Document:

EX-10.11

 Exhibit 10.11 

EXECUTION VERSION 
 SHARED
SERVICES AGREEMENT 
 by and among 

VERSO PAPER CORP., 
 NEWPAGE
HOLDINGS INC. 
 and 
 NEWPAGE
CORPORATION 
 Dated as of January 7, 2015 

 Table of Contents 

 

					
	 	  	Page	 
		
	 ARTICLE I DEFINITIONS
	  	 	1	  
		
	   1.01 Definitions
	  	 	1	  
		
	 ARTICLE II TERM
	  	 	4	  
		
	   2.01 Term
	  	 	4	  
		
	 ARTICLE III SHARED SERVICES; INTERCOMPANY TRANSACTIONS
	  	 	4	  
		
	   3.01 Shared Services
	  	 	4	  
	   3.02 Intercompany Transactions
	  	 	4	  
		
	 ARTICLE IV SYNGERGIES
	  	 	4	  
		
	   4.01 Synergies
	  	 	4	  
		
	 ARTICLE V COST ALLOCATION
	  	 	5	  
	   5.01 Shared Services Costs
	  	 	5	  
	   5.02 Synergy Implementation Costs
	  	 	5	  
	   5.03 Make-Whole Payments
	  	 	5	  
	   5.04 Allocation Methodology Evaluation
	  	 	5	  
	   5.05 Non-Cash Cost Allocation
	  	 	6	  
	   5.06 Invoicing and Payment
	  	 	6	  
	   5.07 Quarterly True-Up Statements
	  	 	7	  
	   5.08 Determination and Payment
	  	 	7	  
		
	 ARTICLE VI SERVICE MANAGEMENT
	  	 	8	  
		
	   6.01 Steering Committee
	  	 	8	  
	   6.02 Additional Services
	  	 	8	  
	   6.03 Changes to Shared Services
	  	 	8	  
	   6.04 Service Quality
	  	 	9	  
		
	 ARTICLE VII REPRESENTATIONS AND WARRANTIES
	  	 	9	  
	   7.01 Representations and Warranties of Verso
	  	 	9	  
	   7.02 Representations and Warranties of NewPage
	  	 	9	  
		
	 ARTICLE VIII INDEMNITY
	  	 	10	  
	   8.01 Indemnity by NewPage
	  	 	10	  
	   8.02 Procedure
	  	 	10	  
	   8.03 Limitation on Indemnity
	  	 	10	  
		
	 ARTICLE IX
	  	 	10	  
	   9.01 Certain Intellectual Property Matters
	  	 	10	  
	   9.02 Network Access and Security
	  	 	11	  
	   9.03 Taxes
	  	 	12	  

  
 -i- 

					
	 ARTICLE X DEFAULT
	  	 	12	  
		
	 10.01 Definition
	  	 	12	  
	 10.02 Verso Default
	  	 	12	  
	 10.03 NewPage Default
	  	 	13	  
	 10.04 Bankruptcy
	  	 	13	  
	 10.05 Reorganization/Receiver
	  	 	13	  
	 10.06 Delays and Omissions
	  	 	14	  
		
	 ARTICLE XI TERMINATION
	  	 	14	  
		
	 11.01 Terminating Events
	  	 	14	  
	 11.02 Termination for Convenience
	  	 	14	  
	 11.03 Effect of Termination
	  	 	14	  
		
	 ARTICLE XII NOTICES
	  	 	14	  
		
	 12.01 Notices
	  	 	14	  
		
	 ARTICLE XIII DISPUTE RESOLUTION
	  	 	15	  
		
	 13.01 Resolution Procedure
	  	 	15	  
	 13.02 Exchange of Written Statements
	  	 	15	  
	 13.03 Good Faith Negotiations
	  	 	15	  
	 13.04 Determination of Steering Committee
	  	 	16	  
		
	 ARTICLE XIV MISCELLANEOUS
	  	 	16	  
		
	 14.01 Assignment
	  	 	16	  
	 14.02 Construction
	  	 	16	  
	 14.03 Confidentiality
	  	 	16	  
	 14.04 Governing Law
	  	 	17	  
	 14.05 Severability
	  	 	17	  
	 14.06 Attorneys’ Fees
	  	 	17	  
	 14.07 Entire Agreement
	  	 	17	  
	 14.08 Counterparts
	  	 	17	  
	 14.09 Force Majeure
	  	 	18	  
	 14.10 No Warranties
	  	 	18	  
	 14.11 Headings
	  	 	18	  
	 14.12 Waiver
	  	 	18	  
	 14.13 Consent to Jurisdiction
	  	 	18	  
	 14.14 Waiver of Jury Trial
	  	 	19	  
	 14.15 Third Party Beneficiaries
	  	 	19	  
	 14.16 Amendments
	  	 	19	  
	 14.17 No Right of Set-Off
	  	 	19	  

  
 -ii- 

 Exhibits 
  

			
		
	Exhibit A	  	Shared Services
		
	Exhibit B	  	Intercompany Transactions
		
	Exhibit C	  	Synergies

  
  

  
 -iii- 

 SHARED SERVICES AGREEMENT 

Shared Services Agreement (the “Agreement”), dated as of January 7, 2015, by and among Verso Paper Corp., a Delaware
corporation (“Verso”), NewPage Holdings Inc., a Delaware corporation (“NewPage Parent”), and NewPage Corporation, a Delaware corporation (“NewPage”) (each of NewPage and Verso, a “Primary
Party” and collectively the “Primary Parties”) (collectively, the “Parties”). Capitalized terms have the meanings set forth in Article I. 

RECITALS 
 WHEREAS,
pursuant to that certain Agreement and Plan of Merger, dated as of January 3, 2014 (as amended from time to time, the “Merger Agreement”), by and among Verso, Verso Merger Sub Inc. and NewPage Parent, Verso agreed to acquire
NewPage Parent and NewPage, on the terms and subject to the conditions set forth in the Merger Agreement; 
 WHEREAS, as required by
Verso’s debt financing, and as contemplated by the Merger Agreement, the Parties desire that Verso may provide or cause to be provided certain services to NewPage on the terms and subject to the conditions set forth herein; 

WHEREAS, as required by Verso’s debt financing, and as contemplated by the Merger Agreement, the Parties desire that 100% of the
realized synergies and cost savings resulting from the transactions contemplated by the Merger Agreement shall be for the benefit of Verso; and 

WHEREAS, in addition, the Parties expect that they will from time to time engage in certain intercompany transactions in the ordinary
course of their respective businesses. 
 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the Parties agree as follows: 
 ARTICLE I 

DEFINITIONS 
 1.01
Definitions. As used in this Agreement, the following terms have the following meanings unless the context otherwise requires: 

“Affiliate” means, with respect to any specified Person, any other Person, which directly or indirectly controls, is
controlled by or is under common control with such specified Person. For the purposes of this definition, the term “control,” when used with respect to any specified Person, means the power to direct or cause the direction of the
management or policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and the terms “controlling” and “controlled” have correlative meanings. 

 “Agreement” has the meaning set forth in the preamble. 

“Business Days” shall mean all weekdays except those that are official holidays of employees of the United States government.
Unless specifically stated as “Business Days,” a reference in this Agreement to “days” means calendar days. 

“Change of Control Transaction” has the meaning set forth in Section 10.03(b). 

“Confidential Information” has the meaning set forth in Section 14.03(a). 

“disclosing party” has the meaning set forth in Section 14.03(a). 

“Effective Date” shall mean the closing date under the Merger Agreement. 

“Estimated Monthly Payment” has the meaning set forth in Section 5.06(a). 

“Event of Default” has the meaning set forth in Section 10.01. 

“Excess Amount” has the meaning set forth in Section 5.03(b). 

“Excess Payment Amount” has the meaning set forth in Section 5.07. 

“Existing NewPage Credit Agreements” means (i) the Asset-Based Revolving Credit Agreement dated as of February 11,
2014 among NewPage, NewPage Investment Company LLC, the lenders party thereto from time to time, Barclays Bank PLC, as administrative agent and collateral agent, BMO Harris Bank N.A., as co-collateral agent, and certain other parties thereto, as
amended, supplemented or otherwise modified from time to time to the date hereof and (ii) the First Lien Credit Agreement dated as of February 11, 2014 among NewPage, NewPage Investment Company LLC, the subsidiaries of NewPage, the lenders
party thereto from time to time, Credit Suisse AG, Cayman Islands Branch, as administrative agent and collateral agent, and certain other parties thereto, as amended, supplemented or otherwise modified from time to time to the date hereof. 

“Existing Verso Credit Agreements” shall mean (i) the Credit Agreement dated as of May 4, 2012 among Verso, the
lenders party thereto from time to time, Citibank N.A., as administrative agent, and certain other parties thereto, as amended, supplemented or otherwise modified from time to time to the date hereof and (ii) the Credit Agreement dated as of
May 4, 2012 among Verso, the lenders party thereto from time to time, Credit Suisse AG, Cayman Islands Branch, as administrative agent, and certain other parties thereto, as amended, supplemented or otherwise modified from time to time to the
date hereof. 
 “including” shall mean including without limitation. 

“Intercompany Transactions” has the meaning set forth in Section 3.02. 

  
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 “Merger Agreement” has the meaning set forth in the recitals. 

“NewPage” has the meaning set forth in the preamble. 

“NewPage Lenders” shall mean the lenders party to the Existing NewPage Credit Agreements from time to time. 

“NewPage Parent” has the meaning set forth in the preamble. 

“non-disclosing party” has the meaning set forth in Section 14.03(a). 

“Non-Reducing Party” has the meaning set forth in Section 5.03(b). 

“Party” has the meaning set forth in the preamble. 

“Person” means any individual, partnership, limited partnership, limited liability company, corporation, unincorporated
association, joint venture or other entity. 
 “Pre-Transaction Cost” means, with respect to any received Shared Service,
the all-in cost incurred or paid by NewPage for the identical or substantially equivalent service or function on an average basis over the twelve-month period prior to the Effective Date, which may include fully-fringed employee costs, reasonable
allocation of direct and indirect corporate and related overhead and other, similar costs, in each case as determined in the good faith, reasonable commercial judgment of Verso. 

“Primary Party” has the meaning set forth in the preamble. 

“Quarterly True-Up Statement” is defined in Section 5.07. 

“Reducing Party” has the meaning set forth in Section 5.03(a). 

“Relevant Capacity” “ has the meaning set forth in Section 5.03(a). 

“Representatives” has the meaning set forth in Section 14.03(a). 

“Service Taxes” has the meaning set forth in Section 9.03. 

“Shared Services” has the meaning set forth in Section 3.01. 

“Shortfall Payment Amount” has the meaning set forth in Section 5.07. 

“Steering Committee” is defined in Section 6.01. 

“Subsidiary” means, with respect to any Person, any corporation or other organization, whether incorporated or
unincorporated, (a) of which such Person or any other Subsidiary of such Person is a general partner (excluding partnerships, the general partnership interests of which held by such Person or any Subsidiary of such Person do not have a majority
of the voting interests in such partnership), or (b) at least a majority of the securities or other interests of which having by their terms ordinary voting power 

  
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to elect a majority of the board of directors or others performing similar functions with respect to such corporation or other organization is directly or indirectly owned or controlled by such
Person or by any one or more of its Subsidiaries, or by such Person and one or more of its Subsidiaries. 
 “Term” has the
meaning set forth in Section 2.01. 
 “Triggering Event” has the meaning set forth in
Section 5.03(a). 
 “Verso Lenders” shall mean the lenders party to the Existing Verso Credit Agreements from
time to time. 
 ARTICLE II 

TERM 
 2.01 Term. The
term of this Agreement shall commence upon the Effective Date and shall continue for three (3) years from the Effective Date and for any renewal terms as provided in the following sentence, unless otherwise terminated in accordance with
Article XI (the “Term”). Upon the expiration of the initial Term, the Term shall automatically renew for successive renewal terms of one (1) year each unless Verso or NewPage provides written notice to the contrary
to the other Primary Party at least ninety (90) days prior to the expiration of the then current Term. 
 ARTICLE III 

SHARED SERVICES; INTERCOMPANY TRANSACTIONS 

3.01 Shared Services. During the Term, Verso shall, or shall cause one or more of its Subsidiaries or third-party service providers to,
provide to NewPage and its Subsidiaries those corporate and other shared services set forth under the heading “Description” on Exhibit A hereto (the “Shared Services”). 

3.02 Intercompany Transactions. During the Term, Verso and NewPage may engage in intercompany commercial transactions in the course of
their normal business activities, which may include those transactions set forth on Exhibit B hereto (the “Intercompany Transactions”). 

ARTICLE IV 
 SYNGERGIES

 4.01 Synergies. During the applicable Term, 100% of the realized synergies and related cost savings resulting from the
transactions contemplated by the Merger Agreement (“Synergies”) shall be for the benefit of Verso, and, to the extent realized by NewPage, shall be paid by NewPage to Verso as set forth below starting after the Effective Date.
Initial Synergies are anticipated to include those set forth on Exhibit C. For the avoidance of doubt, reductions in the cost of raw materials and/or logistics/transportation achieved due to Synergies or other economies of scale or purchasing
efficiencies resulting from the transactions contemplated by the Merger Agreement shall constitute compensable Synergies hereunder (it being understood that Verso shall not procure such raw materials or transportation/logistics services as an agent
of NewPage). 

  
 4 

 ARTICLE V 

COST ALLOCATION 
 5.01
Shared Services Costs. For any Shared Service provided by Verso to NewPage, NewPage shall pay Verso the Pre-Transaction Cost of such Shared Service. 

