Document:

Exhibit

EXHIBIT 10.77

February 28, 2020

BY HAND DELIVERY

Collin Cochrane     
c/o Redwood Trust, Inc.
One Belvedere Place, Suite 300
Mill Valley, CA  94941

    
Dear Mr. Cochrane:
This letter agreement is to memorialize discussions we have had relating to your compensation terms with Redwood Trust, Inc. (together with its subsidiaries, the “Company”).
1.    Cash Award.  If you remain continuously employed by the Company from the date hereof through March 1, 2022 (the “Specified Period”), you will be entitled to receive a cash award (the “Cash Award”) of $500,000 (Five-Hundred Thousand Dollars), payable at the end of the pay period immediately following the end of the Specified Period.
A.    In the event that your employment with the Company is terminated by the Company without “Cause” (as defined below) prior to the end of the Specified Period, subject to your compliance with the terms set forth in paragraph 4 below, you will be entitled to receive the Cash Award within 30 days following your termination date, notwithstanding that you were not continuously employed during the Specific Period.
2.    Annual Bonuses During Specified Period.  While you acknowledge that the amount of your annual year-end bonus is, and will continue to be, at the discretion of the Company, the Company agrees that:
A.    The target amount of your 2020 annual year-end bonus will remain at its current level of 125% of your 2020 base salary. 
B.    In the event that your employment with the Company is terminated by the Company without “Cause” (as defined below) prior to the end of the Specified Period, subject to your compliance with the terms set forth in paragraph 4 below, you will be entitled to receive an annual year-end bonus for any full calendar year during which you were employed during the Specified Period (or, if you were employed for only a portion of a calendar year during the Specified Period, a pro-rated annual year-end bonus for such portion of a calendar year), with the amount of any such bonus being at the discretion of the Company, and, in any event, payable within 30 days following your termination date. 
3.    Amendment to Currently Outstanding Equity Awards.  Annex A to this letter agreement lists your currently outstanding but unvested equity awards as of February 28, 2020 (collectively, “Outstanding Equity Awards”), which include both deferred stock units (“Outstanding DSUs”) and performance stock units (“Outstanding PSUs”).  This letter agreement hereby amends each of the award agreements between you and the Company pursuant to which the Outstanding Equity Awards were granted as follows:
A.    Currently Outstanding PSUs.  With respect to award agreements for Outstanding PSUs, notwithstanding provisions therein providing for the full or partial forfeiture of such PSUs upon a termination of employment without cause, in the event that your employment with the Company is terminated by the Company without “Cause” (as defined below) prior to the scheduled final vesting date for such PSUs, subject to your compliance with the terms set forth in paragraph 4 below, the target shares granted therein, to the extent not already vested or forfeited at the time of such termination, shall not be pro-rated based on time served during the performance period and such PSUs shall continue to be eligible 

to vest and become payable based on the performance goals and other performance-based vesting terms set forth therein.  
B.    Currently Outstanding DSUs.  With respect to award agreements for Outstanding DSUs, notwithstanding provisions therein providing for the full or partial forfeiture of DSUs upon a termination of employment without cause, in the event that your employment with the Company is terminated by the Company without “Cause” (as defined below) prior to the scheduled final vesting date for such DSUs, subject to your compliance with the terms set forth in paragraph 4 below, the award shares granted therein, to the extent not already vested or forfeited at the time of such termination shall immediately vest and not be forfeited.
4.    Conditions to Termination-Related Provisions.  The payments and vesting terms described in paragraphs 1.A, 2.B, 3.A, and 3.B above, are subject to, and contingent on, you satisfying each of the following conditions immediately prior to any and each instance of the Company paying or delivering any amount or consideration to you in accordance therewith:
 (i) you honor any post-employment obligations to the Company, including, but not limited to, the return of any Company property; and
(ii) you execute and deliver to the Company, within 21 days following your employment termination date, a Separation and Release Agreement consistent with the standard form used by the Company (which would contain, among other terms, a general release of claims by you of the Company and its affiliates) and you not revoking the Separation and Release Agreement after any waiting or revocation period required under applicable law. 
5.    Defined Terms - “Cause”.  Solely for purposes of this letter agreement, “Cause” for termination of employment shall mean any one of the following events (as determined in good faith by the Company):
 (i) your commission of, indictment for, or plea of nolo contendere to, a felony or any other crime involving moral turpitude, 
(ii)  with respect to the Company or its business and operations, (A) any act or omission by you involving, or attempting, embezzlement, misappropriation, or fraud or (B) any act or omission by you involving dishonesty, misrepresentation or similar behavior, which, in the case of this clause (B) is reasonably likely to have an adverse effect on, or has injured or harmed or is reasonably likely to injure or harm, the Company or its business and operations in a manner that is significant,
(iii) (A) your breach of any Company policy (including any code of conduct or harassment policies) which is reasonably likely to have an adverse effect on, or has injured or harmed or is reasonably likely to injure or harm, the Company or any of its affiliates in a manner that is significant or (B) any significant breach by you of an agreement with the Company or any of its affiliates, 
(iv) your breach of any fiduciary duty or fiduciary obligation to the Company or any of its affiliates which is reasonably likely to have an adverse effect on, or has injured or harmed or is reasonably likely to injure or harm, the Company or any of its affiliates, 
(v) any act of negligence, recklessness, or willful misconduct that has had or is reasonably likely to have an adverse effect on, or has injured or harmed or is reasonably likely to injure or harm, the Company or any of its affiliates or any of its or their business affairs, reputation, counterparties, employees, agents or vendors in a manner that is significant, 
(vi) your failure to substantially perform your job or duties to the Company or any of its affiliates as reasonably determined by the Company, which failure shall continue for thirty (30) days after written notice thereof by the Company to you, or

