Document:

Exhibit

EXECUTION VERSION

FIRST AMENDMENT TO TERM LOAN AGREEMENT

This FIRST AMENDMENT TO TERM LOAN AGREEMENT (this “Amendment”) dated as of  July 29, 2016 by and among HEALTHCARE REALTY TRUST INCORPORATED, a corporation formed under the laws of the State of Maryland (the “Borrower”), each of the Lenders party hereto and WELLS FARGO BANK, NATIONAL ASSOCIATION, as Administrative Agent (the “Administrative Agent”).

WHEREAS, the Borrower, the Lenders, the Administrative Agent and certain other parties have entered into that certain Term Loan Agreement dated as of February 27, 2014 (as amended and as in effect immediately prior to the effectiveness of this Amendment, the “Credit Agreement”); and

WHEREAS, the Borrower, the Lenders and the Administrative Agent desire to amend certain provisions of the Credit Agreement on the terms and conditions contained herein.

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the parties hereto, the parties hereto agree as follows:

Section 1.  Specific Amendments to Credit Agreement.  Upon the effectiveness of this Amendment, the parties hereto agree that the Credit Agreement shall be amended as follows:

(a)The Credit Agreement is amended by adding the following definitions to Section 1.01 thereof in the appropriate alphabetical location:

“Anti-Terrorism Laws” has the meaning given that term in Section 5.22.

“Bail-In Action” means the exercise of any Write-Down and Conversion Powers by the applicable EEA Resolution Authority in respect of any liability of an EEA Financial Institution.

“Bail-In Legislation” means, with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law for such EEA Member Country from time to time which is described in the EU Bail-In Legislation Schedule. 

“EEA Financial Institution” means (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent. 

“EEA Member Country” means any of the member states of the European Union, Iceland, Liechtenstein, and Norway.

“EEA Resolution Authority” means any public administrative authority or any person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution.

“EU Bail-In Legislation Schedule” means the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor Person), as in effect from time to time.
 
“First Amendment Date” means July 29, 2016.
 

“Material Acquisition” means any acquisition (whether by direct purchase, merger or otherwise and whether in one or more related transactions) by the Borrower or any Subsidiary in which the purchase price of the assets acquired exceeds an amount equal to 10.0% of consolidated total assets as of the last day of the most recently ended fiscal quarter prior to the consummation of such acquisition of the Borrower for which financial statements are publicly available.

“Trading with the Enemy Act” has the meaning given to that term in Section 5.22.
 
“Write-Down and Conversion Powers” means, with respect to any EEA Resolution Authority, the write-down and conversion powers of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule.

(b)The Credit Agreement is further amended by restating the following definitions contained in Section 1.01 thereof in their entirety as follows:
    
“Consolidated Unencumbered Realty” means, for the Consolidated Group, the book value of all realty (prior to deduction for accumulated depreciation) minus the book value of real property (prior to deduction for accumulated depreciation) which is subject to mortgage Liens described in clause (c) of Section 6.07 or mortgage Liens arising out of the refinancing, extension, renewal or refunding of any Indebtedness permitted hereunder secured by a mortgage Lien initially permitted under clause (c) of Section 6.07.  To the extent that the aggregate amount of Consolidated Unencumbered Realty attributable to the following would exceed 15.0% of Consolidated Unencumbered Realty, such excess shall be excluded: (a) construction projects; (b) unimproved real estate; (c) realty owned or leased by a Subsidiary that is not a Wholly Owned Subsidiary (other than realty owned or leased by a Subsidiary that is not a Wholly Owned Subsidiary but for which the Borrower exclusively controls, directly or indirectly, the sale and financing of such realty); and (d) realty not located in the United States of America.

“Defaulting Lender” means, subject to Section 2.14(f), any Lender that (a) has failed to (i) fund all or any portion of its Loan within 2 Business Days of the date such Loan was required to be funded hereunder unless such Lender notifies the Administrative Agent and the Borrower in writing that such failure is the result of such Lender’s determination that one or more conditions precedent to funding (each of which conditions precedent, together with any applicable default, shall be specifically identified in such writing) has not been satisfied, or (ii) pay to the Administrative Agent or any Lender any other amount required to be paid by it hereunder within 2 Business Days of the date when due, (b) has notified the Borrower or the Administrative Agent in writing that it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect (unless such writing or public statement relates to such Lender’s obligation to fund a Loan hereunder and states that such position is based on such Lender’s determination that a condition precedent to funding (which condition precedent, together with any applicable default, shall be specifically identified in such writing or public statement) cannot be satisfied), or (c) has, or has a direct or indirect parent company that has, (i) become the subject of a proceeding under any Debtor Relief Law, (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors or similar Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatory authority acting in such a capacity or (iii) become the subject of a Bail-In Action; provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the United States of America or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such Lender.  Any determination by the Administrative Agent that a Lender is a Defaulting Lender under clauses (a) through (c) above shall be conclusive and 

binding absent manifest error, and such Lender shall be deemed to be a Defaulting Lender (subject to Section 2.14(f)) upon delivery of written notice of such determination to the Borrower and each Lender.

“Eurodollar Rate” means, with respect to any Eurodollar Rate Loan for any Interest Period, the rate of interest obtained by dividing (i) the rate of interest per annum determined on the basis of the rate for deposits in Dollars for a period equal to the applicable Interest Period which appears on Reuters Screen LIBOR01 Page (or any applicable successor page) at approximately 11:00 a.m. (London time) two Business Days prior to the first day of the applicable Interest Period by (ii) a percentage equal to 1 minus the stated maximum rate (stated as a decimal) of all reserves, if any, required to be maintained with respect to Eurocurrency funding (currently referred to as “Eurocurrency liabilities”) as specified in Regulation D of the Board of Governors of the Federal Reserve System (or against any other category of liabilities which includes deposits by reference to which the interest rate on Eurodollar Rate Loans is determined or any applicable category of extensions of credit or other assets which includes loans by an office of any Lender outside of the United States of America).  If, for any reason, the rate referred to in the preceding clause (i) does not appear on Reuters Screen LIBOR01 Page (or any applicable successor page), then the rate to be used for such clause (i) shall be determined by the Administrative Agent to be the arithmetic average of the rate per annum at which deposits in Dollars would be offered by first class banks in the London interbank market to the Administrative Agent at approximately 11:00 a.m. (London time) two Business Days prior to the first day of the applicable Interest Period for a period equal to such Interest Period.  Any change in the maximum rate of reserves described in the preceding clause (ii) shall result in a change in the Eurodollar Rate on the date on which such change in such maximum rate becomes effective.  If the Eurodollar Rate determined as provided above would be less than zero, the Eurodollar Rate shall be deemed to be zero.

“Federal Funds Rate” means, for any period, a fluctuating interest rate per annum equal for each day during such period to the weighted average of the rates on overnight Federal funds transactions with members of the Federal Reserve System, as published for such day (or, if such day is not a Business Day, for the immediately preceding Business Day) by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Business Day, the average of the quotations for such day on such transactions received by the Administrative Agent from three Federal funds brokers of recognized standing selected by the Administrative Agent.  If the Federal Funds Rate determined as provided above would be less than zero, the Federal Funds Rate shall be deemed to be zero.

“Sanctioned Country” means, at any time, a country or territory which is, or whose government is, the subject or target of any Sanctions.

“Sanctioned Person” means, at any time, (a) any Person listed in any Sanctions-related list of designated Persons maintained by any Governmental Authority of the United States of America, including without limitation, OFAC or the U.S. Department of State, or by the United Nations Security Council, the European Union or any other Governmental Authority, (b) any Person located, operating, organized or resident in a Sanctioned Country, (c) an agency, political subdivision or instrumentality of the government of a Sanctioned Country or (d) any Person Owned or Controlled by any Person, Persons or agency described in any of the preceding clauses (a) through (c).

“Sanctions” means any sanctions or trade embargoes imposed, administered or enforced by any Governmental Authority of the United States of America, including without limitation, OFAC or the U.S. Department of State, or by the United Nations Security Council, the European Union or any other Governmental Authority.

(c)The Credit Agreement is further amended by deleting the definition of “Equity Transaction” contained in Section 1.01 thereof in its entirety.

(d)The Credit Agreement is further amended by adding the following subsection (g) to the end of Section 3.01:

(g)    FATCA Determination.  For purposes of determining withholding Taxes imposed under FATCA, from and after the First Amendment Date, the Borrower and the Administrative Agent shall treat (and the Lenders hereby authorize the Administrative Agent to treat) this Agreement as not qualifying as a “grandfathered obligation” within the meaning of Treasury Regulation Section 1.1471-2(b)(2)(i).

(e)The Credit Agreement is further amended by restating Section 3.06(b) thereof in its entirety as follows:

(b)    Replacement of Lenders.  If any Lender requests compensation under Section 3.04, or if the Borrower is required to pay any additional amount to any Lender or any Governmental Authority for the account of any Lender pursuant to Section 3.01, or if a Lender becomes a Defaulting Lender, the Borrower may replace such Lender in accordance with Section 9.15.

(f)The Credit Agreement is further amended by restating Section 5.22 thereof in its entirety as follows:

5.22    Anti-Corruption Laws and Sanctions; Anti-Terrorism Laws.  

None of the Borrower, any Subsidiary, any of their respective directors, or officers, or, to the knowledge of the Borrower, any of the Borrower’s or any Subsidiary’s employees (i) is an “enemy” or an “ally of the enemy” within the meaning of Section 2 of the Trading with the Enemy Act of the United States, 50 U.S.C. App. §§ 1 et seq., as amended (the “Trading with the Enemy Act”) or (ii) is in violation of (A) the Trading with the Enemy Act, (B) any of the foreign assets control regulations of the United States Treasury Department or any enabling legislation or executive order relating thereto, including without limitation, Executive Order No. 13224, effective as of September 24, 2001 relating to Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit or Support Terrorism (66 Fed. Reg. 49079 (2001) or (C) the Patriot Act (collectively, the “Anti-Terrorism Laws”).  The Borrower, its Subsidiaries and their respective officers and employees and its directors and agents, are in compliance with Anti‐Corruption Laws, Anti-Terrorism Laws and applicable Sanctions in all material respects.  None of the Borrower, any Subsidiary or any of their respective directors, officers or employees is (i) the subject or target of any Sanctions or (ii) located, organized or resident in a country or territory that is, or whose government is, the subject of Sanctions.

(g)The Credit Agreement is further amended by restating Section 6.04 thereof in its entirety as follows:

6.04    Conduct of Business and Maintenance of Existence.

Except as contemplated otherwise by the Investment Policy, the Borrower will continue, and will cause each Subsidiary to continue, to engage in business of the same general type as now conducted by the Borrower and each of its Subsidiaries, and will preserve, renew and keep in full force and effect, and will cause each of its Subsidiaries to preserve, renew and keep in full force and effect their respective organizational existences and, with respect to the Borrower, its jurisdiction of organization shall remain in the United States (except with the written consent of the Administrative Agent and each Lender) and, except for any such rights, privileges and franchises the failure to preserve which would not in the aggregate have a Material Adverse Effect; provided that nothing in this Section 6.04 shall prohibit (a) the merger of a Subsidiary of the Borrower into the Borrower or the merger or consolidation of any Subsidiary of the Borrower with or into another Person if the corporation surviving such consolidation or merger is a Wholly Owned Consolidated Subsidiary of the Borrower and if, in each case, after giving effect thereto, no Default or Event of Default shall have occurred and be 

continuing and a responsible officer of the Borrower shall deliver to the Administrative Agent an officer’s certificate representing that after giving effect to the transaction (i) the Borrower is in compliance with the terms of the Credit Agreement on a pro forma basis and (ii) no Default or Event of Default shall then exist, or (b) the termination of the corporate existence of any Subsidiary of the Borrower or the discontinuation of any line of business of the Borrower or any of its Subsidiaries if the Borrower in good faith determines that such termination is in the best interest of the Borrower or such Subsidiary, as the case may be, and is not materially disadvantageous to the Lenders.

(h)The Credit Agreement is further amended by restating Section 6.12 thereof in its entirety as follows:

6.12    Use of Proceeds.

The Loans hereunder will be used (a) to refinance existing indebtedness for borrowed money, (b) to finance the acquisition and development of healthcare real estate properties by the Borrower and its Subsidiaries, and (c) to finance the general corporate purposes of the Borrower and its Subsidiaries.  No proceeds of any Loan will be used (x) to purchase or carry any “margin stock” or to extend credit to others for the purpose of purchasing or carrying any “margin stock” in violation of Regulations U, T or X, (y) in furtherance of an offer, payment, promise to pay, or authorization of the payment or giving of money, or anything else of value, to any Person in violation of any Anti-Corruption Laws or any Anti-Terrorism Laws or (z) for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned Person, or in any Sanctioned Country.

(i)The Credit Agreement is further amended by restating Section 6.16 thereof in its entirety as follows:

(a)    Consolidated Leverage Ratio.  Permit the Consolidated Leverage Ratio at any time to be greater than 60%; provided, however, that if such ratio is greater than 60% but is not greater than 65%, then the Borrower shall be deemed to be in compliance with this subsection (a) so long as (i) the Borrower completed a Material Acquisition during the quarter in which such ratio first exceeded 60%, (ii) such ratio does not exceed 60% at any time after the fiscal quarter immediately following the fiscal quarter in which such Material Acquisition was completed, (iii) the Borrower has not maintained compliance with this subsection (a) in reliance on this proviso more than one time during the term of this Agreement and (iv) such ratio is not greater than 65% at any time.