5.02 Synergy Implementation Costs. Costs incurred through the implementation of the expected Synergies resulting from the transactions
contemplated by the Purchase Agreement, including but not limited to severance payments and information technology expenses, shall be allocated so that one-third (1/3) of such implementation cost shall be borne by Verso and two-thirds
(2/3) of such implementation cost shall be borne by NewPage; provided, however, that in no event shall the total amount of such implementation costs allocated to NewPage exceed fifty-five million dollars ($55,000,000.00). 

5.03 Make-Whole Payments. 

(a) From the Effective Date until the final maturity of the longest-dated indebtedness of NewPage under the Existing NewPage Credit Agreements
in the event that either Primary Party experiences a reduction in production capacity (“Reducing Party”) that exceeds 10% relative to such Primary Party’s production capacity immediately prior to the Effective Date (such amount
of capacity the “Relevant Capacity”), a “Triggering Event” will be deemed to have occurred. 
 (b) Upon a
Triggering Event, if the Primary Party that did not experience the capacity reduction (“Non-Reducing Party”) realizes an increase in tons sold in any of the four subsequent quarters, as compared to the amount of tons sold prior to
the Triggering Event (the “Excess Amount”), of at least 10% of the Relevant Capacity, then the Non-Reducing Party will pay to the Reducing Party, the lesser of (i) $75 multiplied by the Excess Amount divided by
four (4) and (ii) the amount of EBITDA attributable by the Reducing Party to the Relevant Capacity, in the four (4) quarters prior to the to the Triggering Event, divided by four. Such amounts will be paid quarterly, in
arrears, sixty (60) days after the conclusion of such quarter. 
 5.04 Allocation Methodology Evaluation. No less often than
annually, the Steering Committee shall meet to evaluate and determine whether the allocation methodologies then in existence accurately and equitably reflects the performance and use of Shared Services by Verso or NewPage. The Steering Committee
shall evaluate the Shared Services being performed and used and shall determine whether the allocation methodologies then in existence require adjustment and, upon a determination that an adjustment is required, shall have the authority to and shall
effect such adjustment. Each of Verso and NewPage shall cooperate with the Steering Committee in the aforementioned process, including making appropriate personnel and materials available to the Steering Committee. In the event that either Verso or
NewPage disagrees with the allocation methodologies determined by the Steering Committee, the dispute resolution procedures set forth in Article XIII shall apply. 

  
 5 

 5.05 Non-Cash Cost Allocation. Any costs that are non-cash costs or expenses shall be
allocated to Verso and NewPage for financial statement purposes only, without any corresponding cash reimbursement required, in accordance with U.S. generally accepted accounting principles and based on the otherwise applicable allocation
methodology, if any. 
 5.06 Invoicing and Payment. 

(a) Shared Services. Prior to the first day of each month during the term of the applicable Shared Service, Verso shall
(i) estimate (or calculate, as applicable) the costs of Shared Services to be provided for such month, which shall be based upon an annual budget of Verso and NewPage as previously agreed upon by Verso and NewPage (the “Estimated
Monthly Payment”) and (ii) prepare and issue invoices for such Estimated Monthly Payment to be paid by NewPage, which invoices shall be delivered on the first day of each month (or as promptly as practicable thereafter). Not later than
five (5) Business Days following delivery of an invoice for the Estimated Monthly Payment, NewPage shall promptly pay the Estimated Monthly Payment to, or as directed by, Verso. NewPage may elect to cause all or any portion of the Estimated
Monthly Payment to be satisfied by one or more of its Subsidiaries. 
 (b) Synergies. Verso shall invoice NewPage for 100% of
Synergies realized by NewPage within ten (10) days following the end of each month during the Term. Such invoice shall include the amount of the Synergy or Synergies realized by NewPage and reasonable supporting detail. NewPage shall, or shall
cause one or more of its subsidiaries to, pay to Verso the amount of such invoiced Synergies within five (5) Business Days following NewPage’s receipt of each such invoice. At Verso’s election, Synergy invoicing for the last month in
any quarter may instead be included within the Quarterly True-Up Statement referred to below. 
 (c) Synergy Implementation
Costs. Verso and NewPage shall invoice their respective allocation of synergy implementation costs described in section 5.02 within ten (10) days following the end of each month during the Term. Such invoice shall include the
detail of synergy implementation costs incurred and the allocated cost amount to be recovered. NewPage and Verso shall pay the synergy implementation costs invoices within five (5) Business Days of receipt of the invoice. 

(d) Intercompany Transactions. Intercompany Transactions shall be invoiced at or about the time of their occurrence to the Primary Party
responsible for rendering payment for such Intercompany Transaction. Invoices shall be generated pursuant to an intercompany system agreed between the Primary Parties (or, absent such agreement, shall be invoiced by Verso). Any such
invoice shall include the amount owing and payable for such Intercompany Transaction and reasonable supporting detail. All intercompany transactions should generally be settled as promptly as practicable with 

  
 6 

 
the same payment terms as equivalent third-party transactions. Any amount owing and payable due to an Intercompany Transaction that is not settled as set forth in the preceding sentence
shall be paid by the applicable Primary Party not later than the 90th calendar day following such invoice. At the election of the Primary Parties, the net settling of Intercompany
Transactions may be combined with the settlement of Synergies invoices as set forth in Section 5.06(b). 
 5.07 Quarterly
True-Up Statements. Within forty (40) days following the end of each calendar quarter during the Term, Verso shall furnish NewPage with a written statement that includes reasonable supporting detail comparing the aggregate Estimated Monthly
Payments previously invoiced to and paid by NewPage for such prior quarter with the actual costs allocable to NewPage as provided above for all Shared Services provided to NewPage or its Subsidiaries for such prior quarter (the “Quarterly
True-Up Statement”). If the aggregate Estimated Monthly Payments previously invoiced to and paid by NewPage for such prior quarter are greater than the actual costs allocable to NewPage for all Shared Services provided to NewPage or its
Subsidiaries for such prior quarter (an “Excess Payment Amount”), NewPage shall be entitled to receive the benefit of such Excess Payment Amount in accordance with Section 5.08(b). If the aggregate Estimated Monthly
Payments previously invoiced to and paid by NewPage for such prior quarter are less than the actual costs allocable to NewPage for all Shared Services provided to NewPage or its Subsidiaries for such prior quarter (a “Shortfall Payment
Amount”), Verso shall be entitled to receive the benefit of such Shortfall Payment Amount in accordance with Section 5.08(b). 

5.08 Determination and Payment. 

(a) Unless written objection to any Quarterly True-Up Statement is received by Verso from NewPage within ten (10) days of Verso’s
delivery of such Quarterly True-Up Statement, such Quarterly True-Up Statement shall be final and binding. In the event NewPage provides timely notice that it disputes all or any portion of any Quarterly True-Up Statement, the dispute resolution
procedures set forth in Article XIII shall govern the resolution of such dispute. 
 (b) The undisputed portion of any Excess Payment
Amount or Shortfall Payment Amount shall be accounted for in the Monthly Estimate Statement for the calendar month immediately following the last month covered by such Quarterly True-Up Statement by (i) increasing the amount otherwise owing and
payable thereunder, in the case of any Shortfall Payment Amount under such Quarterly True-Up Statement or (ii) reducing the amount otherwise owing and payable thereunder, in the case of any Excess Payment Amount under such Quarterly True-Up
Statement, in each case on a dollar-for-dollar basis. 

  
 7 

 ARTICLE VI 

SERVICE MANAGEMENT 
 6.01
Steering Committee. In order to monitor, coordinate and facilitate implementation of the terms and conditions of this Agreement, Verso and NewPage shall establish a “Steering Committee” consisting of at least one executive
officer from each of Verso and NewPage and whereby each of Verso and NewPage is equally represented (provided that the chairman of the Steering Committee shall in all cases be deemed a representative of both Verso and NewPage for purposes of
determining equal representation on the Steering Committee). The initial Steering Committee representatives shall be Robert P. Mundy, who shall also serve as the initial chairman of the Steering Committee, Bob Wilhlelm, the divisional financial
representative of Verso, and Robert W. Ashbumer, the divisional financial representative of NewPage. The Steering Committee representatives shall meet at least quarterly (or more frequently if needed or reasonably requested by a representative)
during the Term to determine the Shared Services to be provided and the payments to be made pursuant to this Agreement. Such determination with respect to the Shared Services to be provided shall include the scope, manner, level and place or places
where such Shared Services shall be provided. If the members of the Steering Committee are unable (whether by majority vote or in such other manner as the members of the Steering Committee decide) to determine whether a Shared Service is to be
provided, or the scope, manner, level and place or places at which such Shared Service shall be provided, such Shared Service shall not be provided until such time as the members of the Steering Committee determine the relevant matters. The Steering
Committee representative(s) for NewPage or Verso, as the case may be, shall stay reasonably apprised of the activities of the employees, agents and contractors of NewPage or Verso, as the case may be, who are providing or receiving the Shared
Services in order to maximize efficiency in the provision and receipt of the Shared Services. 
 6.02 Additional Services. NewPage
may, from time to time, request additional services that are not set forth in this Agreement. Verso and NewPage agree to negotiate in good faith the terms and conditions by which Verso would be willing to perform such additional services, if at all.

 6.03 Changes to Shared Services. 

(a) Verso and NewPage may mutually agree to modify the terms and conditions of Verso’s performance of any Shared Service in order to
reflect new procedures, processes or other methods of providing such Shared Service. Verso and NewPage shall negotiate in good faith the terms and conditions upon which Verso would be willing to implement such change, if at all. 

(b) Verso may make: (i) changes to the process of performing a particular Shared Service that do not adversely affect the benefits to
NewPage of Verso’s provision or quality of such Shared Service in any material respect or increase NewPage’s allocated cost for such Shared Service; (ii) emergency changes in the manner in which a particular Shared Service is provided
on a temporary and short-term basis; and/or (iii) changes to a particular Shared Service in order to comply with applicable law or regulatory requirements, in each case without obtaining the prior consent of NewPage. 

  
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 6.04 Service Quality. Verso shall, and shall cause its Subsidiaries to, perform the Shared
Services for NewPage (i) with reasonable care and skill, (ii) in a manner and quality and with a standard of care and scope that are consistent in all material respects with Verso’s and such Subsidiaries’ current practice in
performing the Shared Services for NewPage and its Subsidiaries and (iii) on a priority basis that is not materially lower in the aggregate than with respect to any similar services that are provided to Verso or any of its Affiliates. Verso
shall use commercially reasonable efforts to provide the Shared Services to NewPage and its Subsidiaries throughout the Term without material interruption. Verso shall, and shall instruct and use commercially reasonable efforts to cause its
Affiliates, representatives, contractors, invitees and licensees to, comply in all material respects with all applicable laws, rules, regulations and orders of any federal, state, county, city, local, supranational or foreign governmental,
administrative or regulatory authority, agency or body. 
 ARTICLE VII 

REPRESENTATIONS AND WARRANTIES 

7.01 Representations and Warranties of Verso. Verso represents and warrants that: 

(a) it is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware, that Verso has full
corporate power and authority to enter into this Agreement and perform its obligations hereunder; 
 (b) the execution, delivery and
performance by Verso of this Agreement have been duly authorized by all necessary action on the part of Verso and no further action or approval is required in order to constitute this Agreement as the valid and binding obligations of Verso,
enforceable in accordance with its terms; and 
 (c) the execution and delivery by Verso of this Agreement does not, and the provision of
Shared Services by Verso contemplated hereby will not (with or without the giving of notice or the lapse of time or both), contravene, conflict with or result in a breach or violation of, or a default under, (i) Verso’s certificate of
incorporation or bylaws or (ii) material any contract, agreement or instrument by which Verso is bound. 
 7.02 Representations and
Warranties of NewPage. NewPage represents and warrants that: 
 (a) It is a corporation duly organized, validly existing and in good
standing under the laws of the State of Delaware, that NewPage has full corporate power and authority to enter into this Agreement and perform its obligations hereunder; 

(b) the execution, delivery and performance by NewPage of this Agreement have been duly authorized by all necessary corporate action on the
part of NewPage and no further action or approval is required in order to constitute this Agreement as the valid and binding obligations of NewPage, enforceable in accordance with its terms; and 

  
 9 

 (c) the execution and delivery by NewPage of this Agreement does not, and the reception of Shared
Services by NewPage contemplated hereby will not (with or without the giving of notice or the lapse of time or both), contravene, conflict with or result in a breach or violation of, or a default under, (i) NewPage’s certificate of
incorporation or bylaws or (ii) material any contract, agreement or instrument by which NewPage is bound. 
 ARTICLE VIII 

INDEMNITY 
 8.01
Indemnity by NewPage. NewPage shall indemnify, defend and hold harmless Verso, its Affiliates, Subsidiaries and its and their respective officers, directors and employees from and against any and all costs and expenses, losses, damages,
claims, causes of action and liabilities (including reasonable attorneys’ fees, disbursements and expenses of litigation) arising from, relating to, or in any way connected with Verso’s and/or its Subsidiaries’ provision of such
Shared Service to NewPage and/or its Subsidiaries, except to the extent caused by the gross negligence or willful misconduct of Verso. 

8.02 Procedure. Verso shall promptly provide NewPage with written notice of any claim, action or demand for which indemnity is claimed.
NewPage shall be entitled to control the defense of any such claim, action or demand; provided, that Verso may participate in any such claim, action or demand with counsel of its choice at its own expense; and provided, further, that
NewPage shall not settle any claim, action or demand without the prior written consent of Verso, such consent not to be unreasonably withheld or delayed. If NewPage so requests, Verso shall reasonably cooperate in the defense of such claim, action
or demand at NewPage’s expense. 
 8.03 Limitation on Indemnity. Notwithstanding anything contained herein to the contrary, in
no event shall NewPage, its Affiliates and/or its or their respective directors, officers, employees, representatives or agents be liable for any (i) indirect, incidental, special, exemplary, consequential or punitive damages or
(ii) damages for, measured by or based on lost profits, diminution in value, multiple of earnings or other similar measure. 

