Document:

EX-4.1

 Exhibit 4.1 

 
  

 
 WARRANT AGREEMENT 

Dated as of 

November 30, 2011 
 between 
 ASSOCIATED BANC-CORP 

and 
 WELLS FARGO
BANK, N.A. 
 as Warrant Agent 
  

 
 Warrants for

 Common Stock 

 
  

 
  

 Table of Contents 

 

					
	  	  	Page	 
		
	 ARTICLE I
	  			
		
	 DEFINITIONS
	  			
	 Section 1.01. Definitions
	  	 	1	  
	 Section 1.02. Other Definitions
	  	 	3	  
	 Section 1.03. Rules of Construction
	  	 	3	  
		
	 ARTICLE II
	  			
		
	 WARRANTS
	  			
		
	 Section 2.01. Form
	  	 	3	  
	 Section 2.02. Execution and Countersignature
	  	 	4	  
	 Section 2.03. Registry
	  	 	5	  
	 Section 2.04. Transfer and Exchange
	  	 	6	  
	 Section 2.05. Definitive Warrants
	  	 	7	  
	 Section 2.06. Replacement Certificates
	  	 	9	  
	 Section 2.07. Outstanding Warrants
	  	 	9	  
	 Section 2.08. Cancellation
	  	 	9	  
	 Section 2.09. CUSIP Numbers
	  	 	9	  
		
	 ARTICLE III
	  			
		
	 EXERCISE TERMS
	  			
		
	 Section 3.01. Exercise
	  	 	10	  
	 Section 3.02. Manner of Exercise and Issuance of Shares
	  	 	10	  
	 Section 3.03. Covenant to Make Stock Certificates Available
	  	 	10	  
		
	 ARTICLE IV
	  			
		
	 ANTIDILUTION PROVISIONS
	  			
		
	 Section 4.01. Antidilution Adjustments; Notice of Adjustment
	  	 	11	  
	 Section 4.02. Adjustment to Warrant Certificate
	  	 	11	  
		
	 ARTICLE V
	  			
		
	 WARRANT AGENT
	  			
		
	 Section 5.01. Appointment of Warrant Agent
	  	 	11	  
	 Section 5.02. Rights and Duties of Warrant Agent
	  	 	11	  
	 Section 5.03. Individual Rights of Warrant Agent
	  	 	12	  

  
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	 Section 5.04. Warrant Agent’s Disclaimer
	  	 	13	  
	 Section 5.05. Compensation and Indemnity
	  	 	13	  
	 Section 5.06. Successor Warrant Agent
	  	 	14	  
	 Section 5.07. Representations of the Company
	  	 	15	  
		
	 ARTICLE VI
	  			
		
	 MISCELLANEOUS
	  			
	 Section 6.01. Persons Benefitting
	  	 	16	  
	 Section 6.02. Amendment
	  	 	16	  
	 Section 6.03. Notices
	  	 	16	  
	 Section 6.04. Governing Law
	  	 	18	  
	 Section 6.05. Successors
	  	 	18	  
	 Section 6.06. Multiple Originals
	  	 	18	  
	 Section 6.07. Inspection of Agreement
	  	 	18	  
	 Section 6.08. Table of Contents
	  	 	18	  
	 Section 6.09. Severability
	  	 	18	  

 EXHIBIT A Form of Warrant 

  
 ii 

 WARRANT AGREEMENT dated as of November 30, 2011 (this “Agreement”),
between Associated Banc-Corp, a Wisconsin corporation (the “Company”), and Wells Fargo Bank, N.A., a national banking association (the “Warrant Agent”). 

The Company has issued the warrants described herein (each, a “Warrant” and collectively, the
“Warrants”) to the U.S. Department of the Treasury (“Treasury”) in connection with Treasury’s Capital Purchase Program pursuant to the Letter Agreement dated November 21, 2008 between the Company and
Treasury, which agreement incorporates by reference the Securities Purchase Agreement – Standard Terms attached thereto as Exhibit A. Treasury desires to sell all or a portion of the Warrants at any time or from time to time. 

Each Warrant entitles the registered holder thereof (the “Holder”) to purchase one share of Common Stock, subject to the
provisions of this Agreement and the relevant Warrant Certificate. Each Warrant Certificate (including any Global Warrant) shall evidence such number of Warrants as is set forth therein, subject to adjustment pursuant to the provisions of the
Warrant Certificate. 
 The Warrants and the shares of Common Stock issuable upon exercise of the Warrants will be freely
transferable by Holders that are not Affiliates of the Company. The Company desires the Warrant Agent to act on behalf of the Company in connection with the registration, transfer, exchange, redemption, exercise and cancellation of the Warrants as
provided herein and the Warrant Agent is willing to so act. 
 Each party agrees as follows for the benefit of the other party
and for the equal and ratable benefit of the Holders of Warrants: 
 ARTICLE I 

DEFINITIONS 
 Section 1.01. Definitions. 
 “Affiliate” means, with respect to
any Person, any Person directly or indirectly controlling, controlled by or under common control with, such other Person. For purposes of this definition, “control” (including, with correlative meanings, the terms “controlled by”
and “under common control with”) when used with respect to any Person, means the possession, directly or indirectly, of the power to cause the direction of management and/or policies of such Person, whether through the ownership of voting
securities by contract or otherwise. 
 “Agent Members” means the securities brokers and dealers, banks and
trust companies, clearing organizations and certain other organizations that are participants in the Depositary’s system. 

“business day” means any day except Saturday, Sunday and (i) at any time when the Warrants are listed on the Nasdaq
Global Select Market, any day on which the Nasdaq Global Select Market is authorized or required by law or other governmental actions to close or (ii) at any time when the Warrants are not listed on the Nasdaq Global Select Market, any day on

  
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which banking institutions in the State of New York are authorized or required by law or other governmental actions to close. 

“Common Stock” means the common stock, par value $0.01 per share, of the Company. 

“Definitive Warrant” means a Warrant Certificate in definitive form that is not deposited with the Depositary or with
the Warrant Agent as custodian for the Depositary. 
 “Depositary” means The Depository Trust Company, its
nominees and their respective successors. 
 “Exchange Act” means the U.S. Securities Exchange Act of 1934, as
amended, or any successor statute, and the rules and regulations promulgated thereunder. 
 “Exercise Price”
has the meaning set forth in the form of Warrant Certificate attached as Exhibit A hereto. 
 “Expiration Time”
has the meaning set forth in the form of Warrant Certificate attached as Exhibit A hereto. 
 “Officer” means
the Chief Executive Officer, the President, the Chief Financial Officer, any Vice President, the Treasurer, any Assistant Treasurer, the Secretary or any Assistant Secretary of the Company. 

“Officers’ Certificate” means a certificate signed by two Officers. 

“Opinion of Counsel” means a written opinion from legal counsel who is reasonably acceptable to the Warrant Agent. Such
counsel may be an employee of or counsel to the Company or the Warrant Agent. 
 “Person” means an individual,
corporation, partnership, joint venture, association, joint-stock company, limited liability company, limited liability partnership, trust, unincorporated organization, or government or any agency or political subdivision thereof or any other
entity. 
 “Shares” has the meaning set forth in the form of Warrant Certificate attached as Exhibit A hereto.

 “Transfer Agent” has the meaning set forth in the form of Warrant Certificate attached as Exhibit A hereto.

 “Warrant Certificate” means any fully registered certificate (including a Global Warrant) issued by the
Company and authenticated by the Warrant Agent under this Agreement evidencing Warrants, in the form attached as Exhibit A hereto. 
 “Warrant Share Number” has the meaning set forth in the form of Warrant Certificate attached as Exhibit A hereto. 

  
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 Section 1.02. Other Definitions. 

 

			
	                            
    Term	  	 Defined in
 Section

	 “Agreement”
	  	Recitals
	 “Company”
	  	Recitals
	 “Global Warrant”
	  	2.01(a)
	 “Holders”
	  	Recitals
	 “Registry”
	  	2.03
	 “Warrant”
	  	Recitals
	 “Warrant Agent”
	  	Recitals

 Section 1.03. Rules of Construction. 

Unless the text otherwise requires: 
 (i) a defined term has the meaning assigned to it; 
 (ii) an
accounting term not otherwise defined has the meaning assigned to it in accordance with generally accepted accounting principles as in effect on the date hereof; 

(iii) “or” is not exclusive; 

(iv) “including” means including, without limitation; and 

(v) words in the singular include the plural and words in the plural include the singular. 

ARTICLE II 

WARRANTS 

Section 2.01. Form. 
 (a) Global Warrants. Except as provided in Section 2.04 or 2.05, Warrants issued upon any transfer or exchange thereof shall be issued in the form of one or more permanent global Warrants in
fully registered form with the global securities legend set forth in Exhibit A hereto (each, a “Global Warrant”), which shall be deposited on behalf of the Company with the Warrant Agent, as custodian for the Depositary (or with such other
custodian as the Depositary may direct), and registered in the name of the Depositary or a nominee of the Depositary, duly executed by the Company and countersigned by the Warrant Agent as hereinafter provided. 

  
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 (b) Book-Entry Provisions. This Section 2.01(b) shall apply only to a Global
Warrant deposited with or on behalf of the Depositary. 
 (i) The Company shall execute and the Warrant Agent
shall, in accordance with Section 2.02, countersign, by either manual or facsimile signature, and deliver one or more Global Warrants that (A) shall be registered in the name of the Depositary or the nominee of the Depositary and
(B) shall be delivered by the Warrant Agent to the Depositary or pursuant to the Depositary’s instructions or held by the Warrant Agent as custodian for the Depositary. Each Global Warrant shall be dated the date of its countersignature by
the Warrant Agent. 
 (ii) Agent Members shall have no rights under this Agreement with respect to any Global
Warrant held on their behalf by the Depositary or by the Warrant Agent as the custodian of the Depositary or under such Global Warrant except to the extent set forth herein or in a Warrant Certificate, and the Depositary may be treated by the
Company, the Warrant Agent and any agent of the Company or the Warrant Agent as the absolute owner of such Global Warrant for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall (A) prevent the Company, the Warrant
Agent or any agent of the Company or the Warrant Agent from giving effect to any written certification, proxy or other authorization furnished by the Depositary or (B) impair, as between the Depositary and the Agent Members, the operation of
customary practices of the Depositary governing the exercise of the rights of a holder of a beneficial interest in any Warrant. The rights of beneficial owners in a Global Warrant shall be exercised through the Depositary subject to the applicable
procedures of the Depositary except to the extent set forth herein or in a Warrant Certificate. 
 (c) Definitive
Securities. Except as provided in Section 2.04 or 2.05, owners of beneficial interests in Global Warrants will not be entitled to receive physical delivery of Definitive Warrants. 

(d) Warrant Certificates. Warrant Certificates shall be in substantially the form attached as Exhibit A hereto and shall be typed,
printed, lithographed or engraved or produced by any combination of such methods or produced in any other manner permitted by the rules of any securities exchange on which the Warrants may be listed, all as determined by the Officer or Officers
executing such Warrant Certificates, as evidenced by their execution thereof. Any Warrant Certificate shall have such insertions as are appropriate or required or permitted by this Agreement and may have such letters, numbers or other marks of
identification and such legends and endorsements, stamped, printed, lithographed or engraved thereon, (i) as the Company may deem appropriate and as are not inconsistent with the provisions of this Agreement, (ii) such as may be required
to comply with this Agreement, any law or any rule of any securities exchange on which the Warrants may be listed, and (iii) such as may be necessary to conform to customary usage. 

Section 2.02. Execution and Countersignature. 
 At least one Officer shall sign the Warrant Certificates for the Company by manual or facsimile signature. 

  
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 If an Officer whose signature is on a Warrant Certificate no longer holds that office at the
time the Warrant Agent countersigns the Warrant Certificate, the Warrants evidenced by such Warrant Certificate shall be valid nevertheless. 
 The Warrant Agent shall initially countersign, by either manual or facsimile signature, and deliver Warrant Certificates entitling the Holders thereof to purchase in the aggregate not more than 3,983,308
shares of Common Stock (subject to adjustment as provided in such Warrant Certificates) upon a written order of the Company signed by one Officer of the Company. Each Warrant Certificate shall be dated the date of its countersignature by the Warrant
Agent. 
 At any time and from time to time after the execution of this Agreement, the Warrant Agent shall, upon receipt of a
written order of the Company signed by an Officer of the Company, countersign, by either manual or facsimile signature, for issue, a Warrant Certificate evidencing the number of Warrants specified in such order; provided, however, that
the Warrant Agent shall be entitled to receive an Officers’ Certificate and an Opinion of Counsel of the Company that it may reasonably request in connection with such countersignature of Warrants. Such order shall specify the number of
Warrants to be evidenced on the Warrant Certificate to be countersigned, the date on which such Warrant Certificate is to be countersigned and the number of Warrants then authorized. 

The Warrants evidenced by a Warrant Certificate shall not be valid until an authorized signatory of the Warrant Agent countersigns the
Warrant Certificate either manually or by facsimile signature. Such signature shall be solely for the purpose of authenticating the Warrant Certificate and shall be conclusive evidence that the Warrant Certificate so countersigned has been duly
authenticated and issued under this Agreement. 
 Section 2.03. Registry. 

The Warrants shall be issued in registered form only. The Warrant Agent shall keep a registry (the “Registry”) of the Warrant
Certificates and of their transfer and exchange. The Registry shall show the names and addresses of the respective Holders and the date and number of Warrants evidenced on the face of each of the Warrant Certificates. The Holder of any Global
Warrant will be the Depositary or a nominee of the Depositary in whose name the Global Warrant is registered. The Warrant holdings of Agent Members will be recorded on the books of the Depositary. The beneficial interests in the Global Warrant held
by customers of Agent Members will be reflected on the books and records of such Agent Members and will not be known to the Warrant Agent, the Company or to the Depositary. 
 Except as otherwise provided herein or in the Warrant Certificate, the Company and the Warrant Agent may deem and treat any Person in whose name a Warrant Certificate is registered in the Registry as the
absolute owner of such Warrant Certificate for all purposes whatsoever and neither the Company nor the Warrant Agent shall be affected by notice to the contrary. 

  
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 Section 2.04. Transfer and Exchange. 

(a) Transfer and Exchange of Global Warrants. 

(i) Registration of the transfer and exchange of Global Warrants or beneficial interests therein shall be effected through
the book-entry system maintained by the Depositary, in accordance with this Agreement and the Warrant Certificates and the procedures of the Depositary therefor. A transferor of a beneficial interest in a Global Warrant (or the relevant Agent Member
on behalf of such transferor) shall deliver to the Warrant Agent (x) a written order given in accordance with the Depositary’s procedures containing information regarding the account of the Agent Member to be credited with a beneficial
interest in the Global Warrant and (y) a written instruction of transfer in form satisfactory to the Warrant Agent, duly executed by the Holder thereof or by his attorney, duly authorized in writing. Additionally, prior to the Holder
registering the transfer or making the exchange as requested, the requirements for such transfer or exchange to be issued in a name other than the registered Holder shall be met. Such requirements include, inter alia, a signature guarantee from an
eligible guarantor institution participating in a signature guarantee program approved by the Securities Transfer Association, and any other reasonable evidence of authority that may be required by the Warrant Agent. Upon satisfaction of the
conditions in this Clause (i), the Warrant Agent shall, in accordance with such instructions, instruct the Depositary to credit to the account of the Agent Member specified in such instructions a beneficial interest in the Global Warrant and to
debit the account of the Agent Member making the transfer of the beneficial interest in the Warrant being transferred. 
 (ii) Notwithstanding any other provisions of this Agreement (other than the provisions set forth in Section 2.05), a Global Warrant may only be transferred as a whole, and not in part, and only by
(i) the Depositary, to a nominee of the Depositary, (ii) a nominee of the Depositary, to the Depositary or another nominee of the Depositary, or (iii) the Depositary or any such nominee to a successor Depositary or its nominee.

 (iii) In the event that a Global Warrant is exchanged and transferred for Definitive Warrants pursuant to
Section 2.05, such Warrants may be exchanged only in accordance with such procedures as are substantially consistent with the provisions of this Section 2.04 and the requirements of any Warrant Certificate and such other procedures as may
from time to time be adopted by the Company that are not inconsistent with the terms of this Agreement or of any Warrant Certificate. 
 (b) Cancellation or Adjustment of Global Warrant. At such time as all beneficial interests in a Global Warrant have been exchanged for Definitive Warrants, redeemed, repurchased or canceled, such
Global Warrant shall be returned to the Depositary for cancellation or retained and canceled by the Warrant Agent. At any time prior to such cancellation, if any beneficial interest in a Global Warrant is transferred or exchanged for Definitive
Warrants, redeemed, repurchased or canceled, the number of Warrants represented by such Global Warrant shall be reduced and an adjustment shall be made on the books and records of the Warrant Agent to reflect such reduction. 

  
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 (c) Obligations with Respect to Transfers and Exchanges of Warrants. 

(i) To permit registrations of transfers and exchanges, the Company shall execute and the Warrant Agent shall countersign,
by either manual or facsimile signature, Global Warrants and Definitive Warrants as required pursuant to the provisions of Section 2.02 and this Section 2.04. 

(ii) No service charge shall be made to a Holder for any registration of transfer or exchange, but the Company may
require payment of a sum sufficient to cover any transfer tax, assessments, or similar governmental charge payable in connection therewith. 
 (iii) All Warrants issued upon any registration of transfer or exchange pursuant to the terms of this Agreement shall be the valid obligations of the Company, entitled to the same benefits under this
Agreement as the Warrants surrendered upon such registration for transfer or exchange. 
 (d) No Obligation of the Warrant
Agent. 
 (i) The Warrant Agent shall have no responsibility or obligation to any beneficial owner of a
Global Warrant, any Agent Member or other Person with respect to the accuracy of the records of the Depositary or its nominee or of any participant or member thereof, with respect to any ownership interest in the Warrants or with respect to the
delivery to any Agent Member, beneficial owner or other Person (other than the Depositary) of any notice or the payment of any amount, under or with respect to such Warrants. All notices and communications to be given to the Holders and all payments
to be made to Holders under the Warrants shall be given or made only to or upon the order of the registered Holders (which shall be the Depositary or its nominee in the case of a Global Warrant). The rights of beneficial owners in any Global Warrant
shall be exercised only through the Depositary subject to the applicable rules and procedures of the Depositary. The Warrant Agent may rely and shall be fully protected in relying upon information furnished by the Depositary with respect to its
members, participants and any beneficial owners. 
 (ii) The Warrant Agent shall have no obligation or duty to
monitor, determine or inquire as to compliance with any restrictions on transfer imposed under this Agreement or under applicable law with respect to any transfer of any interest in any Warrant (including any transfer between or among the Agent
Members or beneficial owners in any Global Warrant) other than to require delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by, the terms of this Agreement,
and to examine the same to determine substantial compliance as to form with the express requirements hereof. 
 Section 2.05.
Definitive Warrants. 
 (a) Beneficial interests in a Global Warrant deposited with the Depositary or with the Warrant Agent as
custodian for the Depositary pursuant to Section 2.01 shall be transferred 

  
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to each beneficial owner thereof in the form of Definitive Warrants evidencing a number of Warrants equivalent to such owner’s beneficial interest in such Global Warrant, in exchange for
such Global Warrant, only if such transfer complies with Section 2.04 and (i) the Depositary notifies the Company that it is unwilling or unable to continue as Depositary for such Global Warrant or if at any time the Depositary ceases to
be a “clearing agency” registered under the Exchange Act and, in each such case, a successor Depositary is not appointed by the Company within 90 days of such notice, (ii) the Company, in its sole discretion, notifies the Warrant
Agent in writing that it elects to cause the issuance of Definitive Warrants under this Agreement, or (iii) the Company shall be adjudged a bankrupt or insolvent or makes an assignment for the benefit of its creditors or institutes proceedings
to be adjudicated a bankrupt or shall consent to the filing of a bankruptcy proceeding against it, or shall file a petition or answer or consent seeking reorganization under Federal bankruptcy laws or any other similar applicable Federal or State
law, or shall consent to the filing of any such petition, or shall consent to the appointment of a receiver or custodian of all or any substantial part of its property, or shall admit in writing its inability to pay or meet its debts as they mature,
or if a receiver or custodian of it or all or any substantial part of its property shall be appointed, or if a public officer shall have taken charge or control of the Company or of its property or affairs, for the purpose of rehabilitation,
conservation or liquidation. 
 (b) Any Global Warrant that is transferable to the beneficial owners thereof in the form of
Definitive Warrants pursuant to this Section 2.05 shall be surrendered by the Depositary to the Warrant Agent, to be so transferred, in whole or from time to time in part, without charge, and the Warrant Agent shall countersign, by either
manual or facsimile signature, and deliver to each beneficial owner in the name of such beneficial owner, upon such transfer of each portion of such Global Warrant, Definitive Warrants evidencing a number of Warrants equivalent to such beneficial
owner’s beneficial interest in the Global Warrant. The Warrant Agent shall register such transfer in the Registry, and upon such transfer the surrendered Global Warrant shall be cancelled by the Warrant Agent. 

(c) All Definitive Warrants issued upon registration of transfer pursuant to this Section 2.05 shall be the valid obligations of the
Company, evidencing the same obligations of the Company and entitled to the same benefits under this Agreement and the Global Warrant surrendered for registration of such transfer. 

(d) Subject to the provisions of Section 2.05(b), the registered Holder of a Global Warrant may grant proxies and otherwise
authorize any Person, including Agent Members and Persons that may hold interests through Agent Members, to take any action that a Holder is entitled to take under this Agreement or the Warrants. 

(e) In the event of the occurrence of any of the events specified in Section 2.05(a), the Company will promptly make available to
the Warrant Agent a reasonable supply of Definitive Warrants in definitive, fully registered form. 
 (f) Neither the Company
nor the Warrant Agent will be liable or responsible for any registration or transfer of any Warrants that are registered or to be registered in the name of a fiduciary or the nominee of a fiduciary. 

  
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 Section 2.06. Replacement Certificates. 

If a mutilated Warrant Certificate is surrendered to the Warrant Agent or if the Holder of a Warrant Certificate provides proof reasonably
satisfactory to the Company and the Warrant Agent that the Warrant Certificate has been lost, destroyed or wrongfully taken, the Company shall issue and the Warrant Agent shall countersign, by either manual or facsimile signature, a replacement
Warrant Certificate of like tenor and representing an equivalent number of Warrants, if the reasonable requirements of the Warrant Agent and of Section 8-405 of the Uniform Commercial Code as in effect in the State of New York are met. If
required by the Warrant Agent or the Company, such Holder shall furnish an indemnity bond sufficient in the reasonable judgment of the Company and the Warrant Agent to protect the Company and the Warrant Agent from any loss that either of them may
suffer if a Warrant Certificate is replaced. The Company and the Warrant Agent may charge the Holder for their expenses in replacing a Warrant Certificate. Every replacement Warrant Certificate evidences an additional obligation of the Company.

 Section 2.07. Outstanding Warrants. 
 The Warrants outstanding at any time are all Warrants evidenced on all Warrant Certificates authenticated by the Warrant Agent except for those canceled by it and those delivered to it for cancellation. A
Warrant ceases to be outstanding if the Company or an Affiliate of the Company holds the Warrant. 
 If a Warrant Certificate is
replaced pursuant to Section 2.06, the Warrants evidenced thereby cease to be outstanding unless the Warrant Agent and the Company receive proof satisfactory to them that the replaced Warrant Certificate is held by a bona fide purchaser.

 Section 2.08. Cancellation. 
 In the event the Company shall purchase or otherwise acquire Definitive Warrants, the same shall thereupon be delivered to the Warrant Agent for cancellation. 

The Warrant Agent and no one else shall cancel and destroy all Warrant Certificates surrendered for registration of transfer, exchange,
replacement, exercise or cancellation and deliver a certificate of such destruction to the Company unless the Company directs the Warrant Agent to deliver canceled Warrant Certificates to the Company. The Company may not issue new Warrant
Certificates to replace Warrant Certificates to the extent they evidence Warrants that have been exercised or Warrants that the Company has purchased or otherwise acquired. 
 Section 2.09. CUSIP Numbers. 
 The Company in issuing the Warrants may use
“CUSIP” numbers (if then generally in use) and, if so, the Warrant Agent shall use “CUSIP” numbers in notices as a convenience to Holders; provided, however, that any such notice may state that no representation is
made as to the correctness of such numbers either as printed on the Warrant Certificates or as contained in any notice and that reliance may be placed only on the other identification numbers printed on the Warrant Certificates. 

  
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 ARTICLE III 
 EXERCISE TERMS 
 Section 3.01. Exercise. 

The Exercise Price of each Warrant, the Warrant Share Number, the number of Warrants evidenced by any Warrant Certificate and the
Expiration Time of each Warrant shall be set forth in the related Warrant Certificate. The Exercise Price of each Warrant and the Warrant Share Number are subject to adjustment pursuant to the terms set forth in the Warrant Certificate. 

Section 3.02. Manner of Exercise and Issuance of Shares. 
 Warrants may be exercised in the manner set forth in Section 3 of the Warrant Certificate, and upon any such exercise, Shares shall be issued in the manner set forth in Section 4 of the Warrant
Certificate. 
 Section 3.03. Covenant to Make Stock Certificates Available. 

(a) The Warrant Agent is hereby authorized to requisition from time to time from any stock transfer agents of the Company stock
certificates required to honor outstanding Warrants upon exercise thereof in accordance with the terms of this Agreement, and the Company agrees to authorize and direct such transfer agents to comply with all such requests of the Warrant Agent. The
Company shall supply such transfer agents with duly executed stock certificates for such purposes and shall provide or otherwise make available any cash or scrip that may be payable upon exercise of Warrants as provided herein and in each Warrant
Certificate. 
 (b) The Warrant Agent is hereby authorized to create a special account for the reserve of shares of Common Stock
to be issued upon exercise of the Warrants. 
 (c) In connection with the shares of Common Stock to be issued upon exercise, the
Company shall, if so required by the Warrant Agent, provide an Opinion of Counsel, stating that all such shares, when issued, will be: 
 (i) registered, or subject to a valid exemption from registration, under the Securities Act of 1933, as amended, and all material and necessary State securities law filings will have been made with
respect to such shares; and 
 (ii) validly issued, fully paid and non-assessable. 

  
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 ARTICLE IV 
 ANTIDILUTION PROVISIONS 
 Section 4.01. Antidilution Adjustments; Notice of
Adjustment. 
 The Exercise Price and the Warrant Share Number shall be subject to adjustment from time to time as provided in
Section 12 of the Warrant Certificate. Whenever the Exercise Price or the Warrant Share Number is so adjusted or is proposed to be adjusted as provided in Section 12 of the Warrant Certificate, the Company shall deliver to the Warrant
Agent the notices or statements, and shall cause a copy of such notices or statements to be sent or communicated to each Holder pursuant to Section 6.03, as provided in Sections 12(H) and (I) of the Warrant Certificate. 

Section 4.02. Adjustment to Warrant Certificate. 
 The form of Warrant Certificate need not be changed because of any adjustment made pursuant to the Warrant Certificate, and Warrant Certificates issued after such adjustment may state the same Exercise
Price and the same Warrant Share Number as are stated in the Warrant Certificates initially issued pursuant to this Agreement. The Company, however, may at any time in its sole discretion make any change in the form of Warrant Certificate that it
may deem appropriate to give effect to such adjustments and that does not affect the substance of the Warrant Certificate, and any Warrant Certificate thereafter issued or countersigned, whether in exchange or substitution for an outstanding Warrant
Certificate or otherwise, may be in the form as so changed. 
 ARTICLE V 

WARRANT AGENT 
 Section 5.01. Appointment of Warrant Agent. 
 The Company hereby appoints the
Warrant Agent to act as agent for the Company in accordance with the provisions of this Agreement and the Warrant Agent hereby accepts such appointment. The Warrant Agent shall not be liable for anything that it may do or refrain from doing in
connection with this Agreement, except for its own gross negligence, willful misconduct or bad faith. 
 Section 5.02. Rights
and Duties of Warrant Agent. 
 (a) Agent for the Company. In acting under this Warrant Agreement and in connection with
the Warrant Certificates, the Warrant Agent is acting solely as agent of the Company and does not assume any obligation or relationship of agency or trust for or with any of the Holders of Warrant Certificates or beneficial owners of Warrants.

