Document:

Registration Rights Agreement dated, March 26, 2008.

 EXHIBIT 4.2 
 EXECUTION VERSION 
  
  
 Registration Rights Agreement

 Dated as of March 26, 2008 
 among 
 Raser Technologies, Inc. 
 and 
 Merrill Lynch, Pierce, Fenner & Smith 
 Incorporated 
  
  

 REGISTRATION RIGHTS AGREEMENT 
 This Registration Rights Agreement (the “Agreement”) is made and entered into this 26th day of March, 2008, among Raser
Technologies, Inc., a Delaware corporation (the “Company”), and Merrill Lynch, Pierce, Fenner & Smith Incorporated (the “Initial Purchaser”). 
 This Agreement is made pursuant to the Purchase Agreement, dated as of March 19, 2008, among the Company and the Initial Purchaser (the
“Purchase Agreement”), which provides for the sale by the Company to the Initial Purchaser of $50,000,000 aggregate principal amount ($55,000,000 principal amount if the Initial Purchaser exercises its over-allotment option in
full) of the Company’s 8.00% Convertible Senior Notes due 2013 (the “Securities”). In order to induce the Initial Purchaser to enter into the Purchase Agreement, the Company has agreed to provide the registration rights
set forth in this Agreement. The execution of this Agreement is a condition to the closing under the Purchase Agreement. 
 In consideration
of the foregoing, the parties hereto agree as follows: 
 1. Definitions. 
 As used in this Agreement, the following capitalized defined terms shall have the following meanings: 
 “1933 Act” shall mean the Securities Act of 1933, as amended from time to time. 
 “1934 Act” shall mean the Securities Exchange Act of l934, as amended from time to time. 
 “1939 Act” shall mean the Trust Indenture Act of 1939, as amended from time to time. 
 “Affiliate” shall have the meaning given to such term under Rule 405 of the 1933 Act. 
 “Agreement” shall have the meaning set forth in the preamble. 
 “Closing Date” shall mean the Initial Closing Time as such term is defined in the Purchase Agreement. 
 “Common Stock” shall mean any shares of common stock, $0.01 par value, of the Company and any other shares of common stock as may
constitute “Common Stock” for purposes of the Indenture. 
 “Company” shall have the meaning set forth in the
preamble and shall also include the Company’s successors. 
  

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 “Depositary” shall mean The Depository Trust Company, or any other depositary appointed
by the Company, provided, however, that such depositary must have an address in the Borough of Manhattan, in the City of New York. 
 “Effectiveness Period” shall have the meaning set forth in Section 2.1(b). 
 “FINRA” shall
mean the Financial Industry Regulatory Authority, Inc. (successor to the National Association of Securities Dealers, Inc.). 
 “Holder” shall mean the Initial Purchaser, for so long as it owns any Registrable Securities, and each of its successors, assigns and direct and indirect transferees who become registered owners of Registrable Securities
under the Indenture. 
 “Indenture” shall mean the Indenture relating to the Securities, dated as of the date hereof,
between the Company and The Bank of New York, a New York banking corporation, as trustee, as the same may be amended, supplemented, waived or otherwise modified from time to time in accordance with the terms thereof. 
 “Initial Purchaser” shall have the meaning set forth in the preamble. 
 “Liquidated Damages” shall have the meaning set forth in Section 2.4. 
 “Majority Holders” shall mean the Holders of a majority of the aggregate principal amount of outstanding Registrable Securities;
provided that, for purposes of this definition, (1) a Holder of shares of Common Stock that constitute Registrable Securities which were issued upon conversion of the Securities shall be deemed to hold an aggregate principal amount of
Registrable Securities (in addition to the principal amount of other Securities held by such Holder) equal to the principal amount of Registrable Securities which were converted into such shares of Common Stock and (2) such Registrable
Securities which were converted into such shares of Common Stock shall be deemed to be outstanding; provided further that whenever the consent or approval of Holders of a specified percentage of Registrable Securities is required
hereunder, Registrable Securities held by the Company or any Affiliate (as defined in the Indenture) of the Company shall be disregarded in determining whether such consent or approval was given by the Holders of such required percentage
amount. 
 “Offering Memorandum” shall mean the offering memorandum of the Company dated March 19, 2008, related to the
Securities. 
 “Option Closing Date” shall mean the Option Closing Time, as such term is defined in the Purchase Agreement,
or if the Initial Purchaser does not exercise its option to purchase additional Securities pursuant to the terms of the Purchase Agreement, “Option Closing Date” shall mean the Closing Date. 
 “Person” shall mean an individual, partnership (general or limited), corporation, limited liability company, trust or unincorporated
organization, or a government or agency or political subdivision thereof. 
  

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 “Prospectus” shall mean the prospectus included in a Shelf Registration Statement,
including any preliminary prospectus, any “issuer-free writing prospectus,” as such term is defined in Rule 433 under the 1933 Act, and any such prospectus as amended or supplemented by any prospectus supplement, including any such
prospectus supplement or free writing prospectus with respect to the terms of the offering of any portion of the Registrable Securities covered by a Shelf Registration Statement, and by all other amendments and supplements to a prospectus or free
writing prospectus, including post-effective amendments, and in each case including all material incorporated by reference therein. 
 “Purchase Agreement” shall have the meaning set forth in the preamble. 
 “Questionnaire” shall
have the meaning set forth in Section 2.1(d). 
 “Registrable Securities” shall mean all or any of the Securities
issued from time to time under the Indenture in registered form, and the shares of Common Stock issuable upon conversion of such Securities; provided, however, that any such Securities shall cease to be Registrable Securities at the earliest
of when (i) a Shelf Registration Statement with respect to such Securities shall have been declared effective or otherwise become effective under the 1933 Act and such Securities shall have been disposed of pursuant to such Shelf Registration
Statement, (ii) such Securities have been or may be sold or transferred to the public pursuant to Rule l44 (or any similar provision then in force, but not Rule 144A) under the 1933 Act by holders who are not Affiliates of the Company, or
(iii) such Securities shall have ceased to be outstanding. 
 “Registration Default” shall have the meaning set forth
in Section 2.4. 
 “Registration Expenses” shall mean any and all expenses incident to performance of or compliance by
the Company with this Agreement, including without limitation: (i) all SEC, stock exchange or the FINRA registration and filing fees, including, if applicable, the reasonable and documented fees and expenses of any “qualified
independent underwriter” (and its counsel) that is required to be retained by any holder of Registrable Securities in accordance with the rules and regulations of the FINRA, (ii) all fees and expenses incurred by the Company in
connection with compliance with state securities or blue sky laws and compliance with the rules of the FINRA (including reasonable and documented fees and disbursements of counsel for any underwriters or Holders in connection with blue sky
qualification of any of the Registrable Securities and any filings with the FINRA), (iii) all expenses of the Company in preparing or assisting in preparing, word processing, printing and distributing any Shelf Registration Statement, any
Prospectus, any amendments or supplements thereto, any securities sales agreements and other documents relating to the performance of and compliance with this Agreement, (iv) all fees and expenses incurred by the Company in connection with the
listing, if any, of any of the Registrable Securities on any securities exchange or exchanges, (v) all rating agency fees incurred by the Company, if any, (vi) the fees and disbursements of counsel for the Company and of the independent
public accountants of the Company, including the expenses of any special audits or “comfort” letters required by or incident to such performance and compliance, (vii) the reasonable and documented fees and expenses of the Trustee, and
any escrow agent or custodian, (viii) any reasonable and documented fees and disbursements of the underwriters customarily required to be paid by 

  

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issuers or sellers of securities and (ix) any fees and expenses of any special experts retained by the Company in connection with any Shelf Registration
Statement, but excluding any underwriting discounts and commissions and transfer taxes, if any, relating to the sale or disposition of Registrable Securities by a Holder and the fees and expenses of any counsel to the Holders. 
 “SEC” shall mean the Securities and Exchange Commission or any successor agency or government body performing the functions currently
performed by the United States Securities and Exchange Commission. 
 “Securities” shall have the meaning set forth in the
preamble. 
 “Shelf Registration” shall mean a registration effected pursuant to Section 2.1 hereof. 
 “Shelf Registration Statement” shall mean a “shelf” registration statement (which may be an “automatic shelf registration
statement,” as such term is defined in Rule 405 under the 1933 Act, if the Company is a Well-Known Seasoned Issuer) of the Company filed pursuant to the provisions of Section 2.1 of this Agreement which covers all of the Registrable
Securities on an appropriate form under Rule 415 under the 1933 Act, or any similar rule that may be adopted by the SEC, and all amendments and supplements to such registration statement, including post-effective amendments, in each case including
the Prospectus contained therein, all exhibits thereto and all material incorporated by reference therein. 
 “Suspension
Period” shall have the meaning set forth in Section 2.5. 
 “Trustee” shall mean the trustee with respect to
the Securities under the Indenture. 
 “Underwriter” shall have the meaning set forth in Section 4(a). 
 “Well-Known Seasoned Issuer” shall have the meaning given to such term under Section 405 of the 1933 Act. 
 2. Registration Under the 1933 Act. 
 2.1 Shelf Registration. 
 (a) The Company shall, at its cost, not later than 90 days after the Closing Date,
file the Shelf Registration Statement relating to the offer and sale of the Registrable Securities by the Holders that have provided the information pursuant to Section 2.1(d) with the SEC, and thereafter shall use its commercially
reasonable efforts to cause such Shelf Registration Statement to become effective as promptly as is practicable, but in no event later than 180 days after the Closing Date; provided, however, that the Company may, upon written notice to all
Holders, defer the filing or the effectiveness of the Shelf Registration Statement for a reasonable period not to exceed 90 days if the Company is engaged in 

  

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non-public negotiations or other non-public business activities, disclosure of which would be required in such Shelf Registration Statement (but would not be
required if such Shelf Registration Statement were not filed), and the Company’s Board of Directors or a duly authorized committee thereof determines in good faith that such disclosure would have a material adverse effect on the Company and its
subsidiaries taken as a whole. 
 (b) The Company shall, at its cost, use its commercially reasonable efforts, subject to
Section 2.5, to keep the Shelf Registration Statement continuously effective in order to permit the Prospectus forming part thereof to be usable by Holders for the period beginning upon the effective date of the Shelf Registration Statement
until the earliest of (1) the sale pursuant to the Shelf Registration Statement of the Registrable Securities, (2) the date when the Holders, other than holders that are Affiliates of the Company, are able to sell all such Registrable
Securities immediately without restriction pursuant to Rule 144(b)(1)(i) under the 1933 Act or any successor rule thereto, (3) the date that is one year from the Option Closing Date and (4) the date on which there are no outstanding
Registrable Securities (the “Effectiveness Period”). 
 (c) Notwithstanding any other provisions hereof, the
Company shall use its commercially reasonable efforts to ensure that (i) any Shelf Registration Statement and any amendment thereto and any Prospectus forming part thereof and any supplement thereto complies in all material respects with the
1933 Act and the rules and regulations thereunder, (ii) any Shelf Registration Statement and any amendment thereto does not, when it becomes effective, contain an untrue statement of a material fact or omit to state a material fact required to
be stated therein or necessary to make the statements therein not misleading and (iii) any Prospectus forming part of any Shelf Registration Statement, and any supplement to such Prospectus (as amended or supplemented from time to time), does
not include an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. 
 (d) Notwithstanding any other provision hereof, no Holder of Registrable Securities may include any of its Registrable Securities in the
Shelf Registration Statement pursuant to this Agreement unless the Holder furnishes to the Company a fully completed notice and questionnaire in the form attached as Annex A to the Offering Memorandum (the
“Questionnaire”) and such other information in writing as the Company may reasonably request in writing for use in connection with the Shelf Registration Statement or Prospectus included therein and in any application to be
filed with or under state securities laws. In order to be named as a selling securityholder in the Prospectus at the time of effectiveness of the Shelf Registration Statement, each Holder must, 