ARTICLE IX 
 COVENANTS
AND OTHER AGREEMENTS 
 9.01 Certain Intellectual Property Matters. If, in connection with its provision of the Shared Services,
either Primary Party provides, or provides access to, the other Primary Party and/or its Affiliates any intellectual property owned by such Primary Party, it shall grant the other Primary Party, during the Term, a non-exclusive, revocable,
non-transferable, non-sublicensable, royalty-free, fully paid up license to such intellectual property, solely to the extent necessary to receive the Shared Services in accordance with this Agreement. To the extent that either Primary Party
provides, or provides access to, the other Primary Party and/or its Affiliates any intellectual property not owned by such Primary Party or its Affiliates such Primary Party shall grant to the other Primary Party 

  
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and/or its Affiliates, during the term of the Agreement, a non-exclusive, revocable, non-transferable, non-sublicensable, royalty-free, fully paid-up sublicense to such intellectual property,
solely to the extent necessary to provide or receive the Shared Services in accordance with this Agreement; provided that any other Primary Party’s and its Affiliates’ access to, use of and rights for such third-party intellectual
property shall be subject in all regards to any restrictions, limitations or other terms or conditions imposed by the licensor of such intellectual property, which terms and conditions were disclosed or otherwise made available to such Primary Party
by the other Primary Party. Upon the termination or expiration of any element or sub-element of the Shared Service pursuant to this Agreement, the license or sublicense, as applicable, to the relevant intellectual property provided in connection
with that element or sub-element will automatically terminate; provided, however, that all licenses and sublicenses granted under this Agreement shall terminate immediately upon the expiration or earlier termination of this Agreement in
accordance with the terms hereof. 
 9.02 Network Access and Security. 

(a) All interconnectivity by Verso to the computing systems and/or networks of NewPage, and all attempts at such interconnectivity, shall be
only through the security gate-ways/firewalls of the Primary Parties; provided, that, during the Term, NewPage may transition any such computing systems and/or networks to such security gateways/firewalls as determined by NewPage, and,
subject to the limitations set forth below, Verso shall provide commercially reasonable cooperation to NewPage in connection with such transition; provided that NewPage shall reimburse Verso in full for its reasonable costs or expenses
incurred in relation to such cooperation. 
 (b) Neither Primary Party shall access, and the Primary Parties shall take reasonable actions
designed to prevent unauthorized Persons to access, the computing systems and/or networks of the other Primary Party without the other Primary Party’s express written authorization or except as otherwise authorized or reasonably required by the
other Primary Party pursuant to this Agreement, and any such actual or attempted access shall be consistent with any such authorization or this Agreement. 

(c) The Primary Parties shall use commercially reasonable efforts to maintain, and update pursuant to a commercially reasonable schedule, and
more frequently in response to specific threats that become known from time to time, a virus detection/scanning program in connection with the connectivity by NewPage to Verso computing systems and/or networks, which shall be consistent in all
material respects with that used by such Primary Parties immediately prior to the Effective Date. 
 (d) Verso shall use commercially
reasonable efforts to maintain a prudent security program, consistent in all material respects with that used by Verso immediately prior to the Effective Date, including appropriate physical, electronic and procedural safeguards, designed to
(i) maintain the security and confidentiality of Verso’s systems and confidential information of NewPage on Verso’s systems, (ii) protect against any threats or hazards to the security or integrity of Verso’s systems,
including the confidential, non-public and proprietary information of NewPage on 

  
 11 

 
Verso’s systems, and (iii) prevent unauthorized access to or use of Verso’s systems, including the confidential, non-public and proprietary information of NewPage on Verso’s
systems. NewPage shall comply with all physical, electronic and procedural security policies and procedures maintained by Verso pursuant to this Agreement that have been made available by Verso to NewPage. 

9.03 Taxes. All applicable sales, use, value added, GST, transfer, receipts, consumption or other similar taxes chargeable on the
Shared Services, together with any interest, penalties or amounts imposed with respect thereto (“Service Taxes”), regardless of whether such Service Taxes are added retroactively or subsequently imposed in connection with any tax
audit, claim, assessment or other tax proceeding, shall be payable by Verso in the event that such Service Taxes relate to services provided by a third party (and Verso shall be entitled to any recovery or credit in relation thereto). 

ARTICLE X 
 DEFAULT

 10.01 Definition. The occurrence of any one or more of the following events which is not cured within the time permitted shall
constitute a default under this Agreement (hereinafter referred to as an “Event of Default”) as to Verso or NewPage, as the case may be, failing in the performance or effecting the breaching act. 

10.02 Verso Default. An “Event of Default” shall exist with respect to Verso if Verso shall fail to perform or comply
with, in any material respect, any of the covenants, agreements, terms or conditions contained in this Agreement applicable to Verso and such failure shall continue for a period of thirty (30) days after written notice thereof from NewPage to
Verso specifying in reasonable detail the nature of such failure, or, in the case such failure is of a nature that it cannot, with due diligence and good faith, be cured within thirty (30) days, if Verso fails to proceed promptly and with all
due diligence and in good faith to cure the same and thereafter to prosecute the curing of such failure to completion with all due diligence within ninety (90) days after the initial delivery of written notice from NewPage with respect to such
failure. 

  
 12 

 10.03 NewPage Default. 

(a) An “Event of Default” shall exist with respect to NewPage if NewPage shall (i), unless subject to a good faith dispute,
fail to make any monetary payment required under this Agreement on or before the due date recited therein and such failure continues for thirty (30) days after written notice from Verso specifying such failure, (ii) fail to perform or
comply with, in any material respect, any of the other covenants, agreements, terms or conditions contained in this Agreement applicable to NewPage and such failure shall continue for a period of thirty (30) days after written notice thereof
from Verso to NewPage specifying in reasonable detail the nature of such failure, or, in the case such failure is of a nature that it cannot, with due diligence and good faith, cure within thirty (30) days, if NewPage fails to proceed promptly
and with all due diligence and in good faith to cure the same and thereafter to prosecute the curing of such failure to completion with all due diligence within ninety (90) days thereafter or (iii) consummate a Change of Control
Transaction. 
 (b) A “Change of Control Transaction” shall mean any transaction or series of transactions (as a result of a
tender offer, merger, consolidation or otherwise) that results in, or that is in connection with, (i) any person or group, except Apollo or any of its respective Affiliates, acquiring beneficial ownership, directly or indirectly, of a majority
of the then issued and outstanding equity of NewPage or (ii) the sale, lease, exchange, conveyance, transfer or other disposition (for cash, shares of stock, securities or other consideration) of all or substantially all of the property or
assets of NewPage and its Subsidiaries to any person or group (including any liquidation, dissolution or winding up of the affairs of NewPage, or any other distribution made, in connection therewith), except Apollo or any of its respective
Affiliates. 
 10.04 Bankruptcy. An Event of Default shall exist with respect to any Party if such Party: 

(a) applies for or consents to the appointment of a receiver, trustee or liquidator of itself or any of its property; 

(b) makes a general assignment for the benefit of creditors; 

(c) is adjudicated bankrupt or insolvent; or 

(d) files a voluntary petition in bankruptcy or a petition or an answer seeking reorganization or an arrangement with creditors, takes
advantage of any bankruptcy, reorganization, insolvency, readjustment of debt, dissolution or liquidation law, or admits the material allegations of a petition filed against it in any proceedings under any such law. 

10.05 Reorganization/Receiver. An Event of Default shall exist with respect to any Party if an order, judgment or decree is entered by
any court of competent jurisdiction approving a petition seeking reorganization of such Party or any of its Subsidiaries or appointing a receiver, trustee or liquidator of any Party or any of its Subsidiaries of all or a substantial part of any of
the assets of such Party or any of its Subsidiaries and such order, judgment or decree continues unstayed and in effect for a period of sixty (60) days from the date of entry thereof. 

  
 13 

 10.06 Delays and Omissions. No delay or omission as to the exercise of any right or power
accruing upon any Event of Default shall impair the non-defaulting Party’s exercise of any right or power or shall be construed to be a waiver of any Event of Default or acquiescence therein. 

ARTICLE XI 
 TERMINATION

 11.01 Terminating Events. This Agreement shall terminate at the written election of the non-defaulting Party upon the
occurrence of an Event of Default under this Agreement when the time to cure has lapsed. 
 11.02 Termination for Convenience.
NewPage may terminate its receipt of any Shared Service for its convenience, without cause, by giving Verso written notice not less than thirty (30) days prior to the effective date of such termination. No such termination shall effect
NewPage’s obligation to make payment to Verso for Synergies as set forth in Section 5.06(b). 
 11.03 Effect of
Termination. Notwithstanding anything herein to the contrary, this Section 11.03, Section 11.04 and Article XIV (other than Section 14.08) shall survive any termination of this Agreement. Unless
subject to a good faith dispute hereunder, within fifteen (15) days after the termination of this Agreement, NewPage shall pay Verso all accrued and unpaid amounts due under this Agreement. 

ARTICLE XII 
 NOTICES

 12.01 Notices. All notices provided for in this Agreement or related to this Agreement, which either Verso or NewPage desires
to serve on the other, shall be in writing and shall be considered delivered upon receipt. Any and all notices or other papers or instruments related to this Agreement shall be sent by: 

(a) by United States registered or certified mail (return receipt requested), postage prepaid, in an envelope properly sealed; 

(b) by a facsimile transmission where written acknowledgment of receipt of such transmission is received and a copy of the transmission is
mailed with postage prepaid; or 
 (c) a nationally recognized overnight delivery service; 

provided for receipted delivery, addressed as follows: 

Verso: 
 Verso
Paper Corp. 
 6775 Lenox Center Court, Suite 400 

Memphis, TN 38115-4436 

Telephone: (901) 369-4228 

Attention: Robert P. Mundy 

  
 14 

 NewPage: 

NewPage Holdings Inc. 

8540 Gander Creek Drive 

Miamisburg, OH 45342 

Telephone: (937) 242-9324 

Attention: General Counsel 

Either Verso or NewPage may change the address or name of addressee applicable to subsequent notices (including copies of said notices as
hereinafter provided) or instruments or other papers to be served upon or delivered to the other Primary Party, by giving notice to the other Primary Party as aforesaid; provided, that notice of such change shall not be effective until the
fifth (5th) day after mailing or facsimile transmission. 
 ARTICLE XIII 

DISPUTE RESOLUTION 
 13.01
Resolution Procedure. Each of Verso and NewPage agrees to use its reasonable best efforts to resolve disputes under this Agreement by a negotiated resolution between the Primary Parties or as provided for in this Article XIII.

 13.02 Exchange of Written Statements. In the event of a dispute under this Agreement, either NewPage or Verso may give a notice to
the other requesting that the Steering Committee in good faith try to resolve (but without any obligation to resolve) such dispute. Not later than fifteen (15) days after said notice, each of Verso and NewPage shall submit to the other a
written statement setting forth such Primary Party’s description of the dispute and of the respective positions of the Primary Parties on such dispute and such Primary Party’s recommended resolution and the reasons why such Primary Party
feels its recommended resolution is fair and equitable in light of the terms and spirit of this Agreement. Such statements represent part of a good-faith effort to resolve a dispute and as such, no statements prepared by a Primary Party pursuant
thereto may be introduced as evidence or used as an admission against interest in any arbitral or judicial resolution of such dispute. 

13.03 Good Faith Negotiations. If the dispute continues unresolved for a period of seven (7) days (or such longer period as the
Steering Committee may otherwise agree upon) after the simultaneous exchange of such written statements, then the Steering Committee shall promptly commence good-faith negotiations to resolve such dispute but without any obligation to resolve it.
Any such meeting may be conducted by teleconference. 

  
 15 

 13.04 Determination of Steering Committee. Not later than thirty (30) days after the
commencement of good-faith negotiations, if the Steering Committee renders an agreed resolution on the matter in dispute, then both NewPage and Verso shall be bound thereby. If the Steering Committee has not resolved the matter in dispute within
thirty (30) days after the commencement of good-faith negotiations, either NewPage or Verso may submit the dispute to any federal court in the State of Delaware 

in accordance with the terms of the Governing Law and Consent to Jurisdiction provisions of this Agreement. 

ARTICLE XIV 

MISCELLANEOUS 
 14.01
Assignment. This Agreement shall not be assigned or transferred by any Party without the prior written consent of the other Parties; provided, however, this Agreement may be collaterally assigned without any such prior written consent
to either the Verso Lenders or NewPage Lenders as the case may be. Notwithstanding the foregoing, (i) Verso shall have the right to delegate or subcontract its obligations under this Agreement, including, to any Subsidiary or third party
service provider; provided that any such delegation or subcontracting shall not relieve Verso of its obligations under this Agreement and (ii) NewPage shall have the right to cause any Shared Services provided hereunder to be provided to
any of NewPage’s Subsidiaries in NewPage’s sole discretion. 
 14.02 Construction. The language in all parts of this
Agreement shall be in all cases construed simply according to its fair meaning, and not strictly for or against any Party. This Agreement shall be construed without regard to any presumption or other rule requiring construction against the Party
causing the same to be drafted. 
 14.03 Confidentiality. 