 (b) Counsel. The Warrant Agent may consult with counsel satisfactory to it (who may be counsel to the Company), and
the advice of such counsel shall be full and complete 

  
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authorization and protection in respect of any action taken, suffered or omitted by it hereunder in good faith and in accordance with the advice of such counsel. 

(c) Documents. The Warrant Agent shall be protected and shall incur no liability for or in respect of any action taken or thing
suffered by it in reliance upon any Warrant Certificate, notice, direction, consent, certificate, affidavit, statement or other paper or document reasonably believed by it to be genuine and to have been presented or signed by the proper parties.

 (d) No Implied Obligations. The Warrant Agent shall be obligated to perform only such duties as are specifically set
forth herein and in the Warrant Certificates, and no implied duties or obligations of the Warrant Agent shall be read into this Agreement or the Warrant Certificates against the Warrant Agent. The Warrant Agent shall not be under any obligation to
take any action hereunder that may involve it in any expense or liability for which it does not receive indemnity if such indemnity is reasonably requested. The Warrant Agent shall not be accountable or under any duty or responsibility for the use
by the Company of any of the Warrant Certificates countersigned by the Warrant Agent and delivered by it to the Holders or on behalf of the Holders pursuant to this Agreement or for the application by the Company of the proceeds of the Warrants. The
Warrant Agent shall have no duty or responsibility in case of any default by the Company in the performance of its covenants or agreements contained herein or in the Warrant Certificates or in the case of the receipt of any written demand from a
Holder with respect to such default, including any duty or responsibility to initiate or attempt to initiate any proceedings at law or otherwise. 
 (e) Not Responsible for Adjustments or Validity of Stock. The Warrant Agent shall not at any time be under any duty or responsibility to any Holder to determine whether any facts exist that may
require an adjustment of the Warrant Share Number or the Exercise Price, or with respect to the nature or extent of any adjustment when made, or with respect to the method employed, or herein or in any supplemental agreement provided to be employed,
in making the same. The Warrant Agent shall not be accountable with respect to the validity or value of any Shares or of any securities or property that may at any time be issued or delivered upon the exercise of any Warrant or upon any adjustment
pursuant to Section 12 of the Warrant Certificate, and it makes no representation with respect thereto. The Warrant Agent shall not be responsible for any failure of the Company to make any cash payment or to issue, transfer or deliver any
Shares or stock certificates upon the surrender of any Warrant Certificate for the purpose of exercise or upon any adjustment pursuant to Section 12 of the Warrant Certificate, or to comply with any of the covenants of the Company contained in
the Warrant Certificate. 
 (f) Notices or Demands Addressed to the Company. If the Warrant Agent shall receive any
notice or demand (other than Notice of Exercise of Warrants) addressed to the Company by the Holder of a Warrant, the Warrant Agent shall promptly forward such notice or demand to the Company. 

Section 5.03. Individual Rights of Warrant Agent. 
 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

  
 -12-

 
its Affiliates or become pecuniarily interested in transactions in which the Company or its Affiliates may be interested, or contract with or lend money to the Company or its Affiliates or
otherwise act as fully and freely as though it were not the 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. 

Section 5.04. Warrant Agent’s Disclaimer. 
 The Warrant Agent shall not be responsible for, and makes no representation as to the validity or adequacy of, this Agreement (except the due and valid authorized execution and delivery of this Agreement
by the Warrant Agent) or the Warrant Certificates (except the due countersignature of the Warrant Certificate(s) by the Warrant Agent) and it shall not be responsible for any statement in this Agreement or the Warrant Certificates other than its
countersignature thereon. 
 Section 5.05. Compensation and Indemnity. 

(a) The Company agrees to pay the Warrant Agent from time to time reasonable compensation for its services as agreed and to reimburse the
Warrant Agent upon request for all reasonable out-of-pocket expenses incurred by it, including the reasonable compensation and expenses of the Warrant Agent’s agents and counsel as agreed. The Company shall indemnify the Warrant Agent, its
officers, directors, agents and counsel against any loss, liability or expense (including reasonable agents’ and attorneys’ fees and expenses) incurred by it without gross negligence, willful misconduct or bad faith on its part arising out
of or in connection with the acceptance or performance of its duties under this Agreement. The Warrant Agent shall notify the Company promptly of any claim for which it may seek indemnity. The Company need not reimburse any expense or indemnify
against any loss or liability incurred by the Warrant Agent through willful misconduct, gross negligence or bad faith. The Company’s payment obligations pursuant to this Section shall survive the termination of this Agreement. 

(b) The Warrant Agent shall be responsible for and shall indemnify and hold the Company harmless from and against any and all losses,
damages, costs, charges, counsel fees, payments, expenses and liability arising out of or attributable to the Warrant Agent’s refusal or failure to comply with the terms of this Agreement, or which arise out of Warrant Agent’s gross
negligence, bad faith or willful misconduct or which arise out of the breach of any representation or warranty of the Warrant Agent hereunder, for which the Warrant Agent is not entitled to indemnification under this Agreement; provided, however,
the Warrant Agent’s aggregate liability hereunder during any term of this Agreement with respect to, arising from, or arising in connection with 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. 

To secure the Company’s payment obligations under this Agreement, the Warrant Agent shall have a lien prior to the Holders on all
money or property held or collected by the Warrant Agent. 

  
 -13-

 Section 5.06. Successor Warrant Agent. 

(a) Company to Provide and Maintain Warrant Agent. The Company agrees for the benefit of the Holders that there shall at all times
be a Warrant Agent hereunder until all the Warrants have been exercised or cancelled or are no longer exercisable. 
 (b)
Resignation and Removal. The Warrant Agent may at any time resign by giving written notice to the Company of such intention on its part, specifying the date on which its desired resignation shall become effective; provided,
however, that such date shall not be less than 60 days after the date on which such notice is given unless the Company otherwise agrees. The Warrant Agent hereunder may be removed at any time by the filing with it of an instrument in writing
signed by or on behalf of the Company and specifying such removal and the date when it shall become effective, which date shall not be less than 60 days after such notice is given unless the Warrant Agent otherwise agrees. Any removal under this
Section shall take effect upon the appointment by the Company as hereinafter provided of a successor Warrant Agent (which shall be (i) a bank or trust company, (ii) organized under the laws of the United States of America or one of the
states thereof, (iii) authorized under the laws of the jurisdiction of its organization to exercise corporate trust powers, (iv) having a combined capital and surplus of at least $50,000,000 (as set forth in its most recent reports of
condition published pursuant to law or to the requirements of any United States Federal or State regulatory or supervisory authority) and (v) having an office in the Borough of Manhattan, The City of New York) and the acceptance of such
appointment by such successor Warrant Agent. The obligations of the Company under Section 5.05 shall continue to the extent set forth herein notwithstanding the resignation or removal of the Warrant Agent. 

(c) Company to Appoint Successor. In the event that at any time the Warrant Agent shall resign, or shall be removed, or shall
become incapable of acting, or shall be adjudged bankrupt or insolvent, or shall commence a voluntary case under the Federal bankruptcy laws, as now or hereafter constituted, or under any other applicable Federal or State bankruptcy, insolvency or
similar law or shall consent to the appointment of or taking possession by a receiver, custodian, liquidator, assignee, trustee, sequestrator (or other similar official) of the Warrant Agent or its property or affairs, or shall make an assignment
for the benefit of creditors, or shall admit in writing its inability to pay its debts generally as they become due, or shall take corporate action in furtherance of any such action, or a decree or order for relief by a court having jurisdiction in
the premises shall have been entered in respect of the Warrant Agent in an involuntary case under the Federal bankruptcy laws, as now or hereafter constituted, or any other applicable Federal or State bankruptcy, insolvency or similar law, or a
decree or order by a court having jurisdiction in the premises shall have been entered for the appointment of a receiver, custodian, liquidator, assignee, trustee, sequestrator (or similar official) of the Warrant Agent or of its property or
affairs, or any public officer shall take charge or control of the Warrant Agent or of its property or affairs for the purpose of rehabilitation, conservation, winding up or liquidation, a successor Warrant Agent, qualified as aforesaid, shall be
appointed by the Company by an instrument in writing, filed with the successor Warrant Agent. In the event that a successor Warrant Agent is not appointed by the Company, a successor Warrant Agent, qualified as aforesaid, may be appointed by the
Warrant Agent or the Warrant Agent may petition a court to appoint a successor Warrant Agent. Upon the appointment as aforesaid of a successor Warrant Agent and acceptance by the successor Warrant Agent of such appointment,

  
 -14-

 
the Warrant Agent shall cease to be Warrant Agent hereunder; provided, however, that in the event of the resignation of the Warrant Agent under this subsection (c), such resignation
shall be effective on the earlier of (i) the date specified in the Warrant Agent’s notice of resignation or (ii) the appointment and acceptance of a successor Warrant Agent hereunder. 

(d) Successor to Expressly Assume Duties. Any successor Warrant Agent appointed hereunder shall execute, acknowledge and deliver
to its predecessor and to the Company an instrument accepting such appointment hereunder, and thereupon such successor Warrant Agent, without any further act, deed or conveyance, shall become vested with all the rights and obligations of such
predecessor with like effect as if originally named as Warrant Agent hereunder, and such predecessor, upon payment of its charges and disbursements then unpaid, shall thereupon become obligated to transfer, deliver and pay over, and such successor
Warrant Agent shall be entitled to receive, all monies, securities and other property on deposit with or held by such predecessor, as Warrant Agent hereunder. 
 (e) Successor by Merger. Any entity into which the Warrant Agent hereunder may be merged or consolidated, or any entity resulting from any merger or consolidation to which the Warrant Agent shall
be a party, or any entity to which the Warrant Agent shall sell or otherwise transfer all or substantially all of its assets and business, shall be the successor Warrant Agent under this Agreement without the execution or filing of any paper or any
further act on the part of any of the parties hereto; provided, however, that it shall be qualified as aforesaid. 

Section 5.07. Representations of the Company. The Company represents and warrants to the Warrant Agent that: 

(a) the Company has been duly organized and is validly existing under the laws of the jurisdiction of its incorporation; 

(b) this Agreement has been duly authorized, executed and delivered by the Company and is enforceable against the Company in accordance
with its terms, except as may be limited by bankruptcy, insolvency, moratorium, reorganization and other similar laws affecting the enforcement of creditors’ rights generally; and 

(c) the execution and delivery of this Agreement does not, and the issuance of the Warrants in accordance with the terms of this
Agreement and the Warrant Certificate will not, (i) violate the Company’s articles of incorporation or by-laws, (ii) violate any law or regulation applicable to the Company or order or decree of any court or public authority having
jurisdiction over the Company, or (iii) result in a breach of any mortgage, indenture, contract, agreement or undertaking to which the Company is a party or by which it is bound, except in the case of (ii) and (iii) for any violations
or breaches that could not reasonably be expected to have a material adverse effect on the Company and its subsidiaries, taken as a whole. 

  
 -15-

 ARTICLE VI 
 MISCELLANEOUS 
 Section 6.01. Persons Benefitting. 

Nothing in this Agreement is intended or shall be construed to confer upon any Person other than the Company, the Warrant Agent and the
Holders any right, remedy or claim under or by reason of this Agreement or any part hereof. 
 Section 6.02. Amendment.

 This Agreement and the Warrants may be amended by the parties hereto without the consent of any Holder for the purpose of
curing any ambiguity, or of curing, correcting or supplementing any defective provision contained herein or therein or adding or changing any other provisions with respect to matters or questions arising under this Agreement or the Warrants as the
Company and the Warrant Agent may deem necessary or desirable; provided, however, that such action shall not adversely affect the rights of any of the Holders in any material respect. Any amendment or supplement to this Agreement or
the Warrants that has a material adverse effect on the interests of any of the Holders or owners of a beneficial interest in a Global Warrant shall require the written consent of the Holders of a majority of the then outstanding Warrants;
provided that the consent of each Holder affected thereby shall be required for any amendment pursuant to which (i) the Exercise Price would be increased or the Warrant Share Number would be decreased (in each case, other than pursuant
to adjustments provided for in Section 12 of the Warrant Certificate), (ii) the time period during which the Warrants are exercisable would be shortened or (iii) any change adverse to the Holder would be made to the anti-dilution
provisions set forth in Article IV of this Agreement or Section 12 of the Warrant Certificate. In determining whether the Holders of the required number of Warrants have concurred in any direction, waiver or consent, Warrants owned by the
Company or by any Affiliate of the Company shall be disregarded and deemed not to be outstanding, except that, for the purpose of determining whether the Warrant Agent shall be protected in relying on any such direction, waiver or consent, only
Warrants that the Warrant Agent knows are so owned shall be so disregarded. Also, subject to the foregoing, only Warrants outstanding at the time shall be considered in any such determination. The Warrant Agent shall have no duty to determine
whether any such amendment would have an effect on the rights or interests of the Holders of the Warrants. Upon receipt by the Warrant Agent of an Officer’s Certificate and an Opinion of Counsel, each stating that all conditions precedent to
the execution of the amendment have been complied with and such execution is permitted by this Agreement and the Warrant Certificate, the Warrant Agent shall join in the execution of such amendment; provided, that the Warrant Agent may, but shall
not be obligated to, execute any amendment or supplement which affects the rights or changes or increases the duties or obligations of the Warrant Agent. 
 Section 6.03. Notices. 
 Any notice or communication shall be in writing and
delivered in person or mailed by first-class mail addressed as follows: 

  
 -16-

 if to the Company: 
 Associated Banc-Corp 

            1200 Hansen Road 

            Green Bay, WI 54304 

Telephone: (920) 491-7000 
 Facsimile: (920) 491-7010 
 Attention: Secretary 

with a copy to: 

Katten Muchin Rosenman LLP 
             525 West Monroe Street 
             Chicago, IL 60661-3693 
 Telephone: (312) 902-5567 
 Facsimile: (312) 902-1061 

Attention: Robert J. Wild, Esq. 
 if to the Warrant Agent: 
 Wells Fargo Bank, N.A. 

            161 North Concord Exchange 

            South St. Paul, MN 55075-1139 

Telephone: (800) 689-8788 
 Facsimile: (651) 450-4078 
 Attention: Associated Banc-Corp Account Manager

 The Company or the Warrant Agent by notice to the other may designate additional or different addresses for subsequent notices
or communications. 
 Unless the Warrant is a Global Warrant, any notice or communication mailed to a Holder shall be mailed to
the Holder at the Holder’s address as it appears on the Registry and shall be sufficiently given if so mailed within the time prescribed. Any notice to the owners of a beneficial interest in a Global Warrant shall be distributed through the
Depositary in accordance with the procedures of the Depositary. Communications to such Holder shall be deemed to be effective at the time of dispatch to the Depositary. 
 Failure to provide a notice or communication to a Holder or any defect in it shall not affect its sufficiency with respect to other Holders. If a notice or communication is provided in the manner provided
above, it is duly given, whether or not the intended recipient actually receives it. 

  
 -17-

 Section 6.04. Governing Law. 

This Agreement will be governed by and construed in accordance with the laws of the State of New York applicable to contracts made and
to be performed entirely within such State. 
 Section 6.05. Successors. 

All agreements of the Company in this Agreement and the Warrants shall bind its successors. All agreements of the Warrant Agent in this
Agreement shall bind its successors. 
 Section 6.06. Multiple Originals. 

The parties may sign any number of copies of this Agreement. Each signed copy shall be an original, but all of them together represent the
same agreement. One signed copy is enough to prove this Agreement. 
 Section 6.07. Inspection of Agreement. 

A copy of this Agreement shall be made available at all reasonable times for inspection by any registered Holder or owner of a beneficial
interest in a Global Warrant by the Warrant Agent (or successor Warrant Agent). 
 Section 6.08. Table of Contents. 

The table of contents and headings of the Articles and Sections of this Agreement have been inserted for convenience of reference only,
are not intended to be considered a part hereof and shall not modify or restrict any of the terms or provisions hereof. 

Section 6.09. Severability. 
 The provisions of this Agreement are severable, and if any clause or provision shall be held invalid, illegal or unenforceable in whole or in part in any jurisdiction, then such invalidity or
unenforceability shall affect in that jurisdiction only such clause or provision, or part thereof, and shall not in any manner affect such clause or provision in any other jurisdiction or any other clause or provision of this Agreement in any
jurisdiction. 

  
 -18-

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

			
	ASSOCIATED BANC-CORP
		
	By:	 	/s/ Christopher Del Moral-Niles
		 	 Name: Christopher Del Moral-Niles
 Title: Executive Vice President

  

			
	 WELLS FARGO BANK, N.A.,
 as Warrant Agent

		
	By:	 	/s/ Steven J. Hoffman
		 	 Name: Steven J. Hoffman

Title: Vice President

 Signature Page to Warrant Agreement 

 EXHIBIT A 
 FORM OF WARRANT 

 FORM OF WARRANT 

[Global Securities Legend] 
 UNLESS THIS GLOBAL WARRANT IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY WARRANT CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE &
CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN
INTEREST HEREIN. 
 TRANSFERS OF THIS GLOBAL WARRANT SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES
OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL WARRANT SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE WARRANT AGREEMENT REFERRED TO ON THE REVERSE
HEREOF. 

  
 1 

 GLOBAL WARRANT 
 representing 
 WARRANTS 

to purchase 

Shares of 

Common Stock 

of 

ASSOCIATED BANC-CORP 
  

			
	 No. [    ]
	 	CUSIP No: 045487 113

 1. Definitions. Unless the context otherwise requires, when used herein the following terms shall
have the meanings indicated. Any capitalized terms used but not defined herein that are defined in the Warrant Agreement shall have the meanings set forth in the Warrant Agreement. 

“Affiliate” means, with respect to any Person, any Person directly or indirectly controlling, controlled by or under
common control with, such other Person. For purposes of this definition, “control” (including, with correlative meanings, the terms “controlled by” and “under common control with”) when used with respect to any
Person, means the possession, directly or indirectly, of the power to cause the direction of management and/or policies of such Person, whether through the ownership of voting securities by contract or otherwise. 

“Agent Members” means the securities brokers and dealers, banks and trust companies, clearing organizations and certain
other organizations that are participants in the Depositary’s system. 
 “Board of Directors” means the
board of directors of the Company, including any duly authorized committee thereof. 
 “Business Combination”
means a merger, consolidation, statutory share exchange or similar transaction that requires the approval of the Company’s shareholders. 
 “business day” means any day except Saturday, Sunday and (i) at any time when the Warrants are listed on the Nasdaq Global Select Market, any day on which the Nasdaq Global Select
Market is authorized or required by law or other governmental actions to close or (ii) at any time when the Warrants are not listed on the Nasdaq Global Select Market, any day on which banking institutions in the State of New York are
authorized or required by law or other governmental actions to close. 
 “Capital Stock” means (A) with
respect to any Person that is a corporation or company, any and all shares, interests, participations or other equivalents (however designated) of capital or capital stock of such Person and (B) with respect to any Person that is not a
corporation or company, any and all partnership or other equity interests of such Person. 

  
 2 

 “Charter” means, with respect to any Person, its certificate or articles of
incorporation, articles of association, or similar organizational document. 
 “Common Stock” means the common
stock, par value $0.01 per share, of the Company. 
 “Company” means Associated Banc-Corp, a corporation duly
organized and existing under the laws of Wisconsin. 
 “Definitive Warrant” means a Warrant Certificate in
definitive form that is not deposited with the Depositary or with the Warrant Agent as custodian for the Depositary. 

“Depositary” means The Depository Trust Company, its nominees and their respective successors. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended, or any successor statute, and the rules and
regulations promulgated thereunder. 
 “Exercise Price” means $19.77, subject to adjustment as set forth
herein. 
 “Expiration Time” has the meaning set forth in Section 3. 

“Fair Market Value” means, with respect to any security or other property, the fair market value of such security or
other property as determined by the Board of Directors, acting in good faith. 
 “Global Warrant” means a
Warrant Certificate in global form that is deposited with the Depositary or with the Warrant Agent as custodian for the Depositary. 
 “Governmental Entities” means, collectively, all United States and other governmental, regulatory or judicial authorities. 

“Issue Date” means November 21, 2008. 
 “Market Price” means, with respect to a particular security, on any given day, the last reported sale price regular way or, in case no such reported sale takes place on such day, the
average of the last closing bid and ask prices regular way, in either case on the principal national securities exchange on which the applicable securities are listed or admitted to trading, or if not listed or admitted to trading on any national
securities exchange, the average of the closing bid and ask prices as furnished by two members of the Financial Industry Regulatory Authority, Inc. selected from time to time by the Company for that purpose. “Market Price” shall be
determined without reference to after hours or extended hours trading. If such security is not listed and traded in a manner that the quotations referred to above are available for the period required hereunder, the Market Price per share of Common
Stock shall be deemed to be the fair market value per share of such security as determined in good faith by the Board of Directors in reliance on an opinion of a nationally recognized independent investment banking corporation retained by

  
 3 

 
the Company for this purpose; provided that if any such security is listed or traded on a non-U.S. market, such fair market value shall be determined by reference to the closing price of
such security as of the end of the most recently ended business day in such market prior to the date of determination; and further, provided that if making such determination requires the conversion of any currency other than U.S.
dollars into U.S. dollars, such conversion shall be done in accordance with customary procedures based on the rate for conversion of such currency into U.S. dollars displayed on the relevant page by Bloomberg L.P. (or any successor or replacement
service) on or by 4:00 p.m., New York City time, on such exercise date. For the purposes of determining the Market Price of the Common Stock on the “trading day” preceding, on or following the occurrence of an event, (i) that trading
day shall be deemed to commence immediately after the regular scheduled closing time of trading on the Nasdaq Global Select Market or, if trading is closed at an earlier time, such earlier time and (ii) that trading day shall end at the next
regular scheduled closing time, or if trading is closed at an earlier time, such earlier time (for the avoidance of doubt, and as an example, if the Market Price is to be determined as of the last trading day preceding a specified event and the
closing time of trading on a particular day is 4:00 p.m. and the specified event occurs at 5:00 p.m. on that day, the Market Price would be determined by reference to such 4:00 p.m. closing price). 

“Ordinary Cash Dividends” means a regular quarterly cash dividend on shares of Common Stock out of
surplus or net profits legally available therefor (determined in accordance with U.S. GAAP in effect from time to time), provided that Ordinary Cash Dividends shall not include any cash dividends paid subsequent to the Issue Date to the
extent the aggregate per share dividends paid on the outstanding Common Stock in any quarter exceed $0.32, as adjusted for any stock split, stock dividend, reverse stock split, reclassification or similar transaction. 

“Person” has the meaning given to it in Section 3(a)(9) of the Exchange Act and as used in Sections 13(d)(3) and
14(d)(2) of the Exchange Act. 
 “Per Share Fair Market Value” has the meaning set forth in Section 12(B).

 “Pro Rata Repurchases” means any purchase of shares of Common Stock by the Company or any Affiliate thereof
pursuant to (A) any tender offer or exchange offer subject to Section 13(e) or 14(e) of the Exchange Act or Regulation 14E promulgated thereunder or (B) any other offer available to substantially all holders of Common Stock, in the
case of both (A) and (B), whether for cash, shares of Capital Stock of the Company, other securities of the Company, evidences of indebtedness of the Company or any other Person or any other property (including, without limitation, shares of
Capital Stock, other securities or evidences of indebtedness of a subsidiary), or any combination thereof, effected while this Warrant Certificate is outstanding. The “Effective Date” of a Pro Rata Repurchase shall mean the date of
acceptance of shares for purchase or exchange by the Company under any tender or exchange offer which is a Pro Rata Repurchase or the date of purchase with respect to any Pro Rata Repurchase that is not a tender or exchange offer. 

“SEC” means the U.S. Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as amended, or any successor statute, and the rules and regulations
promulgated thereunder. 

  
 4 

 “Shares” has the meaning set forth in Section 2. 

“trading day” means (A) if the shares of Common Stock are not traded on any national or regional securities
exchange or association or over-the-counter market, a business day or (B) if the shares of Common Stock are traded on any national or regional securities exchange or association or over-the-counter market, a business day on which such relevant
exchange or quotation system is scheduled to be open for business and on which the shares of Common Stock (i) are not suspended from trading on any national or regional securities exchange or association or over-the-counter market for any
period or periods aggregating one half hour or longer; and (ii) have traded at least once on the national or regional securities exchange or association or over-the-counter market that is the primary market for the trading of the shares of
Common Stock. The term “trading day” with respect to any security other than the Common Stock shall have a correlative meaning based on the primary exchange or quotation system on which such security is listed or traded. 

“Transfer Agent” means Wells Fargo Bank, N.A., as transfer agent of the Company, and any successor transfer agent.

 “U.S. GAAP” means United States generally accepted accounting principles. 

“Warrant” means a right to purchase a number of shares of the Company’s Common Stock equal to the Warrant Share
Number as provided herein. References herein to “Warrant” shall include the Global Warrant where the context requires. 
 “Warrant Agent” has the meaning set forth in Section 16. 

“Warrant Agreement” has the meaning set forth in Section 16. 

“Warrant Certificate” means a fully registered certificate evidencing Warrants. 

“Warrantholder” means a registered owner of Warrants as set forth in the Registry. 

“Warrant Share Number” means one share of Common Stock, as subsequently adjusted pursuant to the terms of this Warrant
and the Warrant Agreement. 
 2. Number of Shares; Exercise Price. This certifies that, for value received,
Cede & Co., and any of its registered assigns, is the registered owner of the number of Warrants set forth on Schedule A hereto, each of which entitles the Warrantholder to purchase from the Company, upon the terms and subject to the
conditions hereinafter set forth, a number of fully paid and nonassessable shares of Common Stock (each a “Share” and collectively the “Shares”) equal to the Warrant Share Number at a purchase price per share equal
to the Exercise Price. The Warrant Share Number and the Exercise Price are subject to adjustment as provided herein, and all references to “Warrant Share Number” and “Exercise Price” herein shall be deemed to include any such
adjustment or series of adjustments. 

  
 5 

 3. Exercise of Warrant; Term. Subject to Section 2, to the extent permitted by
applicable laws and regulations, all or a portion of the Warrants evidenced by this Warrant Certificate are exercisable by the Warrantholder, at any time or from time to time after the execution and delivery of this Warrant Certificate by the
Company on the date hereof, but in no event later than 5:00 p.m., New York City time on the tenth anniversary of the Issue Date (the “Expiration Time”), by (A) delivery to the Warrant Agent of a Notice of Exercise in the form
annexed hereto, duly completed and executed (or to the Company or to such other office or agency of the Company in the United States as the Company may designate by notice in writing to the Warrantholders pursuant to Section 18), and
(B) payment of the Exercise Price for the Shares thereby purchased by having the Company withhold, from the shares of Common Stock that would otherwise be delivered to such Warrantholder upon such exercise, Shares issuable upon exercise of the
Warrants so exercised equal in value to the aggregate Exercise Price as to such Shares, based on the Market Price of the Common Stock on the trading day on which such Warrants are exercised and the Notice of Exercise is delivered to the Warrant
Agent pursuant to this Section 3. For the avoidance of doubt, if Warrants are exercised such that the Exercise Price would exceed the value of the Shares issuable upon exercise, no amount shall be due and payable by the Warrantholder to the
Company. In the case of a Global Warrant, any person with a beneficial interest in such Global Warrant shall effect compliance with the requirements in clauses (A) and (B) above through the relevant Agent Member in accordance with
procedures of the Depositary. 
 In the case of a Global Warrant, whenever some but not all of the Warrants represented by such
Global Warrant are exercised in accordance with the terms thereof and of the Warrant Agreement, such Global Warrant shall be surrendered by the Warrantholder to the Warrant Agent, which shall cause an adjustment to be made to Schedule A to such
Global Warrant so that the number of Warrants represented thereby will be equal to the number of Warrants theretofor represented by such Global Warrant less the number of Warrants then exercised. The Warrant Agent shall thereafter promptly return
such Global Warrant to the Warrantholder or its nominee or custodian. In the case of a Definitive Warrant, whenever some but not all of the Warrants represented by such Definitive Warrant are exercised in accordance with the terms thereof and of the
Warrant Agreement, the Warrantholder shall be entitled, at the request of such Warrantholder, to receive from the Company within a reasonable time, not to exceed three business days, a new Definitive Warrant in substantially identical form for the
number of Warrants equal to the number of Warrants theretofor represented by such Definitive Warrant less the number of Warrants then exercised. 
 If this Warrant Certificate shall have been exercised in full, the Warrant Agent shall promptly cancel such certificate following its receipt from the Warrantholder or the Depositary, as applicable.