  

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before the filing of the Shelf Registration Statement and no later than the 20th day after the issuance of written notice (which may be done by means of a
press release) by the Company announcing its intention to file the Shelf Registration Statement (or its intention to file the first amendment to the Shelf Registration Statement in the event the Company promptly files the Shelf Registration
Statement following the date of this Agreement), furnish the completed Questionnaire and such other information that the Company may reasonably request in writing, if any, to the Company in writing and the Company will include the information from
the completed Questionnaire and such other information, if any, in the Shelf Registration Statement and the Prospectus in a manner so that upon effectiveness of the Shelf Registration Statement the Holder will be permitted to deliver the Prospectus
to purchasers of the Holder’s Registrable Securities. From and after the date that the Shelf Registration Statement is first declared effective by the SEC or otherwise becomes effective, upon receipt of a completed Questionnaire and such other
information that the Company may reasonably request in writing, if any, the Company will use its commercially reasonable efforts to file within 20 business days (i) any amendments or supplements to the Shelf Registration Statement or
(ii) any report filed with the SEC under the 1934 Act, if the Company is permitted to do so pursuant to the 1933 Act and the regulations thereunder, necessary for such Holder to be named as a selling securityholder in the Prospectus contained
therein to permit such Holder to deliver the Prospectus to purchasers of the Holder’s Registrable Securities (subject to the Company’s right to suspend the Shelf Registration Statement as described in Section 2.5 below);
provided, however, that the Company shall not be required to file more than one of the documents listed in clauses (i) and (ii) of this paragraph (d) in any calendar quarter for all such Holders. Holders that do not
deliver a completed written Questionnaire and such other information, as provided for in this Section 2.1(d), will not be named as selling securityholders in the Prospectus. Each Holder named as a selling securityholder in the Prospectus agrees
to promptly furnish to the Company all information required to be disclosed in order to make information previously furnished to the Company by the Holder not materially misleading and any other information regarding such Holder and the distribution
of such Holder’s Registrable Securities as the Company may from time to time reasonably request in writing. 
 (e) Each
Holder agrees not to sell any Registrable Securities pursuant to the Shelf Registration Statement without delivering, or causing to be delivered, a Prospectus to the purchaser thereof and, following termination of the Effectiveness Period, to notify
the Company, within ten days of a written request by the Company, of the amount of Registrable Securities sold pursuant to the Shelf Registration Statement and, in the absence of a response, the Company may assume that all of such Holder’s
Registrable Securities have been so sold; provided that the Company shall use commercially reasonable efforts to confirm that all of such Holder’s Registrable Securities have been so sold prior to making such assumption. 
  

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 In the event that the Company elects to include any securities other than Registrable Securities (the
“Other Securities”) in the Shelf Registration Statement, the Company shall prepare, and shall ensure that such Shelf Registration Statement contains, (i) a Prospectus relating only to the Registrable Securities for use by the
Holders of Registrable Securities that are covered under such Shelf Registration Statement and (ii) a separate Prospectus relating to the Other Securities. The Company further agrees, if necessary, to supplement or amend the Shelf Registration
Statement, to the extent required by Section 3(b) below, and to furnish to the Holders of Registrable Securities that are covered under such Shelf Registration Statement copies of any such supplement or amendment promptly after its being
used or filed with the SEC. 
 2.2 Expenses. The Company shall pay all Registration Expenses in connection with the registration
pursuant to Section 2.1. Each Holder shall pay all underwriting discounts and commissions and transfer taxes, if any, and fees and expenses of such Holder’s counsel relating to the sale or disposition of such Holder’s Registrable
Securities pursuant to the Shelf Registration Statement. 
 2.3 Effectiveness. 
 (a) The Company will be deemed not to have used commercially reasonable efforts to cause the Shelf Registration Statement to become, or
to remain, effective during the requisite period (subject to Section 2.5) if the Company voluntarily takes any action that would, or omits to take any action which omission would, result in any such Shelf Registration Statement not being
declared effective or in the Holders of Registrable Securities covered thereby not being able to offer and sell such Registrable Securities during that period as and to the extent contemplated hereby, unless such action or omission is required by
applicable law. 
 (b) A Shelf Registration Statement pursuant to Section 2.1 hereof will not be deemed to have become
effective unless it has been declared effective by the SEC or has become automatically effective under the 1933 Act; provided, however, that if, after it has been declared or become effective, the offering of Registrable Securities pursuant
to a Shelf Registration Statement is interfered with by any stop order, injunction or other order or requirement of the SEC or any other governmental agency or court, such Shelf Registration Statement will be deemed not to have become effective
during the period of such interference, until the offering of Registrable Securities pursuant to such Shelf Registration Statement may legally resume. 
 2.4 Interest. In the event that (a) the Shelf Registration Statement has not been filed with the SEC within 90 days after the Closing Date, (b) the Shelf Registration Statement has not been declared
effective or otherwise become effective within 180 days after 

  

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the Closing Date, (c) the Shelf Registration Statement shall cease to be effective or fail to be usable, subject to Section 2.5, without being
succeeded within seven business days by a post-effective amendment or a report filed with the SEC pursuant to the 1934 Act that cures the failure of the Shelf Registration Statement to be effective or usable, or (d) the use of the Prospectus
has been suspended pursuant to Section 2.5 longer than the period permitted by Section 2.5 (each such event being a “Registration Default”), additional interest, as liquidated damages (“Liquidated
Damages”), will accrue at a rate per annum of one-quarter of one percent (0.25%) of the principal amount of the Securities for the first 90-day period from the day following the Registration Default, and thereafter at a rate per annum
of one-half of one percent (0.50%) of the principal amount of the Securities, provided that in no event shall Liquidated Damages accrue at a rate per annum exceeding one half of one percent (0.50%) of the principal amount of the
Securities, provided further that no Liquidated Damages shall accrue after the first anniversary of the Option Closing Date, provided further that Liquidated Damages shall not accrue under clause (c) and (d) above with
respect to any Holder that (x) does not submit a properly completed Questionnaire, and (y) is not named as a selling securityholder in the Shelf Registration Statement; and provided further that no Liquidated Damages shall accrue
under clause (a) or (b) above if, pursuant to Section 2.1(a) hereof, the Company defers the filing or effectiveness of the Shelf Registration Statement, for a reasonable period not to exceed 90 days if the Company is engaged
in non-public negotiations or other non-public business activities, disclosure of which would be required in such Shelf Registration Statement (but would not be required if such Shelf Registration Statement were not filed), and the Board of
Directors of the Company or a duly authorized committee thereof determines in good faith that such disclosure would have a material adverse effect on the Company and its subsidiaries taken as a whole. Upon the cure of all Registration Defaults then
continuing, the accrual of Liquidated Damages will automatically cease and the interest rate borne by the Securities will revert to the original interest rate at such time. Liquidated Damages shall be computed based on the actual number of days
elapsed in each 90-day period in which the Shelf Registration Statement is not effective or is unusable. Holders who have converted Securities into Common Stock will not be entitled to receive any Liquidated Damages with respect to such Common Stock
or the issue price of the Securities converted. 
 The Company shall notify the Trustee within five business days after each and every date
on which an event occurs in respect of which Liquidated Damages are required to be paid. Liquidated Damages shall be paid by depositing with the Trustee, in trust, for the benefit of the Holders of Registrable Securities, on or before the applicable
semiannual interest payment date, immediately available funds in sums sufficient to pay the Liquidated Damages then due. The Liquidated Damages due shall be payable in arrears on each interest payment date to the record Holder of Registrable
Securities entitled to receive the interest payment to be paid on such date as set forth in the Indenture. Each obligation to pay Liquidated Damages shall be deemed to accrue from and including the day following the Registration Default to but
excluding the day on which the Registration Default is cured. 
 A Registration Default under clause (a) above shall be cured on
the date that the Shelf Registration Statement is filed with the SEC. A Registration Default under clause (b) above shall be cured on the date that the Shelf Registration Statement is declared effective by the SEC or deemed to become
automatically effective under the 1933 Act. A Registration Default under clauses (c) or (d) above shall be cured on the date an amended Shelf 

  

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Registration Statement is declared effective by the SEC or deemed to become automatically effective under the 1933 Act, or the Company otherwise declares the
Shelf Registration Statement and the Prospectus useable, as applicable. The Company will have no liabilities for monetary damages other than Liquidated Damages with respect to any Registration Default. 
 2.5 Suspension. Notwithstanding any other provision hereof, the Company may suspend the use of any Prospectus, without incurring or accruing any
obligation to pay Liquidated Damages pursuant to Section 2.4 hereof or being deemed in violation of any other provision hereof, for a period or periods not to exceed 60 calendar days in any 90-day period, or an aggregate of 120 calendar days in
any twelve-month period, (each, a “Suspension Period”) if management of the Company shall have determined in good faith that because of valid business reasons (not including avoidance of the Company’s obligations
hereunder), including without limitation proposed or pending corporate developments and similar events or because of filings with the SEC, it is in the best interests of the Company to suspend such use, and prior to suspending such use the Company
provides the Holders with written notice (which may be by means of a press release) of such suspension, which notice need not specify the nature of the event giving rise to such suspension. Each Holder shall keep confidential any communications
received by it from the Company regarding the suspension of the use of the Prospectus, except as required by applicable law. 
 2.6
Suspension of Certain of the Company’s Obligations. The Company’s obligations pursuant to Sections 2.1 and 3 of this Agreement shall be suspended during any period in which Holders that are not Affiliates of the Company (and have
not been Affiliates of the Company during the preceding three months) (i) do not hold any Registrable Securities or (ii) may freely transfer their Registrable Securities immediately pursuant to Rule 144 (or any similar provision then in
force) under the Securities Act, including Rule 144(b)(1)(i). 
 3. Registration Procedures. 
 In connection with the obligations of the Company with respect to the Shelf Registration, the Company shall, subject to the rights of the Company to
invoke and maintain a Suspension Period in accordance with Section 2.5 without being in violation of any of the provisions hereunder: 
 (a) prepare and file with the SEC a Shelf Registration Statement, within the relevant time period specified in Section 2, on the appropriate form under the 1933 Act, which form (i) shall be selected by the
Company, (ii) shall be available for the sale of the Registrable Securities by the selling Holders thereof, (iii) shall comply as to form in all material respects with the requirements of the applicable form and include or incorporate by
reference all financial statements required by the SEC to be filed therewith or incorporated by reference therein, and (iv) shall comply in all respects with the applicable requirements of Regulation S-T under the 1933 Act, if any, and use
commercially reasonable efforts to cause such Shelf Registration Statement to become effective and remain effective in accordance with Section 2 hereof; 
  

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 (b) prepare and file with the SEC such amendments and post-effective amendments to the
Shelf Registration Statement as may be necessary under applicable law to keep the Shelf Registration Statement effective for the Effectiveness Period, subject to Section 2.5; and cause each Prospectus to be supplemented by any required
prospectus supplement, and as so supplemented to be filed pursuant to Rule 424 (or any similar provision then in force) under the 1933 Act and comply during the Effectiveness Period with the provisions of the 1933 Act, the 1934 Act and the
rules and regulations thereunder required to enable the disposition of all Registrable Securities covered by the Shelf Registration Statement in accordance with the intended method or methods of distribution by the selling Holders thereof;

