership issues equity securities to the holders of Class A Preferred Units that have voting powers, rights and preferences that are substantially similar to the voting powers, rights and preferences of the Class A Preferred Units pursuant to provisions of any Limited Partnership Agreement that allow the Partnership to do so without Limited Partner approval, in each case of clauses (i) and (ii), so long as the Partnership (or any successor thereof, as applicable) owns substantially the same assets and liabilities as the Partnership immediately prior to such liquidation, dissolution, winding up or other transaction.
5.Optional Redemption.
(a)    At any time following the initial Closing Date, subject to any limitations imposed by law, the Partnership may, in the General Partner’s sole discretion, redeem the outstanding Class A Preferred Units, in whole or in part, at a redemption price per Class A Preferred Unit equal to the product of the Redemption Multiple and the Liquidation Value per Class A Preferred Unit as of the redemption date. If less than all of the Class A Preferred Units are to be redeemed, the General Partner shall select the Class A Preferred Units to be redeemed pro rata, based on the number of Class A Preferred Units held by each holder, calculated to the nearest whole Class A Preferred Unit.
(b)    In the event the Partnership shall redeem any or all of the Class A Preferred Units pursuant to Section 5(a) above, the Partnership shall, subject to clause (ii) below, give notice of any such redemption to the holders of the Class A Preferred Units not more than 60 nor less than 10 days (or such other period as shall be agreed to by the Holders’ Committee) prior to the date fixed for such redemption. Such notice shall state: (A) the redemption date; (B) the redemption price; (C) the number of Class A Preferred Units to be redeemed; (D) the place or places where the Class A Preferred Units are to be surrendered (if so required in the notice) for payment of the redemption price; and (E) that distributions on the Class A Preferred Units to be redeemed will cease to accrue on such redemption date.  If less than all of the Class A Preferred Units held by any holder is to be redeemed, the notice provided to such holder shall also specify the number of Class A Preferred Units held by such holder to be redeemed.  Failure to give notice to any holder of Class A Preferred Units shall not affect the validity of the proceedings for the redemption of any Class A Preferred Units being redeemed.  Once notice has been given as provided in this Section 5(b), so long as (i) funds sufficient to pay the redemption price for all of the Class A Preferred Units called for redemption have been set aside for payment and (ii) the Partnership pays the redemption price for all of the Class A Preferred Units called for redemption within 30 days after providing notice as provided in this Section 5(b), from and after the redemption date such Class A Preferred Units that have been called for redemption shall no longer be deemed outstanding, and all rights of the holders of the Class A Preferred Units that have been called for redemption with respect to such Class A Preferred Units shall cease other than the right to receive the redemption price, without interest.