 Notwithstanding anything in this Warrant Certificate to the contrary, in the case of Warrants evidenced by a Global Warrant,
any Agent Member may, without the consent of the Warrant Agent or any other person, on its own behalf and on behalf of any beneficial owner for which it is acting, enforce, and may institute and maintain, any suit, action or proceeding against the
Company suitable to enforce, or otherwise in respect of, its right to exercise, and to receive Shares for, its Warrants as provided in the Global Warrant, and to enforce the Warrant Agreement. 

  
 6 

 4. Issuance of Shares; Authorization; Listing. Shares issued upon exercise of
Warrants evidenced by this Warrant Certificate shall be (i) issued in such name or names as the exercising Warrantholder may designate and (ii) delivered by the Transfer Agent to such Warrantholder or its nominee or nominees (A) via
book-entry transfer crediting the account of such Warrantholder (or the relevant Agent Member for the benefit of such Warrantholder) through the Depositary’s DWAC system (if the Transfer Agent participates in such system), or (B) otherwise
in certificated form by physical delivery to the address specified by the Warrantholder in the Notice of Exercise. The Company shall use its commercially reasonable efforts to cause its Transfer Agent to be a participant in the Depositary’s
DWAC system. The Company shall cause the number of full Shares to which such Warrantholder shall be entitled to be so delivered by the Transfer Agent within a reasonable time, not to exceed three business days after the date on which Warrants
evidenced by this Warrant Certificate have been duly exercised in accordance with the terms hereof. 
 The Company hereby
represents and warrants that any Shares issued upon the exercise of Warrants evidenced by this Warrant Certificate in accordance with the provisions of Section 3 will be duly and validly authorized and issued, fully paid and nonassessable and
free from all taxes, liens and charges (other than liens or charges created by a Warrantholder, income and franchise taxes incurred in connection with the exercise of the Warrant or taxes in respect of any transfer occurring contemporaneously
therewith). The Company agrees that the Shares so issued will be deemed to have been issued to a Warrantholder as of the close of business on the date on which Warrants evidenced by this Warrant Certificate have been duly exercised, notwithstanding
that the stock transfer books of the Company may then be closed or certificates representing such Shares may not be actually delivered on such date. The Company will at all times until the Expiration Time (or, if such date shall not be a business
day, then on the next succeeding business day) reserve and keep available, out of its authorized but unissued Common Stock, solely for the purpose of providing for the exercise of Warrants evidenced by this Warrant Certificate, the aggregate number
of shares of Common Stock then issuable upon exercise hereof at any time. The Company will (A) procure, at its sole expense, the listing of the Shares issuable upon exercise hereof at any time, subject to issuance or notice of issuance, on all
principal stock exchanges on which the Common Stock is then listed or traded and (B) maintain such listings of such Shares at all times after issuance. The Company will use reasonable best efforts to ensure that the Shares may be issued without
violation of any applicable law or regulation or of any requirement of any securities exchange on which the Shares are listed or traded. 
 5. No Fractional Shares or Scrip. No fractional Shares or scrip representing fractional Shares shall be issued upon any exercise of Warrants evidenced by this Warrant Certificate. In lieu of any
fractional Share that would otherwise be issued to a Warrantholder upon the exercise of any Warrants, such Warrantholder shall be entitled to receive a cash payment equal to the Market Price of the Common Stock on the trading day on which such
warrants are exercised representing such fractional Share. The beneficial owners of the Warrants and the Warrantholder, by their acceptance hereof, expressly waive their right to receive any fraction of a share of Common Stock or a certificate
representing a fraction of a share of Common Stock or Warrant Certificate representing a fractional Warrant upon exercise of any Warrant. 

  
 7 

 6. No Rights as Shareholders; Transfer Books. Warrants evidenced by this Warrant
Certificate do not entitle the Warrantholder or the owner of any beneficial interest in such Warrants to any voting rights or other rights as a shareholder of the Company prior to the date of exercise hereof. The Company will at no time close its
transfer books against transfer of Warrants in any manner which interferes with the timely exercise hereof. 
 7. Charges,
Taxes and Expenses. Issuance of Shares in certificated or book-entry form to the Warrantholder upon the exercise of Warrants evidenced by this Warrant Certificate shall be made without charge to the Warrantholder for any issue or transfer tax or
other incidental expense in respect of the issuance of such Shares (other than liens or charges created by a Warrantholder, income and franchise taxes incurred in connection with the exercise of the Warrant or taxes in respect of any transfer
occurring contemporaneously therewith), all of which taxes and expenses shall be paid by the Company. 
 8.
Transfer/Assignment. This Warrant Certificate and all rights hereunder are transferable, in whole or in part, upon the books of the Company (or an agent duly appointed by the Company) by the registered holder hereof in person or by duly
authorized attorney, and one or more new Warrant Certificates shall be made and delivered by the Company, of the same tenor and date as this Warrant Certificate but registered in the name of one or more transferees, upon surrender of this Warrant
Certificate, duly endorsed, to the office or agency of the Company described in Section 3; provided that if this Warrant Certificate is a Global Warrant registered in the name of the Depositary, transfers of such Global Warrant may only
be made as a whole, and not in part, and only by (i) the Depositary to a nominee of the Depositary, (ii) a nominee of the Depositary to the Depositary or another nominee of the Depositary or (iii) the Depositary or any such nominee to
a successor Depositary or its nominee. All expenses (other than stock transfer taxes) and other charges payable in connection with the preparation, execution and delivery of the new Warrant Certificates pursuant to this Section 8 shall be paid
by the Company. 
 If this Warrant Certificate is a Global Warrant, then so long as the Global Warrant is registered in the name
of the Depositary, the holders of beneficial interests in the Warrants evidenced thereby shall have no rights under this Warrant Certificate with respect to the Global Warrant held on their behalf by the Depositary or the Warrant Agent as its
custodian, and the Depositary may be treated by the Company, the Warrant Agent and any agent of the Company or the Warrant Agent as the absolute owner of the Global Warrant for all purposes whatsoever except to the extent set forth herein.
Accordingly, any such owner’s beneficial interest in the Global Warrant will be shown only on, and the transfer of such interest shall be effected only through, records maintained by the Depositary or the Agent Members, and neither the Company
nor the Warrant Agent shall have any responsibility with respect to such records maintained by the Depositary or the Agent Members. Notwithstanding the foregoing, nothing herein shall (i) prevent the Company, the Warrant Agent or any agent of
the Company or the Warrant Agent from giving effect to any written certification, proxy or other authorization furnished by the Depositary or (ii) impair, as between the Depositary and the Agent Members, the operation of customary practices
governing the exercise of the rights of a holder of a beneficial interest in any Warrant. Except as may otherwise be provided in this Warrant Certificate or the Warrant Agreement, the rights of beneficial owners in a Global Warrant shall be
exercised through the 

  
 8 

 
Depositary subject to the applicable procedures of the Depositary. Any holder of the Global Warrant shall, by acceptance of the Global Warrant, agree that transfers of beneficial interests in the
Global Warrant may be effected only through a book-entry system maintained by the Depositary, and that ownership of a beneficial interest in the Warrants represented thereby shall be required to be reflected in book-entry form. 

A Global Warrant shall be exchanged for Definitive Warrants, and Definitive Warrants may be transferred or exchanged for a beneficial
interest in a Global Warrant, only at such times and in the manner specified in the Warrant Agreement. Subject to the provisions of the Warrant Agreement, the holder of a Global Warrant may grant proxies and otherwise authorize any person, including
Agent Members and persons that may hold beneficial interests in such Global Warrant through Agent Members, to take any action that a Warrantholder is entitled to take under a Warrant or the Warrant Agreement. 

9. Exchange and Registry of Warrants. This Warrant Certificate is exchangeable, upon the surrender hereof by the Warrantholder to
the Company, for a new Warrant Certificate or Warrant Certificates of like tenor and representing the same aggregate number of Warrants. The Company or an agent duly appointed by the Company (which initially shall be the Warrant Agent) shall
maintain a Registry showing the name and address of the Warrantholder as the registered holder of this Warrant Certificate. This Warrant Certificate may be surrendered for exchange or exercise in accordance with its terms, at the office of the
Company or any such agent, and the Company shall be entitled to rely in all respects, prior to written notice to the contrary, upon such Registry. 
 10. Loss, Theft, Destruction or Mutilation of Warrant Certificate. Upon receipt by the Company of proof reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant
Certificate, and in the case of any such loss, theft or destruction, upon receipt of a bond, indemnity or security reasonably satisfactory to the Company and the Warrant Agent, or, in the case of any such mutilation, upon surrender and cancellation
of this Warrant Certificate, the Company shall make and deliver, in lieu of such lost, stolen, destroyed or mutilated Warrant Certificate, a new Warrant Certificate of like tenor and representing the same aggregate number of Warrants as provided for
in such lost, stolen, destroyed or mutilated Warrant Certificate. 
 11. Saturdays, Sundays, Holidays, etc. If the last
or appointed day for the taking of any action or the expiration of any right required or granted herein shall not be a business day, then such action may be taken or such right may be exercised on the next succeeding day that is a business day.

 12. Adjustments and Other Rights. The Exercise Price and the Warrant Share Number shall be subject to adjustment from
time to time as follows; provided that if more than one subsection of this Section 12 is applicable to a single event, the subsection shall be applied that produces the largest adjustment and no single event shall cause an adjustment
under more than one subsection of this Section 12 so as to result in duplication: 
 (A) Stock Splits, Subdivisions,
Reclassifications or Combinations. If the Company shall (i) declare and pay a dividend or make a distribution on its Common Stock in shares of Common Stock, (ii) subdivide or reclassify the outstanding shares of Common Stock into a

  
 9 

 
greater number of shares, or (iii) combine or reclassify the outstanding shares of Common Stock into a smaller number of shares, the Warrant Share Number at the time of the record date for
such dividend or distribution or the effective date of such subdivision, combination or reclassification shall be proportionately adjusted so that the holder of a Warrant after such date shall be entitled to purchase the number of shares of Common
Stock which such holder would have owned or been entitled to receive in respect of the Warrant Share Number had such Warrant been exercised immediately prior to such date. In such event, the Exercise Price in effect immediately prior to the record
date for such dividend or distribution or the effective date of such subdivision, combination or reclassification shall be adjusted by multiplying such Exercise Price by the quotient of (x) the Warrant Share Number immediately prior to such
adjustment divided by (y) the new Warrant Share Number determined pursuant to the immediately preceding sentence. 
 (B)
Other Distributions. In case the Company shall fix a record date for the making of a distribution to all holders of shares of its Common Stock of securities, evidences of indebtedness, assets, cash, rights or warrants (excluding Ordinary Cash
Dividends, dividends of its Common Stock and other dividends or distributions referred to in Section 12(A)), in each such case, the Exercise Price in effect prior to such record date shall be reduced immediately thereafter to the price
determined by multiplying the Exercise Price in effect immediately prior to the reduction by the quotient of (x) the Market Price of the Common Stock on the last trading day preceding the first date on which the Common Stock trades regular way
on the principal national securities exchange on which the Common Stock is listed or admitted to trading without the right to receive such distribution, minus the amount of cash and/or the Fair Market Value of the securities, evidences of
indebtedness, assets, rights or warrants to be so distributed in respect of one share of Common Stock (such subtracted amount and/or Fair Market Value, the “Per Share Fair Market Value”) divided by (y) such Market Price on such
date specified in clause (x); such adjustment shall be made successively whenever such a record date is fixed. In such event, the Warrant Share Number shall be increased to the number obtained by multiplying the Warrant Share Number immediately
prior to such adjustment by the quotient of (x) the Exercise Price in effect immediately prior to the distribution giving rise to this adjustment divided by (y) the new Exercise Price determined in accordance with the immediately preceding
sentence. In the case of adjustment for a cash dividend that is, or is coincident with, a regular quarterly cash dividend, the Per Share Fair Market Value would be reduced by the per share amount of the portion of the cash dividend that would
constitute an Ordinary Cash Dividend. In the event that such distribution is not so made, the Exercise Price and the Warrant Share Number then in effect shall be readjusted, effective as of the date when the Board of Directors determines not to
distribute such shares, evidences of indebtedness, assets, rights, cash or warrants, as the case may be, to the Exercise Price and the Warrant Share Number that would then be in effect if such record date had not been fixed. 

(C) Certain Repurchases of Common Stock. In case the Company effects a Pro Rata Repurchase of Common Stock, then the Exercise
Price shall be reduced to the price determined by multiplying the Exercise Price in effect immediately prior to the Effective Date of such Pro Rata Repurchase by a fraction of which the numerator shall be (i) the product of (x) the number
of shares of Common Stock outstanding immediately before such Pro Rata Repurchase and (y) the Market Price of a share of Common Stock on the trading day immediately preceding the first 

  
 10 

 
public announcement by the Company or any of its Affiliates of the intent to effect such Pro Rata Repurchase, minus (ii) the aggregate purchase price of the Pro Rata Repurchase, and of which
the denominator shall be the product of (i) the number of shares of Common Stock outstanding immediately prior to such Pro Rata Repurchase minus the number of shares of Common Stock so repurchased and (ii) the Market Price per share of
Common Stock on the trading day immediately preceding the first public announcement by the Company or any of its Affiliates of the intent to effect such Pro Rata Repurchase. In such event, the Warrant Share Number shall be increased to the number
obtained by multiplying the Warrant Share Number immediately prior to such adjustment by the quotient of (x) the Exercise Price in effect immediately prior to the Pro Rata Repurchase giving rise to this adjustment divided by (y) the new
Exercise Price determined in accordance with the immediately preceding sentence. For the avoidance of doubt, no increase to the Exercise Price or decrease in the Warrant Share Number shall be made pursuant to this Section 12(C). 

(D) Business Combinations or Reclassifications of Common Stock. In case of any Business Combination or reclassification of Common
Stock (other than a reclassification of Common Stock referred to in Section 12(A)), a Warrantholder’s right to receive Shares upon exercise of a Warrant shall be converted into the right to exercise such Warrant to acquire the number of
shares of stock or other securities or property (including cash) which the Common Stock issuable (at the time of such Business Combination or reclassification) upon exercise of such Warrant immediately prior to such Business Combination or
reclassification would have been entitled to receive upon consummation of such Business Combination or reclassification; and in any such case, if necessary, the provisions set forth herein with respect to the rights and interests thereafter of the
Warrantholder shall be appropriately adjusted so as to be applicable, as nearly as may reasonably be, to such Warrantholder’s right to exercise a Warrant in exchange for any shares of stock or other securities or property pursuant to this
paragraph. In determining the kind and amount of stock, securities or the property receivable upon exercise of a Warrant following the consummation of such Business Combination, if the holders of Common Stock have the right to elect the kind or
amount of consideration receivable upon consummation of such Business Combination, then the consideration that a Warrantholder shall be entitled to receive upon exercise shall be deemed to be the types and amounts of consideration received by the
majority of all holders of the shares of Common Stock that affirmatively make an election (or of all such holders if none make an election). For purposes of determining any amount to be withheld pursuant to Section 3 from stock, securities or
the property that would otherwise be delivered to a Warrantholder upon exercise of Warrants following any Business Combination, the amount of such stock, securities or property to be withheld shall have a Market Price equal to the aggregate Exercise
Price as to which such Warrants are so exercised, based on the fair market value of such stock, securities or property on the trading day on which such Warrants are exercised and the Notice of Exercise is delivered to the Warrant Agent;
provided that in the case of any property that is not a security, the Market Price of such property shall be deemed to be its fair market value as determined in good faith by the Board of Directors in reliance on an opinion of a nationally
recognized independent investment banking firm retained by the Company for this purpose; and further, provided that if making such determination requires the conversion of any currency other than U.S. dollars into U.S. dollars, such
conversion shall be done in accordance with customary procedures based on the rate for conversion of such currency into U.S. dollars displayed on the relevant page by Bloomberg L.P. (or any successor or replacement service) on or by 4:00 p.m., New
York City time, on such exercise date. 

  
 11 

 (E) Rounding of Calculations; Minimum Adjustments. All calculations under this
Section 12 shall be made to the nearest one-tenth (1/10th) of a cent or to the nearest one-hundredth (1/100th) of a share, as the case may be. Any provision of this Section 12 to the contrary notwithstanding, no adjustment in the
Exercise Price or the Warrant Share Number shall be made if the amount of such adjustment would be less than $0.01 or one-tenth (1/10th) of a share of Common Stock, but any such amount shall be carried forward and an adjustment with respect
thereto shall be made at the time of and together with any subsequent adjustment which, together with such amount and any other amount or amounts so carried forward, shall aggregate $0.01 or 1/10th of a share of Common Stock, or more, or on exercise
of a Warrant if it shall earlier occur. 
 (F) Timing of Issuance of Additional Common Stock Upon Certain Adjustments. In
any case in which the provisions of this Section 12 shall require that an adjustment shall become effective immediately after a record date for an event, the Company may defer until the occurrence of such event (i) issuing to a
Warrantholder of Warrants exercised after such record date and before the occurrence of such event the additional shares of Common Stock issuable upon such exercise by reason of the adjustment required by such event over and above the shares of
Common Stock issuable upon such exercise before giving effect to such adjustment and (ii) paying to such Warrantholder any amount of cash in lieu of a fractional share of Common Stock; provided, however, that the Company upon
request shall deliver to such Warrantholder a due bill or other appropriate instrument evidencing such Warrantholder’s right to receive such additional shares, and such cash, upon the occurrence of the event requiring such adjustment.

 (G) Other Events. Neither the Exercise Price nor the Warrant Share Number shall be adjusted in the event of a change
in the par value of the Common Stock or a change in the jurisdiction of incorporation of the Company. 
 (H) Statement
Regarding Adjustments. Whenever the Exercise Price or the Warrant Share Number shall be adjusted as provided in Section 12, the Company shall forthwith file at the principal office of the Company a statement showing in reasonable detail the
facts requiring such adjustment and the Exercise Price that shall be in effect and the Warrant Share Number after such adjustment. The Company shall deliver to the Warrant Agent a copy of such statement and shall cause a copy of such statement to be
sent or communicated to the Warrantholders pursuant to Section 18. 
 (I) Notice of Adjustment Event. In the event
that the Company shall propose to take any action of the type described in this Section 12 (but only if the action of the type described in this Section 12 would result in an adjustment in the Exercise Price or the Warrant Share Number or
a change in the type of securities or property to be delivered upon exercise of a Warrant), the Company shall deliver to the Warrant Agent a notice and shall cause such notice to be sent or communicated to the Warrantholders in the manner set forth
in Section 18, which notice shall specify the record date, if any, with respect to any such action and the approximate date on which such action is to take place. Such notice shall also set forth the facts with respect thereto

  
 12 

 
as shall be reasonably necessary to indicate the effect on the Exercise Price and the number, kind or class of shares or other securities or property which shall be deliverable upon exercise of a
Warrant. In the case of any action which would require the fixing of a record date, such notice shall be given at least 10 days prior to the date so fixed, and in case of all other action, such notice shall be given at least 15 days prior to the
taking of such proposed action. Failure to give such notice, or any defect therein, shall not affect the legality or validity of any such action. 
 (J) Proceedings Prior to Any Action Requiring Adjustment. As a condition precedent to the taking of any action which would require an adjustment pursuant to this Section 12, the Company shall
take any action which may be necessary, including obtaining regulatory, New York Stock Exchange, NASDAQ Stock Market or other applicable national securities exchange or shareholder approvals or exemptions, in order that the Company may thereafter
validly and legally issue as fully paid and nonassessable all Shares that a Warrantholder is entitled to receive upon exercise of a Warrant pursuant to this Section 12. 
 (K) Adjustment Rules. Any adjustments pursuant to this Section 12 shall be made successively whenever an event referred to herein shall occur. If an adjustment in Exercise Price made hereunder
would reduce the Exercise Price to an amount below par value of the Common Stock, then such adjustment in Exercise Price made hereunder shall reduce the Exercise Price to the par value of the Common Stock. 

13. No Impairment. The Company will not, by amendment of its Charter or through any reorganization, transfer of assets,
consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance or performance of any of the terms to be observed or performed hereunder by the Company, but will at all times in
good faith assist in the carrying out of all the provisions of this Warrant Certificate and in taking of all such action as may be necessary or appropriate in order to protect the rights of the Warrantholder. 

14. Governing Law. This Warrant Certificate and the Warrants evidenced hereby shall be governed by and construed in accordance
with the laws of the State of New York applicable to contracts made and to be performed entirely within such State. 
 15.
Binding Effect; Countersignature by Warrant Agent. This Warrant Certificate shall be binding upon any successors or assigns of the Company. This Warrant Certificate shall not be valid until an authorized signatory of the Warrant Agent (as
defined below) or its agent as provided in the Warrant Agreement (as defined below) countersigns this Warrant Certificate. Such signature shall be solely for the purpose of authenticating this Warrant Certificate and shall be conclusive evidence
that this Warrant Certificate has been countersigned under the Warrant Agreement. 
 16. Warrant Agreement; Amendments.
This Warrant Certificate is issued under and in accordance with a Warrant Agreement dated as of November 30, 2011 (the “Warrant Agreement”), between the Company and Wells Fargo Bank, N.A., a national banking association (the
“Warrant Agent,” which term includes any successor Warrant Agent under the Warrant Agreement), and is subject to the terms and provisions contained in the Warrant Agreement, 

  
 13 

 
and the beneficial owners of the Warrants and the Warrantholders consent to such terms and provisions by acceptance hereof. The Warrant Agreement is hereby incorporated herein by reference and
made a part hereof. Reference is hereby made to the Warrant Agreement for a statement of the respective rights, limitations of rights, duties and obligations of the Company, the Warrant Agent and the Warrantholders and beneficial owners of the
Warrants. A copy of the Warrant Agreement may be obtained for inspection by the Warrantholders or beneficial owners of the Warrants upon request to the Warrant Agent at the address of the Warrant Agent (or successor warrant agent) set forth in the
Warrant Agreement. The Warrant Agreement and this Warrant Certificate may be amended and the observance of any term of the Warrant Agreement or this Warrant Certificate may be waived only to the extent provided in the Warrant Agreement. 

17. Prohibited Actions. The Company agrees that it will not take any action which would entitle the Warrantholder to an adjustment
of the Exercise Price if the total number of shares of Common Stock issuable after such action upon exercise of the Warrants evidenced by this Warrant Certificate, together with all shares of Common Stock then outstanding and all shares of Common
Stock then issuable upon the exercise of all outstanding options, warrants, conversion and other rights, would exceed the total number of shares of Common Stock then authorized by its Charter. 

18. Notices. Unless this Warrant Certificate is a Global Warrant, any notice or communication mailed to the Warrantholder shall be
mailed to the Warrantholder at the Warrantholder’s address as it appears in the Registry and shall be sufficiently given if so mailed within the time prescribed. Any notice to holders of a beneficial interest in a Global Warrant shall be
distributed through the Depositary in accordance with the procedures of the Depositary. Communications to such holders shall be deemed to be effective at the time of dispatch to the Depositary. 

[Remainder of page intentionally left blank] 

  
 14 

 IN WITNESS WHEREOF, the Company has caused this Warrant Certificate to be duly executed by a
duly authorized officer. This Warrant Certificate shall not be valid or obligatory for any purpose until it shall have been countersigned by the Warrant Agent. 
 Dated:                              

 

			
	ASSOCIATED BANC-CORP
		
	By:	 	 
		 	Name:
		 	Title:

  

			
	Countersigned:
	
	WELLS FARGO BANK, N.A., as Warrant Agent
		
	By:	 	 
		 	Authorized Signatory

 [Signature Page to Warrant] 

 Schedule A to Global Warrant 

The initial number of Warrants represented by the Global Warrant is 3,983,308. 

The following decreases in the number of Warrants represented by this Global Warrant have been made as a result of the exercise of
certain Warrants represented by this Global Warrant: 
  

							
	 	 	 	 	Total Number of Warrants	 	 
	Date of Exercise	 	Number of	 	Represented Hereby	 	Notation Made
	 of Warrants
	 	 Warrants Exercised
	 	 Following Such Exercise
	 	 by Warrant Agent

 Form of Notice of Exercise 

(to be executed only upon exercise of Warrants) 
 Date:                          

 

	TO:	Associated Banc-Corp (the “Company”) 

  

	RE:	Election to Purchase Common Stock 

The undersigned registered holder of [            ] Warrants
irrevocably elects to exercise the number of Warrants set forth below represented by the Global Warrant (or, in the case of a Definitive Warrant, the Warrant Certificate enclosed herewith), and surrenders all right, title and interest in the number
of Warrants exercised hereby to the Company, and directs that the shares of Common Stock or other securities or property delivered upon exercise of such Warrants, and any interests in the Global Warrant or Definitive Warrant representing unexercised
Warrants, be registered or placed in the name and at the address specified below and delivered thereto. 
  

					
	Number of Warrants	  	  
	  	

  

			
		
	Holder:	 	 
	By:	 	 
	Name:	 	 
	Title:	 	 

 Signature guaranteed by (if a guarantee is required): 

 

	
	
	  

  
 1 

 Securities and/or check to be issued to: 
 If in book-entry form through the Depositary: 
  

			
	 Depositary Account Number:
	  	 

  

			
	 Name of Agent Member:
	  	 

 If in definitive form: 
  

			
	 Social Security Number
 or Other Identifying Number:
	  	 

  

			
	 Name:
	  	 

  

			
	 Street Address:
	  	 

  

			
	 City, State and Zip Code:
	  	 

 Any
unexercised Warrants evidenced by the exercising Warrantholder’s interest in the Global Warrant or Definitive Warrant, as the case may be, to be issued to: 
 If in book-entry form through the Depositary: 
  

			
	 Depositary Account Number:
	  	 

  

			
	 Name of Agent Member:
	  	 

 If in definitive form: 
  

			
	 Social Security Number
 or Other Identifying Number:
	  	 

  

			
	 Name:
	  	 

  

			
	 Street Address:
	  	 

  

			
	 City, State and Zip Code:
	  	 

  
 2 

 Form of Assignment 

For value received, the undersigned registered Warrantholder of the within Warrant Certificate hereby sells, assigns and transfers unto
the Assignee(s) named below (including the undersigned with respect to any Warrants constituting a part of the Warrants evidenced by the within Warrant Certificate not being assigned hereby) all of the right, title and interest of the undersigned
under the within Warrant Certificate with respect to the number of Warrants set forth below. 
  

							
	 	 	 	 	 	 	Social Security Number
	 	 	 	 	 	 	or other Identifying
	Name of Assignees	 	Address	 	Number of Warrants	 	Number

 and does irrevocably constitute and appoint [                    ], the undersigned’s
attorney, to make such transfer on the books of the Company maintained for the purpose, with full power of substitution in the premises. 

Dated: 
  

			
		
	Holder:	 	 
	By:	 	 
	Name:	 	 
	Title:	 	 

 Signature guaranteed by (if a guarantee is required):Master Transaction Agreement, dated as of November 29, 2011

 Exhibit 10.1 
 MASTER TRANSACTION AGREEMENT 
 By and among 

SOHU.COM INC., 
 SOHU.COM LIMITED, 
 BEIJING SOHU INTERNET INFORMATION SERVICE CO., LTD.

 BEIJING SOHU NEW ERA INFORMATION TECHNOLOGY CO., LTD., AND 

BEIJING SOHU NEW MEDIA INFORMATION TECHNOLOGY CO., LTD. 
 And 
 CHANGYOU.COM LIMITED, 

CHANGYOU.COM HK LIMITED, 
 BEIJING CHANGYOU GAMESPACE SOFTWARE TECHNOLOGY CO., LTD., AND 
 BEIJING
GUANYOU GAMESPACE DIGITAL TECHNOLOGY CO., LTD. 
  