(b)    Consolidated Secured Leverage Ratio.  Permit the Consolidated Secured Leverage Ratio at any time to be greater than 30%; provided, however, that if such amount is greater than 30% but is not greater than 40%, then the Borrower shall be deemed to be in compliance with this subsection (b) so long as (i) the Borrower completed a Material Acquisition during the quarter in which such ratio first exceeded 30%, (ii) such ratio does not exceed 30% at any time after the fiscal quarter immediately following the fiscal quarter in which such Material Acquisition was completed, (iii) the Borrower has not maintained compliance with this subsection (b) in reliance on this proviso more than one time during the term of this Agreement and (iv) such ratio is not greater than 40% at any time.

(c)    Consolidated Unencumbered Leverage Ratio.  Permit the Consolidated Unencumbered Leverage Ratio at any time to be greater than 60%; provided, however, that if such ratio is greater than 60% but is not greater than 65%, then the Borrower shall be deemed to be in compliance with this subsection (c) so long as (i) the Borrower completed a Material Acquisition during the quarter in which such ratio first exceeded 60%, (ii) such ratio does not exceed 60% at any time after the fiscal quarter immediately following the fiscal quarter in which such Material Acquisition was completed, (iii) the Borrower has not maintained compliance with this subsection (c) in reliance on this proviso more than one time during the term of this Agreement and (iv) such ratio is not greater than 65% at any time.

(d)    Consolidated Fixed Charge Coverage Ratio.  Permit the Consolidated Fixed Charge Coverage Ratio as of the end of any fiscal quarter to be less than 1.50:1.0.

(e)    Consolidated Unsecured Coverage Ratio.  Permit the Consolidated Unsecured Coverage Ratio as of the end of any fiscal quarter to be less than 1.75:1.0.

(f)    [Reserved].

(j)The Credit Agreement is further amended by adding the following new Section 9.23 at the end of Article IX thereof:

9.23    Acknowledgement and Consent to Bail-In of EEA Financial Institutions. 

Notwithstanding anything to the contrary in any Credit Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any EEA Financial Institution arising under any Credit Document, to the extent such liability is unsecured, may be subject to the Write-Down and Conversion Powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by:

(a)    the application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which may be payable to it by any party hereto that is an EEA Financial Institution; and

(b)    the effects of any Bail-in Action on any such liability, including, if applicable:

(i)    a reduction in full or in part or cancellation of any such liability;

(ii)    a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Credit Document; or

(iii)    the variation of the terms of such liability in connection with the exercise of the Write-Down and Conversion Powers of any EEA Resolution Authority.

To the extent not prohibited by applicable law, each Lender shall notify the Borrower and the Administrative Agent if it has become the subject of a Bail-In Action (or any case or other proceeding in which a Bail-In Action could be reasonably be expected to be asserted against such Lender).

(k)The Credit Agreement is further amended by deleting Schedules 5.06 and 5.07 attached thereto in their entirety and substituting in lieu thereof 5.06 and 5.07 attached hereto.

Section 2.  Conditions Precedent.  The effectiveness of this Amendment is subject to receipt by the Administrative Agent of each of the following in form and substance satisfactory to the Administrative Agent:

(a)    a counterpart of this Amendment duly executed by the Borrower, the Administrative Agent and each of the Required Lenders;

(b)    a certificate of the Borrower, signed on behalf of the Borrower by the Borrower’s chief executive officer or chief financial officer, certifying that, (i) since December 31, 2015, there has not been a material adverse change in the condition (financial or otherwise), operations, business, assets, liabilities or prospects of the Consolidated Group taken as a whole or in the facts and information regarding such entities as represented to date, nor has there been a downgrade of the Borrower’s credit rating of two or more notches, and (ii) there is no action, suit, investigation or proceeding pending or threatened in any court or before any arbitrator or governmental authority that purports (x) 

to materially and adversely affect the Borrower or its subsidiaries, or (y) to affect any transaction contemplated the Credit Agreement or the ability of the Borrower and its subsidiaries or any other obligor under the guarantees to perform their respective obligations under the Credit Agreement.

(c)    the Borrower’s financial statements for the period ending March 31, 2016 included in the Borrower’s Form 10-Q filed with the SEC;

(d)    evidence that all fees and expenses due and payable to the Administrative Agent, any of the Lenders and any of their respective Affiliates have been paid; and

(e)    such other documents, agreements and instruments as the Administrative Agent may reasonably request.

Section 3.  Representations.  The Borrower represents and warrants to the Administrative Agent and the Lenders that:

(a)    Corporate and Governmental Authorization; No Contravention.  The execution and delivery by the Borrower of this Amendment and the performance by the Borrower of its obligations hereunder and under the Credit Agreement as amended by this Amendment are within the corporate power of the Borrower, have been duly authorized by all necessary corporate action, require no action by or in respect of, or filing with, any governmental body, agency or official or other Person (except for any such action or filing that has been taken and is in full force and effect) and do not contravene, or constitute a default under, any provision of applicable law or regulation or of the Organization Documents of the Borrower or of any material agreement, judgment, injunction, order, decree or other material instrument binding upon the Borrower or result in the creation or imposition of any Lien on any asset of the Borrower other than Liens created pursuant to the Credit Documents.  

(b)    Binding Effect.  This Amendment and the Credit Agreement as amended by this Amendment constitute valid and binding agreements of the Borrower, enforceable against the Borrower in accordance with their terms.

(c)    No Default.  No Default or Event of Default has occurred and is continuing as of the date hereof nor will exist immediately after giving effect to this Amendment.

Section 4.  Reaffirmation of Representations.  The Borrower hereby repeats and reaffirms all representations and warranties made by the Borrower to the Administrative Agent and the Lenders in the Credit Agreement as amended by this Amendment and the other Credit Documents on and as of the date hereof with the same force and effect as if such representations and warranties were set forth in this Amendment in full.

Section 5.  Certain References.  Each reference to the Credit Agreement in any of the Credit Documents shall be deemed to be a reference to the Credit Agreement as amended by this Amendment.  This Amendment is a Credit Document.

Section 6.  Costs and Expenses.  The Borrower shall reimburse the Administrative Agent for all reasonable out-of-pocket costs and expenses (including Attorney Costs) incurred by the Administrative Agent in connection with the preparation, negotiation and execution of this Amendment and the other agreements and documents executed and delivered in connection herewith.

Section 7.  Benefits.  This Amendment shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns.

Section 8.  GOVERNING LAW.  THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK (WITHOUT TAKING INTO ACCOUNT CONFLICT OF LAW PRINCIPLES THAT WOULD RESULT IN THE APPLICATION OF THE LAW OF ANOTHER JURISDICTION).

Section 9.  Effect; Ratification.  Except as expressly herein amended, the terms and conditions of the Credit Agreement and the other Credit Documents remain in full force and effect.  The amendments contained herein shall be deemed to have prospective application only.  The Credit Agreement is hereby ratified and confirmed in all respects.  Nothing in this Amendment shall limit, impair or constitute a waiver of the rights, powers or remedies available to the Administrative Agent or the Lenders under the Credit Agreement or any other Credit Document.  

Section 10.  Counterparts.  This Amendment may be executed in any number of counterparts, each of which shall be deemed to be an original and shall be binding upon all parties, their successors and assigns.

Section 11.  Definitions.  All capitalized terms not otherwise defined herein are used herein with the respective definitions given them in the Credit Agreement.

[Signatures on Next Page]

        
    

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to Term Loan Agreement to be executed as of the date first above written.

HEALTHCARE REALTY TRUST INCORPORATED

    	
		
	By:
	/s/  J. Christopher Douglas

	Name:
	J. Christopher Douglas

	Title:
	Executive Vice President and Chief Financial Officer

[Signatures Continued on Next Page]

[Signature Page to First Amendment to Term Loan Agreement for Healthcare Realty Trust Incorporated]

	
				
	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Administrative Agent and as a Lender

	By:
	/s/ Winita Lau

	Name: 
	Winita Lau
	 

	Title:
	Senior Vice President
	 

	
				
	PNC BANK, NATIONAL ASSOCIATION, as a Lender

	By:
	/s/ Eric W. Staton

	Name: 
	Eric W. Staton
	 

	Title:
	Vice President
	 

	
				
	U.S. BANK NATIONAL ASSOCIATION, as a Lender 

	By:
	/s/ J. Lee Hord

	Name: 
	J. Lee Hord
	 

	Title:
	Senior Vice President
	 

	
				
	FIFTH THIRD BANK, as a Lender

	By:
	/s/ Vera B. McEvoy

	Name: 
	Vera B. McEvoy
	 

	Title:
	Vice President
	 

	
				
	BRANCH BANKING AND TRUST COMPANY, as a Lender

	By:
	/s/ Brad Bowen

	Name: 
	Brad Bowen
	 

	Title:
	Vice President
	 

	
				
	BANK OF MONTREAL, as a Lender

	By:
	/s/ Gwendolyn Gatz

	Name: 
	Gwendolyn Gatz
	 

	Title:
	Vice President
	 

	
				
	REGIONS BANK, as a Lender

	By:
	/s/ Steven W. Mitchell

	Name: 
	Steven W. Mitchell
	 

	Title:
	Senior Vice President
	 

	
				
	FIRST TENNESSEE BANK, N.A., as a Lender

	By:
	/s/ Cathy Wind

	Name: 
	Cathy Wind
	 

	Title:
	Senior Vice President
	 

	
				
	PINNACLE BANK, as a Lender

	By:
	/s/ Todd Carter

	Name: 
	Todd Carter
	 

	Title:
	Senior Vice President
	 

SCHEDULE 5.06

ENVIRONMENTAL MATTERS

During 2015, the Borrower acquired a medical office building in Tacoma, Washington. During the due diligence period, the Borrower identified a specific area of the property that contains soils with above-tolerance levels of tetrachloroethylene (a dry cleaning solvent commonly known as perc) and obtained a satisfactory purchase price reduction and recorded a $1,200,000 liability upon acquisition. Remediation efforts are underway.

SCHEDULE 5.07
MATERIAL SUBSIDIARIES AND SPECIFIED AFFILIATES(1) 
	
			
	Entity Name
	Jurisdiction of Organization
	Ownership(2)

	HRT Properties of Texas, Ltd.
	TX
	Healthcare Acquisition of Texas, Inc.

	HR Acquisition of San Antonio, Ltd.
	AL
	Healthcare Acquisition of Texas, Inc.

	HRT of Tennessee, LLC
	TN
	Healthcare Realty Trust Incorporated

	HR Acquisition I Corporation
	MD
	Healthcare Realty Trust Incorporated

	HR of Carolinas, LLC
	DE
	HR Carolinas Holdings, LLC

	HR of Indiana, LLC
	DE
	HRT of Delaware, Inc.

	HR of Iowa, LLC
	DE
	Healthcare Realty Trust Incorporated

	HR Assets, LLC
	DE
	Healthcare Realty Trust Incorporated

	Lakewood MOB, LLC
	DE
	HR of Iowa, LLC

	HRT of Illinois, Inc.
	DE
	Healthcare Realty Trust Incorporated

	HR-Pima, LLC
	DE
	Healthcare Realty Trust Incorporated

	HR Acquisition of Pennsylvania, Inc.
	PA
	HR Acquisition I Corporation

	HRT of Roanoke, Inc.
	VA
	Healthcare Realty Trust Incorporated

	HR St. Francis MOB I SPE, LLC
	DE
	HR Richmond Manager, LLC

	HR First Hill Medical Building SPE, LLC
	DE
	HR First Hill Holdings, LLC

	HR St. Mary's MOB South SPE, LLC
	DE
	HR Richmond Manager, LLC

	 HR 601 Broadway Unit A, LLC 
	TN
	Healthcare Realty Trust Incorporated

	HR St. Mary's MOB NW SPE, LLC
	DE
	HR Richmond Manager, LLC

	HR Three Tree, LLC
	DE
	HR Assets, LLC (99%) and HR Acquisition I Corporation (1%)

	HR Fridley, LLC
	MN
	Healthcare Realty Trust Incorporated

	HR Lowry Medical Center SPE, LLC
	DE
	Healthcare Realty Trust Incorporated

	HRP MAC III, LLC
	DE
	HR MAC II, LLC

	HR Summit Crossing SPE, LLC
	DE
	Healthcare Realty Trust Incorporated

	HR West Des Moines SPE, LLC
	DE
	Healthcare Realty Trust Incorporated

	Clive Wellness Campus Building One, LLC
	DE
	HR LADCO Holdings, LLC

	HR MAC II, LLC 
	DE
	Healthcare Realty Trust Incorporated

(1)    There are no Specified Affiliates.
		
	(2)
	The subsidiaries listed under the Ownership column but not under the Material Subsidiary column do not directly own real estate assets meeting the Individual Subsidiary Test.EX-10.1

 Exhibit 10.1 

EXECUTION VERSION 
  

 
  

INVESTMENT AGREEMENT 

Dated as of May 4, 2016 
 by
and between 
 ATLAS AIR WORLDWIDE HOLDINGS, INC. 

and 
 AMAZON.COM, INC. 