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(c)    The holders of Class A Preferred Units shall have no right to require redemption of any Class A Preferred Units, except as provided in Section 6 below.
6.Mandatory Redemption.
(a)    Certain Mandatory Redemption Events.
(i)    From and after March 31, 2020, if the sum of (i) the aggregate amounts which were distributed in respect of their equity interests in the Partnership (collectively, “Partnership Interests”) by the Partnership (other than Tax Distributions, distributions in respect of Class C Non-Equity Interests or distributions payable in Common Units or Deferred Cash Interests) in respect of the immediately preceding fiscal year (the “Preceding Year”), or which were utilized by the Partnership to repurchase Partnership Interests during such Preceding Year, or were available for such uses (but not so used) and (ii) the corresponding amounts that were distributed or used for repurchases (or were available but not used for such purposes) by the other Operating Partnerships during such Preceding Year were in excess of $100 million (“Excess Distributable Earnings”), then an amount equal to 20% of such Excess Distributable Earnings shall be used by the Operating Partnerships to redeem Operating Group Class A Preferred Units in accordance with this Section 6(a).
(ii)    Each Class A Preferred Unit to be redeemed pursuant to this Section 6(a) shall be redeemed for an amount equal to the Liquidation Value of such Class A Preferred Unit as of the relevant redemption date.  If less than all of the Operating Group Class A Preferred Units are to be redeemed on any redemption date, to the extent possible the Operating Partnerships will redeem their Operating Group Class A Preferred Units pro rata, based on the aggregate amount that would be required to redeem all then outstanding Operating Group Class A Preferred Units in each Operating Partnership. If less than all of the Class A Preferred Units are to be redeemed on any redemption date, the General Partner shall select the Class A Preferred Units to be redeemed pro rata, based on the number of Class A Preferred Units held by each holder, calculated to the nearest whole Class A Preferred Unit.
(iii)    Commencing with fiscal year 2020 (with respect to Preceding Year 2019), no later than January 31 of the fiscal year immediately following any Preceding Year, the General Partner shall deliver to the Holders’ Committee a statement setting forth the General Partner’s good faith determination of the Excess Distributable Earnings for such Preceding Year and reasonable supporting documentation with respect thereto, provided that with respect to Preceding Year 2019 such statement need not be provided prior to March 31, 2020.  To the extent the Partnership is required to make a mandatory redemption pursuant to Section 6(a) above, on May 15, 2020 and thereafter on the Distribution Payment Date occurring in February of each following year (each, a “Mandatory Delivery Date”), the Partnership shall give notice of any such redemption to the holders of the Class A Preferred Units on the applicable Mandatory Delivery Date and shall, subject to clause (y) below, redeem the Class A Preferred Units on a date to be determined by the General Partner that is not more than 60 days or less than 10 days after the Mandatory Delivery Date. Such notice shall state: (A) the redemption date; (B) the redemption price; (C) the number of Class A Preferred Units to be redeemed; (D) the place or places where the Class A Preferred Units are to be surrendered (if so required in the notice) for payment of the redemption price; and (E) that distributions on the Class A Preferred Units to be redeemed will cease to accrue on such redemption date.  If less than all of the Class A Preferred Units held by any holder are to be redeemed, the notice provided to such holder shall also specify the number of Class A Preferred Units held by such holder to be redeemed.  Failure to give notice to any holder of Class A Preferred Units shall not affect the validity of the proceedings for the redemption of any Class A Preferred Units being redeemed or the Partnership’s obligations to redeem at the time set forth herein.  Once notice has been given as provided in this Section 6(a)(iii), so long as funds (x) sufficient to pay the redemption price for all of the Class A Preferred Units 

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called for redemption have been set aside for payment and (y) the Partnership pays the redemption price for all of the Class A Preferred Units called for redemption within 30 days after providing notice as provided in this Section 6(a)(iii), from and after the redemption date such Class A Preferred Units that have been called for redemption shall no longer be deemed outstanding, and all rights of the holders of the Class A Preferred Units that have been called for redemption with respect to such Class A Preferred Units shall cease other than the right to receive the redemption price, without interest.
(b)    Mandatory Redemption Upon Change of Control Event.
(i)    If a Change of Control Event occurs, the Partnership shall redeem all outstanding Class A Preferred Units pursuant to this Section 6(b) (a “Mandatory Change of Control Redemption”); provided, however, that such Mandatory Change of Control Redemption shall not occur prior the earlier of (x) the date that is 91 days after the Maturity Date of the Revolving Credit Facility and (y) the payment in full of the Loans (as defined in the Revolving Credit Facility) and all other Obligations that are accrued and payable and the termination of the Commitments (the earlier of such dates, the “Mandatory Change of Control Trigger Date”).  From and after the date that is 31 days following the consummation of a Change of Control Event until the Mandatory Change of Control Redemption has been consummated, the Distribution Rate payable by the Partnership on the Class A Preferred Units shall increase by 7.0% per annum for all periods set forth in the definition of Distribution Rate.
(ii)    The Partnership shall redeem all outstanding Class A Preferred Units pursuant to this Section 6(b) at a redemption price per Class A Preferred Unit equal to the Liquidation Value per Class A Preferred Unit as of the redemption date.
(iii)    In the event the Partnership is required to effect a Mandatory Change of Control Redemption, the Partnership shall, subject to clause (y) below, give notice of any such Mandatory Change of Control Redemption to the holders of the Class A Preferred Units not more than 60 nor less than 10 days (or such other period as shall be agreed to by the Holders’ Committee) prior to the date fixed for such Mandatory Change of Control Redemption. Such notice shall state: (A) the redemption date, which shall be no later than 30 days following the Mandatory Change of Control Trigger Date; (B) the redemption price; (C) the number of Class A Preferred Units to be redeemed; (D) the place or places where the Class A Preferred Units are to be surrendered (if so required in the notice) for payment of the redemption price; and (E) that distributions on the Class A Preferred Units to be redeemed will cease to accrue on such redemption date.  Failure to give notice to any holder of Class A Preferred Units shall not affect the validity of the proceedings for the Mandatory Change of Control Redemption of any Class A Preferred Units being redeemed or the Partnership’s obligations to redeem no later than 30 days following the Mandatory Change of Control Trigger Date.  Once notice has been given as provided in this Section 6(b)(iii), so long as (x) funds sufficient to pay the redemption price for all of the Class A Preferred Units called for redemption have been set aside for payment and (y) the Partnership pays the redemption price for all of the Class A Preferred Units called for redemption within 30 days after the Mandatory Change of Control Trigger Date, from and after the redemption date such Class A Preferred Units that have been called for redemption shall no longer be deemed outstanding, and all rights of the holders of the Class A Preferred Units that have been called for redemption with respect to such Class A Preferred Units shall cease other than the right to receive the redemption price, without interest.
7.Refinancing or Other Redemption Trigger Events.  As of any Business Day from and after the date hereof, if the average closing price of the Class A Shares of the Company on the New York Stock Exchange for the previous 20 trading days exceeds $15.00 (subject to appropriate adjustment in the event of any equity dividend, equity split, combination or other similar recapitalization with respect to the Class A Shares), the General Partner agrees to use its reasonable best efforts to redeem all of the 