(a) NewPage’s materials and/or information that may be provided to Verso in connection with this Agreement and Verso’s materials
and/or information provided to NewPage in connection with this Agreement are proprietary trade secrets and confidential information (“Confidential Information”) of NewPage and Verso, respectively. Each Primary Party (a
“non-disclosing party”) agrees not to (i) disclose Confidential Information of the other Primary Party (a “disclosing party”) to any third party other than its Affiliates and such Affiliates’ officers,
directors, employees, partners, members, agents and advisors (including without limitations attorneys, accountants, consultants, bankers and financial advisors (collectively “Representatives”) who need to know such information in
connection with this Agreement and who are bound to keep it confidential or (ii) use Confidential Information except as necessary to perform its obligations under this Agreement, in either case without the express written consent of the
disclosing party. Further, each Primary Party shall be responsible for any breaches of the confidentiality provisions of this Agreement by its Representatives. Promptly upon the written request of a Primary Party (except as may be required to be

  
 16 

 
maintained by law, regulation or professional standard), all Confidential Information of such Primary Party shall be returned or destroyed and NewPage shall terminate and shall cause its
employees, agents and Representatives to terminate all access to any and all Verso computer systems; provided, however, that each Primary Party may keep archival copies of any Confidential Information for legal and compliance purposes as to
comply with any bona fide records retention policy. These confidentiality provisions shall survive the expiration or earlier termination of this Agreement. 

(b) “Confidential Information” shall not be deemed to include, and neither Primary Party shall have any confidentiality
obligations with respect to, any information which (i) was known by the non-disclosing party or its Representatives on a non-confidential basis at the time disclosed by the disclosing party; (ii) was known or becomes known by the public
without any violation by the non-disclosing party or its Representatives; (iii) is disclosed lawfully to the non-disclosing party by another Person; (iv) is developed independently by the non-disclosing party without reference to the other
party’s Confidential Information; or (v) is required by law or court order to be dis-closed by the non-disclosing party; provided that to the extent permitted by law the non-disclosing party notifies the disclosing party of such
requirement and cooperates with the disclosing party at the disclosing party’s sole expense as the disclosing party may reasonably request to resist such disclosure. 

14.04 Governing Law. This Agreement shall be governed by, construed and enforced in accordance with the laws of the State of Delaware
without reference to its choice of law provisions. 
 14.05 Severability. Should any portion of this Agreement be declared invalid or
unenforceable, then such portion shall be deemed to be severed from this Agreement and shall not affect the remainder thereof. 
 14.06
Attorneys’ Fees. Should any Party institute an action or proceeding to enforce any provisions hereof or for other relief due to an alleged breach of any provision of this Agreement, the prevailing Party shall be entitled to receive from
the other Parties all costs of the action or proceeding and reasonable attorneys’ fees. 
 14.07 Entire Agreement. This
Agreement covers in full each and every agreement of every kind or nature whatsoever between the parties hereto concerning this Agreement, and all preliminary negotiations and agreements, whether verbal or written, of whatsoever kind or nature are
merged herein. No oral agreement or implied covenant shall be held to vary the provisions hereof, any statute, law or custom to the contrary notwithstanding. 

14.08 Counterparts. This Agreement may be executed in two or more counterparts and shall be deemed to have become effective when and
only when all parties hereto have executed this Agreement, although it shall not be necessary that any single counterpart be signed by or on behalf of each of the parties hereto, and all such counterparts shall be deemed to constitute but one and
the same instrument. 

  
 17 

 14.09 Force Majeure. No Party (or any Person acting on its behalf) shall have any
liability or responsibility for failure to fulfill any obligation (other than a payment obligation) under this Agreement or, unless otherwise expressly provided therein, so long as and to the extent to which the fulfillment of such obligation is
prevented, frustrated, hindered or delayed as a consequence of circumstances of force majeure. The Party claiming the benefit of such provision shall, as soon as reasonably practicable after the occurrence of any such event, (i) notify the
other Party of the nature, extent and expected duration of any such force majeure condition and (ii) use its reasonable best efforts to remove any such causes and resume performance under this Agreement as soon as feasible. NewPage shall not be
required to pay for any suspended Shared Services during which such Shared Services are not being provided to NewPage. Verso agrees that if it experiences any shortage, interruption, delay, inadequacy or limitation in the availability of any Shared
Service by reason of force majeure and is unable to fulfill NewPage’s requirements for such Shared Services, Verso shall treat NewPage no less favorably than any other similarly situated business in the allocation by Verso between such
businesses and NewPage of such affected Shared Service and in a manner consistent with past practice. If Verso’s performance of any Shared Services is suspended or rendered impractical by reason of force majeure for a period in excess of thirty
(30) days, then NewPage shall have the right to terminate this Agreement with respect to such Shared Services immediately upon written notice to Verso. 

14.10 No Warranties. Verso and its Subsidiaries shall use their best efforts to render the Shared Services contemplated by this
Agreement in good faith to NewPage and its Subsidiaries, but hereby explicitly disclaims any and all warranties, express or implied, except to the extent expressly provided herein. 

14.11 Headings. Headings or captions have been inserted for convenience of reference only and are not to be construed or considered to
be a part hereof and shall not in an way modify, restrict or amend any of the terms or provisions hereof. 
 14.12 Waiver. The waiver
by any Party of any default or breach of any of the provisions, covenants or conditions herein of the part of any of the other Parties to be kept and performed shall not be a waiver of any preceding or subsequent breach or any other provisions,
covenants or conditions contained herein. 
 14.13 Consent to Jurisdiction. Each Party shall irrevocably submit to the jurisdiction
of any federal court in the State of Delaware (or, solely if such courts decline jurisdiction, in any state court located in the State of Delaware) any action arising out of or relating to this Agreement, and shall irrevocably agree that all claims
in respect of such action may be heard and determined in such court. Each Party shall irrevocably waive, to the fullest extent that it may effectively do so, the defense of an inconvenient forum to the maintenance of such action. The Parties shall
further agree, (A) to the extent permitted by law, that final and unappealable judgment against either of them in any action contemplated above shall be conclusive and may be enforced in any other jurisdiction within or outside the United
States by suit on the judgment, a certified copy of which shall be conclusive evidence of the fact and amount of such judgment and (B) that service of process upon such party in any action or proceeding shall be effective if notice is given in
accordance with the terms of this Agreement. 

  
 18 

 14.14 Waiver of Jury Trial. THE PARTIES HERETO HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO A
JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF THIS AGREEMENT OR ANY DEALINGS BETWEEN THEM RELATING TO THE SUBJECT MATTER OF THIS AGREEMENT AND THE RELATIONSHIP BETWEEN THE PARTIES HERETO THAT IS BEING ESTABLISHED. THE
PARTIES HERETO ACKNOWLEDGE THAT THIS WAIVER IS A MATERIAL INDUCEMENT TO ENTER INTO A BUSINESS RELATIONSHIP, THAT EACH HAS ALREADY RELIED ON THE WAIVER IN ENTERING INTO THIS AGREEMENT, AND THAT EACH WILL CONTINUE TO RELY ON THE WAIVER IN THEIR
RELATED FUTURE DEALINGS. THE PARTIES HERETO FURTHER WARRANT AND REPRESENT THAT EACH HAS REVIEWED THIS WAIVER WITH ITS LEGAL COUNSEL, AND THAT EACH KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL COUNSEL. 

14.15 Third Party Beneficiaries. None of the obligations hereunder of any Party shall run to or be enforceable by any Person other than
the Parties and their respective successors and assigns in accordance with the provisions of this Agreement. 
 14.16 Amendments.
This Agreement may be changed or modified only by an agreement in writing signed by all of the Parties, and no oral understandings shall be binding as between or among the Parties. 

14.17 No Right of Set-Off. Other than as set forth in this Agreement, no Party shall have any right to set-off or offset any obligation
or payment due to any other Party pursuant to the terms of this Agreement against any obligation or payment due or owing to such Party pursuant to the terms of this Agreement. 

***** 

  
 19 

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

					
	Verso	 	
	
	 VERSO PAPER CORP.

		
	By:	 	 /s/ Robert P. Mundy

		 	Name:	 	 Robert P. Mundy

		 	Title:	 	 Senior Vice President and Chief

		 		 	 Financial Officer

 
					
	NewPage	 	
	
	 NEWPAGE CORPORATION

		
	By:	 	 /s/ Robert P. Mundy

		 	Name:	 	 Robert P. Mundy

		 	Title:	 	 Senior Vice President and Chief

		 		 	 Financial Officer

 
					
	NewPage Parent
	
	 NEWPAGE HOLDINGS INC.

		
	By:	 	 /s/ Robert P. Mundy

		 	Name:	 	 Robert P. Mundy

		 	Title:	 	 Senior Vice President and Chief

		 		 	 Financial OfficerExhibit 4.19

 

OCULUS INNOVATIVE SCIENCES, INC.

 

and

 

COMPUTERSHARE
INC. 

 

and

 

Computershare
TRUST COMPANY, N.A.

 

WARRANT AGREEMENT

 

Dated as of [_____________], 2015

 

THIS
WARRANT AGREEMENT (this “Agreement”), dated as of [_____________], 2015 is by and between Oculus
Innovative Sciences, Inc., a Delaware corporation (the “Company”), and Computershare Inc., a Delaware
corporation, and its wholly-owned subsidiary, Computershare Trust Company, N.A., a federally chartered trust company, collectively
as warrant agent (the “Warrant Agent”, also collectively referred to herein as the “Transfer
Agent,” and subject to the appointment of a successor Warrant Agent pursuant to Section 7.3.).

 

WHEREAS, the Company
is engaged in a public offering (the “Offering”) of the Company’s Common Stock (as defined below)
together with Warrants (as defined below) to purchase Common Stock and, in connection therewith, has determined to issue and deliver
up to [_____________] Warrants (including up to [_____________] Warrants subject to the Over-allotment Option, as defined
in the Underwriting Agreement between the Company and Maxim Group LLC, as the representative of the underwriters, dated ______,
2015) to investors in the Offering (the “Warrants”). Each Warrant entitles the holder thereof to purchase
[____] of one share of common stock of the Company, par value $0.0001 per share (“Common Stock” and,
together with the Warrants and the shares of Common Stock underlying the Warrants, the “Securities”),
for $[ ] per share, subject to adjustment as described herein; and 

 

WHEREAS, the Company
has filed with the Securities and Exchange Commission (the “Commission”) a registration statement on
Form S-1, No. 333-200461 (the “Registration Statement”) and prospectus (the “Prospectus”),
for the registration, under the Securities Act of 1933, as amended (the “Securities Act”), of the Securities;
and 

 

WHEREAS, the Company
desires the Warrant Agent to act on behalf of the Company, and the Warrant Agent is willing to so act, in connection with the issuance,
registration, transfer, exchange, redemption and exercise of the Warrants; and

 

WHEREAS, the Company
desires to provide for the form and provisions of the Warrants, the terms upon which they shall be issued and exercised, and the
respective rights, limitation of rights, and immunities of the Company, the Warrant Agent, and the holders of the Warrants; and

 

WHEREAS, all acts and
things have been done and performed which are necessary to make the Warrants, when executed on behalf of the Company and countersigned
by or on behalf of the Warrant Agent, as provided herein, the valid, binding and legal obligations of the Company, and to authorize
the execution and delivery of this Agreement.

 

NOW, THEREFORE, in
consideration of the mutual agreements herein contained, the parties hereto agree as follows:

 

    	1

    	 

    

 

 

1.            Appointment of Warrant Agent.
The Company hereby appoints the Warrant Agent to act as agent for the Company for the Warrants, and the Warrant Agent hereby accepts
such appointment and agrees to perform the same in accordance with the terms and conditions set forth in this Agreement.

 

		2.	Warrants.

 

2.1.Form of
Warrant. Each Warrant shall be issued in registered form only and shall be in substantially the form of Exhibit A hereto,
the provisions of which are incorporated herein, and shall be signed by, or bear the facsimile signature of, the Chairman of the
Board, President, Chief Executive Officer, Chief Financial Officer, Secretary or other authorized officer of the Company. In the
event the person whose facsimile signature has been placed upon any Warrant shall have ceased to serve in the capacity in which
such person signed the Warrant before such Warrant is issued, it may be issued with the same effect as if he or she had not ceased
to be such at the date of issuance.

 

2.2.Effect of
Countersignature. Unless and until countersigned by, or bear the facsimile signature of, the Warrant Agent pursuant to this
Agreement, a Warrant shall be invalid and of no effect and may not be exercised by the holder thereof.

 

 2.3. Registration.

 

2.3.1.Warrant
Register. The Warrant Agent shall maintain books (the “Warrant Register”) for the registration of
original issuance and the registration of transfer of the Warrants. Upon the initial issuance of the Warrants, the Warrant Agent
shall issue and register the Warrants in the names of the respective holders thereof in such denominations and otherwise in accordance
with instructions delivered to the Warrant Agent by the Company or its representatives.

 

2.3.2.Registered
Holder. Prior to due presentment to the Warrant Agent for registration of transfer of any Warrant, the Company and the Warrant
Agent may deem and treat the person in whose name such Warrant is registered in the Warrant Register (the “Registered
Holder”) as the absolute owner of such Warrant and of each Warrant represented thereby (notwithstanding any notation
of ownership or other writing on the Warrant Certificate (as defined below) made by anyone other than the Company or the Warrant
Agent), for the purpose of any exercise thereof, and for all other purposes, and neither the Company nor the Warrant Agent shall
be affected by any notice to the contrary.