 
  

 TABLE OF CONTENTS 

Page 
  

							
	ARTICLE I	  
	
	WARRANT ISSUANCE; CLOSING	  
			
	1.1.	  	Warrant Issuance	  	 	1	  
	1.2.	  	Closing	  	 	2	  
	1.3.	  	Interpretation	  	 	2	  
	
	ARTICLE II	  
	
	REPRESENTATIONS AND WARRANTIES	  
			
	2.1.	  	Disclosure	  	 	3	  
	2.2.	  	Representations and Warranties of the Company	  	 	5	  
	2.3.	  	Representations and Warranties of Amazon	  	 	12	  
	
	ARTICLE III	  
	
	COVENANTS	  
			
	3.1.	  	Efforts	  	 	14	  
	3.2.	  	Public Announcements	  	 	18	  
	3.3.	  	Expenses	  	 	18	  
	3.4.	  	Stockholder Approval	  	 	18	  
	3.5.	  	Tax Treatment	  	 	21	  
	3.6.	  	Top-Up Adjustment	  	 	21	  
	
	ARTICLE IV	  
	
	ADDITIONAL AGREEMENTS	  
			
	4.1.	  	Acquisition for Investment	  	 	24	  
	4.2.	  	Legend	  	 	24	  
	4.3.	  	Anti-takeover Provisions and Rights Plan	  	 	25	  
	
	ARTICLE V	  
	
	MISCELLANEOUS	  
			
	5.1.	  	Termination of This Agreement; Other Triggers	  	 	25	  
	5.2.	  	Amendment	  	 	27	  

  
 i 

							
	5.3.	  	Waiver of Conditions	  	 	27	  
	5.4.	  	Counterparts and Facsimile	  	 	27	  
	5.5.	  	Governing Law; Submission to Jurisdiction; WAIVER OF JURY TRIAL	  	 	27	  
	5.6.	  	Notices	  	 	28	  
	5.7.	  	Entire Agreement, Etc	  	 	29	  
	5.8.	  	Definitions of “subsidiary” and “Affiliate”	  	 	30	  
	5.9.	  	Assignment	  	 	30	  
	5.10.	  	Severability	  	 	30	  
	5.11.	  	No Third Party Beneficiaries	  	 	31	  
	5.12.	  	Specific Performance	  	 	31	  

  

					
	LIST OF ANNEXES
			
	 ANNEX A:
	  	Form of Air Transportation Agreements	  	
			
	 ANNEX B:
	  	Form of Stockholders Agreement	  	
			
	 ANNEX C-1:
	  	Form of Warrant-A	  	
			
	 ANNEX C-2:
	  	Form of Warrant-B	  	

  
 ii 

 INDEX OF DEFINED TERMS 

 

					
	 Term
	  	Page	 
		
	 Additional Company Stockholder Meeting
	  	 	21	  
	 Affiliate
	  	 	31	  
	 Agreement
	  	 	1	  
	 Air Transportation Agreements
	  	 	1	  
	 Amazon
	  	 	1	  
	 Anti-takeover Provisions
	  	 	12	  
	 Antitrust Laws
	  	 	9	  
	 Applicable Law
	  	 	4	  
	 ATSA
	  	 	1	  
	 Bankruptcy Exceptions
	  	 	8	  
	 Beneficial Owner
	  	 	14	  
	 Beneficial Ownership
	  	 	14	  
	 Beneficially Own
	  	 	14	  
	 Business Day
	  	 	3	  
	 Citizen of the United States
	  	 	5	  
	 Closing
	  	 	2	  
	 Commission
	  	 	4	  
	 Common Stock
	  	 	1	  
	 Company
	  	 	1	  
	 Company Benefit Plan
	  	 	12	  
	 Company Disclosure Letter
	  	 	5	  
	 Company Stock Plans
	  	 	6	  
	 Company Stockholder Meetings
	  	 	21	  
	 Company Stockholders
	  	 	19	  
	 Confidentiality Agreement
	  	 	31	  
	 Control
	  	 	31	  
	 Controlled
	  	 	31	  
	 Controlling
	  	 	31	  
	 Convertible Notes due 2022
	  	 	7	  
	 DOT
	  	 	5	  
	 DOT Regulations
	  	 	5	  
	 Effect
	  	 	3	  
	 Exchange Act
	  	 	4	  
	 Exercise Approval
	  	 	13	  
	 Existing Call Option Agreements
	  	 	23	  
	 Existing Call Options
	  	 	23	  
	 Existing Warrant Agreements
	  	 	7	  
	 Existing Warrants
	  	 	7	  

  
 iii 

					
	 FAA
	  	 	5	  
	 GAAP
	  	 	3	  
	 Governmental Entity
	  	 	9	  
	 HSR Act
	  	 	9	  
	 HSR Filing Date
	  	 	15	  
	 Initial Antitrust Clearance
	  	 	16	  
	 Initial Antitrust Filings
	  	 	15	  
	 Initial Communications Materials
	  	 	19	  
	 Initial Filing Transaction
	  	 	15	  
	 Intervening Event
	  	 	21	  
	 Material Adverse Effect
	  	 	3	  
	 Net Cash Ratio
	  	 	23	  
	 New Shares
	  	 	22	  
	 Operating Authority
	  	 	5	  
	 Other Antitrust Filings
	  	 	16	  
	 Preferred Stock
	  	 	6	  
	 Previously Disclosed
	  	 	4	  
	 Refinancing Cap
	  	 	23	  
	 Refinancing Convertible Notes
	  	 	22	  
	 Replacement Cap
	  	 	24	  
	 Replacement Hedging Arrangement
	  	 	22	  
	 Replacement Warrants
	  	 	22	  
	 Restricted Warrant Exercise
	  	 	7	  
	 SEC Reports
	  	 	4	  
	 Securities Act
	  	 	6	  
	 SOX
	  	 	11	  
	 Special Meeting
	  	 	19	  
	 Stockholder Approval
	  	 	19	  
	 Stockholders Agreement
	  	 	1	  
	 subsidiary
	  	 	31	  
	 Top-Up Number
	  	 	24	  
	 Transaction Documents
	  	 	5	  
	 Transaction Litigation
	  	 	18	  
	 Warrant Issuance
	  	 	2	  
	 Warrant Shares
	  	 	2	  
	 Warrant-A
	  	 	2	  
	 Warrant-B
	  	 	2	  
	 Warrants
	  	 	2	  

  
 iv 

 This INVESTMENT AGREEMENT, dated as of May 4, 2016 (this
“Agreement”), is by and between Atlas Air Worldwide Holdings, Inc., a Delaware corporation (the “Company”), and Amazon.com, Inc., a Delaware corporation (“Amazon”). 

RECITALS: 

WHEREAS, subject to the terms and conditions hereof, each of the Company and Amazon has determined it to be advisable and in the best
interests of their respective companies and stockholders to enter into certain commercial arrangements as further set forth herein, including by entering into (i) an Air Transportation Services Agreement by and between Atlas Air, Inc.
and Amazon Fulfillment Services, Inc. (the “ATSA”), (ii) the Aircraft Lease Agreements by and between Titan Aviation Leasing Limited – Americas, Inc. and Amazon Fulfillment Services, Inc., (iii) the
Aircraft Sublease Agreements by and between Amazon Fulfillment Services, Inc. and Atlas Air, Inc., and (iv) Work Orders by and between Atlas Air, Inc. and Amazon Fulfillment Services, Inc., with respect to 20 Boeing 767-300 aircraft to
be operated thereunder, in each case, in the forms attached hereto as Annex A (collectively, the “Air Transportation Agreements”); 

WHEREAS, in connection with the transactions contemplated hereby, and subject to the terms and conditions hereof, the Company desires
to issue to Amazon, and Amazon desires to acquire from the Company, at the Closing, warrants to purchase shares of the Company’s common stock, $0.01 par value per share (the “Common Stock”); and 

WHEREAS, the parties will, at the Closing, enter into a stockholders agreement, in the form attached hereto as Annex B (the
“Stockholders Agreement”), providing for certain corporate governance and other matters with respect to the Company, and certain other agreements between the Company and Amazon. 

NOW, THEREFORE, in consideration of the premises, and of the representations, warranties, covenants and agreements set forth herein,
and intending to be legally bound, the parties agree as set forth herein. 
 ARTICLE I  

WARRANT ISSUANCE; CLOSING 

1.1. Warrant Issuance. On the terms and subject to the conditions set forth in this Agreement, the Company shall issue to Amazon, and
Amazon shall acquire from the Company, at the Closing, (i) a warrant to purchase 7,500,000 shares, subject to adjustment in accordance with its terms, of Common Stock in the form attached hereto as Annex C-1 (the
“Warrant-A”) and (ii) a warrant to purchase 3,750,000 shares, subject to adjustment in accordance with its terms, of Common Stock in the form attached hereto as 

 
Annex C-2 (the “Warrant-B” and, together with Warrant-A, the “Warrants”). The issuance of the Warrants by the Company and the acquisition of the Warrants
by Amazon are referred to herein as the “Warrant Issuance” and the shares of Common Stock issuable upon exercise of the Warrants are referred to herein as the “Warrant Shares”. 

1.2. Closing. 
 (a) The
closing of the Warrant Issuance (the “Closing”) shall take place at the offices of Debevoise & Plimpton LLP, 919 Third Avenue, New York, New York 10022, immediately following the execution and delivery of this Agreement.

 (b) At the Closing, the Company shall deliver to Amazon: 

(i) the Warrants, as evidenced by duly and validly executed warrant certificates dated as of the date hereof and bearing
appropriate legends as hereinafter provided for; 
 (ii) the ATSA, duly executed by Atlas Air, Inc.; and 

(iii) the Stockholders Agreement, duly executed by the Company. 

(c) At the Closing, Amazon shall deliver to the Company: 

(i) duly and validly executed counterparts to the certificates evidencing the Warrants; 

(ii) the ATSA, duly executed by Amazon Fulfillment Services, Inc.; and 

(iii) the Stockholders Agreement, duly executed by Amazon. 

1.3. Interpretation. When a reference is made in this Agreement to “Recitals,” “Articles,” “Sections,”
“Annexes,” “Schedules” or “Exhibits”, such reference shall be to a Recital, Article or Section of, or Annex, Schedule or Exhibit to, this Agreement unless otherwise indicated. The terms defined in the singular have a
comparable meaning when used in the plural, and vice versa. References to “herein,” “hereof,” “hereunder” and the like refer to this Agreement as a whole and not to any particular section or provision, unless the
context requires otherwise. References to “parties” refer to the parties to this Agreement. The table of contents and headings contained in this Agreement are for reference purposes only and are not part of this Agreement. Whenever the
words “include,” “includes” or “including” are used in this Agreement, they shall be deemed followed by the words “without limitation.” No rule of construction against the draftsperson shall be applied in
connection with the interpretation or enforcement of this Agreement, as this Agreement is the product of negotiation between sophisticated parties advised by counsel. Any reference to a “wholly owned subsidiary” of a person shall

  
 2 

 
mean such subsidiary is directly or indirectly wholly owned by such person. All references to “$” or “dollars” mean the lawful currency of the United States of America. Except
as expressly stated in this Agreement, all references to any statute, rule or regulation are to the statute, rule or regulation as amended, modified, supplemented or replaced from time to time (and, in the case of statutes, include any rules and
regulations promulgated under the statute) and to any section of any statute, rule or regulation include any successor to the section. The term “Business Day” means any day except Saturday, Sunday and any day which shall be a legal
holiday or a day on which banking institutions in the State of New York generally are authorized or required by law or other governmental actions to close. 

ARTICLE II  

REPRESENTATIONS AND WARRANTIES 

2.1. Disclosure. 
 (a)
“Material Adverse Effect” means any change, effect, event, development, circumstance or occurrence (each, an “Effect”) that, taken individually or when taken together with all other applicable Effects, has been, is
or would reasonably be expected to be materially adverse to (i) the business, assets, condition (financial or otherwise) or results of operations of the Company and its subsidiaries, taken as a whole, or (ii) the ability of
the Company to complete the transactions contemplated by the Transaction Documents or to perform its obligations under the Transaction Documents; provided, however, that in no event shall any of the following Effects, alone or in
combination, be deemed to constitute, or be taken into account in determining whether there has been, is or would be, a Material Adverse Effect: (A) any change in general economic, market or political conditions;
(B) conditions generally affecting the industry in which the Company operates; (C) any change in generally accepted accounting principles in the United States (“GAAP”) or Applicable Law; (D) any
act of war (whether or not declared), armed hostilities, sabotage or terrorism, or any material escalation or worsening of any such events, or any national disaster or any national or international calamity; (E) any failure, in and of
itself, to meet internal or published projections, forecasts, targets or revenue or earnings predictions for any period, as well as any change, in and of itself, by the Company in any projections, forecasts, targets or revenue or earnings
predictions for any period (provided that the underlying causes of such failures (to the extent not otherwise falling within one of the other exceptions in this proviso) may constitute or be taken into account in determining whether there has
been, is, or would be, a Material Adverse Effect); (F) any change in the price or trading volume of the Common Stock (provided that the underlying causes of such change (to the extent not otherwise falling within one of the other
exceptions in this proviso) may constitute or be taken into account in determining whether there has been, is or would be, a Material Adverse Effect); or (G) the announcement of this Agreement or the other Transaction Documents,

  
 3 

 
including, to the extent attributable to such announcement, any loss of or adverse change in the relationship, contractual or otherwise, of the Company and its subsidiaries with their respective
employees, customers, distributors, licensors, licensees, vendors, lenders, investors, partners or suppliers; provided, further, however, that any Effect referred to in clauses (A) through (D) may be taken into account
in determining whether or not there has been, is, or would be, a Material Adverse Effect to the extent such Effect has a disproportionate adverse effect on the Company and its subsidiaries, taken as a whole, as compared to other participants in the
industry in which the Company and its subsidiaries operate (in which case any adverse effect(s) to the extent disproportionate may be taken into account in determining whether or not there has been, is or would be a Material Adverse Effect).
“Applicable Law” has the meaning set forth in the Stockholders Agreement. 
 (b) “Previously Disclosed”
means information set forth or incorporated in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015 or its other reports, statements and forms (including exhibits and other information incorporated therein)
filed with or furnished to the Securities and Exchange Commission (the “Commission”) under Sections 13(a), 14(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or under the
Securities Act, in each case on or after December 31, 2015 (the “SEC Reports”) (in each case excluding any disclosures set forth in any risk factor section and in any section relating to forward-looking or safe harbor
statements), to the extent such SEC Reports are filed or furnished at least five (5) Business Days prior to the execution and delivery of this Agreement. 