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outstanding Class A Preferred Units pursuant to Section 5 above as promptly as practicable; provided, that, if such event occurs prior to February 19, 2020, the General Partner shall use its reasonable best efforts to obtain the consent of the lenders under the Revolving Credit Facility and, if consent is required from lenders under any other bona fide debt financings of the Company at the time, the consent of such other lenders to effect such redemption as promptly as practicable, it being understood that no such redemption shall occur absent such consent.  The procedures for the redemption of Class A Preferred Units in Section 6(a) shall apply mutatis mutandis to the redemption of Class A Preferred Units pursuant to this Section 7.
8.Parity Units; Consents; Non-Circumvention.  
(a)The Partnership shall not issue any Parity Units without the prior written consent of the Holders’ Committee in its sole discretion and the Partnership shall not, and shall cause each of its Subsidiaries not to, amend, modify or otherwise cause any of its equity securities (or any debt or other securities convertible into equity securities of the Partnership or its Subsidiaries) to become Parity Units without the prior written consent of the Holders’ Committee, other than (i) Parity Units issued to the Partnership or any of its wholly-owned Subsidiaries or (ii) subject to Sections 9(d) and (e), Parity Units issued by Subsidiaries of the Partnership to the extent required to satisfy, or upon consultation with the Company’s outside counsel in compliance with, any regulatory or other legal requirements.  Nothing in this Unit Designation shall prohibit any refinancing, refunding, replacement, renewal, restatement, amendment and restatement, amendment, supplement or other modification of the Revolving Credit Facility or any existing non-convertible debt obligations of the Partnership or intercompany debt between or among the Operating Partnerships; provided, that no such refinancing, refunding, replacement, renewal, restatement, amendment and restatement, amendment, supplement or other modification of the Revolving Credit Facility or intercompany debt shall prohibit the Partnership from making any distributions or redemptions in respect of the Class A Preferred Units.  
(b)The Company and the Partnership shall not, and shall cause their respective Subsidiaries not to, engage in any line of business or activity other than Permitted Activities, in each case, subject to the Company and the Partnership’s compliance with Section 3.2(b)(ii).  The Partnership shall not by any action or inaction, including, without limitation, amending its Limited Partnership Agreement or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary action or inaction, directly or indirectly, avoid or seek to avoid the observance or performance of any of the terms of this Unit Designation.  Notwithstanding anything herein to the contrary, so long as the Revolving Credit Facility is in effect, this Unit Designation shall not restrict the ability of any OZ Subsidiary to (i) pay dividends or make any other distributions on any such OZ Subsidiary’s equity interests owned by any Credit Party or any OZ Subsidiary, (ii) repay or prepay any Indebtedness (as defined in the Revolving Credit Facility) owed by such OZ Subsidiary to any Credit Party or any OZ Subsidiary, (iii) make loans or advances to any Credit Party or any OZ Subsidiary or (iv) transfer, lease or license any of its material property or assets to any Credit Party.
9.Voting Rights; Preferred Unit Holders’ Committee. 
(a)    This Unit Designation establishes a committee of the holders of the Class A Preferred Units (the “Holders’ Committee”) to be comprised initially of Daniel S. Och, as sole member. Subject to the foregoing, the holders of a majority of the Operating Group Class A Preferred Units then outstanding may at any time remove members from, or appoint replacement or additional members to, the Holders’ Committee and shall appoint at least one member promptly if at any time thereafter the Holders’ Committee has no members.  In the event that additional members are appointed to the Holders’ Committee, the members of the Holders’ Committee shall act by majority vote on all matters to be approved by the Holders’ Committee.