  

NOVEMBER 29, 2011 
  

 

 TABLE OF CONTENTS 
  

											
	Article I            DEFINITIONS	  	 	2	  
		
	Article II           PURCHASE AND SALE	  	 	9	  
				
		  	Section 2.01.	    	Purchase and Sale of the 17173 Business	  	 	9	  
				
		  	Section 2.02.	    	Excluded Assets	  	 	10	  
				
		  	Section 2.03.	    	Assumed Liabilities	  	 	11	  
				
		  	Section 2.04.	    	Excluded Liabilities	  	 	11	  
				
		  	Section 2.05.	    	Purchase Price	  	 	12	  
				
		  	Section 2.06.	    	Allocation of Purchase Price	  	 	13	  
				
		  	Section 2.07.	    	Non-Assignability of Assigned Contracts	  	 	13	  
				
		  	Section 2.08.	    	Excluded IP Assets	  	 	14	  
				
		  	Section 2.09.	    	17173 SPA	  	 	14	  
		
	Article III          CLOSING; DELIVERABLES UPON EXECUTION OF THIS AGREEMENT	  	 	14	  
				
		  	Section 3.01.	    	Closing	  	 	14	  
				
		  	Section 3.02.	    	Deliverables upon Execution of this Agreement	  	 	14	  
		
	Article IV          REPRESENTATIONS AND WARRANTIES OF THE SELLERS	  	 	15	  
				
		  	Section 4.01.	    	Organization and Qualification of the Sellers	  	 	15	  
				
		  	Section 4.02.	    	Authority of the Sellers	  	 	15	  
				
		  	Section 4.03.	    	No Conflicts; Consents	  	 	16	  
				
		  	Section 4.04.	    	Financial Statements	  	 	16	  
				
		  	Section 4.05.	    	Absence of Certain Changes, Events and Conditions	  	 	18	  
				
		  	Section 4.06.	    	Material Contracts	  	 	19	  
				
		  	Section 4.07.	    	Title to Purchased Assets	  	 	20	  
				
		  	Section 4.08.	    	Condition and Sufficiency of Assets	  	 	21	  
				
		  	Section 4.09.	    	Real Property	  	 	21	  
				
		  	Section 4.10.	    	Intellectual Property	  	 	22	  
				
		  	Section 4.11.	    	Legal Proceedings; Governmental Orders	  	 	23	  
				
		  	Section 4.12.	    	Compliance With Laws; Permits	  	 	23	  
				
		  	Section 4.13.	    	Employment Matters	  	 	24	  
				
		  	Section 4.14.	    	Taxes	  	 	25	  
				
		  	Section 4.15.	    	Kylie	  	 	25	  
				
		  	Section 4.16.	    	Related Party Interest	  	 	26	  

  
 i 

									
		 	Section 4.17.	    	Insurance	  	 	26	  
				
		 	Section 4.18.	    	Brokers	  	 	26	  
		
	Article V            REPRESENTATIONS AND WARRANTIES OF THE BUYERS	  	 	27	  
				
		 	Section 5.01.	    	Organization of the Buyers	  	 	27	  
				
		 	Section 5.02.	    	Authority of the Buyers	  	 	27	  
				
		 	Section 5.03.	    	Conflicts; Consents	  	 	27	  
				
		 	Section 5.04.	    	Brokers	  	 	27	  
				
		 	Section 5.05.	    	Sufficiency of Funds	  	 	28	  
				
		 	Section 5.06.	    	Legal Proceedings	  	 	28	  
		
	Article VI          COVENANTS	  	 	28	  
				
		 	Section 6.01.	    	Conduct of 17173 Business Prior to the Closing	  	 	28	  
				
		 	Section 6.02.	    	Access to Information	  	 	29	  
				
		 	Section 6.03.	    	Notice of Certain Events	  	 	29	  
				
		 	Section 6.04.	    	Employees and Employee Benefits	  	 	30	  
				
		 	Section 6.05.	    	Confidentiality	  	 	31	  
				
		 	Section 6.06.	    	Government Approvals; Consents	  	 	31	  
				
		 	Section 6.07.	    	Books and Records	  	 	32	  
				
		 	Section 6.08.	    	Closing Conditions	  	 	32	  
				
		 	Section 6.09.	    	Public Announcements	  	 	32	  
				
		 	Section 6.10.	    	Bulk Sales Laws	  	 	32	  
				
		 	Section 6.11.	    	Taxes	  	 	32	  
				
		 	Section 6.12.	    	Payment from Third Parties	  	 	33	  
				
		 	Section 6.13.	    	Introduction of Customers	  	 	33	  
				
		 	Section 6.14.	    	Further Assurances; Transition Services	  	 	33	  
				
		 	Section 6.15.	    	Unregistered Trademarks	  	 	33	  
				
		 	Section 6.16.	    	Registered Trademarks	  	 	34	  
		
	Article VII        CONDITIONS TO CLOSING	  	 	34	  
				
		 	Section 7.01.	    	Conditions to Obligations of the Buyers	  	 	34	  
				
		 	Section 7.02.	    	Conditions to Obligations of the Sellers	  	 	36	  
		
	Article VIII       INDEMNIFICATION	  	 	36	  
				
		 	Section 8.01.	    	Survival	  	 	36	  
				
		 	Section 8.02.	    	Indemnification By the Sellers	  	 	37	  
				
		 	Section 8.03.	    	Indemnification By the Buyers	  	 	38	  

  
 ii 

									
		 	Section 8.04.	    	Certain Limitations	  	 	38	  
				
		 	Section 8.05.	    	Indemnification Procedures	  	 	38	  
				
		 	Section 8.06.	    	Payments	  	 	40	  
				
		 	Section 8.07.	    	Tax Treatment of Indemnification Payments	  	 	40	  
				
		 	Section 8.08.	    	Exclusive Remedies	  	 	40	  
		
	Article IX          TERMINATION	  	 	40	  
				
		 	Section 9.01.	    	Termination	  	 	40	  
				
		 	Section 9.02.	    	Effect of Termination	  	 	41	  
		
	Article X           MISCELLANEOUS	  	 	41	  
				
		 	Section 10.01.	    	Expenses	  	 	41	  
				
		 	Section 10.02.	    	Notices	  	 	42	  
				
		 	Section 10.03.	    	Interpretation	  	 	42	  
				
		 	Section 10.04.	    	Headings	  	 	42	  
				
		 	Section 10.05.	    	Severability	  	 	42	  
				
		 	Section 10.06.	    	Entire Agreement	  	 	43	  
				
		 	Section 10.07.	    	Successors and Assigns	  	 	43	  
				
		 	Section 10.08.	    	No Third-party Beneficiaries	  	 	43	  
				
		 	Section 10.09.	    	Amendment and Modification; Waiver	  	 	43	  
				
		 	Section 10.10.	    	Governing Law and Dispute Resolution	  	 	43	  
				
		 	Section 10.11.	    	Specific Performance	  	 	44	  
				
		 	Section 10.12.	    	Counterparts	  	 	44	  

  
 iii

 LIST OF EXHIBITS AND SCHEDULES 
 EXHIBITS 
  

			
	Exhibit A	  	Amended and Restated Non-Competition Agreement
	Exhibit B	  	Sohu Limited/Changyou HK Share Purchase Agreement
	Exhibit C	  	Sohu Internet/Gamespace VIE Domain Name Assignment Agreement
	Exhibit D	  	Sohu New Era/Gamespace VIE Business Contract Assignment Agreement
	Exhibit E	  	Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement
	Exhibit F	  	Sohu Internet/Gamespace VIE Copyright Assignment Agreement
	Exhibit G	  	Sohu New Media/Gamespace Asset Reorganization Agreement
	Exhibit H	  	Form of Non-Competition and Non-Solicitation Agreement for All Employees
	Exhibit I	  	Form of PRC Legal Opinion

 SCHEDULES 
 Schedule 1 
 Schedule 2.01(a)(i) 
 Schedule 2.01(a)(ii) 
 Schedule 2.01(a)(iii) 

Schedule 2.01(a)(iv) 
 Schedule 2.02(c)

 Schedule 2.02(i) 
 Schedule 6.13(b)

 Schedule 6.14 
 Disclosure Schedules

  
 iv 

 MASTER TRANSACTION AGREEMENT 

This Master Transaction Agreement (this “Agreement”), dated as of November 29, 2011, is entered into by and
among, on the one hand, Sohu.com Inc., a Delaware corporation (“Sohu”), Sohu.com Limited, a company established and existing under the Laws of the Cayman Islands and a direct wholly-owned subsidiary of Sohu (“Sohu
Limited”), Beijing Sohu Internet Information Service Co., Ltd., a company organized and existing under the Laws of the PRC and a variable interest entity indirectly controlled by Sohu (“Sohu Internet”), Beijing
Sohu New Era Information Technology Co., Ltd., a company organized and existing under the Laws of the PRC and an indirect wholly-owned subsidiary of Sohu (“Sohu New Era”), Beijing Sohu New Media Information Technology Co.,
Ltd., a company organized and existing under the Laws of the PRC and an indirect wholly-owned subsidiary of Sohu (“Sohu New Media” and together with each of Sohu, Sohu Limited, Sohu Internet and Sohu New Era, each a
“Seller” and collectively, the “Sellers”), and, on the other hand, Changyou.com Limited, a company established and existing under the Laws of the Cayman Islands and an indirect majority-owned
subsidiary of Sohu (“Changyou”), Changyou.com HK Limited, a company established and existing under the Laws of Hong Kong Special Administrative Region (“Changyou HK”), Beijing Changyou Gamespace
Software Technology Co., Ltd., a limited liability company organized and existing under the Laws of the PRC and an indirect wholly-owned subsidiary of Changyou (“Gamespace”), Beijing Guanyou Gamespace Digital Technology Co.,
Ltd., a limited liability company organized and existing under the Laws of the PRC and a variable interest entity of Gamespace (the “Gamespace VIE”), and together with each of Changyou, Changyou HK, and Gamespace, each a
“Buyer” and collectively, the “Buyers”). 
 RECITALS 

WHEREAS, the Sellers are the operators of the websites www.17173.com and www.37wanwan.com (collectively, the
“Websites”), each an online game portal in China, and are engaged in the 17173 Business (as defined below); and 
 WHEREAS, the Sellers wish to sell, and the Buyers wish to purchase, the 17173 Business at the Closing, all upon the terms and subject to the conditions set forth in this Agreement, pursuant to this
Agreement and the following steps: 
 (i) Sohu Limited shall sell and assign to Changyou HK, and Changyou HK shall purchase from
Sohu Limited, 100% of the Equity Securities of Kylie Enterprises Limited, a company established and existing under the Laws of the British Virgin Islands and a direct wholly-owned subsidiary of Sohu Limited (“Kylie”),
pursuant to the Sohu Limited/Changyou HK Share Purchase Agreement, 
 (ii) Sohu Internet shall sell and assign to Gamespace VIE,
and Gamespace VIE shall purchase and assume from Sohu Internet, certain domain names of the 17173 Business and all rights and obligations thereto pursuant to the Sohu Internet/Gamespace VIE Domain Name Assignment Agreement, 

(iii) Sohu Internet shall sell and assign to Gamespace VIE, and Gamespace VIE shall purchase and assume from Sohu Internet, certain
registered copyrights of the 17173 Business and all rights and obligations thereto pursuant to the Sohu Internet/Gamespace VIE Copyright Assignment Agreement, 
 (iv) Sohu New Era shall sell and assign to Gamespace VIE, and Gamespace VIE shall purchase and assume from Sohu New Era, certain specified assets and liabilities of the 17173 Business pursuant to the Sohu
New Era/Gamespace VIE Business Contracts Assignment Agreement, 
 (v) Sohu New Era shall sell and assign to Gamespace VIE, and
Gamespace VIE shall purchase and assume from Sohu New Era, certain registered trademarks of the 17173 Business and all rights and obligations thereto, and Sohu New Era shall grant Gramespace VIE an exclusive, perpetual, and irrevocable license under
such trademarks for the period until the transfer of such trademarks becomes effective pursuant to the Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement, 

 (vi) Sohu New Media shall sell and assign to Gamespace, and Gamespace shall purchase and
assume from Sohu New Media, certain specified assets and liabilities of the 17173 Business pursuant to the Sohu New Media/Gamespace Asset Reorganization Agreement, and 
 (vii) Sohu and Changyou shall enter into the Amended and Restated Non-Competition Agreement. 
 NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged,
the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 The following terms have the meanings specified or referred
to in this Article I: 
 “17173 Business” means the online game information portal, web-based
game platform, software applications development and distribution, and other game-related services conducted or engaged in by the Seller Group in connection with or through the Websites currently and as of the Closing Date, consisting of, among
other things, (i) links to the games of online game companies that are customers of the Websites, with the Sellers being compensated by such customers according to the revenues that such customers earn from game players who reach the
customers’ games using click-throughs from the Websites and (ii) advertising services provided by the Sellers to advertisers on the Websites. 
 “Accounts Receivable” means all accounts or notes receivable with respect to the 17173 Business, and any security, claim, remedy or other right related to any of the foregoing.

 “Action” means any charge, claim, action, cause of action, demand, lawsuit, arbitration, inquiry,
audit, notice of violation, proceeding, litigation, citation, summons, subpoena or investigation of any nature, civil, criminal, administrative, regulatory or otherwise, whether at law or in equity, whether or not before any mediator, arbitrator or
Governmental Authority. 
 “Affiliate” of a Person means any other Person that directly or indirectly,
through one or more intermediaries, controls, is controlled by, or is under common control with, such Person. The term “control” (including the terms “controlled by” and “under common control with”) means the
possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities, by contract or otherwise. For the purposes of this Agreement, however,
the Sellers and the other Seller Group Companies will not be deemed to be Affiliates of the Buyers, and the Buyers and the other Buyer Group Companies will not be deemed to be Affiliates of the Sellers. 

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

“Allocation Schedule” has the meaning set forth in Section 2.06. 

“Amended and Restated Non-Competition Agreement” means the Amended and Restated Non-Competition Agreement by and
between Sohu and Changyou, to be executed and delivered at the Closing in substantially the form attached hereto as Exhibit A. 

  
 2 

 “Arbitration Rules” has the meaning set forth in
Section 10.10(b). 
 “Assigned Contracts” has the meaning set forth in Section 2.01(a)(iii).

 “Assigned Insurance Policies” has the meaning set form in Section 2.01(a)(iv). 

“Assumed Liabilities” has the meaning set forth in Section 2.03(a). 

“Audited Financial Statements” has the meaning set forth in Section 4.04. 

“Balance Sheet” has the meaning set forth in Section 4.04. 

“Balance Sheet Date” has the meaning set forth in Section 4.04. 

“Books and Records” means, all originals, or where not available, copies (whether in an electronic form or
otherwise), of all books and records primarily related to or maintained primarily for the 17173 Business, including, but not limited to, books of account, ledgers and general, financial and accounting records, machinery and equipment maintenance
files, customer lists, customer purchasing histories, price lists, user database, server records, distribution lists, supplier lists, production data, quality control records and procedures, customer/user complaints and inquiry files, research and
development files, records and data (including all correspondence with any Governmental Authority), employment records, personnel and payroll records, sales material and records (including pricing history, total sales, terms and conditions of sale,
sales and pricing policies and practices), strategic plans, internal financial statements, marketing and promotional surveys and plans, market search, user reviews and feedback, market studies, reports and summaries, material and research and
intellectual property files relating to the Intellectual Property Assets and the Intellectual Property Licenses. 

“Business Day” means any day except Saturday, Sunday or any other day on which commercial banks located in the
Cayman Islands, the PRC, Hong Kong Special Administrative Region, or the United States of America are authorized or required by Law to be closed for business. 
 “Buyer” and “Buyers” has the meaning set forth in the preamble. 
 “Buyer Deductible Exclusions” has the meaning set forth in Section 8.04(a). 
 “Buyer Closing Certificates” has the meaning set forth in Section 7.02(g). 
 “Buyer Group” means collectively, the Buyers and their direct and indirect Subsidiaries. 
 “Buyer Group Company” means a member of the Buyer Group. 

“Buyer Indemnitees” has the meaning set forth in Section 8.02. 

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

“Changyou HK” has the meaning set forth in the preamble. 

“Circular 698” means the Notice of the State Administration of Taxation on Strengthening the Management of
Enterprise Income Tax Collection of Proceeds from Equity Transfers by Non-resident Enterprises, Guoshuihan [2009] No. 698. 

  
 3 

 “Closing” has the meaning set forth in Section 3.01. 

“Closing Date” has the meaning set forth in Section 3.01. 

“Code” means the Internal Revenue Code of 1986, as amended. 

“Contracts” means all contracts, leases, deeds, mortgages, licenses, instruments, notes, commitments,
undertakings, indentures, joint ventures and all other agreements, commitments and legally binding arrangements, whether written or oral. 
 “Deductible” has the meaning set forth in Section 8.04(a). 

“Direct Claim” has the meaning set forth in Section 8.05(c). 

“Disclosure Schedules” means the Disclosure Schedules delivered by the Sellers concurrently with the execution
and delivery of this Agreement. 
 “Dollars or $” means the lawful currency of the United States.

 “Employment Dispatch Agencies” means Fuzhou Straight Human Talent Services Ltd.
(福州海峡人才服务有限公司), Fuzhou Heng Zhong Human Resources Management Limited
(福州恒众人力资源管理有限公司), Guang Dong Nan You External Services Limited
(广东南油对外服务有限公司) and other employment dispatch agencies which dispatch their employees to work at any of the Seller Group Companies prior to the Closing, or any
applicable Buyer Group Company on or after the Closing, in each case as contract employees thereof in relation to the 17173 Business. 
 “Encumbrance” means any charge, claim, community property interest, pledge, condition, equitable interest, lien (statutory or other), option, security interest, mortgage, easement,
encroachment, right of way, right of first refusal, rights of third parties, or restriction of any kind, including any restriction on use, voting, transfer, receipt of income or exercise of any other attribute of ownership. 

“Equity Securities” of any Person means (a) shares of capital stock, limited liability company interests,
partnership interests or other equity securities of such Person, (b) subscriptions, calls, warrants, options or commitments of any kind or character relating to, or entitling any Person to purchase or otherwise acquire, any capital stock,
limited liability company interests, partnership interests or other equity securities of such Person, (c) securities convertible into or exercisable or exchangeable for shares of capital stock, limited liability company interests, partnership
interests or other equity securities of such Person, and (d) equity equivalents, interests in the ownership or earnings of, or equity appreciation, phantom stock or other similar rights of, or with respect to, such Person. 

“Excluded Assets” has the meaning set forth in Section 2.02. 

“Excluded Contracts” has the meaning set forth in Section 2.02(c). 

“Excluded Liabilities” has the meaning set forth in Section 2.04. 

“Financial Statements” has the meaning set forth in Section 4.04. 

“Force Majeure” means an act of God, strike, lockout, war (declared or undeclared), blockade, disturbance,
lightning, fire, earthquake, storm, flood, explosion, and any other cause which is beyond the reasonable control of the Person affected. 

  
 4 

 “GAAP” means the generally accepted accounting principles
established by the Financial Accounting Standards Board of the United States, as amended from time to time. 

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

“Gamespace VIE” has the meaning set forth in the preamble. 

“Governmental Authority” means any federal, state, local or foreign government or political subdivision thereof,
or any agency or instrumentality of such government or political subdivision, or any self-regulated organization or other non-governmental regulatory authority or quasi-governmental authority (to the extent that the rules, regulations or orders of
such organization or authority have the force of Law), or any arbitrator, court or tribunal of competent jurisdiction. 

“Governmental Order” means any order, writ, decision, judgment, injunction, decree, stipulation, determination or
award or other findings entered by or with any Governmental Authority. 
 “Indemnified Party” has the
meaning set forth in Section 8.05. 
 “Indemnifying Party” has the meaning set forth in Section 8.05.

 “Indemnity Cap” has the meaning set forth in Section 8.04(a). 

“Intellectual Property” means any and all (i) registered and unregistered trademarks, trade names, service
marks, and domain names, and goodwill associated therewith; (ii) registered and unregistered original works of authorship and related copyrights (including copyrights in software); (iii) trade secrets, know-how, other proprietary
information, including manufacturing and production processes and techniques, research and development information, drawings, specifications, blueprints, models, data, plans, proposals, financial, marketing and business information, pricing and cost
information and customer and supplier lists and information; (iv) designs and inventions and related patents; (v) similar intangible property in which any Person holds proprietary rights, title, interests or protections, however arising,
pursuant to the Laws of any jurisdiction throughout the world, (vi) all applications, registrations, renewals, issues, reissues, divisions, extensions and continuations in connection with any of the foregoing; (vii) copies and tangible
embodiments of all of the foregoing, in whatever form or medium; and (viii) all rights to sue or recover and retain damages, costs and attorney’s fees for past, present and future infringement or other violation of any of the foregoing.

 “Intellectual Property Assets” means all Intellectual Property that is owned by the Sellers and used
in or necessary for the conduct of the 17173 Business as conducted by the Sellers currently and as of the Closing Date. 

“Intellectual Property Licenses” means all licenses, sublicenses and other agreements by or through which other
Persons, including without limitation the Sellers’ Affiliates, grant any of the Sellers exclusive or non-exclusive rights or interests in or to any Intellectual Property that is used in or necessary for the conduct of the 17173 Business as
conducted by the Sellers currently and as of the Closing Date, 
 “Intellectual Property Registrations”
means all Intellectual Property Assets that are subject to any issuance, registration, application or other filing by, to or with any Governmental Authority or authorized private registrar in any jurisdiction, including registered trademarks, domain
names and copyrights, issued and reissued patents and pending applications for any of the foregoing. 

  
 5 

 “Interim Financial Statements” has the meaning set forth in Section
4.04. 
 “Inventory” means all inventory related to the 17173 Business, including without limitation,
any prepaid game cards, work in progress, samples, wrapping, supply and packaged items, finished products, and any materials to be used or consumed for delivering services or goods. 

“Key Employees” means all employees of the Seller Group as listed on Schedule 1 attached hereto.

 “Knowledge of Sellers or Sellers’ Knowledge” or any other similar knowledge qualification, means
the actual knowledge of any executive officer of Sohu and Jie (Joyce) Zhang, the general manager of the 17173 Business, and the knowledge which should have been acquired by such executive officer or by Ms. Zhang after making reasonable inquiry
and exercising such due diligence as a prudent business person would ordinarily exercise. 
 “Kylie” has
the meaning set forth in the recitals. 
 “Law” means any statute, law, ordinance, regulation, rule,
code, order, constitution, treaty, official interpretations, common law, judgment, decree, other requirement or rule of law of any Governmental Authority. 
 “Leased Real Property” has the meaning set forth in Section 4.09(b). 
 “Leases” has the meaning set forth in Section 4.09(b). 

“Liabilities” means liabilities, obligations or commitments of any nature whatsoever, asserted or unasserted,
known or unknown, absolute or contingent, accrued or unaccrued, matured or unmatured or otherwise. 

“Losses” means losses, damages, liabilities, deficiencies, Actions, judgments, interest, awards, penalties,
fines, settlement, costs or expenses of whatever kind, including reasonable attorneys’ fees and the cost of enforcing any right to indemnification hereunder and the cost of pursuing any insurance providers; provided,
however, that “Losses” shall not include punitive damages, except in the case of fraud or to the extent actually awarded to a Governmental Authority or other third party. 

“Material Adverse Effect” means any event, occurrence, fact, condition or change that is, or could reasonably be
expected to become, individually or in the aggregate, materially adverse to (a) the business, properties, results of operations, condition (financial or otherwise), prospects, liabilities, employees or assets of the 17173 Business taken as a
whole, (b) the value of the Purchased Assets, (c) the ability of the Sellers to consummate the transactions contemplated hereby on a timely basis, or (d) the validity or enforceability of any Transaction Documents;
provided, however, that “Material Adverse Effect” shall not include any event, occurrence, fact, condition, or change, directly or indirectly, arising out of or attributable to: (i) any
economic slow-down or downturn in the PRC or other material adverse changes to the conditions in the industry sector of the 17173 Business, in each case other than those which have disproportional impact on the Sellers as compared with the other
companies of similar size and in similar industry sector; (ii) any change, effect or circumstance resulting from an action expressly required under this Agreement; or (iii) conditions caused by acts of terrorism or war (whether or not
declared)(iv) any adverse changes in Laws following the date hereof; or (v) any changes in GAAP following the date hereof. 

  
 6 

 “Material Contracts” has the meaning set forth in Section 4.06(a).

 “Permits” means all permits, licenses, franchises, approvals, authorizations, registrations,
certificates, authorizations, waivers, grants, license, exemption, declaration or filing with, or report or notice to, variances and similar rights obtained, or required to be obtained from, Governmental Authorities. 

“Permitted Encumbrances” has the meaning set forth in Section 4.07. 

“Person” means an individual, corporation, partnership, joint venture, limited liability company, Governmental
Authority, unincorporated organization, trust, association or other entity. 
 “Principal Tribunal” has
the meaning set forth in Section 10.10(c). 
 “PRC” means the People’s Republic of China,
excluding Taiwan, the Hong Kong Special Administrative Region and the Macao Special Administrative Region. 

“Pre-Closing Tax Period” means any taxable period ending on or before December 31, 2011 and, with respect to
any taxable period beginning on or prior to and ending after December 31, 2011, the portion of such taxable period ending on and including December 31, 2011. 
 “Purchase Price” has the meaning set forth in Section 2.05(a) . 
 “Purchased Assets” has the meaning set forth in Section 2.01(a). 
 “Renminbi or RMB” means the lawful currency of the PRC. 

“Representative” means, with respect to any Person, any and all directors, officers, employees, consultants,
financial advisors, counsel, accountants and other agents of such Person. 
 “SAFE Rules and
Regulations” means the rules and regulations promulgated by the State Administration of Foreign Exchange of the PRC, and/or its provincial counterparts. 
 “Seller” and “Sellers” has the meaning set forth in the preamble. 
 “Seller Deductible Exclusions” has the meaning set forth in Section 8.04(b). 
 “Seller Closing Certificate” has the meaning set forth in Section 7.01(i). 
 “Seller Group” means collectively, the Sellers and their direct and indirect Subsidiaries, other than the Buyer Group. 

“Seller Group Company” means a member of the Seller Group. 

“Seller Indemnitees” has the meaning set forth in Section 8.03. 

“Social Insurance” means any form of social insurance required under applicable Laws, including without
limitation, the PRC national and local contributions for pensions, medical insurance, unemployment insurance, work-related injury insurance, pregnancy benefits, and housing accumulation funds. 

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

  
 7 

 “Sohu Limited” has the meaning set forth in the preamble.

 “Sohu Limited/Changyou HK Share Purchase Agreement” means the Share Purchase Agreement by and between
Sohu Limited and Changyou HK in the form attached hereto as Exhibit B. 
 “Sohu Internet”
has the meaning set forth in the preamble. 
 “Sohu Internet/Gamespace VIE Copyright Assignment
Agreement” means the Copyright Assignment Agreement by and between Sohu Internet and Gamespace VIE, substantially in the form attached hereto as Exhibit F. 

“Sohu Internet/Gamespace VIE Domain Name Assignment Agreement” means the Domain Name Assignment Agreement by and
between Sohu Internet and Gamespace VIE, to be executed and delivered on or prior to the Closing in the form attached hereto as Exhibit C. 
 “Sohu New Era” has the meaning set forth in the preamble. 

“Sohu New Era/Gamespace VIE Business Contracts Assignment Agreement” means the Business Contracts Assignment and
Assumption Agreement by and between Sohu New Era and Gamespace VIE, substantially in the form attached hereto as Exhibit D. 
 “Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement” means the Registered Trademark Assignment Agreement by and between Sohu New Era and Gamespace VIE,
substantially in the form attached hereto as Exhibit E. 
 “Sohu New Media” has the
meaning set forth in the preamble. 
 “Sohu New Media/Gamespace Asset Reorganization Agreement” means
the Asset Reorganization Agreement by and between Sohu New Media and Gamespace, to be executed and delivered on or prior to the Closing in the form attached hereto as Exhibit G. 