Each party acknowledges that it is not relying upon any representation or warranty of the other party, express or implied, not set forth in the Transaction
Documents. Amazon acknowledges that it has had an opportunity to conduct such review and analysis of the business, assets, condition, operations and prospects of the Company and its subsidiaries, including an opportunity to ask such questions of
management and to review such information maintained by the Company and its subsidiaries, in each case as it considers sufficient for the purpose of consummating the transactions contemplated by the Transaction Documents. Amazon further acknowledges
that it has had such an opportunity to consult with its own counsel, financial and tax advisers and other professional advisers as it believes is sufficient for purposes of the transactions contemplated by the other Transaction Documents. For
purposes of this Agreement, the term “Transaction Documents” refers collectively to this Agreement, the Air Transportation Agreements, the Stockholders Agreement, the Warrants, and any other agreement entered into by and among the
parties and/or their Affiliates on the date hereof in connection with the transactions contemplated hereby or thereby, in each case, as amended, modified or supplemented from time to time in accordance with their respective terms. 

  
 4 

 2.2. Representations and Warranties of the Company. Except as Previously Disclosed or as
disclosed in the disclosure letter (the “Company Disclosure Letter”) delivered by the Company to Amazon prior to the execution of this Agreement, the Company represents and warrants as of the date of this Agreement to Amazon that:

 (a) Organization, Authority and Significant Subsidiaries. The Company (i) has been duly incorporated and is validly
existing as a corporation in good standing under the laws of the State of Delaware, with the corporate power and authority to own its properties and conduct its business in all material respects as currently conducted, and, except as would not
constitute a Material Adverse Effect, has been duly qualified as a foreign corporation for the transaction of business and is in good standing under the laws of each other jurisdiction in which it owns or leases properties, or conducts any business
so as to require such qualification, (ii) is a “Citizen of the United States” (“Citizen of the United States”) as defined by Section 40102(a)(15) of Title 49 of United States Code, and as such term is
interpreted by the United States Department of Transportation (“DOT”), (iii) through its Affiliates, holds (A) air carrier certificates and operations specifications issued by the United States Federal
Aviation Administration (“FAA”) pursuant to Section 44705 of Title 49 of the United States Code and corresponding FAA regulations, (B) certificates of public convenience and necessity (and/or equivalent exemption
authority) authorizing interstate and foreign air transportation of property and mail issued by the DOT pursuant to Section 41102 of Title 49 of United States Code (and/or under Section 40109 in the case of exemption authority) and
corresponding DOT regulations (“DOT Regulations”), and (C) any corresponding permits, licenses, authorizations, certificates, exemptions, approvals, waivers, authorizations or similar rights obtained, or required to be
obtained, from any Governmental Entity, in each case as is necessary to fulfill the Company’s obligations pursuant to the Air Transportation Agreements (collectively, the “Operating Authority”). To the knowledge of the Company
based on due inquiry of the books and records of the Company, each Beneficial Owner of 5% or more of the Common Stock is a Citizen of the United States. Each subsidiary of the Company that is a “significant subsidiary” within the meaning
of Rule 1-02(w) of Regulation S-X under the Securities Act of 1933, as amended (the “Securities Act”), and each subsidiary of the Company that is not such a “significant subsidiary” but is a party to any other Transaction
Document, has been duly organized and is validly existing in good standing under the laws of its jurisdiction of organization, with the corporate or analogous power and authority to own its properties and conduct its business in all material
respects as currently conducted, and, except as would not constitute a Material Adverse Effect, has been duly qualified as a foreign corporation, limited liability company or partnership, as applicable, for the transaction of business and is in good
standing under the laws of each other jurisdiction in which it owns or leases properties, or conducts any business so as to require such qualification. 

  
 5 

 (b) Capitalization. The authorized capital stock of the Company consists of 50,000,000
shares of Common Stock of which, as of the close of business on May 4, 2016, 24,811,018 shares were issued and outstanding (excluding, for the avoidance of doubt, shares held in treasury), and 10,000,000 shares of Preferred Stock, par value
$1.00 per share (the “Preferred Stock”), of which, as of the date hereof, no shares have been designated or are issued or outstanding. As of the close of business on May 4, 2016, the Company held 4,431,439 shares of Common
Stock in its treasury. As of the close of business on May 4, 2016, no shares of Common Stock or Preferred Stock were reserved for issuance, except for (i) 2,451,976 shares of Common Stock reserved for issuance under compensatory
equity plans of the Company or a subsidiary of the Company in effect as of the date hereof and set forth in Section 2.2(b) of the Company Disclosure Letter (the “Company Stock Plans”) (including (x) 34,700 shares of
Common Stock reserved for issuance upon the exercise of stock options outstanding as of such date and granted under the Company Stock Plans and (y) 2,417,276 shares of Common Stock reserved for issuance upon the settlement of restricted
stock units and performance awards outstanding as of such date and granted under the Company Stock Plans (assuming, in the case of performance awards, that applicable goals are attained at target level)), (ii) 4,115,210 shares of Common
Stock reserved for issuance upon conversion of the Convertible Notes due 2022 and (iii) 6,211,656 shares of Common Stock reserved for issuance upon exercise of the Existing Warrants. The outstanding shares of Common Stock have been duly
authorized and are validly issued and outstanding, fully paid and nonassessable, and subject to no preemptive rights (and were not issued in violation of any preemptive rights, the Company’s certificate of incorporation or by-laws, or any
Applicable Laws). Except as set forth above or pursuant to the Transaction Documents, there are no (A) shares of capital stock or other equity interests or voting securities of the Company authorized, reserved for issuance, issued or
outstanding, (B) options, warrants, calls, preemptive rights, subscription or other rights, instruments, agreements, arrangements or commitments of any character, obligating the Company or any of its subsidiaries to issue, transfer or
sell or cause to be issued, transferred or sold any shares of capital stock or other equity interest or voting security in the Company or any securities or instruments convertible into or exchangeable for such shares of capital stock or other equity
interests or voting securities, or obligating the Company or any of its subsidiaries to grant, extend or enter into any such option, warrant, call, preemptive right, subscription or other right, instrument, agreement, arrangement or commitment,
(C) outstanding contractual obligations of the Company or any of its subsidiaries to repurchase, redeem or otherwise acquire any capital stock or other equity interest or voting securities of the Company, or (D) issued or
outstanding performance awards, units, rights to receive any capital stock or other equity interest or voting securities of the Company on a deferred basis, or rights to purchase or receive any capital stock or equity interest or voting securities
issued or granted by the Company to any current or former director, officer, employee or consultant of the Company. No subsidiary of the Company owns any shares of capital stock or other equity interest or voting securities of the Company. There are
no voting trusts or other agreements or understandings to which the Company or any of its subsidiaries is a party with respect to the voting of the capital stock or other equity interest or voting securities of the Company. “Convertible
Notes  

  
 6 

 due 2022” means the 2.25% Convertible Senior Notes due 2022 issued pursuant to the First Supplemental
Indenture, dated June 3, 2015 (as amended or modified from time to time), between the Company and Wilmington Trust, National Association, as Trustee. “Existing Warrant Agreements” means (i) the Base Warrant
Transaction Confirmation, dated as of May 28, 2015 (as amended or modified from time to time), between Morgan Stanley & Co. International plc and the Company, (ii) the Additional Warrant Transaction Confirmation, dated as
of June 1, 2015 (as amended or modified from time to time), between Morgan Stanley & Co. International plc and the Company, (iii) the Base Warrant Transaction confirmation, dated as of May 28, 2015 (as amended or
modified from time to time), between BNP Paribas and the Company and (iv) the Additional Warrant Transaction Confirmation, dated as of June 1, 2015 (as amended or modified from time to time), between BNP Paribas and the Company.
“Existing Warrants” means the warrants for the purchase of shares of Common Stock issued pursuant to the Existing Warrant Agreements. 

(c) The Warrants and Warrant Shares. The Warrants have been duly authorized by the Company and constitute valid and legally binding
obligations of the Company, enforceable against the Company in accordance with their terms, except as the same may be limited by the Bankruptcy Exceptions, and the Warrant Shares have been duly authorized and reserved for issuance upon exercise of
the Warrants (except that the exercise of the Warrants in respect of any Warrant Shares in excess of 4,937,392 shares (the “Restricted Warrant Exercise”) will require the Stockholder Approval) and, from and after such approval, when
so issued, will be validly issued, fully paid and non-assessable, and free and clear of any liens or encumbrances, other than liens or encumbrances created by the Transaction Documents, arising as a matter of Applicable Law or created by or at the
direction of Amazon or any of its Affiliates. 
 (d) Authorization, Enforceability. 

(i) Each of the Company, and each subsidiary of the Company that is a party to any other Transaction Document, has the power
and authority to execute and deliver this Agreement and the other Transaction Documents, as applicable, and subject to obtaining the Stockholder Approval with respect to the Restricted Warrant Exercise, to consummate the transactions contemplated
hereby and thereby, and to carry out its obligations hereunder and thereunder. The execution, delivery and performance by the Company, and by each subsidiary of the Company that is a party to any other Transaction Document, of this Agreement and the
other Transaction Documents to which it is a party and the consummation of the transactions contemplated hereby and thereby have been duly authorized by all necessary corporate (or analogous) action on the part of the Company and its stockholders,
or such subsidiary and its equityholders, as applicable, and no further approval or authorization is required on the part of the Company or its stockholders, or such subsidiary or its equityholders, as

  
 7 

 
applicable, except that the Restricted Warrant Exercise will require the Stockholder Approval. This Agreement and the other Transaction Documents, assuming the due authorization, execution and
delivery by the other parties hereto and thereto, are valid and binding obligations of the Company and each such subsidiary, as applicable, enforceable against the Company and such subsidiary, respectively, in accordance with their respective terms,
except as the same may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and general equitable principles, regardless of whether such
enforceability is considered in a proceeding at law or in equity (“Bankruptcy Exceptions”). 
 (ii) The
execution, delivery and performance by the Company, and each subsidiary of the Company that is a party to any other Transaction Document, of this Agreement and the other Transaction Documents, as applicable, and the consummation of the transactions
contemplated hereby and thereby and compliance by the Company or such subsidiary, as applicable, with any of the provisions hereof and thereof, will not (A) violate, conflict with, or result in a breach of any provision of, or constitute
a default (or an event which, with notice or lapse of time or both, would constitute a default) under, or result in the termination of, or accelerate the performance required by, or result in a right of termination or acceleration of, or result in
the creation of, any lien, security interest, charge or encumbrance upon any of the properties or assets of the Company or any of its subsidiaries under any of the terms, conditions or provisions of (x) its certificate of incorporation
or by-laws (or analogous organizational documents), or (y) any note, bond, mortgage, indenture, deed of trust, license, lease, agreement or other instrument or obligation to which the Company or any of its subsidiaries is a party or by
which it or any of its subsidiaries may be bound, or to which the Company or any of its subsidiaries or any of the properties or assets of the Company or any of its subsidiaries is subject, or (B) subject to compliance with the statutes
and regulations referred to in the next paragraph, violate any law, statute, rule or regulation or any judgment, ruling, order, writ, injunction or decree applicable to the Company or any of its subsidiaries or any of their respective properties or
assets except, in the case of clauses (A)(y) and (B), for those occurrences that would not constitute a Material Adverse Effect. 

(iii) Other than (A) such notices, filings, exemptions, reviews, authorizations, consents or approvals as have
been made or obtained as of the date hereof and (B) notices, filings, exemptions, reviews, authorizations, consents or approvals as may be required under, and other applicable requirements of (1) the Hart-Scott-Rodino
Antitrust Improvements Act of 1976, as amended (the “HSR Act”), (2) any other Antitrust Laws, (3) the Exchange Act, (4) the Securities Act, (5) The NASDAQ Global Select Market,
(6) notice under the regulations and 

  
 8 

 
requirements of the United States Department of Defense and its constituent agencies, and (7) the DOT Regulations, no notice to, filing with, exemption or review by, or authorization,
consent or approval of, any federal, state, local, domestic, foreign or supranational court, administrative or regulatory agency or commission or other federal, state, local, domestic, foreign or supranational governmental authority or
instrumentality (each, a “Governmental Entity”) is required to be made or obtained by the Company or any of its subsidiaries in connection with the consummation by the Company or any of its subsidiaries of the Warrant Issuance and
the other transactions contemplated hereby and by the other Transaction Documents, except for any such notices, filings, exemptions, reviews, authorizations, consents and approvals the failure of which to make or obtain would not constitute a
Material Adverse Effect. For purposes of this Agreement, “Antitrust Laws” means the HSR Act, the Sherman Act, as amended, the Clayton Act, as amended, the Federal Trade Commission Act, as amended, and any other federal, state,
local, domestic, foreign or supranational laws that are designed to prohibit, restrict or regulate actions having the purpose or effect of monopolization or restraint of trade or that provide for review of foreign investment. 