(vii) your unauthorized use or disclosure of trade secrets or confidential or proprietary information of the Company or pertaining to the Company’s business.

*     *     *
If you become eligible to receive any payments and/or taxable income in accordance with the terms of this letter agreement, the Company will make withholdings and deductions from taxable amounts delivered to you in accordance with applicable law and your then applicable withholding designations that the Company has customarily applied.  
Any controversy or claim arising out of or relating to this letter agreement, including any claim of a breach of this letter agreement (a “Dispute”), shall be resolved in the manner set forth in dispute resolution/arbitration provisions of the existing Employment and Confidentiality Agreement between you and the Company dated March 20, 2013.
This letter agreement sets forth the entire agreement between the parties hereto and fully supersedes any and all prior agreements or understandings, written or oral, between the parties hereto pertaining to the subject matter hereof.
You have the right to consult with the attorney of your choice before signing this letter agreement or any Separation and Release Agreement, and are hereby advised to consult with an attorney in regard to these matters.

[Signature page follows...]

Please acknowledge your agreement to the foregoing by signing below in the space provided for your signature and by returning such signed original to me.
Sincerely,
Redwood Trust, Inc. 

By: /s/ Andrew P. Stone                   
       Name: Andrew P. Stone     
       Title: Executive Vice President
Agreed and Acknowledged:            
/s/ Collin L. Cochrane
Collin L. Cochrane
                        
  Date: February 28, 2020atni_EX_4-1

		
			EXHIBIT 4.1
		

		
			DESCRIPTION OF THE REGISTRANT’S SECURITIES
		

		
			REGISTERED PURSUANT TO SECTION 12 OF THE
		

		
			SECURITIES EXCHANGE ACT OF 1934
		

		
			 
		

		
			The following description sets forth certain material terms and provisions of ATN International,  Inc.’s (“we,” “us,” and “our”) securities that are registered under Section 12 of the Securities Exchange Act of 1934, as amended.
		

		
			 
		

		
			DESCRIPTION OF CAPITAL STOCK
		

		
			 
		

		
			The following description is a summary and does not purport to be complete. It is subject to, and qualified in its entirety by reference to, our Restated Certificate of Incorporation, as amended (our “Certificate of Incorporation”) and our Amended and Restated By-laws (our “Bylaws”), each of which are incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this Exhibit 4.1 is a part.  The terms of these securities also may be affected by Delaware law.
		

		
			 
		

		
			General
		

		
			 
		

		
			Our authorized capital stock consists of 50,000,000 shares of common stock, par value $0.01 per share, and 10,000,000 shares of preferred stock, par value $0.01 per share.
		