“Subsidiary” means, with respect to any given Person, any other Person that is Controlled directly or indirectly
by such given Person. For the avoidance of doubt, a variable interest entity of any given Person shall be deemed to be a Subsidiary of such Person. 
 “Tangible Personal Property” means all furniture, fixtures, equipment, machinery, tools, vehicles, office equipment, supplies, computers, servers, telephones, motor vehicles and
transportation equipment, all computer hardware and information services systems, and other tangible personal property related to the 17173 Business. 
 “Taxes” means (i) all country, federal, provincial, state, local and other income, gross receipts, sales, use, production, ad valorem, transfer, documentary, franchise,
registration, profits, license, lease, service, service use, withholding, payroll, employment, unemployment, estimated, excise, severance, environmental, stamp, occupation, premium, property (real or personal), real property gains, windfall profits,
customs, duties or other taxes, fees, assessments or charges of any kind whatsoever, together with any interest, additions or penalties with respect thereto and any interest in respect of such additions or penalties and (ii) any liability or
obligation imposed on a successor or transferee, by contract or otherwise, with respect to any items described in clause (i). 

“Tax Return” means any return, declaration, report, claim for refund, information return or statement or other
document relating to Taxes, including any schedule or attachment thereto, and including any amendment thereof. 

  
 8 

 “Third Party Claim” has the meaning set forth in
Section 8.05(a). 
 “Transaction Documents” means this Agreement, the Amended and Restated
Non-Competition Agreement, the Sohu Limited/Changyou HK Share Purchase Agreement, the Sohu Internet/Gamespace VIE Domain Name Assignment Agreement, the Sohu Internet/Gamespace VIE Copyright Assignment Agreement, the Sohu New Era/Gamespace VIE
Business Contracts Assignment Agreement, the Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement, the Sohu New Media/Gamespace Asset Reorganization Agreement, and the other agreements, instruments and documents required to be
delivered simultaneously with the execution of this Agreement or at the Closing, as the case may be. 

“Seller” and “Sellers” has the meaning set forth in the preamble. 

“Websites” has the meaning set forth in the recitals. 

ARTICLE II 

PURCHASE AND SALE 
 Section 2.01. Purchase and Sale of the 17173 Business. 
 (a)
Subject to the terms and conditions of this Agreement, at the Closing, each of Sohu New Media, Sohu New Era and Sohu Internet shall sell, assign, transfer, convey and deliver to Changyou, Gamespace and Gamespace VIE, and Changyou, Gamespace, and
Gamespace VIE shall purchase from such Seller, free and clear of any Encumbrances other than Permitted Encumbrances, all of such Seller’s right, title and interest in, to and under all of the assets, properties and rights of every kind and
nature, whether real, personal or mixed, tangible or intangible (including goodwill), wherever located and whether now existing or hereafter acquired (other than the Excluded Assets), which relate to, or are used or held for use in connection with,
the 17173 Business (such assets, properties and rights, collectively with the Kylie Share, the “Purchased Assets”), including, without limitation, the following: 

(i) (A) all Inventory, (B) all Tangible Personal Property, (C) all Leased Real Property (as defined below) and (D) all
Books and Records, including, without limitation, those set forth on Schedule 2.01(a)(i) attached hereto; 
 (ii) (A) all
Intellectual Property Assets, including, without limitation, those set forth on Schedule 2.01(a)(ii) attached hereto, other than those Intellectual Property Assets that are also used by the Sellers or other Seller Group Companies for the
conduct of business outside of the 17173 Business as of the Closing Date (such Intellectual Property Assets, the “Excluded IP Assets”), (B) all rights to any Actions of any nature available to or being pursued by any of
the Seller Group Companies to the extent (and limited to the extent that) related to the 17173 Business, the Purchased Assets or the Assumed Liabilities, whether arising by way of counterclaim or otherwise, including without limitation, all rights,
claims and benefits of the Sellers in, to or under any express or implied warranties, representations and guarantees made by or from third parties relating to the 17173 Business or the Purchased Assets, and (C) all of the rights of the Seller
Group Companies under warranties, indemnities and all similar rights against third parties to the extent related to any of the Purchased Assets; 
 (iii) all Contracts, including Intellectual Property Licenses, set forth on Schedule 2.01(a)(iii) attached hereto (the “Assigned Contracts”); 

  
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 (iv) the insurance policies insuring the Purchased Assets set forth on Schedule
2.01(a)(iv) attached hereto (the “Assigned Insurance Policies”); 
 (v) all goodwill and the going
concern value of the 17173 Business; and 
 (vi) all rights of the Sellers under 17173.com Stock Purchase Agreement dated
November 14, 2003 by and among Sohu.com Limited and NetDragon Websoft, Inc. (the “17173 SPA”) and other agreements entered into in relation thereto, including without limitation, the right of first refusal as set forth
in Section 7.7 of the 17173 SPA. 
 (b) Subject to the terms and conditions of this Agreement, at the Closing, Sohu Limited
shall sell, assign, transfer, convey and deliver to Changyou HK, and Changyou HK shall purchase from Sohu Limited, free and clear of any Encumbrances other than Permitted Encumbrances, all of Sohu Limited’s right, title and interest in and to
100% of the Equity Securities of Kylie. 
 Section 2.02. Excluded Assets. Notwithstanding the
foregoing, the Purchased Assets shall not include the following assets, which otherwise relate to, or are used or held for use in connection with, the 17173 Business (collectively, the “Excluded Assets”): 

(a) any right, title and interest held by any Seller Group Company in and to the Equity Securities of any Person other than Kylie;

 (b) all of the Sellers’ bank accounts, and all cash, cash equivalents, bank deposits or similar cash items of the Seller
Group Companies; 
 (c) all Contracts as set forth in Schedule 2.02(c) attached hereto that will not be assigned to the
Buyer Group (the “Excluded Contracts”); 
 (d) all Accounts Receivable of the Sellers arising with
respect to goods or services provided during periods on or prior to December 31, 2011; 
 (e) the corporate seals,
organizational documents, minute books, stock books, Tax Returns, books of account or other records solely in respect of the corporate organization of any of the Seller Group Companies, provided that if any of the foregoing records relates to the
17173 Business, a copy of such records shall be provided to the Buyer Group at the Closing; 
 (f) all intercompany receivables
or rights to intercompany payments; 
 (g) all insurance policies or benefits as set forth in Schedule 2.02(g) attached
hereto that will not be assigned to the Buyer Group; 
 (h) all Permits which are held by any of the Sellers and required for
the conduct of the 17173 Business as conducted by the Sellers or for the ownership and use of the Purchased Assets prior to the Closing and which are not legally transferrable to the Buyers under PRC law; 

(i) the assets, properties and rights specifically set forth on Schedule 2.02(i); and 

(j) the rights which accrue or will accrue to the Sellers under the Transaction Documents. 

  
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 Section 2.03. Assumed Liabilities. 

(a) Subject to the terms and conditions of this Agreement, at the Closing, each of the Sellers shall assign, and the Buyer Group shall
assume and agrees to pay, perform and discharge the following Liabilities of the Sellers, which arise out of the conduct of the 17173 Business by the Sellers or are related to the Purchased Assets (the “Assumed Liabilities”):

 (i) all Liabilities under the Assigned Contracts which are assigned to the Buyers incurred after December 31, 2011,
other than Liabilities arising under or relating to events or conditions prior to or on December 31, 2011; provided however, if any Consent with respect to the assignment of any Assigned Contract has not been obtained on or prior to the
Closing Date and the applicable Seller and the applicable Buyer have entered into an arrangement pursuant to clause (ii) or (iii) of Section 2.07(b) hereof, the Buyer Group shall assume and be responsible for the payment, performance
and discharge all Liabilities under such Assigned Contract incurred after December 31, 2011, other than Liabilities arising under or relating to events or conditions on or prior to December 31, 2011; and 

(ii) all Liabilities of Kylie (subject to the Buyers’ rights to indemnification under ARTICLE VIII). 

(b) For the avoidance of doubt, subject to the Buyers’ rights to indemnification under ARTICLE VIII, the Buyers shall bear
all the Liabilities arising from the ownership or use of the Purchased Assets or the operation of the 17173 Business following December 31, 2011 (including without limitation, all Liabilities arising out of the employment by the Buyer Group of
the Personnel following December 31, 2011), except for any Liabilities arising out of events or conditions occurring on or prior to December 31, 2011 that are not Assumed Liabilities. In addition, during the period from the Closing through
December 31, 2011 the Buyers shall comply with, and provide the services contemplated by, the Assigned Contracts which are assigned to the Buyers at the Closing and shall bear any Liabilities arising from the ownership or use of the Purchased
Assets or the operation of the 17173 Business during the period from the Closing through (and after) December 31, 2011, (i) resulting from the Buyer’s failure to comply with or provide the services contemplated by any such Assigned
Contracts, non-compliance with any applicable Laws or Governmental Order, gross negligence, bad faith, or willful misconduct, in each case, during such period, on the part of any of the Buyer Group Companies or (ii) due to Force Majeure.

 Section 2.04. Excluded Liabilities. The Buyers shall not assume and shall not be responsible to pay,
perform or discharge any Liabilities of the Sellers or any of their Affiliates (other than the Buyer Group) of any kind or nature whatsoever other than the Assumed Liabilities (the “Excluded Liabilities”). The Sellers shall,
and shall cause each of their Affiliates (other than the Buyer Group) to, pay and satisfy in due course all Excluded Liabilities which they are obligated to pay and satisfy. Without limiting the generality of the foregoing, the Excluded Liabilities
shall include, but not be limited to, the following: 
 (a) any Liabilities of the Seller Group arising or incurred in
connection with the negotiation, preparation, investigation and performance of this Agreement, the other Transaction Documents and the transactions contemplated hereby and thereby, including, without limitation, fees and expenses of counsel,
accountants, consultants, advisers and others; 
 (b) any Liabilities for (i) Taxes of or imposed on the Sellers (or any
stockholder or Affiliate of the Sellers) (other than the Buyer Group), (ii) Taxes relating to the 17173 Business, the Purchased Assets or the Assumed Liabilities for any Pre-Closing Tax Period; or (iii) Taxes that arise out of the
consummation of the transactions contemplated hereby or that are the responsibility of the Seller pursuant to Section 6.11; 
 (c) any Liabilities relating to any present or former employee, agent or independent contractor of the Seller Group Companies, whether or not such relevant employees, agents or independent contractors are
hired by the Buyer Group, to the extent such Liabilities relate to the matters or events prior to December 31, 2011, including, without limitation, any Liabilities associated with any claims for wages or other benefits, accrued vacation, any
unpaid Social Insurance, workers’ compensation, severance, retention, termination or other payments, and all Liabilities in connection with the termination of the employment of any present or former employee, agent or independent contractors of
the Seller Group Companies, whether through the Employment Dispatch Agency or not; except for the Severance Credit Liabilities as described in Section 6.04(b) hereof, which Liabilities shall be assumed, performed and discharged by applicable
Buyer Group Companies; 

  
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 (d) any Liabilities under the Excluded Contracts; 

(e) any Liabilities relating to or arising out of the Excluded Assets; 

(f) all payables of the Seller Group arising under the Assigned Contracts with respect to periods on or prior to December 31, 2011;

 (g) except as otherwise provided in Section 2.03, any Liabilities arising from the ownership and use of the Purchased
Assets or the operation of the 17173 Business (including without limitation, those arising under the Assigned Contracts) on or prior to December 31, 2011 (whether or not claims are made on or before or after December 31, 2011), including
without limitation, any Liabilities owed to any Governmental Authorities, any Liabilities relating to intellectual property infringement, any Liabilities arising out of or resulting from the Seller Group’s compliance or non-compliance with any
applicable Laws or Governmental Order, any Liabilities arising out of Actions pending as of December 31, 2011 or commenced after December 31, 2011 and arising out of or relating to any condition existing or event happening on or prior to
December 31, 2011; and 
 (h) any Liabilities of the Seller Group associated with the current or former shareholders of the
Seller Group in their capacity as shareholders, and any obligations of the Seller Group to indemnify, reimburse or advance amounts to any Representatives of the Seller Group in their capacity as Representatives. 

Section 2.05. Purchase Price. 
 (a) The aggregate purchase price for the Purchased Assets shall be US$162,500,000 (equivalent to RMB 1,032,687,500), consisting of (i) US$20,000,000 (equivalent to RMB 127,100,000) payable in US
dollar by Changyou HK to Sohu Limited in accordance with the Sohu Limited/Changyou HK Share Purchase Agreement, (ii) RMB 864,782,045 (equivalent to US$136,079,000) payable in RMB by Gamespace to Sohu New Media in accordance with Sohu New
Media/Gamespace Asset Reorganization Agreement, (iii) RMB 2,135,280 (equivalent to US$336,000) payable in RMB by Gamespace VIE to Sohu Internet in accordance with the Sohu Internet/Gamespace VIE Copyright Assignment Agreement, (iv) RMB
32,003,780 (equivalent to US$5,036,000) payable in RMB by Gamespace VIE to Sohu New Era in accordance with the Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement, and (v) RMB 6,666,395 (equivalent to US$1,049,000) payable in
RMB by Gamespace VIE to Sohu Internet in accordance with the Sohu Internet/Gamespace VIE Domain Name Assignment Agreement (the purchase price as set forth in clauses (i) through (v) collectively, the “Purchase
Price”), plus the assumption by the Buyers of the Assumed Liabilities. 
 (b) Within three Business Days following
the execution of this Agreement, the Buyers shall pay 20% of the Purchase Price in accordance with the Transaction Documents as set forth in clauses (i) through (v) of Section 2.05(a) (such amount, the
“Deposit”) to the applicable Sellers as a deposit by wire transfer of immediately available funds in US$ or RMB, as the case may be, to an account designated in writing by the Sellers to the Buyers on or prior to date hereof.
The Deposit shall be applied as follows: (a) if the Closing shall occur, the Deposit shall be applied toward payment of the Purchase Price in accordance with the Transaction Documents as set forth in clauses (i) through (v) of
Section 2.05(a); or (b) if this Agreement is terminated pursuant to Article IX, as soon as practicable following such termination, (1) the Sellers shall refund the Deposit to the applicable Buyer which has paid such Deposit, by
wire transfer of immediately available funds in RMB or US$, as the case may be, to an account designated in writing by the Buyers to the Sellers, and (2) simultaneously, the parties shall terminate (and take any other actions necessary to
rescind any transactions consummated pursuant to) the other Transaction Documents that were executed on the date hereof and unwind the transactions contemplated under any of the Transaction Documents which have been closed. If the Closing shall
occur, the Purchase Price less the Deposit (such amount, the “Closing Payment”) shall be paid on the Closing Date, (A) by wire transfer of immediately available funds in RMB to an account designated in writing by each of
the Sellers (except for Sohu Limited) to the Buyers no later than two (2) Business Days prior to the Closing Date in accordance with the Transaction Documents as set forth in clauses (ii) through (v) of Section 2.05(a),
and (B) by Changyou HK’s issuance and delivery of a promissory note in the principal amount of US$16,000,000 to Sohu Limited in accordance with the Sohu Limited/Changyou HK Share Purchase Agreement. Changyou shall pay, or cause the other
Buyers to pay, for the Purchase Price pursuant to the Transaction Documents as set forth in clauses (i) through (v) of Section 2.05(a), and the Buyers agree to be jointly and severally liable for the entire amount of the
Purchase Price. For the avoidance of doubt, the conversion rate between US$ and RMB under this Agreement shall be 6.355:1. 

  
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 Section 2.06. Allocation of Purchase Price. The Sellers and the Buyers
hereby acknowledge and confirm that the Purchase Price and the Assumed Liabilities (plus other relevant items) contemplated by Sections 2.01 and 2.03 have been allocated among the Purchased Assets for all purposes (including Tax and
financial accounting) as shown on the allocation schedule (the “Allocation Schedule”). A copy of the Allocation Schedule has been prepared by the Buyers and delivered to the Sellers, prior to the date hereof, and both parties
have agreed on such allocation shown on such Allocation Schedule. The Buyers and the Sellers shall file all Tax Returns (including amended returns and claims for refund) and information reports in a manner consistent with the Allocation Schedule,
and if any Governmental Authorities challenges the Allocation Schedule, the Buyers and the Sellers shall inform each other within five (5) Business Days follow receipt of any such challenge. 

Section 2.07. Non-Assignability of Assigned Contracts 

(a) To the extent that the sale, assignment, transfer, conveyance or delivery or attempted sale, assignment, transfer, conveyance or
delivery to the Buyers of any Assigned Contract is prohibited by any Law or would require any authorizations, approvals, consents or waivers (“Consent”) from any third party or Governmental Authorities and such Consents have
not been obtained on or prior to the Closing, this Agreement shall not constitute a sale, assignment, transfer, conveyance or delivery, or any attempted sale, assignment, transfer, conveyance or delivery of such Assigned Contract. 

(b) The Sellers agree to use their reasonable best efforts to obtain or satisfy, at the earliest practicable date, all Consents to
facilitate the full and expeditious transfer of the Assigned Contracts as of the Closing; provided however, that neither the Buyers nor the Sellers shall be required to pay any consideration therefor, nor shall the Sellers have any obligation
to extend or renew any such Assigned Contract that may expire in accordance with its own terms. If any Consents in relation to the transfer or assignment of any Assigned Contract are not obtained and/or satisfied prior to the Closing, the Buyer
Group will waive the requirement of completing the assignment of such Assigned Contracts at the Closing and, except for those Assigned Contracts as set forth in the Sohu New Era/Gamespace VIE Business Contracts Assignment Agreement, at the
Sellers’ expense: (i) the Sellers shall continue to use their reasonable best efforts to obtain such Consents; (ii) the Sellers shall at the Closing enter into such arrangements as the Buyers may reasonably request in order to provide
to the Buyers the benefit of any of the non-transferred Assigned Contracts, until such Contracts have been transferred to the Buyer Group; or (iii) the Sellers shall at the Closing, engage a Buyer Group Company as designated by the Buyers as
subcontractor to the Sellers (to the extent subcontracting is permissible under the relevant Assigned Contracts) or, where subcontracting is not permissible, as agents for the Sellers, for consideration consisting of service fees equal to the
aggregate amount payable to the Sellers by third parties under such Assigned Contracts, until such Contracts have been transferred to the Buyer Group or have expired in accordance with their own terms. Nothing herein shall be construed as an attempt
to transfer any Assigned Contract which by its terms requires Consent to do so unless such Consent has been obtained. 

  
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 (c) If the necessary Consent with respect to the assignment of the Assigned Contracts is
obtained following the Closing, the Sellers shall immediately assign and transfer any such Assigned Contracts to the Buyer Group at no additional cost, and the Buyer Group shall thereupon assume all obligations and liabilities of the Sellers under
any such Assigned Contract in accordance with the terms of this Agreement. 
 Section 2.08. Excluded IP
Assets. In partial consideration for the Purchase Price payable by the Buyers hereunder, each of the Sellers hereby grants to, and shall procure each other Seller Group Company to grant to, each of the Buyers, effective as of the
Closing, a perpetual, worldwide, royalty-free license (which license may be assigned, transferred or sublicensed to another Buyer Group Company) under the Excluded IP Assets (the “Excluded IP Assets License”) to use, copy,
install, modify, print, distribute, publish, and sell the Excluded IP Assets solely as used in or reasonably necessary for the ownership of the Purchased Assets and the operation of the 17173 Business by the Buyer Group in substantially the same
manner as conducted by the Seller Group as of the date hereof and as of the Closing Date (except as otherwise agreed upon by the parties hereto). 
 Section 2.09. 17173 SPA. Sohu Limited hereby agrees to assign, and Changyou hereby agrees to assume, effective upon the Closing, all the rights of Sohu Limited under the 17173
SPA and other agreements entered into in relation thereto, including without limitation, the right of first refusal set forth in Section 7.7 of the 17173 SPA. 
 ARTICLE III 
 CLOSING; DELIVERABLES UPON EXECUTION OF THIS AGREEMENT

 Section 3.01. Closing. Subject to the terms and conditions of this Agreement, the consummation of the
transactions contemplated by this Agreement (the “Closing”) shall take place at the offices of Sohu located at Level 12, Sohu.com Internet Plaza, No.1 Unit Zhongguancun East Road, Haidian District, Beijing, People’s
Republic of China, if all of the conditions to Closing set forth in Article VII are either satisfied or waived by the applicable Party (other than conditions which, by their nature, are to be satisfied on the Closing Date), on
December 15, 2011, or such other date as the Buyers and Sellers shall agree upon orally or in writing (the “Closing Date”). Subject to the foregoing, the Closing shall be deemed effective on the Closing Date immediately
prior to 12:00 a.m. on the day succeeding the Closing Date, local time in Beijing, PRC. For the avoidance of doubt, the Closing shall take place simultaneously with the closings under each of the other Transaction Documents, to the extent that such
closings have not taken place by then. 
 Section 3.02. Deliverables upon Execution of this Agreement.
Simultaneously with the execution of this Agreement: 
 (a) The following Transaction Documents will be duly executed and
delivered by all applicable Buyers and Sellers: (i) the Sohu Limited/Changyou HK Share Purchase Agreement, (ii) the Sohu Internet/Gamespace VIE Domain Name Assignment Agreement, (iii) the Sohu Internet/Gamespace VIE Copyright
Assignment Agreement, (iv) the Sohu New Era/Gamespace VIE Business Contracts Assignment Agreement, (v) the Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement, (vi) the Sohu New Media/Gamespace Asset Reorganization
Agreement; and (vii) the Amended and Restated Non-Competition Agreement. 

  
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 (b) The Sellers shall deliver to the Buyers (i) a good standing certificate in respect
of Kylie, issued by the applicable Governmental Authorities of the British Virgin Islands and dated no earlier than fifteen (15) days prior to the date hereof, (ii) the other deliverables required to be delivered at the closing under the
Sohu Limited/Changyou HK Share Purchase Agreement, and (iii) the deliverables required to be delivered under each other Transaction Documents on the date hereof, if any. 
 (c) Marsh Financial Advisory Services Limited, financial advisor to the Buyers, shall deliver (or shall have delivered previously) to the Buyers a “fairness opinion,” addressed to the Board of
Directors of Changyou, to the effect that the transactions contemplated by this Agreement are fair to the Buyers and Changyou’s shareholders, in form and substance acceptable to the Audit Committee of the Board of Directors of Changyou and the
Board of Directors of Changyou. 
 (d) American Appraisal, financial advisor to the Sellers, shall deliver (or shall have
delivered previously) to the Sellers a “fairness opinion,” addressed to the Audit Committee of the Board of Directors of Sohu, to the effect that the transactions contemplated by this Agreement are fair to the Sellers and Sohu’s
stockholders, in form and substance acceptable to the Audit Committee of the Board of Directors of Sohu and the Board of Directors of Sohu. 
 ARTICLE IV 
 REPRESENTATIONS AND WARRANTIES OF THE SELLERS 

Except as set forth in the correspondingly numbered Section of the Disclosure Schedules which constitute part of the representations and
warranties hereof, each of the Sellers hereby, jointly and severally, represents and warrants to the Buyers that the statements contained in this Article IV are true, correct, and not misleading as of the date hereof. 

Section 4.01. Organization and Qualification of the Sellers. Sohu is a company duly incorporated, validly
existing and in good standing under the Laws of the State of Delaware. Sohu Limited is a company duly established, validly existing and in good standing under the Laws of the Cayman Islands. Sohu New Media is a company duly organized, validly
existing and in good standing under the Laws of the PRC. Sohu Internet is a company duly organized, validly existing and in good standing under the Laws of the PRC. Sohu New Era is a company duly organized, validly existing and in good standing
under the Laws of the PRC. No other Seller Group Companies other than Sohu Internet, Sohu New Era and Sohu New Media and Kylie carry on the 17173 Business or has any interests, right or title in the Purchased Assets. Each of Sohu Internet, Sohu New
Era, Sohu New Media and Kylie has full corporate power and authority to carry on the 17173 Business as currently conducted. Section 4.01 of the Disclosure Schedules sets forth each jurisdiction in which the Sellers are licensed or
qualified to do business, and each Seller is duly licensed or qualified to do business and is in good standing in each jurisdiction in which the ownership of the Purchased Assets or the operation of the 17173 Business as currently conducted makes
such licensing or qualification necessary, except where the failure to be so licensed, qualified or in good standing would not, individually or in the aggregate, have a Material Adverse Effect. 

Section 4.02. Authority of the Sellers. Each Seller has full corporate power and authority to enter into this
Agreement and the other Transaction Documents to which such Seller is a party, to carry out its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery by each Seller of
this Agreement and any other Transaction Document to which such Seller is a party, the performance by such Seller of its obligations hereunder and thereunder and the consummation by such Seller of the transactions contemplated hereby and thereby
have been duly authorized by all requisite corporate action on the part of such Seller. This Agreement has been duly executed and delivered by each Seller, and (assuming due authorization, execution and delivery by the Buyers) this Agreement
constitutes a legal, valid and binding obligation of such Seller enforceable against such Seller in accordance with its terms, (a) except as limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or
hereafter in effect relating to or affecting creditors’ rights generally, including the effect of statutory and other laws regarding fraudulent conveyances and preferential transfers, and (b) subject to the limitations imposed by general
equitable principles (regardless of whether such enforceability is considered in a proceeding at law or in equity). When each other Transaction Document to which each Seller is or will be a party has been duly executed and delivered by such Seller
(assuming due authorization, execution and delivery by each other party thereto), such Transaction Document will constitute a legal and binding obligation of such Seller enforceable against it in accordance with its terms, (a) except as limited
by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to or affecting creditors’ rights generally, including the effect of statutory and other laws regarding fraudulent
conveyances and preferential transfers, and (b) subject to the limitations imposed by general equitable principles (regardless of whether such enforceability is considered in a proceeding at law or in equity). 

  
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 Section 4.03. No Conflicts; Consents. The execution, delivery and
performance by each Seller of this Agreement and the other Transaction Documents to which it is a party, and the consummation of the transactions contemplated hereby and thereby, do not and will not: (a) conflict with or result in a violation
or breach of, or default under, any provision of the certificate of incorporation, by-laws or other organizational documents of such Seller; (b) conflict with or result in a violation or breach, of any provision of any Law or Governmental Order
applicable to such Seller, the 17173 Business or the Purchased Assets, except where the conflict, violation or breach would not, individually or in the aggregate, have a Material Adverse Effect; (c) except as set forth in
Section 4.03 of the Disclosure Schedules, require the consent, notice or other action by any Person under, conflict with, result in a violation or breach of, constitute a default or an event that, with or without notice or lapse of time
or both, would constitute a default under, result in the acceleration of or create in any party the right to accelerate, terminate, modify or cancel any Contract or Permit to which such Seller is a party or by which such Seller or the 17173 Business
is bound or to which any of the Purchased Assets are subject (including any Assigned Contract), except where the conflict, violation, breach, default, acceleration, termination, modification, cancellation or failure to give notice would not,
individually or in the aggregate, have a Material Adverse Effect, or (d) result in the creation or imposition of any Encumbrances other than Permitted Encumbrances upon any of the Purchased Assets or any assets or properties of such Seller. No
Consent, approval, Permit or Governmental Order, declaration or filing with, or notice to any Governmental Authority is required by or with respect to the Sellers in connection with the execution and delivery of this Agreement or any of the other
Transaction Documents and the consummation of the transactions contemplated hereby and thereby, except for such filings as may be required under PRC law and such Consents, approvals, Permits, Governmental Orders, declarations, filings or notices,
the failure to obtain which, in the aggregate, would not have a Material Adverse Effect. 
 Section 4.04. Financial
Statements. Complete copies of the audited financial statements consisting of the balance sheet of the 17173 Business as at December 31 in each of the years 2009 and 2010 and the related statements of income for the years then ended
(the “Audited Financial Statements”), and unaudited financial statements consisting of the balance sheet of the 17173 Business as at September 30, 2011 and the related statements of income for the nine month period then
ended (the “Interim Financial Statements” and together with the Audited Financial Statements, the “Financial Statements”) have been delivered to the Buyers. The Financial Statements have been prepared
in accordance with GAAP applied on a consistent basis throughout the period involved, subject, in the case of the Interim Financial Statements, to normal and recurring year-end adjustments (the effect of which will not be materially adverse) and the
absence of notes (that, if presented, would not differ materially from those presented in the Audited Financial Statements). The Financial Statements are based on the books and records of the 17173 Business, have been prepared as if the structure of
the 17173 Business as of the Closing Date had been in existence throughout the periods presented, and fairly present, in all material respects, the financial condition of the 17173 Business as of the respective dates they were prepared and the
results of the operations of the 17173 Business for the periods indicated. The balance sheet of the 17173 Business as of September 30, 2011 is referred to herein as the “Balance Sheet” and the date thereof as the
“Balance Sheet Date”. 