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(b)    Except as provided herein, the holders of Class A Preferred Units have no consent, approval, waiver or voting rights or powers.  Each holder of Class A Preferred Units hereby irrevocably delegates all power and authority to the Holders’ Committee to exercise, on behalf of such holder of Class A Preferred Units, any and all rights of such holder in respect of such Class A Preferred Units, including the granting of any waivers or the exercise of any consent, approval or voting rights or powers on behalf of such holder. 
(c)    Each holder of Class A Preferred Units hereby irrevocably constitutes and appoints the members of the Holders’ Committee (and each of them) existing at any time and from time to time, as the sole and exclusive attorney-in-fact and proxy of such holder of Class A Preferred Units, with full power of substitution and resubstitution, to attend any meeting of the shareholders of the Class A Preferred Unit holders, and any adjournment or postponement thereof, on such Class A Preferred Unit holder’s behalf and to vote or abstain from voting the Class A Preferred Units owned by such holder in its sole discretion for or against any action or proposal to the fullest extent permitted by law.  Any such vote or abstention shall not be subject to challenge or input from such holder of Class A Preferred Units.  Each holder of Class A Preferred Units hereby revokes any and all previous proxies with respect to such holder’s Class A Preferred Units and no subsequent proxies (whether revocable or irrevocable) shall be given (and if given, shall not be effective) by such holder with respect to the Class A Preferred Units that conflict with this proxy. This proxy and power of attorney is intended to be irrevocable and is coupled with an interest sufficient in law to support an irrevocable proxy and is granted for good and valuable consideration the receipt and sufficiency of which is hereby acknowledged and shall be valid and binding on any person to whom the holder of Class A Preferred Units may transfer any of its Class A Preferred Units. The attorney-in-fact and proxy identified above will be empowered at any and all times to vote or act by written consent with respect to the Class A Preferred Units at every annual, special, adjourned or postponed meeting of holder of Class A Preferred Units, and in every written consent in lieu of such a meeting, or otherwise. The power of attorney granted herein is a durable power of attorney and shall survive the dissolution, bankruptcy, death or incapacity of each holder of Class A Preferred Units. Any such vote shall be cast or consent shall be given in accordance with such procedures relating thereto as shall ensure that it is duly counted for purposes of determining that a quorum is present and for purposes of recording the results of such vote or consent. The provisions of this Section 9 shall terminate with respect to a holder of Class A Preferred Units once such holder no longer owns any Class A Preferred Units.
(d)    Notwithstanding anything in this Unit Designation to the contrary, none of the Partnership, any other Operating Group Entity or OZ Fund may issue, and the Company and the Partnership shall not permit the Partnership, any other Operating Group Entity or OZ Fund to issue, to (x) any individual who is a “named executive officer” in the Company’s most recent filing with the Securities and Exchange Commission that required disclosure pursuant to Rule 402(c) of Regulation S-K or such individual’s Related Parties (or would be a “named executive officer” with respect to the fiscal year in which the proposed issuance occurs) or (y) in the event that the Company is not required to file reports with the Securities and Exchange Commission, any individual who would have been a “named executive officer” if the Company was required to file such reports or such individual’s Related Parties, in each case of clauses (x) and (y), other than DSO or his Related Parties (collectively, the “Designated Officers”), new equity interests in the Partnership, such Operating Group Entity or OZ Fund (“New NEO Units”) and make any distributions in respect of such New NEO Units, unless (i) so long as the Company’s common shares are traded on the New York Stock Exchange or another nationally recognized stock exchange, the issuance of such New NEO Units is approved by the Company’s compensation committee and (ii) to the extent the Company’s common shares are not traded on the New York Stock Exchange or another nationally recognized stock exchange, with the prior written consent of the Holders’ Committee.  For the avoidance of doubt, (i) if the issuance of such New NEO Units are approved in accordance with the 