 

		3.	Terms and Exercise of Warrants.

 

3.1.Warrant
Price. Each Warrant shall, when countersigned by the Warrant Agent, entitle the Registered Holder thereof, subject to the provisions
of such Warrant and of this Agreement, to purchase from the Company the number of shares of Common Stock stated therein, at the
price of $[] per share, subject to the adjustments provided in Section 4 hereof and in the last sentence of this Section
3.1. The term “Warrant Price” as used in this Agreement shall mean the price per share at which shares
of Common Stock may be purchased at the time a Warrant is exercised. The Company in its sole discretion may lower the Warrant Price
at any time prior to the Expiration Date (as defined below) for a period of not less than twenty (20) Business Days; provided,
that the Company shall provide at least twenty (20) days prior written notice of such reduction to Registered Holders of the Warrants
and provided further that any such reduction shall be identical among all of the Warrants. For purposes of the Agreement, “Business
Day” shall mean any day other than a Saturday, Sunday or a day on which banking institutions in the City of New York are
authorized or obligated by law or executive order to close.

 

    	2

    	 

    

 

3.2.Duration
of Warrants. A Warrant may be exercised only during the period (the “Exercise Period”) commencing
immediately following the closing of the Offering and terminating at 5:00 p.m., New York City time on the Expiration Date; provided,
however, that the exercise of any Warrant shall be subject to the satisfaction of any applicable conditions set forth in
subsection 3.3.3. below with respect to an effective registration statement. For purposes of this Agreement, the “Expiration
Date” shall mean the date that is five (5) years after the closing of the Offering. Each Warrant not exercised on
or before the Expiration Date shall become void, and all rights thereunder and all rights in respect thereof under this Agreement
shall cease at 5:00 p.m. New York City time on the Expiration Date. The Company in its sole discretion may extend the duration
of the Warrants by delaying the Expiration Date; provided, that the Company shall provide at least twenty (20) days prior
written notice of any such extension to Registered Holders of the Warrants and, provided further that any such extension shall
be identical in duration among all the Warrants.

 

 3.3. Exercise of Warrants.

 

3.3.1.Payment.
Subject to the provisions of the Warrant and this Agreement, a Warrant countersigned by the Warrant Agent may be exercised by the
Registered Holder thereof by surrendering it, at the office of the Warrant Agent, or at the office of its successor as Warrant
Agent, in [the City of New York in the State of New York], with the subscription form, as set forth in the Warrant, duly executed,
and by paying in full the Warrant Price for each full share of Common Stock as to which the Warrant is exercised and any and all
applicable taxes due in connection with the exercise of the Warrant. The aggregate Warrant Price shall be paid (a) in lawful money
of the United States in good certified check or good bank draft payable to the order of the Warrant Agent; or

 

(b)as provided in
Section 3.3.2 hereof.

 

3.3.2.Cashless
Exercise. Notwithstanding anything contained herein to the contrary, if and only if an effective registration statement covering
the issuance of the Warrant Shares is not available, the Registered Holder may exercise this Warrant in whole or in part and, in
lieu of making the cash payment otherwise contemplated to be made to the Company upon such exercise in payment of the aggregate
Warrant Price, though in no event shall the Company be required to net cash settle the Warrant Exercise, elect instead to receive
upon such exercise the “Net Number” of shares of Common Stock determined according to the following formula
(a “Cashless Exercise”):

 

	Net Number =	(A x B) - (A x C)
	 	B

 

For purposes of the foregoing formula:

 

	A	=	the total number of shares with respect to which this Warrant is then being exercised.
	 	 	 
	B	=	the arithmetic average of the Closing Sale Prices (as defined below) of the Common Stock for the five (5) consecutive Trading Days ending on the date immediately preceding the date of the Exercise Notice.
	 	 	 
	C	=	the Warrant Price then in effect for the applicable shares of Common Stock at the time of such exercise.

 

    	3

    	 

    

 

The term “Closing
Sale Price” means, for any security as of any date, the last closing bid price and last closing trade price, respectively,
for such security on the NASDAQ Capital Market, as reported by Bloomberg, or, if the NASDAQ Capital Market begins to operate on
an extended hours basis and does not designate the closing bid price or the closing trade price, as the case may be, then the last
bid price or the last trade price, respectively, of such security prior to 4:00:00 p.m., New York time, as reported by Bloomberg,
or, if the NASDAQ Capital Market is not the principal securities exchange or trading market for such security, the last closing
bid price or last trade price, respectively, of such security on the principal securities exchange or trading market where such
security is listed or traded as reported by Bloomberg, or if the foregoing do not apply, the last closing bid price or last trade
price, respectively, of such security in the over-the-counter market on the electronic bulletin board for such security as reported
by Bloomberg, or, if no closing bid price or last trade price, respectively, is reported for such security by Bloomberg, the average
of the bid prices, or the ask prices, respectively, of any market makers for such security as reported in the OTC Link or “pink
sheets” by OTC Markets Group Inc. (formerly Pink OTC Markets Inc.). If the Closing Sale Price cannot be calculated for a
security on a particular date on any of the foregoing bases, the Closing Sale Price of such security on such date shall be the
fair market value as mutually determined by the Company and the Registered Holder. If the Company and the Registered Holder are
unable to agree upon the fair market value of such security, then such dispute shall be resolved pursuant to Section 8.3
hereof. All such determinations to be appropriately adjusted for any stock dividend, stock split, stock combination or other similar
transaction during the applicable calculation period.

 

For purposes of Rule
144(d) promulgated under the Securities Act, as in effect on the date hereof, assuming the Registered Holder is not an affiliate
of the Company, the shares of Common Stock issued in a Cashless Exercise shall be deemed to have been acquired by the Registered
Holder, and the holding period for the shares of Common Stock shall be deemed to have commenced, on the date this Warrant was originally
issued.

 

3.3.3.Issuance
of Shares of Common Stock on Exercise. As soon as practicable after the exercise of any Warrant and the clearance of the
funds in payment of the Warrant Price (if payment is pursuant to subsection 3.3.1(a)), the Company shall issue to the
Registered Holder of such Warrant a certificate or certificates for the number of full shares of Common Stock to which he,
she or it is entitled, registered in such name or names as may be directed by him, her or it, and if such Warrant shall not
have been exercised in full, a new countersigned Warrant for the number of shares as to which such Warrant shall not have
been exercised. Notwithstanding the foregoing, the Company shall not be obligated to deliver any shares of Common Stock
pursuant to the exercise of a Warrant and shall have no obligation to settle such Warrant exercise unless a registration
statement under the Securities Act with respect to the shares of Common Stock underlying the Warrants (the
“Warrant Shares”) is then effective and a prospectus relating thereto is current, except with
respect to the Company’s satisfying its obligations under Section 6.4. Unless otherwise advised in writing by
the Company, the Warrant Agent shall always be entitled to assume that such conditions precedent are in effect and shall
incur no liability in making such assumption. No Warrant shall be exercisable and the Company shall not be obligated to issue
shares of Common Stock upon exercise of a Warrant unless the Common Stock issuable upon such Warrant exercise has been
registered, qualified or deemed to be exempt under the securities laws of the state of residence of the Registered Holder of
the Warrants. In the event that the conditions in the two (2) immediately preceding sentences are not satisfied with respect
to a Warrant, the holder of such Warrant shall not be entitled to exercise such Warrant and such Warrant may have no
value and expire worthless. Subject to Section 4.6 of this Agreement, a Registered Holder of Warrants may exercise its
Warrants only for a whole number of shares of Common Stock. In no event will the Company be required to net cash settle the
Warrant. If, by reason of any exercise of warrants, the holder of any Warrant would be entitled, upon the exercise of such
Warrant, to receive a fractional interest in a share, the Company shall either (i) round up to the nearest whole number, the
number of shares to be issued to such holder or (ii) pay such holder cash for such fractional share in the Company’s
sole discretion. In the event of a cash exercise, the Company hereby instructs the Transfer Agent to record cost basis for
newly issued shares as the Warrant Price paid for the share(s).

 

    	4

    	 

    

 

 

3.3.4.Valid Issuance.
All shares of Common Stock issued upon the proper exercise of a Warrant in conformity with this Agreement shall be validly issued,
fully paid and nonassessable.

 

3.3.5.Date of
Issuance. Each person in whose name any certificate for shares of Common Stock is issued shall for all purposes be deemed to
have become the holder of record of such shares of Common Stock on the date on which the Warrant was surrendered and payment of
the Warrant Price was made, irrespective of the date of delivery of such certificate, except that, if the date of such surrender
and payment is a date when the share transfer books of the Company are closed, such person shall be deemed to have become the holder
of such shares at the close of business on the next succeeding date on which the share transfer books are open.

 

3.3.6.Share
Delivery Failure. If the Company shall fail, for any reason or for no reason, to issue to the Registered Holder within three
(3) trading days after receipt of the applicable exercise notice (the “Share Delivery Deadline”), a certificate
for the number of Warrant Shares to which the Registered Holder is entitled upon such Registered Holder’s exercise of a Warrant
or credit such Registered Holder’s balance account with The Depository Trust Company (“DTC”) for
such number of Warrant Shares to which such Registered Holder is entitled upon such Registered Holder’s exercise of the Warrant
(as the case may be, but in each case without a restrictive legend) (a “Delivery Failure”), and if on
such or after such Share Delivery Deadline the Registered Holder purchases (in an open market transaction or otherwise) shares
of Common Stock to deliver in satisfaction of a sale by the Registered Holder of all or any portion of the number of Warrant Shares
issuable upon such exercise that the Registered Holder so anticipated receiving from the Company, then, in addition to all other
remedies available to it, the Company shall, within three (3) Business Days after the Registered Holder’s request and in
the Registered Holder’s discretion, either (i) pay cash to the Registered Holder in an amount equal to 100% of the Registered
Holder’s total purchase price (including brokerage commissions and other out-of-pocket expenses, if any) for the shares of
Common Stock so purchased (including, without limitation, by any other person in respect, or on behalf, of the Registered Holder)
(the “Buy-In Price”), at which point the Company’s obligation to so issue and deliver such certificate
or credit the Registered Holder’s balance account with DTC for the number of Warrant Shares to which the Registered Holder
is entitled upon the Holder’s exercise hereunder (as the case may be) (and to issue such Warrant Shares) shall terminate,
or (ii) promptly honor its obligation to so issue and deliver to the Registered Holder a certificate or certificates representing
such Warrant Shares or credit the Registered Holder’s balance account with DTC for the number of Warrant Shares to which
the Registered Holder is entitled upon the Registered Holder’s exercise hereunder (as the case may be) and pay cash to the
Registered Holder in an amount equal to the excess (if any) of the Buy-In Price over the product of (A) such number of shares of
Common Stock multiplied by (B) the lowest Closing Sale Price of the shares of Common Stock on any trading day during the period
commencing on the date of the applicable exercise notice and ending on the date immediately preceding the date of such issuance
and payment under this clause (ii). The Warrant Agent shall have no duties, responsibilities
or obligations to take any action under this paragraph without clear and precise instructions from the Company. 

 

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3.3.7.Maximum
Percentage. A holder of a Warrant may notify the Company in writing in the event such holder elects to be subject to the provisions
contained in this subsection 3.3.7.; however, no holder of a Warrant shall be subject to this subsection 3.3.7.
unless he, she or it makes such election. If the election is made by a holder, the Warrant Agent shall not effect the exercise
of the holder’s Warrant, and such holder shall not have the right to exercise such Warrant, to the extent that after giving
effect to such exercise, such person (together with such person’s affiliates), to the Warrant Agent’s actual knowledge,
would beneficially own in excess of 9.9% (the “Maximum Percentage”) of the shares of Common Stock outstanding
immediately after giving effect to such exercise. For purposes of the foregoing sentence, the aggregate number of shares of Common
Stock beneficially owned by such person and its affiliates shall include the number of shares of Common Stock issuable upon exercise
of the Warrant with respect to which the determination of such sentence is being made, but shall exclude shares of Common Stock
that would be issuable upon (x) exercise of the remaining, unexercised portion of the Warrant beneficially owned by such person
and its affiliates and (y) exercise or conversion of the unexercised or unconverted portion of any other securities of the Company
beneficially owned by such person and its affiliates (including, without limitation, any convertible notes or convertible preferred
stock or warrants) subject to a limitation on conversion or exercise analogous to the limitation contained herein. Except as set
forth in the preceding sentence, for purposes of this paragraph, beneficial ownership shall be calculated in accordance with Section
13(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Solely the holder
of the Warrant shall determine the extent to which the Warrant is exercisable in accordance with this Section 3.3.7., and
neither the Company nor the Transfer Agent shall have any obligation to verify or confirm the accuracy of such determination.
For purposes of the Warrant, in determining the number of outstanding shares of Common Stock, the holder may rely on the number
of outstanding shares of Common Stock as reflected in (1) the Company’s most recent annual report on Form 10-K, quarterly
report on Form 10-Q, current report on Form 8-K or other public filing with the Commission as the case may be, (2) a more recent
public announcement by the Company or (3) any other notice by the Company or the Transfer Agent (or its successor) setting forth
the number of shares of Common Stock outstanding. For any reason at any time, upon the written request of the holder of the Warrant,
the Company shall, within two (2) Business Days, confirm orally and in writing to such holder the number of shares of Common Stock
then outstanding. In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to the
conversion or exercise of equity securities of the Company by the holder and its affiliates since the date as of which such number
of outstanding shares of Common Stock was reported. By written notice to the Company, the holder of a Warrant may from time to
time increase or decrease the Maximum Percentage applicable to such holder to any other percentage specified in such notice; provided,
however, that any such increase shall not be effective until the sixty-first (61st) day after such notice is delivered to
the Company.

 

		4.	Adjustments.

 

4.1.Stock Dividends.