  
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 (a) To the Knowledge of the Sellers, the 17173 Business has no Liabilities except for
(i) the Liabilities of the type not required under the GAAP to be disclosed on a balance sheet, (ii) the Liabilities set forth in the Balance Sheet that have not been satisfied since the Balance Sheet Date, and (iii) current
liabilities incurred since the Balance Sheet Date in the ordinary course of business consistent with its past practices and which do not exceed US$200,000 in the aggregate. 
 (b) All of the Inventory is valued at the lower of cost or market, the cost thereof being determined on a first-in, first-out basis, except as disclosed in the Financial Statements.
Section 4.04(b) of the Disclosure Schedules is an accurate summary of the Inventory as of the Balance Sheet Date (the “Inventory Summary”). To the Knowledge of the Sellers, except as disclosed on
Section 4.04(b) of the Disclosure Schedules, all of the Inventory reflected in the Inventory Summary and all such Inventory acquired since the Balance Sheet Date consist of items of a quality and quantity useable and saleable in the
ordinary course of business within a reasonable period of time at normal profit margins. To the Knowledge of the Sellers, except as disclosed on Section 4.04(b) of the Disclosure Schedules, (i) none of the Inventory (whether
parts/raw materials, work-in-process or finished goods) reflected in the Inventory Summary and (ii) none of the Inventory acquired after the Balance Sheet Date is obsolete or otherwise not saleable within a twelve-month period (and to the
extent obsolete or otherwise not saleable, has been written off or written down to net realizable value in the Financial Statements or on the accounting records of the Sellers as of the Closing Date, as the case may be). To the Knowledge of the
Sellers, all of the Inventory (whether parts/raw materials, work-in-process or finished goods) reflected in the Inventory Summary and all such Inventory acquired after the Balance Sheet Date are of such quality as to meet or exceed the internal
standards of the 17173 Business and any applicable governmental quality control standards. To the Knowledge of the Sellers, the Inventory levels with respect to the 17173 Business are not excessive and have been maintained at the levels required for
the operation of the 17173 Business as conducted prior to and as of the date hereof and as of the Closing. 
 (c) To the
Knowledge of the Sellers, all of the Accounts Receivable represent amounts receivable for merchandise actually delivered or services actually provided (or, in the case of non-trade accounts representing amounts receivable in respect of other
bona-fide business transactions), have arisen from bona-fide transactions in the ordinary course of business, and are not subject to any defenses, counterclaims or offsets and have been billed and are due and fully collectible within the
Sellers’ ordinary terms, which are reasonable and consistent with industry practices. To the Knowledge of the Sellers, no further goods or services are required to be provided in order to entitle the applicable Seller to collect in full in
respect of any such Accounts Receivables. To the Knowledge of the Sellers, all such receivables are fully collectible, without any setoff, in the ordinary course of business (but in any event within ninety (90) days after the day on which it
first becomes due and payable), except to the extent of a reserve reflected on the Financial Statements (which reserves are adequate and calculated consistent with past practice, and at Closing, will not represent a greater percentage of the
Accounts Receivables than the reserve as of the Balance Sheet Date and will not represent a material adverse change in the composition of such Accounts Receivable in terms of aging), and none of such receivables represent intercompany or related
party transactions. To the Knowledge of the Sellers, there are no material contingent or asserted claims, refusals to pay, or other rights of set-off with respect to any Accounts Receivable. None of the Accounts Receivables (i) has been due for
more than sixty (60) days, (ii) to the Knowledge of the Sellers, is payable by an account debtor that is insolvent or bankrupt or (iii) has been pledged to any third party by any Seller. Section 4.04(c) of the Disclosure
Schedules sets forth a complete and accurate list of all Accounts Receivable outstanding as of the Balance Sheet Date. 

  
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 Section 4.05. Absence of Certain Changes, Events and Conditions. Since
the Balance Sheet Date, the Sellers (i) have operated the 17173 Business in the ordinary course consistent with past practice, (ii) used their reasonable best efforts to preserve the 17173 Business, (iii) collected receivables and
paid payables and similar obligations in respect of the 17173 Business in the ordinary course of business consistent with past practice. Since the Balance Sheet Date, other than in the ordinary course of business consistent with past practice or as
set forth in Section 4.05 of the Disclosure Schedules, there has not been any: 
 (a) to the Knowledge of the
Sellers, event, occurrence or development that has had, or could reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect; 
 (b) material change in any method of accounting or accounting practice for the 17173 Business, except as required by GAAP or as disclosed in the notes to the Financial Statements; 

(c) entry into any Contract that would constitute a Material Contract; 

(d) incurrence, assumption or guarantee of any indebtedness for borrowed money in connection with the 17173 Business except for unsecured
current obligations for trade payables and other Liabilities incurred in the ordinary course of business consistent with past practice; 
 (e) transfer, assignment, sale or other disposition of any of the Purchased Assets shown or reflected in the Balance Sheet, except for the sale of Inventory in the ordinary course of business consistent
with past practice; 
 (f) cancellation of any debts or claims or amendment, termination or waiver of any rights constituting
Purchased Assets; 
 (g) transfer, assignment or grant of any license or sublicense of any material rights under or with respect
to any Intellectual Property Assets or Intellectual Property Licenses; 
 (h) material damage, destruction or loss, or any
material interruption in use, of any Purchased Assets, whether or not covered by insurance; 
 (i) acceleration, termination,
material modification to or cancellation of any Assigned Contract or Permit; 
 (j) material capital expenditures which would
constitute an Assumed Liability; 
 (k) imposition of any Encumbrance (other than Permitted Encumbrances) upon any of the
Purchased Assets; 
 (l) any loan to (or forgiveness of any loan to), or entry into any other transaction with, any directors,
officers or employees of the 17173 Business; 
 (m) adoption of any plan of merger, consolidation, reorganization, liquidation
or dissolution or filing of a petition in bankruptcy under any provisions of any applicable bankruptcy Law or consent to the filing of any bankruptcy petition against them under any similar Law; 

  
 18 

 (n) any commencement or settlement of any material Action; and 

(o) any Contract to do any of the foregoing, or any action or omission that would result in any of the foregoing. 

Section 4.06. Material Contracts. 
 (a) Section 4.06(a) of the Disclosure Schedules lists each of the following Contracts (x) by which any of the Purchased Assets are bound or affected or (y) to which any Seller is a
party or by which it is bound in connection with the 17173 Business or the Purchased Assets (such Contracts, together with all Contracts concerning the occupancy, management or operation of any Leased Real Property listed or otherwise disclosed in
Section 4.09(b) of the Disclosure Schedules and all Contracts relating to Intellectual Property set forth in Section 4.10(c) and Section 4.10(e) of the Disclosure Schedules, being “Material
Contracts”): 
 (i) all Contracts involving aggregate consideration in excess of $500,000 and which, in each case,
cannot be cancelled without penalty or with less than thirty (30) days’ notice; 
 (ii) all Contracts that provide for
the indemnification of any Person or the assumption of any Tax, environmental or other Liability of any Person; 
 (iii) all
Contracts that relate to the acquisition or disposition of any business, a material amount of stock or assets of any other Person or any real property (whether by merger, sale of stock, sale of assets or otherwise); 

(iv) all Contracts that involve the establishment, contribution to, or operation of a partnership, joint venture, alliance or similar
entity, or involving a sharing of profits or losses (including joint development and joint marketing Contracts), or any investment in, loan to or acquisition or sale of the securities, equity interests or assets of any Person; 

(v) all broker, distributor, dealer, manufacturer’s representative, franchise, agency, sales promotion, market research, marketing
consulting and advertising Contracts; cooperation contracts with gaming companies or game operators, advertising contracts, and game publishing and agency contracts; 
 (vi) all employment agreements and Contracts with independent contractors or consultants (or similar arrangements) and which are not cancellable without material penalty or with less than thirty
days’ notice; 
 (vii) except for Contracts relating to trade receivables, all Contracts relating to indebtedness
(including, without limitation, guarantees); 
 (viii) all Contracts with any Governmental Authority, state-owned enterprise, or
sole-source supplier of any material product or service (other than utilities); 
 (ix) all Contracts that limit or purport to
limit the ability of any Seller or any Buyer Group Company to compete in any line of business or with any Person or in any geographic area or during any period of time; 

  
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 (x) all cooperation, joint venture, partnership or similar Contracts; 

(xi) all Contracts for the sale of any of the Purchased Assets or for the grant to any Person of any option, right of first refusal or
preferential or similar right to purchase any of the Purchased Assets; 
 (xii) all Contracts involving any provisions providing
for exclusivity, “change in control”, “most favored nations”, rights of first refusal or first negotiation or similar rights; 
 (xiii) all powers of attorney with respect to the 17173 Business or any Purchased Asset; 
 (xiv) all Contracts among the Seller Group Companies; 
 (xv) all insurance
policies, including the Assigned Insurance Policies; and 
 (xvi) all other Contracts that are material to the Purchased Assets
or the operation of the 17173 Business. 
 (b) Except as disclosed in Section 4.06(b) of the Disclosure Schedules,
each Material Contract is valid and binding on the applicable Seller in accordance with its terms and is in full force and effect, and enforceable against the applicable Seller, and to the Knowledge of the Sellers, the other parties thereto, except
(x) as may be limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally, and (y) as may be limited by laws relating to the
availability of specific performance, injunctive relief or other remedies in the nature of equitable remedies. None of the Sellers, and to the Knowledge of the Sellers, none of the counterparties to any Material Contract, is in breach of or default
under any Material Contract in any material respect. To the Knowledge of the Sellers, no event or circumstance has occurred that, with notice or lapse of time or both, would constitute an event of default by any Seller or any counterparty under any
Material Contract or result in a termination thereof or would cause or permit the acceleration or other changes of any right or obligation or the loss of any benefit thereunder. Complete and correct copies of each Material Contract (including all
modifications, amendments and supplements thereto and waivers thereunder) have been made available to the Buyers. 
 (c)
Section 4.06(c) of the Disclosure Schedules is an accurate and complete list of all Consents required for the assignment of the Assigned Contracts under this Agreement and other Transaction Documents. 

Section 4.07. Title to Purchased Assets. The Sellers have good and valid title to, or a valid leasehold interest in,
all of the Purchased Assets. All such Purchased Assets (including leasehold interests) are free and clear of Encumbrances except for the following (collectively referred to as “Permitted Encumbrances”): 

(a) those items set forth in Section 4.07 of the Disclosure Schedules; 

(b) statutory liens for Taxes not yet due and payable or being contested in good faith by appropriate procedures and for which there are
adequate accruals or reserves on the Balance Sheet; 
 (c) mechanics’, carriers’, workmen’s, repairmen’s or
other like liens arising or incurred in the ordinary course of business consistent with past practice relating to the obligations as to which there is no default on the part of any Seller and which are not, individually or in the aggregate, material
to the 17173 Business or the Purchased Assets; and 

  
 20 

 (d) easements, rights of way, zoning ordinances and other similar encumbrances affecting
Leased Real Property which are not, individually or in the aggregate, material to the 17173 Business or the Purchased Assets, which do not prohibit or interfere with the current operation of any Leased Real Property and which do not render title to
any Leased Real Property unmarketable. 
 Section 4.08. Condition and Sufficiency of Assets. Except as set
forth in Section 4.08 of the Disclosure Schedules, the servers, information technology systems, infrastructure, the buildings, plants, structures, furniture, fixtures, machinery, equipment, vehicles and other items of tangible personal
property included in the Purchased Assets have been maintained in accordance with normal industry practice, are structurally sound, are in good operating condition and repair, and are adequate and suitable for the uses to which they are being put,
and none of such servers, information technology systems, infrastructure, buildings, plants, structures, furniture, fixtures, machinery, equipment, vehicles and other items of tangible personal property is in need of maintenance or repairs except
for ordinary, routine maintenance and repairs that are not material in nature or cost. The Purchased Assets, together with the Excluded IP Assets License, are sufficient for the continued conduct of the 17173 Business after the Closing in
substantially the same manner as conducted prior to the Closing and constitute all of the rights, property and assets necessary to conduct the 17173 Business as currently conducted. 

Section 4.09. Real Property. 
 (a) The Sellers do not own any real property that is exclusively used in or necessary for the conduct of the 17173 Business as currently conducted. 

(b) Section 4.09(b) of the Disclosure Schedules sets forth each parcel of real property leased by the Sellers and used in or
necessary for the conduct of the 17173 Business as currently conducted (together with all rights, title and interest of the Sellers in and to leasehold improvements relating thereto, including, but not limited to, security deposits, reserves or
prepaid rents paid in connection therewith, collectively, the “Leased Real Property”), and a true and complete list of all leases, subleases, licenses, concessions and other agreements (whether written or oral), including all
amendments, extensions renewals, guaranties and other agreements with respect thereto, pursuant to which the Sellers hold any Leased Real Property (collectively, the “Leases”). The Sellers have delivered to the Buyers a true
and complete copy of each Lease. With respect to each Lease: 
 (i) such Lease is valid, binding, enforceable and in full force
and effect, constitutes the entire agreement with respect to the property demised thereunder, and the Sellers enjoy peaceful and undisturbed possession of the Leased Real Property; 

(ii) none of the Sellers is in breach or default under such Lease, and no event has occurred or circumstance exists which, with the
delivery of notice, passage of time or both, would constitute such a breach or default, and the Sellers have paid all rent due and payable under such Lease. To the Knowledge of the Sellers, none of the landlord in respect of the Leases are in breach
or default under such Leases; 
 (iii) none of the Sellers has received or given any notice of any default or event that with
notice or lapse of time, or both, would constitute a default by the Sellers under any of the Leases; 
 (iv) none of the Sellers
has subleased, assigned or otherwise granted to any Person the right to use or occupy such Leased Real Property or any portion thereof; and 

  
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 (v) none of the Sellers has pledged, mortgaged or otherwise granted an Encumbrance on their
leasehold interest in any Leased Real Property. 
 (c) None of the Sellers has received any written notice of (i) existing,
pending or threatened condemnation proceedings affecting the Leased Real Property, or (ii) existing, pending or threatened zoning, building code or other moratorium proceedings, or similar matters which could reasonably be expected to
materially and adversely affect the ability to operate the Leased Real Property as currently operated. Neither the whole nor any material portion of any Leased Real Property has been damaged or destroyed by fire or other casualty. 

(d) The Leased Real Property is sufficient for the continued conduct of the 17173 Business after the Closing in substantially the same
manner as conducted prior to the Closing and constitutes all of the real property reasonably necessary to conduct the 17173 Business as currently conducted. 
 Section 4.10. Intellectual Property. 
 (a)
Section 4.10(a) of the Disclosure Schedules lists all (i) Intellectual Property Registrations and (ii) Intellectual Property Assets that are not registered but that, to the Knowledge of the Sellers, are used for the conduct of
the 17173 Business as currently conducted and (iii) the owners of the foregoing. All required filings and fees related to the Intellectual Property Registrations have been timely filed with and paid to the relevant Governmental Authorities and
authorized registrars, and all Intellectual Property Registrations are otherwise in good standing. The Sellers have provided the Buyers with true and complete copies of file histories, documents, certificates, office actions, correspondence and
other materials related to all Intellectual Property Registrations. 
 (b) Except as set forth in Section 4.10(b) of
the Disclosure Schedules, the Sellers own exclusively all right, title and interest in and to the Intellectual Property Assets, and to the Knowledge of the Sellers, free and clear of Encumbrances. To the Knowledge of the Sellers, all Intellectual
Property Assets are valid and subsisting and have not been abandoned, and all necessary registration, maintenance and renewal fees with respect thereto have been satisfied. None of the Sellers, nor, to the Knowledge of the Sellers, any of their
employees, officers or directors has taken any actions or failed to take any actions that would cause any of the Intellectual Property Assets to be invalid, unenforceable or not subsisting. No Intellectual Property Asset is subject to any proceeding
or outstanding Governmental Order that restricts in any manner the use, transfer or licensing thereof, or may affect the validity, use or enforceability of any Intellectual Property Assets. 

(c) Section 4.10(c) of the Disclosure Schedules lists all Intellectual Property Licenses. The Sellers have provided the
Buyers with true and complete copies of all such Intellectual Property Licenses. All such Intellectual Property Licenses are valid, binding and enforceable between the applicable Sellers and the other parties thereto. 

(d) There are no Actions pending or, to the Sellers’ Knowledge, threatened against any Seller Group Company, alleging that
(i) the operation of the 17173 Business as currently conducted or (ii) the use of the Intellectual Property Assets or any Intellectual Property subject to any Intellectual Property License infringes, misappropriates or violates, any
Intellectual Property of any Person. The use by the Sellers of the Intellectual Property Assets does not constitute any misappropriation, violation or, to the Knowledge of the Sellers, infringement of any Intellectual Property of any other Person.

 (e) Section 4.10(e) of the Disclosure Schedules lists all licenses, sublicenses and other agreements pursuant to
which the Sellers grant rights or authority to any Person with respect to any Intellectual Property Assets or Intellectual Property Licenses. The Sellers have provided the Buyers with true and complete copies of all such agreements. All such
agreements are valid, binding and enforceable between the Sellers and the other parties thereto. To the Sellers’ Knowledge, no Person has infringed, violated or misappropriated, or is infringing, violating or misappropriating, any Intellectual
Property Assets or any Intellectual Property with respect to which any Seller has obtained an exclusive license under any Intellectual Property License. Except as set forth on Section 4.10(e) of the Disclosure Schedules, no Seller has
assigned, transferred, licensed, pledged, or otherwise encumbered any portion of the Intellectual Property Assets or has entered into any agreement to do so. The Sellers have the right and power to transfer the applicable Intellectual Property
Assets to the Buyers in accordance with the Transaction Documents, and to grant the Excluded IP Assets License to the Buyers pursuant to Section 2.08 hereof. 

  
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 (f) The Intellectual Property Assets (excluding the Excluded IP Assets) (together with
Sellers’ rights under the Intellectual Property Licenses) to be transferred to the Buyers on the date hereof and at the Closing, and the Excluded IP Assets License to be granted to the Buyers at the Closing, constitute in aggregate all of the
Intellectual Property necessary to conduct the 17173 Business as currently conducted and are sufficient for the continued conduct of the 17173 Business after the Closing in substantially the same manner as conducted prior to the Closing. 

(g) No employee or former employee or, to the Knowledge of the Sellers, any consultant or contractor of any Seller Group Company has any
right, title or interest, directly or indirectly, in whole or in part, in any Intellectual Property Assets. Each employee and former employee, and, to the Knowledge of the Sellers, each consultant and contractor of any Seller Group Company who is or
was involved in, or who has contributed to, the creation or development of any Intellectual Property Assets has executed and delivered an agreement in substantially the form of Sohu’s standard employee/contractor nondisclosure and invention
assignment agreement. 
 (h) The Seller Group has taken reasonable security measures in compliance with industry standard to
protect the secrecy, confidentiality and value of all the trade secrets and confidential and proprietary information included in the Intellectual Property Assets. 
 Section 4.11. Legal Proceedings; Governmental Orders. 

(a) Except as set forth in Section 4.11(a) of the Disclosure Schedules, there are no Actions pending or, to the Sellers’
Knowledge, threatened against or by the Seller Group Companies (a) relating to or affecting the 17173 Business, the Purchased Assets or the Assumed Liabilities in any material respect; or (b) that challenge or seek to prevent, enjoin or
otherwise delay the transactions contemplated by this Agreement. To the Sellers’ Knowledge, no event has occurred or circumstances exist that may give rise to, or serve as a basis for, any such Action. 

(b) Except as set forth in Section 4.11(b) of the Disclosure Schedules, there are no outstanding Governmental Orders and no
unsatisfied judgments, penalties or awards against, relating to or affecting the 17173 Business or the Purchased Assets. The Sellers are in compliance with the terms of each Governmental Order set forth in Section 4.11(b) of the
Disclosure Schedules. To the Sellers’ Knowledge, no event has occurred or circumstances exist that may constitute or result in (with or without notice or lapse of time) a violation of any such Governmental Order. 

Section 4.12. Compliance With Laws; Permits. 

(a) Except as set forth in Section 4.12(a) of the Disclosure Schedules, to the Knowledge of the Sellers the Seller Group has
complied, and is now complying, in all material respects with all Laws applicable to the conduct of the 17173 Business as currently conducted or the ownership and use of the Purchased Assets. 

  
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 (b) To the Knowledge of the Sellers, all Permits required for the Sellers to conduct the
17173 Business as currently conducted or for the ownership and use of the Purchased Assets have been obtained by the Sellers and are valid and in full force and effect. To the Knowledge of the Sellers, no event has occurred that, with or without
notice or lapse of time or both, would reasonably be expected to result in the revocation, suspension, lapse or limitation of any of such Permits. 
 Section 4.13. Employment Matters. 
 (a)
Section 4.13(a) of the Disclosure Schedules contains a list of all persons who are employees, independent contractors or consultants of the 17173 Business as of the date hereof (collectively, the “Personnel”). A
true and complete list of the names of the Personnel and their respective titles, current compensation rates and service commencement dates has been provided by the Sellers to the chief financial officer of Changyou. Except as set forth in
Section 4.13(a) of the Disclosure Schedules, all compensation, including wages, commissions and bonuses due and payable to the Personnel or any third party for services performed by the Personnel on or prior to the date hereof have been
paid in full and there are no outstanding agreements, understandings or commitments of the Sellers with respect to any compensation, commissions or bonuses payable to the Personnel. To the Knowledge of the Sellers, the Sellers have complied in all
material respects with all applicable Laws related to labor or employment of the Personnel. 
 (b) Section 4.13(b)
of the Disclosure Schedules contains a true and complete list of each Benefit Plan currently or previously adopted, maintained, or contributed to by the Sellers or under which the Seller Group has any Liability or under which any Personnel has any
present or future right to benefits. Except as set forth in Section 4.13(b) of the Disclosure Schedules, none of the benefits offered to the Personnel under such Benefit Plan, including without limitation, the equity incentive awards
granted by Sohu, will be terminated or adversely affected by or in connection with the transactions contemplated hereby. A true and complete copy of each of the Benefit Plans listed in Section 4.13(b) of the Disclosure Schedules has been
delivered to the Buyers. To the Knowledge of the Sellers, no Liability has been or is expected to be incurred by any Buyer Group Companies under or pursuant to any applicable Laws relating to any Benefit Plan or individual employment compensation
agreement listed in Section 4.13(b) of the Disclosure Schedules. To the Knowledge of the Sellers, each of the Benefit Plans listed in Section 4.13(b) of the Disclosure Schedules is and has at all times been in compliance in
material respects with all applicable Laws (including without limitation, SAFE Rules and Regulations, if applicable), and all contributions to, and payments for each such Benefit Plan have been timely made by the Seller Group. To the Knowledge of
the Sellers, each Seller is in compliance in all material respects with all applicable Laws relating to such Seller’s provision of any form of Social Insurance, and has paid, or made provision for the payment of, all Social Insurance
contributions to the Personnel required under applicable Laws as of the date hereof. 
 (c) There is no pending or, to the
Knowledge of the Sellers, threatened, strike, union organization activity, lockout, slowdown, picketing, or work stoppage or any unfair labor practice charge against any Seller. No Seller is bound by or subject to (and none of their assets or
properties is bound by or subject to) any written or oral contract, commitment or arrangement with any labor union or any collective bargaining agreements. 
 (d) To the Knowledge of the Sellers, each Key Employee is currently devoting all of his or her business time to the conduct of the 17173 Business, and no Key Employee is subject to any covenant
restricting him/her from working for any Buyer Group Company or Seller Group Company. To the Knowledge of the Sellers, no Key Employee is obligated under, or in material violation of any term of, any Contract or any Governmental Order relating to
the right of any such individual to be employed by, or to contract with, any Buyer Group Company or Seller Group Company. No Seller Group Company has received any notice alleging that any such violation has occurred. Except as otherwise disclosed in
Section 4.13(d) of the Disclosure Schedules, no Key Employee or any group of employees of any Seller Group Company engaging in the 17173 Business has given any notice of an intent to terminate their employment with the applicable Seller
Group Company. 

  
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 Section 4.14. Taxes. 

Except as set forth in Section 4.14 of the Disclosure Schedules: 

(a) All Tax Returns with respect to the 17173 Business required to be filed by the Sellers for any Pre-Closing Tax Period have been, or
will be, timely filed. Such Tax Returns are, or will be, true, complete and correct in all respects. All Taxes due and owing by the Sellers (whether or not shown on any Tax Return) with respect to the 17173 Business have been, or will be, timely
paid. 
 (b) All Tax Returns required to have been filed by Kylie have been timely filed and each such Tax Return is complete
and accurate in all respects. All Taxes due and payable by Kylie (whether or not shown on any Tax Return) have been timely paid. 
 (c) The Sellers have withheld and paid each Tax required to have been withheld and paid in connection with amounts paid or owing to any employee, independent contractor, creditor, customer, shareholder or
other party, and complied with all information reporting and backup withholding provisions of applicable Law. 
 (d) No
extensions or waivers of statutes of limitations have been given or requested with respect to any Taxes of the Sellers. 
 (e)
All deficiencies asserted, or assessments made, against the Sellers as a result of any examinations by any taxing authority have been fully paid. 
 (f) None of the Sellers is a party to any Action by any taxing authority. There are no pending or, to the Knowledge of the Sellers, threatened Actions by any taxing authority. 

(g) There are no Encumbrances for Taxes upon any of the Purchased Assets nor, to Sellers’ Knowledge, is any taxing authority in the
process of imposing any Encumbrances for Taxes on any of the Purchased Assets (other than for current Taxes not yet due and payable). 
 (h) No issue has been raised by written inquiry of any Governmental Authority given to any Seller, which, by application of the same principles, would reasonably be expected to affect the Tax treatment of
the Purchased Assets or the 17173 Business in any tax period (or portion thereof) ending after the Closing Date. 
 (i) Neither
Kylie nor any of the Sellers have executed or entered into any agreement with, or obtained any consents or clearances from, any Governmental Authority, or have been subject to any ruling or guidance specific to Kylie or the applicable Seller, that
would be binding on any Buyer for any tax period (or portion thereof) ending after the Closing Date. 
 Section 4.15.
Kylie 
 (a) Kylie is a company duly established, validly existing and in good standing under the Laws of the British
Islands. Section 4.15 of the Disclosure Schedules sets forth each jurisdiction in which Kylie is licensed or qualified to do business, and Kylie is duly licensed or qualified to do business and is in good standing in each jurisdiction in
which the ownership of the applicable Purchased Assets or the operation of the 17173 Business as currently conducted makes such licensing or qualification necessary, except where the failure to be so licensed, qualified or in good standing would
not, individually or in the aggregate, have a Material Adverse Effect. 

  
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 (b) Sohu Limited is the sole legal and beneficial owner of Kylie, owning one ordinary share
of Kylie (the “Kylie Share”) representing 100% of the outstanding share capital of Kylie, free of all Encumbrances (except for any restrictions on transfer imposed by applicable Laws). Except for the Kylie Share
held by Sohu Limited, there are no and at the Closing there will be no other authorized or outstanding Equity Securities of Kylie. Sohu Limited has sole and absolute authority to transfer the Kylie Share to Changyou pursuant to this Agreement and
the Sohu Limited/Changyou Share Purchase Agreement. Sohu Limited will not be entitled to the payment of any dividends or other distribution from Kylie after the Closing. The transfer of the Kylie Share at the Closing will not be subject to any
preemptive rights, consent rights, rights of first refusal or any other rights of third parties. 
 (c) Except for the ownership
of the domain names set forth in Section 4.l5(c) of the Disclosure Schedules, Kylie has not engaged in any business or operations since its incorporation and does not have as of the date hereof, and will not have as of the Closing, any
employees or other assets. Kylie has good, valid and marketable title to the domain names set forth in Section 4.15(c) of the Disclosure Schedules, free of any Encumbrances, and is entitled to transfer such domain names to any Buyer
Group Company free of any Encumbrances. Kylie is not a party to any Contract except for the Transaction Documents to which it is a party and a letter of authorization dated March 29, 2009 pursuant to which Kylie authorized Sohu Internet to use
the 17173.com domain name and which will be terminated pursuant to Section 6.14, and does not have any Liabilities except for administrative fees and expenses required to maintain its corporate existence in the British Virgin Islands
which are not material. Kylie has been formed and operated in compliance with applicable Laws. There is no Action pending or, to the Knowledge of the Sellers, threatened, against Kylie. 