(e) Company Financial Statements; Internal Controls. 

(i) Each of the consolidated financial statements included in the SEC Reports (A) complied as to form, as of their
respective dates of filing with the Commission, in all material respects with the applicable accounting requirements and with the rules and regulations of the Commission, (B) were prepared in accordance with GAAP, in all material
respects, applied on a consistent basis during the periods involved (except as may be indicated in such financial statements or in the notes thereto and subject, in the case of unaudited statements, to normal year-end audit adjustments and the
absence of footnote disclosure), and (C) fairly presents, in all material respects, the consolidated financial position and the consolidated results of operations and cash flows (and changes in financial position, if any) of the Company
and its subsidiaries as of the date and for the periods referred to in such financial statements. 
 (ii) Neither the
Company nor any of the Company’s subsidiaries is a party to, or has any commitment to become a party to, any joint venture, off-balance sheet partnership or any similar agreement or arrangement, where the result, purpose or effect of such
agreement or arrangement is to avoid disclosure of any material transaction involving, or material liabilities of, the Company or any of its subsidiaries in the SEC Reports (including the financial statements contained therein). 

  
 9 

 (iii) The Company has designed and maintains a system of internal control over
financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act) sufficient to provide reasonable assurances regarding the reliability of financial reporting. The Company (A) has designed and maintains disclosure
controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) to provide reasonable assurance that information required to be disclosed by the Company in the reports that it files or submits with the Commission is
recorded, processed, summarized and reported within the time periods specified in the Commission’s rules, regulations and forms, and is accumulated and communicated to the Company’s management as appropriate to allow timely decisions
regarding required disclosure, and (B) has disclosed, based on its most recent evaluation of internal control over financial reporting, to the Company’s outside auditors and the Audit Committee of the Company’s Board of
Directors (x) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting that would reasonably be expected to adversely affect the Company’s ability to record,
process, summarize and report financial information and (y) any fraud, whether or not material, that involves management or other employees who have a significant role in the Company’s internal control over financial reporting, all
of which information described in clauses (x) and (y) above has been disclosed by the Company to Amazon prior to the date hereof. Any material change in internal control over financial reporting required to be disclosed in any SEC Report
has been so disclosed. 
 (iv) Since December 31, 2012, neither the Company nor any of its subsidiaries has received
any material complaint, allegation, assertion or claim regarding the accounting or auditing practices, procedures, methodologies or methods of the Company or any of its subsidiaries or their respective internal accounting controls. 

(v) Each of the principal executive officer of the Company and the principal financial officer of the Company (or each former
principal executive officer of the Company and each former principal financial officer of the Company, as applicable) has made all certifications required by Rules 13a-14 and 15d-14 under the Exchange Act and Sections 302 and 906 of the
Sarbanes-Oxley Act of 2002, as amended (“SOX”), with respect to the SEC Reports, and the statements contained in such certifications were true and complete on the date such certifications were made. For purposes of this Agreement,
“principal executive officer” and “principal financial officer” shall have the meanings given to such terms in SOX. 

(f) No Material Adverse Effect. Since December 31, 2015, no Material Adverse Effect has occurred. 

(g) Reports. 

  
 10 

 (i) Since December 31, 2012, the Company has complied in all material
respects with the filing requirements of Sections 13(a), 14(a) and 15(d) of the Exchange Act, and of the Securities Act. 

(ii) The SEC Reports, when they became effective or were filed with the Commission, as the case may be, complied in all
material respects with the requirements of the Securities Act, the Exchange Act and SOX, as applicable, and none of such documents, when they became effective or were filed with the Commission, as the case may be, contained an untrue statement of a
material fact or omitted to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances in which they were made, not misleading. 

(h) Anti-takeover Provisions and No Rights Plan. 

(i) The actions taken by the Board of Directors of the Company to approve this Agreement, the Transaction Documents and the
transactions contemplated hereby and thereby, assuming the accuracy of the representations and warranties of Amazon set forth in Section 2.3(c), constitute all the action necessary to render inapplicable to this Agreement, the
Transaction Documents and the transactions contemplated hereby and thereby the provisions of any potentially applicable anti-takeover, control share, fair price, moratorium, interested shareholder or similar law (including, for the avoidance of
doubt, Section 203 of the Delaware General Corporation Law) and any potentially applicable provision of the Company’s certificate of incorporation or bylaws (collectively, the “Anti-takeover Provisions”). 

(ii) The Company does not have any “poison pill” or similar shareholder rights plan or agreement in effect. 

(i) No Change in Control. Except as set forth in Section 2.2(i) of the Company Disclosure Letter, neither the execution and delivery of
this Agreement or any of the other Transaction Documents, nor the consummation of the transactions contemplated hereby and thereby, will (i) result in any payment (including severance, unemployment compensation, forgiveness of
indebtedness or otherwise) becoming due to any director or any employee of the Company or any of its subsidiaries under any employment, compensation or benefit plan, program, policy, agreement or arrangement that is sponsored, maintained or
contributed to by the Company or any of its subsidiaries (each, a “Company Benefit Plan”) or otherwise; (ii) increase any benefits otherwise payable under any Company Benefit Plan; (iii) result in any
acceleration of the time of payment or vesting of any such benefits; (iv) require the funding or acceleration of funding of any trust or other funding vehicle; or (v) constitute a “change in control,” “change
of control” or other similar term under any Company Benefit Plan. 

  
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 (j) Brokers; Fees and Expenses. No broker, investment banker, financial advisor or other
person, other than Morgan Stanley & Co. LLC (the fees and expenses of which will be paid by the Company), is entitled to any broker’s, finder’s, financial advisor’s or other similar fee or commission, or the reimbursement of
expenses, in connection with the transactions contemplated by this Agreement or the other Transaction Documents based upon arrangements made by or on behalf of the Company. 

2.3. Representations and Warranties of Amazon. Amazon hereby represents and warrants as of the date of this Agreement to the Company
that: 
 (a) Organization. Amazon has been duly incorporated and is validly existing as a corporation in good
standing under the laws of the State of Delaware, with the corporate power and authority to own its properties and conduct its business in all material respects as currently conducted. Each subsidiary of Amazon that is a party to any Transaction
Document has been duly organized and is validly existing and in good standing under the laws of its jurisdiction of organization, with the corporate (or equivalent) power and authority to own its properties and conduct its business in all material
respects as currently conducted. 
 (b) Authorization, Enforceability. 

(i) Amazon and each of its subsidiaries that is a party to any other Transaction Document have the corporate or analogous
power and authority to execute and deliver this Agreement and the other Transaction Documents to which it is a party, to consummate the transactions contemplated hereby and thereby, and to carry out its obligations hereunder and thereunder. The
execution, delivery and performance by Amazon, and by each of its subsidiaries that is a party to any other Transaction Document, as applicable, of this Agreement and the other Transaction Documents to which it is a party and the consummation of the
transactions contemplated hereby and thereby have been duly authorized by all necessary corporate or analogous action on its, or such subsidiary’s part, as applicable, and no further approval or authorization is required on its, or such
subsidiary’s part, as applicable. This Agreement and the other Transaction Documents, assuming the due authorization, execution and delivery by the other parties hereto and thereto, are valid and binding obligations of Amazon, and such
subsidiary, as applicable, enforceable against it, and such subsidiary, as applicable, in accordance with their respective terms, except as the same may be limited by Bankruptcy Exceptions. Notwithstanding anything to the contrary contained herein,
the exercise of the Warrants may require further board of director (or analogous) approvals or authorizations on the part of Amazon (the “Exercise Approval”). 

  
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 (ii) The execution, delivery and performance by Amazon, or any such subsidiary,
as applicable, of this Agreement and the other Transaction Documents to which it, or any such subsidiary is a party and the consummation of the transactions contemplated hereby and thereby and compliance by it, and such subsidiary, as applicable,
with any of the provisions hereof and thereof, will not (A) violate, conflict with, or result in a breach of any provision of, or constitute a default (or an event which, with notice or lapse of time or both, would constitute a default)
under, or result in the termination of, or accelerate the performance required by, or result in a right of termination or acceleration of, or result in the creation of, any lien, security interest, charge or encumbrance upon any of its properties or
assets under any of the terms, conditions or provisions of (x) subject to Exercise Approval, its, or such subsidiary’s, as applicable, organizational documents or (y) any note, bond, mortgage, indenture, deed of trust,
license, lease, agreement or other instrument or obligation to which it, or such subsidiary, as applicable, is a party or by which it, or such subsidiary, as applicable, may be bound, or to which it, or such subsidiary, as applicable, or any of its,
or such subsidiary’s, as applicable, properties or assets is subject, or (B) subject to compliance with the statutes and regulations referred to in the next paragraph, violate any statute, rule or regulation or any judgment, ruling,
order, writ, injunction or decree applicable to it, or such subsidiary, as applicable, or any of its, or such subsidiary’s, as applicable, properties or assets except, in the case of clauses (A)(y) and (B), for those occurrences that,
individually or in the aggregate, have not had and would not reasonably be expected to have, a material adverse effect on the ability of Amazon to complete the transactions contemplated by the Transaction Documents or to perform its obligations
under the Transaction Documents. 
 (iii) Other than (A) such notices, filings, exemptions, reviews,
authorizations, consents or approvals as have been made or obtained as of the date hereof, and (B) notices, filings, exemptions, reviews, authorizations, consents or approvals as may be required under, and other applicable requirements
of (1) the HSR Act, (2) any other Antitrust Laws, (3) the Exchange Act, (4) the Securities Act and (5) DOT Regulations, no notice to, filing with, exemption or review by, or authorization,
consent or approval of, any Governmental Entity is required to be made or obtained by it or any of its subsidiaries in connection with the consummation by Amazon or any of its subsidiaries of the Warrant Issuance and the other transactions
contemplated hereby and by the other Transaction Documents, except for any such notices, filings, exemptions, reviews, authorizations, consents and approvals the failure of which to make or obtain have not had and would not reasonably be expected to
have, 

  
 13 

 
individually or in the aggregate, a material adverse effect on the ability of Amazon and its subsidiaries to complete the transactions contemplated by the Transaction Documents or to perform
their respective obligations under the Transaction Documents. 
 (c) Ownership. Other than pursuant to this Agreement
and the other Transaction Documents, neither Amazon nor any of its subsidiaries is, directly or indirectly, the Beneficial Owner of (i) any Common Stock or (ii) any securities or other instruments representing the right to
acquire Common Stock. Neither Amazon nor any of its subsidiaries has an agreement, arrangement or understanding with any person (other than the Company and its subsidiaries) to acquire, dispose of or vote any securities of the Company.
“Beneficial Ownership” shall have the meaning assigned to such term in the Stockholders Agreement. “Beneficial Owner” and “Beneficially Own” shall have conforming definitions. 

(d) Brokers; Fees and Expenses. No broker, investment banker, financial advisor or other person is entitled to any
broker’s, finder’s, financial advisor’s or other similar fee or commission, or the reimbursement of expenses, in connection with the transactions contemplated by this Agreement or the other Transaction Documents based upon
arrangements made by or on behalf of Amazon. 
 ARTICLE III 

COVENANTS 
 3.1.
Efforts. 
 (a) Subject to the terms and conditions hereof (including the remainder of this Section 3.1) and the other
Transaction Documents, each party shall use its reasonable best efforts to take, or cause to be taken, all actions and to do, or cause to be done, all things necessary, proper or desirable under Applicable Law to carry out the provisions hereof and
thereof and give effect to the transactions contemplated hereby and thereby. In furtherance and not in limitation of the foregoing, each of the parties shall (i) subject to the provisions of this Section 3.1, including
Section 3.1(d), use its reasonable best efforts to obtain as promptly as practicable and advisable (as determined in good faith by Amazon in accordance with the first sentence of Section 3.1(d)) all exemptions,
authorizations, consents or approvals from, and to make all filings with and to give all notices to, all third parties, including any Governmental Entities, required in connection with the transactions contemplated by this Agreement and the other
Transaction Documents, which, for the avoidance of doubt, shall include providing, as promptly as practicable and advisable, such information to any Governmental Entity as such Governmental Entity may request in connection therewith, and
(ii) cooperate fully with the other party in promptly seeking to obtain all such exemptions, authorizations, consents or approvals and to make all such filings and give such notices. 