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preceding sentence, any distributions paid on such New NEO Units that otherwise comply with the terms of this Unit Designation shall be permitted without any further action on the part of the compensation committee or the Holders’ Committee as the case may be, and (ii) this Section 9(d) shall not restrict issuances of interests in the ordinary course to Designated Officers in connection with any direct or indirect capital investments they make in the OZ Funds on substantially the same terms and conditions as third party investors (other than any waiver of management, incentive, carry or similar fees agreed to by the Company).
(e)    Neither the Company nor the Partnership shall effect, or cause or permit to be effected, any transaction between the Company, the Partnership or any other Operating Group Entity or any OZ Fund, on the one hand, with any Designated Officer, any holder of at least 10% of the outstanding equity interests of the Company, the Partnership, any other Operating Group Entity or their respective Affiliates or Related Parties (for the avoidance of doubt, other than the Company, the Partnership, any other Operating Group Entity, DSO or his Related Parties), on the other hand, other than transactions in the ordinary course of business with any Person (other than any Person that is a Designated Officer) relating to such Person’s service to any Operating Group Entity or consistent with past practice as of the date hereof including in connection with granting any direct or indirect carry or capital interest in the OZ Funds to such Person, which matters shall, without limiting Section 9(d), be determined by the Board of Directors of the Company or the compensation committee thereof.
(f)    None of the Partnership or any other Operating Group Entity shall, and the Company and the Partnership shall not permit the Partnership or such Operating Group Entity to, sell, dispose of, or otherwise transfer (whether directly or indirectly, by merger, spin-off, consolidation, or otherwise) any of their respective businesses, business lines, or divisions (including their respective multi-strategy, credit and real estate businesses) or any significant assets thereof without the prior written consent of the Holders’ Committee; provided that this Section 9(f) does not restrict any such sale, disposal or other transfer from any OZ Subsidiary to any Credit Party that is permitted under Section 8(b), provided that nothing in this Section 9(f) shall limit obligations of the Operating Partnerships and the Company under Section 3(c)(ii).
10.Amendments and Waivers.  Only the prior written consent of the Holders’ Committee shall be required for the repeal of this Unit Designation, any amendment (directly or indirectly, by merger, consolidation or otherwise) to this Unit Designation, or any waiver of any of its provisions. Only the prior written consent of the Holders’ Committee shall be required for any amendment (directly or indirectly, by merger, consolidation or otherwise) to the Limited Partnership Agreement that would have an adverse effect on any holders of the Class A Preferred Units or effectuate any waiver of any provisions of this Unit Designation.  
11.No Reissuance. No Class A Preferred Units acquired by the Partnership by reason of redemption, purchase or otherwise shall be reissued.
12.Transfers. 
(a)    No Class A Preferred Unit (or any rights with respect thereto) shall be Transferred without the consent of the Holders’ Committee and, solely in the case of any holder of Class A Preferred Units other than DSO or a Related Party of DSO, the General Partner; provided, that any such consent shall not be unreasonably withheld with respect to a request to Transfer Class A Preferred Units in accordance with this Section 12.  Any attempted Transfer that is not made in compliance with this Section 12 shall be void ab initio.