 

4.1.1.Split-Ups.
If after the date hereof, and subject to the provisions of Section 4.5 below, the number of outstanding shares of Common
Stock is increased by a stock dividend payable in shares of Common Stock on Common Stock, or by a split-up of shares of Common
Stock or other similar event, then, on the effective date of such stock dividend, split-up or similar event, the number of shares
of Common Stock issuable on exercise of each Warrant shall be increased in proportion to such increase in the outstanding shares
of Common Stock. A rights offering to holders of the Common Stock entitling holders to purchase shares of Common Stock at a price
less than the “Fair Market Value” (as defined below) shall be deemed a stock dividend of a number of shares of Common
Stock equal to the product of (i) the number of shares of Common Stock actually sold in such rights offering (or issuable under
any other equity securities sold in such rights offering that are convertible into or exercisable for the Common Stock) multiplied
by (ii) one (1) minus the quotient of (x) the price per share of Common Stock paid in such rights offering divided by (y) the Fair
Market Value. For purposes of this subsection 4.1.1, (i) if the rights offering is for securities convertible into or exercisable
for Common Stock, in determining the price payable for Common Stock, there shall be taken into account any consideration received
for such rights, as well as any additional amount payable upon exercise or conversion and (ii) “Fair Market Value”
means the volume weighted average price of the Common Stock as reported during the ten (10) trading day period ending on the trading
day prior to the first date on which the shares of Common Stock trade on the applicable exchange or in the applicable market, regular
way, without the right to receive such rights.

 

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4.1.2.Extraordinary
Dividends. If the Company, at any time while the Warrants are outstanding and unexpired, shall pay a dividend or make a distribution
in cash, securities or other assets to the holders of the Common Stock as a class on account of such shares of Common Stock (or
other shares of the Company’s capital stock into which the Warrants are convertible), other than as described in subsection
4.1.1 (any such non-excluded event being referred to herein as an “Extraordinary Dividend”), then
the Warrant Price shall be decreased, effective immediately after the effective date of such Extraordinary Dividend, by the amount
of cash and/or the fair market value (as determined by the Board, in good faith) of any securities or other assets paid on each
share of Common Stock (or other shares of the Company’s capital stock into which the Warrants are convertible) in respect
of such Extraordinary Dividend.

 

4.2.Aggregation
of Shares. If after the date hereof, and subject to the provisions of Section 4.5 hereof, the number of outstanding
shares of Common Stock is decreased by a consolidation, combination, reverse stock split or reclassification of shares of Common
Stock or other similar event, then, on the effective date of such consolidation, combination, reverse stock split, reclassification
or similar event, the number of shares of Common Stock issuable on exercise of each Warrant shall be decreased in proportion to
such decrease in outstanding shares of Common Stock.

 

4.3.Adjustments
in Warrant Price. Whenever the number of shares of Common Stock purchasable upon the exercise of the Warrants is adjusted,
as provided in subsection 4.1.1 or 4.2 above, the Warrant Price shall be adjusted (to the nearest cent) by multiplying
such Warrant Price immediately prior to such adjustment by a fraction (x) the numerator of which shall be the number of shares
of Common Stock purchasable upon the exercise of the Warrants immediately prior to such adjustment, and (y) the denominator of
which shall be the number of shares of Common Stock so purchasable immediately thereafter.

 

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4.4.Notices
of Changes in Warrant. Upon every adjustment of the Warrant Price or the number of shares issuable upon exercise of a Warrant,
the Company shall give reasonable written notice thereof to the Warrant Agent, which notice shall state the Warrant Price and any
new or amended terms resulting from such adjustment and the increase or decrease, if any, in the number of shares purchasable at
such price upon the exercise of a Warrant, setting forth in reasonable detail the method of calculation and the facts upon which
such calculation is based. Upon every adjustment of the Warrant Price or the number of shares issuable upon exercise of a Warrant,
the Company shall give written notice of the occurrence of such event to each holder of a Warrant, at the last address set forth
for such holder in the Warrant Register, of the record date or the effective date of the event. Failure to give such notice, or
any defect therein, shall not affect the legality or validity of such event. The Warrant Agent shall have no duty or obligation
under this Agreement to determine whether any event requiring adjustment under this Section 4 has occurred or are scheduled
or contemplated to occur or to calculate any of the adjustments set forth herein.

 

4.5.No Fractional
Shares or Scrip. Notwithstanding any provision contained in this Agreement to the contrary, the Company shall not issue fractional
shares or scrip representing fractional shares upon the exercise of Warrants. As to any fraction of a share which the holder of
any Warrant would be entitled to purchase upon exercise of such Warrant, the Company shall, at its election, either (i) pay a cash
adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the Warrant Price, or (ii) round
up to the nearest whole number the number of shares of Common Stock to be issued to such holder.

 

4.6.Form of
Warrant. The form of Warrant need not be changed because of any adjustment pursuant to this Section 4, and Warrants
issued after such adjustment may state the same Warrant Price and the same number of shares as is stated in the Warrants initially
issued pursuant to this Agreement; provided, however, that the Company may at any time in its sole discretion make
any change in the form of Warrant that the Company may deem appropriate and that does not affect the substance thereof, and any
Warrant thereafter issued or countersigned, whether in exchange or substitution for an outstanding Warrant or otherwise, may be
in the form as so changed.

 

		5.	Transfer and Exchange of Warrants. 

 

5.1.Registration
of Transfer. The Warrant Agent shall register the transfer, from time to time, of any outstanding Warrant upon the Warrant
Register, upon surrender of such Warrant for transfer, properly endorsed with signatures properly guaranteed by an eligible guarantor
institution participating in a signature guarantee program approved by the Securities Transfer Association, and accompanied by
appropriate instructions for transfer. Upon any such transfer, a new Warrant representing an equal aggregate number of Warrants
shall be issued and the old Warrant shall be cancelled by the Warrant Agent. The Warrants so cancelled shall be delivered by the
Warrant Agent to the Company from time to time upon request.

 

 

5.2.Procedure
for Surrender of Warrants. Warrants may be surrendered to the Warrant Agent, together with a written request for exchange or
transfer, and thereupon the Warrant Agent shall issue in exchange therefor one or more new Warrants as requested by the Registered
Holder of the Warrants so surrendered, representing an equal aggregate number of Warrants.

 

    	8

    	 

    

 

5.3.Fractional
Warrants. The Warrant Agent shall not be required to effect any registration of transfer or exchange which shall result in
the issuance of a warrant certificate for a fraction of a warrant.

 

5.4.Service
Charges. No service charge shall be made for any exchange or registration of transfer of Warrants.

 

5.5.Warrant
Execution and Countersignature. The Warrant Agent is hereby authorized to countersign and to deliver, in accordance with the
terms of this Agreement, the Warrants required to be issued pursuant to the provisions of this Section 5, and the Company,
whenever required by the Warrant Agent, shall supply the Warrant Agent with Warrants duly executed on behalf of the Company for
such purpose.

 

		6.	Other Provisions Relating to Rights of Holders of Warrants.

 

6.1.No Rights
as Stockholder. A Warrant does not entitle the Registered Holder thereof to any of the rights of a stockholder of the Company,
including, without limitation, the right to receive dividends, or other distributions, exercise any preemptive rights to vote or
to consent or to receive notice as stockholders in respect of the meetings of stockholders or the election of directors of the
Company or any other matter.

 

6.2.Lost, Stolen,
Mutilated, or Destroyed Warrants. If any Warrant is lost, stolen, mutilated or destroyed, absent notice to the Company or Warrant
Agent that such certificates have been acquired by a protected purchaser, the Company may, upon receipt by Warrant Agent of an
open penalty surety bond satisfactory to the Warrant Agent and holding it and Company harmless, issue, in a form mutually agreed
to by Warrant Agent and the Company, a new Warrant of like denomination, tenor and date as the Warrant so lost, stolen, mutilated
or destroyed, and countersigned by the Warrant Agent. Any such new Warrant shall constitute a substitute contractual obligation
of the Company, whether or not the allegedly lost, stolen, mutilated or destroyed Warrant shall be at any time enforceable by anyone.
The Warrant Agent may, at its option, countersign replacement Warrants for mutilated certificates upon presentation thereof without
such indemnity.

 

6.3.Reservation
of Common Stock. The Company shall at all times reserve and keep available a number of its authorized but unissued shares of
Common Stock that shall be sufficient to permit the exercise in full of all outstanding Warrants issued pursuant to this Agreement.
The Company further covenants that its issuance of Warrants shall constitute full authority to its officers who are charged with
the duty of executing stock certificates to execute and issue the necessary Warrant Shares upon the exercise of the purchase rights
under the Warrants. The Company will take all such commercially reasonable action as may be necessary to assure that such Warrant
Shares may be issued as provided herein without violation of any applicable law or regulation, or of any requirements of the trading
market upon which the Common Stock may be listed. The Company covenants that all Warrant Shares which may be issued upon the exercise
of the purchase rights represented by the Warrants will, upon exercise of the purchase rights represented by the Warrants and payment
for such Warrant Shares in accordance herewith, be duly authorized, validly issued, fully paid and nonassessable and free from
all taxes, liens and charges created by the Company in respect of the issue thereof (other than taxes in respect of any transfer
occurring contemporaneously with such issue).

 

    	9

    	 

    

 

6.4.Registration
of Common Stock. The Company registered the Warrants and the Warrant Shares in the Registration Statement. The Company will
use its reasonable best efforts to maintain the effectiveness of such Registration Statement and the current status of the Prospectus
or to file and maintain the effectiveness of another registration statement and another current prospectus covering the Warrants
and the Warrant Shares at any time that the Warrants are exercisable. In addition, the Company agrees to use its reasonable best
efforts to register the Warrants and Warrant Shares under the blue sky laws of the states of residence of the Registered Holders
to the extent an exemption from such registration is not available. If at any time the Company does not have an effective registration
statement covering the Warrant Shares, and Rule 144 is not available to cover the Warrant Shares due to the failure of the Company
to be currently reporting under the Exchange Act (“Public Information Failure”), then the Company shall
pay in cash by wire transfer of immediately available funds an amount per month equal to 1% of the aggregate volume weighted average
price of the Warrant Shares into which a Warrant is converted which are not able to be delivered without legend because of such
Public Information Failure to the Registered Holder thereof until such Warrant Shares are able to be delivered without legend (to
be pro-rated for any periods which are less than one month).

 

		7.	Concerning the Warrant Agent and Other Matters.

 

7.1.Bank Accounts.
All funds received by Warrant Agent under this Agreement that are to be distributed or applied by Warrant Agent in the performance
of services to be provided hereunder (the “Funds”) shall be held by Computershare Inc. as agent for the Company
and deposited in one or more bank accounts to be maintained by Computershare Inc. in its name as agent for the Company. Until paid
pursuant to the terms of this Agreement, Computershare Inc. will hold the Funds through such accounts in: deposit accounts of commercial
banks with Tier 1 capital exceeding $1 billion or with an average rating above investment grade by S&P (LT Local Issuer Credit
Rating), Moody’s (Long Term Rating) and Fitch Ratings, Inc. (LT Issuer Default Rating) (each as reported by Bloomberg Finance
L.P.). Computershare Inc. shall have no responsibility or liability for any diminution of the Funds that may result from any deposit
made by Computershare Inc. in accordance with this paragraph, including any losses resulting from a default by any bank, financial
institution or other third party. Computershare Inc. may from time to time receive interest, dividends or other earnings in connection
with such deposits. Computershare Inc. shall not be obligated to pay such interest, dividends or earnings to the Company, any holder
or any other party.

 

7.2.Payment
of Taxes. The Company shall from time to time promptly pay all taxes and charges that may be imposed upon the Company or the
Warrant Agent in respect of the issuance or delivery of the Warrant Shares, but neither the Company nor the Warrant Agent shall
be obligated to pay any transfer taxes in respect of the Warrants or Warrant Shares. The Warrant Agent shall not register any transfer
or issue or deliver any Warrants or Warrant Shares unless or until the persons requesting the registration or issuance shall have
paid to the Warrant Agent for the account of the Company the amount of such tax, if any, or shall have established to the reasonable
satisfaction of the Company and the Warrant Agent that such tax, if any, has been paid.

 

    	10

    	 

    

 

 7.3. Resignation, Consolidation, or Merger of Warrant Agent. 

 

7.3.1.Appointment
of Successor Warrant Agent. The Warrant Agent, or any successor to it hereafter appointed, may resign its duties and be discharged
from all further duties and liabilities hereunder after giving thirty (30) days’ notice in writing to the Company. If the
office of the Warrant Agent becomes vacant by resignation or incapacity to act or otherwise, the Company shall appoint in writing
a successor Warrant Agent in place of the Warrant Agent. If the Company shall fail to make such appointment within a period of
thirty (30) days after it has been notified in writing of such resignation or incapacity by the Warrant Agent or by the holder
of a Warrant (who shall, with such notice, submit his Warrant for inspection by the Company), then the holder of any Warrant may
apply to the Supreme Court of the State of New York for the County of New York for the appointment of a successor Warrant Agent
at the Company’s cost. Any successor Warrant Agent, whether appointed by the Company or by such applicable court, shall
be a corporation organized and existing under the laws of the State of New York, in good standing and having its principal office
in the City and State of New York, and authorized under such laws to exercise the powers of a transfer agent and subject to supervision
or examination by federal or state authority. After appointment, any successor Warrant Agent shall be vested with all the authority,
powers, rights, immunities, duties, and obligations of its predecessor Warrant Agent with like effect as if originally named as
Warrant Agent hereunder, without any further act or deed; but, if for any reason it becomes necessary or appropriate, at the expense
of the Company, the predecessor Warrant Agent shall deliver and transfer to the successor Warrant Agent any property at the time
held by it hereunder, and execute and deliver any further assurance, conveyance, act or deed necessary for such purpose.