  
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 (b) Without limiting the generality of the foregoing, (i) as promptly as practicable
after written notice from Amazon, the parties shall file the Notification and Report Forms required under the HSR Act with the Federal Trade Commission and the United States Department of Justice (the date on which all such Notification and Report
Forms required under the HSR Act have been initially filed, the “HSR Filing Date”) and (ii) as promptly as practicable after written notice from Amazon, file, make or give, as applicable, all other filings, requests or
notices required under any other Antitrust Laws, in each case with respect to the issuance of the Warrant Shares (the “Initial Filing Transaction”) (the filings, requests and notices described in the foregoing clauses (i) and
(ii), collectively, the “Initial Antitrust Filings”). In addition, following the receipt of the Initial Antitrust Clearance, to the extent required by Applicable Law (including, for the avoidance of doubt, any Antitrust Law) in
connection with any further issuance of Warrant Shares (in each case, whether in full or in part), the parties shall file, make or give, as applicable, as promptly as practicable and advisable (as determined in good faith by Amazon in accordance
with the first sentence of Section 3.1(d)), any further required filings, requests or notices required under any Antitrust Laws, including the HSR Act (collectively, the “Other Antitrust Filings”). Without limiting the
generality of the foregoing, each party shall supply as promptly as reasonably practicable to the appropriate Governmental Entities any information and documentary material that may be requested pursuant to the HSR Act or any other Antitrust Laws.
For purposes of this Agreement, the term “Initial Antitrust Clearance” as of any time means (x) prior to such time, the expiration or termination of the waiting period under the HSR Act and the receipt of all exemptions,
authorizations, consents or approvals, the making of all filings and the giving of all notices, and the expiration of all waiting periods, pursuant to any other Antitrust Laws, in each case to the extent required with respect to the Initial Filing
Transaction, and (y) the absence at such time of any Applicable Law or temporary restraining order, preliminary or permanent injunction or other judgment, order, writ, injunction, legally binding agreement with a Governmental Entity,
stipulation, decision or decree issued by any court of competent jurisdiction or other legal restraint or prohibition under any Antitrust Law, in each case that has the effect of preventing the consummation of the Initial Filing Transaction. 

(c) Subject to the terms and conditions hereof (including the remainder of this Section 3.1) and the other Transaction Documents,
each of the parties shall use its reasonable best efforts to avoid or eliminate each and every impediment under any Antitrust Laws that may be asserted by any Governmental Entity, so as to enable the parties to give effect to the transactions
contemplated hereby and by the other Transaction Documents in accordance with the terms hereof and thereof; provided, that notwithstanding anything to the contrary contained herein or in any of the other Transaction Documents, nothing in this
Section 3.1 shall require, or be construed to 

  
 15 

 
require, any party or any of its Affiliates to agree to (and no party or any of its Affiliates shall agree to, without the prior written consent of the other parties): (i) sell, hold
separate, divest, discontinue or limit (or any conditions relating to, or changes or restrictions in, the operation of) any assets, businesses or interests of it or its Affiliates (irrespective of whether or not such assets, businesses or interests
are related to, are the subject matter of or could be affected by the transactions contemplated by the Transaction Documents); (ii) without limiting clause (i) in any respect, any conditions relating to, or changes or restrictions
in, the operations of any such assets, businesses or interests that would reasonably be expected to adversely impact (x) the business of, or the financial, business or strategic benefits of the transactions contemplated hereby or by any
of the other Transaction Documents to it or its Affiliates, or (y) any other assets, businesses or interests of it or its Affiliates; or (iii) without limiting clause (i) in any respect, any modification or waiver of the
terms and conditions of this Agreement or any of the other Transaction Documents that would reasonably be expected to adversely impact (x) the business of, or financial, business or strategic benefits of the transactions contemplated
hereby or by any of the other Transaction Documents to it or its Affiliates, or (y) any other assets, businesses or interests of it or its Affiliates. 

(d) Amazon shall have the principal responsibility for devising and implementing the strategy (including with respect to the timing of
filings) for obtaining any exemptions, authorizations, consents or approvals required under the HSR Act or any other Antitrust Laws in connection with the transactions contemplated hereby and by the other Transaction Documents; provided,
however, that Amazon shall consult in advance with the Company and in good faith take the Company’s views into account regarding the overall antitrust strategy. Each of the parties shall promptly notify the other party of, and if in
writing furnish the other party with copies of (or, in the case of oral communications, advise the other of), any substantive communication that it or any of its Affiliates receives from any Governmental Entity, whether written or oral, relating to
the matters that are the subject of this Agreement or any of the other Transaction Documents and, to the extent reasonably practicable, permit the other party to review in advance any proposed substantive written communication by such party to any
Governmental Entity and consider in good faith the other party’s reasonable comments on any such proposed substantive written communications prior to their submission. No party shall, and each party shall cause its Affiliates not to,
participate or agree to participate in any substantive meeting or communication with any Governmental Entity in respect of the subject matter of the Transaction Documents, including on a “no names” or hypothetical basis, unless (to the
extent practicable) it or they consult with the other party in advance and, to the extent practicable and permitted by such Governmental Entity, give the other party the opportunity to jointly prepare for, attend and participate in such meeting or
communication. The parties shall (and shall cause their Affiliates to) coordinate and cooperate fully with each other in exchanging such information and providing such assistance as the other party may reasonably request in connection with the
matters described in this Section 3.1, including (x) furnishing to each other all information 

  
 16 

 
reasonably requested to determine the jurisdictions in which a filing or submission under any Antitrust Law is required or advisable, (y) furnishing to each other all information
required for any filing or submission under any Antitrust Law and (z) keeping each other reasonably informed with respect to the status of each exemption, authorization, consent, approval, filing and notice under any Antitrust Law, in
each case, in connection with the matters that are the subject of this Agreement or any of the other Transaction Documents. The parties shall provide each other with copies of all substantive correspondence, filings or communications between them or
any of their Affiliates or representatives, on the one hand, and any Governmental Entity or members of its staff, on the other hand, relating to the matters that are the subject of this Agreement or any of the other Transaction Documents;
provided that such material may be redacted as necessary to (1) comply with contractual arrangements, (2) address good faith legal privilege or confidentiality concerns and (3) comply with Applicable Law.

 (e) Subject to the other provisions of this Agreement, including in this Section 3.1, in the event that any arbitral,
administrative, judicial or analogous action, claim or proceeding is instituted (or threatened to be instituted) by a Governmental Entity or any other party challenging the transactions contemplated hereby or by any of the other Transaction
Documents (“Transaction Litigation”), each party shall use its reasonable best efforts to contest and resist any such Transaction Litigation and to have vacated, lifted, reversed or overturned any judgment, ruling, order, writ,
injunction or decree, whether temporary, preliminary or permanent, that is in effect and that prohibits, prevents or restricts consummation or implementation of the transactions contemplated hereby or by any of the other Transaction Documents. Each
party shall keep the other party reasonably informed unless doing so would reasonably be likely to jeopardize any privilege of such party regarding any such Transaction Litigation (subject to such party using reasonable best efforts to, and
cooperating in good faith with the other party in, developing and implementing reasonable alternative arrangements to provide such other party with such information). Subject to the immediately preceding sentence, each party shall promptly advise
the other party orally and in writing and shall cooperate fully in connection with, and shall consult with each other with respect to, any Transaction Litigation and shall in good faith give consideration to each other’s advice with respect to
such Transaction Litigation. 
 (f) Without limiting the generality of the foregoing, as promptly as practicable after written notice from
Amazon that Amazon intends to exercise any Warrant that would result in Amazon having beneficial control of 10% or more of the Common Stock, which notice shall be at least thirty (30) days before the date that Amazon intends such exercise,
Amazon and the Company shall jointly file a “Notice of Substantial Change of Ownership” with the DOT. Amazon and the Company shall cooperate fully in promptly providing information required to be submitted with the DOT pursuant to 14 CFR
Part 204 and responding to any associated information requests of the DOT in its review of the substantial change in the Company’s ownership and in seeking a “comfort letter” from the DOT in connection therewith. 

  
 17 

 (g) Notwithstanding anything herein to the contrary, from and after the earlier of
(i) the exercise of the Warrants in full and (ii) the expiration, termination or cancellation of the Warrants without the Warrants having been exercised in full, no party shall have any further obligations under this
Section 3.1; provided, that this Section 3.1(g) shall in no way relieve any party with respect to any breach by such party of this Section 3.1 prior to such time. 

3.2. Public Announcements. The parties acknowledge that the communication plan (including the initial press release of each party)
regarding the initial announcement of the transactions contemplated by this Agreement and the other Transaction Documents to customers, suppliers, investors and employees and otherwise (the “Initial Communications Materials”) has
been agreed by the parties. After the transmission of the Initial Communications Materials, except as required by Applicable Law or by the rules or requirements of any stock exchange on which the securities of a party are listed, no party shall
make, or cause to be made, or permit any of its Affiliates to make, any press release or public announcement or other similar communications in respect of the Transaction Documents or the transactions contemplated thereby without prior written
consent (not to be unreasonably withheld, conditioned or delayed) of the other party, to the extent such release, announcement or communication relates to the transactions contemplated hereby or by any of the other Transaction Documents;
provided that no party shall have the right to consent to any release, announcement or communication of the other party (including any filing required to be made under the Exchange Act or the Securities Act) made in the ordinary course of
business unless and to the extent such release, announcement or communication (x) relates specifically to the signing or completion of the transactions contemplated hereby or by any of the other Transaction Documents or
(y) includes information with respect to the transactions contemplated hereby or by any of the other Transaction Documents that is inconsistent with the Initial Communications Materials; provided, further, that the
immediately foregoing clauses (x) and (y) shall not apply to any release, announcement or other communication to the extent containing information that is consistent with releases, announcements or other communications previously consented
to by the other party in accordance with this Section 3.2. 
 3.3. Expenses. Unless otherwise provided in any Transaction
Document, each of the parties shall bear and pay all costs and expenses incurred by it or on its behalf in connection with the transactions contemplated under the Transaction Documents, including fees and expenses of its own financial or other
consultants, investment bankers, accountants and counsel. 
 3.4. Stockholder Approval. 

  
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 (a) As promptly as reasonably practicable after the Company’s 2016 annual meeting, the
Company shall convene and hold a special meeting (the “Special Meeting”) of the stockholders of the Company (the “Company Stockholders”) for the approval of the authorization of the Restricted Warrant Exercise (for
the avoidance of doubt, without giving effect to any “cashless” or “net” exercise provisions therein) under the rules of The NASDAQ Global Select Market (the “Stockholder Approval”). As promptly as reasonably
practicable after the date of the Company’s 2016 annual meeting, the Company shall prepare (and Amazon shall reasonably cooperate with the Company to prepare) and file with the Commission a preliminary proxy statement relating to the Special
Meeting. 
 (b) The Company shall use its reasonable best efforts to respond to any comments of the Commission or its staff in connection
with the proxy statement. The Company shall notify Amazon promptly of the receipt of any comments from the Commission or its staff with respect to the proxy statement and of any request by the Commission or its staff for amendments or supplements to
such proxy statement or for additional information and shall supply Amazon with copies of all correspondence between the Company or any of its representatives, on the one hand, and the Commission or its staff, on the other hand, with respect to such
proxy statement. If at any time prior to the Special Meeting there shall occur any event that is required to be set forth in an amendment or supplement to the proxy statement, the Company shall as promptly as reasonably practicable prepare and mail
to the Company Stockholders such an amendment or supplement. Each of the parties shall promptly correct any information provided by it or on its behalf for use in the proxy statement if and to the extent that such information shall have become false
or misleading in any material respect, and the Company shall as promptly as reasonably practicable prepare and furnish to the Company Stockholders an amendment or supplement to correct such information to the extent required by Applicable Laws and
regulations. The Company shall consult with Amazon prior to filing any proxy statement, or any amendment or supplement thereto, or responding to any comments from the Commission or its staff with respect thereto, and provide Amazon with a reasonable
opportunity to comment thereon, and consider in good faith any comments proposed by Amazon. 
 (c) The Company shall, as promptly as
reasonably practicable after clearance of the proxy statement relating to the Special Meeting by the Commission, (i) cause a definitive proxy statement relating to the Special Meeting to be mailed to the Company Stockholders and
(ii) convene and hold the Special Meeting (and in any event the Company shall convene and hold the Special Meeting by September 30, 2016); provided that the parties acknowledge and agree that the Special Meeting may be
postponed or adjourned in accordance with the Company’s certificate of incorporation or by-laws if (x) there is an insufficient number of shares of Common Stock present or represented by a proxy at the Special Meeting to conduct
business at such Special Meeting, (y) the Company is required to postpone or adjourn the Special Meeting by Applicable Law or a 

  
 19 

 
request from the Commission or its staff, or (z) the Company determines in good faith that it is necessary or appropriate to postpone or adjourn the Special Meeting in order to give
the Company Stockholders sufficient time to (1) evaluate any information or disclosure that the Company has sent or otherwise made available to them or (2) solicit additional proxies to the extent required to obtain the
Stockholder Approval. The Company and Amazon shall reasonably cooperate in determining the strategy with respect to obtaining the Stockholder Approval at the Special Meeting. 

(d) The Company shall use its reasonable best efforts to obtain the Stockholder Approval. Without limiting the foregoing, the Company shall
(x) recommend that the Company Stockholders vote in favor of the Stockholder Approval (and not withdraw or modify in any adverse respect such recommendation), unless the Board of Directors of the Company has determined in good faith,
after receiving advice from its outside counsel, that, as a result of an Intervening Event, continuing to recommend that the Company Stockholders vote in favor of the Stockholder Approval would be inconsistent with the directors’ fiduciary
duties under Delaware law, and (y) solicit proxies in favor of the Stockholder Approval. “Intervening Event” means a material event or circumstance that was not known or reasonably foreseeable to the Board of Directors
of the Company prior to the execution of this Agreement, which event or circumstance, or any material consequence thereof, becomes known to the Board of Directors of the Company prior to the receipt of the Stockholder Approval. 