Section 4.16. Related Party Interest 
 Except as set forth in Section 4.16 of the Disclosure Schedules, no Affiliates of the Sellers or Persons with whom such transaction, arrangement, understanding or Contract would be required to
be disclosed under Item 404 of Regulation S-K of the Securities Exchange Act of 1934, as amended from time to time, has any interest in any Purchased Assets or the transactions contemplated hereunder. or has entered into any transaction with
the Sellers in relation to the 17173 Business, other than those arising in the course of ordinary course of business and on arms-length terms. 
 Section 4.17. Insurance. Section 4.17 of the Disclosure Schedules sets forth the insurance policies and bonds maintained by the Sellers in respect of the Purchased Assets,
as well as the name of the insurer under each such policy and bond, the type of policy or bond, the coverage amount, any applicable deductible, and all material claims made thereunder in the past three (3) years. All such policies and bonds are
in full force and effect. None of the Sellers is in breach or default of any such policies or bonds, and no written notice of cancellation or termination has been received with respect to any such policy or bond. To the Knowledge of the Sellers, no
event or condition relating to the 17173 Business or the Purchased Assets, has occurred that, in and of itself, is reasonably likely, after the date of this Agreement, to result in a material upward adjustment in premiums under any insurance
policies maintained by the Sellers. 
 Section 4.18. Brokers. Except as set forth in Section 4.18
of the Disclosure Schedules, no broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with the transactions contemplated by this Agreement or any other Transaction Document based
upon arrangements made by or on behalf of the Sellers. 

  
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 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES OF THE BUYERS 
 Each of the Buyers hereby,
jointly and severally, represents and warrants to the Sellers that the statements contained in this Article V are true, correct, and not misleading as of the date hereof. 

Section 5.01. Organization of the Buyers. Changyou is a company duly established, validly existing and in good
standing under the Laws of the Cayman Islands. Gamespace is a company duly organized, validly existing and in good standing under the Laws of the PRC. Gamespace VIE is a company duly organized, validly existing and in good standing under the Laws of
the PRC. 
 Section 5.02. Authority of the Buyers. Each Buyer has full corporate power and authority to enter
into this Agreement and the other Transaction Documents to which such Buyer is a party, to carry out its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and thereby. The execution and delivery by each
Buyer of this Agreement and any other Transaction Document to which such Buyer is a party, the performance by such Buyer of its obligations hereunder and thereunder and the consummation by such Buyer of the transactions contemplated hereby and
thereby have been duly authorized by all requisite corporate action on the part of such Buyer. This Agreement has been duly executed and delivered by each Buyer, and (assuming due authorization, execution and delivery by the Sellers) this Agreement
constitutes a legal, valid and binding obligation of such Buyer enforceable against such Buyer in accordance with its terms, (a) except as limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or
hereafter in effect relating to or affecting creditors’ rights generally, including the effect of statutory and other laws regarding fraudulent conveyances and preferential transfers, and (b) subject to the limitations imposed by general
equitable principles (regardless of whether such enforceability is considered in a proceeding at law or in equity). When each other Transaction Document to which each Buyer is or will be a party has been duly executed and delivered by such Buyer
(assuming due authorization, execution and delivery by each other party thereto), such Transaction Document will constitute a legal and binding obligation of such Buyer enforceable against it in accordance with its terms, (a) except as limited
by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws now or hereafter in effect relating to or affecting creditors’ rights generally, including the effect of statutory and other laws regarding fraudulent
conveyances and preferential transfers, and (b) subject to the limitations imposed by general equitable principles (regardless of whether such enforceability is considered in a proceeding at law or in equity). 

Section 5.03. Conflicts; Consents.  The execution, delivery and performance by each Buyer of this Agreement
and the other Transaction Documents to which it is a party, and the consummation of the transactions contemplated hereby and thereby, do not and will not: (a) conflict with or result in a violation or breach of, or default under, any provision
of the certificate of incorporation, by-laws or other organizational documents of such Buyer; (b) conflict with or result in a violation or breach of any provision of any Law or Governmental Order applicable to such Buyer in any material
respects, except where the conflict, violation or breach would not, individually or in the aggregate, have a Material Adverse Effect; or (c) except for the Consents required from relevant Governmental Authorities in respect of the assignment of
the Intellectual Property Rights hereunder, require the Consent by, notice to or other action by any Person under any Contract to which such Buyer is a party, except where the failure to obtain such consent, or to give notice to, or to procure such
action would not, individually or in the aggregate, have a Material Adverse Effect. No Permit or Governmental Order of any Governmental Authority is required by or with respect to any Buyer in connection with the execution and delivery of this
Agreement and the other Transaction Documents and the consummation of the transactions contemplated hereby and thereby. 

Section 5.04. Brokers. No broker, finder or investment banker is entitled to any brokerage, finder’s or other fee
or commission in connection with the transactions contemplated by this Agreement or any other Transaction Document based upon arrangements made by or on behalf of the Buyers. 

  
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 Section 5.05. Sufficiency of Funds. The Buyers have sufficient cash on
hand or other sources of immediately available funds to enable them to make payment of the Purchase Price and consummate the transactions contemplated by this Agreement. 
 Section 5.06. Legal Proceedings. There are no Actions pending or, to the Buyers’ knowledge after due inquiry, threatened against or by the Buyers or any Affiliate of the Buyers
that challenge or seek to prevent, enjoin or otherwise delay the transactions contemplated by this Agreement. To the Buyers’ knowledge after due inquiry, no event has occurred or circumstances exist that may give rise or serve as a basis for
any such Action. 
 ARTICLE VI 
 COVENANTS 
 Section 6.01. Conduct of 17173 Business Prior to the
Closing. From the date hereof until the Closing, except as otherwise provided in this Agreement or consented to in writing by the Buyers (which consent shall not be unreasonably withheld or delayed), the Sellers shall (a) conduct the
17173 Business in the ordinary course of business consistent with past practice; (b) maintain the Purchased Assets in a condition comparable to their current condition, reasonable wear, tear and depreciation excepted, (c) use reasonable
best efforts to maintain and preserve intact the current 17173 Business organization, operations and franchise and to preserve the rights, franchises, goodwill and relationships of Sellers’ employees, customers, lenders, suppliers, regulators,
users and others having relationships with the 17173 Business, and (d) take all actions reasonably necessary, to consummate the transactions contemplated by this Agreement promptly, including the taking of all reasonable acts necessary to cause
all of the conditions precedent as set forth under Section 7.01 to be satisfied. From the date hereof until the Closing, the Sellers shall not, and shall not permit any of the other Seller Group Companies to, without the prior written
consent of the Buyers: 
 (i) allow the levels of raw materials, supplies or other materials included in the
Inventory to vary materially from the levels customarily maintained; 
 (ii) enter into, renew, extend,
materially amend or terminate any Material Contract or Contract which if entered into prior to the date hereof would be a Material Contract; 
 (iii) except to the extent required by Law or by any Assigned Contract in existence as of the date hereof as listed on the Disclosure Schedules or the Benefit Plans, (A) increase the compensation or
benefits of any of the Personnel except in the ordinary course of business; or (B) enter into any material compensation or benefit plan, program, policy, arrangement or agreement with any Personnel; 

(iv) waive, release, assign, settle or compromise any Action in respect of the 17173 Business or the Purchased Assets,
other than in the ordinary course of business but provided that the Sellers first consult with the Buyers prior to any such waiver, release, assignment, settlement or compromise; 

(v) take any action that is intended or would reasonably be expected to result in any of the conditions to the Closing set
forth in Article VII not being satisfied or materially delaying the satisfaction of such conditions; 

  
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 (vi) implement or adopt any material change in its Tax or financial
accounting principles, practices or methods for the 17173 Business, other than as required by GAAP, applicable Law or regulatory guidelines; 
 (vii) make any acquisition related to the 17173 Business (by merger, consolidation, acquisition of stock or assets or otherwise) of any Person, or make any loan, advance, capital contribution to, or
investment in, any other Person with a value in excess of $500,000 individually or $1,000,000 in the aggregate, except purchases of inventory, components or, property, plant or equipment (including engineering development equipment) related to the
17173 Business in the ordinary course of business; 
 (viii) dispose of, or create any Encumbrances on any
Purchased Assets (other than the Permitted Encumbrances); 
 (ix) fail to pay any premiums due and payable for
the Assigned Insurance Policies and/or fail to use reasonable best efforts to keep the Assigned Insurance Policies in full force and effect; or 
 (x) agree to take, make any commitment to take, or adopt any resolutions of their respective Boards of Directors in support of, any of the actions prohibited by this Section 6.01. 

Section 6.02. Access to Information. From the date hereof until the Closing, the Sellers shall (a) afford the
Buyers and their Representatives full and free access to and the right to inspect all of the Leased Real Property, properties, assets, premises, Books and Records, Contracts and other documents and data related to the 17173 Business;
(b) furnish the Buyers and their Representatives with such financial, operating and other data and information related to the 17173 Business as the Buyers or any of their Representatives may reasonably request; and (c) instruct the
Representatives of the Sellers to cooperate with the Buyers in their investigation of the 17173 Business. Any investigation pursuant to this Section 6.02 shall be conducted in such manner as not to interfere unreasonably with the conduct
of the 17173 Business or any other businesses of the Sellers. No investigation by the Buyers or other information received by the Buyers shall operate as a waiver or otherwise affect any representation, warranty or agreement given or made by the
Sellers in this Agreement. 
 Section 6.03. Notice of Certain Events. From the date hereof until the Closing,
the Sellers shall promptly notify the Buyers in writing of: 
 (a) any fact, circumstance, event or action the existence,
occurrence or taking of which (i) has had, or could reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect, (ii) has resulted in, or could reasonably be expected to result in, any representation or
warranty made by the Sellers hereunder not being true and correct, or (iii) has resulted in, or could reasonably be expected to result in, the failure of any of the conditions set forth in Section 7.01 to be satisfied; 

(b) any notice or other communication from any Person alleging that the consent of such Person is or may be required in connection with
the transactions contemplated by this Agreement; 
 (c) any notice or other communication from any Governmental Authority in
connection with the transactions contemplated by this Agreement; and 
 (d) any Actions commenced or, to Sellers’
Knowledge, threatened against, relating to or involving or otherwise affecting the 17173 Business, the Purchased Assets or the Assumed Liabilities that, if pending on the date of this Agreement, would have been required to have been disclosed
pursuant to Section 4.11 or that relates to the consummation of the transactions contemplated by this Agreement. 

  
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 Section 6.04. Employees and Employee Benefits. 

(a) Effective as of the Closing, the Sellers (i) shall assign to the designated Buyer Group Company all labor dispatching agreements
with all applicable Employment Dispatch Agencies with respect to the employment of all Personnel who are actively at work as of the Closing Date, (ii) shall cause each such Employment Dispatch Agency to enter into an addendum to its employment
agreement with each of the Personnel pursuant to which such agency shall dispatch such Personnel to provide services at such designated Buyer Group Company as its contract employees effective as of the Closing, (iii) shall terminate all
noncompetition, non-solicitation, confidentiality and inventions assignment agreements with such Personnel, and (iv) shall use reasonable best efforts to cause such Personnel to enter into employment and the noncompetition, non-solicitation,
confidentiality and inventions assignment agreement with the designated Buyer Group Company in the form attached hereto as Exhibit H. For the purposes of this Agreement, the designated Buyer Group Company shall mean (i) Gamespace, in
respect of the transfer of all Personnel (except for those in the sales and marketing division of the 17173 Business and those engaged in the 17173 Business in relation to www.37wanwan.com), (ii) Gamespace VIE, in respect of the transfer of the
Personnel engaged in the 17173 Business in relation to www.37wanwan.com, and the Personnel in the sales and marketing division of the 17173 Business. Effective as of the Closing, Sohu New Era shall terminate the employment agreement, and the
noncompetition, non-solicitation, confidentiality and inventions assignment agreement with all Personnel who are actively at work as of the Closing Date and shall use reasonable best efforts to cause such Personnel to enter into employment and the
noncompetition, non-solicitation, confidentiality and inventions assignment agreement with Gamespace VIE in the form attached hereto as Exhibit H. 
 (b) The Sellers shall be solely responsible, and the Buyers shall have no obligations whatsoever, for any compensation or other amounts payable to any current or former employee, officer, director,
independent contractor or consultant of the 17173 Business or any Employment Dispatch Agencies in connection with the employment of such individuals, including, without limitation, hourly pay, commission, bonus, salary, accrued vacation, fringe,
Social Insurance, pension or profit sharing benefits for any period relating to service with the Sellers at any time on or prior to December 31, 2011 and the Sellers shall pay all such amounts to all entitled persons prior to the Closing;
provided, however, that any bonus amount for fiscal year 2011 for any of the Personnel transferred to the Buyer Group Companies shall be paid by the Sellers pursuant to their normal payroll practices. All Personnel who are transferred by the
Sellers to the applicable Buyer Group Company in accordance with this Section 6.04 will be given credit (the “Severance Credit Liabilities”) by such Buyer Group Company for the period during which such Personnel
are providing services to the Sellers directly or through the Employment Dispatch Agency for purposes of determining eligibility and calculation of any severance pay required to be paid by such Buyer Group Company in the event of termination of
employment of such Personnel by such Buyer Group Company under applicable PRC law, as if such Personnel had been employed by such Buyer Group Company during such period. 
 (c) The Sellers shall remain solely responsible for the satisfaction of all claims for medical, dental, life insurance, health accident or disability benefits, or unpaid Social Insurance brought by or in
respect of current or former employees, officers, directors, independent contractors or consultants of the 17173 Business or the spouses, dependents or beneficiaries thereof, which claims relate to events occurring on or prior to December 31,
2011. The Sellers shall remain solely responsible for compliance with the Benefit Plans as set forth in Section 4.13(b) of the Disclose Schedule and for the satisfaction of any Liabilities thereunder, and shall continue to comply with
such Benefit Plans and honor all benefits and awards granted to the Personnel thereunder, with respect to periods on or prior to December 31, 2011. Without limitation of the foregoing, the Sellers agree and acknowledge that all the equity
incentive awards granted by Sohu to the Personnel shall continue to be valid and in effect following the Closing in accordance with their terms, and the vesting thereof shall not be adversely affected by the transactions contemplated hereunder. The
Sellers also shall remain solely responsible for (i) any severance payments payable to Employment Dispatch Agencies or Personnel in connection with the transfer of the Personnel as contemplated under this Section 6.04(a), if any,
and (ii) all workers’ compensation claims of any current or former employees, officers, directors, independent contractors or consultants of the 17173 Business which relate to events occurring on or prior to December 31, 2011. The
Sellers shall pay, or cause to be paid, all such amounts to the appropriate persons as and when due. 

  
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 (d) The Buyers acknowledge and agree that each of the Personnel who is dispatched by the
Employment Dispatch Agency to the applicable Buyer Group Company in connection with the transactions contemplated by this Agreement will be eligible to receive salary and benefits from such Buyer Group Company no less favorable than those provided
to such Personnel by the Sellers immediately prior to the Closing. 
 Section 6.05. Confidentiality. From the
date hereof and on and after the Closing, the Sellers and the Buyers shall, and shall cause their Affiliates to, hold, and shall use their reasonable best efforts to cause their respective Representatives to hold, in confidence any and all
information, whether written or oral, concerning the 17173 Business and the transactions contemplated by this Agreement and the other Transaction Documents, except for such information which the disclosing party can prove (a) is generally
available to and known by the public through no fault of the disclosing party, any of their Affiliates or their respective Representatives; or (b) is lawfully acquired by the disclosing party, any of their Affiliates or their respective
Representatives from and after the Closing from sources which are not prohibited from disclosing such information by a legal, contractual or fiduciary obligation. If the disclosing party or any of their Affiliates or their respective Representatives
are compelled to disclose any information by judicial or administrative process or by other requirements of Law, the disclosing party shall promptly notify the other parties in writing and shall disclose only that portion of such information which
the disclosing party, is advised by its counsel in writing is legally required to be disclosed. 
 Section 6.06.
Government Approvals; Consents. 
 (a) Each party hereto shall, as promptly as possible after the date hereof,
(i) make, or cause to be made, all filings and submissions required under any Law applicable to such party or any of its Affiliates; and (ii) use reasonable best efforts to obtain, or cause to be obtained, all Permits from all Governmental
Authorities that may be or become necessary for such party’s execution and delivery of this Agreement and the performance of its obligations pursuant to this Agreement and the other Transaction Documents (including without limitation, the
transfer and assignment of Intellectual Property Assets). Each party shall cooperate fully with the other parties and their Affiliates in promptly seeking to obtain all such Permits. The parties hereto shall not willfully take any action that will
have the effect of delaying, impairing or impeding the receipt of any such Permits. 
 (b) The Sellers shall use reasonable best
efforts to give all notices to, and obtain all Consents from, all third parties that are described in Section 4.03 of the Disclosure Schedules and Section 4.06(c) of the Disclosure Schedules. The Buyers shall use reasonable
best efforts to give all notices to, and obtain all consents from, all third parties that are described in Section 5.03 hereof. 
 (c) The Sellers, on one hand, and the Buyers, on the other hand, shall keep each other apprised of the status of matters relating to the completion of the transactions contemplated hereby, including
promptly furnishing the other with copies of notices or other communications received by the Sellers or the Buyers, as the case may be, or any of their respective Affiliates, from any third party and/or any Governmental Authorities with respect to
such transactions. The Sellers on one hand, and the Buyers on the other hand, shall permit each other reasonable opportunity to review in advance, and consider in good faith the views of each other in connection with, any proposed written
communication to any Governmental Authorities or applicable third parties. 

  
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 Section 6.07. Books and Records. 

(a) In order to facilitate the resolution of any claims made against or incurred by the Sellers prior to the Closing, or for any other
reasonable purpose, for a period of five (5) years after the Closing, the Buyers shall: (i) retain the Books and Records (including personnel files) relating to periods prior to the Closing in a manner reasonably consistent with the prior
practices of the Sellers; and (ii) upon reasonable notice, afford the Sellers’ Representatives reasonable access (including the right to make, at the Sellers’ expense, photocopies), during normal business hours, to such Books and
Records. 
 (b) In order to facilitate the resolution of any claims made by or against or incurred by the Buyers after the
Closing, or for any other reasonable purpose, for a period of five (5) years following the Closing, the Sellers shall: (i) retain the books and records (including personnel files) of the Sellers which relate to the 17173 Business and their
operations for periods prior to the Closing which are not delivered to the Buyers; and (ii) upon reasonable notice, afford the Buyers’ Representatives reasonable access (including the right to make, at the Buyers’ expense,
photocopies), during normal business hours, to such books and records. 
 (c) Neither the Buyers nor the Sellers shall be
obligated to provide the other party with access to any books or records (including personnel files) pursuant to this Section 6.07 where such access would violate any Law. 

Section 6.08. Closing Conditions. From the date hereof until the Closing, each party hereto shall use reasonable best
efforts to take such actions as are necessary to expeditiously satisfy the closing conditions set forth in Article VII hereof. 

Section 6.09. Public Announcements. Unless otherwise required by applicable Law or stock exchange requirements (based
upon the reasonable advice of counsel), no party to this Agreement shall make any public announcements in respect of this Agreement or the transactions contemplated hereby or otherwise communicate with any news media without the prior written
consent of the other party (which consent shall not be unreasonably withheld or delayed), and the parties shall cooperate as to the timing and contents of any such announcement. 

Section 6.10. Bulk Sales Laws. The parties hereby waive compliance with the provisions of any bulk sales, bulk
transfer or similar Laws of any jurisdiction that may otherwise be applicable with respect to the sale of any or all of the Purchased Assets to the Buyers. 
 Section 6.11. Taxes. 
 (a) All transfer, documentary, sales,
use, stamp, registration, value added and other such Taxes and fees (including any penalties and interest) incurred in connection with this Agreement and the other Transaction Documents (including any real property transfer Tax and any other similar
Tax) shall be borne and paid when due by the party who is responsible for such Taxes and fees under applicable Law. Each of the Sellers and/or Buyers, as the case may be, shall, at its own expense, timely file any Tax Return or other document with
respect to such Taxes or fees (and the other parties hereto shall cooperate with respect thereto as necessary). 

  
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 (b) The Sellers shall, within the time prescribed by applicable Law, prepare and file all
Tax Returns required to be filed by them in any applicable jurisdiction in connection with the transactions contemplated by this Agreement, including but not limited to all agreements, reports, communications, explanations, documents, reports or
other information and Tax Returns as described in Circular 698. 
 Section 6.12. Payment from Third
Parties. 
 In the event that, after the Closing, either Party receives any payments or other funds from third
parties (including without limitation, any payables from third parties under the Assigned Contracts) which should have been due and payable to the other Party pursuant to the terms set forth in Section 2 hereof or otherwise, then the
Party receiving such funds shall promptly forward such funds to such other Party. The Parties acknowledge and agree that there is no right of offset regarding such payments and a Party may not withhold funds received from third parties for the
account of the other Party in the event there is a dispute regarding any other issue under this Agreement or any other Transaction Document. 
 Section 6.13. Introduction of Customers. 
 (a) The
Sellers shall use reasonable best efforts to help the Buyer Group establish a business relationship with all customers and suppliers of the 17173 Business by (i) disclosing all existing and prospective customers of the 17173 Business (including
without limitation, advertisement customers and game companies seeking cooperation and revenue sharing) known to the Sellers to the Buyer Group, and (ii) taking all reasonable actions as requested by the Buyer Group to facilitate the
establishment of a business relationship between the Buyer Group and such customers. 
 (b) In respect of the advertisement
contracts as set forth on Schedule 6.13(b) attached hereto (each, an “Advertisement Contract”), Sohu Media shall use reasonable best efforts to procure the counterparty to each such Advertisement Contract to agree, on
or prior to the Closing Date, to terminate such Advertisement Contract with Sohu New Media, effective as of January 1, 2012, and to enter into an advertisement contract directly with Gamespace VIE on terms and conditions similar to such
Advertisement Contract, effective as of January 1, 2012. 
 Section 6.14. Further Assurances; Transition
Services. Each of the parties hereto shall, and shall cause their respective Affiliates to, comply with the Transaction Documents, execute and deliver such additional documents, instruments, conveyances and assurances, provide such
transition services or take such actions to ensure the smooth transition of the 17173 Business pursuant to Schedule 6.14, and take such further actions as may be reasonably required by the Buyer Group to carry out the provisions hereof, give
effect to the transactions contemplated by this Agreement and the other Transaction Documents, and ensure the continued conduct and operation of the 17173 Business after the Closing in substantially the same manner as conducted and operated prior to
the Closing. 
 Section 6.15. Unregistered Trademarks. With respect to the “37wanwan” and
“上去玩玩” trademarks (the “Unregistered Trademarks”) used by certain of the Sohu Group Companies, Sohu on behalf of itself and the other Sohu Group Companies, covenants and agrees
that none of the Sohu Group Companies will (i) on or after the Closing Date, use, or following the date hereof, assign, transfer, license, or file any application for registration of any of the Unregistered Trademarks or any word(s) or
symbol(s) that are confusingly similar to the Unregistered Trademarks or derive from the Unregistered Trademarks (whether in the English or Chinese languages or as a transliteration thereof) as trademarks, enterprise names, trade names or domain
names in any business or product in any jurisdiction around the world, or (ii) following the date hereof, file or maintain, or cause, encourage, promote or authorize the filing or maintenance, in any court or before any administrative agency of
any jurisdiction or any other tribunal, of any charge, claim or action of any kind, nature or character whatsoever, known or unknown, suspected or unsuspected, which any of the Sohu Group Companies, including Sohu Internet, may have in the future
against any of the Buyer Group Companies alleging infringement of any intellectual property rights in the Unregistered Trademarks as a result of any Buyer Group Company’s use of the Unregistered Trademarks. Sohu, on behalf of itself and the
other Sohu Group Companies, covenants and agrees to, at the Buyers’ expenses, provide prompt assistance as reasonably requested by the Buyers in connection with (x) the filing of any application for registration by the Buyers of any of the
Unregistered Trademarks or any word(s) or symbol(s) that are similar to the Unregistered Trademarks, (y) the defense by the Buyers against any infringement claims brought by third parties in relation to the use of the Unregistered Trademarks,
and (z) enforcement against any third parties for infringement of any intellectual property rights in the Unregistered Trademarks. 

  
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 Section 6.16. Registered Trademarks. Promptly after
the date hereof, the Buyers will file with relevant Governmental Authorities of the PRC applications for registration of change of ownership of the trademarks identified on Schedule 2.01(a)(ii) hereto as being assigned by Sohu New Era to Gamespace
VIE pursuant to the Sohu New Era/Gamespace VIE Registered Trademark Assignment Agreement, and the Sellers will provide to the Buyer Group, at the cost of the Buyer Group, such assistance as is reasonably requested by the Buyer Group in connection
with such filing, it being acknowledged by the Buyer Group that evidence of the filing of such applications from such relevant Governmental Authorities may not be received, and such registrations of change of ownership may not take effect, until
after the Closing. 
 ARTICLE VII 
 CONDITIONS TO CLOSING 
 Section 7.01. Conditions to Obligations
of the Buyers. The obligations of the Buyers to consummate the transactions contemplated by this Agreement shall be subject to the fulfillment or the Buyers’ waiver, prior to the Closing, of each of the following conditions: 

(a) The representations and warranties of the Sellers contained in this Agreement, disregarding all qualifications and exceptions
contained therein relating to materiality or Material Adverse Effect or any similar standard or qualification, shall be true, correct and not misleading at and as of the Closing in all material respects as though such representations and warranties
were made at and as of such time (other than such representations and warranties that expressly speak only as of an earlier date or time, in which case such representations and warranties shall be true and correct as of such earlier date or time).

 (b) The Sellers shall have duly performed and complied in all material respects with all agreements, covenants and conditions
required by this Agreement and each of the other Transaction Documents to be performed or complied with by them prior to the Closing. 
 (c) All corporate proceedings required on the part of the Sellers in respect of this Agreement and the other Transaction Documents and the transactions contemplated hereby and thereby, shall have been
duly completed with evidence reasonably satisfactory to the Buyers. 
 (d) No injunction or restraining order which restrains or
prohibits any transaction contemplated hereby shall have been issued by any Governmental Authority to any Seller, and be in effect. 
 (e) All Consents that are listed on Section 4.03 of the Disclosure Schedules, except for Consents with respect to any Assigned Contracts, shall have been received and shall remain in effect,
and executed counterparts thereof shall have been delivered to the Buyers prior to the Closing. For avoidance of doubt, the Sellers shall use their reasonable best efforts to obtain or satisfy, at the earliest practicable date, all Consents
necessary to facilitate the full and expeditious transfer of the Assigned Contracts as of the Closing; and if any Consent with respect to any Assigned Contract has not been obtained as of the Closing Date, the Sellers shall take such actions and
enter into such arrangements with the Buyers as are contemplated by Section 2.07 of this Agreement. 

  
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 (f) There shall not have occurred any Material Adverse Effect, nor shall any event or events
have occurred that, individually or in the aggregate, with or without the lapse of time, could reasonably be expected to result in a Material Adverse Effect. 
 (g) All conditions precedents to the closings under the Transaction Documents required on the part of the Sellers shall have been satisfied or waived by the applicable Buyer. 

(h) All Encumbrances relating to the Purchased Assets shall have been released in full, other than Permitted Encumbrances, and the
Sellers shall have delivered to the Buyers written evidence, in form satisfactory to the Buyers in their sole discretion, of the release of such Encumbrances; and all Purchased Assets are in good operating conditions and repair. 

(i) The Buyers shall have received (i) certificates, dated the Closing Date and signed by a duly authorized officer of each Seller,
that each of the conditions set forth in Sections 7.01(a), 7.01(b), 7.01(d), 7.01(e), 7.01(f) and 7.01(g) have been satisfied (the “Seller Closing Certificates”). 

(j) The Buyers shall have received certificates of the Secretary or an Assistant Secretary (or equivalent officer) of each Seller
certifying that attached thereto are true and complete copies of all resolutions adopted by the board of directors and/or shareholders of such Seller authorizing the execution, delivery and performance of this Agreement and the other Transaction
Documents and the consummation of the transactions contemplated hereby and thereby, and that all such resolutions are in full force and effect and are all the resolutions adopted in connection with the transactions contemplated hereby and thereby.