 (c) (i) notify each Holder of Registrable Securities (which notification may be effected by issuing a press release)
of the filing of a Shelf Registration Statement with respect to the Registrable Securities; (ii) furnish to each Holder of Registrable Securities that has provided the information required by Section 2.1(d) and to each underwriter of
an underwritten offering of Registrable Securities, if any, without charge, copies of each Prospectus, including each preliminary Prospectus, and any amendment or supplement thereto and such other documents as such Holder or underwriter may
reasonably request, including financial statements and schedules and, if the Holder so requests, all exhibits in order to facilitate the unrestricted sale or other disposition of the Registrable Securities; and (iii) subject to Section 2.5
hereof and to any notice by the Company in accordance with Section 3(e) hereof of the existence of any fact of the kind described in Sections 3(e)(ii), (iii), (iv), (v) and (vi) hereof, hereby consent to the use of the Prospectus
or any amendment or supplement thereto by each of the selling Holders of Registrable Securities that has provided the information required by Section 2.1(d) in connection with the offering and sale of the Registrable Securities;

 (d) use commercially reasonable efforts to register or qualify the Registrable Securities for exemptions under all
applicable state securities or “blue sky” laws of such jurisdictions as any Holder of Registrable Securities covered by a Shelf Registration Statement and each underwriter of an underwritten offering of Registrable Securities shall
reasonably request, and do any and all other acts and things which may be reasonably necessary or advisable to enable each such Holder and underwriter to consummate the disposition in each such jurisdiction of such Registrable Securities owned by
such Holder; provided, however, that the Company shall not be required to (i) qualify as a foreign corporation or as a dealer in securities in any jurisdiction where it would not otherwise be required to qualify but for this
Section 3(d), or (ii) take any action which would subject it to general service of process or taxation in any such jurisdiction where it is not then so subject; 
  

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 (e) notify promptly each Holder of Registrable Securities under a Shelf Registration
Statement that has provided the information required by Section 2.1(d) and, if requested by such Holder, confirm such advice in writing promptly (i) when a Shelf Registration Statement has become effective and when any post-effective
amendments thereto become effective, (ii) of any request by the SEC or any state securities authority for post-effective amendments and supplements to a Shelf Registration Statement and Prospectus or for additional information relating thereto
after the Shelf Registration Statement has become effective, (iii) of the issuance by the SEC or any state securities authority of any stop order suspending the effectiveness of a Shelf Registration Statement or the initiation of any
proceedings for that purpose, (iv) of the happening of any event or the discovery of any facts during the period a Shelf Registration Statement is effective which makes any statement made in such Shelf Registration Statement or the related
Prospectus untrue in any material respect or which requires the making of any changes in such Shelf Registration Statement or Prospectus in order to make the statements therein (in the case of the Prospectus in light of the circumstances under which
they were made) not misleading, (v) of the receipt by the Company of any notification with respect to the suspension of the qualification of the Registrable Securities for sale in any jurisdiction or the initiation or threatening of any
proceeding for such purpose and (vi) of any determination by the Company that a post-effective amendment to such Shelf Registration Statement would be appropriate, other than a post-effective amendment solely to add selling Holders; 

(f) furnish to the Initial Purchaser on behalf of the Holders and to special counsel (designated to the Company by the Initial
Purchaser) to the Initial Purchaser copies of (i) any comment letters received from the SEC with respect to a Shelf Registration Statement or, after the initial filing of a Shelf Registration Statement and prior to its effectiveness, any
documents incorporated therein and (ii) any other request by the SEC or any state securities authority for amendments or supplements to a Shelf Registration Statement and Prospectus or for additional information with respect to the Shelf
Registration Statement and Prospectus; 
 (g) use commercially reasonable efforts to obtain the withdrawal of any order
suspending the effectiveness of a Shelf Registration Statement at the earliest practicable moment and provide prompt notice to each Holder of the withdrawal of such order; 
 (h) furnish, upon request, to each Holder of Registrable Securities that has provided the information required by Section 2.1(d),
and each underwriter, if any, without charge, at least one conformed copy of each Shelf Registration Statement and any post-effective amendment thereto, including financial statements and schedules (without documents incorporated therein by
reference and all exhibits thereto, unless requested); 
  

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 (i) if electronic global certificates for the Registrable Securities are not then
available, cooperate with the selling Holders of Registrable Securities to facilitate the timely preparation and delivery of certificates representing Registrable Securities to be sold and not bearing any restrictive legends (other than as required
by the Company’s certificate of incorporation or bylaws or applicable law); and enable such Registrable Securities to be in such denominations (consistent with the provisions of the Indenture) and registered in such names as the selling
Holders or the underwriters, if any, may reasonably request at least three business days prior to the closing of any sale of Registrable Securities; 
 (j) upon the occurrence of any event or the discovery of any facts, each as contemplated by Sections 3(e)(ii), (iii), (iv), (v) and (vi) hereof, as promptly as practicable after the occurrence of such an
event, use commercially reasonable efforts to prepare a supplement or post-effective amendment to the Shelf Registration Statement or the related Prospectus or any document incorporated therein by reference or file any other required document so
that, as thereafter delivered to the purchasers of the Registrable Securities, such Prospectus will not contain at the time of such delivery any untrue statement of a material fact or omit to state a material fact necessary to make the statements
therein, in light of the circumstances under which they were made, not misleading or will remain so qualified. At such time as such public disclosure is otherwise made or the Company determines that such disclosure is not necessary, in each case to
correct any misstatement of a material fact or to include any omitted material fact, the Company agrees promptly to notify each Holder of Registrable Securities covered by such Shelf Registration Statement of such determination and to furnish
each Holder such number of copies of the Prospectus as amended or supplemented, as such Holder may reasonably request; 
 (k)
no less than three business days prior to the filing of any Shelf Registration Statement, any Prospectus, any amendment to a Shelf Registration Statement or amendment or supplement to a Prospectus (other than amendments and supplements that do
nothing more than name Holders and provide information with respect thereto), provide copies of such document to the Initial Purchaser on behalf of such Holders (excluding any document incorporated by reference into such Shelf Registration
Statement, Prospectus, amendment to the Shelf Registration Statement or amendment or supplement to the Prospectus which is available at such time through the SEC’s EDGAR system or any public website maintained by the SEC or the Company), and
make representatives of the Company, as shall be reasonably requested by the Holders of Registrable Securities or the Initial Purchaser on behalf of such Holders, available for discussion of such document, including any document incorporated by
reference therein; 
  

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 (l) obtain CUSIP numbers for all Registrable Securities not later than the effective
date of the Shelf Registration Statement and provide the Trustee with printed certificates for the Registrable Securities in a form eligible for deposit with the Depositary; 
 (m) (i) cause the Indenture to be qualified under the 1939 Act in connection with the registration of the Registrable Securities,
(ii) cooperate with the Trustee and the Holders to effect such changes to the Indenture as may be required for the Indenture to be so qualified in accordance with the terms of the 1939 Act, and (iii) execute, and use commercially
reasonable efforts to cause the Trustee to execute, all documents as may be required to effect such changes, and all other forms and documents required to be filed with the SEC to enable the Indenture to be so qualified in a timely manner;

 (n) subject to the last paragraph of this Section 3(n), enter into such customary agreements and take all other
customary and appropriate actions, if any, as the Majority Holders shall reasonably request in writing in order to expedite or facilitate the disposition of such Registrable Securities, including, but not limited to: 
 (i) if an underwriting agreement is entered into, obtain opinions of counsel to the Company and updates thereof addressed to each selling
Holder and the underwriters, if any, covering the matters set forth in the opinions of such counsel delivered to the Initial Purchaser at the Closing Date as are customarily covered in legal opinions in connection with an underwritten offering of
securities; 
 (ii) if an underwriting agreement is entered into, obtain “comfort” letters and updates thereof from
the Company’s independent certified public accountants (and, if necessary, any other independent certified public accountants of any subsidiary of the Company or of any business acquired by the Company for which financial statements are, or are
required to be, included in the Shelf Registration Statement) addressed to the underwriters, if any, and use commercially reasonable efforts to have such letter addressed to the selling Holders of Registrable Securities (to the extent
consistent with Statement on Auditing Standards No. 72 of the American Institute of Certified Public Accountants), such letters substantially in the form and covering the matters covered in the comfort letter delivered to the Initial Purchaser
on the Closing Date; 
  

 14 

 (iii) if an underwriting agreement is entered into, cause the same to set forth
indemnification provisions and procedures substantially equivalent to the indemnification provisions and procedures set forth in Section 4 hereof with respect to the underwriters and all other parties to be indemnified pursuant to said
Section or, at the request of any underwriters, in the form customarily provided to such underwriters in similar types of transactions; and 
 (iv) deliver such documents and certificates as may be reasonably requested and as are customarily delivered in similar offerings to the Holders of a majority in principal amount of the Registrable Securities being
sold and the managing underwriters, if any. 
 The above shall be done only in connection with any underwritten offering of not less than one half of the
Registrable Securities using such Shelf Registration Statement pursuant to an underwriting or similar agreement as and to the extent required thereunder, and as reasonably requested by any of the parties thereto; provided, however, that,
anything herein to the contrary notwithstanding, in no event will an underwritten offering of Registrable Securities be made without the prior written agreement of the Company; provided further, the Company will not be required to participate
in the marketing or “road show” presentations of an underwritten offering of Registrable Securities unless requested by the Majority Holders; provided further, that in no event will the Company be required to pay the costs and expenses of
the Holders in connection with any such marketing or “road show” presentation or any other costs and expenses not customarily borne by the issuer in a secondary offering, and in no event will the Company be required to pay the costs and
expenses of more than one underwritten offering of Registrable Securities every twelve months commencing on the effective date of the Shelf Registration Statement; 
 (o) if reasonably requested in connection with a disposition of Registrable Securities, make available for inspection during business
hours by representatives of the Holders of the Registrable Securities, any underwriters participating in any disposition pursuant to a Shelf Registration Statement and any counsel or accountant retained by any of the foregoing, all appropriate
financial and other records, pertinent corporate documents and properties of the Company reasonably requested in writing by any such persons, and cause the respective officers, directors, employees, and any other agents of the Company to supply all
information reasonably requested by any such representative, underwriter, special counsel or accountant in connection with a Shelf Registration Statement, and make such representatives of the Company available for discussion of such documents as
shall be reasonably requested by the Initial Purchaser, in each case as is customary for “due diligence” investigations; provided that, to the extent the Company, in its reasonable discretion, agrees to disclose material non-public
information, such persons shall first agree in writing with the Company that any such non-public information shall be 

  