 

7.3.2.Notice of
Successor Warrant Agent. In the event a successor Warrant Agent shall be appointed, the Company shall give notice thereof to
the predecessor Warrant Agent and the Transfer Agent for the Common Stock not later than the effective date of any such appointment.

 

7.3.3. Merger
or Consolidation of Warrant Agent. Any entity into which the Warrant Agent may be merged or with which it may be consolidated
or any entity resulting from any merger or consolidation to which the Warrant Agent shall be a party shall be the successor Warrant
Agent under this Agreement without any further act.

 

 7.4. Fees and Expenses of Warrant Agent. 

 

7.4.1.Remuneration.
The Company agrees to pay the Warrant Agent reasonable remuneration for its services as such Warrant Agent hereunder and shall,
pursuant to its obligations under this Agreement, reimburse the Warrant Agent upon demand for all expenditures that the Warrant
Agent may reasonably incur in the execution of its duties hereunder.

 

7.4.2.Further
Assurances. The Company agrees to perform, execute, acknowledge, and deliver or cause to be performed, executed, acknowledged,
and delivered all such further and other acts, instruments, and assurances as may reasonably be required by the Warrant Agent for
the carrying out or performing of the provisions of this Agreement.

 

7.4.3Cash
Reserve. The Company shall provide an initial funding of [$1,000] for the purpose of issuing cash in lieu of fractional shares.
From time to time thereafter, the Warrant Agent may request additional funding to cover fractional payments in writing. The Warrant
Agent shall have no obligation to make such fractional payments unless the Company shall have provided the necessary funds to pay
in full all amounts due and payable with respect thereto.

 

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 7.5. Liability of Warrant Agent. 

 

7.5.1.Reliance
on Company Statement. Whenever in the performance of its duties under this Agreement, the Warrant Agent shall deem it necessary
or desirable that any fact or matter be proved or established by the Company prior to taking or suffering any action hereunder,
such fact or matter (unless other evidence in respect thereof be herein specifically prescribed) may be deemed to be conclusively
proved and established by a statement signed by the Chief Executive Officer or other authorized officer of the Company and delivered
to the Warrant Agent. The Warrant Agent may rely upon such statement for any action taken or suffered in good faith by it pursuant
to the provisions of this Agreement.

 

7.5.2.Indemnity.
The Company covenants and agrees to indemnify and to hold the Warrant Agent harmless against any costs, expenses (including reasonable
fees of its legal counsel), losses or damages, which may be paid, incurred or suffered by or to which it may become subject, arising
from or out of, directly or indirectly, any claims or liability resulting from its actions or omissions as Warrant Agent pursuant
hereto; provided, that such covenant and agreement does not extend to, and the Warrant Agent shall not be indemnified with
respect to, such costs, expenses, losses and damages incurred or suffered by the Warrant Agent as a result of, or arising out of,
its gross negligence, bad faith, or willful misconduct (each as determined in a final judgment by a court of competent jurisdiction).

 

7.5.3.Exclusions.
The Warrant Agent shall have no responsibility with respect to the validity of this Agreement or with respect to the validity or
execution of any Warrant (except its countersignature thereof). The Warrant Agent shall not be responsible for any breach by the
Company of any covenant or condition contained in this Agreement or in any Warrant. The Warrant Agent shall not be responsible
to make any adjustments required under the provisions of Section 4 hereof or responsible for the manner, method, or amount
of any such adjustment or the ascertaining of the existence of facts that would require any such adjustment; nor shall it by any
act hereunder be deemed to make any representation or warranty as to the authorization or reservation of any shares of Common Stock
to be issued pursuant to this Agreement or any Warrant or as to whether any Warrant Shares, when issued, be valid and fully paid
and nonassessable.

 

7.5.4.Limitation
of Liability. Notwithstanding anything contained herein to the contrary, the Warrant Agent’s aggregate liability during
any term of this Agreement with respect to, arising from, or arising in connection with this Agreement, or from all services provided
or omitted to be provided under this Agreement, whether in contract, or in tort, or otherwise, is limited to, and shall not exceed,
the amounts paid hereunder by the Company to the Warrant Agent as fees and charges, but not including reimbursable expenses, during
the twelve (12) months immediately preceding the event for which recovery from Warrant Agent is being sought.

 

7.6.Instructions;
Certifications. From time to time, the Company may provide the Warrant Agent with instructions
or certifications concerning or related to the services performed by the Warrant Agent hereunder. In addition, at any time the
Warrant Agent may apply to any officer of the Company for instruction, and may consult with legal counsel for the Warrant Agent
or the Company with respect to any matter arising in connection with the services to be performed by the Warrant Agent under this
Agreement. The Warrant Agent and, its employees, agents and subcontractors shall not be liable and shall be indemnified by the
Company for any action taken or omitted by Warrant Agent, its employees, agents and subcontractors
in reliance upon any Company instructions, certifications or upon the advice or opinion of such counsel. The Warrant Agent shall
not be held to have notice of any change of authority of any person, until receipt of written notice thereof from the Company.

 

7.7.Rights and
Duties of Warrant Agent. (a)The Warrant Agent may consult with legal counsel (who may be legal counsel for the Company),
and the opinion of such counsel shall be full and complete authorization and protection to the Warrant Agent as to any action taken
or omitted by it in accordance with such opinion.

 

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(b)The Warrant
Agent shall not be liable for or by reason of any of the statements of fact or recitals contained in this Agreement or in the Warrants
(except its countersignature thereof) or be required to verify the same, and all such statements and recitals are and shall be
deemed to have been made by the Company only.

 

(c)The Warrant
Agent shall not have any duty or responsibility in the case of the receipt of any written demand from any holder of Warrants with
respect to any action or default by the Company, including, without limiting the generality of the foregoing, any duty or responsibility
to initiate or attempt to initiate any proceedings at law or otherwise or to make any demand upon the Company.

 

(d)The Warrant
Agent and any stockholder, director, officer or employee of the Warrant Agent may buy, sell or deal in any of the Warrants or other
securities of the Company or become pecuniarily interested in any transaction in which the Company may be interested, or contract
with or lend money to the Company or otherwise act as fully and freely as though it were not Warrant Agent under this Agreement.
Nothing herein shall preclude the Warrant Agent from acting in any other capacity for the Company or for any other legal entity.

 

(e)The Warrant
Agent may execute and exercise any of the rights or powers hereby vested in it or perform any duty hereunder either itself or by
or through its attorney or agents, and the Warrant Agent shall not be answerable or accountable for any act, default, neglect or
misconduct of any such attorney or agents or for any loss to the Company resulting from any such act, default, neglect or misconduct,
absent gross negligence, bad faith or willful misconduct (each as determined by a final judgment of a court of competent jurisdiction)
in the selection and continued employment thereof.

 

(f)The Warrant
Agent may rely on and shall be held harmless and protected and shall incur no liability for or in respect of any action taken,
suffered or omitted to be taken by it in reliance upon any certificate, statement, instrument, opinion, notice, letter, facsimile
transmission, telegram or other document, or any security delivered to it, and believed by it to be genuine and to have been made
or signed by the proper party or parties, or upon any written or oral instructions or statements from the Company with respect
to any matter relating to its acting as Warrant Agent hereunder.

 

(g)The Warrant
Agent shall not be obligated to expend or risk its own funds or to take any action that it believes would expose or subject it
to expense or liability or to a risk of incurring expense or liability, unless it has been furnished with assurances of repayment
or indemnity satisfactory to it.

 

(h)The Warrant
Agent shall not be liable or responsible for any failure of the Company to comply with any of its obligations relating to any registration
statement filed with the Commission or this Agreement, including without limitation obligations under applicable regulation or
law.

 

(i)The Warrant
Agent shall not be accountable or under any duty or responsibility for the use by the Company of any Warrants authenticated by
the Warrant Agent and delivered by it to the Company pursuant to this Agreement or for the application by the Company of the proceeds
of the issue and sale, or exercise, of the Warrants.

 

(j)The Warrant
Agent shall act hereunder solely as agent for the Company, and its duties shall be determined solely by the express provisions
hereof (and no duties or obligations shall be inferred or implied). The Warrant Agent shall not assume any obligations or relationship
of agency or trust with any of the owners or holders of the Warrants.

 

(k)The Warrant
Agent may rely on and be fully authorized and protected in acting or failing to act upon (a) any guaranty of signature by an “eligible
guarantor institution” that is a member or participant in the Securities Transfer Agents Medallion Program or other comparable
“signature guarantee program” or insurance program in addition to, or in substitution for, the foregoing; or (b) any
law, act, regulation or any interpretation of the same even though such law, act, or regulation may thereafter have been altered,
changed, amended or repealed.

 

    	13

    	 

    

 

(l)In the event
the Warrant Agent believes any ambiguity or uncertainty exists hereunder or in any notice, instruction, direction, request or other
communication, paper or document received by the Warrant Agent hereunder, the Warrant Agent, may, in its sole discretion, refrain
from taking any action, and shall be fully protected and shall not be liable in any way to Company, the holder of any Warrant or
any other person or entity for refraining from taking such action, unless the Warrant Agent receives written instructions signed
by the Company which eliminates such ambiguity or uncertainty to the satisfaction of Warrant Agent.

 

7.8.Delivery
of Exercise Price. The Warrant Agent shall forward funds received for warrant exercises under this Agreement in a given month
by the 5th Business Day of the following month by wire transfer to an account designated by the Company.

 

7.9.Acceptance
of Agency. The Warrant Agent hereby accepts the agency established by this Agreement and agrees to perform the same upon the
express terms and conditions herein set forth and among other things, shall account to the Company with respect to Warrants exercised
and concurrently account for, and pay to the Company, all monies received by the Warrant Agent for the purchase of Warrant Shares.

 

7.10. Opinion
of Counsel. The Company shall provide an opinion of counsel prior to the effective date of this Agreement to set up a reserve
of warrants and related Common Stock. The opinion shall state that all warrants or Common Stock, as applicable, are: (1) registered
under the Securities Act or are exempt from such registration, and all appropriate state securities law filings have been made
with respect to the warrants or shares; and (2) validly issued, fully paid and non-assessable.

 

7.11. Confidentiality.
The Warrant Agent and the Company agree that all books, records, information and data pertaining to the business of the other party,
including inter alia, personal, non-public Warrant holder information, which are exchanged or received pursuant to the negotiation
or the carrying out of this Agreement including the compensation for services performed hereunder shall remain confidential, and
shall not be voluntarily disclosed to any other person, except as may be required by law, including, without limitation, pursuant
to subpoenas from state or federal government authorities (e.g., in divorce and criminal actions).

 

7.12.Consequential
Damages. Neither party to this Agreement shall be liable to the other party for any consequential, indirect, punitive, special
or incidental damages under any provisions of this Agreement or for any consequential, indirect, punitive, special or incidental
damages arising out of any act or failure to act hereunder even if that party has been advised of or has foreseen the possibility
of such damages.

 

		8.	Miscellaneous Provisions.

 

8.1.Successors.
All the covenants and provisions of this Agreement by or for the benefit of the Company or the Warrant Agent shall bind and inure
to the benefit of their respective successors and assigns.

 

    	14

    	 

    

 

8.2.Notices.
All notices, requests, demands and other communications from the Company to the Warrant Agent or vice-versa, or the holders of
warrants to the Warrant Agent or the Company made under or by reason of the provisions of this Agreement shall be in writing and
shall be given by hand delivery, certified or registered mail, return receipt requested, or nationally recognized overnight courier,
addressed as follows:

 

If to the Company:

Oculus Innovative Sciences, Inc.

Attn.: Secretary

1129 N. McDowell Blvd.

Petaluma, CA 94954

 

If to the Warrant Agent:

 

[Computershare Inc.

250 Royall Street

Canton Massachusetts 02021

Attention: General Counsel] 

 

All notices, requests,
demands and other communications made under or by reason of the provisions of this Agreement shall be effective when sent.

 

8.3.Applicable
Law, Submission to Jurisdiction, Trial by Jury. The validity, interpretation, and performance of this Agreement and of the
Warrants shall be governed in all respects by the laws of the State of California, without giving effect to conflicts of law principles
that would result in the application of the substantive laws of another jurisdiction, except that the rights, duties, and obligations
of the Warrant Agent under this Agreement shall be governed by and construed in accordance with the laws of the State of Delaware.
Each of the Company and the holders hereby agrees that any action, proceeding or claim against it arising out of or relating in
any way to this Agreement shall be brought and enforced in the courts of the State of California or the United States District
Court for the Northern District of California, and irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive.
The Warrant Agent hereby agrees that any action, proceeding or claim against it arising out of or relating in any way to this Agreement
shall be brought and enforced in the courts of the State of New York or the United States District Court for the Southern District
of New York, and irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive. Each of the Company and the Warrant
Agent hereby waives any objection to such exclusive jurisdiction, as applicable, and that such courts represent an inconvenient
forum. The Company (on its behalf and, to the extent permitted by applicable law, on behalf of its stockholders and affiliates),
the Warrant Agent and the Holders hereby irrevocably waive, to the fullest extent permitted by applicable law, any and all right
to trial by jury in any legal proceeding arising out of or relating to this Agreement or the transactions contemplated hereby.