(e) Amazon shall furnish the Company all information reasonably requested by the Company concerning itself, its Affiliates, directors,
officers, stockholders and such other matters as may be reasonably necessary or advisable in connection with the proxy statement in connection with the Special Meeting and shall otherwise assist and cooperate with the Company in the preparation of
the proxy statement and the resolution of any comments thereto received from the Commission. 
 (f) In the event that (i) the
Stockholder Approval is not obtained at the Special Meeting (or any postponement or adjournment thereof) and (ii) Amazon has not exercised its right to terminate this Agreement pursuant to Section 5.1(a)(iii), the Company
shall convene and hold additional meetings of the Company Stockholders (each such meeting, an “Additional Company Stockholder Meeting” and, together with the Special Meeting, the “Company Stockholder Meetings”) for
the purpose of obtaining the Stockholder Approval; provided that (x) the Company shall not be required to convene and hold more than three Company Stockholder Meetings for the purpose of obtaining the Stockholder Approval in the
aggregate, (y) the Company shall not be required to convene and hold more than one Company Stockholder Meeting for the purpose of obtaining the Stockholder Approval in any twelve-month period and (z) the Company shall
reasonably cooperate with Amazon in determining the timing of convening any Additional Company Stockholder Meetings. The provisions of this Section 3.4 shall apply, mutatis mutandis, to any Additional Company Stockholder

  
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Meeting and any proxy statement related thereto. The Company’s obligations under this Section 3.4 shall terminate and expire immediately following the second Additional Company
Stockholder Meeting (or, in the event of any adjournment or postponement thereof, immediately following the date on which the second Additional Company Stockholder Meeting shall have concluded). 

3.5. Tax Treatment. No later than ninety (90) days after the Warrant Issuance, Amazon shall provide the Company with a valuation
of the Warrants for tax purposes and a valuation report prepared by KPMG LLP (or such other accounting firm as may be agreed upon by the parties), taking into account the vesting schedule and any other relevant economic assumptions or inputs with
respect to such Warrants as determined by such firm or Amazon, as appropriate. Such valuation shall be binding on Amazon and the Company for all tax purposes. Amazon and the Company shall treat the Warrant Issuance as a closed, taxable transaction
occurring on the date of the Warrant Issuance, rather than as an open transaction, for tax purposes. Neither Amazon nor the Company shall take any position for tax purposes that is inconsistent with the foregoing, unless required by Applicable Law.
At the Closing, Amazon will deliver, and will cause Amazon Fulfillment Services, Inc. to deliver, to the Company a complete and executed Internal Revenue Service Form W-9. 

3.6. Top-Up Adjustment. 

(a) If the Company shall at any time or from time to time issue shares of Common Stock after the Expiration Time of Warrant-A (as defined in
Warrant-A) or the Expiration Time of Warrant-B (as defined in Warrant-B), as applicable, to (i) any holder of the Convertible Notes due 2022 upon the conversion of the Convertible Notes due 2022 (net of any shares of Common Stock
delivered to the Company upon the exercise of the Existing Call Options in connection with such conversion of the Convertible Notes due 2022) or (ii) any holder of the Existing Warrants upon exercise of the Existing Warrants (such shares
of Common Stock issued at such time to such holders, the “New Shares”), then the Company shall, as promptly as practicable after such issuance, issue to the Warrantholder (as defined in Warrant-A) or the Warrantholder (as defined in
Warrant-B), as applicable, a number of shares of Common Stock equal to the Top-Up Number with respect to Warrant-A or Warrant-B, as applicable. In the event that the Company (1) refinances the Convertible Notes due 2022 with other notes
convertible into Common Stock (the “Refinancing Convertible Notes”) and/or (2) replaces the Existing Warrants with other warrants issued in connection with the issuance of such Refinancing Convertible Notes (the
“Replacement Warrants”), the top-up adjustment set forth in this Section 3.6 shall apply, mutatis mutandis, with respect to any new shares of Common Stock issued by the Company upon the conversion of such
Refinancing Convertible Notes or upon the exercise of the Replacement Warrants, with the “New Shares” in that circumstance being the number of new shares of Common Stock issued upon the conversion of such Refinancing Convertible Notes (net
of any shares of Common Stock 

  
 21 

 
delivered to the Company in respect of any call options or other hedging arrangement put in place by the Company in connection with such Refinancing Convertible Notes (“Replacement
Hedging Arrangement”)) or upon the exercise of the Replacement Warrants, as applicable. 
 (b) For the avoidance of doubt, for
purposes of determining the number of “New Shares” issued by the Company pursuant to the Convertible Notes due 2022 (or any Refinancing Convertible Notes), the Company shall not be deemed to be issuing “New Shares” to the extent
the Company obtains an equivalent number of shares of Common Stock upon exercise of the Existing Call Options (or any Replacement Hedging Arrangement) and delivers such shares of Common Stock to the holders of the Convertible Notes due 2022 (or the
holders of Refinancing Convertible Notes, as applicable) upon the conversion thereof; provided, however, that, for the avoidance of doubt, this exclusion shall not apply to issuances of shares of Common Stock by the Company the
proceeds of which are used to finance the payment in cash of the strike price of the Existing Call Options (or pursuant to any Replacement Hedging Arrangement, as applicable). 

(c) “Existing Call Option Agreements” means (i) the Base Call Option Transaction Confirmation, dated as of
May 28, 2015 (as amended or modified from time to time), between Morgan Stanley & Co. International plc and the Company, (ii) the Additional Call Option Transaction Confirmation, dated as of June 1, 2015 (as amended or
modified from time to time), between Morgan Stanley & Co. International plc and the Company, (iii) the Base Call Option Transaction Confirmation, dated as of May 28, 2015 (as amended or modified from time to time), between
BNP Paribas and the Company and (iv) the Additional Call Option Transaction Confirmation, dated as of June 1, 2015 (as amended or modified from time to time), between BNP Paribas and the Company. 

(d) “Existing Call Options” means the call options for the purchase of shares of Common Stock issued pursuant to the Existing
Call Option Agreements. 
 (e) “Net Cash Ratio” means, with respect to any issuances of New Shares, (1) in the
case of Warrant-A, a fraction (i) the numerator of which is the excess of (x) the VWAP (as defined in Warrant-A) for the Common Stock for the thirty (30) trading days immediately preceding the date of such issuance over
(y) the Exercise Price as of the Expiration Time (each as defined in Warrant-A) and (ii) the denominator of which is the VWAP (as defined in Warrant-A) for the Common Stock for the 30 trading days immediately preceding the
date of such issuance and (2) in the case of Warrant-B, a fraction (i) the numerator of which is the excess of (x) the VWAP (as defined in Warrant-B) for the Common Stock for the thirty (30) trading days
immediately preceding the date of such issuance over (y) the Exercise Price as of the Expiration Time (each as defined in Warrant-B) and (ii) the denominator of which is the VWAP (as defined in Warrant-B) for the Common Stock
for the thirty (30) trading days immediately preceding the date of such issuance. 

  
 22 

 (f) “Refinancing Cap” means, at the time of any issuance of Refinancing
Convertible Notes, the total number of shares of Common Stock that would be issuable upon conversion of any outstanding Convertible Notes due 2022 at such time, net of the total number of shares of Common Stock deliverable to the Company upon the
exercise of the Existing Call Options at such time. For the avoidance of doubt, the Refinancing Cap will be reduced on a share-for-share basis by any shares of Common Stock issued by the Company to the holders of the Convertible Notes due 2022 prior
to or in connection with any such refinancing that results in a top-up issuance to the holder of Warrant-A or Warrant-B pursuant to Section 3.6. 

(g) “Replacement Cap” means, at the time of the replacement of any Existing Warrants with any Replacement Warrants, the total
number of unissued shares of Common Stock that remain issuable upon the exercise of such Existing Warrants at such time and with respect to which such Existing Warrants will expire and be cancelled upon such replacement. For the avoidance of doubt,
the Replacement Cap will be reduced on a share-for-share basis by any shares of Common Stock issued by the Company to the holders of the Existing Warrants prior to or in connection with any such replacement that results in a top-up issuance to the
holder of Warrant-A or Warrant-B pursuant to Section 3.6. 
 (h) “Top-Up Number” means, with respect to any
issuances of New Shares, (1) in the case of Warrant-A, the product of (i) 0.25, (ii) the number of New Shares, (iii) the Net Cash Ratio and (iv) a fraction (x) the numerator of
which shall be the total number of Warrant Shares that were issued to the Warrantholder upon any exercise of Warrant-A during the term of Warrant-A and (y) the denominator of which shall be the total number of Warrant Shares (exercised
or unexercised, vested or unvested) under Warrant-A as of the Expiration Time of Warrant-A (as defined in Warrant-A) and (2) in the case of Warrant-B, the product of (i) 0.111, (ii) the number of New Shares,
(iii) the Net Cash Ratio and (iv) a fraction (x) the numerator of which shall be the total number of Warrant Shares that were issued to the Warrantholder upon any exercise of Warrant-B during the term of Warrant-B
and (y) the denominator of which shall be the total number of Warrant Shares (exercised or unexercised, vested or unvested) under Warrant-B as of the Expiration Time of Warrant-B (as defined in Warrant-B). In the event that the Top-Up
Number is being calculated as a result of the issuance of New Shares upon the conversion of any Refinancing Convertible Notes, the maximum aggregate number of New Shares that may be included in clause (1)(ii) or clause (2)(ii) of the
foregoing formula shall not exceed the Refinancing Cap, and in the event that the Top-Up Number is being calculated as a result of the issuance of New Shares upon the exercise of any Replacement Warrants, the maximum aggregate number of New Shares
that may be included in clause (1)(ii) or clause (2)(ii) above shall not exceed the Replacement Cap. 

  
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 ARTICLE IV 

ADDITIONAL AGREEMENTS 

4.1. Acquisition for Investment. Amazon acknowledges that the issuance of the Warrants and the Warrant Shares has not been registered
under the Securities Act or under any state securities laws. Amazon (i) acknowledges that it is acquiring the Warrants and the Warrant Shares pursuant to an exemption from registration under the Securities Act solely for investment with
no present intention to distribute them to any person in violation of the Securities Act or any other applicable securities laws, (ii) agrees that it shall not (and shall not permit its Affiliates to) sell or otherwise dispose of the
Warrants or the Warrant Shares, except in compliance with the registration requirements or exemption provisions of the Securities Act and any applicable securities laws, (iii) acknowledges that it has such knowledge and experience in
financial and business matters and in investments of this type that it is capable of evaluating the merits and risks of the Warrant Issuance and of making an informed investment decision, and has conducted a review of the business and affairs of the
Company that it considers sufficient and reasonable for purposes of consummating the Warrant Issuance, (iv) acknowledges that it is able to bear the economic risk of the Warrant Issuance and is able to afford a complete loss of such
investment and (v) acknowledges that it is an “accredited investor” (as that term is defined by Rule 501 under the Securities Act). 

4.2. Legend. Amazon agrees that all certificates or other instruments representing the Warrants and the Warrant Shares shall bear a
legend substantially to the following effect: 
 “THE SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS OR PURSUANT
TO AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT OR SUCH LAWS. THIS INSTRUMENT IS ISSUED PURSUANT TO AND SUBJECT TO THE RESTRICTIONS ON TRANSFER AND OTHER PROVISIONS OF (1) AN INVESTMENT AGREEMENT, DATED AS OF MAY 4, 2016, BY AND BETWEEN
THE ISSUER OF THESE SECURITIES AND AMAZON.COM, INC., A DELAWARE CORPORATION, A COPY OF WHICH IS ON FILE WITH THE ISSUER AND (2) A STOCKHOLDERS AGREEMENT, DATED AS OF MAY 4, 2016, BY AND BETWEEN THE ISSUER OF THESE SECURITIES AND
AMAZON.COM, INC. THE SECURITIES REPRESENTED BY THIS INSTRUMENT MAY NOT BE SOLD OR OTHERWISE TRANSFERRED EXCEPT IN COMPLIANCE WITH SAID AGREEMENTS. ANY SALE OR OTHER TRANSFER NOT IN COMPLIANCE WITH SAID AGREEMENTS WILL BE VOID.” 