 15 

 
kept confidential by such persons and shall be used solely for the purposes of exercising rights under this Agreement and such person shall not engage in
trading any securities of the Company until such material non-public information becomes properly publicly available, unless (i) disclosure of such information is required by court or administrative order or is necessary to respond to inquiries
of regulatory authorities, (ii) disclosure of such information is required by law (including any disclosure requirements pursuant to federal securities laws in connection with the filing of any Shelf Registration Statement or the use of any
Prospectus referred to in this Agreement upon a customary opinion of counsel for such persons delivered and reasonably satisfactory to the Company), (iii) such information becomes generally available to the public other than as a result of a
disclosure or failure to safeguard by any such person, (iv) such information becomes available to any such person from a source other than the Company and such source is not bound by a confidentiality agreement, or (v) such non-public
information ceases to be material; and provided further, that the foregoing inspection and information gathering shall, to the greatest extent possible, be coordinated on behalf of all the Holders and the other parties entitled thereto by special
counsel to the Holders; 
 (p) a reasonable time prior to filing the Shelf Registration Statement, any Prospectus forming a
part thereof, any amendment to the Shelf Registration Statement or amendment or supplement to such Prospectus (other than (i) amendments and supplements that do nothing more than name Holders and provide information with respect thereto and
(ii) periodic and current reports and proxy and information statements the Company is required to file with the SEC pursuant to the 1934 Act), furnish to the Initial Purchaser or its designated special counsel copies of such Shelf Registration
Statement, Prospectus or amendment or supplement proposed to be filed with the SEC and use its commercially reasonable efforts to reflect in each such document when so filed such comments as the Initial Purchaser or such designated special counsel
reasonably shall propose in writing within three (3) business days of the delivery of such copies to the Initial Purchaser or its designated special counsel. In addition, if any selling Holder of Registrable Securities that has provided the
information required by Section 2.1(d) shall so request in writing, a reasonable time prior to filing any such documents, the Company shall furnish to such Holder copies of all such documents proposed to be filed and use its reasonable efforts
to reflect in each such document when so filed with the SEC such comments as such Holder reasonably shall propose in writing within three (3) business days of the delivery of such copies to such Holder; 
 (q) use its commercially reasonable efforts to cause all Registrable Securities to be listed on any securities exchange or inter-dealer
quotation system on which similar debt securities issued by the 

  

 16 

 
Company are then listed if requested by the Majority Holders, or if requested by the underwriter or underwriters of an underwritten offering of Registrable
Securities, if any; 
 (r) otherwise comply with all applicable rules and regulations of the SEC and make available to its
security holders, as soon as reasonably practicable, an earnings statement covering at least 12 months which shall satisfy the provisions of Section 11(a) of the 1933 Act and Rule 158 thereunder; and 
 (s) cooperate and assist in any filings required to be made with the FINRA and in the performance of any due diligence investigation by
any underwriter and its counsel (including any “qualified independent underwriter” that is required to be retained in accordance with the rules and regulations of the FINRA). 
 Without limiting the provisions of Section 2.1(d), the Company may (as a condition to such Holder’s participation in the Shelf
Registration) require each Holder of Registrable Securities to furnish to the Company such information regarding the Holder and the proposed distribution by such Holder of such Registrable Securities as the Company may from time to time
reasonably request in writing. 
 Each Holder agrees that, upon receipt of any notice from the Company of the happening of any event or the
discovery of any facts, each of the kind described in Section 3(e)(ii), (iii), (iv), (v) and (vi) hereof, such Holder will forthwith discontinue disposition of Registrable Securities pursuant to the Prospectus included in the Shelf
Registration Statement until such Holder’s receipt of the copies of the supplemented or amended Prospectus contemplated by Section 3(j) hereof or written notice from the Company that the Shelf Registration Statement is again effective
and no amendment or supplement is needed, and, if so directed by the Company, such Holder will deliver to the Company (at its expense) all copies in such Holder’s possession, other than permanent file copies then in such Holder’s
possession, of the Prospectus covering such Registrable Securities current at the time of receipt of such notice. 
 If any of the
Registrable Securities covered by any Shelf Registration Statement are to be sold in an underwritten offering, the underwriter or underwriters and manager or managers that will manage such offering will be selected by the Majority Holders of such
Registrable Securities included in such offering and shall be acceptable to the Company. No Holder of Registrable Securities may participate in any underwritten registration hereunder unless such Holder (a) agrees to sell such Holder’s
Registrable Securities on the basis provided in any underwriting arrangements approved by the persons entitled hereunder to approve such arrangements and (b) completes and executes all questionnaires, powers of attorney, indemnities,
underwriting agreements and other documents required under the terms of such underwriting arrangements. 
  

 17 

 4. Indemnification; Contribution. 
 (a) The Company agrees to indemnify and hold harmless the Initial Purchaser, each Holder who has provided information to the Company in
accordance with Section 2.1(d) hereof, each Person who participates as an underwriter, if any (any such Person being an “Underwriter”) and each Person, if any, who controls any such Holder or Underwriter within the
meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act as follows: 
 (i) against any and all loss,
liability, claim, damage and expense whatsoever, as incurred, arising out of any untrue statement or alleged untrue statement of a material fact contained in any Shelf Registration Statement (or any amendment or supplement thereto) pursuant to
which Registrable Securities were registered under the 1933 Act, including all documents incorporated therein by reference, or the omission or alleged omission therefrom of a material fact required to be stated therein or necessary to make the
statements therein not misleading, or arising out of any untrue statement or alleged untrue statement of a material fact contained in any Prospectus (or any amendment or supplement thereto) or the omission or alleged omission therefrom of a
material fact necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading; 
 (ii) against any and all loss, liability, claim, damage and expense whatsoever, as incurred, to the extent of the aggregate amount paid in settlement of any litigation, or any investigation or proceeding by any
governmental agency or body, commenced or threatened, or of any claim whatsoever based upon any such untrue statement or omission, or any such alleged untrue statement or omission; provided that (subject to Section 4(d) below) any
such settlement is effected with the written consent of the Company; and 
 (iii) against any and all expenses whatsoever, as
incurred (including the reasonable and documented fees and disbursements of counsel chosen by any indemnified party), reasonably incurred and documented in investigating, preparing or defending against any litigation, or any investigation or
proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any such untrue statement or omission, or any such alleged untrue statement or omission, to the extent that any such expense is not paid under
subparagraph (i) or (ii) above; 
 provided, however, that this indemnity agreement shall not apply to any loss, liability, claim, damage or
expense to the extent arising out of (A) any untrue statement or omission or alleged 

  

 18 

 
untrue statement or omission made in reliance upon and in conformity with written information furnished to the Company by or on behalf of any Holder or
Underwriter expressly for use in a Shelf Registration Statement (or any amendment thereto) or any Prospectus (or any amendment or supplement thereto) or (B) the use of a Prospectus during a Suspension Period, provided that such Holder has
received prior notice of such suspension; provided, further, that this indemnity provision shall not apply to any loss, liability, claim, damage or expense if the Holder fails to deliver at or prior to the written confirmation of sale
the most recent Prospectus furnished to such Holder by the Company and such Prospectus, as amended or supplemented as of the time of such confirmation of sale, including any amendment or supplement filed with the SEC that is incorporated by
reference in the Prospectus, would have corrected such untrue statement or omission or alleged untrue statement or omission of a material fact and delivery thereof was required by law. 
 (b) Each Holder who has provided information to the Company in accordance with Section 2.1(d) hereof, severally, but not
jointly, agrees to indemnify and hold harmless the Company, the Initial Purchaser, each Underwriter, if any, and the other selling Holders who have provided information to the Company in accordance with Section 2.1(d) hereof, and each of
their respective directors and officers, and each Person, if any, who controls the Company, the Initial Purchaser, any Underwriter or any other selling Holder within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act,
against any and all loss, liability, claim, damage and expense described in the indemnity contained in Section 4(a) hereof, as incurred, but only with respect to untrue statements or omissions, or alleged untrue statements or omissions,
made in the Shelf Registration Statement (or any amendment thereto) or any Prospectus included therein (or any amendment or supplement thereto) in reliance upon and in conformity with written information with respect to such Holder
furnished to the Company by or on behalf of such Holder expressly for use in the Shelf Registration Statement (or any amendment thereto) or such Prospectus (or any amendment or supplement thereto); provided, however, that no such Holder
shall be liable for any claims hereunder in excess of the amount of net proceeds received by such Holder from the sale of Registrable Securities pursuant to such Shelf Registration Statement. 
 (c) Each indemnified party shall give notice as promptly as reasonably practicable to each indemnifying party of any action or proceeding
commenced against it in respect of which indemnity may be sought hereunder, but failure to so notify an indemnifying party shall not relieve such indemnifying party from any liability hereunder to the extent it is not materially prejudiced as a
result thereof and in any event shall not relieve it from any liability which it may have otherwise than on account of this indemnity agreement. An indemnifying party may participate at its own expense in the defense of such action; provided,
however, that counsel to the indemnifying party shall not (except with the consent of the indemnified party) also be counsel to the indemnified party. In no event 

  

 19 

 
shall the indemnifying party or parties be liable for the fees and expenses of more than one counsel (in addition to any local counsel) separate from
their own counsel for all indemnified parties in connection with any one action or separate but similar or related actions in the same jurisdiction arising out of the same general allegations or circumstances. No indemnifying party shall
(i) without the prior written consent of the indemnified parties (which consent shall not be unreasonably withheld), settle or compromise or consent to the entry of any judgment with respect to any litigation, or any investigation or proceeding
by any governmental agency or body, commenced or threatened, or any claim whatsoever in respect of which indemnification or contribution could be sought under this Section 4 (whether or not the indemnified parties are actual or potential
parties thereto), unless such settlement, compromise or consent (A) includes an unconditional release of each indemnified party from all liability arising out of such litigation, investigation, proceeding or claim and (B) does not include
a statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party or (ii) be liable for any settlement of any such action effected without its prior written consent (which consent shall not be
unreasonably withheld). 
 (d) Notwithstanding clause (ii) of Section 4(c), if at any time an indemnified party
shall have requested an indemnifying party to reimburse the indemnified party for fees and expenses of counsel, such indemnifying party agrees that it shall be liable for any settlement of the nature contemplated by
Section 4(a)(ii) effected without its written consent if (i) such settlement is entered into more than 45 days after receipt by such indemnifying party of the aforesaid request, (ii) such indemnifying party shall have received
notice of the terms of such settlement at least 30 days prior to such settlement being entered into, and (iii) such indemnifying party shall not have reimbursed such indemnified party in accordance with such request prior to the date of such
settlement. 
 (e) If the indemnification provided for in this Section 4 is for any reason unavailable to or
insufficient to hold harmless an indemnified party in respect of any losses, liabilities, claims, damages or expenses referred to therein, then each indemnifying party shall contribute to the aggregate amount of such losses, liabilities, claims,
damages and expenses incurred by such indemnified party, as incurred, in such proportion as is appropriate to reflect the relative fault of the Company on the one hand and the Holders and the Initial Purchaser on the other hand in connection with
the statements or omissions which resulted in such losses, liabilities, claims, damages or expenses, as well as any other relevant equitable considerations. 
 The relative fault of the Company on the one hand and the Holders and the Initial Purchaser on the other hand shall be determined by reference to, among other things, whether any such untrue or alleged untrue
statement of a material fact or omission or alleged omission to 

  

 20 

 
state a material fact relates to information supplied by the Company, or by the Holders or the Initial Purchaser and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission. 
 The Company, the Holders and the
Initial Purchaser agree that it would not be just and equitable if contribution pursuant to this Section 4 were determined by pro rata allocation or by any other method of allocation which does not take account of the equitable
considerations referred to above in this Section 4. The aggregate amount of losses, liabilities, claims, damages and expenses incurred and documented by an indemnified party and referred to above in this Section 4 shall be deemed to
include any legal or other expenses reasonably incurred by such indemnified party in investigating, preparing or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any
claim whatsoever based upon any such untrue or alleged untrue statement or omission or alleged omission. 
 Notwithstanding the provisions of
this Section 4, the Initial Purchaser shall not be required to contribute any amount in excess of the amount by which the total price at which the Securities sold by it were offered exceeds the amount of any damages which the Initial Purchaser
has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. 
 No Person guilty
of fraudulent misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution from any Person who was not guilty of such fraudulent misrepresentation. 
 For purposes of this Section 4, each Person, if any, who controls the Initial Purchaser or a Holder within the meaning of Section 15 of the
1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as the Initial Purchaser or such Holder, and each director of the Company, and each Person, if any, who controls the Company within the meaning of Section 15
of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as the Company. 
 5. Miscellaneous.