		
			 
		

		
			Common Stock
		

		
			 
		

		
			Subject to any preferential rights that may be applicable to any outstanding shares of preferred stock, holders of our common stock are entitled to one vote per share for the election of directors and on all other matters that require stockholder approval. Subject to preferences that may be applicable to any outstanding shares of preferred stock, the holders of common stock are entitled to receive ratably such dividends as may be declared by the Board of Directors out of funds legally available therefor. In the event of a liquidation, dissolution or winding up of our company, holders of the common stock are entitled to share ratably in all assets remaining after payment of liabilities and the liquidation preferences of any outstanding shares of preferred stock. Holders of common stock have no preemptive rights and no right to convert their common stock into any other securities. There are no redemption or sinking fund provisions applicable to our common stock
		

		
			 
		

		
			The outstanding shares of our common stock are legally issued, fully paid and nonassessable. The common stock does not have any preemptive, subscription or conversion rights. Additional shares of authorized common stock may be issued, as authorized by our Board of Directors from time to time, without stockholder approval, except as may be required by applicable stock exchange requirements.
		

		
			 
		

		
			Preferred Stock
		

		
			 
		

		
			Under our Certificate of Incorporation, our Board of Directors has the authority, without further action by stockholders, to designate up to 10,000,000 shares of preferred stock in one or more series and to fix the rights, preferences, privileges, qualifications and restrictions granted to or imposed upon the preferred stock, including dividend rights, conversion rights, voting rights, rights and terms of redemption, liquidation preference and sinking fund terms, any or all of which may be greater than the rights of the common stock.
		

		
			 
		

		
			Delaware law provides that the holders of preferred stock will have the right to vote separately as a class on any proposal involving fundamental changes in the rights of holders of that preferred stock. This right is in addition to any voting rights that may be provided for in the applicable certificate of designation.
		

		
			 
		

		
			Anti-Takeover Provisions of Delaware Law and our Corporate Documents
		

		
			 
		

		
			Delaware Law.    We are governed by the provisions of Section 203 of the Delaware General Corporation Law. In general, Section 203 prohibits a Delaware corporation from engaging in a "business combination" with an 
		

		
			
		

		
			

		 

		

		
			"interested stockholder" for a period of three years after the date of the transaction in which the person became an interested stockholder, unless:
		

		
			 
		

		
			      before the date that the person became an "interested stockholder," the Board of Directors approved either the "business combination" or the transaction which makes the person an "interested stockholder";
		

		
			 
		

		
			      upon completion of the transaction that results in the "interested stockholder" becoming an "interested stockholder," the "interested stockholder" owned at least 85% of the voting stock of the corporation outstanding at the time the transaction commenced; or
		

		
			 
		

		
			      on or subsequent to the date that the person became an "interested stockholder," the business combination is approved by the Board of Directors and the vote of at least 662/3% of the outstanding voting stock that is not owned by the "interested stockholder."
		

		
			 
		

		
			Generally, a "business combination" includes a merger, asset sale or other transaction resulting in a financial benefit to the stockholder. An "interested stockholder" is a person who either owns 15% or more of our outstanding voting stock or, together with affiliates and associates, owns or, within three prior years, did own, 15% or more of our outstanding voting stock. The statute could have the effect of delaying, deferring or preventing a change in our control with respect to transactions our Board of Directors does not approve in advance.
		

		
			 
		

		
			Bylaws and Certificate of Incorporation Provisions.    Our Bylaws provide that special meetings of our stockholders may be called by the Chairman of the Board of Directors or President and shall be called by the Secretary upon the request in writing of a stockholder or stockholders holding of record at least 50% of the voting power of the issued and outstanding shares of our stock entitled to vote at such a meeting. Our Certificate of Incorporation also specifies that the Board of Directors may alter, amend or repeal our Bylaws, and it gives the Board of Directors the power to use preferred stock with any characteristics it deems fit. Further, our Certificate of Incorporation does not include a provision for cumulative voting for directors. Under cumulative voting, a minority stockholder holding a sufficient percentage of a class of shares may be able to ensure the election of one or more directors.
		

		
			 
		

		
			These provisions contained in our Certificate of Incorporation and Bylaws could delay or discourage transactions involving an actual or potential change in control of us or our management, including transactions in which stockholders might otherwise receive a premium for their shares over then current prices. Such provisions could also limit the ability of stockholders to remove current management or approve transactions that stockholders may deem to be in their best interests and could adversely affect the price of our common stock.
		

		
			 
		

		
			Transfer Agent and Registrar
		

		
			 
		

		
			The transfer agent and registrar for our common stock is Computershare Trust Company, N.A.
		

		
			 
		

		
			Listing on the NASDAQ Stock Market
		

		
			 
		

		
			Our common stock is listed on the Nasdaq Global Select Market under the symbol "ATNI."

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