  
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 In the event that any Warrant Shares become registered under the Securities Act or the Company is presented with
an opinion of counsel reasonably satisfactory, in form and substance, to the Company that the Warrant Shares are eligible to be transferred without restriction in accordance with Rule 144 under the Securities Act, the Company shall issue new
certificates or other instruments representing such Warrant Shares which shall not contain such portion of the above legend that is no longer applicable; provided that the holder of such Warrant Shares surrenders to the Company the previously
issued certificates or other instruments. 
 4.3. Anti-takeover Provisions and Rights Plan. The Company shall not take any action
that would cause this Agreement or any of the other Transaction Documents, or any of the transactions contemplated hereby or thereby, to be subject to any requirements imposed by any Anti-takeover Provision, or subject in any manner to any
“poison pill” or similar shareholder rights plan or agreement, and shall take all necessary steps within its control to exempt (or ensure the continued exemption of) the Transaction Documents and such transactions from, or if necessary
challenge the validity or applicability of, any applicable Anti-takeover Provisions, as now or hereafter in effect. 
 ARTICLE V 

MISCELLANEOUS 
 5.1.
Termination of This Agreement; Other Triggers. 
 (a) This Agreement may be terminated at any time: 

(i) with the prior written consent of each of Amazon and the Company; 

(ii) if the Initial Antitrust Clearance shall not have been obtained on or prior to the date that is six (6) months after
the latest date of the Initial Antitrust Filings, by Amazon; provided that Amazon may not exercise the termination right pursuant to this Section 5.1(a)(ii) if a breach by Amazon of any obligation, representation or warranty under
this Agreement has been the cause of, or resulted in, the failure of the Initial Antitrust Clearance to have been obtained on or prior to the date that is six (6) months after the latest date of the Initial Antitrust Filings; 

(iii) if the Stockholder Approval shall not have been obtained at the Special Meeting or any postponement or adjournment
thereof, by Amazon; provided that Amazon may not exercise the termination right pursuant to this Section 5.1(a)(iii) if a breach by Amazon of any obligation, representation or 

  
 25 

 
warranty under this Agreement has been the cause of, or resulted in, the failure of the Stockholder Approval to have been obtained at the Special Meeting or any postponement or adjournment
thereof; provided, further, that Amazon’s right to terminate this Agreement pursuant to this Section 5.1(a)(iii) will expire on the 90th day after the Special Meeting (or, in the event of any adjournment or
postponement thereof, on the 90th day after the latest date to which the Company Stockholder Meeting shall have been adjourned or postponed); or 

(iv) prior to the receipt of Stockholder Approval, if the Board of Directors of the Company withdraws or modifies in any
adverse respect its recommendation that the Company Stockholders vote in favor of the Stockholder Approval (without any prejudice to any rights and remedies Amazon may have if the change of recommendation is made other than pursuant to a
determination contemplated by Section 3.4(d)), by Amazon. 
 (b) In the event that (i) the Stockholder Approval is
not obtained at the Special Meeting (or any postponement or adjournment thereof), (ii) Amazon has not exercised its right to terminate this Agreement pursuant to Section 5.1(a)(iii) and (iii) the Company is
required to convene and hold an Additional Company Stockholder Meeting pursuant to Section 3.4(f), the termination right set forth in Section 5.1(a)(iii) shall be reinstated with respect to each Additional Company Stockholder
Meeting at which the Stockholder Approval is not obtained until, and shall expire on, the 90th day after such Additional Company Stockholder Meeting (or, in the event of any adjournment or postponement thereof, on the 90th day after the latest date
to which such Additional Company Stockholder Meeting shall have been adjourned or postponed). 
 (c) In the event of termination of this
Agreement as provided in this Section 5.1, this Agreement (other than Section 1.3 (Interpretation), Section 3.1 (Efforts), Section 3.2 (Public Announcements),
Section 3.3 (Expenses), Section 3.6 (Top-Up Adjustment), Section 4.1 (Acquisition for Investment) (to the extent any Warrants or Warrant Shares have been issued prior to termination) and
Section 4.2 (Legend) (to the extent any Warrants or Warrant Shares have been issued prior to termination) and this Article V, each of which shall survive any termination of this Agreement, and other than the Confidentiality
Agreement, which shall survive in accordance with the terms thereof) shall forthwith become void and there shall be no liability on the part of any party, except that nothing herein shall relieve any party from liability for any breach of this
Agreement prior to such termination; provided that if this Agreement is terminated by Amazon pursuant to Section 5.1(a)(iii) or (iv), the Company shall pay to Amazon, by wire transfer of immediately available funds to an
account designated by Amazon, an amount equal to $9,500,000 (in the case of termination under Section 5.1(a)(iii)) or $20,000,000 (in the case of termination under Section 5.1(a)(iv)), in each case, immediately following such
termination; provided, further, that in no event shall more than one termination fee be payable hereunder. 

  
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 (d) Without affecting in any manner any prior exercise of the Warrants, in the event of
termination of this Agreement as provided in this Section 5.1, both (i) the unvested portions of the Warrants and (ii) (A) in the case of termination pursuant to Section 5.1(a)(ii), the
vested portion of the Warrants that cannot be exercised as a result of the failure to obtain the Initial Antitrust Clearance or (B) in the case of termination pursuant to Section 5.1(a)(iii), or pursuant to any other clause
of Section 5.1(a) prior to the receipt of the Stockholder Approval, in any such case the vested portion of the Warrants that cannot be exercised as a result of the failure to obtain the Stockholder Approval shall be canceled and
terminated and shall forthwith become void and the Company shall have no subsequent obligation to issue, and the Warrantholder(s) (as defined in the Warrants) shall have no subsequent right to acquire, any Warrant Shares pursuant to such canceled
portion of the Warrants. For the avoidance of doubt, the Warrants shall remain in full force and effect with respect to the vested portion thereof that is not cancelled and terminated as provided in clause (ii) of the preceding sentence, and
nothing in this Section 5.1 shall affect the ability of the Amazon to exercise such vested portion of the Warrants following termination of this Agreement. 

5.2. Amendment. No amendment of any provision of this Agreement shall be effective unless made in writing and signed by a duly
authorized officer of each party. 
 5.3. Waiver of Conditions. The conditions to any party’s obligation to consummate any
transaction contemplated herein are for the sole benefit of such party and may be waived by such party in whole or in part to the extent permitted by Applicable Law. No waiver shall be effective unless it is in writing signed by a duly authorized
officer of the waiving party that makes express reference to the provision or provisions subject to such waiver. 
 5.4. Counterparts and
Facsimile. This Agreement may be executed in any number of separate counterparts, each such counterpart being deemed to be an original instrument, and all such counterparts shall together constitute the same agreement. Executed signature pages
to this Agreement may be delivered by facsimile or transmitted electronically by “pdf” file and such facsimiles or pdf files shall be deemed as sufficient as if actual signature pages had been delivered. 

5.5. Governing Law; Submission to Jurisdiction; WAIVER OF JURY TRIAL. This Agreement shall be governed by, and construed and
enforced in accordance with, the laws of the State of Delaware, without regard to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any
jurisdiction other than the State of Delaware. In addition, each of the parties (a) submits to the personal jurisdiction of the Delaware Court of Chancery in and for New Castle County, or in the event (but only in the event) that such
Delaware Court of Chancery does not have subject matter jurisdiction over such dispute, the United States District Court for the District of Delaware, or in the event (but only in the 

  
 27 

 
event) that such United States District Court also does not have jurisdiction over such dispute, any Delaware State court sitting in New Castle County, in the event any dispute (whether in
contract, tort or otherwise) arises out of this Agreement or the transactions contemplated hereby, (b) agrees that it shall not attempt to deny or defeat such personal jurisdiction by motion or other request for leave from any such
court, and (c) agrees that it shall not bring any claim, action or proceeding relating to this Agreement or the transactions contemplated hereby in any court other than the Delaware Court of Chancery in and for New Castle County, or in
the event (but only in the event) that such Delaware Court of Chancery does not have subject matter jurisdiction over such claim, action or proceeding, the United States District Court for the District of Delaware, or in the event (but only in the
event) that such United States District Court also does not have jurisdiction over such claim, action or proceeding, any Delaware State court sitting in New Castle County. Each party agrees that service of process upon such party in any such claim,
action or proceeding shall be effective if notice is given in accordance with the provisions of this Agreement. EACH PARTY HEREBY WAIVES TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
CLAIM, ACTION OR PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. EACH PARTY (i) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY
HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (ii) ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT, BY, AMONG OTHER
THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 5.5. 
 5.6. Notices. Any notice, request, instruction or
other document to be given hereunder by any party to the other shall be in writing and shall be deemed to have been duly given (a) if sent by registered or certified mail in the United States return receipt requested, upon receipt,
(b) if sent by nationally recognized overnight air courier, one Business Day after mailing, (c) if sent by email or facsimile transmission, with a copy mailed on the same day in the manner provided in clauses (a) or
(b) of this Section 5.6 when transmitted and receipt is confirmed, or (d) if otherwise actually personally delivered, when delivered. All notices hereunder shall be delivered as set forth below, or pursuant to such other
instructions as may be designated in writing by the party to receive such notice. 

  
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 If to the Company, to: 
  

			
	Name:	 	Atlas Air Worldwide Holdings, Inc.
	Address:	 	 2000 Westchester Avenue
 Purchase, NY
10577

	Fax:	 	(914) 701-8333
	Email:	 	Adam.Kokas@atlasair.com
	Attn:	 	Adam R. Kokas, EVP, General Counsel, CHRO & Secretary

 with a copy to (which copy alone shall not constitute notice): 

 

			
	Name:	 	Cravath, Swaine & Moore LLP
	Address:	 	 Worldwide Plaza
 825 Eighth Avenue

New York, NY 10019

	Fax:	 	(212) 474-3700
	Email:	 	 dzoubek@cravath.com

khallam@cravath.com

	Attn:	 	 Damien R. Zoubek, Esq.
 O. Keith Hallam III,
Esq.

 if to Amazon, to: 
  

			
	Name:	 	Amazon.com, Inc.
	Address:	 	 410 Terry Avenue North
 Seattle, WA
98109-5210

	Fax:	 	(206) 266-7010
	Attn:	 	General Counsel

 with a copy to (which copy alone shall not constitute notice): 

 

			
	Name:	 	Debevoise & Plimpton LLP
	Address:	 	 919 Third Avenue
 New York, NY
10022

	Fax:	 	(212) 521-7698
	Email:	 	wdregner@debevoise.com
	Attn:	 	William D. Regner

 5.7. Entire Agreement, Etc. This Agreement (including the Annexes hereto), the other Transaction
Documents, and the Confidentiality Agreement constitute the entire agreement, and supersede all other prior agreements, understandings, representations and warranties, both written and oral, between the parties, with respect to the subject matter
hereof. No party shall take, or cause to be taken, including by entering into agreements or other arrangements with provisions or obligations that conflict, or purport to conflict, with the terms of the Transaction Documents or any of the
transactions contemplated thereby, any action with either an intent or effect of impairing any such other person’s 

  
 29 

 
rights under any of the Transaction Documents. “Confidentiality Agreement” means that certain Mutual Nondisclosure Agreement, dated as of June 11, 2015, by and between
Amazon Fulfillment Services, Inc. and the Company. 
 5.8. Definitions of “subsidiary” and “Affiliate”. 

(a) When a reference is made in this Agreement to a subsidiary of a person, the term “subsidiary” means, with respect to such
person, any foreign or domestic entity, whether incorporated or unincorporated, of which (i) such person or any other subsidiary of such person is a general partner, (ii) at least a majority of the voting power to elect a
majority of the directors or others performing similar functions with respect to such other entity is directly or indirectly owned or controlled by such person or by any one or more of such person’s subsidiaries, or (iii) at least
fifty percent (50%) of the equity interests are directly or indirectly owned or controlled by such person or by any one or more of such person’s subsidiaries. 

(b) The term “Affiliate” means, with respect to any person, any other person (for all purposes hereunder, including any
entities or individuals) that directly or indirectly, through one or more intermediaries, Controls, is Controlled by, or is under common Control with, such first person. It is expressly agreed that, for purposes of this definition, none of the
Company or any of its subsidiaries is an Affiliate of Amazon or any of its subsidiaries (and vice versa). “Control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management and
policies of a person, whether through the ownership of securities, by contract, management control, or otherwise. “Controlled” and “Controlling” shall be construed accordingly. 

5.9. Assignment. Neither this Agreement nor any right, remedy, obligation nor liability arising hereunder or by reason hereof shall be
assignable by any party without the prior written consent of the other party, and any attempt to assign any right, remedy, obligation or liability hereunder without such consent shall be void, except that Amazon may transfer or assign, in whole or
from time to time in part, to one or more of its direct or indirect wholly owned subsidiaries, its rights and/or obligations under this Agreement, but any such transfer or assignment shall not relieve Amazon of its obligations hereunder. Subject to
the preceding sentence, this Agreement shall be binding upon, inure to the benefit of and be enforceable by the parties and their respective successors and assigns. 

5.10. Severability. If any provision of this Agreement or a Transaction Document, or the application thereof to any person or
circumstance, is determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions hereof, or the application of such provision to persons or circumstances other than those as to which it has been held
invalid or unenforceable, shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby, so long as the economic or legal substance of the transactions contemplated hereby or thereby is not affected in any
manner materially adverse to any party. Upon such determination, the parties shall negotiate in good faith in an effort to agree upon a suitable and equitable substitute provision to effect the original intent of the parties. 

  
 30 

 5.11. No Third Party Beneficiaries. Nothing contained in this Agreement, expressed or
implied, is intended to confer upon any person other than the parties (and any wholly owned subsidiary of Amazon to which an assignment is made in accordance with this Agreement) any benefits, rights, or remedies. 

5.12. Specific Performance. The parties agree that failure of any party to perform its agreements and covenants hereunder, including a
party’s failure to take all actions as are necessary on such party’s part in accordance with the terms and conditions of this Agreement to consummate the transactions contemplated hereby, will cause irreparable injury to the other party,
for which monetary damages, even if available, will not be an adequate remedy. It is agreed that the parties shall be entitled to equitable relief including injunctive relief and specific performance of the terms hereof, without the requirement of
posting a bond or other security, and each party hereby consents to the issuance of injunctive relief by any court of competent jurisdiction to compel performance of a party’s obligations and to the granting by any court of the remedy of
specific performance of such party’s obligations hereunder, this being in addition to any other remedies to which the parties are entitled at law or equity. 

* * * 

  
 31 

 IN WITNESS WHEREOF, this Agreement has been duly executed and delivered by the duly authorized
officers of the parties as of the date first herein above written. 
  

					
	 ATLAS AIR WORLDWIDE

HOLDINGS, INC.

		
	By:	 	/s/ Spencer Schwartz
		 	Name:	 	Spencer Schwartz
		 	Title:	 	Executive Vice President and Chief Financial Officer
	
	AMAZON.COM, INC.
		
	By:	 	/s/ Peter Krawiec
		 	Name:	 	Peter Krawiec
		 	Title:	 	Vice President

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