 5.1 Rule 144 and Rule 144A. For so long as the Company is subject to the reporting requirements of Section 13 or 15(d) of
the 1934 Act, the Company covenants that it will file the reports required to be filed by it under Section 13 or 15(d) of the 1934 Act and the rules and regulations adopted by the SEC thereunder. If the Company ceases to be so
required to file such reports, the Company covenants that it will upon the request of any Holder of Registrable Securities (a) make publicly available such information as is necessary to permit sales pursuant to Rule 144 under the 1933 Act, as
such Rule may be amended from time to time, (b) deliver such information to a prospective purchaser as is necessary to permit sales pursuant to Rule 144A under the 1933 Act, as such Rule may be amended from time to time, and it will take such
further action as any Holder of Registrable Securities may reasonably request for such purpose, and (c) take such further action that is reasonable in the circumstances, in each case, to the extent required from time to time to enable such
Holder to sell its Registrable Securities without registration under the 1933 Act within the limitation of the exemptions provided by 

  

 21 

 
(i) Rule 144 under the 1933 Act, as such Rule may be amended from time to time, (ii) Rule 144A under the 1933 Act, as such Rule may be amended from
time to time, or (iii) any similar rules or regulations hereafter adopted by the SEC. Upon the request of any Holder of Registrable Securities, the Company will deliver to such Holder a written statement as to whether it has complied with such
requirements. 
 5.2 No Inconsistent Agreements. The Company has not entered into and the Company will not after the date of this
Agreement enter into any agreement which is inconsistent in any material respect with the rights granted to the Holders of Registrable Securities in this Agreement or otherwise conflicts with the provisions hereof. The rights granted to the Holders
hereunder do not and will not for the term of this Agreement in any way conflict with the rights granted to the holders of the Company’s other issued and outstanding securities under any such agreements. 
 5.3 No Adverse Actions Affection Registration Rights. Subject to the rights of the Company expressly set forth in this Agreement, including the
right to invoke and maintain a Suspension Period, the Company shall not, directly or indirectly, intentionally take any action with respect to the Registrable Securities as a class that would adversely affect the ability of the Holders of
Registrable Securities to include such Registrable Securities in a registration undertaken pursuant to this Agreement. 
 5.4 Amendments
and Waivers. The provisions of this Agreement, including the provisions of this sentence, may not be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given unless the Company has
obtained the written consent of Holders of at least a majority in aggregate principal amount of the outstanding Registrable Securities (assuming conversion of all Securities into Common Stock) affected by such amendment, modification,
supplement, waiver or departure. 
 Notwithstanding the foregoing, this Agreement may be amended by a written agreement between the Company and the Initial
Purchaser, without the consent of the Holders of the Registrable Securities, in order to cure any ambiguity or to correct or supplement any provision contained herein, provided that no such amendment shall adversely affect in any material respect
the interest of the Holders of Registrable Securities. Each Holder of Registrable Securities outstanding at the time of any amendment, modification, waiver or consent pursuant to this Section 5.3, shall be bound by such amendment, modification,
waiver or consent, whether or not any notice or writing indicating such amendment, modification, waiver or consent is delivered to such Holder. 
 5.5 Notices. All notices and other communications provided for or permitted hereunder shall be made in writing by hand delivery, registered first-class mail, facsimile, or any courier guaranteeing overnight delivery (a) if to a
Holder, at the most current address given by such Holder to the Company in a Questionnaire or by means of a notice given in accordance with the provisions of this Section 5.4, which address initially is the address set forth in the Purchase
Agreement with respect to the Initial Purchaser; and (b) if to the Company, initially at the Company’s address set forth in the Purchase Agreement, and thereafter at such other address of which notice is given in accordance with the
provisions of this Section 5.4. 
  

 22 

 All such notices and communications shall be deemed to have been duly given: at the time delivered by
hand, if personally delivered; two business days after being deposited in the mail, postage prepaid, if mailed; when receipt is acknowledged, if sent by facsimile; and on the next business day if timely delivered to an overnight courier. 

Copies of all such notices, demands, or other communications shall be concurrently delivered by the person giving the same to the Trustee under the
Indenture, at the address specified in such Indenture. 
 5.6 Successor and Assigns. This Agreement shall inure to the benefit of and
be binding upon the successors, assigns and transferees of each of the parties, including, without limitation and without the need for an express assignment, subsequent Holders; provided that nothing herein shall be deemed to permit any assignment,
transfer or other disposition of Registrable Securities in violation of the terms of the Purchase Agreement or the Indenture. If any transferee of any Holder shall acquire Registrable Securities, in any manner, whether by operation of law or
otherwise, such Registrable Securities shall be held subject to all of the terms of this Agreement, and by taking and holding such Registrable Securities such person shall be conclusively deemed to have agreed to be bound by and to perform all of
the terms and provisions of this Agreement, including the restrictions on resale set forth in this Agreement and, if applicable, the Purchase Agreement, and such person shall be entitled to receive the benefits hereof. 
 5.7 Third Party Beneficiaries. The Initial Purchaser (even if the Initial Purchaser is not a Holder of Registrable Securities) shall be a
third party beneficiary to the agreements made hereunder between the Company, on the one hand, and the Holders, on the other hand, and shall have the right to enforce such agreements directly to the extent it deems such enforcement necessary or
advisable to protect its rights or the rights of Holders hereunder. Each Holder of Registrable Securities shall be a third party beneficiary to the agreements made hereunder between the Company, on the one hand, and the Initial Purchaser, on the
other hand, and shall have the right to enforce such agreements directly to the extent it deems such enforcement necessary or advisable to protect its rights hereunder. 
 5.8 Specific Enforcement. Without limiting the remedies available to the Initial Purchaser and the Holders, the Company acknowledges that any failure by the Company to comply with its obligations under
Section 2.1 hereof may result in material irreparable injury to the Initial Purchaser or the Holders for which there is no adequate remedy at law, that it may not be possible to measure damages for such injuries precisely and that, in the event
of any such failure, the Initial Purchaser or any Holder may seek such relief as may be required to specifically enforce the Company’s obligations under Section 2.1 hereof. 
 5.9 Restriction on Resales. Until the expiration of one year after the original issuance of the Securities, the Company will not, and will cause
its “affiliates” (as such term is defined in Rule 144(a)(1) under the 1933 Act) not to, resell any Securities that are “restricted securities” (as such term is defined under Rule 144(a)(3) under the 1933 Act) that have been
reacquired by any of them and shall immediately upon any purchase of any such Securities submit such Securities to the Trustee for cancellation. 
  

 23 

 5.10 Counterparts. This Agreement may be executed in any number of counterparts and by the
parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 
 5.11 Headings. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof.

 5.12 GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

 5.13 Severability. In the event that any one or more of the provisions contained herein, or the application thereof in any
circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall not be affected or impaired thereby. 

5.14 Entire Agreement. This Agreement is intended by the parties as a final expression of their agreement and intended to be a complete and
exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained herein. There are no restrictions, promises, warranties or undertakings, other than those set forth or referred to herein with
respect to the registration rights granted by the Company with respect to the Registrable Securities. This Agreement supersedes all prior agreements and understandings between the parties with respect to such subject matter. 
 [Signature page follows] 
  

 24 

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

  

			
	RASER TECHNOLOGIES, INC.
		
	By:	 	 /s/ MARTIN F. PETERSEN

	Name:	 	Martin F. Petersen
	Title:	 	Chief Financial Officer

 Confirmed and accepted as of the date first above written: 
  

			
	MERRILL LYNCH, PIERCE, FENNER & SMITH
	                              INCORPORATED
		
	By:	 	 /s/ ERICH HOLMSTEN

	Name:	 	Erich Holmsten
	Title:	 	Vice PresidentPledge and Escrow Agreement dated, as of March 26, 2008.

 EXHIBIT 10.1 
 EXECUTION VERSION 
 PLEDGE AND ESCROW AGREEMENT 
 by and among 
 RASER TECHNOLOGIES,
INC., 
 and 
 THE
BANK OF NEW YORK, 
 as Escrow Agent, 
 and 
 THE BANK OF NEW YORK, 
 as Trustee 
 Dated as of March 26, 2008 

 PLEDGE AND ESCROW AGREEMENT 
 THIS PLEDGE AND ESCROW AGREEMENT (this “Agreement”), dated as of March 26, 2008, is by and among Raser Technologies, Inc., a
Delaware corporation (the “Company”), and The Bank of New York, in its capacity as escrow agent (in such capacity, the “Escrow Agent”) and acknowledged by The Bank of New York, as trustee under the Indenture
referred to below (in such capacity, the “Trustee”). 
 RECITALS 
 The Company and the Trustee have entered into an Indenture, dated as of March 26, 2008 (the “Indenture”), pursuant to which the
Company will issue up to $50,000,000 in aggregate principal amount of its 8.00% Convertible Senior Notes due 2013 (the “Notes”). 
 The Company desires to establish an escrow account with the Escrow Agent into which certain funds in the form of Government Securities (as defined herein) and/or cash will be, simultaneously with the original issuance of the Notes,
deposited by the Company to be held and distributed in accordance with the terms and conditions set forth herein, and the Escrow Agent is willing to establish such an account and to accept such funds in accordance with the terms hereinafter set
forth. 
 Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Indenture. Further, unless
otherwise defined in this Agreement or in the Indenture, terms defined in Article 8 or 9 of the UCC (as defined below) are used in this Agreement as such terms are defined in such Article 8 or 9. “UCC” means the Uniform Commercial
Code as in effect from time to time in the State of New York; provided that, if perfection or the effect of perfection or non-perfection or the priority of the security interest in any Collateral is governed by the Uniform Commercial Code as in
effect in a jurisdiction other than the State of New York, “UCC” means the Uniform Commercial Code as in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating to such perfection, effect of
perfection or non-perfection or priority. 
 AGREEMENT 
 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
 Section 1. Establishment of Escrow Account. The Escrow Agent shall establish on the date hereof and maintain in the Trustee’s
name a “securities account” (within the meaning of Article 8 of the Uniform Commercial Code of the State of New York as in effect from time to time (the “New York UCC”)) (the “Escrow Account”) to which
there shall be immediately credited and held the Government Securities received by the Escrow Agent as directed by the Company and such additional funds and/or Government Securities received by the Escrow Agent from time to time after the date
hereof, all in accordance with Section 2 hereof. The funds and Government Securities credited to the Escrow Account shall be applied and disbursed only as provided herein. The Escrow Agent, the Company and the Trustee agree that the Escrow
Agent shall segregate the funds and Government Securities credited to the Escrow Account from its other funds held as an agent or in trust. The Escrow Agent shall treat all property held by it in 

  

 1 

 
the Escrow Account as “financial assets” (as defined in Section 8-102(a)(9) of the New York UCC) in accordance with Section 8-501 (or
successor section) of the New York UCC. All property from time to time credited to the Escrow Account constituting “security entitlements” as defined in Section 8-102(a)(17) of the New York UCC shall be held by the Escrow Agent on
behalf of the Trustee in the Escrow Account as “entitlement holder” and in no event shall the Company be or be deemed to be the “entitlement holder” (as such term is defined in Section 8-102(a)(7) of the New York UCC) with
respect thereto. 
 Section 2. Deposit to the Escrow Account; Investments. 
 (a) Concurrently with the execution and delivery of this Agreement, the Company shall deliver or cause to be delivered to the Escrow Agent for deposit in
the Escrow Account Government Securities with an aggregate cost of US$7,894,798.24, as described in Exhibit A (the “Initial Escrow Funds”). Concurrently with the original issuance of any additional Notes under the Indenture on or
after the date hereof in connection with the exercise of the Initial Purchaser’s option to purchase additional Notes pursuant to Section 2(b) of the Purchase Agreement, the Company shall deliver or cause to be delivered to the Escrow Agent
for deposit in the Escrow Account additional cash funds or Government Securities in an amount proportionately up to approximately US$800,000 (the “Additional Escrow Funds” and, together with the Initial Escrow Funds, the
“Escrow Funds”). The Escrow Funds to be deposited with the Escrow Agent shall be delivered or transferred by wire transfer immediately available funds of securities to the following account: 
  