 (k) The applicable Seller, the applicable designated Buyer Group Company and each of the Employment Dispatch Agencies shall
have entered into an assignment agreement pursuant to which such Seller assigns to such designated Buyer Group Company, and each of such designated Buyer Group Company and such Employment Dispatch Agency acknowledges and agrees to such assignment
of, the labor dispatching agreement between such Seller and such Employment Dispatch Agency with respect to the employment of all Personnel who are actively at work with such Seller as of the Closing Date. At least 80% of the Key Employees shall
have been transferred, through the applicable Employment Dispatch Agencies, from the Sellers to the applicable Buyer Group Company as of the Closing Date pursuant to Section 6.04 of this Agreement, and shall have terminated the
noncompetition, non-solicitation, confidential and inventions assignment agreement with the Sellers and entered into a noncompetition, non-solicitation, confidentiality, and inventions assignment agreement with such Buyer Group Company in the form
attached hereto as Exhibit H. 
 (l) The Buyers shall have received an opinion from Broad & Bright, PRC counsel
to the Sellers, dated as of the Closing, in form and substance attached hereto as Exhibit I. 
 (m) The Sellers shall
have delivered to the Buyers such other documents or instruments as the Buyers reasonably request and are reasonably necessary to consummate the transactions contemplated by this Agreement. 

  
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 Section 7.02. Conditions to Obligations of the Sellers. The obligations
of the Sellers to consummate the transactions contemplated by this Agreement shall be subject to the fulfillment or the Sellers’ waiver, prior to the Closing, of each of the following conditions: 

(a) The representations and warranties of the Buyers contained in this Agreement, disregarding all qualifications and exceptions
contained therein relating to materiality or material adverse effect or any similar standard or qualification, shall be true, correct and not misleading at and as of the Closing Date in all material respects as though such representations and
warranties were made at and as of such time (other than such representations and warranties that expressly speak only as of an earlier date or time, in which case such representations and warranties shall be true and correct as of such earlier date
or time). 
 (b) The Buyers shall have duly performed and complied in all material respects with all agreements, covenants and
conditions required by this Agreement and each of the other Transaction Documents to be performed or complied with by them prior to the Closing. 
 (c) All corporate proceedings required on the part of the Buyer Group in respect of this Agreement and the other Transaction Documents and the transactions contemplated hereby and thereby, shall have been
duly completed with evidence reasonably satisfactory to the Sellers. 
 (d) No injunction or restraining order which restrains
or prohibits any material transaction contemplated hereby shall have been issued by any Governmental Authority to any Buyer Group Company, and be in effect. 
 (e) The Buyer shall have delivered the Purchase Price specified in Section 2.05 of this Agreement by wire transfer of immediately available funds to a bank account specified by the Company.

 (f) All conditions precedents to the closings under the Transaction Documents required on the part of the Buyers shall have
been satisfied or waived by the applicable Seller. 
 (g) The Sellers shall have received certificates, dated the Closing Date
and signed by a duly authorized officer of each Buyer, that each of the conditions set forth in Section 7.02(a), 7.02(b), 7.02(d), and 7.02(f) (except for such conditions which are subject to satisfaction of the Sellers)
have been satisfied (the “Buyer Closing Certificates”). 
 (h) The Sellers shall have received
certificates of the Secretary or an Assistant Secretary (or equivalent officer) of each Buyer certifying that attached thereto are true and complete copies of all resolutions adopted by the board of directors of such Buyer authorizing the execution,
delivery and performance of this Agreement and the other Transaction Documents and the consummation of the transactions contemplated hereby and thereby, and that all such resolutions are in full force and effect and are all the resolutions adopted
in connection with the transactions contemplated hereby and thereby. 
 (i) The Buyers shall have delivered to the Sellers such
other documents or instruments as the Sellers reasonably requests and are reasonably necessary to consummate the transactions contemplated by this Agreement. 
 ARTICLE VIII 
 INDEMNIFICATION 

Section 8.01. Survival. Subject to the limitations and other provisions of this Agreement, the
representations and warranties contained herein shall survive the Closing and shall remain in full force and effect until the 18th month anniversary of the Closing; provided, that the representations and warranties in Section 4.01
(Organization and Qualification of the Sellers), Section 4.02 (Authority of the Sellers), Section 4.03(a) (No Conflicts; Consents), Section 4.07 (Title to Purchased Assets), Section 4.15 (Kylie),
Section 4.18 (Brokers), Section 5.01 (Organization of the Buyers), Section 5.02 (Authority of the Buyers), Section 5.03(a) (No Conflicts; Consents) and Section 5.04 (Brokers) shall survive
indefinitely, the representations and warranties in Section 4.14 (Taxes) shall survive for the full period of all applicable statutes of limitations plus sixty (60) days, and the representations and warranties contained in
Section 4.03 (No Conflicts; Consents) (other than Section 4.03(a)), and the representations and warranties contained in Section 5.03 (No Conflicts; Consents) (other than Section 5.03(a)), shall survive
until the three-year anniversary of the Closing. All covenants and agreements of the parties contained herein shall survive the Closing indefinitely or for the period explicitly specified therein. Any claims asserted in good faith with reasonable
specificity (to the extent known at such time) and in writing by notice from the non-breaching party to the breaching party prior to the expiration date of the applicable survival period shall not thereafter be barred by the expiration of the
relevant representation or warranty and such claims shall survive until finally resolved. 

  
 36 

 Section 8.02. Indemnification By the Sellers. Subject to the other terms
and conditions of this Article VIII, the Sellers, jointly and severally, shall indemnify and defend each of Buyers and their Affiliates and their respective Representatives (collectively, the “Buyer Indemnitees”) against, and
shall hold each of them harmless from and against, and shall pay and reimburse each of them for, all Losses incurred or sustained by, or imposed upon, the Buyer Indemnitees based upon, arising out of, with respect to or by reason of: 

(a) any inaccuracy in or breach of any of the representations or warranties of the Sellers contained in this Agreement, the other
Transaction Documents or in any certificate or instrument delivered by or on behalf of the Sellers pursuant to the Transaction Documents; 
 (b) any breach or non-fulfillment of any covenant, agreement or obligation to be performed by the Sellers pursuant to this Agreement, the other Transaction Documents or any certificate or instrument
delivered by or on behalf of the Sellers pursuant to the Transaction Documents; 
 (c) any Excluded Liability; 

(d) any Liabilities of the Sellers and Kylie in relation to the 17173 Business or the Purchased Assets or the Excluded IP Assets License
(other than the Assumed Liabilities) which the Buyers are obligated, by operation of law or otherwise, to assume, to the extent such Liabilities in aggregate exceed US$200,000; or 

(e) the Intellectual Property Assets (excluding the Excluded IP Assets) (together with Sellers’ rights under the Intellectual
Property Licenses) transferred to the Buyers on the date hereof and at the Closing, and the Excluded IP Assets License granted to the Buyers at the Closing, being insufficient for the continued conduct of the 17173 Business after the Closing in
substantially the same manner as conducted prior to the Closing; 
 (f) Taxes of or imposed on Kylie for any Pre-Closing Tax
Period; or 
 (g) Taxes of any Person (including the Sellers, its stockholders or any Affiliate of the Sellers) imposed with
respect to the transfer of the Purchased Assets as a result of the application of Circular 698. 

  
 37 

 Section 8.03. Indemnification By the Buyers. Subject to the other terms
and conditions of this Article VIII, the Buyers, jointly and severally, shall indemnify and defend each of the Sellers and their Affiliates and their respective Representatives (collectively, the “Seller Indemnitees”)
against, and shall hold each of them harmless from and against, and shall pay and reimburse each of them for, all Losses incurred or sustained by, or imposed upon, the Seller Indemnitees based upon, arising out of, with respect to or by reason of:

 (a) any inaccuracy in or breach of any of the representations or warranties of the Buyers contained in this Agreement or in
any certificate or instrument delivered by or on behalf of the Buyers pursuant to the Transaction Documents; 
 (b) any breach
or non-fulfillment of any covenant, agreement or obligation to be performed by the Buyers pursuant to this Agreement the other Transaction Documents or any certificate or instrument delivered by or on behalf of the Buyers pursuant to the Transaction
Documents; or 
 (c) any Assumed Liability. 
 Section 8.04. Certain Limitations. The indemnification provided for in Section 8.02 and Section 8.03 shall be subject to the following limitations: 

(a) The Sellers shall not be liable to the Buyer Indemnitees for indemnification under Section 8.02(a) (other than with
respect to a claim for indemnification based upon, arising out of, with respect to or by reason of any inaccuracy in or breach of any representation or warranty in Section 4.01 (Organization and Qualification of the Sellers),
Section 4.02 (Authority of the Sellers), Section 4.03 (No Conflicts; Consents), Section 4.07 (Title to Purchased Assets), the last sentence of Section 4.08 (Condition and Sufficiency of Assets),
Section 4.14 (Taxes), Section 4.15 (Kylie), Section 4.18 (Brokers) (collectively, the “Buyer Deductible Exclusions”)), until the aggregate amount of all Losses in respect of indemnification
under Section 8.02(a) (other than those based upon, arising out of, with respect to or by reason of the Buyer Deductible Exclusions) exceeds 0.5% of the Purchase Price (the “Deductible”), in which event the
Sellers shall be required to pay or be liable for all such Losses that exceed the Deductible up to an aggregate amount equal to 25% of the Purchase Price (the “Indemnity Cap”). 

(b) The Buyers shall not be liable to the Seller Indemnitees for indemnification under Section 8.03(a) (other than with
respect to a claim for indemnification based upon, arising out of, with respect to or by reason of any inaccuracy in or breach of any representation or warranty in Section 5.01 (Organization of the Buyers), Section 5.02
(Authority of the Buyers), Section 5.03 (No Conflicts; Consents) and Section 5.04 (Brokers) (collectively, the “Seller Deductible Exclusions”)) until the aggregate amount of all Losses in respect of
indemnification under Section 8.03(a) (other than those based upon, arising out of, with respect to or by reason of the Seller Deductible Exclusions) exceeds the Deductible, in which event the Buyers shall be required to pay or be liable
for all such Losses that exceed the Deductible up to an aggregate amount equal to the Indemnity Cap. 
 Section 8.05.
Indemnification Procedures. The party making a claim under this Article VIII is referred to as the “Indemnified Party”, and the party against whom such claims are asserted under this Article VIII is referred to as
the “Indemnifying Party”. 

  
 38 

 (a) Third Party Claims. If any Indemnified Party receives notice of the
assertion or commencement of any Action made or brought by any Person who is not a party to this Agreement or an Affiliate of a party to this Agreement or a Representative of the foregoing (a “Third Party Claim”) against such
Indemnified Party with respect to which the Indemnifying Party is obligated to provide indemnification under this Agreement, the Indemnified Party shall give the Indemnifying Party reasonably prompt written notice thereof, but in any event not later
than thirty (30) calendar days after receipt of such notice of such Third Party Claim. The failure to give such prompt written notice shall not, however, relieve the Indemnifying Party of its indemnification obligations, except and only to the
extent that the Indemnifying Party forfeits rights or defenses by reason of such failure. Such notice by the Indemnified Party shall describe the Third Party Claim in reasonable detail, shall include copies of all material written evidence thereof
and shall indicate the estimated amount, if reasonably practicable, of the Loss that has been or may be sustained by the Indemnified Party. The Indemnifying Party shall have the right to participate in, or by giving written notice to the Indemnified
Party, to assume the defense of any Third Party Claim at the Indemnifying Party’s expense and by the Indemnifying Party’s own counsel, and the Indemnified Party shall cooperate in good faith in such defense. In the event that the
Indemnifying Party assumes the defense of any Third Party Claim, subject to Section 8.05(b), it shall have the right to take such action as it deems necessary to avoid, dispute, defend, appeal or make counterclaims pertaining to any such
Third Party Claim in the name and on behalf of the Indemnified Party. The Indemnified Party shall have the right to participate in the defense of any Third Party Claim with counsel selected by it subject to the Indemnifying Party’s right to
control the defense thereof. The fees and disbursements of such counsel shall be at the expense of the Indemnified Party. If the Indemnifying Party elects not to compromise or defend such Third Party Claim, fails to promptly notify the Indemnified
Party in writing of its election to defend as provided in this Agreement, or fails to diligently prosecute the defense of such Third Party Claim, the Indemnified Party may, subject to Section 8.05(b), pay, compromise, defend such Third
Party Claim and seek indemnification for any and all Losses based upon, arising from or relating to such Third Party Claim. The Sellers and the Buyers shall cooperate with each other in all reasonable respects in connection with the defense of any
Third Party Claim, including making available (subject to the provisions of Section 6.05) records relating to such Third Party Claim and furnishing, without expense (other than reimbursement of actual out-of-pocket expenses) to the
defending party, management employees of the non-defending party as may be reasonably necessary for the preparation of the defense of such Third Party Claim. 
 (b) Settlement of Third Party Claims. Notwithstanding any other provision of this Agreement, the Indemnifying Party shall not enter into settlement of any Third Party Claim without the prior
written consent of the Indemnified Party, except as provided in this Section 8.05(b). If a firm offer is made to settle a Third Party Claim without leading to Liability or reputational damages or the creation of a financial or other
obligation on the part of the Indemnified Party and provides, in customary form, for the unconditional release of each Indemnified Party from all Liabilities and obligations in connection with such Third Party Claim and the Indemnifying Party
desires to accept and agree to such offer, the Indemnifying Party shall give written notice to that effect to the Indemnified Party. If the Indemnified Party fails to consent to such firm offer within ten (10) days after its receipt of such
notice, the Indemnified Party may continue to contest or defend such Third Party Claim and in such event, the maximum liability of the Indemnifying Party as to such Third Party Claim shall not exceed the amount of such settlement offer. If the
Indemnified Party fails to consent to such firm offer and also fails to assume defense of such Third Party Claim, the Indemnifying Party may settle the Third Party Claim upon the terms set forth in such firm offer to settle such Third Party Claim.
If the Indemnified Party has assumed the defense pursuant to Section 8.05(a), it shall not agree to any settlement without the written consent of the Indemnifying Party (which consent shall not be unreasonably withheld or delayed). 

(c) Direct Claims. Any Action by an Indemnified Party on account of a Loss which does not result from a Third Party Claim
(a “Direct Claim”) shall be asserted by the Indemnified Party giving the Indemnifying Party reasonably prompt written notice thereof, but in any event not later than thirty (30) days after the Indemnified Party becomes
aware of such Direct Claim. The failure to give such prompt written notice shall not, however, relieve the Indemnifying Party of its indemnification obligations, except and only to the extent that the Indemnifying Party forfeits rights or defenses
by reason of such failure. Such notice by the Indemnified Party shall describe the Direct Claim in reasonable detail, shall include copies of all material written evidence thereof and shall indicate the estimated amount, if reasonably practicable,
of the Loss that has been or may be sustained by the Indemnified Party. The Indemnifying Party shall have thirty (30) days after its receipt of such notice to respond in writing to such Direct Claim. The Indemnified Party shall allow the
Indemnifying Party and its professional advisors to investigate the matter or circumstance alleged to give rise to the Direct Claim, and whether and to what extent any amount is payable in respect of the Direct Claim and the Indemnified Party shall
assist the Indemnifying Party’s investigation by giving such information and assistance (including access to the Indemnified Party’s premises and personnel and the right to examine and copy any accounts, documents or records) as the
Indemnifying Party or any of its professional advisors may reasonably request. If the Indemnifying Party does not so respond within such thirty (30) day period, the Indemnifying Party shall be deemed to have rejected such claim, in which case
the Indemnified Party shall be free to pursue such remedies as may be available to the Indemnified Party on the terms and subject to the provisions of this Agreement. 

  
 39 

 (d) Cooperation. Upon a reasonable request by the Indemnifying Party, each
Indemnified Party seeking indemnification hereunder in respect of any Direct Claim, hereby agrees to consult with the Indemnifying Party and act reasonably to take actions reasonably requested by the Indemnifying Party in order to attempt to reduce
the amount of Losses in respect of such Direct Claim. Any costs or expenses associated with taking such actions shall be counted as Losses hereunder. 
 Section 8.06. Payments. Once a Loss is agreed to by the Indemnifying Party or finally adjudicated to be payable pursuant to this Article VIII, the Indemnifying Party shall
satisfy its obligations within thirty (30) Business Days of such final, non-appealable adjudication by wire transfer of immediately available funds. 
 Section 8.07. Tax Treatment of Indemnification Payments. All indemnification payments made under this Agreement shall be treated by the parties as an adjustment to the Purchase
Price for Tax purposes, unless otherwise required by Law, in which case such payments shall be made in an amount sufficient to indemnity the Indemnified Party on an after-Tax basis. 

Section 8.08. Exclusive Remedies. Except for claims for specific performance and injunctive relief pursuant to
Section 10.11, the parties acknowledge and agree that their sole and exclusive remedy with respect to any and all claims (other than claims arising from fraud or willful misconduct on the part of a party hereto in connection with the
transactions contemplated by this Agreement) for any breach of any representation, warranty, covenant, agreement or obligation set forth herein or otherwise relating to the subject matter of this Agreement, shall be pursuant to the indemnification
provisions set forth in this Article VIII. In furtherance of the foregoing, each party hereby waives, to the fullest extent permitted under Law, any and all rights, claims and causes of action for any breach of any representation, warranty,
covenant, agreement or obligation set forth herein or otherwise relating to the subject matter of this Agreement it may have against the other parties hereto and their Affiliates and each of their respective Representatives arising under or based
upon any Law, except pursuant to the indemnification provisions set forth in this Article VIII. Nothing in this Section 8.08 shall limit any Person’s right to seek and obtain any equitable relief to which any Person shall be entitled,
including without limitation, specific performance and/or injunctive relief, or to seek any remedy on account of any Person’s fraudulent or willful misconduct. 
 ARTICLE IX 
 TERMINATION 

Section 9.01. Termination. 
 This Agreement may be terminated at any time prior to the Closing: 
 (a) by the
mutual written consent of the Sellers and the Buyers; 
 (b) by the Buyers by written notice to the Sellers if: 

(i) the Buyers are not then in material breach of any provision of this Agreement and there has been a breach, inaccuracy in or failure
to perform any representation, warranty, covenant or agreement made by the Sellers pursuant to this Agreement that would give rise to the failure of any of the conditions specified in Article VII and such breach, inaccuracy or failure has not
been cured by the Sellers within ten (10) days of the Sellers’ receipt of written notice of such breach from the Buyers; or 

  
 40 

 (ii) any of the conditions set forth in Section 7.01 shall not have been, or if
it becomes apparent that any of such conditions will not be, fulfilled by December 15, 2011 unless such failure shall be due to the failure of the Buyers to perform or comply with any of the covenants, agreements or conditions hereof to be
performed or complied with by them prior to the Closing; 
 (c) by the Sellers by written notice to the Buyers if: 

(i) the Sellers are not then in material breach of any provision of this Agreement and there has been a breach, inaccuracy in or failure
to perform any representation, warranty, covenant or agreement made by the Buyers pursuant to this Agreement that would give rise to the failure of any of the conditions specified in Article VII and such breach, inaccuracy or failure has not
been cured by the Buyers within ten (10) days of the Buyers’ receipt of written notice of such breach from the Sellers; or 
 (ii) any of the conditions set forth in Section 7.02 shall not have been, or if it becomes apparent that any of such conditions will not be, fulfilled by December 15, 2011, unless such
failure shall be due to the failure of the Sellers to perform or comply with any of the covenants, agreements or conditions hereof to be performed or complied with by them prior to the Closing; or 

(d) by the Buyers or the Sellers in the event that (i) there shall be any Law that makes consummation of the transactions
contemplated by this Agreement illegal or otherwise prohibited or (ii) any Governmental Authority shall have issued a Governmental Order restraining or enjoining the transactions contemplated by this Agreement, and such Governmental Order shall
have become final and non-appealable. 
 Section 9.02. Effect of Termination. In the event of the termination
of this Agreement in accordance with this Article IX, (i) this Agreement and each other Transaction Document shall forthwith become void except that this Article IX, Section 2.05(b), Section 6.05 and Article X
shall continue to be in effect following such termination, and (ii) there shall be no liability on the part of any party hereto except: 
 (a) as set forth in this Article IX, Section 2.05(b), and Section 6.05 and Article X hereof; and 
 (b) that nothing herein shall relieve any party hereto from liability for any willful breach of any provision hereof. 
 ARTICLE X 
 MISCELLANEOUS 

Section 10.01. Expenses. Except as otherwise expressly provided herein, all costs and expenses, including, without
limitation, fees and disbursements of counsel, financial advisors and accountants, incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the party incurring such costs and expenses, whether or not the
Closing shall have occurred. 

  
 41 

 Section 10.02. Notices. All notices, requests, consents, claims, demands,
waivers and other communications hereunder shall be in writing and shall be deemed to have been given (a) when delivered by hand (with written confirmation of receipt); (b) when received by the addressee if sent by an internationally
recognized express courier (receipt requested); or (c) on the date sent by facsimile or e-mail (with confirmation of transmission) if sent during normal business hours of the recipient, and on the next Business Day if sent after normal business
hours of the recipient. Such communications must be sent to the respective parties at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section 10.02):

  

			
	 If to the Sellers (or Kylie

prior to the Closing):
	  	 Sohu.com Inc.
 Level 12,
Sohu.com Internet Plaza
 No.1 Unit Zhongguancun East Road, Haidian District
 Beijing 100084
 People’s Republic of China

Facsimile: 86-1062726588
 E-mail:
carol@sohu-inc.com
 Attention: Carol Yu, Co-President and Chief Financial Officer

		
	with a copy to:	  	 Goulston & Storrs, P.C.

400 Atlantic Avenue
 Boston, Massachusetts
02110
 Facsimile: 617-574-4112
 E-mail:
tbancroft@goulstonstorrs.com
 Attention: Timothy B. Bancroft, Esq.

		
	 If to the Buyers (or Kylie

after to the Closing):
	  	 Changyou.com Limited
 East
Tower, Jing Yan Building
 No. 29 Shijingshan Road, Shijingshan District
 Beijing 100043
 People’s Republic of China

Facsimile: +86-10-6886-0852
 E-mail:
alex@cyou-inc.com
 Attention: Alex Ho, Chief Financial Officer

		
	with a copy to:	  	 O’Melveny & Myers, LLP

Yin Tai Centre, Office Tower, 37th Floor
 No. 2
Jianguomenwai Ave., Chao Yang District
 Beijing 100022
 People’s Republic of China
 Facsimile: +86-10-6563-4201

E-mail: droberts@omm.com
 Attention: David J.
Roberts, Esq.

 Section 10.03. Interpretation. This Agreement shall be construed without regard to any
presumption or rule requiring construction or interpretation against the party drafting an instrument or causing any instrument to be drafted. The Schedules, Disclosure Schedules and Exhibits referred to herein shall be construed with, and as an
integral part of, this Agreement to the same extent as if they were set forth verbatim herein. 
 Section 10.04.
Headings. The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement. 
 Section 10.05. Severability. If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability shall
not affect any other term or provision of this Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction. Upon such determination that any term or other provision is invalid, illegal or unenforceable, the
parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as
originally contemplated to the greatest extent possible. 

  
 42 

 Section 10.06. Entire Agreement. This Agreement and the other Transaction
Documents constitute the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein and therein, and supersede all prior and contemporaneous understandings and agreements, both written and oral,
with respect to such subject matter. In the event of any inconsistency or omission between the statements in the body of this Agreement and those in the other Transaction Documents, the Exhibits and Disclosure Schedules (other than an exception
expressly set forth as such in the Disclosure Schedules), the statements in the body of this Agreement will control. 

Section 10.07. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of
the parties hereto and their respective successors and permitted assigns. Neither party may assign its rights or obligations hereunder without the prior written consent of the other party, which consent shall not be unreasonably withheld or delayed.
No assignment shall relieve the assigning party of any of its obligations hereunder. 
 Section 10.08. No Third-party
Beneficiaries. Except as provided in Article VIII, this Agreement is for the sole benefit of the parties hereto and their respective successors and permitted assigns and nothing herein, express or implied, is intended to or shall confer upon
any other Person or entity any legal or equitable right, benefit or remedy of any nature whatsoever under or by reason of this Agreement. 
 Section 10.09. Amendment and Modification; Waiver. This Agreement may only be amended, modified or supplemented by an agreement in writing signed by each party hereto. No waiver by any
party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the party so waiving. No waiver by any party shall operate or be construed as a waiver in respect of any failure, breach or default not
expressly identified by such written waiver, whether of a similar or different character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this
Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power
or privilege. 
 Section 10.10. Governing Law and Dispute Resolution. 

(a) This Agreement shall be governed by and construed in accordance with the internal laws of the State of New York without giving effect
to any choice or conflict of law provision or rule (whether of the State of New York or any other jurisdiction) that would cause the application of Laws of any jurisdiction other than those of the State of New York. 

(b) Each of the parties hereto irrevocably agrees that any dispute or controversy arising out of, relating to, or concerning any
interpretation, construction, performance or breach of this Agreement, shall be settled by arbitration to be held in the Hong Kong S.A.R. under the Hong Kong International Arbitration Centre Administered Arbitration Rules (the
“Arbitration Rules”) in force when the Notice of Arbitration is submitted in accordance with the Arbitration Rules. There shall be one (1) arbitrator, selected in accordance with the Arbitration Rules. The award of the
arbitrator shall be final, conclusive and binding on the parties to the arbitration. Judgment may be entered on the arbitrator’s award in any court having competent jurisdiction. The parties to the arbitration shall each pay an equal share of
the costs and expenses of such arbitration, and each party shall separately pay for its respective counsel fees and expenses. 

  
 43 

 (c) In the event of two or more arbitrations having been commenced under this Agreement, the
tribunal in the arbitration first filed (the “Principal Tribunal”) may in its sole discretion, upon the application of any party to the arbitrations, order that the proceedings be consolidated before the Principal Tribunal,
which will have the jurisdiction to resolve all disputes forming part of the consolidation order, if (i) there are issues of fact and/or law common to the arbitrations, (ii) the interests of justice and efficiency would be served by such a
consolidation, and (iii) no prejudice would be caused to any party in any material respect as a result of such consolidation, whether through undue delay or otherwise. Such application shall be made as soon as practicable and the party making
such application shall give notice to the other parties to the arbitrations. 
 Section 10.11. Specific
Performance. The parties agree that irreparable damage would occur if any provision of this Agreement were not performed in accordance with the terms hereof and that the parties shall be entitled to specific performance of the terms hereof,
in addition to any other remedy to which they are entitled at law or in equity. 
 Section 10.12.
Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile,
e-mail or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement. 
 [SIGNATURE PAGE FOLLOWS] 

  
 44 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the
date first written above by their respective officers thereunto duly authorized. 
  

			
	THE SELLERS
	
	SOHU.COM INC.
		
	By:	 	  

	Name: Carol Yu
	Title: Chief Financial Officer
	
	SOHU.COM LIMITED
		
	By:	 	  

	Name: Carol Yu
	Title: Director
	
	BEIJING SOHU NEW MEDIA INFORMATION TECHNOLOGY CO., LTD.
		
	By:	 	  

	Name: Charles Zhang
	Title: Legal Representative
	
	BEIJING SOHU NEW ERA INFORMATION TECHNOLOGY CO., LTD.
		
	By:	 	  

	Name: Charles Zhang
	Title: Legal Representative
	
	BEIJING SOHU INTERNET INFORMATION SERVICE CO., LTD.
		
	By:	 	  

	Name: Charles Zhang
	Title: Legal Representative

 
			
	THE BUYERS
	
	CHANGYOU.COM LIMITED
		
	By:	 	  

	Name: Wang Tao
	Title: Director
	
	CHANGYOU.COM HK LIMITED
		
	By:	 	  

	Name: Wang Tao
	Title: Director
	
	BEIJING CHANGYOU GAMESPACE SOFTWARE TECHNOLOGY CO., LTD.
		
	By:	 	  

	Name: Wang Tao
	Title: Legal Representative
	
	BEIJING GUANYOU GAMESPACE DIGITAL TECHNOLOGY CO., LTD.
		
	By:	 	  

	Name: Wang Tao
	Title: Legal Representative

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