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(b)    No Transfer shall be permitted under Section 12(a) if the Holders’ Committee determines in its sole and absolute discretion that (i) such a Transfer would pose a risk that the Partnership would be a “publicly traded partnership” as defined in Section 7704 of the Code; (ii) such Transfer would obligate the Partnership to register the Interests for resale under any applicable federal or state securities laws or require the Partnership to file reports pursuant to any applicable federal or state securities laws.
(c)    Each holder of Class A Preferred Units hereby agrees that it will not effect any Transfer of all or any of its Class A Preferred Units (whether voluntarily, involuntarily or by operation of law) in any manner contrary to the terms of this Unit Designation or that violates or causes the Partnership or the Partners to violate the Securities Act, the Exchange Act, the Investment Company Act, or the laws, rules, regulations, orders or other directives of any governmental authority.
(d)    In the event of any Transfer of Class A Preferred Units, (i) the transferor shall cause each transferee to agree in writing to comply with the terms of this Unit Designation and the Partnership Agreement, (ii) prior to such Transfer by any holder of Class A Preferred Units other than by DSO or a Related Party of DSO, and as a condition thereto, the General Partner may require such other documentation, including appropriate opinions of legal counsel, as it deems necessary in its sole discretion, and (iii) unless waived by the General Partner in its sole discretion, no Transfer of Class A Preferred Units other than by DSO or a Related Party of DSO shall be permitted unless the transferor or the proposed transferee shall have undertaken to pay all reasonable expenses incurred by the Partnership or its Affiliates in connection therewith.
13.Right of First Refusal.  In the event that a holder of Class A Preferred Units (other than DSO or a Related Party of DSO) (the “Seller”) receives a bona-fide offer for the sale of any or all of such holder’s Class A Preferred Units (the “Offered Securities”), the Seller shall first offer to sell the Offered Securities to DSO or his designee(s) pursuant to a written notice (the “ROFR Notice”) provided to DSO, which notice shall include: (i) a description of the transaction being proposed, (ii) the identity of the offeror (“Third Party Buyer”), (iii) the purchase price proposed and the manner of payment thereof and (iv) a term sheet setting forth the material terms and conditions of the offer and a copy of the proposed agreement, if any. Within twenty (20) days of receiving the ROFR Notice, DSO must either accept or decline the offer and if DSO neither accepts nor declines the offer within such twenty (20) day period, the offer will be considered declined.  If the offer is declined by DSO, (i) the Seller shall next offer to sell the Offered Securities to the General Partner, on behalf of the Partnership, pursuant to a ROFR Notice and otherwise on the terms specified in the foregoing sentence, and (ii) if the General Partner declines such offer, the Seller will have the right to sell the Offered Securities to the person specified in the offer at a price and on terms and conditions no less favorable to the Seller than the price and terms and conditions set out in the ROFR Notice.  If the sale to the Third Party Buyer is not completed within sixty (60) days after the General Partner declines the offer, this Section 13 shall again become applicable as if the offer had not been made.
14.No Preemptive Rights.  Unless otherwise determined by the General Partner and the Holders’ Committee, no holders of the Class A Preferred Units will, as holders of Class A Preferred Units, have any preemptive rights to purchase or subscribe for Common Units or any other security of the Partnership.
15.Notices.  Any notices required or permitted to be given to a holder of Preferred Units hereunder may be given by mail or other means of written communication, including by electronic mail or other means of electronic transmission, to the address or other applicable contact details maintained for such holder in the books and records of the Partnership.

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16.Severability of Provisions.  If any right, preference or limitation of the Class A Preferred Units set forth in this Unit Designation (as this Unit Designation may be amended from time to time) is invalid, unlawful or incapable of being enforced by reason of any rule or law or public policy, all other rights, preferences and limitations set forth in this Unit Designation, which can be given effect without the invalid, unlawful or unenforceable right, preference or limitation shall nevertheless remain in full force and effect, and no right, preference or limitation herein set forth be deemed dependent upon any such other right, preference or limitation unless so expressed herein.
[Signature Page Follows]

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IN WITNESS WHEREOF, this Unit Designation has been duly executed as of the date first above written.
OZ MANAGEMENT LP

By:    OCH-ZIFF HOLDING CORPORATION,
its general partner

By: /s/ Joel M. Frank     
Name: Joel M. Frank    
Title:   Chief Financial Officer

OCH-ZIFF CAPITAL MANAGEMENT GROUP LLC,
as to Section 3(b)(ii), Section 8(b), Section 9(d), Section 9(e), and Section 9(f) only

By: /s/ Joel M. Frank     
Name: Joel M. Frank    
Title:   Chief Financial Officer

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