			
	 The Bank of New York

	 ABA No.:

	 Account No.:

	 Account Name:
	 	
	 Re:
	 	
	 Attention:

 (b) Promptly following the deposit of Escrow Funds into the Escrow Account, the Escrow Agent shall
acknowledge such deposit in writing. For purposes of this Agreement, “Government Securities” shall mean (i) noncallable direct obligations of, or noncallable obligations the payment of principal of and interest on which are
unconditionally guaranteed by, the United States of America; (ii) noncallable bonds, debentures or notes issued by Federal National Mortgage Association, Government National Mortgage Association, Federal Farm Credit Banks, Federal Land Banks,
Federal Home Loan Banks, Farmers Home Administration, Federal Home Loan Mortgage Corporation or any of their successors or any other comparable federal agency hereafter created to the extent that said obligations are unconditionally guaranteed by
the United States of America; and (iii) holdings in any mutual fund or similar investment vehicle that holds only securities of the type set forth in (i) or (ii) above. Promptly following the deposit of any cash funds into the Escrow
Account, (A) the Escrow Agent shall invest such cash funds in the name of the Trustee in Government Securities as instructed by the Company, and (B) the Company shall provide written instructions to the Escrow Agent as to the specific
Government Securities in which funds are to be invested and until such instructions are given by the Company, the Escrow Agent shall not invest such funds. All such amounts shall remain so invested until the close of business on the Business Day
prior to any withdrawal by the Escrow Agent pursuant to Section 4 hereof. 
  

 2 

 Section 3. Security Interest. 
 (a) Pledge and Assignment. The Company hereby irrevocably pledges, assigns, grants, hypothecates and sets over to the Escrow Agent on behalf of the
Trustee, for the equal and ratable benefit of the Holders of the Notes, a first priority continuing security interest in all of the Company’s right, title and interest in and to all of the following whether now owned or existing or hereafter
acquired or created (collectively, the “Collateral”): 
 (i) all funds from time to time held in the Escrow Account,
including, without limitation, the Escrow Funds and all certificates and instruments, if any, from time to time, representing or evidencing the Escrow Account or the Escrow Funds; 
 (ii) all investments of funds in the Escrow Account, which all shall constitute Government Securities, and all Government Securities from time to time
held in the Escrow Account, whether held by or registered in the name of the Escrow Agent and all certificates and instruments, if any, from time to time representing or evidencing any such Government Securities; 
 (iii) all promissory notes, certificates of deposit, deposit accounts, checks and other instruments evidencing such Government Securities from time to
time hereafter delivered to or otherwise possessed by the Escrow Agent, for or on behalf of the Company, in substitution for or in addition to any or all of the then existing Collateral; 
 (iv) all interest, dividends, cash, instruments, securities and other property from time to time received, receivable or otherwise distributed in respect
of or in exchange for any or all of the then existing Collateral; and 
 (v) all proceeds of the foregoing including, without limitation, all
cash proceeds and all non-cash proceeds thereof. 
 The Company hereby appoints the Escrow Agent to act in such capacity hereunder on behalf
of the Trustee and the Holders of the Notes, for purposes of perfecting the foregoing pledge, assignment and security interest in the Collateral, and the Escrow Agent hereby accepts such appointment. Except as set forth in Section 9(b), for so
long as the foregoing pledge, assignment and security interest remains in effect, the Escrow Agent hereby waives any right of setoff or banker’s lien that it, in its individual capacity or in its capacity as an agent for Persons other than the
Trustee and the Holders of the Notes, may have with respect to any or all of the Collateral. 
 (b) Secured Obligations. This
Agreement secures the due and punctual payment and performance of all obligations of the Company, whether now or hereafter existing, under the Notes, the Indenture and this Agreement, including, without limitation, interest and premium, if any,
accrued on the Notes after the commencement of a bankruptcy, reorganization or similar proceeding involving the Company to the extent permitted by applicable law (collectively, the “Secured Obligations”). 
  

 3 

 (c) Delivery of Collateral. All certificates or instruments, if any, representing or evidencing
all or any portion of the Collateral shall be held by the Escrow Agent on behalf of the Trustee pursuant hereto and shall be in suitable form for transfer by delivery, or shall be accompanied by duly executed instruments of transfer or assignments
in blank, all in form and substance reasonably satisfactory to the Trustee, and all in form and substance sufficient to convey a valid security interest in such Collateral to the Trustee. All securities in uncertificated or book-entry form and all
security entitlements, if any, in each case representing or evidencing the Collateral shall be registered in the name of the Trustee (or any of its nominees) as the registered owner thereof, by book-entry or as otherwise appropriate so as to
properly identify the interest of the Trustee therein. In addition, the Trustee shall have the right, at any time following the occurrence of an Event of Default, to transfer to or to register in the name of the Trustee or any of its nominees any or
all other Collateral. Except as otherwise provided herein, all Collateral shall be deposited and held in the Escrow Account. The Escrow Agent shall have the right at any time to exchange certificates or instruments representing or evidencing all or
any portion of the Collateral for certificates or instruments of smaller or larger denominations in the same aggregate amount. 
 (d)
Maintaining the Escrow Account. So long as this Agreement is in full force and effect: 
 (i) subject to the other terms and
conditions of this Agreement, all Collateral held by the Escrow Agent pursuant to this Agreement shall be held in the Escrow Account, which shall be subject to the exclusive dominion and control of the Trustee for the benefit of the Trustee and the
equal and ratable benefit of the Holders of the Notes; 
 (ii) the Escrow Account and all Collateral from time to time therein shall remain
segregated from all other funds or other property otherwise held by the Trustee or the Escrow Agent, as applicable; 
 (iii) all amounts
(including, without limitation, any Escrow Funds or interest on or other proceeds of the Escrow Funds or any Government Securities held in the Escrow Account) shall remain on deposit in the Escrow Account until withdrawn in accordance with this
Agreement; and 
 (iv) the Escrow Agent shall take such steps as are necessary to its knowledge to ensure that the Trustee is the holder or
entitlement holder (as the case may be) of all of the Collateral and that either the Trustee for the equal and ratable benefit of the Holders of the Notes or, to the extent required by applicable law, the Escrow Agent, for the benefit of the Trustee
and the equal and ratable benefit of the Holders of the Notes, is the holder or entitlement holder of all Government Securities and other uncertificated securities on the books of the applicable Federal Reserve Bank or other applicable securities
intermediary. 
 (e) Further Assurances. Prior to, contemporaneously herewith, and at any time and from time to time hereafter, the
Company shall, at the Company’s expense, execute and deliver to the Trustee or its designee such other instruments and documents, and take all further actions as are necessary or advisable or that the Trustee may deem reasonably necessary or
advisable or that the Trustee may reasonably request in order to confirm or perfect the security interest of the 

  

 4 

 
Trustee granted or purported to be granted hereby or to enable the Trustee to exercise and enforce its rights and remedies hereunder with respect to any
Collateral, and the Company shall take all necessary action to preserve and protect the security interest created hereby as a first priority, perfected lien and encumbrance upon the Collateral. 
 (f) Transfers and Other Liens. The Company agrees that it shall not (i) sell, assign (by operation of law or otherwise) or otherwise dispose
of, or grant any option with respect to, any of the Collateral or (ii) create or permit to exist any Lien upon or with respect to any of the Collateral, except for the security interest under Section 3 of this Agreement. 
 (g) Limitation on Duty of Escrow Agent in Respect of Collateral; Indemnification. (i) Beyond the exercise of reasonable care in the custody
thereof, the Escrow Agent shall have no duty as to any Collateral in its possession or control or in the possession or control of any agent or bailee or any income thereon or as to preservation of rights against prior parties or any other rights
pertaining thereto and the Escrow Agent shall not be responsible for filing any financing or continuation statements or recording any documents or instruments in any public office at any time or times or otherwise perfecting or maintaining the
perfection of any security interest in the Collateral. The Escrow Agent shall be deemed to have exercised reasonable care in the custody of the Collateral in its possession if the Collateral is accorded treatment substantially equal to that which it
accords its own property and shall not be liable or responsible for any loss or diminution in the value of any of the Collateral, by reason of the act or omission of any carrier, forwarding agency or other agent or bailee selected by the Escrow
Agent in good faith. 
 (ii) The Escrow Agent shall not be responsible for the existence, genuineness or value of any of the Collateral or
for the validity, perfection, priority or enforceability of the Liens in any of the Collateral, whether impaired by operation of law or by reason of any of any action or omission to act on its part hereunder, except to the extent such action or
omission constitutes gross negligence, bad faith or willful misconduct on the part of the Escrow Agent, for the validity or sufficiency of the Collateral or any agreement or assignment contained therein, for the validity of the title of the Company
to the Collateral, for insuring the Collateral or for the payment of taxes, charges, assessments or Liens upon the Collateral or otherwise as to the maintenance of the Collateral. 
 Section 4. Distributions from Escrow Account. Escrow Funds (or Government Securities that are scheduled to mature or that can be
liquidated on or before the date of the applicable Scheduled Interest Payment) on deposit in the Escrow Account (including, without limitation, any interest or investment income on or other proceeds of the Escrow Funds) shall be withdrawn by the
Escrow Agent and transferred only to persons designated herein in accordance with this Section 4: 
 (a) Event of Default. 
 (i) For so long as an Event of Default has occurred and is continuing under the Indenture, no amounts shall be disbursed from the Escrow Account, except
as provided in clause (ii) below. 
 (ii) If (A) any Event of Default has occurred and is continuing under Section 8.01
(Events of Default) of the Indenture, (B) any other Event of Default has occurred and is continuing that 

  