 

8.4.Persons
Having Rights under this Agreement. Nothing in this Agreement shall be construed to confer upon, or give to, any person or
entity other than the parties hereto and the Registered Holders of the Warrants any right, remedy, or claim under or by reason
of this Agreement or of any covenant, condition, stipulation, promise, or agreement hereof. All covenants, conditions, stipulations,
promises, and agreements contained in this Agreement shall be for the sole and exclusive benefit of the parties hereto and their
successors and assigns and of the Registered Holders of the Warrants.

 

8.5.Examination
of the Warrant Agreement. A copy of this Agreement shall be available at all reasonable times at the office of the Warrant
Agent at [__________], for inspection by the Registered Holder of any Warrant. The Warrant Agent may require any such holder to
submit his Warrant for inspection by it.

 

    	15

    	 

    

 

8.6.Counterparts.
This Agreement may be executed in any number of original or facsimile counterparts and each of such counterparts shall for all
purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument. A signature
to this Agreement transmitted electronically shall have the same authority, effect, and enforceability as an original signature.

 

8.7.Effect of
Headings. The section headings herein are for convenience only and are not part of this Agreement and shall not affect the
interpretation thereof.

 

8.8.Amendments.
This Agreement may be amended by the parties hereto without the consent of any Registered Holder for the purpose of curing any
ambiguity, or curing, correcting or supplementing any defective provision contained herein or adding or changing any other provisions
with respect to matters or questions arising under this Agreement as the parties may deem necessary or desirable and that the parties
deem shall not adversely affect the interest of the Registered Holders. All other modifications or amendments, including any amendment
to increase the Warrant Price or shorten the Exercise Period, shall require the vote or written consent of the Registered Holders
of at least 65% of the then outstanding Warrants. Notwithstanding the foregoing, the Company may lower the Warrant Price or extend
the duration of the Exercise Period pursuant to Sections 3.1 and 3.2, respectively, without the consent of the Registered
Holders. No consideration shall be offered by the Company to any Registered Holder in connection with a modification, amendment
or waiver of this Agreement or any Warrant without also offering the same consideration to all Registered Holders. As a condition
precedent to the Warrant Agent’s execution of any amendment, the Company shall deliver to the Warrant Agent a certificate
from a duly authorized officer of the Company that states that the proposed amendment is in compliance with the terms of this Section
8.8.

 

8.9.Severability.
This Agreement shall be deemed severable, and the invalidity or unenforceability of any term or provision hereof shall not affect
the validity or enforceability of this Agreement or of any other term or provision hereof. Furthermore, in lieu of any such invalid
or unenforceable term or provision, the parties hereto intend that there shall be added as a part of this Agreement a provision
as similar in terms to such invalid or unenforceable provision as may be possible and be valid and enforceable.

 

8.10.Survival.
The provisions of Sections 7 shall survive any termination of this Agreement and the resignation, removal or replacement
of the Warrant Agent.

 

8.11. Force
Majeure. Notwithstanding anything to the contrary contained herein, the Warrant Agent will not be liable for any delays or
failures in performance resulting from acts beyond its reasonable control including, without limitation, acts of God, terrorist
acts, shortage of supply, breakdowns or malfunctions, interruptions or malfunction of computer facilities, or loss of data due
to power failures or mechanical difficulties with information storage or retrieval systems, labor difficulties, war, or civil unrest.

 

8.12.USA PATRIOT
Act Notice. The Warrant Agent hereby notifies the Company that pursuant to the requirements of the USA PATRIOT Act (Title III
of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Patriot Act”), it must obtain, verify and record certain
information that identifies the Company, which information includes the name and address of the Company and other information that
will allow the Warrant Agent to identify the Company in accordance with the Patriot Act.

 

 

    	16

    	 

    

 

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

 

	 	OCULUS INNOVATIVE SCIENCES, INC.
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name: Jim Schutz
	 	 	Title: President and Chief Executive Officer
	 	 	 
	 	 	 
	 	 	 
	 	COMPUTERSHARE, INC. 
	 	as Warrant Agent
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name: 
	 	 	Title: 
	 	 	 
	 	 	 
	 	 	 
	 	COMPUTERSHARE TRUST COMPANY, N.A.
	 	as Warrant Agent
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name:
	 	 	Title:

 

 

 

 

 

 

[Signature Page to Warrant Agreement]

 

 

    	17

    	 

    

EXHIBIT A

 

[Form of Warrant Certificate]

 

[FACE]

 

Number

 

Warrants

 

THIS WARRANT SHALL BE VOID IF NOT EXERCISED
PRIOR TO

THE EXPIRATION OF THE EXERCISE PERIOD
PROVIDED FOR

IN THE WARRANT AGREEMENT DESCRIBED BELOW

 

OCULUS INNOVATIVE SCIENCES, INC.

Incorporated Under the Laws of the State
of Delaware

 

CUSIP [____]

 

Warrant Certificate

 

This Warrant
Certificate certifies that ___________, or registered assigns, is the registered holder of warrant(s) (the “Warrants”
and each, a “Warrant”) to purchase shares of Common Stock, $0.0001 par value per share (“Common
Stock”), of Oculus Innovative Sciences, Inc., a Delaware corporation (the “Company”). Each
Warrant entitles the holder, upon exercise during the period set forth in the Warrant Agreement referred to below, to receive from
the Company that number of fully paid and nonassessable shares of Common Stock as set forth below, at the exercise price (the “Exercise
Price”) as determined pursuant to the Warrant Agreement, payable in lawful money (or through “cashless exercise”
as provided for in the Warrant Agreement) of the United States of America upon surrender of this Warrant Certificate and
payment of the Exercise Price at the office or agency of the Warrant Agent referred to below, subject to the conditions set forth
herein and in the Warrant Agreement. Defined terms used in this Warrant Certificate but not defined herein shall have the meanings
given to them in the Warrant Agreement (as defined on the reverse hereof). 

 

Each Warrant is initially
exercisable for ___ of a fully paid and non-assessable share of Common Stock. The number of the shares of Common Stock issuable
upon exercise of the Warrants is subject to adjustment upon the occurrence of certain events set forth in the Warrant Agreement.

 

The initial Exercise
Price per share of Common Stock for any Warrant is equal to $ per share. The Exercise Price is subject to adjustment upon
the occurrence of certain events set forth in the Warrant Agreement.

 

Subject to the conditions
set forth in the Warrant Agreement, the Warrants may be exercised only during the Exercise Period and to the extent not exercised
by the end of such Exercise Period, such Warrants shall become void.

 

Reference is hereby
made to the further provisions of this Warrant Certificate set forth on the reverse hereof and such further provisions shall for
all purposes have the same effect as though fully set forth at this place.

 

This Warrant Certificate
shall not be valid unless countersigned by the Warrant Agent, as such term is used in the Warrant Agreement.

 

[Signature Page to Warrant Certificate]

 

 

 

    	18

    	 

    

 

This Warrant Certificate
shall be governed by and construed in accordance with the internal laws of the State of New York, without regard to conflicts of
laws principles thereof.

 

	 	OCULUS INNOVATIVE SCIENCES, INC.
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name: Jim Schutz
	 	 	Title: President and Chief Executive Officer
	 	 	 
	 	 	 
	 	 	 
	 	COMPUTERSHARE, INC. 
	 	as Warrant Agent
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name: 
	 	 	Title: 
	 	 	 
	 	 	 
	 	 	 
	 	COMPUTERSHARE TRUST COMPANY, N.A.
	 	as Warrant Agent
	 	 	 
	 	 	 
	 	By: 	 
	 	 	Name:
	 	 	Title:

 

 

[Signature Page to Warrant Certificate]

 

 

 

    	19

    	 

    

[Form of Warrant Certificate]

 

[Reverse]

 

The Warrants evidenced
by this Warrant Certificate are part of a duly authorized issue of Warrants entitling the holder on exercise to receive shares
of Common Stock and are issued or to be issued pursuant to a Warrant Agreement dated as of [], 2015 (the “Warrant
Agreement”), duly executed and delivered by the Company to Computershare Inc., a Delaware corporation, and its wholly-owned
subsidiary, Computershare Trust Company, N.A., a federally chartered trust company, collectively as warrant agent (the “Warrant
Agent”), which Warrant Agreement is hereby incorporated by reference in and made a part of this instrument and is
hereby referred to for a description of the rights, limitation of rights, obligations, duties and immunities thereunder of the
Warrant Agent, the Company and the holders (the words “holders” or “holder”
meaning the Registered Holders or Registered Holder) of the Warrants. A copy of the Warrant Agreement may be obtained by the holder
hereof upon written request to the Company. Defined terms used in this Warrant Certificate but not defined herein shall have the
meanings given to them in the Warrant Agreement. 

 

Warrants may be exercised
at any time during the Exercise Period set forth in the Warrant Agreement. The holder of Warrants evidenced by this Warrant Certificate
may exercise them by surrendering this Warrant Certificate, with the form of election to purchase set forth hereon properly completed
and executed, together with payment of the Exercise Price as specified in the Warrant Agreement (or through “cashless
exercise” as provided for in the Warrant Agreement) at the office of the Warrant Agent designated for such purpose.
In the event that upon any exercise of Warrants evidenced hereby the number of Warrants exercised shall be less than the total
number of Warrants evidenced hereby, there shall be issued to the holder hereof or his, her or its assignee, a new Warrant Certificate
evidencing the number of Warrants not exercised.

 

Notwithstanding anything
else in this Warrant Certificate or the Warrant Agreement, no Warrant may be exercised unless at the time of exercise (i) a registration
statement covering the shares of Common Stock to be issued upon exercise is effective under the Securities Act and (ii) a prospectus
thereunder relating to the shares of Common Stock is current, except through “cashless exercise” as provided
for in the Warrant Agreement.

 

The Warrant Agreement
provides that upon the occurrence of certain events the number of shares of Common Stock issuable upon exercise of the Warrants
set forth on the face hereof may, subject to certain conditions, be adjusted. If, upon exercise of a Warrant, the holder thereof
would be entitled to receive a fractional interest in a share of Common Stock, the Company shall, upon exercise, round up to the
nearest whole number of shares of Common Stock to be issued to the holder of the Warrant.

 

Warrant Certificates,
when surrendered at the office of the Warrant Agent designated for such purposes by the Registered Holder thereof in person or
by legal representative or attorney duly authorized in writing, may be exchanged, in the manner and subject to the limitations
provided in the Warrant Agreement, but without payment of any service charge, for another Warrant Certificate or Warrant Certificates
of like tenor evidencing in the aggregate a like number of Warrants.

 

Upon due presentation
for registration of transfer of this Warrant Certificate at the office of the Warrant Agent, a new Warrant Certificate or Warrant
Certificates of like tenor and evidencing in the aggregate a like number of Warrants shall be issued to the transferee(s) in exchange
for this Warrant Certificate, subject to the limitations provided in the Warrant Agreement, without charge except for any tax or
other governmental charge imposed in connection therewith.

 

The Company and the
Warrant Agent may deem and treat the Registered Holder(s) hereof as the absolute owner(s) of this Warrant Certificate (notwithstanding
any notation of ownership or other writing hereon made by anyone), for the purpose of any exercise hereof, of any distribution
to the holder(s) hereof, and for all other purposes, and neither the Company nor the Warrant Agent shall be affected by any notice
to the contrary. Neither the Warrants nor this Warrant Certificate entitles any holder hereof to any rights of a stockholder of
the Company.

 

    	20

    	 

    

 

Election to Purchase

 

(To Be Executed Upon Exercise of Warrant)

 

The undersigned hereby
irrevocably elects to exercise the rights represented by this Warrant Certificate with respect to ____________ shares of Common
Stock, to receive shares of Common Stock and herewith tenders payment for such shares to the order of Oculus Innovative Sciences,
Inc. (the “Company”) in the amount of $_______ in accordance with the terms hereof. The undersigned requests
that a certificate for such shares be registered in the name of ___________ , whose address is and that such shares be delivered
to whose address is ___________. If said number of shares is less than all of the shares of Common Stock purchasable hereunder,
the undersigned requests that a new Warrant Certificate representing the remaining balance of such shares be registered in the
name of ____________ , whose address is __________________________ , and that such Warrant Certificate be delivered to ____________
,whose address is __________________________. 

 

In the event that
the Warrant may be exercised, to the extent allowed by the Warrant Agreement, through cashless exercise, (i) the number of shares
that this Warrant is exercisable for would be determined in accordance with section 3.3.2 of the Warrant Agreement which allows
for such cashless exercise and (ii) the holder hereof shall complete the following:

 

The undersigned hereby
irrevocably elects to exercise the right, represented by this Warrant Certificate, through the cashless exercise provisions of
the Warrant Agreement, to receive shares of Common Stock. If said number of shares is less than all of the shares of Common Stock
purchasable hereunder (after giving effect to the cashless exercise), the undersigned requests that a new Warrant Certificate representing
the remaining balance of such shares be registered in the name of ____________, whose address is ____________, and that such Warrant
Certificate be delivered to ____________, whose address is __________________________________.

 

	 	 	 
	Date:____________, 20 	(Signature)	 
	 	 	 
	 	 	 
	 	(Address)	 
	 	 	 
	 	 	 
	 	(Tax Identification Number)	 

 

 

	Signature Guaranteed:	 
	 	 
	 	 

 

 

THE SIGNATURE(S) SHOULD BE GUARANTEED BY
AN ELIGIBLE GUARANTOR INSTITUTION (BANKS, STOCKBROKERS, SAVINGS AND LOAN ASSOCIATIONS AND CREDIT UNIONS WITH MEMBERSHIP IN AN APPROVED
SIGNATURE GUARANTEE MEDALLION PROGRAM, PURSUANT TO S.E.C. RULE 17Ad-15).

 

 

    	21

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