 5 

 
results in the acceleration of the payment of principal, interest, premium, if any, pursuant to the terms of the Indenture, or (C) any material breach
or violation of any representation, warranty or agreement contained in this Agreement has occurred: 
 (I) The Trustee may, without notice to
the Company except as required by applicable law and at any time or from time to time, direct the Escrow Agent to liquidate all Collateral and transfer all proceeds thereof to the Paying Agent to apply such funds in accordance with Section 8.02
(Acceleration) of the Indenture. 
 (II) The Trustee (and/or the Escrow Agent at its direction and on its behalf) may also, in addition to
the other rights and remedies provided for herein, exercise in respect of the Collateral all the rights and remedies of a secured party upon default under the New York UCC, and may also, without notice except as specified below, sell the Collateral
or any part thereof in one or more parcels at public or private sales, at any of the Trustee’s or the Escrow Agent’s offices or elsewhere, for cash, on credit or for future delivery, and upon such other terms as the Trustee may deem
commercially reasonable. The Company agrees that, to the extent notice of sale shall be required by law, at least twenty (20) days’ notice to the Company of the time and place of any public sale or the time after which any private sale is
to be made shall constitute reasonable notification. The Trustee and the Escrow Agent shall not be obligated to make any sale of Collateral regardless of notice of sale having been given. The Trustee and/or the Escrow Agent on its behalf may adjourn
any public or private sale from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and place to which it was so adjourned. 
 (III) Any cash held by the Escrow Agent as Collateral and all net cash proceeds received by the Trustee or the Escrow Agent in respect of any sale or
liquidation of, collection from, or other realization upon all or any part of the Collateral may, in the discretion of the Trustee, be held by the Trustee or the Escrow Agent as collateral for, and then or at any time thereafter be applied (after
payment of any costs and expenses incurred in connection with any sale, liquidation or disposition of or realization upon the Collateral and the payment of any amounts payable to the Trustee or the Escrow Agent) in whole or in part by the Trustee
for the equal and ratable benefit of the Holders of the Notes against all or any part of the Secured Obligations in such order as described in Section 8.10 (Priorities) of the Indenture. 
 (b) Scheduled Interest Payments. Pursuant to the Notes, the Company is obligated to make payments of interest on the Notes on each of
October 1, 2008, April 1, 2009, October 1, 2009 and April 1, 2010 (each, a “Scheduled Interest Payment”). The Scheduled Interest Payments due on the Notes may be made, at the election of the Company,
from (1) amounts held in the Escrow Account in accordance with the procedures set forth in subsection (i) below or (2) other sources of funds available to the Company, or from any combination of (1) and (2) above;
provided, however, that nothing herein shall be construed as limiting the Company’s obligation to make all interest payments due on the Notes at the times and in the amounts required by the Notes, which obligation shall be absolute and
unconditional. 
 (i) Payment of Interest. Unless the Company elects to cause all or a portion of a Scheduled Interest Payment to be
made from a source of funds other than the Escrow Account (“Company Funds”) by delivering written notice of such election to the Escrow Agent not later 

  

 6 

 
than five (5) Business Days prior to the date of the applicable Scheduled Interest Payment (the “Election Deadline Date”), the Escrow
Agent shall transfer from the Escrow Account to the Paying Agent funds (or Government Securities that are scheduled to mature or that can be liquidated on or before the date of the applicable Scheduled Interest Payment) necessary to provide for
payment in full (or, if the Company intends, as set forth in such written notice, to make a portion of such interest payment with funds or Government Securities in the Escrow Account and the remainder of such interest payment with Company Funds,
such portion) of the next Scheduled Interest Payment on the Notes. Unless the Escrow Agent has received the foregoing written notice from the Company on or prior to the Election Deadline Date, the Escrow Agent shall, at or prior to 1:00 p.m., New
York City time, on the day that is no later than one (1) Business Day prior to the date of the applicable Scheduled Interest Payment, transfer such funds (or such Government Securities, as applicable) to the Paying Agent as set forth in
paragraph (e)(ii) hereof, and shall notify the Company in writing that it has made such transfer to the Paying Agent. If the Company does not intend to utilize the funds (or Government Securities) in the Escrow Account to make any such
Scheduled Interest Payment in full, and has delivered a written notice to the Escrow Agent to such effect as described above, then the Company shall make the Scheduled Interest Payment (or such portion thereof) from Company Funds. 
 (ii) Release of Funds to the Company Due to Direct Payment of Interest by the Company. If the Company makes any Scheduled Interest Payment or a
portion of any Scheduled Interest Payment from Company Funds, the Company may, after payment in full of such Scheduled Interest Payment and upon at least five (5) Business Days prior notice, direct the Escrow Agent, so long as no Event of
Default has occurred and is continuing, to release to the Company (or at the direction of the Company, to release to a designated third party) an amount of funds or Government Securities from the Escrow Account, the sum of the cumulative interest
payments on and aggregate principal amount of which is less than or equal to the amount of Company Funds so expended in making the Scheduled Interest Payment. Upon receipt of such notice, the Escrow Agent shall pay over or transfer to the Company
the requested amount. 
 (c) Investment Income. Subject to the provisions of Sections 3 and 4(a) above, all interest or
investment income earned on amounts on deposit in the Escrow Account is the personal property of the Company and is subject to this Agreement. Any interest or investment income earned on amounts on deposit in the Escrow Account shall remain in the
Escrow Account until withdrawn by the Escrow Agent and transferred to a person designated herein in accordance with this Section 4. 
 (d) Excess Escrow Funds. If, in the course of funding the Escrow Account pursuant to Section 2(a) hereof, the Company either elects or is required to deposit in the Escrow Account funds in an amount greater than that which is
required to fund the payment of the Scheduled Interest Payments (in order to permit the Escrow Agent to purchase an amount of Government Securities equal to or greater than that which is required to fund the payment of the Scheduled Interest
Payments or otherwise) (any such excess amounts being hereinafter referred to as “Excess Escrow Funds”), the Company may, upon at least five (5) Business Days prior written notice, direct the Escrow Agent, so long as no Event
of Default has occurred and is continuing, to release to the Company (or at the direction of the Company, to release to a designated third party) an amount of funds or Government Securities from the Escrow Account, the sum of the 

  

 7 

 
cumulative interest payments on and aggregate principal amount of which is less than or equal to the amount of the Excess Escrow Funds. Upon receipt of such
notice, the Escrow Agent shall pay over or transfer to the Company the requested amount. 
 (e) Wire Transfer. 
 (i) All funds distributed from the Escrow Account to the Company shall be transferred by wire transfer of immediately available funds to the following
account: 
  

	
	UBS Financial Services
	ABA No.:
	Account No.:
	F/C:

 (ii) All funds (or Government Securities that are scheduled to mature or that can be liquidated on
or before the date of the applicable Scheduled Interest Payment) distributed from the Escrow Account to the Paying Agent for payment on the Notes shall be transferred by an account-to-account transfer of immediately available funds to the following
account: 
  

	
	The Bank of New York
	ABA No.:
	Account No.:
	Attention:
	Re:

 (f) Written Instructions; Certificates. The Company shall, upon request by the Escrow
Agent, execute and deliver to the Escrow Agent such additional written instructions and certificates hereunder as may be reasonably required by the Escrow Agent to give effect to this Section 4. 
 Section 5. Termination of Security Interest. Upon payment in full of the Scheduled Interest Payments, the security interest evidenced
by this Agreement in any Collateral remaining in the Escrow Account shall automatically terminate and be of no further force and effect. Furthermore, upon the release of any Collateral from the Escrow Account in accordance with the terms of this
Agreement, whether upon release of such Collateral to Holders of Notes as payment of interest on the Notes, to the Company pursuant to Sections 4(b)(ii) or 4(c) or otherwise, the security interest evidenced by this Agreement in such Collateral
so released shall automatically terminate and be of no further force and effect. The Trustee and the Escrow Agent shall, upon request by the Company, execute and deliver to the Company such additional written instructions and certificates hereunder
as may be reasonably required by the Company and acceptable to the Escrow Agent and the Trustee to give effect to this Section 5, including without limitation changing the name on the Escrow Account to that of the Company or its designee or
transferring the property in the Escrow Account to another account at Escrow Agent in the name of the Company or its designee. 
 Section 6. Attorneys-in-Fact. The Company hereby irrevocably appoints each of the Trustee and the Escrow Agent as the Company’s attorney-in-fact, coupled with an interest, with 

  

 8 

 
full authority in the place and stead of the Company and in the name of the Company or otherwise, from time to time in the Trustee’s or the Escrow
Agent’s discretion to take any action and to execute any instrument that is necessary or advisable or that the Trustee or the Escrow Agent may deem necessary or advisable to accomplish the purposes of this Agreement, including, without
limitation, to receive, endorse and collect all instruments made payable to the Company representing any interest payment, dividend or other distribution in respect of the Collateral or any part thereof and to give full discharge for the same, and
the expenses of the Trustee and the Escrow Agent incurred in connection therewith shall be payable by the Company. 
 Section 7.
Trustee or Escrow Agent May Perform. Without limiting the authority granted under Section 6 hereof, if the Company fails to perform any agreement contained herein, the Trustee or the Escrow Agent may, but shall not be obligated to,
itself perform, or cause performance of, such agreement, and the expenses of the Trustee or the Escrow Agent incurred in connection therewith shall be payable by the Company and shall be secured by the Collateral. 
 Section 8. Representations, Warranties and Agreements. 
 (a) The Company represents, warrants and agrees that: 
 (i) The execution, delivery and performance by the
Company of this Agreement is within its corporate power, has been duly authorized by all necessary corporate action of the Company, and does not contravene, or constitute a default under, any provision of applicable law or regulation or of any
agreement, judgment, injunction, order, decree or other instrument binding upon the Company (except as would not, individually or in the aggregate, have a Material Adverse Effect (as defined in the Purchase Agreement)), or of the certificate of
incorporation or bylaws of the Company or result in the creation or imposition of any Lien on any assets of the Company other than the Lien contemplated hereby. 
 (ii) The Company has full corporate power and authority to enter into this Agreement and has the right to vote, pledge and grant a security interest in the Collateral as provided by this Agreement. 
 (iii) This Agreement has been duly executed and delivered by the Company and constitutes a legal, valid and binding obligation of the Company,
enforceable against the Company in accordance with its terms. 
 (iv) Upon the execution and delivery of this Agreement by the parties hereto
and the delivery to the Escrow Agent of the Collateral, the pledge of the Collateral pursuant to this Agreement creates a valid and perfected first priority security interest in the Collateral, securing the payment of the Secured Obligations for the
benefit of the Trustee, the Escrow Agent and the Holders of the Notes, enforceable as such against all creditors of the Company and any persons purporting to purchase any of the Collateral from each of them. 
 (v) No consent of any other person and no consent, authorization, approval, or other action by, and no notice to or filing with, any governmental
authority or regulatory body is required either (i) for the pledge by the Company of the Collateral pursuant to this Agreement or for the execution, delivery or performance of this Agreement by each of them or (ii) for the exercise by the
Trustee or the Escrow Agent of the remedies in respect of the Collateral pursuant to this Agreement. 
  

 9 

 (vi) No litigation, investigation or proceeding of or before any arbitrator or governmental authority is
pending or, to the best knowledge of the Company, threatened by or against the Company or against any of its properties or revenues with respect to this Agreement or any of the transactions contemplated hereby. 
 (vii) The pledge of the Collateral pursuant to this Agreement is not prohibited by any applicable law or governmental regulation, release, interpretation
or opinion of the Board of Governors of the Federal Reserve System or other regulatory agency (including, without limitation, Regulations T, U and X of the Board of Governors of the Federal Reserve System). 
 (viii) All information set forth herein relating to the Collateral is accurate and complete in all material respects. 
 (b) The Escrow Agent represents, warrants and agrees that: 
 (i) The Escrow Agent is a “bank” within the meaning of Section 9-102(a)(8) of the New York UCC. 
 (ii) The Escrow Agent is a “securities intermediary” within the meaning of Section 8-102(a)(14) of the New York UCC. 
 (c) The Trustee represents, warrants and agrees that it is an “entitlement holder” within the meaning of Section 8-102(a)(7) of the New York UCC. 
 Section 9. Fees and Expenses of Escrow Agent. 
 (a) The Company agrees to pay the Escrow
Agent its agreed-upon compensation for its services as Escrow Agent hereunder promptly upon request therefor, and to reimburse the Escrow Agent for all reasonable and documented expenses of or disbursements incurred by the Escrow Agent in the
performance of its duties hereunder, including the reasonable fees, expenses and disbursements of legal counsel to the Escrow Agent. 
 (b)
The Escrow Agent shall have a lien upon any investment income on deposit in the Escrow Account solely for any costs, expenses and fees that may arise hereunder and may retain that portion of the investment income in the Escrow Account equal to such
unpaid amounts, until all such costs, expenses and fees have been paid. 
 Section 10. Rights, Duties and Immunities of Escrow
Agent. Acceptance by the Escrow Agent of its duties under this Agreement is subject to the following terms and conditions, which all parties to this Agreement hereby agree shall govern and control the rights, duties and immunities of the
Escrow Agent: 
 (a) The duties and obligations of the Escrow Agent shall be determined solely by the express provisions of this Agreement and
the Escrow Agent shall not be liable except for the performance of such duties and obligations as are specifically set out in this Agreement. The 

  

 10 

 
Escrow Agent shall not be required to inquire as to the performance or observation of any obligation, term or condition under any agreement or arrangement
between the Company and the Trustee. The Escrow Agent is not a party to, and is not bound by, any agreement or other document out of which this Agreement may arise. The Escrow Agent shall be under no liability to any party hereto by reason of any
failure on the part of any party hereto (other than the Escrow Agent) or any maker, guarantor, endorser or other signatory of any document or any other person to perform such person’s obligations under any such document. The Escrow Agent shall
not be bound by any waiver, modification, termination or rescission of this Agreement or any of the terms hereof, unless evidenced by a writing delivered to the Escrow Agent signed by the proper party or parties and, if the duties or rights of the
Escrow Agent are affected, unless it shall give its prior written consent thereto. This Agreement shall not be deemed to create a fiduciary relationship between the Escrow Agent and any of the other parties hereto under state or federal law.

 (b) The Escrow Agent shall not be responsible in any manner for the validity or sufficiency of this Agreement or of any property delivered
hereunder, or for the value or collectibility of any note, check or other instrument, if any, so delivered, or for any representations made or obligations assumed by any party other than the Escrow Agent. Nothing herein contained shall be deemed to
obligate the Escrow Agent to deliver any cash, instruments, documents or any other property referred to herein, unless the same shall have first been received by the Escrow Agent pursuant to this Agreement. 
 (c) The Company shall reimburse and indemnify the Escrow Agent for, and hold it harmless against, any loss, liability or expense, including but not
limited to reasonable legal counsel fees, incurred without bad faith, gross negligence or willful misconduct on the part of the Escrow Agent, arising out of or in conjunction with its acceptance of, or the performance of its duties and obligations
under, this Agreement, as well as the costs and expenses of defending against any claim or liability arising out of or relating to this Agreement. 
 (d) The Escrow Agent shall be fully protected in acting on and relying upon any written notice, direction, request, waiver, consent, receipt or other paper or document which the Escrow Agent in good faith believes to have been signed and
presented by the Company. 
 (e) The Escrow Agent shall not be liable for any error of judgment, or for any act done or step taken or omitted
by it in good faith or for any mistake in act or law, or for anything which it may do or refrain from doing in connection herewith, except its own gross negligence or willful misconduct. 
 (f) The Escrow Agent may seek the advice of legal counsel in the event of any dispute or question as to the construction of any of the provisions of this
Agreement or its duties hereunder, and except for its own bad faith, gross negligence or willful misconduct it shall incur no liability and shall be fully protected in respect of any action taken, omitted or suffered by it in good faith in
accordance with the advice or opinion of such counsel. 
 (g) The parties hereto agree that if the Escrow Agent is notified by the Trustee,
the Company or the Holders of the Notes of any dispute with respect to the payment, ownership or right of possession of the Escrow Account, the Escrow Agent is authorized and directed to retain 

  

 11 

 
in its possession, without liability to anyone, except for its bad faith, willful misconduct or gross negligence, all or any part of the Escrow Account until
such dispute shall have been settled either by mutual agreement by the parties concerned or by the final order, decree or judgment of a court or other tribunal of competent jurisdiction in the United States of America, and a notice executed by the
parties to the dispute or their authorized representatives shall have been delivered to the Escrow Agent setting forth the resolution of the dispute. The Escrow Agent shall be under no duty whatsoever to institute, defend or partake in such
proceedings. 
 (h) The agreements set forth in this Section 10 shall survive the resignation or removal of the Escrow Agent, the
termination of this Agreement and the payment of all amounts hereunder. 
 (i) No provision of this Indenture shall require the Escrow Agent
to expend or risk its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder, or in the exercise of any of its rights or powers. 
 (j) In no event shall the Escrow Agent be responsible or liable for special, indirect, or consequential loss or damage of any kind whatsoever (including,
but not limited to, loss of profit) irrespective of whether the Escrow Agent has been advised of the likelihood of such loss or damage and regardless of the form of action. 
 Section 11. Resignation or Removal of Escrow Agent. 
 (a) The Escrow Agent shall have the right to resign upon 30 days’ prior written notice to the Company and the Trustee. The Company shall have the right to remove the Escrow Agent upon 30 days’ prior written
notice to the Escrow Agent and the Trustee. In the event of such resignation or removal, the Company shall appoint a successor escrow agent hereunder by delivering to the Escrow Agent a written notice of such appointment. Upon receipt of such
notice, the Escrow Agent shall upon payment of its charges hereunder deliver to the designated successor escrow agent all money and other property held hereunder and shall thereupon be released and discharged from any and all further
responsibilities whatsoever under this Agreement; provided, however, that the Escrow Agent shall not be deprived of its compensation earned prior to such time. 
 (b) If no successor escrow agent shall have been designated by the date specified in the Escrow Agent’s notice, all obligations of the Escrow Agent hereunder shall nevertheless cease and terminate. The Escrow
Agent’s sole responsibility thereafter shall be to keep safely all property then held by it and to deliver the same to a person designated by the other parties hereto or in accordance with the direction of a final order or judgment of a court
of competent jurisdiction. 
 Section 12. Miscellaneous. 
 (a) Waiver. No waiver of any provision of this Agreement nor consent to any departure by any party therefrom shall in any event be effective unless
the same shall be in writing and signed by each of the non-breaching parties and then such waiver or consent shall be effective only in the specific instance and for the specific purpose for which given. 
  

 12 

 (b) Severability. If, for any reason whatsoever, any one or more of the provisions of this
Agreement shall be held or deemed to be inoperative, unenforceable or invalid in a particular case or in all cases, such circumstances shall not have the effect of rendering any of the other provisions of this Agreement inoperative, unenforceable or
invalid, and the inoperative, unenforceable or invalid provision shall be construed as if it were written so as to effectuate, to the maximum extent possible, the parties’ intent. 
 (c) Binding Effect. This Agreement shall inure to and be binding upon the parties and their respective successors and permitted assigns;
provided, however, that the Company may not assign its rights or obligations hereunder without the express prior written consent of the Trustee. 
 (d) Choice of Law. The existence, validity, construction, operation and effect of any and all terms and provisions of this Agreement shall be determined in accordance with and governed by the internal laws of
the State of New York including, without limitation the New York UCC, without giving effect to the conflicts of law principles of such State except Section 5-1401 of the New York General Obligations Law. 
 (e) Entire Agreement. This Agreement, the Purchase Agreement, the Notes and the Indenture contain the entire agreement among the parties with
respect to the subject matter hereof and supersede any and all prior agreements, understandings and commitments with respect thereto, whether oral or written; provided, however, that this Agreement is executed and accepted by the Trustee and
the Escrow Agent subject to all terms and conditions of its acceptance of the trust under the Indenture (including without limitation Section 9.07 thereof), as fully as if all of the said terms and conditions were set forth at length herein.

 (f) Amendments. This Agreement may be amended only by a writing signed by duly authorized representatives of all parties. The
Trustee and the Escrow Agent may execute an amendment to this Agreement only if the requisite consent of each of the Holders of the Notes required by Article 11 (Amendments; Supplements and Waivers) of the Indenture has been obtained, unless no such
consent is required by such Section 11.01 (Without Consent of Holders) of the Indenture. 
 (g) Notices. All notices, requests,
instructions, orders and other communications required or permitted to be given or made under this Agreement to any party hereto shall be delivered in writing by hand delivery or overnight delivery, or shall be delivered by facsimile or
telephonically with machine confirmation of full delivery not more than 24 hours following such facsimile or telephonic notice. A notice given in accordance with the preceding sentence shall be deemed to have been duly given upon the sending
thereof. Notices should be addressed as follows: 
 To the Company: 
 Raser Technologies, Inc. 
 5152 North Edgewood Drive 
 Suite 375 
 Provo, Utah 84604 
 Attention: General Counsel 
 Facsimile number: (801) 374-3314 
 Telephone number: (801) 765-1200 
  

 13 

 With a copy (which shall not constitute notice) to: 
 Stoel Rives LLP 
 201 South Main Street 
 Suite 1100 
 Salt Lake City, Utah 84111 
 Attention: Reed W. Topham 
 Facsimile number: (801) 578-6999 
 Telephone number: (801) 328-3131 
 To the Trustee or the Escrow Agent: 
 The Bank of New York 
 101 Barclay Street, Fl. 8W 
 New York, NY 10286 
 Attention: Mary K. LaGumina 
 Facsimile number: (212) 815-5707 
 Telephone number: (212) 815-4812 
 or at such other address, facsimile number or phone number as the specified entity most
recently may have designated in writing in accordance with this paragraph to the other parties. 
 (h) Counterparts. This Agreement
may be executed in one or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page to this Agreement by facsimile
shall be effective as delivery of a manually executed counterpart of this Agreement. 
 (i) Interpretation. The headings of the
sections contained in this Agreement are solely for convenience or reference and shall not affect the meaning or interpretation of this Agreement. 
 (j) Waiver of Jury Trial. EACH OF THE COMPANY AND THE ESCROW AGENT HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO
THIS INDENTURE, THE NOTES OR THE TRANSACTION CONTEMPLATED HEREBY. 
 (k) Force Majeure. In no event shall the Escrow Agent be
responsible or liable for any failure or delay in the performance of its obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of
war or terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Escrow
Agent shall use reasonable efforts which are consistent with accepted practices in the banking industry to resume performance as soon as practicable under the circumstances. 
 [Signature pages follow] 
  

 14 

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

  

			
	RASER TECHNOLOGIES, INC.
		
	By:	 	 /s/ MARTIN F. PETERSEN

	Name:	 	Martin F. Petersen
	Title:	 	Chief Financial Officer
	
	THE BANK OF NEW YORK, as Escrow Agent
		
	By:	 	 /s/ MARY LAGUMINA

	Name:	 	Mary LaGumina
	Title:	 	Vice President

 Acknowledged By: 
  

			
	THE BANK OF NEW YORK, as Trustee
		
	By:	 	 /s/ MARY LAGUMINA

	Name:	 	Mary LaGumina
	Title:	 	Vice President

  

 15 

 EXHIBIT A 
 DESCRIPTION OF GOVERNMENT SECURITIES INCLUDED IN INITIAL ESCROW FUNDS 
  

														
	 CUSIP
	  	Maturity	  	Principal
Amount	  	Cost	  	Coupon Date	  	Coupon
Amount
	    912820NQ6	  	09/30/08	  	$	2,056,000.00	  	$	2,042,718.24	  	10/01/08	  	$	2,055,555.56
	    912820PH4	  	03/31/09	  	$	2,000,000.00	  	$	1,967,720.00	  	04/01/09	  	$	2,000,000.00
	    912820QA8	  	09/30/09	  	$	2,000,000.00	  	$	1,951,280.00	  	10/01/09	  	$	2,000,000.00
	    912820LL9	  	03/15/10	  	$	2,000,000.00	  	$	1,933,080.00	  	04/01/10	  	$	2,000,000.00
		  		  	 	 	  	 	 	  		  	 	 
	Total	  		  	$	8,056,000.00	  	$	7,894,798.24	  		  	$	8,055,555.56

  

 A-1

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